<PAGE>
- --------------------------------------------------------------------------------
- --------------------------------------------------------------------------------
RYDEX SERIES TRUST
[LOGO] SECTOR FUNDS
SEMI-ANNUAL REPORT
September 30, 1999
6116 Executive Boulevard, Suite 400
Rockville, MD 20852
(301) 468-8520 (800) 820-0888
- --------------------------------------------------------------------------------
- --------------------------------------------------------------------------------
DEAR SHAREHOLDER:
The second and third quarters of 1999 saw dramatic shifts in market
sentiments as investors rotated through several different sectors. This was the
result of new trends, which established themselves in the world's economies. As
the U.S. economy continued to thrive, emerging economies in Asia and other
foreign countries returned to stability. A stronger world economy and OPEC
production cuts sent crude oil prices from approximately $11 back up to above
$24 a barrel. Gold, copper, and other non-agricultural commodity prices rose.
Inflation stayed in check, but the dollar sank against the yen and the Fed
raised interest rates twice.
MARKET ENVIRONMENT
In early spring economists raised their growth forecasts and economic data
suggested that manufacturing activity was booming. Fearing higher rates,
investors started to rotate out of the growth sectors and into metals,
chemicals, paper, and other classic cyclical stocks that make up the BASIC
MATERIALS sector. At the same time, oil prices began to rise sharply as OPEC
held to its recently established quotas, causing ENERGY and ENERGY SERVICE
stocks to rally. Airline stocks, which are a large part of the TRANSPORTATION
sector, do not fare well when oil prices increase. Since OPEC moved to tighten
production, jet fuel prices have soared more than 80% and airline shares have
been selling off since April. In HEALTH CARE, drug company stocks that had been
market favorites began to falter in early April as investors rotated into
BIOTECHNOLOGY shares. Investors believed double-digit growth rates were more
likely in the biotech sector than in the large pharmaceutical concerns.
By early summer, Federal Reserve Chairman Alan Greenspan expressed concerns
that potential labor shortages and the runaway U.S. stock market may lead to
rising inflation and threaten the economy, now in its ninth year of growth. At
their June meeting, Federal Reserve policy makers then raised the federal funds
rate a quarter of a point to five percent, but they chose to adopt a policy
toward a neutral bias. Convinced that interest rates would not rise in the near
term, investors dumped cyclical stocks and went back into growth stocks
dominated by TECHNOLOGY names.
<PAGE>
The TECHNOLOGY sector continued to outperform the market as it has almost
every year this decade. A relatively small number of giant technology firms led
by Microsoft, Intel, IBM, Cisco and Lucent accounted for approximately half of
the sector's return. The explosion of Internet traffic over phone lines has been
a major factor in the growth of the TELECOMMUNICATIONS sector. The proliferation
of the Internet is also a positive factor for the ELECTRONICS sector due to
rising demand for semiconductors, which are also increasingly used in electronic
equipment, cellular phones and automobiles. Interest rate-sensitive sectors
began to decline after the first rate hike. Along with interest rate fears, the
BANKING sector disappointed investors with a lack of merger activity. FINANCIAL
SERVICE stocks respond negatively to higher interest rates because of the impact
that higher rates have on economic growth and the demand for credit. The RETAIL
sector has always had an inverse relationship with interest rates; although
consumer spending has remained strong, there is concern that market share is not
expanding as rapidly among the broadline chains.
Consumer non-durable stocks have continued to lag behind the broad markets
because of high penetration in developed domestic markets. Companies such as
Colgate-Palmolive and Proctor & Gamble are counting on expansion overseas to
drive long-term growth.
Ultimately, the winners in the dramatic shifts of the second and third
quarters included energy stocks and growth sectors such as technology,
telecommunications, and biotechnology, while interest rate-sensitive sectors did
not fare as well.
Sincerely,
[/S/ ALBERT P. VIRAGH, JR.]
Albert P. (Skip) Viragh, Jr.
Chairman of the Board
2
<PAGE>
RYDEX SERIES TRUST
ENERGY FUND
SCHEDULE OF INVESTMENTS (UNAUDITED)
- --------------------------------------------------------------------------------
September 30, 1999
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
MARKET
VALUE
SHARES (NOTE 1)
--------- ----------
<S> <C> <C>
COMMON STOCKS 100.0%
BP Amoco Plc., Sponsored ADR........... 4,669 $ 517,384
Exxon Corp............................. 5,245 398,292
Mobil Corp............................. 3,810 383,858
Royal Dutch Petroleum Co., NY Shares... 5,219 308,247
Chevron Corp........................... 3,188 282,935
Enron Corp............................. 6,114 252,203
Schlumberger Ltd....................... 3,412 212,610
Atlantic Richfield Co.................. 2,206 195,507
Texaco, Inc............................ 2,784 175,740
Halliburton Co......................... 4,233 173,553
Phillips Petroleum Co.................. 2,438 118,853
Baker Hughes, Inc...................... 3,154 91,469
USX-Marathon Group..................... 2,964 86,697
Unocal Corp............................ 2,336 86,578
Occidental Petroleum Corp.............. 3,668 84,822
Coastal Corp........................... 2,042 83,594
Burlington Resources, Inc.............. 1,868 68,649
Vastar Resources, Inc.................. 1,026 64,189
Amerada Hess Corp...................... 953 58,371
Conoco, Inc. - Class A................. 2,006 55,666
Apache Corp............................ 1,198 51,739
Kerr-McGee Corp........................ 909 50,052
Diamond Offshore
Drilling, Inc........................ 1,429 47,693
Sonat, Inc............................. 1,160 46,037
Union Pacific Resources Group, Inc..... 2,651 42,582
<CAPTION>
MARKET
VALUE
SHARES (NOTE 1)
--------- ----------
<S> <C> <C>
EOG Resources, Inc..................... 1,946 $ 41,352
Anadarko Petroleum Corp................ 1,341 40,984
Tosco Corp............................. 1,605 40,526
Weatherford
International, Inc.*................. 1,030 32,960
Transocean Offshore, Inc............... 1,058 32,401
Nabors Industries, Inc.*............... 1,227 30,675
Noble Drilling Corp.*.................. 1,387 30,341
Global Marine, Inc.*................... 1,833 30,130
R & B Falcon Corp.*.................... 2,038 26,749
Ensco International, Inc............... 1,445 26,100
Santa Fe International Corp............ 1,210 26,091
Sunoco, Inc............................ 953 26,088
Murphy Oil Corp........................ 473 25,572
Ashland, Inc........................... 760 25,555
BJ Services Co.*....................... 746 23,732
Ultramar Diamond Shamrock Corp......... 912 23,256
Cooper Cameron Corp.*.................. 565 21,329
Smith International, Inc.*............. 520 21,060
Noble Affiliates, Inc.................. 600 17,400
Tidewater, Inc......................... 585 14,917
----------
Total Common Stocks
(Cost $3,411,889)................ 4,494,538
----------
Total Investments 100% (Cost
$3,411,889)...................... $4,494,538
==========
</TABLE>
* NON-INCOME PRODUCING SECURITIES
See Notes to Financial Statements. 3
<PAGE>
RYDEX SERIES TRUST
FINANCIAL SERVICES FUND
SCHEDULE OF INVESTMENTS (UNAUDITED)
- --------------------------------------------------------------------------------
September 30, 1999
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
MARKET
VALUE
SHARES (NOTE 1)
------ -----------
<S> <C> <C>
COMMON STOCKS 99.3%
American International Group, Inc...... 18,240 $ 1,585,740
BankAmerica Corp....................... 20,352 1,133,352
Wells Fargo & Co....................... 19,431 769,953
Fannie Mae............................. 12,098 758,393
Citigroup, Inc......................... 17,110 752,862
Chase Manhattan Corp................... 9,799 738,600
Morgan Stanley Dean Witter & Co........ 7,993 712,876
American Express Co.................... 5,293 712,570
Bank One Corp.......................... 13,817 481,004
First Union Corp....................... 13,525 480,983
Freddie Mac............................ 8,200 426,400
Charles Schwab Corp.................... 11,584 390,236
Merrill Lynch & Co..................... 5,225 351,055
Associates First Capital Corp.,
Class A.............................. 8,581 308,916
Firstar Corp........................... 11,602 297,307
Bank Of New York Co., Inc.............. 8,663 289,669
U.S. Bancorp........................... 8,620 260,216
SunTrust Banks, Inc.................... 3,790 249,193
Fleet Financial Group, Inc............. 6,710 245,754
J. P. Morgan & Co., Inc................ 2,068 236,269
Allstate Corp.......................... 9,406 234,562
Household International, Inc........... 5,630 225,904
MBNA Corp.............................. 9,446 215,487
Marsh & McLennan Cos., Inc............. 3,111 213,104
Mellon Bank Corp....................... 6,058 204,458
Washington Mutual, Inc................. 6,823 199,573
Fifth Third Bancorp.................... 3,197 194,517
National City Corp..................... 7,283 194,365
Wachovia Corp.......................... 2,383 187,363
American General Corp.................. 2,935 185,455
PNC Bank Corp.......................... 3,487 183,721
CIGNA Corp............................. 2,346 182,402
<CAPTION>
MARKET
VALUE
SHARES (NOTE 1)
------ -----------
<S> <C> <C>
BankBoston Corp........................ 3,502 $ 151,899
AXA Financial, Inc..................... 2,640 147,345
KeyCorp................................ 5,287 136,471
AFLAC, Inc............................. 3,132 131,153
State Street Corp...................... 1,899 122,723
BB&T Corp.............................. 3,725 120,597
Northern Trust Corp.................... 1,313 109,636
Hartford Financial Services
Group, Inc........................... 2,663 108,850
Chubb Corp............................. 2,073 103,261
Lincoln National Corp.................. 2,342 87,971
Aetna, Inc............................. 1,661 81,803
-----------
Total Common Stocks
(Cost $14,228,836)............... 14,903,968
-----------
</TABLE>
<TABLE>
<CAPTION>
FACE
AMOUNT
-------
<S> <C> <C>
REPURCHASE
AGREEMENTS 0.7%
Repurchase agreements collateralized by
U.S. Treasury Obligations:
5.20%, due 10/01/99 (Note 2)........... $49,966 49,966
5.25%, due 10/01/99 (Note 2)........... 25,017 25,017
5.28%, due 10/01/99 (Note 2)........... 25,017 25,017
-----------
Total Repurchase
Agreements
(Cost $100,000).................. 100,000
-----------
Total Investments 100%
(Cost $14,328,836)............... $15,003,968
===========
</TABLE>
See Notes to Financial Statements. 4
<PAGE>
RYDEX SERIES TRUST
HEALTH CARE FUND
SCHEDULE OF INVESTMENTS (UNAUDITED)
- --------------------------------------------------------------------------------
September 30, 1999
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
MARKET
VALUE
SHARES (NOTE 1)
-------- -----------
<S> <C> <C>
COMMON STOCKS 97.1%
Bristol-Myers Squibb Co................ 26,055 $ 1,758,712
Merck & Co., Inc....................... 23,650 1,532,816
Johnson & Johnson...................... 15,669 1,439,589
Pfizer, Inc............................ 31,941 1,147,880
Eli Lilly & Co......................... 12,713 813,632
Medtronic, Inc......................... 22,753 807,731
Amgen, Inc.*........................... 9,858 803,427
Warner-Lambert Co...................... 11,270 748,046
Abbott Laboratories.................... 19,174 704,645
Schering-Plough Corp. Wisconsin........ 16,012 698,524
Glaxo Welcome Plc., Sponsored ADR...... 12,687 659,724
American Home Products Corp............ 14,188 588,802
SmithKline Beecham Plc., Sponsored
ADR.................................. 8,844 509,636
Pharmacia & Upjohn, Inc................ 9,970 494,761
Baxter International, Inc.............. 5,741 345,895
Guidant Corp........................... 5,958 319,498
Cardinal Health, Inc................... 5,406 294,627
Columbia/HCA Healthcare Corp........... 10,713 226,982
Boston Scientific Corp.*............... 8,155 201,327
Biogen, Inc.*.......................... 2,332 183,791
United HealthCare Corp................. 3,439 167,436
Becton, Dickinson and Co............... 5,750 161,359
McKesson HBOC, Inc..................... 5,543 160,747
Allergan, Inc.......................... 1,302 143,220
Immunex Corp.*......................... 3,237 140,405
Medimmune, Inc.*....................... 1,125 112,113
Tenet Healthcare Corp.*................ 6,139 107,816
Stryker Corp........................... 1,912 97,751
ALZA Corp.*............................ 2,004 85,796
Genzyme Corp. - General Division*...... 1,640 73,903
<CAPTION>
MARKET
VALUE
SHARES (NOTE 1)
-------- -----------
<S> <C> <C>
WellPoint Health
Networks, Inc.*...................... 1,296 $ 73,871
Bausch & Lomb, Inc..................... 1,120 73,850
Forest Laboratories, Inc.*............. 1,645 69,296
Biomet, Inc............................ 2,223 58,493
Watson Pharmaceuticals,
Inc.*................................ 1,889 57,733
Sybron International Corp.*............ 2,047 55,013
Gilead Sciences, Inc.*................. 830 53,276
St. Jude Medical, Inc.*................ 1,669 52,573
Healthsouth Corp.*..................... 8,182 49,603
C. R. Bard, Inc........................ 1,011 47,580
Mylan Laboratories, Inc................ 2,547 46,801
Mallinckrodt, Inc...................... 1,383 41,749
Health Management Associates, Inc.,
Class A*............................. 4,996 36,846
HCR Manor Care, Inc.*.................. 2,112 36,300
Hillenbrand Industries, Inc............ 1,307 34,472
Lincare Holdings, Inc.*................ 1,148 30,601
Bergen Brunswig Corp.,
Class A.............................. 2,645 27,442
ICN Pharmaceuticals, Inc............... 1,542 26,503
PacifiCare Health Systems, Inc., Class
A*................................... 608 26,296
Beckman Coulter, Inc................... 566 25,541
Dentsply International, Inc............ 1,042 23,706
Humana, Inc.*.......................... 3,305 22,722
Amerisource Health Corp., Class A*..... 956 22,645
Foundation Health Systems, Inc., Class
A*................................... 2,321 21,904
Oxford Health Plans, Inc.*............. 1,603 20,038
Steris Corp.*.......................... 1,327 18,246
Omnicare, Inc.......................... 1,799 17,315
Rexall Sundown, Inc.*.................. 1,269 15,625
Universal Health Services, Inc., Class
B*................................... 579 14,982
</TABLE>
* NON-INCOME PRODUCING SECURITIES
See Notes to Financial Statements. 5
<PAGE>
RYDEX SERIES TRUST
HEALTH CARE FUND
SCHEDULE OF INVESTMENTS (UNAUDITED) (CONCLUDED)
- --------------------------------------------------------------------------------
September 30, 1999
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
MARKET
VALUE
SHARES (NOTE 1)
-------- -----------
<S> <C> <C>
Covance, Inc.*......................... 1,426 $ 13,814
Dura Pharmaceuticals, Inc.*............ 870 12,126
Total Renal Care
Holdings, Inc.*...................... 1,601 11,907
Perrigo Co.*........................... 1,444 11,371
Quorum Health Group, Inc.*............. 1,440 10,124
-----------
Total Common Stocks
(Cost $16,238,046)............... 16,690,955
-----------
<CAPTION>
MARKET
FACE VALUE
AMOUNT (NOTE 1)
-------- -----------
<S> <C> <C>
REPURCHASE
AGREEMENTS 2.9%
Repurchase Agreements Collateralized by
U.S. Treasury Obligations:
5.20%, due 10/01/99
(Note 2)........................... $249,832 $ 249,832
5.25%, due 10/01/99
(Note 2)........................... 125,084 125,084
5.28%, due 10/01/99
(Note 2)........................... 125,084 125,084
-----------
Total Repurchase Agreements
(Cost $500,000).................. 500,000
-----------
Total Investments 100% (Cost
$16,738,046)..................... $17,190,955
===========
</TABLE>
* NON-INCOME PRODUCING SECURITIES
See Notes to Financial Statements. 6
<PAGE>
RYDEX SERIES TRUST
TECHNOLOGY FUND
SCHEDULE OF INVESTMENTS (UNAUDITED)
- --------------------------------------------------------------------------------
September 30, 1999
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
MARKET
VALUE
SHARES (NOTE 1)
-------- ------------
<S> <C> <C>
COMMON STOCKS 99.7%
Microsoft Corp.*....................... 197,024 $ 17,842,986
Intel Corp............................. 185,658 13,796,710
Lucent Technologies, Inc............... 212,375 13,777,805
International Business Machines
Corp................................. 109,545 13,296,024
Cisco Systems, Inc.*................... 192,095 13,170,513
Hewlett-Packard Co..................... 89,000 8,188,000
America Online, Inc.*.................. 68,061 7,078,344
Dell Computer Corp.*................... 167,074 6,985,782
EMC Corp.*............................. 88,868 6,348,508
Sun Microsystems, Inc.*................ 67,888 6,313,584
Oracle Corp.*.......................... 126,327 5,747,878
Texas Instruments, Inc................. 68,897 5,666,778
Motorola, Inc.......................... 53,247 4,685,736
Yahoo!, Inc.*.......................... 22,739 4,081,649
Compaq Computer Corp................... 148,467 3,405,462
Computer Associates International,
Inc.................................. 47,139 2,887,264
QUALCOMM, Inc.*........................ 14,098 2,667,165
Applied Materials, Inc.*............... 32,915 2,563,256
Automatic Data Processing, Inc......... 54,262 2,421,442
Electronic Data Systems Corp........... 43,230 2,288,488
Tellabs, Inc.*......................... 34,398 1,958,536
Solectron Corp.*....................... 23,663 1,699,299
First Data Corp........................ 37,627 1,650,885
BMC Software, Inc.*.................... 20,992 1,502,240
Micron Technology, Inc.*............... 21,990 1,463,709
Gateway 2000, Inc.*.................... 27,375 1,216,477
At Home Corp., Series A*............... 29,186 1,209,395
Veritas Software Corp.*................ 15,667 1,189,713
Unisys Corp.*.......................... 24,831 1,120,499
Computer Sciences Corp.*............... 14,029 986,414
Xilinx, Inc.*.......................... 13,860 908,263
3Com Corp.*............................ 30,869 887,484
CMGI, Inc.*............................ 8,355 856,388
Apple Computer, Inc.*.................. 13,202 835,852
Compuware Corp.*....................... 31,265 814,844
Analog Devices, Inc.*.................. 15,154 776,642
<CAPTION>
MARKET
VALUE
SHARES (NOTE 1)
-------- ------------
<S> <C> <C>
Linear Technology Corp................. 12,558 $ 738,175
Altera Corp.*.......................... 16,319 707,837
Maxim Integrated Products, Inc.*....... 11,070 698,448
Paychex, Inc........................... 20,212 689,735
RealNetworks, Inc.*.................... 5,995 626,852
LSI Logic Corp.*....................... 12,095 622,893
Seagate Technology, Inc.*.............. 18,769 578,320
Adobe Systems, Inc..................... 5,075 576,012
Novell, Inc.*.......................... 27,600 570,975
Comverse Technology, Inc.*............. 5,736 540,977
Inktomi Corp.*......................... 4,235 508,332
Teradyne, Inc.*........................ 14,048 495,192
KLA-Tencor Corp.*...................... 7,249 471,185
ADC Telecommunications, Inc.*.......... 11,119 466,303
National Semiconductor Co.* ........... 13,863 422,821
------------
Total Common Stocks
(Cost $161,436,065).............. 171,004,071
------------
<CAPTION>
FACE
AMOUNT
--------
<S> <C> <C>
REPURCHASE
AGREEMENTS 0.3%
Repurchase Agreements Collateralized by
U.S. Treasury Obligations:
5.20% due 10/01/99
(Note 2)........................... $299,799 299,800
5.25% due 10/01/99
(Note 2)........................... 150,101 150,100
5.28% due 10/01/99
(Note 2)........................... 150,101 150,100
------------
Total Repurchase Agreements
(Cost $600,000).................. 600,000
------------
Total Investments 100%
(Cost $162,036,065).............. $171,604,071
============
</TABLE>
* NON-INCOME PRODUCING SECURITIES
See Notes to Financial Statements. 7
<PAGE>
RYDEX SERIES TRUST
BASIC MATERIALS FUND
SCHEDULE OF INVESTMENTS (UNAUDITED)
- --------------------------------------------------------------------------------
September 30, 1999
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
MARKET
VALUE
SHARES (NOTE 1)
------- ----------
<S> <C> <C>
COMMON STOCKS 100.0%
E. I. DuPont de Nemours & Co........... 17,172 $1,045,344
Dow Chemical Co........................ 7,700 874,913
Alcoa, Inc............................. 12,851 797,565
International Paper Co................. 14,371 690,744
Weyerhaeuser Co........................ 7,031 405,161
PPG Industries, Inc.................... 6,085 365,100
Barrick Gold Corp...................... 13,774 299,585
Imperial Chemical Industries Plc.,
Sponsored ADR........................ 6,370 275,104
Rohm & Haas Co......................... 7,444 268,915
Union Carbide Corp..................... 4,663 264,917
Praxair, Inc........................... 5,526 254,196
Georgia-Pacific Corp................... 6,016 243,648
Alcan Aluminium, Ltd................... 7,620 238,125
Monsanto Co............................ 6,638 236,894
Air Products & Chemicals, Inc.......... 7,390 214,772
<CAPTION>
MARKET
VALUE
SHARES (NOTE 1)
------- ----------
<S> <C> <C>
Fort James Corp........................ 7,737 $ 206,481
British Steel Plc., Sponsored ADR*..... 6,947 178,885
Champion International Corp............ 3,355 172,363
Willamette Industries, Inc............. 3,902 168,274
Nucor Corp............................. 3,058 145,637
Reynolds Metals Co..................... 2,261 136,508
Inco, Ltd.............................. 6,346 135,646
Sherwin-Williams Co.................... 5,962 124,829
Mead Corp.............................. 3,557 122,272
Temple-Inland, Inc..................... 1,953 118,157
----------
Total Common Stocks
(Cost $7,732,071)................ 7,984,035
----------
Total Investments 100%
(Cost $7,732,071)................ $7,984,035
==========
</TABLE>
* NON-INCOME PRODUCING SECURITIES
See Notes to Financial Statements. 8
<PAGE>
RYDEX SERIES TRUST
CONSUMER PRODUCTS FUND
SCHEDULE OF INVESTMENTS (UNAUDITED)
- --------------------------------------------------------------------------------
September 30, 1999
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
MARKET
VALUE
SHARES (NOTE 1)
--------- --------
<S> <C> <C>
COMMON STOCKS 100.0%
Proctor & Gamble Co.................... 397 $ 37,219
Colgate-Palmolive Co................... 478 21,868
Kimberly-Clark Corp.................... 399 20,948
Unilever N. V., NY Shares.............. 298 20,360
Gillette Co............................ 597 20,261
Omnicom Group, Inc..................... 240 19,005
Interpublic Group of Cos., Inc......... 337 13,859
Nike, Inc., Class B.................... 216 12,285
Clorox Co.............................. 316 12,087
Newell Rubbermaid, Inc................. 380 10,854
Outdoor Systems, Inc.*................. 278 9,938
Cintas Corp............................ 167 9,655
Avery Dennison Corp.................... 170 8,967
Gucci Group N.V., NY Regular Shares.... 89 7,432
Whirlpool Corp......................... 113 7,380
<CAPTION>
MARKET
VALUE
SHARES (NOTE 1)
--------- --------
<S> <C> <C>
Estee Lauder Cos., Class A............. 185 $ 7,227
Black & Decker Corp.................... 130 5,939
Leggett & Platt, Inc................... 294 5,788
V. F. Corp............................. 179 5,549
International Flavors & Fragrances,
Inc.................................. 158 5,451
Jones Apparel Group, Inc.*............. 156 4,485
Maytag Corp............................ 132 4,397
Dial Corp.............................. 155 3,953
Tommy Hilfiger Corp.*.................. 140 3,946
Shaw Industries, Inc................... 212 3,365
--------
Total Common Stocks
(Cost $250,347).................. 282,218
--------
Total Investments 100%
(Cost $250,347).................. $282,218
========
</TABLE>
* NON-INCOME PRODUCING SECURITIES
See Notes to Financial Statements. 9
<PAGE>
RYDEX SERIES TRUST
LEISURE FUND
SCHEDULE OF INVESTMENTS (UNAUDITED)
- --------------------------------------------------------------------------------
September 30, 1999
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
MARKET
VALUE
SHARES (NOTE 1)
------- ----------
<S> <C> <C>
COMMON STOCKS 100.0%
Time Warner, Inc....................... 6,200 $ 376,650
Walt Disney Co......................... 11,280 291,870
America Online, Inc.................... 2,215 230,360
Anheuser-Busch Cos., Inc............... 2,599 182,092
CBS Corp.*............................. 3,885 179,681
Viacom, Inc., Class B.................. 3,812 161,057
McDonald's Corp........................ 3,694 158,842
Comcast Corp., Special Class A......... 3,823 152,442
Cox Communications, Inc., Class A...... 3,592 149,966
Carnival Corp.......................... 3,355 145,943
Clear Channel Communications, Inc.*.... 1,815 144,973
Gannett Co., Inc....................... 1,716 118,726
Philip Morris Cos., Inc................ 3,296 112,682
Seagram Co., Ltd....................... 2,474 112,567
Cendant Corp.*......................... 5,283 93,773
Tribune Co............................. 1,617 80,446
McGraw-Hill Cos., Inc.................. 1,355 65,548
At Home Corp., Series A................ 1,471 60,955
<CAPTION>
MARKET
VALUE
SHARES (NOTE 1)
------- ----------
<S> <C> <C>
AMFM, Inc.*............................ 976 $ 59,414
News Corp., Ltd., Sponsored ADR........ 2,065 58,723
Marriott International, Inc.,
Class A.............................. 1,704 55,700
Harley-Davidson, Inc................... 1,049 52,516
Royal Caribbean Cruises, Ltd........... 1,154 51,930
New York Times Co., Class A............ 1,193 44,738
Tricon Global Restaurants, Inc.*....... 1,049 42,943
Mattel, Inc............................ 1,962 37,278
USA Networks, Inc.*.................... 888 34,410
Dun & Bradstreet Corp.................. 1,121 33,490
Galileo International, Inc............. 714 28,739
Hasbro, Inc............................ 1,335 28,618
----------
Total Common Stocks
(Cost $3,208,637).................. 3,347,072
----------
Total Investments 100%
(Cost $3,208,637).................. $3,347,072
==========
</TABLE>
* NON-INCOME PRODUCING SECURITIES
See Notes to Financial Statements. 10
<PAGE>
RYDEX SERIES TRUST
RETAILING FUND
SCHEDULE OF INVESTMENTS (UNAUDITED)
- --------------------------------------------------------------------------------
September 30, 1999
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
MARKET
VALUE
SHARES (NOTE 1)
------- ----------
<S> <C> <C>
COMMON STOCKS 100.0%
Wal-Mart Stores, Inc................... 22,408 $1,065,780
Home Depot, Inc........................ 14,093 967,132
McDonald's Corp........................ 13,643 586,649
Amazon.com, Inc.*...................... 3,585 286,576
Walgreen Co............................ 11,229 284,936
Gap, Inc............................... 8,636 276,352
Dayton Hudson Corp..................... 4,452 267,398
Lowe's Cos., Inc....................... 4,268 208,065
CVS Corp............................... 4,383 178,881
Costco Wholesale Corp.*................ 2,449 176,328
Best Buy Co., Inc.*.................... 2,281 141,565
May Department Stores Co............... 3,739 136,240
Sears, Roebuck & Co.................... 4,257 133,563
Kohl's Corp.*.......................... 1,820 120,348
Staples, Inc.*......................... 5,201 113,447
Tandy Corp............................. 2,162 111,748
<CAPTION>
MARKET
VALUE
SHARES (NOTE 1)
------- ----------
<S> <C> <C>
Intimate Brands, Inc................... 2,785 $ 108,441
Federated Department Stores, Inc.*..... 2,345 102,447
J. C. Penney Co., Inc.................. 2,910 100,031
Tiffany & Co........................... 3,555 99,762
Circuit City Stores - Circuit City
Group, Inc........................... 2,277 96,061
Dollar General Corp.................... 2,972 91,761
Limited, Inc........................... 2,396 91,647
Tricon Global Restaurants, Inc.*....... 1,722 70,494
Kmart Corp.*........................... 5,540 64,749
----------
Total Common Stocks
(Cost $5,281,959)................ 5,880,401
----------
Total Investments 100%
(Cost $5,281,959)................ $5,880,401
==========
</TABLE>
* NON-INCOME PRODUCING SECURITIES
See Notes to Financial Statements. 11
<PAGE>
RYDEX SERIES TRUST
TELECOMMUNICATIONS FUND
SCHEDULE OF INVESTMENTS (UNAUDITED)
- --------------------------------------------------------------------------------
September 30, 1999
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
MARKET
VALUE
SHARES (NOTE 1)
-------- -----------
<S> <C> <C>
COMMON STOCKS 99.8%
Lucent Technologies, Inc............... 133,964 $ 8,690,914
Vodafone Group Plc., Sponsored ADR..... 30,203 7,180,763
AT&T Corp.............................. 157,147 6,835,894
MCI WorldCom, Inc.*.................... 86,982 6,251,831
Nokia Corp., Class A, Sponsored ADR.... 56,296 5,056,085
BellSouth Corp......................... 87,562 3,940,290
SBC Communications, Inc................ 75,005 3,829,943
Nortel Networks Corp................... 74,160 3,782,160
GTE Corp............................... 47,165 3,625,809
Bell Atlantic Corp..................... 50,698 3,412,609
Ameritech Corp......................... 49,257 3,309,455
LM Ericsson Telephone Co., Series B,
Sponsored ADR........................ 97,571 3,049,094
Sprint Corp., FON Group................ 42,688 2,315,824
Sprint PCS Group*...................... 23,441 1,747,820
BCE, Inc............................... 34,823 1,734,621
QUALCOMM, Inc.*........................ 8,778 1,660,688
U.S. West, Inc......................... 27,563 1,572,814
Alcatel Alsthom S.A.................... 54,132 1,502,163
Cable & Wireless Plc., Sponsored ADR... 43,948 1,455,778
British Telecomm Plc., Sponsored ADR... 8,883 1,376,310
Global Crossing, Ltd.*................. 48,256 1,285,951
Tellabs, Inc.*......................... 21,420 1,219,601
Qwest Communications International,
Inc.*................................ 40,830 1,207,037
Alltel Corp............................ 16,695 1,174,911
Nextel Communications, Inc., Class
A*................................... 17,169 1,164,273
Telefonos de Mexico, S.A., Sponsored
ADR.................................. 14,223 1,013,389
<CAPTION>
MARKET
VALUE
SHARES (NOTE 1)
-------- -----------
<S> <C> <C>
General Instrument Corp.*.............. 9,472 $ 455,840
NTL, Inc.*............................. 4,351 418,104
ADC Telecommunications, Inc.*.......... 9,665 405,326
Century Telephone Enterprises, Inc..... 9,951 404,259
Ciena Corp.*........................... 9,815 358,247
Telephone and Data Systems............. 3,887 345,214
McLeod USA, Inc., Class A*............. 8,048 342,543
Newbridge Networks Corp.*.............. 12,664 330,055
PanAmSat Corp.*........................ 7,979 288,241
-----------
Total Common Stocks
(Cost $78,088,878)............... 82,743,856
-----------
<CAPTION>
FACE
AMOUNT
--------
<S> <C> <C>
REPURCHASE
AGREEMENTS 0.2%
Repurchase Agreements Collateralized by
U.S. Treasury Obligations:
5.20% due 10/01/99 (Note 2).......... $ 99,934 99,934
5.25% due 10/01/99 (Note 2).......... 50,033 50,033
5.28% due 04/01/99 (Note 2).......... 50,033 50,033
-----------
Total Repurchase Agreements
(Cost $200,000).................. 200,000
-----------
Total Investments 100%
(Cost $78,288,878)............... $82,943,856
===========
</TABLE>
* NON-INCOME PRODUCING SECURITIES
See Notes to Financial Statements. 12
<PAGE>
RYDEX SERIES TRUST
TRANSPORTATION FUND
SCHEDULE OF INVESTMENTS (UNAUDITED)
- --------------------------------------------------------------------------------
September 30, 1999
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
MARKET
VALUE
SHARES (NOTE 1)
------- ----------
<S> <C> <C>
COMMON STOCKS 100.0%
FDX Corp.*............................. 11,937 $ 462,559
Burlington Northern Santa Fe Corp...... 13,025 358,187
Union Pacific Corp..................... 7,439 357,537
AMR Corp.*............................. 6,025 328,362
Southwest Airlines Co.................. 20,172 306,362
Goodyear Tire & Rubber Co.............. 6,256 301,070
Norfolk Southern Corp.................. 11,421 279,815
CSX Corp............................... 6,534 276,878
Delta Air Lines, Inc................... 5,617 272,424
Dana Corp.............................. 6,634 246,314
TRW, Inc............................... 4,852 241,387
Canadian National Railway Co........... 7,637 231,496
Kansas City Southern
Industries, Inc...................... 4,422 205,347
Genuine Parts Co....................... 7,166 190,347
PACCAR, Inc............................ 3,134 159,442
Magna International, Inc., Class A..... 3,168 157,410
UAL Corp.*............................. 2,120 138,463
Navistar International Corp............ 2,613 121,505
Lear Corp.*............................ 2,675 94,127
<CAPTION>
MARKET
VALUE
SHARES (NOTE 1)
------- ----------
<S> <C> <C>
Northwest Airlines Corp.*.............. 3,374 $ 86,037
Federal-Mogul Corp..................... 2,816 77,616
US Airways Group, Inc.*................ 2,865 75,206
CNF Transportation, Inc................ 1,935 72,079
Expeditors International of
Washington, Inc...................... 2,008 64,444
Comair Holdings, Inc................... 3,828 63,888
GATX Corp.............................. 1,983 61,597
Cooper Tire & Rubber Co................ 3,036 53,509
Swift Transporation Co., Inc.*......... 2,572 50,636
USFreightways Corp..................... 1,061 50,265
Borg-Warner Automotive, Inc............ 1,069 45,967
Newport News Shipbuilding,
Inc.................................. 1,385 44,753
Alaska Airgroup, Inc.*................. 1,056 42,966
Airborne Freight Corp.................. 1,947 41,009
Tower Automotive, Inc.................. 1,873 37,109
Eagle USA Airfreight, Inc.............. 1,144 34,249
Total Common Stocks
(Cost $5,585,308)................ 5,630,362
----------
Total Investments 100%
(Cost $5,585,308)................ $5,630,362
==========
</TABLE>
* NON-INCOME PRODUCING SECURITIES
See Notes to Financial Statements. 13
<PAGE>
RYDEX SERIES TRUST
ENERGY SERVICES FUND
SCHEDULE OF INVESTMENTS (UNAUDITED)
- --------------------------------------------------------------------------------
September 30, 1999
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
MARKET
VALUE
SHARES (NOTE 1)
-------- -----------
<S> <C> <C>
COMMON STOCKS 98.8%
Schlumberger Ltd....................... 66,295 $4,131,008
Halliburton Co......................... 99,948 4,097,868
Baker Hughes, Inc...................... 66,133 1,917,874
Diamond Offshore Drilling,
Inc.................................. 40,097 1,338,237
Weatherford International, Inc.*....... 30,350 971,200
Transocean Offshore, Inc............... 31,249 957,001
Noble Drilling Corp.*.................. 40,820 892,938
Global Marine, Inc.*................... 53,737 883,302
Nabors Industries, Inc.*............... 33,251 831,275
R & B Falcon Corp.*.................... 60,091 788,694
Ensco International, Inc............... 42,598 769,426
BJ Services Co.*....................... 21,952 698,348
Cooper Cameron Corp.*.................. 16,559 625,102
Smith International, Inc.*............. 15,188 615,114
Tidewater, Inc......................... 17,272 440,436
Rowan Cos., Inc.*...................... 25,815 419,494
Helmerich & Payne, Inc................. 15,361 388,825
McDermott International, Inc........... 18,412 372,843
Eastern Enterprises.................... 7,032 326,549
National-Oilwell, Inc.*................ 17,504 287,722
Marine Drilling Co., Inc.*............. 16,311 257,918
Varco International, Inc.*............. 20,210 246,309
Global Industries Ltd.*................ 28,222 229,304
Pride International, Inc.*............. 15,670 222,318
Seacor Smit, Inc.*..................... 3,776 193,520
Western Gas Resources, Inc............. 9,990 186,688
Tuboscope, Inc.*....................... 13,751 171,028
Newpark Resources, Inc.*............... 21,407 165,904
<CAPTION>
MARKET
VALUE
SHARES (NOTE 1)
-------- -----------
<S> <C> <C>
Houston Exploration Co.*............... 7,425 $ 161,030
Veritas DGC, Inc.*..................... 7,129 137,233
Carbo Ceramics, Inc.................... 4,538 124,795
Oceaneering International, Inc.*....... 7,033 118,242
Parker Drilling Co.*................... 23,954 106,296
Input/Output, Inc.*.................... 15,693 103,966
-----------
Total Common Stocks (Cost
$16,904,598)..................... 24,177,807
-----------
<CAPTION>
FACE
AMOUNT
--------
<S> <C> <C>
REPURCHASE
AGREEMENTS 1.2%
Repurchase Agreements Collateralized by
U.S. Treasury Obligations:
5.20% due 10/01/99 (Note 2).......... $149,900 149,900
5.25% due 10/01/99 (Note 2).......... 75,050 75,050
5.28% due 10/01/99 (Note 2).......... 75,050 75,050
-----------
Total Repurchase Agreements
(Cost $300,000).................. 300,000
-----------
Total Investments 100%
(Cost $17,204,598)............... $24,477,807
===========
</TABLE>
* NON-INCOME PRODUCING SECURITIES
See Notes to Financial Statements. 14
<PAGE>
RYDEX SERIES TRUST
BANKING FUND
SCHEDULE OF INVESTMENTS (UNAUDITED)
- --------------------------------------------------------------------------------
September 30, 1999
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
MARKET
VALUE
SHARES (NOTE 1)
------- ----------
<S> <C> <C>
COMMON STOCKS 100.0%
BankAmerica Corp....................... 15,266 $ 850,125
Wells Fargo Co......................... 19,434 770,072
Chase Manhattan Corp................... 9,809 739,353
Bank One Corp.......................... 13,820 481,109
First Union Corp....................... 13,527 481,054
Firstar Corp........................... 11,604 297,365
Bank of New York Co., Inc.............. 8,664 289,703
U.S. Bancorp........................... 8,621 260,246
SunTrust Banks, Inc.................... 3,791 249,258
Fleet Financial Group, Inc............. 6,711 245,790
J. P. Morgan & Co., Inc................ 2,069 236,383
Mellon Bank Corp....................... 6,059 204,491
Washington Mutual, Inc................. 6,824 199,602
Fifth Third Bancorp.................... 3,197 194,518
National City Corp..................... 7,284 194,392
Wachovia Corp.......................... 2,383 187,363
PNC Bank Corp.......................... 3,488 183,774
BankBoston Corp........................ 3,503 151,943
<CAPTION>
MARKET
VALUE
SHARES (NOTE 1)
------- ----------
<S> <C> <C>
KeyCorp................................ 5,288 $ 136,497
State Street Corp...................... 1,900 122,788
BB&T Corp.............................. 3,726 120,629
Northern Trust Corp.................... 1,314 109,719
Comerica, Inc.......................... 1,842 93,251
Regions Financial Corp................. 2,638 79,140
Republic New York Corp................. 1,235 75,875
Huntington Bancshares, Inc............. 2,714 72,091
Southtrust Corp........................ 1,973 70,781
UnionBanCal Corp....................... 1,940 70,325
Marshall & Ilsley Corp................. 1,215 69,331
Union Planters Corp.................... 1,685 68,664
----------
Total Common Stocks
(Cost $7,226,894)................ 7,305,632
----------
Total Investments 100% (Cost
$7,226,894)...................... $7,305,632
==========
</TABLE>
See Notes to Financial Statements. 15
<PAGE>
RYDEX SERIES TRUST
BIOTECHNOLOGY FUND
SCHEDULE OF INVESTMENTS (UNAUDITED)
- --------------------------------------------------------------------------------
September 30, 1999
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
MARKET
VALUE
SHARES (NOTE 1)
-------- -----------
<S> <C> <C>
COMMON STOCKS 97.3%
Amgen, Inc.*........................... 138,108 $11,255,802
Biogen, Inc.*.......................... 69,561 5,482,276
MedImmune, Inc.*....................... 36,839 3,671,237
Immunex Corp.*......................... 80,130 3,475,639
Chiron Corp.*.......................... 94,080 2,604,840
Genzyme Corp. - General Division*...... 40,911 1,843,552
Gilead Sciences, Inc.*................. 27,541 1,767,788
Affymetrix, Inc.*...................... 15,870 1,562,203
Millennium Pharmaceuticals, Inc.*...... 23,557 1,531,205
Centocor, Inc.*........................ 25,501 1,493,402
BioChem Pharma, Inc.*.................. 56,669 1,356,514
IDEC Pharmaceuticals Corp.* ........... 13,470 1,266,601
Andrx Corp.*........................... 20,538 1,202,115
Pioneer Hi-Bred International, Inc..... 30,165 1,200,944
Human Genome Sciences, Inc.*........... 15,036 1,108,905
ICOS Corp.*............................ 28,941 853,760
ALZA Corp.*............................ 17,544 751,103
Enzon, Inc.*........................... 23,738 724,009
Transkaryotic Therapies, Inc.* ........ 12,679 651,384
Vertex Pharmaceuticals, Inc.* ......... 16,709 519,023
Triangle Pharmaceuticals, Inc.*........ 25,013 481,500
Enzo Biochem, Inc.*.................... 16,310 462,796
Alkermes, Inc.*........................ 15,943 459,358
Protein Design Labs, Inc.*............. 11,859 428,406
Incyte Pharmaceuticals, Inc.*.......... 18,276 422,633
Cephalon, Inc.*........................ 20,252 363,903
SuperGen, Inc.*........................ 14,848 340,576
Inhale Therapeutic Systems, Inc.*...... 11,178 339,532
Pharmacyclics, Inc.*................... 8,111 331,537
<CAPTION>
MARKET
VALUE
SHARES (NOTE 1)
-------- -----------
<S> <C> <C>
Bio-Technology General Corp.*.......... 33,413 $ 320,556
COR Therapeutics, Inc.*................ 16,128 306,432
Aviron*................................ 10,352 251,036
Ligand Pharmaceuticals, Inc., Class
B*................................... 30,500 232,563
Sicor, Inc.*........................... 57,948 229,981
Isis Pharmaceuticals, Inc.*............ 19,091 213,581
EntreMed, Inc.*........................ 9,599 206,379
Liposome Co., Inc.*.................... 25,201 191,764
PathoGenesis Corp.*.................... 10,796 165,989
Cell Genesys, Inc.*.................... 20,986 165,265
Neurogen Corp.*........................ 9,641 160,282
Coulter Pharmaceutical, Inc.* ......... 11,017 153,549
Organogenesis, Inc.*................... 19,949 148,371
Vical, Inc.*........................... 10,595 146,343
Alliance Pharmaceutical Corp.*......... 27,900 141,244
Geltex Pharmaceuticals, Inc.*.......... 11,684 129,985
Miravant Medical Technologies*......... 12,463 126,188
Aphton Corp.*.......................... 9,444 125,133
Amylin Pharmaceuticals, Inc.* ......... 25,793 122,517
Geron Corp.*........................... 11,410 119,805
Alexion Pharmaceuticals, Inc.*......... 7,810 115,198
Advanced Tissue Sciences, Inc.*........ 36,289 111,702
Myriad Genetics, Inc.*................. 6,514 110,738
CryoLife, Inc.*........................ 8,496 106,200
XOMA Ltd.*............................. 35,797 105,154
Algo Pharmaceuticals Corp.*............ 12,021 102,179
Creative BioMolecules, Inc.*........... 25,471 95,516
Cytogen Corp.*......................... 47,583 95,166
Genzyme Transgenics Corp.* ............ 13,887 93,737
Immune Response Corp.*................. 17,222 83,957
Biomira, Inc.*......................... 30,693 82,487
Genelabs Technologies, Inc.*........... 27,581 78,433
</TABLE>
* NON-INCOME PRODUCING SECURITIES
See Notes to Financial Statements. 16
<PAGE>
RYDEX SERIES TRUST
BIOTECHNOLOGY FUND
SCHEDULE OF INVESTMENTS (UNAUDITED) (CONCLUDED)
- --------------------------------------------------------------------------------
September 30, 1999
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
MARKET
VALUE
SHARES (NOTE 1)
-------- -----------
<S> <C> <C>
Regeneron Pharmaceuticals, Inc.*....... 9,579 $ 77,829
Serologicals Corp.*.................... 16,277 69,179
Martek Biosciences Corp.*.............. 11,413 65,625
Vivus, Inc.*........................... 22,242 63,251
Maxim Pharmaceuticals, Inc.*........... 7,062 60,468
Scios, Inc.*........................... 15,976 58,912
NeoPath, Inc.*......................... 12,075 58,111
Texas Biotechnology Corp.*............. 14,218 55,983
ArQule, Inc.*.......................... 8,801 54,456
Diacrin, Inc.*......................... 9,944 52,827
Genome Therapeutics Corp.* ............ 12,774 51,096
Hyseq, Inc.*........................... 9,011 44,492
Immunomedics, Inc.*.................... 26,223 35,237
Ribi Immunochem Research, Inc.*........ 14,836 33,381
Genzyme Corp. - Tissue Repair*......... 15,482 29,513
Sonus Pharmaceuticals, Inc.* .......... 6,219 20,600
Pharmacia & Upjohn, Inc................ 1 33
-----------
Total Common Stocks
(Cost $37,244,722)............... 53,620,966
-----------
<CAPTION>
MARKET
FACE VALUE
AMOUNT (NOTE 1)
-------- -----------
<S> <C> <C>
REPURCHASE
AGREEMENTS 2.7%
Repurchase Agreements Collateralized by
U.S. Treasury Obligations:
5.20% due 10/01/99
(Note 2)........................... $749,498 $ 749,498
5.25% due 10/01/99
(Note 2)........................... 375,251 375,251
5.28% due 10/01/99
(Note 2)........................... 375,251 375,251
-----------
Total Repurchase Agreements
(Cost $1,500,000)................ 1,500,000
-----------
Total Investments 100%
(Cost $38,744,722)............... $55,120,966
===========
</TABLE>
* NON-INCOME PRODUCING SECURITIES
See Notes to Financial Statements. 17
<PAGE>
RYDEX SERIES TRUST
ELECTRONICS FUND
SCHEDULE OF INVESTMENTS (UNAUDITED)
- --------------------------------------------------------------------------------
September 30, 1999
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
MARKET
VALUE
SHARES (NOTE 1)
-------- -----------
<S> <C> <C>
COMMON STOCKS 97.9%
Intel Corp............................. 91,737 $ 6,817,231
EMC Corp.*............................. 79,764 5,698,141
Texas Instruments, Inc................. 61,086 5,024,324
Motorola, Inc.......................... 47,924 4,217,312
Solectron Corp.*....................... 31,314 2,248,737
JDS Uniphase Corp.*.................... 19,576 2,227,994
Applied Materials, Inc.*............... 28,285 2,202,694
Micron Technology, Inc.*............... 29,024 1,931,910
Xilinx, Inc.*.......................... 18,273 1,197,453
ASM Lithography Holding, N. V.*........ 16,100 1,079,706
Linear Technology Corp................. 17,801 1,046,365
Analog Devices, Inc.*.................. 20,053 1,027,716
Altera Corp.*.......................... 23,079 1,001,052
Maxim Integrated Products, Inc.*....... 15,677 989,121
Broadcom Corp., Class A*............... 8,285 903,065
LSI Logic Corp.*....................... 17,145 882,967
Seagate Technology, Inc.*.............. 26,532 817,517
Vitesse Semiconductor Corp.*........... 8,902 760,008
STMicroelectronics, N.V................ 9,893 732,082
Teradyne, Inc.*........................ 19,808 698,232
PMC-Sierra, Inc.*...................... 7,357 680,522
KLA Tencor Corp.*...................... 9,864 641,160
National Semiconductor Corp.*.......... 18,834 574,437
Sanmina Corp.*......................... 6,500 502,938
Atmel Corp.*........................... 11,133 376,435
SCI Systems, Inc.*..................... 8,038 357,189
Applied Micro Circuits Corp.*.......... 5,948 339,036
AVX Corp............................... 9,630 338,254
Symbol Technologies, Inc............... 9,833 330,635
Thomas & Betts Corp.................... 6,342 323,442
Flextronics International, Ltd.*....... 5,545 322,650
Molex, Inc............................. 8,504 309,333
Novellus Systems, Inc.*................ 4,336 292,409
Microchip Technology, Inc.*............ 5,658 290,680
<CAPTION>
MARKET
VALUE
SHARES (NOTE 1)
-------- -----------
<S> <C> <C>
Advanced Micro Devices, Inc.*.......... 16,400 $ 281,875
LAM Research Corp.*.................... 4,334 264,374
Cypress Semiconductor Corp.*........... 11,699 251,528
ASE Test Ltd.*......................... 9,361 227,004
Taiwan Semiconductor, Sponsored ADR.... 7,412 218,680
Storage Technology Corp.*.............. 11,164 214,907
Micrel, Inc.*.......................... 4,899 212,494
Sandisk Corp.*......................... 3,230 210,556
Vishay Intertechnology, Inc.*.......... 8,849 210,164
Arrow Electronics, Inc.*............... 11,612 204,661
Tektronix, Inc......................... 5,611 187,968
Rambus, Inc.*.......................... 2,809 186,096
Integrated Device Tech, Inc.*.......... 9,871 182,613
Quantum Corp.*......................... 12,816 180,225
Avnet, Inc............................. 4,186 175,812
-----------
Total Common Stocks
(Cost $31,451,023)............... 50,391,704
-----------
</TABLE>
<TABLE>
<CAPTION>
FACE
AMOUNT
--------
<S> <C> <C>
REPURCHASE
AGREEMENTS 2.1%
Repurchase Agreements Collateralized by
U.S. Treasury Obligations:
5.20% due 10/01/99 (Note 2).......... $549,632 549,632
5.25% due 10/01/99 (Note 2).......... 275,184 275,184
5.28% due 10/01/99 (Note 2).......... 275,184 275,184
-----------
Total Repurchase Agreements
(Cost $1,100,000)................ 1,100,000
-----------
Total Investments 100% (Cost
$32,551,023)..................... $51,491,704
===========
</TABLE>
* Non-Income Producing Securities
See Notes to Financial Statements.
18
<PAGE>
RYDEX SERIES TRUST
PRECIOUS METALS FUND
SCHEDULE OF INVESTMENTS (UNAUDITED)
- --------------------------------------------------------------------------------
September 30, 1999
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
MARKET
VALUE
SHARES (NOTE 1)
-------- -----------
<S> <C> <C>
COMMON STOCKS 98.1%
Barrick Gold Corp...................... 856,490 $18,628,657
Placer Dome, Inc....................... 668,220 9,939,773
Newmont Mining Corp.................... 343,871 8,897,668
Freeport-McMoRan Copper & Gold, Inc.,
Class B.............................. 335,536 5,221,779
Homestake Mining Co.................... 534,153 4,907,531
Ashanti Goldfields Co., Ltd., Sponsored
GDR.................................. 248,423 1,956,331
Battle Mountain Gold Co................ 471,799 1,533,347
Stillwater Mining Co.*................. 34,871 937,158
Hecla Mining Co.*...................... 136,878 402,079
Anglogold, Ltd., Sponsored ADR......... 9,000 282,937
Coeur d'Alene Mines Corp.*............. 44,955 210,727
-----------
Total Common Stocks
(Cost $44,129,859)............... 52,917,987
-----------
<CAPTION>
CONTRACTS
--------
<S> <C> <C>
OPTIONS PURCHASED 0.6%
Call Options on:
XAU Index, Expiring October 1999 with
strike 50.......................... 10,000 298,750
-----------
Total Options Purchased
(Cost $150,300).................. 298,750
-----------
<CAPTION>
MARKET
FACE VALUE
AMOUNT (NOTE 1)
-------- -----------
<S> <C> <C>
REPURCHASE
AGREEMENTS 1.3%
Repurchase Agreements Collateralized by
U.S. Treasury Obligations:
5.20% due 10/01/99
(Note 2)........................... $349,766 $ 349,766
5.25% due 10/01/99
(Note 2)........................... 175,117 175,117
5.28% due 10/01/99
(Note 2)........................... 175,117 175,117
-----------
Total Repurchase Agreements
(Cost $700,000).................. 700,000
-----------
Total Investments 100%
(Cost $44,980,159)............... $53,916,737
===========
</TABLE>
* NON-INCOME PRODUCING SECURITIES
See Notes to Financial Statements. 19
<PAGE>
RYDEX SERIES TRUST
STATEMENT OF ASSETS AND LIABILITIES (UNAUDITED)
- --------------------------------------------------------------------------------
September 30, 1999
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
FINANCIAL BASIC
ENERGY SERVICES HEALTH CARE TECHNOLOGY MATERIALS
FUND FUND FUND FUND FUND
---------- ----------- ----------- ------------ -----------
<S> <C> <C> <C> <C> <C>
ASSETS
Repurchase Agreements................ $ -- $ 100,000 $ 500,000 $ 600,000 $ --
Investment Securities................ 4,494,538 14,903,968 16,690,955 171,004,071 7,984,035
---------- ----------- ----------- ------------ -----------
Securities at Value (Note 1) - See
Accompanying Schedules............. 4,494,538 15,003,968 17,190,955 171,604,071 7,984,035
Receivable for Securities Sold....... -- -- 38,551,027 -- --
Investment Income Receivable......... 55,872 -- 16,652 4,739 9,729
Cash in Custodian Bank............... 12,857 21,213 72,928 14,974 17,460
Receivable for Shares Purchased...... 336,136 11,429,818 8,247,521 132,463,088 6,007,106
Other Assets......................... -- -- 54,046 -- 7
---------- ----------- ----------- ------------ -----------
Total Assets....................... 4,899,403 26,454,999 64,133,129 304,086,872 14,018,337
---------- ----------- ----------- ------------ -----------
LIABILITIES
Payable for Securities Purchased..... 186,710 11,191,106 -- 128,491,694 1,850,778
Liability for Shares Redeemed........ 125,760 28,052 47,462,259 2,994,168 4,142,104
Investment Advisory Fee Payable...... 9,013 5,610 45,869 59,817 1,437
Transfer Agent Fee Payable........... 2,651 1,650 13,491 17,593 423
Distribution and Service Fee
Payable............................ 320 529 22,288 8,407 --
Other Liabilities.................... 33,840 79,274 4,228 104,380 12,166
---------- ----------- ----------- ------------ -----------
Total Liabilities.................. 358,294 11,306,221 47,548,135 131,676,059 6,006,908
---------- ----------- ----------- ------------ -----------
NET ASSETS............................. $4,541,109 $15,148,778 $16,584,994 $172,410,813 $ 8,011,429
========== =========== =========== ============ ===========
INVESTOR CLASS:
Net Assets........................... $4,338,362 $12,469,473 $14,637,710 $113,310,946 $ 7,979,053
Shares Outstanding................... 435,297 1,446,430 1,531,128 5,693,585 947,351
Net Asset Value Per Share............ $9.97 $8.62 $9.56 $19.90 $8.42
ADVISOR CLASS:
Net Assets........................... $202,747 $2,679,305 $1,947,284 $59,099,867 $32,376
Shares Outstanding................... 20,368 311,896 205,735 2,996,973 3,871
Net Asset Value Per Share............ $9.95 $8.59 $9.47 $19.72 $8.36
</TABLE>
See Notes to Financial Statements. 20
<PAGE>
RYDEX SERIES TRUST
STATEMENT OF ASSETS AND LIABILITIES (UNAUDITED) (CONTINUED)
- --------------------------------------------------------------------------------
September 30, 1999
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
CONSUMER TELE-
PRODUCTS LEISURE RETAILING COMMUNICATIONS TRANSPORTATION
FUND FUND FUND FUND FUND
-------- ---------- ----------- --------------- ---------------
<S> <C> <C> <C> <C> <C>
ASSETS
Repurchase Agreements................ $ -- $ -- $ -- $ 200,000 $ --
Investment Securities................ 282,218 3,347,072 5,880,401 82,743,856 5,630,362
-------- ---------- ----------- ----------- -------------
Securities at Value (Note 1) - See
Accompanying Schedules............. 282,218 3,347,072 5,880,401 82,943,856 5,630,362
Receivable for Securities Sold....... 6,849 -- -- -- --
Investment Income Receivable......... 1,096 5,185 5,913 37,141 --
Cash in Custodian Bank............... 50,068 32,515 85,893 98,502 16,197
Receivable for Shares Purchased...... -- 2,323,192 51,996,933 57,576,238 4,746,730
Other Assets......................... -- 2,715 -- -- 1,803
-------- ---------- ----------- ----------- -------------
Total Assets....................... 340,231 5,710,679 57,969,140 140,655,737 10,395,092
-------- ---------- ----------- ----------- -------------
LIABILITIES
Payable for Securities Purchased..... -- 856,570 -- 58,308,244 4,560,379
Liability for Shares Redeemed........ 4,200 1,467,133 11,146 64,286 116,910
Investment Advisory Fee Payable...... 735 2,464 5,089 14,700 520
Transfer Agent Fee Payable........... 216 725 1,497 4,324 185
Distribution and Service Fee
Payable............................ 91 217 1,718 1,582 6
Other Liabilities.................... 47,045 8,873 33,534 65,305 12,158
-------- ---------- ----------- ----------- -------------
Total Liabilities.................. 52,287 2,335,982 52,984 58,458,441 4,690,158
-------- ---------- ----------- ----------- -------------
NET ASSETS............................. $287,944 $3,374,697 $57,916,156 $82,197,296 $ 5,704,934
======== ========== =========== =========== =============
INVESTOR CLASS:
Net Asset............................ $256,736 $1,320,657 $ 6,415,119 $29,314,488 $ 5,695,565
Shares Outstanding................... 32,505 132,565 529,651 2,020,038 827,936
Net Asset Value Per Share............ $7.90 $9.96 $12.11 $14.51 $6.88
ADVISOR CLASS:
Net Assets........................... $31,208 $2,054,040 $51,501,037 $52,882,808 $9,369
Shares Outstanding................... 3,968 208,531 4,263,290 3,685,193 1,376
Net Asset Value Per Share............ $7.86 $9.85 $12.08 $14.35 $6.81
</TABLE>
See Notes to Financial Statements. 21
<PAGE>
RYDEX SERIES TRUST
STATEMENT OF ASSETS AND LIABILITIES (UNAUDITED) (CONCLUDED)
- --------------------------------------------------------------------------------
September 30, 1999
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
ENERGY BIO- PRECIOUS
SERVICES BANKING TECHNOLOGY ELECTRONICS METALS
FUND FUND FUND FUND FUND
----------- ------------- ----------- -------------- -------------
<S> <C> <C> <C> <C> <C>
ASSETS
Repurchase Agreements................ $ 300,000 $ -- $ 1,500,000 $ 1,100,000 $ 700,000
Investment Securities................ 24,177,807 7,305,632 53,620,966 50,391,704 53,216,737
----------- ------------- ----------- -------------- -------------
Securities at Value (Note 1) - See
Accompanying Schedules............. 24,477,807 7,305,632 55,120,966 51,491,704 53,916,737
Receivable for Securities Sold....... 505,868 22 59,388,134 48,537,250 5,480,715
Investment Income Receivable......... 35,606 -- 7,338 23,469 30,122
Cash in Custodian Bank............... 60,220 69,501 65,431 96,487 12,749
Receivable for Shares Purchased...... 2,867,212 5,894,219 768,748 2,617,767 1,420,323
----------- ------------- ----------- -------------- -------------
Total Assets....................... 27,946,713 13,269,374 115,350,617 102,766,677 60,860,646
----------- ------------- ----------- -------------- -------------
LIABILITIES
Payable for Securities Purchased..... -- 5,798,883 -- -- --
Liability for Shares Redeemed........ 3,343,711 658 60,541,003 50,873,657 6,228,696
Investment Advisory Fee Payable...... 25,245 2,943 126,108 95,896 19,800
Transfer Agent Fee Payable........... 7,425 866 37,091 28,205 5,280
Distribution and Service Fee
Payable............................ 2,355 1,306 30,529 27,860 --
Other Liabilities.................... 128,269 48,989 113,601 31,660 62,109
----------- ------------- ----------- -------------- -------------
Total Liabilities.................. 3,507,005 5,853,645 60,848,332 51,057,278 6,315,885
----------- ------------- ----------- -------------- -------------
NET ASSETS............................. $24,439,708 $ 7,415,729 $54,502,285 $ 51,709,399 $ 54,544,761
=========== ============= =========== ============== =============
INVESTOR CLASS:
Net Assets........................... $23,989,574 $ 4,898,654 $47,068,949 $ 49,442,622 $ 54,544,761
Shares Outstanding................... 3,557,357 656,614 2,967,670 2,626,620 10,208,157
Net Asset Value Per Share............ $6.74 $7.46 $15.86 $18.82 $5.34
ADVISOR CLASS:
Net Assets........................... $450,134 $2,517,075 $7,433,336 $2,266,777 N/A
Shares Outstanding................... 66,944 338,759 474,216 121,452
Net Asset Value Per Share............ $6.72 $7.43 $15.68 $18.66
</TABLE>
See Notes to Financial Statements. 22
<PAGE>
RYDEX SERIES TRUST
STATEMENT OF OPERATIONS (UNAUDITED)
- --------------------------------------------------------------------------------
Period Ended September 30, 1999
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
FINANCIAL HEALTH BASIC
ENERGY SERVICES CARE TECHNOLOGY MATERIALS
FUND FUND FUND FUND FUND
--------- ----------- ----------- ----------- ----------
<S> <C> <C> <C> <C> <C>
INVESTMENT INCOME
Interest............................. $ 2,420 $ 4,939 $ 4,714 $ 16,792 $ 3,179
Dividends, Net of Foreign Taxes
Withheld........................... 221,740 133,388 119,158 (31,860) 385,547
--------- ----------- ----------- ----------- ----------
Total Income....................... 224,160 138,327 123,872 (15,068) 388,726
--------- ----------- ----------- ----------- ----------
EXPENSES
Advisory Fees (Note 3)............... 70,038 77,471 110,790 298,461 83,637
Transfer Agent Fees (Note 3)......... 18,761 22,786 32,585 87,783 24,599
Audit and Outside Services........... 1,745 3,096 2,016 6,366 2,643
Accounting Fees (Note 3)............. 6,983 8,537 7,728 18,537 8,475
Legal................................ 612 1,100 749 2,224 685
Registration Fees.................... 3,572 5,393 10,116 13,224 6,179
Custodian Fees....................... 21,164 23,208 20,789 35,095 18,506
Distribution Fees--Advisor Class
(Note 3)........................... 2,234 1,526 12,782 24,187 3,880
Servicing Fees--Advisor Class (Note
3)................................. 2,234 1,526 12,782 24,187 3,880
Miscellaneous........................ 273 -- -- -- 8,298
--------- ----------- ----------- ----------- ----------
Total Expenses..................... 127,616 144,643 210,337 510,064 160,782
Custodian Fees Paid Indirectly
(Note 4)......................... 477 554 774 2,060 583
--------- ----------- ----------- ----------- ----------
Net Expenses....................... 127,139 144,089 209,563 508,004 160,199
--------- ----------- ----------- ----------- ----------
Net Investment Income (Loss)........... 97,021 (5,762) (85,691) (523,072) 228,527
--------- ----------- ----------- ----------- ----------
REALIZED AND UNREALIZED GAIN (LOSS) ON
INVESTMENTS
Net Realized Gain (Loss) on Investment
Securities........................... (84,895) (658,730) (7,413,378) (1,533,434) 2,000,070
Net Change in Unrealized Appreciation
(Depreciation) on Investments........ (50,917) (2,365,539) (1,388,814) 1,518,047 168,762
--------- ----------- ----------- ----------- ----------
Net Gain (Loss) on Investments....... (135,812) (3,024,269) (8,802,192) (15,387) 2,168,832
--------- ----------- ----------- ----------- ----------
NET INCREASE (DECREASE) IN NET ASSETS
FROM
OPERATIONS........................... $ (38,791) $(3,030,031) $(8,887,883) $ (538,459) $2,397,359
========= =========== =========== =========== ==========
</TABLE>
See Notes to Financial Statements.
23
<PAGE>
RYDEX SERIES TRUST
STATEMENT OF OPERATIONS (UNAUDITED) (CONTINUED)
- --------------------------------------------------------------------------------
Period Ended September 30, 1999
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
CONSUMER TELE-
PRODUCTS LEISURE RETAILING COMMUNICATIONS TRANSPORTATION
FUND FUND FUND FUND FUND
----------- ----------- ----------- -------------- --------------
<S> <C> <C> <C> <C> <C>
INVESTMENT INCOME
Interest............................. $ 3,329 $ 534 $ 2,835 $ 10,217 $ 760
Dividends, Net of Foreign Taxes
Withheld........................... 82,542 7,739 39,388 271,132 16,171
----------- ----------- ----------- ------------- -------------
Total Income....................... 85,871 8,273 42,223 281,349 16,931
----------- ----------- ----------- ------------- -------------
EXPENSES
Advisory Fees (Note 3)............... 52,465 17,098 54,019 198,409 25,024
Transfer Agent Fees (Note 3)......... 15,941 5,029 15,888 58,881 7,360
Audit and Outside Services........... 1,501 711 2,937 3,698 670
Accounting Fees (Note 3)............. 5,492 1,727 5,598 16,067 2,898
Legal................................ 564 246 1,153 1,308 195
Registration Fees.................... 1,981 1,265 4,601 8,014 1,514
Custodian Fees....................... 13,838 5,129 20,903 31,168 8,151
Distribution Fees--Advisor Class
(Note 3)........................... 12,061 264 1,050 18,610 234
Servicing Fees--Advisor Class (Note
3)................................. 12,061 264 1,050 18,610 234
Miscellaneous........................ 3,931 -- (28,985) 44,900 --
----------- ----------- ----------- ------------- -------------
Total Expenses..................... 119,835 31,733 78,214 399,665 46,280
Custodian Fees Paid Indirectly
(Note 4)......................... 366 117 379 1,383 175
----------- ----------- ----------- ------------- -------------
Net Expenses....................... 119,469 31,616 77,835 398,282 46,105
----------- ----------- ----------- ------------- -------------
Net Investment Loss.................... (33,598) (23,343) (35,612) (116,933) (29,174)
----------- ----------- ----------- ------------- -------------
REALIZED AND UNREALIZED GAIN (LOSS) ON
INVESTMENTS
Net Realized Gain (Loss) on Investment
Securities........................... (2,151,776) (409,012) 7,343,708 (136,448) (523,084)
Net Change in Unrealized Appreciation
(Depreciation) on Investments........ (904,348) (850,339) (8,420,753) 1,850,467 (217,995)
----------- ----------- ----------- ------------- -------------
Net Gain (Loss) on Investments....... (3,056,124) (1,259,351) (1,077,045) 1,714,019 (741,079)
----------- ----------- ----------- ------------- -------------
NET INCREASE (DECREASE) IN NET ASSETS
FROM OPERATIONS...................... $(3,089,722) $(1,282,694) $(1,112,657) $ 1,597,086 $ (770,253)
=========== =========== =========== ============= =============
</TABLE>
See Notes to Financial Statements.
24
<PAGE>
RYDEX SERIES TRUST
STATEMENT OF OPERATIONS (UNAUDITED) (CONCLUDED)
- --------------------------------------------------------------------------------
Period Ended September 30, 1999
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
ENERGY PRECIOUS
SERVICES BANKING BIOTECHNOLOGY ELECTRONICS METALS
FUND FUND FUND FUND FUND
----------- ----------- ------------- ----------- -----------
<S> <C> <C> <C> <C> <C>
INVESTMENT INCOME
Interest............................. $ 13,039 $ 1,379 $ 22,556 $ 21,440 $ 16,598
Dividends, Net of Foreign Taxes
Withheld........................... 172,594 74,303 9,634 45,610 100,106
Other Income......................... -- -- 143,981 -- --
----------- ----------- ------------ ----------- -----------
Total Income....................... 185,633 75,682 176,171 67,050 116,704
----------- ----------- ------------ ----------- -----------
EXPENSES
Advisory Fees (Note 3)............... 205,201 34,929 375,596 353,389 121,867
Transfer Agent Fees (Note 3)......... 60,353 10,274 110,469 103,938 32,498
Audit and Outside Services........... 6,506 1,457 4,224 3,912 3,395
Accounting Fees (Note 3)............. 16,243 3,817 18,058 17,771 12,743
Legal................................ 2,268 511 1,783 1,498 1,075
Registration Fees.................... 11,901 2,953 17,811 15,295 6,462
Custodian Fees....................... 32,227 10,445 56,411 34,763 13,353
Distribution Fees--Advisor Class
(Note 3)........................... 10,731 1,688 40,807 43,895 --
Servicing Fees--Advisor Class (Note
3)................................. 10,731 1,688 40,807 43,895 --
Miscellaneous........................ 39,522 -- 111,101 (53,997) 2,099
----------- ----------- ------------ ----------- -----------
Total Expenses..................... 395,683 67,762 777,067 564,359 193,492
Custodian Fees Paid Indirectly
(Note 4)......................... 1,438 242 2,624 2,472 963
----------- ----------- ------------ ----------- -----------
Net Expenses....................... 394,245 67,520 774,443 561,887 192,529
----------- ----------- ------------ ----------- -----------
Net Investment Income (Loss)........... (208,612) 8,162 (598,272) (494,837) (75,825)
----------- ----------- ------------ ----------- -----------
REALIZED AND UNREALIZED GAIN (LOSS) ON
INVESTMENTS
Net Realized Gain (Loss) on Investment
Securities........................... (553,109) (2,312,841) (5,903,666) 3,286,544 (5,780,789)
Net Change in Unrealized Appreciation
(Depreciation) on Investments........ (2,482,589) (223,997) 10,159,293 13,286,174 7,404,481
----------- ----------- ------------ ----------- -----------
Net Gain (Loss) on Investments....... (3,035,698) (2,536,838) 4,255,627 16,572,718 1,623,692
----------- ----------- ------------ ----------- -----------
NET INCREASE (DECREASE) IN NET ASSETS
FROM
OPERATIONS........................... $(3,244,310) $(2,528,676) $ 3,657,355 $16,077,881 $ 1,547,867
=========== =========== ============ =========== ===========
</TABLE>
See Notes to Financial Statements. 25
<PAGE>
RYDEX SERIES TRUST
STATEMENT OF CHANGES IN NET ASSETS
- --------------------------------------------------------------------------------
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
ENERGY FUND FINANCIAL SERVICES FUND
-------------------------------------- --------------------------------------
PERIOD ENDED PERIOD ENDED PERIOD ENDED PERIOD ENDED
SEPTEMBER 30, 1999 MARCH 31, 1999* SEPTEMBER 30, 1999 MARCH 31, 1999*
------------------- ---------------- ------------------- ----------------
<S> <C> <C> <C> <C>
UNAUDITED UNAUDITED
FROM OPERATIONS
Net Investment Income (Loss)......... $ 97,021 $ 13,918 $ (5,762) $ (42,388)
Net Realized Gain (Loss) on
Investments........................ (84,895) (2,729,989) (658,730) 4,615,491
Net Change in Unrealized Appreciation
on Investments..................... (50,917) 1,133,566 (2,365,539) 3,040,671
------------ ----------- ------------ -----------
Net Increase (Decrease) in Net Assets
from Operations.................... (38,791) (1,582,505) (3,030,031) 7,613,774
DISTRIBUTIONS TO SHAREHOLDERS.......... -- -- -- --
NET INCREASE IN NET ASSETS FROM SHARE
TRANSACTIONS (NOTE 7)................ (13,471,227) 19,633,632 (25,373,055) 35,938,090
------------ ----------- ------------ -----------
Net Increase (Decrease) in Net
Assets............................. (13,510,018) 18,051,127 (28,403,086) 43,551,864
NET ASSETS--BEGINNING OF PERIOD........ 18,051,127 -- 43,551,864 --
------------ ----------- ------------ -----------
NET ASSETS--END OF PERIOD.............. $ 4,541,109 $18,051,127 $ 15,148,778 $43,551,864
============ =========== ============ ===========
</TABLE>
* COMMENCEMENT OF OPERATIONS: APRIL 2, 1998--FINANCIAL SERVICES FUND INVESTOR
CLASS; APRIL 6, 1998--FINANCIAL SERVICES FUND ADVISOR CLASS; APRIL 21,
1998--ENERGY FUND INVESTOR CLASS; MAY 5, 1998--ENERGY FUND ADVISOR CLASS.
See Notes to Financial Statements. 26
<PAGE>
RYDEX SERIES TRUST
STATEMENT OF CHANGES IN NET ASSETS (CONTINUED)
- --------------------------------------------------------------------------------
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
HEALTH CARE FUND TECHNOLOGY FUND
-------------------------------------- --------------------------------------
PERIOD ENDED PERIOD ENDED PERIOD ENDED PERIOD ENDED
SEPTEMBER 30, 1999 MARCH 31, 1999* SEPTEMBER 30, 1999 MARCH 31, 1999*
------------------- ---------------- ------------------- ----------------
<S> <C> <C> <C> <C>
UNAUDITED UNAUDITED
FROM OPERATIONS
Net Investment Loss.................. $ (85,691) $ (186,061) $ (523,072) $ (544,718)
Net Realized Gain (Loss) on
Investments........................ (7,413,378) (343,071) (1,533,434) 5,051,570
Net Change in Unrealized Appreciation
(Depreciation) on Investments...... (1,388,814) 1,841,723 1,518,047 8,049,959
----------- ----------- ------------ -----------
Net Increase (Decrease) in Net Assets
from Operations...................... (8,887,883) 1,312,591 (538,459) 12,556,811
DISTRIBUTIONS TO SHAREHOLDERS.......... -- -- -- --
NET INCREASE IN NET ASSETS FROM SHARE
TRANSACTIONS (NOTE 7)................ 11,432,219 12,728,067 146,280,091 14,112,370
----------- ----------- ------------ -----------
Net Increase in Net Assets........... 2,544,336 14,040,658 145,741,632 26,669,181
NET ASSETS--BEGINNING OF PERIOD........ 14,040,658 -- 26,669,181 --
----------- ----------- ------------ -----------
NET ASSETS--END OF PERIOD.............. $16,584,994 $14,040,658 $172,410,813 $26,669,181
=========== =========== ============ ===========
</TABLE>
* COMMENCEMENT OF OPERATIONS: APRIL 14, 1998--TECHNOLOGY FUND INVESTOR CLASS;
APRIL 17, 1998--HEALTH CARE FUND INVESTOR CLASS; APRIL 29, 1998--TECHNOLOGY FUND
ADVISOR CLASS; MAY 11, 1998--HEALTH CARE FUND ADVISOR CLASS.
See Notes to Financial Statements. 27
<PAGE>
RYDEX SERIES TRUST
STATEMENT OF CHANGES IN NET ASSETS (CONTINUED)
- --------------------------------------------------------------------------------
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
BASIC MATERIALS FUND CONSUMER PRODUCTS FUND
-------------------------------------- --------------------------------------
PERIOD ENDED PERIOD ENDED PERIOD ENDED PERIOD ENDED
SEPTEMBER 30, 1999 MARCH 31, 1999* SEPTEMBER 30, 1999 MARCH 31, 1999*
------------------- ---------------- ------------------- ----------------
<S> <C> <C> <C> <C>
UNAUDITED UNAUDITED
FROM OPERATIONS
Net Investment Income (Loss)......... $ 228,527 $ 27,799 $ (33,598) $ (78,972)
Net Realized Gain (Loss) on
Investments........................ 2,000,070 (1,963,215) (2,151,776) 156,727
Net Change in Unrealized Appreciation
(Depreciation) on Investments...... 168,762 83,202 (904,348) 936,219
---------- ----------- ------------ -----------
Net Increase (Decrease) in Net Assets
from Operations.................... 2,397,359 (1,852,214) (3,089,722) 1,013,974
DISTRIBUTIONS TO SHAREHOLDERS
From Net Investment Income (Note 1)
Investor Class..................... -- -- -- --
Advisor Class...................... -- -- -- --
From Realized Gain on Investments
Investor Class..................... -- -- (44,500) --
Advisor Class...................... -- -- (738,697) --
NET INCREASE IN NET ASSETS FROM SHARE
TRANSACTIONS (NOTE 7)................ 2,746,894 4,719,390 (18,071,470) 21,218,359
---------- ----------- ------------ -----------
Net Increase in Net Assets........... 5,144,253 2,867,176 (21,944,389) 22,232,333
NET ASSETS--BEGINNING OF PERIOD........ 2,867,176 -- 22,232,333 --
---------- ----------- ------------ -----------
NET ASSETS--END OF PERIOD.............. $8,011,429 $ 2,867,176 $ 287,944 $22,232,333
========== =========== ============ ===========
</TABLE>
* COMMENCEMENT OF OPERATIONS: APRIL 1, 1998--BASIC MATERIALS FUND INVESTOR
CLASS; APRIL 14, 1998--BASIC MATERIALS FUND ADVISOR CLASS; JULY 6,
1998--CONSUMER PRODUCTS FUND INVESTOR CLASS; AUGUST 17, 1998--CONSUMER PRODUCTS
FUND ADVISOR CLASS.
See Notes to Financial Statements. 28
<PAGE>
RYDEX SERIES TRUST
STATEMENT OF CHANGES IN NET ASSETS (CONTINUED)
- --------------------------------------------------------------------------------
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
LEISURE FUND RETAILING FUND
-------------------------------------- --------------------------------------
PERIOD ENDED PERIOD ENDED PERIOD ENDED PERIOD ENDED
SEPTEMBER 30, 1999 MARCH 31, 1999* SEPTEMBER 30, 1999 MARCH 31, 1999*
------------------- ---------------- ------------------- ----------------
<S> <C> <C> <C> <C>
UNAUDITED UNAUDITED
FROM OPERATIONS
Net Investment Loss.................. $ (23,343) $ (41,961) $ (35,612) $ (349,024)
Net Realized Gain (Loss) on
Investments........................ (409,012) 268,558 7,343,708 (2,619,776)
Net Change in Unrealized Appreciation
(Depreciation) on Investments...... (850,339) 988,774 (8,420,753) 9,019,195
---------- ---------- ----------- -----------
Net Increase (Decrease) in Net Assets
from Operations.................... (1,282,694) 1,215,371 (1,112,657) 6,050,395
DISTRIBUTIONS TO SHAREHOLDERS.......... -- -- -- --
NET INCREASE IN NET ASSETS FROM SHARE
TRANSACTIONS (NOTE 7)................ (146,648) 3,588,668 13,472,393 39,506,025
---------- ---------- ----------- -----------
Net Increase in Net Assets........... (1,429,342) 4,804,039 12,359,736 45,556,420
NET ASSETS--BEGINNING OF PERIOD........ 4,804,039 -- 45,556,420 --
---------- ---------- ----------- -----------
NET ASSETS--END OF PERIOD.............. $3,374,697 $4,804,039 $57,916,156 $45,556,420
========== ========== =========== ===========
</TABLE>
* COMMENCEMENT OF OPERATIONS: APRIL 1, 1998--LEISURE FUND INVESTOR CLASS AND
RETAILING FUND INVESTOR CLASS; APRIL 21, 1998--RETAILING FUND ADVISOR CLASS;
JUNE 3, 1998--LEISURE FUND ADVISOR CLASS.
See Notes to Financial Statements. 29
<PAGE>
RYDEX SERIES TRUST
STATEMENT OF CHANGES IN NET ASSETS (CONTINUED)
- --------------------------------------------------------------------------------
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
TELECOMMUNICATIONS FUND TRANSPORTATION FUND
-------------------------------------- --------------------------------------
PERIOD ENDED PERIOD ENDED PERIOD ENDED PERIOD ENDED
SEPTEMBER 30, 1999 MARCH 31, 1999* SEPTEMBER 30, 1999 MARCH 31, 1999*
------------------- ---------------- ------------------- ----------------
<S> <C> <C> <C> <C>
UNAUDITED UNAUDITED
FROM OPERATIONS
Net Investment Loss.................. $ (116,933) $ (47,160) $ (29,174) $ (18,703)
Net Realized Loss on Investments..... (136,448) (526,000) (523,084) (2,169,675)
Net Change in Unrealized Appreciation
(Depreciation) on Investments...... 1,850,467 2,804,511 (217,995) 263,049
----------- ----------- ---------- -----------
Net Increase (Decrease) in Net Assets
from Operations.................... 1,597,086 2,231,351 (770,253) (1,925,329)
DISTRIBUTIONS TO SHAREHOLDERS.......... -- -- -- --
NET INCREASE IN NET ASSETS FROM SHARE
TRANSACTIONS (NOTE 7)................ 66,371,469 11,997,390 3,456,283 4,944,233
----------- ----------- ---------- -----------
Net Increase in Net Assets........... 67,968,555 14,228,741 2,686,030 3,018,904
NET ASSETS--BEGINNING OF PERIOD........ 14,228,741 -- 3,018,904 --
----------- ----------- ---------- -----------
NET ASSETS--END OF PERIOD.............. $82,197,296 $14,228,741 $5,704,934 $ 3,018,904
=========== =========== ========== ===========
</TABLE>
* COMMENCEMENT OF OPERATIONS: APRIL 1, 1998--TELECOMMUNICATIONS FUND INVESTOR
AND ADVISOR CLASS; APRIL 2, 1998-- TRANSPORTATION FUND INVESTOR CLASS; JUNE 9,
1998--TRANSPORTATION FUND ADVISOR CLASS.
See Notes to Financial Statements. 30
<PAGE>
RYDEX SERIES TRUST
STATEMENT OF CHANGES IN NET ASSETS (CONTINUED)
- --------------------------------------------------------------------------------
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
ENERGY SERVICES FUND BANKING FUND
-------------------------------------- --------------------------------------
PERIOD ENDED PERIOD ENDED PERIOD ENDED PERIOD ENDED
SEPTEMBER 30, 1999 MARCH 31, 1999* SEPTEMBER 30, 1999 MARCH 31, 1999*
------------------- ---------------- ------------------- ----------------
<S> <C> <C> <C> <C>
UNAUDITED UNAUDITED
FROM OPERATIONS
Net Investment Income (Loss)......... $ (208,612) $ (209,569) $ 8,162 $ 18,923
Net Realized Gain (Loss) on
Investments........................ (553,109) (22,977,833) (2,312,841) 161,995
Net Change in Unrealized Appreciation
(Depreciation) on Investments...... (2,482,589) 9,755,798 (223,997) 302,735
------------ ------------ ----------- ----------
Net Increase (Decrease) in Net Assets
from Operations.................... (3,244,310) (13,431,604) (2,528,676) 483,653
DISTRIBUTIONS TO SHAREHOLDERS.......... -- -- -- --
NET INCREASE (DECREASE) IN NET ASSETS
FROM SHARE TRANSACTIONS (NOTE 7)..... (68,774,621) 109,890,243 2,114,537 7,346,215
------------ ------------ ----------- ----------
Net Increase (Decrease) in Net
Assets............................. (72,018,931) 96,458,639 (414,139) 7,829,868
NET ASSETS--BEGINNING OF PERIOD........ 96,458,639 -- 7,829,868 --
------------ ------------ ----------- ----------
NET ASSETS--END OF PERIOD.............. $ 24,439,708 $ 96,458,639 $ 7,415,729 $7,829,868
============ ============ =========== ==========
</TABLE>
* COMMENCEMENT OF OPERATIONS: APRIL 1, 1998--BANKING FUND INVESTOR AND ADVISOR
CLASS AND ENERGY SERVICES FUND INVESTOR CLASS; APRIL 2, 1998--ENERGY SERVICES
FUND ADVISOR CLASS.
See Notes to Financial Statements. 31
<PAGE>
RYDEX SERIES TRUST
STATEMENT OF CHANGES IN NET ASSETS (CONTINUED)
- --------------------------------------------------------------------------------
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
BIOTECHNOLOGY FUND ELECTRONICS FUND
-------------------------------------- --------------------------------------
PERIOD ENDED PERIOD ENDED PERIOD ENDED PERIOD ENDED
SEPTEMBER 30, 1999 MARCH 31, 1999* SEPTEMBER 30, 1999 MARCH 31, 1999*
------------------- ---------------- ------------------- ----------------
<S> <C> <C> <C> <C>
UNAUDITED UNAUDITED
FROM OPERATIONS
Net Investment Loss.................. $ (598,272) $ (53,019) $ (494,837) $ (481,527)
Net Realized Gain (Loss) on
Investments........................ (5,903,666) (10,986,292) 3,286,544 11,895,141
Net Change in Unrealized Appreciation
on Investments..................... 10,159,293 6,216,951 13,286,174 5,654,507
----------- ------------ ----------- -----------
Net Increase (Decrease) in Net Assets
from Operations.................... 3,657,355 (4,822,360) 16,077,881 17,068,121
DISTRIBUTIONS TO SHAREHOLDERS.......... -- -- -- --
NET INCREASE (DECREASE) IN NET ASSETS
FROM SHARE TRANSACTIONS (NOTE 7)..... 10,801,969 44,865,321 18,793,965 (230,568)
----------- ------------ ----------- -----------
Net Increase in Net Assets........... 14,459,324 40,042,961 34,871,846 16,837,553
NET ASSETS--BEGINNING OF PERIOD........ 40,042,961 -- 16,837,553 --
----------- ------------ ----------- -----------
NET ASSETS--END OF PERIOD.............. $54,502,285 $ 40,042,961 $51,709,399 $16,837,553
=========== ============ =========== ===========
</TABLE>
* COMMENCEMENT OF OPERATIONS: APRIL 1, 1998--BIOTECHNOLOGY FUND INVESTOR AND
ADVISOR CLASS AND ELECTRONICS FUND INVESTOR CLASS; APRIL 2, 1998--ELECTRONICS
FUND ADVISOR CLASS.
See Notes to Financial Statements. 32
<PAGE>
RYDEX SERIES TRUST
STATEMENT OF CHANGES IN NET ASSETS (CONCLUDED)
- --------------------------------------------------------------------------------
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
PRECIOUS METALS FUND
-------------------------------------
PERIOD ENDED YEAR ENDED
SEPTEMBER 30, 1999 MARCH 31, 1999
------------------- ---------------
<S> <C> <C>
UNAUDITED
FROM OPERATIONS
Net Investment Loss.................. $ (75,825) $ (202,340)
Net Realized Loss on Investments..... (5,780,789) (12,122,162)
Net Change in Unrealized Appreciation
(Depreciation) on Investments...... 7,404,481 (2,802,502)
----------- ------------
Net Increase (Decrease) in Net Assets
from Operations.................... 1,547,867 (15,127,004)
DISTRIBUTIONS TO SHAREHOLDERS.......... -- --
NET INCREASE IN NET ASSETS FROM SHARE
TRANSACTIONS (NOTE 7)................ 26,173,623 7,412,063
----------- ------------
Net Increase (Decrease) in Net
Assets............................. 27,721,490 (7,714,941)
NET ASSETS--BEGINNING OF PERIOD........ 26,823,271 34,538,212
----------- ------------
NET ASSETS--END OF PERIOD.............. $54,544,761 $ 26,823,271
=========== ============
</TABLE>
See Notes to Financial Statements. 33
<PAGE>
RYDEX SERIES TRUST
FINANCIAL HIGHLIGHTS
- --------------------------------------------------------------------------------
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
INVESTOR CLASS
---------------------------------------------------------
ENERGY FUND FINANCIAL SERVICES FUND
---------------------------- --------------------------
PERIOD PERIOD PERIOD PERIOD
ENDED ENDED ENDED ENDED
SEPTEMBER 30, MARCH 31, SEPTEMBER 30, MARCH 31,
1999 1999* 1999 1999*
------------- ------------ ------------- ----------
<S> <C> <C> <C> <C>
UNAUDITED UNAUDITED
PER SHARE OPERATING PERFORMANCE:+
NET ASSET VALUE--BEGINNING OF PERIOD... $8.99 $10.00 $9.99 $10.00
---------- --------- ----------- -------
Net Investment Income (Loss)......... .05 .05 (.01) (.01)
Net Realized and Unrealized Gains
(Losses) on Securities............. .93 (1.06) (1.36) 0.00
---------- --------- ----------- -------
Net Increase (Decrease) in Net Asset
Value Resulting from Operations.... .98 (1.01) (1.37) (.01)
Distributions to Shareholders........ -- -- -- --
---------- --------- ----------- -------
Net Increase (Decrease) in Net Asset
Value.............................. .98 (1.01) (1.37) (.01)
---------- --------- ----------- -------
NET ASSET VALUE--END OF PERIOD......... $9.97 $ 8.99 $8.62 $ 9.99
========== ========= =========== =======
TOTAL INVESTMENT RETURN................ 10.90% (10.10)% (13.71)% (0.10)%
RATIOS TO AVERAGE NET ASSETS:
Gross Expenses**..................... 1.53% 1.62% 1.54% 1.58%
Net Expenses**....................... 1.53% 1.62% 1.53% 1.57%
Net Investment Income (Loss)**....... 1.05% 0.69% (0.15)% (0.07)%
SUPPLEMENTARY DATA:
Portfolio Turnover Rate.............. 1,325% 6,070% 2,511% 7,269%
Net Assets, End of Period (000's
omitted)........................... $4,338 $17,442 $12,469 $22,165
</TABLE>
+ CALCULATED USING THE AVERAGE DAILY SHARES OUTSTANDING FOR THE PERIOD.
* SINCE THE COMMENCEMENT OF OPERATIONS: APRIL 21, 1998--ENERGY FUND; APRIL
2, 1998-- FINANCIAL SERVICES FUND.
** ANNUALIZED
See Notes to Financial Statements. 34
<PAGE>
RYDEX SERIES TRUST
FINANCIAL HIGHLIGHTS (CONTINUED)
- --------------------------------------------------------------------------------
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
INVESTOR CLASS
--------------------------------------------------------
HEALTH CARE FUND TECHNOLOGY FUND
-------------------------- ---------------------------
PERIOD PERIOD PERIOD PERIOD
ENDED ENDED ENDED ENDED
SEPTEMBER 30, MARCH 31, SEPTEMBER 30, MARCH 31,
1999 1999* 1999 1999*
------------- ---------- -------------- ----------
<S> <C> <C> <C> <C>
UNAUDITED UNAUDITED
PER SHARE OPERATING PERFORMANCE:+
NET ASSET VALUE--BEGINNING OF PERIOD... $11.45 $10.00 $17.02 $10.00
----------- ------- -------- -------
Net Investment Loss.................. (.01) (.02) (.12) (.16)
Net Realized and Unrealized Gains
(Losses) on Securities............. (1.88) 1.47 3.00 7.18
----------- ------- -------- -------
Net Increase (Decrease) in Net Asset
Value Resulting from Operations.... (1.89) 1.45 2.88 7.02
Distributions to Shareholders........ -- -- -- --
----------- ------- -------- -------
Net Increase (Decrease) in Net Asset
Value.............................. (1.89) 1.45 2.88 7.02
----------- ------- -------- -------
NET ASSET VALUE--END OF PERIOD......... $ 9.56 $11.45 $19.90 $17.02
=========== ======= ======== =======
TOTAL INVESTMENT RETURN................ (16.51)% 14.50% 16.92% 70.20%
RATIOS TO AVERAGE NET ASSETS:
Gross Expenses**..................... 1.31% 1.44% 1.33% 1.39%
Net Expenses**....................... 1.30% 1.43% 1.32% 1.39%
Net Investment Loss**................ (0.13)% (0.21)% (1.45)% (1.23)%
SUPPLEMENTARY DATA:
Portfolio Turnover Rate.............. 3,689% 4,465% 2,990% 4,598%
Net Assets, End of Period (000's
omitted)........................... $14,638 $14,016 $113,311 $24,400
</TABLE>
+ CALCULATED USING THE AVERAGE DAILY SHARES OUTSTANDING FOR THE PERIOD.
* SINCE THE COMMENCEMENT OF OPERATIONS: APRIL 17, 1998--HEALTH CARE FUND;
APRIL 14, 1998--TECHNOLOGY FUND.
** ANNUALIZED
See Notes to Financial Statements. 35
<PAGE>
RYDEX SERIES TRUST
FINANCIAL HIGHLIGHTS (CONTINUED)
- --------------------------------------------------------------------------------
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
INVESTOR CLASS
--------------------------------------------------------
BASIC MATERIALS FUND CONSUMER PRODUCTS FUND
---------------------------- -------------------------
PERIOD PERIOD PERIOD PERIOD
ENDED ENDED ENDED ENDED
SEPTEMBER 30, MARCH 31, SEPTEMBER 30, MARCH 31,
1999 1999* 1999 1999*
------------- ------------ ------------- ---------
<S> <C> <C> <C> <C>
UNAUDITED UNAUDITED
PER SHARE OPERATING PERFORMANCE:+
NET ASSET VALUE--BEGINNING OF PERIOD... $7.75 $10.00 $9.71 $10.00
---------- --------- ----------- --------
Net Investment Income................ .13 -- .04 --
Net Realized and Unrealized Gains
(Losses) on Securities............. .54 (2.25) (1.70) (.29)
---------- --------- ----------- --------
Net Increase (Decrease) in Net Asset
Value Resulting from Operations.... .67 (2.25) (1.66) (.29)
Distributions to Shareholders from
Net Realized Capital Gains......... -- -- (0.15) --
---------- --------- ----------- --------
Net Increase (Decrease) in Net Asset
Value.............................. .67 (2.25) (1.81) (.29)
---------- --------- ----------- --------
NET ASSET VALUE--END OF PERIOD......... $8.42 $ 7.75 $7.90 $ 9.71
========== ========= =========== ========
TOTAL INVESTMENT RETURN................ 8.65% (22.50)% (15.57)% (2.90)%
RATIOS TO AVERAGE NET ASSETS:
Gross Expenses**..................... 1.55% 1.62% 1.62% 1.55%
Net Expenses**....................... 1.55% 1.61% 1.62% 1.54%
Net Investment Income (Loss)**....... 2.77% (0.02)% 0.98% (0.03)%
SUPPLEMENTARY DATA:
Portfolio Turnover Rate.............. 1,487% 5,704% 2,542% 1,255%
Net Assets, End of Period (000's
omitted)........................... $7,979 $2,179 $257 $1,280
</TABLE>
+ CALCULATED USING THE AVERAGE DAILY SHARES OUTSTANDING FOR THE PERIOD.
* SINCE THE COMMENCEMENT OF OPERATIONS: APRIL 1, 1998--BASIC MATERIALS
FUND; JULY 6, 1998--CONSUMER PRODUCTS FUND.
** ANNUALIZED
See Notes to Financial Statements. 36
<PAGE>
RYDEX SERIES TRUST
FINANCIAL HIGHLIGHTS (CONTINUED)
- --------------------------------------------------------------------------------
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
INVESTOR CLASS
--------------------------------------------------------
LEISURE FUND RETAILING FUND
--------------------------- --------------------------
PERIOD PERIOD PERIOD PERIOD
ENDED ENDED ENDED ENDED
SEPTEMBER 30, MARCH 31, SEPTEMBER 30, MARCH 31,
1999 1999* 1999 1999*
------------- ----------- ------------- ----------
<S> <C> <C> <C> <C>
UNAUDITED UNAUDITED
PER SHARE OPERATING PERFORMANCE:+
NET ASSET VALUE--BEGINNING OF PERIOD... $11.21 $10.00 $13.54 $10.00
----------- --------- ----------- --------
Net Investment Loss.................. (.06) (.08) (.03) (.10)
Net Realized and Unrealized Gains
(Losses) on Securities ............ (1.19) 1.29 (1.40) 3.64
----------- --------- ----------- --------
Net Increase (Decrease) in Net Asset
Value Resulting from Operations.... (1.25) 1.21 (1.43) 3.54
Distributions to Shareholders........ -- -- -- --
----------- --------- ----------- --------
Net Increase (Decrease) in Net Asset
Value.............................. (1.25) 1.21 (1.43) 3.54
----------- --------- ----------- --------
NET ASSET VALUE--END OF PERIOD......... $ 9.96 $11.21 $12.11 $13.54
=========== ========= =========== ========
TOTAL INVESTMENT RETURN................ (11.15)% 12.10% (10.56)% 35.40%
RATIOS TO AVERAGE NET ASSETS:
Gross Expenses**..................... 1.58% 1.59% 1.17% 1.42%
Net Expenses**....................... 1.57% 1.59% 1.17% 1.42%
Net Investment Loss**................ (1.19)% (0.76)% (0.51)% (0.81)%
SUPPLEMENTARY DATA:
Portfolio Turnover Rate.............. 5,035% 5,581% 2,549% 3,243%
Net Assets, End of Period (000's
omitted)........................... $1,321 $4,796 $6,415 $45,219
</TABLE>
+ CALCULATED USING THE AVERAGE DAILY SHARES OUTSTANDING FOR THE PERIOD.
* SINCE THE COMMENCEMENT OF OPERATIONS: APRIL 1, 1998--LEISURE FUND AND
RETAILING FUND.
** ANNUALIZED
See Notes to Financial Statements. 37
<PAGE>
RYDEX SERIES TRUST
FINANCIAL HIGHLIGHTS (CONTINUED)
- --------------------------------------------------------------------------------
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
INVESTOR CLASS
-----------------------------------------------------------
TELECOMMUNICATIONS FUND TRANSPORTATION FUND
---------------------------- ----------------------------
PERIOD PERIOD PERIOD PERIOD
ENDED ENDED ENDED ENDED
SEPTEMBER 30, MARCH 31, SEPTEMBER 30, MARCH 31,
1999 1999* 1999 1999*
-------------- ----------- -------------- -----------
<S> <C> <C> <C> <C>
UNAUDITED UNAUDITED
PER SHARE OPERATING PERFORMANCE:+
NET ASSET VALUE--BEGINNING OF PERIOD... $13.03 $10.00 $7.99 $10.00
-------- -------- -------- --------
Net Investment Loss.................. (.03) (.04) (.04) (.03)
Net Realized and Unrealized Gains
(Losses) on Securities ............ 1.51 3.07 (1.07) (1.98)
-------- -------- -------- --------
Net Increase (Decrease) in Net Asset
Value Resulting from Operations.... 1.48 3.03 (1.11) (2.01)
Distributions to Shareholders........ -- -- -- --
-------- -------- -------- --------
Net Increase (Decrease) in Net Asset
Value.............................. 1.48 3.03 (1.11) (2.01)
-------- -------- -------- --------
NET ASSET VALUE--END OF PERIOD......... $14.51 $13.03 $6.88 $7.99
======== ======== ======== ========
TOTAL INVESTMENT RETURN................ 11.36% 30.30% (13.89)% (20.10)%
RATIOS TO AVERAGE NET ASSETS:
Gross Expenses**..................... 1.55% 1.56% 1.55% 1.58%
Net Expenses**....................... 1.54% 1.55% 1.54% 1.58%
Net Investment Loss**................ (0.40)% (0.34)% (0.96)% (0.36)%
SUPPLEMENTARY DATA:
Portfolio Turnover Rate.............. 904% 2,788% 2,357% 7,583%
Net Assets, End of Period (000's
omitted)........................... $29,314 $12,300 $5,696 $3,014
</TABLE>
+ CALCULATED USING THE AVERAGE DAILY SHARES OUTSTANDING FOR THE PERIOD.
* SINCE THE COMMENCEMENT OF OPERATIONS: APRIL 1, 1998--TELECOMMUNICATIONS
FUND; APRIL 2, 1998--TRANSPORTATION FUND.
** ANNUALIZED
See Notes to Financial Statements. 38
<PAGE>
RYDEX SERIES TRUST
FINANCIAL HIGHLIGHTS (CONTINUED)
- --------------------------------------------------------------------------------
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
INVESTOR CLASS
-----------------------------------------------------------
ENERGY SERVICES FUND BANKING FUND
---------------------------- ----------------------------
PERIOD PERIOD PERIOD PERIOD
ENDED ENDED ENDED ENDED
SEPTEMBER 30, MARCH 31, SEPTEMBER 30, MARCH 31,
1999 1999* 1999 1999*
-------------- ----------- -------------- -----------
<S> <C> <C> <C> <C>
UNAUDITED UNAUDITED
PER SHARE OPERATING PERFORMANCE:+
NET ASSET VALUE--BEGINNING OF PERIOD... $ 6.02 $10.00 $8.77 $10.00
-------- -------- ------- --------
Net Investment Income (Loss)......... (.03) (.07) -- .01
Net Realized and Unrealized Gains
(Losses) on Securities ............ .75 (3.91) (1.31) (1.24)
-------- -------- ------- --------
Net Increase (Decrease) in Net Asset
Value Resulting from Operations.... .72 (3.98) (1.31) (1.23)
Distributions to Shareholders........ -- -- -- --
-------- -------- ------- --------
Net Increase (Decrease) in Net Asset
Value.............................. .72 (3.98) (1.31) (1.23)
-------- -------- ------- --------
NET ASSET VALUE--END OF PERIOD......... $6.74 $6.02 $7.46 $8.77
======== ======== ======= ========
TOTAL INVESTMENT RETURN................ 11.96% (39.80)% (14.94)% (12.30)%
RATIOS TO AVERAGE NET ASSETS:
Gross Expenses**..................... 1.54% 1.58% 1.57% 1.58%
Net Expenses**....................... 1.53% 1.57% 1.56% 1.57%
Net Investment Income (Loss)**....... (0.74)% (1.14)% 0.00% 0.13%
SUPPLEMENTARY DATA:
Portfolio Turnover Rate.............. 756% 3,170% 3,862% 11,211%
Net Assets, End of Period (000's
omitted)........................... $23,990 $74,135 $4,899 $7,827
</TABLE>
+ CALCULATED USING THE AVERAGE DAILY SHARES OUTSTANDING FOR THE PERIOD.
* SINCE THE COMMENCEMENT OF OPERATIONS: APRIL 1, 1998--ENERGY SERVICES
FUND AND BANKING FUND.
** ANNUALIZED
See Notes to Financial Statements. 39
<PAGE>
RYDEX SERIES TRUST
FINANCIAL HIGHLIGHTS (CONTINUED)
- --------------------------------------------------------------------------------
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
INVESTOR CLASS
---------------------------------------------------------
BIOTECHNOLOGY FUND ELECTRONICS FUND
--------------------------- ---------------------------
PERIOD PERIOD PERIOD PERIOD
ENDED ENDED ENDED ENDED
SEPTEMBER 30, MARCH 31, SEPTEMBER 30, MARCH 31,
1999 1999* 1999 1999*
------------- ----------- -------------- ----------
<S> <C> <C> <C> <C>
UNAUDITED UNAUDITED
PER SHARE OPERATING PERFORMANCE:+
NET ASSET VALUE--BEGINNING OF PERIOD... $12.81 $10.00 $14.02 $10.00
----------- --------- ------- -------
Net Investment Loss.................. (.09) (.16) (.08) (.15)
Net Realized and Unrealized Gains on
Securities......................... 3.14 2.97 4.88 4.17
----------- --------- ------- -------
Net Increase in Net Asset Value
Resulting from Operations ......... 3.05 2.81 4.80 4.02
Distributions to Shareholders........ -- -- -- --
----------- --------- ------- -------
Net Increase (Decrease) in Net Asset
Value.............................. 3.05 2.81 4.80 4.02
----------- --------- ------- -------
NET ASSET VALUE--END OF PERIOD......... $15.86 $12.81 $18.82 $14.02
=========== ========= ======= =======
TOTAL INVESTMENT RETURN................ 23.81% 28.10% 34.24% 40.20%
RATIOS TO AVERAGE NET ASSETS:
Gross Expenses**..................... 1.58% 1.56% 1.13% 1.57%
Net Expenses**....................... 1.57% 1.55% 1.12% 1.56%
Net Investment Loss**................ (1.15)% (1.52)% (0.95)% (1.23)%
SUPPLEMENTARY DATA:
Portfolio Turnover Rate.............. 1,079% 2,670% 937% 3,011%
Net Assets, End of Period (000's
omitted)........................... $47,069 $38,205 $49,443 $12,814
</TABLE>
+ CALCULATED USING THE AVERAGE DAILY SHARES OUTSTANDING FOR THE PERIOD.
* SINCE THE COMMENCEMENT OF OPERATIONS: APRIL 1, 1998--BIOTECHNOLOGY FUND
AND ELECTRONICS FUND.
** ANNUALIZED
See Notes to Financial Statements. 40
<PAGE>
RYDEX SERIES TRUST
FINANCIAL HIGHLIGHTS (CONTINUED)
- --------------------------------------------------------------------------------
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
INVESTOR CLASS
---------------------------------------------------------------------------------
PRECIOUS METALS FUND
---------------------------------------------------------------------------------
PERIOD YEAR YEAR PERIOD YEAR YEAR
ENDED ENDED ENDED ENDED ENDED ENDED
SEPTEMBER 30, MARCH 31, MARCH 31, MARCH 31, JUNE 30, JUNE 30,
1999 1999 1998 1997 1996 1995
------------- ----------- ----------- ----------- ---------- ----------
<S> <C> <C> <C> <C> <C> <C>
UNAUDITED
PER SHARE OPERATING PERFORMANCE:+
NET ASSET VALUE--BEGINNING OF PERIOD... $4.19 $5.82 $7.64 $9.05 $8.73 $8.29
----------- --------- --------- --------- -------- --------
Net Investment Income................ (.01) (.03) -- -- -- .10
Net Realized and Unrealized Gains
(Losses) on Securities............. 1.16 (1.60) (1.82) (1.41) .32 .43
----------- --------- --------- --------- -------- --------
Net Increase (Decrease) in Net Asset
Value Resulting from Operations.... 1.15 (1.63) (1.82) (1.41) .32 .53
Distributions to Shareholders from
Net Investment Income.............. -- -- -- -- -- (.09)
----------- --------- --------- --------- -------- --------
Net Increase (Decrease) in Net Asset
Value.............................. 1.15 (1.63) (1.82) (1.41) .32 .44
----------- --------- --------- --------- -------- --------
NET ASSET VALUE--END OF PERIOD......... $5.34 $4.19 $5.82 $7.64 $9.05 $8.73
=========== ========= ========= ========= ======== ========
TOTAL INVESTMENT RETURN................ 27.45% (28.01)% (23.82)% (20.77)%* 3.67% 6.21%
RATIOS TO AVERAGE NET ASSETS
Gross Expenses....................... 1.19%* 1.37% 1.42% 1.49%*
Net Expenses......................... 1.18%* 1.36% 1.41% 1.45%* 1.33% 1.38%
Net Investment Income................ (0.47)%* (0.69)% 0.05% 0.00%* (0.01)% 1.15%
SUPPLEMENTARY DATA:
Portfolio Turnover Rate**............ 512% 1,191% 752% 743% 1,036% 1,765%
Net Assets, End of Year
(000's omitted).................... $54,545 $26,823 $34,538 $23,680 $36,574 $40,861
</TABLE>
+ CALCULATED USING THE AVERAGE DAILY SHARES OUTSTANDING FOR THE YEAR.
* ANNUALIZED
** PORTFOLIO TURNOVER RATIO IS CALCULATED WITHOUT REGARD TO SHORT-TERM
SECURITIES HAVING A MATURITY OF LESS THAN ONE YEAR.
See Notes to Financial Statements. 41
<PAGE>
RYDEX SERIES TRUST
FINANCIAL HIGHLIGHTS (CONTINUED)
- --------------------------------------------------------------------------------
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
ADVISOR CLASS
---------------------------------------------------------
ENERGY FUND FINANCIAL SERVICES FUND
--------------------------- ---------------------------
PERIOD PERIOD PERIOD PERIOD
ENDED ENDED ENDED ENDED
SEPTEMBER 30, MARCH 31, SEPTEMBER 30, MARCH 31,
1999 1999* 1999 1999*
------------- ----------- ------------- -----------
<S> <C> <C> <C> <C>
UNAUDITED UNAUDITED
PER SHARE OPERATING PERFORMANCE:+
NET ASSET VALUE--BEGINNING OF PERIOD... $9.01 $10.07 $9.95 $10.47
----------- --------- ----------- ---------
Net Investment Income (Loss)......... .13 (.14) .05 (.05)
Net Realized and Unrealized Gains
(Losses) on Securities............. .81 (.92) (1.41) (.47)
----------- --------- ----------- ---------
Net Increase (Decrease) in Net Asset
Value Resulting from Operations.... .94 (1.06) (1.36) (.52)
Distributions to Shareholders........ -- -- -- --
----------- --------- ----------- ---------
Net Increase (Decrease) in Net Asset
Value.............................. .94 (1.06) (1.36) (.52)
----------- --------- ----------- ---------
NET ASSET VALUE--END OF PERIOD......... $9.95 $9.01 $8.59 $9.95
=========== ========= =========== =========
TOTAL INVESTMENT RETURN................ 10.43% (10.53)% (13.67)% (4.97)%
RATIOS TO AVERAGE NET ASSETS:
Gross Expenses**..................... 1.98% 1.99% 1.63% 2.13%
Net Expenses**....................... 1.98% 1.98% 1.63% 2.12%
Net Investment Income (Loss)**....... 2.46% (1.75)% 0.91% (0.60)%
SUPPLEMENTARY DATA:
Portfolio Turnover Rate.............. 1,325% 6,070% 2,511% 7,269%
Net Assets, End of Period (000's
omitted)........................... $203 $609 $2,679 $21,387
</TABLE>
+ CALCULATED USING THE AVERAGE DAILY SHARES OUTSTANDING FOR THE PERIOD.
* SINCE THE COMMENCEMENT OF OPERATIONS: MAY 5, 1998--ENERGY FUND; APRIL 6,
1998--FINANCIAL SERVICES FUND.
** ANNUALIZED
See Notes to Financial Statements. 42
<PAGE>
RYDEX SERIES TRUST
FINANCIAL HIGHLIGHTS (CONTINUED)
- --------------------------------------------------------------------------------
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
ADVISOR CLASS
------------------------------------------------------------------
HEALTH CARE FUND TECHNOLOGY FUND
------------------------------- --------------------------------
PERIOD PERIOD PERIOD PERIOD
ENDED ENDED ENDED ENDED
SEPTEMBER 30, MARCH 31, SEPTEMBER 30, MARCH 31,
1999 1999* 1999 1999*
---------------- ------------ ----------------- ------------
<S> <C> <C> <C> <C>
UNAUDITED UNAUDITED
PER SHARE OPERATING PERFORMANCE:+
NET ASSET VALUE--BEGINNING OF PERIOD... $11.37 $9.93 $16.90 $10.84
------------ ---------- ------- ----------
Net Investment Loss.................. (.07) (.18) (.15) (.20)
Net Realized and Unrealized Gains
(Losses) on Securities. ........... (1.83) 1.62 2.97 6.26
------------ ---------- ------- ----------
Net Increase (Decrease) in Net Asset
Value Resulting from Operations.... (1.90) 1.44 2.82 6.06
Distributions to Shareholders........ -- -- -- --
------------ ---------- ------- ----------
Net Increase (Decrease) in Net Asset
Value.............................. (1.90) 1.44 2.82 6.06
------------ ---------- ------- ----------
NET ASSET VALUE--END OF PERIOD......... $ 9.47 $11.37 $19.72 $16.90
============ ========== ======= ==========
TOTAL INVESTMENT RETURN................ (16.71)% 14.50% 16.69% 55.90%
RATIOS TO AVERAGE NET ASSETS:
Gross Expenses**..................... 2.08% 2.24% 1.83% 2.18%
Net Expenses**....................... 2.07% 2.23% 1.82% 2.17%
Net Investment Loss**................ (1.47)% (1.96)% (1.64)% (1.78)%
SUPPLEMENTARY DATA:
Portfolio Turnover Rate.............. 3,689% 4,465% 2,990% 4,598%
Net Assets, End of Period (000's
omitted)........................... $1,947 $24 $59,100 $2,269
</TABLE>
+ CALCULATED USING THE AVERAGE DAILY SHARES OUTSTANDING FOR THE PERIOD.
* SINCE THE COMMENCEMENT OF OPERATIONS: MAY 11, 1998--HEALTH CARE FUND;
APRIL 29, 1998--TECHNOLOGY FUND.
** ANNUALIZED
See Notes to Financial Statements. 43
<PAGE>
RYDEX SERIES TRUST
FINANCIAL HIGHLIGHTS (CONTINUED)
- --------------------------------------------------------------------------------
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
ADVISOR CLASS
-----------------------------------------------------------------
BASIC MATERIALS FUND CONSUMER PRODUCTS FUND
------------------------------- -------------------------------
PERIOD PERIOD PERIOD PERIOD
ENDED ENDED ENDED ENDED
SEPTEMBER 30, MARCH 31, SEPTEMBER 30, MARCH 31,
1999 1999* 1999 1999*
---------------- ------------ ---------------- ------------
<S> <C> <C> <C> <C>
UNAUDITED UNAUDITED
PER SHARE OPERATING PERFORMANCE:+
NET ASSET VALUE--BEGINNING OF PERIOD... $7.72 $10.56 $9.70 $8.73
------------ ---------- ------------ ----------
Net Investment Income (Loss)......... -- .13 (.04) (.08)
Net Realized and Unrealized Gains
(Losses) on Securities. ........... .64 (2.97) (1.13) 1.05
------------ ---------- ------------ ----------
Net Increase (Decrease) in Net Asset
Value Resulting from Operations.... .64 (2.84) (1.17) .97
Distributions to Shareholders from
Net Realized Capital Gains......... -- -- (0.67) --
------------ ---------- ------------ ----------
Net Increase (Decrease) in Net Asset
Value.............................. .64 (2.84) (1.84) .97
------------ ---------- ------------ ----------
NET ASSET VALUE--END OF PERIOD......... $ 8.36 $ 7.72 $ 7.86 $ 9.70
============ ========== ============ ==========
TOTAL INVESTMENT RETURN................ 8.29% (26.89)% (15.91)% 11.11%
RATIOS TO AVERAGE NET ASSETS:
Gross Expenses**..................... 2.05% 1.96% 2.03% 2.05%
Net Expenses**....................... 2.04% 1.95% 2.02% 2.04%
Net Investment Income (Loss)**....... (0.06)% 1.25% (0.97)% (1.38)%
SUPPLEMENTARY DATA:
Portfolio Turnover Rate.............. 1,487% 5,704% 2,542% 1,255%
Net Assets, End of Period (000's
omitted)........................... $32 $688 $31 $20,952
</TABLE>
+ CALCULATED USING THE AVERAGE DAILY SHARES OUTSTANDING FOR THE PERIOD.
* SINCE THE COMMENCEMENT OF OPERATIONS: APRIL 14, 1998--BASIC MATERIALS
FUND; AUGUST 17, 1998--CONSUMER PRODUCTS FUND.
** ANNUALIZED
See Notes to Financial Statements. 44
<PAGE>
RYDEX SERIES TRUST
FINANCIAL HIGHLIGHTS (CONTINUED)
- --------------------------------------------------------------------------------
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
ADVISOR CLASS
-----------------------------------------------------------------
LEISURE FUND RETAILING FUND
------------------------------- -------------------------------
PERIOD PERIOD PERIOD PERIOD
ENDED ENDED ENDED ENDED
SEPTEMBER 30, MARCH 31, SEPTEMBER 30, MARCH 31,
1999 1999* 1999 1999*
---------------- ------------ ---------------- ------------
<S> <C> <C> <C> <C>
UNAUDITED UNAUDITED
PER SHARE OPERATING PERFORMANCE:+
NET ASSET VALUE--BEGINNING OF PERIOD... $11.16 $9.35 $13.50 $10.01
------------ ---------- ------------ ----------
Net Investment Loss.................. (.05) (.12) (.05) (.15)
Net Realized and Unrealized Gains
(Losses) on Securities. ........... (1.26) 1.93 (1.37) 3.64
------------ ---------- ------------ ----------
Net Increase (Decrease) in Net Asset
Value Resulting from Operations.... (1.31) 1.81 (1.42) 3.49
Distributions to Shareholders........ -- -- -- --
------------ ---------- ------------ ----------
Net Increase (Decrease) in Net Asset
Value.............................. (1.31) 1.81 (1.42) 3.49
------------ ---------- ------------ ----------
NET ASSET VALUE--END OF PERIOD......... $ 9.85 $11.16 $12.08 $13.50
============ ========== ============ ==========
TOTAL INVESTMENT RETURN................ (11.74)% 19.36% (10.52)% 34.87%
RATIOS TO AVERAGE NET ASSETS:
Gross Expenses**..................... 2.14% 2.23% 1.93% 1.95%
Net Expenses**....................... 2.13% 2.22% 1.92% 1.94%
Net Investment Loss**................ (1.13)% (1.95)% (1.16)% (1.37)%
SUPPLEMENTARY DATA:
Portfolio Turnover Rate.............. 5,035% 5,581% 2,549% 3,243%
Net Assets, End of Period (000's
omitted)........................... $2,054 $8 $51,501 $337
</TABLE>
+ CALCULATED USING THE AVERAGE DAILY SHARES OUTSTANDING FOR THE PERIOD.
* SINCE THE COMMENCEMENT OF OPERATIONS: JUNE 3, 1998--LEISURE FUND;
APRIL 21, 1998--RETAILING FUND.
** ANNUALIZED
See Notes to Financial Statements. 45
<PAGE>
RYDEX SERIES TRUST
FINANCIAL HIGHLIGHTS (CONTINUED)
- --------------------------------------------------------------------------------
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
ADVISOR CLASS
---------------------------------------------------------
TELECOMMUNICATIONS FUND TRANSPORTATION FUND
--------------------------- ---------------------------
PERIOD PERIOD PERIOD PERIOD
ENDED ENDED ENDED ENDED
SEPTEMBER 30, MARCH 31, SEPTEMBER 30, MARCH 31,
1999 1999* 1999 1999*
------------- ----------- ------------- -----------
<S> <C> <C> <C> <C>
UNAUDITED UNAUDITED
PER SHARE OPERATING PERFORMANCE:+
NET ASSET VALUE--BEGINNING OF PERIOD... $12.91 $10.00 $7.95 $9.26
----------- --------- ----------- ---------
Net Investment Loss.................. (.05) (.03) (.07) (.10)
Net Realized and Unrealized Gains
(Losses) on Securities............. 1.49 2.94 (1.07) (1.21)
----------- --------- ----------- ---------
Net Increase (Decrease) in Net Asset
Value Resulting from Operations.... 1.44 2.91 (1.14) (1.31)
Distributions to Shareholders........ -- -- -- --
----------- --------- ----------- ---------
Net Increase (Decrease) in Net Asset
Value.............................. 1.44 2.91 (1.14) (1.31)
----------- --------- ----------- ---------
NET ASSET VALUE--END OF PERIOD......... $14.35 $12.91 $6.81 $7.95
=========== ========= =========== =========
TOTAL INVESTMENT RETURN................ 11.15% 29.10% (14.34)% (14.15)%
RATIOS TO AVERAGE NET ASSETS:
Gross Expenses**..................... 2.05% 2.35% 2.07% 2.08%
Net Expenses**....................... 2.04% 2.34% 2.06% 2.07%
Net Investment Loss**................ (0.70)% (0.27)% (1.71)% (1.38)%
SUPPLEMENTARY DATA:
Portfolio Turnover Rate.............. 904% 2,788% 2,357% 7,583%
Net Assets, End of Period (000's
omitted)........................... $52,883 $1,929 $9 $4
</TABLE>
+ CALCULATED USING THE AVERAGE DAILY SHARES OUTSTANDING FOR THE PERIOD.
* SINCE THE COMMENCEMENT OF OPERATIONS: APRIL 1, 1998--TELECOMMUNICATIONS
FUND; JUNE 9, 1998--TRANSPORTATION FUND.
** ANNUALIZED
See Notes to Financial Statements. 46
<PAGE>
RYDEX SERIES TRUST
FINANCIAL HIGHLIGHTS (CONTINUED)
- --------------------------------------------------------------------------------
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
ADVISOR CLASS
---------------------------------------------------------
ENERGY SERVICES FUND BANKING FUND
--------------------------- ---------------------------
PERIOD PERIOD PERIOD PERIOD
ENDED ENDED ENDED ENDED
SEPTEMBER 30, MARCH 31, SEPTEMBER 30, MARCH 31,
1999 1999* 1999 1999*
------------- ----------- ------------- -----------
<S> <C> <C> <C> <C>
UNAUDITED UNAUDITED
PER SHARE OPERATING PERFORMANCE:+
NET ASSET VALUE--BEGINNING OF PERIOD... $6.01 $9.86 $8.74 $10.00
----------- --------- ----------- ---------
Net Investment Income (Loss)......... (.05) (.09) 0.05 .03
Net Realized and Unrealized Gains
(Losses) on Securities............. .76 (3.76) (1.36) (1.29)
----------- --------- ----------- ---------
Net Increase (Decrease) in Net Asset
Value Resulting from Operations.... .71 (3.85) (1.31) (1.26)
Distributions to Shareholders........ -- -- -- --
----------- --------- ----------- ---------
Net Increase (Decrease) in Net Asset
Value.............................. .71 (3.85) (1.31) (1.26)
----------- --------- ----------- ---------
NET ASSET VALUE--END OF PERIOD......... $6.72 $6.01 $7.43 $8.74
=========== ========= =========== =========
TOTAL INVESTMENT RETURN................ 11.81% (39.05)% (14.99)% (12.60)%
RATIOS TO AVERAGE NET ASSETS:
Gross Expenses**..................... 2.04% 2.05% 2.12% 2.08%
Net Expenses**....................... 2.04% 2.04% 2.11% 2.08%
Net Investment Income (Loss)**....... (1.39)% (1.66)% 1.18% 0.28%
SUPPLEMENTARY DATA:
Portfolio Turnover Rate.............. 756% 3,170% 3,862% 11,211%
Net Assets, End of Period (000's
omitted)........................... $450 $22,323 $2,517 $2
</TABLE>
+ CALCULATED USING THE AVERAGE DAILY SHARES OUTSTANDING FOR THE PERIOD.
* SINCE THE COMMENCEMENT OF OPERATIONS: APRIL 2, 1998--ENERGY SERVICES
FUND; APRIL 1, 1998--BANKING FUND.
** ANNUALIZED
See Notes to Financial Statements. 47
<PAGE>
RYDEX SERIES TRUST
FINANCIAL HIGHLIGHTS (CONCLUDED)
- --------------------------------------------------------------------------------
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
ADVISOR CLASS
---------------------------------------------------------
BIOTECHNOLOGY FUND ELECTRONICS FUND
--------------------------- ---------------------------
PERIOD PERIOD PERIOD PERIOD
ENDED ENDED ENDED ENDED
SEPTEMBER 30, MARCH 31, SEPTEMBER 30, MARCH 31,
1999 1999* 1999 1999*
------------- ----------- ------------- -----------
<S> <C> <C> <C> <C>
UNAUDITED UNAUDITED
PER SHARE OPERATING PERFORMANCE:+
NET ASSET VALUE--BEGINNING OF PERIOD... $12.66 $10.00 $13.96 $9.98
----------- --------- ----------- ---------
Net Investment Income (Loss)......... (.13) .18 (.13) (.23)
Net Realized and Unrealized Gains on
Securities......................... 3.15 2.48 4.83 4.21
----------- --------- ----------- ---------
Net Increase in Net Asset
Value Resulting from Operations ... 3.02 2.66 4.70 3.98
Distributions to Shareholders........ -- -- -- --
----------- --------- ----------- ---------
Net Increase in Net Asset Value...... 3.02 2.66 4.70 3.98
----------- --------- ----------- ---------
NET ASSET VALUE--END OF PERIOD......... $15.68 $12.66 $18.66 $13.96
=========== ========= =========== =========
TOTAL INVESTMENT RETURN................ 23.85% 26.60% 33.67% 39.88%
RATIOS TO AVERAGE NET ASSETS:
Gross Expenses**..................... 2.04% 2.16% 1.65% 2.05%
Net Expenses**....................... 2.04% 2.16% 1.65% 2.04%
Net Investment Income (Loss)**....... (1.68)% 1.79% (1.51)% (1.86)%
SUPPLEMENTARY DATA:
Portfolio Turnover Rate.............. 1,079% 2,670% 937% 3,011%
Net Assets, End of Period (000's
omitted)........................... $7,433 $1,838 $2,267 $4,024
</TABLE>
+ CALCULATED USING THE AVERAGE DAILY SHARES OUTSTANDING FOR THE PERIOD.
* SINCE THE COMMENCEMENT OF OPERATIONS: APRIL 1, 1998--BIOTECHNOLOGY FUND;
APRIL 2, 1998--ELECTRONICS FUND.
** ANNUALIZED
See Notes to Financial Statements. 48
<PAGE>
RYDEX SERIES TRUST
NOTES TO FINANCIAL STATEMENTS
- --------------------------------------------------------------------------------
- --------------------------------------------------------------------------------
1. SIGNIFICANT ACCOUNTING POLICIES
The Rydex Series Trust (the "Trust") is registered with the Securities and
Exchange Commission under the Investment Company Act of 1940 (the "1940 Act") as
a non-diversified, open-ended investment company, and is authorized to issue an
unlimited number of shares. The Trust offers two separate classes of shares,
Investor Class Shares and Advisor Class Shares. Sales of shares of each Class
are made without a sales charge at the net asset value per share. Currently, the
Trust consists of twenty-two separate series: six benchmark funds; one money
market fund, and fifteen sector funds. This report covers the fifteen sector
funds (the "Sector Funds"), while the Benchmark Funds and Money Market Fund are
contained in a separate report. The following significant accounting policies
are in conformity with generally accepted accounting principles and are
consistently followed by the Trust.
During 1997, the Trust changed its fiscal year end from June 30 to March 31.
Accordingly, statements for the period March 31, 1997, reflect nine months of
activity.
A. Securities listed on an exchange are valued at the last quoted sales price as
of 4:00 P.M. on the valuation date. Securities not traded on an exchange are
valued at their last sales price. Listed options held by the Trust are valued at
their last bid price. Over-the-counter options held by the Trust are valued
using the average bid price obtained from one or more security dealers. The
value of futures contracts purchased and sold by the Trust are accounted for
using the unrealized gain or loss on the contracts that is determined by marking
the contracts to their current realized settlement prices. Short-term securities
are valued at amortized cost, which approximates market. Securities and assets
for which market quotations are not readily available are valued at fair value
as determined in good faith by or under direction of the Board of Trustees or by
the Advisor using methods established or ratified by the Board of Trustees.
B. Securities transactions are recorded on the day the trade is executed for the
purpose of preparing semi-annual and annual financial statements. Realized gains
and losses from securities transactions are recorded on the identified cost
basis. Dividend income is recorded on the ex-dividend date, net of applicable
taxes withheld by foreign countries, and subsequently adjusted to reflect actual
holdings of the record date. Interest income is accrued on a daily basis.
C. The Trust intends to comply with the provisions of the Internal Revenue Code
applicable to regulated investment companies and will distribute all net
investment income to its shareholders. Therefore, no Federal income tax
provision is required.
D. Costs incurred in connection with the organization and registration of the
Sector Funds have been expensed as incurred.
49
<PAGE>
RYDEX SERIES TRUST
NOTES TO FINANCIAL STATEMENTS (CONTINUED)
- --------------------------------------------------------------------------------
- --------------------------------------------------------------------------------
E. Interest and dividend income, most expenses, all realized gains and losses,
and all unrealized gains and losses are allocated to the classes based upon the
value of the outstanding shares in each Class. Certain costs are charged
directly to specific classes, for example, distribution fees relating to the
Advisor Classes.
F. Distributions to shareholders are recorded on the ex-dividend date.
Distributions are determined on a tax basis and may differ from net investment
income and realized capital gains for financial reporting purposes.
G. The Precious Metals Fund seeks capital appreciation. It buys primarily equity
securities and may purchase call options on the Philadelphia Stock Exchange
Gold/Silver Index ("XAU Index"). In additon, the Precious Metals Fund can write
options to further meet its investment objectives. The risks inherent in the use
of options include 1) adverse changes in the value of such instruments; 2)
imperfect correlation between the price of options and movements in the price of
the underlying securities or index; and 3) the possible absence of a liquid
secondary market for any particular instrument at any time.
H. The preparation of financial statements in conformity with generally accepted
accounting principles requires management to make estimates and assumptions that
affect the reported amount of assets and liabilities and disclosure of
contingent assets and liabilities at the date of the financial statements and
the reported amounts of revenues and expenses during the reporting period.
Actual results could differ from these estimates.
2. REPURCHASE AGREEMENTS
The Trust, which includes twenty-two separate series, transfers uninvested cash
balances into a single joint account, the daily aggregate balance of which is
invested in one or more repurchase agreements collateralized by U. S. Treasury
obligations. As of September 30, 1999, the repurchase agreements with Fuji
Securities, Inc., Paine Webber, Inc., Lehman Brothers, and Prudential
Securities, Inc., in the joint account and the collateral therefore was as
follows:
<TABLE>
<CAPTION>
SECURITY TYPE RANGE OF RATES PAR VALUE MARKET VALUE
- ------------- -------------- ------------ ------------
<S> <C> <C> <C>
U. S. Treasury Notes............................ 5.625%-7.875% $331,292,000 $338,194,077
U. S. Treasury Bonds............................ 8.500% $ 92,715,000 $112,000,000
</TABLE>
3. FEES AND OTHER TRANSACTIONS WITH AFFILIATES
Under the terms of an investment advisory contract, the Trust pays PADCO
Advisors, Inc., an affiliated entity, investment advisory fees calculated at an
annualized rate, based on average daily net
50
<PAGE>
RYDEX SERIES TRUST
NOTES TO FINANCIAL STATEMENTS (CONTINUED)
- --------------------------------------------------------------------------------
- --------------------------------------------------------------------------------
assets, of eighty-five hundredths of one percent (0.85%) of the net assets of
each of the Sector Funds, except the Precious Metals Fund, which is
three-quarters of one percent (0.75%). Certain officers of the Trust are also
officers of PADCO Advisors, Inc.
PADCO Service Company, Inc., a subsidiary of the investment advisor, provides
transfer agent services to the Trust at an annualized rate, based on average
daily net assets, of one quarter of one percent (0.25%) of the net assets of
each of the Sector Funds, except the Precious Metals Fund, which is two-tenths
of one percent (0.20%).
The Trust has adopted a Distribution and Shareholder Services Plan applicable to
Advisor Class Shares, for which the Distributor, PADCO Financial Services, Inc.,
(an affiliated entity), and other firms that provide distribution and
shareholder services ("Service Providers") may receive compensation. If a
Service Provider provides distribution services, the Trust will pay fees to the
Distributor at an annual rate not to exceed one quarter of one percent (0.25%)
of average daily net assets, pursuant to Rule 12b-1 of the 1940 Act. The
Distributor, in turn, will pay the Service Provider out of its fees. The
Distributor may, at its discretion, retain a portion of such payments to
compensate itself for distribution services. If a Service Provider provides
shareholder services, the Distributor will receive fees from the Trust at an
annual rate not to exceed one quarter of one percent (0.25%) of average daily
net assets. The Distributor, in turn, will pay the Service Provider out of its
fees. Certain officers of the Trust are also officers of PADCO Financial
Services, Inc.
The Trust paid PADCO Service Company, Inc. $150,674 in accounting fees for the
Sector Funds for the period ended September 30, 1999.
4. ACCOUNTING FOR EXPENSES
The Trust has entered into an arrangement with its custodian whereby interest
earned on uninvested cash balances was used to offset a portion of the Trust's
expenses.
51
<PAGE>
RYDEX SERIES TRUST
NOTES TO FINANCIAL STATEMENTS (CONTINUED)
- --------------------------------------------------------------------------------
- --------------------------------------------------------------------------------
5. SECURITIES TRANSACTIONS
During the period ended September 30, 1999 purchases and sales of investment
securities, excluding short-term and temporary cash investments, were:
(Unaudited)
<TABLE>
<CAPTION>
FINANCIAL HEALTH BASIC
ENERGY SERVICES CARE TECHNOLOGY MATERIALS
FUND FUND FUND FUND FUND
------------ -------------- --------------- --------------- ---------------
<S> <C> <C> <C> <C> <C>
Purchases.............................. $178,116,840 $ 466,179,219 $ 509,346,773 $ 1,915,559,721 $ 250,470,113
Sales.................................. $191,166,209 $ 490,938,096 $ 497,626,921 $ 1,771,827,067 $ 247,452,318
</TABLE>
<TABLE>
<CAPTION>
CONSUMER TELE-
PRODUCTS LEISURE RETAILING COMMUNICATIONS TRANSPORTATION
FUND FUND FUND FUND FUND
------------ ------------ --------------- --------------- ---------------
<S> <C> <C> <C> <C> <C>
Purchases............................... $149,590,309 $113,947,218 $ 274,011,683 $ 455,626,009 $ 155,928,295
Sales................................... $168,040,558 $114,049,549 $ 311,706,921 $ 388,516,224 $ 152,515,168
</TABLE>
<TABLE>
<CAPTION>
ENERGY
SERVICES BANKING BIOTECHNOLOGY ELECTRONICS PRECIOUS METALS
FUND FUND FUND FUND FUND
------------ ------------ --------------- --------------- ---------------
<S> <C> <C> <C> <C> <C>
Purchases............................... $364,437,455 $262,060,354 $ 729,638,339 $ 584,452,695 $ 206,990,882
Sales................................... $431,647,995 $259,897,881 $ 719,514,406 $ 567,131,644 $ 181,530,628
</TABLE>
52
<PAGE>
RYDEX SERIES TRUST
NOTES TO FINANCIAL STATEMENTS (CONTINUED)
- --------------------------------------------------------------------------------
- --------------------------------------------------------------------------------
6. NET UNREALIZED APPRECIATION (DEPRECIATION) OF SECURITIES
At September 30, 1999 unrealized appreciation (depreciation) and cost of
investment securities for Federal income tax purposes was: (Unaudited)
<TABLE>
<CAPTION>
FINANCIAL HEALTH BASIC
ENERGY SERVICES CARE TECHNOLOGY MATERIALS
FUND FUND FUND FUND FUND
----------- ----------- ------------- --------------- -------------
<S> <C> <C> <C> <C> <C>
Gross Unrealized Appreciation.................. $ -- $ -- $ -- $ -- $ --
Gross Unrealized (Depreciation)................ (521,266) (5,638,220) (13,077,003) (11,525,279) (823,237)
----------- ----------- ------------- --------------- -------------
Net Unrealized Appreciation (Depreciation)..... $ (521,266) $(5,638,220) $ (13,077,003) $ (11,525,279) $ (823,237)
=========== =========== ============= =============== =============
Cost of Investments for Federal Income Tax
Purposes..................................... $ 5,015,804 $20,642,188 $ 30,267,958 $ 183,129,350 $ 8,807,272
=========== =========== ============= =============== =============
</TABLE>
<TABLE>
<CAPTION>
CONSUMER TELE-
PRODUCTS LEISURE RETAILING COMMUNICATIONS TRANSPORTATION
FUND FUND FUND FUND FUND
----------- ----------- ------------- --------------- --------------
<S> <C> <C> <C> <C> <C>
Gross Unrealized Appreciation.................. $ -- $ -- $ -- $ -- $ --
Gross Unrealized (Depreciation)................ (477,965) (1,542,017) (3,429,715) (2,231,905) (1,570,425)
----------- ----------- ------------- --------------- -------------
Net Unrealized Appreciation (Depreciation)..... $ (477,965) $(1,542,017) $ (3,429,715) $ (2,231,905) $ (1,570,425)
=========== =========== ============= =============== =============
Cost of Investments for Federal Income Tax
Purposes..................................... $ 760,183 $ 4,889,089 $ 9,310,116 $ 85,175,761 $ 7,200,787
=========== =========== ============= =============== =============
</TABLE>
<TABLE>
<CAPTION>
ENERGY PRECIOUS
SERVICES BANKING BIOTECHNOLOGY ELECTRONICS METALS
FUND FUND FUND FUND FUND
----------- ----------- ------------- --------------- -------------
<S> <C> <C> <C> <C> <C>
Gross Unrealized Appreciation.................. $ -- $ -- $ -- $ 6,953,394 $ --
Gross Unrealized (Depreciation)................ (8,654,064) (3,589,269) (2,516,858) (49,661) (14,066,963)
----------- ----------- ------------- --------------- -------------
Net Unrealized Appreciation (Depreciation)..... $(8,654,064) $(3,589,269) $ (2,516,858) $ 6,903,733 $ (14,066,963)
=========== =========== ============= =============== =============
Cost of Investments for Federal Income Tax
Purposes..................................... $33,131,871 $10,894,901 $ 57,637,824 $ 44,587,971 $ 67,983,700
=========== =========== ============= =============== =============
</TABLE>
53
<PAGE>
RYDEX SERIES TRUST
NOTES TO FINANCIAL STATEMENTS (CONTINUED)
- --------------------------------------------------------------------------------
- --------------------------------------------------------------------------------
7. SHARE TRANSACTIONS
The Trust is authorized to distribute an unlimited number of shares.
Transactions in shares for the period ended September 30, 1999 were: (Unaudited)
INVESTOR CLASS:
<TABLE>
<CAPTION>
FINANCIAL HEALTH BASIC
ENERGY SERVICES CARE TECHNOLOGY MATERIALS
FUND FUND FUND FUND FUND
------------ --------------- ------------- ------------ ------------
<S> <C> <C> <C> <C> <C>
Shares Purchased........................ 22,328,792 49,743,740 46,939,529 102,796,076 38,243,795
------------ --------------- ------------- ------------ ------------
Purchased through Dividend
Reinvestment.......................... -- -- -- -- --
------------ --------------- ------------- ------------ ------------
Total Purchased......................... 22,328,792 49,743,740 46,939,529 102,796,076 38,243,795
Shares Redeemed......................... (23,832,703) (50,515,065) (46,632,688) (98,536,019) (37,577,726)
------------ --------------- ------------- ------------ ------------
Net Shares Purchased (Redeemed)......... (1,503,911) (771,325) 306,841 4,260,057 666,069
============ =============== ============= ============ ============
<CAPTION>
CONSUMER
PRODUCTS LEISURE
FUND FUND
------------ ------------
<S> <C> <C>
Shares Purchased........................ 11,251,635 11,973,655
------------ ------------
Purchased through Dividend
Reinvestment.......................... 4,604 --
------------ ------------
Total Purchased......................... 11,256,239 11,973,655
Shares Redeemed......................... (11,355,671) (12,269,007)
------------ ------------
Net Shares Purchased (Redeemed)......... (99,432) (295,352)
============ ============
</TABLE>
<TABLE>
<CAPTION>
TELE- ENERGY BIO-
RETAILING COMMUNICATIONS TRANSPORTATION SERVICES BANKING TECHNOLOGY
FUND FUND FUND FUND FUND FUND
------------ --------------- -------------- ------------ ------------ ------------
<S> <C> <C> <C> <C> <C> <C>
Shares Purchased............. 25,824,419 30,017,854 22,773,373 88,385,642 27,210,518 44,698,199
------------ --------------- ------------- ------------ ------------ ------------
Total Purchased.............. 25,824,419 30,017,854 22,773,373 88,385,642 27,210,518 44,698,199
Shares Redeemed.............. (28,634,297) (28,941,881) (22,322,531) (97,149,368) (27,446,583) (44,712,520)
------------ --------------- ------------- ------------ ------------ ------------
Net Shares Purchased
(Redeemed)................. (2,809,878) 1,075,973 450,842 (8,763,726) (236,065) (14,321)
============ =============== ============= ============ ============ ============
<CAPTION>
PRECIOUS
ELECTRONICS METALS
FUND FUND
------------ -----------
<S> <C> <C>
Shares Purchased............. 34,018,602 79,844,235
------------ -----------
Total Purchased.............. 34,018,602 79,844,235
Shares Redeemed.............. (32,306,095) (76,030,969)
------------ -----------
Net Shares Purchased
(Redeemed)................. 1,712,507 3,813,266
============ ===========
</TABLE>
ADVISOR CLASS:
<TABLE>
<CAPTION>
FINANCIAL HEALTH BASIC
ENERGY SERVICES CARE TECHNOLOGY MATERIALS
FUND FUND FUND FUND FUND
------------ --------------- ------------- ------------ ------------
<S> <C> <C> <C> <C> <C>
Shares Purchased........................ 1,978,848 7,394,720 11,804,692 22,630,136 2,532,334
------------ --------------- ------------- ------------ ------------
Purchased through Dividend
Reinvestment.......................... -- -- -- -- --
------------ --------------- ------------- ------------ ------------
Total Purchased......................... 1,978,848 7,394,720 11,804,692 22,630,136 2,532,334
Shares Redeemed......................... (2,026,117) (9,232,907) (11,601,108) (19,767,431) (2,617,574)
------------ --------------- ------------- ------------ ------------
Net Shares Purchased (Redeemed)......... (47,269) (1,838,187) 203,584 2,862,705 (85,240)
============ =============== ============= ============ ============
<CAPTION>
CONSUMER
PRODUCTS LEISURE
FUND FUND
------------ ------------
<S> <C> <C>
Shares Purchased........................ 6,344,315 650,773
------------ ------------
Purchased through Dividend
Reinvestment.......................... 79,686 --
------------ ------------
Total Purchased......................... 6,424,001 650,773
Shares Redeemed......................... (8,578,937) (442,993)
------------ ------------
Net Shares Purchased (Redeemed)......... (2,154,936) 207,780
============ ============
</TABLE>
<TABLE>
<CAPTION>
TELE- ENERGY
RETAILING COMMUNICATIONS TRANSPORTATION SERVICES BANKING
FUND FUND FUND FUND FUND
------------ --------------- -------------- ------------ ------------
<S> <C> <C> <C> <C> <C>
Shares Purchased........................ 5,299,300 13,480,341 771,737 14,691,453 8,118,347
------------ --------------- ------------- ------------ ------------
Total Purchased......................... 5,299,300 13,480,341 771,737 14,691,453 8,118,347
Shares Redeemed......................... (1,060,976) (9,944,535) (770,917) (18,339,915) (7,779,867)
------------ --------------- ------------- ------------ ------------
Net Shares Purchased (Redeemed)......... 4,238,324 3,535,806 820 (3,648,462) 338,480
============ =============== ============= ============ ============
<CAPTION>
BIO-
TECHNOLOGY ELECTRONICS
FUND FUND
------------ ------------
<S> <C> <C>
Shares Purchased........................ 27,258,491 20,702,324
------------ ------------
Total Purchased......................... 27,258,491 20,702,324
Shares Redeemed......................... (26,929,509) (20,869,132)
------------ ------------
Net Shares Purchased (Redeemed)......... 328,982 (166,808)
============ ============
</TABLE>
54
<PAGE>
RYDEX SERIES TRUST
NOTES TO FINANCIAL STATEMENTS (CONTINUED)
- --------------------------------------------------------------------------------
- --------------------------------------------------------------------------------
Transactions in shares for the period ended March 31, 1999 were:
INVESTOR CLASS:
<TABLE>
<CAPTION>
FINANCIAL HEALTH BASIC
ENERGY SERVICES CARE TECHNOLOGY MATERIALS
FUND FUND FUND FUND FUND
------------ --------------- ------------- ------------ ------------
<S> <C> <C> <C> <C> <C>
Shares Purchased........................ 46,387,425 175,105,868 111,431,268 152,417,675 42,902,101
------------ --------------- ------------- ------------ ------------
Total Purchased......................... 46,387,425 175,105,868 111,431,268 152,417,675 42,902,101
Shares Redeemed......................... (44,448,217) (172,888,113) (110,206,981) (150,984,147) (42,620,819)
------------ --------------- ------------- ------------ ------------
Net Shares Purchased.................... 1,939,208 2,217,755 1,224,287 1,433,528 281,282
============ =============== ============= ============ ============
<CAPTION>
CONSUMER
PRODUCTS LEISURE
FUND FUND
------------ ------------
<S> <C> <C>
Shares Purchased........................ 14,367,530 31,368,517
------------ ------------
Total Purchased......................... 14,367,530 31,368,517
Shares Redeemed......................... (14,235,593) (30,940,600)
------------ ------------
Net Shares Purchased.................... 131,937 427,917
============ ============
</TABLE>
<TABLE>
<CAPTION>
TELE- ENERGY BIO-
RETAILING COMMUNICATIONS TRANSPORTATION SERVICES BANKING TECHNOLOGY
FUND FUND FUND FUND FUND FUND
------------ --------------- -------------- ------------ ------------ ------------
<S> <C> <C> <C> <C> <C> <C>
Shares Purchased............ 106,899,905 39,367,649 51,900,725 142,946,134 105,870,225 64,205,421
------------ --------------- ------------- ------------ ------------ ------------
Total Purchased............. 106,899,905 39,367,649 51,900,725 142,946,134 105,870,225 64,205,421
Shares Redeemed............. (103,560,376) (38,423,584) (51,523,631) (130,625,051) (104,977,546) (61,223,430)
------------ --------------- ------------- ------------ ------------ ------------
Net Shares Purchased........ 3,339,529 944,065 377,094 12,321,083 892,679 2,981,991
============ =============== ============= ============ ============ ============
<CAPTION>
PRECIOUS
ELECTRONICS METALS
FUND FUND
------------ ------------
<S> <C> <C>
Shares Purchased............ 99,841,803 118,999,730
------------ ------------
Total Purchased............. 99,841,803 118,999,730
Shares Redeemed............. (98,927,690) (118,541,590)
------------ ------------
Net Shares Purchased........ 914,113 458,140
============ ============
</TABLE>
ADVISOR CLASS:
<TABLE>
<CAPTION>
FINANCIAL HEALTH BASIC CONSUMER
ENERGY SERVICES CARE TECHNOLOGY MATERIALS PRODUCTS LEISURE
FUND FUND FUND FUND FUND FUND FUND
---------- --------------- ------------- ----------- ---------- ---------- ----------
<S> <C> <C> <C> <C> <C> <C> <C>
Shares Purchased.............. 4,846,931 15,301,901 13,765,297 17,949,043 2,376,986 4,811,089 74,059
---------- --------------- ------------- ----------- ---------- ---------- ----------
Total Purchased............... 4,846,931 15,301,901 13,765,297 17,949,043 2,376,986 4,811,089 74,059
Shares Redeemed............... (4,779,294) (13,151,818) (13,763,146) (17,814,775) (2,287,875) (2,652,185) (73,308)
---------- --------------- ------------- ----------- ---------- ---------- ----------
Net Shares Purchased.......... 67,637 2,150,083 2,151 134,268 89,111 2,158,904 751
========== =============== ============= =========== ========== ========== ==========
</TABLE>
<TABLE>
<CAPTION>
TELE- ENERGY
RETAILING COMMUNICATIONS TRANSPORTATION SERVICES BANKING
FUND FUND FUND FUND FUND
---------- --------------- -------------- ----------- ----------
<S> <C> <C> <C> <C> <C>
Shares Purchased............................. 6,183,393 9,035,854 329,926 19,842,213 9,665,490
---------- --------------- ------------- ----------- ----------
Total Purchased.............................. 6,183,393 9,035,854 329,926 19,842,213 9,665,490
Shares Redeemed.............................. (6,158,427) (8,886,467) (329,370) (16,126,807) (9,665,211)
---------- --------------- ------------- ----------- ----------
Net Shares Purchased......................... 24,966 149,387 556 3,715,406 279
========== =============== ============= =========== ==========
<CAPTION>
BIO-
TECHNOLOGY ELECTRONICS
FUND FUND
------------ ------------
<S> <C> <C>
Shares Purchased............................. 26,571,862 29,570,978
------------ ------------
Total Purchased.............................. 26,571,862 29,570,978
Shares Redeemed.............................. (26,426,628) (29,282,718)
------------ ------------
Net Shares Purchased......................... 145,234 288,260
============ ============
</TABLE>
55
<PAGE>
RYDEX SERIES TRUST
NOTES TO FINANCIAL STATEMENTS (CONTINUED)
- --------------------------------------------------------------------------------
- --------------------------------------------------------------------------------
Transactions in dollars for the period ended September 30, 1999 were:
(Unaudited)
INVESTOR CLASS:
<TABLE>
<CAPTION>
FINANCIAL HEALTH BASIC
ENERGY SERVICES CARE TECHNOLOGY MATERIALS
FUND FUND FUND FUND FUND
------------- ---------------- -------------- --------------- -------------
<S> <C> <C> <C> <C> <C>
Shares Purchased..................... $ 226,180,618 $ 503,081,707 $ 501,310,362 $ 1,953,658,933 $ 356,315,983
Purchased through Dividend
Reinvestment....................... -- -- -- -- --
------------- ---------------- -------------- --------------- -------------
Total Purchased...................... 226,180,618 503,081,707 501,310,362 1,953,658,933 356,315,983
Shares Redeemed...................... (239,066,954) (510,063,783) (496,543,563) (1,866,695,912) (352,060,009)
------------- ---------------- -------------- --------------- -------------
Net Shares Purchased (Redeemed)...... $ (12,886,336) $ (6,982,076) $ 4,766,799 $ 86,963,021 $ 4,255,974
============= ================ ============== =============== =============
<CAPTION>
CONSUMER
PRODUCTS LEISURE
FUND FUND
------------- -------------
<S> <C> <C>
Shares Purchased..................... $ 104,317,662 $ 131,798,000
Purchased through Dividend
Reinvestment....................... 42,676 --
------------- -------------
Total Purchased...................... 104,360,338 131,798,000
Shares Redeemed...................... (104,154,942) (134,085,575)
------------- -------------
Net Shares Purchased (Redeemed)...... $ 205,396 $ (2,287,575)
============= =============
</TABLE>
<TABLE>
<CAPTION>
TELE- ENERGY BIO-
RETAILING COMMUNICATIONS TRANSPORTATION SERVICES BANKING TECHNOLOGY
FUND FUND FUND FUND FUND FUND
------------- ---------------- -------------- --------------- ------------- -------------
<S> <C> <C> <C> <C> <C> <C>
Shares Purchased....... $ 335,441,167 $ 435,156,217 $ 195,781,988 $ 615,819,701 $ 245,275,004 $ 679,640,761
------------- ---------------- -------------- --------------- ------------- -------------
Total Purchased........ 335,441,167 435,156,217 195,781,988 615,819,701 245,275,004 679,640,761
Shares Redeemed........ (373,341,189) (418,654,702) (192,517,405) (660,911,829) (246,718,888) (672,234,528)
------------- ---------------- -------------- --------------- ------------- -------------
Net Shares Purchased
(Redeemed)........... $ (37,900,022) $ 16,501,515 $ 3,264,583 $ (45,092,128) $ (1,443,884) $ 7,406,233
============= ================ ============== =============== ============= =============
<CAPTION>
PRECIOUS
ELECTRONICS METALS
FUND FUND
------------- -------------
<S> <C> <C>
Shares Purchased....... $ 581,677,386 $ 372,343,497
------------- -------------
Total Purchased........ 581,677,386 372,343,497
Shares Redeemed........ (551,764,768) (346,169,874)
------------- -------------
Net Shares Purchased
(Redeemed)........... $ 29,912,618 $ 26,173,623
============= =============
</TABLE>
ADVISOR CLASS:
<TABLE>
<CAPTION>
FINANCIAL HEALTH BASIC
ENERGY SERVICES CARE TECHNOLOGY MATERIALS
FUND FUND FUND FUND FUND
------------ ---------------- -------------- ------------- ------------
<S> <C> <C> <C> <C> <C>
Shares Purchased......................... $ 20,655,815 $ 72,976,918 $ 122,748,308 $ 428,952,490 $ 23,481,436
Purchased through Dividend Reinvestment.. -- -- -- -- --
------------ ---------------- -------------- ------------- ------------
Total Purchased.......................... 20,655,815 72,976,918 122,748,308 428,952,490 23,481,436
Shares Redeemed.......................... (21,240,706) (91,367,897) (116,082,888) (369,635,420) (24,990,516)
------------ ---------------- -------------- ------------- ------------
Net Shares Purchased (Redeemed).......... $ (584,891) $ (18,390,979) $ 6,665,420 $ 59,317,070 $ (1,509,080)
============ ================ ============== ============= ============
<CAPTION>
CONSUMER
PRODUCTS LEISURE
FUND FUND
------------- -------------
<S> <C> <C>
Shares Purchased......................... $ 57,275,185 $ 6,729,045
Purchased through Dividend Reinvestment.. 738,696 --
------------- -------------
Total Purchased.......................... 58,013,881 6,729,045
Shares Redeemed.......................... (76,290,747) (4,588,118)
------------- -------------
Net Shares Purchased (Redeemed).......... $ (18,276,866) $ 2,140,927
============= =============
</TABLE>
<TABLE>
<CAPTION>
TELE- ENERGY
RETAILING COMMUNICATIONS TRANSPORTATION SERVICES BANKING
FUND FUND FUND FUND FUND
------------ ---------------- -------------- ------------- ------------
<S> <C> <C> <C> <C> <C>
Shares Purchased......................... $ 64,002,990 $ 192,225,513 $ 6,471,279 $ 101,078,205 $ 70,414,099
------------ ---------------- -------------- ------------- ------------
Total Purchased.......................... 64,002,990 192,225,513 6,471,279 101,078,205 70,414,099
Shares Redeemed.......................... (12,630,575) (142,355,559) (6,279,579) (124,760,698) (66,855,678)
------------ ---------------- -------------- ------------- ------------
Net Shares Purchased (Redeemed).......... $ 51,372,415 $ 49,869,954 $ 191,700 $ (23,682,493) $ 3,558,421
============ ================ ============== ============= ============
<CAPTION>
BIO-
TECHNOLOGY ELECTRONICS
FUND FUND
------------- -------------
<S> <C> <C>
Shares Purchased......................... $ 393,248,051 $ 340,869,036
------------- -------------
Total Purchased.......................... 393,248,051 340,869,036
Shares Redeemed.......................... (389,852,315) (351,987,689)
------------- -------------
Net Shares Purchased (Redeemed).......... $ 3,395,736 $ (11,118,653)
============= =============
</TABLE>
56
<PAGE>
RYDEX SERIES TRUST
NOTES TO FINANCIAL STATEMENTS (CONTINUED)
- --------------------------------------------------------------------------------
- --------------------------------------------------------------------------------
Transactions in dollars for the period ended March 31, 1999 were:
INVESTOR CLASS:
<TABLE>
<CAPTION>
FINANCIAL HEALTH BASIC
ENERGY SERVICES CARE TECHNOLOGY MATERIALS
FUND FUND FUND FUND FUND
--------------- ---------------- --------------- --------------- -------------
<S> <C> <C> <C> <C> <C>
Shares Purchased................. $ 405,972,500 $ 1,663,306,900 $ 1,193,748,091 $ 1,975,925,370 $ 357,734,614
--------------- ---------------- --------------- --------------- -------------
Total Purchased.................. 405,972,500 1,663,306,900 1,193,748,091 1,975,925,370 357,734,614
Shares Redeemed.................. (387,651,774) (1,646,656,560) (1,179,863,050) (1,968,545,957) (355,208,043)
--------------- ---------------- --------------- --------------- -------------
Net Shares Purchased............. $ 18,320,726 $ 16,650,340 $ 13,885,041 $ 7,379,413 $ 2,526,571
=============== ================ =============== =============== =============
<CAPTION>
CONSUMER
PRODUCTS LEISURE
FUND FUND
------------- ---------------
<S> <C> <C>
Shares Purchased................. $ 130,779,402 $ 316,035,670
------------- ---------------
Total Purchased.................. 130,779,402 316,035,670
Shares Redeemed.................. (129,379,038) (312,432,852)
------------- ---------------
Net Shares Purchased............. $ 1,400,364 $ 3,602,818
============= ===============
</TABLE>
<TABLE>
<CAPTION>
TELE- ENERGY BIO-
RETAILING COMMUNICATIONS TRANSPORTATION SERVICES BANKING TECHNOLOGY
FUND FUND FUND FUND FUND FUND
--------------- ---------------- --------------- --------------- ------------- -------------
<S> <C> <C> <C> <C> <C> <C>
Shares Purchased..... $ 1,216,853,482 $ 434,963,177 $ 429,557,052 $ 932,647,460 $ 968,633,702 $ 650,802,231
--------------- ---------------- --------------- --------------- ------------- -------------
Total Purchased...... 1,216,853,482 434,963,177 429,557,052 932,647,460 968,633,702 650,802,231
Shares Redeemed...... (1,175,145,535) (424,898,368) (424,745,172) (847,116,721) (961,587,382) (611,349,719)
--------------- ---------------- --------------- --------------- ------------- -------------
Net Shares
Purchased.......... $ 41,707,947 $ 10,064,809 $ 4,811,880 $ 85,530,739 $ 7,046,320 $ 39,452,512
=============== ================ =============== =============== ============= =============
<CAPTION>
PRECIOUS
ELECTRONICS METALS
FUND FUND
--------------- -------------
<S> <C> <C>
Shares Purchased..... $ 1,049,075,039 $ 593,482,014
--------------- -------------
Total Purchased...... 1,049,075,039 593,482,014
Shares Redeemed...... (1,047,424,530) (586,069,951)
--------------- -------------
Net Shares
Purchased.......... $ 1,650,509 $ 7,412,063
=============== =============
</TABLE>
ADVISOR CLASS:
<TABLE>
<CAPTION>
FINANCIAL HEALTH BASIC
ENERGY SERVICES CARE TECHNOLOGY MATERIALS
FUND FUND FUND FUND FUND
------------ ---------------- -------------- ------------- ------------
<S> <C> <C> <C> <C> <C>
Shares Purchased......................... $ 42,291,652 $ 139,338,555 $ 143,259,326 $ 239,709,281 $ 24,197,174
------------ ---------------- -------------- ------------- ------------
Total Purchased.......................... 42,291,652 139,338,555 143,259,326 239,709,281 24,197,174
Shares Redeemed.......................... (40,978,746) (120,050,805) (144,416,300) (232,976,324) (22,004,355)
------------ ---------------- -------------- ------------- ------------
Net Shares Purchased (Redeemed).......... $ 1,312,906 $ 19,287,750 $ (1,156,974) $ 6,732,957 $ 2,192,819
============ ================ ============== ============= ============
<CAPTION>
CONSUMER
PRODUCTS LEISURE
FUND FUND
------------- -------------
<S> <C> <C>
Shares Purchased......................... $ 43,203,938 $ 759,767
------------- -------------
Total Purchased.......................... 43,203,938 759,767
Shares Redeemed.......................... (23,385,943) (773,917)
------------- -------------
Net Shares Purchased (Redeemed).......... $ 19,817,995 $ (14,150)
============= =============
</TABLE>
<TABLE>
<CAPTION>
TELE- ENERGY
RETAILING COMMUNICATIONS TRANSPORTATION SERVICES BANKING
FUND FUND FUND FUND FUND
------------ ---------------- -------------- ------------- ------------
<S> <C> <C> <C> <C> <C>
Shares Purchased......................... $ 65,114,723 $ 104,546,686 $ 2,824,467 $ 116,337,472 $ 87,183,915
------------ ---------------- -------------- ------------- ------------
Total Purchased.......................... 65,114,723 104,546,686 2,824,467 116,337,472 87,183,915
Shares Redeemed.......................... (67,316,645) (102,614,106) (2,692,114) (91,977,968) (86,884,020)
------------ ---------------- -------------- ------------- ------------
Net Shares Purchased (Redeemed).......... $ (2,201,922) $ 1,932,580 $ 132,353 $ 24,359,504 $ 299,895
============ ================ ============== ============= ============
<CAPTION>
BIO-
TECHNOLOGY ELECTRONICS
FUND FUND
------------- -------------
<S> <C> <C>
Shares Purchased......................... $ 275,824,051 $ 337,795,310
------------- -------------
Total Purchased.......................... 275,824,051 337,795,310
Shares Redeemed.......................... (270,411,242) (339,676,387)
------------- -------------
Net Shares Purchased (Redeemed).......... $ 5,412,809 $ (1,881,077)
============= =============
</TABLE>
57
<PAGE>
RYDEX SERIES TRUST
NOTES TO FINANCIAL STATEMENTS (CONTINUED)
- --------------------------------------------------------------------------------
- --------------------------------------------------------------------------------
8. NET ASSETS
Certain adjustments have been made to the components of net assets to reflect
temporary and permanent differences in the recognition and timing of net
investment income, realized capital gains (losses), and distributions.
At September 30, 1999, net assets consisted of: (Unaudited)
<TABLE>
<CAPTION>
FINANCIAL HEALTH BASIC
ENERGY SERVICES CARE TECHNOLOGY MATERIALS
FUND FUND FUND FUND FUND
----------- ----------- ------------ ------------ ------------
<S> <C> <C> <C> <C> <C>
Paid-In-Capital.......................................... $ 6,599,089 $21,217,920 $ 29,081,897 $174,507,865 $ 7,494,083
Undistributed Net Investment Income (Loss)............... 97,021 (5,762) (85,691) (523,072) 228,527
Accumulated Net Realized (Loss) on Investments........... (3,237,650) (6,738,512) (12,864,121) (11,141,986) 36,855
Net Unrealized Appreciation on Investments............... 1,082,649 675,132 452,909 9,568,006 251,964
----------- ----------- ------------ ------------ ------------
Net Assets............................................... $ 4,541,109 $15,148,778 $ 16,584,994 $172,410,813 $ 8,011,429
=========== =========== ============ ============ ============
</TABLE>
<TABLE>
<CAPTION>
CONSUMER TELE-
PRODUCTS LEISURE RETAILING COMMUNICATIONS TRANSPORTATION
FUND FUND FUND FUND FUND
----------- ----------- ------------ --------------- --------------
<S> <C> <C> <C> <C> <C>
Paid-In-Capital..................................... $ 3,954,387 $ 5,056,414 $ 59,895,730 $ 81,077,503 $ 8,785,516
Undistributed Net Investment Income (Loss).......... (33,598) (23,343) (35,612) (116,933) (29,174)
Accumulated Net Realized (Loss) on Investments...... (3,664,716) (1,796,809) (2,542,404) (3,418,252) (3,096,462)
Net Unrealized Appreciation on Investments.......... 31,871 138,435 598,442 4,654,978 45,054
----------- ----------- ------------ --------------- -------------
Net Assets.......................................... $ 287,944 $ 3,374,697 $ 57,916,156 $ 82,197,296 $ 5,704,934
=========== =========== ============ =============== =============
</TABLE>
<TABLE>
<CAPTION>
ENERGY BIO- PRECIOUS
SERVICES BANKING TECHNOLOGY ELECTRONICS METALS
FUND FUND FUND FUND FUND
----------- ----------- ------------ ------------ ------------
<S> <C> <C> <C> <C> <C>
Paid-In-Capital.......................................... $40,906,053 $12,414,055 $ 56,916,210 $ 36,946,532 $ 97,598,488
Undistributed Net Investment Income (Loss)............... (208,612) 27,085 (598,272) (494,837) (75,825)
Accumulated Net Realized (Loss) on Investments........... (23,530,942) (5,104,149) (18,191,897) (3,682,977) (51,914,480)
Net Unrealized Appreciation on Investments............... 7,273,209 78,738 16,376,244 18,940,681 8,936,578
----------- ----------- ------------ ------------ ------------
Net Assets............................................... $24,439,708 $ 7,415,729 $ 54,502,285 $ 51,709,399 $ 54,544,761
=========== =========== ============ ============ ============
</TABLE>
58
<PAGE>
RYDEX SERIES TRUST
NOTES TO FINANCIAL STATEMENTS (CONCLUDED)
- --------------------------------------------------------------------------------
- --------------------------------------------------------------------------------
9. LOSS CARRYFORWARD - FEDERAL INCOME TAX
At March 31, 1999, for Federal income tax purposes, the following funds have
capital loss carryovers which may be applied against future net taxable realized
gains of each succeeding year until the earlier of its utilization or
expiration.
<TABLE>
<CAPTION>
BASIC ENERGY
MATERIALS SERVICES
EXPIRES MARCH 31 FUND FUND
- ---------------- --------- ----------
<S> <C> <C>
2007........................................................ $401,329 $2,179,223
</TABLE>
59
<PAGE>
ENERGY FUND
FINANCIAL SERVICES FUND
HEALTH CARE FUND
TECHNOLOGY FUND
BASIC MATERIALS FUND
CONSUMER PRODUCTS FUND
LEISURE FUND
RETAILING FUND
TELECOMMUNICATIONS FUND
TRANSPORTATION FUND
ENERGY SERVICES FUND
BANKING FUND
BIOTECHNOLOGY FUND
ELECTRONICS FUND
PRECIOUS METALS FUND
THIS REPORT AND THE FINANCIAL STATEMENTS CONTAINED HEREIN ARE SUBMITTED FOR THE
GENERAL INFORMATION OF OUR SHAREHOLDERS. THE REPORT IS NOT AUTHORIZED FOR
DISTRIBUTION TO PROSPECTIVE INVESTORS UNLESS PRECEDED OR ACCOMPANIED BY AN
EFFECTIVE PROSPECTUS.
RYDEX SERIES TRUST
6116 Executive Blvd., Suite 400
Rockville, MD 20852
(301) 468-8520 (800) 820-0888
www.rydexfunds.com
ADVISOR CLASS SHARES ARE DISTRIBUTED BY
PADCO FINANCIAL SERVICES, INC.
[LOGO]
RYDEX SERIES TRUST
SECTOR FUNDS
SEMI-ANNUAL REPORT
SEPTEMBER 30, 1999
ENERGY FUND
FINANCIAL SERVICES FUND
HEALTH CARE FUND
TECHNOLOGY FUND
BASIC MATERIALS FUND
CONSUMER PRODUCTS FUND
LEISURE FUND
RETAILING FUND
TELECOMMUNICATIONS FUND
TRANSPORTATION FUND
ENERGY SERVICES FUND
BANKING FUND
BIOTECHNOLOGY FUND
ELECTRONICS FUND
PRECIOUS METALS FUND
