THE WRIGHT EQUIFUND EQUITY TRUST
SEMI-ANNUAL REPORT
JUNE 30,1999
o Wright EquiFund -- Hong Kong/China
o Wright EquiFund -- Japan
o Wright EquiFund -- Mexico
o Wright EquiFund -- Netherlands
The Wright Equity Equity Trust
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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. EquiFund consists
of four separate and distinct non-diversified series or funds:
Wright EquiFund -- Hong Kong/China Wright EquiFund -- Mexico
Wright EquiFund -- Japan Wright EquiFund -- Netherlands
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.
Table of Contents
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Investment Objective ................................Inside Front Cover
Letter To Shareholders .............................................. 1
Management Discussion ................................................2
Dividend Distributions and Investment Return .........................4
PORTFOLIOS
Wright EquiFund -- Hong Kong/China....................................6
Wright EquiFund -- Japan..............................................7
Wright EquiFund -- Mexico.............................................8
Wright EquiFund -- Netherlands........................................9
FINANCIAL STATEMENTS
Wright EquiFund -- Hong Kong/China....................................10
Wright EquiFund -- Japan..............................................12
Wright EquiFund -- Mexico.............................................14
Wright EquiFund -- Netherlands........................................16
Financial Highlights..................................................18
Notes to Financial Statements ........................................22
<PAGE>
Letter To Shareholders
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July 1999
Dear Shareholders:
The central actor on the world stage so far in 1999, the U.S. Federal
Reserve, waited until the final day of June to speak its lines - and the
audience of investors applauded. Investors spent most of the first half
speculating on when the Fed would tighten and by how much. The Fed finally
obliged its anti-inflation contingent with a quarter-point boost to the federal
funds rate (to 5.0%) at its June 30 FOMC meeting. As it turned out, the Fed's
action wasn't as bad as markets had feared, and stocks ended the first half with
a flourish, rising to all-time highs in the U.S. and on the upswing most
everywhere else. For the first six months of 1999, dollar-based returns in Japan
and the rest of the Pacific were in the 20%-25% range, while U.S. stocks did
about half that well and Europe was down slightly due mostly to the euro's 11%
drop.
Long-term interest rates have climbed by upwards of 100 basis points from
last October's lows. With signs of economic recovery appearing in Asia and Latin
America, the liquidity premium that investors paid for U.S. Treasuries during
last fall's crisis has narrowed, as one might expect. The bulk of the rise in
bond yields since last summer, however, has resulted from rising expectations of
tightening by the Fed. Ironically, although the Fed has raised rates only 25
basis points, global bond yields are already back to the levels that prevailed
before the arrival of last summer's global financial crisis and the Fed's
subsequent 75 basis-point easing.
For investors willing to look beyond the current uncertainty about the
Fed's interest rate policy, the yields available in the world's major bond
markets today are quite attractive - particularly if we are right about
inflation staying low. The U.S. economy was robust as the first half was coming
to an end, but inflation pressures were generally modest thanks to strong growth
in productivity, ample global capacity and competitive markets. Of course, there
is always the risk of occasional glitches in the inflation indicators - as with
July's report of an acceleration in the Employment Cost Index. But on the whole,
we believe that inflation will remain under control due to today's competitive
markets and the more-than-adequate capacity worldwide.
The countdown to Y2K is now at six months, and Wright has essentially
completed the migration to Y2K-compliant portfolio accounting and client
interface systems. We are on schedule to a summer completion for the transition
of our investment information systems from mainframe to a PC-based network.
Wright securities analysts continue to monitor the Y2K compliance of companies
on the Approved Wright Investment List. In the end, we believe that diversified
portfolios of high-quality securities provide the best protection against
short-run Y2K problems for any individual security.
The global economic environment has improved in 1999, and while higher
interest rates will probably bring some slowing as we draw near to Y2K, we
expect growth in the U.S. to continue at a respectable rate. In Europe, low
interest rates and the first shoots of economic improvement form some basis for
optimism that earnings - and relative stock performance - will begin to turn up.
Recovery from the Asian crisis will not be without its hiccups, but progress is
being made. Add to these factors our forecast of low inflation and improvement
in global bond markets, and the result should be a generally favorable
environment for equities. Still, we doubt that equity investors can finesse away
the issue of valuation ad infinitum. In other words, more modest returns to
stocks should be expected going forward.
The paragraphs on the following pages discuss the economic, political and
market factors affecting the investment performance of the Wright EquiFunds
during the first half of 1999 and prospects for the period ahead.
Sincerely,
/s/ Peter M.Donovan
Peter M. Donovan
President
<PAGE>
MANAGEMENT DISCUSSION
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HONG KONG/CHINA
Despite concern that the U.S. central bank would raise interest rates, Hong Kong
stocks rose about 11% in June, bringing their advance to 26% for the second
quarter and 32% for the first half of 1999. Even after the U.S. Federal
Reserve's 25-basis-point rate increase, Hong Kong banks left their prime rates
steady at 8.25%. According to the chairman of the Hong Kong Association of
Banks, there is still enough leeway to hold the local rate steady without
risking the Hong Kong dollar's peg to the U.S. currency.
With the Hong Kong economy still in recession, the banking group is
reluctant to raise rates. (With consumer prices down 4% in the year through May,
real interest rates are higher than the nominal rates.) In the first quarter,
real GDP declined a larger-than-expected 3.5% from a year earlier. Through
April, retail sales had declined for 18 consecutive months year-over-year; the
Chairman of Hong Kong's retail association says growth may not resume for
another year. There are signs that exports are bottoming, according to the
government, but they have yet to turn up. There has been some recovery in the
property sector, with prices up about 15% from last fall's lows. Stock prices
have just about doubled since last August. The EquiFund - Hong Kong Fund was
helped by the rebound in investor interest in emerging Asian markets. The fund
benefited by its overweight position relative to the FT/S&P Hong Kong Index in
the Banking and Financial Institutions industry and its underweighting in Real
Estate and Utilities. The fund was negatively affected by market timing
activities. The fund is taking aggressive actions against such activities in the
future.
JAPAN
The Japanese stock market was strong in the first half of 1999, and the
gains have continued in July. In the April-June period, the FT/S&P Actuaries
total return index for Japan increased 11% in yen and 9% in dollars, bringing
the gain for the first half of the year to nearly 30% in yen and 21% in dollars.
Japanese stocks are still down by more than one-third from their 1989 peak in
dollar terms. Japan was one of the best performing of the developed markets
during the first half of 1999. EquiFund-Japan performed in line with its
benchmark, the FT/S&P Japan Index. As the Bank of Japan continued to spur
domestic demand, the fund's overweighting in Retail stocks proved advantageous.
The low interest rates and the state's intervention to bail out banks helped the
Bank and Financial Institutions. The relative underweighting in this sector
proved disadvantageous for the fund.
The worst may be over for the Japanese economy. Real GDP increased at a
7.9% annual rate in the first quarter, ending 15 months of contraction.
Government spending accounted for nearly half of the increase, and the nearly 8%
gain certainly overstates the strength of domestic demand, which remains shaky.
The Bank of Japan is maintaining an accommodating monetary policy, targeting
overnight lending rates at 0.3% (although it often trades at zero). The BOJ has
flooded the banking system with trillions of yen in order to boost economic
growth The government is attempting to curb the yen's rise in the foreign
exchange markets in order to spur exports, but it is having only limited
success. Going forward, exports may get a lift from rising demand in emerging
markets. Business confidence has increased for the second straight quarter,
according to the government's Tankan survey.
<PAGE>
MEXICO
In the second quarter of 1999, the FT/S&P Actuaries total return index for
Mexico increased 18% in pesos and 19% in dollars. For the first half of 1999,
Mexican stocks returned 49% in pesos and 55% in dollars, the third best dollar
rise (after Indonesia and in Thailand) in the FT universe of 29 national
markets. In June, Mexican stocks got a boost from the news that the government
received a new funding package from organizations including the IMF and the
World Bank. The IMF noted that the new financing is not a sign of stress in
Mexico; rather it is confirmation that the IMF backs Mexico's economic policies.
Mexican stocks were volatile in July on fallout from instability in other Latin
American countries, such as Argentina, and nervousness about interest rate
policies north of the border. Wright EquiFund - Mexico ended the first half of
1999 with superior stock selection relative to the FT/S&P Mexico Index. The
fund, even though up over 45%, lagged the benchmark due to the underweighting in
Telefonos de Mexico (Telmex).At 13% of assets, Telmex represents the single
largest position in EquiFund. However, this is overshadowed by 31% weight that
Telmex commands in the index. Wright EquiFund - Mexico was helped by Paper and
Forest Products and Commercial Bank industry groups.
Mexico's economy is continuing to look good. Consumer prices rose 0.6% in May,
the smallest rise in five years. The peso's appreciation of about 6% compared to
the dollar so far this year has helped to hold down the price of imports.
Short-term interest rates have come down from in excess of 30% early in the year
to the 20% range currently, giving the economy a boost. Industrial production
was 4% higher in May than a year earlier.
NETHERLANDS
As was the case with much of Europe, the Dutch stock market was lackluster
in the second quarter of 1999. The FT/S&P Actuaries total return index for the
Netherlands rose 5.4% in local currency and 0.6% in dollars for the April-June
period. In the first half of 1999, Dutch stock prices were up 7% in local
currency and down 6% in dollars; this is a little behind the average for Europe
(+9% local and -1% in dollars). The euro's 11% decline vs the dollar in the
first half of 1999 was the biggest negative in the performance of Euro markets
such as the Netherlands. Wright EquiFund - Netherlands was helped by its
relative underweighting in the Life Insurance industry. The increasing oil
prices helped investor demand for oil and oil-related stocks. Royal Dutch Shell,
which is over 20% of the index, hurt relative performance as it commanded only
10% weight in the fund.
The Dutch government has raised its forecast of 1999 GDP growth to 2.3%. Three
months ago, the forecast was for 2.0% growth, a far cry from 1998's actual 3.8%
rise. Weaker exports are the main reason growth is expected to slow this year
from last, but the depreciation in the euro/guilder since the start of the year
has improved the prospect for exports somewhat. (The euro has strengthened some
4% in July.) On the other hand, the currency's weakness since January 1, along
with higher oil prices, has contributed to an increase in the inflation
forecast, to 2.0% from 1.3% forecast in April. For the year to June, Dutch
consumer prices were up 2.3%.
-----------------------------------
INVESTORS ARE REMINDED THAT PAST PERFORMANCE DOES NOT GUARANTEE FUTURE RESULTS
AND THAT 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.
<PAGE>
Dividend Distributions and Investment Return
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<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)
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WRIGHT EQUIFUND - HONG KONG/CHINA
<S> <C> <C> <C> <C> <C> <C> <C> <C>
6/28/90 $10.00 100.00 $1,000.00
Dec. 98 9.21 0.55 0.05814 125.38 1,154.73 -18.65% -13.49% 1.71%
Jan. 99 8.40 125.38 1,053.17 -12.60% -14.10% 0.61%
Feb. 99 8.53 125.38 1,069.47 -21.92% -12.26% 0.79%
Mar. 99 9.36 125.38 1,173.54 -13.73% -9.27% 1.86%
Apr. 99 10.90 125.38 1,366.62 11.01% -6.27% 3.64%
May 99 10.10 125.38 1,266.32 18.48% -8.39% 2.71%
Jun. 99 11.14 125.38 1,396.71 42.02% -5.38% 3.82%
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WRIGHT EQUIFUND - JAPAN
2/14/94 $10.00 100.00 $1,000.00
Dec. 98 7.21 101.28 730.19 5.41% - -6.25%
Jan. 99 7.18 101.28 727.16 0.28% - -6.32%
Feb. 99 6.93 101.28 701.84 0.43% -7.24% -6.88%
Mar. 99 7.86 101.28 796.02 17.31% -4.54% -4.43%
Apr. 99 8.14 101.28 824.38 21.49% -4.34% -3.70%
May 99 7.81 101.28 790.96 21.46% -4.94% -4.40%
Jun. 99 8.65 101.28 876.03 33.08% -4.26% -2.47%
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WRIGHT EQUIFUND - MEXICO
8/02/94 $10.00 100.00 $1,000.00
Dec. 98 4.81 109.09 524.72 -37.21% - -13.59%
Jan. 99 4.62 109.09 503.99 -30.11% - -14.37%
Feb. 99 5.17 109.09 563.99 -24.64% - -11.95%
Mar. 99 5.98 109.09 652.35 -16.25% - -8.91%
Apr. 99 6.82 109.09 743.99 -6.58% - -6.15%
May 99 6.26 109.09 682.90 -1.73% - -7.72%
Jun. 99 6.98 109.09 761.44 17.31% - -5.49%
- --------------------------------------------------------------------------------------------------------------------------------
WRIGHT EQUIFUND - NETHERLANDS
6/28/90 $10.00 100.00 $1,000.00
Dec. 98 11.70 0.477 0.043562 229.92 2,690.09 24.46% 21.07% 12.35%
Jan. 99 10.99 229.92 2,526.84 14.80% 18.15% 11.52%
Feb. 99 10.69 229.92 2,457.87 1.23% 17.44% 11.04%
Mar. 99 10.44 0.157 0.014632 233.29 2,435.51 -2.69% 17.44% 10.82%
Apr. 99 11.03 233.29 2,573.15 1.64% 18.16% 11.41%
May 99 10.54 233.29 2,458.84 -7.84% 17.29% 10.73%
Jun. 99 10.59 233.29 2,470.50 -6.79% 17.62% 10.68%
</TABLE>
<PAGE>
WRIGHT EQUIFUND - HONG KONG/CHINA
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Portfolio of Investments as of June 30, 1999 (Unaudited)
Shares Description Value
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AEROSPACE - 2.1%
48,000 Hong Kong Aircraft Engineering Co. $ 92,794
-----------
DIVERSIFIED - 12.0%
38,000 Hutchison Whampoa Ltd. $ 344,048
63,734 New World Development 190,978
-----------
$ 535,026
-----------
ELECTRICAL - 4.3%
46,800 Johnson Electric Holdings-500 $ 193,012
-----------
FINANCIAL - 29.9%
74,004 Bank of East Asia Hong Kong $ 187,416
54,000 Guoco Group Ltd. 144,759
16,900 Hang Seng Bank 188,949
13,548 HSBC Holdings 676,507
33,640 Wing Lung Bank 130,934
-----------
$ 1,328,565
-----------
PRINTING & PUBLISHING - 3.2%
252,000 South China Morning Post (Hold.) Ltd. $ 141,279
-----------
REAL ESTATE & OTHER FINANCIALS - 12.7%
22,000 Cheung Kong (Holdings) Ltd. $ 195,641
34,000 Henderson Land Devel. Co. Ltd. 195,435
19,193 Sun Hung Kai Properties Ltd. 175,008
-----------
$ 566,084
-----------
RETAILERS - 9.0%
202,000 Esprit Holdings Ltd. $ 136,678
176,000 Giordano Int'l. Ltd. 124,757
148,000 Jardine Int'l. Motor Holdings 76,298
173,000 Sime Darby Hong Kong Limited 62,987
-----------
$ 400,720
-----------
TRANSPORTATION - 3.8%
111,000 Cathay Pacific Airways Ltd. $ 170,239
-----------
UTILITIES - 12.6%
127,088 Hong Kong & China Gas $ 184,266
58,000 Hong Kong Electric Holdings Ltd. 186,877
73,090 Hong Kong Telecom. 189,811
-----------
$ 560,954
-----------
MISCELLANEOUS - 4.0%
56,000 Citic Pacific Ltd. $ 178,629
-----------
WARRANTS - 0.0%
9,078 Hong Kong & China Gas* $ 0
-----------
Total Investments
(identified cost, $2,392,681) - 93.6% $ 4,167,302
Other Assets, Less Liabilities - 6.4% 287,251
-----------
Net Assets - 100.0% $ 4,454,553
============
* Non-income producing security.
See notes to financial statements
<PAGE>
WRIGHT EQUIFUND - JAPAN
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Portfolio of Investments as of June 30, 1999 (Unaudited)
Shares Description Value
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AUTOMOTIVE - 20.2%
7,000 Honda Motor Co. Ltd. $ 296,581
16,000 Toyota Motor Corp. 506,111
-----------
$ 802,692
-----------
BEVERAGES - 1.5%
3,000 Mikuni Coca-Cola Bottling $ 60,951
-----------
CHEMICALS - 8.8%
6,000 Bridgestone Corp. $ 181,368
5,000 Shin-Etsu Chemical Co., Ltd. 167,245
-----------
$ 348,613
-----------
DRUGS, COSMETICS & HEALTHCARE - 12.8%
4,000 Ono Pharmaceutical $ 136,439
3,365 Santen Pharmaceutical 66,700
5,000 Taisho Pharmaceutical Co. Ltd. 165,180
3,000 Takeda Chem Industries Ltd. 138,999
-----------
$ 507,318
-----------
ELECTRONICS - 21.5%
3,000 Aiwa Co., Ltd. $ 99,108
1,000 Hirose Electronics Co., Ltd. 103,733
850 Keyence Corp. 148,687
2,800 Kyocera Corp. 164,189
2,000 Matsushita Commun. 142,881
3,000 Murata Mfg. Co. Ltd. 194,251
-----------
$ 852,849
-----------
MACHINERY & EQUIPMENT - 5.2%
6,000 Canon Inc. $ 172,448
4,000 Tsukishima Kikai Co., Ltd. 34,027
-----------
$ 206,475
-----------
PAPER - 2.2%
2,000 Uni-Charm Corporation $ 86,720
-----------
PRINTING & PUBLISHING - 4.0%
10,000 Dai Nippon Printing Co. Ltd. $ 159,812
-----------
REAL ESTATE & OTHER FINANCIALS - 2.6%
1,000 Takefuji Corporation $ 103,320
-----------
RETAILERS - 7.8%
2,460 Familymart Co., Ltd. $ 112,760
1,500 Shimamura Co., Ltd. 126,982
1,800 York-Benimaru Co., Ltd. 67,939
-----------
$ 307,681
-----------
MISCELLANEOUS - 11.6%
2,000 Autobacs Seven Co., Ltd. $ 97,126
200 Bellsystem24 Inc. 81,682
2,000 Hoya Corp. 112,818
5,000 Meitec Corp. 167,244
-----------
$ 458,870
-----------
Total Investments
(identified cost, $2,816,338) - 98.2% $ 3,895,301
Other Assets, Less Liabilities - 1.8% 72,961
-----------
Net Assets - 100.0% $ 3,968,262
============
See notes to financial statements
<PAGE>
WRIGHT EQUIFUND - MEXICO
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Portfolio of Investments as of June 30, 1999 (Unaudited)
Shares Description Value
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BEVERAGES - 13.5%
128,000 Fomento Economico Mexicano $ 511,838
19,400 Panamerican Beverages Inc. 461,963
157,000 Pepsi-Gemex SA de CV 231,854
189,000 Grupo Continental SA - Ser CP 295,505
-----------
$ 1,501,160
-----------
CONSTRUCTION - 9.7%
57,000 Apasco SA $ 373,850
106,590 Cemex SA - CPO 525,451
221,000 Grupo Cementos Chihuahua-B 181,420
-----------
$ 1,080,721
-----------
DIVERSIFIED - 14.6%
113,213 Alfa SA-A $ 468,876
321,000 Desc Sociedad de Fomento Indl. 349,762
112,000 Grupo Carso SA 517,762
81,000 Grupo Industrial Saltillo SA 285,338
-----------
$ 1,621,738
-----------
FOOD - 6.3%
226,092 Grupo Industrial Bimbo-Ser A $ 502,267
335,000 Grupo Industrial Maseca SA de CV 198,456
-----------
$ 700,723
-----------
METAL PRODUCERS - 7.1%
113,000 Grupo Mexico SA Ser B $ 479,350
106,000 Industrias Penoles S.A. de C.V. 306,125
-----------
$ 785,475
-----------
METAL PRODUCTS MFRS. - 2.0%
21,000 Tubos De Acero $ 226,595
-----------
PAPER - 4.6%
126,000 Kimberly Clark de Mexico S.A. $ 517,169
-----------
REAL ESTATE & OTHER FINANCIALS - 4.9%
218,000 Grupo Financieri Banamex* $ 550,016
-----------
RECREATION - 4.6%
23,000 Grupo Televisa SA-Ser CPO $ 512,165
-----------
RETAILERS - 14.4%
413,920 Cifra SA de CV B $ 802,181
267,000 Controladora Coml Mexicana 277,931
111,000 Organizacion Soriana SA de CV 520,184
-----------
$ 1,600,296
-----------
UTILITIES - 13.0%
361,000 Telefonos de Mexico $ 1,443,542
-----------
MISCELLANEOUS- 4.1%
80,000 Savia S.A. de C.V. $ 451,920
-----------
Total Investments
(identified cost, $7,453,643) - 98.8% $10,991,520
Other Assets, Less Liabilities - 1.2% 135,266
-----------
Net Assets - 100.0% $11,126,786
============
* Non-income producing security.
See notes to financial statements
<PAGE>
WRIGHT EQUIFUND - NETHERLANDS
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Portfolio of Investments as of June 30, 1999 (Unaudited)
Shares Description Value
- -------------------------------------------------------------------------------
BEVERAGES - 4.4%
11,675 Heineken N.V. $ 597,923
-----------
CHEMICALS - 4.3%
14,100 Akzo Nobel N.V. $ 593,401
-----------
CONSTRUCTION - 4.1%
13,542 Hollandsche Beton Groep N.V. $ 173,210
9,666 Koninklijke Volker Wessels Stevin N.V. 185,451
10,900 NBM-Amstelland N.V. 199,569
-----------
$ 558,230
-----------
DIVERSIFIED - 3.0%
9,583 Internatio-Mueller N.V. $ 211,041
8,906 Stork N.V. 203,023
-----------
$ 414,064
-----------
ELECTRONICS - 8.4%
13,143 Getronics N.V. $ 505,676
6,532 Koninklijke Philips Electronics NV 644,467
-----------
$ 1,150,143
-----------
FINANCIAL - 4.3%
27,326 ABN Amro Holdings N.V. $ 591,922
-----------
FOOD - 13.1%
7,310 CSM N.V. Cert. $ 365,326
21,222 Unilever N.V. 1,430,544
-----------
$ 1,795,870
-----------
MACHINERY & EQUIPMENT - 2.3%
12,500 Oce-Van Der Grinten $ 318,476
-----------
METAL PRODUCTS MANUFACTURERS - 2.0%
8,297 Hunter Douglas N.V. $ 284,993
-----------
OIL, GAS & COAL - 14.8%
34,600 Kon Nederlandsche Petroleum Maats $ 2,027,186
-----------
PRINTING & PUBLISHING - 10.3%
12,190 Telegraaf (Holdingsmij) - CVA $ 240,163
15,250 VNU N.V. 609,552
13,976 Wolters Kluwer N.V. 556,467
-----------
$ 1,406,182
-----------
REAL ESTATE & OTHER FINANCIALS - 12.8%
7,301 Aegon N.V. $ 529,805
19,868 Fortis (NL) NV 613,790
11,238 ING Groep N.V. 608,580
-----------
$ 1,752,175
-----------
RETAILERS - 4.0%
20,400 Vendex N.V. $ 545,003
-----------
TEXTILES - 1.1%
3,457 Gamma Holding N.V. $ 149,768
-----------
TRANSPORTATION - 3.8%
21,556 TNT Post Groep N.V. $ 514,741
-----------
MISCELLANEOUS - 5.4%
5,761 Fugro N.V. $ 164,012
14,063 Hagemeyer N.V. 459,840
6,583 Koninkliijke Ahrend N.V. 114,418
-----------
$ 738,270
-----------
Total Investments
(identified cost, $10,625,554) - 98.1% $13,438,347
Other Assets, Less Liabilities - 1.9% 258,667
-----------
Net Assets - 100.0% $13,697,014
============
See notes to financial statements
<PAGE>
WRIGHT EQUIFUND - HONG KONG/CHINA
- -------------------------------------------------------------------------------
STATEMENT OF ASSETS AND LIABILITIES
June 30, 1999 (unaudited)
- -------------------------------------------------------------------------------
ASSETS:
Investments --
Identified cost...................... $ 2,392,681
Unrealized appreciation.............. 1,774,621
------------
Total value (Note 1A).............. $ 4,167,302
Cash................................... $ 288,160
Receivable from Investment Adviser..... 310
Dividends receivable................... 5,519
------------
Total Assets......................... $ 4,461,291
------------
LIABILITIES:
Accrued expenses....................... $ 6,738
------------
Total Liabilities.................... $ 6,738
------------
NET ASSETS................................ $ 4,454,553
=============
NET ASSETS CONSIST OF:
Paid-in capital........................... $ 5,494,382
Accumulated net realized loss on investment
and foreign currency transactions
(computed on the basis of identified cost) (2,958,394)
Unrealized appreciation of investments and
translation of assets and liabilities in foreign
currencies (computed on the basis of
identified cost)....................... 1,774,619
Undistributed net investment income....... 143,946
------------
Net assets applicable to outstanding shares $ 4,454,553
=============
SHARES OF BENEFICIAL INTEREST
OUTSTANDING............................ 399,912
=============
NET ASSET VALUE, OFFERING PRICE,
AND REDEMPTION PRICE PER SHARE
OF BENEFICIAL INTEREST (NOTE 10)....... $11.14
=============
STATEMENT OF OPERATIONS
For the Six Months Ended June 30, 1999 (unaudited)
- -------------------------------------------------------------------------------
INVESTMENT INCOME:
Income --
Dividends.............................. $ 93,520
------------
Total investment income............ $ 93,520
------------
Expenses --
Investment Adviser fee (Note 2)........ $ 20,455
Administrator fee (Note 2)............. 2,727
Compensation of Trustees not affiliated with
the Investment Adviser or Administrator
(Note 2)............................. 1,753
Custodian fee (Note 1E)................ 23,667
Transfer & dividend disbursing agent fees 4,903
Distribution expenses (Note 3)......... 6,818
Audit fees............................. 16,473
Legal services......................... 4,429
Registration costs..................... 7,438
Interest expense....................... 4,368
Printing............................... 420
------------
Total expenses..................... $ 93,451
------------
Deduct --
Preliminary reduction of Investment Adviser
fee (Note 2)......................... $ 20,455
Preliminary allocation of expenses to the
Investment Adviser (Note 2).......... 310
Preliminary reduction of distribution expense
by Principal Underwriter (Note 3).... 6,818
Reduction of Custodian fee (Note 1E)... 11,322
------------
Total deducted..................... $ 38,905
------------
Net expenses....................... $ 54,546
------------
Net investment income........... $ 38,974
------------
REALIZED AND UNREALIZED GAIN:
Net realized gain on investment and foreign
currency transactions (identified
cost basis)............................ $ 758,088
Change in unrealized appreciation of
investments and translation of assets
and liabilities in foreign currencies.. 482,816
------------
Net realized and unrealized gain....... $ 1,240,904
------------
Net increase in net assets from operations $ 1,279,878
=============
See notes to financial statements
<PAGE>
WRIGHT EQUIFUND - HONG KONG/CHINA
- -------------------------------------------------------------------------------
<TABLE>
<CAPTION>
STATEMENTS OF CHANGES IN NET ASSETS
Year Ended December 31
1999(1) 1998
- -------------------------------------------------------------------------------------------------------------------------
INCREASE (DECREASE) IN NET ASSETS:
From operations --
<S> <C> <C>
Net investment income .............................................. $ 38,974 $ 145,167
Net realized gain (loss)............................................ 758,088 (2,557,232)
Change in unrealized appreciation................................... 482,816 2,157,556
----------- -----------
Increase (decrease) in net assets from operations................ $ 1,279,878 $ (254,509)
Distributions to shareholders from net investment income.............. - (299,066)
Distributions to shareholders from paid-in capital.................... - (175,733)
Undistributed net investment income included in price of shares
sold and redeemed (Note 1D)......................................... (219,053) 333,820
Net increase (decrease) from Fund share transactions (exclusive of amounts
allocated to net investment income) (Note 4)....................... (4,489,205) 1,320,868
----------- -----------
Net increase (decrease) in net assets............................... $ (3,428,380) $ 925,380
NET ASSETS:
At beginning of period................................................ 7,882,933 6,957,553
----------- -----------
At end of period...................................................... $ 4,454,553 $ 7,882,933
=========== ===========
UNDISTRIBUTED NET INVESTMENT
INCOME INCLUDED IN NET ASSETS AT END OF YEAR.......................... $ 143,946 $ 324,025
=========== ===========
(1) For the six months ended June 30, 1999 (unaudited).
</TABLE>
See notes to financial statements
<PAGE>
WRIGHT EQUIFUND - JAPAN
- -------------------------------------------------------------------------------
STATEMENT OF ASSETS AND LIABILITIES
June 30, 1999 (unaudited)
- ------------------------------------------------------------------------------
ASSETS:
Investments --
Identified cost...................... $ 2,816,338
Unrealized appreciation.............. 1,078,963
------------
Total value (Note 1A).............. $ 3,895,301
Cash................................... $ 71,842
Foreign cash........................... 4,450
Receivable for fund shares sold........ 2,500
Receivable from Investment Adviser..... 19,000
Dividends receivable................... 877
Tax reclaim receivable................. 55
------------
Total Assets......................... $ 3,994,025
------------
LIABILITIES:
Payable for fund shares reacquired..... $ 19,109
Accrued expenses....................... 6,654
------------
Total Liabilities.................... $ 25,763
------------
NET ASSETS................................ $ 3,968,262
=============
NET ASSETS CONSIST OF:
Paid-in capital........................... $ 6,743,191
Accumulated net realized loss on investment
and foreign currency transactions
(computed on the basis of identified cost) (3,805,984)
Unrealized appreciation of investments and
translation of assets and liabilities in foreign
currencies (computed on the basis of
identified cost)....................... 1,078,877
Distributions in excess of net investment
income................................. (47,822)
------------
Net assets applicable to outstanding shares $ 3,968,262
=============
SHARES OF BENEFICIAL INTEREST
OUTSTANDING............................ 458,755
=============
NET ASSET VALUE, OFFERING PRICE,
AND REDEMPTION PRICE PER SHARE
OF BENEFICIAL INTEREST (NOTE 10)....... $8.65
=============
STATEMENT OF OPERATIONS
For the Six Months Ended June 30, 1999 (unaudited)
- -------------------------------------------------------------------------------
INVESTMENT INCOME:
Income --
Dividends.............................. $ 8,333
Less foreign taxes..................... (1,400)
------------
Total investment income............ $ 6,933
------------
Expenses --
Investment Adviser fee (Note 2)........ $ 13,766
Administrator fee (Note 2)............. 1,834
Compensation of Trustees not affiliated with
the Investment Adviser or Administrator
(Note 2)............................. 2,283
Custodian fee (Note 1E)................ 15,964
Transfer & dividend disbursing agent fees 4,995
Distribution expenses (Note 3)......... 4,589
Audit fees............................. 13,273
Legal services......................... 10,885
Registration costs..................... 6,088
Amortization of organization expense
(Note 1F)............................ 240
Interest expense....................... 607
Printing............................... 159
Miscellaneous.......................... 2,065
------------
Total expenses..................... $ 76,748
------------
Deduct --
Preliminary reduction of Investment Adviser
fee (Note 2)......................... $ 13,766
Preliminary allocation of expenses to the
Investment Adviser (Note 2).......... 19,000
Preliminary reduction of distribution expense by
Principal Underwriter (Note 3)....... 4,589
Reduction of Custodian fee (Note 1E)... 2,760
------------
Total deducted..................... $ 40,115
------------
Net expenses....................... $ 36,633
------------
Net investment loss............. $ (29,700)
------------
REALIZED AND UNREALIZED GAIN:
Net realized gain on investment and foreign
currency transactions (identified cos
basis)................................. $ 145,735
Change in unrealized appreciation of investments
and translation of assets and liabilities in
foreign currencies..................... 515,861
------------
Net realized and unrealized gain....... $ 661,596
------------
Net increase in net assets from operations $ 631,896
=============
See notes to financial statements
<PAGE>
WRIGHT EQUIFUND - JAPAN
- -------------------------------------------------------------------------------
<TABLE>
<CAPTION>
STATEMENTS OF CHANGES IN NET ASSETS
Year Ended December 31
1999(1) 1998
- -------------------------------------------------------------------------------------------------------------------------------
INCREASE (DECREASE) IN NET ASSETS:
From operations --
<S> <C> <C>
Net investment loss................................................. $ (29,700) $ (70,425)
Net realized gain (loss)............................................ 145,735 (758,543)
Change in unrealized appreciation................................... 515,861 879,651
----------- -----------
Increase in net assets from operations............................ $ 631,896 $ 50,683
Net increase (decrease) from fund share transactions.................. (1,028,452) 506,977
----------- -----------
Net increase (decrease) in net assets............................... $ (396,556) $ 557,660
NET ASSETS:
At beginning of period................................................ 4,364,818 3,807,158
----------- -----------
At end of period...................................................... $ 3,968,262 $ 4,364,818
=========== ===========
DISTRIBUTIONS IN EXCESS OF NET INVESTMENT INCOME
INCLUDED IN NET ASSETS AT END OF YEAR................................. $ (47,822) $ (18,122)
=========== ===========
(1) For the six months ended June 30, 1999 (unaudited).
See notes to financial statements
</TABLE>
<PAGE>
WRIGHT EQUIFUND - MEXICO
- -------------------------------------------------------------------------------
STATEMENT OF ASSETS AND LIABILITIES
June 30, 1999 (unaudited)
- -------------------------------------------------------------------------------
ASSETS:
Investments --
Identified cost...................... $ 7,453,643
Unrealized appreciation.............. 3,537,877
------------
Total value (Note 1A).............. $ 10,991,520
Cash................................... 151,212
Receivable for fund shares sold........ 11,373
Dividends receivable................... 6,039
Deferred organizational costs (Note 1F) 469
------------
Total Assets......................... $11,160,613
------------
LIABILITIES:
Payable for fund shares reacquired..... $ 18,023
Accrued manaegment..................... 9,145
Accrued expenses....................... 6,659
------------
Total Liabilities.................... $ 33,827
------------
NET ASSETS................................ $11,126,786
=============
NET ASSETS CONSIST OF:
Paid-in capital........................... $10,147,394
Accumulated undistributed net realized loss on
investment and foreign currency transactions
(computed on the basis of identified cost) (2,566,711)
Unrealized appreciation of investments and
translation of assets and liabilities in foreign
currencies (computed on the basis of
identified cost)....................... 3,537,855
Undistributed net investment income....... 8,248
------------
Net assets applicable to outstanding shares $11,126,786
=============
SHARES OF BENEFICIAL INTEREST
OUTSTANDING............................ 1,594,281
=============
NET ASSET VALUE, OFFERING PRICE,
AND REDEMPTION PRICE PER SHARE
OF BENEFICIAL INTEREST (NOTE 10)....... $6.98
=============
STATEMENT OF OPERATIONS
For the Six Months Ended June 30, 1999 (unaudited)
- -------------------------------------------------------------------------------
INVESTMENT INCOME:
Income --
Dividends.............................. $ 100,778
Less foreign taxes..................... (5,042)
------------
Total investment income............ $ 95,736
------------
Expenses --
Investment Adviser fee (Note 2)........ $ 39,904
Administrator fee (Note 2)............. 5,343
Compensation of Trustees not affiliated with
the Investment Adviser or Administrator
(Note 2)............................. 1,697
Custodian fee (Note 1E)................ 19,854
Transfer & dividend disbursing agent fees 8,688
Distribution expenses (Note 3)......... 13,302
Audit fees............................. 12,258
Legal services......................... 7,685
Amortization of organization expense
(Note 1F)............................ 1,683
Interest expense....................... 2,217
Printing............................... 159
Miscellaneous.......................... 11,278
------------
Total expenses..................... $ 124,068
------------
Deduct --
Preliminary reduction of Investment Adviser
fee (Note 2)......................... $ 2,435
Preliminary reduction of distribution expense
by Principal Underwriter (Note 3).... 10,222
Reduction of Custodian fee (Note 1E)... 9,022
------------
Total deducted..................... $ 21,679
------------
Net expenses....................... $ 102,389
------------
Net investment loss............. $ (6,653)
------------
REALIZED AND UNREALIZED GAIN (LOSS):
Net realized loss on investment and foreign
currency transactions (identified cost
basis)................................. $ (405,459)
Change in unrealized appreciation of investments
and translation of assets and liabilities in
foreign currencies..................... 4,104,059
------------
Net realized and unrealized gain....... $ 3,698,600
------------
Net increase in net assets from operations $ 3,691,947
=============
See notes to financial statements
<PAGE>
WRIGHT EQUIFUND - MEXICO
- -------------------------------------------------------------------------------
<TABLE>
<CAPTION>
STATEMENTS OF CHANGES IN NET ASSETS
Year Ended December 31
1999(1) 1998
- -----------------------------------------------------------------------------------------------------------------------------
INCREASE (DECREASE) IN NET ASSETS:
From operations -
<S> <C> <C>
Net investment income (loss)........................................ $ (6,653) $ 6,456
Net realized gain (loss)............................................ (405,459) 714,163
Change in unrealized appreciation (depreciation).................... 4,104,059 (8,039,713)
----------- -----------
Increase (decrease) in net assets from operations................. $ 3,691,947 $ (7,319,094)
Undistributed net investment income Included in price of shares
sold and redeemed (Note 1D)......................................... (3,736) -
Net decrease from fund share transactions (exclusive of
amounts allocated to net investment income) (Note 4)............... (1,298,027) (12,412,429)
----------- -----------
Net increase (decrease) in net assets............................. $ 2,390,184 $(19,731,523)
NET ASSETS:
At beginning of period................................................ 8,736,602 28,468,125
----------- -----------
At end of period...................................................... $ 11,126,786 $ 8,736,602
=========== ===========
UNDISTRIBUTED NET INVESTMENT INCOME INCLUDED IN NET ASSETS
AT END OF YEAR........................................................ $ 8,248 $ 18,637
=========== ===========
(1) For the six months ended June 30, 1999 (unaudited).
See notes to financial statements
</TABLE>
<PAGE>
WRIGHT EQUIFUND - NETHERLANDS
- -------------------------------------------------------------------------------
STATEMENT OF ASSETS AND LIABILITIES
June 30, 1999 (unaudited)
- -------------------------------------------------------------------------------
ASSETS:
Investments --
Identified cost...................... $10,625,554
Unrealized appreciation.............. 2,812,793
------------
Total value (Note 1A).............. $ 13,438,347
Cash................................... $ 255,120
Receivable for fund shares sold........ 12,363
Tax reclaim receivable................. 4,610
------------
Total Assets......................... $13,710,440
------------
LIABILITIES:
Accrued expenses....................... $ 13,426
------------
Total Liabilities.................... $ 13,426
------------
NET ASSETS................................ $13,697,014
=============
NET ASSETS CONSIST OF:
Paid-in capital........................... $10,055,751
Accumulated undistributed net realized gain on
investment and foreign currency transactions
(computed on the basis of identified cost) 671,536
Unrealized appreciation of investments and
translation of assets and liabilities in foreign
currencies (computed on the basis of
identified cost)....................... 2,812,737
Undistributed net investment income....... 156,990
------------
Net assets applicable to outstanding shares $13,697,014
=============
SHARES OF BENEFICIAL INTEREST
OUTSTANDING............................ 1,293,212
=============
NET ASSET VALUE, OFFERING PRICE,
AND REDEMPTION PRICE PER SHARE
OF BENEFICIAL INTEREST (NOTE 10)....... $10.59
=============
STATEMENT OF OPERATIONS
For the Six Months Ended June 30, 1999 (unaudited)
- -------------------------------------------------------------------------------
INVESTMENT INCOME:
Income --
Dividends.............................. $ 422,455
Less foreign taxes..................... (38,034)
------------
Total investment income............ $ 384,421
------------
Expenses --
Investment Adviser fee (Note 2)........ $ 63,762
Administrator fee (Note 2)............. 8,502
Compensation of Trustees not affiliated with
the Investment Adviser or Administrator
(Note 2)............................. 1,753
Custodian fee (Note 1E)................ 19,216
Transfer & dividend disbursing agent fees 7,489
Distribution expenses (Note 3)......... 21,254
Audit fees............................. 15,045
Registration costs..................... 7,803
Interest expense....................... 869
Miscellaneous.......................... 1,156
------------
Total expenses..................... $ 146,849
------------
Deduct --
Reduction of Custodian fee (Note 1E)... $ 7,727
------------
Net expenses....................... $ 139,122
------------
Net investment income........... $ 245,299
------------
REALIZED AND UNREALIZED GAIN (LOSS):
Net realized gain on investment and foreign
currency transactions (identified cost
basis)................................. $ 938,360
Change in unrealized appreciation of investments
and translation of assets and liabilities in
foreign currencies..................... (2,998,490)
------------
Net realized and unrealized loss....... $(2,060,130)
------------
Net decrease in net assets from operations $(1,814,831)
=============
See notes to financial statements
<PAGE>
WRIGHT EQUIFUND - NETHERLANDS
- -------------------------------------------------------------------------------
<TABLE>
<CAPTION>
STATEMENTS OF CHANGES IN NET ASSETS
Year Ended December 31
1999(1) 1998
- ---------------------------------------------------------------------------------------------------------------------------------
INCREASE (DECREASE) IN NET ASSETS:
From operations -
<S> <C> <C>
Net investment income (loss)........................................ $ 245,299 $ (4,047)
Net realized gain................................................... 938,360 894,501
Change in unrealized appreciation (depreciation).................... (2,998,490) 3,668,743
----------- -----------
Increase (decrease) in net assets from operations................. $ (1,814,831) $ 4,559,197
Distributions to shareholders from net realized gains................ (249,392) (676,040)
Undistributed net investment income included in price of shares
sold and redeemed (Note 1D)......................................... (21,181) (724)
Net increase (decrease) from fund share transactions (exclusive of
amounts allocated to net investment income) (Note 4)............... (3,767,482) 2,692,615
----------- -----------
Net increase (decrease) in net assets............................. $ (5,852,886) $ 6,575,048
NET ASSETS:
At beginning of period................................................ 19,549,900 12,974,852
----------- -----------
At end of period...................................................... $ 13,697,014 $ 19,549,900
=========== ===========
UNDISTRIBUTED (DISTRIBUTIONS IN EXCESS OF) NET INVESTMENT
INCOME INCLUDED IN NET ASSETS AT END OF YEAR.......................... $ 156,990 $ (67,128)
=========== ===========
(1) For the six months ended June 30, 1999 (unaudited).
</TABLE>
See notes to financial statements
<PAGE>
Financial Highlights
- -------------------------------------------------------------------------------
<TABLE>
<CAPTION>
HONG KONG/CHINA SERIES Year Ended December 31
- -------------------------------------------------------------------------------------------------------------------------------
1999(5)(6) 1998 1997(5) 1996 1995 1994
- -------------------------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C> <C>
Net asset value - beginning of period $ 9.210 $ 11.980 $ 16.470 $ 13.030 $ 13.020 $ 20.990
-------- -------- -------- -------- -------- --------
Income (loss) from investment operations:
Net investment income(1) $ 0.070 $ 0.473 $ 0.110 $ 0.182 $ 0.368 $ 0.678
Net realized and unrealized gain (loss)(3) 1.860 (2.693) (4.600) 3.458 (0.158) (8.448)
-------- -------- -------- -------- -------- --------
Total income (loss)
from investment operations $ 1.930 $ (2.220) $ (4.490) $ 3.640 $ 0.210 $ (7.770)
-------- -------- -------- -------- -------- --------
Less distributions:
Dividends from investment income $ - $ (0.346) $ - $ (0.200) $ (0.200) $ (0.200)
Distributions from capital gains - - - - - -
Return of capital - (0.204) - - - -
-------- -------- -------- -------- -------- --------
Total distributions $ - $ (0.550) $ - $ (0.200) $ (0.200) $ (0.200)
-------- -------- -------- -------- -------- --------
Net asset value - end of period $ 11.140 $ 9.210 $ 11.980 $ 16.470 $ 13.030 $ 13.020
========= ========= ========= ========= ========= =========
Total return(2) 20.96% (18.65%) (27.20%) 27.96% 1.63% (37.03%)
Ratios/Supplemental Data:
Net assets, end of period
(000 omitted) $ 4,455 $ 7,883 $ 6,958 $ 34,366 $ 25,399 $ 19,679
Ratio of total expenses to average
net assets(1) 2.42%(4)(7) 2.38%(4) 1.96%(4) 1.62%(4) 1.59%(4) 1.41%
Ratio of net income to average net
assets 1.43%(7) 2.32% 0.66% 1.81% 3.26% 3.93%
Portfolio turnover rate 44% 254% 56% 65% 100% 131%
- -------------------------------------------------------------------------------------------------------------------------
<FN>
(1) During the six months ended June 30, 1999 and the year ended December 31,
1998, the investment adviser and the distributor voluntarily 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:
1999(6) 1998
Net investment income per share $ 0.021 $ 0.332
========= =========
Ratios (as a percentage of average net assets):
Expenses 3.43%(7) 3.07%
========= =========
Net investment income 0.42%(7) 1.63%
========= =========
- -----------------------------------------------------------------------------------------------------------------------------
(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 reinvestment date.
(3) For the year ended December 31, 1995, 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 as follows:
1999(6) 1998 1997 1996 1995
- ----------------------------------------------------------------------------------------------------------------
Actual ratio of net expenses 2.00%(7) 1.99% 1.72% 1.43% 1.34%
- ----------------------------------------------------------------------------------------------------------------
(5) Certain per share amounts are based on average shares outstanding.
(6) For the six months ended June 30, 1999 (unaudited).
(7) Annualized.
</FN>
</TABLE>
See notes to financial statements
<PAGE>
Financial Highlights
- -------------------------------------------------------------------------------
<TABLE>
<CAPTION>
JAPAN SERIES Year Ended December 31
- -------------------------------------------------------------------------------------------------------------------------------
1999(7) 1998 1997(6) 1996 1995 1994(2)
- -------------------------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C> <C>
Net asset value - beginning of period $ 7.210 $ 6.840 $ 7.980 $ 8.780 $ 9.660 $ 10.000
-------- -------- -------- -------- -------- --------
Income from investment operations:
Net investment loss(1) $ (0.074) $ (0.112) $ (0.100) $ (0.095) $ (0.045) $ (0.050)
Net realized and unrealized
gain (loss) 1.514 0.482 (1.040) (0.705) (0.835) (0.170)
-------- -------- -------- -------- -------- --------
Total income (loss)
from investment operations $ 1.440 $ 0.370 $ (1.140) $ (0.800) $ (0.880) $ (0.220)
-------- -------- -------- -------- -------- --------
Less distributions:
Distributions from investment income $ - $ - $ - $ - $ - $ -
Distributions from capital gains - - - - - (0.120)
Return of capital - - - - - -
-------- -------- -------- -------- -------- --------
Net asset value - end of period $ 8.650 $ 7.210 $ 6.840 $ 7.980 $ 8.780 $ 9.660
========= ========= ========= ========= ========= =========
Total return(4) 19.97% 5.41% (14.16%) (9.11%) (9.11%) (2.17%)
Ratios/Supplemental Data:
Net assets, end of period
(000 omitted) 3,968 $ 4,365 $ 3,807 $ 17,041 $ 21,631 $ 8,653
Ratio of total expenses to
average net assets 2.15%(3)(5) 2.24%(5) 2.15%(5) 1.75%(5) 1.81%(5) 1.83%(3)
Ratio of net loss to average net assets (1.62%)(3) (1.46%) (1.24%) (1.05%) (0.67%) (0.66%)(3)
Portfolio turnover rate 29% 205% 112% 56% 112% 48%
- -----------------------------------------------------------------------------------------------------------------------------
<FN>
(1) During the six months ended June 30, 1999 and the year ended December 31,
1998, the investment adviser and the distributor voluntarily 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:
1999(7) 1998
Net investment loss per share $ (0.167) $ (0.164)
========= =========
Ratios (as a percentage of average net assets):
Expenses 4.18%(3) 2.92%
========= =========
Net investment loss (3.65%)(3) (2.14%)
========= =========
- -------------------------------------------------------------------------------
(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 reinvestment 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 as follows:
1999(7) 1998 1997 1996 1995
- -------------------------------------------------------------------------------------------------------------------
Actual ratio of net expenses 2.00%(3) 2.00% 1.84% 1.65% 1.49%
- --------------------------------------------------------------------------------------------------------------------
(6) Certain per share amounts are based on average shares outstanding.
(7) For the six months ended June 30, 1999 (unaudited).
</FN>
</TABLE>
See notes to financial statements
<PAGE>
Financial Highlights
- -------------------------------------------------------------------------------
<TABLE>
<CAPTION>
MEXICO SERIES Year Ended December 31
- -----------------------------------------------------------------------------------------------------------------------------
1999(6) 1998(5) 1997(5) 1996 1995 1994(1)
- -----------------------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C> <C>
Net asset value - beginning of period $ 4.810 $ 7.660 $ 5.380 $ 4.220 $ 6.480 $ 10.000
-------- -------- -------- -------- -------- --------
Income from investment operations:
Net investment income (loss)(*) $ (0.005) $ 0.003 $ (0.000)(+) $ (0.012) $ (0.012) $ (0.040)
Net realized and unrealized gain (loss) 2.175 (2.853) 2.280 1.172 (2.175) (2.970)
-------- -------- -------- -------- -------- --------
Total income (loss)
from investment operations $ 2.170 $ (2.850) $ 2.280 $ 1.160 $ (2.187) $ (3.010)
-------- -------- -------- -------- -------- --------
Less distributions:
Distributions from investment income $ - $ - $ - $ - $ - $ -
Distributions from capital gains - - - - (0.030) (0.510)
Return of capital - - - - (0.043)(++) -
-------- -------- -------- -------- -------- --------
Total distributions $ - $ - $ - $ - $ (0.073) $ (0.510)
-------- -------- -------- -------- -------- --------
Net asset value - end of period $ 6.980 $ 4.810 $ 7.660 $ 5.380 $ 4.220 $ 6.480
========= ========= ========= ========= ========= =========
Total return(3) 45.11% (37.21%) 42.38% 27.49% (33.37%) (30.91%)
Ratios/Supplemental Data:
Net assets, end of period
(000 omitted) $ 11,127 $ 8,737 $ 28,468 $ 22,028 $ 32,493 $ 13,422
Ratio of total expenses to average
net assets(*) 2.09%(2)(4) 1.90%(4) 1.61%(4) 1.59%(4) 1.72%(4) 1.38%(2)
Ratio of net income (loss) to average
net assets (0.12%)(2) 0.05% (0.06%) (0.14%) (0.41%) (0.98%)(2)
Portfolio turnover rate 41% 24% 113% 63% 110% 85%
- --------------------------------------------------------------------------------------------------------------------------------
<FN>
(*) During certain periods presented, the investment adviser and the
distributor voluntarily reduced their fees. Had such actions not been
undertaken, net investment loss per share and the ratios would have been as
follows:
1999(6)
Net investment loss per share........... $ (0.015)
=========
Ratios (as a percentage of average net assets):
Expenses.............................. 2.32%(2)
=========
Net investment loss................... (0.35%)(2)
=========
- -------------------------------------------------------------------------------
(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 reinvestment 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 as follows:
1999(6) 1998 1997 1996 1995
- ---------------------------------------------------------------------------------------------------------------------------
Actual ratio of net expenses 1.92%(2) 1.80% 1.45% 1.41% 1.39%
- ---------------------------------------------------------------------------------------------------------------------------
(5) Certain per share amounts are based on average shares outstanding.
(6) For the six months ended June 30, 1999 (unaudited).
(+) Amount represents less than $0.001 per share.
(++)Amount represents distribution in excess of capital gains.
</FN>
</TABLE>
See notes to financial statements
<PAGE>
Financial Highlights
- -------------------------------------------------------------------------------
<TABLE>
<CAPTION>
NETHERLANDS SERIES Year Ended December 31
- ----------------------------------------------------------------------------------------------------------------------------
1999(5) 1998(2) 1997(2) 1996 1995 1994
- ----------------------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C> <C>
Net asset value - beginning of period $ 11.700 $ 9.810 $ 8.970 $ 8.590 $ 8.100 $ 10.020
-------- -------- -------- -------- -------- --------
Income from investment operations:
Net investment income (loss)(1) $ 0.162 $ (0.003) $ (0.006) $ 0.047 $ (0.004) $ (0.060)
Net realized and unrealized gain (loss) (1.115) 2.370 1.396 2.943 1.490 1.150
-------- -------- -------- -------- -------- --------
Total income (loss)
from investment operations $ (0.953) $ 2.367 $ 1.390 $ 2.990 $ 1.486 $ 1.090
-------- -------- -------- -------- -------- --------
Less distributions:
Dividends from investment income $ - $ - $ - $ - $ - $ (0.020)
Distributions from capital gains (0.157) (0.477) (0.550) (2.610) (0.996) (2.990)
Return of capital - - - - - -
-------- -------- -------- -------- -------- --------
Total distributions $ (0.157) $ (0.477) $ (0.550) $ (2.610) $ (0.996) $ (3.010)
-------- -------- -------- -------- -------- --------
Net asset value - end of period $ 10.590 $ 11.700 $ 9.810 $ 8.970 $ 8.590 $ 8.100
========= ========= ========= ========= ========= =========
Total return(3) (8.16%) 24.46% 15.44% 36.56% 18.84% 11.68%
Ratios/Supplemental Data:
Net assets, end of period
(000 omitted) $ 13,697 $ 19,550 $ 12,975 $ 7,566 $ 7,218 $ 3,951
Ratio of net expenses to average
net assets(1) 1.73%(4)(6) 1.88%(4) 1.86%(4) 2.22%(4) 2.26%(4) 1.93%
Ratio of net income to average
net assets(1) 2.89%(6) (0.02%) (0.05%) 0.83% (0.13%) 0.13%
Portfolio turnover rate 32% 88% 29% 124% 87% 101%
- ------------------------------------------------------------------------------------------------------------------------------
<FN>
(1) During certain periods presented, either the investment adviser, the
administrator and/or the distributor voluntarily 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
Net investment income (loss) per share.. $ 0.038 $ (0.018)
========= =========
Ratios (as a percentage of average net assets):
Expenses 2.38% 2.45%
========= =========
Net investment income (loss) 0.67% (0.58%)
========= =========
- ------------------------------------------------------------------------------------------------------------------
(2) Certain per share amounts 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 reinvestment 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 as follows:
1999(5) 1998 1997 1996 1995
- ------------------------------------------------------------------------------------------------------------------
Actual ratio of net expenses 1.64%(6) 1.72% 1.72% 1.99% 2.00%
- ------------------------------------------------------------------------------------------------------------------
(5) For the six months ended June 30, 1999 (unaudited).
(6) Annualized.
</FN>
</TABLE>
See notes to financial statements
<PAGE>
Notes to Financial Statements (Unaudited)
- -------------------------------------------------------------------------------
(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 four active diversified
series (Funds), Wright EquiFund-Hong Kong/China (Hong Kong/China series); Wright
EquiFund - Japan (Japan series); Wright EquiFund - Mexico (Mexico series); and
Wright EquiFund - Netherlands (Netherlands 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 business day as of which such
value is being determined at the close of 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) applicable 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, 1998, the Trust, for federal income tax
purposes, had a capital loss carryover of $2,620,342 for the Hong Kong/China
series, $3,760,236 for the Japan series, $1,419,070 for the Mexico series, and
$156,279 for the Netherlands series, which will reduce 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. Hong Kong/China Japan Mexico Netherlands
- -------------------------------------------------------------------------------
2003 $ 165,578 $1,460,778 $1,419,070 $ -
2005 - 1,302,416 - -
2006 2,454,764 997,042 - 156,279
- -------------------------------------------------------------------------------
<PAGE>
At December 31, 1998, net capital losses of $74,042 for the Hong Kong/China
series and $886 for the Japan series attributable to security transactions
incurred after October 31, 1998 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 Funds have entered into an arrangement with its
custodian agent whereby interest earned on uninvested cash balances is 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 over-distributions 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.
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.
<PAGE>
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.
K. Interim Financial Information - The interim financial statements relating to
June 30,1999 and for the six month period then ended have not been audited by
independent certified public accountants, but in the opinion of the Trust's
management, reflect all adjustments, consisting only of normally recurring
adjustments, necessary for the fair presentation of the financial statements.
(2) INVESTMENT ADVISER FEE AND OTHER TRANSACTIONS WITH AFFILIATES
The Trust has engaged The Winthrop Corporation ("Winthrop") to act as
investment adviser to the Funds pursuant to the respective Investment Advisory
contracts. Pursuant to a service agreement between Winthrop and its wholly-owned
subsidiary, Wright Investors' Service, Inc. ("Wright"), Wright furnishes each
Fund with 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 six months ended June 30, 1999, the effective
annual rate was 0.75% for all series. To enhance the net income of the Hong
Kong/China, Japan and Mexico series, Wright made a reduction of its management
fee on a preliminary basis by $20,455, $13,766, and $2,435, respectively. In
addition, $310 and $19,000 of expenses of the Hong Kong/China and Japan series,
respectively, was allocated on a preliminary basis to the investment adviser.
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 six months
ended June 30, 1999, the effective annual rate was 0.10% for the Hong
Kong/China, Japan, Mexico, and Netherlands 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 wholly-owned subsidiary of Winthrop, 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 six months ended June 30,
1999, the Principal Underwriter made a reduction of its fees on a preliminary
basis to the Hong Kong/China, Japan and Mexico series by $6,818, $4,589 and
$10,222, 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>
Six Months Ended Year Ended
June 30, 1999 December 31, 1998
Shares Amount Shares Amount
- --------------------------------------------------------------------------------------------------------------------------------
HONG KONG/CHINA SERIES
<S> <C> <C> <C> <C>
Sales 3,092,730 $ 27,860,907 5,168,279 $ 46,435,268
Issued to shareholders in payment
of distributions declared - - 44,759 439,310
Redemptions (3,548,293) (32,350,112) (4,938,190) (45,553,710)
------------ ------------ ------------- ------------
Net Increase (Decrease) (455,563) $ (4,489,205) 274,848 $ 1,320,868
============ ============= =========== =============
JAPAN SERIES
Sales 334,091 $ 2,517,358 2,508,187 $ 16,839,289
Redemptions (480,595) (3,545,810) (2,459,335) (16,332,312)
--------- ------------ ------------ ------------
Net Increase (Decrease) (146,504) $ (1,028,452) 48,852 $ 506,977
=========== ============== =========== ==============
MEXICO SERIES
Sales 1,811,972 $ 10,920,095 1,939,804 $ 11,007,676
Redemptions (2,032,541) (12,218,122) (3,839,379) (23,420,105)
----------- ------------ ----------- ------------
Net Decrease (220,569) $ (1,298,027) (1,899,575) $ (12,412,429)
=========== ============== =========== ==============
NETHERLANDS SERIES
Sales 896,298 $ 9,768,975 1,942,481 $ 21,885,393
Issued to shareholders in payment
of distributions declared 22,174 237,924 58,757 644,424
Issued in exchange for shares of
Belgium/Luxembourg series - - 234,280 2,581,773
Redemptions (1,295,537) (13,774,381) (1,887,595) (22,418,975)
----------- ------------ ------------ ------------
Net Increase (Decrease) (377,065) $ (3,767,482) 347,923 $ 2,692,615
============ ============== =========== ==============
</TABLE>
(5) INVESTMENT TRANSACTIONS
Purchases and sales of investments, other than U.S. Government securities
and short-term obligations, for the six months ended June 30, 1999, were as
follows:
<TABLE>
<CAPTION>
Purchases Sales Purchases Sales
- ------------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C>
Hong Kong/China $2,092,805 $7,102,820 Mexico $4,145,388 $5,320,933
Japan 1,055,179 2,079,263 Netherlands 5,358,447 8,976,652
- ------------------------------------------------------------------------------------------------------------------
</TABLE>
<PAGE>
(6) FEDERAL INCOME TAX BASIS OF INVESTMENT SECURITIES
The cost and gross and net unrealized appreciation/depreciation of the
investment securities owned at June 30, 1999, as computed on a federal income
tax basis, are as follows:
<TABLE>
<CAPTION>
Gross Gross Net
Aggregate Unrealized Unrealized Unrealized
SERIES Cost Appreciation - Depreciation = Appreciation
- -------------------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C>
Hong Kong/China $ 2,392,681 $ 1,774,621 - $ - = $ 1,774,621
============= ============
Japan $ 2,816,338 $ 1,112,175 - $ 33,212 = $ 1,078,963
============= ============
Mexico $ 7,453,643 $ 3,687,650 - $ 149,773 = $ 3,537,877
============= ============
Netherlands $ 10,625,554 $ 3,317,634 - $ 504,841 = $ 2,812,793
============= ============
</TABLE>
(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 June 30, 1999, the Funds had no forward foreign currency exchange
contracts open.
(8) 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>
(9) LINE OF CREDIT
The Funds participate with other funds managed by Wright in a committed $20
million unsecured line of credit agreement with a bank. The Funds may
temporarily borrow from the line of credit to satisfy redemption requests or
settle investment transactions. Interest is charged to each fund based on its
borrowings at an amount above the federal funds rate. In addition, a fee
computed at an annual rate of 0.10% on the average daily unused portion of the
$20 million line of credit, is allocated among the participating funds at the
end of each quarter. The Funds did not have significant borrowings or allocated
fees during the six months ended June 30, 1999.
(10) CONTINGENT DEFERRED SALES CHARGE (CDSC)
Effective October 12, 1998, shares that are redeemed within six months of
purchase will be subject to a 1% redemption fee. This redemption fee will be
paid by each redeeming shareholder to, and retained by, the respective Fund. No
CDSC is imposed on shares of the Funds purchased by an investor making an
investment through an investment advisor, financial planner, broker, or other
intermediary that charges a fee for its services. For the six months ended June
30, 1999, the following amounts of CDSC were paid by shareholders to the Funds:
Fund CDSC Fee Fund CDSC Fee
- -------------------------------------------------------------------------------
Hong Kong/China $86,846 Mexico $39,428
Japan 1,997 Netherlands 46,538
<PAGE>
Semi-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 and Trustee
Dorcas R. Hardy, Trustee
Leland Miles, Trustee
Lloyd F. Pierce, Trustee
Richard E. Taber, Trustee
Raymond Van Houtte, Trustee
James L. O'Connor, Treasurer
William J. Austin, Jr., Assistant Treasurer
ADMINISTRATOR
Eaton Vance Management
255 State Street
Boston, Massachusetts 02109
INVESTMENT ADVISER
Wright Investors' Service
1000 Lafayette Boulevard
Bridgeport, Connecticut 06604
PRINCIPAL UNDERWRITER
Wright Investors' Service Distributors, Inc.
1000 Lafayette Boulevard
Bridgeport, Connecticut 06604
(800) 888-9471
e-mail: [email protected]
CUSTODIAN
Investors Bank & Trust Company
200 Clarendon Street
Boston, Massachusetts 02116
TRANSFER AND DIVIDEND DISBURSING AGENT
First Data Investor Services Group
Wright Managed Investment Funds
P.O. Box 5156
Westborough, Massachusetts 01581-9698
INDEPENDENT AUDITORS
Deloitte & Touche LLP
200 Berkeley Street
Boston, Massachusetts 02116-5022
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.
