UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, DC 20549
FORM N-CSR
CERTIFIED SHAREHOLDER REPORT OF REGISTERED
MANAGEMENT INVESTMENT COMPANIES
Investment Company Act file number 811-21587
Old Mutual Funds I
(Exact name of registrant as specified in charter)
________
4643 South Ulster Street, Suite 600
Denver, CO 80237
(Address of principal executive offices)
Julian F. Sluyters
4643 South Ulster Street, Suite 600, Denver, CO 80237
(Name and address of agent for service)
Copies to:
| William H. Rheiner, Esq. | Andra C. Ozols, Esq. | |
| Stradley Ronon Stevens & Young, LLP | Old Mutual Capital, Inc. | |
| 2600 One Commerce Square | 4643 South Ulster Street, Suite 600 | |
| Philadelphia, PA 19103 | Denver, CO 80237 | |
| (215) 564-8082 | (720) 200-7725 | |
Registrant’s telephone number, including area code: 1-888-772-2888
Date of fiscal year end: July 31
Date of reporting period: January 31, 2010
| Item 1. | Reports to Stockholders. |
[OLD MUTUAL LOGO]
Funds I
Old Mutual Funds I
SEMI-ANNUAL
REPORT
January 31, 2010
Old Mutual Asset Allocation Conservative Portfolio
Old Mutual Asset Allocation Balanced Portfolio
Old Mutual Asset Allocation Moderate Growth Portfolio
Old Mutual Asset Allocation Growth Portfolio
TABLE OF CONTENTS
About This Report 1
Message to Shareholders 3
Management Discussion of Fund Performance
and Schedules of Investments
Old Mutual Asset Allocation Conservative Portfolio
Class A (OMCAX), Class C (OMCCX), Class Z (OMCZX), Institutional Class (OMCIX) 4
Old Mutual Asset Allocation Balanced Portfolio
Class A (OMABX), Class C (OMBCX), Class Z (OMBZX), Institutional Class (OMBLX) 8
Old Mutual Asset Allocation Moderate Growth Portfolio
Class A (OMMAX), Class C (OMMCX), Class Z (OMMZX), Institutional Class (OMMIX) 12
Old Mutual Asset Allocation Growth Portfolio
Class A (OMGAX), Class C (OMCGX), Class Z (OMGZX), Institutional Class (OMGIX) 16
Statements of Assets and Liabilities 21
Statements of Operations 22
Statements of Changes in Net Assets 23
Financial Highlights 24
Notes to Financial Statements 27
Proxy Voting and Portfolio Holdings 39
Fund Expenses Example 40
ABOUT THIS REPORT
HISTORICAL RETURNS
____________________________________________________________________________________________________________________________________
All total returns mentioned in this report account for the change in a Fund's per-share price and the reinvestment of any dividends
and capital gain distributions. If your account is set up to receive Fund dividends and distributions in cash rather than reinvest
them, your actual return may differ from these figures. The Funds' performance results do not reflect the deduction of taxes that a
shareholder would pay on Fund distributions or on the redemption of Fund shares.
Past performance does not guarantee future results. Investment return and principal value will fluctuate so that an investor's
shares, when redeemed, may be worth more or less than their original cost. Performance results represent past performance, and
current performance may be higher or lower. Please call toll-free at 888-772-2888 or visit oldmutualfunds.com for performance
results current to the most recent month-end.
Performance results for short periods of time may not be representative of longer-term results. Performance without load assumes
that no front-end or contingent deferred sales charge applied or the investment was not redeemed. Performance with load assumes that
a front-end or contingent deferred sales charge applied to the extent applicable. The Funds each offer Class A, Class C, Class Z and
Institutional Class shares. Class A shares have a current maximum up-front sales charge of 5.75% and are subject to an annual
service fee of 0.25%. Class C shares are subject to aggregate annual distribution and service fees of 1.00% and will be subject to a
contingent deferred sales charge of 1.00% if redeemed within the first 12 months of purchase. Class Z and Institutional Class shares
are only available to eligible shareholders. The returns for certain periods may reflect fee waivers and/or reimbursements in effect
for that period; absent fee waivers and reimbursements, performance would have been lower.
FUND DATA
____________________________________________________________________________________________________________________________________
This report reflects views, opinions and Fund holdings as of January 31, 2010, the end of the report period, and these views and
opinions are subject to change. The information is not a complete analysis of every aspect of any sector, industry, security or of
the Funds. Opinions and forecasts regarding industries, companies and/or themes and Fund composition and holdings, are subject to
change at any time based on market and other conditions, and should not be construed as a recommendation of any specific security or
as investment advice. Percentage holdings as of January 31, 2010 are included in each Fund's Schedule of Investments. There is no
assurance that the securities purchased will remain in a Fund or that securities sold have not been repurchased.
There are risks associated with mutual fund investing, including the risk of loss of principal. There is no assurance that the
investment process will consistently lead to successful results. An investment in a Fund is not a bank deposit. It is not insured or
guaranteed by the Federal Deposit Insurance Corporation or any other government agency.
COMPARATIVE INDEXES
____________________________________________________________________________________________________________________________________
The comparative indexes discussed in this report are meant to provide a basis for judging the Funds' performance against specific
benchmarks. Each index shown accounts for both changes in security price and reinvestment of dividends and distributions, but does
not reflect the cost of managing a mutual fund. The total return figures for the Morgan Stanley Capital International ("MSCI") EAFE®
Index assume changes in security prices and the deduction of local taxes. The Funds may significantly differ in holdings and
composition from an index. Individuals cannot invest directly in an index.
Indexes:
Barclays Capital U.S. Aggregate Index
The unmanaged Barclays Capital U.S. Aggregate Index is a widely recognized measure of the aggregate bond market. The unmanaged index
is market value-weighted inclusive of accrued interest.
1
ABOUT THIS REPORT - concluded
MSCI EAFE® Index
The unmanaged MSCI EAFE® Index is a market capitalization-weighted index designed to measure the equity market performance of
developed markets, excluding the United States and Canada. As of May 2009, the MSCI EAFE Index consisted of the following 21
developed market country indexes: Australia, Austria, Belgium, Denmark, Finland, France, Germany, Greece, Hong Kong, Ireland, Italy,
Japan, the Netherlands, New Zealand, Norway, Portugal, Singapore, Spain, Sweden, Switzerland, and the United Kingdom.
Standard & Poor's SuperComposite 1500 Index
The unmanaged Standard & Poor's SuperComposite 1500 ("S&P 1500") Index is a broad-based, capitalization-weighted index comprising
1,500 stocks of large-cap, mid-cap and small-cap U.S. companies.
Standard & Poor's 500 Index
The unmanaged Standard & Poor's 500 ("S&P 500") Index is a market value-weighted index of large-cap common stocks considered
representative of the broad market.
Index returns and statistical data included in this report are provided by Bloomberg, FactSet and Barclays Capital.
2
MESSAGE TO SHAREHOLDERS
Dear Shareholder:
The six-month period ended January 31, 2010 saw a continuation of the market rally that began in mid-March 2009, during which
investors focused on the least expensive, riskiest, lowest quality stocks, as they sought bargains in anticipation of an economic
and financial market rebound. The market later rose dramatically, as signs of global economic recovery became more abundant,
corporate profits exceeded investors' expectations, and the low-quality focus began to abate in October 2009. Investors shifted to
earnings as a key driver of stock attractiveness. Risk conditions began to stabilize under this renewed attention to fundamentals,
supporting good stock returns through December 2009. All of the major asset classes were up between August 1, 2009 and January 31,
2010. During this period the S&P 500 Index returned 9.87%, while the MSCI EAFE Index returned 6.93% over this same period. From a
bond perspective, the Barclays Capital U.S. Aggregate Index was up 3.87%. The S&P 500's climb stopped, however, during the final
month of the period, due to investors seeking safer investments as the debt crisis in Greece and uncertainty around U.S. financial
reforms rattled investor confidence.
Old Mutual Capital, Inc. believes that global economic recovery will continue to be subdued as lending growth remains restricted in
most economies, and that a key source of global economic recovery will likely be the emerging markets which are experiencing good
growth that is likely to be sustained. Recent indications show that investors are returning to a more typical focus on the objective
fundamentals of stocks, whereby data such as earnings are driving decision making, as opposed to other forms of sentiment. While Old
Mutual Capital, Inc. expects there to be continued moderate market volatility over the near-term, it believes markets will begin
normalizing overall.
As always, we are grateful for your support and will continue to work diligently to enhance your experience as an investor in the
Old Mutual Funds I portfolios. Please do not hesitate to contact us if there is anything we can do to better serve you. Feel free to
contact me directly at President@oldmutualcapital.com, or please see the back cover of this report for other contact information.
Sincerely,
/s/Julian F. Sluyters
Julian F. Sluyters
President
Old Mutual Funds I
3
OLD MUTUAL ASSET ALLOCATION CONSERVATIVE PORTFOLIO
____________________________________________________________________________________________________________________________________
MANAGEMENT OVERVIEW (UNAUDITED)
Sub-Adviser: Ibbotson Associates Advisors, LLC
Performance Highlights
o For the six-month period ended January 31, 2010, Class A shares of the Old Mutual Asset Allocation Conservative Portfolio (the
"Fund") returned 6.69% at net asset value, while the S&P 1500 Index returned 10.07% and the Barclays Capital U.S. Aggregate
Index returned 3.87%.
o The Fund's performance during the period benefited from the high yield bond and the U.S. value equity asset classes. The
international equity and short-term bond asset classes detracted from performance.
o Old Mutual Barrow Hanley Core Bond Fund, Old Mutual Barrow Hanley Value Fund and Old Mutual Dwight High Yield Fund were among
the contributors to overall performance.
o Old Mutual Advantage Growth Fund (no longer a Fund holding), Old Mutual TS&W Small Cap Value Fund and Old Mutual Copper Rock
Emerging Growth Fund were among the detractors from overall performance this period.
Q. How did the Fund perform relative to its benchmark?
A. For the six-month period ended January 31, 2010, Class A shares of the Old Mutual Asset Allocation Conservative Portfolio (the
"Fund") returned 6.69% at net asset value, while the S&P 1500 Index returned 10.07% and the Barclays Capital U.S. Aggregate
Index returned 3.87%. Performance for all share classes can be found on page 6.
Q. What investment environment did the Fund face during the past period?
A. The past six-month period saw a rally in the global economy. Ibbotson Associates Advisors, LLC ("Ibbotson"), the Fund's
sub-adviser, believes that data may show that the longest post-war recession ended sometime during the second or third quarter
of 2009, but long-term structural damage to the economic environment has been done.
All of the major asset classes were up between August 1, 2009 and January 31, 2010. During this period the S&P 500 Index
returned 9.87%, while the MSCI EAFE Index returned 6.93% over this same period. From a bond perspective, the Barclays Capital
U.S. Aggregate Index was up 3.87% while non-U.S. bonds performance lagged their U.S. counterparts.
Q. Which market factors influenced the Fund's relative performance?
A. The Fund generally strives for a 30% equity and 70% fixed income allocation. The Fund's performance during the period benefited
from the high yield bond and the U.S. value equity asset classes. The international equity and short-term bond asset classes
detracted from performance. Additionally, in December 2009, Ibbotson implemented a tactical overweight to U.S. large-cap equity
which hurt Fund performance during December 2009 and January 2010.
Q. How did portfolio composition affect Fund performance?
A. The Fund is a "fund of funds" which seeks to achieve its investment objective by investing in a portfolio of underlying equity
and fixed income funds, although a portion of its assets may be invested in cash, cash equivalents, or in money market funds.
Based on the performance of the Fund's underlying mutual fund investments, Old Mutual Barrow Hanley Core Bond Fund, Old Mutual
Barrow Hanley Value Fund and Old Mutual Dwight High Yield Fund were among the contributors to overall performance. Old Mutual
Advantage Growth Fund (no longer a Fund holding), Old Mutual TS&W Small Cap Value Fund and Old Mutual Copper Rock Emerging
Growth Fund were among the detractors from overall performance this period.
Asset Allocation Conservative Portfolio
4
Top Ten Holdings
as of January 31, 2010
Old Mutual Barrow Hanley
Core Bond Fund 37.1%
___________________________________________________________________________________
Old Mutual Dwight
Intermediate Fixed
Income Fund 15.1%
___________________________________________________________________________________
Old Mutual Dwight Short
Term Fixed Income Fund 10.9%
___________________________________________________________________________________
Old Mutual Dwight High
Yield Fund �� 7.5%
___________________________________________________________________________________
Old Mutual Barrow Hanley
Value Fund 6.2%
___________________________________________________________________________________
Old Mutual International
Equity Fund 5.9%
___________________________________________________________________________________
Old Mutual TS&W Mid-Cap
Value Fund 5.0%
___________________________________________________________________________________
Old Mutual Large Cap
Growth Fund 4.2%
___________________________________________________________________________________
Old Mutual Focused Fund 3.3%
___________________________________________________________________________________
Old Mutual Analytic U.S.
Long/Short Fund 1.8%
___________________________________________________________________________________
As a % of Total
Fund Investments 97.0%
___________________________________________________________________________________
Q. What is the investment outlook?
A. Ibbotson believes concerns still exist in the economy, namely limited credit opportunities, central banks faced with excess
liquidity, near record-high unemployment, an unstable housing market, and increased regulations. On a positive note, however,
Ibbotson believes these macroeconomic conditions should keep inflation in check, and despite these headwinds, current market
prices, technical indicators, momentum, and investor sentiment may cause the current rally to persist for some time. Ibbotson
notes that given the current situation, several challenges have presented themselves. Ibbotson points out that equities appear
either fully priced or expensive, while cash and short-to-intermediate-term bonds have low yields and are likely to lose money
once yields return to their normal ranges. Ibbotson points out though that, globally, the economic picture has improved in many
countries, and if corporate earnings improve, there may be opportunities across the board. Therefore, Ibbotson is carefully
monitoring all asset classes.
Asset Allocation Conservative Portfolio
5
OLD MUTUAL ASSET ALLOCATION CONSERVATIVE PORTFOLIO - concluded
____________________________________________________________________________________________________________________________________
PERFORMANCE AND PORTFOLIO SUMMARY (UNAUDITED)
Average Annual Total Returns as of January 31, 2010
____________________________________________________________________________________________________________________________________
Annualized Annualized
Inception 6 Month 1 Year 5 Year Inception
Date Return Return Return to Date
____________________________________________________________________________________________________________________________________
Class A with load 09/30/04 0.56% 13.75% 3.16% 3.58%
Class A without load 09/30/04 6.69% 20.71% 4.39% 4.74%
Class C with load 09/30/04 5.30% 18.91% 3.63% 3.98%
Class C without load 09/30/04 6.30% 19.91% 3.63% 3.98%
Class Z 12/09/05 6.81% 21.14% n/a 4.61%
Institutional Class 09/30/04 6.81% 21.26% 4.65% 5.01%
S&P 1500 Index 09/30/04 10.07% 34.12% 0.46% 1.70%
Barclays Capital U.S. Aggregate Index 09/30/04 3.87% 8.51% 5.16% 5.13%
____________________________________________________________________________________________________________________________________
Past performance is not a guarantee of future results. The Fund's performance results do not reflect the deduction of taxes that a
shareholder would pay on Fund distributions or on the redemption of Fund shares. Information about these performance results and the
comparative indexes can be found on pages 1 and 2.
Class A shares have a current maximum initial sales charge of 5.75%; Class C shares may be subject to a contingent deferred sales
charge ("CDSC") of 1.00%, if redeemed within twelve months of the date of purchase; and Class A share purchases of $1 million or
more, which were purchased without an initial sales charge, may be subject to a CDSC of 1.00%, if redeemed within twelve months of
the date of purchase. Please read the prospectus carefully for more information on sales charges. The total annual operating
expenses and net annual operating expenses you may pay as an investor in the Fund's Class A, Class C, Class Z and Institutional
Class shares (as reported in the prospectus dated November 19, 2009) are 1.65% and 1.40%; 2.33% and 2.15%; 8.56% and 1.15%; and
2.22% and 1.15%, respectively.
Fund Performance
____________________________________________________________________________________________________________________________________
[LINE GRAPH WAS REPRESENTED IN THE PRINTED MATERIAL]
| | Old Mutual Asset Allocation Conservative Portfolio, Class A | Old Mutual Asset Allocation Conservative Portfolio, Class C | Old Mutual Asset Allocation Conservative Portfolio, Institutional Class | S&P 1500 Index | Barclays Capital U.S. Aggregate Index | |
| 9/30/2004 | 9,425 | 10,000 | 10,000 | 10,000 | 10,000 | |
| 7/31/2005 | 10,025 | 10,575 | 10,660 | 11,359 | 10,255 | |
| 7/31/2006 | 10,365 | 10,853 | 11,048 | 11,954 | 10,405 | |
| 7/31/2007 | 11,339 | 11,783 | 12,124 | 13,879 | 10,985 | |
| 7/31/2008 | 11,366 | 11,728 | 12,174 | 12,420 | 11,661 | |
| 7/31/2009 | 11,311 | 11,588 | 12,151 | 9,940 | 12,576 | |
| 1/31/2010 | 12,067 | 12,318 | 12,978 | 10,941 | 13,062 | |
Past performance is not a guarantee of future results. The graph above compares an investment made in the Fund's Class A, Class C
and Institutional Class shares on the inception date of 9/30/04 to an investment made in unmanaged securities indexes on that date.
The performance of the Fund's Class A shares shown in the line graph takes into account the maximum initial sales charge. The Fund's
performance in this chart and the performance table assumes reinvestment of dividends and capital gain distributions but does not
reflect the deduction of taxes that a shareholder would pay on Fund distributions or on the redemption of Fund shares.
Sector Weightings as of January 31, 2010 - % of Total Fund Investments
____________________________________________________________________________________________________________________________________
[PIE GRAPH WAS REPRESENTED IN THE PRINTED MATERIAL]
| Cash Equivalents | 1.0% | |
| Government/Corporate | 70.6% | |
| Growth | 1.3% | |
| Growth-Large Cap | 4.2% | |
| International Equity | 5.9% | |
| Market Neutral-Equity | 1.8% | |
| Value | 9.5% | |
| Value-Mip Cap | 5.0% | |
| Value-Small Cap | 0.7% | |
6
SCHEDULE OF INVESTMENTS
AS OF JANUARY 31, 2010 (UNAUDITED)
_____________________________________________________________________ _____________________________________________________________________
Description Shares Value (000) Description Shares Value (000)
_____________________________________________________________________ _____________________________________________________________________
Affiliated Mutual Funds (1)- 99.3% Money Market Fund - 1.0%
Dreyfus Cash Management Fund,
Government/Corporate - 70.8% Institutional Class, 0.109% (A) 478,120 $ 478
Old Mutual Barrow ______________
Hanley Core Bond Fund 1,684,366 $ 17,669
Old Mutual Dwight Total Money Market Fund (Cost $478) 478
High Yield Fund 338,805 3,581 _____________________________________________________________________
Old Mutual Dwight Intermediate
Fixed Income Fund 703,642 7,212 Total Investments - 100.3% (Cost $46,734) 47,688
Old Mutual Dwight Short Term Fixed _____________________________________________________________________
Income Fund 516,042 5,202
______________ Other Assets and Liabilities, Net - (0.3)% (122)
_____________________________________________________________________
Total Government/Corporate 33,664
_____________________________________________________________________ Total Net Assets - 100.0% $ 47,566
_____________________________________________________________________
Growth - 1.3%
Old Mutual Copper Rock Emerging For descriptions of abbreviations and footnotes, please refer to
Growth Fund* 73,077 620 page 20.
______________
Other Information:
Total Growth 620
_____________________________________________________________________ The Fund utilizes various inputs in determining the value of its
investments as of the reporting period end. These inputs are
Growth-Large Cap - 4.2% summarized in three broad levels as follows:
Old Mutual Large Cap
Growth Fund 136,319 2,024 Level 1 - quoted prices in active markets for identical securities
______________ Level 2 - other significant observable inputs (including quoted prices
for similar securities, interest rates, prepayment speeds,
Total Growth-Large Cap 2,024 credit risk, etc.)
_____________________________________________________________________ Level 3 - significant unobservable inputs (including the Fund's own
assumption in determining the fair value of investments)
International Equity - 5.9%
Old Mutual International Equity Fund 349,663 2,804 The inputs or methodology used for valuing securities are not
______________ necessarily an indication of the risk associated with investing in
those securities. A summary of the inputs used as of January 31, 2010
Total International Equity 2,804 in valuing the Fund's net assets were as follows (000):
_____________________________________________________________________
Description Level 1 Level 2 Level 3 Total
Market Neutral-Equity - 1.8% _____________________________________________________________________
Old Mutual Analytic
U.S. Long/Short Fund 85,196 853 Investments
______________ Affiliated Mutual Funds $47,210 $- $- $47,210
Money Market Fund 478 - - 478
Total Market Neutral-Equity 853 _____________________________________________________________________
_____________________________________________________________________
Total Investments $47,688 $- $- $47,688
Value - 9.6% _____________________________________________________________________
Old Mutual Barrow Hanley Value Fund 524,885 2,976
Old Mutual Focused Fund 77,470 1,578 Refer to the "Security Valuation" section of Note 2 for further
______________ information.
Total Value 4,554
_____________________________________________________________________
Value-Mid Cap - 5.0%
Old Mutual TS&W
Mid-Cap Value Fund 320,971 2,369
______________
Total Value-Mid Cap 2,369
_____________________________________________________________________
Value-Small Cap - 0.7%
Old Mutual TS&W
Small Cap Value Fund 21,171 322
______________
Total Value-Small Cap 322
______________
Total Affiliated Mutual Funds (Cost $46,256) 47,210
_____________________________________________________________________
The accompanying notes are an integral part of the financial statements.
7
OLD MUTUAL ASSET ALLOCATION BALANCED PORTFOLIO
____________________________________________________________________________________________________________________________________
MANAGEMENT OVERVIEW (UNAUDITED)
Sub-Adviser: Ibbotson Associates Advisors, LLC
Performance Highlights
o For the six-month period ended January 31, 2010, Class A shares of the Old Mutual Asset Allocation Balanced Portfolio (the
"Fund") returned 7.49% at net asset value, while the S&P 1500 Index returned 10.07% and the Barclays Capital U.S. Aggregate
Index returned 3.87%.
o The Fund's performance during the period benefited from the high yield bond, U.S. mid-cap value, and U.S. real estate
investment trust asset classes. The international equity, short-term bond, and U.S. small-cap growth asset classes detracted
from performance.
o Old Mutual Barrow Hanley Core Bond Fund, Old Mutual Barrow Hanley Value Fund and Old Mutual International Equity Fund were
among the contributors to overall performance.
o Old Mutual Advantage Growth Fund (no longer a Fund holding), Old Mutual Growth Fund (no longer a Fund holding) and Old Mutual
Copper Rock Emerging Growth Fund were among the detractors from overall performance this period.
Q. How did the Fund perform relative to its benchmark?
A. For the six-month period ended January 31, 2010, Class A shares of the Old Mutual Asset Allocation Balanced Portfolio (the
"Fund") returned 7.49% at net asset value, while the S&P 1500 Index returned 10.07% and the Barclays Capital U.S. Aggregate
Index returned 3.87%. Performance for all share classes can be found on page 10.
Q. What investment environment did the Fund face during the past period?
A. The past six-month period saw a rally in the global economy. Ibbotson Associates Advisors, LLC ("Ibbotson"), the Fund's
sub-adviser, believes that data may show that the longest post-war recession ended sometime during the second or third quarter
of 2009, but long-term structural damage to the economic environment has been done.
All of the major asset classes were up between August 1, 2009 and January 31, 2010. During this period the S&P 500 Index
returned 9.87%, while the MSCI EAFE Index returned 6.93% over this same period. From a bond perspective, the Barclays Capital
U.S. Aggregate Index was up 3.87% while non-U.S. bonds performance lagged their U.S. counterparts.
Q. Which market factors influenced the Fund's relative performance?
A. The Fund generally strives for a 60% equity and 40% fixed income allocation. The Fund's performance during the period benefited
from the high yield bond, U.S. mid-cap value, and U.S. real estate investment trust asset classes. The international equity,
short-term bond, and U.S. small-cap growth asset classes detracted from performance. Additionally, in December 2009, Ibbotson
implemented a tactical overweight to U.S. large-cap equity which hurt Fund performance during December 2009 and January 2010.
Q. How did portfolio composition affect Fund performance?
A. The Fund is a "fund of funds" which seeks to achieve its investment objective by investing in a portfolio of underlying equity
and fixed income funds, although a portion of its assets may be invested in cash, cash equivalents, or in money market funds.
Based on the performance of the Fund's underlying mutual fund investments, Old Mutual Barrow Hanley Core Bond Fund, Old Mutual
Barrow Hanley Value Fund and Old Mutual International Equity Fund were among the contributors to overall performance. Old
Mutual Advantage Growth Fund (no longer a Fund holding), Old Mutual Growth Fund (no longer a Fund holding) and Old Mutual
Copper Rock Emerging Growth Fund were among the detractors from overall performance this period.
Asset Allocation Balanced Portfolio
8
Top Ten Holdings
as of January 31, 2010
Old Mutual Barrow
Hanley Core Bond Fund 24.3%
___________________________________________________________________________________
Old Mutual Barrow
Hanley Value Fund 13.7%
___________________________________________________________________________________
Old Mutual International
Equity Fund 12.6%
___________________________________________________________________________________
Old Mutual Large Cap
Growth Fund 7.3%
___________________________________________________________________________________
Old Mutual TS&W
Mid-Cap Value Fund 7.1%
___________________________________________________________________________________
Old Mutual TS&W
Small Cap Value Fund 6.0%
___________________________________________________________________________________
Old Mutual Focused Fund 5.9%
___________________________________________________________________________________
Old Mutual Dwight
Intermediate Fixed
Income Fund 5.8%
___________________________________________________________________________________
Old Mutual Dwight Short
Term Fixed Income Fund 4.6%
___________________________________________________________________________________
Old Mutual Dwight
High Yield Fund 4.3%
___________________________________________________________________________________
As a % of Total
Fund Investments 91.6%
___________________________________________________________________________________
Q. What is the investment outlook?
A. Ibbotson believes concerns still exist in the economy, namely limited credit opportunities, central banks faced with excess
liquidity, near record-high unemployment, an unstable housing market, and increased regulations. On a positive note, however,
Ibbotson believes these macroeconomic conditions should keep inflation in check, and despite these headwinds, current market
prices, technical indicators, momentum, and investor sentiment may cause the current rally to persist for some time. Ibbotson
notes that given the current situation, several challenges have presented themselves. Ibbotson points out that equities appear
either fully priced or expensive, while cash and short-to-intermediate-term bonds have low yields and are likely to lose money
once yields return to their normal ranges. Ibbotson points out though that, globally, the economic picture has improved in many
countries, and if corporate earnings improve, there may be opportunities across the board. Therefore, Ibbotson is carefully
monitoring all asset classes.
Asset Allocation Balanced Portfolio
9
OLD MUTUAL ASSET ALLOCATION BALANCED PORTFOLIO - concluded
____________________________________________________________________________________________________________________________________
PERFORMANCE AND PORTFOLIO SUMMARY (UNAUDITED)
Average Annual Total Return as of January 31, 2010
____________________________________________________________________________________________________________________________________
Annualized Annualized
Inception 6 Month 1 Year 5 Year Inception
Date Return Return Return to Date
____________________________________________________________________________________________________________________________________
Class A with load 09/30/04 1.27% 21.45% 2.21% 3.04%
Class A without load 09/30/04 7.49% 28.91% 3.43% 4.19%
Class C with load 09/30/04 6.09% 27.03% 2.67% 3.45%
Class C without load 09/30/04 7.09% 28.03% 2.67% 3.45%
Class Z 12/09/05 7.50% 29.19% n/a 2.54%
Institutional Class 09/30/04 7.61% 29.28% 3.67% 4.44%
S&P 1500 Index 09/30/04 10.07% 34.12% 0.46% 1.70%
Barclays Capital U.S. Aggregate Index 09/30/04 3.87% 8.51% 5.16% 5.13%
____________________________________________________________________________________________________________________________________
Past performance is not a guarantee of future results. The Fund's performance results do not reflect the deduction of taxes that a
shareholder would pay on Fund distributions or on the redemption of Fund shares. Information about these performance results and the
comparative indexes can be found on pages 1 and 2.
Class A shares have a current maximum initial sales charge of 5.75%; Class C shares may be subject to a contingent deferred sales
charge ("CDSC") of 1.00%, if redeemed within twelve months of the date of purchase; and Class A share purchases of $1 million or
more, which were purchased without an initial sales charge, may be subject to a CDSC of 1.00%, if redeemed within twelve months of
the date of purchase. Please read the prospectus carefully for more information on sales charges. The total annual operating
expenses and net annual operating expenses you may pay as an investor in the Fund's Class A, Class C, Class Z and Institutional
Class shares (as reported in the prospectus dated November 19, 2009) are 1.70% and 1.55%; 2.42% and 2.30%; 2.32% and 1.30%; and
1.49% and 1.30%, respectively.
Fund Performance
____________________________________________________________________________________________________________________________________
[LINE GRAPH WAS REPRESENTED IN THE PRINTED MATERIAL]
| | Old Mutual Asset Allocation Balanced Portfolio, Class A | Old Mutual Asset Allocation Balanced Portfolio, Class C | Old Mutual Asset Allocation Balanced Portfolio, Institutional Class | S&P 1500 Index | Barclays Capital U.S. Aggregate Index | |
| 9/30/2004 | 9,425 | 10,000 | 10,000 | 10,000 | 10,000 | |
| 7/31/2005 | 10,445 | 11,031 | 11,115 | 11,359 | 10,255 | |
| 7/31/2006 | 11,048 | 11,582 | 11,772 | 11,954 | 10,405 | |
| 7/31/2007 | 12,616 | 13,132 | 13,495 | 13,879 | 10,985 | |
| 7/31/2008 | 12,037 | 12,431 | 12,893 | 12,420 | 11,661 | |
| 7/31/2009 | 10,917 | 11,188 | 11,717 | 9,940 | 12,576 | |
| 1/31/2010 | 11,735 | 11,982 | 12,609 | 10,941 | 13,062 | |
Past performance is not a guarantee of future results. The graph above compares an investment made in the Fund's Class A, Class C
and Institutional Class shares on the inception date of 9/30/04 to an investment made in unmanaged securities indexes on that date.
The performance of the Fund's Class A shares shown in the line graph takes into account the maximum initial sales charge. The Fund's
performance in this chart and the performance table assumes reinvestment of dividends and capital gain distributions but does not
reflect the deduction of taxes that a shareholder would pay on Fund distributions or on the redemption of Fund shares.
Sector Weightings as of January 31, 2010 - % of Total Fund Investments
____________________________________________________________________________________________________________________________________
[PIE GRAPH WAS REPRESENTED IN THE PRINTED MATERIAL]
| Government/Corporate | 39.0% | |
| Growth | 1.6% | |
| Growth-Large Cap | 7.3% | |
| Growth-Small Cap | 0.8% | |
| International Equity | 12.6% | |
| Market Neutral-Equity | 2.9% | |
| Cash Equivalents | 1.0% | |
| Sector Fund-Real Estate | 2.1% | |
| Value | 19.6% | |
| Value-Mip Cap | 7.1% | |
| Value-Small Cap | 6.0% | |
10
SCHEDULE OF INVESTMENTS
AS OF JANUARY 31, 2010 (UNAUDITED)
_____________________________________________________________________ _____________________________________________________________________
Description Shares Value (000) Description Shares Value (000)
_____________________________________________________________________ _____________________________________________________________________
Affiliated Mutual Funds (1)- 99.3% Value-Small Cap - 6.0%
Old Mutual TS&W
Government/Corporate - 39.1% Small Cap Value Fund 357,362 $ 5,431
Old Mutual Barrow ______________
Hanley Core Bond Fund 2,106,856 $ 22,101
Old Mutual Dwight High Yield Fund 367,253 3,882 Total Value-Small Cap 5,431
Old Mutual Dwight Intermediate ______________
Fixed Income Fund 513,914 5,267
Old Mutual Dwight Short Term Total Affiliated Mutual Funds (Cost $94,162) 89,970
Fixed Income Fund 417,347 4,207 _____________________________________________________________________
______________
Money Market Fund - 1.0%
Total Government/Corporate 35,457 Dreyfus Cash Management Fund,
_____________________________________________________________________ Institutional Class, 0.109% (A) 914,348 914
______________
Growth - 1.6%
Old Mutual Copper Rock Total Money Market Fund (Cost $914) 914
Emerging Growth Fund* 172,022 1,459 _____________________________________________________________________
______________
Total Investments - 100.3% (Cost $95,076) 90,884
Total Growth 1,459 _____________________________________________________________________
_____________________________________________________________________
Other Assets and Liabilities, Net - (0.3)% (240)
Growth-Large Cap - 7.4% _____________________________________________________________________
Old Mutual Large Cap Growth Fund 449,741 6,679
______________ Total Net Assets - 100.0% $ 90,644
_____________________________________________________________________
Total Growth-Large Cap 6,679
_____________________________________________________________________ For descriptions of abbreviations and footnotes, please refer to
page 20.
Growth-Small Cap - 0.8%
Old Mutual Strategic Other Information:
Small Company Fund 80,834 689
______________ The Fund utilizes various inputs in determining the value of its
investments as of the reporting period end. These inputs are
Total Growth-Small Cap 689 summarized in three broad levels as follows:
_____________________________________________________________________
Level 1 - quoted prices in active markets for identical securities
International Equity - 12.6% Level 2 - other significant observable inputs (including quoted prices
Old Mutual International Equity Fund 1,424,912 11,428 for similar securities, interest rates, prepayment speeds,
______________ credit risk, etc.)
Level 3 - significant unobservable inputs (including the Fund's own
Total International Equity 11,428 assumption in determining the fair value of investments)
_____________________________________________________________________
The inputs or methodology used for valuing securities are not
Market Neutral-Equity - 3.0% necessarily an indication of the risk associated with investing in
Old Mutual Analytic those securities. A summary of the inputs used as of January 31,
U.S. Long/Short Fund 266,263 2,665 2010 in valuing the Fund's net assets were as follows (000):
______________
Total Market Neutral-Equity 2,665 Description Level 1 Level 2 Level 3 Total
_____________________________________________________________________ _____________________________________________________________________
Sector Fund-Real Estate - 2.1% Investments
Old Mutual Heitman REIT Fund 309,286 1,899 Affiliated Mutual Funds $89,970 $- $- $89,970
______________ Money Market Fund 914 - - 914
_____________________________________________________________________
Total Sector Fund-Real Estate 1,899
_____________________________________________________________________ Total Investments $90,884 $- $- $90,884
_____________________________________________________________________
Value - 19.6%
Old Mutual Barrow Hanley Value Fund 2,200,322 12,476
Old Mutual Focused Fund 261,312 5,323 Refer to the "Security Valuation" section of Note 2 for further
______________ information.
Total Value 17,799
_____________________________________________________________________
Value-Mid Cap - 7.1%
Old Mutual TS&W
Mid-Cap Value Fund 875,926 6,464
______________
Total Value-Mid Cap 6,464
_____________________________________________________________________
The accompanying notes are an integral part of the financial statements.
11
OLD MUTUAL ASSET ALLOCATION MODERATE GROWTH PORTFOLIO
____________________________________________________________________________________________________________________________________
MANAGEMENT OVERVIEW (UNAUDITED)
Sub-Adviser: Ibbotson Associates Advisors, LLC
Performance Highlights
o For the six-month period ended January 31, 2010, Class A shares of the Old Mutual Asset Allocation Moderate Growth Portfolio
(the "Fund") returned 7.82% at net asset value, while the S&P 1500 Index returned 10.07% and the Barclays Capital U.S.
Aggregate Index returned 3.87%.
o The Fund's performance during the period benefited from the U.S. mid-cap growth, U.S. mid-cap value, and U.S. real estate
investment trust asset classes. The international equity, short-term bond, and U.S. small-cap growth asset classes detracted
from performance.
o Old Mutual International Equity Fund, Old Mutual Barrow Hanley Value Fund and Old Mutual Large Cap Growth Fund were among the
contributors to overall performance.
o Old Mutual Dwight Intermediate Fixed Income Fund, Old Mutual Dwight Short Term Fixed Income Fund and Old Mutual Copper Rock
Emerging Growth Fund were among the detractors from overall performance this period.
Q. How did the Fund perform relative to its benchmark?
A. For the six-month period ended January 31, 2010, Class A shares of the Old Mutual Asset Allocation Moderate Growth Portfolio
(the "Fund") returned 7.82% at net asset value, while the S&P 1500 Index returned 10.07% and the Barclays Capital U.S.
Aggregate Index returned 3.87%. Performance for all share classes can be found on page 14.
Q. What investment environment did the Fund face during the past period?
A. The past six-month period saw a rally in the global economy. Ibbotson Associates Advisors, LLC ("Ibbotson"), the Fund's
sub-adviser, believes that data may show that the longest post-war recession ended sometime during the second or third quarter
of 2009, but long-term structural damage to the economic environment has been done.
All of the major asset classes were up between August 1, 2009 and January 31, 2010. During this period the S&P 500 Index
returned 9.87%, while the MSCI EAFE Index returned 6.93% over this same period. From a bond perspective, the Barclays Capital
U.S. Aggregate Index was up 3.87% while non-U.S. bonds performance lagged their U.S. counterparts.
Q. Which market factors influenced the Fund's relative performance?
A. The Fund generally strives for an 80% equity and 20% fixed income allocation. The Fund's performance during the period
benefited from the U.S. mid-cap growth, U.S. mid-cap value, and U.S. real estate investment trust asset classes. The
international equity, short-term bond, and U.S. small-cap growth asset classes detracted from performance. Additionally, in
December 2009, Ibbotson implemented a tactical overweight to U.S. large-cap equity which hurt Fund performance during December
2009 and January 2010.
Q. How did portfolio composition affect Fund performance?
A. The Fund is a "fund of funds" which seeks to achieve its investment objective by investing in a portfolio of underlying equity
and fixed income funds, although a portion of its assets may be invested in cash, cash equivalents, or in money market funds.
Based on the performance of the Fund's underlying mutual fund investments, Old Mutual International Equity Fund, Old Mutual
Barrow Hanley Value Fund and Old Mutual Large Cap Growth Fund were among the contributors to overall performance. Old Mutual
Dwight Intermediate Fixed Income Fund, Old Mutual Dwight Short Term Fixed Income Fund and Old Mutual Copper Rock Emerging
Growth Fund were among the detractors from overall performance this period.
Asset Allocation
Moderate Growth Portfolio
12
Top Ten Holdings
as of January 31, 2010
Old Mutual International
Equity Fund 18.1%
___________________________________________________________________________________
Old Mutual Barrow
Hanley Core Bond Fund 15.6%
___________________________________________________________________________________
Old Mutual Barrow
Hanley Value Fund 15.4%
___________________________________________________________________________________
Old Mutual TS&W
Small Cap Value Fund 10.4%
___________________________________________________________________________________
Old Mutual Large Cap
Growth Fund 10.0%
___________________________________________________________________________________
Old Mutual TS&W
Mid-Cap Value Fund 8.8%
___________________________________________________________________________________
Old Mutual Focused Fund 7.0%
___________________________________________________________________________________
Old Mutual Analytic
U.S. Long/Short Fund 4.8%
___________________________________________________________________________________
Old Mutual Heitman REIT Fund 4.0%
___________________________________________________________________________________
Old Mutual Copper Rock
Emerging Growth Fund 1.9%
___________________________________________________________________________________
As a % of Total
Fund Investments 96.0%
___________________________________________________________________________________
Q. What is the investment outlook?
A. Ibbotson believes concerns still exist in the economy, namely limited credit opportunities, central banks faced with excess
liquidity, near record-high unemployment, an unstable housing market, and increased regulations. On a positive note, however,
Ibbotson believes these macroeconomic conditions should keep inflation in check, and despite these headwinds, current market
prices, technical indicators, momentum, and investor sentiment may cause the current rally to persist for some time. Ibbotson
notes that given the current situation, several challenges have presented themselves. Ibbotson points out that equities appear
either fully priced or expensive, while cash and short-to-intermediate-term bonds have low yields and are likely to lose money
once yields return to their normal ranges. Ibbotson points out though that, globally, the economic picture has improved in many
countries, and if corporate earnings improve, there may be opportunities across the board. Therefore, Ibbotson is carefully
monitoring all asset classes.
Asset Allocation
Moderate Growth Portfolio
13
OLD MUTUAL ASSET ALLOCATION MODERATE
GROWTH PORTFOLIO - concluded
____________________________________________________________________________________________________________________________________
PERFORMANCE AND PORTFOLIO SUMMARY (UNAUDITED)
Average Annual Total Returns as of January 31, 2010
____________________________________________________________________________________________________________________________________
Annualized Annualized
Inception 6 Month 1 Year 5 Year Inception
Date Return Return Return to Date
____________________________________________________________________________________________________________________________________
Class A with load 09/30/04 1.63% 24.85% 0.66% 1.77%
Class A without load 09/30/04 7.82% 32.46% 1.87% 2.90%
Class C with load 09/30/04 6.42% 30.55% 1.12% 2.15%
Class C without load 09/30/04 7.42% 31.55% 1.12% 2.15%
Class Z 12/09/05 7.98% 32.94% n/a 0.24%
Institutional Class 09/30/04 8.01% 32.97% 2.16% 3.21%
S&P 1500 Index 09/30/04 10.07% 34.12% 0.46% 1.70%
Barclays Capital U.S. Aggregate Index 09/30/04 3.87% 8.51% 5.16% 5.13%
____________________________________________________________________________________________________________________________________
Past performance is not a guarantee of future results. The Fund's performance results do not reflect the deduction of taxes that a
shareholder would pay on Fund distributions or on the redemption of Fund shares. Information about these performance results and the
comparative indexes can be found on pages 1 and 2.
Class A shares have a current maximum initial sales charge of 5.75%; Class C shares may be subject to a contingent deferred sales
charge ("CDSC") of 1.00%, if redeemed within twelve months of the date of purchase; and Class A share purchases of $1 million or
more, which were purchased without an initial sales charge, may be subject to a CDSC of 1.00%, if redeemed within twelve months of
the date of purchase. Please read the prospectus carefully for more information on sales charges. The total annual operating
expenses and net annual operating expenses you may pay as an investor in the Fund's Class A, Class C, Class Z and Institutional
Class shares (as reported in the prospectus dated November 19, 2009) are 1.98% and 1.56%; 2.68% and 2.31%; 3.63% and 1.31%; and
1.60% and 1.31%, respectively.
Fund Performance
____________________________________________________________________________________________________________________________________
[LINE GRAPH WAS REPRESENTED IN THE PRINTED MATERIAL]
| | Old Mutual Asset Allocation Moderate Growth Portfolio, Class A | Old Mutual Asset Allocation Moderate Growth Portfolio, Class C | Old Mutual Asset Allocation Moderate Growth Portfolio, Institutional Class | S&P 1500 Index | Barclays Capital U.S. Aggregate Index | |
| 9/30/2004 | 9,425 | 10,000 | 10,000 | 10,000 | 10,000 | |
| 7/31/2005 | 10,661 | 11,244 | 11,343 | 11,359 | 10,255 | |
| 7/31/2006 | 11,469 | 12,009 | 12,235 | 11,954 | 10,405 | |
| 7/31/2007 | 13,361 | 13,886 | 14,283 | 13,879 | 10,985 | |
| 7/31/2008 | 12,311 | 12,699 | 13,199 | 12,420 | 11,661 | |
| 7/31/2009 | 10,185 | 10,426 | 10,957 | 9,940 | 12,576 | |
| 1/31/2010 | 10,981 | 11,200 | 11,834 | 10,941 | 13,062 | |
Past performance is not a guarantee of future results. The graph above compares an investment made in the Fund's Class A, Class C
and Institutional Class shares on the inception date of 9/30/04 to an investment made in unmanaged securities indexes on that date.
The performance of the Fund's Class A shares shown in the line graph takes into account the maximum initial sales charge. The Fund's
performance in this chart and the performance table assumes reinvestment of dividends and capital gain distributions but does not
reflect the deduction of taxes that a shareholder would pay on Fund distributions or on the redemption of Fund shares.
Sector Weightings as of January 31, 2010 - % of Total Fund Investments
____________________________________________________________________________________________________________________________________
[PIE GRAPH WAS REPRESENTED IN THE PRINTED MATERIAL]
| Cash Equivalents | 0.7% | |
| Government/Corporate | 18.1% | |
| Growth | 1.9% | |
| Growth-Large Cap | 10.0% | |
| Growth-Small Cap | 0.7% | |
| International Equity | 18.1% | |
| Market Neutral-Equity | 4.8% | |
| Sector Fund-Real Estate | 4.0% | |
| Value | 22.4% | |
| Value-Mip Cap | 8.9% | |
| Value-Small Cap | 10.4% | |
14
SCHEDULE OF INVESTMENTS
AS OF JANUARY 31, 2010 (UNAUDITED)
_____________________________________________________________________ _____________________________________________________________________
Description Shares Value (000) Description Shares Value (000)
_____________________________________________________________________ _____________________________________________________________________
Affiliated Mutual Funds (1) - 99.1% Value-Small Cap - 10.3%
Old Mutual TS&W Small Cap Value Fund 722,809 $ 10,986
Government/Corporate - 18.1% ______________
Old Mutual Barrow
Hanley Core Bond Fund 1,580,468 $ 16,579 Total Value-Small Cap 10,986
Old Mutual Dwight Intermediate ______________
Fixed Income Fund 194,333 1,992
Old Mutual Dwight Short Term Total Affiliated Mutual Funds (Cost $116,731) 105,325
Fixed Income Fund 65,733 662 _____________________________________________________________________
______________
Money Market Fund - 0.8%
Total Government/Corporate 19,233 Dreyfus Cash Management Fund,
_____________________________________________________________________ Institutional Class, 0.109% (A) 784,185 784
______________
Growth - 1.9%
Old Mutual Copper Rock Total Money Market Fund (Cost $784) 784
Emerging Growth Fund* 241,363 2,047 _____________________________________________________________________
______________
Total Investments - 99.9% (Cost $117,515) 106,109
Total Growth 2,047 _____________________________________________________________________
_____________________________________________________________________
Other Assets and Liabilities, Net - 0.1% 143
Growth-Large Cap - 10.0% _____________________________________________________________________
Old Mutual Large Cap Growth Fund 715,082 10,619
______________ Total Net Assets - 100.0% $ 106,252
_____________________________________________________________________
Total Growth-Large Cap 10,619
_____________________________________________________________________ For descriptions of abbreviations and footnotes, please refer to page
20.
Growth-Small Cap - 0.7%
Old Mutual Strategic Other Information:
Small Company Fund 88,642 755
______________ The Fund utilizes various inputs in determining the value of its
investments as of the reporting period end. These inputs are
Total Growth-Small Cap 755 summarized in three broad levels as follows:
_____________________________________________________________________
Level 1 - quoted prices in active markets for identical securities
International Equity - 18.1% Level 2 - other significant observable inputs (including quoted
Old Mutual International Equity Fund 2,394,920 19,207 prices for similar securities, interest rates, prepayment
______________ speeds, credit risk, etc.)
Level 3 - significant unobservable inputs (including the Fund's own
Total International Equity 19,207 assumption in determining the fair value of investments)
_____________________________________________________________________
�� The inputs or methodology used for valuing securities are not
Market Neutral-Equity - 4.8% necessarily an indication of the risk associated with investing in
Old Mutual Analytic those securities. A summary of the inputs used as of January 31, 2010
U.S. Long/Short Fund 506,565 5,071 in valuing the Fund's net assets were as follows (000):
______________
Description Level 1 Level 2 Level 3 Total
Total Market Neutral-Equity 5,071 _____________________________________________________________________
_____________________________________________________________________ Investments
Affiliated Mutual Funds $105,325 $- $- $105,325
Sector Fund-Real Estate - 4.0% Money Market Fund 784 - - 784
Old Mutual Heitman REIT Fund 696,868 4,279 _____________________________________________________________________
______________
Total Investments $106,109 $- $- $106,109
Total Sector Fund-Real Estate 4,279 _____________________________________________________________________
_____________________________________________________________________
Refer to the "Security Valuation" section of Note 2 for further
Value - 22.4% information.
Old Mutual Barrow Hanley Value Fund 2,881,806 16,340
Old Mutual Focused Fund 363,347 7,401
______________
Total Value 23,741
_____________________________________________________________________
Value-Mid Cap - 8.8%
Old Mutual TS&W
Mid-Cap Value Fund 1,271,965 9,387
______________
Total Value-Mid Cap 9,387
_____________________________________________________________________
The accompanying notes are an integral part of the financial statements.
15
OLD MUTUAL ASSET ALLOCATION GROWTH PORTFOLIO
____________________________________________________________________________________________________________________________________
MANAGEMENT OVERVIEW (UNAUDITED)
Sub-Adviser: Ibbotson Associates Advisors, LLC
Performance Highlights
o For the six-month period ended January 31, 2010, Class A shares of the Old Mutual Asset Allocation Growth Portfolio (the
"Fund") underperformed its benchmark, the S&P 1500 Index. The Fund's Class A shares posted an 8.90% return at net asset value
versus a 10.07% return for the benchmark.
o The Fund's performance during the period benefited from the U.S. mid-cap growth, U.S. mid-cap value, and U.S. real estate
investment trust ("REIT") asset classes. The international equity, non-U.S. REIT, and U.S. small-cap growth asset classes
detracted from performance.
o Old Mutual International Equity Fund, Old Mutual Barrow Hanley Value Fund and Old Mutual Large Cap Growth Fund were among the
contributors to overall performance.
o Old Mutual Advantage Growth Fund (no longer a Fund holding), Old Mutual Growth Fund (no longer a Fund holding) and Old Mutual
Copper Rock Emerging Growth Fund were among the detractors from overall performance this period.
Q. How did the Fund perform relative to its benchmark?
A. For the six-month period ended January 31, 2010, Class A shares of the Old Mutual Asset Allocation Growth Portfolio (the
"Fund") underperformed its benchmark, the S&P 1500 Index. The Fund's Class A shares posted an 8.90% return at net asset value
versus a 10.07% return for the benchmark. Performance for all share classes can be found on page 18.
Q. What investment environment did the Fund face during the past period?
A. The past six-month period saw a rally in the global economy. Ibbotson Associates Advisors, LLC ("Ibbotson"), the Fund's
sub-adviser, believes that data may show that the longest post-war recession ended sometime during the second or third quarter
of 2009, but long-term structural damage to the economic environment has been done.
All of the major asset classes were up between August 1, 2009 and January 31, 2010. During this period the S&P 500 Index
returned 9.87%, while the MSCI EAFE Index returned 6.93% over this same period. From a bond perspective, the Barclays Capital
U.S. Aggregate Index was up 3.87% while non-U.S. bonds performance lagged their U.S. counterparts.
Q. Which market factors influenced the Fund's relative performance?
A. The Fund typically has an all equity allocation. The Fund's performance during the period benefited from the U.S. mid-cap
growth, U.S. mid-cap value, and U.S. real estate investment trust ("REIT") asset classes. The international equity, non-U.S.
REIT, and U.S. small-cap growth asset classes detracted from performance. Additionally, in December 2009, Ibbotson implemented
a tactical overweight to U.S. large-cap equity which hurt Fund performance during December 2009 and January 2010.
Q. How did portfolio composition affect Fund performance?
A. The Fund is a "fund of funds" which seeks to achieve its investment objective by investing in a portfolio of underlying equity
and fixed income funds, although a portion of its assets may be invested in cash, cash equivalents, or in money market funds.
Based on the performance of the Fund's underlying mutual fund investments, Old Mutual International Equity Fund, Old Mutual
Barrow Hanley Value Fund and Old Mutual Large Cap Growth Fund were among the contributors to overall performance. Old Mutual
Advantage Growth Fund (no longer a Fund holding), Old Mutual Growth Fund (no longer a Fund holding) and Old Mutual Copper Rock
Emerging Growth Fund were among the detractors from overall performance this period.
Asset Allocation Growth Portfolio
16
Top Ten Holdings
as of January 31, 2010
Old Mutual International
Equity Fund 25.2%
___________________________________________________________________________________
Old Mutual Barrow
Hanley Value Fund 18.0%
___________________________________________________________________________________
Old Mutual Large Cap
Growth Fund 12.0%
___________________________________________________________________________________
Old Mutual TS&W
Mid-Cap Value Fund 10.1%
___________________________________________________________________________________
Old Mutual TS&W
Small Cap Value Fund 9.6%
___________________________________________________________________________________
Old Mutual Heitman
REIT Fund 7.6%
___________________________________________________________________________________
Old Mutual Focused Fund 7.2%
___________________________________________________________________________________
Old Mutual Analytic
U.S. Long/Short Fund 4.4%
___________________________________________________________________________________
Old Mutual Copper Rock
Emerging Growth Fund 3.5%
___________________________________________________________________________________
Old Mutual Strategic
Small Company Fund 1.5%
___________________________________________________________________________________
As a % of Total
Fund Investments 99.1%
___________________________________________________________________________________
Q. What is the investment outlook?
A. Ibbotson believes concerns still exist in the economy, namely limited credit opportunities, central banks faced with excess
liquidity, near record-high unemployment, an unstable housing market, and increased regulations. On a positive note, however,
Ibbotson believes these macroeconomic conditions should keep inflation in check, and despite these headwinds, current market
prices, technical indicators, momentum, and investor sentiment may cause the current rally to persist for some time. Ibbotson
notes that given the current situation, several challenges have presented themselves. Ibbotson points out that equities appear
either fully priced or expensive, while cash and short-to-intermediate-term bonds have low yields and are likely to lose money
once yields return to their normal ranges. Ibbotson points out though that, globally, the economic picture has improved in many
countries, and if corporate earnings improve, there may be opportunities across the board. Therefore, Ibbotson is carefully
monitoring all asset classes.
Asset Allocation Growth Portfolio
17
OLD MUTUAL ASSET ALLOCATION GROWTH PORTFOLIO - concluded
____________________________________________________________________________________________________________________________________
PERFORMANCE AND PORTFOLIO SUMMARY (UNAUDITED)
Average Annual Total Returns as of January 31, 2010
____________________________________________________________________________________________________________________________________
Annualized Annualized
Inception 6 Month 1 Year 5 Year Inception
Date Return Return Return to Date
____________________________________________________________________________________________________________________________________
Class A with load 09/30/04 2.62% 29.36% (0.40)% 1.08%
Class A without load 09/30/04 8.90% 37.27% 0.79% 2.20%
Class C with load 09/30/04 7.49% 35.23% 0.05% 1.44%
Class C without load 09/30/04 8.49% 36.23% 0.05% 1.44%
Class Z 12/09/05 9.14% 37.72% n/a (1.74)%
Institutional Class 09/30/04 9.03% 37.58% 1.02% 2.44%
S&P 1500 Index 09/30/04 10.07% 34.12% 0.46% 1.70%
____________________________________________________________________________________________________________________________________
Past performance is not a guarantee of future results. The Fund's performance results do not reflect the deduction of taxes that a
shareholder would pay on Fund distributions or on the redemption of Fund shares. Information about these performance results and the
comparative index can be found on pages 1 and 2.
Class A shares have a current maximum initial sales charge of 5.75%; Class C shares may be subject to a contingent deferred sales
charge ("CDSC") of 1.00%, if redeemed within twelve months of the date of purchase; and Class A share purchases of $1 million or
more, which were purchased without an initial sales charge, may be subject to a CDSC of 1.00%, if redeemed within twelve months of
the date of purchase. Please read the prospectus carefully for more information on sales charges. The total annual operating
expenses and net annual operating expenses you may pay as an investor in the Fund's Class A, Class C, Class Z and Institutional
Class shares (as reported in the prospectus dated November 19, 2009) are 2.08% and 1.62%; 2.80% and 2.37%; 4.55% and 1.37%; and
1.55% and 1.37%, respectively.
Fund Performance
____________________________________________________________________________________________________________________________________
[LINE GRAPH WAS REPRESENTED IN THE PRINTED MATERIAL]
| | Old Mutual Asset Allocation Growth Portfolio, Class A | Old Mutual Asset Allocation Growth Portfolio, Class C | Old Mutual Asset Allocation Growth Portfolio, Institutional Class | S&P 1500 Index | |
| 9/30/2004 | 9,425 | 10,000 | 10,000 | 10,000 | |
| 7/31/2005 | 11,019 | 11,615 | 11,713 | 11,359 | |
| 7/31/2006 | 12,094 | 12,657 | 12,894 | 11,954 | |
| 7/31/2007 | 14,362 | 14,917 | 15,344 | 13,879 | |
| 7/31/2008 | 12,718 | 13,115 | 13,607 | 12,420 | |
| 7/31/2009 | 9,723 | 9,947 | 10,432 | 9,940 | |
| 1/31/2010 | 10,588 | 10,791 | 11,373 | 10,941 | |
Past performance is not a guarantee of future results. The graph above compares an investment made in the Fund's Class A, Class C
and Institutional Class shares on the inception date of 9/30/04 to an investment made in an unmanaged securities index on that date.
The performance of the Fund's Class A shares shown in the line graph takes into account the maximum initial sales charge. The Fund's
performance in this chart and the performance table assumes reinvestment of dividends and capital gain distributions but does not
reflect the deduction of taxes that a shareholder would pay on Fund distributions or on the redemption of Fund shares.
Sector Weightings as of January 31, 2010 - % of Total Fund Investments
____________________________________________________________________________________________________________________________________
[PIE GRAPH WAS REPRESENTED IN THE PRINTED MATERIAL]
| Cash Equivalents | 0.9% | |
| Growth | 3.5% | |
| Growth-Large Cap | 12.0% | |
| Growth-Small Cap | 1.4% | |
| International Equity | 25.2% | |
| Market Neutral-Equity | 4.4% | |
| Sector Fund-Real Estate | 7.7% | |
| Value | 25.2% | |
| Value-Mip Cap | 10.1% | |
| Value-Small Cap | 9.6% | |
18
SCHEDULE OF INVESTMENTS
AS OF JANUARY 31, 2010 (UNAUDITED)
_____________________________________________________________________ _____________________________________________________________________
Description Shares Value (000) Description Shares Value (000)
_____________________________________________________________________ _____________________________________________________________________
Affiliated Mutual Funds (1) - 99.6% Money Market Fund - 0.9%
Dreyfus Cash Management Fund,
Growth - 3.5% Institutional Class, 0.109% (A) 568,963 $ 569
Old Mutual Copper Rock ______________
Emerging Growth Fund* 267,125 $ 2,265
______________ Total Money Market Fund (Cost $569) 569
_____________________________________________________________________
Total Growth 2,265
_____________________________________________________________________ Total Investments - 100.5% (Cost $75,682) 65,366
_____________________________________________________________________
Growth-Large Cap - 12.1%
Old Mutual Large Cap Growth Fund 528,914 7,855 Other Assets and Liabilities, Net - (0.5)% (290)
______________ _____________________________________________________________________
Total Growth-Large Cap 7,855 Total Net Assets - 100.0% $ 65,076
_____________________________________________________________________ _____________________________________________________________________
Growth-Small Cap - 1.5%
Old Mutual Strategic For descriptions of abbreviations and footnotes, please refer to page
Small Company Fund 111,542 950 20.
______________
Other Information:
Total Growth-Small Cap 950
_____________________________________________________________________ The Fund utilizes various inputs in determining the value of its
investments as of the reporting period end. These inputs are
International Equity - 25.3% summarized in three broad levels as follows:
Old Mutual International Equity Fund 2,053,854 16,472
______________ Level 1 - quoted prices in active markets for identical securities
Level 2 - other significant observable inputs (including quoted
Total International Equity 16,472 prices for similar securities, interest rates, prepayment
_____________________________________________________________________ speeds, credit risk, etc.)
Level 3 - significant unobservable inputs (including the Fund's own
Market Neutral-Equity - 4.4% assumption in determining the fair value of investments)
Old Mutual Analytic
U.S. Long/Short Fund 288,731 2,890 The inputs or methodology used for valuing securities are not
______________ necessarily an indication of the risk associated with investing in
those securities. A summary of the inputs used as of January 31, 2010
Total Market Neutral-Equity 2,890 in valuing the Fund's net assets were as follows (000):
_____________________________________________________________________
Description Level 1 Level 2 Level 3 Total
Sector Fund-Real Estate - 7.7% _____________________________________________________________________
Old Mutual Heitman REIT Fund 815,443 5,007
______________ Investments
Affiliated Mutual Funds $64,797 $- $- $64,797
Total Sector Fund-Real Estate 5,007 Money Market Fund 569 - - 569
_____________________________________________________________________ _____________________________________________________________________
Value - 25.3% Total Investments $65,366 $- $- $65,366
Old Mutual Barrow Hanley Value Fund 2,072,468 11,751 _____________________________________________________________________
Old Mutual Focused Fund 230,714 4,700
______________ Refer to the "Security Valuation" section of Note 2 for further
information.
Total Value 16,451
_____________________________________________________________________
Value-Mid Cap - 10.1%
Old Mutual TS&W Mid-Cap Value Fund 894,741 6,603
______________
Total Value-Mid Cap 6,603
_____________________________________________________________________
Value-Small Cap - 9.7%
Old Mutual TS&W
Small Cap Value Fund 414,774 6,304
______________
Total Value-Small Cap 6,304
______________
Total Affiliated Mutual Funds (Cost $75,113) 64,797
_____________________________________________________________________
The accompanying notes are an integral part of the financial statements.
19
NOTES TO SCHEDULE OF INVESTMENTS
____________________________________________________________________________________________________________________________________
* Non-income producing security.
(1) - Investments are funds within the Old Mutual family of funds and they may be deemed to be under common control because they may
share the same Board of Trustees. Old Mutual Capital, Inc. serves as the investment adviser to all affiliated mutual funds.
(A) - The rate reported represents the 7-day effective yield as of January 31, 2010.
Cost figures are shown with "000's" omitted.
The accompanying notes are an integral part of the financial statements.
20
STATEMENTS OF ASSETS & LIABILITIES (000, excluding shares)
AS OF JANUARY 31, 2010 (UNAUDITED)
____________________________________________________________________________________________________________________________________________________
Old Mutual Old Mutual Old Mutual Old Mutual
Asset Allocation Asset Allocation Asset Allocation Asset Allocation
Conservative Balanced Moderate Growth Growth
Portfolio Portfolio Portfolio Portfolio
____________________________________________________________________________________________________________________________________________________
Assets:
Investment in Affiliated Funds, at cost $ 46,256 $ 94,162 $ 116,731 $ 75,113
Investment in Unaffiliated Funds, at cost 478 914 784 569
____________________________________________________________________________________________________________________________________________________
Investment in Affiliated Funds, at value $ 47,210 $ 89,970 $ 105,325 $ 64,797
Investment in Unaffiliated Funds, at value 478 914 784 569
Receivable for Capital Shares Sold 26 97 22 70
Receivable for Investment Securities Sold 276 - 541 -
Receivable from Investment Adviser 13 24 45 35
Receivable for Dividends from Affiliated Funds 139 151 71 -
Other Assets 8 12 11 10
Prepaid Trustee's Fees 1 - - 1
____________________________________________________________________________________________________________________________________________________
Total Assets 48,151 91,168 106,799 65,482
____________________________________________________________________________________________________________________________________________________
Liabilities:
Payable for Investment Securities Purchased 139 151 71 -
Payable for Capital Shares Redeemed 407 284 350 318
Payable for Administration Fees 4 8 9 6
Payable for Distribution & Service Fees 8 18 22 12
Payable for Management Fees 8 16 24 15
Payable for Trustees' Fees - 1 �� - -
Accrued Expenses 19 46 71 55
____________________________________________________________________________________________________________________________________________________
Total Liabilities 585 524 547 406
____________________________________________________________________________________________________________________________________________________
Net Assets $ 47,566 $ 90,644 $ 106,252 $ 65,076
____________________________________________________________________________________________________________________________________________________
Net Assets:
Paid-in Capital ($0.001 par value, unlimited authorization) $ 50,194 $ 120,424 $ 159,462 $ 112,252
Undistributed (Distributions in Excess of) Net Investment Income/
(Accumulated Net Investment Loss) (302) (237) (90) 529
Accumulated Net Realized Loss on Investments (3,280) (25,351) (41,714) (37,389)
Net Unrealized Appreciation or Depreciation on Investments 954 (4,192) (11,406) (10,316)
____________________________________________________________________________________________________________________________________________________
Net Assets $ 47,566 $ 90,644 $ 106,252 $ 65,076
____________________________________________________________________________________________________________________________________________________
Net Assets - Class A $ 13,520 $ 24,176 $ 25,845 $ 19,548
Net Assets - Class C 27,465 65,578 79,802 42,175
Net Assets - Class Z 1,234 864 598 2,687
Net Assets - Institutional Class 5,347 26 7 666
____________________________________________________________________________________________________________________________________________________
Outstanding Shares of Beneficial Interest - Class A 1,327,894 2,477,430 2,766,520 2,113,754
Outstanding Shares of Beneficial Interest - Class C 2,709,619 6,732,454 8,712,395 4,742,526
Outstanding Shares of Beneficial Interest - Class Z 121,056 88,424 63,554 286,756
Outstanding Shares of Beneficial Interest - Institutional Class 524,212 2,699 692 71,101
____________________________________________________________________________________________________________________________________________________
Net Asset Value and Redemption Price Per Share - Class A^ $ 10.18 $ 9.76 $ 9.34 $ 9.25
____________________________________________________________________________________________________________________________________________________
Maximum Offering Price Per Share Class A (Net Asset Value/94.25%) $ 10.80 $ 10.36 $ 9.91 $ 9.81
____________________________________________________________________________________________________________________________________________________
Net Asset Value, Offering and Redemption Price Per Share - Class C†^ $ 10.14 $ 9.74 $ 9.16 $ 8.89
____________________________________________________________________________________________________________________________________________________
Net Asset Value, Offering and Redemption Price Per Share - Class Z ^ $ 10.19 $ 9.77 $ 9.42 $ 9.37
____________________________________________________________________________________________________________________________________________________
Net Asset Value, Offering and Redemption Price Per Share -
Institutional Class^ $ 10.20 $ 9.74 $ 9.42 $ 9.36
____________________________________________________________________________________________________________________________________________________
† Class C shares have a contingent deferred sales charge. For a description of possible sales charge, please see the Fund's Prospectus.
^ Net Assets divided by shares may not calculate to the stated NAV because these amounts are shown rounded.
Amounts designated as "-" are either $0 or have been rounded to $0.
The accompanying notes are an integral part of the financial statements.
21
STATEMENTS OF OPERATIONS (000)
FOR THE SIX-MONTH PERIOD ENDED JANUARY 31, 2010 (UNAUDITED)
____________________________________________________________________________________________________________________________________________________
Old Mutual Old Mutual Old Mutual Old Mutual
Asset Allocation Asset Allocation Asset Allocation Asset Allocation
Conservative Balanced Moderate Growth Growth
Portfolio Portfolio Portfolio Portfolio
____________________________________________________________________________________________________________________________________________________
Investment Income:
Dividends from Affiliated Funds $ 1,225 $ 2,021 $ 2,119 $ 1,640
Dividends - 1 1 1
____________________________________________________________________________________________________________________________________________________
Total Investment Income 1,225 2,022 2,120 1,641
____________________________________________________________________________________________________________________________________________________
Expenses:
Management Fees 51 102 153 107
Administration Fees 25 51 61 43
Trustees' Fees 16 34 41 28
Professional Fees 12 26 32 23
Transfer Agent Fees 24 66 114 91
Registration and SEC Fees 15 24 25 23
Distribution and Service Fees:
Class A 18 33 34 26
Class C 148 367 444 235
Other Expenses 10 22 30 23
____________________________________________________________________________________________________________________________________________________
Total Expenses 319 725 934 599
____________________________________________________________________________________________________________________________________________________
Less:
Net Waiver of Management Fees (51) (102) (153) (107)
Reimbursement of Other Expenses by Investment Adviser (11) (25) (107) (94)
____________________________________________________________________________________________________________________________________________________
Net Expenses 257 598 674 398
____________________________________________________________________________________________________________________________________________________
Net Investment Income 968 1,424 1,446 1,243
____________________________________________________________________________________________________________________________________________________
Net Realized Loss from Affiliated Funds (1) (1,832) (12,101) (20,191) (19,534)
Net Capital Gain Distributions Received from Affiliated Funds (1) 596 700 465 -
Net Change in Unrealized Appreciation on Investments 3,458 17,340 27,843 26,579
____________________________________________________________________________________________________________________________________________________
Net Realized and Unrealized Gain on Investments 2,222 5,939 8,117 7,045
____________________________________________________________________________________________________________________________________________________
Increase in Net Assets Resulting from Operations $ 3,190 $ 7,363 $ 9,563 $ 8,288
____________________________________________________________________________________________________________________________________________________
(1) See Note 7 for total net realized gain (loss) on investments in Affiliated Funds.
Amounts designated as "-" are either $0 or have been rounded to $0.
The accompanying notes are an integral part of the financial statements.
22
STATEMENTS OF CHANGES IN NET ASSETS (000)
____________________________________________________________________________________________________________________________________________________
Old Mutual Old Mutual Old Mutual Old Mutual
Asset Allocation Asset Allocation Asset Allocation Asset Allocation
Conservative Balanced Moderate Growth Growth
Portfolio Portfolio Portfolio Fund
____________________________________________________________________________________________________________________________________________________
8/1/09 to 8/1/08 to 8/1/09 to 8/1/08 to 8/1/09 to 8/1/08 to 8/1/09 to 8/1/08 to
1/31/10 7/31/09 1/31/10 7/31/09 1/31/10 7/31/09 1/31/10 7/31/09
(Unaudited) (Unaudited) (Unaudited) (Unaudited)
____________________________________________________________________________________________________________________________________________________
Investment Activities:
Net Investment Income $ 968 $ 2,060 $ 1,424 $ 3,240 $ 1,446 $ 2,090 $ 1,243 $ 728
Net Realized Gain (Loss) from Investments (1,236) (3,337) (11,401) (21,707) (19,726) (36,992) (19,534) (27,279)
Net Change in Unrealized Appreciation (Depreciation)
on Investments 3,458 190 17,340 (4,606) 27,843 (8,437) 26,579 (11,189)
____________________________________________________________________________________________________________________________________________________
Net Increase (Decrease) in Net Assets Resulting
from Operations 3,190 (1,087) 7,363 (23,073) 9,563 (43,339) 8,288 (37,740)
____________________________________________________________________________________________________________________________________________________
Dividends and Distributions to Shareholders From:
Net Investment Income:
Class A (431) (780) (554) (1,272) (637) (587) (405) -
Class C (780) (1,442) (1,257) (2,163) (1,415) (969) (576) -
Class Z (29) (12) (20) (30) (15) (11) (16) -
Institutional Class (210) (104) (40) (196) (178) (147) (435) -
Net Realized Gains from Investment Transactions:
Class A - (295) - (1,669) - (2,257) - (1,804)
Class C - (664) - (4,327) - (7,891) - (4,015)
Class Z - (4) - (33) - (34) - (41)
Institutional Class - (46) - (205) - (475) - (1,203)
____________________________________________________________________________________________________________________________________________________
Total Dividends and Distributions (1,450) (3,347) (1,871) (9,895) (2,245) (12,371) (1,432) (7,063)
____________________________________________________________________________________________________________________________________________________
Capital Share Transactions:
Class A
Shares Issued 1,753 7,206 2,093 8,898 2,221 3,676 1,781 3,171
Shares Issued upon Reinvestment of Distributions 331 809 420 2,360 517 2,280 324 1,341
Redemption Fees - - - 2 - - - -
Shares Redeemed (2,668) (8,949) (5,023) (21,304) (4,040) (19,500) (4,515) (14,341)
____________________________________________________________________________________________________________________________________________________
Total Class A Capital Share Transactions (584) (934) (2,510) (10,044) (1,302) (13,544) (2,410) (9,829)
____________________________________________________________________________________________________________________________________________________
Class C
Shares Issued 2,248 12,306 3,076 13,644 2,983 13,331 1,307 7,332
Shares Issued upon Reinvestment of Distributions 418 1,091 732 3,455 825 4,804 395 2,553
Redemption Fees - - - 3 - 1 - -
Shares Redeemed (7,727) (13,372) (19,543) (37,633) (21,631) (39,660) (11,106) (19,285)
____________________________________________________________________________________________________________________________________________________
Total Class C Capital Share Transactions (5,061) 25 (15,735) (20,531) (17,823) (21,524) (9,404) (9,400)
____________________________________________________________________________________________________________________________________________________
Class Z
Shares Issued 1,226 54 141 162 51 10 2,777 92
Shares Issued upon Reinvestment of Distributions 29 16 20 62 15 45 16 41
Redemption Fees - - - - - - - -
Shares Redeemed (256) (448) (6) (138) - (1) (710) (4)
____________________________________________________________________________________________________________________________________________________
Total Class Z Capital Share Transactions 999 (378) 155 86 66 54 2,083 129
____________________________________________________________________________________________________________________________________________________
Institutional Class
Shares Issued 546 6,622 32 1,326 24 2,709 657 4,961
Shares Issued upon Reinvestment of Distributions 165 150 40 401 178 622 435 1,203
Shares Redeemed �� (1,587) (7,259) (2,199) (4,873) (8,820) (2,567) (20,335) (6,582)
____________________________________________________________________________________________________________________________________________________
Total Institutional Class Capital Share Transactions (876) (487) (2,127) (3,146) (8,618) 764 (19,243) (418)
____________________________________________________________________________________________________________________________________________________
Decrease in Net Assets Derived from Capital Shares
Transactions (5,522) (1,774) (20,217) (33,635) (27,677) (34,250) (28,974) (19,518)
____________________________________________________________________________________________________________________________________________________
Total Decrease in Net Assets (3,782) (6,208) (14,725) (66,603) (20,359) (89,960) (22,118) (64,321)
____________________________________________________________________________________________________________________________________________________
Net Assets:
Beginning of Period 51,348 57,556 105,369 171,972 126,611 216,571 87,194 151,515
____________________________________________________________________________________________________________________________________________________
End of Period $47,566 $ 51,348 $ 90,644 $105,369 $106,252 $126,611 $ 65,076 $ 87,194
____________________________________________________________________________________________________________________________________________________
Undistributed Net Investment Income/(Accumulated
Net Investment Loss) $ (302) $ 180 $ (237) $ 210 $ (90) $ 709 $ 529 $ 718
____________________________________________________________________________________________________________________________________________________
Amounts designated as "-" are either $0 or have been rounded to $0.
The accompanying notes are an integral part of the financial statements.
23
FINANCIAL HIGHLIGHTS
FOR A SHARE OUTSTANDING THROUGHOUT EACH YEAR OR PERIOD ENDED JULY 31, (UNLESS OTHERWISE NOTED)
AND FOR THE SIX-MONTH PERIOD ENDED JANUARY 31, 2010 (UNAUDITED)
60; Ratio of
60; Expenses to
Realized & #160; Average Net Ratio of Net
Net and Net Net 60; Assets Investment
Asset Net Unrealized Dividends Distributions Total Asset Assets Ratio (Excluding Income
Value Investment Gains Total from Net from Dividends Value End of Expenses Waivers and (Loss) Portfolio
Beginning Income (Losses) on Redemption from Investment Capital and End Total of Period to Average Expense to Average Turnover
of Period (Loss)* Securities* Fees Operations Income Gains Distributions of Period Return† (000) Net Assets††, (1) Reductions)††, (1) Net Assets†† Rate†
________________________________________________________________________________________________________________________________________________________________________________________________________________
OLD MUTUAL ASSET ALLOCATION CONSERVATIVE PORTFOLIO
Class A
2010 $ 9.84 $0.22 $ 0.44 $- $ 0.66 $(0.32) $ - $(0.32) $10.18 6.69% $ 13,520 0.61% 0.87% 4.22% 26.84%
2009 10.76 0.48 (0.61) - (0.13) (0.57) (0.22) (0.79) 9.84 (0.49)% 13,632 0.65% 0.86% 5.09% 39.55%
2008 11.30 0.29 (0.25) - 0.04 (0.31) (0.27) (0.58) 10.76 0.24% 15,858 0.93% 1.31% 2.62% 49.27%
2007 10.64 0.30 0.69 - 0.99 (0.28) (0.05) (0.33) 11.30 9.40% 12,605 1.50% 1.94% 2.73% 130.47%
2006 10.53 0.26 0.10 - 0.36 (0.20) (0.05) (0.25) 10.64 3.39% 8,588 1.50% 2.35% 2.46% 146.8 4%
2005** 10.00 0.16 0.47 - 0.63 (0.10) - (0.10) 10.53 6.36% 6,684 1.50% 4.68% 1.87% &# 160; 170.31%
Class C
2010 $ 9.80 $0.18 $ 0.44 $- $ 0.62 $(0.28) $ - $(0.28) $10.14 6.30% $ 27,465 1.36% 1.60% 3.44% 26.84%
2009 10.66 0.39 (0.58) - (0.19) (0.45) (0.22) (0.67) 9.80 (1.20)% 31,465 1.41% 1.54% 4.23% 39.55%
2008 11.25 0.21 (0.25) - (0.04) (0.28) (0.27) (0.55) 10.66 (0.47)% 34,242 1.67% 1.95% 1.86% 49.27%
2007 10.60 0.22 0.68 - 0.90 (0.20) (0.05) (0.25) 11.25 8.57% 25,812 2.25% 2.57% 1.98% 130.47%
2006 10.50 0.18 0.10 - 0.28 (0.13) (0.05) (0.18) 10.60 2.63% 18,253 2.25% 2.75% 1.74% 146.84%
2005** 10.00 0.10 0.47 - 0.57 (0.07) - (0.07) 10.50 5.75% 7,914 2.25% 4.92% 1.15% &# 160; 170.31%
Class Z
2010 $ 9.85 $0.24 $ 0.43 $- $ 0.67 $(0.33) $ - $(0.33) $10.19 6.81% $ 1,234 0.36% 1.46% 4.57% 26.84%
2009 10.78 0.44 (0.54) - (0.10) (0.61) (0.22) (0.83) 9.85 (0.17)% 234 0.40% 7.77% 4.56% 39.55%
2008 11.30 0.32 (0.25) - 0.07 (0.32) (0.27) (0.59) 10.78 0.54% 640 0.67% 4.34% 2.86% ;49.27%
2007 10.65 0.34 0.67 - 1.01 (0.31) (0.05) (0.36) 11.30 9.55% 514 1.25% 11.45% 3.01% 130.47%
2006*** 10.60 0.19 0.09 - 0.28 (0.18) (0.05) (0.23) 10.65 2.63% 1 1.25% 757.79% 2.80% 146.84%
Institutional Class
2010 $ 9.86 $0.23 $ 0.44 $- $ 0.67 $(0.33) $ - $(0.33) $10.20 6.81% $ 5,347 0.36% 0.49% 4.51% 26.84%
2009 10.79 0.47 (0.58) - (0.11) (0.60) (0.22) (0.82) 9.86 (0.19)% 6,017 0.40% 1.43% 4.85% 39.55%
2008 11.32 0.32 (0.26) - 0.06 (0.32) (0.27) (0.59) 10.79 0.41% 6,816 0.69% 1.05% 2.87% 49.27%
2007 10.65 0.33 0.70 - 1.03 (0.31) (0.05) (0.36) 11.32 9.74% 5,700 1.25% 1.60% 2.98% 130.4 7%
2006 10.54 0.29 0.10 - 0.39 (0.23) (0.05) (0.28) 10.65 3.64% 5,588 1.25% 1.75% 2.71% 146.8 4%
2005** 10.00 0.16 0.50 - 0.66 (0.12) - (0.12) 10.54 6.60% 5,193 1.25% 6.95% 1.82% &# 160; 170.31%
________________________________________________________________________________________________________________________________________________________________________________________________________________
OLD MUTUAL ASSET ALLOCATION BALANCED PORTFOLIO
Class A
2010 $ 9.28 $0.17 $ 0.53 $- $ 0.70 $(0.22) $ - $(0.22) $ 9.76 7.49% $ 24,176 0.64% 0.90% 3.37% 27.71%
2009 11.27 0.29 (1.46) - (1.17) (0.36) (0.46) (0.82) 9.28 (9.30)% 25,356 0.65% 0.79% 3.30% 29.74%
2008 12.68 0.21 (0.74)# - (0.53) (0.26) (0.62) (0.88) 11.27 (4.59)%# 44,959 0.94% 1.13% 1.71% 51.96%
2007 11.45 0.20 1.41 - 1.61 (0.17) (0.21) (0.38) 12.68 14.20% 51,321 1.55% 1.69% 1.59% 121.42%
2006 11.02 0.16 0.47 - 0.63 (0.12) (0.08) (0.20) 11.45 5.76% 37,679 1.55% 1.82% 1.40% 129.99%
2005** 10.00 0.10 0.98 - 1.08 (0.06) - (0.06) 11.02 10.83% 19,481 1.55% 4.42% 1.13% 125.19 %
Class C
2010 $ 9.26 $0.13 $ 0.53 $- $ 0.66 $(0.18) $ - $(0.18) $ 9.74 7.09% $ 65,578 1.39% 1.61% 2.57% 27.71%
2009 11.17 0.22 (1.44) - (1.22) (0.23) (0.46) (0.69) 9.26 (10.00)% 77,330 1.40% 1.51% 2.46% 29.74%
2008 12.64 0.11 (0.73)# - (0.62) (0.23) (0.62) (0.85) 11.17 (5.34)%# 120,085 1.67% 1.85% 0.92% 51.96%
2007 11.42 0.10 1.41 - 1.51 (0.08) (0.21) (0.29) 12.64 13.38% 109,348 2.30% 2.44% 0.85% 121.42%
2006 11.00 0.07 0.48 - 0.55 (0.05) (0.08) (0.13) 11.42 5.00% 61,845 2.30% 2.54% 0.66% 129.99%
2005** 10.00 0.03 1.00 - 1.03 (0.03) - (0.03) 11.00 10.31% 24,342 2.30% 4.92% 0.38% 125.19 %
Class Z
2010 $ 9.30 $0.18 $ 0.52 $- $ 0.70 $(0.23) $ - $(0.23) $ 9.77 7.50% $ 864 0.39% 1.98% 3.68% 27.71%
2009 11.31 0.31 (1.46) - (1.15) (0.40) (0.46) (0.86) 9.30 (9.00)% 672 0.40% 1.41% 3.53% 29.74%
2008 12.70 0.23 (0.74)# - (0.51) (0.26) (0.62) (0.88) 11.31 (4.40)%# 732 0.65% 5.13% 1.91% 51.96%
2007 11.46 0.26 1.39 - 1.65 (0.20) (0.21) (0.41) 12.70 14.55% 586 1.30% 11.24% 2.02% 121.42%
2006*** 11.26 0.12 0.28 - 0.40 (0.12) (0.08) (0.20) 11.46 3.57% 1 1.30% 771.22% 1.60% 129.99%
Institutional Class
2010 $ 9.26 $0.19 $ 0.52 $- $ 0.71 $(0.23) $ - $(0.23) $ 9.74 7.61% $ 26 0.39% 1.12% 3.87% 27.71%
2009 11.28 0.30 (1.46) - (1.16) (0.40) (0.46) (0.86) 9.26 (9.13)% 2,011 0.40% 0.58% 3.35% 29.74%
2008 12.71 0.27 (0.78)# - (0.51) (0.30) (0.62) (0.92) 11.28 (4.46)%# 6,196 0.85% 1.41% 2.24% 51.96%
2007 11.46 0.23 1.43 - 1.66 (0.20) (0.21) (0.41) 12.71 14.64% 13,969 1.30% 1.39% 1.84% 121.42%
2006 11.04 0.19 0.46 - 0.65 (0.15) (0.08) (0.23) 11.46 5.91% 12,890 1.30% 1.47% 1.64% 129.99%
2005** 10.00 0.10 1.01 - 1.11 (0.07) - (0.07) 11.04 11.15% 11,303 1.30% 6.08% 1.14% 125.19 %
________________________________________________________________________________________________________________________________________________________________________________________________________________
The accompanying notes are an integral part of the financial statements.
24
60; Ratio of
60; Expenses to
Realized & #160; Average Net Ratio of Net
Net and Net Net 60; Assets Investment
Asset Net Unrealized Dividends Distributions Total Asset Assets Ratio (Excluding Income
Value Investment Gains Total from Net from Dividends Value End of Expenses Waivers and (Loss) Portfolio
Beginning Income (Losses) on Redemption from Investment Capital and End Total of Period to Average Expense to Average Turnover
of Period (Loss)* Securities* Fees Operations Income Gains Distributions of Period Return† (000) Net Assets††, (1) Reductions)††, (1) Net Assets†† Rate†
________________________________________________________________________________________________________________________________________________________________________________________________________________
OLD MUTUAL ASSET ALLOCATION MODERATE GROWTH PORTFOLIO
Class A
2010 $ 8.87 $0.14 $ 0.56 $- $ 0.70 $(0.23) $ - $(0.23) $ 9.34 7.82% $ 25,845 0.57% 1.05% 2.92% 31.09%
2009 11.91 0.17 (2.37) - (2.20) (0.16) (0.68) (0.84) 8.87 (17.27)% 25,782 0.57% 0.99% 2.00% 31.90%
2008 13.76 0.10 (1.11)# - (1.01) (0.15) (0.69) (0.84) 11.91 (7.86)%# 52,854 0.89% 1.26% 0.74% 43.04%
2007 12.07 0.11 1.86 - 1.97 (0.07) (0.21) (0.28) 13.76 16.49% 58,969 1.55% 1.73% 0.84% 112.42%
2006 11.30 0.09 0.76 - 0.85 (0.03) (0.05) (0.08) 12.07 7.58% 46,242 1.55% 1.91% 0.76% 111.99%
2005** 10.00 0.06 1.25 - 1.31 (0.01) - (0.01) 11.30 13.11% 17,736 1.55% 4.92% 0.70% 98.50%
Class C
2010 $ 8.67 $0.10 $ 0.55 $- $ 0.65 $(0.16) $ - $(0.16) $ 9.16 7.42% $ 79,802 1.32% 1.72% 2.10% 31.09%
2009 11.63 0.11 (2.31) - (2.20) (0.08) (0.68) (0.76) 8.67 (17.90)% 92,373 1.32% 1.69% 1.33% 31.90%
2008 13.59 - (1.08)# - (1.08) (0.19) (0.69) (0.88) 11.63 (8.55)%# 154,281 1.63% 1.88% (0.02)% 43.04%
2007 11.95 0.01 1.84 - 1.85 - (0.21) (0.21) 13.59 15.63% 161,855 2.30% 2.43% 0.09% 1 12.42%
2006 11.24 - 0.76 - ��0.76 - (0.05) (0.05) 11.95 6.80% 95,984 2.30% 2.62% 0.01% 111.99%
2005** 10.00 - 1.24 - 1.24 - - - 11.24 12.44% 30,905 2.30% 5.44% (0.03)% 98.50%
Class Z
2010 $ 8.95 $0.16 $ 0.56 $- $ 0.72 $(0.25) $ - $(0.25) $ 9.42 7.98% $ 598 0.32% 2.36% 3.22% 31.09%
2009 12.02 0.20 (2.40) - (2.20) (0.19) (0.68) (0.87) 8.95 (17.07)% 508 0.32% 2.64% 2.34% 31.90%
2008 13.84 0.13 (1.11)# - (0.98) (0.15) (0.69) (0.84) 12.02 (7.64)%# 600 0.61% 4.40% 0.97% 43.04%
2007 12.12 0.20 1.83 - 2.03 (0.10) (0.21) (0.31) 13.84 16.91% 530 1.30% 11.43% 1.40% 112.42%
2006*** 11.70 0.08 0.43 - 0.51 (0.04) (0.05) (0.09) 12.12 4.45% 1 1.30% 764.76% 0.98% 111.99%
Institutional Class
2010 $ 8.95 $0.17 $ 0.56 $- $ 0.73 $(0.26) $ - $(0.26) $ 9.42 8.01% $ 7 0.32% 0.67% 3.45% 31.09%
2009 12.01 0.19 (2.38) - (2.19) (0.19) (0.68) (0.87) 8.95 (16.99)% 7,948 0.32% 0.61% 2.21% 31.90%
2008 13.82 0.13 (1.11)# - (0.98) (0.14) (0.69) (0.83) 12.01 (7.59)%# 8,836 0.70% 0.99% 0.98% 43.04%
2007 12.12 0.15 1.86 - 2.01 (0.10) (0.21) (0.31) 13.82 16.74% 13,149 1.30% 1.37% 1.12% 112.42%
2006 11.33 0.12 0.76 - 0.88 (0.04) (0.05) (0.09) 12.12 7.86% 8,136 1.30% 1.56% 1.00% 111.99%
2005** 10.00 0.07 1.27 - 1.34 (0.01) - (0.01) 11.33 13.43% 6,279 1.30% 6.81% 0.79% & #160;98.50%
________________________________________________________________________________________________________________________________________________________________________________________________________________
The accompanying notes are an integral part of the financial statements.
25
FINANCIAL HIGHLIGHTS - concluded
FOR A SHARE OUTSTANDING THROUGHOUT EACH YEAR OR PERIOD ENDED JULY 31, (UNLESS OTHERWISE NOTED)
AND FOR THE SIX-MONTH PERIOD ENDED JANUARY 31, 2010 (UNAUDITED)
60; Ratio of
60; Expenses to
Realized & #160; Average Net Ratio of Net
Net and Net Net 60; Assets Investment
Asset Net Unrealized Dividends Distributions Total Asset Assets Ratio (Excluding Income
Value Investment Gains Total from Net from Dividends Value End of Expenses Waivers and (Loss) Portfolio
Beginning Income (Losses) on Redemption from Investment Capital and End Total of Period to Average Expense to Average Turnover
of Period (Loss)* Securities* Fees Operations Income Gains Distributions of Period Return† (000) Net Assets††, (1) Reductions)††, (1) Net Assets†† Rate†
________________________________________________________________________________________________________________________________________________________________________________________________________________
OLD MUTUAL ASSET ALLOCATION GROWTH PORTFOLIO
Class A
2010 $ 8.66 $ 0.15 $ 0.63 $- $ 0.78 $(0.19) $ - $(0.19) $ 9.25 8.90% $19,548 0.57% 1.13% 3.17% 33.66%
2009 12.33 0.10 (3.12) - (3.02) - (0.65) (0.65) 8.66 (23.55)% 20,556 0.56% 1.03% 1.14% 27.09%
2008 14.82 0.07 (1.67)# - (1.60) (0.20) (0.69) (0.89) 12.33 (11.45)%# 43,129 0.91% 1.26% 0.48% 45.80%
2007 12.70 0.03 2.34 - 2.37 - (0.25) (0.25) 14.82 18.76% 55,755 1.60% 1.83% 0.24% &# 160; 104.92%
2006 11.68 0.02 1.12 - 1.14 (0.02) (0.10) (0.12) 12.70 9.75% 30,459 1.60% 2.22% 0.17% 94.1 2%
2005** 10.00 0.03 1.66 - 1.69 (0.01) - (0.01) 11.68 16.91% 10,443 1.60% 5.02% 0.33% 59.93%
Class C
2010 $ 8.30 $ 0.11 $ 0.60 $- $ 0.71 $(0.12) $ - $(0.12) $ 8.89 8.49% $42,175 1.32% 1.81% 2.33% 33.66%
2009 11.95 0.03 (3.03) - (3.00) - (0.65) (0.65) 8.30 (24.16)% 48,126 1.31% 1.75% 0.42% 27.09%
2008 14.53 (0.04) (1.61)# - (1.65) (0.24) (0.69) (0.93) 11.95 (12.08)%# 83,127 1.66% 2.01% (0.29)% 45.80%
2007 12.55 (0.07) 2.30 - 2.23 - (0.25) (0.25) 14.53 17.86% 96,805 2.35% 2.56% (0.50)% 104.92%
2006 11.61 (0.07) 1.11 - 1.04 - (0.10) (0.10) 12.55 8.97% 50,152 2.35% 2.93% (0.58)% ;94.12%
2005** 10.00 (0.04) 1.65 - 1.61 - - - 11.61 16.15% 13,256 2.35% 5.63% (0.44)% 59.93%
Class Z
2010 $ 8.77 $ 0.10 $ 0.71 $- $ 0.81 $(0.21) $ - $(0.21) $ 9.37 9.14% $ 2,687 0.32% 1.62% 2.07% 33.66%
2009 12.45 0.12 (3.15) - (3.03) - (0.65) (0.65) 8.77 (23.40)% 667 0.32% 3.50% 1.46% 27.09%
2008 14.91 0.09 (1.67)# - (1.58) (0.19) (0.69) (0.88) 12.45 (11.25)%# 750 0.61% 5.47% 0.68% 45.80%
2007 12.74 0.12 2.30 - 2.42 - (0.25) (0.25) 14.91 19.09% 648 1.35% 10.49% 0.77% 0; 104.92%
2006*** 12.23 0.03 0.61 - 0.64 (0.03) (0.10) (0.13) 12.74 5.23% 1 1.35% 758.31% 0.39% 94.1 2%
Institutional Class
2010 $ 8.77 $ 0.21 $ 0.59 $- $ 0.80 $(0.21) $ - $(0.21) $ 9.36 9.03% $ 666 0.32% 0.55% 4.34% 33.66%
2009 12.44 0.12 (3.14) - (3.02) - (0.65) (0.65) 8.77 (23.34)% 17,845 0.31% 0.50% 1.39% 27.09%
2008 14.91 0.09 (1.68)# - (1.59) (0.19) (0.69) (0.88) 12.44 (11.32)%# 24,509 0.64% 0.84% 0.67% 45.80%
2007 12.75 0.07 2.34 - 2.41 - (0.25) (0.25) 14.91 19.00% 24,927 1.35% 1.38% 0.51% &# 160; 104.92%
2006 11.70 0.06 1.12 - 1.18 (0.03) (0.10) (0.13) 12.75 10.08% 15,304 1.35% 1.68% 0.47% 94.12%
2005** 10.00 0.04 1.67 - 1.71 (0.01) - (0.01) 11.70 17.13% 6,255 1.35% 7.19% 0.43% & #160; 59.93%
________________________________________________________________________________________________________________________________________________________________________________________________________________
* Per share amounts for the year or period are calculated based on average outstanding shares.
** Fund commenced operations September 30, 2004.
*** Class commenced operations on December 9, 2005.
# Impact of payment to affiliate was less than $0.01 per share and 0.01%, respectively.
† Total returns and portfolio turnover rates are for the period indicated and have not been annualized. Total return would have been lower had certain expenses not been waived by the Adviser during the
year. Returns shown do not reflect the deduction of taxes that a shareholder would pay on fund distributions or the redemption of fund shares. Returns shown exclude any applicable sales charges.
†† Ratios for periods less than one year have been annualized.
(1) Ratio does not include expenses of the underlying funds.
Amounts designated as "-" are either $0 or have been rounded to $0.
The accompanying notes are an integral part of the financial statements.
26
NOTES TO FINANCIAL STATEMENTS
AS OF JANUARY 31, 2010 (UNAUDITED)
1. ORGANIZATION
____________________________________________________________________________________________________________________________________
Old Mutual Funds I (the "Trust"), organized as a Delaware statutory trust on May 27, 2004, is registered under the Investment
Company Act of 1940, as amended (the "1940 Act"), as an open-end management investment company. The Trust currently offers seven
series portfolios, of which the following are covered by this Semi-Annual Report - the Old Mutual Asset Allocation Conservative
Portfolio, the Old Mutual Asset Allocation Balanced Portfolio, the Old Mutual Asset Allocation Moderate Growth Portfolio and the Old
Mutual Asset Allocation Growth Portfolio (each a "Fund" and collectively, the "Funds"). The Funds commenced operations on September
30, 2004. The Trust's series portfolios whose financial statements are presented separately are the Old Mutual Analytic Fund, the
Old Mutual International Equity Fund and the Old Mutual Copper Rock Emerging Growth Fund.
Shareholders may purchase shares of the Funds through four separate classes, Class A, Class C, Class Z and Institutional Class
shares. All classes have equal rights as to earnings, assets, and voting privileges, except that each class may have different
distribution costs, dividends, registration costs, and shareholder services costs and each class has exclusive voting rights with
respect to its distribution plan. Except for these differences, each share class of each Fund represents an equal proportionate
interest in that Fund. Each Fund is classified as a diversified investment management company. The Funds' prospectus provides a
description of each Fund's investment objective, policies and investment strategies.
Each Fund is a "fund of funds," which seeks to achieve its investment objective by investing in a portfolio of affiliated underlying
equity and fixed income funds that are advised by the Funds' investment adviser, Old Mutual Capital, Inc. (the "Adviser"). In
addition, a portion of its assets may be invested in cash, cash equivalents, or in money market funds. These underlying funds, in
turn, invest in a variety of U.S. and foreign equity and fixed income securities. Under normal circumstances, the Funds expect to
invest their assets among equity and fixed income funds in the following ranges:
Fund Equity Fund Allocation Fixed Income Fund Allocation
____________________________________________________________________________________________________________________________________
Old Mutual Asset Allocation Conservative Portfolio 20 - 40% 60 - 80%
Old Mutual Asset Allocation Balanced Portfolio 50 - 70% 30 - 50%
Old Mutual Asset Allocation Moderate Growth Portfolio 70 - 90% 10 - 30%
Old Mutual Asset Allocation Growth Portfolio 90 - 100% 0 - 10%
____________________________________________________________________________________________________________________________________
A brief description of each of the underlying funds that the Funds currently invest in is as follows.
Old Mutual Analytic U.S. Long/Short Fund seeks above-average total returns. To pursue its objective, the fund normally invests at
least 80% of its net assets (plus any borrowings for investment purposes) in equity securities of companies whose securities are
traded in U.S. markets. While the fund may invest in companies of any size, it generally invests in large- and mid-cap companies.
The fund may also invest in long and short positions of publicly traded equity securities. The fund's long and short positions may
include equity securities of foreign issuers that are traded in U.S. markets. The fund generally takes long equity positions equal
to approximately 120% of the fund's equity assets excluding cash, and short equity positions equal to approximately 20% of the
fund's equity assets at the time of investment. The fund's long equity exposure ordinarily ranges from 110% to 125% of the fund's
net assets and its short equity exposure ordinarily ranges from 10% to 33% of the fund's net assets. The cash received from short
sales may be used to invest in long equity positions.
Old Mutual Barrow Hanley Core Bond Fund seeks to maximize total return. To pursue its objective, the fund normally invests at least
80% of its net assets in fixed income securities of varying maturities. Fixed income securities may include: U.S. government
securities, including Treasury and agency securities, corporate obligations, inflation-indexed securities, commercial and
residential mortgage-backed securities, collateralized mortgage obligations and asset-backed securities. The fund may invest up to
25% of its total assets in U.S. dollar denominated foreign debt obligations. The fund may also invest up to 20% of its total assets
in non-investment grade securities. The fund has no limitations on the range of maturities of the fixed income securities in which
it can invest and will maintain an average portfolio duration that ranges from 80% to 120% of the average duration of the Barclays
Capital U.S. Aggregate Bond Index. The sub-adviser will attempt to maintain an overall weighted average portfolio credit quality at
a rating of "AA" (or equivalent) or higher from any nationally recognized statistical rating organization ("NRSRO").
Old Mutual Barrow Hanley Value Fund seeks long-term capital growth. The fund is a non-diversified fund. To pursue its objective, the
fund normally invests in equity securities of large- and mid-cap companies with value characteristics. Undervalued stocks are
generally those stocks that are out of favor with investors and, in the opinion of the fund's sub-adviser, are trading at prices
that are below average at the time of purchase in relation to such measures as earnings and book value. These stocks often have
above average dividend yields.
Old Mutual Copper Rock Emerging Growth Fund seeks to provide investors with capital appreciation. To pursue its objective, the fund
normally invests primarily in equity securities of emerging growth companies. The fund emphasizes small- and mid-cap companies in
its portfolio, that is, companies with market values generally within the range of market values of issuers included in the Russell
2500™ Growth Index. The fund may invest in emerging growth companies of any size. There is no minimum percentage of assets of
either small- or mid-cap companies for the fund's investments, and it has the flexibility to invest substantially in either small-
or mid-cap issuers. The fund may at times be invested primarily in small-cap stocks.
27
NOTES TO FINANCIAL STATEMENTS - continued
AS OF JANUARY 31, 2010 (UNAUDITED)
Old Mutual Dwight High Yield Fund seeks to provide investors with a high level of current income. To pursue its objective, the fund
normally invests at least 80% of its net assets (plus any borrowings for investment purposes) in high-yield, below investment-grade
securities including high-yield corporate bonds and loans, municipal bonds, mortgage-backed and asset-backed securities,
income-producing convertible securities, and preferred stocks. The fund may invest up to 30% of its assets in U.S. dollar
denominated foreign debt obligations. The fund may also invest in derivative instruments such as options, futures contracts, credit
default swaps, and swaps and options on indices and may engage in certain investment techniques which create market exposure, such
as dollar rolls. The fund's sub-adviser seeks to maintain a minimum average credit quality for the fund's investments at a rating of
"B" (or equivalent) or higher from any NRSRO. The fund's investment duration typically ranges from 75% to 125% of the average
duration of the Barclays Capital U.S. Corporate High-Yield Bond Index.
Old Mutual Dwight Intermediate Fixed Income Fund seeks a high level of current income consistent with relative stability of
principal. To pursue its objective, the fund normally invests at least 80% of its net assets (plus any borrowings for investment
purposes) in a diversified portfolio of fixed income securities of varying maturities. The fund generally invests in investment
grade fixed income securities but may invest up to 15% of its assets in high yield securities. The fund may also invest in
derivative instruments such as options, futures contracts, and options on indices and may engage in certain investment techniques
which create market exposure, such as dollar rolls. The fund's investment duration typically ranges from 75% to 125% of the average
duration of the Barclays Capital U.S. Intermediate Aggregate Bond Index. The fund's dollar weighted average maturity will typically
be between 3 and 10 years.
Old Mutual Dwight Short Term Fixed Income Fund seeks a high level of current income consistent with maintaining a relatively high
degree of stability of capital. To pursue its objective, the fund normally invests at least 80% of its net assets (plus any
borrowings for investment purposes) in obligations of the U.S. Government and in investment grade debt securities rated AAA by
Standard & Poor's, Aaa by Moody's Investor Service, Inc. or deemed equivalent by the sub-adviser. The fund's weighted average
maturity will typically be less than 3 years.
Old Mutual Focused Fund seeks above-average total returns over a 3 to 5 year market cycle. The fund is a non-diversified fund. To
pursue its objective, the fund normally invests at least 80% of its net assets (plus any borrowings for investment purposes) in
equity securities of small-, medium- and large-cap companies. While the fund may invest in companies of any market capitalization,
the fund generally invests in large-cap companies that the fund's sub-adviser believes have sustainable long-term growth prospects
but are currently trading at modest relative valuations.
Old Mutual Heitman REIT Fund seeks to provide investors with a high total return consistent with reasonable risk. To pursue its
objective, the fund normally invests at least 80% of its net assets (plus any borrowings for investment purposes) in equity
securities of companies principally engaged in the real estate industry, including real estate investment trusts ("REITs"). The
fund's sub-adviser considers a company to be principally engaged in the real estate industry if it derives at least 50% of its
revenues from the ownership, construction, management, financing or sale of commercial, industrial or residential real estate or has
at least 50% of its assets in such real estate.
Old Mutual International Equity Fund seeks long-term capital appreciation. To pursue its objective, the fund normally invests at
least 80% of its net assets (plus any borrowings for investment purposes) in equity securities of non-U.S. issuers. The fund
allocates its assets to securities of issuers located in at least 3 non-U.S. countries and may invest in both developed and emerging
markets. Generally, the fund limits its investments in any country to 25% or less of its total assets. However, the fund may invest
more than 25% of its assets in issuers organized in Japan or the United Kingdom, or in securities quoted or denominated in the
Japanese yen, the British pound, or the euro.
Old Mutual Large Cap Growth Fund seeks to provide investors with long-term capital growth. The fund is classified as a
non-diversified fund. To pursue its objective, the fund normally invests at least 80% of its net assets (plus any borrowings for
investment purposes) in equity securities of large-cap companies with favorable growth prospects. For purposes of this fund, large
cap companies are those companies with market capitalizations within the market capitalization range of those companies in the
Russell 1000 Growth Index. Each sub-adviser will invest the portion of the fund it manages in not more than 40 large-cap companies.
Old Mutual Strategic Small Company Fund seeks capital growth. To pursue its objective, the fund normally invests at least 80% of its
net assets (plus any borrowings for investment purposes) in equity securities of small-cap companies. For purposes of this fund,
small cap companies are those companies with market capitalizations similar to the companies in the Russell 2000 Growth Index.
Old Mutual TS&W Mid-Cap Value Fund seeks long-term growth. To pursue its objective, the fund normally invests at least 80% of its
net assets (plus any borrowings for investment purposes) in equity securities of mid-cap companies with value characteristics. For
purposes of this fund, mid-cap companies are those companies with market capitalizations similar to the companies in the Russell
MidCap Value Index.
Old Mutual TS&W Small Cap Value Fund seeks long-term capital growth. To pursue its objective, the fund normally invests at least 80%
of its net assets (plus any borrowings for investment purposes) in equity securities of small-cap companies with value
characteristics. For purposes of this fund, small cap companies are those companies with market capitalizations similar to the
companies in the Russell 2000 Value Index.
In the normal course of business, the Funds may enter into various agreements that provide for general indemnifications. Each Fund's
maximum exposure under these arrangements is unknown as any potential exposure involves future claims that may be made against each
Fund.
28
2. SIGNIFICANT ACCOUNTING POLICIES
____________________________________________________________________________________________________________________________________
The following is a summary of the significant accounting policies followed by the Funds.
Use of Estimates in the Preparation of Financial Statements - The preparation of financial statements, in conformity with accounting
principles generally accepted in the United States of America, 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 increases and decreases in net assets from operations during the reporting period. Actual
results could differ from those estimates.
Security Valuation - Investments in underlying funds are valued at the closing net asset value per share of each underlying fund as
reported on each business day. Investment securities of an underlying fund managed by the Adviser, including securities sold short,
that are listed on a securities exchange, market or automated quotation system and for which market quotations are readily
available, including securities traded over-the-counter ("OTC") (except for securities traded on NASDAQ), are valued at the last
quoted sales price on the principal market on which they are traded at the close of trading on the New York Stock Exchange ("NYSE")
(normally 4:00 p.m., Eastern Time) each day that the NYSE is open (the "Valuation Time"), or, if there is no such reported sale at
the Valuation Time, at the most recent quoted bid price reported by the exchange or the OTC market. For securities traded on NASDAQ,
the NASDAQ Official Closing Price provided by NASDAQ each business day will be used. If such prices are not available, these
securities and unlisted securities for which market quotations are not readily available are valued in accordance with Fair Value
Procedures established by each Board of Trustees of the underlying funds (the "Boards"). The underlying funds use pricing services
to report the market value of securities in the portfolios; if the pricing service is not able to provide a price, or the pricing
service quote of valuation is inaccurate or does not reflect the market value of the security, prices may be obtained through market
quotations from independent broker/dealers. If market quotations from these sources are not readily available, securities are valued
in accordance with Fair Value Procedures established by the Boards. The underlying fund's Fair Value Procedures are implemented
through a Valuation Committee (the "Committee") designated by the Boards. Some of the more common reasons that may necessitate that
a security be valued using Fair Value Procedures include: the security's trading has been halted or suspended; the security has been
de-listed from a national exchange; the security's primary trading market is temporarily closed at a time when, under normal
conditions, it would be open; or the security's primary pricing source is not able or willing to provide a price. When a security is
valued in accordance with the Fair Value Procedures, the Committee will determine the value after taking into consideration relevant
information reasonably available to the Committee. The valuation is assigned to Fair Valued Securities for purposes of calculating
an underlying fund's net asset value ("NAV"). Debt securities (other than short-term obligations), including listed issues, are
valued on the basis of valuations furnished by a pricing service which utilizes electronic data processing techniques to determine
valuations for normal institutional size trading units of debt securities, without exclusive reliance upon exchange or
over-the-counter prices. Short-term obligations with maturities of 60 days or less may be valued at amortized cost, which
approximates market value. Under this valuation method, acquisition discounts and premiums are accreted and amortized ratably to
maturity and are included in interest income.
Foreign securities of an underlying fund managed by the Adviser and traded on the foreign exchanges in the Western Hemisphere are
valued based upon quotations from the principal market in which they are traded before the valuation time and are translated from
the local currency into U.S. dollars using current exchange rates. In addition, if quotations are not readily available, or if the
values have been materially affected by events occurring after the closing of a foreign market, assets may be valued in accordance
with the Fair Value Procedures established by the Boards.
Foreign securities of an underlying fund managed by the Adviser and traded in countries outside the Western Hemisphere are fair
valued daily by utilizing the quotations of an independent pricing service, unless the Adviser determines that use of another
valuation methodology is appropriate. The pricing service uses statistical analyses and quantitative models to adjust local prices
using factors such as subsequent movement and changes in the prices of indexes, securities and exchange rates in other markets in
determining fair value as of the time the underlying funds calculate the NAVs. The fair value of the foreign security is translated
from the local currency into U.S. dollars using current exchange rates.
Options of an underlying fund managed by the Adviser are valued at the last quoted sales price. If there is no such reported sale on
the valuation date, long option positions are valued at the most recent bid price, and short option positions are valued at the most
recent ask price. Futures contracts of an underlying fund managed by the Adviser are valued at the settlement price established each
day by the board of exchange on which they are traded. The daily settlement prices for financial futures are provided by an
independent source.
The Funds are subject to the provisions of Financial Accounting Standards Board ("FASB") Accounting Standards Codification 820-10,
Fair Value Measurements and Disclosures, ("ASC 820-10"). ASC 820-10 establishes a hierarchy that prioritizes the inputs to valuation
techniques giving the highest priority to readily available unadjusted quoted prices in active markets for identical assets (Level 1
measurements) and the lowest priority to unobservable inputs (Level 3 measurements) when market prices are not readily available or
reliable. The inputs used for valuing securities are not necessarily an indication of the risks associated with investing in those
securities. Changes in valuation techniques may result in transfers in or out of an investment's assigned level within the hierarchy
during the reporting period. The aggregate value by input level, as of January 31, 2010, for each Fund's investments is included the
Schedule of Investments.
29
NOTES TO FINANCIAL STATEMENTS - continued
AS OF JANUARY 31, 2010 (UNAUDITED)
Security Transactions and Investment Income - Security transactions are accounted for on the date the securities are purchased or
sold (trade date). Dividend income and distributions to shareholders are recognized on the ex-dividend date; interest income and
expense is recognized on the accrual basis and includes amortization of premiums and accretion of discounts on investments. Non-cash
dividends included in dividend income, if any, are recorded at the fair market value of the securities received. Costs used in
determining realized capital gains and losses on the sale of investment securities are those of the specific securities sold
adjusted for the accretion and amortization of acquisition discounts and premiums during the respective holding periods, if
applicable.
Dividends and Distributions - Dividends from net investment income for the Funds are declared at least annually, if available,
except Old Mutual Asset Allocation Conservative Portfolio and Old Mutual Asset Allocation Balanced Portfolio, for which dividends
are declared at least quarterly, if available. Distributions of net realized capital gains for each Fund are generally made to
shareholders at least annually, if available.
Foreign Currency Conversion - The books and records of the Funds are maintained in U.S. dollars. Foreign currency amounts are
converted into U.S. dollars on the following basis:
(i) market value of investment securities, other assets and liabilities at the current rate of exchange; and
(ii) purchases and sales of investment securities, income and expenses at the relevant rates of exchange prevailing on the
respective dates of such transactions.
The Funds do not isolate that portion of gains and losses on investment securities that is due to changes in the foreign exchange
rates from that which is due to changes in market prices of such securities.
The Funds report gains and losses on foreign currency related transactions as components of realized gains and losses for financial
reporting purposes, whereas such components are treated as ordinary income or loss for Federal income tax purposes.
Other - Expenses that are directly related to one of the Funds are charged directly to that Fund. Other operating expenses are
prorated to the Funds on the basis of relative net assets. Class specific expenses, such as distribution and service fees, are borne
by that class. Income, other expenses and realized and unrealized gains and losses of a Fund are allocated to the respective class
on the basis of the relative net assets each day. Additionally, each Fund, as a shareholder in the underlying funds, will also
indirectly bear its pro rata share of the expenses incurred by the underlying funds. These expenses are not reflected in the
expenses shown in the Statements of Operations and are not included in the ratios to average net assets shown in the Financial
Highlights.
The Funds have an arrangement with the transfer agent, DST Systems, Inc., whereby interest earned on uninvested cash balances is
used to offset a portion of the transfer agent expense. The transfer agent fees shown in the Statements of Operations are in total
and do not reflect the expense reductions, if any, which are shown separately.
The Funds impose a 2% redemption/exchange fee on total redemption proceeds (after applicable deferred sales charges) of any
shareholder redeeming shares (including redemptions by exchange) of the Funds within 10 calendar days of their purchase. The Funds
charge the redemption/exchange fee to discourage market timing by those shareholders initiating redemptions or exchanges to take
advantage of short-term market movements. The redemption fee will be imposed to the extent that the number of Fund shares redeemed
exceeds the number of Fund shares that have been held for more than 10 calendar days. In determining how long shares of the Fund
have been held, shares held by the investor for the longest period of time will be sold first. The Funds will retain the fee by
crediting Paid-in Capital. For the six-month period ended January 31, 2010, there were no material redemption fees collected by the
Funds.
30
3. INVESTMENT ADVISORY FEES, ADMINISTRATIVE FEES AND OTHER TRANSACTIONS WITH AFFILIATES
____________________________________________________________________________________________________________________________________
Investment Adviser - Old Mutual Capital, Inc. is an indirect, wholly owned subsidiary of Old Mutual (US) Holdings Inc. ("OMUSH").
OMUSH is a direct, wholly owned subsidiary of OM Group (UK) Limited, which, in turn, is a direct, wholly owned subsidiary of Old
Mutual plc, a London-Exchange listed international financial services firm. The Funds and the Adviser are parties to an Investment
Advisory Agreement (the "Advisory Agreement"), under which the Adviser is paid a monthly fee that is calculated daily and paid
monthly, at an annual rate based on the average daily net assets of each Fund as follows:
Management Fee Asset Level
____________________________________________________________________________________________________________________________________
Old Mutual Asset Allocation Conservative Portfolio 0.200% Less than $1 billion
0.175% From $1 billion to $2 billion
0.150% From $2 billion to $3 billion
0.125% Greater than $3 billion
Old Mutual Asset Allocation Balanced Portfolio 0.200% Less than $1 billion
0.175% From $1 billion to $2 billion
0.150% From $2 billion to $3 billion
0.125% Greater than $3 billion
Old Mutual Asset Allocation Moderate Growth Portfolio 0.250% Less than $1 billion
0.225% From $1 billion to $2 billion
0.200% From $2 billion to $3 billion
0.175% Greater than $3 billion
Old Mutual Asset Allocation Growth Portfolio 0.250% Less than $1 billion
0.225% From $1 billion to $2 billion
0.200% From $2 billion to $3 billion
0.175% Greater than $3 billion
____________________________________________________________________________________________________________________________________
Expense Limitation Agreements - In the interest of limiting expenses of the Funds, the Adviser has entered into an expense
limitation agreement ("Expense Limitation Agreement") effective January 1, 2009, pursuant to which the Adviser has agreed, in
writing, to waive or limit its fees and to assume other expenses of the Funds to the extent necessary to limit the total annual
expenses (excluding acquired (underlying) fund fees and expenses) to a specified percentage of the Funds' average daily net assets
through the dates specified below.
Institutional Expiration Date
Class A Class C Class Z Class of Expense Limitation
____________________________________________________________________________________________________________________________________
Old Mutual Asset Allocation Conservative Portfolio 0.61% 1.36% 0.36% 0.36% December 31, 2010
Old Mutual Asset Allocation Balanced Portfolio 0.64% 1.39% 0.39% 0.39% December 31, 2010
Old Mutual Asset Allocation Moderate Growth Portfolio 0.57% 1.32% 0.32% 0.32% December 31, 2010
Old Mutual Asset Allocation Growth Portfolio 0.57% 1.32% 0.32% 0.32% December 31, 2010
____________________________________________________________________________________________________________________________________
Reimbursement by the Funds of the advisory fees waived and other expenses paid by the Adviser pursuant to the applicable expense
limitation agreement that expired on December 31, 2008 may be made at a later date when a Fund has reached a sufficient asset size
to permit reimbursement to be made without causing the total annual expense rate of the Fund to exceed the expense limitation.
Consequently, no reimbursement by these Funds will be made unless: (i) the Fund's assets exceed $75 million; (ii) such reimbursement
does not cause the operating expenses of the Fund in the year of reimbursement to exceed the expense limitation in effect in the
year for which fees are being reimbursed; and (iii) the payment of such reimbursement is approved by the Board. Moreover, to the
extent that the Adviser reimburses advisory fees or absorbs operating expenses of a Fund, the Adviser may seek payment of such
amounts within two fiscal years after the fiscal year in which fees were reimbursed or absorbed.
Reimbursement by the Funds of advisory fees waived and other expenses paid by the Adviser pursuant to the current Expense Limitation
Agreement may be made up to three years after the expenses were reimbursed or absorbed if such reimbursement does not cause the
total operating expenses of the Fund in the year of reimbursement to exceed the expense limitation in effect in the year for which
fees are being reimbursed.
31
NOTES TO FINANCIAL STATEMENTS - continued
AS OF JANUARY 31, 2010 (UNAUDITED)
At January 31, 2010, the Adviser may seek reimbursement of previously waived and reimbursed fees as follows (000):
Expires 2010 Expires 2011 Expires 2012 Expires 2013 Total
____________________________________________________________________________________________________________________________________
Old Mutual Asset Allocation Conservative Portfolio $182 $ 98 $ 13 $ 62 $ 355
Old Mutual Asset Allocation Balanced Portfolio 367 155 50 127 699
Old Mutual Asset Allocation Moderate Growth Portfolio 666 336 218 260 1,480
Old Mutual Asset Allocation Growth Portfolio 600 278 120 201 1,199
____________________________________________________________________________________________________________________________________
Sub-Advisory Agreement - The Trust, on behalf of the Funds, and the Adviser have entered into a sub-advisory agreement (the
"Ibbotson Sub-Advisory Agreement") with Ibbotson Associates Advisors, LLC ("Ibbotson"). Ibbotson is a wholly owned subsidiary of
Ibbotson Associates, Inc., which is a wholly owned subsidiary of Morningstar, Inc. For the services provided and expenses incurred
pursuant to the Ibbotson Sub-Advisory Agreement, Ibbotson is entitled to receive from the Adviser a sub-advisory fee with respect to
the average daily net assets of each of the Funds, which is computed and paid monthly at an annual rate equal to the greater of (i)
0.08% for average daily net assets up to $250 million, 0.07% for average daily net assets from $250 million to $500 million, 0.06%
for average daily net assets from $500 million to $750 million, 0.05% for average daily net assets from $750 million to $1 billion,
0.04% for average daily net assets from $1 billion to $2 billion and 0.03% for average daily net assets over $2 billion, or (ii)
$200,000. The Sub-Advisory Agreement obligates Ibbotson to: (i) recommend a continuous investment allocation program for each Fund
in accordance with the Fund's investment objective, policies and limitations; (ii) provide supervision of each Fund's investments;
and (iii) recommend the allocation of the assets of each Fund by specific investment style mandate.
Administrative Services Agreement - The Trust and Old Mutual Fund Services (the "Administrator"), a wholly owned subsidiary of the
Adviser, entered into an Administrative Services Agreement (the "Administrative Agreement"), pursuant to which the Administrator
oversees the administration of the Trust's and each Fund's business and affairs, including regulatory reporting and all necessary
office space, equipment, personnel and facilities, as well as services performed by various third parties. The Administrator is
entitled to a fee from the Trust, which is calculated daily and paid monthly, as follows:
Average Daily Net Assets Annual Fee Rate
________________________________________________________________________________
$0 to $500 million 0.10%
> $500 million up to $1 billion 0.09%
> $1 billion up to $1.5 billion 0.08%
> $1.5 billion 0.07%
________________________________________________________________________________
The Administrative Agreement provides that the Administrator will not be liable for any error of judgment or mistake of law or for
any loss suffered by the Trust in connection with the matters to which the Administrative Agreement relates, except a loss resulting
from willful misfeasance, bad faith or gross negligence on the part of the Administrator in the performance of its duties. The
Administrative Agreement will continue in effect unless terminated by either party upon not less than 90 days' prior written notice
to the other party.
The Bank of New York Mellon ( the "Sub-Administrator") serves as sub-administrator to the Trust. The Sub-Administrator assists the
Administrator in connection with the administration of the business and affairs of the Trust. Pursuant to a sub-administration and
accounting agreement (the "Sub-Administration Agreement") between the Administrator and the Sub-Administrator, the Administrator
pays the Sub-Administrator as follows: annual rates, based on the combined average daily gross assets of the funds within the Trust
and Old Mutual Funds II (the "Old Mutual Complex"), of (1) 0.0475% of the first $6 billion, plus (2) 0.04% of the average daily
gross assets in excess of $6 billion. With regard to the Funds, these fees apply only at the underlying fund level. In addition, the
Administrator pays the Sub-Administrator the following annual fees: (1) $35,000 for each Fund; (2) $3,000 per class in excess of
three classes for each fund in the Old Mutual Complex, and (3) the greater of .01925% based on the combined average daily gross
assets of the Old Mutual Complex or $425,000. Certain minimum fees apply. The Sub-Administration Agreement provides that the
Sub-Administrator will not be liable for any costs, damages, liabilities or claims incurred by the Sub-Administrator except those
arising out of the Sub-Administrator's or its delegee's or agent's (if such delegee or agent is a subsidiary of the
Sub-Administrator) negligence or willful misconduct or the Sub-Administrator's failure to act in good faith. In no event shall the
Sub-Administrator be liable to the Administrator or any third party for special, indirect or consequential damages.
Distribution Agreement - Old Mutual Investment Partners (the "Distributor"), a wholly owned subsidiary of the Adviser, and the Trust
are parties to a distribution agreement (the "Distribution Agreement"), pursuant to which the Distributor serves as principal
underwriter for the Trust's shares. The Distributor receives no compensation for serving in such capacity, except as provided in
separate Distribution Plans and Service Plans.
The Distribution Agreement is renewable annually. The Distribution Agreement may be terminated by the Distributor, by a majority
vote of the Trustees who are not "interested persons" (as defined in the 1940 Act) and have no financial interest in the
Distribution Agreement, or by a majority vote of the outstanding securities of the Trust upon not more than 90 days' written notice
by either party or upon assignment by the Distributor.
32
The Trust has adopted a Distribution Plan for each of Class A and Class C shares pursuant to Rule 12b-1 under the 1940 Act to enable
the Class A and Class C shares of each Fund to directly and indirectly bear certain expenses relating to the distribution of such
shares. The Trust has also adopted a Service Plan to enable the Class A and Class C shares of each Fund to directly and indirectly
bear certain expenses relating to the shareholder servicing and/or personal account maintenance of the holders of such shares. Each
of the Distribution Plans and Service Plans are compensation plans, which means that they compensate the Distributor or third-party
broker-dealer or financial intermediary regardless of the expenses actually incurred by such persons.
Pursuant to the Distribution Plans for Class A and Class C shares, the Trust will pay to the Distributor a monthly fee at an annual
aggregate rate not to exceed (i) 0.25% of the average net asset value of the Class A shares of each Fund and (ii) 0.75% of the
average net asset value of the Class C shares of each Fund, as determined at the close of each business day during the month, which
is to compensate the Distributor for services provided and expenses incurred by it in connection with the offering and sale of Class
A or Class C shares, which may include, without limitation, the payment by the Distributor to investment dealers of commissions on
the sale of Class A or Class C shares, as set forth in the then current prospectus or statement of additional information with
respect to Class A and Class C shares and interest and other financing costs.
The amount of such payments shall be determined by the Trust's disinterested Trustees from time to time. Currently, Class A shares
are not authorized to pay distribution fees and Class C shares are authorized to pay the maximum amount of distribution fees.
Pursuant to the Service Plan for Class A and Class C shares, the Trust will pay to the Distributor or other third-party financial
intermediaries a fee at an annual aggregate rate not to exceed 0.25% of the average net asset value of Class A and Class C shares,
which is for maintaining or improving services provided to shareholders by the Distributor and investment dealers, financial
institutions and 401(k) plan service providers. The amount of such payments shall be determined by the Trust's disinterested
Trustees from time to time.
Currently, both Class A and Class C shares are authorized to pay the maximum amount of service fees.
The Administrator will prepare and deliver written reports to the Board on a regular basis (at least quarterly) setting forth the
payments made pursuant to the Distribution Plans and the Service Plans, and the purposes for which such expenditures were made, as
well as any supplemental reports as the Board may from time to time reasonably request.
Except to the extent that the Administrator, Sub-Administrator, Adviser or sub-advisers may benefit through increased fees from an
increase in the net assets of the Trust which may have resulted in part from the expenditures, no interested person of the Trust nor
any Trustee of the Trust who is not an "interested person" (as defined in the 1940 Act) of the Trust has a direct or indirect
financial interest in the operation of the Distribution or Service Plans or any related agreement.
Of the service and distribution fees the Distributor received for the six-month period ended January 31, 2010, it retained the
following:
Service Fees (000) Distribution Fees (000)
____________________________________________________________________________________________________________________________________
Class A Class C Class C
____________________________________________________________________________________________________________________________________
Old Mutual Asset Allocation Conservative Portfolio $1 $ 5 $16
Old Mutual Asset Allocation Balanced Portfolio 1 10 31
Old Mutual Asset Allocation Moderate Growth Portfolio 2 13 38
Old Mutual Asset Allocation Growth Portfolio 1 8 25
____________________________________________________________________________________________________________________________________
Other Service Providers - The Bank of New York Mellon serves as custodian for each of the Funds.
DST Systems, Inc. ("DST") serves as the transfer agent and dividend disbursing agent of the Funds. Pursuant to an agency agreement
between the Trust and DST, DST also provides call center, correspondence and other shareholder account-related services to the
Funds. From time to time, the Funds may pay amounts to third parties that provide sub-transfer agency and other administrative
services relating to the Fund to persons who beneficially own interests in the Fund.
OMUSH receives an offset of certain recordkeeping fees from the plan sponsors of OMUSH's participant directed 401K, profit sharing
and/or voluntary deferral plans which invest in the Old Mutual Complex (collectively, the "Deferred Plans"). The amount of the fee
offset is based in part on service and/or sub-transfer agency fees received by the plan sponsors from the Old Mutual Funds' Class Z
shares within the Deferred Plans. During the semi-annual period ended January 31, 2010, the amount received by OMUSH for
recordkeeping fee offsets attributable to investments by the Deferred Plans in the Old Mutual Complex was approximately $19,000.
Officers and Trustees of the Funds who are or were officers of the Adviser, Administrator, Sub-Administrator or Distributor received
no compensation from the Funds.
33
NOTES TO FINANCIAL STATEMENTS - continued
AS OF JANUARY 31, 2010 (UNAUDITED)
4. INTERFUND LENDING
____________________________________________________________________________________________________________________________________
Pursuant to resolutions adopted by the Boards of Trustees of the Trust and Old Mutual Funds II (together, the "Trusts"), on behalf
of certain series portfolios of the Trusts (the "OM Funds"), each of the OM Funds may lend an amount up to its prospectus-defined
limitations to other OM Funds. All such lending shall be conducted pursuant to the exemptive order granted by the Securities and
Exchange Commission on August 12, 2003 to the Trusts. The interest rate charged on the loan is the average of the overnight
repurchase agreement rate (highest rate available to the OM Funds from investments in overnight repurchase agreements) and the bank
loan rate (Federal Funds Rate plus 50 basis points). None of the OM Funds may borrow more than 10% of its assets.
The Funds had no outstanding borrowings or loans related to interfund lending at any time during the six-month period ended January
31, 2010.
5. INVESTMENT TRANSACTIONS
____________________________________________________________________________________________________________________________________
The cost of securities purchased and the proceeds from securities sold, other than short-term investments, for the Funds, for the
six-month period ended January 31, 2010 were as follows:
Purchases (000) Sales (000)
____________________________________________________________________________________________________________________________________
Old Mutual Asset Allocation Conservative Portfolio $13,303 $ 18,763
Old Mutual Asset Allocation Balanced Portfolio 27,384 47,330
Old Mutual Asset Allocation Moderate Growth Portfolio 36,828 64,875
Old Mutual Asset Allocation Growth Portfolio 27,257 56,491
____________________________________________________________________________________________________________________________________
6. CAPITAL SHARE TRANSACTIONS
____________________________________________________________________________________________________________________________________
Old Mutual Old Mutual Old Mutual Old Mutual
Asset Allocation Asset Allocation Asset Allocation Asset Allocation
Conservative Balanced Moderate Growth Growth
Portfolio Portfolio Portfolio Portfolio
________________________________________________________________________________________________________________________________________________________
8/1/09 to 8/1/08 to 8/1/09 to 8/1/08 to 8/1/09 to 8/1/08 to 8/1/09 to 8/1/08 to
1/31/10 7/31/09 1/31/10 7/31/09 1/31/10 7/31/09 1/31/10 7/31/09
(Unaudited) (Unaudited) (Unaudited) (Unaudited)
________________________________________________________________________________________________________________________________________________________
Shares Issued and Redeemed (000):
Class A
Shares Issued 172 775 215 968 234 435 191 380
Shares Issued upon Reinvestment of Distributions 32 88 42 284 53 294 33 183
Shares Redeemed (261) (952) (512) (2,510) (426) (2,261) (485) (1,687)
________________________________________________________________________________________________________________________________________________________
Total Class A Share Transactions (57) (89) (255) (1,258) (139) (1,532) (261) (1,124)
________________________________________________________________________________________________________________________________________________________
Class C
Shares Issued 221 1,330 315 1,571 322 1,618 146 921
Shares Issued upon Reinvestment of Distributions 41 119 74 419 87 636 42 362
Shares Redeemed (763) (1,450) (2,004) (4,394) (2,348) (4,870) (1,242) (2,444)
________________________________________________________________________________________________________________________________________________________
Total Class C Share Transactions (501) (1) (1,615) (2,404) (1,939) (2,616) (1,054) (1,161)
________________________________________________________________________________________________________________________________________________________
Class Z
Shares Issued 119 6 15 17 5 1 283 11
Shares Issued upon Reinvestment of Distributions 3 2 2 7 2 6 2 5
Shares Redeemed (25) (43) (1) (17) - - (74) -
________________________________________________________________________________________________________________________________________________________
Total Class Z Share Transactions 97 (35) 16 7 7 7 211 16
________________________________________________________________________________________________________________________________________________________
Institutional Class
Shares Issued 53 687 3 165 3 373 69 731
Shares Issued upon Reinvestment of Distributions 16 16 4 48 18 79 44 162
Shares Redeemed (155) (724) (222) (545) (909) (300) (2,077) (828)
________________________________________________________________________________________________________________________________________________________
Total Institutional Class Share Transactions (86) (21) (215) (332) (888) 152 (1,964) 65
________________________________________________________________________________________________________________________________________________________
Net Increase in Shares Outstanding (547) (146) (2,069) (3,987) (2,959) (3,989) (3,068) (2,204)
________________________________________________________________________________________________________________________________________________________
Amounts designated as "-" are either 0 or have been rounded to 0.
34
7. AFFILIATED FUND OF FUNDS TRANSACTIONS
____________________________________________________________________________________________________________________________________
The Funds invest in certain mutual funds within the Old Mutual Complex, of which certain funds may be deemed to be under common
control because they may share the same Board. A Fund's investment in any of the underlying funds may exceed 25% of the underlying
fund's total assets. The financial statements for each of the underlying funds that are part of the Old Mutual Complex may be
obtained at oldmutualfunds.com. A summary of the Funds' transactions in affiliated underlying funds during the six-month period
ended January 31, 2010 follows:
Old Mutual Asset Allocation Conservative Portfolio (000):
Unrealized Net
Purchases Proceeds Appreciation Value at Dividend Realized
Underlying Fund at Cost from Sales (Depreciation) 01/31/10 Income Gain (Loss)
____________________________________________________________________________________________________________________________________
Old Mutual Advantage Growth Fund $ 1 $ 811 $ - $ - $ 1 $ (289)
Old Mutual Analytic US Long/Short Fund 12 363 (32) 853 12 (138)
Old Mutual Barrow Hanley Core Bond Fund 5,515 3,777 545 17,669 367 539
Old Mutual Barrow Hanley Value Fund 284 1,299 232 2,976 34 (555)
Old Mutual Copper Rock Emerging Growth Fund 639 18 (2) 620 - 1
Old Mutual Dwight High Yield Fund 368 2,286 472 3,581 311 150
Old Mutual Dwight Intermediate Fixed Income Fund 3,160 1,044 95 7,212 114 67
Old Mutual Dwight Short Term Fixed Income Fund 1,074 1,696 117 5,202 73 9
Old Mutual Focused Fund 114 160 166 1,578 13 (29)
Old Mutual Growth Fund 42 642 - - 42 95
Old Mutual International Bond Fund 245 4,572 - - 170 (431)
Old Mutual International Equity Fund 59 579 (851) 2,804 60 (381)
Old Mutual Large Cap Growth Fund 1,424 355 276 2,024 12 12
Old Mutual TS&W Mid-Cap Fund 15 1,115 (78) 2,369 15 (293)
Old Mutual TS&W Small Cap Value Fund 351 46 14 322 1 3
____________________________________________________________________________________________________________________________________
Total $13,303 $18,763 $ 954 $47,210 $1,225 $(1,240)
____________________________________________________________________________________________________________________________________
Old Mutual Asset Allocation Balanced Portfolio (000):
Unrealized Net
Purchases Proceeds Appreciation Value at Dividend Realized
Underlying Fund at Cost from Sales (Depreciation) 01/31/10 Income Gain (Loss)
____________________________________________________________________________________________________________________________________
Old Mutual Advantage Growth Fund $ 8 $ 7,382 $ - $ - $ 8 $ (3,358)
Old Mutual Analytic US Long/Short Fund 41 3,257 (1,043) 2,665 41 (1,269)
Old Mutual Barrow Hanley Core Bond Fund 1,969 1,523 997 22,101 482 492
Old Mutual Barrow Hanley Value Fund 3,131 3,935 197 12,476 130 (2,382)
Old Mutual Copper Rock Emerging Growth Fund 1,450 39 45 1,459 - 3
Old Mutual Discover Value Fund - 2,172 - - - 642
Old Mutual Dwight High Yield Fund 406 2,821 536 3,882 343 232
Old Mutual Dwight Intermediate Fixed Income Fund 806 457 132 5,267 100 46
Old Mutual Dwight Short Term Fixed Income Fund 4,969 1,336 33 4,207 33 6
Old Mutual Focused Fund 1,684 676 (694) 5,323 34 (157)
Old Mutual Growth Fund 38 821 - - 39 130
Old Mutual Heitman Global Real Estate Securities Fund 256 1,492 - - 256 (593)
Old Mutual Heitman REIT Fund 1,435 146 (33) 1,899 9 (79)
Old Mutual International Bond Fund 297 5,711 - - 206 (550)
Old Mutual International Equity Fund 241 5,863 (3,616) 11,428 241 (3,745)
Old Mutual Large Cap Growth Fund 8,422 3,680 474 6,679 39 136
Old Mutual Strategic Small Company Fund 3 1,544 (265) 689 3 (634)
Old Mutual TS&W Mid-Cap Value Fund 39 1,600 (1,478) 6,464 40 (421)
Old Mutual TS&W Small Cap Value Fund 2,189 2,875 523 5,431 17 76
____________________________________________________________________________________________________________________________________
Total $27,384 $47,330 $(4,192) $89,970 $2,021 $(11,425)
____________________________________________________________________________________________________________________________________
35
NOTES TO FINANCIAL STATEMENTS - continued
AS OF JANUARY 31, 2010 (UNAUDITED)
Old Mutual Asset Allocation Moderate Growth Portfolio (000):
Unrealized Net
Purchases Proceeds Appreciation Value at Dividend Realized
Underlying Fund at Cost from Sales (Depreciation) 01/31/10 Income Gain (Loss)
____________________________________________________________________________________________________________________________________
Old Mutual Advantage Growth Fund $ 11 $10,072 $ - $ - $ 11 $ (5,101)
Old Mutual Analytic US Long/Short Fund 75 3,362 (2,045) 5,071 75 (1,291)
Old Mutual Barrow Hanley Core Bond Fund 4,310 1,426 572 16,579 342 348
Old Mutual Barrow Hanley Value Fund 3,230 6,470 353 16,340 180 (3,842)
Old Mutual Copper Rock Emerging Growth Fund 2,120 148 63 2,047 - 12
Old Mutual Discover Value Fund - 3,912 - - - 1,213
Old Mutual Dwight High Yield Fund 36 1,572 - - 36 128
Old Mutual Dwight Intermediate Fixed Income Fund 1,691 249 15 1,992 21 16
Old Mutual Dwight Short Term Fixed Income Fund 1,103 439 - 662 3 (2)
Old Mutual Focused Fund 1,902 1,528 (1,052) 7,401 52 (348)
Old Mutual Growth Fund 20 1,208 - - 20 211
Old Mutual Heitman Global Real Estate Securities Fund 638 3,672 - - 638 (1,509)
Old Mutual Heitman REIT Fund 3,576 443 156 4,279 19 (172)
Old Mutual International Bond Fund 192 3,745 - - 133 (374)
Old Mutual International Equity Fund 425 10,859 (8,619) 19,207 425 (6,981)
Old Mutual Large Cap Growth Fund 13,485 4,665 723 10,619 63 166
Old Mutual Strategic Small Company Fund 4 4,722 (267) 755 4 (1,755)
Old Mutual TS&W Mid-Cap Value Fund 62 2,495 (2,306) 9,387 62 (611)
Old Mutual TS&W Small Cap Value Fund 3,948 3,888 1,001 10,986 35 128
____________________________________________________________________________________________________________________________________
Total $36,828 $64,875 $(11,406) $105,325 $2,119 $(19,764)
____________________________________________________________________________________________________________________________________
Old Mutual Asset Allocation Growth Portfolio (000):
Unrealized Net
Purchases Proceeds Appreciation Value at Dividend Realized
Underlying Fund at Cost from Sales (Depreciation) 01/31/10 Income Gain (Loss)
____________________________________________________________________________________________________________________________________
Old Mutual Advantage Growth Fund $ 12 $10,871 $ - $ - $ 12 $ (5,365)
Old Mutual Analytic US Long/Short Fund 51 2,866 (1,168) 2,890 51 (1,066)
Old Mutual Barrow Hanley Value Fund 451 6,334 (2,053) 11,751 149 (3,519)
Old Mutual Copper Rock Emerging Growth Fund 2,802 634 48 2,265 - 49
Old Mutual Discover Value Fund - 2,902 - - - 232
Old Mutual Focused Fund 823 2,077 (714) 4,700 46 (434)
Old Mutual Growth Fund 5 167 - - 5 34
Old Mutual Heitman Global Real Estate Securities Fund 791 4,538 - - 791 (1,829)
Old Mutual Heitman REIT Fund 4,440 1,858 240 5,007 32 (719)
Old Mutual International Equity Fund 1,128 9,023 (6,493) 16,472 424 (5,832)
Old Mutual Large Cap Growth Fund 11,551 4,500 450 7,855 52 354
Old Mutual Strategic Small Company Fund 5 3,441 (312) 950 5 (1,186)
Old Mutual TS&W Mid-Cap Value Fund 2,271 2,502 (930) 6,603 48 (558)
Old Mutual TS&W Small Cap Value Fund 2,927 4,778 616 6,304 25 272
____________________________________________________________________________________________________________________________________
Total $27,257 $56,491 $(10,316) $64,797 $1,640 $(19,567)
____________________________________________________________________________________________________________________________________
Amounts designated as "-" are either $0 or have been rounded to $0.
36
8. FEDERAL TAX INFORMATION
____________________________________________________________________________________________________________________________________
Each Fund has qualified and intends to continue to qualify as a regulated investment company under Subchapter M of the Internal
Revenue Code and to distribute substantially all of its taxable income and net capital gains. Accordingly, no provision has been
made for Federal income taxes.
The Funds are subject to the provisions of FASB Accounting Standards Codification 740-10 ("ASC 740-10"), Income Taxes. ASC 740-10
requires an evaluation of tax positions taken (or expected to be taken) in the course of preparing the Fund's tax returns to
determine whether these positions meet a "more-likely-than-not" standard that based on the technical merits have a more than fifty
percent likelihood of being sustained by a taxing authority upon examination. A tax position that meets the "more-likely-than-not"
recognition threshold is measured to determine the amount of benefit to recognize in the financial statements. The Funds recognize
interest and penalties, if any, related to unrecognized tax benefits as income tax expense in the Statements of Operations.
ASC 740-10 requires management of the Funds to analyze all open tax years, fiscal years 2006 - 2009 as defined by IRS statute of
limitations, for all major jurisdictions, including federal tax authorities and certain state tax authorities. As of and during the
six-month period ended January 31, 2010, the Funds did not have a liability for any unrecognized tax benefits. The Funds have no
examination in progress and are not aware of any tax positions for which it is reasonably possible that the total amounts of
unrecognized tax benefits will significantly change in the next twelve months.
Dividends from net investment income and distributions from net realized capital gains are determined in accordance with U.S.
Federal income tax regulations, which may differ from those amounts determined under accounting principles generally accepted in the
United States of America. These book/tax differences are either temporary or permanent in nature. To the extent these differences
are permanent, they are charged or credited to Paid-in Capital or accumulated net realized gain, as appropriate, in the period that
the differences arise.
Accordingly, the following permanent differences as of July 31, 2009, primarily attributable to reclassifications of capital
distributions received from underlying funds for tax purposes, are not available to offset future income, were reclassified to the
following accounts.
Increase/(Decrease) Increase/(Decrease)
Undistributed Accumulated
Net Investment Net Realized
Income Gain
(000) (000)
____________________________________________________________________________________________________________________________________
Old Mutual Asset Allocation Conservative Portfolio $362 $(362)
Old Mutual Asset Allocation Balanced Portfolio 645 (645)
Old Mutual Asset Allocation Moderate Growth Portfolio 341 (341)
____________________________________________________________________________________________________________________________________
The tax character of dividends and distributions declared during the year or periods ended July 31, 2009 and 2008 were as follows:
Ordinary Long Term
Income Capital Gain Total
(000) (000) (000)
____________________________________________________________________________________________________________________________________
Old Mutual Asset Allocation Conservative Portfolio
2009 $ 2,678 $ 669 $ 3,347
2008 1,775 670 2,445
Old Mutual Asset Allocation Balanced Portfolio
2009 6,147 3,748 9,895
2008 8,714 3,306 12,020
Old Mutual Asset Allocation Moderate Growth Portfolio
2009 4,320 8,051 12,371
2008 11,047 4,608 15,655
Old Mutual Asset Allocation Growth Portfolio
2009 1,501 5,562 7,063
2008 8,380 3,120 11,500
____________________________________________________________________________________________________________________________________
37
NOTES TO FINANCIAL STATEMENTS - concluded
AS OF JANUARY 31, 2010 (UNAUDITED)
As of July 31, 2009, the components of Distributable Earnings/(Accumulated Losses) were as follows:
Undistributed Undistributed Post Unrealized Other
Ordinary Long Term Capital Loss October Appreciation/ Temporary
Income Capital Gain Carryforwards Losses Depreciation Differences Total
(000) (000) (000) (000) (000) (000) (000)
____________________________________________________________________________________________________________________________________
Old Mutual Asset Allocation
Conservative Portfolio $182 $- $ - $ (1,896) $ (2,653) $(1) $ (4,368)
Old Mutual Asset Allocation
Balanced Portfolio 209 - (1,664) (13,670) (20,147) - (35,272)
Old Mutual Asset Allocation
Moderate Growth Portfolio 709 - (5,460) (20,932) (34,844) (1) (60,528)
Old Mutual Asset Allocation
Growth Portfolio 722 - (5,162) (15,052) (34,539) (1) (54,032)
____________________________________________________________________________________________________________________________________
Amounts designated as "-" are either $0 or have been rounded to $0.
Post-October losses represent losses realized on investment transactions from November 1, 2008 through July 31, 2009 that, in
accordance with Federal income tax regulations, the Funds may elect to defer and treat as having arisen in the following fiscal
year. For Federal income tax purposes, capital loss carryforwards may be carried forward and applied against future capital gains
for a period of up to eight years to the extent allowed by the Internal Revenue Code.
As of July 31, 2009, the following Funds had capital loss carry forwards available to offset future realized gains through the
indicated expiration dates:
2017 Total
(000) (000)
____________________________________________________________________________________________________________________________________
Old Mutual Asset Allocation Balanced Portfolio $1,664 $1,664
Old Mutual Asset Allocation Moderate Growth Portfolio 5,460 5,460
Old Mutual Asset Allocation Growth Portfolio 5,162 5,162
____________________________________________________________________________________________________________________________________
The Federal tax cost, aggregate gross unrealized appreciation and depreciation of investments held by each Fund at January 31, 2010
were as follows:
Net
Unrealized
Federal Tax Unrealized Unrealized Appreciation/
Cost Appreciation Depreciation Depreciation
(000) (000) (000) (000)
____________________________________________________________________________________________________________________________________
Old Mutual Asset Allocation Conservative Portfolio $ 46,734 $1,917 $ (963) $ 954
Old Mutual Asset Allocation Balanced Portfolio 95,076 2,937 (7,129) (4,192)
Old Mutual Asset Allocation Moderate Growth Portfolio 117,515 2,883 (14,289) (11,406)
Old Mutual Asset Allocation Growth Portfolio 75,682 1,354 (11,670) (10,316)
____________________________________________________________________________________________________________________________________
9. SUBSEQUENT EVENTS
____________________________________________________________________________________________________________________________________
In accordance with the provisions set forth in FASB Accounting Standards Codification 855-10 Subsequent Events, the Adviser has
evaluated the possibility of subsequent events existing in the Funds' financial statements and has determined that there are no
material events that would require disclosure in the Funds' financial statements.
38
PROXY VOTING AND PORTFOLIO HOLDINGS (Unaudited)
Proxy Voting
A description of the guidelines that the Trust uses to determine how to vote proxies relating to portfolio securities is available
(i) without charge, upon request, by calling toll-free at 888.772.2888; (ii) on the Trust's website at oldmutualfunds.com; and (iii)
on the SEC's website at http://www.sec.gov.
Information about how the Funds voted proxies relating to portfolio securities for the 12-month period ended June 30, 2009 is
available on the Trust's website at oldmutualfunds.com and on the SEC's website at http://www.sec.gov.
Portfolio Holdings
The Trust files a complete schedule of portfolio holdings with the SEC for the first and third quarters of its fiscal year on Form
N-Q. The Trust's Forms N-Q are available on the SEC's website at http://www.sec.gov, or may be reviewed and copied at the SEC's
Public Reference Room in Washington D.C. Information on the operation of the Public Reference Room may be obtained by calling
1-800-SEC-0330 toll-free.
39
FUND EXPENSES EXAMPLE (Unaudited)
Six Month Hypothetical Expense Example - January 31, 2010
Example. As a shareholder of a Fund you may pay two types of fees: transaction fees and fund-related fees. Transaction fees may
include transaction costs, including sales charges (loads) on purchase payments, redemption fees, and exchange fees. Fund-related
fees may include ongoing expenses, including management fees, distribution and/or service fees, and other fund expenses, which are
indirectly paid by shareholders and affect your investment return.
This Example is intended to help you understand your ongoing costs (in dollars) of investing in the Funds and to compare these costs
with the ongoing costs of investing in other mutual funds. This Example is based on an investment of $1,000 invested at the
beginning of the period and held for the six-month period ended January 31, 2010.
Actual Expenses. The first line for each share class in the following table provides information about actual account values and
actual expenses. The Example includes, but is not limited to, management fees, 12b-1 fees, fund accounting, custody and transfer
agent fees. However, the Example does not include client specific fees, such as the $10.00 fee charged to IRA accounts, or the
$10.00 fee charged for wire redemptions. The Example also does not include portfolio trading commissions and related trading
expenses. You may use this information, together with the amount you invested, to estimate the expenses that you paid over the
period. Simply divide your account value by $1,000 (for example, an $8,600 account value divided by $1,000 = 8.6), then multiply the
result by the number in the first line for each share class under the heading entitled "Expenses Paid During Six Month Period" to
estimate the expenses you paid on your account during this period.
Hypothetical Example for Comparison Purposes. The second line for each share class in the table provides information about
hypothetical account values and hypothetical expenses based on each Fund's actual expense ratio and an assumed rate of return of 5%
per year before expenses, which is not the Fund's actual return. The hypothetical account values and expenses may not be used to
estimate the actual ending account balance or expenses you paid for the period. You may use this information to compare the ongoing
costs of investing in each Fund and other funds. To do so, compare this 5% hypothetical example with the 5% hypothetical examples
that appear in the shareholder reports of the other funds. Please note that the expenses shown in the table are meant to highlight
your ongoing costs only and do not reflect any transactional costs, such as sales charges (loads), redemption fees, or exchange
fees. Therefore, this information is useful in comparing ongoing costs only, and will not help you determine the relative total
costs of owning different funds. In addition, if these transactional costs were included, your costs would have been higher.
Annualized Expenses Annualize d Expenses
Beginning Ending Expense Paid Beginning Ending Expense Paid
Account Account Ratios During Account Account Ratios During
Value Value for the Six Six Month Value Value for the Six Six Month
8/01/09 1/31/10 Month Period Period* 8/01/09 1/31/10 Month Period Period*
_________________________________________________________________________________________ _________________________________________________________________________________________
Old Mutual Asset Allocation Conservative Portfolio - Class A Old Mutual Asset Allocation Balance Portfolio - Class Z
_________________________________________________________________________________________ _________________________________________________________________________________________
Actual Fund Return $1,000.00 $1,066.90 0.61% $3.18 Actual Fund Return $1,000.00 $1,075.00 0.39% $2.04
Hypothetical 5% Return 1,000.00 1,025.11 0.61 3.11 Hypothetical 5% Return 1,000.00 1,025.12 0.39 1.99
_________________________________________________________________________________________ _________________________________________________________________________________________
Old Mutual Asset Allocation Conservative Portfolio - Class C Old Mutual Asset Allocation Balance Portfolio - Institutional Class
_________________________________________________________________________________________ _________________________________________________________________________________________
Actual Fund Return 1,000.00 1,063.00 1.36 7.07 Actual Fund Return 1,000.00 1,076.10 0.39 2.04
Hypothetical 5% Return 1,000.00 1,025.07 1.36 6.94 Hypothetical 5% Return 1,000.00 1,023.18 0.39 1.99
_________________________________________________________________________________________ _________________________________________________________________________________________
Old Mutual Asset Allocation Conservative Portfolio - Class Z Old Mutual Asset Allocation Moderate Growth Portfolio - Class A
_________________________________________________________________________________________ _________________________________________________________________________________________
Actual Fund Return 1,000.00 1,068.10 0.36 1.88 Actual Fund Return 1,000.00 1,078.20 0.57 2.99
Hypothetical 5% Return 1,000.00 1,025.12 0.36 1.84 Hypothetical 5% Return 1,000.00 1,025.11 0.57 2.91
_________________________________________________________________________________________ _________________________________________________________________________________________
Old Mutual Asset Allocation Conservative Portfolio - Institutional Class Old Mutual Asset Allocation Moderate Growth Portfolio - Class C
_________________________________________________________________________________________ _________________________________________________________________________________________
Actual Fund Return 1,000.00 1,068.10 0.36 1.88 Actual Fund Return 1,000.00 1,074.20 1.32 6.90
Hypothetical 5% Return 1,000.00 1,023.33 0.36 1.84 Hypothetical 5% Return 1,000.00 1,025.07 1.32 6.74
_________________________________________________________________________________________ _________________________________________________________________________________________
Old Mutual Asset Allocation Balance Portfolio - Class A Old Mutual Asset Allocation Moderate Growth Portfolio - Class Z
_________________________________________________________________________________________ _________________________________________________________________________________________
Actual Fund Return 1,000.00 1,074.90 0.64 3.35 Actual Fund Return 1,000.00 1,079.80 0.32 1.68
Hypothetical 5% Return 1,000.00 1,025.10 0.64 3.27 Hypothetical 5% Return 1,000.00 1,025.12 0.32 1.63
_________________________________________________________________________________________ _________________________________________________________________________________________
Old Mutual Asset Allocation Balance Portfolio - Class C Old Mutual Asset Allocation Moderate Growth Portfolio - Institutional Class
_________________________________________________________________________________________ _________________________________________________________________________________________
Actual Fund Return 1,000.00 1,070.90 1.39 7.26 Actual Fund Return 1,000.00 1,080.10 0.32 1.68
Hypothetical 5% Return 1,000.00 1,025.07 1.39 7.09 Hypothetical 5% Return 1,000.00 1,023.53 0.32 1.63
_________________________________________________________________________________________ _________________________________________________________________________________________
40
Annualized Expenses
Beginning Ending Expense Paid
Account Account Ratios During
Value Value for the Six Six Month
8/01/09 1/31/10 Month Period Period*
_________________________________________________________________________________________
Old Mutual Asset Allocation Growth Portfolio - Class A
_________________________________________________________________________________________
Actual Fund Return $1,000.00 $1,089.00 0.57% $3.00
Hypothetical 5% Return 1,000.00 1,025.11 0.57 2.91
_________________________________________________________________________________________
Old Mutual Asset Allocation Growth Portfolio - Class C
_________________________________________________________________________________________
Actual Fund Return 1,000.00 1,084.90 1.32 6.94
Hypothetical 5% Return 1,000.00 1,025.07 1.32 6.74
_________________________________________________________________________________________
Old Mutual Asset Allocation Growth Portfolio - Class Z
_________________________________________________________________________________________
Actual Fund Return 1,000.00 1,091.40 0.32 1.69
Hypothetical 5% Return 1,000.00 1,025.12 0.32 1.63
_________________________________________________________________________________________
Old Mutual Asset Allocation Growth Portfolio - Institutional Class
_________________________________________________________________________________________
Actual Fund Return 1,000.00 1,090.30 0.32 1.69
Hypothetical 5% Return 1,000.00 1,023.53 0.32 1.63
_________________________________________________________________________________________
* Expenses are equal to the Fund's annualized expense ratio multiplied by the
average account value over the period, multiplied by 184/365 (to reflect the
one-half year period).
41
FOR MORE INFORMATION
For investors who want more information about Old Mutual Funds I, please contact us at:
| By Telephone:
|
| 888.772.2888
|
| By Mail:
|
| Old Mutual Funds I
| P.O. Box 219534
| Kansas City, Missouri 64121-9534
|
| Via the Internet:
|
| oldmutualfunds.com
This semi-annual report is intended for the information of Old Mutual Funds I
shareholders, but may be used by prospective investors when preceded or
accompanied by a current prospectus. You may obtain a copy of the prospectus,
which contains important information about the objectives, risks, share
classes, charges and expenses of Old Mutual Funds I, by visiting
oldmutualfunds.com or by calling 888.772.2888. Please read the prospectus
carefully before investing.
[OLD MUTUAL LOGO]
Funds distributed by Old Mutual Investment Partners
R-10-014 03/2010
[OLD MUTUAL LOGO]
Funds I
Old Mutual Funds I
SEMI-ANNUAL
REPORT
January 31, 2010
Old Mutual Analytic Fund
Old Mutual Copper Rock Emerging Growth Fund
Old Mutual International Equity Fund
TABLE OF CONTENTS
About This Report 1
Message to Shareholders 3
Management Discussion of Fund Performance
and Schedules of Investments
Old Mutual Analytic Fund
Class A (ANAEX), Class C (ANCEX), Class Z (ANDEX), Institutional Class (ANIEX) 4
Old Mutual Copper Rock Emerging Growth Fund
Class A (OMARX), Class Z (OMZRX), Institutional Class (OMIRX) 15
Old Mutual International Equity Fund
Class A (OMXAX), Class Z (OMXZX), Institutional Class (OMXIX) 21
Statements of Assets & Liabilities 30
Statements of Operations 31
Statements of Changes in Net Assets 32
Statement of Cash Flows 34
Financial Highlights 35
Notes to Financial Statements 39
Proxy Voting and Portfolio Holdings 49
Fund Expenses Example 50
ABOUT THIS REPORT
HISTORICAL RETURNS
____________________________________________________________________________________________________________________________________
All total returns mentioned in this report account for the change in a Fund's per-share price and the reinvestment of any dividends
and capital gain distributions. If your account is set up to receive Fund dividends and distributions in cash rather than reinvest
them, your actual return may differ from these figures. The Funds' performance results do not reflect the deduction of taxes that a
shareholder would pay on Fund distributions or on the redemption of Fund shares.
Past performance does not guarantee future results. Investment return and principal value will fluctuate so that an investor's
shares, when redeemed, may be worth more or less than their original cost. Performance results represent past performance, and
current performance may be higher or lower. Please call toll-free at 888-772-2888 or visit oldmutualfunds.com for performance
results current to the most recent month-end.
Performance results for short periods of time may not be representative of longer-term results. Performance without load assumes
that no front-end or contingent deferred sales charge applied or the investment was not redeemed. Performance with load assumes that
a front-end or contingent deferred sales charge applied to the extent applicable. Each of the Funds offers Class A, Class Z and
Institutional Class shares. The Old Mutual Analytic Fund also offers Class C shares. Class A shares have a current maximum up-front
sales charge of 5.75% and are subject to an annual service fee of 0.25%. Class C shares are subject to aggregate annual distribution
and service fees of 1.00% and will be subject to a contingent deferred sales charge of 1.00% if redeemed within the first 12 months
of purchase. Class Z and Institutional Class shares are only available to eligible shareholders. The returns for certain periods may
reflect fee waivers and/or reimbursements in effect for that period; absent fee waivers and reimbursements, performance would have
been lower.
FUND DATA
____________________________________________________________________________________________________________________________________
This report reflects views, opinions and Fund holdings as of January 31, 2010, the end of the report period, and these views and
opinions are subject to change. The information is not a complete analysis of every aspect of any sector, industry, security or of
the Funds. Opinions and forecasts regarding industries, companies and/or themes and Fund composition and holdings, are subject to
change at any time based on market and other conditions, and should not be construed as a recommendation of any specific security or
as investment advice. Percentage holdings as of January 31, 2010 are included in each Fund's Schedule of Investments. There is no
assurance that the securities purchased will remain in a Fund or that securities sold have not been repurchased.
There are risks associated with mutual fund investing, including the risk of loss of principal. There is no assurance that the
investment process will consistently lead to successful results. There are also risks associated with small- and mid-cap investing,
including limited product lines, less liquidity and small market share. Investments in foreign securities may entail unique risks,
including political, market and currency risks. An investment in a Fund is not a bank deposit. It is not insured or guaranteed by
the Federal Deposit Insurance Corporation or any other government agency.
Certain Funds utilize call options, short selling and derivatives as part of their investment strategy. Call options involve certain
risks, such as limited gains and lack of liquidity of the underlying securities, and are not suitable for all investors. There are
risks associated with short selling, including the risk that a Fund may have to cover the short position at a higher price than the
short price, resulting in a loss. A Fund's loss on a short sale is potentially unlimited as a loss occurs when the value of a
security sold short increases. By engaging in certain derivative strategies or investing the proceeds received from selling
securities short, a Fund is employing leverage, which creates special risks. The use of leverage may increase the Fund's exposure to
long equity positions and make any change in the Fund's net asset value greater than without the use of leverage, which could result
in increased volatility of returns. Derivatives are often more volatile than other investments and may magnify a Fund's gains or
losses. A Fund could be negatively affected if the change in market value of the securities fails to correlate with the value of the
derivatives purchased or sold.
1
ABOUT THIS REPORT - concluded
COMPARATIVE INDEXES
____________________________________________________________________________________________________________________________________
The comparative indexes discussed in this report are meant to provide a basis for judging the Funds' performance against specific
benchmarks. Each index shown accounts for both changes in security price and reinvestment of dividends and distributions, but does
not reflect the cost of managing a mutual fund. The total return figures for the Morgan Stanley Capital International ("MSCI")
EAFE® Index assumes change in security prices and the deduction of local taxes. The Funds may significantly differ in holdings and
composition from an index. Individuals cannot invest directly in an index.
Indexes:
Barclays Capital U.S. Aggregate Index
The unmanaged Barclays Capital U.S. Aggregate Index is a widely recognized measure of the aggregate bond market. The unmanaged index
is market value-weighted inclusive of accrued interest.
MSCI EAFE® Index
The unmanaged MSCI EAFE® Index is a market capitalization-weighted index designed to measure the equity market performance of
developed markets, excluding the United States and Canada. As of May 2009, the MSCI EAFE Index consisted of the following 21
developed market country indexes: Australia, Austria, Belgium, Denmark, Finland, France, Germany, Greece, Hong Kong, Ireland, Italy,
Japan, the Netherlands, New Zealand, Norway, Portugal, Singapore, Spain, Sweden, Switzerland, and the United Kingdom.
Russell 2500™ Growth Index
The Russell 2500™ Growth Index measures the performance of the small to mid-cap growth segment of the U.S. equity universe. It
includes those Russell 2500™ Index companies with higher price-to-book ratios and higher forecasted growth values.
Standard & Poor's 500 Index
The unmanaged Standard & Poor's 500 ("S&P 500") Index is a market value-weighted index of large-cap common stocks considered
representative of the broad market.
Index returns and statistical data included in this report are provided by Bloomberg and FactSet.
2
MESSAGE TO SHAREHOLDERS
Dear Shareholder:
The six-month period ended January 31, 2010 saw a continuation of the market rally that began in mid-March 2009, during which
investors focused on the least expensive, riskiest, lowest quality stocks, as they sought bargains in anticipation of an economic
and financial market rebound. The market later rose dramatically, as signs of global economic recovery became more abundant,
corporate profits exceeded investors' expectations, and the low-quality focus began to abate in October 2009. Investors shifted to
earnings as a key driver of stock attractiveness. Risk conditions began to stabilize under this renewed attention to fundamentals,
supporting good stock returns through December 2009. All of the major asset classes were up between August 1, 2009 and January 31,
2010. During this period the S&P 500 Index returned 9.87%, while the MSCI EAFE Index returned 6.93% over this same period. From a
bond perspective, the Barclays Capital U.S. Aggregate Index was up 3.87%. The S&P 500's climb stopped, however, during the final
month of the period, due to investors seeking safer investments as the debt crisis in Greece and uncertainty around U.S. financial
reforms rattled investor confidence.
Many of the sub-advisers believe that global economic recovery will continue to be subdued as lending growth remains restricted in
most economies, and that a key source of global economic recovery will likely be the emerging markets which are experiencing good
growth that is likely to be sustained. Recent indications show that investors are returning to a more typical focus on the objective
fundamentals of stocks, whereby data such as earnings are driving decision making, as opposed to other forms of sentiment. While the
sub-advisers expect there to be continued moderate market volatility over the near-term, they believe markets will begin normalizing
overall.
As always, we are grateful for your support and will continue to work diligently to enhance your experience as an investor in the
Old Mutual Funds I portfolios. Please do not hesitate to contact us if there is anything we can do to better serve you. Feel free to
contact me directly at President@oldmutualcapital.com, or please see the back cover of this report for other contact information.
Sincerely,
/s/ Julian F. Sluyters
Julian F. Sluyters
President
Old Mutual Funds I
3
OLD MUTUAL ANALYTIC FUND
____________________________________________________________________________________________________________________________________
MANAGEMENT OVERVIEW (UNAUDITED)
Sub-Adviser: Analytic Investors, LLC
Performance Highlights
o For the six-month period ended January 31, 2010, the Old Mutual Analytic Fund (the "Fund") underperformed its benchmark, the
S&P 500 Index. The Fund's Class A shares posted a 0.58% return at net asset value versus a 9.87% return for the benchmark.
o Sectors that contributed to performance included health care, materials and financials. Industrials, information technology and
energy were among the sectors that detracted from performance.
o Long positions in AmerisourceBergen, Sysco and Cardinal Health were among the top contributors for the period.
o Long positions in Northern Trust (no longer a Fund holding) and Murphy Oil and a short position in Liberty Media were among the
top detractors for the period.
Q. How did the Fund perform relative to its benchmark?
A. For the six-month period ended January 31, 2010, the Old Mutual Analytic Fund (the "Fund") underperformed its benchmark, the
S&P 500 Index. The Fund's Class A shares posted a 0.58% return at net asset value versus a 9.87% return for the benchmark.
Performance for all share classes can be found on page 6.
Q. What investment environment did the Fund face during the past period?
A. Stock markets around the world rose during most of the period. In the beginning of the period, investors favored lower quality
stocks with high betas and low momentum. Around the middle of the period, equity prices began to fall due to weak U.S.
macroeconomic reports that left investors uncertain about the strength of the economic recovery. Equity prices quickly rallied,
however, due to positive economic news that reassured investors that the recovery was still intact. Toward the end of the
period, the market began to see evidence that the recession may be coming to a close. The S&P 500 Index's climb stopped,
however, during the final month of the period, due to investors seeking safer investments as the debt crisis in Greece and
uncertainty around U.S. financial reforms rattled investor confidence.
Q. Which market factors influenced the Fund's relative performance?
A. The equity portion of the Fund contributed to performance over the period. Overweight exposures to certain factors such as
asset utilization and sales to price ratios performed well, as did an overweight to predicted earnings to price ratios. In
addition, underweight exposures to companies with above-average analyst dispersion and attractive growth in the market
contributed positively to performance as investors did not favor these characteristics over the period. Positive exposure to
companies with attractive return on equity and projected earnings growth, as well as those with above-average interest
coverage detracted from performance over the period as investors penalized these measures. Negative exposure to companies with
high financial leverage and above-average trading volume also dampened performance, as investors favored these measures.
Option positions detracted from performance during the period as the market continued to climb. While calls written on housing
sector indexes, as well as on oil service sector indexes added value, they were not able to overcome the performance of calls
written on the S&P 100 Index and banking indexes, which subtracted value during the period.
Global asset allocation contributed negatively to performance during the period, with most of the underperformance occurring during
the last portion of the period. The major detractors to the strategy were the equity and volatility components.
Q. How did portfolio composition affect relative Fund performance?
A. Sectors that contributed to performance included health care, materials and financials. Industrials, information technology and
energy were among the sectors that detracted from performance.
Long positions in AmerisourceBergen, Sysco and Cardinal Health were among the top contributors for the period. AmerisourceBergen, a
pharmaceutical services company, saw its share price rise as its earnings increased due to the company introducing more generic
drugs, contributing to strong sales. Sysco, a marketer and distributor of food products, saw its share price rise when it
announced an increase in its dividend for the fourth quarter of 2009. Cardinal Health, a health care services provider,
announced that it would be the sole pharmaceutical distributor to American Associated Pharmacies, Inc., which has almost 2,000
independent member pharmacies.
Analytic Fund
4
Long positions in Northern Trust (no longer a Fund holding) and Murphy Oil and a short position in Liberty Media were among the top
detractors for the period. Northern Trust, a banking and financial services company, saw its stock price decline due to
continued hardships in the banking industry. Murphy Oil, an oil and gas exploration and production company, saw its stock price
decline when its net income fell due to lower energy prices. Media conglomerate, Liberty Media, completed a merger (Liberty
Entertainment and DirectTV merged, resulting in Liberty Entertainment becoming a wholly owned subsidiary of DirectTV Holdings),
which caused its share price to rise, thus the short position harmed Fund performance.
Q. What is the investment outlook for the U.S. large-cap stock market?
A. Analytic Investors, LLC ("Analytic"), the Fund's sub-adviser, intends to continue to emphasize companies with attractive cash
flow to price ratios, as well as those companies with above-average asset utilization. Analytic also intends to continue to
focus on companies with above-average historical earnings to price ratios, while moving away from companies with
higher-than-average analyst dispersion and high sales-per-share volatility, and moving away from those companies with
above-average growth in market.
Analytic's process is based on the fundamental belief that there is consistency in the types of characteristics investors prefer. If
this belief holds true going forward, Analytic believes the Fund may benefit from being properly positioned toward stocks with
characteristics typically favored by investors.
Top Ten Holdings
as of January 31, 2010*
U.S. Treasury Bill
0.173%, 09/23/10 7.1%
___________________________________________________________________________________
Microsoft 3.9%
___________________________________________________________________________________
International Business
Machines 3.4%
___________________________________________________________________________________
Chevron 3.3%
___________________________________________________________________________________
Amgen 2.8%
___________________________________________________________________________________
Philip Morris International 2.6%
___________________________________________________________________________________
Comcast, Cl A 2.6%
___________________________________________________________________________________
Sysco 2.5%
___________________________________________________________________________________
Cardinal Health 2.5%
___________________________________________________________________________________
American Express 2.4%
___________________________________________________________________________________
As a % of Total
Fund Investments 33.1%
___________________________________________________________________________________
* Top Ten Holdings are all long positions.
Analytic Fund
5
OLD MUTUAL ANALYTIC FUND - continued
____________________________________________________________________________________________________________________________________
PERFORMANCE AND PORTFOLIO SUMMARY (UNAUDITED)
Average Annual Total Return as of January 31, 2010
___________________________________________________________________________________________________________________________________
Annualized Annualized Annualized
Inception 6 Month 1 Year 5 Year 10 Year Inception
Date Return Return Return Return to Date
___________________________________________________________________________________________________________________________________
Class A with load �� 03/31/05 (5.21)% (3.54)% n/a n/a (5.81)%
Class A without load 03/31/05 0.58% 2.34% n/a n/a (4.65)%
Class C with load 03/31/05 (0.76)% 0.57% n/a n/a (5.35)%
Class C without load 03/31/05 0.24% 1.57% n/a n/a (5.35)%
Class Z 07/01/78 0.69% 2.68% (3.51)% (0.30)% 8.33% (1)
Institutional Class 12/09/05 (2) 0.68% 2.56% n/a n/a (7.31)%
S&P 500 Index 07/01/78 9.87% 33.14% 0.18% (0.80)% 11.23%
___________________________________________________________________________________________________________________________________
Past performance is not a guarantee of future results. The Fund's performance results do not reflect the deduction of taxes that a
shareholder would pay on Fund distributions or on the redemption of Fund shares. Information about these performance results and the
comparative index can be found on pages 1 and 2.
Class A shares have a current maximum initial sales charge of 5.75%; Class C shares
may be subject to a contingent deferred sales charge ("CDSC") of 1.00%, if redeemed within twelve months of the date of purchase;
and Class A share purchases of $1 million or more, which were purchased without an initial sales charge, may be subject to a CDSC of
1.00%, if redeemed within twelve months of the date of purchase. Please read the prospectus carefully for more information on sales
charges. The total annual operating expenses and net annual operating expenses you may pay as an investor in the Fund's Class A,
Class C, Class Z and Institutional Class shares (as reported in the November 19, 2009 prospectus) are 2.41% and 2.07%; 2.97% and
2.82%; 1.97% and 1.81%; and 1.87% and 1.77%, respectively.
On December 9, 2005, Old Mutual Analytic Fund (the "Fund") acquired substantially all the assets and liabilities of the Analytic
Defensive Equity Fund, a series of The Advisors' Inner Circle Fund (the "Predecessor Fund"). On June 24, 2002, the Predecessor Fund
acquired substantially all of the assets and liabilities of the Analytic Defensive Equity Fund, a series of UAM Funds, Inc. II.
Substantially similar strategies and policies were used to manage each of the funds. The Fund's Class Z shares are the successor
class of the Predecessor Fund's Institutional Class. The Fund's Institutional Class is new.
(1) Based on Predecessor Fund's inception date of July 1, 1978. Total return is annualized.
(2) The inception date of this share class represents the date initial seed capital was invested by Old Mutual Capital, Inc. The
effective date this share class was available for sale to shareholders was December 16, 2005.
Fund Performance
____________________________________________________________________________________________________________________________________
[LINE GRAPH WAS REPRESENTED IN THE PRINTED MATERIAL]
| | Old Mutual Analytic Fund, Class Z | S&P 500 Index | |
| 7/31/1999 | 10,000 | 10,000 | |
| 7/31/2000 | 10,116 | 10,897 | |
| 7/31/2001 | 9,917 | 9,336 | |
| 7/31/2002 | 8,702 | 7,130 | |
| 7/31/2003 | 9,335 | 7,889 | |
| 7/31/2004 | 10,700 | 8,928 | |
| 7/31/2005 | 13,159 | 10,183 | |
| 7/31/2006 | 13,706 | 10,730 | |
| 7/31/2007 | 15,122 | 12,462 | |
| 7/31/2008 | 13,238 | 11,079 | |
| 7/31/2009 | 9,701 | 8,868 | |
| 1/31/2010 | 9,768 | 9,743 | |
Past performance is not a guarantee of future results. The graph above compares an investment made in the Fund's Class Z shares on
July 31, 1999 to an investment made in an unmanaged securities index on that date. Performance for the Fund's other shares will vary
due to differences in sales charges and expenses. The Fund's performance in this chart and the performance table assumes
reinvestment of dividends and capital gain distributions but does not reflect the deduction of taxes that a shareholder would pay on
Fund distributions or on the redemption of Fund shares.
Sector Weightings as of January 31, 2010 - % of Total Fund Investments
____________________________________________________________________________________________________________________________________
[PIE GRAPH WAS REPRESENTED IN THE PRINTED MATERIAL]
| Cash Equivalents | 2.3% | |
| Consumer Discretionary | 8.0% | |
| Consumer Staples | 6.3% | |
| Energy | 10.8% | |
| Financials | 15.4% | |
| Health Care | 15.4% | |
| Industrials | 8.7% | |
| Information Technology | 17.5% | |
| Materials | 2.6% | |
| Purchased Options Contracts | 0.2% | |
| Telecommunication Services | 3.0% | |
| U.S. Treasury Obligations | 7.1% | |
| Utilities | 2.7% | |
6
SCHEDULE OF INVESTMENTS
AS OF JANUARY 31, 2010 (UNAUDITED)
_____________________________________________________________________ _____________________________________________________________________
Description Shares Value (000) Description Shares Value (000)
_____________________________________________________________________ _____________________________________________________________________
Common Stock - 108.4% Chemicals-Diversified - 2.5%
Aerospace/Defense - 2.6% EI Du Pont de Nemours 19,096 $ 623
General Dynamics (B) 38,179 $ 2,552 Huntsman 170,162 2,074
Lockheed Martin (B) 2,525 188 ______________
______________
Total Chemicals-Diversified 2,697
Total Aerospace/Defense 2,740 _____________________________________________________________________
_____________________________________________________________________
Chemicals-Specialty - 0.5%
Aerospace/Defense-Equipment - 1.3% Cabot 5,860 151
United Technologies 19,734 1,332 Eastman Chemical 6,224 352
______________ ______________
Total Chemicals-Specialty 503
Total Aerospace/Defense-Equipment 1,332 _____________________________________________________________________
_____________________________________________________________________
Commercial Banks-Eastern US - 0.8%
Agricultural Chemicals - 0.1% M&T Bank 10,817 798
CF Industries Holdings 586 54 ______________
______________
Total Commercial Banks-Eastern US 798
Total Agricultural Chemicals 54 _____________________________________________________________________
_____________________________________________________________________
Commercial Services-Finance - 1.2%
Airlines - 1.7% Moody's 48,003 1,324
Southwest Airlines 159,955 1,812 ______________
______________
Total Commercial Services-Finance 1,324
Total Airlines 1,812 _____________________________________________________________________
_____________________________________________________________________
Computer Services - 0.1%
Applications Software - 4.6% Affiliated Computer Services, Cl A* 1,066 66
Microsoft (B) 175,237 4,938 Computer Sciences* 557 29
______________ ______________
Total Applications Software 4,938 Total Computer Services 95
_____________________________________________________________________ _____________________________________________________________________
Auto/Truck Parts & Equipment-Original - 0.4% Computers - 5.2%
Autoliv 10,753 460 Dell* 91,599 1,182
______________ International Business Machines (B) 35,832 4,386
______________
Total Auto/Truck Parts
& Equipment-Original 460 Total Computers 5,568
_____________________________________________________________________ _____________________________________________________________________
Auto-Cars/Light Trucks - 2.3% Containers-Paper/Plastic - 0.1%
Ford Motor* 221,969 2,406 Pactiv* 4,812 109
______________ ______________
Total Auto-Cars/Light Trucks 2,406 Total Containers-Paper/Plastic 109
_____________________________________________________________________ _____________________________________________________________________
Auto-Medium & Heavy Duty Trucks - 0.1% Distribution/Wholesale - 1.8%
Navistar International* 1,902 70 Ingram Micro, Cl A* 54,962 929
______________ Tech Data* (B) 24,221 987
______________
Total Auto-Medium & Heavy Duty Trucks 70
_____________________________________________________________________ Total Distribution/Wholesale 1,916
_____________________________________________________________________
Beverages-Non-Alcoholic - 0.1%
Pepsi Bottling Group 1,447 54 Diversified Banking Institutions - 0.9%
______________ Bank of America (B) 33,809 513
Citigroup* 132,148 439
Total Beverages-Non-Alcoholic 54 ______________
_____________________________________________________________________
Total Diversified Banking Institutions 952
Cable/Satellite TV - 4.8% _____________________________________________________________________
Comcast, Cl A (B) 209,286 3,313
DIRECTV, Cl A* 17,996 546 Diversified Manufacturing Operations - 1.4%
DISH Network, Cl A 69,992 1,278 General Electric 2,368 38
______________ Illinois Tool Works 32,699 1,425
______________
Total Cable/Satellite TV 5,137
_____________________________________________________________________ Total Diversified Manufacturing Operations 1,463
_____________________________________________________________________
Casino Hotels - 0.6%
Las Vegas Sands* 43,168 669 E-Commerce/Services - 0.4%
______________ eBay* 19,402 447
______________
Total Casino Hotels 669
_____________________________________________________________________ Total E-Commerce/Services 447
_____________________________________________________________________
Cellular Telecommunications - 0.2%
NII Holdings, Cl B* (B) 7,118 233
______________
Total Cellular Telecommunications 233
_____________________________________________________________________
7
OLD MUTUAL ANALYTIC FUND - continued
____________________________________________________________________________________________________________________________________
SCHEDULE OF INVESTMENTS
AS OF JANUARY 31, 2010 (UNAUDITED)
_____________________________________________________________________ _____________________________________________________________________
Description Shares Value (000) Description Shares Value (000)
_____________________________________________________________________ _____________________________________________________________________
Electric-Integrated - 1.7% Medical Information Systems - 0.0%
FirstEnergy 37,101 $ 1,618 IMS Health 2,190 $ 47
PPL (B) 6,920 204 ______________
______________
Total Medical Information Systems 47
Total Electric-Integrated 1,822 _____________________________________________________________________
_____________________________________________________________________
Medical Products - 3.0%
Electronic Components-Miscellaneous - 0.5% CareFusion* 1,069 28
Jabil Circuit 35,509 514 Johnson & Johnson (B) 28,713 1,805
______________ Stryker (B) 25,119 1,304
______________
Total Electronic Components-Miscellaneous 514
_____________________________________________________________________ Total Medical Products 3,137
_____________________________________________________________________
Electronic Components-Semiconductors - 5.2%
Intel (B) 110,277 2,139 Medical-Biomedical/Genetic - 6.6%
Micron Technology* 113,125 986 Amgen* (B) 61,945 3,623
Texas Instruments (B) 107,573 2,420 Biogen Idec* 48,941 2,630
______________ Gilead Sciences* (B) 16,163 780
______________
Total Electronic Components-
Semiconductors 5,545 Total Medical-Biomedical/Genetic 7,033
_____________________________________________________________________ _____________________________________________________________________
Engineering/R&D Services - 2.0% Medical-Wholesale Drug Distributors - 7.9%
Fluor (B) 45,842 2,078 AmerisourceBergen (B) 90,190 2,459
______________ Cardinal Health 95,419 3,155
McKesson (B) 46,690 2,746
Total Engineering/R&D Services 2,078 ______________
_____________________________________________________________________
Total Medical-Wholesale Drug Distributors 8,360
Filtration/Separation Products - 0.1% _____________________________________________________________________
Donaldson 3,335 128
______________ Oil & Gas Drilling - 0.3%
Helmerich & Payne 3,675 154
Total Filtration/Separation Products 128 Patterson-UTI Energy 8,030 123
_____________________________________________________________________ ______________
Finance-Credit Cards - 4.6% Total Oil & Gas Drilling 277
American Express (B) 81,585 3,073 _____________________________________________________________________
Discover Financial Services 131,161 1,794
______________ Oil Companies-Exploration & Production - 0.5%
Whiting Petroleum* 4,216 281
Total Finance-Credit Cards 4,867 XTO Energy 5,830 260
_____________________________________________________________________ ______________
Food-Miscellaneous/Diversified - 1.4% Total Oil Companies-Exploration &
Sara Lee 124,882 1,516 Production 541
______________ _____________________________________________________________________
Total Food-Miscellaneous/Diversified 1,516 Oil Companies-Integrated - 12.1%
_____________________________________________________________________ Chevron (B) 58,261 4,202
ConocoPhillips 34,814 1,671
Food-Retail - 0.0% Exxon Mobil (B) 21,716 1,399
SUPERVALU 3,059 45 Hess (B) 48,594 2,808
______________ Murphy Oil (B) 53,630 2,739
______________
Total Food-Retail 45
_____________________________________________________________________ Total Oil Companies-Integrated 12,819
_____________________________________________________________________
Food-Wholesale/Distribution - 3.0%
Sysco 112,882 3,160 Oil-Field Services - 0.1%
______________ BJ Services 3,098 64
Schlumberger 539 34
Total Food-Wholesale/Distribution 3,160 ______________
_____________________________________________________________________
Total Oil-Field Services 98
Gas-Distribution - 1.2% _____________________________________________________________________
Energen 28,172 1,238
______________ Pharmacy Services - 1.0%
Express Scripts* 12,120 1,016
Total Gas-Distribution 1,238 ______________
_____________________________________________________________________
Total Pharmacy Services 1,016
Independent Power Producer - 0.4% _____________________________________________________________________
Mirant* 26,696 376
______________ Power Conversion/Supply Equipment - 0.3%
Hubbell, Cl B 6,817 294
Total Independent Power Producer 376 ______________
_____________________________________________________________________
Total Power Conversion/Supply Equipment 294
Investment Management/Advisory Services - 5.2% _____________________________________________________________________
BlackRock (B) 12,424 2,657
T Rowe Price Group 58,508 2,903
______________
Total Investment Management/Advisory
Services 5,560
_____________________________________________________________________
8
_____________________________________________________________________ _____________________________________________________________________
Shares/Face
Amount (000)/
Description Shares Value (000) Description Contracts Value (000)
_____________________________________________________________________ _____________________________________________________________________
Wireless Equipment - 0.3%
Publishing-Newspapers - 0.2% Motorola* 59,737 $ 367
New York Times, Cl A* 19,508 $ 252 ______________
______________
Total Wireless Equipment 367
Total Publishing-Newspapers 252 ______________
_____________________________________________________________________
Total Common Stock (Cost $98,427) 115,253
REITs-Mortgage - 0.6% _____________________________________________________________________
Chimera Investment 156,602 614
______________ U.S. Treasury Obligations - 8.5%
United States Treasury Bill
Total REITs-Mortgage 614 0.173%, 09/23/10 (C) $9,010 9,000
_____________________________________________________________________ ______________
Retail-Discount - 0.6% Total U.S. Treasury Obligations (Cost $8,991) 9,000
Big Lots* 21,859 621 _____________________________________________________________________
______________
Money Market Fund - 2.8%
Total Retail-Discount 621 Dreyfus Cash Management Fund,
_____________________________________________________________________ Institutional Class, 0.109% (A) 2,941,713 2,942
______________
Retail-Major Department Store - 0.5%
Sears Holdings* 6,259 584 Total Money Market Fund (Cost $2,942) 2,942
______________ _____________________________________________________________________
Total Retail-Major Department Store 584 Purchased Option Contracts - 0.2%
_____________________________________________________________________ CBOE SPX Volatility Index
June 2010, 100 Put
S&L/Thrifts-Eastern US - 2.1% Strike Price: $25* 549 198
New York Community Bancorp 148,043 2,225 ______________
______________
Total Purchased Option Contracts (Cost $196) 198
Total S&L/Thrifts-Eastern US 2,225 _____________________________________________________________________
_____________________________________________________________________
Total Investments - 119.9% (Cost $110,556) 127,393
Super-Regional Banks-US - 3.1% _____________________________________________________________________
PNC Financial Services Group 5,789 321
US Bancorp 117,520 2,947 Securities Sold Short - (18.3)%
______________
Advertising Sales - (0.4)%
Total Super-Regional Banks-US 3,268 Clear Channel Outdoor Holdings, Cl A* (37,008) (376)
_____________________________________________________________________ ______________
Telecommunications Equipment-Fiber Optics - 2.7% Total Advertising Sales (376)
Corning 161,482 2,920 _____________________________________________________________________
______________
Total Telecommunications Aerospace/Defense - (0.2)%
Equipment-Fiber Optics 2,920 TransDigm Group (4,170) (201)
_____________________________________________________________________ ______________
Telephone-Integrated - 3.4% Total Aerospace/Defense (201)
AT&T 94,606 2,399 _____________________________________________________________________
Sprint Nextel* (B) 377,858 1,239
______________ Aerospace/Defense-Equipment - (0.5)%
BE Aerospace* (23,065) (517)
Total Telephone-Integrated 3,638 ______________
_____________________________________________________________________
Total Aerospace/Defense-Equipment (517)
Television - 0.0% _____________________________________________________________________
CBS, Cl B 2,274 29
______________ Applications Software - (0.2)%
Nuance Communications* (15,699) (236)
Total Television 29 ______________
_____________________________________________________________________
Total Applications Software (236)
Tobacco - 3.1% _____________________________________________________________________
Philip Morris International (B) 72,953 3,320
______________ Broadcast Services/Programming - (1.0)%
Liberty Media - Capital, Ser A* (39,278) (1,017)
Total Tobacco 3,320 ______________
_____________________________________________________________________
Total Broadcast Services/Programming (1,017)
Tools-Hand Held - 0.0% _____________________________________________________________________
Black & Decker 723 47
______________ Commercial Banks-Southern US - (0.4)%
First Horizon National* (33,217) (430)
Total Tools-Hand Held 47 ______________
_____________________________________________________________________
Total Commercial Banks-Southern US (430)
Transport-Rail - 0.2% _____________________________________________________________________
Burlington Northern Santa Fe 2,634 263
______________ Computers-Memory Devices - (0.4)%
SanDisk* (16,241) (413)
Total Transport-Rail 263 ______________
_____________________________________________________________________
Total Computers-Memory Devices (413)
Transport-Services - 0.8% _____________________________________________________________________
United Parcel Service, Cl B 14,831 857
______________ Diversified Operations - (0.0)%
Leucadia National* (1,700) (38)
Total Transport-Services 857 ______________
_____________________________________________________________________
Total Diversified Operations (38)
_____________________________________________________________________
9
OLD MUTUAL ANALYTIC FUND - continued
________________________________________________________________________________________________________________________________________________
SCHEDULE OF INVESTMENTS
AS OF JANUARY 31, 2010 (UNAUDITED)
_____________________________________________________________________ _____________________________________________________________________
Description Shares Value (000) Description Shares Value (000)
_____________________________________________________________________ _____________________________________________________________________
Electronic Components-Semiconductors - (0.8)% Oil-Field Services - (0.4)%
Rambus* (39,431) $ (865) Exterran Holdings* (20,083) $ (407)
______________ ______________
Total Electronic Components-Semiconductors (865) Total Oil-Field Services (407)
_____________________________________________________________________ _____________________________________________________________________
Electronic Design Automation - (0.1)% Pipelines - (1.5)%
Cadence Design Systems* (14,488) (84) El Paso (160,647) (1,631)
______________ ______________
Total Electronic Design Automation (84) Total Pipelines (1,631)
_____________________________________________________________________ _____________________________________________________________________
Finance-Consumer Loans - (0.2)% Property/Casualty Insurance - (0.1)%
SLM* (22,573) (238) OneBeacon Insurance Group, Cl A (10,626) (138)
______________ ______________
Total Finance-Consumer Loans (238) Total Property/Casualty Insurance (138)
_____________________________________________________________________ _____________________________________________________________________
Finance-Investment Banker/Broker - (0.6)% REITs-Apartments - (0.4)%
Interactive Brokers Group, Cl A* (27,885) (443) Apartment Investment & Management, Cl A (25,122) (386)
Lazard, Cl A (5,270) (203) ______________
______________
Total REITs-Apartments (386)
Total Finance-Investment Banker/Broker (646) _____________________________________________________________________
_____________________________________________________________________
REITs-Warehouse/Industrial - (0.4)%
Medical-Biomedical/Genetic - (3.0)% ProLogis (36,878) (465)
Dendreon* (33,908) (939) ______________
United Therapeutics* (8,790) (524)
Vertex Pharmaceuticals* (45,662) (1,754) Total REITs-Warehouse/Industrial (465)
______________ _____________________________________________________________________
Total Medical-Biomedical/Genetic (3,217) S&L/Thrifts-Central US - (0.1)%
_____________________________________________________________________ TFS Financial (4,388) (57)
______________
Medical-Drugs - (1.8)%
King Pharmaceuticals* (162,464) (1,951) Total S&L/Thrifts-Central US (57)
______________ _____________________________________________________________________
Total Medical-Drugs (1,951) Semiconductor Components-Integrated Circuits - (0.6)%
_____________________________________________________________________ Cypress Semiconductor* (57,951) (582)
______________
Medical-Generic Drugs - (0.2)%
Perrigo (3,716) (165) Total Semiconductor Components-
______________ Integrated Circuits (582)
_____________________________________________________________________
Total Medical-Generic Drugs (165)
_____________________________________________________________________ Telecommunications Equipment-Fiber Optics - (0.9)%
Ciena* (75,478) (962)
Multi-line Insurance - (0.5)% ______________
Genworth Financial, Cl A* (4,478) (62)
Old Republic International (48,637) (515) Total Telecommunications
______________ Equipment-Fiber Optics (962)
_____________________________________________________________________
Total Multi-line Insurance (577)
_____________________________________________________________________ Telecommunications Services - (0.0)%
Clearwire, Cl A* (3,680) (24)
Music - (0.0)% ______________
Warner Music Group* (6,677) (32)
______________ Total Telecommunications Services (24)
�� _____________________________________________________________________
Total Music (32)
_____________________________________________________________________ Television - (0.6)%
Central European Media Enterprises, Cl A* (21,707) (619)
Oil & Gas Drilling - (0.1)% ______________
Seahawk Drilling* (4,933) (103)
______________ Total Television (619)
_____________________________________________________________________
Total Oil & Gas Drilling (103)
_____________________________________________________________________ Transport-Marine - (0.1)%
Teekay (6,171) (154)
Oil Companies-Exploration & Production - (1.2)% ______________
EXCO Resources (7,826) (137)
Forest Oil* (18,489) (446) Total Transport-Marine (154)
Range Resources (10,646) (490) _____________________________________________________________________
SandRidge Energy* (21,059) (178)
______________ X-Ray Equipment - (1.6)%
Hologic* (109,375) (1,648)
Total Oil Companies-Exploration & ______________
Production (1,251)
_____________________________________________________________________ Total X-Ray Equipment (1,648)
______________
Total Securities Sold Short
(Proceeds received $(16,988)) (19,430)
_____________________________________________________________________
10
_____________________________________________________________________
Description Contracts Value (000)
_____________________________________________________________________
Written Option Contracts - (0.8)%
Call Options - (0.7)%
CBOE SPX Volatility Index
June 2010, 100 Call
Strike Price: $25* (549) $ (209)
ISE SINdex
February 2010, 100 Call
Strike Price: $110* (500) (12)
KBW Bank Index
February 2010, 100 Call
Strike Price: $49* (965) (68)
Morgan Stanley Cyclical Index
February 2010, 100 Call
Strike Price: $890* (60) (30)
Nasdaq 100 Stock Index
February 2010, 100 Call
Strike Price: $1,900* (25) (3)
Philadelphia SemiConductor Index
February 2010, 100 Call
Strike Price: $360* (150) (10)
Russell 2000 Index
February 2010, 100 Call
Strike Price: $660* (90) (4)
S&P 400 Midcap Index
February 2010, 100 Call
Strike Price: $740* (80) (23)
S&P 500 Index
February 2010, 100 Call
Strike Price: $1,130* (145) (31)
S&P 500 Index
March 2010, 100 Call
Strike Price: $1,130* (390) (354)
______________
Total Call Options (744)
_____________________________________________________________________
Put Option - (0.1)%
S&P 500 Index
February 2010, 100 Put
Strike Price: $1,050* (50) (79)
______________
Total Put Option (79)
______________
Total Written Option Contracts
(Proceeds received $(2,542)) (823)
_____________________________________________________________________
Other Assets and Liabilities, Net - (0.8)% (875)
_____________________________________________________________________
Total Net Assets - 100.0% $ 106,265
_____________________________________________________________________
11
OLD MUTUAL ANALYTIC FUND - continued
____________________________________________________________________________________________________________________________________
SCHEDULE OF INVESTMENTS
AS OF JANUARY 31, 2010 (UNAUDITED)
The Fund had the following futures contracts open as of January 31, 2010:
Unrealized
Contract Appreciation
Contract Number of Value Expiration (Depreciation)
Description Contracts (000) Date (000)
___________________________________________________________ _________ __________ ____________ ______________
Long Positions:
AEX Index Future 125 $ 11,340 02/19/2010 $ (345)
CBOE Volatility Index Future 108 2,754 05/18/2010 48
FTSE 100 Index Future 137 11,275 03/19/2010 (355)
IBEX 35 Index Future 70 10,604 02/19/2010 (1,025)
S&P/TSE 60 Index Future 16 1,936 03/18/2010 (170)
S&P 500 EMINI Index Future 133 7,118 03/19/2010 (48)
SPI 200 Index Future 30 3,016 03/18/2010 (110)
Short Positions:
CAC 40 Index Future (57) (2,955) 02/19/2010 212
DAX Index Future (56) (10,885) 03/19/2010 686
FTSE MIB Index Future (5) (758) 03/19/2010 30
Hang Seng Index Future (19) (2,472) 02/25/2010 37
OMXS30 Index Future (901) (11,627) 02/19/2010 �� 186
TOPIX Index Future (108) (10,702) 03/11/2010 26
_______
$ (828)
_______
As of January 31, 2010, the Fund had the following forward foreign currency contracts outstanding:
Unrealized
Appreciation
Settlement Currency Currency (Depreciation)
Counterparty Date to Deliver to Receive (000)
_______________________________________ __________ ______________________ ____________________ ______________
Morgan Stanley & Co 03/17/10 USD (17,240,955) AUD 19,000,000 $(519)
Morgan Stanley & Co 03/17/10 USD (4,825,551) CAD 5,000,000 (148)
Morgan Stanley & Co 03/17/10 USD (11,358,557) GBP 7,000,000 (174)
Morgan Stanley & Co 03/17/10 USD (12,457,009) JPY 1,100,000,000 (266)
Morgan Stanley & Co 03/17/10 USD (22,750,102) NOK 130,000,000 (839)
Morgan Stanley & Co 03/17/10 USD (4,375,222) NZD 6,000,000 (180)
Morgan Stanley & Co 03/17/10 USD (14,089,812) SEK 100,000,000 (550)
Morgan Stanley & Co 03/17/10 CAD (17,000,000) USD 16,157,177 255
Morgan Stanley & Co 03/17/10 CHF (17,000,000) USD 16,497,280 462
Morgan Stanley & Co 03/17/10 EUR (12,000,000) USD 17,561,883 928
Morgan Stanley & Co 03/17/10 GBP (9,000,000) USD 14,432,850 53
Morgan Stanley & Co 03/17/10 JPY (1,500,000,000) USD 16,413,354 (210)
Morgan Stanley & Co 03/17/10 NOK (50,000,000) USD 8,655,191 228
Morgan Stanley & Co 03/17/10 SEK (100,000,000) USD 14,106,024 566
_____
$(394)
_____
For descriptions of abbreviations and footnotes, please refer to page 28.
12
Other Information:
The Old Mutual Analytic Fund invested in various derivative instruments during the six-month period ended January 31, 2010. The
primary types of risk associated with these derivative instruments are credit risk, equity risk, foreign exchange risk and interest
rate risk. Refer to Note 2 in the Notes to Financial Statements for further discussion about these risks and the objectives for
utilizing derivative instruments. The effects of these derivative instruments on the Fund's financial position and financial
performance as reflected in the Statement of Assets and Liabilities and Statement of Operations are presented in the tables below.
The fair value of derivative instruments as of January 31, 2010 by risk category (000):
Asset Derivatives Liability Derivatives
_____________________________________________________________________________________________
Statement of Asset Statement of Asset
Derivatives not designated as hedging and Liabilities and Liabilities
instruments, carried at fair value Location Fair Value Location Fair Value
____________________________________________________________________________________________________________________________________
Variation Margin Receivable Variation Margin Payable
Equity contracts on Futures Contracts $1,225† on Futures Contracts $(2,053)†
Written Option
Equity contracts Investment Securities, at value 198 Contracts, at Value (823)
Unrealized Gain on Forward Unrealized Loss on Forward
Foreign exchange contracts Foreign Currency Contracts 2,492 Foreign Currency Contracts (2,886)
______ _______
Total $3,915 $(5,762)
______ _______
† Includes cumulative appreciation/depreciation of futures contracts as reported in the Schedule of Investments. Only the current
day's variation margin is reported within the Statement of Assets and Liabilities.
The effects of derivative instruments on the Statement of Operations for the six-month period ended January 31, 2010 are as follows
(000):
Amount of Realized Gain or (Loss) on Derivatives Recognized in Income
____________________________________________________________________________________________________________________________________
Forward Foreign Purchased Written
Derivatives not designated as hedging instruments, Futures Currency Option Option
carried at fair value Contracts Contracts Contracts Contracts Total
____________________________________________________________________________________________________________________________________
Equity contracts $ (97) $ - $(35) $(11,637) $(11,769)
Foreign exchange contracts - 4,072 - - 4,072
_____ ______ ____ ________ ________
Total $ (97) $4,072 $(35) $(11,637) $ (7,697)
_____ ______ ____ ________ ________
Change in Unrealized Appreciation or (Depreciation) on Derivatives Recognized in Income
____________________________________________________________________________________________________________________________________
Forward Foreign Purchased Written
Derivatives not designated as hedging instruments, Futures Currency Option Option
carried at fair value Contracts Contracts Contracts Contracts Total
____________________________________________________________________________________________________________________________________
Equity contracts $(2,605) $ - $198 $5,469 $ 3,062
Foreign exchange contracts - (3,021) - - (3,021)
_______ _______ ____ ______�� _______
Total $(2,605) $(3,021) $198 $5,469 $ 41
_______ _______ ____ ______ _______
13
OLD MUTUAL ANALYTIC FUND - concluded
____________________________________________________________________________________________________________________________________
SCHEDULE OF INVESTMENTS
AS OF JANUARY 31, 2010 (UNAUDITED)
The Fund utilizes various inputs in determining the value of its investments as of the reporting period end. These inputs are
summarized in three broad levels as follows:
Level 1 - quoted prices in active markets for identical securities
Level 2 - other significant observable inputs (including quoted prices for similar securities, interest rates, prepayment speeds,
credit risk, etc.)
Level 3 - significant unobservable inputs (including the Fund's own assumption in determining the fair value of investments)
The inputs or methodology used for valuing securities are not necessarily an indication of the risk associated with investing in
those securities.
A summary of the inputs used as of January 31, 2010 in valuing the Fund's net assets were as follows (000):
Description Level 1 Level 2 Level 3 Total
____________________________________________________________________________________________________________________________________
Investments
Common Stock $115,253 $ - $ - $115,253
U.S. Treasury Obligations - 9,000 - 9,000
Money Market Fund 2,942 - - 2,942
Purchased Option Contracts 198 - - 198
Securities Sold Short
Securities Sold Short (19,430) - - (19,430)
Other Financial Instruments
Futures Contracts* (828) - - (828)
Written Option Contracts (823) - - (823)
Forward Foreign Currency Contracts* - (394) - (394)
____________________________________________________________________________________________________________________________________
Total Investments $ 97,312 $8,606 $ - $105,918
____________________________________________________________________________________________________________________________________
* Futures contracts and forward foreign currency contracts are not reflected in the Schedule of Investments and are valued at the
unrealized appreciation/depreciation of the instrument.
Refer to the "Security Valuation" section of Note 2 for further information.
The accompanying notes are an integral part of the financial statements.
14
OLD MUTUAL COPPER ROCK EMERGING GROWTH FUND
____________________________________________________________________________________________________________________________________
MANAGEMENT OVERVIEW (UNAUDITED)
Sub-Adviser: Copper Rock Capital Partners, LLC
Performance Highlights
o For the six-month period ended January 31, 2010, the Old Mutual Copper Rock Emerging Growth Fund (the "Fund") underperformed
its benchmark, the Russell 2500 (TM) Growth Index. The Fund's Class A shares posted a 7.78% return at net asset value versus
a 10.05% return for the benchmark.
o Stock selection in the industrials, materials, consumer staples, and energy sectors contributed to performance. Within health
care, the Fund experienced a good turnaround driven by solid stock selection, which was positive given the Fund had struggled
in that sector earlier in 2009. On the downside, some individual stock selection within the information technology, consumer
discretionary, and financials sectors detracted from the overall performance.
o Bucyrus International (no longer a Fund holding), TransDigm Group and Cognizant Technology Solutions (no longer a Fund holding)
were among the top contributors for the period.
o Huron Consulting Group (no longer a Fund holding), PrivateBancorp (no longer a Fund holding) and STEC (no longer a Fund
holding) were among the top detractors for the period.
Q. How did the Fund perform relative to its benchmark?
A. For the six-month period ended January 31, 2010, the Old Mutual Copper Rock Emerging Growth Fund (the "Fund") underperformed
its benchmark, the Russell 2500 (TM) Growth Index. The Fund's Class A shares posted a 7.78% return at net asset value versus a
10.05% return for the benchmark. Performance for all share classes can be found on page 17.
Q. What investment environment did the Fund face during the past period?
A. The first part of the period was good for equity markets around the world. The market rally continued in which low market-cap
stocks with prices under $5, non-earners, and stocks generally considered risky outperformed. In September 2009, a gulf started
to emerge between higher quality stocks and more risky stocks. The second part of the period produced positive absolute returns
across all of the major equity markets, and the overall health of the markets continued to improve. Volatility trended lower
and credit spreads continued to narrow. Quality was rewarded as the fastest growing stocks, and those with the highest return
on equity, drove performance.
Q. Which market factors influenced the Fund's relative performance?
A. Stock selection in the industrials, materials, consumer staples, and energy sectors contributed to performance. Within health
care, the Fund experienced a good turnaround driven by solid stock selection, which was positive given the Fund had struggled
in that sector earlier in 2009. On the downside, some individual stock selection within the information technology, consumer
discretionary, and financials sectors detracted from the overall performance.
Q. How did portfolio composition affect relative Fund performance?
A. Bucyrus International (no longer a Fund holding), TransDigm Group and Cognizant Technology Solutions (no longer a Fund holding)
were among the top contributors for the period. Mining company, Bucyrus International, saw its stock price rise due to higher
commodity prices driving better than expected orders, while significant cost controls and aftermarket sales drove better than
expected margins. In addition, the company recently entered into an agreement to purchase the mining business of Terex.
Aerospace and defense company, TransDigm Group, saw its stock price rise when it announced an agreement to acquire virtually
all the assets of Dukes, and GST Industries, Computer services company, Cognizant Technology Solutions, saw its stock price
benefit from an announcement it was forming a global product research and development relationship with a leading provider of
railway control and communications systems.
Huron Consulting Group (no longer a Fund holding), PrivateBancorp (no longer a Fund holding) and STEC (no longer a Fund
holding)were among the top detractors for the period. Huron Consulting Group, which provides financial and operational
consulting services, announced it would restate its financials for past years and for the first quarter of 2009. It took a
large write-down that caused the stock to drop 70%. PrivateBancorp, a midwestern regional bank, posted a third quarter 2009
loss and continued weakness in commercial lending that caused it to take a significant write-down of its commercial loan book.
STEC, a manufacturer of flash memory storage solutions, saw its stock price harmed due to the strength of its primary
competitors.
Copper Rock Emerging Growth Fund
15
OLD MUTUAL COPPER ROCK EMERGING GROWTH FUND - continued
____________________________________________________________________________________________________________________________________
MANAGEMENT OVERVIEW (UNAUDITED)
Sub-Adviser: Copper Rock Capital Partners, LLC
Top Ten Holdings
as of January 31, 2010
TransDigm Group 4.2%
___________________________________________________________________________________
Roper Industries 3.6%
___________________________________________________________________________________
Polycom 3.5%
___________________________________________________________________________________
Terex 3.2%
___________________________________________________________________________________
VCA Antech 2.9%
___________________________________________________________________________________
Solutia 2.5%
___________________________________________________________________________________
American Superconductor 2.5%
___________________________________________________________________________________
Green Mountain Coffee
Roasters 2.2%
___________________________________________________________________________________
Alliance Data Systems 2.2%
___________________________________________________________________________________
priceline.com 2.2%
___________________________________________________________________________________
As a % of Total
Fund Investments 29.0%
___________________________________________________________________________________
Q. What is the investment outlook for the small-cap growth market?
A. Copper Rock Capital Partners, LLC ("Copper Rock"), the Fund's sub-adviser, notes that corporate balance sheets are flush with
cash, and it is seeing the early signs that companies will likely invest in capital expenditures to grow their businesses and
meet demand from abroad.
Copper Rock began 2010 by positioning the Fund with an overweight allocation in the technology sector and is planning to focus
on communications hardware and software in this sector. Copper Rock has added some new holdings to the health care sector of
the Fund, reducing the Fund's relative underweight allocation. Copper Rock believes the health care sector has a chance to be a
relatively strong performer in 2010 should any reform bill not pass or take a back seat to economic reforms. However, Copper
Rock is remaining conscious of exposure to companies with potential reimbursement risk. The Fund currently maintains an
overweight allocation in the financials sector, but the Fund does not have any exposure to banks as Copper Rock believes there
is still risk in the commercial real estate sector. The Fund is currently overweight in the industrials, energy, and materials
sectors as Copper Rock continues to find several stocks which are benefiting from the global recovery in areas like mining, oil
services, and infrastructure development. The Fund is currently moderately underweight in the consumer discretionary sector.
The Fund owns some retailers which have a favorable outlook and executed well through the economic downturn. Copper Rock plans
to continue to monitor the retail group on a stock-by-stock basis.
Copper Rock believes that the economy is beginning an expansion phase during which there may be lower market volatility and
more stability, and the pattern of corporate earnings should begin to normalize. Copper Rock believes this will likely result
in an environment where stock prices will follow earnings, making the back-drop for Copper Rock's fundamentals-first driven
strategy to be attractive and prime to generate alpha as it did in the period from 1999-2007. Copper Rock believes that a
period where stock selection adds alpha as companies with good earnings outperform, has already begun.
Copper Rock Emerging Growth Fund
16
PERFORMANCE AND PORTFOLIO SUMMARY (UNAUDITED)
Average Annual Total Returns as of January 31, 2010
____________________________________________________________________________________________________________________________________
Annualized
Inception 6 Month 1 Year Inception
Date (1) Return Return to Date
____________________________________________________________________________________________________________________________________
Class A with load 07/29/05 1.59% 25.72% (3.80)%
Class A without load 07/29/05 7.78% 33.39% (2.53)%
Class Z 12/09/05 7.83% 33.76% (3.56)%
Institutional Class 07/29/05 7.89% 33.97% (2.11)%
Russell 2500 (TM) Growth Index 07/29/05 10.05% 44.51% 0.07%
____________________________________________________________________________________________________________________________________
Past performance is not a guarantee of future results. The Fund's performance results do not reflect the deduction of taxes that a
shareholder would pay on Fund distributions or on the redemption of Fund shares. Information about these performance results and the
comparative indexes can be found on pages 1 and 2.
Class A shares have a current maximum initial sales charge of 5.75%; Class A share purchases of $1 million or more, which were
purchased without an initial sales charge, may be subject to a CDSC of 1.00%, if redeemed within twelve months of the date of
purchase. Please read the prospectus carefully for more information on sales charges. The total annual operating expenses and net
annual operating expenses you may pay as an investor in the Fund's Class A, Class Z and Institutional Class shares (as reported in
the November 19, 2009 prospectus) are 1.91% and 1.68%; 1.58% and 1.43%; and 1.19% and 1.23%, respectively.
(1) The inception date of each share class represents the date initial seed capital was invested by Old Mutual Capital, Inc. The
effective date the share classes were available for sale to shareholders was 08/01/05 for Class A and Institutional Class, and
12/16/05 for Class Z.
Fund Performance
____________________________________________________________________________________________________________________________________
[LINE GRAPH WAS REPRESENTED IN THE PRINTED MATERIAL]
| | Old Mutual Copper Rock Emerging Growth Fund, Class A | Old Mutual Copper Rock Emerging Growth Fund, Institutional Class | Russell 2500TM Growth Index | |
| 07/29/2005 | 9,425 | 10,000 | 10,000 | |
| 07/31/2006 | 9,915 | 10,560 | 10,238 | |
| 07/31/2007 | 12,158 | 13,010 | 12,274 | |
| 07/31/2008 | 10,204 | 10,968 | 11,591 | |
| 07/31/2009 | 7,789 | 8,419 | 9,115 | |
| 01/31/2010 | 8,395 | 9,083 | 10,031 | |
Past performance is not a guarantee of future results. The graph above compares an investment made in the Fund's Class A and
Institutional Class shares on the inception date of 7/29/05 to an investment made in unmanaged securities indexes on that date. The
performance of the Fund's Class A shares shown in the line graph takes into account the maximum initial sales charge. The Fund's
performance in this chart and the performance table assumes reinvestment of dividends and capital gain distributions but does not
reflect the deduction of taxes that a shareholder would pay on Fund distributions or on the redemption of Fund shares.
Sector Weightings as of January 31, 2010 - % of Total Fund Investments
____________________________________________________________________________________________________________________________________
[PIE GRAPH WAS REPRESENTED IN THE PRINTED MATERIAL]
| Cash Equivalents | 0.5% | |
| Consumer Discretionary | 14.9% | |
| Consumer Staples | 2.2% | |
| Energy | 4.6% | |
| Financials | 6.7% | |
| Health Care | 21.7% | |
| Industrials | 19.5% | |
| Information Technology | 24.7% | |
| Investment Company | 0.5% | |
| Materials | 3.3% | |
| Telecommunication Services | 1.4% | |
17
OLD MUTUAL COPPER ROCK EMERGING GROWTH FUND - continued
____________________________________________________________________________________________________________________________________
SCHEDULE OF INVESTMENTS
AS OF JANUARY 31, 2010 (UNAUDITED)
_____________________________________________________________________ _____________________________________________________________________
Description Shares Value (000) Description Shares Value (000)
_____________________________________________________________________ _____________________________________________________________________
Common Stock - 96.1% Data Processing/Management - 0.9%
Aerospace/Defense - 4.0% CommVault Systems* 28,726 $ 609
TransDigm Group 59,594 $ 2,877 ______________
______________
Total Data Processing/Management 609
Total Aerospace/Defense 2,877 _____________________________________________________________________
_____________________________________________________________________
Decision Support Software - 2.0%
Applications Software - 1.3% MSCI, Cl A* 47,890 1,416
Nuance Communications* 63,947 960 ______________
______________
Total Decision Support Software 1,416
Total Applications Software 960 _____________________________________________________________________
_____________________________________________________________________
Dental Supplies & Equipment - 0.9%
Audio/Video Products - 0.6% Align Technology* 33,245 623
TiVo* 48,884 441 ______________
______________
Total Dental Supplies & Equipment 623
Total Audio/Video Products 441 _____________________________________________________________________
_____________________________________________________________________
Diagnostic Kits - 1.2%
Chemicals-Diversified - 2.5% Inverness Medical Innovations* 20,542 829
Solutia* 128,196 1,763 ______________
______________
Total Diagnostic Kits 829
Total Chemicals-Diversified 1,763 _____________________________________________________________________
_____________________________________________________________________
E-Commerce/Services - 2.1%
Chemicals-Specialty - 0.8% priceline.com* 7,708 1,506
Lubrizol 7,325 540 ______________
______________
Total E-Commerce/Services 1,506
Total Chemicals-Specialty 540 _____________________________________________________________________
_____________________________________________________________________
Educational Software - 0.9%
Coal - 0.9% Blackboard* 15,687 618
Massey Energy 16,611 640 ______________
______________
Total Educational Software 618
Total Coal 640 _____________________________________________________________________
_____________________________________________________________________
Electronic Components-Semiconductors - 0.8%
Coffee - 2.2% Rovi* 19,456 562
Green Mountain Coffee Roasters* 18,048 1,531 ______________
______________
Total Electronic Components-
Total Coffee 1,531 Semiconductors 562
_____________________________________________________________________ _____________________________________________________________________
Commercial Services - 3.3% Enterprise Software/Services - 2.6%
Alliance Data Systems* 25,455 1,514 Informatica* 44,355 1,051
Live Nation Entertainment* 71,185 816 Ultimate Software Group* 26,377 789
______________ ______________
Total Commercial Services 2,330 Total Enterprise Software/Services 1,840
_____________________________________________________________________ _____________________________________________________________________
Commercial Services-Finance - 1.2% Finance-Investment Banker/Broker - 1.2%
SEI Investments 47,647 844 Greenhill 10,694 832
______________ ______________
Total Commercial Services-Finance 844 Total Finance-Investment Banker/Broker 832
_____________________________________________________________________ _____________________________________________________________________
Communications Software - 0.6% Hotels & Motels - 0.7%
SolarWinds* 22,210 432 Home Inns & Hotels
______________ Management ADR* 15,640 481
______________
Total Communications Software 432
_____________________________________________________________________ Total Hotels & Motels 481
_____________________________________________________________________
Computer Services - 2.3%
SYKES Enterprises* 49,395 1,184 Human Resources - 3.1%
VanceInfo Technologies ADR* 26,557 426 Monster Worldwide* 46,851 730
______________ Robert Half International 37,743 1,016
SuccessFactors* 29,733 485
Total Computer Services 1,610 ______________
_____________________________________________________________________
Total Human Resources 2,231
Consulting Services - 2.6% _____________________________________________________________________
Gartner* 23,831 510
SAIC* 73,298 1,344 Industrial Audio & Video Products - 0.7%
______________ Dolby Laboratories, Cl A* 9,420 474
______________
Total Consulting Services 1,854
_____________________________________________________________________ Total Industrial Audio & Video Products 474
_____________________________________________________________________
18
_____________________________________________________________________ _____________________________________________________________________
Description Shares Value (000) Description Shares Value (000)
_____________________________________________________________________ _____________________________________________________________________
Internet Application Software - 1.3% Medical-Biomedical/Genetic - 4.7%
DealerTrack Holdings* 52,732 $ 948 Alexion Pharmaceuticals* 14,039 $ 651
______________ Amylin Pharmaceuticals* 34,457 620
Dendreon* 19,692 545
Total Internet Application Software 948 Human Genome Sciences* 15,499 410
_____________________________________________________________________ OSI Pharmaceuticals* 14,119 483
United Therapeutics* 10,463 623
Internet Infrastructure Software - 1.1% ______________
F5 Networks* 16,257 804
______________ Total Medical-Biomedical/Genetic 3,332
_____________________________________________________________________
Total Internet Infrastructure Software 804
_____________________________________________________________________ Medical-Drugs - 1.2%
Auxilium Pharmaceuticals* 14,074 396
Intimate Apparel - 1.3% Salix Pharmaceuticals* 15,575 456
Warnaco Group* 24,375 944 ______________
______________
Total Medical-Drugs 852
Total Intimate Apparel 944 _____________________________________________________________________
_____________________________________________________________________
Medical-Generic Drugs - 0.8%
Investment Management/Advisory Services - 2.1% Perrigo 13,403 593
Affiliated Managers Group* 24,682 1,495 ______________
______________
Total Medical-Generic Drugs 593
Total Investment Management/ _____________________________________________________________________
Advisory Services 1,495
_____________________________________________________________________ Medical-Outpatient/Home Medical - 0.7%
Lincare Holdings* 14,269 525
Lasers-Systems/Components - 0.5% ______________
Cymer* 10,342 324
______________ Total Medical-Outpatient/Home Medical 525
_____________________________________________________________________
Total Lasers-Systems/Components 324
_____________________________________________________________________ Networking Products - 4.3%
Acme Packet* 64,708 670
Machinery-Construction & Mining - 3.1% Polycom* 107,369 2,408
Terex* 113,231 2,214 ______________
______________
Total Networking Products 3,078
Total Machinery-Construction & Mining 2,214 _____________________________________________________________________
_____________________________________________________________________
Oil & Gas Drilling - 1.0%
Machinery-General Industry - 3.5% Rowan* 33,111 711
Roper Industries 49,003 2,454 ______________
______________
Total Oil & Gas Drilling 711
Total Machinery-General Industry 2,454 _____________________________________________________________________
_____________________________________________________________________
Oil Companies-Exploration & Production - 2.5%
Machinery-Pumps - 1.1% Arena Resources* 19,737 757
Flowserve 8,859 799 Comstock Resources* 14,027 547
______________ Concho Resources* 10,992 493
______________
Total Machinery-Pumps 799
_____________________________________________________________________ Total Oil Companies-Exploration
& Production 1,797
Medical Information Systems - 1.7% _____________________________________________________________________
athenahealth* 17,412 685
Cerner* 6,979 528 Pharmacy Services - 0.9%
______________ Catalyst Health Solutions* 15,420 606
______________
Total Medical Information Systems 1,213
_____________________________________________________________________ Total Pharmacy Services 606
_____________________________________________________________________
Medical Instruments - 4.4%
Beckman Coulter 13,088 856 Printing-Commercial - 1.1%
Conceptus* 54,487 1,058 VistaPrint* 13,814 774
ev3* 33,650 491 ______________
Thoratec* 24,215 686
______________ Total Printing-Commercial 774
_____________________________________________________________________
Total Medical Instruments 3,091
_____________________________________________________________________ Recreational Vehicles - 1.0%
Polaris Industries 15,535 687
Medical Products - 0.4% ______________
Cyberonics* 16,075 301
______________ Total Recreational Vehicles 687
_____________________________________________________________________
Total Medical Products 301
_____________________________________________________________________
19
OLD MUTUAL COPPER ROCK EMERGING GROWTH FUND - concluded
____________________________________________________________________________________________________________________________________
SCHEDULE OF INVESTMENTS
AS OF JANUARY 31,2010(UNAUDITED)
_____________________________________________________________________ _____________________________________________________________________
Description Shares Value (000) Description Shares Value (000)
_____________________________________________________________________ _____________________________________________________________________
Retail-Apparel/Shoe - 3.0%
Guess? 17,108 $ 679 Investment Company - 0.4%
Gymboree* 19,025 742 Growth-Mid Cap - 0.3%
Urban Outfitters* 23,491 742 iShares Russell Midcap Growth
______________ Index Fund 4,871 $ 212
______________
Total Retail-Apparel/Shoe 2,163
_____________________________________________________________________ Total Growth-Mid Cap 212
_____________________________________________________________________
Retail-Jewelry - 1.0%
Tiffany 17,429 708 Growth-Small Cap - 0.1%
______________ iShares Russell 2000 Growth
Index Fund 1,643 107
Total Retail-Jewelry 708 ______________
_____________________________________________________________________
Total Growth-Small Cap 107
Retail-Restaurants - 1.4% ______________
Chipotle Mexican Grill* 10,224 986
______________ Total Investment Company (Cost $341) 319
_____________________________________________________________________
Total Retail-Restaurants 986
_____________________________________________________________________ Money Market Fund - 0.5%
Dreyfus Cash Management Fund,
Schools - 2.7% Institutional Class, 0.109% (A) 322,840 323
DeVry 20,637 1,260 ______________
Strayer Education 3,279 681
______________ Total Money Market Fund (Cost $323) 323
_____________________________________________________________________
Total Schools 1,941
_____________________________________________________________________ Total Investments - 97.0% (Cost $62,479) 68,803
_____________________________________________________________________
Superconductor Production & Systems - 2.4%
American Superconductor* 45,087 1,714 Other Assets and Liabilities, Net - 3.0% 2,152
______________ _____________________________________________________________________
Total Superconductor Production Total Net Assets - 100.0% $ 70,955
& Systems 1,714 _____________________________________________________________________
_____________________________________________________________________
Therapeutics - 1.4% For descriptions of abbreviations and footnotes, please refer to page
BioMarin Pharmaceutical* 25,246 490 28.
Onyx Pharmaceuticals* 17,360 499
______________ Other Information:
Total Therapeutics 989 The Fund utilizes various inputs in determining the value of its
_____________________________________________________________________ investments as of the reporting period end. These inputs are
summarized in three broad levels as follows:
Transactional Software - 0.5%
Solera Holdings 10,696 354 Level 1 - quoted prices in active markets for identical securities
______________
Level 2 - other significant observable inputs (including quoted
Total Transactional Software 354 prices for similar securities, interest rates, prepayment
_____________________________________________________________________ speeds, credit risk, etc.)
Transport-Services - 0.6% Level 3 - significant unobservable inputs (including the Fund's own
HUB Group, Cl A* 16,539 399 assumption in determining the fair value of investments)
______________
The inputs or methodology used for valuing securities are not
Total Transport-Services 399 necessarily an indication of the risk associated with investing in
_____________________________________________________________________ those securities. A summary of the inputs used as of January 31, 2010
in valuing the Fund's net assets were as follows (000):
Veterinary Diagnostics - 2.8%
VCA Antech* 78,825 2,001 Description Level 1 Level 2 Level 3 Total
______________ _________________________________________________________________
Investments
Total Veterinary Diagnostics 2,001 Common Stock $68,161 $- $- $68,161
_____________________________________________________________________ Investment Company 319 - - 319
Money Market Fund 323 - - 323
Web Hosting/Design - 0.8% _________________________________________________________________
Rackspace Hosting* 29,278 533
______________ Total Investments $68,803 $- $- $68,803
_________________________________________________________________
Total Web Hosting/Design 533
_____________________________________________________________________ Refer to the "Security Valuation" section of Note 2 for further
information.
Wireless Equipment - 1.4%
SBA Communications, Cl A* 29,858 988
______________
Total Wireless Equipment 988
______________
Total Common Stock (Cost $61,815) 68,161
_____________________________________________________________________
The accompanying notes are an integral part of the financial
statements.
20
OLD MUTUAL INTERNATIONAL EQUITY FUND
____________________________________________________________________________________________________________________________________
MANAGEMENT OVERVIEW (UNAUDITED)
Sub-Adviser: Acadian Asset Management LLC
Performance Highlights
o For the six-month period ended January 31, 2010, the Old Mutual International Equity Fund (the "Fund") underperformed its
benchmark, the MSCI EAFE Index. The Fund's Class A shares posted a 5.62% return at net asset value versus a 6.93% return for
the benchmark.
o Stock selection fared best in Germany, Denmark, Singapore and Sweden. Country allocations produced negative results mostly
offsetting stock return. The main source of this was the overweighting in Japan.
o Commonwealth Bank of Australia (no longer a Fund holding), BP and Nestle were the top contributors for the period.
o Deutsche Telekom AG, Sumitomo Mitsui Financial Group and UPM-Kymmene Oyj (no longer a Fund holding) were the top detractors for
the period.
Q. How did the Fund perform relative to its benchmark?
A. For the six-month period ended January 31, 2010, the Old Mutual International Equity Fund (the "Fund") underperformed its
benchmark, the MSCI EAFE Index. The Fund's Class A shares posted a 5.62% return at net asset value versus a 6.93% return for
the benchmark. Performance for all share classes can be found on page 23.
Q. What investment environment did the Fund face during the past period?
A. The beginning of the period saw a continuation of the market rally that began in mid- March 2009. Investors focused on the
least expensive, riskiest, lowest quality stocks, as they sought bargains in anticipation of an economic and financial market
rebound.The markets rose dramatically during the period, as signs of global economic recovery became more abundant and
corporate profits exceeded investors' expectations. The low-quality focus began to abate in October 2009 as investors shifted
to earnings as a key driver of stock attractiveness. Risk conditions began to stabilize under this renewed attention to
fundamentals, supporting good stock returns through December 2009, though market leadership remained quite narrow. January 2010
saw a decline in markets as equities were pressured by concerns that the economic recovery could be losing momentum.
Q. Which market factors influenced the Fund's relative performance?
A. The Fund's performance lagged at the start of the period because the markets did not favor stock selection based on
quantitative factors. Stock selection based on quality and earnings factors was also less effective. The latter part of the
period was characterized by a focus on value, accompanied by favorable earnings trends and financial quality, producing
stronger returns for the Fund.
Q. How did portfolio composition affect relative Fund performance?
A. Stock selection fared best in Germany, Denmark, Singapore and Sweden. Country allocations produced negative results mostly
offsetting stock return. The main source of this was the overweighting in Japan.
Commonwealth Bank of Australia (no longer a Fund holding), BP and Nestle were the top contributors for the period. An
Australian bank, Commonwealth Bank of Australia, saw its share price rise on improved earnings as the Australian economy
remained stable and looked positive for 2010. United Kingdom oil company BP's stock price rose steadily during the period as
the global economy improved and investors were optimistic about the outlook for oil prices and resource demand. Switzerland's
Nestle, the world's largest food producer, saw its stock price rise sharply in October 2009 after being raised to "buy" from
"hold" at Deutsche Bank.
Deutsche Telekom AG, Sumitomo Mitsui Financial Group and UPM-Kymmene Oyj (no longer a Fund holding) were the top detractors for
the period. German telecommunications company, Deutsche Telekom AG, saw its stock price rise following the announcement of good
third quarter 2009 earnings. The Fund was underweight in this security, which detracted from performance. Japan's second
largest bank, Sumitomo Mitsui Financial Group, saw its stock price decline after it was reported that the company would sell
its stake in a joint venture with Daiwa Securities Group. Finnish paper company UPM-Kymmene OYJ, saw it stock price fall in
January 2010 amidst a legal dispute with World Color Press.
International Equity Fund
21
OLD MUTUAL INTERNATIONAL EQUITY FUND - continued
____________________________________________________________________________________________________________________________________
MANAGEMENT OVERVIEW (UNAUDITED)
Sub-Adviser: Acadian Asset Management LLC
Top Ten Holdings
as of January 31, 2010
BP 3.8%
___________________________________________________________________________________
Royal Dutch Shell, Cl A 3.7%
___________________________________________________________________________________
HSBC Holdings 3.5%
___________________________________________________________________________________
Nestle 3.4%
___________________________________________________________________________________
BHP Billiton 3.0%
___________________________________________________________________________________
Unilever 3.0%
___________________________________________________________________________________
Sanofi-Aventis 2.7%
___________________________________________________________________________________
AstraZeneca (GBP) 2.6%
___________________________________________________________________________________
E.ON 2.4%
___________________________________________________________________________________
Enel Spa 2.3%
___________________________________________________________________________________
As a % of Total
Fund Investments 30.4%
___________________________________________________________________________________
Q. What is the investment outlook for international stocks?
A. Acadian Asset Management LLC ("Acadian"), the Fund's sub-adviser, believes that global economic recovery will remain subdued as
lending growth remains restricted in most economies. Acadian points out that a key source of global economic recovery may be
emerging markets, which are currently experiencing good growth that Acadian believes is likely to be sustained. Acadian notes
recent indications show that investors are returning to a more typical focus on the objective fundamentals of stocks, whereby
solid data such as earnings are driving stock selection, as opposed to macro issues and market sentiment. While Acadian expects
there to be continued moderate market volatility over the near-term, it believes markets will follow a larger trajectory of
normalizing overall.
International Equity Fund
22
PERFORMANCE AND PORTFOLIO SUMMARY (UNAUDITED)
Average Annual Total Returns as of January 31, 2010
____________________________________________________________________________________________________________________________________
Annualized
Inception 6 Year 1 Year Inception
Date Return Return to Date
____________________________________________________________________________________________________________________________________
Class A with load 12/30/05 (0.47)% 25.80% (5.00)%
Class A without load 12/30/05 5.62% 33.47% (3.61)%
Class Z 12/30/05 5.68% 33.61% (3.38)%
Institutional Class 12/30/05 5.90% 34.20% (3.12)%
MSCI EAFE([R])Index 12/30/05 6.93% 39.68% 0.04%
____________________________________________________________________________________________________________________________________
Past performance is not a guarantee of future results. The Fund's performance results do not reflect the deduction of taxes that a
shareholder would pay on Fund distributions or on the redemption of Fund shares. Information about these performance results and the
comparative index can be found on pages 1 and 2.
Class A shares have a current maximum initial sales charge of 5.75%; Class A share purchases of $1 million or more, which were
purchased without an initial sales charge, may be subject to a CDSC of 1.00%, if redeemed within twelve months of the date of
purchase. Please read the prospectus carefully for more information on sales charges. The total annual operating expenses and net
annual operating expenses you may pay as an investor in the Fund's Class A, Class Z and Institutional Class shares (as reported in
the November 19, 2009 prospectus) are 3.43% and 1.52%; 3.85% and 1.27%; and 1.55% and 1.02%, respectively.
Fund Performance
____________________________________________________________________________________________________________________________________
[LINE GRAPH WAS REPRESENTED IN THE PRINTED MATERIAL]
| | Old Mutual International Equity Fund, Class A | Old Mutual International Equity Fund, Class Z | Old Mutual International Equity Fund, Institutional Class | MSCI EAFE(R) Index | |
| 12/30/2005 | 9,425 | 10,000 | 10,000 | 10,000 | |
| 7/31/2006 | 10,320 | 10,970 | 10,980 | 11,125 | |
| 7/31/2007 | 13,212 | 14,067 | 14,126 | 13,785 | |
| 7/31/2008 | 10,960 | 11,693 | 11,779 | 12,105 | |
| 7/31/2009 | 7,678 | 8,220 | 8,295 | 9,369 | |
| 1/31/2010 | 8,109 | 8,687 | 8,784 | 10,018 | |
Past performance is not a guarantee of future results. The graph above compares an investment made in each of the Fund's share
classes on the inception date of 12/30/05 to an investment made in an unmanaged securities index on that date. The performance of
the Fund's Class A shares shown in the line graph takes into account the maximum initial sales charge. The Fund's performance in
this chart and the performance table assumes reinvestment of dividends and capital gain distributions but does not reflect the
deduction of taxes that a shareholder would pay on Fund distributions or on the redemption of Fund shares.
Sector Weightings as of January 31, 2010 - % of Total Fund Investments
____________________________________________________________________________________________________________________________________
[PIE GRAPH WAS REPRESENTED IN THE PRINTED MATERIAL]
| Australia | 6.5% | |
| Austria | 1.6% | |
| Belgium | 1.7% | |
| Canada | 0.2% | |
| Cash Equivalents | 0.1% | |
| China | 0.5% | |
| Common Stock | 0.4% | |
| Denmark | 0.3% | |
| Finland | 1.2% | |
| Foreign Preferred Stock | 0.1% | |
| France | 6.9% | |
| Germany | 9.5% | |
| Greece | 0.7% | |
| Hong Kong | 5.5% | |
| Italy | 3.3% | |
| Japan | 24.0% | |
| Netherlands | 9.8% | |
| Norway | 0.4% | |
| Portugal | 1.3% | |
| Singapore | 4.3% | |
| Spain | 0.8% | |
| Sweden | 2.4% | |
| Switzerland | 4.3% | |
| United Kingdom | 14.2% | |
23
OLD MUTUAL INTERNATIONAL EQUITY FUND - continued
SCHEDULE OF INVESTMENTS
AS OF JANUARY 31, 2010 (UNAUDITED)
_____________________________________________________________________ _____________________________________________________________________
Description Shares Value (000) Description Shares Value (000)
_____________________________________________________________________ _____________________________________________________________________
Common Stock - 0.4% Denmark - 0.3%
B2B/E-Commerce - 0.0% Danisco A/S 1,644 $ 115
Global Sources* 319 $ 2 Danske Bank A/S* 600 14
______________ Monberg & Thorsen A/S, Cl B* 186 10
Total B2B/E-Commerce 2 PER Aarsleff A/S, Cl B 283 30
_____________________________________________________________________ ______________
Electronic Components-Miscellaneous - 0.2% Total Denmark 169
NAM TAI Electronics* 14,900 71 _____________________________________________________________________
______________
Total Electronic Components-Miscellaneous 71 Finland - 1.2%
_____________________________________________________________________ Digia 5,565 28
Fiskars OYJ ABP 110 2
Paper & Related Products - 0.2% Stora Enso OYJ, Cl R* 93,630 575
Cascades 14,700 110 ______________
______________
Total Finland 605
Total Paper & Related Products 110 _____________________________________________________________________
______________
France - 6.9%
Total Common Stock (Cost $155) 183 AXA ��75 2
_____________________________________________________________________ BNP Paribas 15,069 1,076
Bouygues 6,531 322
Foreign Common Stock - 98.6% Cegid Group 917 24
Australia - 6.4% Cie des Alpes 832 30
BHP Billiton 43,489 1,512 Devoteam 1,809 47
Origin Energy 57,529 812 ECA 846 16
RCR Tomlinson 49,896 44 Etam Developpement* 707 18
RHG* 87,115 42 Groupe Steria SCA 14,228 415
Santos 77,933 902 LDC 129 14
______________ Linedata Services 1,608 21
Mr Bricolage 203 4
Total Australia 3,312 NetGem 4,971 22
_____________________________________________________________________ Parrot* 8,935 151
Sanofi-Aventis 18,367 1,358
Austria - 1.6% Tessi 257 18
Erste Group Bank 5,153 195 Video Futur Entertainment Group* 4,971 3
OMV 15,969 629 ______________
Telekom Austria 200 3
Voestalpine 127 4 Total France 3,541
______________ _____________________________________________________________________
Total Austria 831 Germany - 9.4%
_____________________________________________________________________ ADVA AG Optical Networking* 21,136 73
Allianz SE 9,110 1,009
Belgium - 1.7% Amadeus Fire 2,335 57
Barco* 4,705 193 BASF SE 6,367 362
Cie d'Entreprises CFE 703 34 Bavaria Industriekapital 925 15
D'ieteren 718 308 Bayer 13,746 940
Euronav 40 1 Cewe Color Holding 836 26
Fortis 65,610 231 Deutsche Telekom AG 72,777 947
Kinepolis Group 940 41 E.ON 33,788 1,243
Recticel 7,070 57 Freenet 62 1
______________ Koenig & Bauer* 565 9
Loewe 1,348 19
Total Belgium 865 Medion 1,221 13
_____________________________________________________________________ VTG 7,856 117
______________
Canada - 0.2%
QLT* 20,400 94 Total Germany 4,831
______________ _____________________________________________________________________
Total Canada 94
_____________________________________________________________________
China - 0.5%
Pacific Textile Holdings 100,000 71
SunVic Chemical Holdings 8,000 1
Yangzijiang Shipbuilding Holdings 272,000 203
______________
Total China 275
_____________________________________________________________________
24
_____________________________________________________________________ _____________________________________________________________________
Description Shares Value (000) Description Shares Value (000)
_____________________________________________________________________ _____________________________________________________________________
Greece - 0.7% Japan - continued
National Bank of Greece* 5,961 $ 130 Daido Kogyo 8,000 $ 12
OPAP 10,780 235 Daihatsu Diesel Manufacturing 4,000 14
______________ Daiichi Jitsugyo 4,000 10
Daiichi Kigenso Kagaku-Kogyo 1,000 32
Total Greece 365 Daiichikosho 4,200 52
_____________________________________________________________________ Daito Bank 13,000 9
Faith 1,196 128
Hong Kong - 5.5% Fuji Electronics 1,800 17
Allied Properties* 120,000 21 Fuji Soft 3,200 51
Amax Holdings* 5,922,000 128 Fujimori Kogyo 1,400 19
Champion Technology Holdings 6,316,000 212 Fujitsu 122,100 745
CLP Holdings 168,000 1,137 Fujitsu Frontech 1,800 14
Courage Marine Group 17,000 2 FuKoKu 2,000 15
Dickson Concepts International 67,000 35 Fukuda Denshi 1,300 31
DMX Technologies Group* �� 38,000 9 Haruyama Trading 1,500 6
Fairwood 45,500 46 Haseko* 500 -
Galaxy Entertainment Group* 138,000 52 Hazama 26,300 24
Hannstar Board International Holdings 84,000 21 HI-LEX 2,800 27
Hutchison Whampoa 114,000 775 Imasen Electric Industrial 884 12
Jardine Strategic Holdings 14,500 246 Inaba Seisakusho 300 3
Keck Seng Investments 24,900 13 INES 7,500 57
Luen Thai Holdings 137,000 14 Innotech 2,200 11
Next Media 246,000 33 Iwatani 26,000 72
Pacific Basin Shipping 15,373 11 Japan Automobile Auction 14 15
Victory City International Holdings 228,000 53 JBCC Holdings 5,200 33
Wing On International 7,000 9 JMS 3,000 11
______________ Joban Kosan 9,000 14
Kamei 3,000 14
Total Hong Kong 2,817 Kanematsu Electronics 2,300 21
_____________________________________________________________________ Kawasumi Laboratories 10,000 62
Koike Sanso Kogyo 6,000 18
Italy - 3.3% Komatsu Seiren 10,000 39
Banca Popolare dell'Emilia Romagna 169 3 Konishi 1,900 18
De'Longhi SpA 6,503 27 KRS 1,600 16
Enel SpA 219,712 1,181 Kyodo Printing 12,000 32
Engineering Ingegneria Informatica SpA* 1,424 52 Marubeni 98,000 569
Exor SpA 26 - Marubun 4,800 28
Italmobiliare SpA* 879 38 Mimasu Semiconductor Industry 1,500 18
Milano Assicurazioni SpA 521 1 Miraca Holdings 6,600 197
Seat Pagine Gialle SpA* 134,996 31 Mitani 500 3
Telecom Italia SpA 241,174 361 Mitsubishi 3,100 75
______________ Mitsui Home 2,000 10
Mr Max 3,500 16
Total Italy 1,694 Nagase 37,000 430
_____________________________________________________________________ Namura Shipbuilding 17,400 98
NIC 9,500 41
Japan - 23.8% Nichireki 12,000 44
Aeon 29,800 296 NIFTY 10 8
Airport Facilities 3,900 21 Nihon Unisys 6,000 45
Alfresa Holdings 2,300 95 Nihon Yamamura Glass 7,000 22
Allied Telesis Holdings* 15,800 12 Nippo 15,000 102
Amiyaki Tei 9 21 Nippon Game Card 26 31
Ando 12,000 14 Nippon Road 30,000 60
Arakawa Chemical Industries 5,500 63 Nippon Steel 700 3
Argo Graphics 1,700 18 _____________________________________________________________________
Artnature 5,600 48
Asahi Industries 15 31
Astellas Pharma 27,600 1,018
Bando Chemical Industries 10,000 30
Canon 50 2
Chubu Steel Plate 12,700 69
Combi 1,500 10
_____________________________________________________________________
25
OLD MUTUAL INTERNATIONAL EQUITY FUND - concluded
____________________________________________________________________________________________________________________________________
SCHEDULE OF INVESTMENTS
AS OF JANUARY 31, 2010 (UNAUDITED)
_____________________________________________________________________ _____________________________________________________________________
Description Shares Value (000) Description Shares Value (000)
_____________________________________________________________________ _____________________________________________________________________
Japan - continued Japan - continued
Nippon Steel Trading 1,000 $ 2 Yellow Hat 2,700 $ 21
NIS Group* 24,600 7 Zojirushi 18,000 37
Nishimatsu Construction 40,000 46 ______________
Nissan Motor 101,100 822
Nisshin Fudosan 2,900 12 Total Japan 12,248
Nissin Sugar Manufacturing 7,000 16 _____________________________________________________________________
Noevir 500 5
Nojima 1,300 12 Netherlands - 9.7%
NTT 27,200 1,145 EADS 37,352 730
NTT Data 229 713 Gamma Holding* 57 1
Piolax 2,800 48 Philips Electronics 24,209 731
Pressance 8 15 Royal Dutch Shell, Cl A 68,829 1,911
Raysum* 60 17 Teleplan International* 32,125 106
Relo Holdings 4,100 57 TNT 53 2
Riken Technos 8,000 21 Unilever 49,159 1,505
Ryoden Trading 2,000 10 ______________
Ryoyo Electro 13,400 113
S Foods 2,500 22 Total Netherlands 4,986
Sakata INX 8,000 33 _____________________________________________________________________
Sapporo Hokuyo Holdings 75,500 305
Satori Electric 6,400 37 New Zealand - 0.0%
Seika 9,000 19 Sky Network Television 210 1
Seria 1 1 ______________
Sharp 34,000 408
Shidax 5,000 21 Total New Zealand 1
Shinsho 3,000 5 _____________________________________________________________________
Sinanen 3,000 13
Soft99 2,400 13 Norway - 0.4%
Softbank 1,700 43 Atea ASA 14,500 122
Sojitz 245,300 451 Norske Skogindustrier* 52,125 86
Sony 29,500 984 ______________
Studio Alice 9,700 81
Sumikin Bussan 2,000 4 Total Norway 208
Sumitomo Mitsui Financial Group 13,900 449 _____________________________________________________________________
Sumitomo Pipe & Tube 9,900 52
SystemPro 50 23 Portugal - 1.3%
T&K Toka 1,500 18 EDP - Energias de Portugal 164,896 654
Taiyo Elec 2,300 15 ______________
Takagi Securities 9,000 16
Techno Ryowa 1,200 6 Total Portugal 654
Teikoku Sen-I 1,000 5 _____________________________________________________________________
Toa Oil 11,000 11
Tomen Devices 800 15 Singapore - 4.3%
Tomen Electronics 1,300 15 Chemoil Energy 59,000 21
Tomoe 9,900 23 DBS Group Holdings 111,000 1,118
Topy Industries 26,000 43 Jardine Cycle & Carriage 48,526 867
Torii Pharmaceutical 6,600 124 Macquarie International
Toshiba TEC* 21,000 78 Infrastructure Fund 550,000 187
Totetsu Kogyo 29,000 163 QAF 31,000 12
Toyota Tsusho 20,700 314 ______________
Trancom 3,700 58
Universe 700 9 Total Singapore 2,205
Watabe Wedding 3,900 43 _____________________________________________________________________
Yasunaga 2,100 7
_____________________________________________________________________ Spain - 0.8%
Banco Bilbao Vizcaya Argentaria 12,704 194
Banco Santander 1,784 25
Telefonica 8,229 197
______________
Total Spain 416
_____________________________________________________________________
Sweden - 2.4%
Acando AB 11,799 22
Bilia AB, Cl A* 13,310 130
Electrolux AB, Ser B 29,218 688
Industrial & Financial Systems, Cl B 3,345 32
Industrivarden AB, Cl A 2,056 24
Nolato AB, Cl B 4,386 37
Saab AB, Cl B 18,784 302
______________
Total Sweden 1,235
_____________________________________________________________________
26
_____________________________________________________________________ _____________________________________________________________________
Description Shares Value (000) Description Shares Value (000)
_____________________________________________________________________ _____________________________________________________________________
Switzerland - 4.2% Money Market Fund - 0.1%
Advanced Digital Broadcast Holdings* 3,308 $ 156 Dreyfus Cash Management Fund,
Bell Holding 28 43 Institutional Class, 0.109% (A) 67,516 $ 68
Emmi 705 86 ______________
Nestle 36,830 1,746
Novartis 2,253 121 Total Money Market Fund (Cost $68) 68
Swisslog Holding 37,055 34 _____________________________________________________________________
______________
Total Investments - 99.1% (Cost $47,516) 51,040
Total Switzerland 2,186 _____________________________________________________________________
_____________________________________________________________________
Other Assets and Liabilities, Net - 0.9% 459
United Kingdom - 14.0% _____________________________________________________________________
Anglo-Eastern Plantations 1,127 7
AstraZeneca (GBP) 28,669 1,331 Total Net Assets - 100.0% $ 51,499
AstraZeneca (SEK) 317 15 _____________________________________________________________________
Aveva Group 94 2
BHP Billiton 127 4 For descriptions of abbreviations and footnotes, please refer to page
BP 207,179 1,933 28.
British Polythene Industries 61 -
Cape* 7,630 26 Other Information:
Character Group 242 -
Chaucer Holdings 257 - The Fund utilizes various inputs in determining the value of its
Chime Communications 25,867 85 investments as of the reporting period end. These inputs are
Clarkson 2,042 26 summarized in three broad levels as follows:
Colliers Cre* 3,314 1
Colt Telecom Group* 27,500 54 Level 1 - quoted prices in active markets for identical securities
Dart Group 43,877 34
Davis Service Group 31,578 203 Level 2 - other significant observable inputs (including quoted
Delta 5,686 14 prices for similar securities, interest rates, prepayment
DS Smith 25,656 45 speeds, credit risk, etc.)
Hamworthy 3,200 16
Hilton Food Group 1,087 3 Level 3 - significant unobservable inputs (including the Fund's own
HSBC Holdings 168,981 1,809 assumption in determining the fair value of investments)
Imperial Tobacco Group 16,743 540
J Sainsbury 19,390 100 The inputs or methodology used for valuing securities are not
Lloyds Banking Group* 332 - necessarily an indication of the risk associated with investing in
Logica 390,712 729 those securities. A summary of the inputs used as of January 31, 2010
Rank Group 33,500 49 in valuing the Fund's net assets were as follows (000):
Renew Holdings 2,084 1
RPC Group 25,287 97 Description Level 1 Level 2 Level 3 Total
Scott Wilson Group 16,955 27 _____________________________________________________________________
Tribal Group 14,443 19
Vitec Group 1,800 12 Investments
Yule Catto* 15,703 44 Common Stock $183 $ - $ - $ 183
______________ Foreign Common Stock
Australia - 3,312 - 3,312
Total United Kingdom 7,226 Austria - 831 - 831
______________ Belgium - �� 865 - 865
Canada 94 - - 94
Total Foreign Common Stock (Cost $47,276) 50,764 China - 275 - 275
_____________________________________________________________________ Denmark - 169 - 169
Finland - 605 - 605
Foreign Preferred Stock - 0.0% France 3 3,538 - 3,541
Germany - 0.0% Germany 88 4,743 - 4,831
Villeroy & Boch 3,475 25 Greece - 365 - 365
______________ Hong Kong - 2,817 - 2,817
Italy - 1,694 - 1,694
Total Germany 25 Japan 408 11,840 - 12,248
______________ Netherlands - 4,986 - 4,986
New Zealand - 1 - 1
Total Foreign Preferred Stock (Cost $17) 25 Norway - 208 - 208
_____________________________________________________________________ Portugal - 654 - 654
Singapore 12 2,193 - 2,205
Spain 25 391 - 416
Sweden - 1,235 - 1,235
Switzerland - 2,186 - 2,186
United Kingdom 27 7,199 - 7,226
Foreign Preferred Stock
Germany - 25 - 25
Money Market Fund 68 - - 68
_____________________________________________________________________
Total Investments $ 908 $50,132 $ - $51,040
_____________________________________________________________________
Refer to the "Security Valuation" section of Note 2 for further
information.
�� 27
NOTES TO SCHEDULE OF INVESTMENTS
____________________________________________________________________________________________________________________________________
* Non-income producing security.
(A) - The rate reported represents the 7-day effective yield as of January 31, 2010.
(B) - All or a portion of this security is held as cover for securities sold short, forward foreign currency contracts or open
written option contracts.
(C) - All or a portion of this security is held as required margin for open futures contracts. The rate reported represents the
effective yield at the time of purchase.
ADR - American Depositary Receipt
AUD - Australian Dollar
CAD - Canadian Dollar
CHF - Swiss Franc
Cl - Class
EUR - Euro
GBP - British Pound Sterling
JPY - Japanese Yen
NOK - Norwegian Krone
NZD - New Zealand Dollar
R&D - Research and Development
REITs - Real Estate Investment Trusts
S&L - Savings and Loan
SEK - Swedish Krona
Ser - Series
Amounts designated as "-" are either $0 or have been rounded to $0.
Cost figures are shown with "000's" omitted.
The accompanying notes are an integral part of the financial statements.
28
STATEMENTS OF ASSETS & LIABILITIES (000, excluding shares)
AS OF JANUARY 31, 2010 (UNAUDITED)
____________________________________________________________________________________________________________________________________
Old Mutual
Old Mutual Copper Rock Old Mutual
Analytic Emerging International
Fund Growth Fund Equity Fund
____________________________________________________________________________________________________________________________________
Assets:
Investment Securities, at cost $ 110,556 $ 62,479 $ 47,516
____________________________________________________________________________________________________________________________________
Investment Securities, at value $ 127,393 $ 68,803 $ 51,040
Cash Deposits with Broker for Collateral 300 - -
Foreign Currency (cost $-, $-, $881) - - 882
Unrealized Gain on Forward Foreign Currency Contracts 2,492 - -
Receivable for Capital Shares Sold 14 100 11
Receivable from Investment Adviser 37 7 36
Receivable for Investment Securities Sold - 4,900 1,336
Receivable for Dividends and Interest 85 6 80
Variation Margin Receivable on Futures Contracts 631 - -
Other Assets 2 2 13
Prepaid Trustee's Fees - 5 -
____________________________________________________________________________________________________________________________________
Total Assets 130,954 73,823 53,398
____________________________________________________________________________________________________________________________________
Liabilities:
Payable for Investment Securities Purchased - 2,715 1,804
Payable for Capital Shares Redeemed 523 48 4
Variation Margin Payable on Futures Contracts 468 - -
Written Option Contracts, at Value, (Proceeds received of $2,542, $-, $-) 823 - -
Securities Sold Short, at Value (Proceeds received of $16,988, $-, $-) 19,430 - -
Unrealized Loss on Forward Foreign Currency Contracts 2,886 - -
Payable for Administration Fees 10 7 5
Payable for Distribution & Service Fees 10 - -
Payable for Management Fees 92 58 46
Payable to Custodian 252 - -
Payable for Trustees' Fees 11 - 1
Accrued Expenses 184 40 39
____________________________________________________________________________________________________________________________________
Total Liabilities 24,689 2,868 1,899
____________________________________________________________________________________________________________________________________
Net Assets $ 106,265 $ 70,955 $ 51,499
____________________________________________________________________________________________________________________________________
Net Assets:
Paid-in Capital ($0.001 par value, unlimited authorization) $ 271,618 $ 91,844 $ 96,227
Undistributed (Distributions in Excess of) Net Investment
Income/(Accumulated Net Investment Loss) (10,725) (28) (102)
Accumulated Net Realized Gain (Loss) on Investments, Securities Sold Short,
Futures, Written Options and Foreign Currency Transactions (169,520) (27,185) (48,152)
Net Unrealized Appreciation on Investments, Securities Sold Short,
Futures, Written Options and Foreign Currency Transactions 14,892 6,324 3,526
____________________________________________________________________________________________________________________________________
Net Assets $ 106,265 $ 70,955 $ 51,499
____________________________________________________________________________________________________________________________________
Net Assets - Class A $ 54,225 $ 3,862 $ 438
Net Assets - Class C 27,770 N/A N/A
Net Assets - Class Z 24,269 18,587 599
Net Assets - Institutional Class 1 48,506 50,462
____________________________________________________________________________________________________________________________________
Outstanding Shares of Beneficial Interest - Class A 6,208,080 464,938 54,892
Outstanding Shares of Beneficial Interest - Class C 3,297,180 N/A N/A
Outstanding Shares of Beneficial Interest - Class Z 2,753,814 2,211,459 74,858
Outstanding Shares of Beneficial Interest - Institutional Class 168 5,720,341 6,291,958
____________________________________________________________________________________________________________________________________
Net Asset Value and Redemption Price Per Share - Class A^ $ 8.73 $ 8.31 $ 7.98
____________________________________________________________________________________________________________________________________
Maximum Offering Price Per Share Class A (Net Asset Value 94.25%) $ 9.26 $ 8.82 $ 8.47
____________________________________________________________________________________________________________________________________
Net Asset Value, Offering and Redemption Price Per Share - Class C †^ $ 8.42 N/A N/A
____________________________________________________________________________________________________________________________________
Net Asset Value, Offering and Redemption Price Per Share - Class Z^ $ 8.81 $ 8.40 $ 8.00
____________________________________________________________________________________________________________________________________
Net Asset Value, Offering and Redemption Price Per Share - Institutional Class^ $ 8.82 $ 8.48 $ 8.02
____________________________________________________________________________________________________________________________________
Amounts designated as "-" are either $0 or have been rounded to $0.
† Class C shares have a contingent deferred sales charge. For a description of possible sales charge, please see the Fund's
Prospectus.
^ Net Assets divided by shares may not calculate to the stated NAV because these amounts are shown rounded.
N/A - Not Applicable
The accompanying notes are an integral part of the financial statements.
30
STATEMENTS OF OPERATIONS (000)
FOR THE SIX-MONTH PERIOD ENDED JANUARY 31, 2010 (UNAUDITED)
____________________________________________________________________________________________________________________________________
Old Mutual
Old Mutual Copper Rock Old Mutual
Analytic Emerging International
Fund Growth Fund Equity Fund
____________________________________________________________________________________________________________________________________
Investment Income:
Dividends $ 1,382 $ 436 $ 677
Interest 16 - -
Less: Foreign Taxes Withheld - - (45)
__________________________________________________________________________________________________________________________________
Total Investment Income 1,398 436 632
__________________________________________________________________________________________________________________________________
Expenses:
Management Fees 647 318 345
Administration Fees 68 35 35
Distribution and Service fees:
Class A 88 5 1
Class C 192 1 1
Trustees' Fees 51 20 23
Custodian Fees 26 9 44
Professional Fees 38 16 19
Registration and SEC Fees 20 25 20
Transfer Agent Fees 197 40 5
Dividend Expense on Securities Sold Short 107 - -
Interest Expense on Securities Sold Short 70 - -
Pricing Fees 2 1 41
Other Expenses 74 17 10
__________________________________________________________________________________________________________________________________
Total Expenses 1,580 487 544
__________________________________________________________________________________________________________________________________
Less:
Net Waiver of Management Fees (240) (23) (188)
__________________________________________________________________________________________________________________________________
Net Expenses 1,340 464 356
__________________________________________________________________________________________________________________________________
Net Investment Income (Loss) 58 (28) 276
__________________________________________________________________________________________________________________________________
Net Realized Gain (Loss) from Investment Transactions (including Securities Sold Short) 20,733 7,091 5,026
Net Realized Gain (Loss) on Foreign Currency Transactions 4,089 - (127)
Net Realized Loss on Futures Contracts (97) - -
Net Realized Loss on Written Option Contracts (11,637) - -
Net Change in Unrealized Depreciation on Investments (including Securities Sold Short) (11,839) (1,451) (69)
Net Change in Unrealized Depreciation on
Forward Foreign Currency Contracts and Foreign Currency Transactions (3,021) - (6)
Net Change in Unrealized Depreciation on Futures Contracts (2,605) - -
Net Change in Unrealized Appreciation on Written Option Contracts 5,469 - -
__________________________________________________________________________________________________________________________________
Net Realized and Unrealized Gain on Investments 1,092 5,640 4,824
__________________________________________________________________________________________________________________________________
Increase in Net Assets Resulting from Operations $ 1,150 $ 5,612 $ 5,100
__________________________________________________________________________________________________________________________________
Amounts designated as "-" are either $0 or have been rounded to $0.
The accompanying notes are an integral part of the financial statements.
31
STATEMENTS OF CHANGES IN NET ASSETS (000)
____________________________________________________________________________________________________________________________________
Old Mutual
Analytic
Fund
____________________________________________________________________________________________________________________________________
8/1/09 to 8/1/08 to
1/31/10 7/31/09
(Unaudited)
____________________________________________________________________________________________________________________________________
Investment Activities:
Net Investment Income (Loss) $ 58 $ 205
Net Increase from Payment by Affiliates (1) - -
Net Realized Gain (Loss) from Investments (including Securities Sold Short),
Written Option Contracts, Futures Contracts, Forward Foreign
Currency Contracts and Foreign Currency Transactions 13,088 (148,361)
Net Change in Unrealized Appreciation (Depreciation) on Investments
(including Securities Sold Short) Forward Foreign Currency Contracts,
Foreign Currency Transactions, Futures Contracts, and Written Option Contracts (11,996) 14,353
____________________________________________________________________________________________________________________________________
Net Increase (Decrease) in Net Assets Resulting from Operations 1,150 (133,803)
____________________________________________________________________________________________________________________________________
Dividends and Distributions to Shareholders From:
Net Investment Income:
Class A - -
Class C - -
Class Z - -
Institutional Class - -
____________________________________________________________________________________________________________________________________
Total Dividends and Distributions - -
____________________________________________________________________________________________________________________________________
Capital Share Transactions:
Class A
Shares Issued 3,569 25,346
Shares Issued upon Reinvestment of Distributions - -
Redemption Fees - 4
Shares Redeemed (33,401) (155,699)
____________________________________________________________________________________________________________________________________
Total Class A Capital Share Transactions (29,832) (130,349)
____________________________________________________________________________________________________________________________________
Class C(2)
Shares Issued 160 1,925
Redemption Fees - -
Shares Redeemed (24,553) (69,385)
____________________________________________________________________________________________________________________________________
Total Class C Capital Share Transactions (24,393) (67,460)
____________________________________________________________________________________________________________________________________
Class Z
Shares Issued 3,265 4,430
Shares Issued upon Reinvestment of Distributions - -
Redemption Fees - -
Shares Redeemed (8,854) (18,041)
____________________________________________________________________________________________________________________________________
Total Class Z Capital Share Transactions (5,589) (13,611)
____________________________________________________________________________________________________________________________________
Institutional Class
Shares Issued - 1,530
Shares Issued upon Reinvestment of Distributions - -
Redemption Fees - -
Shares Redeemed (12,400) (9,923)
____________________________________________________________________________________________________________________________________
Total Institutional Class Capital Share Transactions (12,400) (8,393)
____________________________________________________________________________________________________________________________________
Increase (Decrease) in Net Assets Derived from Capital Shares Transactions (72,214) (219,813)
____________________________________________________________________________________________________________________________________
Total Increase (Decrease) in Net Assets (71,064) (353,616)
____________________________________________________________________________________________________________________________________
Net Assets:
Beginning of Period 177,329 530,945
____________________________________________________________________________________________________________________________________
End of Period $ 106,265 $ 177,329
____________________________________________________________________________________________________________________________________
Undistributed (Distributions in Excess of) Net Investment Income/(Accumulated Net Investment Loss) $ (10,725) $ (10,783)
____________________________________________________________________________________________________________________________________
Amounts designated as "-" are either $0 or have been rounded to $0.
(1) See Note 2.
(2) Class C shares of the Old Mutual Copper Rock Emerging Growth Fund and Old Mutual International Equity Fund were closed in 2009.
See Note 1 for further details.
The accompanying notes are an integral part of the financial statements.
32
________________________________________________________________________________
Old Mutual
Copper Rock Old Mutual
Emerging International
Growth Fund Equity Fund
________________________________________________________________________________
8/1/09 to 8/1/08 to 8/1/09 to 8/1/08 to
1/31/10 7/31/09 1/31/10 7/31/09
(Unaudited) (Unaudited)
________________________________________________________________________________
$ (28) $ (513) $ 276 $ 1,509
- 1 - 2
7,091 (21,956) 4,899 (44,891)
(1,451) 3,604 (75) 7,512
________________________________________________________________________________
5,612 (18,864) 5,100 (35,868)
________________________________________________________________________________
- - (7) (11)
- - - (1)
- - (11) (11)
- - (1,164) (1,749)
________________________________________________________________________________
- - (1,182) (1,772)
________________________________________________________________________________
873 4,526 163 37
- - 6 7
- 1 - -
(773) (8,247) (370) (693)
________________________________________________________________________________
100 (3,720) (201) (649)
________________________________________________________________________________
- 124 - 123
- - - -
(396) (417) (1,001) (707)
________________________________________________________________________________
(396) (293) (1,001) (584)
________________________________________________________________________________
8,000 17,061 99 50
- - 10 11
- - - -
(11,342) (9,614) (40) (560)
________________________________________________________________________________
(3,342) 7,447 69 (499)
________________________________________________________________________________
13,495 20,072 898 14,337
- - 1,163 1,746
- - - -
(3,792) (7,685) (28,157) (20,580)
________________________________________________________________________________
9,703 12,387 (26,096) (4,497)
________________________________________________________________________________
6,065 15,821 (27,229) (6,229)
________________________________________________________________________________
11,677 (3,043) (23,311) (43,869)
________________________________________________________________________________
59,278 62,321 74,810 118,679
________________________________________________________________________________
$ 70,955 $ 59,278 $ 51,499 $ 74,810
________________________________________________________________________________
$ (28) $ - $ (102) $ 804
________________________________________________________________________________
33
STATEMENT OF CASH FLOWS (000)
FOR THE SIX-MONTH PERIOD ENDED JANUARY 31, 2010 (UNAUDITED)
____________________________________________________________________________________________________________________________________
Old Mutual
Analytic
Fund
____________________________________________________________________________________________________________________________________
Cash Flows Provided From (Used in) Operating Activities:
Interest and Dividends Received (Excludes Net of Amortization/Accretion of $15) $ 1,455
Purchases of Long-term Portfolio Investments (110,177)
Proceeds from Sales of Long-term Portfolio Investments 211,784
Net Cash Used in Futures Contracts (2,964)
Net Cash Used in Purchased Options Contracts (232)
Net Cash Used in Written Options Contracts (13,247)
Net Cash Used in Short Sales Transactions (18,626)
Net Decrease in Short-term Investments 7,232
Net Cash from Foreign Currency Transactions 4,089
Interest Expense Paid (70)
Operating Expenses Paid (1,545)
____________________________________________________________________________________________________________________________________
Net Cash Provided From Operating Activities 77,699
____________________________________________________________________________________________________________________________________
Cash Flows Used in Activities:
Decrease in Shares of Beneficial Interest Sold (72,365)
Decrease in Payable to Custodian (5,034)
Increase in Deposits with Brokers for Collateral (300)
____________________________________________________________________________________________________________________________________
Net Cash Used in Financing Activities (77,699)
____________________________________________________________________________________________________________________________________
Net Change in Cash -
Cash at Beginning of Year -
____________________________________________________________________________________________________________________________________
Cash at End of Year $ -
____________________________________________________________________________________________________________________________________
Reconciliation of Net Increase in Net Assets from Operations to
Net Cash Provided from Operating Activities:
Net Increase in Net Assets Resulting from Operations $ 1,150
____________________________________________________________________________________________________________________________________
Decrease in Investments 73,613
Decrease in Written Options Contracts, at Value (7,079)
Accretion of Discount on Investments (15)
Decrease in Dividends and Interest Receivable 72
Decrease in Payable for Securities Purchased (2,229)
Decrease in Variation Margin Payable (262)
Increase in Payable for Foreign Forward Currency Contracts 3,021
Increase in Other Assets (2)
Decrease in Accrued Expenses (272)
Decrease in Receivable for Securities Sold 9,702
____________________________________________________________________________________________________________________________________
Total Adjustments 76,549
____________________________________________________________________________________________________________________________________
Net Cash Provided From Operating Activities $ 77,699
____________________________________________________________________________________________________________________________________
Amounts designated as "-" are either $0 or have been rounded to $0.
The accompanying notes are an integral part of the financial statements.
34
FINANCIAL HIGHLIGHTS
FOR A SHARE OUTSTANDING THROUGHOUT EACH YEAR OR PERIOD ENDED JULY 31, (UNLESS OTHERWISE NOTED)
AND FOR THE SIX-MONTH PERIOD ENDED JANUARY 31, 2010 (UNAUDITED)
60; Ratio of
60; Expenses
Realized & #160; to Average Net Ratio of Net
Net and Net Net Assets Investment
Asset Net Unrealized Dividends Distributions Total Asset Assets Ratio &# 160; (Excluding Income
Value Investment Gains Total from Net from Return Dividends Value End of Expenses Waivers and ; (Loss) Portfolio
Beginning Income (Losses) on Redemption from Investment Capital of and End Total of Period to Average Expense to Average Turnover
of Period (Loss)* Securities* Fees Operations Income Gains Capital Distributions of Period Return† (000) Net Assets†† Reductions)†† Net Assets†† Rate†
_____________________________________________________________________________________________________________________________________________________________________________________________________________________________________________
OLD MUTUAL ANALYTIC FUND (1)
Class A
2010 $ 8.68 $ 0.01 $ 0.04 $ - $ 0.05 $ - $ - $ - $ - $ 8.73 0.58% $ 54,225 1.81% (5) 2.24%&# 160; 0.24% 74.41%
2009 11.88 0.02 (3.22) - (3.20) - - - - 8.68 (26.94)% 83,169 2.07% (5) 2.41% 0.24% 195.35%
2008 14.51 0.05 (1.80) - (1.75) (0.18) (0.70) - (0.88) 11.88 (12.60)% 285,305 1.92% (5) 2.13% &# 160; 0.40% 171.50%
2007 13.21 0.08 1.24 - 1.32 (0.02) - - (0.02) 14.51 9.99% 607,810 1.54% (5) & #160; 1.96% 0.55% 183.98%
2006 (4) 12.84 0.05 0.32# - 0.37 - - - - 13.21 2.88%# 295,095 1.51% (5) ; 2.18% 0.57% 59.61%
2005 (2) 12.30 0.05 1.09 - 1.14 (0.27) (0.33) - (0.60) 12.84 9.27% 129,960 1.98% (5) 2.06% ; 0.64% 81.00%
Class C
2010 $ 8.40 $(0.02) $ 0.04 $ - $ 0.02 $ - $ - $ - $ - $ 8.42 0.24% $ 27,770 2.56% (5) 2.88% & #160; (0.51)% 74.41%
2009 11.59 (0.05) (3.14) - (3.19) - - - - 8.40 (27.52)% 51,879 2.82% (5) 0; 2.97% (0.52)% 195.35%
2008 14.32 (0.04) (1.77) - (1.81) (0.22) (0.70) - (0.92) 11.59 (13.23)% 158,508 2.65% (5) 2.85% (0.34)% 171.50%
2007 13.11 (0.03) 1.24 - 1.21 - - - - 14.32 9.24% 340,569 2.29% (5) 2.67% (0.19)% 183.98%
2006 (4) 12.81 (0.01) 0.31# - 0.30 - - - - 13.11 2.34%# 202,766 2.26% (5) 60; 2.86% (0.17)% 59.61%
2005 (2) 12.30 (0.01) 1.09 - 1.08 (0.24) (0.33) - (0.57) 12.81 8.78% 86,752 2.61% (5) 2.68% 0; (0.09)% 81.00%
Class Z (3)
2010 $ 8.75 $ 0.02 $ 0.04 $ - $ 0.06 $ - $ - $ - $ - $ 8.81 0.69% $ 24,269 1.56% (5) 1.72%&# 160; 0.47% 74.41%
2009 11.94 0.04 (3.23) - (3.19) - - - - 8.75 (26.72)% 29,734 1.81% (5) 1.97% 0.45% 195.35%
2008 14.54 0.09 (1.82) - (1.73) (0.17) (0.70) - (0.87) 11.94 (12.46)% 58,107 1.64% (5) 1.86% 60; 0.68% 171.50%
2007 13.21 0.12 1.24 - 1.36 (0.03) - - (0.03) 14.54 10.33% 130,928 1.29% (5) 1.66% 0.84% 183.98%
2006 (4) 12.82 0.06 0.33# - 0.39 - - - - 13.21 3.04%# 140,795 1.26% (5) ; 1.82% 0.72% 59.61%
2005 11.66 0.10 1.69 - 1.79 (0.30) (0.33) - (0.63) 12.82 15.36% 227,265 1.36% (5) 1.44%&# 160; 0.78% 81.00%
Institutional Class
2010 $ 8.76 $ 0.05 $ 0.01 $ - $ 0.06 $ - $ - $ - $ - $ 8.82 0.68% $ 1 1.41% (5) & #160; 2.28% 1.21% 74.41%
2009 11.96 0.05 (3.25) - (3.20) - - - - 8.76 (26.76)% 12,547 1.77% (5) 1.87% 0.55% 195.35%
2008 14.54 0.09 (1.81) - (1.72) (0.16) (0.70) - (0.86) 11.96 (12.33)% 29,025 1.63% (5) 1.89% 60; 0.70% 171.50%
2007 13.21 0.12 1.24 - 1.36 (0.03) - - (0.03) 14.54 10.34% 35,246 1.24% (5) & #160; 1.60% 0.82% 183.98%
2006 (4) 12.82 0.08 0.31# - 0.39 - - - - 13.21 3.04%# 6,833 1.21% (5)& #160; 2.11% 0.97% 59.61%
2005*** 13.45 0.01 (0.10) - (0.09) (0.21) (0.33) - (0.54) 12.82 (0.63)% 2 1.27% (5) 2.12% 1.55% 81.00%
_____________________________________________________________________________________________________________________________________________________________________________________________________________________________________________
35
FINANCIAL HIGHLIGHTS - continued
FOR A SHARE OUTSTANDING THROUGHOUT EACH YEAR OR PERIOD ENDED JULY 31, (UNLESS OTHERWISE NOTED)
AND FOR THE SIX-MONTH PERIOD ENDED JANUARY 31, 2010 (UNAUDITED)
60; Ratio of
60; Expenses
Realized & #160; to Average Net Ratio of Net
Net and Net Net Assets Investment
Asset Net Unrealized Dividends Distributions Total Asset Assets Ratio (Excluding 0; Income
Value Investment Gains Total from Net from Dividends Value End of Expenses Waivers and ;(Loss) Portfolio
Beginning Income (Losses) on Redemption from Investment Capital and End Total of Period to Average Expense to Average Turnover
of Period (Loss)* Securities* Fees Operations Income Gains Distributions of Period Return† (000) Net Assets†† Reductions)†† Net Assets†† Rate†
_____________________________________________________________________________________________________________________________________________________________________________________________________________________________________
OLD MUTUAL COPPER ROCK EMERGING GROWTH FUND^^
Class A
2010 $ 7.71 $(0.02) $ 0.62 $ - $ 0.60 $ - $ - $ - $ 8.31 7.78% $ 3,862 1.67% 2.54% &# 160; (0.41)% 139.34%
2009 10.10 (0.10) (2.29)# - (2.39) - - - 7.71 (23.66)%# 3,480 1.67% &# 160;1.90% (1.35)% 283.83%
2008 12.90 (0.16) (1.71) - (1.87) - (0.93) (0.93) 10.10 (16.08)% 11,213 1.67% 1.88% ; (1.33)% 260.79%
2007 10.52 (0.16) 2.54 - 2.38 - - - 12.90 22.62% 35,890 1.55% &# 160; 1.85% (1.32)% 169.81%
2006 10.00 (0.13) 0.65 - 0.52 - - - 10.52 5.20% 20,814 1.55% 60; 2.97% (1.15)% 282.22%
2005 10.00 - - - - - - - 10.00 0.00% 2,500 &# 160; ‡‡ ‡‡ ‡‡ ‡‡
Class Z***
2010 $ 7.79 $(0.01) $ 0.62 $ - $ 0.61 $ - $ - $ - $ 8.40 7.83% $18,587 1.42% 1.44% &# 160; (0.14)% 139.34%
2009 10.18 (0.08) (2.31)# - (2.39) - - - 7.79 (23.48)%# 19,771 1.42% 1 .57% (1.09)% 283.83%
2008 12.97 (0.13) (1.73) - (1.86) - (0.93) (0.93) 10.18 (15.90)% 15,510 1.42% 1.65% ; (1.11)% 260.79%
2007 10.55 (0.15) 2.57 - 2.42 - - - 12.97 22.94% 557 1.30% ; 12.38% (1.12)% 169.81%
2006 10.46 (0.07) 0.16 - 0.09 - - - 10.55 0.86% 1 1.30%&# 160; 787.59% (0.93)% 282.22%
Institutional Class
2010 $ 7.86 $ - $ 0.62 $ - $ 0.62 $ - $ - $ - $ 8.48 7.89% $48,506 1.22% 1.22%& #160; (0.02)% 139.34%
2009 10.24 (0.07) (2.31)# - (2.38) - - - 7.86 (23.24)%# 35,660 1.22% 1 .18% (0.89)% 283.83%
2008 13.01 (0.11) (1.73) - (1.84) - (0.93) (0.93) 10.24 (15.69)% 34,651 1.17% 1.35% ; (0.85)% 260.79%
2007 10.56 (0.10) 2.55 - 2.45 - - - 13.01 23.20% 66,666 1.10% &# 160; 1.21% (0.86)% 169.81%
2006 10.00 (0.08) 0.64 - 0.56 - - - 10.56 5.60% 49,751 1.10% 60; 1.71% (0.70)% 282.22%
2005 10.00 - - - - - - - 10.00 0.00% - ‡‡ ‡‡ ‡‡ ‡‡
_____________________________________________________________________________________________________________________________________________________________________________________________________________________________________
The accompanying notes are an integral part of the financial statements.
36
60; Ratio of
60; Expenses
Realized & #160; to Average Net Ratio of Net
Net and Net Net Assets Investment
Asset Net Unrealized Dividends Distributions Total Asset Assets Ratio (Excluding 0; Income
Value Investment Gains Total from Net from Dividends Value End of Expenses Waivers and ;(Loss) Portfolio
Beginning Income (Losses) on Redemption from Investment Capital and End Total of Period to Average Expense to Average Turnover
of Period (Loss)* Securities* Fees Operations Income Gains Distributions of Period Return† (000) Net Assets†† Reductions)†† Net Assets†† Rate†
_____________________________________________________________________________________________________________________________________________________________________________________________________________________________________
OLD MUTUAL INTERNATIONAL EQUITY FUND^
Class A
2010 $ 7.67 $0.01 $ 0.42 $ - $ 0.43 $(0.12) $ - $(0.12) $ 7.98 5.62% $ 438 1.52% 4.66% 0; 0.25% 59.43%
2009 11.12 0.12 (3.46)# - (3.34) (0.11) - (0.11) 7.67 (29.95)%# 617 1.52% 3.43% 60; 1.62% 151.84%
2008 13.51 0.17 (2.45) - (2.28) (0.03) (0.08) (0.11) 11.12 (17.04)% 1,875 1.60% 2.76% 60; 1.34% 180.69%
2007 10.95 0.14 2.87 - 3.01 (0.10) (0.35) (0.45) 13.51 28.02% 2,170 1.70% 4.33% 60; 1.05% 94.78%
2006 10.00 0.18 0.77 - 0.95 - - - 10.95 9.50% 251 1.70%&# 160; 30.10% 2.94% 48.74%
Class Z
2010 $ 7.70 $0.02 $ 0.42 $ - $ 0.44 $(0.14) $ - $(0.14) $ 8.00 5.68% $ 599 1.27% 3.98% 0; 0.43% 59.43%
2009 11.20 0.14 (3.49)# - (3.35) (0.15) - (0.15) 7.70 (29.70)%# 513 1.27% 3.85% 60; 1.94% 151.84%
2008 13.57 0.22 (2.49) - (2.27) (0.02) (0.08) (0.10) 11.20 (16.88)% 1,269 1.34% 3.44% 60; 1.74% 180.69%
2007 10.97 0.19 2.85 - 3.04 (0.09) (0.35) (0.44) 13.57 28.23% 1,002 1.45% 13.96% &# 160; 1.37% 94.78%
2006 10.00 0.10 0.87 - 0.97 - - - 10.97 9.70% 1 60;1.45% 1,776.73% 1.59% 48.74%
Institutional Class
2010 $ 7.73 $0.03 $ 0.43 $ - $ 0.46 $(0.17) $ - $(0.17) $ 8.02 5.90% $ 50,462 1.02% 1.52% 0.81% 59.43%
2009 11.27 0.16 (3.52)# - (3.36) (0.18) - (0.18) 7.73 (29.58)%# 72,759 1.02% 1.55% 2.15% 151.84%
2008 13.61 0.25 (2.49) - (2.24) (0.02) (0.08) (0.10) 11.27 (16.61)% 113,297 1.06% 1.32% & #160; 1.96% 180.69%
2007 10.98 0.17 2.92 - 3.09 (0.11) (0.35) (0.46) 13.61 28.65% 9,834 1.20% 1.75% 60; 1.33% 94.78%
2006 10.00 0.12 0.86 - 0.98 - - - 10.98 9.80% 5,490 1.20% 2.96% 1.85% 48.74%
_____________________________________________________________________________________________________________________________________________________________________________________________________________________________________
37
FINANCIAL HIGHLIGHTS - concluded
FOR A SHARE OUTSTANDING THROUGHOUT EACH YEAR OR PERIOD ENDED JULY 31, (UNLESS OTHERWISE NOTED)
AND FOR THE SIX-MONTH PERIOD ENDED JANUARY 31, 2010 (UNAUDITED)
* Per share amounts for the year or period are calculated based on average outstanding shares.
*** Class commenced operations on December 9, 2005.
# Impact of payment to affiliate was less than $0.01 per share and 0.01%, respectively.
† Total returns and portfolio turnover rates are for the period indicated and have not been annualized. Total return would have
been lower had certain expenses not been waived by the Adviser during the year or period. Returns shown do not reflect the
deduction of taxes that a shareholder would pay on fund distributions or the redemption of fund shares. Returns shown exclude
any applicable sales charges.
†† Ratios for periods less than one year have been annualized.
‡‡ This shareholder data is not being disclosed because the data is not believed to be meaningful due to the short operational
history.
^ Fund commenced operations December 30, 2005.
^^ Fund commenced operations July 29, 2005.
(1) On December 9, 2005, the Old Mutual Analytic Fund (the "Fund") acquired substantially all of the assets and liabilities of the
Analytic Defensive Equity Fund (the "Predecessor Fund"), a series of The Advisors' Inner Circle Fund. The operations of the
Fund prior to the acquisition were those of the Predecessor Fund.
(2) Commenced operations March 31, 2005.
(3) The Fund's Class Z is the successor class of the Predecessor Fund's Institutional Class; the Fund's Institutional Class is new.
(4) The Old Mutual Analytic Fund changed its fiscal year end from December 31 to July 31. 2006 amounts are for the period 1/1/06 to
7/31/06.
(5) For Old Mutual Analytic Fund, the ratio of expenses to average net assets includes dividend expense on securities sold short.
Following is the impact of these expenses as a ratio to average net assets:
A C Z Institutional
___________________________________________________________________________
2010 0.16% 0.16% 0.15% 0.05%
2009 0.36% 0.36% 0.35% 0.36%
2008 0.39% 0.39% 0.39% 0.42%
2007 0.28% 0.28% 0.28% 0.27%
2006 0.34% 0.34% 0.27% 0.39%
2005 0.41% 0.35% 0.24% n/a
___________________________________________________________________________
Amounts designated as "-" are either $0 or have been rounded to $0.
The accompanying notes are an integral part of the financial statements.
38
NOTES TO FINANCIAL STATEMENTS
AS OF JANUARY 31, 2010 (UNAUDITED)
1. ORGANIZATION
____________________________________________________________________________________________________________________________________
Old Mutual Funds I (the "Trust"), organized as a Delaware statutory trust on May 27, 2004, is registered under the Investment
Company Act of 1940, as amended (the "1940 Act"), as an open-end management investment company. The Trust currently offers seven
series portfolios, of which the following are covered by this Semi-Annual Report - the Old Mutual Analytic Fund, the Old Mutual
International Equity Fund and the Old Mutual Copper Rock Emerging Growth Fund (each, a "Fund" and collectively, the "Funds"). The
Trust's series portfolios whose financial statements are presented separately are the Old Mutual Asset Allocation Conservative
Portfolio, the Old Mutual Asset Allocation Balanced Portfolio, the Old Mutual Asset Allocation Moderate Growth Portfolio and the
Old Mutual Asset Allocation Growth Portfolio. The Old Mutual Analytic Fund commenced operations on July 1, 1978, the Old Mutual
International Equity Fund commenced operations on December 30, 2005 and the Old Mutual Copper Rock Emerging Growth Fund commenced
operations on July 29, 2005.
After the close of business on October 23, 2009, Class C shares of the Old Mutual International Equity Fund and Old Mutual Copper
Rock Emerging Growth Fund were liquidated and distributed ratably among the Class C shareholders on that date.
Shareholders may purchase shares of the Old Mutual Analytic Fund through four separate classes, Class A, Class C, Class Z and
Institutional Class shares. Shareholders may only purchase Class A, Class Z and Institutional Class shares of the Old Mutual
International Equity Fund and Old Mutual Copper Rock Emerging Growth Fund. All classes have equal rights as to earnings, assets,
and voting privileges, except that each class may have different distribution costs, dividends, registration costs, and shareholder
services costs and each class has exclusive voting rights with respect to its distribution plan. Except for these differences, each
share class of each Fund represents an equal proportionate interest in that Fund. Each Fund is classified as a diversified
investment management company. The Funds' prospectus provide a description of each Fund's investment objective, policies and
investment strategies.
In the normal course of business, the Funds may enter into various agreements that provide for general indemnifications. Each
Fund's maximum exposure under these arrangements is unknown as any potential exposure involves future claims that may be made
against each Fund.
2. SIGNIFICANT ACCOUNTING POLICIES
____________________________________________________________________________________________________________________________________
The following is a summary of the significant accounting policies followed by the Funds.
Use of Estimates in the Preparation of Financial Statements - The preparation of financial statements, in conformity with
accounting principles generally accepted in the United States of America, 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 increases and decreases in net assets from operations during the reporting period.
Actual results could differ from those estimates.
Security Valuation - Investment securities of a Fund, including securities sold short, that are listed on a securities exchange,
market or automated quotation system and for which market quotations are readily available, including securities traded
over-the-counter ("OTC") (except for securities traded on NASDAQ), are valued at the last quoted sales price on the principal
market on which they are traded at the close of trading on the New York Stock Exchange ("NYSE") (normally 4:00 p.m., Eastern Time)
each day that the NYSE is open (the "Valuation Time"), or, if there is no such reported sale at the Valuation Time, at the most
recent quoted bid price reported by the exchange or the OTC market. For securities traded on NASDAQ, the NASDAQ Official Closing
Price provided by NASDAQ each business day will be used. If such prices are not available, these securities and unlisted securities
for which market quotations are not readily available are valued in accordance with Fair Value Procedures established by the Board
of Trustees (the "Board"). The Funds use pricing services to report the market value of securities in the portfolios; if the
pricing service is not able to provide a price, or the pricing service quote of valuation is inaccurate or does not reflect the
market value of the security, prices may be obtained through market quotations from independent broker/dealers. If market
quotations from these sources are not readily available, securities are valued in accordance with Fair Value Procedures established
by the Board. The Trust's Fair Value Procedures are implemented through a Valuation Committee (the "Committee") designated by the
Board. Some of the more common reasons that may necessitate that a security be valued using Fair Value Procedures include: the
security's trading has been halted or suspended; the security has been de-listed from a national exchange; the security's primary
trading market is temporarily closed at a time when, under normal conditions, it would be open; or the security's primary pricing
source is not able or willing to provide a price. When a security is valued in accordance with the Fair Value Procedures, the
Committee will determine the value after taking into consideration relevant information reasonably available to the Committee. The
valuation is assigned to Fair Valued Securities for purposes of calculating a Fund's net asset value ("NAV"). Debt securities
(other than short-term obligations), including listed issues, are valued on the basis of valuations furnished by a pricing service
which utilizes electronic data processing techniques to determine valuations for normal institutional size trading units of debt
securities, without exclusive reliance upon exchange or over-the-counter prices. Short-term obligations with maturities of 60 days
or less may be valued at amortized cost, which approximates market value. Under this valuation method, acquisition discounts and
premiums are accreted and amortized ratably to maturity and are included in interest income.
39
NOTES TO FINANCIAL STATEMENTS - continued
AS OF JANUARY 31, 2010 (UNAUDITED)
Foreign securities traded on the foreign exchanges in the Western Hemisphere are valued based upon quotations from the principal
market in which they are traded before the valuation time and are translated from the local currency into U.S. dollars using
current exchange rates. In addition, if quotations are not readily available, or if the values have been materially affected by
events occurring after the closing of a foreign market, assets may be valued in accordance with the Fair Value Procedures
established by the Board.
Foreign securities traded in countries outside the Western Hemisphere are fair valued daily by utilizing the quotations of an
independent pricing service, unless the Fund's investment adviser, Old Mutual Capital, Inc. (the "Adviser"), determines that use of
another valuation methodology is appropriate. The pricing service uses statistical analyses and quantitative models to adjust local
prices using factors such as subsequent movement and changes in the prices of indexes, securities and exchange rates in other
markets in determining fair value as of the time the Funds calculate the NAVs. The fair value of the foreign security is translated
from the local currency into U.S. dollars using current exchange rates.
The Funds are subject to the provisions of Financial Accounting Standards Board ("FASB") Accounting Standards Codification 820-10,
Fair Value Measurements and Disclosures, ("ASC 820-10"). ASC 820-10 establishes a hierarchy that prioritizes the inputs to
valuation techniques giving the highest priority to readily available unadjusted quoted prices in active markets for identical
assets (Level 1 measurements) and the lowest priority to unobservable inputs (Level 3 measurements) when market prices are not
readily available or reliable. Foreign securities fair valued by utilizing quotations of an independent pricing service are
categorized as Level 2 securities. The inputs used for valuing securities are not necessarily an indication of the risks associated
with investing in those securities. Changes in valuation techniques may result in transfers in or out of an investment's assigned
level within the hierarchy during the reporting period. The aggregate value by input level, as of January 31, 2010, for each Fund's
investments is included in the Schedule of Investments.
Valuation of Options and Futures - Options are valued at the last quoted sales price. If there is no such reported sale on the
valuation date, long option positions are valued at the most recent bid price, and short option positions are valued at the most
recent ask price. Futures contracts are valued at the settlement price established each day by the board of exchange on which they
are traded. The daily settlement prices for financial futures are provided by an independent source.
Security Transactions and Investment Income - Security transactions are accounted for on the date the securities are purchased or
sold (trade date). Dividend income, dividend expense on securities sold short and distributions to shareholders are recognized on
the ex-dividend date; interest income and expense is recognized on the accrual basis and includes amortization of premiums and
accretion of discounts on investments. Non-cash dividends included in dividend income, if any, are recorded at the fair market
value of the securities received. Costs used in determining realized capital gains and losses on the sale of investment securities
are those of the specific securities sold adjusted for the accretion and amortization of acquisition discounts and premiums during
the respective holding periods, if applicable.
Dividends and Distributions - Dividends from net investment income for the Funds are declared and paid at least annually, if
available. Distributions of net realized capital gains for each Fund are generally made to shareholders at least annually, if
available.
Foreign Withholding Taxes - The Funds may be subject to taxes imposed by countries in which they invest with respect to their
investments in issuers existing or operating in such countries. Such taxes are generally based on income earned. The Funds accrue
such taxes when the related income is earned.
Forward Foreign Currency Contracts - The Funds are subject to foreign currency exchange risk in the normal course of pursuing
their objectives. The Funds may enter into forward foreign currency contracts to take advantage of changes in currency values, to
enhance investment returns or to hedge against foreign currency fluctuations. All commitments are "marked-to-market" daily at the
applicable foreign exchange rate, and any resulting unrealized gains or losses are recorded accordingly. The Funds realize gains
and losses at the time the forward contracts are settled. Unrealized gains or losses on outstanding positions in forward foreign
currency contracts held at the close of the period are recognized as ordinary income or loss for Federal income tax purposes. The
Funds could be exposed to risk if the counterparties to the contracts are unable to meet the terms of the contract and from
unanticipated movements in the value of a foreign currency relative to the U.S. dollar or other foreign currencies in which it has
invested. Finally, the risk exists that losses could exceed amounts disclosed on the Statements of Assets and Liabilities.
Investments in Real Estate Investment Trusts ("REITs") - Dividend income is recorded based on the income included in distributions
received from the REIT investments using published REIT reclassifications, including some management estimates when actual amounts
are not available. Distributions received in excess of this estimated amount are recorded as a reduction of the cost of investments
or reclassified to capital gains. The actual amounts of income, return of capital and capital gains are only determined by each
REIT after its fiscal year-end, and may differ from the estimated amounts.
Foreign Currency Conversion - The books and records of the Funds are maintained in U.S. dollars. Foreign currency amounts are
converted into U.S. dollars on the following basis:
(i) market value of investment securities, other assets and liabilities at the current rate of exchange; and
(ii) purchases and sales of investment securities, income and expenses at the relevant rates of exchange prevailing on the
respective dates of such transactions.
40
The Funds do not isolate that portion of gains and losses on investment securities that is due to changes in the foreign exchange
rates from that which is due to changes in market prices of such securities. The Funds report gains and losses on foreign currency
related transactions as components of realized gains and losses for financial reporting purposes, whereas such components are
treated as ordinary income or loss for Federal income tax purposes.
Futures Contracts - The Funds are subject to equity price risk, interest rate risk and foreign currency exchange risk in the normal
course of pursuing their objectives. The Funds may utilize futures contracts to enhance investment returns, as an efficient way to
gain broad market exposure with reduced transaction costs and to hedge against changes in the value of equity securities, overall
equity market volatility, interest rates or foreign currencies. Upon entering into a futures contract, the Funds will deposit
securities for the initial margin with its custodian in a segregated account. Subsequent payments, which are dependent on the daily
fluctuations in the value of the underlying instrument, are made or received by the Funds each day (daily variation margin) and are
recorded as unrealized gains or losses until the contracts are closed. When the contract is closed, the Funds record a realized gain
or loss equal to the difference between the proceeds from (or cost of) the closing transactions and the Fund's basis in the
contract. Risks of entering into futures contracts include the possibility that a change in the value of the contract may not
correlate with the changes in the value of the underlying instruments. Second, it is possible that a lack of liquidity for futures
contracts could exist in the secondary market, resulting in an inability to close a futures position prior to its maturity date.
Third, the purchase of a futures contract involves the risk that the Funds could lose more than the original margin deposit required
to initiate the futures transaction. Finally, the risk exists that losses could exceed amounts disclosed on the Statements of Assets
and Liabilities. There is minimal counterparty credit risk involved in entering into futures contracts since they are
exchange-traded instruments and the exchange's clearinghouse, as counterparty to all exchange-traded futures, guarantees the futures
against default.
Options - The Funds may write or purchase financial options contracts primarily to hedge against changes in the value of equity
securities (or securities that the Funds intend to purchase), against fluctuations in fair value caused by changes in prevailing
market interest rates or foreign currency exchange rates and against changes in overall equity market volatility. In addition, the
Funds may utilize options in an attempt to generate gains from option premiums or to reduce overall portfolio risk. The Funds'
option strategy primarily focuses on the use of writing call options on equity indexes. When the Funds write or purchase an option,
an amount equal to the premium received or paid by the Funds is recorded as a liability or an asset and is subsequently adjusted to
the current market value of the option written or purchased. Premiums received or paid from writing or purchasing options which
expire unexercised are treated by the Funds on the expiration date as realized gains or losses. The difference between the premium
and the amount paid or received on effecting a closing purchase or sale transaction, including brokerage commissions, is also
treated as a realized gain or loss. If an option is exercised, the premium paid or received is added to the cost of the purchase or
proceeds from the sale in determining whether the Funds have realized a gain or a loss on investment transactions. The Funds, as
writers of an option, may have no control over whether the underlying securities may be sold (call) or purchased (put) and as a
result bear the market risk of an unfavorable change in the price of the security underlying the written option. The Funds, as
purchasers of an option, bear the risk that the counterparties to the option may not have the ability to meet the terms of the
option contracts. There is minimal counterparty credit risk involved in entering into option contracts since they are
exchange-traded instruments and the exchange's clearinghouse, as counterparty to all exchange-traded options, guarantees the options
against default.
Short Sales - As is consistent with the Old Mutual Analytic Fund's investment objectives, the Old Mutual Analytic Fund may engage in
short sales that are "uncovered." Uncovered short sales are transactions under which a Fund sells a security it does not own. To
complete such a transaction, a Fund must borrow the security to make delivery to the buyer. The Fund then is obligated to replace
the security borrowed by purchasing the security at the market price at the time of the replacement. The price at such time may be
more or less than the price at which the security was sold by the Fund. Until the security is replaced, the Fund is required to pay
the lender amounts equal to any dividends or interest that accrue during the period of the loan, which is recorded as an expense on
the Statement of Operations. To borrow the security, the Fund also may be required to pay a premium, which would decrease proceeds
of the security sold. The proceeds of the short sale will be retained by the broker, to the extent necessary to meet margin
requirements, until the short position is closed out. A gain, limited to the price at which the Fund sells the security short, or a
loss, unlimited in size, will be recognized upon the close of a short sale.
Until the Fund closes its short position or replaces the borrowed security, it will: (a) maintain a segregated account containing
cash or liquid securities at such a level that the amount deposited in the segregated account plus the amount deposited with the
broker as margin will equal the current value of the security sold short, or (b) otherwise cover the Fund's short positions. The
segregated assets are marked to market daily.
Payments by Affiliates - During the year ended July 31, 2009, Old Mutual Copper Rock Emerging Growth Fund and Old Mutual
International Equity Fund were reimbursed $1 (000) and $2 (000), respectively, by their respective sub-advisers for trading errors.
Other - Expenses that are directly related to one of the Funds are charged directly to that Fund. Other operating expenses are
prorated to the Funds on the basis of relative net assets. Class specific expenses, such as distribution and service fees, are borne
by that class. Income, other expenses and realized and unrealized gains and losses of a Fund are allocated to the respective class
on the basis of the relative net assets each day.
The Funds have an arrangement with the transfer agent, DST Systems, Inc., whereby interest earned on uninvested cash balances is
used to offset a portion of the transfer agent expense. The transfer agent fees shown in the Statements of Operations are in total
and do not reflect the expense reductions, if any, which are shown separately.
41
NOTES TO FINANCIAL STATEMENTS - continued
AS OF JANUARY 31, 2010 (UNAUDITED)
The Funds impose a 2% redemption/exchange fee on total redemption proceeds (after applicable deferred sales charges) of any
shareholder redeeming shares (including redemptions by exchange) of the Funds within 10 calendar days of their purchase. The Funds
charge the redemption/exchange fee to discourage market timing by those shareholders initiating redemptions or exchanges to take
advantage of short-term market movements. The redemption fee will be imposed to the extent that the number of Fund shares redeemed
exceeds the number of Fund shares that have been held for more than 10 calendar days. In determining how long shares of the Fund
have been held, shares held by the investor for the longest period of time will be sold first. The Funds will retain the fee by
crediting Paid-in Capital. For the six-month period ended January 31, 2010, there were no material redemption fees collected by the
Funds.
3. INVESTMENT ADVISORY FEES, ADMINISTRATIVE FEES
AND OTHER TRANSACTIONS WITH AFFILIATES
____________________________________________________________________________________________________________________________________
Investment Adviser - Old Mutual Capital, Inc. is an indirect, wholly owned subsidiary of Old Mutual (US) Holdings Inc. ("OMUSH").
OMUSH is a direct, wholly owned subsidiary of OM Group (UK) Limited, which, in turn, is a direct, wholly owned subsidiary of Old
Mutual plc, a London-Exchange listed international financial services firm. The Funds and the Adviser are parties to Investment
Advisory Agreements (the "Advisory Agreements"), under which the Adviser is paid a monthly fee that is calculated daily and paid
monthly, at an annual rate based on the average daily net assets of each Fund, as follows:
Management Fee Asset Level
____________________________________________________________________________________________________________________________________
Old Mutual Analytic Fund 0.950% N/A
Old Mutual Copper Rock Emerging Growth Fund 0.900% N/A
Old Mutual International Equity Fund 1.000% Less than $1 billion
0.975% From $1 billion to $2 billion
0.950% From $2 billion to $3 billion
0.925% Greater than $3 billion
____________________________________________________________________________________________________________________________________
Expense Limitation Agreements - In the interest of limiting expenses of the Funds, the Adviser has entered into an expense
limitation agreement ("Expense Limitation Agreement") pursuant to which the Adviser has agreed, in writing, to waive or limit its
fees and to assume other expenses of the Funds to the extent necessary to limit the total annual expenses to a specified percentage
of the Funds' average daily net assets through the dates specified below.
The expense limitations are as follows:
Institutional Expiration Date
Class A Class C Class Z Class of Expense Limitation
____________________________________________________________________________________________________________________________________
Old Mutual Analytic Fund 1.55% 2.30% 1.30% 1.25% December 31, 2010
Old Mutual Copper Rock Emerging Growth Fund 1.67% N/A 1.42% 1.22% December 31, 2010
Old Mutual International Equity Fund 1.52% N/A 1.27% 1.02% December 31, 2010
____________________________________________________________________________________________________________________________________
Reimbursement by the Old Mutual Analytic Fund of the advisory fees waived and other expenses paid by the Adviser pursuant to the
applicable expense limitation agreement that expired on December 8, 2007 may be made at a later date when a Fund has reached a
sufficient asset size to permit reimbursement to be made without causing the total annual expense rate of the Fund to exceed the
expense limitation. Consequently, no reimbursement by the Old Mutual Analytic Fund will be made unless: (i) the Fund's assets exceed
$75 million; (ii) such reimbursement does not cause the operating expenses of the Fund in the year of reimbursement to exceed the
expense limitation in effect in the year for which fees are being reimbursed; and (iii) the payment of such reimbursement is
approved by the Board. Moreover, to the extent that the Adviser reimburses advisory fees or absorbs operating expenses of a Fund,
the Adviser may seek payment of such amounts within two fiscal years after the fiscal year in which fees were reimbursed or
absorbed.
42
Reimbursement by the Funds of the advisory fees waived and other expenses paid by the Adviser pursuant to the applicable Expense
Limitation Agreement may be made up to three years after the expenses were reimbursed or absorbed if such reimbursement does not
cause the operating expenses of the Fund in the year of reimbursement to exceed the expense limitation in effect in the year for
which fees are being reimbursed. At January 31, 2010, the Adviser may seek reimbursement of previously waived and reimbursed fees as
follows (000):
Expires 2010 Expires 2011 Expires 2012 Expires 2013 Total
____________________________________________________________________________________________________________________________________
Old Mutual Analytic Fund $1,064 $593 $783 $243 $2,683
Old Mutual Copper Rock Emerging Growth Fund - 87 122 29 238
Old Mutual International Equity Fund 120 307 452 188 1,067
____________________________________________________________________________________________________________________________________
Amounts designated as "-" are either $0 or have been rounded to $0.
For the six-month period ended January 31, 2010, the Adviser was reimbursed the following amounts for previously waived fees:
Total (000)
________________________________________________________________________________
Old Mutual Analytic Fund $3
Old Mutual Copper Rock Emerging Growth Fund 6
________________________________________________________________________________
Sub-Advisory Agreements - The Trust, on behalf of the Old Mutual International Equity Fund, and the Adviser have entered into a
sub-advisory agreement (the "Acadian Sub-Advisory Agreement") with Acadian Asset Management LLC ("Acadian"). Acadian is a
majority-owned subsidiary of OMUSH. For the services provided and expenses incurred pursuant to the Acadian Sub-Advisory Agreement,
Acadian is entitled to receive from the Adviser a sub-advisory fee which is computed and paid monthly at an annual rate of 0.60%,
net of 50% of any waivers, reimbursement payments, supermarket fees and alliance fees waived, reimbursed or paid by the Adviser and
net of all breakpoints.
The Trust, on behalf of the Old Mutual Analytic Fund, and the Adviser have entered into a sub-advisory agreement (the "Analytic
Sub-Advisory Agreement") with Analytic Investors, LLC ("Analytic"). Analytic is a majority-owned subsidiary of OMUSH. For the
services provided and expenses incurred pursuant to the Analytic Sub-Advisory Agreement, Analytic is entitled to receive from the
Adviser a sub-advisory fee, which is computed and paid monthly at an annual rate of 0.70%.
The Trust, on behalf of the Old Mutual Copper Rock Emerging Growth Fund, and the Adviser have entered into a sub-advisory agreement
(the "Copper Rock Sub-Advisory Agreement") with Copper Rock Capital Partners, LLC ("Copper Rock"). Copper Rock is a majority-owned
subsidiary of OMUSH. For the services provided and expenses incurred pursuant to the Copper Rock Sub-Advisory Agreement, Copper Rock
is entitled to receive from the Adviser a sub-advisory fee which is computed and paid monthly at an annual rate of 0.60%.
The Sub-Advisory Agreements obligate the sub-advisers to: (i) manage the investment operations of the assets managed by the
sub-adviser and the composition of the investment portfolio comprising such assets, including the purchase, retention and
disposition thereof in accordance with a Fund's investment objective, policies and limitations; (ii) provide supervision of the
assets managed by the sub-adviser and determine from time to time what investments and securities will be purchased, retained or
sold on behalf of the Fund and what portion of the assets managed by the sub-adviser will be invested or held uninvested in cash;
and (iii) determine the securities to be purchased or sold on behalf of the Fund in connection with such assets and to place orders
with or through such persons, brokers or dealers to carry out the policy with respect to brokerage set forth in the Prospectus or as
the Board or the Adviser may direct from time to time, in conformity with federal securities laws.
Administrative Services Agreement - The Trust and Old Mutual Fund Services (the "Administrator"), a wholly owned subsidiary of the
Adviser, entered into an Administrative Services Agreement (the "Administrative Agreement"), pursuant to which the Administrator
oversees the administration of the Trust's and each Fund's business and affairs, including regulatory reporting and all necessary
office space, equipment, personnel and facilities, as well as services performed by various third parties. The Administrator is
entitled to a fee from the Trust, which is calculated daily and paid monthly, as follows:
Average Daily Net Assets Annual Fee Rate
_____________________________________________________________________
$0 to $500 million 0.10%
> $500 million up to $1 billion 0.09%
> $1 billion up to $1.5 billion 0.08%
> $1.5 billion 0.07%
_____________________________________________________________________
The Administrative Agreement provides that the Administrator will not be liable for any error of judgment or mistake of law or for
any loss suffered by the Trust in connection with the matters to which the Administrative Agreement relates, except a loss resulting
from willful misfeasance, bad faith or gross negligence on the part of the Administrator in the performance of its duties. The
Administrative Agreement will continue in effect unless terminated by either party upon not less than 90 days' prior written notice
to the other party.
43
NOTES TO FINANCIAL STATEMENTS - continued
AS OF JANUARY 31, 2010 (UNAUDITED)
The Bank of New York Mellon (the "Sub-Administrator") serves as sub-administrator to the Trust. The Sub-Administrator assists the
Administrator in connection with the administration of the business and affairs of the Trust. Pursuant to a sub-administration and
accounting agreement (the "Sub-Administration Agreement") between the Administrator and the Sub-Administrator, the Administrator
pays the Sub- Administrator as follows: annual rates, based on the combined average daily gross assets of the funds within the Trust
and Old Mutual Funds II (the "Old Mutual Complex"), of (1) 0.0475% of the first $6 billion, plus (2) 0.04% of the average daily
gross assets in excess of $6 billion. For funds within the Old Mutual Complex that are managed as a "fund of funds," these fees
apply only at the underlying fund level. In addition, the Administrator pays the Sub-Administrator the following annual fees: (1)
$35,000 for each fund managed as a "fund of funds"; (2) $3,000 per class in excess of three classes for each fund in the Old Mutual
Complex, and (3) the greater of .01925% based on the combined average daily gross assets of the Old Mutual Complex or $425,000.
Certain minimum fees apply. The Sub-Administration Agreement provides that the Sub-Administrator will not be liable for any costs,
damages, liabilities or claims incurred by the Sub-Administrator except those arising out of the Sub-Administrator's or its
delegee's or agent's (if such delegee or agent is a subsidiary of the Sub-Administrator) negligence or willful misconduct or the
Sub-Administrator's failure to act in good faith. In no event shall the Sub-Administrator be liable to the Administrator or any
third party for special, indirect or consequential damages.
Distribution Agreement - Old Mutual Investment Partners (the "Distributor"), a wholly owned subsidiary of the Adviser, and the Trust
are parties to a distribution agreement (the "Distribution Agreement"), pursuant to which the Distributor serves as principal
underwriter for the Trust's shares. The Distributor receives no compensation for serving in such capacity, except as provided in
separate Distribution Plans and Service Plans.
The Distribution Agreement is renewable annually. The Distribution Agreement may be terminated by the Distributor, by a majority
vote of the Trustees who are not "interested persons" (as defined in the 1940 Act) and have no financial interest in the
Distribution Agreement, or by a majority vote of the outstanding securities of the Trust upon not more than 90 days' written notice
by either party or upon assignment by the Distributor.
The Trust has adopted a Distribution Plan for each of Class A and Class C shares pursuant to Rule 12b-1 under the 1940 Act to enable
the Class A shares of each Fund and Class C shares of Old Mutual Analytic Fund to directly and indirectly bear certain expenses
relating to the distribution of such shares. The Trust has also adopted a Service Plan to enable the Class A shares of each Fund and
Class C shares of Old Mutual Analytic Fund to directly and indirectly bear certain expenses relating to the shareholder servicing
and/or personal account maintenance of the holders of such shares. Each of the Distribution Plans and Service Plans are compensation
plans, which means that they compensate the Distributor or third-party broker-dealer or financial intermediary regardless of the
expenses actually incurred by such persons.
Pursuant to the Distribution Plan for Class A and Class C shares, the Trust will pay to the Distributor a monthly fee at an annual
aggregate rate not to exceed (i) 0.25% of the average net asset value of the Class A shares of each Fund and (ii) 0.75% of the
average net asset value of the Class C shares of Old Mutual Analytic Fund, as determined at the close of each business day during
the month, which is to compensate the Distributor for services provided and expenses incurred by it in connection with the offering
and sale of Class A or Class C shares, which may include, without limitation, the payment by the Distributor to investment dealers
of commissions on the sale of Class A or Class C shares, as set forth in the then current prospectus or statement of additional
information with respect to Class A and Class C shares and interest and other financing costs.
The amount of such payments shall be determined by the Trust's disinterested Trustees from time to time. Currently, Class A shares
are not authorized to pay distribution fees and Class C shares are authorized to pay the maximum amount of distribution fees.
Pursuant to the Service Plan for Class A and Class C shares, the Trust will pay to the Distributor or other third-party financial
intermediaries a fee at an annual aggregate rate not to exceed 0.25% of the average net asset value of Class A and Class C shares,
which is for maintaining or improving services provided to shareholders by the Distributor and investment dealers, financial
institutions and 401(k) plan service providers. The amount of such payments shall be determined by the Trust's disinterested
Trustees from time to time.
Currently, both Class A and Class C shares are authorized to pay the maximum amount of service fees.
The Administrator will prepare and deliver written reports to the Board on a regular basis (at least quarterly) setting forth the
payments made pursuant to the Distribution Plans and the Service Plans, and the purposes for which such expenditures were made, as
well as any supplemental reports as the Board may from time to time reasonably request.
Except to the extent that the Administrator, Sub-Administrator, Adviser or sub-advisers may benefit through increased fees from an
increase in the net assets of the Trust which may have resulted in part from the expenditures, no interested person of the Trust nor
any Trustee of the Trust who is not an "interested person" (as defined in the 1940 Act) of the Trust has a direct or indirect
financial interest in the operation of the Distribution or Service Plans or any related agreement.
Of the service and distribution fees the Distributor received for the six-month period ended January 31, 2010, it retained $1(000)
from Old Mutual Copper Rock Emerging Growth class A service fees.
44
Other Service Providers - The Bank of New York Mellon serves as the custodian for the Funds.
DST Systems, Inc. ("DST") serves as the transfer agent and dividend disbursing agent of the Funds. Pursuant to an agency agreement
between the Trust and DST, DST also provides call center, correspondence and other shareholder account-related services to the
Funds. From time to time, the Funds may pay amounts to third parties that provide sub-transfer agency and other administrative
services relating to the Funds to persons who beneficially own interests in the Fund.
OMUSH receives an offset of certain recordkeeping fees from the plan sponsors of OMUSH's participant directed 401K, profit sharing
and/or voluntary deferral plans which invest in the Old Mutual Complex (collectively, the "Deferred Plans"). The amount of the fee
offset is based in part on service and/or sub-transfer agency fees received by the plan sponsors from the Old Mutual Funds' Class Z
shares within the Deferred Plans. During the semi-annual period ended January 31, 2010, the amount received by OMUSH for
recordkeeping fee offsets attributable to investments by the Deferred Plans in the Old Mutual Complex was approximately $19,000.
Officers and Trustees of the Funds who are or were officers of the Adviser, Administrator, Sub-Administrator or Distributor received
no compensation from the Funds.
4. INTERFUND LENDING
____________________________________________________________________________________________________________________________________
Pursuant to resolutions adopted by the Boards of Trustees of each of Old Mutual Funds I and Old Mutual Funds II (together, the
"Trusts"), on behalf of certain series portfolios of the Trusts (the "OM Funds"), each of the OM Funds may lend an amount up to its
prospectus-defined limitations to other OM Funds. All such lending shall be conducted pursuant to the exemptive order granted by the
Securities and Exchange Commission on August 12, 2003 to the Trusts. The interest rate charged on the loan is the average of the
overnight repurchase agreement rate (highest rate available to the OM Funds from investments in overnight repurchase agreements) and
the bank loan rate (Federal Funds Rate plus 50 basis points). None of the OM Funds may borrow more than 10% of its assets.
The Funds had no outstanding borrowings or loans related to interfund lending at any time during the six-month period ended January
31, 2010.
5. INVESTMENT TRANSACTIONS
____________________________________________________________________________________________________________________________________
The cost of securities purchased and the proceeds from securities sold and matured, other than short-term investments, for the
Funds, for the six-month period ended January 31, 2010 were as follows:
Purchases (000) Sales (000)
____________________________________________________________________________________________________________________________________
Other Other
____________________________________________________________________________________________________________________________________
Old Mutual Analytic Fund $107,948 $202,082
Old Mutual Copper Rock Emerging Growth Fund 96,807 91,784
Old Mutual International Equity Fund 38,813 67,148
____________________________________________________________________________________________________________________________________
Transactions in option contracts written in the Old Mutual Analytic Fund for the six-month period ended January 31, 2010, were as
follows:
Old Mutual Analytic Fund
____________________________________________________________________________________________________________________________________
Number of Proceeds
Contracts Received (000)
____________________________________________________________________________________________________________________________________
Outstanding at July 31, 2009 16,880 $ 4,152
Options written 45,515 40,640
Options terminated in closing purchasing transactions (50,155) (39,598)
Options expired (9,236) (2,652)
____________________________________________________________________________________________________________________________________
Outstanding at January 31, 2010 3,004 $ 2,542
____________________________________________________________________________________________________________________________________
45
NOTES TO FINANCIAL STATEMENTS - continued
AS OF JANUARY 31, 2010 (UNAUDITED)
6. CAPITAL SHARE TRANSACTIONS
____________________________________________________________________________________________________________________________________
Old Mutual Old Mutual Old Mutual
Analytic Copper Rock International Equity
Fund Fund Fund
____________________________________________________________________________________________________________________________________
8/1/09 to 8/1/08 to 8/1/09 to 8/1/08 to 8/1/09 to 8/1/08 to
1/31/10 7/31/09 1/31/10 7/31/09 1/31/10 7/31/09
(Unaudited) (Unaudited) (Unaudited)
____________________________________________________________________________________________________________________________________
Shares Issued and Redeemed (000):
Class A
Shares Issued 407 2,659 107 536 20 5
Shares Issued upon Reinvestment of Distributions - - - - 1 1
Shares Redeemed (3,781) (17,095) (94) (1,195) (46) (95)
____________________________________________________________________________________________________________________________________
Total Class A Share Transactions (3,374) (14,436) 13 (659) (25) (89)
____________________________________________________________________________________________________________________________________
Class C (1)
Shares Issued 19 196 - 19 - 15
Shares Redeemed (2,896) (7,703) (49) (66) (122) (99)
____________________________________________________________________________________________________________________________________
Total Class C Share Transactions (2,877) (7,507) (49) (47) (122) (84)
____________________________________________________________________________________________________________________________________
Class Z
Shares Issued 361 502 987 2,404 12 7
Shares Issued upon Reinvestment of Distributions - - - - 1 2
Shares Redeemed (1,007) (1,968) (1,312) (1,391) (5) (56)
____________________________________________________________________________________________________________________________________
Total Class Z Share Transactions (646) (1,466) (325) 1,013 8 (47)
____________________________________________________________________________________________________________________________________
Institutional Class
Shares Issued - 155 1,628 2,198 108 1,983
Shares Issued upon Reinvestment of Distributions - - - - 142 256
Shares Redeemed (1,432) (1,149) (447) (1,042) (3,365) (2,887)
____________________________________________________________________________________________________________________________________
Total Institutional Class Share Transactions (1,432) (994) 1,181 1,156 (3,115) (648)
____________________________________________________________________________________________________________________________________
Net Increase in Shares Outstanding (8,329) (24,403) 820 1,463 (3,254) (868)
____________________________________________________________________________________________________________________________________
(1) Class C shares of the Old Mutual Copper Rock Emerging Growth Fund and Old Mutual International Equity Fund were closed in 2009.
See Note 1 for further details.
Amounts designated as "-" are either 0 or have been rounded to 0.
7. FOREIGN HOLDINGS RISK
____________________________________________________________________________________________________________________________________
Each Fund may invest in foreign securities. Investing in the securities of foreign issuers involves special risks and considerations
not typically associated with investing in U.S. companies. These risks and considerations include differences in accounting,
auditing and financial reporting standards, generally higher commission rates on foreign portfolio transactions, the possibility of
expropriation or confiscatory taxation, adverse changes in investment or exchange control regulations, political instability which
could affect U.S. investment in foreign countries and potential restrictions on the flow of international capital and currencies.
Foreign issuers may also be subject to less government regulation than U.S. companies. Moreover, the dividends and interest payable
on foreign securities may be subject to foreign withholding taxes, thus reducing the net amount of income available for distribution
to a Fund's shareholders. Further, foreign securities often trade with less frequency and volume than domestic securities and,
therefore, may exhibit greater price volatility. Changes in foreign exchange rates will affect, favorably or unfavorably, the value
of those securities which are denominated or quoted in currencies other than the U.S. dollar.
46
8. FEDERAL TAX INFORMATION
____________________________________________________________________________________________________________________________________
Each Fund has qualified and intends to continue to qualify as a regulated investment company under Subchapter M of the Internal
Revenue Code and to distribute substantially all of its taxable income and net capital gains. Accordingly, no provision has been
made for Federal income taxes.
The Funds are subject to the provisions of FASB Accounting Standards Codification 740-10 ("ASC 740-10"), Income Taxes. ASC 740-10
requires an evaluation of tax positions taken (or expected to be taken) in the course of preparing a Fund's tax returns to determine
whether these positions meet a "more-likely-than-not" standard that based on the technical merits have a more than fifty percent
likelihood of being sustained by a taxing authority upon examination. A tax position that meets the "more-likely-than-not"
recognition threshold is measured to determine the amount of benefit to recognize in the financial statements. The Funds recognize
interest and penalties, if any, related to unrecognized tax benefits as income tax expense in the Statement of Operations.
ASC 740-10 requires management of the Funds to analyze all open tax years, fiscal years 2006 - 2009 as defined by IRS statute of
limitations, for all major jurisdictions, including federal tax authorities and certain state tax authorities. As of and during the
six-month period ended January 31, 2010, the Funds did not have a liability for any unrecognized tax benefits. The Funds have no
examination in progress and are not aware of any tax positions for which it is reasonably possible that the total amounts of
unrecognized tax benefits will significantly change in the next twelve months.
Dividends from net investment income and distributions from net realized capital gains are determined in accordance with U.S.
Federal income tax regulations, which may differ from those amounts determined under accounting principles generally accepted in the
United States of America. These book/tax differences are either temporary or permanent in nature. To the extent these differences
are permanent, they are charged or credited to Paid-in Capital or accumulated net realized gain, as appropriate, in the period that
the differences arise.
Accordingly, the following permanent differences as of July 31, 2009, primarily attributable to certain net operating losses,
reclassifications of long-term capital gain distributions on REITs, reclassifications of capital gain distributions investments in
Passive Foreign Investment Companies, foreign currency translation and return of capital, reclassifications of capital gains related
to short sales which, for tax purposes, are not available to offset future income, were reclassified to the following accounts.
Increase/(Decrease) Increase/(Decrease)
Undistributed Accumulated
Increase/(Decrease) Net Investment Net Realized
Paid-in Capital Income Gain
(000) (000) (000)
____________________________________________________________________________________________________________________________________
Old Mutual Analytic Fund $(29,297) $(3,220) $32,517
Old Mutual Copper Rock Emerging Growth Fund (513) 513 -
Old Mutual International Equity Fund - (539) 539
____________________________________________________________________________________________________________________________________
Amounts designated as "-" are either $0 or have been rounded to $0.
The tax character of dividends and distributions declared during the year or periods ended July 31, 2009 and 2008 were as follows:
Ordinary Long Term Return of
Income Capital Gain Capital Total
(000) (000) (000) (000)
____________________________________________________________________________________________________________________________________
Old Mutual Analytic Fund (1)
2008 $57,467 $ - $- $57,467
Old Mutual Copper Rock Emerging Growth Fund (1)
2008 3,203 2,116 - 5,319
Old Mutual International Equity Fund
2009 1,772 - - 1,772
2008 654 245 - 899
____________________________________________________________________________________________________________________________________
Amounts designated as "-" are either $0 or have been rounded to $0.
(1) The Old Mutual Analytic Fund and Old Mutual Copper Rock Emerging Growth Fund did not declare dividends or distributions during
the year ended July 31, 2009.
47
NOTES TO FINANCIAL STATEMENTS - concluded
AS OF JANUARY 31, 2010 (UNAUDITED)
As of July 31, 2009, the components of Distributable Earnings/(Accumulated Losses) were as follows:
Undistributed Undistributed Post Post October Unrealized Other
Ordinary Long Term Capital Loss October Currency Appreciation/ Temporary
Income Capital Gain Carryforwards Losses Losses Depreciation Differences Total
(000) (000) (000) (000) (000) (000) (000) (000)
____________________________________________________________________________________________________________________________________
Old Mutual Analytic Fund $ - $- $(81,880) $(82,515) $(8,357) $8,371 $(2,122) $(166,503)
Old Mutual Copper Rock
Emerging Growth Fund - - (19,088) (13,447) - 6,034 - (26,501)
Old Mutual International
Equity Fund 886 - (24,422) (27,960) - 2,850 - (48,646)
____________________________________________________________________________________________________________________________________
Amounts designated as "-" are either $0 or have been rounded to $0.
Post-October losses represent losses realized on investment transactions from November 1, 2008 through July 31, 2009 that, in
accordance with federal income tax regulations the Funds may elect to defer and treat as having arisen in the following fiscal year.
For Federal income tax purposes, capital loss carryforwards may be carried forward and applied against future capital gains for a
period of up to eight years to the extent allowed by the Internal Revenue Code.
As of July 31, 2009, the following Funds had capital loss carry forwards available to offset future realized gains through the
indicated expiration dates (000):
2016 2017 Total
____________________________________________________________________________________________________________________________________
Old Mutual Analytic Fund $50,153 $31,727 $81,880
Old Mutual Copper Rock Emerging Growth Fund - 19,088 19,088
Old Mutual International Equity Fund 8 24,414 24,422
____________________________________________________________________________________________________________________________________
The Federal tax cost, aggregate gross unrealized appreciation and depreciation of investments, excluding securities sold short,
futures contracts and written option contracts, held by each Fund at January 31, 2010 were as follows:
Net
Unrealized
Federal Tax Unrealized Unrealized Appreciation/
Cost Appreciation Depreciation Depreciation
(000) (000) (000) (000)
____________________________________________________________________________________________________________________________________
Old Mutual Analytic Fund $110,556 $18,289 $(1,452) $16,837
Old Mutual Copper Rock Emerging Growth Fund 62,479 7,739 (1,415) 6,324
Old Mutual International Equity Fund 47,516 5,334 (1,810) 3,524
____________________________________________________________________________________________________________________________________
9. SUBSEQUENT EVENTS
____________________________________________________________________________________________________________________________________
In accordance with the provisions set forth in FASB Accounting Standards Codification 855-10 Subsequent Events, the Adviser has
evaluated the possibility of subsequent events existing in the Funds' financial statements and has determined that there are no
other material events that would require disclosure in the Funds' financial statements.
48
PROXY VOTING AND PORTFOLIO HOLDINGS (Unaudited)
Proxy Voting
A description of the guidelines that the Trust uses to determine how to vote proxies relating to portfolio securities is available
(i) without charge, upon request, by calling toll-free at 888.772.2888; (ii) on the Trust's website at oldmutualfunds.com; and (iii)
on the SEC's website at http://www.sec.gov.
Information about how the Funds voted proxies relating to portfolio securities for the 12-month period ended June 30, 2009 is
available on the Trust's website at oldmutualfunds.com and on the SEC's website at http://www.sec.gov.
Portfolio Holdings
The Trust files a complete schedule of portfolio holdings with the SEC for the first and third quarters of its fiscal year on Form
N-Q. The Trust's Forms N-Q are available on the SEC's website at http://www.sec.gov, or may be reviewed and copied at the SEC's
Public Reference Room in Washington D.C. Information on the operation of the Public Reference Room may be obtained by calling
1-800-SEC-0330 toll-free.
49
FUND EXPENSES EXAMPLE (Unaudited)
Six Month Hypothetical Expense Example - January 31, 2010
Example. As a shareholder of a Fund you may pay two types of fees: transaction fees and fund-related fees. Transaction fees may
include transaction costs, including sales charges (loads) on purchase payments, redemption fees, and exchange fees. Fund-related
fees may include ongoing expenses, including management fees, distribution and/or service fees, and other fund expenses, which are
indirectly paid by shareholders and affect your investment return.
This Example is intended to help you understand your ongoing costs (in dollars) of investing in the Funds and to compare these costs
with the ongoing costs of investing in other mutual funds. This Example is based on an investment of $1,000 invested at the
beginning of the period and held for the six-month period ended January 31, 2010.
Actual Expenses. The first line for each share class in the following table provides information about actual account values and
actual expenses. The Example includes, but is not limited to, management fees, 12b-1 fees, fund accounting, custody and transfer
agent fees. However, the Example does not include client specific fees, such as the $10.00 fee charged to IRA accounts, or the
$10.00 fee charged for wire redemptions. The Example also does not include portfolio trading commissions and related trading
expenses. You may use this information, together with the amount you invested, to estimate the expenses that you paid over the
period. Simply divide your account value by $1,000 (for example, an $8,600 account value divided by $1,000 = 8.6), then multiply the
result by the number in the first line for each share class under the heading entitled "Expenses Paid During Six-Month Period" to
estimate the expenses you paid on your account during this period.
Hypothetical Example for Comparison Purposes. The second line for each share class in the table provides information about
hypothetical account values and hypothetical expenses based on each Fund's actual expense ratio and an assumed rate of return of 5%
per year before expenses, which is not the Fund's actual return. The hypothetical account values and expenses may not be used to
estimate the actual ending account balance or expenses you paid for the period. You may use this information to compare the ongoing
costs of investing in each Fund and other funds. To do so, compare this 5% hypothetical example with the 5% hypothetical examples
that appear in the shareholder reports of the other funds. Please note that the expenses shown in the table are meant to highlight
your ongoing costs only and do not reflect any transactional costs, such as sales charges (loads), redemption fees, or exchange
fees. Therefore, this information is useful in comparing ongoing costs only, and will not help you determine the relative total
costs of owning different funds. In addition, if these transactional costs were included, your costs would have been higher.
Annualized Expenses Annualize d Expenses
Beginning Ending Expense Paid Beginning Ending Expense Paid
Account Account Ratios During Six Account Account Ratios During Six
Value Value for the Six Month Value Value for the Six Month
8/01/10 1/31/10 Month Period Period* 8/01/10 1/31/10 Month Period Period*
_________________________________________________________________________________________ _________________________________________________________________________________________
Old Mutual Analytic Fund - Class A Old Mutual Copper Rock Emerging Growth Fund - Class Z
_________________________________________________________________________________________ _________________________________________________________________________________________
Actual Fund Return $1,000.00 $1,005.80 1.81% $9.15 Actual Fund Return $1,000.00 $1,078.30 1.42% $7.44
Hypothetical 5% Return 1,000.00 1,025.05 1.81 9.24 Hypothetical 5% Return 1,000.00 1,025.07 1.42 7.25
_________________________________________________________________________________________ _________________________________________________________________________________________
Old Mutual Analytic Fund - Class C Old Mutual Copper Rock Emerging Growth Fund - Institutional Class
_________________________________________________________________________________________ _________________________________________________________________________________________
Actual Fund Return 1,000.00 1,002.40 2.56 12.92 Actual Fund Return 1,000.00 1,078.90 1.22 6.39
Hypothetical 5% Return 1,000.00 1,025.01 2.56 13.07 Hypothetical 5% Return 1,000.00 1,019.00 1.22 6.21
_________________________________________________________________________________________ _________________________________________________________________________________________
Old Mutual Analytic Fund - Class Z Old Mutual International Equity Fund - Class A
_________________________________________________________________________________________ _________________________________________________________________________________________
Actual Fund Return 1,000.00 1,006.90 1.56 7.89 Actual Fund Return 1,000.00 1,056.20 1.52 7.88
Hypothetical 5% Return 1,000.00 1,017.29 1.56 7.93 Hypothetical 5% Return 1,000.00 1,025.06 1.52 7.76
_________________________________________________________________________________________ _________________________________________________________________________________________
Old Mutual Analytic Fund - Institutional Class Old Mutual International Equity Fund - Class Z
_________________________________________________________________________________________ _________________________________________________________________________________________
Actual Fund Return 1,000.00 1,006.80 1.41 7.13 Actual Fund Return 1,000.00 1,056.80 1.27 6.58
Hypothetical 5% Return 1,000.00 1,025.07 1.41 7.20 Hypothetical 5% Return 1,000.00 1,025.07 1.27 6.48
_________________________________________________________________________________________ _________________________________________________________________________________________
Old Mutual Copper Rock Emerging Growth Fund - Class A Old Mutual International Equity Fund - Institutional Class
_________________________________________________________________________________________ _________________________________________________________________________________________
Actual Fund Return 1,000.00 1,077.80 1.67 8.75 Actual Fund Return 1,000.00 1,059.00 1.02 5.29
Hypothetical 5% Return 1,000.00 1,025.05 1.67 8.52 Hypothetical 5% Return 1,000.00 1,020.01 1.02 5.19
_________________________________________________________________________________________ _________________________________________________________________________________________
* Expenses are equal to the Fund's annualized expense ratio multiplied by the average
account value over the period, multiplied by 184/365 (to reflect the one-half year
period).
50
FOR MORE INFORMATION
For investors who want more information about Old Mutual Funds I, please contact us at:
| By Telephone:
|
| 888.772.2888
|
| By Mail:
|
| Old Mutual Funds I
| P.O. Box 219534
| Kansas City, Missouri 64121-9534
|
| Via the Internet:
|
| oldmutualfunds.com
This semi-annual report is intended for the information of Old Mutual
Funds I shareholders, but may be used by prospective investors when
preceded or accompanied by a current prospectus. You may obtain a
copy of the prospectus, which contains important information about
the objectives, risks, share classes, charges and expenses of Old
Mutual Funds I, by visiting oldmutualfunds.com or by calling
888.772.2888. Please read the prospectus carefully before investing.
[OLD MUTUAL LOGO]
Funds distributed by Old Mutual Investment Partners
R-10-015 03/2010
Not applicable to semiannual reports.
| Item 3. | Audit Committee Financial Expert. |
Not applicable to semiannual reports.
| Item 4. | Principal Accountant Fees and Services. |
Not applicable to semiannual reports.
| Item 5. | Audit Committee of Listed Registrants. |
Not applicable.
| Item 6. | Schedule of Investments. |
| | (a) | SCHEDULE I – INVESTMENTS IN SECURITIES OF UNAFFILIATED ISSUERS is included as part of the reports to shareholders filed under Item 1 of this report. |
| | (b) | In accordance with Section 13(c) of the Investment Company Act of 1940, the Old Mutual International Equity Fund divested itself of the following securities since the filing of the registrant’s last report on Form N-CSR. |
(1) Name of Issuer | | (2) Exchange Ticker Symbol | | (3) Security Identifier (Cusip/Sedol) | | (4) Total number of shares divested | | (5) Date securities were divested | | (6) Amount Held on Filing Date |
A P Moller – Maersk A/S, Cl B | | MAERSKB | | 4253048 | | 3 77 | | 9/29/2009 10/08/2009 | | None |
Credit Suisse Group | | CSGN | | 7171589 | | 6,758 11,371 | | 11/25/2009 12/22/2009 | | None |
Deutsche Lufthansa | | LHAG | | 5287488 | | 39,691 13,815 | | 11/18/2009 11/25/2009 | | None |
Deutsche Post | | DPWG | | 4617859 | | 2,624 44,917 | | 11/25/2009 12/22/2009 | | None |
Mitsui | | 8031 | | 6597302 | | 16,700 43,800 | | 10/08/2009 11/25/2009 | | None |
Telefonaktiebolaget LM Ericsson, Cl B | | ERCB | | 5959378 | | 60,570 25,524 32,165 | | 10/19/2009 10/28/2009 12/22/2009 | | None |
| Item 7. | Disclosure of Proxy Voting Policies and Procedures for Closed-End Management Investment Companies. |
Not applicable.
| Item 8. | Portfolio Managers of Closed-End Management Investment Companies. |
Not applicable.
| Item 9. | Purchases of Equity Securities by Closed-End Management Company and Affiliated Purchasers. |
Not applicable.
| Item 10. | Submission of Matters to a Vote of Security Holders. |
No material changes have been made to the procedures by which shareholders may recommend nominees to the board of trustees of Old Mutual Funds I (the “registrant”), where those changes were implemented after the registrant last provided disclosure in response to the requirements of Item 7(d)(2)(ii)(G) of Schedule 14A or this Item 10.
| Item 11. | Controls and Procedures. |
| | (a) | Based on an evaluation of the Disclosure Controls and Procedures of the registrant as of a date within 90 days of the filing date of this report, the registrant’s Principal Executive Officer (“PEO”) and Principal Financial Officer (“PFO”), or persons performing similar functions, have concluded that the Disclosure Controls and Procedures are effectively designed to ensure that information required to be disclosed in this report is recorded, processed, summarized, and reported within required time periods, and accumulated and communicated to the registrant’s management, including the registrant’s PEO and PFO, or persons performing similar functions, as appropriate to allow timely decisions regarding required disclosure. |
| | (b) | During the quarter ended January 31, 2010, there has been no change in the registrant’s internal control over financial reporting that has materially affected, or that is reasonably likely to materially affect, the registrant’s internal control over financial reporting. |
| | (a)(1) | Not applicable to semiannual reports. |
| | (a)(2) | Attached hereto as Exhibit EX-99.CERT. |
| | (b) | Attached hereto as Exhibit EX-99.906CERT. |
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934 and the Investment Company Act of 1940, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.
OLD MUTUAL FUNDS I
| By: | /s/ Julian F. Sluyters | |
| | Julian F. Sluyters, President | |
| | | |
| Date: | March 19, 2010 | |
| | | |
Pursuant to the requirements of the Securities Exchange Act of 1934 and the Investment Company Act of 1940, this report has been signed below by the following persons on behalf of the registrant and in the capacities and on the dates indicated.
| By: | /s/ Julian F. Sluyters | |
| | Julian F. Sluyters, Principal Executive Officer |
| | | |
| Date: | March 19, 2010 | |
| | | |
| By: | /s/ Robert T. Kelly | |
| | Robert T. Kelly, Principal Financial Officer |
| | | |
| Date: | March 19, 2010 | |
| | | |
