EquiFund(R)
THE WRIGHT EQUIFUND
EQUITY TRUST
EquiFund
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Annual Report
as of December 31, 1996
<PAGE>
THE WRIGHT EQUIFUND
EQUITY TRUST
The Wright EquiFund Equity Trust (EquiFund) is an open-end, management
investment company, known as a mutual fund, registered as a diversified
investment company under the Investment Company Act of 1940, as amended.
EquiFund consists of ten active and nine inactive separate and distinct
non-diversified series or funds.
Investment Objective
Each Fund of EquiFund seeks to enhance total investment return (consisting
of price appreciation plus income) by investing in a broadly based
portfolio of equity securities selected from the publicly traded companies
in the National Equity Index for the nation or nations in which each Fund
is permitted to invest. Only securities for which adequate public
information is available and which could be considered acceptable for
investment by a prudent person are included in the National Equity Indexes.
The Active Funds
Wright EquiFund -- Belgium/Luxembourg Wright EquiFund -- Britain Wright
EquiFund -- Germany Wright EquiFund -- Hong Kong Wright EquiFund -- Italian
Wright EquiFund -- Japan Wright EquiFund -- Mexico Wright EquiFund --
Netherlands Wright EquiFund -- Nordic Wright EquiFund -- Switzerland
The Inactive Funds
Wright EquiFund -- Australasia Wright EquiFund -- Austria Wright EquiFund
-- Canada Wright EquiFund -- France Wright EquiFund -- Global Wright
EquiFund -- International Wright EquiFund -- Ireland Wright EquiFund --
Spain Wright EquiFund -- United States
TABLE OF CONTENTS
Investment Objectives..........Inside Front Cover
Report To Shareholders......................... 1
Wright EquiFunds
Dividend Distributions:
Belgium/Luxembourg........................... 7
Britain...................................... 7
Germany.......................................7
Hong Kong.................................... 8
Italian.......................................8
Japan........................................ 8
Mexico....................................... 9
Netherlands.................................. 9
Nordic....................................... 9
Switzerland................................. 10
Wright EquiFund -- Belgium/Luxembourg
Portfolio of Investments.....................11
Wright EquiFund -- Britain
Portfolio of Investments.....................12
Wright EquiFund -- Germany
Portfolio of Investments.....................14
Wright EquiFund -- Hong Kong
Portfolio of Investments.....................15
Wright EquiFund -- Italian
Portfolio of Investments.....................16
Wright EquiFund -- Japan
Portfolio of Investments.....................17
Wright EquiFund -- Mexico
Portfolio of Investments.....................18
Wright EquiFund -- Netherlands
Portfolio of Investments.....................19
Wright EquiFund -- Nordic
Portfolio of Investments.....................20
Wright EquiFund -- Switzerland
Portfolio of Investments.....................21
Statements of Assets & Liabilities.............22
Statement of Operations........................25
Statements of Changes in Net Assets............28
Financial Highlights...........................32
Notes to Financial Statements..................42
<PAGE>
Report To Shareholders
Dear Shareholders :
Global stock markets were stronger than almost anyone expected during 1996.
Economic conditions were mostly positive for the financial markets last year.
Moderate growth and modest inflation in the major industrial countries produced
lower interest rates in most markets, the U.S. excepted, which lent support to
stocks. In the United States, despite higher interest rates, stock returns
averaged more than 20% in 1996, the second straight year of big advances in
stock prices. Mutual funds investing in stocks took in a net $220 billion in new
money; this record buying propelled the Dow Jones Industrial Average steadily
higher through the year. This strength has persisted into January 1997.
Outside the U.S., many foreign stock markets hit record highs in 1996, with
strength persisting right through year end. Among the top 30 markets, Finland
had the best price performance for 1996, rising 38% in dollar terms, followed by
Taiwan (35%) and Hong Kong (34%). Canadian stock prices increased 25% in U.S.
dollars in 1996, the best performance among the G-7 major markets; Tokyo had the
worst performance in 1996, with prices dropping an average of 17% in dollar
terms.
Despite rising oil prices, inflation pressures were restrained by sluggish
economic expansions, high unemployment, global competition and tight fiscal
policies. Central banks generally maintained accommodating monetary policies.
Consumer prices rose an average of around 2% in the G-7 countries in 1996, down
from a 5% inflation rate as recently as 1990. Excluding food and fuel prices,
U.S. consumer prices increased 2.6% last year, the lowest core rate of inflation
in 30 years. Outside the U.S., long-term bonds averaged a total return of 8% in
dollar terms during 1996.
As 1997 began, business conditions remain mixed around the globe. The
economic expansions of continental Europe and Japan are still generally in their
early phases, although the vigorous growth typical of early cycle expansions
remains elusive. The U.S. business expansion, on the other hand, is about to
begin its seventh year. Compared with the sluggish economic recoveries in Europe
and Japan, the U.S. expansion is still reasonably robust. There are few signs of
excess in the U.S. economy, and the Federal Reserve appears to be disinclined
toward raising interest rates, a fact which should extend the life of the
business expansion. Overall, the industrial nations of the world are expected to
achieve moderate economic growth averaging about 2.4% in 1997, with little risk
of rising inflation.
So far during the 1990s, the U.S. stock market has outperformed the rest of
the world far more often than not. But stronger economic growth abroad and
better corporate profit comparisons may shift global stock market leadership
away from the U.S. during 1997. After the big investment returns in U.S. stocks
during 1995-96, investors should be prepared for more modest returns and perhaps
even some selling pressures in the year ahead. In the event the U.S. stock
market weakens in 1997, there may be some spill-over into foreign markets.
Nevertheless, with the economic fundamentals beginning to lean a little in the
direction of foreign markets, investors will probably be well served in 1997-98
by a healthy allocation to quality foreign equities.
Past performance does not guarantee future results, and investment return
and principal value will fluctuate so that an investor's shares, when redeemed,
may be worth more or less than their original cost. There are additional risks
associated with international investing such as currency fluctuations and
potential political instability. The paragraphs below discuss the economic,
political and market factors affecting the investment performance of the Wright
EquiFund Equity Trust during 1996 and prospects for the year ahead.
Sincerely,
Peter M. Donovan
President
<PAGE>
BELGIUM/LUXEMBOURG
Real GDP increased 1.9% year over year in the third quarter of 1996, about the
same rate as in the previous quarter. Investment grew at a faster rate than
private consumption for the period. For the year, GDP growth is estimated at
around 1.5%. The consensus forecast for 1997 is for a modest improvement in
economic growth to 2%. Inflation is targeted at around 2% in 1997 as well.
Belgium appears to have made progress in reducing its federal deficit last year.
Preliminary numbers show that the deficit declined by about 50 billion francs or
15%, coming in at 3.4% of GDP compared to 4.1% the year before. The government
expects the deficit to fall to 2.9% of GDP this year, meeting the EMU's 3.0%
requirement. The FT/S&P Actuaries total return index for Belgium rose 22.2% in
Belgian francs during 1996, but the franc's 7% drop against the dollar trimmed
the gain to just over 13% in dollar terms. Ten-year government bond yields
declined 80 basis points during 1996.
BRITAIN
Britain's economic climate was one of the strongest in Europe this past year,
and business activity quickened in the fourth quarter. Growth in consumer
incomes and confidence contributed to retail sales rising 3.9% in November from
a year ago. Unemployment claims have dropped below two million for the first
time in six years. Despite the pound's appreciation of more than 15% against the
D-mark last year, the foreign trade deficit declined. The need to restock
business inventories is expected to strengthen manufacturing. Overall, the
consensus forecast has real GDP rising 3.5% in 1997 following an estimated 2.4%
gain last year. Interest rates may rise "to contain money supply growth,"
according to Bank of England Governor Eddie George. Chancellor Kenneth Clarke
and Governor George raised the base lending rate 25 basis points to 6.0% last
October. Consumer prices increased 2.5% in the year to November, in line with
the BOE target but up from 2.1% in the third quarter. The FT/S&P total return
index for the U.K. rose 16% in pounds (28% in dollars) during 1996.
GERMANY
Despite Bundesbank President Hans Tietmeyer's pledge of support for the D-mark,
more accommodating policies may be required in 1997 to lift the trajectory of
the German economy. The IFO Institute recently issued a warning to Chancellor
Kohl that economic growth will not be strong enough to push Germany's deficit
down to the 3% of GDP required for European Union. (Or to reduce an unemployment
rate that is stuck at 10%.) With consumer prices rising just 1.4% in the year to
November, inflation is no obstacle to lower rates. During 1996, three-month
interest rates fell 67 basis points to 3.0%; ten-year government bond yields
dropped 25 basis points to 5.8%. Lower interest rates have encouraged
construction growth, and economic activity is advancing moderately. A modest
increase in real GDP growth to around 2.4% is anticipated in 1997 following 1.4%
growth estimated for 1996. The FT/S&P total return index for Germany increased
27% last year; D-mark weakness against the dollar reduced the return to 18% in
U.S. dollar terms.
HONG KONG
Hong Kong's consumer price inflation rate ticked up to 5.8% in November from
5.4% in October. Inflation may rise again in 1997, fueled by rising property
costs. By pegging its currency to the U.S. dollar, Hong Kong's monetary
authority has little leeway to use
<PAGE>
monetary policy to fight inflation. Unemployment rose slightly in November
to 2.7% from 2.5% a month earlier but is expected to trend lower in 1997 as
economic growth accelerates and increases the demand for labor. After four
straight monthly gains, Hong Kong's stock market lost momentum in December,
responding to rising U.S. interest rates. But for all of 1996, the FT/S&P
Actuaries total return index for Hong Kong increased 35% in both U.S. and Hong
Kong dollars. This gain made Hong Kong one of the world's strongest major
markets in 1996 - despite the many unresolved matters related to its hand-over
to China in July of this year. One positive development is the decision of the
colony's experienced (and popular) head of the civil service to stay on in her
post under the new governor appointed by China.
ITALY
Interest rate fell more than three percentage points during 1996, and the Bank
of Italy may ease monetary policy further in the coming year. Consumer price
inflation slowed to 3.0% in the year to November, down from 5.9% at the end of
1995, a slowing that gives the monetary authorities leeway to ease. Exports have
become less competitive because of the lira's appreciation during 1996. Economic
growth may also be held back by the additional fiscal restraint that may be
required to narrow the government budget deficit; in 1996, the deficit came in
at 7.5% of GDP. There are some positives in the economic outlook. Declining
inflation has boosted real wages, which may produce a gradual increase in
consumer spending. Also, the government has approved a package of incentives to
promote sales of autos, home appliances and computers. Real GDP is expected to
rise 1.3% in 1997 after eking out a modest increase of 0.8% last year. The
FT/S&P total return index for Italy rose 11% in lira (16% in dollars) during
1996.
JAPAN
According to the OECD, "Japan should maintain its current low interest rate
policy." Lower interest rates are needed to ensure continued economic recovery
and support the beleaguered banking industry. The Bank of Japan's discount rate
remains at a postwar low of 0.5%, and ten-year government bond yields fell 32
basis points to 2.6% during 1996. Economic activity is improving, supported by
export sales; the yen's depreciation of 30% against the dollar over the past 18
months has helped Japan's export competitiveness. The foreign trade surplus has
begun to rise again after declining for the past two years. Consumer spending
has been stronger in anticipation of a higher consumption tax in April. Real GDP
growth is expected to slow to 2.0% in 1997 from 3.8% estimated for 1996,
according to the consensus forecast. But consumer confidence has been shaken by
renewed weakness in the stock market, which continued into early 1997. During
1996, the FT/S&P total return index for Japan fell 16% in U.S. dollars, the
weakest performance among the world's 25 top markets.
MEXICO
Mexico's economy improved significantly during 1996. Industrial production for
October was a better-than-expected 15.5% above the year-earlier level, the ninth
consecutive month of higher output. Construction, manufacturing and mining have
all contributed to growth. Retail and wholesale activity in October was also
better than expected. On the inflation front, Mexico lost some ground in
December as consumer prices rose 3.2% for the month, up from 1.5% in November.
December's jump reflected an increase in the minimum wage and higher fuel
prices. For all of 1996, inflation eased to 28% from 52% in 1995. The central
bank is aiming to get inflation down to 15% in 1997.
<PAGE>
While Mexico's economic growth is generally expected to accelerate this
year, there is still concern that unresolved problems in the banking system
could undermine the recovery. The FT/S&P Actuaries total return index for Mexico
increased 22% in pesos and 19% in dollars during 1996. The Mexican peso declined
2.5% in value compared to the U.S. dollar last year.
NETHERLANDS
The Dutch stock market had another a strong performance during 1996. The FT/S&P
Actuaries total return index for the Netherlands increased 37% in guilders (27%
in dollars); the guilder declined 8% in value compared to the U.S. dollar last
year. This was the second year in a row that the index increased more than 25%
in dollar terms. A continuing favorable economic environment in the Netherlands
has been an important factor in its strong stock market. The OECD forecasts that
the Netherlands will be one of its fastest growing members in 1997; the
consensus expectation is for GDP growth of 2.8% this year, up from 2.5%
estimated for 1996. At the same time, inflation remains under control, forecast
at 2.3% for 1997. The unemployment rate in the Netherlands for the three months
through November was 6.5%, down from 6.8% a year earlier and also below the rate
in the previous three-month period. Over the course of 1996, ten-year government
bond yields declined 30 basis points to 5.7%; three-month interest rates held
steady last year in the 3%-3.5% range.
NORDIC MARKETS
Sweden's third-quarter GDP rose a less-than-expected 0.8% from the year-earlier
level. As this was reported, the Swedish central bank cut its key repo rate to
4.1%, the latest is a series of cuts that reduced the rate by more than half
during 1996. The Riksbank warned that room for further cuts was limited;
although consumer prices declined 0.3% for the year through November, the bank
expects inflation to pick up to 1.5% in 1997. The latest forecast from Denmark's
Ministry of Economic Affairs sees inflation at 2.3% and GDP growth at 2.9% in
1997. In early January, the Norwegian central bank cut two key interest rates by
half a percentage point in an attempt to rein in the krone, which had risen 1.6%
against the German mark since an earlier rate cut in November. In December,
Nordic equities rose for the fifth month in a row. For the full year 1996, the
FT/S&P Actuaries total return index for the Nordic region rose 39.5% in local
currency terms and 34.5% in dollars. Each of the four markets in the region had
a good gain in dollars last year:
Sweden 39%; Finland 35%; Norway 31%; and Denmark 24%.
SWITZERLAND
Swiss GDP declined 0.7% on a year-over-year basis in the third quarter of 1996,
its fifth straight quarter of decline. Corporate bankruptcies in the first 11
months of the year were 10% above the year-earlier level; unemployment is
expected to reach a record 200,000 in the first quarter of 1997 as more
companies close their doors. The Swiss franc's weakness during 1996 offers some
hope that its exports will become more competitive and contribute to economic
recovery this year. But the OECD forecasts that Switzerland will be the slowest
growing of its member economies in 1997 after being the only one to shrink in
1996. The consensus estimate is for growth of about 1% this year; inflation is
also expected to remain at about the 1% level. The FT/S&P Actuaries total return
index for Switzerland climbed a respectable 20% in francs during the year past;
the gain was reduced to less than 3% in dollar terms as the franc plunged 14% in
value compared to the dollar in 1996.
<PAGE>
THE WRIGHT EQUIFUND EQUITY TRUST
EQUIFUND - BELGIUM/LUXEMBOURG
Growth of $10,000 invested 2/1/94* through 12/31/96
Annual Total Return
Lst 1 Yr Since Incept*
EquiFund - Belgium/Luxembourg +21.0% +14.8%
Bel 20 Index +12.7% +12.0%
FT-World Ex U.S. Index +6.5% +5.7%
Wright Global Fiduciary +10.7% +7.8%
The cumulative total return of a U.S. $10,000 investment in the
EQUIFUND - BELGIUM/LUXEMBOURG at inception on 2/1/94 would have grown to
$14,949 by December 31, 1996.
The following plotting points are used for comparison
in the total investment return mountain chart.
Date EquiFund Bel 20 FT-World Wright Global
Belgium/Lux. Index ex US Index Fiduciary Equity Index
02/01/94 $10,000 $10,000 $10,000 $10,000
12/31/94 $10,281 $10,165 $9,993 $9,892
12/31/95 $12,366 $12,346 $11,037 $11,248
12/31/96 $14,949 $13,914 $11,755 $12,453
THE WRIGHT EQUIFUND EQUITY TRUST
EQUIFUND - BRITAIN
Growth of $10,000 invested 4/30/95* through 12/31/96
Annual Total Return
Lst 1 Yr Since Incept*
EquiFund - Britain +26.7% +23.3%
FT-SE-A All-Share +27.2% +23.9%
FT-World Ex U.S. Index +6.5% +7.0%
Wright Global Fiduciary +10.7% +10.8%
The cumulative total return of a U.S. $10,000 investment in the
EQUIFUND - BRITAIN at inception on 4/30/95 would have grown to $14,201 by
December 31, 1996.
The following plotting points are used for comparison
in the total investment return mountain chart.
Date EquiFund FT SE-A FT-World Wright Global
Britain All Share Index ex US Index Fiduciary Equity Index
04/30/95 $10,000 $10,000 $10,000 $10,000
12/31/95 $11,200 $11,259 $10,523 $10,727
12/31/96 $14,201 $14,320 $11,207 $11,875
THE WRIGHT EQUIFUND EQUITY TRUST
WRIGHT EQUIFUND - GERMANY
Growth of $10,000 invested 4/30/95* through 12/31/96
Annual Total Return
Lst 1 Yr Since Incept*
EquiFund - Germany +15.0% +3.4%
Deutscher Aktien Index (DAX) +19.6% +16.4%
FT-World Ex U.S. Index +6.5% +7.0%
Wright Global Fiduciary +10.7% +10.8%
The cumulative total return of a U.S. $10,000 investment in the
EQUIFUND - GERMANY at inception on 4/30/95 would have grown to $10,572 by
December 31, 1996.
The following plotting points are used for comparison
in the total investment return mountain chart.
Date EquiFund Deutscher Aktien FT-World Wright Global
Germany Index(DAX) ex US Index Fiduciary Index
04/30/95 $10,000 $10,000 $10,000 $10,000
12/31/95 $9,190 $10,787 $10,523 $10,727
12/31/96 $10,572 $12,896 $11,207 $11,875
THE WRIGHT EQUIFUND EQUITY TRUST
EQUIFUND - HONG KONG
Growth of $10,000 invested 7/1/90* through 12/31/96
Annual Total Return
Lst 1 Yr Lst 5 yr Since Incept*
EquiFund - Hong Kong +28.0% +11.9% +10.8%
Hang Seng Index +39.0% +30.9% +29.4%
FT-World ex US Index +6.5% +7.9% +6.0%
Wright Global Fiduciary +10.7% +11.1% +9.5%
The cumulative total return of a U.S. $10,000 investment in the
EQUIFUND - HONG KONG inception on 7/1/90 would have grown to $19,515 by
December 31, 1996.
The following plotting points are used for comparison
in the total investment return mountain chart.
Date EquiFund Hang Seng FT-World Wright Global
Hong Kong Index ex US Index Fiduciary Index
07/01/90 $10,000 $10,000 $10,000 $10,000
12/31/90 $8,280 $9,374 $8,813 $8,559
12/31/9 $11,123 $13,861 $9,987 $10,656
12/31/92 $12,929 $18,642 $8,682 $10,497
12/31/93 $23,830 $41,893 $11,483 $13,460
12/31/94 $15,005 $29,788 $12,443 $14,358
12/31/95 $15,250 $38,336 $13,743 $16,328
12/31/96 $19,515 $53,305 $14,637 $18,076
THE WRIGHT EQUIFUND EQUITY TRUST
WRIGHT EQUIFUND - ITALIAN
Growth of $10,000 invested 9/30/95* through 12/31/96
Total Return
Since Incept*
EquiFund - Italian +6.7%
Banca Commerciale Italiana +6.0%
FT-World Ex U.S. Index +1.4%
Wright Global Fiduciary Index +1.6%
The cumulative total return of a U.S. $10,000 investment in the
EQUIFUND - ITALIAN at inception on 9/30/96 would have grown to $10,461 by
December 31, 1996.
The following plotting points are used for comparison
in the total investment return mountain chart.
Date EquiFund Banca Commerciale FT-World Wright Global
Italian Italiana ex US Index Fiduciary Index
09/30/96 $10,000 $10,000 $10,000 $10,000
12/31/96 $10,461 $10,599 $10,144 $10,157
THE WRIGHT EQUIFUND EQUITY TRUST
EQUIFUND - JAPAN
Growth of $10,000 invested 2/1/94* through 12/31/96
Annual Total Return
Lst 1 Yr Since Incept*
EquiFund - Japan -9.1% -7.0%
Tokyo SE Index (TOPIX) -16.0% -5.0%
FT-World ex US Index +6.5% +5.7%
Wright Global Fiduciary +10.7% +7.8%
The cumulative total return of a U.S. $10,000 investment in the
EQUIFUND - JAPAN at inception on 2/1/94 would have declined to $8,082 by
December 31, 1996.
The following plotting points are used for comparison
in the total investment return mountain chart.
Date EquiFund Tokyo SE FT-World Wright Global
Japan Index (TOPIX) ex US Index Fiduciary Index
02/01/94 $10,000 $10,000 $10,000 $10,000
12/31/94 $9,783 $10,409 $9,993 $9,892
12/31/95 $8,892 $10,244 $11,037 $11,248
12/31/96 $8,082 $8,601 $11,755 $12,453
THE WRIGHT EQUIFUND EQUITY TRUST
EQUIFUND - MEXICO
Growth of $10,000 invested 8/1/94* through 12/31/96
Annual Total Return
Lst 1 Year Since Incept*
EquiFund - Mexico +27.5% -19.8%
Mexican Bolsa IPC Index +18.0% -19.9%
FT-World ex US Index +6.5% +6.1%
Wright Global Fiduciary +10.7% +9.0%
The cumulative total return of a U.S. $10,000 investment in the
EQUIFUND - MEXICO at inception on 8/1/94 would have declined to $5,869 by
December 31, 1996.
The following plotting points are used for comparison
in the total investment return mountain chart.
Date EquiFund Mexican Bolsa FT-World Wright Global
Mexico IPC Index ex US Index Fiduciary Index
08/01/94 $10,000 $10,000 $10,000 $10,000
12/31/94 $6,909 $6,603 $9,814 $9,784
12/31/95 $4,604 $4,958 $10,837 $11,125
12/31/96 $5,869 $5,849 $11,541 $12,317
THE WRIGHT EQUIFUND EQUITY TRUST
EQUIFUND-NETHERLANDS
Growth of $10,000 invested 7/1/90* through 12/31/96
Annual Total Return
Lst 1 Yr Lst 5 yr Since Incept*
EquiFund - Netherlands +36.6% +14.7% +10.1%
CBS Total Return General Index +29.6% +21.8% +18.4%
FT-World ex US Index +6.5% +7.9% +6.0%
Wright Global Fiduciary +10.7% +11.1% +9.5%
The cumulative total return of a U.S. $10,000 investment in the
EQUIFUND - NETHERLANDS at inception on 7/1/90 would have grown to $18,704 by
December 31, 1996.
The following plotting points are used for comparison
in the total investment return mountain chart.
Date EquiFund CBS Total Return FT-World Wright Global
Netherlands General Index ex US Index Fiduciary Index
07/01/90 $10,000 $10,000 $10,000 $10,000
12/31/90 $8,570 $9,548 $8,813 $8,559
12/31/91 $9,427 $11,197 $9,987 $10,656
12/31/92 $8,654 $11,340 $8,682 $10,497
12/31/93 $10,344 $15,636 $11,483 $13,460
12/31/94 $11,552 $17,898 $12,443 $14,358
12/31/95 $13,728 $23,150 $13,743 $16,328
12/31/96 $18,704 $30,004 $14,637 $18,076
THE WRIGHT EQUIFUND EQUITY TRUST
EQUIFUND - NORDIC
Growth of $10,000 invested 2/1/94* through 12/31/96
Annual Total Return
Lst 1 Yr Since Incept*
EquiFund - Nordic +32.1% +16.6%
FT-Nordic +34.5% +21.2%
FT-World ex US Index +6.5% +5.7%
Wright Global Fiduciary +10.7% +7.8%
The cumulative total return of a U.S. $10,000 investment in the
EQUIFUND - NORDIC at inception on 2/1/94 would have grown to $15,636 by
December 31, 1996.
The following plotting points are used for comparison
in the total investment return mountain chart.
Date EquiFund FT-Nordic FT-World Wright Global
Nordic Index ex US Index Fiduciary Index
02/01/94 $10,000 $10,000 $10,000 $10,000
12/31/94 $9,881 $10,402 $9,993 $9,892
12/31/95 $11,837 $13,011 $11,037 $11,248
12/31/96 $15,636 $17,497 $11,755 $12,453
THE WRIGHT EQUIFUND EQUITY TRUST
EQUIFUND - SWITZERLAND
Growth of $10,000 invested 2/1/94* through 12/31/96
Annual Total Return
Lst 1 Yr Since Incept*
EquiFund - Switzerland +0.5% +4.2%
FT- Actuaries Swiss Index +2.7% +13.2%
FT-World ex US Index +6.5% +5.7%
Wright Global Fiduciary +10.7% +7.8%
The cumulative total return of a U.S. $10,000 investment in the
EQUIFUND - SWITZERLAND at inception on 2/1/94 would have grown to $11,272
by December 31, 1996.
The following plotting points are used for comparison
in the total investment return mountain chart.
Date EquiFund FT-Actuaries FT-World Wright Global
Switzerlan Swiss Index ex US Index Fiduciary Index
02/01/94 $10,000 $10,000 $10,000 $10,000
12/31/94 $9,481 $9,613 $9,993 $9,892
12/31/95 $11,222 $13,982 $11,037 $11,248
12/31/96 $11,272 $14,359 $11,755 $12,453
NOTES: *: For comparison with other averages, the investment results are shown
from the closest month end since each Fund's inception. The investment results
of EquiFund are net of all fees and expenses including withheld dividend taxes
charged to the Fund. No fees, expenses or taxes have been deducted from the
other averages. The Total Investment Return is the % return of an initial U.S.
$10,000 investment made at the beginning of the period to the ending redeemable
value assuming all dividends and distributions are reinvested. Past performance
is not predictive of future performance.
Dividend Distributions
<TABLE>
<CAPTION>
N.A.V. Distri- Distri- Value 12 Month 5 Year Cum.
Period Per bution bution Shares $1,000 Investment Investment Investment
Ending Share $ P/S in Shares Owned Investment Return Return Return
(Annualized) (Annualized)
- ----------------------------------------------------------------------------------------------------------------------------
WRIGHT EQUIFUND -- BELGIUM/LUXEMBOURG
<S> <C> <C> <C> <C> <C> <C> <C> <C>
2/15/94 $10.00 100.00 $1,000.00
Dec. 95 12.01 0.290 0.024702 102.88 1,236.62 20.28% -- 12.01%
Jan. 96 12.54 102.88 1,290.12 30.19% -- 13.90%
Feb. 96 12.96 102.88 1,333.32 29.69% -- 15.17%
Mar. 96 12.68 102.88 1,304.52 22.00% -- 13.35%
Apr. 96 12.96 102.88 1,333.32 17.63% -- 13.94%
May 96 13.36 102.88 1,374.48 17.51% -- 14.91%
Jun. 96 13.34 102.88 1,372.42 14.97% -- 14.28%
Jul. 96 13.54 102.88 1,392.97 15.24% -- 14.45%
Aug. 96 13.58 102.88 1,397.09 22.07% -- 14.07%
Sep. 96 13.63 102.88 1,402.23 18.97% -- 13.76%
Oct. 96 13.96 102.88 1,436.18 22.37% -- 14.30%
Nov. 96 14.50 102.88 1,491.74 27.65% -- 15.41%
Dec. 96 13.39 1.125 0.085163 111.64 1,494.86 20.99% -- 15.01%
- -----------------------------------------------------------------------------------------------------------------------------
WRIGHT EQUIFUND -- BRITAIN
4/20/95 $10.00 100.00 $1,000.00
Dec. 95 10.40 0.705 0.069322 106.93 1,111.00 -- -- --
Jan. 96 10.40 106.93 1,112.07 -- -- --
Feb. 96 10.55 106.93 1,128.11 -- -- --
Mar. 96 10.75 0.130 0.012093 108.23 1,163.47 -- -- --
Apr. 96 10.87 108.23 1,176.46 17.76% -- --
May 96 10.91 108.23 1,180.79 15.65% -- 16.08%
Jun. 96 10.90 108.23 1,179.71 14.31% -- 14.81%
Jul 96 10.72 108.23 1,160.18 5.57% -- 12.29%
Aug. 96 11.20 108.23 1,212.12 11.10% -- 15.12%
Sep. 96 11.43 108.23 1,237.02 10.84% -- 15.82%
Oct 96 12.18 108.23 1,318.18 17.49% -- 19.74%
Nov. 96 12.57 108.23 1,360.39 25.27% -- 20.99%
Dec. 96 9.09 3.650 0.410540 154.98 1,408.77 23.75% -- 22.33%
- -----------------------------------------------------------------------------------------------------------------------------
WRIGHT EQUIFUND -- GERMANY
4/19/95 $10.00 100.00 $1,000.00
Dec. 95 9.24 0.050 0.005501 100.55 929.08 -- -- --
Jan. 96 9.45 100.55 950.20 -- -- --
Feb. 96 9.63 100.55 968.30 -- -- --
Mar. 96 9.51 100.55 956.23 -- -- --
Apr. 96 9.19 100.55 924.05 -8.60% -- --
May 96 9.65 100.55 970.31 -5.06% -- -2.66%
Jun. 96 9.94 100.55 999.47 -3.80% -- -0.04%
Jul. 96 9.82 100.55 987.40 -8.49% -- -0.98%
Aug. 96 10.00 100.55 1,005.50 -0.15% -- 0.40%
Sep. 96 10.06 100.55 1,011.53 -0.24% -- 0.79%
Oct. 96 10.13 100.55 1,018.57 5.88% -- 1.21%
Nov. 96 10.48 100.55 1,053.76 15.04% -- 3.29%
Dec. 96 10.63 100.55 1,068.85 15.04% -- 3.99%
- --------------------------------------------------------------------------------------------------------------------------------
<PAGE>
WRIGHT EQUIFUND -- HONG KONG
6/28/90 $10.00 100.00 $1,000.00
Dec. 95 13.03 0.200 0.015522 117.04 1,525.03 1.63% 12.99% 7.98%
Jan. 96 14.31 117.04 1,674.84 21.82% 13.63% 9.68%
Feb. 96 14.22 117.04 1,664.31 11.00% 11.04% 9.41%
Mar. 96 13.82 117.04 1,617.49 7.22% 9.96% 8.73%
Apr. 96 13.89 117.04 1,625.69 9.52% 10.43% 8.69%
May 96 14.24 117.04 1,666.65 3.67% 10.73% 9.02%
Jun. 96 13.99 117.04 1,637.39 6.03% 10.41% 8.57%
Jul. 96 13.59 117.04 1,590.59 1.03% 7.77% 7.93%
Aug. 96 14.08 117.04 1,647.94 7.35% 8.64% 8.44%
Sep. 96 14.85 117.04 1,738.06 11.63% 9.93% 9.25%
Oct. 96 15.41 117.04 1,803.61 16.79% 10.91% 9.76%
Nov. 96 16.59 117.04 1,941.72 28.51% 11.65% 10.90%
Dec. 96 16.47 0.200 0.012369 118.49 1,951.53 27.96% 11.90% 10.83%
- ---------------------------------------------------------------------------------------------------------------------------------
WRIGHT EQUIFUND -- ITALIAN
9/9/96 $10.00 100.00 $1,000.00
Sep. 96 10.20 100.00 1,020.00 -- -- 2.00%
Oct. 96 9.85 100.00 985.00 -- -- -1.50%
Nov. 96 10.50 100.00 1,050.00 -- -- 5.00%
Dec. 96 10.67 100.00 1,067.00 -- -- 6.70%
- ---------------------------------------------------------------------------------------------------------------------------------
WRIGHT EQUIFUND -- JAPAN
2/14/94 $10.00 100.00 $1,000.00
Dec. 95 8.78 101.28 889.24 -9.11% -- -6.07%
Jan. 96 8.66 101.28 877.08 -8.36% -- -6.47%
Feb. 96 8.60 101.28 871.01 -3.04% -- -6.55%
Mar. 96 8.70 101.28 881.14 -7.25% -- -5.78%
Apr. 96 9.37 101.28 948.99 -3.10% -- -2.35%
May 96 8.98 101.28 909.49 -0.77% -- -4.06%
Jun. 96 9.14 101.28 925.70 4.10% -- -3.20%
Jul 96 8.95 101.28 906.41 -0.56% -- -3.92%
Aug. 96 8.44 101.28 854.76 -2.65% -- -5.98%
Sep. 96 8.69 101.28 880.08 1.05% -- -4.75%
Oct. 96 8.07 101.28 817.29 -4.16% -- -7.17%
Nov. 96 8.23 101.28 833.50 -4.08% -- -6.31%
Dec. 96 7.98 101.28 808.21 -9.11% -- -7.13%
- ---------------------------------------------------------------------------------------------------------------------------------
<PAGE>
WRIGHT EQUIFUND -- MEXICO
8/02/94 $10.00 100.00 $1,000.00
Dec. 95 4.22 109.09 460.36 -33.37% -- -42.25%
Jan. 96 4.80 109.09 523.63 2.32% -- -35.08%
Feb. 96 4.47 109.09 487.63 22.29% -- -36.58%
Mar. 96 4.97 109.09 542.18 38.83% -- -30.81%
Apr. 96 5.20 109.09 567.27 22.07% -- -27.75%
May 96 5.30 109.09 578.18 28.02% -- -25.89%
Jun. 96 5.14 109.09 560.72 15.25% -- -26.12%
Jul. 96 4.88 109.09 532.36 -1.41% -- -27.08%
Aug. 96 5.38 109.09 586.90 5.28% -- -22.59%
Sep. 96 5.42 109.09 591.26 11.75% -- -21.57%
Oct. 96 4.97 109.09 542.17 24.56% -- -23.84%
Nov. 96 5.27 109.09 574.90 30.12% -- -21.15%
Dec. 96 5.38 109.09 586.90 27.49% -- -19.80%
- --------------------------------------------------------------------------------------------------------------------------------
WRIGHT EQUIFUND -- NETHERLANDS
6/28/90 $10.00 100.00 $1,000.00
Dec. 95 8.59 0.960 0.112751 159.44 1,369.59 18.84% 9.88% 5.93%
Jan. 96 8.99 159.44 1,433.37 23.17% 10.25% 6.66%
Feb. 96 9.39 159.44 1,497.14 22.93% 10.01% 7.39%
Mar. 96 10.11 159.44 1,611.94 28.28% 12.09% 8.66%
Apr. 96 10.08 159.44 1,607.16 25.32% 11.78% 8.48%
May 96 10.44 159.44 1,664.55 27.38% 13.14% 9.00%
Jun. 96 10.41 159.44 1,659.77 22.71% 14.30% 8.82%
Jul. 96 10.34 159.44 1,648.62 19.36% 13.12% 8.57%
Aug. 96 10.66 159.44 1,699.64 29.36% 14.04% 8.98%
Sep. 96 10.84 159.44 1,728.34 26.44% 13.76% 9.15%
Oct. 96 10.88 159.44 1,734.71 26.24% 14.07% 9.09%
Nov. 96 11.46 159.44 1,827.19 36.83% 15.16% 9.85%
Dec. 96 8.97 2.610 0.307783 208.51 1,870.33 34.81% 14.69% 10.11%
- ---------------------------------------------------------------------------------------------------------------------------------
WRIGHT EQUIFUND -- NORDIC
2/14/94 $10.00 100.00 $1,000.00
Dec. 95 11.33 0.050 0.004537 104.48 1,183.76 19.80% -- 9.31%
Jan. 96 11.42 104.48 1,193.16 21.65% -- 9.33%
Feb. 96 11.99 104.48 1,252.72 24.94% -- 11.56%
Mar. 96 12.18 104.48 1,272.57 30.16% -- 11.90%
Apr. 96 12.50 104.48 1,306.00 23.23% -- 12.74%
May 96 12.71 104.48 1,327.94 26.16% -- 13.06%
Jun. 96 13.08 104.48 1,366.60 26.46% -- 13.94%
Jul. 96 12.68 104.48 1,324.79 15.06% -- 12.02%
Aug. 96 13.22 104.48 1,381.21 24.34% -- 13.43%
Sep. 96 13.51 104.48 1,411.50 20.74% -- 13.92%
Oct. 96 14.00 104.48 1,462.70 26.58% -- 14.95%
Nov. 96 14.53 104.48 1,518.07 30.44% -- 16.00%
Dec. 96 14.78 0.180 0.012544 105.79 1,563.58 32.09% -- 16.68%
- --------------------------------------------------------------------------------------------------------------------------------
<PAGE>
WRIGHT EQUIFUND -- SWITZERLAND
2/14/94 $10.00 100.00 $1,000.00
Dec. 95 11.10 0.050 0.004575 101.00 1,122.11 18.35% -- 6.34%
Jan. 96 10.68 101.00 1,078.68 14.50% -- 3.94%
Feb. 96 11.10 101.00 1,121.11 13.78% -- 5.77%
Mar. 96 11.54 101.00 1,165.54 12.88% -- 7.48%
Apr. 96 11.38 101.00 1,149.38 9.50% -- 6.51%
May 96 11.33 101.00 1,144.33 3.75% -- 6.06%
Jun. 96 11.67 101.00 1,178.67 4.67% -- 7.17%
Jul. 96 11.35 101.00 1,146.40 3.28% -- 5.71%
Aug. 96 11.67 101.00 1,178.72 11.23% -- 6.68%
Sep. 96 11.27 101.00 1,138.32 1.90% -- 5.06%
Oct. 96 11.12 101.00 1,123.17 -0.44% -- 4.38%
Nov. 96 11.39 101.00 1,150.44 5.46% -- 5.15%
Dec. 96 10.85 0.310 0.028545 103.88 1,127.18 5.38% -- 4.25%
- ---------------------------------------------------------------------------------------------------------------------------------
</TABLE>
<PAGE>
Wright EquiFund -- Belgium/Luxembourg
Portfolio of Investments as of December 31, 1996
Shares Description Value
- ---------------------------------------------------------------------------
BEVERAGES -- 2.1%
51,520 Quilmes Industries S.A. $ 412,160
----------
CHEMICALS -- 7.3%
1,490 Solvay Et Cie `A' Npv $ 912,331
1,150 Tessenderlo Chemie 493,901
----------
$ 1,406,232
----------
CONSTRUCTION -- 3.4%
7,120 Cimenteries Cbr Cementbed $ 647,487
----------
DIVERSIFIED -- 4.6%
340 Ucb Sa $ 886,318
----------
ELECTRONICS -- 3.3%
3,620 Barco N.V. (Industries) $ 625,309
----------
FINANCIAL -- 14.2%
4,200 Banque Bruxelles Lambert Ord $ 890,983
2,510 Generale De Banque Sa 899,975
2,820 Kredietbank Npv 924,459
----------
$ 2,715,417
----------
OIL, GAS & COAL - 6.0%
3,630 Petrofina Sa Npv $ 1,155,668
----------
REAL ESTATE & OTHER FINANCIALS -- 22.4%
1,950 Algem Maastch Voor Nijve-Vvpr $ 639,254
13,650 Cie Belge De Paricip Paribas 518,902
6,145 Fortis Ag 985,927
135 Fortis Ag- Strip Vvpr 68
8,900 Gervaert Photo-Producten Nv 617,189
3,920 Royal Belge 809,343
86 Socfinasia 243,976
800 Sofina 479,124
----------
$ 4,293,783
----------
RECREATION -- 3.8%
15,360 Audiofina $ 721,411
----------
RETAILERS -- 9.8%
1,290 Colruyt Sa $ 591,641
12,800 Delhaize Le Ps 760,548
11,900 G.I.B. Holdings Ltd 533,398
----------
$ 1,885,587
----------
UTILITIES -- 18.2%
6,420 Electrabel $ 1,519,778
5,670 Powerfin Sa 866,822
2,320 Reunies Electrobel & Tractebel 1,080,490
2,320 Tractebel Put Warrants 33,640
----------
$ 3,500,730
----------
MISCELLANEOUS -- 1.8%
1,980 Ackermans & Van Haaren $ 348,260
----------
TOTAL INVESTMENTS
(identified cost, $14,996,515)-- 96.9% $18,598,362
OTHER ASSETS, LESS LIABILITIES-- 3.1% 586,787
----------
NET ASSETS-- 100.0% $19,185,149
===========
See notes to financial statements
<PAGE>
Wright EquiFund -- Britain
Portfolio of Investments as of December 31, 1996
Shares Description Value
- ---------------------------------------------------------------------------
BEVERAGES -- 3.3%
14,700 Cadbury Schweppes Plc $ 124,126
----------
CHEMICALS -- 2.9%
21,700 Allied Colloids Group Plc $ 44,832
6,200 Allied Colloids Group Rights 850
5,500 Laporte Plc 64,500
----------
$ 110,182
----------
ELECTRONICS -- 5.6%
6,617 Siebe Plc $ 122,978
6,600 Smiths Industries 90,752
----------
$ 213,730
----------
FINANCIAL -- 8.4%
14,300 Hsbc Holdings Plc $ 320,442
----------
FOOD -- 7.1%
8,030 Unigate Plc $ 57,204
8,800 Unilever Limited 213,716
----------
$ 270,920
----------
MACHINERY & EQUIPMENT -- 3.4%
13,633 Halma Plc $ 44,155
4,000 Powerscreen Int'L 38,748
10,800 Weir Group Plc (The) 48,143
----------
$ 131,046
----------
METAL PRODUCERS -- 1.1%
6,900 Antofagasta Hldgs $ 40,222
----------
METAL PRODUCT MANUFACTURERS -- 1.9%
7,600 Johnson Matthey Public Limited $ 71,666
----------
OIL, GAS & COAL -- 11.5%
2,900 British-Borneo Petro Syndicate $ 40,423
4,700 Burmah Castrol Plc 88,720
17,800 Shell Trnspt & Trdg 307,928
----------
$ 437,071
----------
PRINTING & PUBLISHING -- 3.1%
9,188 Pearson Plc $ 118,067
----------
REAL ESTATE & OTHER FINANCIALS -- 2.8%
8,800 Cattle's Holdings Plc $ 40,359
7,859 Provident Financial Plc 68,045
----------
$ 108,404
----------
RECREATION -- 3.0%
15,000 Rank Group $ 112,643
----------
RETAILERS -- 10.3%
19,300 Marks & Spencer Plc Eng $ 162,471
26,500 Tesco Plc 161,292
25,000 Wm Morrison Supermarkets Plc 70,509
----------
$ 394,272
----------
TRANSPORTATION -- 1.2%
9,400 Christian Salvesen Plc $ 46,254
----------
UTILITIES -- 15.8%
20,888 Cable & Wireless $ 173,870
16,600 National Power Plc (New) 139,173
3,838 Northern Electric Plc 42,574
9,041 Thames Water Plc 95,330
35,262 Vodafone Group Plc 149,328
----------
$ 600,275
----------
MISCELLANEOUS -- 7.7%
13,100 Reuters Holdings Plc $ 168,787
4,000 Watson & Philip Plc 27,089
12,233 Wolseley Plc 97,314
----------
$ 293,190
----------
TOTAL INVESTMENTS
(identified cost, $2,707,104) -- 89.1% $ 3,392,510
OTHER ASSETS, LESS LIABILITIES -- 10.9% 416,215
----------
NET ASSETS -- 100.0% $ 3,808,725
===========
See notes to financial statements
<PAGE>
Wright EquiFund -- Germany
Portfolio of Investments as of December 31, 1996
Shares Description Value
- ---------------------------------------------------------------------------
APPAREL -- 1.0%
180 Boss, Hugo $ 226,389
----------
AUTOMOTIVE -- 3.9%
1,300 Bayerische Motoren Werke AG $ 906,662
----------
CHEMICALS -- 17.7%
28,200 BASF AG German Ord. $ 1,086,575
31,350 Bayer AG 1,279,675
12,400 Henkel KGAA 623,022
23,400 Hoechst AG 1,105,739
----------
$ 4,095,011
----------
CONSTRUCTION -- 3.1%
885 Dyckerhoff $ 244,475
5,780 Heidelberger Zement AG German 467,735
----------
$ 712,210
----------
DIVERSIFIED -- 10.2%
1,810 M.A.N. AG DM50 $ 438,824
21,280 Veba AG 1,231,017
1,750 Viag AG 687,033
----------
$ 2,356,874
----------
DRUGS -- 7.4%
480 Altana Ind-Aktien DM50 $ 373,767
9,600 Beiersdorf 474,852
6,990 Schering AG 590,186
520 Wella AG 275,801
----------
$ 1,714,606
----------
ELECTRONICS -- 8.8%
5,610 SAP AG $ 783,978
23,550 Siemens AG German Ord. 1,109,766
3,800 Vossloh AG 134,612
----------
$ 2,028,356
----------
FINANCIAL -- 11.4%
28,600 Commerzbank AG $ 726,851
23,240 Deutsche Bank AG 1,086,094
27,800 Dresdner Bank AG 833,006
----------
$ 2,645,951
----------
FOOD -- 1.6%
740 Suedzucker Ord. $ 361,222
----------
MACHINERY & EQUIPMENT -- 5.2%
2,010 Fresenius AG $ 415,457
850 Gea Pref Sares 267,680
850 Linde AG German Ord. 519,337
----------
$ 1,202,474
----------
METAL PRODUCERS -- 2.2%
1,110 Degussa AG German Ord. $ 502,512
----------
METAL PRODUCT MANUFACTURERS -- 1.2%
590 Buderus $ 291,453
----------
REAL ESTATE & OTHER FINANCIALS -- 11.3%
790 Allianz AG Holdings Ger. Reg. $ 1,437,764
650 Muenchener Rueckerver 1,182,970
----------
$ 2,620,734
----------
RETAILERS -- 1.9%
7,000 Douglas Holding AG $ 275,268
2,470 Hornbach AG 176,601
----------
$ 451,869
----------
UTILITIES -- 6.2%
440 Rheinelektra DM50 $ 351,771
25,400 RWE AG 1,076,425
----------
$ 1,428,196
----------
MISCELLANEOUS -- 4.4%
730 Friedrich Grohe AG VZ $ 201,658
7,700 Gehe AG 492,980
2,600 Leifheit Ord. 99,707
2,100 Rhoen-Klinikum 219,760
----------
$ 1,014,105
----------
TOTAL INVESTMENTS
(identified cost, $20,265,171) -- 97.5% $22,558,624
OTHER ASSETS, LESS LIABILITIES -- 2.5% 579,007
----------
NET ASSETS -- 100.0% $23,137,631
===========
See notes to financial statements
<PAGE>
Wright EquiFund -- Hong Kong
Portfolio of Investments as of December 31, 1996
Shares Description Value
- ------------------------------------------------------------------------------
AEROSPACE -- 1.0%
114,800 Hong Kong Aircraft Engineering Co. $ 353,254
----------
DIVERSIFIED - 4.8%
242,000 New World Development $ 1,634,818
----------
ELECTRICAL -- 1.4%
176,000 Johnson Electric Holdings-500 $ 486,961
----------
FINANCIAL -- 19.1%
231,887 Bank of East Asia Hong Kong $ 1,031,342
137,000 Hang Seng Bank 1,665,007
154,200 HSBC Holdings PLC 3,299,515
82,200 Wing Lung Bank 557,955
----------
$ 6,553,819
----------
REAL ESTATE & OTHER FINANCIALS -- 23.2%
185,000 Cheung Kong $ 1,644,418
126,000 Guoco Group Ltd. 705,385
372,000 Hang Lung Development Co. Ltd. 817,635
722,000 Henderson Investment Ltd. 863,469
164,000 Henderson Land Development 1,653,888
187,000 Sun Hung Kai Properties Ltd. 2,290,807
----------
$ 7,975,602
----------
RECREATION -- 1.8%
158,000 Television Broadcasts Ltd. $ 631,224
----------
RETAILERS -- 13.8%
123,666 Dickson Concepts Int'l. $ 463,678
301,000 Hutchison Whampoa 2,364,180
284,000 Jardine Int'l. Motor Holdings 380,038
291,000 Sime Darby Hong Kong Limited 366,830
405,000 Wheelock and Co. Ltd. 1,154,600
----------
$ 4,729,326
----------
TRANSPORTATION -- 11.4%
722,000 Cathay Pacific Airways Ltd. $ 1,138,845
31,400 China Motor Bus Company 324,779
230,800 Kowloon Motor Bus Co. (1933) Ltd. 393,892
686,000 Shun Tak Holdings Ltd. 456,772
168,000 Swire Pacific Ltd. "A" 1,601,914
----------
$ 3,916,202
----------
UTILITIES -- 14.8%
283,000 China Light & Power Co. $ 1,258,672
583,800 Hong Kong & China Gas 1,128,426
357,000 Hong Kong Electric Holdings Ltd. 1,186,231
942,000 Hong Kong Telecom 1,516,310
----------
$ 5,089,639
----------
MISCELLANEOUS -- 4.8%
285,000 Citic Pacific Ltd. $ 1,654,468
----------
TOTAL INVESTMENTS
(identified cost, $26,698,687) -- 96.1% $33,025,313
OTHER ASSETS, LESS LIABILITIES -- 3.9% 1,340,935
----------
NET ASSETS -- 100.0% $34,366,248
===========
See notes to financial statements
<PAGE>
Wright EquiFund -- Italian
Portfolio of Investments as of December 31, 1996
Shares Description Value
- ------------------------------------------------------------------------------
APPAREL -- 4.5%
39,500 Benetton SpA $ 490,076
----------
AUTOMOTIVE -- 2.3%
115,000 Sogefi $ 253,629
----------
CONSTRUCTION -- 3.1%
54,000 Sirti SpA $ 331,361
----------
DRUGS -- 3.9%
110,000 Sorin Biomedical SpA $ 420,659
----------
ELECTRICAL -- 1.8%
14,500 Gewiss SpA $ 190,978
----------
ELECTRONICS -- 2.4%
95,000 Tecnost SpA $ 255,252
----------
FINANCIAL -- 9.4%
27,000 Banca Agricola Mantovana $ 202,131
37,500 Banca Credito Agrario Bresci 244,929
20.000 Banca Popolare Di Bergamo 329,272
17,500 Credito Bergamasco Azione No 244,608
----------
$ 1,020,940
----------
FOOD - 3.9%
275,000 Parmalat Finanziaria SpA $ 420,152
----------
MACHINERY & EQUIPMENT - 0.9%
42,500 Comau SpA $ 99,442
----------
METAL PRODUCERS -- 1.7%
8,000 Saes Getters SpA $ 97,570
8,000 Saes Getters Pfd 92,196
----------
$ 189,766
----------
OIL, GAS & COAL - 6.6%
140,000 Eni SpA $ 719,407
----------
REAL ESTATE & OTHER FINANCIALS -- 11.6%
64,100 Alleanza Asicurazioni Spa $ 443,993
43,750 Assicurazione generali Itl 818,703
----------
$ 1,262,696
----------
RETAILERS - 5.1%
182,500 Ifil Finanz Di Partecipazoni $ 554,771
----------
UTILITIES -- 31.0%
79,000 Edison SpA $ 497,515
295,000 Sondel-Societa Nordelettrica 661,297
290,000 Stet 1,316,411
345,000 Telicom Italia SpA 895,160
----------
$ 3,370,383
----------
MISCELLANEOUS -- 5.7%
260,000 Autostrade-Con E Cost $ 510,240
18,000 Industrie Zignagos Margherita 110,359
----------
$ 620,599
----------
TOTAL INVESTMENTS
(identified cost, $9,291,665) -- 93.9% $10,200,111
OTHER ASSETS, LESS LIABILITIES -- 6.1% 661,070
----------
NET ASSETS -- 100.0% $10,861,181
===========
See notes to financial statements
<PAGE>
Wright EquiFund -- Japan
Portfolio of Investments as of December 31, 1996
Shares Description Value
- ------------------------------------------------------------------------------
BEVERAGES -- 2.3%
18,000 Chukyo Coca-Cola Bottling Co. $ 163,135
18,000 Mikuni Coca-Cola Bottling 233,050
----------
$ 396,185
----------
CHEMICALS - 5.4%
48,000 Bridgestone Corp. $ 911,484
----------
CONSTRUCTION -- 10.6%
13,000 Chudenko Corp. $ 374,779
14,000 Danto Corp. 136,550
11,000 Kaneshita Construction 104,441
48,000 Nishimatsu Construction Co. 418,454
31,000 Sumitomo Forestry 369,255
15,700 Taihei Dengyo 155,841
18,375 Yurtec Corp. 249,007
----------
$ 1,808,327
----------
DIVERSIFIED -- 1.0%
24,000 Toho Real Estate Co. Ltd. $ 163,860
----------
DRUGS -- 28.8%
36,000 Daiichi Pharmaceutical $ 577,964
17,000 Ono Pharmaceutical 506,236
32,000 Sankyo Co. Ltd. 905,960
17,150 Santen Pharmaceutical 355,272
33,000 Taisho Pharmaceutical Co. Ltd. 777,610
53,000 Takeda Chem Industries Ltd. 1,111,648
33,000 Yamanouchi Pharmaceutical 677,916
----------
$ 4,912,606
----------
ELECTRONICS -- 12.6%
4,500 Keyence Corp. $ 555,436
14,000 Kyocera Corp. 872,470
22,000 Murata Mfg. Co. Ltd. 721,592
----------
$ 2,149,498
----------
MACHINERY & EQUIPMENT -- 3.2%
21,400 Kurita Water Industries $ 432,230
11,000 Sansei Yusoki 121,531
----------
$ 553,761
----------
OIL, GAS & COAL -- 2.6%
62,000 General Sekiyu K.K. $ 439,360
----------
PRINTING & PUBLISHING -- 6.2%
49,000 Dai Nippon Printing Co. Ltd. $ 858,573
25,000 Kyodo Printing Co. 200,682
----------
$ 1,059,255
----------
RETAILERS -- 18.3%
11,600 Familymart $ 463,580
24,000 Ito Yokado Co. 1,044,064
23,120 Seven Eleven Japan Ltd. 1,353,015
9,000 York-Benimaru Co. Ltd. 250,917
----------
$ 3,111,576
----------
TRANSPORTATION -- 4.0%
100,000 Nippon Express Co. $ 685,339
----------
MISCELLANEOUS -- 2.1%
25,000 Inabata & Co. $ 152,993
17,000 Wakita & Co. 205,429
----------
$ 358,422
----------
TOTAL INVESTMENTS
(identified cost, $18,085,952) -- 97.1% $16,549,673
OTHER ASSETS, LESS LIABILITIES -- 2.9% 491,266
----------
NET ASSETS -- 100.0% $17,040,939
===========
See notes to financial statements
<PAGE>
Wright EquiFund -- Mexico
Portfolio of Investments as of December 31, 1996
Shares Description Value
- ----------------------------------------------------------------------------
BEVERAGES -- 7.5%
290,000 Fomento Economico Mexicano $ 994,159
131,000 Grupo Continental SA-Ser CP 648,680
----------
$ 1,642,839
----------
CONSTRUCTION -- 13.6%
149,000 Apasco SA $ 1,021,585
421,820 Cemex SA - CPO 1,510,325
400,000 Grupo Cementos Chihuahua-B 464,195
----------
$ 2,996,105
----------
DIVERSIFIED -- 14.0%
230,213 Alfa SA-A $ 1,062,499
169,000 Desc Sociedad de Fomento Indl 922,676
207,000 Grupo Carso SA* 1,090,719
----------
$ 3,075,894
----------
FOOD -- 12.7%
158,755 Gruma SA $ 967,527
180,000 Grupo Industrial Bimbo-Ser A 1,028,441
631,000 Grupo Industrial Maseca B 799,566
----------
$ 2,795,534
----------
METAL PRODUCERS -- 4.7%
331,000 Grupo Mexico SA Ser B* $ 1,029,647
----------
METAL PRODUCT MFRS. -- 3.5%
49,000 Tubos De Acero $ 774,568
----------
PAPER -- 6.1%
68,523 Kimberly-Clark de Mexico-B $ 1,352,886
----------
REAL ESTATES & OTHER FINANCIALS -- 5.1%
538,000 Grupo Financieri Banamex $ 1,135,292
----------
RECREATION -- 4.7%
81,000 Grupo Televisa SA-Ser CPO* $ 1,038,725
----------
RETAILERS -- 7.7%
817,000 Cifra SA de CV B* $ 995,836
770,000 Controladora Coml Mexicana B* 699,022
----------
$ 1,694,858
----------
TOBACCO -- 4.9%
218,000 Empressa La Moderna Ser ACP $ 1,079,482
----------
TRANSPORTATION -- 1.5%
69,000 Transport Maritima 'A' Shares $ 335,100
----------
UTILITIES -- 11.9%
1,595,000 Telefonos de Mexico $ 2,628,631
----------
MISCELLANEOUS -- 1.6%
764,000 Grupo Posadas Sa De CV $ 345,332
----------
TOTAL INVESTMENTS
(identified cost, $19,508,778) -- 99.5% $21,924,893
OTHER ASSETS, LESS LIABILITIES -- 0.5% 102,771
----------
NET ASSETS -- 100.0% $22,027,664
===========
* Non-income producing security.
See notes to financial statements
<PAGE>
Wright EquiFund -- Netherlands
Portfolio of Investments as of December 31, 1996
Shares Description Value
- -----------------------------------------------------------------------------
BEVERAGES -- 5.1%
2,200 Grolsch N.V. $ 85,345
1,690 Heineken N.V. 299,231
----------
$ 384,576
----------
CHEMICALS -- 4.0%
2,200 Akzo Dutch Ord. $ 300,620
----------
CONSTRUCTION -- 3.1%
385 Hollandesche Beton Group N.V. $ 79,782
3,621 Koninklijke Boskalis 73,380
816 Volker Stevin 76,304
----------
$ 229,466
----------
DIVERSIFIED -- 0.5%
640 Atag Hlding N.V. $ 34,685
----------
ELECTRONICS -- 6.4%
5,876 Getronics N.V. $ 159,565
8,100 Philips Electronics NV 328,296
----------
$ 487,861
----------
FINANCIAL -- 4.6%
5,321 ABN Amro Holdings $ 346,292
----------
FOOD -- 13.2%
2,721 CSM N.V. Cert. $ 151,245
1,223 Nutricia Verenidge Bedrijven 185,882
3,720 Unilever N.V. 658,232
----------
$ 995,359
----------
MACHINERY & EQUIPMENT -- 1.7%
1,204 Oce-Van Der Grinten $ 130,780
----------
METAL PRODUCT MANUFACTURERS -- 2.4%
1,800 Hunter Douglas N.V. $ 121,417
1,209 Twentsche Kabel Holding N.V. 63,002
----------
$ 184,419
----------
OIL, GAS & COAL -- 12.5%
5,400 Royal Dutch Petroleum Co. $ 947,056
----------
PRINTING & PUBLISHING -- 12.5%
19,600 Elsevier $ 331,376
5,240 Telegraf (Holdingsmij) - CVA 110,437
10,100 Verenigde Nederlandse 211,111
2,200 Wolters Kluwer N.V. 292,340
----------
$ 945,264
----------
REAL ESTATE & OTHER FINANCIALS -- 12.9%
5,863 Aegon N.V. $ 373,757
7,390 Fortis Amev N.V. 258,870
9,524 Ing Groep N.V. 342,981
----------
$ 975,608
----------
RECREATION -- 3.9%
5,800 Polygram $ 295,524
----------
RETAILERS -- 3.8%
4,613 Koninklijke Ahold N.V. $ 288,463
----------
TEXTILES -- 0.9%
1,400 Gamma Holding N.V. $ 67,605
----------
MISCELLANEOUS -- 4.0%
2,287 Hagemeyer N.V. $ 182,870
2,150 IHC Caland N.V. 122,868
----------
$ 305,738
----------
TOTAL INVESTMENTS
(identified cost, $5,794,805) -- 91.5% $ 6,919,316
OTHER ASSETS, LESS LIABILITIES -- 8.5% 646,712
----------
NET ASSETS -- 100.0% $ 7,566,028
===========
See notes to financial statements
<PAGE>
Wright EquiFund -- Nordic
Portfolio of Investments as of December 31, 1996
Shares Description Value
- ------------------------------------------------------------------------------
BEVERAGES -- 3.4%
3,590 Carlsberg AS - B $ 242,658
----------
CHEMICALS -- 12.9%
13,450 AGA AB B Free $ 201,043
306 Cheminova A/S- "B" 81,590
700 Christian Hansen Holding - B 93,798
7,150 Norsk Hydro 388,258
7,050 Perstorp AB - B Shs 142,572
----------
$ 907,261
----------
CONSTRUCTION -- 6.2%
290 Icopal $ 73,803
6,150 Skanska B Free 271,725
720 Superfos AS 91,097
----------
$ 436,625
----------
DIVERSIFIED -- 8.9%
3,200 Incentive Ab-B $ 232,125
3,150 Kvaerner 153,501
2,960 Orkla A/S-B-Aksjer 187,677
4,220 Unitor AS 54,308
----------
$ 627,611
----------
DRUGS -- 17.9%
12,250 Astra AB B Free Shares $ 590,608
920 Coloplast B A/S 104,684
1,650 Novo-Nordisk AS 311,046
4,400 Orion A/S-B 169,385
1,350 Radiometer A/S -"B" 80,245
----------
$ 1,255,968
----------
ELECTRICAL -- 3.1%
3,750 Electrolux $ 217,618
----------
ELECTRONICS -- 7.3%
16,500 Ericsson Ab B Free $ 510,192
----------
FINANCIAL -- 3.9%
9,590 Svenska Handelsbanken - "A" $ 275,450
----------
FOOD -- 2.9%
3,300 Danisco A/S $ 200,639
----------
MACHINERY & EQUIPMENT -- 7.7%
9,430 Atlas Copco AB A Free $ 228,015
11,450 Sandvik AB B Fria 310,416
----------
$ 538,431
----------
OIL, GAS & COAL -- 2.5%
10,300 Saga Petroleum A/S-A Shs $ 172,965
----------
REAL ESTATE & OTHER FINANCIALS -- 5.8%
2,800 ABB AB B $ 316,769
3,100 Om Gruppa AB Free 93,129
----------
$ 409,898
----------
RETAILERS -- 3.9%
2,000 Hennes & Mauritz AB B-F $ 276,675
----------
UTILITIES -- 6.5%
6,310 Graningeverkens $ 114,662
6,430 Gullspangs Kraft - "B" Free 114,958
10,600 Sydkraft AB - A Free 229,898
----------
$ 459,518
----------
MISCELLANEOUS -- 2.9%
1,603 Sophus Berendsen $ 206,356
----------
TOTAL INVESTMENTS
(identified cost, $5,580,943) -- 95.8% $ 6,737,865
OTHER ASSETS, LESS LIABILITIES -- 4.2% 293,111
----------
NET ASSETS -- 100.0% $ 7,030,976
===========
At December 31, 1996, the concentration of the Portfolio's investments in the
Nordic countries, determined as a percentage of total investments, is as
follows: DENMARK - 21.1%, FINLAND - 2.4%, NORWAY - 13.6%, and SWEDEN - 58.7%.
See notes to financial statements
<PAGE>
Wright EquiFund -- Switzerland
Portfolio of Investments as of December 31, 1996
Shares Description Value
- ------------------------------------------------------------------------------
CHEMICALS -- 4.4%
45 Ems-Chemie Holding AG $ 168,099
50 Sarna Kunsstof Hldg AG-Reg. 47,254
60 Siegfried AG-R 55,988
----------
$ 271,341
----------
CONSTRUCTION -- 5.6%
360 Holderbank Finan Glaris-B $ 257,124
360 Sika Finanz AG-Bearer 86,066
----------
$ 343,190
----------
DRUGS -- 22.7%
267 Novartis AG-Bearer $ 305,599
364 Novartis AG-Reg 416,894
85 Roche Holding AG-Genuschein 661,393
----------
$ 1,383,886
----------
ELECTRICAL -- 7.0%
230 ABB AG $ 286,104
225 Hilti AG-PC 144,397
----------
$ 430,501
----------
FINANCIAL -- 15.9%
2,780 CS Holdings Reg SHS $ 285,581
110 Baer Hldg. AG-(Br) 115,301
320 Schweiz Bankgesellschaft B 280,433
1,520 Schweizerischer Bankverein 289,010
----------
$ 970,325
----------
FOOD -- 7.9%
50 Lindt & Spruengli AG-PC $ 82,555
375 Nestle 402,596
----------
$ 485,151
----------
MACHINERY & EQUIPMENT - 2.6%
140 Nokia Maillefersa SA Bearer $ 54,912
40 Schweiz Ind. Gesselschaft 101,307
----------
$ 156,219
----------
METAL PRODUCERS - 1.9%
150 Alusuise-Lonza Holdings $ 117,333
----------
REAL ESTATE & OTHER FINANCIALS -- 15.1%
185 Intershop Holdings-Br $ 93,295
270 Schw Rueckversicherungs-Reg 288,256
440 Winterthur Schweiz Vers-R 254,434
1,040 Zurich Versicherungs-Reg 289,040
----------
$ 925,025
----------
RETAILERS -- 1.6%
510 Valora Holding AG $ 97,542
----------
TEXTILES -- 1.4%
210 Forbo Holdings AG-R $ 84,722
----------
UTILITIES -- 1.3%
390 Elek-Gesellsc Laufenbourg $ 78,670
----------
MISCELLANEOUS -- 9.6%
160 Kardex B $ 44,228
140 Keramik Holding AG Laufen BR 71,020
1,730 S.M.H. Ag-Reg. 10SFR 246,866
90 SGS Soc. Gen. Surveillance-R 221,218
----------
$ 583,332
----------
TOTAL INVESTMENTS
(identified cost, $5,710,944) -- 97.0% $ 5,927,237
OTHER ASSETS, LESS LIABILITIES -- 3.0% 181,266
----------
NET ASSETS -- 100.0% $ 6,108,503
===========
See notes to financial statements
<PAGE>
Statements of Assets and Liabilities
December 31, 1996
<TABLE>
<CAPTION>
THE WRIGHT EQUIFUND EQUITY TRUST
BELGIUM/
LUXEMBOURG BRITAIN GERMANY
SERIES SERIES SERIES
- -------------------------------------------------------------------------------------------------------------------------------
ASSETS:
<S> <C> <C> <C>
Investments --
Identified cost................................. $14,996,515 $ 2,707,104 $20,265,171
Unrealized appreciation......................... 3,601,847 685,406 2,293,453
----------- ----------- -----------
Total value (Note 1A)......................... $18,598,362 $ 3,392,510 $22,558,624
Cash.............................................. 508,320 155,860 542,705
Foreign cash...................................... 3,357 -- 112,870
Receivable for investments sold................... 511,082 -- --
Receivable for Fund shares sold................... 28,270 225,245 21,830
Receivable from Investment Adviser................ -- 2,410 --
Dividends receivable.............................. 221 19,019 --
Tax reclaim receivable............................ 50,773 20,756 30,366
Deferred organization expenses (Note 1F).......... 4,628 9,998 9,989
----------- ----------- -----------
Total Assets.................................. $19,705,013 $ 3,825,798 $23,276,384
----------- ----------- -----------
LIABILITIES:
Payable for investments purchased................. $ 483,826 $ -- $ 112,867
Payable for Fund shares reacquired................ 25,068 8,415 14,272
Payable for open forward foreign currency exchange
contracts (Notes I & 7)........................ 1,204 -- --
Trustees fees payable............................. 25 25 25
Accrued expenses.................................. 9,741 8,633 11,589
----------- ----------- -----------
Total Liabilities............................. $ 519,864 $ 17,073 $ 138,753
----------- ----------- -----------
NET ASSETS.......................................... $19,185,149 $ 3,808,725 $23,137,631
============ ============ ============
NET ASSETS CONSIST OF:
Paid in capital..................................... $15,503,608 $ 3,270,191 $21,577,732
Accumulated undistributed net realized gain (loss) on
investment and foreign currency transactions (computed
on the basis of identified cost)................... (16,323) (2,508) (784,580)
Unrealized appreciation of investments and
translation of assets and liabilities in foreign currencies
(computed on the basis of identified cost)......... 3,601,327 688,077 2,293,241
Undistributed net investment income................. 96,537 (147,035) 51,238
----------- ----------- -----------
Net assets applicable to outstanding shares....... $19,185,149 $ 3,808,725 $23,137,631
============ ============ ============
SHARES OF BENEFICIAL INTEREST
OUTSTANDING........................................ 1,433,073 419,188 2,175,651
============ ============ ============
NET ASSET VALUE, OFFERING PRICE,
AND REDEMPTION PRICE PER SHARE
OF BENEFICIAL INTEREST (Note 8).................... $13.39 $9.09 $10.63
============ ============ ============
</TABLE>
See notes to financial statements
<PAGE>
Statements of Assets and Liabilities
December 31, 1996
<TABLE>
<CAPTION>
THE WRIGHT EQUIFUND EQUITY TRUST
HONG KONG ITALIAN JAPAN MEXICO
SERIES SERIES SERIES SERIES
- ---------------------------------------------------------------------------------------------------------------------------------
ASSETS:
<S> <C> <C> <C> <C>
Investments --
Identified cost................................. $26,698,687 $ 9,291,665 $18,085,952 $19,508,778
Unrealized appreciation (depreciation).......... 6,326,626 908,446 (1,536,279) 2,416,115
----------- ----------- ----------- -----------
Total value (Note 1A)......................... $33,025,313 $10,200,111 $16,549,673 $21,924,893
Cash.............................................. 1,494,598 41,753 550,471 107,433
Receivable for investments sold................... -- 613,723 -- --
Receivable from Investment Adviser................ -- 12,193 -- --
Receivable for Fund shares sold................... 78,845 6,120 34,048 96,650
Tax reclaim receivable............................ -- -- 431 --
Dividends receivable.............................. 62,383 -- 8,564 --
Deferred organization expenses (Note 1F).......... -- 16,876 3,941 8,941
----------- ----------- ----------- -----------
Total Assets.................................. $34,661,139 $10,890,776 $17,147,128 $22,137,917
----------- ----------- ----------- -----------
LIABILITIES:
Payable for Fund shares reacquired................ $ 285,011 14,245 96,431 105,490
Payable for open forward foreign currency
exchange contracts (Notes 1I & 7)................ -- 4,262 -- --
Trustees fees payable............................. 25 25 25 25
Investment Adviser fee payable.................... -- 982 -- --
Distribution fee payable.......................... -- 2,994 -- --
Accrued expenses.................................. 9,855 5,857 9,733 4,738
----------- ----------- ----------- -----------
Total Liabilities............................. $ 294,891 $ 28,365 $ 106,189 $ 110,253
----------- ----------- ----------- -----------
NET ASSETS.......................................... $34,366,248 $10,862,411 $17,040,939 $22,027,664
============ ============ ============ ============
NET ASSETS CONSIST OF:
Paid in capital..................................... $32,640,233 $10,096,595 $20,302,540 $25,320,826
Accumulated undistributed net realized loss on
investment and foreign currency transactions (computed
on the basis of identified cost)................... (5,311,906) (142,214) (1,724,576) (5,709,277)
Unrealized appreciation (depreciation) of investments and
translation of assets and liabilities in foreign currencies
(computed on the basis of identified cost)......... 6,326,614 908,030 (1,536,425) 2,416,115
Undistributed (distributions in excess of) net investment
income............................................. 711,307 -- (600) --
----------- ----------- ----------- -----------
Net assets applicable to outstanding shares....... $34,366,248 $10,862,411 $17,040,939 $22,027,664
============ ============ ============ ============
SHARES OF BENEFICIAL INTEREST
OUTSTANDING........................................ 2,086,917 1,017,792 2,135,019 4,093,791
============ ============ ============ ============
NET ASSET VALUE, OFFERING PRICE,
AND REDEMPTION PRICE PER SHARE
OF BENEFICIAL INTEREST (Note 8).................... $16.47 $10.67 $7.98 $5.38
============ ============ ============ ============
</TABLE>
See notes to financial statements
<PAGE>
Statements of Assets and Liabilities
December 31, 1996
<TABLE>
<CAPTION>
THE WRIGHT EQUIFUND EQUITY TRUST
NETHERLANDS NORDIC SWITZERLAND
SERIES SERIES SERIES
- ----------------------------------------------------------------------------------------------------------------------------------
ASSETS:
<S> <C> <C> <C>
Investments --
Identified cost................................. $ 5,794,805 $ 5,580,943 $ 5,710,944
Unrealized appreciation......................... 1,124,511 1,156,922 216,293
----------- ----------- -----------
Total value (Note 1A)......................... $ 6,919,316 $ 6,737,865 $ 5,927,237
Cash.............................................. 484,509 246,648 127,953
Foreign cash...................................... 3,644 106,837 --
Receivable for Fund shares sold................... 170,762 66,352 1,500
Tax reclaim receivable............................ 10,173 1,564 65,398
Deferred organization expenses (Note 1F).......... -- 3,941 4,567
Dividend receivable............................... 1,172 -- --
Receivable from Investment Adviser................ 1,925 1,725 4,530
----------- ----------- -----------
Total Assets.................................. $ 7,591,501 $ 7,164,932 $ 6,131,185
----------- ----------- -----------
LIABILITIES:
Payable for Fund shares reacquired................ $ 16,922 $ 13,107 $ 12,850
Payable for investments purchased................. -- 106,837 --
Trustees fees payable............................. 25 25 25
Accrued expenses.................................. 8,526 13,987 9,807
----------- ----------- -----------
Total Liabilities............................. $ 25,473 $ 133,956 $ 22,682
----------- ----------- -----------
NET ASSETS.......................................... $ 7,566,028 $ 7,030,976 $ 6,108,503
============ ============ ============
NET ASSETS CONSIST OF:
Paid in capital..................................... $ 6,472,630 $ 5,565,496 $ 5,821,498
Accumulated undistributed net realized gain (loss) on
investment and foreign currency transactions
(computed on the basis of identified cost)......... (4,813) 278,079 73,732
Unrealized appreciation of investments and
translation of assets and liabilities in foreign currencies
(computed on the basis of identified cost)......... 1,124,263 1,157,193 208,867
Undistributed (distributions in excess of)
net investment income............................. (26,052) 30,208 4,406
----------- ----------- -----------
Net assets applicable to outstanding shares....... $ 7,566,028 $ 7,030,976 $ 6,108,503
============ ============ ============
SHARES OF BENEFICIAL INTEREST
OUTSTANDING........................................ 843,777 475,856 563,199
============ ============ ============
NET ASSET VALUE, OFFERING PRICE,
AND REDEMPTION PRICE PER SHARE
OF BENEFICIAL INTEREST (Note 8).................... $8.97 $14.78 $10.85
============ ============ ============
</TABLE>
See notes to financial statements
<PAGE>
Statements of Operations
For the Year Ended December 31, 1996
<TABLE>
<CAPTION>
THE WRIGHT EQUIFUND EQUITY TRUST
BELGIUM/
LUXEMBOURG BRITAIN GERMANY
SERIES SERIES SERIES
- --------------------------------------------------------------------------------------------------------------------------------
INVESTMENT INCOME:
<S> <C> <C> <C>
Income --
Dividends...................................... $ 562,107 $ 381,842 $ 334,496
Less: Foreign taxes........................... (82,342) (63,419) (36,625)
----------- ----------- -----------
Total investment income........................ $ 479,765 $ 318,423 $ 297,871
----------- ----------- -----------
Expenses --
Investment Adviser fee (Note 2)................ $ 131,163 $ 53,712 $ 150,387
Administrator fee (Note 2)..................... 17,488 7,162 20,052
Audit fees..................................... 11,400 10,900 11,400
Compensation of Trustees not affiliated with
the Investment Adviser or Administrator...... 709 1,152 988
Custodian fee (Note 1E)........................ 50,971 42,330 57,259
Transfer & dividend disbursing agent fees...... 6,195 3,185 7,061
Shareholder communication expense.............. 8,253 5,820 9,161
Distribution expenses (Note 3)................. 43,721 17,905 50,129
Legal services................................. 992 992 992
Registration costs............................. 12,567 15,071 13,795
Amortization of organization expense (Note 1F). 2,209 3,609 3,609
Printing....................................... 4,131 3,381 3,381
Interest expense............................... 31 65 189
Miscellaneous.................................. 4,493 7,135 8,961
----------- ----------- -----------
Total expenses................................. $ 294,323 $ 172,419 $ 337,364
----------- ----------- -----------
Deduct --
Reduction of Investment Adviser Fee (Note 2). $ -- $ 2,105 $ --
Allocation of expenses to Investment Adviser
(Note 2).................................... -- 2,410 --
Reduction of distribution expense by Principal
Underwriter (Note 3)........................ -- 702 --
Reduction of custodian fee (Note 1E)......... 23,704 24,246 23,124
----------- ----------- -----------
Total deducted............................. $ 23,704 $ 29,463 $ 23,124
----------- ----------- -----------
Net expenses................................. $ 270,619 $ 142,956 $ 314,240
----------- ----------- -----------
Net investment income (loss)............... $ 209,146 $ 175,467 $ (16,369)
----------- ----------- -----------
REALIZED AND UNREALIZED GAIN (LOSS):
Net realized gain (loss) on investment and foreign
currency transactions (identified cost basis)... $ 1,491,743 $ 1,028,628 $ (551,241)
Change in unrealized appreciation of investments and
translation of assets and liabilities in
foreign currencies.............................. 1,531,687 90,482 3,446,304
----------- ----------- -----------
Net realized and unrealized gain............. $ 3,023,430 $ 1,119,110 $ 2,895,063
----------- ----------- -----------
Net increase in net assets
from operations............................ $ 3,232,576 $ 1,294,577 $ 2,878,694
============ ============ ============
</TABLE>
See notes to financial statements
<PAGE>
Statements of Operations
For the Year Ended December 31, 1996
<TABLE>
<CAPTION>
THE WRIGHT EQUIFUND EQUITY TRUST
HONG KONG ITALIAN JAPAN MEXICO
SERIES SERIES(1) SERIES SERIES
- --------------------------------------------------------------------------------------------------------------------------------
INVESTMENT INCOME:
<S> <C> <C> <C> <C>
Income --
Dividends...................................... $ 910,840 $ -- $ 136,204 $ 391,476
Less: Foreign taxes............................ -- -- (20,431) --
----------- ----------- ----------- -----------
Total investment income........................ $ 910,840 $ -- $ 115,773 $ 391,476
----------- ----------- ----------- -----------
Expenses --
Investment Adviser fee (Note 2)................ $ 210,176 $ 22,157 $ 144,668 $ 231,258
Administrator fee (Note 2)..................... 28,023 2,953 19,289 30,835
Audit fees..................................... 12,600 350 12,600 12,100
Compensation of Trustees not affiliated with
the Investment Adviser or Administrator....... 1,653 194 759 1,119
Custodian fee (Note 1E)........................ 80,693 17,190 56,342 56,249
Transfer & dividend disbursing agent fees...... 9,033 918 6,743 9,974
Shareholder communication expense.............. 11,475 286 12,463 19,395
Distribution expenses (Note 3)................. 70,058 7,386 48,541 77,086
Legal services................................. 950 423 992 992
Registration costs............................. 14,617 3,360 15,031 18,751
Amortization of organization expense (Note 1F). -- 1,124 1,856 3,404
Printing....................................... 3,381 -- 3,338 3,338
Interest expense............................... 7,139 -- 6,587 14,933
Miscellaneous.................................. 5,799 2,173 8,129 10,242
----------- ----------- ----------- -----------
Total expenses................................. $ 455,597 $ 58,514 $ 337,338 $ 489,676
Deduct --
Reduction of custodian fee (Note 1E)......... 53,172 16,190 19,069 56,249
----------- ----------- ----------- -----------
Net expenses................................. $ 402,425 $ 42,324 $ 318,269 $ 433,427
----------- ----------- ----------- -----------
Net investment income (loss)............... $ 508,415 $ (42,324) $ (202,496) $ (41,951)
----------- ----------- ----------- -----------
REALIZED AND UNREALIZED GAIN (LOSS):
Net realized gain (loss) on investment and foreign
currency transactions (identified cost basis)... $ 566,477 $ (151,782) $ 12,609 $ 3,797,417
Change in unrealized appreciation (depreciation) of
investments and translation of assets and liabilities
in foreign currencies........................... 6,216,698 908,030 (1,695,909) 2,713,474
----------- ----------- ----------- -----------
Net realized and unrealized gain (loss) ....... $ 6,783,175 $ 756,248 $ (1,683,300) $ 6,510,891
----------- ----------- ----------- -----------
Net increase (decrease) in net assets from
operations.................................... $ 7,291,590 $ 713,924 $ (1,885,796) $ 6,468,940
============ ============ ============ ============
<FN>
(1) For the period from the start of business, September 9, 1996, to December
31, 1996.
</FN>
</TABLE>
See notes to financial statements
<PAGE>
Statements of Operations
For the Year Ended December 31, 1996
<TABLE>
<CAPTION>
THE WRIGHT EQUIFUND EQUITY TRUST
NETHERLANDS NORDIC SWITZERLAND
SERIES SERIES SERIES
- --------------------------------------------------------------------------------------------------------------------------------
INVESTMENT INCOME:
<S> <C> <C> <C>
Income --
Dividends...................................... $ 230,816 $ 85,707 $ 172,571
Less: Foreign taxes........................... (34,631) (12,856) (25,871)
----------- ----------- -----------
Total investment income........................ $ 196,185 $ 72,851 $ 146,700
----------- ----------- -----------
Expenses --
Investment Adviser fee (Note 2)................ $ 52,195 $ 37,679 $ 55,526
Administrator fee (Note 2)..................... 6,959 5,024 7,403
Audit fees..................................... 8,050 8,300 9,223
Compensation of Trustees not affiliated with
the Investment Adviser or Administrator....... 3,713 759 716
Custodian fee (Note 1E)........................ 46,761 46,946 39,992
Transfer & dividend disbursing agent fees...... 2,494 1,813 2,587
Shareholder communication expense.............. 3,261 5,243 7,981
Distribution expenses (Note 3)................. 17,348 12,624 18,613
Legal services................................. 1,457 992 568
Registration costs............................. 14,371 11,603 12,345
Amortization of organization expense (Note 1F). -- 1,856 2,159
Printing....................................... 3,381 3,381 1,414
Interest expense............................... 750 540 486
Miscellaneous.................................. 4,939 3,310 4,602
----------- ----------- -----------
Total expenses................................. $ 165,679 $ 140,070 $ 163,615
----------- ----------- -----------
Deduct --
Reduction of Investment Adviser fee
(Note 2).................................... $ 4,216 $ 14,494 $ 3,944
Allocation of expenses to Investment Adviser. 1,925 1,725 4,530
Reduction of distribution expenses
by Principal Underwriter (Note 3)........... 5,104 12,624 1,315
Reduction of custodian fee (Note 1E)......... 16,011 10,855 5,792
----------- ----------- -----------
Total deducted............................... $ 27,256 $ 39,698 $ 15,581
----------- ----------- -----------
Net expenses................................. $ 138,423 $ 100,372 $ 148,034
----------- ----------- -----------
Net investment income (loss)............... $ 57,762 $ (27,521) $ (1,334)
----------- ----------- -----------
REALIZED AND UNREALIZED GAIN (LOSS):
Net realized gain on investment and foreign currency
transactions (identified cost basis)............ $ 1,625,807 $ 639,128 $ 279,574
Change in unrealized appreciation (depreciation) of
investments and transactions of assets and liabilities
in foreign currencies........................... 596,237 774,974 (224,621)
----------- ----------- -----------
Net realized and unrealized gain............. $ 2,222,044 $ 1,414,102 $ 54,953
----------- ----------- -----------
Net increase in net assets
from operations............................. $ 2,279,806 $ 1,386,581 $ 53,619
============ ============ ============
See notes to financial statements
</TABLE>
<PAGE>
Statements of Changes in Net Assets
<TABLE>
<CAPTION>
THE WRIGHT EQUIFUND EQUITY TRUST
BELGIUM/LUXEMBOURG SERIES BRITAIN SERIES GERMANY SERIES
Year Ended Dec. 31 Year Ended Dec. 31 Year Ended Dec. 31
1996 1995 1996 1995(1) 1996 1995(2)
- -------------------------------------------------------------------------------------------------------------------------------
INCREASE (DECREASE) IN NET ASSETS:
From operations --
<S> <C> <C> <C> <C> <C> <C>
Net investment income (loss)....... $ 209,146 $ 209,663 $ 175,467 $ 311,714 $ (16,369) $ 100,527
Net realized gain (loss)........... 1,491,743 357,022 1,028,628 812,736 (551,241) (234,821)
Change in unrealized appreciation
(depreciation)................... 1,531,687 1,933,707 90,482 597,595 3,446,304 (1,153,063)
---------- ---------- ---------- ---------- ---------- ----------
Increase (decrease) in net assets
from operations................ $ 3,232,576 $ 2,500,392 $ 1,294,577 $ 1,722,045 $ 2,878,694 $(1,287,357)
Distributions to shareholders from
net investment income.............. (131,084) (60,821) (21,078) (189,522) -- (89,834)
Distributions to shareholders from
net realized gains................. (1,343,612) (291,155) (1,142,102) (701,234) -- --
Undistributed net investment
income (loss) included in price of shares
sold and redeemed (Note 1D)........ 34,371 (11,411) (107,867) (37,601) 20,883 30,450
Net increase (decrease) from Fund share
transactions (exclusive of amounts
allocated to net investment income)
(Note 4)........................... 2,640,023 1,179,035 (10,146,831) 13,138,338 3,819,094 17,765,701
---------- ---------- ---------- ---------- ---------- ----------
Net increase (decrease) in
net assets.......................$ 4,432,274 $ 3,316,040 $(10,123,301)$13,932,026 $ 6,718,671 $16,418,960
NET ASSETS:
At beginning of year................. 14,752,875 11,436,835 13,932,026 -- 16,418,960 --
---------- ---------- ---------- ---------- ---------- ----------
At end of year....................... $19,185,149 $ 14,752,875 $ 3,808,725 $13,932,026 $23,137,631 $16,418,960
========== ========== ========== ========== ========== ==========
UNDISTRIBUTED(DISTRIBUTIONS IN EXCESS OF)
NET INVESTMENT INCOME
INCLUDED IN NET ASSETS........... $ 96,537 $ 62,393 $ (147,035) $ (18,591) $ 51,238 $ 29,832
========== ========== ========== ========== ========== ==========
<FN>
(1) For the period from the start of business, April 20, 1995, to December
31, 1995. (2) For the period from the start of business, April 19, 1995, to
December 31, 1995.
</FN>
</TABLE>
See notes to financial statements
<PAGE>
Statements of Changes in Net Assets
<TABLE>
<CAPTION>
THE WRIGHT EQUIFUND EQUITY TRUST
HONG KONG SERIES ITALIAN SERIES
Year Ended Dec. 31 Year Ended Dec. 31
1996 1995 1996(1)
- ---------------------------------------------------------------------------------------------------------------------------------
INCREASE (DECREASE) IN NET ASSETS:
From operations --
<S> <C> <C> <C>
Net investment income (loss)....... $ 508,415 $ 1,048,754 $ (42,324)
Net realized gain (loss)........... 566,477 (3,864,758) (151,782)
Change in unrealized appreciation.. 6,216,698 4,520,511 908,030
----------- ----------- -----------
Increase in net assets
from operations................ $ 7,291,590 $ 1,704,507 $ 713,924
Distributions to shareholders from
net investment income.............. (411,362) (384,817) --
Undistributed net investment
income (loss) included in price of shares
sold and redeemed (Note 1D)........ (78,279) 71,707 --
Net increase from Fund
share transactions (exclusive of
amounts allocated to net investment
income) (Note 4).................. 2,164,968 4,329,221 10,148,487
----------- ----------- -----------
Net increase in net assets......... $ 8,966,917 $ 5,720,618 $10,862,411
NET ASSETS:
At beginning of year................. 25,399,331 19,678,713 --
----------- ----------- -----------
At end of year....................... $34,366,248 $25,399,331 $10,862,411
============ =========== ============
UNDISTRIBUTED NET INVESTMENT
INCOME INCLUDED IN NET ASSETS......... $ 711,307 $ 789,586 $ --
============ =========== ============
<FN>
(1) For the period from the start of business, September 9, 1996, to December
31, 1996.
</FN>
</TABLE>
See notes to financial statements
<PAGE>
Statements of Changes in Net Assets
<TABLE>
<CAPTION>
THE WRIGHT EQUIFUND EQUITY TRUST
JAPAN SERIES MEXICO SERIES
Year Ended Dec. 31 Year Ended Dec. 31
1996 1995 1996 1995
- ------------------------------------------------------------------------------------------------------------------------------
INCREASE (DECREASE) IN NET ASSETS:
From operations --
<S> <C> <C> <C> <C>
Net investment loss................ $ (202,496) $ (108,519) $ (41,951) $ (92,142)
Net realized gain (loss)........... 12,609 (1,732,840) 3,797,417 (9,414,919)
Change in unrealized appreciation
(depreciation)................... (1,695,909) 592,836 2,713,474 6,179,863
----------- ----------- ----------- -----------
Increase (decrease) in net assets
from operations................ $(1,885,796) $(1,248,523) $ 6,468,940 $(3,327,198)
Distributions to shareholders
from net realized gains........... -- -- -- (67,814)
Distributions to shareholders from
paid-in capital.................... -- -- -- (99,000)
Net increase (decrease) from Fund
share transactions (exclusive of
amounts allocated to net investment
income) (Note 4).................. (2,704,248) 14,226,698 (16,934,318) 22,564,708
----------- ----------- ----------- -----------
Net increase (decrease) in net assets $(4,590,044) $12,978,175 $(10,465,378) $19,070,696
NET ASSETS:
At beginning of year................. 21,630,983 8,652,808 32,493,042 13,422,346
----------- ----------- ----------- -----------
At end of year....................... $17,040,939 $21,630,983 $22,027,664 $32,493,042
============ =========== ============ ===========
UNDISTRIBUTED(DISTRIBUTIONS IN EXCESS OF)
NET INVESTMENT INCOME
INCLUDED IN NET ASSETS............... $ (600) $ 970 $ -- $ (16,890)
============ =========== ============ ===========
</TABLE>
See notes to financial statements
<PAGE>
Statements of Changes in Net Assets
<TABLE>
<CAPTION>
THE WRIGHT EQUIFUND EQUITY TRUST
NETHERLANDS SERIES NORDIC SERIES SWITZERLAND SERIES
Year Ended Dec. 31 Year Ended Dec. 31 Year Ended Dec. 31
1996 1995 1996 1995 1996 1995
- --------------------------------------------------------------------------------------------------------------------------
INCREASE (DECREASE) IN NET ASSETS:
From operations --
<S> <C> <C> <C> <C> <C> <C>
Net investment income (loss)....... $ 57,762 $ (8,423) $ (27,521) $ 5,403 $ (1,334) $ 50,019
Net realized gain.................. 1,625,807 728,331 639,128 84,767 279,574 233,699
Change in unrealized appreciation
(depreciation).................... 596,237 165,219 774,974 433,264 (224,621) 520,123
----------- ----------- ----------- ----------- ----------- -----------
Increase in net assets
from operations................. $ 2,279,806 $ 885,127 $ 1,386,581 $ 523,434 $ 53,619 $ 803,841
Distributions to shareholders from
net investment income............... -- -- -- (15,844) -- (35,313)
Distributions to shareholders
from net realized gains............ (1,604,679) (742,515) (85,095) -- (175,251) --
Undistributed net investment income
(loss) included in price of shares
sold and redeemed (Note 1D)......... (18,321) 1,261 8,773 8,785 (3,843) (379)
Net increase (decrease) from Fund
share transactions (exclusive of
amounts allocated to net investment
income) (Note 4)................... (308,315) 3,123,046 2,216,412 (5,723,968) (1,394,277) 3,047,571
----------- ----------- ----------- ----------- ----------- -----------
Net increase (decrease)
in net assets................... $ 348,491 $ 3,266,919 $ 3,526,671 $(5,207,593) $(1,519,752) $ 3,815,720
NET ASSETS:
At beginning of year................. 7,217,537 3,950,618 3,504,305 8,711,898 7,628,255 3,812,535
----------- ----------- ----------- ----------- ----------- -----------
At end of year....................... $ 7,566,028 $ 7,217,537 $ 7,030,976 $ 3,504,305 $ 6,108,503 $ 7,628,255
============ =========== ============ =========== ============ ===========
UNDISTRIBUTED (DISTRIBUTIONS IN EXCESS
OF)NET INVESTMENT INCOME
INCLUDED IN NET ASSETS............ $ (26,052) $ (6,083) $ 30,208 $ 21,558 $ 4,406 $ 9,591
============ =========== ============ =========== ============ ===========
</TABLE>
See notes to financial statements
<PAGE>
Financial Highlights
<TABLE>
<CAPTION>
THE WRIGHT EQUIFUND EQUITY TRUST
BELGIUM/LUXEMBOURG SERIES
Year Ended December 31
--------------------------------
1996 1995 1994(1)
- -----------------------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C>
Net asset value -- beginning of year................ $ 12.010 $ 10.240 $ 10.000
-------- -------- --------
Income from Investment Operations:
Net investment income............................. $ 0.171 $ 0.156 $ 0.106
Net realized and unrealized gain.................. 2.334 1.904 0.174
-------- -------- --------
Total income from investment operations......... $ 2.505 $ 2.060 $ 0.280
-------- -------- --------
Less Distributions:
From net investment income........................ $ (0.100) $ (0.050) $ (0.040)
From net realized gains on investments............ (1.025) (0.240) --
-------- -------- --------
Total distributions............................. $ (1.125) $ (0.290) $ (0.040)
-------- -------- --------
Net asset value -- end of year...................... $ 13.390 $ 12.010 $ 10.240
========= ========= =========
Total Return(3)..................................... 20.99% 20.28% 2.81%
Annualized Ratios/Supplemental Data:
Net assets, end of year (000 omitted)............. $ 19,185 $ 14,753 $ 11,437
Ratio of net expenses to average net assets....... 1.68%(4) 1.76%(4) 1.62%(2)
Ratio of net investment income to average net assets 1.20% 1.52% 0.95%(2)
Portfolio Turnover Rate........................... 34% 38% 26%
Average commission rate paid(5) .................. $ 0.4536 -- --
<FN>
(1) For the period from start of business, February 15, 1994, to December 31, 1994.
(2) Annualized.
(3) Total investment return is calculated assuming a purchase at the net
asset value on the first day and a sale at the net asset value on the last
day of each period reported. Dividends and distributions, if any, are
assumed to be invested at the net asset value on the record date.
(4) Custodian fees were reduced by credits resulting from cash balances the
Trust maintained with the custodian (Note 1E). The computation of net
expenses to average daily net assets reported above is computed without
consideration of such credits, in accordance with reporting regulations in
effect beginning in 1995. If these credits were considered, the ratio of
net expenses to average daily net assets would have been reduced to 1.55%
and 1.53% for the years ended December 31, 1996 and 1995, respectively.
(5) Average commission rate paid is computed by dividing the total dollar
amount of commissions paid during the fiscal year by the total number of
shares purchased and sold during the fiscal year on which commissions were
charged. For fiscal years beginning on or after September 1, 1995, a Fund
is required to disclose its average commission rate per share for security
trades on which commissions are charged.
</FN>
</TABLE>
See notes to financial statements
<PAGE>
Financial Highlights
<TABLE>
<CAPTION>
THE WRIGHT EQUIFUND EQUITY TRUST
BRITAIN SERIES
Year Ended December 31
--------------------------------
1996 1995(2)
- ---------------------------------------------------------------------------------------------------------------------------
<S> <C> <C>
Net asset value -- beginning of year................ $ 10.400 $ 10.000
-------- --------
Income from Investment Operations:
Net investment income............................. $ 0.101 $ 0.213
Net realized and unrealized gain.................. 2.369 0.892
-------- --------
Total income from investment operations......... $ 2.470 $ 1.105
-------- --------
Less Distributions:
From net investment income........................ $ (0.020) $ (0.150)
From net realized gains on investments............ (3.760) (0.555)
-------- --------
Total distributions............................. $ (3.780) $ (0.705)
-------- --------
Net asset value -- end of year...................... $ 9.090 $ 10.400
========= =========
Total Return(3)..................................... 26.67% 11.10%
Annualized Ratios/Supplemental Data:
Net assets, end of year (000 omitted)............. $ 3,809 $ 13,932
Ratio of net expenses to average net assets(1).... 2.34%(5) 1.56%(4) (5)
Ratio of net investment income to average net assets(1) 2.46% 2.77%(4)
Portfolio Turnover Rate........................... 93% 42%
Average commission rate paid(6) .................. $ 0.2000 --
<FN>
(1) During the year ended December 31, 1996, the Investment Adviser and the
Principal Underwriter reduced their fees, and the Investment Adviser was
allocated a portion of operating expenses. Had such actions not been
undertaken, net investment income per share and the ratios would have been
as follows:
1996
Net investment income per share..................... $ 0.098
=========
Annualized Ratios (As a percentage of average net assets):
Expenses.......................................... 2.42%
=========
Net investment income............................. 2.38%
=========
(2) For the period from start of business, April 20, 1995, to December 31,
1995.
(3) Total investment return is calculated assuming a purchase at the net
asset value on the first day and a sale at the net asset value on the last
day of each period reported. Dividends and distributions, if any, are
assumed to be invested at the net asset value on the record date.
(4) Annualized.
(5) Custodian fees were reduced by credits resulting from cash balances the
Trust maintained with the custodian (Note 1E). The computation of net
expenses to average daily net assets reported above is computed without
consideration of such credits, in accordance with reporting regulations in
effect beginning in 1995. If these credits were considered, the ratio of
net expenses to average daily net assets would have been reduced to 2.00%
and 1.24% for the years ended December 31, 1996 and 1995, respectively.
(6) Average commission rate paid is computed by dividing the total dollar
amount of commissions paid during the fiscal year by the total number of
shares purchased and sold during the fiscal year on which commissions were
charged. For fiscal years beginning on or after September 1, 1995, a Fund
is required to disclose its average commission rate per share for security
trades on which commissions are charged.
</FN>
</TABLE>
See notes to financial statements
<PAGE>
Financial Highlights
<TABLE>
<CAPTION>
THE WRIGHT EQUIFUND EQUITY TRUST
GERMANY SERIES
Year Ended December 31
------------------------------------
1996 1995(1)
- ----------------------------------------------------------------------------------------------------------------------------
<S> <C> <C>
Net asset value -- beginning of year................ $ 9.240 $ 10.000
-------- --------
Income from Investment Operations:
Net investment income (loss)...................... $ (0.001) $ 0.073
Net realized and unrealized gain (loss)........... 1.391 (0.783)
-------- --------
Total income (loss) from investment operations.. $ 1.390 $ (0.710)
Less Distributions:
From net investment income........................ -- (0.050)
-------- --------
Net asset value -- end of year...................... $ 10.630 $ 9.240
========= =========
Total Return(2)..................................... 15.04% (7.09%)
Annualized Ratios/Supplemental Data:
Net assets, end of year (000 omitted)............. $ 23,138 $ 16,419
Ratio of net expenses to average net assets....... 1.68%(4) 1.59%(3) (4)
Ratio of net investment income (loss) to average net
assets.......................................... (0.08%) 0.91%(3)
Portfolio Turnover Rate........................... 77% 18%
Average commission rate paid(5) .................. $ 0.0198 --
<FN>
(1) For the period from start of business, April 19, 1995, to December 31,
1995.
(2) Total investment return is calculated assuming a purchase at the net
asset value on the first day and a sale at the net asset value on the last
day of each period reported. Dividends and distributions, if any, are
assumed to be invested at the net asset value on the record date.
(3) Annualized.
(4) Custodian fees were reduced by credits resulting from cash balances the
Trust maintained with the custodian (Note 1E). The computation of net
expenses to average daily net assets reported above is computed without
consideration of such credits, in accordance with reporting regulations in
effect beginning in 1995. If these credits were considered, the ratio of
net expenses to average daily net assets would have been reduced to 1.57%
and 1.29% for the years ended December 31, 1996 and 1995, respectively.
(5) Average commission rate paid is computed by dividing the total dollar
amount of commissions paid during the fiscal year by the total number of
shares purchased and sold during the fiscal year on which commissions were
charged. For fiscal years beginning on or after September 1, 1995, a Fund
is required to disclose its average commission rate per share for security
trades on which commissions are charged.
</FN>
</TABLE>
See notes to financial statements
<PAGE>
Financial Highlights
<TABLE>
<CAPTION>
THE WRIGHT EQUIFUND EQUITY TRUST
HONG KONG SERIES
Year Ended December 31
-------------------------------------------------------------
1996 1995 1994 1993 1992
- -----------------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C>
Net asset value -- beginning of year.... $ 13.030 $ 13.020 $ 20.990 $ 11.770 $ 10.270
-------- -------- -------- -------- --------
Income from Investment Operations:
Net investment income(1).............. $ 0.182 $ 0.368 $ 0.678 $ 0.426 $ 0.330
Net realized and unrealized gain
(loss) (3)........................... 3.458 (0.158) (8.448) 9.394 1.355
-------- -------- -------- -------- --------
Total income (loss)
from investment operations........ $ 3.640 $ 0.210 $ (7.770) $ 9.820 $ 1.685
-------- -------- -------- -------- --------
Less Distributions:
From net investment income............ $ (0.200) $ (0.200) $ (0.200) $ (0.254) $ (0.170)
From net realized gains on investments -- -- -- (0.346) (0.015)
-------- -------- -------- -------- --------
Total distributions................. $ (0.200) $ (0.200) $ (0.200) $ (0.600) $ (0.185)
-------- -------- -------- -------- --------
Net asset value -- end of year.......... $ 16.470 $ 13.030 $ 13.020 $ 20.990 $ 11.770
========= ========= ========= ========= =========
Total Return(2) ........................ 27.96% 1.63% (37.03%) 84.32% 16.33%
Annualized Ratios/Supplemental Data:
Net assets, end of year (000 omitted). $ 34,366 $ 25,399 $ 19,679 $ 16,210 $ 3,545
Ratio of net expenses to average net assets 1.62%(4) 1.59%(4) 1.41% 2.00% 2.00%
Ratio of net investment income to
average net assets.................. 1.81% 3.26% 3.93% 3.01% 3.13%
Portfolio Turnover Rate............... 65% 100% 131% 76% 39%
Average commission rate paid(5) ...... $ 0.0095 -- -- -- --
<FN>
(1) During certain periods presented, either the Investment Adviser, the
Administrator and/or the Principal Underwriter reduced their fees, and the
Investment Adviser was allocated a portion of operating expenses. Had such
actions not been undertaken, net investment income per share and the ratios
would have been as follows:
1993 1992
- --------------------------------------------------------------------------------------------------------------------------
Net investment income per share..................... $ 0.419 $ 0.093
========= =========
Annualized Ratios (As a percentage of average net assets):
Expenses.......................................... 2.05% 4.25%
========= =========
Net investment income............................. 2.96% 0.88%
========= =========
(2) Total investment return is calculated assuming a purchase at the net
asset value on the first day and a sale at the net asset value on the last
day of each period reported. Dividends and distributions, if any, are
assumed to be invested at the net asset value on the record date.
(3) For the years ended December 31, 1995 and 1992, the per share amount is
not in accord with the net realized and unrealized gain (loss) for the
period because of the timing of sales of Trust shares and the amounts per
share realized and unrealized gains and losses at such times.
(4) Custodian fees were reduced by credits resulting from cash balances the
Trust maintained with the custodian (Note 1E). The computation of net
expenses to average daily net assets reported above is computed without
consideration of such credits, in accordance with reporting regulations in
effect beginning in 1995. If these credits were considered, the ratio of
net expenses to average daily net assets would have been reduced to 1.43%
and 1.34% for the years ended December 31, 1996 and 1995, respectively.
(5) Average commission rate paid is computed by dividing the total dollar
amount of commissions paid during the fiscal year by the total number of
shares purchased and sold during the fiscal year on which commissions were
charged. For fiscal years beginning on or after September 1, 1995, a Fund
is required to disclose its average commission rate per share for security
trades on which commissions are charged.
</FN>
</TABLE>
See notes to financial statements
<PAGE>
Financial Highlights
<TABLE>
<CAPTION>
THE WRIGHT EQUIFUND EQUITY TRUST
ITALIAN SERIES
Year Ended December 31
---------------------------
1996(1)
- -----------------------------------------------------------------------------------------------------------------------------
<S> <C>
Net asset value -- beginning of period.. $ 10.000
--------
Income from Investment Operations:
Net investment loss................... $ (0.042)
Net realized and unrealized gain
on investments....................... 0.712
--------
Total income
from investment operations........ $ 0.670
--------
Net asset value, end of period.......... $ 10.670
=========
Total Return(3)......................... 6.70%
Annualized Ratios/Supplemental Data:
Net assets, end of year (000 omitted)............. $ 10,861
Ratio of net expenses to average net assets 1.98%(2) (4)
Ratio of net investment loss to average net assets (1.43%)(2)
Portfolio Turnover Rate........................... 24%
Average commission rate paid(5)................... $ 0.0145
<FN>
(1) For the period from the start of business, September 9, 1996 to December 31, 1996.
(2) Annualized.
(3) Total investment return is calculated assuming a purchase at the net
asset value on the first day and a sale at the net asset value on the last
day of each period reported. Dividends and distributions, if any, are
assumed to be invested at the net asset value on the record date.
(4) Custodian fees were reduced by credits resulting from cash balances the
Trust maintained with the custodian (Note 1E). The computation of net
expenses to average daily net assets reported above is computed without
consideration of such credits, in accordance with reporting regulations in
effect beginning in 1995. If these credits were considered, the ratio of
net expenses to average daily net assets would have been reduced to 1.43%
for the period from the start of business, September 9, 1996 to December
31, 1996.
(5) Average commission rate paid is computed by dividing the total dollar
amount of commissions paid during the fiscal year by the total number of
shares purchased and sold during the fiscal year on which commissions were
charged. For fiscal years beginning on or after September 1, 1995, a Fund
is required to disclose its average commission rate per share for security
trades on which commissions are charged.
</FN>
</TABLE>
See notes to financial statements
Financial Highlights
<TABLE>
<CAPTION>
THE WRIGHT EQUIFUND EQUITY TRUST
JAPAN SERIES
Year Ended December 31
--------------------------------
1996 1995 1994(1)
- ----------------------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C>
Net asset value -- beginning of year................ $ 8.780 $ 9.660 $ 10.000
-------- -------- --------
Income from Investment Operations:
Net investment loss............................... $ (0.095) $ (0.045) $ (0.050)
Net realized and unrealized loss.................. (0.705) (0.835) (0.170)
-------- -------- --------
Total loss from investment operations........... $ (0.800) $ (0.880) $ (0.220)
Less Distributions:
From net realized gains on investments............ -- -- (0.120)
-------- -------- --------
Net asset value -- end of year...................... $ 7.980 $ 8.780 $ 9.660
========= ========= =========
Total Return(3)..................................... (9.11%) (9.11%) (2.17%)
Annualized Ratios/Supplemental Data:
Net assets, end of year (000 omitted)............. $ 17,041 $ 21,631 $ 8,653
Ratio of net expenses to average net assets....... 1.75%(4) 1.81%(4) 1.83% (2)
Ratio of net investment loss to average net assets (1.05%) (0.67%) (0.66%)(2)
Portfolio Turnover Rate........................... 56% 112% 48%
Average commission rate paid(5) .................. $ 0.0917 -- --
<FN>
(1) For the period from the start of business, February 14, 1994 to December 31, 1994.
(2) Annualized.
(3) Total investment return is calculated assuming a purchase at the net
asset value on the first day and a sale at the net asset value on the last
day of each period reported. Dividends and distributions, if any, are
assumed to be invested at the net asset value on the record date.
(4) Custodian fees were reduced by credits resulting from cash balances the
Trust maintained with the custodian (Note 1E). The computation of net
expenses to average daily net assets reported above is computed without
consideration of such credits, in accordance with reporting regulations in
effect beginning in 1995. If these credits were considered, the ratio of
net expenses to average daily net assets would have been reduced to 1.65%
and 1.49% for the years ended December 31, 1996 and 1995, respectively.
(5) Average commission rate paid is computed by dividing the total dollar
amount of commissions paid during the fiscal year by the total number of
shares purchased and sold during the fiscal year on which commissions were
charged. For fiscal years beginning on or after September 1, 1995, a Fund
is required to disclose its average commission rate per share for security
trades on which commissions are charged.
</FN>
</TABLE>
See notes to financial statements
<PAGE>
Financial Highlights
<TABLE>
<CAPTION>
THE WRIGHT EQUIFUND EQUITY TRUST
MEXICO SERIES
Year Ended December 31
---------------------------------
1996(5) 1995 1994(1)
- -------------------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C>
Net asset value -- beginning of year................ $ 4.220 $ 6.480 $ 10.000
-------- -------- --------
Income from Investment Operations:
Net investment loss............................... $ (0.012) $ (0.012) $ (0.040)
Net realized and unrealized gain (loss)........... 1.172 (2.175) (2.970)
-------- -------- --------
Total income (loss) from investment operations.. $ 1.160 $ (2.187) $ (3.010)
-------- -------- --------
Less Distributions:
From net realized gains on investments............ $ -- $ (0.030) $ (0.510)
In excess of net realized gains on investments.... -- (0.043) --
-------- -------- --------
Total distributions............................. $ -- $ (0.073) $ (0.510)
-------- -------- --------
Net asset value -- end of year...................... $ 5.380 $ 4.220 $ 6.480
========= ========= =========
Total Return(3)..................................... 27.49% (33.37%) (30.91%)
Annualized Ratios/Supplemental Data:
Net assets, end of year (000 omitted)............. $ 22,028 $ 32,493 $ 13,422
Ratio of net expenses to average net assets....... 1.59%(4) 1.72%(4) 1.38% (2)
Ratio of net investment loss to average net assets (0.14%) (0.41%) (0.98%)(2)
Portfolio Turnover Rate........................... 63% 110% 85%
Average commission rate paid(5) .................. $ 0.0045 -- --
<FN>
(1) For the period from the start of business, August 2, 1994 to December 31, 1994.
(2) Annualized.
(3) Total investment return is calculated assuming a purchase at the net
asset value on the first day and a sale at the net asset value on the last
day of each period reported. Dividends and distributions, if any, are
assumed to be invested at the net asset value on the record date.
(4) Custodian fees were reduced by credits resulting from cash balances the
Trust maintained with the custodian (Note 1E). The computation of net
expenses to average daily net assets reported above is computed without
consideration of such credits, in accordance with reporting regulations in
effect beginning in 1995. If these credits were considered, the ratio of
net expenses to average daily net assets would have been reduced to 1.41%
and 1.39% for the years ended December 31, 1996 and 1995, respectively.
(5) Average commission rate paid is computed by dividing the total dollar
amount of commissions paid during the fiscal year by the total number of
shares purchased and sold during the fiscal year on which commissions were
charged. For fiscal years beginning on or after September 1, 1995, a Fund
is required to disclose its average commission rate per share for security
trades on which commissions are charged.
</FN>
</TABLE>
See notes to financial statements
<PAGE>
Financial Highlights
<TABLE>
<CAPTION>
THE WRIGHT EQUIFUND EQUITY TRUST
NETHERLANDS SERIES
Year Ended December 31
---------------------------------------------------------------
1996 1995 1994 1993(2) 1992
- -------------------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C>
Net asset value -- beginning of year.... $ 8.590 $ 8.100 $ 10.020 $ 8.460 $ 9.420
-------- -------- -------- -------- --------
Income from Investment Operations:
Net investment income (loss)(1)....... $ 0.047 $ (0.004) $ (0.060) $ (0.015) $ 0.108
Net realized and unrealized gain
(loss)............................... 2.943 1.490 1.150 1.655 (0.958)
-------- -------- -------- -------- --------
Total income (loss)
from investment operations........ $ 2.990 $ 1.486 $ 1.090 $ 1.640 $ (0.850)
-------- -------- -------- -------- --------
Less Distributions:
From net investment income............ $ -- $ -- $ (0.020) $ (0.080) $ (0.110)
From net realized gains on investments (2.610) (0.996) (2.990) -- --
-------- -------- -------- -------- --------
Total distributions................... $ (2.610) $ (0.996) $ (3.010) $ (0.080) $ (0.110)
-------- -------- -------- -------- --------
Net asset value -- end of year.......... $ 8.970 $ 8.590 $ 8.100 $ 10.020 $ 8.460
========= ========= ========= ========= =========
Total Return(3) ........................ 36.56% 18.84% 11.68% 19.52% (9.18%)
Annualized Ratios/Supplemental Data:
Net assets, end of year (000 omitted). $ 7,566 $ 7,218 $ 3,951 $ 8,753 $ 165
Ratio of net expenses to average net assets(1) 2.22%(4) 2.26%(4) 1.93% 2.00% 2.00%
Ratio of net investment income (loss) to
average net assets(1)............... 0.83% (0.13%) 0.13% (0.16%) 1.26%
Portfolio Turnover Rate............... 124% 87% 101% 47% 69%
Average commission rate paid(5) ...... $ 0.1882 -- -- -- --
<FN>
(1) During certain periods presented, either the Investment Adviser, the
Administrator and/or the Principal Underwriter reduced their fees, and the
Investment Adviser was allocated a portion of operating expenses. Had such
actions not been undertaken, net investment income (loss) per share and the
ratios would have been as follows:
1996 1995 1993(2) 1992
--------------------------------------------------------------
Net investment income (loss) per share.. $ 0.038 $ (0.018) $ (0.085) $ (2.481)
========= ========= ========= =========
Annualized Ratios (As a percentage of average net assets):
Expenses.............................. 2.38% 2.45% 2.75% 32.21%
========= ========= ========= =========
Net investment income (loss).......... 0.67% (0.58%) (0.91%) (28.95%)
========= ========= ========= =========
(2) Certain of the per share data are based on average shares outstanding.
(3) Total investment return is calculated assuming a purchase at the net
asset value on the first day and a sale at the net asset value on the last
day of each period reported. Dividends and distributions, if any, are
assumed to be invested at the net asset value on the record date.
(4) Custodian fees were reduced by credits resulting from cash balances the
Trust maintained with the custodian (Note 1E). The computation of net
expenses to average daily net assets reported above is computed without
consideration of such credits, in accordance with reporting regulations in
effect beginning in 1995. If these credits were considered, the ratio of
net expenses to average daily net assets would have been reduced to 1.99%
and 2.00% for the years ended December 31, 1996 and 1995, respectively.
(5) Average commission rate paid is computed by dividing the total dollar
amount of commissions paid during the fiscal year by the total number of
shares purchased and sold during the fiscal year on which commissions were
charged. For fiscal years beginning on or after September 1, 1995, a Fund
is required to disclose its average commission rate per share for security
trades on which commissions are charged.
</FN>
</TABLE>
See notes to financial statements
<PAGE>
Financial Highlights
<TABLE>
<CAPTION>
THE WRIGHT EQUIFUND EQUITY TRUST
NORDIC SERIES
Year Ended December 31
-------------------------------------
1996 1995 1994(2)
- -----------------------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C>
Net asset value -- beginning of year................ $ 11.330 $ 9.500 $ 10.000
-------- -------- --------
Income from Investment Operations:
Net investment income (loss) (1).................. $ (0.064) $ 0.072 $ (0.012)
Net realized and unrealized gain (loss)........... 3.694 1.808 (0.118)
-------- -------- --------
Total income (loss)
from investment operations.................... $ 3.630 $ 1.880 $ (0.130)
-------- -------- --------
Less Distributions:
From net investment income........................ $ -- $ (0.050) $ --
In excess of net realized gain on investments..... (0.180) -- (0.366)
From paid-in capital.............................. -- -- (0.004)
-------- -------- --------
Total distributions............................... $ (0.180) $ (0.050) $ (0.370)
-------- -------- --------
Net asset value -- end of year...................... $ 14.780 $ 11.330 $ 9.500
========= ========= =========
Total Return(4)..................................... 32.09% 19.80% (1.19%)
Annualized Ratios/Supplemental Data:
Net assets, end of year (000 omitted)............. $ 7,031 $ 3,504 $ 8,712
Ratio of net expenses to average net assets(1).... 2.21% (5) 2.24%(5) 1.78% (3)
Ratio of net investment income (loss) to average net assets(1) (0.55%) 0.15% (0.35%)(3)
Portfolio Turnover Rate........................... 78% 94% 33%
Average commission rate paid(6) .................. $ 0.1131 -- --
<FN>
(1) During the years ended December 31, 1996 and 1995, the Investment Adviser
and the Principal Underwriter reduced their fees and the Investment Adviser
was allocated a portion of operating expenses. Had such actions not been
undertaken, net investment loss per share and the ratios would have been as
follows:
1996 1995
Net investment loss per share....................... $ (0.130) $ (0.523)
========= =========
Annualized Ratios (As a percentage of average net assets):
Expenses.......................................... 2.78% 3.25%
========= =========
Net investment loss............................... (1.12%) (1.09%)
========= =========
(2) For the period from the start of business, February 14, 1994 to December
31, 1994.
(3) Annualized.
(4) Total investment return is calculated assuming a purchase at the net
asset value on the first day and a sale at the net asset value on the last
day of each period reported. Dividends and distributions, if any, are
assumed to be invested at the net asset value on the record date.
(5) Custodian fees were reduced by credits resulting from cash balances the
Trust maintained with the custodian (Note 1E). The computation of net
expenses to average daily net assets reported above is computed without
consideration of such credits, in accordance with reporting regulations in
effect beginning in 1995. If these credits were considered, the ratio of
net expenses to average daily net assets would have been reduced to 1.99%
and 2.00% for the years ended December 31, 1996 and 1995, respectively.
(6) Average commission rate paid is computed by dividing the total dollar
amount of commissions paid during the fiscal year by the total number of
shares purchased and sold during the fiscal year on which commissions were
charged. For fiscal years beginning on or after September 1, 1995, a Fund
is required to disclose its average commission rate per share for security
trades on which commissions are charged.
</FN>
</TABLE>
See notes to financial statements
<PAGE>
Financial Highlights
<TABLE>
<CAPTION>
THE WRIGHT EQUIFUND EQUITY TRUST
SWITZERLAND SERIES
Year Ended December 31
------------------------------------
1996 1995 1994(2)
- ---------------------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C>
Net asset value -- beginning of year................ $ 11.100 $ 9.430 $ 10.000
-------- -------- --------
Income from Investment Operations:
Net investment income (loss)(1)................... $ (0.006) $ 0.060 $ 0.075
Net realized and unrealized gain (loss)........... 0.066 1.660 (0.595)
-------- -------- --------
Total gain (loss) from investment operations.... $ 0.060 $ 1.720 $ (0.520)
Less Distributions:
From net realized gains on investments............ (0.310) (0.050) (0.050)
-------- -------- --------
Net asset value -- end of year...................... $ 10.850 $ 11.100 $ 9.430
========= ========= =========
Total Return(4)..................................... 0.54% 18.35% (5.19%)
Annualized Ratios/Supplemental Data:
Net assets, end of year (000 omitted)............. $ 6,109 $ 7,628 $ 3,813
Ratio of net expenses to average net assets(1).... 2.08% (5) 2.26%(5 2.00%(3)
Ratio of net investment income (loss) to average net
assets(1)....................................... (0.02%) 0.72% 0.49%(3)
Portfolio Turnover Rate........................... 55% 95% 94%
Average commission rate paid(6) .................. $ 1.8608 -- --
<FN>
(1) During certain periods presented, the Investment Adviser and/or the
Principal Underwriter reduced their fees. Had such actions not been
undertaken, net investment income (loss) per share and the ratios would
have been as follows:
1996 1995 1994(2)
- --------------------------------------------------------------------------------------------------------------
Net investment income (loss) per share.............. $ (0.045) $ 0.027 $ 0.063
========= ========= =========
Annualized Ratios (As a percentage of average net assets):
Expenses.......................................... 2.21% 2.39% 2.08%(3)
========= ========= =========
Net investment income (loss)...................... (0.15%) 0.32% 0.41%(3)
========= ========= =========
(2) For the period from the start of business, February 14, 1994 to December 31, 1994.
(3) Annualized.
(4) Total investment return is calculated assuming a purchase at the net
asset value on the first day and a sale at the net asset value on the last
day of each period reported. Dividends and distributions, if any, are
assumed to be invested at the net asset value on the record date.
(5) Custodian fees were reduced by credits resulting from cash balances the
Trust maintained with the custodian (Note 1E). The computation of net
expenses to average daily net assets reported above is computed without
consideration of such credits, in accordance with reporting regulations in
effect beginning in 1995. If these credits were considered, the ratio of
net expenses to average daily net assets would have been reduced to 2.00%
for both years ended December 31, 1996 and 1995.
(6) Average commission rate paid is computed by dividing the total dollar
amount of commissions paid during the fiscal year by the total number of
shares purchased and sold during the fiscal year on which commissions were
charged. For fiscal years beginning on or after September 1, 1995, a Fund
is required to disclose its average commission rate per share for security
trades on which commissions are charged.
</FN>
</TABLE>
See notes to financial statements
<PAGE>
Notes to Financial Statements
(1) SIGNIFICANT ACCOUNTING POLICIES
The Wright EquiFund Equity Trust (the Trust) is registered under the
Investment Company Act of 1940, as amended, as an open-end, management
investment company. The Trust presently consists of ten active diversified
series (Funds), Wright EquiFund -- Belgium/Luxembourg (Belgium/Luxembourg
series); Wright EquiFund -- Britain (Britain series); Wright EquiFund -- Germany
(Germany series); Wright EquiFund -- Hong Kong (Hong Kong series); Wright
EquiFund -- Italian (Italian series); Wright EquiFund -- Japan (Japan series);
Wright EquiFund -- Mexico (Mexico series); Wright EquiFund -- Netherlands
(Netherlands series); Wright EquiFund -- Nordic (Nordic series); and Wright
EquiFund -- Switzerland (Switzerland series). The Trust also has nine inactive
series. The following is a summary of significant accounting policies
consistently followed by the Trust in the preparation of its financial
statements. The policies are in conformity with generally accepted accounting
principles.
A. Investment Valuations -- Securities, including foreign securities, listed on
securities exchanges or in the NASDAQ National Market are valued at closing sale
prices, if those prices are deemed to be representative of market values at the
close of business. Securities traded on more than one U.S. or foreign securities
exchange are valued at the last sale price on the exchange representing the
principal market for such securities, if those prices are deemed to be
representative of market values at the close of business. Securities traded
over-the-counter, unlisted securities and listed securities for which closing
sale prices are not available are valued at the mean between latest bid and
asked prices or, if such bid and asked prices are not available, at prices
supplied by a pricing agent, unless such prices are deemed not to be
representative of market values at the close of business. Securities for which
market quotations are unavailable or deemed not to be representative of market
values at the close of business and other assets are appraised at their fair
value as determined in good faith according to guidelines established by the
Trustees of the Trust. Short-term obligations with remaining maturities of sixty
days or less are valued at amortized cost, which approximates market value.
B. Foreign Currency Translation -- Investment security valuations, other assets,
and liabilities initially expressed in foreign currencies are translated each
business day into U.S. dollars based upon current exchange rates. Purchases and
sales of foreign investment securities and income and expenses are translated
into U.S. dollars based upon currency exchange rates prevailing on the
respective dates of such transactions. The Trust does not isolate that portion
of the results of operations resulting from changes in foreign exchange rates on
investments from the fluctuations arising from changes in market prices of
securities held. Such fluctuations are included with the net realized and
unrealized gain or loss from investments.
C. Taxes -- The Trust's policy is to comply with the provisions of the
Internal Revenue Code (the Code) available to regulated investment companies and
distribute to shareholders each year all of its taxable income, including any
net realized gain on investments. Accordingly, no provision for federal income
tax is necessary. At December 31, 1996, the Trust, for federal income tax
purposes, had a capital loss carryover of $767,352 for the Germany series,
$5,243,895 for the Hong Kong series, $5,516,594 for the Mexico series and
$1,460,778 for the Japan series, which will reduce
<PAGE>
taxable income arising from future net realized gain on investments, if
any, to the extent permitted by the Code, and thus will reduce the amount of the
distribution to shareholders which would otherwise be necessary to relieve the
respective Fund of any liability for federal income or excise tax. Pursuant to
the Code, such capital loss carryovers will expire as follows:
Dec. Germany Hong Kong Mexico Japan
- -------------------------------------------------------------
2002 -- $666,114 -- --
2003 $27,166 $4,577,781 $5,516,594 $1,460,778
2004 $740,186 -- -- --
- -------------------------------------------------------------
At December 31, 1996, net capital losses of $137,703 for the Italian series
and $83,100 for Mexico series attributable to security transactions incurred
after October 31, 1996 are treated as arising on the first day of the Fund's
next taxable year.
Withholding taxes on foreign dividends have been provided for in accordance
with the Trust's understanding of the applicable country's tax rules and rates.
D. Equalization -- The Trust follows the accounting practice known as
equalization by which a portion of the proceeds from sales and costs of
redemptions of Fund shares, on a per-share basis, equivalent to the amount of
undistributed net investment income on the date of the transaction is credited
or charged to undistributed net investment income. As a result, undistributed
net investment income per share is unaffected by sales or redemptions of Fund
shares.
E. Expense Reduction -- The Fund has entered into an arrangement with its
custodian agent whereby interest earned on uninvested cash balances are used to
offset custodian fees. All significant reductions are reported as a reduction of
expenses in the Statements of Operations.
F. Deferred Organization Expenses -- Costs incurred by the Trust in connection
with its organization, including registration costs, are being amortized on the
straight-line basis over five years from commencement of operations of each
series.
G. Other -- Investment transactions are accounted for on the date the
investments are purchased or sold. Dividend income and distributions to
shareholders are recorded on the ex-dividend date. However, if the ex-dividend
date has passed, certain dividends from foreign securities are recorded as the
Fund is informed of the ex-dividend date. Interest income is recorded on the
accrual basis.
H. Distributions -- Differences in the recognition or classification of income
between the financial statements and tax earnings and profits which result in
only temporary overdistributions for financial statement purposes, are
classified as distributions in excess of net investment income or accumulated
net realized gains. Distributions in excess of tax basis earnings and profits
are reported in the financial statements as a return of capital. Permanent
differences between book and tax accounting for certain items may result in
reclassification of these items.
During the year ended December 31,1996, the following amounts were
reclassed due to differences between book and tax accounting created primarily
by the unavailability of a tax benefit for operating loss and character
reclassifications between net investment income and net realized capital gains.
Accumulated Undistrib-
uted Net Realized Gain
(Loss) on Investment Undistributed
Paid-In and Foreign Currency Net Investment
Capital Transactions Income (Loss)
- -------------------------------------------------------------------
Belgium 217,969 (139,680) (78,289)
Britain 178,839 (3,873) (174,966)
Germany (18,875) 1,983 16,892
Hong Kong 95,741 1,312 (97,053)
Italian (51,892) 9,568 42,324
Japan (212,644) 11,718 200,926
Mexico (130,958) 72,117 58,841
Netherlands 66,926 (7,516) (59,410)
Nordic (33,077) 5,679 27,398
Switzerland (1,532) 1,540 (8)
- --------------------------------------------------------------------
The changes had no effect on the net assets per share.
<PAGE>
I. Forward Foreign Currency Exchange Contracts -- The Trust may enter into
forward foreign currency exchange contracts for the purchase or sale of a
specific foreign currency at a fixed price on a future date. Risks may arise
upon entering these contracts from the potential inability of counterparties to
meet the terms of their contracts and from unanticipated movements in the value
of a foreign currency relative to the U.S. dollar. The Trust will enter into
forward contracts for hedging purposes in connection with purchases and sales of
securities denominated in foreign currencies. The forward foreign currency
exchange contracts are adjusted by the daily forward exchange rate of the
underlying currency and any gains or losses are recorded for financial statement
purposes as unrealized until such time as the contracts have been closed or
offset.
J. 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 at the date of the financial statements and the reported amounts of
revenue and expense during the reporting period. Actual results could differ
from those estimates.
(2) INVESTMENT ADVISER FEE AND OTHER TRANSACTIONS WITH AFFILIATES
The Trust has engaged Wright Investors' Service (Wright) to perform
investment management, investment advisory, and other services. For its
services, Wright is compensated based upon a percentage of each series' average
daily net assets which rate is adjusted as average daily net assets exceed
certain levels. For the year ended December 31, 1996, the effective annual rate
was 0.75% for all Series. To enhance the net income of the Britain, Netherlands,
Nordic and Switzerland Series, Wright reduced its management fee by $2,105,
$4,216, $14,494 and $3,944, respectively. The Trust also has engaged Eaton Vance
Management (Eaton Vance) to act as administrator of the Trust. Under the
Administration Agreement, Eaton Vance is responsible for managing the business
affairs of the Trust and is compensated based upon a percentage of each series'
average daily net assets, which rate is reduced as average daily net assets
exceed certain levels. For the year ended December 31, 1996, the effective
annual rate was 0.10% for all series.
Certain of the Trustees and officers of the Trust are directors/trustees
and/or officers of the above organizations. Except as to Trustees of the Trust
who are not affiliated with Eaton Vance or Wright, Trustees and officers receive
remuneration for their services to the Trust out of the fees paid to Eaton Vance
and Wright.
(3) DISTRIBUTION EXPENSES
The Trustees have adopted a Distribution Plan (the Plan) pursuant to Rule
12b-1 of the Investment Company Act of 1940. The Plan provides that each of the
Funds will pay Wright Investors' Service Distributors Inc. (Principal
Underwriter), a subsidiary of Wright, an annual rate of 0.25% of each series'
average daily net assets for activities primarily intended to result in the sale
of each series' shares. For the year ended December 31, 1996, the Principal
Underwriter reduced its fees to the Britain, Netherlands, Nordic and Switzerland
Series by $702, $5,104, $12,624 and $1,315, respectively.
<PAGE>
(4) SHARES OF BENEFICIAL INTEREST
The Declaration of Trust permits the Trustees to issue an unlimited number
of full and fractional shares of beneficial interest (without par value).
Transactions in Trust shares for the periods ended were as follows:
<TABLE>
<CAPTION>
Year Ended Year Ended
December 31, 1996 December 31, 1995
------------------------ -----------------------
Shares Amount Shares Amount
- -----------------------------------------------------------------------------------------------------------------------------
BELGIUM/LUXEMBOURG SERIES
<S> <C> <C> <C> <C>
Sales 584,173 $ 7,619,405 928,016 $ 10,410,352
Issued to shareholders in payment
of distributions declared 111,259 1,453,384 29,949 345,335
Redemptions (490,375) (6,432,766) (847,368) (9,576,652)
--------- ------------ --------- ------------
Net Increase 205,057 $ 2,640,023 110,597 $ 1,179,035
========== ============= ========== =============
BRITAIN SERIES(1)
Sales 264,652 $ 2,847,337 1,951,985 $ 19,839,372
Issued to shareholders in payment
of distributions declared 126,746 1,051,808 87,576 883,342
Redemptions (1,312,055) (14,045,976) (699,716) (7,584,376)
--------- ------------ --------- ------------
Net Increase (Decrease) (920,657) $(10,146,831) 1,339,845 $ 13,138,338
========== ============= ========== =============
GERMANY SERIES(2)
Sales 1,125,043 $ 10,956,494 2,186,344 $ 21,785,141
Issued to shareholders in payment
of distributions declared 1 12 9,849 88,544
Redemptions (726,070) (7,137,412) (419,516) (4,107,984)
--------- ------------ --------- ------------
Net Increase 398,974 $ 3,819,094 1,776,677 $ 17,765,701
========== ============= ========== =============
HONG KONG SERIES
Sales 2,956,048 $ 40,005,914 11,282,631 $136,417,382
Issued to shareholders in payment
of distributions declared 24,389 384,612 28,862 339,619
Redemptions (2,843,413) (38,225,558) (10,873,290) (132,427,780)
--------- ------------ --------- ------------
Net Increase 137,024 $ 2,164,968 438,203 $ 4,329,221
========== ============= ========== =============
<FN>
(1) For the period from the start of business, April 20, 1995, to December 31,
1995. (2) For the period from the start of business, April 19, 1995, to December
31, 1995.
</FN>
</TABLE>
<PAGE>
Notes to Financial Statements - continued
<TABLE>
<CAPTION>
ITALIAN SERIES
<S> <C> <C> <C> <C>
Sales 1,129,779 $ 11,292,719 -- $ --
Redemptions (111,987) (1,144,232) -- --
--------- ------------ --------- ------------
Net Increase 1,017,792 $ 10,148,487 -- $ --
========== ============= ========== =============
JAPAN SERIES
Sales 1,936,498 $ 16,962,898 5,210,094 $ 46,542,960
Issued to shareholders in payment
of distributions declared -- -- 121 1,140
Redemptions (2,264,122) (19,667,146) (3,643,659) (32,317,402)
--------- ------------ --------- ------------
Net Increase (Decrease) (327,624) $ (2,704,248) 1,566,556 $ 14,226,698
========== ============= ========== =============
MEXICO SERIES
Sales 8,030,684 $ 40,764,497 19,209,779 $ 84,533,525
Issued to shareholders in payment
of distributions declared 27 177 40,963 129,034
Redemptions (11,639,808) (57,698,992) (13,619,950) (62,097,851)
--------- ------------ --------- ------------
Net Increase (Decrease) (3,609,097) $(16,934,318) 5,630,792 $ 22,564,708
========== ============= ========== =============
NETHERLANDS SERIES
Sales 957,002 $ 9,673,567 1,330,209 $ 12,016,616
Issued to shareholders in payment
of distributions declared 178,364 1,503,615 86,191 731,225
Redemptions (1,131,432) (11,485,497) (1,064,497) (9,624,795)
--------- ------------ --------- ------------
Net Increase (Decrease) 3,934 $ (308,315) 351,903 $ 3,123,046
========== ============= ========== =============
NORDIC SERIES
Sales 538,936 $ 7,070,054 474,832 $ 4,958,738
Issued to shareholders in payment
of distributions declared 5,676 81,338 1,372 15,001
Redemptions (378,056) (4,934,980) (1,083,870) (10,697,707)
--------- ------------ --------- ------------
Net Increase (Decrease) 166,556 $ 2,216,412 (607,666) $ (5,723,968)
========== ============= ========== =============
SWITZERLAND SERIES
Sales 325,732 $ 3,661,015 1,486,951 $ 15,834,863
Issued to shareholders in payment
of distributions declared 15,805 171,326 3,123 33,417
Redemptions (465,629) (5,226,618) (1,206,939) (12,820,709)
--------- ------------ --------- ------------
Net Increase (Decrease) (124,092) $ (1,394,277) 283,135 $ 3,047,571
========== ============= ========== =============
</TABLE>
<PAGE>
(5) INVESTMENT TRANSACTIONS
Purchases and sales of investments, other than U.S. Government securities
and short-term obligations, for the year ended December 31,1996, were as
follows:
<TABLE>
<CAPTION>
Purchases Sales Purchases Sales
- -----------------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C>
Belgium/Luxembourg $ 6,487,441 $ 5,701,222 Japan $10,481,505 $13,554,093
Britain 5,957,238 16,892,331 Mexico 17,941,941 30,001,727
Germany 17,126,661 14,918,640 Netherlands 7,857,429 10,283,981
Hong Kong 19,765,093 17,590,074 Nordic 5,540,990 3,681,254
Italian 11,725,129 2,291,248 Switzerland 3,952,464 6,031,853
- -----------------------------------------------------------------------------------------------------------------------
</TABLE>
(6) FEDERAL INCOME TAX BASIS OF INVESTMENT SECURITIES
The cost and gross and net unrealized appreciation/depreciation of the
investment securities owned at December 31, 1996, as computed on a federal
income tax basis, are as follows:
<TABLE>
<CAPTION>
Gross Gross Net Unrealized
Aggregate Unrealized Unrealized Appreciation
SERIES Cost Appreciation - Depreciation = ( Depreciation )
- -------------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C>
BELGIUM/LUXEMBOURG $ 15,012,836 $ 4,024,229 -- $ 438,703 = $ 3,585,526
============== ==============
BRITAIN $ 2,709,612 $ 683,104 -- $ 206 = $ 682,898
============== ==============
GERMANY $ 20,282,399 $ 2,904,144 -- $ 627,919 = $ 2,276,225
============== ==============
HONG KONG $ 26,766,698 $ 6,740,465 -- $ 481,849 = $ 6,258,616
============== ==============
ITALIAN $ 9,296,177 $ 1,061,936 -- $ 158,002 = $ 903,934
============== ==============
JAPAN $ 18,349,750 $ 466,293 -- $ 2,266,370 = $ (1,800,077)
============== ==============
MEXICO $ 19,618,360 $ 3,082,564 -- $ 776,031 = $ 2,306,533
============== ==============
NETHERLANDS $ 5,799,618 $ 1,211,643 -- $ 91,945 = $ 1,119,698
============== ==============
NORDIC $ 5,594,605 $ 1,148,645 -- $ 5,385 = $ 1,143,260
============== ==============
SWITZERLAND $ 5,735,549 $ 433,216 -- $ 241,528 = $ 191,688
============== ==============
</TABLE>
<PAGE>
(7) FINANCIAL INSTRUMENTS
The Funds regularly trade financial instruments with off-balance sheet risk
in the normal course of their investing activities in order to manage exposure
to market risks such as interest rates and foreign currency exchange rates.
These financial instruments include forward foreign currency exchange contracts.
The notional or contractual amounts of these instruments represent the
investment the Funds have in particular classes of financial instruments and
does not necessarily represent the amounts potentially subject to risk. The
measurement of the risks associated with these instruments is meaningful only
when all related and offsetting transactions are considered.
As of December 31, 1996, the Belgium and Italian Series had the following
forward foreign currency exchange contracts open:
<TABLE>
<CAPTION>
SALES
Settlement Contracts In Exchange For Contracts Net Unrealized
Date to Deliver (in U. S. Dollars) at Value Depreciation
- -------------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C>
01/08/97 Belgian Franc 16,213,830 $ 511,386 $ 505,734 $ (5,652)
01/03/97 Italian Lira 25,410,750 16,731 16,590 (141)
01/07/97 Italian Lira 29,645,875 19,515 19,341 (174)
01/08/97 Italian Lira 109,577,650 72,129 71,901 (228)
01/14/97 Italian Lira 639,005,625 420,484 416,765 (3,719)
----------- ----------- ----------- -----------
TOTAL 819,853,730 $1,040,245 $1,030,331 $(9,914)
========== ========== ========= =========
PURCHASES
Settlement Contracts In Exchange For Contracts Net Unrealized
Date to Receive (in U. S. Dollars) at Value Depreciation
- -------------------------------------------------------------------------------------------------------------------------
01/08/97 Belgian Franc 12,759,919 $402,449 $398,001 $4,448
========== ========= ======
</TABLE>
At December 31, 1996, the Belgium and Italian Series had sufficient cash and/or
securities to cover any commitments under these contracts.
(8) CONTINGENT DEFERRED
SALES CHARGE (CDSC)
Effective January 1, 1996, shares that are redeemed in the first 30 days
after purchase will be subject to a contingent deferred sales charge at the rate
of one-and-one-half percent of redemption proceeds exclusive of all
reinvestments and capital appreciation in the account. This redemption fee will
be paid by the redeeming shareholder to, and retained by, the respective Fund.
<PAGE>
No contingent deferred sales charge is imposed on exchanges for shares of other
funds in the Wright EquiFund Equity Trust which are distributed with a
contingent deferred sales charge. For the year ended December 31, 1996, the
following amounts of CDSC were paid by shareholders to the Funds:
Fund CDSC Fee
------ ---------
Belgium/Luxembourg $ 4,025
Britain 3,038
Germany 1,373
Hong Kong 62,599
Italy 82
Japan 15,119
Mexico 103,221
Netherlands 11,857
Nordic 9,789
Switzerland 3,053
(9) RISKS ASSOCIATED WITH
FOREIGN INVESTMENTS
Investing in securities issued by companies whose principal business
activities are outside the United States may involve significant risks not
present in domestic investments. For example, there is generally less publicly
available information about foreign companies, particularly those not subject to
the disclosure and reporting requirements of the U.S. securities laws. Foreign
issuers are generally not bound by uniform accounting, auditing, and financial
reporting requirements and standards of practice comparable to those applicable
to domestic issuers. Investments in foreign securities also involve the risk of
possible adverse changes in investment or exchange control regulations,
expropriation or confiscatory taxation, limitation on the removal of funds or
other assets of the Trust, political or financial instability or diplomatic and
other developments which could affect such investments. Foreign stock markets,
while growing in volume and sophistication, are generally not as developed as
those in the United States, and securities of some foreign issuers (particularly
those located in developing countries) may be less liquid and more volatile than
securities of comparable U.S. companies. In general, there is less overall
governmental supervision and regulation of foreign securities markets,
broker-dealers, and issuers than in the United States.
Settlement of securities transactions in foreign countries may be delayed
and is generally less frequent than in the United States, which could affect the
liquidity of the Trust's assets. The Trust may be unable to sell securities
where the registration process is incomplete and may experience delays in
receipt of dividends.
<PAGE>
Independent Auditors' Report
To the Trustees and Shareholders of
The Wright EquiFund Equity Trust:
We have audited the accompanying statements of assets and liabilities,
including the portfolios of investments, of The Wright EquiFund Equity Trust
(the Trust) (comprising, respectively, of Belgium/Luxembourg, Britain, Germany,
Hong Kong, Italian, Japan, Mexico, Netherlands, Nordic, and Switzerland Series)
as of December 31, 1996 and the related statements of operations for the year
then ended, and the statements of changes in net assets for the years ended
December 31, 1996 and 1995 and the financial highlights for each of the years in
the five-year period ended December 31, 1996. These financial statements and
financial highlights are the responsibility of the Trust's management. Our
responsibility is to express an opinion on these financial statements and
financial highlights based on our audits.
We conducted our audits in accordance with generally accepted auditing
standards. Those standards require that we plan and perform the audit to obtain
reasonable assurance about whether the financial statements and financial
highlights are free of material misstatement. An audit includes examining, on a
test basis, evidence supporting the amounts and disclosures in the financial
statements. Our procedures included confirmation of the securities owned at
December 31, 1996, by correspondence with the custodian and brokers; where
replies were not received from brokers, we performed other auditing procedures.
An audit also includes assessing the accounting principles used and significant
estimates made by management, as well as evaluating the overall financial
statement presentation. We believe that our audits provide a reasonable basis
for our opinion.
In our opinion, such financial statements and financial highlights
present fairly, in all material respects, the financial position of each of the
respective Series constituting The Wright EquiFund Equity Trust as of December
31, 1996, the results of their operations, the changes in their net assets, and
their financial highlights for the respective stated periods in conformity with
generally accepted accounting principles.
DELOITTE & TOUCHE LLP
Boston, Massachusetts
January 31, 1997
EquiFund
THE WRIGHT EQUIFUND
EQUITY TRUST
Annual Report
Officers and Trustees of the Funds
Peter M. Donovan, President and Trustee
H. Day Brigham, Jr., Vice President , Secretary and Trustee
A. M. Moody III, Vice President and Trustee
Judith R. Corchard, Vice President
Winthrop S. Emmet, Trustee
Leland Miles, Trustee
Lloyd F. Pierce, Trustee
Raymond Van Houtte, Trustee
James L. O'Connor, Treasurer
William J. Austin, Jr., Assistant Treasurer
Administrator
Eaton Vance Management
24 Federal Street
Boston, Massachusetts 02110
Investment Adviser
Wright Investors' Service
1000 Lafayette Boulevard
Bridgeport, Connecticut 06604
Principal Underwriter
Wright Investors' Service Distributors, Inc.
1000 Lafayette Boulevard
Bridgeport, Connecticut 06604
Custodian
Investors Bank & Trust Company
89 South Street
Boston, Massachusetts 02111
Transfer and Dividend Disbursing Agent
First Data Investor Services Group
Wright Managed Investment Funds
P.O. Box 5123
Westborough, Massachusetts 01581-5123
Independent Auditors
Deloitte & Touche LLP
125 Summer Street
Boston, Massachusetts 02110
This report is not authorized for use as an offer of sale or a solicitation of
an offer to buy shares of a mutual fund unless accompanied or preceded by a
Fund's current prospectus.
