<PAGE>
- --------------------------------------------------------------------------------
Dimensional Investment Group Inc.
The DFA International Value Portfolio
Annual Report
Year Ended November 30, 1997
-------------------------------------
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DIMENSIONAL INVESTMENT GROUP INC.
THE DFA INTERNATIONAL VALUE PORTFOLIO
ANNUAL REPORT
TABLE OF CONTENTS
<TABLE>
<CAPTION>
PAGE
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<S> <C>
DIMENSIONAL INVESTMENT GROUP INC.
Performance Chart................................................... 1
Statement of Assets and Liabilities................................. 2
Statement of Operations............................................. 3
Statements of Changes in Net Assets................................. 4
Financial Highlights................................................ 5
Notes to Financial Statements....................................... 6-7
Report of Independent Accountants................................... 8
THE DFA INVESTMENT TRUST COMPANY -- THE DFA INTERNATIONAL VALUE SERIES
Performance Chart................................................... 9
Statement of Net Assets............................................. 10-17
Statement of Operations............................................. 18
Statements of Changes in Net Assets................................. 19
Financial Highlights................................................ 20
Notes to Financial Statements....................................... 21-22
Report of Independent Accountants................................... 23
</TABLE>
This report is submitted for the information of the Fund's shareholders. It is
not authorized for distribution to prospective investors unless preceded or
accompanied by an effective prospectus.
i
<PAGE>
DIMENSIONAL INVESTMENT GROUP INC.
PERFORMANCE CHART
EDGAR REPRESENTATION OF DATA POINTS USED IN PRINTED GRAPHIC
<TABLE>
<CAPTION>
DFA INTERNATIONAL VALUE PORTFOLIO VS.
EAFE INDEX
MARCH 1994-NOVEMBER 1997
<S> <C> <C>
Growth of $10,000
DFA International Value Portfolio EAFE Index
02/94 $10,000 $10,000
03/94 $9,733 $9,570
04/94 $10,060 $9,982
05/94 $10,119 $9,922
06/94 $10,234 $10,061
07/94 $10,433 $10,161
08/94 $10,593 $10,405
09/94 $10,220 $10,082
10/94 $10,649 $10,425
11/94 $10,086 $9,925
12/94 $10,144 $9,984
01/95 $9,743 $9,605
02/95 $9,722 $9,576
03/95 $10,292 $10,179
04/95 $10,613 $10,566
05/95 $10,543 $10,439
06/95 $10,439 $10,262
07/95 $11,026 $10,909
08/95 $10,642 $10,494
09/95 $10,708 $10,704
10/95 $10,504 $10,415
11/95 $10,787 $10,706
12/95 $11,310 $11,145
01/96 $11,423 $11,190
02/96 $11,485 $11,235
03/96 $11,651 $11,471
04/96 $12,102 $11,803
05/96 $11,989 $11,591
06/96 $12,027 $11,660
07/96 $11,707 $11,322
08/96 $11,748 $11,345
09/96 $11,951 $11,651
10/96 $11,836 $11,535
11/96 $12,365 $11,996
12/96 $12,193 $11,840
01/97 $11,787 $11,426
02/97 $11,895 $11,620
03/97 $11,934 $11,667
04/97 $11,869 $11,737
05/97 $12,768 $12,499
06/97 $13,313 $13,187
07/97 $13,497 $13,398
08/97 $12,613 $12,406
09/97 $13,069 $13,101
10/97 $12,387 $12,092
11/97 $11,856 $11,971
Annualized Total Return (%)
One Year -4.12
From March 1994 4.64
The portfolio invests in the DFA International Value Series of the DFA
Investment Trust Company which in turn invests in companies with
market capitalization of at least $800 million and book-to-market
ratios in the upper 30% of large publicly traded non-U.S. companies.
Country weightings reflect the EAFE Index market capitalization weight,
with Japan limited to 38%.
The portfolio's returns in fiscal 1997 reflected the performance of
large, non-U.S. companies with high book-to-market ratios.
Past performance is not predictive of future performance.
EAFE Index courtesy of Morgan Stanley Capital International.
</TABLE>
1
<PAGE>
DIMENSIONAL INVESTMENT GROUP INC.
THE DFA INTERNATIONAL VALUE PORTFOLIO
STATEMENT OF ASSETS AND LIABILITIES
NOVEMBER 30, 1997
(AMOUNTS IN THOUSANDS, EXCEPT SHARE AMOUNTS)
<TABLE>
<S> <C>
ASSETS:
Investment in The DFA International Value Series of The DFA Investment Trust
Company (33,974,055 Shares, Cost $359,758++) at Value.......................... $ 370,172
Receivable for Fund Shares Sold................................................. 269
Prepaid Expenses and Other Assets............................................... 36
------------
Total Assets................................................................ 370,477
------------
LIABILITIES:
Payable for Investment Securities Purchased..................................... 209
Payable for Fund Shares Redeemed................................................ 60
Accrued Expenses................................................................ 91
------------
Total Liabilities........................................................... 360
------------
NET ASSETS.......................................................................... $ 370,117
------------
------------
SHARES OUTSTANDING, $.01 PAR VALUE (Authorized 100,000,000)......................... 33,838,067
------------
------------
NET ASSET VALUE, OFFERING AND REDEMPTION PRICE PER SHARE............................ $ 10.94
------------
------------
NET ASSETS CONSIST OF:
Paid-In Capital................................................................. $ 353,573
Undistributed Net Investment Income............................................. 709
Undistributed Net Realized Gain................................................. 5,421
Unrealized Appreciation of Investment Securities................................ 10,414
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Total Net Assets............................................................ $ 370,117
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------------
</TABLE>
++ The cost for federal income tax purposes is $362,394.
See accompanying Notes to Financial Statements.
2
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DIMENSIONAL INVESTMENT GROUP INC.
THE DFA INTERNATIONAL VALUE PORTFOLIO
STATEMENT OF OPERATIONS
FOR THE YEAR ENDED NOVEMBER 30, 1997
(AMOUNTS IN THOUSANDS)
<TABLE>
<S> <C>
INVESTMENT INCOME
Income Distributions Received...................................................... $ 7,215
---------
EXPENSES
Administrative Services............................................................ 737
Accounting & Transfer Agent Fees................................................... 19
Legal Fees......................................................................... 9
Audit Fees......................................................................... 3
Filing Fees........................................................................ 63
Shareholders' Reports.............................................................. 42
Directors' Fees and Expenses....................................................... 5
Organization Costs................................................................. 10
Other.............................................................................. 2
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Total Expenses................................................................. 890
---------
NET INVESTMENT INCOME.............................................................. 6,325
---------
NET REALIZED AND UNREALIZED GAIN (LOSS) ON INVESTMENTS
Capital Gain Distributions Received.................................................... 6,429
Net Realized Loss on Investment Securities............................................. (1,343)
Change in Unrealized Appreciation (Depreciation) of Investment Securities.............. (26,881)
---------
NET LOSS ON INVESTMENT SECURITIES.................................................. (21,795)
---------
NET DECREASE IN NET ASSETS RESULTING FROM OPERATIONS................................... $ (15,470)
---------
---------
</TABLE>
See accompanying Notes to Financial Statements.
3
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DIMENSIONAL INVESTMENT GROUP INC.
THE DFA INTERNATIONAL VALUE PORTFOLIO
STATEMENTS OF CHANGES IN NET ASSETS
(AMOUNTS IN THOUSANDS)
<TABLE>
<CAPTION>
YEAR
YEAR ENDED ENDED
NOV. 30, NOV. 30,
1997 1996
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<S> <C> <C>
INCREASE (DECREASE) IN NET ASSETS
Operations:
Net Investment Income.................................................................. $ 6,325 $ 8,352
Capital Gain Distributions Received.................................................... 6,429 1,907
Net Realized Gain (Loss) on Investment Securities...................................... (1,343) 11,934
Change in Unrealized Appreciation (Depreciation) of Investment Securities.............. (26,881) 29,395
----------- ------------
Net Increase (Decrease) in Net Assets Resulting from Operations.................... (15,470) 51,588
----------- ------------
Distributions From:
Net Investment Income.................................................................. (6,494) (7,490)
Net Realized Gains..................................................................... (7,928) (48)
----------- ------------
Total Distributions................................................................ (14,422) (7,538)
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Capital Share Transactions (1):
Shares Issued.......................................................................... 147,909 475,258
Shares Issued in Lieu of Cash Distributions............................................ 14,418 7,538
Shares Redeemed........................................................................ (79,026) (455,381)
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Net Increase From Capital Share Transactions....................................... 83,301 27,415
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Total Increase..................................................................... 53,409 71,465
NET ASSETS
Beginning of Period.................................................................... 316,708 245,243
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End of Period.......................................................................... $ 370,117 $ 316,708
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----------- ------------
(1) SHARES ISSUED AND REDEEMED:
Shares Issued.......................................................................... 12,760 42,052
Shares Issued in Lieu of Cash Distributions............................................ 1,249 661
Shares Redeemed........................................................................ (6,779) (39,357)
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7,230 3,356
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----------- ------------
</TABLE>
See accompanying Notes to Financial Statements.
4
<PAGE>
DIMENSIONAL INVESTMENT GROUP INC.
THE DFA INTERNATIONAL VALUE PORTFOLIO
FINANCIAL HIGHLIGHTS
(FOR A SHARE OUTSTANDING THROUGHOUT EACH PERIOD)
<TABLE>
<CAPTION>
YEAR YEAR YEAR FEB. 16
ENDED ENDED ENDED TO
NOV. 30, NOV. 30, NOV. 30, NOV. 30,
1997 1996 1995 1994
---------- ---------- ---------- ----------
<S> <C> <C> <C> <C>
Net Asset Value, Beginning of Period....................... $ 11.90 $ 10.55 $ 10.06 $ 10.00
---------- ---------- ---------- ----------
INCOME FROM INVESTMENT OPERATIONS
Net Investment Income.................................... 0.19 0.21 0.19 0.13
Net Gains (Losses) on Securities (Realized and
Unrealized)............................................ (0.65) 1.31 0.51 0.06
---------- ---------- ---------- ----------
Total from Investment Operations......................... (0.46) 1.52 0.70 0.19
---------- ---------- ---------- ----------
LESS DISTRIBUTIONS
Net Investment Income.................................... (0.21) (0.17) (0.19) (0.13)
Net Realized Gains....................................... (0.29) -- (0.02) --
---------- ---------- ---------- ----------
Total Distributions...................................... (0.50) (0.17) (0.21) (0.13)
---------- ---------- ---------- ----------
Net Asset Value, End of Period............................. $ 10.94 $ 11.90 $ 10.55 $ 10.06
---------- ---------- ---------- ----------
---------- ---------- ---------- ----------
Total Return............................................... (4.04)% 14.54% 6.95% 1.85%#
Net Assets, End of Period (thousands)...................... $ 370,117 $ 316,708 $ 245,243 $ 227,795
Ratio of Expenses to Average Net Assets (1)................ 0.56% 0.56%(a) 0.65%(a) 0.65%*(a)
Ratio of Net Investment Income to Average Net Assets....... 1.72% 2.22%(a) 1.79%(a) 1.80%*(a)
Portfolio Turnover Rate.................................... N/A N/A N/A N/A
Average Commission Rate.................................... N/A N/A N/A N/A
Portfolio Turnover Rate of Master Fund Series.............. 22.55% 12.23% 9.75% 1.90%*
Average Commission Rate of Master Fund Series (2).......... $ 0.0068 $ 0.0112 N/A N/A
</TABLE>
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* Annualized
# Non-Annualized
(1) Represents the combined ratio for the Portfolio and its respective pro-rata
share of its Master Fund Series.
(a) Had certain waivers and reimbursements not been in effect, the ratios of
expenses to average net assets for the periods ended November 30, 1996, 1995
and 1994 would have been 0.57%, 0.72% and 0.72%, respectively and the ratios
of net investment income to average net assets for the periods ended
November 30, 1996, 1995 and 1994 would have been 2.21%, 1.71% and 1.75%,
respectively.
(2) Computed by dividing the total amount of brokerage commissions paid by the
total shares of investment securities purchased and sold during the period
for which commissions were charged, as required by the SEC for fiscal years
beginning after September 1, 1995.
See accompanying Notes to Financial Statements.
5
<PAGE>
DIMENSIONAL INVESTMENT GROUP INC.
NOTES TO FINANCIAL STATEMENTS
A. ORGANIZATION:
Dimensional Investment Group Inc. (the "Fund") is an open-end management
investment company registered under the Investment Company Act of 1940, whose
shares are offered to institutional investors, retirement plans and clients of
registered investment advisors. The Fund currently offers thirteen portfolios,
of which The DFA International Value Portfolio (the "Portfolio") is presented in
this report.
The Portfolio invests all of its assets in The DFA International Value
Series (the "Series") a corresponding series of The DFA Investment Trust
Company. At November 30, 1997, the Portfolio owned 23% of the outstanding shares
of the Series. The financial statements of the Series are included elsewhere in
this report and should be read in conjunction with the financial statements of
the Portfolio.
B. SIGNIFICANT ACCOUNTING POLICIES:
The following significant accounting policies are in conformity with
generally accepted accounting principles for investment companies. Such policies
are consistently followed by the Fund in preparation of its financial
statements. The preparation of financial statements in accordance with generally
accepted accounting principles may require management to make estimates and
assumptions that affect the reported amounts and disclosures in the financial
statements. Actual results could differ from those estimates.
1. SECURITY VALUATION: The shares of the Series held by the Portfolio are
valued at its respective daily net asset value.
2. FEDERAL INCOME TAXES: It is the Portfolio's intention to continue to
qualify as a regulated investment company and distribute all of its taxable
income. Accordingly, no provision for Federal income tax is required in the
financial statements.
3. OTHER: Security transactions are accounted for on the date the
securities are purchased or sold. Costs used in determining realized gains and
losses on the sale of investment securities are those of specific securities
sold. Dividend income and distributions to shareholders are recorded on the
ex-dividend date. Expenses directly attributable to the Portfolio or to the
Series are directly charged. Common expenses are allocated using methods
determined by the Board of Directors.
C. INVESTMENT ADVISOR:
Dimensional Fund Advisors Inc. ("DFA" or the "Advisor") provides
administrative services to the Portfolio, including supervision of services
provided by others, providing information to the shareholders and to the Board
of Directors, and other administrative services. The Advisor provides investment
advisory services to the Series. For the year ended November 30, 1997, the
Portfolio's administrative fees were computed daily and paid monthly to the
Advisor based on an effective annual rate of 0.20 of 1% of average daily net
assets.
Certain officers of the Portfolio are also officers, directors and
shareholders of the Advisor.
The Advisor has agreed to waive its fees and reimburse the Portfolio through
March 28, 1996 to the extent necessary to keep the annual combined expenses of
the Portfolio and its respective Master Fund to not more than 0.65% of average
daily net assets.
6
<PAGE>
D. INVESTMENTS:
At November 30, 1997, gross unrealized appreciation and depreciation for
federal income tax purposes of investment securities was as follows (amounts in
thousands):
<TABLE>
<S> <C>
Gross Unrealized Appreciation............................ $ 7,778
Gross Unrealized Depreciation............................ --
---------
Net...................................................... $ 7,778
---------
---------
</TABLE>
E. LINE OF CREDIT:
The Fund, together with other DFA-advised portfolios, has entered into a $50
million unsecured line of credit with its domestic custodian bank. Each
portfolio is permitted to borrow, subject to its investment limitations, up to a
maximum of $50 million. Borrowings under the line are charged interest at the
current overnight federal funds rate plus a variable rate determined at the date
of borrowing. Each portfolio is individually, and not jointly liable for its
particular advances under the line. There is no commitment fee on the unused
portion of the line of credit. There were no borrowings under the line of credit
by the Portfolio during the year ended November 30, 1997.
7
<PAGE>
REPORT OF INDEPENDENT ACCOUNTANTS
TO THE SHAREHOLDERS AND BOARD OF DIRECTORS OF
DIMENSIONAL INVESTMENT GROUP INC.:
We have audited the accompanying statement of assets and liabilities of the
Dimensional Investment Group Inc., The DFA International Value Portfolio, as of
November 30, 1997, and the related statement of operations for the year then
ended, the statements of changes in net assets for the two years in the period
then ended and financial highlights for each of the periods presented. These
financial statements and financial highlights are the responsibility of the
Fund'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 investments owned as of
November 30, 1997, by correspondence with the custodian. 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, the financial statements and financial highlights referred to
above present fairly, in all material respects, the financial position of the
Dimensional Investment Group Inc., The DFA International Value Portfolio, as of
November 30, 1997, and the results of its operations for the year then ended,
the changes in its net assets for each of the two years in the period then ended
and its financial highlights for each of the periods presented, in conformity
with generally accepted accounting principles.
COOPERS & LYBRAND L.L.P.
2400 Eleven Penn Center
Philadelphia, Pennsylvania
January 16, 1998
8
<PAGE>
THE DFA INVESTMENT TRUST COMPANY
PERFORMANCE CHART
EDGAR REPRESENTATION OF DATA POINTS USED IN PRINTED GRAPHIC
<TABLE>
<CAPTION>
DFA INTERNATIONAL VALUE SERIES VS.
<S> <C> <C>
EAFE Index
March 1994-November 1997
Growth of $10,000
DFA International Value Series EAFE Index
02/94 $10,000 $10,000
03/94 $9,733 $9,570
04/94 $10,060 $9,982
05/94 $10,119 $9,922
06/94 $10,239 $10,061
07/94 $10,438 $10,161
08/94 $10,598 $10,405
09/94 $10,228 $10,082
10/94 $10,658 $10,425
11/94 $10,099 $9,925
12/94 $10,159 $9,984
01/95 $9,757 $9,605
02/95 $9,736 $9,576
03/95 $10,312 $10,179
04/95 $10,633 $10,566
05/95 $10,573 $10,439
06/95 $10,463 $10,262
07/95 $11,052 $10,909
08/95 $10,676 $10,494
09/95 $10,740 $10,704
10/95 $10,536 $10,415
11/95 $10,826 $10,706
12/95 $11,351 $11,145
01/96 $11,464 $11,190
02/96 $11,537 $11,235
03/96 $11,698 $11,471
04/96 $12,154 $11,803
05/96 $12,040 $11,591
06/96 $12,083 $11,660
07/96 $11,760 $11,322
08/96 $11,811 $11,345
09/96 $12,019 $11,651
10/96 $11,904 $11,535
11/96 $12,434 $11,996
12/96 $12,271 $11,840
01/97 $11,861 $11,426
02/97 $11,969 $11,620
03/97 $12,013 $11,667
04/97 $11,948 $11,737
05/97 $12,855 $12,499
06/97 $13,413 $13,187
07/97 $13,598 $13,398
08/97 $12,706 $12,406
09/97 $13,174 $13,101
10/97 $12,483 $12,092
11/97 $11,955 $11,971
Annualized Total Return (%)
One Year -3.85
From March 1994 4.88
The series invests in companies with market capitalization of at least
$800 million and book-to-market ratios in the upper 30% of large
publicly
traded non-U.S. companies. Country weightings reflect the EAFE Index
market capitalization weight, with Japan limited to 38%.
The series' returns in fiscal 1997 reflected the performance of large,
non-U.S. companies with high book-to-market ratios.
Past performance is not predictive of future performance.
EAFE Index courtesy of Morgan Stanley Capital International.
</TABLE>
9
<PAGE>
THE DFA INTERNATIONAL VALUE SERIES
STATEMENT OF NET ASSETS
NOVEMBER 30, 1997
<TABLE>
<CAPTION>
SHARES VALUE+
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<S> <C> <C>
JAPAN -- (27.2%)
COMMON STOCKS -- (26.8%)
Achilles Corp........................................ 176,000 $ 257,880
Aica Kogyo Co., Ltd.................................. 37,000 139,448
Aichi Bank, Ltd...................................... 10,500 769,246
Aichi Machine Industry Co., Ltd...................... 71,000 187,479
Aisin Seiki Co., Ltd................................. 137,000 1,620,921
Amada Co., Ltd....................................... 376,000 1,888,470
Amano Corp........................................... 115,000 982,174
Aoki International Co., Ltd.......................... 63,000 389,971
#Aomori Bank, Ltd.................................... 170,000 759,256
Aoyama Trading Co., Ltd.............................. 41,100 1,036,960
Asahi Denka Kogyo KK................................. 42,000 190,872
Asahi Organic Chemicals Industry Co., Ltd............ 82,000 260,215
#Ashikaga Bank, Ltd.................................. 808,000 1,063,616
Awa Bank, Ltd........................................ 189,600 846,793
Bandai Co., Ltd...................................... 60,000 930,852
#Bank of Ikeda, Ltd.................................. 13,000 499,119
Bank of Iwate, Ltd................................... 18,590 959,907
#Bank of Kinki, Ltd.................................. 234,000 524,380
Bank of Kyoto, Ltd................................... 347,400 1,524,341
Bank of Nagoya, Ltd.................................. 185,000 1,020,490
#Bank of Saga, Ltd................................... 215,000 918,119
#Bank of Yokohama, Ltd............................... 978,000 3,034,578
#Best Denki Co., Ltd................................. 153,000 791,224
Brother Industries, Ltd.............................. 349,000 773,884
CMK Corp............................................. 38,000 464,486
Calpis Co., Ltd...................................... 58,000 197,689
#Canon Sales Co., Inc................................ 64,900 889,912
#Casio Computer Co., Ltd............................. 264,000 2,109,931
Central Glass Co., Ltd............................... 179,000 302,950
#Chiba Bank, Ltd..................................... 941,000 3,671,835
*#Chichibu Onoda Cement Corp......................... 746,000 1,870,480
Chiyoda Fire and Marine Insurance Co., Ltd........... 444,150 1,325,925
Chudenko Corp........................................ 82,000 1,799,021
Chugoku Bank, Ltd.................................... 199,000 2,650,735
Chukyo Coca-Cola Bottling Co., Ltd................... 35,000 222,135
Chukyo Sogo Bank, Ltd................................ 107,000 360,509
#Chuo Trust and Banking Co., Ltd..................... 299,000 573,986
Citizen Watch Co., Ltd............................... 317,000 1,999,491
Cosmo Oil Co., Ltd................................... 764,000 1,586,366
Dai Tokyo Fire & Marine Insurance Co., Ltd........... 529,000 2,031,028
Daicel Chemical Industries, Ltd...................... 485,000 942,449
Daido Steel Co., Ltd................................. 562,000 827,863
Daikin Industries, Ltd............................... 182,000 956,881
Dainippon Pharmaceutical Co., Ltd.................... 203,000 839,835
#Daio Paper Corp..................................... 128,750 807,052
#Daisan Bank, Ltd.................................... 138,000 510,370
#Daishi Bank, Ltd.................................... 350,000 1,184,721
Daito Trust Construction Co., Ltd.................... 180,784 1,167,217
#Daiwa Bank, Ltd..................................... 726,000 1,308,364
Daiwa House Industry Co., Ltd........................ 655,000 5,286,190
#Daiwa Kosho Lease Co., Ltd.......................... 193,000 981,446
Daiwa Securities Co., Ltd............................ 1,673,000 5,833,379
#Denki Kagaku Kogyo K.K.............................. 469,000 881,959
<CAPTION>
SHARES VALUE+
------------- ---------------
<S> <C> <C>
Dowa Fire & Marine Insurance Co., Ltd................ 383,000 $ 1,335,436
Ehime Bank, Ltd...................................... 143,000 436,983
#Eighteenth Bank, Ltd................................ 226,000 1,345,818
Ezaki Glico Co., Ltd................................. 174,600 1,128,658
#Fuji Fire & Marine Insurance Co., Ltd............... 353,000 799,350
Fuji Oil Co., Ltd.................................... 73,000 306,014
Fuji Photo Film Co., Ltd............................. 414,000 14,889,403
Fujisawa Pharmaceutical Co., Ltd..................... 314,000 2,927,796
#Fukui Bank, Ltd..................................... 343,000 900,333
Fukuoka City Bank, Ltd............................... 264,532 704,728
*#Fukutoku Bank, Ltd................................. 27,000 33,426
Fukuyama Transporting Co., Ltd....................... 266,000 1,083,800
Furukawa Co., Ltd.................................... 165,000 316,748
Fuso Pharmaceutical Industries, Ltd.................. 67,000 209,990
#Futaba Corp......................................... 16,000 714,594
#Futaba Industrial Co., Ltd.......................... 82,000 957,336
Gunze, Ltd........................................... 315,000 757,728
Hanshin Electric Railway Co., Ltd.................... 141,000 451,863
Higo Bank, Ltd....................................... 308,000 1,727,937
Hino Motors, Ltd..................................... 398,000 1,185,034
Hiroshima Bank, Ltd.................................. 575,000 1,013,712
Hiroshima-Sogo Bank, Ltd............................. 136,000 588,223
Hitachi Construction Machinery Co., Ltd.............. 64,000 261,265
Hitachi Maxell, Ltd.................................. 96,000 2,151,303
*Hitachi Metals, Ltd................................. 360,000 1,734,770
#Hitachi Transport System, Ltd....................... 138,000 1,178,609
Hitachi, Ltd......................................... 3,691,000 26,173,203
Hokuetsu Bank........................................ 275,500 865,626
#Hokuetsu Paper Mills, Ltd........................... 162,000 864,423
#Hokuriku Bank, Ltd.................................. 891,000 1,375,334
#House Foods Corp.................................... 115,000 1,522,821
Hyakugo Bank, Ltd. (105th Bank)...................... 258,000 1,192,713
Hyakujishi Bank, Ltd................................. 314,000 1,697,630
Inax Corp............................................ 309,000 1,123,416
#Intec, Inc.......................................... 30,000 232,478
Itochu Corp.......................................... 1,198,000 3,107,056
Itoham Foods, Inc.................................... 284,000 1,137,113
#Izumiya Co., Ltd.................................... 151,000 993,849
Japan Airport Terminal Co., Ltd...................... 9,000 69,109
Japan Pulp and Paper Co., Ltd........................ 119,000 400,008
Japan Wool Textile Co., Ltd.......................... 42,000 187,910
Joyo Bank, Ltd....................................... 19,000 76,223
#Juroku Bank, Ltd.................................... 349,000 1,471,201
Kagawa Bank, Ltd..................................... 61,650 333,309
Kagoshima Bank, Ltd.................................. 262,000 1,430,864
Kajima Corp.......................................... 826,000 2,718,276
#Kamagai Gumi Co., Ltd............................... 878,000 591,640
Kamigumi Co., Ltd.................................... 357,000 1,423,804
*Kandenko Co., Ltd................................... 266,000 1,623,616
Kaneka Corp.......................................... 344,000 1,973,030
Kansai Paint Co., Ltd., Osaka........................ 108,000 283,487
#Kasumi Co., Ltd..................................... 36,000 142,731
Katokichi Co., Ltd................................... 72,000 1,043,683
#Keiyo Bank, Ltd..................................... 391,000 873,144
#Keiyo Co., Ltd...................................... 35,000 169,207
Kikkoman Corp........................................ 256,000 1,516,443
</TABLE>
10
<PAGE>
THE DFA INTERNATIONAL VALUE SERIES
CONTINUED
<TABLE>
<CAPTION>
SHARES VALUE+
------------- ---------------
<S> <C> <C>
Kinden Corp.......................................... 67,000 $ 761,214
#Kinseki, Ltd........................................ 17,000 115,886
Kirin Brewery Co., Ltd............................... 247,000 1,902,456
Kissei Pharmaceutical Co., Ltd....................... 40,000 535,945
Koa Fire & Marine Insurance Co., Ltd................. 45,000 220,372
*Kobe Steel, Ltd..................................... 2,632,000 2,515,996
Koito Manufacturing Co., Ltd......................... 146,000 735,577
#Kokusai Denshin Denwa Co., Ltd...................... 48,400 2,468,827
Kokusai Securities Co., Ltd.......................... 330,000 2,482,272
Komatsu, Ltd......................................... 1,279,000 7,676,505
Komori Corp.......................................... 74,000 1,159,647
Konica Corp.......................................... 66,000 351,655
Koyo Seiko Co........................................ 198,000 1,121,677
Kureha Chemical Industry Co., Ltd.................... 263,000 642,946
Kurimoto, Ltd........................................ 171,000 844,114
#Lion Corp........................................... 311,000 989,352
#Long Term Credit Bank of Japan, Ltd................. 2,895,000 4,876,983
#Maeda Corp.......................................... 244,000 755,181
Makita Corp.......................................... 209,000 2,472,791
Marubeni Corp........................................ 1,942,000 4,854,049
Maruichi Steel Tube, Ltd............................. 117,000 1,494,300
#Matsushita Electric Industrial Co., Ltd............. 1,933,000 30,140,411
Matsushita Electric Works, Ltd....................... 286,000 2,330,578
#Matsushita Refrigeration Co......................... 222,000 878,433
Matsushita Seiko Co., Ltd............................ 179,000 796,646
*Matsuzakaya Co., Ltd................................ 30,000 122,233
*#Mazda Motor Corp................................... 794,000 2,221,023
Meija Seika Kaisha, Ltd. Tokyo....................... 366,000 1,399,475
Michimen Corp........................................ 359,000 562,586
Michinoku Bank, Ltd.................................. 187,000 1,084,270
Mitsubishi Cable Industries, Ltd..................... 29,000 67,032
Mitsubishi Chemical Corp............................. 2,129,000 4,153,739
#Mitsubishi Electric Corp............................ 1,262,000 3,490,586
Mitsubishi Gas Chemical Co., Inc..................... 548,000 1,489,959
Mitsubishi Materials Corp............................ 975,000 2,200,196
#Mitsubishi Motors Corp.............................. 866,000 2,972,051
Mitsubishi Oil Co., Ltd.............................. 590,000 1,317,532
Mitsubishi Paper Mills, Ltd.......................... 419,000 860,161
#Mitsui Chemicals, Inc............................... 405,000 1,110,676
*#Mitsui Engineering and Shipbuilding Co., Ltd....... 781,000 691,502
Mitsui Toatsu Chemicals, Inc......................... 838,000 1,221,297
Mitsui Trust & Banking Co., Ltd...................... 1,030,000 1,735,162
Mori Seiki Co., Ltd.................................. 121,000 1,317,845
Musashino Bank, Ltd.................................. 26,000 1,038,981
NCR Japan, Ltd....................................... 53,000 229,649
NGK Spark Plug Co., Ltd.............................. 201,000 1,315,064
NHK Spring Co., Ltd.................................. 315,000 987,267
NKK Corp............................................. 537,000 542,786
NOK Corp............................................. 149,000 856,932
NSK, Ltd............................................. 253,000 1,048,674
NTN Corp............................................. 398,000 1,375,263
Nagase & Co., Ltd.................................... 196,000 790,911
Nanto Bank, Ltd...................................... 288,000 1,444,231
Nichicon Corp........................................ 100,000 1,120,470
Nichirei Corp........................................ 366,000 1,092,623
Nifco, Inc........................................... 45,000 303,585
Nihon Cement Co., Ltd................................ 424,000 1,152,815
Nihon Unisys, Ltd.................................... 41,000 283,346
<CAPTION>
SHARES VALUE+
------------- ---------------
<S> <C> <C>
#Nikko Securities Co., Ltd........................... 1,910,000 $ 5,836,631
Nippon Chemi-Con Corp................................ 119,000 387,886
#Nippon Credit Bank, Ltd............................. 1,683,000 1,490,139
Nippon Flour Mills Co., Ltd.......................... 21,000 49,363
Nippon Hodo Co., Ltd................................. 151,000 615,240
Nippon Light Metal Co., Ltd.......................... 525,000 991,381
Nippon Meat Packers, Inc., Osaka..................... 232,000 3,035,769
Nippon Oil Co., Ltd.................................. 1,598,000 5,571,871
Nippon Sanso Corp.................................... 367,000 957,579
Nippon Sheet Glass Co., Ltd.......................... 567,000 1,110,676
Nippon Shinpan Co., Ltd.............................. 399,000 484,584
Nippon Shinyaku Co., Ltd............................. 52,000 275,024
Nippon Shokubai Co., Ltd............................. 135,000 679,099
*Nippon Suisan Kaisha, Ltd........................... 49,000 70,261
Nishi-Nippon Bank, Ltd............................... 23,540 72,672
Nishimatsu Construction Co., Ltd..................... 359,000 1,443,032
#Nissan Shatai Co., Ltd.............................. 158,000 506,343
#Nissei Sangyo Co., Ltd.............................. 110,050 991,636
Nisshin Steel Co., Ltd............................... 1,318,000 1,817,575
Nisshinbo Industries, Inc............................ 305,000 1,739,785
Ogaki Kyoritsu Bank, Ltd............................. 50,000 220,960
Oita Bank, Ltd....................................... 145,000 832,791
Okamura Corp......................................... 44,000 141,352
#Oki Electric Industry Co., Ltd...................... 740,000 1,635,103
Okumura Corp......................................... 322,000 1,059,667
Olympus Optical Co., Ltd............................. 343,000 2,510,182
#Penta-Ocean Construction Co., Ltd................... 438,000 758,456
Pioneer Electronic................................... 182,000 3,165,837
Q.P. Corp............................................ 168,000 1,184,721
Rengo Co., Ltd....................................... 252,000 821,406
#Rhythm Watch Co., Ltd............................... 73,000 120,118
Royal Co., Ltd....................................... 41,000 600,744
#Ryosan Co., Ltd..................................... 53,000 847,169
Ryoyo Electro Corp................................... 26,000 275,024
#Sakura Bank, Ltd.................................... 758,000 2,648,917
San In Godo Bank, Ltd................................ 222,000 1,457,677
Sanki Engineering Co., Ltd........................... 109,000 836,983
Sanyo Electric....................................... 2,536,000 7,153,457
Sanyo Shokai, Ltd.................................... 77,000 311,922
#Seino Transportation Co., Ltd....................... 197,000 1,258,022
Seiyo Food Systems, Inc.............................. 61,000 269,093
#Sekisui Chemical Co., Ltd........................... 557,000 4,054,480
Sekisui Jushi Co., Ltd............................... 27,000 151,898
Seksui House......................................... 928,000 6,675,056
Sharp Corp. Osaka.................................... 257,000 1,719,710
#Shiga Bank, Ltd..................................... 268,000 1,280,940
Shimadzu Corp........................................ 100,000 356,513
Shimizu Bank, Ltd.................................... 8,400 419,918
#Shimizu Corp........................................ 997,000 3,202,899
Shinwa Bank, Ltd..................................... 157,000 626,155
Shionogi & Co., Ltd.................................. 455,000 2,591,851
Showa Electric Wire & Cable Co., Ltd., Kawasaki...... 152,000 317,994
Snow Brand Milk Products Co., Ltd.................... 419,000 1,076,842
Stanley Electric Co., Ltd............................ 246,000 724,748
Sumitomo Corp........................................ 918,000 5,790,323
Sumitomo For......................................... 125,000 832,517
Sumitomo Metal Industries, Ltd. Osaka................ 177,000 360,588
Sumitomo Osaka Cement Co., Ltd....................... 594,000 1,130,985
Sumitomo Realty & Development Co., Ltd............... 488,000 3,269,265
</TABLE>
11
<PAGE>
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CONTINUED
<TABLE>
<CAPTION>
SHARES VALUE+
------------- ---------------
<S> <C> <C>
#Sumitomo Warehouse Co., Ltd......................... 67,000 $ 255,138
#Suruga Bank, Ltd.................................... 256,000 1,390,072
*#TEC Corp........................................... 345,000 1,056,964
TOC Co., Ltd......................................... 65,000 611,166
Tadano, Ltd.......................................... 30,000 133,281
Taikisha, Ltd........................................ 30,000 343,193
#Taisei Corp......................................... 1,325,000 3,062,684
Takara Standard Co., Ltd............................. 175,000 1,186,092
Tanabe Seiyaku Co., Ltd.............................. 140,000 894,025
Teijin, Ltd.......................................... 917,000 2,407,013
Teikoku Oil Co., Ltd................................. 346,000 1,165,759
Toagosei Co., Ltd.................................... 353,000 746,797
Toda Corp............................................ 418,000 1,768,619
Toho Bank, Ltd....................................... 236,000 1,274,076
#Tokai Rika Co., Ltd................................. 56,000 179,902
#Tokushu Paper Manufacturing Co., Ltd................ 31,000 218,852
Tokuyama Corp........................................ 248,000 864,721
#Tokyo Sowa Bank..................................... 199,000 567,569
Tokyo Steel Manufacturing Co., Ltd................... 202,800 1,231,499
Tokyo Style Co., Ltd................................. 133,000 1,354,750
#Tokyo Tatemono Co., Ltd............................. 294,000 967,522
#Tokyo Tomin Bank, Ltd............................... 30,900 968,462
Tokyu Department Store Co., Ltd...................... 329,000 605,798
#Tokyu Store Chain Corp.............................. 53,000 255,397
Tomoku Co., Ltd...................................... 65,000 115,612
Tostem Corp.......................................... 188,000 2,135,945
Towa Bank, Ltd....................................... 102,000 426,782
Toyo Information System Co., Ltd..................... 25,000 342,801
Toyo Ink Manufacturing Co., Ltd...................... 378,000 918,159
Toyo Seikan Kaisha, Ltd.............................. 287,600 4,799,906
#Toyo Suisan Kaisha, Ltd............................. 116,000 999,804
Toyo Trust & Banking Co., Ltd........................ 715,000 4,677,963
Toyobo Co., Ltd...................................... 448,000 684,505
#Toyoda Machine Works, Ltd........................... 122,000 1,194,907
Toyota Auto Body Co., Ltd............................ 86,000 661,046
Toyota Tsusho Corp................................... 314,000 1,065,324
Uniden Corp.......................................... 12,000 122,233
#Unisia Jecs Corp.................................... 130,000 308,639
#Victor Co. of Japan, Ltd............................ 246,000 2,313,026
Wacoal Corp.......................................... 149,000 1,447,679
Yakult Honsha Co., Ltd............................... 228,000 1,643,565
#Yamagata Bank, Ltd.................................. 154,000 687,796
Yamaguchi Bank....................................... 133,000 1,709,070
Yamatake Honeywell Co., Ltd.......................... 87,000 1,015,710
Yamato Kogyo Co., Ltd................................ 123,000 946,413
#Yasuda Trust & Banking Co., Ltd..................... 1,434,000 1,224,729
#Yodogawa Steel Works, Ltd........................... 296,000 1,484,349
Yokogawa Electric Corp............................... 337,000 2,212,780
Yokohama Reito Co., Ltd.............................. 34,000 274,398
#Yokohama Rubber Co., Ltd............................ 404,000 1,098,437
Zexel Corp........................................... 60,000 201,214
---------------
TOTAL COMMON STOCKS
(Cost $638,343,721).................................. 424,473,311
---------------
INVESTMENT IN CURRENCY -- (0.4%)
*Japanese Yen (Cost $5,570,515)...................... 5,535,941
---------------
TOTAL -- JAPAN
(Cost $643,914,236).................................. 430,009,252
---------------
<CAPTION>
SHARES VALUE+
------------- ---------------
<S> <C> <C>
UNITED KINGDOM -- (22.6%)
COMMON STOCKS -- (22.5%)
ASDA Group P.L.C..................................... 1,719,300 $ 4,663,677
Abbey National P.L.C................................. 440,000 6,949,841
*Aggreko P.L.C....................................... 32,000 85,454
Allied Domecq P.L.C.................................. 140,000 1,256,026
Anglian Water P.L.C.................................. 174,300 2,391,880
Antofagasta Holdings P.L.C........................... 38,000 232,083
Arjo Wiggins Appleton P.L.C.......................... 659,100 1,887,779
Associated British Foods P.L.C....................... 733,200 6,750,929
Associated British Ports Holdings P.L.C.............. 369,200 1,747,910
BAA P.L.C............................................ 1,005,676 8,463,393
BG P.L.C............................................. 2,574,617 12,015,544
BICC P.L.C........................................... 134,750 346,218
Barclays P.L.C....................................... 664,025 16,009,398
Bardon Group P.L.C................................... 1,015,384 872,472
Barratt Developments P.L.C........................... 222,000 923,849
Bass P.L.C........................................... 672,000 9,595,330
Beazer Group P.L.C................................... 157,257 437,164
Berkeley Group P.L.C................................. 78,622 888,828
Booker P.L.C......................................... 215,000 1,122,926
British Airways P.L.C................................ 62,000 572,953
British Land Co. P.L.C............................... 456,746 5,044,271
British Steel P.L.C.................................. 1,575,000 3,675,202
British Telecommunications P.L.C..................... 3,087,096 23,613,313
British Vita P.L.C................................... 212,300 876,329
Brixton Estate P.L.C................................. 224,700 834,762
Bryant Group P.L.C................................... 224,555 433,191
Burford Holdings P.L.C............................... 337,000 607,526
Burton Group P.L.C................................... 460,700 1,152,645
Capital Shopping Centres P.L.C....................... 381,375 2,663,347
*Centrica P.L.C...................................... 2,862,900 4,172,278
Chelsfield P.L.C..................................... 227,800 1,352,894
Christies International P.L.C........................ 41,000 159,223
Coats Viyella P.L.C.................................. 674,730 1,153,844
Commercial Union P.L.C............................... 658,591 9,126,466
Courtaulds P.L.C..................................... 40,000 184,992
Delta P.L.C.......................................... 143,000 631,231
Energy Group P.L.C................................... 18,200 194,867
English China Clays P.L.C............................ 249,062 1,082,625
First Leisure Corp. P.L.C............................ 127,900 564,576
General Accident P.L.C............................... 464,500 7,661,598
*Grantchester Holdings P.L.C......................... 12,930 35,182
Great Portland Estates P.L.C......................... 197,275 827,604
Great Universal Stores P.L.C......................... 814,600 9,565,950
Greenalls Group P.L.C................................ 283,846 1,817,261
*Greene King P.L.C................................... 59,000 648,113
Guardian Royal Exchange P.L.C........................ 877,661 4,391,715
Guinness P.L.C....................................... 85,000 772,612
Hambros P.L.C........................................ 107,954 459,252
Hanson P.L.C......................................... 624,950 3,164,031
Hardy Oil & Gas P.L.C................................ 74,000 349,716
Harrisons & Crosfield P.L.C.......................... 688,000 1,367,796
Highland Distilleries Co. P.L.C...................... 106,000 558,093
Hillsdown Holdings P.L.C............................. 477,593 1,247,213
House of Fraser P.L.C................................ 140,000 489,437
Hyder P.L.C.......................................... 95,341 1,511,542
Ibstock P.L.C........................................ 150,000 133,942
Imperial Chemical Industries P.L.C................... 637,700 9,293,589
Inchcape P.L.C....................................... 508,000 1,805,914
Kwik Save Group P.L.C................................ 141,551 739,308
</TABLE>
12
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THE DFA INTERNATIONAL VALUE SERIES
CONTINUED
<TABLE>
<CAPTION>
SHARES VALUE+
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<S> <C> <C>
Ladbroke Group P.L.C................................. 954,288 $ 4,369,180
Laird Group P.L.C.................................... 92,400 665,517
Lasmo P.L.C.......................................... 613,035 2,724,135
Lex Service P.L.C.................................... 109,433 802,948
London & Manchester Group P.L.C...................... 98,000 840,417
Lonrho P.L.C......................................... 752,930 1,148,032
Marley P.L.C......................................... 216,232 367,953
Mersey Docks & Harbour Co. P.L.C..................... 37,610 266,136
Meyer International P.L.C............................ 101,097 654,064
Mirror Group P.L.C................................... 403,000 1,290,059
National Westminster Bank P.L.C...................... 1,159,229 17,489,837
Peel Holdings P.L.C.................................. 32,500 338,120
Persimmon P.L.C...................................... 162,000 584,090
Pilkington P.L.C..................................... 995,666 2,155,598
Powell Duffryn P.L.C................................. 47,037 369,694
Powergen P.L.C....................................... 438,132 5,654,376
Premier Consolidated Oilfields P.L.C................. 988,414 907,583
RJB Mining P.L.C..................................... 100,000 269,570
RMC Group P.L.C...................................... 223,000 3,422,742
Racal Electronics P.L.C.............................. 274,000 1,008,679
Rank Group P.L.C..................................... 749,000 4,369,407
Redland P.L.C........................................ 417,095 2,406,836
Rio Tinto P.L.C...................................... 64,300 781,083
Rolls-Royce P.L.C.................................... 311,956 1,244,326
Royal & Sun Alliance Insurance Group, Inc. P.L.C..... 1,470,779 13,443,059
Rugby Group P.L.C.................................... 417,000 874,694
Safeway P.L.C........................................ 716,577 3,896,548
Sainsbury (J.) P.L.C................................. 942,006 7,733,150
Scottish & Newcastle P.L.C........................... 117,600 1,383,964
Scottish Hydro-Electric P.L.C........................ 374,000 2,952,107
Sears P.L.C.......................................... 1,466,100 1,210,349
Severn Trent P.L.C................................... 240,597 3,814,440
Shell Transport & Trading Co., P.L.C................. 2,222,545 15,231,022
Slough Estates P.L.C................................. 376,100 2,195,622
Smith (David S.) Holdings P.L.C...................... 298,000 1,001,636
South West Water P.L.C............................... 83,253 1,258,883
Stakis P.L.C......................................... 733,194 1,222,940
Storehouse P.L.C..................................... 405,000 1,654,694
T & N P.L.C.......................................... 352,635 1,485,307
Tarmac P.L.C......................................... 894,395 1,740,453
Tate & Lyle P.L.C.................................... 70,000 554,302
Taylor Woodrow P.L.C................................. 382,652 1,121,771
*Telewest Communications P.L.C....................... 715,000 831,201
Tesco P.L.C.......................................... 1,412,941 11,367,065
Thames Water P.L.C................................... 260,611 3,978,065
Thistle Hotels P.L.C................................. 306,000 811,994
Unigate P.L.C........................................ 229,400 2,235,876
Unilever P.L.C....................................... 2,118,000 16,744,846
United Assurance Group P.L.C......................... 331,000 2,880,376
United Biscuits Holdings P.L.C....................... 508,963 1,822,200
United Utilities P.L.C............................... 362,528 4,648,118
Vaux Group P.L.C..................................... 87,094 374,179
Wessex Water P.L.C................................... 142,021 1,161,697
Whitbread P.L.C...................................... 469,600 6,681,572
Wilson (Connolly) Holdings P.L.C..................... 128,000 361,223
Wilson Bowden P.L.C.................................. 89,200 785,239
Wimpey (George) P.L.C................................ 236,750 432,783
<CAPTION>
SHARES VALUE+
------------- ---------------
<S> <C> <C>
Wolverhampton & Dudley Breweries P.L.C............... 42,700 $ 329,851
Yorkshire Water P.L.C................................ 243,045 2,010,570
---------------
TOTAL COMMON STOCKS
(Cost $261,899,028).................................. 355,939,282
---------------
INVESTMENT IN CURRENCY -- (0.1%)
*British Pound Sterling (Cost $1,692,497)............ 1,697,215
---------------
PREFERRED STOCKS -- (0.0%)
Hyder P.L.C.
(Cost $111,389).................................... 76,860 149,890
---------------
RIGHTS/WARRANTS -- (0.0%)
*Meyer International P.L.C. Rights
(Cost $0).......................................... 25,274 6,387
---------------
TOTAL -- UNITED KINGDOM
(Cost $263,702,914).................................. 357,792,774
---------------
GERMANY -- (9.8%)
COMMON STOCKS -- (9.8%)
*AGIV AG fuer Industrie & Verkehrswesen.............. 57,800 1,186,259
*Ava Allgemeine Handelsgesellschaft der Verbraucher
AG, Bielefeld...................................... 3,700 891,526
#BASF AG............................................. 607,450 21,490,098
BHF Bank AG.......................................... 109,700 3,187,453
Bankgesellschaft Berlin AG........................... 222,000 4,726,136
Bayer AG............................................. 68,900 2,549,624
#Bayerische Hypotheken und Wechselbank AG............ 303,300 13,154,584
#Bayerische Vereinsbank AG........................... 278,450 16,536,535
#Berliner Kraft & Licht Bewag AG..................... 88,800 2,177,421
Bilfinger & Berger Bau AG, Mannheim.................. 45,700 1,681,528
#Commerzbank AG...................................... 359,450 12,492,295
Continental AG....................................... 20,000 506,285
DBV-Winterthur Holding AG, Wiesbaden................. 4,400 1,372,014
*Deutsche Babcock AG, Oberhausen..................... 2,500 126,571
Deutsche Bank AG..................................... 277,700 17,806,631
Deutsche Hypothekenbank Frankfurt AG................. 300 168,384
Deutsche Lufthansa AG................................ 254,700 4,837,456
Deutsche Pfandbrief und Hypothekenbank AG, Depfa..... 45,700 2,590,953
Deutsche Telekom AG.................................. 137,600 2,788,931
#Dresdner Bank AG, Frankfurt......................... 387,000 15,007,569
Dyckerhoff AG........................................ 2,275 677,149
*Energie Baden-Wuerttemberg AG....................... 40,520 1,229,041
Hochtief AG.......................................... 77,400 3,203,370
*Holzmann (Philipp) AG............................... 6,200 1,715,358
IVG Holding AG....................................... 2,100 60,720
#Karstadt AG......................................... 8,350 2,901,952
Linde AG............................................. 2,000 1,246,152
#Man AG, Muechen..................................... 14,000 4,167,068
Merck KGAA........................................... 30,300 1,102,861
Preussag AG.......................................... 2,000 572,051
*Ruetgerswerke AG.................................... 467 77,973
Schmalbach-Lubeca AG................................. 1,370 256,706
#Siemens AG.......................................... 58,000 3,405,033
Thuega AG............................................ 267 70,844
</TABLE>
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CONTINUED
<TABLE>
<CAPTION>
SHARES VALUE+
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<S> <C> <C>
Thyssen Industrie AG Essen........................... 3,000 $ 569,783
Vereins & Westbank AG................................ 5,096 1,196,115
Viag AG.............................................. 4,900 2,489,684
Volkswagen AG........................................ 7,000 3,968,636
---------------
TOTAL COMMON STOCKS
(Cost $118,297,250).................................. 154,188,749
---------------
INVESTMENT IN CURRENCY -- (0.0%)
*German Marks (Cost $132,314)........................ 130,420
---------------
TOTAL -- GERMANY
(Cost $118,429,564).................................. 154,319,169
---------------
SWITZERLAND -- (7.8%)
COMMON STOCKS -- (7.7%)
*Ascom Holding AG, Bern.............................. 600 785,725
*Baloise-Holding, Basel.............................. 7,888 14,053,209
Banca del Gotthard................................... 640 363,613
Banque Cantonale Vaudois............................. 5,795 1,711,238
Bobst SA, Prilly..................................... 2,022 2,978,347
Credit Suisse Holding, Zuerich (Namen)............... 112,000 16,399,077
Danzas Holding AG.................................... 7,260 1,522,589
EGL (Elektrizitaets-Gesellschaft Laufenberg) AG,
Laufenberg......................................... 3,173 666,564
Financiere Richemont AG Units -A-.................... 1,320 1,467,500
Fischer (Georg) AG, Schaffhausen..................... 2,272 2,921,095
Fischer (Georg) AG, Schaffhausen (Namen)............. 1,327 353,695
Forbo Holding AG, Eglisau............................ 6,081 2,435,488
Jelmoli Holding AG, Zuerich.......................... 500 438,384
Julius Baer Holding AG, Zuerich...................... 2,386 3,891,063
Oerlikon-Buehrle Holding AG, Zuerich................. 44,781 6,384,094
Pargesa Holding SA, Geneve........................... 1,935 2,429,455
Pirelli SA, Basel.................................... 3,600 757,528
Rieter Holding AG, Winterthur........................ 5,000 2,184,907
Roche Holding AG, Basel.............................. 464 7,062,405
SBG (Schweizerische Bankgesellschaft)................ 5,658 7,203,018
*SBV (Schweizerischer Bankverein) (Namen)............ 66,000 18,933,990
SIG (Schweizerische Industrie Gesellschaft Holding
AG), Neuhausen am Rheinfall........................ 840 2,179,997
SIG (Schweizerische Industrie Gesellschaft Holding
AG), Neuhausen am Rheinfall (Namen)................ 1,343 1,733,280
*Saurer AG, Arbon.................................... 6,027 4,409,206
Schindler Holding AG, Hergiswil...................... 1,829 2,078,278
Schweizerische National Versicherungs Gesellschaft,
Basel.............................................. 1,106 2,497,962
Sulzer AG, Winterthur................................ 6,000 3,977,022
*Swissair Schweizerische Luftverkehr AG, Zuerich..... 6,438 8,435,343
UBS (Union Bank of Switzerland)...................... 4,275 1,083,975
*Von Roll Holding AG, Gerlafingen.................... 15,045 297,589
---------------
TOTAL COMMON STOCKS
(Cost $88,319,539)................................... 121,635,636
---------------
<CAPTION>
SHARES VALUE+
------------- ---------------
<S> <C> <C>
INVESTMENT IN CURRENCY -- (0.1%)
*Swiss Francs (Cost $2,108,134)...................... $ 2,081,693
---------------
TOTAL -- SWITZERLAND
(Cost $90,427,673)................................... 123,717,329
---------------
FRANCE -- (7.8%)
COMMON STOCKS -- (7.7%)
#AGF (Assurances Generales de France SA)............. 100,156 5,695,338
AXA-UAP.............................................. 70,000 5,059,549
Accor SA............................................. 5,592 1,060,905
Banque Nationale de Paris............................ 191,044 9,323,261
Bongrain SA.......................................... 1,463 612,114
Bouygues............................................. 13,179 1,348,375
CPR (Cie Parisienne de Reescompte)................... 16,385 1,298,923
*Centrale du Groupe des Assurances Nationales SA..... 106,860 2,507,010
#Christian Dior SA................................... 21,100 2,112,327
Ciments Vicat........................................ 800 67,756
*Club Mediterranee SA................................ 10,000 748,710
Colas SA............................................. 4,250 622,005
Credit Commercial de France.......................... 13,391 793,685
Credit National...................................... 8,144 479,108
ECIA (Equipements et Composants pour l'Industrie
Automobile)........................................ 3,000 467,520
Elf Aquitaine........................................ 140,000 16,126,054
Eridania Beghin-Say SA............................... 18,900 2,938,973
Esso SA.............................................. 8,476 684,858
*Euro Disney SCA..................................... 551,700 733,608
Financiere de Paribas SA Series A.................... 90,572 6,517,329
Fromageries Bel la Vache qui Rit..................... 75 53,358
GTM Entrepose........................................ 21,077 1,392,402
Groupe Danone........................................ 42,500 6,803,179
Imetal............................................... 1,900 226,578
LaFarge Coppee SA.................................... 68,857 4,515,049
Labinal SA........................................... 3,200 813,078
Lyonnais des Eaux SA................................. 57,442 6,207,853
Pechiney International............................... 26,150 507,630
Pechiney SA Series A................................. 10,100 395,378
Pernod-Ricard........................................ 26,000 1,316,408
Peugeot SA........................................... 36,550 4,179,096
Rallye SA............................................ 14,220 602,186
Remy Cointreau SA.................................... 27,400 431,643
#Rhone-Poulenc SA Series A........................... 176,126 7,792,697
#Saint-Gobain........................................ 64,336 8,631,185
#Societe Generale Paris.............................. 68,532 8,950,328
Sommer-Allibert SA................................... 13,500 436,776
Sophia SA............................................ 7,700 297,383
Thomson-CSF.......................................... 87,203 2,522,961
Total SA............................................. 40,000 4,167,027
Union Assurances Federales SA........................ 900 108,698
Usinor............................................... 31,600 492,454
*#Worms et Compagnie SA.............................. 20,800 1,620,736
---------------
TOTAL COMMON STOCKS
(Cost $101,460,699).................................. 121,661,491
---------------
INVESTMENT IN CURRENCY -- (0.1%)
*French Francs (Cost $1,327,081)..................... 1,310,316
---------------
TOTAL -- FRANCE
(Cost $102,787,780).................................. 122,971,807
---------------
</TABLE>
14
<PAGE>
THE DFA INTERNATIONAL VALUE SERIES
CONTINUED
<TABLE>
<CAPTION>
SHARES VALUE+
------------- ---------------
<S> <C> <C>
NETHERLANDS -- (5.6%)
COMMON STOCKS -- (5.6%)
ABN Amro Holding NV.................................. 1,252,433 $ 23,877,467
Bijenkorf Beheer KBB NV, Amsterdam................... 10,508 663,374
DSM NV............................................... 31,453 2,879,572
Fortis Amev NV....................................... 270,197 11,172,411
Gist-Brocades NV..................................... 38,304 982,673
Hollandsche Beton Groep NV........................... 30,360 549,793
Ing Groep NV......................................... 723,113 29,390,845
KLM (Koninklijke Luchtvaart Mij NV).................. 76,540 2,752,891
Koninklijke Hoogovens NV............................. 32,448 1,465,746
Koninklijke KNP BT................................... 97,300 2,085,052
Nationale Investeringsbank NV Series A............... 9,018 992,549
Nedlloyd Groep NV, Rotterdam......................... 21,000 482,759
Pakhoed NV........................................... 37,037 1,006,061
Philips Electronics NV............................... 110,000 7,265,273
Stad Rotterdam....................................... 39,899 2,051,197
Stork NV............................................. 26,848 988,593
---------------
TOTAL COMMON STOCKS
(Cost $59,680,710)................................... 88,606,256
---------------
INVESTMENT IN CURRENCY -- (0.0%)
*Netherlands Guilder (Cost $33,981).................. 33,485
---------------
TOTAL -- NETHERLANDS
(Cost $59,714,691)................................... 88,639,741
---------------
ITALY -- (4.0%)
COMMON STOCKS -- (3.9%)
#Banca Commerciale Italiana SpA...................... 3,765,000 10,763,055
*#Banca di Roma...................................... 7,168,500 5,915,500
*#CIR SpA (Cie Industriale Riunite), Torino.......... 885,000 682,168
#Cartiere Burgo SpA.................................. 235,000 1,373,513
Cia Assicuratrice Unipol SpA......................... 116,134 342,747
Credito Italiano..................................... 2,030,000 5,532,999
#Fiat SpA............................................ 3,967,399 11,456,450
*Finmeccanica SpA.................................... 2,070,000 966,691
#Ifil Finanziaria Partecipazioni SpA, Torino......... 907,000 3,351,289
*#Ing C.Olivetti & C SpA, Ivrea...................... 4,836,016 2,711,784
#Istituto Bancario San Paolo Torino SpA.............. 1,003,500 8,263,536
#Italcementi Fabbriche Riunite Cemento SpA,
Bergamo............................................ 364,000 2,323,381
Italmobiliare SpA, Milano............................ 14,330 254,582
Magneti Marelli SpA.................................. 700,000 1,134,226
Milano Assicurazioni SpA............................. 49,520 149,874
#Montedison SpA...................................... 5,375,000 4,416,828
Sirti SpA............................................ 25,000 150,025
Toro Assicurazioni Cia Anonima d'Assicurazione di
Torino SpA......................................... 129,500 1,596,221
---------------
TOTAL COMMON STOCKS
(Cost $53,820,158)................................... 61,384,869
---------------
INVESTMENT IN CURRENCY -- (0.1%)
*Italian Lira (Cost $1,695,258)...................... 1,671,485
---------------
TOTAL -- ITALY
(Cost $55,515,416)................................... 63,056,354
---------------
HONG KONG -- (2.9%)
COMMON STOCKS -- (2.7%)
#Amoy Properties, Ltd................................ 3,610,000 3,105,511
<CAPTION>
SHARES VALUE+
------------- ---------------
<S> <C> <C>
Chinese Estates Holdings, Ltd........................ 2,675,131 $ 1,280,416
*Evergo China Holdings, Ltd.......................... 285,280 14,024
#Great Eagle Holdings, Ltd........................... 569,680 854,856
HKR International, Ltd............................... 1,077,384 871,073
Hang Lung Development Co., Ltd....................... 1,836,000 2,790,710
#Hongkong & Shanghai Hotels, Ltd..................... 1,612,624 1,387,263
#Hopewell Holdings, Ltd.............................. 6,044,000 1,602,812
#Hysan Development Co., Ltd.......................... 1,418,000 2,843,231
Kerry Properties, Ltd................................ 580,000 975,384
Miramar Hotel & Investment Co., Ltd.................. 600,000 1,024,541
New World Development Co. Ltd........................ 1,240,739 4,598,427
#Paliburg Holdings, Ltd.............................. 2,310,625 1,688,815
Realty Development Corp., Ltd. Series A.............. 213,000 596,543
#Regal Hotels International Holdings, Ltd............ 4,988,179 825,955
#Shangri-la Asia, Ltd................................ 2,180,000 1,692,045
Sino Hotels (Holdings), Ltd.......................... 543,653 132,919
#Sino Land Co., Ltd.................................. 4,169,200 2,400,032
Swire Pacific, Ltd. Series A......................... 617,500 3,091,378
Tsim Sha Tsui Properties, Ltd........................ 1,174,000 1,571,856
Wharf Holdings, Ltd.................................. 3,166,000 6,450,534
#Wheelock and Co., Ltd............................... 2,795,000 3,145,613
---------------
TOTAL COMMON STOCKS
(Cost $59,918,462)................................... 42,943,938
---------------
INVESTMENT IN CURRENCY -- (0.2%)
*Hong Kong Dollars (Cost $3,428,344)................. 3,426,913
---------------
RIGHTS/WARRANTS -- (0.0%)
*Century City International Holdings, Ltd. Warrants
12/31/98........................................... 159,165 5,147
*Great Eagle Holdings, Ltd. Warrants 11/30/98........ 113,936 41,269
---------------
TOTAL RIGHTS/WARRANTS
(Cost $0)............................................ 46,416
---------------
TOTAL -- HONG KONG
(Cost $63,346,806)................................... 46,417,267
---------------
SPAIN -- (2.9%)
COMMON STOCKS -- (2.9%)
Autopistas Concesionaria Espanola SA................. 57,600 768,644
Autopistas del Mare Nostrum SA....................... 65,000 1,050,461
#Banco Central Hispanoamericano SA, Madrid........... 364,000 6,944,376
Compania Espanola de Petroleos SA, Madrid............ 14,000 424,342
Corporacion Mapfre Compania Internacional de
Reaseguros SA, Majadahonda......................... 7,200 348,593
Cristaleria Espanola SA, Madrid...................... 3,100 229,914
DRACONSA (Dragados y Construcciones SA).............. 133,189 2,804,449
Ebro Agricolas Compania de Alimentacion SA........... 111,600 1,979,427
#FESCA (Fuerzas Electricas de Cataluna SA) Series
A.................................................. 360,334 3,225,790
Hidroelectrica del Cantabrico SA, Oviedo............. 10,000 460,017
Iberdrola SA......................................... 1,070,000 13,704,610
Metrovacesa (Inmobiliaria Metropolitana Vasco
Central)........................................... 42,840 1,847,183
</TABLE>
15
<PAGE>
THE DFA INTERNATIONAL VALUE SERIES
CONTINUED
<TABLE>
<CAPTION>
SHARES VALUE+
------------- ---------------
<S> <C> <C>
Sevillana de Electricidad SA......................... 420,719 $ 4,133,132
#Union Electrica Fenosa SA........................... 460,900 4,605,137
Uralita SA........................................... 24,500 285,046
Vallehermoso SA...................................... 80,000 2,349,707
---------------
TOTAL COMMON STOCKS
(Cost $33,946,673)................................... 45,160,828
---------------
INVESTMENT IN CURRENCY -- (0.0%)
*Spanish Peseta (Cost $36,987)....................... 36,774
---------------
TOTAL -- SPAIN
(Cost $33,983,660)................................... 45,197,602
---------------
AUSTRALIA -- (2.8%)
COMMON STOCKS -- (2.7%)
#Amcor, Ltd.......................................... 505,844 2,267,070
Australian National Industries, Ltd.................. 575,169 515,554
#Boral, Ltd.......................................... 929,700 2,353,703
#Burns, Philp & Co., Ltd............................. 424,311 87,099
#CSR, Ltd............................................ 842,897 2,768,362
#Commonwealth Bank of Australia...................... 358,842 4,260,248
#Email, Ltd.......................................... 214,213 473,430
#Fosters Brewing Group, Ltd.......................... 1,570,209 2,911,614
#GIO Australia Holdings, Ltd......................... 479,702 1,161,935
#Goodman Fielder, Ltd................................ 627,341 944,351
MIM Holdings......................................... 1,321,990 958,829
News Corp., Ltd...................................... 1,162,360 6,219,487
North, Ltd........................................... 297,538 764,468
Pacific Dunlop, Ltd.................................. 506,319 1,039,328
Pioneer International, Ltd........................... 385,982 1,016,798
#Publishing and Broadcasting, Ltd.................... 176,912 1,004,714
Qantas Airways, Ltd.................................. 383,458 705,793
Rio Tinto, Ltd....................................... 320,562 3,531,385
Stockland Trust Group Units.......................... 146,873 361,585
Village Roadshow, Ltd................................ 45,752 110,194
WMC, Ltd............................................. 447,934 1,435,922
Weston (George) Foods, Ltd........................... 42,444 266,894
#Westpac Banking Corp................................ 1,299,377 8,170,673
---------------
TOTAL COMMON STOCKS
(Cost $43,956,056)................................... 43,329,436
---------------
INVESTMENT IN CURRENCY -- (0.1%)
*Australian Dollar (Cost $776,839)................... 779,001
---------------
TOTAL -- AUSTRALIA
(Cost $44,732,895)................................... 44,108,437
---------------
SWEDEN -- (2.7%)
COMMON STOCKS -- (2.7%)
Avesta Sheffield AB.................................. 97,900 697,386
*Diligentia AB....................................... 50,770 650,983
Electrolux AB Series B............................... 8,900 699,691
*Graenges AB......................................... 4,450 70,891
Gullspangs Kraft AB Series B......................... 22,800 369,124
Kinnevik Industrifoervaltnings AB Series A........... 3,200 58,024
#Kinnevik Industrifoervaltnings AB Series B.......... 34,600 667,713
Mo Och Domsjoe AB Series A........................... 6,300 181,959
Mo Och Domsjoe AB Series B........................... 64,200 1,808,514
*Modern Times Group AB Series A...................... 3,200 19,894
*Modern Times Group AB Series B...................... 11,500 72,983
NCC AB Series A...................................... 45,400 499,807
NCC AB Series B...................................... 73,600 815,026
Naeckebro AB......................................... 21,630 291,352
SSAB Swedish Steel Series A.......................... 92,700 1,596,831
<CAPTION>
SHARES VALUE+
------------- ---------------
<S> <C> <C>
SSAB Swedish Steel Series B.......................... 33,300 $ 569,306
Skandinaviska Enskilda Banken Series A............... 496,200 5,880,380
Skandinaviska Enskilda Banken Series C............... 23,700 259,378
Stora Kopparbergs Bergslags AB Series A.............. 259,100 3,456,465
Stora Kopparbergs Bergslags AB Series B.............. 57,600 764,670
Svenska Cellulosa AB Series A........................ 57,000 1,269,787
Svenska Cellulosa AB Series B........................ 186,800 4,137,143
Svenska Handelsbanken Series A....................... 200,300 7,069,278
Svenska Handelsbanken Series B....................... 20,000 652,767
Svenska Kullagerfabriken AB
Series A........................................... 14,600 326,189
Svenska Kullagerfabriken AB
Series B........................................... 5,500 128,222
Sydkraft AB Series C................................. 8,800 192,618
Trelleborg AB Series B............................... 109,700 1,534,468
Trygg Hansa AB Series B.............................. 42,700 1,324,527
Volvo AB Series A.................................... 85,900 2,280,734
Volvo AB Series B.................................... 187,800 4,986,284
---------------
TOTAL COMMON STOCKS
(Cost $30,931,988)................................... 43,332,394
---------------
INVESTMENT IN CURRENCY -- (0.0%)
*Swedish Krona (Cost $746)........................... 727
---------------
TOTAL -- SWEDEN
(Cost $30,932,734)................................... 43,333,121
---------------
BELGIUM -- (1.3%)
COMMON STOCKS -- (1.3%)
Ackermans & Van Haaren SA............................ 2,500 621,736
Banque Bruxelles Lambert VVPR........................ 128 4
Bekaert SA........................................... 2,500 1,554,341
Electrabel SA........................................ 4,600 1,028,963
#Electrafina SA...................................... 8,000 746,359
Generale de Banque SA................................ 12,030 4,975,306
Generale de Banque SA VVPR........................... 630 173
Generale de Belgique SA.............................. 19,080 1,780,065
Glaverbel SA......................................... 11,312 1,635,095
Glaverbel SA VVPR.................................... 22 1
Groupe Bruxelles Lambert SA, Bruxelles............... 6,300 953,915
Nationale a Portefeuille............................. 4,700 303,517
Sofina SA............................................ 500 336,287
Solvay SA............................................ 62,790 3,770,159
Tractabel (Cie Reunies Electrobel et Tractionel
SA)................................................ 16,915 1,452,579
*Union Miniere SA.................................... 20,400 1,468,754
---------------
TOTAL COMMON STOCKS
(Cost $17,859,485)................................... 20,627,254
---------------
INVESTMENT IN CURRENCY -- (0.0%)
*Belgian Francs (Cost $123,308)...................... 121,437
---------------
TOTAL -- BELGIUM
(Cost $17,982,793)................................... 20,748,691
---------------
DENMARK -- (1.2%)
COMMON STOCKS -- (1.2%)
Bikuben Girobank A.S................................. 32,497 2,105,377
Den Danske Bank A.S.................................. 44,140 5,246,051
Forsikringsselskabet Codan A.S....................... 7,662 1,049,850
Jyske Bank A.S....................................... 9,990 1,060,846
</TABLE>
16
<PAGE>
THE DFA INTERNATIONAL VALUE SERIES
CONTINUED
<TABLE>
<CAPTION>
SHARES VALUE+
------------- ---------------
<S> <C> <C>
#Tele Danmark A.S. Series B.......................... 70,184 $ 4,202,053
Tryg Baltica Forsikring A.S.......................... 22,422 1,332,430
Unidanmark A.S. Series A............................. 51,864 3,669,078
---------------
TOTAL COMMON STOCKS
(Cost $16,803,513)................................... 18,665,685
---------------
INVESTMENT IN CURRENCY -- (0.0%)
*Denmark Krone (Cost $342)........................... 342
---------------
TOTAL -- DENMARK
(Cost $16,803,855)................................... 18,666,027
---------------
MALAYSIA -- (0.9%)
COMMON STOCKS -- (0.8%)
AMMB Holdings Berhad................................. 147,600 126,981
Berjaya Group Berhad................................. 1,302,500 455,180
Berjaya Industrial Berhad............................ 691,000 148,451
Berjaya Leisure Berhad............................... 235,000 189,156
Commerce Asset Holding Berhad........................ 759,000 408,738
Genting Berhad....................................... 750,000 1,729,427
Golden Hope Plantations Berhad....................... 1,087,000 1,245,474
Hap Seng Consolidated Berhad......................... 120,000 167,744
Highlands & Lowlands Berhad.......................... 607,000 664,197
Hong Leong Credit Berhad............................. 309,000 269,077
Hong Leong Industries Berhad......................... 144,000 177,368
IOI Corp. Berhad..................................... 436,000 222,306
Kuala Lumpur Kepong Berhad........................... 677,000 1,483,526
Malaysian Airlines System............................ 987,000 729,427
Malaysian Resources Corp. Berhad..................... 332,000 133,141
Mulpha International Berhad.......................... 1,291,250 247,817
Perlis Plantations Berhad............................ 380,000 761,951
Renong Berhad........................................ 1,008,000 519,731
Sime Darby Berhad (Malaysia)......................... 846,000 848,171
Southern Bank Berhad (Foreign)....................... 195,000 101,102
*Southern Bank Berhad (Foreign) Issue 97............. 97,500 49,992
Telekom Malaysia Berhad.............................. 339,000 757,425
Tenaga Nasional Berhad............................... 774,000 1,441,118
---------------
TOTAL COMMON STOCKS
(Cost $27,260,071)................................... 12,877,500
---------------
INVESTMENT IN CURRENCY -- (0.1%)
*Malaysian Ringetts (Cost $1,689,250)................ 1,609,065
---------------
TOTAL -- MALAYSIA
(Cost $28,949,321)................................... 14,486,565
---------------
SINGAPORE -- (0.8%)
COMMON STOCKS -- (0.7%)
First Capital Corp., Ltd............................. 580,000 655,561
Fraser & Neave, Ltd.................................. 272,000 1,357,839
Industrial & Commercial Bank, Ltd.................... 13,000 31,836
#Keppel Corp., Ltd................................... 178,000 603,568
Sembawang Corp., Ltd................................. 107,000 356,100
#Singapore Airlines, Ltd. (Foreign).................. 40,000 261,220
Singapore Land, Ltd.................................. 1,027,000 3,018,066
Straits Steamship Land, Ltd.......................... 1,891,000 2,992,295
Straits Trading Co., Ltd............................. 552,000 790,290
United Industrial Corp., Ltd......................... 3,443,000 1,621,476
---------------
TOTAL COMMON STOCKS
(Cost $19,835,479)................................... 11,688,251
---------------
<CAPTION>
SHARES VALUE+
------------- ---------------
<S> <C> <C>
INVESTMENT IN CURRENCY -- (0.1%)
*Singapore Dollars (Cost $1,357,204)................. $ 1,347,629
---------------
TOTAL -- SINGAPORE
(Cost $21,192,683)................................... 13,035,880
---------------
NORWAY -- (0.2%)
COMMON STOCKS -- (0.2%)
Den Norske Bank ASA Series A......................... 354,517 1,503,492
Elkem ASA............................................ 12,812 183,493
Kvaerner ASA......................................... 23,336 1,151,911
#Norske Skogindustrier ASA Series A.................. 11,793 357,474
---------------
TOTAL COMMON STOCKS
(Cost $3,350,102).................................... 3,196,370
---------------
INVESTMENT IN CURRENCY -- (0.0%)
*Norwegian Krone (Cost $63).......................... 62
---------------
TOTAL -- NORWAY
(Cost $3,350,165).................................... 3,196,432
---------------
</TABLE>
<TABLE>
<CAPTION>
FACE
AMOUNT
-------------
(000)
<S> <C> <C>
TEMPORARY CASH INVESTMENTS -- (0.4%)
Repurchase Agreement, PNC Capital Markets Inc. 5.45%,
12/10/97 (Collateralized by U.S. Treasury Notes
8.50%, 11/15/00, valued at $6,485,450) to be
repurchased at $6,390,901 (Cost $6,388,000)........ $ 6,388 6,388,000
---------------
TOTAL INVESTMENTS -- (100.9%) (Cost
$1,602,155,186)++.................................... 1,596,084,448
---------------
OTHER ASSETS AND LIABILITIES -- (-0.9%)
Other Assets......................................... 5,759,595
Payable for Investment Securities Purchased.......... (19,102,780)
Payable for Fund Shares Redeemed..................... (145,432)
Other Liabilities.................................... (509,718)
---------------
(13,998,335)
---------------
NET ASSETS -- (100.0%) Applicable to 145,202,648
Outstanding $.01 Par Value Shares (Unlimited Number
of Shares Authorized)................................ $ 1,582,086,113
---------------
---------------
NET ASSET VALUE, OFFERING AND REDEMPTION PRICE PER
SHARE................................................ $ 10.90
---------------
---------------
- --------------------
+See Note B to Financial Statements.
*Non-Income Producing Securities
#Total or Partial Securities on Loan
++Approximates cost for federal income tax purposes.
</TABLE>
See accompanying Notes to Financial Statements.
17
<PAGE>
THE DFA INVESTMENT TRUST COMPANY
THE DFA INTERNATIONAL VALUE SERIES
STATEMENT OF OPERATIONS
FOR THE YEAR ENDED NOVEMBER 30, 1997
(AMOUNTS IN THOUSANDS)
<TABLE>
<S> <C>
INVESTMENT INCOME
Dividends (Net of Foreign Taxes Withheld of $3,568)............................... $ 33,238
Interest.......................................................................... 1,577
Income from Securities Lending.................................................... 1,236
----------
Total Investment Income....................................................... 36,051
----------
EXPENSES
Investment Advisory Services...................................................... 2,997
Accounting & Transfer Agent Fees.................................................. 789
Custodian's Fee................................................................... 751
Legal Fees........................................................................ 32
Audit Fees........................................................................ 39
Shareholders' Reports............................................................. 30
Trustees' Fees and Expenses....................................................... 6
Other............................................................................. 102
----------
Total Expenses................................................................ 4,746
----------
NET INVESTMENT INCOME............................................................. 31,305
----------
NET REALIZED AND UNREALIZED GAIN (LOSS) ON INVESTMENTS AND FOREIGN CURRENCY
Net Realized Gain on Investment Securities........................................ 6,023
Net Realized Loss on Foreign Currency Transactions................................ (1,666)
Change in Unrealized Appreciation (Depreciation) of:
Investment Securities and Foreign Currency.................................... (107,773)
Translation of Foreign Currency Denominated Amounts........................... (44)
----------
NET LOSS ON INVESTMENT SECURITIES AND FOREIGN CURRENCY............................ (103,460)
----------
NET DECREASE IN NET ASSETS RESULTING FROM OPERATIONS.................................. $ (72,155)
----------
----------
</TABLE>
See accompanying Notes to Financial Statements.
18
<PAGE>
THE DFA INVESTMENT TRUST COMPANY
THE DFA INTERNATIONAL VALUE SERIES
STATEMENTS OF CHANGES IN NET ASSETS
(AMOUNTS IN THOUSANDS)
<TABLE>
<CAPTION>
YEAR YEAR
ENDED ENDED
NOV. 30, NOV. 30,
1997 1996
------------- -------------
<S> <C> <C>
INCREASE (DECREASE) IN NET ASSETS
Operations:
Net Investment Income............................................................... $ 31,305 $ 23,725
Net Realized Gain on Investment Securities.......................................... 6,023 27,321
Net Realized Loss on Foreign Currency Transactions.................................. (1,666) (82)
Change in Unrealized Appreciation (Depreciation) of:
Investment Securities and Foreign Currency...................................... (107,773) 80,434
Translation of Foreign Currency Denominated Amounts............................. (44) 9
------------- -------------
Net Increase (Decrease) in Net Assets Resulting from Operations................. (72,155) 131,407
------------- -------------
Distributions From:
Net Investment Income............................................................... (29,074) (23,445)
Net Realized Gains.................................................................. (27,255) (4,744)
------------- -------------
Total Distributions............................................................. (56,329) (28,189)
------------- -------------
Capital Share Transactions (1):
Shares Issued....................................................................... 409,256 1,084,901
Shares Issued in Lieu of Cash Distributions......................................... 56,329 28,189
Shares Redeemed..................................................................... (111,867) (468,842)
------------- -------------
Net Increase From Capital Share Transactions.................................... 353,718 644,248
------------- -------------
Total Increase.................................................................. 225,234 744,466
NET ASSETS
Beginning of Period................................................................. 1,356,852 609,386
------------- -------------
End of Period....................................................................... $ 1,582,086 $ 1,356,852
------------- -------------
------------- -------------
(1) SHARES ISSUED AND REDEEMED:
Shares Issued....................................................................... 34,790 95,652
Shares Issued in Lieu of Cash Distributions......................................... 4,875 2,494
Shares Redeemed..................................................................... (9,587) (40,798)
------------- -------------
30,078 57,348
------------- -------------
------------- -------------
</TABLE>
See accompanying Notes to Financial Statements.
19
<PAGE>
THE DFA INVESTMENT TRUST COMPANY
THE DFA INTERNATIONAL VALUE SERIES
FINANCIAL HIGHLIGHTS
(FOR A SHARE OUTSTANDING THROUGH EACH PERIOD)
<TABLE>
<CAPTION>
YEAR YEAR YEAR FEB. 16
ENDED ENDED ENDED TO
NOV. 30, NOV. 30, NOV. 30, NOV. 30,
1997 1996 1995 1994
----------- ----------- ---------- ----------
<S> <C> <C> <C> <C>
Net Asset Value, Beginning of Period.............. $ 11.79 $ 10.55 $ 10.06 $ 10.00
----------- ----------- ---------- ----------
INCOME FROM INVESTMENT OPERATIONS
Net Investment Income........................... 0.24 0.23 0.20 0.13
Net Gains (Losses) on Securities (Realized and
Unrealized)................................... (0.67) 1.32 0.52 0.07
----------- ----------- ---------- ----------
Total from Investment Operations................ (0.43) 1.55 0.72 0.20
----------- ----------- ---------- ----------
LESS DISTRIBUTIONS
Net Investment Income........................... (0.22) (0.23) (0.21) (0.13)
Net Realized Gains.............................. (0.24) (0.08) (0.02) (0.01)
----------- ----------- ---------- ----------
Total Distributions............................. (0.46) (0.31) (0.23) (0.14)
----------- ----------- ---------- ----------
Net Asset Value, End of Period.................... $ 10.90 $ 11.79 $ 10.55 $ 10.06
----------- ----------- ---------- ----------
----------- ----------- ---------- ----------
Total Return...................................... (3.84)% 14.85% 7.20% 1.99%#
Net Assets, End of Period (thousands)............. $ 1,582,086 $ 1,356,852 $ 609,386 $ 348,381
Ratio of Expenses to Average Net Assets........... 0.32% 0.36% 0.42% 0.45%*(a)
Ratio of Net Investment Income to Average Net
Assets.......................................... 2.09% 2.23% 2.14% 1.84%*(a)
Portfolio Turnover Rate........................... 22.55% 12.23% 9.75% 1.90%*
Average Commission Rate (1)....................... $ 0.0068 $ 0.0112 N/A N/A
</TABLE>
- --------------
* Annualized
# Non-Annualized
(a) Had certain waivers not been in effect the ratio of expenses to average net
assets for the period ended November 30, 1994 would have been 0.48%, and the
ratio of net investment income to average net assets for the period ended
November 30, 1994 would have been 1.81%.
(1) Computed by dividing the total amount of brokerage commissions paid by the
total shares of investment securities purchased and sold during the period
for which commissions were charged, as required by the SEC for fiscal years
beginning after September 1, 1995.
See accompanying Notes to Financial Statements.
20
<PAGE>
THE DFA INVESTMENT TRUST COMPANY
NOTES TO FINANCIAL STATEMENTS
A. ORGANIZATION:
The DFA Investment Trust Company (the "Trust") is an open-end management
investment company registered under the Investment Company Act of 1940. The
Trust currently offers fourteen portfolios, of which The DFA International Value
Series (the "Series") is presented in this report.
B. SIGNIFICANT ACCOUNTING POLICIES:
The following significant accounting policies are in conformity with
generally accepted accounting principles for investment companies. Such policies
are consistently followed by the Trust in preparation of its financial
statements. The preparation of financial statements in accordance with generally
accepted accounting principles may require management to make estimates and
assumptions that affect the reported amounts and disclosures in the financial
statements. Actual results could differ from those estimates.
1. SECURITY VALUATION: Securities held by the Series which are listed on a
securities exchange are valued at the last quoted sale price. Price information
on listed securities is taken from the exchange where the security is primarily
traded. Unlisted securities for which market quotations are readily available
are valued at the mean between the most recent bid and asked prices. Securities
for which quotations are not readily available are valued in good faith at fair
value using methods determined by the Board of Directors.
2. FOREIGN CURRENCY TRANSLATION: Securities, other assets and liabilities
of The DFA International Value Series whose values are initially expressed in
foreign currencies are translated to U.S. dollars at the bid price of such
currency against U.S. dollars last quoted by a major bank. Dividend and interest
income and certain expenses are translated to U.S. dollars at the rate of
exchange on their respective accrual dates. Receivables and payables denominated
in foreign currencies are marked to market daily based on daily exchange rates
and exchange gains or losses are realized upon ultimate receipt or disbursement.
3. FEDERAL INCOME TAXES: It is the Series' intention to continue to
qualify as a regulated investment company and distribute all of its taxable
income. Accordingly, no provision for Federal taxes is required in the financial
statements.
4. REPURCHASE AGREEMENTS: The Series may purchase money market instruments
subject to the seller's agreement to repurchase them at an agreed upon date and
price. The seller will be required on a daily basis to maintain the value of the
collateral subject to the agreement at not less than the repurchase price
(including accrued interest). The agreements are conditioned upon the collateral
being deposited under the Federal Reserve book-entry system with the Trust's
custodian or a third party sub-custodian. All open repurchase agreements were
entered into on November 28, 1997.
5. FOREIGN MARKET RISKS: Investments in foreign markets may involve
certain considerations and risks not typically associated with investments in
the United States, including the possibility of future political and economic
developments and the level of foreign government supervision and regulation of
foreign securities markets. These markets are generally smaller, less liquid and
more volatile than the major securities markets in the United States.
Consequently, acquisition and disposition of securities by the Fund may be
inhibited.
6. OTHER: Security transactions are accounted for on the date the
securities are purchased or sold. Costs used in determining realized gains and
losses on the sale of investment securities are those of specific securities
sold. Dividend income and distributions to shareholders are recorded on the
ex-dividend date. Interest income is recorded on the accrual basis. Discount and
premium on securities purchased are amortized over the lives of the respective
securities. Expenses directly attributable to a Series are directly charged.
Common expenses are allocated using methods determined by the Board of
Directors.
21
<PAGE>
C. INVESTMENT ADVISOR:
Dimensional Fund Advisors Inc. ("DFA" or the "Advisor") provides investment
advisory services to the Series. For the year ended November 30, 1997, the
Series' advisory fees were computed daily and paid monthly to the Advisor based
on an effective annual rate of 0.20 of 1% of average daily net assets.
Certain officers of the Series are also officers, directors and shareholders
of the Advisor.
D. PURCHASES AND SALES OF SECURITIES:
For the year ended November 30, 1997, the Series made the following
purchases and sales of investment securities other than U.S. Government
Securities (amounts in thousands):
<TABLE>
<S> <C>
Purchases.............................................. $ 659,266
Sales.................................................. 329,786
</TABLE>
E. INVESTMENT TRANSACTIONS:
At November 30, 1997, gross unrealized appreciation and depreciation for
federal income tax purposes of investment securities and foreign currencies was
as follows (amounts in thousands):
<TABLE>
<S> <C>
Gross Unrealized Appreciation......................... $ 274,649
Gross Unrealized Depreciation......................... (280,720)
----------
Net................................................... $ (6,071)
----------
----------
</TABLE>
F. LINE OF CREDIT:
The Trust, together with other DFA-advised portfolios, has entered into a
$50 million unsecured line of credit with its domestic custodian bank. Each
portfolio is permitted to borrow, subject to its investment limitations, up to a
maximum of $50 million. Borrowings under the line are charged interest at the
current overnight federal funds rate plus a variable rate determined at the date
of borrowing. Each portfolio is individually, and not jointly liable for its
particular advances under the line. There is no commitment fee on the unused
portion of the line of credit. There were no borrowings under the line of credit
by the Portfolio during the year ended November 30, 1997.
G. COMPONENTS OF NET ASSETS:
At November 30, 1997, net assets consisted of (amounts in thousands):
<TABLE>
<S> <C>
Paid-In Capital...................................... $ 1,581,336
Undistributed Net Investment Income.................. 2,526
Undistributed Net Realized Gain...................... 5,979
Accumulated Net Realized Foreign Exchange Loss....... (1,666)
Unrealized Depreciation of Investment Securities and
Foreign Currency................................... (6,071)
Unrealized Net Foreign Exchange Loss................. (18)
-----------
$ 1,582,086
-----------
-----------
</TABLE>
H. SECURITIES LENDING:
Loans of international securities are required at all times to be secured by
collateral at least equal to 105% of the market value of the securities on loan.
However, in the event of default or bankruptcy by the other party to the
agreement, realization and/or retention of the collateral may be subject to
legal proceedings. In the event that the borrower fails to return loaned
securities, and cash collateral being maintained by the borrower is insufficient
to cover the value of loaned securities, and provided such collateral
insufficiency is not the result of investment losses, the lending agent has
agreed to pay the amount of the shortfall to the Series or, at the option of the
lending agent, replace the loaned securities. The market value of securities on
loan to brokers from the Series is $266,475,711 and the related collateral cash
received is $282,956,083 at November 30, 1997.
22
<PAGE>
REPORT OF INDEPENDENT ACCOUNTANTS
TO THE SHAREHOLDERS AND BOARD OF TRUSTEES OF
THE DFA INVESTMENT TRUST COMPANY:
We have audited the accompanying statement of net assets of The DFA Investment
Trust Company, The DFA International Value Series, as of November 30, 1997, and
the related statement of operations for the year then ended, the statements of
changes in net assets for each of the two years in the period then ended and the
financial highlights for each of the periods presented. These financial
statements and financial highlights are the responsibility of the Fund'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 investments owned as of
November 30, 1997, by correspondence with the custodian and brokers. 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, the financial statements and financial highlights referred to
above present fairly, in all material respects, the financial position of The
DFA Investment Trust Company, The DFA International Value Series, as of November
30, 1997, and the results of its operations for the year then ended, the changes
in its net assets for each of the two years in the period then ended and its
financial highlights for each of the periods presented, in conformity with
generally accepted accounting principles.
COOPERS & LYBRAND L.L.P.
2400 Eleven Penn Center
Philadelphia, Pennsylvania
January 16, 1998
23
