May 31, 1996
Phoenix
Multi-Portfolio Fund
Semiannual Report
Tax-Exempt Bond Portfolio
Mid Cap Portfolio
International Portfolio
Real Estate Securities Portfolio
Emerging Markets Bond Portfolio
{Phoenix Logo]
PHOENIX
SEMIANNUAL REPORT
<PAGE>
Table of Contents
Page
The Tax-Exempt Bond Portfolio 1
The Mid Cap Portfolio 8
The International Portfolio 14
The Real Estate Securities Portfolio 22
The Emerging Markets Bond Portfolio 27
Notes to Financial Statements 33
<PAGE>
PHOENIX TAX-EXEMPT BOND PORTFOLIO
MARKET AND PORTFOLIO REVIEW
Fund Description
Phoenix Tax-Exempt Bond Portfolio invests in high- quality municipal
securities and seeks to maximize both tax-exempt yield and after-tax total
return. The Fund is well diversified geographically and stresses regions of
the country with the most promising economic prospects.
Investment Environment
Over this reporting period, the outlook for the U.S. economy has shifted
dramatically. At yearend 1995, the consensus opinion on Wall Street was for
continued slow economic growth and benign inflation. As we moved ahead into
1996, however, a number of reports were released which suggested construction
markets were firming, job growth was increasing and the nation's factories
were busier. With concerns over potential inflation, bond investors reacted
negatively to these new signs of economic growth, pushing interest rates
higher and bond prices lower. The municipal sector was not immune to this
bearish market environment and posted negative returns over this six-month
reporting cycle.
Portfolio Review
For the six months ended May 31, 1996, the Fund's Class A shares provided
a total return of -0.64% and Class B shares returned -1.01%. As measured by
the Lehman Brothers Municipal Bond Index, an unmanaged, commonly used measure
of long-term municipal bond performance, the market earned -0.57% for the
same period. All of these figures assume reinvestment of any distributions,
but exclude the effect of sales charges.
The Fund's conservative posture and focus on higher quality credits held
back performance slightly during this reporting period. As of May 31, 1996,
56% of the Fund's assets were rated "AA" or higher. We continue to believe
that the portfolio's strong emphasis on credit quality is prudent, given that
credit quality spreads remain extremely narrow by historical standards. In
our opinion, investors are not being adequately compensated for taking credit
risk in the municipal bond market at this time.
Although the portfolio was underweighted in "BBB" and "A" rated issues,
our security selection within this lower quality universe contributed
positively to performance. The Fund's allocation to higher coupon bonds was
also winning strategy as long-term rates increased during the reporting cycle.
Outlook
Our outlook for the municipal bond market is positive, given the favorable
combination of limited new issuance, declining supply of existing bonds and
relatively low inflation. In addition, concerns over the flat-tax have
declined considerably, with Steve Forbes dropping out of the presidential
race and Bob Dole trailing Bill Clinton significantly in the polls. As we
move ahead, the Fund will continue to place particular emphasis on the
midwest, southeast and mid-atlantic regions, which we believe have shown the
best mix of economic and fiscal health. In terms of security selection, we
are favoring "essential service" revenue bonds because of their significant
importance to municipalities regardless of the fiscal environment.
Noncallable bonds also appear attractive at this time, and provide the Fund
with superior price appreciation potential if interest rates should decline
in the future.
1
<PAGE>
Tax-Exempt Bond Portfolio
INVESTMENTS AT MAY 31, 1996
(Unaudited)
<TABLE>
<CAPTION>
STANDARD PAR
& POOR'S VALUE
RATING (000) VALUE
---------- --------- ---------------
<S> <C> <C> <C>
MUNICIPAL TAX-EXEMPT BONDS--98.6%
Alabama--0.7%
Alabama Housing Finance Authority 6.50%, '17 Aaa(b) $ 970 $ 994,269
-------------
Alaska--0.9%
Valdez Marine Terminal Revenue 7%, '25 AA- 1,125 1,186,864
-------------
Arizona--0.8%
Pima County 6.75%, '15 AAA 540 581,105
Pima County Prerefunded 6.75%, '15 AAA 460 505,728
-------------
1,086,833
-------------
Arkansas--1.6%
Drew County 7.90%, '11 Aaa(b) 440 468,526
Jacksonville Housing 7.90%, '11 Aaa(b) 640 689,887
Lonoke County Residential Housing 7.90%, '11 Aaa(b) 646 696,735
Stuttgart Revenue 7.90%, '11 Aaa(b) 298 311,154
-------------
2,166,302
-------------
California--9.2%
California HFA Mortgage 7.75%, '17 AA- 315 332,470
Pittsburg Redevelopment Series A 4.625%, '21 AAA 1,650 1,333,216
Riverside County 8.625%, '16 (d) AAA 4,300 5,656,005
University of California Series C 5.125%, '18 (d) AAA 6,330 5,631,991
-------------
12,953,682
-------------
Colorado--1.8%
Arapahoe County Hwy Revenue 6.90%, '15 Baa(b) 2,500 2,570,525
-------------
Florida--3.1%
Florida Board of Education Series E 5.25%, '23 AA 2,000 1,778,580
Martin County Indl. Cogeneration 7.875%, '25 BBB- 1,500 1,664,760
Reedy Creek Utility Series 1 5%, '14 AAA 1,000 899,510
-------------
4,342,850
-------------
Georgia--2.1%
Fulton County Water and Sewer 6.375%, '14 (d) AAA 1,000 1,074,160
Georgia Electric Authority Series Z 5.50%, '20 (d) AAA 2,000 1,908,480
-------------
2,982,640
-------------
Illinois--7.5%
Chicago Board of Education 6%, '20 AAA $ 500 $ 492,510
Chicago O'Hare International Airport 8.85%, '18 Baa(b) 890 988,657
Chicago PCR (Peoples Light & Gas) 7.50%, '15 AA- 1,000 1,092,200
Chicago Water Revenue 6%, '19 AA- 1,375 1,361,236
Du Page Water 5.25%, '14 AA 1,000 914,780
Illinois Development Finance Authority 7.60%, '13 (d) AA 2,000 2,186,820
Illinois Health Facilities Authority 7%, '08 AAA 1,100 1,222,287
Illinois Housing Development Authority Residual Series A
7%, '17 A+ 780 797,363
Metro Pier & Exposition 0%, '07 (c) AAA 1,500 1,484,535
-------------
10,540,388
-------------
Indiana--2.0%
Indianapolis Public Imp. 0%, '03 A(b) 2,500 1,760,500
Indianapolis Public Imp. 0%, '05 Aa(b) 1,765 1,085,634
-------------
2,846,134
-------------
Kentucky--2.5%
Greater Kentucky Housing Assistance 7.125%, '24 AA- 1,000 1,039,550
Kentucky Turnpike Authority 0%, '10 AAA 3,300 1,508,694
Perry County Solid Waste Disposal Revenue 7%, '24 NR 1,000 1,016,890
-------------
3,565,134
-------------
Louisiana--2.0%
Louisiana Housing Finance Agency 6.55%, '26 Aaa(b) 1,000 1,007,620
St. Charles Parish Revenue 7.50%, '21 AAA 1,250 1,360,413
St. Mary Public Authority 7.625%, '12 Aaa(b) 193 203,642
St. Tammany Public Authority 7%, '02 Aaa(b) 188 192,630
-------------
2,764,305
-------------
Maryland--0.4%
Baltimore General Obligation 7%, '09 AAA 500 565,960
-------------
2 See Notes to Financial Statements
<PAGE>
Tax-Exempt Bond Portfolio
STANDARD PAR
& POOR'S VALUE
RATING (000) VALUE
---------- --------- ---------------
Massachusetts--6.6%
Massachusetts Bay Transportation Authority 5.80%, '11 A+ $2,000 $ 2,036,580
Massachusetts Bay Transportation Authority Series B
6.20%, '16 A+ 1,000 1,044,040
Massachusetts Indl. Fin. Agency 0%, '05 A 1,100 644,556
Massachusetts Port Authority 6%, '13 AA- 650 653,666
Massachusetts State Health
& Education Revenue 3.10%, '13 (c) AAA 6,000 4,845,240
-------------
9,224,082
-------------
Michigan--2.0%
Western Townships Sewage Authority 8.20%, '18 BBB+ 1,500 1,631,340
Western Townships Sewage Authority 6.50%, '19 AAA 1,200 1,233,564
-------------
2,864,904
-------------
Minnesota--0.9%
Minnesota HSG Finance Agency Series F 6.30%, '25 AA 1,300 1,312,493
-------------
Mississippi--1.1%
Lowndes County Waste Disposal 6.80%, '22 A 1,450 1,565,406
-------------
Nebraska--1.1%
Nebraska Higher Education 6.70%, '02 A(b) 1,500 1,570,845
-------------
Nevada--1.0%
Clark County School District Series A 0%, '03 AAA 2,000 1,398,360
-------------
New Jersey--1.7%
Atlantic City Improvement Authority 8.875%, '10 NR 1,000 1,108,250
Camden County Municipal Utility 0%, '11 AAA 3,000 1,253,340
-------------
2,361,590
-------------
New York--8.5%
Erie County Water Authority 0%, '17 AAA 550 117,815
Municipal Assistance Corp. 5.20%, '08 A+ 1,500 1,463,325
New York City University Dormitory 6.375%, '08 BBB 1,000 1,010,950
Niagara Falls 5.25%, '15 AAA 1,500 1,416,195
Port Authority Revenue 6.125%, '94 AA- 5,000 5,084,750
Triborough Bridge & Tunnel 6.625%, '12 A+ 750 821,633
New York--continued
Triborough Bridge & Tunnel 4.75%, '14 A+ $2,250 $ 1,970,865
-------------
11,885,533
-------------
North Carolina--1.0%
North Carolina Municipal Power 6%, '09 AAA 1,385 1,448,018
-------------
Pennsylvania--16.8%
Pennsylvania Economic Development Series D 7.05%, '10 BBB- 5,000 5,106,400
Pennsylvania Economic Development 9.25%, '22 NR 6,000 5,874,840
Pennsylvania Finance Authority 6.60%, '09 A 4,000 4,183,720
Pennsylvania Financial Development 6.75%, '07 NR 3,000 2,985,570
Pennsylvania Financial Development 6.40%, '09 NR 5,000 4,787,350
Pittsburgh G.O. Series C 0%, '04 AAA 1,025 663,237
-------------
23,601,117
-------------
South Carolina--1.0%
South Carolina Public Service Authority 6%, '31 A+ 1,500 1,432,680
-------------
Texas--7.0%
Alliance Airport Authority 7%, '11 Baa(b) 1,100 1,170,444
Austin Convention Center 8.25%, '14 Aaa(b) 995 1,124,738
Brazos River Authority 7.75%, '15 A 750 805,072
Brazos River Authority 7.625%, '19 A 1,000 1,082,980
Colorado River Water District 8.25%, '15 A 540 614,450
Harris County Toll Road Multimode 8.125%, '17 AAA 700 764,596
San Antonio Texas Electric & Gas 5%, '12 AA 2,000 1,839,980
Texas State Technical College 6.25%, '09 AAA 1,250 1,324,437
Texas Water Resources Finance Agency 7.625%, '08 A 1,000 1,071,320
-------------
9,798,017
-------------
Utah--1.7%
Intermountain Power Agency Series B 7%, '21 AA- 1,250 1,328,175
Intermountain Power Agency Series B 7.50%, '21 AA- 1,000 1,063,160
-------------
2,391,335
-------------
See Notes to Financial Statements 3
<PAGE>
Tax-Exempt Bond Portfolio
STANDARD PAR
& POOR'S VALUE
RATING (000) VALUE
---------- --------- ---------------
Virginia--4.6%
Pittsylvania County Revenue Series A 7.30%, '04 NR $1,000 $ 1,045,890
Pittsylvania County Revenue Series A 7.45%, '09 NR 3,000 3,130,710
Virginia Beach Municipal 5.40%, '08 AA 2,300 2,294,089
-------------
6,470,689
-------------
Washington--1.4%
Walla Walla Waste Recycling Revenue 9.125%, '26 NR 2,000 1,932,360
-------------
West Virginia--2.2%
Upshur Solid Waste Revenue 7%, '25 NR 2,000 2,036,580
West Virginia Housing Development Fund 6.625%, '20 AA 1,000 1,001,500
-------------
3,038,080
-------------
Wisconsin--1.8%
Wisconsin Clean Water Revenue 6.875%, '11 (d) AA 750 831,315
Wisconsin Housing & Development Authority 7.375%, '17 A+ 380 384,579
Wisconsin Housing & Development Authority Series A
6.85%, '12 (d) A 1,300 1,340,768
-------------
2,556,662
-------------
Wyoming--0.5%
Wyoming Community Development Authority 7.875%, '18 AA $ 655 $ 677,958
-------------
Other Territories--3.1%
Puerto Rico Commonwealth Aqueduct & Sewer 7.875%, '17 AAA 500 545,775
Puerto Rico Commonwealth Highway Revenue Series V
6.625%, '12 A 2,400 2,529,984
Puerto Rico Electric Power Authority 5.90%, '06 A- 1,160 1,193,744
-------------
4,269,503
-------------
TOTAL MUNICIPAL TAX-EXEMPT BONDS
(Identified cost $135,476,138) 138,365,518
-------------
TOTAL INVESTMENTS--98.6%
(Identified cost $135,476,138) 138,365,518(a)
Cash and receivables, less liabilities--1.4% 2,004,267
-------------
NET ASSETS--100.0% $140,369,785
=============
</TABLE>
(a) Federal Income Tax Information: Net unrealized appreciation of investment
securities is comprised of gross appreciation of $5,910,228 and gross
depreciation of $2,942,868 for income tax purposes. At May 31, 1996, the
aggregate cost of securities for federal income tax purposes was
$135,398,158.
(b) Moody's rating.
(c) Variable or step coupon bond; interest rate reflects the rate currently
in effect.
(d) Segregated as collateral for futures contracts.
4 See Notes to Financial Statements
<PAGE>
Tax-Exempt Bond Portfolio
STATEMENT OF ASSETS AND LIABILITIES
MAY 31, 1996
(Unaudited)
<TABLE>
<CAPTION>
<S> <C>
Assets
Investment securities at value
(Identified cost $135,476,138) $138,365,518
Receivables
Investment securities sold 1,008,462
Interest 2,846,161
Fund shares sold 51,629
Variation margin for futures contracts 92,031
-------------
Total assets 142,363,801
-------------
Liabilities
Payables
Fund shares repurchased 1,447,891
Custodian 235,347
Dividend distributions 143,478
Investment advisory fee 54,583
Distribution fee 33,036
Transfer agent fee 21,400
Trustees' fee 9,354
Financial agent fee 3,639
Accrued expenses 45,288
-------------
Total liabilities 1,994,016
-------------
Net Assets $140,369,785
=============
Net Assets Consist of:
Capital paid in on shares of beneficial interest $135,688,403
Undistributed net investment loss (105,020)
Accumulated net realized gain 1,989,052
Net unrealized appreciation 2,797,350
-------------
Net Assets $140,369,785
=============
Class A
Shares of beneficial interest outstanding, $1 par
value, unlimited authorization (Net Assets
$136,013,769) 12,333,029
Net asset value per share $11.03
Offering price per share
$11.03/(1-4.75%) $11.58
Class B
Shares of beneficial interest outstanding, $1 par
value, unlimited authorization (Net Assets
$4,356,016) 393,551
Net asset value and offering price per share $11.07
</TABLE>
STATEMENT OF OPERATIONS
SIX MONTHS ENDED MAY 31, 1996
(Unaudited)
<TABLE>
<CAPTION>
<S> <C>
Investment Income
Interest $ 4,665,321
----------
Total investment income 4,665,321
----------
Expenses
Investment advisory fee 332,246
Distribution fee--Class A 180,016
Distribution fee--Class B 18,260
Financial agent fee 22,150
Transfer agent 80,470
Professional 23,298
Registration 22,072
Printing 13,719
Trustees 11,784
Custodian 8,986
Miscellaneous 3,145
----------
Total expenses 716,146
----------
Net investment income 3,949,175
----------
Net Realized and Unrealized Gain (Loss) on Investments
Net realized gain on securities 522,977
Net realized gain on futures contracts 1,357,169
Net change in unrealized appreciation (depreciation)
on investments (6,655,637)
----------
Net loss on investments (4,775,491)
----------
Net decrease in net assets resulting from operations $ (826,316)
==========
</TABLE>
See Notes to Financial Statements 5
<PAGE>
Tax-Exempt Bond Portfolio
STATEMENT OF CHANGES IN NET ASSETS
<TABLE>
<CAPTION>
Six Months
Ended Year
May 31, 1996 Ended
(Unaudited) November 30, 1995
------------- ------------------
<S> <C> <C>
From Operations
Net investment income $ 3,949,175 $ 8,381,854
Net realized gain 1,880,146 457,881
Net change in unrealized appreciation (depreciation) (6,655,637) 18,057,793
----------- ----------------
Increase (decrease) in net assets resulting from operations (826,316) 26,897,528
----------- ----------------
From Distributions to Shareholders
Net investment income--Class A (3,839,607) (8,208,943)
Net investment income--Class B (83,714) (99,894)
Distributions in excess of net investment income--Class A -- (45,855)
Distributions in excess of net investment income--Class B -- (558)
Net realized gains--Class A -- (482,063)
Net realized gains--Class B -- (4,381)
----------- ----------------
Decrease in net assets from distributions to shareholders (3,923,321) (8,841,694)
----------- ----------------
From Share Transactions
Class A
Proceeds from sales of shares (3,762,185 and 2,629,097 shares,
respectively) 42,180,641 29,051,453
Net asset value of shares issued from reinvestment of distributions
(189,631 and 460,362 shares, respectively) 2,136,985 4,987,475
Cost of shares repurchased (4,588,103 and 4,162,067 shares,
respectively) (51,500,529) (45,663,425)
----------- ----------------
Total (7,182,903) (11,624,497)
----------- ----------------
Class B
Proceeds from sales of shares (154,469 and 166,058 shares, respectively) 1,741,815 1,813,528
Net asset value of shares issued from reinvestment of distributions
(4,387 and 5,729, respectively) 49,537 62,670
Cost of shares repurchased (39,972 and 10,452 shares, respectively) (452,247) (114,346)
----------- ----------------
Total 1,339,105 1,761,852
----------- ----------------
Decrease in net assets from share transactions (5,843,798) (9,862,645)
----------- ----------------
Net increase (decrease) in net assets (10,593,435) 8,193,189
Net Assets
Beginning of period 150,963,220 142,770,031
----------- ----------------
End of period (including undistributed net investment loss and
distributions in excess of net investment income of ($105,020) and
($130,874), respectively) $140,369,785 $150,963,220
============ ===============
</TABLE>
6 See Notes to Financial Statements
<PAGE>
Tax-Exempt Bond Portfolio
FINANCIAL HIGHLIGHTS
(Selected data for a share outstanding throughout the indicated period)
<TABLE>
<CAPTION>
Class A
-----------------------------------------------------------------
Six Months
Ended
5/31/96 Year Ended November 30,
(Unaudited) 1995 1994 1993 1992 1991
---------- ------- ------- ------- ------ --------
<S> <C> <C> <C> <C> <C> <C>
Net asset value, beginning of period $11.40 $10.09 $11.58 $11.10 $10.66 $10.37
Income from investment operations
Net investment income 0.30 0.61 0.65 0.60(4) 0.66(4) 0.65(4)
Net realized and unrealized gain
(loss) (0.37) 1.34 (1.49) 0.76 0.57 0.29
-------- ----- ----- ----- ---- ------
Total from investment operations (0.07) 1.95 (0.84) 1.36 1.23 0.94
-------- ----- ----- ----- ---- ------
Less distributions
Dividends from net investment income (0.30) (0.61) (0.65) (0.60) (0.66) (0.65)
Dividends from net realized gains -- (0.03) -- (0.28) (0.13) --
-------- ----- ----- ----- ---- ------
Total distributions (0.30) (0.64) (0.65) (0.88) (0.79) (0.65)
-------- ----- ----- ----- ---- ------
Change in net asset value (0.37) 1.31 (1.49) 0.48 0.44 0.29
-------- ----- ----- ----- ---- ------
Net asset value, end of period $11.03 $11.40 $10.09 $11.58 $11.10 $10.66
======== ===== ===== ===== ==== ======
Total return (1) -0.64% 19.87% -7.55% 12.79% 11.92% 9.32%
Ratios/supplemental data:
Net assets, end of period (thousands) $136,014 $147,821 $141,623 $171,272 $35,625 $27,093
Ratio to average net assets of:
Operating expenses 0.95%(2) 0.97% 0.96% 0.75% 0.78% 0.94%
Net investment income 5.36%(2) 5.65% 5.65% 5.33% 5.92% 6.17%
Portfolio turnover 13%(3) 25% 54% 62% 145% 99%
</TABLE>
<TABLE>
<CAPTION>
Class B
---------------------------------------
Six Months From
Ended Year Ended Inception
5/31/96 November 3/16/94 to
(Unaudited) 30, 1995 11/30/94
---------- ----------- ----------
<S> <C> <C> <C>
Net asset value, beginning of period $11.44 $10.12 $11.21
Income from investment operations
Net investment income 0.26 0.53 0.39
Net realized and unrealized gain
(loss) (0.37) 1.35 (1.09)
-------- --------- --------
Total from investment operations (0.11) 1.88 (0.70)
-------- --------- --------
Less distributions
Dividends from net investment income (0.26) (0.53) (0.39)
Dividends from net realized gains -- (0.03) --
-------- --------- --------
Total distributions (0.26) (0.56) (0.39)
-------- --------- --------
Change in net asset value (0.37) 1.32 (1.09)
-------- --------- --------
Net asset value, end of period $11.07 $11.44 $10.12
======== ========= ========
Total return (1) -1.01% 19.07% -6.42%(3)
Ratios/supplemental data:
Net assets, end of period (thousands) $4,356 $3,142 $1,147
Ratio to average net assets of:
Operating expenses 1.70%(2) 1.72% 1.54%(2)
Net investment income 4.63%(2) 4.90% 5.07%(2)
Portfolio turnover 13%(3) 25% 54%
</TABLE>
(1) Maximum sales charges are not reflected in the total return calculation.
(2) Annualized
(3) Not annualized
(4) Includes reimbursement of operating expenses by investment adviser of
$0.03, $0.04 and $0.02, respectively.
See Notes to Financial Statements 7
<PAGE>
PHOENIX MID CAP PORTFOLIO
Fund Description
Phoenix Mid Cap Portfolio invests primarily in common stocks of medium-size
companies with the potential to provide long-term appreciation of capital.
More specifically, at least 65% of the Fund's total assets will be invested
in stocks which generally range in market capitalization from $1 billion to
$10 billion.
Investment Environment
The stock market, despite rising interest rates and growing concerns about
corporate profitability, posted outstanding results aided by record mutual
fund inflows. The market's strength has been rotational rather than
broad-based, with nearly every sector showing strength at some point during
the reporting period. Equity investors reacted dramatically to conflicting
reports of economic activity, switching alliances from economically sensitive
stocks to financials and defensive issues and back again. Wall Street also
witnessed a major shift in market leadership as small- company stocks began
outperforming their large-cap counterparts. We believe this highly rotational
market suggests that investor uncertainty has increased and that a more
conservative stance is warranted.
Portfolio Review
Aided by a steadily rising stock market, Phoenix Mid Cap Portfolio posted
strong results over this reporting cycle. For the six months ended May 31,
1996, the Fund's Class A shares provided a total return of 10.06% and Class B
shares returned 9.68%. Nevertheless, the Fund lagged slightly behind the
broad market as measured by the Standard & Poor's Composite Stock Index (S&P
500). The S&P 500, an unmanaged but commonly used measure of stock market
performance, returned 11.81% for the period. All of these figures assume
reinvestment of any distributions but exclude the effect of sales charges.
Over this reporting period, the portfolio's exposure to the technology and
energy sectors contributed positively to performance, while our
underweighting in consumer staples hindered results.
Outlook
Looking ahead, the areas where we have identified greatest opportunity
include health care, energy, and technology themes. Within health care, our
21st Century Medicine theme focuses on leading companies offering compelling
solutions to health care needs (including Guidant and PhyCor). Energy
Technology identifies companies within the oil services sector that provide
productivity-enhancing solutions to exploration and production companies
(Reading & Bates and Louisiana Land and Exploration, among others).
Technology continues to offer areas of attractive growth, although
commitments are more selective than in 1995. Our emphasis continues to be on
our Hybrid Network theme (Cascade Communications and Security Dynamics
Technologies).
As we move further into 1996, we remain mindful that economic resurgence
can be an unsettling experience on Wall Street even as it is welcome on Main
Street. We continue to identify many themes that offer investment
opportunity, while balancing our view with the realization that all markets
take a pause. Higher interest rates may be a near- term catalyst for such a
pause. Thus, we expect to continue holding higher cash reserves to balance
portfolio risk and await a better opportunity to more fully invest.
8
<PAGE>
Mid Cap Portfolio
INVESTMENTS AT MAY 31, 1996
(Unaudited)
<TABLE>
<CAPTION>
SHARES VALUE
------ -------------
<S> <C> <C>
COMMON STOCKS--82.1%
Banks--2.3%
Citicorp 135,000 $ 11,340,000
-----------
Computer Software & Services--8.8%
America Online, Inc. (b) 100,000 5,650,000
HBO & Co. 20,000 2,497,500
Microsoft Corp. (b) 110,000 13,062,500
Netscape Communications Corp. (b) 82,000 5,581,125
Rational Software Corporation (b) 50,000 3,106,250
Remedy Corp. (b) 48,600 3,802,950
Shiva Corp. (b) 65,000 4,858,750
Sterling Commerce, Inc. (b) 130,000 5,703,750
-----------
44,262,825
-----------
Diversified Financial Services--1.1%
Associates First Capital Corporation 156,000 5,772,000
-----------
Electrical Equipment--2.9%
Raychem Corp. 195,000 14,576,250
-----------
Electronics--3.0%
Pairgain Technologies, Inc. (b) 50,000 5,087,500
Perkin Elmer Corp. 125,000 6,625,000
Teradyne, Inc. (b) 158,000 3,179,750
-----------
14,892,250
-----------
Entertainment, Leisure & Gaming--3.1%
Bally Entertainment Corp. 200,000 4,800,000
Harrah's Entertainment, Inc. 150,000 5,043,750
MGM Grand, Inc. (b) 125,000 5,687,500
-----------
15,531,250
-----------
Healthcare--Diversified--0.7%
Apria Healthcare Group (b) 120,000 3,510,000
-----------
Healthcare--Drugs--4.0%
Amgen, Inc. (b) 90,000 5,355,000
Biochem Pharmaceutical, Inc. (b) 160,800 7,396,800
Biogen, Inc. (b) 77,700 4,700,850
Watson Pharmaceuticals, Inc. (b) 60,000 2,700,000
-----------
20,152,650
-----------
Hospital Management & Services--2.0%
Oxford Health Plans, Inc. 99,000 4,677,750
PhyCor, Inc. (b) 100,000 5,425,000
-----------
10,102,750
-----------
Insurance--4.3%
Ace Ltd. 165,000 8,085,000
Cigna Corp. 80,000 9,190,000
Travelers/Aetna Property Casualty Corp. 165,000 4,496,250
-----------
21,771,250
-----------
Medical Products & Supplies--5.7%
Boston Scientific Corp. (b) 130,000 5,573,750
Guidant Corp. 165,000 9,570,000
IDEXX Laboratories, Inc. (b) 100,000 4,350,000
Omnicare, Inc. 75,000 4,181,250
U.S. Surgical Corp. 145,000 4,966,250
-----------
28,641,250
-----------
Metals & Mining--0.8%
RMI Titanium Company (b) 197,000 $ 3,964,625
-----------
Office & Business Equipment--1.8%
Storage Technology Corp. (b) 264,800 9,069,400
-----------
Oil--2.6%
Louisiana Land & Exploration Co. 240,000 12,930,000
-----------
Oil Service & Equipment--10.0%
BJ Services Co. (b) 195,000 6,581,250
Diamond Offshore Drilling (b) 140,000 6,702,500
ENSCO International, Inc. (b) 225,000 6,834,375
Noble Drilling Corporation (b) 375,000 5,015,625
Reading & Bates Corp. (b) 400,000 8,800,000
Sonat Offshore Drilling 85,500 4,531,500
Tidewater, Inc. 185,000 7,631,250
Weatherford Enterra, Inc. (b) 125,000 3,937,500
-----------
50,034,000
-----------
Professional Services--3.3%
Accustaff, Inc. (b) 105,000 3,307,500
Manpower, Inc. 150,000 5,775,000
Quintiles Transnational Corp. (b) 100,000 7,600,000
-----------
16,682,500
-----------
Publishing, Broadcasting, Printing &
Cable--3.0%
Evergreen Media Corp. Class A (b) 195,900 7,836,000
Tele-Communications TCI Group Class A 385,000 7,266,875
-----------
15,102,875
-----------
Retail--4.9%
Corporate Express (b) 125,000 5,250,000
Ross Stores, Inc. 120,000 4,710,000
Sunglass Hut International (b) 175,000 4,812,500
TJX Companies, Inc. 282,000 9,940,500
-----------
24,713,000
-----------
Retail--Drug--1.1%
Jones Medical Industries, Inc. 100,000 5,275,000
-----------
Telecommunications Equipment--14.0%
Ascend Communications, Inc. (b) 85,000 5,684,375
Brooks Fiber Properties, Inc. 100,000 3,375,000
Cascade Communications Corp. (b) 99,000 5,581,125
Cisco Systems, Inc. (b) 130,000 7,117,500
Intelcom Group, Inc. (b) 300,000 7,950,000
MFS Communications, Inc. (b) 360,000 12,510,000
Newbridge Networks Corp. (b) 208,000 14,794,000
Panamsat Corporation (b) 245,000 6,921,250
U.S. Robotics Corporation 72,200 6,624,350
-----------
70,557,600
-----------
Utility--Telephone--2.7%
LCI International, Inc. (b) 103,700 3,305,438
Winstar Communications, Inc. (b) 325,000 10,115,625
-----------
13,421,063
-----------
TOTAL COMMON STOCKS
(Identified cost $332,293,087) 412,302,538
-----------
</TABLE>
See Notes to Financial Statements 9
<PAGE>
<TABLE>
<CAPTION>
Mid Cap Portfolio
SHARES VALUE
------ -----------
<S> <C> <C>
FOREIGN COMMON STOCKS--3.7%
Entertainment, Leisure & Gaming--1.2%
Grupo Televisa SA GDS (Mexico) (b) 200,000 $ 6,150,000
---------
Healthcare--Drugs--1.2%
Elan PLC ADR (Ireland) (b) 95,000 5,961,250
---------
Telecommunications Equipment--1.3%
Korea Mobile Telecom Corp. (South
Korea) (b) 20,000 1,150,000
Millicom International Cellular
S.A. (Luxembourg) (b) 110,000 5,293,750
---------
6,443,750
---------
TOTAL FOREIGN COMMON STOCKS
(Identified cost $18,813,649) 18,555,000
---------
TOTAL LONG-TERM INVESTMENTS--85.8%
(Identified cost $351,106,736) 430,857,538
---------
</TABLE>
<TABLE>
<CAPTION>
STANDARD PAR
&POOR'S VALUE
RATING (000) VALUE
------ ----- -------------
<S> <C> <C> <C>
SHORT-TERM OBLIGATIONS--14.9%
Commercial Paper--7.7%
BellSouth Telecommunications,
Inc. 5.27%, 6-4-96 A-1+ $ 870 $ 869,618
Exxon Imperial U.S. Inc. 5.25%,
6-6-96 A-1+ 3,725 3,722,284
Albertson's, Inc. 5.29%,
6-10-96 A-1 5,000 4,993,387
Vermont American Corp. 5.25%,
6-10-96 A-1+ 2,500 2,496,719
First Deposit Funding Trust
5.33%, 6-12-96 A-1 3,505 3,499,292
Coca Cola Co. 5.27%, 6-14-96 A-1+ 4,000 3,992,388
Gannett 5.26%, 6-14-96 A-1 2,000 1,996,201
Receivables Capital Corp.
5.30%, 6-17-96 A-1 4,815 4,803,658
General Re Corp. 5.27%,
6-21-96 A-1+ 2,500 2,492,681
General Re Corp. 5.20%,
6-24-96 A-1+ 5,000 4,983,133
Kimberly-Clark Corp. 5.27%,
6-28-96 A-1+ 5,000 4,980,237
-----------
38,829,598
-----------
Federal Agency Securities--7.2%
Federal Home Loan Banks 5.25%, 6-3-96 7,465 7,462,823
Federal Home Loan Banks 5.35%, 6-3-96 4,990 4,988,517
Federal Home Loan Mortgage 5.30%, 6-3-96 20,000 19,994,111
Federal National Mortgage Assoc. 5.17%,
6-12-96 3,500 3,493,998
-----------
35,939,449
-----------
TOTAL SHORT-TERM OBLIGATIONS
(Identified cost $74,769,521) 74,769,047
-----------
TOTAL INVESTMENTS--100.7%
(Identified cost $425,876,257) 505,626,585(a)
Cash and receivables, less liabilities--(0.7%) (3,640,373)
-----------
NET ASSETS--100.0% $501,986,212
===========
</TABLE>
(a) Federal Income Tax Information: Net unrealized appreciation of investment
securities is comprised of gross appreciation of $82,156,360 and gross
depreciation of $2,580,843 for federal income tax purposes. At May 31,
1996, the aggregate cost of securities for federal income tax purposes
was $426,051,068.
(b) Non-income producing.
ADR--American Depository Receipt
10 See Notes to Financial Statements
<PAGE>
Mid Cap Portfolio
STATEMENT OF ASSETS AND LIABILITIES
MAY 31, 1996
(Unaudited)
<TABLE>
<CAPTION>
<S> <C>
Assets
Investment securities at value
(Identified cost $425,876,257) $505,626,585
Receivables
Investment securities sold 14,528,524
Fund shares sold 690,343
Dividends and interest 175,731
-------------
Total Assets 521,021,183
-------------
Liabilities
Payables
Investment securities purchased 17,175,254
Fund shares repurchased 1,221,286
Investment advisory fee 319,463
Transfer agent fee 145,706
Distribution fee 116,010
Financial agent fee 12,779
Trustees' fee 9,384
Accrued expenses 35,089
-------------
Total Liabilities 19,034,971
-------------
Net Assets $501,986,212
=============
Net Assets Consist of:
Capital paid in on shares of beneficial interest $398,590,080
Undistributed net investment loss (583,879)
Accumulated net realized gain 24,229,683
Net unrealized appreciation 79,750,328
-------------
Net Assets $501,986,212
=============
Class A
Shares of beneficial interest outstanding, $1 par
value, unlimited authorization (Net Assets
$486,685,384) 23,188,171
Net asset value per share $20.99
Offering price per share
$20.99/(1-4.75%) $22.04
Class B
Shares of beneficial interest outstanding, $1 par
value, unlimited authorization (Net Assets
$15,300,828) 738,513
Net asset value and offering price per share $20.72
</TABLE>
STATEMENT OF OPERATIONS
SIX MONTHS ENDED MAY 31, 1996
(Unaudited)
<TABLE>
<CAPTION>
<S> <C>
Investment Income
Dividends $ 1,250,383
Interest 1,520,933
-----------
Total investment income 2,771,316
-----------
Expenses
Investment advisory fee 1,843,576
Distribution fee--Class A 598,475
Distribution fee--Class B 64,200
Financial agent fee 73,743
Transfer agent 594,196
Printing 63,436
Registration 40,533
Custodian 31,500
Professional 23,880
Trustees 11,814
Miscellaneous 9,842
-----------
Total expenses 3,355,195
-----------
Net investment loss (583,879)
-----------
Net Realized and Unrealized Gain (Loss) on Investments
Net realized gain on securities 24,412,744
Net realized loss on foreign currency transactions (5,516)
Net change in unrealized appreciation (depreciation) on
investments 23,422,886
-----------
Net gain on investments 47,830,114
-----------
Net increase in net assets resulting from operations $47,246,235
===========
</TABLE>
See Notes to Financial Statements 11
<PAGE>
Mid Cap Portfolio
STATEMENT OF CHANGES IN NET ASSETS
<TABLE>
<CAPTION>
Six Months
Ended Year
May 31, 1996 Ended
(Unaudited) November 30, 1995
------------- ------------------
<S> <C> <C>
From Operations
Net investment income (loss) $ (583,879) $ 1,216,555
Net realized gain 24,407,228 66,738,232
Net change in unrealized appreciation (depreciation) 23,422,886 43,684,291
----------- ----------------
Increase in net assets resulting from operations 47,246,235 111,639,078
----------- ----------------
From Distributions to Shareholders
Net investment income--Class A -- (1,350,030)
Net investment income--Class B -- (5,608)
Net realized gains--Class A (63,372,476) (17,010,194)
Net realized gains--Class B (1,485,800) (73,125)
----------- ----------------
Decrease in net assets from distributions to shareholders (64,858,276) (18,438,957)
----------- ----------------
From Share Transactions
Class A
Proceeds from sales of shares (2,890,478 and 5,517,176 shares,
respectively) 56,207,166 105,808,213
Net asset value of shares issued from reinvestment of distributions
(3,203,933 and 999,234 shares, respectively) 59,432,948 17,312,320
Cost of shares repurchased (5,041,945 and 7,668,150 shares,
respectively) (99,193,173) (146,988,778)
----------- ----------------
Total 16,446,941 (23,868,245)
----------- ----------------
Class B
Proceeds from sales of shares (221,376 and 452,091 shares, respectively) 4,296,556 8,748,909
Net asset value of shares issued from reinvestment of distributions
(74,668 and 4,305, respectively) 1,371,654 74,521
Cost of shares repurchased (56,679 and 41,778 shares, respectively) (1,098,728) (853,309)
----------- ----------------
Total 4,569,482 7,970,121
----------- ----------------
Increase (decrease) in net assets from share transactions 21,016,423 (15,898,124)
----------- ----------------
Net increase in net assets 3,404,382 77,301,997
Net Assets
Beginning of period 498,581,830 421,279,833
----------- ----------------
End of period (including undistributed net investment loss of ($583,879)
and $0, respectively) $501,986,212 $ 498,581,830
=========== ================
</TABLE>
12 See Notes to Financial Statements
<PAGE>
Mid Cap Portfolio
FINANCIAL HIGHLIGHTS
(Selected data for a share outstanding throughout the indicated period)
<TABLE>
<CAPTION>
Class A
---------------------------------------------------------------------
Six
Months
Ended
5/31/96 Year Ended November 30,
(Unaudited) 1995 1994 1993 1992 1991
--------- -------- --------- ------- ------- ---------
<S> <C> <C> <C> <C> <C> <C>
Net asset value, beginning of period $22.03 $18.03 $18.70 $17.95 $16.61 $11.95
Income from investment operations (5)
Net investment income (loss) (0.02) 0.05
(1) (1) 0.11 0.11 0.15 0.19
Net realized and unrealized gain 1.86 4.74 0.10 1.44 2.41 4.64
------- ------ ------- ----- ----- -------
Total from investment operations 1.84 4.79 0.21 1.55 2.56 4.83
------- ------ ------- ----- ----- -------
Less distributions
Dividends from net investment income -- (0.06) (0.10) (0.13) (0.21) (0.17)
Dividends from net realized gains (2.88) (0.73) (0.78) (0.67) (1.01) --
------- ------ ------- ----- ----- -------
Total distributions (2.88) (0.79) (0.88) (0.80) (1.22) (0.17)
------- ------ ------- ----- ----- -------
Change in net asset value (1.04) 4.00 (0.67) 0.75 1.34 4.66
------- ------ ------- ----- ----- -------
Net asset value, end of period $20.99 $22.03 $18.03 $18.70 $17.95 $16.61
======= ====== ======= ===== ===== =======
Total return (2) 10.06% 27.87% 1.03% 8.94% 16.44% 40.78%
Ratios/supplemental data:
Net assets, end of period (thousands) $486,685 $487,674 $419,760 $426,027 $234,472 $119,870
Ratio to average net assets of:
Operating expenses 1.35%(3) 1.42% 1.36% 1.34% 1.40% 1.24%
Net investment income (loss) (0.22)%(3) 0.28% 0.59% 0.64% 0.93% 1.94%
Portfolio turnover 117%(4) 218% 227% 174% 287% 458%
Average commission rate paid (6) $0.0459 N/A N/A N/A N/A N/A
</TABLE>
<TABLE>
<CAPTION>
Class B
------------------------------------------
Six Months From
Ended Year Ended Inception
5/31/96 November 30, 7/18/94 to
(Unaudited) 1995 11/30/94
---------- ------------ ------------
<C> <C> <C>
Net asset value, beginning of period $21.85 $17.97 $17.68
Income from investment operations (5)
Net investment income (loss) (0.10)(1) (0.12)(1) (0.01)
Net realized and unrealized gain 1.85 4.75 0.30
------- ------ -------
Total from investment operations 1.75 4.63 0.29
------- ------ -------
Less distributions
Dividends from net investment income -- (0.02) --
Dividends from net realized gains (2.88) (0.73) --
------- ------ -------
Total distributions (2.88) (0.75) --
------- ------ -------
Change in net asset value (1.13) 3.88 0.29
------- ------ -------
Net asset value, end of period $20.72 $21.85 $17.97
======= ====== =======
Total return (2) 9.68% 26.92% 1.64%(4)
Ratios/supplemental data:
Net assets, end of period (thousands) $15,301 $10,908 $1,519
Ratio to average net assets of:
Operating expenses 2.10%(3) 2.05%(3)
Net investment income (loss) (0.98)%(3) (0.58)% (0.23)%(3)
Portfolio turnover 117 %(4) 218% 227%
Average commission rate paid (6) $0.0459 N/A N/A
</TABLE>
(1) Computed using average shares outstanding.
(2) Maximum sales charges are not reflected in the total return calculation.
(3) Annualized
(4) Not annualized
(5) Distributions are made in accordance with the prospectus; however, class
level per share income from investment operations may vary from
anticipated results depending on the time of share purchases and
redemptions.
(6) For fiscal years beginning on or after September 1, 1995, a fund is
required to disclose its average commission rate per share for securities
trades on which commissions are charged. This rate generally does not
reflect mark-ups, mark-downs, or spreads on shares traded on a principal
basis.
See Notes to Financial Statements 13
<PAGE>
PHOENIX INTERNATIONAL PORTFOLIO
Fund Description
The Fund generally invests in quality stocks with strong managements, solid
growth prospects, and attractive relative valuations. We believe that
earnings growth is the primary factor which drives stock prices and will
place emphasis on markets and stocks where relative earnings growth is
strongest. We will sell a stock that no longer looks attractive relative to
the growth and valuation of its market or peer group, that has surpassed the
top of its valuation range, or that sees a fundamental deterioration in its
business prospects. This disciplined approach allows the Fund to continually
emphasize securities that will provide stronger growth over the long-term.
World Markets
Most foreign stock markets performed well over the last six months, with a
number of countries outpacing what is still a strong U.S. market. Overall,
markets in Asia were very strong performers, but results varied widely by
country. Hong Kong, Indonesia, Malaysia, Taiwan and the Philippines posted
stellar returns, albeit for different reasons. In Asia, the major concern was
that economic growth was too fast versus too slow. However, upward pressure
on interest rates was modest and markets performed well, aided by high
corporate earnings growth.
Latin American markets also provided big gains during this reporting
cycle, helped by improving investor sentiment and falling interest rates.
Although economic growth is barely positive in the large economies of Mexico,
Brazil, and Argentina, inflation has remained well under control.
Additionally, capital inflows have once again resumed, allowing interest
rates and risk premiums to fall in a number of these countries.
In Europe, economic growth has been disappointing. Fortunately, continued
reductions in short-term interest rates throughout the region, as well as
declining long-term rates in the peripheral European countries of Spain,
Italy and Scandinavia, have supported market performance. Over the last six
months, the Morgan Stanley Capital International Europe Index earned 8.8%.
Lastly, the economic outlook in Japan has continued to improve at a slow,
but steady pace. Earnings forecasts were generally revised upward throughout
the first quarter and the continued weakness of the yen boosted both investor
sentiment and economic growth. Despite several political and policy setbacks,
the Japanese stock market, as measured by the Morgan Stanley Capital
International Index, gained 5.8% over this reporting period.
Portfolio Review
For the six months ended May 31, 1996, the Fund's Class A shares provided a
total return of 13.52% and Class B shares returned 13.09%. As measured by the
Morgan Stanley Capital International EAFE Index, the market gained 8.28% for
the same period.* All of these figures assume reinvestment of any
distributions, but exclude the effect of sales charges.
A number of factors contributed to the Fund's outstanding performance
during this reporting cycle, including our strong stock selection in Europe
and the portfolio's overweighted positions in Asia and Latin America. Also
boosting results were the Fund's underweighting in Japan and its currency
hedges against the Japanese yen and several European currencies.
Outlook
We expect most foreign markets will continue to perform well in 1996. The
developed economies of Europe and Japan are growing below trend, employment
growth is less than robust and there is little inflationary pressure. Given
this environment, we believe that over the long-term, growth stocks will
provide the most attractive investment opportunities. Our stock selection
will continue to focus on a number of compelling investment themes including
Corporate Restructuring/Creating Shareholder Value, Move to
Outsourcing/Growth in Services, Deregulating Telecommunications, and the Rise
of the Global Consumer. In terms of geographical exposure, the portfolio will
remain overweighted in Asia, Latin America, and to a lesser degree, Europe.
Although the portfolio is currently underweighted in Japan, we will consider
increasing our exposure to this country if economic growth continues to
accelerate. Overall, we believe the Fund is well positioned for the remainder
of the year.
*The Morgan Stanley Capital International EAFE Index is an unmanaged,
commonly used measure of foreign stock performance. This Index is an
aggregate of 15 individual country indices in Europe, Australia and the Far
East.
14
<PAGE>
International Portfolio
INVESTMENTS AT MAY 31, 1996
(Unaudited)
<TABLE>
<CAPTION>
SHARES VALUE
-------- -------------
<S> <C> <C>
PREFERRED STOCKS--0.5%
Germany--0.5%
Wella AG Preferred (Cosmetics & Soaps) 1,250 $ 673,530
-----------
TOTAL PREFERRED STOCKS
(Identified cost $736,211) 673,530
-----------
COMMON STOCKS--90.1%
Australia--1.0%
Australia & New Zealand Banking Group (Banks) 306,483 1,409,567
-----------
Belgium--0.2%
Barco Industries NV (Electronics) 1,800 278,156
-----------
Brazil--1.6%
Telebras Sponsored ADR (Utility--Telephone) (b) 36,000 2,317,500
-----------
Denmark--1.0%
Sophus Berendsen A/S-Ord "B" (Conglomerates) 11,000 1,462,915
-----------
Finland--1.0%
Finnair OY (Airlines) 69,000 551,123
UPM-Kymmene Corp. (Paper & Forest Products) (b) 46,000 884,915
-----------
1,436,038
-----------
France--4.8%
Carrefour Supermarche (Retail-Food) (b) 1,300 710,712
Christian Dior SA (Conglomerate) 12,700 1,790,978
Rexel SA (Electrical Equipment) 7,750 1,899,884
SGS-Thomson Microelectronics NV (Electrical
Equipment) (b) 2,900 123,249
SGS-Thomson Microelectronics ADR (Electrical
Equipment) (b) 38,700 1,625,400
Usinor Sacilor (Metals-Steel) 57,000 913,938
-----------
7,064,161
-----------
Germany--6.3%
Adidas AG (Textile & Apparel) (b) 27,500 2,062,410
Degussa AG (Conglomerates) 3,950 1,356,406
Hoechst AG (Chemicals) 5,900 1,961,516
Mannesmann AG (Conglomerates) 4,300 1,490,107
SGL Carbon AG (Chemicals) (b) 21,600 2,290,952
-----------
9,161,391
-----------
Hong Kong--6.6%
Cheung Kong Holdings Ltd. (Real Estate) 220,000 1,627,787
Dao Heng Bank Group Ltd. (Banks) 208,000 779,580
First Pacific Co. HKD (Conglomerates) 1,120,000 1,541,583
Guoco Group Ltd. (Diversified Financial
Services) 266,000 1,296,052
Henderson China Holding Ltd. (Real Estate) (b) 780 1,860
Henderson Land Development Co. Ltd. (Real
Estate) 78,000 589,725
HSBC Holdings PLC (Banks) 44,594 674,313
Hong Kong--continued
Hutchison Whampoa Ltd. (Conglomerates) 290,000 $ 1,862,746
New World Development Co. (Real Estate) 192,000 910,682
Shanghai Industrial Holdings Ltd.
(Conglomerates) (b) 322,000 391,186
-----------
9,675,514
-----------
Indonesia--1.0%
PT Semen Gresik (Building & Materials) 200,000 662,379
Wicaksana Overseas International (Wholesale &
Distribution) 260,000 749,625
-----------
1,412,004
-----------
Italy--5.1%
Fila Holding SPA ADR (Textile & Apparel) 19,000 1,645,875
Gucci Group NV (Textile & Apparel) 19,600 1,316,820
Gucci Group NV-NY (Textile & Apparel) (b) 16,000 1,072,000
Mediolanum SPA (Insurance) (b) 55,000 426,370
Parmalat Finanziaria SPA (Food) 1,425,000 1,785,910
Telecom Italia Mobile-DRNC
(Utility-Telephone Cellular) 882,000 1,213,644
Telecom Italia Mobile SPA
(Utility-Telephone Cellular) 20,500 43,703
-----------
7,504,322
-----------
Japan--21.5%
The Bank of Tokyo-Mitsubishi (Banks) 43,050 1,019,501
Circle K Japan Co. Ltd. (Retail-Food) 45,600 2,041,665
DDI Corporation (Utility-Telephone Cellular) 200 1,731,730
Jusco Co. (Retail-Food) 61,000 1,805,735
Keyence Corp. Ltd. (Electronics) 12,000 1,576,318
Mitsubishi Estate Co. Ltd. (Real Estate) 104,000 1,452,729
Mitsubishi Heavy Industries Ltd. (Machinery) 155,000 1,332,054
Nippon Television Network (Publishing,
Broadcasting, Printing & Cable) 5,000 1,415,356
NKK Corp. (Metals & Mining) (b) 628,000 1,835,782
OSG Corp. (Machinery) 180,000 1,448,659
Ricoh Corp. Ltd. (Office & Business Equipment)
(b) 168,000 1,693,987
Rohm Co. (Electronics) 28,000 1,750,971
SMC Corporation (Machinery) 24,000 1,898,242
Sony Corp. (Conglomerates) 29,000 1,843,016
Sumitomo Marine & Fire (Insurance) 160,000 1,447,549
Taisho Pharmaceutical (Health Care- Drugs) 59,000 1,315,356
Toshiba Corp. (Electronics) 225,000 1,563,136
Toyoda Machine Works (Machinery) 149,000 1,654,024
Toyota Motor Corp. (Autos & Trucks) 63,000 1,439,500
Yokogawa Electric (Electronics) 128,000 1,302,498
-----------
31,567,808
-----------
See Notes to Financial Statements 15
<PAGE>
International Portfolio
SHARES VALUE
-------- -------------
Mexico--2.0%
Grupo Televisa SA GDR (Publishing, Broadcasting,
Printing & Cable) (b) 71,500 $ 2,198,625
Panamerican Beverages, Inc. (Beverages) 17,500 735,000
-----------
2,933,625
-----------
Netherlands--5.9%
Ahrend Groep NV (Office & Business Equipment) 36,079 1,601,919
Heineken NV (Beverages) 6,400 1,448,104
IHC Caland (Oil Service & Equipment) 37,400 1,721,750
Oce-Van der Grinten NV-Venlo (Office & Business
Equipment) 12,600 1,229,304
Randstad Holdings NV (Professional Services) 13,000 942,513
VNU Verenigd Bezit (Publishing, Broadcasting,
Printing & Cable) 106,700 1,745,400
-----------
8,688,990
-----------
Peru--0.9%
CPT B Pen (Utility-Telephone) 693,541 1,371,587
-----------
Portugal--0.8%
Portugal Telecom S.A. (Utility- Telephone) 48,300 1,163,992
-----------
South Korea--4.9%
Daegu Bank (Banks) 75,060 1,258,192
Hana Bank (Banks) 52,020 1,029,903
Korea First Bank (Banks) (b) 205,000 1,821,182
Korea Mobile Telecommunications
(Utility-Telephone Cellular) 2,090 2,919,157
Samsung Electronics-GDR (Electronics) 147 7,791
Samsung Electronics-GDR 144A (Electronics) (c) 488 26,352
Shinhan Bank (Banks) 5,720 132,410
-----------
7,194,987
-----------
Spain--1.1%
Telefonica de Espana Ord. (Utility- Telephone) 90,000 1,612,565
-----------
Sweden--3.8%
Astra AB Series A (Health Care-Drugs) 24,550 1,121,746
Frontec AB (Computer Software & Services) (b) 22,600 1,108,205
Skandia Forsakrings AB (Insurance) 60,000 1,529,020
Svedala Industri AB (Machinery) 96,000 1,840,174
-----------
5,599,145
-----------
Switzerland--4.3%
ABB AG-Reg (Electrical Machinery) 4,800 1,138,476
Roche Holding AG Genussshein (Health
Care-Diversified) 130 996,646
Sandoz AG (Health Care-Diversified) 2,680 2,778,023
Swiss Reinsurance-Reg. (Insurance) (b) 1,460 1,408,465
-----------
6,321,610
-----------
Taiwan--2.4%
China Bills Finance Corp. (Commercial Finance) 162,000 $ 179,109
Evergreen Marine (Transportation) 154,560 254,091
Fuh Hwa Securities Finance (Broker- Dealers) 195,000 387,506
Taiwan Semiconductor (Electronics) (b) 335,200 684,279
Ton Yi Industrial Corp. (Building & Materials)
(b) 750,000 989,089
Yang Ming Marine Transport (Transportation) 760,000 1,007,768
-----------
3,501,842
-----------
Thailand--1.0%
General Finance & Securities Co. PLC
(Broker-Dealers) 110,000 421,423
Krung Thai Bank Public Co. Ltd. (Banks) 110,000 560,449
Land & House Public Co. Ltd. (Real Estate) 35,000 552,944
-----------
1,534,816
-----------
United Kingdom--12.4%
Astec (BSR) PLC (Electronics) 437,000 1,015,649
British Aerospace Ord. (Aerospace & Defense) 171,000 2,355,423
British Airways PLC (Airlines) 264,000 2,292,718
Carlton Communications PLC (Publishing,
Broadcasting, Printing & Cable) 46,800 350,964
Granada Group PLC (Entertainment, Leisure &
Gaming) 132,000 1,683,235
Hays PLC (Professional Services) 232,000 1,599,628
Next PLC (Retail) 62,000 540,843
Shell Transport & Trading Co. PLC (Oil) 153,000 2,176,232
Standard Chartered PLC (Diversified Financial
Services) 252,000 2,506,725
Vodafone Group PLC (Utility-Telephone Cellular) 380,000 1,504,338
WPP Group (Advertising) 695,000 2,132,166
-----------
18,157,921
-----------
United States--0.5%
Latin American Discovery Fund, Inc.
(Multi-Industry) 62,400 787,800
-----------
TOTAL COMMON STOCKS
(Identified cost $115,090,068) 132,158,256
-----------
RIGHTS--0.2%
France
Carrefour Supermarche-Rights (Retail- Food) (b) 1,300 356,612
-----------
TOTAL RIGHTS
(Identified cost $219,132) 356,612
-----------
TOTAL LONG-TERM INVESTMENTS--90.8%
(Identified cost $116,045,411) 133,188,398
-----------
</TABLE>
16 See Notes to Financial Statements
<PAGE>
International Portfolio
<TABLE>
<CAPTION>
STANDARD PAR
&POOR'S VALUE
RATING (000) VALUE
------ ----- -------------
<S> <C> <C> <C>
SHORT-TERM OBLIGATIONS--7.9%
Commercial Paper--3.5%
Allied Signal, Inc.
5.275%, 6-19-96 A-1 $1,475 $ 1,471,110
Ameritech Capital Funding
Corp. 5.26%, 6-21-96 A-1+ 1,250 1,246,347
General Re Corp. 5.27%,
6-21-96 A-1+ 2,500 2,492,680
-----------
5,210,137
-----------
Federal Agency Securities--4.4%
Federal Home Loan Mortgage 5.30%,
6-3-96 6,440 6,438,104
-----------
TOTAL SHORT-TERM OBLIGATIONS
(Identified cost $11,648,241) 11,648,241
-----------
TOTAL INVESTMENTS--98.7%
(Identified cost $127,693,652) 144,836,639(a)
Cash and receivables, less liabilities--1.3% 1,947,882
-----------
NET ASSETS--100.0% $146,784,521
===========
</TABLE>
(a) Federal Income Tax Information: Net unrealized appreciation of investment
securities is comprised of gross appreciation of $18,890,611 and gross
depreciation of $1,747,624 for federal income tax purposes. At May 31,
1996, the aggregate cost of securities for federal income tax purposes
was $127,693,652.
(b) Non-income producing.
(c) Security exempt from registration under Rule 144A of the Securities Act
of 1933. These securities may be resold in transactions exempt from
registration, normally to qualified institutional buyers. At May 31, 1996
these securities amounted to a value of $26,352 or 0.02% of net assets.
ADR--American Depository Receipt.
See Notes to Financial Statements 17
<PAGE>
INDUSTRY DIVERSIFICATION
As a Percentage of Total Value of Long Term
Investments
(Unaudited)
Advertising 1.6%
Aerospace & Defense 1.8
Airlines 2.1
Auto & Truck 1.1
Banks 6.5
Beverages 1.6
Broker-Dealers 0.6
Building & Materials 1.2
Chemicals 3.2
Commercial Finance 0.1
Computer Software & Services 0.8
Conglomerates 8.8
Cosmetics & Soaps 0.5
Diversified Financial Services 2.9
Electrical Equipment 2.7
Electrical Machinery 0.9
Electronics 6.2
Entertainment, Leisure & Gaming 1.3
Food 1.3
Health Care-Diversified 2.8
Health Care-Drugs 1.8
Insurance 3.6
Machinery 6.1
Metals & Mining 1.4
Metals-Steel 0.7
Multi-Industry 0.6
Office & Business Equipment 3.4
Oil 1.6
Oil Service & Equipment 1.3
Paper & Forest Products 0.7
Professional Services 1.9
Publishing, Broadcasting, Printing & Cable 4.3
Real Estate 3.9
Retail 0.4
Retail-Food 3.7
Textile & Apparel 4.6
Transportation 0.9
Utility-Telephone 4.9
Utility-Telephone Cellular 5.6
Wholesale & Distribution 0.6
----
100.0%
====
18 See Notes to Financial Statements
<PAGE>
International Portfolio
STATEMENT OF ASSETS AND LIABILITIES
MAY 31, 1996
(Unaudited)
<TABLE>
<CAPTION>
<S> <C>
Assets
Investment securities at value
(Identified cost $127,693,652) $144,836,639
Foreign currency at value
(Identified cost $1,955,403) 1,925,947
Cash 4,317
Receivables
Investment securities sold 2,739,290
Dividends and interest 343,829
Fund shares sold 217,878
Closed foreign currency contracts 190,726
Tax reclaim 91,885
Net unrealized appreciation on forward currency contracts 388,990
-------------
Total assets 150,739,501
-------------
Liabilities
Payables
Investment securities purchased 1,221,158
Fund shares repurchased 2,415,704
Transfer agent fee 113,880
Investment advisory fee 93,720
Distribution fee 34,500
Trustees' fee 9,354
Financial agent fee 3,749
Accrued expenses 62,915
-------------
Total liabilities 3,954,980
-------------
Net Assets $146,784,521
=============
Net Assets Consist of:
Capital paid in on shares of beneficial interest $119,257,165
Undistributed net investment income 16,629
Accumulated net realized gain 10,302,310
Net unrealized appreciation 17,208,417
-------------
Net Assets $146,784,521
=============
Class A
Shares of beneficial interest outstanding, $1 par value,
unlimited authorization (Net Assets $141,517,786) 10,248,588
Net asset value per share $13.81
Offering price per share
$13.81/(1-4.75%) $14.50
Class B
Shares of beneficial interest outstanding, $1 par value,
unlimited authorization (Net Assets $5,266,735) 386,881
Net asset value and offering price per share $13.61
</TABLE>
STATEMENT OF OPERATIONS
SIX MONTHS ENDED MAY 31, 1996
(Unaudited)
<TABLE>
<CAPTION>
<S> <C>
Investment income
Dividends $ 1,322,843
Interest 304,113
Foreign taxes withheld (175,662)
---------
Total investment income 1,451,294
---------
Expenses
Investment advisory fee 527,576
Distribution fee--Class A 170,722
Distribution fee--Class B 20,545
Financial agent fee 21,103
Transfer agent 226,553
Custodian 95,690
Professional 22,904
Registration 20,478
Printing 14,071
Trustees 11,784
Miscellaneous 7,278
---------
Total expenses 1,138,704
---------
Net investment income 312,590
---------
Net Realized and Unrealized Gain (Loss) on Investments
Net realized gain on securities 8,236,384
Net realized gain on foreign currency transactions 2,072,374
Net change in unrealized appreciation (depreciation)
on investments 7,010,629
Net change in unrealized appreciation (depreciation)
on foreign currency and foreign currency
transactions 293,571
---------
Net gain on investments 17,612,958
---------
Net increase in net assets resulting from operations $17,925,548
=========
</TABLE>
See Notes to Financial Statements 19
<PAGE>
International Portfolio
STATEMENT OF CHANGES IN NET ASSETS
<TABLE>
<CAPTION>
Six Months Year
Ended Ended
May 31, 1996 November 30,
(Unaudited) 1995
------------- ----------------
<S> <C> <C>
From Operations
Net investment income $ 312,590 $ 313,901
Net realized gain 10,308,758 202,864
Net change in unrealized appreciation (depreciation) 7,304,200 4,460,307
----------- --------------
Increase in net assets resulting from operations 17,925,548 4,977,072
----------- --------------
From Distributions to Shareholders
Net realized gains--Class A (365,805) (11,650,763)
Net realized gains--Class B (9,318) (157,020)
----------- --------------
Decrease in net assets from distributions to shareholders (375,123) (11,807,783)
----------- --------------
From Share Transactions
Class A
Proceeds from sales of shares (3,694,956 and 3,960,774 shares,
respectively) 48,665,505 46,334,510
Net asset value of shares issued from reinvestment of distributions
(27,365 and 967,317 shares, respectively) 332,490 10,969,371
Cost of shares repurchased (4,078,467 and 7,623,764 shares, respectively) (53,895,328) (89,077,200)
----------- --------------
Total (4,897,333) (31,773,319)
----------- --------------
Class B
Proceeds from sales of shares (172,820 and 171,608 shares, respectively) 2,240,460 2,007,010
Net asset value of shares issued from reinvestment of distributions (673
and 10,925 shares, respectively) 8,087 123,448
Cost of shares repurchased (56,839 and 70,364 shares, respectively) (730,626) (821,816)
----------- --------------
Total 1,517,921 1,308,642
----------- --------------
Decrease in net assets from share transactions (3,379,412) (30,464,677)
----------- --------------
Net increase (decrease) in net assets 14,171,013 (37,295,388)
Net Assets
Beginning of period 132,613,508 169,908,896
----------- --------------
End of period (including undistributed net investment income and
distributions in excess of net investment income of $16,629 and
($295,961), respectively) $146,784,521 $132,613,508
=========== ==============
</TABLE>
20 See Notes to Financial Statements
<PAGE>
International Portfolio
FINANCIAL HIGHLIGHTS
(Selected data for a share outstanding throughout the indicated period)
<TABLE>
<CAPTION>
Class A
----------------------------------------------------------------
Six
Months
Ended Year Ended November 30,
5/31/96
(Unaudited) 1995 1994 1993 1992 1991
-------- -------- -------- ------ ------ ------
<S> <C> <C> <C> <C> <C> <C>
Net asset value, beginning of period $12.20 $12.63 $11.16 $8.96 $10.90 $10.27
Income from investment operations (5)
Net investment income (loss) 0.03 0.03(1) (0.01) -- 0.11 0.15
Net realized and unrealized gain (loss) 1.62 0.42 1.48 2.20 (1.10) 0.69
------ ------ ------ ---- ---- ------
Total from investment operations 1.65 0.45 1.47 2.20 (0.99) 0.84
------ ------ ------ ---- ---- ------
Less distributions
Dividends from net investment income -- -- -- -- (0.12) (0.21)
Dividends from net realized gains (0.04) (0.88) -- -- (0.64) --
Distribution in excess of accumulated
net investment income -- -- -- -- (0.19) --
------ ------ ------ ---- ---- ------
Total distributions (0.04) (0.88) -- -- (0.95) (0.21)
------ ------ ------ ---- ---- ------
Change in net asset value 1.61 (0.43) 1.47 2.20 (1.94) 0.63
------ ------ ------ ---- ---- ------
Net asset value, end of period $13.81 $12.20 $12.63 $11.16 $8.96 $10.90
====== ====== ====== ==== ==== ======
Total return (2) 13.52% 4.12% 13.17% 24.55% -9.91% 8.26%
Ratios/supplemental data:
Net assets, end of period (thousands) $141,518 $129,352 $167,918 $91,196 $26,188 $21,427
Ratio to average net assets of:
Operating expenses 1.60%(3) 1.70% 1.47% 1.78% 1.97% 2.09%
Net investment income (loss) 0.46%(3) 0.23% 0.20% (0.04)% 0.85% 1.29%
Portfolio turnover 82%(4) 236% 186% 191% 82% 128%
Average commission rate paid (6) $0.0219 N/A N/A N/A N/A N/A
</TABLE>
<TABLE>
<CAPTION>
Class B
--------------------------------------------
Six Months From
Ended Year Ended Inception
5/31/96 November 30, 7/15/94 to
(Unaudited) 1995 11/30/94
------------- ------------ ------------
<S> <C> <C> <C>
Net asset value, beginning of period $12.07 $12.60 $12.80
Income from investment operations (5)
Net investment income (loss) (0.01) (1) (0.07) (1) (0.01)
Net realized and unrealized gain (loss) 1.59 0.42 (0.19)
----------- ---------- ----------
Total from investment operations 1.58 0.35 (0.20)
----------- ---------- ----------
Less distributions
Dividends from net investment income -- -- --
Dividends from net realized gains (0.04) (0.88) --
Distribution in excess of accumulated
net investment income -- -- --
----------- ---------- ----------
Total distributions (0.04) (0.88) --
----------- ---------- ----------
Change in net asset value 1.54 (0.53) (0.20)
----------- ---------- ----------
Net asset value, end of period $13.61 $12.07 $12.60
=========== ========== ==========
Total return (2) 13.09% 3.28% -1.56% (4)
Ratios/supplemental data:
Net assets, end of period (thousands) $5,267 $3,261 $1,991
Ratio to average net assets of:
Operating expenses 2.34% (3) 2.50% 1.93% (3)
Net investment income (loss) (0.20%) (3) (0.61%) 0.36% (3)
Portfolio turnover 82% (4) 236% 186%
Average commission rate paid (6) $0.0219 N/A N/A
</TABLE>
(1) Computed using average shares outstanding. (2) Maximum sales charges are
not reflected in the total return calculation. (3) Annualized (4) Not
annualized
(5) Distributions are made in accordance with the prospectus; however, class
level per share income from investment operations may vary from
anticipated results depending on the time of share purchases and
redemptions.
(6) For fiscal years beginning on or after September 1, 1995, a fund is
required to disclose its average commission rate per share for securities
trades on which commissions are charged. This rate generally does not
reflect mark-ups, mark-downs, or spreads on shares traded on a principal
basis.
See Notes to Financial Statements 21
<PAGE>
PHOENIX REAL ESTATE SECURITIES PORTFOLIO
Fund Description
Phoenix Real Estate Securities Portfolio invests in marketable securities of
publicly traded real estate investment trusts (REITs) and companies that
operate, develop, manage and/or invest in real estate primarily in the United
States.
Investment Environment
Trends in the U.S. real estate market continue to be positive. Stable
economic growth is generating substantial levels of demand. Most markets and
property types enjoy high occupancy rates, rising rents and ample buyers and
sellers for most product. Even the hotel industry is enjoying renewed
attention as institutional investors resume debt and equity financing. Most
significantly, new supply remains constrained. With the exception of a
handful of apartment markets in the south, new construction is insufficient
to satisfy demand. Institutions and public real estate companies have been
particularly vigilant for warning signs of overdevelopment.
The real estate securities market continues to expand at a robust pace. As
of May 31, 1996, total equity REIT market capitalization was $54.9 billion,
up from $49.6 billion at the end of 1995. Continuing a trend from last year,
growth is driven predominantly by secondary equity offerings. During the
first five months of this year, 28 secondary offerings totaling $2.6 billion
in new equity capital were issued. In contrast, no equity REIT initial public
offerings (IPOs) were completed during this period. High-quality REITs are
taking advantage of this access to capital to fund portfolio growth. The
average REIT now has an equity market capitalization in excess of $300
million.
Recent industry announcements reveal a large number of major pension funds
are considering new or increased allocations to equity real estate
securities. One recent survey of leading real estate managers found a 109%
increase in institutional REIT allocations during a 15 month period ending
March 31, 1996. We view this trend as positive because these institutions are
experienced real estate investors with conservative, long-term strategies. As
these institutions constitute a greater percentage of shareholders, we
believe the REIT market's stability will be enhanced.
Portfolio Review
Phoenix Real Estate Securities Portfolio performed well during this
reporting period. For the six-month period ended May 31, 1996, the Fund
posted a total return of 11.61% for Class A shares and 11.20% for Class B
shares. The NAREIT Equity Index* recorded a total return of 11.19% for the
same period. All these figures assume reinvestment of any distributions, but
exclude the effect of sales charges.
Since the Fund's inception, one of our primary strategies has been to
concentrate holdings in the sectors with the best prospects for growth,
notably the office and hotel sectors. The portfolio is overweighted as well
in the apartment sector, which we feel offers more stable earnings growth and
reduced risk. Since inception, the Fund has also maintained an underweighted
allocation to retail due to weak real estate fundamentals and the shaky
financial condition of some major retailers. While this strategy generated
superior returns for most of 1995, a strong rebound in retail REIT
stocks--particularly regional mall REITs--during 1996 has been a surprise.
The recent improvement in the regional mall REIT performance can be
attributed to enthusiasm for the proposed merger of Debartolo and Simon,
improving apparel sales for many mall tenants, and a growing perception that
recent share prices offer a significant discount to the underlying value of
the real estate. We continue to believe that the broad retail industry has
some supply/demand issues to resolve, but the opportunity to buy these fine
companies at such a discount to underlying property values is attractive.
During the first quarter of 1996, the Fund increased its target allocation in
the regional mall sector to take advantage of some undervalued and
higher-yielding companies.
Outlook
Although overshadowed by broad strength in the equity markets, REITs have
posted attractive returns during the past six months. From December 1, 1995
through May 31, 1996, the NAREIT Equity Index posted a total return of
11.19%. Additionally, REITs appear conservatively valued relative to
alternative investments. Comparing the current yield of equity REITs to
stocks and bonds as of May 31, 1996, reveals a 525 basis point premium over
the Standard & Poor's 500 Composite Stock Index and a 55 basis point premium
over 10-year treasury bonds. Although the premium over the bond yield is down
since the beginning of the year, both of these spreads remain high relative
to historic levels.
In addition to this current yield premium, we believe that improving
fundamentals in the real estate industry point to continued earnings growth
for REITs. The strongest improvement should be concentrated in the office and
hotel sectors, where rapidly increasing occupancy rates and rental rates are
driving property cash flow growth. Additionally, these companies currently
have excellent investment opportunities, and can expand their portfolios
through accretive property purchases.
*The National Association of Real Estate Investment Trusts (NAREIT) Equity
Index is a commonly used, unmanaged indicator of equity REIT performance.
22
<PAGE>
Real Estate Securities Portfolio
INVESTMENTS AT MAY 31, 1996
(Unaudited)
<TABLE>
<CAPTION>
SHARES VALUE
----- ------------
<S> <C> <C>
COMMON STOCKS--99.4%
REAL ESTATE INVESTMENT TRUSTS--96.5%
COMMERCIAL--22.7%
Office/Industrial--16.5%
Beacon Properties Corp. 8,900 $ 224,725
Duke Realty Investments, Inc. 18,000 542,250
Highwoods Properties, Inc. 26,300 772,563
Security Capital Industrial Trust 42,000 724,500
Spieker Properties, Inc. 30,900 849,750
Weeks Corporation 21,400 551,050
----------
3,664,838
----------
Storage--6.2%
Shurgard Storage Centers, Inc. 22,200 543,900
Storage USA, Inc. 24,700 830,538
----------
1,374,438
----------
TOTAL COMMERCIAL 5,039,276
----------
HEALTH CARE--8.1%
Health Care Properties Inv., Inc. 27,300 894,075
Nationwide Health Properties, Inc. 41,900 911,325
----------
1,805,400
----------
RESIDENTIAL--33.2%
Apartments--29.1%
Avalon Properties, Inc. 21,000 448,875
Bay Apartments Community, Inc. 26,200 671,375
Camden Property Trust 13,500 312,187
Equity Residential Properties Trust 25,700 796,700
Evans Withycombe Residential, Inc. 30,500 632,875
Irvine Apartment Communities, Inc. 27,700 560,925
Merry Land & Investment Co. 33,800 739,375
Oasis Residential, Inc. 25,800 548,250
Post Properties, Inc. 19,800 663,300
Security Capital Pacific Trust 20,800 462,800
United Dominion Realty Trust 44,700 653,737
----------
6,490,399
----------
Manufactured Homes--4.1%
Chateau Properties, Inc. 4,900 113,925
Manufactured Home Communities 17,800 333,750
Sun Communities, Inc. 17,200 460,100
----------
907,775
----------
TOTAL RESIDENTIAL 7,398,174
----------
RETAIL--32.5%
Community/Neighborhood--11.6%
Developers Diversified Realty Corp. 17,500 546,875
Federal Realty Investment Trust 19,600 423,850
Kimco Realty Corp. 16,250 444,844
Regency Realty Corp. 12,000 226,500
Vornado Realty Trust 14,200 546,700
Weingarten Realty Investors 10,400 386,100
----------
2,574,869
----------
Factory Outlets--3.3%
Chelsea G.C.A. Realty, Inc. 24,700 $ 728,650
----------
Hotels--7.2%
FelCor Suite Hotels, Inc. 21,800 673,075
Patriot American Hospitality 23,000 652,625
Starwood Lodging Trust 7,400 281,200
----------
1,606,900
----------
Regional Malls--10.4%
DeBartolo Realty Corp. 28,300 459,875
J.P. Realty, Inc. 23,900 495,925
Simon Property Group, Inc. 27,800 674,150
Taubman Centers, Inc. 64,900 681,450
----------
2,311,400
----------
TOTAL RETAIL 7,221,819
----------
TOTAL REAL ESTATE INVESTMENT TRUSTS
(Identified cost $19,815,956) 21,464,669
----------
REAL ESTATE OPERATING COMPANIES--2.9%
Hotels--1.6%
Host Marriott Corp. (b) 19,900 261,188
Red Roof Inns, Inc. (b) 7,400 109,150
----------
370,338
----------
Regional Malls--1.3%
Rouse Company 11,400 285,000
----------
TOTAL REAL ESTATE OPERATING COMPANIES
(Identified cost $605,198) 655,338
----------
TOTAL COMMON STOCKS
(Identified cost $20,421,154) 22,120,007
----------
</TABLE>
<TABLE>
<CAPTION>
STANDARD PAR
& POOR'S VALUE
RATING (000)
---------- -------- --------------
<S> <C> <C> <C>
SHORT-TERM OBLIGATIONS--0.9%
Commercial Paper--0.9%
American Telephone &
Telegraph Co. 5.30%,
6-10-96 A-1+ $ 190 189,748
------------
TOTAL SHORT-TERM OBLIGATIONS
(Identified cost $189,748) 189,748
------------
TOTAL INVESTMENTS--100.3%
(Identified cost $20,610,902) 22,309,755(a)
Cash and receivables, less liabilities--(0.3%) (55,834)
------------
NET ASSETS--100.0% $22,253,921
============
</TABLE>
(a) Federal Income Tax Information: Net unrealized appreciation of investment
securities is comprised of gross appreciation of $1,793,989 and gross
depreciation of $98,489 for federal income tax purposes. At May 31, 1996
the aggregate cost of securities for federal income tax purposes was
$20,614,255.
(b) Non-income producing.
See Notes to Financial Statements 23
<PAGE>
Real Estate Securities Portfolio
STATEMENT OF ASSETS AND LIABILITIES
MAY 31, 1996
(Unaudited)
Assets
Investment securities at value
(Identified cost $20,610,902) $22,309,755
Cash 30,579
Receivables
Fund shares sold 12,502
Receivable from adviser 25,571
Dividends and interest 21,951
----------
Total assets 22,400,358
----------
Liabilities
Payables
Investment securities purchased 84,518
Fund shares repurchased 3,109
Trustees' fee 7,795
Distribution fee 7,156
Transfer agent fee 4,722
Financial agent fee 552
Accrued expenses 38,585
----------
Total liabilities 146,437
----------
Net Assets $22,253,921
==========
Net Assets Consist of:
Capital paid in on shares of beneficial interest $20,286,355
Undistributed net investment income 44,867
Accumulated net realized gain 223,846
Net unrealized appreciation 1,698,853
----------
Net Assets $22,253,921
==========
Class A
Shares of beneficial interest outstanding, $1 par
value, unlimited authorization (Net Assets
$18,132,208) 1,564,833
Net asset value per share $11.59
Offering price per share
$11.59/(1-4.75%) $12.17
Class B
Shares of beneficial interest outstanding, $1 par
value, unlimited authorization (Net Assets
$4,121,713) 356,776
Net asset value and offering price per share $11.55
STATEMENT OF OPERATIONS
SIX MONTHS ENDED MAY 31, 1996
(Unaudited)
Investment Income
Dividends $ 512,028
Interest 4,517
--------
Total investment income 516,545
--------
Expenses
Investment advisory fee 72,797
Distribution fee--Class A 20,139
Distribution fee--Class B 16,506
Financial agent fee 2,912
Registration 38,907
Transfer agent 23,891
Professional 21,354
Printing 15,410
Trustees 10,225
Custodian 5,385
Miscellaneous 198
--------
Total expenses 227,724
Less expenses borne by investment adviser (89,163)
--------
Net expenses 138,561
--------
Net investment income 377,984
--------
Net Realized and Unrealized Gain (Loss) on Investments
Net realized gain on securities 230,399
Net change in unrealized appreciation (depreciation)
on investments 1,404,006
--------
Net gain on investments 1,634,405
--------
Net increase in net assets resulting from operations $2,012,389
========
24 See Notes to Financial Statements
<PAGE>
Real Estate Securities Portfolio
STATEMENT OF CHANGES IN NET ASSETS
<TABLE>
<CAPTION>
Six Months
Ended From Inception
May 31, 1996 3/1/95 to
(Unaudited) 11/30/95
------------ --------------
<S> <C> <C>
From Operations
Net investment income $ 377,984 $ 391,699
Net realized gain 230,399 19,820
Net change in unrealized appreciation (depreciation) 1,404,006 294,847
---------- ------------
Increase in net assets resulting from operations 2,012,389 706,366
---------- ------------
From Distributions to Shareholders
Net investment income--Class A (465,964) (192,639)
Net investment income--Class B (78,246) (26,085)
Net realized gains--Class A (22,396) --
Net realized gains--Class B (3,977) --
---------- ------------
Decrease in net assets from distributions to shareholders (570,583) (218,724)
---------- ------------
From Share Transactions
Class A
Proceeds from sales of shares (266,741 and 1,293,809 shares,
respectively) 3,013,376 13,414,115
Net asset value of shares issued from reinvestment of distributions
(41,841 and 17,043 shares, respectively) 465,770 180,926
Cost of shares repurchased (35,426 and 19,175 shares, respectively) (398,493) (210,731)
---------- ------------
Total 3,080,653 13,384,310
---------- ------------
Class B
Proceeds from sales of shares (149,393 and 208,805 shares, respectively) 1,677,713 2,200,102
Net asset value of shares issued from reinvestment of distributions
(6,418 and 1,955 shares, respectively) 71,332 20,860
Cost of shares repurchased (8,624 and 1,171 shares, respectively) (97,949) (12,548)
---------- ------------
Total 1,651,096 2,208,414
---------- ------------
Increase in net assets from share transactions 4,731,749 15,592,724
---------- ------------
Net increase in net assets 6,173,555 16,080,366
Net Assets
Beginning of period 16,080,366 0
---------- ------------
End of period (including undistributed net investment income of $44,867
and $211,093, respectively) $22,253,921 $16,080,366
========== ============
</TABLE>
See Notes to Financial Statements 25
<PAGE>
Real Estate Securities Portfolio
FINANCIAL HIGHLIGHTS
(Selected data for a share outstanding throughout the indicated period)
<TABLE>
<CAPTION>
Class A Class B
------------------------------ -------------------------------
Six Months From Six Months From
Ended Inception Ended Inception
5/31/96 3/1/95 5/31/96 3/1/95
(Unaudited) to 11/30/95 (Unaudited) to 11/30/95
------------ -------------- ------------ ----------------
<S> <C> <C> <C> <C>
Net asset value, beginning of period $10.72 $10.00 $10.68 $10.00
Income from investment operations
Net investment income 0.23(5) 0.43(4)(5) 0.18(6) 0.36(4)(6)
Net realized and unrealized gain 1.00 0.55 1.00 0.56
---------- ------------ ---------- --------------
Total from investment operations 1.23 0.98 1.18 0.92
---------- ------------ ---------- --------------
Less distributions
Dividends from net investment
income (0.34) (0.26) (0.29) (0.24)
Dividends from net realized gains (0.02) -- (0.02) --
---------- ------------ ---------- --------------
Total distributions (0.36) (0.26) (0.31) (0.24)
---------- ------------ ---------- --------------
Change in net asset value 0.87 0.72 0.87 0.68
---------- ------------ ---------- --------------
Net asset value, end of period $11.59 $10.72 $11.55 $10.68
========== ============ ========== ==============
Total return (1) 11.61%(3) 9.87%(3) 11.20%(3) 9.21%(3)
Ratios/supplemental data:
Net assets, end of period (thousands) $18,132 $13,842 $4,122 $2,239
Ratio to average net assets of:
Operating expenses 1.30%(2) 1.30%(2) 2.05%(2) 2.05%(2)
Net investment income 4.03%(2) 5.79%(2) 3.25%(2) 5.03%(2)
Portfolio turnover 9%(3) 9%(3) 9%(3) 9%(3)
Average commission rate paid (7) $0.0459 N/A $0.0459 N/A
(1) Maximum sales charges are not reflected in the total return calculation.
(2) Annualized
(3) Not annualized
(4) Computed using average shares outstanding.
(5) Includes reimbursement of operating expenses by investment adviser of $0.05 and $0.12, respectively.
(6) Includes reimbursement of operating expenses by investment adviser of $0.05 and $0.12, respectively.
(7) For fiscal years beginning on or after September 1, 1995, a fund is required to disclose its average
commission rate per share for securities trades on which commissions are charged. This rate generally does
not reflect mark-ups, mark-downs, or spreads on shares traded on a principal basis.
</TABLE>
26 See Notes to Financial Statements
<PAGE>
PHOENIX EMERGING MARKETS BOND PORTFOLIO
Fund Description
Phoenix Emerging Markets Bond Portfolio seeks high current income and
long-term capital appreciation by investing in emerging debt markets. The
Fund currently concentrates its investments in three main geographic areas:
Latin America, Central and Eastern Europe, and developing Asian Countries.
Investment Environment
The performance of the emerging debt markets over this reporting period has
been impressive, despite a weak U.S. bond market. Over the last six months,
the J.P. Morgan Emerging Markets Bond Index Plus* returned a strong 19.45%,
which compares quite favorably with the -1.16% return provided by the Lehman
Brothers Aggregate Bond Index.** Improving fundamentals in these emerging
economies continue to drive the performance of their respective bond markets.
Portfolio Review
The Phoenix Emerging Markets Bond Portfolio continued to outperform the
market by a substantial margin. For the six-month period ended May 31, 1996,
the Fund's Class A shares provided a total return of 25.72% and Class B
shares returned 25.15%. As stated above, the J.P. Morgan Emerging Markets
Bond Index Plus earned 19.45% over the same period. All of these figures
assume reinvestment of any distributions, but exclude the effect of sales
charges.
Over this reporting cycle, we continued to focus on those countries whose
economic reform programs have produced improved macroeconomic performance
and, therefore, improved debt servicing capability. We increased our exposure
to a number of countries in eastern and central Europe that are successfully
transforming their economies from central planning to a market orientation,
while at the same time, developing more democratic political systems.
Specifically, we have increased our exposure to Russia, and the republics of
the former Yugoslavia.
Part of our funding for these purchases came from our sale of Polish Brady
bonds, which had appreciated sharply over the reporting period as a result of
their upgrade to investment-grade status. The Fund also maintained a heavy
exposure to Latin America, while broadening its universe of countries to
include Ecuador, Peru and Panama. Lastly, we sold most of our developing
Asian securities as price appreciation in this region produced rich valuation
levels.
Outlook
Looking forward, we expect to continue to emphasize Latin America. Brazil,
Argentina, and Venezuela make up almost sixty percent of the portfolio's
assets. On a credit basis, we believe that Argentina is moving out of its
recession and will perform well in the coming year. In Brazil, promised
reforms are coming very slowly, but the economy continues to be reasonably
robust. Although Venezuela was the last major Latin American country to have
instituted an economic reform plan, we are pleased with the progress they
have already made, most notably in the areas of price and exchange rate
liberalization. Lastly, political reform continues to be a major but
surmountable challenge within Central Europe, and we were pleased that the
Republic of Poland was upgraded to "BBB-" by Standard & Poor's, and "Baa3" by
Moody's. We believe that this bodes well for the region as well as for
Poland.
Overall, the Fund will continue to invest in countries that are in the
process of improving their economic performance by reducing the role of
government in the economy, and at the same time, leveraging the economic
potential of the private sector. In addition, our security selection will
also favor those governments that are implementing plans to control inflation
and curb unnecessary fiscal spending. We believe that as these countries
continue to reorient their economic management policies toward market
economies, their resultant improvement in debt paying capacity should
continue to produce higher bond prices.
*The J.P. Morgan Emerging Markets Bond Index Plus tracks total returns for
traded external debt instruments in the emerging markets. Included in this
Index are U.S. dollar- and other external-denominated Brady bonds, loans,
Eurobonds, and local market instruments. The Index does not reflect sales
charges.
**The Lehman Brothers Aggregate Bond Index is an unmanaged, but commonly used
measure of U.S. bond market performance. It is a combination of several
Lehman Brothers Fixed Income Indexes. The Index does not reflect sales
charges.
27
<PAGE>
Emerging Markets Bond Portfolio
INVESTMENTS AT MAY 31, 1996
(Unaudited)
<TABLE>
<CAPTION>
PAR
MOODY'S VALUE
RATING (000) VALUE
--------- --------- ------------
<S> <C> <C> <C>
FOREIGN NON-CONVERTIBLE BONDS--6.2%
Brazil--1.8%
Iochpe-Maxion S.A. 144A 12.375%, '02
(Machinery) (d) NR $ 444 $ 418,470
----------
Mexico--4.4%
Aerovias De Mexico 9.75%, '00 (Aerospace
& Defense) NR 350 313,250
Grupo Industrial Durango Euro 12%, '01
(Paper & Forest Products) B 325 325,000
Grupo Televisa S.A. 144A 0%, '08
(Industrial) (d) Ba 700 379,750
----------
1,018,000
----------
TOTAL FOREIGN NON-CONVERTIBLE BONDS
(Identified cost $1,381,615) 1,436,470
----------
FOREIGN GOVERNMENT SECURITIES--87.3%
Algeria--2.5%
Algeria Tranch A Loans (b) NR 1,000 570,000
----------
Argentina--20.9%
Republic of Argentina Bearer FRB
6.3125%, '05 (c) B 198 152,707
Republic of Argentina Bocon Pre1 Euro,
PIK interest capitalization, 3.57%, '01
(c) NR 1,300 1,355,250
Republic of Argentina Bocon Pre2
Debenture, PIK interest capitalization,
5.4453%, '01 (c) NR 285 317,205
Republic of Argentina Bocon Pro1 M1, PIK
interest capitalization, 3.57%, '07 (c) NR 3,800 3,016,250
----------
4,841,412
----------
Brazil--13.7%
Republic of Brazil C Bond, PIK interest
capitalization, 8%, '14 B 601 362,816
Republic of Brazil DCB-L Euro 6.5625%,
'12 (c) B 2,250 1,475,865
Republic of Brazil El-L Euro 6.50%, '06
(c) B 625 483,203
Republic of Brazil Exit Euro 6%, '13 B 500 299,844
Republic of Brazil NMB L 6.5625%, '09
(c) B 800 566,500
----------
3,188,228
----------
Bulgaria--1.9%
Republic of Bulgaria FLIRB-A Bearer Euro
2%, '12 (c) NR 750 240,469
Bulgaria--continued
Republic of Bulgaria IAB, PDI Euro
6.25%, '11 (c) NR $ 450 $ 209,250
----------
449,719
----------
Dominican Republic--1.8%
Dominican Republic-BR-PDI 6.0625%, '09
(c) NR 650 411,125
----------
Ecuador--1.8%
Ecuador Bearer PDI Euro, PIK interest
capitalization, 6.0625% '15 (c) NR 635 279,016
Ecuador Reg'd PDI, PIK interest
capitalization, 6.0625%, '15 (c) NR 312 137,221
----------
416,237
----------
Jordan--1.7%
Jordan IAB 6.4375%, '05 (c) Ba 500 405,625
----------
Mexico--2.6%
United Mexican States Global Bond
11.50%, '26 (e) Ba 650 602,875
----------
Morocco--1.9%
Morocco R&C Agreement Series A 6.4375%,
'09 (c) NR 600 433,125
----------
Panama--3.4%
Republic of Panama
Non-performing Loans (b) NR 400 414,000
Republic of Panama PDI WI, '49 (f) NR 600 375,000
----------
789,000
----------
Peru--2.8%
Peru Citibank Non-performing Loans (b) NR 175 151,375
Peru Non-Citibank
Non-performing Loans (b) NR 580 503,150
----------
654,525
----------
Poland--1.6%
Republic of Poland PDI B 3.75%, '14 (c)
(g) Baa 505 379,381
----------
Russia--7.1%
Vnescheconombank Loans Yankee (b) NR 3,800 1,650,625
----------
Venezuela--21.8%
Banco Central Venezuela B-NP 6.5625%,
'05 (c) Ba 2,000 1,386,250
Republic of Venezuela 6.6875%, '05 (c) Ba 1,250 866,406
Republic of Venezuela DCB Euro 6.5625%,
'07 (c) Ba 1,750 1,214,062
28 See Notes to Financial Statements
<PAGE>
Emerging Markets Bond Portfolio
Venezuela--continued
Republic of Venezuela-FLIRB A Euro
6.375%, '07 (c) Ba $2,250 $ 1,586,250
----------
5,052,968
----------
Yugoslavia--1.8%
Yugoslavia Non-performing NFA Loans (b) NR 600 417,750
----------
TOTAL FOREIGN GOVERNMENT SECURITIES
(Identified cost $18,742,415) 20,262,595
----------
FOREIGN CONVERTIBLE BONDS--4.9%
Mexico--4.9%
Empresas ICA Sociedad Cv. 5%, '04
(Engineering & Construction) B 1,650 1,134,375
----------
TOTAL FOREIGN CONVERTIBLE BONDS
(Identified cost $1,040,664) 1,134,375
----------
TOTAL LONG-TERM INVESTMENTS--98.4%
(Identified cost $21,164,694) 22,833,440
----------
SHORT-TERM OBLIGATIONS--5.7%
Commercial Paper--3.4%
Abbott Laboratories 5.27%, 6-3-96 A-1+ $ 300 $ 299,210
American Telephone & Telegraph Co.
5.30%, 6-10-96 A-1+ 485 484,357
----------
783,567
----------
Federal Agency Securities--2.3%
Federal Home Loan Banks 5.35%, 6-3-96 535 534,841
----------
TOTAL SHORT-TERM OBLIGATIONS
(Identified cost $1,318,408) 1,318,408
----------
TOTAL INVESTMENTS--104.1%
(Identified cost $22,483,102) 24,151,848(a)
Cash and receivables, less liabilities--(4.1%) (954,710)
----------
NET ASSETS--100.0% $23,197,138
==========
</TABLE>
(a) Federal Income Tax Information: Net unrealized appreciation of investment
securities is comprised of gross appreciation of $1,747,472 and gross
depreciation of $98,056 for income tax purposes. At May 31, 1996, the
aggregate cost of securities for federal income tax purposes was
$22,502,432.
(b) Non-income producing.
(c) Variable or step coupon bond; interest rate reflects the rate currently
in effect.
(d) Security exempt from registration under Rule 144A of the Securities Act
of 1933. These securities may be resold in transactions exempt from
registration, normally to qualified institutional buyers. At May 31,
1996, these securities amount to a value of $798,220 or 3.4% of net
assets.
(e) Mexico Value Recovery Euro Rights incorporated as a unit.
(f) When issued.
(g) Segregated as collateral for the when issued obligation.
See Notes to Financial Statements 29
<PAGE>
Emerging Markets Bond Portfolio
STATEMENT OF ASSETS AND LIABILITIES
MAY 31, 1996
(Unaudited)
Assets
Investment securities at value
(Identified cost $22,483,102) $24,151,848
Cash 1,696
Receivables
Investment securities sold 3,318,527
Fund shares sold 104,340
Interest 374,928
Receivable from adviser 9,845
Prepaid expenses 14,334
----------
Total assets 27,975,518
----------
Liabilities
Payables
Investment securities purchased 4,580,062
Fund shares repurchased 143,577
Distribution fee 8,066
Trustees' fee 6,236
Transfer agent fee 3,880
Financial agent fee 572
Accrued expenses 35,987
----------
Total liabilities 4,778,380
----------
Net Assets $23,197,138
==========
Net Assets Consist of:
Capital paid in on shares of beneficial interest $19,973,305
Undistributed net investment loss (54,984)
Accumulated net realized gain 1,610,071
Net unrealized appreciation 1,668,746
----------
Net Assets $23,197,138
==========
Class A
Shares of beneficial interest outstanding, $1 par
value, unlimited authorization (Net Assets
$17,726,347) 1,460,675
Net asset value per share $12.14
Offering price per share
$12.14/(1-4.75%) $12.75
Class B
Shares of beneficial interest outstanding, $1 par
value, unlimited authorization (Net Assets
$5,470,791) 451,318
Net asset value and offering price per share $12.12
STATEMENT OF OPERATIONS
SIX MONTHS ENDED MAY 31, 1996
(Unaudited)
Investment Income
Interest $1,036,411
---------
Total investment income 1,036,411
---------
Expenses
Investment advisory fee 67,244
Distribution fee--Class A 18,604
Distribution fee--Class B 15,244
Financial agent fee 2,690
Registration 35,868
Transfer agent 26,438
Professional 21,632
Custodian 11,574
Printing 14,842
Trustees 9,766
Miscellaneous 199
---------
Total expenses 224,101
Less expenses borne by investment adviser (78,180)
---------
Net expenses 145,921
---------
Net investment income 890,490
---------
Net Realized and Unrealized Gain (Loss) on Investments
Net realized gain on securities 1,662,492
Net change in unrealized appreciation (depreciation)
on investments 1,383,574
---------
NET GAIN ON INVESTMENTS 3,046,066
---------
NET INCREASE IN NET ASSETS RESULTING FROM OPERATIONS $3,936,556
=========
30 See Notes to Financial Statements
<PAGE>
Emerging Markets Bond Portfolio
STATEMENT OF CHANGES IN NET ASSETS
<TABLE>
<CAPTION>
Six Months
Ended From Inception
May 31, 1996 9/5/95 to
(Unaudited) 11/30/95
------------ --------------
<S> <C> <C>
From Operations
Net investment income $ 890,490 $ 268,890
Net realized gain (loss) 1,662,492 (47,814)
Net change in unrealized appreciation (depreciation) 1,383,574 285,172
---------- ------------
Increase in net assets resulting from operations 3,936,556 506,248
---------- ------------
From Distributions to Shareholders
Net investment income--Class A (793,897) (273,459)
Net investment income--Class B (157,278) (6,598)
---------- ------------
Decrease in net assets from distributions to shareholders (951,175) (280,057)
---------- ------------
From Share Transactions
Class A
Proceeds from sales of shares (245,616 and 1,168,270 shares, respectively) 2,776,714 11,682,486
Net asset value of shares issued from reinvestment of distributions (64,992
and 26,928 shares, respectively) 736,162 269,932
Cost of shares repurchased (43,091 and 2,040 shares, respectively) (479,015) (19,703)
---------- ------------
Total 3,033,861 11,932,715
---------- ------------
Class B
Proceeds from sales of shares (396,314 and 58,050 shares, respectively) 4,481,870 580,946
Net asset value of shares issued from reinvestment of distributions (6,994
and 592 shares, respectively) 80,110 5,911
Cost of shares repurchased (10,543 and 89 shares, respectively) (128,924) (923)
---------- ------------
Total 4,433,056 585,934
---------- ------------
Increase in net assets from share transactions 7,466,917 12,518,649
---------- ------------
Net increase in net assets 10,452,298 12,744,840
Net Assets
Beginning of period 12,744,840 0
---------- ------------
End of period (including undistributed net investment income (loss) of
($54,984) and $5,701, respectively) $23,197,138 $12,744,840
========== ============
</TABLE>
See Notes to Financial Statements 31
<PAGE>
Emerging Markets Bond Portfolio
FINANCIAL HIGHLIGHTS
(Selected data for a share outstanding throughout the indicated period)
<TABLE>
<CAPTION>
Class A Class B
------------------------- ----------------------------
Six Months From Six Months From
Ended Inception Ended Inception
5/31/96 9/5/95 to 5/31/96 9/5/95 to
(Unaudited) 11/30/95 (Unaudited) 11/30/95
---------- ----------- ----------- -------------
<S> <C> <C> <C> <C>
Net asset value, beginning of period $10.18 $10.00 $10.18 $10.00
Income from investment operations
Net investment income 0.57(5) 0.25(4)(5) 0.53(4)(6) 0.22(4)(6)
Net realized and unrealized gain 1.99 0.18 1.98 0.20
-------- --------- --------- -----------
Total from investment operations 2.56 0.43 2.51 0.42
-------- --------- --------- -----------
Less distributions
Dividends from net investment
income (0.60) (0.25) (0.57) (0.24)
-------- --------- --------- -----------
Total distributions (0.60) (0.25) (0.57) (0.24)
-------- --------- --------- -----------
Change in net asset value 1.96 0.18 1.94 0.18
-------- --------- --------- -----------
Net asset value, end of period $12.14 $10.18 $12.12 $10.18
======== ========= ========= ===========
Total return (1) 25.72% 4.40% (3) 25.15% 4.22%(3)
Ratios/supplemental data:
Net assets, end of period
(thousands) $17,726 $12,149 $5,471 $596
Ratio to average net assets of:
Operating expenses 1.50%(2) 1.50%(2) 2.25%(2) 2.25%(2)
Net investment income 10.05% 10.48%(2) 9.35%(2) 10.29%(2)
Portfolio turnover 152%(3) 38%(3) 152%(3) 38%(3)
</TABLE>
(1) Maximum sales charges are not reflected in the total return calculation.
(2) Annualized
(3) Not annualized
(4) Computed using average shares outstanding.
(5) Includes reimbursement of operating expenses by investment adviser of
$0.04 and $0.03, respectively.
(6) Includes reimbursement of operating expenses by investment adviser of
$0.04 and $0.03, respectively.
32 See Notes to Financial Statements
<PAGE>
PHOENIX MULTI-PORTFOLIO FUND
NOTES TO FINANCIAL STATEMENTS
May 31, 1996 (Unaudited)
1. SIGNIFICANT ACCOUNTING POLICIES
The Phoenix Multi-Portfolio Fund ("the Trust") is organized as a
Massachusetts business trust and is registered under the Investment Company
Act of 1940, as amended, as a diversified, open-end management investment
company. To date, seven Portfolios are offered for sale: Tax- Exempt Bond
Portfolio, Mid Cap Portfolio (formerly the Capital Appreciation Portfolio),
International Portfolio, Real Estate Securities Portfolio, Emerging Markets
Bond Portfolio, Endowment Equity Portfolio and Diversified Income Portfolio.
The Endowment Equity Portfolio and Diversified Income Portfolio are reported
separately from these financial statements. Each Portfolio has distinct
investment objectives. The Tax-Exempt Bond Portfolio seeks as high a level of
current income exempt from federal income taxation as is consistent with
preservation of capital. The Mid Cap Portfolio seeks as its investment
objective long-term appreciation of capital. The International Portfolio
seeks a high total return consistent with reasonable risk through investment
in an internationally diversified portfolio of equity securities. The Real
Estate Securities Portfolio seeks capital appreciation and income with
approximately equal emphasis. The Emerging Markets Bond Portfolio seeks to
achieve high current income with a secondary objective of long-term capital
appreciation.
The Trust offers both Class A and Class B shares. Class A shares are sold
with a front-end sales charge of up to 4.75%. Class B shares are sold with a
contingent deferred sales charge which declines from 5% to zero depending on
the period of time the shares are held. Both classes of shares have identical
voting, dividend, liquidation and other rights and the same terms and
conditions, except that each class bears different distribution expenses and
has exclusive voting rights with respect to its distribution plan. Income and
expenses of each Portfolio are borne pro rata by the holders of both classes
of shares, except that each class bears distribution expenses unique to that
class.
The following is a summary of significant accounting policies consistently
followed by the Trust in the preparation of its financial statements. These
policies are in conformity with generally accepted accounting principles. The
preparation of financial statements in conformity with generally accepted
accounting principles requires management to make estimates and assumptions
that affect the reported amounts of assets, liabilities, revenues and
expenses. Actual results could differ from those estimates.
A. Security valuation:
Equity securities traded on an exchange or quoted on the over-the-counter
market are valued at the last sale price, or if there had been no sale that
day, at the last bid price. Debt securities are valued on the basis of broker
quotations or valuations provided by a pricing service which utilizes
information with respect to market transactions in comparable securities,
quotations from dealers, and various relationships between securities in
determining value.
Short-term investments having a remaining maturity of less than 61 days
are valued at amortized cost which approximates market. All other securities
and assets are valued at fair value as determined in good faith by or under
the direction of the Trustees.
B. Security transactions and related income:
Security transactions are recorded on the trade date. Interest income is
recorded on the accrual basis. Dividend income is recorded on the ex-dividend
date or, in the case of certain foreign securities, as soon as the portfolio
is noti- fied. Realized gains and losses are determined on the identified
cost basis. The Trust does not amortize premiums but does amortize discounts
except for the Tax-Exempt Bond Portfolio which amortizes both premiums and
discounts over the life of the respective securities using the effective
interest method.
C. Income taxes:
Each of the Portfolios is treated as a separate taxable entity. It is the
policy of each Portfolio in the Trust to comply with the requirements of the
Internal Revenue Code (the Code), applicable to regulated investment
companies, and to distribute substantially all of its taxable and tax- exempt
income to its shareholders. In addition, each Portfolio intends to distribute
an amount sufficient to avoid imposition of any excise tax under Section 4982
of the Code. Therefore, no provision for federal income taxes or excise taxes
has been made.
D. Distributions to shareholders:
Distributions are recorded by each Portfolio on the ex-dividend date. Income
and capital gain distributions are determined in accordance with income tax
regulations which may differ from generally accepted accounting principles.
These differences include the treatment of non-taxable dividends, expiring
capital loss carryforwards, foreign currency gain/loss, partnerships,
operating losses and losses deferred due to wash sales and excise tax
regulations. Permanent book and tax basis differences relating to shareholder
distributions will result in reclassifications to paid in capital.
E. Foreign currency translation:
Foreign securities and other assets and liabilities are valued using the
foreign currency exchange rate effective at the end of the reporting period.
Cost of investments is translated at the currency exchange rate effective at
the trade date. The gain or loss resulting from a change in currency exchange
rates between the trade and settlement
33
<PAGE>
PHOENIX MULTI-PORTFOLIO FUND
NOTES TO FINANCIAL STATEMENTS
May 31, 1996 (Unaudited) (Continued)
dates of a portfolio transaction, is treated as a gain or loss on foreign
currency. Likewise, the gain or loss resulting from a change in currency
exchange rates, between the date income is accrued and paid, is treated as a
gain or loss on foreign currency. The Trust does not separate that portion of
the results of operations arising from changes in exchange rates and that
portion arising from changes in the market prices of securities.
F. Forward currency contracts:
The Mid Cap Portfolio and the International Portfolio may enter into forward
currency contracts in conjunction with the planned purchase or sale of
foreign denominated securities in order to hedge the U.S. dollar cost or
proceeds. Forward currency contracts involve, to varying degrees, elements of
market risk in excess of the amount recognized in the statement of assets and
liabilities. Risks arise from the possible movements in foreign exchange
rates or if the counterparty does not perform under the contract.
A forward currency contract involves an obligation to purchase or sell a
specific currency at a future date, which may be any number of days from the
date of the contract agreed upon by the parties, at a price set at the time
of the contract. These contracts are traded directly between currency traders
and their customers. The contract is marked- to-market daily and the change
in market value is recorded by each Portfolio as an unrealized gain (or
loss). When the contract is closed or offset with the same counterparty, the
Portfolio records a realized gain (or loss) equal to the change in the value
of the contract when it was opened and the value at the time it was closed or
offset.
G. Futures contracts:
A futures contract is an agreement between two parties to buy and sell a
security at a set price on a future date. A Portfolio may enter into
financial futures contracts as a hedge against anticipated changes in the
market value of their portfolio securities. Upon entering into a futures
contract the Portfolio is required to pledge to the broker an amount of cash
and/or securities equal to the "initial margin" requirements of the futures
exchange on which the contract is traded. Pursuant to the contract, the
Portfolio agrees to receive from or pay to the broker an amount of cash equal
to the daily fluctuation in value of the contract. Such receipts or payments
are known as variation margin and are recorded by the Portfolio as unrealized
gains or losses. When the contract is closed, the Portfolio records a
realized gain or loss equal to the difference between the value of the
contract at the time it was opened and the value at the time it was closed.
The potential risk to the Portfolio is that the change in value of the
futures contract may not correspond to the change in value of the hedged
instruments.
H. Security lending:
The Trust (with the exception of the Real Estate Securities Portfolio) loans
securities to qualified brokers through an agreement with State Street Bank &
Trust (the Custodian) and Brown Brothers, Harriman, custodian for the
International Portfolio. Under the terms of the agreement, the Trust receives
collateral with a market value not less than 100% of the market value of
loaned securities. Collateral consists of cash, securities issued or
guaranteed by the U.S. Government or its agencies and the sovereign debt of
foreign countries. Interest earned on the collateral and premiums paid by the
borrower are recorded as interest income by the Trust net of fees charged by
the Custodian for its services in connection with this securities lending
program. Lending portfolio securities involves a risk of delay in the
recovery of the loaned securities or in the foreclosure on collateral. At May
31, 1996, the Trust had the following market value of security loans and
collateral:
Value of
Securities Value of
on Loan Collateral
-------------- ---------------
Mid Cap Portfolio $37,775,506 $39,470,170
I. Expenses:
Expenses incurred by the Trust with respect to any two or more Portfolios
are allocated in proportion to the net assets of each Portfolio, except where
allocation of direct expense to each Portfolio or an alternative allocation
method can be more fairly made.
2. INVESTMENT ADVISORY FEE AND RELATED PARTY TRANSACTIONS
As compensation for its services to the Trust, the Advisers, Phoenix
Investment Counsel, Inc., an indirect majority- owned subsidiary of Phoenix
Home Life Insurance Company ("PHL"), and Phoenix Realty Securities, Inc.
("PRS"), an indirect wholly-owned subsidiary of PHL, the Adviser for the Real
Estate Portfolio, are entitled to a fee, based upon the following annual
rates as a percentage of the average daily net assets of each Portfolio:
1st $1-2 $2+
$1 Billion Billion Billion
----------- ------ --------
Tax-Exempt Bond Portfolio 0.45% 0.40% 0.35%
Mid Cap Portfolio 0.75% 0.70% 0.65%
International Portfolio 0.75% 0.70% 0.65%
Real Estate Securities Portfolio 0.75% 0.70% 0.65%
Emerging Markets Bond Portfolio 0.75% 0.70% 0.65%
Pursuant to a Sub-Advisory Agreement with the Trust, PRS delegates certain
investment decisions and research functions to ABKB/LaSalle Securities
Limited Partnership ("ABKB") for which ABKB is paid a fee by PRS equal to
0.45% of the average daily net assets of the Real Estate Securities
Portfolio.
34
<PAGE>
PHOENIX MULTI-PORTFOLIO FUND
NOTES TO FINANCIAL STATEMENTS
May 31, 1996 (Unaudited) (Continued)
The respective Advisers have agreed to reimburse the Real Estate Securities
Portfolio and the Emerging Markets Bond Portfolio to the extent that total
expenses (excluding interest, taxes, brokerage fees and commissions and
extraordinary expenses) exceed 1.30% and 1.50%, respectively, of the average
daily net assets for Class A shares and 2.05% and 2.25%, respectively, for
Class B shares.
Phoenix Equity Planning Corporation ("PEPCO") an indirect majority-owned
subsidiary of PHL, which serves as the national distributor of the Trust's
shares has advised the Trust that it retained net selling commissions of
$95,274 for Class A shares and deferred sales charges of $41,097 for Class B
shares for the six months ended May 31, 1996. In addition, each Portfolio
pays PEPCO a distribution fee at an annual rate of 0.25% for Class A shares
and 1.00% for Class B shares applied to the average daily net assets of each
Portfolio. The distributor has advised the Trust that of the total amount
expensed for the six months ended May 31, 1996, $338,722 was retained by the
Distributor and $783,989 was paid out to unaffiliated Participants.
As Financial Agent to the Trust and to each Portfolio, PEPCO receives a
fee at an annual rate of 0.03% of the average daily net assets of each
Portfolio for bookkeeping, administrative and pricing services.
PEPCO serves as the Trust's Transfer Agent with State Street Bank and
Trust Company as sub-transfer agent. For the six months ended May 31, 1996,
transfer agent fees were $951,548 of which PEPCO retained $306,106 which is
net of fees paid to State Street.
At May 31, 1996, PHL and its affiliates held Phoenix Multi-Portfolio Fund
shares which aggregated the following:
Aggregate
Shares Net Asset Value
------------ ----------------
Tax-Exempt Bond
Portfolio--Class A 381,866 $ 4,211,980
International
Portfolio--Class A 1,056,264 14,587,000
Real Estate Securities
Portfolio--Class A 518,432 6,008,632
Portfolio--Class B 10,516 121,458
Emerging Markets Bond
Portfolio--Class A 1,070,358 12,994,146
Portfolio--Class B 10,762 130,438
3. PURCHASE AND SALE OF SECURITIES
Purchases and sales of securities during the six months ended May 31, 1996
(excluding U.S. Government securities, short-term securities, futures
contracts and forward currency contracts) aggregated the following:
Purchases Sales
------------ --------------
Tax-Exempt Bond Portfolio $ 18,515,251 $ 21,799,130
Mid Cap Portfolio 516,898,464 576,225,498
International Portfolio 107,663,725 105,959,877
Real Estate Securities Portfolio 6,345,705 1,777,349
Emerging Markets Bond Portfolio 33,426,461 26,222,364
There were no purchases or sales of long-term U.S. Government securities
during the six months ended May 31, 1996.
At May 31, 1996, the Tax-Exempt Bond Portfolio had entered into futures
contracts as follows:
Value of Market Net
Number of Contracts Value of Unrealized
Description Contracts when Opened Contracts Depreciation
- -------------- ---------- ------------ ------------ -------------
U.S. Treasury
September, 96 95 $10,123,438 $10,215,468 $(92,030)
4. FORWARD CURRENCY CONTRACTS
As of May 31, 1996, the International Portfolio had entered into the
following forward currency contracts which contractually obligate the Fund to
deliver currencies at specified dates:
Net
In Unrealized
Contracts Exchange Settlement Appreciation
to Deliver For Date Value (Depreciation)
- -------------------- -------------- -------- --------- -------------
DM 11,250,000 US 7,520,053 8/1/96 $ 7,357,206 $162,847
FF 24,000,000 US 4,651,163 8/1/96 4,632,177 18,986
FL 13,000,000 US 7,633,588 8/1/96 7,605,747 27,841
SF 6,000,000 US 4,878,049 8/2/96 4,787,367 90,682
YEN 865,000,000 US 8,092,431 8/1/96 8,060,589 31,842
YEN 816,000,000 US 7,626,168 9/3/96 7,639,030 (12,862)
YEN 1,340,000,000 US 12,614,139 9/3/96 12,544,485 69,654
-----------
$388,990
===========
DM = German Deutschemark SF = Swiss Franc
FF = French Franc US = U.S. Dollar
FL = Dutch Florin YEN = Japanese Yen
As of May 31, 1996, the International Portfolio had $1,246,347 in foreign
currency segregated as collateral to cover the open forward currency
contracts.
This report is not authorized for distribution to prospective investors in
the Phoenix Multi-Portfolio Fund unless preceded or accompanied by an
effective prospectus which includes information concerning the sales charge,
the Fund's record and other pertinent information.
35
<PAGE>
PHOENIX MULTI-PORTFOLIO FUND
RESULTS OF SHAREHOLDER MEETING (Unaudited)
A special meeting in lieu of the Annual Meeting of Shareholders of the
Phoenix Multi-Portfolio Fund was held on March 29, 1996 to approve the
following matters:
1. To approve or not approve an amendment to the Declaration of Trust
regarding the permitted number of trustees and, to fix the number of
trustees at fourteen and elect such number as detailed below.
2. To ratify or reject the selection of Price Waterhouse LLP, independent
accountants, as auditors for the fiscal year ending November 30, 1995.
On the record date for this meeting, there were 53,688,500 shares outstanding
and 55.63% of the shares outstanding and entitled to vote were present by
proxy.
Number of votes: For Against Abstain
----------- ---------- ------------
1. Amendment to Trust 28,031,630 1,331,636 77,442
2. Election of Trustees
C. Duane Blinn 28,379,198 1,489,300
Robert Chesek 28,392,139 1,476,359
E. Virgil Conway 28,376,946 1,491,552
Harry Dalzell-Payne 28,378,444 1,490,054
Francis E. Jeffries 28,365,989 1,502,509
Leroy Keith, Jr. 28,384,094 1,484,404
Philip R. McLoughlin 28,385,719 1,482,779
Everett L. Morris 28,355,863 1,512,635
James M. Oates 28,392,824 1,475,674
Calvin J. Pedersen 28,375,196 1,493,302
Philip R. Reynolds 28,363,028 1,505,470
Herbert Roth, Jr. 28,367,529 1,500,969
Richard E. Segerson 28,389,061 1,479,437
Lowell P. Weicker, Jr. 28,019,017 1,739,507
3. Price Waterhouse LLP 28,207,939 313,599 1,349,558
36
<PAGE>
PHOENIX MULTI-PORTFOLIO FUND
101 Munson Street
Greenfield, MA 01301
Trustees
C. Duane Blinn
Robert Chesek
E. Virgil Conway
Harry Dalzell-Payne
Francis E. Jeffries
Leroy Keith, Jr.
Philip R. McLoughlin
Everett L. Morris
James M. Oates
Calvin J. Pedersen
Philip R. Reynolds
Herbert Roth, Jr.
Richard E. Segerson
Lowell P. Weicker, Jr.
Officers
Philip R. McLoughlin, President
Martin J. Gavin, Executive Vice President
Michael E. Haylon, Executive Vice President
William J. Newman, Senior Vice President
David L. Albrycht, Vice President
Curtiss O. Barrows, Vice President
James M. Dolan, Vice President
Jeanne H. Dorey, Vice President
Timothy M. Heaney, Vice President
Peter S. Lannigan, Vice President
Thomas S. Melvin, Jr., Vice President
William R. Moyer, Vice President
Scott C. Noble, Vice President
Barbara Rubin, Vice President
Leonard J. Saltiel, Vice President
James D. Wehr, Vice President
Nancy G. Curtiss, Treasurer
G. Jeffrey Bohne, Secretary
Investment Advisers
Phoenix Investment Counsel, Inc.
56 Prospect St.
Hartford, CT 06115-0480
Phoenix Realty Securities, Inc.
(Real Estate Securities Portfolio)
38 Prospect St.
Hartford, CT 06115-0479
Principal Underwriter
Phoenix Equity Planning Corporation
100 Bright Meadow Boulevard
P.O. Box 2200
Enfield, Connecticut 06083-2200
Custodians
State Street Bank and Trust Company
P.O. Box 351
Boston, MA 02101
Brown Brothers Harriman & Co.
(International Portfolio)
40 Water Street
Boston, MA 02109
Transfer Agent
Phoenix Equity Planning Corporation
100 Bright Meadow Boulevard
P.O. Box 2200
Enfield, CT 06083-2200
Legal Counsel
Jorden, Burt, Berenson & Johnson, LLP
Suite 400 East
1025 Thomas Jefferson Street N.W.
Washington, D.C. 20007-0805
<PAGE>
Phoenix Multi-Portfolio Fund
P.O. Box 2200
Enfield, CT 06083-2200
{Phoenix Logo]
Bulk Rate Mail
U.S. Postage
PAID
Springfield, MA
Permit No. 444
PDP 490a (7/96)
{Dalbar Logo]
<TABLE> <S> <C>
<ARTICLE> 6
<SERIES>
<NUMBER> 011
<NAME> PHOENIX TAX EXEMPT BOND PORTFOLIO CLASS A
<MULTIPLIER> 1,000
<S> <C>
<PERIOD-TYPE> 6-MOS
<FISCAL-YEAR-END> NOV-30-1996
<PERIOD-START> DEC-01-1995
<PERIOD-END> MAY-31-1996
<INVESTMENTS-AT-COST> 135476
<INVESTMENTS-AT-VALUE> 138366
<RECEIVABLES> 3998
<ASSETS-OTHER> 0
<OTHER-ITEMS-ASSETS> 0
<TOTAL-ASSETS> 142364
<PAYABLE-FOR-SECURITIES> 0
<SENIOR-LONG-TERM-DEBT> 0
<OTHER-ITEMS-LIABILITIES> 1994
<TOTAL-LIABILITIES> 1994
<SENIOR-EQUITY> 0
<PAID-IN-CAPITAL-COMMON> 135689
<SHARES-COMMON-STOCK> 12333
<SHARES-COMMON-PRIOR> 12969
<ACCUMULATED-NII-CURRENT> 0
<OVERDISTRIBUTION-NII> (105)
<ACCUMULATED-NET-GAINS> 1989
<OVERDISTRIBUTION-GAINS> 0
<ACCUM-APPREC-OR-DEPREC> 2797
<NET-ASSETS> 140370
<DIVIDEND-INCOME> 0
<INTEREST-INCOME> 4665
<OTHER-INCOME> 0
<EXPENSES-NET> (716)
<NET-INVESTMENT-INCOME> 3949
<REALIZED-GAINS-CURRENT> 1880
<APPREC-INCREASE-CURRENT> (6656)
<NET-CHANGE-FROM-OPS> (827)
<EQUALIZATION> 0
<DISTRIBUTIONS-OF-INCOME> (3839)
<DISTRIBUTIONS-OF-GAINS> 0
<DISTRIBUTIONS-OTHER> 0
<NUMBER-OF-SHARES-SOLD> 3762
<NUMBER-OF-SHARES-REDEEMED> (4588)
<SHARES-REINVESTED> 190
<NET-CHANGE-IN-ASSETS> (11807)
<ACCUMULATED-NII-PRIOR> 0
<ACCUMULATED-GAINS-PRIOR> 109
<OVERDISTRIB-NII-PRIOR> 131
<OVERDIST-NET-GAINS-PRIOR> 0
<GROSS-ADVISORY-FEES> 332
<INTEREST-EXPENSE> 0
<GROSS-EXPENSE> 716
<AVERAGE-NET-ASSETS> 147665
<PER-SHARE-NAV-BEGIN> 11.40
<PER-SHARE-NII> 0.30
<PER-SHARE-GAIN-APPREC> (0.37)
<PER-SHARE-DIVIDEND> (0.30)
<PER-SHARE-DISTRIBUTIONS> 0
<RETURNS-OF-CAPITAL> 0
<PER-SHARE-NAV-END> 11.03
<EXPENSE-RATIO> 0.95
<AVG-DEBT-OUTSTANDING> 0
<AVG-DEBT-PER-SHARE> 0
</TABLE>
<TABLE> <S> <C>
<ARTICLE> 6
<SERIES>
<NUMBER> 012
<NAME> PHOENIX TAX EXEMPT BOND PORTFOLIO CLASS B
<MULTIPLIER> 1,000
<S> <C>
<PERIOD-TYPE> 6-MOS
<FISCAL-YEAR-END> NOV-30-1996
<PERIOD-START> DEC-01-1995
<PERIOD-END> MAY-31-1996
<INVESTMENTS-AT-COST> 135476
<INVESTMENTS-AT-VALUE> 138366
<RECEIVABLES> 3998
<ASSETS-OTHER> 0
<OTHER-ITEMS-ASSETS> 0
<TOTAL-ASSETS> 142364
<PAYABLE-FOR-SECURITIES> 0
<SENIOR-LONG-TERM-DEBT> 0
<OTHER-ITEMS-LIABILITIES> 1994
<TOTAL-LIABILITIES> 1994
<SENIOR-EQUITY> 0
<PAID-IN-CAPITAL-COMMON> 135689
<SHARES-COMMON-STOCK> 394
<SHARES-COMMON-PRIOR> 275
<ACCUMULATED-NII-CURRENT> 0
<OVERDISTRIBUTION-NII> (105)
<ACCUMULATED-NET-GAINS> 1989
<OVERDISTRIBUTION-GAINS> 0
<ACCUM-APPREC-OR-DEPREC> 2797
<NET-ASSETS> 140370
<DIVIDEND-INCOME> 0
<INTEREST-INCOME> 4665
<OTHER-INCOME> 0
<EXPENSES-NET> (716)
<NET-INVESTMENT-INCOME> 3949
<REALIZED-GAINS-CURRENT> 1880
<APPREC-INCREASE-CURRENT> (6656)
<NET-CHANGE-FROM-OPS> (827)
<EQUALIZATION> 0
<DISTRIBUTIONS-OF-INCOME> (84)
<DISTRIBUTIONS-OF-GAINS> 0
<DISTRIBUTIONS-OTHER> 0
<NUMBER-OF-SHARES-SOLD> 155
<NUMBER-OF-SHARES-REDEEMED> (40)
<SHARES-REINVESTED> 4
<NET-CHANGE-IN-ASSETS> 1214
<ACCUMULATED-NII-PRIOR> 0
<ACCUMULATED-GAINS-PRIOR> 109
<OVERDISTRIB-NII-PRIOR> 131
<OVERDIST-NET-GAINS-PRIOR> 0
<GROSS-ADVISORY-FEES> 332
<INTEREST-EXPENSE> 0
<GROSS-EXPENSE> 716
<AVERAGE-NET-ASSETS> 147665
<PER-SHARE-NAV-BEGIN> 11.44
<PER-SHARE-NII> 0.26
<PER-SHARE-GAIN-APPREC> (0.37)
<PER-SHARE-DIVIDEND> (0.26)
<PER-SHARE-DISTRIBUTIONS> 0
<RETURNS-OF-CAPITAL> 0
<PER-SHARE-NAV-END> 11.07
<EXPENSE-RATIO> 1.70
<AVG-DEBT-OUTSTANDING> 0
<AVG-DEBT-PER-SHARE> 0
</TABLE>
<TABLE> <S> <C>
<ARTICLE> 6
<SERIES>
<NUMBER> 021
<NAME> PHOENIX MID CAP PORTFOLIO CLASS A
<MULTIPLIER> 1,000
<S> <C>
<PERIOD-TYPE> 6-MOS
<FISCAL-YEAR-END> NOV-30-1996
<PERIOD-START> DEC-01-1995
<PERIOD-END> MAY-31-1996
<INVESTMENTS-AT-COST> 425876
<INVESTMENTS-AT-VALUE> 505627
<RECEIVABLES> 15394
<ASSETS-OTHER> 0
<OTHER-ITEMS-ASSETS> 0
<TOTAL-ASSETS> 521021
<PAYABLE-FOR-SECURITIES> 17175
<SENIOR-LONG-TERM-DEBT> 0
<OTHER-ITEMS-LIABILITIES> 1860
<TOTAL-LIABILITIES> 19035
<SENIOR-EQUITY> 0
<PAID-IN-CAPITAL-COMMON> 398590
<SHARES-COMMON-STOCK> 23188
<SHARES-COMMON-PRIOR> 22136
<ACCUMULATED-NII-CURRENT> 0
<OVERDISTRIBUTION-NII> (584)
<ACCUMULATED-NET-GAINS> 24230
<OVERDISTRIBUTION-GAINS> 0
<ACCUM-APPREC-OR-DEPREC> 79750
<NET-ASSETS> 501986
<DIVIDEND-INCOME> 1250
<INTEREST-INCOME> 1521
<OTHER-INCOME> 0
<EXPENSES-NET> (3355)
<NET-INVESTMENT-INCOME> (584)
<REALIZED-GAINS-CURRENT> 24407
<APPREC-INCREASE-CURRENT> 23423
<NET-CHANGE-FROM-OPS> 47246
<EQUALIZATION> 0
<DISTRIBUTIONS-OF-INCOME> 0
<DISTRIBUTIONS-OF-GAINS> (63372)
<DISTRIBUTIONS-OTHER> 0
<NUMBER-OF-SHARES-SOLD> 2890
<NUMBER-OF-SHARES-REDEEMED> (5042)
<SHARES-REINVESTED> 3204
<NET-CHANGE-IN-ASSETS> (989)
<ACCUMULATED-NII-PRIOR> 0
<ACCUMULATED-GAINS-PRIOR> 64681
<OVERDISTRIB-NII-PRIOR> 0
<OVERDIST-NET-GAINS-PRIOR> 0
<GROSS-ADVISORY-FEES> 1844
<INTEREST-EXPENSE> 0
<GROSS-EXPENSE> 3355
<AVERAGE-NET-ASSETS> 491620
<PER-SHARE-NAV-BEGIN> 22.03
<PER-SHARE-NII> (0.02)
<PER-SHARE-GAIN-APPREC> 1.86
<PER-SHARE-DIVIDEND> 0
<PER-SHARE-DISTRIBUTIONS> (2.88)
<RETURNS-OF-CAPITAL> 0
<PER-SHARE-NAV-END> 20.99
<EXPENSE-RATIO> 1.35
<AVG-DEBT-OUTSTANDING> 0
<AVG-DEBT-PER-SHARE> 0
</TABLE>
<TABLE> <S> <C>
<ARTICLE> 6
<SERIES>
<NUMBER> 022
<NAME> PHOENIX MID CAP PORTFOLIO CLASS B
<MULTIPLIER> 1,000
<S> <C>
<PERIOD-TYPE> 6-MOS
<FISCAL-YEAR-END> NOV-30-1996
<PERIOD-START> DEC-01-1995
<PERIOD-END> MAY-31-1996
<INVESTMENTS-AT-COST> 425876
<INVESTMENTS-AT-VALUE> 505627
<RECEIVABLES> 15394
<ASSETS-OTHER> 0
<OTHER-ITEMS-ASSETS> 0
<TOTAL-ASSETS> 521021
<PAYABLE-FOR-SECURITIES> 17175
<SENIOR-LONG-TERM-DEBT> 0
<OTHER-ITEMS-LIABILITIES> 1860
<TOTAL-LIABILITIES> 19035
<SENIOR-EQUITY> 0
<PAID-IN-CAPITAL-COMMON> 398590
<SHARES-COMMON-STOCK> 739
<SHARES-COMMON-PRIOR> 499
<ACCUMULATED-NII-CURRENT> 0
<OVERDISTRIBUTION-NII> (584)
<ACCUMULATED-NET-GAINS> 24230
<OVERDISTRIBUTION-GAINS> 0
<ACCUM-APPREC-OR-DEPREC> 79750
<NET-ASSETS> 501986
<DIVIDEND-INCOME> 1250
<INTEREST-INCOME> 1521
<OTHER-INCOME> 0
<EXPENSES-NET> (3355)
<NET-INVESTMENT-INCOME> (584)
<REALIZED-GAINS-CURRENT> 24407
<APPREC-INCREASE-CURRENT> 23423
<NET-CHANGE-FROM-OPS> 47246
<EQUALIZATION> 0
<DISTRIBUTIONS-OF-INCOME> 0
<DISTRIBUTIONS-OF-GAINS> (1486)
<DISTRIBUTIONS-OTHER> 0
<NUMBER-OF-SHARES-SOLD> 221
<NUMBER-OF-SHARES-REDEEMED> (56)
<SHARES-REINVESTED> 75
<NET-CHANGE-IN-ASSETS> 4393
<ACCUMULATED-NII-PRIOR> 0
<ACCUMULATED-GAINS-PRIOR> 64681
<OVERDISTRIB-NII-PRIOR> 0
<OVERDIST-NET-GAINS-PRIOR> 0
<GROSS-ADVISORY-FEES> 1844
<INTEREST-EXPENSE> 0
<GROSS-EXPENSE> 3355
<AVERAGE-NET-ASSETS> 491620
<PER-SHARE-NAV-BEGIN> 21.85
<PER-SHARE-NII> (0.10)
<PER-SHARE-GAIN-APPREC> 1.85
<PER-SHARE-DIVIDEND> 0
<PER-SHARE-DISTRIBUTIONS> (2.88)
<RETURNS-OF-CAPITAL> 0
<PER-SHARE-NAV-END> 20.72
<EXPENSE-RATIO> 2.10
<AVG-DEBT-OUTSTANDING> 0
<AVG-DEBT-PER-SHARE> 0
</TABLE>
<TABLE> <S> <C>
<ARTICLE> 6
<SERIES>
<NUMBER> 031
<NAME> PHOENIX INTERNATIONAL PORTFOLIO CLASS A
<MULTIPLIER> 1,000
<S> <C>
<PERIOD-TYPE> 6-MOS
<FISCAL-YEAR-END> NOV-30-1996
<PERIOD-START> DEC-01-1995
<PERIOD-END> MAY-31-1996
<INVESTMENTS-AT-COST> 127694
<INVESTMENTS-AT-VALUE> 144837
<RECEIVABLES> 3584
<ASSETS-OTHER> 2319
<OTHER-ITEMS-ASSETS> 0
<TOTAL-ASSETS> 150740
<PAYABLE-FOR-SECURITIES> 1221
<SENIOR-LONG-TERM-DEBT> 0
<OTHER-ITEMS-LIABILITIES> 2734
<TOTAL-LIABILITIES> 3955
<SENIOR-EQUITY> 0
<PAID-IN-CAPITAL-COMMON> 119257
<SHARES-COMMON-STOCK> 10249
<SHARES-COMMON-PRIOR> 10605
<ACCUMULATED-NII-CURRENT> 17
<OVERDISTRIBUTION-NII> 0
<ACCUMULATED-NET-GAINS> 10302
<OVERDISTRIBUTION-GAINS> 0
<ACCUM-APPREC-OR-DEPREC> 17209
<NET-ASSETS> 146785
<DIVIDEND-INCOME> 1147
<INTEREST-INCOME> 304
<OTHER-INCOME> 0
<EXPENSES-NET> (1138)
<NET-INVESTMENT-INCOME> 313
<REALIZED-GAINS-CURRENT> 10309
<APPREC-INCREASE-CURRENT> 7304
<NET-CHANGE-FROM-OPS> 17926
<EQUALIZATION> 0
<DISTRIBUTIONS-OF-INCOME> 0
<DISTRIBUTIONS-OF-GAINS> (366)
<DISTRIBUTIONS-OTHER> 0
<NUMBER-OF-SHARES-SOLD> 3695
<NUMBER-OF-SHARES-REDEEMED> (4078)
<SHARES-REINVESTED> 27
<NET-CHANGE-IN-ASSETS> 12166
<ACCUMULATED-NII-PRIOR> 0
<ACCUMULATED-GAINS-PRIOR> 369
<OVERDISTRIB-NII-PRIOR> 296
<OVERDIST-NET-GAINS-PRIOR> 0
<GROSS-ADVISORY-FEES> 528
<INTEREST-EXPENSE> 0
<GROSS-EXPENSE> 1138
<AVERAGE-NET-ASSETS> 140687
<PER-SHARE-NAV-BEGIN> 12.20
<PER-SHARE-NII> 0.03
<PER-SHARE-GAIN-APPREC> 1.62
<PER-SHARE-DIVIDEND> 0
<PER-SHARE-DISTRIBUTIONS> (0.04)
<RETURNS-OF-CAPITAL> 0
<PER-SHARE-NAV-END> 13.81
<EXPENSE-RATIO> 1.60
<AVG-DEBT-OUTSTANDING> 0
<AVG-DEBT-PER-SHARE> 0
</TABLE>
<TABLE> <S> <C>
<ARTICLE> 6
<SERIES>
<NUMBER> 032
<NAME> PHOENIX INTERNATIONAL PORTFOLIO CLASS B
<MULTIPLIER> 1,000
<S> <C>
<PERIOD-TYPE> 6-MOS
<FISCAL-YEAR-END> NOV-30-1996
<PERIOD-START> DEC-01-1995
<PERIOD-END> MAY-31-1996
<INVESTMENTS-AT-COST> 127694
<INVESTMENTS-AT-VALUE> 144837
<RECEIVABLES> 3584
<ASSETS-OTHER> 2319
<OTHER-ITEMS-ASSETS> 0
<TOTAL-ASSETS> 150740
<PAYABLE-FOR-SECURITIES> 1221
<SENIOR-LONG-TERM-DEBT> 0
<OTHER-ITEMS-LIABILITIES> 2734
<TOTAL-LIABILITIES> 3955
<SENIOR-EQUITY> 0
<PAID-IN-CAPITAL-COMMON> 119257
<SHARES-COMMON-STOCK> 387
<SHARES-COMMON-PRIOR> 270
<ACCUMULATED-NII-CURRENT> 17
<OVERDISTRIBUTION-NII> 0
<ACCUMULATED-NET-GAINS> 10302
<OVERDISTRIBUTION-GAINS> 0
<ACCUM-APPREC-OR-DEPREC> 17209
<NET-ASSETS> 146785
<DIVIDEND-INCOME> 1147
<INTEREST-INCOME> 304
<OTHER-INCOME> 0
<EXPENSES-NET> (1138)
<NET-INVESTMENT-INCOME> 313
<REALIZED-GAINS-CURRENT> 10309
<APPREC-INCREASE-CURRENT> 7304
<NET-CHANGE-FROM-OPS> 17926
<EQUALIZATION> 0
<DISTRIBUTIONS-OF-INCOME> 0
<DISTRIBUTIONS-OF-GAINS> (9)
<DISTRIBUTIONS-OTHER> 0
<NUMBER-OF-SHARES-SOLD> 173
<NUMBER-OF-SHARES-REDEEMED> (57)
<SHARES-REINVESTED> 1
<NET-CHANGE-IN-ASSETS> 2006
<ACCUMULATED-NII-PRIOR> 0
<ACCUMULATED-GAINS-PRIOR> 369
<OVERDISTRIB-NII-PRIOR> 296
<OVERDIST-NET-GAINS-PRIOR> 0
<GROSS-ADVISORY-FEES> 528
<INTEREST-EXPENSE> 0
<GROSS-EXPENSE> 1138
<AVERAGE-NET-ASSETS> 140687
<PER-SHARE-NAV-BEGIN> 12.07
<PER-SHARE-NII> (0.01)
<PER-SHARE-GAIN-APPREC> 1.59
<PER-SHARE-DIVIDEND> 0
<PER-SHARE-DISTRIBUTIONS> (0.04)
<RETURNS-OF-CAPITAL> 0
<PER-SHARE-NAV-END> 13.61
<EXPENSE-RATIO> 2.34
<AVG-DEBT-OUTSTANDING> 0
<AVG-DEBT-PER-SHARE> 0
</TABLE>
<TABLE> <S> <C>
<ARTICLE> 6
<SERIES>
<NUMBER> 061
<NAME> PHOENIX REAL ESTATE SECURITIES PORTFOLIO CLASS A
<MULTIPLIER> 1,000
<S> <C>
<PERIOD-TYPE> 6-MOS
<FISCAL-YEAR-END> NOV-30-1996
<PERIOD-START> DEC-01-1995
<PERIOD-END> MAY-31-1996
<INVESTMENTS-AT-COST> 20611
<INVESTMENTS-AT-VALUE> 22310
<RECEIVABLES> 38
<ASSETS-OTHER> 52
<OTHER-ITEMS-ASSETS> 0
<TOTAL-ASSETS> 22400
<PAYABLE-FOR-SECURITIES> 84
<SENIOR-LONG-TERM-DEBT> 0
<OTHER-ITEMS-LIABILITIES> 62
<TOTAL-LIABILITIES> 146
<SENIOR-EQUITY> 0
<PAID-IN-CAPITAL-COMMON> 20286
<SHARES-COMMON-STOCK> 1565
<SHARES-COMMON-PRIOR> 1292
<ACCUMULATED-NII-CURRENT> 45
<OVERDISTRIBUTION-NII> 0
<ACCUMULATED-NET-GAINS> 224
<OVERDISTRIBUTION-GAINS> 0
<ACCUM-APPREC-OR-DEPREC> 1699
<NET-ASSETS> 22254
<DIVIDEND-INCOME> 512
<INTEREST-INCOME> 5
<OTHER-INCOME> 0
<EXPENSES-NET> (139)
<NET-INVESTMENT-INCOME> 378
<REALIZED-GAINS-CURRENT> 230
<APPREC-INCREASE-CURRENT> 1404
<NET-CHANGE-FROM-OPS> 2012
<EQUALIZATION> 0
<DISTRIBUTIONS-OF-INCOME> (466)
<DISTRIBUTIONS-OF-GAINS> 22
<DISTRIBUTIONS-OTHER> 0
<NUMBER-OF-SHARES-SOLD> 267
<NUMBER-OF-SHARES-REDEEMED> (35)
<SHARES-REINVESTED> 42
<NET-CHANGE-IN-ASSETS> 4290
<ACCUMULATED-NII-PRIOR> 211
<ACCUMULATED-GAINS-PRIOR> 20
<OVERDISTRIB-NII-PRIOR> 0
<OVERDIST-NET-GAINS-PRIOR> 0
<GROSS-ADVISORY-FEES> 73
<INTEREST-EXPENSE> 0
<GROSS-EXPENSE> 228
<AVERAGE-NET-ASSETS> 19412
<PER-SHARE-NAV-BEGIN> 10.72
<PER-SHARE-NII> 0.23
<PER-SHARE-GAIN-APPREC> 1.00
<PER-SHARE-DIVIDEND> (0.34)
<PER-SHARE-DISTRIBUTIONS> (0.02)
<RETURNS-OF-CAPITAL> 0
<PER-SHARE-NAV-END> 11.59
<EXPENSE-RATIO> 1.30
<AVG-DEBT-OUTSTANDING> 0
<AVG-DEBT-PER-SHARE> 0
</TABLE>
<TABLE> <S> <C>
<ARTICLE> 6
<SERIES>
<NUMBER> 062
<NAME> PHOENIX REAL ESTATE SECURITIES PORTFOLIO CLASS B
<MULTIPLIER> 1,000
<S> <C>
<PERIOD-TYPE> 6-MOS
<FISCAL-YEAR-END> NOV-30-1996
<PERIOD-START> DEC-01-1995
<PERIOD-END> MAY-31-1996
<INVESTMENTS-AT-COST> 20611
<INVESTMENTS-AT-VALUE> 22310
<RECEIVABLES> 38
<ASSETS-OTHER> 52
<OTHER-ITEMS-ASSETS> 0
<TOTAL-ASSETS> 22400
<PAYABLE-FOR-SECURITIES> 84
<SENIOR-LONG-TERM-DEBT> 0
<OTHER-ITEMS-LIABILITIES> 62
<TOTAL-LIABILITIES> 146
<SENIOR-EQUITY> 0
<PAID-IN-CAPITAL-COMMON> 20286
<SHARES-COMMON-STOCK> 357
<SHARES-COMMON-PRIOR> 210
<ACCUMULATED-NII-CURRENT> 45
<OVERDISTRIBUTION-NII> 0
<ACCUMULATED-NET-GAINS> 224
<OVERDISTRIBUTION-GAINS> 0
<ACCUM-APPREC-OR-DEPREC> 1699
<NET-ASSETS> 22254
<DIVIDEND-INCOME> 512
<INTEREST-INCOME> 5
<OTHER-INCOME> 0
<EXPENSES-NET> (139)
<NET-INVESTMENT-INCOME> 378
<REALIZED-GAINS-CURRENT> 230
<APPREC-INCREASE-CURRENT> 1404
<NET-CHANGE-FROM-OPS> 2012
<EQUALIZATION> 0
<DISTRIBUTIONS-OF-INCOME> (78)
<DISTRIBUTIONS-OF-GAINS> 4
<DISTRIBUTIONS-OTHER> 0
<NUMBER-OF-SHARES-SOLD> 149
<NUMBER-OF-SHARES-REDEEMED> (9)
<SHARES-REINVESTED> 6
<NET-CHANGE-IN-ASSETS> 1883
<ACCUMULATED-NII-PRIOR> 211
<ACCUMULATED-GAINS-PRIOR> 20
<OVERDISTRIB-NII-PRIOR> 0
<OVERDIST-NET-GAINS-PRIOR> 0
<GROSS-ADVISORY-FEES> 73
<INTEREST-EXPENSE> 0
<GROSS-EXPENSE> 228
<AVERAGE-NET-ASSETS> 19412
<PER-SHARE-NAV-BEGIN> 10.68
<PER-SHARE-NII> 0.18
<PER-SHARE-GAIN-APPREC> 1.00
<PER-SHARE-DIVIDEND> (0.29)
<PER-SHARE-DISTRIBUTIONS> (0.02)
<RETURNS-OF-CAPITAL> 0
<PER-SHARE-NAV-END> 11.55
<EXPENSE-RATIO> 2.05
<AVG-DEBT-OUTSTANDING> 0
<AVG-DEBT-PER-SHARE> 0
</TABLE>
<TABLE> <S> <C>
<ARTICLE> 6
<SERIES>
<NUMBER> 071
<NAME> PHOENIX EMERGING MARKETS PORTFOLIO CLASS A
<MULTIPLIER> 1,000
<S> <C>
<PERIOD-TYPE> 6-MOS
<FISCAL-YEAR-END> NOV-30-1996
<PERIOD-START> DEC-01-1995
<PERIOD-END> MAY-31-1996
<INVESTMENTS-AT-COST> 22483
<INVESTMENTS-AT-VALUE> 24152
<RECEIVABLES> 3433
<ASSETS-OTHER> 390
<OTHER-ITEMS-ASSETS> 0
<TOTAL-ASSETS> 27975
<PAYABLE-FOR-SECURITIES> 4580
<SENIOR-LONG-TERM-DEBT> 0
<OTHER-ITEMS-LIABILITIES> 198
<TOTAL-LIABILITIES> 4778
<SENIOR-EQUITY> 0
<PAID-IN-CAPITAL-COMMON> 19973
<SHARES-COMMON-STOCK> 1461
<SHARES-COMMON-PRIOR> 1193
<ACCUMULATED-NII-CURRENT> 0
<OVERDISTRIBUTION-NII> (55)
<ACCUMULATED-NET-GAINS> 1610
<OVERDISTRIBUTION-GAINS> 0
<ACCUM-APPREC-OR-DEPREC> 1669
<NET-ASSETS> 23197
<DIVIDEND-INCOME> 0
<INTEREST-INCOME> 1036
<OTHER-INCOME> 0
<EXPENSES-NET> (146)
<NET-INVESTMENT-INCOME> 890
<REALIZED-GAINS-CURRENT> 1663
<APPREC-INCREASE-CURRENT> 1384
<NET-CHANGE-FROM-OPS> 3937
<EQUALIZATION> 0
<DISTRIBUTIONS-OF-INCOME> (794)
<DISTRIBUTIONS-OF-GAINS> 0
<DISTRIBUTIONS-OTHER> 0
<NUMBER-OF-SHARES-SOLD> 246
<NUMBER-OF-SHARES-REDEEMED> (43)
<SHARES-REINVESTED> 65
<NET-CHANGE-IN-ASSETS> 5577
<ACCUMULATED-NII-PRIOR> 6
<ACCUMULATED-GAINS-PRIOR> 0
<OVERDISTRIB-NII-PRIOR> 0
<OVERDIST-NET-GAINS-PRIOR> 52
<GROSS-ADVISORY-FEES> 67
<INTEREST-EXPENSE> 0
<GROSS-EXPENSE> 224
<AVERAGE-NET-ASSETS> 17932
<PER-SHARE-NAV-BEGIN> 10.18
<PER-SHARE-NII> 0.57
<PER-SHARE-GAIN-APPREC> 1.99
<PER-SHARE-DIVIDEND> (0.60)
<PER-SHARE-DISTRIBUTIONS> 0
<RETURNS-OF-CAPITAL> 0
<PER-SHARE-NAV-END> 12.14
<EXPENSE-RATIO> 1.50
<AVG-DEBT-OUTSTANDING> 0
<AVG-DEBT-PER-SHARE> 0
</TABLE>
<TABLE> <S> <C>
<ARTICLE> 6
<SERIES>
<NUMBER> 072
<NAME> PHOENIX EMERGING MARKETS PORTFOLIO CLASS B
<MULTIPLIER> 1,000
<S> <C>
<PERIOD-TYPE> 6-MOS
<FISCAL-YEAR-END> NOV-30-1996
<PERIOD-START> DEC-01-1995
<PERIOD-END> MAY-31-1996
<INVESTMENTS-AT-COST> 22483
<INVESTMENTS-AT-VALUE> 24152
<RECEIVABLES> 3433
<ASSETS-OTHER> 390
<OTHER-ITEMS-ASSETS> 0
<TOTAL-ASSETS> 27975
<PAYABLE-FOR-SECURITIES> 4580
<SENIOR-LONG-TERM-DEBT> 0
<OTHER-ITEMS-LIABILITIES> 198
<TOTAL-LIABILITIES> 4778
<SENIOR-EQUITY> 0
<PAID-IN-CAPITAL-COMMON> 19973
<SHARES-COMMON-STOCK> 451
<SHARES-COMMON-PRIOR> 59
<ACCUMULATED-NII-CURRENT> 0
<OVERDISTRIBUTION-NII> (55)
<ACCUMULATED-NET-GAINS> 1610
<OVERDISTRIBUTION-GAINS> 0
<ACCUM-APPREC-OR-DEPREC> 1669
<NET-ASSETS> 23197
<DIVIDEND-INCOME> 0
<INTEREST-INCOME> 1036
<OTHER-INCOME> 0
<EXPENSES-NET> (146)
<NET-INVESTMENT-INCOME> 890
<REALIZED-GAINS-CURRENT> 1663
<APPREC-INCREASE-CURRENT> 1384
<NET-CHANGE-FROM-OPS> 3937
<EQUALIZATION> 0
<DISTRIBUTIONS-OF-INCOME> (157)
<DISTRIBUTIONS-OF-GAINS> 0
<DISTRIBUTIONS-OTHER> 0
<NUMBER-OF-SHARES-SOLD> 396
<NUMBER-OF-SHARES-REDEEMED> (11)
<SHARES-REINVESTED> 7
<NET-CHANGE-IN-ASSETS> 4875
<ACCUMULATED-NII-PRIOR> 6
<ACCUMULATED-GAINS-PRIOR> 0
<OVERDISTRIB-NII-PRIOR> 0
<OVERDIST-NET-GAINS-PRIOR> 52
<GROSS-ADVISORY-FEES> 67
<INTEREST-EXPENSE> 0
<GROSS-EXPENSE> 224
<AVERAGE-NET-ASSETS> 17932
<PER-SHARE-NAV-BEGIN> 10.18
<PER-SHARE-NII> 0.53
<PER-SHARE-GAIN-APPREC> 1.98
<PER-SHARE-DIVIDEND> (0.57)
<PER-SHARE-DISTRIBUTIONS> 0
<RETURNS-OF-CAPITAL> 0
<PER-SHARE-NAV-END> 12.12
<EXPENSE-RATIO> 2.25
<AVG-DEBT-OUTSTANDING> 0
<AVG-DEBT-PER-SHARE> 0
</TABLE>
