<PAGE>
UNITED STATES SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 10-Q
(Mark One)
(X) QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE
ACT OF 1934
For the quarterly period ended June 30, 1998
-------------
OR
( ) TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES
EXCHANGE ACT OF 1934
For the transition period from to
---------------- -----------------
Commission File Number 0-21112
THE SECTOR STRATEGY FUND(SM) V L.P.
------------------------------------------
(Exact Name of Registrant as
specified in its charter)
Delaware 13-3674792
- ------------------------------- ---------------------------------
(State or other jurisdiction of (IRS Employer Identification No.)
incorporation or organization)
c/o Merrill Lynch Investment Partners Inc.
Merrill Lynch World Headquarters - South Tower, 6th Fl.
World Financial Center New York, New York 10080-6106
-------------------------------------------------------
(Address of principal executive offices)
(Zip Code)
212-236-5662
----------------------------------------------
(Registrant's telephone number, including area code)
Indicate by check mark whether the registrant (1) has filed all reports
required to be filed by Section 13 or 15 (d) of the Securities Exchange Act of
1934 during the preceding 12 months (or for such shorter period that the
registrant was required to file such reports), and (2) has been subject to such
filing requirements for the past 90 days. Yes X No
----- -----
<PAGE>
PART I - FINANCIAL INFORMATION
Item 1. Financial Statements
THE SECTOR STRATEGY FUND(SM) V L.P.
-----------------------------------
(a Delaware limited partnership)
--------------------------------
STATEMENTS OF FINANCIAL CONDITION
---------------------------------
<TABLE>
June 30, December 31,
1998 1997
--------------- ----------------
<S> <C> <C>
ASSETS
- ------
Accrued interest $ 948 $ 15,390
Equity in commodity futures trading accounts:
Cash and options premiums 59,006 3,396,218
Net unrealized (loss) profit on open contracts (29,799) 17,058
Investments 9,990,730 8,871,133
Receivable from investments 113,322 155,372
--------------- ----------------
TOTAL $10,134,207 $12,455,171
=============== ================
LIABILITIES AND PARTNERS' CAPITAL
- ---------------------------------
LIABILITIES:
Redemptions payable $ 75,719 $ 215,502
Profit Shares payable - 3,352
Brokerage commissions payable - 24,892
Administrative fees payable - 711
--------------- ----------------
Total liabilities 75,719 244,457
--------------- ----------------
PARTNERS' CAPITAL:
General Partner (851 and 2990 Units) 105,624 395,313
Limited Partners (80183 and 89367 Units) 9,952,864 11,815,401
--------------- ----------------
Total partners' capital 10,058,488 12,210,714
--------------- ----------------
TOTAL $ 10,134,207 $ 12,455,171
=============== ================
NET ASSET VALUE PER UNIT
(Based on 81034 and 92357 Units outstanding) $ 124.13 $ 132.21
=============== ================
</TABLE>
See notes to financial statements.
2
<PAGE>
THE SECTOR STRATEGY FUND(SM) V L.P.
-----------------------------------
(a Delaware limited partnership)
--------------------------------
STATEMENTS OF OPERATIONS
------------------------
<TABLE>
For the three For the three For the six For the six
months ended months ended months ended months ended
June 30, June 30, June 30, June 30,
1998 1997 1998 1997
--------------- --------------- --------------- ------------
<S> <C> <C> <C> <C>
REVENUES:
Trading (loss) profits:
Realized $ (27,176) $ (139,656) $ (40,498) $ 317,577
Change in unrealized (127,389) (68,162) (46,857) (37,562)
--------------- --------------- --------------- ------------
Total trading results (154,565) (207,818) (87,355) 280,015
--------------- --------------- --------------- ------------
Interest income 27,731 93,633 69,508 190,502
Loss from investments (214,517) (176,490) (594,827) (18,517)
--------------- --------------- --------------- ------------
Total revenues (341,351) (290,675) (612,674) 452,000
--------------- --------------- --------------- ------------
EXPENSES:
Profit shares (5,562) (46,218) 73 17,263
Brokerage commissions 44,056 86,683 115,706 187,326
Administrative fees 1,261 2,477 3,308 5,247
--------------- --------------- --------------- ------------
Total expenses 39,755 42,942 119,087 209,836
--------------- --------------- --------------- ------------
NET (LOSS) INCOME $ (381,106) $ (333,617) $ (731,761) $ 242,164
=============== =============== =============== ============
NET (LOSS) INCOME PER UNIT:
Weighted average number
of units outstanding 90,534 106,411 87,753 110,173
=============== =============== =============== ============
Weighted average net (loss)
income per Limited Partner
and General Partner Unit $ (4.21) $ (3.14) $ (8.34) $ 2.20
=============== =============== =============== ============
</TABLE>
See notes to financial statements.
3
<PAGE>
THE SECTOR STRATEGY FUND(SM) V L.P.
-----------------------------------
(a Delaware limited partnership)
--------------------------------
STATEMENTS OF CHANGES IN PARTNERS' CAPITAL
------------------------------------------
For the six months ended June 30, 1998 and 1997
-----------------------------------------------
<TABLE>
General
Units Limited Partners Partner Total
---------- ----------------- ------------- --------------
<S> <C> <C> <C> <C>
PARTNERS' CAPITAL,
December 31, 1996 117,846 $ 13,678,217 $ 356,079 $ 14,034,296
Redemptions (14,424) (1,763,576) - (1,763,576)
Net Income - 236,487 5,677 242,164
---------- ----------------- ------------- --------------
PARTNERS' CAPITAL,
June 30, 1997 103,422 $ 12,151,128 $ 361,756 $ 12,512,884
========== ================= ============= ==============
PARTNERS' CAPITAL,
December 31, 1997 92,357 11,815,401 395,313 12,210,714
Redemptions (11,323) (1,155,145) (265,320) (1,420,465)
Net Loss - (707,392) (24,369) (731,761)
---------- ----------------- ------------- --------------
PARTNERS' CAPITAL,
June 30, 1998 81,034 $ 9,952,864 $ 105,624 $ 10,058,488
========== ================= ============= ==============
</TABLE>
See notes to financial statements.
4
<PAGE>
SECTOR STRATEGY FUND(SM) V L.P.
-------------------------------
(A Delaware Limited Partnership)
--------------------------------
NOTES TO FINANCIAL STATEMENTS
1. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
These financial statements have been prepared without audit. In the opinion
of management, the financial statements contain all adjustments (consisting
of only normal recurring adjustments) necessary to present fairly the
financial position of The SECTOR Strategy FundSM V L.P. (the "Partnership"
or the "Fund") as of June 30, 1998 and the results of its operations for
the six months ended June 30, 1998 and 1997. However, the operating results
for the interim periods may not be indicative of the results expected for
the full year.
Certain information and footnote disclosures normally included in annual
financial statements prepared in accordance with generally accepted
accounting principles have been omitted. It is suggested that these
financial statements be read in conjunction with the financial statements
and notes thereto included in the Partnership's Annual Report on Form 10-K
filed with the Securities and Exchange Commission for the year ended
December 31, 1997 (the "Annual Report").
2. INVESTMENTS
Many of the multi-advisor funds (the "Multi-Advisor Funds") sponsored by
Merrill Lynch Investment Partners Inc. ("MLIP") allocate their assets to a
number of the same Trading Advisors. However, because different Multi-
Advisor Funds have historically allocated assets to slightly different
Advisor groups, the Multi-Advisor Funds have often been required to open
and maintain individual trading accounts with each Advisor. MLIP has
decided to consolidate the trading accounts of nine of its Multi-Advisor
Funds (including the Partnership) as of June 1, 1998. The consolidation is
achieved by having these Multi-Advisor Funds close their existing trading
accounts and invest in a limited liability company, ML Multi-Manager
Portfolio L.L.C. ("MM LLC ") which will open a single account with each
Advisor selected. MM LLC is managed by MLIP, initially has no investors
other than the Multi-Advisor Funds and serves solely as the vehicle through
which the assets of such Multi-Advisor Funds are combined in order to be
managed through single rather than multiple accounts.
As of June 30, 1998 the Partnership had an investment in MM LLC and as of
December 31, 1997, the Partnership had investments in the ML JWH Financial
and Metals Portfolio L.L.C. ("JWH LLC") and the ML Sjo Prospect L.L.C.
("SJO LLC") as follows:
1998 1997
-------------- -------------
MM LLC $ 9,990,730 $ -
JWH LLC - 5,408,273
SJO LLC - 3,462,860
-------------- -------------
Total $ 9,990,730 $ 8,871,133
============== =============
During the second quarter of 1998, the Partnership withdrew its investments in
JWH LLC and SJO LLC.
5
<PAGE>
Total revenues and fees with respect to such investments is set forth as
follows:
<TABLE>
For the three
months ended Total Brokerage Administrative Profit (Loss) Income from
June 30, 1998 Revenue Commission Fees Shares Investments
------------ ------------ ------------- ---------- --------------------------
<S> <C> <C> <C> <C> <C>
JWH LLC $ (193,762) $ 63,702 $ 1,821 $ - $ (259,285)
MM LLC 107,271 73,885 2,111 21,973 9,302
SJO LLC 89,580 48,577 1,388 4,149 35,466
------------ ------------ ------------- ---------- --------------------------
Total 3,089 186,164 5,320 26,122 (214,517)
============ ============ ============= ========== ==========================
<CAPTION>
For the three
months ended Total Brokerage Administrative Profit (Loss) Income from
June 30, 1997 Revenue Commissions Fees Shares Investments
------------ ------------ ------------- ---------- --------------------------
<S> <C> <C> <C> <C> <C>
JWH LLC $ (147,162) $ 64,138 $ 1,833 $ - $ (213,133)
SJO LLC 102,034 60,349 1,725 3,317 36,643
------------ ------------ ------------- ---------- --------------------------
Total (45,128) 124,487 3,558 3,317 (176,490)
============ ============ ============= ========== ==========================
<CAPTION>
For the six
months ended Total Brokerage Administrative Profit (Loss) Income from
June 30, 1998 Revenue Commissions Fees Shares Investments
------------ ------------ ------------- ---------- --------------------------
<S> <C> <C> <C> <C> <C>
JWH LLC $ (545,697) $ 173,031 $ 4,943 $ - $ (723,671)
MM LLC 107,271 73,885 2,111 21,973 9,302
SJO LLC 264,273 116,220 3,607 24,904 119,542
------------ ------------ ------------- ---------- --------------------------
Total $ (174,153) $ 363,136 $ 10,661 $ 46,877 $ (594,827)
============ ============ ============= ========== ==========================
<CAPTION>
For the six
months ended Total Brokerage Administrative Profit (Loss) Income from
June 30, 1997 Revenue Commissions Fees Shares Investments
------------ ------------ ------------- ---------- --------------------------
<S> <C> <C> <C> <C> <C>
JWH LLC $ (19,192) $ 139,752 $ 3,913 $ 1,021 $ (163,878)
SJO LLC 296,035 127,387 3,569 19,718 145,361
------------ ------------ ------------- ---------- --------------------------
Total $ 276,843 $ 267,139 $ 7,482 $ 20,739 $ (18,517)
============ ============ ============= ========== ==========================
</TABLE>
6
<PAGE>
Condensed statements of financial condition and statements of operations for JWH
LLC, SJO LLC and MM LLC are set forth as follows:
<TABLE>
MM LLC JWH LLC SJO LLC
June 30, December 31, December 31,
1998 1997 1997
---------------- ----------------- -----------------
<S> <C> <C> <C>
Assets $ 123,484,970 $ 62,481,438 $ 21,240,207
================ ================= =================
Liabilities 3,872,011 1,122,533 2,058,617
Members'
Capital $ 119,612,959 $ 61,358,905 $ 19,181,590
---------------- ----------------- -----------------
Total
$ 123,484,970 $ 62,481,438 $ 21,240,207
================ ================= =================
<CAPTION>
MM LLC
For the three months For the six months
ended June 30, 1998 ended June 30, 1998
------------------------ -----------------------
<S> <C> <C>
Revenues $ 1,307,775 $ 1,307,775
Expenses $ 1,187,403 $ 1,187,403
------------------------ -----------------------
Net Income $ 120,372 $ 120,372
======================== =======================
<CAPTION>
JWH LLC
For the three months For the three months For the six months For the six months
ended June 30, 1998 ended June 30, 1997 ended June 30, 1998 ended June 30, 1997
-------------------- -------------------- ------------------- -------------------
<S> <C> <C> <C> <C>
Revenues $ (3,235,723) $ (2,656,425) $ (7,262,323) $ (374,729)
Expenses $ 991,700 $ 1,242,115 $ 2,333,897 $ 2,729,950
-------------------- -------------------- ------------------- -------------------
Net Loss $ (4,227,423) $ (3,898,540) $ (9,596,220) $ (3,104,679)
==================== ==================== =================== ===================
<CAPTION>
SJO LLC
For the three months For the three months For the six months For the six months
ended June 30, 1998 ended June 30, 1997 ended June 30, 1998 ended June 30, 1997
-------------------- -------------------- ------------------- -------------------
<S> <C> <C> <C> <C>
Revenues $ 500,566 $ 765,489 $ 1,472,850 $ 2,174,836
Expenses $ 299,321 $ 481,869 $ 802,878 $ 1,101,197
-------------------- -------------------- ------------------- -------------------
Net Income $ 201,245 $ 283,620 $ 669,972 $ 1,073,639
==================== ==================== =================== ===================
</TABLE>
7
<PAGE>
3. FAIR VALUE AND OFF-BALANCE SHEET RISK
As of June 1, 1998, the Partnership invested all of its assets in MM LLC. The
Partnership is thus, invested indirectly in the trading of derivative
instruments. The only derivative instruments held by the Partnership were
offsetting commitments to purchase and sell the same derivative instruments on
the same date in the future. These commitments were economically offsetting but
were not, as a technical matter, offset in the forward market until settlement
date.
The Partnership's total trading results by reporting category for the respective
periods were as follows:
<TABLE>
For the three For the three For the six For the six
months ended months ended months ended months ended
June 30, June 30, June 30, June 30,
1998 1997 1998 1997
--------------- ------------- ------------- --------------
<S> <C> <C> <C> <C>
Interest rate & Stock indices $ (80,855) $ (129,581) $ 162,415 $ (85,593)
Commodities (25,625) 38,988 (73,623) 216,463
Currencies (28,696) (47,486) (75,241) 228,921
Energy (9,009) (37,231) (48,558) (41,381)
Metals (10,380) (32,508) (52,348) (38,395)
--------------- ------------- ------------- --------------
$ (154,565) $ (207,818) $ (87,355) $ 280,015
--------------- ------------- ------------- --------------
</TABLE>
The contract/notional values of the Partnership's open derivative instrument
positions as of June 30, 1998 and December 31, 1997 were as follows:
<TABLE>
1998 1997
---------------------------------------- ----------------------------------------------
Commitment to Commitment to Commitment to Commitment to
Purchase (Futures, Sell (Futures, Purchase (Futures, Sell (Futures,
Options & Forwards) Options & Forwards) Options & Forwards) Options & Forwards)
------------------- ------------------- --------------------- ---------------------
<S> <C> <C> <C> <C>
Interest rate &
Stock Indices $ - $ - $ 5,191,446 $ 3,605,481
Commodities - - - 577,742
Currencies - - 2,688,064 3,771,760
Energy - - - 70,560
Metals 775,450 775,450 366,525 628,125
------------------- ------------------- --------------------- ---------------------
$775,450 $ 775,450 $ 8,246,035 $ 8,653,668
=================== =================== ===================== =====================
</TABLE>
8
<PAGE>
The contract/notional values of the Partnership's exchange-traded and
non-exchange-traded open derivative instrument positions as of June 30, 1998 and
December 31, 1997 were as follows:
<TABLE>
1998 1997
---------------------------------------------- -------------------------------------------------
Commitment to Commitment to Commitment to Commitment to
Purchase (Futures, Sell (Futures, Purchase (Futures, Sell (Futures,
Options & Forwards) Options & Forwards) Options & Forwards) Options & Forwards)
---------------------- ---------------------- ------------------------ -----------------------
<S> <C> <C> <C> <C>
Exchange
traded $ - $ - $ 5,191,446 $ 4,253,783
Non-Exchange
traded 775,450 775,450 3,054,589 4,399,885
---------------------- ---------------------- ------------------------ -----------------------
$ 775,450 $ 775,450 $ 8,246,035 $ 8,653,668
====================== ====================== ======================== =======================
</TABLE>
The average fair values, based on contract/notional values, of the Partnership's
derivative instrument positions which were open as of the end of each calendar
month during the six months ended June 30, 1998 and the year ended December 31,
1997 were as follows:
<TABLE>
1998 1997
--------------------------------------------- ---------------------------------------------
Commitment to Commitment to Commitment to Commitment to
Purchase (Futures, Sell (Futures, Purchase (Futures, Sell (Futures,
Options & Forwards) Options & Forwards) Options & Forwards) Options & Forwards)
--------------------- -------------------- -------------------- --------------------
<S> <C> <C> <C> <C>
Interest rate &
Stock Indices $ 13,655,028 $ 4,139,875 $ 10,943,098 $ 10,638,175
Commodities 142,263 536,610 646,831 267,468
Currencies 7,321,597 7,347,760 3,882,292 5,239,264
Energy 100,880 109,519 105,153 247,775
Metals 802,499 821,512 1,058,720 1,014,697
--------------------- -------------------- -------------------- --------------------
$ 22,022,267 $ 12,955,276 $ 16,636,094 $ 17,407,379
===================== ==================== ==================== ====================
</TABLE>
The gross unrealized profit and the net unrealized profit (loss) on the
Partnership's open derivative instrument positions as of June 30, 1998 and
December 31, 1997 were as follows:
<TABLE>
1998 1997
----------------------------- ----------------------------------
Gross Net Gross Net
Unrealized Unrealized Unrealized Unrealized
Profit Loss Profit Profit (Loss)
----------- ------------ -------------- --------------
<S> <C> <C> <C> <C>
Exchange
traded $ - $ - $ 34,125 $ 30,870
Non-Exchange
traded 35,006 (29,799) 48,885 (13,812)
----------- ------------ -------------- --------------
$ 35,006 $ (29,799) $ 83,010 $ 17,058
=========== ============ ============== ==============
</TABLE>
9
<PAGE>
Item 2: Management's Discussion and Analysis of Financial Condition and
---------------------------------------------------------------
Results of Operations
---------------------
The significant variations in both the statement of financial
condition and the statement of operations line items is primarily due to the
Partnership placing assets under the management of Advisors not through opening
managed accounts with them but rather through investing in MM LLC.
MONTH-END NET ASSET VALUE PER UNIT
----------------------------------------------------
Jan. Feb. Mar. Apr May Jun
----------------------------------------------------
1997 $122.53 $124.41 $124.03 $120.91 $115.51 $120.99
----------------------------------------------------
1998 $130.73 $129.48 $128.35 $121.27 $124.04 $124.13
----------------------------------------------------
Performance Summary
January 1,1997 to June 30, 1997
January 1,1997 to March 31, 1997
In the currency markets, the U.S. dollar rallied and started 1997 on a strong
note, rising to a four-year high versus the Japanese yen and two-and-a-half year
highs versus the Deutsche mark and the Swiss franc. January and February proved
profitable for currency trading; March, however, was unprofitable.
Global interest rate markets began the year on a volatile note, as investors
evaluated economic data for signs of inflation. Trading in interest rates proved
profitable in January; losses were experienced in February and March.
In the energy markets, a slump in crude oil prices was characteristic of its
lackluster performance from the beginning of the year. Early in 1997, volatility
returned in the energy markets, reflecting the impact of a winter significantly
warmer than normal. January and March saw losses in energy positions; February,
however, proved profitable.
Agricultural commodity trading proved profitable in February and March. Soybean
prices reached their highest level in over eight years, on continued demand and
fears that inventories could fall to critically low levels before the next
harvest.
April 1, 1997 to June 30, 1997
In the currency markets, the dollar underwent a significant correction in the
Spring against the Japanese yen due to the G7 finance ministers' determination
that a further dollar advance would be counter-productive to their current
goals. Currency trading was unprofitable for the quarter.
Global interest rate trading provided varied results for the quarter. Losses
were incurred in April due to U.S. bond prices having moved in a directionless
pattern, as investors remained concerned over inflation and its impact on
further increases in interest rates by the U.S. Federal Reserve. Profits were
seen in May and June.
Energy trading saw losses throughout the quarter. In June crude oil trended
downward during the beginning of the month, before a sudden price reversal
occurred amid speculation that Iraq exports could be delayed until August. Price
movement of heating oil and unleaded gas proved to be trendless.
Agricultural commodity trading was profitable for the quarter. May's profits
were due to coffee prices surging beyond three dollars a pound for the first
time in twenty years, on the possibility of frost in Brazil and reports of poor
crops in smaller countries.
January 1, 1998 to June 30, 1998
January 1, 1998 to March 31, 1998
The Fund's most profitable positions during the quarter were in the global
interest rate markets. In Europe, an extended bond market rally continued
despite an environment of robust growth in the United States, Canada and the
United Kingdom, as well as a strong pick-up in growth in continental Europe.
Gold prices drifted sideways and lower as Asian demand continued to slow and
demand in the Middle East was affected by low oil prices. Initially buoyed on
concerns about a U.S.-led military strike against Iraq, crude oil fell to a nine
year low, as the globally warm winter, the return of Iraq as a producer and the
Asian economic crisis added to OPEC's supply glut problems.
10
<PAGE>
Trading results in stock index markets were mixed, but marginally unprofitable,
despite a strong first-quarter performance by the U.S. equity market as several
consecutive weekly gains were recorded with most market averages setting new
highs. Results in currency trading were also mixed, but unprofitable. In
particular, the Swiss franc weakened versus the U.S. dollar.
Agricultural commodity markets provided profitable trading results overall. Live
cattle and hog prices trended downward throughout the quarter. Cotton prices
moved mostly upward during the quarter, but prices dropped off sharply at the
end of March.
April 1, 1998 to June 30, 1998
As swings in the U.S. dollar and developments in Japan affected bond markets,
the Fund's interest rate trading during the quarter resulted in losses,
particularly in Eurodollar deposits. Early in the quarter, U.S. Treasury trading
was range-bound, as concern that the economy might be overheating was balanced
by the potential impact of the Asian recession. Additionally, Australian bonds
and bills saw a dramatic drop in prices in early June, as dollar-bloc currencies
remained under pressure versus the U.S. dollar due to the Japanese/Asian crisis.
Metals and energy trading also resulted in losses. The depressed gold market
weakened further following news of a European Central Bank consensus that ten to
fifteen percent of reserves should be made up of gold bullion which was at the
low end of expectations. Despite production cuts initiated by OPEC at the end of
March, world oil supplies remained excessive and oil prices stood at relatively
low levels throughout the quarter.
Results in currency trading were profitable. Strong gains were realized in
positions on the Japanese yen, which weakened during June to an eight-year low
versus the U.S. dollar. Trading results in stock index markets were also
unprofitable, as the Asia-Pacific region's equity markets weakened across the
board. In particular, Hong Kong's Hang Seng index trended downward during most
of the quarter and traded at a three-year low.
Agricultural commodity trading produced losses. The U.S. soybean crop got off to
a good start which contributed to higher yield expectations and a more
burdensome supply outlook and soybean prices traded in a volatile pattern for
the second half of the quarter. Sugar futures maintained mostly a downtrend, as
no major buyers emerged to support the market. Similarly, coffee prices trended
downward, as good weather conditions in Central America and Mexico increased the
prospects of more output from these countries.
Item 3. Quantitative and Qualitative Disclosures About Market Risk
Not Applicable
11
<PAGE>
PART II - OTHER INFORMATION
Item 1. Legal Proceedings
There are no pending legal proceedings to which the Partnership or the
General Partner is a party.
Item 2. Changes in Securities and Use of Proceeds
(a) None.
(b) None.
(c) None.
(d) None.
Item 3. Defaults Upon Senior Securities
None.
Item 4. Submission of Matters to a Vote of Security Holders
None.
Item 5. Other Information
Effective May 11, 1998, Jo Ann Di Dario became a Vice President,
Treasurer and Chief Financial Officer of Merrill Lynch Investment Partners Inc.
(?MLIP?). Ms. Di Dario was born in 1946. Before joining MLIP, she was
self-employed for one year. From February 1996 to May 1997, she worked as a
consultant for Global Asset Management, an international mutual fund organizer
and operator headquartered in London, where she offered advice on restructuring
the back office operations. From May 1992 to January 1996, Ms. Di Dario served
as Vice President of Meridian Bank Corporation, a regional bank holding company.
She was responsible for managing the treasury operations of the bank holding
company and its wholly-owned subsidiary, Meridian Investment Company Inc. Ms. Di
Dario managed the domestic treasury operation of First Fidelity Bank, a regional
bank, from September 1991 to May 1992. From 1985 until December 1990, Ms. Di
Dario was Vice President, Secretary and Controller of Caxton Corporation, a
commodity pool operator and commodity trading advisor. Her background includes
seven years of public accounting experience. She graduated with high honors from
Stockton State College with a Bachelor of Science Degree in Accounting.
Item 6. Exhibits and Reports on Form 8-K.
(a) Exhibits
There are no exhibits required to be filed as part of this report.
(b) Reports on Form 8-K
There were no reports on Form 8-K filed during the first six months of
fiscal 1998.
12
<PAGE>
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934, the
registrant has duly caused this report to be signed on its behalf by the
undersigned thereunto duly authorized.
THE SECTOR STRATEGY FUND(SM) V L.P.
By: MERRILL LYNCH INVESTMENT PARTNERS INC.
(General Partner)
Date: August 11, 1998 By /s/ JOHN R. FRAWLEY, JR,
------------------------
John R. Frawley, Jr.
Chairman, Chief Executive Officer,
President and Director
Date: August 11, 1998 By /s/ JO ANN DI DARIO
-------------------
Jo Ann Di Dario
Vice President, Chief Financial Officer
and Treasurer
<TABLE> <S> <C>
<PAGE>
<ARTICLE> BD
<S> <C> <C>
<PERIOD-TYPE> 6-MOS 6-MOS
<FISCAL-YEAR-END> DEC-31-1998 DEC-31-1997
<PERIOD-START> JAN-01-1998 JAN-01-1997
<PERIOD-END> JUN-30-1998 JUN-30-1997
<CASH> 0 0
<RECEIVABLES> 10,134,207 12,455,171
<SECURITIES-RESALE> 0 0
<SECURITIES-BORROWED> 0 0
<INSTRUMENTS-OWNED> 0 0
<PP&E> 0 0
<TOTAL-ASSETS> 10,134,207 12,455,171
<SHORT-TERM> 0 0
<PAYABLES> 75,719 244,457
<REPOS-SOLD> 0 0
<SECURITIES-LOANED> 0 0
<INSTRUMENTS-SOLD> 0 0
<LONG-TERM> 0 0
0 0
0 0
<COMMON> 0 0
<OTHER-SE> 10,058,488 12,210,714
<TOTAL-LIABILITY-AND-EQUITY> 10,134,207 12,455,171
<TRADING-REVENUE> (87,355) 280,015
<INTEREST-DIVIDENDS> 69,508 190,502
<COMMISSIONS> 119,087 209,836
<INVESTMENT-BANKING-REVENUES> (594,827) (18,517)
<FEE-REVENUE> 0 0
<INTEREST-EXPENSE> 0 0
<COMPENSATION> 0 0
<INCOME-PRETAX> (731,761) 242,164
<INCOME-PRE-EXTRAORDINARY> (731,761) 242,164
<EXTRAORDINARY> 0 0
<CHANGES> 0 0
<NET-INCOME> (731,761) 242,164
<EPS-PRIMARY> (8.34) 2.20
<EPS-DILUTED> (8.34) 2.20
</TABLE>
