ACCESSOR FUNDS, INC.
US Bank Centre
1420 5th Avenue, Suite 3130
Seattle, WA 98101
(206) 224-7420
(206) 224-4274 FAX
February 28, 1997
Letter to Shareholders
Accessor Funds, Inc.
Dear Shareholder:
It is our pleasure to review 1996 with you, the shareholders of Accessor
Funds, Inc. (the "Accessor Funds") family of Portfolios. We would also like to
take this opportunity to thank you for your investment in the Portfolios, and to
express our confidence that the Accessor Funds offer you the opportunity to
maximize your investment returns.
There are currently eight Portfolios of the Accessor Funds in operation.
The objectives of the Portfolios differ, and together they provide a broad
spectrum of equity and fixed-income investment choices. Each of the Portfolios,
except the U.S. Government Money Portfolio, hires external money managers
specializing in a particular asset class, and, after five calendar quarters,
provides for them to be paid on a performance fee basis. The performance fee is
based on the money manager's performance as compared to an unmanaged index of
securities with similar risk and investment characteristics. For a complete
description of the fee structure, the manager and money managers, and the
indices please refer to the Prospectuses and the Statement of Additional
Information of Accessor Funds.
The first of the Portfolios commenced operations on April 9, 1992, and
seven of the eight Portfolios now have over four years of investment results.
The International Equity portfolio has a little over two years of investment
results.
With three domestic equity, one international equity and four fixed-income
investment options, shareholders in the Accessor Funds have a wide range of risk
and return alternatives to structure an investment solution that is designed to
meet their needs precisely. A key feature of the Accessor Funds is that they
attempt to provide benchmark risks so that shareholders can more accurately
judge the risks they bear while investing in the various Portfolios of the
Accessor Funds. The graphic below shows the annualized standard deviation (a
measure of variability, or risk) using monthly performance data since inception
of each Portfolio. The standard deviation of the Portfolios is compared, with
the exception of the U.S. Government Money Portfolio, to that of the index that
the performance of the money manager is measured against for the same time
period.
========================BAR CHART==============================================
A bar graph appears here that compares the standard deviation of the Portfolios
to that of the index (except for the U.S. Government Money Portfolio) that the
money manager is measured against for the same time period (inception of the
Portfolio through December 1996). The data points from the graph are as follows:
Comparisons of Risk
Inception through December 1996
Portfolio - Inception to December 1996 Index - Inception to December 1996
Money
May 92 0.29%
Short-Inter
June 92 2.46% 2.59%
Mortgage
June 92 3.38% 3.42%
Intermediate
July 92 4.60% 4.58%
Value
September 92 8.51% 8.95%
Growth
September 92 9.21% 9.55%
Small
September 92 10.72% 10.71%
International Equity
November 94 10.12% 10.52%
==================================END BAR CHART================================
We believe that there are two important conclusions that can be
drawn from the chart above. The first is the relative risk ranking of the
Portfolios of the Accessor Funds. The higher the standard deviation, the higher
the risk in terms of loss over a quarter or a year. The second, perhaps more
subtle conclusion, is that each Portfolio's risk has been very close to the risk
of the benchmark index against which we compare the money manager's performance.
We believe that this structure allows the Accessor Funds' shareholders to judge
the risks they are assuming more accurately than can shareholders of most
investment companies. The benchmark indices we use are referenced in the
following Management's Discussion of Fund Performance and are publicly
available. In addition, large quantities of data are available about the
benchmark indices' historical risks. We believe it important that investors know
the risks they assume, before they invest.
The past year has seen a sharp increase in the variability of returns.
Fixed-income investments have suffered from the rise in interest rates, and
total returns for the year for the Intermediate Fixed-Income, Short-Intermediate
Fixed-Income and Mortgage Securities Portfolios have been anemic. Stocks, both
domestic and international, continue to do well, although the extraordinary
performance of the US market is eclipsing the returns on international stocks.
The International Equity Portfolio, which has outperformed its index for the
past few months by a wide margin, has had less variability than its index. This
out-performance coupled with lower risk, although welcome for the shareholders,
is unlikely to continue.
<PAGE>
We would like to end by saying that we are continuing to search for
additional tools to improve Portfolio performance, and are also constantly
evaluating the ones we currently use. We look forward to serving you, the
shareholders, for many years to come.
/s/Ravindra A. Deo
Ravindra A. Deo
Treasurer
<PAGE>
MANAGEMENT'S DISCUSSION OF FUND PERFORMANCE
FOR THE FISCAL YEAR ENDING DECEMBER 31, 1996
Accessor Funds, Inc.
The Portfolios of Accessor Funds are designed to provide the tools
investors need to meet a variety of investment needs. The advantage of Accessor
Funds' approach is that investors can customize their individual portfolios to
best suit their different investment objectives and risk tolerances. Each
Portfolio is not designed to be a solution by itself, and therefore each
Portfolio, except the U.S. Government Money Portfolio, may take more risks than
a comparable portfolio otherwise might. All the Portfolios have been designed by
Bennington Capital Management L. P. (the "Manager"), which provides or oversees
all general management, investment advisory, administration and portfolio
management functions. The Manager selects, subject to the review and approval of
the Board of Directors of Accessor Funds, one or more investment management
organizations (individually a "money manager" and collectively, "the money
managers"). Each of the money managers specializes in managing a particular type
of asset and makes substantially all of the investment decisions for the assets
of the Portfolio it manages. Each Portfolio, except the U.S. Government Money
Portfolio, is designed to match certain characteristics, typically measured by
the risk behavior of a recognized and publicly available index. The money
managers attempt to structure their respective Portfolios to outperform the
relevant index, while maintaining essentially the same risk as the index. This
also means that derivative instruments are used, when appropriate, to ensure
that the Portfolios match the risk characteristics of the underlying indices,
and not to place leveraged bets on a particular market forecast or belief. For a
further discussion of derivatives, please refer to the prospectuses and
Statement of Additional Information of Accessor Funds.
In the pages that follow, we compare the performance of various
Portfolios to an applicable index using data from complete calendar months since
inception. The performance numbers in the tables below the graphs show
performance since inception date, which includes data for partial months not
shown in the graph.
<PAGE>
Growth Portfolio
The Growth Portfolio commenced investment operations on August 25,
1992. The Growth Portfolio is designed to have risk characteristics similar to
the S&P/BARRA Growth Index. For the year ended December 31, 1996, the Portfolio
had a total return of 19.83%. During this period interest rates rose slightly,
and corporate earnings increased strongly. In this environment, the Portfolio
performed a little worse than expected, lagging the S&P/BARRA Growth Index
slightly.
===============================GRAPH============================================
The graph shown below measures the performance of a hypothetical $10,000
investment in the Growth Portfolio against the S&P/BARRA Growth Index from
inception of the Portfolio through December, 1996. The data points from the
graph are as follows:
COMPARISON OF $10,000 INVESTMENT IN THE GROWTH PORTFOLIO AND THE S&P/BARRA
GROWTH INDEX
Date $10,000 in $10,000 in
Portfolio Index
----------------------------------
31-Aug-92 $10,000 $10,000
30-Sep-92 $10,089 $10,118
30-Oct-92 $10,345 $10,270
30-Nov-92 $10,933 $10,679
31-Dec-92 $10,892 $10,763
29-Jan-93 $11,017 $10,633
26-Feb-93 $10,909 $10,547
31-Mar-93 $11,446 $10,695
30-Apr-93 $11,087 $10,202
28-May-93 $11,438 $10,565
30-Jun-93 $11,378 $10,475
31-Jul-93 $11,114 $10,259
31-Aug-93 $11,701 $10,634
30-Sep-93 $11,726 $10,471
29-Oct-93 $12,179 $10,861
30-Nov-93 $12,222 $10,853
31-Dec-93 $12,440 $10,929
31-Jan-94 $12,615 $11,163
28-Feb-94 $12,413 $10,963
31-Mar-94 $11,969 $10,456
30-Apr-94 $12,039 $10,504
31-May-94 $12,259 $10,675
30-Jun-94 $12,059 $10,447
29-Jul-94 $12,342 $10,781
31-Aug-94 $12,996 $11,356
30-Sep-94 $12,810 $11,194
31-Oct-94 $12,996 $11,455
30-Nov-94 $12,659 $11,079
31-Dec-94 $12,936 $11,271
31-Jan-95 $13,233 $11,550
28-Feb-95 $13,710 $12,001
31-Mar-95 $14,118 $12,376
28-Apr-95 $14,650 $12,698
31-May-95 $15,281 $13,153
30-Jun-95 $15,747 $13,656
31-Jul-95 $16,273 $14,092
31-Aug-95 $16,137 $14,046
29-Sep-95 $16,710 $14,739
31-Oct-95 $16,937 $14,857
30-Nov-95 $17,410 $15,392
29-Dec-95 $17,375 $15,566
31-Jan-96 $18,051 $16,161
29-Feb-96 $18,388 $16,308
29-Mar-96 $18,283 $16,241
30-Apr-96 $18,709 $16,556
31-May-96 $18,981 $17,165
28-Jun-96 $19,053 $17,379
31-Jul-96 $18,123 $16,578
30-Aug-96 $18,509 $16,823
30-Sep-96 $19,557 $17,991
31-Oct-96 $20,063 $18,381
29-Nov-96 $21,512 $19,754
31-Dec-96 $20,821 $19,298
============================END OF GRAPH=======================================
Historical Returns
1996.......................................19.83%
Annualized inception to December 31, 1996..18.61%
The performance data quoted represents past performance, and the investment
return of an investment will fluctuate so that an investor's shares, when
redeemed, may be worth more or less than their original cost. Past performance
is not predictive of future performance.
<PAGE>
Value and Income Portfolio
The Value and Income Portfolio commenced investment operations on
August 25, 1992. The Value and Income Portfolio is designed to have risk
characteristics similar to the S&P/BARRA Value Index. For the year ended
December 31, 1996, the Portfolio had a total return of 23.94%. The Value and
Income Portfolio had an excellent year and its return exceeded the return of the
S&P/BARRA Value Index. In accordance with its policy of staying as close to
fully invested as possible, the Portfolio also entered into stock index futures
contracts.
===============================GRAPH============================================
The graph shown below measures the performance of a hypothetical $10,000
investment in the Value and Income Portfolio against the S&P/BARRA Value Index
from inception of the Portfolio through December, 1996. The data points from the
graph are as follows:
COMPARISON OF $10,000 INVESTMENT IN THE VALUE AND INCOME PORTFOLIO AND THE
S&P/BARRA VALUE INDEX
Date $10,000 in $10,000 in
Portfolio Index
----------------------------------
31-Aug-92 $10,000 $10,000
30-Sep-92 $10,056 $10,110
30-Oct-92 $9,973 $10,027
30-Nov-92 $10,331 $10,300
31-Dec-92 $10,539 $10,493
29-Jan-93 $10,841 $10,775
26-Feb-93 $11,176 $11,146
31-Mar-93 $11,462 $11,454
30-Apr-93 $11,318 $11,408
28-May-93 $11,503 $11,621
30-Jun-93 $11,645 $11,775
31-Jul-93 $11,730 $11,921
31-Aug-93 $12,120 $12,388
30-Sep-93 $12,044 $12,383
29-Oct-93 $12,146 $12,450
30-Nov-93 $11,942 $12,227
31-Dec-93 $12,087 $12,435
31-Jan-94 $12,577 $13,014
28-Feb-94 $12,163 $12,543
31-Mar-94 $11,739 $12,028
30-Apr-94 $11,828 $12,282
31-May-94 $11,918 $12,485
30-Jun-94 $11,654 $12,140
29-Jul-94 $11,970 $12,550
31-Aug-94 $12,285 $12,905
30-Sep-94 $11,920 $12,451
31-Oct-94 $12,137 $12,722
30-Nov-94 $11,702 $12,207
31-Dec-94 $11,850 $12,357
31-Jan-95 $12,123 $12,692
28-Feb-95 $12,597 $13,184
31-Mar-95 $12,928 $13,547
28-Apr-95 $13,304 $13,993
31-May-95 $13,963 $14,615
30-Jun-95 $13,995 $14,726
31-Jul-95 $14,382 $15,235
31-Aug-95 $14,557 $15,364
29-Sep-95 $14,958 $15,899
31-Oct-95 $14,866 $15,651
30-Nov-95 $15,542 $16,471
29-Dec-95 $15,791 $16,927
31-Jan-96 $16,256 $17,433
29-Feb-96 $16,455 $17,597
29-Mar-96 $16,758 $18,009
30-Apr-96 $17,017 $18,191
31-May-96 $17,247 $18,465
28-Jun-96 $17,142 $18,376
31-Jul-96 $16,437 $17,601
30-Aug-96 $17,029 $18,086
30-Sep-96 $17,760 $18,861
31-Oct-96 $18,466 $19,500
29-Nov-96 $19,922 $20,992
31-Dec-96 $19,571 $20,650
============================END OF GRAPH=======================================
Historical Returns
1996...................................... 23.94%
Annualized inception to December 31, 1996. 16.81%
The performance data quoted represents past performance, and the investment
return of an investment will fluctuate so that an investor's shares, when
redeemed, may be worth more or less than their original cost. Past performance
is not predictive of future performance.
<PAGE>
Small to Mid Cap Portfolio
The Small to Mid Cap Portfolio, formerly the Small Cap Portfolio,
commenced investment operations on August 25, 1992. The Small to Mid Cap
Portfolio is designed to have risk characteristics similar to the Wilshire 4500
Index. For the year ended December 31, 1996, the Portfolio had a total return of
24.85%. Effective September 15, 1995, the shareholders of this Portfolio voted
to change the investment objective of the Portfolio to conform to a change in
the index from the BARRA Institutional Small Index to the Wilshire 4500 Index,
change the name of the Portfolio from the Small Cap to the Small to Mid Cap
Portfolio, and hire Symphony Asset Management, Inc. as money manager. The
Portfolio performed better than expected during the past year, and the
performance is shown below for the Portfolio against both the BARRA
Institutional Small and Wilshire 4500 indices. The performance is measured
against the BARRA Institutional Small Index from inception through September
1995 and against the Wilshire 4500 Index from October 1995 through December
1996. This is consistent with the way the money managers were running the
Portfolio.
===============================GRAPH============================================
The graph shown below measures the performance of a hypothetical $10,000
investment in the Value and Income Portfolio against the S&P/BARRA Value Index
from inception of the Portfolio through September, 1996. The data points from
the graph are as follows:
COMPARISON OF $10,000 INVESTMENT IN THE SMALL TO MID CAP PORTFOLIO AND THE
BARRA INSTITUTIONAL SMALL INDEX
Date $10,000 in $10,000 in
Portfolio Index
----------------------------------
31-Aug-92 $10,000 $10,000
30-Sep-92 $10,096 $10,196
30-Oct-92 $10,408 $10,458
30-Nov-92 $11,091 $11,208
31-Dec-92 $11,452 $11,597
29-Jan-93 $11,765 $11,967
26-Feb-93 $11,587 $11,785
31-Mar-93 $11,986 $12,204
30-Apr-93 $11,538 $11,781
28-May-93 $11,960 $12,179
30-Jun-93 $12,027 $12,269
31-Jul-93 $12,171 $12,488
31-Aug-93 $12,620 $13,046
30-Sep-93 $12,842 $13,394
29-Oct-93 $13,037 $13,787
30-Nov-93 $12,664 $13,308
31-Dec-93 $13,101 $13,722
31-Jan-94 $13,499 $14,077
28-Feb-94 $13,304 $13,949
31-Mar-94 $12,630 $13,200
30-Apr-94 $12,692 $13,165
31-May-94 $12,452 $13,059
30-Jun-94 $12,113 $12,734
29-Jul-94 $12,300 $12,984
31-Aug-94 $12,957 $13,676
30-Sep-94 $12,904 $13,676
31-Oct-94 $12,877 $13,625
30-Nov-94 $12,335 $13,107
31-Dec-94 $12,568 $13,320
31-Jan-95 $12,505 $13,278
28-Feb-95 $12,880 $13,808
31-Mar-95 $13,124 $14,101
28-Apr-95 $13,401 $14,382
31-May-95 $13,615 $14,632
30-Jun-95 $14,319 $15,453
31-Jul-95 $15,314 $16,428
31-Aug-95 $15,538 $16,815
29-Sep-95 $15,916 $17,227
============================END OF GRAPH=======================================
Historical Returns
1996..........................................24.85%
Annualized inception to December 31, 1996.....17.89%
The performance data quoted represents past performance, and the investment
return of an investment will fluctuate so that an investor's shares, when
redeemed, may be worth more or less than their original cost. Past performance
is not predictive of future performance.
<PAGE>
Small to Mid Cap Portfolio (continued)
===============================GRAPH============================================
The graph shown below measures the performance of a hypothetical $10,000
investment in the Small to Mid Cap Portfolio against the Wilshire 4500 Index
from October 1996 through December, 1996. The data points from the graph are as
follows:
COMPARISON OF $10,000 INVESTMENT IN THE SMALL TO MID CAP PORTFOLIO AND THE
WILSHIRE 4500 INDEX
Date $10,000 in $10,000 in
Portfolio Index
----------------------------------
29-Sep-95 $10,000 $10,000
31-Oct-95 $9,667 $9,732
30-Nov-95 $10,135 $10,145
29-Dec-95 $10,421 $10,273
31-Jan-96 $10,379 $10,379
29-Feb-96 $10,811 $10,716
29-Mar-96 $10,957 $10,880
30-Apr-96 $11,472 $11,386
31-May-96 $11,732 $11,752
28-Jun-96 $11,479 $11,383
31-Jul-96 $10,788 $10,528
30-Aug-96 $11,583 $11,097
30-Sep-96 $12,215 $11,626
31-Oct-96 $12,270 $11,455
29-Nov-96 $12,895 $11,938
31-Dec-96 $13,010 $12,046
============================END OF GRAPH=======================================
Historical Returns
1996.............................................24.85%
Annualized inception to December 31, 1996........17.89%
The performance data quoted represents past performance, and the investment
return of an investment will fluctuate so that an investor's shares, when
redeemed, may be worth more or less than their original cost. Past performance
is not predictive of future performance.
<PAGE>
International Equity Portfolio
The International Equity Portfolio commenced operations on October
3, 1994. The Portfolio is designed to have risk characteristics similar to that
of the Morgan Stanley Capital International ("MSCI") EAFE(R)+EMF Index. For the
year 1996 international stock markets, especially those of Germany and Japan,
performed significantly worse than the U.S. stock market. For the year ended
December 31, 1996, the Portfolio had a total return of 13.78%, significantly
better than the index and significantly better than expected. Effective May 1,
1996, the benchmark index used changed from the MSCI EAFE(R) Index to the MSCI
EAFE(R)+EMF Index. The money manager began to invest in emerging markets at the
same time this change was made to the extent that emerging markets were
represented in the index. This change was made to recognize the increased
liquidity and market capitalization of emerging markets, and to allow the
shareholders to benefit both from the potential of higher return, and the
potential of risk reduction through added diversification across more of the
global economy.
===============================GRAPH============================================
The graph shown below measures the performance of a hypothetical $10,000
investment in the International Equity Portfolio against the MSCI EAFE(R) Index
from inception of the Portfolio through April, 1996. The data points from the
graph are as follows:
COMPARISON OF $10,000 INVESTMENT IN THE INTERNATIONAL EQUITY PORTFOLIO AND THE
MSCI EAFE(R) INDEX
Date $10,000 in $10,000 in
Portfolio Index
----------------------------------
31-Oct-94 $10,000 $10,000
30-Nov-94 $9,491 $9,519
31-Dec-94 $9,589 $9,579
31-Jan-95 $9,030 $9,211
28-Feb-95 $8,998 $9,183
31-Mar-95 $9,211 $9,755
28-Apr-95 $9,482 $10,122
31-May-95 $9,343 $10,002
30-Jun-95 $9,293 $9,826
31-Jul-95 $9,942 $10,438
31-Aug-95 $10,033 $10,040
29-Sep-95 $10,221 $10,236
31-Oct-95 $9,959 $9,960
30-Nov-95 $10,090 $10,304
29-Dec-95 $10,320 $10,719
31-Jan-96 $10,304 $10,763
29-Feb-96 $10,533 $10,800
29-Mar-96 $10,886 $11,029
30-Apr-96 $11,313 $11,350
============================END OF GRAPH=======================================
Historical Returns
1996..........................................13.78%
Annualized inception to December 31, 1996......8.09%
The performance data quoted represents past performance, and the investment
return of an investment will fluctuate so that an investor's shares, when
redeemed, may be worth more or less than their original cost. Past performance
is not predictive of future performance.
<PAGE>
International Equity Portfolio (continued)
===============================GRAPH============================================
The graph shown below measures the performance of a hypothetical $10,000
investment in the International Equity Portfolio against the MSCI EAFE(R)+ EMF
Index from May 1996 through December, 1996. The data points from the graph are
as follows:
COMPARISON OF $10,000 INVESTMENT IN THE INTERNATIONAL EQUITY PORTFOLIO AND THE
MSCI EAFE(R)+EMF INDEX
Date $10,000 in $10,000 in
Portfolio Index
----------------------------------
30-Apr-96 $10,000 $10,000
31-May-96 $10,015 $9,840
28-Jun-96 $10,182 $9,898
31-Jul-96 $9,674 $9,569
30-Aug-96 $9,769 $9,609
30-Sep-96 $9,907 $9,828
31-Oct-96 $9,907 $9,700
29-Nov-96 $10,321 $10,057
31-Dec-96 $10,380 $9,948
============================END OF GRAPH=======================================
Historical Returns
1996..........................................13.78%
Annualized inception to December 31, 1996......8.09%
The performance data quoted represents past performance, and the investment
return of an investment will fluctuate so that an investor's shares, when
redeemed, may be worth more or less than their original cost. Past performance
is not predictive of future performance.
<PAGE>
Intermediate Fixed-Income Portfolio
The Intermediate Fixed-Income Portfolio commenced investment
operations on June 16, 1992. The Intermediate Fixed-Income Portfolio is designed
to have risk characteristics similar to the Lehman Brothers Government/Corporate
Index. For the year ended December 31, 1996, the Portfolio had a total return of
2.56%. This period was negative for bonds, with interest rates climbing during
the year. This was a function of the continued strength in the economy, and the
prospects for higher inflation due to that strength. The Portfolio performed as
expected, keeping in line with the Lehman Brothers Government/Corporate Index.
===============================GRAPH============================================
The graph shown below measures the performance of a hypothetical $10,000
investment in the Intermediate Fixed-Income Portfolio against the Lehman
Brothers Government/Corporate Index from inception of the Portfolio through
December, 1996. The data points from the graph are as follows:
COMPARISON OF $10,000 INVESTMENT IN THE INTERMEDIATE FIXED-INCOME PORTFOLIO AND
THE LEHMAN BROTHERS GOVERNMENT/CORPORATE INDEX
Date $10,000 in $10,000 in
Portfolio Index
----------------------------------
30-Jun-92 $10,000 $10,000
31-Jul-92 $10,213 $10,228
31-Aug-92 $10,339 $10,324
30-Sep-92 $10,483 $10,465
30-Oct-92 $10,303 $10,316
30-Nov-92 $10,222 $10,292
31-Dec-92 $10,371 $10,450
29-Jan-93 $10,598 $10,665
26-Feb-93 $10,787 $10,860
31-Mar-93 $10,840 $10,900
30-Apr-93 $10,923 $10,986
28-May-93 $10,922 $10,971
30-Jun-93 $11,123 $11,182
31-Jul-93 $11,163 $11,231
31-Aug-93 $11,372 $11,449
30-Sep-93 $11,414 $11,493
29-Oct-93 $11,449 $11,532
30-Nov-93 $11,321 $11,434
31-Dec-93 $11,359 $11,486
31-Jan-94 $11,507 $11,658
28-Feb-94 $11,228 $11,404
31-Mar-94 $10,959 $11,125
30-Apr-94 $10,856 $11,032
31-May-94 $10,831 $11,012
30-Jun-94 $10,785 $10,987
29-Jul-94 $10,969 $11,207
31-Aug-94 $10,965 $11,211
30-Sep-94 $10,809 $11,042
31-Oct-94 $10,779 $11,030
30-Nov-94 $10,728 $11,010
31-Dec-94 $10,764 $11,083
31-Jan-95 $10,941 $11,296
28-Feb-95 $11,171 $11,558
31-Mar-95 $11,253 $11,635
28-Apr-95 $11,391 $11,797
31-May-95 $11,859 $12,291
30-Jun-95 $11,942 $12,389
31-Jul-95 $11,888 $12,341
31-Aug-95 $12,040 $12,499
29-Sep-95 $12,169 $12,627
31-Oct-95 $12,342 $12,812
30-Nov-95 $12,535 $13,024
29-Dec-95 $12,730 $13,215
31-Jan-96 $12,794 $13,297
29-Feb-96 $12,535 $13,015
29-Mar-96 $12,439 $12,906
30-Apr-96 $12,352 $12,817
31-May-96 $12,335 $12,795
28-Jun-96 $12,489 $12,966
31-Jul-96 $12,508 $12,996
30-Aug-96 $12,462 $12,965
30-Sep-96 $12,673 $13,196
31-Oct-96 $12,943 $13,503
29-Nov-96 $13,204 $13,752
31-Dec-96 $13,055 $13,599
============================END OF GRAPH=======================================
Historical Returns
1996............................................2.56%
Annualized inception to December 31, 1996.......6.16%
The performance data quoted represents past performance, and the investment
return of an investment will fluctuate so that an investor's shares, when
redeemed, may be worth more or less than their original cost. Past performance
is not predictive of future performance.
<PAGE>
Short-Intermediate Fixed-Income Portfolio
The Short-Intermediate Fixed-Income Portfolio commenced investment
operations on May 18, 1992. The Short-Intermediate Fixed-Income Portfolio is
designed to have risk characteristics similar to the Lehman Brothers
Government/Corporate 1-5 Year Index. For the year ended December 31, 1996, the
Portfolio had a total return of 3.63%. The shorter duration of this Portfolio's
investments increased total returns slightly as compared to the Intermediate
Fixed-Income Portfolio, by reducing the capital loss. The Portfolio performed as
expected, keeping in line with the Lehman Brothers Government/Corporate 1-5 Year
Index.
===============================GRAPH============================================
The graph shown below measures the performance of a hypothetical $10,000
investment in the Short-Intermediate Fixed-Income Portfolio against the Lehman
Brothers Government/Corporate 1-5 Year from inception of the Portfolio through
December, 1996. The data points from the graph are as follows:
COMPARISON OF $10,000 INVESTMENT IN THE SHORT-INTERMEDIATE FIXED-INCOME
PORTFOLIO AND THE LEHMAN BROTHERS GOVERNMENT/CORPORATE 1-5 YEAR INDEX
Date $10,000 in $10,000 in
Portfolio Index
----------------------------------
29-May-92 $10,000 $10,000
30-Jun-92 $10,119 $10,130
31-Jul-92 $10,265 $10,287
31-Aug-92 $10,349 $10,388
30-Sep-92 $10,462 $10,510
30-Oct-92 $10,362 $10,406
30-Nov-92 $10,321 $10,373
31-Dec-92 $10,421 $10,489
29-Jan-93 $10,555 $10,653
26-Feb-93 $10,667 $10,781
31-Mar-93 $10,703 $10,821
30-Apr-93 $10,781 $10,905
28-May-93 $10,749 $10,872
30-Jun-93 $10,848 $10,991
31-Jul-93 $10,863 $11,013
31-Aug-93 $10,965 $11,145
30-Sep-93 $10,989 $11,182
29-Oct-93 $11,009 $11,211
30-Nov-93 $10,971 $11,188
31-Dec-93 $11,006 $11,234
31-Jan-94 $11,095 $11,330
28-Feb-94 $10,977 $11,216
31-Mar-94 $10,858 $11,104
30-Apr-94 $10,800 $11,040
31-May-94 $10,807 $11,052
30-Jun-94 $10,825 $11,071
29-Jul-94 $10,917 $11,195
31-Aug-94 $10,947 $11,232
30-Sep-94 $10,880 $11,172
31-Oct-94 $10,886 $11,186
30-Nov-94 $10,835 $11,129
31-Dec-94 $10,849 $11,153
31-Jan-95 $11,006 $11,324
28-Feb-95 $11,181 $11,520
31-Mar-95 $11,237 $11,585
28-Apr-95 $11,341 $11,707
31-May-95 $11,580 $11,978
30-Jun-95 $11,630 $12,049
31-Jul-95 $11,648 $12,078
31-Aug-95 $11,727 $12,164
29-Sep-95 $11,784 $12,233
31-Oct-95 $11,883 $12,351
30-Nov-95 $11,989 $12,482
29-Dec-95 $12,088 $12,590
31-Jan-96 $12,186 $12,706
29-Feb-96 $12,103 $12,620
29-Mar-96 $12,052 $12,580
30-Apr-96 $12,030 $12,570
31-May-96 $12,031 $12,579
28-Jun-96 $12,130 $12,690
31-Jul-96 $12,160 $12,736
30-Aug-96 $12,181 $12,767
30-Sep-96 $12,313 $12,909
31-Oct-96 $12,468 $13,090
29-Nov-96 $12,578 $13,215
31-Dec-96 $12,529 $13,181
============================END OF GRAPH=======================================
Historical Returns
1996............................................3.63%
Annualized inception to December 31, 1996.......4.98%
The performance data quoted represents past performance, and the investment
return of an investment will fluctuate so that an investor's shares, when
redeemed, may be worth more or less than their original cost. Past performance
is not predictive of future performance.
<PAGE>
Mortgage Securities Portfolio
The Mortgage Securities Portfolio commenced investment operations on
May 18, 1992. The Mortgage Securities Portfolio is designed to have risk
characteristics similar to the Lehman Brothers Mortgage-Backed Securities Index.
For the year ended December 31, 1996, the Portfolio had a total return of 4.95%.
The duration of the Portfolio's investments increased significantly during the
year due to the fall in prepayments and refinancing as interest rates rose. The
Portfolio's performance paralleled that of the Lehman Brothers Mortgage-Backed
Securities Index.
===============================GRAPH============================================
The graph shown below measures the performance of a hypothetical $10,000
investment in the Value and Income Portfolio against the S&P/BARRA Value Index
from inception of the Portfolio through December, 1996. The data points from the
graph are as follows:
COMPARISON OF $10,000 INVESTMENT IN THE MORTGAGE SECURITIES PORTFOLIO AND THE
LEHMAN BROTHERS MORTGAGE-BACKED SECURITIES INDEX
Date $10,000 in $10,000 in
Portfolio Index
----------------------------------
29-May-92 $10,000 $10,000
30-Jun-92 $10,095 $10,118
31-Jul-92 $10,271 $10,207
31-Aug-92 $10,356 $10,340
30-Sep-92 $10,413 $10,420
30-Oct-92 $10,259 $10,329
30-Nov-92 $10,244 $10,361
31-Dec-92 $10,379 $10,494
29-Jan-93 $10,545 $10,632
26-Feb-93 $10,662 $10,739
31-Mar-93 $10,705 $10,805
30-Apr-93 $10,754 $10,861
28-May-93 $10,773 $10,923
30-Jun-93 $10,922 $11,006
31-Jul-93 $10,981 $11,050
31-Aug-93 $11,049 $11,102
30-Sep-93 $11,062 $11,112
29-Oct-93 $11,089 $11,144
30-Nov-93 $11,067 $11,122
31-Dec-93 $11,133 $11,212
31-Jan-94 $11,240 $11,323
28-Feb-94 $11,133 $11,244
31-Mar-94 $10,998 $10,951
30-Apr-94 $10,910 $10,870
31-May-94 $10,899 $10,914
30-Jun-94 $10,867 $10,890
29-Jul-94 $11,076 $11,107
31-Aug-94 $11,071 $11,143
30-Sep-94 $10,917 $10,985
31-Oct-94 $10,902 $10,978
30-Nov-94 $10,861 $10,944
31-Dec-94 $10,949 $11,032
31-Jan-95 $11,176 $11,268
28-Feb-95 $11,445 $11,555
31-Mar-95 $11,509 $11,609
28-Apr-95 $11,650 $11,774
31-May-95 $12,010 $12,145
30-Jun-95 $12,089 $12,214
31-Jul-95 $12,086 $12,235
31-Aug-95 $12,197 $12,362
29-Sep-95 $12,297 $12,471
31-Oct-95 $12,398 $12,582
30-Nov-95 $12,563 $12,726
29-Dec-95 $12,705 $12,885
31-Jan-96 $12,775 $12,981
29-Feb-96 $12,653 $12,874
29-Mar-96 $12,596 $12,827
30-Apr-96 $12,560 $12,791
31-May-96 $12,531 $12,754
28-Jun-96 $12,684 $12,930
31-Jul-96 $12,720 $12,978
30-Aug-96 $12,713 $12,978
30-Sep-96 $12,932 $13,195
31-Oct-96 $13,171 $13,453
29-Nov-96 $13,408 $13,646
31-Dec-96 $13,337 $13,575
============================END OF GRAPH=======================================
Historical Returns
1996..............................................4.95%
Annualized inception to December 31, 1996.........6.45%
The performance data quoted represents past performance, and the investment
return of an investment will fluctuate so that an investor's shares, when
redeemed, may be worth more or less than their original cost. Past performance
is not predictive of future performance.
<PAGE>
U.S. Government Money Portfolio
The U.S. Government Money Portfolio commenced operations on April 9,
1992. For the year ended December 31, 1996, the Portfolio had a total return of
4.78%, which is appropriate considering its objective. Bennington Capital
Management assumed responsibility from State Street Bank and Trust Company for
all investment decisions in this Portfolio as of September 7, 1994.
===============================GRAPH============================================
The graph shown below measures the performance of a hypothetical $10,000
investment in the U.S. Government Money Portfolio from inception of the
Portfolio through December, 1996. The data points from the graph are as follows:
COMPARISON OF $10,000 INVESTMENT IN THE U.S. GOVERNMENT MONEY PORTFOLIO
$10,000 in
Date Portfolio
---- ---------
30-Apr-92 $10,000
29-May-92 $10,030
30-Jun-92 $10,060
31-Jul-92 $10,091
31-Aug-92 $10,120
30-Sep-92 $10,144
30-Oct-92 $10,169
30-Nov-92 $10,192
31-Dec-92 $10,217
29-Jan-93 $10,242
26-Feb-93 $10,263
31-Mar-93 $10,286
30-Apr-93 $10,309
28-May-93 $10,332
30-Jun-93 $10,354
30-Jul-93 $10,378
31-Aug-93 $10,402
30-Sep-93 $10,425
29-Oct-93 $10,449
30-Nov-93 $10,473
31-Dec-93 $10,505
31-Jan-94 $10,529
28-Feb-94 $10,551
31-Mar-94 $10,576
29-Apr-94 $10,604
31-May-94 $10,634
30-Jun-94 $10,665
29-Jul-94 $10,699
31-Aug-94 $10,734
30-Sep-94 $10,769
31-Oct-94 $10,807
30-Nov-94 $10,846
31-Dec-94 $10,893
31-Jan-95 $10,940
28-Feb-95 $10,984
31-Mar-95 $11,034
28-Apr-95 $11,084
31-May-95 $11,135
30-Jun-95 $11,185
31-Jul-95 $11,235
31-Aug-95 $11,285
29-Sep-95 $11,333
31-Oct-95 $11,379
30-Nov-95 $11,415
29-Dec-95 $11,462
31-Jan-96 $11,490
29-Feb-96 $11,532
29-Mar-96 $11,576
30-Apr-96 $11,620
31-May-96 $11,667
28-Jun-96 $11,708
31-Jul-96 $11,755
30-Aug-96 $11,803
30-Sep-96 $11,846
31-Oct-96 $11,896
29-Nov-96 $11,935
31-Dec-96 $11,978
============================END OF GRAPH=======================================
Historical Returns
1996...............................................4.78%
Annualized inception to December 31, 1996..........4.02%
The performance data quoted represents past performance and the investment
return will fluctuate. Past performance does not guarantee future results. An
investment in the U.S. Government Money Portfolio is neither insured nor
guaranteed by the U.S. Government and there can be no assurance that the
Portfolio will be able to maintain a stable net asset value of $1.00 per share.
<PAGE>
ACCESSOR FUNDS, INC.
Growth Portfolio
Schedule of Investments
December 31, 1996
Description Shares Value
COMMON STOCK (99.6%)
Advertising (1.1%)
Interpublic Group of Companies, Incorporated 14,400 $ 684,000
Aerospace - Defense (0.7%)
General Dynamics Corporation 900 63,450
McDonnell Douglas Corporation 6,100 390,400
453,850
Air Travel (0.5%)
Delta Air Lines, Incorporated 4,200 297,675
Apparel (1.1%)
Fruit of the Loom, Incorporated* 9,600 363,600
VF Corporation 4,700 317,250
680,850
Automobiles (1.0%)
Chrysler Corporation 18,000 594,000
Banks/Savings & Loans (1.9%)
Comerica, Incorporated 8,600 450,425
Nationsbank Corporation 4,000 391,000
PNC Bank Corporation 5,900 333,350
1,174,775
Beverages - Soft Drinks (2.2%)
Coca Cola Company 19,000 999,875
PepsiCo, Incorporated 12,700 371,475
1,371,350
Building Materials (0.5%)
Owens Corning Fiberglas Corporation 6,700 285,588
Chemicals (2.9%)
Dow Chemical Company 12,900 1,011,038
Dupont de Nemours & Company 4,000 377,000
Rohm & Haas Company 4,400 359,150
1,747,188
Commercial Services (0.2%)
Ecolab, Incorporated 2,800 105,350
Computer Software & Services (5.2%)
Cisco Systems, Incorporated* 17,100 1,087,988
Computer Associates International, Incorporated 23,475 1,167,881
Microsoft Corporation* 5,800 479,225
Sun Microsystems, Incorporated* 16,400 421,275
3,156,369
Computers (3.6%)
Compaq Computer Corporation* 28,100 2,086,425
Tandem Computers, Incorporated* 10,200 140,250
2,226,675
- --------------------------------------------------------------------------------
See notes to financial statements.
<PAGE>
ACCESSOR FUNDS, INC.
Growth Portfolio
Schedule of Investments
December 31, 1996
(Continued)
Description Shares Value
COMMON STOCK (Continued)
Cosmetics & Toiletries (0.1%)
Alberto Culver Company Class B 700 $ 33,600
Diversified - Conglomerate (1.9%)
American Brands, Incorporated 6,300 312,637
PPG Industries, Incorporated 14,800 830,650
1,143,287
Drugs & Pharmaceuticals (17.1%)
Abbott Laboratories 23,900 1,212,925
American Home Products Corporation 16,100 943,862
Amgen, Incorporated* 3,600 195,750
Bristol-Myers Squibb Company 24,100 2,620,875
Johnson & Johnson 17,600 875,600
Merck & Company, Incorporated 35,100 2,781,675
Schering-Plough Corporation 27,900 1,806,525
10,437,212
Electric Utilities (0.1%)
Consolidated Edison Company of New York, Incorporated 2,500 73,125
Electronics (9.3%)
General Electric Company 18,200 1,799,525
Honeywell, Incorporated 4,900 322,175
Intel Corporation 24,100 3,155,594
Tektronix, Incorporated 7,500 384,375
5,661,669
Entertainment & Leisure (3.0%)
King World Productions, Incorporated* 25,100 925,562
The Walt Disney Company 13,400 932,975
1,858,537
Finance (0.5%)
American Express Company Incorporated 5,600 316,400
Foods (7.3%)
Archer-Daniels Midland Company 19,215 422,730
Campbell Soup Company 21,100 1,693,275
Conagra, Incorporated 17,800 885,550
General Mills, Incorporated 12,700 804,862
Hershey Foods Corporation 15,400 673,750
4,480,167
- --------------------------------------------------------------------------------
See notes to financial statements
<PAGE>
ACCESSOR FUNDS, INC.
Growth Portfolio
Schedule of Investments
December 31, 1996
(Continued)
Description Shares Value
COMMON STOCK (Continued)
Hardware & Tools (0.3%)
Snap-On Tools, Incorporated 5,200 $ 185,250
Hospital Management (0.5%)
Tenet Healthcare Corporation* 14,500 317,188
Hotels & Motels (0.4%)
HFS, Incorporated 2,600 155,350
Hilton Hotels Corporation 4,400 114,950
270,300
Household Products (3.0%)
Clorox Company 1,200 120,450
Maytag Corporation 3,500 69,125
Newell Company 23,400 737,100
Proctor & Gamble Company 5,500 591,250
Tupperware Corporation 6,300 337,837
1,855,762
Insurance (3.1%)
Allstate, Incorporated 4,900 283,587
ITT Hartford Group, Incorporated 4,900 330,750
Marsh & McLennan Companies, Incorporated 9,400 977,600
Providian Corporation 5,900 303,113
1,895,050
Machinery (2.8%)
Case Corporation 11,500 626,750
Caterpillar, Incorporated 9,200 692,300
Harnischfeger Industries, Incorporated 7,800 375,375
1,694,425
Manufacturing - Diversified (0.5%)
Parker-Hannifin Corporation 8,600 333,250
Medical Equipment & Supplies (2.4%)
Becton, Dickinson & Company 26,800 1,162,450
Beverly Enterprises* 24,300 309,825
1,472,275
Office Equipment & Supplies (0.3%)
Harris Corporation 3,100 212,738
Oil & Gas (1.8%)
Atlantic Richfield Company 1,600 212,000
Baker Hughes, Incorporated 8,300 286,350
Coastal Corporation 4,300 210,162
Rowan Companies, Incorporated* 13,000 294,125
Williams Companies, Incorporated 2,400 90,000
1,092,637
- --------------------------------------------------------------------------------
See notes to financial statements.
<PAGE>
ACCESSOR FUNDS, INC.
Growth Portfolio
Schedule of Investments
December 31, 1996
(Concluded)
Description Shares Value
COMMON STOCKS (Continued)
Paper & Forest Products (1.0%)
Kimberly-Clark Corporation 3,000 $ 285,750
Mead Corporation 5,400 313,875
599,625
Publishing News (1.3%)
Tribune Company 10,100 796,638
Retail - Grocery (2.2%)
American Stores Company 6,800 277,950
Great Atlantic & Pacific Tea Company, Incorporated 9,500 302,813
Kroger Company* 16,600 771,900
1,352,663
Retail - Trade (6.6%)
Dayton-Hudson Corporation 22,200 871,350
Gap Incorporated 10,800 325,350
Lowe's Companies, Incorporated 7,300 259,150
Price/Costco Incorporated* 13,900 349,238
Sears, Roebuck & Company 21,000 968,625
Toys 'R' US, Incorporated* 9,100 273,000
TJX Companies, Incorporated 20,900 990,137
4,036,850
Steel Producer (0.5%)
U.S. Steel Group, Incorporated 10,600 332,575
Telecommunications (9.2%)
Airtouch Communications, Incorporated* 4,700 118,675
Ameritech Corporation 23,100 1,400,437
AT&T Company 9,900 430,650
Bell Atlantic Corporation 5,800 375,550
Bellsouth Corporation 16,900 682,338
GTE Corporation 1,700 77,350
NYNEX Corporation 6,800 327,250
Pacific Telesis Group 10,800 396,900
SBC Communications, Incorporated 21,000 1,086,750
Tellabs, Incorporated* 19,400 729,925
5,625,825
Tobacco (3.5%)
Philip Morris Companies, Incorporated 18,800 2,117,350
TOTAL COMMON STOCK (Identified Cost $49,937,520) 60,972,068
SHORT-TERM INVESTMENTS (0.4%) Interest Maturity Principal
Rate (1) Date Amount
Federal Home Loan Mortgage
(Identified cost $239,958) 5.26% 01/02/97 $240,000 239,958
TOTAL INVESTMENTS (100.0%) (Identified Cost $50,177,478) $61,212,026
- --------------------------------------
* Non-income producing security.
(1) Yield at time of purchase.
- --------------------------------------------------------------------------------
See notes to financial statements.
<PAGE>
ACCESSOR FUNDS, INC.
Value and Income Portfolio
Schedule of Investments
December 31, 1996
Description Shares Value
COMMON STOCK (97.2%)
Aerospace - Defense (1.5%)
Boeing Company 1,100 $ 117,012
Northrop Grumman Corporation 5,300 438,575
555,587
Air Travel (1.3%)
AMR Corporation* 4,500 396,562
Delta Air Lines, Incorporated 1,100 77,963
474,525
Apparel (0.3%)
GAP, Incorporated 3,600 108,450
Automobiles (5.7%)
Chrysler Corporation 19,200 633,600
Ford Motor Company 4,900 156,187
General Motors Corporation 15,200 847,400
Goodyear Tire & Rubber Company 8,100 416,138
2,053,325
Banks/Savings & Loans (13.5%)
Bank of Boston Corporation 2,200 141,350
Bankamerica Corporation 6,100 608,475
Chase Manhattan Corporation 10,000 892,500
Citicorp 7,900 813,700
Comerica, Incorporated 8,800 460,900
First Chicago NBD Corporation 4,100 220,375
First Union Corporation 8,700 643,800
Nationsbank Corporation 7,000 684,250
Republic of New York Corporation 5,300 432,612
4,897,962
Beverages - Soft Drinks (0.3%)
Coca Cola Company 1,800 94,725
Building & Construction (0.4%)
Centex Corporation 4,000 150,500
Chemicals (4.4%)
Dow Chemical Company 7,100 556,463
FMC Corporation* 3,400 238,425
Rohm & Haas Company 5,700 465,263
Union Carbide Corporation 8,100 331,087
1,591,238
Computer Software & Services (1.8%)
Computer Associates International, Incorporated 5,050 251,237
Seagate Technology* 9,800 387,100
638,337
Computers (4.4%)
Compaq Computer Corporation* 8,300 616,275
International Business Machines Corporation 6,400 966,400
1,582,675
- --------------------------------------------------------------------------------
See notes to financial statements.
<PAGE>
Value and Income Portfolio
Schedule of Investments
December 31, 1996
(Continued)
Description Shares Value
COMMON STOCK (Continued)
Electric Utilities (6.5%)
DTE Energy Company 5,000 $ 161,875
Edison International 18,200 361,725
Entergy Corporation 15,600 432,900
GPU, Incorporated 4,500 151,313
Niagara Mohawk Power Corporation* 43,200 426,600
Ohio Edison Company 19,600 445,900
Peco Energy Company 3,700 93,425
Unicom Corporation 9,900 268,537
2,342,275
Electrical Equipment (0.3%)
General Instruments* 4,900 105,963
Electronics (2.8%)
Intel Corporation 4,000 523,750
Tektronix, Incorporated 9,300 476,625
1,000,375
Entertainment & Leisure (1.2%)
Brunswick Corporation 17,800 427,200
Finance (5.2%)
Federal National Mortgage Association 11,500 428,375
Merrill Lynch & Company, Incorporated 7,500 611,250
Morgan Stanley Group, Incorporated 3,900 222,787
Ryder Systems, Incorporated 7,500 210,938
Salomon, Incorporated 8,800 414,700
1,888,050
Foods (4.2%)
Archer-Daniels Midland Company 15,000 330,000
Fleming Companies, Incorporated 9,900 170,775
Ralston Purina Company 5,100 374,212
Ryan's Family Steak Houses, Incorporated* 47,500 326,562
SuperValu, Incorporated 11,000 312,125
1,513,674
Household Products (0.9%)
Maytag Corporation 18,100 357,475
Insurance (6.0%)
Cigna Corporation 3,800 519,175
Loews Corporation 5,400 508,950
Torchmark Corporation 8,400 424,200
Traveler's Group, Incorporated 16,666 756,231
2,208,556
- --------------------------------------------------------------------------------
See notes to financial statements.
<PAGE>
ACCESSOR FUNDS, INC.
Value and Income Portfolio
Schedule of Investments
December 31, 1996
(Continued)
Description Shares Value
COMMON STOCK (Continued)
Machinery (4.2%)
Caterpillar, Incorporated 7,400 $ 556,850
Crane Company 3,300 95,700
Deere & Company 4,700 190,938
Harnischfeger Industries, Incorporated 6,300 303,187
Trinova Corporation 10,500 381,937
1,528,612
Managed Care (1.1%)
Tenet Healthcare Corporation 19,100 417,813
Medical Equipment & Supplies (0.9%)
American Home Products 2,400 140,700
Beverly Enterprises* 16,600 211,650
352,350
Metals (1.2%)
USX - U.S. Steel Group, Incorporated 13,400 420,425
Office Equipment & Supplies (1.1%)
Harris Corporation 5,900 404,888
Oil & Gas (14.1%)
Amoco Corporation 1,600 128,800
Atlantic Richfield Company 1,900 251,750
Chevron Corporation 2,400 156,000
Coastal Corporation 7,600 371,450
Columbia Gas Systems, Incorporated 7,000 445,375
Exxon Corporation 12,200 1,195,600
Mobile Corporation 6,400 782,400
Phillips Petroleum Company 10,100 446,925
Royal Dutch Petroleum Company 3,800 648,850
Texaco, Incorporated 7,100 696,688
5,123,838
Paper & Forest Products (3.0%)
American Greetings Corporation, Class A Shares 13,700 388,738
Kimberly-Clark Corporation 3,500 333,375
Westvaco Corporation 13,200 379,500
1,101,613
Pharmaceuticals (1.5%)
Bristol Myers Squibb Company 2,100 228,375
Schering-Plough Corporation 4,900 317,275
545,650
Railroads (1.0%)
CSX Corporation 9,100 384,475
- --------------------------------------------------------------------------------
See notes to financial statements.
<PAGE>
ACCESSOR FUNDS, INC.
Value and Income Portfolio
Schedule of Investments
December 31, 1996
(Concluded)
Description Shares Value
COMMON STOCK (Continued)
Retail - Trade (2.3%)
Dayton Hudson Corporation 10,900 $ 427,825
Federated Department Stores* 4,300 146,737
Sears, Roebuck & Company 5,500 253,688
828,250
Telecommunications (6.1%)
AT&T Company 8,200 356,700
Bellsouth Corporation 4,700 189,763
MCI Communications Corporation 4,000 130,750
NYNEX Corporation 12,300 591,937
SBC Communications, Incorporated 9,900 512,325
Sprint Corporation 11,100 442,613
2,224,088
TOTAL COMMON STOCK (Identified Cost $28,533,962) 35,322,894
UNIT INVESTMENT TRUST (0.9%)
Standard & Poor's Depository Receipts(2) 4,300 317,931
(Identified Cost $314,228)
SHORT-TERM INVESTMENTS (1.9%) Interest Maturity Principal
Rate(1) Date Amount
U.S. Treasury Bill 4.72 % 03/20/97 $100,000 98,989
Repurchase Agreements
Fifth Third Bank Repurchase
Agreement, (collateralized
by 600,000 U.S. Treasury Notes,
7.38%, 11/15/97, market value
$609,000) 5.10 % 01/02/97 597,021 597,021
TOTAL SHORT-TERM INVESTMENTS (Identified Cost $696,010) 696,010
TOTAL INVESTMENTS (100.0%) (Identified Cost $29,544,200) $36,336,835
- -------------------------------
* Non-income producing security.
(1) Yield at time of purchase.
(2) Security has been segregated with the custodian to cover margin
requirements for the following open futures contracts at December 31,
1996:
Unrealized
Type Expiration Contracts Appreciation
S&P 500 Future 03/21/97 4 $34,950
- --------------------------------------------------------------------------------
See notes to financial statements.
<PAGE>
ACCESSOR FUNDS, INC.
Small to Mid Cap Portfolio
Schedule of Investments
December 31, 1996
Description Shares Value
COMMON STOCK (95.5%)
Aerospace - Defense (0.2%)
Litton Industries, Incorporated* 3,000 $ 142,875
Air Travel (0.9%)
UAL Corporation* 9,900 618,750
Airlines - Freight (0.3%)
Expeditors International Wash Incorporated 8,600 197,800
Audio/Visual (0.3%)
Sola International* 6,100 231,800
Banks/Savings & Loans (9.8%)
BanPonce Corporation 29,500 995,625
CitFed Bancorp, Incorporated 4,800 158,400
City National Corporation 32,000 692,000
Deposit Guaranty Corporation 21,700 672,700
First Citizens Bancshares Incorporated 2,000 151,000
Great Financial Corporation 10,200 297,075
Greenpoint Financial 4,000 189,000
Investors Financial Service Company 75 2,006
North Fork Bancorporation 5,649 201,246
North Side Savings Bank 5,100 277,950
Northern Trust Corporation 22,800 826,500
Peoples Heritage Financial Savings Bank 24,700 691,600
Star Banc Corporation 6,300 578,812
T R Financial Corporation 5,600 198,800
Washington Mutual, Incorporated 6,300 272,869
Westamerica Bancorporation 4,400 254,100
6,459,683
Broadcasting (0.1%)
United Television Incorporated 600 51,675
Brokerage (2.9%)
BHC Financial, Incorporated 29,300 461,475
Bear Stearns Companies Incorporated 9,870 275,126
Lehman Brothers Holdings, Incorporated 4,900 153,738
McDonald & Company Investments 7,120 247,420
Paine Webber Incorporated 28,700 807,188
1,944,947
Building & Construction (1.3%)
Champion Enterprises, Incorporated* 6,448 125,736
Coachmen Industries, Incorporated 11,900 337,663
Hughes Supply, Incorporated 4,700 202,687
NVR, Incorporated* 13,200 171,600
837,686
- --------------------------------------------------------------------------------
See notes to financial statements.
<PAGE>
ACCESSOR FUNDS, INC.
Small to Mid Cap Portfolio
Schedule of Investments
December 31, 1996
(Continued)
Description Shares Value
COMMON STOCK (Continued)
Chemicals (4.1%)
Chemed Corporation 9,700 $ 354,050
Cytec Industries, Incorporated* 33,600 1,365,000
Terra Industries, Incorporated 36,400 536,900
Tredegar Industries, Incorporated 10,800 433,350
2,689,300
Computer Software & Services (2.9%)
Affiliated COM* 9,700 288,575
Cadence Design Systems, Incorporated* 35,950 1,429,013
Fair Issac & Co., Incorporated 5,700 223,012
1,940,600
Computers (5.4%)
Applied Magnetics Corporation* 21,600 645,300
Computervision Corporation* 18,200 168,350
Encad Incorporated* 16,100 664,125
Hadco Corporation* 11,500 563,500
Standard Microsystems Corporation* 17,500 166,250
Western Digital Corporation* 23,800 1,353,625
3,561,150
Construction Equipment (1.4%)
Southdown, Incorporated 19,500 606,938
Texas Industries, Incorporated 5,900 298,687
905,625
Electric Utilities (4.4%)
Central Hudson Gas & Electric 2,200 69,025
Commonwealth Energy System 15,800 371,300
Destec Energy, Incorporated* 10,700 167,188
LG&E Corporation 15,000 367,500
Pinnacle West Capital 6,700 212,725
Public Service Company of Colorado 12,700 493,713
Southwestern Public Services Company 34,000 1,202,750
2,884,201
Electrical Equipment (1.8%)
Charter Power Systems, Incorporated 9,400 286,700
Cohu, Incorporated 12,200 283,650
Fedders Corporation 33,700 210,625
IES Industries, Incorporated 8,000 239,000
IPALCO Enterprises, Incorporated 5,600 152,600
1,172,575
Electronics (5.1%)
BMC Industries, Incorporated 51,600 1,625,400
Logicon, Incorporated 26,900 981,850
SCI Systems, Incorporated* 17,800 794,325
3,401,575
- --------------------------------------------------------------------------------
See notes to financial statements
<PAGE>
ACCESSOR FUNDS, INC.
Small to Mid Cap Portfolio
Schedule of Investments
December 31, 1996
(Continued)
Description Shares Value
COMMON STOCK (Continued)
Finance (3.2%)
Aames Financial Corporation 7,800 $ 279,825
Comdisco, Incorporated 13,000 412,750
Student Loan Marketing Association 11,000 1,024,375
UST Corporation 18,800 387,750
2,104,700
Foods (2.4%)
CKE Restaurants, Incorporated 11,200 403,200
Interstate Bakeries 16,400 805,650
Morningstar Group Incorporated* 20,200 396,425
1,605,275
Hardware & Tools (1.2%)
Eagle Hardware & Garden* 37,200 771,900
Holding Company (2.2%)
Berkshire Hathaway, Incorporated* 32 1,091,200
SPS Technologies, Incorporated* 3,000 192,750
U.S. Industries, Incorporated* 5,600 192,500
1,476,450
Hotels & Motels (0.5%)
Doubletree Corporation* 3,841 172,845
Marcus Corporation 8,700 184,875
357,720
Household Products (1.1%)
Blyth Industries, Incorporated 7,900 360,437
Kimball International, Incorporated 5,300 219,288
National Preso Industry, Incorporated 4,300 160,713
740,438
Human Resources (0.6%)
Robert Half International Incorporated* 11,600 398,750
Insurance (7.7%)
AMBAC, Incorporated 5,900 391,612
American Bankers Insurance Group, Incorporated 6,100 311,862
CMAC Investment Corporation 14,800 543,900
HCC Insurance Holdings, Incorporated 15,250 366,000
Old Rep International Corporation 54,100 1,447,175
Orion Capital Corporation 3,000 183,375
PMI Group, Incorporated 10,400 575,900
Progressive Company 18,800 1,266,650
5,086,474
- --------------------------------------------------------------------------------
See notes to financial statements
<PAGE>
ACCESSOR FUNDS, INC.
Small to Mid Cap Portfolio
Schedule of Investments
December 31, 1996
(Continued)
Description Shares Value
COMMON STOCK (Continued)
Machinery (1.6%)
Chips & Technology Incorporated* 31,000 $ 565,750
DT Industries Incorporated 14,300 500,500
1,066,250
Managed Care (0.7%)
Hillenbrand Industries 8,800 319,000
Novacare Incorporated* 14,800 162,800
481,800
Media (1.9%)
Omnicom Group 27,000 1,235,250
Medical Equipment & Supplies (4.2%)
Bergen Brunswig Corporation 26,100 743,850
Collagen Corporation 7,100 129,575
Rotech Med Corporation* 3,000 63,000
Universal Health Services, Incorporated* 45,800 1,311,025
Watson Pharmaceuticals, Incorporated* 11,500 516,781
2,764,231
Metals (2.1%)
Castle A M & Company 14,412 277,431
Handy & Harman 20,900 365,750
Kaydon Corporation 5,600 263,900
NCI Building Systems Incorporated* 12,800 441,600
1,348,681
Office Equipment & Supplies (3.0%)
Hon Industries, Incorporated 5,000 165,000
Miller Herman, Incorporated 4,500 254,813
Remedy Corporation* 24,700 1,327,625
Standard Register Company 7,800 253,500
2,000,938
Oil & Gas (6.9%)
Global Marine Incorporated* 31,800 655,875
KCS Energy, Incorporated 3,700 132,275
KN Energy, Incorporated 7,742 303,874
National Fuel Gas Company 33,800 1,394,250
Newfield Exploration* 6,000 156,000
Newpark Resources, Incorporated* 11,095 413,289
Parker & Parsley Petroleum 13,300 488,775
Tesoro Petroleum Corporation* 7,200 100,800
Tosco Corporation 6,700 530,137
Washington Gas 17,300 391,412
4,566,687
- --------------------------------------------------------------------------------
See notes to financial statements
<PAGE>
ACCESSOR FUNDS, INC.
Small to Mid Cap Portfolio
Schedule of Investments
December 31, 1996
(Continued)
Description Shares Value
COMMON STOCK (Continued)
Other Durable Goods (0.3%)
Apogee Enterprises, Incorporated 5,400 $ 214,650
Paper & Forest Products (1.3%)
Fort Howard Company* 22,500 622,969
Paragon Trade Brands Incorporated* 6,800 204,000
826,969
Printing & Publishing (1.4%)
Central Newspapers 13,200 577,500
Pulitzer Publishing Company 7,700 357,087
934,587
Railroads (1.0%)
GATX Corporation 13,300 645,050
Real Estate (0.7%)
Horizon Group, Incorporated 24,600 488,925
Recreational Equipment (0.2%)
Callaway Golf Company 3,500 100,625
Retail - Grocery (1.5%)
Safeway, Incorporated* 22,400 957,600
Retail - Trade (3.8%)
Claire's Stores, Incorporated 42,400 551,200
Daisytek International Corporation* 4,100 168,100
Ross Stores Incorporated 18,700 935,000
Russ Berrie & Company, Incorporated 17,500 315,000
Tiffany & Company 2,000 73,250
Zale Corporation* 24,800 474,300
2,516,850
Technology (0.3%)
International Game Technology 11,200 204,400
- --------------------------------------------------------------------------------
See notes to financial statements.
<PAGE>
ACCESSOR FUNDS, INC.
Small to Mid Cap Portfolio
Schedule of Investments
December 31, 1996
(Concluded)
Description Shares Value
COMMON STOCK (Continued)
Telecommunications (2.8%)
Aliant Communications 10,400 $ 176,800
Cincinnati Bell Incorporated 5,500 338,937
DSP Communications, Incorporated* 24,400 472,750
Frontier Corporation 20,100 454,763
Periphonics Company* 9,800 286,650
Telephone & Data Systems, Incorporated 3,600 130,500
1,860,400
Tobacco (1.1%)
Universal Corporation 21,700 697,112
Transportation (0.9%)
Amerco* 2,700 94,500
Seacor Holdings, Incorporated* 3,400 214,200
Varlen Corporation 12,655 260,218
568,918
TOTAL COMMON STOCK (Identified Cost $53,770,697) 63,061,872
SHORT-TERM INVESTMENTS (4.5%) Interest Maturity Principal
Rate(1) Date Amount
United States Treasury Bills
(Identified Cost $2,996,681) 5.32 % 01/09/97 $3,000,000 2,996,681
TOTAL INVESTMENTS (100.0%) (Identified Cost $56,767,378) $66,058,553
- --------------------------------------
* Non-income producing security.
(1) Yield at time of purchase.
- --------------------------------------------------------------------------------
See notes to financial statements.
<PAGE>
ACCESSOR FUNDS, INC.
International Equity Portfolio
Schedule of Investments
December 31, 1996
Description Shares Value
COMMON STOCK (92.0%)
Argentina (0.4%)
Perez Comanc ADR 19,200 $ 269,998
Australia (3.2%)
Australian Gas & Light Company 2,431 13,824
Australia & New Zealand Bank 81,000 510,173
Memtec Limited ADR 19,800 650,925
Westpac 105,000 597,121
Westfield Holdings 34,000 550,895
2,322,938
Belgium (1.7%)
Banque Bruxelles Lambert (BBL) 2,800 593,241
Barco N. V. (Barco Industries) 3,700 638,322
1,231,563
Brazil (1.7%)
Lojas Arapua 52,600 971,924
TV Filme Inc.* 23,300 297,075
1,268,999
Chile (0.4%)
Laboratorio Chile SA 19,200 316,800
Denmark (1.0%)
Novo Nordisk B Ordinary 3,700 696,231
Finland (2.4%)
Kemira OY 144A 39,000 490,778
Nokia Corporation 13,000 749,125
Raision Tehtaat 8,400 528,530
1,768,433
France (6.0%)
Cap Gemini* 13,500 651,533
Cie Fin Paribas FF50 'A' Shares 8,300 560,226
Coflexip SA * 12,500 661,218
Groupe AB ADR* 40,000 575,000
Lagardere SCA 30,425 833,379
Sidel 9,200 631,769
Union Des Assurances Fedfrf 4,000 492,427
4,405,552
Germany (6.7%)
BASF AG 19,000 727,398
Daimler Benz AG DEM5 10,000 684,572
Deutsche Telecom AG* 40,000 833,166
Deutsche Telecom AG ADR* 5,000 101,875
Fresenius Medical ADR* 18,000 465,750
Fresenius* 2,600 523,000
Gehe 7,250 465,030
SGL Carbon AG (2) 4,600 579,362
Volkswagen AG 1,300 537,762
4,917,915
- --------------------------------------------------------------------------------
See notes to financial statements.
<PAGE>
ACCESSOR FUNDS, INC.
International Equity Portfolio
Schedule of Investments
December 31, 1996
(Continued)
Description Shares Value
COMMON STOCK (Continued)
Great Britain (10.7%)
British Aerospace 49,000 $1,073,328
British Airways 60,000 621,715
Dixons Group 49,961 463,832
Enterprise Oil 80,000 887,823
Granada Group 22,000 324,343
Kingfisher 45,000 486,309
Next, PLC 53,000 514,716
Pearson 75,000 958,756
Pizza Express 59,900 540,724
Rolls Royce 140,000 616,924
Siebe 457 8,462
Victrex 61,000 280,285
WPP Group 245,000 1,064,942
7,842,159
Hong Kong (5.9%)
Cheung Kong, Limited 84,000 746,607
Citic Pacific 100,000 580,479
Guangdong Investments, Limited 1,278,000 1,230,912
Hong Kong & China Gas Warrants Expiring 9/30/97* 13,100 7,282
Hong Kong & China Gas Company 157,200 303,832
HSBC Holdings 35,200 753,148
Hutchison Whampoa 42,000 329,864
Qingling Motors 663,000 366,429
4,318,553
India (0.8%)
Larsen & Toubro, Ltd. 10,000 145,000
St Bank of India* (2) 15,000 260,550
Tata Engineering ADR (2) 16,000 173,600
579,150
Indonesia (0.6%)
PT Telekomunikasi ADR 9,500 327,750
PT Tigaraksa Satria 36,000 50,286
PT Wicaksana O 37,000 42,286
420,322
Ireland (1.2%)
Saville System PL ADR* 22,800 926,250
Israel (0.5%)
Gilat Satellite* 12,000 298,500
Nice Sys Ltd ADR 4,400 79,200
377,700
Italy (2.5%)
CN Eni Spa 148,000 757,764
Stet 160,000 726,077
Telecom Italia 139,400 361,221
1,845,062
- --------------------------------------------------------------------------------
See notes to financial statements
<PAGE>
ACCESSOR FUNDS, INC.
International Equity Portfolio
Schedule of Investments
December 31, 1996
(Continued)
Description Shares Value
COMMON STOCK (Continued)
Japan (24.2%)
Advantest 14,000 $ 654,950
Bridgestone 43,000 815,025
Canon 36,000 794,004
Daiichi Corporation 14,900 300,388
Fuji Photo Film 21,000 691,134
Fujikura 85,000 679,590
Futaba Industrial 13,000 216,163
Hirose Electric 11,000 635,909
Honda Motor Company 26,000 741,449
Konami Company Limited 22,000 748,686
Minebea Company 80,000 667,184
NEC Corporation 80,000 964,935
NGK Spark Plub Company 55,000 601,792
Nichiei Company Limited 12,000 879,814
Nintendo Company 15,000 1,071,336
Promise Company 20,000 982,166
Sharp 35,000 497,545
Shin Etsu Chem Company 34,000 618,075
Sony Corporation 13,000 850,090
TDK Corporation 15,000 975,704
Takeda Chemical Ind 40,000 837,426
Terumo Corporation 83,000 1,122,685
Tokyo Electronics 15,000 458,775
Toyota Motor 30,000 860,687
17,665,512
Korea (0.5%)
Korea Mobile Telecom Corporation ADR* 28,325 364,684
Malaysia (2.0%)
Hume Industries 28,000 176,282
Jaya Tiasa Holdings 17,000 90,200
Kian Joo Can 70,000 388,041
Malayan Banking 23,000 254,998
Metroplex BHD 175,000 214,808
Oly Industries 27,300 286,457
1,410,786
Mexico (1.4%)
Gruma S.A 43,300 262,923
Grupo Iusacell SA DE CV* 14,200 108,275
Tubos De Acero ADR* 41,700 661,988
1,033,186
- --------------------------------------------------------------------------------
See notes to financial statements.
<PAGE>
ACCESSOR FUNDS, INC.
International Equity Portfolio
Schedule of Investments
December 31, 1996
(Continued)
Description Shares Value
COMMON STOCK (Continued)
Netherlands (5.7%)
ASM Lithography Holding* 15,000 $ 748,380
Aegon NV 9,800 623,783
Baan Company N 15,200 534,278
Gucci Group ADR 7,600 485,450
IHC Caland NV 8,200 467,898
Ing Groep NV 18,000 647,266
Internatio Muller NV 6,708 168,307
OCE Van Der GR 4,038 437,945
4,113,307
New Zealand (0.7%)
Telecommunications Corporation of New Zealand* 96,000 489,714
Norway (2.3%)
A/S Tomra Systems 35,000 545,387
Petroleum Geo-Services* 16,000 624,000
Schibsted ASA 27,000 496,838
1,666,225
Philippines (0.1%)
Filinvest Land 112,000 34,920
Portugal (1.0%)
Portugal Telecom 23,200 660,509
Singapore (1.1%)
Far East Levin 65,000 339,215
Lindeteves Jacoberg* 425,000 398,014
United Overseas Bank 280 3,123
740,352
South Africa (0.6%)
Liberty Life 11,118 278,684
Western Areas 14,139 194,969
473,653
Spain (0.7%)
Telefonica De Espana 22,000 509,936
Sweden (1.4%)
Autoliv AB 12,000 525,481
Sparbanken Sverige 30,000 514,058
1,039,539
Switzerland (2.5%)
Sandoz 805 919,078
Schweiz Rueckvers 400 425,703
Societe Generale Survei Common 200 490,050
1,834,831
Taiwan (0.8%)
ASE Test Ltd* 17,000 331,500
China Steel Co - GDR 12,500 249,063
580,563
- --------------------------------------------------------------------------------
See notes to financial statements.
<PAGE>
ACCESSOR FUNDS, INC.
International Equity Portfolio
Schedule of Investments
December 31, 1996
(Concluded)
Description Shares Value
COMMON STOCK (Continued)
Thailand (0.3%)
Thai Farmers Warrants* 3,125 $ 2,956
Tipco Asphalt 36,000 219,032
221,988
USSR (0.3%)
Oil Company Lukoil ADR 4,600 213,900
Venezuela (0.7%)
Compania Anonima Telefonica* 5,750 161,719
Mavesa SA Sponsored ADR 46,155 309,049
470,768
TOTAL COMMON STOCK (Identified Cost $58,760,993) 67,031,998
Interest Maturity Principal
SHORT-TERM INVESTMENTS (8.0%) Rate(1) Date Amount
Commercial Paper
American Express 6.55 % 01/02/97 $2,438,000 2,437,556
Merrill Lynch 6.50 % 01/02/97 3,390,000 3,389,388
TOTAL SHORT-TERM INVESTMENTS (Identified Cost $5,826,944) 5,826,944
TOTAL INVESTMENTS (100.0%) (Identified Cost $64,587,937) $72,858,942
- -------------------------------
* Non-income producting security.
(1) Yield at time of purchase.
(2) Represents a security under Rule 144A.
- --------------------------------------------------------------------------------
See notes to financial statements.
<PAGE>
ACCESSOR FUNDS, INC.
Intermediate Fixed-Income Portfolio
Schedule of Investments
December 31, 1996
Interest Maturity Principal
Description Rate Date Amount Value
COLLATERALIZED MORTGAGE OBLIGATIONS (3.3%)
Collateralized Mortgage Securities
Corporation 9.45 % 02/01/17 $621,491 $671,982
Ford Credit Auto Loan 6.50 % 08/15/02 500,000 502,185
Ford Credit Grantor Trust 5.90 % 05/15/00 184,340 184,791
Standard Credit Card Master Trust,
Series 1995-8A 6.70 % 09/07/02 300,000 303,168
TOTAL COLLATERALIZED MORTGAGE OBLIGATIONS
(Identified Cost $1,671,002) 1,662,126
CORPORATE BONDS (31.4%)
Consumer Goods (2.0%)
Coca Cola Enterprises 6.70 % 10/15/36 1,000,000 1,008,512
Electric Utilities (4.1%)
Big River Utility Company 10.70 % 09/15/17 1,000,000 1,084,153
Israel Electric Corporation 7.25 % 12/15/06 1,000,000 995,068
2,079,221
Financial (17.1%)
Chem 96-2A 5.98 % 09/15/08 2,000,000 1,897,960
Countrywide Capital I Trups 8.00 % 12/15/26 1,000,000 997,662
Federal Home Loan Mortgage Loan
Corporation 7.13 % 07/21/99 500,000 511,901
Federal National Mortgage
Association 6.17 % 12/02/03 500,000 484,166
GE Insurance 7.00 % 02/15/26 1,500,000 1,442,658
Credit National 7.00 % 11/14/05 1,000,000 972,500
Merrill Lynch Mortgage
Investments 8.15 % 07/15/17 100,000 104,889
Midland Bank PLC 6.12 % 09/29/49 200,000 177,000
Standard Credit Card Master
Trust Series 8.63 % 01/07/02 1,000,000 1,000,590
World Financial Network Credit
Card Master Trust 6.70 % 02/15/04 1,000,000 1,012,000
8,601,326
Industrial (2.0%)
Bridgestone/Firestone Master
Trust 6.17 % 07/01/03 1,000,000 994,780
Telecommunications (6.2%)
Bellsouth Telecommunications 7.00 % 12/01/95 1,000,000 954,290
New England Telephone and
Telegraph 9.00 % 08/01/31 1,000,000 1,107,656
U.S. West Communications 8.88 % 06/01/31 1,000,000 1,084,988
3,146,934
TOTAL CORPORATE BONDS (Identified Cost $15,650,772) 15,830,773
- --------------------------------------------------------------------------------
See notes to financial statements.
<PAGE>
ACCESSOR FUNDS, INC.
Intermediate Fixed-Income Portfolio
Schedule of Investments
December 31, 1996
(Concluded)
Interest Maturity Principal
Description Rate(1) Date Amount Value
U.S. GOVERNMENT AND AGENCY SECURITIES (65.3%)
U.S. Treasury Bonds (29.6%)
United States Treasury Bond 6.38% 03/31/01 $4,800,000 $4,831,502
United States Treasury Bond 10.75% 05/15/03 3,800,000 4,675,189
United States Treasury Bond 12.38% 05/15/04 210,000 283,106
United States Treasury Bond 14.00% 11/15/11 500,000 768,907
United States Treasury Bond 12.50% 08/15/14 250,000 373,750
United States Treasury Bond 11.25% 02/15/15 535,000 789,961
United States Treasury Bond 8.50% 02/15/20 808,000 969,600
United States Treasury Bond 8.75% 08/15/20 1,800,000 2,216,250
14,908,265
U.S. Treasury Notes (34.8%)
United States Treasury Note 5.63% 10/31/97 3,020,000 3,013,395
United States Treasury Note 6.13% 03/31/98 465,000 466,017
United States Treasury Note 5.13% 06/30/98 1,420,000 1,404,470
United States Treasury Note 7.13% 09/30/99 5,675,000 5,829,292
United States Treasury Note 7.50% 10/31/99 1,000,000 1,037,188
United States Treasury Note 7.75% 12/31/99 770,000 805,131
United States Treasury Note 6.25% 02/15/03 4,000,000 3,996,252
United States Treasury Note 6.50% 10/15/06 1,000,000 1,005,625
17,557,370
Federal Home Loan Mortgage
Corporation (FHLMC) (0.9%)
FHLMC 5.78% 10/22/03 500,000 474,383
TOTAL U.S. GOVERNMENT AND AGENCY SECURITIES
(Identified Cost $32,514,028) 32,940,018
TOTAL INVESTMENTS (100.0%) (Identified Cost $49,835,802) $50,432,917
- --------------------------------------
(1) Yield at time of purchase.
- --------------------------------------------------------------------------------
See notes to financial statements.
<PAGE>
ACCESSOR FUNDS, INC.
Short-Intermediate Fixed-Income Portfolio
Schedule of Investments
December 31, 1996
Interest Maturity Principal
Description Rate Date Amount Value
CORPORATE BONDS (8.5%)
Banks (0.6%)
Norwest Corporation 9.250% 05/01/97 $210,000 $212,359
Consumer Goods (0.8%)
Anheuser Busch Companies 8.750% 12/01/99 270,000 286,285
Electric Utilities (1.2%)
Consolidated Edison Corporation 5.700% 10/01/98 225,000 223,142
Southern California Edison Company 5.450% 06/15/98 200,000 197,962
421,104
Financial (2.5%)
African Development Bank 10.000% 11/01/97 100,000 103,395
American General Finance Corporation 7.150% 05/15/97 100,000 100,535
Asian Development Bank 10.750% 06/01/97 100,000 102,014
Beneficial Corporation 9.125% 02/15/98 300,000 309,747
Export-Import Bank of Japan 10.125% 10/28/97 100,000 103,435
Mellon Financial Company 6.500% 12/01/97 200,000 200,996
920,122
Industrial (1.9%)
Baxter International Incorporated 9.250% 12/15/99 200,000 214,771
Chrysler Buildings Corporation 9.125% 05/01/99 250,000 262,947
Waste Management Incorporated 6.380% 07/01/97 200,000 200,715
678,433
Oil (1.2%)
Shell Oil Corporation 6.625% 07/01/99 250,000 252,133
Texaco Capital Corporation 9.000% 11/15/97 200,000 205,325
457,458
Telecommunications (0.3%)
GTE California Incorporated 6.250% 01/15/98 95,000 95,327
TOTAL CORPORATE BONDS (Identified Cost $3,079,814) 3,071,088
FOREIGN GOVERNMENT ISSUES (1.8%)
Canadian Issues (0.8%)
Province of Manitoba,
Series CJ 9.500% 10/01/00 300,000 330,261
United Nations Issues (1.0%)
International Bank for
Reconstruction and Development 9.875% 10/01/97 300,000 308,920
TOTAL FOREIGN GOVERNMENT ISSUES (Identified Cost $642,918) 639,181
<PAGE>
Short-Intermediate Fixed-Income Portfolio
Schedule of Investments
December 31, 1996
(Continued)
Interest Maturity Principal
Description Rate Date Amount Value
U.S. GOVERNMENT AND AGENCY SECURITIES (89.7%)
U.S. Treasury Bonds (9.2%)
United States Treasury Bond 6.750% 05/31/99 $ 1,000,000 $ 1,016,875
United States Treasury Bond 6.875% 07/31/99 1,000,000 1,020,313
United States Treasury Bond 6.375% 03/31/01 1,285,000 1,293,433
3,330,621
U.S. Treasury Notes (73.5%)
United States Treasury Note 8.500% 05/15/97 100,000 101,000
United States Treasury Note 8.125% 02/15/98 400,000 409,125
United States Treasury Note 5.125% 04/30/98 400,000 395,875
United States Treasury Note 9.000% 05/15/98 300,000 311,907
United States Treasury Note 5.375% 05/31/98 3,700,000 3,672,250
United States Treasury Note 8.250% 07/15/98 1,275,000 1,318,031
United States Treasury Note 5.875% 08/15/98 400,000 399,500
United States Treasury Note 4.750% 08/31/98 2,000,000 1,963,126
United States Treasury Note 5.500% 11/15/98 4,400,000 4,367,000
United States Treasury Note 6.000% 08/15/99 150,000 149,953
United States Treasury Note 8.000% 08/15/99 1,970,000 2,062,960
United States Treasury Note 6.000% 10/15/99 565,000 565,000
United States Treasury Note 5.875% 11/15/99 565,000 562,705
United States Treasury Note 7.750% 01/31/00 700,000 732,594
United States Treasury Note 7.125% 02/29/00 3,000,000 3,088,125
United States Treasury Note 5.750% 10/31/00 1,590,000 1,569,131
United States Treasury Note 5.625% 11/30/00 1,000,000 981,875
United States Treasury Note 5.625% 02/28/01 500,000 490,157
United States Treasury Note 6.250% 04/30/01 1,000,000 1,002,188
United States Treasury Note 6.625% 06/30/01 1,000,000 1,015,938
United States Treasury Note 7.500% 11/15/01 1,400,000 1,473,938
26,632,378
U.S. Treasury Bills (2.4%)
United States Treasury Bill 5.070% 04/10/97 25,000 24,656
United States Treasury Bill 5.100% 04/17/97 862,000 849,358
874,014
Government National Mortgage
Association (GNMA) (0.8%)
GNMA 7.000% 02/15/08 293,064 295,436
Federal Home Loan Mortgage
Corporation (FHLMC) (3.8%)
FHLMC 8.500% 02/01/06 7,940 8,269
FHLMC 8.500% 08/01/06 175,966 183,266
FHLMC 8.500% 08/01/06 9,516 9,911
FHLMC 8.500% 01/01/08 323,584 329,188
- --------------------------------------------------------------------------------
See notes to financial statements.
<PAGE>
ACCESSOR FUNDS, INC.
Short-Intermediate Fixed-Income Portfolio
Schedule of Investments
December 31, 1996
(Concluded)
Interest Maturity Principal
Description Rate Date Amount Value
U.S. GOVERNMENT AND AGENCY SECURITIES (Continued)
Federal Home Loan Mortgage Corporation (FHLMC) (Continued)
FHLMC 7.500% 03/25/97 $ 30,472 $ 30,415
FHLMC 7.000% 11/01/07 91,450 91,887
FHLMC 7.000% 12/01/08 251,486 252,767
FHLMC 7.000% 07/01/11 482,388 482,021
1,387,724
TOTAL U.S. GOVERNMENT AND AGENCY SECURITIES
(Identified Cost $32,530,627) 32,520,173
TOTAL INVESTMENTS (100.0%) (Identified Cost $36,253,359) $36,230,442
- --------------------------------------------------------------------------------
See notes to financial statements.
<PAGE>
ACCESSOR FUNDS, INC.
Mortgage Securities Portfolio
Schedule of Investments
December 31, 1996
Interest Maturity Principal
Description Rate Date Amount Value
COMMERCIAL MORTGAGE-BACKED SECURITIES (6.9%)
Green Tree Home Improvement
Loan Trust-GTHIL 1994-D(1) 9.050% 01/15/15 $1,000,000 $1,083,125
Merrill Lynch Mortgage Investors,
Incorporated-MLMI 1992-B 7.850% 04/15/12 182,224 185,721
Paine Webber Mortgage Acceptance
Corporation 1995-M1A 6.700% 01/15/07 1,000,000 998,210
Rural Housing Trust 1987-1 -
Rural 2C 6.830% 04/01/26 1,076,858 1,078,541
Small Business Administration
Participation Certificates 7.200% 09/01/16 1,250,000 1,290,625
Small Business Administration
Participation Certificates 7.200% 10/01/16 600,000 603,562
Structured Asset Securities
Corporation 6.525% 02/25/28 849,656 830,123
TOTAL COMMERCIAL MORTGAGE-BACKED SECURITIES
(Identified Cost $6,026,642) 6,069,907
U.S. GOVERNMENT AND AGENCY BONDS (78.5%)
U.S. Treasury Notes (1.1%)
United States Treasury Note 6.500% 10/15/06 1,000,000 1,005,625
Government National Mortgage
Association (GNMA) (41.8%)
GNMA 30 Year TBA 7.500 % 01/21/97 15,000,000 15,009,375
GNMA Pool 000571 8.200 % 05/15/13 46,987 48,010
GNMA Pool 000572 8.200 % 06/15/12 35,919 36,705
GNMA Pool 346746 7.000 % 09/15/23 593,535 583,326
GNMA Pool 350479 7.000 % 05/15/23 29,558 29,050
GNMA Pool 352001 6.500 % 12/15/23 490,917 471,305
GNMA Pool 355616 7.500 % 05/15/23 3,358,986 3,373,698
GNMA Pool 357333 7.000 % 09/15/23 77,745 76,408
GNMA Pool 358578 7.000 % 06/15/23 72,833 71,580
GNMA Pool 366002 8.500 % 08/15/26 1,002,760 1,038,484
GNMA Pool 410341 8.500 % 05/15/26 91,675 94,941
GNMA Pool 412636 8.500 % 07/15/26 590,563 611,602
GNMA Pool 415347 8.500 % 08/15/26 469,891 486,631
GNMA Pool 415503 8.500 % 08/15/26 484,795 502,065
GNMA Pool 420082 8.500 % 08/15/26 812,737 841,691
GNMA Pool 422073 8.000 % 12/15/26 920,730 939,145
GNMA Pool 423287 8.000 % 02/15/26 45,469 46,379
GNMA Pool 423700 8.000 % 12/01/26 43,799 44,675
(1) Security has been segregated with the custodian to cover margin
requirements for the following open future contracts at December 31,
1996:
Unrealized
Appreciation/
Type Expiration Contracts (Depreciation)
March 5 Year Note Future 03/21/97 25 $ (9,897)
March 10 Year Note Future 03/21/97 50 (11,200)
March 30 Year Note Future 03/21/97 30 16,718
- --------------------------------------------------------------------------------
See notes to financial statements.
<PAGE>
ACCESSOR FUNDS, INC.
Mortgage Securities Portfolio
Schedule of Investments
December 31, 1996
(Continued)
Interest Maturity Principal
Description Rate Date Amount Value
U.S. GOVERNMENT AND AGENCY BONDS (Continued)
Government National Mortgage
Association (GNMA) (Continued)
GNMA Pool 423962 8.500 % 08/15/26 $ 488,653 $ 506,061
GNMA Pool 424761 8.500 % 08/15/26 493,812 511,404
GNMA Pool 426659 8.500 % 08/15/26 46,909 48,580
GNMA Pool 427080 8.500 % 09/01/26 508,985 527,117
GNMA Pool 427329 8.500 % 06/15/26 333,736 345,625
GNMA Pool 428542 8.500 % 08/15/26 272,734 282,450
GNMA Pool 429144 8.500 % 06/15/26 375,839 389,229
GNMA Pool 430373 8.500 % 07/15/26 384,081 397,764
GNMA Pool 430989 8.500 % 07/15/26 90,487 93,711
GNMA Pool 431959 8.500 % 08/15/26 980,473 1,015,402
GNMA Pool 432755 8.500 % 07/15/26 414,183 428,939
GNMA Pool 432874 8.500 % 06/15/26 412,723 427,426
GNMA Pool 432903 8.500 % 07/15/26 557,282 577,136
GNMA Pool 433172 8.500 % 08/15/26 463,669 480,187
GNMA Pool 435133 8.500 % 08/15/26 75,525 78,215
GNMA Pool 435641 8.500 % 08/15/26 999,627 1,035,239
GNMA Pool 435643 8.500 % 08/15/26 379,000 392,502
GNMA Pool 437534 8.500 % 08/15/26 565,548 585,696
GNMA Pool 437541 8.500 % 08/15/26 39,451 40,895
GNMA Pool 438226 8.500 % 07/15/26 35,734 37,043
GNMA Pool 438965 8.500 % 08/15/26 454,944 471,604
GNMA Pool 171468 8.000 % 08/15/16 215,304 223,056
GNMA Pool 175724 8.000 % 08/15/16 177,515 183,905
GNMA Pool 178457 8.000 % 03/15/17 150,412 155,817
GNMA Pool 206448 7.500 % 02/15/17 264,416 268,033
GNMA Pool 206767 8.000 % 04/15/17 89,863 93,093
GNMA Pool 210594 7.500 % 06/15/17 335,558 340,148
GNMA Pool 215797 7.500 % 06/15/17 238,159 241,417
GNMA Pool 317527 8.000 % 02/15/22 489,835 503,394
GNMA Pool 337339 7.000 % 07/15/23 814,195 800,191
GNMA Pool 339659 7.000 % 07/15/23 255,903 251,502
GNMA 30 Year TBA 7.250 % 12/15/26 658,450 656,804
36,694,655
- --------------------------------------------------------------------------------
See notes to financial statements.
<PAGE>
ACCESSOR FUNDS, INC.
Mortgage Securities Portfolio
Schedule of Investments
December 31, 1996
(Continued)
Interest Maturity Principal
Description Rate Date Amount Value
U.S. GOVERNMENT AND AGENCY BONDS (Continued)
Corporation (FHLMC) (32.0%)
Federal Home Loan Mortgage
Community Program Loan Trust -
1987-A A4 4.500 % 10/01/18 $1,800,000 $1,539,990
Federal Housing Authority -
Blair Project 10.875 % 08/01/28 155,839 165,238
FHA GMAC Project 7.430 % 02/01/20 695,167 702,079
FGLMC - D71056 7.500 % 05/01/26 736,493 737,612
FGLMC - D71143 7.000 % 05/01/26 596,825 587,628
FGLMC - D71945 7.500 % 06/01/26 1,004,617 1,006,636
FGLMC - D72386 7.500 % 06/01/26 78,934 79,054
FGLMC - D72443 7.500 % 06/01/26 278 278
FHLMC - D73468 8.000 % 08/01/26 3,500,001 3,569,125
FHLMC - D76563 7.000 % 12/01/26 329,000 322,920
FGLMC - D63271 7.000 % 09/01/25 223,489 219,428
FGLMC - D64731 7.000 % 10/01/25 953,880 939,181
FGLMC - D65112 7.000 % 11/01/25 479,103 470,397
FGLMC - D65259 7.000 % 11/01/25 208,514 204,725
FGLMC - D65424 7.000 % 11/01/25 551,686 541,662
FGLMC - D65828 7.000 % 12/01/25 635,303 623,760
FGLMC - D06340 7.000 % 12/01/25 387,432 380,393
FGLMC - D66349 7.000 % 12/01/25 166,809 163,778
FGLMC - D66459 7.000 % 12/01/25 524,629 515,097
FGLMC - D66671 7.000 % 12/01/25 224,431 220,353
FGLMC - D67991 7.000 % 02/01/26 1,978,073 1,954,494
FHLMC - E61175 6.500 % 08/01/10 220,793 217,216
FHLMC - E61205 6.500 % 09/01/10 44,192 43,477
FHLMC - E61287 6.500 % 09/01/10 92,626 91,125
FHLMC - E61583 6.500 % 10/01/10 468,084 460,501
FHLMC - E61633 6.500 % 11/01/10 394,956 388,557
FHLMC - E61643 6.500 % 10/01/10 458,824 451,391
FHLMC - E62414 6.500 % 01/01/11 466,409 458,853
FHLMC - E62838 6.500 % 01/01/11 301,037 296,160
FHLMC - E63081 6.500 % 02/01/11 406,270 399,689
FHLMC - E63109 6.500 % 03/01/11 94,141 92,501
FHLMC - E63322 6.500 % 03/01/11 197,680 194,236
FHLMC - E63465 6.500 % 03/01/11 90,992 89,407
FHLMC - E63553 6.500 % 03/01/11 95,709 94,159
FHLMC - E63648 6.500 % 04/01/11 70,706 69,475
FHLMC - E63760 6.500 % 04/01/11 47,269 46,445
FHLMC - E63833 6.500 % 04/01/11 402,976 395,956
FHLMC - E63846 6.500 % 04/01/11 346,325 340,715
FHLMC - E63924 6.500 % 04/01/11 381,109 374,935
FHLMC - E63930 6.500 % 04/01/11 158,387 155,628
- --------------------------------------------------------------------------------
See notes to financial statements.
<PAGE>
ACCESSOR FUNDS, INC.
Mortgage Securities Portfolio
Schedule of Investments
December 31, 1996
(Concluded)
Interest Maturity Principal
Description Rate Date Amount Value
U.S. GOVERNMENT AND AGENCY BONDS (Continued)
Federal Home Loan Mortgage
Corporation (FHLMC) (Continued)
FGLMC - C00262 7.000 % 10/01/23 $ 3,120,573 $ 3,075,512
FGLMC - C00418 7.000 % 08/01/25 127,106 124,796
FHLMC - E00397 6.500 % 10/01/10 273,779 269,343
FHLMC - A00892 9.000 % 09/01/18 490,696 524,637
FGLMC - A01598 7.000 % 05/01/16 395,987 399,455
FHLMC - C80335 7.000 % 08/01/25 330,465 324,460
FGLMC - D80357 7.000 % 11/01/25 120,193 118,009
FHLMC - E20190 6.500 % 08/01/10 476,045 468,333
FHLMC - E20193 6.500 % 09/01/10 461,772 454,292
FHLMC - 230105 8.750 % 12/01/14 40,549 42,470
FHARM FH30 - 420167 6.069 % 06/01/20 977,652 972,324
FHARM FH30 - 390153 6.069 % 11/01/18 563,680 560,552
FHARM FH30 - 390155 6.069 % 12/01/18 315,328 313,594
FHARM FH30 - 390177 6.069 % 02/01/19 99,412 98,865
FLGMC - D54041 7.000 % 06/01/24 698,574 687,809
-----------
28,038,705
Federal National Mortgage
Association (FNMA) (3.6%)
FNMA - 50726 7.000 % 05/01/23 682,250 670,502
FNMA - 50930 7.000 % 01/01/23 982,149 965,236
FNMA - 286529 8.250 % 04/01/01 588,268 603,986
FNMA - 303751 8.000 % 10/01/09 465,479 480,998
FNMA - 303752 8.000 % 05/01/22 285,422 295,189
GMAC Mortgage Securities
Incorporated 8.950 % 08/20/17 120,908 120,532
-----------
3,136,443
TOTAL U.S. GOVERNMENT AND
AGENCY BONDS (Idenified Cost $68,416,619) 68,875,428
SHORT-TERM INVESTMENTS (14.6%)
Federal Home Loan Bank Discount Note
(Identified Cost $12,798,222) 5.260 % 01/02/97 12,800,000 12,798,222
TOTAL INVESTMENTS (100.0%) (Identified Cost $87,241,483) $87,743,557
- --------------------------------------------------------------------------------
See notes to financial statements.
<PAGE>
ACCESSOR FUNDS, INC.
U.S. Government Money Portfolio
Schedule of Investments
December 31, 1996
Interest Maturity Principal
Description Date Date Amount Value
U.S. GOVERNMENT AND AGENCY BONDS (87.0%)
U.S. Treasury Bills (25.8%)
United States Treasury Bill 4.74 % 01/09/97 $2,000,000 $1,997,631
United States Treasury Bill 4.90 % 01/16/97 5,000,000 4,989,145
United States Treasury Bill 5.27 % 03/13/97 5,000,000 4,947,835
United States Treasury Bill 5.54 % 05/29/97 2,000,000 1,955,189
United States Treasury Bill 5.57 % 06/26/97 2,000,000 1,946,662
----------
15,836,462
Federal Home Loan Mortgage
Corporation (FHLMC) (20.9%)
FHLMC, Discount Note 5.15 % 03/21/97 5,000,000 4,884,840
FHLMC, Discount Note 5.16 % 01/29/97 5,000,000 4,979,934
Federal Home Loan Bank Discount 5.36 % 02/10/97 3,000,000 2,982,133
---------
12,846,907
Federal National Mortgage
Association (FNMA) (40.3%)
FNMA, Discount Note 5.32 % 03/21/97 5,000,000 4,941,628
FNMA, Discount Note 5.20 % 04/07/97 5,000,000 4,930,667
FNMA, Discount Note 5.20 % 04/16/97 5,000,000 4,924,166
FNMA, Discount Note 5.16 % 05/09/97 5,000,000 4,908,267
FNMA, Discount Note 5.19 % 02/04/97 5,000,000 4,975,491
---------
24,680,219
TOTAL U.S. GOVERNMENT AND AGENCY BONDS 53,363,588
(Identified Cost $53,363,588)
CASH EQUIVALENTS (13.0%)
Repurchase Agreements
Fifth Third Bank Repurchase
Agreement, (collateralized
by 7,807,000 U.S. Treasury
Notes, 7.50%, 10/31/99,
market value $8,139,969) 5.55 % 01/02/97 7,964,000 7,964,000
---------
TOTAL INVESTMENTS (100.0%) (Identified Cost $61,327,588) $61,327,588
- --------------------------------------------------------------------------------
See notes to financial statements.
<PAGE>
<TABLE>
ACCESSOR FUNDS, INC
STATEMENTS OF ASSETS AND LIABILITIES
DECEMBER 31, 1996
<CAPTION>
INTER- SHORT- U.S.
VALUE AND SMALL TO NATIONAL INTERMEDIATE INTERMEDIAT MORTGAGE GOVERNMENT
GROWTH INCOME MID CAP EQUITY FIXED-INCOME FIXED-INCOME SECURITIES MONEY
PORTFOLIO PORTFOLIO PORTFOLIO PORTFOLIO PORTFOLIO PORTFOLIO PORTFOLIO PORTFOLIO
<S> <C> <C> <C> <C> <C> <C> <C> <C>
ASSETS:
Investments, at value(1)
(Note A) $61,212,026 $35,739,814 $66,058,553 $72,858,942 $50,432,917 $36,230,442 $87,743,557 $53,363,588
Repurchase agreements,
at cost -- 597,021 -- -- -- -- -- 7,964,000
----------- ----------- ----------- ----------- ----------- ----------- ----------- -----------
61,212,026 36,336,835 66,058,553 72,858,942 50,432,917 36,230,442 87,743,557 61,327,588
Cash -- -- -- -- 401,846 3,113 33,514 --
Foreign currencies,
at value (Note A) -- -- -- 826,549 -- -- -- --
Receivable for investments
sold -- -- -- 2,517,213 -- -- 43,167 --
Receivable for portfolio
shares sold 35,053 54,154 69,575 24,448 703,583 4,913 682,299 400,192
Dividends and interest
receivable 125,155 58,095 74,015 101,443 796,673 519,630 699,414 1,228
Deferred organizational and
prepaid expenses 12,190 11,906 12,052 40,805 3,920 3,386 5,841 4,332
----------- ----------- ----------- ----------- ----------- ----------- ----------- -----------
TOTAL ASSETS 61,384,424 36,460,990 66,214,195 76,369,400 52,338,939 36,761,484 89,207,792 61,733,340
=========== =========== =========== =========== =========== =========== =========== ===========
LIABILITIES:
Cash overdraft 684,606 -- 556,843 10,104 -- -- -- 918
Distributions payable -- -- -- -- -- -- -- 9,179
Payable for investments
purchased -- -- -- 3,141,244 -- -- 15,159,969 --
Payable for portfolio
shares repurchased 2,576 11,386 71,456 1,963 19,680 -- 16,897 1,900
Payable due to Bennington
(Note B) 23,299 14,206 32,768 29,966 15,765 11,119 22,459 13,591
Money Manager fee payable
(Note B) 48,003 24,376 31,467 73,785 19,584 15,904 40,300 --
Accrued expenses and other
liabilities 40,166 44,048 42,825 92,958 36,175 33,942 105,779 35,822
----------- ----------- ----------- ----------- ----------- ----------- ----------- -----------
TOTAL LIABILITIES 798,650 94,016 735,359 3,350,020 91,204 60,965 15,345,404 61,410
----------- ----------- ----------- ----------- ----------- ----------- ----------- -----------
NET ASSETS $60,585,774 $36,366,974 $65,478,836 $73,019,380 $52,247,735 $36,700,519 $73,862,388 $61,671,930
=========== =========== =========== =========== =========== =========== =========== ===========
NET ASSETS CONSIST OF:
Capital paid-in $48,379,425 $29,133,202 $53,662,157 $64,648,612 $53,078,795 $36,777,468 $73,768,125 $61,671,743
Net unrealized appreciation
(depreciation) of invest-
ments, receivables, pay-
ables, futures contracts 11,034,548 6,792,635 9,291,175 8,262,869 597,115 (22,917) 497,695 --
Undistributed net investment
income -- -- -- -- 150 565 -- --
Accumulated net realized gain
(loss) on investments,
future contracts, and
foreign currencies 1,171,801 441,137 2,525,504 -- (1,428,325) (54,597) (403,432) 187
Accumulated distributions in
excess of realized gain
on investments, future
contracts, and foreign
currencies -- -- -- 107,899 -- -- -- --
----------- ----------- ----------- ----------- ----------- ----------- ----------- -----------
NET ASSETS $60,585,774 $36,366,974 $65,478,836 $73,019,380 $52,247,735 $36,700,519 $73,862,388 $61,671,930
=========== =========== =========== =========== =========== =========== =========== ===========
Total shares outstanding at
end of year 3,105,644 2,048,702 3,479,886 5,281,501 4,388,744 3,017,500 6,037,920 61,671,797
Net asset value, offering price
and redemption price per
share $ 19.51 $ 17.75 $ 18.82 $ 13.83 $ 11.90 $ 12.16 $ 12.23 $ 1.00
=========== =========== =========== =========== =========== =========== =========== ===========
(1) Investments at cost $50,177,478 $28,947,179 $56,767,378 $64,587,937 $49,835,802 $36,253,359 $87,241,483 $53,363,588
</TABLE>
<PAGE>
<TABLE>
ACCESSOR FUNDS, INC
STATEMENTS OF OPERATIONS
FOR THE YEAR ENDED DECEMBER 31, 1996
<CAPTION>
Inter- Short- U.S.
Value and Small to national Intermediate Intermediate Mortgage Government
Growth Income Mid Cap Equity Fixed-Income Fixed-Income Securities Money
Portfolio Portfolio Portfolio Portfolio Portfolio Portfolio Portfolio Portfolio
<S> <C> <C> <C> <C> <C> <C> <C> <C>
INVESTMENT INCOME:
Dividends (net of foreign
withholding taxes of $7,398
for International Equity
Portfolio) $ 1,231,573 $ 770,119 $ 823,466 $ 626,833 $ -- $ -- $ -- $ --
Interest 8,822 50,011 62,851 76,062 3,131,093 2,054,055 4,416,658 2,605,753
--------- ------- ------- ------- --------- --------- --------- ---------
TOTAL INVESTMENT INCOME 1,240,395 820,130 886,317 702,895 3,131,093 2,054,055 4,416,658 2,605,753
EXPENSES:
Management fees (Note B) 266,304 139,463 344,080 305,524 168,696 127,117 226,073 122,068
Money Manager fees (Note B) 188,312 78,232 114,693 204,067 70,290 52,966 144,435 --
Transfer agent and administration
fees (Note B) 71,198 41,055 68,977 66,815 56,981 42,994 75,564 60,098
Sub-Administration and fund
accounting (Note B) 62,312 47,217 64,115 89,465 44,795 39,686 62,638 40,872
Legal fees 17,333 17,325 16,848 17,334 17,016 17,015 17,334 17,015
Audit fees 13,588 13,588 13,522 16,572 13,524 13,524 13,589 10,564
Custodian fees 13,899 9,091 19,069 102,858 8,114 5,210 21,597 7,358
Amortization of deferred
organizational expenses 13,908 13,908 13,908 13,908 13,908 13,908 13,908 13,908
Registration fees 9,690 8,853 9,888 17,151 12,265 7,257 13,141 9,716
Other 10,664 6,954 8,447 11,466 8,051 8,982 8,863 7,986
--------- ------- ------- ------- --------- --------- --------- ---------
TOTAL EXPENSES 667,208 375,686 673,547 845,160 413,640 328,659 597,142 289,585
--------- ------- ------- ------- --------- --------- --------- ---------
NET INVESTMENT INCOME (LOSS) 573,187 444,444 212,770 (142,265) 2,717,453 1,725,396 3,819,516 2,316,168
REALIZED AND UNREALIZED GAIN
(LOSS) ON INVESTMENTS
Net realized gain (loss) on:
Investments 5,420,155 3,016,614 10,180,396 2,243,683 (25,218) (22,539) (257,919) 1,002
Foreign exchange -- -- -- (122,396) -- -- -- --
Change in unrealized appreciation
(depreciation) of investments 5,099,753 3,381,302 2,643,375 4,841,101 (1,128,675) (432,765) (470,734) --
--------- ------- ------- ------- --------- --------- --------- ---------
NET REALIZED AND UNREALIZED (GAIN)
LOSS ON INVESTMENTS 10,519,908 6,397,916 12,823,771 6,962,388 (1,153,893) (455,304) (728,653) 1,002
--------- ------- ------- ------- --------- --------- --------- ---------
NET INCREASE IN NET ASSETS
RESULTING FROM OPERATIONS $11,093,095 $6,842,360 $13,036,541 $ 6,820,123 $ 1,563,560 $1,270,092 $3,090,863 $2,317,170
=========== ========== =========== =========== =========== ========== ========== ==========
- --------------------------------------------------------------------------------
See notes to financial statements
</TABLE>
<PAGE>
<TABLE>
ACCESSOR FUNDS, INC.
STATEMENTS OF CHANGES IN NET ASSETS
<CAPTION>
Growth Portfolio Value and Income Portfolio
Year Ended December 31, Year Ended December 31,
----------------------- -----------------------
<S> <C> <C> <C> <C>
INCREASE (DECREASE) IN NET ASSETS: 1996 1995 1996 1995
From operations:
Net investment income $ 573,187 $ 307,706 $ 444,444 $ 507,888
Net realized gain on:
Investments 5,420,155 3,836,189 3,016,614 2,301,849
Futures contracts -- -- -- 30,324
Change in unrealized appreciation of investments 5,099,753 4,799,659 3,381,302 3,727,015
------------ ------------ ------------ ------------
Net increase in net assets resulting from operations 11,093,095 8,943,554 6,842,360 6,567,076
Distributions from:
Net investment income (574,634) (307,706) (444,511) (507,888)
Net realized gain on investments (5,346,233) (2,871,763) (3,236,898) (1,565,864)
------------ ------------ ------------ ------------
Total distributions (5,920,867) (3,179,469) (3,681,409) (2,073,752)
Capital share transactions:
Proceeds from subscriptions 23,578,680 27,203,646 14,623,144 6,827,525
Reinvestment of distributions 5,043,940 2,653,515 2,836,151 1,570,011
Cost of redemptions (21,740,654) (10,623,668) (9,168,157) (7,975,274)
------------ ------------ ------------ ------------
Net increase resulting from capital share transactions 6,881,966 19,233,493 8,291,138 422,262
Total increase in net assets 12,054,194 24,997,578 11,452,089 4,915,586
Net assets:
Beginning of year 48,531,580 23,534,002 24,914,885 19,999,299
------------ ------------ ------------ ------------
End of year $ 60,585,774 $ 48,531,580 $ 36,366,974 $ 24,914,885
============ ============ ============ ============
- --------------------------------------------------------------------------------
See notes to financial statements.
</TABLE>
<PAGE>
<TABLE>
ACCESSOR FUNDS, INC.
STATEMENTS OF CHANGES IN NET ASSETS
<CAPTION>
Small to Mid Cap Portfolio International Equity Portfolio
Year Ended December 31, Year Ended December 31,
--------------------------- ------------------------------
<S> <C> <C> <C> <C>
INCREASE (DECREASE) IN NET ASSETS: 1996 1995 1996 1995
From operations:
Net investment income (loss) $ 212,770 $ 150,268 $ (142,265) $ 22,344
Net realized gain (loss) on:
Investments 10,180,396 4,030,491 2,243,683 266,556
Foreign exchange -- -- (122,396) (476,765)
Change in unrealized appreciation (depreciation) of:
Investments 2,643,375 6,425,559 4,841,101 3,521,462
Forward foreign currency contracts -- -- -- (746)
---------- ---------- --------- ---------
Net increase in net assets resulting from operations 13,036,541 10,606,318 6,820,123 3,332,851
Distributions from:
Net investment income (218,589) (150,268) -- --
Net realized gain on investments (9,374,655) (2,415,058) (2,243,683) --
Excess of net realized gain on investments -- -- (107,899) --
---------- ---------- --------- ---------
Total distributions (9,593,244) (2,565,326) (2,351,582) --
Capital share transactions:
Proceeds from subscriptions 13,443,968 21,782,374 33,602,525 31,331,892
Reinvestment of distributions 8,335,548 2,265,982 1,952,680 --
Cost of redemptions (9,546,683) (6,435,025) (6,106,841) (3,128,393)
------------ ------------ ------------ ------------
Net increase resulting from capital share transactions 12,232,833 17,613,331 29,448,364 28,203,499
Total increase in net assets 15,676,130 25,654,323 33,916,905 31,536,350
Net assets:
Beginning of year 49,802,706 24,148,383 39,102,475 7,566,125
------------ ------------ ------------ ------------
End of year $ 65,478,836 $ 49,802,706 $ 73,019,380 $ 39,102,475
============ ============ ============ ============
- --------------------------------------------------------------------------------
See notes to financial statements.
</TABLE>
<PAGE>
<TABLE>
ACCESSOR FUNDS, INC.
STATEMENTS OF CHANGES IN NET ASSETS
<CAPTION>
Intermediate Short-Intermediate
Fixed-Income Portfolio Fixed-Income Portfolio
Year Ended December 31, Year Ended December 31,
----------------------- -----------------------
<S> <C> <C> <C> <C>
INCREASE (DECREASE) IN NET ASSETS: 1996 1995 1996 1995
From operations:
Net investment income $ 2,717,453 $ 2,092,270 $ 1,725,396 $ 1,671,184
Net realized gain (loss) on investments (25,218) 587,921 (22,539) 89,697
Change in unrealized appreciation
(depreciation) of investments (1,128,675) 3,035,121 (432,765) 1,846,672
---------- --------- -------- ---------
Net increase in net assets resulting from operations 1,563,560 5,715,312 1,270,092 3,607,553
Distributions from net investment income (2,717,303) (2,090,907) (1,724,831) (1,666,884)
Capital share transactions:
Proceeds from subscriptions 25,071,653 10,651,275 4,487,350 5,214,680
Reinvestment of distributions 753,737 552,315 202,949 199,563
Cost of redemptions (9,302,173) (9,354,668) (2,807,002) (4,315,632)
---------- ---------- ---------- ----------
Net increase resulting from capital share transactions 16,523,217 1,848,922 1,883,297 1,098,611
Total increase in net assets
15,369,474 5,473,327 1,428,558 3,039,280
Net assets:
Beginning of year 36,878,261 31,404,934 35,271,961 32,232,681
---------- ---------- ---------- ----------
End of year $ 52,247,735 $ 36,878,261 $ 36,700,519 $ 35,271,961
============ ============ ============ ============
- --------------------------------------------------------------------------------
See notes to financial statements
</TABLE>
<PAGE>
<TABLE>
ACCESSOR FUNDS, INC.
STATEMENTS OF CHANGES IN NET ASSETS
<CAPTION>
U.S. Government
Mortgage Securities Portfolio Money Portfolio
Year Ended December 31, Year Ended December 31,
--------------------------------------------------------------------------
<S> <C> <C> <C> <C>
INCREASE (DECREASE) IN NET ASSETS: 1996 1995 1996 1995
From operations:
Net investment income $ 3,819,516 $ 2,379,431 $ 2,316,168 1,243,877
Net realized gain (loss) on investments (257,919) 1,067,853 1,002 606
Change in unrealized appreciation (depreciation)
of investments (470,734) 1,995,702 -- --
--------- --------- --------- ---------
Net increase in net assets resulting from operations 3,090,863 5,442,986 2,317,170 1,244,483
Distributions from:
Net investment income (3,819,554) (2,340,785) (2,316,222) (1,243,877)
Net realized gain on investments -- -- (1,002) (164)
--------- --------- --------- ---------
Total distributions (3,819,554) (2,340,785) (2,317,224) (1,244,041)
Capital share transactions:
Proceeds from subscriptions 29,029,245 16,270,522 89,392,625 33,424,260
Reinvestment of distributions 1,196,311 795,226 93,536 93,173
Cost of redemptions (5,464,973) (3,312,756) (69,696,535) (3,643,576)
--------- --------- --------- ---------
Net increase resulting from capital share transactions 24,760,583 13,752,992 19,789,626 29,873,857
Total increase in net assets 24,031,892 16,855,193 19,789,572 29,874,299
Net assets:
Beginning of year 49,830,496 32,975,303 41,882,358 12,008,059
--------- --------- --------- ---------
End of year $ 73,862,388 $ 49,830,496 61,671,930 41,882,358
============ ============ ========== ==========
- --------------------------------------------------------------------------------
See notes to financial statements.
</TABLE>
<PAGE>
ACCESSOR FUNDS, INC.
NOTES TO FINANCIAL STATEMENTS
FOR THE YEAR ENDED DECEMBER 31, 1996
- --------------------------------------------------------------------------------
A. ORGANIZATION AND ACCOUNTING POLICIES
Accessor Funds, Inc. (the "Fund") is registered under the Investment
Company Act of 1940, as amended, as an open-end management investment
company consisting of eight active diversified investment portfolios:
Growth Portfolio, Value and Income Portfolio, Small to Mid Cap Portfolio
(the "Equity Portfolios"), International Equity Portfolio (the
"International Portfolio"), Intermediate Fixed-Income Portfolio,
Short-Intermediate Fixed-Income Portfolio, Mortgage Securities Portfolio
(the "Bond Portfolios"), and U.S. Government Money Portfolio (the "Money
Portfolio") (collectively the "Portfolios"). The Fund was incorporated in
Maryland on June 10, 1991.
The following is a summary of significant accounting policies
consistently followed by the Portfolios. The policies are in conformity
with generally accepted accounting principles:
1. Security Valuation
Securities for which the primary market is a national securities
exchange are valued at the last sale price on such exchange on the
day of valuation or, if no sale occurred on such day, at the
closing bid price. Investments for which the primary market is
believed to be the over-the-counter market are valued at the
closing bid price. Investments for which market quotations are not
readily available are valued at their fair value as determined in
good faith in accordance with procedures adopted by the Board of
Directors. Investments in the Money Portfolio and short-term
investments maturing in 60 days or less are valued at amortized
cost, which approximates market value.
2. Estimates
The preparation of financial statements in conformity with
generally accepted accounting principles requires management to
make estimates and assumptions that affect the reported amounts of
assets and liabilities and disclosure of contingent assets and
liabilities at the date of the financial statements and the
reported amounts of revenues and expenses during the reporting
period. Actual results could differ from those estimates.
3. Foreign Currency Transactions
The books and records of the Portfolios are maintained in U.S.
dollars. Foreign currency amounts are translated into U.S. dollars
on the following basis: market value of investment securities,
assets and liabilities at the current rate of exchange; and
purchase and sales of investment securities, income and expenses
at the relevant rates of exchange prevailing on the respective
dates of such transactions.
The Portfolios report certain foreign currency related security
transactions as components of realized gains for financial
reporting purposes, whereas such components are treated as
ordinary income for Federal income tax purposes. The Portfolios do
not isolate that portion of gains and losses on investments in
equity securities which are due to changes in the foreign exchange
rate from that which is due to changes in market prices of equity
securities.
Foreign security and currency transactions may involve certain
considerations and risks not typically associated with those of
U.S. dollar denominated transactions as a result of, among other
factors, the level of governmental supervision and regulation of
foreign securities markets and the possibility of political or
economic instability.
<PAGE>
NOTES TO FINANCIAL STATEMENTS (Continued)
- --------------------------------------------------------------------------------
4. Derivative Financial Instruments
Off-Balance Sheet Risk
The Portfolios may trade financial instruments with off-balance
sheet risk in the normal course of investing activities and to
assist in managing exposure to market risks such as interest rates
and foreign currency exchange rates. These financial instruments
include forward foreign currency exchange contracts and futures
contracts.
The notional or contractual amounts of these instruments represent
the investment the Portfolios have in particular classes of
financial instruments and do not necessarily represent the amounts
potentially subject to risk. The measurement of the risks
associated with these instruments is meaningful only when all
related and offsetting transactions are considered.
Derivative Financial Instruments Held or Issued for Purposes
Other Than Trading
Futures Contracts - The Portfolios (other than the Money
Portfolio) are permitted to enter into financial futures
contracts, stock index futures contracts and related options
("future contracts") in accordance with their investment
objectives. A Portfolio is required to deposit either in cash or
securities an amount equal to a certain percentage of the contract
amount. Subsequent payments are made or received by a Portfolio
each day, dependent on daily fluctuations in the value of the
underlying security, and are recorded for financial statement
purposes as unrealized gains or losses by a Portfolio. Should
interest rates move unexpectedly, a Portfolio may not achieve the
anticipated benefits of the financial futures contracts and may
realize a loss.
Forward Foreign Currency Contracts - The International Portfolio
will generally enter into forward foreign currency exchange
contracts as a way of managing foreign exchange rate risk. It may
enter into these contracts to fix the U.S. dollar value of a
security that it has agreed to buy or sell for the period between
the date the trade was entered into and the date the security is
delivered and paid for. The International Portfolio may also use
these contracts to hedge the U.S. dollar value of securities it
already owns denominated in foreign currencies. Forward foreign
currency contracts are valued at the forward rate, and are
marked-to-market daily. The change in market value is recorded as
an unrealized gain or loss. When the contract is closed, a
realized gain or loss is recorded equal to the difference between
the value of the contract at the time it was opened and the value
at the time it was closed.
The use of forward foreign currency contracts does not eliminate
fluctuations in the underlying prices of the International
Portfolio's securities, but it does establish a rate of exchange
that can be achieved in the future. Although forward foreign
currency contracts limit the risk of loss due to a decline in the
value of the hedged currency, they also limit any potential gain
that might result should the value of the currency increase. In
addition, the International Portfolio could be exposed to risks if
the counterparties to the contracts are unable to meet the terms
of their contracts.
5. Security Transactions
Securities transactions are accounted for on the date the
securities are purchased or sold (trade date). Realized gains and
losses on the sale of investments are determined on the identified
cost basis, which is also used for Federal income tax purposes.
6. Investment Income
Dividend income, less foreign tax withheld, is recorded on the
ex-dividend date or upon receipt of ex-dividend notification in
the case of certain foreign securities. Interest income is
recorded on the accrual basis and includes amortization of
discounts and premiums.
<PAGE>
NOTES TO FINANCIAL STATEMENTS (Continued)
- --------------------------------------------------------------------------------
7. Reclassification of Capital Accounts
The Fund accounts for and reports distributions to shareholders in
accordance with AICPA Statement of Position 93-2: Determination,
Disclosure, and Financial Statement Presentation of Income,
Capital Gain, and Return of Capital Distributions by Investment
Companies. Applying this Statement of Position resulted in certain
reclassifications from accumulated net realized gain (loss) on
investments to undistributed net investment income for the
International Equity and Mortgage Securities Portfolios at
December 31, 1996. Net investment losses incurred by the
International Equity Portfolio were reclassed to capital paid-in
at December 31, 1996.
8. Distributions
Distributions from net investment income are declared daily and
paid monthly for the Money Portfolio; declared and paid monthly
for the Bond Portfolios; declared and paid quarterly for the
Equity Portfolios; declared and paid annually for the
International Portfolio. Distributions of net realized gains, if
any, will be declared and paid at least annually for all
Portfolios. Distributions to shareholders are recorded on the
ex-dividend date.
Income distributions and capital gain distributions are determined
in accordance with income tax regulations which may differ from
generally accepted accounting principles. These differences may
arise due to differing treatments for mortgage-backed securities,
deferral of losses due to wash sales, futures and options activity
and post-October losses. Accordingly, the amount of the net
investment income and net realized gains reported on these
financial statements may differ from that reported on the Fund's
tax return, and consequently, the character of distributions to
shareholders reported in the financial highlights may differ from
that reported on Form 1099-DIV.
9. Federal Income Taxes
Each Portfolio is a separate corporate taxpayer and determines its
net investment income and capital gains (or losses) and the
amounts to be distributed to each Portfolio's shareholders without
regard to the income and capital gains (or losses) of the other
Portfolios. It is each Portfolio's intention to comply with the
requirements of the Internal Revenue Code to qualify as a
regulated investment company and distribute all of its taxable
income and realized gains, if any, to shareholders. In addition,
by distributing all of its taxable income and realized gains to
shareholders, the Portfolios will not be subject to a Federal
excise tax. Accordingly, no provision for Federal income taxes is
required in the financial statements.
10. Repurchase Agreements
The Fund may enter into agreements with institutions that the
Fund's manager and money managers have determined to be
creditworthy to purchase securities and to resell them (repurchase
agreements) at a future date. It is the Fund's policy to take
custody of securities purchased and to ensure that the market
value including accrued interest of the collateral is greater than
the amount owed to the Fund under each such repurchase agreement.
11. Organizational Expenses
Organizational expenses are being amortized on a straight-line
basis over a period not to exceed 60 months beginning on the date
of commencement of operations.
<PAGE>
NOTES TO FINANCIAL STATEMENTS (Continued)
- --------------------------------------------------------------------------------
B. AGREEMENTS
1. Management
The Fund has a management agreement with Bennington Capital
Management L.P. ("Bennington"). Pursuant to this agreement,
Bennington provides or oversees the provision of all general
management, investment advisory and portfolio management services.
Fees currently paid to Bennington under the management agreement
for providing these services are as follows:
Management Fees as a
Percentage of Average
Portfolio Daily Net Assets
Growth .45%
Value and Income .45
Small to Mid Cap .60
International Equity .55
Intermediate Fixed-Income .36
Short-Intermediate Fixed-Income .36
Mortgage Securities .36
U.S. Government Money .25
2. Money Managers
Each Portfolio's assets (other than the Money Portfolio) are
invested by an investment management organization (individually, a
"Money Manager"; collectively, the "Money Managers"), researched
and recommended by Bennington. For the first five complete
calendar quarters of investment operations for a Portfolio, each
Portfolio will pay its respective Money Manager on a quarterly
basis an annual fee based on the average daily net assets of the
Portfolio managed by such Money Manager. This fee has two
components, the Basic Fee and the Portfolio Management Fee.
Commencing with the sixth calendar quarter of investment
operations for each Portfolio, the Money Manager fee consists of
two components, the Basic Fee and the Performance Fee.
The Performance Fee component is adjusted each quarter based on
the annualized investment performance of each Money Manager
relative to the annualized investment performance of the following
benchmark indices, which may be changed only with the approval of
the Fund's Board of Directors:
Portfolio Index
Growth S&P/BARRA Growth Index
Value and Income S&P/BARRA Value Index
Small to Mid Cap Wilshire 4500 Index
International Equity* Morgan Stanley Capital
International EAFE (R) + EMF
Index
Intermediate Fixed-Income Lehman Brothers Government/
Corporate Index
Short-Intermediate Fixed-Income Lehman Brothers Government/
Corporate 1-5 Year Index
Mortgage Securities Lehman Brothers Mortgage-
Backed Securities Index
* Prior to May 1, 1996, the benchmark index for the Portfolio was
the Morgan Stanley Capital International - EAFE Index.
<PAGE>
NOTES TO FINANCIAL STATEMENTS (Continued)
- --------------------------------------------------------------------------------
For the year ended December 31, 1996, the following Basic Fees, Portfolio
Management Fees and Performance Fees were calculated based on the average
daily net assets of the Portfolios:
Basic Portfolio Performance Total
Money Money Money Money
Manage- Manage- Manage- Manage-
ment ment ment ment
Portfolio Quarter Fee Fee Fee Fee
--------- ------- --- --- --- ---
Growth 1st Quarter .10 % - .22 % .32 %
2nd Quarter .10 - .22 .32
3rd Quarter .10 - .22 .32
4th Quarter .10 - .20 .30
Value and Income 1st Quarter .10 - .20 .30
2nd Quarter .10 - .15 .25
3rd Quarter .10 - .10 .20
4th Quarter .10 - .15 .25
Small to Mid Cap 1st Quarter .10 .10 % - .20
2nd Quarter .10 .10 - .20
3rd Quarter .10 .10 - .20
4th Quarter .10 .10 - .20
International Equity 1st Quarter .20 .20 - .40
2nd Quarter .20 - - .20
3rd Quarter .20 - .20 .40
4th Quarter .20 - .30 .50
Intermediate Fixed- 1st Quarter .07 - .08 .15
Income 2nd Quarter .07 - .08 .15
3rd Quarter .07 - .08 .15
4th Quarter .07 - .08 .15
Short-Intermediate 1st Quarter .07 - .08 .15
Fixed-Income 2nd Quarter .07 - .08 .15
3rd Quarter .07 - .08 .15
4th Quarter .07 - .08 .15
Mortgage Securities 1st Quarter .07 - .16 .23
2nd Quarter .07 - .16 .23
3rd Quarter .07 - .16 .23
4th Quarter .07 - .16 .23
Bennington directly manages the assets of the Money Portfolio, therefore
there is no Money Manager fee associated with this Portfolio.
<PAGE>
NOTES TO FINANCIAL STATEMENTS (Continued)
- --------------------------------------------------------------------------------
3. Distribution Plan
The Fund has adopted a Distribution Plan under Rule 12b-1 under
the Investment Company Act of 1940 pursuant to which Bennington
may make payments to persons rendering assistance in the
distribution or retention of the Fund's shares or servicing of
shareholder accounts. The Fund does not reimburse Bennington for
these payments. Bennington made no such payments for the year
ended December 31, 1996.
4. Transfer Agent and Administration
The Fund has a Transfer Agency and Administrative Agreement with
Bennington. Pursuant to this agreement, Bennington acts as
transfer agent and administrator to the Fund, performing all
transfer agent and certain compliance services. The fees are
computed as the greater of an annual fee expressed as a percentage
of the average daily net assets, per portfolio, or a minimum
dollar amount per portfolio.
As of November 24, 1996, all services provided by PFPC, Inc. under
its sub-administration agreement with the Fund were terminated.
C. DIRECTOR FEES
Effective February 6, 1996, outside directors are paid $2,000 per
meeting, plus out-of-pocket costs.
D. SHARE OF STOCK
The Fund, incorporated in Maryland on June 10, 1991, is authorized to
issue 15,000,000,000 shares of Common Stock, $.001 par value.
Transactions in shares of the Portfolios were as follows:
Growth Portfolio Value and Income Portfolio
Year Ended December 31, Year Ended December 31,
----------------------- -----------------------
1996 1995 1996 1995
Shares outstanding -
Beginning of year 2,698,148 1,637,255 1,566,206 1,537,260
Shares subscribed 1,273,203 1,512,539 855,546 447,056
Shares issued on
reinvestment of
distributions 255,799 147,923 159,904 99,226
Shares redeemed (1,121,506) (599,569) (532,954) (517,336)
---------- -------- -------- --------
Shares outstanding -
End of year 3,105,644 2,698,148 2,048,702 1,566,206
========= ========= ========= =========
<PAGE>
NOTES TO FINANCIAL STATEMENTS (Continued)
- --------------------------------------------------------------------------------
Small to Mid Cap International Equity
Portfolio Portfolio
Year Ended December 31, Year Ended December 31,
----------------------- -----------------------
1996 1995 1996 1995
Shares outstanding -
Beginning of year 2,829,475 1,714,864 3,114,599 648,470
Shares subscribed 707,092 1,371,549 2,472,796 2,730,294
Shares issued on
reinvestment
of distributions 444,401 129,518 142,116
Shares redeemed (501,082) (386,456) (448,010) (264,165)
-------- -------- -------- --------
Shares outstanding -
End of year 3,479,886 2,829,475 5,281,501 3,114,599
Intermediate Short-Intermediate
Fixed-Income Portfolio Fixed-Income Portfolio
Year Ended December 31, Year Ended December 31,
----------------------- -----------------------
1996 1995 1996 1995
Shares outstanding -
Beginning of year 2,999,800 2,844,942 2,862,134 2,773,443
Shares subscribed 2,106,308 904,307 368,860 428,739
Shares issued on
reinvestment
of distributions 63,707 47,086 16,714 16,522
Shares redeemed (781,071) (796,535) (230,208) (356,570)
-------- -------- -------- --------
Shares outstanding -
End of year 4,388,744 2,999,800 3,017,500 2,862,134
========= ========= ========= =========
Mortgage U.S. Government
Securities Portfolio Money Portfolio
Year Ended December 31, Year Ended December 31,
----------------------- -----------------------
1996 1995 1996 1995
Shares outstanding -
Beginning of year 4,024,225 2,903,456 41,882,171 12,008,314
Shares subscribed 2,364,663 1,331,508 89,392,625 33,424,260
Shares issued on
reinvestment
of distributions 98,724 66,036 93,536 93,173
Shares redeemed (449,692) (276,775) (69,696,535) (3,643,576)
-------- -------- ----------- ----------
Shares outstanding -
End of year 6,037,920 4,024,225 61,671,797 41,882,171
========= ========= ========== ==========
<PAGE>
NOTES TO FINANCIAL STATEMENTS (Continued)
- --------------------------------------------------------------------------------
E. SECURITIES TRANSACTIONS
During the year ended December 31, 1996, purchases and sales of
investments, other than short-term investments and government securities
aggregated, were as follows:
Portfolio Purchases Sales
Growth $ 51,305,793 $ 47,947,761
Value and Income 28,846,197 37,347,790
Small to Mid Cap 66,074,495 65,158,335
International Equity 114,001,932 88,724,988
Intermediate Fixed-Income 60,042,360 43,864,787
Short-Intermediate Fixed-Income 14,178,285 10,867,967
Mortgage Securities 275,746,623 251,751,101
During the year ended December 31, 1996, purchases and sales of long-term
U.S. Government Securities, were as follows:
Purchases Sales
Intermediate Fixed-Income $ 27,099,685 $ 13,278,344
Short-Intermediate Fixed-Income 3,810,243 4,168,550
Mortgage Securities 105,929,121 106,025,740
The identified cost for federal income tax purposes of investments owned
by each Portfolio and their respective gross unrealized
appreciation/(depreciation) at December 31, 1996 were as follows:
Net
Identified Gross Unrealized Appreciation/
Cost Appreciation (Depreciation) (Depreciation)
Growth $50,177,478 $11,695,403 $ (660,855) $11,034,548
Value and Income 29,544,200 7,031,082 (238,447) 6,792,635
Small to Mid Cap 56,767,378 10,764,824 (1,473,649) 9,291,175
International Equity 64,633,983 9,389,170 (1,164,211) 8,224,959
Intermediate Fixed-Income 49,865,946 703,637 (136,666) 566,971
Short-Intermediate Fixed-
Income 36,253,359 126,828 (216,370) (22,918)
Mortgage Securities 87,303,357 648,053 (212,233) 435,820
U.S. Government Money 61,327,588 - - -
<PAGE>
NOTES TO FINANCIAL STATEMENTS (Concluded)
- --------------------------------------------------------------------------------
F. CAPITAL LOSS CARRYOVERS
At December 31, 1996, for Federal income tax purposes, the following
Portfolios had capital loss carryovers which may be applied against
future net taxable realizable gains of each succeeding year until the
earlier of its utilization or expiration.
Intermediate Fixed-Income $ (1,446,011)
Short-Intermediate Fixed-Income (54,663)
Mortgage Securities (440,877)
<PAGE>
<TABLE>
ACCESSOR FUNDS, INC.
FINANCIAL HIGHLIGHTS
(For a share outstanding throughout the period)
<CAPTION>
Growth Portfolio Value & Income Portfolio
1996 1995 1994 1993 1992(1) 1996 1995 1994 1993 1992(1)
<S> <C> <C> <C> <C> <C> <C> <C> <C> <C> <C>
Net Asset Value,
beginning of period $17.99 $14.37 $14.16 $13.06 $12.00 $15.91 $13.01 $13.58 $12.58 $12.00
------ ------ ------ ------ ------ ------ ------ ------ ------ ------
Net investment income 0.19 0.15 0.13 0.14 0.06 0.24 0.33 0.25 0.25 0.12
Net realized and unrealized
gain (loss) on investments 3.35 4.76 0.42 1.69 1.14 3.51 3.96 (0.51) 1.59 0.59
---- ---- ---- ---- ---- ---- ---- ----- ---- ----
Total from investment operations 3.54 4.91 0.55 1.83 1.20 3.75 4.29 (0.26) 1.84 0.71
---- ---- ---- ---- ---- ---- ---- ----- ---- ----
Distributions from net investment
income (0.19) (0.15) (0.13) (0.14) (0.06) (0.24) (0.33) (0.25) (0.25) (0.12)
Distributions from capital gains (1.83) (1.14) (0.21) (0.59) (0.08) (1.67) (1.60) (0.05) (0.59) (0.01)
Distributions in excess of capital
gains - - (0.01) - -
---- ---- ---- ---- ---- ---- ---- ----- ---- ----
Total distributions (2.02) (1.29) (0.34) (0.73) (0.14) (1.91) (1.39) (0.31) (0.84) (0.13)
---- ---- ---- ---- ---- ---- ---- ----- ---- ----
Net Asset Value, end of period $19.51 $17.99 $14.37 $14.16 $13.06 $17.75 $15.91 $13.01 $13.58 $12.58
====== ====== ====== ====== ====== ====== ====== ====== ====== ======
Total return (2) 19.83% 34.32% 3.99% 14.21% 10.01% 23.94% 33.25% (1.93)% 14.69% 5.92%
===== ===== ==== ===== ===== ===== ===== ===== ===== ====
Net assets, end of period
(in thousands) $60,586 $48,532 $23,534 $8,986 $4,253 $36,367 $24,915 $19,999 $11,225 $3,859
======= ======= ======= ====== ====== ======= ======= ======= ======= ======
Ratio of expenses to average
net assets:
After Bennington fee waivers 1.13% 1.26% 1.76% 1.21% 1.18%* 1.21% 1.40% 1.77% 1.21% 1.18%*
==== ==== ==== ==== ==== ==== ==== ==== ==== ====
Before Bennington fee waivers 1.13% 1.26% 1.83% 2.64% 3.91%* 1.21% 1.40% 1.85% 2.61% 4.60%*
==== ==== ==== ==== ==== ==== ==== ==== ==== ====
Ratio of net investment income to
average net assets:
After Bennington fee waivers 0.97% 0.97% 1.02% 1.16% 1.26%* 1.43% 2.18% 2.00% 2.02% 2.86%*
==== ==== ==== ==== ==== ==== ==== ==== ==== ====
Before Bennington fee waivers 0.97% 0.97% 0.95% (0.27)% (1.47)%* 1.43% 2.18% 1.92% 0.62% (0.56)%*
==== ==== ==== ==== ==== ==== ==== ==== ==== ====
Portfolio turnover rate 81.79% 99.73% 57.71% 60.92% 19.88% 93.54% 100.88% 54.26% 64.56% 7.94%
===== ===== ===== ===== ===== ===== ====== ===== ===== ====
Average commission rate paid(3) $0.02 $0.05
===== =====
<FN>
(1) Portfolio commenced operations on August 25, 1992.
(2) Total return is calculated assuming a purchase of shares at net asset value per share on the first day and a sale at net asset
value per share on the last day of each period reported. Distributions are assumed, for purposes of this calculation, to be
reinvested at the net asset value per share on the respective payment dates of each Portfolio.
(3) Represents the dollar amount of commissions paid on Portfolio transactions divided by the total number of shares purchased and
sold for which commissions were charged. Disclosure not required for periods prior to fiscal 1996.
* Annualized.
</FN>
See notes to financial statements.
</TABLE>
<PAGE>
<TABLE>
ACCESSOR FUNDS, INC.
FINANCIAL HIGHLIGHTS
(For a share outstanding throughout the period)
<CAPTION>
Small to Mid Cap Portfolio International Equity Portfolio
1996 1995 1994 1993 1992(1) 1996 1995 1994(2)
<S> <C> <C> <C> <C> <C> <C> <C> <C>
Net Asset Value, beginning of period $17.60 $14.08 $14.79 $13.56 $12.00 $12.55 $11.67 $12.00
------ ------ ------ ------ ------ ------ ------ ------
Net investment income (loss) 0.07 0.06 (0.01) 0.04 0.03 (0.06) 0.05 0.01
Net realized and unrealized gain 4.22 4.42 (0.59) 1.91 1.56 1.80 0.83 (0.34)
(loss) on investments
Total from investment operations 4.29 4.48 (0.60) 1.95 1.59 1.74 0.88 (0.33)
---- ---- ------ ---- ---- ---- ---- ------
Distributions from net
investment income (0.07) (0.06) - (0.04) 0.03 - - -
Distributions from capital gains (3.00) (0.90) (0.10) (0.68) - (0.44) - -
Distributions in excess of
capital gains (0.02)
Return of capital distributions - - (0.01) - - - - -
------ ------ ------ ------ ------ ------ ------ ------
Total distributions (3.07) (0.96) (0.11) (0.72) (0.03) (0.46) - -
------ ------ ------ ------ ------ ------ ------ ------
Net Asset Value, end of period $18.82 $17.60 $14.08 $14.79 $13.56 $13.83 $12.55 $11.67
====== ====== ====== ====== ====== ====== ====== ======
Total return (3) 24.85% 31.98% (4.07)% 14.39% 13.28% 13.78% 7.63% (2.75)%
====== ====== ======= ====== ====== ====== ===== =======
Net assets, end of period
(in thousands) $65,479 $49,803 $24,148 $9,791 $4,520 $73,019 $39,102 $7,566
======= ======= ======= ====== ====== ======= ======= ======
Ratio of expenses to average
net assets:
After Bennington fee waivers 1.17% 1.31% 1.98% 1.55% 1.51%* 1.52% 1.83% 1.86%*
===== ===== ===== ===== ===== ===== ===== =====
Before Bennington fee waivers 1.17% 1.31% 2.38% 3.33% 5.36%* 1.52% 1.93% 4.06%*
===== ===== ===== ===== ===== ===== ===== =====
Ratio of net investment income to
average net assets:
After Bennington fee waivers 0.37% 0.41% (0.18)% 0.30% 0.74%* (0.26)% 0.10% 0.38%*
===== ===== ======= ===== ===== ======= ===== =====
Before Bennington fee waivers 0.37% 0.41% (0.58)% (1.48)% (3.11)% * (0.26)% 0.00% (1.82)%*
===== ===== ======= ======= ======= ======= ===== =======
Portfolio turnover rate 113.44% 84.26% 30.14% 59.20% 12.57% 157.66% 84.85% 0.82%
======= ====== ====== ====== ====== ======= ====== =====
Average commission rate paid(4) $0.03 $0.01
===== =====
<FN>
(1) Portfolio commenced operations on August 25, 1992.
(2) Portfolio commenced operations on October 3, 1994.
(3) Total return is calculated assuming a purchase of shares at net asset value
per share on the first day and a sale at net asset value per share on the
last day of each period reported. Distributions are assumed, for purposes
of this calculation, to be reinvested at the net asset value per share on
the respective payment dates of each Portfolio.
(4) Represents the dollar amount of commissions paid on Portfolio transactions
divided by the total number of shares purchased and sold for which
commissions were charged. Disclosure not required for periods prior to
fiscal 1996.
* Annualized.
(Continued)
</FN>
See notes to financial statements.
</TABLE>
<PAGE>
<TABLE>
ACCESSOR FUNDS, INC.
FINANCIAL HIGHLIGHTS
(For a share outstanding throughout the period)
<CAPTION>
Intermediate Fixed-Income Portfolio Short-Intermediate Fixed-Income Portfolio
<S> <C> <C> <C> <C> <C> <C> <C> <C> <C> <C>
1996 1995 1994 1993 1992(1) 1996 1995 1994 1993 1992(2)
Net Asset Value, beginning of period $12.29 $11.04 $12.34 $12.00 $12.00 $12.32 $11.62 $12.29 $12.16 $12.00
------ ------ ------ ------ ------ ------ ------ ------ ------ ------
Net investment income (loss) 0.67 0.71 0.65 0.56 0.36 0.59 0.60 0.50 0.46 0.33
Net realized and unrealized gain
(loss) on investments (0.39) 1.25 (1.28) 0.57 0.15 (0.16) 0.70 (0.67) 0.22 0.16
------ ---- ------ ---- ---- ------ ---- ------ ---- ----
Total from investment operations 0.28 1.96 (0.63) 1.13 0.51 0.43 1.30 (0.17) 0.68 0.49
---- ---- ------ ---- ---- ---- ---- ------ ---- ----
Distributions from net
investment income (0.67) (0.71) (0.65) (0.56) (0.36) (0.59) (0.60) (0.50) (0.46) (0.33)
Distributions from capital gains - - (0.02) (0.23) (0.15) - - - (0.07) -
Distribution in excess of
capital gains - - - - - - - - (0.02) -
- - - - - - - - ------ -
Total distributions (0.67) (0.71) (0.67) (0.79) (0.51) (0.59) (0.60) (0.50) (0.55) (0.33)
------ ------ ------ ------ ------ ------ ------ ------ ------ ------
Net Asset Value, end of period $11.90 $12.29 $11.04 $12.34 $12.00 $12.16 $12.32 $11.62 $12.29 $12.16
====== ====== ====== ====== ====== ====== ====== ====== ====== ======
Total return (3) 2.56% 18.26% (5.24)% 9.53% 4.26% 3.63% 11.42% (1.42)% 5.62% 4.12%
===== ====== ======= ===== ===== ===== ====== ======= ===== =====
Net assets, end of period
(in thousands) $52,248 $36,878 $31,405 $26,642 $10,901 $36,701 $35,272 $32,233 $32,568 $13,365
======= ======= ======= ======= ======= ======= ======= ======= ======= =======
Ratio of expenses to average
net assets:
After Bennington fee waivers 0.88% 0.96% 1.24% 1.06% 0.85%* 0.93% 0.94% 1.18% 1.05% 0.83%*
===== ===== ===== ===== ===== ===== ===== ===== ===== =====
Before Bennington fee waivers 0.88% 0.96% 1.28% 1.35% 1.50%* 0.93% 0.94% 1.22% 1.12% 1.42%*
===== ===== ===== ===== ===== ===== ===== ===== ===== =====
Ratio of net investment income to
average net assets:
After Bennington fee waivers 5.79% 6.07% 5.65% 4.62% 5.33%* 4.89% 4.99% 4.17% 3.78% 4.40%*
===== ===== ===== ===== ===== ===== ===== ===== ===== =====
Before Bennington fee waivers 5.79% 6.07% 5.61% 4.33% 4.68%* 4.89% 4.99% 4.13% 3.71% 3.81%*
===== ===== ===== ===== ===== ===== ===== ===== ===== =====
Portfolio turnover rate 94.69% 187.62% 255.11% 265.06% 100.57% 31.12% 41.93% 36.54% 88.28% 107.26%
====== ======= ======= ======= ======= ====== ====== ====== ====== =======
<FN>
(1) Portfolio commenced operations on June 16, 1992.
(2) Portfolio commenced operations on May 18, 1992.
(3) Total return is calculated assuming a purchase of shares at net asset value
per share on the first day and a sale at net asset value per share on the
last day of each period reported. Distributions are assumed, for purposes
of this calculation, to be reinvested at the net asset value per share on
the respective payment dates of each Portfolio.
* Annualized.
</FN>
See notes to financial statements.
</TABLE>
<PAGE>
<TABLE>
ACCESSOR FUNDS, INC.
FINANCIAL HIGHLIGHTS
(For a share outstanding throughout the period)
<CAPTION>
Mortgage Securities Portfolio U.S. Government Money Portfolio
----------------------------- -------------------------------
1996 1995 1994 1993 1992(1) 1996 1995 1994 1993 1992(2)
<S> <C> <C> <C> <C> <C> <C> <C> <C> <C> <C>
Net Asset Value, beginning
of period $12.38 $11.36 $12.17 $12.02 $12.00 $1.00 $1.00 $1.00 $1.00 $1.00
------ ------ ------ ------ ------ ----- ----- ----- ----- -----
Net investment income 0.73 0.76 0.60 0.55 0.34 0.05 0.05 0.04 0.03 0.02
Net realized and unrealized gain
(loss) on investments (0.15) 1.02 (0.80) 0.31 0.13 - - - - -
------ ------ ------ ------ ------ ----- ----- ----- ----- -----
Total from investment operations 0.58 1.78 (0.20) 0.86 0.47 0.05 0.05 0.04 0.03 0.02
------ ------ ------ ------ ------ ----- ----- ----- ----- -----
Distributions from net investment
income (0.73) (0.76) (0.60) (0.55) (0.34) (0.05) (0.05) (0.04) (0.03) (0.02)
Distributions from capital gains - - (0.01) (0.16) (0.03) - - - - -
Distributions in excess of capital
gains - - - - (0.08) - - - - -
------ ------ ------ ------ ------ ----- ----- ----- ----- -----
Total distributions (0.73) (0.76) (0.61) (0.71) (0.45) (0.05) (0.05) (0.04) (0.03) (0.02)
------ ------ ------ ------ ------ ----- ----- ----- ----- -----
Net Asset Value, end of period $12.23 $12.38 $11.36 $12.17 $12.02 $1.00 $1.00 $1.00 $1.00 $1.00
====== ====== ====== ====== ====== ===== ===== ===== ===== =====
Total return (3) 4.95% 16.03% (1.65)% 7.26% 3.93% 4.78% 5.33% 3.70% 2.81% 2.40%
====== ====== ====== ====== ====== ===== ===== ===== ===== =====
Net assets, end of period
(in thousands) $73,862 $49,830 $32,975 $29,731 $15,356 $61,672 $41,882 $12,008 $26,693 $51,145
======= ======= ======= ======= ======= ======= ======= ======= ======= =======
Ratio of expenses to average net
assets:
After Bennington fee waivers 0.95% 1.03% 1.31% 1.03% 0.84%* 0.59% 0.53% 0.45% 0.45% 0.32%*
====== ====== ====== ====== ====== ===== ===== ===== ===== =====
Before Bennington fee waivers 0.95% 1.03% 1.35% 1.18% 1.40%* 0.59% 0.78% 1.27% 0.77% 0.39%*
====== ====== ====== ====== ====== ===== ===== ===== ===== =====
Ratio of net investment income to
average net assets:
After Bennington fee waivers 6.08% 6.41% 5.18% 4.55% 4.68%* 4.73% 5.14% 3.51% 2.71% 3.25%*
====== ====== ====== ====== ====== ===== ===== ===== ===== =====
Before Bennington fee waivers 6.08% 6.41% 5.14% 4.40% 4.12%* 4.73% 4.89% 2.69% 2.39% 3.18%*
====== ====== ====== ====== ====== ===== ===== ===== ===== =====
Portfolio turnover rate 356.23% 422.56% 603.51% 399.19% 114.04%
====== ====== ====== ====== ======
<FN>
(1) Portfolio commenced operations on May 18, 1992.
(2) Portfolio commenced operations on April 9, 1992.
(3) Total return is calculated assuming a purchase of shares at net asset value
per share on the first day and a sale at net asset value per share on the
last day of each period reported. Distributions are assumed, for purposes
of this calculation, to be reinvested at the net asset value per share on
the respective payment dates of each Portfolio.
* Annualized.
</FN>
See notes to financial statements.
</TABLE>
<PAGE>
INDEPENDENT AUDITORS' REPORT
The Shareholders and Board of Directors
Accessor Funds, Inc.
We have audited the accompanying statements of assets and liabilities, including
the schedules of investments, of Accessor Funds, Inc. (including the Growth
Portfolio, Value and Income Portfolio, Small to Mid Cap Portfolio, International
Equity Portfolio, Intermediate Fixed-Income Portfolio, Short-Intermediate
Fixed-Income Portfolio, Mortgage Securities Portfolio, and U.S. Government Money
Portfolio) as of December 31, 1996, the related statements of operations for the
year then ended and of changes in net assets and the financial highlights for
each of the periods presented. These financial statements and financial
highlights are the responsibility of the Portfolios' management. Our
responsibility is to express an opinion on these financial statements and
financial highlights based on our audits.
We conducted our audits in accordance with generally accepted auditing
standards. Those standards require that we plan and perform the audit to obtain
reasonable assurance about whether the financial statements and financial
highlights are free of material misstatement. An audit includes examining, on a
test basis, evidence supporting the amounts and disclosures in the financial
statements. Our procedures included confirmation of securities owned at December
31, 1996 by correspondence with the custodians and brokers. An audit also
includes assessing the accounting principles used and significant estimates made
by management, as well as evaluating the overall financial statement
presentation. We believe that our audits provide a reasonable basis for our
opinion.
In our opinion, such financial statements and financial highlights referred to
above present fairly, in all material respects, the financial position of each
of the Portfolios constituting Accessor Funds, Inc. as of December 31, 1996, the
results of their operations, the changes in their net assets and financial
highlights for the respective stated periods, in conformity with generally
accepted accounting principles.
DELOITTE & TOUCHE LLP
Dayton, Ohio
February 12, 1997
<PAGE>
ACCESSOR FUNDS, INC.
Directors and Officers
George G. Cobean, III, Director
Geoffrey C. Cross, Director
J. Anthony Whatley, III, Director, President and Principal Executive Officer
Ravindra A. Deo, Treasurer, Vice President, Principal Financial and Accounting
Officer
Robert J. Harper, Vice President
Joe King, Vice President and Chief Compliance Officer
Christine J. Stansbery, Secretary
Linda V. Whatley, Vice President
Investment Advisor and Administrator
Bennington Capital Management L.P.
U. S. Bank Centre; 1420 5th Avenue; Suite 3130
Seattle, Washington 98101
Custodian
The Fifth Third Bank
Fifth Third Center
38 Fountain Square Plaza
Cincinnati, OH 45263
Transfer Agent
Bennington Capital Management L.P.
P. O. Box 1748
Seattle, Washington 98111
Legal Counsel
Mayer, Brown & Platt
1675 Broadway
New York, New York 10019
Independent Auditors
Deloitte & Touche LLP
1700 Courthouse Plaza NE
Dayton, OH 45402
This report, including the financial statements herein is transmitted to the
shareholders of the Accessor Funds, Inc. for their information. This is not a
prospectus, circular or representation intended for use in the purchase of
shares of the Fund or any securities mentioned in this report.
