AUL American Individual Unit Trust
STATEMENT OF OPERATIONS AND CHANGES IN NET ASSETS
for the six months ended June 30, 1995
(unaudited)
Series FundFidelity
EquityMoney MarketBondManagedHigh IncomeGrowth
Operations:
Dividend income$4,559$11,329$2,535$4,507$7,711$1,308
Mortality & expense charges2,1662,6482951,0331,2513,243
Net Investment Income
(Expense)2,3938,6812,2403,4746,460(1,935)
Gain on Investments:
Net realized gain (loss)(1,178)--1572,741(2,511)9,023
Net unrealized gain39,881--2,13812,56116,454130,900
Net Gain38,703--2,29515,30213,943139,923
Increase41,0968,6814,53518,77620,403137,988
Contract Owner Transactions:
Proceeds from units
sold441,0124,223,402132,062257,710305,847902,635
Cost of units redeemed(463)(4,270,944)(131)(447)(219)(2,005)
Increase (Decrease)440,549(47,542)131,931257,263305,628900,630
Net increase (decrease)481,645(38,861)136,466276,039326,0311,038,618
Net Assets, beginning79,966628,9696023,34561,00687,003
Net Assets,
ending$561,611$590,108$137,068$279,384$387,037$1,125,621
Units sold100,6655,130,64125,71049,53457,514165,015
Units redeemed(15,042)(5,180,566)(1,237)(85)(40)(346)
Net increase (decrease)85,623(49,925)24,47349,44957,474164,669
Units outstanding, beginning15,959626,53511966512,22917,304
Units outstanding, ending101,582576,61024,59250,11469,703181,973
The accompanying notes are an integral part of the financial statements.
6
AUL American Individual Unit Trust
STATEMENT OF OPERATIONS AND CHANGES IN NET ASSETS
(continued)
for the six months ended June 30, 1995
(unaudited)
Fidelity
OverseasAsset ManagerIndex 500Equity-Income(1)Contra(1)
Operations:
Dividend income$919$8,652$852$514$--
Mortality & expense charges1,1913,931621104185
Net Investment Income
(Expense)(272)4,721231410(185)
Gain on Investments:
Net realized gain5584,9812812--
Net unrealized gain14,04530,46315,8187647,545
Net Gain14,60335,44416,0997667,545
Increase14,33140,16516,3301,1767,360
Contract Owner Transactions:
Proceeds from units sold285,299779,394237,923125,343124,154
Cost of units redeemed(554)(266)(248)----
Increase284,745779,128237,675125,343124,154
Net increase299,076819,293254,005126,519131,514
Net Assets, beginning15,91471,696101----
Net Assets, ending$314,990$890,989$254,106$126,519$131,514
Units sold58,790158,30142,45524,26824,207
Units redeemed(107)(54)(42)----
Net increase58,683158,24742,41324,26824,207
Units outstanding, beginning3,23814,68220----
Units outstanding, ending61,921172,92942,43324,26824,207
(1) for the period from April 28, 1995 through June 30, 1995The
accompanying
notes are an
integral part of the financial statements.
7
AUL American Individual Unit Trust
STATEMENT OF OPERATIONS AND CHANGES IN NET ASSETS
(continued)
for the six months ended June 30, 1995
(unaudited)
TCIAlger(1)Calvert(1)T. Rowe Price(1)
GrowthInternationalAmericanCapitalEquity-Income
GrowthAccumulation
Operations:
Dividend income$35$--$1$--$1,572
Mortality & expense charges1,23375910041187
Net Investment Income
(Expense)(1,198)(759)(99)(41)1,385
Gain on Investments:
Net realized gain (loss)4,385(1,098)(1)--9
Net unrealized gain40,51527,6873,4722,439778
Net Gain44,90026,5893,4712,439787
Increase43,70225,8303,3722,3982,172
Contract Owner Transactions:
Proceeds from units sold425,621258,984151,30830,928167,743
Cost of units redeemed(209)(268)------
Increase425,412258,716151,30830,928167,743
Net increase469,114284,546154,68033,326169,915
Net Assets, beginning14,0754,024------
Net Assets, ending$483,189$288,570$154,680$33,326$169,915
Units sold78,46456,89927,8965,94932,652
Units redeemed(38)(56)------
Net increase78,42656,84327,8965,94932,652
Units outstanding, beginning2,810831------
Units outstanding, ending81,23657,67427,8965,94932,652
(1) for the period from April 28, 1995 through June 30, 1995
The accompanying notes are an integral part of the financial statements.
8
AUL American Individual Unit Trust
STATEMENT OF NET ASSETS (continued)
June 30, 1995
(unaudited)
TCIAlgerCalvertT. Rowe Price
GrowthInternationalAmericanCapitalEquity-Income
EquityGrowthAccumulation
Assets:
Investment at market value
Receivable for units sold$483,581$288,835$154,780$33,317$170,054
5----50--
Liabilities:
Due to AUL39726510041139
Net Assets$483,189$288,570$154,680$33,326$169,915
Units outstanding81,23657,67427,8965,94932,652
Net Asset Value per unit$5.95$5.00$5.54$5.60$5.20
The accompanying notes are an integral part of the financial statements.
5
AUL American Individual Unit Trust
STATEMENT OF NET ASSETS (continued)
June 30, 1995
(unaudited)
Fidelity
OverseasAsset ManagerIndex 500Equity-IncomeContra
Assets:
Investment at market value$315,303$891,871$254,334$126,606$131,636
Liabilities:
Due to AUL31388222887122
Net Assets$314,990$890,989$254,106$126,519$131,514
Units outstanding61,921172,92942,43324,26824,207
Net Asset Value per unit$5.09$5.15$5.99$5.21$5.43
The accompanying notes are an integral part of the financial statements.
4
(This page is intentionally blank.)
9
NOTES TO FINANCIAL STATEMENTS
1.Summary of Significant Accounting Policies
The AUL American Individual Unit Trust (Variable Account) was
established by
American
United Life Insurance Company (AUL) on April 14, 1994, under
procedures
established by
Indiana law and is registered as a unit investment trust under the
Investment
Company Act of
1940, as amended. The Variable Account is a segregated series of
investment
accounts for
individual annuity contracts issued by AUL and invests exclusively in
shares of
mutual fund
portfolios offered by the AUL American Series Fund, Inc. (Series Fund),
Fidelity
Investments
Variable Insurance Products Fund and Variable Insurance Products Fund II
(Fidelity), Twentieth
Century (TCI), Alger American Fund (Alger), Calvert Group (Calvert),
and T.
Rowe Price.
Income
Dividend income is recorded on the ex-dividend date.
Mortality and Expense Risks Charges
AUL deducts a daily charge as compensation for the mortality and expense
risks
assumed by
AUL. The charge is equal on an annual basis to 1.25% of the average daily
net
assets of each
investment account. AUL guarantees the
mortality and expense charges shall not increase. The charges incurred
during the
six months
ended June 30, 1995,
were $18,988.
Taxes
Operations of the Variable Account are part of, and are taxed with, the
operations
of AUL, which
is taxed as a "life insurance company" under the Internal Revenue Code.
Under
current law,
investment income, including realized and unrealized capital gains of the
investment accounts, is
not taxed to AUL to the extent it is applied to increase reserves under the
contracts. The Variable
Account has not been charged for federal and state income taxes since
none have
been imposed.
2.Account Charges
AUL may assess a premium tax charge based on premium taxes incurred.
Premium
taxes currently
range between 0% and 3.5%, but are subject to change.
AUL deducts an annual administrative fee from each contract equal to the
lesser of
2% of the
contract value or $30. The fee is assessed every year on the contract
anniversary
date during the
accumulation period but is waived if the contract value exceeds $50,000 on
the
contract
anniversary date.
AUL may assess a withdrawal charge on withdrawals that exceed 12% of
the
contract value at the
time of the first withdrawal in a contract year. The amount of the charge
depends
upon the type of
contract and the length of time the contract has existed, as follows:
Flexible Premium ContractOne Year Flexible Premium Contract
Contract YearWithdrawal ChargeContract YearWithdrawal Charge
110%17%
29%26%
38%35%
47%44%
56%53%
65%62%
74%71%
83%80%
92%
101%
110%
The aggregrate withdrawal charges will not exceed 8.5% of the total
premiums
paid on a Flexible
Premium Contract or 8% of the total premiums paid on a One Year
Flexible
Premium Contract.
There were no withdrawal charges assessed during the six months ended
June 30,
1995.
10
AUL American Individual Unit Trust
STATEMENT OF NET ASSETS
June 30, 1995
(unaudited)
Series FundFidelity
EquityMoney MarketBondManagedHigh IncomeGrowth
Assets:
Investment at market
value$562,165$590,715$137,207$279,665$387,362$1,126,584
Liabilities:
Due to AUL554607139281325963
Net Assets$561,611$590,108$137,068$279,384$387,037$1,125,621
Units outstanding101,582576,61024,59250,11469,703181,973
Net Asset Value per unit$5.53$1.02$5.57$5.57$5.55$6.19
The accompanying notes are an integral part of the financial statements.
3
(This is page is intentionally blank.)
2
NOTES TO FINANCIAL STATEMENTS (continued)
3.Net Asset Value per Unit
The Variable Account commenced operations on November 21, 1994. The
initial
Net Asset Value
per unit was $5.00 for every investment account except the Series Fund
Money
Market which
was $1.00. On April 28, 1995, additional investment accounts commenced
operations. The initial
Net Asset Value per unit for these accounts was $5.00.
The change in the Net Asset Value per unit for the six months ended June
30,
1995, or from
commencement of operations, April 28, 1995, through June 30, 1995, is:
6/30/9512/31/94Change
Series Fund:
Equity$5.528354$5.01028810.3%
Money Market1.0244811.0039092.0%
Bond5.5736355.06193510.1%
Managed5.5748255.03390610.7%
Fidelity:
High Income5.5523894.98850611.3%
Growth6.1856985.02793523.0%
Overseas5.0867864.9147403.5%
Asset Manager5.1512074.8833625.5%
Index 5005.9882085.01994319.3%
TCI:
Growth5.9475785.00947418.7%
International5.0027354.8402873.4%
6/30/954/28/95Change
Fidelity:
Equity-Income$5.213417$5.0000004.3%
Contra5.4325185.0000008.7%
Alger:
American Growth5.5447135.00000010.9%
Calvert:
Capital Accumulation5.6016655.00000012.0%
T. Rowe Price:
Equity-Income5.2033445.0000004.1%
11
NOTES TO FINANCIAL STATEMENTS (continued)
4.Cost of Investments
Series Fund:
Equity$524,876
Money Market590,715
Bond135,078
Managed267,174
Fidelity:
High Income370,630
Growth994,738
Overseas301,147
Asset Manager861,371
Index 500238,515
Equity-Income125,842
Contra124,091
TCI:
Growth$443,024
International261,127
Alger:
American Growth151,308
Calvert:
Capital Accumulation30,878
T. Rowe Price:
Equity-Income169,276
5.Net Assets
Series FundFidelity
EquityMoney MarketBondManagedHigh IncomeGrowth
Proceeds from units
sold$519,948$5,185,578$132,663$261,044$366,590$988,710
Cost of units redeemed(463)(4,604,911)(131)(447)(219)(2,005)
Net investment income
(expense)6,0159,4412,2503,5556,445(1,953)
Net realized gains (losses)(1,178)--1572,741(2,511)9,023
Unrealized gain37,289--2,12912,49116,732131,846
$561,611$590,108$137,068$279,384$387,037$1,125,621
Fidelity
OverseasAsset ManagerIndex 500Equity-IncomeContra
Proceeds from units sold$301,106$851,069$238,023$125,343$124,154
Cost of units redeemed(554)(266)(248)----
Net investment income
(expense)(276)4,705231410(185)
Net realized gains5584,9812812--
Unrealized gain14,15630,50015,8197647,545
$314,990$890,989$254,106$126,519$131,514
TCIAlgerCalvertT. Rowe Price
GrowthInternationalAmericanCapitalEquity-Income
EquityGrowthAccumulation
Proceeds from units sold$439,657$262,987$151,308$30,928$167,743
Cost of units redeemed(209)(268)------
Net investment income
(expense)(1,201)(759)(99)(41)1,385
Net realized gains (losses)4,385(1,098)(1)--9
Unrealized gain40,55727,7083,4722,439778
$483,189$288,570$154,680$33,326$169,915
12
A Message
From
The Chairman of the Board
and President of
AUL American Series Fund, Inc.
To Participants in AUL American Individual Unit Trust
I am pleased to announce five new investment accounts to provide you
with a
wider selection of
quality, professionally managed investments. The new options enhance
AUL's
retirement savings
products through mutual funds managed by industry leaders such as Alger,
Calvert
Group,
Fidelity Investments and
T. Rowe Price. These new accounts join existing options investing in
mutual funds
managed by
AUL, Fidelity Investments and Twentieth Century.
We are excited about this value added enhancement to our retirement
products
because these
mutual funds have exceptional name recognition and reputation. The
enhancement
keeps us on
the cutting edge of our industry, but more importantly, it provides you with
more
diversity as you
plan for retirement. In addition to announcing our new investment options,
I will
briefly recap the
economic conditions for the last six months to explain how the economy
and
financial markets
may have affected your investments.
After a disappointing 1994, some stocks skyrocketed during the first half of
1995.
Stock returns
showed promise, confirming the "bull" market that began in 1990 remained
in
place. The stock
market's driving force was the strength of a few large, growth stocks.
Investors
also focused on
specific technology stocks that offered strong unit growth prospects,
favorable
product cycles,
and potential improvement from export sales.
Large consumer stocks tend to dominate the S&P 500, so their
phenomenal
returns masked some
weakness in the marketplace. As a result, the broader market, which is
comprised
of smaller
companies, did not fare as well. The large, growth stock dominance
lessened some
in the second
quarter as investors focused on smaller, more economically sensitive
companies.
The bond market reversed course this year after negative returns in 1994.
Weaker
economic
conditions fueled a strong rally in bond prices during the first half of 1995.
The
result was double
digit returns for many bond investments during the period.
Investors were anxiously awaiting the Federal Reserve Board's next move
as the
second quarter
ended. The Federal Reserve eased monetary policy in July by lowering
short-term
interest rates in
response to weak economic data. This represents the first rate cut in nearly
three
years, and the
markets assume more rate cuts are possible before the end of the year.
James W. Murphy
Chairman of the Board of Directors and President
Indianapolis, Indiana
July 10, 1995
1
