Neuberger Berman
Advisers Management Trust
Balanced Portfolio
I Class Shares
Semi-Annual Report
June 30, 2015
Balanced Portfolio Commentary
The Neuberger Berman Advisors Management Trust Balanced Portfolio (the "Fund") Class I generated a 6.81% total return for the six months ended June 30, 2015. The Fund's equity component outperformed the Russell Midcap® Growth Index, which returned 4.18% during the period, but its fixed income component underperformed the Barclays 1-3 Year U.S. Government/Credit Index, which returned 0.72% for the same period.
Equities
The first half of 2015 was generally positive for our style of investing. Shrugging off global macro noise, stubbornly lethargic GDP growth and currency headwinds, the market rewarded active management and stocks offering positive differentiation versus their peers, "paying-up" for compelling catalysts, strong execution and the higher qualitative characteristics and fundamentals that we typically prize. The Fund also benefitted from the reemergence of business capital spending as M&A activity remained strong, especially within the Health Care and Information Technology (IT) sectors. Lastly, incremental net positives around inflation, employment and wage growth set the stage, in our view, for a potential bounce in the second half of the year in both consumer confidence and retail spending.
During the period, the Fund was materially overweighted to IT, Health Care and Telecommunication Services and underweighted to Consumer Staples, Materials, Financials, Energy, Industrials and Consumer Discretionary versus the benchmark. Our overweight to Health Care and IT and underweight to Materials proved additive to performance and overcame the negative impact of our underweight to Consumer Staples. Stock selection was broadly additive, led by strong contributions from our IT and Consumer Discretionary holdings, which offset weakness from our Materials stocks.
Drilling down to our holdings over the six month period, Avago Technologies was the top equity contributor to Fund performance, while WageWorks was the leading detractor. Avago, a semiconductor company, continued to execute at a high level with strong participation in leading "smart" devices and completed a well-received acquisition of Broadcom. WageWorks, a provider of employee-directed, tax-advantaged benefits, was negatively impacted by a potential new competitive entrant, Towers Watson, to the consumer-directed benefit space.
From our perspective, the positives continue to outweigh the negatives and/or angst around the longevity of the current "bull" market. We think the second half of 2015 should continue to benefit broadly from accommodative central banks, appealing interest rate levels and generally positive inflationary trends. In the U.S., we believe incremental gains in housing, employment and wage growth coupled with moderating currency headwinds and improving business and consumer confidence, should they continue, could provide a positive counter balance to the never-ending global wall of worry and to legitimate concerns around sluggish GDP growth and extended market valuations across numerous sectors. We continue to believe that an interest rate increase will be reasonably digested by the market and ultimately prove to be a positive for stocks. Given the aforementioned positive trends and an apparent absence of reckless excess, we also don't believe that a market reset is looming near-term. We anticipate the market to continue to seek positive differentiation through companies characterized by strong execution and fundamentals and we would view any short-term volatility, should it occur, as an investing opportunity.
Fixed Income
After declining during the first three months of 2015, U.S. Treasury yields rose sharply during the second quarter. This turnaround was triggered by signs of improving economic data and expectations that, before the end of the year, the U.S. Federal Reserve (Fed) would institute its first rate hike in nearly a decade. For the reporting period as a whole, the yield on the two-year Treasury declined three basis points (bps), whereas the 10-year Treasury yield rose 18 bps. Most spread sectors generated modest gains during the reporting period and performed largely in line with equal-duration Treasuries.
Detracting the most from the Fund's fixed income performance during the reporting period was its duration and yield curve positioning. In particular, having an underweight to the two- to three-year portion of the curve was a drag on
1
results. The Fund's allocation to agency mortgage-backed securities also detracted from performance. In contrast, an allocation to commercial mortgage-backed securities (CMBS) was a modest contributor to performance.
The Fund maintained its overall positioning during the six-month period, with an overweight to the spread sectors and an underweight to Treasuries. However, several adjustments were made to the Fund, including modestly paring its CMBS exposure and slightly adding to its Treasury allocation. We actively participated in the investment grade corporate bond new issuance market and sold certain positions that we considered to be fully valued and where we felt there were potential event risks.
We believe the recent increase in Treasury yields is consistent with underlying global economic trends. At the same time, deflation fears have diminished and we think global developed market interest rates are now pricing in a more realistic inflation premium. Overall, the interest rate markets have been starting to move in line with our expectations, as our fair value estimate for the 10-year Treasury has been between 2.75% and 2.95% since last year. What's more, the Fed's median estimate for the federal funds rate has shifted down and is now 1.625% for the end of 2016, versus 1.875% in March. We continue to think that the Fed's first rate hike will occur in 2015, but believe the Fed will take a measured approach to future increases. We anticipate continued volatility in the financial markets in the coming months given incoming economic data, uncertainties regarding global central bank actions and geopolitical issues. However, we believe periods of market volatility need not always be feared, as they often breed a steady stream of investment opportunities. What's more, we believe interest rate fears are being overblown, as we anticipate them to edge only modestly higher over the next 12 months.
Sincerely,
KENNETH J. TUREK, THOMAS SONTAG AND MICHAEL FOSTER
PORTFOLIO CO-MANAGERS
Information about principal risks of investing in the Fund is set forth in the prospectus and statement of additional information.
The portfolio composition, industries and holdings of the Fund are subject to change.
The opinions expressed are those of the Fund's portfolio managers. The opinions are as of the date of this report, and are subject to change without notice.
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PORTFOLIO BY TYPE OF SECURITY
(as a % of Total Net Assets) | |
Asset-Backed Securities | | | 6.2 | % | |
Common Stocks | | | 71.1 | | |
Corporate Debt Securities | | | 8.6 | | |
Mortgage-Backed Securities | | | 9.4 | | |
U.S. Treasury Securities | | | 4.1 | | |
Short-Term Investments | | | 1.0 | | |
Liabilities, less cash, receivables and
other assets | | | (0.4 | ) | |
Total | | | 100.0 | % | |
PERFORMANCE HIGHLIGHTS
| | |
InceptionDate | | Six Month
Period Ended | | Average Annual Total Return
Ended 06/30/2015 | |
| | | | 06/30/2015 | | 1 Year | | 5 Years | | 10 Years | | Life of Fund | |
Balanced Portfolio
Class I | |
02/28/1989 | | | 6.81 | % | | | 9.98 | % | | | 10.98 | % | | | 5.75 | % | | | 6.98 | % | |
Barclays 1-3 Year
U.S. Government/
Credit Index1,2 | | | | | | | 0.72 | % | | | 0.93 | % | | | 1.17 | % | | | 2.83 | % | | | 5.02 | % | |
Russell Midcap®
Growth Index1.2 | | | | | | | 4.18 | % | | | 9.45 | % | | | 18.69 | % | | | 9.69 | % | | | 10.92 | % | |
Russell Midcap®
Index1,2 | | | | | | | 2.35 | % | | | 6.63 | % | | | 18.23 | % | | | 9.40 | % | | | 11.88 | % | |
The performance data quoted represent past performance and do not indicate future results. Current performance may be lower or higher than the performance data quoted. For performance data current to the most recent month-end, please visit http://www.nb.com/amtportfolios/performance.
The results shown in the table reflect the reinvestment of income dividends and other distributions, if any. The results do not reflect the effect of taxes a shareholder would pay on Fund distributions or on the redemption of Fund shares. The results do not reflect fees and expenses of the variable annuity and variable life insurance policies or the qualified pension and retirement plans whose proceeds are invested in the Fund.
The investment return and principal value of an investment will fluctuate and shares, when redeemed, may be worth more or less than their original cost.
Returns would have been lower if Neuberger Berman Management LLC (Management) had not reimbursed certain expenses and/or waived a portion of the investment management fees during certain of the periods shown. Repayment by a class (of expenses previously reimbursed and/or fees previously waived by Management) will decrease the class's returns. Please see Note B in the Notes to Financial Statements for specific information regarding expense reimbursement and/or fee waiver arrangements.
As stated in the Fund's most recent prospectus, the total annual operating expense ratio for fiscal year 2014 was 2.05% for Class I shares (before expense reimbursements and/or fee waivers, if any). The expense ratio was 1.85% after expense reimbursements and/or fee waivers. The expense ratios for the semi-annual period ended June 30, 2015 can be found in the Financial Highlights section of this report.
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1 The date used to calculate Life of Fund performance for the index is February 28, 1989, the Fund's commencement of operations.
2 The Barclays 1-3 Year U.S. Government/Credit Index is the 1-3 year component of the Barclays U.S. Government/Credit Index. The Barclays U.S. Government/Credit Index is the non-securitized component of the Barclays U.S. Aggregate Bond Index and includes Treasuries and government-related (agency, sovereign, supranational, and local authority debt) and investment-grade corporate securities. The Russell Midcap® Growth Index is a float-adjusted market capitalization-weighted index that measures the performance of the mid-cap growth segment of the U.S. equity market. It includes those Russell Midcap® Index companies with higher price-to-book ratios and higher forecasted growth rates. The index is rebalanced annually in June. The Russell Midcap Index measures the performance of the mid-cap segment of the U.S. equity market, and includes approximately 800 of the smallest securities in the Russell 1000® Index (which measures the performance of the 1,000 largest U.S. public companies based on total market capitalization). The index is rebalanced annually in June. Please note that the indices described in this report do not take into account any fees, expenses or tax consequences of investing in the individual securities that they track, and that investors cannot invest directly in any index. Data about the performance of an index are prepared or obtained by Management and reflect the reinvestment of income dividends and other distributions, if any. The Fund may invest in securities not included in a described index and generally does not invest in all securities included in a described index.
The investments for the Fund are managed by the same portfolio manager(s) who manage(s) one or more other registered funds that have names, investment objectives and investment styles that are similar to those of the Fund. You should be aware that the Fund is likely to differ from those other mutual fund(s) in size, cash flow pattern and tax matters. Accordingly, the holdings and performance of the Fund can be expected to vary from those of the other mutual fund(s).
Shares of the separate Neuberger Berman Advisers Management Trust Portfolios, including the Fund, are not available to the general public. Shares of the Fund may be purchased only by life insurance companies to be held in their separate accounts, which fund variable annuity and variable life insurance policies, and by qualified pension and retirement plans.
Statistics and projections in this report are derived from sources deemed to be reliable but cannot be regarded as a representation of future results of the Fund. This report is prepared for the general information of shareholders and is not an offer of shares of the Fund. Shares are sold only through the currently effective prospectus, which must precede or accompany this report.
The "Neuberger Berman" name and logo are registered service marks of Neuberger Berman Group LLC. "Neuberger Berman Management LLC" and the individual Fund name in this piece are either service marks or registered service marks of Neuberger Berman Management LLC.
© 2015 Neuberger Berman Management LLC, distributor. All rights reserved.
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Information About Your Fund's Expenses (Unaudited)
As a Fund shareholder, you incur two types of costs: (1) transaction costs such as fees and expenses that are, or may be, imposed under your variable contract or qualified pension plan; and (2) ongoing costs, including management fees, distribution and/or service (12b-1) fees (if applicable), and other Fund expenses. This example is intended to help you understand your ongoing costs (in U.S. dollars) of investing in the Fund and compare these costs with the ongoing costs of investing in other mutual funds.
This table is designed to provide information regarding costs related to your investments. The following examples are based on an investment of $1,000 made at the beginning of the six month period ended June 30, 2015 and held for the entire period. The table illustrates the Fund's costs in two ways:
Actual Expenses and Performance: | | The first section of the table provides information about actual account values and actual expenses in dollars, based on the Fund's actual performance during the period indicated. You may use the information in this line, together with the amount you invested, to estimate the expenses 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 section of the table under the heading entitled "Expenses Paid During the Period" to estimate the expenses you paid over the period. | |
Hypothetical Example for
Comparison Purposes: | | The second section of the table provides information about hypothetical account values and hypothetical expenses based on the Fund's actual expense ratio and an assumed rate of return at 5% per year before expenses. This return 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 this Fund versus other funds. To do so, compare the expenses shown in this 5% hypothetical example with the 5% hypothetical examples that appear in the shareholder reports of other funds. | |
Please note that the expenses in the table are meant to highlight your ongoing costs only and do not include any transaction costs, such as fees and expenses that are, or may be imposed under your variable contract or qualified pension plan. Therefore, the information under the heading "Hypothetical (5% annual return before expenses)" 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 transaction costs were included, your costs would have been higher.
Expense Information as of 6/30/15
NEUBERGER BERMAN ADVISERS MANAGEMENT TRUST BALANCED PORTFOLIO
Actual | | Beginning Account
Value
1/1/15 | | Ending Account
Value
6/30/15 | | Expenses Paid During
the Period*
1/1/15 – 6/30/15 | |
Class I | | $ | 1,000.00 | | | $ | 1,068.10 | | | $ | 9.49 | | |
Hypothetical (5% annual return before expenses)** | |
Class I | | $ | 1,000.00 | | | $ | 1,015.62 | | | $ | 9.25 | | |
* Expenses are equal to the annualized expense ratio of 1.85%, multiplied by the average account value over the period, multiplied by 181/365 (to reflect the one-half year period shown).
** Hypothetical expenses are equal to the annualized expense ratio of 1.85%, multiplied by the average account value over the period (assuming a 5% annual return), multiplied by 181/365 (to reflect the one-half year period shown).
5
Schedule of Investments Balanced Portfolio (Unaudited) 6/30/15
NUMBER OF SHARES | | | | VALUE† | |
Common Stocks (71.1%) | | | |
Airlines (1.1%) | | | |
| | 2,500 | | | Alaska Air Group, Inc. | | $ | 161,075 | | |
Banks (0.9%) | | | |
| | 850 | | | SVB Financial Group | | | 122,383 | * | |
Biotechnology (3.3%) | | | |
| | 1,500 | | | Alkermes PLC | | | 96,510 | * | |
| | 800 | | | BioMarin Pharmaceutical, Inc. | | | 109,424 | * | |
| | 1,000 | | | Incyte Corp. | | | 104,210 | * | |
| | 300 | | | Receptos, Inc. | | | 57,015 | * | |
| | 550 | | | United Therapeutics Corp. | | | 95,672 | * | |
| | | | 462,831 | | |
Capital Markets (2.6%) | | | |
| | 750 | | | Affiliated Managers Group, Inc. | | | 163,950 | * | |
| | 3,000 | | | E*TRADE Financial Corp. | | | 89,850 | * | |
| | 2,000 | | | Raymond James Financial, Inc. | | | 119,160 | | |
| | | | 372,960 | | |
Chemicals (0.4%) | | | |
| | 750 | | | Sensient Technologies Corp. | | | 51,255 | | |
Commercial Services & Supplies (1.2%) | | | |
| | 1,250 | | | Stericycle, Inc. | | | 167,388 | * | |
Communications Equipment (2.0%) | | | |
| | 750 | | | F5 Networks, Inc. | | | 90,262 | * | |
| | 1,750 | | | Infinera Corp. | | | 36,715 | * | |
| | 850 | | | Palo Alto Networks, Inc. | | | 148,495 | * | |
| | | | 275,472 | | |
Containers & Packaging (0.9%) | | | |
| | 2,000 | | | Packaging Corp. of America | | | 124,980 | ØØ | |
Distributors (0.8%) | | | |
| | 3,750 | | | LKQ Corp. | | | 113,419 | * | |
Diversified Consumer Services (0.5%) | | | |
| | 2,500 | | | Service Corp. International | | | 73,575 | | |
Diversified Financial Services (0.6%) | | | |
| | 1,600 | | | CBOE Holdings, Inc. | | | 91,552 | | |
Electrical Equipment (1.7%) | | | |
| | 600 | | | Acuity Brands, Inc. | | | 107,988 | | |
| | 2,500 | | | AMETEK, Inc. | | | 136,950 | | |
| | | | 244,938 | | |
NUMBER OF SHARES | | | | VALUE† | |
Electronic Equipment, Instruments &
Components (2.3%) | | | |
| | 1,900 | | | Amphenol Corp. Class A | | $ | 110,143 | | |
| | 3,000 | | | CDW Corp. | | | 102,840 | | |
| 1,000 | | | Zebra Technologies Corp.
Class A | | | 111,050 | * | |
| | | | 324,033 | | |
Food & Staples Retailing (0.6%) | | | |
| | 10,000 | | | Rite Aid Corp. | | | 83,500 | * | |
Food Products (1.8%) | | | |
| | 250 | | | Bunge Ltd. | | | 21,950 | | |
| | 2,000 | | | Pinnacle Foods, Inc. | | | 91,080 | | |
| | 2,750 | | | WhiteWave Foods Co. | | | 134,420 | * | |
| | | | 247,450 | | |
Health Care Equipment & Supplies (2.1%) | | | |
| | 500 | | | Cooper Cos., Inc. | | | 88,985 | | |
| | 850 | | | Teleflex, Inc. | | | 115,132 | | |
| | 3,450 | | | Wright Medical Group, Inc. | | | 90,597 | * | |
| | | | 294,714 | | |
Health Care Providers & Services (3.9%) | | | |
| | 2,250 | | | Acadia Healthcare Co., Inc. | | | 176,242 | * | |
| | 3,650 | | | Envision Healthcare Holdings, Inc. | | | 144,102 | * | |
| | 1,250 | | | Quest Diagnostics, Inc. | | | 90,650 | | |
| 1,000 | | | Universal Health Services, Inc.
Class B | | | 142,100 | | |
| | | | 553,094 | | |
Health Care Technology (1.0%) | | | |
| | 1,400 | | | Cerner Corp. | | | 96,684 | * | |
| | 1,600 | | | Veeva Systems, Inc. Class A | | | 44,848 | * | |
| | | | 141,532 | | |
Hotels, Restaurants & Leisure (1.6%) | | | |
| | 2,750 | | | Bloomin' Brands, Inc. | | | 58,713 | | |
| | 500 | | | Buffalo Wild Wings, Inc. | | | 78,345 | * | |
| 1,500 | | | Norwegian Cruise Line
Holdings Ltd. | | | 84,060 | * | |
| | | | 221,118 | | |
Household Durables (0.5%) | | | |
| | 1,500 | | | Jarden Corp. | | | 77,625 | * | |
Independent Power and Renewable
Electricity Producers (0.5%) | | | |
| | 2,250 | | | Dynegy, Inc. | | | 65,813 | * | |
See Notes to Schedule of Investments
6
Schedule of Investments Balanced Portfolio (Unaudited) (cont'd)
NUMBER OF SHARES | | | | VALUE† | |
Industrial Conglomerates (1.2%) | | | |
| | 1,000 | | | Roper Technologies, Inc. | | $ | 172,460 | | |
Insurance (0.5%) | | | |
| | 1,000 | | | Assurant, Inc. | | | 67,000 | | |
Internet & Catalog Retail (0.9%) | | | |
| 2,350 | | | Liberty Interactive Corp.
QVC Group Class A | | | 65,213 | * | |
| | 100 | | | Netflix, Inc. | | | 65,694 | * | |
| | | | 130,907 | | |
Internet Software & Services (2.1%) | | | |
| | 1,350 | | | Akamai Technologies, Inc. | | | 94,257 | * | |
| | 500 | | | CoStar Group, Inc. | | | 100,630 | * | |
| | 1,500 | | | Demandware, Inc. | | | 106,620 | * | |
| | | | 301,507 | | |
IT Services (2.4%) | | | |
| | 500 | | | Alliance Data Systems Corp. | | | 145,970 | * | |
| | 1,000 | | | Fiserv, Inc. | | | 82,830 | * | |
| | 700 | | | FleetCor Technologies, Inc. | | | 109,242 | * | |
| | | | 338,042 | | |
Leisure Products (0.5%) | | | |
| | 500 | | | Polaris Industries, Inc. | | | 74,055 | | |
Life Sciences Tools & Services (0.8%) | | | |
| | 550 | | | Illumina, Inc. | | | 120,098 | * | |
Machinery (1.4%) | | | |
| | 1,350 | | | Milacron Holdings Corp. | | | 26,568 | * | |
| | 1,100 | | | PACCAR, Inc. | | | 70,191 | | |
| | 1,000 | | | Wabtec Corp. | | | 94,240 | | |
| | | | 190,999 | | |
Media (1.0%) | | | |
| 450 | | | Charter Communications, Inc.
Class A | | | 77,063 | * | |
| | 1,300 | | | Starz Class A | | | 58,136 | * | |
| | | | 135,199 | | |
Multiline Retail (1.9%) | | | |
| | 2,000 | | | Burlington Stores, Inc. | | | 102,400 | * | |
| | 1,750 | | | Dollar Tree, Inc. | | | 138,233 | * | |
| | 2,250 | | | Tuesday Morning Corp. | | | 25,346 | * | |
| | | | 265,979 | | |
NUMBER OF SHARES | | | | VALUE† | |
Oil, Gas & Consumable Fuels (1.6%) | | | |
| | 1,750 | | | Antero Resources Corp. | | $ | 60,095 | * | |
| | 2,250 | | | Cabot Oil & Gas Corp. | | | 70,965 | | |
| | 850 | | | Concho Resources, Inc. | | | 96,781 | * | |
| | | | 227,841 | | |
Pharmaceuticals (2.8%) | | | |
| | 1,500 | | | Akorn, Inc. | | | 65,490 | * | |
| | 1,500 | | | Endo International PLC | | | 119,475 | * | |
| | 500 | | | Jazz Pharmaceuticals PLC | | | 88,035 | * | |
| | 600 | | | Mylan NV | | | 40,716 | * | |
| | 1,650 | | | Zoetis, Inc. | | | 79,563 | | |
| | | | 393,279 | | |
Professional Services (1.0%) | | | |
| | 1,500 | | | Nielsen NV | | | 67,155 | | |
| | 1,750 | | | WageWorks, Inc. | | | 70,788 | * | |
| | | | 137,943 | | |
Real Estate Management &
Development (0.9%) | | | |
| | 750 | | | Jones Lang LaSalle, Inc. | | | 128,250 | | |
Road & Rail (1.0%) | | | |
| | 600 | | | J.B. Hunt Transport Services, Inc. | | | 49,254 | | |
| | 1,400 | | | Old Dominion Freight Line, Inc. | | | 96,047 | * | |
| | | | 145,301 | | |
Semiconductors & Semiconductor
Equipment (4.2%) | | | |
| | 750 | | | Avago Technologies Ltd. | | | 99,697 | | |
| | 1,500 | | | Cavium, Inc. | | | 103,215 | * | |
| | 1,250 | | | Lam Research Corp. | | | 101,687 | | |
| | 1,750 | | | Monolithic Power Systems, Inc. | | | 88,743 | | |
| | 1,250 | | | NXP Semiconductors NV | | | 122,750 | * | |
| | 2,500 | | | SunEdison, Inc. | | | 74,775 | * | |
| | | | 590,867 | | |
Software (4.9%) | | | |
| | 3,000 | | | Activision Blizzard, Inc. | | | 72,630 | | |
| | 1,350 | | | Electronic Arts, Inc. | | | 89,775 | * | |
| | 1,750 | | | Fortinet, Inc. | | | 72,328 | * | |
| | 1,000 | | | Mobileye NV | | | 53,170 | * | |
| | 1,600 | | | ServiceNow, Inc. | | | 118,896 | * | |
| | 850 | | | Splunk, Inc. | | | 59,177 | * | |
| | 2,250 | | | Synchronoss Technologies, Inc. | | | 102,892 | * | |
| | 500 | | | Tableau Software, Inc. Class A | | | 57,650 | * | |
| | 400 | | | Ultimate Software Group, Inc. | | | 65,736 | * | |
| | | | 692,254 | | |
See Notes to Schedule of Investments
7
Schedule of Investments Balanced Portfolio (Unaudited) (cont'd)
NUMBER OF SHARES | | | | VALUE† | |
Specialty Retail (5.6%) | | | |
| | 1,050 | | | Lithia Motors, Inc. Class A | | $ | 118,818 | | |
| | 900 | | | O'Reilly Automotive, Inc. | | | 203,382 | *ØØ | |
| | 2,500 | | | Ross Stores, Inc. | | | 121,525 | | |
| | 600 | | | Signet Jewelers Ltd. | | | 76,944 | | |
| | 1,700 | | | Tractor Supply Co. | | | 152,898 | | |
| | 1,500 | | | Williams-Sonoma, Inc. | | | 123,405 | | |
| | | | 796,972 | | |
Textiles, Apparel & Luxury Goods (3.5%) | | | |
| | 1,150 | | | Carter's, Inc. | | | 122,245 | | |
| | 5,000 | | | Hanesbrands, Inc. | | | 166,600 | | |
| | 750 | | | lululemon athletica, Inc. | | | 48,975 | * | |
| | 1,900 | | | Under Armour, Inc. Class A | | | 158,536 | * | |
| | | | 496,356 | | |
Trading Companies & Distributors (0.5%) | | | |
| | 750 | | | United Rentals, Inc. | | | 65,715 | * | |
Wireless Telecommunication Services (2.1%) | | | |
| 1,500 | | | SBA Communications Corp.
Class A | | | 172,455 | * | |
| | 3,250 | | | T-Mobile US, Inc. | | | 126,002 | * | |
| | | | 298,457 | | |
| | | | Total Common Stocks
(Cost $6,779,925) | | | 10,040,188 | | |
See Notes to Schedule of Investments
8
Schedule of Investments Balanced Portfolio (Unaudited) (cont'd)
PRINCIPAL AMOUNT | | | | VALUE† | |
U.S. Treasury Securities-Backed by the Full Faith and Credit of the U.S. Government (4.1%) | | | |
$ | 100,000 | | | U.S. Treasury Notes, 0.25%, due 9/15/15 | | $ | 100,016 | | |
| | 165,000 | | | U.S. Treasury Notes, 0.50%, due 11/30/16-2/28/17 | | | 164,948 | | |
| | 315,000 | | | U.S. Treasury Notes, 1.00%, due 12/15/17-5/15/18 | | | 315,881 | | |
| | | | | Total U.S. Treasury Securities-Backed by the Full Faith and Credit of the U.S. Government
(Cost $580,094) | | | 580,845 | | |
Mortgage-Backed Securities (9.4%) | | | |
Adjustable Mixed Balance (0.1%) | | | |
| | 6,353 | | | Harborview Mortgage Loan Trust, Ser. 2004-4, Class 3A, 1.31%, due 6/19/34 | | | 6,147 | µ | |
Commercial Mortgage-Backed (5.9%) | | | |
| | 68,668 | | | Citigroup Commercial Mortgage Trust, Ser. 2013-GC15, Class A1, 1.38%, due 9/10/46 | | | 68,681 | | |
| | 104,781 | | | Commercial Mortgage Pass-Through Certificates, Ser. 2014-LC15, Class A1, 1.26%, due 4/10/47 | | | 104,264 | | |
| | 24,705 | | | Commercial Mortgage Pass-Through Certificates, Ser. 2014-CR16, Class A1, 1.45%, due 4/10/47 | | | 24,744 | | |
| | 39,332 | | | Commercial Mortgage Pass-Through Certificates, Ser. 2014-UBS3, Class A1, 1.40%, due 6/10/47 | | | 39,261 | | |
| | 51,200 | | | Commercial Mortgage Pass-Through Certificates, Ser. 2014-UBS4, Class A1, 1.31%, due 8/10/47 | | | 51,082 | | |
| | 51,004 | | | Credit Suisse Commercial Mortgage Trust, Ser. 2006-C3, Class A3, 6.00%, due 6/15/38 | | | 52,090 | µ | |
| 27,196 | | | Greenwich Capital Commercial Funding Corp. Commercial Mortgage Trust, Ser. 2007-GG9,
Class A4, 5.44%, due 3/10/39 | | | 28,591 | | |
| | 100,000 | | | GS Mortgage Securities Trust, Ser. 2006-GG6, Class A4, 5.55%, due 4/10/38 | | | 100,567 | | |
| | 87,407 | | | GS Mortgage Securities Trust, Ser. 2014-GC18, Class A1, 1.30%, due 1/10/47 | | | 87,480 | | |
| 27,910 | | | JP Morgan Chase Commercial Mortgage Securities Corp., Ser. 2006-CB14, Class A4, 5.48%,
due 12/12/44 | | | 28,172 | | |
| | 78,751 | | | Morgan Stanley Bank of America Merrill Lynch Trust, Ser. 2013-C10, Class A1, 1.39%, due 7/15/46 | | | 79,057 | | |
| | 86,894 | | | Wachovia Bank Commercial Mortgage Trust, Ser. 2006-C23, Class A4, 5.42%, due 1/15/45 | | | 87,359 | | |
| | 86,352 | | | WF-RBS Commercial Mortgage Trust, Ser. 2014-C21, Class A1, 1.41%, due 8/15/47 | | | 86,242 | | |
| | | | | | | | 837,590 | | |
Mortgage-Backed Non-Agency (0.6%) | | | |
| | 43,916 | | | Countrywide Home Loans, Ser. 2005-R2, Class 2A4, 8.50%, due 6/25/35 | | | 49,515 | ñ | |
| | 26,781 | | | GSMPS Mortgage Loan Trust, Ser. 2005-RP3, Class 1A4, 8.50%, due 9/25/35 | | | 30,202 | ñ | |
| | | | | | | | 79,717 | | |
Fannie Mae (1.6%) | | | |
| | 50,872 | | | Pass-Through Certificates, 3.50%, due 10/1/25 | | | 53,611 | | |
| | 92,503 | | | Pass-Through Certificates, 3.00%, due 9/1/27 | | | 95,917 | | |
| | 72,356 | | | Pass-Through Certificates, 4.50%, due 4/1/39-5/1/44 | | | 78,212 | | |
| | | | | | | | 227,740 | | |
Freddie Mac (1.2%) | | | |
| | 54,480 | | | Pass-Through Certificates, 3.50%, due 5/1/26 | | | 57,481 | | |
| | 65,513 | | | Pass-Through Certificates, 3.00%, due 1/1/27 | | | 67,791 | | |
| | 41,321 | | | Pass-Through Certificates, 4.50%, due 11/1/39 | | | 44,689 | | |
| | | | | | | | 169,961 | | |
| | | | | Total Mortgage-Backed Securities (Cost $1,346,694) | | | 1,321,155 | | |
See Notes to Schedule of Investments
9
Schedule of Investments Balanced Portfolio (Unaudited) (cont'd)
PRINCIPAL AMOUNT | | | | VALUE† | |
Corporate Debt Securities (8.6%) | | | |
Agriculture (0.1%) | | | |
$ | 15,000 | | | BAT Int'l Finance PLC, Guaranteed Notes, 1.85%, due 6/15/18 | | $ | 15,028 | ñ | |
| | 5,000 | | | Reynolds American, Inc., Guaranteed Notes, 2.30%, due 6/12/18 | | | 5,037 | | |
| | | | | | | | 20,065 | | |
Auto Manufacturers (0.5%) | | | |
| | 15,000 | | | American Honda Finance Corp., Senior Unsecured Notes, 1.13%, due 10/7/16 | | | 15,042 | | |
| | 35,000 | | | Harley-Davidson Financial Services, Inc., Guaranteed Notes, 1.15%, due 9/15/15 | | | 35,015 | ñ | |
| | 25,000 | | | Hyundai Capital America, Senior Unsecured Notes, 1.45%, due 2/6/17 | | | 24,917 | ñ | |
| | | | | | | | 74,974 | | |
Banks (3.0%) | | | |
| | 30,000 | | | Bank of America Corp., Senior Unsecured Medium-Term Notes, 3.63%, due 3/17/16 | | | 30,553 | | |
| | 75,000 | | | Citigroup, Inc., Senior Unsecured Notes, 1.35%, due 3/10/17 | | | 74,922 | | |
| | 35,000 | | | Goldman Sachs Group, Inc., Senior Unsecured Medium-Term Notes, 1.60%, due 11/23/15 | | | 35,121 | | |
| | 145,000 | | | JPMorgan Chase & Co., Senior Unsecured Medium-Term Notes, 1.35%, due 2/15/17 | | | 145,109 | | |
| | 15,000 | | | Morgan Stanley, Senior Unsecured Notes, 1.75%, due 2/25/16 | | | 15,060 | | |
| | 125,000 | | | Wells Fargo & Co., Senior Unsecured Notes, 1.50%, due 7/1/15 | | | 125,000 | | |
| | | | | | | | 425,765 | | |
Beverages (0.0%) | | | |
| | 5,000 | | | Heineken NV, Senior Unsecured Notes, 0.80%, due 10/1/15 | | | 5,001 | ñ | |
Commercial Services (0.1%) | | | |
| | 10,000 | | | ERAC USA Finance LLC, Guaranteed Notes, 1.40%, due 4/15/16 | | | 10,017 | ñ | |
Computers (0.4%) | | | |
| | 20,000 | | | Apple, Inc., Senior Unsecured Notes, 0.90%, due 5/12/17 | | | 20,003 | | |
| | 35,000 | | | Hewlett-Packard Co., Senior Unsecured Notes, 2.20%, due 12/1/15 | | | 35,188 | | |
| | | | | | | | 55,191 | | |
Diversified Financial Services (0.1%) | | | |
| | 10,000 | | | Synchrony Financial, Senior Unsecured Notes, 1.88%, due 8/15/17 | | | 9,994 | | |
Electric (0.2%) | | | |
| | 20,000 | | | Electricite de France SA, Senior Unsecured Notes, 1.15%, due 1/20/17 | | | 20,029 | ñ | |
| | 15,000 | | | Exelon Corp., Senior Unsecured Notes, 1.55%, due 6/9/17 | | | 15,018 | | |
| | | | | | | | 35,047 | | |
Electronics (0.2%) | | | |
| | 25,000 | | | Thermo Fisher Scientific, Inc., Senior Unsecured Notes, 1.30%, due 2/1/17 | | | 24,955 | | |
Food (0.4%) | | | |
| | 15,000 | | | HJ Heinz Co., Guaranteed Notes, 2.00%, due 7/2/18 | | | 14,987 | ñØ | |
| | 15,000 | | | JM Smucker Co., Guaranteed Notes, 1.75%, due 3/15/18 | | | 14,983 | ñ | |
| | 20,000 | | | WM Wrigley Jr. Co., Senior Unsecured Notes, 1.40%, due 10/21/16 | | | 20,049 | ñ | |
| | | | | | | | 50,019 | | |
See Notes to Schedule of Investments
10
Schedule of Investments Balanced Portfolio (Unaudited) (cont'd)
PRINCIPAL AMOUNT | | | | VALUE† | |
Healthcare—Products (0.4%) | | | |
$ | 10,000 | | | Becton Dickinson & Co., Senior Unsecured Notes, 1.45%, due 5/15/17 | | $ | 9,991 | | |
| | 5,000 | | | Becton Dickinson & Co., Senior Unsecured Notes, 1.80%, due 12/15/17 | | | 5,000 | | |
| | 20,000 | | | Medtronic, Inc., Guaranteed Notes, 1.50%, due 3/15/18 | | | 19,950 | ñ | |
| | 15,000 | | | Zimmer Biomet Holdings, Inc., Senior Unsecured Notes, 2.00%, due 4/1/18 | | | 14,998 | | |
| | | | | | | | 49,939 | | |
Holding Companies—Diversified (0.1%) | | | |
| | 15,000 | | | MUFG Americas Holdings Corp., Senior Unsecured Notes, 1.63%, due 2/9/18 | | | 14,936 | | |
Media (0.8%) | | | |
| | 45,000 | | | Comcast Corp., Guaranteed Notes, 4.95%, due 6/15/16 | | | 46,769 | | |
| | 40,000 | | | DIRECTV Holdings LLC/DIRECTV Financing Co., Inc., Guaranteed Notes, 3.50%, due 3/1/16 | | | 40,621 | | |
| | 10,000 | | | Thomson Reuters Corp., Senior Unsecured Notes, 1.30%, due 2/23/17 | | | 9,975 | | |
| | 10,000 | | | Thomson Reuters Corp., Senior Unsecured Notes, 1.65%, due 9/29/17 | | | 9,995 | | |
| | | | | | | | 107,360 | | |
Mining (0.1%) | | | |
| | 10,000 | | | Freeport-McMoRan, Inc., Guaranteed Notes, 2.30%, due 11/14/17 | | | 9,977 | | |
Oil & Gas (0.1%) | | | |
| | 15,000 | | | Marathon Oil Corp., Senior Unsecured Notes, 0.90%, due 11/1/15 | | | 14,996 | | |
Pharmaceuticals (0.6%) | | | |
| | 10,000 | | | AbbVie, Inc., Senior Unsecured Notes, 1.80%, due 5/14/18 | | | 9,963 | | |
| | 30,000 | | | Actavis Funding SCS, Guaranteed Notes, 2.35%, due 3/12/18 | | | 30,159 | | |
| | 35,000 | | | Bayer Corp., Guaranteed Notes, 7.13%, due 10/1/15 | | | 35,559 | ñ | |
| | 10,000 | | | McKesson Corp., Senior Unsecured Notes, 1.29%, due 3/10/17 | | | 9,984 | | |
| | | | | | | | 85,665 | | |
Pipelines (0.5%) | | | |
| | 15,000 | | | Energy Transfer Partners L.P., Senior Unsecured Notes, 2.50%, due 6/15/18 | | | 15,013 | | |
| | 10,000 | | | Enterprise Products Operating LLC, Guaranteed Notes, 1.65%, due 5/7/18 | | | 9,985 | | |
| | 20,000 | | | Enterprise Products Operating LLC, Guaranteed Notes, 1.25%, due 8/13/15 | | | 20,009 | | |
| | 15,000 | | | Kinder Morgan, Inc., Guaranteed Notes, 2.00%, due 12/1/17 | | | 14,929 | | |
| | 5,000 | | | TransCanada PipeLines Ltd., Senior Unsecured Notes, 1.88%, due 1/12/18 | | | 5,031 | | |
| | | | | | | | 64,967 | | |
Real Estate Investment Trusts (0.1%) | | | |
| | 15,000 | | | Ventas Realty L.P., Guaranteed Notes, 1.55%, due 9/26/16 | | | 15,054 | | |
Semiconductors (0.2%) | | | |
| | 35,000 | | | QUALCOMM, Inc., Senior Unsecured Notes, 1.40%, due 5/18/18 | | | 34,873 | | |
Telecommunications (0.7%) | | | |
| | 40,000 | | | AT&T, Inc., Senior Unsecured Notes, 1.40%, due 12/1/17 | | | 39,730 | | |
| | 35,000 | | | Cisco Systems, Inc., Senior Unsecured Notes, 1.65%, due 6/15/18 | | | 35,106 | | |
| | 31,000 | | | Verizon Communications, Inc., Senior Unsecured Notes, 2.50%, due 9/15/16 | | | 31,500 | | |
| | | | | | | | 106,336 | | |
| | | | | Total Corporate Debt Securities (Cost $1,208,113) | | | 1,215,131 | | |
See Notes to Schedule of Investments
11
Schedule of Investments Balanced Portfolio (Unaudited) (cont'd)
PRINCIPAL AMOUNT | | | | VALUE† | |
Asset-Backed Securities (6.2%) | | | |
$ | 115,000 | | | Ally Auto Receivables Trust, Ser. 2014-2, Class A3, 1.25%, due 4/15/19 | | $ | 115,068 | | |
| | 175,000 | | | American Express Credit Account Master Trust, Ser. 2012-4, Class A, 0.43%, due 5/15/20 | | | 174,720 | µ | |
| | 50,000 | | | Bank of America Credit Card Trust, Ser. 2014-A2, Class A, 0.46%, due 9/16/19 | | | 49,945 | µ | |
| | 106,000 | | | Capital One Multi-Asset Execution Trust, Ser. 2007-A2, Class A2, 0.27%, due 12/16/19 | | | 105,636 | µ | |
| | 65,000 | | | Carmax Auto Owner Trust, Ser. 2014-1, Class A3, 0.79%, due 10/15/18 | | | 64,907 | | |
| | 100,000 | | | Chase Issuance Trust, Ser. 2012-A2, Class A2, 0.46%, due 5/15/19 | | | 99,905 | µ | |
| | 125,000 | | | Ford Credit Auto Owner Trust, Ser. 2014-A, Class A3, 0.79%, due 5/15/18 | | | 124,971 | | |
| | 50,000 | | | Hyundai Auto Receivables Trust, Ser. 2014-A, Class A3, 0.79%, due 7/16/18 | | | 50,009 | | |
| | 33,934 | | | SLM Student Loan Trust, Ser. 2006-5, Class A4, 0.36%, due 4/25/23 | | | 33,848 | µ | |
| | 50,000 | | | Toyota Auto Receivables Owner Trust, Ser. 2015-A, Class A3, 1.12%, due 2/15/19 | | | 50,088 | | |
| | | | | Total Asset-Backed Securities (Cost $869,650) | | | 869,097 | | |
NUMBER OF SHARES | | | | | |
Short-Term Investments (1.0%) | | | |
| | 140,337 | | | State Street Institutional Liquid Reserves Fund Premier Class (Cost $140,337) | | | 140,337 | | |
| | | | | Total Investments (100.4%) (Cost $10,924,813) | | | 14,166,753 | ## | |
| | | | | Liabilities, less cash, receivables and other assets [(0.4%)] | | | (51,123 | ) | |
| | | | | Total Net Assets (100.0%) | | $ | 14,115,630 | | |
See Notes to Schedule of Investments
12
Notes to Schedule of Investments Balanced Portfolio (Unaudited)
† In accordance with Accounting Standards Codification ("ASC") 820 "Fair Value Measurement" ("ASC 820"), all investments held by Neuberger Berman Advisers Management Trust Balanced Portfolio (the "Fund") are carried at the value that Neuberger Berman Management LLC ("Management") believes the Fund would receive upon selling an investment in an orderly transaction to an independent buyer in the principal or most advantageous market for the investment under current market conditions. Various inputs, including the volume and level of activity for the asset or liability in the market, are considered in valuing the Fund's investments, some of which are discussed below. Significant management judgment may be necessary to value investments in accordance with ASC 820.
ASC 820 established a three-tier hierarchy of inputs to create a classification of value measurements for disclosure purposes. The three-tier hierarchy of inputs is summarized in the three broad Levels listed below.
• Level 1 – quoted prices in active markets for identical investments
• Level 2 – other observable inputs (including quoted prices for similar investments, interest rates, prepayment speeds, credit risk, amortized cost, etc.)
• Level 3 – unobservable inputs (including the Fund's own assumptions in determining the fair value of investments)
The inputs or methodology used for valuing an investment are not necessarily an indication of the risk associated with investing in those securities.
The value of the Fund's investments in equity securities and exchange traded funds, for which market quotations are readily available, is generally determined by Management by obtaining valuations from an independent pricing service based on the latest sale price quoted on a principal exchange or market for that security (Level 1 inputs). Securities traded primarily on the NASDAQ Stock Market are normally valued at the NASDAQ Official Closing Price ("NOCP") provided by NASDAQ each business day. The NOCP is the most recently reported price as of 4:00:02 p.m., Eastern time, unless that price is outside the range of the "inside" bid and asked prices (i.e., the bid and asked prices that dealers quote to each other when trading for their own accounts); in that case, NASDAQ will adjust the price to equal the inside bid or asked price, whichever is closer. Because of delays in reporting trades, the NOCP may not be based on the price of the last trade to occur before the market closes. If there is no reported sale of a security on a particular day, the independent pricing service may value the security based on reported market quotations.
The value of the Fund's investments in debt securities is determined by Management primarily by obtaining valuations from independent pricing services based on readily available bid quotations, or if quotations are not available, by methods which include various considerations based on security type (generally Level 2 inputs). In addition to the consideration of yields or prices of securities of comparable quality, coupon, maturity and type, indications as to values from dealers, and general market conditions, the following is a description of other Level 2 inputs and related valuation techniques used by independent pricing services to value certain types of debt securities held by the Fund:
Corporate Debt Securities. Inputs used to value corporate debt securities generally include relative credit information, observed market movements, sector news, spread to the U.S. Treasury market, and other market information, which may include benchmark yields, reported trades, broker-dealer quotes, issuer spreads, benchmark securities, bids, offers, and reference data, such as market research publications, when available ("Other Market Information").
U.S. Treasury Securities. Inputs used to value U.S. Treasury securities generally include quotes from several inter-dealer brokers and Other Market Information.
See Notes to Financial Statements
13
Notes to Schedule of Investments Balanced Portfolio (Unaudited) (cont'd)
Asset-Backed Securities and Mortgage-Backed Securities. Inputs used to value asset-backed securities and mortgage-backed securities generally include models that consider a number of factors, which may include the following: prepayment speeds, cash flows, spread adjustments and Other Market Information.
Management has developed a process to periodically review information provided by independent pricing services for all types of securities.
Investments in investment companies, with the exception of closed-end funds, if any, are valued using the respective fund's daily calculated net asset value per share (Level 2 inputs).
If a valuation is not available from an independent pricing service, or if Management has reason to believe that the valuation received does not represent the amount the Fund might reasonably expect to receive on a current sale in an orderly transaction, Management seeks to obtain quotations from brokers or dealers (generally considered Level 2 or Level 3 inputs depending on the number of quotes available). If such quotations are not readily available, the security is valued using methods the Neuberger Berman Advisers Management Trust's Board of Trustees (the "Board") has approved in the good-faith belief that the resulting valuation will reflect the fair value of the security. Numerous factors may be considered when determining the fair value of a security based on Level 2 or Level 3 inputs, including available analyst, media or other reports, trading in financial futures or American Depositary Receipts ("ADRs") and whether the issuer of the security being fair valued has other securities outstanding.
The value of the Fund's investments in foreign securities is generally determined using the same valuation methods and inputs as other Fund investments, as discussed above. Foreign security prices expressed in local currency values are translated from the local currency into U.S. dollars using the exchange rates as of the end of regular trading on the New York Stock Exchange ("NYSE") on business days, usually 4:00 p.m., Eastern time. The Board has approved the use of Interactive Data Pricing and Reference Data, Inc. ("Interactive") to assist in determining the fair value of foreign equity securities when changes in the value of a certain index suggest that the closing prices on the foreign exchanges may no longer represent the amount that the Fund could expect to receive for those securities or on days when foreign markets are closed and U.S. markets are open. In each of these events, Interactive will provide adjusted prices for certain foreign equity securities using a statistical analysis of historical correlations of multiple factors (Level 2 inputs). In the absence of precise information about the market values of these foreign securities as of the close of the NYSE, the Board has determined on the basis of available data that prices adjusted in this way are likely to be closer to the prices the Fund could realize on a current sale than are the prices of those securities established at the close of the foreign markets in which the securities primarily trade.
Fair value prices are necessarily estimates, and there is no assurance that such a price will be at or close to the price at which the security is next quoted or next trades.
See Notes to Financial Statements
14
Notes to Schedule of Investments Balanced Portfolio (Unaudited) (cont'd)
The following is a summary, categorized by Level, of inputs used to value the Fund's investments as of June 30, 2015:
Asset Valuation Inputs | | Level 1 | | Level 2 | | Level 3 | | Total | |
Investments: | |
Common Stocks^ | | $ | 10,040,188 | | | $ | — | | | $ | — | | | $ | 10,040,188 | | |
U.S. Treasury Securities-Backed by the Full Faith and
Credit of the U.S. Government | | | — | | | | 580,845 | | | | — | | | | 580,845 | | |
Mortgage-Backed Securities^ | | | — | | | | 1,321,155 | | | | — | | | | 1,321,155 | | |
Corporate Debt Securities^ | | | — | | | | 1,215,131 | | | | — | | | | 1,215,131 | | |
Asset-Backed Securities | | | — | | | | 869,097 | | | | — | | | | 869,097 | | |
Short-Term Investments | | | — | | | | 140,337 | | | | — | | | | 140,337 | | |
Total Investments | | $ | 10,040,188 | | | $ | 4,126,565 | | | $ | — | | | $ | 14,166,753 | | |
^ The Schedule of Investments provides information on the industry categorization for the portfolio.
As of the six months ended June 30, 2015, no securities were transferred from one level (as of December 31, 2014) to another.
## At June 30, 2015, the cost of investments for U.S. federal income tax purposes was $10,936,957. Gross unrealized appreciation of investments was $3,356,397 and gross unrealized depreciation of investments was $126,601, resulting in net unrealized appreciation of $3,229,796, based on cost for U.S. federal income tax purposes.
* Security did not produce income during the last twelve months.
Ø All or a portion of this security was purchased on a when-issued basis. At June 30, 2015 these securities amounted to $14,987.
ØØ All or a portion of this security is segregated in connection with obligations for when-issued security purchase commitments.
µ Floating rate securities are securities whose yields vary with a designated index or market rate. These securities are shown at their current rates as of June 30, 2015, and their final maturities.
ñ Securities were purchased under Rule 144A of the Securities Act of 1933, as amended (the "1933 Act") or are private placements and, unless registered under the 1933 Act or exempted from registration, may only be sold to qualified institutional investors. These securities have been deemed by the investment manager to be liquid. At June 30, 2015, these securities amounted to $295,252 or 2.1% of net assets for the Fund.
See Notes to Financial Statements
15
Statement of Assets and Liabilities (Unaudited)
Neuberger Berman Advisers Management Trust
| | | BALANCED
PORTFOLIO | |
| | | June 30, 2015 | |
Assets | |
Investments in securities, at value* (Note A)—see Schedule of Investments: | |
Unaffiliated issuers | | $ | 14,166,753 | | |
Foreign currency* | | | 8,356 | | |
Dividends and interest receivable | | | 13,492 | | |
Receivable for securities sold | | | 32,631 | | |
Receivable for Fund shares sold | | | 13 | | |
Prepaid expenses and other assets | | | 7,895 | | |
Total Assets | | | 14,229,140 | | |
Liabilities | |
Payable for securities purchased | | | 46,756 | | |
Payable for Fund shares redeemed | | | 8,739 | | |
Payable to investment manager (Note B) | | | 6,476 | | |
Payable to administrator—net (Note B) | | | 2,326 | | |
Payable to trustees | | | 7,156 | | |
Accrued expenses and other payables | | | 42,057 | | |
Total Liabilities | | | 113,510 | | |
Net Assets | | $ | 14,115,630 | | |
Net Assets consist of: | |
Paid-in capital | | $ | 8,597,453 | | |
Undistributed net investment income (loss) | | | (81,642 | ) | |
Accumulated net realized gains (losses) on investments | | | 2,359,218 | | |
Net unrealized appreciation (depreciation) in value of investments | | | 3,240,601 | | |
Net Assets | | $ | 14,115,630 | | |
Shares Outstanding ($.001 par value; unlimited shares authorized) | | | 1,022,741 | | |
Net Asset Value, offering and redemption price per share | | $ | 13.80 | | |
*Cost of Investments: | | | | | |
Unaffiliated issuers | | $ | 10,924,813 | | |
Total cost of foreign currency | | $ | 9,695 | | |
See Notes to Financial Statements
16
Statement of Operations (Unaudited)
Neuberger Berman Advisers Management Trust
| | | BALANCED
PORTFOLIO | |
| | | For the
Six Months Ended
June 30, 2015 | |
Investment Income: | |
Income (Note A): | |
Dividend income—unaffiliated issuers | | $ | 21,199 | | |
Interest income—unaffiliated issuers | | | 27,523 | | |
Foreign taxes withheld (Note A) | | | (101 | ) | |
Total income | | $ | 48,621 | | |
Expenses: | |
Investment management fees (Note B) | | | 38,720 | | |
Administration fees (Note B) | | | 21,120 | | |
Audit fees | | | 27,465 | | |
Custodian and accounting fees | | | 17,807 | | |
Insurance expense | | | 214 | | |
Legal fees | | | 3,600 | | |
Registration and filing fees | | | 6,688 | | |
Shareholder reports | | | 5,362 | | |
Trustees' fees and expenses | | | 16,032 | | |
Miscellaneous | | | 715 | | |
Total expenses | | | 137,723 | | |
Expenses reimbursed by Management (Note B) | | | (7,460 | ) | |
Total net expenses | | | 130,263 | | |
Net investment income (loss) | | $ | (81,642 | ) | |
Realized and Unrealized Gain (Loss) on Investments (Note A): | |
Net realized gain (loss) on: | |
Sales of investment securities of unaffiliated issuers | | | 717,081 | | |
Change in net unrealized appreciation (depreciation) in value of: | |
Unaffiliated investment securities | | | 298,612 | | |
Foreign currency | | | (627 | ) | |
Net gain (loss) on investments | | | 1,015,066 | | |
Net increase (decrease) in net assets resulting from operations | | $ | 933,424 | | |
See Notes to Financial Statements
17
Statements of Changes in Net Assets
Neuberger Berman Advisers Management Trust
| | | BALANCED PORTFOLIO | |
| | | Six Months Ended
June 30,
2015
(Unaudited) | | Year Ended
December 31,
2014 | |
Increase (Decrease) in Net Assets: | |
From Operations: | |
Net investment income (loss) (Note A) | | $ | (81,642 | ) | | $ | (146,454 | ) | |
Net realized gain (loss) on investments (Note A) | | | 717,081 | | | | 1,688,828 | | |
Net increase from payments by affiliates (Note B) | | | — | | | | 725 | | |
Change in net unrealized appreciation (depreciation) of investments (Note A) | | | 297,985 | | | | (968,117 | ) | |
Net increase (decrease) in net assets resulting from operations | | | 933,424 | | | | 574,982 | | |
Distributions to Shareholders From (Note A): | |
Net realized gain on investments | | | — | | | | (1,162,711 | ) | |
From Fund Share Transactions (Note D): | |
Proceeds from shares sold | | | 57,799 | | | | 209,075 | | |
Proceeds from reinvestment of dividends and distributions | | | — | | | | 1,162,711 | | |
Payments for shares redeemed | | | (948,092 | ) | | | (1,755,524 | ) | |
Net increase (decrease) from Fund share transactions | | | (890,293 | ) | | | (383,738 | ) | |
Net Increase (Decrease) in Net Assets | | | 43,131 | | | | (971,467 | ) | |
Net Assets: | |
Beginning of period | | | 14,072,499 | | | | 15,043,966 | | |
End of period | | $ | 14,115,630 | | | $ | 14,072,499 | | |
Undistributed net investment income (loss) at end of period | | $ | (81,642 | ) | | $ | — | | |
See Notes to Financial Statements
18
Notes to Financial Statements Balanced Portfolio (Unaudited)
Note A—Summary of Significant Accounting Policies:
1 General: Neuberger Berman Advisers Management Trust (the "Trust") is a Delaware statutory trust organized pursuant to an Amended and Restated Trust Instrument dated March 27, 2014. The Trust is currently comprised of eleven separate operating series (each individually a "Fund," and collectively the "Funds") each of which is diversified. The Trust is registered as an open-end management investment company under the Investment Company Act of 1940, as amended (the "1940 Act"), and its shares are registered under the 1933 Act. The Fund currently offers only Class I shares. The Board may establish additional series or classes of shares without the approval of shareholders.
The assets of each Fund belong only to that Fund, and the liabilities of each Fund are borne solely by that Fund and no other.
The Fund is an investment company and accordingly follows the investment company accounting and reporting guidance of the Financial Accounting Standards Board (FASB) Accounting Standard Codification Topic 946 "Financial Services—Investment Companies."
The preparation of financial statements in accordance with U.S. generally accepted accounting principles ("GAAP") requires Management to make estimates and assumptions at the date of the financial statements. Actual results could differ from those estimates.
Shares of the Fund are not available to the general public and may be purchased only by life insurance companies to be held in their separate accounts, which fund variable annuity and variable life insurance policies, and by qualified pension and retirement plans.
2 Portfolio valuation: Investment securities are valued as indicated in the notes following the Schedule of Investments.
3 Foreign currency translation: The accounting records of the Fund are maintained in U.S. dollars. Foreign currency amounts are translated into U.S. dollars using the exchange rate as of the end of regular trading on the NYSE on business days, usually 4:00 p.m. Eastern time, to determine the value of investments, other assets and liabilities. Purchase and sale prices of securities, and income and expenses, are translated into U.S. dollars at the prevailing rate of exchange on the respective dates of such transactions. Net unrealized foreign currency gain (loss), if any, arises from changes in the value of assets and liabilities, other than investments in securities, as a result of changes in exchange rates and is stated separately in the Statement of Operations.
4 Securities transactions and investment income: Securities transactions are recorded on trade date for financial reporting purposes. Dividend income is recorded on the ex-dividend date or, for certain foreign dividends, as soon as the Fund becomes aware of the dividends. Non-cash dividends included in dividend income, if any, are recorded at the fair market value of the securities received. Interest income, including accretion of discount (adjusted for original issue discount, where applicable), and accretion of market discount on long-term bonds and short-term investments, if any, is recorded on the accrual basis. Realized gains and losses from securities transactions and foreign currency transactions, if any, are recorded on the basis of identified cost and stated separately in the Statement of Operations. Included in net realized gain (loss) on investments are proceeds from the settlements of class action litigation in which the Fund participated as a class member. The amount of such proceeds for the six months ended June 30, 2015 was $2,739.
5 Income tax information: Each Fund is treated as a separate entity for U.S. federal income tax purposes. It is the policy of the Fund to continue to qualify for treatment as a regulated investment company ("RIC") by complying with the requirements of the U.S. Internal Revenue Code applicable to RICs and to distribute substantially all of its
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net investment income and net realized capital gains to its shareholders. To the extent the Fund distributes substantially all of its net investment income and net realized capital gains to shareholders, no federal income or excise tax provision is required.
The Fund has adopted the provisions of ASC 740 "Income Taxes" ("ASC 740"). ASC 740 sets forth a minimum threshold for financial statement recognition of a tax position taken, or expected to be taken, in a tax return. The Fund recognizes interest and penalties, if any, related to unrecognized tax positions as an income tax expense in the Statement of Operations. The Fund is subject to examination by U.S. federal and state tax authorities for returns filed for the tax years for which the applicable statutes of limitations have not yet expired. As of June 30, 2015, the Fund did not have any unrecognized tax positions.
Income distributions and capital gain distributions are determined in accordance with income tax regulations, which may differ from GAAP. These differences are primarily due to differing treatments of income and gains on various investment securities held by the Fund, timing differences and differing characterization of distributions made by the Fund. The Fund may also utilize earnings and profits distributed to shareholders on redemption of shares as a part of the dividends-paid deduction for income tax purposes.
As determined on December 31, 2014, permanent differences resulting primarily from different book and tax accounting were reclassified at year end. Such differences are attributed to the tax treatment of: net operating losses, paydown losses on mortgage-backed and asset-backed securities, non-real estate investment trusts return of capital adjustments and amortization of bond premium. These reclassifications had no effect on net income, net asset value ("NAV") or NAV per share of the Fund. For the year ended December 31, 2014, the Fund recorded the following permanent reclassifications:
| Paid-in Capital | | Undistributed
Net Investment
Income (Loss) | | Accumulated
Net Realized
Gains (Losses)
on Investments | |
| $ | (125,907 | ) | | $ | 146,454 | | | $ | (20,547 | ) | |
The tax character of distributions paid during the years ended December 31, 2014 and December 31, 2013 was as follows:
Distributions Paid From: | |
Ordinary Income | | Long-Term Capital Gain | | Total | |
| 2014 | | 2013 | | 2014 | | 2013 | | 2014 | | 2013 | |
| $ | — | | | $ | — | | | $ | 1,162,711 | | | $ | — | | | $ | 1,162,711 | | | $ | — | | |
As of December 31, 2014 the components of distributable earnings (accumulated losses) on a U.S. federal income tax basis were as follows:
Undistributed
Ordinary
Income | | Undistributed
Long-Term
Capital Gain | | Unrealized
Appreciation
(Depreciation) | | Other
Temporary
Differences | | Total | |
| $ | — | | | $ | 1,658,792 | | | $ | 2,925,961 | | | $ | — | | | $ | 4,584,753 | | |
The differences between book basis and tax basis distributable earnings are primarily due to: losses disallowed and recognized on wash sales and amortization of bond premium.
6 Distributions to shareholders: The Fund may earn income, net of expenses, daily on its investments. Distributions from net investment income and net realized capital gains, if any, generally are distributed once a year (usually in October). Income distributions and capital gain distributions to shareholders are recorded on the ex-date.
7 Foreign taxes: Foreign taxes withheld, if any, represent amounts withheld by foreign tax authorities, net of refunds recoverable.
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8 Expense allocation: Certain expenses are applicable to multiple funds within the complex of related investment companies. Expenses directly attributable to a Fund are charged to that Fund. Expenses of the Trust that are not directly attributable to a particular series of the Trust (e.g., the Fund) are allocated among the series of the Trust, on the basis of relative net assets, except where a more appropriate allocation of expenses to each of the series can otherwise be made fairly. Expenses borne by the complex of related investment companies, which includes open-end and closed-end investment companies for which Management serves as investment manager, that are not directly attributable to a particular investment company in the complex (e.g., the Trust) or series thereof are allocated among the investment companies in the complex or series thereof on the basis of relative net assets, except where a more appropriate allocation of expenses to each of the investment companies in the complex or series thereof can otherwise be made fairly.
9 Dollar rolls: The Fund may enter into dollar roll transactions with respect to mortgage-backed securities. In a dollar roll transaction, the Fund sells securities for delivery in the current month and simultaneously agrees to repurchase substantially similar (i.e., same type and coupon) securities on a specified future date from the same party. During the period before this repurchase, the Fund foregoes principal and interest payments on the securities. The Fund is compensated by the difference between the current sales price and the forward price for the future purchase (often referred to as the "drop"), as well as by the interest earned on the cash proceeds of the initial sale. Dollar rolls may increase fluctuations in the Fund's NAV and may be viewed as a form of leverage. There is a risk that the counterparty will be unable or unwilling to complete the transaction as scheduled, which may result in losses to the Fund.
10 Investments in foreign securities: Investing in foreign securities may involve certain sovereign and other risks, in addition to the credit and market risks normally associated with domestic securities. These additional risks include the possibility of adverse political and economic developments (including political instability, nationalization, expropriation, or confiscatory taxation) and the potentially adverse effects of unavailability of public information regarding issuers, less governmental supervision and regulation of financial markets, reduced liquidity of certain financial markets, and the lack of uniform accounting, auditing, and financial reporting standards or the application of standards that are different or less stringent than those applied in the United States. Foreign securities also may experience greater price volatility, higher rates of inflation, and delays in settlement.
11 Indemnifications: Like many other companies, the Trust's organizational documents provide that its officers ("Officers") and trustees ("Trustees") are indemnified against certain liabilities arising out of the performance of their duties to the Trust. In addition, both in some of its principal service contracts and in the normal course of its business, the Trust enters into contracts that provide indemnifications to other parties for certain types of losses or liabilities. The Trust's maximum exposure under these arrangements is unknown as this could involve future claims against the Trust.
Note B—Investment Management Fees, Administration Fees, Distribution Arrangements, and Other Transactions with Affiliates:
The Fund retains Management as its investment manager under an Investment Management Agreement. For such investment management services, the Fund pays Management a fee at the annual rate of 0.55% of the first $250 million of the Fund's average daily net assets, 0.525% of the next $250 million, 0.50% of the next $250 million, 0.475% of the next $250 million, 0.45% of the next $500 million, 0.425% of the next $2.5 billion, and 0.40% of average daily net assets in excess of $4 billion. Accordingly, for the six months ended June 30, 2015, the investment management fee pursuant to the Investment Management Agreement was equivalent to an annual effective rate of 0.55% of the Fund's average daily net assets.
The Fund retains Management as its administrator under an Administration Agreement. The Fund pays Management an administration fee at the annual rate of 0.30% of its average daily net assets under this agreement. Additionally, Management retains State Street Bank and Trust Company ("State Street") as its sub-administrator
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under a Sub-Administration Agreement. Management pays State Street a fee for all services received under this agreement.
The Board adopted a non-fee distribution plan for the Fund.
Management has contractually undertaken to waive fees and/or reimburse the Fund for its total annual operating expenses (excluding fees payable to Management, interest, taxes, brokerage commissions, dividend and interest expenses relating to short sales, acquired fund fees and expenses, extraordinary expenses and transaction costs, if any; consequently, net expenses may exceed the contractual expense limitation) ("Operating Expenses") which exceed the expense limitation as detailed in the following table. The Fund has agreed to repay Management for fees and expenses waived and/or its excess Operating Expenses previously reimbursed by Management, so long as its annual Operating Expenses during that period do not exceed its contractual expense limitation in place at the time the fees and expenses were waived or reimbursed, or the expense limitation in place at the time the Fund repays Management, whichever is lower. Any such repayment must be made within three years after the year in which Management incurred the expense.
During the six months ended June 30, 2015, there was no repayment to Management under its contractual expense limitation.
At June 30, 2015, the Fund's contingent liabilities to Management under its contractual expense limitation were as follows:
| | | | | | | Expenses Reimbursed in
Fiscal Year Ending December 31, | |
| | | | | | | 2012 | | 2013 | | 2014 | | 2015 | |
| | | | | | | Subject to Repayment Until December 31, | |
| | | Contractual
Expense
Limitation(1) | | Expiration | | 2015 | | 2016 | | 2017 | | 2018 | |
Class I | | | 1.00 | % | | 12/31/18 | | $ | 25,078 | | | $ | 28,041 | | | $ | 28,160 | | | $ | 7,460 | | |
(1) Expense limitation per annum of the Fund's average daily net assets.
Neuberger Berman LLC ("Neuberger") is retained by Management pursuant to a Sub-Advisory Agreement to furnish it with investment recommendations and research information without added cost to the Fund. Several individuals who are Officers and/or Trustees of the Trust are also employees of Neuberger and/or Management.
On June 3, 2014, Management made a voluntary contribution of $725 to the Fund in connection with a payment matter related to the Fund's investment in a State Street money market fund.
Note C—Securities Transactions:
Cost of purchases and proceeds of sales and maturities of long-term securities for the six months ended June 30, 2015 were as follows:
Purchases of
U.S. Government
and Agency
Obligations | | Purchases excluding
U.S. Government
and Agency
Obligations | | Sales and Maturities
of U.S. Government
and Agency
Obligations | | Sales and Maturities
excluding
U.S. Government
and Agency
Obligations | |
| $ | 553,298 | | | $ | 2,383,718 | | | $ | 448,590 | | | $ | 3,469,789 | | |
During the six months ended June 30, 2015, no brokerage commissions on securities transactions were paid to affiliated brokers.
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Note D—Fund Share Transactions:
Share activity for the six months ended June 30, 2015 and for the year ended December 31, 2014 was as follows:
| | | For the Six
Months Ended
June 30,
2015 | | For the Year
Ended
December 31,
2014 | |
Shares Sold | | | 4,297 | | | | 15,622 | | |
Shares Issued on Reinvestment of Dividends and Distributions | | | — | | | | 97,543 | | |
Shares Redeemed | | | (70,528 | ) | | | (131,423 | ) | |
Total | | | (66,231 | ) | | | (18,258 | ) | |
Note E—Lines of Credit:
At June 30, 2015, the Fund was a participant in a syndicated committed, unsecured $700,000,000 line of credit (the "Credit Facility"), to be used only for temporary or emergency purposes. Other investment companies managed by Management also participate in this line of credit on the same terms. Under the terms of the Credit Facility, the Fund has agreed to pay its pro rata share of the annual commitment fee, based on the ratio of its individual net assets to the net assets of all participants at the time the fee is due and payable, and interest charged on any borrowing made by the Fund and other costs incurred by the Fund. Because several mutual funds participate in the Credit Facility, there is no assurance that the Fund will have access to all or any part of the $700,000,000 at any particular time. There were no loans outstanding under the Credit Facility at June 30, 2015. During the period from January 9, 2015 (the commencement date of the Credit Facility) through June 30, 2015, the Fund did not utilize this line of credit. The Credit Facility replaced the State Street lines of credit referred to below.
During the reporting period, prior to the commencement of the Credit Facility on January 9, 2015, the Fund was a participant in a committed, unsecured $300,000,000 line of credit with State Street and an uncommitted, unsecured $100,000,000 line of credit with State Street, both to be used only for temporary or emergency purposes. During the period ended June 30, 2015, the Fund did not utilize either line of credit with State Street.
Note F—Subsequent Event:
On June 24, 2015, the Board approved three separate reorganizations of Balanced Portfolio, Growth Portfolio, and Small Cap Growth Portfolio (each, a "Merging Portfolio") into Mid Cap Growth Portfolio (the "Surviving Portfolio," and together with the Merging Portfolios, the "Portfolios") (each a "Reorganization"). Each Reorganization is independent of the others, and the Reorganization of any Merging Portfolio may proceed even if the Reorganization of one or both of the other Merging Portfolios is postponed or cancelled. All Portfolios are series of the Trust. Each Reorganization will take effect on or about November 6, 2015. No shareholder vote is required for any of the Reorganizations. At the time of each Reorganization, contractholders who are shareholders of a Merging Portfolio (indirectly through a separate account) automatically will become shareholders (again, indirectly through that separate account) of the Surviving Portfolio, receiving shares of the Surviving Portfolio having an aggregate net asset value equal to the contractholder's shares in the Merging Portfolio.
Note G—Unaudited Financial Information:
The financial information included in this interim report is taken from the records of the Fund without audit by an independent registered public accounting firm. Annual reports contain audited financial statements.
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Balanced Portfolio
The following table includes selected data for a share outstanding throughout each period and other performance information derived from the Financial Statements. Per share amounts that round to less than $0.01 or $(0.01) per share are presented as $0.00 or $(0.00), respectively. Ratios that round to less than 0.00% or (0.00)% are presented as 0.00% or (0.00)%, respectively. A "—" indicates that the line item was not applicable in the corresponding period.
Class I | |
| | | Six Months
Ended
June 30, | | Year Ended December 31, | |
| | | 2015 | | 2014 | | 2013 | | 2012 | | 2011 | | 2010 | |
| | | (Unaudited) | | | | | | | | | | | |
Net Asset Value, Beginning of Period | | $ | 12.92 | | | $ | 13.59 | | | $ | 11.47 | | | $ | 10.49 | | | $ | 10.59 | | | $ | 9.00 | | |
Income From Investment Operations:
| Net Investment Income (Loss)‡ | | | (0.08 | ) | | | (0.14 | ) | | | (0.13 | ) | | | (0.10 | ) | | | (0.08 | ) | | | (0.03 | ) | |
Net Gains or Losses on Securities
(both realized and unrealized) | | | 0.96 | | | | 0.61 | | | | 2.25 | | | | 1.08 | | | | 0.01 | | | | 1.72 | | |
Total From Investment Operations | | | 0.88 | | | | 0.47 | | | | 2.12 | | | | 0.98 | | | | (0.07 | ) | | | 1.69 | | |
Less Distributions From:
Net Investment Income | | | — | | | | — | | | | — | | | | — | | | | (0.03 | ) | | | (0.10 | ) | |
Net Capital Gains | | | — | | | | (1.14 | ) | | | — | | | | — | | | | — | | | | — | | |
Total Distributions | | | — | | | | (1.14 | ) | | | — | | | | — | | | | (0.03 | ) | | | (0.10 | ) | |
Voluntary Contribution from Management | | | — | | | | 0.00 | | | | — | | | | — | | | | — | | | | — | | |
Net Asset Value, End of Period | | $ | 13.80 | | | $ | 12.92 | | | $ | 13.59 | | | $ | 11.47 | | | $ | 10.49 | | | $ | 10.59 | | |
| Total Return†† | | | 6.81 | %**@ | | | 4.18 | % | | | 18.48 | % | | | 9.34 | %@ | | | (0.63 | )% | | | 18.83 | % | |
Ratios/Supplemental Data | |
Net Assets, End of Period (in millions) | | $ | 14.1 | | | $ | 14.1 | | | $ | 15.0 | | | $ | 14.5 | | | $ | 15.3 | | | $ | 17.6 | | |
Ratio of Gross Expenses to
Average Net Assets | | | 1.96 | %*# | | | 2.05 | %# | | | 2.04 | %# | | | 2.02 | %# | | | 1.85 | % | | | 1.92 | %# | |
Ratio of Net Expenses to Average Net Assets | | | 1.85 | %* | | | 1.85 | % | | | 1.85 | % | | | 1.85 | %§ | | | 1.85 | %§Ø | | | 1.85 | %§ | |
Ratio of Net Investment Income (Loss)
to Average Net Assets | | | (1.16 | )%* | | | (1.02 | )% | | | (1.06 | )% | | | (0.86 | )% | | | (0.76 | )% | | | (0.37 | )% | |
Portfolio Turnover Rate | | | 21 | %** | | | 60 | % | | | 51 | % | | | 55 | % | | | 52 | % | | | 58 | % | |
See Notes to Financial Highlights
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Notes to Financial Highlights Balanced Portfolio (Unaudited)
†† Total return based on per share NAV reflects the effects of changes in NAV on the performance of the Fund during each fiscal period. Returns assume income dividends and other distributions, if any, were reinvested. Results represent past performance and do not indicate future results. Current returns may be lower or higher than the performance data quoted. Investment returns and principal may fluctuate and shares when redeemed may be worth more or less than original cost. Total return would have been lower if Management had not reimbursed and/or waived certain expenses. Total return would have been higher if Management had not recouped previously reimbursed expenses. The total return information shown does not reflect charges and other expenses that apply to the separate accounts or the related insurance policies or other qualified pension or retirement plans, and the inclusion of these charges and other expenses would reduce the total return for all fiscal periods shown. The voluntary contribution listed in Note B of the Notes to Financial Statements had no impact on the Fund's total return for the year ended December 31, 2014.
@ The class action proceeds listed in Note A-4 of the Notes to Financial Statements had no impact on the Fund's total return for the six months ended June 30, 2015. Had the Fund not received class action proceeds in 2012, total return based on per share NAV for the year ended December 31, 2012 would have been 9.25%.
# Represents the annualized ratios of net expenses to average daily net assets if Management had not reimbursed certain expenses and/or waived a portion of the investment management fee.
‡ Calculated based on the average number of shares outstanding during each fiscal period.
§ Prior to January 1, 2013, the Fund had an expense offset arrangement in connection with its custodian contract. The impact of expense reductions related to expense offset arrangements, if any, was less than 0.01%.
Ø After repayment of expenses previously reimbursed by Management. Had the Fund not made such repayments, the annualized ratio of net expenses to average daily net assets would have been:
| | | Year Ended
December 31, 2011 | |
| | | | | | 1.83 | % | |
* Annualized.
** Not Annualized.
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Proxy Voting Policies and Procedures
A description of the policies and procedures that the Trust uses to determine how to vote proxies relating to portfolio securities is available, without charge, by calling 800-877-9700 (toll-free) and on the Securities and Exchange Commission's website at www.sec.gov. Information regarding how the Trust voted proxies relating to portfolio securities during the most recent 12-month period ended June 30 is also available upon request, without charge, by calling 800-877-9700 (toll-free), on the Securities and Exchange Commission's website at www.sec.gov, and on Management's website at www.nb.com.
Quarterly Portfolio Schedule
The Trust files a complete schedule of portfolio holdings for the Fund with the Securities and Exchange Commission for the first and third quarters of each fiscal year on Form N-Q. The Trust's Forms N-Q are available on the Securities and Exchange Commission's website at www.sec.gov and may be reviewed and copied at the Securities and Exchange Commission's Public Reference Room in Washington, DC. Information on the operation of the Public Reference Room may be obtained by calling 800-SEC-0330. The information on Form N-Q is available upon request, without charge, by calling 800-877-9700 (toll free).
26
Neuberger Berman
Advisers Management Trust
Growth Portfolio
I Class Shares
Semi-Annual Report
June 30, 2015
Growth Portfolio Commentary
The Neuberger Berman Advisers Management Trust Growth Portfolio (the "Fund") Class I generated a 10.21% total return for the six months ended June 30, 2015, outperforming its benchmark, the Russell Midcap® Growth Index, which returned 4.18% for the period.
The first half of 2015 was generally positive for our style of investing. Shrugging off global macro noise, stubbornly lethargic GDP growth and currency headwinds, the market rewarded active management and stocks offering positive differentiation versus their peers, "paying-up" for compelling catalysts, strong execution and the higher qualitative characteristics and fundamentals that we typically prize. The Fund also benefitted from the reemergence of business capital spending as M&A activity remained strong, especially within the Health Care and Information Technology (IT) sectors. Lastly, incremental net positives around inflation, employment and wage growth set the stage, in our view, for a potential bounce in the second half of the year in both consumer confidence and retail spending.
During the period, the Fund was materially overweighted versus the benchmark to IT, Health Care and Telecommunication Services and underweighted to Consumer Staples, Materials, Financials, Energy, and Industrials. Our overweight to Health Care and IT and underweight to Materials proved additive to performance and overcame the negative impact of our underweight to Consumer Staples. Stock selection was broadly additive, led by strong contributions from our IT and Consumer Discretionary holdings, which offset weakness from our Materials stocks.
Drilling down to our holdings, BioMarin Pharmaceutical was the top contributor to Fund performance, while WageWorks was the leading detractor. BioMarin, which develops and commercializes pharmaceuticals for serious diseases and medical conditions, continued to benefit from strong execution and positive data around a recently acquired product. WageWorks, a provider of employee-directed, tax-advantaged benefits, was negatively impacted by a potential new competitive entrant, Towers Watson, to the consumer-directed benefit space.
From our perspective, the positives continue to outweigh the negatives and/or angst around the longevity of the current "bull" market. We think the second half of 2015 should continue to benefit broadly from accommodative central banks, appealing interest rate levels and generally positive inflationary trends. In the U.S., we believe incremental gains in housing, employment and wage growth coupled with moderating currency headwinds and improving business and consumer confidence, should they continue, could provide a positive counter balance to the never-ending global wall of worry and to legitimate concerns around sluggish GDP growth and extended market valuations across numerous sectors. We continue to believe that an interest rate increase will be reasonably digested by the market and ultimately prove to be a positive for stocks. Given the aforementioned positive trends and an apparent absence of reckless excess, we don't believe that a market reset is looming near-term. We anticipate the market to continue to seek positive differentiation through companies characterized by strong execution and fundamentals and we would view any short-term volatility, should it occur, as an investing opportunity.
Sincerely,
KENNETH J. TUREK
PORTFOLIO MANAGER
Information about principal risks of investing in the Fund is set forth in the prospectus and statement of additional information.
The portfolio composition, industries and holdings of the Fund are subject to change.
The opinions expressed are those of the Fund's portfolio manager. The opinions are as of the date of this report, and are subject to change without notice.
1
SECTOR ALLOCATION
(as a % of Total Investments) | |
Consumer Discretionary | | | 23.7 | % | |
Consumer Staples | | | 3.4 | | |
Energy | | | 2.4 | | |
Financials | | | 7.7 | | |
Health Care | | | 18.9 | | |
Industrials | | | 12.5 | | |
Information Technology | | | 25.5 | | |
Materials | | | 1.5 | | |
Telecommunication Services | | | 2.9 | | |
Utilities | | | 0.6 | | |
Short-Term Investments | | | 0.9 | | |
Total | | | 100.0 | % | |
PERFORMANCE HIGHLIGHTS
| | | Inception Date | | Six Month
Period Ended06/30/2015 | | Average Annual Total Return
Ended 06/30/2015 | |
| | | | | 1 Year | | 5 Years | | 10 Years | | Life of Fund | |
Growth Portfolio
Class I | | |
09/10/1984 | | | | 10.21 | % | | | 15.50 | % | | | 17.85 | % | | | 10.13 | % | | | 9.66 | % | |
Russell Midcap®
Growth Index1,2 | | | | | | | 4.18 | % | | | 9.45 | % | | | 18.69 | % | | | 9.69 | % | | | N/A | | |
Russell Midcap®
Index1,2 | | | | | | | 2.35 | % | | | 6.63 | % | | | 18.23 | % | | | 9.40 | % | | | 12.66 | % | |
The performance data quoted represent past performance and do not indicate future results. Current performance may be lower or higher than the performance data quoted. For performance data current to the most recent month-end, please visit http://www.nb.com/amtportfolios/performance.
The results shown in the table reflect the reinvestment of income dividends and other distributions, if any. The results do not reflect the effect of taxes a shareholder would pay on Fund distributions or on the redemption of Fund shares. The results do not reflect fees and expenses of the variable annuity and variable life insurance policies or the qualified pension and retirement plans whose proceeds are invested in the Fund.
The investment return and principal value of an investment will fluctuate and shares, when redeemed, may be worth more or less than their original cost.
Returns would have been lower if Neuberger Berman Management LLC (Management) had not reimbursed certain expenses and/or waived a portion of the investment management fees during certain of the periods shown. Repayment by a class (of expenses previously reimbursed and/or fees previously waived by Management) will decrease the class's returns. Please see Note B in the Notes to Financial Statements for specific information regarding expense reimbursement and/or fee waiver arrangements.
As stated in the Fund's most recent prospectus, the total annual operating expense ratio for fiscal year 2014 was 2.32% for Class I shares (before expense reimbursements and/or fee waivers, if any). The expense ratio was 1.85% after expense reimbursements and/or fee waivers. The expense ratios for the semi-annual period ended June 30, 2015 can be found in the Financial Highlights section of this report.
2
1 The date used to calculate Life of Fund performance for the index is September 10, 1984, the Fund's commencement of operations.
2 The Russell Midcap® Growth Index is a float-adjusted market capitalization-weighted index that measures the performance of the mid-cap growth segment of the U.S. equity market. It includes those Russell Midcap® Index companies with higher price-to-book ratios and higher forecasted growth rates. The index is rebalanced annually in June. The Russell Midcap Index measures the performance of the mid-cap segment of the U.S. equity market, and includes approximately 800 of the smallest securities in the Russell 1000® Index (which measures the performance of the 1,000 largest U.S. public companies based on total market capitalization). The index is rebalanced annually in June. Please note that the indices described in this report do not take into account any fees, expenses or tax consequences of investing in the individual securities that they track, and that investors cannot invest directly in any index. Data about the performance of an index are prepared or obtained by Management and reflect the reinvestment of income dividends and other distributions, if any. The Fund may invest in securities not included in a described index and generally does not invest in all securities included in a described index.
The investments for the Fund are managed by the same portfolio manager(s) who manage(s) one or more other registered funds that have names, investment objectives and investment styles that are similar to those of the Fund. You should be aware that the Fund is likely to differ from those other mutual fund(s) in size, cash flow pattern and tax matters. Accordingly, the holdings and performance of the Fund can be expected to vary from those of the other mutual fund(s).
Shares of the separate Neuberger Berman Advisers Management Trust Portfolios, including the Fund, are not available to the general public. Shares of the Fund may be purchased only by life insurance companies to be held in their separate accounts, which fund variable annuity and variable life insurance policies, and by qualified pension and retirement plans.
Statistics and projections in this report are derived from sources deemed to be reliable but cannot be regarded as a representation of future results of the Fund. This report is prepared for the general information of shareholders and is not an offer of shares of the Fund. Shares are sold only through the currently effective prospectus, which must precede or accompany this report.
The "Neuberger Berman" name and logo are registered service marks of Neuberger Berman Group LLC. "Neuberger Berman Management LLC" and the individual Fund name in this piece are either service marks or registered service marks of Neuberger Berman Management LLC.
© 2015 Neuberger Berman Management LLC, distributor. All rights reserved.
3
Information About Your Fund's Expenses (Unaudited)
As a Fund shareholder, you incur two types of costs: (1) transaction costs such as fees and expenses that are, or may be, imposed under your variable contract or qualified pension plan; and (2) ongoing costs, including management fees, distribution and/or service (12b-1) fees (if applicable), and other Fund expenses. This example is intended to help you understand your ongoing costs (in U.S. dollars) of investing in the Fund and compare these costs with the ongoing costs of investing in other mutual funds.
This table is designed to provide information regarding costs related to your investments. The following examples are based on an investment of $1,000 made at the beginning of the six month period ended June 30, 2015 and held for the entire period. The table illustrates the Fund's costs in two ways:
Actual Expenses and Performance: | | The first section of the table provides information about actual account values and actual expenses in dollars, based on the Fund's actual performance during the period indicated. You may use the information in this line, together with the amount you invested, to estimate the expenses 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 section of the table under the heading entitled "Expenses Paid During the Period" to estimate the expenses you paid over the period. | |
Hypothetical Example for Comparison Purposes: | | The second section of the table provides information about hypothetical account values and hypothetical expenses based on the Fund's actual expense ratio and an assumed rate of return at 5% per year before expenses. This return 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 this Fund versus other funds. To do so, compare the expenses shown in this 5% hypothetical example with the 5% hypothetical examples that appear in the shareholder reports of other funds. | |
Please note that the expenses in the table are meant to highlight your ongoing costs only and do not include any transaction costs, such as fees and expenses that are, or may be imposed under your variable contract or qualified pension plan. Therefore, the information under the heading "Hypothetical (5% annual return before expenses)" 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 transaction costs were included, your costs would have been higher.
Expense Information as of 6/30/15
NEUBERGER BERMAN ADVISERS MANAGEMENT TRUST GROWTH PORTFOLIO
Actual | | Beginning Account
Value
1/1/15 | | Ending Account
Value
6/30/15 | | Expenses Paid During
the Period*
1/1/15 – 6/30/15 | |
Class I | | $ | 1,000.00 | | | $ | 1,102.10 | | | $ | 9.64 | | |
Hypothetical (5% annual return before expenses)** | | | | | |
Class I | | $ | 1,000.00 | | | $ | 1,015.62 | | | $ | 9.25 | | |
* Expenses are equal to the annualized expense ratio of 1.85%, multiplied by the average account value over the period, multiplied by 181/365 (to reflect the one-half year period shown).
** Hypothetical expenses are equal to the annualized expense ratio of 1.85%, multiplied by the average account value over the period (assuming a 5% annual return), multiplied by 181/365 (to reflect the one-half year period shown).
4
Schedule of Investments Growth Portfolio (Unaudited) 6/30/15
NUMBER OF SHARES | | | | VALUE† | |
Common Stocks (99.4%) | | | |
Airlines (1.6%) | | | |
| | 2,000 | | | Alaska Air Group, Inc. | | $ | 128,860 | | |
Banks (1.2%) | | | |
| | 700 | | | SVB Financial Group | | | 100,786 | * | |
Biotechnology (4.6%) | | | |
| | 1,250 | | | Alkermes PLC | | | 80,425 | * | |
| | 650 | | | BioMarin Pharmaceutical, Inc. | | | 88,907 | * | |
| | 800 | | | Incyte Corp. | | | 83,368 | * | |
| | 250 | | | Receptos, Inc. | | | 47,513 | * | |
| | 450 | | | United Therapeutics Corp. | | | 78,277 | * | |
| | | | 378,490 | | |
Capital Markets (3.6%) | | | |
| | 600 | | | Affiliated Managers Group, Inc. | | | 131,160 | * | |
| | 2,500 | | | E*TRADE Financial Corp. | | | 74,875 | * | |
| | 1,500 | | | Raymond James Financial, Inc. | | | 89,370 | | |
| | | | 295,405 | | |
Chemicals (0.3%) | | | |
| | 400 | | | Sensient Technologies Corp. | | | 27,336 | | |
Commercial Services & Supplies (1.6%) | | | |
| | 1,000 | | | Stericycle, Inc. | | | 133,910 | * | |
Communications Equipment (2.7%) | | | |
| | 650 | | | F5 Networks, Inc. | | | 78,227 | * | |
| | 1,250 | | | Infinera Corp. | | | 26,225 | * | |
| | 700 | | | Palo Alto Networks, Inc. | | | 122,290 | * | |
| | | | 226,742 | | |
Containers & Packaging (1.1%) | | | |
| | 1,500 | | | Packaging Corp. of America | | | 93,735 | | |
Distributors (1.2%) | | | |
| | 3,250 | | | LKQ Corp. | | | 98,296 | * | |
Diversified Consumer Services (0.7%) | | | |
| | 1,950 | | | Service Corp. International | | | 57,389 | | |
Diversified Financial Services (0.9%) | | | |
| | 1,350 | | | CBOE Holdings, Inc. | | | 77,247 | | |
Electrical Equipment (2.4%) | | | |
| | 500 | | | Acuity Brands, Inc. | | | 89,990 | | |
| | 2,000 | | | AMETEK, Inc. | | | 109,560 | | |
| | | | 199,550 | | |
NUMBER OF SHARES | | | | VALUE† | |
Electronic Equipment, Instruments &
Components (3.4%) | | | |
| | 1,700 | | | Amphenol Corp. Class A | | $ | 98,549 | | |
| | 2,500 | | | CDW Corp. | | | 85,700 | | |
| | 850 | | | Zebra Technologies Corp. Class A | | | 94,392 | * | |
| | | | 278,641 | | |
Food & Staples Retailing (0.8%) | | | |
| | 8,000 | | | Rite Aid Corp. | | | 66,800 | * | |
Food Products (2.5%) | | | |
| | 250 | | | Bunge Ltd. | | | 21,950 | | |
| | 2,000 | | | Pinnacle Foods, Inc. | | | 91,080 | | |
| | 2,000 | | | WhiteWave Foods Co. | | | 97,760 | * | |
| | | | 210,790 | | |
Health Care Equipment & Supplies (2.9%) | | | |
| | 400 | | | Cooper Cos., Inc. | | | 71,188 | | |
| | 700 | | | Teleflex, Inc. | | | 94,815 | | |
| | 2,750 | | | Wright Medical Group, Inc. | | | 72,215 | * | |
| | | | 238,218 | | |
Health Care Providers & Services (5.2%) | | | |
| | 1,750 | | | Acadia Healthcare Co., Inc. | | | 137,077 | * | |
| | 3,000 | | | Envision Healthcare Holdings, Inc. | | | 118,440 | * | |
| | 900 | | | Quest Diagnostics, Inc. | | | 65,268 | | |
| 750 | | | Universal Health Services, Inc.
Class B | | | 106,575 | | |
| | | | 427,360 | | |
Health Care Technology (1.4%) | | | |
| | 1,150 | | | Cerner Corp. | | | 79,419 | * | |
| | 1,250 | | | Veeva Systems, Inc. Class A | | | 35,038 | * | |
| | | | 114,457 | | |
Hotels, Restaurants & Leisure (2.3%) | | | |
| | 2,500 | | | Bloomin' Brands, Inc. | | | 53,375 | | |
| | 450 | | | Buffalo Wild Wings, Inc. | | | 70,510 | * | |
| 1,250 | | | Norwegian Cruise Line Holdings
Ltd. | | | 70,050 | * | |
| | | | 193,935 | | |
Household Durables (0.8%) | | | |
| | 1,250 | | | Jarden Corp. | | | 64,688 | * | |
Independent Power and Renewable
Electricity Producers (0.6%) | | | |
| | 1,750 | | | Dynegy, Inc. | | | 51,188 | * | |
Industrial Conglomerates (1.6%) | | | |
| | 750 | | | Roper Technologies, Inc. | | | 129,345 | | |
See Notes to Schedule of Investments
5
Schedule of Investments Growth Portfolio (Unaudited) (cont'd)
NUMBER OF SHARES | | | | VALUE† | |
Insurance (0.6%) | | | |
| | 750 | | | Assurant, Inc. | | $ | 50,250 | | |
Internet & Catalog Retail (1.5%) | | | |
| | 2,000 | | | Liberty Interactive Corp. QVC | | | 55,500
Group Class A | * | |
| | 100 | | | Netflix, Inc. | | | 65,694 | * | |
| | | | 121,194 | | |
Internet Software & Services (3.0%) | | | |
| | 1,150 | | | Akamai Technologies, Inc. | | | 80,293 | * | |
| | 400 | | | CoStar Group, Inc. | | | 80,504 | * | |
| | 1,250 | | | Demandware, Inc. | | | 88,850 | * | |
| | | | 249,647 | | |
IT Services (3.4%) | | | |
| | 400 | | | Alliance Data Systems Corp. | | | 116,776 | * | |
| | 850 | | | Fiserv, Inc. | | | 70,405 | * | |
| | 600 | | | FleetCor Technologies, Inc. | | | 93,636 | * | |
| | | | 280,817 | | |
Leisure Products (0.8%) | | | |
| | 450 | | | Polaris Industries, Inc. | | | 66,650 | | |
Life Sciences Tools & Services (1.1%) | | | |
| | 400 | | | Illumina, Inc. | | | 87,344 | * | |
Machinery (1.9%) | | | |
| | 1,150 | | | Milacron Holdings Corp. | | | 22,632 | * | |
| | 900 | | | PACCAR, Inc. | | | 57,429 | | |
| | 800 | | | Wabtec Corp. | | | 75,392 | | |
| | | | 155,453 | | |
Media (1.3%) | | | |
| 350 | | | Charter Communications, Inc.
Class A | | | 59,938 | * | |
| | 1,100 | | | Starz Class A | | | 49,192 | * | |
| | | | 109,130 | | |
Multiline Retail (2.6%) | | | |
| | 1,500 | | | Burlington Stores, Inc. | | | 76,800 | * | |
| | 1,500 | | | Dollar Tree, Inc. | | | 118,485 | * | |
| | 1,750 | | | Tuesday Morning Corp. | | | 19,714 | * | |
| | | | 214,999 | | |
Oil, Gas & Consumable Fuels (2.4%) | | | |
| | 1,500 | | | Antero Resources Corp. | | | 51,510 | * | |
| | 2,000 | | | Cabot Oil & Gas Corp. | | | 63,080 | | |
| | 750 | | | Concho Resources, Inc. | | | 85,395 | * | |
| | | | 199,985 | | |
NUMBER OF SHARES | | | | VALUE† | |
Pharmaceuticals (3.9%) | | | |
| | 1,250 | | | Akorn, Inc. | | $ | 54,575 | * | |
| | 1,200 | | | Endo International PLC | | | 95,580 | * | |
| | 400 | | | Jazz Pharmaceuticals PLC | | | 70,428 | * | |
| | 500 | | | Mylan NV | | | 33,930 | * | |
| | 1,350 | | | Zoetis, Inc. | | | 65,097 | | |
| | | | 319,610 | | |
Professional Services (1.4%) | | | |
| | 1,250 | | | Nielsen NV | | | 55,962 | | |
| | 1,500 | | | WageWorks, Inc. | | | 60,675 | * | |
| | | | 116,637 | | |
Real Estate Management &
Development (1.3%) | | | |
| | 650 | | | Jones Lang LaSalle, Inc. | | | 111,150 | | |
Road & Rail (1.4%) | | | |
| | 500 | | | J.B. Hunt Transport Services, Inc. | | | 41,045 | | |
| | 1,150 | | | Old Dominion Freight Line, Inc. | | | 78,896 | * | |
| | | | 119,941 | | |
Semiconductors & Semiconductor
Equipment (6.0%) | | | |
| | 650 | | | Avago Technologies Ltd. | | | 86,404 | | |
| | 1,300 | | | Cavium, Inc. | | | 89,453 | * | |
| | 1,050 | | | Lam Research Corp. | | | 85,418 | | |
| | 1,500 | | | Monolithic Power Systems, Inc. | | | 76,065 | | |
| | 1,000 | | | NXP Semiconductors NV | | | 98,200 | * | |
| | 2,000 | | | SunEdison, Inc. | | | 59,820 | * | |
| | | | 495,360 | | |
Software (7.1%) | | | |
| | 2,250 | | | Activision Blizzard, Inc. | | | 54,473 | | |
| | 1,250 | | | Electronic Arts, Inc. | | | 83,125 | * | |
| | 1,250 | | | Fortinet, Inc. | | | 51,663 | * | |
| | 1,000 | | | Mobileye NV | | | 53,170 | * | |
| | 1,250 | | | ServiceNow, Inc. | | | 92,887 | * | |
| | 700 | | | Splunk, Inc. | | | 48,734 | * | |
| | 1,850 | | | Synchronoss Technologies, Inc. | | | 84,600 | * | |
| | 500 | | | Tableau Software, Inc. Class A | | | 57,650 | * | |
| | 350 | | | Ultimate Software Group, Inc. | | | 57,519 | * | |
| | | | 583,821 | | |
Specialty Retail (7.8%) | | | |
| | 850 | | | Lithia Motors, Inc. Class A | | | 96,186 | | |
| | 700 | | | O'Reilly Automotive, Inc. | | | 158,186 | * | |
| | 2,000 | | | Ross Stores, Inc. | | | 97,220 | | |
| | 500 | | | Signet Jewelers Ltd. | | | 64,120 | | |
| | 1,400 | | | Tractor Supply Co. | | | 125,916 | | |
| | 1,300 | | | Williams-Sonoma, Inc. | | | 106,951 | | |
| | | | 648,579 | | |
See Notes to Schedule of Investments
6
Schedule of Investments Growth Portfolio (Unaudited) (cont'd)
NUMBER OF SHARES | | | | VALUE† | |
Textiles, Apparel & Luxury Goods (4.8%) | | | |
| | 950 | | | Carter's, Inc. | | $ | 100,985 | | |
| | 3,750 | | | Hanesbrands, Inc. | | | 124,950 | | |
| | 650 | | | lululemon athletica, Inc. | | | 42,445 | * | |
| | 1,500 | | | Under Armour, Inc. Class A | | | 125,160 | * | |
| | | | 393,540 | | |
Trading Companies & Distributors (0.7%) | | | |
| | 650 | | | United Rentals, Inc. | | | 56,953 | * | |
Wireless Telecommunication Services (3.0%) | | | |
| 1,200 | | | SBA Communications Corp.
Class A | | | 137,964 | * | |
| | 2,750 | | | T-Mobile US, Inc. | | | 106,617 | * | |
| | | | 244,581 | | |
| | | | Total Common Stocks
(Cost $5,412,203) | | | 8,218,809 | | |
Short-Term Investments (0.9%) | | | |
| 73,479 | | | State Street Institutional Liquid
Reserves Fund Premier Class
(Cost $73,479) | | | 73,479 | | |
| | | | Total Investments (100.3%)
(Cost $5,485,682) | | | 8,292,288 | ## | |
| | | | Liabilities, less cash, receivables and
other assets [(0.3%)] | | | (27,062 | ) | |
| | | | | Total Net Assets (100.0%) | | $ | 8,265,226 | | |
See Notes to Schedule of Investments
7
Notes to Schedule of Investments Growth Portfolio (Unaudited)
† In accordance with Accounting Standards Codification ("ASC") 820 "Fair Value Measurement" ("ASC 820"), all investments held by Neuberger Berman Advisers Management Trust Growth Portfolio (the "Fund") are carried at the value that Neuberger Berman Management LLC ("Management") believes the Fund would receive upon selling an investment in an orderly transaction to an independent buyer in the principal or most advantageous market for the investment under current market conditions. Various inputs, including the volume and level of activity for the asset or liability in the market, are considered in valuing the Fund's investments, some of which are discussed below. Significant management judgment may be necessary to value investments in accordance with ASC 820.
ASC 820 established a three-tier hierarchy of inputs to create a classification of value measurements for disclosure purposes. The three-tier hierarchy of inputs is summarized in the three broad Levels listed below.
• Level 1 – quoted prices in active markets for identical investments
• Level 2 – other observable inputs (including quoted prices for similar investments, interest rates, prepayment speeds, credit risk, amortized cost, etc.)
• Level 3 – unobservable inputs (including the Fund's own assumptions in determining the fair value of investments)
The inputs or methodology used for valuing an investment are not necessarily an indication of the risk associated with investing in those securities.
The value of the Fund's investments in equity securities and exchange traded funds, for which market quotations are readily available, is generally determined by Management by obtaining valuations from an independent pricing service based on the latest sale price quoted on a principal exchange or market for that security (Level 1 inputs). Securities traded primarily on the NASDAQ Stock Market are normally valued at the NASDAQ Official Closing Price ("NOCP") provided by NASDAQ each business day. The NOCP is the most recently reported price as of 4:00:02 p.m., Eastern time, unless that price is outside the range of the "inside" bid and asked prices (i.e., the bid and asked prices that dealers quote to each other when trading for their own accounts); in that case, NASDAQ will adjust the price to equal the inside bid or asked price, whichever is closer. Because of delays in reporting trades, the NOCP may not be based on the price of the last trade to occur before the market closes. If there is no reported sale of a security on a particular day, the independent pricing service may value the security based on reported market quotations.
Management has developed a process to periodically review information provided by independent pricing services for all types of securities.
Investments in investment companies, with the exception of closed-end funds, if any, are valued using the respective fund's daily calculated net asset value per share (Level 2 inputs).
If a valuation is not available from an independent pricing service, or if Management has reason to believe that the valuation received does not represent the amount the Fund might reasonably expect to receive on a current sale in an orderly transaction, Management seeks to obtain quotations from brokers or dealers (generally considered Level 2 or Level 3 inputs depending on the number of quotes available). If such quotations are not readily available, the security is valued using methods the Neuberger Berman Advisers Management Trust's Board of Trustees (the "Board") has approved in the good-faith belief that the resulting valuation will reflect the fair value of the security. Numerous factors may be considered when determining the fair value of a security based on Level 2 or Level 3 inputs, including available analyst, media or other reports, trading in financial futures or American Depositary Receipts ("ADRs") and whether the issuer of the security being fair valued has other securities outstanding.
The value of the Fund's investments in foreign securities is generally determined using the same valuation methods and inputs as other Fund investments, as discussed above. Foreign security prices expressed in local currency
See Notes to Financial Statements
8
Notes to Schedule of Investments Growth Portfolio (Unaudited) (cont'd)
values are translated from the local currency into U.S. dollars using the exchange rates as of the end of regular trading on the New York Stock Exchange ("NYSE") on business days, usually 4:00 p.m., Eastern time. The Board has approved the use of Interactive Data Pricing and Reference Data, Inc. ("Interactive") to assist in determining the fair value of foreign equity securities when changes in the value of a certain index suggest that the closing prices on the foreign exchanges may no longer represent the amount that the Fund could expect to receive for those securities or on days when foreign markets are closed and U.S. markets are open. In each of these events, Interactive will provide adjusted prices for certain foreign equity securities using a statistical analysis of historical correlations of multiple factors (Level 2 inputs). In the absence of precise information about the market values of these foreign securities as of the close of the NYSE, the Board has determined on the basis of available data that prices adjusted in this way are likely to be closer to the prices the Fund could realize on a current sale than are the prices of those securities established at the close of the foreign markets in which the securities primarily trade.
Fair value prices are necessarily estimates, and there is no assurance that such a price will be at or close to the price at which the security is next quoted or next trades.
The following is a summary, categorized by Level, of inputs used to value the Fund's investments as of June 30, 2015:
Asset Valuation Inputs | | Level 1 | | Level 2 | | Level 3 | | Total | |
Investments: | |
Common Stocks^ | | $ | 8,218,809 | | | $ | — | | | $ | — | | | $ | 8,218,809 | | |
Short-Term Investments | | | — | | | | 73,479 | | | | — | | | | 73,479 | | |
Total Investments | | $ | 8,218,809 | | | $ | 73,479 | | | $ | — | | | $ | 8,292,288 | | |
^ The Schedule of Investments provides information on the industry categorization for the portfolio.
As of the six months ended June 30, 2015, no securities were transferred from one level (as of December 31, 2014) to another.
## At June 30, 2015, the cost of investments for U.S. federal income tax purposes was $5,489,852. Gross unrealized appreciation of investments was $2,878,786 and gross unrealized depreciation of investments was $76,350, resulting in net unrealized appreciation of $2,802,436, based on cost for U.S. federal income tax purposes.
* Security did not produce income during the last twelve months.
See Notes to Financial Statements
9
Statement of Assets and Liabilities (Unaudited)
Neuberger Berman Advisers Management Trust
| | | GROWTH
PORTFOLIO | |
| | | June 30, 2015 | |
Assets | |
Investments in securities, at value* (Note A)—see Schedule of Investments: | |
Unaffiliated issuers | | $ | 8,292,288 | | |
Dividends and interest receivable | | | 2,398 | | |
Receivable for securities sold | | | 23,603 | | |
Receivable for Fund shares sold | | | 108 | | |
Prepaid expenses and other assets | | | 4,778 | | |
Total Assets | | | 8,323,175 | | |
Liabilities | |
Payable for securities purchased | | | 15,362 | | |
Payable for Fund shares redeemed | | | 199 | | |
Payable to investment manager (Note B) | | | 3,766 | | |
Payable to administrator-net (Note B) | | | 87 | | |
Payable to trustees | | | 7,155 | | |
Accrued expenses and other payables | | | 31,380 | | |
Total Liabilities | | | 57,949 | | |
Net Assets | | $ | 8,265,226 | | |
Net Assets consist of: | |
Paid-in capital | | $ | 6,831,514 | | |
Undistributed net investment income (loss) | | | (57,276 | ) | |
Accumulated net realized gains (losses) on investments | | | (1,315,618 | ) | |
Net unrealized appreciation (depreciation) in value of investments | | | 2,806,606 | | |
Net Assets | | $ | 8,265,226 | | |
Shares Outstanding ($.001 par value; unlimited shares authorized) | | | 254,503 | | |
Net Asset Value, offering and redemption price per share | | $ | 32.48 | | |
*Cost of Investments | | $ | 5,485,682 | | |
See Notes to Financial Statements
10
Statement of Operations (Unaudited)
Neuberger Berman Advisers Management Trust
| | | GROWTH
PORTFOLIO | |
| | | For the
Six Months Ended
June 30, 2015 | |
Investment Income: | |
Income (Note A): | |
Dividend income—unaffiliated issuers | | $ | 17,213 | | |
Interest income—unaffiliated issuers | | | 13 | | |
Foreign taxes withheld (Note A) | | | (81 | ) | |
Total income | | $ | 17,145 | | |
Expenses: | |
Investment management fees (Note B) | | | 22,100 | | |
Administration fees (Note B) | | | 12,055 | | |
Audit fees | | | 22,481 | | |
Custodian and accounting fees | | | 6,908 | | |
Insurance expense | | | 116 | | |
Legal fees | | | 2,044 | | |
Shareholder reports | | | 4,126 | | |
Trustees' fees and expenses | | | 16,032 | | |
Miscellaneous | | | 432 | | |
Total expenses | | | 86,294 | | |
Expenses reimbursed by Management (Note B) | | | (11,873 | ) | |
Total net expenses | | | 74,421 | | |
Net investment income (loss) | | $ | (57,276 | ) | |
Realized and Unrealized Gain (Loss) on Investments (Note A): | |
Net realized gain (loss) on: | |
Sales of investment securities of unaffiliated issuers | | | 636,384 | | |
Change in net unrealized appreciation (depreciation) in value of: | |
Unaffiliated investment securities | | | 199,444 | | |
Net gain (loss) on investments | | | 835,828 | | |
Net increase (decrease) in net assets resulting from operations | | $ | 778,552 | | |
See Notes to Financial Statements
11
Statements of Changes in Net Assets
Neuberger Berman Advisers Management Trust
| | | GROWTH PORTFOLIO | |
| | | Six Months Ended
June 30,
2015
(Unaudited) | | Year Ended
December 31,
2014 | |
Increase (Decrease) in Net Assets: | |
From Operations (Note A): | |
Net investment income (loss) | | $ | (57,276 | ) | | $ | (108,827 | ) | |
Net realized gain (loss) on investments | | | 636,384 | | | | 1,402,943 | | |
Change in net unrealized appreciation (depreciation) of investments | | | 199,444 | | | | (780,814 | ) | |
Net increase (decrease) in net assets resulting from operations | | | 778,552 | | | | 513,302 | | |
From Fund Share Transactions (Note D): | |
Proceeds from shares sold | | | 269,856 | | | | 218,256 | | |
Payments for shares redeemed | | | (724,053 | ) | | | (1,082,364 | ) | |
Net increase (decrease) from Fund share transactions | | | (454,197 | ) | | | (864,108 | ) | |
Net Increase (Decrease) in Net Assets | | | 324,355 | | | | (350,806 | ) | |
Net Assets: | |
Beginning of period | | | 7,940,871 | | | | 8,291,677 | | |
End of period | | $ | 8,265,226 | | | $ | 7,940,871 | | |
Undistributed net investment income (loss) at end of period | | $ | (57,276 | ) | | $ | — | | |
See Notes to Financial Statements
12
Notes to Financial Statements Growth Portfolio (Unaudited)
Note A—Summary of Significant Accounting Policies:
1 General: Neuberger Berman Advisers Management Trust (the "Trust") is a Delaware statutory trust organized pursuant to an Amended and Restated Trust Instrument dated March 27, 2014. The Trust is currently comprised of eleven separate operating series (each individually a "Fund," and collectively the "Funds") each of which is diversified. The Trust is registered as an open-end management investment company under the Investment Company Act of 1940, as amended (the "1940 Act"), and its shares are registered under the Securities Act of 1933, as amended. The Fund currently offers only Class I shares. The Board may establish additional series or classes of shares without the approval of shareholders.
The assets of each Fund belong only to that Fund, and the liabilities of each Fund are borne solely by that Fund and no other.
The Fund is an investment company and accordingly follows the investment company accounting and reporting guidance of the Financial Accounting Standards Board (FASB) Accounting Standard Codification Topic 946 "Financial Services—Investment Companies."
The preparation of financial statements in accordance with U.S. generally accepted accounting principles ("GAAP") requires Management to make estimates and assumptions at the date of the financial statements. Actual results could differ from those estimates.
Shares of the Fund are not available to the general public and may be purchased only by life insurance companies to be held in their separate accounts, which fund variable annuity and variable life insurance policies, and by qualified pension and retirement plans.
2 Portfolio valuation: Investment securities are valued as indicated in the notes following the Schedule of Investments.
3 Foreign currency translation: The accounting records of the Fund are maintained in U.S. dollars. Foreign currency amounts are translated into U.S. dollars using the exchange rate as of the end of regular trading on the NYSE on business days, usually 4:00 p.m. Eastern time, to determine the value of investments, other assets and liabilities. Purchase and sale prices of securities, and income and expenses, are translated into U.S. dollars at the prevailing rate of exchange on the respective dates of such transactions. Net unrealized foreign currency gain (loss), if any, arises from changes in the value of assets and liabilities, other than investments in securities, as a result of changes in exchange rates and is stated separately in the Statement of Operations.
4 Securities transactions and investment income: Securities transactions are recorded on trade date for financial reporting purposes. Dividend income is recorded on the ex-dividend date or, for certain foreign dividends, as soon as the Fund becomes aware of the dividends. Non-cash dividends included in dividend income, if any, are recorded at the fair market value of the securities received. Interest income, including accretion of original issue discount, where applicable, and accretion of discount on short-term investments, if any, is recorded on the accrual basis. Realized gains and losses from securities transactions and foreign currency transactions, if any, are recorded on the basis of identified cost and stated separately in the Statement of Operations. Included in net realized gain (loss) on investments are proceeds from the settlements of class action litigation in which the Fund participated as a class member. The amount of such proceeds for the six months ended June 30, 2015 was $16,966.
5 Income tax information: Each Fund is treated as a separate entity for U.S. federal income tax purposes. It is the policy of the Fund to continue to qualify for treatment as a regulated investment company ("RIC") by complying with the requirements of the U.S. Internal Revenue Code applicable to RICs and to distribute substantially all of its net investment income and net realized capital gains to its shareholders. To the extent the Fund distributes substantially all of its net investment income and net realized capital gains to shareholders, no federal income or excise tax provision is required.
13
The Fund has adopted the provisions of ASC 740 "Income Taxes" ("ASC 740"). ASC 740 sets forth a minimum threshold for financial statement recognition of a tax position taken, or expected to be taken, in a tax return. The Fund recognizes interest and penalties, if any, related to unrecognized tax positions as an income tax expense in the Statement of Operations. The Fund is subject to examination by U.S. federal and state tax authorities for returns filed for the tax years for which the applicable statutes of limitations have not yet expired. As of June 30, 2015, the Fund did not have any unrecognized tax positions.
Income distributions and capital gain distributions are determined in accordance with income tax regulations, which may differ from GAAP. These differences are primarily due to differing treatments of income and gains on various investment securities held by the Fund, timing differences and differing characterization of distributions made by the Fund. The Fund may also utilize earnings and profits distributed to shareholders on redemption of shares as a part of the dividends-paid deduction for income tax purposes.
As determined on December 31, 2014, permanent differences resulting primarily from different book and tax accounting were reclassified at year end. Such differences are attributed to the tax treatment of: net operating losses, non-real estate investment trusts return of capital adjustments and non-taxable distributions from underlying investments. These reclassifications had no effect on net income, net asset value ("NAV") or NAV per share of the Fund. For the year ended December 31, 2014, the Fund recorded the following permanent reclassifications:
Paid-in Capital | | Undistributed
Net Investment
Income (Loss) | | Accumulated
Net Realized
Gains (Losses)
on Investments | |
$ | (110,587 | ) | | $ | 108,827 | | | $ | 1,760 | | |
As of December 31, 2014, the components of distributable earnings (accumulated losses) on a U.S. federal income tax basis were as follows:
Undistributed
Ordinary
Income (Loss) | | Unrealized
Appreciation
(Depreciation) | | Loss
Carryforwards
and Deferrals | | Other
Temporary
Differences | | Total | |
| $ | — | | | $ | 2,602,880 | | | $ | (1,947,720 | ) | | $ | — | | | $ | 655,160 | | |
The differences between book basis and tax basis distributable earnings are primarily due to: losses disallowed and recognized on wash sales and capital loss carryforwards.
To the extent the Fund's net realized capital gains, if any, can be offset by capital loss carryforwards, it is the policy of the Fund not to distribute such gains. The Regulated Investment Company Modernization Act of 2010 (the "Act") became effective for the Fund on January 1, 2011. The Act modernizes several of the federal income and excise tax provisions related to RICs. Among the changes made are changes to the capital loss carryforward rules allowing for RICs to carry forward capital losses indefinitely and to retain the character of capital loss carryforwards as short-term or long-term ("Post-Enactment"). Rules in effect previously limited the carryforward period to eight years and all carryforwards were considered short-term in character ("Pre-Enactment"). As determined at December 31, 2014, the Fund had unused capital loss carryforwards available for federal income tax purposes to offset net realized capital gains, if any, as follows:
Pre-Enactment | |
Expiring in:
2017 | |
| $ | 1,947,720 | | |
Post-Enactment capital loss carryforwards must be fully used before Pre-Enactment capital loss carryforwards; therefore, under certain circumstances, Pre-Enactment capital loss carryforwards available as of the report date
14
may expire unused. Under current tax law, the use of these losses to offset future gains may be limited. As of December 31, 2014, the Fund had no Post-Enactment capital loss carryforwards.
During the year ended December 31, 2014, the Fund utilized capital loss carryforwards of $1,408,638.
6 Distributions to shareholders: The Fund may earn income, net of expenses, daily on its investments. Distributions from net investment income and net realized capital gains, if any, generally are distributed once a year (usually in October). Income distributions and capital gain distributions to shareholders are recorded on the ex-date.
7 Foreign taxes: Foreign taxes withheld, if any, represent amounts withheld by foreign tax authorities, net of refunds recoverable.
8 Expense allocation: Certain expenses are applicable to multiple funds within the complex of related investment companies. Expenses directly attributable to a Fund are charged to that Fund. Expenses of the Trust that are not directly attributable to a particular series of the Trust (e.g., the Fund) are allocated among the series of the Trust, on the basis of relative net assets, except where a more appropriate allocation of expenses to each of the series can otherwise be made fairly. Expenses borne by the complex of related investment companies, which includes open-end and closed-end investment companies for which Management serves as investment manager, that are not directly attributable to a particular investment company in the complex (e.g., the Trust) or series thereof are allocated among the investment companies in the complex or series thereof on the basis of relative net assets, except where a more appropriate allocation of expenses to each of the investment companies in the complex or series thereof can otherwise be made fairly.
9 Investments in foreign securities: Investing in foreign securities may involve certain sovereign and other risks, in addition to the credit and market risks normally associated with domestic securities. These additional risks include the possibility of adverse political and economic developments (including political instability, nationalization, expropriation, or confiscatory taxation) and the potentially adverse effects of unavailability of public information regarding issuers, less governmental supervision and regulation of financial markets, reduced liquidity of certain financial markets, and the lack of uniform accounting, auditing, and financial reporting standards or the application of standards that are different or less stringent than those applied in the United States. Foreign securities also may experience greater price volatility, higher rates of inflation, and delays in settlement.
10 Indemnifications: Like many other companies, the Trust's organizational documents provide that its officers ("Officers") and trustees ("Trustees") are indemnified against certain liabilities arising out of the performance of their duties to the Trust. In addition, both in some of its principal service contracts and in the normal course of its business, the Trust enters into contracts that provide indemnifications to other parties for certain types of losses or liabilities. The Trust's maximum exposure under these arrangements is unknown as this could involve future claims against the Trust.
Note B—Investment Management Fees, Administration Fees, Distribution Arrangements, and Other Transactions with Affiliates:
The Fund retains Management as its investment manager under an Investment Management Agreement. For such investment management services, the Fund pays Management a fee at the annual rate of 0.55% of the first $250 million of the Fund's average daily net assets, 0.525% of the next $250 million, 0.50% of the next $250 million, 0.475% of the next $250 million, 0.45% of the next $500 million, 0.425% of the next $2.5 billion, and 0.40% of average daily net assets in excess of $4 billion. Accordingly, for the six months ended June 30, 2015, the investment management fee pursuant to the Investment Management Agreement was equivalent to an annual effective rate of 0.55% of the Fund's average daily net assets.
The Fund retains Management as its administrator under an Administration Agreement. The Fund pays Management an administration fee at the annual rate of 0.30% of its average daily net assets under this agreement. Additionally, Management retains State Street Bank and Trust Company ("State Street") as its sub-administrator
15
under a Sub-Administration Agreement. Management pays State Street a fee for all services received under this agreement.
The Board adopted a non-fee distribution plan for the Fund.
Management has contractually undertaken to waive fees and/or reimburse the Fund for its total annual operating expenses (excluding fees payable to Management, interest, taxes, brokerage commissions, dividend and interest expenses relating to short sales, acquired fund fees and expenses, extraordinary expenses and transaction costs, if any; consequently, net expenses may exceed the contractual expense limitation) ("Operating Expenses") which exceed the expense limitation as detailed in the following table. The Fund has agreed to repay Management for fees and expenses waived and/or its excess Operating Expenses previously reimbursed by Management, so long as its annual Operating Expenses during that period do not exceed its contractual expense limitation in place at the time the fees and expenses were waived or reimbursed, or the expense limitation in place at the time the Fund repays Management, whichever is lower. Any such repayment must be made within three years after the year in which Management incurred the expense.
During the six months ended June 30, 2015, there was no repayment to Management under its contractual expense limitation.
At June 30, 2015, the Fund's contingent liabilities to Management under its contractual expense limitation were as follows:
| | | | | | | Expenses Reimbursed in
Fiscal Year Ending December 31, | |
| | | | | | | 2012 | | 2013 | | 2014 | | 2015 | |
| | | | | | | Subject to Repayment Until December 31, | |
| | | Contractual
Expense
Limitation(1) | | Expiration | | 2015 | | 2016 | | 2017 | | 2018 | |
Class I | | | 1.00 | % | | 12/31/18 | | $ | 52,518 | | | $ | 43,009 | | | $ | 36,771 | | | $ | 11,873 | | |
(1) Expense limitation per annum of the Fund's average daily net assets.
Neuberger Berman LLC ("Neuberger") is retained by Management pursuant to a Sub-Advisory Agreement to furnish it with investment recommendations and research information without added cost to the Fund. Several individuals who are Officers and/or Trustees of the Trust are also employees of Neuberger and/or Management.
Note C—Securities Transactions:
During the six months ended June 30, 2015, there were purchase and sale transactions (excluding short-term securities) of $1,642,726 and $2,157,802, respectively.
During the six months ended June 30, 2015, no brokerage commissions on securities transactions were paid to affiliated brokers.
Note D—Fund Share Transactions:
Share activity for the six months ended June 30, 3015 and for the year ended December 31, 2014 was as follows:
| | | For the Six Months
Ended June 30,
2015 | | For the Year Ended
December 31,
2014 | |
Shares Sold | | | 8,354 | | | | 7,979 | | |
Shares Redeemed | | | (23,336 | ) | | | (39,191 | ) | |
Total | | | (14,982 | ) | | | (31,212 | ) | |
16
Note E—Lines of Credit:
At June 30, 2015, the Fund was a participant in a syndicated committed, unsecured $700,000,000 line of credit (the "Credit Facility"), to be used only for temporary or emergency purposes. Other investment companies managed by Management also participate in this line of credit on the same terms. Under the terms of the Credit Facility, the Fund has agreed to pay its pro rata share of the annual commitment fee, based on the ratio of its individual net assets to the net assets of all participants at the time the fee is due and payable, and interest charged on any borrowing made by the Fund and other costs incurred by the Fund. Because several mutual funds participate in the Credit Facility, there is no assurance that the Fund will have access to all or any part of the $700,000,000 at any particular time. There were no loans outstanding under the Credit Facility at June 30, 2015. During the period from January 9, 2015 (the commencement date of the Credit Facility) through June 30, 2015, the Fund did not utilize this line of credit. The Credit Facility replaced the State Street lines of credit referred to below.
During the reporting period, prior to the commencement of the Credit Facility on January 9, 2015, the Fund was a participant in a committed, unsecured $300,000,000 line of credit with State Street and an uncommitted, unsecured $100,000,000 line of credit with State Street, both to be used only for temporary or emergency purposes. During the period ended June 30, 2015, the Fund did not utilize either line of credit with State Street.
Note F—Subsequent Events:
On June 24, 2015, the Board approved three separate reorganizations of Balanced Portfolio, Growth Portfolio, and Small Cap Growth Portfolio (each, a "Merging Portfolio") into Mid Cap Growth Portfolio (the "Surviving Portfolio," and together with the Merging Portfolios, the "Portfolios") (each a "Reorganization"). Each Reorganization is independent of the others, and the Reorganization of any Merging Portfolio may proceed even if the Reorganization of one or both of the other Merging Portfolios is postponed or cancelled. All Portfolios are series of the Trust. Each Reorganization will take effect on or about November 6, 2015. No shareholder vote is required for any of the Reorganizations. At the time of each Reorganization, contractholders who are shareholders of a Merging Portfolio (indirectly through a separate account) automatically will become shareholders (again, indirectly through that separate account) of the Surviving Portfolio, receiving shares of the Surviving Portfolio having an aggregate net asset value equal to the contractholder's shares in the Merging Portfolio.
Note G—Unaudited Financial Information:
The financial information included in this interim report is taken from the records of the Fund without audit by an independent registered public accounting firm. Annual reports contain audited financial statements.
17
Growth Portfolio
The following table includes selected data for a share outstanding throughout each period and other performance information derived from the Financial Statements. Per share amounts that round to less than $0.01 or $(0.01) per share are presented as $0.00 or $(0.00), respectively. Ratios that round to less than 0.00% or (0.00)% are presented as 0.00% or (0.00)%, respectively. A "—" indicates that the line item was not applicable in the corresponding period.
Class I | |
| | | Six Months
Ended
June 30, | | Year Ended December 31, | |
| | | 2015 | | 2014 | | 2013 | | 2012 | | 2011 | | 2010 | |
| | | (Unaudited) | | | | | | | | | | | |
Net Asset Value, Beginning of Period | | $ | 29.47 | | | $ | 27.57 | | | $ | 20.91 | | | $ | 18.57 | | | $ | 18.61 | | | $ | 14.20 | | |
Income From Investment Operations: | |
| Net Investment Income (Loss)‡ | | | (0.22 | ) | | | (0.38 | ) | | | (0.33 | ) | | | (0.24 | ) | | | (0.26 | ) | | | (0.21 | ) | |
Net Gains or Losses on Securities
(both realized and unrealized) | | | 3.23 | | | | 2.28 | | | | 6.99 | | | | 2.58 | | | | 0.22 | | | | 4.62 | | |
Total From Investment Operations | | | 3.01 | | | | 1.90 | | | | 6.66 | | | | 2.34 | | | | (0.04 | ) | | | 4.41 | | |
Net Asset Value, End of Period | | $ | 32.48 | | | $ | 29.47 | | | $ | 27.57 | | | $ | 20.91 | | | $ | 18.57 | | | $ | 18.61 | | |
| Total Return†† | | | 10.21 | %**@ | | 6.89 | % | | | 31.85 | %@ | | 12.60 | %@ | | (0.21 | )% | 31.06 | %@ |
Ratios/Supplemental Data | |
Net Assets, End of Period (in millions) | | $ | 8.3 | | | $ | 7.9 | | | $ | 8.3 | | | $ | 7.3 | | | $ | 7.3 | | | $ | 8.5 | | |
Ratio of Gross Expenses to
Average Net Assets# | | | 2.15 | %* | | | 2.32 | % | | | 2.41 | % | | | 2.55 | % | | | 2.52 | % | | | 2.64 | % | |
Ratio of Net Expenses to
Average Net Assets | | | 1.85 | %* | | | 1.85 | % | | | 1.85 | % | | | 1.85 | %§ | | | 1.85 | %§ | | | 1.85 | %§ | |
Ratio of Net Investment Income (Loss)
to Average Net Assets | | | (1.43 | )%* | | | (1.38 | )% | | | (1.36 | )% | | | (1.17 | )% | | | (1.38 | )% | | | (1.33 | )% | |
Portfolio Turnover Rate | | | 20 | %** | | | 59 | % | | | 46 | % | | | 35 | % | | | 33 | % | | | 49 | % | |
See Notes to Financial Highlights
18
Notes to Financial Highlights Growth Portfolio (Unaudited)
†† Total return based on per share NAV reflects the effects of changes in NAV on the performance of the Fund during each fiscal period. Returns assume income dividends and other distributions, if any, were reinvested. Results represent past performance and do not indicate future results. Current returns may be lower or higher than the performance data quoted. Investment returns and principal may fluctuate and shares when redeemed may be worth more or less than original cost. Total return would have been lower if Management had not reimbursed and/or waived certain expenses. The total return information shown does not reflect charges and other expenses that apply to the separate accounts or the related insurance policies or other qualified pension or retirement plans, and the inclusion of these charges and other expenses would reduce the total return for all fiscal periods shown.
@ Had the Fund not received the class action proceeds listed in Note A-4 of the Notes to Financial Statements, total return based on per share NAV for the six months ended June 30, 2015 would have been 10.01%. Had the Fund not received class action proceeds in 2013, total return based on per share NAV for the year ended December 31, 2013 would have been 31.76%. Had the Fund not received class action proceeds in 2012, total return based on per share NAV for the year ended December 31, 2012 would have been 11.63%. Had the Fund not received class action proceeds in 2010, total return based on per share NAV for the year ended December 31, 2010 would have been 28.15%.
# Represents the annualized ratios of net expenses to average daily net assets if Management had not reimbursed certain expenses and/or waived a portion of the investment management fee.
‡ Calculated based on the average number of shares outstanding during each fiscal period.
§ Prior to January 1, 2013, the Fund had an expense offset arrangement in connection with its custodian contract. The impact of expense reductions related to expense offset arrangements, if any, was less than 0.01%.
* Annualized.
** Not Annualized.
19
Proxy Voting Policies and Procedures
A description of the policies and procedures that the Trust uses to determine how to vote proxies relating to portfolio securities is available, without charge, by calling 800-877-9700 (toll-free) and on the Securities and Exchange Commission's website at www.sec.gov. Information regarding how the Trust voted proxies relating to portfolio securities during the most recent 12-month period ended June 30 is also available upon request, without charge, by calling 800-877-9700 (toll-free), on the Securities and Exchange Commission's website at www.sec.gov, and on Management's website at www.nb.com.
Quarterly Portfolio Schedule
The Trust files a complete schedule of portfolio holdings for the Fund with the Securities and Exchange Commission for the first and third quarters of each fiscal year on Form N-Q. The Trust's Forms N-Q are available on the Securities and Exchange Commission's website at www.sec.gov and may be reviewed and copied at the Securities and Exchange Commission's Public Reference Room in Washington, DC. Information on the operation of the Public Reference Room may be obtained by calling 800-SEC-0330. The information on Form N-Q is available upon request, without charge, by calling 800-877-9700 (toll free).
20
Neuberger Berman
Advisers Management Trust
Mid Cap Growth Portfolio
I Class Shares
S Class Shares
Semi-Annual Report
June 30, 2015
Mid Cap Growth Portfolio Commentary
The Neuberger Berman Advisers Management Trust Mid Cap Growth Portfolio (the "Fund") Class I generated a 10.08% total return for the six months ended June 30, 2015, outperforming its benchmark, the Russell Midcap® Growth Index, which returned 4.18% for the period. Returns for the Fund's Class I and Class S shares are provided in the table immediately following this letter.
The first half of 2015 has been positive for our style of investing. Shrugging off global macro noise, stubbornly lethargic GDP growth and currency headwinds, the market rewarded active management and stocks offering positive differentiation versus their peers, "paying-up" for compelling catalysts, strong execution and the higher qualitative characteristics and fundamentals that we typically prize. The Fund also benefitted from the reemergence of business capital spending as M&A activity remained strong, especially within the Health Care and Information Technology (IT) sectors. Lastly, employment and wage growth potentially set the stage, in our view, for a bounce in the second half of the year in both consumer confidence and retail spending.
During the period, the portfolio was materially overweighted to IT, Health Care and Telecommunication Services and underweighted to Consumer Staples, Materials, Financials, Energy, Industrials and Consumer Discretionary versus the benchmark. Our overweight to Health Care and IT and underweight to Materials proved additive to performance and overcame the negative impact of our underweight to Consumer Staples. Stock selection was broadly additive, led by strong contributions from our IT and Consumer Discretionary holdings, which offset weakness from our Materials stocks.
Drilling down to our holdings over the six month period, Avago Technologies was the top contributor to portfolio performance, while WageWorks was the leading detractor. Avago, a semiconductor company, continued to execute at a high level with strong participation in leading "smart" devices and completed a well-received acquisition of Broadcom. WageWorks, a provider of employee-directed, tax-advantaged benefits, was negatively impacted by a potential new competitive entrant, Towers Watson, to the consumer-directed benefit space.
From our perspective, the positives continue to outweigh the negatives and/or angst around the longevity of the current "bull" market. We think the second half of 2015 should continue to benefit broadly from accommodative central banks and appealing interest rate levels and generally positive inflationary trends. In the U.S., incremental gains in housing, employment and wage growth coupled with moderating currency headwinds and improving business and consumer confidence, should they continue, could provide a positive counter balance to the never-ending global wall of worry and to legitimate concerns around sluggish GDP growth and extended market valuations across numerous sectors. We remain confident in our view that an interest rate increase will be reasonably digested by the market and ultimately prove to be a positive for stocks. Given the aforementioned positive trends and the apparent absence of what we would regard as reckless excess, we also don't believe that a market reset is looming near-term. We anticipate the market to continue to seek positive differentiation through companies characterized by strong execution and fundamentals and we would view any short-term volatility, should it occur, as an investing opportunity.
Sincerely,
KENNETH J. TUREK
PORTFOLIO MANAGER
Information about principal risks of investing in the Fund is set forth in the prospectus and statement of additional information.
The portfolio composition, industries and holdings of the Fund are subject to change.
The opinions expressed are those of the Fund's portfolio manager. The opinions are as of the date of this report, and are subject to change without notice.
1
SECTOR ALLOCATION
(as a % of Total Investments) | |
Consumer Discretionary | | | 21.4 | % | |
Consumer Staples | | | 3.3 | | |
Energy | | | 2.1 | | |
Financials | | | 7.0 | | |
Health Care | | | 19.0 | | |
Industrials | | | 12.1 | | |
Information Technology | | | 23.6 | | |
Materials | | | 1.5 | | |
Telecommunication Services | | | 2.8 | | |
Utilities | | | 0.7 | | |
Other | | | 0.9 | | |
Short-Term Investments | | | 5.6 | | |
Total | | | 100.0 | % | |
PERFORMANCE HIGHLIGHTS
| | | Inception | | Six Month
Period Ended | | Average Annual Total Return
Ended 06/30/2015 | |
| | | Date | | 06/30/2015 | | 1 Year | | 5 Years | | 10 Years | | Life of Fund | |
Mid Cap Growth
Portfolio Class I | | 11/03/1997 | | 10.08% | | 15.78% | | 18.11% | | 10.32% | | 9.57% | |
Mid Cap Growth
Portfolio Class S2 | | 02/18/2003 | | 9.96% | | 15.51% | | 17.82% | | 10.05% | | 9.38% | |
Russell Midcap®
Growth Index1,3 | | | | 4.18% | | 9.45% | | 18.69% | | 9.69% | | 8.08% | |
Russell Midcap®
Index1,3 | | | | 2.35% | | 6.63% | | 18.23% | | 9.40% | | 9.58% | |
The performance data quoted represent past performance and do not indicate future results. Current performance may be lower or higher than the performance data quoted. For performance data current to the most recent month-end, please visit http://www.nb.com/amtportfolios/performance.
The results shown in the table reflect the reinvestment of income dividends and other distributions, if any. The results do not reflect the effect of taxes a shareholder would pay on Fund distributions or on the redemption of Fund shares. The results do not reflect fees and expenses of the variable annuity and variable life insurance policies or the qualified pension and retirement plans whose proceeds are invested in the Fund.
The investment return and principal value of an investment will fluctuate and shares, when redeemed, may be worth more or less than their original cost.
Returns would have been lower if Neuberger Berman Management LLC (Management) had not reimbursed certain expenses and/or waived a portion of the investment management fees during certain of the periods shown. Repayment by a class (of expenses previously reimbursed and/or fees previously waived by Management) will decrease the class's returns. Please see Note B in the Notes to Financial Statements for specific information regarding expense reimbursement and/or fee waiver arrangements.
As stated in the Fund's most recent prospectus, the total annual operating expense ratios for fiscal year 2014 were 1.00% and 1.25% for Class I and Class S shares, respectively (before expense reimbursements and/or fee waivers, if any). The expense ratios for the semi-annual period ended June 30, 2015 can be found in the Financial Highlights section of this report.
2
1 The date used to calculate Life of Fund performance for the index is November 3, 1997, the inception date of the oldest share class.
2 Performance shown prior to February 18, 2003 for Class S shares is that of Class I shares, which has lower expenses and correspondingly higher returns than Class S shares.
3 The Russell Midcap® Growth Index is a float-adjusted market capitalization-weighted index that measures the performance of the mid-cap growth segment of the U.S. equity market. It includes those Russell Midcap® Index companies with higher price-to-book ratios and higher forecasted growth rates. The index is rebalanced annually in June. The Russell Midcap Index measures the performance of the mid-cap segment of the U.S. equity market, and includes approximately 800 of the smallest securities in the Russell 1000® Index (which measures the performance of the 1,000 largest U.S. public companies based on total market capitalization). The index is rebalanced annually in June. Please note that the indices described in this report do not take into account any fees, expenses or tax consequences of investing in the individual securities that they track, and that investors cannot invest directly in any index. Data about the performance of an index are prepared or obtained by Management and reflect the reinvestment of income dividends and other distributions, if any. The Fund may invest in securities not included in a described index and generally does not invest in all securities included in a described index.
The investments for the Fund are managed by the same portfolio manager(s) who manage(s) one or more other registered funds that have names, investment objectives and investment styles that are similar to those of the Fund. You should be aware that the Fund is likely to differ from those other mutual fund(s) in size, cash flow pattern and tax matters. Accordingly, the holdings and performance of the Fund can be expected to vary from those of the other mutual fund(s).
Shares of the separate Neuberger Berman Advisers Management Trust Portfolios, including the Fund, are not available to the general public. Shares of the Fund may be purchased only by life insurance companies to be held in their separate accounts, which fund variable annuity and variable life insurance policies, and by qualified pension and retirement plans.
Statistics and projections in this report are derived from sources deemed to be reliable but cannot be regarded as a representation of future results of the Fund. This report is prepared for the general information of shareholders and is not an offer of shares of the Fund. Shares are sold only through the currently effective prospectus, which must precede or accompany this report.
The "Neuberger Berman" name and logo are registered service marks of Neuberger Berman Group LLC. "Neuberger Berman Management LLC" and the individual Fund name in this piece are either service marks or registered service marks of Neuberger Berman Management LLC.
© 2015 Neuberger Berman Management LLC, distributor. All rights reserved.
3
Information About Your Fund's Expenses (Unaudited)
As a Fund shareholder, you incur two types of costs: (1) transaction costs such as fees and expenses that are, or may be, imposed under your variable contract or qualified pension plan; and (2) ongoing costs, including management fees, distribution and/or service (12b-1) fees (if applicable), and other Fund expenses. This example is intended to help you understand your ongoing costs (in U.S. dollars) of investing in the Fund and compare these costs with the ongoing costs of investing in other mutual funds.
This table is designed to provide information regarding costs related to your investments. The following examples are based on an investment of $1,000 made at the beginning of the six month period ended June 30, 2015 and held for the entire period. The table illustrates the Fund's costs in two ways:
Actual Expenses and Performance: | | The first section of the table provides information about actual account values and actual expenses in dollars, based on the Fund's actual performance during the period indicated. You may use the information in this line, together with the amount you invested, to estimate the expenses 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 section of the table under the heading entitled "Expenses Paid During the Period" to estimate the expenses you paid over the period. | |
Hypothetical Example for
Comparison Purposes: | | The second section of the table provides information about hypothetical account values and hypothetical expenses based on the Fund's actual expense ratio and an assumed rate of return at 5% per year before expenses. This return 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 this Fund versus other funds. To do so, compare the expenses shown in this 5% hypothetical example with the 5% hypothetical examples that appear in the shareholder reports of other funds. | |
Please note that the expenses in the table are meant to highlight your ongoing costs only and do not include any transaction costs, such as fees and expenses that are, or may be imposed under your variable contract or qualified pension plan. Therefore, the information under the heading "Hypothetical (5% annual return before expenses)" 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 transaction costs were included, your costs would have been higher.
Expense Information as of 6/30/15
NEUBERGER BERMAN ADVISERS MANAGEMENT TRUST MID CAP GROWTH PORTFOLIO
Actual | | Beginning Account
Value
1/1/15 | | Ending Account
Value
6/30/15 | | Expenses Paid
During the Period*
1/1/15 – 6/30/15 | | Expense
Ratio | |
Class I | | $ | 1,000.00 | | | $ | 1,100.80 | | | $ | 5.16 | | | | 0.99 | % | |
Class S | | $ | 1,000.00 | | | $ | 1,099.60 | | | $ | 6.51 | | | | 1.25 | % | |
Hypothetical (5% annual return before expenses)** | |
Class I | | $ | 1,000.00 | | | $ | 1,019.89 | | | $ | 4.96 | | | | 0.99 | % | |
Class S | | $ | 1,000.00 | | | $ | 1,018.60 | | | $ | 6.26 | | | | 1.25 | % | |
* For each class, expenses are equal to the annualized expense ratio for the class, multiplied by the average account value over the period, multiplied by 181/365 (to reflect the one-half year period shown).
** Hypothetical expenses are equal to the annualized expense ratios for each class, multiplied by the average account value over the period (assuming a 5% annual return), multiplied by 181/365 (to reflect the one-half year period shown).
4
Schedule of Investments Mid Cap Growth Portfolio (Unaudited) 6/30/15
NUMBER OF SHARES | | | | VALUE† | |
Common Stocks (93.2%) | | | |
Airlines (1.5%) | | | |
| | 64,500 | | | Alaska Air Group, Inc. | | $ | 4,155,735 | | |
Banks (1.1%) | | | |
| | 20,500 | | | SVB Financial Group | | | 2,951,590 | * | |
Biotechnology (4.7%) | | | |
| | 42,000 | | | Alkermes PLC | | | 2,702,280 | * | |
| | 21,500 | | | BioMarin Pharmaceutical, Inc. | | | 2,940,770 | * | |
| | 27,500 | | | Incyte Corp. | | | 2,865,775 | * | |
| | 8,000 | | | Receptos, Inc. | | | 1,520,400 | * | |
| | 15,500 | | | United Therapeutics Corp. | | | 2,696,225 | * | |
| | | | 12,725,450 | | |
Capital Markets (3.3%) | | | |
| | 17,000 | | | Affiliated Managers Group, Inc. | | | 3,716,200 | * | |
| | 79,000 | | | E*TRADE Financial Corp. | | | 2,366,050 | * | |
| | 47,500 | | | Raymond James Financial, Inc. | | | 2,830,050 | | |
| | | | 8,912,300 | | |
Chemicals (0.5%) | | | |
| | 19,500 | | | Sensient Technologies Corp. | | | 1,332,630 | | |
Commercial Services & Supplies (1.3%) | | | |
| | 25,500 | | | Stericycle, Inc. | | | 3,414,705 | * | |
Communications Equipment (2.5%) | | | |
| | 17,000 | | | F5 Networks, Inc. | | | 2,045,950 | * | |
| | 45,000 | | | Infinera Corp. | | | 944,100 | * | |
| | 22,500 | | | Palo Alto Networks, Inc. | | | 3,930,750 | * | |
| | | | 6,920,800 | | |
Containers & Packaging (1.0%) | | | |
| | 42,500 | | | Packaging Corp. of America | | | 2,655,825 | | |
Distributors (1.1%) | | | |
| | 95,000 | | | LKQ Corp. | | | 2,873,275 | * | |
Diversified Consumer Services (0.7%) | | | |
| | 62,000 | | | Service Corp. International | | | 1,824,660 | | |
Diversified Financial Services (0.8%) | | | |
| | 39,000 | | | CBOE Holdings, Inc. | | | 2,231,580 | | |
NUMBER OF SHARES | | | | VALUE† | |
Electrical Equipment (2.4%) | | | |
| | 17,000 | | | Acuity Brands, Inc. | | $ | 3,059,660 | | |
| | 64,000 | | | AMETEK, Inc. | | | 3,505,920 | | |
| | | | 6,565,580 | | |
Electronic Equipment, Instruments &
Components (2.8%) | | | |
| | 45,000 | | | Amphenol Corp. Class A | | | 2,608,650 | | |
| | 67,000 | | | CDW Corp. | | | 2,296,760 | | |
| 25,500 | | | Zebra Technologies
Corp. Class A | | | 2,831,775 | * | |
| | | | 7,737,185 | | |
Food & Staples Retailing (0.9%) | | | |
| | 290,000 | | | Rite Aid Corp. | | | 2,421,500 | * | |
Food Products (2.4%) | | | |
| | 11,000 | | | Bunge Ltd. | | | 965,800 | | |
| | 50,000 | | | Pinnacle Foods, Inc. | | | 2,277,000 | | |
| | 65,500 | | | WhiteWave Foods Co. | | | 3,201,640 | * | |
| | | | 6,444,440 | | |
Health Care Equipment & Supplies (2.8%) | | | |
| | 11,900 | | | Cooper Cos., Inc. | | | 2,117,843 | | |
| | 23,500 | | | Teleflex, Inc. | | | 3,183,075 | | |
| | 88,500 | | | Wright Medical Group, Inc. | | | 2,324,010 | * | |
| | | | 7,624,928 | | |
Health Care Providers & Services (5.3%) | | | |
| | 61,500 | | | Acadia Healthcare Co., Inc. | | | 4,817,295 | * | |
| 95,000 | | | Envision Healthcare
Holdings, Inc. | | | 3,750,600 | * | |
| | 31,000 | | | Quest Diagnostics, Inc. | | | 2,248,120 | | |
| 25,000 | | | Universal Health Services,
Inc. Class B | | | 3,552,500 | | |
| | | | 14,368,515 | | |
Health Care Technology (1.3%) | | | |
| | 35,500 | | | Cerner Corp. | | | 2,451,630 | * | |
| | 42,500 | | | Veeva Systems, Inc. Class A | | | 1,191,275 | * | |
| | | | 3,642,905 | | |
Hotels, Restaurants & Leisure (2.0%) | | | |
| | 69,500 | | | Bloomin' Brands, Inc. | | | 1,483,825 | | |
| | 11,500 | | | Buffalo Wild Wings, Inc. | | | 1,801,935 | * | |
| 40,750 | | | Norwegian Cruise Line
Holdings Ltd. | | | 2,283,630 | * | |
| | | | 5,569,390 | | |
See Notes to Schedule of Investments
5
Schedule of Investments Mid Cap Growth Portfolio (Unaudited) (cont'd)
NUMBER OF SHARES | | | | VALUE† | |
Household Durables (0.7%) | | | |
| | 39,500 | | | Jarden Corp. | | $ | 2,044,125 | * | |
Independent Power and Renewable
Electricity Producers (0.7%) | | | |
| | 62,000 | | | Dynegy, Inc. | | | 1,813,500 | * | |
Industrial Conglomerates (1.5%) | | | |
| | 23,500 | | | Roper Technologies, Inc. | | | 4,052,810 | | |
Insurance (0.7%) | | | |
| | 27,500 | | | Assurant, Inc. | | | 1,842,500 | | |
Internet & Catalog Retail (1.3%) | | | |
| 67,000 | | | Liberty Interactive Corp.
QVC Group Class A | | | 1,859,250 | * | |
| | 2,700 | | | Netflix, Inc. | | | 1,773,738 | * | |
| | | | 3,632,988 | | |
Internet Software & Services (2.8%) | | | |
| | 35,000 | | | Akamai Technologies, Inc. | | | 2,443,700 | * | |
| | 13,500 | | | CoStar Group, Inc. | | | 2,717,010 | * | |
| | 34,000 | | | Demandware, Inc. | | | 2,416,720 | * | |
| | | | 7,577,430 | | |
IT Services (3.2%) | | | |
| | 14,000 | | | Alliance Data Systems Corp. | | | 4,087,160 | * | |
| | 25,500 | | | Fiserv, Inc. | | | 2,112,165 | * | |
| | 16,000 | | | FleetCor Technologies, Inc. | | | 2,496,960 | * | |
| | | | 8,696,285 | | |
Leisure Products (0.8%) | | | |
| | 14,500 | | | Polaris Industries, Inc. | | | 2,147,595 | | |
Life Sciences Tools & Services (1.1%) | | | |
| | 13,500 | | | Illumina, Inc. | | | 2,947,860 | * | |
Machinery (1.9%) | | | |
| | 39,500 | | | Milacron Holdings Corp. | | | 777,360 | * | |
| | 28,000 | | | PACCAR, Inc. | | | 1,786,680 | | |
| | 26,500 | | | Wabtec Corp. | | | 2,497,360 | | |
| | | | 5,061,400 | | |
Media (1.3%) | | | |
| 11,500 | | | Charter Communications,
Inc. Class A | | | 1,969,375 | * | |
| | 35,500 | | | Starz Class A | | | 1,587,560 | * | |
| | | | 3,556,935 | | |
NUMBER OF SHARES | | | | VALUE† | |
Multiline Retail (2.3%) | | | |
| | 51,000 | | | Burlington Stores, Inc. | | $ | 2,611,200 | * | |
| | 39,000 | | | Dollar Tree, Inc. | | | 3,080,610 | * | |
| | 60,000 | | | Tuesday Morning Corp. | | | 675,900 | * | |
| | | | 6,367,710 | | |
Oil, Gas & Consumable Fuels (2.1%) | | | |
| | 37,500 | | | Antero Resources Corp. | | | 1,287,750 | * | |
| | 62,000 | | | Cabot Oil & Gas Corp. | | | 1,955,480 | | |
| | 22,000 | | | Concho Resources, Inc. | | | 2,504,920 | * | |
| | | | 5,748,150 | | |
Pharmaceuticals (3.8%) | | | |
| | 40,000 | | | Akorn, Inc. | | | 1,746,400 | * | |
| | 37,000 | | | Endo International PLC | | | 2,947,050 | * | |
| | 14,500 | | | Jazz Pharmaceuticals PLC | | | 2,553,015 | * | |
| | 16,500 | | | Mylan NV | | | 1,119,690 | * | |
| | 42,500 | | | Zoetis, Inc. | | | 2,049,350 | | |
| | | | 10,415,505 | | |
Professional Services (1.3%) | | | |
| | 39,000 | | | Nielsen NV | | | 1,746,030 | | |
| | 47,500 | | | WageWorks, Inc. | | | 1,921,375 | * | |
| | | | 3,667,405 | | |
Real Estate Management &
Development (1.1%) | | | |
| | 18,000 | | | Jones Lang LaSalle, Inc. | | | 3,078,000 | | |
Road & Rail (1.5%) | | | |
| 22,500 | | | J.B. Hunt Transport
Services, Inc. | | | 1,847,025 | | |
| 33,500 | | | Old Dominion Freight
Line, Inc. | | | 2,298,267 | * | |
| | | | 4,145,292 | | |
Semiconductors & Semiconductor
Equipment (5.5%) | | | |
| | 20,000 | | | Avago Technologies Ltd. | | | 2,658,600 | | |
| | 42,500 | | | Cavium, Inc. | | | 2,924,425 | * | |
| | 29,500 | | | Lam Research Corp. | | | 2,399,825 | | |
| 39,500 | | | Monolithic Power
Systems, Inc. | | | 2,003,045 | | |
| | 31,000 | | | NXP Semiconductors NV | | | 3,044,200 | * | |
| | 67,000 | | | SunEdison, Inc. | | | 2,003,970 | * | |
| | | | 15,034,065 | | |
See Notes to Schedule of Investments
6
Schedule of Investments Mid Cap Growth Portfolio (Unaudited) (cont'd)
NUMBER OF SHARES | | | | VALUE† | |
Software (6.7%) | | | |
| | 67,000 | | | Activision Blizzard, Inc. | | $ | 1,622,070 | | |
| | 34,000 | | | Electronic Arts, Inc. | | | 2,261,000 | * | |
| | 45,000 | | | Fortinet, Inc. | | | 1,859,850 | * | |
| | 31,000 | | | Mobileye NV | | | 1,648,270 | * | |
| | 42,500 | | | ServiceNow, Inc. | | | 3,158,175 | * | |
| | 21,000 | | | Splunk, Inc. | | | 1,462,020 | * | |
| | 59,000 | | | Synchronoss Technologies, Inc. | | | 2,698,070 | * | |
| | 16,900 | | | Tableau Software, Inc. Class A | | | 1,948,570 | * | |
| | 9,500 | | | Ultimate Software Group, Inc. | | | 1,561,230 | * | |
| | | | 18,219,255 | | |
Specialty Retail (6.7%) | | | |
| | 25,500 | | | Lithia Motors, Inc. Class A | | | 2,885,580 | | |
| | 21,100 | | | O'Reilly Automotive, Inc. | | | 4,768,178 | * | |
| | 55,500 | | | Ross Stores, Inc. | | | 2,697,855 | | |
| | 14,500 | | | Signet Jewelers Ltd. | | | 1,859,480 | | |
| | 37,000 | | | Tractor Supply Co. | | | 3,327,780 | | |
| | 33,500 | | | Williams-Sonoma, Inc. | | | 2,756,045 | | |
| | | | 18,294,918 | | |
Textiles, Apparel & Luxury Goods (4.4%) | | | |
| | 26,500 | | | Carter's, Inc. | | | 2,816,950 | | |
| | 122,000 | | | Hanesbrands, Inc. | | | 4,065,040 | | |
| | 20,500 | | | Lululemon Athletica, Inc. | | | 1,338,650 | * | |
| | 44,500 | | | Under Armour, Inc. Class A | | | 3,713,080 | * | |
| | | | 11,933,720 | | |
Trading Companies & Distributors (0.6%) | | | |
| | 20,000 | | | United Rentals, Inc. | | | 1,752,400 | * | |
Wireless Telecommunication
Services (2.8%) | | | |
| 39,000 | | | SBA Communications
Corp. Class A | | | 4,483,830 | * | |
| | 84,000 | | | T-Mobile US, Inc. | | | 3,256,680 | * | |
| | | | 7,740,510 | | |
| | | | Total Common Stocks
(Cost $183,290,025) | | | 254,143,351 | | |
NUMBER OF SHARES | | | | VALUE† | |
Exchange Traded Funds (0.9%) | | | |
| 25,000
| | | iShares Russell Mid-Cap
Growth ETF
(Cost $2,319,417) | | $ | 2,421,250
| | |
Short-Term Investments (5.6%) | | | |
| 15,220,531
| | | State Street Institutional
Liquid Reserves Fund
Premier Class
(Cost $15,220,531) | | | 15,220,531
| | |
| | | | | Total Investments (99.7%)
(Cost $200,829,973) | | | 271,785,132
| ## | |
| | | | | Cash, receivables and other assets,
less liabilities (0.3%) | | | 774,429
| | |
| | | | | Total Net Assets (100.0%) | | $ | 272,559,561 | | |
See Notes to Schedule of Investments
7
Notes to Schedule of Investments Mid Cap Growth Portfolio (Unaudited)
† In accordance with Accounting Standards Codification ("ASC") 820 "Fair Value Measurement" ("ASC 820"), all investments held by Neuberger Berman Advisers Management Trust Mid Cap Growth Portfolio (the "Fund") are carried at the value that Neuberger Berman Management LLC ("Management") believes the Fund would receive upon selling an investment in an orderly transaction to an independent buyer in the principal or most advantageous market for the investment under current market conditions. Various inputs, including the volume and level of activity for the asset or liability in the market, are considered in valuing the Fund's investments, some of which are discussed below. Significant management judgment may be necessary to value investments in accordance with ASC 820.
ASC 820 established a three-tier hierarchy of inputs to create a classification of value measurements for disclosure purposes. The three-tier hierarchy of inputs is summarized in the three broad Levels listed below.
• Level 1 – quoted prices in active markets for identical investments
• Level 2 – other observable inputs (including quoted prices for similar investments, interest rates, prepayment speeds, credit risk, amortized cost, etc.)
• Level 3 – unobservable inputs (including the Fund's own assumptions in determining the fair value of investments)
The inputs or methodology used for valuing an investment are not necessarily an indication of the risk associated with investing in those securities.
The value of the Fund's investments in equity securities and exchange traded funds, for which market quotations are readily available, is generally determined by Management by obtaining valuations from an independent pricing service based on the latest sale price quoted on a principal exchange or market for that security (Level 1 inputs). Securities traded primarily on the NASDAQ Stock Market are normally valued at the NASDAQ Official Closing Price ("NOCP") provided by NASDAQ each business day. The NOCP is the most recently reported price as of 4:00:02 p.m., Eastern time, unless that price is outside the range of the "inside" bid and asked prices (i.e., the bid and asked prices that dealers quote to each other when trading for their own accounts); in that case, NASDAQ will adjust the price to equal the inside bid or asked price, whichever is closer. Because of delays in reporting trades, the NOCP may not be based on the price of the last trade to occur before the market closes. If there is no reported sale of a security on a particular day, the independent pricing service may value the security based on reported market quotations.
Management has developed a process to periodically review information provided by independent pricing services for all types of securities.
Investments in investment companies, with the exception of closed-end funds, if any, are valued using the respective fund's daily calculated net asset value per share (Level 2 inputs).
If a valuation is not available from an independent pricing service, or if Management has reason to believe that the valuation received does not represent the amount the Fund might reasonably expect to receive on a current sale in an orderly transaction, Management seeks to obtain quotations from brokers or dealers (generally considered Level 2 or Level 3 inputs depending on the number of quotes available). If such quotations are not readily available, the security is valued using methods the Neuberger Berman Advisers Management Trust's Board of Trustees (the "Board") has approved in the good-faith belief that the resulting valuation will reflect the fair value of the security. Numerous factors may be considered when determining the fair value of a security based on Level 2 or Level 3 inputs, including available analyst, media or other reports, trading in futures or American Depositary Receipts ("ADRs") and whether the issuer of the security being fair valued has other securities outstanding.
See Notes to Financial Statements
8
Notes to Schedule of Investments Mid Cap Growth Portfolio (Unaudited) (cont'd)
The value of the Fund's investments in foreign securities is generally determined using the same valuation methods and inputs as other Fund investments, as discussed above. Foreign security prices expressed in local currency values are translated from the local currency into U.S. dollars using the exchange rates as of the end of regular trading on the New York Stock Exchange ("NYSE") on business days, usually 4:00 p.m., Eastern time. The Board has approved the use of Interactive Data Pricing and Reference Data, Inc. ("Interactive") to assist in determining the fair value of foreign equity securities when changes in the value of a certain index suggest that the closing prices on the foreign exchanges may no longer represent the amount that the Fund could expect to receive for those securities or on days when foreign markets are closed and U.S. markets are open. In each of these events, Interactive will provide adjusted prices for certain foreign equity securities using a statistical analysis of historical correlations of multiple factors (Level 2 inputs). In the absence of precise information about the market values of these foreign securities as of the close of the NYSE, the Board has determined on the basis of available data that prices adjusted in this way are likely to be closer to the prices the Fund could realize on a current sale than are the prices of those securities established at the close of the foreign markets in which the securities primarily trade.
Fair value prices are necessarily estimates, and there is no assurance that such a price will be at or close to the price at which the security is next quoted or next trades.
The following is a summary, categorized by Level, of inputs used to value the Fund's investments as of June 30, 2015:
Asset Valuation Inputs | | Level 1 | | Level 2 | | Level 3 | | Total | |
Investments: | |
Common Stocks^ | | $ | 254,143,351 | | | $ | — | | | $ | — | | | $ | 254,143,351 | | |
Exchange Traded Funds | | | 2,421,250 | | | | — | | | | — | | | | 2,421,250 | | |
Short-Term Investments | | | — | | | | 15,220,531 | | | | — | | | | 15,220,531 | | |
Total Investments | | $ | 256,564,601 | | | $ | 15,220,531 | | | $ | — | | | $ | 271,785,132 | | |
^ The Schedule of Investments provides information on the industry categorization for the portfolio.
As of the six months ended June 30, 2015, no securities were transferred from one level (as of December 31, 2014) to another.
## At June 30, 2015, the cost of investments for U.S. federal income tax purposes was $200,856,503. Gross unrealized appreciation of investments was $73,112,083 and gross unrealized depreciation of investments was $2,183,454, resulting in net unrealized appreciation of $70,928,629, based on cost for U.S. federal income tax purposes.
* Security did not produce income during the last twelve months.
See Notes to Financial Statements
9
Statement of Assets and Liabilities (Unaudited)
Neuberger Berman Advisers Management Trust
| | | MID CAP
GROWTH
PORTFOLIO | |
| | | June 30, 2015 | |
Assets | |
Investments in securities, at value* (Note A)—see Schedule of Investments: | |
Unaffiliated issuers | | $ | 271,785,132 | | |
Dividends and interest receivable | | | 65,385 | | |
Receivable for securities sold | | | 1,320,356 | | |
Receivable for Fund shares sold | | | 625,853 | | |
Prepaid expenses and other assets | | | 2,453 | | |
Total Assets | | | 273,799,179 | | |
Liabilities | |
Payable for securities purchased | | | 907,991 | | |
Payable for Fund shares redeemed | | | 16,405 | | |
Payable to investment manager (Note B) | | | 121,183 | | |
Payable to administrator (Note B) | | | 105,339 | | |
Payable to trustees | | | 7,154 | | |
Accrued expenses and other payables | | | 81,546 | | |
Total Liabilities | | | 1,239,618 | | |
Net Assets | | $ | 272,559,561 | | |
Net Assets consist of: | |
Paid-in capital | | $ | 162,143,347 | | |
Undistributed net investment income (loss) | | | (911,638 | ) | |
Accumulated net realized gains (losses) on investments | | | 40,372,693 | | |
Net unrealized appreciation (depreciation) in value of investments | | | 70,955,159 | | |
Net Assets | | $ | 272,559,561 | | |
Net Assets | |
Class I | | $ | 78,455,944 | | |
Class S | | | 194,103,617 | | |
Shares Outstanding ($.001 par value; unlimited shares authorized) | |
Class I | | | 2,908,941 | | |
Class S | | | 7,610,284 | | |
Net Asset Value, offering and redemption price per share | |
Class I | | $ | 26.97 | | |
Class S | | | 25.51 | | |
*Cost of Investments | | $ | 200,829,973 | | |
See Notes to Financial Statements
10
Statement of Operations (Unaudited)
Neuberger Berman Advisers Management Trust
| | | MID CAP
GROWTH
PORTFOLIO | |
| | | For the
Six Months Ended
June 30, 2015 | |
Investment Income: | |
Income (Note A): | |
Dividend income—unaffiliated issuers | | $ | 484,868 | | |
Interest income—unaffiliated issuers | | | 7,548 | | |
Foreign taxes withheld (Note A) | | | (2,398 | ) | |
Total income | | $ | 490,018 | | |
Expenses: | |
Investment management fees (Note B) | | | 660,367 | | |
Administration fees (Note B): | |
Class I | | | 111,017 | | |
Class S | | | 249,466 | | |
Distribution fees (Note B): | |
Class S | | | 207,888 | | |
Audit fees | | | 22,481 | | |
Custodian and accounting fees | | | 45,599 | | |
Insurance expense | | | 2,889 | | |
Legal fees | | | 67,467 | | |
Repayment to Management of expenses previously assumed by Management (Note B) | | | 6,663 | | |
Shareholder reports | | | 8,126 | | |
Trustees' fees and expenses | | | 16,032 | | |
Miscellaneous | | | 3,661 | | |
Total net expenses | | | 1,401,656 | | |
Net investment income (loss) | | $ | (911,638 | ) | |
Realized and Unrealized Gain (Loss) on Investments (Note A): | |
Net realized gain (loss) on: | |
Sales of investment securities of unaffiliated issuers | | | 13,914,065 | | |
Change in net unrealized appreciation (depreciation) in value of: | |
Unaffiliated investment securities | | | 9,203,962 | | |
Net gain (loss) on investments | | | 23,118,027 | | |
Net increase (decrease) in net assets resulting from operations | | $ | 22,206,389 | | |
See Notes to Financial Statements
11
Statements of Changes in Net Assets
Neuberger Berman Advisers Management Trust
| | | MID CAP GROWTH PORTFOLIO | |
| | | Six Months Ended
June 30,
2015
(Unaudited) | | Year Ended
December 31,
2014 | |
Increase (Decrease) in Net Assets: | |
From Operations: | |
Net investment income (loss) (Note A) | | $ | (911,638 | ) | | $ | (1,390,824 | ) | |
Net realized gain (loss) on investments (Note A) | | | 13,914,065 | | | | 26,382,947 | | |
Net increase from payments by affiliates (Note B) | | | — | | | | 5,113 | | |
Change in net unrealized appreciation (depreciation) of investments (Note A) | | | 9,203,962 | | | | (10,129,270 | ) | |
Net increase (decrease) in net assets resulting from operations | | | 22,206,389 | | | | 14,867,966 | | |
Distributions to Shareholders From (Note A): | |
Net realized gain on investments: | |
Class I | | | — | | | | (27,830,874 | ) | |
Class S | | | — | | | | (58,724,209 | ) | |
Total distributions to shareholders | | | — | | | | (86,555,083 | ) | |
From Fund Share Transactions (Note D): | |
Proceeds from shares sold: | |
Class I | | | 7,171,942 | | | | 8,025,034 | | |
Class S | | | 32,924,532 | | | | 19,854,027 | | |
Proceeds from reinvestment of dividends and distributions: | |
Class I | | | — | | | | 27,830,874 | | |
Class S | | | — | | | | 58,724,209 | | |
Payments for shares redeemed: | |
Class I | | | (5,386,260 | ) | | | (11,932,657 | ) | |
Class S | | | (3,312,873 | ) | | | (8,259,756 | ) | |
Net increase (decrease) from Fund share transactions | | | 31,397,341 | | | | 94,241,731 | | |
Net Increase (Decrease) in Net Assets | | | 53,603,730 | | | | 22,554,614 | | |
Net Assets: | |
Beginning of period | | | 218,955,831 | | | | 196,401,217 | | |
End of period | | $ | 272,559,561 | | | $ | 218,955,831 | | |
Undistributed net investment income (loss) at end of period | | $ | (911,638 | ) | | $ | — | | |
See Notes to Financial Statements
12
Notes to Financial Statements Mid Cap Growth Portfolio (Unaudited)
Note A—Summary of Significant Accounting Policies:
1 General: Neuberger Berman Advisers Management Trust (the "Trust") is a Delaware statutory trust organized pursuant to an Amended and Restated Trust Instrument dated March 27, 2014. The Trust is currently comprised of eleven separate operating series (each individually a "Fund," and collectively the "Funds") each of which is diversified. The Trust is registered as an open-end management investment company under the Investment Company Act of 1940, as amended (the "1940 Act"), and its shares are registered under the Securities Act of 1933, as amended. The Fund currently offers Class I and Class S shares. The Board may establish additional series or classes of shares without the approval of shareholders.
The assets of each Fund belong only to that Fund, and the liabilities of each Fund are borne solely by that Fund and no other.
The Fund is an investment company and accordingly follows the investment company accounting and reporting guidance of the Financial Accounting Standards Board (FASB) Accounting Standard Codification Topic 946 "Financial Services—Investment Companies."
The preparation of financial statements in accordance with U.S. generally accepted accounting principles ("GAAP") requires Management to make estimates and assumptions at the date of the financial statements. Actual results could differ from those estimates.
Shares of the Fund are not available to the general public and may be purchased only by life insurance companies to be held in their separate accounts, which fund variable annuity and variable life insurance policies, and by qualified pension and retirement plans.
2 Portfolio valuation: Investment securities are valued as indicated in the notes following the Schedule of Investments.
3 Foreign currency translation: The accounting records of the Fund are maintained in U.S. dollars. Foreign currency amounts are translated into U.S. dollars using the exchange rate as of the end of regular trading on the NYSE on business days, usually 4:00 p.m. Eastern time, to determine the value of investments, other assets and liabilities. Purchase and sale prices of securities, and income and expenses, are translated into U.S. dollars at the prevailing rate of exchange on the respective dates of such transactions. Net unrealized foreign currency gain (loss), if any, arises from changes in the value of assets and liabilities, other than investments in securities, as a result of changes in exchange rates and is stated separately in the Statement of Operations.
4 Securities transactions and investment income: Securities transactions are recorded on trade date for financial reporting purposes. Dividend income is recorded on the ex-dividend date or, for certain foreign dividends, as soon as the Fund becomes aware of the dividends. Non-cash dividends included in dividend income, if any, are recorded at the fair market value of the securities received. Interest income, including accretion of original issue discount, where applicable, and accretion of discount on short-term investments, if any, is recorded on the accrual basis. Realized gains and losses from securities transactions and foreign currency transactions, if any, are recorded on the basis of identified cost and stated separately in the Statement of Operations. Included in net realized gain (loss) on investments are proceeds from the settlements of class action litigation in which the Fund participated as a class member. The amount of such proceeds for the six months ended June 30, 2015 was $76,892.
5 Income tax information: Each Fund is treated as a separate entity for U.S. federal income tax purposes. It is the policy of the Fund to continue to qualify for treatment as a regulated investment company ("RIC") by complying with the requirements of the U.S. Internal Revenue Code applicable to RICs and to distribute substantially all of its net investment income and net realized capital gains to its shareholders. To the extent the Fund distributes
13
substantially all of its net investment income and net realized capital gains to shareholders, no federal income or excise tax provision is required.
The Fund has adopted the provisions of ASC 740 "Income Taxes" ("ASC 740"). ASC 740 sets forth a minimum threshold for financial statement recognition of a tax position taken, or expected to be taken, in a tax return. The Fund recognizes interest and penalties, if any, related to unrecognized tax positions as an income tax expense in the Statement of Operations. The Fund is subject to examination by U.S. federal and state tax authorities for returns filed for the tax years for which the applicable statutes of limitations have not yet expired. As of June 30, 2015, the Fund did not have any unrecognized tax positions.
Income distributions and capital gain distributions are determined in accordance with income tax regulations, which may differ from GAAP. These differences are primarily due to differing treatments of income and gains on various investment securities held by the Fund, timing differences and differing characterization of distributions made by the Fund. The Fund may also utilize earnings and profits distributed to shareholders on redemption of shares as a part of the dividends-paid deduction for income tax purposes.
As determined on December 31, 2014, permanent differences resulting primarily from different book and tax accounting were reclassified at year end. Such differences are attributed to the tax treatment of: net operating losses and non-real estate investment trusts return of capital adjustments. These reclassifications had no effect on net income, net asset value ("NAV") or NAV per share of the Fund. For the year ended December 31, 2014, the Fund recorded the following permanent reclassifications:
Paid-in Capital | | Undistributed
Net Investment
Income (Loss) | | Accumulated
Net Realized
Gains (Losses)
on Investments | |
$ | (1,432,348 | ) | | $ | 1,390,824 | | | $ | 41,524 | | |
The tax character of distributions paid during the years ended December 31, 2014 and December 31, 2013 was as follows:
| | | Distributions Paid From: | | | |
Ordinary Income | | Long-Term Capital Gain | | Total | |
| 2014 | | 2013 | | 2014 | | 2013 | | 2014 | | 2013 | |
| $ | — | | | $ | — | | | $ | 86,555,083 | | | $ | — | | | $ | 86,555,083 | | | $ | — | | |
As of December 31, 2014, the components of distributable earnings (accumulated losses) on a U.S. federal income tax basis were as follows:
Undistributed
Long-Term
Capital Gain | | Unrealized
Appreciation
(Depreciation) | | Loss
Carryforwards
and Deferrals | | Other
Temporary
Differences | | Total | |
| $ | 26,471,943 | | | $ | 61,737,882 | | | $ | — | | | $ | — | | | $ | 88,209,825 | | |
The difference between book basis and tax basis distributable earnings is primarily due to losses disallowed and recognized on wash sales.
6 Distributions to shareholders: The Fund may earn income, net of expenses, daily on its investments. Distributions from net investment income and net realized capital gains, if any, generally are distributed once a year (usually in October). Income distributions and capital gain distributions to shareholders are recorded on the ex-date.
7 Foreign taxes: Foreign taxes withheld, if any, represent amounts withheld by foreign tax authorities, net of refunds recoverable.
14
8 Expense allocation: Certain expenses are applicable to multiple funds within the complex of related investment companies. Expenses directly attributable to a Fund are charged to that Fund. Expenses of the Trust that are not directly attributable to a particular series of the Trust (e.g., the Fund) are allocated among the series of the Trust, on the basis of relative net assets, except where a more appropriate allocation of expenses to each of the series can otherwise be made fairly. Expenses borne by the complex of related investment companies, which includes open-end and closed-end investment companies for which Management serves as investment manager, that are not directly attributable to a particular investment company in the complex (e.g., the Trust) or series thereof are allocated among the investment companies in the complex or series thereof on the basis of relative net assets, except where a more appropriate allocation of expenses to each of the investment companies in the complex or series thereof can otherwise be made fairly. The Fund's expenses (other than those specific to each class) are allocated proportionally each day among the classes based upon the relative net assets of each class.
9 Investments in foreign securities: Investing in foreign securities may involve certain sovereign and other risks, in addition to the credit and market risks normally associated with domestic securities. These additional risks include the possibility of adverse political and economic developments (including political instability, nationalization, expropriation, or confiscatory taxation) and the potentially adverse effects of unavailability of public information regarding issuers, less governmental supervision and regulation of financial markets, reduced liquidity of certain financial markets, and the lack of uniform accounting, auditing, and financial reporting standards or the application of standards that are different or less stringent than those applied in the United States. Foreign securities also may experience greater price volatility, higher rates of inflation, and delays in settlement.
10 Indemnifications: Like many other companies, the Trust's organizational documents provide that its officers ("Officers") and trustees ("Trustees") are indemnified against certain liabilities arising out of the performance of their duties to the Trust. In addition, both in some of its principal service contracts and in the normal course of its business, the Trust enters into contracts that provide indemnifications to other parties for certain types of losses or liabilities. The Trust's maximum exposure under these arrangements is unknown as this could involve future claims against the Trust.
11 Other: All net investment income and realized and unrealized capital gains and losses of the Fund are allocated, on the basis of relative net assets, pro rata among its respective classes.
Note B—Investment Management Fees, Administration Fees, Distribution Arrangements, and Other Transactions with Affiliates:
The Fund retains Management as its investment manager under an Investment Management Agreement. For such investment management services, the Fund pays Management a fee at the annual rate of 0.55% of the first $250 million of the Fund's average daily net assets, 0.525% of the next $250 million, 0.50% of the next $250 million, 0.475% of the next $250 million, 0.45% of the next $500 million, 0.425% of the next $2.5 billion, and 0.40% of average daily net assets in excess of $4 billion. Accordingly, for the six months ended June 30, 2015, the investment management fee pursuant to the Investment Management Agreement was equivalent to an annual effective rate of 0.55% of the Fund's average daily net assets.
The Fund retains Management as its administrator under an Administration Agreement. Each class pays Management an administration fee at the annual rate of 0.30% of its average daily net assets under this agreement. Additionally, Management retains State Street Bank and Trust Company ("State Street") as its sub-administrator under a Sub-Administration Agreement. Management pays State Street a fee for all services received under this agreement.
The Board adopted a non-fee distribution plan for the Fund's Class I.
For the Fund's Class S, Management acts as agent in arranging for the sale of class shares without commission and bears advertising and promotion expenses. The Board has adopted a distribution plan (the "Plan") with respect to this class, pursuant to Rule 12b-1 under the 1940 Act. The Plan provides that, as compensation for administrative
15
and other services provided to this class, Management's activities and expenses related to the sale and distribution of this class, and ongoing services provided to investors in this class, Management receives from this class a fee at the annual rate of 0.25% of Class S's average daily net assets. Management receives this amount to provide distribution and shareholder servicing for this class and pays a portion of it to institutions that provide such services. Those institutions may use the payments for, among other purposes, compensating employees engaged in sales and/or shareholder servicing. The amount of fees paid by this class during any year may be more or less than the cost of distribution and other services provided to this class. FINRA rules limit the amount of annual distribution fees that may be paid by a mutual fund and impose a ceiling on the cumulative distribution fees paid. The Trust's Plan complies with those rules.
Management has contractually undertaken to waive fees and/or reimburse the Fund's Class I and Class S shares for their total annual operating expenses (including fees payable to Management for the Fund's Class S shares but excluding such fees payable for the Fund's Class I shares and excluding, for each class, interest, taxes, brokerage commissions, dividend and interest expenses relating to short sales, acquired fund fees and expenses, extraordinary expenses and transaction costs, if any; consequently, net expenses may exceed the contractual expense limitations) ("Operating Expenses") which exceed the expense limitations as detailed in the following table. Each respective class has agreed to repay Management for fees and expenses waived and/or its excess Operating Expenses previously reimbursed by Management, so long as its annual Operating Expenses during that period do not exceed its contractual expense limitation in place at the time the fees and expenses were waived or reimbursed, or the expense limitation in place at the time the Fund repays Management, whichever is lower. Any such repayment must be made within three years after the year in which Management incurred the expense.
During the six months ended June 30, 2015, the Fund's Class S shares repaid Management $6,663, under its contractual expense limitation.
At June 30, 2015, the Fund's contingent liabilities to Management under its contractual expense limitation were as follows:
| | | | | | | Expenses Reimbursed in
Fiscal Year Ending December 31, | |
| | | | | | | 2012 | | 2013 | | 2014 | | 2015 | |
| | | | | | | Subject to Repayment Until December 31, | |
| | | Contractual
Expense
Limitation(1) | | Expiration | | 2015 | | 2016 | | 2017 | | 2018 | |
Class I | | | 1.00 | % | | 12/31/18 | | $ | — | | | $ | — | | | $ | — | | | $ | — | | |
Class S | | | 1.25 | % | | 12/31/18 | | | — | | | | — | | | | — | | | | — | | |
(1) Expense limitation per annum of the respective class's average daily net assets.
Neuberger Berman LLC ("Neuberger") is retained by Management pursuant to a Sub-Advisory Agreement to furnish it with investment recommendations and research information without added cost to the Fund. Several individuals who are Officers and/or Trustees of the Trust are also employees of Neuberger and/or Management.
On June 3, 2014, Management made a voluntary contribution of $5,113 to the Fund in connection with a payment matter related to the Fund's investment in a State Street money market fund.
Note C—Securities Transactions:
During the six months ended June 30, 2015, there were purchase and sale transactions (excluding short-term securities) of $85,035,263 and $57,434,200, respectively.
During the six months ended June 30, 2015, no brokerage commissions on securities transactions were paid to affiliated brokers.
16
Note D—Fund Share Transactions:
Share activity for the six months ended June 30, 2015 and for the year ended December 31, 2014 was as follows:
For the Six Months Ended June 30, 2015
| | | Shares Sold | | Shares Issued on
Reinvestment of
Dividends and
Distributions | | Shares
Redeemed | | Total | |
Class I | | | 275,435 | | | | — | | | | (207,851 | ) | | | 67,584 | | |
Class S | | | 1,313,393 | | | | — | | | | (139,718 | ) | | | 1,173,675 | | |
For the Year Ended December 31, 2014
| | | Shares Sold | | Shares Issued on
Reinvestment of
Dividends and
Distributions | | Shares
Redeemed | | Total | |
Class I | | | 231,678 | | | | 1,280,758 | | | | (340,541 | ) | | | 1,171,895 | | |
Class S | | | 612,943 | | | | 2,852,074 | | | | (228,435 | ) | | | 3,236,582 | | |
Note E—Lines of Credit:
At June 30, 2015, the Fund was a participant in a syndicated committed, unsecured $700,000,000 line of credit (the "Credit Facility"), to be used only for temporary or emergency purposes. Other investment companies managed by Management also participate in this line of credit on the same terms. Under the terms of the Credit Facility, the Fund has agreed to pay its pro rata share of the annual commitment fee, based on the ratio of its individual net assets to the net assets of all participants at the time the fee is due and payable, and interest charged on any borrowing made by the Fund and other costs incurred by the Fund. Because several mutual funds participate in the Credit Facility, there is no assurance that the Fund will have access to all or any part of the $700,000,000 at any particular time. There were no loans outstanding under the Credit Facility at June 30, 2015. During the period from January 9, 2015 (the commencement date of the Credit Facility) through June 30, 2015, the Fund did not utilize this line of credit. The Credit Facility replaced the State Street lines of credit referred to below.
During the reporting period, prior to the commencement of the Credit Facility on January 9, 2015, the Fund was a participant in a committed, unsecured $300,000,000 line of credit with State Street and an uncommitted, unsecured $100,000,000 line of credit with State Street, both to be used only for temporary or emergency purposes. During the period ended June 30, 2015, the Fund did not utilize either line of credit with State Street.
Note F—Unaudited Financial Information:
The financial information included in this interim report is taken from the records of the Fund without audit by an independent registered public accounting firm. Annual reports contain audited financial statements.
17
Mid Cap Growth Portfolio
The following tables include selected data for a share outstanding throughout each period and other performance information derived from the Financial Statements. Per share amounts that round to less than $0.01 or $(0.01) per share are presented as $0.00 or $(0.00), respectively. Ratios that round to less than 0.00% or (0.00)% are presented as 0.00% or (0.00)%, respectively. A "—" indicates that the line item was not applicable in the corresponding period.
Class I | |
| | | Six Months
Ended
June 30, | | Year Ended December 31, | |
| | | 2015 | | 2014 | | 2013 | | 2012 | | 2011 | | 2010 | |
| | | (Unaudited) | | | | | | | | | | | |
Net Asset Value, Beginning of Period | | $ | 24.50 | | | $ | 41.07 | | | $ | 30.97 | | | $ | 27.55 | | | $ | 27.42 | | | $ | 21.25 | | |
Income From Investment Operations: | |
| Net Investment Income (Loss)‡ | | | (0.08 | ) | | | (0.19 | ) | | | (0.19 | ) | | | (0.10 | ) | | | (0.15 | ) | | | (0.11 | ) | |
Net Gains or Losses on Securities
(both realized and unrealized) | | | 2.55 | | | | 1.08 | | | | 10.29 | | | | 3.52 | | | | 0.28 | | | | 6.28 | | |
Total From Investment Operations | | | 2.47 | | | | 0.89 | | | | 10.10 | | | | 3.42 | | | | 0.13 | | | | 6.17 | | |
Less Distributions From: | |
Net Capital Gains | | | — | | | | (17.46 | ) | | | — | | | | — | | | | — | | | | — | | |
Voluntary Contribution from Management | | | — | | | | 0.00 | | | | — | | | | — | | | | — | | | | — | | |
Net Asset Value, End of Period | | $ | 26.97 | | | $ | 24.50 | | | $ | 41.07 | | | $ | 30.97 | | | $ | 27.55 | | | $ | 27.42 | | |
| Total Return†† | | | 10.08 | %**@ | 7.58 | % | | | 32.61 | %@ | 12.41 | %@ | 0.47 | % | | 29.04 | % | |
Ratios/Supplemental Data | |
Net Assets, End of Period (in millions) | | $ | 78.5 | | | $ | 69.6 | | | $ | 68.6 | | | $ | 229.0 | | | $ | 233.2 | | | $ | 266.0 | | |
Ratio of Gross Expenses to
Average Net Assets# | | | 0.99 | %* | | | 1.00 | % | | | 0.99 | % | | | 0.99 | % | | | 1.01 | % | | | 1.02 | % | |
Ratio of Net Expenses to
Average Net Assets | | | 0.99 | %* | | | 1.00 | % | | | 0.99 | % | | | 0.99 | %§ | | | 1.01 | %§ | | | 1.02 | %§ | |
Ratio of Net Investment Income (Loss) to
Average Net Assets | | | (0.58 | )%* | | | (0.53 | )% | | | (0.57 | )% | | | (0.34 | )% | | | (0.54 | )% | | | (0.49 | )% | |
Portfolio Turnover Rate | | | 25 | %** | | | 64 | % | | | 43 | % | | | 38 | % | | | 35 | % | | | 46 | % | |
See Notes to Financial Highlights
18
Financial Highlights (cont'd)
Class S | |
| | | Six Months
Ended
June 30, | | Year Ended December 31, | |
| | | 2015 | | 2014 | | 2013 | | 2012 | | 2011 | | 2010 | |
| | | (Unaudited) | | | | | | | | | | | |
Net Asset Value, Beginning of Period | | $ | 23.20 | | | $ | 39.95 | | | $ | 30.21 | | | $ | 26.94 | | | $ | 26.87 | | | $ | 20.87 | | |
Income From Investment Operations: | |
| Net Investment Income (Loss)‡ | | | (0.10 | ) | | | (0.27 | ) | | | (0.26 | ) | | | (0.17 | ) | | | (0.21 | ) | | | (0.16 | ) | |
Net Gains or Losses on Securities
(both realized and unrealized) | | | 2.41 | | | | 0.98 | | | | 10.00 | | | | 3.44 | | | | 0.28 | | | | 6.16 | | |
Total From Investment Operations | | | 2.31 | | | | 0.71 | | | | 9.74 | | | | 3.27 | | | | 0.07 | | | | 6.00 | | |
Less Distributions From: | |
Net Capital Gains | | | — | | | | (17.46 | ) | | | — | | | | — | | | | — | | | | — | | |
Voluntary Contribution from Management | | — | | 0.00 | | — | | — | | — | |
Net Asset Value, End of Period | | $ | 25.51 | | | $ | 23.20 | | | $ | 39.95 | | | $ | 30.21 | | | $ | 26.94 | | | $ | 26.87 | | |
| Total Return†† | | | 9.96 | %**@ | | 7.31 | % | | | 32.24 | % | | | 12.14 | %@ | | 0.26 | % | | | 28.75 | % | |
Ratios/Supplemental Data | |
Net Assets, End of Period (in millions) | | $ | 194.1 | | | $ | 149.3 | | | $ | 127.8 | | | $ | 88.2 | | | $ | 64.2 | | | $ | 59.2 | | |
Ratio of Gross Expenses to
Average Net Assets | | | 1.25 | %* | | | 1.25 | % | | | 1.26 | %# | | | 1.24 | % | | | 1.26 | %# | | | 1.27 | %# | |
Ratio of Net Expenses to
Average Net Assets | | | 1.25 | %*Ø | | 1.25 | %Ø | | 1.25 | % | | | 1.25 | %§Ø | | 1.25 | %§ | | | 1.25 | %§ | |
Ratio of Net Investment Income (Loss) to
Average Net Assets | | | (0.84 | )%* | | | (0.78 | )% | | | (0.76 | )% | | | (0.57 | )% | | | (0.78 | )% | | | (0.73 | )% | |
Portfolio Turnover Rate | | | 25 | %** | | | 64 | % | | | 43 | % | | | 38 | % | | | 35 | % | | | 46 | % | |
See Notes to Financial Highlights
19
Notes to Financial Highlights Mid Cap Growth Portfolio (Unaudited)
†† Total return based on per share NAV reflects the effects of changes in NAV on the performance of the Fund during each fiscal period. Returns assume income dividends and other distributions, if any, were reinvested. Results represent past performance and do not indicate future results. Current returns may be lower or higher than the performance data quoted. Investment returns and principal may fluctuate and shares when redeemed may be worth more or less than original cost. Total return would have been lower if Management had not reimbursed and/or waived certain expenses. Total return would have been higher if Management had not recouped previously reimbursed expenses. The total return information shown does not reflect charges and other expenses that apply to the separate accounts or the related insurance policies or other qualified pension or retirement plans, and the inclusion of these charges and other expenses would reduce the total return for all fiscal periods shown. The voluntary contribution listed in Note B of the Notes to Financial Statements had no impact on the Fund's total return for the year ended December 31, 2014.
@ The class action proceeds listed in Note A-4 of the Notes to Financial Statements had no impact on the Fund's total return for the six months ended June 30, 2015. Had the Fund not received class action proceeds in 2013, total return based on per share NAV for the year ended December 31, 2013 would have been 32.58% for Class I. Had the Fund not received class action proceeds in 2012, total return based on per share NAV for the year ended December 31, 2012 would have been 12.34% and 12.06% for Class I and Class S, respectively.
# Represents the annualized ratios of net expenses to average daily net assets if Management had not reimbursed certain expenses and/or waived a portion of the investment management fee. Management did not reimburse or waive fees during the fiscal periods shown for Class I.
‡ Calculated based on the average number of shares outstanding during each fiscal period.
§ Prior to January 1, 2013, the Fund had an expense offset arrangement in connection with its custodian contract. The impact of expense reductions related to expense offset arrangements, if any, was less than 0.01%.
Ø After repayment of expenses previously reimbursed by Management. Had the Fund not made such repayments, the annualized ratio of net expenses to average daily net assets would have been:
| | | Six Months
Ended June 30, | | Year Ended December 31, | |
| | | 2015 | | 2014 | | 2013 | | 2012 | |
Mid Cap Growth Portfolio Class S | | | 1.24 | % | | | 1.25 | % | | | — | | | | 1.24 | % | |
* Annualized.
** Not Annualized.
20
Neuberger Berman
Advisers Management Trust
Small Cap Growth Portfolio
S Class Shares
Semi-Annual Report
June 30, 2015
Small Cap Growth Portfolio Commentary
The Neuberger Berman Advisers Management Trust Small Cap Growth Portfolio (the "Fund") Class S generated a 7.70% total return for the six months ended June 30, 2015, underperforming its benchmark, the Russell 2000® Growth Index, which returned 8.74% for the same period.
The six-month period was, generally, a positive environment for our style of investing. Shrugging off global macro noise, stubbornly lethargic GDP growth and currency headwinds, the market rewarded active management and stocks offering positive differentiation versus their peers, "paying-up" for compelling catalysts, strong execution and the higher qualitative characteristics and fundamentals that we typically prize. Additionally, incremental net positives around inflation, employment and wage growth set the stage for a potential second half bounce in both consumer confidence and retail spending, in our view.
During the period, the Fund, relative to the benchmark, was materially overweighted to the Consumer Discretionary and Health Care sectors, underweighted to Materials, Industrials and Consumer Staples, and essentially market weighted to Information Technology (IT). With respect to our allocation decisions, the Fund's underweight to both Industrials and Materials proved additive, while our overweight to Consumer Discretionary and our cash position detracted from relative performance.
Drilling down to our holdings, strong stock selection in IT and Financials helped offset broad weakness across the other sectors. Q2 Holdings was the top contributor to performance during the reporting period, while IGI Laboratories was the leading detractor and was sold during the period. Q2, a provider of cloud-based virtual banking solutions, continued to accumulate tier-one client wins, as consumers are beginning to rely more on their "smart" devices for banking transactions. IGI, a manufacturer and distributor of topical products for cosmetic and pharmaceutical customers, was negatively impacted by an unexpected significant price cut from a competitor.
From our perspective, the positives continue to outweigh the negatives and/or angst around the longevity of the current "bull" market. We think the second half of 2015 should continue to benefit broadly from accommodative central banks, appealing interest rate levels and generally positive inflationary trends. In the U.S., we believe incremental gains in housing, employment and wage growth coupled with moderating currency headwinds and improving business and consumer confidence, should they continue, could provide a positive counter balance to the never-ending global wall of worry and to legitimate concerns around sluggish GDP growth and extended market valuations across numerous sectors. We remain confident in our view that an interest rate increase will be reasonably digested by the market and ultimately prove to be a positive for stocks. Given the aforementioned positive trends and an apparent absence of reckless excess, we don't believe that a market reset is looming near-term. We anticipate the market to continue to seek positive differentiation through companies characterized by strong execution and fundamentals and we would view any short-term volatility, should it occur, as an investing opportunity.
Sincerely,
DAVID H. BURSHTAN
PORTFOLIO MANAGER
Information about principal risks of investing in the Fund is set forth in the prospectus and statement of additional information.
The portfolio composition, industries and holdings of the Fund are subject to change.
The opinions expressed are those of the Fund's portfolio manager. The opinions are as of the date of this report, and are subject to change without notice.
1
Small Cap Growth Portfolio
SECTOR ALLOCATION
(as a % of Total Investments) | |
Consumer Discretionary | | | 17.4 | % | |
Consumer Staples | | | 1.6 | | |
Energy | | | 1.4 | | |
Financials | | | 9.2 | | |
Health Care | | | 28.0 | | |
Industrials | | | 6.8 | | |
Information Technology | | | 28.4 | | |
Materials | | | 2.0 | | |
Short-Term Investments | | | 5.2 | | |
Total | | | 100.0 | % | |
PERFORMANCE HIGHLIGHTS
| | |
InceptionDate | | Six Month
Period Ended06/30/2015 | | Average Annual Total Return
Ended 06/30/2015 | |
| | | | | 1 Year | | 5 Years | | 10 Years | | Life of Fund | |
Small Cap Growth
Portfolio Class S | |
07/12/2002 | | | 7.70 | % | | | 14.10 | % | | | 17.37 | % | | | 5.73 | % | | | 6.80 | % | |
Russell 2000®
Growth Index1,2 | | | | | | | 8.74 | % | | | 12.34 | % | | | 19.33 | % | | | 9.86 | % | | | 11.20 | % | |
Russell 2000®
Index1,2 | | | | | | | 4.75 | % | | | 6.49 | % | | | 17.08 | % | | | 8.40 | % | | | 10.30 | % | |
The performance data quoted represent past performance and do not indicate future results. Current performance may be lower or higher than the performance data quoted. For performance data current to the most recent month-end, please visit http://www.nb.com/amtportfolios/performance.
The results shown in the table reflect the reinvestment of income dividends and other distributions, if any. The results do not reflect the effect of taxes a shareholder would pay on Fund distributions or on the redemption of Fund shares. The results do not reflect fees and expenses of the variable annuity and variable life insurance policies or the qualified pension and retirement plans whose proceeds are invested in the Fund.
The investment return and principal value of an investment will fluctuate and shares, when redeemed, may be worth more or less than their original cost.
Returns would have been lower if Neuberger Berman Management LLC (Management) had not reimbursed certain expenses and/or waived a portion of the investment management fees during certain of the periods shown. Repayment by a class (of expenses previously reimbursed and/or fees previously waived by Management) will decrease the class's returns. Please see Note B in the Notes to Financial Statements for specific information regarding expense reimbursement and/or fee waiver arrangements.
As stated in the Fund's most recent prospectus, the total annual operating expense ratio for fiscal year 2014 was 2.08% for Class S shares (before expense reimbursements and/or fee waivers, if any). The expense ratio was 1.41% after expense reimbursements and/or fee waivers. The expense ratios for the semi-annual period ended June 30, 2015 can be found in the Financial Highlights section of this report.
2
1 The date used to calculate Life of Fund performance for the index is July 12, 2002, the Fund's commencement of operations.
2 The Russell 2000® Growth Index is a float-adjusted market capitalization-weighted index that measures the performance of the small-cap growth segment of the U.S. equity market. It includes those Russell 2000® Index companies with higher price-to-book ratios and higher forecasted growth rates. The index is rebalanced annually in June. The Russell 2000 Index measures the performance of the small-cap segment of the U.S. equity market, and includes approximately 2,000 of the smallest securities in the Russell 3000® Index (which measures the performance of the 3,000 largest U.S. public companies based on total market capitalization). The index is rebalanced annually in June. Please note that the indices described in this report do not take into account any fees, expenses or tax consequences of investing in the individual securities that they track, and that investors cannot invest directly in any index. Data about the performance of an index are prepared or obtained by Management and reflect the reinvestment of income dividends and other distributions, if any. The Fund may invest in securities not included in a described index and generally does not invest in all securities included in a described index.
The investments for the Fund are managed by the same portfolio manager(s) who manage(s) one or more other registered funds that have names, investment objectives and investment styles that are similar to those of the Fund. You should be aware that the Fund is likely to differ from those other mutual fund(s) in size, cash flow pattern and tax matters. Accordingly, the holdings and performance of the Fund can be expected to vary from those of the other mutual fund(s).
Shares of the separate Neuberger Berman Advisers Management Trust Portfolios, including the Fund, are not available to the general public. Shares of the Fund may be purchased only by life insurance companies to be held in their separate accounts, which fund variable annuity and variable life insurance policies, and by qualified pension and retirement plans.
Statistics and projections in this report are derived from sources deemed to be reliable but cannot be regarded as a representation of future results of the Fund. This report is prepared for the general information of shareholders and is not an offer of shares of the Fund. Shares are sold only through the currently effective prospectus, which must precede or accompany this report.
The "Neuberger Berman" name and logo are registered service marks of Neuberger Berman Group LLC. "Neuberger Berman Management LLC" and the individual Fund name in this piece are either service marks or registered service marks of Neuberger Berman Management LLC.
© 2015 Neuberger Berman Management LLC, distributor. All rights reserved.
3
Information About Your Fund's Expenses (Unaudited)
As a Fund shareholder, you incur two types of costs: (1) transaction costs such as fees and expenses that are, or may be, imposed under your variable contract or qualified pension plan; and (2) ongoing costs, including management fees, distribution and/or service (12b-1) fees (if applicable), and other Fund expenses. This example is intended to help you understand your ongoing costs (in U.S. dollars) of investing in the Fund and compare these costs with the ongoing costs of investing in other mutual funds.
This table is designed to provide information regarding costs related to your investments. The following examples are based on an investment of $1,000 made at the beginning of the six month period ended June 30, 2015 and held for the entire period. The table illustrates the Fund's costs in two ways:
Actual Expenses and Performance: | | The first section of the table provides information about actual account values and actual expenses in dollars, based on the Fund's actual performance during the period indicated. You may use the information in this line, together with the amount you invested, to estimate the expenses 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 section of the table under the heading entitled "Expenses Paid During the Period" to estimate the expenses you paid over the period. | |
Hypothetical Example for
Comparison Purposes: | | The second section of the table provides information about hypothetical account values and hypothetical expenses based on the Fund's actual expense ratio and an assumed rate of return at 5% per year before expenses. This return 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 this Fund versus other funds. To do so, compare the expenses shown in this 5% hypothetical example with the 5% hypothetical examples that appear in the shareholder reports of other funds. | |
Please note that the expenses in the table are meant to highlight your ongoing costs only and do not include any transaction costs, such as fees and expenses that are, or may be imposed under your variable contract or qualified pension plan. Therefore, the information under the heading "Hypothetical (5% annual return before expenses)" 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 transaction costs were included, your costs would have been higher.
Expense Information as of 6/30/15
NEUBERGER BERMAN ADVISERS MANAGEMENT TRUST SMALL CAP GROWTH PORTFOLIO
Actual | | Beginning Account
Value
1/1/15 | | Ending Account
Value
6/30/15 | | Expenses Paid During
the Period*
1/1/15 – 6/30/15 | |
Class S | | $ | 1,000.00 | | | $ | 1,077.00 | | | $ | 7.21 | | |
Hypothetical (5% annual return before expenses)** | |
Class S | | $ | 1,000.00 | | | $ | 1,017.85 | | | $ | 7.00 | | |
* Expenses are equal to the annualized expense ratio of 1.40%, multiplied by the average account value over the period, multiplied by 181/365 (to reflect the one-half year period shown).
** Hypothetical expenses are equal to the annualized expense ratio of 1.40%, multiplied by the average account value over the period (assuming a 5% annual return), multiplied by 181/365 (to reflect the one-half year period shown).
4
Schedule of Investments Small Cap Growth Portfolio (Unaudited) 6/30/15
NUMBER OF SHARES | | | | VALUE† | |
Common Stocks (95.1%) | | | |
Aerospace & Defense (1.5%) | | | |
| | 4,875 | | | HEICO Corp. | | $ | 284,212 | | |
Air Freight & Logistics (0.7%) | | | |
| | 3,600 | | | Hub Group, Inc. Class A | | | 145,224 | * | |
Banks (7.8%) | | | |
| 9,000 | | | Capital Bank Financial Corp.
Class A | | | 261,630 | * | |
| 10,150 | | | FCB Financial Holdings, Inc.
Class A | | | 322,770 | * | |
| | 8,800 | | | Opus Bank | | | 318,384 | | |
| 21,400 | | | Seacoast Banking Corp.
of Florida | | | 338,120 | * | |
| 6,100 | | | Simmons First National Corp.
Class A | | | 284,748 | | |
| | | | 1,525,652 | | |
Biotechnology (9.7%) | | | |
| | 3,200 | | | Alder Biopharmaceuticals, Inc. | | | 169,504 | * | |
| | 2,850 | | | AMAG Pharmaceuticals, Inc. | | | 196,821 | * | |
| | 12,500 | | | Amicus Therapeutics, Inc. | | | 176,875 | * | |
| | 1,000 | | | Bluebird Bio, Inc. | | | 168,370 | * | |
| | 5,300 | | | Cepheid, Inc. | | | 324,095 | * | |
| | 1,500 | | | Clovis Oncology, Inc. | | | 131,820 | * | |
| | 5,600 | | | Insmed, Inc. | | | 136,752 | * | |
| | 4,200 | | | Insys Therapeutics, Inc. | | | 150,864 | * | |
| | 3,600 | | | Prothena Corp. PLC | | | 189,612 | * | |
| | 1,900 | | | PTC Therapeutics, Inc. | | | 91,447 | * | |
| | 800 | | | Receptos, Inc. | | | 152,040 | * | |
| | | | 1,888,200 | | |
Chemicals (2.0%) | | | |
| | 4,700 | | | PolyOne Corp. | | | 184,099 | | |
| | 3,100 | | | Sensient Technologies Corp. | | | 211,854 | | |
| | | | 395,953 | | |
Commercial Services & Supplies (0.7%) | | | |
| | 36,950 | | | Hudson Technologies, Inc. | | | 128,956 | * | |
Communications Equipment (2.3%) | | | |
| | 13,100 | | | Infinera Corp. | | | 274,838 | * | |
| | 1,000 | | | Palo Alto Networks, Inc. | | | 174,700 | * | |
| | | | 449,538 | | |
Diversified Consumer Services (4.0%) | | | |
| 4,850
| | | Bright Horizons Family
Solutions, Inc. | | | 280,330
| * | |
| | 12,500 | | | Carriage Services, Inc. | | | 298,500 | | |
| | 4,600 | | | Sotheby's | | | 208,104 | | |
| | | | 786,934 | | |
NUMBER OF SHARES | | | | VALUE† | |
Food & Staples Retailing (1.6%) | | | |
| | 17,400 | | | Smart & Final Stores, Inc. | | $ | 310,938 | * | |
Health Care Equipment & Supplies (6.7%) | | | |
| | 3,600 | | | DexCom, Inc. | | | 287,928 | * | |
| | 12,700 | | | Globus Medical, Inc. Class A | | | 326,009 | * | |
| | 9,800 | | | K2M Group Holdings, Inc. | | | 235,396 | * | |
| | 5,100 | | | LDR Holding Corp. | | | 220,575 | * | |
| | 9,000 | | | Tornier NV | | | 224,910 | * | |
| | | | 1,294,818 | | |
Health Care Providers & Services (9.0%) | | | |
| | 5,300 | | | AAC Holdings, Inc. | | | 230,868 | * | |
| | 4,500 | | | Acadia Healthcare Co., Inc. | | | 352,485 | * | |
| | 7,600 | | | AMN Healthcare Services, Inc. | | | 240,084 | * | |
| | 3,200 | | | Amsurg Corp. | | | 223,840 | * | |
| | 17,000 | | | Cross Country Healthcare, Inc. | | | 215,560 | * | |
| | 5,900 | | | ExamWorks Group, Inc. | | | 230,690 | * | |
| | 8,000 | | | HealthEquity, Inc. | | | 256,400 | * | |
| | | | 1,749,927 | | |
Hotels, Restaurants & Leisure (1.3%) | | | |
| | 2,300 | | | Vail Resorts, Inc. | | | 251,160 | | |
Insurance (1.4%) | | | |
| | 11,950 | | | Heritage Insurance Holdings, Inc. | | | 274,731 | * | |
Internet & Catalog Retail (1.4%) | | | |
| | 3,900 | | | HSN, Inc. | | | 273,741 | | |
Internet Software & Services (8.0%) | | | |
| | 5,300 | | | Benefitfocus, Inc. | | | 232,405 | * | |
| | 4,100 | | | comScore, Inc. | | | 218,366 | * | |
| | 3,900 | | | Demandware, Inc. | | | 277,212 | * | |
| | 3,100 | | | IAC/InterActiveCorp | | | 246,946 | | |
| | 1,800 | | | MercadoLibre, Inc. | | | 255,060 | | |
| | 11,400 | | | Q2 Holdings, Inc. | | | 322,050 | * | |
| | | | 1,552,039 | | |
IT Services (1.4%) | | | |
| | 3,700 | | | EPAM Systems, Inc. | | | 263,551 | * | |
Leisure Products (0.9%) | | | |
| | 3,400 | | | Brunswick Corp. | | | 172,924 | | |
Media (1.2%) | | | |
| 4,000 | | | Nexstar Broadcasting Group, Inc.
Class A | | | 224,000 | | |
See Notes to Schedule of Investments
5
Schedule of Investments Small Cap Growth Portfolio (Unaudited) (cont'd)
NUMBER OF SHARES | | | | VALUE† | |
Multiline Retail (2.0%) | | | |
| | 4,500 | | | Big Lots, Inc. | | $ | 202,455 | | |
| | 3,600 | | | Burlington Stores, Inc. | | | 184,320 | * | |
| | | | 386,775 | | |
Oil, Gas & Consumable Fuels (1.4%) | | | |
| | 3,650 | | | Diamondback Energy, Inc. | | | 275,137 | * | |
Pharmaceuticals (2.7%) | | | |
| | 8,400 | | | Depomed, Inc. | | | 180,264 | * | |
| | 15,100 | | | Foamix Pharmaceuticals Ltd. | | | 154,775 | * | |
| | 6,300 | | | Intersect ENT, Inc. | | | 180,369 | * | |
| | | | 515,408 | | |
Professional Services (2.9%) | | | |
| | 4,100 | | | Huron Consulting Group, Inc. | | | 287,369 | * | |
| | 6,900 | | | On Assignment, Inc. | | | 271,032 | * | |
| | | | 558,401 | | |
Road & Rail (1.1%) | | | |
| | 3,150 | | | Old Dominion Freight Line, Inc. | | | 216,106 | * | |
Semiconductors & Semiconductor Equipment (5.5%) | | | |
| | 5,100 | | | Cavium, Inc. | | | 350,931 | * | |
| 7,300 | | | M/A-COM Technology Solutions
Holdings, Inc. | | | 279,225 | * | |
| | 7,200 | | | Microsemi Corp. | | | 251,640 | * | |
| | 3,650 | | | Monolithic Power Systems, Inc. | | | 185,091 | | |
| | | | 1,066,887 | | |
Software (11.3%) | | | |
| | 5,300 | | | Barracuda Networks, Inc. | | | 209,986 | * | |
| | 5,600 | | | BroadSoft, Inc. | | | 193,592 | * | |
| | 5,500 | | | Fortinet, Inc. | | | 227,315 | * | |
| | 9,600 | | | Gigamon, Inc. | | | 316,704 | * | |
| | 8,050 | | | Paylocity Holding Corp. | | | 288,593 | * | |
| | 5,050 | | | Proofpoint, Inc. | | | 321,533 | * | |
| | 5,400 | | | QLIK Technologies, Inc. | | | 188,784 | * | |
| | 1,900 | | | Tyler Technologies, Inc. | | | 245,822 | * | |
| | 1,250 | | | Ultimate Software Group, Inc. | | | 205,425 | * | |
| | | | 2,197,754 | | |
Specialty Retail (5.2%) | | | |
| | 2,650 | | | Lithia Motors, Inc. Class A | | | 299,874 | | |
| | 4,200 | | | Men's Wearhouse, Inc. | | | 269,094 | | |
| | 18,200 | | | PEP Boys-Manny, Moe & Jack | | | 223,314 | * | |
| 2,300 | | | Restoration Hardware
Holdings, Inc. | | | 224,549 | * | |
| | | | 1,016,831 | | |
NUMBER OF SHARES | | | | VALUE† | |
Textiles, Apparel & Luxury Goods (1.4%) | | | |
| | 4,000 | | | G-III Apparel Group Ltd. | | $ | 281,400 | * | |
| | | | Total Common Stocks
(Cost $16,750,167) | | | 18,487,197 | | |
Short-Term Investments (5.2%) | | | |
| 1,008,999
| | | State Street Institutional
Liquid Reserves Fund
Premier Class
(Cost $1,008,999) | | | 1,008,999
| | |
| | | | | Total Investments (100.3%)
(Cost $17,759,166) | | | 19,496,196 | ## | |
| | | | | Liabilities, less cash, receivables and
other assets [(0.3%)] | | | (48,687 | ) | |
| | | | | Total Net Assets (100.0%) | | $ | 19,447,509 | | |
See Notes to Schedule of Investments
6
Notes to Schedule of Investments Small Cap Growth Portfolio (Unaudited)
† In accordance with Accounting Standards Codification ("ASC") 820 "Fair Value Measurement" ("ASC 820"), all investments held by Neuberger Berman Advisers Management Trust Small Cap Growth Portfolio (the "Fund") are carried at the value that Neuberger Berman Management LLC ("Management") believes the Fund would receive upon selling an investment in an orderly transaction to an independent buyer in the principal or most advantageous market for the investment under current market conditions. Various inputs, including the volume and level of activity for the asset or liability in the market, are considered in valuing the Fund's investments, some of which are discussed below. Significant management judgment may be necessary to value investments in accordance with ASC 820.
ASC 820 established a three-tier hierarchy of inputs to create a classification of value measurements for disclosure purposes. The three-tier hierarchy of inputs is summarized in the three broad Levels listed below.
• Level 1 – quoted prices in active markets for identical investments
• Level 2 – other observable inputs (including quoted prices for similar investments, interest rates, prepayment speeds, credit risk, amortized cost, etc.)
• Level 3 – unobservable inputs (including the Fund's own assumptions in determining the fair value of investments)
The inputs or methodology used for valuing an investment are not necessarily an indication of the risk associated with investing in those securities.
The value of the Fund's investments in equity securities and exchange traded funds, for which market quotations are readily available, is generally determined by Management by obtaining valuations from an independent pricing service based on the latest sale price quoted on a principal exchange or market for that security (Level 1 inputs). Securities traded primarily on the NASDAQ Stock Market are normally valued at the NASDAQ Official Closing Price ("NOCP") provided by NASDAQ each business day. The NOCP is the most recently reported price as of 4:00:02 p.m., Eastern time, unless that price is outside the range of the "inside" bid and asked prices (i.e., the bid and asked prices that dealers quote to each other when trading for their own accounts); in that case, NASDAQ will adjust the price to equal the inside bid or asked price, whichever is closer. Because of delays in reporting trades, the NOCP may not be based on the price of the last trade to occur before the market closes. If there is no reported sale of a security on a particular day, the independent pricing service may value the security based on reported market quotations.
Management has developed a process to periodically review information provided by independent pricing services for all types of securities.
Investments in investment companies, with the exception of closed-end funds, if any, are valued using the respective fund's daily calculated net asset value per share (Level 2 inputs).
If a valuation is not available from an independent pricing service, or if Management has reason to believe that the valuation received does not represent the amount the Fund might reasonably expect to receive on a current sale in an orderly transaction, Management seeks to obtain quotations from brokers or dealers (generally considered Level 2 or Level 3 inputs depending on the number of quotes available). If such quotations are not readily available, the security is valued using methods the Neuberger Berman Advisers Management Trust's Board of Trustees (the "Board") has approved in the good-faith belief that the resulting valuation will reflect the fair value of the security. Numerous factors may be considered when determining the fair value of a security based on Level 2 or Level 3 inputs, including available analyst, media or other reports, trading in financial futures or American Depositary Receipts ("ADRs") and whether the issuer of the security being fair valued has other securities outstanding.
See Notes to Financial Statements
7
Notes to Schedule of Investments Small Cap Growth Portfolio (cont'd)
The value of the Fund's investments in foreign securities is generally determined using the same valuation methods and inputs as other Fund investments, as discussed above. Foreign security prices expressed in local currency values are translated from the local currency into U.S. dollars using the exchange rates as of the end of regular trading on the New York Stock Exchange ("NYSE") on business days, usually 4:00 p.m., Eastern time. The Board has approved the use of Interactive Data Pricing and Reference Data, Inc. ("Interactive") to assist in determining the fair value of foreign equity securities when changes in the value of a certain index suggest that the closing prices on the foreign exchanges may no longer represent the amount that the Fund could expect to receive for those securities or on days when foreign markets are closed and U.S. markets are open. In each of these events, Interactive will provide adjusted prices for certain foreign equity securities using a statistical analysis of historical correlations of multiple factors (Level 2 inputs). In the absence of precise information about the market values of these foreign securities as of the close of the NYSE, the Board has determined on the basis of available data that prices adjusted in this way are likely to be closer to the prices the Fund could realize on a current sale than are the prices of those securities established at the close of the foreign markets in which the securities primarily trade.
Fair value prices are necessarily estimates, and there is no assurance that such a price will be at or close to the price at which the security is next quoted or next trades.
The following is a summary, categorized by Level, of inputs used to value the Fund's investments as of June 30, 2015:
Asset Valuation Inputs | | Level 1 | | Level 2 | | Level 3 | | Total | |
Investments: | |
Common Stocks^ | | $ | 18,487,197 | | | $ | — | | | $ | — | | | $ | 18,487,197 | | |
Short-Term Investments | | | — | | | | 1,008,999 | | | | — | | | | 1,008,999 | | |
Total Investments | | $ | 18,487,197 | | | $ | 1,008,999 | | | $ | — | | | $ | 19,496,196 | | |
^ The Schedule of Investments provides information on the industry categorization for the portfolio.
As of the six months ended June 30, 2015, no securities were transferred from one level (as of December 31, 2014) to another.
## At June 30, 2015, the cost of investments for U.S. federal income tax purposes was $17,806,363. Gross unrealized appreciation of investments was $1,826,650 and gross unrealized depreciation of investments was $136,817, resulting in net unrealized appreciation of $1,689,833, based on cost for U.S. federal income tax purposes.
* Security did not produce income during the last twelve months.
See Notes to Financial Statements
8
Statement of Assets and Liabilities (Unaudited)
Neuberger Berman Advisers Management Trust
| | | SMALL CAP
GROWTH
PORTFOLIO | |
| | | June 30, 2015 | |
Assets | |
Investments in securities, at value* (Note A)—see Schedule of Investments: | |
Unaffiliated issuers | | $ | 19,496,196 | | |
Dividends and interest receivable | | | 2,505 | | |
Receivable for securities sold | | | 918,416 | | |
Receivable for Fund shares sold | | | 19,482 | | |
Receivable from Management—net (Note B) | | | 1,113 | | |
Prepaid expenses and other assets | | | 142 | | |
Total Assets | | | 20,437,854 | | |
Liabilities | |
Payable for securities purchased | | | 909,728 | | |
Payable for Fund shares redeemed | | | 28,528 | | |
Payable to investment manager (Note B) | | | 13,111 | | |
Payable to trustees | | | 7,155 | | |
Accrued expenses and other payables | | | 31,823 | | |
Total Liabilities | | | 990,345 | | |
Net Assets | | $ | 19,447,509 | | |
Net Assets consist of: | |
Paid-in capital | | $ | 14,896,363 | | |
Undistributed net investment income (loss) | | | (97,772 | ) | |
Accumulated net realized gains (losses) on investments | | | 2,911,888 | | |
Net unrealized appreciation (depreciation) in value of investments | | | 1,737,030 | | |
Net Assets | | $ | 19,447,509 | | |
Shares Outstanding ($.001 par value; unlimited shares authorized) | | | 1,006,952 | | |
Net Asset Value, offering and redemption price per share | | $ | 19.31 | | |
* Cost of Investments | | $ | 17,759,166 | | |
See Notes to Financial Statements
9
Statement of Operations (Unaudited)
Neuberger Berman Advisers Management Trust
| | | SMALL CAP
GROWTH
PORTFOLIO | |
| | | For the
Six Months Ended
June 30, 2015 | |
Investment Income: | |
Income (Note A): | |
Dividend income—unaffiliated issuers | | $ | 25,067 | | |
Interest income—unaffiliated issuers | | | 279 | | |
Foreign taxes withheld (Note A) | | | (412 | ) | |
Total income | | $ | 24,934 | | |
Expenses: | |
Investment management fees (Note B) | | | 74,448 | | |
Administration fees (Note B) | | | 26,276 | | |
Distribution fees (Note B) | | | 21,897 | | |
Audit fees | | | 22,382 | | |
Custodian and accounting fees | | | 8,883 | | |
Insurance expense | | | 280 | | |
Legal fees | | | 4,425 | | |
Shareholder reports | | | 3,808 | | |
Trustees' fees and expenses | | | 16,032 | | |
Miscellaneous | | | 615 | | |
Total expenses | | | 179,046 | | |
Expenses reimbursed by Management (Note B) | | | (56,340 | ) | |
Total net expenses | | | 122,706 | | |
Net investment income (loss) | | $ | (97,772 | ) | |
Realized and Unrealized Gain (Loss) on Investments (Note A): | |
Net realized gain (loss) on: | |
Sales of investment securities of unaffiliated issuers | | | 1,438,564 | | |
Change in net unrealized appreciation (depreciation) in value of: | |
Unaffiliated investment securities | | | (24,314 | ) | |
Net gain (loss) on investments | | | 1,414,250 | | |
Net increase (decrease) in net assets resulting from operations | | $ | 1,316,478 | | |
See Notes to Financial Statements
10
Statements of Changes in Net Assets
Neuberger Berman Advisers Management Trust
| | | SMALL CAP GROWTH PORTFOLIO | |
| | | Six Months Ended
June 30,
2015
(Unaudited) | | Year Ended
December 31,
2014 | |
Increase (Decrease) in Net Assets: | |
From Operations: | |
Net investment income (loss) (Note A) | | $ | (97,772 | ) | | $ | (215,321 | ) | |
Net realized gain (loss) on investments (Note A) | | | 1,438,564 | | | | 1,712,405 | | |
Net increase from payments by affiliates (Note B) | | | — | | | | 706 | | |
Change in net unrealized appreciation (depreciation) of investments (Note A) | | | (24,314 | ) | | | (1,299,720 | ) | |
Net increase (decrease) in net assets resulting from operations | | | 1,316,478 | | | | 198,070 | | |
Distributions to Shareholders From (Note A): | |
Net realized gain on investments | | | — | | | | (1,477,196 | ) | |
From Fund Share Transactions (Note D): | |
Proceeds from shares sold | | | 4,855,479 | | | | 7,588,961 | | |
Proceeds from reinvestment of dividends and distributions | | | — | | | | 1,477,196 | | |
Payments for shares redeemed | | | (3,731,698 | ) | | | (11,748,626 | ) | |
Net increase (decrease) from Fund share transactions | | | 1,123,781 | | | | (2,682,469 | ) | |
Net Increase (Decrease) in Net Assets | | | 2,440,259 | | | | (3,961,595 | ) | |
Net Assets: | |
Beginning of period | | | 17,007,250 | | | | 20,968,845 | | |
End of period | | $ | 19,447,509 | | | $ | 17,007,250 | | |
Undistributed net investment income (loss) at end of period | | $ | (97,772 | ) | | $ | — | | |
See Notes to Financial Statements
11
Notes to Financial Statements Small Cap Growth Portfolio
(Unaudited)
Note A—Summary of Significant Accounting Policies:
1 General: Neuberger Berman Advisers Management Trust (the "Trust") is a Delaware statutory trust organized pursuant to an Amended and Restated Trust Instrument dated March 27, 2014. The Trust is currently comprised of eleven separate operating series (each individually a "Fund," and collectively the "Funds") each of which is diversified. The Trust is registered as an open-end management investment company under the Investment Company Act of 1940, as amended (the "1940 Act"), and its shares are registered under the Securities Act of 1933, as amended. The Fund currently offers only Class S shares. The Board may establish additional series or classes of shares without the approval of shareholders.
The assets of each Fund belong only to that Fund, and the liabilities of each Fund are borne solely by that Fund and no other.
The Fund is an investment company and accordingly follows the investment company accounting and reporting guidance of the Financial Accounting Standards Board (FASB) Accounting Standard Codification Topic 946 "Financial Services—Investment Companies."
The preparation of financial statements in accordance with U.S. generally accepted accounting principles ("GAAP") requires Management to make estimates and assumptions at the date of the financial statements. Actual results could differ from those estimates.
Shares of the Fund are not available to the general public and may be purchased only by life insurance companies to be held in their separate accounts, which fund variable annuity and variable life insurance policies, and by qualified pension and retirement plans.
2 Portfolio valuation: Investment securities are valued as indicated in the notes following the Schedule of Investments.
3 Foreign currency translation: The accounting records of the Fund are maintained in U.S. dollars. Foreign currency amounts are translated into U.S. dollars using the exchange rate as of the end of regular trading on the NYSE on business days, usually 4:00 p.m. Eastern time, to determine the value of investments, other assets and liabilities. Purchase and sale prices of securities, and income and expenses, are translated into U.S. dollars at the prevailing rate of exchange on the respective dates of such transactions. Net unrealized foreign currency gain (loss), if any, arises from changes in the value of assets and liabilities, other than investments in securities, as a result of changes in exchange rates and is stated separately in the Statement of Operations.
4 Securities transactions and investment income: Securities transactions are recorded on trade date for financial reporting purposes. Dividend income is recorded on the ex-dividend date or, for certain foreign dividends, as soon as the Fund becomes aware of the dividends. Non-cash dividends included in dividend income, if any, are recorded at the fair market value of the securities received. Interest income, including accretion of original issue discount, where applicable, and accretion of discount on short-term investments, if any, is recorded on the accrual basis. Realized gains and losses from securities transactions and foreign currency transactions, if any, are recorded on the basis of identified cost and stated separately in the Statement of Operations. Included in net realized gain (loss) on investments are proceeds from the settlements of class action litigation in which the Fund participated as a class member. The amount of such proceeds for the six months ended June 30, 2015 was $1,296.
5 Income tax information: Each Fund is treated as a separate entity for U.S. federal income tax purposes. It is the policy of the Fund to continue to qualify for treatment as a regulated investment company ("RIC") by complying with the requirements of the U.S. Internal Revenue Code applicable to RICs and to distribute substantially all of its net investment income and net realized capital gains to its shareholders. To the extent the Fund distributes
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substantially all of its net investment income and net realized capital gains to shareholders, no federal income or excise tax provision is required.
The Fund has adopted the provisions of ASC 740 "Income Taxes" ("ASC 740"). ASC 740 sets forth a minimum threshold for financial statement recognition of a tax position taken, or expected to be taken, in a tax return. The Fund recognizes interest and penalties, if any, related to unrecognized tax positions as an income tax expense in the Statement of Operations. The Fund is subject to examination by U.S. federal and state tax authorities for returns filed for the tax years for which the applicable statutes of limitations have not yet expired. As of June 30, 2015, the Fund did not have any unrecognized tax positions.
Income distributions and capital gain distributions are determined in accordance with income tax regulations, which may differ from GAAP. These differences are primarily due to differing treatments of income and gains on various investment securities held by the Fund, timing differences and differing characterization of distributions made by the Fund. The Fund may also utilize earnings and profits distributed to shareholders on redemption of shares as a part of the dividends-paid deduction for income tax purposes.
As determined on December 31, 2014, permanent differences resulting primarily from different book and tax accounting were reclassified at year end. Such differences are attributed to the tax treatment of: ordinary loss netting to reduce short term capital gains and return of capital distributions from real estate investment trusts ("REITs"). These reclassifications had no effect on net income, net asset value ("NAV") or NAV per share of the Fund. For the year ended December 31, 2014, the Fund recorded the following permanent reclassifications:
| Paid-in Capital | | Undistributed
Net Investment
Income (Loss) | | Accumulated
Net Realized
Gains (Losses)
on Investments | |
| $ | — | | | $ | 215,321 | | | $ | (215,321 | ) | |
The tax character of distributions paid during the years ended December 31, 2014 and December 31, 2013 was as follows:
Distributions Paid From: | |
Ordinary Income | | Long-Term Capital Gain | | Total | |
| 2014 | | 2013 | | 2014 | | 2013 | | 2014 | | 2013 | |
| $ | 1,058,892 | | | $ | — | | | $ | 418,304 | | | $ | — | | | $ | 1,477,196 | | | $ | — | | |
As of December 31, 2014, the components of distributable earnings (accumulated losses) on a U.S. federal income tax basis were as follows:
Undistributed
Ordinary
Income | | Undistributed
Long-Term
Capital Gain | | Unrealized
Appreciation
(Depreciation) | | Loss
Carryforwards
and Deferrals | | Other
Temporary
Differences | | Total | |
| $ | 793,658 | | | $ | 777,124 | | | $ | 1,663,886 | | | $ | — | | | $ | — | | | $ | 3,234,668 | | |
The difference between book basis and tax basis distributable earnings is primarily due to losses disallowed and recognized on wash sales.
6 Distributions to shareholders: The Fund may earn income, net of expenses, daily on its investments. Distributions from net investment income and net realized capital gains, if any, generally are distributed once a year (usually in October). Income distributions and capital gain distributions to shareholders are recorded on the ex-date.
7 Foreign taxes: Foreign taxes withheld, if any, represent amounts withheld by foreign tax authorities, net of refunds recoverable.
8 Expense allocation: Certain expenses are applicable to multiple funds within the complex of related investment companies. Expenses directly attributable to a Fund are charged to that Fund. Expenses of the Trust that are not
13
directly attributable to a particular series of the Trust (e.g., the Fund) are allocated among the series of the Trust, on the basis of relative net assets, except where a more appropriate allocation of expenses to each of the series can otherwise be made fairly. Expenses borne by the complex of related investment companies, which includes open-end and closed-end investment companies for which Management serves as investment manager, that are not directly attributable to a particular investment company in the complex (e.g., the Trust) or series thereof are allocated among the investment companies in the complex or series thereof on the basis of relative net assets, except where a more appropriate allocation of expenses to each of the investment companies in the complex or series thereof can otherwise be made fairly.
9 Investments in foreign securities: Investing in foreign securities may involve certain sovereign and other risks, in addition to the credit and market risks normally associated with domestic securities. These additional risks include the possibility of adverse political and economic developments (including political instability, nationalization, expropriation, or confiscatory taxation) and the potentially adverse effects of unavailability of public information regarding issuers, less governmental supervision and regulation of financial markets, reduced liquidity of certain financial markets, and the lack of uniform accounting, auditing, and financial reporting standards or the application of standards that are different or less stringent than those applied in the United States. Foreign securities also may experience greater price volatility, higher rates of inflation, and delays in settlement.
10 Indemnifications: Like many other companies, the Trust's organizational documents provide that its officers ("Officers") and trustees ("Trustees") are indemnified against certain liabilities arising out of the performance of their duties to the Trust. In addition, both in some of its principal service contracts and in the normal course of its business, the Trust enters into contracts that provide indemnifications to other parties for certain types of losses or liabilities. The Trust's maximum exposure under these arrangements is unknown as this could involve future claims against the Trust.
Note B—Investment Management Fees, Administration Fees, Distribution Arrangements, and Other Transactions with Affiliates:
The Fund retains Management as its investment manager under an Investment Management Agreement. For such investment management services, the Fund pays Management a fee at the annual rate of 0.85% of the first $500 million of the Fund's average daily net assets, 0.825% of the next $500 million, 0.80% of the next $500 million, 0.775% of the next $500 million, 0.75% of the next $500 million, and 0.725% of average daily net assets in excess of $2.5 billion. Accordingly, for the six months ended June 30, 2015, the investment management fee pursuant to the Investment Management Agreement was equivalent to an annual effective rate of 0.85% of the Fund's average daily net assets.
The Fund retains Management as its administrator under an Administration Agreement. The Fund pays Management an administration fee at the annual rate of 0.30% of its average daily net assets under this agreement. Additionally, Management retains State Street Bank and Trust Company ("State Street") as its sub-administrator under a Sub-Administration Agreement. Management pays State Street a fee for all services received under this agreement.
Management acts as agent in arranging for the sale of Fund shares without commission and bears advertising and promotion expenses. The Board has adopted a distribution plan (the "Plan") with respect to the Fund, pursuant to Rule 12b-1 under the 1940 Act. The Plan provides that, as compensation for administrative and other services provided to the Fund, Management's activities and expenses related to the sale and distribution of the Fund's shares, and ongoing services provided to investors in the Fund, Management receives from the Fund a fee at the annual rate of 0.25% of the Fund's average daily net assets. Management receives this amount to provide distribution and shareholder servicing for the Fund and pays a portion of it to institutions that provide such services. Those institutions may use the payments for, among other purposes, compensating employees engaged in
14
sales and/or shareholder servicing. The amount of fees paid by the Fund during any year may be more or less than the cost of distribution and other services provided to the Fund. FINRA rules limit the amount of annual distribution fees that may be paid by a mutual fund and impose a ceiling on the cumulative distribution fees paid. The Trust's Plan complies with those rules.
Management has contractually undertaken to waive fees and/or reimburse the Fund for its total annual operating expenses (including fees payable to Management but excluding interest, taxes, brokerage commissions, dividend and interest expenses relating to short sales, acquired fund fees and expenses, extraordinary expenses and transaction costs, if any; consequently, net expenses may exceed the contractual expense limitation) ("Operating Expenses") which exceed the expense limitation as detailed in the following table. The Fund has agreed to repay Management for fees and expenses waived and/or its excess Operating Expenses previously reimbursed by Management, so long as its annual Operating Expenses during that period do not exceed its contractual expense limitation in place at the time the fees and expenses were waived or reimbursed, or the expense limitation in place at the time the Fund repays Management, whichever is lower. Any such repayment must be made within three years after the year in which Management incurred the expense.
During the six months ended June 30, 2015, there was no repayment to Management under its contractual expense limitation.
At June 30, 2015, the Fund's contingent liabilities to Management under its contractual expense limitation were as follows:
| | | | | | | Expenses Reimbursed in
Fiscal Year Ending December 31, | |
| | | | | | | 2012 | | 2013 | | 2014 | | 2015 | |
| | | | | | | Subject to Repayment Until December 31, | |
| | | Contractual
Expense
Limitation(1) | | Expiration | | 2015 | | 2016 | | 2017 | | 2018 | |
Class S | | | 1.40 | % | | 12/31/18 | | $ | 133,197 | | | $ | 124,811 | | | $ | 122,891 | | | $ | 56,340 | | |
(1) Expense limitation per annum of the Fund's average daily net assets.
Neuberger Berman LLC ("Neuberger") is retained by Management pursuant to a Sub-Advisory Agreement to furnish it with investment recommendations and research information without added cost to the Fund. Several individuals who are Officers and/or Trustees of the Trust are also employees of Neuberger and/or Management.
On June 3, 2014, Management made a voluntary contribution of $706 to the Fund in connection with a payment matter related to the Fund's investment in a State Street money market fund.
Note C—Securities Transactions:
During the six months ended June 30, 2015, there were purchase and sale transactions (excluding short-term securities) of $28,235,648 and $28,373,352, respectively.
During the six months ended June 30, 2015, no brokerage commissions on securities transactions were paid to affiliated brokers.
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Note D—Fund Share Transactions:
Share activity for the six months ended June 30, 2015 and for the year ended December 31, 2014 was as follows:
| | | For the Six Months
Ended June 30,
2015 | | For the Year
Ended December 31,
2014 | |
Shares Sold | | | 261,213 | | | | 403,728 | | |
Shares Issued on Reinvestment of
Dividends and Distributions | | | — | | | | 94,876 | | |
Shares Redeemed | | | (202,817 | ) | | | (639,433 | ) | |
Total | | | 58,396 | | | | (140,829 | ) | |
Note E—Lines of Credit:
At June 30, 2015, the Fund was a participant in a syndicated committed, unsecured $700,000,000 line of credit (the "Credit Facility"), to be used only for temporary or emergency purposes. Other investment companies managed by Management also participate in this line of credit on the same terms. Under the terms of the Credit Facility, the Fund has agreed to pay its pro rata share of the annual commitment fee, based on the ratio of its individual net assets to the net assets of all participants at the time the fee is due and payable, and interest charged on any borrowing made by the Fund and other costs incurred by the Fund. Because several mutual funds participate in the Credit Facility, there is no assurance that the Fund will have access to all or any part of the $700,000,000 at any particular time. There were no loans outstanding under the Credit Facility at June 30, 2015. During the period from January 9, 2015 (the commencement date of the Credit Facility) through June 30, 2015, the Fund did not utilize this line of credit. The Credit Facility replaced the State Street lines of credit referred to below.
During the reporting period, prior to the commencement of the Credit Facility on January 9, 2015, the Fund was a participant in a committed, unsecured $300,000,000 line of credit with State Street and an uncommitted, unsecured $100,000,000 line of credit with State Street, both to be used only for temporary or emergency purposes. During the period ended June 30, 2015, the Fund did not utilize either line of credit with State Street.
Note F—Subsequent Event:
On June 24, 2015, the Board approved three separate reorganizations of Balanced Portfolio, Growth Portfolio, and Small Cap Growth Portfolio (each, a "Merging Portfolio") into Mid Cap Growth Portfolio (the "Surviving Portfolio," and together with the Merging Portfolios, the "Portfolios") (each a "Reorganization"). Each Reorganization is independent of the others, and the Reorganization of any Merging Portfolio may proceed even if the Reorganization of one or both of the other Merging Portfolios is postponed or cancelled. All Portfolios are series of the Trust. Each Reorganization will take effect on or about November 6, 2015. No shareholder vote is required for any of the Reorganizations. At the time of each Reorganization, contractholders who are shareholders of a Merging Portfolio (indirectly through a separate account) automatically will become shareholders (again, indirectly through that separate account) of the Surviving Portfolio, receiving shares of the Surviving Portfolio having an aggregate net asset value equal to the contractholder's shares in the Merging Portfolio.
Note G—Unaudited Financial Information:
The financial information included in this interim report is taken from the records of the Fund without audit by an independent registered public accounting firm. Annual reports contain audited financial statements.
16
Small Cap Growth Portfolio
The following table includes selected data for a share outstanding throughout each period and other performance information derived from the Financial Statements. Per share amounts that round to less than $0.01 or $(0.01) per share are presented as $0.00 or $(0.00), respectively. Ratios that round to less than 0.00% or (0.00)% are presented as 0.00% or (0.00)%, respectively. A "—" indicates that the line item was not applicable in the corresponding period.
Class S
| | | Six Months
Ended
June 30, | | Year Ended December 31, | |
| | | 2015 | | 2014 | | 2013 | | 2012 | | 2011 | | 2010 | |
| | | (Unaudited) | | | | | | | | | | | |
Net Asset Value, Beginning of Period | | $ | 17.93 | | | $ | 19.25 | | | $ | 13.20 | | | $ | 12.13 | | | $ | 12.26 | | | $ | 10.25 | | |
Income From Investment Operations: | |
Net Investment Income (Loss)‡ | | | (0.10 | ) | | | (0.22 | ) | | | (0.17 | ) | | | (0.12 | ) | | | (0.14 | ) | | | (0.12 | ) | |
Net Gains or Losses on Securities
(both realized and unrealized) | | | 1.48 | | | | 0.63 | | | | 6.22 | | | | 1.19 | | | | 0.01 | | | | 2.13 | | |
Total From Investment Operations | | | 1.38 | | | | 0.41 | | | | 6.05 | | | | 1.07 | | | | (0.13 | ) | | | 2.01 | | |
Less Distributions From: | |
Net Capital Gains | | | — | | | | (1.73 | ) | | | — | | | | — | | | | — | | | | — | | |
Voluntary Contribution from Management | | | — | | | | 0.00 | | | | — | | | | — | | | | — | | | | — | | |
Net Asset Value, End of Period | | $ | 19.31 | | | $ | 17.93 | | | $ | 19.25 | | | $ | 13.20 | | | $ | 12.13 | | | $ | 12.26 | | |
| Total Return†† | | | 7.70 | %**@ | | 3.47 | % | | | 45.83 | % | | | 8.82 | % | | | (1.06 | )% | | | 19.61 | % | |
Ratios/Supplemental Data | |
Net Assets, End of Period (in millions) | | $ | 19.4 | | | $ | 17.0 | | | $ | 21.0 | | | $ | 14.2 | | | $ | 16.4 | | | $ | 21.0 | | |
Ratio of Gross Expenses to
Average Net Assets# | | | 2.04 | %* | | | 2.08 | % | | | 2.13 | % | | | 2.24 | % | | | 2.20 | % | | | 2.27 | % | |
Ratio of Net Expenses to
Average Net Assets | | | 1.40 | %* | | | 1.41 | % | | | 1.40 | % | | | 1.40 | %§ | | | 1.41 | %§ | | | 1.40 | %§ | |
Ratio of Net Investment Income (Loss)
to Average Net Assets | | | (1.12 | )%* | | | (1.18 | )% | | | (1.05 | )% | | | (0.88 | )% | | | (1.11 | )% | | | (1.15 | )% | |
Portfolio Turnover Rate | | | 165 | %** | | | 309 | % | | | 277 | % | | | 282 | % | | | 279 | % | | | 243 | % | |
See Notes to Financial Highlights
17
Notes to Financial Highlights Small Cap Growth Portfolio
(Unaudited)
†† Total return based on per share NAV reflects the effects of changes in NAV on the performance of the Fund during each fiscal period. Returns assume income dividends and other distributions, if any, were reinvested. Results represent past performance and do not indicate future results. Current returns may be lower or higher than the performance data quoted. Investment returns and principal may fluctuate and shares when redeemed may be worth more or less than original cost. Total return would have been lower if Management had not reimbursed and/or waived certain expenses. The total return information shown does not reflect charges and other expenses that apply to the separate accounts or the related insurance policies or other qualified pension or retirement plans, and the inclusion of these charges and other expenses would reduce the total return for all fiscal periods shown. The voluntary contribution listed in Note B of the Notes to Financial Statements had no impact on the Fund's total return for the year ended December 31, 2014.
@ The class action proceeds listed in Note A-4 of the Notes to Financial Statements had no impact on the Fund's total return for the six months ended June 30, 2015.
# Represents the annualized ratios of net expenses to average daily net assets if Management had not reimbursed certain expenses and/or waived a portion of the investment management fee.
‡ Calculated based on the average number of shares outstanding during each fiscal period.
§ Prior to January 1, 2013, the Fund had an expense offset arrangement in connection with its custodian contract. The impact of expense reductions related to expense offset arrangements, if any, was less than 0.01%.
* Annualized.
** Not Annualized.
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Proxy Voting Policies and Procedures
A description of the policies and procedures that the Trust uses to determine how to vote proxies relating to portfolio securities is available, without charge, by calling 800-877-9700 (toll-free) and on the Securities and Exchange Commission's website at www.sec.gov. Information regarding how the Trust voted proxies relating to portfolio securities during the most recent 12-month period ended June 30 is also available upon request, without charge, by calling 800-877-9700 (toll-free), on the Securities and Exchange Commission's website at www.sec.gov, and on Management's website at www.nb.com.
Quarterly Portfolio Schedule
The Trust files a complete schedule of portfolio holdings for the Fund with the Securities and Exchange Commission for the first and third quarters of each fiscal year on Form N-Q. The Trust's Forms N-Q are available on the Securities and Exchange Commission's website at www.sec.gov and may be reviewed and copied at the Securities and Exchange Commission's Public Reference Room in Washington, DC. Information on the operation of the Public Reference Room may be obtained by calling 800-SEC-0330. The information on Form N-Q is available upon request, without charge, by calling 800-877-9700 (toll free).
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Item 2. Code of Ethics.
The Board of Trustees (“Board”) of Neuberger Berman Advisers Management Trust (“Registrant”) has adopted a code of ethics that applies to the Registrant’s principal executive officer, principal financial officer, principal accounting officer or controller, or persons performing similar functions (“Code of Ethics”). During the period covered by this Form N-CSR, there were no substantive amendments to the Code of Ethics and there were no waivers from the Code of Ethics granted to the Registrant’s principal executive officer, principal financial officer, principal accounting officer or controller, or persons performing similar functions.
The Code of Ethics is filed with the Registrant’s annual report on Form N-CSR. The Code of Ethics is also available, without charge, by calling 1-800-877-9700 (toll-free).
Item 3. Audit Committee Financial Expert.
Not applicable to semi-annual reports on Form N-CSR.
Item 4. Principal Accountant Fees and Services.
Not applicable to semi-annual reports on Form N-CSR.
Item 5. Audit Committee of Listed Registrants.
Not applicable to the Registrant.
Item 6. Schedule of Investments.
The complete schedule of investments for each series is disclosed in the Registrant’s applicable semi-annual report included as Item 1 of this Form N-CSR.
Item 7. Disclosure of Proxy Voting Policies and Procedures for Closed-End Management Investment Companies.
Not applicable to the Registrant.
Item 8. Portfolio Managers of Closed-End Management Investment Companies.
Not applicable to the Registrant.
Item 9. Purchases of Equity Securities by Closed-End Management Investment Company and Affiliated Purchasers.
Not applicable to the Registrant.
Item 10. Submission of Matters to a Vote of Security Holders.
There were no changes to the procedures by which shareholders may recommend nominees to the Board.
Item 11. Controls and Procedures.
Item 12. Exhibits.
The certification furnished pursuant to Rule 30a-2(b) under the Act and Section 906 of the Sarbanes-Oxley Act will not be deemed “filed” for purposes of Section 18 of the Securities Exchange Act of 1934, as amended (“Exchange Act”), or otherwise subject to the liability of that section. Such certification will not be deemed to be incorporated by reference into any filing under the Securities Act of 1933, as amended, or the Exchange Act, except to the extent that the Registrant specifically incorporates it by reference.
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.
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.
John M. McGovern
