AMERICAN CENTURY QUANTITATIVE EQUITY FUNDS, N-30D, 1997-08-25

AMERICAN CENTURY QUANTITATIVE EQUITY FUNDS
N-30D, 1997-08-25

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SEMIANNUAL REPORT

[american century logo]
American
Century(sm)

June 30, 1997

AMERICAN
CENTURY
GROUP

Utilities

[front cover]

TABLE OF CONTENTS

Report Highlights........................................... 1
Our Message to You.......................................... 2
Period Overview............................................. 3
Performance & Portfolio Information......................... 4
Management Q & A............................................ 5
Schedule of Investments..................................... 8
Statement of Assets and Liabilities.........................10
Statement of Operations.....................................11
Statements of Changes in Net Assets.........................12
Notes to Financial Statements...............................13
Financial Highlights........................................15
Proxy Voting Results........................................16
Retirement Account Information..............................17
Background Information
Investment Philosophy & Policies.......................20
Comparative Indices....................................20
Lipper Rankings........................................20
Portfolio Management Team..............................20
Glossary....................................................21

American Century Investments offers you nearly 70 fund choices covering stocks,
bonds, money markets, specialty investments and blended portfolios. To help you
find the funds that may meet your needs, we have divided American Century funds
into three groups based on investment style and objectives. These groups, which
appear below, are designed to help simplify your fund decisions.

American Century Investments -- Family of Funds

BENHAM GROUP AMERICAN CENTURY GROUP TWENTIETH CENTURY GROUP

MONEY MARKET FUNDS ASSET ALLOCATION &
GOVERNMENT BOND FUNDS BALANCED FUNDS U.S. GROWTH FUNDS
DIVERSIFIED BOND FUNDS CONSERVATIVE EQUITY FUNDS INTERNATIONAL FUNDS
MUNICIPAL BOND FUNDS SPECIALTY FUNDS
Utilities

We welcome your comments or questions about this report. See the back cover for
ways to contact us by mail, phone or e-mail.

Twentieth Century and the Benham Group are registered marks of American Century
Services Corporation and Benham Management Corporation, respectively. American
Century is a service mark of American Century Services Corporation.

American Century Investments

REPORT HIGHLIGHTS

Period Overview

o Utilities stocks posted strong gains during the first half of 1997, though
they trailed the 20% returns of the broader U.S. stock market.

o Interest rate volatility had a significant impact on the returns of
utilities stocks, as well as the broader stock market.

o Telecommunications stocks, bene-fiting from consolidation and strong
demand, produced the best returns in the utilities sector.

o Electric utilities struggled, with several companies cutting dividends in
an effort to strengthen their businesses.

o Merger activity among utilities companies increased, motivated by a need
for greater diversification.

Utilities

o The fund outperformed the average utilities fund but underperformed the New
York Stock Exchange (NYSE) Utilities Index during the first half of 1997.

o The fund outperformed its internal benchmark index during the period. This
index was created as an alternative to the NYSE Utilities Index, which
includes several non-utility stocks.

o The fund increased its weighting in telecommunications stocks, which we
believe offer the most dynamic opportunities in the utilities sector.

o Looking ahead, the interest rate environment appears favorable for
utilities stocks, but deregulation continues to add a degree of uncertainty
to the outlook.

o In this environment, we plan to focus on companies with growing earnings
and attractive valuations.

UTILITIES

Total Returns: AS OF 6/30/97
6 Months 9.01%*
1 Year 13.22%

Net Assets: $128.2 million
(AS of 6/30/97)

Inception Date: 3/1/93

Ticker Symbol: BULIX

* Not annualized.

Many of the investment terms in this report are
defined in the Glossary on page 21.

Semiannual Report Report Highlights 1

OUR MESSAGE TO YOU

[photo of James E. Stowers III and James M. Benham]

The six months ended June 30, 1997, were rewarding for investors in American
Century Utilities Fund. In the Period Overview and Management Q&A sections that
follow, the fund's investment team discusses the economic and market conditions
that influenced fund strategy and performance.

The fund performed well despite a change in the investment team. Portfolio
manager Steve Colton left American Century to pursue other opportunities, but he
was replaced by three experienced American Century managers -- John Schniedwind,
Kurt Borgwardt and Joe Sterling-- who are thoroughly familiar with the fund's
objectives and investment approaches. They have taken over the operation of the
fund's quantitative (computer-based) management model, which is highly
structured and disciplined. The new team has a complete understanding of the
model, helped by the fact that Schniedwind, Borgwardt and Sterling played
significant roles in developing and refining the model for American Century.

We have also made some important changes to our corporate team. In June, Bill
Lyons, American Century's chief operating officer, became president, assuming
full responsibility for the company's day-to-day operations. With this change,
Jim Stowers, Jr. and Jim Stowers III will be able to spend more time developing
and refining new investment technologies and tools that build on and leverage
the proprietary system they pioneered 25 years ago. One of our goals is to
ensure that we continue to evolve and innovate -- building the investment tools
today that will lead us and our investors to success in the next century.

In July, as part of our evolution, American Century agreed to enter into a
business partnership with J.P. Morgan & Co., one of the strongest and most
respected firms in the financial services industry. J.P. Morgan will become a
significant minority owner of American Century Companies, Inc., the investment
manager of the American Century family of mutual funds. Through this
partnership, we see many opportunities to expand the range of investment choices
and services we offer to you. A global financial services firm, J.P. Morgan has
been in business for more than 150 years, serving institutions, governments and
individuals with complex financial needs.

Within the framework of this new relationship American Century will continue to
operate as an independent company. No changes in your fund's portfolio managers,
investment policies, fees or expenses are anticipated as a result of this
transaction. American Century's corporate management team remains the same, and
the Stowers family will retain voting control of the company.

In closing, we want to reassure you that American Century remains committed to
serving your investment needs first and foremost. Thank you for your trust and
confidence.

Sincerely,

/s/James E. Stowers III /s/James M. Benham
James E. Stowers III James M. Benham
Chief Executive Officer Vice Chairman
American Century Companies American Century Companies

2 Our Message to You American Century Investments

PERIOD OVERVIEW

Utilities stocks posted strong returns during the first half of 1997 but trailed
the performance of U.S. stocks in general. The New York Stock Exchange Utilities
Index returned 11.67% for the six-month period, surpassing its 7.20% return for
all of 1996. Meanwhile, the S&P 500--a broad measure of U.S. stock market
performance--produced a 20.61% return during the first half of 1997 (see the
accompanying graph).

Strong investor demand for stocks drove the general rise in U.S. stock prices,
and utilities stocks rode the broader market's coattails to a certain extent.
But much of the $114 billion that investors poured into stock mutual funds
during the first half of the year went into the largest, most-liquid stocks,
such as those represented in the S&P 500. These large-cap growth stocks led the
overall market higher, as they did throughout most of 1996. Although some of the
larger utilities companies benefited from this trend, the utilities sector as a
whole did not.

Interest rate volatility typically has a significant impact on the performance
of utilities stocks, but that effect extended to the broader stock market during
the first half of 1997. Rates rose steadily from mid-February to mid-April as
evidence of stronger economic growth rekindled inflation concerns. Utilities
stocks, as well as the overall market, suffered price declines during this
two-month period.

However, interest rates reversed course in May and June, and stocks recovered to
post strong gains. The NYSE Utilities Index returned nearly 10% over the last
two months of the period, while the S&P 500 posted an 11% return.

Among utilities stocks, telecommunications companies were the top performers,
returning about 15% as a group during the six-month period. The completion of
the SBC/Pacific Bell merger and the pending merger of Bell Atlantic/ NYNEX are
expected to strengthen the competitive position of many regional Bell operating
companies (RBOCs). Investor demand for large-cap stocks, which include the
RBOCs, also boosted the returns of telecommunications stocks.

Electric companies were the weakest performers in the utilities sector, with a
return of just 1.5% as a group. Although many of these stocks still have high
dividend yields, industry analysts doubt whether those electric companies with
high-cost facilities can maintain their dividends in the face of deregulation
and increased competition. In fact, several electric companies cut their
dividends in early 1997 and plan to use the earnings to strengthen and diversify
their businesses both at home and abroad. This strategy should make these
companies more competitive in the long run.

The utilities sector continues to see an increase in mergers and acquisitions,
many of which are driven by a desire for greater diversification. The pending
merger between MCI and British Telecommunications reflected the international
diversification sought by long-distance telecommunications companies, while the
merger of electricity provider Duke Power with gas company PanEnergy created a
combined entity that offers a broader menu of utility services.

[line graph - data below]

S&P 500 vs. NYSE UTILITIES INDEX (Growth of $1.00)
Value on 6/30/97

S&P 500 NYSE Utilities Index
12/31/96 $1.00 $1.00
1/31/97 $1.06 $1.04
2/28/97 $1.07 $1.05
3/31/97 $1.03 $1.00
4/30/97 $1.09 $1.02
6/30/97 $1.21 $1.12

S&P 500 20.61%
NYSE Utilities Index 11.67%

Source: Bloomberg Financial Markets

Semiannual Report Period Overview 3

<TABLE>
<CAPTION>
PERFORMANCE & PORTFOLIO INFORMATION

AVERAGE ANNUAL RETURNS
6 MONTHS 1 YEAR 3 YEARS LIFE OF FUND(1)
TOTAL RETURNS AS OF JUNE 30, 1997
<S> <C> <C> <C> <C>
Utilities ............................................ 9.01% 13.22% 15.55% 9.59%
NYSE Utilities Index ................................. 11.67% 16.46% 17.26% 10.50%
Average Utility Fund(2) .............................. 7.60% 13.92% 14.75% 9.25%(3)
Fund's Ranking Among Utility Funds(2) ................ -- 47 out of 90 22 out of 65 18 out of 36(3)
</TABLE>

(1) Inception date was March 1, 1993.
(2) According to Lipper Analytical Services.
(3) Since 3/4/93, the date nearest the fund's inception for which data are
available.

See pages 20-21 for more information about returns, the comparative indices and
Lipper fund rankings.

[mountain graph - data below]

GROWTH OF $10,000 OVER LIFE OF FUND
Value on 6/30/97

$10,000 investment made 3/1/93

Utilities $14,870
NYSE Utilities Index $15,416
S&P 500 $22,402

Utilities S&P 500 NYSE Utilities Index

2/28/93 $10,000 $10,000 $10,000
3/31/93 $10,223 $10,287 $10,258
4/30/93 $10,126 $10,026 $10,060
5/31/93 $10,161 $10,253 $10,069
6/30/93 $10,590 $10,335 $10,455
7/31/93 $10,787 $10,281 $10,645
8/31/93 $11,249 $10,634 $11,112
9/30/93 $11,264 $10,601 $11,078
10/31/93 $11,187 $10,807 $11,073
11/30/93 $10,596 $10,667 $10,493
12/31/93 $10,659 $10,847 $10,614
1/31/94 $10,706 $11,199 $10,680
2/28/94 $10,167 $10,863 $10,107
3/31/94 $9,732 $10,440 $9,699
4/30/94 $9,979 $10,560 $9,984
5/31/94 $9,804 $10,691 $9,710
6/30/94 $9,639 $10,484 $9,562
7/31/94 $9,995 $10,814 $9,946
8/31/94 $10,064 $11,221 $10,038
9/30/94 $9,801 $10,997 $9,812
10/31/94 $9,838 $11,227 $9,818
11/30/94 $9,681 $10,783 $9,640
12/31/94 $9,590 $10,996 $9,618
1/31/95 $10,151 $11,263 $10,133
2/28/95 $10,211 $11,669 $10,117
3/31/95 $10,161 $12,064 $10,071
4/30/95 $10,420 $12,401 $10,378
5/31/95 $10,790 $12,852 $10,696
6/30/95 $10,862 $13,212 $10,795
7/31/95 $11,068 $13,632 $11,037
8/31/95 $11,274 $13,604 $11,272
9/30/95 $11,897 $14,234 $11,822
10/31/95 $12,127 $14,163 $12,004
11/30/95 $12,358 $14,745 $12,223
12/31/95 $13,013 $15,089 $12,877
1/31/96 $13,212 $15,581 $13,135
2/29/96 $12,909 $15,690 $12,753
3/31/96 $12,698 $15,898 $12,637
4/30/96 $12,739 $16,111 $12,825
5/31/96 $12,688 $16,480 $12,896
6/30/96 $13,133 $16,609 $13,237
7/31/96 $12,422 $15,850 $12,567
8/31/96 $12,393 $16,148 $12,595
9/30/96 $12,505 $17,118 $12,841
10/31/96 $12,956 $17,567 $13,302
11/30/96 $13,408 $18,854 $13,856
12/31/96 $13,640 $18,547 $13,805
1/31/97 $13,872 $19,680 $14,286
2/28/97 $14,136 $19,797 $14,442
3/31/97 $13,351 $19,048 $13,802
4/30/97 $13,575 $20,155 $14,054
5/31/97 $14,364 $21,338 $14,787
6/30/97 $14,870 $22,402 $15,416

Past performance does not guarantee future results. Investment return and
principal value will fluctuate, and redemption value may be more or less than
original cost.

The line representing the fund's total return includes operating expenses (such
as transaction costs and management fees) that reduce returns, while the total
return lines of the indices do not.

PORTFOLIO AT A GLANCE
6/30/97 12/31/96
Number of Companies 90 91
30-Day SEC Yield 3.56% 3.66%
Price/Earnings Ratio 15.4 16.0
Portfolio Turnover 30%(1) 93%(2)
Expense Ratio 0.74%(3) 0.71%

(1) Six months ended 6/30/97.
(2) Year ended 12/31/96.
(3) Annualized.

4 Performance & Portfolio Information American Century Investments

MANAGEMENT Q & A

An interview with John Schniedwind, Kurt Borgwardt and Joe Sterling, portfolio
managers on the Utilities investment team.

How did the fund perform?

For the six months ended June 30, 1997, the fund posted a total return of 9.01%,
compared with the 11.67% return of the New York Stock Exchange Utilities Index
and the 7.60% average return of the 95 "Utility Funds" tracked by Lipper
Analytical Services. (See the Total Returns table on the previous page for other
fund performance comparisons.)

Why did the fund outperform the average utilities fund?

The fund was overweighted in telecommunications stocks, which provided the best
returns in the utilities sector. In addition, our policy of remaining fully
invested in utilities stocks enabled the fund to take full advantage of the
market's rise.

According to Morningstar, the average utility fund has 7% in bonds and 3% in
cash. By contrast, the fund held no bonds or cash.

What about the fund's performance compared with the NYSE Utilities Index?

The returns of the fund and the index diverged because of some differences in
their holdings. The index includes several companies that don't provide utility
services, such as telecommunications equipment companies. These stocks performed
very well during the first half of the year because of high demand for their
products. The fund doesn't hold any of these companies, and that's why it fell
short of this particular index.

As we mentioned in our last report, we established an internal benchmark that is
more representative of the fund's investment parameters. The benchmark currently
consists of about 180 companies, with a breakdown of 52% telecommunications, 32%
electric,

[bar chart - data below]

UTILITIES' ONE-YEAR RETURNS SINCE INCEPTION (Periods ended June 30)

Utilities NYSE Utilities Index
1993 5.90% 4.55%
1994 -8.98% -8.54%
1995 12.68% 12.89%
1996 20.92% 22.63%
1997 13.22% 16.46%

This graph illustrates the fund's returns since its inception and compares them
with the index's returns. The fund's total returns include operating expenses,
while the index's returns do not. See page 20 for a description of the index.

* Return from 3/1/93 to 6/30/93.

Semiannual Report Management Q & A 5

MANAGEMENT Q & A

8% natural gas and 8% other utilities. The fund outperformed the internal
benchmark's 8.64% return during the six-month period.

Did the fund's composition change much during the period?

Not really. As we mentioned earlier, the fund now has a greater weighting in
communications services companies than it had six months ago (see the chart on
page 7). With all of the opportunities created by the Federal Communications Act
of 1996, we think that telecommunications will be one of the most dynamic
sectors of the utilities industry.

Telecommunications companies are moving toward "bundled" services--they will
eventually be able to provide local, long-distance and cellular phone services,
as well as Internet access. Some of this bundling will probably occur through
merger activity, but much of it will simply develop over time as long-distance
and local phone companies expand into each other's territory. The companies that
get there first will have a significant competitive advantage.

Are there any companies that have the full complement of telecommunications
services already?

So far, only one company --WorldCom--has put the whole package together.
Originally a long-distance provider, WorldCom merged with MFS Communications in
late 1996. Now the company has a complete menu of telecommunications offerings,
including local, long-distance, wireless and Internet services.

This is a huge advantage over its competitors--the other long-distance companies
are still exploring their way into local service areas, and the regional Bell
operating companies haven't yet established a presence in the long-distance
market. WorldCom has become a major player in the changing telecommunications
business, and that's why the company is now one of the fund's top ten holdings
(see the chart on this page).

Why didn't the fund hold any bonds during the period?

We prefer to maintain an all-stock portfolio, adding bonds only when we believe
that their yields are attractive enough to provide extra value compared to
stocks. We didn't see much extra value in bonds during the first half of the
year, so we continued to avoid them.

Looking forward, what's your outlook for utilities stocks for the remainder of
1997?

Interest rates are still a major factor influencing the performance of utilities
stocks, and from this perspective, the outlook is positive--moderate economic
growth and consistently low inflation should be favorable for interest rates in
the coming months.

TOP TEN HOLDINGS % of fund investments
As of As of
6/30/97 12/31/96
Bell Atlantic Corp. 5.3% 4.8%
SBC Communications Inc. 5.1% 4.8%
Ameritech Corp. 5.1% 4.9%
BellSouth Corp. 5.0% 4.8%
GTE Corp. 4.8% 4.2%
AT&T Corp. 4.6% 4.9%
WorldCom, Inc. 3.6% 1.3%
MCI Communications Corp. 3.2% 2.4%
Southern Co. 3.1% 2.4%
NYNEX Corp. 2.6% 3.0%

6 Management Q & A American Century Investments

MANAGEMENT Q & A

But industry trends add some uncertainty to the outlook for utilities stocks.
The process of deregulation in both the electric and telecommunications sectors
is changing the way these companies do business. When regulated, these stocks
had relatively stable performance compared with the broader market. Now,
however, sweeping changes are bringing a wider variation in the performance of
individual companies.

While this situation creates more uncertainty, it also creates more
opportunities for us as fund managers to add value by identifying the companies
that are in the best position to benefit from the changing environment.

With that in mind, what are your plans for the fund over the next six months?

We plan to maintain the fund's current composition, with an emphasis on
telecommunications stocks. We are working to increase our holdings in natural
gas companies, which now look relatively attractive. We'll continue to focus on
companies that are expected to increase their earnings and are attractive from a
valuation standpoint.

The fund's management team changed recently with the departure of Steve Colton.
Will these changes have any impact on the fund's investment approach?

Not at all. We continue to employ the same quantitative process and stock
ranking model we've always used in managing the fund. The current team consists
of three investment professionals who have been actively involved in the
development of the fund's management approach since its inception.

[bar chart - data below]

INDUSTRY BREAKDOWN FOR THE PORTFOLIO
6/30/97 12/31/96
Communications Services 52% 50%
Electric 36% 36%
Natural Gas 8% 10%
Other 4% 4%

Semiannual Report Management Q & A 7

SCHEDULE OF INVESTMENTS

JUNE 30, 1997 (UNAUDITED)

Shares Value
- -----------------------------------------------------------------------------

COMMON STOCKS
COMMUNICATIONS EQUIPMENT--2.1%
70,300 US West Mediavision Group $ 2,649,431
------------
COMMUNICATIONS SERVICES-51.8%
165,600 AT&T Corp. 5,806,350
48,000 Airtouch Communications, Inc.(1) 1,314,000
44,700 Aliant Communications, Inc. 874,444
24,000 ALLTEL Corp. 802,500
94,600 Ameritech Corp. 6,426,888
62,200 BCE, Inc. 1,741,600
89,300 Bell Atlantic Corp. 6,775,638
136,400 BellSouth Corp. 6,325,550
24,300 British Telecommunications
plc ADR 1,804,275
17,100 Cable & Wireless plc ADR 477,731
35,200 Century Telephone Enterprises, Inc. 1,185,800
34,400 Cincinnati Bell Inc. 1,083,600
21,900 Frontier Corp. 436,631
139,300 GTE Corp. 6,111,787
3,000 Hong Kong Telecommunications
Ltd. ADR 70,125
14,400 LCI International, Inc.(1) 315,000
106,000 MCI Communications Corp. 4,057,813
19,700 Nextel Communications, Inc.(1) 372,453
57,200 NYNEX Corp. 3,296,150
105,700 SBC Communications Inc. 6,540,188
40,300 Sprint Corp. 2,120,787
20,000 Telecom Corporation of New
Zealand Ltd. ADR 815,000
52,600 Telefonos de Mexico, S.A. ADR 2,511,650
3,200 U.S. Long Distance Corp.(1) 55,000
141,300 WorldCom, Inc.(1) 4,517,184
------------
65,838,144
------------
ENERGY (PRODUCTION & MARKETING)--1.8%
2,500 Coastal Corp. (The) 132,969
53,900 Enron Corp. 2,199,794
------------
2,332,763
------------

Shares Value
- -----------------------------------------------------------------------------

NATURAL GAS--7.7%
8,000 Brooklyn Union Gas Co. $ 229,000
6,400 Columbia Gas System, Inc. (The) 417,600
4,800 Connecticut Energy Corp. 116,400
13,300 Consolidated Natural Gas Co. 715,706
6,500 Eastern Enterprises 225,469
11,800 Energen Corp. 397,512
6,200 K N Energy, Inc. 261,175
4,600 MCN Energy Group Inc. 140,875
13,900 National Fuel Gas Co. 582,931
7,200 ONEOK Inc. 231,750
31,900 Pacific Enterprises 1,072,638
34,200 Peoples Energy Corp. 1,280,362
900 Sonat Inc. 46,125
8,800 Southwestern Energy Co. 114,400
95,400 TransCanada Pipelines Ltd. 1,919,925
53,800 Westcoast Energy Inc. 978,488
13,000 Wicor, Inc. 506,188
13,800 Williams Companies, Inc. (The) 603,750
------------
9,840,294
------------
UTILITIES (ELECTRIC)--36.6%
23,100 Atlantic Energy, Inc. 388,369
20,900 Baltimore Gas & Electric Co. 557,769
17,800 Black Hills Corp. 507,300
28,000 CMS Energy Corp. 987,000
90,800 Central & South West Corp. 1,929,500
22,400 Central Vermont Public Service
Corp. 247,800
51,003 Citizens Utilities Co. Cl A 478,153
48,000 Commonwealth Energy System 1,149,000
10,800 Consolidated Edison Co. of New
York, Inc. 317,925
40,500 DQE, Inc. 1,144,125
8,100 Delmarva Power & Light Co. 154,406
12,400 Detroit Edison Company 342,550
11,834 Duke Power Co. 567,292
95,300 Enova Corporation 2,293,156
105,500 Entergy Corp. 2,888,063

See Notes to Financial Statements

8 Schedule of Investments American Century Investments

SCHEDULE OF INVESTMENTS

JUNE 30, 1997 (UNAUDITED)

Shares Value
- -----------------------------------------------------------------------------

62,800 FPL Group, Inc. $ 2,892,725
85,200 General Public Utilities Corp. 3,056,550
9,100 Green Mountain Power Corp. 215,556
45,600 Hawaiian Electric Industries, Inc. 1,761,300
119,100 Houston Industries Inc. 2,553,206
29,500 Illinova Corp. 649,000
10,400 Korea Electric Power Corp. ADR 194,350
15,300 LG&E Energy Corp. 337,556
13,900 MDU Resources Group, Inc. 333,600
39,300 Minnesota Power & Light Co. 1,193,738
36,200 Montana Power Co. 839,387
56,300 NIPSCO Industries, Inc. 2,325,894
1,600 Northern States Power Co. (Minn.) 82,800
19,400 Ohio Edison Co. 423,163
22,200 Orange & Rockland Utilities, Inc. 746,475
40,500 PECO Energy Co. 850,500
98,700 Pennsylvania Power & Light Co. 1,967,831
30,800 Potomac Electric Power 712,250
1,000 Public Service Co. of New Mexico 17,875
97,800 Public Service Enterprise
Group Inc. 2,445,000
10,200 Rochester Gas & Electric Corp. 214,838
178,900 Southern Co. 3,913,437
900 St. Joseph Light & Power Co. 14,738
23,000 TECO Energy, Inc. 587,937
30,400 TNP Enterprises, Inc. 704,900
11,700 Texas Utilities Co. 402,919
13,500 Unicom Corp. 300,375
36,800 United Illuminating Co. 1,136,200
59,700 Utilicorp United Inc. 1,738,762
------------
46,565,270
------------
TOTAL INVESTMENT SECURITIES--100.0% $ 127,225,902
(Cost $106,211,782) ============

Notes to Schedule of Investments ADR = American Depositary Receipt (1)
Non-income producing.

See Notes to Financial Statements

Semiannual Report Schedule of Investments 9

<TABLE>
<CAPTION>
STATEMENT OF ASSETS AND LIABILITIES

JUNE 30, 1997 (UNAUDITED)

ASSETS
<S> <C>
Investment securities, at value (identified cost of $106,211,782) (Note 3) ..................... $127,225,902
Receivable for investments sold ................................................................ 2,504,618
Dividends receivable ........................................................................... 426,787
Prepaids and other assets ...................................................................... 10,014
-----------
130,167,321
-----------

LIABILITIES
Disbursements in excess of demand deposit cash ................................................. 1,431,287
Payable for investments purchased .............................................................. 319,959
Payable for capital shares redeemed ............................................................ 76,848
Dividends payable .............................................................................. 58,128
Payable to affiliates (Note 2) ................................................................. 77,501
Accrued expenses and other liabilities ......................................................... 2,073
-----------
1,965,796
-----------
Net Assets Applicable to Outstanding Shares .................................................... $128,201,525
============

CAPITAL SHARES, $10.00 PAR VALUE
Authorized ..................................................................................... 2,000,000,000
=============
Outstanding .................................................................................... 10,405,997
=============
Net Asset Value Per Share ...................................................................... $12.32
=============
NET ASSETS CONSIST OF:
Capital (par value and paid-in surplus) ........................................................ $102,892,516
Distributions in excess of net investment income ............................................... (9,764)
Accumulated undistributed net realized gain from investment transactions ....................... 4,304,657
Net unrealized appreciation on investments (Note 3) ............................................ 21,014,116
----------
$128,201,525
============
</TABLE>

See Notes to Financial Statements

10 Statement of Assets and Liabilities American Century Investments

STATEMENT OF OPERATIONS

FOR THE SIX MONTHS ENDED JUNE 30, 1997 (UNAUDITED)

INVESTMENT INCOME
Income:
Dividends (net of foreign tax withheld of $14,735) ............... $ 2,785,315
Interest ......................................................... 35,173
---------
2,820,488
---------
Expenses (Note 2):
Investment advisory fees ......................................... 185,831
Transfer agency fees ............................................. 137,325
Administrative fees .............................................. 60,622
Printing and postage ............................................. 46,869
Registration and filing fees ..................................... 18,439
Custodian fees ................................................... 9,981
Directors' fees and expenses ..................................... 4,871
Auditing and legal fees .......................................... 4,154
Telephone expenses ............................................... 3,382
Organizational expense ........................................... 3,341
Other operating expenses ......................................... 3,022
---------
Total expenses ................................................. 477,837
---------
Net investment income ............................................ 2,342,651
---------

REALIZED AND UNREALIZED GAIN ON INVESTMENTS (NOTE 3)
Net realized gain on investments ................................. 5,196,191
Change in net unrealized appreciation on investments ............. 3,603,191
---------

Net realized and unrealized
gain on investments .............................................. 8,799,382
---------

Net Increase in Net Assets
Resulting from Operations ........................................ $11,142,033
===========

See Notes to Financial Statements

Semiannual Report Statement of Operations 11

<TABLE>
<CAPTION>
STATEMENTS OF CHANGES IN NET ASSETS

SIX MONTHS ENDED JUNE 30, 1997 (UNAUDITED)
AND YEAR ENDED DECEMBER 31, 1996

<S> <C> <C>
Decrease in Net Assets 1997 1996
OPERATIONS
Net investment income .......................................................... $ 2,342,651 $ 6,584,313
Net realized gain on investment transactions ................................... 5,196,191 10,723,315
Change in net unrealized appreciation (depreciation) on investments ............ 3,603,191 (12,484,403)
---------- ---------
Net increase in net assets resulting from operations ........................... 11,142,033 4,823,225
---------- ---------

DISTRIBUTIONS TO SHAREHOLDERS
From net investment income ..................................................... (2,391,633) (6,770,031)
---------- ---------
CAPITAL SHARE TRANSACTIONS
Proceeds from shares sold ...................................................... 18,509,911 89,292,404
Proceeds from reinvestment of distributions .................................... 1,975,018 5,798,940
Payments for shares redeemed ................................................... (46,167,467) (166,805,336)
----------- ------------
Net decrease in net assets from capital share transactions ..................... (25,682,538) (71,713,992)
----------- -----------
Net decrease in net assets ..................................................... (16,932,138) (73,660,798)

NET ASSETS
Beginning of period ............................................................ 145,133,663 218,794,461
----------- -----------
End of period .................................................................. $128,201,525 $145,133,663
============ ============

Undistributed (distributions in excess of) net investment income ............... $(9,764) $39,218
============ ============

TRANSACTIONS IN SHARES OF THE FUND
Sold ........................................................................... 1,589,461 7,945,349
Issued in reinvestment of distributions ........................................ 169,503 521,583
Redeemed ....................................................................... (3,966,425) (14,983,850)
---------- -----------
Net decrease ................................................................... (2,207,461) (6,516,918)
========== ==========

</TABLE>

See Notes to Financial Statements

12 Statements of Changes in Net Assets American Century Investments

NOTES TO FINANCIAL STATEMENTS

JUNE 30, 1997 (UNAUDITED)

1. Organization and Summary of Significant Accounting Policies

Organization--American Century Quantitative Equity Funds (the Corporation) is
registered under the Investment Company Act of 1940 as an open-end management
investment company. American Century Utilities Fund (the Fund) is one of the
five funds issued by the Corporation. The Fund is non-diversified under the 1940
Act. The Fund seeks current income and long-term growth of capital and income.
The Fund invests primarily in equity securities of companies engaged in the
utilities industry. The following significant accounting policies, related to
the Fund, are in accordance with accounting policies generally accepted in the
investment company industry.

Security Valuations--Portfolio securities traded primarily on a principal
securities exchange are valued at the last reported sales price, or the mean of
the latest bid and asked prices where no sales price is available. Securities
traded over-the-counter are valued at the mean of the latest bid and asked
prices or, in the case of certain foreign securities, at the last reported sales
price, depending on local convention or regulation. When valuations are not
readily available, securities are valued at fair value as determined in
accordance with procedures adopted by the Board of Directors.

Security Transactions--Security transactions are accounted for on the date
purchased or sold. Net realized gains and losses are determined on the
identified cost basis, which is also used for federal income tax purposes.

Investment Income--Dividend income less foreign taxes withheld (if any) is
recorded as of the ex-dividend date. Interest income is recorded on the accrual
basis and includes amortization of discounts and premiums.

Repurchase Agreements--The Fund may enter into repurchase agreements with
institutions that the Fund's investment advisor, Benham Management Corporation
(BMC), has determined are creditworthy pursuant to criteria adopted by the Board
of Directors. Each repurchase agreement is recorded at cost. The Fund requires
that the securities purchased in a repurchase transaction be transferred to the
custodian in a manner sufficient to enable the Fund to obtain those securities
in the event of a default under the repurchase agreement. BMC monitors, on a
daily basis, the value of the securities transferred to ensure that the value,
including accrued interest, of the securities under each repurchase agreement is
greater than amounts owed to the Fund under each repurchase agreement.

Joint Trading Account--Pursuant to an Exemptive Order issued by the Securities
and Exchange Commission, the Fund, along with other registered investment
companies having management agreements with BMC and American Century Investment
Management, Inc. (ACIM), may transfer uninvested cash balances into a joint
trading account. These balances are invested in one or more repurchase
agreements that are collateralized by U.S. Treasury and Agency obligations.

Income Tax Status--It is the Fund's policy to distribute all net investment
income and net realized capital gains to shareholders and to otherwise qualify
as a regulated investment company under the provisions of the Internal Revenue
Code. Accordingly, no provision has been made for federal or state taxes.

Distributions to Shareholders--Distributions to shareholders are recorded on the
ex-dividend date. Distributions from net investment income for the Fund are
declared daily and distributed monthly. Distributions from net realized gains
are declared and paid annually. At December 31, 1996, the Fund had an
accumulated net realized capital loss carryover of $194,348 (expiring 2003),
which may be used to offset future taxable capital gains.

The character of distributions made during the year from net investment income
or net realized gains may differ from their ultimate characterization for
federal income tax purposes. These differences are due to differences in the
recognition of income and expense items for financial statement and tax
purposes.

Supplementary Information--Certain officers and directors of the Corporation are
also officers and/or directors, and, as a group, controlling stockholders of
American Century Companies, Inc. (ACC), the parent of the Corporation's
investment advisor, BMC, the Corporation's distributor, American Century
Investment Services, Inc. (ACIS) and the Corporation's transfer agent, American
Century Services Corporation (ACSC).

Use of Estimates--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 and liabilities and
disclosure of contingent assets and liabilities at the date of the financial
statements and the reported amounts of increases and decreases in net assets
from operations during the period. Actual results could differ from these
estimates.

Organization Costs--Costs incurred by the Fund in connection with the
organization, initial registration, and public offering of shares are being
amortized on a straight-line basis over a five-year period ending February 1998.

Semiannual Report Notes to Financial Statements 13

NOTES TO FINANCIAL STATEMENTS

JUNE 30, 1997 (UNAUDITED)
- --------------------------------------------------------------------------------
2. Transactions with Related Parties

The Corporation has entered into an Investment Advisory Agreement with BMC that
provides the Corporation with investment advisory services in exchange for an
investment advisory fee. ACSC pays all compensation of the Corporation's
officers and directors who are officers or directors of ACC or any of its
subsidiaries. In addition, promotion and distribution expenses are paid by BMC.
The investment advisory fee is paid monthly by the Fund based on its pro rata
share of the dollar amount derived from applying the Corporation's average daily
closing net assets to the following annualized investment advisory fee schedule.

0.50% of the first $100 million
0.45% of the next $100 million
0.40% of the next $100 million
0.35% of the next $100 million
0.30% of the next $100 million
0.25% of the next $1 billion
0.24% of the next $1 billion
0.23% of the next $1 billion
0.22% of the next $1 billion
0.21% of the next $1 billion
0.20% of the next $1 billion
0.19% of the average daily net assets over $6.5 billion

The Corporation has an Administrative Services and Transfer Agency Agreement
with ACSC. Under the Agreement, ACSC provides substantially all administrative
and transfer agency services necessary to operate the Fund. Fees for these
services are based on transaction volume, number of accounts and average daily
closing net assets for funds advised by BMC.

The Corporation has an additional agreement with BMC pursuant to which BMC
established a contractual expense guarantee that limits Fund expenses (excluding
expenses such as brokerage commissions, taxes, interest, custodian earnings
credits, and extraordinary expenses) to 0.75% of the Fund's average daily
closing net assets. The agreement provides that BMC may recover amounts
(representing expenses in excess of the Fund's expense guarantee rate) absorbed
during the preceding 11 months, if, and to the extent that, for any given month,
the Fund's expenses are less than the expense guarantee rate in effect at that
time.

The payable to affiliates as of June 30, 1997, based on the above agreements was
as follows:

Investment Advisor ......................... $34,238
Administrative Services and
Transfer Agent ............................. 43,263
--------
$77,501
========

On July 30, 1997, the shareholders of the Fund approved a new management
agreement with ACIM (an affiliate of BMC) which replaces the existing contracts
between the Fund and BMC and ACSC for advisory, administrative and transfer
agency services. Under the agreement, ACIM will provide all services required by
the Fund in exchange for one "unified" fee. Based on assets on June 30, 1997,
the annual expense ratio of the Fund, under the new agreement, would have been
approximately 0.69%.

The Corporation has a Distribution Agreement with ACIS, which is responsible for
promoting sales of and distributing the Corporation's shares.

- --------------------------------------------------------------------------------
3. Investment Transactions

Purchases and sales of securities, other than short-term securities, aggregated
$39,077,965 and $61,864,372, respectively. On June 30, 1997, accumulated net
unrealized appreciation on investments, based on the aggregate cost of
investments of $106,776,188 for federal income tax purposes, was $20,449,714
consisting of unrealized appreciation of $22,527,546 and unrealized depreciation
of $2,077,832.

14 Notes to Financial Statements American Century Investments

<TABLE>
<CAPTION>
FINANCIAL HIGHLIGHTS

For a Share Outstanding Throughout the Years Ended December 31 (except as
noted)

1997(1) 1996 1995 1994 1993(2)

PER-SHARE DATA
<S> <C> <C> <C> <C> <C>
Net Asset Value,
Beginning of Period ............................. $11.51 $11.44 $8.79 $10.24 $10.00
------ ------ ----- ------ ------
Income From Investment Operations
Net Investment Income ......................... 0.21 0.45 0.42 0.44 0.36
Net Realized and Unrealized
Gain (Loss) on Investment Transactions ........ 0.81 0.08 2.65 (1.45) 0.30
---- ---- ---- ----- ----
Total From
Investment Operations ......................... 1.02 0.53 3.07 (1.01) 0.66
---- ---- ---- ----- ----
Distributions
From Net Investment Income .................... (0.21) (0.46) (0.42) (0.44) (0.36)
From Net Realized Gains on
Investment Transactions ....................... -- -- -- -- (0.06)
----- ----- ----- ----- -----
Total Distributions ........................... (0.21) (0.46) (0.42) (0.44) (0.42)
----- ----- ----- ----- -----
Net Asset Value, End of Period .................. $12.32 $11.51 $11.44 $8.79 $10.24
====== ====== ====== ===== ======
Total Return(3) ............................... 9.01% 4.82% 35.70% (10.03)% 6.60%

RATIOS/SUPPLEMENTAL DATA
Ratio of Operating Expenses
to Average Net Assets ........................... 0.74%(4) 0.71% 0.75% 0.75% 0.50%(4)
Ratio of Net Investment Income
to Average Net Assets ........................... 3.61%(4) 3.88% 4.31% 4.67% 4.23%(4)
Portfolio Turnover Rate ......................... 30% 93% 68% 61% 39%
Average Commission Paid per
Investment Security Traded ...................... $0.0340 $0.0380 $0.0300 --(5) --(5)
Net Assets, End
of Period (in thousands) ........................ $128,202 $145,134 $218,794 $152,570 $194,314
</TABLE>

(1) Six months ended June 30, 1997 (unaudited).
(2) March 1, 1993 (inception) through December 31, 1993.
(3) Total return assumes reinvestment of dividends and capital gains
distributions, if any. Total returns for periods less than one year are not
annualized.
(4) Annualized.
(5) Disclosure of average commission paid per investment security traded was
not required prior to the year ended December 31, 1995.

See Notes to Financial Statements

Semiannual Report Financial Highlights 15

PROXY VOTING RESULTS

An annual meeting of shareholders was held on July 30, 1997, to vote on the
following proposals. All of the proposals received the required majority of
votes and were adopted.

A summary of voting results is listed below each proposal.

Proposal 1:

To vote on the selection by the Board of Directors of Coopers & Lybrand LLP as
independent auditors for the Corporation.

For: 6,458,021
Withheld: 100,359
Abstain: 104,500

Proposal 2:

To vote on the approval of a Management Agreement with American Century
Investment Management, Inc.

For: 6,307,459
Against: 239,136
Abstain: 116,285

Proposal 3:

To vote on the adoption of standardized investment limitations on the following
items:

o Eliminate the fundamental limitation concerning diversification of
investments.

For: 6,117,718
Against: 284,236
Abstain: 155,395
Broker Non-Vote: 105,531

o Amend the fundamental investment limitation concerning borrowing..

For: 6,091,777
Against: 303,893
Abstain: 161,679
Broker Non-Vote: 105,531

o Amend the fundamental investment limitation concerning lending.

For: 6,078,414
Against: 311,935
Abstain: 167,000
Broker Non-Vote: 105,531

16 Proxy Voting Results American Century Investments

RETIREMENT ACCOUNT INFORMATION

As required by law, any distributions you receive from an IRA and certain 403(b)
distributions [not eligible for rollover to an IRA or to another 403(b)] are
subject to federal income tax withholding at the rate of 10% of the total amount
withdrawn, unless you elect not to have withholding apply. If you don't want us
to withhold on this amount, you may send us a written notice not to have the
federal income tax withheld. Your written notice is valid for six months from
the date of receipt at American Century. Even if you plan to roll over the
amount you withdraw to another tax-deferred account, the withholding rate still
applies to the withdrawn amount unless we have received a written notice not to
withhold federal income tax within six months prior to the withdrawal.

When you plan to withdraw, you may make your election by completing our
Exchange/ Redemption form or an IRS Form W-4P. Call American Century for either
form. Your written election is valid for only six months from the date of
receipt at American Century. You may revoke your election at any time by sending
a written notice to us.

Remember, even if you elect not to have income tax withheld, you are liable
for paying income tax on the taxable portion of your withdrawal. If you elect
not to have income tax withheld or you don't have enough income tax withheld,
you may be responsible for payment of estimated tax. You may incur penalties
under the estimated tax rules if your withholding and estimated tax payments are
not sufficient.

Semiannual Report Retirement Account Information 17

NOTES

18 Notes American Century Investments

NOTES

Semiannual Report Notes 19

BACKGROUND INFORMATION

Investment Philosophy & Policies

The American Century group offers eight equity funds, including three
"specialty" equity funds* that concentrate their holdings in specific industries
or sectors of the stock market. These funds typically respond differently than
general equity funds to changing market or economic conditions. The funds are
managed to provide a broad representation of their respective industries.

Utilities invests primarily in the stocks of companies engaged in the utilities
industry, including electricity, natural gas, telecommunications services, cable
television, water or sanitary services. To enhance fund income and increase
diversification, the fund may invest up to 25% of its assets in fixed-income
securities.

Comparative Indices

The following indices are used in the report to serve as fund performance
comparisons. They are not investment products available for purchase.

The S&P 500 is a capitalization-weighted index of the stocks of 500
publicly-traded companies that are considered to be leading firms in leading
industries. Created by Standard & Poor's Corporation, the index is viewed as a
broad measure of U.S. stock market performance.

The New York Stock Exchange (NYSE) Utilities Index is composed of 268 utilities
and related equipment stocks traded on the NYSE.

Lipper Rankings

Lipper Analytical Services, Inc. is an independent mutual fund ranking service
that groups funds according to their investment objective. Rankings are based on
average annual returns for each fund in a given category for the periods
indicated. Rankings are not included for periods less than one year.

The Lipper category for Utilities is:

Utility Funds--funds that invest at least 65% of their portfolios in utility
stocks.

PORTFOLIO MANAGEMENT TEAM
Portfolio Managers Kurt Borgwardt
John Schniedwind
Joe Sterling

* Investing in these funds involves special risks resulting from their
concentrated investment objectives. An investment in any one of these funds does
not constitute a balanced investment plan.

20 Background Information American Century Investments

GLOSSARY

Returns

o Total Return figures show the overall percentage change in the value of a
hypothetical investment in the fund and assume that all of the fund's
distributions are reinvested.

o Average Annual Returns illustrate the annually compounded returns that would
have produced the fund's cumulative total returns if the fund's performance had
been constant over the entire period. Average annual returns smooth out
variations in a fund's return; they are not the same as fiscal year-by-year
results. For fiscal year-by-year total returns, please refer to the "Financial
Highlights" on page 15.

Portfolio Statistics

o Number of Companies--the number of different companies held by a fund on a
given date.

o 30-day SEC Yield--net investment income earned by the fund over a 30-day
period, expressed as an annual percentage rate based on the fund's share price
at the end of the 30-day period. The SEC yield should be regarded as an estimate
of the fund's dividend income, and it may not equal the fund's actual income
distribution rate, the income paid to a shareholder's account, or the income
reported in the fund's financial statements.

o Price/Earnings (P/E) Ratio--a stock value measurement calculated by dividing a
company's stock price by its earnings per share, with the result expressed as a
multiple instead of as a percentage. (Earnings per share is calculated by
dividing the after-tax earnings of a corporation by its outstanding shares.)

o Portfolio Turnover--the percentage of a fund's investment portfolio that is
replaced during a given time period, usually a year. Actively managed portfolios
tend to have higher turnover than passively managed portfolios such as index
funds.

o Expense Ratio--the operating expenses of the fund, expressed as a percentage
of average net assets. Shareholders pay an annual fee to the investment advisor
for investment advisory and management services. The expenses and fees are
deducted from fund income, not from each shareholder account. (See Note 2 in the
Notes to Financial Statements.)

Types of Stocks

o Large-Capitalization ("Large-Cap") Stocks--generally considered to be stocks
of companies with a market capitalization (the total value of a company's
outstanding stock) of more than $5 billion. These tend to be the stocks that
make up the Dow Jones Industrial Average and the S&P 500.

o Medium-Capitalization ("Mid-Cap") Stocks--generally considered to be stocks of
companies with a market capitalization (the total value of a company's
outstanding stock) of between $1 billion and $5 billion. These tend to be the
stocks that make up the S&P 400.

o Small-Capitalization ("Small-Cap") Stocks--generally considered to be stocks
of companies with a market capitalization (the total value of a company's
outstanding stock) of less than $1 billion. These tend to be the stocks that
make up the Russell 2000 Index.

Semiannual Report Glossary 21

[american century logo]
American
Century(sm)

P.O. Box 419200
Kansas City, Missouri
64141-6200

Investor Services:
1-800-345-2021 or 816-531-5575

Automated Information Line:
1-800-345-8765

Telecommunications Device for the Deaf:
1-800-634-4113 or 816-444-3485

Fax: 816-340-7962

Internet: www.americancentury.com

American Century Quantitative Equity Funds

Investment Manager
Benham Management Corporation

This report and the statements it contains are submitted for the general
information of our shareholders. The report is not authorized for distribution
to prospective investors unless preceded or accompanied by an effective
prospectus.

American Century Investment Services, Inc.

9708 [recycled logo]
SH-BKT-9333 Recycled
<PAGE>
SEMIANNUAL REPORT

[american century logo]
American
Century(sm)

June 30, 1997

AMERICAN
CENTURY
GROUP

Equity Growth
Income & Growth

[front cover]

TABLE OF CONTENTS

Report Highlights........................................... 1
Our Message to You.......................................... 2
Period Overview............................................. 3
Equity Growth
Performance & Portfolio Information.................... 4
Management Q & A....................................... 5
Schedule of Investments................................ 8
Financial Highlights...................................26
Income & Growth
Performance & Portfolio Information....................12
Management Q & A.......................................13
Schedule of Investments................................16
Financial Highlights...................................27
Statements of Assets and Liabilities........................21
Statements of Operations....................................22
Statements of Changes in Net Assets.........................23
Notes to Financial Statements...............................24
Proxy Voting Results........................................28
Retirement Account Information..............................30
Background Information
Investment Philosophy & Policies.......................32
Comparative Indices....................................32
Lipper Rankings........................................32
Investment Team Leaders................................32
Glossary....................................................33

American Century Investments -- Family of Funds

BENHAM GROUP AMERICAN CENTURY GROUP TWENTIETH CENTURY GROUP

We welcome your comments or questions about this report. See the back cover for
ways to contact us by mail, phone or e-mail.

American Century Investments

REPORT HIGHLIGHTS

Period Overview

o U.S. stocks posted strong but widely divergent returns during the six-month
period ended June 30, 1997. The shares of large companies benefited the most
from the bullish enthusiasm of market participants.

o The S&P 500 posted a whopping 20.61% return during the period, with
second-quarter returns posting the largest quarterly advance in a decade.

o Factors that supported the S&P 500's surprisingly strong performance included:
favorable U.S. economic conditions, investors seeking predictable earnings and
highly liquid stocks and the popularity and success of S&P 500 index mutual
funds.

o Despite solid returns, stocks in the Russell 2000 significantly lagged the
performance of S&P 500 stocks.

Equity Growth

o The fund posted a strong 16.90% total return for the six months ended June 30,
1997, and Equity Growth's returns since inception have nearly matched those of
the S&P 500. (See page 4 for details.)

o We believe the main reason that Equity Growth's returns outpaced those of its
peers is because of the fund's concentration in S&P 500 stocks.

o One of the main reasons the fund underperformed the S&P 500 was the fund's
underweightings in large consumer growth stocks, which performed surprisingly
well during the period.

o Going forward, we will attempt to keep Equity Growth fully invested in stocks
of companies with improving earnings forecasts that appear to be undervalued. In
the near term, this strategy will likely cause us to remain underweighted in
large consumer growth stocks that appear fully valued.

Income & Growth

o The fund posted a strong 17.79% total return for the six months ended June 30,
1997, and its returns since inception have slightly outpaced those of the S&P
500. (See page 12 for details.)

o We believe the main reason that Income & Growth's returns outpaced those of
its peers was the fund's concentration in S&P 500 stocks.

o One of the main reasons the fund underperformed the S&P 500 was the fund's
underweighting in large consumer growth stocks, which performed surprisingly
well during the period.

o In the near term, we will likely keep Income & Growth underweighted in fully
valued large consumer growth stocks, investing instead in companies with
improving earnings forecasts that appear to be undervalued.

Equity Growth

Total Returns: AS OF 6/30/97
6 Months 16.90%*
1 Year 34.53%

Net Assets: $482.2 million
(AS of 6/30/97)

Inception Date: 5/9/91

Ticker Symbol: BEQGX

Income & Growth

Total Returns: AS OF 6/30/97
6 Months 17.79%*
1 Year 33.10%

Net Assets: $1.2 billion
(AS of 6/30/97)

Inception Date: 12/17/90

Ticker Symbol: BIGRX

* Not annualized.

Many of the investment terms in this report are
defined in the Glossary on page 33.

Semiannual Report Report Highlights 1

OUR MESSAGE TO YOU

[photo of James E. Stowers III and James M. Benham]

The six months ended June 30, 1997, were very rewarding for investors in
American Century Equity Growth and Income & Growth as the funds posted strong
returns.

The funds continued to perform well despite a change in the investment team.
Portfolio managers Dong Zhang and Steve Colton left American Century to pursue
other opportunities, but they were replaced by experienced managers who are
thoroughly familiar with the funds' objectives and investment approaches. Jeff
Tyler and Bill Martin now oversee Equity Growth, and John Schniedwind and Kurt
Borgwardt run Income & Growth. It's important to emphasize that these funds rely
on quantitative management models that are highly structured and disciplined.
The new team has a complete understanding of the models, which remain firmly in
place. In fact, Schniedwind and Borgwardt helped develop and refine the models
for Benham, and Martin employs a similar model for American Century Global Gold.

We have also made some important changes to our corporate team. In June, Bill
Lyons, American Century's chief operating officer, became president, assuming
full responsibility for the company's day-to-day operations. With this change
Jim Stowers, Jr. and Jim Stowers III will be able to spend more time developing
and refining new investment technologies and tools that build on and leverage
the proprietary system they pioneered 25 years ago. One of our goals is to
ensure that we continue to evolve and innovate -- building the investment tools
today that will lead us and our investors to success in the next century.

In closing, we want to reassure you that American Century remains committed to
serving your investment needs first and foremost. Thank you for your trust and
confidence.

Sincerely,

/s/James E. Stowers III /s/James M. Benham
James E. Stowers III James M. Benham
Chief Executive Officer Vice Chairman
American Century Companies American Century Companies

2 Our Message to You American Century Investments

PERIOD OVERVIEW

The Bigger the Better

U.S. stocks posted strong but widely divergent returns during the six-month
period ended June 30, 1997. The shares of large companies benefited the most
from the bullish enthusiasm of market participants. Concerned that the market's
seven-year surge might finally run out of steam, investors favored shares of
relatively stable, industry-leading firms like those in the S&P 500. Blue-chip
issues significantly outperformed the shares of smaller-company stocks,
primarily because of that favoritism. With investors placing a higher premium on
earnings growth than on earnings stability, large capitalization growth stocks
(companies demonstrating above-average earnings growth) generally outperformed
value stocks (shares of companies that are attractively priced) during the first
half of the year.

The S&P 500 Powered Ahead

The S&P 500 is frequently used as a gauge for the U.S. stock market as a whole,
although the index better reflects the large-cap sector of the U.S. stock
market. The sustained advance of the S&P 500 has been a key success story in
recent times. The index posted a whopping 20.61% return during the period, with
second-quarter returns posting the largest quarterly advance in a decade.
Factors that supported the S&P 500's surprisingly strong performance included:

o Favorable U.S. economic conditions--strong economic growth, record low levels
of inflation, strong consumer demand and strong profit growth, especially for
large-cap companies.

o Investors seeking predictable earnings and highly liquid stocks--such as those
of Coca-Cola, Microsoft and Procter & Gamble--because of concern over the
possibility of an economic downturn.

o The popularity and success of S&P 500 index mutual funds. Investors have
flooded stock mutual funds with investment capital in recent years--over $200
billion went into stock funds in 1996 alone. With many of these investor dollars
earmarked for stocks in the S&P 500, the prices of those shares rose much faster
than the prices of small-cap issues.

Lower Returns for Smaller-Cap Stocks

On the other end of the stock market spectrum is the Russell 2000 Index, widely
regarded as a proxy for small-cap stocks. Despite solid returns, stocks in the
Russell 2000 significantly lagged the performance of S&P 500 stocks as many
investors shied away from small-cap growth stocks. Many smaller-cap companies
even experienced share price declines despite continued strong earnings.
However, the price declines were generally based more on market perception and
investor preference than on fundamental indicators such as earnings growth.

[line graph - data below]

S&P500 vs. RUSSELL 2000 (Growth of $1.00)
Value on 6/30/97

S&P 500 Russell 2000
12/31/96 $1.00 $1.00
1/31/97 $1.06 $1.02
2/28/97 $1.07 $1.00
3/31/97 $1.03 $0.95
4/30/97 $1.09 $0.95
5/31/97 $1.15 $1.06
6/30/97 $1.21 $1.10

S&P 500 20.61%
Russell 2000 Index 10.20%

Source: Bloomberg Financial Markets

Semiannual Report Period Overview 3

<TABLE>
<CAPTION>
EQUITY GROWTH

AVERAGE ANNUAL RETURNS
6 MONTHS 1 YEAR 3 YEARS 5 YEARS LIFE OF FUND(1)
TOTAL RETURNS AS OF JUNE 30, 1997
<S> <C> <C> <C> <C> <C>
Equity Growth ............................. 16.90% 34.53% 27.38% 20.05% 17.72%
S&P 500 ................................... 20.61% 34.69% 28.80% 19.74% 17.74%
Average Growth Fund(2) .................... 14.29% 23.97% 22.87% 16.90% 15.29%
Fund's Ranking Among
Growth Funds(2) ........................... -- 82 out of 758 61 out of 473 52 out of 280 55 out of 232

(1) Inception date was May 9, 1991.
(2) According to Lipper Analytical Services.
</TABLE>

See pages 32-33 for more information about returns, the comparative index and
Lipper fund rankings.

[mountain graph - data below]

GROWTH $10,000 OVER LIFE OF FUND
Value on 6/30/97

$10,000 investment made 5/9/91

Equity Growth.....$27,239.
S & P 500.........$27,261.

Equity Growth S & P 500
5/9/91 (inception) $10,000. $10,000.
06/30/91 $9,640. $9,769.
09/30/91 $10,379. $10,291.
12/31/91 $11,748. $11,147.
03/31/92 $11,129. $10,867.
06/30/92 $10,923. $11,074.
09/30/92 $11,291. $11,423.
12/31/92 $12,233. $11,995.
03/31/93 $12,774. $12,518.
06/30/93 $12,999. $12,577.
09/30/93 $13,698. $12,901.
12/31/93 $13,630. $13,199.
03/31/94 $12,997. $12,703.
06/30/94 $13,178. $12,757.
09/30/94 $13,680. $13,380.
12/31/94 $13,599. $13,378.
03/31/95 $14,866. $14,677.
06/30/95 $16,299. $16,073.
09/30/95 $17,322. $17,347.
12/31/95 $18,299. $18,388.
03/31/96 $19,448. $19,374.
06/30/96 $20,248. $20,239.
09/30/96 $21,170. $20,861.
12/31/96 $23,302. $22,603.
03/31/97 $23,618. $23,213.
06/30/97 $27,239. $27,261.

Past performance does not guarantee future results. Investment return and
principal value will fluctuate, and redemption value may be more or less than
original cost.

The line representing the fund's total return includes operating expenses (such
as transaction costs and management fees) that reduce returns, while the total
return line of the index does not.

PORTFOLIO AT A GLANCE
6/30/97 12/31/96
Number of Companies 160 151
Dividend Yield 2.00% 1.92%
Price/Earnings Ratio 16.9 16.1
Portfolio Turnover 65%(1) 131%(2)
Expense Ratio 0.63%(3) 0.63%

(1) Six months ended 6/30/97.
(2) Year ended 12/31/96.
(3) Annualized.

4 Equity Growth American Century Investments

EQUITY GROWTH

Management Q & A

An interview with Jeff Tyler and Bill Martin, portfolio managers on the Equity
Growth investment team.

How did the fund perform?

Equity Growth posted a strong 16.90% total return for the six months ended June
30, 1997, outpacing the 14.29% average return of the 840 "Growth Funds" tracked
by Lipper Analytical Services. For the period, the fund finished in the top
third of its peer group category, and its longer-term comparative returns are
even more impressive. (See the Total Returns table on the previous page for
other fund performance comparisons.) For the period, the fund lagged its
benchmark, the S&P 500, which posted a 20.61% return. However, the fund's
returns since inception are nearly identical to the S&P 500.

How did the fund outpace the average return of its peers?

We believe the main reason that Equity Growth's returns outpaced those of its
peers was the fund's concentration in S&P 500 stocks. With investors favoring
large-cap issues during the period, the smaller-cap emphasis of many of the
fund's peers failed to provide the same returns.

Also boosting the fund's returns was our policy of remaining fully invested in
U.S. stocks. During times like the last few years, when the market's bullish
tone drives stock prices higher, keeping fully invested in stocks allows us to
maximize Equity Growth's returns.

[bar chart - data below]

EQUITY GROWTH'S ONE-YEAR RETURNS SINCE INCEPTION (Periods ended June 30)

Equity Growth S&P 500
6/91* -3.60% -2.31%
6/92 13.31% 13.36%
6/93 19.00% 13.57%
6/94 1.37% 1.43%
6/95 23.69% 25.99%
6/96 24.23% 25.92%
6/97 34.53% 34.69%

* Return from 5/9/91 to 6/30/91.

Semiannual Report Equity Growth 5

EQUITY GROWTH

Banking stocks were the fund's top industry holding by the period's end. Can you
cite an example of a bank stock that you held, why it was chosen and how the
stock performed?

A good example of a bank stock that we liked during the period was BankAmerica
Corp. (BofA), which was one of our larger holdings. BofA was able to reap the
benefits of California's economic recovery thanks to its strong California
franchise, helping the company's shares post a 58% return in 1996. The strong
revenue and earnings growth BofA achieved, and the low interest rate environment
during much of this year, increased the stock's attractiveness to our growth
model.

Despite the company's strong revenue growth, its shares were also attractively
priced compared with many other stocks in the market. That got the attention of
our value model too. We therefore held a large position in BankAmerica that paid
off handsomely--shares of BankAmerica returned nearly 31% for the first six
months of this year.

The fund's second largest stock holding by the end of the period was Ford Motor
Co. Why was this stock so attractive?

We increased the fund's exposure to Ford from 0.5% of the fund's investments at
the end of December 1996 to 2.7% by the end of June 1997 for several reasons.

From a fundamental standpoint, Ford had a solid year in 1996. Under the
leadership of Chairman and Chief Executive Officer Alex Trotman, Ford
streamlined its global product development and introduced several new product
lines that were well received by consumers. In addition, the company continued
to strengthen its balance sheet by unloading many of its non-strategic
businesses. From a value standpoint, the company's P/E ratio was only 9 at the
start of the year, lower than the 18 market average at the time.

The combination of these factors led us to believe that Ford would be a strong
performer in 1997, which proved a solid investment choice. For the first six
months of this year, Ford shares returned 21%.

Why did fund performance differ from that of the S&P 500?

We believe one of the main reasons behind the disparity was the fund's tendency
to underweight certain stocks. While our models lead us to choose shares of
companies that are attractively valued with improving earnings forecasts--such
as BofA and Ford--the models tend to lead us away from holding large amounts of
stocks that are trading at historically expensive prices.

As a result, we kept the fund's weighting in large-cap consumer growth stocks
like Coca-Cola and Gillette proportionally lower than their weightings in the
S&P 500. However, these stocks continued to perform well, despite what we
believe are inflated valuations caused by

TOP TEN HOLDINGS % of fund investments
As of As of
6/30/97 12/31/96
Intel Corp. 3.0% 0.9%
Ford Motor Co. 2.7% 0.5%
Merck & Co., Inc. 2.3% 1.2%
Dow Chemical Co. 2.2% 1.1%
Chase Manhattan Corp. 2.1% 1.2%
Schlumberger Ltd. 2.0% --
Travelers Group, Inc. 1.9% 1.8%
General Re Corp. 1.8% 2.1%
Bristol-Myers Squibb Co. 1.7% 0.9%
Bell Atlantic Corp. 1.7% 0.8%

6 Equity Growth American Century Investments

EQUITY GROWTH

investors continuing to favor highly liquid blue-chip issues during the
six-month period. The fund's bias toward more attractively valued stocks that
have lagged the past year's blue-chip rally caused the fund to underperform.

You recently assumed the managerial reins of the fund from Dong Zhang who left
American Century to pursue other opportunities. Does that mean that the fund's
investment strategy will change?

Not at all. With the help of our models, we will continue to look for stocks
that demonstrate positive earnings momentum and that we feel are undervalued. At
the same time, we will continue to work closely with our quantitative research
staff to improve our stock ranking models.

What is your outlook for U.S. stocks for the rest of 1997?

1997 has been the latest in a recent string of surprisingly strong years for the
U.S. stock market, producing historically high returns. However, we believe the
likelihood that such returns will continue for the rest of the year is
diminishing.

We think most favorable economic and market expectations are already
incorporated in stock prices. These high stock valuations could spell increased
market volatility in the months ahead, since shares of companies failing to meet
or exceed investor expectations for profit growth could suffer. Whether the
record cash flows into stock mutual funds--which added roughly $114 billion of
investment capital in the first half of this year alone--will continue is
another uncertain factor.

The outlook is not entirely gloomy, however. The U.S. economy is now in its
seventh year of expansion and there are still no immediate signs of inflation.
With the passage of a capital gains tax cut, stocks, especially smaller-caps,
may soon become even more attractive to investors. We therefore anticipate that,
barring some unforeseen event, stocks could continue to perform well through the
rest of 1997, though at a more subdued pace.

What are your plans for the fund going forward?

From a sector standpoint, we will likely continue to favor banking and financial
service stocks as the low interest rate environment provides a potentially ideal
climate for this sector to produce solid returns. At the same time, we are
likely to remain underweighted in large consumer growth stocks such as Coca-Cola
and Gillette, which we believe are not currently attractive from a valuation
standpoint.

We also plan to remain fully invested in stocks of companies with improving
earnings forecasts that appear to be undervalued in an effort to provide
investors with attractive returns and lower risk.

TOP FIVE INDUSTRIES % of fund investments
As of As of
6/30/97 12/31/96
Banking 8.9% 6.7%
Insurance 6.8% 6.3%
Pharmaceuticals 6.2% 3.8%
Automobiles & Auto Parts 5.6% 2.2%
Energy (Production & Marketing) 5.3% 8.9%

Semiannual Report Equity Growth 7

SCHEDULE OF INVESTMENTS
EQUITY GROWTH

JUNE 30, 1997 (UNAUDITED)

Shares Value
- -----------------------------------------------------------------------------

COMMON STOCKS
AEROSPACE & DEFENSE--2.0%
105,100 Boeing Co. $ 5,576,869
57,100 General Dynamics Corp. 4,282,500
---------
9,859,369
---------
AIRLINES--1.5%
45,000 AMR Corp.(1) 4,162,500
25,000 British Airways plc ADR 2,873,437
---------
7,035,937
---------
AUTOMOBILES & AUTO PARTS--5.6%
338,600 Ford Motor Co. 12,782,150
129,400 General Motors Corp. 7,205,962
52,400 Honda Motor Co., Ltd. ADR 3,153,825
42,000 Magna International Inc. Cl A 2,527,875
40,400 Modine Manufacturing Co. 1,206,950
---------
26,876,762
----------
BANKING--8.9%
110,000 Banc One Corp. 5,328,125
121,800 BankAmerica Corp.(2) 7,863,712
36,600 Bankers Trust New York Corp. 3,184,200
102,400 Chase Manhattan Corp. 9,939,200
5,400 Citicorp 651,038
35,000 First Chicago NBD Corp. 2,117,500
80,300 First Union Corp.(2) 7,427,750
60,000 Morgan (J.P.) & Co. 6,262,500
---------
42,774,025
----------
BIOTECHNOLOGY--1.1%
88,200 Amgen Inc. 5,123,869
---------
BUILDING & HOME IMPROVEMENTS--0.2%
20,100 Jacobs Engineering Group Inc.(1) 540,188
11,000 Johns Manville Corp. 129,938
18,040 Republic Group, Inc. 363,055
---------
1,033,181
---------
BUSINESS SERVICES & SUPPLIES--0.6%
16,100 Kelly Services, Inc. 505,641
40,000 Omnicom Group Inc. 2,465,000
---------
2,970,641
---------

Shares Value
- -----------------------------------------------------------------------------

CHEMICALS & RESINS--4.4%
22,300 Church & Dwight Co., Inc. $ 596,525
119,200 Dow Chemical Co. 10,385,300
10,000 du Pont (E.I.) de Nemours & Co. 628,750
132,700 Ecolab Inc. 6,336,425
27,000 Raychem Corp. 2,008,125
30,200 Union Carbide Corp. 1,421,287
---------
21,376,412
----------
COMMUNICATIONS EQUIPMENT--0.4%
43,300 Allen Group Inc. (The)(1) 898,475
20,000 Ascend Communications, Inc.(1) 785,625
---------
1,684,100
---------
COMMUNICATIONS SERVICES--5.1%
76,000 Ameritech Corp. 5,163,250
105,000 Bell Atlantic Corp.(2) 7,966,875
45,000 BellSouth Corp. 2,086,875
71,300 British Telecommunications plc
ADR 5,294,025
100,000 MCI Communications Corp. 3,828,125
---------
24,339,150
----------
COMPUTER PERIPHERALS--0.9%
92,600 Adaptec, Inc.(1) 3,217,850
24,100 Quantum Corp.(1) 490,284
15,000 Seagate Technology, Inc.(1) 527,812
---------
4,235,946
---------
COMPUTER SOFTWARE & SERVICES--4.8%
33,700 Adobe Systems Inc. 1,182,659
112,900 Cadence Design Systems, Inc.(1) 3,782,150
140,000 Ceridian Corp.(1) 5,915,000
30,000 HBO & Co. 2,066,250
24,000 McAfee Associates, Inc.(1) 1,513,500
34,600 Microsoft Corp.(1) 4,375,819
18,400 Oracle Systems Corp.(1) 926,325
25,000 Parametric Technology Corp.(1) 1,063,281
40,000 Shared Medical Systems Corp. 2,155,000
---------
22,979,984
----------
COMPUTER SYSTEMS--3.2%
66,600 Compaq Computer Corp.(1) 6,610,050
2,700 Dell Computer Corp.(1) 316,997
50,000 Gateway 2000, Inc.(1) 1,621,875

See Notes to Financial Statements

8 Equity Growth American Century Investments

SCHEDULE OF INVESTMENTS
EQUITY GROWTH

JUNE 30, 1997 (UNAUDITED)

Shares Value
- -----------------------------------------------------------------------------

60,000 Hewlett-Packard Co. $ 3,360,000
36,000 International Business
Machines Corp. 3,246,750
---------
15,155,672
----------
CONSTRUCTION & PROPERTY
DEVELOPMENT--0.4%
23,500 Centex Corp. 954,687
29,800 Harsco Corp. 1,206,900
---------
2,161,587
---------
CONSUMER PRODUCTS--1.6%
267,400 Hasbro, Inc. 7,587,475
---------
CONTROL & MEASUREMENT--0.8%
78,600 Coherent, Inc.(1) 3,509,981
2,600 Fluke Corp. 154,050
---------
3,664,031
---------
DIVERSIFIED COMPANIES--1.2%
90,600 General Electric Co. (U.S.)(2) 5,922,975
---------
ELECTRICAL & ELECTRONIC
COMPONENTS--4.9%
65,900 Grainger (W.W.), Inc. 5,152,556
102,000 Intel Corp. 14,442,562
30,000 Johnson Controls, Inc. 1,231,875
46,600 SCI Systems, Inc.(1) 2,970,750
---------
23,797,743
----------
ENERGY (PRODUCTION & MARKETING)--5.3%
51,200 Atlantic Richfield Co. 3,609,600
60,000 Chevron Corp. 4,436,250
20,000 Exxon Corp. 1,230,000
97,100 Imperial Oil Ltd. 4,988,513
28,700 Kerr-McGee Corp. 1,818,862
7,200 Royal Dutch Petroleum Co. 391,500
79,900 Union Texas Petroleum
Holdings, Inc. 1,672,906
192,300 Unocal Corp. 7,463,644
---------
25,611,275
----------
ENERGY (SERVICES)--2.9%
30,000 Rowan Companies, Inc.(1) 845,625
76,000 Schlumberger Ltd. 9,500,000
85,000 Tidewater Inc. 3,740,000
---------
14,085,625
----------

Shares Value
- -----------------------------------------------------------------------------

FINANCIAL SERVICES--4.4%
81,287 Bear Stearns Companies Inc. $ 2,778,999
118,000 Equitable of Iowa Companies 3,923,500
66,000 Green Tree Financial Corp. 2,351,250
40,000 Lehman Brothers Holdings, Inc. 1,620,000
97,200 Merrill Lynch & Co., Inc. 5,795,550
73,425 Morgan Stanley, Dean Witter,
Discover & Co. 3,161,864
35,400 Paine Webber Group, Inc. 1,239,000
7,700 Salomon Inc. 428,313
---------
21,298,476
----------
FOOD & BEVERAGE--0.6%
60,000 Lancaster Colony Corp. 2,900,625
5,200 Lance, Inc. 99,450
---------
3,000,075
---------
FURNITURE & FURNISHINGS--0.1%
11,800 La-Z-Boy Chair Co. 424,800
---------
HEALTHCARE--2.4%
98,000 Columbia/HCA Healthcare Corp. 3,852,625
15,000 Lincare Holdings Inc.(1) 645,469
70,000 PhyCor, Inc.(1) 2,408,437
11,900 RoTech Medical Corp.(1) 239,116
100,500 Wellpoint Health Networks Inc.(1) 4,610,437
---------
11,756,084
----------
INDUSTRIAL EQUIPMENT & MACHINERY--2.3%
40,000 Caterpillar Inc. 4,295,000
30,000 Dresser Industries, Inc. 1,117,500
90,000 Ingersoll-Rand Co. 5,557,500
---------
10,970,000
----------
INSURANCE--6.8%
32,000 CIGNA Corp. 5,680,000
8,400 Fremont General Corp. 338,100
20,000 Gallagher (Arthur J.) & Co. 755,000
47,500 General Re Corp. 8,645,000
25,000 ITT Hartford Group, Inc. 2,068,750
12,800 Loews Corp. 1,281,600
40,000 Orion Capital Corp. 2,950,000
36,500 Selective Insurance Group, Inc. 1,767,969
145,933 Travelers Group, Inc. 9,202,900
---------
32,689,319
----------

See Notes to Financial Statements

Semiannual Report Equity Growth 9

SCHEDULE OF INVESTMENTS
EQUITY GROWTH

JUNE 30, 1997 (UNAUDITED)

Shares Value
- -----------------------------------------------------------------------------

LEISURE--1.9%
17,300 Eastman Kodak Co. $ 1,327,775
30,000 HFS, Inc.(1) 1,740,000
221,300 Hilton Hotels Corporation 5,878,281
4,400 King World Productions, Inc. 154,000
---------
9,100,056
---------
MACHINERY & EQUIPMENT--0.7%
49,400 Dover Corp. 3,038,100
3,400 Durco International Inc. 100,088
---------
3,138,188
---------
MEDICAL EQUIPMENT & SUPPLIES--2.8%
2,300 Datascope Corp.(1) 44,419
133,000 Hillenbrand Industries, Inc. 6,317,500
60,000 Hologic, Inc.(1) 1,601,250
60,000 Thermo Electron Corp.(1) 2,062,500
23,500 Thermo Instrument Systems Inc.(1) 719,688
51,000 US Surgical Corp. 1,899,750
30,000 Wesley Jessen VisionCare, Inc.(1) 718,125
---------
13,363,232
----------
METALS & MINING--0.8%
3,000 Ashland Coal, Inc. 85,500
26,900 Vulcan Materials Co. 2,111,650
20,000 Zeigler Coal Holding Co. 467,500
39,100 Zurn Industries, Inc. 1,124,125
---------
3,788,775
---------
PAPER & FOREST PRODUCTS--0.1%
37,700 Pope & Talbot, Inc. 619,694
---------
PERSONAL SERVICES--0.3%
58,700 CUC International Inc.(1) 1,515,194
---------
PHARMACEUTICALS--6.2%
12,000 American Home Products Corp. 918,000
100,000 Bristol-Myers Squibb Co. 8,100,000
69,500 Dura Pharmaceuticals, Inc.(1) 2,766,969
71,600 Johnson & Johnson 4,609,250
8,100 Mallinckrodt Inc. 307,800
108,800 Merck & Co., Inc. 11,260,800
23,000 Pharmacia & Upjohn Inc. 799,250
30,000 Watson Pharmaceuticals Inc.(1) 1,265,625
---------
30,027,694
----------

Shares Value
- -----------------------------------------------------------------------------

PRINTING & PUBLISHING--1.9%
16,200 Bowne & Co., Inc. $ 564,975
40,000 Meredith Corp. 1,160,000
175,700 Moore Corporation Ltd. 3,459,094
31,200 Wallace Computer Services, Inc. 937,950
8,000 Washington Post Co. (The) 3,184,000
---------
9,306,019
---------
RAILROADS--0.4%
75,000 Canadian Pacific Ltd. 2,132,813
---------
RESTAURANTS--0.6%
60,000 Applebee's International Inc.(1) 1,608,750
45,900 Boston Chicken, Inc.(1) 641,166
30,000 Lone Star Steakhouse & Saloon,
Inc.(1) 781,875
---------
3,031,791
---------
RETAIL (APPAREL)--0.7%
26,000 Burlington Coat Factory
Warehouse Corp.(1) 507,000
20,000 Liz Claiborne, Inc. 932,500
72,000 TJX Companies, Inc. (The) 1,899,000
---------
3,338,500
---------
RETAIL (FOOD & DRUG)--0.5%
72,000 Universal Corp. 2,286,000
---------
RETAIL (SPECIALTY)--0.3%
50,000 CompUSA Inc.(1) 1,075,000
10,000 Lowe's Companies, Inc. 371,250
---------
1,446,250
---------
RUBBER & PLASTICS--0.3%
40,000 Carlisle Companies, Inc. 1,395,000
---------
TEXTILES & APPAREL--1.1%
80,000 Dexter Corp. (The) 2,560,000
40,000 Nautica Enterprises, Inc.(1) 1,058,750
17,600 NIKE, Inc. 1,027,400
19,400 Tommy Hilfiger Corp.(1) 779,637
---------
5,425,787
---------
TOBACCO--1.0%
70,000 American Brands, Inc. 2,611,875
70,000 Gallaher Group Plc ADR(1) 1,290,625
23,000 RJR Nabisco Holdings Corp. 759,000
---------
4,661,500
---------

See Notes to Financial Statements

10 Equity Growth American Century Investments

SCHEDULE OF INVESTMENTS
EQUITY GROWTH

JUNE 30, 1997 (UNAUDITED)

Shares Value
- -----------------------------------------------------------------------------

UTILITIES--4.4%
20,000 Columbia Gas System, Inc. (The) $ 1,305,000
37,500 DQE, Inc. 1,059,375
224,900 Entergy Corp. 6,156,637
88,000 General Public Utilities Corp. 3,157,000
30,000 Hawaiian Electric Industries, Inc. 1,158,750
50,000 NIPSCO Industries, Inc. 2,065,625
50,000 Pennsylvania Power & Light Co. 996,875
200,000 Public Service Enterprise Group Inc. 5,000,000
---------
20,899,262
----------
TOTAL COMMON STOCKS--96.4% 463,890,268
(Cost $401,872,496) ===========

TEMPORARY CASH INVESTMENTS--3.6%
Repurchase Agreement, Goldman Sachs & Co.,
Inc., (U.S. Treasury obligations), in a joint
trading account at 5.80%, dated 6/30/97,
due 7/1/97 (Delivery value $17,202,771) 17,200,000
---------
(Cost $17,200,000)
TOTAL INVESTMENT SECURITIES--100.0% $481,090,268
(Cost $419,072,496) ===========

FUTURES CONTRACTS
Expiration Underlying Face Unrealized
Purchased Date Amount at Value Gain
--------- ---- --------------- ----
32 S&P 500 September
Futures 1997 $14,244,000 $103,580
========== =======

Notes to Schedule of Investments
ADR = American Depositary Receipt
(1) Non-income producing.
(2) Security, or a portion thereof, has been segregated at the custodian bank
for futures contracts.

See Notes to Financial Statements

Semiannual Report Equity Growth 11

<TABLE>
<CAPTION>
INCOME & GROWTH

AVERAGE ANNUAL RETURNS
6 MONTHS 1 YEAR 3 YEARS 5 YEARS LIFE OF FUND(1)
TOTAL RETURNS AS OF JUNE 30, 1997
<S> <C> <C> <C> <C> <C>
Income & Growth ............................ 17.79% 33.10% 27.51% 19.87% 20.41%
S&P 500 .................................... 20.61% 34.69% 28.80% 19.74% 19.82%
Average Growth & Income Fund(2) ............ 15.51% 28.15% 23.58% 17.26% 17.53%(3)
Fund's Ranking Among Growth
& Income Funds(2) ....................... -- 89 out of 533 24 out of 337 22 out of 21314 out of 169(3)
</TABLE>

(1) Inception date was December 17, 1990.
(2) According to Lipper Analytical Services.
(3) Since 12/20/90, the date nearest the fund's inception for which data are
available.

See pages 32-33 for more information about returns, the comparative index and
Lipper fund rankings.

[line graph - data below]

GROWTH OF $10,000 OVER LIFE OF FUND
Value on 6/30/97

Income & Growth...$33,657.
S & P 500.........$32,590.

Income & Growth S & P 500
12/17/90 (INCEP) $10,000. $10,000.
03/31/91 $11,820. $11,704.
06/30/91 $11,784. $11,679.
09/30/91 $12,689. $12,303.
12/31/91 $14,084. $13,326.
03/31/92 $13,598. $12,991.
06/30/92 $13,603. $13,239.
09/30/92 $13,999. $13,656.
12/31/92 $15,192. $14,340.
03/31/93 $15,933. $14,964.
06/30/93 $16,298. $15,035.
09/30/93 $16,983. $15,422.
12/31/93 $16,911. $15,779.
03/31/94 $16,150. $15,186.
06/30/94 $16,234. $15,251.
09/30/94 $16,853. $15,996.
12/31/94 $16,817. $15,993.
03/31/95 $18,288. $17,564.
06/30/95 $20,013. $19,215.
09/30/95 $21,676. $20,737.
12/31/95 $23,017. $21,982.
03/31/96 $24,304. $23,161.
06/30/96 $25,287. $24,196.
09/30/96 $26,149. $24,939.
12/31/96 $28,575. $27,022.
03/31/97 $29,083. $27,751.
06/30/97 $33,657. $32,590.

Past performance does not guarantee future results. Investment return and
principal value will fluctuate, and redemption value may be more or less than
original cost.

The line representing the fund's total return includes operating expenses (such
as transaction costs and management fees) that reduce returns, while the total
return line of the index does not.

PORTFOLIO AT A GLANCE
6/30/97 12/31/96
Number of Companies 212 193
Dividend Yield 2.40% 2.55%
Price/Earnings Ratio 17.3 15.7
Portfolio Turnover 47%(1) 92%(2)
Expense Ratio 0.59%(3) 0.62%

(1) Six months ended 6/30/97.
(2) Year ended 12/31/96.
(3) Annualized.

12 Income & Growth American Century Investments

INCOME & GROWTH

Management Q & A

An interview with John Schniedwind and Kurt Borgwardt, portfolio managers on the
Income & Growth investment team.

How did the fund perform?

The fund posted a strong 17.79% total return for the six months ended June 30,
1997, outpacing the 15.51% average return of the 612 "Growth & Income Funds"
tracked by Lipper Analytical Services. For the period, the fund finished in the
top 25% of its peer group category, and its longer-term returns are even more
impressive. (See the Total Returns table on the previous page for other fund
performance comparisons.) For the period, the fund lagged its benchmark, the S&P
500, which posted a 20.61% return. However, the fund's returns since inception
have slightly outpaced those of the S&P 500.

Why was the fund able to outpace the average return of its peers?

We believe the main reason that Income & Growth's returns outpaced those of its
peers was the fund's concentration in S&P 500 stocks. With investors favoring
large-cap issues during the period, the smaller-cap emphasis of many of the
fund's peers failed to provide the same returns.

[bar graph - data below]

INCOME & GROWTH'S ONE-YEAR RETURNS SINCE INCEPTION (Periods ended June 30)

Income & Growth S&P 500
6/91* 17.84% 16.79%
6/92 15.44% 13.36%
6/93 19.82% 13.57%
6/94 -0.40% 1.43%
6/95 23.28% 25.99%
6/96 26.36% 25.92%
6/97 33.10% 34.69%

* Return from 12/17/90 to 6/30/91.

Semiannual Report Income & Growth 13

INCOME & GROWTH

Banking stocks were the fund's top industry holding by the end of the period.
Can you cite an example of a bank stock that you held, why it was chosen and how
the stock performed?

A good example of a bank stock that we liked during the period was BankAmerica
Corp. (BofA), which was one of our larger holdings. BofA was able to reap the
benefits of California's economic recovery thanks to its strong California
franchise, helping BofA shares post a 58% return in 1996. The strong revenue and
earnings growth BofA achieved, and the low interest rate environment during much
of this year, increased the stock's attractiveness to our growth model.

Despite the company's strong revenue growth, BofA shares were attractively
priced compared with many other stocks in the market. That got the attention of
our value model too. We therefore held a large position in BankAmerica that paid
off handsomely--shares of BankAmerica returned nearly 31% for the first six
months of this year.

The fund's second largest stock holding by the end of the period was Merck &
Co., Inc. Why was this stock so attractive?

We increased the fund's exposure to Merck from 1.1% of the fund's investments at
the end of December 1996 to 2.5% by the end of June 1997 for several reasons.

From a fundamental standpoint, Merck had a solid fiscal 1996. Led by Chairman,
President and CEO Raymond V. Gilmartin, Merck's worldwide sales grew by 19%, the
company's net income increased 16% and earnings on shares of its stock rose 19%.
Fueling that performance was a string of new products that gained rapid
acceptance in the marketplace. Analysts have also been raising their forecast
estimates for Merck's earnings, which is favorably viewed by our models.

The combination of these factors led us to believe that Merck would be a strong
performer in 1997, and our expectations paid off handsomely. For the first six
months of this year, shares of Merck returned nearly 30%.

Why did fund performance differ from that of the S&P 500?

We believe one of the main reasons behind the disparity was the fund's tendency
to underweight certain stocks. While our models lead us to choose shares of
companies that are attractively valued with improving earnings forecasts such as
BofA and Merck, the models tend to lead us away from holding large amounts of
stocks that are trading at historically expensive prices.

TOP TEN HOLDINGS % of fund investments
As of As of
6/30/97 12/31/96
Intel Corp. 2.6% 1.6%
Merck & Co., Inc. 2.5% 1.1%
Bristol-Myers Squibb Co. 2.1% 2.4%
Ford Motor Co. 1.9% 0.8%
General Electric Co. (U.S.) 1.6% 2.1%
duPont (E.I.) de Nemours & Co. 1.6% 3.0%
Microsoft Corp. 1.5% 0.2%
Bankers Trust New York Corp. 1.5% 1.3%
Travelers Group, Inc. 1.4% 1.0%
Bell Atlantic Corp. 1.4% 1.2%

14 Income & Growth American Century Investments

INCOME & GROWTH

The fund's bias toward income leads us to hold a significant portion of the fund
in higher yielding electric utilities stocks, which performed poorly for the
period, dampening Income & Growth's returns. Electric utilities stocks were
somewhat out of favor due to the competitive environment that utilities face
because of deregulation. At prevailing prices, we believe that the electric
utility stocks we have chosen offer good dividend yields and appreciation
potential.

You recently assumed the managerial reins of the fund from Steve Colton who left
American Century to pursue other opportunities. Does that mean that the fund's
investment strategy will change?

What is your outlook for U.S. stocks for the rest of 1997?

The outlook is not entirely gloomy, however. The U.S. economy is now in its
seventh year of expansion and there are still no immediate signs of inflation.
With the passage of a capital gains tax cut, stocks, especially smaller-caps,
may soon become even more attractive to investors. We therefore anticipate that,
barring some unforeseen event, stocks should continue to perform well through
the rest of 1997, though at a more subdued pace.

What are your plans for the fund going forward?

From a sector standpoint, we will likely continue to favor banking and financial
service stocks as the low interest rate environment provides a potentially ideal
climate for this sector to produce solid returns. At the same time, we are
likely to remain underweighted in large consumer non-cyclical growth stocks such
as Coca-Cola and Gillette, which we are not currently attractive from a
valuation standpoint.

We also plan to remain fully invested in stocks of companies with improving
earnings forecasts that appear to be undervalued in an effort to provide
investors with attractive returns and lower risk.

TOP FIVE INDUSTRIES % of fund investments
As of As of
6/30/97 12/31/96
Banking 8.2% 7.7%
Pharmaceuticals 7.2% 6.5%
Energy (Production & Marketing) 6.3% 9.9%
Utilities 6.2% 6.3%
Communications Services 5.4% 7.4%

Semiannual Report Income & Growth 15

SCHEDULE OF INVESTMENTS
INCOME & GROWTH

JUNE 30, 1997 (UNAUDITED)

Shares Value
- -----------------------------------------------------------------------------

COMMON STOCKS
AEROSPACE & DEFENSE--2.0%
210,200 Boeing Co. $ 11,153,737
109,400 General Dynamics Corp. 8,205,000
68,800 United Technologies Corp. 5,710,400
---------
25,069,137
----------
AIRLINES--0.5%
40,900 AMR Corp.(1) 3,783,250
17,400 British Airways plc ADR 1,999,912
7,700 Delta Air Lines Inc. 631,400
---------
6,414,562
---------
AUTOMOBILES & AUTO PARTS--4.6%
254,000 Chrysler Corp. 8,334,375
51,900 Excel Industries, Inc. 1,012,050
624,500 Ford Motor Co. 23,574,875
262,700 General Motors Corp. 14,629,106
128,700 Honda Motor Co., Ltd. ADR 7,746,131
24,300 Magna International Inc. Cl A 1,462,556
30,000 Modine Manufacturing Co. 896,250
---------
57,655,343
----------
BANKING--8.2%
122,400 Banc One Corp. 5,928,750
222,000 BankAmerica Corp. 14,332,875
221,000 Bankers Trust New York Corp. 19,227,000
169,800 Chase Manhattan Corp. 16,481,212
96,000 Citicorp 11,574,000
24,900 City National Corp. 599,156
33,200 Comerica, Inc. 2,257,600
53,000 First Chicago NBD Corp. 3,206,500
133,000 First Union Corp. 12,302,500
164,300 Morgan (J.P.) & Co. 17,148,813
---------
103,058,406
-----------
BIOTECHNOLOGY--0.5%
113,000 Amgen Inc. 6,564,594
---------
BUILDING & HOME IMPROVEMENTS--0.2%
167,600 Johns Manville Corp. 1,979,775
---------
BUSINESS SERVICES & SUPPLIES--1.1%
46,000 Interpublic Group of Companies,
Inc. 2,820,375
9,200 Kelly Services, Inc. 288,938

Shares Value
- -----------------------------------------------------------------------------

183,100 Ogden Corp. $ 3,982,425
103,900 Omnicom Group Inc. 6,402,837
---------
13,494,575
----------
CHEMICALS & RESINS--4.5%
70,700 Chemed Corp. 2,646,831
42,300 Church & Dwight Co., Inc. 1,131,525
160,600 Dow Chemical Co. 13,992,275
313,000 du Pont (E.I.) de Nemours & Co. 19,679,875
199,700 Ecolab Inc. 9,535,675
11,700 Lubrizol Corp. 490,669
90,000 Raychem Corp. 6,693,750
64,200 Schulman (A.), Inc. 1,586,944
2,400 Union Carbide Corp. 112,950
---------
55,870,494
----------
COMMUNICATIONS EQUIPMENT--0.5%
21,100 ADC Telecommunications, Inc.(1) 705,531
62,500 Allen Group Inc. (The)(1) 1,296,875
26,300 Lucent Technologies Inc. 1,895,244
28,700 Motorola, Inc. 2,181,200
---------
6,078,850
---------
COMMUNICATIONS SERVICES--5.4%
185,600 Ameritech Corp. 12,609,200
233,900 Bell Atlantic Corp. 17,747,162
135,000 BellSouth Corp. 6,260,625
182,800 British Telecommunications plc
ADR 13,572,900
50,200 GTE Corp. 2,202,525
129,600 MCI Communications Corp. 4,961,250
165,600 SBC Communications Inc. 10,246,500
---------
67,600,162
----------
COMPUTER PERIPHERALS--0.6%
109,700 Adaptec, Inc.(1) 3,812,075
70,000 Quantum Corp.(1) 1,424,063
65,000 Seagate Technology, Inc.(1) 2,287,187
---------
7,523,325
---------
COMPUTER SOFTWARE & SERVICES--5.0%
35,000 Adobe Systems Inc. 1,228,281
173,000 Cadence Design Systems, Inc.(1) 5,795,500
222,400 Ceridian Corp.(1) 9,396,400
86,200 Computer Associates International,
Inc. 4,800,262
66,000 HBO & Co. 4,545,750
42,300 McAfee Associates, Inc.(1) 2,667,544

See Notes to Financial Statements

16 Income & Growth American Century Investments

SCHEDULE OF INVESTMENTS
INCOME & GROWTH

JUNE 30, 1997 (UNAUDITED)

Shares Value
- -----------------------------------------------------------------------------

152,800 Microsoft Corp.(1) $19,324,425
193,400 Oracle Systems Corp.(1) 9,736,481
55,400 Parametric Technology Corp.(1) 2,356,231
46,000 Shared Medical Systems Corp. 2,478,250
---------
62,329,124
----------
COMPUTER SYSTEMS--3.2%
132,100 Compaq Computer Corp.(1) 13,110,925
34,700 Dell Computer Corp.(1) 4,073,997
80,000 Gateway 2000, Inc.(1) 2,595,000
205,800 Hewlett-Packard Co. 11,524,800
73,400 International Business Machines
Corp. 6,619,762
72,400 Sun Microsystems, Inc.(1) 2,694,638
---------
40,619,122
----------
CONSTRUCTION & PROPERTY
DEVELOPMENT--0.2%
61,800 Harsco Corp. 2,502,900
---------
CONSUMER PRODUCTS--1.8%
79,300 Brown Group, Inc. 1,481,919
73,000 Estee Lauder Companies, Inc. 3,668,250
305,900 Hasbro, Inc. 8,679,912
65,000 Procter & Gamble Co. (The) 9,181,250
---------
23,011,331
----------
CONTROL & MEASUREMENT--0.5%
78,100 Coherent, Inc.(1) 3,487,653
39,700 Fluke Corp. 2,352,225
---------
5,839,878
---------
DIVERSIFIED COMPANIES--1.6%
305,000 General Electric Co. (U.S.)(2) 19,939,375
---------
ELECTRICAL & ELECTRONIC
COMPONENTS--3.8%
20,300 Eaton Corp. 1,772,444
91,200 Grainger (W.W.), Inc. 7,130,700
226,200 Intel Corp.(2) 32,028,506
50,600 Johnson Controls, Inc. 2,077,762
69,500 SCI Systems, Inc.(1) 4,430,625
---------
47,440,037
----------
ENERGY (PRODUCTION & MARKETING)--6.3%
194,800 Atlantic Richfield Co. 13,733,400
123,200 Chevron Corp. 9,109,100
200,000 Exxon Corp. 12,300,000
176,700 Imperial Oil Ltd. 9,077,962

Shares Value
- -----------------------------------------------------------------------------

13,700 Kerr-McGee Corp. $ 868,238
24,400 Mobil Corp. 1,704,950
41,100 Philips Petroleum Co. 1,798,125
314,400 Royal Dutch Petroleum Co. 17,095,500
35,400 Shell Transport & Trading Co. ADR 4,451,550
82,400 Texaco Inc. 8,961,000
---------
79,099,825
----------
ENERGY (SERVICES)--1.9%
59,000 Rowan Companies, Inc.(1) 1,663,062
119,200 Schlumberger Ltd. 14,900,000
168,400 Tidewater Inc. 7,409,600
---------
23,972,662
----------
FINANCIAL SERVICES--4.1%
125,100 Bear Stearns Companies Inc. 4,276,856
33,000 Edwards (A.G.), Inc. 1,410,750
140,600 Equitable of Iowa Companies 4,674,950
134,100 Federal National Mortgage
Association 5,850,112
88,700 Green Tree Financial Corp. 3,159,938
100,000 Lehman Brothers Holdings, Inc. 4,050,000
249,800 Merrill Lynch & Co., Inc. 14,894,325
189,915 Morgan Stanley, Dean Witter,
Discover & Co. 8,178,215
22,700 Paine Webber Group, Inc. 794,500
59,800 Salomon Inc. 3,326,375
10,100 Student Loan Marketing
Association 1,282,700
---------
51,898,721
----------
FOOD & BEVERAGE--1.3%
137,400 Coca-Cola Company (The) 9,274,500
70,500 Lancaster Colony Corp. 3,408,234
85,500 Lance, Inc. 1,635,187
49,400 Quaker Oats Co. (The) 2,216,825
---------
16,534,746
----------
FURNITURE & FURNISHINGS(3)
2,300 Kimball International, Inc. 92,431
---------
HEALTHCARE--1.7%
122,100 Columbia/HCA Healthcare Corp. 4,800,056
110,200 Lincare Holdings Inc.(1) 4,742,044
90,000 RoTech Medical Corp.(1) 1,808,437
29,000 Tenet Healthcare Corp.(1) 857,313
187,200 Wellpoint Health Networks Inc.(1) 8,587,800
---------
20,795,650
----------

See Notes to Financial Statements

Semiannual Report Income & Growth 17

SCHEDULE OF INVESTMENTS
INCOME & GROWTH

JUNE 30, 1997 (UNAUDITED)

Shares Value
- -----------------------------------------------------------------------------

INDUSTRIAL EQUIPMENT &
MACHINERY--1.9%
77,800 Caterpillar Inc. $ 8,353,775
43,100 Cooper Industries, Inc. 2,144,225
83,300 Dresser Industries, Inc. 3,102,925
156,600 Ingersoll-Rand Co. 9,670,050
22,800 Manitowoc Co., Inc. 1,065,900
---------
24,336,875
----------
INSURANCE--4.6%
26,100 Allstate Corp. 1,905,300
46,400 CIGNA Corp. 8,236,000
59,000 Gallagher (Arthur J.) & Co. 2,227,250
82,700 General Re Corp. 15,051,400
103,100 ITT Hartford Group, Inc. 8,531,525
4,200 Loews Corp. 420,525
25,000 Orion Capital Corp. 1,843,750
120,900 Reliance Group Holdings, Inc. 1,435,687
287,300 Travelers Group, Inc.(2) 18,117,856
---------
57,769,293
----------
LEISURE--2.8%
60,000 Callaway Golf Co. 2,130,000
222,700 Eastman Kodak Co. 17,092,225
54,200 HFS, Inc.(1) 3,143,600
363,900 Hilton Hotels Corporation 9,666,094
108,200 King World Productions, Inc. 3,787,000
---------
35,818,919
----------
MACHINERY & EQUIPMENT--1.7%
36,300 Barnes Group Inc. 1,075,388
195,000 Dover Corp. 11,992,500
146,100 Durco International Inc. 4,300,819
128,600 Timken Co. 4,573,337
---------
21,942,044
----------
MEDICAL EQUIPMENT & SUPPLIES--1.7%
23,100 Advanced Technology
Laboratories, Inc.(1) 990,413
10,000 Datascope Corp.(1) 193,125
182,800 Hillenbrand Industries, Inc. 8,683,000
92,500 Hologic, Inc.(1) 2,468,594
76,200 Thermo Electron Corp.(1) 2,619,375
50,000 Thermo Instrument Systems Inc.(1) 1,531,250
125,900 US Surgical Corp. 4,689,775
---------
21,175,532
----------

Shares Value
- -----------------------------------------------------------------------------

METALS & MINING--0.7%
10,000 Ashland Coal, Inc. $ 285,000
30,000 Cleveland-Cliffs Inc. 1,222,500
14,400 Oregon Metallurgical Corp.(1) 405,000
66,500 Vulcan Materials Co. 5,220,250
50,700 Zeigler Coal Holding Co. 1,185,113
---------
8,317,863
---------
OFFICE EQUIPMENT & SUPPLIES--0.3%
25,000 Pitney Bowes Inc. 1,737,500
28,700 Xerox Corp. 2,263,713
---------
4,001,213
---------
PAPER & FOREST PRODUCTS--0.2%
22,500 Pope & Talbot, Inc. 369,844
31,400 Weyerhaeuser Co. 1,632,800
---------
2,002,644
---------
PERSONAL SERVICES--0.3%
153,300 CUC International Inc.(1) 3,957,056
---------
PHARMACEUTICALS--7.2%
81,400 American Home Products Corp. 6,227,100
319,600 Bristol-Myers Squibb Co.(2) 25,887,600
84,700 Dura Pharmaceuticals, Inc.(1) 3,372,119
189,800 Johnson & Johnson 12,218,375
37,700 Mallinckrodt Inc. 1,432,600
300,800 Merck & Co., Inc. 31,132,800
137,000 Pharmacia & Upjohn Inc. 4,760,750
40,400 Schering-Plough Corp. 1,934,150
75,000 Watson Pharmaceuticals Inc.(1) 3,164,062
---------
90,129,556
----------
PRINTING & PUBLISHING--2.5%
59,600 Meredith Corp. 1,728,400
371,000 Moore Corporation Ltd. 7,304,063
167,600 Tribune Co. 8,055,275
100,000 U S WEST Communications, Inc. 3,768,750
8,400 Wallace Computer Services, Inc. 252,525
24,700 Washington Post Co. (The) 9,830,600
---------
30,939,613
----------
RESTAURANTS--0.3%
85,000 Applebee's International Inc.(1) 2,279,063
55,100 Lone Star Steakhouse &
Saloon, Inc.(1) 1,436,044
---------
3,715,107
---------

See Notes to Financial Statements

18 Income & Growth American Century Investments

SCHEDULE OF INVESTMENTS
INCOME & GROWTH

JUNE 30, 1997 (UNAUDITED)

Shares Value
- -----------------------------------------------------------------------------

RETAIL (APPAREL)--0.7%
20,500 Burlington Coat Factory
Warehouse Corp.(1) $ 399,750
25,800 Liz Claiborne, Inc. 1,202,925
90,000 Ross Stores, Inc. 2,939,063
179,000 TJX Companies, Inc. (The) 4,721,125
---------
9,262,863
---------
RETAIL (GENERAL MERCHANDISE)--0.4%
33,000 Dayton Hudson Corp. 1,755,188
58,900 Federated Department Stores,
Inc. (NEW)(1) 2,046,775
35,200 Harcourt General Inc. 1,676,400
---------
5,478,363
---------
RETAIL (SPECIALTY)--0.5%
95,000 CompUSA Inc.(1) 2,042,500
30,000 Home Depot, Inc. 2,068,125
53,200 Lowe's Companies, Inc. 1,975,050
---------
6,085,675
---------
STEEL--0.2%
12,300 Broken Hill Proprietary Co. Ltd.
(The) ADR 365,925
44,300 USX-U.S. Steel Group 1,553,269
---------
1,919,194
---------
TEXTILES & APPAREL--1.0%
153,300 Dexter Corp. (The) 4,905,600
57,800 Kellwood Co. 1,603,950
20,000 Nautica Enterprises, Inc.(1) 529,375
52,600 NIKE, Inc. 3,070,525
58,800 Tommy Hilfiger Corp.(1) 2,363,025
---------
12,472,475
----------
TOBACCO--1.7%
192,700 American Brands, Inc. 7,190,119
295,000 Philip Morris Companies Inc. 13,090,625
37,800 RJR Nabisco Holdings Corp. 1,247,400
---------
21,528,144
----------
TRANSPORTATION--0.1%
65,700 Roadway Express, Inc. 1,519,313
---------
UTILITIES--6.2%
155,300 Atlantic Energy, Inc. 2,610,981
170,600 Central & South West Corp. 3,625,250
3,100 Columbia Gas System, Inc. (The) 202,275

Shares Value
- -----------------------------------------------------------------------------

49,800 Commonwealth Energy System $ 1,192,088
73,700 DQE, Inc. 2,082,025
30,900 Enova Corp. 743,531
427,400 Entergy Corp. 11,700,075
20,000 FPL Group, Inc. 921,250
230,000 General Public Utilities Corp. 8,251,250
95,800 Hawaiian Electric Industries, Inc. 3,700,275
114,600 Houston Industries Inc. 2,456,738
10,000 MDU Resources Group, Inc. 240,000
19,900 NIPSCO Industries, Inc. 822,119
77,400 Pacific Enterprises 2,602,575
655,200 Pennsylvania Power & Light Co. 13,063,050
44,900 People's Energy Corp. 1,680,944
575,300 Public Service Enterprise Group Inc. 14,382,500
16,600 UGI Corp. 367,275
249,600 Utilicorp United Inc. 7,269,600
---------
77,913,801
----------
TOTAL COMMON STOCKS--94.5% 1,185,670,568
(Cost $982,552,697) -------------

TEMPORARY CASH INVESTMENTS(4)
$19,200,000 par value FHLB Discount Note,
5.30%, 7/1/97 19,200,000
Repurchase Agreement, Merrill Lynch & Co. Inc.,
(U.S. Treasury obligations), in a joint trading
account at 5.65%, dated 6/30/97, due
7/1/97 (Delivery value $50,207,879) 50,200,000
---------
TOTAL TEMPORARY CASH
INVESTMENTS--5.5% 69,400,000
---------
(Cost $69,400,000)
TOTAL INVESTMENT SECURITIES--100.0% $1,255,070,568
(Cost $1,051,952,697) ==============

FUTURES CONTRACTS
Expiration Underlying Face Unrealized
Purchased Date Amount at Value Gain
--------- ---- --------------- ----
81 S&P 500 September
Futures 1997 $36,055,125 $365,495
========== =======

See Notes to Financial Statements

Semiannual Report Income & Growth 19

SCHEDULE OF INVESTMENTS
INCOME & GROWTH

Notes to Schedule of Investments

ADR = American Depositary Receipt
FHLB = Federal Home Loan Bank
(1) Non-income producing.
(2) Security, or a portion thereof, has been segregated at the custodian bank
for futures contracts.
(3) Industry represents less than 0.05% of the Fund's total investment
securities.
(4) The rates for U.S. Government Agency discount notes are the yield to
maturity at June 30, 1997.

See Notes to Financial Statements

20 Income & Growth American Century Investments

<TABLE>
<CAPTION>
STATEMENTS OF ASSETS AND LIABILITIES

JUNE 30, 1997 (UNAUDITED)

EQUITY INCOME &
GROWTH GROWTH
ASSETS
<S> <C> <C>
Investment securities, at value (identified cost of $419,072,496
and $1,051,952,697, respectively) (Note 3) .................................. $481,090,268 $1,255,070,568
Cash .......................................................................... 1,460,551 6,031,399
Receivable for investments sold ............................................... -- 53,086,004
Receivable for capital shares sold ............................................ 993 166,230
Dividends and interest receivable ............................................. 685,999 2,199,612
Prepaids and other assets ..................................................... 5,595 8,899
----------- -------------
483,243,406 1,316,562,712
----------- -------------

LIABILITIES
Disbursements in excess of demand deposit cash ................................ 274,319 701,707
Payable for variation on futures contracts (Note 1) ........................... 106,400 282,005
Payable for investments purchased ............................................. -- 79,337,776
Payable for capital shares redeemed ........................................... 339,948 1,089,086
Payable to affiliates (Note 2) ................................................ 237,575 564,980
Dividends payable ............................................................. -- 197,399
Other liabilities ............................................................. 44,118 110,741
----------- -------------
1,002,360 82,283,694
----------- -------------
Net Assets Applicable to Outstanding Shares ................................... $482,241,046 $1,234,279,018
============ ==============

CAPITAL SHARES, $10.00 PAR VALUE
Outstanding (unlimited number of shares authorized) ........................... 26,038,087 52,426,353
============ ==============
Net Asset Value Per Share ..................................................... $18.52 $23.54
============ ==============

NET ASSETS CONSIST OF:
Capital (par value and paid-in surplus) ....................................... $381,081,591 $ 952,898,503
Undistributed net investment income ........................................... 26,975 1,962,250
Accumulated undistributed net realized gain from investments .................. 39,011,087 76,022,437
Net unrealized appreciation on investments .................................... 62,121,393 203,395,828
---------- -----------
$482,241,046 $1,234,279,018
============ ==============
</TABLE>

See Notes to Financial Statements

Semiannual Report Statements of Assets and Liabilities 21

<TABLE>
<CAPTION>
STATEMENTS OF OPERATIONS

FOR THE SIX MONTHS ENDED JUNE 30, 1997 (UNAUDITED)

EQUITY INCOME &
GROWTH GROWTH
INVESTMENT INCOME
Income:
Dividends (net of foreign taxes withheld of $47,560 and $83,637, respectively) ... $ 3,550,717 $ 10,930,245
<S> <C> <C>
Interest ......................................................................... 584,874 1,600,844
--------- ----------
4,135,591 12,531,089
--------- ----------

Expenses (Note 2):
Investment advisory fees ......................................................... 540,630 1,362,303
Transfer agency fees ............................................................. 287,168 605,883
Administrative fees .............................................................. 176,546 445,551
Printing and postage ............................................................. 78,354 170,579
Registration and filing fees ..................................................... 66,405 126,233
Custodian fees ................................................................... 13,283 28,356
Auditing and legal fees .......................................................... 10,011 24,335
Telephone expenses ............................................................... 7,556 21,819
Directors' fees and expenses ..................................................... 6,697 11,334
Other operating expenses ......................................................... 3,969 7,707
--------- ----------
Total expenses ................................................................. 1,190,619 2,804,100
--------- ----------
Net investment income ............................................................ 2,944,972 9,726,989
--------- ----------

REALIZED AND UNREALIZED GAIN ON INVESTMENTS (NOTE 3)
Net realized gain on investments ................................................. 27,938,720 55,971,861
Change in net unrealized appreciation on investments ............................. 28,678,422 98,006,461
--------- ----------

Net realized and unrealized gain on investments .................................. 56,617,142 153,978,322
---------- -----------

Net Increase in Net Assets Resulting from Operations ............................. $59,562,114 $163,705,311
=========== ============
</TABLE>
See Notes to Financial Statements

22 Statements of Operations American Century Investments

<TABLE>
<CAPTION>
STATEMENTS OF CHANGES IN NET ASSETS

SIX MONTHS ENDED JUNE 30, 1997 (UNAUDITED)
AND YEAR ENDED DECEMBER 31, 1996

EQUITY INCOME &
GROWTH GROWTH
Increase in Net Assets 1997 1996 1997 1996
OPERATIONS
<S> <C> <C> <C> <C>
Net investment income ............................ $ 2,944,972 $ 3,532,172 $ 9,726,989 $ 12,380,402
Net realized gain on investments ................. 27,938,720 33,547,625 55,971,861 57,275,039
Change in net unrealized appreciation
on investments ................................. 28,678,422 11,808,699 98,006,461 47,583,106
---------- ---------- ---------- ----------
Net increase in net assets resulting
from operations ................................ 59,562,114 48,888,496 163,705,311 117,238,547
---------- ---------- ----------- -----------

DISTRIBUTIONS TO SHAREHOLDERS
From net investment income ....................... (3,073,928) (3,440,245) (8,338,345) (12,129,058)
From net realized gains on investment
transactions ................................... (2,726) (27,164,820) (2,764) (47,219,967)
------ ----------- ------ -----------
Decrease in net assets from distributions ........ (3,076,654) (30,605,065) (8,341,109) (59,349,025)
---------- ----------- ---------- -----------

CAPITAL SHARE TRANSACTIONS
Proceeds from shares sold ........................ 249,536,379 180,750,520 502,768,112 459,487,007
Proceeds from reinvestment of distributions ...... 3,018,387 29,552,500 7,850,243 56,254,702
Payments for shares redeemed ..................... (101,231,761) (113,604,164) (149,398,296) (229,637,617)
------------ ------------ ------------ ------------
Net increase in net assets from capital
share transactions ............................. 151,323,005 96,698,856 361,220,059 286,104,092
----------- ---------- ----------- -----------
Net increase in net assets ....................... 207,808,465 114,982,287 516,584,261 343,993,614

NET ASSETS
Beginning of period .............................. 274,432,581 159,450,294 717,694,757 373,701,143
----------- ----------- ----------- -----------
End of period .................................... $482,241,046 $274,432,581 $1,234,279,018 $717,694,757
============ ============ ============== ============

Undistributed net investment income .............. $26,975 $155,931 $1,962,250 $573,606
======= ======== ========== ========

TRANSACTIONS IN SHARES OF THE FUND
Sold ............................................. 14,651,911 11,280,491 23,405,886 23,349,240
Issued in reinvestment of distributions .......... 172,949 1,878,880 362,792 2,834,991
Redeemed ......................................... (5,982,662) (7,156,611) (6,934,210) (11,577,062)
---------- ---------- ---------- -----------
Net Increase ..................................... 8,842,198 6,002,760 16,834,468 14,607,169
========= ========= ========== ==========
</TABLE>
See Notes to Financial Statements

Semiannual Report Statements of Changes in Net Assets 23

NOTES TO FINANCIAL STATEMENTS

JUNE 30, 1997 (UNAUDITED)

1. Organization and Summary of Significant Accounting Policies

Organization--American Century Quantitative Equity Funds (the Corporation) is
registered under the Investment Company Act of 1940 as an open-end diversified
management investment company. American Century Equity Growth Fund (Equity
Growth) and American Century Income & Growth Fund (Income & Growth) (the Funds)
are two of the five funds issued by the Corporation. Equity Growth seeks capital
appreciation by investing in common stocks. Income & Growth seeks dividend
growth, current income and capital appreciation by investing in common stocks.
The following significant accounting policies, related to the Funds, are in
accordance with accounting policies generally accepted in the investment company
industry.

Security Valuations--Portfolio securities traded primarily on a principal
securities exchange are valued at the last reported sales price, or the mean of
the latest bid and asked prices where no last sales price is available.
Securities traded over-the-counter are valued at the mean of the latest bid and
asked prices or, in the case of certain foreign securities, at the last reported
sales price, depending on local convention or regulation. When valuations are
not readily available, securities are valued at fair value as determined in
accordance with procedures adopted by the Board of Directors.

Futures Contracts--The Funds may enter into stock index futures contracts in
order to manage the Funds' exposure to changes in market conditions. One of the
risks of entering into futures contracts may include the possibility that the
changes in value of the contract may not correlate with the changes in value of
the underlying securities. Upon entering into a futures contract, the Funds are
required to deposit either cash or securities in an amount equal to a certain
percentage of the contract value (initial margin). Subsequent payments
(variation margin) are made or received daily, in cash, by the Funds. The
variation margin is equal to the daily change in the contract value and is
recorded as an unrealized gain or loss. The Funds recognize a realized gain or
loss when the contract is closed or expires. Net realized and unrealized gains
or losses occurring during the holding period of futures contracts are a
component of realized gain (loss) on investments and unrealized appreciation
(depreciation) on investments, respectively.

Repurchase Agreements--The Funds may enter into repurchase agreements with
institutions that the Funds' investment advisor, Benham Management Corporation
(BMC), has determined are creditworthy pursuant to criteria adopted by the Board
of Directors. Each repurchase agreement is recorded at cost. The Funds require
that the securities purchased in a repurchase transaction be transferred to the
custodian in a manner sufficient to enable the Funds to obtain those securities
in the event of a default under the repurchase agreement. BMC monitors, on a
daily basis, the value of the securities transferred to ensure that the value,
including accrued interest, of the securities under each repurchase agreement is
greater than amounts owed to the Funds under each repurchase agreement.

Joint Trading Account--Pursuant to an Exemptive Order issued by the Securities
and Exchange Commission, the Funds, along with other registered investment
companies having management agreements with BMC and American Century Investment
Management, Inc. (ACIM), may transfer uninvested cash balances into a joint
trading account. These balances are invested in one or more repurchase
agreements that are collateralized by U.S. Treasury and Agency obligations.

Income Tax Status--It is the Funds' policy to distribute all net investment
income and net realized capital gains to shareholders and to otherwise qualify
as a regulated investment company under the provisions of the Internal Revenue
Code. Accordingly, no provision has been made for federal or state taxes.

Distributions to Shareholders--Distributions to shareholders are recorded on the
ex-dividend date. Distributions from net investment income are declared and paid
quarterly for Equity Growth. Distributions from net investment income for Income
& Growth are declared daily and distributed monthly. Distributions from net
realized gains are declared and paid annually.

24 Notes to Financial Statements American Century Investments

NOTES TO FINANCIAL STATEMENTS

JUNE 30, 1997 (UNAUDITED)

- --------------------------------------------------------------------------------
2. Transactions with Related Parties

The Corporation has entered into an Investment Advisory Agreement with BMC that
provides the Corporation with investment advisory services in exchange for an
investment advisory fee. ACSC pays all compensation of the Corporation's
officers and directors who are officers or directors of ACC or any of its
subsidiaries. In addition, promotion and distribution expenses are paid by BMC.
The investment advisory fee is paid monthly by each Fund based on its pro rata
share of the dollar amount derived from applying the Corporation's average daily
closing net assets to the following annualized investment advisory fee schedule.

The Corporation has an Administrative Services and Transfer Agency Agreement
with ACSC. Under the Agreement, ACSC provides substantially all administrative
and transfer agency services necessary to operate the Funds. Fees for these
services are based on transaction volume, number of accounts and average daily
closing net assets for funds advised by BMC.

The Corporation has an additional agreement with BMC pursuant to which BMC
established a contractual expense guarantee that limits Fund expenses (excluding
items such as brokerage commissions, taxes, interest, custodian earnings
credits, and extraordinary expenses) to 0.75% of the Fund's average daily
closing net assets. The agreement provides that BMC may recover amounts
(representing expenses in excess of the Fund's expense guarantee rate) absorbed
during the preceding 11 months, if, and to the extent that, for any given month,
the Fund's expenses are less than the expense guarantee rate in effect at that
time.

The payables to affiliates as of June 30, 1997, based on the above agreements
were as follows:

Equity Income &
Growth Growth

Investment Advisor ................... $108,515 $276,255
Administrative Services and
Transfer Agent ....................... 129,060 288,725
-------- --------
$237,575 $564,980
======== ========

On July 30, 1997, the shareholders of the Funds approved a new management
agreement with ACIM (an affiliate of BMC) which replaces the existing contracts
between the Funds and BMC and ACSC for advisory, administrative and transfer
agency services. Under the agreement, ACIM will provide all services required by
the Fund in exchange for one "unified" fee. Based on assets at June 30, 1997,
the annual expense ratio for both of the Funds, under the new agreement, would
have been approximately 0.69%.

The Corporation has a Distribution Agreement with ACIS, which is responsible for
promoting sales of and distributing the Corporation's shares.

- --------------------------------------------------------------------------------
3. Investment Transactions

Purchases of investment securities, excluding short-term investments, for the
six months ended June 30, 1997, for Equity Growth and Income & Growth totaled
$378,071,531 and $782,669,348, respectively. Sales of investment securities,
excluding short-term investments, totaled $231,529,536 and $424,067,830,
respectively.

As of June 30, 1997, accumulated net unrealized appreciation for Equity Growth
and Income & Growth was $62,017,772 and $202,781,881, respectively, based on the
aggregate cost of investments for federal income tax purposes of $419,072,496
and $1,052,288,687, respectively. Accumulated net unrealized appreciation
consisted of unrealized appreciation of $65,611,328 and $208,720,977 for Equity
Growth and Income & Growth and unrealized depreciation of $3,593,556 and
$5,939,096, respectively.

Semiannual Report Notes to Financial Statements 25

<TABLE>
<CAPTION>
FINANCIAL HIGHLIGHTS
EQUITY GROWTH

For a Share Outstanding Throughout the Years Ended December 31 (except as noted)

1997(1) 1996 1995 1994 1993 1992

PER-SHARE DATA
Net Asset Value,
<S> <C> <C> <C> <C> <C> <C>
Beginning of Period ..................$15.96 $14.25 $11.53 $12.12 $11.68 $11.57
------ ------ ------ ------ ------ ------
Income From Investment Operations
Net Investment Income .............. 0.18 0.27 0.26 0.30 0.23 0.26
Net Realized and Unrealized Gain
(Loss) on Investment Transactions .. 2.51 3.55 3.70 (0.33) 1.10 0.23
---- ---- ---- ----- ---- ----
Total From
Investment Operations .............. 2.69 3.82 3.96 (0.03) 1.33 0.49
---- ---- ---- ----- ---- ----
Distributions
From Net Investment Income ......... (0.13) (0.26) (0.23) (0.30) (0.23) (0.23)
From Net Realized Gains
on Investment Transactions ......... -- (1.85) (1.01) (0.26) (0.66) (0.15)
------ ------ ------ ------ ------ ------
Total Distributions ................ (0.13) (2.11) (1.24) (0.56) (0.89) (0.38)
------ ------ ------ ------ ------ ------
Net Asset Value, End of Period .......$18.52 $15.96 $14.25 $11.53 $12.12 $11.68
====== ====== ====== ====== ====== ======
Total Return(2) .................... 16.90% 27.34% 34.56% (0.23)% 11.42% 4.13%

RATIOS/SUPPLEMENTAL DATA
Ratio of Operating Expenses
to Average Net Assets ...............0.63%(3) 0.63% 0.71% 0.75% 0.75% 0.75%
Ratio of Net Investment
Income to Average Net Assets ........1.56%(3) 1.74% 1.96% 2.26% 2.04% 2.33%
Portfolio Turnover Rate ............. 65% 131% 126% 94% 97% 114%
Average Commission Paid per
Investment Security Traded .......... $0.0428 $0.0385 $0.0320 --(4) --(4) --(4)
Net Assets, End
of Period (in thousands) ............$482,241 $274,433 $159,450 $97,437 $96,284 $73,592

(1) Six months ended June 30, 1997 (unaudited).
(2) Total return assumes reinvestment of dividends and capital gains
distributions, if any. Total returns for periods less than one year are not
annualized.
(3) Annualized.
(4) Disclosure of average commission paid per investment security traded was
not required prior to the year ended December 31, 1995.
</TABLE>

See Notes to Financial Statements

26 Financial Highlights American Century Investments

<TABLE>
<CAPTION>
FINANCIAL HIGHLIGHTS
INCOME & GROWTH

For a Share Outstanding Throughout the Years Ended December 31 (except as noted)

1997(1) 1996 1995 1994 1993 1992

PER-SHARE DATA
Net Asset Value,
<S> <C> <C> <C> <C> <C> <C>
Beginning of Period ................. $20.16 $17.81 $13.92 $15.08 $14.11 $13.53
------ ------ ------ ------ ------ ------
Income From Investment Operations
Net Investment Income ............. 0.15 0.44 0.42 0.44 0.43 0.42
Net Realized and Unrealized Gain (Loss)
on Investment Transactions ........ 3.42 3.79 4.64 (0.53) 1.15 0.62
---- ---- ---- ----- ---- ----
Total From
Investment Operations ............. 3.57 4.23 5.06 (0.09) 1.58 1.04
---- ---- ---- ----- ---- ----
Distributions
From Net Investment Income ........ (0.19) (0.44) (0.42) (0.43) (0.43) (0.41)
From Net Realized Gains
on Investment Transactions ........ -- (1.44) (0.75) (0.64) (0.18) (0.05)
------ ------ ------ ------ ------ ------
Total Distributions ............... (0.19) (1.88) (1.17) (1.07) (0.61) (0.46)
------ ------ ------ ------ ------ ------
Net Asset Value, End of Period ...... $23.54 $20.16 $17.81 $13.92 $15.08 $14.11
====== ====== ====== ====== ====== ======
Total Return(2) ................... 17.79% 24.15% 36.88% (0.55)% 11.31% 7.86%

RATIOS/SUPPLEMENTAL DATA
Ratio of Operating Expenses
to Average Net Assets ...............0.59%(3) 0.62% 0.67% 0.73% 0.75% 0.75%
Ratio of Net Investment Income
to Average Net Assets ...............2.05%(3) 2.32% 2.61% 2.96% 2.90% 3.16%
Portfolio Turnover Rate ............. 47% 92% 70% 68% 31% 63%
Average Commission Paid per
Investment Security Traded .......... $0.0431 $0.0389 $0.0300 --(4) --(4) --(4)
Net Assets, End
of Period (in thousands) ..........$1,234,279 $717,695 $373,701 $224,939 $230,191 $141,221

See Notes to Financial Statements

Semiannual Report Financial Highlights 27

PROXY VOTING RESULTS

An annual meeting of shareholders was held on July 30, 1997, to vote on the
following proposals. All of the proposals received the required majority of
votes and were adopted.

A summary of voting results is listed below each proposal.

Proposal 1:

To vote on the selection by the Board of Directors of Coopers & Lybrand LLP as
independent auditors for the Corporation.

Equity Growth Income & Growth
For: 14,988,588 31,511,558
Withheld: 201,752 421,394
Abstain: 188,035 511,631

Proposal 2:

To vote on the approval of a Management Agreement with American Century
Investment Management, Inc.

Equity Growth Income & Growth
For: 13,700,251 28,712,483
Against: 754,419 1,515,801
Abstain: 252,385 648,181
Broker Non-Vote: 671,320 1,568,118

Proposal 3:

To vote on the adoption of standardized investment limitations for the following
items:

o Eliminate the fundamental investment limitation concerning diversification
of investments.

Equity Growth Income & Growth
For: 13,602,692 27,712,648
Against: 749,923 2,282,074
Abstain: 354,440 881,743
Broker Non-Vote: 671,320 1,568,118

o Amend the fundamental investment limitation concerning the issuance of
senior securities.

Equity Growth Income & Growth
For: 13,597,732 27,834,063
Against: 740,207 2,138,799
Abstain: 369,116 903,603
Broker Non-Vote: 671,320 1,568,118

o Amend the fundamental investment limitation concerning borrowing.

Equity Growth Income & Growth
For: 13,578,014 27,743,343
Against: 772,480 2,229,446
Abstain: 356,561 903,676
Broker Non-Vote: 671,320 1,568,118

o Amend the fundamental investment limitation concerning lending.

Equity Growth Income & Growth
For: 13,564,753 27,732,907
Against: 781,732 2,246,823
Abstain: 360,570 896,735
Broker Non-Vote: 671,320 1,568,118

o Amend the fundamental investment limitation concerning concentration of
investments in a particular industry.

Equity Growth Income & Growth
For: 13,576,456 27,761,116
Against: 782,008 2,231,619
Abstain: 348,591 883,730
Broker Non-Vote: 671,320 1,568,118

28 Proxy Voting Results American Century Investments

PROXY VOTING RESULTS

o Eliminate the fundamental investment limitation regarding investments in
illiquid securities.

Equity Growth Income & Growth
For: 13,529,099 27,681,424
Against: 825,804 2,314,814
Abstain: 352,152 880,227
Broker Non-Vote: 671,320 1,568,118

o Eliminate the fundamental limitation concerning investment in other
investment companies.

Equity Growth Income & Growth
For: 13,607,444 27,790,442
Against: 749,057 2,192,910
Abstain: 350,554 893,113
Broker Non-Vote: 671,320 1,568,118

o Amend the fundamental investment limitation concerning investments in real
estate.

Equity Growth Income & Growth
For: 13,624,924 27,908,189
Against: 738,047 2,080,857
Abstain: 344,084 887,419
Broker Non-Vote: 671,320 1,568,118

o Amend the fundamental investment limitation concerning underwriting.

Equity Growth Income & Growth
For: 13,602,837 27,868,496
Against: 741,234 2,096,543
Abstain: 362,984 911,426
Broker Non-Vote: 671,320 1,568,118

o Eliminate the fundamental limitation concerning investments in issuers with
less than three years of continuous operation.

Equity Growth Income & Growth
For: 13,589,603 27,748,411
Against: 768,812 2,232,437
Abstain: 348,640 895,617
Broker Non-Vote: 671,320 1,568,118

o Eliminate the fundamental limitation concerning short sales.

Equity Growth Income & Growth
For: 13,576,944 27,696,098
Against: 776,735 2,282,249
Abstain: 353,376 898,118
Broker Non-Vote: 671,320 1,568,118

o Eliminate the fundamental investment limitation concerning margin purchases
of securities.

Equity Growth Income & Growth
For: 13,564,042 27,717,467
Against: 797,888 2,266,151
Abstain: 345,125 892,847
Broker Non-Vote: 671,320 1,568,118

o Eliminate the fundamental investment limitation concerning warrants.

Equity Growth Income & Growth
For: 13,586,491 27,793,457
Against: 761,316 2,171,547
Abstain: 359,248 911,461
Broker Non-Vote: 671,320 1,568,118

o Eliminate the fundamental investment limitation concerning investments in oil,
gas and mineral exploration development.

Equity Growth Income & Growth
For: 13,580,088 27,772,520
Against: 782,440 2,207,999
Abstain: 344,527 895,946
Broker Non-Vote: 671,320 1,568,118

o Eliminate the fundamental investment limitations concerning investments in
securities owned by officers and directors.

Equity Growth Income & Growth
For: 13,557,626 27,648,275
Against: 798,921 2,330,830
Abstain: 350,508 897,360
Broker Non-Vote: 671,320 1,568,118

Semiannual Report Proxy Voting Results 29

RETIREMENT ACCOUNT INFORMATION

Remember, even if you elect not to have income tax withheld, you are liable for
paying income tax on the taxable portion of your withdrawal. If you elect not to
have income tax withheld or you don't have enough income tax withheld, you may
be responsible for payment of estimated tax. You may incur penalties under the
estimated tax rules if your withholding and estimated tax payments are not
sufficient.

30 Retirement Account Information American Century Investments

NOTES

Semiannual Report Notes 31

BACKGROUND INFORMATION

Investment Philosophy & Policies

The American Century group offers eight equity funds, including Equity Growth
and Income & Growth. These two funds are general equity funds managed to provide
returns representative of the performance of the U.S. stock market as a whole.
The portfolio managers use quantitative management strategies in pursuit of each
fund's investment objective. An important management technique the portfolio
managers use is portfolio optimization. Portfolio optimization may cause a fund
to be more heavily invested in some industries than in others. However, neither
fund may invest more than 25% of its total assets in companies whose principal
business activities are in the same industry.

Equity Growth seeks capital appreciation by investing in common stocks. Equity
Growth is designed for investors whose financial goals include long-term capital
appreciation. The Portfolio Manager seeks a total return for Equity Growth that
exceeds the total return of the S&P 500. Of course, Equity Growth's total return
may be higher or lower than the S&P 500's return over any period of time.

Income & Growth seeks dividend growth, current income and capital appreciation
by investing in common stocks. Income & Growth is designed for income-oriented
investors seeking a total return that exceeds the total return of the S&P 500
and a dividend yield that exceeds the S&P 500's dividend yield. Of course,
Income & Growth's total return and dividend yield may be higher or lower than
the S&P 500's total return and dividend yield over any period of time.

Comparative Indices

The following indices are used in the report to serve as fund performance
comparisons. They are not investment products available for purchase.

The S&P 500 is a capitalization-weighted index of the stocks of 500
publicly-traded U.S. companies that are considered to be leading firms in
leading industries. Created by Standard & Poor's Corporation, the index is
viewed as a broad measure of U.S. stock performance.

The Russell 2000 is an index created by the Frank Russell Company that is
considered to be a broad measure of the stock price performance of small
companies. It is composed primarily of small-capitalization U.S. stocks.

Lipper Rankings

Lipper Analytical Services, Inc. is an independent mutual fund ranking service
that groups funds according to their investment objectives. Rankings are based
on average annual returns for each fund in a given category for the periods
indicated. Ratings are not included for periods of less than one year.

The Lipper categories for Equity Growth and Income & Growth are:

Growth Funds (Equity Growth)--funds that normally invest in companies whose
long-term earnings are expected to grow significantly faster than the earnings
of the stocks represented in the major unmanaged stock indices.

Growth & Income Funds (Income & Growth)--funds that combine a growth-of-earnings
orientation and an income requirement for level and/or rising dividends.

INVESTMENT TEAM LEADERS

EQUITY GROWTH:
Portfolio Managers Jeff Tyler
Bill Martin

INCOME & GROWTH:
Portfolio Managers John Schniedwind
Kurt Borgwardt

32 Background Information American Century Investments

GLOSSARY

Returns

o Total Return figures show the overall percentage change in the value of a
hypothetical investment in the fund and assume that all of the fund's
distributions are reinvested.

o Average Annual Returns illustrate the annually compounded returns that would
have produced the fund's cumulative total returns if the fund's performance had
been constant over the entire period. Average annual returns smooth out
variations in a fund's return; they are not the same as fiscal year-by-year
results. For fiscal year-by-year returns, please refer to the "Financial
Highlights" on pages 26-27.

Portfolio Statistics

o Number of Companies--the number of different companies held by a fund on a
given date.

o Dividend Yield--a percentage return calculated by dividing a company's annual
cash dividend by the current market value of the company's stock.

o Price/Earnings (P/E) ratio--a stock value measurement calculated by dividing a
company's stock price by its earnings per share, with the result expressed as a
multiple instead of as a percentage. (Earnings per share are calculated by
dividing the after-tax earnings of a corporation by its outstanding shares.)

o Expense Ratio--the operating expenses of the fund, expressed as a percentage
of net assets. Shareholders pay an annual fee to the investment advisor for
investment advisory and management services. The expenses and fees are deducted
from fund income, not from each shareholder's account. (See Note 2 in the Notes
to Financial Statements.)

Types of Stocks

o Blue-Chip Stocks--stocks of the most established companies in American
industry. They are generally large, fairly stable companies that have
demonstrated consistent earnings and usually have long-term growth potential.
Examples include General Electric and Coca Cola.

o Growth Stocks--generally considered to be stocks of companies that have
experienced above-average earnings growth and appear likely to continue such
growth. These stocks often sell at high P/E ratios. Examples can include the
stocks of high-tech, health care and consumer staple companies.

o Value Stocks--generally considered to be stocks that are purchased because
they are relatively inexpensive. These stocks are typically characterized by low
P/E ratios.

Statistical Terminology

o Price/Book Ratio--a stock value measurement calculated by dividing a company's
stock price by its book value per share, with the result expressed as a multiple
instead of as a percentage. (Book value per share is calculated by subtracting a
company's liabilities from its assets, then dividing that value by the number of
outstanding shares.)

Semiannual Report Glossary 33

[american century logo]
American
Century(sm)

P.O. Box 419200
Kansas City, Missouri
64141-6200

Investor Services:
1-800-345-2021 or 816-531-5575

Automated Information Line:
1-800-345-8765

Telecommunications Device for the Deaf:
1-800-634-4113 or 816-444-3485

Fax: 816-340-7962

Internet: www.americancentury.com

American Century Quantitative Equity Funds

Investment Manager
Benham Management Corporation

American Century Investment Services, Inc.

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SH-BKT-9331 Recycled
<PAGE>
SEMIANNUAL REPORT

[american century logo]
American
Century(sm)

June 30, 1997

AMERICAN
CENTURY
GROUP

Global Gold
Global Natural Resources

[front cover]

TABLE OF CONTENTS

Report Highlights......................................... 1
Our Message to You........................................ 2
Period Overview........................................... 3
Global Gold
Performance & Portfolio Information.................. 5
Management Q & A..................................... 6
Schedule of Investments.............................. 9
Financial Highlights.................................23
Global Natural Resources
Performance & Portfolio Information..................11
Management Q & A.....................................12
Schedule of Investments..............................15
Financial Highlights.................................24
Statements of Assets and Liabilities......................17
Statements of Operations..................................18
Statements of Changes in Net Assets.......................19
Notes to Financial Statements.............................20
Proxy Voting Results......................................25
Retirement Account Information............................26
Background Information
Investment Philosophy & Policies.....................28
Comparative Indices..................................28
Lipper Rankings......................................28
Portfolio Management Team............................28
Glossary..................................................29

American Century Investments--Family of Funds

BENHAM GROUP AMERICAN CENTURY GROUP TWENTIETH CENTURY GROUP

We welcome your comments or questions about this report. See the back cover for
ways to contact us by mail, phone or e-mail.

American Century Investments

REPORT HIGHLIGHTS

Period Overview

Gold

o The price of gold bullion declined by about 9% in the first half of 1997.

o Low inflation and high real interest rates around the globe curtailed
investment demand for gold. Central bank sales also weighed on prices by
increasing supply.

o Gold stocks followed gold bullion lower. The highest-cost gold producers fared
worst, while relatively low-cost producers performed better.

o The shares of larger, more diversified gold producers, which are less closely
tied to the underlying metal, held up best.

Natural Resources

o The major commodity indices declined overall during the period despite the
relatively strong growth of the world economy.

o Lower crude oil, heating oil and gasoline prices were largely responsible for
the decline.

o Despite lower oil prices, energy stocks produced solid returns for the period.

o Basic materials stocks performed well, particularly during the second quarter,
when paper stocks rose by almost 15% and steel stocks were up by 12%.

Global Gold

o The fund underperformed its Lipper peer group average but outperformed its
benchmark for the period.

o There were four fraudulent gold mining claims during the past year. These
false claims hurt gold stocks generally and small exploration companies in
particular.

o Gold stocks look fairly valued relative to their underlying assets, so a rally
by gold bullion should help gold stocks.

o Going forward, we'll focus on the large gold producers, which have low
production costs and sophisticated price hedging techniques.

Global Natural Resources

o The fund strongly outperformed its Lipper peer group average during the period
but underperformed its benchmark.

o A sharp decline in oil prices during February helps explain the fund's
performance relative to its peers and benchmark.

o With global economic growth projected by Goldman Sachs to be 3.8% in 1997 and
1998, we have a positive outlook for commodities going forward.

o Looking ahead, we think oil stocks look attractive as we approach winter--a
seasonally strong period for oil.

Global Gold

Total Returns: AS OF 6/30/97
6 Months -21.23%*
1 Year -26.66%

Net Assets: $334.6 million
(AS of 6/30/97)

Inception Date: 8/17/88

Ticker Symbol: BGEIX

Global
Natural Resources

Total Returns: AS OF 6/30/97
6 Months 8.31%*
1 Year 16.73%

Net Assets: $55.4 million
(AS of 6/30/97)

Inception Date: 9/15/94

Ticker Symbol: BGRIX

* Not annualized.

Many of the investment terms in this report are
defined in the Glossary on page 29.

Semiannual Report Report Highlights 1

OUR MESSAGE TO YOU

[photo of James E. Stowers III and James M. Benham]

The six months ended June 30, 1997, provided mixed results for investors in
global commodities stocks, including American Century Global Gold and American
Century Global Natural Resources. While gold stocks dropped because of a sharp
decline in the price of bullion, natural resources stocks fared better, buoyed
by the strong operations of large oil service companies and second quarter
recoveries by paper and steel firms.

We want to thank each of you who participated in our recent proxy solicitation.
Most notable among the proposals and changes, the funds' shareholders approved a
unified fee, which will cover nearly all of the funds' expenses and should
simplify their fee structures. In the past, the funds paid investment advisory
fees, transfer agency fees and operating costs as separate expenses. Our
shareholder communications team will provide more information on the unified fee
in the revised prospectuses and in the next issue of our Investor Perspective
quarterly newsletter.

We have also made some important corporate changes. In June, Bill Lyons,
American Century's chief operating officer, became president, assuming full
responsibility for the company's day-to-day operations. With this change, Jim
Stowers, Jr. and Jim Stowers III will be able to spend more time developing and
refining new investment technologies and tools that build on and leverage the
proprietary system they pioneered 25 years ago. One of our goals is to ensure
that we continue to evolve and innovate -- building the investment tools today
that will lead us and our investors to success in the next century.

Within the framework of this new relationship, American Century will continue to
operate as an independent company. No changes in your fund's portfolio managers,
investment policies, fees or expenses are anticipated as a result of this
transaction. American Century's corporate management team remains the same, and
the Stowers family will retain voting control of the company.

In closing, we want to reassure you that American Century remains committed to
serving your investment needs first and foremost. Thank you for your trust and
confidence.

Sincerely,

/s/James E. Stowers III /s/James M. Benham
James E. Stowers III James M. Benham
Chief Executive Officer Vice Chairman
American Century Companies American Century Companies

2 Our Message to You American Century Investments

PERIOD OVERVIEW

Gold Bullion

The price of gold declined sharply in the first half of 1997, falling from $369
per troy ounce to about $335. Sales of gold reserves by the Australian central
bank and a lack of investment demand caused gold's 9% decline.

Investment demand for gold tapered off largely because inflation remained tame
throughout the period. High real interest rates (nominal interest rates minus
the rate of inflation) around the globe also weighed on the price of gold. High
real rates reduce the threat of future inflation, increase the attractiveness of
hedging by gold producers and make financial assets a more attractive
alternative to gold. An increasing number of alternate inflation hedges, such as
inflation-indexed bonds, also reduced demand for gold.

Excess above-ground supply also hurt the price of gold during the period. An
apparent sea-change in the attitude of world central banks toward gold reserves
led many of them to sell portions of their reserves over the last few years.
Many central bankers now see gold as a foreign exchange reserve to be managed,
rather than as a store of value. (Gold fell to a 12-year low in July after a
report that the Australian central bank sold about two-thirds of its gold
reserves in the first half of the year.)

The price of bullion was also depressed by news that the Swiss government, which
holds some of the world's largest gold reserves, is considering proposals to
actively manage its reserves. The possible Swiss sales were important because
they established a negative tone for the gold market.

Over time, however, the gold market has become less vulnerable to the vagaries
of world central banks. According to data from Gold Fields Mineral Services,
Inc., the amount of gold held 10 years ago by central banks was equal to about
20 years of annual gold fabrication demand; today that number is at 10 years and
falling.

Despite the decline in gold prices, the fundamental gold market, which measures
fabrication demand and gold mine supply, was very strong during the period. If
you stripped out investment demand and above-ground supply from the gold market,
we estimate the equilibrium price of gold on the fundamental market would be
much higher, at around $380.

Gold Stocks

Gold stocks fell in line with the price of gold bullion. The stocks of companies
with the highest gold production costs fared worst, while relatively low-cost
producers performed better. The period's worst performers were stocks of South
African companies, which tend to have very high production costs. In contrast,
stocks of North American gold companies held up best because they have
relatively low production costs.

Hedging against price declines by large gold production companies was another
key determinant of regional stock performance. Australian gold stocks held up
relatively well because they were heavily hedged. Australian producers sold
forward about 2.5 years of aggregate production, compared with one year for
North America and about 8 months for South Africa.

GOLD RETURNS AT A GLANCE
Total Returns for the
Six Months Ended 6/30/97

Gold Stocks
FT-SE(R) Gold Mines Index -23.62%
African Region -33.22%
North American Region -18.93%
Australian Region -27.19%
Average Gold-Oriented Fund(1) -19.20%

Gold Bullion
Spot Price of Gold -9.18%

U.S. Inflation
Consumer Price Index (CPI)(2) 2.40%

(1) According to Lipper Analytical Services.
(2) For the 12 months ended June 30, 1997.
Sources: Financial Times, Dow Jones, Bloomberg Financial Markets

Semiannual Report Period Overview 3

PERIOD OVERVIEW

The shares of more diversified mining companies are less closely tied to the
underlying metal, so they fared better than pure gold stocks as the price of
gold declined. In particular, small exploration stocks also took a beating from
several fraudulent mining claims uncovered during the period.

Commodities

Despite the generally strong growth of the world economy, lower prices for crude
oil, gasoline and heating oil sent the major commodities indices lower in the
first half of 1997. The Commodity Research Bureau and Journal of Commerce
industrial commodities indices declined by about 1% for the period, while the
heavily energy-weighted Goldman Sachs Commodities Index fell by nearly 8%.

After reaching a post-Persian Gulf War high in January, crude oil prices
plummeted in February. Unseasonably warm weather and an early end to winter
caused oil prices to tumble from more than $26 per barrel to about $22 in just a
few weeks. Crude prices ultimately closed the period just above $20 per barrel.
Continued over-supply from OPEC and the resumption of limited sales of Iraqi oil
under the UN "oil-for-aid" plan also weighed on oil prices.

Unseasonably warm weather helped reduce heating oil prices. Reports of
larger-than-expected U.S. and European heating oil inventories also contributed
to the decline. Gasoline prices fell during the period because of
greater-than-expected production.

With the exception of gold (discussed above), nonferrous metals generally
performed well. Copper rebounded from steep losses in 1996 to hold firm during
the six-month period. The relatively short winter caused building season to get
under way sooner than usual, which meant longer, stronger demand for copper.
Copper also benefited from news that world stockpiles were not as large as
traders had feared.

Zinc in particular performed well, largely because Europe and Japan, both big
consumers of nonferrous metals, grew faster than expected.

Natural Resources Stocks

Energy

Energy stocks produced generally solid returns during the first six months of
1997 despite declining oil and gas prices. Oil services companies were the best
performers, rising more than 20% in dollar terms. International integrated oil
companies also performed very well, rising by almost 17%. Oil refining stocks
enjoyed greater-than-expected profit margins and also performed well.

The worst-performing energy stocks were the shares of small exploration and
production companies, which returned about 5%. These less diversified companies
lack a refining or chemical side to their business to support corporate revenues
when oil prices decline. As a result, they are more vulnerable than large
companies to declines in the price of oil.

The performance of oil stocks was also affected by the vagaries of the broader
U.S. stock market. Energy stocks' strong performance drew momentum investors
into the sector in 1996. But as oil prices declined in early 1997, sentiment for
this sector turned negative. Many momentum players rotated out of energy stocks,
paring the sector's gains. The smaller exploration and production stocks, which
tend to be the least liquid (hardest of the oil stocks to buy and sell), fared
worst.

Basic Materials

Basic materials stocks performed particularly well during the second quarter,
fueled in part by the Federal Reserve's decision to hold interest rates steady
since late March. Basic materials such as paper and steel are closely tied to
the fortunes of the economy, and stable or declining interest rates mean
stronger economic growth.

For example, returns for stocks of paper companies in the fund's benchmark were
down 3.6% in the first quarter of 1997 after falling throughout 1996. But during
the second quarter, paper stocks were up by 14.8%. Similarly, steel company
stocks in the index declined by 3.3% in the first quarter, but rose by 12.1% in
the second quarter.

4 Period Overview American Century Investments

<TABLE>
<CAPTION>
GLOBAL GOLD

AVERAGE ANNUAL RETURNS
6 MONTHS 1 YEAR 3 YEARS 5 YEARS LIFE OF FUND(1)
TOTAL RETURNS AS OF JUNE 30, 1997
<S> <C> <C> <C> <C> <C>
Global Gold .............................. -21.23% -26.66% -6.81% 3.32% -0.40%
Fund Benchmark+ .......................... -23.62% -30.93% -8.68% -0.89% 1.45%(2)
Average Gold-Oriented Fund(3) ............ -19.20% -24.36% -4.62% 4.15% 0.20%(4)
Fund's Ranking Among
Gold-Oriented Funds(3) ................ -- 28 out of 46 24 out of 33 19 out of 27 14 out of 21(4)
</TABLE>

(1) Inception date was August 17, 1988.
(2) Since 8/31/88, the date nearest the fund's inception for which benchmark
return data are available.
(3) According to Lipper Analytical Services.
(4) Since 8/18/88, the date nearest the fund's inception for which Lipper return
data are available.

See pages 28-29 for more information about returns, the comparative indices and
Lipper fund rankings.

[mountain graph - data below]

GROWTH OF $10,000 OVER LIFE OF FUND
Value on 6/30/97

$10,000 investment made 8/31/88

Global Gold $9,793
Fund Benchmark $11,355
MSCI World Stock Index $26,798

Global Gold Fund Benchmark+ MSCI World Stock Index

8/31/88 $10,000 $10,000 $10,000
9/30/88 $9,406 $10,031 $10,426
10/31/88 $9,417 $10,390 $11,122
11/30/88 $9,608 $10,114 $11,511
12/31/88 $9,137 $10,452 $11,617
1/31/89 $9,207 $11,169 $12,039
2/28/89 $9,985 $11,056 $11,966
3/31/89 $9,540 $11,128 $11,891
4/30/89 $8,955 $11,298 $12,167
5/31/89 $8,541 $11,595 $11,871
6/30/89 $9,167 $11,812 $11,739
7/31/89 $9,278 $12,494 $13,068
8/31/89 $9,722 $12,651 $12,753
9/30/89 $10,086 $12,489 $13,115
10/31/89 $10,439 $12,437 $12,680
11/30/89 $11,963 $12,548 $13,189
12/31/89 $11,871 $12,686 $13,615
1/31/90 $12,580 $11,858 $12,981
2/28/90 $11,891 $11,827 $12,427
3/31/90 $11,131 $11,726 $11,678
4/30/90 $9,762 $10,781 $11,512
5/31/90 $10,715 $11,598 $12,726
6/30/90 $10,066 $11,528 $12,638
7/31/90 $10,999 $11,606 $12,755
8/31/90 $10,756 $10,942 $11,563
9/30/90 $10,816 $10,373 $10,347
10/31/90 $8,860 $10,139 $11,314
11/30/90 $8,515 $10,404 $11,130
12/31/90 $9,564 $10,809 $11,365
1/31/91 $7,897 $10,881 $11,784
2/28/91 $8,592 $11,546 $12,876
3/31/91 $8,429 $11,707 $12,499
4/30/91 $8,122 $11,644 $12,598
5/31/91 $8,429 $11,956 $12,886
6/30/91 $9,094 $11,743 $12,092
7/31/91 $8,909 $12,012 $12,666
8/31/91 $7,979 $11,970 $12,628
9/30/91 $8,030 $11,574 $12,962
10/31/91 $8,541 $12,026 $13,174
11/30/91 $8,684 $11,828 $12,602
12/31/91 $8,490 $12,108 $13,522
1/31/92 $8,654 $12,417 $13,274
2/29/92 $8,316 $12,398 $13,047
3/31/92 $7,567 $11,859 $12,435
4/30/92 $7,239 $11,679 $12,610
5/31/92 $7,813 $11,822 $13,113
6/30/92 $8,316 $11,873 $12,676
7/31/92 $8,808 $12,084 $12,711
8/31/92 $8,592 $11,972 $13,023
9/30/92 $8,510 $11,651 $12,906
10/31/92 $8,151 $11,800 $12,558
11/30/92 $7,321 $11,648 $12,785
12/31/92 $7,755 $11,934 $12,891
1/31/93 $7,519 $11,786 $12,937
2/28/93 $8,330 $12,329 $13,245
3/31/93 $9,440 $12,922 $14,016
4/30/93 $10,703 $13,607 $14,668
5/31/93 $11,915 $13,993 $15,008
6/30/93 $12,675 $14,335 $14,885
7/31/93 $13,651 $14,363 $15,194
8/31/93 $12,593 $15,006 $15,893
9/30/93 $11,011 $14,518 $15,602
10/31/93 $12,891 $15,496 $16,034
11/30/93 $12,901 $15,253 $15,130
12/31/93 $14,054 $15,819 $15,873
1/31/94 $14,085 $16,685 $16,922
2/28/94 $13,375 $16,234 $16,706
3/31/94 $13,643 $15,939 $15,989
4/30/94 $12,059 $15,723 $16,486
5/31/94 $12,800 $15,975 $16,531
6/30/94 $12,101 $14,910 $16,488
7/31/94 $11,977 $15,493 $16,804
8/31/94 $12,697 $16,153 $17,313
9/30/94 $14,198 $16,216 $16,861
10/31/94 $12,810 $15,997 $17,344
11/30/94 $11,124 $15,289 $16,595
12/31/94 $11,700 $15,791 $16,759
1/31/95 $10,306 $15,068 $16,510
2/28/95 $10,967 $15,497 $16,754
3/31/95 $12,630 $16,263 $17,565
4/30/95 $12,454 $16,147 $18,181
5/31/95 $12,836 $16,822 $18,340
6/30/95 $12,846 $17,172 $18,338
7/31/95 $12,929 $17,519 $19,259
8/31/95 $13,063 $17,178 $18,833
9/30/95 $13,198 $17,276 $19,385
10/31/95 $11,411 $17,022 $19,084
11/30/95 $12,681 $17,830 $19,750
12/31/95 $12,783 $18,085 $20,331
1/31/96 $15,036 $19,077 $20,703
2/29/96 $15,315 $18,977 $20,832
3/31/96 $15,211 $19,027 $21,183
4/30/96 $15,160 $18,967 $21,685
5/31/96 $15,780 $19,377 $21,707
6/30/96 $13,351 $16,440 $21,821
7/31/96 $13,134 $16,269 $21,054
8/31/96 $13,660 $16,560 $21,300
9/30/96 $12,771 $15,096 $22,138
10/31/96 $12,771 $15,308 $22,296
11/30/96 $12,606 $15,287 $23,550
12/31/96 $12,430 $14,866 $23,177
1/31/97 $11,662 $13,845 $23,460
2/28/97 $13,263 $15,550 $23,734
3/31/97 $11,167 $13,344 $23,268
4/30/97 $10,212 $11,972 $24,033
5/31/97 $10,837 $12,798 $25,521
6/30/97 $9,793 $11,355 $26,798

Past performance does not guarantee future results. Investment return and
principal value will fluctuate, and redemption value may be more or less than
original cost. The graph begins on 8/31/88, the date nearest the fund's 8/17/88
inception date for which index return data are available.

The line representing the fund's total return includes operating expenses (such
as transaction costs and management fees) that reduce returns, while the total
return lines of the indices do not.

PORTFOLIO AT A GLANCE
6/30/97 12/31/96
Number of Companies 53 55
Portfolio Turnover 12%(1) 45%(2)
Expense Ratio 0.64%(3) 0.62%

(1) Six months ended 6/30/97.
(2) Year ended 12/31/96.
(3) Annualized.

+ From the fund's inception through February 1996, the fund's benchmark was the
Benham North American Gold Equities Index. From March 1996 to the present, the
fund's benchmark has been the FT-SE(R) Gold Mines Index.

Semiannual Report Global Gold 5

GLOBAL GOLD

Management Q & A

An interview with Bill Martin, a senior portfolio manager on the Global Gold
investment team.

How did the fund perform?

For the six months ended June 30, 1997, the fund returned -21.23%, compared with
the -19.20% average return of the 46 "Gold-Oriented Funds" tracked by Lipper
Analytical Services. The fund outperformed its benchmark, the FT-SE(R) Gold
Mines Index, which returned -23.62% for the period. (See the Total Returns table
on the previous page for other fund performance comparisons.) The fund's
negative returns were indicative of the overall poor performance of gold bullion
and gold stocks during the period.

Why did the fund outperform its benchmark?

We beat our benchmark during the period largely because of our regional over-
and underweightings relative to the index. For example, we underweighted
Australian and South African stocks, which produced the worst returns of any
region. We offset our underweightings in South Africa and Australia with an
overweighting in North American companies, which held up best as gold prices
declined during the period (see page 3).

Why did the fund underperform its peers?

The fund's Lipper peer group includes several diversified precious metals funds.
These funds were naturally more heavily weighted in non-gold mining stocks than
Global Gold. The relatively strong perfor-

[bar graph - data below]

GLOBAL GOLD'S ONE-YEAR RETURNS SINCE INCEPTION
(Periods ended June 30)

Global Gold Fund Benchmark+
6/89* -8.33% 18.12%
6/90 9.81% -2.41%
6/91 -9.66% 1.87%
6/92 -8.56% 1.11%
6/93 52.43% 20.74%
6/94 -4.53% 4.01%
6/95 6.16% 15.17%
6/96 3.93% -4.26%
6/97 -26.66% -30.93%

This graph illustrates the fund's returns since its inception and compares them
with the benchmark's returns. The fund's total returns include operating
expenses, while the benchmark's returns do not.

* Return from 8/31/88 (the date nearest the fund's inception for which benchmark
return data are available) to 6/30/89.

+ From inception through February 1996, the fund's benchmark was the Benham
North American Gold Equities Index. From March 1996 to the present, the fund's
benchmark has been the FT-SE(R) Gold Mines Index. For more information about the
fund's benchmark, see the Background Information on page 28.

6 Global Gold American Century Investments

GLOBAL GOLD

mance of other nonferrous metals mining stocks during the period boosted the
peer group average. We didn't fully participate in that trend because we try to
give investors a pure play on gold stocks.

There were several fraudulent claims by gold exploration companies during the
period, among them the highly publicized false claim by Canadian company Bre-X.
Did the fund hold any of these exploration stocks?

Yes. There were four fraudulent gold mining claims during the period. We had no
exposure to three of them, but we did own shares of Bre-X. We moved about 2% of
the fund's assets into Bre-X in 1996, when the company represented about 7% of
the gold share market. Because the fund is intended to give shareholders returns
consistent with the broad gold market, we felt compelled to take at least a
small position in Bre-X.

The holding grew to about 2.5% of fund assets before we began to take profits by
selling the stock. Nevertheless, we had more than 1% of fund assets in Bre-X
when the company's claim was found to be false.

What's been the effect of the Bre-X story on the broader gold market?

It's really tainted the gold market for most non-dedicated investors, such as
value and momentum investors. Many of these investors sold out, and that further
reduced the value of illiquid (relatively difficult to buy and sell)
small-capitalization gold exploration stocks. Another effect has been to put the
focus of most investors back on the large gold producing and refining companies
that are our staple.

However, the backlash against small exploration stocks could turn out to be a
long-term positive for the gold market by fostering consolidation. The
acquisition price for an exploration company and its mining claim fell from
about $100 per troy ounce before the Bre-X scandal to about $50 per ounce
afterward, so we see opportunities here for the senior gold companies.

If Bre-X was the fund's worst-performing non-index holding, what were some of
the best?

We made several non-index diversification plays that helped the fund's returns
during the period. Four of our largest non-index positions were Euro-Nevada,
Franco Nevada, Freeport-McMoRan Copper & Gold and Stillwater Mining, which rose
by 4%, 12%, 5.5% and 22%, respectively.

Newmont Mining was the fund's largest holding at the end of the period. What's
the attraction?

Newmont is a low-cost producer with a solid balance sheet. The company also has
relatively well-developed hedging capabilities, which make it better able to
ride out declines in the price of gold bullion. Newmont clearly held its value
better than the industry as a whole, declining by 12% for the period, while the
index was down by 23%.

Newmont's proportion of the fund's assets jumped from 9% to 16% after it
acquired Santa Fe Holdings, another company in the fund's portfolio. We see lots
of synergy in the deal: Newmont and Santa Fe owned several adjoining properties,
and the acquisition holds out the potential for greater operating efficiencies.

TOP TEN HOLDINGS % of fund investments
As of As of
6/30/97 12/31/96
Newmont Mining Corp. 16.2% 9.0%
Barrick Gold Corp. 15.3% 16.0%
Placer Dome Inc. 8.9% 8.7%
Homestake Mining Co. 3.7% 3.2%
Normandy Mining Limited 3.2% 2.7%
TVX Gold, Inc. 3.0% 4.0%
Driefontein Consolidated Ltd. 2.8% 3.9%
Ashanti Goldfields Company Ltd. 2.6% 2.1%
Vaal Reefs Exploration &
Mining Company Ltd. 2.5% 2.8%
Getchell Gold Corporation 2.2% 3.1%

Semiannual Report Global Gold 7

GLOBAL GOLD

European economic and monetary union (EMU) has important implications for gold
going forward. Can you explain?

EMU will require member countries to fund the foreign exchange reserve pool for
the new European central bank. Many gold market participants are concerned that
European central banks might use gold sales to finance their contributions to
this pool. In addition, some central banks may decide to sell their gold
reserves while they still have autonomy in the months leading up to EMU. Because
the average European central bank holds about 30% of its foreign exchange
reserves in gold, analysts view countries with more than 30% gold reserves, such
as France and Italy, as likely sellers of gold.

However, EMU could be positive for the gold market because we expect European
central banks to adopt relatively loose monetary policies going forward to
offset the tight fiscal environment required for union. Looser monetary policies
could lead to inflation, and that would be good for gold.

What's your outlook for gold bullion going forward?

We have a positive outlook for gold. At today's prices, about half of all gold
mined is uneconomic based on total production costs. (Only about 20% of gold
mined is uneconomic based on cash costs, and that is concentrated in South
Africa.) If gold were to stay at these levels for a prolonged period, say six
months to a year, there would have to be mine closures. That would likely reduce
supply and help support prices.

What's your outlook for gold stocks?

Gold stocks currently look fairly valued relative to their underlying assets for
the first time in a long while. In general, gold stocks typically move by 2-3%
for every 1% change in the price of the underlying metal. That means that any
rally in the price of gold should help the stocks of gold companies. We think
the lowest-cost gold producers offer the best risk/return outlook given that
gold is trading very near its break-even cost.

With this outlook in mind, what are your plans for the fund going forward?

With gold bullion trading near a 12-year low, we're going to focus on the senior
gold stocks. We think these stocks will hold up best because of their low
production costs and sophisticated hedging strategies. Senior stocks also have
the deep pockets to increase low-cost gold reserves at attractive prices. The
larger gold stocks also make sense because they're easier to buy and sell. By
region, we'll continue to underweight high-cost producers in Australia and South
Africa and concentrate on more-efficient North American companies.

[pie charts]

GEOGRAPHIC COMPOSITION (as of 6/30/97)
Canada 46%
U.S. 29%
South Africa 14%
Australia 8%
Ghana 3%

GEOGRAPHIC COMPOSITION (as of 12/31/96)
Canada 47%
U.S. 24%
South Africa 18%
Australia 9%
Ghana 2%

8 Global Gold American Century Investments

SCHEDULE OF INVESTMENTS
GLOBAL GOLD

JUNE 30, 1997 (UNAUDITED)

Shares Value
- -----------------------------------------------------------------------------

COMMON STOCKS & WARRANTS
AUSTRALIA--8.2%
1,411,000 Acacia Resources Limited(1) $ 1,853,508
200,000 Goldfields Limited(1) 297,450
1,300,000 Great Central Mines Limited 2,475,179
1,866,578 New Crest Mining Limited 5,156,164
9,549,500 Normandy Mining Limited 10,741,999
1,425,000 Plutonic Resources Ltd. 4,453,828
775,000 Sons of Gwalia NL 2,884,475
----------
27,862,603
----------
CANADA--44.4%
250,000 Arizona Star Resource Corp.(1) 1,602,274
145,000 Banro Resource Corporation
Special Warrants(1) 761,307
2,354,066 Barrick Gold Corp. 51,789,452
649,000 Battle Mountain Gold Co. 3,691,187
275,000 Bema Gold Corp.(1) 1,662,925
350,000 Boliden Limited Installment
Receipts (Acquired 6/11/97,
Cost $2,019,401)(1)(2) 1,862,983
442,400 Cambior, Inc. 5,030,059
1,034,800 Echo Bay Mines Ltd. 5,950,100
219,800 Euro-Nevada Mining Co., Ltd. 6,765,004
100,000 Francisco Gold Corp.(1) 1,567,875
140,000 Franco Nevada Mining, Ltd. 7,021,038
300,000 Goldcorp, Inc. Cl A(1) 2,161,712
400,000 Golden Knight Resources, Inc.(1) 816,888
350,000 Greenstone Resources Ltd.(1) 3,066,951
150,000 Indochina Goldfields(1) 706,087
548,800 Kinross Gold Corp.(1) 2,444,333
877,000 Meridian Gold Inc.(1) 3,890,112
566,300 Miramar Mining(1) 2,050,560
450,000 Nevsun Resources Ltd.(1) 1,352,428
1,842,600 Placer Dome Inc. 30,172,575
270,000 Romarco Mineral, Inc.(1) 743,021
1,169,500 Royal Oak Mines Inc.(1) 2,777,563
470,000 South Pacific Resources
Corporation(1) 200,818
1,932,200 TVX Gold, Inc.(1) 10,215,461

Shares Value
- -----------------------------------------------------------------------------

666,666 William Resources Inc.(1) $ 1,038,007
750,000 Yamana Resources, Inc.(1) 1,292,682
----------
150,633,402
-----------

GHANA--2.6%
755,573 Ashanti Goldfields Company
Ltd. GDR 8,830,760
-----------
SOUTH AFRICA--14.3%
842,892 Avgold Ltd.(1) 827,093
705,000 Beatrix Mines Limited 3,194,653
1,430,000 Driefontein Consolidated Ltd. 9,617,420
760,000 Elandsrand Gold Mining
Company Ltd. 2,740,022
475,000 Free State Consolidated Gold
Mines Limited 2,377,619
920,000 Kloof Gold Mining Company Ltd. 5,497,685
475,000 Randfontein Estates Gold Mining
Company Witwaterstrand Ltd. 995,038
190,000 Southvaal Holdings Limited 3,812,569
175,000 Vaal Reefs Exploration & Mining
Company Ltd. 8,450,937
825,000 Western Areas Gold Mining
Company Ltd. 5,548,512
230,000 Western Deep Levels Limited 5,540,794
-----------
48,602,342
-----------
UNITED STATES--27.0%
368,100 Crown Resources, Inc.(1) 2,392,650
200,500 Freeport-McMoRan Copper &
Gold, Inc. Cl A 5,864,625
207,100 Getchell Gold Corporation(1) 7,300,275
961,276 Homestake Mining Co. 12,556,668
1,410,875 Newmont Mining Corp. 55,024,125
246,800 Pegasus Gold, Inc.(1) 1,511,650
325,000 Stillwater Mining Co. (Acquired
8/18/95, Cost $6,987,500)(1)(2) 6,869,688
-----------
91,519,681
-----------
TOTAL COMMON STOCKS &
WARRANTS--96.5% 327,448,788
-----------
(Cost $395,104,486)

See Notes to Financial Statements

Semiannual Report Global Gold 9

SCHEDULE OF INVESTMENTS
GLOBAL GOLD

JUNE 30, 1997 (UNAUDITED)

Principal Amount Value
- --------------------------------------------------------------------------------

CONVERTIBLE BONDS--1.1%
CANADA
$3,900,000 Dayton Mining Corp., 7.00%,
4/1/02 (Acquired 2/12/97,
Cost $3,900,000)(2) $ 3,729,375
-----------
(Cost $3,900,000)

TEMPORARY CASH INVESTMENTS--2.4%
Repurchase Agreement, Goldman Sachs & Co.,
Inc., (U.S. Treasury obligations), in a joint
trading account at 5.80%, dated 6/30/97,
due 7/1/97 (Delivery value $8,301,337) 8,300,000
-----------
(Cost $8,300,000)
TOTAL INVESTMENT SECURITIES--100.0% $339,478,163
===========
(Cost $407,304,486)

Notes to Schedule of Investments
GDR = Global Depositary Receipt
(1) Non-income producing.
(2) Security was purchased under Rule 144A of the Securities Act of 1933 and,
unless registered under the Act or exempted from registration, may only be sold
to qualified institutional investors. The aggregate value of restricted
securities at June 30, 1997, was $12,462,045, which represented 3.7% of net
assets.

See Notes to Financial Statements

10 Global Gold American Century Investments

<TABLE>
<CAPTION>
GLOBAL NATURAL RESOURCES

6 MONTHS 1 YEAR LIFE OF FUND(1)
TOTAL RETURNS AS OF JUNE 30, 1997
<S> <C> <C> <C>
Global Natural Resources ............................................ 8.31% 16.73% 12.26%
Fund Benchmark ...................................................... 11.77% 19.81% 14.42%(2)
Average Natural Resources Fund(3) ................................... 2.56% 15.78% 16.06%
Fund's Ranking Among Natural Resources Funds(3) ..................... -- 20 out of 42 20 out of 28

(1) Average annual returns since the fund's inception date of September 15,
1994.
(2) Since 9/30/94, the date nearest the fund's inception for which benchmark
returns are available.
(3) According to Lipper Analytical Services.
</TABLE>

See pages 28-29 for more information about returns, the fund's benchmark and
Lipper fund rankings.

[mountain graph - data below]

GROWTH OF $10,000 OVER THE LIFE OF THE FUND
Value on 6/30/97

$10,000 investment made 9/30/94

Global Natural Resources $14,004
Fund Benchmark $14,480
DJ World Stock Index $14,413

Natural Resources Benchmark DJ World Stock Index

Sep-94 $10,000 $10,000 $10,000
Oct-94 $10,355 $10,398 $10,267
Nov-94 $9,737 $9,743 $9,762
Dec-94 $9,789 $9,711 $9,815
Jan-95 $9,616 $9,524 $9,597
Feb-95 $9,789 $9,700 $9,699
Mar-95 $10,227 $10,157 $10,139
Apr-95 $10,644 $10,535 $10,480
May-95 $10,675 $10,584 $10,557
Jun-95 $10,471 $10,409 $10,526
Jul-95 $10,975 $10,892 $11,009
Aug-95 $10,625 $10,575 $10,803
Sep-95 $10,728 $10,673 $11,022
Oct-95 $10,532 $10,441 $10,857
Nov-95 $10,913 $10,834 $11,185
Dec-95 $11,199 $11,173 $11,496
Jan-96 $11,335 $11,402 $11,709
Feb-96 $11,429 $11,378 $11,733
Mar-96 $11,870 $11,818 $11,888
Apr-96 $12,228 $12,217 $12,177
May-96 $12,143 $12,183 $12,160
Jun-96 $11,996 $12,086 $12,172
Jul-96 $11,636 $11,670 $11,681
Aug-96 $11,869 $11,921 $11,805
Sep-96 $12,113 $12,283 $12,271
Oct-96 $12,526 $12,553 $12,284
Nov-96 $12,970 $13,039 $12,938
Dec-96 $12,929 $12,956 $12,712
Jan-97 $13,168 $13,076 $12,754
Feb-97 $12,658 $12,933 $12,891
Mar-97 $12,952 $13,200 $12,601
Apr-97 $12,876 $13,198 $12,930
May-97 $13,745 $14,057 $13,750
Jun-97 $14,004 $14,480 $14,413

Past performance does not guarantee future results. Investment return and
principal value will fluctuate, and redemption value may be more or less than
original cost. The graph begins on 9/30/94, the date nearest the fund's 9/15/94
inception date for which benchmark return data are available.

The line representing the fund's total return includes operating expenses (such
as transaction costs and management fees) that reduce returns, while the total
return lines of the indices do not.

PORTFOLIO AT A GLANCE
6/30/97 12/31/96
Number of Companies 76 93
Portfolio Turnover 19%(1) 53%(2)
Expense Ratio 0.75%(3) 0.76%

(1) Six months ended 6/30/97.
(2) Year ended 12/31/96.
(3) Annualized.

Semiannual Report Global Natural Resources 11

GLOBAL NATURAL RESOURCES

Management Q & A

An interview with Joe Sterling, a portfolio manager on the Global Natural
Resources investment team.

How did the fund perform?

For the six months ended June 30, 1997, the fund returned 8.31%, compared with
the 2.56% average return of the 44 "Natural Resources Funds" tracked by Lipper
Analytical Services. Despite the fund's strong performance relative to its
peers, the fund actually underperformed its benchmark (a composite of the basic
materials and energy sectors of the Dow Jones World Stock Index), which returned
11.77% for the period. (See the Total Returns table on the previous page for
other fund performance comparisons.)

Why did the fund outperform its peers but lag its benchmark during the period?

The February collapse in oil prices goes a long way toward explaining the fund's
performance relative to its peers and benchmark. Oil prices declined overall
during the period, falling most sharply in February (see page 4). Oil
exploration companies suffered most from the decline.

We believe our peers were heavily overweighted in oil exploration companies and
were particularly hard hit. However, our benchmark doesn't have a large relative
weighting in these companies, so the index held up quite well. The fund's
performance fell in between these two extremes--we held fewer exploration
companies than our peers but more than the benchmark. The fund also benefited
from holding what we believe was a larger proportion of integrated oil and oil
service companies than our peers.

[bar graph - data below]

GLOBAL NATURAL RESOURCES' ONE-YEAR RETURNS SINCE INCEPTION
(Periods ended June 30)

Global Natural Resources Fund Benchmark
6/95* 4.71% 4.09%
6/96 14.57% 16.12%
6/97 16.73% 19.81%

* Return from 9/30/94 (the date nearest the fund's inception for which benchmark
return data are available) to 6/30/95.

12 Global Natural Resources American Century Investments

GLOBAL NATURAL RESOURCES

What were some of the fund's best overweightings relative to the benchmark?

Our regional bias toward the U.S. helped the fund relative to the benchmark, as
did our slant toward oil service companies. Actually, most oil service companies
are based in the U.S., so the fund's portfolio had a natural North American
overweighting. This bias helped the fund's returns because U.S. oil service
companies were some of the best-performing natural resources-related stocks for
the six-month period.

But you actually decreased the fund's U.S. holdings overall. Why?

Though we did marginally decrease our U.S. holdings, we haven't changed our
generally positive outlook for the region. The high degree of liquidity in U.S.
financial markets means U.S. stocks are generally easier to buy and sell than
many stocks from around the world. As a result, we sold some of these stocks to
meet cash needs.

Can you name some over- or underweightings that detracted from the fund's
performance?

Our underweighting in Japan hurt us relative to the benchmark during the period.
In the recent past, we underweighted Japanese natural resources stocks because
of the poor performance of the Japanese economy in the 1990s. In addition,
Japanese natural resources companies simply haven't been globally competitive
for some time. Japan lacks abundant natural resources, so Japanese companies
typically must seek joint ventures and partnerships with other corporations from
around the world. Over the last several years, the fund benefited from this
underweighting because these stocks turned in some of the worst returns in the
world's developed economies. But the fact that Japan enjoyed
better-than-expected economic growth during the period really helped many of
these stocks.

Stocks of paper companies performed better than expected in the second quarter,
but you have some doubts about the sustainability of their increase. Can you
explain why?

Sure. Pulp inventories were lower than expected in the second quarter, and with
global economic growth expected to be strong, many analysts correctly predicted
higher pulp prices. However, relatively low pulp inventories during the period
resulted from the temporary closure of many paper mills for seasonal maintenance
and a drop-off in planned capacity. As milling facilities come back on line,
inventories should rise.

Another reason paper stock prices shot higher was that momentum investors in the
broader stock market moved into this sector during the period. As a result, we
question whether the recent rise in the stocks of paper companies is justified.
Nevertheless, if paper's price rise becomes sustainable, we would certainly
become more sanguine about the industry's outlook.

What's your outlook for natural resources stocks going forward?

The outlook for commodities companies is positive. The global economy is
forecast by Goldman Sachs to expand by 3.8% during 1997 and 1998, while
non-Japan Asia--a key commodity-consuming

TOP TEN HOLDINGS % of fund investments
As of As of
6/30/97 12/31/96
Exxon Corp. 9.4% 7.6%
Royal Dutch Petroleum Co. 6.9% 6.7%
British Petroleum Co. plc 4.9% 4.2%
Mobil Corp. 4.3% 3.4%
Chevron Corp. 4.0% 2.7%
Amoco Corp. 3.4% 2.1%
Ente Nazionale 3.1% 2.3%
Texaco Inc. 2.7% 2.2%
Schlumberger, Inc. 2.3% 2.5%
Respol SA 2.1% 1.3%

Semiannual Report Global Natural Resources 13

GLOBAL NATURAL RESOURCES

region--is expected to grow by almost 7%. If these forecasts are correct, global
demand should at least equal supply for most commodities going forward.

Nevertheless, we remain cautious about the outlook for specific sectors, such as
paper and steel. Despite the recent rebound by these stocks, they remain very
closely tied to the U.S. economy. After seven consecutive years of economic
growth, we're uncertain if the U.S. can continue to expand at its current pace.
Supply concerns also worry us in these industries.

With this outlook in mind, what are your plans for the fund over the next six
months?

We think oil stocks are attractive going forward. The prospects for these
companies are positive given the forecasts for steady global economic growth. As
we approach winter--a seasonally strong period for oil--prices should rise in
line with demand. But even if crude oil prices were flat or continued to fall,
say to as low as $18-19 per barrel, we expect most large, diversified oil
companies to be able to maintain stable earnings.

In addition, exogenous factors could boost the price of oil going forward.
Supply disruptions are possible as we enter a period of historically rough
weather in the Gulf of Mexico and a little later in the North Sea. In addition,
global oil inventories are low because of just-in-time inventory practices.

We'll also look very carefully at nonferrous metal mining and producing
companies. European growth is key to strong demand for nonferrous metals going
forward. Stronger European growth could also help improve our outlook for paper
stocks, so we'll continue to monitor this sector as well.

[pie charts]

INDUSTRY WEIGHTINGS (as of 6/30/97)
Energy 69%
Basic Materials 31%

INDUSTRY WEIGHTINGS (as of 12/31/96)
Energy 72%
Basic Materials 28%

GEOGRAPHIC COMPOSITION (as of 6/30/97)
U.S. 44%
Europe 34%
Asia/Pacific 10%
Americas
(excluding U.S.) 8%
South Africa 4%

GEOGRAPHIC COMPOSITION (as of 12/31/96)
U.S. 51%
Europe 28%
Asia/Pacific 9%
Americas
(excluding U.S.) 9%
South Africa 3%

14 Global Natural Resources American Century Investments

SCHEDULE OF INVESTMENTS
GLOBAL NATURAL RESOURCES
JUNE 30, 1997 (UNAUDITED)

Shares Value
- -----------------------------------------------------------------------------

COMMON STOCKS
AUSTRALIA--2.4%
Basic Materials
28,030 Rio Tinto Limited $ 477,821
70,876 WMC Limited 446,790
50,000 Woodside Petroleum Ltd. 430,322
---------
1,354,933
---------
AUSTRIA--1.3%
Basic Materials
10,000 Voest-Alpine Stahl AG 452,970
Energy
2,000 OMV AG 256,191
---------
709,161
---------
CANADA--7.3%
Basic Materials
40,000 Abitibi-Consolidated Inc. 715,000
18,000 Inco Ltd. 541,125
23,000 Placer Dome Inc. 376,625
16,800 Rio Algom Ltd. 406,085
Energy
40,000 Anderson Exploration Ltd.(1) 515,625
20,000 Canadian Natural Resources Ltd.(1) 519,245
18,600 Norcen Energy Resources, Inc. 443,162
48,000 Tarragon Oil & Gas Ltd.(1) 563,131
---------
4,079,998
---------
FRANCE--3.8%
Energy
10,000 Elf Aquitaine SA 1,078,506
10,000 Total-Cie Franc Des 1,010,462
---------
2,088,968
---------
GERMANY--2.7%
Basic Materials
1,914 Viag AG 870,424
Energy
14,000 RWE AG 602,151
---------
1,472,575
---------
ITALY--3.1%
Energy
300,000 Ente Nazionale 1,701,532
---------

Shares Value
- -----------------------------------------------------------------------------

JAPAN--6.5%
Basic Materials
125,000 NKK Corporation $ 268,512
47,000 Nippon Paper Industries 272,101
225,000 Nippon Steel Corporation 719,088
34,000 Oji Paper Co. Ltd. 210,496
136,000 Sumitomo Metals Industries 387,146
50,000 Toho Zinc 257,597
Energy
100,000 Cosmo Oil Company 478,519
120,000 Japan Energy Corporation 314,356
32,000 Mitsubishi Oil Company 142,508
55,000 Nippon Oil Company 301,127
21,000 Tonen Corporation 253,056
---------
3,604,506
---------
MEXICO--1.1%
Basic Materials
25,000 Hylsamex S.A. 128,868
25,000 Tubos de Acero de Mexico SA
ADR(1) 460,937
---------
589,805
---------
NETHERLANDS--6.9%
Energy
74,000 Royal Dutch Petroleum Co. 3,847,729
---------
NEW ZEALAND--0.6%
Basic Materials
5,400 Fletcher Challenge Forests 7,865
135,000 Fletcher Challenge Paper 327,991
---------
335,856
---------
NORWAY--0.9%
Energy
26,200 Saga Petroleum ASA Cl A 497,344
---------
SOUTH AFRICA--3.8%
Basic Materials
7,000 Anglo American Corp. of South
Africa 421,775
23,000 Driefontein Consolidated Ltd. 154,686
105,000 Gencor 483,903
12,000 Gold Fields of South Africa 283,131
45,000 Sasol Ltd. 590,408
4,000 Vaal Reefs Exploration & Mining
Company Ltd. 193,164
---------
2,127,067
---------

See Notes to Financial Statements

Semiannual Report Global Natural Resources 15

SCHEDULE OF INVESTMENTS
GLOBAL NATURAL RESOURCES

JUNE 30, 1997 (UNAUDITED)

Shares Value
- -----------------------------------------------------------------------------

SPAIN--2.1%
Energy
27,000 Respol SA $1,140,948
---------
SWEDEN--2.2%
Basic Materials
26,500 Assidoman 755,035
30,000 Stora Kopparbergs Bergslags
Aktiebolag Cl A 485,657
---------
1,240,692
---------
SWITZERLAND--0.9%
Basic Materials
500 Alusuisse-Lonza Holding AG 517,932
---------
UNITED KINGDOM--9.9%
Basic Materials
160,000 British Steel 396,459
101,886 Bunzl 329,554
50,416 Rio Tinto plc 877,405
Energy
220,093 British Petroleum Co. plc 2,732,299
65,000 Enterprise Oil plc 729,641
100,000 Lasmo 431,549
---------
5,496,907
---------
UNITED STATES--43.8%
Basic Materials
8,500 Aluminum Co. of America 640,688
14,800 Cyprus Amax Minerals Co. 362,600
10,999 Freeport McMoRan Copper &
Gold, Inc. Cl B 342,344
7,000 Halliburton, Co. 554,750
10,000 Mead Corp. 622,500
10,100 Newmont Mining Corp. 393,900
5,000 Nucor Corp. 282,500
4,100 Willamette Industries, Inc. 287,000
25,000 Worthington Industries, Inc. 458,594
Energy
22,000 Amoco Corp. 1,912,625
13,000 Anadarko Petroleum Corp. 780,000
8,000 Atlantic Richfield Co. 564,000
30,000 Chevron Corp. 2,218,125
12,000 El Paso Natural Gas Co. 660,000
17,000 Enron Corp. 693,812

Shares Value
- -----------------------------------------------------------------------------

10,000 Ensco International Inc.(1) $ 527,500
85,000 Exxon Corp. 5,227,500
34,000 Mobil Corp. 2,375,750
13,700 Phillips Petroleum Corp. 599,375
10,000 Schlumberger, Inc. 1,250,000
13,800 Texaco Inc. 1,500,750
5,000 Transocean Offshore 363,125
20,000 Union Pacific Resources 497,500
26,800 United Meridian Corp.(1) 804,000
10,000 Unocal Corp. 388,125
---------
24,307,063
----------
TOTAL COMMON STOCKS--99.3% 55,113,016
----------
(Cost $46,651,828)

TEMPORARY CASH INVESTMENTS--0.7%
Repurchase Agreement, Merrill Lynch & Co.,
Inc., (U.S. Treasury obligations), in a joint
trading account at 5.65%, dated 6/30/97,
due 7/1/97 (Delivery value $400,063) 400,000
---------
(Cost $400,000)
TOTAL INVESTMENT SECURITIES--100.0% $ 55,513,016
==========
(Cost $47,051,828)

Notes to Schedule of Investments
ADR = American Depositary Receipt
(1) Non-income producing.

See Notes to Financial Statements

16 Global Natural Resources American Century Investments

<TABLE>
<CAPTION>
STATEMENTS OF ASSETS AND LIABILITIES

JUNE 30, 1997 (UNAUDITED)

GLOBAL GLOBAL
GOLD NATURAL RESOURCES

ASSETS
<S> <C> <C>
Investment securities, at value (identified cost of $407,304,486 and
$47,051,828, respectively) (Note 3) ........................................... $339,478,163 $55,513,016
Cash .......................................................................... -- 14,996
Receivable for investments sold ............................................... 432,851 --
Dividends and interest receivable ............................................. 362,675 165,098
Prepaids and other assets ..................................................... 8,991 23,194
----------- ----------
340,282,680 55,716,304
----------- ----------

LIABILITIES
Disbursements in excess of demand deposit cash ................................ 4,539,248 148,325
Payable for investments purchased ............................................. 217,540 --
Payable for capital shares redeemed ........................................... 568,018 108,673
Dividends payable ............................................................. 92,358 7,609
Payable to affiliates (Note 2) ................................................ 228,026 34,385
Accrued expenses and other liabilities ........................................ 31,201 6,377
----------- ----------
5,676,391 305,369
----------- ----------
Net Assets Applicable to Outstanding Shares ................................... $334,606,289 $55,410,935
============ ===========

CAPITAL SHARES, $10.00 PAR VALUE
Authorized .................................................................... 2,000,000,000 2,000,000,000
============= =============
Outstanding ................................................................... 37,744,330 4,340,860
============= =============
Net Asset Value Per Share ..................................................... $8.87 $12.76
============= =============

NET ASSETS CONSIST OF:
Capital (par value and paid-in surplus) ....................................... $404,861,438 $45,446,033
Undistributed net investment income ........................................... 331,811 35,411
Accumulated net realized gain (loss) on
investment and foreign currency transactions ................................ (2,759,928) 1,466,225
Net unrealized appreciation (depreciation) on investments and translation
of assets and liabilities in foreign currencies (Note 3) .................... (67,827,032) 8,463,266
----------- ---------
$334,606,289 $55,410,935
============ ===========
</TABLE>

See Notes to Financial Statements

Semiannual Report Statements of Assets and Liabilities 17

<TABLE>
<CAPTION>
STATEMENTS OF OPERATIONS

FOR THE SIX MONTHS ENDED JUNE 30, 1997 (UNAUDITED)

GLOBAL GLOBAL
GOLD NATURAL RESOURCES
INVESTMENT INCOME
Income:
<S> <C> <C>
Dividends (net of foreign taxes withheld of $140,836 and $63,711, respectively) .. $ 2,989,381 $ 801,612
Interest ......................................................................... 349,175 45,369
--------- -------
3,338,556 846,981
--------- -------

Expenses (Note 2):
Investment advisory fees ......................................................... 567,575 107,853
Transfer agency fees ............................................................. 276,445 54,569
Administrative fees .............................................................. 184,813 29,945
Printing and postage ............................................................. 86,966 15,033
Custodian fees ................................................................... 58,599 14,859
Registration and filing fees ..................................................... 19,480 6,674
Auditing and legal fees .......................................................... 11,439 2,401
Telephone expenses ............................................................... 9,998 1,422
Directors' fees and expenses ..................................................... 7,584 4,211
Organizational expense ........................................................... -- 4,249
Other operating expenses ......................................................... 33,027 6,226
--------- -------
Total expenses ................................................................. 1,255,926 247,442
Amount waived (Note 2) ........................................................... -- (7,405)
--------- -------
Net expenses ................................................................... 1,255,926 240,037
--------- -------
Net investment income ............................................................ 2,082,630 606,944
--------- -------

REALIZED AND UNREALIZED GAIN (LOSS)
ON INVESTMENTS AND FOREIGN CURRENCY (NOTE 3)
Net realized gain (loss) on:
Investments ...................................................................... (5,970,003) 1,061,364
Foreign currency transactions .................................................... (1,237) (6,941)
--------- -------
(5,971,240) 1,054,423
---------- ---------

Change in net unrealized appreciation (depreciation) on:
Investments ...................................................................... (89,113,902) 3,397,847
Translation of assets and liabilities in foreign currencies ...................... 2,243 1,082
--------- -------
(89,111,659) 3,398,929
----------- ---------

Net realized and unrealized gain (loss) on investments and foreign currency ...... (95,082,899) 4,453,352
----------- ---------

Net Increase (Decrease) in Net Assets
Resulting from Operations ........................................................ $(93,000,269) $5,060,296
============ ==========
</TABLE>

See Notes to Financial Statements

18 Statements of Operations American Century Investments

<TABLE>
<CAPTION>
STATEMENTS OF CHANGES IN NET ASSETS

SIX MONTHS ENDED JUNE 30, 1997 (UNAUDITED)
AND YEAR ENDED DECEMBER 31, 1996

GLOBAL GLOBAL
GOLD NATURAL RESOURCES

Increase (Decrease) in Net Assets 1997 1996 1997 1996
OPERATIONS
<S> <C> <C> <C> <C>
Net investment income .............................$ 2,082,630 $ 2,534,641 $ 606,944 $ 850,340
Net realized gain (loss) on investments and
foreign currency transactions ................... (5,971,240) 65,194,511 1,054,423 1,509,916
Change in net unrealized appreciation (depreciation) on
investments and translation of assets and liabilities
in foreign currencies ........................... (89,111,659) (75,033,176) 3,398,929 3,425,997
----------- ----------- --------- ---------
Net increase (decrease) in net assets resulting from
operations ...................................... (93,000,269) (7,304,024) 5,060,296 5,786,253
----------- ---------- --------- ---------

DISTRIBUTIONS TO SHAREHOLDERS
From net investment income ........................ (2,096,349) (2,133,106) (603,128) (823,849)
From net realized gains on investment
transactions .................................... -- (23,423,049) -- (1,137,854)
----------- ---------- --------- ---------
Decrease in net assets from distributions ......... (2,096,349) (25,556,155) (603,128) (1,961,703)
---------- ----------- -------- ----------

CAPITAL SHARE TRANSACTIONS
Proceeds from shares sold ......................... 199,055,253 591,451,544 38,573,805 82,201,900
Proceeds from reinvestment of distributions ....... 1,785,891 22,848,730 576,930 1,095,990
Payments for shares redeemed ...................... (203,724,786) (686,546,686) (54,218,354) (51,258,512)
------------ ------------ ----------- -----------
Net increase (decrease) in net assets from capital
share transactions .............................. (2,883,642) (72,246,412) (15,067,619) 32,039,378
---------- ----------- ----------- ----------
Net increase (decrease) in net assets ............. (97,980,260) (105,106,591) (10,610,451) 35,863,928

NET ASSETS
Beginning of period ............................... 432,586,549 537,693,140 66,021,386 30,157,458
----------- ----------- ---------- ----------
End of period ..................................... $334,606,289 $432,586,549 $55,410,935 $66,021,386
============ ============ =========== ===========

Undistributed net investment income ............... $331,811 $345,530 $35,411 $31,595
============ ============ =========== ===========
TRANSACTIONS IN SHARES OF THE FUND
Sold .............................................. 19,013,489 43,103,702 3,171,766 7,111,409
Issued in reinvestment of distributions ........... 204,398 2,023,411 45,250 93,973
Redeemed .......................................... (19,655,064) (50,429,618) (4,418,598) (4,492,484)
----------- ----------- ---------- ----------
Net increase (decrease) ........................... (437,177) (5,302,505) (1,201,582) 2,712,898
============ ============ =========== ===========

</TABLE>
See Notes to Financial Statements

Semiannual Report Statements of Changes in Net Assets 19

NOTES TO FINANCIAL STATEMENTS

JUNE 30, 1997 (UNAUDITED)

1. Organization and Summary of Significant Accounting Policies

Organization--American Century Quantitative Equity Funds (the Corporation) is
registered under the Investment Company Act of 1940 as an open-end management
investment company. American Century Global Gold Fund (Global Gold) and American
Century Global Natural Resources Fund (Global Natural Resources) (the Funds) are
two of the five funds issued by the Corporation. The Funds are non-diversified
under the 1940 Act. Global Gold's investment objective is to seek to realize a
total return (capital growth and dividends) consistent with investment in
securities of companies that are engaged in mining, processing, fabricating or
distributing gold or other precious metals throughout the world. Global Natural
Resources' investment objective is to seek to realize a total return consistent
with investment in companies that are engaged in the natural resources industry.
The Funds invest primarily in equity securities. The following significant
accounting policies, related to the Funds, are in accordance with accounting
policies generally accepted in the investment company industry.

Security Valuations--Portfolio securities traded primarily on a principal
securities exchange are valued at the last reported sales price, or the mean of
the latest bid and asked prices where no last sales price is available.
Securities traded over-the-counter are valued at the mean of the latest bid and
asked prices or, in the case of certain foreign securities, at the last reported
sales price, depending on local convention or regulation. When valuations are
not readily available, securities are valued at fair value as determined in
accordance with procedures adopted by the Board of Directors.

Foreign Currency Transactions--The accounting records of the Funds are
maintained in U.S. dollars. All assets and liabilities initially expressed in
foreign currencies are converted into U.S. dollars at prevailing exchange rates.
Purchases and sales of investment securities, dividend and interest income, and
certain expenses are translated at the rates of exchange prevailing on the
respective dates of such transactions.

Net realized foreign currency exchange gains or losses arise from sales of
foreign currencies and the difference between asset and liability amounts
initially stated in foreign currencies and the U.S. dollar value of the amounts
actually received or paid. Net unrealized foreign currency exchange gains or
losses arise from changes in the value of assets and liabilities, other than
portfolio securities, resulting from changes in the exchange rates.

Net realized and unrealized foreign currency exchange gains or losses occurring
during the holding period of portfolio securities are a component of realized
gain (loss) on investments and unrealized appreciation (depreciation) on
investments, respectively.

Forward Foreign Currency Exchange Contracts--The Funds may enter into forward
foreign currency exchange contracts for the purpose of settling specific
purchases or sales of securities denominated in a foreign currency or to hedge
the Fund's exposure to foreign currency exchange rate fluctuations. When
required, the Funds will segregate assets in an amount sufficient to cover their
obligations under the hedge contracts. The net U.S. dollar value of foreign
currency underlying all contractual commitments held by the Funds and the
resulting unrealized appreciation or depreciation are determined daily using
prevailing exchange rates. Forward contracts involve elements of market risk in
excess of the amount reflected in the Statements of Assets and Liabilities. The
Funds bear the risk of an unfavorable change in the foreign currency exchange
rate underlying the forward contract. Additionally, losses may arise if the
counterparties do not perform under the contract terms.

Joint Trading Account--Pursuant to an Exemptive Order issued by the Securities
and Exchange Commission, the Funds, along with other registered investment
companies

20 Notes to Financial Statements American Century Investments

NOTES TO FINANCIAL STATEMENTS

JUNE 30, 1997 (UNAUDITED)

having management agreements with BMC and American Century Investment
Management, Inc. (ACIM), may transfer uninvested cash balances into a joint
trading account. These balances are invested in one or more repurchase
agreements that are collateralized by U.S. Treasury and Agency obligations.

Income Tax Status--It is the policy of the Funds to distribute all net
investment income and net realized capital gains to shareholders and to
otherwise qualify as a regulated investment company under the provisions of the
Internal Revenue Code. Accordingly, no provision has been made for federal or
state taxes.

Distributions to Shareholders--Distributions to shareholders are recorded on the
ex-dividend date. Distributions from net investment income are declared and paid
semiannually. Distributions from net realized gains are declared and paid
annually.

The character of distributions made during the year from net investment income
or net realized gains may differ from their ultimate characterization for
federal income tax purposes. Those differences are due to differences in the
recognition of income and expense items for financial statement and tax
purposes.

Organizational Costs--Costs incurred by Global Natural Resources in connection
with the organization, initial registration, and public offering of shares are
being amortized on a straight-line basis over a five-year period ending
September 1999.

- --------------------------------------------------------------------------------
2. Transactions with Related Parties

The Corporation has entered into an Investment Advisory Agreement with BMC that
provides the Corporation with investment advisory services in exchange for an
investment advisory fee. ACSC pays all compensation of the Corporation's
officers and directors who are officers or directors of ACC or any of its
subsidiaries. In addition, promotion and distribution expenses are paid by BMC.
The investment advisory fee is paid monthly by each Fund based on its pro rata
share of the dollar amount derived from applying the Corporation's average daily
closing net assets to the following annualized investment advisory fee schedule.

Additionally, Global Natural Resources pays the following annual investment
advisory fee to BMC based on its average daily closing net assets:

0.05% of the first $500 million
0.04% of the next $500 million
0.03% of average daily net assets over $1 billion

The Corporation has an Administrative Services and Transfer Agency Agreement
with ACSC. Under the Agreement, ACSC provides substantially all administrative
and transfer agency services necessary to operate the Funds. Fees for these
services are based on transaction volume, number of accounts and average daily
closing net assets for funds advised by BMC.

Semiannual Report Notes to Financial Statements 21

NOTES TO FINANCIAL STATEMENTS

JUNE 30, 1997 (UNAUDITED)

The payables to affiliates as of June 30, 1997, based on the above agreements
were as follows:

Global
Global Natural
Gold Resources

Investment Advisor ............. $ 83,021 $11,279
Administrative Services and
Transfer Agent ................. 145,005 23,106
-------- --------
$228,026 $34,385
======== ========

On July 30, 1997, the shareholders of the Funds approved a new management
agreement with ACIM (an affiliate of BMC) which replaces the existing contracts
between the Funds and BMC and ACSC for advisory, administrative and transfer
agency services. Under the agreement, ACIM will provide all services required by
the Funds in exchange for one "unified" fee. Based on assets on June 30, 1997,
the annual expense ratio of the Funds, under the new agreement, would have been
approximately 0.69%.

The Corporation has a Distribution Agreement with ACIS, which is responsible for
promoting sales of and distributing the Corporation's shares.

- --------------------------------------------------------------------------------
3. Investment Transactions

Purchases of securities, excluding short-term investments, for Global Gold and
Global Natural Resources totaled $46,019,106 and $11,782,458, respectively.
Sales of securities, excluding short-term investments, for Global Gold and
Global Natural Resources totaled $51,885,082 and $25,717,614, respectively. As
of June 30, 1997, accumulated net unrealized appreciation (depreciation) for
Global Gold and Global Natural Resources was $(71,404,304) and $8,436,538,
respectively, based on the aggregate cost of investments for federal income tax
purposes of $410,882,466 and $47,076,478, respectively. Accumulated net
unrealized appreciation (depreciation) consisted of unrealized appreciation of
$41,480,486 and $10,556,334 for Global Gold and Global Natural Resources and
unrealized depreciation of $112,884,790 and $2,119,796, respectively.

22 Notes to Financial Statements American Century Investments

<TABLE>
<CAPTION>
FINANCIAL HIGHLIGHTS

GLOBAL GOLD

For a Share Outstanding Throughout the Years Ended December 31 (except as noted)

1997(1) 1996 1995 1994 1993 1992

PER-SHARE DATA
Net Asset Value,
<S> <C> <C> <C> <C> <C> <C>
Beginning of Period ..................$11.33 $12.37 $11.33 $13.67 $7.55 $8.28
------ ------ ------ ------ ----- -----
Income From Investment Operations
Net Investment Income .............. 0.05 0.06 0.02 0.03 0.01 0.02
Net Realized and Unrealized Gain (Loss)
on Investment Transactions ......... (2.45) (0.40) 1.03 (2.32) 6.12 (0.73)
----- ----- ---- ----- ---- -----
Total From
Investment Operations .............. (2.40) (0.34) 1.05 (2.29) 6.13 (0.71)
----- ----- ---- ----- ---- -----
Distributions
From Net Investment Income ......... (0.06) (0.06) (0.01) (0.02) (0.01) (0.02)
From Net Realized Gains
on Investment Transactions ......... -- (0.64) -- -- -- --
In Excess of Net Realized Gains .... -- -- -- (0.03) -- --
------ ------ ------ ------ ----- -----
Total Distributions ................ (0.06) (0.70) (0.01) (0.05) (0.01) (0.02)
----- ----- ----- ----- ----- -----
Net Asset Value, End of Period ....... $8.87 $11.33 $12.37 $11.33 $13.67 $7.55
===== ====== ====== ====== ====== =====
Total Return(2) ....................(21.23)% (2.76)% 9.25% (16.75)% 81.22% (8.65)%

RATIOS/SUPPLEMENTAL DATA
Ratio of Operating Expenses
to Average Net Assets ................0.64%(3) 0.62% 0.61% 0.61% 0.72% 0.75%
Ratio of Net Investment Income
to Average Net Assets ................1.06%(3) 0.46% 0.17% 0.20% 0.23% 0.23%
Portfolio Turnover Rate .............. 12% 45% 28% 42% 28% 53%
Average Commission Paid per
Investment Security Traded ........... $0.0213 $0.0289 $0.0350 --(4) --(4) --(4)
Net Assets, End
of Period (in thousands) .............$334,606 $432,587 $537,693 $568,030 $616,347 $163,777
</TABLE>

(1) Six months ended June 30, 1997 (unaudited).
(2) Total return assumes reinvestment of dividends and capital gains
distributions, if any. Total returns for periods less than one year are
not annualized.
(3) Annualized.
(4) Disclosure of average commission paid per investment security traded was
not required prior to the year ended December 31, 1995.

See Notes to Financial Statements

Semiannual Report Financial Highlights 23

<TABLE>
<CAPTION>
FINANCIAL HIGHLIGHTS
GLOBAL NATURAL RESOURCES

For a Share Outstanding Throughout the Years Ended December 31 (except as noted)

1997(1) 1996 1995 1994(2)
PER-SHARE DATA
Net Asset Value,
<S> <C> <C> <C> <C>
Beginning of Period ........................................ $11.91 $10.66 $9.61 $10.00
------ ------ ----- ------
Income From Investment Operations
Net Investment Income .................................... 0.14 0.17 0.16 0.07
Net Realized and Unrealized Gain (Loss)
on Investment Transactions ............................... 0.85 1.46 1.22 (0.42)
---- ---- ---- -----
Total From
Investment Operations .................................... 0.99 1.63 1.38 (0.35)
---- ---- ---- -----
Distributions
From Net Investment Income ............................... (0.14) (0.17) (0.16) (0.04)
From Net Realized Gains
on Investment Transactions ............................... -- (0.21) (0.17) --
---- ---- ---- -----
Total Distributions ...................................... (0.14) (0.38) (0.33) (0.04)
----- ----- ----- -----
Net Asset Value, End of Period ............................. $12.76 $11.91 $10.66 $9.61
====== ====== ====== =====
Total Return(3) .......................................... 8.31% 15.45% 14.41% (3.48)%

RATIOS/SUPPLEMENTAL DATA
Ratio of Operating Expenses
to Average Net Assets ...................................... 0.75%(4) 0.76% 0.76% --
Ratio of Net Investment Income
to Average Net Assets ...................................... 1.90%(4) 1.78% 2.02% 2.74%(4)
Portfolio Turnover Rate .................................... 19% 53% 39% --
Average Commission Paid per
Investment Security Traded ................................. $0.0273 $0.0305 $0.0280 --(5)
Net Assets, End
of Period (in thousands) ................................... $55,411 $66,021 $30,157 $18,972
</TABLE>

(1) Six months ended June 30, 1997 (unaudited).
(2) September 15, 1994 (inception) through December 31, 1994.
(3) Total return assumes reinvestment of dividends and capital gains
distributions, if any. Total returns for periods less than one year are
not annualized.
(4) Annualized.
(5) Disclosure of average commission paid per investment security traded was
not required prior to the year ended December 31, 1995.

See Notes to Financial Statements

24 Financial Highlights American Century Investments

PROXY VOTING RESULTS

An annual meeting of shareholders was held on July 30, 1997, to vote on the
following proposals. All of the proposals received the required majority of
votes and were adopted.

A summary of voting results is listed below each proposal.

Proposal 1:

To vote on the selection by the Board of Directors of Coopers & Lybrand LLP as
independent auditors for the Corporation.

Global
Global Gold Natural Resources
For: 22,103,338 3,510,009
Withheld: 624,534 4,706
Abstain: 250,051 47,560

Proposal 2:

To vote on the approval of a Management Agreement with American Century
Investment Management, Inc.

Global
Global Gold Natural Resources
For: 19,198,194 3,413,996
Against: 1,584,655 136,644
Abstain: 346,194 71,635
Broker Non-Vote: 1,848,880 --

Proposal 3:

To vote on the adoption of standardized investment limitations for the following
items:

oAmend the fundamental investment limitation concerning borrowing.

Global
Global Gold Natural Resources
For: 18,859,511 2,597,344
Against: 1,774,927 174,611
Abstain: 494,605 82,846
Broker Non-Vote: 1,848,880 767,474

oAmend the fundamental investment limitation concerning lending (Global Natural
Resources only).

For: 2,565,295
Against: 205,883
Abstain: 83,623
Broker Non-Vote: 767,474

oAmend the fundamental investment limitation concerning concentration of
investments in a particular industy (Global Natural Resources only).

For: 2,549,061
Against: 235,670
Abstain: 70,070
Broker Non-Vote: 767,474

oAmend the fundamental investment limitation concerning commodities (Global
Natural Resources only).

For: 2,547,224
Against: 174,240
Abstain: 133,337
Broker Non-Vote: 767,474

oEliminate the fundamental investment limitation concerning investments in oil,
gas and mineral exploration development programs (Global Natural Resources
only).

For: 2,617,501
Against: 165,203
Abstain: 72,097
Broker Non-Vote: 767,474

Semiannual Report Proxy Voting Results 25

RETIREMENT ACCOUNT INFORMATION

Remember, even if you elect not to have income tax withheld, you are liable for
paying income tax on the taxable portion of your withdrawal. If you elect not to
have income tax withheld or you don't have enough income tax withheld, you may
be responsible for payment of estimated tax. You may incur penalties under the
estimated tax rules if your withholding and estimated tax payments are not
sufficient.

26 Retirement Account Information American Century Investments

NOTES

Semiannual Report Notes 27

BACKGROUND INFORMATION

Investment Philosophy & Policies

The American Century group offers eight equity funds, including three
"specialty" equity funds that concentrate their holdings in specific industries
or sectors of the stock market. These funds typically respond differently than
general equity funds to changing market or economic conditions. The funds are
managed to provide a broad representation of the respective industries.

Global Gold seeks to realize a total return consistent with investment in
securities of companies that are engaged in mining, processing, fabricating or
distributing gold or other precious metals throughout the world.

The fund attempts to match the risk characteristics of the market for gold and
gold-related equity securities, and to produce returns indicative of performance
in the worldwide gold equities market.

Global Natural Resources seeks to realize a total return consistent with
investment in companies that are engaged in the natural resources industries.

The fund invests primarily in the stocks of foreign and U.S. companies included
in the Energy and Basic Materials sectors of the Dow Jones World Stock Index1
(DJWSI), excluding chemical companies.

Comparative Indices

The following indices are used in the report to serve as fund performance
comparisons. They are not investment products available for purchase.

The FT-SE(R) Gold Mines Index2 consists of 31 gold mining companies in five
countries and is considered a broad measure of the worldwide gold equities
market.

The Dow Jones World Stock Index (DJWSI), created by the editors of The Wall
Street Journal, consists of 2,800 stocks in 29 countries and is divided into
nine broad market sectors. We created the Global Natural Resources fund's
benchmark index using the companies represented in two of these sectors--Basic
Materials and Energy. We altered the Basic Materials sector to exclude chemical
companies because they do not stockpile natural resources.

The Morgan Stanley World Stock Index is a widely followed group of stocks from
22 different countries including the U.S. and Canada.

Lipper Rankings

Lipper Analytical Services, Inc. is an independent mutual fund ranking service
that groups funds according to their investment objectives. Rankings are based
on average annual returns for each fund in a given category for the periods
indicated. Rankings are not included for periods less than one year.

The Lipper categories for Global Gold and Global Natural Resources are:

Gold-Oriented Funds (Global Gold)--funds that invest at least 65% of their
assets in shares of gold mines, gold-oriented mining finance houses, gold coins
or bullion.

Natural Resources Funds (Global Natural Resources)--funds that invest at least
65% of their assets in natural resources stocks.

PORTFOLIO MANAGEMENT TEAM
Senior Portfolio Manager Bill Martin
Portfolio Manager Joe Sterling

1 The DJWSI is the property of Dow Jones & Company, Inc., which is not
affiliated with American Century.

2 The FT-SE Gold Mines Index is calculated by FT-SE International Limited in
conjunction with the Institute of Actuaries. The FT-SE Gold Mines Index is
a trademark of the London Stock Exchange Limited and the Financial Times
Ltd. and is used by FT-SE International Limited under license. FT-SE
International Limited does not sponsor, endorse or promote the fund.

28 Background Information American Century Investments

GLOSSARY

o Total Return figures show the overall percentage change in the value of a
hypothetical investment in the fund and assume that all of the fund's
distributions are reinvested.

o Average Annual Returns illustrate the annually compounded returns that would
have produced the fund's cumulative total returns if the fund's performance had
been constant over the entire period. Average annual returns smooth out
variations in a fund's return; they are not the same as fiscal year-by-year
results. For fiscal year-by-year returns, please refer to the "Financial
Highlights" on pages 23-24.

Portfolio Statistics

o Number of Companies--the number of different companies held by a fund on a
given date.

Types of Stocks

Semiannual Report Glossary 29

[american century logo]
American
Century(sm)

P.O. Box 419200
Kansas City, Missouri
64141-6200

Investor Services:
1-800-345-2021 or 816-531-5575

Automated Information Line:
1-800-345-8765

Telecommunications Device for the Deaf:
1-800-634-4113 or 816-444-3485

Fax: 816-340-7962

Internet: www.americancentury.com

American Century Quantitative Equity Funds

Investment Manager
Benham Management Corporation

American Century Investment Services, Inc.

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