<PAGE> 1
P-I-C INSTITUTIONAL
BALANCED PORTFOLIO
STATEMENT OF NET ASSETS as of April 30, 1996
<TABLE>
<CAPTION>
====================================================================================================
PERCENTAGE OF
EQUITY SECURITIES - 71.1% SHARES VALUE NET ASSETS
- ----------------------------------------------------------------------------------------------------
<S> <C> <C> <C>
AUTO PARTS - 1.2%
- ----------------------------------------------------------------------------------------------------
Autozone, Inc.* 4,000 $146,000 1.2%
Autozone is a leading specialty retailer of automotive
parts and accessories, focusing on Do-It-Yourself consumers
====================================================================================================
BUILDING PRODUCTS - 0.3%
- ----------------------------------------------------------------------------------------------------
Home Depot, Inc. 900 42,638 0.3%
Home Depot operates over 340 retail Do-It-Yourself warehouse
building supply stores in the United States and Canada
====================================================================================================
BUSINESS AND FINANCIAL SERVICES - 5.5%
- ----------------------------------------------------------------------------------------------------
AccuStaff, Inc.* 1,700 50,575 0.4%
AccuStaff is a national provider of temporary staffing
personnel to businesses, professional and service
organizations and government agencies through three divisions:
commercial, professional services, and telecommunications
Alco Standard Corporation 1,200 69,450 0.6%
Alco Standard is the largest independent copier distribution network
in North America and the largest distributor of printing paper
Danka Business System PLC, ADR 3,500 168,000 1.3%
Danka Business System is a leading independent retail and
wholesale distributor of photocopiers, fax equipment and
related service and parts, with 290 retail branches in the
United States, Canada and the United Kingdom.
First Data Corporation 5,266 400,215 3.2%
First Data Corporation is the world's largest processor
of credit cards, debit cards, and merchant transactions
- ----------------------------------------------------------------------------------------------------
Total Business and Financial Services 688,240
====================================================================================================
BUSINESS INFORMATION SERVICES - 0.7%
- ----------------------------------------------------------------------------------------------------
Paychex, Inc. 1,300 88,075 0.7%
Paychex provides computerized payroll-accounting services, salary
deposit services, automatic payroll-tax payments, return-filing
services, and human resource products and services to more
than 207,900 small and medium sized businesses nationwide
====================================================================================================
CHEMICALS - 0.6%
- ----------------------------------------------------------------------------------------------------
Monsanto Company 500 75,750 0.6%
Monsanto manufactures and markets agricultural products,
chemicals, food products and pharmaceuticals
====================================================================================================
COMPUTER SERVICES - 4.7%
- ----------------------------------------------------------------------------------------------------
Automatic Data Processing, Inc. 2,300 89,413 0.7%
Automatic Data Processing provides computerized transaction
processing, data communications, information recordkeeping
and payroll services
Ceridian Corporation* 1,400 66,850 0.5%
Ceridian Corporation is an information services company
providing payroll and human resource services to large corporations
Computer Sciences Corporation* 2,300 170,200 1.4%
Computer Sciences Corporation is an independent provider
of information technology consulting
3Com Corporation* 4,400 110,700 0.9%
3Com Corporation is a leading networking products vendor
with 50% of sales in systems (hubs, routers and switches)
and 50% in network adapter cards
</TABLE>
8
<PAGE> 2
P-I-C INSTITUTIONAL
BALANCED PORTFOLIO
STATEMENT OF NET ASSETS as of April 30, 1996
<TABLE>
<CAPTION>
==================================================================================================================
PERCENTAGE OF
EQUITY SECURITIES, CONTINUED SHARES VALUE NET ASSETS
- ------------------------------------------------------------------------------------------------------------------
COMPUTER SERVICES, CONTINUED
- ------------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C>
General Motors Corporation, Class E 2,100 $ 118,388 0.9%
Electronic Data Systems is an information technology services company. The
company designs, installs, and operates data processing services for GM, federal
government, civilian agencies and commercial firms.
Shared Medical Systems Corporation 500 34,250 0.3%
Shared Medical Systems provides computer-based information processing systems to
hospitals, clinics and physician groups.
- ------------------------------------------------------------------------------------------------------------------
Total Computer Services 589,801
==================================================================================================================
COMPUTER SOFTWARE - 8.3%
- ------------------------------------------------------------------------------------------------------------------
Computer Associates International, Inc. 3,950 289,831 2.3%
Computer Associates manufactures software that enables computers to run more
efficiently. The company develops, markets and services over 300 products for a
wide range of mainframes, mini-computers and micro-computers.
Informix Corporation* 1,400 36,925 0.3%
Informix is a leading provider of relational database management software,
including application development tools and graphical- and character-based
productivity software, for use on most significant desktop platforms.
Microsoft Corporation* 3,834 434,680 3.5%
Microsoft develops and markets systems and applications software for business,
and home use.
Oracle Systems Corporation* 8,150 275,063 2.2%
Oracle Systems is the world's largest maker of database management systems
(DBMS), software that allows users to create, retrieve, and manipulate data in
computer-based files.
- ------------------------------------------------------------------------------------------------------------------
Total Computer Software 1,036,499
==================================================================================================================
COSMETICS AND SOAP - 1.4%
- ------------------------------------------------------------------------------------------------------------------
Estee Lauder Companies, Class A 500 18,313 0.1%
Estee Lauder is a worldwide manufacturer and marketer of prestige skin care,
makeup and fragrance products, under five current names (Estee Lauder, Clinique,
Aramis, Prescriptives and Origins).
The Gillette Company 2,900 156,600 1.3%
Gillette produces and manufactures razors and razor blades, cosmetics,
stationery products, small appliances and oral care products.
- ------------------------------------------------------------------------------------------------------------------
Total Cosmetics and Soap 174,913
==================================================================================================================
CREDIT AND FINANCE - 3.2%
- ------------------------------------------------------------------------------------------------------------------
First USA, Inc. 2,500 140,625 1.1%
First USA is one of the largest issuers of credit cards and processors of credit
card transactions for merchants.
MBNA Corporation 8,010 227,284 1.8%
MBNA is the fourth largest credit card issuer and processor in the United
States.
Mercury Finance Corporation 2,700 31,050 0.3%
Mercury Finance, a consumer finance company, provides short-term installment
loans directly to consumers, purchases installment sales contracts from dealers,
and sells credit insurance.
- ------------------------------------------------------------------------------------------------------------------
Total Credit and Finance 398,959
</TABLE>
9
<PAGE> 3
P-I-C INSTITUTIONAL
BALANCED PORTFOLIO
STATEMENT OF NET ASSETS as of April 30, 1996
<TABLE>
<CAPTION>
===================================================================================================================
PERCENTAGE OF
EQUITY SECURITIES, CONTINUED HARES VALUE NET ASSETS
- -------------------------------------------------------------------------------------------------------------------
DIVERSIFIED - 1.8%
- -------------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C>
American Standard Company, Inc.* 1,200 $ 33,900 0.3%
American Standard is a global manufacturer of brand name products
such as air conditioning, plumbing and braking and control systems.
Thermo Electron Corporation* 1,800 110,924 0.9%
Thermo Electron manufactures analytical instruments, alternative-energy
systems, process equipment, biomedical items and other devices.
Tyco International Ltd. 2,000 77,250 0.6%
Tyco International, a diversified manufacturing company, produces fire
protection systems, pipes, fittings, and other flow control equipment.
- -------------------------------------------------------------------------------------------------------------------
Total Diversified 222,074
===================================================================================================================
DRUGS - 1.2%
- -------------------------------------------------------------------------------------------------------------------
Elan Corporation PLC, ADR* 1,000 66,125 0.5%
Elan Corporation is an Ireland-based company engaged in developing
drug delivery systems for controlling the absorption of drugs.
Eli Lilly & Company 1,500 88,500 0.7%
Eli Lilly develops and markets pharmaceutical products to treat
human and animal diseases.
- -------------------------------------------------------------------------------------------------------------------
Total Drugs 154,625
===================================================================================================================
ELECTRIC COMPONENTS/SEMICONDUCTORS - 0.6%
- -------------------------------------------------------------------------------------------------------------------
Analog Devices, Inc.* 2,950 75,961 0.6%
Analog Devices designs, manufactures and sells high performance
linear and mixed signal integrated circuits used in analog and
digital signal processing applications.
===================================================================================================================
ENTERTAINMENT - 4.7%
- -------------------------------------------------------------------------------------------------------------------
British Sky Broadcasting Group PLC, ADR 3,400 147,050 1.2%
British Sky Broadcasting is the leading pay television broadcasting
service in the United Kingdom with over 4.2 million subscribers.
Walt Disney Company 2,754 170,748 1.3%
Walt Disney is a diversified international entertainment company
with operations in three business segments:
Theme Parks and Resorts, Filmed Entertainment, and Consumer Products.
Hospitality Franchise System, Inc.* 4,400 226,050 1.8%
Hospitality Franchise is the world's largest hotel franchiser
with four nationally recognized brand names including Days Inn,
Ramada, Howard Johnson and Super 8.
Viacom, Inc.* 1,100 45,100 0.4%
Viacom owns and operates businesses in the entertainment industry,
including feature film and television production, home video retail,
publishing, cable, radio and television broadcasting and theme park operations.
- -------------------------------------------------------------------------------------------------------------------
Total Entertainment 588,948
===================================================================================================================
FOOD AND RESTAURANTS - 0.6%
- -------------------------------------------------------------------------------------------------------------------
McDonalds Corp. 1,400 67,025 0.6%
McDonalds is the largest global food service retailer.
McDonalds operates more than 15,000 restaurants and has
over 20% of the fast-food restaurant market in the United States.
</TABLE>
10
<PAGE> 4
P-I-C INSTITUTIONAL
BALANCED PORTFOLIO
STATEMENT OF NET ASSETS as of April 30, 1996
<TABLE>
<CAPTION>
==============================================================================================================================
PERCENTAGE OF
EQUITY SECURITIES, CONTINUED SHARES VALUE NET ASSETS
- ------------------------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C>
FUNERAL SERVICES - 0.7%
- ------------------------------------------------------------------------------------------------------------------------------
Service Corporation International 1,600 $ 85,000 0.7%
Service Corporation International is the world's largest funeral home and cemetery
consolidator with principal operation in North America, Australia, the United Kingdom,
and France. Service Corporation currently owns 1,471 funeral homes and 220 cemeteries.
==============================================================================================================================
GAMING - 1.3%
- ------------------------------------------------------------------------------------------------------------------------------
Circus Circus Enterprise, Inc.* 1,100 40,425 0.3%
Circus Circus Enterprises is one of the largest casino operators in the United
States.
Mirage Resorts, Inc.* 2,400 125,700 1.0%
Mirage Resorts owns and operates Mirage and Treasure Island resorts and the
Golden Nugget Hotel on the Las Vegas strip and the Golden Nugget in Laughlin,
Nevada.
- ------------------------------------------------------------------------------------------------------------------------------
Total Gaming 166,125
==============================================================================================================================
HEALTH INDUSTRY SERVICES - 1.9%
- ------------------------------------------------------------------------------------------------------------------------------
Healthsouth Corporation* 3,900 144,787 1.1%
Healthsouth is the nation's largest provider of outpatient and rehabilitative
health care services. Healthsouth provides these services through outpatient and
inpatient rehabilitation facilities, outpatient surgery centers and medical
centers.
St. Jude Medical, Inc.* 2,650 96,725 0.8%
St. Jude Medical manufactures and markets biomedical devices for cardiovascular
and vascular applications.
- ------------------------------------------------------------------------------------------------------------------------------
Total Health Industry Services 241,512
==============================================================================================================================
HEALTH MAINTENANCE ORGANIZATIONS - 3.3%
- ------------------------------------------------------------------------------------------------------------------------------
Oxford Health Plans, Inc.* 4,200 212,100 1.7%
Oxford Health Plans provides managed healthcare services in New Jersey, New York
and Connecticut.
United HealthCare Corporation 3,360 196,560 1.6%
United Healthcare is one of the largest and most geographically diverse health
maintenance organizations in the United States. United Healthcare offers
services from Alaska to Puerto Rico.
- ------------------------------------------------------------------------------------------------------------------------------
Total Health Maintenance Organizations 408,660
==============================================================================================================================
HOSPITALS - 0.4%
- ------------------------------------------------------------------------------------------------------------------------------
Columbia/HCA Healthcare 1,000 53,125 0.4%
Columbia Healthcare is a large healthcare services provider, with 199 acute care
and specialty hospitals located in the United States, Switzerland and the United
Kingdom.
==============================================================================================================================
INSURANCE - 2.3%
- ------------------------------------------------------------------------------------------------------------------------------
American International Group, Inc. 1,600 146,200 1.2%
American International Group is the leading United States-based international
insurance company and the nation's largest underwriter of specialty commercial
and industrial coverages. American International Group writes property,
casualty, marine, life and financial service insurance.
MGIC Investment Corp. 2,100 113,925 0.9%
MGIC Investment provides private mortgage insurance coverage to thrifts,
mortgage bankers and brokers, commercial banks and other lending institutions.
</TABLE>
11
<PAGE> 5
P-I-C INSTITUTIONAL
BALANCED PORTFOLIO
STATEMENT OF NET ASSETS as of April 30, 1996
<TABLE>
<CAPTION>
====================================================================================================================
PERCENTAGE OF
EQUITY SECURITIES, CONTINUED SHARES VALUE NET ASSETS
- --------------------------------------------------------------------------------------------------------------------
INSURANCE, CONTINUED
- --------------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C>
PMI Group, Inc. 500 $ 21,250 0.2%
PMI Group provides private mortgage insurance coverage to thrifts, mortgage
bankers and brokers, commercial banks, and lending institutions.
- --------------------------------------------------------------------------------------------------------------------
Total Insurance 281,375
====================================================================================================================
MAINFRAMES - 1.3%
- --------------------------------------------------------------------------------------------------------------------
Hewlett Packard Company 1,500 158,813 1.3%
Hewlett-Packard manufactures computers, calculators, electronic
test instruments and measurement analysis instruments.
====================================================================================================================
MEDICAL INSTRUMENTS - 2.6%
- --------------------------------------------------------------------------------------------------------------------
Boston Scientific Corporation* 1,500 64,687 0.5%
Boston Scientific is a worldwide developer, manufacturer, and marketer of
medical devices for less invasive procedures. The less invasive procedures
provide effective alternatives to traditional surgery by reducing procedural
trauma, complexity, risk to the patient, cost and recovery time.
Medtronic, Inc. 4,900 260,313 2.1%
Medtronic manufactures pacemakers, heart valves, neurological stimulation
devices, therapeutic catheters and blood oxygenators. The company markets its
products through hospitals, doctors, and other medical institutions throughout
the world.
- --------------------------------------------------------------------------------------------------------------------
Total Medical Instruments 325,000
====================================================================================================================
MEDICAL SERVICES - 0.8%
- --------------------------------------------------------------------------------------------------------------------
Cardinal Health, Inc. 1,500 94,125 0.8%
Cardinal Health is one of the largest wholesale drug distributor in the United
States.
====================================================================================================================
MORTGAGE AND RELATED SERVICES - 3.6%
- --------------------------------------------------------------------------------------------------------------------
Federal Home Loan Mortgage Corporation 1,200 100,050 0.8%
Federal Home Loan Mortgage buys and holds mortgages from lenders through the
United States and sells guaranteed mortgage-backed securities.
Federal National Mortgage Association 11,460 350,963 2.8%
Federal National Mortgage provides supplemental assistance to the secondary
market in guaranteed and insured home mortgages.
- --------------------------------------------------------------------------------------------------------------------
Total Mortgage and Related Services 451,013
====================================================================================================================
NATURAL GAS PRODUCTS AND PIPELINES - 0.6%
- --------------------------------------------------------------------------------------------------------------------
Enron Corp. 1,940 78,085 0.6%
Enron is an integrated natural gas company engaged in the gathering,
transportation and wholesale marketing of natural gas throughout the
United States and internationally.
</TABLE>
12
<PAGE> 6
P-I-C INSTITUTIONAL
BALANCED PORTFOLIO
STATEMENT OF NET ASSETS as of April 30, 1996
<TABLE>
<CAPTION>
=========================================================================================================================
PERCENTAGE OF
EQUITY SECURITIES, CONTINUED SHARES VALUE NET ASSETS
- -------------------------------------------------------------------------------------------------------------------------
NETWORKING - 2.1%
- -------------------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C>
Cabletron Systems, Inc.* 600 $ 45,224 0.4%
Cabletron manufactures local area network products and provides design and
support services for local area network systems.
Cisco Systems* 4,300 223,062 1.7%
Cisco Systems is the leading supplier of multimedia and multinetworking products
including routers, bridges, terminal servers and network management products.
- -------------------------------------------------------------------------------------------------------------------------
Total Networking 268,286
=========================================================================================================================
OFFICE EQUIPMENT/SUPPLIES - 0.8%
- -------------------------------------------------------------------------------------------------------------------------
Staples, Inc.* 5,000 95,000 0.8%
Staples operates 320 office supply stores in the United States and Canada.
=========================================================================================================================
PHARMACEUTICALS - 5.6%
- -------------------------------------------------------------------------------------------------------------------------
Amgen, Inc.* 3,100 178,250 1.4%
Amgen develops, manufactures and markets drugs based on advanced cellular and
molecular biology. The company's two principal drugs are Epogen, which promotes
the production of white blood cells, and Nuepogen, which stimulates the
production of certain white blood cells.
Merck & Company, Inc. 2,800 169,400 1.3%
Merck is the world's largest pharmaceutical company and the largest U.S.
pharmacy benefits management company.
Pfizer, Inc. 5,200 358,150 2.9%
Pfizer is a major producer of pharmaceuticals, hospital products, animal health
lines, consumer products and specialty chemicals and minerals.
- -------------------------------------------------------------------------------------------------------------------------
Total Pharmaceuticals 705,800
=========================================================================================================================
POLLUTION CONTROL - 0.6%
- -------------------------------------------------------------------------------------------------------------------------
Republic Industries, Inc.* 2,300 75,325 0.6%
Republic Industries is an integrated solid waste company providing a wide range
of services to public and private sector customers.
These services include disposal, collection, recycling, environmental treatment,
storage, resource recovery and transportation services.
=========================================================================================================================
SPECIALTY CHAINS - 1.4%
- -------------------------------------------------------------------------------------------------------------------------
CUC International, Inc.* 3,300 108,487 0.9%
CUC, a consumer services company, provides over 34 million members with access
to discount prices, product comparison information, and convenient purchasing
for home shopping, travel, insurance, auto and dining services.
Kohls Corporation* 2,000 68,750 0.5%
Kohls operates 109 family-oriented, specialty department stores in the Mid-West.
- -------------------------------------------------------------------------------------------------------------------------
Total Specialty Chains 177,237
</TABLE>
13
<PAGE> 7
P-I-C INSTITUTIONAL
BALANCED PORTFOLIO
STATEMENT OF NET ASSETS as of April 30, 1996
<TABLE>
<CAPTION>
=========================================================================================================================
PERCENTAGE OF
EQUITY SECURITIES, CONTINUED SHARES VALUE NET ASSETS
- -------------------------------------------------------------------------------------------------------------------------
TELEPHONE COMMUNICATIONS - 6.4%
- -------------------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C>
ADC Telecommunications, Inc.* 1,000 $ 42,000 0.3%
ADC Telecommunications is a leading telecommunications equipment supplier which
focuses on broadband connectivity, broadband transmission and wide area
networking products.
Andrew Corporation* 1,850 88,800 0.7%
Andrew Corporation is an international supplier of communications equipment and
services to commercial and government markets.
L.M. Ericsson Telephone Co., ADR 9,900 201,713 1.6%
Ericsson is a Swedish producer of telecommunications equipment suppliers and the
preeminent supplier in the cellular equipment market.
Frontier Corporation 4,500 142,314 1.2%
Frontier Corporation is a holding company that provides executive, legal, and
strategic services to a variety of subsidiaries involved in the local telephone
and telecommunications services industries. Frontier merged with ALC
Communications on August 16, 1995.
Glenayre Technologies, Inc.* 900 41,850 0.3%
Glenayre Technologies is a leading worldwide manufacturer of infrastructure
equipment for paging and other wireless telecommunications markets.
U.S. Robotics, Inc.* 1,300 203,450 1.7%
U.S. Robotics is the dominant provider of communications access products
including high speed modems and LAN/WAN hubs for dial up connectivity.
Worldcom* 1,600 75,200 0.6%
Worldcom is the fourth largest long distance carrier in the United States,
providing service throughout the nation and to over 220 foreign countries.
- --------------------------------------------------------------------------------------------------------------------
Total Telephone Communications 795,327
====================================================================================================================
TEXTILES AND SHOES - 0.4%
- --------------------------------------------------------------------------------------------------------------------
Tommy Hilfiger Corporation* 1,100 50,050 0.4%
Tommy Hilfiger designs, sources and markets mid-priced designer sportswear for
men and boys.
====================================================================================================================
TRANSPORTATION - 0.2%
- --------------------------------------------------------------------------------------------------------------------
Fritz Companies, Inc.* 800 29,400 0.2%
Fritz Companies provides global integrated logistics information services and
outsourcing to companies involved in the worldwide movement of goods.
- --------------------------------------------------------------------------------------------------------------------
Total Equity Securities (Cost $6,818,712) 8,888,766 71.1%
====================================================================================================================
FIXED INCOME SECURITIES - 25.9%
- --------------------------------------------------------------------------------------------------------------------
CORPORATE BONDS - 6.5% PRINCIPAL AMOUNT
- --------------------------------------------------------------------------------------------------------------------
American Express Credit Corporation, 8.750%, 6/15/1996 $ 100,000 100,343 0.8%
Ford Motor Credit Corporation, 7.250%, 5/15/1999 175,000 178,063 1.4%
Hertz Corporation, 6.000%, 1/15/2003 200,000 189,000 1.5%
Household Bank, 6.500%, 7/15/2003 175,000 169,313 1.4%
International Lease Finance, 6.125%, 11/1/1999 175,000 172,156 1.4%
- --------------------------------------------------------------------------------------------------------------------
Total Corporate Bonds (Cost $833,483) 808,875 6.5%
</TABLE>
14
<PAGE> 8
P-I-C INSTITUTIONAL
BALANCED PORTFOLIO
STATEMENT OF NET ASSETS as of April 30, 1996
<TABLE>
<CAPTION>
=========================================================================================================================
PRINCIPAL PERCENTAGE OF
EQUITY SECURITIES, CONTINUED AMOUNT VALUE NET ASSETS
- -------------------------------------------------------------------------------------------------------------------------
U.S. TREASURY OBLIGATIONS - 19.4%
- -------------------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C>
U.S. Treasury Bond, 10.375%, 11/15/2012 $ 500,000 $ 635,275 5.1%
U.S. Treasury Bond, 9.875%, 11/15/2015 325,000 421,161 3.4%
U.S. Treasury Note, 6.750%, 5/31/1997 150,000 151,575 1.2%
U.S. Treasury Note, 5.625%, 1/31/1998 250,000 248,520 1.9%
U.S. Treasury Note, 6.875%, 7/31/1999 525,000 533,830 4.3%
U.S. Treasury Note, 6.250%, 2/15/2003 450,000 442,638 3.5%
- -------------------------------------------------------------------------------------------------------------------------
Total U.S. Treasury Obligations (Cost $2,473,194) 2,432,999 19.4%
=========================================================================================================================
SHORT-TERM INVESTMENTS - 3.3%
- -------------------------------------------------------------------------------------------------------------------------
REPURCHASE AGREEMENT - 3.3%
- -------------------------------------------------------------------------------------------------------------------------
Lehman Brothers On-Line Repurchase Agreement, 4.99%,
dated 4/30/96, due 5/1/96 (Collateralized by $428,684
U.S. Treasury Bill, 7.5%, due 10/3/96) (Cost $407,000) 407,000 407,000 3.3%
- -------------------------------------------------------------------------------------------------------------------------
Total Investments (Cost $10,532,389) 12,537,640 100.3%
=========================================================================================================================
OTHER ASSETS - 1.0%
- -------------------------------------------------------------------------------------------------------------------------
Cash 614
Receivables:
Dividends and interest 87,310
For securities sold 26,650
From Advisor 2,841
Deferred organization costs 9,565
Other assets 1,207
- -------------------------------------------------------------------------------------------------------------------------
Total Other Assets 128,187 1.0%
=========================================================================================================================
LIABILITIES - (1.3%)
- -------------------------------------------------------------------------------------------------------------------------
Payable for securities purchased 149,386
Accrued expenses 16,516
- -------------------------------------------------------------------------------------------------------------------------
Total Liabilities 165,902 (1.3%)
=========================================================================================================================
TOTAL NET ASSETS - 100.0% $12,499,925 100.0%
- -------------------------------------------------------------------------------------------------------------------------
</TABLE>
*Non-income producing security.
The above descriptions of portfolio companies are furnished by management solely
for the general information of investors.
Unaudited. See Notes to Financial Statements.
15
<PAGE> 9
P-I-C INSTITUTIONAL
BALANCED PORTFOLIO
STATEMENT OF OPERATIONS Six Months ended April 30, 1996
<TABLE>
<CAPTION>
================================================================================
INVESTMENT INCOME
- --------------------------------------------------------------------------------
Income:
- --------------------------------------------------------------------------------
<S> <C>
Dividends $ 23,343
Interest 99,831
- --------------------------------------------------------------------------------
Total income 123,174
================================================================================
Expenses:
- --------------------------------------------------------------------------------
Investment advisory fee (Note 3) 36,061
Administration fee 6,010
Accounting services fee 32,400
Custodian fee 10,930
Auditing fee 5,968
Legal fees 1,243
Trustees' fees 1,889
Amortization of organization costs 4,972
Miscellaneous 1,563
- --------------------------------------------------------------------------------
Total expenses 101,036
Less, reimbursement/waiver by Advisor (Note 3) (52,955)
- --------------------------------------------------------------------------------
Net expenses 48,081
================================================================================
Net investment income 75,093
================================================================================
NET REALIZED AND UNREALIZED GAIN (LOSS) ON INVESTMENTS
- --------------------------------------------------------------------------------
Net realized gain from security transactions 517,963
Change in net unrealized appreciation of investments (127,719)
- --------------------------------------------------------------------------------
Net gain on investments 390,244
================================================================================
NET INCREASE IN NET ASSETS RESULTING FROM OPERATIONS $ 465,337
- --------------------------------------------------------------------------------
</TABLE>
Unaudited. See Notes to Financial Statements.
16
<PAGE> 10
P-I-C INSTITUTIONAL
BALANCED PORTFOLIO
STATEMENT OF CHANGES IN NET ASSETS
<TABLE>
<CAPTION>
===================================================================================================================
(DECREASE) INCREASE IN NET ASSETS:
- -------------------------------------------------------------------------------------------------------------------
Six Months Year
ended ended
From operations: April 30, 1996 October 31, 1995
- -------------------------------------------------------------------------------------------------------------------
<S> <C> <C>
Net investment income $ 75,093 $ 202,082
Net realized gain on investments 517,963 1,041,070
Change in unrealized appreciation of investments (127,719) 1,491,367
- -------------------------------------------------------------------------------------------------------------------
Net increase in net assets resulting from operations 465,337 2,734,519
===================================================================================================================
Transactions in interests:
Contributions by Holders 394,664 7,579,804
Withdrawals by Holders (900,671) (6,913,353)
- -------------------------------------------------------------------------------------------------------------------
Net (decrease) increase in net assets from transactions in interests (506,007) 666,451
===================================================================================================================
Total (decrease) increase in net assets (40,670) 3,400,970
===================================================================================================================
NET ASSETS:
- -------------------------------------------------------------------------------------------------------------------
Beginning of period 12,540,595 9,139,625
- -------------------------------------------------------------------------------------------------------------------
End of period $12,499,925 $12,540,595
- -------------------------------------------------------------------------------------------------------------------
</TABLE>
Unaudited. See Notes to Financial Statements.
17
<PAGE> 11
P-I-C INSTITUTIONAL
BALANCED PORTFOLIO
NOTES TO FINANCIAL STATEMENTS
================================================================================
1 - ORGANIZATION
- --------------------------------------------------------------------------------
P-I-C Balanced Portfolio (the "Portfolio") was organized on December 11,
1991 as a trust under the laws of the State of New York. The beneficial
interests in the Portfolio are divided into an unlimited number of
non-transferable Interests, par value $.01 each. The Portfolio is registered
under the Investment Company Act of 1940 as an open-end, diversified management
investment company.
2 - SIGNIFICANT ACCOUNTING POLICIES
- --------------------------------------------------------------------------------
The following is a summary of significant accounting policies consistently
followed by the Portfolio. These policies are in conformity with generally
accepted accounting principles.
A. Valuation of Securities. Equity securities listed on a national securities
exchange or traded on the NASDAQ system are valued at their last sale price.
Other equity securities and debt securities for which market quotations are
readily available are valued at the mean between their bid and asked price,
except that debt securities maturing within 60 days are valued on an
amortized cost basis. Securities for which market quotations are not readily
available are valued at fair value as determined in good faith by the Board
of Trustees.
B. Federal Income Taxes. The Portfolio intends to comply with the requirements
of the Internal Revenue Code applicable to it. Therefore, no federal income
tax provision is required.
C. Deferred Organization Expense. Organization costs of the Portfolio are being
amortized on a straight line basis over a period of sixty months. During the
amortization period the proceeds of any redemption of the original Interests
in the Portfolio by any Holder thereof will be reduced by a pro rata portion
of any then unamortized organization costs based on the ratio of Interests
redeemed to the total initial Interests outstanding prior to the redemption.
D. Other. Securities transactions are recorded on the trade date basis.
Realized gains and losses from securities transactions are reported on an
identified cost basis. Interest is recorded as accrued, and dividend income
is recorded on the ex-dividend date.
3 - TRANSACTIONS WITH AFFILIATES
- --------------------------------------------------------------------------------
The Portfolio has entered into an investment advisory agreement with
Provident Investment Counsel, Inc. ("PIC") and an administration agreement with
Investment Company Administration Corporation ("ICAC"), pursuant to which
agreements certain employees of these entities serve as officers and/or trustees
of the Portfolio. PIC and ICAC also provide management services necessary for
the operations of the Portfolio and furnish office facilities.
PIC receives a fee for its services to the Portfolio at the rate of 0.60%
of the average daily net assets of the Portfolio, but waived its fee of $36,061
for the period ended April 30, 1996. PIC has voluntarily agreed to limit the
total expenses of the Portfolio to an annual rate of 0.80% of the Portfolio's
average net assets. For the period ended April 30, 1996, PIC reimbursed expenses
of the Portfolio amounting to $16,894. ICAC receives an annual fee for its
services at the rate of .10% of average daily net assets of the Portfolio. Fees
paid to ICAC pursuant to the agreement totalled $6,010 for the period ended
April 30, 1996.
18
<PAGE> 12
P-I-C INSTITUTIONAL
BALANCED PORTFOLIO
NOTES TO FINANCIAL STATEMENTS
================================================================================
4 - INVESTMENT TRANSACTIONS
- --------------------------------------------------------------------------------
During the period ended April 30, 1996, purchases and sales of investment
securities, other than short-term obligations, were $6,412,382 and $10,551,200,
respectively. The cost of securities for federal income tax purposes was
$10,532,389. The aggregate gross unrealized appreciation and depreciation of
portfolio securities, based on cost for federal income tax purposes, were as
follows:
<TABLE>
<CAPTION>
<S> <C>
Unrealized appreciation $2,122,479
Unrealized depreciation (117,228)
----------
Net unrealized appreciation $2,005,251
==========
</TABLE>
<TABLE>
<CAPTION>
5 - SELECTED RATIO DATA
- -------------------------------------------------------------------------------------------------------
Six Months Year Year Year
ended ended ended ended
April 30, 1996 October 31, 1995 October 31, 1994 October 31, 1993
-------------- ---------------- ---------------- ----------------
<S> <C> <C> <C> <C>
Ratios to average net assets:++
Operating expenses 0.80%* 0.80% 0.80% 0.80%
Net investment income 1.25%* 1.57% 1.63% 2.05%
Portfolio turnover rate 53.80% 106.50% 116.63% 92.65%
</TABLE>
*Annualized.
++Net of expense reimbursements equivalent to 0.88%, 0.78%, 1.16% and 4.68% of
average net assets, respectively.
19
