Class A
6-month performance
(All figures per share)
Net asset value (NAV)
April 30, 1998 $ 6.58
Oct. 31, 1997 $ 5.27
Increase $ 1.31
Total return* 24.9%**
Class B
6-month performance
(All figures per share)
Net asset value (NAV)
April 30, 1998 $ 6.51
Oct. 31, 1997 $ 5.23
Increase $ 1.28
Total return* 24.4%**
Class Y
6-month performance
(All figures per share)
Net asset value (NAV)
April 30, 1998 $ 6.58
Oct. 31, 1997 $ 5.27
Increase $ 1.31
Total return* 24.9%**
* The prospectus discusses the effect of sales charges, if any, on the various
classes.
** The total return is a hypothetical investment in the Fund with all
distributions reinvested.
<PAGE>
The Portfolio's ten largest holdings
World Technologies Portfolio
The ten holdings listed here make up 35.19% of the Portfolio's net assets
Percent Value
(of Portfolio's net assets) (as of April 30, 1998)
HBO & Co 6.56% $346,913
Network Associates 5.51 291,125
BEA Systems 4.21 222,500
Sterling Commerce 3.38 178,763
PeopleSoft 3.34 176,700
Symix 3.10 164,000
Pervasive Software 2.84 149,875
CSG Systems Intl 2.15 113,750
Uniphase 2.05 108,500
Veritas DGC 2.05 108,375
For further detail about these holdings, please refer to the section entitled
"Investments in securities" herein.
<PAGE>
<TABLE>
<CAPTION>
Financial statements
Statement of assets and liabilities
IDS Innovations Fund
April 30, 1998
Assets (Unaudited)
<S> <C>
Investment in World Technology Portfolio (Note 1) $ 4,628,547
Expense receivable from AEFC 35
Organizational Costs - Feeder 32
---------------
Total assets 4,628,614
---------------
Liabilities
Distribution Fees 3
Accrued administrative services fee 7
Other accrued expenses 25,392
---------------
Total liabilities 25,402
---------------
Net assets applicable to outstanding capital stock $ 4,603,212
===============
Represented by
Capital stock-- $.01 par value (Note 1) $ 7,000
Additional paid-in capital 3,451,664
Undistributed net investment income (25,982)
Accumulated net realized gain (loss) 65,282
Unrealized appreciation (depreciation) on investments 1,105,248
---------------
Total-- representing net assets applicable to outstanding capital stock $ 4,603,212
===============
Net assets applicable to outstanding shares: Class A $ 4,341,518
Class B $ 130,134
Class Y $ 131,560
Net asset value per share of outstanding capital stock: Class A shares 660,000 $ 6.58
Class B shares 20,000 $ 6.51
Class Y shares 20,000 $ 6.58
See accompanying notes to financial statements.
</TABLE>
<PAGE>
<TABLE>
<CAPTION>
Financial statements
Statement of operations
IDS Innovations Fund
Six months ended April 30, 1998
Investment income (Unaudited)
Income:
<S> <C>
Dividends $ 396
Interest 4
--------------
Total income 400
--------------
Expenses (Note 2):
Expenses allocated from World Technologies Portfolio 24,702
Distribution fee-- Class B 418
Transfer agency fee 22
Administrative services fees and expenses 1,180
Postage 54
Registration fees 2,563
Reports to shareholders 54
Audit fees 1,875
Other 527
--------------
Total expenses 31,395
Less expenses voluntarily reimbursed by AEFC (Note 2) (5,013)
--------------
Total net expenses 26,382
--------------
Investment income (loss) -- net (25,982)
--------------
Realized and unrealized gain (loss) -- net
Net realized gain (loss) on security transactions 310,171
Net change in unrealized appreciation (depreciation) on investments 633,143
--------------
Net gain (loss) on investments 943,314
--------------
Net increase (decrease) in net assets resulting from operations $ 917,332
==============
See accompanying notes to financial statements.
</TABLE>
<PAGE>
<TABLE>
<CAPTION>
Financial statements
Statement of changes in net assets
IDS Innovations Fund
Operations April 30, 1998 For the period from
Six months ended Nov. 13, 1996* to
(Unaudited) Oct. 31, 1997
<S> <C> <C>
Investment income (loss)-- net $ (25,982) $ (41,336)
Net realized gain (loss) on security transactions 310,171 (244,889)
Net change in unrealized appreciation (depreciation) on investments 633,143 472,105
------------ ------------
Net increase (decrease) in net assets resulting from operations 917,332 185,880
Net assets at beginning of period (Note 1) 3,685,880 3,500,000
------------ ------------
Net assets at end of period $ 4,603,212 $ 3,685,880
=============== ============
*Commencement of operations.
See accompanying notes to financial statements.
</TABLE>
<PAGE>
Notes to financial statements
IDS Innovations Fund
(Unaudited as to April 30, 1998)
1. Summary of significant accounting policies
IDS Innovations Fund (a series of IDS Global Series, Inc.) is registered under
the Investment Company Act of 1940 (as amended) as a diversified, open-end
management investment company. IDS Global Series, Inc. has 10 billion authorized
shares of capital stock that can be allocated among the separate series as
designated by the board. On Nov. 12, 1996, American Express Financial
Corporation (AEFC) invested $3,500,000 in the Fund which represented 660,000
shares, 20,000 shares and 20,000 shares for Class A, Class B and Class Y,
respectively. Operations commenced on Nov. 13, 1996.
The Fund offers Class A, Class B and Class Y shares. Class A shares are sold
with a front-end sales charge. Class B shares may be subject to a contingent
deferred sales charge and such shares automatically convert to Class A shares
during the ninth calendar year of ownership. Class Y shares have no sales charge
and are offered only to qualifying institutional investors.
All classes of shares have identical voting, dividend, liquidation and other
rights, and the same terms and conditions, except that the level of distribution
fee, transfer agency fee and service fee (class specific expenses) differs among
classes. Income, expenses (other than class specific expenses) and realized and
unrealized gains or losses on investments are allocated to each class of shares
based upon its relative net assets.
Investment in World Technologies Portfolio
The Fund invests all of its assets in World Technologies Portfolio (the
Portfolio), a series of World Trust, an open-end investment company that has the
same objectives as the Fund. World Technologies Portfolio invests in technology
common stocks.
The Fund records daily its share of the Portfolio's income, expenses and
realized and unrealized gains and losses. The financial statements of the
Portfolio are included elsewhere in this report and should be read in
conjunction with the Fund's financial statements.
The Fund records its investment in the Portfolio at the value that is equal to
the Fund's proportionate ownership interest in the net assets of the Portfolio.
The percentage of the Portfolio owned by the Fund at April 30, 1998, was 87.54%.
Valuation of securities held by the Portfolio is discussed in Note 1 of the
Portfolio's "Notes to financial statements," which are included elsewhere in
this report.
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 increase and decrease in net assets from operations
during the period. Actual results could differ from those estimates.
Federal taxes
Since the Fund's policy is to comply with all sections of the Internal Revenue
Code applicable to regulated investment companies and to distribute all of its
taxable income to the shareholders, no provision for income or excise taxes is
required.
Net investment income (loss) and net realized gains (losses) allocated from the
Portfolio may differ for financial statement and tax purposes primarily because
of the deferral of losses on certain futures contracts, the recognition of
certain foreign currency gains (losses) as ordinary income (loss) for tax
purposes, and losses deferred due to "wash sale" transactions. 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. Also, due to the timing of dividend distributions, the fiscal year in
which amounts are distributed may differ from the year that the income or
realized gains (losses) were recorded by the Fund.
Dividends to shareholders
An annual dividend declared and paid by the end of the calendar year from net
investment income is reinvested in additional shares of the Fund at net asset
value or payable in cash. Capital gains, when available, are distributed along
with the income dividend.
Other
At April 30, 1998, AEFC owned 700,000 shares of IDS Innovations Fund.
2. Expenses
In addition to the expenses allocated from the Portfolio, the Fund accrues its
own expenses as follows:
The Fund entered into an agreement with AEFC for providing administrative
services. Under its Administrative Services Agreement, the Fund pays AEFC a fee
for administration and accounting services at a percentage of the Fund's average
daily net assets in reducing percentages from 0.06% to 0.035% annually.
Additional administrative service expenses paid by the Fund are office expenses,
consultants' fees and compensation of officers and employees. Under this
agreement, the Fund also pays taxes, audit and certain legal fees, registration
fees for shares, compensation of board members, corporate filing fees,
organizational expenses, and any other expenses properly payable by the Fund and
approved by the board.
Under a separate Transfer Agency Agreement, American Express Client Service
Corporation (AECSC) maintains shareholder accounts and records. The Fund pays
AECSC an annual fee per shareholder account for this service as follows:
o Class A $15
o Class B $16
o Class Y $15
The Fund entered into agreements with American Express Financial Advisors Inc.
for distribution and shareholder servicing-related services. Under a Plan and
Agreement of Distribution, the Fund pays a distribution fee at an annual rate of
0.75% of the Fund's average daily net assets attributable to Class B shares for
distribution-related services.
Under a Shareholder Service Agreement, the Fund pays a fee for service provided
to shareholders by financial advisors and other servicing agents. The fee is
calculated at a rate of 0.175% of the Fund's average daily net assets
attributable to Class A and Class B shares and commencing May 9, 1997, the fee
is calculated at a rate of 0.10% of the Fund's average daily net assets
attributable to Class Y shares.
AEFC has agreed to waive certain fees and to absorb certain other of the Fund's
expenses until Oct. 31, 1998. Under this agreement, the Fund's total expenses
will not exceed 1.35% for Class A, 2.10% for Class B, and 1.35% for Class Y of
the Fund's average daily net assets. In addition, for the six months ended April
30, 1998, AEFC further voluntarily agreed to waive certain fees and expenses to
1.32% for Class A, 2.07% for Class B and 1.32% for Class Y.
3. Capital loss carryover
For federal income tax purposes, the Fund had a capital loss carryover at Oct.
31, 1997 of $244,889 that, if not offset by subsequent capital gains, will
expire in 2005. It is unlikely the board will authorize a distribution of any
net realized gain for a Fund until its capital loss carryover has been offset or
expires.
<PAGE>
<TABLE>
<CAPTION>
4. Financial highlights
The table below shows certain important financial information for evaluating the
Fund's results.
Fiscal period ended Oct. 31,
Per share income and capital changesa
Class A Class B Class Y
1998g 1997b 1998g 1997b 1998g 1997b
<S> <C> <C> <C> <C> <C> <C>
Net asset value, $5.27 $5.00 $5.23 $5.00 $5.27 $5.00
beginning of period
Income from investment
operations:
Net investment income (loss) (.04) (.06) (.06) (.09) (.04) (.06)
Net gains (losses) (both 1.35 .33 1.34 .32 1.35 .33
realized
and unrealized)
Total from investment 1.31 .27 1.28 .23 1.31 .27
operations
Net asset value, $6.58 $5.27 $6.51 $5.23 $6.58 $5.27
end of period
Ratios/supplemental data:
Class A Class B Class Y
1998g 1997b 1998g 1997b 1998g 1997b
Net assets, end of period $4,342 $3,476 $130 $105 $132 $105
(in thousands)
Ratio of expenses to 1.32%c 1.35%c,d 2.07%c 2.10%c,d 1.32%c 1.35%c,d
average daily net assets
Ratio of net income (loss) (1.30%)c (1.26%)c (2.05%)c (2.00%)c (1.30%)c (1.25%)c
to average daily net assets
Total returne 24.9% 5.4% 24.4% 4.6% 24.9% 5.4%
Portfolio turnover rate 98% 164% 98% 164% 98% 164%
(excluding short-term
securities)
for the underlying Portfolio
Average brokerage commission $.0494 $.0488 $.0494 $.0488 $.0494 $.0488
rate for the underlying
Portfoliof
a For a share outstanding throughout the period. Rounded to the nearest cent.
bInception date. Period from Nov. 13, 1996 to Oct. 31, 1997.
cAdjusted to an annual basis.
dDuring the period from Nov. 13, 1996 to Oct. 31, 1997, AEFC reimbursed the Fund
for certain expenses. Had AEFC not done so, the annual ratios of expenses would
have been 1.58% and 2.36% for Class A, 2.32% and 3.11% for Class B and 1.57% and
2.36% for Class Y for the six months ended April 30, 1998 and period ended Oct.
31, 1997, respectively.
eTotal return does not reflect payment of a sales charge.
fThe Fund is required to disclose an average brokerage commission rate per share
for security trades on which commissions are charged. The comparability of this
information may be affected by the fact that commission rates per share vary
significantly among foreign countries.
gSix months ended April 30, 1998 (Unaudited).
</TABLE>
<PAGE>
Financial statements
Statement of assets and liabilities
World Technologies Portfolio
April 30, 1998
Assets (Unaudited)
Investments in securities, at value (Note 1)
(identified cost $3,855,041) $ 5,117,400
Cash in bank on demand deposit 73,047
Dividends and accrued interest receivable 65
Receivable for investment securities sold 215,268
--------------
Total assets 5,405,780
--------------
Liabilities
Payable for investment securities purchased 112,500
Accrued investment management services fee 101
Other accrued expenses 6,100
--------------
Total liabilities 118,701
--------------
Net assets $ 5,287,079
==============
See accompanying notes to financial statements.
<PAGE>
<TABLE>
<CAPTION>
Financial statements
Statement of operations
World Technologies Portfolio
Six months ended April 30, 1998
Investment income (Unaudited)
Income:
<S> <C>
Dividends $ 452
Interest 4
-------------
Total income 456
-------------
Expenses (Note 2):
Investment management services fee 16,270
Custodian fees 5,137
Audit fees 5,625
Other 3,118
-------------
Total expenses 30,150
Earnings credits on cash balances (Note 2) (1,939)
-------------
Total net expenses 28,211
-------------
Investment income (loss) -- net (27,755)
-------------
Realized and unrealized gain (loss) -- net
Net realized gain (loss) on security transactions (Note 3) 354,718
Net change in unrealized appreciation (depreciation) on investments 722,286
-------------
Net gain (loss) on investments 1,077,004
-------------
Net increase (decrease) in net assets resulting from operations $ 1,049,249
=============
See accompanying notes to financial statements.
</TABLE>
<PAGE>
<TABLE>
Financial statements
Statement of changes in net assets
World Technologies Portfolio
Operations April 30, 1998 For the period from
Six months ended Nov. 13, 1996* to
(Unaudited) Oct. 31, 1997
<S> <C> <C>
Investment income (loss)-- net $ (27,755) $ (43,075)
Net realized gain (loss) on security transactions 354,718 (279,246)
Net change in unrealized appreciation (depreciation) on investments 722,286 540,074
-------------- ------------
Net increase (decrease) in net assets resulting from operations 1,049,249 217,753
Net contributions (withdrawals) from partners (4,273) 24,350
-------------- ------------
Total increase (decrease) in net assets 1,044,976 242,103
Net assets at beginning of period (Note 1) 4,242,103 4,000,000
-------------- ------------
Net assets at end of period $ 5,287,079 $ 4,242,103
============== ============
*Commencement of operations.
See accompanying notes to financial statements.
</TABLE>
<PAGE>
Notes to financial statements
World Technologies Portfolio
(Unaudited as to April 30, 1998)
1. Summary of significant accounting policies
World Technologies Portfolio (the Portfolio) is a series of World Trust (the
Trust) and is registered under the Investment Company Act of 1940 (as amended)
as a diversified, open-end management investment company. World Technologies
Portfolio invests in common stocks of companies within the information
technology sector. The Declaration of Trust permits the Trustees to issue
non-transferable interests in the Portfolio. On Nov. 12, 1996, two funds
affiliated with American Express Financial Corporation (AEFC) invested
$4,000,000 in the Portfolio. Operations commenced on Nov. 13, 1996.
Significant accounting polices followed by the Portfolio are summarized below:
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 increase and decrease in net assets from operations
during the period. Actual results could differ from those estimates.
Valuation of securities
All securities are valued at the close of each business day. Securities traded
on national securities exchanges or included in national market systems are
valued at the last quoted sales price. Debt securities are generally traded in
the over-the-counter market and are valued at a price deemed best to reflect
fair value as quoted by dealers who make markets in these securities or by an
independent pricing service. Securities for which market quotations are not
readily available are valued at fair value according to methods selected in good
faith by the board. Short-term securities maturing in more than 60 days from the
valuation date are valued at the market price or approximate market value based
on current interest rates; those maturing in 60 days or less are valued at
amortized cost.
Option transactions
In order to produce incremental earnings, protect gains and facilitate buying
and selling of securities for investment purposes, the Portfolio may buy and
write options traded on any U.S. or foreign exchange or in the over-the-counter
market where the completion of the obligation is dependent upon the credit
standing of the other party. The Portfolio also may buy and sell put and call
options and write covered call options on portfolio securities and may write
cash-secured put options. The risk in writing a call option is that the
Portfolio gives up the opportunity of profit if the market price of the security
increases. The risk in writing a put option is that the Portfolio may incur a
loss if the market price of the security decreases and the option is exercised.
The risk in buying an option is that the Portfolio pays a premium whether or not
the option is exercised. The Portfolio also has the additional risk of not being
able to enter into a closing transaction if a liquid secondary market does not
exist.
Option contracts are valued daily at the closing prices on their primary
exchanges and unrealized appreciation or depreciation is recorded. The Portfolio
will realize a gain or loss upon expiration or closing of the option
transaction. When an option is exercised, the proceeds on sales for a written
call option, the purchase cost for a written put option or the cost of a
security for a purchased put or call option is adjusted by the amount of premium
received or paid.
Futures transactions
In order to gain exposure to or protect itself from changes in the market, the
Portfolio may buy and sell financial futures contracts traded on any U.S. or
foreign exchange. The Portfolio also may buy and write put and call options on
these futures contracts. Risks of entering into futures contracts and related
options include the possibility that there may be an illiquid market and that a
change in the value of the contract or option may not correlate with changes in
the value of the underlying securities.
Upon entering into a futures contract, the Portfolio is required to deposit
either cash or securities in an amount (initial margin) equal to a certain
percentage of the contract value. Subsequent payments (variation margin) are
made or received by the Portfolio each day. The variation margin payments are
equal to the daily changes in the contract value and are recorded as unrealized
gains and losses. The Portfolio recognizes a realized gain or loss when the
contract is closed or expires.
Foreign currency translations
and foreign currency contracts
Securities and other assets and liabilities denominated in foreign currencies
are translated daily into U.S. dollars at the closing rate of exchange. Foreign
currency amounts related to the purchase or sale of securities and income and
expenses are translated at the exchange rate on the transaction date. The effect
of changes in foreign exchange rates on realized and unrealized security gains
or losses is reflected as a component of such gains or losses. In the statement
of operations, net realized gains or losses from foreign currency transactions
may arise from sales of foreign currency, closed forward contracts, exchange
gains or losses realized between the trade date and settlement dates on
securities transactions, and other translation gains or losses on dividends,
interest income and foreign withholding taxes.
The Portfolio may enter into forward foreign currency exchange contracts for
operational purposes and to protect against adverse exchange rate fluctuation.
The net U.S. dollar value of foreign currency underlying all contractual
commitments held by the Portfolio and the resulting unrealized appreciation or
depreciation are determined using foreign currency exchange rates from an
independent pricing service. The Portfolio is subject to the credit risk that
the other party will not complete the obligations of the contract.
Federal taxes
For federal income tax purposes the Portfolio qualifies as a partnership and
each investor in the Portfolio is treated as the owner of its proportionate
share of the net assets, income, expenses and realized and unrealized gains and
losses of the Portfolio. Accordingly, as a "pass-through" entity, the Portfolio
does not pay any income dividends or capital gain distributions.
Other
Security transactions are accounted for on the date securities are purchased or
sold. Dividend income is recognized on the ex-dividend date and interest income,
including level-yield amortization of premium and discount, is accrued daily.
2. Fees and expenses
The Trust, on behalf of the Portfolio, has entered into an Investment Management
Services Agreement with AEFC for managing its portfolio. Under this agreement,
AEFC determines which securities will be purchased, held or sold. The management
fee is a percentage of the Portfolio's average daily net assets in reducing
percentages from 0.72% to 0.595% annually.
Under the agreement, the Trust also pays taxes, brokerage commissions and
nonadvisory expenses, which include custodian fees, audit and certain legal
fees, fidelity bond premiums, registration fees for units, office expenses,
consultants' fees, compensation of trustees, corporate filing fees, expenses
incurred in connection with lending securities of the Portfolio, and any other
expenses properly payable by the Trust or Portfolio and approved by the board.
During the six months ended April 30, 1998, the Portfolio's custodian fees were
reduced by $1,939 as a result of earnings credits from overnight cash balances.
Pursuant to a Placement Agency Agreement, American Express Financial Advisors
Inc. acts as placement agent of the units of the Trust.
3. Securities transactions
Cost of purchases and proceeds from sales of securities (other than short-term
obligations) aggregated $4,420,147 and $4,580,170, respectively, for the six
months ended April 30, 1998. For the same period, the portfolio turnover rate
was 98%. Realized gains and losses are determined on an identified cost basis.
<PAGE>
<TABLE>
<CAPTION>
Investments in securities
World Technologies Portfolio (Percentages represent
April 30, 1998 (Unaudited) value of investments
compared to net assets)
Common stocks (96.8%)
Issuer Shares Value(a)
Communications equipment & services (10.6%)
<S> <C> <C>
Advanced Fibre Communications 1,000 (b) $42,375
American Tower Systems 2,000 (b) 46,000
Andrew Corp 2,000 (b) 45,750
Ascend Communications 1,500 (b) 65,344
LCC Intl Cl A 3,000 (b) 61,500
Natural Microsystems 3,000 (b) 96,750
PairGain Technologies 2,500 (b) 46,094
RELTEC 2,000 (b) 79,750
Specialty Teleconstructors 2,000 (b) 74,500
Total 558,063
Computers & office equipment (46.1%)
American Business Information Cl A 4,000 (b) 54,000
Aris 1,600 (b) 48,800
BEA Systems 10,000 (b) 222,500
BMC Software 600 (b) 56,138
Computer Associates Intl 1,500 87,844
CSG Systems Intl 2,500 (b) 113,750
DAOU Systems 2,500 (b) 45,000
Extended Systems 6,000 (b) 42,000
Hagler Bailly 4,000 (b) 106,000
Hyperion Software 1,000 (b) 43,375
Infonautics Cl A 9,000 (b) 42,469
Information Management Associates 5,000 (b) 67,500
Legato Systems 2,000 (b) 63,250
Made2Manage Systems 4,000 (b) 57,750
Metro Information Services 2,000 (b) 69,500
Metzler Group 2,700 (b) 93,487
Network Appliance 1,500 (b) 54,094
Network Associates 4,250 (b) 291,125
PeopleSoft 3,800 (b) 176,700
Pervasive Software 11,000 (b) 149,875
Phoenix Intl 1,500 (b) 44,250
Platinum Technology 2,000 (b) 51,000
Segue Software 3,000 (b) 44,250
Sterling Commerce 4,200 (b) 178,762
Symix 8,000 (b) 164,000
Transition Systems 3,000 (b) 67,500
Total 2,434,919
Electronics (5.4%)
Advanced Micro Devices 2,000 (b) 55,500
PCD 3,000 (b) 60,187
Sawtek 2,000 (b) 60,750
Uniphase 2,000 (b) 108,500
Total 284,937
Energy equipment & services (2.1%)
Veritas DGC 2,000 (b) 108,375
Foreign (7.0%)(c)
Alcatel Alsthom ADR 1,400 (b) 50,750
British Sky Broadcasting Group ADR 2,000 88,875
Central European Media Enterprises 1,500 (b) 41,906
Fundtech 2,000 (b) 42,250
Peak Intl 2,000 (b) 46,500
Petroleum Geo-Services ADR 800 (b) 52,600
Scandinavian Broadcasting System 1,500 (b) 47,625
Total 370,506
Health care (4.9%)
Biomatrix 1,300 (b) 41,275
IDEC Pharmaceuticals 1,000 (b) 36,000
Pharmacyclics 1,500 (b) 40,687
Trex Medical 3,000 (b) 57,000
Watson Pharmaceuticals 2,000 (b) 86,000
Total 260,962
Health care services (7.4%)
HBO & Co 5,800 346,912
Simione Central Holdings 3,000 (b) 46,500
Total 393,412
Leisure time & entertainment (2.1%)
Activision 4,000 (b) 43,500
SFX Entertainment Cl A 2,000 (b) 69,000
Total 112,500
Media (5.7%)
Chancellor Media 2,000 (b) 94,875
Journal Register 3,000 (b) 67,688
Sinclair Broadcast Group Cl A 1,000 51,875
Univision Communications Cl A 2,200 (b) 84,288
Total 298,726
Miscellaneous (2.9%)
Artisan Components 4,000 (b) 69,500
BrightStar Information Technology Group 2,500 (b) 39,062
Willis Lease Finance 2,000 (b) 47,250
Total 155,812
Multi-industry conglomerates (1.8%)
Strayer Education 1,500 55,125
Whitman Education Group 7,000 (b) 39,375
Total 94,500
Utilities -- telephone (0.8%)
Telscape Intl 2,500 (b) 44,688
Total common stocks
(Cost: $3,855,041) $5,117,400
Total investments in securities $5,117,400
(Cost: $3,855,041)(d)
Notes to investments in securities
(a) Securities are valued by procedures described in Note 1 to the financial
statements.
(b) Non-income producing.
(c) Foreign securities values are stated in U.S. dollars.
(d) At April 30, 1998, the cost of securities for federal income tax purposes
was approximately $3,855,000 and the approximate aggregate gross unrealized
appreciation and depreciation based on that cost was:
Unrealized appreciation $1,337,000
Unrealized depreciation (75,000)
- -----------------------------------------------------------------------------
Net unrealized appreciation $1,262,000
- -----------------------------------------------------------------------------
</TABLE>
