The 10 Largest Holdings
World Technologies Portfolio
Percent Value
(of net assets) (as of April 30, 1999)
America Online 18.74% $1,356,124
Amazon.com 3.57 258,094
Cisco Systems 3.15 228,124
Sterling Commerce 3.03 219,187
SDL 3.02 218,499
Legato Systems 2.79 202,188
Yahoo! 2.41 174,688
VeriSign 2.38 172,500
MediaOne Group 2.25 163,124
COLT Telecom Group ADR 2.11 152,749
For further detail about these holdings, please refer to the section entitled
"Investments in Securities."
The 10 holdings listed here make up 43.45% of net assets
<PAGE>
Fund Facts
Class A -- 6-month performance
(All figures per share)
Net asset value (NAV)
April 30, 1999 $ 9.02
Oct. 31, 1998 $ 5.41
Increase $ 3.61
Total return* +66.65%**
Class B -- 6-month performance
(All figures per share)
Net asset value (NAV)
April 30, 1999 $ 8.85
Oct. 31, 1998 $ 5.33
Increase $ 3.52
Total return* +66.03%**
Class Y -- 6-month performance
(All figures per share)
Net asset value (NAV)
April 30, 1999 $ 9.02
Oct. 31, 1998 $ 5.41
Increase $ 3.61
Total return* +66.65%**
* 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>
<TABLE>
<CAPTION>
Financial Statements
Statement of assets and liabilities
AXP Innovations Fund
April 30, 1999 (Unaudited)
Assets
<S> <C>
Investment in World Technologies Portfolio (Note 1) $6,332,652
----------
Liabilities
Accrued distribution fee 4
Accrued administrative services fee 10
Other accrued expenses 24,904
------
Total liabilities 24,918
Net assets applicable to outstanding capital stock $6,307,734
==========
Represented by
Capital stock-- $.01 par value (Note 1) $7,000
Additional paid-in capital 3,399,266
Excess of distributions over net investment income (33,560)
Accumulated net realized gain (loss) 486,440
Unrealized appreciation (depreciation) on investments 2,448,588
---------
Total-- representing net assets applicable to outstanding capital stock $6,307,734
==========
Net assets applicable to outstanding shares: Class A $5,950,399
Class B $177,020
Class Y $180,315
Net asset value per share of outstanding capital stock:Class A shares 660,000 $9.02
Class B shares 20,000 $8.85
Class Y shares 20,000 $9.02
See accompanying notes to financial statements.
</TABLE>
<PAGE>
<TABLE>
<CAPTION>
Statement of operations
AXP Innovations Fund
Six months ended April 30, 1999 (Unaudited)
Investment income
Income:
<S> <C>
Dividends $2,063
Less foreign taxes withheld (68)
---
Total income 1,995
-----
Expenses (Note 2):
Expenses allocated from World Technologies Portfolio 29,483
Distribution fee-- Class B 558
Transfer agency fee 22
Incremental transfer ageny fee
Class A 1
Class B 1
Administrative services fees and expenses 1,588
Registration fees 2,577
Audit fees 2,000
Other 524
---
Total expenses 36,754
Less expenses voluntarily reimbursed by AEFC (Note 2) (1,129)
------
Total net expenses 35,625
------
Investment income (loss) -- net (33,630)
-------
Realized and unrealized gain (loss) -- net
Net realized gain (loss) on:
Security transactions 831,742
Options contracts written (1,470)
------
Net gain (loss) on investments 830,272
Net change in unrealized appreceiation (depreciation) on investments 1,723,791
---------
Net gain (loss) on investments 2,554,063
---------
Net increase (decrease) in net assets resulting from operations $2,520,433
==========
See accompanying notes to financial statements
</TABLE>
<PAGE>
<TABLE>
<CAPTION>
Statements of changes in net assets
AXP Innovations Fund
April 30, 1999 Oct. 31, 1998
Six months ended Year ended
(Unaudited)
Operations
<S> <C> <C>
Investment income (loss)-- net $(33,630) $(52,328)
Net realized gain (loss) on investments 830,272 (98,943)
Net change in unrealized appreciation (depreciation)
on investments 1,723,791 252,692
--------- -------
Net increase (decrease) in net assets resulting
from operations 2,520,433 101,421
Net assets at beginning of period 3,787,301 3,685,880
--------- ---------
Net assets at end of period $6,307,734 $3,787,301
========== ==========
Undistributed (excess of distributions over)
net investment income $(33,560) $70
======== ===
See accompanying notes to financial statements.
</TABLE>
<PAGE>
Notes to Financial Statements
AXP Innovations Fund
(Unaudited as to April 30, 1999)
1. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
AXP Innovations Fund (a series of AXP Global Series, Inc.) is registered under
the Investment Company Act of 1940 (as amended) as a diversified, open-end
management investment company. AXP Global Series, Inc. has 10 billion authorized
shares of capital stock that can be allocated among the separate series as
designated by the board.
The Fund offers Class A, Class B and Class Y shares.
o Class A shares are sold with a front-end sales charge.
o Class B shares may be subject to a contingent deferred sales charge and
automatically convert to Class A shares during the ninth calendar year of
ownership.
o Class Y shares have no sales charge and are offered only to qualifying
institutional investors.
All classes of shares have identical voting, dividend and liquidation rights.
The 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 (the 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 Portfolio's net assets. The
percentage of the Portfolio owned by the Fund as of April 30, 1999 was 87.52%.
Valuation of securities held by the Portfolio is discussed in Note 1 of the
Portfolio's "Notes to financial statements" (included elsewhere in this report).
Use of estimates
Preparing financial statements that conform to generally accepted accounting
principles requires management to make estimates (e.g., on assets and
liabilities) that could differ from actual results.
Federal taxes
The Fund's policy is to comply with all sections of the Internal Revenue Code
that apply to regulated investment companies and to distribute all of its
taxable income to the shareholders. No provision for income or excise taxes is
thus required.
Net investment income (loss) and net realized gains (losses) may differ for
financial statement and tax purposes primarily because of deferred 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 from net investment income, declared and paid at the end of
the calendar year, when available, 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
As of April 30, 1999, AEFC owned 100% of outstanding shares of AXP Innovations
Fund.
2. EXPENSES AND SALES CHARGES
In addition to the expenses allocated from the Portfolio, the Fund accrues its
own expenses as follows:
The Fund has an agreement with AEFC to provide administrative services. Under an
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 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 $19
o Class B $20
o Class Y $17
Under terms of a prior agreement that ended Jan. 31, 1999, the Fund paid a
transfer agency fee at an annual rate per shareholder account of $15 for Class A
and $16 for Class B. Under terms of a prior agreement that ended March 31, 1999,
the Fund paid a transfer agency fee at an annual rate per shareholder account of
$15 for Class Y.
The Fund has agreements with American Express Financial Advisors Inc. for
distribution and shareholder 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
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 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, 1999. 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, 1999, AEFC further voluntarily agreed to waive certain fees and expenses to
1.33% for Class A, 2.08% 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 as of
Oct. 31, 1998 of $343,832 that, if not offset by subsequent capital gains, will
expire in 2005 through 2006. 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.
4. BANK BORROWINGS
The Fund has a revolving credit agreement with U.S. Bank, N.A., whereby the Fund
is permitted to have bank borrowings for temporary or emergency purposes to fund
shareholder redemptions. The Fund must have asset coverage for borrowings not to
exceed the aggregate of 333% of advances equal to or less than five business
days plus 367% of advances over five business days. The agreement, which enables
the Fund to participate with other IDS Funds, permits borrowings up to $200
million, collectively. Interest is charged to each Fund based on its borrowings
at a rate equal to the Federal Funds Rate plus 0.30% or the Eurodollar Rate
(Reserve Adjusted) plus 0.20%. Borrowings are payable up to 90 days after such
loan is executed. The Fund also pays a commitment fee equal to its pro rata
share of the amount of the credit facility at a rate of 0.05% per annum. The
Fund had no borrowings outstanding during the six months ended April 30, 1999.
<PAGE>
<TABLE>
<CAPTION>
5. 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
1999b 1998 1997c 1999b 1998 1997c 1999b 1998 1997c
Net asset value,
<S> <C> <C> <C> <C> <C> <C> <C> <C> <C>
beginning of period $5.41 $5.27 $5.00 $5.33 $5.23 $5.00 $5.41 $5.27 $5.00
Income from investment
operations:
Net investment income (loss) (.05) (.07) (.06) (.07) (.11) (.09) (.05) (.07) (.06)
Net gains (losses)
(both realized
and unrealized) 3.66 .21 .33 3.59 .21 .32 3.66 .21 .33
Total from investment
operations 3.61 .14 .27 3.52 .10 .23 3.61 .14 .27
Net asset value,
end of period $9.02 $5.41 $5.27 $8.85 $5.33 $5.23 $9.02 $5.41 $5.27
Ratios/supplemental
data:
Net assets, end of
period (in thousands) $5,950 $3,572 $3,476 $177 $107 $105 $180 $108 $105
Ratio of expenses
to average
daily net assetsd 1.33%e 1.33% 1.35%e 2.08%e 2.08% 2.10%e 1.32%e 1.33% 1.35%e
Ratio of net investment
income (loss)
to average daily
net assets (1.25%)e (1.29%) (1.26%)e (2.00%)e (2.04%) (2.00%)e (1.25%)e (1.29%) (1.25%)e
Portfolio turnover rate
(excluding short-term
securities) 80% 200% 164% 80% 200% 164% 80% 200% 164%
Total returnf 66.65% 2.68% 5.38% 66.03% 1.91% 4.62% 66.65% 2.68% 5.38%
a For a share outstanding throughout the period. Rounded to the nearest cent.
b Six months ended April 30, 1999 (Unaudited).
c Inception date. Period from Nov. 13, 1996 to Oct. 31, 1997.
d AEFC reimbursed the Fund for certain expenses. Had AEFC not done so, the
annual ratios of expenses would have been 1.37%, 1.63% and 2.36% for
Class A, 2.12%, 2.38% and 3.11% for Class B and 1.37%, 1.63% and 2.36%
for class Y for the periods ending 1999, 1998 and 1997, respectively.
e Adjusted to an annual basis.
f Total return does not reflect payment of a sales charge.
</TABLE>
<PAGE>
<TABLE>
<CAPTION>
Financial Statements
Statement of assets and liabilities
World Technologies Portfolio
April 30, 1999 (Unaudited)
Assets
Investments in securities, at value (Note 1)
<S> <C>
(identified cost $4,157,929) $6,955,731
Cash in bank on demand deposit 173,315
Dividends and accrued interest receivable 952
Receivable for investment securities sold 113,509
-------
Total assets 7,243,507
---------
Liabilities
Accrued investment management services fee 144
Other accrued expenses 7,956
-----
Total liabilities 8,100
-----
Net assets $7,235,407
==========
See accompanying notes to financial statements.
</TABLE>
<PAGE>
<TABLE>
<CAPTION>
Statement of operations
World Technologies Portfolio
Six months ended April 30, 1999 (Unaudited)
Investment income
Income:
<S> <C>
Dividends $2,357
Less foreign taxes withheld (78)
---
Total income 2,279
-----
Expenses (Note 2):
Investment management services fee 21,868
Custodian fees 5,898
Audit fees 6,000
Other 2,041
-----
Total expenses 35,807
Earnings credits on cash balances (Note 2) (2,122)
------
Total net expenses 33,685
------
Investment income (loss) -- net (31,406)
-------
Realized and unrealized gain (loss) -- net
Net realized gain (loss) on:
Security transactions (Note 3) 950,503
Options contracts written (Note 4) (1,680)
------
Net realized gain (loss) on investments 948,823
-------
Net change in unrealized appreciation
(depreciation) on investments 1,969,566
---------
Net gain (loss) on investments 2,918,389
---------
Net increase (decrease) in net assets
resulting from operations $2,886,983
==========
See accompanying notes to financial statements.
</TABLE>
<PAGE>
<TABLE>
<CAPTION>
Financial statements
Statements of changes in net assets
World Technologies Portfolio
April 30, 1999 Oct. 31, 1998
Six months ended Year ended
(Unaudited)
Operations
<S> <C> <C>
Investment income (loss)-- net $(31,406) $(56,345)
Net realized gain (loss) on investments 948,823 (112,973)
Net change in unrealized appreciation
(depreciation) on investments 1,969,566 288,162
--------- -------
Net increase (decrease) in net assets
resulting from operations 2,886,983 118,844
Net contributions (withdrawals) from partners (9,474) (3,049)
------ ------
Total increase (decrease) in net assets 2,877,509 115,795
Net assets at beginning of period 4,357,898 4,242,103
--------- ---------
Net assets at end of period $7,235,407 $4,357,898
========== ==========
See accompanying notes to financial statements.
</TABLE>
<PAGE>
Notes to Financial Statements
World Technologies Portfolio
(Unaudited as to April 30, 1999)
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.
The Portfolio's significant accounting policies are summarized below:
Use of estimates
Preparing financial statements that conform to generally accepted accounting
principles requires management to make estimates (e.g., on assets and
liabilities) that could differ from actual results.
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 that reflects fair value
as quoted by dealers 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
To produce incremental earnings, protect gains and facilitate buying and selling
of securities for investments, the Portfolio may buy and write options traded on
any U.S. or foreign exchange or in the over-the-counter market where completing
the obligation depends 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 as well as write cash-secured put options. The
risk in writing a call option is that the Portfolio gives up the opportunity for
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 being unable 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 when the option transaction expires or closes. 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
To gain exposure to or protect itself from market changes, 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 of 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,
if any, may arise from sales of foreign currency, closed forward contracts,
exchange gains or losses realized between the trade date and settlement date 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 its contract obligations.
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. As a "pass-through" entity, the Portfolio therefore
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 an Investment Management Services
Agreement with AEFC to manage 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.
The Portfolio also pays custodian fees to American Express Trust Company, an
affiliate of AEFC.
During the six months ended April 30, 1999, the Portfolio's custodian fees were
reduced by $2,122 as a result of earnings credits from overnight cash balances.
According to a Placement Agency Agreement, American Express Financial Advisors
Inc. acts as placement agent of the Trust's units.
3. SECURITIES TRANSACTIONS
Cost of purchases and proceeds from sales of securities (other than short-term
obligations) aggregated $4,848,718 and $5,343,077, respectively, for the six
months ended April 30, 1999. For the same period, the portfolio turnover rate
was 80%. Realized gains and losses are determined on an identified cost basis.
4. OPTIONS CONTRACTS WRITTEN
Contracts and premium amounts associated with options contracts written is as
follows:
Six months ended April 30, 1999
Puts
Contracts Premium
Balance Oct. 31, 1998 30 $ 8,910
Opened -- --
Closed (30) (8,910)
--- ------
Balance April 30, 1999 -- $ --
See "Summary of significant accounting policies."
<PAGE>
<TABLE>
<CAPTION>
Investments in Securities
World Technologies Portfolio
April 30, 1999 (Unaudited)
(Percentages represent value of investments compared to net assets)
Common stocks (95.8%)
Issuer Shares Value(a)
Communications equipment & services (13.6%)
<S> <C> <C>
Carrier Access 1,200 *(b) $62,325
CMGI 500 *(b) 127,281
E-Tek Dynamics 2,000 *(b) 85,999
Motorola 900 72,113
Nokia Oyj ADR Cl A 1,000 *(c) 74,188
P-COM 10,000 *(b) 58,438
Sterling Commerce 7,000 *(b) 219,187
Tellabs 1,000 *(b) 109,562
Yahoo! 1,000 *(b) 174,688
Total 983,781
Computers-Internet (23.8%)
America Online 9,500 *(b) 1,356,124
At Home Corp Series A 500 71,969
Excite 1,000 *(b) 146,000
Network Solutions Cl A 1,000 *(b) 77,750
Xoom.com 1,000 *(b) 70,000
Total 1,721,843
Computers & office equipment (22.2%)
Ascend Communications 1,000 *(b) 96,625
CheckFree Holdings 2,000 *(b) 96,000
Cisco Systems 2,000 *(b) 228,124
Citrix Systems 1,000 *(b) 42,500
Comdisco 1,500 39,469
Compuware 4,000 *(b) 97,500
Descartes Systems Group 10,000 *(b,c) 63,125
EMC 1,000 *(b) 108,938
Equant 1,000 *(b,c) 89,250
Legato Systems 5,000 *(b) 202,188
Network Appliance 2,000 100,625
Pegasus Systems 2,000 *(b) 93,500
Rational Software 4,000 *(b) 118,500
VeriSign 1,500 *(b) 172,500
Visual Networks 2,000 56,125
Total 1,604,969
Electronics (15.9%)
Advanced Energy Inds 2,000 *(b) 55,375
Altera 1,000 *(b) 72,250
Flextronics Intl 2,500 *(b) 116,719
Intel 2,000 122,375
KLA-Tencor 1,000 *(b) 49,625
RF Micro Devices 1,000 *(b) 55,875
Sawtek 2,000 *(b) 70,500
SDL 2,000 218,499
Taiwan Semiconductor Mfg ADR 2,500 *(b,c) 60,000
Teradyne 2,000 *(b) 94,375
Uniphase 1,000 *(b) 121,375
Vitesse Semiconductor 1,500 *(b) 69,469
Zoran 5,000 *(b) 54,063
Total 1,160,500
Leisure time & entertainment (0.7%)
Ticketmaster Online-Citysearch Cl B 1,500 *(b) 47,438
Media (4.8%)
Cablevision Systems Cl A 500 *(b) 38,688
MediaOne Group 2,000 *(b) 163,124
Reuters Group ADR 900 *(c) 73,688
Univision Communications Cl A 1,200 *(b) 69,450
Total 344,950
Miscellaneous (1.4%)
Resource America Cl A 8,000 99,000
Retail (3.6%)
Amazon.com 1,500 258,094
Utilities -- telephone (9.9%)
AT&T 1,000 50,500
Cable & Wireless Communications ADR 1,000 *(b,c) 57,000
COLT Telecom Group ADR 2,000 *(b,c) 152,749
Hellenic Telecommunications ADR 10,000 *(c) 119,375
MCI WorldCom 1,500 *(b) 123,281
RCN 2,000 *(b) 97,250
Western Wireless Cl A 1,000 *(b) 41,063
WinStar Communications 1,500 *(b) 72,938
Total 714,156
Total common stocks
(Cost: $4,133,619) $6,934,731
</TABLE>
<PAGE>
<TABLE>
<CAPTION>
Options purchased (0.3%)
Issuer Shares Exercise Expiration Value(a)
price date
Put
<S> <C> <C> <C> <C>
United Intl 2,000 $60 Aug. 1999 $21,000
Total options purchased
(Cost: $24,310) $21,000
Total investments in securities
(Cost: $4,157,929)(d) $6,955,731
</TABLE>
<PAGE>
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 security values are stated in U.S. dollars. As of April 30, 1999,
the value of foreign securities represented 9.53% of net assets.
(d) At April 30, 1999, the cost of securities for federal income tax purposes
was approximately $4,158,000 and the approximate aggregate gross unrealized
appreciation and depreciation based on that cost was:
Unrealized appreciation $2,913,000
Unrealized depreciation (115,000)
--------
Net unrealized appreciation $2,798,000
