<PAGE>
THE MARKMAN MULTIFUNDS
SEMI-ANNUAL REPORT
JUNE 30, 1996
UNAUDITED
President's Message
Photographic image of Bob Markman CEO & President The Markman MultiFunds.
DEAR FELLOW SHAREHOLDERS,
In my last letter to you three months ago, I concluded my generally optimistic
assessment with the following:
"That being said, I must also caution once again that even an overall bullish
scenario does not preclude the normal yet sometimes wild and wooly action
caused by short term fear, greed, and panic. When those short yet admittedly
scary periods occur, we'll do all we can to position the portfolios
intelligently and prudently."
Why bring it up again? Because that's right where we are today. In the midst
of a generally stable rate range, decent earnings, and negative sentiment (all
of which are supposed to point to a healthy market environment) we've
experienced a vicious sell-off in just those areas that had previously been
the strongest. I won't hide from you the fact that the small cap plunge caught
us by surprise and our performance in the Moderate and Aggressive portfolios
suffered as a result. (The Conservative Fund, adhering to its role as a
cautiously positioned vehicle, held up much better.) While a decline after
such an extended upsurge should surprise no one, the velocity was certainly
unusual. (I promise never to use the word "correction," one of Wall Street's
more verbal inventions. As far as I'm concerned, the only "correct" move is
up!) From their May/ June peaks, both the Nasdaq Composite and the Russell
2000 had declined some 15% by mid July.
Is this the opening salvo of an extended bear market? I doubt it. It would be
remarkable, however, if we didn't see a few more bumps, bruises, and raw
nerves before it's all over.
Historically, our firm has always tended to take a generally optimistic,
"glass half full" view on the markets. We think that stance is more likely to
produce positive results over time. But we're not Pollyannas about it, and
we're certainly not dogmatic. With all the talk of interest rates, earnings,
wages, commodity prices, etc. and their impact (or lack thereof) on share
prices, one set of statistics stands out in stark relief and, quite candidly,
not only gives us pause, but sends a bit of a chill down our spines: "In the
first six months of 1996, $139 billion was put into mutual funds, more than in
all of 1995. Yet the market could barely reach a 10% gain. (And if one
includes early July, the gain is in the low single digits!)
<PAGE>
Reduce Volatility
So what's wrong with this picture? Weren't huge new cash inflows supposed to
drive this market to new dizzying heights? Yes. Even bearish observers
grudgingly admitted that it was an inevitable law of market physics.
Once again, conventional wisdom meets reality.
The relatively tepid responsiveness to positive cash flows is the one factor
significant enough, in our minds, to give us cause for concern. Additionally,
we have difficulty seeing significant positive shifts on either the interest
rate or earnings front as we move forward. Accordingly, we have made some
pretty rapid adjustments in the portfolios to take into account the distinct
possibility that the summer will be long, hot, and ugly. While making these
moves to reduce volatility, we still remain invested enough so that if the
market does recover and move higher, we will participate as well.
As a shareholder listening to your fund manager speak in cautious, if not
negative terms, you may be tempted to sell and move to cash. DON'T! That kind
of black and white market timing could be the worst move you might make. WHAT
YOU POTENTIALLY GAIN ON THE DOWNSIDE IS LIKELY TO BE MORE THAN OFFSET BY WHAT
YOU LOSE BY REMAINING OUT WHEN THE MARKET GOES BACK UP. I am still quite
confident that over the next few years the market will handsomely reward those
who are willing to assume reasonable risks.
If, however, you put a premium on stability, I urge you to take a closer look
at our Conservative Growth Fund. It is, in our opinion, a sophisticated
portfolio designed to weather just this type of environment.
If, as we expect, we move into a period of market retrenchment, I think you'll
find that our ability to become defensive and diversified will help us to
achieve potentially superior performance.
/s/ Bob Markman
<PAGE>
The CONSERVATIVE Growth Fund
A Timely Look Beneath the Surface
I suppose it should come as no surprise that most of the dollars invested in
the Markman MultiFunds are in the Moderate and Aggressive Portfolios. They
currently represent over 85% of the dollars we manage in the Funds. These
kinds of choices by investors are to be expected in a bull market. But as the
markets get more volatile and the potential for dynamic upside becomes, in
some minds, more questionable, the word "conservative" begins to sound more
and more attractive to many. So we thought this would be a good time to take a
closer look at what the Conservative Portfolio is all about.
In many ways, the Conservative Fund is the most sophisticated of the three
MultiFunds. The results that we attempt to achieve incorporate the upside
potential one would associate with a balanced mutual fund and the overall
volatility one would associate with a portfolio of intermediate-term
Treasuries. This difficult (but highly desirable) objective has the potential
to become reality only by the discriminating selection of some of the fund
world's most complex and unique funds.
To give you a better sense of how we go about this, let's focus on our
four largest holdings that collectively represent over half of the Fund's
portfolio. By looking at performance graphs, you'll get a fuller understanding
of the risk/reward dynamics of what we're doing.
<PAGE>
GRAPHIC REPRESENTATIONS OF PERCENTAGE GAIN OR LOSS OVER TIME
(January 1996 - July 1996):
SOGEN INTERNATIONAL FUND
SoGen International +7.5%
S&P 500 +3.7%
NORTHEAST INVESTORS TRUST
Northeast Investors Trust +9.1%
S&P 500 +3.7%
ROBERTSON STEPHENS CONTRARIAN
Robertson Stephens Contrarian +19.3%
S&P 500 +3.7%
MERGER FUND
Merger Fund +6.0%
S&P 500 +3.7%
From an eclectic mix of U.S. and International stocks and bonds, to
well-researched high yield analysis, to contrarian plays on metals and high
tech, to classic risk arbitrage, these four funds clearly march to different
drummers. Collectively, they help create a core with good upscale potential,
yet little market correlation. Source: Data Broadcasting Corporation and
Markman Capital Management, Inc.
<PAGE>
BUYING THE MULTIFUNDS THROUGH A DISCOUNT BROKER
WE KNOW THAT MANY OF YOU HAVE PURCHASED, OR ARE THINKING OF PURCHASING, THE
MARKMAN MULTIFUNDS THROUGH ONE OF THE DISCOUNT BROKER "SUPERMARKETS." WE ARE
AVAILABLE FROM ALL THE MAJOR DISCOUNTERS. WE ARE NOT, HOWEVER, PART OF THEIR
NO TRANSACTION FEE PROGRAMS. TO DO SO, WE WOULD HAVE TO RAISE OUR EXPENSES AND
WE DO NOT FEEL THAT WOULD BE IN OUR SHAREHOLDERS' BEST INTEREST. FOR YOUR
CONVENIENCE, WE THOUGHT WE'D DO A LITTLE RESEARCH INTO COST COMPARISONS.*
AS YOU CAN SEE, FIDELITY'S FLAT $35 RATE LOOKS PRETTY ATTRACTIVE, PARTICULARLY
FOR LARGER PURCHASES.
DISCOUNT BROKER AMOUNT OF PURCHASE
$2500 $10,000 $50,000
FIDELITY $35 $35 $35
CHARLES SCHWAB $39 $70 $175
JACK WHITE $27 $35 $50
WATERHOUSE $29 $60 $160
* AS OF 7/15/96. COSTS ARE SUBJECT TO CHANGE AT ANY TIME.
THE NUMBERS IN THE NEWSPAPER ARE 1 DAY LATE
We get lots of calls about the share prices in the newspaper. Especially in
periods of high volatility, the Markman Funds appear to be up when others are
down, and vice versa. The reason: the numbers in the newspaper are one day
late! Why is this? We must report our prices by 5:40 p.m. Eastern Time. We
don't get all the prices from the underlying funds until AFTER that every day.
Therefore, we cannot report the current day's prices through the normal
electronic feed.
HOWEVER, YOU CAN GET CURRENT PRICES by calling 1-800-536-8679. This NAV price
line is normally updated by 6:30 p.m. Eastern Time. Also, our home page
(www.markman.com) is normally updated by 9:00 a.m. Eastern Time.
FROM THE "YOU TOOK THE WORDS RIGHT OUT OF OUR MOUTHS" DEPARTMENT...
"Indeed, it's impossible for an investor to put together a well-thought-out
portfolio without knowing what kinds of securities compose each fund."
Morningstar
July 5, 1996
WE AGREE. AND THAT'S WHY WE ARE IN REGULAR AND CONSTANT COMMUNICATION WITH THE
FUNDS WE OWN. WE BELIEVE WE HAVE THE BEST "ACCESS" TO DETAILED, UP TO THE
MOMENT, BENEATH THE SURFACE INFORMATION OF ANYONE IN THE INDUSTRY. BUT YOU
ALREADY KNOW THAT -- THAT'S ONE OF THE REASONS YOU INVEST WITH US!
<PAGE>
The Markman MultiFunds logo
We have rapidly responded to what we see as a market that has undergone a
significant shift in focus. Our portfolios in July are thus quite different
from those at the end of the quarter and we thought you ought to know.
MARKMAN CONSERVATIVE GROWTH FUND
Money Market 16.3%
SoGen International 15.5%
Northeast Investors Trust 15.1%
Merger Fund 14.8%
Mutual Qualified 9.9%
Robertson Stephens Contrarian 9.3%
Lindner Dividend Fund 8.1%
T. Rowe Price Small Cap Value Fund 5.1%
Vanguard Specialized Health Care 3.9%
Heartland Value Fund 1.4%
Vanguard U.S. Growth Portfolio 0.6%
MARKMAN MODERATE GROWTH FUND
Mutual Discovery Fund 11.9%
Money Market 10.5%
Rydex Ursa 9.9%
Mutual Beacon Fund 9.9%
Yacktman 9.1%
Janus Worldwide 8.5%
Vanguard U.S. Growth Portfolio 8.5%
Oakmark International 8.2%
SteinRoe Capital Opportunity 3.6%
PBHG Select Equity 3.4%
Artisan Small Cap 3.3%
Artisan International 3.2%
Vanguard Health Care 2.7%
Baron Asset 2.3%
Heartland Small Cap Contrarian 2.0%
PBHG Growth 1.8%
Robertson Stephens Contrarian 1.2%
MARKMAN AGGRESSIVE GROWTH FUND
Money Market 20.6%
Vanguard U.S. Growth 15.5%
Oakmark International 9.8%
20th Century Intnl Emerging Growth 8.3%
Fidelity Latin America 7.5%
Van Wagoner Emerging Growth 5.6%
Yacktman Fund 5.4%
SteinRoe Capital Opportunity 4.8%
PBHG Emerging Growth 4.1%
Invesco Strategic Energy 4.0%
PBHG Select Equity 3.1%
PBHG Growth 2.9%
Navellier Aggressive Small Cap 2.5%
Rydex Ursa 2.1%
Mutual European 1.6%
Perkins Opportunity 1.5%
Warburg Pincus Post Venture Cap 0.6%
IAI Emerging Growth 0.1%
as of July 31, 1996
<PAGE>
The Markman MultiFunds Performance
Markman AGGRESSIVE GROWTH FUND
It's one thing to be aggressive, it's another to stand in front of a
runaway train.
EARLY IN THE QUARTER, THE AGGRESSIVE FUND MOVED INTO AN INCREASINGLY
AGGRESSIVE STANCE IN U.S. SMALL CAP FUNDS. THIS EXPOSURE HELPED US TO ACHIEVE
EXCELLENT RESULTS IN APRIL AND MAY, BUT CAUSED US TO UNDER PERFORM AND GIVE
BACK SOME OF THOSE GAINS IN JUNE WHEN THE BIG BREAK IN SMALL CAP MOMENTUM
BEGAN. We nevertheless finished the quarter with a gain ahead of both the S&P
500 and the Lipper Growth Fund Index.
The weakness that began manifesting itself in June accelerated and then
exploded to the downside in early July. Vicious selling in the small cap and
technology sectors was compounded by a "liquidity crisis" (i.e., no one wants
to buy the stocks that people want to sell) forcing prices lower, faster than
anyone could have anticipated.
While we couldn't understand the rationale for this violent sell-off (earnings
reports on these companies were generally positive), there was no denying the
reality of the negative momentum. It's one thing to be aggressive, it's
another to stand in front of a runaway train. As your Fund managers, our
reaction was to cut back substantially in our small cap exposure. Some of
those dollars were reallocated to international funds, some to sectors with
more positive prospects like energy. We currently have a large cash position.
This is purely temporary. As soon as the dust settles, we think new trends
will emerge to which we will aggressively commit those dollars.
<PAGE>
MARKMAN AGGRESSIVE GROWTH FUND COMPARISON
PUTTING IT IN PERSPECTIVE
BEHIND THE COMPARISON
MARKMAN AGGRESSIVE S&P 500 LIPPER GROWTH
GROWTH FUND FUND INDEX
2ND QTR. 1996 4.9% 4.5% 3.3%
12 MOS END 6/96 21.5% 26.0% 20.7%
SINCE INCEPTION* 43.2% 47.5% 42.7%
* From February 1, 1995
PORTFOLIO OF INVESTMENTS - MARKMAN AGGRESSIVE GROWTH FUND - JUNE 30, 1996
(UNAUDITED)
<TABLE>
<CAPTION>
FUND SHARES MARKET VALUE % OF STATUS+
TOTAL
<S> <C> <C> <C> <C>
VANGUARD U.S. GROWTH PORTFOLIO .................... 695,434 $16,203,602 15.0% +
OAKMARK INTERNATIONAL FUND* ....................... 737,366 11,045,749 10.2% NEW
PBHG GROWTH FUND* ................................. 384,792 10,589,465 9.8% +
STEINROE CAPITAL OPPORTUNITY FUND ................. 344,555 10,415,889 9.6% NEW
VAN WAGONER EMERGING GROWTH FUND* ................. 645,493 9,663,030 8.9% +
PBHG EMERGING GROWTH FUND* ........................ 367,459 9,520,862 8.8% -
NAVELLIER AGGRESSIVE SMALL CAP EQUITY FUND* ....... 285,506 5,615,910 5.2% NEW
FIDELITY LATIN AMERICA FUND ....................... 411,340 5,289,834 4.9% -
PARKSTONE SMALL CAP FUND* ......................... 150,391 5,188,495 4.8% NEW
TWENTIETH CENTURY INTERNATIONAL
EMERGING GROWTH FUND ........................... 694,444 5,000,000 4.6% NEW
PBHG SELECT EQUITY FUND* .......................... 195,791 3,825,746 3.5% NEW
IAI EMERGING GROWTH FUND* ......................... 135,448 3,364,534 3.1% NEW
WARBURG PINCUS POST-VENTURE CAPITAL FUND* ......... 198,782 3,333,580 3.1% NEW
SCUDDER DEVELOPMENT FUND* ......................... 69,968 3,186,334 2.9% NEW
THE PERKINS OPPORTUNITY FUND* ..................... 114,197 2,357,034 2.2% NEW
------------ ------
TOTAL MUTUAL FUNDS (COST $101,649,749) .................................. 104,600,064 96.6%
------------ ------
MONEY MARKET FUNDS ................................ 1,500,000 1,500,000 1.4%
------------ ------
TOTAL INVESTMENT (COST $103,149,749) .................................... 106,100,064 98.0%
------------ ------
OTHER ASSETS AND LIABILITIES (NET) ...................................... 2,125,169 2.0%
------------ ------
NET ASSETS .............................................................. $108,225,233 100.0%
============ ======
<FN>
*NON-INCOME PRODUCING SECURITY
SEE ACCOMPANYING NOTES TO FINANCIAL STATEMENTS.
+ "+" means larger percentage than end of prior quarter, "-" means smaller
percentage than end of prior quarter, "new" means did not appear in prior
quarter.
</FN>
</TABLE>
<PAGE>
The Markman MultiFunds Performance
Markman MODERATE GROWTH FUND
With the approach this Fund takes, a long term view is essential to the
achievement of maximum results.
AS WITH THE AGGRESSIVE FUND, THE MODERATE PORTFOLIO ALSO SHIFTED EMPHASIS
TOWARD SMALL CAP FUNDS IN THE SECOND QUARTER, ALBEIT NOT QUITE AS
AGGRESSIVELY. This contributed to solid gains in April and May, but some
retracement in June as smaller stocks stumbled. On balance, we were slightly
behind the Lipper Equity Income Fund Index and the S&P 500.
The increasingly negative market environment has caused us to make some
significant shifts in this portfolio. Our small cap and sector holdings have
been greatly reduced, cash levels have increased substantially, and more
emphasis is being placed on opportunities we see overseas.
To be frank, the Moderate Fund can often seem to be a confusing and
frustrating vehicle. It is not a "pure" play like the Aggressive or the
Conservative Funds. With a hybrid, or blended middle of the road approach, it
has both upside gain and downside risk moderating responsibilities --
qualities that over the short term are pretty much mutually exclusive. Thus,
it's always easy to point to short periods and wish we had either made more or
risked less. With the approach this Fund takes, a long term view is essential
to the achievement of maximum results. Over a full market cycle, we have
always been confident that this Fund will produce excellent risk-adjusted
results for you.
As we move forward, expect to see greater emphasis on "core" holdings, those
funds run by classic bottoms-up stock pickers such as Michael Price, Don
Yacktman, Bob Sanborn and Jean-Marie Eveillard, to name just a few.
<PAGE>
MARKMAN MODERATE GROWTH FUND COMPARISON
PUTTING IT IN PERSPECTIVE
BEHIND THE COMPARISON
MARKMAN MODERATE S&P 500 LIPPER
GROWTH FUND EQUITY INCOME
FUND
INDEX
2ND QTR. 1996 2.6% 4.5% 2.7%
12 MOS END 6/96 20.0% 26.0% 21.0%
SINCE INCEPTION* 34.5% 47.5% 36.7%
*From February 1, 1995
<TABLE>
PORTFOLIO OF INVESTMENTS - MARKMAN MODERATE GROWTH FUND - JUNE 30, 1996
(UNAUDITED)
<CAPTION>
FUND SHARES MARKET VALUE % OF STATUS+
TOTAL
<S> <C> <C> <C> <C>
STEINROE CAPITAL OPPORTUNITY FUND .............................. 385,747 $11,661,143 12.2% NEW
MUTUAL DISCOVERY FUND .......................................... 677,828 11,360,391 11.9% +
VANGUARD U.S. GROWTH PORTFOLIO ................................. 479,412 11,170,307 11.7% -
PBHG GROWTH FUND* .............................................. 349,371 9,614,694 10.1% +
MUTUAL BEACON FUND ............................................. 213,910 8,226,989 8.6% +
OAKMARK INTERNATIONAL FUND* .................................... 482,620 7,229,641 7.6% NEW
ARTISAN SMALL CAP FUND* ........................................ 458,634 6,728,164 7.1% -
JANUS WORLDWIDE FUND ........................................... 188,884 6,416,390 6.7% NEW
BARON ASSET FUND* .............................................. 163,143 5,979,195 6.3% NEW
PBHG SELECT EQUITY FUND* ....................................... 202,024 3,947,547 4.1% NEW
YACKTMAN FUND .................................................. 197,812 2,670,455 2.8% -
HEARTLAND SMALL CAP CONTRARIAN FUND* ........................... 179,614 2,505,609 2.6% NEW
VANGUARD SPECIALIZED HEALTH CARE PORTFOLIO ..................... 42,252 2,331,900 2.4% -
NAVELLIER AGGRESSIVE SMALL CAP EQUITY PORT.* ................... 63,845 1,255,833 1.4% NEW
----------- ------
TOTAL MUTUAL FUNDS (COST $88,445,072) .............................................. 91,098,258 95.5%
----------- ------
MONEY MARKET FUNDS ............................................. 2,700,000 2,700,000 2.8%
----------- ------
TOTAL INVESTMENT (COST $91,145,072) ................................................ 93,798,258 98.3%
----------- ------
OTHER ASSETS AND LIABILITIES (NET) ................................................. 1,612,593 1.7%
----------- ------
NET ASSETS ......................................................................... $95,410,851 100.0%
=========== ======
<FN>
*NON-INCOME PRODUCING SECURITY
SEE ACCOMPANYING NOTES TO FINANCIAL STATEMENTS.
+ "+" means larger percentage than end of prior quarter, "-" means smaller
percentage than end of prior quarter, "new" means did not appear in prior
quarter.
</FN>
</TABLE>
<PAGE>
The Markman MultiFunds Performance
Markman Conservative Growth Fund
One of the potential problems that we must regularly guard against in this
portfolio is the potential for what we call "risk drift."
THE SECOND QUARTER WAS ANOTHER SUCCESSFUL ONE FOR THE CONSERVATIVE GROWTH
FUND. The portfolio returned 2.5%, compared to 2.2% for the Lipper Balanced
Index and 0.7% for the Lehman Intermediate Bond Index.
One of the potential problems that we must regularly guard against in
this portfolio is the potential for what we call "risk drift." By that we mean
being lulled by a benign market environment into taking more risk than the
official parameters of the Fund call for. The potential for risk drift always
increases in the latter stages of a bull market; in that phase, investors will
have gone a long time since the latest "pain" and have a tendency to forget
how markets not only giveth, but also taketh away.
Mea culpa. We're human, too, I guess. While we are very pleased with our
performance in the Conservative Fund, we began to detect the unmistakable
signs of risk drift in the portfolio toward the end of the quarter. We have
quickly moved to rectify this and are, as you can see by the most recent July
allocation, in an extremely secure and stable cautious growth position.
<PAGE>
MARKMAN CONSERVATIVE GROWTH FUND COMPARISON
PUTTING IT IN PERSPECTIVE
BEHIND THE COMPARISON
MARKMAN CONSERVATIVE LIPPER BALANCED LEHMAN INT.
GROWTH FUND FUND INDEX GOV'T. BOND INDEX
2ND QTR. 1996 2.5% 2.2% 0.7%
12 MOS END 6/96 16.9% 15.0% 4.9%
SINCE INCEPTION* 27.5% 28.9% 12.5%
* From February 1, 1995
<TABLE>
PORTFOLIO OF INVESTMENTS - MARKMAN CONSERVATIVE GROWTH FUND - JUNE 30, 1996
(UNAUDITED)
<CAPTION>
FUND SHARES MARKET VALUE % OF STATUS+
TOTAL
<S> <C> <C> <C> <C>
MERGER FUND .................................................... 241,491 $3,627,196 12.2% +
MUTUAL QUALIFIED FUND .......................................... 114,084 3,592,500 12.1% +
SOGEN INTERNATIONAL FUND ....................................... 127,493 3,419,358 11.5% +
VANGUARD U.S. GROWTH PORTFOLIO ................................. 113,335 2,640,712 8.9% -
NORTHEAST INVESTORS TRUST ...................................... 226,710 2,409,923 8.1% NEW
T. ROWE PRICE SMALL CAP VALUE FUND ............................. 116,982 2,173,523 7.3% +
BARON ASSET FUND* .............................................. 54,092 1,982,460 6.7% -
THE ROBERTSON STEPHENS GRO. + INC. FUND* ....................... 147,729 1,969,226 6.6% -
THE ROBERTSON STEPHENS CONTRARIAN FUND* ........................ 123,018 1,964,596 6.6% NEW
LINDNER DIVIDEND FUND .......................................... 63,182 1,773,528 6.0% -
HEARTLAND VALUE FUND ........................................... 52,608 1,667,151 5.6% NEW
VANGUARD SPECIALIZED HEALTH CARE PORTFOLIO ..................... 26,314 1,452,259 4.9% -
----------- ------
TOTAL MUTUAL FUNDS (COST $28,116,814) .............................................. 28,672,432 96.5%
----------- ------
OTHER ASSETS AND LIABILITIES (NET) ................................................. 1,039,674 3.5%
----------- ------
NET ASSETS ......................................................................... $29,712,106 100.0%
=========== ======
<FN>
*NON-INCOME PRODUCING SECURITY SEE ACCOMPANYING NOTES TO FINANCIAL STATEMENTS.
+ "+" means larger percentage than end of prior quarter, "-" means smaller
percentage than end of prior quarter, "new" means did not appear in prior
quarter.
</FN>
</TABLE>
<PAGE>
<TABLE>
Financial Statements
STATEMENT OF ASSETS AND LIABILITIES - JUNE 30, 1996 (UNAUDITED)
<CAPTION>
CONSERVATIVE MODERATE AGGRESSIVE
ASSETS GROWTH FUND GROWTH FUND GROWTH FUND
<S> <C> <C> <C>
INVESTMENTS IN SECURITIES:
AT ACQUISITION COST ...................................... $ 28,116,814 $ 91,145,072 $103,149,749
============ ============ ============
AT VALUE (NOTE 1) ........................................ $ 28,672,432 $ 93,798,258 $106,100,064
CASH ....................................................... 65,184 173,702 294,616
RECEIVABLE FOR SECURITIES SOLD ............................. 899,991 1,499,987 1,715,186
RECEIVABLE FOR CAPITAL SHARES SOLD ......................... 91,400 45,324 266,831
DIVIDENDS RECEIVABLE ....................................... 5,313 8,473 18,593
OTHER ASSETS ............................................... 5,190 2,183 15,472
------------ ------------ ------------
TOTAL ASSETS ............................................. $ 29,739,510 $ 95,527,927 $108,410,762
============ ============ ============
<CAPTION>
LIABILITIES
<S> <C> <C> <C>
PAYABLE FOR CAPITAL SHARES REDEEMED ........................ $ 8,204 $ 46,355 $ 104,933
PAYABLE TO AFFILIATES (NOTE 3) ............................. 19,200 70,721 80,596
------------ ------------ ------------
TOTAL LIABILITIES .......................................... $ 27,404 $ 117,076 $ 185,529
============ ============ ============
NET ASSETS ................................................. $ 29,712,106 $ 95,410,851 $108,225,233
============ ============ ============
<CAPTION>
NET ASSETS
<S> <C> <C> <C>
NET ASSETS CONSIST OF:
CAPITAL SHARES ............................................ $ 28,092,867 $ 88,485,889 $ 101,023,432
ACCUMULATED NET REALIZED GAINS FROM
SECURITY TRANSACTIONS ................................... 1,076,857 4,570,155 4,633,689
ACCUMULATED NET INVESTMENT LOSS ........................... (13,236) (298,379) (382,203)
NET UNREALIZED APPRECIATION ON INVESTMENTS ................ 555,618 2,653,186 2,950,315
------------- ------------- -------------
NET ASSETS ................................................ $ 29,712,106 $ 95,410,851 $ 108,225,233
============= ============= =============
SHARES OF BENEFICIAL INTEREST OUTSTANDING
(UNLIMITED NUMBER OF SHARES AUTHORIZED,
NO PAR VALUE)(NOTE 4) ................................... 2,508,326 7,807,949 8,411,242
============= ============= =============
NET ASSET VALUE, REDEMPTION PRICE AND OFFERING
PRICE PER SHARE (NOTE 1) ................................ $ 11.85 $ 12.22 $ 12.87
============= ============= =============
</TABLE>
SEE ACCOMPANYING NOTES TO FINANCIAL STATEMENTS
<PAGE>
<TABLE>
STATEMENT OF OPERATIONS - FOR THE SIX MONTH PERIOD ENDED JUNE 30, 1996
(UNAUDITED)
<CAPTION>
CONSERVATIVE MODERATE AGGRESSIVE
INVESTMENT INCOME GROWTH FUND GROWTH FUND GROWTH FUND
<S> <C> <C> <C>
DIVIDEND INCOME .................................................... $ 88,159 $ 81,173 $ 35,006
----------- ----------- -----------
EXPENSES
INVESTMENT ADVISORY FEES ........................................... 94,395 372,552 410,209
INDEPENDENT TRUSTEES' FEES ......................................... 7,000 7,000 7,000
----------- ----------- -----------
TOTAL EXPENSES (NOTE 3) ........................................... 101,395 379,552 417,209
----------- ----------- -----------
NET INVESTMENT LOSS ................................................ (13,236) (298,379) (382,203)
----------- ----------- -----------
REALIZED AND UNREALIZED GAINS ON INVESTMENTS
NET REALIZED GAINS FROM SECURITY TRANSACTIONS ...................... 988,218 4,015,310 4,174,020
CAPITAL GAIN DISTRIBUTIONS FROM OTHER
INVESTMENT COMPANIES .............................................. 88,639 554,845 459,669
NET CHANGE IN UNREALIZED
APPRECIATION/DEPRECIATION ON INVESTMENTS .......................... 380,639 1,288,552 2,855,933
----------- ----------- -----------
NET REALIZED AND UNREALIZED GAINS ON INVESTMENTS ................... 1,457,496 5,858,707 7,489,622
----------- ----------- -----------
NET INCREASE IN NET ASSETS FROM OPERATIONS ......................... $ 1,444,260 $ 5,560,328 $ 7,107,419
=========== =========== ===========
SEE ACCOMPANYING NOTES TO FINANCIAL STATEMENTS
</TABLE>
<PAGE>
<TABLE>
STATEMENT OF CHANGES IN NET ASSETS - FOR THE PERIODS ENDED JUNE 30, 1996 AND
DECEMBER 31, 1995
<CAPTION>
CONSERVATIVE MODERATE AGGRESSIVE
GROWTH FUND GROWTH FUND GROWTH FUND
SIX MONTHS SIX MONTHS SIX MONTHS
JUNE 30, 1996 YEAR ENDED JUNE 30, 1996 YEAR ENDED JUNE 30, 1996 YEAR ENDED
FROM OPERATION (UNAUDITED) DEC. 31, 1995 (UNAUDITED) DEC. 31, 1995 (UNAUDITED) DEC. 31, 1995
<S> <C> <C> <C> <C> <C> <C>
NET INVESTMENT INCOME (LOSS) .............. $ (13,236) $ 157,456 $ (298,379) $ 174,168 $ (382,203) $ 29,514
NET REALIZED GAINS FROM SECURITY
TRANSACTIONS ............................. 988,218 340,634 4,015,310 2,000,269 4,174,020 2,755,722
CAPITAL GAIN DISTRIBUTIONS FROM OTHER
INVESTMENT COMPANIES ................... 88,639 193,168 554,845 1,361,368 459,669 1,448,986
NET CHANGE IN UNREALIZED APPRECIATION/
DEPRECIATION ON INVESTMENTS ........... 380,639 174,979 1,288,552 1,364,634 2,855,933 94,382
----------- ----------- ----------- ----------- ------------ -----------
NET INCREASE IN NET ASSETS FROM OPERATIONS 1,444,260 866,237 5,560,328 4,900,439 7,107,419 4,328,604
----------- ----------- ----------- ----------- ------------ -----------
FROM DISTRIBUTIONS TO SHAREHOLDERS
DIVIDENDS FROM NET INVESTMENT INCOME ...... -- (157,456) -- (174,168) -- (29,514)
DISTRIBUTIONS IN EXCESS OF
NET INVESTMENT INCOME (NOTE 1) ......... -- (33,397) -- (743,836) -- (728,239)
DISTRIBUTIONS FROM NET REALIZED GAINS ..... -- (500,405) -- (2,617,801) -- (3,476,469)
----------- ----------- ----------- ----------- ------------ -----------
DECREASE IN NET ASSETS FROM DISTRIBUTIONS
TO SHAREHOLDERS ........................ -- (691,258) -- (3,535,805) -- (4,234,222)
----------- ----------- ----------- ----------- ------------ -----------
FROM CAPITAL SHARE TRANSACTIONS (NOTE 4)
PROCEEDS FROM SHARES SOLD ................. 22,352,070 11,949,211 59,858,153 40,307,575 69,476,228 42,808,631
NET ASSET VALUE OF SHARES ISSUED IN
REINVESTMENT OF DISTRIBUTIONS
TO SHAREHOLDERS ........................ -- 686,564 -- 3,504,110 -- 4,179,128
PAYMENTS FOR SHARES REDEEMED .............. (3,936,384) (2,988,594) (8,995,268) (6,228,681) (10,683,910) (4,786,645)
----------- ----------- ----------- ----------- ------------ -----------
NET INCREASE IN NET ASSETS FROM
CAPITAL SHARE TRANSACTIONS ............ 18,415,686 9,647,181 50,862,885 37,583,004 58,792,318 42,201,114
----------- ----------- ----------- ----------- ------------ -----------
TOTAL INCREASE IN NET ASSETS .............. 19,859,946 9,822,160 56,423,213 38,947,638 65,899,737 42,295,496
NET ASSETS:
BEGINNING OF PERIOD ....................... 9,852,160 30,000 38,987,638 40,000 42,325,496 30,000
----------- ----------- ----------- ----------- ------------ -----------
END OF PERIOD ............................. $29,712,106 $ 9,852,160 $95,410,851 $38,987,638 $108,225,233 $42,325,496
=========== =========== =========== =========== ============ ===========
SEE ACCOMPANYING NOTES TO FINANCIAL STATEMENTS
</TABLE>
<PAGE>
<TABLE>
Financial Highlights
FINANCIAL HIGHLIGHTS - MARKMAN CONSERVATIVE GROWTH FUND
Per share data for a share outstanding throughout each period
<CAPTION>
SIX MONTHS ENDED PERIOD ENDED
JUNE 30, 1996 (UNAUDITED) DEC. 31,1995 (A)
<S> <C> <C>
NET ASSET VALUE - BEGINNING OF PERIOD ................................ $ 10.97 $ 10.00
---------- ---------
INCOME FROM INVESTMENT OPERATIONS:
NET INVESTMENT INCOME (LOSS) ....................................... (0.01) 0.19
NET REALIZED AND UNREALIZED GAINS ON INVESTMENTS ................... 0.89 1.61
---------- ---------
TOTAL FROM INVESTMENT OPERATIONS ................................... 0.88 1.80
---------- ---------
LESS DISTRIBUTIONS:
DIVIDENDS FROM NET INVESTMENT INCOME ............................... -- (0.19)
DISTRIBUTIONS IN EXCESS OF NET INVESTMENT INCOME ................... -- (0.04)
DISTRIBUTIONS FROM NET REALIZED GAINS .............................. -- (0.60)
---------- ---------
TOTAL DISTRIBUTIONS .................................................. -- (0.83)
---------- ---------
NET ASSET VALUE - END OF PERIOD ...................................... $ 11.85 $ 10.97
========== =========
TOTAL RETURN ......................................................... 8.02% 18.00%
========== =========
NET ASSETS - END OF PERIOD (000'S) ................................... $ 29,712 $ 9,852
========== =========
RATIO OF EXPENSES TO AVERAGE NET ASSETS .............................. 0.95%(B) 0.95%(B)
RATIO OF NET INVESTMENT INCOME (LOSS) TO AVERAGE NET ASSETS .......... (0.12)%(B) 3.02%(B)
PORTFOLIO TURNOVER RATE .............................................. 71% 176%
<PAGE>
<CAPTION>
FINANCIAL HIGHLIGHTS - MARKMAN MODERATE GROWTH FUND
Per share data for a share outstanding throughout each period
<S> <C> <C>
NET ASSET VALUE - BEGINNING OF PERIOD ................................ $ 11.31 $ 10.00
---------- ----------
INCOME FROM INVESTMENT OPERATIONS:
NET INVESTMENT INCOME (LOSS) ....................................... (0.04) 0.06
NET REALIZED AND UNREALIZED GAINS ON INVESTMENTS ................... 0.95 2.39
---------- ----------
TOTAL FROM INVESTMENT OPERATIONS ................................... 0.91 2.45
---------- ----------
LESS DISTRIBUTIONS:
DIVIDENDS FROM NET INVESTMENT INCOME ............................... -- (0.06)
DISTRIBUTIONS IN EXCESS OF NET INVESTMENT INCOME ................... -- (0.24)
DISTRIBUTIONS FROM NET REALIZED GAINS .............................. -- (0.84)
---------- ----------
TOTAL DISTRIBUTIONS .................................................. -- (1.14)
---------- ----------
NET ASSET VALUE - END OF PERIOD ...................................... $ 12.22 $ 11.31
========== ==========
TOTAL RETURN ......................................................... 8.05% 24.50%
========== ==========
NET ASSETS - END OF PERIOD (000'S) ................................... $ 95,411 $ 38,988
========== ==========
RATIO OF EXPENSES TO AVERAGE NET ASSETS .............................. 0.95%(B) 0.95%(B)
RATIO OF NET INVESTMENT INCOME (LOSS) TO AVERAGE NET ASSETS .......... (0.74)%(B) (0.77)%(B)
PORTFOLIO TURNOVER RATE .............................................. 168% 141%
<PAGE>
<CAPTION>
FINANCIAL HIGHLIGHTS - MARKMAN AGGRESSIVE GROWTH FUND
Per share data for a share outstanding throughout each period
<S> <C> <C>
NET ASSET VALUE - BEGINNING OF PERIOD .............................. $ 11.79 $ 10.00
----------- -----------
INCOME FROM INVESTMENT OPERATIONS:
NET INVESTMENT INCOME (LOSS) ..................................... (0.05) 0.01
NET REALIZED AND UNREALIZED GAINS ON INVESTMENTS ................. 1.13 3.11
----------- -----------
TOTAL FROM INVESTMENT OPERATIONS ................................... 1.08 3.12
----------- -----------
LESS DISTRIBUTIONS:
DIVIDENDS FROM NET INVESTMENT INCOME ............................. -- (0.01)
DISTRIBUTIONS IN EXCESS OF NET INVESTMENT INCOME ................. -- (0.23)
DISTRIBUTIONS FROM NET REALIZED GAINS ............................ -- (1.09)
----------- -----------
TOTAL DISTRIBUTIONS ................................................ -- (1.33)
----------- -----------
NET ASSET VALUE - END OF PERIOD .................................... $ 12.87 $ 11.79
=========== ===========
TOTAL RETURN ....................................................... 9.16% 31.21%
=========== ===========
NET ASSETS - END OF PERIOD (000'S) ................................. $ 108,225 $ 42,325
=========== ===========
RATIO OF EXPENSES TO AVERAGE NET ASSETS ............................ 0.95%(B) 0.95%(B)
RATIO OF NET INVESTMENT INCOME (LOSS) TO AVERAGE NET ASSETS ........ (0.87%)(B) 0.15%(B)
PORTFOLIO TURNOVER RATE ............................................ 199% 204%
<FN>
(A) Represents the period from the initial public offering of shares (January
26, 1995) through December 31, 1995.
(B) Annualized
SEE ACCOMPANYING NOTES TO FINANCIAL STATEMENTS
</FN>
</TABLE>
<PAGE>
Notes to Financial Statements
NOTES TO FINANCIAL STATEMENTS - UNAUDITED
1. SIGNIFICANT ACCOUNTING POLICIES
Markman MultiFund Trust (the Trust) is registered under the Investment Company
Act of 1940, as amended (the 1940 Act), as an open-end non-diversified
management investment company. The Trust was organized as a Massachusetts
business trust on September 7, 1994. The Trust offers three series of shares
to investors: the Markman Conservative Growth Fund, the Markman Moderate
Growth Fund and the Markman Aggressive Growth Fund (collectively, the Funds).
The Trust was capitalized on November 28, 1994, when the Funds' investment
adviser, Markman Capital Management, Inc. (the Adviser), purchased the initial
shares of each Fund at $10.00 per share. The public offering of shares
commenced on January 26, 1995. The Trust had no operations prior to the public
offering of shares except for the initial issuance of shares to the Adviser.
The Markman Conservative Growth Fund seeks to provide current income and low
to moderate growth of capital. The Markman Moderate Growth Fund seeks growth
of capital and a reasonable level of current income. The Markman Aggressive
Growth Fund seeks capital appreciation without regard to current income.
The following is a summary of the Trust's significant accounting policies:
SECURITIES VALUATION -- The Funds' portfolio securities are valued as of the
close of business of the regular session of trading on the New York Stock
Exchange (currently 4:00 p.m., Eastern time). Shares of open-end management
investment companies (mutual funds) in which the Funds invest are valued at
their respective net asset values as determined under the 1940 Act. Such
mutual funds value securities in their portfolios for which market quotations
are readily available at their current market value (generally the last
reported sale price) and all other securities and assets at fair value
pursuant to methods established in good faith by the Board of Trustees or
Directors of the underlying mutual fund. Money market funds generally value
securities in their portfolios on an amortized cost basis, which approximates
market.
SHARE VALUATION -- The net asset value per share of each Fund is calculated
daily by dividing the total value of that Fund's assets, less liabilities, by
the number of shares outstanding, rounded to the nearest cent. The offering
and redemption price per share of each Fund are equal to the net asset value
per share.
INVESTMENT INCOME -- Dividend income is recorded on the ex-dividend date.
For financial reporting purposes, the Funds record distributions of short-term
and long-term capital gains made by mutual funds in which the Funds invest as
realized gains. For tax purposes, the short-term portion of such distributions
is treated as dividend income by the Funds.
DISTRIBUTIONS TO SHAREHOLDERS -- Distributions to shareholders arising from
each Fund's net investment income and net realized capital gains, if any, are
distributed at least once each year. Income distributions and capital gain
distributions are determined in accordance with income tax regulations, which
may differ from generally accepted accounting principles.
SECURITY TRANSACTIONS -- Security transactions are accounted for on the trade
date. Securities sold are valued on a specific identification basis.
ESTIMATES -- The preparation of financial statements in conformity with
generally accepted accounting principles requires management to make estimates
and assumptions that affect the reported amounts of assets and liabilities
during the reporting period. Actual results could differ from those estimates.
FEDERAL INCOME TAX -- It is each Fund's policy to comply with the special
provisions of the Internal Revenue Code available to regulated investment
companies. As provided therein, in any fiscal year in which a Fund so
qualifies and distributes at least 90% of its taxable net income, the Fund
(but not the shareholders) will be relieved of federal income tax on the
income distributed. Accordingly, no provision for income taxes has been made.
In order to avoid imposition of the excise tax applicable to regulated
investment companies, it is also each Fund's intention to declare as dividends
in each calendar year at least 98% of its net investment income (earned during
the calendar year) and 98% of its net realized capital gains (earned during
the twelve months ended October 31) plus undistributed amounts from prior
years.
Each of the Funds files a tax return annually using tax accounting methods
required under provisions of the Code which may differ from generally accepted
accounting principles, the basis on which these financial statements are
prepared. The differences arise primarily from the treatment of short-term
gain distributions made by mutual funds in which the Funds invest and the
deferral of certain losses under federal income tax regulations. Accordingly,
the amount of net investment income and net realized capital gain or losses
reported in the financial statements may differ from that reported in the
Fund's tax return and, consequently, the character of distributions to
shareholders reported in the Statement of Changes in Net Assets and the
Financial Highlights may differ from that reported to shareholders for federal
income tax purposes. As a result of such differences, reclassifications were
made to the components of net assets to conform with generally accepted
accounting principles.
FEDERAL INCOME TAX
The following information is based upon the federal income tax cost of
portfolio investments of the Funds as of June 30, 1996:
<TABLE>
<CAPTION>
CONSERVATIVE MODERATE AGGRESSIVE
GROWTH FUND GROWTH FUND GROWTH FUND
<S> <C> <C> <C>
GROSS UNREALIZED APPRECIATION $ 765,098 $ 3,304,933 $ 4,245,250
GROSS UNREALIZED DEPRECIATION (209,480) (651,747) (1,294,935)
------------- ------------- -------------
NET UNREALIZED APPRECIATION $ 555,618 $ 2,653,186 $ 2,950,315
============= ============= =============
FEDERAL INCOME TAX COST $ 28,116,814 $ 91,145,072 $ 103,149,749
============= ============= =============
</TABLE>
<PAGE>
2. INVESTMENT TRANSACTIONS
During the six months ended June 30, 1996, purchases and proceeds from sales
and maturities of portfolio securities, other than short-term investments,
amounted to $31,937,476 and $14,332,754, respectively, for the Markman
Conservative Growth Fund, $175,922,401 and $128,533,175, respectively, for the
Markman Moderate Growth Fund, and $223,519,189 and $167,523,998, respectively,
for the Markman Aggressive Growth Fund.
3. TRANSACTIONS WITH AFFILIATES
The Chairman of the Board and President of the Trust is also the President of
Markman Capital Management, Inc. (the Adviser). Certain other trustees and
officers of the Trust are officers of the Adviser or of MGF Service Corp.
(MGF), the administrative services agent, shareholder servicing and transfer
agent, and accounting services agent for the Trust.
INVESTMENT ADVISORY AGREEMENT
The Funds' investments are managed by the Adviser pursuant to the terms of an
Investment Management Agreement. Each Fund pays the Adviser an investment
management fee, computed and accrued daily and paid monthly, at an annual rate
of .95% of average daily net assets. The Adviser pays all operating expenses
of the Funds except brokerage commissions, taxes, interest, fees and expenses
of independent trustees and any extraordinary expenses.
In addition, the Adviser is contractually obligated to reduce its investment
management fee in an amount equal to each Fund's allocable portion of the fees
and expenses of the Trust's independent trustees.
ADMINISTRATIVE, ACCOUNTING, AND TRANSFER AGENCY AGREEMENT
Under the terms of the Administration, Accounting, and Transfer Agency
Agreement between the Trust, the Adviser and MGF, MGF supplies non-investment
related statistical and research data, internal regulatory compliance services
and executive and administrative services for the Funds. MGF supervises the
preparation of tax returns, reports to shareholders of the Funds, reports to
and filings with the Securities and Exchange Commission and state securities
commissions and materials for meetings of the Board of Trustees, maintains the
records of each shareholder's account, answers shareholders' inquiries
concerning their accounts, processes purchases and redemptions of each Fund's
shares, acts as dividend and distribution disbursing agent and performs other
shareholder service functions, calculates the daily net asset value per share
and maintains the financial books and records of each Fund. For the
performance of these services, the Adviser, out of its investment management
fee, pays MGF a monthly base fee, an asset based fee, and a fee based on the
number of shareholder accounts. In addition, the Adviser pays out-of-pocket
expenses including, but not limited to, postage and supplies.
4. CAPITAL SHARE TRANSACTIONS
Proceeds and payments on capital shares as shown in the State ments of Changes
in Net Assets are the result of the following capital share transactions for
the periods ended June 30, 1996 and December 31, 1995:
<TABLE>
CONSERVATIVE MODERATE AGGRESSIVE
GROWTH FUND GROWTH FUND GROWTH FUND
<S> <C> <C> <C>
SIX MONTHS ENDED JUNE 30, 1996
(UNAUDITED):
SHARES SOLD .......................... 1,951,700 5,111,509 5,668,938
SHARES ISSUED IN REINVESTMENT OF
DISTRIBUTIONS TO SHAREHOLDERS ...... -- -- --
LESS SHARES REDEEMED ................. (341,364) (749,554) (846,526)
---------- ---------- ----------
NET INCREASE
IN SHARES OUTSTANDING .............. 1,610,336 4,361,955 4,822,412
SHARES OUTSTANDING,
BEGINNING OF PERIOD ................ 897,990 3,445,994 3,588,830
---------- ---------- ----------
SHARES OUTSTANDING,
END OF PERIOD ...................... 2,508,326 7,807,949 8,411,242
========== ========== ==========
YEAR ENDED DECEMBER 31, 1995:
SHARES SOLD .......................... 1,099,287 3,661,638 3,621,298
SHARES ISSUED IN REINVESTMENT
OF DISTRIBUTIONS TO
SHAREHOLDERS ....................... 62,586 309,824 354,464
LESS SHARES REDEEMED ................. (266,883) (529,468) (389,932)
---------- ---------- ----------
NET INCREASE IN
SHARES OUTSTANDING ................. 894,990 3,441,994 3,585,830
SHARES OUTSTANDING,
BEGINNING OF PERIOD ................ 3,000 4,000 3,000
---------- ---------- ----------
SHARES OUTSTANDING,
END OF PERIOD ...................... 897,990 3,445,994 3,588,830
========== ========== ==========
</TABLE>
<PAGE>
Application & Request Forms
YOUR MMFT APPLICATION & REQUEST FORMS
You may use the following APPLICATION AND REQUEST FORMS KIT to invest directly
in The Markman MultiFunds. The minimum direct investment is $25,000.
If you want to invest less than $25,000, you may purchase The Markman
MultiFunds through Charles Schwab & Company (1-800-266-5623), Jack White and
Company (1-800-323-3263), Fidelity Investments (1-800-544-7558), and
Waterhouse Securities (1-800-934-4443), among others.
Mail us YOUR COMPLETED FORMS using the enclosed postage-paid business reply
envelope. You will be contacted by mail verifying your investment.
For ADDITIONAL FORMS or ANSWERS TO ANY QUESTIONS just contact The Markman
MultiFunds (between the hours of 8:30 AM and 5:30 PM EST):
Toll-free: 1-800-707-2771
In Cincinnati: 513-629-2070
THIS KIT INCLUDES:
O ACCOUNT APPLICATION
O IRA APPLICATION
O IRA TRANSFER REQUEST
THESE FORMS ARE AVAILABLE:
(CALL 1-800-707-2771)
O DOLLAR COST AVERAGING APPLICATION
O SYSTEMATIC WITHDRAWAL PLAN REQUEST
O AUTOMATIC INVESTMENT REQUEST
O COMPANY RETIREMENT ACCOUNT APPLICATION
O COMPANY RETIREMENT PLAN PROTOTYPE
[INCLUDES PROFIT SHARING, MONEY PURCHASE, 401(K)]
O 403(B) PLAN AND APPLICATION
<PAGE>
The Markman MultiFunds
Shareholders Services
P.O. Box 5354
Cincinnati, Ohio 45201-5354
1-800-707-2771
ACCOUNT APPLICATION
1 INVESTMENT INFORMATION Select Fund(s) and fill in amounts
o Conservative Growth Fund 57- _______________ ($25,000 minimum)
o Moderate Growth Fund 58- _______________ ($25,000 minimum)
o Aggressive Growth Fund 59- _______________ ($25,000 minimum)
o Total amount being invested: ____________________ Do not send cash.
Payment: o Check or draft payable to The Markman MultiFunds.
o Bank Wire: For wire instructions please call 1-800-707-2771
2 HOW DO YOU WANT YOUR ACCOUNT REGISTERED? Check a box
o INDIVIDUAL OR o JOINT REGISTRATION
- -------------------------------------------- --------------------------
OWNER'S NAME (FIRST, INITIAL, LAST) SOCIAL SECURITY #
18 or older o YES o NO
- -------------------------------------------- --------------------------
OWNER'S NAME (FIRST, INITIAL, LAST) SOCIAL SECURITY #
Joint accounts are registered joint with
right of survivorship unless you specify
otherwise
o CORPORATION, PARTNERSHIP OR OTHER ENTITY
- -------------------------------------------- --------------------------
NAME OF ENTITY TAXPAYER I.D. NUMBER
CHECK THE APPROPRIATE BOX: o CORPORATION o PARTNERSHIP o FOUNDATION
o ENDOWMENT o NON-PROFIT o OTHER
o TRUST
- -------------------------------------------- --------------------------
TRUSTEE'S NAME DATE OF BIRTH SOCIAL SECURITY #
- -------------------------------------------- --------------------------
NAME OF TRUST AGREEMENT DATE OF TRUST AGREEMENT
- -------------------------------------------- --------------------------
BENEFICIARY'S NAME TAXPAYER I.D. #
o GIFT OR TRANSFER TO MINOR
- -------------------------------------------- --------------------------
MINOR'S NAME (FIRST, INITIAL, LAST) MINOR'S SOCIAL SECURITY NUMBER
- -------------------------------------------- --------------------------
CUSTODIAN'S NAME (FIRST, INITIAL, LAST) MINOR'S DATE OF BIRTH
UNDER THE ______________________________ (SPECIFY STATE) UNIFORM GIFTS/
TRANSFER TO MINORS ACT
3 MAILING ADDRESS OF REGISTERED OWNER(S)
- --------------------------------------------
STREET OR P.O. BOX Citizen of U.S.? o YES o NO
- -------------------------------------------- --------------------------
CITY/STATE/ZIP COUNTRY
( ) ( )
- -------------------------------------------- --------------------------
PHONE NUMBER FAX NUMBER
CALL THE MARKMAN MULTIFUNDS WITH QUESTIONS 1-800-707-2771
PLEASE COMPLETE THE REVERSE SIDE
<PAGE>
ACCOUNT APPLICATION
4 TELEPHONE REDEMPTION
Shares may be redeemed by calling (800) 707-2771 (See description in
prospectus).
If no box is checked, the telephone redemption option will be elected.
o Investor DECLINES the telephone redemption o ACH Transfer
o Investor ELECTS the telephone redemption
Redemption will be sent to address of record unless you specify below the
bank to which redemption proceeds are to be wired, and enclose a voided
check from the bank you wish to use:
- -------------------------------------------- --------------------------
NAME IN WHICH BANK ACCOUNT IS REGISTERED BANK ACCOUNT NUMBER
- -------------------------------------------- --------------------------
BANK NAME ABA ROUTING NUMBER
- -------------------------------------------- --------------------------
BANK ADDRESS BANK TELEPHONE NUMBER
5 INCOME AND CAPITAL GAINS PAYMENT ELECTION
o We recommend that you reinvest all your dividends and capital gain
distributions from these funds. If you agree, check this box.
o Or, you can reinvest all capital gain distributions but pay the dividends
in cash.
o Or, pay all dividends and capital gain distributions in cash by check
o or ACH Transfer.
If you wish to have your distributions paid in cash by ACH Transfer to your
bank, please complete the instructions below, and enclose a voided check
from the bank account you wish to use:
- -------------------------------------------- --------------------------
NAME IN WHICH BANK ACCOUNT IS REGISTERED BANK ACCOUNT NUMBER
- -------------------------------------------- --------------------------
BANK NAME ABA ROUTING NUMBER
- -------------------------------------------- --------------------------
BANK ADDRESS BANK TELEPHONE NUMBER
6 CERTIFICATION AND SIGNATURE(S)
By signing this form, the investor represents and warrants that: a. the
Investor is of legal age, and has the full right, power and authority to
invest in the Fund; and b. the Investor has received a current prospectus of
the Fund and agrees to be bound by its terms.
Under penalties of perjury, the Investor certifies that 1. the number shown on
this form is the Investor's correct social security or taxpayer ID number, and
2. the Investor is not subject to backup withholding because i. the Investor
has not been notified by the Internal Revenue Service (IRS) that the Investor
is subject to backup withholding as a result of a failure to report all
interest or dividends, or ii. the IRS has notified the Investor that the
Investor is no longer subject to backup withholding. (Strike out Item 2. if
the Investor is currently subject to such backup withholding.) The IRS does
not require your consent to any provision of this document other than the
certifications required to avoid backup withholding.
Persons signing as representatives or fiduciaries of corporations,
partnerships, trusts or other organizations are required to furnish corporate
resolutions or similar documents providing evidence that they are authorized
to effect securities transactions on behalf of the Investor (alternatively,
the secretary or designated officer of the organization may certify the
authority of the persons signing on the space provided below). In addition,
signatures of representatives or fiduciaries of corporations and other
entities must be accompanied by a signature guarantee by a commercial bank
that is a member of the Federal Deposit Insurance Corporation, a trust
company, or a member of a national securities exchange.
- -------------------------------- ----------- -------------------------------
X
SIGNATURE (OWNER, TRUSTEE, ETC.) DATE PRINT NAME
- -------------------------------- ----------- -------------------------------
X
SIGNATURE (JOINT OWNER, DATE PRINT NAME
CO-TRUSTEE, ETC.)
- -------------------------------- ----------- -------------------------------
X
SIGNATURE (JOINT OWNER, DATE PRINT NAME
CO-TRUSTEE, ETC.)
CALL THE MARKMAN MULTIFUNDS WITH QUESTIONS 1-800-707-2771 7/96
<PAGE>
The Markman MultiFunds
Shareholders Services
P.O. Box 5354
Cincinnati, Ohio 45201-5354
1-800-707-2771
IRA APPLICATION
1 INVESTMENT INFORMATION Select Fund(s) and fill in amounts
o Conservative Growth Fund 57- ___________ ($25,000 minimum)
o Moderate Growth Fund 58- ___________ ($25,000 minimum)
o Aggressive Growth Fund 59- ___________ ($25,000 minimum)
o Total amount being invested. _______________ Do not send cash
Payment: o Check or draft: Please attach your check to this application,
payable to the applicable Fund.
o Bank Wire: For wire instructions please call 1-800-707-2771
o Direct Transfer: Funds will be transferred directly from
another IRA or retirement plan.
(PLEASE COMPLETE AND ENCLOSE AN IRA TRANSFER FORM (INCLUDED
IN THIS KIT) AND ATTACH A RECENT COPY OF YOUR IRA STATEMENT.)
2 HOW DO YOU WANT YOUR ACCOUNT REGISTERED?
- ---------------------------- ---------------------- --------------------
NAME (FIRST, INITIAL, LAST) SOCIAL SECURITY # DATE OF BIRTH (M-D-Y)
( ) ( )
- ---------------------------- ---------------------- --------------------
STREET OR P.O. BOX HOME PHONE BUSINESS PHONE
- ---------------------------- Citizen of U.S.? o YES o NO --------------------
CITY/STATE/ZIP COUNTRY
3 PLEASE DESCRIBE YOUR IRA
Choose IRA type below:
o Rollover IRA o SEP IRA o Regular IRA
TYPE OF CONTRIBUTION:
DIRECT TRANSFER
o I would like to transfer funds directly from an existing IRA to MMFT.
(Please also complete an IRA Transfer Request.)
o I am enclosing a check from my former employer's qualified retirement
plan or from my present IRA provider made payable to MMFT.
o My former employer's qualified retirement plan will send a check
directly to MMFT, made payable to MMFT.
60-DAY ROLLOVER
o I have received a check made payable to me from an existing IRA. A
check is enclosed and endorsed/made payable to MMFT.
o I have received a check made payable to me from my former employer's
qualified retirement plan. A check is enclosed and endorsed/made payable to
MMFT.
FOR MIDWEST USE ONLY
ACCEPTED: THE FIFTH THIRD BANK
BY: DATE:
- --------------------------------------- -------------------------------
ACCEPTED: MGF SERVICE CORP.
BY: DATE:
- --------------------------------------- -------------------------------
CALL THE MARKMAN MULTIFUNDS WITH QUESTIONS 1-800-707-2771
PLEASE COMPLETE THE REVERSE SIDE
<PAGE>
IRA APPLICATION
4 DESIGNATE YOUR BENEFICIARY(IES)
Primary Beneficiary(ies):
I designate the person(s) named below as primary beneficiary(ies), to receive
payment of the value of my IRA upon my death. Percentages must be in whole
percentages and must total 100%.
1. --------% --------------------------- ------------- -----------------
PERCENT NAME (FIRST, INITIAL, LAST) RELATIONSHIP SOCIAL SECURITY #
----------------------
DATE OF BIRTH (M-D-Y)
-------------------------------------------------------------------------
ADDRESS
2. --------% --------------------------- ------------- -----------------
PERCENT NAME (FIRST, INITIAL, LAST) RELATIONSHIP SOCIAL SECURITY #
----------------------
DATE OF BIRTH (M-D-Y)
-------------------------------------------------------------------------
ADDRESS
Secondary Beneficiary(ies):
I designate the person(s) named below as secondary beneficiary(ies) to receive
payment of the value of my IRA if there is/are no primary beneficiary(ies)
living at the time of my death. Percentages must be in whole percentages and
must total 100%.
1. --------% --------------------------- ------------- -----------------
PERCENT NAME (FIRST, INITIAL, LAST) RELATIONSHIP SOCIAL SECURITY #
----------------------
DATE OF BIRTH (M-D-Y)
-------------------------------------------------------------------------
ADDRESS
2. --------% --------------------------- ------------- -----------------
PERCENT NAME (FIRST, INITIAL, LAST) RELATIONSHIP SOCIAL SECURITY #
----------------------
DATE OF BIRTH (M-D-Y)
-------------------------------------------------------------------------
ADDRESS
Note: If any beneficiary is a Trust, please indicate the Trust's name,
date of the Trust, and the Trustee(s) name(s). Please list any additional
beneficiaries on a separate sheet and attach to this form.
5 SYSTEMATIC WITHDRAWAL OPTION
MMFT also offers the Systematic Withdrawal Plan for regular interval
withdrawals. Please call 1-800-707-2771 for more information.
6 SIGNATURE OF HOLDER AND TAXPAYER CERTIFICATION
The undersigned certifies that I am of legal age and have full authority and
legal capacity to purchase shares of the Fund(s) and affirm that (1) I have
read the Prospectus(es) and agree to its (their) terms; (2) I appoint
MGFService Corp. or any successor as Custodian of my account; (3) I
acknowledge having received and read the IRA Custodial Agreement and
Disclosure Statement which is incorporated herein by reference; (4) I
understand that by signing below: (a) all information provided in the above
items (if applicable) will apply to any Fund into which my shares may be
exchanged now or in the future; (b) I hereby ratify any instructions given on
this account and/or any account into which I exchange relating to the above
items and agree that neither the Fund(s) nor the Transfer Agent will be liable
for any loss, cost or expense for acting upon such instructions (by telephone
or in writing) believed by it to be genuine and in accordance with the
procedures described in the Prospectus; (c) my responsibility is to read the
Prospectus of any Fund into which I exchange; and (d) as required by federal
law, I CERTIFY UNDER PENALTIES OF PERJURY THAT THE SOCIAL SECURITY NUMBER
PROVIDED ON THIS FORM IS CORRECT. The IRS does not require your consent to any
provision of this document other than the certifications required to avoid
backup withholding.
X
- --------------------------------------------------------- ------------------
SIGNATURE DATE
CALL THE MARKMAN MULTIFUNDS WITH QUESTIONS 1-800-707-2771
<PAGE>
The Markman MultiFunds
Shareholders Services
P.O. Box 5354
Cincinnati, Ohio 45201-5354
1-800-707-2771
IRA TRANSFER REQUEST
Please complete this form if you wish to transfer an existing IRA to The
Markman MultiFunds directly from another institution. We will handle all
details of the transfer process for you. Please print carefully or type all
information on this form. When completed, please forward this form in the
postage-paid envelope or send (ALONG WITH AN IRA APPLICATION IF THIS IS A NEW
ACCOUNT) to: The Markman MultiFunds, P.O.Box 5354, Cincinnati, Ohio
45201-5354.
1 NAME AND ADDRESS
- ----------------------------- ------------------- -----------------------
NAME (FIRST, INITIAL, LAST) SOCIAL SECURITY # DATE OF BIRTH (M-D-Y)
( ) ( )
- ----------------------------- ------------------- -----------------------
STREET OR P.O. BOX HOME PHONE BUSINESS PHONE
- -----------------------------
CITY /STATE / ZIP
2 INFORMATION ABOUT THE IRA TO BE TRANSFERRED
- ----------------------------------------
NAME OF FINANCIAL INSTITUTION (FI)
- ----------------------------------------
ADDRESS
- ----------------------------------------
CITY/STATE/ZIP
( )
- ----------------------------------------
PHONE NUMBER
- ----------------------------------------
CURRENT ACCOUNT NUMBER(S)
If you are 701/2 or older you may not transfer your Required Minimum
Distribution to any IRA. Please make arrangements with your current Trustee or
Custodian to take your Required Minimum Distribution.
PLEASE ATTACH A COPY OF YOUR CURRENT IRA ACCOUNT STATEMENT.
TYPE OF ACCOUNT TOTAL OR
TO BE TRANSFERRED: PARTIAL TRANSFER:
o Regular IRA o Total
o Rollover IRA* o Partial (Amount: $____________)
o SEP IRA
*A Rollover IRA is an IRA initiated using a distribution
from an employer-sponsored retirement or thrift plan.
3 INVESTED IN CDs? IF SO, COMPLETE THIS SECTION
Timing of transfer (CDs only):
-------------------------------------
o Process at date of maturity DATE OF MATURITY
-------------------------------------
o Process immediately
(I am aware of any penalties that NAME OF CONTACT AT FINANCIAL INSTITUTION
may apply)
PLEASE SEND US THIS TRANSFER AT LEAST TWO WEEKS PRIOR TO THE MATURITY DATE
OF YOUR CD.
CALL THE MARKMAN MULTIFUNDS WITH QUESTIONS 1-800-707-2771
PLEASE COMPLETE THE REVERSE SIDE
<PAGE>
IRA TRANSFER REQUEST
4 INVESTMENT INFORMATION Select Fund(s) and fill in amounts
o Conservative Growth Fund 57-______________ ($25,000 minimum)
o Moderate Growth Fund 58-______________ ($25,000 minimum)
o Aggressive Growth Fund 59-______________ ($25,000 minimum)
o Total amount being invested __________________
TRANSFER TO NEW OR EXISTING MMFT ACCOUNTS
o New (PLEASE ENCLOSE COMPLETED IRA ACCOUNT APPLICATION)
o Existing IRAs
(Account number[s]): _________________________________________________________
5 PLEASE SIGN HERE TO AUTHORIZE THE IRA TRANSFER
AUTHORIZATION OF YOUR CURRENT TRUSTEE OR CUSTODIAN TO TRANSFER YOUR IRA TO THE
MARKMAN MULTIFUNDS.
Resigning Trustee or Custodian: Please make a partial or total liquidation of
my account as described above and remit the proceeds of the liquidation to The
Markman MultiFunds.
Important: Your financial institution may require your signature to be
guaranteed. Please call them for requirements. If required, signature
guaranteed by:
X
- ----------------------------- -------------- ------------------------------
SIGNATURE DATE NAME OF FINANCIAL INSTITUTION
X
------------------------------
SIGNATURE OF OFFICER AND TITLE
CALL THE MARKMAN MULTIFUNDS WITH QUESTIONS 1-800-707-2771
<PAGE>
The Markman MultiFunds
Portfolio/Strategy
Update
To hear Bob Markman's weekly market overview and MultiFund activity report,
dial 1-800-975-5463.
Prospectus
For copies of the Markman Prospectus, dial 1-800-232-4792.
PriceLine
Call anytime for up-to-the-minute net asset values at 1-800-536-8679.
HelpLine
For an application form, for assistance in completing an application, or for
general administrative questions, dial 1-800-707-2771.
OnLine
Bob's on the Internet!
Check for net asset values and more
at HTTP://WWW.MARKMAN.COM
Authorized for distribution only if preceded or accompanied by a current
prospectus.
Logo: The Markman MultiFunds
INVESTMENT ADVISER
Markman Capital Management, Inc.
6600 France Ave. So., Suite 565
Minneapolis, Minnesota 55435
Telephone: 612-920-4848
Toll-free: 1-800-395-4848
SHAREHOLDER SERVICES
c/o MGF Service Corp.
312 Walnut Street, 21st Floor
Cincinnati, Ohio 45202-3874
Telephone: 513-629-2070
Toll-free: 1-800-707-2771
Logo: 100% No-Load TM Mutual Fund Council
<PAGE>
Logo: The Markman MultiFunds
P.O. Box 5354
Cincinnati, Ohio 45202-3874
BULK RATE
U.S. POSTAGE
PAID
MPLS MN
PERMIT# 4347
<TABLE> <S> <C>
<ARTICLE> 6
<CIK> 0000931465
<NAME> MARKMAN MULTIFUND TRUST
<SERIES>
<NUMBER> 1
<NAME> MARKMAN AGGRESSIVE GROWTH FUND
<S> <C>
<PERIOD-TYPE> 6-MOS
<FISCAL-YEAR-END> DEC-31-1996
<PERIOD-START> JAN-01-1996
<PERIOD-END> JUN-30-1996
<INVESTMENTS-AT-COST> 103,149,749
<INVESTMENTS-AT-VALUE> 106,100,064
<RECEIVABLES> 2,000,610
<ASSETS-OTHER> 15,472
<OTHER-ITEMS-ASSETS> 294,616
<TOTAL-ASSETS> 108,410,762
<PAYABLE-FOR-SECURITIES> 0
<SENIOR-LONG-TERM-DEBT> 0
<OTHER-ITEMS-LIABILITIES> 185,529
<TOTAL-LIABILITIES> 185,529
<SENIOR-EQUITY> 0
<PAID-IN-CAPITAL-COMMON> 101,023,432
<SHARES-COMMON-STOCK> 8,411,242
<SHARES-COMMON-PRIOR> 3,588,830
<ACCUMULATED-NII-CURRENT> (382,203)
<OVERDISTRIBUTION-NII> 0
<ACCUMULATED-NET-GAINS> 4,633,689
<OVERDISTRIBUTION-GAINS> 0
<ACCUM-APPREC-OR-DEPREC> 2,950,315
<NET-ASSETS> 108,225,233
<DIVIDEND-INCOME> 35,006
<INTEREST-INCOME> 0
<OTHER-INCOME> 0
<EXPENSES-NET> 417,209
<NET-INVESTMENT-INCOME> (382,203)
<REALIZED-GAINS-CURRENT> 4,633,689
<APPREC-INCREASE-CURRENT> 2,855,933
<NET-CHANGE-FROM-OPS> 7,107,419
<EQUALIZATION> 0
<DISTRIBUTIONS-OF-INCOME> 0
<DISTRIBUTIONS-OF-GAINS> 0
<DISTRIBUTIONS-OTHER> 0
<NUMBER-OF-SHARES-SOLD> 5,668,938
<NUMBER-OF-SHARES-REDEEMED> 846,526
<SHARES-REINVESTED> 0
<NET-CHANGE-IN-ASSETS> 65,899,737
<ACCUMULATED-NII-PRIOR> 0
<ACCUMULATED-GAINS-PRIOR> 0
<OVERDISTRIB-NII-PRIOR> 0
<OVERDIST-NET-GAINS-PRIOR> 0
<GROSS-ADVISORY-FEES> 410,209
<INTEREST-EXPENSE> 0
<GROSS-EXPENSE> 417,209
<AVERAGE-NET-ASSETS> 88,678,109
<PER-SHARE-NAV-BEGIN> 11.79
<PER-SHARE-NII> (.05)
<PER-SHARE-GAIN-APPREC> 1.13
<PER-SHARE-DIVIDEND> 0
<PER-SHARE-DISTRIBUTIONS> 0
<RETURNS-OF-CAPITAL> 0
<PER-SHARE-NAV-END> 12.87
<EXPENSE-RATIO> 0.95
<AVG-DEBT-OUTSTANDING> 0
<AVG-DEBT-PER-SHARE> 0
</TABLE>
<TABLE> <S> <C>
<ARTICLE> 6
<CIK> 0000931465
<NAME> MARKMAN MULTIFUND TRUST
<SERIES>
<NUMBER> 2
<NAME> MARKMAN MODERATE GROWTH FUND
<S> <C>
<PERIOD-TYPE> 6-MOS
<FISCAL-YEAR-END> DEC-31-1996
<PERIOD-START> JAN-01-1996
<PERIOD-END> JUN-30-1996
<INVESTMENTS-AT-COST> 91,145,072
<INVESTMENTS-AT-VALUE> 93,798,258
<RECEIVABLES> 1,553,784
<ASSETS-OTHER> 2,183
<OTHER-ITEMS-ASSETS> 173,702
<TOTAL-ASSETS> 95,527,927
<PAYABLE-FOR-SECURITIES> 0
<SENIOR-LONG-TERM-DEBT> 0
<OTHER-ITEMS-LIABILITIES> 117,076
<TOTAL-LIABILITIES> 117,076
<SENIOR-EQUITY> 0
<PAID-IN-CAPITAL-COMMON> 88,485,889
<SHARES-COMMON-STOCK> 7,807,949
<SHARES-COMMON-PRIOR> 3,445,994
<ACCUMULATED-NII-CURRENT> (298,379)
<OVERDISTRIBUTION-NII> 0
<ACCUMULATED-NET-GAINS> 4,570,155
<OVERDISTRIBUTION-GAINS> 0
<ACCUM-APPREC-OR-DEPREC> 2,653,186
<NET-ASSETS> 95,410,851
<DIVIDEND-INCOME> 81,173
<INTEREST-INCOME> 0
<OTHER-INCOME> 0
<EXPENSES-NET> 379,552
<NET-INVESTMENT-INCOME> (298,379)
<REALIZED-GAINS-CURRENT> 4,570,155
<APPREC-INCREASE-CURRENT> 1,288,552
<NET-CHANGE-FROM-OPS> 5,560,328
<EQUALIZATION> 0
<DISTRIBUTIONS-OF-INCOME> 0
<DISTRIBUTIONS-OF-GAINS> 0
<DISTRIBUTIONS-OTHER> 0
<NUMBER-OF-SHARES-SOLD> 5,111,509
<NUMBER-OF-SHARES-REDEEMED> 749,554
<SHARES-REINVESTED> 0
<NET-CHANGE-IN-ASSETS> 56,423,213
<ACCUMULATED-NII-PRIOR> 0
<ACCUMULATED-GAINS-PRIOR> 0
<OVERDISTRIB-NII-PRIOR> 0
<OVERDIST-NET-GAINS-PRIOR> 0
<GROSS-ADVISORY-FEES> 372,552
<INTEREST-EXPENSE> 0
<GROSS-EXPENSE> 379,552
<AVERAGE-NET-ASSETS> 80,654,761
<PER-SHARE-NAV-BEGIN> 11.31
<PER-SHARE-NII> (.04)
<PER-SHARE-GAIN-APPREC> .95
<PER-SHARE-DIVIDEND> 0
<PER-SHARE-DISTRIBUTIONS> 0
<RETURNS-OF-CAPITAL> 0
<PER-SHARE-NAV-END> 12.22
<EXPENSE-RATIO> .95
<AVG-DEBT-OUTSTANDING> 0
<AVG-DEBT-PER-SHARE> 0
</TABLE>
<TABLE> <S> <C>
<ARTICLE> 6
<CIK> 0000931465
<NAME> MARKMAN MULTIFUND TRUST
<SERIES>
<NUMBER> 3
<NAME> MARKMAN CONSERVATIVE GROWTH FUND
<S> <C>
<PERIOD-TYPE> 6-MOS
<FISCAL-YEAR-END> DEC-31-1996
<PERIOD-START> JAN-01-1996
<PERIOD-END> JUN-30-1996
<INVESTMENTS-AT-COST> 28,116,814
<INVESTMENTS-AT-VALUE> 28,672,432
<RECEIVABLES> 996,704
<ASSETS-OTHER> 5,190
<OTHER-ITEMS-ASSETS> 65,184
<TOTAL-ASSETS> 29,739,510
<PAYABLE-FOR-SECURITIES> 0
<SENIOR-LONG-TERM-DEBT> 0
<OTHER-ITEMS-LIABILITIES> 27,404
<TOTAL-LIABILITIES> 27,404
<SENIOR-EQUITY> 0
<PAID-IN-CAPITAL-COMMON> 28,092,867
<SHARES-COMMON-STOCK> 2,508,326
<SHARES-COMMON-PRIOR> 897,990
<ACCUMULATED-NII-CURRENT> (13,236)
<OVERDISTRIBUTION-NII> 0
<ACCUMULATED-NET-GAINS> 1,076,857
<OVERDISTRIBUTION-GAINS> 0
<ACCUM-APPREC-OR-DEPREC> 555,618
<NET-ASSETS> 29,712,106
<DIVIDEND-INCOME> 88,159
<INTEREST-INCOME> 0
<OTHER-INCOME> 0
<EXPENSES-NET> 101,395
<NET-INVESTMENT-INCOME> (13,236)
<REALIZED-GAINS-CURRENT> 1,076,857
<APPREC-INCREASE-CURRENT> 380,639
<NET-CHANGE-FROM-OPS> 1,444,260
<EQUALIZATION> 0
<DISTRIBUTIONS-OF-INCOME> 0
<DISTRIBUTIONS-OF-GAINS> 0
<DISTRIBUTIONS-OTHER> 0
<NUMBER-OF-SHARES-SOLD> 1,951,700
<NUMBER-OF-SHARES-REDEEMED> 341,364
<SHARES-REINVESTED> 0
<NET-CHANGE-IN-ASSETS> 19,859,946
<ACCUMULATED-NII-PRIOR> 0
<ACCUMULATED-GAINS-PRIOR> 0
<OVERDISTRIB-NII-PRIOR> 0
<OVERDIST-NET-GAINS-PRIOR> 0
<GROSS-ADVISORY-FEES> 94,395
<INTEREST-EXPENSE> 0
<GROSS-EXPENSE> 101,395
<AVERAGE-NET-ASSETS> 21,572,751
<PER-SHARE-NAV-BEGIN> 10.97
<PER-SHARE-NII> (.01)
<PER-SHARE-GAIN-APPREC> .89
<PER-SHARE-DIVIDEND> 0
<PER-SHARE-DISTRIBUTIONS> 0
<RETURNS-OF-CAPITAL> 0
<PER-SHARE-NAV-END> 11.85
<EXPENSE-RATIO> .95
<AVG-DEBT-OUTSTANDING> 0
<AVG-DEBT-PER-SHARE> 0
</TABLE>
