<PAGE> 1
FINANCIAL
HORIZONS
INVESTMENT TRUST
(LOGO)
1995
SEMI-ANNUAL
REPORT
TO
SHAREHOLDERS
April 30, 1995
<PAGE> 2
(LOGO)
2
<PAGE> 3
CONTENTS (LOGO)
4 FUND HIGHLIGHTS
- - --------------------------------------------------------------------------------
6 STATEMENTS OF ASSETS AND LIABILITIES
- - --------------------------------------------------------------------------------
7 STATEMENTS OF OPERATIONS
- - --------------------------------------------------------------------------------
8 STATEMENTS OF CHANGES IN NET ASSETS
GROWTH FUND
MUNICIPAL BOND FUND
- - --------------------------------------------------------------------------------
9 STATEMENTS OF CHANGES IN NET ASSETS
GOVERNMENT BOND FUND
CASH RESERVE FUND
- - --------------------------------------------------------------------------------
10 STATEMENT OF INVESTMENTS
GROWTH FUND
- - --------------------------------------------------------------------------------
11 STATEMENT OF INVESTMENTS
MUNICIPAL BOND FUND
- - --------------------------------------------------------------------------------
12 STATEMENTS OF INVESTMENTS
GOVERNMENT BOND FUND
CASH RESERVE FUND
- - --------------------------------------------------------------------------------
13 FINANCIAL HIGHLIGHTS
- - --------------------------------------------------------------------------------
14 NOTES TO FINANCIAL STATEMENTS
- - --------------------------------------------------------------------------------
This report is for the information of shareholders of the Financial
Horizons Investment Trust's Mutual Funds. It may be used as sales literature
only when preceded or accompanied by a current prospectus which gives further
details about the Funds.
3
<PAGE> 4
FINANCIAL HORIZONS INVESTMENT TRUST
FUND HIGHLIGHTS
FINANCIAL HORIZONS GROWTH FUND
For the six month period ended April 30, 1995, the Financial Horizons Growth
Fund had a return of 8.5%.
The strategy for the Financial Horizons Growth Fund is to make purchases in
companies with clearly defined and clearly visible business opportunities,
at valuation levels that allow for future improvement. Sales are being made
when fundamentals become less clear than is satisfactory, or when valuations
become uncomfortably high.
The Growth Fund has a small asset base, which presents both problems and
opportunities. On the negative side, expenses run high as a percentage of
assets, and tend to eat up dividend and interest income, limiting payouts from
those sources. On the plus side, the Fund is able to buy small-cap stocks, in
significant (for the Fund) asset weightings, yet still be very liquid due to
the small absolute number of shares held. This gives the Fund a wider range of
investment opportunities than a larger fund would have, and allows risk to be
managed not only by fundamental analysis and valuation, but also by the
relative ease of initiating and liquidating positions. While not being run
exclusively, or even primarily, as a small-cap fund, Financial Horizons Growth
has been able to take advantage of a number of small-cap opportunities. This
has given the Fund favorable comparative results, despite the drag of expenses.
For example, according to Morningstar, for the one year period ending 02/28/95,
the Fund ranked 40th out of a universe of 653 growth funds.
Performance over the last six months has been influenced by strength in the
technology sector. Financial stocks have also recovered from earlier weakness,
and energy has been strong. Telecommunications has been a lackluster sector,
but one I continue to like long-term. Cash has gone down from about 12 percent
to 6 percent, as a greater number of buying opportunities have surfaced.
John M. Schaffner, MBA, CFA
Portfolio Manager
FINANCIAL HORIZONS MUNICIPAL BOND FUND
The municipal market has performed well over the past six months. From November
1994 to April 1995, the Bond Buyer 11 Index has ranged from 6.72% to 5.86%. It
ended the six month period at 5.96%. This Index is a good barometer for the
municipal market. It includes high quality Aa general market municipal bonds in
the 20 year maturity range. It also fits closely with the types of bonds used
in your Fund.
We continue to stress higher credit quality, shorter average maturities, and a
higher average coupon as we approach a more defensive posture. Credit
quality is being kept very high as we do not feel that yield spreads have
warranted extra credit risk. Capital losses are being booked where prudent.
The average coupon has been increased from 5.87% to 6.23%. This should help
improve dividend payout. Average maturity has been pulled back almost 1.7
years to improve asset stability. We have pursued this program slowly to take
advantage of the rapidly improving market. Average credit quality currently
stands slightly above "Aa".
The municipal yield curve is extremely flat. This has allowed us to pursue a
defensive strategy with minimal give-up in yield while preparing your Fund to
be ready to perform well over the next six months and beyond in varying market
scenarios.
J. Randall Baney, MBA
Portfolio Manager
4
<PAGE> 5
(LOGO)
FINANCIAL HORIZONS GOVERNMENT BOND FUND
In our Annual Report six months ago, we discussed the unusual fundamental value
available in the bond market due to what had been twelve months of falling bond
prices. During the past six months, bond market investors have been rewarded
for their patience after what had been a very difficult prior year. Despite two
additional short-term rate increases by the Federal Reserve, longer term rates
have fallen dramatically allowing for a recovery in bond prices. The
Government Bond Fund has performed well during this period due its continued
exposure to the intermediate and long areas of the yield curve and its exposure
to both the agency debenture market and the mortgage market in the form of
Collateralized Mortgage Obligations (CMO's).
Last years higher interest rates were generally blamed on
fear of higher future inflation. Actual reported numbers however
have continued to show few signs of increased inflation at the
finished goods stage of production. Limited wage increases and
continued gains in productivity get the credit for continued
modest increases in inflation gauges like the Consumer Price
Index (CPI) and the Producer Price Index (PPI) - Inflation and
expectations for future inflation always drive the bond market in
the long run. The current relatively benign outlook for
inflation thus could allow for further decreases in interest
rates and higher bond prices, although the underlying value in
the market seems less compelling than it did six months ago due
to the rally we have already seen.
The portfolio strategy for the Fund will remain the same.
The portfolio manager will attempt to identify value within the
government, agency, and mortgage-backed markets while maintaining
a market exposure that will allow fund investors to participate
in future market moves. Investments will be moved from
relatively overvalued issues to those that are seen as relatively
undervalued as opportunities become available. Approximately
one-third of portfolio assets continue to be invested in the CMO
market. The additional yield on these conservatively-structured
investments continue to make them attractive portfolio holdings.
The portfolio will avoid the risks inherent in the more-risky
"derivative" structures that have recently received so much
negative press coverage.
Wayne T. Frisbee, CFA
Portfolio Manager
FINANCIAL HORIZONS CASH RESERVE FUND
Short-term interest rates continued to rise during the period as
the Federal Reserve increased rates due to inflation concerns.
Since February 1994, the Federal Reserve has raised rates seven
times. Additional tightening may occur if the Federal Reserve
determines that the economy is growing at a faster rate than is
acceptable to keep inflation under control.
The yield on the Cash Reserve Fund followed this trend due to
higher yields on money market instruments. The 30 day effective
yield rose to 5.61% in April 1995 from 4.47% in October 1994.
The Fund continues to invest in only the highest rated money
market securities. An internal credit review is completed on
every company that the Fund invests in.
Karen G. Mader, MA
Senior Securities Portfolio Manager
5
<PAGE> 6
FINANCIAL HORIZONS INVESTMENT TRUST
Statements of Assets And Liabilities
April 30, 1995 (Unaudited)
<TABLE>
<CAPTION>
MUNICIPAL GOVERNMENT CASH
GROWTH BOND BOND RESERVE
FUND FUND FUND FUND
- - -----------------------------------------------------------------------------------------------------------------------------------
ASSETS
<S> <C> <C> <C> <C>
Investments in securities, at value
(cost $5,914,352, $26,710,952,
68,264,714, and 4,202,744,
respectively) $7,228,445 26,596,586 68,323,553 4,202,744
Cash - - - 103
Accrued interest and dividends
receivable 2,506 491,023 566,805 -
Receivable for Fund shares sold 1,717 38 106 -
Receivable for investment securities sold 58,342 - 13,250,000 -
---------- ---------- ---------- ----------
Total Assets 7,291,010 27,087,647 82,140,464 4,202,847
---------- ---------- ---------- ----------
LIABILITIES
Payable for investment securities purchased - - 13,170,000 -
Net payable for Fund shares redeemed 4,296 170,203 232,987 75
Accrued management fees (note 2) 3,836 15,552 37,706 1,375
Accrued transfer agent fees (note 2) 779 1,400 1,465 78
Payable for dividends accrued - 39,091 186,257 1,325
Other accrued expenses 11,048 32,580 43,125 2,120
---------- ---------- ---------- ----------
Total Liabilities 19,959 258,826 13,671,540 4,973
---------- ---------- ---------- ----------
NET ASSETS $7,271,051 26,828,821 68,468,924 4,197,874
========== ========== ========== ==========
Represented by:
Capital Shares, $1 par value
outstanding 448,419 2,555,425 6,539,844 4,197,874
Capital paid in excess of par value 5,174,285 25,736,526 64,837,555 -
Net unrealized appreciation
(depreciation) 1,314,093 (114,366) 58,839 -
Accumulated undistributed net
realized gain (loss) 342,629 (1,342,086) (2,967,363) -
Accumulated undistributed net
investment income (8,375) (6,678) 49 -
---------- ---------- ---------- ----------
NET ASSETS $7,271,051 26,828,821 68,468,924 4,197,874
========== ========== ========== ==========
Shares outstanding (unlimited
number of shares authorized) 448,419 2,555,425 6,539,844 4,197,874
========== ========== ========== ==========
Net assets per share $16.21 10.50 10.47 1.00
========== ========== ========== ==========
</TABLE>
See accompanying notes to financial statements.
6
<PAGE> 7
FINANCIAL HORIZONS INVESTMENT TRUST
Statements of Operations
Six months ended April 30, 1995 (Unaudited)
<TABLE>
<CAPTION>
MUNICIPAL GOVERNMENT CASH
GROWTH BOND BOND RESERVE
FUND FUND FUND FUND
- - ------------------------------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C>
INVESTMENT INCOME:
Income:
Dividends $ 36,394 - - -
Interest 11,879 826,132 2,566,855 121,923
--------- ------- --------- -------
48,273 826,132 2,566,855 121,923
--------- ------- --------- -------
Expenses (note 2):
Distribution fees 25,270 97,611 253,647 -
Investment management fees 21,901 85,062 221,004 8,255
Transfer agent fees 6,034 8,648 26,389 559
Professional services 1,126 4,291 11,722 670
Share registrations 1,986 2,344 4,506 1,548
Shareholders' reports 1,548 2,110 8,031 74
Custodian fees 3,512 7,249 8,579 3,189
Trustees' fees and expenses 523 1,831 4,952 283
Other 169 919 2,454 111
--------- ------- --------- -------
Total expenses before waived expenses 62,069 210,065 541,284 14,689
Less expenses waived 8,423 32,179 213,716 -
--------- ------- --------- -------
Total net expenses 53,646 177,886 327,568 14,689
--------- ------- --------- -------
Net investment income (loss) (5,373) 648,246 2,239,287 107,234
--------- ------- --------- -------
NET REALIZED AND UNREALIZED GAIN
(LOSS) ON INVESTMENTS:
Net realized gain (loss) on investments
(note 3) 342,629 (951,383) (417,940) -
Net change in unrealized appreciation
or depreciation 228,622 2,556,220 2,727,709 -
--------- --------- --------- -------
Net realized and unrealized
gain on investments 571,251 1,604,837 2,309,769 -
Net increase in net assets --------- --------- --------- -------
resulting from operations $565,878 2,253,083 4,549,056 107,234
========= ========= ========= =======
</TABLE>
See accompanying notes to financial statements.
7
<PAGE> 8
FINANCIAL HORIZONS INVESTMENT TRUST
Statements of Changes in Net Assets
<TABLE>
<CAPTION>
GROWTH MUNICIPAL BOND
FUND FUND
Six months ended Year ended Six months ended Year ended
April 30, October 31, April 30, October 31,
1995 1994 1995 1994
(Unaudited) (Unaudited)
- - ----------------------------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C>
Increase (decrease) in net assets:
Operations:
Net investment income (loss) $ (5,373) 12,740 648,246 1,286,380
Net realized gain (loss) on investments 342,629 112,756 (951,383) (390,703)
Net change in unrealized appreciation
or depreciation of investments 228,622 305,197 2,556,220 (4,008,495)
Net increase (decrease) in net assets -------- -------- --------- -----------
resulting from operations 565,878 430,693 2,253,083 (3,112,818)
-------- -------- --------- -----------
Dividends to shareholders from:
Net investment income (2,503) (12,740) (648,241) (1,280,971)
In excess of net investment income (3,002) (2,078) - -
Net realized gain from investment
transactions (65,310) - - (636,382)
Decrease in net assets from -------- -------- --------- -----------
dividends to shareholders (70,815) (14,818) (648,241) (1,917,353)
-------- -------- --------- -----------
Capital share transactions:
Net proceeds from sale of shares 305,318 1,664,390 317,019 7,416,729
Net asset value of shares issued to
shareholders from reinvestment of
dividends and distributions 69,603 14,530 456,950 1,268,408
Cost of shares redeemed (386,333) (471,909) (1,962,427) (3,070,429)
--------- --------- ---------- -----------
Increase (decrease) in net assets derived
from capital share transactions (11,412) 1,207,011 (1,188,458) 5,614,708
-------- --------- ---------- ----------
NET INCREASE (DECREASE) IN NET ASSETS 483,651 1,622,886 416,384 (584,537)
NET ASSETS - BEGINNING OF YEAR 6,787,400 5,164,514 26,412,437 25,827,900
--------- --------- ---------- ----------
NET ASSETS - END OF YEAR $ 7,271,051 6,787,400 26,828,821 26,412,437
============ ========= ========== ==========
Undistributed net realized gain (loss) on
investments included in net assets
at end of period (note 1) $ 342,629 65,310 (1,342,086) (390,703)
========= ========= ========== =========
Undistributed net investment income
(distributions in excess of net investment
income) included in net assets at end
of period (note 1) $ (8,375) 2,503 (6,678) (6,683)
========= ========= ========= =========
Shares sold 20,376 116,704 31,096 660,497
Shares issued to shareholders from reinvest-
ment of dividends and distributions 4,761 1,038 45,406 115,125
Shares redeemed (25,832) (33,208) (200,042) (294,362)
--------- --------- ---------- ----------
Net increase (decrease) in number
of shares (695) 84,534 (123,540) 481,260
========= ========= ========= =========
</TABLE>
See accompanying notes to financial statements.
8
<PAGE> 9
<TABLE>
FINANCIAL HORIZONS INVESTMENT TRUST
Statements of Changes in Net Assets
<CAPTION>
GOVERNMENT BOND CASH RESERVE
FUND FUND
Six months ended Year ended Six months ended Year ended
April 30, October 31, April 30, October 31,
1995 1994 1995 1994
(Unaudited) (Unaudited)
- - ------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C>
Increase (decrease) in net assets:
Operations:
Net investment income $ 2,239,287 4,233,446 107,234 105,988
Net realized gain (loss) on investments (417,940) (2,549,423) - 36
Net change in unrealized appreciation
or depreciation of investments 2,727,709 (5,537,920) - -
----------- ----------- ----------- -----------
Net increase (decrease) in net assets
resulting from operations 4,549,056 (3,853,897) 107,234 106,024
----------- ----------- ----------- -----------
Dividends to shareholders from:
Net investment income (2,269,494) (4,215,913) (107,191) (105,988)
In excess of net investment income - - - (43)
Net realized gain from investment
transactions - (675,985) (35) -
----------- ----------- ----------- -----------
Decrease in net assets from
dividends to shareholders (2,269,494) (4,891,898) (107,226) (106,031)
----------- ----------- ----------- -----------
Capital share transactions:
Net proceeds from sale of shares 543,416 3,986,976 700,205 1,829,645
Net asset value of shares issued to
shareholders from reinvestment of
dividends and distributions 1,382,708 2,648,228 110,778 84,108
Cost of shares redeemed (5,945,897) 12,273,612) (563,020) (751,467)
----------- ----------- ----------- -----------
Increase in net assets derived from
capital share transactions (4,028,773) (5,638,408) 247,963 1,162,286
----------- ----------- ----------- -----------
NET INCREASE (DECREASE)IN NET ASSETS (1,749,211) (14,384,203) 247,971 1,162,279
NET ASSETS - BEGINNING OF YEAR 70,218,135 84,602,338 3,949,903 2,787,624
----------- ----------- ----------- -----------
NET ASSETS - END OF YEAR $ 68,468,924 70,218,135 4,197,874 3,949,903
=========== =========== =========== ===========
Undistributed net realized gain (loss) on
investments included in net assets
at end of period (note 1) $ (2,967,363) (2,549,423) - 35
=========== =========== =========== ===========
Undistributed net investment income
(distributions in excess of net investment
income) included in net assets at end
of period (note 1) $ 49 30,256 - (43)
=========== =========== =========== ===========
Shares sold 52,621 362,791 700,205 1,829,645
Shares issued to shareholders from reinvest-
ment of dividends and distributions 135,056 246,966 110,778 84,108
Shares redeemed (585,988) (1,155,210) (563,020) (751,467)
----------- ----------- ----------- -----------
Net increase (decrease) in number
of shares (398,261) (545,453) 247,963 1,162,286
=========== =========== =========== ===========
<FN>
See accompanying notes to financial statements.
</TABLE>
9
<PAGE> 10
<TABLE>
FINANCIAL HORIZONS INVESTMENT TRUST
Growth Fund
Statement of Investments April 30, 1995 (Unaudited)
<CAPTION>
COMMON STOCKS (93.1%) SHARES VALUE (NOTE 1)
- - --------------------- ------ --------------
<S> <C> <C>
AIRLINES (1.5%)
- - ---------------
Skywest Inc. 6,000 $ 106,500
-----------
BUSINESS SERVICE (5.9%)
- - -----------------------
American Business Information* 7,000 168,000
Healthcare Services Group Inc.* 6,000 72,750
Olsten Corp. (The) 3,400 116,025
TRO Learning, Inc.* 10,000 70,000
-----------
426,775
-----------
CHEMICALS (1.9%)
- - ----------------
Loctite Corp. 1,000 49,750
Sigma-Aldrich Corporation 2,000 88,500
-----------
138,250
-----------
COMPUTER EQUIPMENT (1.6%)
- - -------------------------
American Power Conversion Corp. 7,000 119,000
-----------
COMPUTER SERVICES AND SOFTWARE (4.3%)
- - -------------------------------------
Automatic Data Processing, Inc. 1,000 64,250
CFI Proservices, Inc.* 10,000 106,250
SPSS, Inc.* 10,000 139,375
-----------
309,875
-----------
CONSUMER PRODUCTS (1.6%)
- - ------------------------
Newell Co. 4,000 94,500
Perrigo Company* 2,000 22,250
-----------
116,750
-----------
CONTRACT MANUFACTURING (2.9%)
- - -----------------------------
Dovatron International, Inc.* 4,000 88,000
Electronic Fab Tech Corporation* 10,000 52,500
Triple S Plastics, Inc.* 9,000 69,750
-----------
210,250
-----------
DENTAL (4.7%)
- - -------------
Dentsply International Inc. 2,000 70,500
National Dentex Corp. 20,000 270,000
-----------
340,500
-----------
DISTRIBUTION (1.5%)
- - -------------------
Bergen Brunswig Corp., Class A 4,725 112,219
-----------
DRUGS (3.6%)
- - ------------
Allergan Inc. 4,000 108,500
Schering-Plough Corporation 2,000 150,750
-----------
259,250
-----------
EDUCATION (1.8%)
- - ----------------
DeVry Incorporated 3,500 133,875
-----------
ELECTRONICS (6.3%)
- - ------------------
Intel Corp. 3,000 307,125
Woodhead Industries, Inc. 7,400 150,775
-----------
457,900
-----------
ENGINEERING & CONSTRUCTION (1.4%)
- - ---------------------------------
Fluor Corporation 2,000 103,000
-----------
FINANCIAL SERVICES (12.6%)
- - --------------------------
Bear Stearns Companies, Inc. 3,307 68,207
Gainsco, Inc. 17,363 184,482
Mercury Finance Company* 4,000 60,500
Merrill Lynch & Co., Inc. 5,000 227,500
Morgan Stanley Group, Inc. 1,000 69,500
Price, T Rowe & Assoc., Inc. 3,000 110,250
Silicon Valley Bancshares* 8,400 130,200
Standard Financial, Inc.* 5,000 61,875
-----------
912,514
-----------
FOOD & BEVERAGES (1.0%)
- - -----------------------
Grand Metropolitan ADR 1,500 38,812
Grand Metropolitan Plc 5,800 37,289
-----------
76,101
-----------
FOOD-GRAIN & AGRICULTURE (3.2%)
- - -------------------------------
Archer Daniels Midland Co. 12,750 232,688
-----------
HEALTHCARE SERVICES (4.0%)
- - -------------------------
Columbia /HCA Healthcare Corp. 4,000 168,000
United American HealthCare Corp.* 7,500 126,563
-----------
294,563
-----------
<CAPTION>
SHARES VALUE (NOTE 1)
------ --------------
<S> <C> <C>
MACHINERY & CAPITAL GOODS (5.9%)
- - --------------------------------
Duriron Company, Inc. 3,000 $ 65,063
Emerson Electric Company 1,000 67,250
Kaman Corporation 9,200 113,850
Zebra Technologies Corporation* 4,000 183,500
-----------
429,663
-----------
MANUFACTURED HOUSING (0.9%)
- - ---------------------------
Clayton Homes Inc. 3,750 63,281
-----------
MEDICAL PRODUCTS (1.2%)
- - -----------------------
Biomet, Inc.* 5,000 87,500
-----------
OIL & GAS (2.8%)
- - ----------------
Amoco Corporation 1,300 85,312
Royal Dutch Petroleum Company 500 62,000
Texaco, Inc. 800 54,700
-----------
202,012
-----------
POLLUTION CONTROL (0.9%)
- - ------------------------
WMX Technologies, Inc. 2,500 68,125
-----------
PRINTING & PUBLISHING (5.7%)
- - ----------------------------
Merrill Corporation 6,000 97,500
New England Business Services, Inc. 6,000 108,000
Reader's Digest Assoc., Inc., Class B 2,800 105,700
Wallace Computer Services, Inc. 3,000 100,125
-----------
411,325
-----------
RESTAURANTS (3.5%)
- - ------------------
Bob Evans Farms Inc. 5,000 102,500
Wendy's International, Inc. 8,800 149,600
-----------
252,100
-----------
RETAIL (4.0%)
- - -------------
Advance Ross Corp.* 5,000 111,250
Cash America International, Inc. 6,000 45,750
Smart & Final Inc. 5,000 84,375
Toys "R" Us, Inc.* 2,000 50,500
-----------
291,875
-----------
TELECOMMUNICATIONS (7.4%)
- - -------------------------
AT & T Corporation 2,200 111,650
Hong Kong Telecom Ltd. ADR 4,200 81,900
MCI Communications Corporation 9,800 213,150
Sprint Corporation 4,000 132,000
-----------
538,700
-----------
TIRE & RUBBER (1.0%)
- - --------------------
Cooper Tire & Rubber Company 3,000 73,500
-----------
Total common stocks 6,768,090
-----------
(cost $5,453,997)
U.S. GOVERNMENT OBLIGATIONS (4.9%)
- - ----------------------------------
U.S. TREASURY BILLS PRINCIPAL
------------------- ---------
5.71% through 5.44%, due 06/08/95
through 08/17/95
(cost $360,355) $365,000 360,355
-----------
REPURCHASE AGREEMENT (1.4%)
- - ---------------------------
Merrill Lynch & Co., Inc.,
5.65% due 05/01/95, Collateralized by
$290,202 FHLMC #309710, 10.50% due
11/01/18, value $102,070
(cost $100,000) 100,000 100,000
-----------
Total investments
(cost $5,914,352) $7,228,445
-----------
<FN>
* Denotes a non-income producing security.
Cost also represents cost for Federal income tax purposes.
Portfolio holding percentages represent market value as a percent of net assets.
See accompanying notes to financial statements.
</TABLE>
10
<PAGE> 11
<TABLE>
FINANCIAL HORIZONS INVESTMENT TRUST
Municipal Bond Fund
Statement of Investments April 30, 1995 (Unaudited)
<CAPTION>
LONG-TERM MUNICIPAL SECURITIES - (99.1%)
- - ----------------------------------------
PRINCIPAL VALUE (NOTE1)
--------- -------------
<S> <C> <C>
ALABAMA (4.1%)
- - --------------
Birmingham, Alabama General
Obligation Refunding Bonds,
Series 1992-B,
6.25%, 2016 $ 1,100,000 1,102,166
-----------
ARIZONA (3.3%)
- - --------------
Salt River Project, Arizona Agricultural
Improvement & Power District Electric
System Revenue Refunding Bonds,
Series 1993-C,
5.00%, 2013 1,000,000 891,869
-----------
FLORIDA (6.9%)
- - --------------
Florida State Board of Education Public
Education Capital Outlay Bonds,
Series 1992-D,
5.20%, 2014 1,000,000 919,321
Orlando Utilities Commission Water and
Electric Subordinated Revenue
Refunding Bonds, Series 1993-A,
5.25%, 2014 1,000,000 924,300
-----------
1,843,621
-----------
GEORGIA (8.1%)
- - --------------
Georgia State General Obligation Bonds,
Series 1993-F, 6.50%, 2005 1,000,000 1,098,802
Gwinnett County School District, Georgia
Obligation Refunding School Bonds,
Series 1993-A, 6.35%, 2005 1,000,000 1,071,224
-----------
2,170,026
-----------
MASSACHUSETTS (7.7%)
- - --------------------
Massachusetts State Housing Finance
Agency Residential Development
Revenue FNMA, Series 1992-B
6.80%, 2012 1,000,000 1,032,500
Massachusetts State General Obligation
Bonds Consolidated Loan of 1992,
Series-B, 6.50%, 2013 1,000,000 1,029,635
-----------
2,062,135
-----------
NEW JERSEY (4.8%)
- - -----------------
New Jersey Turnpike Authority Turnpike
Revenue Bonds, Series 1991-C,
6.50%, 2016 1,225,000 1,290,896
-----------
NEW YORK (8.5%)
- - ---------------
New York City General Obligation
Bonds, Fiscal 1994 Series-D,
5.75%, 2013 1,000,000 896,673
New York Local Government Assistance
Corporation, Series 1993-E,
Refunding Bonds,
6.00%, 2014 1,400,000 1,385,877
-----------
2,282,550
-----------
NORTH CAROLINA (4.6%)
- - ---------------------
North Carolina Eastern Municipal Power
Agency Power System Revenue
Refunding, Series 1993-B,
6.25%, 2012 1,250,000 1,227,046
-----------
OHIO (4.1%)
- - -----------
Columbus, Ohio General Obligation Various
Purpose Limited Tax Bonds, Series 1994-1,
6.00%, 2010 1,095,000 1,101,986
-----------
<CAPTION>
PRINCIPAL VALUE (NOTE1)
--------- -------------
<S> <C> <C>
OKLAHOMA (4.4%)
- - ---------------
Tulsa, Oklahoma General Obligation
Bonds, Series 1995, 6.50%, 2015 $ 1,140,000 1,175,561
----------
PENNSYLVANIA (8.7%)
- - -------------------
Pennsylvania Housing Finance Agency
Rental Housing Refunding Bonds,
Issue 1992, 6.40%, 2012 1,250,000 1,275,915
Pennsylvania State General Obligation
Bonds (Refunding and Projects),
First Series 1991-A
6.75%, 2011 1,000,000 1,060,601
----------
2,336,516
----------
SOUTH CAROLINA (3.7%)
- - ---------------------
South Carolina State Housing Finance &
Development Authority Homeownership
Mortgage Purchase Bonds,
1994 Series-A, 6.375%, 2016 1,000,000 1,010,000
----------
TEXAS (17.0%)
- - -------------
Harris County, Texas Tax and Revenue
Certificates of Obligation, Series 1994,
6.10%, 2013 1,000,000 995,564
Houston, Texas Water and Sewer System
Junior Lien Revenue Refunding Bonds,
Series 1991-C, 6.375%, 2017 1,160,000 1,182,949
University of Texas System Revenue
Financing System Refunding Bonds,
Series 6.75%, 2013 1,250,000 1,328,038
Weatherford Independent School District
Unlimited Tax School Building and
Refunding Bonds, Series 1994,
6.50%, 2015 1,000,000 1,046,323
----------
4,552,874
----------
UTAH (3.7%)
- - -----------
Utah Housing Finance Agency, Multi-
Family Housing Revenue Refunding Bonds,
(Cottonwood Apartment Project),
Issue 1995, 6.50%, 2015 1,000,000 993,750
----------
VIRGINIA (9.5%)
- - ---------------
Richmond, Virginia General Obligation
Public Improvement Refunding Bonds,
Series 1991-B, 6.25%, 2018 1,000,000 1,006,562
Virginia Housing Development Authority
Commonwealth Mortgage Bonds, Series
1992-C, Subseries C-7, 6.30%, 2015 900,000 894,883
Virginia Housing Development Authority
Multi-family Housing Bonds,
Series 1991-F, 7.10%, 2013 140,000 144,825
Virginia Housing Development Authority
Commonwealth Mortgage Bonds,
Series 1990-B, Subseries B-4,
6.85%, 2017 500,000 509,318
----------
2,555,588
----------
Total long-term municipal securities
(cost $26,710,952) $26,596,586
==========
<FN>
Cost also represents cost for Federal income tax purposes.
Portfolio holding percentages represents market value as a percentage of net
assets.
See accompanying notes to financial statements.
</TABLE>
11
<PAGE> 12
<TABLE>
FINANCIAL HORIZONS INVESTMENT TRUST
Government Bond Fund
Statement of Investments April 30, 1995 (Unaudited)
<CAPTION>
MORTGAGE BACKED SECURITIES (36.2%)
- - ----------------------------------
PRINCIPAL VALUE (NOTE 1)
--------- --------------
<S> <C> <C>
FHLMC (REMIC) Series 1313-G,
7.25%, 2007 $ 2,000,000 1,947,258
FHLMC (REMIC) Series 1344-D,
6.00%, 2007 3,000,000 2,625,597
FHLMC (REMIC) Series 31-E,
7.55%, 2020 1,289,219 1,233,265
FHLMC (REMIC) Series 190-D,
9.20%, 2021 900,000 941,804
FHLMC (REMIC) Series 193-D,
9.00%, 2021 1,543,121 1,578,256
FHLMC (REMIC) Series 1143-Z,
7.50%, 2021 2,539,769 2,345,144
FNMA (REMIC) Series 1989-86,
8.75%, 2019 611,267 632,074
FNMA (REMIC) Series 1990-16D,
9.00%, 2020 4,000,000 4,176,996
FNMA (REMIC) Series 1990-7B,
8.50%, 2020 2,000,000 2,052,578
FNMA (REMIC) Series 1991-68E,
8.350%, 2003 1,000,000 1,016,579
FNMA (REMIC) Series 1991-73A,
8.00%, 2021 1,200,000 1,205,507
FNMA (REMIC) Series 1992-126VB,
8.00%, 2002 4,000,000 4,082,716
FNMA (REMIC) Series 1993-203PJ,
6.50%, 2023 1,000,000 921,369
----------
Total mortgage backed securities
(cost $24,812,121) 24,759,143
----------
U.S. GOVERNMENT AND AGENCY LONG-TERM
- - ------------------------------------
OBLIGATIONS (44.4%)
- - -------------------
Federal Home Loan Bank,
6.36%, 2001 8,560,000 8,234,763
Resolution Funding Strips,
0.00%, 2008 3,000,000 1,144,707
Resolution Funding Strips,
0.00%, 2013 10,000,000 2,488,690
U.S. Treasury Bonds,
11.75%, 2001 6,000,000 7,376,250
11.25%, 2015 8,000,000 11,150,000
----------
Total U.S. Government and
agency long-term obligations
(cost $ 30,282,593) 30,394,410
----------
REPURCHASE AGREEMENT (19.2%)
- - ----------------------------
Merrill Lynch & Co., Inc.,
5.85% due 5/1/95, Collateralized by
$9,505,000 U.S. Treasury Bond,
11.25%, due 2/15/15
market value - $13,460,275
(cost $13,170,000) 13,170,000
----------
Total investments
(cost $ 68,264,714) $68,323,553
----------
<FN>
Cost also represents cost for Federal income tax purposes.
Portfolio holding percentages represent market value as a percentage
of net assets.
See accompanying notes to financial statements
FINANCIAL HORIZONS INVESTMENT TRUST
Cash Reserve Fund
Statement of Investments April 30, 1995 (Unaudited)
<CAPTION>
PRINCIPAL VALUE (NOTE 1)
--------- --------------
<S> <C> <C>
CANADIAN GOVERNMENT OBLIGATIONS (6.3%)
- - --------------------------------------
British Columbia (Province of)
5.95%, due 06/26/95 $ 115,000 113,936
Canadian Wheat Board
6.08%, due 05/03/95 152,000 151,948
-----------
Total Canadian government obligations
(cost $265,884) 265,884
-----------
COMMERCIAL PAPER (89.8%)
- - ------------------------
AUTO/FINANCE (3.1%)
- - -------------------
Ford Motor Credit Co.
6.02%, due 05/18/95 130,000 129,630
-----------
BANKS (7.3%)
- - ------------
Morgan (J.P.) & Company, Inc.
6.07%, due 06/29/95 150,000 148,508
National City Credit Corp.
6.07%, due 06/05/95 160,000 159,056
-----------
307,564
-----------
BROKER/DEALERS (16.4%)
- - -------------------------------------------
Bear Stearns Companies, Inc.
6.05%, due 05/08/95 160,000 159,812
Dean Witter Discover & Co.
6.00%, due 05/15/95 130,000 129,697
Goldman Sachs Group
6.02%, due 05/05/95 160,000 159,893
Merrill Lynch & Co., Inc.
5.99%, due 06/12/95 140,000 139,021
Smith Barney, Inc.
6.01%, due 06/19/95 100,000 99,182
-----------
687,605
-----------
CONSUMER/SALES FINANCE (8.7%)
- - -------------------------------------------
American Express Credit Corp.
6.00%, due 05/16/95 125,000 124,687
Associates Corp. of North America
5.98%, due 05/01/95 132,000 132,000
Beneficial Corp.
6.00%, due 05/23/95 110,000 109,597
-----------
366,284
-----------
CORPORATE CREDIT UNIONS (3.2%)
- - ------------------------------
U.S. Central Credit Union
6.04%, due 06/15/95 135,000 133,981
-----------
DIVERSIFIED FINANCE (6.7%)
- - --------------------------
General Electric Capital Corp.
6.01%, due 09/25/95 157,000 153,147
Transamerica Finance Group Inc.
6.06%, due 05/03/95 127,000 126,958
-----------
280,105
-----------
DRUGS AND COSMETICS (2.7%)
- - -------------------------------------------
Abbott Laboratories
6.00%, due 10/19/95 118,000 114,637
-----------
FINANCIAL SERVICE/UTILITY (2.9%)
- - --------------------------------
National Rural Utilities Cooperative
Finance Corp. 6.00%, due 05/15/95 120,000 119,720
-----------
FOODS AND BEVERAGES (3.3%)
- - --------------------------
Campbell Soup Co.
6.02%, due 06/27/95 138,000 136,685
-----------
INSURANCE (6.8%)
- - ----------------
AIG Funding, Inc.
6.00%, due 05/22/95 170,000 169,405
American General Corp.
5.99%, due 05/26/95 115,000 114,521
-----------
283,926
-----------
LEASE FINANCING (4.0%)
- - -----------------------------------------------------
PHH Corporation
5.98%, due 05/19/95 170,000 169,492
-----------
OFFICE EQUIPMENT AND SUPPLY (3.8%)
- - --------------------------------------------
Pitney Bowes Credit Corp.
6.00%, due 06/02/95 160,000 159,147
-----------
OIL & GAS (3.9%)
- - ----------------
Chevron Oil Finance Co.
5.97%, due 05/15/95 165,000 164,617
-----------
PACKAGING & CONTAINER (3.2%)
- - ----------------------------
Bemis Co., Inc.
5.98%, due 05/15/95 134,000 133,688
-----------
PHARMACEUTICALS/HEALTH CARE (3.2%)
- - ----------------------------------
Ciba-Geigy Corp.
6.05%, due 05/10/95 136,000 135,794
-----------
PREMIUM FINANCE (3.0%)
- - ----------------------
A1 Credit Corp.
6.02%, due 05/23/95 125,000 124,540
-----------
RETAIL TRADE (3.8%)
- - -------------------
Wal-Mart Stores Inc.
5.97%, due 06/05/95 162,000 161,060
-----------
TELECOMMUNICATIONS (3.8%)
- - -------------------------
AT&T Co.
6.02%, due 07/25/95 162,000 159,697
-----------
Total Commercial Paper
(cost $3,768,172) 3,768,172
-----------
U.S. GOVERNMENT OBLIGATIONS (4.0%)
- - ----------------------------------
U.S. Treasury Bills
6.175%, due 06/15/95
(cost $168,688) 170,000 168,688
-----------
Total Investments
(cost $4,202,744) $4,202,744
-----------
</TABLE>
12
<PAGE> 13
<TABLE>
FINANCIAL HORIZONS INVESTMENT TRUST
Financial Highlights
Selected data for each share of capital stock outstanding throughout each period.
<CAPTION>
Six months Six months
ended ended
April 30, Year ended April 30, Year ended
1995 October 31, GROWTH FUND 1995 October 31, MUNICIPAL BOND FUND
(Unaudited) 1994 1993 1992 1991 1990 (Unaudited) 1994 1993 1992 1991 1990
- - -----------------------------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C> <C> <C> <C> <C> <C> <C> <C>
NET ASSET VALUE,
BEGINNING OF PERIOD $ 15.11 14.17 12.46 11.99 8.65 10.48 9.86 11.75 10.64 10.61 10.00 10.19
Net investment income (.01) .03 .08 .22 .17 .32 .25 .49 .56 .61 .65 .68
Net realized gain (loss) and
unrealized appreciation
(depreciation) 1.27 .95 1.73 .43 3.72 (1.90) .64 (1.62) 1.22 .07 .61 (.15)
----- ----- ----- ----- ----- ----- ----- ----- ----- ----- ----- -----
Total from Investment
Operations 1.26 .98 1.81 .65 3.89 (1.58) .89 (1.13) 1.78 .68 1.26 .53
----- ----- ----- ----- ----- ----- ----- ----- ----- ----- ----- -----
Dividends from net
investment income (.01) (.04) (.10) (.18) (.30) (.25) (.25) (.49) (.56) (.61) (.65) (.68)
Distributions from net
realized gain from
investment transactions (.15) - - - (.25) - - (.27) (.11) (.04) - (.04)
----- ----- ----- ----- ----- ----- ----- ----- ----- ----- ----- -----
Total Distributions (.16) (.04) (.10) (.18) (.55) (.25) (.25) (.76) (.67) (.65) (.65) (.72)
----- ----- ----- ----- ----- ----- ----- ----- ----- ----- ----- -----
Net increase (decrease) in
net asset value 1.10 .94 1.71 .47 3.34 (1.83) .64 (1.89) 1.11 .03 .61 (.19)
NET ASSET VALUE-
END OF PERIOD $ 16.21 15.11 14.17 12.46 11.99 8.65 10.50 9.86 11.75 10.64 10.61 10.00
===== ===== ===== ===== ===== ===== ===== ===== ===== ===== ===== =====
Total Return 8.45% 6.92% 14.59% 5.42% 46.67% (15.49%) 9.14% (10.11%) 17.18% 6.56% 13.01% 4.83%
Net Assets, End of Period (000) $ 7,271 6,787 5,165 3,095 1,175 526 26,829 26,412 25,828 14,641 5,632 1,709
Ratio of expense to
average net assets* 1.59% 1.59% 1.44% 1.27% 1.20% 1.42% 1.37% 1.27% 1.01% .65% .30% .69%
Ratio of net investment income
to average net assets * (.16%) .21% 0.63% 1.45% 2.01% 3.49% 4.98% 4.58% 4.81% 5.65% 6.28% 6.63%
Ratio of expense to
average net assets ** 1.84% 1.90% 2.03% 2.02% 1.95% 2.17% 1.61% 1.57% 1.61% 1.62% 1.69% 2.10%
Ratio of net investment income
to average net assets ** (.41%) (.82%) 0.05% 0.70% 1.26% 2.73% 4.73% 4.28% 4.11% 4.68% 4.85% 5.25%
Portfolio turnover 20.53% 14.14% 12.98% 12.14% 5.68% 47.53% 37.11% 69.67% 46.95% 57.98% 45.12% 16.07%
<CAPTION>
Six months Six Months
ended ended
April 30, Year ended April 30, Year ended
1995 October 31, GOVERNMENT BOND FUND 1995 October 31, CASH RESERVE FUND
(Unaudited) 1994 1993 1992 1991 1990 (Unaudited) 1994 1993 1992 1991 1990
- - ----------------------------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C> <C> <C> <C> <C> <C> <C> <C>
NET ASSET VALUE-
BEGINNING OF PERIOD $ 10.12 11.31 11.00 10.81 10.13 10.41 1.00 1.00 1.00 1.00 1.00 1.00
Net investment income .34 .58 .63 .89 .90 .96 .03 .03 .02 .03 .05 .07
Net realized gain (loss) and
unrealized appreciation
(depreciation) .35 (1.10) .50 .25 .68 (.28) - - - - - -
----- ----- ----- ----- ----- ----- ----- ----- ----- ----- ----- -----
Total from Investment
Operations .69 (.52) 1.13 1.14 1.58 .68 .03 .03 .02 .03 .05 .07
----- ----- ----- ----- ----- ----- ----- ----- ----- ----- ----- -----
Dividends from net
investment income (.34) (.58) (.66) (.89) (.89) (.96) (.03) (.03) (.02) (.03) (.05) (.07)
Distributions from net
realized gain from
investment transactions - (.09) (.16) (.06) (.01) - - - - - - -
----- ----- ----- ----- ----- ----- ----- ----- ----- ----- ----- -----
Total Distributions (.34) (.67) (.82) (.95) (.90) (.96) (.03) (.03) (.02) (.03) (.05) (.07)
----- ----- ----- ----- ----- ----- ----- ----- ----- ----- ----- -----
Net increase (decrease) in
net asset value .35 (1.19) .31 .19 .68 (.28) - - - - - -
NET ASSET VALUE-
END OF PERIOD $ 10.47 10.12 11.31 11.00 10.81 10.13 1.00 1.00 1.00 1.00 1.00 1.00
===== ===== ===== ===== ===== ===== ===== ===== ===== ===== ===== =====
Total Return 6.94% (4.75%) 10.76% 10.93% 16.25% 6.92% 2.60% 3.08% 2.05% 3.07% 5.27% 6.88%
Net Assets, End of Period (000) $68,469 70,218 84,602 64,249 25,873 3,150 4,198 3,950 2,788 2,538 2,416 2,413
Ratio of expense to
average net assets * .97% 1.28% 1.00% .65% - - .71% .84% 1.17% 1.06% 1.06% 1.46%
Ratio of net investment income
to average net assets * 6.62% 5.42% 5.55% 8.18% 8.22% 9.32% 5.20% 3.14% 2.04% 3.02% 5.10% 6.64%
Ratio of expense to
average net assets ** 1.60% 1.58% 1.61% 1.66% 1.73% 1.98% .71% 1.06% 2.20% 1.82% 1.81% 2.21%
Ratio of net investment income
to average net assets ** 5.99% 5.12% 4.93% 7.17% 6.49% 7.37% 5.20% 2.92% .79% 2.28% 4.34% 5.87%
Portfolio turnover 59.64% 174.40% 143.63% 87.67% 95.32% 51.04% - - - - - -
<FN>
See accompanying notes to financial statements.
* Ratios are annualized for periods of less than one year.
** Ratios calculated as if no expenses were waived. Total return is not annualized.
</TABLE>
13
<PAGE> 14
FINANCIAL HORIZONS INVESTMENT TRUST
Notes to Financial Statements
April 30, 1995 (Unaudited)
1. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
Financial Horizons Investment Trust (Trust), is a diversified, open-end
investment company organized under the laws of Massachusetts by a
Declaration of Trust dated May 9, 1988. The Trust offers shares in four
separate mutual funds which are registered under the Investment Company Act
of 1940, as amended. On December 19, 1988, the Trust was capitalized
through the sale of capital stock to Nationwide Life Insurance Company in
the amounts of $500,000 in the Growth Fund, $1,000,000 in the Municipal
Bond Fund, $1,000,000 in the Government Bond Fund, and $2,000,000 in the
Cash Reserve Fund, which including the earnings thereon, are still invested
in the respective funds.
(a) SECURITY VALUATION
(1) Growth Fund, Municipal Bond Fund and Government Bond Fund:
Securities traded on a national securities exchange are valued at
closing prices. Listed securities for which no sale was reported on
the valuation date are valued at quoted bid prices. Short-term
notes and bank certificates of deposit are valued at amortized
cost, which approximates market.
(2) Cash Reserve Fund: Securities are valued at amortized cost, which
approximates market value, in accordance with Rule 2a-7 of the
Investment Company Act of 1940, as amended.
(b) SECURITY TRANSACTIONS AND INVESTMENT INCOME
Security transactions are recorded on the trade date. Dividend
income is recorded on the ex-dividend date; interest income, including
amortization of premium and discount where applicable, is
recorded on an accrual basis.
(c) FEDERAL INCOME TAXES
The Trust's policy is to comply with the requirements of the Internal
Revenue Code that are applicable to regulated investment companies and
to distribute all its taxable income to shareholders.
(d) DIVIDENDS TO SHAREHOLDERS
(1) Growth Fund:
Dividends are recorded on the ex-dividend date.
(2) Municipal Bond Fund and Government
Bond Fund:
Dividends are declared daily and paid monthly
from net investment income. Distributions from
net realized gains, if any, are paid annually.
(3) Cash Reserve Fund:
Dividends are declared daily and paid monthly
from the sum of net investment income and
net realized short-term gain or loss.
Dividends and distributions are determined in accordance with
Federal income tax regulations which may differ from generally accepted
accounting principles.
These "book/tax" differences are considered either permanent or
temporary in nature. To the extent these differences are permanent,
such amounts are reclassified within the capital accounts based on
their nature for Federal income tax purposes. Dividends and
distributions that exceed net investment income and net realized gains
for financial reporting purposes but not for tax purposes are reported
as dividends in excess of net investment income and net realized gains.
To the extent distributions exceed current and accumulated earnings and
profits, they are reported as distributions of paid-in capital.
2. TRANSACTIONS WITH AFFILIATES
As investment manager for the Funds, Nationwide Financial Services, Inc.
(NFS), an affiliated company, is allowed an annual fee of .65% based on the
average daily net assets of the Growth Fund, Municipal Bond Fund and
Government Bond Fund and .40% of the average daily net assets of the Cash
Reserve Fund. Total annual expenses of each Fund will not exceed the limits
prescribed by any state in which the Fund's shares are offered for sale.
Such limitation did not affect management fees charged during the periods
covered by the financial statements.
NFS also receives fees for distribution pursuant to a Rule 12b-1
Distribution Plan approved by the Board of Trustees. These fees are based
on average daily net assets of the Funds at an annual rate of .75%. During
the six-months ended April 30, 1995, NFS waived distribution fees for the
Growth, Municipal Bond, and Government Bond Funds of $8,423, $32,179, and
$213,716 respectively, representing $.019, $.012, and $.032 per average
share outstanding.
NFS also receives fees as principal underwriter from contingent deferred
sales charges ranging from 5% to 1%, imposed on redemptions which cause the
current value of an account to fall below the total purchase payments made
during the past six years. During the six-months ended April 30, 1995, fees
aggregated $11,059, $44,213, $41,702, and $5,055 on the Growth, Municipal
Bond, Government Bond, and Cash Reserve Funds, respectively.
A subsidiary of NFS (Nationwide Investors Services, Inc.) acts as transfer
and dividend disbursing agent for the Funds.
3. INVESTMENT TRANSACTIONS
Purchases and sales of investment securities (excluding short-term
securities) and, purchases and sales of U.S. Government Obligations for the
six-months ended April 30, 1995 are summarized as follows:
<TABLE>
<CAPTION>
U.S. GOVT.
SECURITIES OBLIGATIONS
PURCHASES SALES PURCHASES SALES
- - ---------------------------------------------------------------------------------
<S> <C> <C> <C> <C>
Growth Fund $1,585,960 1,298,277 619,473 392,796
Municipal Bond Fund 9,646,451 10,967,491 - -
Government Bond Fund - - 36,071,289 49,908,750
Cash Reserve Fund - - 323,504 -
---------- ---------- ---------- ----------
</TABLE>
<TABLE>
Realized gains and losses have been computed on the first-in, first-out basis.
Included in net unrealized appreciation (depreciation) at April 30, 1995 are
the following components:
<CAPTION>
UNREALIZED UNREALIZED UNREALIZED
GAINS LOSSES APPRECIATION
(DEPRECIATION)
- - ---------------------------------------------------------------------------------
<S> <C> <C> <C>
Growth Fund $1,503,704 (189,611) 1,314,093
Municipal Bond Fund 315,043 (429,409) (114,366)
Government Bond Fund 861,258 (802,419) 58,839
---------- --------- ----------
</TABLE>
14
<PAGE> 15
[ILLUSTRATION NO. 1]
15
<PAGE> 16
Financial Horizons Investment Trust
TRUSTEES OFFICERS TOLL-FREE TELEPHONE ASSISTANCE
PETER F. FRENZER JAMES F. LAIRD, JR. GENERAL ACCOUNT SERVICE AND
Chairman Treasurer EXCHANGES:
Columbus, Ohio RAE I. MERCER 1-800-533-5622
DR. JOHN C. BRYANT Secretary
Wilmington, Ohio KATHERINE L. COOK
ROBERT M. DUNCAN Assistant Treasurer
Columbus, Ohio WILLIAM M. WRIGHT
DR. THOMAS J. KERR, IV Assistant Treasurer
Evanston, Illinois PETER J. NECKERMANN
D. RICHARD MCFERSON Assistant Treasurer
Columbus, Ohio HARRY A. SCHERMER
Assistant Treasurer
CRAIG CARVER
Assistant Treasurer
TRANSFER AGENT
NATIONWIDE INVESTORS SERVICES, INC.
BOX 1492
ONE NATIONWIDE PLAZA
COLUMBUS, OHIO 43216
LEGAL COUNSEL
DRUEN, RATH & DIETRICH
ONE NATIONWIDE PLAZA
COLUMBUS, OHIO 43216
AUDITORS
KPMG PEAT MARWICK LLP
TWO NATIONWIDE PLAZA
COLUMBUS, OHIO 43215
NATIONAL DISTRIBUTOR AND INVESTMENT ADVISOR
NATIONWIDE FINANCIAL SERVICES, INC.
ONE NATIONWIDE PLAZA
COLUMBUS, OHIO 43216
Financial Horizons and its logo are service marks of Nationwide(R) Life
Insurance Company
- - --------------------------------------------------------------------------------
Financial Horizons Investment Trust BULK RATE
Box 182008 U.S. POSTAGE
One Nationwide Plaza PAID
Columbus, Ohio 43218 COLUMBUS, OHIO
PERMIT NO. 492
April 1995
Semi-Annual Report
