BABSON-
Stewart Ivory
International
FUND
Annual Report
June 30, 1996
JONES & BABSON
MUTUAL FUNDS
MESSAGE
To Our Shareholders
At June 30, 1996, the net asset value of Babson-Stewart Ivory
International Fund was $18.04, representing a total return (price
change and reinvested distributions) of 4.08% for the quarter,
and 18.66% for the fiscal year. These results compare favorably
against the unmanaged Morgan Stanley Capital International (MSCI)
EAFE and other indices as follows:
Investment Results - Total Return
Periods Ended 6/30/96
Second Previous
Quarter Twelve
1996 Months
BSIIF 4.08% 18.66%
MSCI EAFE* Index** 1.65% 13.61%
MSCI World Index** 3.01% 18.98%
S&P 500 Index** 4.48% 25.98%
Lipper International Funds
(avg. 358 funds) 3.49% 15.48%
*Europe, Australia, Far East
**unmanaged
The portfolio's overall performance was ahead of the EAFE index,
and also was better than local indices in Europe, Australia and
Japan. Profit taking in smaller companies in Europe kept the
Fund's progress only slightly ahead of the continental index. Asia
(ex-Japan) has had relatively dull recent performance, with a
decrease in the Singapore market and small rises in Malaysia and
Hong Kong markets. The Japanese index also showed little change,
although the Fund's portfolio benefited from recovery in several
holdings, notably Honda, Kato Denki, Rohm, Keyence and Promise.
Portfolio activities over the prior quarter reflect net purchases
in excess of $1.8 million, mainly reflecting new cash inflows. The
Fund's cash position at June 30 was 4.1% of the portfolio.
Outside the U.S. the interest rate background has remained
generally favorable to equity markets, and in particular the
revival of economic growth forecasts in Japan has led to better
stock market performance, after several disappointing false
starts. In Europe, interest rates remain on a downward trend, with
sluggish economic growth reports offering no justification for
rate increases. Corporate earnings remain on an uptrend in Europe
and Japan, helped by corporate restructuring and profitability
increases. A weaker bond market in the U.S. has been a negative
factor and has created volatility in the long-running equity bull
market in the U.S. It has also affected other stock markets,
notably those with currency links to the dollar, such as Southeast
Asia. While interest rate influences have remained favorable, it
seems likely the next major moves in rates will be upwards,
suggesting that the "interest driven" bull market is over, and
that an "earnings driven" phase will now replace it.
After 1995's mild slowdown in the U.S. and Europe, and continuing
recession in Japan, 1996 forecasts indicate an acceleration of
economic growth in Japan and the U.S., with gross domestic product
forecasts in the 21/2-3% range. By contrast, Europe is expected to
remain below 2% in 1996, possibly accelerating in 1997. A
significant reason for this economic weakness is the attempt by
Germany and other European union countries to cut fiscal deficits
to comply with guidelines for a common monetary system.
Well-financed growth stocks could be expected to be main
beneficiaries of the current investment climate, with a return to
favor of the more reasonably valued, well-managed Japanese
companies, where earnings growth appears to be back on target,
after several years of recession or slowdown. The long-term
potential for Southeast Asia and the emerging areas has to be
balanced against the nearer term risks of a less favorable
interest rate environment in the developed countries. Our emphasis
will continue to be on the Asian markets by reason of their
stronger economic fundamentals and better liquidity for investors.
The recent weakness in the U.S. market reflects disappointment
over reduced earnings forecasts, particularly in the technology
sector. Other markets have fallen in sympathy, particularly when
they shared in previous U.S. strength. More realistic valuations
should provide a basis for further advances in various
international markets.
Thank you for your continuing interest in Babson-Stewart Ivory
International Fund.
Sincerely,
/s/Larry D. Armel
Larry D. Armel
President
GRAPH - Babson-Stewart Ivory International Fund versus Morgan Stanley
Capital International EAFE Index
Babson-Stewart Ivory International Fund's average annual compounded
total returns for one year, five years and the life of the Fund
(inception December 7, 1987) as of June 30, 1996, were 18.66%,
12.64% and 9.95%, respectively. Performance data contained in this
report is for past periods only. Past performance is not predictive
of future performance. Investment return and share value will
fluctuate, and redemption value may be more or less than original
cost.
STATEMENT OF NET ASSETS
June 30, 1996
<TABLE>
<CAPTION>
SHARES COMPANY AND DESCRIPTION COST MARKET VALUE
</CAPTION>
<S> <C> <C> <C>
COMMON STOCKS - 95.96%
ARGENTINA - 0.53%
41,550 Quilmes
(Brewing) $ 539,490 $ 425,887
AUSTRALIA - 3.95%
95,469 Brambles
(Transport, plant services) 925,171 1,326,438
62,406 Lend Lease
(Real estate) 660,971 956,320
123,750 Western Mining
(Diversified base metals) 649,839 884,971
2,235,981 3,167,729
BELGIUM - 1.34%
3,200 Colruyt
(Food retailer) 580,647 1,073,431
DENMARK - 1.67%
10,000 Sophus Berendsen
(Environmental, industrial
services) 592,081 1,338,517
FRANCE - 7.20%
1,800 rts. Carrefour
(Food retailer) 720,781 1,506,882
3,500 Comptoirs Modernes
(Food retailer) 822,380 1,580,022
8,000 Guilbert
(Office supplies, paper) 597,312 1,166,498
8,750 SEB
(Electrical appliances) 763,119 1,524,224
2,903,592 5,777,626
GERMANY - 4.20%
2,500 Buderus
(Heating systems) 1,228,990 1,061,000
1,680 Linde
(Engineering) 880,856 1,093,851
1,350 Rheinelektra
(Electric utility, machinery) 1,003,425 1,215,488
3,113,271 3,370,339
HONG KONG - 7.42%
2,301,625 CDL Hotels
(Regional hotel group) 937,273 1,263,682
1,700,000 Gold Peak
(Batteries) 630,649 960,818
564,000 Hong Kong & China Gas*
47,000 wts. (Gas utility) 898,476 912,125
254,000 Johnson Electric
(Micro-motors) 563,298 570,949
370,000 Shaw Bros.
(T.V. network, film production
and distribution) 455,287 430,188
1,395,000 South China Morning Post
(Publishing) 809,865 955,134
625,000 Swire Pacific
(Airline, trading, property) 912,077 859,892
5,206,925 5,952,788
INDONESIA - 0.83%
20,000 Indosat
(Telecom utility) 700,049 670,000
IRELAND - 1.28%
100,000 Kerry Group
(Food manufacturer) 560,244 1,025,004
ITALY - 3.02%
17,000 Luxottica
(Eyeglass frames) 474,175 1,247,375
23,000 Industrie Natuzzi*
(Furniture manufacturer) 717,891 1,178,750
1,192,066 2,426,125
JAPAN - 27.97%
51,000 Amada Metrecs
(Machine tools, robotics) 826,121 774,105
30,000 Canon Sales
(Distribution of Canon
products) 700,687 836,648
117,000 Daicel Chemical
(Chemicals, plastics) 696,184 722,123
63,000 Hitachi Metals
(Specialty metals) 826,292 725,826
44,000 Honda
(Autos) 926,493 1,142,596
26,000 Hoya
(Optical/electronic products) 643,518 841,586
28,000 Kato Denki
(Electrical appliance retailer) 502,600 578,613
7,000 Keyence
(Sensors) 614,030 953,687
93,000 Komatsu
(Construction machinery) 763,098 918,393
68,000 Kurimoto
(Cast iron pipes) 775,022 789,649
37,300 Kurita
(Water treatment equipment) 958,325 910,630
12,000 Kyocera
(Electronic components) 872,326 850,363
43,000 Mori Seiki
(Machine tools) 765,938 864,993
73,000 NEC
(Integrated electronics) 865,562 794,313
69,000 NGK Spark Plug
(Spark plugs, ceramic
packaging) 587,369 769,716
12,000 Nichiei
(Consumer finance) 791,438 800,988
46,000 Nitto Denko
(Specialty materials) 737,733 811,777
17,000 Promise
(Consumer lending) 778,237 839,391
26,400 Rinnai
(Gas appliances) 689,384 627,623
13,000 Rohm
(Semiconductors) 667,155 860,604
33,000 Santen Pharmaceutical
(Ophthalmic drugs) 775,578 769,442
21,000 Shimamura
(Womenswear retailing) 735,457 925,525
15,000 Sony
(Consumer electronics) 854,252 988,890
96,000 Sumitomo Marine & Fire
(Fire & casualty insurance) 861,961 838,294
120,000 Sumitomo Warehouse
(Warehousing, transport) 864,478 889,864
70,000 SxL
(Housebuilder) 815,322 691,263
24,800 Xebio
(Apparel, sportswear) 766,006 931,998
20,660,566 22,448,900
KOREA - 1.22%
18,000 Korea Electric Power
(Electric utility) 441,286 621,302
15,000 Samsung Electronics*
(Semiconductors) 544,817 363,750
986,103 985,052
MALAYSIA - 1.15%
240,000 Perlis Plantations
(Trading, mining, agriculture) 570,831 923,632
MEXICO - 0.57%
324,000 Cifra*
(Department stores) 432,471 456,840
NETHERLANDS - 5.72%
28,000 KPN
(Postal, telecom services) 965,935 1,060,569
9,000 Nutricia
(Processed food) 711,398 952,507
20,500 Polygram
(Recorded music) 951,970 1,211,610
12,000 Wolters Kluwer
(Publisher) 858,073 1,364,292
3,487,376 4,588,978
NEW ZEALAND - 1.05%
200,000 New Zealand Telecom
(Utility) 820,710 842,105
SINGAPORE - 3.47%
320,000 Haw Par Brothers
17,000 rts. (Diversified manufacturing
& services) 726,407 736,828
100,000 Robinson
(Department store) 427,542 425,230
137,000 Trans-Island Bus Services
(Bus transport) 142,899 322,353
990,000 Utd Industrial
(Real estate) 930,386 1,010,347
160,000 United Overseas Land
16,000 wts. (Real estate) 240,359 289,157
2,467,593 2,783,915
SPAIN - 2.37%
5,000 Banco Popular
(Banking) 909,018 892,153
42,500 Continente Centros Commerciales
(Hypermarkets) 954,671 1,009,335
1,863,689 1,901,488
SWEDEN - 3.57%
29,000 Astra 'A' Free
(Pharmaceuticals) 695,657 1,283,515
17,000 Hennes & Mauritz
(Retailing) 1,063,094 1,579,281
1,758,751 2,862,796
SWITZERLAND - 3.07%
2,000 Phoenix Mecano
(Customized electric casings) 446,371 988,642
1,300 Sandoz
(Pharmaceuticals and chemicals) 676,092 1,479,683
1,122,463 2,468,325
UNITED KINGDOM - 14.36%
81,133 Argos
(Mail order, retail) 556,519 939,979
115,000 Bowthorpe
(Electronics components,
instruments) 539,764 805,482
125,000 British Sky Broadcasting
(Satellite TV broadcasting) 506,842 853,199
152,000 Electrocomponents
(Electronics) 584,725 900,575
72,000 Granada
(Hotels, leisure) 434,919 963,317
126,000 Hays
(Business services) 548,961 888,399
237,000 MacFarlane Group
(Printing, packaging) 402,048 883,367
136,000 Marks & Spencer
(Retail) 893,992 993,757
343,000 Morrison Supermarkets
(Supermarkets) 697,348 828,335
56,000 Reed International
(Publishing) 830,933 936,232
69,000 Reuters
(News service) 511,483 834,772
74,387 SmithKline Beecham
(Pharmaceuticals) 609,696 795,394
242,000 Vodafone
(Cellular telephone network) 956,043 900,124
8,073,273 11,522,932
TOTAL COMMON STOCKS - 95.96% 59,868,172 77,012,409
Short-Term Investments - 4.07% 3,266,954 3,268,377
TOTAL INVESTMENTS - 100.03% $ 63,135,126 80,280,786
Other assets less liabilities - (0.03%) (26,955)
TOTAL NET ASSETS - 100.00%
(equivalent to $18.04 per share;
10,000,000 shares of
$1.00 par value capital shares
authorized; 4,448,091 shares
outstanding) $ 80,253,831
For federal income tax purposes, the identified cost of investments
owned at June 30, 1996 was $63,624,316.
Net unrealized appreciation for federal income tax purposes was
$16,656,470, which is comprised of unrealized appreciation of
$17,816,493 and unrealized depreciation of $1,160,023.
<FN>
<F1>*Securities on which no cash dividends were paid during the
preceding year.
</FN>
</TABLE>
See accompanying Notes to Financial Statements.
STATEMENT OF ASSETS
AND LIABILITIES
June 30, 1996
<TABLE>
<S> <C>
ASSETS:
Investments, at market value (identified cost $63,135,126) $ 80,280,786
Cash 31,619
Dividends receivable 175,740
Interest receivable 1,007
Foreign tax receivable 94,703
Total assets 80,583,855
LIABILITIES AND NET ASSETS:
Payable for investments purchased 234,517
Accrued expenses 70,786
Foreign tax withholding liability 24,721
Total liabilities 330,024
NET ASSETS $ 80,253,831
NET ASSETS CONSIST OF:
Capital (capital stock and paid-in capital) $ 63,823,188
Accumulated undistributed income (loss):
Undistributed net investment income (24,638)
Accumulated net realized loss from investments and
foreign currency transactions (687,515)
Net unrealized appreciation on investments and translation of
assets and liabilities in foreign currencies 17,142,796
NET ASSETS APPLICABLE TO OUTSTANDING SHARES $ 80,253,831
Capital shares, $1.00 par value
Authorized 10,000,000
Outstanding 4,448,091
NET ASSET VALUE PER SHARE $ 18.04
</TABLE>
See accompanying Notes to Financial Statements.
STATEMENT OF OPERATIONS
Year Ended June 30, 1996
<TABLE>
<S> <C>
INVESTMENT INCOME:
Income:
Dividends (net of foreign taxes withheld) $ 1,094,293
Interest 62,445
Foreign exchange gain 55,934
1,212,672
Expenses:
Management fees (Note 3) 676,177
Custodian fees 184,458
Registration fees 38,430
899,065
Net investment income 313,607
REALIZED AND UNREALIZED GAIN ON INVESTMENTS
AND FOREIGN CURRENCY (Note 1):
Net realized gain from:
Investments 2,241,778
Foreign currency transactions 520,963
Net increase (decrease) in unrealized appreciation on:
Investments 9,134,857
Translation of assets and liabilities in foreign currencies (13,402)
Net realized and unrealized gain from investments
and foreign currency 11,884,196
Increase in net assets resulting from operations $ 12,197,803
</TABLE>
See accompanying Notes to Financial Statements.
STATEMENTS OF CHANGES
IN NET ASSETS
For The Two Years Ended June 30, 1996
<TABLE>
<CAPTION>
1996 1995
</CAPTION>
<S> <C> <C>
INCREASE IN NET ASSETS FROM OPERATIONS:
Net investment income $ 313,607 $ 640,917
Net realized gain from investments and foreign currency transactions 2,762,741 1,084,264
Net increase (decrease) in unrealized appreciation on investments and
translation of assets and liabilities in foreign currencies 9,121,455 (19,949)
Net increase in net assets resulting from operations 12,197,803 1,705,232
DISTRIBUTIONS TO SHAREHOLDERS FROM:*
Net investment income (394,596) (666,630)
Net realized gain from investment transactions (3,151,852) (2,304,439)
Total distributions to shareholders (3,546,448) (2,971,069)
INCREASE FROM CAPITAL SHARE TRANSACTIONS:
Proceeds from 2,725,430 and 3,240,782 shares sold 46,635,073 51,468,851
Net asset value of 184,344 and 173,600 shares issued for
reinvestment of distributions 3,197,123 2,673,863
49,832,196 54,142,714
Cost of 2,513,447 and 2,251,582 shares redeemed (42,876,619) (35,632,490)
Net increase from capital share transactions 6,955,577 18,510,224
Total increase in net assets 15,606,932 17,244,387
NET ASSETS:
Beginning of year 64,646,899 47,402,512
End of year (including undistributed net investment income
of ($24,638) in 1996 and $56,351 in 1995) $ 80,253,831 $ 64,646,899
*Distributions to shareholders:
Income dividends per share $ .092 $ .17
Capital gains distribution per share $ .748 $ .67
</TABLE>
See accompanying Notes to Financial Statements.
NOTES TO FINANCIAL STATEMENTS
1. SIGNIFICANT ACCOUNTING POLICIES:
The Fund is registered under the Investment Company Act of 1940,
as amended, as a diversified open-end management investment
company. The financial statements have been prepared in
conformity with generally accepted accounting principles which
require management to make certain estimates and assumptions at
the date of the financial statements. The following is a summary
of significant accounting policies consistently followed by the
Fund in the preparation of its financial statements.
Investments - Common stocks are valued at the latest sales price
or mean between the bid and asked price on the last business day
of the period as reported by the principal securities exchange on
which traded or, if no sale was reported on that date, at the mean
between the latest reported bid and asked prices. Common stocks
traded over-the-counter are valued at the mean between the last
reported bid and asked prices. Investment transactions are
recorded on the trade date. Dividend income is recorded on the ex-
dividend date and interest income is recorded on the accrual basis
net of unrecoverable foreign taxes withheld at the applicable
country rates. Distributions to shareholders are recorded on the
ex- dividend dates. Realized gains and losses from investment
transactions and unrealized appreciation and depreciation of
investments are reported on the identified cost basis.
The investments of the Fund are subject to the risk of
restrictions imposed by foreign governments and to political or
economic uncertainties.
Federal and State Taxes - The Fund's policy is to comply with
the requirements of the Internal Revenue Code applicable to
regulated investment companies and to distribute all of its
taxable income to its shareholders. Therefore, no provision for
federal or state tax is required.
Foreign Currency Translation - All assets and liabilities
expressed in foreign currencies are converted into U.S. dollars at
the exchange rate last quoted by a major bank in London on the
last business day of the period. The cost of portfolio securities
is translated at the rates of exchange prevailing when acquired.
Income is translated at the rate of exchange on the ex-dividend
date. The resulting transaction exchange gain or loss has been
included in the results of operations with the type of transaction
giving rise to the gain or loss.
2. PURCHASES AND SALES OF SECURITIES:
The aggregate amounts of security transactions (exclusive of
short-term investments and currency transactions) during the year
ended June 30, 1996, were as follows:
Purchases $ 26,035,587
Proceeds from sales 22,478,977
3. MANAGEMENT FEES:
Management fees, which include all normal expenses of the Fund
other than taxes, fees and other charges of governmental agencies
(including State and Federal registration fees), dues, interest,
brokerage commissions, fees for pricing services, custodian fees
and any extraordinary costs, are paid to Jones & Babson, Inc., an
affiliated company. These fees are based on average daily net
assets of the Fund at the annual rate of 95/100 of 1% (0.95%).
A partnership formed by David L. Babson & Co. Inc. and Stewart
Ivory & Company, Ltd. is the investment counsel of the Fund. The
investment counsel of the Fund is compensated by Jones & Babson,
Inc. at an annual rate of 475/1000 of 1% (0.475%) of the average
daily total net assets of the Fund.
Certain officers and/or directors of the Fund are also officers
and/or directors of Jones & Babson, Inc., David L. Babson & Co.
Inc. and/or Stewart Ivory & Company, Ltd.
FINANCIAL HIGHLIGHTS
The following table sets forth information as to capital and
income changes for a share outstanding for each of the five
years in the period ended June 30, 1996:
<TABLE>
<CAPTION>
1996 1995 1994 1993 1992
</CAPTION>
<S> <C> <C> <C> <C> <C>
Net asset value, beginning of year $15.96 $16.41 $13.97 $13.68 $11.65
Income from investment operations:
Net investment income 0.07 0.16 0.05 0.11 0.13
Net gains on securities
and foreign currency
transactions
(both realized and unrealized) 2.85 0.23 3.01 0.30 2.03
Total from investment operations 2.92 0.39 3.06 0.41 2.16
Less distributions:
Dividends from net investment income (0.09) (0.17) (0.04) (0.09) (0.13)
Distributions from capital gains (0.75) (0.67) (0.58) (0.03) -*
Total distributions (0.84) (0.84) (0.62) (0.12) (0.13)
Net asset value, end of year $18.04 $15.96 $16.41 $13.97 $13.68
Total return 19% 3% 22% 3% 19%
Ratios/Supplemental Data
Net assets, end of year (in millions) $ 80 $ 65 $ 47 $ 32 $ 18
Ratio of expenses to average net assets 1.26% 1.30% 1.32% 1.57% 1.58%
Ratio of net investment income to average net assets 0.44% 1.13% 0.34% 0.88% 1.16%
Portfolio turnover rate 33% 37% 60% 49% 44%
<FN>
<F1>*Capital gain distribution of .0003 not significant for per share table.
</FN>
</TABLE>
See accompanying Notes to Financial Statements.
REPORT OF INDEPENDENT
PUBLIC ACCOUNTANTS
To the Shareholders and Board of Directors of
Babson-Stewart Ivory International Fund, Inc.:
We have audited the accompanying statement of assets and liabilities,
including the statement of net assets, of Babson-Stewart Ivory
International Fund, Inc. (a Maryland corporation), as of June 30, 1996,
and the related statement of operations for the year then
ended, the statements of changes in net assets for each of the two
years in the period then ended, and the financial highlights for
each of the five years in the period then ended. These financial
statements and financial highlights are the responsibility of the
Fund's management. Our responsibility is to express an opinion on
these financial statements and financial highlights based on our
audits.
We conducted our audits in accordance with generally accepted auditing
standards. Those standards require that we plan and perform
the audit to obtain reasonable assurance about whether the financial
statements and financial highlights are free of material
misstatement. An audit includes examining, on a test basis, evidence
supporting the amounts and disclosures in the financial
statements and the financial highlights. Our procedures included
confirmation of securities owned as of June 30, 1996, by
correspondence with the custodian. An audit also includes assessing the
accounting principles used and significant estimates made by
management, as well as evaluating the overall financial statement and
the financial highlights presentation. We believe that our
audits provide a reasonable basis for our opinion.
In our opinion, the financial statements and financial highlights
referred to above present fairly, in all material respects, the
financial position of the Babson-Stewart Ivory International Fund, Inc.
as of June 30, 1996, the results of its operations for the
year then ended, the changes in its net assets for each of the two
years in the period then ended, and the financial highlights for
each of the five years in the period then ended in conformity with
generally accepted accounting principles.
ARTHUR ANDERSEN LLP
Kansas City, Missouri
July 26, 1996
This report has been prepared for the information of the Shareholders
of Babson-Stewart Ivory International Fund, Inc., and is not
to be construed as an offering of the shares of the Fund. Shares of
this Fund and of the other Babson Funds are offered only by the
Prospectus, a copy of which may be obtained from Jones & Babson, Inc.
EQUITIES
Growth Fund
Enterprise Fund*
Enterprise Fund II
Value Fund
Shadow Stock Fund
International Fund
FIXED INCOME
Bond Trust
Money Market Fund
Tax-Free Income Fund
*Closed to new investors.
JONES & BABSON
MUTUAL FUNDS
2440 Pershing Road
Kansas City, MO 64108-2518
816-471-5200
1-800-4-BABSON
(1-800-422-2766)
<TABLE> <S> <C>
<ARTICLE> 6
<LEGEND>
Babson-Stewart Ivory International Fund, Inc.
</LEGEND>
<S> <C>
<PERIOD-TYPE> 12-MOS
<FISCAL-YEAR-END> JUN-30-1996
<PERIOD-END> JUN-30-1996
<INVESTMENTS-AT-COST> 63135126
<INVESTMENTS-AT-VALUE> 80280786
<RECEIVABLES> 271450
<ASSETS-OTHER> 31619
<OTHER-ITEMS-ASSETS> 0
<TOTAL-ASSETS> 80583855
<PAYABLE-FOR-SECURITIES> 234517
<SENIOR-LONG-TERM-DEBT> 0
<OTHER-ITEMS-LIABILITIES> 95507
<TOTAL-LIABILITIES> 330024
<SENIOR-EQUITY> 0
<PAID-IN-CAPITAL-COMMON> 63823188
<SHARES-COMMON-STOCK> 4448091
<SHARES-COMMON-PRIOR> 0
<ACCUMULATED-NII-CURRENT> (24638)
<OVERDISTRIBUTION-NII> 0
<ACCUMULATED-NET-GAINS> (687515)
<OVERDISTRIBUTION-GAINS> 0
<ACCUM-APPREC-OR-DEPREC> 17142796
<NET-ASSETS> 80253831
<DIVIDEND-INCOME> 1094293
<INTEREST-INCOME> 62445
<OTHER-INCOME> 55934
<EXPENSES-NET> 899065
<NET-INVESTMENT-INCOME> 313607
<REALIZED-GAINS-CURRENT> 2762741
<APPREC-INCREASE-CURRENT> 9121455
<NET-CHANGE-FROM-OPS> 12197803
<EQUALIZATION> 0
<DISTRIBUTIONS-OF-INCOME> 394596
<DISTRIBUTIONS-OF-GAINS> 3151852
<DISTRIBUTIONS-OTHER> 0
<NUMBER-OF-SHARES-SOLD> 2725430
<NUMBER-OF-SHARES-REDEEMED> 2513447
<SHARES-REINVESTED> 184344
<NET-CHANGE-IN-ASSETS> 15606932
<ACCUMULATED-NII-PRIOR> 0
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<GROSS-EXPENSE> 899065
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<PER-SHARE-NAV-BEGIN> 15.96
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<PER-SHARE-DIVIDEND> .092
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<EXPENSE-RATIO> 1.26
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<AVG-DEBT-PER-SHARE> 0
</TABLE>
