<PAGE> 1
Semiannual Report May 31, 1998
OPPENHEIMER
QUEST GLOBAL
VALUE FUND, INC.
[PHOTO]
[OPPENHEIMERFUNDS LOGO]
THE RIGHT WAY TO INVEST
<PAGE> 2
CONTENTS
3 President's Letter
4 Fund Performance
6 An Interview
with the Fund's Managers
11 Statement of Investments
18 Statement of
Assets and
Liabilities
20 Statement of Operations
21 Statements of Changes in
Net Assets
22 Financial Highlights
25 Notes to Financial Statements
34 Officers and Directors
36 Information and Services
REPORT HIGHLIGHTS
- --------------------------------------------------------------------------------
- - WE BELIEVE THAT U.S. CORPORATE GROWTH IS LIKELY TO SLOW DOWN due to decreased
exports to Asia.
- - WE FOUND OPPORTUNITIES in European companies that stand to benefit from the
formation of a single, continental marketplace after the debut of the European
Monetary Union.
- - WE REMAIN VERY CAUTIOUS WITH REGARD TO ASIAN STOCKS because of our view that
the region's economic problems are likely to persist.
CUMULATIVE TOTAL RETURNS
For the 6-Month Period
Ended 5/31/98
CLASS A
Without With
Sales Chg.(1) Sales Chg.(2)
14.51% 7.93%
CLASS B
Without With
Sales Chg.(1) Sales Chg.(2)
14.24% 9.24%
CLASS C
Without With
Sales Chg.(1) Sales Chg.(2)
14.26% 13.26%
Total returns include changes in share price and reinvestment of dividends and
capital gains distributions in a hypothetical investment for the periods shown.
IN REVIEWING PERFORMANCE AND RANKINGS, PLEASE REMEMBER THAT PAST PERFORMANCE
DOES NOT GUARANTEE FUTURE RESULTS. INVESTMENT RETURN AND PRINCIPAL VALUE OF AN
INVESTMENT IN THE FUND WILL FLUCTUATE SO THAT AN INVESTOR'S SHARES, WHEN
REDEEMED, MAY BE WORTH MORE OR LESS THAN THE ORIGINAL COST. OppenheimerFunds,
Inc. became the Fund's advisor on 11/22/95. The Fund's subadvisor is OpCap
Advisors, which was the Fund's advisor prior to 11/22/95. The portfolio managers
are employed by the Fund's subadvisor.
1. Includes changes in net asset value per share without deducting any sales
charges. This performance is not annualized.
2. Class A return includes the current maximum initial sales charge of 5.75%.
Class B return includes the applicable contingent deferred sales charge of 5%.
Class C return includes the applicable contingent deferred sales charge of 1%.
An explanation of the different performance calculations is in the Fund's
prospectus. Class A shares are subject to an annual 0.25% asset-based sales
charge. Class B and C shares are subject to an annual 0.75% asset-based sales
charge.
2 Oppenheimer Quest Global Value Fund, Inc.
<PAGE> 3
[PHOTO]
BRIDGET A. MACASKILL
President
OPPENHEIMER Quest
Global Value Fund, Inc.
DEAR SHAREHOLDER,
- --------------------------------------------------------------------------------
As we move further into 1998, we remain impressed by the remarkable resilience
of the financial markets. Recent efforts by the United States to help support
the Japanese yen have inspired hope that the fallout of the Asian economic
crisis can be contained. In general, the U.S. and world markets have continued
to build wealth for investors at a virtually unprecedented pace.
At OppenheimerFunds, we are pleased to help our fund shareholders
participate in the potential rewards of today's markets, but we also recognize
that this rate of growth cannot last forever. Because no one can predict exactly
when the next correction or bear market might occur, we think it is prudent to
continually identify, evaluate and manage the risks that may affect our fund
shareholders.
We believe that one of the leading risks facing investors today is that
stock valuations are at the high end of their historical range, while U.S.
corporate earnings growth is slowing. Given these facts, we believe it is
unlikely that stocks will sustain the growth rate of the past three years. Stock
prices could continue trading near current levels until earnings "catch up," or
there could be a market correction. However, we believe that either scenario
would be only a temporary pause on the way to potentially greater long-term
gains.
We are also examining the potential economic effects of the "millennium
problem" that may render many computer systems unable to recognize the year 2000
when it arrives. Solving this problem has required companies to divert
substantial human and financial resources from their core businesses, possibly
constraining global economic growth during 1999 and 2000.
For our part, we can report that OppenheimerFunds has made solid progress
toward ensuring that our shareholder accounting systems are fully "year 2000
compliant," and that all shareholder accounts will make a seamless transition
into the 21st century.
We encourage you to meet with your financial advisor to discuss how a
possible market correction or the millennium problem may affect your
investments. Together, you can prepare your investment portfolio for the
challenges and opportunities of the new century.
Sincerely,
/s/ BRIDGET A. MACASKILL
Bridget A. Macaskill
June 19, 1998
3 Oppenheimer Quest Global Value Fund, Inc.
<PAGE> 4
AVG ANNUAL TOTAL RETURNS
For the Period Ended 6/30/98(1)
CLASS A
Since
1 year 5 year Inception
7.77% 14.69% 11.16%
CLASS B
Since
1 year 5 year Inception
8.82% N/A 14.22%
CLASS C
Since
1 year 5 year Inception
12.78% N/A 14.41%
CUMULATIVE TOTAL RETURN
For the Period Ended 6/30/98(1)
CLASS A
5 year
98.40% $19,840(3)
PERFORMANCE UPDATE
- --------------------------------------------------------------------------------
Oppenheimer Quest Global Value Fund, Inc. performed well over the past six
months, primarily because of our choice of investments, especially in Europe and
the United States. In addition, the Fund's Class A shares have an overall 4-star
ranking (****)from Morningstar for the combined 3- and 5-year periods ended June
30, 1998, among 778 (3-year) and 338 (5-year) international stock funds.(2)
GROWTH OF $10,000
Over five years(3)
(without sales charges)
<TABLE>
<CAPTION>
Oppenheimer Quest Global
Value Fund, Inc.
Class A shares MSCI World Index
<S> <C>
10000 10000
10686.1 10425.7
10977.8 10550.2
11049.7 10572
11257.4 10844.4
11529 11031.5
11326.3 10904.3
11614.9 11364
12682 11798.5
13539.1 12406.3
13707.5 12943.6
14340.2 13417.8
14848.2 13753.1
15126.1 13880.7
15940.6 14461
16317.8 14449
18253.3 16565.6
19146.6 16984.1
18269.5 16509.9
20519.5 18814.9
20872 19139
</TABLE>
1. Total returns include changes in share price and reinvestment of dividends
and capital gains distributions in a hypothetical investment for the periods
shown. Class A returns include the current maximum initial sales charge of
5.75%. Class A shares were first publicly offered on 7/2/90. The Fund's maximum
sales charge for Class A shares was lower prior to 11/24/95, so actual
performance may have been higher. Class B returns include the applicable
contingent deferred sales charge of 5% (1-year) and 2% (since inception on
9/1/93). Class C returns for the one-year result include the contingent deferred
sales charge of 1%. Class C shares have an inception date of 9/1/93. An
explanation of the different performance calculations is in the Fund's
prospectus. Class B and C shares are subject to an annual 0.75% asset-based
sales charge and Class A shares are subject to an annual 0.25% asset-based sales
charge.
4 Oppenheimer Quest Global Value Fund, Inc.
<PAGE> 5
PORTFOLIO REVIEW
- --------------------------------------------------------------------------------
Oppenheimer Quest Global Value Fund, Inc. is for investors looking for long-term
growth from U.S. and foreign stocks.
WHAT WE LOOK FOR
- - Companies with HIGH RETURN on capital.
- - Businesses with STRONG INDUSTRY POSITIONS and unique products or services.
- - Companies with STRONG BALANCE SHEETS.
- - Management COMMITTED TO SHAREHOLDER INTERESTS.
SECTOR WEIGHTINGS(4)
<TABLE>
<S> <C>
- - Financial 30.0%
- - Consumer
Cyclical 18.3
- - Technology 17.0
- - Industrial 12.2
- - Basic Materials 9.1
- - Consumer
Non-Cyclical 5.4
- - Utilities 4.7
- - Energy 3.3
</TABLE>
<TABLE>
<CAPTION>
TOP 10 STOCK HOLDINGS(4)
................................................................................
<S> <C> <C> <C>
Federal Home Loan
Mortgage Corp. 4.1% Wells Fargo & Co. 3.2%
................................................................................
Citicorp 3.8 Boeing Co. 3.0
................................................................................
McDonald's Corporation 3.6 Lockheed Martin Corp. 2.4
................................................................................
DuPont (E.I.) DeNemours & Co. 3.4 EXEL Ltd. 2.2
................................................................................
Time Warner, Inc. 3.3 Nokia Oyj, Cl. K 1.8
................................................................................
<CAPTION>
TOP 10 COUNTRY HOLDINGS(4)
................................................................................
<S> <C> <C> <C>
United States 42.3% Great Britain 5.3%
................................................................................
Japan 8.2 Netherlands 4.0
................................................................................
France 7.2 Spain 3.5
................................................................................
Sweden 6.6 Switzerland 3.4
................................................................................
Germany 6.4 Brazil 3.1
................................................................................
</TABLE>
2. Source: Morningstar, Inc., 6/30/98. Morningstar ranks mutual funds in broad
investment classes, based on risk-adjusted returns after considering sales
charges and expenses. Return and risk are measured as performance above and
below 90-day U.S. Treasury bill returns, respectively. Current star rankings are
based on the weighted average of 3-, 5- and 10-year (if applicable) rankings for
a fund or class, and are subject to change monthly. Top 10%: 5 stars. Next
22.5%: 4 stars. Middle 35%: 3 stars. Next 22.5%: 2 stars. Bottom 10%: 1 star.
The Fund's Class A shares were ranked 4 stars (3-year) and 4 stars (5-year),
weighted 40%/60%, respectively.
3. Results of a hypothetical $10,000 investment in Class A shares on
June 30, 1993. The Morgan Stanley Capital International World Index is
a broad-based, unmanaged index of foreign and domestic stocks including
reinvestment of net dividends, and cannot be purchased by investors. Past
performance does not guarantee future results.
4. Portfolio is subject to change. Percentages are as of May 31, 1998 and are
based on total market value of stock holdings.
5 Oppenheimer Quest Global Value Fund, Inc.
<PAGE> 6
"The Fund's best gains over the past six months were found in the DEVELOPED
MARKETS of Europe."
An INTERVIEW with your Fund's managers
- --------------------------------------------------------------------------------
HOW HAS OPPENHEIMER QUEST GLOBAL VALUE FUND PERFORMED OVER THE PAST SIX MONTHS?
The Fund's Class A shares provided a cumulative total return, without deducting
sales charges, of 14.51% for the six-month period ended May 31, 1998.(1)
DID YOUR VALUE-ORIENTED INVESTMENT STYLE LEAD YOU TO INVESTMENTS CONCENTRATED IN
ANY PARTICULAR REGION?
Although we select investments based on individual companies' fundamentals
rather than broad economic or market-related considerations, we found a number
of attractive opportunities in Europe. In fact, stocks in the developed markets
of Europe performed very well over the last six months, even outperforming U.S.
stocks.
WHY WAS EUROPE'S STOCK MARKET SO STRONG?
European economies have enjoyed stable interest rates and low inflation, as well
as greater demand for goods and services from European consumers. In addition,
many of Europe's companies have benefited from preparations for the European
Monetary Union (EMU), scheduled to debut on January 1, 1999. Once EMU is in
place, the elimination of trade and currency barriers will create a single
market that is expected to be larger than the U.S. marketplace. Companies that
have traditionally dominated their national markets are now attempting to
succeed in that larger market.
In addition, European corporate executives have sharpened their focus on
shareholder value. After witnessing the benefits of a similar focus in the
United States, these executives have been restructuring their operations in an
attempt to reduce costs and boost productivity.
1. Includes changes in net asset value per share without deducting any sales
charges. Such performance is not annualized and would have been lower if sales
charges were taken into account.
6 Oppenheimer Quest Global Value Fund, Inc.
<PAGE> 7
[PHOTO]
PORTFOLIO MANAGEMENT
TEAM (L TO R)
Richard Glasebrook II
Pierre Daviron
(Portfolio Managers)
HAVE THE ASIAN MARKETS RECOVERED FROM LAST YEAR'S FINANCIAL CRISIS?
A combination of economic forces, including ill-advised economic policies and a
weak banking system, led to last year's massive currency devaluations of many
Asian countries. In effect, the wealth of Asian governments and businesses
dropped to a fraction of their former value. Economic difficulties, corporate
bankruptcies and steep market declines followed and Southeast Asia continues to
suffer. As of May 31, less than 1% of the Fund's assets were invested in Asian
markets outside Japan.
IN WHAT TYPES OF COMPANIES DID YOU FIND THE MOST ATTRACTIVE OPPORTUNITIES?
The financial sector represented our largest concentration of assets. We focused
specifically on financial services companies in the United States which have
enjoyed record profits, primarily due to low interest rates and a healthy
economy. Examples of U.S. financial companies in the portfolio include Citicorp,
Transamerica and Wells Fargo.
We also found attractive companies in Europe and Japan. In Europe's
consumer sector, a number of retailers, food conglomerates and other
consumer-oriented companies have benefited from improved economic conditions and
expansion into new markets. In Japan, we have built a strong position in the
electronics industry by focusing on well-capitalized exporters. Because these
companies derive the bulk of their revenues from markets outside of Japan, they
are less sensitive to the economic problems currently affecting the Japanese
economy.
7 Oppenheimer Quest Global Value Fund, Inc.
<PAGE> 8
"The U.S. financial services industry has enjoyed RECORD PROFITS."
An INTERVIEW with your Fund's managers
- --------------------------------------------------------------------------------
WHAT COMPANIES CONTRIBUTED MOST TO THE FUND'S PERFORMANCE OVER THE PAST SIX
MONTHS?
SAP AG, based in Germany, was one of the Fund's top performers. SAP is the
world's leading manufacturer of business application software for client/server
computing. As companies around the world strive to become more efficient, SAP
helps them automate their accounting and financial activities, inventory
controls, human resources functions and manufacturing operations. Through
strategic acquisition, SAP has grown to become a dominant software provider with
substantial cash flow to finance further growth.
U.S.-based Citicorp was another good investment. That's because this global
bank has a presence in more than 90 countries, and has made great progress since
experiencing problems several years ago with loan defaults in Latin America.
Citicorp also recently announced plans to merge with another leading financial
company, Travelers Group. The resulting entity--known as Citigroup--will include
businesses ranging from insurance to credit cards to brokerage services. This
breadth is expected to help Citigroup cross-sell a wider variety of financial
products to its customers.
Credit Suisse also contributed to the Fund's performance. A financial
services giant that is growing its asset management business and restructuring
its investment banking business, Credit Suisse has also been cutting costs, and
investors appear to have responded positively to the potential for higher
earnings.
8 Oppenheimer Quest Global Value Fund, Inc.
<PAGE> 9
"Our outlook for global stock markets varies depending on which REGION of the
world we're considering."
WHAT IS YOUR OUTLOOK FOR THE GLOBAL STOCK MARKETS OVER THE
FORESEEABLE FUTURE?
Our outlook ranges from positive to very negative, depending on which region of
the world we're considering. As explained earlier, we believe that the European
Monetary Union will have long-lasting, positive benefits for many European
companies, and we're optimistic about the stock markets there.
We are more cautious regarding the U.S. stock market. In our view, there is
a significant risk that corporate profit growth may wane due to decreased
exports to Asia as well as cheaper imports from this region which will compete
with U.S. goods. Rising wages in a tight U.S. labor market is another concern.
In addition, we believe that many U.S. stocks are highly valued, which may make
them more vulnerable to earnings disappointments.
We are less optimistic about Japan and the rest of Asia over the
foreseeable future. In Japan, despite efforts by the international community to
support economic recovery, government officials have been slow to take dramatic
action. In our opinion, the region's stock markets still have to deal with
bankruptcies, rising unemployment and weakness in corporate earnings after last
year's currency devaluations.
No matter what the future brings to the global stock markets, we will
continue to strive to identify strong companies selling at attractive prices. In
our view, this disciplined, value-oriented approach to global investing is part
of The Right Way to Invest.
9 Oppenheimer Quest Global Value Fund, Inc.
<PAGE> 10
FINANCIALS
- --------------------------------------------------------------------------------
10 Oppenheimer Quest Global Value Fund, Inc.
<PAGE> 11
STATEMENT OF INVESTMENTS May 31, 1998 (Unaudited)
<TABLE>
<CAPTION>
MARKET VALUE
SHARES SEE NOTE (1)
================================================================================================================
<S> <C> <C>
COMMON STOCKS--95.2%
- ----------------------------------------------------------------------------------------------------------------
BASIC MATERIALS--8.7%
- ----------------------------------------------------------------------------------------------------------------
CHEMICALS--6.1%
Du Pont (E.I.) De Nemours & Co. 210,000 $16,170,000
- ----------------------------------------------------------------------------------------------------------------
Hoechst AG(1) 78,000 3,797,639
- ----------------------------------------------------------------------------------------------------------------
Monsanto Co. 110,000 6,091,250
- ----------------------------------------------------------------------------------------------------------------
Shin-Etsu Chemical Co.(1) 74,000 1,375,167
- ----------------------------------------------------------------------------------------------------------------
Solutia, Inc. 100,000 2,743,750
-----------
30,177,806
- ----------------------------------------------------------------------------------------------------------------
METALS--0.5%
Toho Titanium Co.(1) 72,000 618,338
- ----------------------------------------------------------------------------------------------------------------
Usinor SA(2) 123,000 2,057,960
-----------
2,676,298
- ----------------------------------------------------------------------------------------------------------------
PAPER--2.1%
Aracruz Celulose SA, Sponsored ADR 118,000 1,593,000
- ----------------------------------------------------------------------------------------------------------------
AssiDoman AB 102,000 3,243,293
- ----------------------------------------------------------------------------------------------------------------
Champion International Corp. 110,000 5,280,000
-----------
10,116,293
- ----------------------------------------------------------------------------------------------------------------
CONSUMER CYCLICALS--17.5%
- ----------------------------------------------------------------------------------------------------------------
AUTOS & HOUSING--2.6%
Calsonic Corp.(1) 424,000 1,508,548
- ----------------------------------------------------------------------------------------------------------------
Cie Generale des Etablissements Michelin, B Shares(2) 43,600 2,697,868
- ----------------------------------------------------------------------------------------------------------------
Corporacion GEO, SA de CV, Series B(2) 409,900 2,338,691
- ----------------------------------------------------------------------------------------------------------------
Electrolux AB, Series B Free(1) 37,000 3,685,386
- ----------------------------------------------------------------------------------------------------------------
Honda Motor Co. 77,000 2,622,884
-----------
12,853,377
- ----------------------------------------------------------------------------------------------------------------
LEISURE & ENTERTAINMENT--8.1%
EMI Group plc(2) 170,000 1,438,768
- ----------------------------------------------------------------------------------------------------------------
Hagemeyer NV 64,000 2,873,362
- ----------------------------------------------------------------------------------------------------------------
Imax Corp.(2) 72,200 1,821,980
- ----------------------------------------------------------------------------------------------------------------
McDonald's Corp. 260,000 17,062,500
- ----------------------------------------------------------------------------------------------------------------
Scandic Hotels AB(2) 17,800 681,911
- ----------------------------------------------------------------------------------------------------------------
Thomson Travel Group plc(2) 168,880 494,330
- ----------------------------------------------------------------------------------------------------------------
Time Warner, Inc. 200,000 15,562,500
-----------
39,935,351
</TABLE>
11 Oppenheimer Quest Global Value Fund, Inc.
<PAGE> 12
STATEMENT OF INVESTMENTS (Unaudited)(Continued)
<TABLE>
<CAPTION>
MARKET VALUE
SHARES SEE NOTE (1)
================================================================================================================
<S> <C> <C>
MEDIA--2.6%
Benpres Holdings Corp., Sponsored GDR(2) 241,600 $ 893,195
- ----------------------------------------------------------------------------------------------------------------
Canal Plus(2) 13,000 2,359,777
- ----------------------------------------------------------------------------------------------------------------
Thomson Corp. 69,000 1,947,332
- ----------------------------------------------------------------------------------------------------------------
VNU - Verenigde Nederlandse Uitgeverbedrijven Verenigd Bezit 100,000 3,434,416
- ----------------------------------------------------------------------------------------------------------------
Wolters Kluwer NV 29,800 4,190,237
------------
12,824,957
- ----------------------------------------------------------------------------------------------------------------
RETAIL: GENERAL--0.9%
Cia Tecidos Norte de Minas, Preference 3,650,000 618,816
- ----------------------------------------------------------------------------------------------------------------
Circle K Japan Co. Ltd.(1) 43,960 1,614,811
- ----------------------------------------------------------------------------------------------------------------
Yue Yuen Industrial Holdings Ltd. 1,227,500 2,201,864
------------
4,435,491
- ----------------------------------------------------------------------------------------------------------------
RETAIL: SPECIALTY--3.3%
Aldeasa SA 120,000 4,639,328
- ----------------------------------------------------------------------------------------------------------------
Metro AG(1)(2) 84,500 5,261,130
- ----------------------------------------------------------------------------------------------------------------
Minolta Co. Ltd.(1) 270,000 1,753,689
- ----------------------------------------------------------------------------------------------------------------
Safeway plc 440,000 2,683,482
- ----------------------------------------------------------------------------------------------------------------
Stefanel SPA(2) 645,100 1,714,832
------------
16,052,461
- ----------------------------------------------------------------------------------------------------------------
CONSUMER NON-CYCLICALS--5.1%
- ----------------------------------------------------------------------------------------------------------------
BEVERAGES--0.6%
Mikuni Coca-Cola Bottling Ltd.(1) 172,000 2,867,390
- ----------------------------------------------------------------------------------------------------------------
FOOD--0.8%
Bompreco SA Supermercados do Nordeste, Sponsored GDR(3) 50,000 875,000
- ----------------------------------------------------------------------------------------------------------------
Bompreco SA Supermercados do Nordeste, Sponsored GDR 22,000 385,000
- ----------------------------------------------------------------------------------------------------------------
Groupe Danone 10,400 2,800,443
------------
4,060,443
- ----------------------------------------------------------------------------------------------------------------
HEALTHCARE/DRUGS--2.2%
Astra AB Free, Series A(1) 204,000 4,102,960
- ----------------------------------------------------------------------------------------------------------------
Gedeon Richter Rt., GDR, Registered S Shares(2) 50 4,228
- ----------------------------------------------------------------------------------------------------------------
Gedeon Richter Rt., Sponsored GDR(2) 17,200 1,454,260
- ----------------------------------------------------------------------------------------------------------------
Novartis AG 3,200 5,427,734
------------
10,989,182
- ----------------------------------------------------------------------------------------------------------------
HEALTHCARE/SUPPLIES & SERVICES--1.1%
Becton, Dickinson & Co. 60,000 4,245,000
- ----------------------------------------------------------------------------------------------------------------
Gehe AG(1)(2) 26,000 1,388,384
- ----------------------------------------------------------------------------------------------------------------
SmithKline Beecham plc 969 10,484
------------
5,643,868
</TABLE>
12 Oppenheimer Quest Global Value Fund, Inc.
<PAGE> 13
<TABLE>
<CAPTION>
MARKET VALUE
SHARES SEE NOTE (1)
================================================================================================================
<S> <C> <C>
HOUSEHOLD GOODS--0.4%
Antofagasta Holdings plc 360,500 $ 1,778,300
- ----------------------------------------------------------------------------------------------------------------
ENERGY--3.1%
- ----------------------------------------------------------------------------------------------------------------
ENERGY SERVICES & PRODUCERS--0.3%
Stolt Comex Seaway SA 50,000 1,587,500
- ----------------------------------------------------------------------------------------------------------------
OIL-INTEGRATED--2.8%
PanCanadian Petroleum Ltd. 82,500 1,317,122
- ----------------------------------------------------------------------------------------------------------------
Quinenco SA, ADR 75,000 712,500
- ----------------------------------------------------------------------------------------------------------------
Repsol SA(1) 61,000 3,394,376
- ----------------------------------------------------------------------------------------------------------------
Saga Petroleum AS, CL. A 118,000 1,989,552
- ----------------------------------------------------------------------------------------------------------------
Suncor Energy, Inc. 57,200 2,022,798
- ----------------------------------------------------------------------------------------------------------------
Total SA, B Shares 34,500 4,284,555
-----------
13,720,903
- ----------------------------------------------------------------------------------------------------------------
FINANCIAL--28.6%
- ----------------------------------------------------------------------------------------------------------------
BANKS--14.7%
Banca del Gottardo, Cl. B(2) 2,625 1,991,880
- ----------------------------------------------------------------------------------------------------------------
Bank Austria AG(2) 47,000 4,192,395
- ----------------------------------------------------------------------------------------------------------------
Bayerische Vereinsbank AG 53,400 4,477,976
- ----------------------------------------------------------------------------------------------------------------
Citicorp 120,000 17,895,000
- ----------------------------------------------------------------------------------------------------------------
Corporacion Bancaria de Espana SA 37,000 3,156,792
- ----------------------------------------------------------------------------------------------------------------
Credit Suisse Group(2) 29,000 6,393,765
- ----------------------------------------------------------------------------------------------------------------
Empresa Nacional de Comercio Redito e Participacoes SA, Preferred 3,050,000 13,232
- ----------------------------------------------------------------------------------------------------------------
Lloyds TSB Group plc 299,606 4,345,812
- ----------------------------------------------------------------------------------------------------------------
Macquarie Bank Ltd.(2) 182,000 1,682,701
- ----------------------------------------------------------------------------------------------------------------
National Bank of Greece SA 27,600 3,974,127
- ----------------------------------------------------------------------------------------------------------------
Nordbanken Holding AB(1) 511,000 3,621,600
- ----------------------------------------------------------------------------------------------------------------
Skandinaviska Enskilda Banken Group 192,900 3,214,618
- ----------------------------------------------------------------------------------------------------------------
Wells Fargo & Co. 41,700 15,074,550
- ----------------------------------------------------------------------------------------------------------------
Yasuda Trust & Banking Ltd.(1)(2) 2,050,000 2,574,243
-----------
72,608,691
- ----------------------------------------------------------------------------------------------------------------
DIVERSIFIED FINANCIAL--7.5%
Aiful Corp. 40,000 2,364,233
- ----------------------------------------------------------------------------------------------------------------
American Express Co. 55,000 5,644,375
- ----------------------------------------------------------------------------------------------------------------
Freddie Mac 420,000 19,110,000
- ----------------------------------------------------------------------------------------------------------------
ING Groep NV 54,726 3,761,761
- ----------------------------------------------------------------------------------------------------------------
Orix Corp. 23,000 1,495,543
- ----------------------------------------------------------------------------------------------------------------
Shohkoh Fund & Co. 8,300 2,126,438
- ----------------------------------------------------------------------------------------------------------------
Takefuji Corp. 52,500 2,599,141
-----------
37,101,491
</TABLE>
13 Oppenheimer Quest Global Value Fund, Inc.
<PAGE> 14
STATEMENT OF INVESTMENTS (Unaudited)(Continued)
<TABLE>
<CAPTION>
MARKET VALUE
SHARES SEE NOTE (1)
================================================================================================================
<S> <C> <C>
INSURANCE--6.4%
ACE Ltd. 127,500 $ 4,542,188
- ----------------------------------------------------------------------------------------------------------------
AXA SA 42,000 4,780,730
- ----------------------------------------------------------------------------------------------------------------
EXEL Ltd. 140,000 10,535,000
- ----------------------------------------------------------------------------------------------------------------
Istituto Nazionale delle Assicurazioni(1) (2) 670,000 2,088,029
- ----------------------------------------------------------------------------------------------------------------
Koelnische Rueckversicherungs AG 2,700 3,286,418
- ----------------------------------------------------------------------------------------------------------------
Transamerica Corp. 55,000 6,325,000
-----------
31,557,365
- ----------------------------------------------------------------------------------------------------------------
INDUSTRIAL--11.5%
- ----------------------------------------------------------------------------------------------------------------
ELECTRICAL EQUIPMENT--3.0%
Inaba Denkisangyo Co. 70,000 762,819
- ----------------------------------------------------------------------------------------------------------------
Le Carbone-Lorraine(1)(2) 8,000 3,650,484
- ----------------------------------------------------------------------------------------------------------------
Schneider SA(1) (2) 50,000 4,228,812
- ----------------------------------------------------------------------------------------------------------------
Siebe plc 172,500 4,317,894
- ----------------------------------------------------------------------------------------------------------------
Unican Security Systems Ltd., Cl. B 81,000 1,946,715
-----------
14,906,724
- ----------------------------------------------------------------------------------------------------------------
INDUSTRIAL MATERIALS--1.8%
Holderbank Financiere Glarus AG(2) 1,600 2,049,468
- ----------------------------------------------------------------------------------------------------------------
Sho-Bond Corp.(1) 173,000 3,096,308
- ----------------------------------------------------------------------------------------------------------------
Tarkett AG 99,600 3,910,720
-----------
9,056,496
- ----------------------------------------------------------------------------------------------------------------
INDUSTRIAL SERVICES--1.7%
Fugro NV(2) 5,680 271,409
- ----------------------------------------------------------------------------------------------------------------
Grupo Elektra SA de CV, CPO 1,684,500 1,960,403
- ----------------------------------------------------------------------------------------------------------------
Munters AB 170,400 2,001,908
- ----------------------------------------------------------------------------------------------------------------
Vedior NV 129,900 4,138,024
-----------
8,371,744
- ----------------------------------------------------------------------------------------------------------------
MANUFACTURING--4.9%
Atlas Copco AB, A Shares 115,000 3,333,576
- ----------------------------------------------------------------------------------------------------------------
Bombardier, Inc., Cl. B 63,100 1,622,670
- ----------------------------------------------------------------------------------------------------------------
BTC plc(2) 941,468 3,105,050
- ----------------------------------------------------------------------------------------------------------------
Jardine Strategic Holdings Ltd. 1 2
- ----------------------------------------------------------------------------------------------------------------
Minnesota Mining & Manufacturing Co. 70,000 6,483,750
- ----------------------------------------------------------------------------------------------------------------
Sodick Co.(2) 481,000 1,409,345
- ----------------------------------------------------------------------------------------------------------------
Tenneco, Inc. 120,000 4,995,000
- ----------------------------------------------------------------------------------------------------------------
Unilever plc 142,700 1,568,405
- ----------------------------------------------------------------------------------------------------------------
Vidrala SA 129,000 1,760,466
-----------
24,278,264
</TABLE>
14 Oppenheimer Quest Global Value Fund, Inc.
<PAGE> 15
<TABLE>
<CAPTION>
MARKET VALUE
SHARES SEE NOTE (1)
================================================================================================================
<S> <C> <C>
TRANSPORTATION--0.1%
Bombardier, Inc. 22,000 $ 565,749
- ----------------------------------------------------------------------------------------------------------------
TECHNOLOGY--16.2%
- ----------------------------------------------------------------------------------------------------------------
AEROSPACE/DEFENSE--5.7%
Boeing Co. 300,000 14,287,500
- ----------------------------------------------------------------------------------------------------------------
Embraer-Empresa Brasileira de Aeronautica SA(2) 167,900,000 2,700,577
- ----------------------------------------------------------------------------------------------------------------
Lockheed Martin Corp. 100,000 11,225,000
------------
28,213,077
- ----------------------------------------------------------------------------------------------------------------
COMPUTER HARDWARE--0.6%
Canon, Inc. 94,000 2,238,660
- ----------------------------------------------------------------------------------------------------------------
Viglen Technology plc 1,020,000 465,728
- ----------------------------------------------------------------------------------------------------------------
Viglen Technology plc Loan Nts.(2)(4) 219,300 357,613
------------
3,062,001
- ----------------------------------------------------------------------------------------------------------------
COMPUTER SOFTWARE/SERVICES--2.1%
Konami Co. Ltd.(1) 119,500 2,539,800
- ----------------------------------------------------------------------------------------------------------------
SAP AG 15,000 7,757,495
------------
10,297,295
- ----------------------------------------------------------------------------------------------------------------
ELECTRONICS--6.0%
ABB AB, A Shares 163,000 2,633,084
- ----------------------------------------------------------------------------------------------------------------
Intel Corp. 100,000 7,143,750
- ----------------------------------------------------------------------------------------------------------------
Kyocera Corp. 22,500 1,097,680
- ----------------------------------------------------------------------------------------------------------------
National Semiconductor Corp.(2) 200,000 3,250,000
- ----------------------------------------------------------------------------------------------------------------
Nokia Oyj, Cl. K(2) 129,000 8,380,983
- ----------------------------------------------------------------------------------------------------------------
Rohm Co. 11,000 1,143,146
- ----------------------------------------------------------------------------------------------------------------
SGS-Thomson Microelectronics NV(1)(2) 39,000 3,143,328
- ----------------------------------------------------------------------------------------------------------------
Sony Corp. 34,000 2,870,854
------------
29,662,825
- ----------------------------------------------------------------------------------------------------------------
TELECOMMUNICATIONS-TECHNOLOGY--1.8%
Ericsson LM, B Shares 163,200 4,657,837
- ----------------------------------------------------------------------------------------------------------------
Ericsson Telecomunicacoes SA 56,000,000 1,124,694
- ----------------------------------------------------------------------------------------------------------------
Orange plc(2) 390,000 2,930,248
------------
8,712,779
- ----------------------------------------------------------------------------------------------------------------
UTILITIES--4.5%
- ----------------------------------------------------------------------------------------------------------------
ELECTRIC UTILITIES--2.1%
Cia Energetica de Minas Gerais 74,649,970 1,849,731
- ----------------------------------------------------------------------------------------------------------------
Cie Generale des Eaux(1) (2) 19,000 3,817,297
- ----------------------------------------------------------------------------------------------------------------
Endesa SA(1) 141,000 3,382,546
- ----------------------------------------------------------------------------------------------------------------
Light Participacoes SA 7,200,000 1,176,859
------------
10,226,433
</TABLE>
15 Oppenheimer Quest Global Value Fund, Inc.
<PAGE> 16
STATEMENT OF INVESTMENTS (Unaudited)(Continued)
<TABLE>
<CAPTION>
MARKET VALUE
SHARES SEE NOTE (1)
================================================================================================================
<S> <C> <C>
GAS UTILITIES--0.5%
Precision Drilling Corp.(2) 122,100 $ 2,557,200
- ----------------------------------------------------------------------------------------------------------------
TELEPHONE UTILITIES--1.9%
Sprint Corp. 75,000 5,381,250
- ----------------------------------------------------------------------------------------------------------------
Telecomunicacoes Brasileiras SA, Sponsored ADR 39,000 4,158,375
-------------
9,539,625
-------------
Total Common Stocks (Cost $346,947,980) 470,437,379
<CAPTION>
FACE
AMOUNT
================================================================================================================
<S> <C> <C>
U.S. GOVERNMENT OBLIGATIONS--4.4%
- ----------------------------------------------------------------------------------------------------------------
Federal Home Loan Bank, 5.45%, 6/1/98(5) (Cost $21,800,000) $21,800,000 21,800,000
================================================================================================================
NON-CONVERTIBLE CORPORATE BONDS AND NOTES--1.6%
- ----------------------------------------------------------------------------------------------------------------
Sumitomo Bank Treasury Co., LLC, 9.40% Bonds, 12/29/49(3)(6)
(Cost $8,340,812) 8,165,000 7,935,172
- ----------------------------------------------------------------------------------------------------------------
TOTAL INVESTMENTS, AT VALUE (COST $377,088,792) 101.2% 500,172,551
- ----------------------------------------------------------------------------------------------------------------
LIABILITIES IN EXCESS OF OTHER ASSETS (1.2) (6,018,483)
----------- ------------
NET ASSETS 100.0% $494,154,068
=========== ============
</TABLE>
16 Oppenheimer Quest Global Value Fund, Inc.
<PAGE> 17
Distribution of investments by country of issue, as a percentage of total
investments at value, is as follows:
<TABLE>
<CAPTION>
COUNTRY MARKET VALUE PERCENT
- ----------------------------------------------------------------------------------------------------------------
<S> <C> <C>
United States $228,782,534 45.7%
- ----------------------------------------------------------------------------------------------------------------
Japan 38,679,036 7.7
- ----------------------------------------------------------------------------------------------------------------
France 33,821,254 6.8
- ----------------------------------------------------------------------------------------------------------------
Sweden 31,176,172 6.2
- ----------------------------------------------------------------------------------------------------------------
Germany 29,879,762 6.0
- ----------------------------------------------------------------------------------------------------------------
Great Britain 25,083,616 5.0
- ----------------------------------------------------------------------------------------------------------------
The Netherlands 18,669,209 3.7
- ----------------------------------------------------------------------------------------------------------------
Spain 16,333,508 3.3
- ----------------------------------------------------------------------------------------------------------------
Switzerland 15,862,847 3.2
- ----------------------------------------------------------------------------------------------------------------
Brazil 14,495,285 2.9
- ----------------------------------------------------------------------------------------------------------------
Canada 13,801,566 2.8
- ----------------------------------------------------------------------------------------------------------------
Finland 8,380,983 1.7
- ----------------------------------------------------------------------------------------------------------------
Mexico 4,299,094 0.9
- ----------------------------------------------------------------------------------------------------------------
Austria 4,192,395 0.8
- ----------------------------------------------------------------------------------------------------------------
Greece 3,974,127 0.8
- ----------------------------------------------------------------------------------------------------------------
Italy 3,802,861 0.8
- ----------------------------------------------------------------------------------------------------------------
Hong Kong 2,201,864 0.4
- ----------------------------------------------------------------------------------------------------------------
Norway 1,989,552 0.4
- ----------------------------------------------------------------------------------------------------------------
Australia 1,682,701 0.3
- ----------------------------------------------------------------------------------------------------------------
Hungary 1,458,488 0.3
- ----------------------------------------------------------------------------------------------------------------
Philippines 893,195 0.2
- ----------------------------------------------------------------------------------------------------------------
Chile 712,500 0.1
- ----------------------------------------------------------------------------------------------------------------
Singapore 2 0.0
------------ -----
Total $500,172,551 100.0%
============ =====
</TABLE>
1. Loaned security--See Note 7 of Notes to Financial Statements.
2. Non-income producing security.
3. Represents securities sold under Rule 144A, which are exempt from
registration under the Securities Act of 1933, as amended. These securities have
been determined to be liquid under guidelines established by the Board of
Directors. These securities amount to $8,810,172 or 1.78% of the Fund's net
assets as of May 31, 1998.
4. Identifies issues considered to be illiquid or restricted--See Note 6 of
Notes to Financial Statements.
5. Short-term notes are generally traded on a discount basis; the interest rate
is the discount rate received by the Fund at the time of purchase.
6. Represents the current interest rate for a variable rate security.
See accompanying Notes to Financial Statements.
17 Oppenheimer Quest Global Value Fund, Inc.
<PAGE> 18
STATEMENT OF ASSETS AND LIABILITIES May 31, 1998 (Unaudited)
<TABLE>
<CAPTION>
================================================================================================================
<S> <C>
ASSETS
Investments, at value (cost $377,088,792)--see accompanying statement $500,172,551
- ----------------------------------------------------------------------------------------------------------------
Collateral for securities loaned--Note 7 43,483,741
- ----------------------------------------------------------------------------------------------------------------
Cash--foreign currencies 335,645
- ----------------------------------------------------------------------------------------------------------------
Unrealized appreciation on forward foreign currency
exchange contracts--Note 5 444
- ----------------------------------------------------------------------------------------------------------------
Receivables:
Interest and dividends 1,163,524
Shares of capital stock sold 1,062,974
Investments sold 517,532
- ----------------------------------------------------------------------------------------------------------------
Other 6,675
------------
Total assets 546,743,086
================================================================================================================
LIABILITIES
Bank overdraft 31,505
- ----------------------------------------------------------------------------------------------------------------
Return of collateral for securities loaned--Note 7 43,483,741
- ----------------------------------------------------------------------------------------------------------------
Payables and other liabilities:
Investments purchased 7,985,390
Shares of capital stock redeemed 761,906
Distribution and service plan fees 205,647
Transfer and shareholder servicing agent fees 56,162
Other 64,667
------------
Total liabilities 52,589,018
================================================================================================================
NET ASSETS $494,154,068
============
================================================================================================================
COMPOSITION OF NET ASSETS
Par value of shares of capital stock $ 245,621
- ----------------------------------------------------------------------------------------------------------------
Additional paid-in capital 351,209,971
- ----------------------------------------------------------------------------------------------------------------
Overdistributed net investment income (208,300)
- ----------------------------------------------------------------------------------------------------------------
Accumulated net realized gain on investment transactions 19,835,999
- ----------------------------------------------------------------------------------------------------------------
Net unrealized appreciation on investments and translation of
assets and liabilities denominated in foreign currencies 123,070,777
------------
Net assets $494,154,068
============
</TABLE>
18 Oppenheimer Quest Global Value Fund, Inc.
<PAGE> 19
<TABLE>
<CAPTION>
================================================================================================================
<S> <C>
NET ASSET VALUE PER SHARE
Class A Shares:
Net asset value and redemption price per share (based on net assets of
$314,192,392 and 15,492,571 shares of capital stock outstanding) $20.28
Maximum offering price per share (net asset value plus sales charge
of 5.75% of offering price) $21.52
- ----------------------------------------------------------------------------------------------------------------
Class B Shares:
Net asset value, redemption price (excludes applicable contingent deferred sales
charge) and offering price per share (based on net assets of $128,878,985
and 6,491,893 shares of capital stock outstanding) $19.85
- ----------------------------------------------------------------------------------------------------------------
Class C Shares:
Net asset value, redemption price (excludes applicable contingent deferred sales
charge) and offering price per share (based on net assets of $51,082,691
and 2,577,667 shares of capital stock outstanding) $19.82
</TABLE>
See accompanying Notes to Financial Statements.
19 Oppenheimer Quest Global Value Fund, Inc.
<PAGE> 20
STATEMENT OF OPERATIONS For the Six Months Ended May 31, 1998 (Unaudited)
<TABLE>
<CAPTION>
================================================================================================================
<S> <C>
INVESTMENT INCOME
Dividends (net of foreign withholding taxes of $206,681) $ 3,285,564
- ----------------------------------------------------------------------------------------------------------------
Interest 1,235,567
- ----------------------------------------------------------------------------------------------------------------
Security lending fees--Note 7 47,479
-----------
Total income 4,568,610
================================================================================================================
EXPENSES
Management fees--Note 4 1,664,365
- ----------------------------------------------------------------------------------------------------------------
Distribution and service plan fees--Note 4:
Class A 723,086
Class B 564,148
Class C 225,019
- ----------------------------------------------------------------------------------------------------------------
Administrative fees--Note 4 558,835
- ----------------------------------------------------------------------------------------------------------------
Transfer and shareholder servicing agent fees--Note 4 241,818
- ----------------------------------------------------------------------------------------------------------------
Custodian fees and expenses 132,486
- ----------------------------------------------------------------------------------------------------------------
Registration and filing fees:
Class A 32,615
Class B 16,360
Class C 6,651
- ----------------------------------------------------------------------------------------------------------------
Shareholder reports 33,934
- ----------------------------------------------------------------------------------------------------------------
Directors' fees and expenses 18,836
- ----------------------------------------------------------------------------------------------------------------
Legal and auditing fees 14,371
- ----------------------------------------------------------------------------------------------------------------
Other 5,847
------------
Total expenses 4,238,371
================================================================================================================
NET INVESTMENT INCOME 330,239
================================================================================================================
REALIZED AND UNREALIZED GAIN (LOSS)
Net realized gain on:
Investments 16,177,936
Foreign currency transactions 3,942,290
------------
Net realized gain 20,120,226
- ----------------------------------------------------------------------------------------------------------------
Net change in unrealized appreciation or depreciation on:
Investments 43,432,786
Translation of assets and liabilities denominated in foreign currencies (3,576,163)
------------
Net change 39,856,623
------------
Net realized and unrealized gain 59,976,849
================================================================================================================
NET INCREASE IN NET ASSETS RESULTING FROM OPERATIONS $60,307,088
===========
</TABLE>
See accompanying Notes to Financial Statements.
20 Oppenheimer Quest Global Value Fund, Inc.
<PAGE> 21
STATEMENTS OF CHANGES IN NET ASSETS
<TABLE>
<CAPTION>
SIX MONTHS ENDED YEAR ENDED
MAY 31, 1998 NOVEMBER 30,
(UNAUDITED) 1997
================================================================================================================
<S> <C> <C>
OPERATIONS
Net investment income $ 330,239 $ 79,629
- ----------------------------------------------------------------------------------------------------------------
Net realized gain 20,120,226 16,527,219
- ----------------------------------------------------------------------------------------------------------------
Net change in unrealized appreciation or depreciation 39,856,623 26,553,451
------------ ------------
Net increase in net assets resulting from operations 60,307,088 43,160,299
================================================================================================================
DIVIDENDS AND DISTRIBUTIONS TO SHAREHOLDERS
Dividends from net investment income:
Class A (373,400) (67,908)
- -----------------------------------------------------------------------------------------------------------------
Distributions from net realized gain:
Class A (10,969,124) (6,430,679)
Class B (4,152,544) (1,344,536)
Class C (1,648,890) (546,226)
================================================================================================================
CAPITAL STOCK TRANSACTIONS
Net increase in net assets resulting from capital
stock transactions--Note 2:
Class A 18,606,686 49,561,888
Class B 19,576,944 53,533,310
Class C 7,945,509 20,211,931
================================================================================================================
NET ASSETS
Total increase 89,292,269 158,078,079
- ----------------------------------------------------------------------------------------------------------------
Beginning of period 404,861,799 246,783,720
------------ ------------
End of period (including overdistributed net investment
income of $208,300 and $165,139, respectively) $494,154,068 $404,861,799
============ ============
</TABLE>
See accompanying Notes to Financial Statements.
21 Oppenheimer Quest Global Value Fund, Inc.
<PAGE> 22
FINANCIAL HIGHLIGHTS
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
CLASS A
--------------------------------------------------------------------
SIX MONTHS
ENDED
MAY 31,
1998 YEAR ENDED NOVEMBER 30,
(UNAUDITED) 1997 1996 1995(2) 1994
=========================================================================================================================
<S> <C> <C> <C> <C> <C>
PER SHARE OPERATING DATA
Net asset value, beginning of period $18.50 $16.48 $15.49 $14.16 $13.54
- -------------------------------------------------------------------------------------------------------------------------
Income (loss) from investment operations:
Net investment income (loss) .03 .03 .03 .11(3) .01(3)
Net realized and unrealized gain (loss) 2.54 2.55 2.33 2.45 1.10
------ ------ ------ ------ ------
Total income (loss) from investment
operations 2.57 2.58 2.36 2.56 1.11
- -------------------------------------------------------------------------------------------------------------------------
Dividends and distributions to shareholders:
Dividends from net investment income (.03) (.01) (.13) -- --
Distributions from net realized gain (.76) (.55) (1.24) (1.23) (.49)
------ ------ ------ ------ ------
Total dividends and distributions
to shareholders (.79) (.56) (1.37) (1.23) (.49)
- -------------------------------------------------------------------------------------------------------------------------
Net asset value, end of period $20.28 $18.50 $16.48 $15.49 $14.16
====== ====== ====== ====== ======
=========================================================================================================================
TOTAL RETURN, AT NET ASSET VALUE(4) 14.51% 16.24% 16.60% 19.75% 8.37%
=========================================================================================================================
RATIOS/SUPPLEMENTAL DATA
Net assets, end of
period (in thousands) $314,192 $267,636 $192,000 $161,693 $148,044
- -------------------------------------------------------------------------------------------------------------------------
Average net assets (in thousands) $290,288 $233,020 $174,838 $154,288 $148,461
- -------------------------------------------------------------------------------------------------------------------------
Ratios to average net assets:
Net investment income (loss) 0.32%(6) 0.17% 0.19% 0.77% 0.05%(5)
Expenses 1.72%(6) 1.73% 1.88% 1.88% 1.92%(5)
- -------------------------------------------------------------------------------------------------------------------------
Portfolio turnover rate(7) 19.6% 32.0% 47.8% 76.0% 70.0%
Average brokerage commission rate(8) $0.0023 $0.0069 $0.0045 -- --
</TABLE>
1. For the period from September 1, 1993 (inception of offering) to November 30,
1993.
2. On November 22, 1995, OppenheimerFunds, Inc. became the investment
advisor to the Fund.
3. Based on average shares outstanding for the period.
4. Assumes a hypothetical initial investment on the business day before the
first day of the fiscal period (or inception of offering), with all dividends
and distributions reinvested in additional shares on the reinvestment date, and
redemption at the net asset value calculated on the last business day of the
fiscal period. Sales charges are not reflected in the total returns. Total
returns are not annualized for periods of less than one full year.
22 Oppenheimer Quest Global Value Fund, Inc.
<PAGE> 23
<TABLE>
<CAPTION>
CLASS B
- ----------- -------------------------------------------------------------------------
SIX MONTHS
ENDED
MAY 31,
1998 YEAR ENDED NOVEMBER 30,
1993 (UNAUDITED) 1997 1996 1995(2) 1994 1993(1)
==========================================================================================
<S> <C> <C> <C> <C> <C> <C>
$12.30 $18.14 $16.25 $15.30 $14.07 $13.52 $13.75
- ------------------------------------------------------------------------------------------
--(3) (.01) (.04) -- (.02)(3) (.06)(3) (.02)(3)
2.26 2.48 2.48 2.26 2.44 1.10 (.21)
------ ------ ------ ------ ------ ------ ------
2.26 2.47 2.44 2.26 2.46 1.04 (.23)
- ------------------------------------------------------------------------------------------
(.12) -- -- (.07) -- -- --
(.90) (.76) (.55) (1.24) (1.23) (.49) --
------ ------ ------ ------ ------ ------ ------
(1.02) (.76) (.55) (1.31) (1.23) (.49) --
- ------------------------------------------------------------------------------------------
$13.54 $19.85 $18.14 $16.25 $15.30 $14.07 $13.52
====== ====== ====== ====== ====== ====== ======
==========================================================================================
19.72% 14.24% 15.61% 16.03% 19.12% 7.84% (1.67)%
==========================================================================================
$135,616 $128,879 $98,457 $38,634 $16,980 $10,268 $1,676
- ------------------------------------------------------------------------------------------
$125,158 $113,307 $67,317 $27,351 $13,908 $ 5,982 $1,015
- ------------------------------------------------------------------------------------------
0.04%(5) (0.16)%(6) (0.34)% (0.03)% 0.16% (0.44)%(5) (0.76)%(5)(6)
1.76%(5) 2.22%(6) 2.24% 2.41% 2.47% 2.50%(5) 2.26%(5)(6)
- ------------------------------------------------------------------------------------------
46.0% 19.6 32.0% 47.8% 76.0% 70.0% 46.0%
-- $0.0023 $0.0069 $0.0045 -- -- --
</TABLE>
5. During the periods noted above, the former Advisor voluntarily waived a
portion of its fees. If such waivers had not been in effect, the ratios of net
investment income (loss) to average net assets and the ratios of expenses to
average net assets for Class A would have been 0.04% and 1.93%, respectively,
for the year ended November 30, 1994, (0.11)% and 1.91%, respectively, for the
year ended November 30, 1993. The ratios of net investment income (loss) to
average net assets and the ratios of expenses to average net assets would have
been (0.45)% and 2.51%, respectively, for Class B and (0.59)% and 2.66%,
respectively, for Class C, for the year ended November 30, 1994 and (0.82)% and
2.32%, annualized, respectively, for Class B and (0.78)% and 2.35%, annualized,
respectively, for Class C, for the period September 1, 1993 (inception of
offering) to November 30, 1993.
6. Annualized.
23 Oppenheimer Quest Global Value Fund, Inc.
<PAGE> 24
FINANCIAL HIGHLIGHTS (Continued)
<TABLE>
<CAPTION>
CLASS C
-----------------------------------------------------------------------
SIX MONTHS
ENDED
MAY 31,
1998 YEAR ENDED NOVEMBER 30,
(UNAUDITED) 1997 1996 1995(2) 1994 1993(1)
======================================================================================================================
<S> <C> <C> <C> <C> <C> <C>
PER SHARE OPERATING DATA
Net asset value, beginning of period $18.11 $16.22 $15.26 $14.06 $13.52 $13.75
- ----------------------------------------------------------------------------------------------------------------------
Income (loss) from investment operations:
Net investment income (loss) (.01) (.03) (.04) --(3) (.08)(3) (.02)(3)
Net realized and unrealized gain (loss) 2.48 2.47 2.29 2.43 1.11 (.21)
------ ------ ------ ------ ------ ------
Total income (loss) from investment
operations 2.47 2.44 2.25 2.43 1.03 (.23)
- ----------------------------------------------------------------------------------------------------------------------
Dividends and distributions to shareholders:
Dividends from net investment income -- -- (.05) -- -- --
Distributions from net realized gain (.76) (.55) (1.24) (1.23) (.49) --
------ ------ ------ ------ ------ ------
Total dividends and distributions
to shareholders (.76) (.55) (1.29) (1.23) (.49) --
- ----------------------------------------------------------------------------------------------------------------------
Net asset value, end of period $19.82 $18.11 $16.22 $15.26 $14.06 $13.52
====== ====== ====== ====== ====== ======
======================================================================================================================
TOTAL RETURN, AT NET ASSET VALUE(4) 14.26% 15.64% 16.04% 18.90% 7.77% (1.67)%
======================================================================================================================
RATIOS/SUPPLEMENTAL DATA
Net assets, end of
period (in thousands) $51,083 $38,769 $16,149 $4,373 $2,415 $244
- ----------------------------------------------------------------------------------------------------------------------
Average net assets (in thousands) $45,195 $26,735 $10,152 $3,834 $1,150 $200
- ----------------------------------------------------------------------------------------------------------------------
Ratios to average net assets:
Net investment income (loss) (0.17)%(6) (0.34)% (0.07)% 0.03% (0.59)%(5)
Expenses 2.22%(6) 2.24% 2.43% 2.60% 2.66%(5) 2.26%(5)(6)
- ----------------------------------------------------------------------------------------------------------------------
Portfolio turnover rate(7) 19.6% 32.0% 47.8% 76.0% 70.0% 46.0%
Average brokerage commission rate(8) $0.0023 $0.0069 $0.0045 -- -- --
</TABLE>
7. The lesser of purchases or sales of portfolio securities for a period,
divided by the monthly average of the market value of portfolio securities
owned during the period. Securities with a maturity or expiration date at the
time of acquisition of one year or less are excluded from the calculation.
Purchases and sales of investment securities (excluding short-term securities)
for the period ended May 31, 1998 were $148,213,696 and $79,111,173,
respectively.
8. Total brokerage commissions paid on applicable purchases and sales of
portfolio securities for the period, divided by the total number of related
shares purchased and sold. Generally, non-U.S. commissions are lower than U.S.
commissions when expressed as cents per share but higher when expressed as a
percentage of transactions because of the lower per-share prices of many
non-U.S. securities.
See accompanying Notes to Financial Statements.
24 Oppenheimer Quest Global Value Fund, Inc.
<PAGE> 25
NOTES TO FINANCIAL STATEMENTS (Unaudited)
================================================================================
1. SIGNIFICANT ACCOUNTING POLICIES
Oppenheimer Quest Global Value Fund, Inc. (the Fund) is registered under the
Investment Company Act of 1940, as amended, as a diversified, open-end
management investment company. The Fund's investment objective is to seek
long-term capital appreciation. The Fund seeks its investment objective through
pursuit of a global investment strategy primarily involving equity securities.
The Fund's investment advisor is OppenheimerFunds, Inc. (the Manager). The Fund
offers Class A, Class B and Class C shares. Class A shares are sold with a
front-end sales charge. Class B and Class C shares may be subject to a
contingent deferred sales charge. All classes of shares have identical rights
to earnings, assets and voting privileges, except that each class has its own
distribution and/or service plan, expenses directly attributable to that class
and exclusive voting rights with respect to matters affecting that class. Class
B shares will automatically convert to Class A shares six years after the date
of purchase. The following is a summary of significant accounting policies
consistently followed by the Fund.
- --------------------------------------------------------------------------------
INVESTMENT VALUATION. Portfolio securities are valued at the close of the New
York Stock Exchange on each trading day. Listed and unlisted securities for
which such information is regularly reported are valued at the last sale price
of the day or, in the absence of sales, at values based on the closing bid or
the last sale price on the prior trading day. Long-term and short-term
"non-money market" debt securities are valued by a portfolio pricing service
approved by the Board of Directors. Such securities which cannot be valued by an
approved portfolio pricing service are valued using dealer-supplied valuations
provided the Manager is satisfied that the firm rendering the quotes is reliable
and that the quotes reflect current market value, or are valued under
consistently applied procedures established by the Board of Directors to
determine fair value in good faith. Short-term "money market type" debt
securities having a remaining maturity of 60 days or less are valued at cost (or
last determined market value) adjusted for amortization to maturity of any
premium or discount. Forward foreign currency exchange contracts are valued
based on the closing prices of the forward currency contract rates in the London
foreign exchange markets on a daily basis as provided by a reliable bank or
dealer.
25 Oppenheimer Quest Global Value Fund, Inc.
<PAGE> 26
NOTES TO FINANCIAL STATEMENTS (Unaudited)(Continued)
- --------------------------------------------------------------------------------
1. SIGNIFICANT ACCOUNTING POLICIES (CONTINUED)
REPURCHASE AGREEMENTS. The Fund requires the custodian to take possession, to
have legally segregated in the Federal Reserve Book Entry System or to have
segregated within the custodian's vault, all securities held as collateral for
repurchase agreements. The market value of the underlying securities is required
to be at least 102% of the resale price at the time of purchase. If the seller
of the agreement defaults and the value of the collateral declines, or if the
seller enters an insolvency proceeding, realization of the value of the
collateral by the Fund may be delayed or limited.
- --------------------------------------------------------------------------------
FOREIGN CURRENCY TRANSLATION. The accounting records of the Fund are maintained
in U.S. dollars. Prices of securities denominated in foreign currencies are
translated into U.S. dollars at the closing rates of exchange. Amounts related
to the purchase and sale of foreign securities and investment income are
translated at the rates of exchange prevailing on the respective dates of such
transactions.
The effect of changes in foreign currency exchange rates on
investments is separately identified from the fluctuations arising from changes
in market values of securities held and reported with all other foreign currency
gains and losses in the Fund's Statement of Operations.
- --------------------------------------------------------------------------------
ALLOCATION OF INCOME, EXPENSES, AND GAINS AND LOSSES. Income, expenses (other
than those attributable to a specific class) and gains and losses are allocated
daily to each class of shares based upon the relative proportion of net assets
represented by such class. Operating expenses directly attributable to a
specific class are charged against the operations of that class.
- --------------------------------------------------------------------------------
FEDERAL TAXES. The Fund intends to continue to comply with provisions of the
Internal Revenue Code applicable to regulated investment companies and to
distribute all of its taxable income, including any net realized gain on
investments not offset by loss carryovers, to shareholders. Therefore, no
federal income or excise tax provision is required.
26 Oppenheimer Quest Global Value Fund, Inc.
<PAGE> 27
================================================================================
DISTRIBUTIONS TO SHAREHOLDERS. Dividends and distributions to shareholders are
recorded on the ex-dividend date.
- --------------------------------------------------------------------------------
CLASSIFICATION OF DISTRIBUTIONS TO SHAREHOLDERS. Net investment income (loss)
and net realized gain (loss) may differ for financial statement and tax purposes
primarily because of the recognition of certain foreign currency gains (losses)
as ordinary income (loss) for tax purposes. The character of the distributions
made during the year from net investment income or net realized gains may differ
from its ultimate characterization for federal income tax purposes. Also, due to
timing of dividend distributions, the fiscal year in which amounts are
distributed may differ from the fiscal year in which the income or realized gain
was recorded by the Fund.
- --------------------------------------------------------------------------------
OTHER. Investment transactions are accounted for on the date the investments are
purchased or sold (trade date) and dividend income is recorded on the
ex-dividend date. Realized gains and losses on investments and unrealized
appreciation and depreciation are determined on an identified cost basis, which
is the same basis used for federal income tax purposes.
The preparation of financial statements in conformity with generally
accepted accounting principles requires management to make estimates and
assumptions that affect the reported amounts of assets and liabilities and
disclosure of contingent assets and liabilities at the date of the financial
statements and the reported amounts of income and expenses during the reporting
period. Actual results could differ from those estimates.
27 Oppenheimer Quest Global Value Fund, Inc.
<PAGE> 28
NOTES TO FINANCIAL STATEMENTS (Unaudited)(Continued)
================================================================================
2. CAPITAL STOCK
The Fund has authorized 100 million shares of $.01 par value capital stock.
Transactions in shares of capital stock were as follows:
<TABLE>
<CAPTION>
SIX MONTHS ENDED MAY 31, 1998 YEAR ENDED NOVEMBER 30, 1997
----------------------------- ----------------------------
SHARES AMOUNT SHARES AMOUNT
- ----------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C>
Class A:
Sold 2,570,885 $ 49,014,171 5,472,340 $ 97,919,431
Dividends and distributions
reinvested 626,543 10,983,297 402,738 6,322,991
Redeemed (2,174,574) (41,390,782) (3,053,828) (54,680,534)
---------- ------------ ---------- -----------
Net increase 1,022,854 $ 18,606,686 2,821,250 $ 49,561,888
========== ============ ========== ============
- -----------------------------------------------------------------------------------------------------------------
Class B:
Sold 1,245,582 $ 23,256,900 3,404,941 $ 59,914,611
Dividends and distributions
reinvested 227,841 3,918,920 80,637 1,247,453
Redeemed (408,922) (7,598,876) (435,710) (7,628,754)
---------- ------------ ---------- -----------
Net increase 1,064,501 $ 19,576,944 3,049,868 $ 53,533,310
========== ============ ========== ============
- ----------------------------------------------------------------------------------------------------------------
Class C:
Sold 637,105 $ 11,841,588 1,522,007 $ 26,737,430
Dividends and distributions
reinvested 88,693 1,522,865 31,126 480,587
Redeemed (288,730) (5,418,944) (407,992) (7,006,086)
---------- ------------ ---------- -----------
Net increase 437,068 $ 7,945,509 1,145,141 $ 20,211,931
========== ============ ========== ============
- ----------------------------------------------------------------------------------------------------------------
</TABLE>
3. UNREALIZED GAINS AND LOSSES ON INVESTMENTS
At May 31, 1998, net unrealized appreciation on investments of $123,083,759 was
composed of gross appreciation of $141,342,643, and gross depreciation of
$18,258,884.
28 Oppenheimer Quest Global Value Fund, Inc.
<PAGE> 29
================================================================================
4. MANAGEMENT FEES AND OTHER TRANSACTIONS WITH AFFILIATES
Management fees paid to the Manager were in accordance with the investment
advisory agreement with the Fund which provides for a fee of 0.75% of the first
$400 million of average annual net assets, 0.70% of the next $400 million and
0.65% of average annual net assets in excess of $800 million.
The Manager pays OpCap Advisors (the Sub-Advisor) based on the fee schedule
set forth in the Prospectus. For the six months ended May 31, 1998, the Manager
paid $758,934 to the Sub-Advisor.
The administration fees are payable monthly to the Manager and are computed
on the Fund's average daily net assets at the annual rate of 0.25%.
For the six months ended May 31, 1998, commissions (sales charges paid by
investors) on sales of Class A shares totaled $454,578, of which $136,281 was
retained by OppenheimerFunds Distributor, Inc. (OFDI), a subsidiary of the
Manager, as general distributor, and by affiliated broker/dealers. Sales charges
advanced to broker/dealers by OFDI on sales of the Fund's Class B and Class C
shares totaled $798,187 and $98,266, respectively, of which $54,413 and $1,824,
respectively, was paid to an affiliated broker/dealer. During the six months
ended May 31, 1998, OFDI received contingent deferred sales charges of $108,052
and $11,096, respectively, upon redemption of Class B and Class C shares as
reimbursement for sales commissions advanced by OFDI at the time of sale of such
shares.
OppenheimerFunds Services (OFS), a division of the Manager, is the transfer
and shareholder servicing agent for the Fund and for other registered investment
companies. The Fund pays OFS an annual maintenance fee for each Fund shareholder
account and reimburses OFS for its out-of-pocket expenses. Effective May 1,
1998, the Board of Directors approved an increase in the annual maintenance fee
from $14.85 to $18.00 for each shareholder account. During the six months ended
May 31, 1998, the Fund paid OFS $205,180.
29 Oppenheimer Quest Global Value Fund, Inc.
<PAGE> 30
NOTES TO FINANCIAL STATEMENTS (Unaudited)(Continued)
================================================================================
4. MANAGEMENT FEES AND OTHER TRANSACTIONS WITH AFFILIATES (CONTINUED)
The Fund has adopted a Distribution and Service Plan for Class A shares to
compensate OFDI for a portion of its costs incurred in connection with the
personal service and maintenance of shareholder accounts that hold Class A
shares. Under the Plan, the Fund pays an annual asset-based sales charge to OFDI
of 0.25% per year on Class A shares. The Fund also pays a service fee to OFDI of
0.25% per year. Each fee is computed on the average annual net assets of Class A
shares of the Fund, determined as of the close of each regular business day.
OFDI uses all of the service fee and a portion of the asset-based sales charge
to compensate brokers, dealers, banks and other financial institutions quarterly
for providing personal service and maintenance of accounts of their customers
that hold Class A shares. OFDI retains the balance of the asset-based sales
charge to reimburse itself for its other expenditures under the Plan. During the
six months ended May 31, 1998, OFDI paid $17,162 to an affiliated broker/dealer
as compensation for Class A personal service and maintenance expenses and
retained $226,960 as compensation for Class A sales commissions and service fee
advances, as well as financing costs.
The Fund has adopted Distribution and Service Plans for Class B and Class C
shares to compensate OFDI for its costs in distributing Class B and Class C
shares and servicing accounts. Under the Plans, the Fund pays OFDI an annual
asset-based sales charge of 0.75% per year on Class B and Class C shares for its
services rendered in distributing Class B and Class C shares. OFDI also receives
a service fee of 0.25% per year to compensate dealers for providing personal
services for accounts that hold Class B and C shares. Each fee is computed on
the average annual net assets of Class B or Class C shares, determined as of the
close of each regular business day. During the six months ended May 31, 1998,
OFDI paid $1,376 to an affiliated broker/dealer as compensation for Class B
personal service and maintenance expenses and retained $492,135 and $143,275,
respectively, as compensation for Class B and Class C sales commissions and
service fee advances, as well as financing costs. If either Plan is terminated
by the Fund, the Board of Directors may allow the Fund to continue payments of
the asset-based sales charge to OFDI for distributing shares before the Plan was
terminated. At May 31, 1998, OFDI had incurred excess distribution and servicing
costs of $3,490,384 for Class B and $322,218 for Class C.
30 Oppenheimer Quest Global Value Fund, Inc.
<PAGE> 31
================================================================================
5. FORWARD CONTRACTS
A forward foreign currency exchange contract (forward contract) is a commitment
to purchase or sell a foreign currency at a future date, at a negotiated rate.
The Fund uses forward contracts to seek to manage foreign currency risks.
They may also be used to tactically shift portfolio currency risk. The Fund
generally enters into forward contracts as a hedge upon the purchase or sale of
a security denominated in a foreign currency. In addition, the Fund may enter
into such contracts as a hedge against changes in foreign currency exchange
rates on portfolio positions.
Forward contracts are valued based on the closing prices of the forward
currency contract rates in the London foreign exchange markets on a daily basis
as provided by a reliable bank or dealer. The Fund will realize a gain or loss
upon the closing or settlement of the forward transaction.
Securities held in segregated accounts to cover net exposure on outstanding
forward contracts are noted in the Statement of Investments where applicable.
Unrealized appreciation or depreciation on forward contracts is reported in the
Statement of Assets and Liabilities. Realized gains and losses are reported with
all other foreign currency gains and losses in the Fund's Statement of
Operations.
Risks include the potential inability of the counterparty to meet the terms
of the contract and unanticipated movements in the value of a foreign currency
relative to the U.S. dollar.
At May 31, 1998, the Fund had outstanding forward contracts as follows:
<TABLE>
<CAPTION>
EXPIRATION CONTRACT VALUATION AS OF UNREALIZED
DATE AMOUNT MAY 31, 1998 APPRECIATION
- -----------------------------------------------------------------------------------------------------------------------
CONTRACTS TO SELL
- -----------------
<S> <C> <C> <C> <C>
British Pound Sterling (GBP) 6/1/98 317,368 GBP $517,532 $444
</TABLE>
31 Oppenheimer Quest Global Value Fund, Inc.
<PAGE> 32
NOTES TO FINANCIAL STATEMENTS (Unaudited)(Continued)
================================================================================
6. ILLIQUID AND RESTRICTED SECURITIES
At May 31, 1998, investments in securities included issues that are illiquid or
restricted. Restricted securities are often purchased in private placement
transactions, are not registered under the Securities Act of 1933, may have
contractual restrictions on resale, and are valued under methods approved by the
Board of Directors as reflecting fair value. A security may be considered
illiquid if it lacks a readily available market or if its valuation has not
changed for a certain period of time. The Fund intends to invest no more than
10% of its net assets (determined at the time of purchase and reviewed
periodically) in illiquid or restricted securities. Certain restricted
securities, eligible for resale to qualified institutional investors, are not
subject to that limit. The aggregate value of illiquid or restricted securities
subject to this limitation at May 31, 1998 was $357,613, which represents 0.07%
of the Fund's net assets. Information concerning restricted securities is as
follows:
<TABLE>
<CAPTION>
VALUATION PER UNIT
SECURITY ACQUISITION DATES COST PER UNIT AS OF MAY 31, 1998
- ----------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C>
Viglen Technology plc Loan Nts. 12/18/97 $0.00 $1.63
================================================================================================================
</TABLE>
7. SECURITIES LOANED
The Fund has entered into a securities lending arrangement with the custodian.
Under the terms of the agreement, the Fund pays State Street Bank and Trust
Company 35% of the net interest earned as a fee for administering the security
lending program. The custodian is authorized to loan securities on behalf of the
Fund, against receipt of cash collateral at least equal in value to the value of
the securities loaned. The collateral is invested by the custodian in money
market instruments approved by the Manager. As of May 31, 1998, the Fund had on
loan securities valued at $41,842,344. Cash of $42,666,941 was received as
collateral for the loans, and has been invested in the approved instruments.
U.S. Treasury Bonds valued at $816,800 were also received as collateral. The
Fund bears the risk of any deficiency in the amount of collateral available for
return to a borrower due to a loss in an approved investment.
32 Oppenheimer Quest Global Value Fund, Inc.
<PAGE> 33
================================================================================
8. BANK BORROWINGS
The Fund may borrow from a bank for temporary or emergency purposes including,
without limitation, funding of shareholder redemptions provided asset coverage
for borrowings exceeds 300%. The Fund has entered into an agreement which
enables it to participate with other Oppenheimer funds in an unsecured line of
credit with a bank, which permits borrowings up to $400 million, collectively.
Interest is charged to each fund, based on its borrowings, at a rate equal to
the Federal Funds Rate plus 0.35%. Borrowings are payable 30 days after such
loan is executed. The Fund also pays a commitment fee equal to its pro rata
share of the average unutilized amount of the credit facility at a rate of
0.0575% per annum.
The Fund had no borrowings outstanding during the six months ended May 31,
1998.
33 Oppenheimer Quest Global Value Fund, Inc.
<PAGE> 34
OPPENHEIMER QUEST GLOBAL VALUE FUND, INC.
================================================================================
OFFICERS AND DIRECTORS Bridget A. Macaskill, Chairman of the Board of
Directors and President
Paul Y. Clinton, Director
Thomas W. Courtney, Director
Robert G. Galli, Director
Lacy B. Herrmann, Director
George Loft, Director
Robert C. Doll, Jr., Vice President
George C. Bowen, Treasurer
Robert J. Bishop, Assistant Treasurer
Scott T. Farrar, Assistant Treasurer
Andrew J. Donohue, Secretary
Robert G. Zack, Assistant Secretary
================================================================================
INVESTMENT ADVISOR OppenheimerFunds, Inc.
AND ADMINISTRATOR
================================================================================
SUB-ADVISOR OpCap Advisors
================================================================================
DISTRIBUTOR OppenheimerFunds Distributor, Inc.
================================================================================
TRANSFER AND SHAREHOLDER OppenheimerFunds Services
SERVICING AGENT
================================================================================
CUSTODIAN OF PORTFOLIO State Street Bank and Trust Company
SECURITIES
================================================================================
INDEPENDENT ACCOUNTANTS PricewaterhouseCoopers LLP
================================================================================
LEGAL COUNSEL Gordon Altman Butowsky Weitzen Shalov & Wein
The financial statements included herein have
been taken from the records of the Fund
without examination by the independent
accountants.
This is a copy of a report to shareholders of
Oppenheimer Quest Global Value Fund, Inc. This
report must be preceded or accompanied by a
Prospectus of Oppenheimer Quest Global Value
Fund, Inc. For material information concerning
the Fund, see the Prospectus.
Shares of Oppenheimer funds are not deposits
or obligations of any bank, are not guaranteed
by any bank, and are not insured by the FDIC
or any other agency, and involve investment
risks, including possible loss of the
principal amount invested.
34 Oppenheimer Quest Global Value Fund, Inc.
<PAGE> 35
OPPENHEIMERFUNDS FAMILY
<TABLE>
==================================================================================================
<S> <C> <C>
REAL ASSET FUNDS
- --------------------------------------------------------------------------------------------------
Real Asset Fund Gold & Special Minerals Fund
==================================================================================================
GLOBAL STOCK FUNDS
- --------------------------------------------------------------------------------------------------
Developing Markets Fund International Growth Fund Quest Global Value Fund
International Small Global Fund Global Growth &Income Fund
Company Fund
==================================================================================================
STOCK FUNDS
- --------------------------------------------------------------------------------------------------
Enterprise Fund MidCap Fund Growth Fund
Discovery Fund Capital Appreciation Fund Disciplined Value Fund
Quest Small Cap Value Fund Quest Capital Value Fund Quest Value Fund
==================================================================================================
STOCK & BOND FUNDS
- --------------------------------------------------------------------------------------------------
Main Street Income & Total Return Fund Disciplined Allocation Fund
Growth Fund Quest Balanced Multiple Strategies Fund
Quest Opportunity Value Fund(1) Convertible Securities Fund(2)
Value Fund Equity Income Fund
==================================================================================================
TAXABLE BOND FUNDS
- --------------------------------------------------------------------------------------------------
International Bond Fund Champion Income Fund U.S. Government Trust
World Bond Fund Strategic Income Fund Limited-Term Government Fund
High Yield Fund Bond Fund
==================================================================================================
MUNICIPAL BOND FUNDS
- --------------------------------------------------------------------------------------------------
California Municipal Fund(3) Pennsylvania Municipal Fund(3) Rochester Division:
Florida Municipal Fund(3) Municipal Bond Fund Rochester Fund Municipals
New Jersey Municipal Fund(3) Insured Municipal Fund Limited Term New York
New York Municipal Fund(3) Intermediate Municipal Fund Municipal Fund
==================================================================================================
MONEY MARKET FUNDS(4)
- --------------------------------------------------------------------------------------------------
Money Market Fund Cash Reserves
</TABLE>
1. On 5/18/98, the Fund's name was changed from "Quest Growth & Income Value
Fund."
2. On 4/28/98, the Fund's name was changed from "Bond Fund for Growth."
3. Available only to investors in certain states.
4. An investment in money market funds is neither insured nor guaranteed by the
Federal Deposit Insurance Corporation or any other government agency. Although
these funds may seek to preserve the value of your investment at $1.00 per
share, it is possible to lose money by investing in these funds.
Oppenheimer funds are distributed by OppenheimerFunds Distributor, Inc., Two
World Trade Center, New York, NY 10048-0203.
(C) Copyright 1998 OppenheimerFunds, Inc. All rights reserved.
35 Oppenheimer Quest Global Value Fund, Inc.
<PAGE> 36
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- --------------------------------------------------------------------------------
As an Oppenheimer fund shareholder, you have some special privileges. Whether
it's automatic investment plans, informative newsletters and hotlines, or ready
account access, you can benefit from services designed to make investing simple.
And when you need help, our Customer Service Representatives are only a
toll-free phone call away. They can provide information about your account and
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When you want to make a transaction, you can do it easily by calling our
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enrolling in AccountLink, a convenient service that "links" your Oppenheimer
funds accounts and your bank checking or savings account, you can use the
Telephone Transactions number or website to make investments.
For added convenience, you can get automated information with
OppenheimerFunds PhoneLink service, available 24 hours a day, 7 days a week.
PhoneLink gives you access to a variety of fund, account, and market
information. Of course, you can always speak with a Customer Service
Representative during the General Information hours shown at the left.
You can count on us whenever you need assistance. That's why the
International Customer Service Association, an independent, nonprofit
organization made up of over 3,200 customer service management professionals
from around the country, honored the Oppenheimer funds' transfer agent,
OppenheimerFunds Services, with their Award of Excellence in 1993.
So call us today, or visit us at our website at
www.oppenheimerfunds.com--we're here to help.
[OPPENHEIMERFUNDS LOGO]
RS0254.001.0598 July 30, 1998
