<PAGE>
THE PANAGORA FUNDS
ASSET ALLOCATION FUND
- -------------------------------------------------------------------------
PORTFOLIO OF INVESTMENTS NOVEMBER 30, 1993 (UNAUDITED)
- -------------------------------------------------------------------------
<TABLE>
<CAPTION>
MARKET VALUE
SHARES (NOTE 1)
- -------------------------------------------------------------------------
<C> <S> <C>
COMMON STOCKS - 68.9%
FINANCIAL SERVICES - 10.3%
200 American International Group, Inc. $17,225
300 AmSouth Bancorporation 8,850
300 Bank of New York, Inc. 16,650
200 Bankers Trust NY Corporation 15,300
800 Bear Stearns Companies, Inc. 17,800
200 Beneficial Corporation 14,750
200 Federal Home Loan Mortgage Corporation 9,600
400 Federal National Mortgage Association 30,200
400 First Union Corporation 16,250
400 Merrill Lynch & Company, Inc. 18,150
300 Morgan Stanley Group, Inc. 21,525
500 Morgan (J.P.) & Company, Inc. 35,438
500 Norwest Corporation 11,437
200 Primerica Corporation 8,000
500 SouthTrust Corporation 8,625
100 UNUM Corporation 4,925
- -------------------------------------------------------------------------
254,725
- -------------------------------------------------------------------------
UTILITIES - 9.7%
400 American Telephone & Telegraph Company 21,850
400 Ameritech Corporation 30,600
300 DQE, Inc. 10,125
500 Entergy Corporation 18,438
400 Illinois Power Company 8,800
1,100 MCI Communications Corporation 26,812
900 Niagara Mohawk Power Corporation 18,450
400 NYNEX Corporation 17,050
1,000 Philadelphia Electric Company (PECO Energy) 28,000
300 Potomac Electric Power Company 7,725
400 Southern Company 17,300
300 Southwestern Bell Corporation 12,750
400 Sprint Corporation 13,100
200 U S West, Inc. 9,350
- -------------------------------------------------------------------------
240,350
- -------------------------------------------------------------------------
CONSUMER NON-DURABLES - 8.8%
600 Coca-Cola 25,350
200 Crown Cork & Seal, Inc. 7,900
300 Gillette 18,750
200 Liz Claiborne 4,725
200 Nike, Inc. 9,575
200 PepsiCo 8,050
900 Philip Morris Companies, Inc. 50,288
700 Procter & Gamble 39,725
300 Reebok International Ltd 9,150
600 Seagram Ltd 16,575
100 Unilever N.V. 11,212
400 V.F. Corporation 17,450
- -------------------------------------------------------------------------
218,750
- -------------------------------------------------------------------------
</TABLE>
SEE NOTES TO FINANCIAL STATEMENTS.
<PAGE>
THE PANAGORA FUNDS
ASSET ALLOCATION FUND
- -------------------------------------------------------------------------
PORTFOLIO OF INVESTMENTS (CONTINUED) NOVEMBER 30, 1993 (UNAUDITED)
- -------------------------------------------------------------------------
<TABLE>
<CAPTION>
MARKET VALUE
SHARES (NOTE 1)
- -------------------------------------------------------------------------
<C> <S> <C>
COMMON STOCKS (CONTINUED)
ENERGY - 7.7%
400 Ashland Oil, Inc. $13,250
500 Chevron Corporation 43,438
400 Dresser Industries, Inc. 7,800
400 Exxon Corporation 25,100
200 MAPCO, Inc. 12,100
100 Mobil Corporation 7,625
300 Penn Central Corporation 9,075
100 Royal Dutch Petroleum Company 10,100
500 Schlumberger Ltd 28,750
400 Texaco, Inc. 25,700
300 Unocal Corporation 8,137
- -------------------------------------------------------------------------
191,075
- -------------------------------------------------------------------------
HEALTH CARE - 7.2%
500 Abbott Laboratories 14,625
400 Baxter International Corporation 9,400
200 Becton, Dickinson 6,800
300 Forest Labs, Inc.+ 13,912
300 Johnson & Johnson 13,088
800 Merck & Company 27,400
200 Pfizer, Inc. 13,300
600 Schering Plough Corporation 40,125
500 Syntex Corporation 8,562
800 Upjohn Company 25,000
100 Warner-Lambert Company 6,638
- -------------------------------------------------------------------------
178,850
- -------------------------------------------------------------------------
TECHNOLOGY - 7.2%
100 Apple Computer, Inc. 3,150
100 Autodesk, Inc. 4,450
100 Cabletron Systems, Inc.+ 10,475
300 COMPAQ Computer Corporation+ 21,712
400 Digital Equipment Corporation+ 14,750
200 E-Systems, Inc. 8,375
700 Intel Corporation 43,050
200 Litton Industries, Inc.+ 13,050
400 Loral Corporation 13,200
200 Microsoft Corporation+ 16,000
200 Pitney Bowes, Inc. 8,400
500 Seagate Technology+ 12,125
300 Sun Microsystem, Inc.+ 7,988
- -------------------------------------------------------------------------
176,725
- -------------------------------------------------------------------------
CAPITAL GOODS - 6.9%
1,000 Boeing Company 38,625
300 Deere & Company 21,263
200 Fluor Corporation 8,475
800 General Electric Company 78,600
400 Raytheon Company 24,500
- -------------------------------------------------------------------------
171,463
- -------------------------------------------------------------------------
</TABLE>
SEE NOTES TO FINANCIAL STATEMENTS.
<PAGE>
THE PANAGORA FUNDS
ASSET ALLOCATION FUND
- -------------------------------------------------------------------------
PORTFOLIO OF INVESTMENTS (CONTINUED) NOVEMBER 30, 1993 (UNAUDITED)
- -------------------------------------------------------------------------
<TABLE>
<CAPTION>
MARKET VALUE
SHARES (NOTE 1)
- -------------------------------------------------------------------------
<C> <S> <C>
COMMON STOCKS (CONTINUED)
- -------------------------------------------------------------------------
CONSUMER SERVICES - 5.4%
400 K mart Corporation $9,400
500 King World Productions, Inc.+ 20,375
400 Kroger Company+ 7,450
200 McDonald's Corporation 11,725
300 Melville Corporation 12,300
300 Penney (J.C.), Inc. 16,013
500 Rite Aid Corporation 8,125
400 Toys R Us, Inc.+ 16,300
800 Wal-Mart Stores, Inc. 22,900
400 Woolworth Corporation 9,300
- -------------------------------------------------------------------------
133,888
- -------------------------------------------------------------------------
BASIC INDUSTRIES - 3.3%
300 Dow Chemical Company 17,437
400 FMC Corporation+ 18,450
400 Lubrizol Corporation 12,800
500 Phelps Dodge Corporation 21,875
500 Union Carbide Corporation 10,375
- -------------------------------------------------------------------------
80,937
- -------------------------------------------------------------------------
CONSUMER DURABLES - 1.7%
200 Chrysler Corporation 10,550
500 Ford Motor Company 30,375
- -------------------------------------------------------------------------
40,925
- -------------------------------------------------------------------------
TRANSPORTATION - 0.7%
200 American President Companies Ltd 11,000
100 Union Pacific Corporation 6,350
- -------------------------------------------------------------------------
17,350
- -------------------------------------------------------------------------
TOTAL COMMON STOCKS (COST $1,739,961) 1,705,038
- -------------------------------------------------------------------------
</TABLE>
<TABLE>
<CAPTION>
FACE
VALUE
- -------------------------------------------------------------------------
<C> <S> <C>
U.S. TREASURY BILLS - 11.3%
U.S. Treasury Bills:
$240,000 2.990% due 12/16/93 239,800
40,000 2.880% due 12/30/93++ 39,906
- -------------------------------------------------------------------------
TOTAL U.S. TREASURY BILLS (COST $279,706) 279,706
- -------------------------------------------------------------------------
COMMERCIAL PAPER - 18.1% (COST $449,000)
449,000 General Electric Capital Corporation, 3.150% due
12/01/93 449,000
- -------------------------------------------------------------------------
TOTAL INVESTMENTS (COST $2,468,667*) 98.3% 2,433,744
OTHER ASSETS AND LIABILITIES (NET) 1.7 41,421
- -------------------------------------------------------------------------
NET ASSETS 100.0% 2,475,165
- -------------------------------------------------------------------------
<FN>
* Aggregate cost for Federal tax purposes.
+ Non-income producing security.
++ Security pledged as collateral for futures contracts.
</TABLE>
<TABLE>
<CAPTION>
OPEN FUTURES CONTRACTS TO BUY AT NOVEMBER 30, 1993:
NUMBER OF UNREALIZED
CONTRACTS DEPRECIATION
- --------- ------------
<C> <S> <C>
2 Standard & Poor's 500 Index Futures, December 1993 (800)
- -------------------------------------------------------------------------
</TABLE>
SEE NOTES TO FINANCIAL STATEMENTS.
<PAGE>
THE PANAGORA FUNDS
GLOBAL FUND
- ------------------------------------------------------------------------------
PORTFOLIO OF INVESTMENTS NOVEMBER 30, 1993 (UNAUDITED)
- ------------------------------------------------------------------------------
<TABLE>
<CAPTION>
MARKET VALUE
SHARES (NOTE 1)
- ------------------------------------------------------------------------------
<C> <S> <C>
COMMON STOCKS - 83.8%
BELGIUM - 3.8%
888 ACEC Union Miniere $55,260
1,125 A.G. Finance 81,006
81 Bekaert SA 44,273
146 CBR (Cimenteries) 45,930
1,713 Delhaize 59,054
1,621 Electrabel Com 281,199
343 Electrabel (AFUL) 59,501
541 Generale de Banque Ord 132,133
154 Gevaert Photo Productions 36,256
817 Group Brussels Lambert SA 84,024
490 Ktedietbank 106,859
846 Petrofina SA 226,892
469 Royale Beige 67,282
290 Solvay ET Cie A 113,390
435 Tractebel Cap 114,269
- ------------------------------------------------------------------------------
1,507,328
- ------------------------------------------------------------------------------
HONG KONG - 3.7%
6,000 Bank of East Asia 34,175
27,000 Cathay Pacific Airways 40,544
34,000 Cheung Kong Holdings 156,246
28,800 China Light & Power 169,631
20,000 Dairy Farm International 33,916
23,000 Hang Seng Bank Ltd. 174,175
95,000 Hong Kong Telecommunications 180,777
20,000 Hong Kong & China Gas 49,709
35,000 Hutchison Whampoa 140,453
7,000 Jardine Matheson Holdings 59,353
22,000 New World Development Company 77,747
28,600 Sun Hung Kai Properties 177,709
15,000 Swire Pacific Ltd., Series A 103,883
18,000 Wharf Holdings 62,679
- ------------------------------------------------------------------------------
1,460,997
- ------------------------------------------------------------------------------
ITALY - 4.0%
19,700 Assicurazioni Generale 423,563
27,700 Banca Commerciale Italiana 70,564
16,400 Banco Ambrosiano Veneto 40,662
41,300 Credito Italiano S.p.A. 54,615
15,100 Edison 62,472
11,300 Fiat S.p.A. di Risp 13,008
45,700 Fiat S.p.A. Ord 101,570
17,300 Fiat S.p.A. Priv 19,286
4,800 Italcable 21,534
15,600 Italgas 41,579
12,760 Mediobanca S.p.A. 90,182
140,700 Montedison S.p.A. 64,960
39,100 Olivetti Group S.p.A. Ord 40,080
52,400 Pirelli S.p.A. Ord 57,217
4,900 RAS 71,535
</TABLE>
SEE NOTES TO FINANCIAL STATEMENTS.
<PAGE>
THE PANAGORA FUNDS
GLOBAL FUND
- ------------------------------------------------------------------------------
PORTFOLIO OF INVESTMENTS (CONTINUED) NOVEMBER 30, 1993 (UNAUDITED)
- ------------------------------------------------------------------------------
<TABLE>
<CAPTION>
MARKET VALUE
SHARES (NOTE 1)
- ------------------------------------------------------------------------------
<C> <S> <C>
COMMON STOCKS (CONTINUED)
ITALY - (CONTINUED)
2,300 RAS Di Risp $19,804
3,200 SAI (Soc Assic) 34,652
11,300 Saipem 19,880
128,300 SIP 231,658
35,700 SIP Di Risp 54,976
7,500 Sirti S.p.A. 37,943
12,500 SME (Meridionale Finanziaria) 25,224
- ------------------------------------------------------------------------------
1,596,964
- ------------------------------------------------------------------------------
JAPAN - 12.6%
13,000 Asahi Bank Limited 128,748
7,000 Asahi Glass Company 67,400
12,000 Bank of Tokyo 156,259
19,000 Dai Ichi Kangyo Bank 308,391
8,000 Daiwa Securities 83,631
19,000 Fuji Bank 304,906
4,000 Fuji Photo Film Ltd Ord 82,898
10,000 Fujitsu Ltd 66,208
19,000 Hitachi Ltd 133,810
5,000 Honda Motor Company 62,815
16,000 Industrial Bank of Japan 394,681
1,000 Ito-Yokado Company 48,327
5,000 Kansai Electric Power 125,172
7,000 Kirin Brewery 71,894
1,000 Kyocera Corporation 46,492
12,000 Matsushita Electric Industrial 149,656
8,000 Mitsubishi Corporation 74,828
8,000 Mitsubishi Estate Company 65,878
21,000 Mitsubishi Heavy Industries 115,351
8,000 Mitsubishi Trust & Banking 80,697
7,000 Mitsui Trust & Banking 53,278
10,000 NEC Corporation 70,977
5,000 Nippon Denso Company Ltd 72,444
47,000 Nippon Steel 129,730
16,000 Nissan Motor Company 103,439
12,000 Nomura Securities Company 187,070
16,000 Osaka Gas Company 68,959
21,000 Sakura Bank 250,344
1,000 Seven-Eleven Japan NPV 77,946
7,000 Sharp Corporation 87,299
1,000 Sony Corporation 42,824
21,000 Sumitomo Bank 342,779
4,000 Tohoku Electric Power 108,574
13,000 Tokai Bank 120,404
10,000 Tokio Marine & Fire Insurance Company 101,788
8,000 Tokyo Electric Power Company 214,947
17,000 Tokyo Gas Company Ltd. 73,581
22,000 Toyota Motor Company 330,857
- ------------------------------------------------------------------------------
5,005,282
- ------------------------------------------------------------------------------
</TABLE>
See Notes to Financial Statements.
<PAGE>
THE PANAGORA FUNDS
GLOBAL FUND
- ------------------------------------------------------------------------------
PORTFOLIO OF INVESTMENTS (CONTINUED) NOVEMBER 30, 1993 (UNAUDITED)
- ------------------------------------------------------------------------------
<TABLE>
<CAPTION>
MARKET VALUE
SHARES (NOTE 1)
- ------------------------------------------------------------------------------
<C> <S> <C>
COMMON STOCKS (CONTINUED)
NETHERLANDS - 7.0%
6,400 ABN Amro Holdings $231,797
2,600 Ahold Koninklijke NV 61,250
1,100 Akzo NV Ord 101,541
1,500 Elsevier NV CVA 121,653
900 Heineken NV 93,306
6,100 International Nederlanden Groep CVA 266,511
7,500 Philips Electronics NV 145,548
12,400 Royal Dutch Petroleum 1,252,740
3,700 Unilever NV CVA 411,815
1,500 Wolters Kluwer CVA 82,192
- ------------------------------------------------------------------------------
2,768,353
- ------------------------------------------------------------------------------
SINGAPORE - 1.4%
1,200 City Developments 4,912
2,500 Development Bank of Singapore 22,964
4,000 Fraser & Neave Ord 38,243
17,000 Genting Berhad Myro, Reg 178,467
1,000 Keppel Corporation Ord 6,155
20,000 Malayan Banking 141,223
4,666 Overseas-Chinese Banking Corporation 37,618
40,000 Sime Darby BHD 88,983
3,000 Singapore International Airlines 20,809
700 Singapore Press Holdings 6,518
3,375 United Overseas Bank 26,151
- ------------------------------------------------------------------------------
572,043
- ------------------------------------------------------------------------------
SPAIN - 12.1%
26,400 Banco Bilbao Vizcaya 571,064
18,800 Banco Central Hispano Americano 408,000
10,900 Banco de Santander Ord 472,333
4,600 Banco Espanol de Credito 68,184
3,300 Dragados & Constructoras SA Ord 46,809
20,100 Empresa Nacional De Electric (Endesa) 912,340
2,600 Gas Natural S.D.G. SA 138,667
90,500 Iberdrola SA 586,004
23,800 Repsol SA 668,425
80,300 Telefonica Nacional de Espana Ord 956,766
- ------------------------------------------------------------------------------
4,828,592
- ------------------------------------------------------------------------------
SWEDEN - 1.9%
9,100 Astra AB Free Series A 179,316
1,900 Astra AB Free Series B 36,767
1,200 ASEA AB Free Series A 76,743
500 ASEA AB Free Series B 31,858
3,100 Ericsson (L.M.) Tele Free Series B 122,537
1,300 Electrolux AB Free Series B 44,484
1,800 Skanska AB Free Series B 33,770
1,100 Stora Kopparbergs Bergslags Free Series A 47,115
3,400 Svenska Cellulosa A Ktiebolaget Free Series B 51,351
4,000 Svenska Handelsbanken Series A 50,030
1,300 Volvo AB Free Series B 63,504
- ------------------------------------------------------------------------------
737,475
- ------------------------------------------------------------------------------
</TABLE>
SEE NOTES TO FINANCIAL STATEMENTS.
<PAGE>
THE PANAGORA FUNDS
GLOBAL FUND
- ------------------------------------------------------------------------------
PORTFOLIO OF INVESTMENTS (CONTINUED) NOVEMBER 30, 1993 (UNAUDITED)
- ------------------------------------------------------------------------------
<TABLE>
<CAPTION>
MARKET VALUE
SHARES (NOTE 1)
- ------------------------------------------------------------------------------
<C> <S> <C>
COMMON STOCKS (CONTINUED)
SWITZERLAND - 4.2%
79 Brown Boveri & Cie AG $53,000
37 Ciba Beigy AG 20,336
231 Ciba Beigy AG, Reg 120,348
35 Credit Suisse Holdings 83,828
74 C.S. Holdings 34,905
75 Holderbank Financier Glaris AG 41,972
368 Nestle SA (Regd) 284,152
15 Roche Holdings AG, BR 107,528
67 Roche Holdings AG Genuscheine 268,491
13 Sandoz AG 31,093
51 Sandoz AG, Reg 122,998
21 Schweiz Ruckversicherungs (Renaissance) 50,996
244 Schweizercher Bankverein, Reg 37,714
185 Schweizerische Bankgelsellschaft 161,829
221 Schweizerischer Bankverein 70,673
205 SMH AG Neuenburg, Reg 31,412
41 SMH AG Nuenberg, BR 28,408
188 Union Bank of Switzerland 38,827
64 Zurich Versicherungs, BR 60,887
42 Zurich Versicherung 40,097
- ------------------------------------------------------------------------------
1,689,494
- ------------------------------------------------------------------------------
UNITED STATES - 33.1%
7,400 Abbott Laboratories 216,450
2,700 American Home Products Corporation 169,088
2,800 American International Group, Inc. 241,150
11,900 American Telephone & Telegraph Company 650,037
2,400 Ameritech Corporation 183,600
4,400 Amoco Corporation 234,850
1,400 Atlantic Richfield 145,250
3,100 BankAmerica Corporation 137,563
3,800 Bell Atlantic Corporation 228,000
4,400 BellSouth Corporation 251,350
4,600 Bristol-Myers Squibb 275,425
2,900 Cheveron Corporation 251,937
3,100 Chrysler Corporation 163,525
11,500 Coca Cola Company 485,875
4,700 Disney (Walt) Company 186,825
2,400 Dow Chemical Company 139,500
6,000 duPont (EI) deNemours & Company 285,750
2,900 Eastman Kodak Company 176,538
11,000 Exxon Corporation 690,250
2,400 Federal National Mortgage Association 181,200
4,400 Ford Motor Company 267,300
8,400 GTE Corporation 311,850
7,600 General Electric Company 746,700
6,300 General Motors Corporation 333,112
2,200 Hewlett Packard Company 162,250
</TABLE>
SEE NOTES TO FINANCIAL STATEMENTS.
<PAGE>
THE PANAGORA FUNDS
GLOBAL FUND
- ------------------------------------------------------------------------------
PORTFOLIO OF INVESTMENTS (CONTINUED) NOVEMBER 30, 1993 (UNAUDITED)
- ------------------------------------------------------------------------------
<TABLE>
<CAPTION>
MARKET VALUE
SHARES (NOTE 1)
- ------------------------------------------------------------------------------
<C> <S> <C>
COMMON STOCKS (CONTINUED)
UNITED STATES - (CONTINUED)
4,000 Home Depot, Inc. $165,500
3,700 Intel Corporation 227,550
5,100 International Business Machines Corporation 274,763
5,800 Johnson & Johnson 253,025
3,100 McDonald's Corporation 181,737
10,000 Merck & Company, Inc. 342,500
1,900 Minnesota Mining & Manufacturing Company 207,100
3,500 Mobil Corporation 266,875
2,400 Motorola, Inc. 225,000
3,700 NYNEX Corporation 157,713
3,800 Pacific Gas & Electric Company 130,625
3,700 Pacific Telesis Group 209,975
7,000 PepsiCo Inc. 281,750
2,800 Pfizer, Inc. 186,200
7,800 Philip Morris Companies, Inc. 435,825
6,000 Procter & Gambel Company 340,500
4,700 Royal Dutch Petroleum Company ADR 474,700
2,100 Schlumberger, Ltd. 120,750
3,100 Sears Roebuck & Company 168,562
5,300 Southwestern Bell Corporation 225,250
2,300 Texaco, Inc. 147,775
3,300 Time Warner Inc. 145,612
1,400 Unilever N.V. ADR 156,975
3,700 US West, Inc. 172,975
20,300 Wal-Mart Stores, Inc. 581,088
- ------------------------------------------------------------------------------
13,195,700
- ------------------------------------------------------------------------------
TOTAL COMMON STOCKS (COST $34,370,116) 33,362,228
- ------------------------------------------------------------------------------
</TABLE>
<TABLE>
<CAPTION>
FACE
VALUE
- ------------------------------------------------------------------------------
<C> <S> <C>
COMMERCIAL PAPER - 6.6% (COST $2,642,000)
$2,642,000 General Electric Capital Corporation, 3.15% 2,642,000
due 12/01/93
- ------------------------------------------------------------------------------
</TABLE>
SEE NOTES TO FINANCIAL STATEMENTS.
<PAGE>
THE PANAGORA FUNDS
GLOBAL FUND
- ------------------------------------------------------------------------------
PORTFOLIO OF INVESTMENTS (CONTINUED) NOVEMBER 30, 1993 (UNAUDITED)
- ------------------------------------------------------------------------------
<TABLE>
<CAPTION>
FACE MARKET VALUE
VALUE (NOTE 1)
- ------------------------------------------------------------------------------
<C> <S> <C>
U.S. TREASURY BILL - 2.8% (COST $1,100,000)
$1,100,000 U.S. Treasury Bill, 2.890% due 12/16/93 $1,100,000
- ------------------------------------------------------------------------------
</TABLE>
<TABLE>
<CAPTION>
SHARES
- ------------------------------------------------------------------------------
RIGHTS AND WARRANTS - 0.0%
<C> <S> <C>
1,125 A.G. Fin, Rights, expire 12/07/93 1,115
11,600 Mediobanca, Rights, expire 12/03/93 3,911
115 CS Holdings, Warrants, expire 12/21/93 1,820
53 CS Holdings, BR, Warrants, expire 12/21/93 4,343
- ------------------------------------------------------------------------------
TOTAL RIGHTS AND WARRANTS (COST $4,278) 11,189
- ------------------------------------------------------------------------------
</TABLE>
<TABLE>
<S> <C> <C>
TOTAL INVESTMENTS (COST $38,116,394*) 93.2% 37,115,417
OTHER ASSETS AND LIABILITIES (NET) 6.8 2,688,233
- ------------------------------------------------------------------------------
NET ASSETS 100.0% $39,803,650
- ------------------------------------------------------------------------------
<FN>
* Aggregate cost for federal tax purposes.
ADR - American Depository Receipt
</TABLE>
OPEN FUTURES CONTRACTS TO BUY AT NOVEMBER 30, 1993:
<TABLE>
<CAPTION>
Unrealized
Number of Appreciation/
Contracts (Depreciation)
------------- ------------------
<C> <S> <C>
90 All Ordinary Index Future December 1993 (94,944)
21 Topix Index Future December 30 (572,471)
1 Japan Treasury 10 Year Index Future 10,307
9 US Treasury Note 10 Year Index Future (7,887)
- ------------------------------------------------------------------------------
(664,995)
- ------------------------------------------------------------------------------
OPEN FUTURES CONTRACTS TO SELL AT NOVEMBER 30, 1993:
11 Standard & Poor's 500 Index Future 36,075
- ------------------------------------------------------------------------------
NET UNREALIZED DEPRECIATION OF OPEN FUTURES CONTRACTS ($628,920)
- ------------------------------------------------------------------------------
</TABLE>
SEE NOTES TO FINANCIAL STATEMENTS.
<PAGE>
THE PANAGORA FUNDS
GLOBAL FUND
- ------------------------------------------------------------------------------
PORTFOLIO OF INVESTMENTS NOVEMBER 30, 1993 (UNAUDITED)
- ------------------------------------------------------------------------------
<TABLE>
<CAPTION>
PERCENTAGE OF MARKET VALUE
SECTOR DIVERSIFICATION NET ASSETS (NOTE 1)
- ------------------------------------------------------------------------------
<S> <C> <C>
COMMON STOCKS:
Utility 18.8% $7,505,035
Financial Services 18.3% 7,310,119
Oil & Gas 10.4% 4,133,173
Basic Industries 6.2% 2,475,132
Consumer Services 5.6% 2,243,442
Technology 4.4% 1,742,551
Health Care Services 4.1% 1,636,839
Transportation 3.6% 1,438,704
Non-Durable Goods 3.4% 1,339,209
Food & Kindred Products 2.5% 986,141
Durable Goods 2.2% 876,959
Holding Companies 1.6% 632,550
Manufacturing 0.9% 343,038
Forestry Products & Paper 0.8% 305,566
Real Estate 0.7% 277,357
Other 0.3% 116,413
-------------- ---------------
TOTAL COMMON STOCKS 83.8% 33,362,228
COMMERCIAL PAPER 6.6% 2,642,000
U.S. TREASURY BILL 2.8% 1,100,000
WARRANTS & RIGHTS 0.0% 11,189
-------------- ---------------
TOTAL INVESTMENTS 93.2% 37,115,417
OTHER ASSETS AND LIABILITIES (NET) 6.8% 2,688,233
-------------- ---------------
NET ASSETS 100.0% $39,803,650
-------------- ---------------
-------------- ---------------
</TABLE>
SEE NOTES TO FINANCIAL STATEMENTS.
<PAGE>
THE PANAGORA FUNDS
GLOBAL FUND
- ------------------------------------------------------------------------------
SCHEDULE OF FORWARD FOREIGN EXCHANGE CONTRACTS NOVEMBER 30, 1993 (UNAUDITED)
- ------------------------------------------------------------------------------
<TABLE>
<CAPTION>
CONTRACT MARKET VALUE
VALUE DATE (NOTE 1)
- ------------------------------------------------------------------------------
<S> <C> <C>
FORWARD FOREIGN EXCHANGE CONTRACTS TO BUY
1,743,173 Australian Dollars 12/06/93 $1,148,045
1,826,669 Great Britain Pound Sterling 12/07/93 2,711,749
363,000,000 Japanese Yen 12/07/93 3,329,021
- ------------------------------------------------------------------------------
(Contract Amount $7,262,153) $7,188,815
- ------------------------------------------------------------------------------
FORWARD FOREIGN EXCHANGE CONTRACTS TO SELL
16.973,000 German Duetsche Marks 12/07/93 ($9,886,158)
535,700,000 Japanese Yen 12/07/93 (4,912,828)
- ------------------------------------------------------------------------------
TOTAL FORWARD FOREIGN EXCHANGE CONTRACTS TO SELL
(Contract Amount $15,000,000) ($14,798,986)
- ------------------------------------------------------------------------------
</TABLE>
SEE NOTES TO FINANCIAL STATEMENTS.
<PAGE>
<TABLE>
THE PANAGORA FUNDS
INTERNATIONAL EQUITY FUND
- -------------------------------------------------------------------------------------------
PORTFOLIO OF INVESTMENTS NOVEMBER 30, 1993 (UNAUDITED)
- -------------------------------------------------------------------------------------------
<CAPTION>
MARKET VALUE
SHARES (NOTE 1)
- -------------------------------------------------------------------------------------------
COMMON STOCKS - 81.2%
<C> <S> <C>
AUSTRIA - 2.0%
500 Creditanstalt Bank $31,027
100 EA Generali AG 32,560
600 Oesterreichische El Wirtsch 35,145
500 Omev AG 33,472
100 Wienerberger Baust 31,690
1,000 Z-Laenderbank Austria 88,732
- -------------------------------------------------------------------------------------------
252,626
- -------------------------------------------------------------------------------------------
BELGIUM - 1.5%
100 ACEC Union Miniere 6,223
200 A.G. Finance 14,401
200 Delhaize 6,895
100 Electrabel 17,347
100 Generale de Banque Ord 24,424
100 Group Brussels Lambert SA 10,284
100 Kredietbank 21,808
100 Pertofina Sa 26,819
100 Solvay Et Cie, Series A 39,100
100 Tractebel Cap 26,269
- -------------------------------------------------------------------------------------------
193,570
- -------------------------------------------------------------------------------------------
FRANCE - 5.7%
222 Alcatel Alsthom Cie Generale D'Electic 29,059
300 Axa Comapny 75,051
89 BSN 12,489
215 Carrefour 136,476
200 Compagnie Bancaire SA 17,689
495 Compagnie de Saint Gobain 45,864
500 Compagnie Financiere de Suez 28,555
256 Cie Generale des Eaux 112,388
200 Elf Sanofi 31,637
600 Euro Disney SCA 3,260
101 Gulibert SA New 24,331
200 Lafarge Coppee SA 13,969
100 L'Oreal 19,660
131 LVMH Moet Hennessey 81,323
100 Lyonnaise des Eaux DuMez 9,013
400 Michelin Group 12,244
551 Pechiney International 18,379
80 Pernod - Ricard 5,232
400 Rhone - Poulenc SA Ord, Series A 10,007
73 Societe Generale Ord 8,645
220 Societe National Elf Aquitaine 15,144
400 Thompson - CSF 10,478
145 Union des Assurances de Paris 15,462
- -------------------------------------------------------------------------------------------
736,355
- -------------------------------------------------------------------------------------------
</TABLE>
SEE NOTES TO FINANCIAL STATEMENTS.
<PAGE>
<TABLE>
THE PANAGORA FUNDS
INTERNATIONAL EQUITY FUND
- -------------------------------------------------------------------------------------------
PORTFOLIO OF INVESTMENTS (CONTINUED) NOVEMBER 30, 1993 (UNAUDITED)
- -------------------------------------------------------------------------------------------
<CAPTION>
MARKET VALUE
SHARES (NOTE 1)
- -------------------------------------------------------------------------------------------
COMMON STOCKS (CONTINUED)
<C> <S> <C>
GERMANY - 10.3%
89 Allianz $148,303
280 BASF 44,210
330 Bayer 63,449
115 Beiersdorf 56,282
350 Daimler Benz 145,742
300 Deutsche Bank 148,047
25 Douglas Holdings 8,375
300 Dresdner Bank 76,033
100 Hochtief 59,720
100 Karstadt 34,026
23 Linde 11,069
300 Mannesmann 64,812
50 Munchener Ruckversicherungs-G 110,991
120 M.A.N. Group 25,659
23 Pittler Maschinenfabrik 1,541
200 RWE Aktiengesellschaft 54,476
320 Siemens 134,705
100 Thyssen 13,838
290 VEBA Group 77,030
200 VIAG Group 53,660
- -------------------------------------------------------------------------------------------
1,331,968
- -------------------------------------------------------------------------------------------
GREAT BRITAIN - 7.4%
4,433 Arjo Wiggins Appleton 16,389
23,960 Chubb Security 130,563
6,566 General Electric 32,514
18,408 Glaxo Holdings 183,126
51,250 Hanson Trust PLC 216,113
3,600 Imperial Chemical Industries 39,929
60 Racal Electronics 178
5,250 RTZ Corporation 55,814
9,278 SmithKline Beecham, Series A 53,451
19,449 Vodafone 153,053
6,900 Zeneca Group 77,863
- -------------------------------------------------------------------------------------------
958,993
- -------------------------------------------------------------------------------------------
HONG KONG - 2.8%
4,800 Cheung Kong Holdings 22,058
4,560 China Light & Power 26,858
3,300 Hang Seng Bank Ltd. 24,990
13,500 Hong Kong Telecommunications 25,690
16,700 Hong Kong & Shanghia Banking Corporation 184,835
10,800 Hutchison-Whampoa Ltd. 43,340
5,280 Sun Hung Kia Properties 32,808
- -------------------------------------------------------------------------------------------
360,579
- -------------------------------------------------------------------------------------------
</TABLE>
SEE NOTES TO FINANCIAL STATEMENTS.
<PAGE>
<TABLE>
THE PANAGORA FUNDS
INTERNATIONAL EQUITY FUND
- -------------------------------------------------------------------------------------------
PORTFOLIO OF INVESTMENTS (CONTINUED) NOVEMBER 30, 1993 (UNAUDITED)
- -------------------------------------------------------------------------------------------
<CAPTION>
MARKET VALUE
SHARES (NOTE 1)
- -------------------------------------------------------------------------------------------
COMMON STOCKS (CONTINUED)
<C> <S> <C>
ITALY - 10.7%
254 Allanza Assicurazioni Di Risp $1,819
15,800 Assicurazioni Generali 339,710
32,500 Banca Comerciale Italiana 82,791
17,900 Banco Ambrosianno Veneto 44,381
53,100 Credito Italiano S.p.A. 70,219
12,400 Edison 51,302
4,000 Fiat S.p.A. Di Risp 4,605
48,600 Fiat S.p.A. Ord 108,016
19,900 Fiat S.p.A. Priv 22,184
4,100 Italcable 18,393
11,500 Italgas 30,651
12,870 Mediobanca 90,960
90,800 Monedison S.p.A. International 41,922
35,600 Olivetti Group S.p.A. Ord 36,492
29,500 Pirelli S.p.A. Ord 32,212
1,100 RAS di Resp 9,472
4,100 RAS International 59,856
1,800 Rinascente Ord 7,917
2,900 S.A.I. 31,404
5,000 Saipem International 8,796
112,100 SIP 202,408
29,800 SIP Di Risp 45,890
6,000 Sirti S.p.A. International 30,354
7,700 SME (Meridionale Finanziaria) 15,538
- -------------------------------------------------------------------------------------------
1,387,292
- -------------------------------------------------------------------------------------------
JAPAN - 22.5%
3,200 Ajinomoto Company, Inc. 32,866
7,100 Asahi Chemical Industry 36,851
3,200 Asahi Glass Company 30,812
4,000 Bank of Tokyo 52,086
1,600 Bridgestone Company 18,487
1,900 Canon, Inc. 23,870
1,600 Chugai Pharmaceutical 16,873
6,790 Dai Ichi Kangyo Bank 110,209
3,200 Dai Nippon Printing Company 44,897
800 Daido Steel Company 2,678
8,000 Daikyo Kanko 66,318
1,600 Daishowa Paper Manufacturing 18,634
1,600 Daiwa House Industry Company 21,128
2,400 Denki Kagaku Kogyo 5,612
5,100 Fuji Bank 81,843
3,200 Fujitsu Ltd. 21,187
7,100 Hitachi Ltd. 50,003
1,600 Honda Motor Company 20,101
800 House Food Industrial Company 18,267
4,800 Industrial Bank of Japan 118,404
6,500 Itochu Corporation 29,147
1,000 Ito-Yokado Company 48,326
</TABLE>
SEE NOTES TO FINANCIAL STATEMENTS.
<PAGE>
<TABLE>
THE PANAGORA FUNDS
INTERNATIONAL EQUITY FUND
- -------------------------------------------------------------------------------------------
PORTFOLIO OF INVESTMENTS (CONTINUED) NOVEMBER 30, 1993 (UNAUDITED)
- -------------------------------------------------------------------------------------------
<CAPTION>
MARKET VALUE
SHARES (NOTE 1)
- -------------------------------------------------------------------------------------------
COMMON STOCKS (CONTINUED)
<C> <S> <C>
JAPAN - (CONTINUED)
2,400 Japan Airlines $12,985
1,680 Joyo Bank 11,215
800 Jufi Photo Film Ltd. 16,580
5,200 Kajima Corporation 39,387
1,600 Kamigumi Company 15,552
1,020 Kandenko Company 21,139
2,560 Kansai Electric Power 64,088
8,400 Kawasaki Steel Corporation 23,109
7,274 Kinki Nippon Railway Company 54,563
4,000 Kirin Brewery 41,082
2,400 Konatsu 15,560
800 Kyocera Corporation 37,194
800 Kyushu Electric Power Company, Inc. 20,247
800 Maeda Road Construction 14,525
800 Marudai Food Company, Ltd. 5,832
5,600 Matsushita Electric Industrial 69,839
8,790 Mitsubishi Bank 209,574
4,000 Mitsubishi Estate Company 32,939
14,300 Mitsubishi Heavy Industry 78,548
7,100 Mitsubishi Kasei Company 27,410
4,800 Mitsubishi Trust & Banking 48,418
2,400 Mitsui Marine & Fire 17,276
4,000 Mitsui Teatsu Chemicals Inc. 11,224
6,400 Mitsui Trust & Banking 48,712
1,600 Mitsui & Company 9,757
3,200 NEC Corporation 22,712
2,400 Nikko Kyodo Company, Ltd. 8,253
2,400 Nikon 15,956
300 Nintendo Company 17,442
1,600 Nippon Light Metal Company 7,439
3,200 Nippon Oil Company 19,661
19,900 Nippon Steel 54,928
3,200 Nippon Yusen Kaisha 16,198
2,400 Oji Paper 19,719
6,400 Sakura Bank 76,295
800 Sanwa Shutter Corporation 6,823
1,010 Seven-Eleven, Japan 78,725
1,600 Shizuoka Bank 18,196
1,800 Snow Brand Milk Products Company, Ltd. 11,884
1,060 Sony Corporation 45,394
5,693 Sumitomo Bank 92,926
3,200 Sumitomo Electric Industry 33,453
8,150 Sumitomo Trust & Banking 75,484
1,600 Taiyo Fishery Company 4,519
4,000 Takeda Chemical Industries 41,449
3,200 Tokai Bank 29,638
3,200 Tokio Marine & Fire Insurance 32,572
3,040 Tokyo Electric Power Company 81,680
</TABLE>
SEE NOTES TO FINANCIAL STATEMENTS.
<PAGE>
<TABLE>
THE PANAGORA FUNDS
INTERNATIONAL EQUITY FUND
- -------------------------------------------------------------------------------------------
PORTFOLIO OF INVESTMENTS (CONTINUED) NOVEMBER 30, 1993 (UNAUDITED)
- -------------------------------------------------------------------------------------------
<CAPTION>
MARKET VALUE
SHARES (NOTE 1)
- -------------------------------------------------------------------------------------------
COMMON STOCKS (CONTINUED)
<C> <S> <C>
JAPAN - (CONTINUED)
5,180 Tokyu Corporation $29,498
4,800 Toyobo Company 13,205
5,986 Toyota Motor Company 90,023
2,400 Ube Industries, Ltd. 6,360
800 Yakult Honsha 11,004
2,000 Yamanouchi Pharmaceutical Company 37,231
4,000 Yasuda Trust & Banking 24,392
11,100 Yokogawa Electric Corporation 76,341
- -------------------------------------------------------------------------------------------
2,914,754
- -------------------------------------------------------------------------------------------
NETHERLANDS - 1.5%
300 ABM Amro Holding 10,865
200 Ahold Koninklijke 4,712
63 Akzo NV Ord 5,816
230 Elsevier NV CVA 18,653
75 Heineken NV 7,776
487 International Nederlanden Groep CVA 21,277
500 Philips Electronics 9,703
800 Royal Dutch Petroleum 80,822
275 Unilever NV CVA 30,608
- -------------------------------------------------------------------------------------------
190,232
- -------------------------------------------------------------------------------------------
NORWAY - 0.0%
140 Orka Borregaard, Series A Free 4,949
- -------------------------------------------------------------------------------------------
SINGAPORE - 3.9%
11,875 Development Bank of Singapore 109,081
16,683 Overseas-Chinese Banking Corporation 134,484
38,900 Sime Darby BHD 86,536
5,600 Singapore Press Holding 77,336
12,488 United Overseas Bank 96,760
- -------------------------------------------------------------------------------------------
504,197
- -------------------------------------------------------------------------------------------
SPAIN - 11.5%
7,200 Autopista Cesa 70,213
8,300 Banco Bilbao Vizcaya 179,539
6,200 Banco Central Hispano Americano 134,553
3,400 Banco de Santander 147,333
3,700 Banco Espanol de Credito 54,844
5,600 Empresa Nacional de Electricite (Endesa) 254,185
900 Gas Natural S.D.G. SA 48,000
21,800 Iberdrola 141,159
7,100 Repsol 199,404
21,400 Telefonica Nacional de Espana 254,979
- -------------------------------------------------------------------------------------------
1,484,209
- -------------------------------------------------------------------------------------------
SWEDEN - 1.1%
6,500 Astra AB "A" Free 128,083
1,000 Astra AB "A" Free 19,351
- -------------------------------------------------------------------------------------------
147,434
- -------------------------------------------------------------------------------------------
</TABLE>
SEE NOTES TO FINANCIAL STATEMENTS.
<PAGE>
<TABLE>
THE PANAGORA FUNDS
INTERNATIONAL EQUITY FUND
- -------------------------------------------------------------------------------------------
PORTFOLIO OF INVESTMENTS (CONTINUED) NOVEMBER 30, 1993 (UNAUDITED)
- -------------------------------------------------------------------------------------------
<CAPTION>
MARKET VALUE
SHARES (NOTE 1)
- -------------------------------------------------------------------------------------------
COMMON STOCKS (CONTINUED)
<C> <S> <C>
SWITZERLAND - 0.3%
18 Brown Boveri & Cie AG, Series A $12,076
3 Ciba Geigy AG 1,563
1 Credit Suisse Holding 2,395
4 Nestle SA 3,089
1 Roche Holdings AG Genuscheine 4,007
1 Sandoz AG 2,412
3 Schweizerishe Bankgesellschaft 2,624
3 Schweizerisher Bankverein 959
4 SMH AG Neuenburg 613
14 Zurich Versichering - G 13,375
1 Zurich Versicherung 952
- -------------------------------------------------------------------------------------------
44,065
- -------------------------------------------------------------------------------------------
TOTAL COMMON STOCK (COST $10,725,529) 10,511,223
- -------------------------------------------------------------------------------------------
PREFERRED STOCK - 0.1% (COST $20,013)
300 Credit Anstalt Bank 18,517
- -------------------------------------------------------------------------------------------
RIGHTS - 0.1%
200 A.G. Finance Rights, expire 12/7/93 198
256 Cie Generale des Eaux Rights, expire 12/16/93 1,076
11,700 Mediobanca Rights, expire 12/3/93 3,945
- -------------------------------------------------------------------------------------------
TOTAL RIGHTS (COST $0) 5,219
- -------------------------------------------------------------------------------------------
</TABLE>
<TABLE>
<CAPTION>
FACE
VALUE
- -------------------------------------------------------------------------------------------
<C> <S> <C>
U.S. TREASURY BILL - 0.4% (COST $49,873)
$50,000 U.S. Treasury Bill, 2.940% due 12/16/93 49,850
- -------------------------------------------------------------------------------------------
COMMERCIAL PAPER - 12.8% (COST $1,657,000)
1,657,000 General Electric Capital Corporation, 3.150% due 12/01/9 1,657,000
- -------------------------------------------------------------------------------------------
</TABLE>
SEE NOTES TO FINANCIAL STATEMENTS.
<PAGE>
<TABLE>
THE PANAGORA FUNDS
INTERNATIONAL EQUITY FUND
- -------------------------------------------------------------------------------------------
PORTFOLIO OF INVESTMENTS (CONTINUED) NOVEMBER 30, 1993 (UNAUDITED)
- -------------------------------------------------------------------------------------------
<CAPTION>
MARKET VALUE
(NOTE 1)
- -------------------------------------------------------------------------------------------
<S> <C> <C>
TOTAL INVESTMENTS (COST $12,452,415*) 94.6% $12,241,809
OTHER ASSETS AND LIABILITIES (NET) 5.4 704,546
- -------------------------------------------------------------------------------------------
NET ASSETS 100.0% $12,946,355
- -------------------------------------------------------------------------------------------
<FN>
*Aggregate cost for Federal tax purposes.
</TABLE>
<TABLE>
<CAPTION>
OPEN FUTURES CONTRACTS TO BUY AT NOVEMBER 30, 1993:
Unrealized
NUMBER OF Appreciation/
CONTRACTS (Depreciation)
----------- ----------------
<C> <S> <C>
40 All Ordinary Index Future December 1993 $32,923
8 Topix Index Future December 1993 (113,724)
1 Toronto 35 Index Future December 1993 4,024
- -------------------------------------------------------------------------------------------
(76,777)
- -------------------------------------------------------------------------------------------
</TABLE>
<TABLE>
<CAPTION>
OPEN FUTURES CONTRACTS TO SELL AT NOVEMBER 30, 1993:
<C> <S> <C>
5 Financial Times Stock Exchange 100 Index December 1993 391
- -------------------------------------------------------------------------------------------
NET UNREALIZED DEPRECIATION OF OPEN FUTURES CONTRACTS ($76,386)
- -------------------------------------------------------------------------------------------
</TABLE>
SEE NOTES TO FINANCIAL STATEMENTS.
<PAGE>
<TABLE>
THE PANAGORA FUNDS
INTERNATIONAL EQUITY FUND
- -------------------------------------------------------------------------------------------
PORTFOLIO OF INVESTMENTS NOVEMBER 30, 1993 (UNAUDITED)
- -------------------------------------------------------------------------------------------
<CAPTION>
PERCENTAGE OF MARKET VALUE
SECTOR DIVERSIFICATION NET ASSETS (NOTE 1)
- -------------------------------------------------------------------------------------------
<S> <C> <C>
COMMON STOCKS:
Energy & Utility 16.7% $2,157,800
Financial Services 16.3% 2,113,345
Banking & Finance 14.0% 1,819,746
Basic Industries 7.2% 925,685
Durable Goods 6.1% 783,305
Consumer Services 5.8% 747,109
Health Care & Personal Services 4.1% 530,412
Manufacturing 3.0% 390,076
Transportation 2.8% 358,032
Construction & Building 1.8% 229,128
Holding Companies 1.0% 132,501
Non-Durable Goods 0.8% 109,028
Technology 0.6% 80,579
Real Estate 0.5% 65,747
Forestry Products & Paper 0.4% 54,742
Other 0.1% 13,988
----------- --------------
TOTAL COMMON STOCKS 81.2% 10,511,223
COMMERCIAL PAPER 12.8% 1,657,000
U.S. TREASURY BILL 0.4% 49,850
PREFERRED STOCK 0.1% 18,517
RIGHTS 0.1% 5,219
----------- --------------
TOTAL INVESTMENTS 94.6% 12,241,809
OTHER ASSETS AND LIABILITIES (NET) 5.4% 704,546
----------- --------------
NET ASSETS 100.0% $12,946,355
----------- --------------
----------- --------------
</TABLE>
SEE NOTES TO FINANCIAL STATEMENTS.
<PAGE>
<TABLE>
THE PANAGORA FUNDS
INTERNATIONAL EQUITY FUND
- -------------------------------------------------------------------------------------------
SCHEDULE OF FORWARD FOREIGN EXCHANGE CONTRACTS NOVEMBER 30, 1993 (UNAUDITED)
- -------------------------------------------------------------------------------------------
<CAPTION>
CONTRACT
VALUE MARKET VALUE
DATE (NOTE 1)
- -------------------------------------------------------------------------------------------
<S> <C> <C>
FORWARD FOREIGN EXCHANGE CONTRACTS TO BUY
1,522,765 AUSTRALIAN DOLLARS 12/06/93 $1,002,886
370,079,500 JAPANESE YEN 12/06/93 3,393,867
- -------------------------------------------------------------------------------------------
TOTAL FORWARD FOREIGN EXCHANGE CONTRACTS TO BUY
(Contract Amount $4,468,426) $4,396,753
- -------------------------------------------------------------------------------------------
FORWARD FOREIGN EXCHANGE CONTRACTS TO SELL
(Contract Amount $402,255)
2,383,600 FRENCH FRANCS 12/06/93 ($401,457)
- -------------------------------------------------------------------------------------------
</TABLE>
SEE NOTES TO FINANCIAL STATEMENTS.
<PAGE>
THE PANAGORA FUNDS
STATEMENTS OF ASSETS AND LIABILITIES
NOVEMBER 30, 1993 (UNAUDITED)
<TABLE>
<CAPTION>
PANAGORA PANAGORA
ASSET PANAGORA INTERNATIONAL
ALLOCATION GLOBAL EQUITY
FUND FUND FUND
-------------- -------------- --------------
<S> <C> <C> <C>
ASSETS
Investments, at value (Cost $2,468,667, $38,116,394,
and $12,452,415) (Note 1)
See accompanying schedules:
Securities. . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 2,433,744 $ 37,115,417 12,241,809
Cash . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1,250 568,154 1,435,583
Segregated cash collateral for future contacts . . . . . . . . . . . - 2,609,764 -
Receivable for forward foreign exchange contracts to sell. . . . . . - 15,000,000 402,255
Forward foreign exchange contracts to buy, at value
(Contract Cost $7,262,153, $4,468,426)
See accompanying schedules . . . . . . . . . . . . . . . . . . . . - 7,188,815 4,396,753
Receivable from investment adviser (Note 2). . . . . . . . . . . . . 42,637 3,638 13,857
Unamortized organization costs (Note 5). . . . . . . . . . . . . . . 18,822 18,845 18,845
Dividends and interest receivable. . . . . . . . . . . . . . . . . . 4,242 65,501 39,607
Receivable for investment securities sold. . . . . . . . . . . . . . - - 1,397
-------------- -------------- --------------
Total Assets . . . . . . . . . . . . . . . . . . . . . . . . . . . 2,500,695 62,570,134 18,550,106
-------------- -------------- --------------
LIABILITIES
Forward foreign exchange contracts to sell, at value
(Contract cost $15,000,000, $402,255) (Note 1)
See accompanying schedule. . . . . . . . . . . . . . . . . . . . . - 14,798,986 401,457
Payable for forward foreign exchange contracts to buy. . . . . . . . - 7,262,153 4,468,426
Service fees payable . . . . . . . . . . . . . . . . . . . . . . . . 7,500 7,500 7,500
Transfer agent fees payable (Note 2) . . . . . . . . . . . . . . . . 2,550 3,300 2,800
Custodian fees payable (Note 2). . . . . . . . . . . . . . . . . . . 1,655 29,648 16,725
Administration fees payable (Note 2) . . . . . . . . . . . . . . . . 560 14,612 6,333
Payable for investment securities purchased. . . . . . . . . . . . . - - 606,459
Net unrealized depreciation of futures contracts (Note 1). . . . . . 800 628,920 76,386
Accrued expenses and other payables. . . . . . . . . . . . . . . . . 12,465 21,365 17,665
-------------- -------------- --------------
Total Liabilities. . . . . . . . . . . . . . . . . . . . . . . . . 25,530 22,766,484 5,603,751
-------------- -------------- --------------
NET ASSETS . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 2,475,165 $ 39,803,650 $ 12,946,355
-------------- -------------- --------------
-------------- -------------- --------------
NET ASSETS consist of:
Undistributed net investment income. . . . . . . . . . . . . . . . . $ 7,408 $ 74,011 $ 23,569
Accumulated net realized gain on
securities sold, forward foreign exchange contracts
foreign currency, futures contracts and net other assets . . . . . 13,307 334,247 295,379
Net unrealized depreciation on securities,
forward foreign exchange contracts, foreign currency,
futures contracts and net other assets . . . . . . . . . . . . . . (35,723) (1,514,560) (349,898)
Paid-in capital. . . . . . . . . . . . . . . . . . . . . . . . . . . 2,490,173 40,909,952 12,977,305
-------------- -------------- --------------
$ 2,475,165 $ 39,803,650 $ 12,946,355
-------------- -------------- --------------
-------------- -------------- --------------
Net Asset Value and redemption price per share of
beneficial interest outstanding . . . . . . . . . . . . . . . . . $ 10.16 $ 10.34 $ 9.99
-------------- -------------- --------------
-------------- -------------- --------------
Number of Fund shares outstanding. . . . . . . . . . . . . . . . . . 243,601 3,848,465 1,295,380
-------------- -------------- --------------
-------------- -------------- --------------
</TABLE>
See Notes to Financial Statements.
<PAGE>
THE PANAGORA FUNDS
STATEMENTS OF OPERATIONS
FOR THE PERIOD ENDED NOVEMBER 30, 1993 (UNAUDITED)*
<TABLE>
<CAPTION>
PANAGORA PANAGORA
ASSET PANAGORA INTERNATIONAL
ALLOCATION GLOBAL EQUITY
FUND FUND FUND
-------------- -------------- --------------
<S> <C> <C> <C>
INVESTMENT INCOME:
Interest . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 7,728 $ 68,030 $ 15,961
Dividends (Net of foreign withholding taxes of $5,853 and
$18,602 for the PanAgora Global Fund and the PanAgora
International Equity Fund, respectively) . . . . . . . . . . . . . 4,347 104,734 104,071
-------------- -------------- --------------
Total investment income. . . . . . . . . . . . . . . . . . . . . . 12,075 172,764 120,032
-------------- -------------- --------------
EXPENSES:
Transfer agent fees (Note 2) . . . . . . . . . . . . . . . . . . . . 15,125 20,103 15,778
Trustees' fees and expenses (Note 2) . . . . . . . . . . . . . . . . 4,719 4,719 4,719
Investment advisory fees (Note 2). . . . . . . . . . . . . . . . . . 2,483 69,126 51,682
Custodian fees (Note 2). . . . . . . . . . . . . . . . . . . . . . . 1,659 29,664 21,714
Administration fees (Note 2) . . . . . . . . . . . . . . . . . . . . 623 14,813 9,690
Amortization of organization costs (Note 5). . . . . . . . . . . . . 2,085 2,062 2,062
Legal and audit fees . . . . . . . . . . . . . . . . . . . . . . . . 13,297 14,797 14,797
Service fees . . . . . . . . . . . . . . . . . . . . . . . . . . . . 7,500 7,500 7,500
Other. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1,339 8,733 8,660
Fees waived and expenses reimbursed by investment
adviser (Note 2) . . . . . . . . . . . . . . . . . . . . . . . . . (45,120) (72,764) (65,539)
-------------- -------------- --------------
Total expenses. . . . . . . . . . . . . . . . . . . . . . . . . . 3,710 98,753 71,063
-------------- -------------- --------------
NET INVESTMENT INCOME. . . . . . . . . . . . . . . . . . . . . . . . 8,365 74,011 48,969
-------------- -------------- --------------
NET REALIZED AND UNREALIZED GAIN\
(LOSS) ON INVESTMENTS (Notes 1 and 3):
Realized gain/(loss) from:
Security transactions. . . . . . . . . . . . . . . . . . . . . . . (446) 606,362 373,356
Futures Contracts. . . . . . . . . . . . . . . . . . . . . . . . . 13,753 217,440 -
Forward foreign exchange contracts . . . . . . . . . . . . . . . . - (356,238) (85,071)
Foreign currency transactions. . . . . . . . . . . . . . . . . . . - 28,279 13,380
Other. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . - (161,596) (6,286)
-------------- -------------- --------------
Net realized gain during the period. . . . . . . . . . . . . . . . . 13,307 334,247 295,379
-------------- -------------- --------------
Net change in unrealized appreciation/(depreciation) of:
Securities. . . . . . . . . . . . . . . . . . . . . . . . . . . . (34,923) (1,000,977) (210,606)
Futures Contracts . . . . . . . . . . . . . . . . . . . . . . . . (800) (628,920) (76,386)
Forward foreign exchange contracts. . . . . . . . . . . . . . . . - 127,676 (70,875)
Foreign currency and net other assets . . . . . . . . . . . . . . - (12,339) 7,969
-------------- -------------- --------------
Net unrealized depreciation during the period. . . . . . . . . . . . (35,723) (1,514,560) (349,898)
-------------- -------------- --------------
Net realized and unrealized loss on investments. . . . . . . . . . . (22,416) (1,180,313) (54,519)
-------------- -------------- --------------
NET DECREASE IN NET ASSETS
RESULTING FROM OPERATIONS. . . . . . . . . . . . . . . . . . . . . $ (14,051) $ (1,106,302) $ (5,550)
- -------------------------------------------------------------------- -------------- -------------- --------------
-------------- -------------- --------------
* The Funds commenced operations on June 1, 1993.
</TABLE>
See Notes to Financial Statements.
<PAGE>
THE PANAGORA FUNDS
STATEMENTS OF CHANGES IN NET ASSETS
PERIOD ENDED NOVEMBER 30, 1993*
<TABLE>
<CAPTION>
PANAGORA PANAGORA
ASSET PANAGORA INTERNATIONAL
ALLOCATION GLOBAL EQUITY
FUND FUND FUND
--------------- -------------- --------------
<S> <C> <C> <C>
Net investment income. . . . . . . . . . . . . . . . . . . . . . . . $ 8,365 $ 74,011 $ 48,969
Net realized gain on securities sold, forward foreign
exchange contracts, foreign currency transactions and
futures contracts during the period . . . . . . . . . . . . . . . 13,307 334,247 295,379
Net unrealized depreciation of securities,
forward foreign exchange contracts, foreign
currency, futures contracts and net other
assets during the period . . . . . . . . . . . . . . . . . . . . . (35,723) (1,514,560) (349,898)
-------------- -------------- --------------
Net decrease in net assets resulting from
operations. . . . . . . . . . . . . . . . . . . . . . . . . . . . (14,051) (1,106,302) (5,550)
Distributions to shareholders from net
investment income. . . . . . . . . . . . . . . . . . . . . . . . . (957) - (25,400)
Net increase in net assets from Fund
share transactions (Note 4) . . . . . . . . . . . . . . . . . . . 2,456,173 40,876,952 12,944,305
-------------- -------------- --------------
Net increase in net assets . . . . . . . . . . . . . . . . . . . . . 2,441,165 39,770,650 12,913,355
NET ASSETS:
Beginning of period. . . . . . . . . . . . . . . . . . . . . . . . . 34,000 33,000 33,000
-------------- -------------- --------------
End of period (including undistributed net
investment income of $7,408, $74,011, and
$23,569, respectively) . . . . . . . . . . . . . . . . . . . . . . $ 2,475,165 $ 39,803,650 $ 12,946,355
- -------------------------------------------------------------------- -------------- -------------- --------------
-------------- -------------- --------------
* The Funds commenced operations on June 1, 1993.
</TABLE>
See Notes to Financial Statements.
<PAGE>
THE PANAGORA FUNDS
ASSET ALLOCATION FUND
- --------------------------------------------------------------------------------
FINANCIAL HIGHLIGHTS
- --------------------------------------------------------------------------------
FOR A FUND SHARE OUTSTANDING THROUGHOUT THE PERIOD.*
<TABLE>
<CAPTION>
SIX MONTHS
ENDED
11/30/93
(UNAUDITED)
-----------
<S> <C>
Operating performance:
Net asset value, begining of period....... $10.00
-----------
Income from investment operations:
Net investment income+.................... 0.04
Net realized and unrealized gain on
investments++............................ 0.13
-----------
Total from investment operations... 0.17
-----------
Distributions:
Dividends from net investment income...... (0.01)
Net asset value, end of period............ $10.16
-----------
-----------
Total return+++........................... 1.70%
-----------
-----------
Ratios/supplemental data:
Net assets, end of period (in 000's)...... $2,475
Ratio of operating expenses to average net
assets++++............................... 0.90%**
Ratio of net investment income to average
net assets................................ 2.02%**
Portfolio turnover rate................... 0%
<FN>
- -------------------------
* The Fund commenced operations on June 1, 1993.
** Annualized.
+ Net investment loss per share before waiver of fees and reimbursement of
expenses by investment adviser was $(0.18) for the six months from June
1, 1993, commencement of operations, through November 30, 1993.
++ The amount shown at this caption for each share outstanding throughout
the period may not accord with the change in the aggregate gains and
losses in the portfolio securities for the period because of the timing
of purchases and withdrawals of shares in relation to the fluctuating
market values of the portfolio.
+++ Total return represents aggregate total return for the period indicated.
++++ Annualized expense ratio before waiver of fees and reimbursement of
expenses by investment adviser was 11.94% for the six months from June 1,
1993, commencement of operations, through November 30, 1993.
</TABLE>
See Notes to Financial Statements.
<PAGE>
THE PANAGORA FUNDS
GLOBAL FUND
FINANCIAL HIGHLIGHTS
FOR A FUND SHARE OUTSTANDING THROUGHOUT THE PERIOD.*
<TABLE>
<CAPTION>
SIX MONTHS
ENDED
11/30/93
(UNAUDITED)
-----------
<S> <C>
Operating performance:
Net asset value, begining of period..... $10.00
------------
Income from investment operations:
Net investment income+.................. 0.02
Net realized and unrealized gain on
investments++.......................... 0.32
------------
Total from investment operations. 0.34
------------
Distributions:
Dividends from net investment income.... --
Net asset value, end of period.......... $10.34
------------
------------
Total return+++......................... 3.40%
------------
Ratios/supplemental data:
Net assets, end of period (in 000's).... $39,804
Ratio of operating expenses to average
net assets ++++........................ 1.00%**
Ratio of net investment income to
average net assets..................... 0.75%**
Portfolio turnover rate................. 63%
<FN>
- -------------
* The Fund commenced operations on June 1, 1993.
** Annualized.
+ Net investment loss per share before waiver of fees and reimbursement of
expenses by investment adviser was $0.00 for the six months from June 1,
1993, commencement of operations, through November 30, 1993.
++ The amount shown at this caption for each share outstanding throughout
the period may not accord with the change in the aggregate gains and
losses in the portfolio securities for the period because of the timing
of purchases and withdrawals of shares in relation to the fluctuating
market values of the portfolio.
+++ Total return represents aggregate total return for the period indicated.
++++ Annualized expense ratio before waiver of fees and reimbursement of
expenses by investment adviser was 1.76% for the six months from June 1,
1993, commencement of operations, through November 30, 1993.
</TABLE>
See Notes to Financial Statements.
<PAGE>
THE PANAGORA FUNDS
INTERNATIONAL EQUITY FUND
- --------------------------------------------------------------------------------
FINANCIAL HIGHLIGHTS
- --------------------------------------------------------------------------------
FOR A FUND SHARE OUTSTANDING THROUGHOUT THE PERIOD.*
<TABLE>
<CAPTION>
SIX MONTHS
ENDED
11/30/93
(UNAUDITED)
-----------
<S> <C>
Operating performance:
Net asset value, begining of period.. $10.00
-----------
Income from investment operations:
Net investment income+............... 0.04
Net realized and unrealized loss on
investments......................... (0.03)
-----------
Total from investment operations. 0.01
-----------
Distributions:
Dividends from net investment income. (0.02)
Net asset value, end of period....... $9.99
-----------
-----------
Total return++....................... 0.08%
-----------
-----------
Ratios/supplemental data:
Net assets, end of period (in 000's). $12,946
Ratio of operating expenses to
average net assets +++.............. 1.10%**
Ratio of net investment income to
average net assets.................. 0.76%**
Portfolio turnover rate.............. 73%
<FN>
- --------------------
* The Fund commenced operations on June 1, 1993.
** Annualized.
+ Net investment loss per share before waiver of fees and reimbursement of
expenses by investment adviser was $(0.02) for the six months from June 1,
1993, commencement of operations, through November 30, 1993.
++ Total return represents aggregate total return for the period indicated.
+++ Annualized expense ratio before waiver of fees and reimbursement of expenses
by investment adviser was 2.24% for the six months from June 1, 1993,
commencement of operations, through November 30, 1993.
</TABLE>
See Notes to Financial Statements.
<PAGE>
THE PANAGORA FUNDS
NOTES TO FINANCIAL STATEMENTS (UNAUDITED)
1. SIGNIFICANT ACCOUNTING POLICIES
The PanAgora Funds (the "Trust") was organized under the laws of the
Commonwealth of Massachusetts on January 27, 1993 as a Massachusetts business
trust and began operations on June 1, 1993. The Trust is registered under the
Investment Company Act of 1940, as amended (the "1940 Act"), as an open-end
management investment company, consisting of three investment series (the
"Funds"): PanAgora Asset Allocation Fund, PanAgora Global Fund and PanAgora
International Equity Fund. The following is a summary of significant accounting
policies consistently followed by the Funds in the preparation of their
financial statements.
PORTFOLIO VALUATION:
Securities traded on a recognized U.S. or foreign securities exchange or the
National Association of Securities Dealers Automated Quotation System (NASDAQ)
are valued at their last sale price on the principal exchange on which they are
traded or NASDAQ (if NASDAQ is the principal market for such securities). If no
sale occurs, securities are valued at the mean between the closing bid and asked
price. Unlisted equity securities for which market quotations are readily
available are valued at the mean between the most recent bid and asked price.
Debt securities and other fixed-income investments of the Funds will be valued
at prices supplied by independent pricing agents selected by the Board of
Trustees. Short-term obligations maturing in sixty days or less are valued at
amortized cost. Amortized cost valuation involves initially valuing a security
at its cost, and thereafter, assuming a constant amortization to maturity of any
discount or premium, regardless of the impact of fluctuating interest rates on
the market value of the security. Securities whose market value does not, in
the Adviser's opinion, reflect fair value are valued at fair value using methods
determined in good faith by the Board of Trustees.
Repurchase Agreements: Each Fund may engage in repurchase agreement
transactions. Under the terms of a typical repurchase agreement, the Fund takes
possession of an underlying debt obligation subject to an obligation of the
seller to repurchase, and the Fund to resell, the obligation at an agreed-upon
price and time, thereby determining the yield during the Fund's holding period.
This arrangement results in a fixed rate of return that is not subject to market
fluctuations during the Fund's holding period. The value of the collateral is
at least equal at all times to the total amount of the repurchase obligations,
including interest. In the event of counterparty default, the Fund has the
right to use the collateral to offset losses incurred. There is potential loss
to the Fund in the event the Fund is delayed or prevented from exercising its
rights to dispose of the collateral securities, including the risk of a possible
decline in the value of the underlying securities during the period while the
Fund seeks to assert its rights. The Fund's investment adviser, acting under
the supervision of the Board of Trustees, reviews the value of the collateral
and the creditworthiness of those banks and dealers with which the Fund enters
into repurchase agreements to evaluate potential risks.
Futures Contracts: Upon entering into a futures contract, the Fund is
required to deposit with the broker an amount of cash or cash equivalents equal
to a certain percentage of the contract amount. This is known as the "initial
margin." Subsequent payments ("variation margin") are made or received by the
Fund each day, depending on the daily fluctuation of the value of the contract.
-1-
<PAGE>
THE PANAGORA FUNDS
NOTES TO FINANCIAL STATEMENTS (UNAUDITED)(CONTINUED)
Futures contracts are marked-to-market daily and the daily changes in the
value of the contract are recorded as unrealized gains or losses. The Fund
recognizes a realized gain or loss when the contract is closed.
There are several risks in connection with the use of futures contracts as a
hedging device. The change in value of futures contracts primarily corresponds
with the value of their underlying instruments or index, which may not correlate
with the change in value of the hedged investments. In addition, there is the
risk that the Fund may not be able to enter into a closing transaction because
of an illiquid secondary market.
Foreign Currency: The books and records of the PanAgora Global Fund and the
PanAgora International Equity Fund are maintained in United States (U.S.)
dollars. Foreign currencies, investments and other assets and liabilities are
translated into U.S. dollars at the exchange rates prevailing at the end of the
period, and purchases and sales of investment securities, income and expenses
are translated on the respective dates of such transactions.
Unrealized gains and losses which result from changes in foreign currency
exchange rates have been included in the unrealized appreciation/(depreciation)
of foreign currency and net other assets. Net realized foreign currency gains
and losses resulting from changes in exchange rates include foreign currency
gains and losses between trade date and settlement date on investment securities
transactions, foreign currency transactions and the difference between the
amounts of interest and dividends recorded on the books of the Funds and the
amount actually received. The portion of foreign currency gains and losses
related to fluctuation in exchange rates between the initial trade date and
subsequent sale trade date is included in realized gains and losses on
investment securities sold.
Forward Foreign Currency Contracts: The PanAgora Global Fund and the
PanAgora International Equity Fund may enter into forward foreign currency
contracts. Forward foreign currency contracts are valued at the forward rate
and are marked-to-market daily. The change in market value is recorded by the
Fund as an unrealized gain or loss. When the contract is closed or delivery is
taken, the Fund records a realized gain or loss 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 Fund'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 Fund could be exposed to risks
if the counterparties to the contracts are unable to meet the terms of their
contracts.
Securities Transactions and Investment Income: Securities transactions are
recorded as of the trade date. Realized gains and losses from securities sold
are recorded on the identified cost basis. Interest income is recorded on the
accrual basis and consists of interest accrued and, if applicable, discount
earned less premiums amortized. Dividend income is recorded on the ex-dividend
date, except that certain dividends from foreign securities are recorded as soon
as the Fund is informed of the ex-dividend date.
-2-
<PAGE>
THE PANAGORA FUNDS
NOTES TO FINANCIAL STATEMENTS (UNAUDITED)(CONTINUED)
Dividends and Distributions to Shareholders: Each Fund declares and pays
dividends from net investment income, if any, and distributes net short-term
capital gains, if any, on a quarterly basis. Each Fund also distributes at
least annually substantially all of the long-term capital gains in excess of
available capital losses, if any, which it realizes for each taxable year.
Federal Income Taxes: It is the policy of the Funds to qualify as a
regulated investment company, which distributes exempt-interest dividends, by
complying with the requirements of the Internal Revenue Code of 1986, as
amended, applicable to regulated investment companies and by distributing
substantially all of its earnings to its shareholders. Therefore, no Federal
income tax provision is required.
2. INVESTMENT ADVISORY FEE, ADMINISTRATION FEE AND OTHER RELATED PARTY
TRANSACTIONS
The Trust has entered into an investment advisory agreement (the "Advisory
Agreement") with PanAgora Asset Management, Inc. ("PanAgora"). Fifty percent of
PanAgora's outstanding voting stock is owned by Lehman Brothers Inc. ("Lehman
Brothers"), a national investment banking firm and fifty percent of such stock
is owned by Nippon Life Insurance Company ("Nippon Life"). Lehman Brothers is a
wholly owned subsidiary of Lehman Brothers Holdings Inc. ("Holdings"). American
Express Company ("American Express") owns 100% of Holdings' issued and
outstanding common stock, which represents approximately 92% of Holdings' issued
and outstanding voting stock. The remainder of Holdings' voting stock is owned
by Nippon Life. Under the Advisory Agreement, the Trust, on behalf of each
Fund, pays a monthly fee at an annual rate of the value of each Fund's average
daily net assets as follows:
PanAgora Asset Allocation Fund 0.60%
PanAgora Global Fund 0.70%
PanAgora International Equity Fund 0.80%
The Trust has also entered into an administration agreement (the
"Administration Agreement") with The Boston Company Advisors, Inc. ("Boston
Advisors"), an indirect wholly owned subsidiary of Mellon Bank Corporation
("Mellon"). Under the Administration Agreement, each Fund pays a monthly fee at
the annual rate of 0.15% of the value of the average daily net assets of each
Fund.
No officer, director or employee of PanAgora, Boston Advisors or any parent
or subsidiary of those corporations receives any compensation from the Trust for
serving as a Trustee or officer of the Trust. The Trust pays each Trustee who
is not an officer, director, or employee of PanAgora, Boston Advisors or any of
their affiliates $5,000 per annum plus $1,000 per meeting attended and
reimburses each such Trustee for travel and out-of-pocket expenses.
From time to time PanAgora may voluntarily waive and reimburse a portion or
all of their respective fees and expenses otherwise payable to them. For the
period ended November 30, 1993, PanAgora voluntarily waived fees and reimbursed
expenses as follows:
-3-
<PAGE>
THE PANAGORA FUNDS
NOTES TO FINANCIAL STATEMENTS (UNAUDITED)(CONTINUED)
<TABLE>
<CAPTION>
FEES EXPENSES
WAIVED REIMBURSED
------ ----------
<S> <C> <C>
PanAgora Asset Allocation Fund $ 2,483 $42,637
PanAgora Global Fund 69,126 3,638
PanAgora International Equity Fund 51,682 13,857
</TABLE>
Boston Safe Deposit and Trust Company, an indirect wholly owned subsidiary of
Mellon, serves as the Trust's custodian. The Shareholder Services Group, Inc.,
a subsidiary of First Data Corporation, which is in turn a partially owned
subsidiary of American Express, serves as the Trust's transfer agent.
3. PURCHASES AND SALES OF SECURITIES
Cost of purchases and proceeds from sales of investment securities, excluding
short-term investments, during the period ended November 30, 1993 were as
follows:
<TABLE>
<CAPTION>
PURCHASES SALES
--------- -----
<S> <C> <C>
PanAgora Asset Allocation Fund $ 1,739,961 -
PanAgora Global Fund 43,349,036 $9,498,708
PanAgora International Equity Fund 17,992,881 7,580,233
</TABLE>
At November 30, 1993, aggregate gross unrealized appreciation for all
securities in which there is an excess of value over tax cost and aggregate
gross unrealized depreciation for all securities in which there is an excess of
tax cost over value were as follows:
<TABLE>
<CAPTION>
TAX BASIS TAX BASIS
UNREALIZED UNREALIZED
APPRECIATION DEPRECIATION
------------ ------------
<S> <C> <C>
PanAgora Asset Allocation Fund - $ 34,923
PanAgora Global Fund - 1,000,977
PanAgora International Equity Fund - 210,606
</TABLE>
4. SHARES OF BENEFICIAL INTEREST
At November 30, 1993, an unlimited number of shares of beneficial interest
without par value were authorized. Changes in shares of beneficial interest
were as follows:
-4-
<PAGE>
THE PANAGORA FUNDS
NOTES TO FINANCIAL STATEMENTS (UNAUDITED)(CONTINUED)
<TABLE>
<CAPTION>
PERIOD ENDED
NOVEMBER 30, 1993*
PANAGORA ASSET ALLOCATION FUND: SHARES AMOUNT
<S> <C> <C>
Sold . . . . . . . . . . . . . . . . . . 240,813 $ 2,462,403
Issued as reinvestment of
dividends . . . . . . . . . . . . . . 94 957
Redeemed . . . . . . . . . . . . . . . . (706) (7,187)
--------- ------------
Net increase . . . . . . . . . . . . . . 240,201 $ 2,456,173
--------- ------------
--------- ------------
</TABLE>
<TABLE>
<CAPTION>
PERIOD ENDED
NOVEMBER 30, 1993*
PANAGORA GLOBAL FUND: SHARES AMOUNT
<S> <C> <C>
Sold . . . . . . . . . . . . . . . . . . 3,953,159 $42,031,143
Issued as reinvestment of
dividends . . . . . . . . . . . . . . - -
Redeemed . . . . . . . . . . . . . . . . (107,994) (1,154,191)
--------- -----------
Net increase . . . . . . . . . . . . . . 3,845,165 $40,876,952
--------- -----------
--------- -----------
</TABLE>
<TABLE>
<CAPTION>
PERIOD ENDED
NOVEMBER 30, 1993*
PANAGORA INTERNATIONAL EQUITY FUND: SHARES AMOUNT
<S> <C> <C>
Sold . . . . . . . . . . . . . . . . . . 1,292,731 $12,950,976
Issued as reinvestment of
dividends . . . . . . . . . . . . . . 2,337 25,400
Redeemed . . . . . . . . . . . . . . . . (2,988) (32,071)
--------- -----------
Net increase . . . . . . . . . . . . . . 1,292,080 $12,944,305
--------- -----------
--------- -----------
<FN>
- -----------------
*The Funds commenced operations on June 1, 1993.
</TABLE>
5. ORGANIZATION COSTS
Each Fund bears all costs in connection with its organization including the
fees and expenses of registering and qualifying its shares for distribution
under Federal and state securities regulations. All such costs are being
amortized on the straight-line method over a period of five years from the
commencement of operations for each Fund. In the event that any of the initial
shares of the Funds are redeemed during such amortization period, the Funds will
be reimbursed for any unamortized organization costs in the same proportion as
the number of shares redeemed bears to the number of initial shares held at the
time of redemption.
-5-
