<PAGE>
Janus Aspen Growth Portfolio Portfolio Manager, James P. Craig
Performance Review
The first half of 1996 witnessed a substantial increase in market
volatility. Interest rates moved higher on signs of stronger
economic growth, putting pressure on stocks. The uncertain
outlook for corporate earnings was another factor driving the
increased fluctuation in stock prices. Investor expectations
were extremely high after three years of record corporate
profits, and there was concern this years earnings might not keep
pace. Inflation remained low, however, and on the whole stocks
proved resilient. The S&P 500 Index posted a record in mid-May
and finished the first six months ended June 30, 1996 with a gain
of 10.09%. The Janus Aspen Growth Portfolio outperformed the
Index, gaining 10.79%.* Both returns include reinvested
dividends.
The Portfolio was able to outperform the S&P Index in part
because our investments in large, quality growth stocks were
rewarded. The companies we favor, those with more predictable
long-term earnings than the general equity universe, received a
better premium. When the outlook for corporate earnings became
uncertain, the market was willing to pay up for more consistent
earnings streams.
Our investments in companies with significant share repurchase
plans also contributed to performance. More investors recognized
the effectiveness of stock repurchase in creating shareholder
value. And finally, the strong money flows into the Portfolio
allowed us to be patient in finding values. We also attempted to
use market volatility to establish or build positions at better
prices when we found the right opportunity.
Returns were held back when we took losses on IBM and British
pharmaceutical manufacturer Glaxo Wellcome Holdings. SAP, a
German developer of integrated business software, was also down
during the period.
The Portfolio
Equity holdings increased from 81% when the year began, to 84% on
June 30. This reflects our positive outlook on individual growth
stocks. The Portfolios ten largest holdings were 29.2% of assets
at the end of the period, up from 28% on December 31, 1995.
Approximately 11.9% of the Portfolio was invested abroad,
compared to 13% at year end 1995.
<PAGE>
Portfolio Themes
Share Repurchase. Companies with excess cash flow - more money
than they can prudently invest in their own business - are buying
back and retiring stock. We believe stock repurchase programs
are often a better means of returning value to shareholders than
dividends, which are taxable. Repurchasing stock increases the
value of each remaining share and can also help stabilize the
stock price by creating a consistent source of demand. Citicorp,
Wells Fargo, First Data Corporation, United Technologies, and
Hercules are among those holdings with stock repurchase programs.
Banking. Better operating discipline and a focus on niche, high-
profit businesses continue to spark our interest in Citicorp and
Bank of New York. Wells Fargo, which recently acquired First
Interstate, will unite one of the premier commercial and consumer
lenders in California (Wells Fargo) with one of the premier
deposit gatherers (First Interstate). Wells Fargo has been
extremely innovative in developing low-cost banking services,
including branches in supermarkets and an extensive electronic
banking system. The newly combined bank should have both a lower
cost-of-funds for its loan accounts and a more efficient
administrative cost structure.
Business Services Outsourcing. Using outside specialists to
perform functions such as data processing, computer operations,
and personnel is a trend we recognized early. Electronic Data
Systems (EDS, formerly General Motors E), First Data, and
Computer Sciences are data and information processors that have
developed market franchises. Alco Standard provides copying and
other office equipment and services. Robert Half International
is a provider of temporary personnel.
Technology. We took advantage of a breakdown in technology
prices during the half to establish positions in several large
equipment companies that have built dominant franchises. Of
special note is Cisco Systems, a very successful developer and
marketer of equipment that allows large networks to communicate.
Cisco's revenues are growing at 83% annually, with earnings
growth of 67%. Operations at Cisco are lean and very well-
managed. The company has also aggressively acquired other
equipment manufacturers whose products expand or complement its
business.
Pharmaceuticals. We sold Astra and Amgen after these stocks
generated good gains. We continue to hold a number of companies
with excellent product lines. These include Eli Lilly, which has
new drugs to treat schizophrenia and severe coronary disease, as
well as Pfizer, Roche, Johnson and Johnson, and SmithKline
Beecham.
<PAGE>
Going Forward
The rise in interest rates has taken away some of the tail wind
that had been driving the equities markets. However, as long as
inflation stays at low-impact levels and economic growth is
moderate, we should be able to generate good returns through
careful stock selection and by taking advantage of the
opportunities that fear and greed can create in a volatile market
environment.
Thank you for your investment in Janus Aspen Growth Portfolio.
___________________________
*Index and Portfolio returns include reinvested dividends. The
Portfolio's securities may differ significantly from the
securities in the index. Index returns do not include taxes on
dividends and interest payments, or operating expenses necessary
to maintain a portfolio consisting of the same securities that
are in the index. The Portfolio's return does not reflect the
charges and expenses of any particular insurance product.
<PAGE>
Janus Aspen Aggressive Growth
Portfolio Portfolio Manager, James P. Goff
Performance Review
In the first half of 1996, the stock market experienced increased
volatility. The greater fluctuation in prices was occasioned by
a rise in interest rates and uncertainty about the rate of
economic growth. Investors were concerned that a pickup in
economic growth might cause inflation to accelerate. There was
also some concern that corporate earnings, which have set records
over the past few years, might come in below expectations this
year. We are changing the benchmark Index for the Fund from the
S&P 500 Index to the S&P 400 Mid-Cap Index, which better reflects
the securities the Fund holds. We will continue to quote both
Indexes until fiscal year end, however. In spite of investor
uncertainty, the S&P 500 Index hit a new record in mid-May, and
managed a gain of 10.09% for the first half of the year ended
June 30, 1996. The S&P 400 returned 9.21% during the same
period. Janus Aspen Aggressive Growth Portfolio outperformed the
Indexes, gaining 11.86%.* All returns include reinvested
dividends.
Good stock selection allowed the Portfolio to outdistance the
Index. Our eclectic, stock-by-stock investment approach has
brought together a diverse array of high-growth, well-managed
companies. Hotel franchiser HFS, Wisconsin Central Railroad,
British pub chain J.D. Wetherspoon, cellular provider Millicom
International, Family Golf Centers, and packager Sealed Air were
among the standouts. These stocks - and others - gained 20% to
50% in the last six months.
We are not afraid to take large positions in our best ideas, and
this strategy, though relatively aggressive, bolstered returns.
It did not hurt either that small- and mid-cap stocks registered
excellent gains for much of the period.
Positions that did not work during the first half included Arch
Communications, General Nutrition Centers, and Exide.
The Portfolio
As of June 30, the Portfolio was 97.4% invested in equities,
versus 94.4% when the year began, which reflects the many
excellent individual ideas our research team continued to
uncover. Foreign securities accounted for 14.6% of holdings, up
from 5% at the end of 1995. Foreign holdings are predominantly
in Europe. The ten largest positions were 45.7% of assets,
versus 48% at the end of 1995.
<PAGE>
Portfolio Themes
Wireless Communications. Strong demand for cellular and paging
services, in rural as well as urban areas, is driving earnings at
Paging Network, Arch Communications, Millicom International, and
CommNet Cellular. CommNet focuses on rural communications and is
somewhat immunized from PCS (personal communications systems)
competition by urban servicers, who must concentrate on areas
with greater population density.
Business Services - Outsourcing. Contracting with outside
vendors to perform data processing and other specialized
functions is a booming business and cuts across a variety of
industries. First Data in credit card transaction processing,
Medaphis in accounting and billing functions, Rentokil in
environmental and maintenance services, and Trigen Energy in
industrial power are all beneficiaries of this trend. Profit
Recovery Group, a new addition, audits receivables and invoices
to be sure clients receive appropriate discounts and are not
otherwise overpaying vendors.
Pharmaceuticals. New drug delivery systems can increase the
convenience and efficacy of existing compounds while reducing
side effects. This has proven especially true in certain cancer
protocols. Although we sold our position in R.P. Scherer, we
have significant holdings in TheraTech, Matrix Pharmaceuticals,
and DepoTech.
Diverse Retailers. These companies dominate niche markets. J.D.
Wetherspoon owns a chain of British pubs; Petco retails pet
supplies; Papa John's sells and delivers pizzas; CUC
International manages discount membership clubs; Fastenal sells
tools, fasteners and other industrial products; and Grand Optical
operates photo development and prescription eyeglass outlets in
France.
Portfolio Strategy
We intend to monitor the interest rate picture closely, but our
major focus remains on building the portfolio with individual
companies that can capitalize on attractive opportunities for
growth. We will try to take advantage of the current market
volatility to establish or add to stock positions at lower
prices.
We appreciate your continued investment in Janus Aspen Aggressive
Growth Portfolio.
<PAGE>
___________________________
*Index and Portfolio returns include reinvested dividends. The
Portfolio's securities may differ significantly from the
securities in the index. Index returns do not include taxes on
dividends and interest payments, or operating expenses necessary
to maintain a portfolio consisting of the same securities that
are in the index. The Portfolio's return does not reflect the
charges and expenses of any particular insurance product.
1
<PAGE>
Janus Aspen International Growth
Portfolio Portfolio Manager, Helen Young Hayes
Performance Review
Janus Aspen International Growth Portfolio performed well during
the six months ended June 30, 1996, gaining 21.46%,* versus a
gain of 4.25% for the Morgan Stanley EAFE Index. Both returns
are with net dividends reinvested.(1)
Good individual stock selection was the primary reason the
Portfolio outperformed the EAFE Index by such a wide margin. A
diverse group of companies, both in terms of industries and
geographical regions, produced exceptional results. Assa-Abloy,
J.D. Wetherspoon, SGL Carbon, Securitas, Nutricia, Millicom
International, WM-Data, Getronics, Frontec, and Ciba-Geigy all
appreciated 30% or more. Medical and pharmaceutical products
manufacturer Fresenius was the star achiever, up 90%.
Performance was also helped by the flow of new monies into the
Portfolio. This allowed me to be patient in establishing or
adding to positions, and to use market volatility in the U.S. to
purchase stocks at better prices.
Constraining performance were Swiss pharmaceutical giant Roche,
which was flat during the period, and Japanese long-distance
provider NTT Data, which declined. Positions in Philippine Long
Distance and IBM were sold at losses.
International Markets. Many of the individual countries where we
have substantial investments produced good returns. These
included France, Germany, Sweden, Indonesia, Japan, and the
Netherlands. A number of these markets hit new highs. In Latin
America and the Far East, growth began to pick up - in countries
like Japan and Mexico it returned from very depressed levels -
and these markets responded to better business prospects.
The stronger dollar continued to help the export outlook in many
regions: The more the dollar is worth the more expensive (and
less competitive) U.S. goods are overseas. European markets
performed well largely because interest rates declined in the
face of slow growth. Several positive business trends are
emerging in Europe. Two of the more exciting are: consolidation,
especially in the pharmaceutical industry, which should produce
more competitive companies globally; and a new focus on profits
and adding shareholder value on the part of European management.
<PAGE>
The Portfolio
The Portfolio was 77% invested in equities at the end of June,
with 57.5% of assets invested in Europe, 13.4% in the Pacific
Rim, and only 3.9% in the U.S. The five countries where we have
the largest investments totaled 46.6% of assets. (A list of
countries where we are invested can be found on page 15 following
the Schedule of Investments.) Our investment in Japan was
reduced from 21.6% of assets to 8.4% during the period. The
Japanese market appreciated substantially, and a number of
holdings reached our price targets. On June 30, the ten largest
holdings made up 18.9% of Portfolio assets.
Portfolio Themes
Information Technology. This encompasses a wide range of
technology and software companies that are capitalizing on the
automation of corporate infrastructure. JBA Holdings and SAP
develop and market fully integrated business software
applications packages. Getronics, WM-Data, and Frontec are
software consulting firms that design and implement networks and
other systems.
Telecommunications. Cellular services is an underpenetrated
market worldwide. We sold DDI, the Japanese long-distance
provider, but still own Kinnevik, Millicom International, Korea
Mobile Telecom, and Telefonica Argentina, among others.
Outsourcing. Farming out complex functions to outside vendors
continues to expand as a business practice because it is cost-
effective. In Japan, NTT Data Communications provides large data
processing networks. Securitas in Sweden has captured the high
end of the security personnel market. New addition Rentokil has
built a large, profitable business by supplying prosaic services
such as plant maintenance, pest control, and hygiene services.
Pharmaceuticals. We own a diverse group of drug developers in
order to take advantage of the many new exciting compounds
currently being tested. In Europe, we hold SmithKline Beecham,
Roche, and Ciba-Geigy, whose merger with Sandoz should result in
substantial cost savings. Astra was trimmed. In the U.S., Eli
Lilly is testing new treatments for schizophrenia and acute
cardiovascular disease.
Special Situations. These stocks have individual catalysts
driving their earnings. Assa-Abloy is a Swedish maker of high-
and low-tech security devices. SGL Carbon makes graphite
electrodes for the steel industry. Nutricia, a Dutch maker of
infant formula, is growing via shrewd acquisitions. German
conglomerate Hoechst has established performance incentives for
management and is focusing on its higher-margin business. New
<PAGE>
management at Adidas, a German athletic footwear and apparel
manufacturer, is recapturing market share.
International Strategy
Foreign markets and economies continue to expand and generate
good returns. Currently I am finding many interesting growth
ideas as overseas markets in both mature and emerging economies
become more sophisticated and less regulated.
Thank you for your continued investment in Janus Aspen
International Growth Portfolio.
___________________________
*Index and Portfolio returns include reinvested dividends. The
Portfolio's securities may differ significantly from the
securities in the index. Index returns do not include taxes on
dividends and interest payments, or operating expenses necessary
to maintain a portfolio consisting of the same securities that
are in the index. The Portfolio's return does not reflect the
charges and expenses of any particular insurance product.
(1) Net dividends reinvested are the dividends that remain to be
reinvested after foreign tax obligations have been met. Such
obligations vary from country to country. EAFE stands for
Europe, Australasia, and the Far East. Neither the U.S. market
nor the emerging markets of Latin America and Eastern Europe are
represented in EAFE.
2
<PAGE>
Janus Aspen Worldwide Growth
Portfolio Portfolio Manager, Helen Young Hayes
Performance Review
Many foreign markets registered significant returns during the
first half of the year ended June 30, 1996. Janus Aspen
Worldwide Growth Portfolio gained 20.32%* for the period, nicely
outperforming the Morgan Stanley Capital International World
Index, which gained 7.08%. Both returns include net dividends
reinvested.(1)
Once again, stockpicking made the difference in performance
between the Portfolio and the Index. Our best performers were a
diverse group. A sampling includes British pub chain J.D.
Wetherspoon, cellular provider Millicom International, German
electrode manufacturer SGL Carbon, Swedish security device
manufacturer Assa-Abloy, and computer consultant WM Data. All
were up more than 40%. A new addition, Finnish food and chemical
conglomerate Raision Tehtaat, was the standout, gaining over 70%.
On the minus side, SAP and Swiss pharmaceutical giant Roche,
which have been terrific performers in the past, were flat during
the period, and Japanese long distance provider NTT Data
Communications declined. We took losses in Indonesian Satellite
and IBM.
Global Markets. European markets were sparked by a decline in
interest rates. Despite the rise in the dollar, which
strengthened the European export picture, many of those economies
remained weak, inhibited by high unemployment and government
regulation. One very positive development is that more European
companies are beginning to model operations on the United States.
Business is becoming more performance-driven, and management now
has incentives that emphasize profits and attention to
shareholder value.
In the Far East and in emerging economies such as Latin America,
growth picked up during the period. Japan, which has been in
deep recession, began growing in earnest. Markets in these
regions responded positively to a better business climate.
Composition of the Portfolio
As of June 30, the Portfolio was 89.1% invested in equities, up
from 82% when the year began. The cash position reflects strong
cash flows into the Portfolio, which I have been patient in
deploying. Foreign stocks accounted for 82.3% of assets at
period end, with 60.4% invested in Europe, 14.0% invested in the
Pacific Rim, and 7.8% in the U.S. Japan was 13.2% of holdings
when the year began, but dropped to 9.7%. The Japanese market
<PAGE>
appreciated substantially during the last six months and many
positions hit our price targets. (For a complete list of
countries where we are invested, please see page 19, following
the Schedule of Investments.) At the end of June, the top ten
positions made up 19.8% of Portfolio holdings.
Portfolio Themes
Pharmaceuticals. European drug companies are consolidating and
competing well globally. The merger of Sandoz and Ciba-Geigy
will generate tremendous cost savings. We also own Roche,
SmithKline Beecham, and Glaxo Wellcome. Astra was trimmed. In
the U.S., Eli Lilly is testing new treatments for schizophrenia
and acute cardiovascular disease.
Information Technology. SAP, which has developed the premier
integrated business software package, continues to benefit from
the enormous changes in corporate infrastructure. Getronics, a
Dutch computer systems integrator, and WM Data in Sweden provide
design and implementation services, primarily in Europe. MISYS
offers similar services in the United Kingdom.
Outsourcing. Outside vendors are often able to perform computer
and other services more cost-effectively than a company can
internally. Hays provides a variety of business services
internationally. NTT Data Communications is the dominant
provider of large data processing systems in Japan. Securitas is
a Swedish provider of security personnel.
Telecommunications. Demand for cellular and other
telecommunications services remains very strong overseas.
Millicom International, Korea Mobile Telecom, Asia Satellite
Telecom, Telefonica del Peru, and Kinnevik in Sweden serve
expanding global markets.
Special Situations. Hoechst, Nutricia, and Adidas have
individual catalysts that should push earnings higher. German
conglomerate Hoechst is consolidating its chemical businesses and
giving management performance incentives. Nutricia, a Dutch
maker of infant formula and clinical nutrients administered
intravenously, is expanding through smart acquisitions. Adidas
has new management and is beginning to recapture market share.
Global Strategy
At Janus, our research efforts focus on individual growth ideas
with consistent, long-term potential. We believe these companies
will generate solid investment returns no matter where they are
headquartered.
<PAGE>
Thank you for your continued investment in Janus Aspen Worldwide
Growth Portfolio.
___________________________
*Index and Portfolio returns include reinvested dividends. The
Portfolio's securities may differ significantly from the
securities in the index. Index returns do not include taxes on
dividends and interest payments, or operating expenses necessary
to maintain a portfolio consisting of the same securities that
are in the index. The Portfolio's return does not reflect the
charges and expenses of any particular insurance product.
(1) Net dividends reinvested are the dividends that remain to be
reinvested after foreign tax obligations have been met. Such
obligations vary from country to country.
3
<PAGE>
Janus Aspen Balanced
Portfolio Portfolio Manager, Blaine P. Rollins
Performance Review
Before commenting on Portfolio performance, let me take this
opportunity in my inaugural letter to thank each of you for your
investment in the Janus Aspen Balanced Portfolio. I assumed
portfolio management responsibilities from Jim Craig on
January 1, 1996. During the last six months, I have tried to
practice the same solid investment strategy, consistent with the
balanced discipline, that Jim has provided to investors since the
Portfolio's inception. I intend to pursue that discipline going
forward.
In the first half of 1996, the stock market experienced increased
price volatility, but the S&P 500 Index recorded a new record in
May, and was up 10.09% as of June 30. Bonds struggled, however,
and the Lehman Brothers Government/Corporate Bond Index lost
1.88%. The Janus Aspen Balanced Portfolio returned a very
respectable 6.53%.* All returns include reinvested dividends.
The markets increased volatility was sparked by higher interest
rates and uncertainty over the strength of corporate earnings.
The Portfolio's performance relative to the two Indexes is
attributable to the strong returns generated by our equity
holdings. In times of uncertainty, investors often afford a
premium to stable growth stocks, which make up the bulk of the
Portfolio's equity sector. The earnings of these stocks tend to
be more predictable than most companies in the broad market. In
addition, the strong influx of cash during the period allowed me
to make purchases very selectively. I tried to be patient and
use market volatility to purchase my best ideas at better prices.
We took a loss in IBM, however, when pricing in the computer
mainframe market did not prove as strong as our original
estimates indicated. Food producer Kellogg and pharmaceutical
maker SmithKline Beecham were also down moderately.
But overall, my greatest challenge during the first half was
responding to the rise in interest rates. Higher rates resulted
from investors' concerns about the strength of economic growth
and the possibility that stronger growth might push up the rate
of inflation. Although inflation remained benign, rising rates
made things difficult for our five-year fixed-income securities,
even though yields in this area remained very competitive with
long bonds.
<PAGE>
Portfolio Composition
Fixed-Income. As of June 30, the fixed-income portion of the
Portfolio was roughly 39.8% of assets, versus 43% at the end of
1995, and had a weighted average maturity of approximately 5
years. Maturities were kept short in an effort to lower
portfolio volatility in an uncertain rate environment.
Investment-grade corporate bonds were reduced, and I added a
modest percentage (4.4%) of high-yield/high-risk (junk) bonds.
Names in the high-yield category, such as Heritage Media and
First Nationwide, are well-known to Janus from both our equity
and fixed-income research. A modest position in German and
Canadian bonds also provided additional yield.
Equities. The equity portion of the Portfolio was 50.3% of
assets at the end of June, versus 48% at year-end 1995. The
largest ten positions made up 22.8% of Portfolio assets.
Equity Portfolio Themes
Stock Repurchase. We continue to favor companies that generate
exceptional profits, invest their cash wisely, and are dedicated
to enhancing shareholder value, either by returning excess cash
to shareholders in the form of dividends, or better yet, by
repurchasing substantial quantities of the company's stock.
Wells Fargo, Citicorp, Kellogg, Bank of New York, and Electronic
Data Systems (EDS, formerly General Motors E) are all well-run
companies pursuing this strategy.
Banking and Financial Services. The synergies created in
selected bank consolidations, combined with a broad industry move
toward greater efficiency and higher margins, should provide
Wells Fargo with exceptional growth rates. Bank of New York is
taking market share in the securities processing business, and
Citicorp has a powerful international franchise that is driving
growth. Associates First Capital Corporation is the old Ford
Motor Credit. It is conservatively run and one of the highest
quality companies to come public in a long time.
Business Services - Outsourcing. The farming out (or
outsourcing) of data processing, computer operations, and other
functions to outside vendors is expanding globally. EDS, First
Data, Computer Sciences, and Robert Half International are all
benefiting. Robert Half, for example, is an extremely well-
managed company that is growing revenues at 30% plus. It has
targeted the high-end of the temporary personnel market and
provides professionals in accounting, legal, and computer
operations. Margins are more than twice the industry standard
and the company is rapidly lowering debt with its excess cash.
<PAGE>
The Balanced Strategy
The uncertain outlook for interest rates is currently dictating a
conservative fixed-income strategy. Our growth stocks should
make progress, however, if inflation remains low and economic
growth is moderate. We are very excited about the good companies
we hold in the portfolio, and are also encouraged by the
compelling individual growth ideas our investment staff continues
to find.
Once again, thank you for your continued investment in Janus
Aspen Balanced Portfolio.
___________________________
*Index and Portfolio returns include reinvested dividends. The
Portfolio's securities may differ significantly from the
securities in the index. Index returns do not include taxes on
dividends and interest payments, or operating expenses necessary
to maintain a portfolio consisting of the same securities that
are in the index. The Portfolio's return does not reflect the
charges and expenses of any particular insurance product.
4
<PAGE>
Janus Aspen Flexible Income
Portfolio Portfolio Manager, Ronald V. Speaker
Performance Review
During the first half of the year ended June 30, 1996, the Janus
Aspen Flexible Income Portfolio outperformed the Lehman
Government/Corporate Bond Index, gaining 1.01%,* versus a loss of
1.88% for the Lehman Index. Both returns included reinvested
dividends.
Diversity is Janus Aspen Flexible Income Portfolio's greatest
asset, and was the major reason we outperformed the Index in an
especially difficult rate environment. The Portfolio invested in
a range of fixed-income securities, including investment-grade
corporate and high-yield/high-risk (junk) bonds.
Unfortunately the overall bond market was very weak during the
first six months of 1996. Rising interest rates pushed most bond
prices lower as the economy rebounded from the depressed levels
of the last quarter of 1995.
Portfolio Strategy
The renewed economic strength took many in the bond market by
surprise. Until January, expectations were skewed toward lower
rates. When rates began to rise, our response was to reduce
holdings in investment-grade bonds, especially in the 30-year
area, which is the most sensitive to interest rate changes. We
also reduced the Portfolio's weighted average maturity from 13.1
years when the period began, to 7.4 years as of June 30. Average
modified duration (a theoretical measure of price volatility) was
4.5 years, and 30-day yield stood at 7.61%. The average rating
of all securities in the portfolio was BBB+.
Overall our strategy was to reduce interest rate risk and raise
credit risk by increasing holdings in high-yield bonds. In a
healthy economy these bonds tend to outperform other sectors of
the market because the firms that issue high-yield bonds have a
better opportunity to improve their financial condition.
Generous yields also can cushion prices against declines when
interest rates are rising. As a result of these factors, the
high-yield sector turned in a very strong performance during the
six months.
<PAGE>
Portfolio Asset Mix
As of June 30, the portfolio was positioned as follows:
Investment-Grade Corporate Bonds 25%
High-Yield/High-Risk Bonds 47%
U.S. Government Bonds 8%
Cash 20%
Portfolio Holdings
The Fund's largest weighting was in high-yield bonds. Holdings
were highly diversified over both companies and industries, from
food and supermarket chains to cellular communications and
gaming. Prominent issuers included Majestic Star Casino (gaming),
NeoData Services (data processing), and Weirton Steel.
Although investment-grade corporate holdings were reduced
somewhat, high-quality banks and financial institutions are still
widely represented. Bank of Boston, First Union, and Chase
Manhattan were significant positions. We also held Ford Motor
Credit, GMAC, Ralston Purina, and TCI Communications.
U.S. Treasury issues were reduced and maturities shortened to
under 10 years.
Finally, we sold a modest position in German government bonds.
Going Forward
At present, the interest rate environment is uncertain. It is
impossible to know whether the economy's strength in the first
calendar quarter of 1996 was a strong bounce from the slow growth
of the previous quarter or the beginning of a trend.
Although our current strategy is somewhat cautious, the bond
market is often self-correcting. In the first half of 1996, the
market attempted to anticipate economic strength and the
possibility of higher inflation by pushing up interest rates and
slowing economic growth. So the rate rise of early 1996 may
cause the economy to moderate in the second half of the year, and
allow rates to fall again.
As long as the economy is healthy, however, we remain positive on
the high-yield market, where the risk/reward ratio is very
attractive.
Thank you for your continued investment in Janus Aspen Flexible
Income Portfolio.
<PAGE>
___________________________
*Index and Portfolio returns include reinvested dividends. The
Portfolio's securities may differ significantly from the
securities in the index. Index returns do not include taxes on
dividends and interest payments, or operating expenses necessary
to maintain a portfolio consisting of the same securities that
are in the index. The Portfolio's return does not reflect the
charges and expenses of any particular insurance product.
5
<PAGE>
Janus Aspen High-Yield
Portfolio Portfolio Manager, Ronald V. Speaker
Performance Review
Janus Aspen High-Yield Portfolio opened on May 1, 1996. I would
like to take this opportunity to thank investors for their
initial confidence and support. During the Portfolio's inaugural
performance period the high-yield sector was one of the few
bright spots in an otherwise difficult bond market. Bonds
rallied into year-end 1995, but in January the broad market
reversed course when interest rates began to rise. The high-
yield sector parted company with the rest of the market, however,
and continued to produce positive returns. For the brief initial
performance period ended June 30, Janus Aspen High-Yield
Portfolio had a total return of 2.80%,* compared to a total
return of 1.44% for the Lehman Brothers High-Yield Bond Index.
Both returns include reinvested dividends.
This year's rally in high-yield bonds was precipitated by several
factors. Initially, when rates were low, investors searched for
better yields in this sector. When interest rates began to rise,
these better yields helped cushion the impact on prices.
Paradoxically, the rebound in the economy, which was the
principal reason interest rates began to move up, was good news
for high-yield securities. In a strong economy, companies that
issue high-yield bonds have a better opportunity to improve their
financial condition. Finally, the high-yield market remained
strong because a large number of attractive new offerings came to
market.
Portfolio Strategy
Our comprehensive strategy in managing the High-Yield Portfolio
is to use intensive research, much as an equity analyst would, to
find companies that have substantial asset values and a plan for
growth. Crucial to any plan is a coherent campaign to reduce
debt, or deleverage. In the course of our research we also look
to establish solid relationships with corporate management teams
in an effort to gain greater insight into the company's
operations and the dynamics of its industry.
Portfolio Composition
The Portfolio was heavily weighted in telecommunications and
gaming securities. Many telecommunications companies will be
beneficiaries of the Telecommunications Act of 1996, which
deregulates the industry and should transform a market that was
largely monopolistic into one that is more competitive. During
the period, a number of telecommunications service companies,
<PAGE>
such as NextLink and A+ Network, tapped the high-yield market to
finance construction of their systems.
The gaming market also presented substantial opportunities.
Revenue and visitor traffic is up at resorts in both Atlantic
City and Las Vegas. Hotel chains are increasingly getting
involved in the gaming business, and with the number of
participants expanding, the potential exists for a wave of
consolidation over the next few years.
As of June 30, the Portfolio had a weighted average maturity of
6.9 years, and a duration (a theoretical measure of price
volatility) of 4.4 years. The 30-day yield was 9.33%, and the
average rating of bonds in the portfolio was B+.
Going Forward
The high-yield market should continue to produce good returns
whether the economy grows moderately or somewhat faster than at
present. A growing economy is beneficial to high-yield
securities because it provides an environment where the issuing
companies can reduce debt and improve their balance sheets.
Once again, thank you for your investment in Janus Aspen High-
Yield Portfolio.
___________________________
*Index and Portfolio returns include reinvested dividends. The
Portfolio's securities may differ significantly from the
securities in the index. Index returns do not include taxes on
dividends and interest payments, or operating expenses necessary
to maintain a portfolio consisting of the same securities that
are in the index. The Portfolio's return does not reflect the
charges and expenses of any particular insurance product.
6
<PAGE>
Janus Aspen Short-Term Bond
Portfolio Portfolio Manager, Sandy R. Rufenacht
Performance Review
On May 1, I assumed portfolio management responsibilities from
Ron Speaker. Portfolio strategy will not change, however, and I
will pursue the same Portfolio objectives: competitive short-term
yields and low volatility in the Portfolio's net asset value.
During the six months ended June 30, 1996, the Janus Aspen Short-
Term Bond Portfolio gained 0.30%,* versus a gain of 1.47% for the
Lehman Brothers Government/Corporate 1-3 Year Bond Index. Both
returns include reinvested dividends.
The Portfolio underperformed the Index because the weighted
average maturity of our holdings was slightly longer than that of
the Index in a declining market. Longer maturities tend to have
greater price fluctuation, up or down, than shorter maturities.
This can boost performance in a rising market, but often
constrains results when bond prices decline.
During the first half of the year, the downturn in prices of
short-term fixed-income securities mirrored that of U.S. Treasury
and investment-grade corporate issues. Investors enjoyed a
strong market heading into 1996, but in January interest rates
began to rise sharply and continued upward into June. The rise
in interest rates was set in motion by an acceleration in
economic growth, which triggered concerns that a strong economy
might cause an increase in the rate of inflation.
Portfolio Strategy
Rising rates made for a difficult six months. We responded by
attempting to dampen the bond market's volatility and still
maintain a competitive yield.
As a result, the position in government bonds was reduced and our
holdings in investment-grade corporate bonds increased to take
advantage of better yields. A modest position (now approximately
3.5% of assets) in high-yield/high-risk (junk) bonds was also
increased. In a healthy economy, high-yield bonds tend to
perform well, because issuers have a better chance of improving
their balance sheets by lowering debt. The high yields on these
bonds also can cushion against price erosion. Both factors
worked in favor of the high-yield sector during the first six
months of 1996. The high-yield bonds proved to be one of the few
bright spots in an otherwise difficult market.
<PAGE>
Portfolio Composition
As of June 30, the Portfolio's weighted average maturity was 2.1
years, down slightly from 2.6 years when the period began.
Duration (a theoretical measure of price volatility) was 2.0
years. The Portfolio's average rating was AA-, and the average
30-day yield stood at 6.18%.
The Fund remains heavily positioned in high-quality corporate
bonds, which made up almost 60% of assets at the end of June.
Bonds in this sector are represented by familiar names such as
IBM, Lockheed Martin, and Merrill Lynch. U.S. government
holdings were just over 36% of Portfolio assets as of June 30.
Going Forward
Until we have a better idea of the growth rate of the U.S.
economy, a cautious strategy is in order. The Portfolio is
currently positioned to respond effectively to volatile market
conditions. Volatility will probably persist as long as the
general bond market is uncertain about the economic outlook for
the second half of the year.
Thank you for your investment in Janus Aspen Short-Term Bond
Portfolio.
___________________________
*Index and Portfolio returns include reinvested dividends. The
Portfolio's securities may differ significantly from the
securities in the index. Index returns do not include taxes on
dividends and interest payments, or operating expenses necessary
to maintain a portfolio consisting of the same securities that
are in the index. The Portfolio's return does not reflect the
charges and expenses of any particular insurance product.
7
<PAGE>
Janus Aspen Money Market
Portfolio Portfolio Manager, Sharon S. Pichler
Economic Perspective
During the first half of 1996 the volatility in the bond market
proved challenging. Starting in January bond prices declined
when the economy gave indications of renewed vigor. Rising
commodity prices and February's low unemployment numbers stoked
inflationary fears and kept bonds in retreat for much of the
period. The yield on the 30-year Treasury bond began the year at
5.95%, reached a high of 7.19% in mid-June, and closed the period
at 6.87%. The yield on the one-year Treasury followed suit,
beginning the year at 5.14%, peaking at 5.87% in June, and
finishing the six months at 5.68%.
As late as February, yields on overnight maturities were higher
than yields on one-year securities, which meant the yield curve
was negative, or inverted. This occurred because the Federal
Reserve Board was expected to lower short-term rates.
However, when strong economic data came out in early March, the
yield curve changed from negative to positive in the space of a
few days. One-year obligations began yielding more than
overnight securities because of the concern that the Fed would
either raise rates or at best leave them unchanged. So
investors, many of whom had been substantial buyers of one-year
paper, were now afraid to buy these securities, fearing that
rates would continue to rise and they would be locked into lower
rates.
Unfortunately, many money market funds extended portfolio
maturities in late February, just before the change in sentiment,
in the belief that rates would decline. When lower rates failed
to materialize, and the opposite occurred, these funds were stuck
with lower-yielding, long-term securities.
This is a good example of why we avoid speculating on the
direction of interest rates. Mistakes can be costly.
Portfolio Strategy
Faced with so much volatility and the rapid change in market
sentiment (which continues even as we write this commentary in
late-July), our strategy remains to emphasize overnight
obligations so long as short-term rates are competitive with six-
month and one-year rates. We are not willing to commit resources
to longer-term debt until the economic outlook becomes clearer.
This strategy enables the Portfolio to do well regardless of the
direction interest rates take. We can take advantage of
<PAGE>
competitive short-term rates without locking the portfolio into
positions where yields would underperform if the Fed decides to
raise interest rates later this year.
This approach has given us a weighted average maturity of 7 days
as of June 30, 1996.
Thank you for your investment in Janus Aspen Money Market
Portfolio.
___________________________
*A money market fund is neither insured nor guaranteed by the
U.S. government, and there can be no assurance the Portfolio will
be able to maintain a $1.00 share price.
8
<PAGE>
JANUS ASPEN GROWTH PORTFOLIO SCHEDULE OF INVESTMENTS (UNAUDITED)
Shares or
Principal Amount Market Value
________________ ____________
Common Stock - 82.0%
Aerospace and Defense - 5.0%
63,750 Boeing Co. $ 5,554,219
22,450 General Motors Corp. Class H 1,349,806
33,000 United Technologies Corp. 3,795,000
_________
10,699,025
Auto and Truck - 1.7%
54,025 General Motors Corp. 2,829,559
27,000 Honda Motor Co.** 698,933
_________
3,528,492
Auto Parts - Original Equipment 0.6%
26,900 Magna International, Inc. Class A 1,237,400
Beverages - 1.0%
20,450 Coca-Cola Femsa S.A. (ADR) 585,381
36,175 Panamerican Beverages, Inc.
Class A (ADR) 1,618,831
_________
2,204,212
Broadcasting, Radio and Television - 0.4%
20,000 Heritage Media Corp. Class A* 797,500
Chemicals - 3.6%
13,275 Cytec Industries, Inc.* 1,135,013
24,175 Grace (W.R.) & Co. 1,713,403
14,925 Hercules, Inc. 824,606
50,000 Monsanto Co. 1,625,000
22,650 Praxair, Inc. 956,963
43,750 Witco Corp. 1,503,906
_________
7,758,891
<PAGE>
Commercial Services - 3.6%
1,217 Adia S.A. 305,051
10,247 Hays PLC** 72,178
16,900 Manpower, Inc. 663,325
775 Medaphis Corp.* 30,806
26,800 Olsten Corp. 787,250
32,750 Omnicare, Inc. 867,875
336,169 Rentokil Group PLC** 2,130,598
103,100 Robert Half International, Inc.* 2,873,913
_________
7,730,996
Computers - 0.5%
20,000 Sun Microsystems, Inc.* 1,177,500
Computers - Communications Equipment 0.9%
26,225 Electronics for Imaging, Inc.* 1,819,359
Computers - Peripheral Equipment - 2.1%
80,525 Cisco Systems, Inc.* 4,559,728
Electrical Equipment - 0.4%
20,725 UCAR International, Inc.* 862,678
Electronics - 1.0%
30,675 Pittway Corp. Class A 1,426,388
18,175 Sundstrand Corp. 665,659
_________
2,092,047
Financial - Bank Commercial - 5.1%
3,096 Banco Popular Espanol S.A. 551,581
14,200 Corestates Financial Corp. 546,700
23,350 First Chicago NBD Corp. 913,569
36,800 Wells Fargo & Co. 8,790,600
__________
10,802,450
<PAGE>
Financial - Bank Money Center - 5.8%
109,100 Bank of New York Co., Inc. $ 5,591,375
98,447 Barclays PLC** 1,179,921
67,025 Citicorp 5,537,941
___________
12,309,237
Financial - Savings/Loan/Thrift - 0.2%
29,675 HFNC Financial Corp. 487,783
Financial Services - 0.4%
26,000 Federal National Mortgage Association 871,000
Food Processing - 1.8%
29,700 Campbell Soup Co. 2,093,850
23,250 Kellogg Co. 1,703,063
_________
3,796,913
Furniture and Home Appliances - 0.2%
18,425 Singer Co. N.V. (The) 373,106
Holding Companies - Diversified - 0.6%
15,000 Textron, Inc. 1,198,125
Household Products - 0.4%
3,650 Colgate-Palmolive Co. 309,338
15,000 Newell Co. 459,375
_______
768,713
Insurance - Life - 3.0%
21,450 Conseco, Inc. 858,000
20,000 Protective Life Corp. 702,500
76,600 UNUM Corp. 4,768,350
_________
6,328,850
Insurance - Multiline - 0.4%
21,012 Travelers Group, Inc. 958,695
<PAGE>
Leisure Time - 0.7%
24,955 Coleman Co., Inc.* 1,057,468
30,500 International Game Technology 514,688
_________
1,572,156
Lodging - 0.3%
21,000 Extended Stay America, Inc. 661,500
Machine - Diversified - 0.1%
5,000 Dover Corp. 230,625
Medical - Biotechnology - 0.4%
15,675 Medtronic, Inc. 877,800
Medical - Hospital Management Services - 0.1%
6,175 HEALTHSOUTH Corp.* 222,300
Medical - Supplies - 2.2%
20,000 Baxter International, Inc. 945,000
43,825 Boston Scientific Corp.* 1,972,125
12,250 Luxottica Group S.p.A. (ADR) 898,844
18,125 Nellcor Puritan Bennett, Inc.* 879,063
________
4,695,032
Mining - 0.6%
35,975 Minerals Technologies, Inc. 1,232,144
Miscellaneous - Business Credit - 0%
1,975 AT&T Capital Corp. 86,406
Miscellaneous - Distribution and Wholesale - 1.7%
50,000 Cardinal Health, Inc. 3,606,250
See Notes to Schedules of Investments
9
<PAGE>
Miscellaneous - Manufacturing - 0.5%
18,075 AlliedSignal, Inc. $ 1,032,534
Office and Business Equipment - 1.7%
24,875 Danka Business Systems PLC (ADR) 727,594
26,541 Oce-Van Der Grinten N.V.** 2,808,341
_________
3,535,935
Oil and Gas - Exploration - 0.5%
22,000 Triton Energy Corp.* 1,069,750
Packaging and Containers - 0.3%
20,850 Sealed Air Corp.* 701,081
Personal Credit - 1.6%
89,600 Associates First Capital Corp.* 3,371,200
Pharmaceuticals - 7.8%
22,125 Centocor, Inc.* 660,984
76,050 Eli Lilly & Co. 4,943,250
37,422 Glaxo Wellcome PLC** 503,092
2,325 Glaxo Wellcome PLC (ADR)** 62,194
42,800 Johnson & Johnson 2,118,600
54,625 Pfizer, Inc. 3,898,859
297 Roche Holding A.G. 2,263,004
41,700 SmithKline Beecham PLC
Class A (ADR)** 2,267,438
_________
16,717,421
Publishing - Newspaper - 0.1%
2,925 Reuters Holdings PLC (ADS)** 212,063
Publishing and Printing - 1.4%
26,469 Wolters Kluwer N.V.** 3,003,700
<PAGE>
Retail - Department Stores - 0.2%
46,100 Cifra S.A. de C.V. Class C* 65,778
13,000 Credit Saison Co., Ltd.** 314,009
_______
379,787
Retail - Special Line - 0.2%
80,811 Pagnossin S.p.A.* 468,061
Services - Amusement and Recreation - 0.4%
32,450 Grand Casinos, Inc. 835,587
Services - Computer Integrated
Systems Design - 2.7%
67,825 Computer Sciences Corp.* 5,069,919
15,050 Parametric Technology Co.* 652,794
_________
5,722,713
Services - Computer Processing
and Data Preparation - 4.8%
112,400 First Data Corp. 8,949,850
29,350 SunGard Data Systems, Inc.* 1,177,669
_________
10,127,519
Services - Computer Programming
and Data Processing - 4.4%
158,675 Electronic Data Systems Corp. 8,528,781
28,450 GTech Holdings Corp. 842,831
_________
9,371,612
Services - Hotels and Motels - 1.0%
50,325 Circus Circus Enterprises, Inc.* $ 2,063,325
Services - Prepackaged Software - 1.0%
29,950 Computer Associates
International, Inc. 2,133,938
<PAGE>
Telecommunications - 3.2%
25,000 360 Degrees Communications Co. 600,000
119,575 MFS Communications Co., Inc.* 4,499,009
35,000 Paging Network, Inc.* 840,000
50,000 Teleport Communications
Group, Inc.* 956,250
_________
6,895,259
Telecommunications Equipment - 0.8%
47,275 U.S. Satellite Broadcasting Co., Inc.* 1,784,631
Textiles - 0.1%
5,975 Cintas Corp. 319,663
Toys - 0.3%
23,225 Mattel, Inc. 664,816
Transportation - Airlines - 0.8%
17,675 AMR Corp.* 1,608,425
Transportation - Railroad - 1.1%
29,343 Burlington Northern Santa Fe Corp. 2,373,115
Utilities - Telecommunications - 0.4%
15,050 Cincinnati Bell, Inc. 784,481
Wholesale - Special Line - 1.9%
89,950 Alco Standard Corp. 4,070,238
Total Common Stock (cost $152,293,224) 174,793,767
Preferred Stock - 1.5%
Services - Computer Processing
and Data Preparation - 1.5%
21,250 SAP A.G.** (cost $2,253,224) 3,148,303
<PAGE>
U.S. Government Agencies - 11.3%
Federal Home Loan Bank System
$14,100,000 5.52%, 7/1/96 14,100,000
Federal Home Loan Mortgage Corp.
10,000,000 5.24%, 7/15/96 9,979,622
Total U.S. Government Agencies
(amortized cost $24,079,622) 24,079,622
Short-Term Corporate Notes - 4.7%
Wal-Mart Stores, Inc.
10,000,000 5.32%, 7/10/96
(amortized cost $9,986,700) 9,986,700
Total Investments 99.5% (total cost $188,612,770) 212,008,392
Cash, Receivables, and Other Assets,
net of Liabilities 0.5% 1,138,880
Net Assets - 100% $213,147,272
See Notes to Schedules of Investments
10
<PAGE>
SUMMARY OF INVESTMENTS BY COUNTRY
June 30, 1996
Country % of Investment Securities Market Value
_______ __________________________ ____________
Canada 0.6% $ 1,237,400
Germany 1.5% 3,148,303
Italy 0.6% 1,366,905
Japan 0.5% 1,012,943
Mexico 1.1% 2,269,990
Netherlands 2.7% 5,812,041
Spain 0.3% 551,580
Switzerland 1.2% 2,568,055
United Kingdom 3.4% 7,155,075
United States++ 88.1% 186,886,100
______ ___________
Total 100.0% $212,008,392
____________________________________
++ Includes Short-Term Securities (72.1% excluding Short-
Term Securities)
FORWARD CURRENCY CONTRACTS
Open at June 30, 1996
Currency Sold and Currency Currency Value Unrealized
Settlement Date Units Sold in $ U.S. Gain/(Loss)
_________________ __________ ______________ ___________
British Pound 8/22/96 910,000 $ 1,411,501 $ (16,480)
British Pound 11/19/96 1,100,000 1,706,100 (47,520)
Dutch Guilder 9/13/96 1,000,000 588,720 (485)
Dutch Guilder 11/19/96 6,900,000 4,081,874 (21,498)
German Deutschemark 9/13/96 3,975,000 2,622,205 (9,479)
Japanese Yen 7/15/96 14,000,000 127,740 7,943
$10,538,140 $(87,519)
<PAGE>
JANUS ASPEN AGGRESSIVE GROWTH PORTFOLIO SCHEDULE OF INVESTMENTS
(UNAUDITED)
Shares or
Principal Amount Market Value
________________ ____________
Common Stock - 97.1%
Auto Parts - Replacement - 0.8%
118,325 APS Holdings Corp. - Class A* $ 2,603,150
Building Materials - 1.1%
267,900 Dayton Superior Corp.* 3,516,187
Commercial Services - 13.0%
258,200 CUC International, Inc.* 9,166,100
35,712 Grand Optical Photoservice 4,596,594
184,650 Medaphis Corp.* 7,339,837
42,500 Omnicare, Inc. 1,126,250
164,650 Profit Recovery Group
International, Inc. (The)* 3,334,163
2,290,923 Rentokil Group PLC** 14,519,589
25,000 Thomas Group, Inc.* 462,500
_________
40,545,033
Computers - Communications Equipment - 1.1%
145,175 Black Box Corp.* 3,447,906
Computers - 0.3%
27,300 Technology Solutions Co.* 945,263
Electrical Equipment - 0.9%
72,925 Littelfuse, Inc. 2,734,688
Environmental Control - 1.0%
79,925 Culligan Water Technologies, Inc.* 3,037,150
Insurance-Life - 1.4%
120,975 Protective Life Corp. 4,249,247
<PAGE>
Leisure Time - 4.3%
198,325 Family Golf Centers, Inc.* 4,982,916
17,273 Fotolabo S.A. 7,156,292
300,000 Tom Cobleigh PLC** 1,135,698
__________
13,274,906
Lodging - 7.5%
335,950 HFS, Inc.* $23,516,500
Medical - Biotechnology - 1.6%
200,000 DepoTech Corp.* 5,050,000
Medical - Hospital Management Services - 2.1%
274,450 Sunrise Assisted Living, Inc.* 6,586,800
Medical - Supplies - 0.9%
162,375 Exogen, Inc.* 1,380,187
35,650 Gulf South Medical Supply, Inc.* 1,390,350
_________
2,770,537
Mining - 1.3%
121,325 Minerals Technologies, Inc. 4,155,381
Miscellaneous - Manufacturing - 1.6%
260,525 Trigen Energy Corp.* 4,917,409
Packaging and Containers - 1.4%
133,750 Sealed Air Corp.* 4,497,344
Personal Credit - 0.8%
47,950 Associates First Capital Corp.* 1,804,119
92,875 World Acceptance Corp.* 673,344
________
2,477,463
<PAGE>
Pharmaceuticals - 3.4%
307,625 Matrix Pharmaceutical, Inc.* 5,537,250
270,075 TheraTech, Inc.* 5,198,944
__________
10,736,194
Real Estate - 4.3%
497,650 Insignia Financial Group, Inc.
Class A* 13,498,756
See Notes to Schedules of Investments
11
<PAGE>
Restaurants and Food Services - 8.7%
29,125 Lone Star Steakhouse & Saloon, Inc.* $ 1,099,469
145,537 Papa Johns International, Inc.* 7,094,929
936,826 PizzaExpress PLC** 5,305,222
853,962 Wetherspoon (J.D.) PLC**,+ 13,447,964
__________
26,947,584
Retail - Special Line - 11.0%
44,050 AutoZone, Inc. 1,530,737
176,525 Fastenal Co. 7,678,837
197,250 Global DirectMail Corp.* 7,791,375
31,700 MSC Industrial Direct Co., Inc.
Class A* 1,022,325
31,675 O'Reilly Automotive, Inc.* 1,148,219
400,000 Petco Animal Supplies, Inc.* 11,500,000
102,300 Sunglass Hut International, Inc.* 2,493,563
32,450 Viking Office Products, Inc.* 1,018,119
__________
34,183,175
Services - Computer Processing
and Data Preparation - 2.3%
88,025 First Data Corp. 7,008,991
Services - Computer Programming Services - 0.1%
14,000 USCS International, Inc.* 269,500
Telecommunications - 21.3%
526,325 360 Degrees Communications Co.* 12,631,800
150,825 Arch Communications Group, Inc.* 2,809,116
242,900 CommNet Cellular, Inc.* 7,287,000
136,650 Millicom International Cellular S.A.* 6,507,956
263,450 Omnipoint Corp.* 6,866,094
965,575 Paging Network, Inc.* 23,173,800
38,775 Palmer Wireless, Inc. Class A* 775,500
299,012 PriCellular Corp. Class A* 3,625,521
123,725 Western Wireless Corp. Class A* 2,644,622
__________
66,321,409
<PAGE>
Transportation - Railroad - 4.2%
403,550 Wisconsin Central
Transportation Corp.* 13,115,375
Wholesale - Special Line - 0.7%
78,425 Barnett, Inc.* 2,254,719
Total Common Stock (cost $253,115,352) 302,660,667
Warrants - 0.3%
32,850 Littelfuse, Inc. exp. 12/27/01*
(cost $677,514) 956,756
U.S. Government Agency - 0.4%
Federal Home Loan Bank System
$1,100,000 5.52%, 7/1/96
(amortized cost $1,100,000) 1,100,000
U.S. Government Obligations - 0.4%
U.S. Treasury Bills:
1,100,000 5.10%, 9/12/96 1,088,614
200,000 5.13%, 10/3/96 197,321
Total U.S. Government Obligations
(cost $1,285,935) 1,285,935
Repurchase Agreement - 3.2%
$9,800,000 State Street Bank & Trust Co., 4.75%,
dated 6/28/96, maturing 7/1/96,
to be repurchased at $9,803,879,
collateralized by $9,890,000 in
U.S. Treasury Notes, 5.75%,
due 9/30/97, value $9,998,919
(cost $9,800,000) $9,800,000
Total Investments - 101.4%
(total cost $265,978,801) 315,803,358
Liabilities, net of Cash, Receivables
and Other Assets - (1.4%) (4,217,795)
Net Assets - 100% $311,585,563
<PAGE>
SUMMARY OF INVESTMENTS BY COUNTRY
June 30, 1996
Country % of Investment Securities Market Value
______ _________________________ ____________
France 1.4% $ 4,596,594
Switzerland 2.3% 7,156,292
United Kingdom 10.9% 34,408,473
United States++ 85.4% 269,641,999
______ ____________
Total 100.0% $315,803,358
_______________________________________________________________
++ Includes Short-Term Securities (81.5% excluding Short-Term
securities)
FORWARD CURRENCY CONTRACTS
Open at June 30, 1996
Currency Sold and Currency Currency Value Unrealized
Settlement Date Units Sold in $ U.S. Gain/(Loss)
_________________ __________ ______________ ___________
British Pound 7/15/96 1,908,000 $ 2,960,262 $ (70,414)
British Pound 10/1/96 1,000,000 1,550,900 (29,800)
British Pound 11/25/96 4,500,000 6,979,500 (188,550)
___________ __________
$11,490,662 $(288,764)
See Notes to Schedules of Investments
12
<PAGE>
JANUS ASPEN INTERNATIONAL GROWTH PORTFOLIO
SCHEDULE OF INVESTMENTS (UNAUDITED)
Shares or
Principal Amount Market Value
________________ ____________
Common Stock - 71.8%
Aerospace and Defense - 0.4%
2,000 Mitsubishi Heavy Industries, Ltd.** $ 17,373
Agriculture - 0.6%
21,753 Parmalat Finanziaria S.p.A. 28,999
Auto and Truck - 2.7%
521 Bajaj Auto, Ltd. (GDR)*,+ 19,928
2,000 Honda Motor Co.** 51,773
2,000 Isuzu Motors, Ltd.** 11,412
231 Mahindra & Mahindra, Ltd. (GDR) 2,483
1,325 Tata Engineering & Locomotive Co.,
Ltd. (GDR)+ 23,850
1,000 Yamaha Motor Co., Ltd.** 10,209
______
119,655
Biopharmaceuticals - 0.1%
150 QIAGEN N.V.* 2,269
Broadcasting, Radio and Television - 0.3%
300 CanWest Global
Communications Corp.* 8,175
200 Grupo Televisa S.A. de C.V. (GDR)* 6,150
_____
14,325
Building Materials - 0.7%
6,700 Fortune Cement Corp.* 3,524
56,000 HI Cement Corp.*,+ 21,209
5,500 PT Mulia Industrindo 8,158
______
32,891
<PAGE>
Chemicals - 2.3%
1,750 Hoechst A.G.** 59,275
368 SGL Carbon A.G.**,+ 42,999
______
102,274
Commercial Services - 10.7%
5,568 Frontec A.B. - Class B*,** 68,358
105 Grand Optical Photoservice** 13,515
9,492 Hays PLC** 66,860
341 ISS International Service System A/S
Class B 7,611
228 Prosegur Companhia de Seguridad S.A. 8,003
24,500 Rentokil Group PLC** 155,278
4,108 Securitas A.B. - Class B** 86,015
66 Sophus Berendsen A/S - Class B 8,818
1,020 WM-Data A.B. - Class B** 64,533
______
478,991
Computers - 1.2%
675 Macronix International Co., Ltd.
(ADR)* 10,969
3,355 Misys PLC** 40,445
5,000 Olivette Group* 2,687
______
54,101
Cosmetics and Personal Care - 0.1%
2,364 London International Group PLC** 5,566
Electrical Equipment - 1.0%
1,050 UCAR International, Inc.* $ 43,706
Electronics - 1.6%
925 Lernout & Hauspie Speech
Products N.V.* 20,813
1,000 Omron Corp.** 21,238
3,431 Pace Micro Technology PLC*,** 10,221
143 Samsung Electronics Co., Ltd. (GDR)*,+ 7,347
200 Sony Corp.** 13,144
______
72,763
<PAGE>
Engineering and Construction - 0.2%
79 Bouygues** 8,803
600 New World Infrastructure, Ltd.*,+ 1,279
_____
10,082
Environmental Control - 0.8%
45 Christ A.G.*,** 35,922
Financial - Bank Commercial - 0.3%
800 HSBC Holdings PLC** 12,093
Financial - Bank Money Center - 0.3%
285 Corporacion Bancaria de Espana S.A. 12,427
Financial - Savings/Loan/Thrift - 2.0%
17,600 Lloyds TSB Group PLC** 86,015
256 Sparbanken Sverige A.B. - Class A** 3,316
______
89,331
Food Processing - 1.1%
481 Nutricia Vereenigde Bedrijven N.V. 50,811
Furniture and Home Appliance - 0.3%
75 Industrie Natuzzi S.p.A. (ADR) 3,844
576 Moulinex*,** 11,003
______
14,847
Holding Companies - Diversified - 2.7%
2,326 Kinnevik A.B. - Class B** 70,426
1,720 Lagardere Groupe** 44,311
547 Valmet Oy** 9,261
______
123,998
Homebuilders - 0%
3,000 Empire East Land Holdings, Inc.* 1,836
<PAGE>
Household Products - 0.1%
100 Amway Japan, Ltd.** 5,013
Investment Companies - Open-End - 0.2%
1,018 Bure Investment A.B.** 9,354
Leisure Time - 1.4%
18,800 Aristocrat Leisure, Ltd.*,+ 42,907
47 Fotolabo S.A.** 19,472
331 Tabcorp Holdings, Ltd. 1,498
______
63,877
Lodging - 0.8%
250 East India Hotels, Ltd. (GDR)*,+ 6,908
50 HFS, Inc.* 3,500
81 Indian Hotels Co., Ltd. (GDS)+ 2,309
16,000 Mandarin Oriental International, Ltd. 22,400
______
35,117
See Notes to Schedules of Investments
13
<PAGE>
Machine - Construction and Mining - 0.2%
46 SMH A.G.** $ 7,179
Machine - Diversified - 1.2%
576 Althin Medical A.B. - Class B** 13,449
370 Rauma Oy** 7,381
26 Sidel S.A.** 6,531
1,100 Toolex Alpha N.V. (ADR)* 26,400
______
53,761
Medical - Supplies - 2.7%
25 Disetronic Holdings A.G.*,** 46,699
724 Getinge Industrier A.B. - Class B** 13,633
3,258 Nobel BioCare A.B.*,**,+ 60,365
______
120,697
Miscellaneous - Distribution and Wholesale - 0.5%
500 Amway Asia Pacific, Ltd. 15,125
375 Grupo Casa Autrey S.A. de C.V. (ADR) 8,063
_____
23,188
Miscellaneous - Manufacturing - 1.6%
3,274 Assa-Abloy A.B. - Class B** 47,346
78 Barco N.V. 12,489
19 Sulzer A.G.** 12,194
______
72,029
Office and Business Equipment - 1.6%
2,000 Canon, Inc.** 41,564
324 Oce-Van Der Grinten N.V. 34,283
______
75,847
Oil and Gas - Domestic - 0.5%
1,075 YPF Sociedad Anonima S.A. (ADR) 24,188
<PAGE>
Oil and Gas - Exploration - 0.1%
200 Repsol S.A. 6,950
Personal Credit - 0.2%
250 Associates First Capital Corp.* 9,406
Pharmaceuticals - 6.7%
81 Astra A.B. - Class A** 3,575
40 Ciba-Geigy Corp. A.G.** 48,471
1,000 Eisai Co., Ltd.** 18,868
475 Eli Lilly & Co. 30,875
1,100 Glaxo Wellcome PLC** 14,788
63 Nycomed ASA - Class A* 906
75 Pharmacia & Upjohn, Inc. 3,328
8 Roche Holding A.G.** 60,956
44 Sandoz A.G. - Class R** 49,982
3,662 SmithKline Beecham PLC - Class A** 39,121
175 SmithKline Beecham PLC -
Class A (ADR)** 9,516
1,000 Takeda Chemical Industries** 17,683
______
298,069
Publishing - Newspaper - 0.1%
326 EMAP PLC** 3,581
Publishing and Printing - 3.0%
250 Harland (John H.) Co. 6,156
1,129 Wolters Kluwer N.V. 128,117
_______
134,273
Real Estate - 0.3%
396 Hongkong Land Holdings, Ltd. $ 891
1,000 Mitsubishi Estate Co., Ltd.** 13,764
1 Tornet Fastighets A.B.*,** 8
_______
14,663
<PAGE>
Restaurants and Food Services - 1.5%
3,614 Harvey Nichols PLC*,**,+ 18,952
2,927 Wetherspoon (J.D.) PLC** 46,094
______
65,046
Retail - Department Stores - 1.3%
1,300 Credit Saison Co., Ltd.** 31,401
1,000 Hankyu Department Store** 13,126
1,000 Isetan Co.** 15,131
______
59,658
Retail - Grocery - 0.3%
500 Santa Isabel S.A. (ADR) 13,875
Retail - Special Line - 1.3%
1,317 Kesko, Ltd.** 19,541
7,000 Pagnossin S.p.A.* 40,544
______
60,085
Services - Amusement and Recreation - 0.1%
46 Thorn EMI PLC** 1,280
Services - Computer Integrated
Systems Design - 1.5%
2,989 Getronics N.V. 66,123
Services - Computer Related Services - 0.7%
2,512 Merkantildata A/S 31,300
Services - Computer Software and Services - 0.5%
225 Dassault Systems S.A. (ADR)*,** 6,975
605 Enator A.B.*,** 13,898
______
20,873
Services - Information Retainment Services - 1.1%
348 Axime S.A.*,**,+ 48,643
<PAGE>
Services - Prepackaged Software - 3.1%
25 Check Point Software
Technologies, Ltd.* 600
5,138 JBA Holdings PLC** 40,815
20 NTT Data Communications
Systems Corp.** 59,794
783 TT Tieto Oy - Class B** 37,488
______
138,697
Shoes - 1.2%
646 Adidias A.G.** 54,236
Telecommunications - 3.3%
775 Asia Satellite Telecommunications
Holdings, Ltd. (ADR)* 23,056
1,773 Korea Mobile Telecommunications,
Inc. (GDR)* 30,363
1,465 Millicom International Cellular S.A.* 69,771
917 NetCom Systems A.B. - Class B*,** 10,360
500 Portugal Telecom S.A. (ADR) 13,125
______
146,675
See Notes to Schedules of Investments
14
<PAGE>
Textiles - 1.4%
475 Gucci Group $ 30,638
126 Wolford A.G. 30,792
________
61,430
Tobacco - 1.6%
3 Japan Tobacco, Inc.**,+ 22,970
4,500 PT Hanjaya Mandala Sampoerna* 51,268
______
74,238
Transportation - Airlines - 0.8%
35 SwissAir A.G.* 33,835
Transportation - Railroad - 0.1%
50 Tranz Rail Holdings, Ltd. (ADR)* 694
Utilities - Electric - 0.1%
2,400 Consolidated Electric Power Asia, Ltd. 3,969
Utilities - Telecommunications - 0.3%
450 Telefonica de Argentina S.A. (ADR) 13,331
Wholesale - Special Line - 1.0%
375 Alco Standard Corp. 16,966
40 Gehe A.G.** 26,833
______
43,799
Total Common Stock (cost $2,594,103) 3,219,239
Preferred Stock - 5.1%
Auto and Truck - 0.6%
46 Porsche A.G.*,** 27,629
Brewery - 0.7%
50 Companhia Cervejaria Brahma 29,831
<PAGE>
Cosmetics and Personal Care - 0.3%
20 Wella A.G.** 11,684
Medical - Supplies - 0.6%
151 Fresenius A.G.** 27,283
Publishing and Printing - 0.5%
4,340 News Corp., Ltd. 21,177
Services - Computer Processing
and Data Preparation - 1.6%
476 SAP A.G.** 70,522
Telecommunications - 0.2%
100 Telecomunicacoes Brasileiras S.A. 6,963
Textiles - 0.5%
130 Escada A.G.** 22,657
Utilities - Electric - 0.1%
403 Companhia Energetica de
Minas Gerais 10,716
______
Total Preferred Stock (cost $171,920) 228,462
Rights - 0.1%
1,200 PT Mulia Indutrindo - exp. 7/3/96*
(cost $0) 787
U.S. Government Agency - 20.1%
$900,000 Federal Home Loan Mortgage Corp.
5.52%, 7/1/96
(amortized cost $900,000) 900,000
_______
Total Investments - 97.1% (total cost $3,666,023) 4,348,488
Cash, Receivables, and Other Assets,
net of Liabilities - 2.9% 131,030
Net Assets - 100% $4,479,518
<PAGE>
SUMMARY OF INVESTMENTS BY COUNTRY
June 30, 1996
Country % of Investment Securities Market Value
_______ __________________________ ____________
Argentina 0.9% $ 37,519
Australia 1.5% 65,581
Austria 0.7% 30,791
Belgium 0.8% 33,302
Brazil 1.1% 47,510
Canada 0.2% 8,175
Chile 0.3% 13,875
Denmark 0.4% 16,428
Finland 1.7% 73,671
France 3.2% 139,781
Germany 7.9% 343,119
Hong Kong 1.8% 80,405
India 1.1% 46,087
Indonesia 1.4% 60,212
Israel 0.0% 600
Italy 1.7% 76,075
Japan 8.4% 364,460
Korea 0.9% 37,710
Luxembourg 1.8% 76,678
Mexico 0.3% 14,213
Netherlands 7.1% 308,005
New Zealand 0.0% 694
Norway 0.7% 32,205
Philippines 0.6% 26,569
Portugal 0.3% 13,125
Spain 0.6% 27,380
Sweden 10.7% 464,640
Switzerland 7.2% 314,713
Taiwan 0.3% 10,969
United Kingdom 12.4% 538,535
United States++ 24.0% 1,045,461
______ __________
Total 100.0% $4,348,488
______________________________________________________________
++Including Short-Term Securities (3.9% excluding Short-Term
Securities)
<PAGE>
FORWARD CURRENCY CONTRACTS
Open at June 30, 1996
Currency Sold and Currency Currency Unrealized
Settlement Date Units Sold Value in $ U.S. Gain/(Loss)
_________________ __________ _______________ ___________
British Pound 7/25/96 25,000 $ 38,782 $ (1,158)
British Pound 8/22/96 21,000 32,573 (380)
British Pound 11/19/96 53,000 82,203 (2,313)
Finnish Markka 7/25/96 29,000 6,264 158
Finnish Markka 10/1/96 12,000 2,601 4
French Franc 9/12/96 43,000 8,382 186
German Deutschemark
7/17/96 60,000 39,437 507
German Deutschemark
7/25/96 175,000 115,086 4,019
Japanese Yen 8/8/96 13,500,000 123,182 6,570
Japanese Yen 9/17/96 6,200,000 56,576 3,803
Japanese Yen 10/1/96 3,500,000 31,939 1,569
Japanese Yen 12/11/96 2,000,000 18,253 465
Swedish Krona 7/25/96 464,000 69,963 (3,109)
Swedish Krona 8/22/96 585,000 88,205 (3,061)
Swiss Franc 10/1/96 50,000 40,235 2,324
Swiss Franc 11/12/96 36,000 29,079 453
_________ _______
$ 782,760 $10,037
See Notes to Schedules of Investments
15
<PAGE>
JANUS ASPEN WORLDWIDE GROWTH PORTFOLIO SCHEDULE OF INVESTMENTS
(UNAUDITED)
Shares or
Principal Amount Market Value
________________ ____________
Common Stock - 85.8%
Advertising - 1.0%
883,581 WPP Group PLC** $2,974,801
Aerospace and Defense - 0.8%
11,275 Boeing Co. 982,334
155,000 Mitsubishi Heavy Industries, Ltd.** 1,346,413
_________
2,328,747
Agriculture - 0.9%
1,997,776 Parmalat Finanziaria S.p.A. 2,663,267
Auto and Truck - 2.0%
7,489 Bajaj Auto, Ltd. (GDR)*,+ 286,454
104,000 Honda Motor Co. 2,692,188
154,000 Isuzu Motors, Ltd. 878,717
18,389 Mahindra & Mahindra, Ltd. (GDR)* 197,682
100,800 Tata Engineering & Locomotive Co.,
Ltd. (GDR)+ 1,814,400
17,000 Yamaha Motor Co., Ltd. 173,548
_________
6,042,989
Biopharmaceuticals - 0.1%
10,825 QIAGEN N.V.* 163,728
Brewery - 0.1%
40,500 Quilmes Industrial S.A. (ADR)* 415,125
<PAGE>
Broadcasting, Radio and Television - 0.8%
23,675 CanWest Global
Communications Corp.* 645,144
36,760 Central European Media
Enterprises, Ltd.* 919,000
22,325 Grupo Televisa S.A. de C.V. (GDR)* 686,494
2,200 Heritage Media Corp. - Class A* 87,725
________
2,338,363
Building Materials - 0.8%
27,200 Hunter Douglas N.V. 1,854,509
360,500 PT Mulia Industrindo 534,705
59,000 PT Semen Cibinong 130,632
_________
2,519,846
Chemicals - 2.8%
1,675 Cytec Industries, Inc.* 143,212
139,540 Hoechst A.G.** 4,726,443
28,983 SGL Carbon A.G.**,+ 3,386,487
_________
8,256,142
Commercial Services - 12.9%
4,664 Adia S.A. 1,169,072
21,875 AMRE, Inc.* 478,516
28,175 CUC International, Inc.* 1,000,212
250,956 Frontec A.B. - Class B*,** 3,080,954
18,825 Grand Optical Photoservice** 2,423,020
758,749 Hays PLC** 5,344,484
26,324 ISS International Service System A/S -
Class B 587,519
8,425 Medaphis Corp.* 334,894
18,664 Prosegur Companhia de Seguridad S.A. 655,133
8,449 Randstad Holdings N.V. 623,031
2,030,957 Rentokil Group PLC** 12,871,957
210,288 Securitas A.B. - Class B** 4,403,108
5,556 Sophus Berendsen A/S - Class B 742,314
78,010 WM-Data A.B. - Class B** 4,935,482
__________
38,649,696
<PAGE>
Computers - 1.7%
60,225 Macronix International Co.,
Ltd. (ADR)* 978,656
294,319 Misys PLC 3,548,061
10,950 Sun Microsystems, Inc.* 644,681
_________
5,171,398
Cosmetics and Personal Care - 0.2%
195,244 London International Group PLC** 459,683
Electrical Equipment - 0.8%
56,750 UCAR International, Inc.* 2,362,219
Electronics - 1.8%
51,350 Lernout & Hauspie Speech
Products N.V.* 1,155,375
4,860 Nokia A.B.** 179,755
95,000 Omron Corp.** 2,017,592
233,933 Pace Micro Technology PLC* 696,858
3,542 Samsung Electronics Co., Ltd. (GDR)*,+ 181,538
16,700 Sony Corp.** 1,097,502
_________
5,328,620
Electronics - Semiconductors - 0.8%
38,000 Rohm Co.** 2,507,702
Engineering and Construction - 0.3%
2,686 Bouygues** 299,313
873,800 DMCI Holdings, Inc.* 626,769
22,400 New World Infrastructure, Ltd.*,+ 47,751
_______
973,833
Financial - Bank Commercial - 1.4%
372,724 Banca Popolare di Milano* 1,837,379
45,600 HSBC Holdings PLC 689,284
6,000 Mitsui Trust and Banking Co., Ltd.*,** 70,003
15,765 Nordbanken A.B.*,** 303,972
<PAGE>
7,000 Sumitomo Trust and Banking
Co., Ltd.*,** 95,707
5,000 Wells Fargo & Co. 1,194,375
_________
4,190,720
Financial - Bank Money Center - 0.8%
17,575 Citicorp 1,452,134
18,532 Corporacion Bancaria de Espana S.A. 808,064
_________
2,260,198
Financial - Savings/Loan/Thrift - 0.5%
301,230 Lloyds TSB Group PLC** 1,472,180
6,148 Sparbanken Sverige A.B. - Class A** 79,646
_________
1,551,826
Financial - Security Broker - 0.1%
91,800 Grupo Financiero Inbursa S.A. -
Class B* 380,129
Financial Services - 0%
875 Federal National Mortgage Association 29,312
104,000 JCG Holdings, Ltd. 84,649
______
113,961
See Notes to Schedules of Investments
16
<PAGE>
Food Processing - 3.7%
2,781 Cultor OY - Series I** $ 136,747
6,254 Cultor OY - Series II** 318,311
125,000 La Doria S.p.A. 544,247
35,176 Nutricia Vereenigde Bedrijven N.V. 3,715,847
103,472 Raision Tehtaat Oy** 6,181,363
__________
10,896,515
Furniture and Home Appliances - 0.2%
19,675 Moulinex S.A.** 375,853
4,525 Industrie Natuzzi S.p.A. (ADR) 231,906
_______
607,759
Hand Machine - Tools - 0.2%
176,000 Gildemeister Italiana S.p.A* 653,976
Holding Companies - Diversified - 2.8%
126,475 C.G. Smith, Ltd. 657,506
65,000 Citic Pacific, Ltd. 262,849
243,000 First Pacific Co. 373,595
36,107 Grupo Carso S.A. de C.V. - Series A1* 256,172
53,827 Kinnevik A.B. - Class B** 1,629,770
175,157 Lagardere Groupe** 4,512,393
43,726 Valmet Oy** 740,272
_________
8,432,557
Homebuilders - 0.1%
212,000 Empire East Land Holdings, Inc.* 129,763
Household Products - 0.3%
17,800 Amway Japan, Ltd.** 892,353
Investment Companies - Closed-End - 0%
6,350 NIS Regional Fund*,+ 63,500
Investment Companies - Open-End - 0.2%
68,526 Bure Investment A.B.** 629,673
<PAGE>
Iron and Steel - 0.5%
11,119 Boehler - Uddeholm A.G.*,+ 860,812
81,000 Kobe Steel, Ltd.*,** 232,568
88,000 NKK Corp.*,** 266,302
3,972 SSAB Svenskt Stal A.B. - Class A** 50,260
_______
1,409,942
Jewelry - 0.2%
3,867 SMH A.G.** 603,495
Leisure Time - 0.3%
2,218 Fotolabo S.A.** 918,929
6,329 Tabcorp Holdings, Ltd.* 28,640
_______
947,569
Lodging - 1.5%
15,400 East India Hotels, Ltd. (GDR)*,+ 425,502
21,675 HFS, Inc.* 1,517,250
13,449 Indian Hotels Co., Ltd. (GDS)+ 383,297
1,272,000 Mandarin Oriental International, Ltd. 1,780,800
21,925 Renaissance Hotel Group N.V.* 465,906
_________
4,572,755
Machine - Construction and Mining - 0.2%
13,225 Quimica Minera Chile S.A. (ADR)* 717,456
Machine - Diversified - 1.5%
45,901 Althin Medical A.B. - Class B** 1,071,726
30,889 Rauma Oy** 616,208
1,940 Sidel S.A.** 493,003
95,000 Toolex Alpha N.V.* 2,280,000
__________
4,460,937
Medical - Hospital Management Services - 0.1%
9,675 HEALTHSOUTH Corp.* 348,300
5,411 Takare PLC** 10,914
_______
359,214
<PAGE>
Medical - Supplies - 1.2%
10,875 De Rigo S.p.A. (ADR)* 248,766
43,774 Getinge Industrier A.B. - Class B** 824,245
137,972 Nobel BioCare A.B.*,**,+ 2,556,384
5,279 Nycomed ASA - Class A* 75,927
________
3,705,322
Mining - 0.3%
13,912 Potash Corporation of
Saskatchewan, Inc. 921,670
Miscellaneous - Distribution and Wholesale - 0.3%
36,125 Grupo Casa Autrey S.A.
de C.V. (ADR) 776,688
Miscellaneous - Manufacturing - 3.7%
515,863 Assa-Abloy A.B. - Class B** 7,459,945
16,050 Barco N.V. 2,569,884
1,575 Sulzer A.G.** 1,010,857
_________
11,040,686
Office and Business Equipment - 2.0%
159,000 Canon, Inc.** 3,304,348
26,323 Oce-Van Der Grinten N.V. 2,785,274
_________
6,089,622
Oil and Gas - Domestic - 1.2%
160,600 YPF Sociedad Anonima S.A. (ADR) 3,613,500
Personal Credit - 0.3%
19,925 Associates First Capital Corp.* 749,678
Pharmaceuticals - 7.7%
6,321 Astra A.B. - Class A** 278,987
2,406 Ciba-Geigy Corp. A.G.** 2,915,549
117,200 Eisai Co., Ltd.** 2,211,321
38,925 Eli Lilly & Co. 2,530,125
75,000 Glaxo Wellcome PLC** 1,008,281
2,375 Pfizer, Inc. 169,516
7,300 Pharmacia & Upjohn, Inc. 323,938
<PAGE>
49,417 Pliva D.D. (GDR)*,+ 1,964,326
526 Roche Holding A.G.** 4,007,879
3,039 Sandoz A.G. - Class R** 3,452,141
228,721 SmithKline Beecham PLC - Class A** 2,443,212
12,050 SmithKline Beecham PLC -
Class A (ADR)** 655,219
56,000 Takeda Chemical Industries** 990,247
_________
22,950,741
Publishing - Newspaper - 0.5%
42,295 Aamulehti Yhtymae OY - Series II** 1,140,199
24,489 EMAP PLC** 269,002
_________
1,409,201
Publishing and Printing - 1.5%
223,471 Arnoldo Mondadori Editore S.p.A.* 1,688,270
21,375 Harland, (John H.) Co. 526,359
19,744 Wolters Kluwer N.V. 2,240,511
_________
4,455,140
See Notes to Schedules of Investments
17
<PAGE>
Real Estate - 0.2%
25,888 Hongkong Land Holdings, Ltd. $ 58,248
41,000 Mitsubishi Estate Co., Ltd.** 564,306
6,000 Mitsui Fudosan Co.** 80,941
_________
703,495
Restaurants and Food Services - 0.5%
101,901 Wetherspoon (J.D.) PLC** 1,604,709
Retail - Apparel - 0.7%
9,075 Fila Holdings S.p.A. (ADR) 782,719
250,000 Harvey Nichols PLC*,**,+ 1,311,018
_________
2,093,737
Retail - Department Stores - 1.5%
110,300 Credit Saison Co., Ltd.** 2,664,251
37,000 Daimaru, Inc.** 258,673
50,000 Hankyu Department Store** 656,276
65,000 Isetan Co.** 983,502
_________
4,562,702
Retail - General Merchandise - 0.1%
13,000 Pao De Acucar S.A.+ 211,250
Retail - Grocery - 0.9%
35,200 Disco S.A. (ADR)* 778,800
18,000 Ito-Yokado Co., Ltd.** 1,084,495
32,500 Santa Isabel S.A. (ADR) 901,875
_________
2,765,170
Retail - Specialty Line - 1.4%
89,861 Kesko Oy** 1,333,341
2,758 OMV A.G. 277,832
453,683 Pagnossin S.p.A.* 2,627,753
_________
4,238,926
<PAGE>
Services - Amusement and Recreation - 0%
1,858 Thorn EMI PLC** 51,715
Services - Computer Integrated
Systems Design - 1.4%
188,844 Getronics N.V. 4,177,622
Services - Computer Processing
and Data Preparation - 0.1%
400 First Data Corp. 31,850
9,100 SunGard Data Systems, Inc.* 365,138
_______
396,988
Services - Computer Programming
and Data Processing - 0.5%
9,425 Electronic Data Systems Corp. 506,594
41,475 Enator A.B.** 952,766
_______
1,459,360
Services - Computer Related Services - 1.0%
246,972 Merkantildata A/S 3,077,272
Services - Information Retainment - 1.2%
25,304 Axime S.A.*,+ 3,536,960
Services - Prepackaged Software - 2.6%
900 Check Point Software
Technologies, Ltd.* 21,600
16,075 Dassault Systems S.A. (ADR)* 498,325
73,371 JBA Holdings PLC** 582,836
120 NTT Data Communications
Systems Corp. 3,587,640
39,617 Skrivervik Data A.S. 746,536
46,836 TT Tieto Oy - Class B** 2,242,407
__________
7,679,344
Shoes - 1.6%
57,038 Adidas A.G.** 4,788,736
<PAGE>
Telecommunications - 3.3%
58,900 Asia Satellite Telecommunications
Holdings Ltd., (ADR)* 1,752,275
120,772 Korea Mobile Telecommunications,
Inc. (GDR)* 2,068,221
20,650 MFS Communications Co., Inc.* 776,956
71,200 Millicom International Cellular S.A.* 3,390,900
21,164 NetCom Systems A.B. - Class B*,** 239,105
33,650 Paging Network, Inc.* 807,600
2,425 Telecom Argentina Stet S.A. (ADR) 113,672
9,500 Telecomunicacoes Brasileiras
S.A. (ADR) 661,438
_________
9,810,167
Textiles - 2.4%
37,850 Gucci Group 2,441,325
93,471 Marzotto & Figli S.p.A. 583,188
16,532 Wolford A.G. 4,040,093
_________
7,064,606
Tobacco - 0.9%
226,500 PT Hanjaya Mandala Sampoerna* 2,580,503
Toys - 0.2%
17,812 Mattel, Inc. 509,869
Transportation - Airlines - 0.7%
2,171 SwissAir A.G.*,** 2,098,732
Transportation - Railroad - 0%
3,000 Tranz Rail Holdings Ltd. (ADR)* 41,625
Utilities - Electric - 1.2%
96,775 BSES Ltd. (GDR)+ 1,814,531
234,000 Consolidated Electric Power
Asia, Ltd. 386,967
275 Consolidated Electric Power
Asia, Ltd. (ADR)+ 4,548
<PAGE>
38,975 Enersis S.A. (ADR) 1,208,225
_________
3,414,271
Utilities - Telecommunications - 1.3%
2,275 Compania de Telefonos
de Chile (ADR) 223,234
854,131 CPT Telefonica del Peru S.A. -
Class B 1,733,425
41,400 Portugal Telecom S.A. (ADR) 1,086,750
30,875 Telefonica de Argentina S.A. (ADR) 914,672
_________
3,958,081
Wholesale - Special Line - 1.0%
25,950 Alco Standard Corp. 1,174,238
2,472 Gehe A.G.** 1,658,385
_________
2,832,623
Total Common Stock (cost $217,333,436) 256,401,168
See Notes to Schedules of Investments
18
<PAGE>
Preferred Stock - 3.3%
Auto and Truck - 0%
161 Porsche A.G.*,** $ 96,701
Brewery - 0.3%
1,440,000 Companhia Cervejaria Brahma 859,124
Cosmetics and Personal Care - 0.3%
1,723 Wella A.G.** 1,006,610
Medical Supplies - 0.3%
5,140 Fresenius A.G.** 928,702
Publishing and Printing - 0.5%
299,163 News Corp., Ltd. 1,459,736
Services - Computer Processing
and Data Preparation - 1.5%
30,309 SAP A.G.** 4,490,443
Telecommunications - 0%
2,000 Telecomunicacoes Brasileiras S.A. 140
Textiles - 0.1%
1,550 Escada A.G.** 270,136
Utilities - Electric - 0.3%
33,475,000 Companhia Energetica de Minas Gerais 890,222
Total Preferred Stock (cost $8,363,655) 10,001,814
Rights - 0.3%
103,472 Raision Tehtaat Oy -
exp. 7/10/96* (cost $0) 859,143
<PAGE>
U.S. Government Agencies - 6.3%
Federal Home Loan Bank System
$ 8,700,000 5.52%, 7/1/96 8,700,000
Federal Home Loan Mortgage Corp.
10,000,000 5.23%, 7/3/96 9,997,094
Total U.S. Government Agencies
(amortized cost $18,697,094) 18,697,094
U.S. Government Obligations - 0.3%
U.S. Treasury Bills:
700,000 5.12%, 10/3/96 690,642
100,000 5.13%, 10/3/96 98,661
Total U.S. Government Obligations
(cost $789,303) 789,303
Short-Term Corporate Note - 3.3%
Coca-Cola Corp.
10,000,000 5.28%, 7/10/96 9,986,800
(amortized cost $9,986,800)
Total Investments - 99.3% (total cost $255,170,288) 296,735,322
Cash, Receivables and Other Assets,
net of Liabilities - 0.7% 2,165,861
Net Assets - 100% $298,901,183
SUMMARY OF INVESTMENTS BY COUNTRY
June 30, 1996
Country % of Investment Securities Market Value
_______ __________________________ ____________
Argentina 1.8% $ 5,420,644
Australia 0.5% 1,488,375
Austria 1.7% 5,178,738
Belgium 1.3% 3,725,258
Brazil 0.9% 2,622,171
Canada 0.5% 1,566,814
Chile 1.0% 3,050,791
Croatia 0.7% 1,964,325
Denmark 0.4% 1,329,833
Finland 4.6% 13,611,919
France 4.1% 12,138,866
Germany 7.5% 22,271,644
<PAGE>
Hong Kong 1.8% 5,440,964
India 1.7% 4,921,866
Indonesia 1.1% 3,245,840
Israel 0.0% 21,600
Italy 4.8% 14,302,796
Japan 9.7% 28,656,594
Korea 0.8% 2,249,758
Luxembourg 0.1% 415,125
Mexico 0.7% 2,099,483
Netherlands 6.0% 17,774,808
New Zealand 0.0% 41,625
Norway 1.3% 3,899,735
Peru 0.6% 1,733,424
Philippines 0.3% 756,532
Portugal 0.4% 1,086,750
Russia 0.0% 63,500
South Africa 0.2% 657,506
Spain 0.5% 1,463,197
Sweden 9.7% 28,697,572
Switzerland 5.4% 16,176,652
Taiwan 0.3% 978,656
United Kingdom 11.9% 35,304,933
United States++ 17.7% 52,377,028
______ __________
Total 100.0% $296,735,322
_________________________________________________________________
++ Includes Short-Term Securities (7.8% excluding Short-Term
Securities)
See Notes to Schedules of Investments
19
<PAGE>
FORWARD CURRENCY CONTRACTS
Open at June 30, 1996
Currency Sold and Currency Currency Unrealized
Settlement Date Units Sold Value in $ U.S. Gain/(Loss)
_________________ __________ _______________ ___________
British Pound 7/25/96 996,000 $ 1,545,095 $ (46,013)
British Pound 8/22/96 2,000,000 3,102,200 (36,220)
British Pound 10/1/96 1,000,000 1,550,900 (29,850)
British Pound 11/19/96 3,200,000 4,963,200 (139,680)
Finnish Markka 7/25/96 4,200,000 907,265 22,875
Finnish Markka 10/1/96 4,000,000 867,115 1,412
Finnish Markka 11/12/96 1,768,000 384,197 (12,769)
French Franc 9/12/96 1,390,000 270,939 6,014
French Franc 10/1/96 8,500,000 1,658,310 35,896
German Deutschemark
7/11/96 2,600,000 1,708,391 56,714
German Deutschemark
7/17/96 5,000,000 3,286,447 42,227
German Deutschemark
7/25/96 6,836,000 4,495,594 156,386
Japanese Yen 8/8/96 200,000,000 1,824,924 97,340
Japanese Yen 8/22/96 127,500,000 1,163,412 76,860
Japanese Yen 9/17/96 515,000,000 4,699,441 316,549
Japanese Yen 10/1/96 1,250,000,000 11,406,639 484,448
Japanese Yen 12/11/96 100,000,000 912,626 23,265
Swedish Krona 7/25/96 23,662,000 3,567,799 (164,952)
Swedish Krona 10/1/96 25,000,000 3,769,602 (26,527)
Swiss Franc 10/1/96 6,000,000 4,828,197 278,838
Swiss Franc 11/12/96 1,020,000 823,910 12,842
___________ __________
$57,736,203 $1,155,655
JANUS ASPEN BALANCED PORTFOLIO SCHEDULE OF INVESTMENTS
(UNAUDITED)
Shares or
Principal Amount Market Value
________________ ____________
Common Stock - 47.0%
Aerospace and Defense - 3.0%
6,425 Boeing Co. $ 559,778
4,050 General Motors Corp. - Class H 243,506
3,100 Northrop Grumman Corp. 211,188
<PAGE>
1,950 United Technologies Corp. 224,250
_________
1,238,722
Broadcasting, Radio and Television - 0.7%
7,550 Heritage Media Corp. - Class A* 301,056
Chemicals - 0.7%
2,700 Grace (W.R.) & Co. 191,363
3,825 Witco Corp. 131,484
_______
322,847
Commercial Services - 3.6%
829 Hays PLC** 5,838
12,025 Primark Corp.* 392,316
9,575 Profit Recovery Group
International, Inc. (The)* 193,894
15,007 Rentokil Group PLC** 95,112
28,925 Robert Half International, Inc.* 806,284
_______
1,493,444
Electronics - 2.1%
13,400 Dionex Corp.* $ 432,150
1,275 Pittway Corp. - Class A 59,288
10,850 Sundstrand Corp. 397,381
________
888,819
Financial - Bank Commercial - 3.6%
616 Banco Popular Espanol S.A. 109,746
2,400 Corestates Financial Corp. 92,400
5,391 Wells Fargo & Co. 1,287,775
_________
1,489,921
Financial - Bank Money Center - 3.7%
14,850 Bank of New York Co., Inc. 761,062
28,625 Barclay PLC** 343,080
5,275 Citicorp 435,847
_______
1,539,989
<PAGE>
Financial - Savings/Loan/Thrift - 1.0%
6,875 First Savings Bank of
Washington Bancorp, Inc. 107,422
4,750 HFNC Financial Corp.* 78,078
14,950 Klamath First Bancorp, Inc. 218,644
_______
404,144
See Notes to Schedules of Investments
20
<PAGE>
Food Processing - 3.2%
4,925 Campbell Soup Co. $ 347,213
13,225 Kellogg Co. 968,731
________
1,315,944
Insurance - Life - 5.5%
6,400 AFLAC, Inc. 191,200
6,600 Conseco, Inc. 264,000
4,900 Delphi Financial Group - Class A* 132,300
12,000 Penncorp Financial Group, Inc. 381,000
3,975 Protective Life Corp. 139,622
18,125 United Insurance Co. 412,344
12,100 UNUM Corp. 753,225
_______
2,273,691
Insurance - Multiline - 0.7%
5,250 Foremost Corp. of America 297,938
Leisure Time - 0.8%
3,550 Coleman Co., Inc.* 150,431
11,950 International Game Technology 201,655
_______
352,086
Lodging - 0.5%
6,600 Extended Stay America, Inc.* 207,900
Medical - Biotechnology - 0.5%
3,350 Medtronic, Inc. 187,600
Medical - Supplies - 0.8%
4,050 Baxter International, Inc. 191,363
2,150 Luxottica Group S.p.A. (ADR)* 157,756
_______
349,119
Mining - 0.3%
4,150 Minerals Technologies, Inc. 142,138
<PAGE>
Miscellaneous - Business Credit - 0.3%
2,725 AT&T Capital Corp. 119,219
Miscellaneous - Distribution and Wholesale - 0.4%
2,125 Cardinal Health, Inc. 153,266
Oil and Gas - Domestic - 0.3%
2,500 Tenneco, Inc. 127,813
Packaging and Containers - 0.5%
6,200 Sealed Air Corp.* 208,475
Personal Credit - 1.6%
17,625 Associates First Capital Corp.* 663,141
Pharmaceuticals - 2.6%
2,700 Centocor, Inc.* 80,662
5,225 Eli Lilly & Co. 339,625
15,311 Glaxo Wellcome PLC** 205,837
8,325 SmithKline Beecham PLC -
Class A (ADR)** 452,672
_______
1,078,796
Publishing - Newspaper - 0.2%
1,200 Reuters Holdings PLC (ADS)** 87,000
Publishing and Printing - 0.8%
5,800 Harland (John H.) Co. 142,825
494 Wolters Kluwer N.V.** 56,058
4,525 World Color Press, Inc.* 114,822
_______
313,705
Real Estate Investment Trust - 0.9%
12,625 Redwood Trust, Inc. 353,500
Retail - Special Line - 0.2%
16,913 Pagnossin S.p.A.* 97,960
<PAGE>
Services - Amusement and Recreation - 0.4%
20,150 London Clubs International PLC** 174,133
Services - Computer Integrated
Systems Design - 1.4%
7,850 Computer Sciences Corp.* 586,788
Services - Computer Processing
and Data Preparation - 1.6%
5,830 First Data Corp. 464,214
4,675 SunGard Data Systems, Inc.* 187,584
_______
651,798
Services - Computer Programming
and Data Processing - 1.4%
11,100 Electronic Data Systems Corp. 596,625
Services - Information Retainment Services - 0.2%
3,900 FactSet Research Systems, Inc.* 78,000
Telecommunications Equipment - 0.7%
7,850 U.S. Satellite Broadcasting Co., Inc.* 296,338
Transportation - Railroad - 0.5%
2,525 Burlington Northern Santa Fe Corp. 204,209
Utilities - Gas - 0.8%
14,500 Southern Union Co.* 319,000
Utilities - Telecommunications - 0.8%
6,000 Cincinnati Bell, Inc. 312,750
Wholesale - Special Line - 0.7%
6,750 Alco Standard Corp. 305,438
Total Common Stock (cost $18,068,306) 19,533,312
Preferred Stock - 3.3%
<PAGE>
Insurance - Multiline - 1.3%
23,000 Hartford Capital Corp., 7.70%,
Series A 572,125
Services - Computer Processing
and Data Preparation - 1.0%
2,728 SAP A.G.** 404,168
Telecommunications - 1.0%
6,300 MFS Communications Co., 8.00% 400,050
Total Preferred Stock (cost $1,341,902) 1,376,343
Corporate Bonds - 16.8%
Aerospace and Defense - 2.9%
$1,200,000 Lockheed Martin Corp., 6.55%
notes, due 5/15/99 1,197,000
Beverages - 0.7%
300,000 PepsiCo, Inc., 5.875%
notes, due 6/1/00 291,000
Broadcasting, Radio and Television - 2.7%
1,200,000 Heritage Media Corp., 8.75%
senior subordinated notes,
due 2/15/06 1,114,500
See Notes to Schedules of Investments
21
<PAGE>
Captive Finance - 1.1%
500,000 Associates Corp. N.A., 5.60%
senior notes, due 1/15/01 475,000
Captive Finance - Auto - 0.5%
195,000 General Motors Acceptance Corp.,
7.40% debentures, due 9/1/25 185,006
Financial - Savings/Loan/Thrift - 0.6%
250,000 First Nationwide Holdings, Inc., 9.125%
senior subordinated notes,
due 1/15/03 240,000
Financial - Security Broker - 0.2%
100,000 Merrill Lynch & Co., Inc., 6.375%
notes, due 3/30/99 99,375
Medical - Supplies - 1.1%
425,000 Dade International, Inc., 11.125%
senior subordinated notes,
due 5/1/06 440,938
Publishing and Printing - 1.1%
500,000 Dow Jones & Co., Inc., 5.75%
notes, due 12/1/00 480,625
Restaurants and Food Services - 0.8%
400,000 Wendy's International, Inc., 7.00%
debentures, due 12/15/25 360,000
Retail - Department Stores - 0.7%
300,000 J.C. Penny & Co., Inc., 6.375%
notes, due 9/15/00 294,375
Services - Hotels and Motels - 1.2%
540,000 Circus Circus Enterprise, Inc., 6.45%
senior notes, due 2/1/06 498,825
<PAGE>
Services - Motion Pictures
and Video Tape Production - 3.0%
1,250,000 Walt Disney Co. (The), 6.375%
notes, due 3/30/01 1,226,563
Utilities - Gas - 0.2%
100,000 Consolidated Natural Gas, 5.875%
debentures, due 10/1/98 98,750
Total Corporate Bonds (cost $7,206,942) 7,001,957
Convertible Bonds - 2.3%
Insurance - Multiline - 1.2%
482,000 Istituto Nazionale Delle Assicurazion,
5.00% convertible notes, due 6/28/01 491,640
Leisure Time - 0.3%
330,000 Coleman Worldwide Corp.,
zero coupon convertible liquid
yield option notes, due 5/27/13 108,488
Oil and Gas - Domestic - 0.8%
350,000 Ashland Oil, Inc., 6.75%
convertible debentures, due 7/1/14 349,125
Total Convertible Bonds (cost $938,695) 949,253
Foreign Bonds - 2.1%
CAD 870,000 Canadian Government Obligation,
8.75% debentures, due 12/1/05 686,575
DEM 300,000 Deutschland Republic, 6.25%
notes, due 1/4/24** 173,198
Total Foreign Bonds (cost $883,554) 859,773
U.S. Government Agency - 7.9%
$3,300,000 Federal Home Loan Bank System
5.52%, 7/1/96
(amortized cost $3,300,000) $ 3,300,000
<PAGE>
U.S. Government Obligations - 18.6%
U.S. Treasury Notes:
1,750,000 5.125%, 2/28/98 1,724,940
4,030,000 5.50%, 11/15/98 3,967,454
1,150,000 5.75%, 10/31/00 1,119,974
450,000 5.625%, 11/30/00 435,794
500,000 5.875%, 11/15/05 470,940
Total U.S. Government Obligations (cost $7,819,639) 7,719,102
Total Investments - 98.0% (total cost $39,559,038) 40,739,740
Cash, Receivables and Other Assets,
net of Liabilities - 2.0% 815,165
Net Assets - 100% $41,554,905
SUMMARY OF INVESTMENTS BY COUNTRY
June 30, 1996
Country % of Investment Securities Market Value
_______ __________________________ ____________
Canada 1.7% $686,575
Germany 1.4% 577,366
Italy 1.8% 747,356
Netherlands 0.1% 56,058
Spain 0.3% 109,746
United Kingdom 3.4% 1,363,672
United States++ 91.3% 37,198,967
______ __________
Total 100.0% $40,739,740
________________________________________________________________
++ Includes Short-Term Securities (83.2% excluding Short-Term
securities)
FORWARD CURRENCY CONTRACTS
Open at June 30, 1996
Currency
Currency Sold and Currency Value Unrealized
Settlement Date Units Sold in $ U.S. Gain/(Loss)
_________________ __________ _________ ___________
British Pound 8/22/96 175,000 $271,443 $(3,169)
British Pound 11/19/96 250,000 387,750 (10,800)
Dutch Guilder 11/19/96 80,000 47,326 (249)
<PAGE>
German Deutschemark 7/11/96 225,000 147,841 2,695
German Deutschemark 7/30/96 250,000 164,463 505
German Deutschemark 8/22/96 50,000 32,938 1,760
German Deutschemark 9/13/96 195,000 128,636 (465)
__________ _________
$1,180,397 $ (9,723)
See Notes to Schedules of Investments
22
<PAGE>
JANUS ASPEN FLEXIBLE INCOME PORTFOLIO SCHEDULE OF INVESTMENTS
(UNAUDITED)
Corporate Bonds - 71.8%
Aerospace and Defense - 0.6%
$110,000 International Lease Finance Corp.,
7.00% notes, due 5/15/00 $110,550
Auto and Truck - 0.3%
50,000 Hertz Corp., 6.625%
junior subordinated notes,
due 7/15/00 49,312
Broadcasting, Radio and Television - 6.0%
65,000 CF Cable TV, Inc., 11.625%
senior notes, due 2/15/05 71,094
250,000 Grupo Televisa S.A., 11.875%
senior notes, due 5/15/06 255,000
50,000 Marcus Cable Co., L.P., 11.875%
debentures, due 10/1/05 52,562
150,000 Pegasus Media & Communications,
Inc., 12.50% notes, due 7/1/05 160,688
10,000 Peoples Choice TV Corp., 13.125%
senior discount notes, due 6/1/04 5,900
500,000 TCI Communications, Inc., 8.00%
senior notes, due 8/1/05 488,125
_______
1,033,369
Building Materials - 2.3%
USG Corp.:
205,000 9.25% senior notes, due 9/15/01 210,637
200,000 8.50% senior notes, due 8/1/05 196,000
_______
406,637
Captive Finance - Auto - 6.2%
Ford Motor Credit Corp.:
300,000 7.75% notes, due 3/15/05 307,875
300,000 6.75% notes, due 5/15/05 288,750
<PAGE>
General Motors Acceptance Corp.,
500,000 6.625% notes, due 10/15/05 475,000
_______
1,071,625
Commercial Services - 0.6%
100,000 Primeco, Inc., 12.75%
senior subordinated notes,
due 3/1/05 106,625
Electronics - 2.4%
250,000 Alpine Group, Inc., 12.25%
senior notes, due 7/15/03 251,562
150,000 Selmer Co., Inc., 11.00%
senior subordinated notes,
due 5/15/05 156,563
_______
408,125
Financial - Bank Commercial - 4.7%
500,000 Bank of Boston Co., 6.625%
subordinated notes, due 12/1/05 474,375
100,000 First Union Corp., 7.05%
subordinated notes, due 8/1/05 97,625
250,000 Union Planters Corp., 6.75%
subordinated notes, due 11/1/05 236,250
_______
808,250
Financial - Bank Money Center - 4.1%
$250,000 BankAmerica Corp., 7.125%
subordinated notes, due 5/1/06 245,000
500,000 Chase Manhattan Corp., 6.75%
subordinated notes, due 8/15/08 471,250
_______
716,250
Financial - Savings/Loan/Thrift - 2.3%
405,000 Anchor Bancorp, Inc., 8.9375%
senior notes, due 7/9/03 404,494
<PAGE>
Food Processing - 1.1%
200,000 Ralston Purina Co., 7.875%
debentures, due 6/15/25 197,250
Food Wholesale - 2.9%
250,000 Smiths Food & Drug Centers, Inc.,
11.25% senior subordinated notes,
due 5/15/07 253,125
250,000 TLC Beatrice International Holdings,
Inc., 11.50% senior notes,
due 10/1/05 253,438
_______
506,563
Insurance - Life - 0.4%
75,000 Delphi Financial Group, Inc., 8.00%
senior notes, due 10/1/03 71,062
Iron and Steel - 2.8%
500,000 Weirton Steel Corp., 11.375%
senior notes, due 7/1/04 492,500
Medical - Hospital Management Services - 1.2%
200,000 Tenet Healthcare Corp., 8.625%
senior notes, due 12/1/03 202,250
Oil and Gas - Domestic - 1.0%
Texas Eastern Transmission Corp.:
75,000 10.125% sinking fund debentures,
due 9/1/11 79,406
90,000 10.00% sinking fund debentures,
due 10/1/11 95,175
______
174,581
Oil and Gas - International - 0.2%
35,000 Tesoro Petroleum Corp., 12.75%
senior debentures, due 3/15/01 34,869
<PAGE>
Packaging and Containers - 0.5%
85,000 Stone Container Corp., 11.50%
senior subordinated notes,
due 9/1/99 85,850
Publishing and Printing - 0.9%
News America Holdings, Inc.:
100,000 7.75% notes, due 1/20/24 92,250
75,000 7.70% notes, due 10/30/25 68,625
______
160,875
Retail - Apparel - 1.5%
250,000 Loehmanns, Inc., 11.875%
senior notes, due 5/15/03 257,813
Retail - Department Stores - 1.5%
250,000 Federated Department Stores, 8.50%
notes, due 6/15/03 250,313
See Notes to Schedules of Investments
23
<PAGE>
Retail - Grocery - 2.0%
$340,000 Carr-Gottstein Foods Co., 12.00%
senior subordinated notes,
due 11/15/05 351,050
Retail - Special Line - 1.8%
250,000 Chattem, Inc., 12.75%
senior subordinated notes,
due 6/15/04 254,375
64,000 Pier 1 Imports, Inc., 11.50%
subordinated debentures,
due 7/15/03 64,000
______
318,375
Services - Amusement and Recreation - 10.6%
250,000 California Hotel Finance, 11.00%
senior subordinated notes,
due 12/1/02 265,312
750,000 Majestic Star Casino L.L.C., 12.75%
senior notes, due 5/15/03+ 814,688
500,000 Trump Atlantic City Associates, 11.25%
first mortgage notes, due 5/1/06 502,500
250,000 Trump Castle Funding, 11.75%
first mortgage notes, due 11/15/03 259,375
_______
1,841,875
Services - Business Services - 2.6%
445,000 NeoData Services, Inc., 12.00%
senior notes, due 5/1/03 447,225
Services - Hotels and Motels - 2.3%
150,000 GNF Corp., 10.625%
first mortgage bonds, due 4/1/03 163,312
250,000 Riviera Holdings Corp., 11.00%
first mortgage notes, due 12/31/02 245,312
_______
408,624
Services - Motion Picture Theaters - 1.4%
250,000 United Artists Theatres Circuit, Inc.,
9.30% pass thru certificates,
due 7/1/15+ 237,500
<PAGE>
Services - Motion Picture and
Video Tape Production - 1.4%
254,000 Time Warner, Inc., 7.25%
debentures, due 9/1/08 237,490
Telecommunications - 3.1%
50,000 CAI Wireless Systems, Inc., 12.25%
senior notes, due 9/15/02 52,375
500,000 Rogers Cantel, Inc., 9.375%
debentures, due 6/1/08 489,375
_______
541,750
Telecommunications Equipment - 1.4%
250,000 360 Degrees Communications Co., 7.50%
senior notes, due 3/1/06 238,750
Utilities - Electric - 1.7%
300,000 El Paso Electric Co., 9.40%
first mortgage bonds, due 5/1/11 295,500
Total Corporate Bonds (cost $12,468,476) 12,467,302
Common Stock - 0.1%
15 Pegasus Media & Communications, 9,750
Inc.*,+ (cost $0)
U.S. Government Agency - 20.7%
$3,600,000 Federal Home Loan Bank System
5.52%, 7/1/96 3,600,000
(amortized cost $3,600,000)
U.S. Government Obligations - 7.7%
U. S. Treasury Notes:
1,100,000 6.875%, due 5/15/06 1,111,330
250,000 6.00%, due 2/15/26 222,500
Total U.S. Government Obligations (cost $1,334,264) 1,333,830
<PAGE>
Foreign Government Dollar Bonds - 0.4%
70,000 United Mexican States, 9.75%
notes, due 2/6/01 69,475
(cost $70,000)
Total Investments - 100.7% (total cost $17,472,740) 17,480,357
Liabilities, Net of Cash, Receivables
and Other Assets - (0.7%) (125,450)
Net Assets - 100% $17,354,907
Financial Futures - Short
5 Contracts U.S. Treasury - 10 year
note, expires September 1996,
principal amount $530,469 value
$537,500 cumulative depreciation $7,031
See Notes to Schedules of Investments
24
<PAGE>
JANUS ASPEN HIGH-YIELD PORTFOLIO SCHEDULE OF INVESTMENTS
(UNAUDITED)
Corporate Bonds - 86.9%
Broadcasting, Radio and Television - 3.1%
$10,000 Grupo Televisa S.A., 11.875%
senior notes, due 5/15/06 $10,200
Electronics - 3.0%
10,000 Alpine Group, Inc., 12.25%
senior notes, due 7/15/03 10,062
Food Wholesale - 6.1%
20,000 Smiths Food and Drug, 11.25%
senior subordinated notes,
due 5/15/07 20,250
Homebuilders - 6.0%
10,000 Fortress Group, 13.75%
senior notes, due 5/15/03 10,375
10,000 M.D.C. Holdings, Inc., 11.125%
senior notes, due 12/15/03 9,537
______
19,912
Iron and Steel - 3.0%
10,000 Weirton Steel Corp., 11.375%
senior notes, due 7/1/04 9,850
Oil and Gas Exploration - 6.1%
20,000 Mesa Capital Corp., 12.75%
discount notes, due 6/30/98 20,175
Packaging and Container - 3.0%
10,000 Stone Container Corp., 11.50%
senior subordinated notes,
due 9/1/99 10,100
<PAGE>
Publishing - Newspaper - 3.0%
10,000 Park Newspapers, Inc., 11.875%
senior notes, due 5/15/04 10,125
Retail - General Merchandise - 4.6%
15,000 Guitar Center Management, 11.00%
senior notes, due 7/1/04 15,225
Retail - Grocery - 3.1%
10,000 Carr-Gottstein Foods Co., 12.00%
senior subordinated notes,
due 11/15/05 10,325
Services - Amusement and Recreation - 24.9%
15,000 Argosy Gaming Co., 13.25%
first mortgage notes, due 3/15/04 15,300
10,000 California Hotel Finance, 11.00%
senior subordinated notes,
due 12/1/02 10,612
15,000 Cobblestone Golf Group, 11.50%
senior notes, due 6/1/03 15,150
10,000 Harvey Casinos Resorts, 10.625%
senior subordinated notes,
due 6/1/06 10,050
10,000 Majestic Star Casino, L.L.C., 12.75%
senior notes, due 5/15/03+ 10,863
10,000 Trump Atlantic City Associates, 11.25%
first mortgage notes, due 5/1/06 10,050
10,000 Trump Castle Funding, 11.75%
mortgage notes, due 11/15/03 10,375
______
82,400
Telecommunications - 21.0%
$10,000 A+ Network, Inc., 11.875%
senior subordinated notes,
due 11/1/05 10,300
10,000 Galaxy Telecom, L.P., 12.375%
senior subordinated notes,
due 10/1/05 10,350
25,000 Millicom International Cellular,
zero coupon, senior discount notes,
due 6/1/06+ 13,250
15,000 Mobile Telecommunications
Technologies, 13.50% senior notes,
due 12/15/02 15,919
<PAGE>
10,000 NEXTLINK Communications, L.L.C.,
12.50% senior notes, due 4/15/06+ 9,975
10,000 Peoples Telephone Co., Inc., 12.25%
senior notes, due 7/15/02 9,713
_______
69,507
Total Corporate Bonds (cost $285,214) 288,131
Preferred Stock - 3.4%
2,000 Tyco Toys, Inc., 8.25%, convertible,
(cost $10,000) 11,250
U.S. Government Agency - 12.1%
$40,000 Federal Home Loan Mortgage Corp.
5.20%, 7/1/96,
(amortized cost $40,000) 40,000
Total Investments - 102.4% (total cost $335,214) 339,381
Liabilities, net of Cash, Receivables
and Other Assets - (2.4%) (7,900)
Net Assets - 100% $331,481
See Notes to Schedules of Investments
25
<PAGE>
JANUS ASPEN SHORT-TERM BOND PORTFOLIO SCHEDULE OF INVESTMENTS
(UNAUDITED)
Corporate Bonds - 63.6%
Aerospace and Defense - 8.7%
$250,000 International Lease Finance Corp.,
6.625% notes, due 4/1/99 $249,687
250,000 Lockheed Martin Corp., 6.55%
company guaranteed notes,
due 5/15/99 249,375
_______
499,062
Business Credit - 4.3%
250,000 Pitney Bowes Credit Corp., 6.25%
notes, due 6/1/98 249,062
Captive Finance - 4.3%
250,000 Associates Corp. N.A., 6.00%
notes, due 3/15/99 246,563
Computers - 4.3%
250,000 IBM Corp., 6.375%
notes, due 6/15/00 247,188
Financial - Bank Commercial - 6.9%
250,000 Norwest Corp., 6.25%
senior notes, due 4/15/99 248,125
150,000 Provident Bank (The), 6.125%
senior notes, due 12/15/00 145,313
_______
393,438
Financial - Savings/Loan/Thrift - 4.3%
250,000 Great Western Financial Corp., 6.125%
notes, due 6/15/98 248,437
<PAGE>
Financial - Security Broker - 8.6%
250,000 Dean Witter Discover & Co., 6.00%
notes, due 3/1/98 248,437
250,000 Merrill Lynch & Co., Inc., 6.50%
notes, due 4/1/01 245,313
_______
493,750
Food Processing - 4.3%
250,000 Grand Metropolitan Investment Corp.,
6.50% company guaranteed notes,
due 9/15/99 248,125
Insurance - Multiline - 2.6%
150,000 Travelers Group, Inc., 5.75%
notes, due 4/15/98 $ 148,125
Oil and Gas - Exploration - 3.5%
200,000 Mesa Capital Corp., 12.75%
discount notes, due 6/30/98 201,750
Personal Credit - 4.4%
250,000 Capital One Bank, 7.35%
senior notes, due 6/20/00 251,250
Retail - Department Stores - 2.2%
125,000 Wal-Mart Stores, Inc., 5.50%
notes, due 9/15/97 123,906
Transportation - Railroad - 4.3%
250,000 Union Pacific Corp., 6.25%
notes, due 3/15/99 247,500
Utilities - Electric - 0.9%
50,000 Ohio Power Co., 6.75%
first mortgage bonds, due 3/1/98 50,062
Total Corporate Bonds (cost $3,653,549) 3,648,218
U.S. Government Obligation - 36.1%
2,065,000 U.S. Treasury Note, 6.00%,
due 8/31/97 (cost $2,064,676) 2,066,859
<PAGE>
Total Investments - 99.7% (total cost $5,718,225) 5,715,077
Cash, Receivables and Other Assets,
net of Liabilities - 0.3% 16,656
Net Assets - 100% $5,731,733
See Notes to Schedules of Investments
26
<PAGE>
JANUS ASPEN MONEY MARKET PORTFOLIO SCHEDULE OF INVESTMENTS
(UNAUDITED)
Principal Amount Market Value
________________ _____________
Short-Term Corporate Notes - 30.2%
$200,000 Bank of New York Co., Inc.
5.40%, 7/2/96 $199,970
150,000 Countrywide Funding Corp.
5.39%, 7/18/96 149,618
100,000 Dean Witter Discover & Co.
5.38%, 7/1/96 100,000
125,000 Ford Motor Credit Co.
5.29%, 7/8/96 124,872
150,000 Goldman Sachs Group
5.60%, 7/1/96 150,000
150,000 Merrill Lynch and Co., Inc.
5.28%, 7/19/96 149,604
100,000 Wal-Mart Stores, Inc.
5.32%, 7/10/96 99,867
Total Short-Term Corporate Notes
(amortized cost $973,931) 973,931
U.S. Government Agency - 47.5%
Federal Home Loan Bank System:
$1,000,000 5.52%, 7/1/96 $ 1,000,000
180,000 5.29%, 7/17/96 179,577
Federal Home Loan Mortgage Corp.
180,000 5.25%, 7/1/96 180,000
Federal National Mortgage Association
175,000 5.29%, 7/23/96 174,434
Total U.S. Government Agency
(amortized cost $1,534,011) 1,534,011
Repurchase Agreement - 24.8%
800,000 NationsBank Repurchase Agreement
5.62%, dated 6/28/96, maturing
7/1/96, to be repurchased at
$800,375, collateralized by
$800,000 in Federal National
<PAGE>
Mortgage Association notes 7.00%,
1/25/11, with a value of $816,001
(cost $800,000) 800,000
Total Investments - 102.5% (total cost $3,307,942) 3,307,942
Liabilities, net of Cash, Receivables
and Other Assets - (2.5%) (79,924)
Net Assets - 100% $3,228,018
See Notes to Financial Statements
NOTES TO SCHEDULES OF INVESTMENTS
(ADR) American Depository Receipt
(ADS) American Depository Shares
(CAD) Canadian Dollars
(DEM) German Deutschemarks
(GDR) Global Depository Receipt
(GDS) Global Depository Shares
Adjustable Rate Preferred Stock dividend rates are as of 6/30/96
*Non-income producing security
**A portion of this security has been segregated by the custodian
to cover margin or segregation requirements on open futures
contracts and/or foreign currency contracts.
+Securities are registered pursuant to Rule 144A and may be
deemed to be restricted for resale.
See Notes to Schedules of Investments
27
<PAGE>
<TABLE>
STATEMENTS OF ASSETS AND LIABILITIES
<CAPTION>
Janus Janus Janus Janus Janus
Janus Aspen Janus Aspen Aspen Janus Aspen Janus Aspen Aspen
Aspen Aggressive International Worldwide Aspen Flexible Aspen Short- Money
As of June 30, 1996 Growth Growth Growth Growth Balanced Income High-Yield Term Bond Market
(all number in thousands Portfolio Portfolio Portfolio Portfolio Portfolio Portfolio Portfolio Portfolio Portfolio
except net asset value
per share) (unaudited) _________ ___________ _____________ _________ _________ _________ __________ _________ _________
<S> <C> <C> <C> <C> <C> <C> <C> <C> <C>
Assets:
Investments at cost $ 188,613 $265,979 $3,666 $255,170 $39,559 $17,473 $335 $5,718 $3,308
Investments at Value $ 212,008 $315,803 $4,348 $296,735 $40,740 $17,480 $339 $5,715 $3,308
Cash 502 265 171 1,415 58 149 2 19 7
Receivables:
Investments sold 1,957 3,759 82 5,365 480 490 21 251 --
Fund shares sold 718 827 42 1,459 148 181 -- -- --
Interest -- 4 -- -- 256 280 6 95 --
Dividends 114 23 17 766 33 -- -- -- --
From adviser -- -- 13 -- -- -- 2 -- 2
Other assets 1 4 1 2 -- 1 -- 1 --
Foreign currency
contracts -- -- 10 1,156 -- 2 -- -- --
_______ _______ ______ ________ _______ _______ ____ ______ ______
Total Assets 215,300 320,685 4,684 306,898 41,715 18,583 370 6,081 3,317
Liabilities:
Payables:
Investments purchased 1,920 8,589 188 7,689 105 1,206 35 301 --
Fund shares re-
purchased -- -- -- -- -- -- -- 42 84
Advisory fee 112 183 3 152 26 9 -- 3 1
Variation margin -
futures contracts -- -- -- 113 -- 4 -- -- --
Accrued expenses 34 38 13 43 19 9 4 3 4
Foreign currency
contracts 87 289 -- -- 10 -- -- -- --
_____ _____ ___ _____ ___ _____ ___ ____ ___
Total Liabilities 2,153 9,099 204 7,997 160 1,228 39 349 89
<PAGE>
Net Assets $213,147 $311,586 $4,480 $298,901 $41,555 $17,355 $331 $5,732 $3,228
Shares Outstanding,
$.001 Par Value
(unlimited shares
authorized) 14,594 16,482 315 16,398 3,036 1,618 33 584 3,228
______ ______ ______ ________ _______ _______ _____ ______ ______
Net Asset Value Per
Share $14.60 $18.90 $14.21 $18.23 $13.69 $10.73 $10.18 $9.81 $1.00
====== ====== ====== ====== ====== ====== ====== ===== =====
</TABLE>
<PAGE>
<TABLE>
STATEMENTS OF OPERATIONS
<CAPTION>
Janus Janus Janus Janus Janus
Janus Aspen Janus Aspen Aspen Janus Aspen Janus Aspen Aspen
Aspen Aggressive International Worldwide Aspen Flexible Aspen Short- Money
For the six months Growth Growth Growth Growth Balanced Income High-Yield Term Bond Market
ended June 30, 1996 Portfolio Portfolio Portfolio Portfolio Portfolio Portfolio Portfolio(1) Portfolio Portfolio
(all numbers in
thousands) (unaudited) _________ ___________ _____________ _________ _________ _________ __________ _________ _________
<S> <C> <C> <C> <C> <C> <C> <C> <C> <C>
Investment Income:
Interest $745 $413 $5 396 $416 $563 $4 $138 $67
Dividends 989 145 23 1,934 113 2 -- -- --
Foreign Tax Withheld (25) (9) (3) (227) (2) -- -- -- --
Total Investment Income 1,709 549 25 2,103 527 565 4 138 67
Expenses:
Advisory fees 553 885 10 630 109 45 -- 15 3
Transfer agent
expenses 1 1 -- 1 1 -- -- -- --
Registration fees (18) (37) -- (5) (1) (3) -- -- (1)
System fees 3 4 -- 5 4 -- 1 -- 2
Custodian fees 38 44 15 72 21 9 -- 3 3
Insurance expenses 1 -- -- 1 2 1 1 -- 1
Audit fees 1 8 2 6 3 4 -- -- 2
Other expenses 1 -- 2 3 (3) 1 1 (2) --
Total Expenses 580 905 29 713 136 57 3 16 10
Less: Expense offset (2) (1) -- (3) (2) -- -- (1) --
Net expenses 578 904 29 710 134 57 3 15 10
Less: Excess expense
reimbursement -- -- (13) -- -- -- (3) -- (4)
Net expenses after
reimbursement 578 904 16 710 134 57 -- 15 6
Net investment
income/(loss) 1,131 (355) 9 1,393 393 508 4 123 61
Net Realized and
Unrealized Gain/
(Loss) on Investments:
Net realized gain/
(loss) from securities
transactions 5,713 5,554 82 4,182 999 31 -- (77) --
Net realized gain/
(loss) from foreign
currency 337 56 37 1,416 24 40 -- -- --
Net realized gain
from futures contracts -- (197) -- 167 -- (18) -- -- --
Change in net unrealized
appreciation or
(depreciation) of
investments 8,907 20,512 374 28,914 274 (372) 4 (27) --
Net gain/(loss) on
investments 14,957 25,925 493 34,679 1,297 (319) 4 (104) --
______ ______ ___ ______ _____ _____ __ _____ __
Net increase/(decrease)
in net assets resulting
from operations $16,088 $25,570 $502 $36,072 $1,690 $189 $8 $19 $61
======= ======= ==== ======= ====== ==== == === ===
<FN>
(1) For the period May 1, 1996 (inception) to June 30, 1996
</TABLE>
See Notes to Schedules of Investments
<PAGE>
28-29
<PAGE>
<TABLE>
STATEMENTS OF CHANGES IN NET ASSETS
For the six months or periods ended
June 30, 1996 (unaudited) Janus Aspen Janus Aspen Janus Aspen
and the year ended December 31, 1995 Growth Aggressive International
(all numbers in thousands) Portfolio Growth Portfolio Growth Portfolio
___________ ________________ ________________
1996 1995 1996 1995 1996 1995
____ ____ ____ ____ ____ ____
<S> <C> <C> <C> <C> <C> <C>
Operations:
Net investment income/(loss) $1,131 $957 $(355) $622 $9 $(14)
Net realized gain/(loss) from
investment transactions 6,050 5,455 5,413 3,639 119 122
Change in unrealized net appreciation
or (depreciation) of investments 8,907 13,625 20,512 26,665 374 303
Net increase/(decrease) in net assets
resulting from operations 16,088 20,037 25,570 30,926 502 411
Dividends and Distributions:
Net investment income (3,284) (2,611) (2,605) (2,143) (25) (3)
Net realized gain from investment
transactions (984) -- (635) (7) (67) --
Net decrease in net assets from
dividends and distributions (4,268) (2,611) (3,240) (2,150) (92) (3)
Capital Share Transactions:
Shares sold 77,897 70,676 109,074 132,658 3,394 3,857
Reinvested dividends and distributions 4,268 2,611 3,240 2,150 92 3
Shares repurchased (7,749) (7,351) (8,969) (18,962) (1,024) (4,013)
Net increase/(decrease) in net assets
from capital share transactions 74,416 65,936 103,345 115,846 2,462 (153)
Net increase/(decrease) in net assets 86,236 83,362 125,675 144,622 2,872 255
Net Assets:
Beginning of period 126,911 43,549 185,911 41,289 1,608 1,353
End of Period $213,147 $126,911 $311,586 $185,911 $4,480 $1,608
<PAGE>
Net Assets consist of:
Capital (par value and paid-in
surplus)* $183,685 $109,269 $257,403 $154,058 $3,680 $1,219
Undistributed net investment income/
(distribution in excess)* (2,152) -- (2,960) -- (6) 9
Undistributed net realized gain/(loss)
from investments* 8,306 3,241 7,607 2,829 113 62
Unrealized appreciation/(depreciation)
of investments 23,308 14,401 49,536 29,024 693 318
$213,147 $126,911 $311,586 $185,911 $4,480 $1,608
Transactions in Fund Shares:
Shares sold 5,404 5,726 5,919 8,985 253 360
Reinvested distributions 294 198 176 139 6 --
Total 5,698 5,924 6,095 9,124 259 360
Shares repurchased (540) (608) (498) (1,270) (79) (364)
Net increase/(decrease) 5,158 5,316 5,597 7,854 180 (4)
Shares outstanding beginning of period 9,436 4,120 10,885 3,031 135 139
Shares outstanding end of period 14,594 9,436 16,482 10,885 315 135
Purchases and Sales of Investment
Securities:
(excluding Short-Term Securities)
Purchases of Securities $129,517 $178,852 $236,756 $270,419 $2,482 $3,144
Proceeds from Sales of Securities 69,051 119,370 134,940 149,381 1,070 3,166
Purchases of Long-Term U.S. Government
Obligations -- -- -- -- -- --
Proceeds from Sales of Long-Term U.S.
Government Obligations -- -- -- -- -- --
======== ======== ======== ======== ======== ========
<FN>
(1) Period May 1, 1996 (inception)to June 30, 1996
(2) Period May 1, 1995 (inception) to December 31, 1995
<PAGE>
*See Note 3 in Notes to Financial Statements
</TABLE>
See Notes to Schedules of Investments
30
<PAGE>
<TABLE>
For the six months or periods ended Janus Aspen Janus Aspen Janus Aspen
June 30, 1996 (unaudited) Worldwide Balanced Flexible
and the year ended December 31, 1995 Growth Portfolio Portfolio Income Portfolio
(all numbers in thousands) ________________ ___________ ________________
1996 1995 1996 1995 1996 1995
____ ____ ____ ____ ---- ----
<S> <C> <C> <C> <C> <C> <C>
Operations:
Net investment income/(loss) $1,393 $564 $393 $138 $508 $414
Net realized gain/(loss) from
investment transactions 5,765 1,712 1,023 323 53 360
Change in unrealized net appreciation
or (depreciation) of investments 28,914 13,136 274 903 (372) 407
Net increase/(decrease) in net assets
resulting from operations 36,072 15,412 1,690 1,364 189 1,181
Dividends and Distributions:
Net investment income (2,145) (388) (578) (150) (755) (439)
Net realized gain from investment
transactions (1,069) (8) (17) -- (8) --
Net decrease in net assets from
dividends and distributions (3,214) (396) (595) (150) (763) (439)
Capital Share Transactions:
Shares sold 162,214 62,833 28,446 11,288 9,429 11,580
Reinvested dividends and distributions 3,214 396 595 150 763 439
Shares repurchased (7,948) (7,410) (2,602) (1,784) (3,094) (3,854)
Net increase/(decrease) in net assets
from capital share transactions 157,480 55,819 26,439 9,654 7,098 8,165
Net increase/(decrease) in net assets190,338 70,835 27,534 10,868 6,524 8,907
Net Assets:
Beginning of period 108,563 37,728 14,021 3,153 10,831 1,924
End of Period $298,901 $108,563 $41,555 $14,021 $17,355 $10,831
<PAGE>
Net Assets consist of:
Capital (par value and paid-in
surplus)* $250,718 $ 93,238 $39,286 $12,847 $17,291 $10,193
Undistributed net investment income/
(distribution in excess)* (307) 445 (185) -- (247) --
Undistributed net realized gain/(loss)
from investments* 6,037 1,341 1,283 277 310 265
Unrealized appreciation/(depreciation)
of investments 42,453 13,539 1,171 897 1 373
$298,901 $108,563 $41,555 $14,021 $17,355 $10,831
Transactions in Fund Shares:
Shares sold 9,606 4,494 2,110 916 851 1,097
Reinvested distributions 177 26 44 12 71 41
Total 9,783 4,520 2,154 928 922 1,138
Shares repurchased (475) (555) (194) (148) (279) (366)
Net increase/(decrease) 9,308 3,965 1,960 780 643 772
Shares outstanding beginning of period 7,090 3,125 1,076 296 975 203
Shares outstanding end of period 16,398 7,090 3,036 1,076 1,618 975
Purchases and Sales of Investment
Securities:
(excluding Short-Term Securities)
Purchases of Securities $199,672 $108,274 $40,210 $13,600 $20,777 $17,361
Proceeds from Sales of Securities 55,631 56,240 17,237 6,223 16,805 10,758
Purchases of Long-Term U.S. Government
Obligations -- -- -- 4,520 1,115 2,561
Proceeds from Sales of Long-Term U.S.
Government Obligations -- -- -- 1,551 1,180 1,481
======== ======== ======== ======== ======== ========
<FN>
(1) Period May 1, 1996 (inception)to June 30, 1996
(2) Period May 1, 1995 (inception) to December 31, 1995
<PAGE>
*See Note 3 in Notes to Financial Statements
</TABLE>
<TABLE>
For the six months or periods ended Janus Aspen Janus Aspen Janus Aspen
June 30, 1996 (unaudited) High-Yield Short-Term Money Market
and the year ended December 31, 1995 Portfolio Bond Portfolio Portfolio
(all numbers in thousands) ___________ ______________ ____________
1996(1) 1996 1995 1996 1995(2)
____ ____ ____ ____ ____
<S> <C> <C> <C> <C> <C>
Operations:
Net investment income/(loss) $4 $123 $164 $61 $55
Net realized gain/(loss) from
investment transactions -- (77) 36 -- --
Change in unrealized net appreciation
or (depreciation) of investments 4 (27) 54 -- --
Net increase/(decrease) in net assets
resulting from operations 8 19 254 61 55
Dividends and Distributions:
Net investment income (3) (144) (162) (61) (55)
Net realized gain from investment
transactions -- -- -- -- --
Net decrease in net assets from
dividends and distributions (3) (144) (162) (61) (55)
Capital Share Transactions:
Shares sold 341 3,577 7,515 12,502 12,036
Reinvested dividends and distributions 3 144 162 60 55
Shares repurchased (18) (1,051) (7,484) (11,069) (10,356)
Net increase/(decrease) in net assets
from capital share transactions 326 2,670 193 1,493 1,735
Net increase/(decrease) in net assets 331 2,545 285 1,493 1,735
<PAGE>
Net Assets:
Beginning of period -- 3,187 2,902 1,735 --
End of Period $331 $5,732 $3,187 $3,228 $1,735
Net Assets consist of:
Capital (par value and paid-in surplus)* $326 $5,811 $3,142 $3,228 $1,735
Undistributed net investment income/
(distribution in excess)* 1 (4) 16 -- --
Undistributed net realized gain/(loss)
from investments* -- (72) 5 -- --
Unrealized appreciation/(depreciation)
of investments 4 (3) 24 -- --
$331 $5,732 $3,187 $3,228 $1,735
Transactions in Fund Shares:
Shares sold 34 357 752 12,502 12,036
Reinvested distributions -- 15 16 60 55
Total 34 372 768 12,562 12,091
Shares repurchased (1) (106) (748) (11,069) (10,356)
Net increase/(decrease) 33 266 20 1,493 1,735
Shares outstanding beginning of period -- 318 298 1,735 --
Shares outstanding end of period 33 584 318 3,228 1,735
Purchases and Sales of Investment
Securities:
(excluding Short-Term Securities)
Purchases of Securities $389 $5,105 $3,003 -- --
Proceeds from Sales of Securities 94 3,191 2,762 -- --
Purchases of Long-Term U.S. Government
Obligations -- 7,218 8,359 -- --
Proceeds from Sales of Long-Term U.S.
Government Obligations -- 6,677 8,284 -- --
======== ======== ======== ======== ========
<FN>
(1) Period May 1, 1996 (inception)to June 30, 1996
<PAGE>
(2) Period May 1, 1995 (inception) to December 31, 1995
*See Note 3 in Notes to Financial Statements
</TABLE>
31
<PAGE>
<TABLE>
Financial Highlights
<CAPTION>
For a share outstanding during the six months ended Janus Aspen Janus Aspen
June 30, 1996 (unaudited) or throughout each fiscal Growth Aggressive
year ended December 31. Portfolio Growth Portfolio
___________ ________________
1996 1995 1994 1993(1) 1996 1995 1994 1993(1)
____ ____ ____ ____ ____ ____ ____ ____
<S> <C> <C> <C> <C> <C> <C> <C> <C>
Net asset value, beginning of period $13.45 $10.57 $10.32 $10.00 $17.08 $13.62 $11.80 $10.00
Income from investment operations
Net investment income/(loss) .38 .28 .09 .03 (.02) .24 .11 .01
Net gains or (losses) on securities (both
realized and unrealized) 1.07 2.90 .20 .32 2.04 3.47 1.82 1.80
Total from investment operations 1.45 3.18 .29 .35 2.02 3.71 1.93 1.81
Less distributions
Dividends (from net investment income) (.23) (.30) (.04) (.03) (.16) (.25) (.11) (.01)
Dividends (in excess of net investment income) (.07) -- -- -- -- (.04) -- --
Total distributions (.30) (.30) (.04) (.03) (.20) (.25) (.11) (.01)
Net asset value, end of period $14.60 $13.45 $10.57 $10.32 $18.90 $17.08 $13.62 $11.80
Total return** 10.79% 30.17% 2.76% 3.50% 11.86% 27.48% 16.33% 18.05%
Net assets, end of period (in thousands) $213,147 $126,911 $43,549 $7,482 $311,586 $185,911 $41,289 $1,985
Average net assets for the period (in thousands) 170,326 77,344 26,464 3,191 243,754 107,582 14,152 1,091
Ratio of gross expenses to average net assets* 0.68%(5) 0.78%(6) N/A N/A 0.75%(5) 0.86%(6) N/A N/A
Ratio of net expenses to average net assets* 0.68% 0.76% 0.88%(7) 0.25%(8) 0.75% 0.84% 1.05%(7) 0.25%(8)
Ratio of net investment income to average net assets* 1.34% 1.24% 1.45% 2.54% (0.29%) 0.58% 2.18% 0.34%
Portfolio turnover rate* 95% 185% 169% 162% 116% 155% 259% 31%
Average commission per share $0.0444 N/A N/A N/A $0.0362 N/A N/A N/A
</TABLE>
<TABLE>
<CAPTION>
For a share outstanding during the six months ended Janus Aspen Janus Aspen
June 30, 1996 (unaudited) or throughout each fiscal International Worldwide
year ended December 31. Growth Portfolio Growth Portfolio
________________ ________________
1996 1995 1994(2) 1996 1995 1994 1993(1)
____ ____ ____ ____ ____ ____ ____
<S> <C> <C> <C> <C> <C> <C> <C>
Net asset value, beginning period $11.95 $9.72 $10.00 $15.31 $12.07 $11.89 $10.00
Income from investment operations
Net investment income/(loss) .21 .09 (.09) .09 .11 .04 .02
Net gains or (losses) on securities
(both realized and unrealized) 2.35 2.16 (.19) 3.03 3.19 .14 1.89
Total from investment operations 2.56 2.25 (.28) 3.12 3.30 .18 1.91
Less distributions
<PAGE>
Dividends (from net investment (.08) (.02) -- (.13) (.06) -- (.01)
Dividends (in excess of net investment income) (.22) -- -- (.07) -- -- (.01)
Total distributions (.30) (.02) -- (.20) (.06) -- (.02)
Net asset value, end of period $14.21 $11.95 $9.72 $18.23 $15.31 $12.07 $11.89
Total return** 21.46% 23.15% (2.80%) 20.32% 27.37% 1.53% 19.10%
Net assets, end of period (in thousands) $4,480 $1,608 $1,353 $298,901$108,563 $37,728 $4,856
Average net assets for the period (in thousands) 2,569 1,792 1,421 190,772 59,440 22,896 2,200
Ratio of gross expenses to average net assets* 2.27%(5) 2.69%(6) N/A 0.75%(5)0.90%(6) N/A N/A
Ratio of net expenses to average net assets* 1.25% 2.50% 2.50%(7) 0.74% 0.87% 1.18%(7) 0.25%(8)
Ratio of net investment income to average net assets* 0.73% (0.80%) (1.30%) 1.47% 0.95% 0.50% 0.84%
Portfolio turnover rate* 90% 211% 275% 61% 113% 217% 57%
Average commission per share $0.0285 N/A N/A $0.0514 N/A N/A N/A
</TABLE>
<TABLE>
<CAPTION>
For a share outstanding during the six months ended Janus Aspen Janus Aspen
June 30, 1996 (unaudited) or throughout each fiscal Balanced Flexible
year ended December 31. Portfolio Income Portfolio
___________ ________________
1996 1995 1994 1993(1) 1996 1995 1994 1993(1)
____ ____ ____ ____ ____ ____ ____ ____
<C> <C> <C> <C> <C> <C> <C> <C>
<S>
Net asset value, beginning of period $13.03 $10.63 $10.64 $10.00 $11.11 $9.48 $9.97 $10.00
Income from investment operations
Net investment income/(loss) .13 .17 .15 .08 .35 .53 .47 .11
Net gains or (losses) on securities (both
realized and unrealized) .73 2.45 (.06) .64 (.23) 1.70 (.56) (.04)
Total from investment operations .86 2.62 .09 .72 .12 2.23 (.09) .07
Less distributions
Dividends (from net investment income) (.19) (.22) (.10) (.08) (.49) (.60) (.40) (.10)
Dividends (in excess of net investment income) (.01) -- -- -- (.01) -- -- --
Total distributions (.20) (.22) (.10) (.08) (.50) (.60) (.40) (.10)
Net asset value, end of period $13.69 $13.03 $10.63 $10.64 $10.73 $11.11 $9.48 $9.97
Total return** 6.53% 24.79% 0.84% 7.20% 1.01% 23.86% (0.91%) 0.70%
Net assets, end of period (in thousands) $41,555 $14,021 $3,153 $537 $17,355 $10,831 $1,924 $538
Average net assets for the period (in thousands) 27,364 5,739 2,336 521 13,974 5,556 1,636 497
Ratio of gross expenses to average net assets* 1.00%(5) 1.37%(6) N/A N/A 0.83%(5) 1.07%(6) N/A N/A
Ratio of net expenses to average net assets* 0.99% 1.30% 1.57%(7)0.25%(8) 0.83% 1.00% 1.00%(7) 1.00%(8)
Ratio of net investment income to average net assets* 2.89% 2.41% 1.90% 2.69% 7.31% 7.46% 5.49% 3.77%
Portfolio turnover rate* 133% 149% 158% 126% 290% 236% 234% 508%
Average commission per share $0.0367 N/A N/A N/A N/A N/A N/A N/A
</TABLE>
<PAGE>
<TABLE>
<CAPTION>
For a share outstanding during the six months Janus Aspen Janus Aspen Janus Aspen
ended June 30, 1996 (unaudited) or throughout High-Yield Short-Term Money Market
each fiscal year ended December 31. Portfolio Portfolio Portfolio
___________ ___________ ____________
1996(3) 1996 1995 1994 1993(1) 1996 1995(4)
____ ____ ____ ____ ____ ____ ____
<C> <C> <C> <C> <C> <C> <C>
<S>
Net asset value, beginning of period $10.00 $10.03 $9.72 $9.93 $10.00 $1.00 $1.00
Income from investment operations
Net investment income/(loss) .12 .19 .60 .35 .11 .02 .04
Net gains or (losses) on securities
(both realized and unrealized) .16 (.16) .31 (.26) (.08) -- --
Total from investment operations .28 .03 .91 .09 .03 .02 .04
Less distributions
Dividends (from net investment income) (.10) (.25) (.60) (.30) (.10) (.02) (.04)
Dividends (in excess of net investment income) -- -- -- -- -- -- --
Total distributions (.10) (.25) (.60) (.30) (.10) (.02) (.04)
Net asset value, end of period $10.18 $9.81 $10.03 $9.72 $9.93 $1.00 $1.00
Total return** 2.80% 0.30% 9.54% 0.92% 0.30% 2.46% 3.63%
Net assets, end of period (in thousands) $331 $5,732 $3,187 $2,902 $502 $3,228 $1,735
Average net assets for the period (in thousands) 294 4,637 2,727 1,774 492 2,511 $1,543
Ratio of gross expenses to average net assets* 7.53%(5) 0.67%(5) 0.70%(6) N/A N/A 0.50%(5) 0.50%(6)
Ratio of net expenses to average net assets* 1.00% 0.65% 0.65% 0.65%(7) 0.65%(8) 0.50% 0.50%
Ratio of net investment income to average net assets*7.94% 5.32% 6.02% 5.00% 3.57% 4.89% 5.30%
Portfolio turnover rate* 204% 433% 417% 256% 91% N/A N/A
Average commission per share N/A N/A N/A N/A N/A N/A N/A
<FN>
* Annualized for periods of less than one full year.
** Total return not annualized for periods of less than 1 full year.
(1) Period September 13, 1993 (inception) to December 31, 1993
(2) Period May 2, 1994 (inception) to December 31, 1994
(3) Period May 1, 1996 (inception) to June 30, 1996
(4) Period May 1, 1995 (inception) to December 31, 1995
(5) The ratio was 0.83%, 1.58%, 2.75%, 0.88%, 2.11%, 0.83%, 7.53%, 0.67%, and 0.80%, respectively for the Growth, Aggressive
Growth, International Growth, Worldwide Growth, Balanced, Flexible Income, High-Yield, Short-Term Bond and Money Market
Portfolios before waiver of certain fees and/or voluntary voluntary reduction of advisor's fee to the effective rate of the
corresponding Janus Retail Fund.
(6) The ratio was 0.98%, 0.93%, 3.57%, 1.09%, 1.55%, 1.07%, 1.37% and 1.07%, respectively for the Growth, Aggressive Growth,
International Growth, Worldwide Growth, Balanced, Flexible Income, Short-Term Bond and Money Market Portfolios before waiver
of certain fees and/or voluntary reduction of advisor's fee to the effective rate of the corresponding Janus Retail Fund.
(7) The ratio was 1.23%, 1.14%, 4.67%, 1.49%, 1.74%, 1.35% and 1.40%, respectively, for the Growth, Aggressive Growth,
International Growth, Worldwide Growth, Balanced, Flexible Income and Short-Term Bond Portfolios, before waiver of certain
fees and/or voluntary reduction of advisor's fee to the effective rate of the corresponding Janus Retail Fund.
(8) The ratio was 2.16%, 5.79%, 2.71%, 7.92%, 5.27% and 5.33%, respectively, for the Growth, Aggressive Growth, Balanced
Worldwide Growth, Flexible Income, and Short-Term Bond Portfolios, before waiver of certain fees and/or voluntary reduction
of advisor's fee to the effective rate of the corresponding Janus Retail Fund.
<PAGE>
</TABLE>
32-33
<PAGE>
Notes to Financial Statements
1. Organization and Significant Accounting Policies
Janus Aspen Series (the "Trust") was organized as a Delaware
Trust on May 20, 1993 and is registered under the Investment
Company Act of 1940 (the "1940 Act") as a no-load, open-end
management investment company. The Trust offers nine portfolios
or series of shares with differing investment objectives and
policies. Five portfolios invest primarily in equity securities:
Janus Aspen Growth Portfolio, Janus Aspen Aggressive Growth
Portfolio, Janus Aspen International Growth Portfolio, Janus
Aspen Worldwide Growth Portfolio, and Janus Aspen Balanced
Portfolio. Three Portfolios invest primarily in income producing
securities: Janus Aspen Flexible Income Portfolio, Janus Aspen
High-Yield Portfolio and Janus Aspen Short-Term Bond Portfolio.
Janus Money Market Portfolio invests in short-term money market
securities. Each Portfolio is diversified as defined in the 1940
Act, with the exception of the Aggressive Growth Portfolio which
is non-diversified.
Shares of the Trust are issued and redeemed only in connection
with investment in and payments under variable annuity contracts
and variable life insurance contracts (collectively "variable
insurance contracts"), as well as certain qualified retirement
plans.
Effective May 1, 1996, the Trust issued a new series of shares,
the Janus Aspen High-Yield Portfolio, a diversified portfolio
investing primarily in income producing securities. Janus
Capital Corp. (the Trust's investment advisor "Janus Capital")
invested $10,000 of initial seed capital. Organization costs for
the Portfolio were borne by Janus Capital.
The following accounting policies have been consistently followed
by the Portfolios and are in conformity with accounting
principles generally accepted in the investment company industry.
Investment Valuation
Securities are valued at the closing price for securities traded
on a principal securities exchange (U.S. or foreign) and on the
NASDAQ National Market. Securities traded on over-the-counter
markets and listed securities for which no sales are reported are
valued at the latest bid price (or yield equivalent thereof)
obtained from one or more dealers making a market for such
securities or by a pricing service approved by the Trustees.
Short-term investments maturing within 60 days and all money
market securities in the Money Market Portfolio are valued at
amortized cost, which approximates market value. Foreign
securities are converted to U.S. dollars using exchange rates at
<PAGE>
the close of the New York Stock Exchange. When market quotations
are not readily available, securities are valued at fair value as
determined in good faith under procedures established by the
Trustees.
Investment Transactions and Investment Income
Investment transactions are accounted for as of the date
purchased or sold. Dividend income is recorded on the ex-
dividend date. Certain dividends from foreign securities will be
recorded as soon as the trust is informed of the dividend if such
information is obtained subsequent to the ex-dividend date.
Interest income is recorded on the accrual basis and includes
amortization of discounts and premiums. Gains and losses are
determined on the identified cost basis, which is the same basis
used for federal income tax purposes.
Forward Foreign Currency Transactions and Futures Contracts
The Portfolios enter into forward foreign currency contracts in
order to hedge their exposure to changes in foreign currency
exchange rates on their foreign portfolio holdings and to lock in
the U.S. dollar cost of firm purchase and sales commitments
denominated in foreign currencies. A forward currency contract
is a commitment to purchase or sell a foreign currency at a
future date at a negotiated forward rate. The gain or loss
arising from the difference between the U.S. dollar cost of the
original contract and the value of the foreign currency in U.S.
dollars upon closing such contract is included in net realized
gain or loss on foreign currency transactions. Currency gain and
loss is also calculated on payables and receivables that are
denominated in foreign currencies. The payables and receivables
are generally related to security transactions and income.
Futures contracts are marked to market daily and the variation
margin is recorded as an unrealized gain or loss. When a
contract is closed, a realized gain or loss is recorded equal to
the difference between the opening and closing value of the
contract. Generally, open forward and futures contracts are
marked to market (i.e., treated as realized and subject to
distribution) for federal income tax purposes at fiscal year-end.
34
<PAGE>
Foreign denominated assets and forward currency contracts may
involve more risks than domestic transactions, including:
currency risk, political and economic risk, regulatory risk, and
market risk. Risks may arise from the potential inability of a
counterparty to meet the terms of a contract and from
unanticipated movements in the value of foreign currencies
relative to the U.S. dollar.
The Portfolios may enter into futures contracts and options on
securities, financial indices and foreign currencies; forward
contracts; and interest rate swaps and swap-related products.
The Portfolios intend to use such derivative instruments
primarily to hedge or protect from adverse movements in
securities prices, currency rates or interest rates. The use of
futures contracts and options may involve risks such as the
possibility of illiquid markets or imperfect correlation between
the value of the contracts and the underlying securities, or that
the counterparty will fail to perform its obligations.
Additional Investment Risk
A portion of the Flexible Income and High-Yield Portfolios may be
invested in lower rated debt securities that have a higher risk
of default or loss of value due to changes in the economy or in
their respective industry.
Estimates
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 income and expenses during the reporting
period. Actual results could differ from those estimates.
Dividend Distributions and Expenses
Each Portfolio, except the Money Market Portfolio, makes
semiannual distributions of substantially all of its investment
income and an annual distribution of its net realized capital
gains, if any. The Money Market Portfolio makes daily
distributions of its income. All dividends and capital gains
distributions from a Portfolio will be automatically reinvested
into additional shares of that Portfolio.
Each Portfolio bears expenses incurred specifically on its behalf
as well as a portion of general expenses based generally on the
relative net assets of each Portfolio.
<PAGE>
Federal Income Taxes
No provision for income taxes is included in the accompanying
financial statements as the Portfolios intend to distribute to
shareholders all taxable investment income and realized gains and
otherwise comply with the Internal Revenue Code applicable to
regulated investment companies.
2. Investment Advisory Agreement and Other Transactions with
Affiliates
Investment advisory fees for each of the five equity Portfolios
are payable to Janus Capital based upon annual rates of 1% of the
first $30 million of average net assets, .75% of the next $270
million of average net assets, .70% of the next $200 million of
average net assets and .65% of the average net assets in excess
of $500 million. However, Janus Capital has voluntarily agreed
to reduce each equity Portfolio's advisory fee to the extent that
such fee exceeds the effective rate of the Janus retail fund
corresponding to such Portfolio. The effective rate is the
advisory fee calculated by the corresponding retail fund as of
the last day of each calendar quarter (expressed as an annual
rate). Janus Aspen Growth Portfolio, Janus Aspen Aggressive
Growth Portfolio, Janus Aspen International Growth Portfolio,
Janus Aspen Worldwide Growth Portfolio and Janus Aspen Balanced
Portfolio advisory fees are reduced to the effective rates of
Janus Fund, Janus Enterprise Fund, Janus Overseas Fund, Janus
Worldwide Fund and Janus Balanced Fund, respectively. The
effective rate for each Portfolio for the period ended June 30,
1996 was .65%, .72%, .75%, .66% and .80%, respectively. The
Flexible Income and Short-Term Bond Portfolios are each subject
to advisory fees payable to Janus Capital based upon annual rates
of .65% of the first $300 million of average net assets plus .55%
of average net assets in excess of $300 million. The High-Yield
Portfolio's advisory fee rate is payable at rates of .75% of the
first $300 million of average net assets plus .65% of average net
assets in excess of $300 million. The Money Market Portfolio's
advisory fee rate is .25% of average net assets.
35
<PAGE>
As discussed in the prospectus, Janus Capital will reduce its fee
to a Portfolio to the extent that the Portfolio's normal
operating expenses (exclusive of brokerage commissions, interest
and taxes) exceed 2 1/2% of the first $30 million, 2% of the next
$70 million and 1 1/2% of the balance of a Portfolio's average
net assets for a fiscal year. Janus Capital has also agreed to
reduce its fee to the extent that normal operating expenses
exceed 1% of the average net assets of the Flexible Income and
High-Yield Portfolios, .65% of the average net assets of the
Short-Term Bond Portfolio and .50% of the average net assets of
the Money Market Portfolio for a fiscal year.
Effective June 3, 1996 Janus Capital agreed to reduce its fee to
the extent that normal operating expenses exceeded 1.25% of
average net assets of the International Growth Portfolio.
Officers and certain trustees of the Trust are also officers
and/or directors of Janus Capital; however, they receive no
compensation from the Trust.
DST Systems Inc. (DST), an affiliate of Janus Capital through a
degree of common ownership, provides accounting systems to the
Portfolios. DST Securities Inc., a wholly owned subsidiary of
DST, provides brokerage services on certain portfolio
transactions. Brokerage commissions paid to DST Securities Inc.
serve to reduce fees and expenses. Brokerage commissions paid,
fees reduced, and the net fees paid to DST for the period ended
June 30, 1996 are noted below:
<PAGE>
DST Securities Inc. Fund DST
Commissions Expense Systems
Paid* Reduction* Costs
__________________ __________ ________
Janus Aspen Growth Portfolio $1,288 $ 966 $4,356
Janus Aspen Aggressive
Growth Portfolio -- -- 3,966
Janus Aspen International
Growth Portfolio 44 33 879
Janus Aspen Worldwide
Growth Portfolio 2,387 1,790 2,475
Janus Aspen Balanced Portfolio 2,166 1,624 2,038
Janus Aspen Flexible Income
Portfolio -- -- 1,690
Janus Aspen High-Yield
Portfolio -- -- --
Janus Aspen Short-Term Bond
Portfolio -- -- 921
Janus Money Market Portfolio -- -- 1,424
* The difference between commissions paid to DST Securities, Inc. and expenses
reduced constituted commissions paid to an unaffiliated clearing broker.
3. Federal Income Tax
Gains and losses on forward currency contracts and foreign
currency gains and losses on debt instruments are treated as
ordinary income for federal income tax purposes pursuant to
Section 988 of the Internal Revenue Code. Listed below are such
gains or losses for the period ended June 30, 1996. There were
no net capital loss carryovers as of December 31, 1995. The
aggregate cost of investments and the composition of unrealized
appreciation and depreciation of investments for federal income
tax purposes as of June 30, 1996 are also noted below.
<TABLE>
at 12/31/95 at June 30, 1996
___________ _______________________________________________________
<CAPTION>
Currency Net Capital Net
Gains/ Loss Federal Tax Unrealized Unrealized Appreciation/
(Losses) Carryovers Cost Appreciation (Depreciation) (Depreciation)
<PAGE>
__________ ___________ ___________ ____________ ______________ ______________
<S> <C> <C> <C> <C> <C> <C>
Janus Aspen Growth Portfolio 192,594 -- 188,634,390 25,818,604 (2,444,602) 23,374,002
Janus Aspen Aggressive Growth (243,084) -- 266,359,916 59,211,278 (9,767,836) 49,443,442
Portfolio
Janus Aspen International Growth 28,225 -- 3,667,348 708,811 (27,671) 681,140
Portfolio
Janus Aspen Worldwide Growth 1,976,296 -- 255,245,922 44,896,142 (3,406,742) 41,489,400
Portfolio
Janus Aspen Balanced Portfolio 13,155 -- 39,575,691 1,762,163 (598,114) 1,164,049
Janus Aspen Flexible Income (5,691) -- 17,472,740 200,628 (193,011) 7,617
Portfolio
Janus Aspen High-Yield Portfolio -- -- 335,214 4,950 (783) 4,167
Janus Aspen Short-Term Bond -- -- 5,718,285 7,263 (10,471) (3,208)
Portfolio
Janus Aspen Money Market -- -- 3,307,942 -- -- --
Portfolio
</TABLE>
36
<PAGE>
4. Expenses
The Portfolio's expenses may be reduced through expense reduction
arrangements. Those arrangements include the use of broker
commissions paid to DST Securities, Inc. and uninvested cash
balances earning interest with the Portfolio's custodian. The
Statements of Operations reflect the total expenses before any
offset, the amount of the offset and the net expenses. The
expense ratios listed in the Financial Highlights reflect
expenses prior to any expense offset (gross expense ratio) and
after expense offsets (net expense ratio).
00178001.AR1
