Oppenheimer Variable Account Funds NCSRS Certified semi-annual shareholder report (management investment company)

Oppenheimer Variable Account Funds N-CSRSCertified semi-annual shareholder report (management investment company)

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

WASHINGTON, D.C. 20549

FORM N-CSR

CERTIFIED SHAREHOLDER REPORT OF REGISTERED

MANAGEMENT INVESTMENT COMPANIES

Investment Company Act file number 811-4108

Oppenheimer Variable Account Funds

(Exact name of registrant as specified in charter)

6803 South Tucson Way, Centennial, Colorado 80112-3924

(Address of principal executive offices) (Zip code)

Arthur S. Gabinet

OFI Global Asset Management, Inc.

Two World Financial Center, New York, New York 10281-1008

(Name and address of agent for service)

Registrant’s telephone number, including area code: (303) 768-3200

Date of fiscal year end: December 31

Date of reporting period: 6/30/2014

Item 1. Reports to Stockholders.


June 30, 2014
	Oppenheimer Discovery Mid Cap Growth Fund/VA A Series of Oppenheimer Variable Account Funds	Semiannual Report

	SEMIANNUAL REPORT Listing of Top Holdings Fund Performance Discussion Financial Statements

LOGO

Portfolio Managers: Ronald J. Zibelli, Jr., CFA and Justin Livengood, CFA¹


Cumulative Total Returns For the 6-Month Period Ended 6/30/14
Non-Service Shares		0.71	%
Service Shares		0.59	%
Average Annual Total Returns For the Periods Ended 6/30/14
	1-Year			5-Year	10-Year
Non-Service Shares		23.56%		20.43%	6.39%
Service Shares		23.24%		20.13%	6.10%

Performance data quoted represents past performance, which does not guarantee future results. The investment return and principal value of an investment in the Fund will fluctuate so that an investor’s shares, when redeemed, may be worth more or less than their original cost. Current performance may be lower or higher than the performance quoted. For performance data current to the most recent month end, call us at 1.800.988.8287. The Fund’s total returns should not be expected to be the same as the returns of other funds, whether or not both funds have the same portfolio managers and/or similar names. The Fund’s total returns include changes in share price and reinvested distributions but do not include the charges associated with the separate account products that offer this Fund. Such performance would have been lower if such charges were taken into account.


TOP TEN COMMON STOCK HOLDINGS
Harman International Industries, Inc.		1.8	%
SBA Communications Corp., Cl. A		1.8
United Rentals, Inc.		1.7
Illumina, Inc.		1.6
Actavis plc		1.5
CoStar Group, Inc.		1.5
Westlake Chemical Corp.		1.5
Concho Resources, Inc.		1.4
NXP Semiconductors NV	��	1.4
ServiceNow, Inc.		1.3

Portfolio holdings and allocations are subject to change. Percentages are as of June 30, 2014, and are based on net assets. For more current Fund holdings, please visit oppenheimerfunds.com.

SECTOR ALLOCATION

LOGO

Portfolio holdings and allocations are subject to change. Percentages are as of June 30, 2014, and are based on the total market value of common stocks.

1. Justin Livengood became a Portfolio Manager in April 2014.

2 OPPENHEIMER DISCOVERY MID CAP GROWTH FUND/VA

Fund Performance Discussion

The Fund’s Non-Service shares produced a return of 0.71% during the reporting period, underperforming the Russell Midcap Growth Index, (the “Index”), which returned 6.51%. The Fund’s underperformance stemmed primarily from weaker relative stock selection in the information technology, industrials and energy sectors. Somewhat offsetting this negative performance, the Fund outperformed the Index in the consumer discretionary and materials sectors due to stronger relative stock selection. The investment environment changed significantly during the reporting period. In late 2013 and early 2014, high-quality growth companies continued to outperform the broader market as they had over the previous few years. But in March 2014, the tone of the market changed abruptly where companies with larger market capitalizations and lower valuations began to materially outperform smaller companies with higher valuations. Our investment style, which favors high-quality, high-growth companies that often have above average valuations, began to underperform in mid-March despite little or no change to the underlying fundamentals of the companies we own. In fact, the vast majority of the Fund’s underperformance relative to the benchmark occurred in April 2014.

Over the longer term, the Fund had stronger absolute results. For the 1-year, 3-year, 5-year and 10-year periods ended June 30, 2014, the Fund’s Non-Service shares produced returns of 23.56%, 12.03%, 20.43% and 6.39%, respectively. Over those same periods, the Index generated returns of 26.04%, 14.54%, 21.16% and 9.83%, respectively.

GLOBAL MARKET AND ECONOMIC ENVIRONMENT

Despite market volatility early in the reporting period and rising geopolitical risks in Ukraine and the Middle East, global equities generally rebounded and produced positive returns in the first half of 2014, thanks largely to a continued global economic recovery and stimulative monetary policies from central banks throughout the world. Markets were volatile to start the reporting period in January 2014 amid fears that political and economic instability in the world’s emerging markets might further dampen the U.S. economic recovery. However, equities rebounded later in the reporting period. Among the central bank measures that boosted the markets this reporting period, the European Central Bank (the “ECB”) announced numerous measures in June, including a benchmark interest rate cut, the introduction of a negative deposit rate to encourage banks to lend, among various other measures to flood the system with liquidity. Beyond that, the ECB said it would prepare to purchase packages of loans from banks to allow for increased lending. In June, the U.S. Federal Reserve (the “Fed”) also stated it would reduce the amount of monthly bond purchases by an additional $10 billion and reaffirmed its intention to keep short-term interest rates near zero. U.S. economic data released in April and May was positive, as the unemployment rate fell to 6.3%, the economy finally regained all of the jobs lost during the 2008 recession, and the U.S. stock market achieved record highs. Shortly after the reporting period ended, a positive June jobs report was released, in which the official unemployment rate fell to 6.1%, its lowest level since September 2008.

TOP INDIVIDUAL CONTRIBUTORS

During the reporting period, top contributors to performance included health care stocks Illumina, Inc. and Actavis plc, and industrials stock United Rentals, Inc. Illumina Inc., a leading developer of genetic analysis tools, reported very strong financial results during the reporting period, raised full year guidance and announced a series of innovative new products, all of which were well received by investors and provided tailwinds for share price performance. Actavis is an integrated specialty pharmaceutical company that rallied after reporting strong fourth quarter results. The company benefited from its recent acquisitions of Warner Chilcott, which has produced revenue synergies and cost savings beyond the expectations of most analysts, and Forest Labs, which we believe should result in increased profitability as higher margin branded drugs become a larger percentage of the company’s business. United Rentals, an equipment rental company, reported strong first quarter financial results. The company has been benefiting from a growing trend toward leasing equipment, rather than buying, with especially good demand from energy customers.

TOP INDIVIDUAL DETRACTORS

The most significant detractors from the Fund’s performance included Nu Skin Enterprises, Inc., Tractor Supply Co. and Stratasys Ltd., each of which we exited by period end. Nu Skin Enterprises Inc., a major direct seller of personal care products and nutritional supplements, sold off sharply following a critical article published in China Daily, a state-owned periodical. This caused investors to worry about the company’s operations in China. Tractor Supply, an operator of retail farm and ranch stores, experienced declines early in the reporting period after reporting guidance below analysts’ expectations. Stratasys, one of the leading makers of 3D printers, performed poorly during the reporting period. The company issued earnings per share guidance that was moderately below consensus estimates due to higher than expected operating expenses and share count.

3 OPPENHEIMER DISCOVERY MID CAP GROWTH FUND/VA

STRATEGY & OUTLOOK

Our long-term investment process remains the same. We seek dynamic companies with above-average and sustainable revenue and earnings growth that we believe are positioned to outperform. This includes leading firms in structurally attractive industries with management teams that have proven records of performance.

We made a number of changes to the Fund during the period. We reduced exposure to the information technology sector and invested the proceeds in the energy, materials and consumer staples sectors. As a result, the Fund is no longer overweight information technology and its underweight in consumer staples is smaller.

The macroeconomic environment is characterized by modest economic expansion, very low interest rates, single digit corporate profit growth and increased merger and acquisition activity. We believe that this is an environment that favors growth companies and are optimistic regarding the Fund’s investment strategy. Our focus on well-established, higher quality growth companies has the potential to provide both upside participation and a degree of downside protection over the long term.

The Fund’s investment strategy and focus can change over time. The mention of specific fund holdings does not constitute a recommendation by OppenheimerFunds, Inc. or its affiliates.

Shares of Oppenheimer funds are not deposits or obligations of any bank, are not guaranteed by any bank, are not insured by the FDIC or any other agency, and involve investment risks, including the possible loss of the principal amount invested.

4 OPPENHEIMER DISCOVERY MID CAP GROWTH FUND/VA

Fund Expenses

Fund Expenses. As a shareholder of the Fund, you incur two types of costs: (1) transaction costs and (2) ongoing costs, including management fees; distribution and service fees; and other Fund expenses. These examples are intended to help you understand your ongoing costs (in dollars) of investing in the Fund and to compare these costs with the ongoing costs of investing in other mutual funds.

The examples are based on an investment of $1,000.00 invested at the beginning of the period and held for the entire
6-month period ended June 30, 2014.

Actual Expenses. The first section of the table provides information about actual account values and actual expenses. You may use the information in this section for the class of shares you hold, together with the amount you invested, to estimate the expense that you paid over the period. Simply divide your account value by $1,000.00 (for example, an $8,600.00 account value divided by $1,000.00 = 8.60), then multiply the result by the number in the first section under the heading entitled “Expenses Paid During Period” to estimate the expenses you paid on your account during this 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 for each class of shares, and an assumed rate of return of 5% per year for each class before expenses, which is not the 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 the Fund and other funds. To do so, compare this 5% hypothetical example for the class of shares you hold with the 5% hypothetical examples that appear in the shareholder reports of the other funds.

Please note that the expenses shown in the table are meant to highlight your ongoing costs only and do not reflect any charges associated with the separate accounts that offer this Fund. Therefore, the “hypothetical” lines of the table are useful in comparing ongoing costs only, and will not help you determine the relative total costs of owning different funds. In addition, if these separate account charges were included your costs would have been higher.


Actual	Beginning Account Value January 1, 2014		Ending Account Value June 30, 2014		Expenses Paid During 6 Months Ended June 30, 2014
Non-Service shares	$	1,000.00	$	1,007.10	$	3.99
Service shares		1,000.00		1,005.90		5.24

Hypothetical
(5% return before expenses)
Non-Service shares		1,000.00		1,020.83		4.02
Service shares		1,000.00		1,019.59		5.27

Expenses are equal to the Fund’s annualized expense ratio for that class, multiplied by the average account value over the period, multiplied by 181/365 (to reflect the one-half year period). Those annualized expense ratios, excluding indirect expenses from affiliated funds, based on the 6-month period ended June 30, 2014 are as follows:


Class	Expense Ratios
Non-Service shares		0.80	%
Service shares		1.05

The expense ratios reflect voluntary and/or contractual waivers and/or reimbursements of expenses by the Fund’s Manager. Some of these undertakings may be modified or terminated at any time, as indicated in the Fund’s prospectus. The “Financial Highlights” tables in the Fund’s financial statements, included in this report, also show the gross expense ratios, without such waivers or reimbursements and reduction to custodian expenses, if applicable.

5 OPPENHEIMER DISCOVERY MID CAP GROWTH FUND/VA

STATEMENT OF INVESTMENTS June 30, 2014 Unaudited


		Shares		Value
Common Stocks—95.4%
Consumer Discretionary—22.8%
Auto Components—3.1%
BorgWarner, Inc.			109,080	$	7,110,925
Delphi Automotive plc			120,850		8,307,229
TRW Automotive Holdings Corp.¹			80,790		7,232,321
					22,650,475
Automobiles—0.7%
Harley-Davidson, Inc.			75,174		5,250,904

Hotels, Restaurants & Leisure—5.3%
Chipotle Mexican Grill, Inc.¹			16,150		9,569,037
Domino’s Pizza, Inc.			69,170		5,055,635
Dunkin’ Brands Group, Inc.			82,340		3,771,995
Marriott International, Inc., Cl. A			134,200		8,602,220
MGM Resorts International¹			219,300		5,789,520
Wynn Resorts Ltd.			27,060		5,616,574
					38,404,981
Household Durables—2.5%
GoPro, Inc., Cl. A¹			112,011		4,542,046
Harman International Industries, Inc.			123,640		13,282,645
					17,824,691
Internet & Catalog Retail—2.7%
Netflix, Inc.¹			21,610		9,521,366
TripAdvisor, Inc.¹			48,960		5,319,994
Vipshop Holdings Ltd., ADS¹			25,004		4,694,251
					19,535,611
Leisure Products—1.1%
Polaris Industries, Inc.			61,050		7,951,152

Specialty Retail—2.9%
Foot Locker, Inc.			123,430		6,260,370
O’Reilly Automotive, Inc.¹			64,020		9,641,412
Tiffany & Co.			52,390		5,252,097
					21,153,879
Textiles, Apparel & Luxury Goods—4.5%
Hanesbrands, Inc.			75,740		7,455,846
Kate Spade & Co.¹			185,750		7,084,505
Michael Kors Holdings Ltd.¹			101,320		8,982,018
Under Armour, Inc., Cl. A¹			146,650		8,724,208
	��				32,246,577
Consumer Staples—4.4%
Beverages—1.3%
Constellation Brands, Inc., Cl. A¹			108,910		9,598,238

Food Products—3.1%
Hormel Foods Corp.			72,790		3,592,187
Keurig Green Mountain, Inc.			55,300		6,890,933
Tyson Foods, Inc., Cl. A			118,592		4,451,944
WhiteWave Foods Co.¹			220,460		7,136,290
					22,071,354
Energy—5.7%
Energy Equipment & Services—1.6%
Dril-Quip, Inc.¹			33,360		3,644,246
Helmerich & Payne, Inc.			64,490		7,487,934
					11,132,180
Oil, Gas & Consumable Fuels—4.1%
Antero Resources Corp.¹			85,170		5,589,707
Concho Resources, Inc.¹			71,230		10,292,735
Diamondback Energy, Inc.¹			60,200		5,345,760
Memorial Resource Development Corp.¹			355,916		8,670,114
					29,898,316


	Shares		Value
Financials—6.4%
Capital Markets—1.5%
Affiliated Managers Group, Inc.¹		34,820	$	7,152,028
Waddell & Reed Financial, Inc., Cl. A		58,670		3,672,155
				10,824,183
Commercial Banks—2.7%
First Republic Bank		109,630		6,028,554
Signature Bank¹		61,170		7,718,431
SVB Financial Group¹		49,060		5,721,377
				19,468,362
Diversified Financial Services—1.0%
Moody’s Corp.		80,361		7,044,445

Real Estate Investment Trusts (REITs)—0.5%
Host Hotels & Resorts, Inc.		158,570		3,490,126

Real Estate Management & Development—0.7%
CBRE Group, Inc., Cl. A¹		172,387		5,523,279

Health Care—13.4%
Biotechnology—1.8%
BioMarin Pharmaceutical, Inc.¹		58,420		3,634,308
Cubist Pharmaceuticals, Inc.¹		82,580		5,765,736
Incyte Corp.¹		70,920		4,002,725
				13,402,769
Health Care Equipment & Supplies—2.3%
Cooper Cos., Inc. (The)		38,620		5,234,169
DexCom, Inc.¹		108,340		4,296,764
IDEXX Laboratories, Inc.¹		54,130		7,230,144
				16,761,077
Health Care Providers & Services—4.4%
AmerisourceBergen Corp. SA		126,310		9,177,684
Centene Corp.¹		93,820		7,093,730
Envision Healthcare Holdings, Inc.¹		172,870		6,207,762
Universal Health Services, Inc., Cl. B		95,030		9,100,073
				31,579,249
Health Care Technology—0.7%
Cerner Corp.¹		104,370		5,383,405

Life Sciences Tools & Services—2.1%
Covance, Inc.¹		41,460		3,548,147
Illumina, Inc.¹		64,206		11,463,339
				15,011,486
Pharmaceuticals—2.1%
Actavis plc¹		50,380		11,237,259
Salix Pharmaceuticals Ltd.¹		29,660		3,658,561
				14,895,820
Industrials—18.2%
Aerospace & Defense—1.3%
Hexcel Corp.¹		87,390		3,574,251
TransDigm Group, Inc.		36,680		6,135,097
				9,709,348
Airlines—1.1%
Spirit Airlines, Inc.¹		120,730		7,634,965

Building Products—0.8%
A.O. Smith Corp.		113,180		5,611,464

Commercial Services & Supplies—0.8%
Mobile Mini, Inc.		118,800		5,689,332

Electrical Equipment—1.1%
Acuity Brands, Inc.		55,300		7,645,225

Industrial Conglomerates—0.7%
Roper Industries, Inc.		36,317		5,302,645

6 OPPENHEIMER DISCOVERY MID CAP GROWTH FUND/VA


	Shares		Value
Machinery—7.9%
Colfax Corp.¹		124,300	$	9,265,322
Flowserve Corp.		70,000		5,204,500
Middleby Corp. (The)¹		103,350		8,549,112
Nordson Corp.		64,744		5,191,822
Snap-on, Inc.		43,856		5,197,813
Trinity Industries, Inc.		121,218		5,299,651
WABCO Holdings, Inc.¹		85,600		9,143,792
Wabtec Corp.		116,770		9,644,034
				57,496,046
Marine—1.0%
Kirby Corp.¹		61,646		7,221,213

Professional Services—0.8%
On Assignment, Inc.¹		67,200		2,390,304
Robert Half International, Inc.		75,200		3,590,048
				5,980,352
Trading Companies & Distributors—2.7%
HD Supply Holdings, Inc.¹		249,410		7,080,750
United Rentals, Inc.¹		119,230		12,486,958
				19,567,708
Information Technology—17.1%
Communications Equipment—0.9%
Arista Networks, Inc.¹		6,958		434,110
Palo Alto Networks, Inc.¹		76,780		6,438,003
				6,872,113
Electronic Equipment, Instruments, & Components—0.7%
Amphenol Corp., Cl. A		52,570		5,064,594

Internet Software & Services—3.7%
CoStar Group, Inc.¹		69,890		11,054,501
Pandora Media, Inc.¹		229,720		6,776,740
Shutterstock, Inc.¹		49,530		4,110,000
Yelp, Inc.¹		60,490		4,638,373
				26,579,614
IT Services—2.0%
FleetCor Technologies, Inc.¹		48,570		6,401,526
MAXIMUS, Inc.		117,030		5,034,631
Vantiv, Inc., Cl. A¹		88,220		2,965,956
				14,402,113
Semiconductors & Semiconductor Equipment—2.8%
Applied Materials, Inc.		243,760		5,496,788
Avago Technologies Ltd.		73,960		5,330,297
NXP Semiconductors NV¹		149,150		9,870,747
				20,697,832


	Shares			Value
Software—5.9%
Aspen Technology, Inc.¹		113,050		$	5,245,520
Concur Technologies, Inc.¹		85,778			8,006,518
NetSuite, Inc.¹		71,177			6,183,858
ServiceNow, Inc.¹		156,010			9,666,380
Tableau Software, Inc., Cl. A¹		110,940			7,913,350
Ultimate Software Group, Inc. (The)¹		44,190			6,105,732
					43,121,358
Technology Hardware, Storage & Peripherals—1.1%
SanDisk Corp.		73,350			7,659,940

Materials—5.6%
Chemicals—2.5%
PolyOne Corp.		167,020			7,038,223
Westlake Chemical Corp.		130,710			10,948,269
					17,986,492
Construction Materials—1.7%
Eagle Materials, Inc.		80,340			7,574,455
Vulcan Materials Co.		81,110			5,170,763
					12,745,218
Containers & Packaging—0.7%
Crown Holdings, Inc.¹		107,262			5,337,357

Metals & Mining—0.7%
Carpenter Technology Corp.		77,140			4,879,105

Telecommunication Services—1.8%
Wireless Telecommunication Services—1.8%
SBA Communications Corp., Cl. A¹		130,870			13,388,001
Total Common Stocks (Cost $515,691,114)					691,694,594
Investment Company—4.2%
Oppenheimer Institutional Money Market Fund, Cl. E, 0.09%^2,3(Cost $30,638,203)		30,638,203			30,638,203
Total Investments, at Value
(Cost $546,329,317)		99.6	%		722,332,797
Net Other Assets (Liabilities)		0.4			2,740,599
Net Assets		100.0	%	$	725,073,396

Footnotes to Statement of Investments

1. Non-income producing security.

2. Is or was an affiliate, as defined in the Investment Company Act of 1940, at or during the period ended June 30, 2014, by virtue of the Fund owning at least 5% of the voting securities of the issuer or as a result of the Fund and the issuer having the same investment adviser. Transactions during the period in which the issuer was an affiliate are as follows:


	Shares December 31, 2013		Gross Additions		Gross Reductions		Shares June 30, 2014
Oppenheimer Institutional Money Market Fund, Cl. E		5,136,594		166,717,747		141,216,138		30,638,203

					Value		Income
Oppenheimer Institutional Money Market Fund, Cl. E					$	30,638,203	$	5,900

3. Rate shown is the 7-day yield as of June 30, 2014.

See accompanying Notes to Financial Statements.

7 OPPENHEIMER DISCOVERY MID CAP GROWTH FUND/VA

STATEMENT OF ASSETS AND LIABILITIES June 30, 2014 Unaudited


Assets
Investments, at value—see accompanying statement of investments:
Unaffiliated companies (cost $515,691,114)	$	691,694,594
Affiliated companies (cost $30,638,203)		30,638,203

		722,332,797
Receivables and other assets:
Investments sold		7,900,894
Shares of beneficial interest sold		4,522,435
Dividends		88,745
Other		47,473

Total assets		734,892,344


Liabilities
Payables and other liabilities:
Investments purchased		9,506,101
Shares of beneficial interest redeemed		220,328
Trustees’ compensation		41,518
Shareholder communications		35,138
Distribution and service plan fees		6,725
Other		9,138

Total liabilities		9,818,948


Net Assets	$	725,073,396



Composition of Net Assets
Par value of shares of beneficial interest	$	9,677
Additional paid-in capital		527,162,813
Accumulated net investment loss		(1,757,369	)
Accumulated net realized gain on investments		23,654,795
Net unrealized appreciation on investments		176,003,480

Net Assets	$	725,073,396



Net Asset Value Per Share
Non-Service Shares:
Net asset value, redemption price (excludes applicable contingent deferred sales charge) and offering price per share (based on net assets of $692,365,005 and 9,227,184 shares of beneficial interest outstanding)	$	75.04

Service Shares:
Net asset value, redemption price (excludes applicable contingent deferred sales charge) and offering price per share (based on net assets of $32,708,391 and 450,251 shares of beneficial interest outstanding)	$	72.64

See accompanying Notes to Financial Statements.

8 OPPENHEIMER DISCOVERY MID CAP GROWTH FUND/VA

STATEMENT OF OPERATIONS For the Six Months Ended June 30, 2014 Unaudited


Investment Income
Dividends:
Unaffiliated companies (net of foreign withholding taxes of $7,351)	$	1,225,356
Affiliated companies		5,900

Total investment income		1,231,256


Expenses
Management fees		2,564,130
Distribution and service plan fees - Service shares		42,456
Transfer and shareholder servicing agent fees:
Non-Service shares		344,613
Service shares		17,003
Shareholder communications:
Non-Service shares		16,876
Service shares		844
Trustees’ compensation		16,801
Custodian fees and expenses		2,718
Other		30,031

Total expenses		3,035,472
Less waivers and reimbursements of expenses		(100,010	)

Net expenses		2,935,462


Net Investment Loss		(1,704,206	)


Realized and Unrealized Gain (Loss)
Net realized gain on investments from unaffiliated companies		75,908,879
Net change in unrealized appreciation/depreciation on investments		(69,763,305	)
Net Increase in Net Assets Resulting from Operations	$	4,441,368

See accompanying Notes to Financial Statements.

9 OPPENHEIMER DISCOVERY MID CAP GROWTH FUND/VA

STATEMENTS OF CHANGES IN NET ASSETS


	Six Months Ended June 30, 2014 (Unaudited)			Year Ended December 31, 2013
Operations
Net investment loss	$	(1,704,206	)	$	(1,689,339	)
Net realized gain		75,908,879			122,245,177
Net change in unrealized appreciation/depreciation		(69,763,305	)		79,850,119

Net increase in net assets resulting from operations		4,441,368			200,405,957


Dividends and/or Distributions to Shareholders
Dividends from net investment income:
Non-Service shares		—			(73,101	)
Service shares		—			—

		—			(73,101	)


Beneficial Interest Transactions
Net decrease in net assets resulting from beneficial interest transactions:
Non-Service shares		(37,328,219	)		(22,913,255	)
Service shares		(3,994,353	)		(10,340,669	)

		(41,322,572	)		(33,253,924	)


Net Assets
Total increase (decrease)		(36,881,204	)		167,078,932
Beginning of period		761,954,600			594,875,668


End of period (including accumulated net investment loss of $1,757,369 and $53,163, respectively)	$	725,073,396		$	761,954,600

See accompanying Notes to Financial Statements.

10 OPPENHEIMER DISCOVERY MID CAP GROWTH FUND/VA

FINANCIAL HIGHLIGHTS


Non-Service Shares		Six Months Ended June 30, 2014 (Unaudited)			Year Ended December 31, 2013			Year Ended December 31, 2012			Year Ended December 30, 2011	¹		Year Ended December 31, 2010			Year Ended December 31, 2009
Per Share Operating Data
Net asset value, beginning of period	$	74.51		$	54.80		$	47.06		$	46.55		$	36.52		$	27.54
Income (loss) from investment operations:
Net investment income (loss)²		(0.17	)³		(0.16	)		0.01			(0.26	)		(0.11	)		(0.05	)
Net realized and unrealized gain		0.70			19.88			7.73			0.77			10.14			9.03
Total from investment operations		0.53			19.72			7.74			0.51			10.03			8.98
Dividends and/or distributions to shareholders:
Dividends from net investment income		0.00			(0.01	)		0.00			0.00			0.00			0.00
Net asset value, end of period	$	75.04		$	74.51		$	54.80		$	47.06		$	46.55		$	36.52



Total Return, at Net Asset Value⁴		0.71	%		35.98	%		16.45	%		1.09	%		27.46	%		32.61	%

Ratios/Supplemental Data
Net assets, end of period (in thousands)	$	692,365		$	725,406		$	558,934		$	543,020		$	611,872		$	547,683
Average net assets (in thousands)	$	698,176		$	618,970		$	575,072		$	605,083		$	548,739		$	478,968
Ratios to average net assets:⁵
Net investment income (loss)		(0.46	)%³		(0.24	)%		0.03	%		(0.53	)%		(0.29	)%		(0.17	)%
Total expenses⁶		0.82	%		0.84	%		0.85	%		0.84	%		0.85	%		0.86	%
Expenses after payments, waivers and/or reimbursements and reduction to custodian expenses		0.80	%		0.80	%		0.80	%		0.80	%		0.76	%		0.71	%
Portfolio turnover rate		52	%		84	%		66	%		91	%		95	%		102	%

1. December 30, 2011 represents the last business day of the Fund’s reporting period.

2. Per share amounts calculated based on the average shares outstanding during the period.

3. Net investment income per share and the net investment income ratio include $0.09 and 0.25%, respectively, resulting from a special dividend from TransDigm Group Inc. in June 2014.

4. Assumes an initial investment on the business day before the first day of the fiscal period, with all dividends and distributions reinvested in additional shares on the reinvestment date, and redemption at the net asset value calculated on the last business day of the fiscal period. Total returns are not annualized for periods less than one full year. Total return information does not reflect expenses that apply at the separate account level or to related insurance products. Inclusion of these charges would reduce the total return figures for all periods shown. Returns do not reflect the deduction of taxes that a shareholder would pay on fund distributions or the redemption of fund shares.

5. Annualized for periods less than one full year.

6. Total expenses including indirect expenses from affiliated fund were as follows:


Six Months Ended June 30, 2014	0.82	%
Year Ended December 31, 2013	0.84	%
Year Ended December 31, 2012	0.85	%
Year Ended December 30, 2011	0.84	%
Year Ended December 31, 2010	0.85	%
Year Ended December 31, 2009	0.86	%

See accompanying Notes to Financial Statements.

11 OPPENHEIMER DISCOVERY MID CAP GROWTH FUND/VA

FINANCIAL HIGHLIGHTS _Continued


Service Shares		Six Months Ended June 30, 2014 (Unaudited)			Year Ended December 31, 2013			Year Ended December 31, 2012			Year Ended December 30, 2011	¹		Year Ended December 31, 2010			Year Ended December 31, 2009
Per Share Operating Data
Net asset value, beginning of period	$	72.22		$	53.25		$	45.84		$	45.46		$	35.75		$	27.03
Income (loss) from investment operations:
Net investment loss²		(0.25	)³		(0.30	)		(0.12	)		(0.37	)		(0.20	)		(0.13	)
Net realized and unrealized gain		0.67			19.27			7.53			0.75			9.91			8.85
Total from investment operations		0.42			18.97			7.41			0.38			9.71			8.72
Dividends and/or distributions to shareholders:
Dividends from net investment income		0.00			0.00			0.00			0.00			0.00			0.00
Net asset value, end of period	$	72.64		$	72.22		$	53.25		$	45.84		$	45.46		$	35.75



Total Return, at Net Asset Value⁴		0.59	%		35.62	%		16.17	%		0.83	%		27.16	%		32.26	%

Ratios/Supplemental Data
Net assets, end of period (in thousands)	$	32,708		$	36,549		$	35,942		$	35,773		$	32,669		$	26,098
Average net assets (in thousands)	$	34,451		$	35,905		$	37,842		$	37,775		$	27,552		$	22,605
Ratios to average net assets:⁵
Net investment loss		(0.71	)%³		(0.49	)%		(0.22	)%		(0.78	)%		(0.53	)%		(0.44	)%
Total expenses⁶		1.07	%		1.09	%		1.10	%		1.09	%		1.10	%		1.12	%
Expenses after payments, waivers and/or reimbursements and reduction to custodian expenses		1.05	%		1.05	%		1.05	%		1.05	%		1.01	%		0.97	%
Portfolio turnover rate		52	%		84	%		66	%		91	%		95	%		102	%

1. December 30, 2011 represents the last business day of the Fund’s reporting period.

2. Per share amounts calculated based on the average shares outstanding during the period.

3. Net investment income per share and the net investment income ratio include $0.09 and 0.25%, respectively, resulting from a special dividend from TransDigm Group Inc. in June 2014.

5. Annualized for periods less than one full year.

6. Total expenses including indirect expenses from affiliated fund were as follows:


Six Months Ended June 30, 2014	1.07	%
Year Ended December 31, 2013	1.09	%
Year Ended December 31, 2012	1.10	%
Year Ended December 30, 2011	1.09	%
Year Ended December 31, 2010	1.10	%
Year Ended December 31, 2009	1.12	%

See accompanying Notes to Financial Statements.

12 OPPENHEIMER DISCOVERY MID CAP GROWTH FUND/VA

NOTESTO FINANCIAL STATEMENTS June 30, 2014 Unaudited

1. Significant Accounting Policies

Oppenheimer Discovery Mid Cap Growth Fund/VA (the “Fund”) is a separate series of Oppenheimer Variable Account Funds, as a diversified open-end management investment company registered under the Investment Company Act of 1940, as amended. The Fund’s investment objective is to seek capital appreciation. The Fund’s investment adviser is OFI Global Asset Management, Inc. (“OFI Global” or the “Manager”), a wholly-owned subsidiary of OppenheimerFunds Inc. (“OFI” or the “Sub-Adviser”). The Manager has entered into a sub-advisory agreement with OFI. Shares of the Fund are sold only to separate accounts of life insurance companies.

The Fund offers two classes of shares. Both classes are sold at their offering price, which is the net asset value per share, to separate investment accounts of participating insurance companies as an underlying investment for variable life insurance policies, variable annuity contracts or other investment products. The class of shares designated as Service shares is subject to a distribution and service plan. Both classes of shares have identical rights and voting privileges with respect to the Fund in general and exclusive voting rights on matters that affect that class alone. Earnings, net assets and net asset value per share may differ due to each class having its own expenses, such as transfer and shareholder servicing agent fees and shareholder communications, directly attributable to that class.

The following is a summary of significant accounting policies consistently followed by the Fund.

Investment in Oppenheimer Institutional Money Market Fund. The Fund is permitted to invest daily available cash balances in an affiliated money market fund. The Fund may invest the available cash in Class E shares of Oppenheimer Institutional Money Market Fund (“IMMF”) to seek current income while preserving liquidity. IMMF is a registered open-end management investment company, regulated as a money market fund under the Investment Company Act of 1940, as amended. The Manager is the investment adviser of IMMF, and the Sub-Adviser provides investment and related advisory services to IMMF. When applicable, the Fund’s investment in IMMF is included in the Statement of Investments. Shares of IMMF are valued at their net asset value per share. As a shareholder, the Fund is subject to its proportional share of IMMF’s Class E expenses, including its management fee. The Manager will waive fees and/or reimburse Fund expenses in an amount equal to the indirect management fees incurred through the Fund’s investment in IMMF.

Allocation of Income, Expenses, Gains and Losses. Income, expenses (other than those attributable to a specific class), gains and losses are allocated on a daily basis to each class of shares based upon the relative proportion of net assets represented by such class. Operating expenses directly attributable to a specific class are charged against the operations of that class.

Federal Taxes. The Fund intends to comply with provisions of the Internal Revenue Code applicable to regulated investment companies and to distribute substantially all of its investment company taxable income to shareholders. Therefore, no federal income or excise tax provision is required. The Fund files income tax returns in U.S. federal and applicable state jurisdictions. The statute of limitations on the Fund’s tax return filings generally remain open for the three preceding fiscal reporting period ends.

During the fiscal year ended December 31, 2013, the Fund utilized $121,849,981 of capital loss carryforward to offset capital gains realized in that fiscal year. The Fund had post-October losses of $1,131,911. Details of the fiscal year ended December 31, 2013 capital loss carryforwards are included in the table below. Capital loss carryforwards with no expiration, if any, must be utilized prior to those with expiration dates. Capital losses with no expiration will be carried forward to future years if not offset by gains.


Expiring
2017	$	50,885,832

As of June 30, 2014, it is estimated that the fund will have no capital loss carryforwards. The estimated capital loss carryforward represents the carryforward as of the end of the last fiscal year, increased or decreased by capital losses or gains realized in the first six months of the current fiscal year. During the six months ended June 30, 2014, it is estimated that the Fund will utilize $52,017,743 of capital loss carryforward to offset realized capital gains.

Net investment income (loss) and net realized gain (loss) may differ for financial statement and tax purposes. The character of dividends and distributions made during the fiscal year from net investment income or net realized gains may differ from their ultimate characterization for federal income tax purposes. Also, due to timing of dividends and distributions, the fiscal year in which amounts are distributed may differ from the fiscal year in which the income or net realized gain was recorded by the Fund.

The aggregate cost of securities and other investments and the composition of unrealized appreciation and depreciation of securities and other investments for federal income tax purposes as of June 30, 2014 are noted in the following table. The primary difference between book and tax appreciation or depreciation of securities and other investments, if applicable, is attributable to the tax deferral of losses or tax realization of financial statement unrealized gain or loss.


Federal tax cost of securities	$	546,709,119

Gross unrealized appreciation	$	177,782,740
Gross unrealized depreciation		(2,159,062	)

Net unrealized appreciation	$	175,623,678

13 OPPENHEIMER DISCOVERY MID CAP GROWTH FUND/VA

NOTESTO FINANCIAL STATEMENTS Unaudited / Continued

1. Significant Accounting Policies (Continued)

deemed investment, resulting in a Fund asset equal to the deferred compensation liability. Such assets are included as a component of “Other” within the asset section of the Statement of Assets and Liabilities. Deferral of trustees’ fees under the plan will not affect the net assets of the Fund, and will not materially affect the Fund’s assets, liabilities or net investment income per share. Amounts will be deferred until distributed in accordance with the compensation deferral plan.

Dividends and Distributions to Shareholders. Dividends and distributions to shareholders, which are determined in accordance with income tax regulations and may differ from U.S. generally accepted accounting principles, are recorded on the ex-dividend date. Income and capital gain distributions, if any, are declared and paid annually or at other times as deemed necessary by the Manager. The tax character of distributions is determined as of the Fund’s fiscal year end. Therefore, a portion of the Fund’s distributions made to shareholders prior to the Fund’s fiscal year end may ultimately be categorized as a tax return of capital.

Investment Income. Dividend income is recorded on the ex-dividend date or upon ex-dividend notification in the case of certain foreign dividends where the ex-dividend date may have passed. Non-cash dividends included in dividend income, if any, are recorded at the fair market value of the securities received. Interest income is recognized on an accrual basis. Discount and premium, which are included in interest income on the Statement of Operations, are amortized or accreted daily.

Custodian Fees. “Custodian fees and expenses” in the Statement of Operations may include interest expense incurred by the Fund on any cash overdrafts of its custodian account during the period. Such cash overdrafts may result from the effects of failed trades in portfolio securities and from cash outflows resulting from unanticipated shareholder redemption activity. The Fund pays interest to its custodian on such cash overdrafts, to the extent they are not offset by positive cash balances maintained by the Fund, at a rate equal to the Federal Funds Rate plus 0.50%. The “Reduction to custodian expenses” line item, if applicable, represents earnings on cash balances maintained by the Fund during the period. Such interest expense and other custodian fees may be paid with these earnings.

Security Transactions. Security transactions are recorded on the trade date. Realized gains and losses on securities sold are determined on the basis of identified cost.

Indemnifications. The Fund’s organizational documents provide current and former trustees and officers with a limited indemnification against liabilities arising in connection with the performance of their duties to the Fund. In the normal course of business, the Fund may also enter into contracts that provide general indemnifications. The Fund’s maximum exposure under these arrangements is unknown as this would be dependent on future claims that may be made against the Fund. The risk of material loss from such claims is considered remote.

Other. The preparation of financial statements in conformity with accounting principles generally accepted in the United States of America requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of increases and decreases in net assets from operations during the reporting period. Actual results could differ from those estimates.

2. Securities Valuation

The Fund calculates the net asset value of its shares as of the close of the New York Stock Exchange (the “Exchange”), normally 4:00 P.M. Eastern time, on each day the Exchange is open for trading.

The Fund’s Board has adopted procedures for the valuation of the Fund’s securities and has delegated the day-to-day responsibility for valuation determinations under those procedures to the Manager. The Manager has established a Valuation Committee which is responsible for determining a “fair valuation” for any security for which market quotations are not “readily available.” The Valuation Committee’s fair valuation determinations are subject to review, approval and ratification by the Fund’s Board at its next regularly scheduled meeting covering the calendar quarter in which the fair valuation was determined.

Valuation Methods and Inputs

Securities are valued using unadjusted quoted market prices, when available, as supplied primarily by third party pricing services or dealers.

The following methodologies are used to determine the market value or the fair value of the types of securities described below:

Securities traded on a registered U.S. securities exchange (including exchange-traded derivatives other than futures and futures options) are valued based on the last sale price of the security reported on the principal exchange on which it is traded, prior to the time when the Fund’s assets are valued. In the absence of a sale, the security is valued at the last sale price on the prior trading day, if it is within the spread of the current day’s closing “bid” and “asked” prices, and if not, at the current day’s closing bid price. A security of a foreign issuer traded on a foreign exchange, but not listed on a registered U.S. securities exchange, is valued based on the last sale price on the principal exchange on which the security is traded, as identified by the third party pricing service used by the Manager, prior to the time when the Fund’s assets are valued. If the last sale price is unavailable, the security is valued at the most recent official closing price on the principal exchange on which it is traded. If the last sales price or official closing price for a foreign security is not available, the security is valued at the mean between the bid and asked price per the exchange or, if not available from the exchange,

14 OPPENHEIMER DISCOVERY MID CAP GROWTH FUND/VA

2. Securities Valuation (Continued)

obtained from two dealers. If bid and asked prices are not available from either the exchange or two dealers, the security is valued by using one of the following methodologies (listed in order of priority): (1) using a bid from the exchange, (2) the mean between the bid and asked price as provided by a single dealer, or (3) a bid from a single dealer.

Shares of a registered investment company that are not traded on an exchange are valued at that investment company’s net asset value per share.

Corporate and government debt securities (of U.S. or foreign issuers) and municipal debt securities, event-linked bonds, loans, mortgage-backed securities, collateralized mortgage obligations, and asset-backed securities are valued at the mean between the “bid” and “asked” prices utilizing evaluated prices obtained from third party pricing services or broker-dealers who may use matrix pricing methods to determine the evaluated prices.

Short-term money market type debt securities with a remaining maturity of sixty days or less are valued at cost adjusted by the amortization of discount or premium to maturity (amortized cost), which approximates market value. Short-term debt securities with a remaining maturity in excess of sixty days are valued at the mean between the “bid” and “asked” prices utilizing evaluated prices obtained from third party pricing services or broker-dealers.

A description of the standard inputs that may generally be considered by the third party pricing vendors in determining their evaluated prices is provided below.


Security Type		Standard inputs generally considered by third-party pricing vendors
Corporate debt, government debt, municipal, mortgage-backed and asset-backed securities		Reported trade data, broker-dealer price quotations, benchmark yields, issuer spreads on comparable securities, the credit quality, yield, maturity, and other appropriate factors.
Loans		Information obtained from market participants regarding reported trade data and broker-dealer price quotations.
Event-linked bonds		Information obtained from market participants regarding reported trade data and broker-dealer price quotations.

If a market value or price cannot be determined for a security using the methodologies described above, or if, in the “good faith” opinion of the Manager, the market value or price obtained does not constitute a “readily available market quotation,” or a significant event has occurred that would materially affect the value of the security the security is fair valued either (i) by a standardized fair valuation methodology applicable to the security type or the significant event as previously approved by the Valuation Committee and the Fund’s Board or (ii) as determined in good faith by the Manager’s Valuation Committee. The Valuation Committee considers all relevant facts that are reasonably available, through either public information or information available to the Manager, when determining the fair value of a security. Fair value determinations by the Manager are subject to review, approval and ratification by the Fund’s Board at its next regularly scheduled meeting covering the calendar quarter in which the fair valuation was determined. Those fair valuation standardized methodologies include, but are not limited to, valuing securities at the last sale price or initially at cost and subsequently adjusting the value based on: changes in company specific fundamentals, changes in an appropriate securities index, or changes in the value of similar securities which may be further adjusted for any discounts related to security-specific resale restrictions. When possible, such methodologies use observable market inputs such as unadjusted quoted prices of similar securities, observable interest rates, currency rates and yield curves. The methodologies used for valuing securities are not necessarily an indication of the risks associated with investing in those securities nor can it be assured that the Fund can obtain the fair value assigned to a security if it were to sell the security.

To assess the continuing appropriateness of security valuations, the Manager, or its third party service provider who is subject to oversight by the Manager, regularly compares prior day prices, prices on comparable securities, and sale prices to the current day prices and challenges those prices exceeding certain tolerance levels with the third party pricing service or broker source. For those securities valued by fair valuations, whether through a standardized fair valuation methodology or a fair valuation determination, the Valuation Committee reviews and affirms the reasonableness of the valuations based on such methodologies and fair valuation determinations on a regular basis after considering all relevant information that is reasonably available.

Classifications

Each investment asset or liability of the Fund is assigned a level at measurement date based on the significance and source of the inputs to its valuation. Various data inputs are used in determining the value of each of the Fund’s investments as of the reporting period end. These data inputs are categorized in the following hierarchy under applicable financial accounting standards:

1) Level 1-unadjusted quoted prices in active markets for identical assets or liabilities (including securities actively traded on a securities exchange)

2) Level 2-inputs other than unadjusted quoted prices that are observable for the asset or liability (such as unadjusted quoted prices for similar assets and market corroborated inputs such as interest rates, prepayment speeds, credit risks, etc.)

3) Level 3-significant unobservable inputs (including the Manager’s own judgments about assumptions that market participants would use in pricing the asset or liability).

The inputs used for valuing securities are not necessarily an indication of the risks associated with investing in those securities.

15 OPPENHEIMER DISCOVERY MID CAP GROWTH FUND

NOTES TO FINANCIAL STATEMENTS _{Unaudited / Continued}

2. Securities Valuation (Continued)

The table below categorizes amounts that are included in the Fund’s Statement of Assets and Liabilities as of June 30, 2014 based on valuation input level:


	Level 1— Unadjusted Quoted Prices		Level 2— Other Significant Observable Inputs		Level 3— Significant Unobservable Inputs		Value
Assets Table
Investments, at Value:
Common Stocks
Consumer Discretionary	$	165,018,270	$	—	$	—	$	165,018,270
Consumer Staples		31,669,592		—		—		31,669,592
Energy		41,030,496		—		—		41,030,496
Financials		46,350,395		—		—		46,350,395
Health Care		97,033,806		—		—		97,033,806
Industrials		131,858,298		—		—		131,858,298
Information Technology		124,397,564		—		—		124,397,564
Materials		40,948,172		—		—		40,948,172
Telecommunication Services		13,388,001		—		—		13,388,001
Investment Company		30,638,203		—		—		30,638,203

Total Assets	$	722,332,797	$	—	$	—	$	722,332,797

Forward currency exchanges contracts and futures contracts, if any, are reported at their unrealized appreciation/ depreciation at measurement date, which represents the change in the contract’s value from trade date. All additional assets and liabilities included in the above table are reported at their market value at measurement date.

3. Shares of Beneficial Interest

The Fund has authorized an unlimited number of $0.001 par value shares of beneficial interest of each class. Transactions in shares of beneficial interest were as follows:


	Six Months Ended June 30, 2014						Year Ended December 31, 2013
	Shares			Amount			Shares			Amount
Class Non-Service
Sold		295,660		$	22,222,141			1,267,875		$	87,221,834
Dividends and/or distributions reinvested		—			—			1,176			73,101
Redeemed		(804,460	)		(59,550,360	)		(1,732,026	)		(110,208,190	)

Net decrease		(508,800	)	$	(37,328,219	)		(462,975	)	$	(22,913,255	)


Class Service
Sold		25,991		$	1,866,972			78,939		$	4,862,175
Dividends and/or distributions reinvested		—			—			—			—
Redeemed		(81,799	)		(5,861,325	)		(247,872	)		(15,202,844	)

Net decrease		(55,808	)	$	(3,994,353	)		(168,933	)	$	(10,340,669	)

4. Purchases and Sales of Securities

The aggregate cost of purchases and proceeds from sales of securities, other than short-term obligations and investments in IMMF, for the six months ended June 30, 2014 were as follows:


	Purchases		Sales
Investment securities	$	372,432,426	$	442,357,136

5. Fees and Other Transactions with Affiliates

Management Fees. Under the investment advisory agreement, the Fund pays the Manager a management fee based on the daily net assets of the Fund at an annual rate as shown in the following table:


Fee Schedule
Up to $200 million			0.75%
Next $200 million			0.72
Next $200 million			0.69
Next $200 million			0.66
Next $700 million			0.60
Over $1.5 billion			0.58

Sub-Adviser Fees. The Manager has retained the Sub-Adviser to provide the day-to-day portfolio management of the Fund. Under the Sub-Advisory Agreement, the Manager pays the Sub-Adviser an annual fee in monthly installments, equal to a percentage of the investment management fee collected by the Manager from the Fund, which shall be calculated after any investment management fee waivers. The fee paid to the Sub-Adviser is paid by the Manager, not by the Fund.

16 OPPENHEIMER DISCOVERY MID CAP GROWTH FUND/VA

5. Fees and Other Transactions with Affiliates (Continued)

Transfer Agent Fees. OFI Global (the “Transfer Agent”) serves as the transfer and shareholder servicing agent for the Fund. The Fund pays the Transfer Agent a fee based on annual net assets. Fees incurred and average net assets for each class with respect to these services are detailed in the Statement of Operations and Financial Highlights, respectively.

Sub-Transfer Agent Fees. The Transfer Agent has retained Shareholder Services, Inc., a wholly-owned subsidiary of OFI (the “Sub-Transfer Agent”), to provide the day-to-day transfer agent and shareholder servicing of the Fund. Under the Sub-Transfer Agency Agreement, the Transfer Agent pays the Sub-Transfer Agent an annual fee in monthly installments, equal to a percentage of the transfer agent fee collected by the Transfer Agent from the Fund, which shall be calculated after any applicable fee waivers. The fee paid to the Sub-Transfer Agent is paid by the Transfer Agent, not by the Fund.

Distribution and Service Plan for Service Shares. The Fund has adopted a Distribution and Service Plan (the “Plan”) in accordance with Rule 12b-1 under the Investment Company Act of 1940 for Service shares to pay OppenheimerFunds Distributor, Inc. (the “Distributor”), for distribution related services, personal service and account maintenance for the Fund’s Service shares. Under the Plan, payments are made periodically at an annual rate of 0.25% of the daily net assets of Service shares of the Fund. The Distributor currently uses all of those fees to compensate sponsors of the insurance product that offers Fund shares, for providing personal service and maintenance of accounts of their variable contract owners that hold Service shares. These fees are paid out of the Fund’s assets on an on-going basis and increase operating expenses of the Service shares, which results in lower performance compared to the Fund’s shares that are not subject to a service fee. Fees incurred by the Fund under the Plan are detailed in the Statement of Operations.

Waivers and Reimbursements of Expenses. The Manager has contractually agreed to limit the Fund’s expenses after payments, waivers and/or reimbursements and reduction to custodian expenses, excluding expenses incurred directly or indirectly by the Fund as a result of investments in other investment companies, wholly-owned subsidiaries and pooled investment vehicles; so that those expenses, as percentages of daily net assets, will not exceed the annual rate of 0.80% for Non-Service shares and 1.05% for Service shares. During the six months ended June 30, 2014, the Manager waived fees and/or reimbursed the Fund $88,397 and $4,221 for Non-Service and Service shares, respectively.

The Manager will waive fees and/or reimburse Fund expenses in an amount equal to the indirect management fees incurred through the Fund’s investment in IMMF. During the six months ended June 30, 2014, the Manager waived fees and/or reimbursed the Fund $7,392 for IMMF management fees.

Some of these undertakings may be modified or terminated at any time; some may not be modified or terminated until after one year from the date of the current prospectus, as indicated therein.

6. Pending Litigation

In 2009, seven class action lawsuits were filed in the U.S. District Court for the District of Colorado against OppenheimerFunds, Inc. (“OFI”), OppenheimerFunds Distributor, Inc., the Fund’s principal underwriter and distributor (the “Distributor”), and certain funds (but not including the Fund) advised by OFI Global Asset Management, Inc. and distributed by the Distributor (the “Defendant Funds”). The lawsuits also named as defendants certain officers and current and former trustees of the respective Defendant Funds. The lawsuits raised claims under federal securities law and alleged, among other things, that the disclosure documents of the respective Defendant Funds contained misrepresentations and omissions and that the respective Defendant Funds’ investment policies were not followed. The plaintiffs in these actions sought unspecified damages, equitable relief and awards of attorneys’ fees and litigation expenses. The Defendant Funds’ Boards of Trustees also engaged counsel to represent the Funds and the present and former Independent Trustees named in those suits. On March 5, 2014, the parties in six of these lawsuits executed stipulations and agreements of settlement resolving those actions. On July 31, 2014, the court entered an order and final judgment approving the settlements as fair, reasonable and adequate. The settlements do not resolve a seventh outstanding lawsuit relating to Oppenheimer Rochester California Municipal Fund.

Other class action and individual lawsuits have been filed since 2008 in various state and federal courts against OFI and certain of its affiliates by investors seeking to recover investments they allegedly lost as a result of the “Ponzi” scheme run by Bernard L. Madoff and his firm, Bernard L. Madoff Investment Securities, LLC (“BLMIS”). Plaintiffs in these suits allege that they suffered losses as a result of their investments in several funds managed by an affiliate of OFI and assert a variety of claims, including breach of fiduciary duty, fraud, negligent misrepresentation, unjust enrichment, and violation of federal and state securities laws and regulations, among others. They seek unspecified damages, equitable relief and awards of attorneys’ fees and litigation expenses. Neither the Distributor, nor any of the Oppenheimer mutual funds, their independent trustees or directors are named as defendants in these lawsuits. None of the Oppenheimer mutual funds invested in any funds or accounts managed by Madoff or BLMIS. On February 28, 2011, a stipulation of partial settlement of three groups of consolidated putative class action lawsuits relating to these matters was filed in the U.S. District Court for the Southern District of New York. On August 19, 2011, the court entered an order and final

judgment approving the settlement as fair, reasonable and adequate. In September 2011, certain parties filed notices of appeal from the court’s order approving the settlement. In June 2014, the appellate court affirmed the lower court’s order approving the settlement. Certain parties subsequently filed a petition for certiorari before the U.S. Supreme Court further challenging the settlement approval order. The settlement does not resolve other outstanding lawsuits against OFI and its affiliates relating to BLMIS.

OFI believes the lawsuits and appeals described above are without legal merit and, with the exception of actions it has settled, is defending against them vigorously. While it is premature to render any opinion as to the outcome in these lawsuits, or whether any costs that the Defendant Funds may bear in defending the suits might not be reimbursed by insurance, OFI believes that these suits should not impair the ability of OFI or the Distributor to perform their respective duties to the Fund, and that the outcome of all of the suits together should not have any material effect on the operations of any of the Oppenheimer mutual funds.

17 OPPENHEIMER DISCOVERY MID CAP GROWTH FUND

PORTFOLIO PROXY VOTING POLICIESAND PROCEDURES;

UPDATES TO STATEMENTS OF INVESTMENTS Unaudited / Continued

The Fund has adopted Portfolio Proxy Voting Policies and Procedures under which the Fund votes proxies relating to securities (“portfolio proxies”) held by the Fund. A description of the Fund’s Portfolio Proxy Voting Policies and Procedures is available (i) without charge, upon request, by calling the Fund toll-free at 1.800.525.7048, (ii) on the Fund’s website at oppenheimerfunds.com, and (iii) on the SEC’s website at www.sec.gov. In addition, the Fund is required to file Form N-PX, with its complete proxy voting record for the 12 months ended June 30th, no later than August 31st of each year. The Fund’s voting record is available (i) without charge, upon request, by calling the Fund toll-free at 1.800.525.7048, and (ii) in the Form N-PX filing on the SEC’s website at www.sec.gov.

The Fund files its complete schedule of portfolio holdings with the SEC for the first quarter and the third quarter of each fiscal year on Form N-Q. The Fund’s Form N-Q filings are available on the SEC’s website at www.sec.gov. Those forms may be reviewed and copied at the SEC’s Public Reference Room in Washington, D.C. Information on the operation of the Public Reference Room may be obtained by calling 1-800-SEC-0330.

18 OPPENHEIMER DISCOVERY MID CAP GROWTH FUND/VA

THIS PAGE INTENTIONALLY LEFT BLANK.

19 OPPENHEIMER DISCOVERY MID CAP GROWTH FUND


OPPENHEIMER DISCOVERY MID CAP GROWTH FUND/VA


A Series of Oppenheimer Variable Account Funds

Trustees and Officers		Sam Freedman, Chairman of the Board of Trustees and Trustee Edward L. Cameron, Trustee Jon S. Fossel, Trustee Richard F. Grabish, Trustee Beverly L. Hamilton, Trustee Victoria J. Herget, Trustee Robert J. Malone, Trustee F. William Marshall, Jr., Trustee Karen L. Stuckey, Trustee James D. Vaughn, Trustee William F. Glavin, Jr., Trustee, President and Principal Executive Officer Ronald J. Zibelli, Jr., Vice President Justin Livengood, Vice President Arthur S. Gabinet, Secretary and Chief Legal Officer Christina M. Nasta, Vice President and Chief Business Officer Mary Ann Picciotto, Chief Compliance Officer and Chief Anti-Money Laundering Officer Brian W. Wixted, Treasurer and Principal Financial & Accounting Officer

Manager		OFI Global Asset Management, Inc.

Sub-Adviser		OppenheimerFunds, Inc.

Distributor		OppenheimerFunds Distributor, Inc.

Transfer and Shareholder Servicing Agent		OFI Global Asset Management, Inc.

Sub-Transfer Agent		Shareholder Services, Inc. DBA OppenheimerFunds Services

Independent Registered Public Accounting Firm		KPMGLLP

Counsel		K&L Gates LLP

		Before investing in any of the Oppenheimer funds, investors should carefully consider a fund’s investment objectives, risks, charges and expenses. Fund prospectuses and summary prospectuses contain this and other information about the funds and may be obtained by asking your financial advisor, visiting oppenheimerfunds.com or calling us at 1.800.988.8287. Read prospectuses and summary prospectuses carefully before investing.

		The financial statements included herein have been taken from the records of the Fund without examination of those records by the independent registered public accounting firm.

		© 2014 OppenheimerFunds, Inc. All rights reserved. Oppenheimer funds are distributed by OppenheimerFunds Distributor, Inc.

LOGO

Portfolio Managers: Krishna Memani and Magnus Krantz

Cumulative Total Returns

For the 6-Month Period Ended 6/30/14


Non-Service Shares	5.47	%
Service Shares	5.41	%

Average Annual Total Returns

For the Periods Ended 6/30/14


	1-Year	5-Year	10-Year
Non-Service Shares	12.98%	11.46%	3.18%
Service Shares	12.67%	11.17%	2.93%

Performance data quoted represents past performance, which does not guarantee future results. The investment return and principal value of an investment in the Fund will fluctuate so that an investor’s shares, when redeemed, may be worth more or less than their original cost. Current performance may be lower or higher than the performance quoted. For performance data current to the most recent month end, call us at 1.800.988.8287. The Fund’s total returns should not be expected to be the same as the returns of other funds, whether or not both funds have the same portfolio managers and/or similar names. The Fund’s total returns include changes in share price and reinvested distributions but do not include the charges associated with the separate account products that offer this Fund. Such performance would have been lower if such charges were taken into account.

TOP TEN COMMON STOCK HOLDINGS


Apple, Inc.	1.1	%
Actavis plc	0.9
Chevron Corp.	0.9
Noble Energy, Inc.	0.8
Pfizer, Inc.	0.8
Mondelez International, Inc., Cl. A	0.8
JPMorgan Chase & Co.	0.8
Exelon Corp.	0.8
Citigroup, Inc.	0.7
National Oilwell Varco, Inc.	0.7

Portfolio holdings and allocations are subject to change. Percentages are as of June 30, 2014, and are based on net assets. For more current Fund holdings, please visit oppenheimerfunds.com.

PORTFOLIO ALLOCATION


Mortgage-Backed Obligations
Government Agency	22.1	%
Non-Agency	7.3
Common Stocks	28.1
Non-Convertible Corporate Bonds and Notes	25.5
Asset-Backed Securities	9.9
Investment Company
Oppenheimer Institutional Money Market Fund	3.6
U.S. Government Obligations	3.2
Preferred Stocks	0.3
Over-the-Counter Credit Default Swaptions Purchased	—	*

*Less than 0.005%.

Portfolio holdings and allocations are subject to change. Percentages are as of June 30, 2014, and are based on the total market value of investments.

2 OPPENHEIMER CAPITAL INCOME FUND/VA

Fund Performance Discussion

The Fund’s Non-Service shares produced a return of 5.47% during the reporting period. On a relative basis, the Fund outperformed its Reference Index, which returned 5.06%. The Fund’s Reference Index is a customized weighted index currently comprised of the following underlying broad-based security indices: 65% of the Barclays U.S. Aggregate Bond Index and 35% of the Russell 3000 Index. Measured separately, the Barclays U.S. Aggregate Bond Index returned 3.93% and the Russell 3000 Index returned 6.94%.

GLOBAL MARKET AND ECONOMIC ENVIRONMENT

The global economy started 2014 with continued slow and steady growth throughout the developed world. However, data in the U.S. softened for the first quarter, partially attributed to cold weather effects across much of the country. This resulted in heightened volatility across multiple asset classes to begin the year, with U.S. high grade bonds and U.S. Treasuries delivering the strongest returns in January.

However, the U.S. released positive economic data later in the reporting period. The unemployment rate fell to 6.3%, the economy finally regained all of the jobs lost during the 2008 recession, and the U.S. stock market achieved record highs. In June, the U.S. Federal Reserve (the “Fed”) also stated it would reduce the amount of monthly bond purchases by an additional $10 billion and reaffirmed its intention to keep short-term interest rates near zero. Shortly after the reporting period ended, a positive June jobs report was released, in which the official unemployment rate fell to 6.1%, its lowest level since September 2008.

The Eurozone also grew at a slightly faster pace, but has continued to struggle with very low inflation and weak bank lending. In response, the European Central Bank (the “ECB”) announced numerous measures this reporting period, which also bolstered the markets. Measures included a benchmark interest rate cut, the introduction of a negative deposit rate to encourage banks to lend, among various other measures to flood the system with liquidity. Beyond that, the ECB said it would prepare to purchase packages of loans from banks to allow for increased lending.

Against this backdrop, global equities and higher-yielding fixed-income securities generally rallied through the end of the reporting period and outperformed U.S. Treasuries.

EQUITY STRATEGY REVIEW

The equity strategy produced positive absolute performance during the reporting period, but underperformed the Russell 3000 Index. The underperformance was largely the result of less favorable stock selection in the financials and consumer staples sectors. The Fund outperformed the Russell 3000 Index in the health care, industrials and information technology sectors, due to stronger relative stock selection.

The equity strategy’s top contributors to performance included Actavis plc, Exelon Corp. and Apple, Inc. Actavis develops and markets branded, generic, and over-the-counter products worldwide. The stock reacted favorably after management preannounced a positive earnings surprise due mostly to revenue synergies and cost savings from the recent merger with Warner Chilcott. Free cash generation was above expectations as well, and was used to pay down debt. This reduced balance sheet leverage, thus providing financial flexibility for additional acquisitions to further the company’s growth initiatives. Later in the reporting period, management announced the acquisition of Forest Labs. This news was well received as Forest not only accelerates the revenue growth potential for Actavis, but, in our opinion, also should result in increased profitability as higher margin branded drugs become a larger percentage of the company’s business. Exelon is an energy provider and holding company for several energy businesses. Over the first half of the reporting period, natural gas prices rallied in the midst of a harsh winter. The increase in natural gas prices benefited Exelon this reporting period. Apple performed well during the second half of 2013 due to excitement surrounding the introduction of two new iPhones as well as the addition of China Mobile as a distribution partner. Apple also rallied strongly in April 2014 after iPhone sales came in higher than analysts anticipated and the company announced a 7-for-1 stock split and increased both its dividend and share repurchases.

The most significant detractors from the equity strategy’s performance included Ocwen Financial Corp., Pier 1 Imports, Inc. and CIT Group, Inc. Ocwen Financial’s primary business is the acquisition, servicing, and resolution of sub-and nonperforming residential and commercial mortgages. The stock declined during the reporting period due primarily to heightened regulatory scrutiny which became evident when the New York Department of Financial Services blocked the sale of a portfolio of mortgage servicing rights (MSR) from Wells Fargo to Ocwen. The latter has exhibited strong business growth, in part, due to ongoing acquisitions of MSR portfolios from large mortgage lenders. Consequently, this blocked purchase raised investor concerns about fewer opportunities for growth. Because of these rising worries, we have eliminated our position in the company. Pier 1 Imports, a specialty retailer of home furnishings and accessories, detracted from performance as result of earnings that fell short of consensus estimates – leading to falling forecasts. Revenues largely met expectations, with comparable store

3 OPPENHEIMER CAPITAL INCOME FUND/VA

sales better-than-anticipated; however, profitability was under pressure due to increased promotional activity that helped to drive store traffic – but at a cost to gross margins. The company was also negatively impacted by the severe winter weather in the U.S. over the first half of the period. We believe improved merchandising can lead to both rising same-store-sales and expanding profitability, thus we have maintained our holdings in Pier 1. CIT Group is a commercial bank holding company that offers lending, leasing, debt restructuring, equipment financing and advisory services to small- and mid-sized businesses. Shares of CIT Group declined after the company reported a drop in net income due mostly to a narrowing of net interest margin – a key measure of profitability.

FIXED-INCOME STRATEGY REVIEW

The Fund’s fixed-income strategy maintained a significant underweight position to government bonds, and instead sourced its exposure primarily through corporate bonds, mortgages and other securitized products. This positioning drove the strategy’s performance during the reporting period, as corporate bond performance versus U.S. Treasuries was strong. Given the reporting period was mostly favorable for credit markets and the low default rate environment, the Fund was well positioned given its emphasis on bonds with better than average yields. Overall, the corporate bonds in which the Fund invests continued to perform well during the reporting period. A few stand-outs were from the finance and telecommunications sectors, but overall performance was positive across corporate bond sectors. New issuance provided an opportunity to find attractive yield opportunities. Our modest exposure to high yield bonds in the form of BB corporates also contributed positively to Fund returns during the reporting period.

Among mortgages, the Fund had its largest exposure to government agency mortgage-backed securities (“MBS”), with a smaller allocation to non-agency MBS. The Fund also had positions in collateralized MBS and asset-backed securities (“ABS”). Each of these positions produced positive results this reporting period as they offered relatively attractive yields, sparking greater demand as investors resumed their search for more competitive levels of current income.

Detracting from relative performance this reporting period was the Fund’s modest exposure to U.S. Treasuries, which produced positive returns despite underperforming higher-yielding fixed-income securities.

The Fund’s investment strategy and focus can change over time. The mention of specific fund holdings does not constitute a recommendation by OppenheimerFunds, Inc. or its affiliates.

4 OPPENHEIMER CAPITAL INCOME FUND/VA

Fund Expenses

The examples are based on an investment of $1,000.00 invested at the beginning of the period and held for the entire 6-month period ended June 30, 2014.

Hypothetical Example for Comparison Purposes.


Actual	Beginning Account Value January 1, 2014		Ending Account Value June 30, 2014		Expenses Paid During 6 Months Ended June 30, 2014
Non-Service shares	$	1,000.00	$	1,054.70	$	3.42
Service shares		1,000.00		1,054.10		4.70

Hypothetical
(5% return before expenses)

Non-Service shares		1,000.00		1,021.47		3.36
Service shares		1,000.00		1,020.23		4.62


Class		Expense Ratios
Non-Service shares		0.67%
Service shares		0.92

5 OPPENHEIMER CAPITAL INCOME FUND/VA


STATEMENTOF INVESTMENTS June 30, 2014 Unaudited


	Shares		Value

Common Stocks—33.6%

Consumer Discretionary—4.7%
Auto Components—0.4%
Delphi Automotive plc		16,870	$	1,159,644


Automobiles—0.3%
General Motors Co.		20,120		730,356


Diversified Consumer Services—0.3%

LifeLock, Inc.¹		57,000		795,720


Household Durables—0.3%

Toll Brothers, Inc.¹		22,620		834,678


Media—1.4%

Comcast Corp., Cl. A		31,470		1,689,310

Time Warner, Inc.		15,370		1,079,742

Time, Inc.¹		1,921		46,527

Twenty-First Century Fox, Inc., Cl. A		30,380		1,067,857

				3,883,436


Specialty Retail—1.5%

AutoZone, Inc.¹		2,450		1,313,788

Pier 1 Imports, Inc.		40,090		617,787

Ross Stores, Inc.		15,680		1,036,918

Signet Jewelers Ltd.		10,930		1,208,749

				4,177,242


Textiles, Apparel & Luxury Goods—0.5%

PVH Corp.		11,570		1,349,062


Consumer Staples—2.2%

Food Products—1.2%

Flowers Foods, Inc.		46,655		983,487

Mondelez International, Inc., Cl. A		58,560		2,202,442

				3,185,929


Household Products—0.3%

Henkel AG & Co. KGaA		10,595		1,066,172


Tobacco—0.7%

Philip Morris International, Inc.		23,430		1,975,383


Energy—3.4%

Energy Equipment & Services—0.7%

National Oilwell Varco, Inc.		25,060		2,063,691


Oil, Gas & Consumable Fuels—2.7%

Chevron Corp.		18,630		2,432,146

Energy XXI Bermuda Ltd.		31,363		741,108

Noble Energy, Inc.		30,310		2,347,813

Plains All American Pipeline LP		14,422		866,041

Western Refining, Inc.		27,120		1,018,356

				7,405,464



Financials—5.9%

Capital Markets—0.2%

WisdomTree Investments, Inc.¹		42,790		528,884


Commercial Banks—2.7%

BancorpSouth, Inc.		19,660		483,046

CIT Group, Inc.		33,690		1,541,654

Citigroup, Inc.		44,040		2,074,284

Huntington Bancshares, Inc.		52,190		497,893

JPMorgan Chase & Co.		37,860		2,181,493

Webster Financial Corp.		18,620		587,275

				7,365,645


Consumer Finance—0.7%

Discover Financial Services		32,651		2,023,709


	Shares		Value
Insurance—1.3%

American International Group, Inc.		24,960	$	1,362,317

Fidelity National Financial, Inc., Cl. A		38,610		1,264,864

Genworth Financial, Inc., Cl. A¹		54,390		946,386

				3,573,567


Real Estate Investment Trusts (REITs)—1.0%

Apollo Commercial Real Estate Finance, Inc.		58,470		964,170

Digital Realty Trust, Inc.		23,830		1,389,766

STAG Industrial, Inc.		19,950		478,999

				2,832,935


Health Care—4.9%

Biotechnology—0.7%

BioMarin Pharmaceutical, Inc.¹		4,730		294,253

Celldex Therapeutics, Inc.¹		15,320		250,023

Gilead Sciences, Inc.¹		16,230		1,345,629

				1,889,905


Health Care Equipment & Supplies—0.4%

Covidien plc		7,290		657,412

DexCom, Inc.¹		13,310		527,875

				1,185,287


Health Care Providers & Services—0.9%

Omnicare, Inc.		8,580		571,170

Team Health Holdings, Inc.¹		8,420		420,495

Universal Health Services, Inc., Cl. B		10,140		971,006

WellCare Health Plans, Inc.¹		6,230		465,132

				2,427,803


Pharmaceuticals—2.9%

AbbVie, Inc.		17,070		963,431

Actavis plc¹		11,690		2,607,455

Allergan, Inc.		4,360		737,799

Bristol-Myers Squibb Co.		17,950		870,754

Pfizer, Inc.		75,695		2,246,628

Prestige Brands Holdings, Inc.¹		15,580		528,006

				7,954,073


Industrials—3.8%

Airlines—0.2%

United Continental Holdings, Inc.¹		16,150		663,280


Commercial Services & Supplies—0.8%

Republic Services, Inc., Cl. A		19,700		748,009

Tyco International Ltd.		31,260		1,425,456

				2,173,465


Construction & Engineering—0.4%

AECOM Technology Corp.¹		15,730		506,506

MasTec, Inc.¹		15,100		465,382

				971,888


Industrial Conglomerates—0.7%

General Electric Co.		72,420		1,903,198


Machinery—0.6%

Deere & Co.		11,050		1,000,577

Joy Global, Inc.		11,550		711,249

				1,711,826


Professional Services—0.4%

Robert Half International, Inc.		24,750		1,181,565


Road & Rail—0.6%

Canadian National Railway Co.		27,280		1,773,746


Trading Companies & Distributors—0.1%

NOW, Inc.¹		6,265		226,856

6 OPPENHEIMER CAPITAL INCOME FUND/VA


	Shares		Value

Information Technology—6.0%

Communications Equipment—0.2%

Finisar Corp.¹		31,330	$	618,768


Internet Software & Services—1.6%

Facebook, Inc., Cl. A¹		20,880		1,405,015

Google, Inc., Cl. A¹		1,480		865,312

Google, Inc., Cl. C¹		2,340		1,346,155

Web.com Group, Inc.¹		26,740		771,984

				4,388,466


IT Services—1.0%

Amdocs Ltd.		22,910		1,061,420

MasterCard, Inc., Cl. A		13,240		972,743

Xerox Corp.		61,150		760,706

				2,794,869


Semiconductors & Semiconductor Equipment—0.9%

Applied Materials, Inc.		38,020		857,351

Cavium, Inc.¹		11,080		550,233

Skyworks Solutions, Inc.		22,400		1,051,904

				2,459,488


Software—0.8%

Fortinet, Inc.¹		32,620		819,740

Guidewire Software, Inc.¹		11,170		454,172

ServiceNow, Inc.¹		8,210		508,692

Splunk, Inc.¹		6,590		364,625

				2,147,229


Technology Hardware, Storage & Peripherals—1.5%

Apple, Inc.		32,410		3,011,861

Western Digital Corp.		13,280		1,225,744

				4,237,605


Materials—1.3%

Construction Materials—0.4%

Vulcan Materials Co.		19,310		1,231,012


Containers & Packaging—0.4%

Packaging Corp. of America		14,210		1,015,873


Metals & Mining—0.2%

Kaiser Aluminum Corp.		6,980		508,633


Paper & Forest Products—0.3%

P.H. Glatfelter Co.		27,990		742,575


Telecommunication Services—0.6%

Diversified Telecommunication Services—0.6%

ORBCOMM, Inc.¹		375		2,471

Verizon Communications, Inc.		31,450		1,538,849

				1,541,320


Utilities—0.8%

Electric Utilities—0.8%

Exelon Corp.		59,130		2,157,062

Total Common Stocks (Cost $77,224,303)				92,857,309


Preferred Stock—0.4%

Henkel AG & Co. KGaA, Preference (Cost $814,599)		8,650		1,000,581

	Principal Amount

Asset-Backed Securities—11.9%

Auto Loan—9.6%

American Credit Acceptance Receivables Trust:
Series 2012-2,Cl. A, 1.89%, 7/15/16²	$	39,707		39,797
Series 2012-3,Cl. A, 1.64%, 11/15/16²		28,391		28,451
Series 2012-3,Cl. C, 2.78%, 9/17/18²		955,000		963,755
Series 2013-2,Cl. B, 2.84%, 5/15/19²		443,000		451,333
Series 2014-1,Cl. B, 2.39%, 11/12/19²		625,000		628,211
Series 2014-2,Cl. A, 0.99%, 10/10/17²		483,272		483,339


	Principal Amount		Value

Auto Loan (Continued)

American Credit Acceptance Receivables Trust: (Continued)
Series 2014-2,Cl. B, 2.26%, 3/10/20²	$	160,000	$	160,069

AmeriCredit Automobile Receivables Trust:
Series 2012-2,Cl. D, 3.38%, 4/9/18		485,000		503,792
Series 2012-4,Cl. D, 2.68%, 10/9/18		70,000		71,912
Series 2012-5,Cl. C, 1.69%, 11/8/18		165,000		166,719
Series 2012-5,Cl. D, 2.35%, 12/10/18		925,000		940,452
Series 2013-1,Cl. C, 1.57%, 1/8/19		725,000		728,261
Series 2013-1,Cl. E, 2.64%, 7/8/20²		75,000		76,229
Series 2013-2,Cl. E, 3.41%, 10/8/20²		415,000		423,936
Series 2013-4,Cl. D, 3.31%, 10/8/19		677,000		702,232
Series 2014-2,Cl. D, 2.57%, 7/8/20		225,000		226,350

California Republic Auto Receivables Trust, Series
2014-2, Cl. C, 3.29%, 3/15/21		95,000		95,154

Capital Auto Receivables Asset Trust:
Series 2013-1,Cl. D, 2.19%, 9/20/21		125,000		125,467
Series 2014-1,Cl. D, 3.39%, 7/22/19		140,000		143,886

CarFinance Capital Auto Trust:
Series 2013-1A,Cl. A, 1.65%, 7/17/17²		76,017		76,266
Series 2013-2A,Cl. B, 3.15%, 8/15/19²		635,000		644,514
Series 2014-1A,Cl. A, 1.46%, 12/17/18²		164,504		164,584

CarMax Auto Owner Trust, Series 2014-2, Cl. D,
2.58%, 11/16/20		335,000		336,119

Centre Point Funding LLC, Series 2010-1A, Cl. 1,
5.43%, 7/20/16²		34,457		35,254

CPS Auto Receivables Trust:
Series 2012-B,Cl. A, 2.52%, 9/16/19²		163,854		166,290
Series 2012-C,Cl. A, 1.82%, 12/16/19²		57,507		58,040
Series 2014-A,Cl. A, 1.21%, 8/15/18²		553,607		552,842
Series 2014-B,Cl. A, 1.11%, 11/15/18²		290,000		290,308

Credit Acceptance Auto Loan Trust:
Series 2012-2A,Cl. B, 2.21%, 9/15/20²		50,000		50,678
Series 2013-1A,Cl. B, 1.83%, 4/15/21²		165,000		166,507
Series 2013-2A,Cl. B, 2.26%, 10/15/21³		310,000		314,222
Series 2014-1A,Cl. B, 2.29%, 4/15/22²		240,000		242,296

DT Auto Owner Trust:
Series 2012-1A,Cl. D, 4.94%, 7/16/18²		150,000		152,939
Series 2013-1A,Cl. D, 3.74%, 5/15/20²		200,000		204,063
Series 2013-2A,Cl. D, 4.18%, 6/15/20²		545,000		561,295
Series 2014-1A,Cl. D, 3.98%, 1/15/21²		435,000		441,356
Series 2014-2A,Cl. D, 3.68%, 4/15/21²		615,000		616,438

Exeter Automobile Receivables Trust:
Series 2012-2A,Cl. B, 2.22%, 12/15/17²		130,000		131,575
Series 2012-2A,Cl. C, 3.06%, 7/16/18²		516,000		527,228
Series 2013-2A,Cl. B, 3.09%, 7/16/18²		940,000		963,663
Series 2013-2A,Cl. C, 4.35%, 1/15/19²		480,000		499,926
Series 2014-1A,Cl. B, 2.42%, 1/15/19²		280,000		282,501
Series 2014-1A,Cl. C, 3.57%, 7/15/19²		280,000		288,224
Series 2014-2A,Cl. A, 1.06%, 8/15/18²		135,000		135,009
Series 2014-2A,Cl. C, 3.26%, 12/16/19²		135,000		135,897

First Investors Auto Owner Trust:
Series 2012-1A,Cl. D, 5.65%, 4/15/18²		140,000		147,132
Series 2013-3A,Cl. B, 2.32%, 10/15/19²		465,000		470,516
Series 2013-3A,Cl. C, 2.91%, 1/15/20²		200,000		203,697
Series 2013-3A,Cl. D, 3.67%, 5/15/20²		165,000		169,391
Series 2014-1A,Cl. D, 3.28%, 4/15/21²		270,000		272,415

Flagship Credit Auto Trust, Series 2014-1, Cl. A,
1.21%, 4/15/19²		249,592		249,664

Ford Credit Auto Owner Trust, Series 2013-A, Cl. D,
1.86%, 8/15/19		195,000		194,233

Ford Credit Floorplan Master Owner Trust A,
Series 2012-2, Cl. C, 2.86%, 1/15/19		215,000		222,974

GM Financial Automobile Leasing Trust,
Series 2014-1A, Cl. D, 2.51%, 3/20/19²		470,000		471,628

Prestige Auto Receivables Trust, Series 2011-1A,
Cl. D, 5.18%, 7/16/18²		300,000		305,035

Santander Drive Auto Receivables Trust:
Series 2012-2,Cl. D, 3.87%, 2/15/18		375,000		390,545
Series 2012-4,Cl. D, 3.50%, 6/15/18		495,000		514,564
Series 2012-5,Cl. D, 3.30%, 9/17/18		540,000		561,821

7 OPPENHEIMER CAPITAL INCOME FUND/VA


STATEMENT OF INVESTMENTS Unaudited / Continued


	Principal Amount		Value

Auto Loan (Continued)

Santander Drive Auto Receivables Trust: (Continued)
Series 2012-6,Cl. D, 2.52%, 9/17/18	$	235,000	$	240,528
Series 2012-AA,Cl. D, 2.46%, 12/17/18²		945,000		961,343
Series 2013-1,Cl. C, 1.76%, 1/15/19		295,000		297,799
Series 2013-1,Cl. D, 2.27%, 1/15/19		155,000		157,149
Series 2013-2,Cl. D, 2.57%, 3/15/19		715,000		731,519
Series 2013-3,Cl. C, 1.81%, 4/15/19		950,000		956,403
Series 2013-3,Cl. D, 2.42%, 4/15/19		245,000		249,033
Series 2013-4,Cl. D, 3.92%, 1/15/20		130,000		137,696
Series 2013-5,Cl. C, 2.25%, 6/17/19		715,000		722,142
Series 2013-A,Cl. C, 3.12%, 10/15/19²		315,000		325,380
Series 2014-1,Cl. D, 2.91%, 4/15/20		265,000		271,053

SNAAC Auto Receivables Trust:
Series 2012-1A,Cl. C, 4.38%, 6/15/17²		395,000		401,367
Series 2013-1A,Cl. C, 3.07%, 8/15/18²		100,000		102,192
Series 2014-1A,Cl. A, 1.03%, 9/17/18²		213,752		213,836
Series 2014-1A,Cl. D, 2.88%, 1/15/20²		165,000		165,865

United Auto Credit Securitization Trust:
Series 2012-1,Cl. C, 2.52%, 3/15/16²		120,000		120,608
Series 2012-1,Cl. D, 3.12%, 3/15/18²		605,000		609,266
Series 2013-1,Cl. B, 1.74%, 4/15/16²		265,000		266,084
Series 2013-1,Cl. C, 2.22%, 12/15/17²		170,000		171,187
Series 2013-1,Cl. D, 2.90%, 12/15/17²		30,000		30,280

Westlake Automobile Receivables Trust,
Series 2014-1A, Cl. D, 2.20%, 2/15/21²		180,000		179,917

				26,481,641


Credit Card—1.4%

Capital One Multi-Asset Execution Trust:
Series 2006-A11,Cl. A11, 0.242%, 6/17/19⁴		665,000		663,092
Series 2006-A3,Cl. A3, 5.05%, 12/17/18		715,000		766,125

Chase Issuance Trust, Series 2012-A3, Cl. A3, 0.79%,
6/15/17		650,000		652,518

Citibank Credit Card Issuance Trust:
Series 2013-A11,Cl. A11, 0.391%, 2/7/18⁴		400,000		400,451
Series 2013-A6,Cl. A6, 1.32%, 9/7/18		680,000		686,842

GE Capital Credit Card Master Note Trust:
Series 2010-1,Cl. A, 3.69%, 3/15/18		355,000		362,935
Series 2012-1,Cl. A, 1.03%, 1/15/18		370,000		371,143

				3,903,106


Equipment—0.2%

CLI Funding V LLC, Series 2014-1A, Cl. A, 3.29%,
6/18/29²		375,000		377,235

FRS I LLC, Series 2013-1A, Cl. A1, 1.80%, 4/15/43²		64,695		64,486

Trip Rail Master Funding LLC, Series 2014-1A, Cl. A1,
2.863%, 4/15/44²		114,296		115,131

				556,852


Home Equity Loan—0.7%

Element Rail Leasing I LLC, Series 2014-1A, Cl. A1,
2.299%, 4/19/44²		365,759		365,735

New Residential Advance Receivables Trust:
Series 2014-T1,Cl. A1, 1.274%, 3/15/45²		490,000		490,633
Series 2014-T1,Cl. B1, 1.671%, 3/15/45²		420,000		420,333

TAL Advantage LLC:
Series 2014-1A,Cl. A, 3.51%, 2/22/39²		449,500		457,218
Series 2014-2A,Cl. A1, 1.70%, 5/20/39²		151,703		151,877

				1,885,796

Total Asset-Backed Securities (Cost $32,513,223)				32,827,395


Mortgage-Backed Obligations—35.3%

Government Agency—26.5%

FHLMC/FNMA/FHLB/Sponsored—26.4%

Federal Home Loan Mortgage Corp. Gold Pool:
4.50%, 10/1/18		58,345		61,901
5.00%, 12/1/34		4,349		4,830
5.50%, 9/1/39		703,508		793,086
6.50%, 4/1/18-4/1/34		51,780		57,402
7.00%, 10/1/31-10/1/37		260,163		291,933


	Principal Amount		Value

FHLMC/FNMA/FHLB/Sponsored (Continued)

Federal Home Loan Mortgage Corp. Gold Pool: (Continued)
8.00%, 4/1/16	$	7,831	$	8,043
9.00%, 8/1/22-5/1/25		6,482		7,125

Federal Home Loan Mortgage Corp., Interest-Only Stripped Mtg.-Backed Security:
Series 183,Cl. IO, 13.814%, 4/1/27⁵		113,883		21,227
Series 192,Cl. IO, 8.098%, 2/1/28⁵		31,347		6,918
Series 243,Cl. 6, 0.00%, 12/15/32⁵^,⁶		94,959		19,098

Federal Home Loan Mortgage Corp., Principal-Only Stripped Mtg.-Backed Security, Series 176, Cl. PO,
4.007%, 6/1/26⁷		34,583		33,035

Federal Home Loan Mortgage Corp., Real Estate Mtg. Investment Conduit Multiclass
Pass-Through Certificates:
Series 2426,Cl. BG, 6.00%, 3/15/17		90,401		95,501
Series 2427,Cl. ZM, 6.50%, 3/15/32		177,048		200,169
Series 2461,Cl. PZ, 6.50%, 6/15/32		86,041		96,944
Series 2500,Cl. FD, 0.652%, 3/15/32⁴		13,366		13,513
Series 2526,Cl. FE, 0.552%, 6/15/29⁴		16,445		16,569
Series 2551,Cl. FD, 0.552%, 1/15/33⁴		10,181		10,247
Series 2626,Cl. TB, 5.00%, 6/15/33		215,967		234,522
Series 2635,Cl. AG, 3.50%, 5/15/32		67,746		71,014
Series 2707,Cl. QE, 4.50%, 11/15/18		545,714		578,981
Series 2770,Cl. TW, 4.50%, 3/15/19		23,638		25,175
Series 3025,Cl. SJ, 24.194%, 8/15/35⁴		31,467		47,129
Series 3030,Cl. FL, 0.552%, 9/15/35⁴		153,940		154,353
Series 3741,Cl. PA, 2.15%, 2/15/35		494,702		506,246
Series 3815,Cl. BD, 3.00%, 10/15/20		22,218		22,883
Series 3822,Cl. JA, 5.00%, 6/15/40		163,279		174,642
Series 3840,Cl. CA, 2.00%, 9/15/18		16,397		16,690
Series 3848,Cl. WL, 4.00%, 4/15/40		256,341		265,480
Series 3857,Cl. GL, 3.00%, 5/15/40		14,315		14,703
Series 4221,Cl. HJ, 1.50%, 7/15/23		1,285,824		1,289,122

Federal Home Loan Mortgage Corp., Real Estate Mtg. Investment Conduit Multiclass Pass-Through Certificates, Interest-Only Stripped Mtg.-Backed Security:
Series 2130,Cl. SC, 52.104%, 3/15/29⁵		110,626		27,421
Series 2796,Cl. SD, 53.848%, 7/15/26⁵		151,262		34,587
Series 2920,Cl. S, 54.426%, 1/15/35⁵		736,717		131,151
Series 2922,Cl. SE, 6.844%, 2/15/35⁵		43,677		7,880
Series 3201,Cl. SG, 4.659%, 8/15/36⁵		120,692		20,880
Series 3397,Cl. GS, 14.721%, 12/15/37⁵		49,076		9,106
Series 3424,Cl. EI, 8.548%, 4/15/38⁵		38,867		5,437
Series 3450,Cl. BI, 11.522%, 5/15/38⁵		140,064		20,734
Series 3606,Cl. SN, 3.74%, 12/15/39⁵		76,042		10,736

Federal National Mortgage Assn.:
2.50%, 6/18/27⁸		2,885,000		2,931,430
3.00%, 7/1/27⁸		2,030,000		2,109,297
3.50%, 7/17/27⁸		2,800,000		2,968,438
4.00%, 7/1/28-7/1/41⁸		20,895,000		22,182,117
4.50%, 7/1/22-7/1/39⁸		10,419,000		11,275,842
5.00%, 7/1/37⁸		13,975,000		15,520,989
6.00%, 7/1/37⁸		425,000		478,789

Federal National Mortgage Assn. Pool:
3.50%, 12/1/20-2/1/22		595,171		631,842
5.00%, 3/1/21		28,193		29,925
5.50%, 9/1/20		5,062		5,495
6.00%, 11/1/17-3/1/37		352,955		395,831
6.50%, 5/1/17-10/1/19		81,254		85,456
7.00%, 11/1/17-10/1/35		30,657		33,216
7.50%, 1/1/33		106,019		125,138
8.50%, 7/1/32		6,276		7,227

Federal National Mortgage Assn., Interest-Only Stripped Mtg.-Backed Security:
Series 222,Cl. 2, 19.638%, 6/1/23⁵		244,619		49,345
Series 233,Cl. 2, 50.419%, 8/1/23⁵		178,348		42,912
Series 252,Cl. 2, 40.782%, 11/1/23⁵		234,205		47,389
Series 319,Cl. 2, 0.00%, 2/1/32⁵^,⁶		51,655		10,718
Series 320,Cl. 2, 7.126%, 4/1/32⁵		16,239		3,705
Series 321,Cl. 2, 0.00%, 4/1/32^5,6		179,388		37,706
Series 331,Cl. 9, 5.415%, 2/1/33⁵		196,063		47,915
Series 334,Cl. 17, 12.469%, 2/1/33⁵		117,130		27,225
Series 339,Cl. 12, 0.00%, 6/25/33^5,6		167,756		33,631
Series 339,Cl. 7, 0.00%, 11/25/33^5,6		484,637		97,136
Series 343,Cl. 13, 0.00%, 9/1/33^5,6		162,470		29,790

8 OPPENHEIMER CAPITAL INCOME FUND/VA


	Principal Amount		Value

FHLMC/FNMA/FHLB/Sponsored (Continued)

Federal National Mortgage Assn., Interest-Only Stripped Mtg.-Backed Security: (Continued)
Series 345,Cl. 9, 0.00%, 1/1/34^5,6	$	146,593	$	31,141
Series 351,Cl. 10, 0.00%, 4/1/34^5,6		22,500		4,213
Series 351,Cl. 8, 0.00%, 4/1/34^5,6		74,321		13,821
Series 356,Cl. 10, 0.00%, 6/1/35^5,6		54,021		10,004
Series 356,Cl. 12, 0.00%, 2/1/35^5,6		28,902		5,381
Series 362,Cl. 13, 0.00%, 8/1/35^5,6		195,873		35,597
Series 364,Cl. 16, 0.00%, 9/1/35^5,6		137,775		25,606

Federal National Mortgage Assn., Real Estate Mtg. Investment Conduit Multiclass Pass-Through Certificates:
Series 1998-61,Cl. PL, 6.00%, 11/25/28		81,220		89,896
Series 2003-130,Cl. CS, 13.796%, 12/25/33⁴		20,423		23,802
Series 2003-28,Cl. KG, 5.50%, 4/25/23		368,726		402,594
Series 2003-84,Cl. GE, 4.50%, 9/25/18		35,089		36,947
Series 2004-101,Cl. BG, 5.00%, 1/25/20		290,298		302,367
Series 2004-25,Cl. PC, 5.50%, 1/25/34		288,541		307,730
Series 2005-104,Cl. MC, 5.50%, 12/25/25		398,259		438,691
Series 2005-31,Cl. PB, 5.50%, 4/25/35		250,000		283,685
Series 2005-73,Cl. DF, 0.402%, 8/25/35⁴		393,705		394,283
Series 2006-11,Cl. PS, 24.009%, 3/25/36⁴		115,990		178,823
Series 2006-46,Cl. SW, 23.642%, 6/25/36⁴		85,413		120,260
Series 2006-50,Cl. KS, 23.643%, 6/25/36⁴		19,124		29,340
Series 2008-14,Cl. BA, 4.25%, 3/25/23		154,800		162,523
Series 2008-75,Cl. DB, 4.50%, 9/25/23		133,183		140,435
Series 2009-113,Cl. DB, 3.00%, 12/25/20		468,857		483,163
Series 2009-36,Cl. FA, 1.092%, 6/25/37⁴		148,383		151,604
Series 2009-37,Cl. HA, 4.00%, 4/25/19		141,549		147,746
Series 2009-70,Cl. NT, 4.00%, 8/25/19		15,592		16,274
Series 2009-70,Cl. TL, 4.00%, 8/25/19		1,521,485		1,588,003
Series 2010-43,Cl. KG, 3.00%, 1/25/21		218,080		226,061
Series 2011-15,Cl. DA, 4.00%, 3/25/41		72,536		76,140
Series 2011-3,Cl. EL, 3.00%, 5/25/20		791,122		815,328
Series 2011-3,Cl. KA, 5.00%, 4/25/40		272,012		294,429
Series 2011-38,Cl. AH, 2.75%, 5/25/20		18,040		18,572
Series 2011-82,Cl. AD, 4.00%, 8/25/26		469,128		491,974

Federal National Mortgage Assn., Real Estate Mtg. Investment Conduit Multiclass Pass-Through Certificates, Interest-Only Stripped Mtg.-Backed Security:
Series 2001-65,Cl. S, 27.451%, 11/25/31⁵		189,687		40,810
Series 2001-81,Cl. S, 24.292%, 1/25/32⁵		49,342		12,974
Series 2002-47,Cl. NS, 30.021%, 4/25/32⁵		136,266		30,393
Series 2002-51,Cl. S, 30.214%, 8/25/32⁵		125,125		27,908
Series 2002-52,Cl. SD, 34.767%, 9/25/32⁵		174,421		47,480
Series 2002-77,Cl. SH, 34.87%, 12/18/32⁵		77,102		17,058
Series 2002-84,Cl. SA, 33.689%, 12/25/32⁵		190,171		48,586
Series 2002-9,Cl. MS, 25.126%, 3/25/32⁵		54,108		10,936
Series 2003-33,Cl. SP, 28.112%, 5/25/33⁵		207,725		41,633
Series 2003-4,Cl. S, 29.773%, 2/25/33⁵		118,434		31,029
Series 2003-46,Cl. IH, 0.00%, 6/25/23^5,6		435,074		62,331
Series 2004-54,Cl. DS, 38.925%, 11/25/30⁵		141,896		26,859
Series 2004-56,Cl. SE, 10.798%, 10/25/33⁵		39,810		7,220
Series 2005-12,Cl. SC, 9.023%, 3/25/35⁵		21,886		4,635
Series 2005-14,Cl. SE, 36.859%, 3/25/35⁵		70,106		10,934
Series 2005-40,Cl. SA, 48.516%, 5/25/35⁵		377,880		78,769
Series 2005-52,Cl. JH, 1.85%, 5/25/35⁵		897,179		141,805
Series 2005-93,Cl. SI, 16.734%, 10/25/35⁵		95,990		15,433
Series 2007-88,Cl. XI, 34.68%, 6/25/37⁵		245,793		32,528
Series 2008-55,Cl. SA, 16.593%, 7/25/38⁵		142,328		19,982
Series 2009-8,Cl. BS, 0.00%, 2/25/24^5,6		56,568		4,252
Series 2012-40,Cl. PI, 1.527%, 4/25/41⁵		410,231		69,755

Federal National Mortgage Assn., Real Estate Mtg. Investment Conduit Multiclass Pass-Through Certificates, Principal-Only Stripped Mtg.-Backed
Security, Series 1993-184, Cl. M, 4.861%, 9/25/23⁷		89,406		86,522

				72,831,182


GNMA/Guaranteed—0.1%

Government National Mortgage Assn. I Pool:
7.00%, 1/15/24		59,982		65,601
7.50%, 1/15/23-6/15/24		44,237		48,083
8.00%, 5/15/17-4/15/23		31,926		35,046


	Principal Amount		Value

GNMA/Guaranteed (Continued)

Government National Mortgage Assn. I Pool: (Continued)
8.50%, 8/15/17-12/15/17	$	7,588	$	8,089

Government National Mortgage Assn., Interest-Only Stripped Mtg.-Backed Security:
Series 2002-15,Cl. SM, 61.323%, 2/16/32⁵		231,319		42,383
Series 2002-76,Cl. SY, 63.582%, 12/16/26⁵		501,433		110,649
Series 2007-17,Cl. AI, 13.767%, 4/16/37⁵		515,785		95,266
Series 2011-52,Cl. HS, 9.557%, 4/16/41⁵		254,235		49,881

				454,998


Non-Agency—8.8%

Commercial—7.5%

Banc of America Commercial Mortgage Trust:
Series 2006-5,Cl. AM, 5.448%, 9/10/47		85,000		91,499
Series 2006-6,Cl. AM, 5.39%, 10/10/45		830,000		896,891

BCAP LLC Trust, Series 2011-R11, Cl. 18A5, 2.20%, 9/26/35^2,4		359,628		369,836

Bear Stearns Adjustable Rate Mortgage Trust,
Series 2005-9, Cl. A1, 2.41%, 10/25/35⁴		1,104,185		1,096,919

Bear Stearns Commercial Mortgage Securities Trust,
Series 2006-T24, Cl. AM, 5.568%, 10/12/41⁴		365,000		396,986

CD Commercial Mortgage Trust, Series 2006-CD2,
Cl. AM, 5.527%, 1/15/46⁴		515,000		547,096

Citigroup Commercial Mortgage Trust:
Series 2008-C7,Cl. AM, 6.341%, 12/10/49⁴		105,000		117,994
Series 2013-GC11,Cl. D, 4.606%, 4/10/46^2,4		185,000		173,899

Citigroup Mortgage Loan Trust, Inc., Series 2006-AR1,
Cl. 1A1, 2.50%, 10/25/35⁴		757,292		745,806

COMM Mortgage Trust:
Series 2006-C7,Cl. AM, 5.97%, 6/10/46⁴		855,000		920,263
Series 2012-CR4,Cl. D, 4.729%, 10/15/45²^,⁴		185,000		180,709
Series 2012-CR5,Cl. E, 4.48%, 12/10/45^2,4		225,000		215,811
Series 2013-CR7,Cl. D, 4.496%, 3/10/46^2,4		200,000		187,022

COMM Mortgage Trust, Interest-Only Stripped Mtg.-Backed Security:
Series 2010-C1,Cl. XPA, 0.00%, 7/10/46^2,5,6		2,525,983		80,152
Series 2012-CR5,Cl. XA, 0.00%, 12/10/45^5,6		439,257		44,632

Credit Suisse Commercial Mortgage Trust:
Series 2006-6,Cl. 1A4, 6.00%, 7/25/36		239,847		192,854
Series 2006-C1,Cl. AJ, 5.643%, 2/15/39⁴		208,000		220,889

Credit Suisse First Boston Commercial Trust, Series
2005-C6, Cl. AJ, 5.23%, 12/15/40⁴		275,000		287,778

Credit Suisse Mortgage Trust, Series 2009-13R, Cl. 4A1, 2.619%, 9/26/36^2,4		196,159		198,357

DBUBS Mortgage Trust, Series 2011-LC1A, Cl. E,
5.73%, 11/10/46^2,4		50,000		54,322

First Horizon Alternative Mortgage Securities Trust:
Series 2004-FA2,Cl. 3A1, 6.00%, 1/25/35		194,422		192,678
Series 2005-FA8,Cl. 1A6, 0.802%, 11/25/35⁴		182,613		141,329

FREMF Mortgage Trust:
Series 2011-K702,Cl. B, 4.936%, 4/25/44^2,4		275,000		299,093
Series 2012-K501,Cl. C, 3.609%, 11/25/46^2,4		50,000		51,373
Series 2013-K25,Cl. C, 3.618%, 11/25/45^2,4		60,000		59,101
Series 2013-K26,Cl. C, 3.723%, 12/25/45^2,4		40,000		39,302
Series 2013-K27,Cl. C, 3.616%, 1/25/46^2,4		110,000		107,052
Series 2013-K28,Cl. C, 3.614%, 6/25/46^2,4		110,000		106,836
Series 2013-K502,Cl. C, 3.31%, 3/25/45^2,4		220,000		223,707
Series 2013-K712,Cl. C, 3.483%, 5/25/45^2,4		70,000		70,283
Series 2013-K713,Cl. C, 3.274%, 4/25/46^2,4		145,000		143,538
Series 2014-K715,Cl. C, 4.265%, 2/25/46^2,4		35,000		36,231

GCCFC Commercial Mortgage Trust:
Series 2006-GG7,Cl. AM, 6.015%, 7/10/38⁴		230,000		249,736
Series 2007-GG11,Cl. AM, 5.867%, 12/10/49⁴		500,000		553,463
Series 2007-GG9,Cl. AM, 5.475%, 3/10/39		615,000		663,475

GE Capital Commercial Mortgage Corp.,
Series 2005-C4, Cl. AJ, 5.489%, 11/10/45⁴		180,000		183,738

GS Mortgage Securities Trust, Series 2006-GG6, Cl. AM, 5.622%, 4/10/38⁴		200,000		213,392

GSMSC Pass-Through Trust, Series 2009-3R, Cl. 1A2, 6%, 4/25/37^2,4		487,883		460,653

GSR Mortgage Loan Trust, Series 2005-AR4, Cl. 6A1, 5.211%, 7/25/35⁴		64,717		65,165

9 OPPENHEIMER CAPITAL INCOME FUND/VA


STATEMENT OF INVESTMENTS Unaudited / Continued


	Principal Amount		Value

Commercial (Continued)

JP Morgan Chase Commercial Mortgage Securities Trust:
Series 2006-CB16,Cl. AJ, 5.623%, 5/12/45	$	470,000	$	483,471
Series 2006-LDP8,Cl. AJ, 5.48%, 5/15/45⁴		450,000		480,637
Series 2012-LC9,Cl. E, 4.573%, 12/15/47^2,4		225,000		219,415

JP Morgan Mortgage Trust, Series 2007-S3, Cl. 1A90, 7%, 8/25/37		223,842		206,105

JP Morgan Resecuritization Trust:
Series 2009-11,Cl. 5A1, 2.619%, 9/26/36^2,4		728,644		731,207
Series 2009-5,Cl. 1A2, 2.612%, 7/26/36^2,4		254,004		216,731

LB-UBS Commercial Mortgage Trust, Series 2006-C4,
Cl. AM, 6.049%, 6/15/38⁴		225,000		244,396

MASTR Adjustable Rate Mortgages Trust,
Series 2004-13, Cl. 2A2, 2.642%, 4/21/34⁴		96,981		99,648

Merrill Lynch Mortgage Trust, Series 2006-C2, Cl. AM, 5.782%, 8/12/43⁴		500,000		542,707

Morgan Stanley Bank of America Merrill Lynch Trust:
Series 2012-C6,Cl. E, 4.818%, 11/15/45^2,4		95,000		93,128
Series 2013-C7,Cl. D, 4.442%, 2/15/46^2,4		115,000		108,205
Series 2013-C8,Cl. D, 4.311%, 12/15/48^2,4		80,000		74,784

Morgan Stanley Capital I Trust:
Series 2007-IQ13,Cl. AM, 5.406%, 3/15/44		470,000		512,740
Series 2007-IQ15,Cl. AM, 6.105%, 6/11/49⁴		345,000		380,829

Morgan Stanley Re-Remic Trust, Series 2012-R3, Cl. 1B, 2.049%, 11/26/36^3,4		257,384		157,601

Morgan Stanley Resecuritization Trust,
Series 2013-R9, Cl. 3A, 2.395%, 6/26/46^2,4		754,376		761,952

Structured Adjustable Rate Mortgage Loan Trust:
Series 2004-10,Cl. 2A, 2.387%, 8/25/34⁴		444,432		440,860
Series 2007-6,Cl. 3A1, 4.807%, 7/25/37⁴		213,129		168,040

UBS-Barclays Commercial Mortgage Trust, Series 2012-C2, Cl. E, 5.048%, 5/10/63^2,4		45,000		42,885

Wachovia Bank Commercial Mortgage Trust, Series 2005-C17, Cl. AJ, 5.224%, 3/15/42⁴		205,000		210,485

WaMu Mortgage Pass-Through Certificates Trust, Series 2005-AR14, Cl. 1A4, 2.376%, 12/25/35⁴		188,849		183,773

Wells Fargo Mortgage-Backed Securities Trust:
Series 2005-AR1,Cl. 1A1, 2.61%, 2/25/35⁴		44,041		44,498
Series 2005-AR10,Cl. 1A1, 2.614%, 6/25/35⁴		805,627		824,014
Series 2005-AR15,Cl. 1A6, 2.606%, 9/25/35⁴		588,178		557,837
Series 2006-AR7,Cl. 2A4, 2.613%, 5/25/36⁴		275,546		258,319
Series 2006-AR8,Cl. 2A4, 2.622%, 4/25/36⁴		217,201		213,603
Series 2007-16,Cl. 1A1, 6.00%, 12/28/37		162,548		168,872
Series 2007-AR8,Cl. A1, 6.118%, 11/25/37⁴		591,200		549,461

WF-RBS Commercial Mortgage Trust:
Series 2012-C10,Cl. D, 4.608%, 12/15/45^2,4		50,000		48,506
Series 2012-C7,Cl. E, 5.002%, 6/15/45^2,4		80,000		80,166
Series 2012-C8,Cl. E, 5.04%, 8/15/45^2,4		95,000		96,253
Series 2013-C11,Cl. D, 4.322%, 3/15/45^2,4		49,000		46,857
Series 2013-C15,Cl. D, 4.634%, 8/15/46^2,4		225,000		214,661

WF-RBS Commercial Mortgage Trust, Interest-Only Commercial Mtg. Pass-Through Certificates, Series
2011-C3, Cl. XA, 0%, 3/15/44^2,5,6		3,900,298		240,600

				20,583,106


Multi-Family—0.1%

Citigroup Mortgage Loan Trust, Inc., Series 2006-AR3,
Cl. 1A2A, 5.359%, 6/25/36⁴		120,138		112,073

Wells Fargo Mortgage-Backed Securities Trust, Series 2006-AR2, Cl. 2A3, 2.613%, 3/25/36⁴		54,829		55,074

				167,147


Residential—1.2%

Banc of America Commercial Mortgage Trust, Series 2007-4, Cl. AM, 6.015%, 2/10/51⁴		820,000		918,987

Banc of America Funding Trust:
Series 2007-1,Cl. 1A3, 6.00%, 1/25/37		130,286		118,140
Series 2007-C,Cl. 1A4, 5.354%, 5/20/36⁴		50,967		49,877

Banc of America Mortgage Trust, Series 2004-E, Cl. 2A6, 2.645%, 6/25/34⁴		142,343		142,898


	Principal Amount		Value

Residential (Continued)

Carrington Mortgage Loan Trust, Series 2006-FRE1, Cl. A2, 0.262%, 7/25/36⁴	$	103,127	$	100,867

CD Commercial Mortgage Trust, Series 2007-CD4, Cl. AMFX, 5.366%, 12/11/49⁴		885,000		935,098

Countrywide Alternative Loan Trust, Series 2005-29CB, Cl. A4, 5%, 7/25/35		533,632		462,550

Countrywide Home Loans:
Series 2005-26,Cl. 1A8, 5.50%, 11/25/35		158,941		151,173
Series 2006-6,Cl. A3, 6.00%, 4/25/36		80,391		78,196

GSR Mortgage Loan Trust, Series 2006-5F, Cl. 2A1, 6%, 6/25/36		62,664		60,478

RALI Trust:
Series 2003-QS1,Cl. A2, 5.75%, 1/25/33		49,995		50,826
Series 2006-QS13,Cl. 1A8, 6.00%, 9/25/36		16,907		13,514

WaMu Mortgage Pass-Through Certificates Trust, Series 2003-AR10, Cl. A7, 2.422%, 10/25/33⁴		198,893		202,118

Wells Fargo Mortgage-Backed Securities Trust, Series 2006-AR14, Cl. 1A2, 5.684%, 10/25/36⁴		115,736		113,802

				3,398,524

Total Mortgage-Backed Obligations
(Cost $96,252,045)				97,434,957



U.S. Government Obligations—3.9%

Federal Home Loan Mortgage Corp. Nts., 5.50%, 7/18/16		65,000		71,641

United States Treasury Nts.:
0.625%, 5/31/17		1,485,000		1,475,080
0.75%, 6/30/17		7,575,000		7,544,526
0.875%, 6/15/17		1,030,000		1,030,281
1.625%, 4/30/19		552,000		552,971

Total U.S. Government Obligations
(Cost $10,655,416)				10,674,499



Non-Convertible Corporate Bonds and Notes—30.6%

Consumer Discretionary—5.0%

Auto Components—0.5%

Dana Holding Corp., 6.75% Sr. Unsec. Nts., 2/15/21		439,000		475,766

Johnson Controls, Inc., 4.625% Sr. Unsec. Nts., 7/2/44		238,000		238,718

TRW Automotive, Inc.:
4.50% Sr. Unsec. Nts., 3/1/21²		290,000		306,675
7.25% Sr. Unsec. Nts., 3/15/17²		389,000		444,433

				1,465,592


Automobiles—1.3%

Daimler Finance North America LLC:
1.30% Sr. Unsec. Nts., 7/31/15²		463,000		466,859
8.50% Sr. Unsec. Unsub. Nts., 1/18/31		271,000		411,660

Ford Motor Credit Co. LLC, 5.875% Sr. Unsec. Unsub. Nts., 8/2/21		1,062,000		1,248,167

General Motors Co., 6.25% Sr. Unsec. Nts., 10/2/43²		437,000		502,550

Hyundai Capital America, 1.45% Sr. Unsec. Nts., 2/6/17²		468,000		469,997

Kia Motors Corp., 3.625% Sr. Unsec. Nts., 6/14/16²		341,000		357,204

				3,456,437


Hotels, Restaurants & Leisure—0.5%

Brinker International, Inc., 2.60% Sr. Unsec. Nts., 5/15/18		151,000		151,119

Carnival Corp., 1.20% Sr. Unsec. Nts., 2/5/16		465,000		467,910

Hyatt Hotels Corp., 3.875% Sr. Unsec. Unsub. Nts., 8/15/16		77,000		81,189

Starwood Hotels & Resorts Worldwide, Inc., 7.15% Sr. Unsec. Unsub. Nts., 12/1/19		164,000		195,172

10 OPPENHEIMER CAPITAL INCOME FUND/VA


	Principal Amount		Value

Hotels, Restaurants & Leisure (Continued)

Wyndham Worldwide Corp., 6% Sr. Unsec. Nts., 12/1/16	$	396,000	$	439,749

				1,335,139


Household Durables—0.4%

Jarden Corp., 6.125% Sr. Unsec. Nts., 11/15/22		416,000		442,520

Toll Brothers Finance Corp., 4% Sr. Unsec. Nts., 12/31/18		430,000		443,975

Whirlpool Corp., 1.35% Sr. Unsec. Nts., 3/1/17		123,000		123,143

				1,009,638


Media—1.5%

21st Century Fox America, Inc., 6.15% Sr. Unsec. Nts., 2/15/41		183,000		222,224

Comcast Cable Communications Holdings, Inc., 9.455% Sr. Unsec. Nts., 11/15/22		205,000		298,302

Comcast Corp., 4.65% Sr. Unsec. Unsub. Nts., 7/15/42		433,000		449,906

DIRECTV Holdings LLC/DIRECTV Financing Co., Inc., 5.15% Sr. Unsec. Nts., 3/15/42		275,000		289,382

DISH DBS Corp., 5.875% Sr. Unsec. Nts., 7/15/22		401,000		436,087

Historic TW, Inc.:
8.05% Sr. Unsec. Nts., 1/15/16		77,000		84,601
9.15% Debs., 2/1/23		38,000		52,700

Interpublic Group of Cos., Inc. (The), 4.20% Sr. Unsec. Nts., 4/15/24		226,000		233,535

Lamar Media Corp., 5% Sr. Unsec. Sub. Nts., 5/1/23		441,000		445,961

Numericable Group SA, 4.875% Sr. Sec. Nts., 5/15/19²		448,000		460,320

Pearson Funding Two plc, 4% Sr. Unsec. Nts., 5/17/16²		101,000		106,317

Time Warner Cable, Inc., 4.50% Sr. Unsec. Unsub. Nts., 9/15/42		450,000		439,013

Time Warner, Inc., 4.875% Sr. Unsec. Nts., 3/15/20		312,000		349,947

WPP Finance 2010, 4.75% Sr. Unsec. Nts., 11/21/21		315,000		346,041

				4,214,336


Multiline Retail—0.3%

Dollar General Corp., 4.125% Sr. Unsec. Nts., 7/15/17		498,000		533,372

Macy’s Retail Holdings, Inc., 5.75% Sr. Unsec. Nts., 7/15/14		414,000		414,814

				948,186


Specialty Retail—0.2%

Home Depot, Inc. (The), 4.875% Sr. Unsec. Nts., 2/15/44		167,000		182,383

L Brands, Inc., 7% Sr. Unsec. Nts., 5/1/20		51,000		58,841

Signet UK Finance plc, 4.70% Sr. Unsec. Nts., 6/15/24		228,000		232,004

				473,228


Textiles, Apparel & Luxury Goods—0.3%

Levi Strauss & Co., 7.625% Sr. Unsec. Nts., 5/15/20		411,000		444,394

PVH Corp., 4.50% Sr. Unsec. Unsub. Nts., 12/15/22		472,000		467,280

				911,674


Consumer Staples—1.6%

Beverages—0.6%

Anheuser-Busch InBev Worldwide, Inc., 8.20% Sr. Unsec. Unsub. Nts., 1/15/39		386,000		591,713

Constellation Brands, Inc., 3.75% Sr. Unsec. Nts., 5/1/21		472,000		470,820

Foster’s Finance Corp., 4.875% Sr. Unsec. Nts., 10/1/14²		270,000		272,937

SABMiller Holdings, Inc., 4.95% Sr. Unsec. Unsub. Nts., 1/15/42²		235,000		254,483

				1,589,953


Food & Staples Retailing—0.2%

Delhaize Group SA, 5.70% Sr. Unsec. Nts., 10/1/40		251,000		268,238

Kroger Co., 6.40% Sr. Unsec. Nts., 8/15/17		258,000		295,737


	Principal Amount		Value

Food & Staples Retailing (Continued)

Safeway, Inc., 5.625% Sr. Unsec. Nts., 8/15/14	$	98,000	$	98,578

				662,553


Food Products—0.5%

Bunge Ltd. Finance Corp.:
5.10% Sr. Unsec. Unsub. Nts., 7/15/15		381,000		396,925
8.50% Sr. Unsec. Nts., 6/15/19		320,000		402,485

Tyson Foods, Inc., 6.60% Sr. Unsec. Nts., 4/1/16		402,000		440,493

				1,239,903


Tobacco—0.3%

Altria Group, Inc., 10.20% Sr. Unsec. Nts., 2/6/39		261,000		443,289

Lorillard Tobacco Co., 3.75% Sr. Unsec. Nts., 5/20/23		243,000		240,311

Reynolds American, Inc., 6.75% Sr. Unsec. Nts., 6/15/17		232,000		266,495

				950,095

Energy—3.6%

Energy Equipment & Services—0.6%

Ensco plc, 4.70% Sr. Unsec. Nts., 3/15/21		119,000		129,771

Nabors Industries, Inc.:
2.35% Sr. Unsec. Nts., 9/15/16		348,000		355,423
4.625% Sr. Unsec. Nts., 9/15/21		237,000		256,996
5.00% Sr. Unsec. Nts., 9/15/20		138,000		155,021

Rowan Cos., Inc., 4.875% Sr. Unsec. Unsub. Nts., 6/1/22		179,000		191,956

Weatherford International Ltd., 5.95% Sr. Unsec. Nts., 4/15/42		353,000		401,119

				1,490,286


Oil, Gas & Consumable Fuels—3.0%

Anadarko Petroleum Corp., 6.20% Sr. Unsec. Nts., 3/15/40		186,000		234,993

Canadian Oil Sands Ltd., 6% Sr. Unsec. Nts., 4/1/42²		210,000		242,844

Chesapeake Energy Corp., 6.625% Sr. Unsec. Nts., 8/15/20		389,000		449,295

Cimarex Energy Co., 4.375% Sr. Unsec. Nts., 6/1/24		342,000		349,695

CNOOC Finance 2013 Ltd., 4.25% Sr. Unsec. Unsub. Nts., 5/9/43		164,000		152,498

CNOOC Finance 2014 ULC, 1.625% Sr. Unsec. Nts., 4/30/17		356,000		357,159

Continental Resources, Inc., 4.50% Sr. Unsec. Nts., 4/15/23		509,000		544,395

DCP Midstream LLC, 5.375% Sr. Unsec. Nts., 10/15/15²		342,000		357,674

DCP Midstream Operating LP, 3.875% Sr. Unsec. Nts., 3/15/23		504,000		510,931

El Paso Pipeline Partners Operating Co. LLC, 4.10% Sr. Unsec. Nts., 11/15/15		181,000		189,192

Enbridge Energy Partners LP, 5.35% Sr. Unsec. Nts., 12/15/14		209,000		213,428

EnLink Midstream Partners LP:
2.70% Sr. Unsec. Nts., 4/1/19		356,000		361,414
4.40% Sr. Unsec. Nts., 4/1/24		221,000		232,232

Origin Energy Finance Ltd.:
3.50% Sr. Unsec. Nts., 10/9/18²		468,000		486,097
5.45% Sr. Unsec. Nts., 10/14/21²		295,000		329,099

Pioneer Natural Resources Co., 6.65% Sr. Unsec. Nts., 3/15/17		83,000		94,523

Range Resources Corp., 5.75% Sr. Unsec. Sub. Nts., 6/1/21		435,000		471,975

Ras Laffan Liquefied Natural Gas Co. Ltd. III, 5.50% Sr. Sec. Nts., 9/30/14²		291,000		294,565

Southwestern Energy Co., 4.10% Sr. Unsec. Nts., 3/15/22		255,000		270,575

Spectra Energy Partners LP:
4.60% Sr. Unsec. Nts., 6/15/21		277,000		302,836
4.75% Sr. Unsec. Nts., 3/15/24		229,000		248,440

Targa Resources Partners LP/Targa Resources Partners Finance Corp., 5.25% Sr. Unsec. Nts., 5/1/23		470,000		493,500

11 OPPENHEIMER CAPITAL INCOME FUND/VA


STATEMENTOF INVESTMENTS Unaudited / Continued


	Principal Amount		Value

Oil, Gas & Consumable Fuels (Continued)

Whiting Petroleum Corp., 5.75% Sr. Unsec. Nts., 3/15/21	$	465,000	$	510,338

Williams Partners LP, 4.50% Sr. Unsec. Nts., 11/15/23		228,000		242,167

Woodside Finance Ltd., 4.60% Sr. Unsec. Unsub. Nts., 5/10/21²		372,000		406,482

				8,346,347


Financials—9.4%

Capital Markets—2.1%

Apollo Management Holdings LP, 4% Sr. Unsec. Nts., 5/30/24²		368,000		370,894

Blackstone Holdings Finance Co. LLC, 5% Sr. Unsec. Nts., 6/15/44²		458,000		473,409

Carlyle Holdings II Finance LLC, 5.625% Sr. Sec. Nts., 3/30/43²		243,000		270,353

Goldman Sachs Group, Inc. (The):
4.00% Sr. Unsec. Nts., 3/3/24		499,000		509,090
4.80% Sr. Unsec. Nts., 7/8/44⁸		75,000		74,634
5.70% Jr. Sub. Perpetual Bonds, Series L^4,9		448,000		465,106

Lazard Group LLC, 4.25% Sr. Unsec. Nts., 11/14/20		401,000		420,635

Macquarie Bank Ltd., 6.625% Unsec. Sub. Nts., 4/7/21²		716,000		822,750

Morgan Stanley, 5% Sub. Nts., 11/24/25		847,000		905,976

Nomura Holdings, Inc., 2% Sr. Unsec. Nts., 9/13/16		452,000		459,584

Raymond James Financial, Inc., 5.625% Sr. Unsec. Unsub. Nts., 4/1/24		265,000		299,264

UBS Preferred Funding Trust V, 6.243% Jr. Sub. Perpetual Bonds, Series 1^4,9		826,000		882,787

				5,954,482


Commercial Banks—3.6%

Amsouth Bank NA, 5.20% Sub. Nts., 4/1/15		276,000		284,773

Bank of America Corp.:
7.75% Jr. Sub. Nts., 5/14/38		424,000		582,732
8.00% Jr. Sub. Perpetual Bonds, Series K^4,9		390,000		433,722
5.125% Jr. Sub. Perpetual Bonds, Series V^4,9		83,000		82,926

Barclays Bank plc:
3.75% Sr. Unsec. Nts., 5/15/24		357,000		359,682
5.14% Sub. Nts., 10/14/20		460,000		504,428

Citigroup, Inc.:
6.675% Sub. Nts., 9/13/43		405,000		505,187
5.95% Jr. Sub. Perpetual Bonds, Series D^4,9		465,000		470,231

Commerzbank AG, 8.125% Sub. Nts., 9/19/23²		458,000		557,667

Credit Agricole SA, 6.637% Jr. Sub. Perpetual Bonds^2,4,9		736,000		783,380

HSBC Finance Capital Trust IX, 5.911% Unsec. Sub. Nts., 11/30/35⁴		1,120,000		1,169,000

JPMorgan Chase & Co., 6.75% Jr. Sub. Perpetual Bonds^4,9		399,000		431,419

Lloyds Bank plc, 6.50% Sub. Nts., 9/14/20²		382,000		448,888

Lloyds Banking Group plc, 6.657% Jr. Sub. Perpetual Bonds^2,4,9		400,000		449,000

Rabobank Capital Funding Trust III, 5.254% Jr. Sub. Perpetual Bonds^3,4,9		751,000		792,305

Regions Bank, 7.50% Sub. Nts., 5/15/18		150,000		178,513

Royal Bank of Scotland Group plc, 7.64% Jr. Sub. Perpetual Bonds, Series U^4,9		500,000		535,000

Societe Generale SA, 5.922% Jr. Sub. Perpetual Bonds^2,4,9		440,000		471,900

SunTrust Banks, Inc., 3.60% Sr. Unsec. Nts., 4/15/16		460,000		482,428

Wells Fargo & Co., 5.90% Jr. Sub. Perpetual Bonds, Series S^4,9		449,000		476,501

				9,999,682


Consumer Finance—0.2%

Ally Financial, Inc., 4.75% Sr. Unsec. Nts., 9/10/18		455,000		484,006


	Principal Amount		Value

Diversified Financial Services—0.6%

Burlington Northern Santa Fe LLC, 3% Sr. Unsec. Nts., 3/15/23	$	365,000	$	359,533

Leucadia National Corp., 5.50% Sr. Unsec. Nts., 10/18/23		652,000		693,470

Voya Financial, Inc., 5.65% Jr. Sub. Nts., 5/15/53⁴		495,000		506,138

				1,559,141


Insurance—2.0%

AIA Group Ltd., 4.875% Sr. Unsec. Nts., 3/11/44²		347,000		364,604

Arch Capital Group US, Inc., 5.144% Sr. Unsec. Nts., 11/1/43		419,000		454,330

AXIS Specialty Finance plc, 5.15% Sr. Unsec. Nts., 4/1/45		368,000		381,542

Five Corners Funding Trust, 4.419% Unsec. Nts., 11/15/23²		374,000		394,860

Genworth Holdings, Inc., 4.80% Sr. Unsec. Nts., 2/15/24		733,000		784,346

Liberty Mutual Group, Inc., 4.25% Sr. Unsec. Nts., 6/15/23²		543,000		563,547

Lincoln National Corp., 6.05% Jr. Unsec. Sub. Nts., 4/20/67⁴		811,000		824,179

Marsh & McLennan Cos., Inc., 5.375% Sr. Unsec. Nts., 7/15/14		64,000		64,116

Prudential Financial, Inc., 5.20% Jr. Sub. Nts., 3/15/44⁴		331,000		338,861

Swiss Re Capital I LP, 6.854% Jr. Sub. Perpetual Bonds^2,4,9		780,000		836,550

ZFS Finance USA Trust V, 6.50% Jr. Sub. Nts., 5/9/37^3,4		437,000		469,775

				5,476,710


Real Estate—0.1%

Ventas Realty LP, 1.25% Sr. Unsec. Nts., 4/17/17		178,000		178,119


Real Estate Investment Trusts (REITs)—0.8%

American Tower Corp.:
5.05% Sr. Unsec. Unsub. Nts., 9/1/20		285,000		317,935
5.90% Sr. Unsec. Nts., 11/1/21		233,000		269,048

ARC Properties Operating Partnership LP/Clark Acquisition LLC, 2% Sr. Unsec. Nts., 2/6/17²		454,000		455,317

CC Holdings GS V LLC/Crown Castle GS III Corp., 3.849% Sr. Sec. Nts., 4/15/23		255,000		256,328

Corrections Corp. of America, 4.125% Sr. Unsec. Nts., 4/1/20		457,000		455,857

Hospitality Properties Trust:
4.65% Sr. Unsec. Nts., 3/15/24		225,000		236,094
5.125% Sr. Unsec. Nts., 2/15/15		262,000		263,320

				2,253,899


Health Care—1.6%

Biotechnology—0.1%

Gilead Sciences, Inc., 5.65% Sr. Unsec. Unsub. Nts., 12/1/41		263,000		310,550


Health Care Equipment & Supplies—0.6%

Boston Scientific Corp., 4.125% Sr. Unsec. Nts., 10/1/23		465,000		483,857

CareFusion Corp.:
1.45% Sr. Unsec. Nts., 5/15/17		453,000		452,911
3.875% Sr. Unsec. Nts., 5/15/24		221,000		223,603

DENTSPLY International, Inc., 2.75% Sr. Unsec. Nts., 8/15/16		425,000		440,344

				1,600,715


Health Care Providers & Services—0.3%

CHS/Community Health Systems, Inc., 5.125% Sr. Sec. Nts., 8/1/21²		350,000		360,500

Fresenius Medical Care US Finance II, Inc., 5.875% Sr. Unsec. Nts., 1/31/22²		422,000		468,420

				828,920

12 OPPENHEIMER CAPITAL INCOME FUND/VA


	Principal Amount		Value

Life Sciences Tools & Services—0.1%

Thermo Fisher Scientific, Inc.:
4.15% Sr. Unsec. Nts., 2/1/24	$	144,000	$	150,800
5.30% Sr. Unsec. Nts., 2/1/44		165,000		183,529

				334,329


Pharmaceuticals—0.5%

Actavis Funding SCS, 1.30% Sr. Unsec. Nts., 6/15/17²		287,000		286,614

Hospira, Inc., 5.20% Sr. Unsec. Nts., 8/12/20		441,000		483,232

Mallinckrodt International Finance SA, 3.50% Sr. Unsec. Nts., 4/15/18		468,000		468,000

Zoetis, Inc., 1.875% Sr. Unsec. Nts., 2/1/18		158,000		158,474

				1,396,320


Industrials—2.8%

Aerospace & Defense—0.6%

B/E Aerospace, Inc., 5.25% Sr. Unsec. Nts., 4/1/22		444,000		485,625

Huntington Ingalls Industries, Inc., 7.125% Sr. Unsec. Unsub. Nts., 3/15/21		402,000		441,195

L-3 Communications Corp.:
1.50% Sr. Unsec. Nts., 5/28/17		118,000		118,294
3.95% Sr. Unsec. Nts., 5/28/24		214,000		215,949

Textron, Inc.:
4.30% Sr. Unsec. Nts., 3/1/24		230,000		238,501
6.20% Sr. Unsec. Nts., 3/15/15		34,000		35,392

				1,534,956


Building Products—0.2%

Owens Corning, 4.20% Sr. Unsec. Nts., 12/15/22		505,000		519,191


Commercial Services & Supplies—0.4%

Clean Harbors, Inc., 5.25% Sr. Unsec. Unsub. Nts., 8/1/20		468,000		484,965

Pitney Bowes, Inc., 4.625% Sr. Unsec. Nts., 3/15/24		575,000		595,560

				1,080,525


Electrical Equipment—0.1%

Sensata Technologies BV, 4.875% Sr. Unsec. Nts., 10/15/23²		349,000		348,127


Industrial Conglomerates—0.3%

General Electric Capital Corp., 6.25% Jr. Sub. Perpetual Bonds, Series B^4,9		682,000		759,987


Machinery—0.3%

Crane Co., 4.45% Sr. Unsec. Nts., 12/15/23		234,000		246,498

Ingersoll-Rand Global Holding Co. Ltd., 4.25% Sr. Unsec. Nts., 6/15/23		410,000		431,892

Starwood Hotels & Resorts Worldwide, Inc., 7.375% Sr. Unsec. Nts., 11/15/15		172,000		187,262

				865,652


Professional Services—0.2%

Nielsen Finance LLC/Nielsen Finance Co., 4.50% Sr.
Unsec. Nts., 10/1/20		470,000		475,875


Road & Rail—0.4%

ERAC USA Finance LLC, 2.35% Sr. Unsec. Nts., 10/15/19²		79,000		78,884

Kansas City Southern de Mexico SA de CV, 3% Sr. Unsec. Nts., 5/15/23		372,000		352,507

Penske Truck Leasing Co. LP/PTL Finance Corp.:
2.50% Sr. Unsec. Nts., 3/15/16²		446,000		458,616
4.25% Sr. Unsec. Nts., 1/17/23²		250,000		259,091

				1,149,098


Trading Companies & Distributors—0.3%

Air Lease Corp., 3.875% Sr. Unsec. Nts., 4/1/21		456,000		467,400

International Lease Finance Corp., 5.875% Sr. Unsec. Unsub. Nts., 4/1/19		437,000		482,339

				949,739


	Principal Amount		Value

Information Technology—1.4%

Communications Equipment—0.1%

Motorola Solutions, Inc., 3.50% Sr. Unsec. Nts., 3/1/23	$	248,000	$	240,258


Electronic Equipment, Instruments, & Components—0.4%

Amphenol Corp., 4.75% Sr. Unsec. Nts., 11/15/14		79,000		80,222

Arrow Electronics, Inc., 5.125% Sr. Unsec. Unsub. Nts., 3/1/21		525,000		572,726

Avnet, Inc., 4.875% Sr. Unsec. Unsub. Nts., 12/1/22		550,000		586,163

				1,239,111


IT Services—0.4%

Fidelity National Information Services, Inc.:
1.45% Sr. Unsec. Nts., 6/5/17		351,000		350,779
3.50% Sr. Unsec. Nts., 4/15/23		244,000		240,392

Xerox Corp., 4.25% Sr. Unsec. Nts., 2/15/15		449,000		459,399

				1,050,570


Software—0.1%

Oracle Corp., 3.40% Sr. Unsec. Nts., 7/8/24⁸		322,000		321,269


Technology Hardware, Storage & Peripherals—0.4%

Apple, Inc., 4.45% Sr. Unsec. Nts., 5/6/44		248,000		251,860

Hewlett-Packard Co., 2.65% Sr. Unsec. Unsub. Nts., 6/1/16		443,000		457,478

Seagate HDD Cayman, 3.75% Sr. Unsec. Nts., 11/15/18²		410,000		420,250

				1,129,588


Materials—2.2%

Chemicals—0.4%

Agrium, Inc., 3.50% Sr. Unsec. Nts., 6/1/23		262,000		261,577

LYB International Finance BV, 5.25% Sr. Unsec. Nts., 7/15/43		144,000		158,028

Rockwood Specialties Group, Inc., 4.625% Sr. Unsec. Nts., 10/15/20		450,000		469,125

RPM International, Inc., 3.45% Sr. Unsec. Unsub. Nts., 11/15/22		349,000		339,859

				1,228,589


Construction Materials—0.2%

CRH America, Inc., 4.125% Sr. Unsec. Nts., 1/15/16		440,000		461,436


Containers & Packaging—0.5%

Crown Americas LLC/Crown Americas Capital Corp. III, 6.25% Sr. Unsec. Nts., 2/1/21		184,000		197,800

Packaging Corp. of America, 4.50% Sr. Unsec. Nts., 11/1/23		358,000		383,958

Rock-Tenn Co., 3.50% Sr. Unsec. Unsub. Nts., 3/1/20		729,000		750,984

				1,332,742


Metals & Mining—1.0%

Allegheny Technologies, Inc., 5.95% Sr. Unsec. Unsub. Nts., 1/15/21		282,000		311,662

Barrick Gold Corp., 3.85% Sr. Unsec. Nts., 4/1/22		220,000		219,141

Carpenter Technology Corp., 4.45% Sr. Unsec. Unsub. Nts., 3/1/23		159,000		163,743

Freeport-McMoRan Copper & Gold, Inc.:
1.40% Sr. Unsec. Nts., 2/13/15		464,000		465,896
3.875% Sr. Unsec. Nts., 3/15/23		250,000		249,564
5.45% Sr. Unsec. Nts., 3/15/43		157,000		163,212

Glencore Canada Corp.:
5.375% Sr. Unsec. Unsub. Nts., 6/1/15		342,000		355,796
6.00% Sr. Unsec. Unsub. Nts., 10/15/15		391,000		415,323

Glencore Funding LLC, 4.625% Sr. Unsec. Nts., 4/29/24²		339,000		350,865

Rio Tinto Finance USA plc, 4.125% Sr. Unsec. Nts., 8/21/42		125,000		117,728

				2,812,930

13 OPPENHEIMER CAPITAL INCOME FUND/VA


STATEMENTOF INVESTMENTS Unaudited / Continued


	Principal Amount		Value

Paper & Forest Products—0.1%

International Paper Co., 4.80% Sr. Unsec. Nts., 6/15/44	$	183,000	$	183,973


Telecommunication Services—1.7%

Diversified Telecommunication Services—1.5%

AT&T, Inc., 4.35% Sr. Unsec. Nts., 6/15/45		297,000		282,171

British Telecommunications plc, 9.625% Sr. Unsec. Nts., 12/15/30		313,000		499,215

Frontier Communications Corp., 8.50% Sr. Unsec. Nts., 4/15/20		405,000		479,925

Telecom Italia Capital SA, 7.721% Sr. Unsec. Unsub. Nts., 6/4/38		277,000		320,627

Telefonica Emisiones SAU, 7.045% Sr. Unsec. Unsub. Nts., 6/20/36		450,000		574,947

T-Mobile USA, Inc., 6.25% Sr. Unsec. Nts., 4/1/21		455,000		485,144

Verizon Communications, Inc.:
4.50% Sr. Unsec. Nts., 9/15/20		1,050,000		1,156,360
6.40% Sr. Unsec. Nts., 2/15/38		223,000		272,853

				4,071,242

Wireless Telecommunication Services—0.2%

America Movil SAB de CV, 4.375% Sr. Unsec. Unsub. Nts., 7/16/42		361,000		342,487

Vodafone Group plc:
4.375% Sr. Unsec. Unsub. Nts., 2/19/43		142,000		135,718
6.25% Sr. Unsec. Nts., 11/30/32		150,000		184,411

				662,616

Utilities—1.3%

Electric Utilities—0.8%

Exelon Generation Co. LLC, 4.25% Sr. Unsec. Unsub. Nts., 6/15/22		257,000		268,669

ITC Holdings Corp.:
3.65% Sr. Unsec. Nts., 6/15/24		390,000		389,239
5.30% Sr. Unsec. Nts., 7/1/43		93,000		102,634


	Principal Amount		Value

Electric Utilities (Continued)

Jersey Central Power & Light Co., 4.70% Sr. Unsec. Nts., 4/1/24²	$	237,000	$	253,860

Pennsylvania Electric Co., 5.20% Sr. Unsec. Nts., 4/1/20		88,000		97,568

PPL Capital Funding, Inc., 3.50% Sr. Unsec. Unsub. Nts., 12/1/22		223,000		226,935

PPL WEM Holdings Ltd., 5.375% Sr. Unsec. Unsub. Nts., 5/1/21²		590,000		664,336

				2,003,241

Independent Power and Renewable Electricity Producers—0.1%

Dayton Power & Light Co., 1.875% Sr. Sec. Nts., 9/15/16²		329,000		334,724

Multi-Utilities—0.4%

CenterPoint Energy, Inc., 5.95% Sr. Unsec. Nts., 2/1/17		386,000		431,343

CMS Energy Corp.:
3.875% Sr. Unsec. Nts., 3/1/24		240,000		249,750
5.05% Sr. Unsec. Unsub. Nts., 3/15/22		172,000		195,717

PG&E Corp., 2.40% Sr. Unsec. Nts., 3/1/19		290,000		292,895

				1,169,705

Total Non-Convertible Corporate Bonds and Notes (Cost $80,856,181)				84,395,384


	Shares

Investment Company—4.3%

Oppenheimer Institutional Money Market Fund, Cl. E, 0.09%^10,11 (Cost $11,967,607)		11,967,607	11,967,607

Counterparty

Buy /Sell
Protection

Reference Asset

Fixed Rate

Expiration
Date

Notional
(000’s)

Over-the-Counter Credit Default Swaptions Purchased—0.0%

Credit Default Swap maturing 6/20/19 Call¹

JPM

Buy

CDX.NA.IG. 22

1.000%

12/17/14

USD

15,449

20,778

Credit Default Swap maturing 6/20/19 Call¹

JPM

Buy

CDX.NA.IG. 22

1.000

10/15/14

USD

16,188

9,928

Credit Default Swap maturing 6/20/19 Call¹

DEU

Buy

CDX.NA.IG. 22

1.000

10/15/14

USD

16,335

10,018

Total Over-the-Counter Credit Default Swaptions Purchased (Cost $91,069)

40,724

Total Investments, at Value (Cost $310,374,443)

120.0

331,198,456

Net Other Assets (Liabilities)

(20.0

)

(55,132,393)

Net Assets

100.0

276,066,063

Footnotes to Statement of Investments

1. Non-income producing security.

2. Represents securities sold under Rule 144A, which are exempt from registration under the Securities Act of 1933, as amended. These securities have been determined to be liquid under guidelines established by the Board of Trustees. These securities amount to $42,260,833 or 15.31% of the Fund’s net assets as of June 30, 2014.

3. Restricted security. The aggregate value of restricted securities as of June 30, 2014 was $1,733,903, which represents 0.63% of the Fund’s net assets. See Note 7 of the accompanying Notes. Information concerning restricted securities is as follows:


Security	Acquisition Dates		Cost		Value		Unrealized Appreciation

Credit Acceptance Auto Loan Trust, Series 2013-2A, Cl. B, 2.26%, 10/15/21		10/22/13	$	309,913	$	314,222	$	4,309
Morgan Stanley Re-Remic Trust, Series 2012-R3, Cl. 1B, 2.049%, 11/26/36		10/24/13-6/1/14		131,731		157,601		25,870
Rabobank Capital Funding Trust III, 5.254% Jr. Sub. Perpetual Bonds		5/1/13-5/8/13		764,244		792,305		28,061
ZFS Finance USA Trust V, 6.50% Jr. Sub. Nts., 5/9/37		11/20/13		460,288		469,775		9,487

			$	1,666,176	$	1,733,903	$	67,727

14 OPPENHEIMER CAPITAL INCOME FUND/VA

Footnotes to Statement of Investments (Continued)

4. Represents the current interest rate for a variable or increasing rate security.

5. Interest-Only Strips represent the right to receive the monthly interest payments on an underlying pool of mortgage loans. These securities typically decline in price as interest rates decline. Most other fixed income securities increase in price when interest rates decline. The principal amount of the underlying pool represents the notional amount on which current interest is calculated. The price of these securities is typically more sensitive to changes in prepayment rates than traditional mortgage-backed securities (for example, GNMA pass-throughs). Interest rates disclosed represent current yields based upon the current cost basis and estimated timing and amount of future cash flows. These securities amount to $2,315,283 or 0.84% of the Fund’s net assets as of June 30, 2014.

6. Interest rate is less than 0.0005%.

7. Principal-Only Strips represent the right to receive the monthly principal payments on an underlying pool of mortgage loans. The value of these securities generally increases as interest rates decline and prepayment rates rise. The price of these securities is typically more volatile than that of coupon-bearing bonds of the same maturity. Interest rates disclosed represent current yields based upon the current cost basis and estimated timing of future cash flows. These securities amount to $119,557 or 0.04% of the Fund’s net assets as of June 30, 2014.

8. All or a portion of the security position is when-issued or delayed delivery to be delivered and settled after June 30, 2014. See Note 1 of the accompanying Notes.

9. This bond has no contractual maturity date, is not redeemable and contractually pays an indefinite stream of interest. Rate reported represents the current interest rate for this variable rate security.

10. Is or was an affiliate, as defined in the Investment Company Act of 1940, at or during the period ended June 30, 2014, by virtue of the Fund owning at least 5% of the voting securities of the issuer or as a result of the Fund and the issuer having the same investment adviser. Transactions during the period in which the issuer was an affiliate are as follows:


	Shares December 31, 2013		Gross Additions		Gross Reductions		Shares June 30, 2014

Oppenheimer Institutional Money Market Fund, Cl. E		19,917,607		—		7,950,000		11,967,607

					Value		Income

Oppenheimer Institutional Money Market Fund, Cl. E					$	11,967,607	$	7,830

11. Rate shown is the 7-day yield as of June 30, 2014.

Futures Contracts as of June 30, 2014

Description

Exchange

Buy/Sell

Expiration Date

Number of
Contracts

Value

Unrealized Appreciation
(Depreciation)

United States Treasury Long Bonds

CBT

Buy

9/19/14

6,036,250

79,664

United States Treasury Nts., 2 yr.

CBT

Sell

9/30/14

182

39,966,064

11,431

United States Treasury Nts., 5 yr.

CBT

Sell

9/30/14

1,075,148

3,140

United States Treasury Nts., 10 yr.

CBT

Sell

9/19/14

2,503,438

(1,412)

United States Treasury Ultra Bonds

CBT

Buy

9/19/14

5,097,875

64,826

157,649

Glossary:

Counterparty Abbreviations


DEU		Deutsche Bank AG
JPM		JPMorgan Chase Bank NA

Definition


CDX.NA.IG.22		Markit CDX North American Investment Grade High Volatility

Exchange Abbreviations


CBT		Chicago Board of Trade

See accompanying Notes to Financial Statements.

15 OPPENHEIMER CAPITAL INCOME FUND/VA

STATEMENTOF ASSETS AND LIABILITIES June 30, 2014 Unaudited




Assets
Investments, at value—see accompanying statement of investments:
Unaffiliated companies (cost $298,406,836)	$	319,230,849
Affiliated companies (cost $11,967,607)		11,967,607

		331,198,456

Cash		1,001,909

Cash used for collateral on futures		260,000

Receivables and other assets:
Investments sold (including $3,516,793 sold on a when-issued or delayed delivery basis)		4,250,161
Interest, dividends and principal paydowns		1,264,782
Variation margin receivable		35,098
Other		41,464

Total assets		338,051,870


Liabilities
Payables and other liabilities:
Investments purchased (including $61,029,944 purchased on a when-issued or delayed delivery basis)		61,718,246
Shares of beneficial interest redeemed		182,378
Trustees’ compensation		36,527
Distribution and service plan fees		13,434
Variation margin payable		8,470
Shareholder communications		8,201
Other		18,551

Total liabilities		61,985,807


Net Assets	$	276,066,063



Composition of Net Assets
Par value of shares of beneficial interest	$	19,355

Additional paid-in capital		277,739,878

Accumulated net investment income		2,796,996

Accumulated net realized loss on investments and foreign currency transactions		(25,472,336)

Net unrealized appreciation on investments and translation of assets and liabilities denominated in foreign currencies		20,982,170

Net Assets	$	276,066,063



Net Asset Value Per Share
Non-Service Shares:

Net asset value, redemption price (excludes applicable contingent deferred sales charge) and offering price per share (based on net assets of $210,636,302 and 14,727,041 shares of beneficial interest outstanding)		$14.30


Service Shares:

Net asset value, redemption price (excludes applicable contingent deferred sales charge) and offering price per share (based on net assets of $65,429,761 and 4,627,596 shares of beneficial interest outstanding)		$14.14

See accompanying Notes to Financial Statements.

16 OPPENHEIMER CAPITAL INCOME FUND/VA

STATEMENTOF OPERATIONS For the Six Months Ended June 30, 2014 Unaudited




Investment Income
Interest	$	2,831,439

Dividends:
Unaffiliated companies (net of foreign withholding taxes of $7,495)		797,324
Affiliated companies		7,830

Total investment income		3,636,593

Expenses
Management fees		1,017,005

Distribution and service plan fees - Service shares		82,437

Transfer and shareholder servicing agent fees:
Non-Service shares		104,155
Service shares		32,986

Shareholder communications:
Non-Service shares		12,105
Service shares		3,857

Custodian fees and expenses		15,420

Trustees’ compensation		7,434

Other		31,334

Total expenses		1,306,733
Less waivers and reimbursements of expenses		(305,313)

Net expenses		1,001,420


Net Investment Income		2,635,173

Realized and Unrealized Gain (Loss)
Net realized gain on:
Investments from unaffiliated companies		6,515,634
Closing and expiration of futures contracts		868,918
Foreign currency transactions		157

Net realized gain		7,384,709

Net change in unrealized appreciation/depreciation on:
Investments		4,616,465
Translation of assets and liabilities denominated in foreign currencies		(32,676)
Futures contracts		213,080

Net change in unrealized appreciation/depreciation		4,796,869

Net Increase in Net Assets Resulting from Operations	$	14,816,751

See accompanying Notes to Financial Statements.

17 OPPENHEIMER CAPITAL INCOME FUND/VA

STATEMENTSOF CHANGES IN NET ASSETS


	Six Months Ended June 30, 2014 (Unaudited)		Year Ended December 31, 2013

Operations
Net investment income	$	2,635,173	$	5,247,717

Net realized gain		7,384,709		37,714,451

Net change in unrealized appreciation/depreciation		4,796,869		(7,198,564)

Net increase in net assets resulting from operations		14,816,751		35,763,604

Dividends and/or Distributions to Shareholders
Dividends from net investment income:
Non-Service shares		(4,273,014)		(5,107,178)
Service shares		(1,173,552)		(1,549,784)

		(5,446,566)		(6,656,962)

Beneficial Interest Transactions
Net decrease in net assets resulting from beneficial interest transactions:
Non-Service shares		(10,113,544)		(26,201,767)
Service shares		(6,488,918)		(10,510,886)

		(16,602,462)		(36,712,653)

Net Assets
Total decrease		(7,232,277)		(7,606,011)

Beginning of period		283,298,340		290,904,351

End of period (including accumulated net investment income of $ 2,796,996 and $ 5,608,389, respectively)	$	276,066,063	$	283,298,340

See accompanying Notes to Financial Statements.

18 OPPENHEIMER CAPITAL INCOME FUND/VA

FINANCIAL HIGHLIGHTS


Non-Service Shares	Six Months Ended June 30, 2014 (Unaudited)		Year Ended December 31, 2013		Year Ended December 31, 2012		Year Ended December 30, 2011 ¹		Year Ended December 31, 2010		Year Ended December 31, 2009

Per Share Operating Data
Net asset value, beginning of period	$	13 .84	$	12 .52	$	11 .30	$	11 .47	$	10 .30	$	8 .45

Income (loss) from investment operations:
Net investment income²		0 .14		0 .25		0 .29		0 .20		0 .23		0 .25
Net realized and unrealized gain (loss)		0 .61		1 .38		1 .09		(0 .11)		1 .09		1 .60

Total from investment operations		0 .75		1 .63		1 .38		0 .09		1 .32		1 .85

Dividends and/or distributions to shareholders:
Dividends from net investment income		(0 .29)		(0 .31)		(0 .16)		(0 .26)		(0 .15)		0 .00

Net asset value, end of period	$	14 .30	$	13 .84	$	12 .52	$	11 .30	$	11 .47	$	10 .30


Total Return, at Net Asset Value³		5 .47%		13 .17%		12 .34%		0 .72%		12 .91%		21 .89%

Ratios/Supplemental Data
Net assets, end of period (in thousands)	$	210,636	$	213,697	$	218,032	$	128,383	$	150,622	$	159,797

Average net assets (in thousands)	$	211,153	$	218,090	$	191,416	$	141,848	$	151,620	$	159,013

Ratios to average net assets:⁴
Net investment income		1 .97%		1 .87%		2 .46%		1 .70%		2 .13%		2 .71%
Total expenses⁵		0 .89%		0 .89%		0 .90%		0 .91%		0 .91%		0 .89%
Expenses after payments, waivers and/or reimbursements and reduction to custodian expenses		0 .67%		0 .66%		0 .66%		0 .67%		0 .65%		0 .60%

Portfolio turnover rate⁶		55%		187%		110%		102%		54%		87%

1. December 30, 2011 represents the last business day of the Fund’s reporting period.

2. Per share amounts calculated based on the average shares outstanding during the period.

3. Assumes an initial investment on the business day before the first day of the fiscal period, with all dividends and distributions reinvested in additional shares on the reinvestment date, and redemption at the net asset value calculated on the last business day of the fiscal period. Total returns are not annualized for periods less than one full year. Total return information does not reflect expenses that apply at the separate account level or to related insurance products. Inclusion of these charges would reduce the total return figures for all periods shown. Returns do not reflect the deduction of taxes that a shareholder would pay on fund distributions or the redemption of fund shares.

4. Annualized for periods less than one full year.

5. Total expenses including indirect expenses from affiliated fund were as follows:


Six Months Ended June 30, 2014	0 .90	%
Year Ended December 31, 2013	0 .90	%
Year Ended December 31, 2012	0 .91	%
Year Ended December 30, 2011	0 .93	%
Year Ended December 31, 2010	0 .92	%
Year Ended December 31, 2009	0 .91	%

6. The portfolio turnover rate excludes purchase and sale transactions of To Be Announced (TBA) mortgage-related securities as follows:


	Purchase Transactions		Sale Transactions

Six Months Ended June 30, 2014		$337,475,550		$322,331,170
Year Ended December 31, 2013		$794,398,216		$800,879,825
Year Ended December 31, 2012		$555,111,600		$549,805,766
Year Ended December 30, 2011		$450,804,195		$453,759,282
Year Ended December 31, 2010		$412,930,431		$414,511,903
Year Ended December 31, 2009		$504,698,365		$520,212,670

See accompanying Notes to Financial Statements.

19 OPPENHEIMER CAPITAL INCOME FUND/VA


FINANCIAL HIGHLIGHTS Continued


Service Shares	Six Months Ended June 30, 2014 (Unaudited)		Year Ended December 31, 2013		Year Ended December 31, 2012		Year Ended December 30, 2011 ¹		Year Ended December 31, 2010		Year Ended December 31, 2009

Per Share Operating Data
Net asset value, beginning of period	$	13 .66	$	12 .37	$	11 .17	$	11 .35	$	10 .19	$	8 .38

Income (loss) from investment operations:
Net investment income²		0 .12		0 .21		0 .26		0 .16		0 .20		0 .22
Net realized and unrealized gain (loss)		0 .62		1 .36		1 .08		(0 .11)		1 .08		1 .59
Total from investment operations		0 .74		1 .57		1 .34		0 .05		1 .28		1 .81

Dividends and/or distributions to shareholders:
Dividends from net investment income		(0 .26)		(0 .28)		(0 .14)		(0 .23)		(0 .12)		0 .00

Net asset value, end of period	$	14 .14	$	13 .66	$	12 .37	$	11 .17	$	11 .35	$	10 .19


Total Return, at Net Asset Value³		5 .41%		12 .83%		12 .11%		0 .38%		12 .68%		21 .60%

Ratios/Supplemental Data
Net assets, end of period (in thousands)	$	65,430	$	69,601	$	72,872	$	77,551	$	89,580	$	88,746

Average net assets (in thousands)	$	66,884	$	72,332	$	76,257	$	85,157	$	87,280	$	77,101

Ratios to average net assets:⁴
Net investment income		1 .72%		1 .62%		2 .18%		1 .45%		1 .87%		2 .42%
Total expenses⁵		1 .14%		1 .15%		1 .16%		1 .16%		1 .16%		1 .15%
Expenses after payments, waivers and/or reimbursements and reduction to custodian expenses		0 .92%		0 .92%		0 .92%		0 .92%		0 .90%		0 .85%

Portfolio turnover rate⁶		55%		187%		110%		102%		54%		87%

1. December 30, 2011 represents the last business day of the Fund’s reporting period.

2. Per share amounts calculated based on the average shares outstanding during the period.

4. Annualized for periods less than one full year.

5. Total expenses including indirect expenses from affiliated fund were as follows:


Six Months Ended June 30, 2014	1 .15	%
Year Ended December 31, 2013	1 .16	%
Year Ended December 31, 2012	1 .17	%
Year Ended December 30, 2011	1 .18	%
Year Ended December 31, 2010	1 .17	%
Year Ended December 31, 2009	1 .17	%

6. The portfolio turnover rate excludes purchase and sale transactions of To Be Announced (TBA) mortgage-related securities as follows:


	Purchase Transactions		Sale Transactions

Six Months Ended June 30, 2014		$337,475,550		$322,331,170
Year Ended December 31, 2013		$794,398,216		$800,879,825
Year Ended December 31, 2012		$555,111,600		$549,805,766
Year Ended December 30, 2011		$450,804,195		$453,759,282
Year Ended December 31, 2010		$412,930,431		$414,511,903
Year Ended December 31, 2009		$504,698,365		$520,212,670

See accompanying Notes to Financial Statements.

20 OPPENHEIMER CAPITAL INCOME FUND/VA

NOTESTO FINANCIAL STATEMENTS June 30, 2014 Unaudited

1. Significant Accounting Policies

Oppenheimer Capital Income Fund/VA (the “Fund”) is a separate series of Oppenheimer Variable Account Funds, a diversified open-end management investment company registered under the Investment Company Act of 1940, as amended. The Fund’s investment objective is to seek total return. The Fund’s investment adviser is OFI Global Asset Management, Inc. (“OFI Global” or the “Manager”), a wholly-owned subsidiary of OppenheimerFunds, Inc. (“OFI” or the “Sub-Adviser”). The Manager has entered into a sub-advisory agreement with OFI. Shares of the Fund are sold only to separate accounts of life insurance companies.

The following is a summary of significant accounting policies consistently followed by the Fund.

Securities on a When-Issued or Delayed Delivery Basis. The Fund may purchase securities on a “when-issued” basis, and may purchase or sell securities on a “delayed delivery” basis. “When-issued” or “delayed delivery” refers to securities whose terms and indenture are available and for which a market exists, but which are not available for immediate delivery. Delivery and payment for securities that have been purchased by the Fund on a when-issued basis normally takes place within six months and possibly as long as two years or more after the trade date. During this period, such securities do not earn interest, are subject to market fluctuation and may increase or decrease in value prior to their delivery. The purchase of securities on a when-issued basis may increase the volatility of the Fund’s net asset value to the extent the Fund executes such transactions while remaining substantially fully invested. When the Fund engages in when-issued or delayed delivery transactions, it relies on the buyer or seller, as the case may be, to complete the transaction. Their failure to do so may cause the Fund to lose the opportunity to obtain or dispose of the security at a price and yield it considers advantageous. The Fund may also sell securities that it purchased on a when-issued basis or forward commitment prior to settlement of the original purchase.

As of June 30, 2014, the Fund had purchased securities issued on a when-issued or delayed delivery basis and sold securities issued on a delayed delivery basis as follows:


	When-Issued or Delayed Delivery Basis Transactions

Purchased securities		$61,029,944
Sold securities		3,516,793

The Fund may enter into “forward roll” transactions with respect to mortgage-related securities. In this type of transaction, the Fund sells a mortgage-related security to a buyer and simultaneously agrees to repurchase a similar security (same type, coupon and maturity) at a later date at a set price. During the period between the sale and the repurchase, the Fund will not be entitled to receive interest and principal payments on the securities that have been sold. The Fund records the incremental difference between the forward purchase and sale of each forward roll as realized gain (loss) on investments or as fee income in the case of such transactions that have an associated fee in lieu of a difference in the forward purchase and sale price.

Forward roll transactions may be deemed to entail embedded leverage since the Fund purchases mortgage-related securities with extended settlement dates rather than paying for the securities under a normal settlement cycle. This embedded leverage increases the Fund’s market value of investments relative to its net assets which can incrementally increase the volatility of the Fund’s performance. Forward roll transactions can be replicated over multiple settlement periods.

Risks of entering into forward roll transactions include the potential inability of the counterparty to meet the terms of the agreement; the potential of the Fund to receive inferior securities at redelivery as compared to the securities sold to the counterparty; and counterparty credit risk.

Foreign Currency Translation. The Fund’s accounting records are maintained in U.S. dollars. The values of securities denominated in foreign currencies and amounts related to the purchase and sale of foreign securities and foreign investment income are translated into U.S. dollars as of the close of the New York Stock Exchange (the “Exchange”), normally 4:00 P.M. Eastern time, on each day the Exchange is open for trading. Foreign exchange rates may be valued primarily using a reliable bank, dealer or service authorized by the Board of Trustees.

21 OPPENHEIMER CAPITAL INCOME FUND/VA


NOTES TO FINANCIAL STATEMENTS Unaudited / Continued

1. Significant Accounting Policies (Continued)

Reported net realized gains and losses from foreign currency transactions arise from sales of portfolio securities, sales and maturities of short-term securities, sales of foreign currencies, exchange rate fluctuations between the trade and settlement dates on securities transactions, and the difference between the amounts of dividends, interest, and foreign withholding taxes recorded on the Fund’s books and the U.S. dollar equivalent of the amounts actually received or paid. Net unrealized appreciation and depreciation on the translation of assets and liabilities denominated in foreign currencies arise from changes in the values of assets and liabilities, including investments in securities at fiscal period end, resulting from changes in exchange rates.

The effect of changes in foreign currency exchange rates on investments is separately identified from the fluctuations arising from changes in market values of securities held and reported with all other foreign currency gains and losses in the Fund’s Statement of Operations.

During the fiscal year ended December 31, 2013, the Fund utilized $36,236,660 of capital loss carryforward to offset capital gains realized in that fiscal year. Details of the fiscal year ended December 31, 2013 capital loss carryforwards are included in the table below. Capital loss carryforwards with no expiration, if any, must be utilized prior to those with expiration dates. Capital losses with no expiration will be carried forward to future years if not offset by gains.


Expiring

2015	$	6,646,488
2016		3,323,244
2017		22,894,743

Total	$	32,864,475

As of June 30, 2014, it is estimated that the capital loss carryforwards would be $25,479,766 expiring by 2017. The estimated capital loss carryforward represents the carryforward as of the end of the last fiscal year, increased or decreased by capital losses or gains realized in the first six months of the current fiscal year. During the six months ended June 30, 2014, it is estimated that the Fund will utilize $7,384,709 of capital loss carryforward to offset realized capital gains.


Federal tax cost of securities	$	310,393,866
Federal tax cost of other investments		(32,568,174)

Total federal tax cost	$	277,825,692

Gross unrealized appreciation	$	23,220,864
Gross unrealized depreciation		(2,258,625)

Net unrealized appreciation	$	20,962,239

Trustees’ Compensation. The Board of Trustees has adopted a compensation deferral plan for independent trustees that enables trustees to elect to defer receipt of all or a portion of the annual compensation they are entitled to receive from the Fund. For purposes of determining the amount owed to the Trustee under the plan, deferred amounts are treated as though equal dollar amounts had been invested in shares of the Fund or in other Oppenheimer funds selected by the Trustee. The Fund purchases shares of the funds selected for deferral by the Trustee in amounts equal to his or her deemed investment, resulting in a Fund asset equal to the deferred compensation liability. Such assets are included as a component of “Other” within the asset section of the Statement of Assets and Liabilities. Deferral of trustees’ fees under the plan will not affect the net assets of the Fund, and will not materially affect the Fund’s assets, liabilities or net investment income per share. Amounts will be deferred until distributed in accordance with the compensation deferral plan.

22 OPPENHEIMER CAPITAL INCOME FUND/VA



1. Significant Accounting Policies (Continued)

Security Transactions. Security transactions are recorded on the trade date. Realized gains and losses on securities sold are determined on the basis of identified cost.

2. Securities Valuation

Valuation Methods and Inputs

Securities are valued using unadjusted quoted market prices, when available, as supplied primarily by third party pricing services or dealers.

The following methodologies are used to determine the market value or the fair value of the types of securities described below:

Shares of a registered investment company that are not traded on an exchange are valued at that investment company’s net asset value per share.

23 OPPENHEIMER CAPITAL INCOME FUND/VA


NOTES TO FINANCIAL STATEMENTS Unaudited / Continued

2. Securities Valuation (Continued)

Structured securities, swaps, swaptions, and other over-the-counter derivatives are valued utilizing evaluated prices obtained from third party pricing services or broker-dealers.

Futures contracts and futures options traded on a commodities or futures exchange will be valued at the final settlement price or official closing price on the principal exchange as reported by such principal exchange at its trading session ending at, or most recently prior to, the time when the Fund’s assets are valued.

A description of the standard inputs that may generally be considered by the third party pricing vendors in determining their evaluated prices is provided below.


Security Type		Standard inputs generally considered by third-party pricing vendors

Corporate debt, government debt, municipal, mortgage-backed and asset-backed securities		Reported trade data, broker-dealer price quotations, benchmark yields, issuer spreads on comparable securities, the credit quality, yield, maturity, and other appropriate factors.

Loans		Information obtained from market participants regarding reported trade data and broker-dealer price quotations.

Event-linked bonds		Information obtained from market participants regarding reported trade data and broker-dealer price quotations.

Structured securities		Relevant market information such as the price of underlying financial instruments, stock market indices, foreign currencies, interest rate spreads, commodities, or the occurrence of other specific events.

Swaps		Relevant market information, including underlying reference assets such as credit spreads, credit event probabilities, index values, individual security values, forward interest rates, variable interest rates, volatility measures, and forward currency rates.

Classifications

1) Level 1-unadjusted quoted prices in active markets for identical assets or liabilities (including securities actively traded on a securities exchange)

3) Level 3-significant unobservable inputs (including the Manager’s own judgments about assumptions that market participants would use in pricing the asset or liability).

The inputs used for valuing securities are not necessarily an indication of the risks associated with investing in those securities.

24 OPPENHEIMER CAPITAL INCOME FUND/VA



2. Securities Valuation (Continued)

The table below categorizes amounts that are included in the Fund’s Statement of Assets and Liabilities as of June 30, 2014 based on valuation input level:


	Level 1— Unadjusted Quoted Prices		Level 2— Other Significant Observable Inputs		Level 3— Significant Unobservable Inputs		Value

Assets Table
Investments, at Value:
Common Stocks
Consumer Discretionary	$	12,930,138	$	—	$	—	$	12,930,138
Consumer Staples		5,161,312		1,066,172		—		6,227,484
Energy		9,469,155		—		—		9,469,155
Financials		16,324,740		—		—		16,324,740
Health Care		13,457,068		—		—		13,457,068
Industrials		10,605,824		—		—		10,605,824
Information Technology		16,646,425		—		—		16,646,425
Materials		3,498,093		—		—		3,498,093
Telecommunication Services		1,541,320		—		—		1,541,320
Utilities		2,157,062		—		—		2,157,062
Preferred Stock		—		1,000,581		—		1,000,581
Asset-Backed Securities		—		32,827,395		—		32,827,395
Mortgage-Backed Obligations		—		97,434,957		—		97,434,957
U.S. Government Obligations		—		10,674,499		—		10,674,499
Non-Convertible Corporate Bonds and Notes		—		84,395,384		—		84,395,384
Investment Company		11,967,607		—		—		11,967,607
Over-the-Counter Credit Default Swaptions Purchased		—		40,724		—		40,724

Total Investments, at Value		103,758,744		227,439,712		—		331,198,456
Other Financial Instruments:
Futures contracts		159,061		—		—		159,061

Total Assets	$	103,917,805	$	227,439,712	$	—	$	331,357,517


Liabilities Table
Other Financial Instruments:
Futures contracts	$	(1,412)	$	—	$	—	$	(1,412)

Total Liabilities	$	(1,412)	$	—	$	—	$	(1,412)

Foreign currency exchange contracts and futures contracts, if any, are reported at their unrealized appreciation/depreciation at measurement date, which represents the change in the contract’s value from trade date. All additional assets and liabilities included in the above table are reported at their market value at measurement date.

3. Shares of Beneficial Interest

The Fund has authorized an unlimited number of $0.001 par value shares of beneficial interest of each class. Transactions in shares of beneficial interest were as follows:


	Six Months Ended June 30, 2014						Year Ended December 31, 2013
	Shares			Amount			Shares			Amount

Non-Service Shares
Sold		103,176		$	1,454,461			172,668		$	2,290,240
Dividends and/or distributions reinvested		300,916			4,273,014			387,201			5,107,178
Redeemed		(1,121,736	)		(15,841,019	)		(2,531,989	)		(33,599,185)

Net decrease		(717,644	)	$	(10,113,544	)		(1,972,120	)	$	(26,201,767)



Service Shares
Sold		99,130		$	1,381,972			183,862		$	2,416,107
Dividends and/or distributions reinvested		83,586			1,173,552			118,848			1,549,784
Redeemed		(649,813	)		(9,044,442	)		(1,100,257	)		(14,476,777)

Net decrease		(467,097	)	$	(6,488,918	)		(797,547	)	$	(10,510,886)

4. Purchases and Sales of Securities

The aggregate cost of purchases and proceeds from sales of securities, other than short-term obligations and investments in IMMF, for the six months ended June 30, 2014 were as follows:


	Purchases		Sales

Investment securities	$	117,443,193	$	107,377,539
U.S. government and government agency obligations		40,850,610		31,154,754
To Be Announced (TBA) mortgage-related securities		337,475,550		322,331,170

25 OPPENHEIMER CAPITAL INCOME FUND/VA


NOTES TO FINANCIAL STATEMENTS Unaudited / Continued

5. Fees and Other Transactions with Affiliates

Management Fees. Under the investment advisory agreement, the Fund pays the Manager a management fee based on the daily net assets of the Fund at an annual rate as shown in the following table:


Fee Schedule

Up to $200 million			0.75%
Next $200 million			0.72
Next $200 million			0.69
Next $200 million			0.66
Over $800 million			0.60

Waivers and Reimbursements of Expenses. The Manager has contractually agreed to limit the Fund’s expenses after payments, waivers and/or reimbursements and reduction to custodian expenses, excluding expenses incurred directly or indirectly by the Fund as a result of investments in other investment companies, wholly-owned subsidiaries and pooled investment vehicles; so that those expenses, as percentages of daily net assets, will not exceed the annual rate of 0.67% for Non-Service shares and 0.92% for Service shares. During the six months ended June 30, 2014, the Manager waived fees and/or reimbursed the Fund $224,240 and $70,880 for Non-Service and Service shares, respectively.

Some of these undertakings may be modified or terminated at any time; some may not be modified or terminated until after one year from the date of the current prospectus, as indicated therein.

6. Risk Exposures and the Use of Derivative Instruments

The Fund’s investment objective not only permits the Fund to purchase investment securities, it also allows the Fund to enter into various types of derivatives contracts, including, but not limited to, futures contracts, forward currency exchange contracts, credit default swaps, interest rate swaps, total return swaps, variance swaps and purchased and written options. In doing so, the Fund will employ strategies in differing combinations to permit it to increase, decrease, or change the level or types of exposure to market risk factors. These instruments may allow the Fund to pursue its objectives more quickly and efficiently than if it were to make direct purchases or sales of securities capable of effecting a similar response to market factors. Such contracts may be entered into through a bilateral over-the-counter (“OTC”) transaction, or through a securities or futures exchange and cleared through a clearinghouse.

Market Risk Factors. In accordance with its investment objectives, the Fund may use derivatives to increase or decrease its exposure to one or more of the following market risk factors:

Commodity Risk. Commodity risk relates to the change in value of commodities or commodity indexes as they relate to increases or decreases in the commodities market. Commodities are physical assets that have tangible properties. Examples of these types of assets are crude oil, heating oil, metals, livestock, and agricultural products.

26 OPPENHEIMER CAPITAL INCOME FUND/VA

6. Risk Exposures and the Use of Derivative Instruments (Continued)

Credit Risk. Credit risk relates to the ability of the issuer to meet interest and principal payments, or both, as they come due. In general, lower-grade, higher-yield bonds are subject to credit risk to a greater extent than lower-yield, higher-quality bonds.

Equity Risk. Equity risk relates to the change in value of equity securities as they relate to increases or decreases in the general market.

Foreign Exchange Rate Risk. Foreign exchange rate risk relates to the change in the U.S. dollar value of a security held that is denominated in a foreign currency. The U.S. dollar value of a foreign currency denominated security will decrease as the dollar appreciates against the currency, while the U.S. dollar value will increase as the dollar depreciates against the currency.

Interest Rate Risk. Interest rate risk refers to the fluctuations in value of fixed-income securities resulting from the inverse relationship between price and yield. For example, an increase in general interest rates will tend to reduce the market value of already issued fixed-income investments, and a decline in general interest rates will tend to increase their value. In addition, debt securities with longer maturities, which tend to have higher yields, are subject to potentially greater fluctuations in value from changes in interest rates than obligations with shorter maturities.

Volatility Risk. Volatility risk refers to the magnitude of the movement, but not the direction of the movement, in a financial instrument’s price over a defined time period. Large increases or decreases in a financial instrument’s price over a relative time period typically indicate greater volatility risk, while small increases or decreases in its price typically indicate lower volatility risk.

Derivatives may have little or no initial cash investment relative to their market value exposure and therefore can produce significant gains or losses in excess of their cost due to unanticipated changes in the market risk factors and the overall market. This use of embedded leverage allows the Fund to increase its market value exposure relative to its net assets and can substantially increase the volatility of the Fund’s performance. In instances where the Fund is using derivatives to decrease, or hedge, exposures to market risk factors for securities held by the Fund, there are also risks that those derivatives may not perform as expected resulting in losses for the combined or hedged positions. Some derivatives have the potential for unlimited loss, regardless of the size of the Fund’s initial investment.

Additional associated risks from investing in derivatives also exist and potentially could have significant effects on the valuation of the derivative and the Fund. Typically, the associated risks are not the risks that the Fund is attempting to increase or decrease exposure to, per its investment objectives, but are the additional risks from investing in derivatives. Examples of these associated risks are liquidity risk, which is the risk that the Fund will not be able to sell the derivative in the open market in a timely manner, and counterparty credit risk, which is the risk that the counterparty will not fulfill its obligation to the Fund.

The Fund’s actual exposures to these market risk factors and associated risks during the period are discussed in further detail, by derivative type, below.

Futures Contracts

A futures contract is a commitment to buy or sell a specific amount of a commodity, financial instrument or currency at a negotiated price on a stipulated future date. The Fund may buy and sell futures contracts and may also buy or write put or call options on these futures contracts. Futures contracts and options thereon are generally entered into on a regulated futures exchange and cleared through a clearinghouse associated with the exchange.

Upon entering into a futures contract, the Fund is required to deposit either cash or securities (initial margin) in an amount equal to a certain percentage of the contract value in an account registered in the futures commission merchant’s name. Subsequent payments (variation margin) are paid to or from the futures commission merchant each day equal to the daily changes in the contract value. Such payments are recorded as unrealized gains and losses. Should the Fund fail to make requested variation margin payments, the futures commission merchant can gain access to the initial margin to satisfy the Fund’s payment obligations.

Futures contracts are reported on a schedule following the Statement of Investments. Securities held by a futures commission merchant to cover initial margin requirements on open futures contracts are noted in the Statement of Investments. Cash held by a futures commission merchant to cover initial margin requirements on open futures contracts and the receivable and/or payable for the daily mark to market for the variation margin are noted in the Statement of Assets and Liabilities. The net change in unrealized appreciation and depreciation is reported in the Statement of Operations. Realized gains (losses) are reported in the Statement of Operations at the closing or expiration of futures contracts.

The Fund has purchased futures contracts on various bonds and notes to increase exposure to interest rate risk.

The Fund has sold futures contracts on various bonds and notes to decrease exposure to interest rate risk.

During the six months ended June 30, 2014, the Fund had an ending monthly average market value of $14,615,379 and $24,311,532 on futures contracts purchased and sold, respectively.

Additional associated risks of entering into futures contracts (and related options) include the possibility that there may be an illiquid market where the Fund is unable to liquidate the contract or enter into an offsetting position and, if used for hedging purposes, the risk that the price of the contract will correlate imperfectly with the prices of the Fund’s securities.

Swaption Transactions

The Fund may enter into a swaption contract which grants the purchaser the right, but not the obligation, to enter into a swap transaction at preset terms detailed in the underlying agreement within a specified period of time. The purchaser pays a premium to the swaption writer who bears the risk of unfavorable changes in the preset terms on the underlying swap.

Purchased swaptions are reported as a component of investments in the Statement of Investments and the Statement of Assets and Liabilities. Written swaptions are reported on a schedule following the Statement of Investments and their value is reported as a separate asset or liability line item in the Statement of Assets and Liabilities. The net change in unrealized appreciation or depreciation on written swaptions is separately reported in the Statement of Operations. When a swaption is exercised, the cost of the swap is adjusted by the amount of premium paid or received. Upon the expiration or closing of an unexercised swaption contract, a gain or loss is reported in the Statement of Operations for the amount of the premium paid or received.

27 OPPENHEIMER CAPITAL INCOME FUND/VA


NOTES TO FINANCIAL STATEMENTS Unaudited / Continued

6. Risk Exposures and the Use of Derivative Instruments (Continued)

The Fund generally will incur a greater risk when it writes a swaption than when it purchases a swaption. When the Fund writes a swaption it will become obligated, upon exercise of the swaption, according to the terms of the underlying agreement. Swaption contracts written by the Fund do not give rise to counterparty credit risk prior to exercise as they obligate the Fund, not its counterparty, to perform. When the Fund purchases a swaption it only risks losing the amount of the premium it paid if the swaption expires unexercised. However, when the Fund exercises a purchased swaption there is a risk that the counterparty will fail to perform or otherwise default on its obligations under the swaption contract.

The Fund has purchased swaptions which gives it the option to buy credit protection through credit default swaps in order to decrease exposure to the credit risk of individual issuers and/or indexes of issuers. A purchased swaption of this type becomes more valuable as the likelihood of a credit event on the reference asset increases.

During the six months ended June 30, 2014, the Fund had an ending monthly average market value of $10,818 on purchased swaptions.

Counterparty Credit Risk. Derivative positions are subject to the risk that the counterparty will not fulfill its obligation to the Fund. The Fund intends to enter into derivative transactions with counterparties that the Manager believes to be creditworthy at the time of the transaction.

The Fund’s risk of loss from counterparty credit risk on OTC derivatives is generally limited to the aggregate unrealized gain netted against any collateral held by the Fund. For OTC options purchased, the Fund bears the risk of loss of the amount of the premiums paid plus the positive change in market values net of any collateral held by the Fund should the counterparty fail to perform under the contracts. Options written by the Fund do not typically give rise to counterparty credit risk, as options written generally obligate the Fund and not the counterparty to perform.

To reduce counterparty risk with respect to OTC transactions, the Fund has entered into master netting arrangements, established within the Fund’s International Swap and Derivatives Association, Inc. (“ISDA”) master agreements, which allow the Fund to make (or to have an entitlement to receive) a single net payment in the event of default (close-out netting) for outstanding payables and receivables with respect to certain OTC positions in swaps, options, swaptions, and forward currency exchange contracts for each individual counterparty. In addition, the Fund may require that certain counterparties post cash and/or securities in collateral accounts to cover their net payment obligations for those derivative contracts subject to ISDA master agreements. If the counterparty fails to perform under these contracts and agreements, the cash and/or securities will be made available to the Fund.

ISDA master agreements include credit related contingent features which allow counterparties to OTC derivatives to terminate derivative contracts prior to maturity in the event that, for example, the Fund’s net assets decline by a stated percentage or the Fund fails to meet the terms of its ISDA master agreements, which would cause the Fund to accelerate payment of any net liability owed to the counterparty.

For financial reporting purposes, the Fund does not offset derivative assets and derivative liabilities that are subject to netting arrangements in the Statement of Assets and Liabilities. Bankruptcy or insolvency laws of a particular jurisdiction may impose restrictions on or prohibitions against the right of offset in bankruptcy, insolvency or other events.

The Fund’s risk of loss from counterparty credit risk on exchange-traded derivatives cleared through a clearinghouse and for centrally cleared swaps is generally considered lower than as compared to OTC derivatives. However, counterparty credit risk exists with respect to initial and variation margin deposited/paid by the Fund that is held in futures commission merchant, broker and/or clearinghouse accounts for such exchange-traded derivatives and for centrally cleared swaps.

With respect to centrally cleared swaps, such transactions will be submitted for clearing, and if cleared, will be held in accounts at futures commission merchants or brokers that are members of clearinghouses. While brokers, futures commission merchants and clearinghouses are required to segregate customer margin from their own assets, in the event that a broker, futures commission merchant or clearinghouse becomes insolvent or goes into bankruptcy and at that time there is a shortfall in the aggregate amount of margin held by the broker, futures commission merchant or clearinghouse for all its customers, U.S. bankruptcy laws will typically allocate that shortfall on a pro-rata basis across all the broker’s, futures commission merchant’s or clearinghouse’s customers, potentially resulting in losses to the Fund.

There is the risk that a broker, futures commission merchant or clearinghouse will decline to clear a transaction on the Fund’s behalf, and the Fund may be required to pay a termination fee to the executing broker with whom the Fund initially enters into the transaction. Clearinghouses may also be permitted to terminate centrally cleared swaps at any time. The Fund is also subject to the risk that the broker or futures commission merchant will improperly use the Fund’s assets deposited/paid as initial or variation margin to satisfy payment obligations of another customer. In the event of a default by another customer of the broker or futures commission merchant, the Fund might not receive its variation margin payments from the clearinghouse, due to the manner in which variation margin payments are aggregated for all customers of the broker/futures commission merchant.

Collateral and margin requirements differ by type of derivative. Margin requirements are established by the broker, futures commission merchant or clearinghouse for exchange-traded and cleared derivatives, including centrally cleared swaps. Brokers, futures commission merchants and clearinghouses can ask for margin in excess of the regulatory minimum, or increase the margin amount, in certain circumstances.

Collateral terms are contract specific for OTC derivatives. For derivatives traded under an ISDA master agreement, the collateral requirements are typically calculated by netting the mark to market amount for each transaction under such agreement and comparing that amount to the value of any collateral currently pledged by the Fund or the counterparty.

28 OPPENHEIMER CAPITAL INCOME FUND/VA

6. Risk Exposures and the Use of Derivative Instruments (Continued)

Generally, the amount of collateral due from or to a party must exceed a minimum transfer amount threshold (e.g. $250,000) before a transfer has to be made. To the extent amounts due to the Fund from its counterparties are not fully collateralized, contractually or otherwise, the Fund bears the risk of loss from counterparty nonperformance.

The following table presents by counterparty the Fund’s OTC derivative assets net of the related collateral pledged by the Fund at June 30, 2014


			Gross Amounts Not Offset in the Statement of Assets & Liabilities
Counterparty	Gross Amount of Assets in the Statement of Assets & Liabilities*		Financial Instruments Available for Offset		Financial Instruments Collateral Received**		Cash Collateral Received**		Net Amount

Deutsche Bank Securities, Inc.	$	10,018	$	—	$	—	$	—	$	10,018
JPMorgan Chase Bank NA		30,706		—		—		—		30,706

	$	40,724	$	—	$	—	$	—	$	40,724

* OTC derivatives are reported gross on the Statement of Assets and Liabilities. Exchange traded options and margin related to cleared swaps and futures are excluded from these reported amounts.

** Reported collateral posted for the benefit of the Fund within this table is limited to the net outstanding amount due from an individual counterparty. The collateral posted for the benefit of the Fund may exceed these amounts.

The following table presents the valuations of derivative instruments by risk exposure as reported within the Statement of Assets and Liabilities as of June 30, 2014:

Asset Derivatives

Liability Derivatives

Derivatives Not Accounted for as

Hedging Instruments

Statement of Assets and

Liabilities Location

Value

Statement of Assets and

Liabilities Location

Value

Interest rate contracts

Variation margin receivable

35,098 *

Variation margin payable

8,470 *

Credit contracts

Investments, at value

40,724 **

Total

75,822

8,470

*Includes only the current day’s variation margin. Prior variation margin movements have been reflected in cash on the Statement of Assets and Liabilities upon receipt or payment.

**Amounts relate to purchased option contracts and purchased swaption contracts, if any.

The effect of derivative instruments on the Statement of Operations is as follows:

Amount of Realized Gain or (Loss) Recognized on Derivatives

Derivatives Not Accounted for as

Hedging Instruments

Closing and expiration of
Futures contracts

Interest rate contracts

$868,918

Amount of Change in Unrealized Gain or (Loss) Recognized on Derivatives

Derivatives Not Accounted for as Hedging

Instruments

Investments*

Futures contracts

Total

Credit contracts

$ (50,345)

$ —

(50,345)

Interest rate contracts

—

213,080

Total

$ (50,345)

$ 213,080

162,735

*Includes purchased option contracts and purchased swaption contracts, if any.

7. Restricted Security

As of June 30, 2014, investments in securities included issues that are restricted. A restricted security may have a contractual restriction on its resale and is valued under methods approved by the Board of Trustees as reflecting fair value. Securities that are restricted are marked with an applicable footnote on the Statement of Investments. Restricted securities are reported on a schedule following the Statement of Investments.

8. Pending Litigation

29 OPPENHEIMER CAPITAL INCOME FUND/VA


NOTES TO FINANCIAL STATEMENTS Unaudited / Continued

8. Pending Litigation (Continued)

30 OPPENHEIMER CAPITAL INCOME FUND/VA

PORTFOLIO PROXY VOTING POLICIES AND PROCEDURES;

UPDATES TO STATEMENTS OF INVESTMENTS Unaudited

31 OPPENHEIMER CAPITAL INCOME FUND/VA

OPPENHEIMER CAPITAL INCOME FUND/VA

A Series of Oppenheimer Variable Account Funds


Trustees and Officers		Sam Freedman, Chairman of the Board of Trustees and Trustee
		Edward L. Cameron, Trustee
		Jon S. Fossel, Trustee
		Richard F. Grabish, Trustee
		Beverly L. Hamilton, Trustee
		Victoria J. Herget, Trustee
		Robert J. Malone, Trustee
		F. William Marshall, Jr., Trustee
		Karen L. Stuckey, Trustee
		James D. Vaughn, Trustee
		William F. Glavin, Jr., Trustee, President and Principal Executive Officer
		Magnus Krantz, Vice President
		Krishna Memani, Vice President
		Arthur S. Gabinet, Secretary and Chief Legal Officer
		Christina M. Nasta, Vice President and Chief Business Officer
		Mary Ann Picciotto, Chief Compliance Officer and Chief Anti-Money Laundering Officer
		Brian W. Wixted, Treasurer and Principal Financial & Accounting Officer

Manager		OFI Global Asset Management, Inc.

Sub-Adviser		OppenheimerFunds, Inc.

Distributor		OppenheimerFunds Distributor, Inc.

Transfer and Shareholder Servicing Agent		OFI Global Asset Management, Inc.

Sub-Transfer Agent		Shareholder Services, Inc.
		DBA OppenheimerFunds Services

Independent		KPMG LLP
Registered Public
Accounting Firm

Counsel		K&L Gates LLP

		Before investing in any of the Oppenheimer funds, investors should carefully consider a fund’s investment objectives, risks, charges and expenses. Fund prospectuses and summary prospectuses contain this and other information about the funds, and may be obtained by asking your financial advisor, visiting oppenheimerfunds.com or calling us at 1.800.988.8287. Read prospectuses and summary prospectuses carefully before investing.

		The financial statements included herein have been taken from the records of the Fund without examination of those records by the independent registered public accounting firm.

		^© 2014 OppenheimerFunds, Inc. All rights reserved. Oppenheimer funds are distributed by OppenheimerFunds Distributor, Inc.

LOGO

Portfolio Manager: Michael Kotlarz

Cumulative Total Returns

For the 6-Month Period Ended 6/30/14


Non-Service Shares	6.41	%
Service Shares	6.28	%

Average Annual Total Returns

For the Periods Ended 6/30/14


	1-Year			5-Year			10-Year
Non-Service Shares		27.01	%		15.88	%		6.14%
Service Shares		26.69	%		15.59	%		5.87%

TOP TEN COMMON STOCK HOLDINGS


Apple, Inc.	6.6	%
Facebook, Inc., Cl. A	4.5
Biogen Idec, Inc.	4.4
Gilead Sciences, Inc.	3.9
Twenty-First Century Fox, Inc., Cl. B	2.6
Walt Disney Co. (The)	2.5
MasterCard, Inc., Cl. A	2.4
LinkedIn Corp., Cl. A	2.2
Celgene Corp.	2.2
CVS Caremark Corp.	2.1

Portfolio holdings and allocations are subject to change. Percentages are as of June 30, 2014, and are based on net assets. For more current Fund holdings, please visit oppenheimerfunds.com.

SECTOR ALLOCATION

LOGO

Portfolio holdings and allocations are subject to change. Percentages are as of June 30, 2014, and are based on the total market value of common stocks.

2 OPPENHEIMER CAPITAL APPRECIATION FUND/VA

Fund Performance Discussion

The Fund’s Non-Service shares produced a return of 6.41% during the reporting period, outperforming the Russell 1000 Growth Index (the “Index”), which returned 6.31%. The Fund’s outperformance relative to the Index stemmed primarily from stronger relative stock selection in the consumer discretionary and information technology sectors. Stock selection in health care was the largest detractor from a sector perspective, though our overweight to the sector was accretive to relative performance. The Fund underperformed the S&P 500 Index, which returned 7.14% this reporting period.

GLOBAL MARKET AND ECONOMIC ENVIRONMENT

TOP INDIVIDUAL CONTRIBUTORS

During the reporting period, top contributors to performance included Apple, Inc., Facebook, Inc. and EOG Resources, Inc. Apple performed well during the second half of 2013 due to excitement surrounding the introduction of two new iPhones as well as the addition of China Mobile as a distribution partner. Apple also rallied strongly in April 2014 after iPhone sales came in higher than analysts anticipated and the company announced a 7-for-1 stock split and increased both its dividend and share repurchases. Facebook, the world’s number one social network, delivered strong evidence that it can thrive on smartphones and tablets, with increases in mobile advertising revenue. EOG Resources, the second-largest U.S. independent oil and natural gas producer by market value, reported a fourth-quarter profit and plans for a stock split as crude and liquids output increased strongly. By focusing on increasing the flow from every well, EOG raised estimates for how much oil and gas it can recover from its flagship Eagle Ford development in South Texas during the reporting period.

TOP INDIVIDUAL DETRACTORS

Top detractors from performance this reporting period included LinkedIn Corp., Amazon.com, Inc. and MasterCard, Inc. LinkedIn, the largest professional networking website, finished 2013 with a strong showing, but the online professional networking service rattled already jittery investors by indicating its performance will weaken in 2014 as management ramps up spending while revenue growth slows. Online retailer Amazon.com experienced declines this reporting period as increased spending limited profit growth. MasterCard, the second largest U.S. payments network, reported profit that missed analyst estimates as rebates to card issuers fueled a jump in expenses.

STRATEGY & OUTLOOK

The Fund continues to seek to invest in high quality growth stocks. We combine strategic top-down sector analysis with bottom up fundamental research, focusing on high quality companies with historically consistent growth and capital discipline.

The U.S. economy remains resilient with stable to improving economic fundamentals despite headwinds from difficult winter weather and an uptick in geopolitical posturing. Though the pace of economic expansion remains muted, the global economy appears to be on stable ground, and underpins the Fed’s decision to continue the reduction of its accommodative policies. We remain confident that the U.S. economy retains many of its attractive competitive advantages including high productivity and cost-effective infrastructure. In addition, we are seeing further evidence of a more synchronized global rebound as evidenced by stability in Europe and receding fears of a hard landing in China. We are watching carefully for signs that the opportunity for growth is broadening across industries and geographies worldwide. The current political turmoil in Ukraine and the Middle East has added some uncertainty, but the financial markets have remained resilient. We believe that companies with capital discipline, strong management and sustainable competitive advantages have the greatest prospects to succeed.

3 OPPENHEIMER CAPITAL APPRECIATION FUND/VA

The Fund’s investment strategy and focus can change over time. The mention of specific fund holdings does not constitute a recommendation by OppenheimerFunds, Inc. or its affiliates.

4 OPPENHEIMER CAPITAL APPRECIATION FUND/VA

Fund Expenses

The examples are based on an investment of $1,000.00 invested at the beginning of the period and held for the entire 6-month period ended June 30, 2014.

Hypothetical Example for Comparison Purposes.


Actual	Beginning Account Value January 1, 2014		Ending Account Value June 30, 2014		Expenses Paid During 6 Months Ended June 30, 2014
Non-Service shares	$	1,000.00	$	1,064.10	$	4.10
Service shares		1,000.00		1,062.80		5.38

Hypothetical (5% return before expenses)
Non-Service shares		1,000.00		1,020.83		4.02
Service shares		1,000.00		1,019.59		5.27

5 OPPENHEIMER CAPITAL APPRECIATION FUND/VA

STATEMENT OF INVESTMENTS June 30, 2014 Unaudited


	Shares		Value
Common Stocks—98.6%
Consumer Discretionary—16.6%
Auto Components—1.0%
Magna International, Inc.		90,610	$	9,763,227

Hotels, Restaurants & Leisure—1.9%
Chipotle Mexican Grill, Inc.¹		21,490		12,733,040
Wynn Resorts Ltd.		27,300		5,666,388
				18,399,428

Household Durables—1.1%
Harman International Industries, Inc.		97,560		10,480,871

Internet & Catalog Retail—2.6%
Amazon.com, Inc.¹		22,384		7,269,876
Priceline.com, Inc. (The)¹		2,240		2,694,720
TripAdvisor, Inc.¹		140,070		15,220,006
				25,184,602

Media—6.8%
Time Warner, Inc.		246,966		17,349,361
Twenty-First Century Fox, Inc., Cl. B		735,890		25,189,515
Walt Disney Co. (The)		278,830		23,906,884
				66,445,760

Specialty Retail—1.9%
Tiffany & Co.		109,320		10,959,330
TJX Cos., Inc. (The)		134,470		7,147,081
				18,106,411

Textiles, Apparel & Luxury Goods—1.3%
Nike, Inc., Cl. B		113,260		8,783,313
VF Corp.		54,420		3,428,460
				12,211,773

Consumer Staples—6.3%
Beverages—2.1%
Brown-Forman Corp., Cl. B		109,465		10,308,319
SABMiller plc		165,600		9,594,445
				19,902,764

Food & Staples Retailing—2.9%
Costco Wholesale Corp.		68,430		7,880,399
CVS Caremark Corp.		271,330		20,450,142
				28,330,541

Food Products—1.3%
Hershey Co. (The)		134,060		13,053,422

Energy—5.1%
Energy Equipment & Services—1.5%
Halliburton Co.		104,260		7,403,503
Oceaneering International, Inc.		86,730		6,776,215
				14,179,718

Oil, Gas & Consumable Fuels—3.6%
Antero Resources Corp.¹		94,810		6,222,380
Cimarex Energy Co.		37,500		5,379,750
EOG Resources, Inc.		122,320		14,294,315
Pioneer Natural Resources Co.		38,350		8,813,214
				34,709,659

Financials—6.1%
Capital Markets—3.3%
Ameriprise Financial, Inc.		65,510		7,861,200
Charles Schwab Corp. (The)		277,490		7,472,806
Invesco Ltd.		238,060		8,986,765
Northern Trust Corp.		119,210		7,654,474
				31,975,245

Consumer Finance—1.0%
Discover Financial Services		163,840		10,154,803


	Shares		Value
Insurance—1.8%
Aon plc		190,670	$	17,177,460

Health Care—21.2%
Biotechnology—10.7%
Biogen Idec, Inc.¹		135,160		42,617,300
Celgene Corp.¹		243,074		20,875,195
Gilead Sciences, Inc.¹		456,040		37,810,276
Vertex Pharmaceuticals, Inc.¹		25,535		2,417,654
				103,720,425

Health Care Technology—0.9%
Cerner Corp.¹		165,130		8,517,405

Life Sciences Tools & Services—1.4%
Thermo Fisher Scientific, Inc.		120,450		14,213,100

Pharmaceuticals—8.2%
Actavis plc¹		85,020		18,963,711
Allergan, Inc.		50,350		8,520,227
Bristol-Myers Squibb Co.		300,590		14,581,621
Perrigo Co. plc		75,180		10,958,237
Pfizer, Inc.		234,230		6,951,946
Roche Holding AG		17,600		5,251,867
Valeant Pharmaceuticals International, Inc.¹		111,919		14,115,224
				79,342,833

Industrials—8.1%
Aerospace & Defense—1.0%
B/E Aerospace, Inc.¹		104,750		9,688,328

Building Products—0.6%
Allegion plc		103,880		5,887,918

Commercial Services & Supplies—1.2%
Tyco International Ltd.		257,210		11,728,776

Electrical Equipment—0.9%
AMETEK, Inc.		162,040		8,471,451

Machinery—4.1%
Caterpillar, Inc.		117,530		12,771,985
Pall Corp.		108,380		9,254,568
Parker Hannifin Corp.		111,090		13,967,346
Pentair plc		48,160		3,473,299
				39,467,198

Trading Companies & Distributors—0.3%
United Rentals, Inc.¹		31,980		3,349,266

Information Technology—31.3%
Communications Equipment—1.4%
Cisco Systems, Inc.		547,730		13,611,091

Internet Software & Services—9.5%
Facebook, Inc., Cl. A¹		651,680		43,851,547
Google, Inc., Cl. A¹		28,780		16,826,803
Google, Inc., Cl. C¹		18,820		10,826,770
LinkedIn Corp., Cl. A¹		122,250		20,962,207
				92,467,327

IT Services—5.8%
Alliance Data Systems Corp.¹		18,440		5,186,250
FleetCor Technologies, Inc.¹		77,370		10,197,366
MasterCard, Inc., Cl. A		312,170		22,935,130
Visa, Inc., Cl. A		84,107		17,722,186
				56,040,932

Software—4.9%
Autodesk, Inc.¹		346,060		19,510,863
Oracle Corp.		343,370		13,916,786
ServiceNow, Inc.¹		61,160		3,789,473
Splunk, Inc.¹		63,770		3,528,394

6 OPPENHEIMER CAPITAL APPRECIATION FUND/VA


	Shares		Value
Software (Continued)
Workday, Inc., Cl. A¹		70,880	$	6,369,277
				47,114,793

Technology Hardware, Storage & Peripherals—9.7%
Apple, Inc.		689,920		64,114,266
EMC Corp.		674,160		17,757,374
Western Digital Corp.		130,580		12,052,534
				93,924,174

Materials—3.9%
Chemicals—3.9%
Dow Chemical Co. (The)		243,720		12,541,831
Methanex Corp.		110,770		6,843,371
PPG Industries, Inc.		88,330		18,562,549
				37,947,751
Total Common Stocks (Cost $682,210,116)				955,568,452


	Shares			Value
Investment Company—2.1%
Oppenheimer Institutional Money Market Fund, Cl. E, 0.09%^2,3 (Cost $20,379,910)		20,379,910		$	20,379,910

Total Investments, at Value (Cost $702,590,026)		100.7	%		975,948,362
Net Other Assets (Liabilities)		(0.7	)		(6,324,411	)
Net Assets		100.0	%	$	969,623,951

Footnotes to Statement of Investments

1. Non-income producing security.

2. Rate shown is the 7-day yield as of June 30, 2014.

3. Is or was an affiliate, as defined in the Investment Company Act of 1940, at or during the six months ended June 30, 2014, by virtue of the Fund owning at least 5% of the voting securities of the issuer or as a result of the Fund and the issuer having the same investment adviser. Transactions during the period in which the issuer was an affiliate are as follows:


	Shares December 31, 2013		Gross Additions		Gross Reductions		Shares June 30, 2014
Oppenheimer Institutional Money Market Fund, Cl. E		3,644,176		136,435,485		119,699,751		20,379,910

					Value		Income
Oppenheimer Institutional Money Market Fund, Cl. E					$	20,379,910	$	4,959

See accompanying Notes to Financial Statements.

7 OPPENHEIMER CAPITAL APPRECIATION FUND/VA

STATEMENTOF ASSETS AND LIABILITIES June 30, 2014 Unaudited



Assets
Investments, at value—see accompanying statement of investments:
Unaffiliated companies (cost $682,210,116)	$	955,568,452
Affiliated companies (cost $20,379,910)		20,379,910

		975,948,362

Cash		2,001,662

Receivables and other assets:
Investments sold		1,085,652
Dividends		866,688
Shares of beneficial interest sold		193,529
Other		74,145

Total assets		980,170,038

Liabilities
Payables and other liabilities:
Shares of beneficial interest redeemed		5,666,931
Investments purchased		4,694,503
Distribution and service plan fees		70,977
Trustees’ compensation		67,432
Shareholder communications		30,802
Dividends		221
Other		15,221

Total liabilities		10,546,087

Net Assets	$	969,623,951



Composition of Net Assets
Par value of shares of beneficial interest	$	16,256

Additional paid-in capital		597,297,245

Accumulated net investment loss		(1,104,528)

Accumulated net realized gain on investments and foreign currency transactions		100,039,181

Net unrealized appreciation on investments and translation of assets and liabilities denominated in foreign currencies		273,375,797

Net Assets	$	969,623,951



Net Asset Value Per Share
Non-Service Shares:
Net asset value, redemption price (excludes applicable contingent deferred sales charge) and offering price per share (based on net assets of $621,140,630 and 10,384,731 shares of beneficial interest outstanding)		$59.81

Service Shares:
Net asset value, redemption price (excludes applicable contingent deferred sales charge) and offering price per share (based on net assets of $348,483,321 and 5,870,790 shares of beneficial interest outstanding)		$59.36

See accompanying Notes to Financial Statements.

8 OPPENHEIMER CAPITAL APPRECIATION FUND/VA

STATEMENTOF OPERATIONS For the Six Months Ended June 30, 2014 Unaudited



Investment Income

Dividends:
Unaffiliated companies (net of foreign withholding taxes of $61,035)	$	4,532,081
Affiliated companies		4,959

Interest		32

Total investment income		4,537,072

Expenses
Management fees		3,255,876

Distribution and service plan fees - Service shares		428,845

Transfer and shareholder servicing agent fees:
Non-Service shares		301,888
Service shares		171,718

Shareholder communications:
Non-Service shares		16,247
Service shares		9,292

Custodian fees and expenses		8,006

Trustees’ compensation		20,260

Other		35,320

Total expenses		4,247,452
Less waivers and reimbursements of expenses		(29,185)

Net expenses		4,218,267


Net Investment Income		318,805

Realized and Unrealized Gain (Loss)
Net realized gain (loss) on:
Investments from unaffiliated companies		100,128,189
Foreign currency transactions		(910)

Net realized gain		100,127,279

Net change in unrealized appreciation/depreciation on:
Investments		(40,925,683)
Translation of assets and liabilities denominated in foreign currencies		(890,784)

Net change in unrealized appreciation/depreciation		(41,816,467)


Net Increase in Net Assets Resulting from Operations	$	58,629,617

See accompanying Notes to Financial Statements.

9 OPPENHEIMER CAPITAL APPRECIATION FUND/VA

STATEMENTSOF CHANGES IN NET ASSETS


	Six Months Ended June 30, 2014 (Unaudited)		Year Ended December 31, 2013

Operations
Net investment income	$	318,805	$	3,375,027

Net realized gain		100,127,279		226,957,048

Net change in unrealized appreciation/depreciation		(41,816,467)		19,646,381

Net increase in net assets resulting from operations		58,629,617		249,978,456

Dividends and/or Distributions to Shareholders
Dividends from net investment income:
Non-Service shares		(2,755,816)		(5,856,634)
Service shares		(632,318)		(2,798,285)

		(3,388,134)		(8,654,919)

Distributions from net realized gain:
Non-Service shares		(15,002,872)		—
Service shares		(8,466,690)		—

		(23,469,562)		—

Beneficial Interest Transactions
Net increase (decrease) in net assets resulting from beneficial interest transactions:
Non-Service shares		(25,880,262)		(96,658,801)
Service shares		(27,388,917)		(93,891,544)

		(53,269,179)		(190,550,345)

Net Assets
Total increase (decrease)		(21,497,258)		50,773,192

Beginning of period		991,121,209		940,348,017

End of period (including accumulated net investment income (loss) of ($1,104,528) and $1,964,801, respectively)	$	969,623,951	$	991,121,209

See accompanying Notes to Financial Statements.

10 OPPENHEIMER CAPITAL APPRECIATION FUND/VA

FINANCIAL HIGHLIGHTS


Non-Service Shares	Six Months Ended June 30, 2014 (Unaudited)		Year Ended December 31, 2013		Year Ended December 31, 2012		Year Ended December 30, 2011¹		Year Ended December 31, 2010		Year Ended December 31, 2009

Per Share Operating Data
Net asset value, beginning of period	$	57.88	$	45.06		39 .75		40 .35		36 .94		25 .67

Income (loss) from investment operations:
Net investment income²		0.05		0.23		0.42		0.23		0.11		0.09
Net realized and unrealized gain (loss)		3.62		13.09		5.18		(0.69)		3.36		11.27

Total from investment operations		3.67		13.32		5.60		(0.46)		3.47		11.36

Dividends and/or distributions to shareholders:
Dividends from net investment income		(0.27)		(0.50)		(0.29)		(0.14)		(0.06)		(0.09)
Distributions from net realized gain		(1.47)		0.00		0.00		0.00		0.00		0.00

Total dividends and/or distributions to shareholders		(1.74)		(0.50)		(0.29)		(0.14)		(0.06)		(0.09)

Net asset value, end of period	$	59.81	$	57.88	$	45.06	$	39.75	$	40.35	$	36.94



Total Return, at Net Asset Value³		6.41%		29.74%		14.12%		(1.15)%		9.42%		44.52%


Ratios/Supplemental Data
Net assets, end of period (in thousands)	$	621,141	$	626,907	$	573,684	$	637,868	$	771,086	$	1,074,190

Average net assets (in thousands)	$	611,620	$	595,912	$	600,121	$	713,770	$	976,242	$	927,670

Ratios to average net assets:⁴
Net investment income		0.16%		0.44%		0.95%		0.57%		0.31%		0.29%
Total expenses⁵		0.80%		0.81%		0.81%		0.80%		0.79%		0.78%
Expenses after payments, waivers and/or reimbursements and reduction to custodian expenses		0.79%		0.80%		0.80%		0.80%		0.79%		0.78%

Portfolio turnover rate		33%		77%		28%		27%		58%		46%

1. December 30, 2011 represents the last business day of the Fund’s 2011 fiscal year.

2. Per share amounts calculated based on the average shares outstanding during the period.

4. Annualized for periods less than one full year.

5. Total expenses including indirect expenses from affiliated fund were as follows:


Six Months Ended June 30, 2014	0.80	%
Year Ended December 31, 2013	0.81	%
Year Ended December 31, 2012	0.81	%
Year Ended December 30, 2011	0.80	%
Year Ended December 31, 2010	0.79	%
Year Ended December 31, 2009	0.78	%

See accompanying Notes to Financial Statements.

11 OPPENHEIMER CAPITAL APPRECIATION FUND/VA

FINANCIAL HIGHLIGHTS Continued


Service Shares	Six Months Ended June 30, 2014 (Unaudited)		Year Ended December 31, 2013		Year Ended December 31, 2012		Year Ended December 30, 2011¹		Year Ended December 31, 2010		Year Ended December 31, 2009

Per Share Operating Data
Net asset value, beginning of period	$	57.37	$	44.66	$	39.40	$	39.99	$	36.64	$	25.42

Income (loss) from investment operations:
Net investment income (loss)²		(0.03)		0.10		0.31		0.13		0.02		0.01
Net realized and unrealized gain (loss)		3.60		12.98		5.12		(0.68)		3.33		11.21

Total from investment operations		3.57		13.08		5.43		(0.55)		3.35		11.22

Dividends and/or distributions to shareholders:
Dividends from net investment income		(0.11)		(0.37)		(0.17)		(0.04)		0.00		0.00³
Distributions from net realized gain		(1.47)		0.00		0.00		0.00		0.00		0.00

Total dividends and/or distributions to shareholders		(1.58)		(0.37)		(0.17)		(0.04)		0.00		0.00

Net asset value, end of period	$	59.36	$	57.37	$	44.66	$	39.40	$	39.99	$	36.64



Total Return, at Net Asset Value⁴		6.28%		29.43%		13.81%		(1.37)%		9.15%		44.15%


Ratios/Supplemental Data
Net assets, end of period (in thousands)	$	348,483	$	364,214	$	366,664	$	375,330	$	423,989	$	444,170

Average net assets (in thousands)	$	347,911	$	367,615	$	382,196	$	407,413	$	427,640	$	368,634

Ratios to average net assets:⁵
Net investment income (loss)		(0.09)%		0.20%		0.71%		0.32%		0.06%		0.03%
Total expenses⁶		1.05%		1.06%		1.06%		1.05%		1.04%		1.04%
Expenses after payments, waivers and/or reimbursements and reduction to custodian expenses		1.05%		1.05%		1.05%		1.05%		1.04%		1.03%

Portfolio turnover rate		33%		77%		28%		27%		58%		46%

1. December 30, 2011 represents the last business day of the Fund’s 2011 fiscal year.

2. Per share amounts calculated based on the average shares outstanding during the period.

3. Less then $0.005 per share.

5. Annualized for periods less than one full year.

6. Total expenses including indirect expenses from affiliated fund were as follows:


Six Months Ended June 30, 2014	1.05	%
Year Ended December 31, 2013	1.06	%
Year Ended December 31, 2012	1.06	%
Year Ended December 30, 2011	1.05	%
Year Ended December 31, 2010	1.04	%
Year Ended December 31, 2009	1.04	%

See accompanying Notes to Financial Statements.

12 OPPENHEIMER CAPITAL APPRECIATION FUND/VA

NOTESTO FINANCIAL STATEMENTS June 30, 2014 Unaudited

1. Significant Accounting Policies

Oppenheimer Capital Appreciation Fund/VA (the “Fund”) is a separate series of Oppenheimer Variable Account Funds, a diversified open-end management investment company registered under the Investment Company Act of 1940, as amended. The Fund’s investment objective is to seek capital appreciation. The Fund’s investment adviser is OFI Global Asset Management, Inc. (“OFI Global” or the “Manager”), a wholly-owned subsidiary of OppenheimerFunds, Inc. (“OFI” or the “Sub-Adviser”). The Manager has entered into a sub-advisory agreement with OFI. Shares of the Fund are sold only to separate accounts of life insurance companies.

The following is a summary of significant accounting policies consistently followed by the Fund.

During the fiscal year ended December 31, 2013, the Fund utilized $197,794,392 of capital loss carryforward to offset capital gains realized in that fiscal year.

13 OPPENHEIMER CAPITAL APPRECIATION FUND/VA

NOTES TO FINANCIAL STATEMENTS Unaudited / Continued

1. Significant Accounting Policies (Continued)


Federal tax cost of securities	$	702,693,251


Gross unrealized appreciation	$	280,795,861
Gross unrealized depreciation		(7,540,750)

Net unrealized appreciation	$	273,255,111

Security Transactions. Security transactions are recorded on the trade date. Realized gains and losses on securities sold are determined on the basis of identified cost.

2. Securities Valuation

14 OPPENHEIMER CAPITAL APPRECIATION FUND/VA




2. Securities Valuation (Continued)

Valuation Methods and Inputs

Securities are valued using unadjusted quoted market prices, when available, as supplied primarily by third party pricing services or dealers.

The following methodologies are used to determine the market value or the fair value of the types of securities described below:

Shares of a registered investment company that are not traded on an exchange are valued at that investment company’s net asset value per share.

A description of the standard inputs that may generally be considered by the third party pricing vendors in determining their evaluated prices is provided below.


Security Type		Standard inputs generally considered by third-party pricing vendors
Corporate debt, government debt, municipal, mortgage-backed and asset-backed securities		Reported trade data, broker-dealer price quotations, benchmark yields, issuer spreads on comparable securities, the credit quality, yield, maturity, and other appropriate factors.
Loans		Information obtained from market participants regarding reported trade data and broker-dealer price quotations.
Event-linked bonds		Information obtained from market participants regarding reported trade data and broker-dealer price quotations.

Classifications

15 OPPENHEIMER CAPITAL APPRECIATION FUND/VA

NOTES TO FINANCIAL STATEMENTS Unaudited / Continued

2. Securities Valuation (Continued)

1) Level 1-unadjusted quoted prices in active markets for identical assets or liabilities (including securities actively traded on a securities exchange)

3) Level 3-significant unobservable inputs (including the Manager’s own judgments about assumptions that market participants would use in pricing the asset or liability).

The inputs used for valuing securities are not necessarily an indication of the risks associated with investing in those securities.

The table below categorizes amounts that are included in the Fund’s Statement of Assets and Liabilities as of June 30, 2014 based on valuation input level:


	Level 1— Unadjusted Quoted Prices		Level 2— Other Significant Observable Inputs		Level 3— Significant Unobservable Inputs		Value

Assets Table
Investments, at Value:
Common Stocks
Consumer Discretionary	$	160,592,072	$	—	$	—	$	160,592,072
Consumer Staples		51,692,282		9,594,445		—		61,286,727
Energy		48,889,377		—		—		48,889,377
Financials		59,307,508		—		—		59,307,508
Health Care		200,541,896		5,251,867		—		205,793,763
Industrials		78,592,937		—		—		78,592,937
Information Technology		303,158,317		—		—		303,158,317
Materials		37,947,751		—		—		37,947,751
Investment Company		20,379,910		—		—		20,379,910

Total Assets	$	961,102,050	$	14,846,312	$	—	$	975,948,362

Foreign currency exchange contracts and futures contracts, if any, are reported at their unrealized appreciation/ depreciation at measurement date, which represents the change in the contract’s value from trade date. All additional assets and liabilities included in the above table are reported at their market value at measurement date.

3. Shares of Beneficial Interest

The Fund has authorized an unlimited number of $0.001 par value shares of beneficial interest of each class. Transactions in shares of beneficial interest were as follows:


	Six Months Ended June 30, 2014						Year Ended December 31, 2013
	Shares			Amount			Shares			Amount

Non-Service Shares
Sold		157,383		$	9,138,309			300,888		$	15,140,401
Dividends and/or distributions reinvested		303,563			17,758,688			117,415			5,856,634
Redeemed		(907,099	)		(52,777,259	)		(2,319,735	)		(117,655,836)

Net decrease		(446,153	)	$	(25,880,262	)		(1,901,432	)	$	(96,658,801)



Service Shares
Sold		120,191		$	6,846,035			192,139		$	9,432,352
Dividends and/or distributions reinvested		156,717			9,099,008			56,519			2,798,285
Redeemed		(754,437	)		(43,333,960	)		(2,109,967	)		(106,122,181)

Net decrease		(477,529	)	$	(27,388,917	)		(1,861,309	)	$	(93,891,544)

4. Purchases and Sales of Securities

The aggregate cost of purchases and proceeds from sales of securities, other than short-term obligations and investments in IMMF, for the six months ended June 30, 2014 were as follows:


	Purchases		Sales
Investment securities	$	316,083,189	$	414,009,402

5. Fees and Other Transactions with Affiliates

Management Fees. Under the investment advisory agreement, the Fund pays the Manager a management fee based on the daily net assets of the Fund at an annual rate as shown in the following table:

16 OPPENHEIMER CAPITAL APPRECIATION FUND/VA




5. Fees and Other Transactions with Affiliates (Continued)


Fee Schedule
Up to $200 million			0.75%
Next $200 million			0.72
Next $200 million			0.69
Next $200 million			0.66
Next $200 million			0.60
Over $1 billion			0.58

Waivers and Reimbursements of Expenses. The Manager has contractually agreed to limit the Fund’s expenses after payments, waivers and/or reimbursements and reduction to custodian expenses, excluding expenses incurred directly or indirectly by the Fund as a result of investments in other investment companies, wholly-owned subsidiaries and pooled investment vehicles; so that those expenses, as percentages of daily net assets, will not exceed the annual rate of 0.80% for Non-Service shares and 1.05% for Service shares. During the six months ended June 30, 2014, the Manager waived fees and/or reimbursed the Fund $15,225 and $7,491 for Non-Service and Service shares, respectively.

Some of these undertakings may be modified or terminated at any time; some may not be modified or terminated until after one year from the date of the current prospectus, as indicated therein.

6. Pending Litigation

17 OPPENHEIMER CAPITAL APPRECIATION FUND/VA

NOTES TO FINANCIAL STATEMENTS Unaudited / Continued

6. Pending Litigation (Continued)

of federal and state securities laws and regulations, among others. They seek unspecified damages, equitable relief and awards of attorneys’ fees and litigation expenses. Neither the Distributor, nor any of the Oppenheimer mutual funds, their independent trustees or directors are named as defendants in these lawsuits. None of the Oppenheimer mutual funds invested in any funds or accounts managed by Madoff or BLMIS. On February 28, 2011, a stipulation of partial settlement of three groups of consolidated putative class action lawsuits relating to these matters was filed in the U.S. District Court for the Southern District of New York. On August 19, 2011, the court entered an order and final judgment approving the settlement as fair, reasonable and adequate. In September 2011, certain parties filed notices of appeal from the court’s order approving the settlement. In June 2014, the appellate court affirmed the lower court’s order approving the settlement. Certain parties subsequently filed a petition for certiorari before the U.S. Supreme Court further challenging the settlement approval order. The settlement does not resolve other outstanding lawsuits against OFI and its affiliates relating to BLMIS.

18 OPPENHEIMER CAPITAL APPRECIATION FUND/VA

PORTFOLIO PROXY VOTING POLICIES AND PROCEDURES; UPDATES TO

STATEMENTS OF INVESTMENTS Unaudited

19 OPPENHEIMER CAPITAL APPRECIATION FUND/VA

OPPENHEIMER CAPITAL APPRECIATION FUND/VA

A Series of Oppenheimer Variable Account Funds


Trustees and Officers		Sam Freedman, Chairman of the Board of Trustees and Trustee
		Edward L. Cameron, Trustee
		Jon S. Fossel, Trustee
		Richard F. Grabish, Trustee
		Beverly L. Hamilton, Trustee
		Victoria J. Herget, Trustee
		Robert J. Malone, Trustee
		F. William Marshall, Jr., Trustee
		Karen L. Stuckey, Trustee
		James D. Vaughn, Trustee
		William F. Glavin, Jr., Trustee, President and Principal Executive Officer
		Michael Kotlarz, Vice President
		Arthur S. Gabinet, Secretary and Chief Legal Officer
		Christina M. Nasta, Vice President and Chief Business Officer
		Mary Ann Picciotto, Chief Compliance Officer and Chief Anti-Money Laundering Officer
		Brian W. Wixted, Treasurer and Principal Financial & Accounting Officer

Manager		OFI Global Asset Management, Inc.

Sub-Adviser		OppenheimerFunds, Inc.

Distributor		OppenheimerFunds Distributor, Inc.

Transfer and Shareholder Servicing Agent		OFI Global Asset Management, Inc.

Sub-Transfer Agent		Shareholder Services, Inc. OppenheimerFunds Services

Independent Registered Public Accounting Firm		KPMG LLP

Counsel		K&L Gates LLP

		Before investing in any of the Oppenheimer funds, investors should carefully consider a fund’s investment objectives, risks, charges and expenses. Fund prospectuses and summary prospectuses contain this and other information about the funds and may be obtained by asking your financial advisor, visiting oppenheimerfuinds.com or calling us at 1.800.988.8287. Read prospectuses and summary prospectuses carefully before investing.

		The financial statements included herein have been taken from the records of the Fund without examination of those records by the independent registered public accounting firm.

		© 2014 OppenheimerFunds, Inc. All rights reserved. Oppenheimer funds are distributed by OppenheimerFunds Distributor, Inc.

LOGO

Portfolio Managers: Krishna Memani and Peter A. Strzalkowski, CFA


Cumulative Total Returns For the 6-Month Period Ended 6/30/14
Non-Service Shares			5.51%
Service Shares			5.29%


Average Annual Total Returns For the Periods Ended 6/30/14
	1-Year	5-Year	10-Year

Non-Service Shares	7.43%	9.35%	1.03%
Service Shares	7.09%	9.09%	0.77%

Performance data quoted represents past performance, which does not guarantee future results. The investment return and principal value of an investment in the Fund will fluctuate so that an investor’s shares, when redeemed, may be worth more or less than their original cost. Current performance may be lower or higher than the performance quoted. For performance data current to the most recent month end, call us at 1.800.988.8287. The Fund’s total returns should not be expected to be the same as the returns of other funds, whether or not both funds have the same portfolio managers and/or similar names. The Fund’s total returns include changes in share price and reinvested distributions but do not include the charges associated with the separate account products that offer this Fund. Such performance would have been lower if such charges were taken into account.


CORPORATE BONDS & NOTES - TOP TEN INDUSTRIES

Commercial Banks		5.4%

Oil, Gas & Consumable Fuels		5.0

Capital Markets		3.4

Insurance		3.1

Media		2.5

Diversified Telecommunication Services		2.3

Automobiles		2.0

Metals & Mining		1.6

Real Estate Investment Trusts (REITs)		1.3

Electric Utilities		1.2

Portfolio holdings and allocations are subject to change. Percentages are as of June 30, 2014, and are based on net assets.


CREDIT RATING BREAKDOWN		NRSRO ONLY TOTAL
AAA		40.2%
AA		6.6
A		12.2
BBB		29.6
BB		7.7
B		0.4
CCC		1.4
CC		0.3
D		1.4
Unrated		0.2
Total		100.0%

The percentages above are based on the market value of the Fund’s securities as of June 30, 2014, and are subject to change. Except for securities labeled “Unrated” and securities issued or guaranteed by a foreign sovereign or supranational entity, all securities have been rated by at least one Nationally Recognized Statistical Rating Organization (“NRSRO”), such as Standard & Poor’s (“S&P”). For securities rated only by an NRSRO other than S&P, OppenheimerFunds, Inc. (the “Sub-Adviser”) converts that rating to the equivalent S&P rating. If two or more NRSROs have assigned a rating to a security, the highest S&P equivalent rating is used. Unrated securities issued or guaranteed by a foreign sovereign are assigned a credit rating equal to the highest NRSRO rating assigned to that foreign sovereign. For securities not rated by an NRSRO, the Sub-Adviser uses its own credit analysis to assign ratings in categories similar to those of S&P. The use of similar categories is not an indication that the sub-adviser’s credit analysis process is consistent or comparable with any NRSRO’s process were that NRSRO to rate the same security. Fund assets invested in Oppenheimer Institutional Money Market Fund are assigned that fund’s S&P rating, which is currently AAA. For the purposes of this table, “investment-grade” securities are securities rated within the NRSROs’ four highest rating categories (AAA, AA, A and BBB). Unrated securities do not necessarily indicate low credit quality, and may or may not be the equivalent of investment-grade. Please consult the Fund’s prospectus and Statement of Additional Information for further information.

2 OPPENHEIMER CORE BOND FUND/VA

Fund Performance Discussion

The Fund’s Non-Service shares returned 5.51% during the reporting period. On a relative basis, the Barclays U.S. Aggregate Bond Index, the Barclays Credit Index and the Citigroup Broad Investment Grade Bond Index returned 3.93%, 5.70% and 3.90%, respectively. The Fund’s positive absolute performance was driven by its investments in mortgages and corporate bonds.

GLOBAL MARKET AND ECONOMIC ENVIRONMENT

The global economy started 2014 with continued slow and steady growth throughout the developed world. However, data in the U.S. softened for the first quarter, partially attributed to cold weather effects across much of the country. This resulted in heightened volatility across multiple asset classes to begin the year, with U.S. high grade bonds and U.S. Treasuries delivering the strongest returns in January.

Against this backdrop, global equities and higher-yielding fixed-income securities generally rallied through the end of the reporting period and outperformed U.S. Treasuries.

FUND REVIEW

The Fund maintained a significant underweight position to government bonds, and instead sourced its exposure primarily through corporate bonds, mortgages and other securitized products. This positioning drove the Fund’s performance during the reporting period, as corporate bond performance versus U.S. Treasuries was strong, with the Barclays Credit Index outperforming the Barclays U.S. Aggregate Bond Index. Given the reporting period was mostly favorable for credit markets and the low default rate environment, the Fund was well positioned given its emphasis on bonds with better than average yields. Overall, the corporate bonds in which the Fund invests continued to perform well during the reporting period. A few stand-outs were from the finance and telecommunications sectors, but overall performance was positive across corporate bond sectors. New issuance provided an opportunity to find attractive yield opportunities. Our modest exposure to high yield bonds in the form of BB corporates also contributed positively to Fund returns during the reporting period.

STRATEGY & OUTLOOK

Despite the recent tapering by the Fed, central banks around the globe are executing exceedingly loose monetary policy, which provides plenty of liquidity to the markets. Indeed, policies instituted by the ECB during the reporting period indicate that central banks are determined to provide a strong backstop to the financial system. While U.S. growth slowed rather dramatically over the first half of the reporting period, most signs appear to be pointing towards a rebound in growth for the remainder of 2014. In such an environment, we remain constructive on credit spreads, as the markets become less concerned about potentially negative global macroeconomic events, and instead focus on the fundamental strength of corporate balance sheets.

3 OPPENHEIMER CORE BOND FUND/VA

The Fund’s investment strategy and focus can change over time. The mention of specific fund holdings does not constitute a recommendation by OppenheimerFunds, Inc. or its affiliates.

4 OPPENHEIMER CORE BOND FUND/VA

Fund Expenses

The examples are based on an investment of $1,000.00 invested at the beginning of the period and held for the entire 6-month period ended June 30, 2014.

Hypothetical Example for Comparison Purposes.


Actual	Beginning Account Value January 1, 2014		Ending Account Value June 30, 2014		Expenses Paid During 6 Months Ended June 30, 2014
Non-Service shares	$	1,000.00	$	1,055.10	$	3.78
Service shares		1,000.00		1,052.90		5.05

Hypothetical (5% return before expenses)
Non-Service shares		1,000 .00		1,021 .12		3 .72
Service shares		1,000 .00		1,019 .89		4 .97


Class		Expense Ratios
Non-Service shares		0.74%
Service shares		0.99

5 OPPENHEIMER CORE BOND FUND/VA


STATEMENT OF INVESTMENTS June 30, 2014 Unaudited


	Principal Amount		Value

Asset-Backed Securities—18.5%

Auto Loan—15.0%

American Credit Acceptance Receivables Trust:
Series 2012-2,Cl. A, 1.89%, 7/15/16¹	$	63,532	$	63,675
Series 2012-3,Cl. A, 1.64%, 11/15/16¹		45,672		45,769
Series 2012-3,Cl. C, 2.78%, 9/17/18¹		90,000		90,825
Series 2013-2,Cl. B, 2.84%, 5/15/19¹		381,000		388,166
Series 2014-1,Cl. B, 2.39%, 11/12/19¹		520,000		522,671
Series 2014-2,Cl. A, 0.99%, 10/10/17¹		410,325		410,383
Series 2014-2,Cl. B, 2.26%, 3/10/20¹		135,000		135,058

AmeriCredit Automobile Receivables Trust:
Series 2012-1,Cl. D, 4.72%, 3/8/18		155,000		163,450
Series 2012-2,Cl. D, 3.38%, 4/9/18		700,000		727,122
Series 2012-4,Cl. D, 2.68%, 10/9/18		75,000		77,049
Series 2012-5,Cl. C, 1.69%, 11/8/18		255,000		257,657
Series 2012-5,Cl. D, 2.35%, 12/10/18		365,000		371,097
Series 2013-1,Cl. C, 1.57%, 1/8/19		420,000		421,889
Series 2013-1,Cl. E, 2.64%, 7/8/20¹		135,000		137,212
Series 2013-2,Cl. E, 3.41%, 10/8/20¹		345,000		352,429
Series 2013-4,Cl. D, 3.31%, 10/8/19		30,000		31,118
Series 2013-5,Cl. D, 2.86%, 12/8/19		625,000		637,308
Series 2014-2,Cl. D, 2.57%, 7/8/20		190,000		191,140

California Republic Auto Receivables Trust:
Series 2013-2,Cl. C, 3.32%, 8/17/20		230,000		232,787
Series 2014-2,Cl. C, 3.29%, 3/15/21		80,000		80,129

Capital Auto Receivables Asset Trust:
Series 2013-1,Cl. D, 2.19%, 9/20/21		195,000		195,729
Series 2013-4,Cl. D, 3.22%, 5/20/19		105,000		107,531
Series 2014-1,Cl. D, 3.39%, 7/22/19		115,000		118,192

CarFinance Capital Auto Trust:
Series 2013-1A,Cl. A, 1.65%, 7/17/17¹		66,271		66,488
Series 2013-2A,Cl. B, 3.15%, 8/15/19¹		530,000		537,941
Series 2014-1A,Cl. A, 1.46%, 12/17/18¹		141,656		141,725

CarMax Auto Owner Trust, Series 2014-2, Cl. D, 2.58%, 11/16/20		285,000		285,952

Centre Point Funding LLC, Series 2010-1A, Cl. 1, 5.43%, 7/20/16¹		46,442		47,516

CPS Auto Receivables Trust:
Series 2012-B,Cl. A, 2.52%, 9/16/19¹		265,185		269,128
Series 2014-A,Cl. A, 1.21%, 8/15/18¹		464,812		464,170
Series 2014-B,Cl. A, 1.11%, 11/15/18¹		235,000		235,250

Credit Acceptance Auto Loan Trust:
Series 2012-2A,Cl. B, 2.21%, 9/15/20¹		80,000		81,085
Series 2013-1A,Cl. B, 1.83%, 4/15/21¹		235,000		237,146
Series 2013-2A,Cl. B, 2.26%, 10/15/21²		260,000		263,541
Series 2014-1A,Cl. B, 2.29%, 4/15/22¹		200,000		201,914

DT Auto Owner Trust:
Series 2012-1A,Cl. D, 4.94%, 7/16/18¹		25,000		25,490
Series 2013-1A,Cl. D, 3.74%, 5/15/20¹		175,000		178,555
Series 2013-2A,Cl. D, 4.18%, 6/15/20¹		485,000		499,501
Series 2014-1A,Cl. D, 3.98%, 1/15/21¹		360,000		365,260
Series 2014-2A,Cl. D, 3.68%, 4/15/21¹		525,000		526,228

Exeter Automobile Receivables Trust:
Series 2012-2A,Cl. B, 2.22%, 12/15/17¹		205,000		207,484
Series 2012-2A,Cl. C, 3.06%, 7/16/18¹		35,000		35,762
Series 2013-2A,Cl. B, 3.09%, 7/16/18¹		595,000		609,978
Series 2013-2A,Cl. C, 4.35%, 1/15/19¹		405,000		421,812
Series 2014-1A,Cl. B, 2.42%, 1/15/19¹		230,000		232,055
Series 2014-1A,Cl. C, 3.57%, 7/15/19¹		230,000		236,755
Series 2014-2A,Cl. A, 1.06%, 8/15/18¹		110,000		110,007
Series 2014-2A,Cl. C, 3.26%, 12/16/19¹		110,000		110,731

First Investors Auto Owner Trust:
Series 2012-1A,Cl. C, 3.54%, 11/15/17¹		60,000		61,558
Series 2012-1A,Cl. D, 5.65%, 4/15/18¹		155,000		162,896
Series 2013-3A,Cl. B, 2.32%, 10/15/19¹		385,000		389,567
Series 2013-3A,Cl. C, 2.91%, 1/15/20¹		165,000		168,050
Series 2013-3A,Cl. D, 3.67%, 5/15/20¹		125,000		128,326
Series 2014-1A,Cl. D, 3.28%, 4/15/21¹		225,000		227,012

Flagship Credit Auto Trust, Series 2014-1, Cl. A, 1.21%, 4/15/19¹		216,627		216,689


	Principal Amount		Value

Auto Loan (Continued)

Ford Credit Auto Owner Trust, Series 2013-A, Cl. D, 1.86%, 8/15/19	$	280,000	$	278,899

Ford Credit Floorplan Master Owner Trust A, Series 2012-2, Cl. C, 2.86%, 1/15/19		295,000		305,942

GM Financial Automobile Leasing Trust, Series 2014-1A, Cl. D, 2.51%, 3/20/19¹		545,000		546,888

Navistar Financial Dealer Note Master Trust, Series 2013-2, Cl. D, 2.402%, 9/25/18^1,3		385,000		385,611

Prestige Auto Receivables Trust, Series 2011-1A, Cl. D, 5.18%, 7/16/18¹		180,000		183,021

Santander Drive Auto Receivables Trust:
Series 2012-4,Cl. D, 3.50%, 6/15/18		680,000		706,876
Series 2012-5,Cl. D, 3.30%, 9/17/18		835,000		868,741
Series 2012-6,Cl. D, 2.52%, 9/17/18		880,000		900,699
Series 2012-AA,Cl. D, 2.46%, 12/17/18¹		480,000		488,301
Series 2013-1,Cl. C, 1.76%, 1/15/19		455,000		459,316
Series 2013-1,Cl. D, 2.27%, 1/15/19		240,000		243,328
Series 2013-2,Cl. D, 2.57%, 3/15/19		325,000		332,509
Series 2013-3,Cl. C, 1.81%, 4/15/19		100,000		100,674
Series 2013-3,Cl. D, 2.42%, 4/15/19		215,000		218,539
Series 2013-4,Cl. D, 3.92%, 1/15/20		110,000		116,512
Series 2013-5,Cl. C, 2.25%, 6/17/19		35,000		35,350
Series 2013-5,Cl. D, 2.73%, 10/15/19		330,000		336,874
Series 2013-A,Cl. C, 3.12%, 10/15/19¹		780,000		805,703
Series 2014-1,Cl. D, 2.91%, 4/15/20		160,000		163,655

SNAAC Auto Receivables Trust:
Series 2012-1A,Cl. C, 4.38%, 6/15/17¹		190,000		193,063
Series 2013-1A,Cl. C, 3.07%, 8/15/18¹		145,000		148,179
Series 2014-1A,Cl. A, 1.03%, 9/17/18¹		183,216		183,288
Series 2014-1A,Cl. D, 2.88%, 1/15/20¹		140,000		140,734

United Auto Credit Securitization Trust:
Series 2012-1,Cl. C, 2.52%, 3/15/16¹		190,000		190,962
Series 2012-1,Cl. D, 3.12%, 3/15/18¹		135,000		135,952
Series 2013-1,Cl. B, 1.74%, 4/15/16¹		230,000		230,941
Series 2013-1,Cl. C, 2.22%, 12/15/17¹		145,000		146,013
Series 2013-1,Cl. D, 2.90%, 12/15/17¹		30,000		30,280

Westlake Automobile Receivables Trust, Series 2014-1A, Cl. D, 2.20%, 2/15/21¹		155,000		154,929

				22,535,737


Credit Card—2.1%

Capital One Multi-Asset Execution Trust:
Series 2006-A11,Cl. A11, 0.242%, 6/17/19³		495,000		493,579
Series 2006-A3,Cl. A3, 5.05%, 12/17/18		535,000		573,254

Chase Issuance Trust, Series 2012-A3, Cl. A3, 0.79%, 6/15/17		465,000		466,802

Citibank Credit Card Issuance Trust:
Series 2013-A11,Cl. A11, 0.391%, 2/7/18³		300,000		300,338
Series 2013-A6,Cl. A6, 1.32%, 9/7/18		505,000		510,081

GE Capital Credit Card Master Note Trust:
Series 2010-1,Cl. A, 3.69%, 3/15/18		370,000		378,270
Series 2012-1,Cl. A, 1.03%, 1/15/18		385,000		386,190

				3,108,514


Equipment—0.3%

CLI Funding V LLC, Series 2014-1A, Cl. A, 3.29%, 6/18/29¹		310,000		311,847

FRS I LLC, Series 2013-1A, Cl. A1, 1.80%, 4/15/43¹		92,999		92,699

Trip Rail Master Funding LLC, Series 2014-1A, Cl. A1, 2.863%, 4/15/44¹		99,388		100,114

				504,660


Home Equity Loan—1.1%

Element Rail Leasing I LLC, Series 2014-1A, Cl. A1, 2.299%, 4/19/44¹		307,237		307,218

New Residential Advance Receivables Trust:
Series 2014-T1,Cl. A1, 1.274%, 3/15/45¹		405,000		405,523
Series 2014-T1,Cl. B1, 1.671%, 3/15/45¹		350,000		350,277

TAL Advantage LLC:
Series 2014-1A,Cl. A, 3.51%, 2/22/39¹		372,167		378,557

6 OPPENHEIMER CORE BOND FUND/VA


	Principal Amount		Value

Home Equity Loan (Continued)

TAL Advantage LLC: (Continued)
Series 2014-2A,Cl. A1, 1.70%, 5/20/39¹	$	127,235	$	127,381

				1,568,956

Total Asset-Backed Securities (Cost $27,447,599)				27,717,867


Mortgage-Backed Obligations—55.5%

Government Agency—41.9%

FHLMC/FNMA/FHLB/Sponsored—41.7%

Federal Home Loan Mortgage Corp. Gold Pool:
5.00%, 12/1/34		7,392		8,211
5.50%, 9/1/39		685,652		772,957
6.00%, 5/1/18-10/1/29		1,089,099		1,220,156
6.50%, 4/1/18-4/1/34		276,391		307,432
7.00%, 8/1/16-10/1/37		326,295		375,459
8.00%, 4/1/16		36,472		37,460
9.00%, 8/1/22-5/1/25		28,594		31,437

Federal Home Loan Mortgage Corp. Non Gold Pool, 10.50%, 10/1/20		1,808		2,055

Federal Home Loan Mortgage Corp., Interest-Only Stripped Mtg.-Backed Security:
Series 205,Cl. IO, 13.035%, 9/1/29⁴		10,561		2,497
Series 206,Cl. IO, 0.00%, 12/1/29^4,5		156,559		43,654
Series 243,Cl. 6, 0.00%, 12/15/32^4,5		128,655		25,874

Federal Home Loan Mortgage Corp., Principal-Only Stripped Mtg.-Backed Security, Series 176, Cl. PO, 4.029%, 6/1/26⁶		57,638		55,058

Federal Home Loan Mortgage Corp., Real Estate Mtg. Investment Conduit Multiclass Pass-Through Certificates:
Series 151,Cl. F, 9.00%, 5/15/21		7,277		8,049
Series 1674,Cl. Z, 6.75%, 2/15/24		22,996		25,679
Series 2034,Cl. Z, 6.50%, 2/15/28		2,956		3,304
Series 2042,Cl. N, 6.50%, 3/15/28		7,637		8,576
Series 2043,Cl. ZP, 6.50%, 4/15/28		368,416		415,892
Series 2046,Cl. G, 6.50%, 4/15/28		22,663		25,503
Series 2053,Cl. Z, 6.50%, 4/15/28		3,644		4,075
Series 2066,Cl. Z, 6.50%, 6/15/28		424,985		472,037
Series 2195,Cl. LH, 6.50%, 10/15/29		300,660		337,212
Series 2220,Cl. PD, 8.00%, 3/15/30		1,913		2,225
Series 2326,Cl. ZP, 6.50%, 6/15/31		78,126		88,140
Series 2461,Cl. PZ, 6.50%, 6/15/32		363,409		409,461
Series 2470,Cl. LF, 1.152%, 2/15/32³		2,845		2,924
Series 2500,Cl. FD, 0.652%, 3/15/32³		84,431		85,364
Series 2526,Cl. FE, 0.552%, 6/15/29³		112,046		112,886
Series 2538,Cl. F, 0.752%, 12/15/32³		314,839		318,726
Series 2551,Cl. FD, 0.552%, 1/15/33³		67,775		68,210
Series 2635,Cl. AG, 3.50%, 5/15/32		53,709		56,300
Series 2707,Cl. QE, 4.50%, 11/15/18		31,363		33,275
Series 2770,Cl. TW, 4.50%, 3/15/19		18,910		20,140
Series 3025,Cl. SJ, 24.194%, 8/15/35³		31,467		47,129
Series 3030,Cl. FL, 0.552%, 9/15/35³		4,441		4,452
Series 3645,Cl. EH, 3.00%, 12/15/20		164,832		170,809
Series 3741,Cl. PA, 2.15%, 2/15/35		401,110		410,470
Series 3815,Cl. BD, 3.00%, 10/15/20		11,109		11,442
Series 3822,Cl. JA, 5.00%, 6/15/40		16,081		17,200
Series 3840,Cl. CA, 2.00%, 9/15/18		8,199		8,345
Series 3848,Cl. WL, 4.00%, 4/15/40		61,712		63,912
Series 3857,Cl. GL, 3.00%, 5/15/40		12,270		12,602
Series 4221,Cl. HJ, 1.50%, 7/15/23		143,383		143,751

Federal Home Loan Mortgage Corp., Real Estate Mtg. Investment Conduit Multiclass Pass-Through Certificates, Interest-Only Stripped Mtg.-Backed Security:
Series 2074,Cl. S, 50.109%, 7/17/28⁴		2,300		477
Series 2079,Cl. S, 19.45%, 7/17/28⁴		4,338		917
Series 2130,Cl. SC, 52.223%, 3/15/29⁴		170,755		42,326
Series 2526,Cl. SE, 30.826%, 6/15/29⁴		5,060		1,107
Series 2796,Cl. SD, 52.556%, 7/15/26⁴		256,934		58,750
Series 2920,Cl. S, 54.746%, 1/15/35⁴		935,305		166,504
Series 2922,Cl. SE, 6.889%, 2/15/35⁴		111,338		20,088
Series 3004,Cl. SB, 0.00%, 7/15/35^4,5		49,024		7,523
Series 3201,Cl. SG, 4.792%, 8/15/36⁴		279,176		48,298
Series 3397,Cl. GS, 14.721%, 12/15/37⁴		22,846		4,239
Series 3424,Cl. EI, 8.548%, 4/15/38⁴		34,881		4,879


	Principal Amount		Value

FHLMC/FNMA/FHLB/Sponsored (Continued)

Federal Home Loan Mortgage Corp., Real Estate Mtg. Investment Conduit Multiclass Pass-Through Certificates, Interest-Only Stripped Mtg.-Backed Security: (Continued)
Series 3450,Cl. BI, 11.827%, 5/15/38⁴	$	611,499	$	90,523
Series 3606,Cl. SN, 3.74%, 12/15/39⁴		164,757		23,261

Federal National Mortgage Assn.:
2.50%, 6/18/27⁷		2,420,000		2,458,947
3.00%, 7/1/27⁷		1,700,000		1,766,406
3.50%, 7/17/27⁷		2,335,000		2,475,465
4.00%, 7/1/28-7/1/41⁷		17,470,000		18,546,141
4.50%, 7/1/39⁷		8,280,000		8,969,571
5.00%, 7/1/37⁷		10,465,000		11,622,694
6.00%, 7/1/37⁷		160,000		180,250

Federal National Mortgage Assn. Pool:
3.50%, 12/1/20-2/1/22		347,870		369,279
5.00%, 3/1/21-7/1/22		26,097		27,794
5.50%, 2/1/35-5/1/36		279,752		314,731
6.50%, 5/1/17-1/1/34		371,080		391,621
7.00%, 11/1/17-7/1/35		149,810		163,034
7.50%, 1/1/33		6,775		7,997
8.50%, 7/1/32		14,793		17,034

Federal National Mortgage Assn., Interest-Only Stripped Mtg.-Backed Security:
Series 221,Cl. 2, 41.927%, 5/1/23⁴		3,915		771
Series 222,Cl. 2, 20.145%, 6/1/23⁴		406,279		81,955
Series 252,Cl. 2, 40.351%, 11/1/23⁴		399,364		80,808
Series 294,Cl. 2, 12.13%, 2/1/28⁴		42,747		10,159
Series 301,Cl. 2, 0.00%, 4/1/29^4,5		3,921		819
Series 303,Cl. IO, 9.597%, 11/1/29⁴		74,573		16,263
Series 320,Cl. 2, 7.208%, 4/1/32⁴		286,025		65,254
Series 321,Cl. 2, 0.00%, 4/1/32^4,5		799,271		168,001
Series 324,Cl. 2, 0.00%, 7/1/32^4,5		8,384		1,768
Series 331,Cl. 5, 0.00%, 2/1/33^4,5		11,878		2,562
Series 331,Cl. 9, 5.184%, 2/1/33⁴		243,075		59,405
Series 334,Cl. 12, 0.00%, 3/1/33^4,5		19,999		4,213
Series 334,Cl. 17, 12.538%, 2/1/33⁴		167,209		38,865
Series 339,Cl. 12, 0.00%, 6/25/33^4,5		283,345		56,804
Series 339,Cl. 7, 0.00%, 11/25/33^4,5		606,165		121,494
Series 343,Cl. 13, 0.00%, 9/1/33^4,5		272,789		50,018
Series 343,Cl. 18, 0.00%, 5/1/34^4,5		72,508		13,545
Series 345,Cl. 9, 0.00%, 1/1/34^4,5		194,761		41,373
Series 351,Cl. 10, 0.00%, 4/1/34^4,5		98,100		18,369
Series 351,Cl. 8, 0.00%, 4/1/34^4,5		158,797		29,531
Series 356,Cl. 10, 0.00%, 6/1/35^4,5		118,204		21,890
Series 356,Cl. 12, 0.00%, 2/1/35^4,5		57,804		10,762
Series 362,Cl. 13, 0.00%, 8/1/35^4,5		216,331		39,315
Series 364,Cl. 15, 0.00%, 9/1/35^4,5		11,523		2,077
Series 364,Cl. 16, 0.00%, 9/1/35^4,5		233,202		43,342
Series 365,Cl. 16, 0.00%, 3/1/36^4,5		355,590		66,413

Federal National Mortgage Assn., Real Estate Mtg. Investment Conduit Multiclass Pass-Through Certificates:
Series 1993-87,Cl. Z, 6.50%, 6/25/23		284,162		317,899
Series 1998-58,Cl. PC, 6.50%, 10/25/28		217,910		244,797
Series 1998-61,Cl. PL, 6.00%, 11/25/28		105,367		116,621
Series 1999-54,Cl. LH, 6.50%, 11/25/29		179,822		199,650
Series 2001-44,Cl. QC, 6.00%, 9/25/16		5,398		5,614
Series 2001-51,Cl. OD, 6.50%, 10/25/31		13,981		15,447
Series 2001-74,Cl. QE, 6.00%, 12/25/31		267,764		297,465
Series 2002-12,Cl. PG, 6.00%, 3/25/17		3,167		3,318
Series 2003-28,Cl. KG, 5.50%, 4/25/23		2,207,902		2,410,701
Series 2003-84,Cl. GE, 4.50%, 9/25/18		16,195		17,052
Series 2004-101,Cl. BG, 5.00%, 1/25/20		394,862		411,277
Series 2004-25,Cl. PC, 5.50%, 1/25/34		11,542		12,309
Series 2005-73,Cl. DF, 0.402%, 8/25/35³		16,167		16,190
Series 2006-11,Cl. PS, 24.009%, 3/25/36³		155,020		238,996
Series 2006-46,Cl. SW, 23.642%, 6/25/36³		114,258		160,874
Series 2006-50,Cl. KS, 23.643%, 6/25/36³		166,490		255,429
Series 2008-14,Cl. BA, 4.25%, 3/25/23		53,357		56,019
Series 2008-75,Cl. DB, 4.50%, 9/25/23		104,231		109,906
Series 2009-113,Cl. DB, 3.00%, 12/25/20		345,053		355,582
Series 2009-36,Cl. FA, 1.092%, 6/25/37³		157,045		160,454
Series 2009-70,Cl. NT, 4.00%, 8/25/19		7,386		7,709
Series 2009-70,Cl. TL, 4.00%, 8/25/19		164,130		171,306

7 OPPENHEIMER CORE BOND FUND/VA


STATEMENT OF INVESTMENTS Unaudited / Continued


	Principal Amount		Value

FHLMC/FNMA/FHLB/Sponsored (Continued)

Federal National Mortgage Assn., Real Estate Mtg. Investment Conduit Multiclass Pass-Through Certificates: (Continued)
Series 2010-43,Cl. KG, 3.00%, 1/25/21	$	93,150	$	96,559
Series 2011-3,Cl. EL, 3.00%, 5/25/20		582,223		600,037
Series 2011-38,Cl. AH, 2.75%, 5/25/20		9,714		10,000
Series 2011-82,Cl. AD, 4.00%, 8/25/26		181,215		190,040

Federal National Mortgage Assn., Real Estate Mtg. Investment Conduit Multiclass Pass-Through Certificates, Interest-Only Stripped Mtg.-Backed Security:
Series 2001-61,Cl. SH, 28.043%, 11/18/31⁴		10,074		2,229
Series 2001-63,Cl. SD, 29.095%, 12/18/31⁴		3,711		753
Series 2001-65,Cl. S, 27.485%, 11/25/31⁴		252,755		54,379
Series 2001-68,Cl. SC, 19.665%, 11/25/31⁴		2,309		508
Series 2001-81,Cl. S, 24.331%, 1/25/32⁴		74,846		19,680
Series 2002-28,Cl. SA, 33.645%, 4/25/32⁴		2,327		501
Series 2002-38,Cl. SO, 45.432%, 4/25/32⁴		6,350		1,263
Series 2002-39,Cl. SD, 36.459%, 3/18/32⁴		4,199		1,137
Series 2002-47,Cl. NS, 30.035%, 4/25/32⁴		231,569		51,649
Series 2002-48,Cl. S, 29.314%, 7/25/32⁴		3,846		1,033
Series 2002-51,Cl. S, 30.251%, 8/25/32⁴		212,581		47,414
Series 2002-52,Cl. SD, 34.513%, 9/25/32⁴		295,504		80,441
Series 2002-52,Cl. SL, 31.826%, 9/25/32⁴		2,405		536
Series 2002-53,Cl. SK, 31.677%, 4/25/32⁴		14,629		4,044
Series 2002-56,Cl. SN, 31.059%, 7/25/32⁴		5,244		1,409
Series 2002-60,Cl. SM, 29.258%, 8/25/32⁴		34,130		6,504
Series 2002-7,Cl. SK, 25.751%, 1/25/32⁴		15,921		3,235
Series 2002-77,Cl. BS, 23.872%, 12/18/32⁴		21,404		5,481
Series 2002-77,Cl. IS, 40.934%, 12/18/32⁴		10,818		2,976
Series 2002-77,Cl. SH, 31.503%, 12/18/32⁴		110,397		24,424
Series 2002-84,Cl. SA, 33.714%, 12/25/32⁴		253,598		64,791
Series 2002-9,Cl. MS, 25.371%, 3/25/32⁴		4,020		813
Series 2002-90,Cl. SN, 30.366%, 8/25/32⁴		17,558		3,348
Series 2002-90,Cl. SY, 36.017%, 9/25/32⁴		12,692		2,414
Series 2003-26,Cl. DI, 6.873%, 4/25/33⁴		11,157		2,303
Series 2003-33,Cl. SP, 28.151%, 5/25/33⁴		262,269		52,566
Series 2003-4,Cl. S, 29.838%, 2/25/33⁴		169,597		44,433
Series 2004-54,Cl. DS, 39.025%, 11/25/30⁴		208,692		39,503
Series 2005-12,Cl. SC, 9.023%, 3/25/35⁴		55,913		11,840
Series 2005-14,Cl. SE, 37.014%, 3/25/35⁴		167,216		26,080
Series 2005-40,Cl. SA, 48.646%, 5/25/35⁴		481,991		100,470
Series 2005-40,Cl. SB, 53.344%, 5/25/35⁴		22,791		4,696
Series 2005-52,Cl. JH, 1.85%, 5/25/35⁴		116,462		18,408
Series 2005-93,Cl. SI, 10.794%, 10/25/35⁴		394,847		63,481
Series 2008-55,Cl. SA, 15.959%, 7/25/38⁴		37,786		5,305
Series 2009-8,Cl. BS, 0.00%, 2/25/24^4,5		182,709		13,735
Series 2012-40,Cl. PI, 1.527%, 4/25/41⁴		205,116		34,878

Federal National Mortgage Assn., Real Estate Mtg. Investment Conduit Multiclass Pass-Through Certificates, Principal-Only Stripped Mtg.-Backed Security, Series 1993-184, Cl. M, 4.871%, 9/25/23⁶		128,118		123,985

				62,499,868


GNMA/Guaranteed—0.2%

Government National Mortgage Assn. I Pool:
7.00%, 12/15/23-3/15/26		13,134		14,590
8.50%, 8/15/17-12/15/17		35,263		37,593

Government National Mortgage Assn., Interest-Only Stripped Mtg.-Backed Security:
Series 2002-15,Cl. SM, 62.628%, 2/16/32⁴		355,553		65,146
Series 2007-17,Cl. AI, 13.767%, 4/16/37⁴		107,955		19,939
Series 2011-52,Cl. HS, 9.553%, 4/16/41⁴		724,275		142,104

Government National Mortgage Assn., Real Estate Mtg. Investment Conduit Multiclass Pass-Through Certificates:
Series 1999-32,Cl. ZB, 8.00%, 9/16/29		49,967		59,192
Series 2000-7,Cl. Z, 8.00%, 1/16/30		18,794		21,801

				360,365


Non-Agency—13.6%

Commercial—11.7%

Asset Securitization Corp., Interest-Only Stripped Mtg.-Backed Security, Series 1997-D4, Cl. PS1, 0%, 4/14/29^4,5		1,762,644		70,359


	Principal Amount		Value

Commercial (Continued)

Banc of America Commercial Mortgage Trust:
Series 2006-5,Cl. AM, 5.448%, 9/10/47	$	425,000	$	457,495
Series 2006-6,Cl. AM, 5.39%, 10/10/45		685,000		740,206

BCAP LLC Trust, Series 2011-R11, Cl. 18A5, 2.20%, 9/26/35^1,3		272,219		279,946

Bear Stearns Adjustable Rate Mortgage Trust, Series 2005-9, Cl. A1, 2.41%, 10/25/35³		297,690		295,731

Bear Stearns Commercial Mortgage Securities Trust, Series 2006-T24, Cl. AM, 5.568%, 10/12/41³		295,000		320,852

Capital Lease Funding Securitization LP, Interest-Only Commercial Mtg. Pass-Through Certificates, Series 1997-CTL1, Cl. IO, 0%, 6/22/24^2,4,5		1,653,585		73,947

CD Commercial Mortgage Trust, Series 2006-CD2, Cl. AM, 5.527%, 1/15/46³		420,000		446,176

Citigroup Commercial Mortgage Trust:
Series 2008-C7,Cl. AM, 6.341%, 12/10/49³		410,000		460,739
Series 2013-GC11,Cl. D, 4.606%, 4/10/46^1,3		160,000		150,399

Citigroup Mortgage Loan Trust, Inc., Series 2006-AR1, Cl. 1A1, 2.50%, 10/25/35³		510,732		502,985

COMM Mortgage Trust:
Series 2006-C7,Cl. AM, 5.97%, 6/10/46³		695,000		748,050
Series 2012-CR4,Cl. D, 4.729%, 10/15/45^1,3		50,000		48,840
Series 2012-CR5,Cl. E, 4.48%, 12/10/45^1,3		75,000		71,937
Series 2013-CR7,Cl. D, 4.496%, 3/10/46^1,3		175,000		163,644

COMM Mortgage Trust, Interest-Only Stripped Mtg.-Backed Security:
Series 2010-C1,Cl. XPA, 0.00%, 7/10/46^1,4,5		3,555,778		112,828
Series 2012-CR5,Cl. XA, 0.00%, 12/10/45^4,5		2,772,198		281,680

Countrywide Home Loans, Series 2005-17, Cl. 1A8, 5.50%, 9/25/35		35,715		35,441

Credit Suisse Commercial Mortgage Trust:
Series 2006-6,Cl. 1A4, 6.00%, 7/25/36		281,681		226,491
Series 2006-C1,Cl. AJ, 5.643%, 2/15/39³		275,000		292,040
Series 2006-C4,Cl. AM, 5.509%, 9/15/39		155,000		166,920

Credit Suisse First Boston Commercial Trust, Series 2005-C6, Cl. AJ, 5.23%, 12/15/40³		410,000		429,050

Credit Suisse Mortgage Trust, Series 2009-13R, Cl. 4A1, 2.619%, 9/26/36^1,3		109,289		110,513

DBUBS Mortgage Trust, Series 2011-LC1A, Cl. E, 5.73%, 11/10/46^1,3		75,000		81,483

First Horizon Alternative Mortgage Securities Trust:
Series 2004-FA2,Cl. 3A1, 6.00%, 1/25/35		281,640		279,113
Series 2005-FA8,Cl. 1A6, 0.802%, 11/25/35³		276,689		214,138

FREMF Mortgage Trust:
Series 2011-K702,Cl. B, 4.936%, 4/25/44^1,3		155,000		168,580
Series 2012-K501,Cl. C, 3.609%, 11/25/46^1,3		35,000		35,961
Series 2013-K25,Cl. C, 3.618%, 11/25/45^1,3		90,000		88,652
Series 2013-K26,Cl. C, 3.723%, 12/25/45^1,3		60,000		58,953
Series 2013-K27,Cl. C, 3.616%, 1/25/46^1,3		95,000		92,454
Series 2013-K28,Cl. C, 3.614%, 6/25/46^1,3		95,000		92,267
Series 2013-K502,Cl. C, 3.31%, 3/25/45^1,3		175,000		177,949
Series 2013-K712,Cl. C, 3.483%, 5/25/45^1,3		75,000		75,303
Series 2013-K713,Cl. C, 3.274%, 4/25/46^1,3		115,000		113,841
Series 2014-K715,Cl. C, 4.265%, 2/25/46^1,3		50,000		51,758

GCCFC Commercial Mortgage Trust:
Series 2006-GG7,Cl. AM, 6.015%, 7/10/38³		35,000		38,003
Series 2007-GG11,Cl. AM, 5.867%, 12/10/49³		475,000		525,790

GE Capital Commercial Mortgage Corp., Series 2005-C4, Cl. AJ, 5.489%, 11/10/45³		165,000		168,427

GS Mortgage Securities Trust, Series 2006-GG6, Cl. AM, 5.622%, 4/10/38³		165,000		176,048

GSMSC Pass-Through Trust, Series 2009-3R, Cl. 1A2, 6%, 4/25/37^1,3		453,944		428,608

GSR Mortgage Loan Trust, Series 2005-AR4, Cl. 6A1, 5.211%, 7/25/35³		182,863		184,129

JP Morgan Chase Commercial Mortgage Securities Trust:
Series 2006-CB16,Cl. AJ, 5.623%, 5/12/45		415,000		426,895
Series 2006-LDP8,Cl. AJ, 5.48%, 5/15/45³		60,000		64,085
Series 2012-LC9,Cl. E, 4.573%, 12/15/47^1,3		185,000		180,408

8 OPPENHEIMER CORE BOND FUND/VA


	Principal Amount		Value

Commercial (Continued)

JP Morgan Mortgage Trust, Series 2007-S3, Cl. 1A90, 7%, 8/25/37	$	435,248	$	400,759

JP Morgan Resecuritization Trust:
Series 2009-11,Cl. 5A1, 2.619%, 9/26/36^1,3		416,168		417,632
Series 2009-5,Cl. 1A2, 2.612%, 7/26/36^1,3		407,042		347,404

LB Commercial Conduit Mortgage Trust, Interest-Only Stripped Mtg.-Backed Security, Series 1998-C1, Cl. IO, 0%, 2/18/30^4,5		743,303		18,267

LB-UBS Commercial Mortgage Trust, Series 2006-C4, Cl. AM, 6.049%, 6/15/38³		185,000		200,948

Lehman Structured Securities Corp., Series 2002-GE1, Cl. A, 2.514%, 7/26/24^2,3		76,140		67,081

Merrill Lynch Mortgage Trust, Series 2006-C2, Cl. AM, 5.782%, 8/12/43³		565,000		613,259

Morgan Stanley Bank of America Merrill Lynch Trust:
Series 2012-C6,Cl. E, 4.818%, 11/15/45^1,3		145,000		142,142
Series 2013-C7,Cl. D, 4.442%, 2/15/46^1,3		175,000		164,660
Series 2013-C8,Cl. D, 4.311%, 12/15/48^1,3		130,000		121,523

Morgan Stanley Capital I Trust:
Series 2007-IQ13,Cl. AM, 5.406%, 3/15/44		540,000		589,106
Series 2007-IQ15,Cl. AM, 6.105%, 6/11/49³		490,000		540,888

Morgan Stanley Re-Remic Trust, Series 2012-R3, Cl. 1B, 2.049%, 11/26/36^2,3		464,380		284,070

Morgan Stanley Resecuritization Trust, Series 2013-R9, Cl. 3A, 2.395%, 6/26/46^1,3		417,601		421,795

Salomon Brothers Mortgage Securities VII, Inc., Interest-Only Stripped Mtg.-Backed Security, Series 1999-C1, Cl. X, 0%, 5/18/32^4,5		3,048,971		46

Structured Adjustable Rate Mortgage Loan Trust, Series 2007-6, Cl. 3A1, 4.807%, 7/25/37³		413,720		326,196

UBS-Barclays Commercial Mortgage Trust, Series 2012-C2, Cl. E, 5.048%, 5/10/63^1,3		65,000		61,945

Wachovia Bank Commercial Mortgage Trust:
Series 2005-C17,Cl. AJ, 5.224%, 3/15/42³		175,000		179,683
Series 2005-C22,Cl. AM, 5.505%, 12/15/44³		260,000		274,414

WaMu Mortgage Pass-Through Certificates Trust, Series 2005-AR14, Cl. 1A4, 2.376%, 12/25/35³		325,918		317,157

Wells Fargo Mortgage-Backed Securities Trust:
Series 2005-AR10,Cl. 1A1, 2.614%, 6/25/35³		680,075		695,596
Series 2005-AR15,Cl. 1A6, 2.606%, 9/25/35³		82,842		78,569
Series 2006-AR8,Cl. 2A4, 2.622%, 4/25/36³		202,461		199,107
Series 2007-16,Cl. 1A1, 6.00%, 12/28/37		248,675		258,349
Series 2007-AR3,Cl. A4, 5.673%, 4/25/37³		91,740		91,167
Series 2007-AR8,Cl. A1, 6.118%, 11/25/37³		244,276		227,030

WF-RBS Commercial Mortgage Trust:
Series 2012-C10,Cl. D, 4.608%, 12/15/45^1,3		75,000		72,759
Series 2012-C7,Cl. E, 5.002%, 6/15/45^1,3		120,000		120,249
Series 2012-C8,Cl. E, 5.04%, 8/15/45^1,3		145,000		146,912
Series 2013-C11,Cl. D, 4.322%, 3/15/45^1,3		74,000		70,764

				17,658,591


Multi-Family—0.3%

Citigroup Mortgage Loan Trust, Inc., Series 2006-AR3, Cl. 1A2A, 5.359%, 6/25/36³		245,675		229,184

Wells Fargo Mortgage-Backed Securities Trust, Series 2006-AR2, Cl. 2A3, 2.613%, 3/25/36³		175,148		175,930

				405,114


Residential—1.6%

Banc of America Commercial Mortgage Trust, Series 2007-4, Cl. AM, 6.015%, 2/10/51³		470,000		526,737

Banc of America Funding Trust:
Series 2007-1,Cl. 1A3, 6.00%, 1/25/37		243,200		220,528
Series 2007-C,Cl. 1A4, 5.354%, 5/20/36³		98,748		96,637

Banc of America Mortgage Securities Trust, Series 2007-1, Cl. 1A24, 6%, 3/25/37		170,816		161,113

Carrington Mortgage Loan Trust, Series 2006-FRE1, Cl. A2, 0.262%, 7/25/36³		199,875		195,494


	Principal Amount		Value

Residential (Continued)

CD Commercial Mortgage Trust, Series 2007-CD4, Cl. AMFX, 5.366%, 12/11/49³	$	100,000	$	105,661

Countrywide Home Loans:
Series 2005-26,Cl. 1A8, 5.50%, 11/25/35		188,219		179,021
Series 2005-J4,Cl. A7, 5.50%, 11/25/35		26,099		27,380

GSR Mortgage Loan Trust, Series 2006-5F, Cl. 2A1, 6%, 6/25/36		140,791		135,879

MASTR Asset Backed Securities Trust, Series 2006-WMC3, Cl. A3, 0.252%, 8/25/36³		56,234		28,867

MLCC Mortgage Investors, Inc., Series 2006-3, Cl. 2A1, 2.335%, 10/25/36³		33,481		33,262

NC Finance Trust, Series 1999-I, Cl. D, 8.75%, 1/25/29^2,8		3,370,016		217,366

RALI Trust:
Series 2003-QS1,Cl. A2, 5.75%, 1/25/33		67,913		69,042
Series 2006-QS13,Cl. 1A8, 6.00%, 9/25/36		1,338		1,069
Series 2007-QS6,Cl. A28, 5.75%, 4/25/37		16,510		13,146

WaMu Mortgage Pass-Through Certificates Trust, Series 2003-AR10, Cl. A7, 2.422%, 10/25/33³		175,585		178,433

Wells Fargo Mortgage-Backed Securities Trust, Series 2006-AR14, Cl. 1A2, 5.684%, 10/25/36³		226,350		222,571

				2,412,206

Total Mortgage-Backed Obligations (Cost $86,488,842)				83,336,144


U.S. Government Obligations—6.9%

United States Treasury Nts.:
0.625%, 5/31/17		1,248,000		1,239,663
0.75%, 6/30/17		6,372,000		6,346,366
0.875%, 6/15/17		1,387,000		1,387,379
1.625%, 4/30/19		1,438,000		1,440,528

Total U.S. Government Obligations (Cost $10,396,343)				10,413,936


Corporate Bonds and Notes—49.0%

Consumer Discretionary—8.3%

Auto Components—0.8%

Dana Holding Corp., 6.75% Sr. Unsec. Nts., 2/15/21		395,000		428,081

Johnson Controls, Inc., 4.625% Sr. Unsec. Nts., 7/2/44		200,000		200,604

TRW Automotive, Inc.:
4.50% Sr. Unsec. Nts., 3/1/21¹		245,000		259,087
7.25% Sr. Unsec. Nts., 3/15/17¹		328,000		374,740

				1,262,512


Automobiles—2.0%

Daimler Finance North America LLC:
1.30% Sr. Unsec. Nts., 7/31/15¹		406,000		409,384
8.50% Sr. Unsec. Unsub. Nts., 1/18/31		237,000		360,013

Ford Motor Credit Co. LLC, 5.875% Sr. Unsec. Unsub. Nts., 8/2/21		894,000		1,050,717

General Motors Co., 6.25% Sr. Unsec. Nts., 10/2/43¹		363,000		417,450

Hyundai Capital America, 1.45% Sr. Unsec. Nts., 2/6/17¹		392,000		393,673

Kia Motors Corp., 3.625% Sr. Unsec. Nts., 6/14/16¹		284,000		297,495

				2,928,732


Hotels, Restaurants & Leisure—0.8%

Brinker International, Inc., 2.60% Sr. Unsec. Nts., 5/15/18		134,000		134,106

Carnival Corp., 1.20% Sr. Unsec. Nts., 2/5/16		386,000		388,416

Hyatt Hotels Corp., 3.875% Sr. Unsec. Unsub. Nts., 8/15/16		65,000		68,536

Starwood Hotels & Resorts Worldwide, Inc., 7.15% Sr. Unsec. Unsub. Nts., 12/1/19		261,000		310,608

9 OPPENHEIMER CORE BOND FUND/VA


STATEMENT OF INVESTMENTS Unaudited / Continued


	Principal Amount		Value

Hotels, Restaurants & Leisure (Continued)

Wyndham Worldwide Corp., 6% Sr. Unsec. Nts., 12/1/16	$	335,000	$	372,010

				1,273,676


Household Durables—0.6%

Jarden Corp., 6.125% Sr. Unsec. Nts., 11/15/22		354,000		376,567

Toll Brothers Finance Corp., 4% Sr. Unsec. Nts., 12/31/18		364,000		375,830

Whirlpool Corp., 1.35% Sr. Unsec. Nts., 3/1/17		104,000		104,121

				856,518


Media—2.5%

21st Century Fox America, Inc., 6.15% Sr. Unsec. Nts., 2/15/41		162,000		196,723

Comcast Cable Communications Holdings, Inc., 9.455% Sr. Unsec. Nts., 11/15/22		292,000		424,899

Comcast Corp., 4.65% Sr. Unsec. Unsub. Nts., 7/15/42		365,000		379,251

DIRECTV Holdings LLC/DIRECTV Financing Co., Inc., 5.15% Sr. Unsec. Nts., 3/15/42		235,000		247,290

DISH DBS Corp., 5.875% Sr. Unsec. Nts., 7/15/22		340,000		369,750

Historic TW, Inc.:
8.05% Sr. Unsec. Nts., 1/15/16		64,000		70,317
9.15% Debs., 2/1/23		61,000		84,597

Interpublic Group of Cos., Inc. (The), 4.20% Sr. Unsec. Nts., 4/15/24		191,000		197,368

Lamar Media Corp., 5% Sr. Unsec. Sub. Nts., 5/1/23		373,000		377,196

Numericable Group SA, 4.875% Sr. Sec. Nts., 5/15/19¹		381,000		391,478

Pearson Funding Two plc, 4% Sr. Unsec. Nts., 5/17/16¹		85,000		89,474

Time Warner Cable, Inc., 4.50% Sr. Unsec. Unsub. Nts., 9/15/42		381,000		371,698

Time Warner, Inc., 4.875% Sr. Unsec. Nts., 3/15/20		264,000		296,109

WPP Finance 2010, 4.75% Sr. Unsec. Nts., 11/21/21		267,000		293,311

				3,789,461


Multiline Retail—0.8%

Dollar General Corp., 4.125% Sr. Unsec. Nts., 7/15/17		469,000		502,312

Macy’s Retail Holdings, Inc., 5.75% Sr. Unsec. Nts., 7/15/14		650,000		651,278

				1,153,590


Specialty Retail—0.3%

Home Depot, Inc. (The), 4.875% Sr. Unsec. Nts., 2/15/44		142,000		155,080

L Brands, Inc., 7% Sr. Unsec. Nts., 5/1/20		42,000		48,458

Signet UK Finance plc, 4.70% Sr. Unsec. Nts., 6/15/24		192,000		195,372

				398,910


Textiles, Apparel & Luxury Goods—0.5%

Levi Strauss & Co., 7.625% Sr. Unsec. Nts., 5/15/20		346,000		374,113

PVH Corp., 4.50% Sr. Unsec. Unsub. Nts., 12/15/22		405,000		400,950

				775,063


Consumer Staples—2.7%

Beverages—1.1%

Anheuser-Busch InBev Worldwide, Inc., 8.20% Sr. Unsec. Unsub. Nts., 1/15/39		324,000		496,671


	Principal Amount		Value

Beverages (Continued)

Constellation Brands, Inc., 3.75% Sr. Unsec. Nts., 5/1/21	$	423,000	$	421,942

Foster’s Finance Corp., 4.875% Sr. Unsec. Nts., 10/1/14¹		433,000		437,711

SABMiller Holdings, Inc., 4.95% Sr. Unsec. Unsub. Nts., 1/15/42¹		206,000		223,079

				1,579,403


Food & Staples Retailing—0.4%

Delhaize Group SA, 5.70% Sr. Unsec. Nts., 10/1/40		215,000		229,766

Kroger Co., 6.40% Sr. Unsec. Nts., 8/15/17		217,000		248,739

Safeway, Inc., 5.625% Sr. Unsec. Nts., 8/15/14		86,000		86,508

				565,013


Food Products—0.7%

Bunge Ltd. Finance Corp.:
5.10% Sr. Unsec. Unsub. Nts., 7/15/15		332,000		345,877
8.50% Sr. Unsec. Nts., 6/15/19		289,000		363,495

Tyson Foods, Inc., 6.60% Sr. Unsec. Nts., 4/1/16		341,000		373,652

				1,083,024


Tobacco—0.5%

Altria Group, Inc., 10.20% Sr. Unsec. Nts., 2/6/39		227,000		385,543

Lorillard Tobacco Co., 3.75% Sr. Unsec. Nts., 5/20/23		206,000		203,720

Reynolds American, Inc., 6.75% Sr. Unsec. Nts., 6/15/17		198,000		227,439

				816,702


Energy—5.9%

Energy Equipment & Services—0.9%

Ensco plc, 4.70% Sr. Unsec. Nts., 3/15/21		100,000		109,052

Nabors Industries, Inc.:
2.35% Sr. Unsec. Nts., 9/15/16		294,000		300,271
4.625% Sr. Unsec. Nts., 9/15/21		201,000		217,959
5.00% Sr. Unsec. Nts., 9/15/20		117,000		131,431

Rowan Cos., Inc., 4.875% Sr. Unsec. Unsub. Nts., 6/1/22		153,000		164,074

Weatherford International Ltd., 5.95% Sr. Unsec. Nts., 4/15/42		300,000		340,894

				1,263,681


Oil, Gas & Consumable Fuels—5.0%

Anadarko Petroleum Corp., 6.20% Sr. Unsec. Nts., 3/15/40		163,000		205,935

Canadian Oil Sands Ltd., 6% Sr. Unsec. Nts., 4/1/42¹		182,000		210,465

Chesapeake Energy Corp., 6.625% Sr. Unsec. Nts., 8/15/20		334,000		385,770

Cimarex Energy Co., 4.375% Sr. Unsec. Nts., 6/1/24		289,000		295,503

CNOOC Finance 2013 Ltd., 4.25% Sr. Unsec. Unsub. Nts., 5/9/43		147,000		136,690

CNOOC Finance 2014 ULC, 1.625% Sr. Unsec. Nts., 4/30/17		302,000		302,984

Continental Resources, Inc., 4.50% Sr. Unsec. Nts., 4/15/23		428,000		457,762

DCP Midstream LLC, 5.375% Sr. Unsec. Nts., 10/15/15¹		290,000		303,291

DCP Midstream Operating LP, 3.875% Sr. Unsec. Nts., 3/15/23		423,000		428,817

El Paso Pipeline Partners Operating Co. LLC, 4.10% Sr. Unsec. Nts., 11/15/15		152,000		158,879

Enbridge Energy Partners LP, 5.35% Sr. Unsec. Nts., 12/15/14		326,000		332,907

EnLink Midstream Partners LP:
2.70% Sr. Unsec. Nts., 4/1/19		299,000		303,547

10 OPPENHEIMER CORE BOND FUND/VA


	Principal Amount		Value

Oil, Gas & Consumable Fuels (Continued)

EnLink Midstream Partners LP: (Continued)
4.40% Sr. Unsec. Nts., 4/1/24	$	185,000	$	194,402

Origin Energy Finance Ltd.:
3.50% Sr. Unsec. Nts., 10/9/18¹		394,000		409,235
5.45% Sr. Unsec. Nts., 10/14/21¹		245,000		273,320

Pioneer Natural Resources Co., 6.65% Sr. Unsec. Nts., 3/15/17		70,000		79,718

Range Resources Corp., 5.75% Sr. Unsec. Sub. Nts., 6/1/21		398,000		431,830

Ras Laffan Liquefied Natural Gas Co. Ltd. III, 5.50% Sr. Sec. Nts., 9/30/14¹		420,000		425,145

Southwestern Energy Co., 4.10% Sr. Unsec. Nts., 3/15/22		232,000		246,171

Spectra Energy Partners LP:
4.60% Sr. Unsec. Nts., 6/15/21		238,000		260,198
4.75% Sr. Unsec. Nts., 3/15/24		194,000		210,469

Targa Resources Partners LP/Targa Resources Partners Finance Corp., 5.25% Sr. Unsec. Nts., 5/1/23		390,000		409,500

Whiting Petroleum Corp., 5.75% Sr. Unsec. Nts., 3/15/21		395,000		433,512

Williams Partners LP, 4.50% Sr. Unsec. Nts., 11/15/23		194,000		206,054

Woodside Finance Ltd., 4.60% Sr. Unsec. Unsub. Nts., 5/10/21¹		354,000		386,814

				7,488,918


Financials—14.8%

Capital Markets—3.5%

Apollo Management Holdings LP, 4% Sr. Unsec. Nts., 5/30/24¹		312,000		314,453

Blackstone Holdings Finance Co. LLC, 5% Sr. Unsec. Nts., 6/15/44¹		382,000		394,852

Carlyle Holdings II Finance LLC, 5.625% Sr. Sec. Nts., 3/30/43¹		209,000		232,526

Goldman Sachs Group, Inc. (The):
4.00% Sr. Unsec. Nts., 3/3/24		347,000		354,016
4.80% Sr. Unsec. Nts., 7/8/44⁷		63,000		62,693
5.70% Jr. Sub. Perpetual Bonds, Series L^3,9		381,000		395,548

Lazard Group LLC, 4.25% Sr. Unsec. Nts., 11/14/20		337,000		353,501

Macquarie Bank Ltd., 6.625% Unsec. Sub. Nts., 4/7/21¹		603,000		692,903

Morgan Stanley, 5% Sub. Nts., 11/24/25		714,000		763,715

Nomura Holdings, Inc., 2% Sr. Unsec. Nts., 9/13/16		373,000		379,259

Raymond James Financial, Inc., 5.625% Sr. Unsec. Unsub. Nts., 4/1/24		417,000		470,917

UBS Preferred Funding Trust V, 6.243% Jr. Sub. Perpetual Bonds, Series 1^3,9		695,000		742,781

				5,157,164


Commercial Banks—5.6%

Amsouth Bank NA, 5.20% Sub. Nts., 4/1/15		419,000		432,319

Bank of America Corp.:
7.75% Jr. Sub. Nts., 5/14/38		354,000		486,526
8.00% Jr. Sub. Perpetual Bonds, Series K^3,9		330,000		366,996
5.125% Jr. Sub. Perpetual Bonds, Series V^3,9		70,000		69,938

Barclays Bank plc:
3.75% Sr. Unsec. Nts., 5/15/24		303,000		305,276
5.14% Sub. Nts., 10/14/20		399,000		437,536

Citigroup, Inc.:
6.675% Sub. Nts., 9/13/43		344,000		429,097
5.95% Jr. Sub. Perpetual Bonds, Series D^3,9		398,000		402,477

Commerzbank AG, 8.125% Sub. Nts., 9/19/23¹		388,000		472,434

Credit Agricole SA, 6.637% Jr. Sub. Perpetual Bonds^1,3,9		627,000		667,363

HSBC Finance Capital Trust IX, 5.911% Unsec. Sub. Nts., 11/30/35³		890,000		928,937


	Principal Amount		Value

Commercial Banks (Continued)

JPMorgan Chase & Co., 6.75% Jr. Sub. Perpetual Bonds^3,9	$	330,000	$	356,813

Lloyds Bank plc, 6.50% Sub. Nts., 9/14/20¹		319,000		374,857

Lloyds Banking Group plc, 6.657% Jr. Sub. Perpetual Bonds^1,3,9		334,000		374,915

Rabobank Capital Funding Trust III, 5.254% Jr. Sub. Perpetual Bonds^2,3,9		667,000		703,685

Royal Bank of Scotland Group plc, 7.64% Jr. Sub. Perpetual Bonds, Series U^3,9		400,000		428,000

Societe Generale SA, 5.922% Jr. Sub. Perpetual Bonds^1,3,9		370,000		396,825

SunTrust Banks, Inc., 3.60% Sr. Unsec. Nts., 4/15/16		385,000		403,771

Wells Fargo & Co., 5.90% Jr. Sub. Perpetual Bonds, Series S^3,9		383,000		406,459

				8,444,224


Consumer Finance—0.3%

Ally Financial, Inc., 4.75% Sr. Unsec. Nts., 9/10/18		389,000		413,799


Diversified Financial Services—0.9%

Burlington Northern Santa Fe LLC, 3% Sr. Unsec. Nts., 3/15/23		309,000		304,372

Leucadia National Corp., 5.50% Sr. Unsec. Nts., 10/18/23		548,000		582,855

Voya Financial, Inc., 5.65% Jr. Sub. Nts., 5/15/53³		420,000		429,450

				1,316,677


Insurance—3.1%

AIA Group Ltd., 4.875% Sr. Unsec. Nts., 3/11/44¹		292,000		306,814

Arch Capital Group US, Inc., 5.144% Sr. Unsec. Nts., 11/1/43		347,000		376,259

AXIS Specialty Finance plc, 5.15% Sr. Unsec. Nts., 4/1/45		308,000		319,334

Five Corners Funding Trust, 4.419% Unsec. Nts., 11/15/23¹		310,000		327,290

Genworth Holdings, Inc., 4.80% Sr. Unsec. Nts., 2/15/24		608,000		650,590

Liberty Mutual Group, Inc., 4.25% Sr. Unsec. Nts., 6/15/23¹		456,000		473,255

Lincoln National Corp., 6.05% Jr. Unsec. Sub. Nts., 4/20/67³		688,000		699,180

Marsh & McLennan Cos., Inc., 5.375% Sr. Unsec. Nts., 7/15/14		101,000		101,183

Prudential Financial, Inc., 5.20% Jr. Sub. Nts., 3/15/44³		300,000		307,125

Swiss Re Capital I LP, 6.854% Jr. Sub. Perpetual Bonds^1,3,9		663,000		711,067

ZFS Finance USA Trust V, 6.50% Jr. Sub. Nts., 5/9/37^2,3		365,000		392,375

				4,664,472


Real Estate—0.1%

Ventas Realty LP, 1.25% Sr. Unsec. Nts., 4/17/17		151,000		151,101


Real Estate Investment Trusts (REITs)—1.3%

American Tower Corp.:
5.05% Sr. Unsec. Unsub. Nts., 9/1/20		149,000		166,218
5.90% Sr. Unsec. Nts., 11/1/21		200,000		230,943

ARC Properties Operating Partnership LP/Clark Acquisition LLC, 2% Sr. Unsec. Nts., 2/6/17¹		391,000		392,134

CC Holdings GS V LLC/Crown Castle GS III Corp., 3.849% Sr. Sec. Nts., 4/15/23		227,000		228,182

Corrections Corp. of America, 4.125% Sr. Unsec. Nts., 4/1/20		381,000		380,048

Hospitality Properties Trust:
4.65% Sr. Unsec. Nts., 3/15/24		186,000		195,171

11 OPPENHEIMER CORE BOND FUND/VA


STATEMENT OF INVESTMENTS Unaudited / Continued


	Principal Amount		Value

Real Estate Investment Trusts (REITs) (Continued)

Hospitality Properties Trust: (Continued)
5.125% Sr. Unsec. Nts., 2/15/15	$	411,000	$	413,071

				2,005,767


Health Care—2.5%

Biotechnology—0.2%

Gilead Sciences, Inc., 5.65% Sr. Unsec. Unsub. Nts., 12/1/41		232,000		273,945


Health Care Equipment & Supplies—0.9%

Boston Scientific Corp., 4.125% Sr. Unsec. Nts., 10/1/23		394,000		409,978

CareFusion Corp.:
1.45% Sr. Unsec. Nts., 5/15/17		384,000		383,924
3.875% Sr. Unsec. Nts., 5/15/24		188,000		190,215

DENTSPLY International, Inc., 2.75% Sr. Unsec. Nts., 8/15/16		352,000		364,708

				1,348,825


Health Care Providers & Services—0.4%

CHS/Community Health Systems, Inc., 5.125% Sr. Sec. Nts., 8/1/21¹		295,000		303,850

Fresenius Medical Care US Finance II, Inc., 5.875% Sr. Unsec. Nts., 1/31/22¹		350,000		388,500

				692,350


Life Sciences Tools & Services—0.2%

Thermo Fisher Scientific, Inc.:
4.15% Sr. Unsec. Nts., 2/1/24		121,000		126,714
5.30% Sr. Unsec. Nts., 2/1/44		140,000		155,721

				282,435


Pharmaceuticals—0.8%

Actavis Funding SCS, 1.30% Sr. Unsec. Nts., 6/15/17¹		243,000		242,673

Hospira, Inc., 5.20% Sr. Unsec. Nts., 8/12/20		373,000		408,721

Mallinckrodt International Finance SA, 3.50% Sr. Unsec. Nts., 4/15/18		386,000		386,000

Zoetis, Inc., 1.875% Sr. Unsec. Nts., 2/1/18		151,000		151,453

				1,188,847


Industrials—4.3%

Aerospace & Defense—0.9%

B/E Aerospace, Inc., 5.25% Sr. Unsec. Nts., 4/1/22		382,000		417,813

Huntington Ingalls Industries, Inc., 7.125% Sr. Unsec. Unsub. Nts., 3/15/21		342,000		375,345

L-3 Communications Corp.:
1.50% Sr. Unsec. Nts., 5/28/17		100,000		100,249
3.95% Sr. Unsec. Nts., 5/28/24		181,000		182,649

Textron, Inc.:
4.30% Sr. Unsec. Nts., 3/1/24		189,000		195,985
6.20% Sr. Unsec. Nts., 3/15/15		28,000		29,146

				1,301,187


Building Products—0.3%

Owens Corning, 4.20% Sr. Unsec. Nts., 12/15/22		422,000		433,859


Commercial Services & Supplies—0.6%

Clean Harbors, Inc., 5.25% Sr. Unsec. Unsub. Nts., 8/1/20		395,000		409,319

Pitney Bowes, Inc., 4.625% Sr. Unsec. Nts., 3/15/24		485,000		502,342

				911,661


Electrical Equipment—0.2%

Sensata Technologies BV, 4.875% Sr. Unsec. Nts., 10/15/23¹		294,000		293,265


	Principal Amount		Value

Industrial Conglomerates—0.4%

General Electric Capital Corp., 6.25% Jr. Sub. Perpetual Bonds, Series B^3,9	$	574,000	$	639,637


Machinery—0.5%

Crane Co., 4.45% Sr. Unsec. Nts., 12/15/23		193,000		203,308

Ingersoll-Rand Global Holding Co. Ltd., 4.25% Sr. Unsec. Nts., 6/15/23		340,000		358,154

Starwood Hotels & Resorts Worldwide, Inc., 7.375% Sr. Unsec. Nts., 11/15/15		148,000		161,132

				722,594


Professional Services—0.3%

Nielsen Finance LLC/Nielsen Finance Co., 4.50% Sr. Unsec. Nts., 10/1/20		400,000		405,000


Road & Rail—0.6%

ERAC USA Finance LLC, 2.35% Sr. Unsec. Nts., 10/15/19¹		66,000		65,903

Kansas City Southern de Mexico SA de CV, 3% Sr. Unsec. Nts., 5/15/23		315,000		298,494

Penske Truck Leasing Co. LP/PTL Finance Corp.:
2.50% Sr. Unsec. Nts., 3/15/16¹		368,000		378,409
4.25% Sr. Unsec. Nts., 1/17/23¹		230,000		238,364

				981,170


Trading Companies & Distributors—0.5%

Air Lease Corp., 3.875% Sr. Unsec. Nts., 4/1/21		383,000		392,575

International Lease Finance Corp., 5.875% Sr. Unsec. Unsub. Nts., 4/1/19		376,000		415,010

				807,585


Information Technology—2.4%

Communications Equipment—0.2%

Motorola Solutions, Inc., 3.50% Sr. Unsec. Nts., 3/1/23		212,000		205,382


Electronic Equipment, Instruments, & Components— 0.8%

Amphenol Corp., 4.75% Sr. Unsec. Nts., 11/15/14		124,000		125,917

Arrow Electronics, Inc., 5.125% Sr. Unsec. Unsub. Nts., 3/1/21		527,000		574,908

Avnet, Inc., 4.875% Sr. Unsec. Unsub. Nts., 12/1/22		500,000		532,875

				1,233,700


IT Services—0.6%

Fidelity National Information Services, Inc.:
1.45% Sr. Unsec. Nts., 6/5/17		297,000		296,813
3.50% Sr. Unsec. Nts., 4/15/23		207,000		203,939

Xerox Corp., 4.25% Sr. Unsec. Nts., 2/15/15		391,000		400,056

				900,808


Software—0.2%

Oracle Corp., 3.40% Sr. Unsec. Nts., 7/8/24⁷		269,000		268,389


Technology Hardware, Storage & Peripherals—0.6%

Apple, Inc., 4.45% Sr. Unsec. Nts., 5/6/44		211,000		214,284

Hewlett-Packard Co., 2.65% Sr. Unsec. Unsub. Nts., 6/1/16		367,000		378,995

Seagate HDD Cayman, 3.75% Sr. Unsec. Nts., 11/15/18¹		340,000		348,500

				941,779


Materials—3.4%

Chemicals—0.7%

Agrium, Inc., 3.50% Sr. Unsec. Nts., 6/1/23		222,000		221,641

LYB International Finance BV, 5.25% Sr. Unsec. Nts., 7/15/43		123,000		134,982

Rockwood Specialties Group, Inc., 4.625% Sr. Unsec. Nts., 10/15/20		380,000		396,150

12 OPPENHEIMER CORE BOND FUND/VA


	Principal Amount		Value

Chemicals (Continued)

RPM International, Inc., 3.45% Sr. Unsec. Unsub. Nts., 11/15/22	$	306,000	$	297,986

				1,050,759


Construction Materials—0.2%

CRH America, Inc., 4.125% Sr. Unsec. Nts., 1/15/16		365,000		382,782


Containers & Packaging—0.8%

Crown Americas LLC/Crown Americas Capital Corp. III, 6.25% Sr. Unsec. Nts., 2/1/21		180,000		193,500

Packaging Corp. of America, 4.50% Sr. Unsec. Nts., 11/1/23		300,000		321,752

Rock-Tenn Co., 3.50% Sr. Unsec. Unsub. Nts., 3/1/20		617,000		635,607

				1,150,859


Metals & Mining—1.6%

Allegheny Technologies, Inc., 5.95% Sr. Unsec. Unsub. Nts., 1/15/21		238,000		263,034

Barrick Gold Corp., 3.85% Sr. Unsec. Nts., 4/1/22		190,000		189,258

Carpenter Technology Corp., 4.45% Sr. Unsec. Unsub. Nts., 3/1/23		145,000		149,326

Freeport-McMoRan Copper & Gold, Inc.:
1.40% Sr. Unsec. Nts., 2/13/15		403,000		404,647
3.875% Sr. Unsec. Nts., 3/15/23		215,000		214,625
5.45% Sr. Unsec. Nts., 3/15/43		113,000		117,471

Glencore Canada Corp.:
5.375% Sr. Unsec. Unsub. Nts., 6/1/15		245,000		254,883
6.00% Sr. Unsec. Unsub. Nts., 10/15/15		370,000		393,017

Glencore Funding LLC, 4.625% Sr. Unsec. Nts., 4/29/24¹		284,000		293,940

Rio Tinto Finance USA plc, 4.125% Sr. Unsec. Nts., 8/21/42		105,000		98,891

				2,379,092


Paper & Forest Products—0.1%

International Paper Co., 4.80% Sr. Unsec. Nts., 6/15/44		153,000		153,813


Telecommunication Services—2.7%

Diversified Telecommunication Services—2.3%

AT&T, Inc., 4.35% Sr. Unsec. Nts., 6/15/45		252,000		239,418

British Telecommunications plc, 9.625% Sr. Unsec. Nts., 12/15/30		264,000		421,063

Frontier Communications Corp., 8.50% Sr. Unsec. Nts., 4/15/20		344,000		407,640


	Principal Amount		Value

Diversified Telecommunication Services (Continued)

Telecom Italia Capital SA, 7.721% Sr. Unsec. Unsub. Nts., 6/4/38	$	230,000	$	266,225

Telefonica Emisiones SAU, 7.045% Sr. Unsec. Unsub. Nts., 6/20/36		380,000		485,510

T-Mobile USA, Inc., 6.25% Sr. Unsec. Nts., 4/1/21		426,000		454,222

Verizon Communications, Inc.:
4.50% Sr. Unsec. Nts., 9/15/20		891,000		981,254
6.40% Sr. Unsec. Nts., 2/15/38		195,000		238,594

				3,493,926


Wireless Telecommunication Services—0.4%

America Movil SAB de CV, 4.375% Sr. Unsec. Unsub. Nts., 7/16/42		334,000		316,871

Vodafone Group plc:
4.375% Sr. Unsec. Unsub. Nts., 2/19/43		119,000		113,736
6.25% Sr. Unsec. Nts., 11/30/32		125,000		153,676
				584,283


Utilities—2.0%

Electric Utilities—1.2%

Exelon Generation Co. LLC, 4.25% Sr. Unsec. Unsub. Nts., 6/15/22		230,000		240,443

ITC Holdings Corp.:
3.65% Sr. Unsec. Nts., 6/15/24		329,000		328,358
5.30% Sr. Unsec. Nts., 7/1/43		78,000		86,081

Jersey Central Power & Light Co., 4.70% Sr. Unsec. Nts., 4/1/24¹		198,000		212,085

Pennsylvania Electric Co., 5.20% Sr. Unsec. Nts., 4/1/20		73,000		80,937

PPL Capital Funding, Inc., 3.50% Sr. Unsec. Unsub. Nts., 12/1/22		329,000		334,805

PPL WEM Holdings Ltd., 5.375% Sr. Unsec. Unsub. Nts., 5/1/21¹		429,000		483,051

				1,765,760


Independent Power and Renewable Electricity Producers—0.2%

Dayton Power & Light Co., 1.875% Sr. Sec. Nts., 9/15/16¹		272,000		276,733


Multi-Utilities—0.6%

CenterPoint Energy, Inc., 5.95% Sr. Unsec. Nts., 2/1/17		327,000		365,412

CMS Energy Corp.:
3.875% Sr. Unsec. Nts., 3/1/24		202,000		210,206
5.05% Sr. Unsec. Unsub. Nts., 3/15/22		155,000		176,373

PG&E Corp., 2.40% Sr. Unsec. Nts., 3/1/19		244,000		246,436

				998,427

Total Corporate Bonds and Notes (Cost $69,963,650)				73,457,259

Counterparty

Buy /Sell
Protection

Reference Asset

Fixed
Rate

Expiration Date

Notional (000’s)

Over-the-Counter Credit Default Swaptions Purchased—0.0%

Credit Default Swap maturing 6/20/19 Call¹⁰

JPM

Buy

CDX.NA.IG.22

1.000

12/17/14

USD

13,008

17,494

Credit Default Swap maturing 6/20/19 Call¹⁰

JPM

Buy

CDX.NA.IG.22

1.000

10/15/14

USD

13,729

8,420

13 OPPENHEIMER CORE BOND FUND/VA

STATEMENT OF INVESTMENTS Unaudited / Continued

Counterparty

Buy /Sell
Protection

Reference Asset

Fixed
Rate

Expiration Date

Notional (000’s)

Value

Over-the-Counter Credit Default Swaptions Purchased (Continued)

Credit Default

Swap maturing 6/20/19 Call¹⁰

DEU

Buy

CDX.NA.IG.22

1.000

10/15/14

USD

13,730

8,421

Total Over-the-Counter Credit Default Swaptions Purchased (Cost $76,819)

34,335

Total Investments, at Value (Cost $194,373,253)

129.9

194,959,541

Net Other Assets (Liabilities)

(29.9

)

(44,899,099)

Net Assets

100.0

150,060,442

Footnotes to Statement of Investments

1. Represents securities sold under Rule 144A, which are exempt from registration under the Securities Act of 1933, as amended. These securities have been determined to be liquid under guidelines established by the Board of Trustees. These securities amount to $35,010,659 or 23.33% of the Fund’s net assets as of June 30, 2014.

2. Restricted security. The aggregate value of restricted securities as of June 30, 2014 was $2,002,065, which represents 1.33% of the Fund’s net assets. See Note 7 of the accompanying Notes. Information concerning restricted securities is as follows:


Security	Acquisition Dates		Cost		Value		Unrealized Appreciation/ (Depreciation)

Capital Lease Funding Securitization LP, Interest-Only Commercial Mtg. Pass-Through Certificates, Series 1997-CTL1, Cl. IO, 0%, 6/22/24		4/21/97	$	370,303	$	73,947	$	(296,356)
Credit Acceptance Auto Loan Trust, Series 2013-2A, Cl. B, 2.26%, 10/15/21		10/22/13		259,927		263,541		3,614
Lehman Structured Securities Corp., Series 2002-GE1, Cl. A, 2.514%, 7/26/24		1/28/02		74,594		67,081		(7,513)
Morgan Stanley Re-Remic Trust, Series 2012-R3, Cl. 1B, 2.049%, 11/26/36		10/24/12-6/1/14		240,295		284,070		43,775
NC Finance Trust, Series 1999-I, Cl. D, 8.75%, 1/25/29		8/10/10		3,281,116		217,366		(3,063,750)
Rabobank Capital Funding Trust III, 5.254% Jr. Sub. Perpetual Bonds		5/1/13-5/8/13		678,762		703,685		24,923
ZFS Finance USA Trust V, 6.50% Jr. Sub. Nts., 5/9/37		11/20/13		384,451		392,375		7,924

			$	5,289,448	$	2,002,065	$	(3,287,383)

3. Represents the current interest rate for a variable or increasing rate security.

4. Interest-Only Strips represent the right to receive the monthly interest payments on an underlying pool of mortgage loans. These securities typically decline in price as interest rates decline. Most other fixed income securities increase in price when interest rates decline. The principal amount of the underlying pool represents the notional amount on which current interest is calculated. The price of these securities is typically more sensitive to changes in prepayment rates than traditional mortgage-backed securities (for example, GNMA pass-throughs). Interest rates disclosed represent current yields based upon the current cost basis and estimated timing and amount of future cash flows. These securities amount to $3,169,669 or 2.11% of the Fund’s net assets as of June 30, 2014.

5. Interest rate is less than 0.0005%.

6. Principal-Only Strips represent the right to receive the monthly principal payments on an underlying pool of mortgage loans. The value of these securities generally increases as interest rates decline and prepayment rates rise. The price of these securities is typically more volatile than that of coupon-bearing bonds of the same maturity. Interest rates disclosed represent current yields based upon the current cost basis and estimated timing of future cash flows. These securities amount to $179,043 or 0.12% of the Fund’s net assets as of June 30, 2014.

7. All or a portion of the security position is when-issued or delayed delivery to be delivered and settled after June 30, 2014. See Note 1 of the accompanying Notes.

8. This security is not accruing income because the issuer has missed an interest payment on it and/or is not anticipated to make future interest and or principal payments. The rate shown is the original contractual interest rate. See Note 1 of the accompanying Notes.

10. Non-income producing security.

The following issuer is or was an affiliate, as defined in the Investment Company Act of 1940, at or during the period ended June 30, 2014 by virtue of the Fund owning at least 5% of the voting securities of the issuer or as a result of the Fund and the issuer having the same investment adviser. There were no affiliate securities held by the Fund as of June 30, 2014. Transactions during the period in which the issuer was an affiliate are as follows:


	Shares December 31, 2013		Gross Additions		Gross Reductions		Shares June 30, 2014

Oppenheimer Institutional Money Market Fund, Cl. E		22,407,494		24,855,693		47,263,187		—


	Income

Oppenheimer Institutional Money Market Fund, Cl. E		$4,812

14 OPPENHEIMER CORE BOND FUND/VA

Futures Contracts as of June 30, 2014

Description

Exchange

Buy/Sell

Expiration Date

Number of

Contracts

Value

Unrealized Appreciation
(Depreciation)

United States Treasury Long Bonds

CBT

Sell

9/19/14

2,195,000

(2,501)

United States Treasury Nts., 2 yr.

CBT

Sell

9/30/14

190

41,722,814

16,244

United States Treasury Nts., 5 yr.

CBT

Sell

9/30/14

836,227

2,346

United States Treasury Nts., 10 yr.

CBT

Sell

9/19/14

1,376,891

(402)

United States Treasury Ultra Bonds

CBT

Buy

9/19/14

8,096,625

102,394

118,081


Glossary:
Counterparty Abbreviations
DEU		Deutsche Bank AG
JPM		JPMorgan Chase Bank NA

Definitions
CDX.NA.IG.22		Markit CDX North American Investment Grade High Volatility

Exchange Abbreviations
CBT		Chicago Board of Trade

See accompanying Notes to Financial Statements.

15 OPPENHEIMER CORE BOND FUND/VA

STATEMENTOF ASSETS AND LIABILITIES June 30, 2014 Unaudited



Assets
Investments, at value—see accompanying statement of investments (cost $194,373,253)	$	194,959,541

Cash used for collateral on futures		200,000

Receivables and other assets:
Investments sold (including $3,173,841 sold on a when-issued or delayed delivery basis)		3,783,360
Interest, dividends and principal paydowns		1,019,873
Shares of beneficial interest sold		132,388
Variation margin receivable		35,438
Other		33,864

Total assets		200,164,464


Liabilities
Bank overdraft		110,327

Payables and other liabilities:
Investments purchased (including $49,238,677 purchased on a when-issued or delayed delivery basis)		49,815,347
Shares of beneficial interest redeemed		91,835
Trustees’ compensation		27,920
Shareholder communications		17,926
Distribution and service plan fees		11,412
Variation margin payable		11,177
Other		18,078

Total liabilities		50,104,022


Net Assets	$	150,060,442



Composition of Net Assets
Par value of shares of beneficial interest	$	19,249

Additional paid-in capital		229,245,816

Accumulated net investment income		2,265,404

Accumulated net realized loss on investments		(82,174,396)

Net unrealized appreciation on investments		704,369

Net Assets	$	150,060,442



Net Asset Value Per Share
Non-Service Shares:
Net asset value, redemption price (excludes applicable contingent deferred sales charge) and offering price per share (based on net assets of $94,757,438 and 12,105,176 shares of beneficial interest outstanding)		$7.83


Service Shares:

Net asset value, redemption price (excludes applicable contingent deferred sales charge) and offering price per share (based on net assets of $55,303,004 and 7,143,979 shares of beneficial interest outstanding)		$7.74

See accompanying Notes to Financial Statements.

16 OPPENHEIMER CORE BOND FUND/VA

STATEMENTOF OPERATIONS For the Six Months Ended June 30, 2014 Unaudited



Investment Income
Interest	$	2,839,365

Fee income on when-issued securities		510,830

Dividends from affiliated companies		4,812

Total investment income		3,355,007


Expenses
Management fees		449,849

Distribution and service plan fees - Service shares		68,943

Transfer and shareholder servicing agent fees:
Non-Service shares		47,403
Service shares		27,572

Shareholder communications:
Non-Service shares		10,322
Service shares		5,983

Custodian fees and expenses		14,573

Trustees’ compensation		8,840

Other		31,008

Total expenses		664,493
Less waivers and reimbursements of expenses		(33,260)

Net expenses		631,233


Net Investment Income		2,723,774


Realized and Unrealized Gain
Net realized gain on:
Investments from unaffiliated companies		1,381,834
Closing and expiration of futures contracts		578,649

Net realized gain		1,960,483

Net change in unrealized appreciation/depreciation on:
Investments		3,226,409
Futures contracts		110,463

Net change in unrealized appreciation/depreciation		3,336,872


Net Increase in Net Assets Resulting from Operations	$	8,021,129

See accompanying Notes to Financial Statements.

17 OPPENHEIMER CORE BOND FUND/VA

STATEMENTSOF CHANGES IN NET ASSETS


	Six Months Ended June 30, 2014 (Unaudited)		Year Ended December 31, 2013

Operations
Net investment income	$	2,723,774	$	7,267,680

Net realized gain		1,960,483		125,040

Net change in unrealized appreciation/depreciation		3,336,872		(7,829,173)

Net increase (decrease) in net assets resulting from operations		8,021,129		(436,453)


Dividends and/or Distributions to Shareholders
Dividends from net investment income:
Non-Service shares		(4,942,639)		(5,333,237)
Service shares		(2,786,113)		(3,004,980)

		(7,728,752)		(8,338,217)


Beneficial Interest Transactions
Net increase (decrease) in net assets resulting from beneficial interest transactions:
Non-Service shares		(2,223,606)		(14,737,860)
Service shares		260,693		(6,439,915)
		(1,962,913)		(21,177,775)



Net Assets
Total decrease		(1,670,536)		(29,952,445)

Beginning of period		151,730,978		181,683,423

End of period (including accumulated net investment income of $2,265,404 and $7,270,382, respectively)	$	150,060,442	$	151,730,978

See accompanying Notes to Financial Statements.

18 OPPENHEIMER CORE BOND FUND/VA

FINANCIAL HIGHLIGHTS


Non-Service Shares	Six Months Ended June 30, 2014 (Unaudited)			Year Ended December 31, 2013			Year Ended December 31, 2012			Year Ended December 30, 2011¹			Year Ended December 31, 2010			Year Ended December 31, 2009

Per Share Operating Data
Net asset value, beginning of period	$	7.83		$	8.26		$	7.88		$	7.73		$	7.07		$	6.45

Income (loss) from investment operations:
Net investment income²		0.15			0.36			0.35			0.36			0.40			0.48
Net realized and unrealized gain (loss)		0.28			(0.37	)		0.44			0.25			0.40			0.14

Total from investment operations		0.43			(0.01	)		0.79			0.61			0.80			0.62

Dividends and/or distributions to shareholders:
Dividends from net investment income		(0.43	)		(0.42	)		(0.41	)		(0.46	)		(0.14	)		0.00

Net asset value, end of period	$	7.83		$	7.83		$	8.26		$	7.88		$	7.73		$	7.07



Total Return, at Net Asset Value³		5.51%			(0.10	)%		10.29%			8.27%			11.42%			9.61%


Ratios/Supplemental Data
Net assets, end of period (in thousands)	$	94,757		$	96,785		$	116,989		$	122,271		$	132,557		$	137,597

Average net assets (in thousands)	$	96,123		$	105,012		$	119,547		$	127,341		$	136,333		$	137,631

Ratios to average net assets:⁴
Net investment income		3.70%			4.51%			4.34%			4.71%			5.32%			7.40%
Total expenses⁵		0.79%			0.80%			0.77%			0.77%			0.79%			0.75%
Expenses after payments, waivers and/or reimbursements and reduction to custodian expenses		0.74%			0.75%			0.75%			0.75%			0.70%			0.61%

Portfolio turnover rate⁶		74%			115%			140%			99%			98%			143%

1. December 30, 2011 represents the last business day of the Fund’s reporting period.

2. Per share amounts calculated based on the average shares outstanding during the period.

4. Annualized for periods less than one full year.

5. Total expenses including indirect expenses from affiliated fund were as follows:


Six Months Ended June 30, 2014	0.80	%
Year Ended December 31, 2013	0.81	%
Year Ended December 31, 2012	0.79	%
Year Ended December 30, 2011	0.79	%
Year Ended December 31, 2010	0.80	%
Year Ended December 31, 2009	0.76	%

6. The portfolio turnover rate excludes purchase and sale transactions of To Be Announced (TBA) mortgage-related securities as follows:


	Purchase Transactions		Sale Transactions

Six Months Ended June 30, 2014		$271,747,712		$257,723,644
Year Ended December 31, 2013		$776,927,298		$806,883,121
Year Ended December 31, 2012		$930,202,858		$942,406,652
Year Ended December 30, 2011		$911,850,847		$909,531,196
Year Ended December 31, 2010		$775,240,942		$766,486,357
Year Ended December 31, 2009		$977,840,247		$1,009,549,121

See accompanying Notes to Financial Statements.

19 OPPENHEIMER CORE BOND FUND/VA


FINANCIAL HIGHLIGHTS Continued


Service Shares	Six Months Ended June 30, 2014 (Unaudited)			Year Ended December 31, 2013			Year Ended December 31, 2012			Year Ended December 30, 2011¹			Year Ended December 31, 2010			Year Ended December 31, 2009

Per Share Operating Data
Net asset value, beginning of period	$	7.74		$	8.17		$	7.79		$	7.65		$	6.99		$	6.41

Income (loss) from investment operations:
Net investment income²		0.14			0.34			0.33			0.34			0.37			0.46
Net realized and unrealized gain (loss)		0.27			(0.37	)		0.44			0.24			0.41			0.12

Total from investment operations		0.41			(0.03	)		0.77			0.58			0.78			0.58

Dividends and/or distributions to shareholders:
Dividends from net investment income		(0.41	)		(0.40	)		(0.39	)		(0.44	)		(0.12	)		0.00

Net asset value, end of period	$	7.74		$	7.74		$	8.17		$	7.79		$	7.65		$	6.99



Total Return, at Net Asset Value³		5.29%			(0.38	)%		10.17%			7.93%			11.28%			9.05%


Ratios/Supplemental Data
Net assets, end of period (in thousands)	$	55,303		$	54,946		$	64,694		$	62,294		$	56,562		$	56,717

Average net assets (in thousands)	$	55,903		$	59,523		$	67,116		$	58,629		$	57,313		$	52,648

Ratios to average net assets:⁴
Net investment income		3.46%			4.26%			4.07%			4.42%			5.06%			7.16%
Total expenses⁵		1.04%			1.05%			1.02%			1.02%			1.04%			1.01%
Expenses after payments, waivers and/or reimbursements and reduction to custodian expenses		0.99%			1.00%			1.00%			1.00%			0.95%			0.86%

Portfolio turnover rate⁶		74%			115%			140%			99%			98%			143%

1. December 30, 2011 represents the last business day of the Fund’s reporting period.

2. Per share amounts calculated based on the average shares outstanding during the period.

4. Annualized for periods less than one full year.

5. Total expenses including indirect expenses from affiliated fund were as follows:


Six Months Ended June 30, 2014	1.05	%
Year Ended December 31, 2013	1.06	%
Year Ended December 31, 2012	1.04	%
Year Ended December 30, 2011	1.04	%
Year Ended December 31, 2010	1.05	%
Year Ended December 31, 2009	1.02	%

6. The portfolio turnover rate excludes purchase and sale transactions of To Be Announced (TBA) mortgage-related securities as follows:


	Purchase Transactions		Sale Transactions

Six Months Ended June 30, 2014		$271,747,712		$257,723,644
Year Ended December 31, 2013		$776,927,298		$806,883,121
Year Ended December 31, 2012		$930,202,858		$942,406,652
Year Ended December 30, 2011		$911,850,847		$909,531,196
Year Ended December 31, 2010		$775,240,942		$766,486,357
Year Ended December 31, 2009		$977,840,247		$1,009,549,121

See accompanying Notes to Financial Statements.

20 OPPENHEIMER CORE BOND FUND/VA

NOTES TO FINANCIAL STATEMENTS June 30, 2014 Unaudited

1. Significant Accounting Policies

Oppenheimer Core Bond Fund/VA (the “Fund”) is a separate series of Oppenheimer Variable Account Funds, a diversified open-end management investment company registered under the Investment Company Act of 1940, as amended. The Fund’s main investment objective is to seek total return. The Fund’s investment adviser is OFI Global Asset Management, Inc. (“OFI Global” or the “Manager”), a wholly-owned subsidiary of OppenheimerFunds, Inc. (“OFI” or the “Sub-Adviser”). The Manager has entered into a sub-advisory agreement with OFI. Shares of the Fund are sold only to separate accounts of life insurance companies.

The following is a summary of significant accounting policies consistently followed by the Fund.

As of June 30, 2014, the Fund had purchased securities issued on a when-issued or delayed delivery basis and sold securities issued on a delayed delivery basis as follows:


	When-Issued or Delayed Delivery Basis Transactions

Purchased securities		$49,238,677
Sold securities		3,173,841

Credit Risk. The Fund invests in high-yield, non-investment-grade bonds, which may be subject to a greater degree of credit risk. Credit risk relates to the ability of the issuer to meet interest or principal payments or both as they become due. The Fund may acquire securities that have missed an interest payment, and is not obligated to dispose of securities whose issuers or underlying obligors subsequently miss an interest payment. Information concerning securities not accruing interest as of June 30, 2014 is as follows:


Cost			$3,281,116
Market Value			$217,366
Market value as % of Net Assets			0.14%

21 OPPENHEIMER CORE BOND FUND/VA

NOTES TO FINANCIAL STATEMENTS Unaudited / Continued

1. Significant Accounting Policies (Continued)

The Manager will waive fees and/or reimburse Fund expenses in an amount equal to the indirect management fees incurred through the Fund’s investment in IMMF.

During the fiscal year ended December 31, 2013, the Fund utilized $62,802 of capital loss carryforward to offset capital gains realized in that fiscal year. The Fund had post-October losses of $372,480. Details of the fiscal year ended December 31, 2013 capital loss carryforwards are included in the table below. Capital loss carryforwards with no expiration, if any, must be utilized prior to those with expiration dates. Capital losses with no expiration will be carried forward to future years if not offset by gains.


Expiring

2016			$ 8,625,089
2017			75,069,850

Total			$ 83,694,939

As of June 30, 2014, it is estimated that the capital loss carryforwards would be $81,734,456 expiring by 2017. The estimated capital loss carryforward represents the carryforward as of the end of the last fiscal year, increased or decreased by capital losses or gains realized in the first six months of the current fiscal year. During the six months ended June 30, 2014, it is estimated that the Fund will utilize $1,960,483 of capital loss carryforward to offset realized capital gains.


Federal tax cost of securities	$	194,425,607
Federal tax cost of other investments		(38,152,388)

Total federal tax cost	$	156,273,219

Gross unrealized appreciation	$	6,460,332
Gross unrealized depreciation		(5,808,317)

Net unrealized appreciation	$	652,015

22 OPPENHEIMER CORE BOND FUND/VA

1. Significant Accounting Policies (Continued)

securities received. Interest income is recognized on an accrual basis. Discount and premium, which are included in interest income on the Statement of Operations, are amortized or accreted daily.

Security Transactions. Security transactions are recorded on the trade date. Realized gains and losses on securities sold are determined on the basis of identified cost.

2. Securities Valuation

Valuation Methods and Inputs

Securities are valued using unadjusted quoted market prices, when available, as supplied primarily by third party pricing services or dealers.

The following methodologies are used to determine the market value or the fair value of the types of securities described below:

Shares of a registered investment company that are not traded on an exchange are valued at that investment company’s net asset value per share.

Structured securities, swaps, swaptions, and other over-the-counter derivatives are valued utilizing evaluated prices obtained from third party pricing services or broker-dealers.

23 OPPENHEIMER CORE BOND FUND/VA

NOTES TO FINANCIAL STATEMENTS Unaudited / Continued

2. Securities Valuation (Continued)

A description of the standard inputs that may generally be considered by the third party pricing vendors in determining their evaluated prices is provided below.


Security Type		Standard inputs generally considered by third-party pricing vendors

Corporate debt, government debt, municipal, mortgage-backed and asset-backed securities		Reported trade data, broker-dealer price quotations, benchmark yields, issuer spreads on comparable securities, the credit quality, yield, maturity, and other appropriate factors.

Loans		Information obtained from market participants regarding reported trade data and broker-dealer price quotations.

Event-linked bonds		Information obtained from market participants regarding reported trade data and broker-dealer price quotations.

Structured securities		Relevant market information such as the price of underlying financial instruments, stock market indices, foreign currencies, interest rate spreads, commodities, or the occurrence of other specific events.

Swaps		Relevant market information, including underlying reference assets such as credit spreads, credit event probabilities, index values, individual security values, forward interest rates, variable interest rates, volatility measures, and forward currency rates.

Classifications

1) Level 1-unadjusted quoted prices in active markets for identical assets or liabilities (including securities actively traded on a securities exchange)

3) Level 3-significant unobservable inputs (including the Manager’s own judgments about assumptions that market participants would use in pricing the asset or liability).

The inputs used for valuing securities are not necessarily an indication of the risks associated with investing in those securities.

The table below categorizes amounts that are included in the Fund’s Statement of Assets and Liabilities as of June 30, 2014 based on valuation input level:

24 OPPENHEIMER CORE BOND FUND/VA

2. Securities Valuation (Continued)


	Level 1— Unadjusted Quoted Prices			Level 2— Other Significant Observable Inputs		Level 3— Significant Unobservable Inputs		Value

Assets Table
Investments, at Value:
Asset-Backed Securities	$	—		$	27,717,867	$	—	$	27,717,867
Mortgage-Backed Obligations		—			83,118,778		217,366		83,336,144
U.S. Government Obligations		—			10,413,936		—		10,413,936
Corporate Bonds and Notes		—			73,457,259		—		73,457,259
Over-the-Counter Credit Default Swaptions Purchased		—			34,335		—		34,335

Total Investments, at Value		—			194,742,175		217,366		194,959,541
Other Financial Instruments:
Futures contracts		120,984			—		—		120,984

Total Assets	$	120,984		$	194,742,175	$	217,366	$	195,080,525


Liabilities Table
Other Financial Instruments:
Futures contracts	$	(2,903	)	$	—	$	—	$	(2,903)

Total Liabilities	$	(2,903	)	$	—	$	—	$	(2,903)

Foreign currency exchange contracts and futures contracts, if any, are reported at their unrealized appreciation/ depreciation at measurement date, which represents the change in the contract’s value from trade date. All additional assets and liabilities included in the above table are reported at their market value at measurement date.

The table below shows the transfers between Level 2 and Level 3. The Fund’s policy is to recognize transfers in and transfers out as of the beginning of the reporting period.


	Transfers into Level 2*		Transfers out of Level 3*

Assets Table
Investments, at Value:
Mortgage-Backed Obligations	$	73,738	$	(73,738	)

* Transferred from Level 3 to Level 2 due to the availability of market data for this security.

3. Shares of Beneficial Interest

The Fund has authorized an unlimited number of $0.001 par value shares of beneficial interest of each class. Transactions in shares of beneficial interest were as follows:


	Six Months Ended June 30, 2014						Year Ended December 31, 2013
	Shares			Amount			Shares			Amount

Class Non-Service
Sold		216,269		$	1,738,001			533,702		$	4,292,431
Dividends and/or distributions reinvested		636,119			4,942,639			682,873			5,333,237
Redeemed		(1,107,171	)		(8,904,246	)		(3,017,265	)		(24,363,528)

Net decrease		(254,783	)	$	(2,223,606	)		(1,800,690	)	$	(14,737,860)



Class Service
Sold		1,134,870		$	8,995,324			1,641,559		$	13,196,539
Dividends and/or distributions reinvested		362,777			2,786,113			388,743			3,004,980
Redeemed		(1,454,980	)		(11,520,744	)		(2,851,850	)		(22,641,434)

Net increase (decrease)		42,667		$	260,693			(821,548	)	$	(6,439,915)

4. Purchases and Sales of Securities

The aggregate cost of purchases and proceeds from sales of securities, other than short-term obligations and investments in IMMF, for the six months ended June 30, 2014 were as follows:


	Purchases		Sales

Investment securities	$	83,424,357	$	72,601,974
U.S. government and government agency obligations		38,918,444		31,722,015
To Be Announced (TBA) mortgage-related securities		271,747,712		257,723,644

5. Fees and Other Transactions with Affiliates

Management Fees. Under the investment advisory agreement, the Fund pays the Manager a management fee based on the daily net assets of the Fund at an annual rate as shown in the following table:

25 OPPENHEIMER CORE BOND FUND/VA

NOTES TO FINANCIAL STATEMENTS Unaudited / Continued

5. Fees and Other Transactions with Affiliates (Continued)


Fee Schedule

Up to $1 billion			0.60%
Over $1 billion			0.50

Waivers and Reimbursements of Expenses. The Manager has contractually agreed to limit the Fund’s expenses after payments, waivers and/or reimbursements and reduction to custodian expenses, excluding expenses incurred directly or indirectly by the Fund as a result of investments in other investment companies, wholly-owned subsidiaries and pooled investment vehicles; so that those expenses, as percentages of daily net assets, will not exceed the annual rate of 0.75% for Non-Service shares and 1.00% for Service shares. During the six months ended June 30, 2014, the Manager waived fees and/or reimbursed the Fund $17,337 and $10,116 for Non-Service and Service shares, respectively.

Some of these undertakings may be modified or terminated at any time; some may not be modified or terminated until after one year from the date of the current prospectus, as indicated therein.

6. Risk Exposures and the Use of Derivative Instruments

Market Risk Factors. In accordance with its investment objectives, the Fund may use derivatives to increase or decrease its exposure to one or more of the following market risk factors:

Equity Risk. Equity risk relates to the change in value of equity securities as they relate to increases or decreases in the general market.

26 OPPENHEIMER CORE BOND FUND/VA

6. Risk Exposures and the Use of Derivative Instruments (Continued)

The Fund’s actual exposures to these market risk factors and associated risks during the period are discussed in further detail, by derivative type, below.

Futures Contracts

The Fund has purchased futures contracts on various bonds and notes to increase exposure to interest rate risk.

The Fund has sold futures contracts on various bonds and notes to decrease exposure to interest rate risk.

During the six months ended June 30, 2014, the Fund had an ending monthly average market value of $11,749,366 and $33,022,887 on futures contracts purchased and sold, respectively.

Swaption Transactions

27 OPPENHEIMER CORE BOND FUND/VA

NOTES TO FINANCIAL STATEMENTS Unaudited / Continued

6. Risk Exposures and the Use of Derivative Instruments (Continued)

During the six months ended June 30, 2014, the Fund had an ending monthly average market value of $9,127 on purchased swaptions.

For financial reporting purposes, cash collateral that has been pledged to cover obligations of the Fund, if any, is reported separately on the Statement of Assets and Liabilities as cash pledged as collateral. Non-cash collateral pledged by the Fund, if any, is noted in the Statement of Investments. Generally, the amount of collateral due from or to a party must exceed a minimum transfer amount threshold (e.g. $250,000) before a transfer has to be made. To the extent amounts due to the Fund from its counterparties are not fully collateralized, contractually or otherwise, the Fund bears the risk of loss from counterparty nonperformance.

The following table presents by counterparty the Fund’s OTC derivative assets net of the related collateral posted for the benefit of the Fund at June 30, 2014:

28 OPPENHEIMER CORE BOND FUND/VA

6. Risk Exposures and the Use of Derivative Instruments (Continued)


			Gross Amounts Not Offset in the
			Statement of Assets & Liabilities
Counterparty	Gross Amount of Assets in the Statement of Assets & Liabilities*		Financial Instruments Available for Offset		Financial Instruments Collateral Received**		Cash Collateral Received**		Net Amount

Deutsche Bank Securities, Inc.	$	8,421		$ —		$ —		$ —	$	8,421
JPMorgan Chase Bank NA		25,914		—		—		—		25,914

	$	34,335		$ —		$ —		$ —	$	34,335

* OTC derivatives are reported gross on the Statement of Assets and Liabilities. Exchange traded options and margin related to cleared swaps and futures are excluded from these reported amounts.

The following table presents the valuations of derivative instruments by risk exposure as reported within the Statement of Assets and Liabilities as of June 30, 2014:

Asset Derivatives

Liability Derivatives

Derivatives Not Accounted for as

Hedging Instruments

Statement of Assets and Liabilities Location

Value

Statement of Assets and Liabilities Location

Value

Interest rate contracts

Variation margin receivable

35,438*

Variation margin payable

11,177*

Credit contracts

Investments, at value

34,335**

Investments, at value

—

Total

69,773

11,177

*Includes only the current day’s variation margin. Prior variation margin movements have been reflected in cash on the Statement of Assets and Liabilities upon receipt or payment.

**Amounts relate to purchased option contracts and purchased swaption contracts, if any.

The effect of derivative instruments on the Statement of Operations is as follows:


	Amount of Realized Gain or (Loss) Recognized on Derivatives

Derivatives Not Accounted for as		Closing and expiration of
Hedging Instruments		futures contracts

Interest rate contracts		$578,649


	Amount of Change in Unrealized Gain or (Loss) Recognized on Derivatives

Derivatives Not Accounted for as Hedging Instruments	Investments*			Futures contracts		Total

Credit contracts	$	(42,484	)	$	—	$	(42,484)
Interest rate contracts		—			110,463		110,463

Total	$	(42,484	)	$	110,463	$	67,979

*Includes purchased option contracts and purchased swaption contracts, if any.

7. Restricted Securities

8. Pending Litigation

29 OPPENHEIMER CORE BOND FUND/VA

NOTES TO FINANCIAL STATEMENTS Unaudited / Continued

8. Pending Litigation (Continued)

litigation expenses. Neither the Distributor, nor any of the Oppenheimer mutual funds, their independent trustees or directors are named as defendants in these lawsuits. None of the Oppenheimer mutual funds invested in any funds or accounts managed by Madoff or BLMIS. On February 28, 2011, a stipulation of partial settlement of three groups of consolidated putative class action lawsuits relating to these matters was filed in the U.S. District Court for the Southern District of New York. On August 19, 2011, the court entered an order and final judgment approving the settlement as fair, reasonable and adequate. In September 2011, certain parties filed notices of appeal from the court’s order approving the settlement. In June 2014, the appellate court affirmed the lower court’s order approving the settlement. Certain parties subsequently filed a petition for certiorari before the U.S. Supreme Court further challenging the settlement approval order. The settlement does not resolve other outstanding lawsuits against OFI and its affiliates relating to BLMIS.

30 OPPENHEIMER CORE BOND FUND/VA

PORTFOLIO PROXY VOTING POLICIESAND PROCEDURES;

UPDATES TO STATEMENTS OF INVESTMENTS Unaudited

31 OPPENHEIMER CORE BOND FUND/VA

OPPENHEIMER CORE BOND FUND/VA

A Series of Oppenheimer Variable Account Funds


Trustees and Officers		Sam Freedman, Chairman of the Board of Trustees and Trustee
		Edward L. Cameron, Trustee
		Jon S. Fossel, Trustee
		Richard F. Grabish, Trustee
		Beverly L. Hamilton, Trustee
		Victoria J. Herget, Trustee
		Robert J. Malone, Trustee
		F. William Marshall, Jr., Trustee
		Karen L. Stuckey, Trustee
		James D. Vaughn, Trustee
		William F. Glavin, Jr., Trustee, President and Principal Executive Officer
		Krishna Memani, Vice President
		Peter A. Strzalkowski, Vice President
		Arthur S. Gabinet, Secretary and Chief Legal Officer
		Christina M. Nasta, Vice President and Chief Business Officer
		Mary Ann Picciotto, Chief Compliance Officer and Chief Anti-Money Laundering Officer
		Brian W. Wixted, Treasurer and Principal Financial & Accounting Officer

Manager		OFI Global Asset Management, Inc.

Sub-Adviser		OppenheimerFunds, Inc.

Distributor		OppenheimerFunds Distributor, Inc.

Transfer and		OFI Global Asset Management, Inc.
Shareholder
Servicing Agent

Sub-Transfer Agent		Shareholder Services, Inc.
		DBA OppenheimerFunds Services

Independent		KPMG LLP
Registered Public
Accounting Firm

Counsel		K&L Gates LLP

		Before investing in any of the Oppenheimer funds, investors should carefully consider a fund’s investment objectives, risks, charges and expenses. Fund prospectuses and summary prospectuses contain this and other information about the funds and may be obtained by asking your financial advisor, visiting oppenheimerfunds.com or calling us at 1.800.988.8287. Read prospectuses and summary prospectuses carefully before investing.

		The financial statements included herein have been taken from the records of the Fund without examination of those records by the independent auditors.

		© 2014 OppenheimerFunds, Inc. All rights reserved. Oppenheimer funds are distributed by OppenheimerFunds Distributor, Inc.

LOGO

June 30, 2014



		Oppenheimer Global Fund/VA A Series of Oppenheimer Variable Account Funds		Semiannual Report

		SEMIANNUAL REPORT Listing of Top Holdings Fund Performance Discussion Financial Statements

LOGO

Portfolio Manager: Rajeev Bhaman, CFA

Cumulative Total Returns

For the 6-Month Period Ended 6/30/14


Non-Service Shares			4.57%
Service Shares			4.46%


Average Annual Total Returns For the Periods Ended 6/30/14
	1-Year	5-Year	10-Year
Non-Service Shares	23.31%	16.42%	9.00%
Service Shares	23.00%	16.13%	8.73%

Performance data quoted represents past performance, which does not guarantee future results. The investment return and principal value of an investment in the Fund will fluctuate so that an investor’s shares, when redeemed, may be worth more or less than their original cost. Current performance may be lower or higher than the performance quoted. For performance data current to the most recent month end, call us at 1.800.988.8287. The Fund’s total returns include changes in share price and reinvested distributions but should not be expected to be the same as the returns of other funds, whether or not both funds have the same portfolio managers and/or similar names. The Fund’s total returns do not include the charges associated with the separate account products that offer this Fund. Such performance would have been lower if such charges were taken into account.

TOP TEN COMMON STOCK HOLDINGS


Telefonaktiebolaget LM Ericsson, Cl. B			2.7%
McGraw Hill Financial, Inc.			2.2
Walt Disney Co. (The)			2.1
SAP AG			1.9
LVMH Moet Hennessy Louis Vuitton SA			1.9
eBay, Inc.			1.9
UBS AG			1.9
Colgate-Palmolive Co.			1.9
Airbus Group NV			1.8
Technip SA			1.8

Portfolio holdings and allocations are subject to change. Percentages are as of June 30, 2014, and are based on net assets. For more current Fund holdings, please visit oppenheimerfunds.com.

Regional Allocation

LOGO

Portfolio holdings and allocations are subject to change. Percentages are as of June 30, 2014, and are based on the total market value of investments.

2 OPPENHEIMER GLOBAL FUND/VA

Fund Performance Discussion

During the six-month reporting period, the Fund’s Non-Service shares produced a return of 4.57%. By comparison, the MSCI AC World Index (the “Index”) returned 6.18%. The Fund underperformed the Index primarily due to stock selection in the financials, information technology and industrials sectors and systematic underweight positions in the energy and utilities sectors. The Fund outperformed the Index in the health care and consumer discretionary sectors due to stock selection.

GLOBAL MARKET AND ECONOMIC ENVIRONMENT

Despite market volatility early in the reporting period and rising geopolitical risks in Ukraine and the Middle East, global equities generally rebounded and produced positive returns in the first half of 2014, thanks largely to a continued global economic recovery and stimulative monetary policies from central banks throughout the world. Among the central bank measures that boosted the markets, the European Central Bank (the “ECB”) announced numerous measures in June, including a benchmark interest rate cut, the introduction of a negative deposit rate to encourage banks to lend, among various other measures to flood the system with liquidity. Beyond that, the ECB said it would prepare to purchase packages of loans from banks to allow for increased lending. In June, the U.S. Federal Reserve (the “Fed”) also stated it would reduce the amount of monthly bond purchases by an additional $10 billion and reaffirmed its intention to keep short-term interest rates near zero. U.S. economic data released in April and May was positive, as the unemployment rate fell to 6.3%, the economy finally regained all of the jobs lost during the 2008 recession, and the U.S. stock market achieved record highs. Shortly after the reporting period ended, a positive June jobs report was released, in which the official unemployment rate fell to 6.1%, its lowest level since September 2008.

TOP INDIVIDUAL CONTRIBUTORS

During the reporting period, top contributors to performance included health care stocks Shire plc and Allergan, Inc., and ICICI Bank Ltd. Shire is a pharmaceutical company that focuses on attention deficit and hyperactivity disorders as well as gastrointestinal and renal diseases. During the reporting period, AbbVie, a U.S. pharmaceuticals company, offered to buy Shire at a significant premium to the share price and the shares rallied. Allergan is a drug company that addresses several specialty markets such as ophthalmology, obesity, medical aesthetics and dermatology (the company manufactures Botox). During the reporting period, Allergan became the subject of a bid from pharmaceutical company Valeant and the hedge fund Pershing Square. It also announced a restructuring, targeted to cut $475 million in costs in 2015. ICICI Bank is the largest private sector bank in India, a country where more than half the banking sector is state-owned. In an environment where the public sector banks are inadequately capitalized for the level of non-performing loans on their books and where the government’s ability to continually inject new capital is impaired as a result of its financial position, we believe ICICI should be able to grow faster with less competition. The recent victory of the Bharatiya Janata Party (BJP) in the national elections, which resulted in a significant mandate for the newly elected Prime Minister, Narendra Modi, has led to great expectations of a meaningful acceleration in growth in the Indian economy and the prospects of banks.

TOP INDIVIDUAL DETRACTORS

The most significant detractors from the Fund’s performance included Deutsche Bank AG, Airbus Group NV and luxury shoemaker Tod’s. Continued prosecutorial activism and litigation activity has led to the financial industry paying significant fines for past transgressions. Heightened concerns about the persistence of such fines and their increasing magnitude have led to worries about the adequacy of capital at global investment banks in particular. This, combined with low levels of market activity that detracted from profits, led to Deutsche Bank’s underperformance. During the reporting period, Deutsche Bank raised over $10 billion in fresh capital, increasing its equity level significantly. In our opinion, the stock is trading at attractive valuations. Airbus Group along with Boeing constitutes a global duopoly in the large jet airplane market. It has a product refresh coming with the re-engining of both its single aisle A320 and dual aisle A330 products that we believe has the potential to improve profitability over the next several years. The newest Airbus product, the Airbus A350, is expected to be in commercial service by the first quarter of 2015. Concerns about the near-term impact on margins of these developments led to a pullback in the shares after substantial outperformance in the past year. We continue to believe that the industry construct combined with approximately nine years of backlog make the shares an attractive proposition at this time. A slowdown in growth for luxury goods in China and Asia Pacific has affected the share performance of Tod’s. We believe that Tod’s’ iconic products and ethos have long-term appeal to the luxury goods consumer that should result in a reacceleration in growth and share price performance.

STRATEGY & OUTLOOK

The Fund is a long-term, growth oriented investment portfolio. We use a bottom-up, fundamental approach, combined with an understanding of longer-term macroeconomic trends, in seeking to identify the high-quality companies with superior, sustainable characteristics, that we favor. We seek to add value via our individual stock selection, and make no effort to mimic Index weights for industries, sectors, regions or countries. Valuation is critical to our investment

3 OPPENHEIMER GLOBAL FUND/VA

decisions. Assuming we properly understand a given set of business economics, our return structure is principally a function of paying an appropriate price for the growth and returns inherent in a company.

In our opinion, the outlook for the world economy continues to improve. U.S. economic activity and employment is rising, enabling the Fed to continue tapering its quantitative easing activity. In response, U.S. interest rates have been rising but, interestingly, longer-term rates have not, usually a sign that market expectations regarding rising rates are restrained. European monetary conditions are quite different, with the ECB providing increased liquidity. In our opinion, business conditions in Europe are improving, the Spanish economy being a good example. In any case, the vast majority of the companies in our portfolio, especially our European companies, address worldwide, as opposed to local, markets. In Japan we are seeing continued efforts at reform. In the emerging markets too we are seeing the middle class exert pressure for reform, especially in the election results in India. We view these pressures positively and are optimistic about the potential outcomes they may produce.

The Fund’s investment strategy and focus can change over time. The mention of specific fund holdings does not constitute a recommendation by OppenheimerFunds, Inc. or its affiliates.

4 OPPENHEIMER GLOBAL FUND/VA

Fund Expenses

The examples are based on an investment of $1,000.00 invested at the beginning of the period and held for the entire 6-month period ended June 30, 2014.

Hypothetical Example for Comparison Purposes.


Actual	Beginning Account Value January 1, 2014	Ending Account Value June 30, 2014	Expenses Paid During 6 Months Ended June 30, 2014
Non-Service shares	$ 1,000.00	$ 1,045.70	$ 3.81
Service shares	1,000.00	1,044.60	5.08

Hypothetical (5% return before expenses)
Non-Service shares	1,000.00	1,021.08	3.77
Service shares	1,000.00	1,019.84	5.02


Class		Expense Ratios
Non-Service shares		0.75%
Service shares		1.00

5 OPPENHEIMER GLOBAL FUND/VA

STATEMENTOF INVESTMENTS June 30, 2014 Unaudited


	Shares		Value
Common Stocks—96.7%
Consumer Discretionary—12.2%
Hotels, Restaurants & Leisure—1.2%
Gtech SpA		315,720	$	7,716,329
McDonald’s Corp.		280,580		28,265,629
				35,981,958

Internet & Catalog Retail—0.3%
JD.com, Inc., ADR¹		267,101		7,615,050

Media—2.7%
Walt Disney Co. (The)		696,590		59,725,627
Zee Entertainment Enterprises Ltd.		3,773,981		18,384,901
				78,110,528

Specialty Retail—3.2%
Industria de Diseno Textil SA (Inditex)		312,987		48,261,890
Tiffany & Co.		428,770		42,984,192
				91,246,082

Textiles, Apparel & Luxury Goods—4.8%
Brunello Cucinelli SpA		78,468		1,783,481
Kering		222,980		48,861,905
lululemon athletica, Inc.¹		344,020		13,925,929
LVMH Moet Hennessy Louis Vuitton SA		284,120		54,730,171
Tod’s SpA		150,735		19,183,613
				138,485,099

Consumer Staples—6.2%
Beverages—1.5%
AMBEV SA, ADR		2,673,445		18,821,053
Fomento Economico Mexicano SAB de CV, ADR		278,545		26,085,739
				44,906,792

Food Products—2.8%
Nestle SA		369,303		28,614,688
Unilever plc		1,125,413		51,032,092
				79,646,780

Household Products—1.9%
Colgate-Palmolive Co.		786,210		53,603,798

Energy—3.7%
Energy Equipment & Services—2.5%
Technip SA		473,720		51,889,613
Transocean Ltd.		434,362		19,559,321
				71,448,934

Oil, Gas & Consumable Fuels—1.2%
Gazprom OAO, Sponsored ADR¹		1,514,190		13,203,622
Repsol SA		812,996		21,479,593
				34,683,215

Financials—20.9%
Capital Markets—5.2%
Credit Suisse Group AG¹		884,526		25,187,213
Deutsche Bank AG		1,136,309		39,977,883
Goldman Sachs Group, Inc. (The)		173,930		29,122,839
UBS AG¹		2,936,157		53,802,425
				148,090,360

Commercial Banks—6.1%
Banco Bilbao Vizcaya Argentaria SA		3,095,157		39,403,955
Citigroup, Inc.		1,047,100		49,318,410
ICICI Bank Ltd., Sponsored ADR¹		813,970		40,617,103
Societe Generale SA		428,189		22,392,071
Sumitomo Mitsui Financial Group, Inc.		562,400		23,615,284
				175,346,823

Diversified Financial Services—3.6%
BM&FBovespa SA		4,424,200		23,207,276
McGraw Hill Financial, Inc.		749,530		62,233,476


	Shares		Value
Diversified Financial Services (Continued)
Moscow Exchange (The)¹		9,064,495	$	17,995,588
				103,436,340

Insurance—5.1%
Allianz SE		272,189		45,364,554
Dai-ichi Life Insurance Co. Ltd. (The)		2,079,700		31,051,855
Fidelity National Financial, Inc., Cl. A		588,960		19,294,330
Prudential plc		2,198,417		50,429,023
				146,139,762

Real Estate Management & Development—0.9%
DLF Ltd.		7,586,088		27,049,901

Health Care—15.2%
Biotechnology—4.7%
Biogen Idec, Inc.¹		70,840		22,336,560
Celldex Therapeutics, Inc.¹		1,102,650		17,995,248
Circassia Pharmaceuticals plc¹		2,380,770		11,237,169
Clovis Oncology, Inc.¹		174,790		7,238,054
Gilead Sciences, Inc.¹		443,450		36,766,440
Medivation, Inc.¹		134,320		10,353,386
Vertex Pharmaceuticals, Inc.¹		307,560		29,119,781
				135,046,638

Health Care Equipment & Supplies—1.6%
St. Jude Medical, Inc.		264,970		18,349,172
Zimmer Holdings, Inc.		280,930		29,177,390
				47,526,562

Health Care Providers & Services—3.1%
Aetna, Inc.		558,090		45,249,937
WellPoint, Inc.		405,555		43,641,774
				88,891,711

Pharmaceuticals—5.8%
Allergan, Inc.		178,410		30,190,540
Bayer AG		311,253		43,963,982
Roche Holding AG		115,755		34,541,467
Shire plc		474,780		37,227,958
Theravance Biopharma, Inc.¹		157,022		5,005,861
Theravance, Inc.¹		546,860		16,285,491
				167,215,299

Industrials—11.8%
Aerospace & Defense—2.7%
Airbus Group NV		787,480		52,854,043
Embraer SA, ADR		702,013		25,574,333
				78,428,376

Air Freight & Couriers—1.1%
United Parcel Service, Inc., Cl. B		308,370		31,657,264

Building Products—1.5%
Assa Abloy AB, Cl. B		821,221		41,739,624

Construction & Engineering—0.5%
FLSmidth & Co. AS		276,960		15,481,532

Electrical Equipment—2.5%
Emerson Electric Co.		376,570		24,989,185
Nidec Corp.		556,700		34,228,624
Prysmian SpA		510,996		11,532,602
				70,750,411

Industrial Conglomerates—2.9%
3M Co.		248,650		35,616,626
Seibu Holdings, Inc.		412,000		8,551,301
Siemens AG		287,655		37,991,900
				82,159,827

Machinery—0.6%
FANUC Corp.		106,300		18,369,551

6 OPPENHEIMER GLOBAL FUND/VA


	Shares		Value
Information Technology—23.3%
Communications Equipment—3.5%
Juniper Networks, Inc.¹		929,320	$	22,805,513
Telefonaktiebolaget LM Ericsson, Cl. B		6,353,181		76,820,265
				99,625,778

Electronic Equipment, Instruments, & Components—3.9%
Keyence Corp.		92,211		40,334,002
Kyocera Corp.		610,400		29,039,994
Murata Manufacturing Co. Ltd.		473,000		44,367,839
				113,741,835

Internet Software & Services—6.0%
eBay, Inc.¹		1,078,410		53,985,205
Facebook, Inc., Cl. A¹		568,410		38,248,309
Google, Inc., Cl. A¹		69,750		40,780,732
Google, Inc., Cl. C¹		69,750		40,125,780
				173,140,026

Semiconductors & Semiconductor Equipment—3.2%
Altera Corp.		1,355,560		47,119,265
Maxim Integrated Products, Inc.		1,295,165		43,789,529
				90,908,794

Software—6.3%
Adobe Systems, Inc.¹		668,703		48,387,349
Intuit, Inc.		540,430		43,520,828
Microsoft Corp.		785,250		32,744,925
SAP AG		724,117		55,929,362
				180,582,464

Technology Hardware, Storage & Peripherals—0.4%
Fusion-io, Inc.¹		1,020,920		11,536,396


	Shares		Value
Materials—1.9%
Chemicals—1.1%
Linde AG		145,665	$	30,976,956

Metals & Mining—0.8%
Alrosa AO¹		8,201,668		10,090,643
Vale SA, Cl. B, Sponsored ADR		950,880		12,580,142
				22,670,785

Telecommunication Services—1.5%
Wireless Telecommunication Services—1.5%
KDDI Corp.		726,800		44,428,031
Total Common Stocks (Cost $1,526,525,231)				2,780,669,282

Preferred Stocks—3.0%
Bayerische Motoren Werke (BMW) AG, Preferred Stock		603,767		57,886,883
Itau Unibanco Holding SA, Preference, ADR		1,785,054		25,669,077
Zee Entertainment Enterprises Ltd., 6% Cum. Non-Cv.		79,253,601		1,001,459
Total Preferred Stocks (Cost $42,804,333)				84,557,419

	Units
Rights, Warrants and Certificates—0.0%
Repsol SA Rts., Strike Price 0.0001EUR, Exp. 7/4/14¹ (Cost $—)		812,996		553,278

	Shares
Investment Company—0.3%
Oppenheimer Institutional Money Market Fund, Cl. E,
0.09%^2,3 (Cost $9,733,919)		9,733,919		9,733,919

Total Investments, at Value (Cost $1,579,063,483)		100.0%		2,875,513,898
Net Other Assets (Liabilities)		0.0		1,256,630
Net Assets		100.0%	$	2,876,770,528

Footnotes to Statement of Investments

Strike price is reported in U.S. Dollars, except for those denoted in the following currency:

EUR European Dollar

1. Non-income producing security.


	Shares December 31, 2013		Gross Additions		Gross Reductions		Shares June 30, 2014

Oppenheimer Institutional Money Market Fund, Cl. E		9,026,377		148,271,773		147,564,231		9,733,919

					Value		Income

Oppenheimer Institutional Money Market Fund, Cl. E					$	9,733,919	$	5,859

3. Rate shown is the 7-day yield as of June 30, 2014.


Distribution of investments representing geographic holdings, as a percentage of total investments at value, is as follows:
Geographic Holdings	Value		Percent
United States	$	1,222,399,060		42.5%
Germany		312,091,519		10.9
Japan		273,986,480		9.5
France		230,727,803		8.0
United Kingdom		149,926,243		5.2
Switzerland		142,145,793		5.0
Sweden		118,559,890		4.1
Spain		109,698,717		3.8
Brazil		105,851,882		3.7
India		87,053,364		3.0
Russia		41,289,853		1.4
Italy		40,216,023		1.4
Mexico		26,085,739		0.9
Denmark		15,481,532		0.6
Total	$	2,875,513,898		100.0%

See accompanying Notes to Financial Statements.

7 OPPENHEIMER GLOBAL FUND/VA

STATEMENTOF ASSETS AND LIABILITIES June 30, 2014 Unaudited


Assets
Investments, at value—see accompanying statement of investments:
Unaffiliated companies (cost $1,569,329,564)	$	2,865,779,979
Affiliated companies (cost $9,733,919)		9,733,919
		2,875,513,898
Cash		2,022,267
Receivables and other assets:
Dividends		3,849,102
Other		107,996
Total assets		2,881,493,263


Liabilities
Payables and other liabilities:
Shares of beneficial interest redeemed		2,706,563
Investments purchased		1,196,365
Distribution and service plan fees		266,898
Foreign capital gains tax		158,819
Shareholder communications		126,279
Trustees’ compensation		92,413
Other		175,398
Total liabilities		4,722,735


Net Assets	$	2,876,770,528


Composition of Net Assets
Par value of shares of beneficial interest	$	71,520
Additional paid-in capital		1,444,445,852
Accumulated net investment income		23,647,260
Accumulated net realized gain on investments and foreign currency transactions		112,242,322
Net unrealized appreciation on investments and translation of assets and liabilities denominated in foreign currencies		1,296,363,574
Net Assets	$	2,876,770,528


Net Asset Value Per Share
Non-Service Shares:
Net asset value, redemption price (excludes applicable contingent deferred sales charge) and offering price per share (based on net assets of $1,576,525,380 and 39,039,282 shares of beneficial interest outstanding)		$40.38

Service Shares:
Net asset value, redemption price (excludes applicable contingent deferred sales charge) and offering price per share (based on net assets of $1,300,245,148 and 32,480,741 shares of beneficial interest outstanding)		$40.03

See accompanying Notes to Financial Statements.

8 OPPENHEIMER GLOBAL FUND/VA

STATEMENTOF OPERATIONS For the Six Months Ended June 30, 2014 Unaudited


Investment Income
Dividends:
Unaffiliated companies (net of foreign withholding taxes of $3,681,838)	$	36,144,542
Affiliated companies		5,859
Interest		19
Total investment income		36,150,420


Expenses
Management fees		8,827,064
Distribution and service plan fees - Service shares		1,586,249
Transfer and shareholder servicing agent fees:
Non-Service shares		767,492
Service shares		634,644
Shareholder communications:
Non-Service shares		47,872
Service shares		39,595
Custodian fees and expenses		124,086
Trustees’ compensation		32,359
Other		158,322
Total expenses		12,217,683
Less waivers and reimbursements of expenses		(7,631)
Net expenses		12,210,052


Net Investment Income		23,940,368


Realized and Unrealized Gain (Loss)
Net realized gain (loss) on:
Investments from unaffiliated companies		137,060,053
Foreign currency transactions		(37,360)
Net realized gain		137,022,693
Net change in unrealized appreciation/depreciation on:
Investments (net of foreign capital gains tax of $158,819)		(38,589,044)
Translation of assets and liabilities denominated in foreign currencies		2,864,584
Net change in unrealized appreciation/depreciation		(35,724,460)


Net Increase in Net Assets Resulting from Operations	$	125,238,601

See accompanying Notes to Financial Statements.

9 OPPENHEIMER GLOBAL FUND/VA

STATEMENTSOF CHANGES IN NET ASSETS


	Six Months Ended June 30, 2014 (Unaudited)		Year Ended December 31, 2013
Operations
Net investment income	$	23,940,368	$	28,157,519
Net realized gain		137,022,693		152,735,701
Net change in unrealized appreciation/depreciation		(35,724,460)		483,471,092
Net increase in net assets resulting from operations		125,238,601		664,364,312


Dividends and/or Distributions to Shareholders
Dividends from net investment income:
Non-Service shares		(16,920,300)		(18,448,869)
Service shares		(10,958,440)		(13,851,660)
Class 3 shares¹		—		(2,430,857)
Class 4 shares¹		—		(953,729)
		(27,878,740)		(35,685,115)


Distributions from net realized gain:
Non-Service shares		(69,030,952)		—
Service shares		(57,658,820)		—
		(126,689,772)		—


Beneficial Interest Transactions
Net increase (decrease) in net assets resulting from beneficial interest transactions:
Non-Service shares		4,087,046		(158,236,204)
Service shares		494,337		(180,268,543)
Class 3 shares¹		—		(12,837,160)
Class 4 shares¹		—		1,813,300
		4,581,383		(349,528,607)


Net Assets
Total increase (decrease)		(24,748,528)		279,150,590
Beginning of period		2,901,519,056		2,622,368,466

End of period (including accumulated net investment income of $23,647,260 and $27,585,632, respectively)	$	2,876,770,528	$	2,901,519,056

1. Effective April 30, 2014, Class 3 and Class 4 shares of the Fund were reclassified as Non-Service shares and Service shares, respectively.

See accompanying Notes to Financial Statements.

10 OPPENHEIMER GLOBAL FUND/VA

FINANCIAL HIGHLIGHTS


Non-Service Shares	Six Months Ended June 30, 2014 (Unaudited)		Year Ended December 31, 2013		Year Ended December 31, 2012		Year Ended December 30, 2011¹		Year Ended December 31, 2010		Year Ended December 31, 2009
Per Share Operating Data
Net asset value, beginning of period	$	40.86	$	32.55	$	27.46	$	30.30	$	26.50	$	20.21
Income (loss) from investment operations:
Net investment income²		0.37		0.41		0.44		0.65		0.33		0.33
Net realized and unrealized gain (loss)		1.47		8.40		5.29		(3.11)		3.85		6.94
Total from investment operations		1.84		8.81		5.73		(2.46)		4.18		7.27
Dividends and/or distributions to shareholders:
Dividends from net investment income		(0.46)		(0.50)		(0.64)		(0.38)		(0.38)		(0.50)
Distributions from net realized gain		(1.86)		0.00		0.00		0.00		0.00		(0.48)
Total dividends and/or distributions to shareholders		(2.32)		(0.50)		(0.64)		(0.38)		(0.38)		(0.98)
Net asset value, end of period	$	40.38	$	40.86	$	32.55	$	27.46	$	30.30	$	26.50


Total Return, at Net Asset Value³		4.57%		27.31%		21.27%		(8.29)%		15.96%		39.77%


Ratios/Supplemental Data
Net assets, end of period (in thousands)	$	1,576,526	$	1,397,026	$	1,252,127	$	1,165,141	$	1,410,764	$	1,364,597
Average net assets (in thousands)	$	1,555,592	$	1,333,848	$	1,206,244	$	1,335,403	$	1,336,110	$	1,206,240
Ratios to average net assets:⁴
Net investment income		1.81%		1.13%		1.48%		2.17%		1.22%		1.51%
Total expenses⁵		0.75%		0.77%		0.76%		0.76%		0.76%		0.75%
Expenses after payments, waivers and/or reimbursements and reduction to custodian expenses		0.75%		0.77%		0.76%		0.76%		0.76%		0.75%
Portfolio turnover rate		5%		11%		14%		13%		15%		11%

1. December 30, 2011 represents the last business day of the Fund’s reporting period.

2. Per share amounts calculated based on the average shares outstanding during the period.

4. Annualized for periods less than one full year.

5. Total expenses including indirect expenses from affiliated fund were as follows:


		Six Months Ended June 30, 2014		0.75%
		Year Ended December 31, 2013		0.77%
		Year Ended December 31, 2012		0.76%
		Year Ended December 30, 2011		0.76%
		Year Ended December 31, 2010		0.76%
		Year Ended December 31, 2009		0.75%

See accompanying Notes to Financial Statements.

11 OPPENHEIMER GLOBAL FUND/VA

FINANCIAL HIGHLIGHTS Continued


Service Shares	Six Months Ended June 30, 2014 (Unaudited)		Year Ended December 31, 2013		Year Ended December 31, 2012		Year Ended December 30, 2011¹		Year Ended December 31, 2010		Year Ended December 31, 2009
Per Share Operating Data
Net asset value, beginning of period	$	40.47	$	32.25	$	27.21	$	30.04	$	26.28	$	20.02
Income (loss) from investment operations:
Net investment income²		0.31		0.32		0.36		0.56		0.26		0.27
Net realized and unrealized gain (loss)		1.46		8.32		5.25		(3.08)		3.82		6.90
Total from investment operations		1.77		8.64		5.61		(2.52)		4.08		7.17
Dividends and/or distributions to shareholders:
Dividends from net investment income		(0.35)		(0.42)		(0.57)		(0.31)		(0.32)		(0.43)
Distributions from net realized gain		(1.86)		0.00		0.00		0.00		0.00		(0.48)
Total dividends and/or distributions to shareholders		(2.21)		(0.42)		(0.57)		(0.31)		(0.32)		(0.91)
Net asset value, end of period	$	40.03	$	40.47	$	32.25	$	27.21	$	30.04	$	26.28


Total Return, at Net Asset Value³		4.46%		26.99%		20.95%		(8.53)%		15.70%		39.36%


Ratios/Supplemental Data
Net assets, end of period (in thousands)	$	1,300,245	$	1,216,285	$	1,130,388	$	1,003,839	$	1,101,584	$	980,485
Average net assets (in thousands)	$	1,286,307	$	1,174,119	$	1,069,295	$	1,091,128	$	997,627	$	830,887
Ratios to average net assets:⁴
Net investment income		1.56%		0.89%		1.23%		1.90%		0.96%		1.23%
Total expenses⁵		1.00%		1.02%		1.01%		1.01%		1.01%		1.00%
Expenses after payments, waivers and/or reimbursements and reduction to custodian expenses		1.00%		1.02%		1.01%		1.01%		1.01%		1.00%
Portfolio turnover rate		5%		11%		14%		13%		15%		11%

1. December 30, 2011 represents the last business day of the Fund’s reporting period.

2. Per share amounts calculated based on the average shares outstanding during the period.

4. Annualized for periods less than one full year.

5. Total expenses including indirect expenses from affiliated fund were as follows:


		Six Months Ended June 30, 2014		1.00%
		Year Ended December 31, 2013		1.03%
		Year Ended December 31, 2012		1.01%
		Year Ended December 30, 2011		1.01%
		Year Ended December 31, 2010		1.01%
		Year Ended December 31, 2009		1.00%

See accompanying Notes to Financial Statements.

12 OPPENHEIMER GLOBAL FUND/VA

NOTESTO FINANCIAL STATEMENTS June 30, 2014 Unaudited

1. Significant Accounting Policies

Oppenheimer Global Fund/VA (the “Fund”), formerly Oppenheimer Global Securities Fund/VA, a separate series of Oppenheimer Variable Account Funds, is a diversified open-end management investment company registered under the Investment Company Act of 1940, as amended. The Fund’s investment objective is to seek capital appreciation. The Fund’s investment adviser is OFI Global Asset Management, Inc. (“OFI Global” or the “Manager”), a wholly-owned subsidiary of OppenheimerFunds, Inc. (“OFI” or the “Sub-Adviser”). The Manager has entered into a sub-advisory agreement with OFI. Shares of the Fund are sold only to separate accounts of life insurance companies.

The following is a summary of significant accounting policies consistently followed by the Fund.

During the fiscal year ended December 31, 2013, the Fund utilized $9,934,353 of capital loss carryforward to offset capital gains realized in that fiscal year.

13 OPPENHEIMER GLOBAL FUND/VA

NOTESTO FINANCIAL STATEMENTS Unaudited / Continued

1. Significant Accounting Policies (Continued)


Federal tax cost of securities	$	1,602,839,102

Gross unrealized appreciation	$	1,326,697,056
Gross unrealized depreciation		(54,022,260)
Net unrealized appreciation	$	1,272,674,796

Certain foreign countries impose a tax on capital gains which is accrued by the Fund based on unrealized appreciation, if any, on affected securities. The tax is paid when the gain is realized.

Security Transactions. Security transactions are recorded on the trade date. Realized gains and losses on securities sold are determined on the basis of identified cost.

2. Securities Valuation

14 OPPENHEIMER GLOBAL FUND/VA

2. Securities Valuation (Continued)

Valuation Methods and Inputs

Securities are valued using unadjusted quoted market prices, when available, as supplied primarily by third party pricing services or dealers.

The following methodologies are used to determine the market value or the fair value of the types of securities described below:

Shares of a registered investment company that are not traded on an exchange are valued at that investment company’s net asset value per share.

A description of the standard inputs that may generally be considered by the third party pricing vendors in determining their evaluated prices is provided below.


Security Type		Standard inputs generally considered by third-party pricing vendors
Corporate debt, government debt, municipal, mortgage-backed and asset-backed securities		Reported trade data, broker-dealer price quotations, benchmark yields, issuer spreads on comparable securities, the credit quality, yield, maturity, and other appropriate factors.
Loans		Information obtained from market participants regarding reported trade data and broker-dealer price quotations.
Event-linked bonds		Information obtained from market participants regarding reported trade data and broker-dealer price quotations.

Classifications

15 OPPENHEIMER GLOBAL FUND/VA

NOTESTO FINANCIAL STATEMENTS Unaudited / Continued

2. Securities Valuation (Continued)

1) Level 1-unadjusted quoted prices in active markets for identical assets or liabilities (including securities actively traded on a securities exchange)

3) Level 3-significant unobservable inputs (including the Manager’s own judgments about assumptions that market participants would use in pricing the asset or liability).

The inputs used for valuing securities are not necessarily an indication of the risks associated with investing in those securities.

The table below categorizes amounts that are included in the Fund’s Statement of Assets and Liabilities as of June 30, 2014 based on valuation input level:


	Level 1— Unadjusted Quoted Prices		Level 2— Other Significant Observable Inputs		Level 3— Significant Unobservable Inputs		Value
Assets Table
Investments, at Value:
Common Stocks
Consumer Discretionary	$	152,516,427	$	198,922,290	$	—	$	351,438,717
Consumer Staples		98,510,590		79,646,780		—		178,157,370
Energy		19,559,321		86,572,828		—		106,132,149
Financials		200,586,158		399,477,028		—		600,063,186
Health Care		311,709,634		126,970,576		—		438,680,210
Industrials		117,837,408		220,749,177		—		338,586,585
Information Technology		423,043,831		246,491,462		—		669,535,293
Materials		12,580,142		41,067,599		—		53,647,741
Telecommunication Services		—		44,428,031		—		44,428,031
Preferred Stocks		26,670,536		57,886,883		—		84,557,419
Rights, Warrants and Certificates		—		553,278		—		553,278
Investment Company		9,733,919		—		—		9,733,919
Total Assets	$	1,372,747,966	$	1,502,765,932	$	—	$	2,875,513,898

Foreign currency exchange contracts and futures contracts, if any, are reported at their unrealized appreciation/ depreciation at measurement date, which represents the change in the contract’s value from trade date. All additional assets and liabilities included in the above table are reported at their market value at measurement date.

3. Shares of Beneficial Interest

The Fund has authorized an unlimited number of $0.001 par value shares of beneficial interest of each class. Transactions in shares of beneficial interest were as follows:


	Six Months Ended June 30, 2014				Year Ended December 31, 2013
	Shares		Amount		Shares			Amount
Non-Service Shares
Sold		5,282,795	$	216,175,530		2,054,395		$	74,312,252
Dividends and/or distributions reinvested		2,154,167		85,951,252		517,530			18,448,869
Redeemed		(7,255,075)		(298,039,736)¹		(6,851,884	)		(250,997,325)
Net increase (decrease)		181,887	$	4,087,046		(4,279,959	)	$	(158,236,204)


Service Shares
Sold		3,084,747	$	124,874,680		1,803,731		$	65,522,799
Dividends and/or distributions reinvested		1,734,511		68,617,260		391,733			13,851,660
Redeemed		(4,760,096)		(192,997,603)¹		(7,192,815	)		(259,643,002)
Net increase (decrease)		59,162	$	494,337		(4,997,351	)	$	(180,268,543)


Class 3 Shares²
Sold		—	$	—		274,924		$	9,972,302
Dividends and/or distributions reinvested		—		—		67,712			2,430,857
Redeemed		—		—		(693,858	)		(25,240,319)³
Net decrease		—	$	—		(351,222	)	$	(12,837,160)


Class 4 Shares²
Sold		—	$	—		301,288		$	11,069,712
Dividends and/or distributions reinvested		—		—		26,919			953,729
Redeemed		—		—		(289,896	)		(10,210,141)³
Net increase		—	$	—		38,311		$	1,813,300

16 OPPENHEIMER GLOBAL FUND/VA

3. Shares of Beneficial Interest (Continued)

1. Net of redemption fees of $1,517 and $1,367 for Class Non-Service and Class Service, respectively.

2. Effective April 30, 2014, Class 3 and Class 4 shares of the Fund were reclassified as Non-Service shares and Service shares, respectively.

3. Net of redemption fees of $11,326 and $4,748 for Class 3 and Class 4, respectively.

4. Purchases and Sales of Securities

The aggregate cost of purchases and proceeds from sales of securities, other than short-term obligations and investments in IMMF, for the six months ended June 30, 2014 were as follows:


	Purchases		Sales

Investment securities	$	154,186,612	$	293,197,518

5. Fees and Other Transactions with Affiliates

Management Fees. Under the investment advisory agreement, the Fund pays the Manager a management fee based on the daily net assets of the Fund at an annual rate as shown in the following table:


Fee Schedule
Up to $200 million			0.75%
Next $200 million			0.72
Next $200 million			0.69
Next $200 million			0.66
Next $4.2 billion			0.60
Over $5 billion			0.58

Waivers and Reimbursements of Expenses. The Manager has voluntarily agreed to limit the Fund’s expenses after payments, waivers and/or reimbursements and reduction to custodian expenses, excluding expenses incurred directly or indirectly by the Fund as a result of investments in other investment companies, wholly-owned subsidiaries and pooled investment vehicles; so that those expenses, as percentages of daily net assets, will not exceed the annual rate of 1.00% for Non-Service shares and 1.25% for Service shares.

Some of these undertakings may be modified or terminated at any time; some may not be modified or terminated until after one year from the date of the current prospectus, as indicated therein.

6. Pending Litigation

17 OPPENHEIMER GLOBAL FUND/VA

NOTESTO FINANCIAL STATEMENTS Unaudited / Continued

6. Pending Litigation (Continued)

certain officers and current and former trustees of the respective Defendant Funds. The lawsuits raised claims under federal securities law and alleged, among other things, that the disclosure documents of the respective Defendant Funds contained misrepresentations and omissions and that the respective Defendant Funds’ investment policies were not followed. The plaintiffs in these actions sought unspecified damages, equitable relief and awards of attorneys’ fees and litigation expenses. The Defendant Funds’ Boards of Trustees also engaged counsel to represent the Funds and the present and former Independent Trustees named in those suits. On March 5, 2014, the parties in six of these lawsuits executed stipulations and agreements of settlement resolving those actions. On July 31, 2014, the court entered an order and final judgment approving the settlements as fair, reasonable and adequate. The settlements do not resolve a seventh outstanding lawsuit relating to Oppenheimer Rochester California Municipal Fund.

18 OPPENHEIMER GLOBAL FUND/VA

PORTFOLIO PROXY VOTING POLICIES AND PROCEDURES; UPDATES TO STATEMENTS OF INVESTMENTS Unaudited

19 OPPENHEIMER GLOBAL FUND/VA

OPPENHEIMER GLOBAL FUND/VA


A Series of Oppenheimer Variable Account Funds
Trustees and Officers		Sam Freedman, Chairman of the Board of Trustees and Trustee
		Edward L. Cameron, Trustee
		Jon S. Fossel, Trustee
		Richard F. Grabish, Trustee
		Beverly L. Hamilton, Trustee
		Victoria J. Herget, Trustee
		Robert J. Malone, Trustee
		F. William Marshall, Jr., Trustee
		Karen L. Stuckey, Trustee
		James D. Vaughn, Trustee
		William F. Glavin, Jr., Trustee, President and Principal Executive Officer
		Rajeev Bhaman, Vice President
		Arthur S. Gabinet, Secretary and Chief Legal Officer
		Christina M. Nasta, Vice President and Chief Business Officer
		Mary Ann Picciotto, Chief Compliance Officer and Chief Anti-Money Laundering Officer
		Brian W. Wixted, Treasurer and Principal Financial & Accounting Officer

Manager		OFI Global Asset Management, Inc.

Sub-Adviser		OppenheimerFunds, Inc.

Distributor		OppenheimerFunds Distributor, Inc.

Transfer and		OFI Global Asset Management, Inc.
Shareholder
Servicing Agent

Sub-Transfer Agent		Shareholder Services, Inc.
		DBA OppenheimerFunds Services

Independent		KPMG LLP
Registered
Public
Accounting
Firm

Counsel		K&L Gates LLP

		Before investing in any of the Oppenheimer funds, investors should carefully consider a Fund’s investment objective, risks, and charges and expenses. Fund prospectuses and summary prospectuses contain this and other information about the funds, and may be obtained by asking your financial advisor, visiting oppenheimerfunds.com or calling us at 1.800.988.8287. Read prospectuses and summary prospectuses carefully before investing.

		The financial statements included herein have been taken from the records of the Fund without examination of those records by the independent registered public accounting firm.

		© 2014 OppenheimerFunds, Inc. All rights reserved. Oppenheimer funds are distributed by OppenheimerFunds Distributor, Inc.

LOGO

Portfolio Managers: Manind Govil, CFA, Benjamin Ram and Paul Larson¹

Cumulative Total Returns

For the 6-Month Period Ended 6/30/14


Non-Service Shares	6.19	%
Service Shares	6.06	%


Average Annual Total Returns For the Periods Ended 6/30/14
	1-Year	5-Year	10-Year
Non-Service Shares	25.80%	17.85%	7.37%
Service Shares	25.50%	17.56%	7.10%

Performance data quoted represents past performance, which does not guarantee future results. The investment return and principal value of an investment in the Fund will fluctuate so that an investor’s shares, when redeemed, may be worth more or less than their original cost. Current performance may be lower or higher than the performance quoted. For performance data current to the most recent month end, call us at 1.800.988.8287. The Fund’s total returns should not be expected to be the same as the returns of other funds, whether or not both funds have the same portfolio managers and/or similar names. The Fund’s total returns include changes in share price and reinvested distributions but do not include the charges associated with the separate account products that offer this Fund. Such performance would have been lower if such charges were taken into account.


TOP TEN COMMON STOCK HOLDINGS
Apple, Inc.	4.1	%
Chevron Corp.	3.8
National Oilwell Varco, Inc.	3.2
General Electric Co.	3.1
Google, Inc., Cl. C	2.9
Noble Energy, Inc.	2.9
Philip Morris International, Inc.	2.9
Tyco International Ltd.	2.9
Mondelez International, Inc., Cl. A	2.9
Citigroup, Inc.	2.7

Portfolio holdings and allocations are subject to change. Percentages are as of June 30, 2014, and are based on net assets. For more current Fund holdings, please visit oppenheimerfunds.com.

Sector Allocation

LOGO

Portfolio holdings and allocations are subject to change. Percentages are as of June 30, 2014, and are based on the total market value of common stocks.

1. Paul Larson became a Portfolio Manager in April 2014.

2 OPPENHEIMER MAIN STREET FUND/VA

Fund Performance Discussion

The Fund’s Non-Service shares produced a return of 6.19% during the period, underperforming the S&P 500 Index (the “Index”), which returned 7.14%. The Fund’s underperformance relative to the Index stemmed primarily from weaker relative stock selection in the financials sector. Also detracting from performance were information technology, energy and consumer staples, where less favorable stock selection resulted in underperformance. The Fund outperformed in the health care sector due to stronger relative stock selection and an overweight position, and in the consumer discretionary sector, as a result of stock selection and an underweight position.

GLOBAL MARKET AND ECONOMIC ENVIRONMENT

Against this backdrop, sustained low interest rates continued to boost demand for higher dividend yielding stocks as investors sought alternative sources of current income. As a result, utilities remained one of the top performing sectors. Oil prices spiked during the reporting period, reflecting increased tensions in the Middle East and concerns that output from the Iraqi oil fields would be curtailed. Not surprisingly, energy stocks responded by rallying strongly, making this sector another strong performer this period.

Finally, there was a pick-up in mergers and acquisitions (M&A). A driving force that has garnered considerable headline attention was Corporate America’s aim to put the cash that has built-up on overseas balance sheets to productive use. This, combined with an opportunity to lower overall corporate tax rates, resulted in a plethora of proposed acquisitions – targeted at companies domiciled in desirable geographic tax havens. This was especially evident in the health care sector – with Pfizer attempting to merge with Astra-Zeneca and, more recently, Medtronic communicating its intention to acquire Covidien. Regardless of the motivation, the pick-up in M&A activity generally benefited the stock price of both acquiree and acquirer.

TOP INDIVIDUAL CONTRIBUTORS

Top contributing holdings this reporting period included health care stocks Allergan, Inc. and Actavis plc, along with information technology holding Apple, Inc. Allergan is a leading maker of eye care, skin care and aesthetic products, including Botox. Allergan’s stock price jumped when pharmaceutical firm Valeant, in conjunction with activist investor Bill Ackman of Pershing Square, announced their intention to acquire the company. While Allergan’s management has so far resisted this overture, on the premise that the acquisition price underestimates the company’s worth, Allergan’s stock price has remained elevated, trading within close range of the valuation proposed by the Valeant/Pershing Square team. Actavis develops and markets branded, generic, and over-the-counter products worldwide. The stock reacted favorably after management preannounced a positive earnings surprise due mostly to revenue synergies and cost savings from the recent merger with Warner Chilcott. Free cash generation was above expectations as well, and was used to pay down debt. This reduced balance sheet leverage, thus providing financial flexibility for additional acquisitions to further the company’s growth initiatives. Later in the reporting period, management announced the acquisition of Forest Labs. This news was well received as Forest not only accelerates the revenue growth potential for Actavis, but in our opinion, also should result in increased profitability as higher margin branded drugs become a larger percentage of the company’s business. Apple performed well during the second half of 2013 due to excitement surrounding the introduction of two new iPhones as well as the addition of China Mobile as a distribution partner. Apple also rallied strongly in April 2014 after iPhone sales came in higher than analysts anticipated and the company announced a 7-for-1 stock split and increased both its dividend and share repurchases.

3 OPPENHEIMER MAIN STREET FUND/VA

TOP INDIVIDUAL DETRACTORS

Detractors from performance this reporting period included CIT Group, Inc., Towers Watson & Co. and eBay, Inc. The financials sector was a weaker performing sector of the Index as ongoing low rates of interest continued to pressure the profitability of most stocks in the sector, including CIT Group, a lender to small and middle market customers. Lower than expected fee revenue hurt profit margins – and this, combined with a contracting net interest margin, resulted in a diminished earnings outlook. As a partial offset, management announced further share repurchases. Towers Watson provides human resource and financial services consulting, including employee benefit programs such as retirement-related services and health exchange solutions. The stock reacted negatively when earnings were reported. Retirement revenues were shy of expectations and the company’s bottom-line result was mostly driven by lower quality items, such as a reduced tax rate. Impacting the stock most significantly was lowered guidance from management. We have sold our holdings as our conviction in management’s ability to execute has been reduced. eBay operates both an online auction and third party sales site and the internet-based payment service PayPal. Despite an earnings report that topped expectations the stock reacted negatively when management lowered guidance. We believe PayPal, eBay’s payments business, should continue its strong upward trajectory, but a growth deceleration for Marketplace, eBay’s on-line retailing, is projected to detract from results near-term. Additionally, eBay continues to invest for growth, which should keep expenses elevated above normal. Helping to partly offset these headwinds, management announced its intention to repatriate cash from overseas operations and is expected to use much of this to accelerate its stock repurchases. We lowered our exposure in the stock.

STRATEGY & OUTLOOK

Corporate profitability — at, or near peak levels — looks vulnerable, especially if employment picks-up and wage inflation begins to affect profit margins. In our view, productivity gains and even the pick-up in M&A activity could help sustain operating profitability. However, after tax margins may be poised to contract as these have benefited greatly from financial engineering, including lower tax rates and, more importantly, lower cost of debt financing due to the Fed’s actions. We believe both are likely to have a diminished impact going forward.

While we are mindful of the potential pressure on profitability, we are also increasingly cognizant of “industry disruptors.” New and innovative technologies have always had a transformational effect, but other forms of disruption are now becoming pervasive across industries. The emergence of online retailing, the boom of shale oil and gas in North America, and the Affordable Care Act in health care are examples of industry disruptors likely to have a substantial and sustainable impact. These disruptors can be either opportunities or threats. Our job is to figure out which.

Given this backdrop, our approach remains consistent. We aim to construct an “all weather” portfolio by targeting companies that we believe have: 1) sustainable competitive advantages; 2) skilled management with a proven track record of executing effectively; and 3) financial resources to generate improving profitability, gain market share, and/or return significant cash to shareholders. During times of volatile or slow economic growth such companies frequently widen their lead over weaker competitors. We seek to invest in companies characterized by these qualities at compelling valuations and believe this disciplined approach is essential in seeking to generate superior long-term performance.

The Fund’s investment strategy and focus can change over time. The mention of specific fund holdings does not constitute a recommendation by OppenheimerFunds, Inc. or its affiliates.

4 OPPENHEIMER MAIN STREET FUND/VA

Fund Expenses

The examples are based on an investment of $1,000.00 invested at the beginning of the period and held for the entire 6-month period ended June 30, 2014.

Hypothetical Example for Comparison Purposes.


Actual	Beginning Account Value January 1, 2014		Ending Account Value June 30, 2014		Expenses Paid During 6 Months Ended June 30, 2014
Non-Service shares	$	1,000.00	$	1,061.90	$	3.94
Service shares		1,000.00		1,060.60		5.22

Hypothetical (5% return before expenses)
Non-Service shares		1,000.00		1,020.98		3.87
Service shares		1,000.00		1,019.74		5.12


Class		Expense Ratios
Non-Service shares		0.77%
Service shares		1.02

5 OPPENHEIMER MAIN STREET FUND/VA


STATEMENTOF INVESTMENTS June 30, 2014 Unaudited


	Shares		Value

Common Stocks—98.0%

Consumer Discretionary—9.8%

Auto Components—1.5%

Delphi Automotive plc		312,130	$	21,455,816


Automobiles—1.1%

General Motors Co.		417,110		15,141,093


Media—3.4%

Comcast Corp., Cl. A		696,180		37,370,942

Twenty-First Century Fox, Inc., Cl. A		332,710		11,694,757

				49,065,699


Specialty Retail—3.2%

AutoZone, Inc.¹		68,600		36,786,064

TJX Cos., Inc. (The)		185,680		9,868,892

				46,654,956


Textiles, Apparel & Luxury Goods—0.6%

PVH Corp.		70,530		8,223,798


Consumer Staples—9.2%

Beverages—2.0%

Diageo plc		922,160		29,355,395


Food Products—2.9%

Mondelez International, Inc., Cl. A		1,095,210		41,190,848


Household Products—1.4%

Henkel AG & Co. KGaA		194,208		19,543,105


Tobacco—2.9%

Philip Morris International, Inc.		501,989		42,322,693


Energy—9.9%

Energy Equipment & Services—3.2%

National Oilwell Varco, Inc.		559,360		46,063,296


Oil, Gas & Consumable Fuels—6.7%

Chevron Corp.		414,720		54,141,696

Noble Energy, Inc.		546,610		42,340,411

				96,482,107


Financials—18.2%

Commercial Banks—7.0%

CIT Group, Inc.		643,610		29,451,593

Citigroup, Inc.		818,518		38,552,198

JPMorgan Chase & Co.		564,290		32,514,390

				100,518,181


Consumer Finance—1.6%

Discover Financial Services		361,403		22,399,758


Diversified Financial Services—3.8%

CME Group, Inc.		387,880		27,520,086

McGraw Hill Financial, Inc.		330,151		27,412,438

				54,932,524


Insurance—5.3%

American International Group, Inc.		635,240		34,671,399

Genworth Financial, Inc., Cl. A¹		824,450		14,345,430

Lincoln National Corp.		194,250		9,992,220

Marsh & McLennan Cos., Inc.		333,820		17,298,553

				76,307,602


Real Estate Investment Trusts (REITs)—0.5%

Digital Realty Trust, Inc.		116,920		6,818,774


Health Care—16.1%

Biotechnology—2.2%

Gilead Sciences, Inc.¹		383,320		31,781,061


	Shares		Value

Health Care Equipment & Supplies—1.4%

Covidien plc		147,700	$	13,319,586

Intuitive Surgical, Inc.¹		18,010		7,416,518

				20,736,104


Health Care Providers & Services—3.9%

Express Scripts Holding Co.¹		532,697		36,931,883

UnitedHealth Group, Inc.		225,790		18,458,332

				55,390,215


Pharmaceuticals—8.6%

AbbVie, Inc.		285,210		16,097,252

Actavis plc¹		148,670		33,160,844

Allergan, Inc.		141,290		23,909,094

Pfizer, Inc.		1,158,009		34,369,707

Zoetis, Inc.		479,940		15,487,664

				123,024,561


Industrials—11.7%

Commercial Services & Supplies—3.5%

Republic Services, Inc., Cl. A		244,630		9,288,601

Tyco International Ltd.		909,225		41,460,660

				50,749,261


Industrial Conglomerates—3.1%

General Electric Co.		1,689,120		44,390,074


Machinery—2.7%

Deere & Co.		424,110		38,403,160


Road & Rail—2.4%

Canadian National Railway Co.		452,980		29,452,760

CSX Corp.		174,960		5,390,517

				34,843,277


Information Technology—18.3%

Electronic Equipment, Instruments, & Components—0.4%

Corning, Inc.		262,940		5,771,533


Internet Software & Services—7.7%

eBay, Inc.¹		490,135		24,536,158

Facebook, Inc., Cl. A¹		222,680		14,984,138

Google, Inc., Cl. A¹		48,700		28,473,429

Google, Inc., Cl. C¹		73,490		42,277,327

				110,271,052


IT Services—3.5%

Amdocs Ltd.		372,170		17,242,636

MasterCard, Inc., Cl. A		366,710		26,942,184

Xerox Corp.		526,340		6,547,669

				50,732,489


Semiconductors & Semiconductor Equipment—0.4%

Applied Materials, Inc.		279,210		6,296,185


Technology Hardware, Storage & Peripherals—6.3%

Apple, Inc.		632,104		58,741,425

Western Digital Corp.		337,800		31,178,940

				89,920,365


Materials—1.7%

Construction Materials—1.7%

Vulcan Materials Co.		379,300		24,180,375


Telecommunication Services—1.7%

Diversified Telecommunication Services—1.7%

Verizon Communications, Inc.		493,110		24,127,872


Utilities—1.4%

Electric Utilities—1.4%

Exelon Corp.		548,222		19,999,139

Total Common Stocks (Cost $963,378,028)				1,407,092,367

6 OPPENHEIMER MAIN STREET FUND/VA


	Shares		Value

Preferred Stock—0.4%

Henkel AG & Co. KGaA, Preference (Cost $3,560,676)		47,970	$	5,548,884


Investment Company—1.9%

Oppenheimer Institutional Money Market Fund, Cl. E, 0.09%^2,3 (Cost $27,280,094)		27,280,094		27,280,094


Total Investments, at Value (Cost $994,218,798)		100.3%		1,439,921,345

Net Other Assets (Liabilities)		(0.3)		(3,832,777)

Net Assets		100.0%	$	1,436,088,568

Footnotes to Statement of Investments

1. Non-income producing security.

2. Rate shown is the 7-day yield as of June 30, 2014.

3. Is or was an affiliate, as defined in the Investment Company Act of 1940, at or during the period ended June 30, 2014, by virtue of the Fund owning at least 5% of the voting securities of the issuer or as a result of the Fund and the issuer having the same investment adviser. Transactions during the period in which the issuer was an affiliate are as follows:


	Shares December 31, 2013		Gross Additions		Gross Reductions		Shares June 30, 2014

Oppenheimer Institutional Money Market Fund, Cl. E		28,023,569		185,832,470		186,575,945		27,280,094

					Value		Income

Oppenheimer Institutional Money Market Fund, Cl. E					$	27,280,094	$	5,388

See accompanying Notes to Financial Statements.

7 OPPENHEIMER MAIN STREET FUND/VA

STATEMENTOF ASSETS AND LIABILITIES June 30, 2014 Unaudited




Assets
Investments, at value—see accompanying statement of investments:
Unaffiliated companies (cost $966,938,704)	$	1,412,641,251
Affiliated companies (cost $27,280,094)		27,280,094

		1,439,921,345

Cash		501,644

Receivables and other assets:
Dividends		1,775,412
Shares of beneficial interest sold		1,835
Other		92,186

Total assets		1,442,292,422


Liabilities
Payables and other liabilities:
Investments purchased		3,572,497
Shares of beneficial interest redeemed		2,283,501
Distribution and service plan fees		179,768
Trustees’ compensation		83,464
Shareholder communications		71,174
Other		13,450

Total liabilities		6,203,854


Net Assets	$	1,436,088,568



Composition of Net Assets
Par value of shares of beneficial interest	$	44,730

Additional paid-in capital		875,936,745

Accumulated net investment income		4,704,994

Accumulated net realized gain on investments and foreign currency transactions		109,702,429

Net unrealized appreciation on investments and translation of assets and liabilities denominated in foreign currencies		445,699,670

Net Assets	$	1,436,088,568



Net Asset Value Per Share
Non-Service Shares:
Net asset value, redemption price (excludes applicable contingent deferred sales charge) and offering price per share (based on net assets of $563,344,520 and 17,473,822 shares of beneficial interest outstanding)		$32.24

Service Shares:
Net asset value, redemption price (excludes applicable contingent deferred sales charge) and offering price per share (based on net assets of $872,744,048 and 27,256,230 shares of beneficial interest outstanding)		$32.02

See accompanying Notes to Financial Statements.

8 OPPENHEIMER MAIN STREET FUND/VA

STATEMENTOF OPERATIONS For the Six Months Ended June 30, 2014 Unaudited




Investment Income
Dividends:
Unaffiliated companies (net of foreign withholding taxes of $70,445)	$	11,343,635
Affiliated companies		5,388

Total investment income		11,349,023


Expenses
Management fees		4,593,372

Distribution and service plan fees - Service shares		1,080,157

Transfer and shareholder servicing agent fees:
Non-Service shares		271,259
Service shares		432,275

Shareholder communications:
Non-Service shares		25,205
Service shares		40,270

Custodian fees and expenses		5,130

Trustees’ compensation		27,625

Other		39,928

Total expenses		6,515,221
Less waivers and reimbursements of expenses		(7,040)

Net expenses		6,508,181


Net Investment Income		4,840,842


Realized and Unrealized Gain (Loss)
Net realized gain on:
Investments from unaffiliated companies		118,472,845
Foreign currency transactions		10,144

Net realized gain		118,482,989

Net change in unrealized appreciation/depreciation on:
Investments		(39,043,724)
Translation of assets and liabilities denominated in foreign currencies		(363,062)

Net change in unrealized appreciation/depreciation		(39,406,786)


Net Increase in Net Assets Resulting from Operations	$	83,917,045

See accompanying Notes to Financial Statements.

9 OPPENHEIMER MAIN STREET FUND/VA

STATEMENTSOF CHANGES IN NET ASSETS


	Six Months Ended June 30, 2014 (Unaudited)		Year Ended December 31, 2013

Operations
Net investment income	$	4,840,842	$	9,996,436

Net realized gain		118,482,989		233,270,981

Net change in unrealized appreciation/depreciation		(39,406,786)		144,474,017

Net increase in net assets resulting from operations		83,917,045		387,741,434


Dividends and/or Distributions to Shareholders
Dividends from net investment income:
Non-Service shares		(4,608,478)		(5,738,189)
Service shares		(4,983,477)		(7,658,030)

		(9,591,955)		(13,396,219)

Distributions from net realized gain:
Non-Service shares		(11,141,625)		—
Service shares		(17,524,841)		—

		(28,666,466)		—


Beneficial Interest Transactions
Net decrease in net assets resulting from beneficial interest transactions:
Non-Service shares		(14,988,899)		(57,546,662)
Service shares		(70,623,665)		(191,217,253)

		(85,612,564)		(248,763,915)


Net Assets
Total increase (decrease)		(39,953,940)		125,581,300

Beginning of period		1,476,042,508		1,350,461,208

End of period (including accumulated net investment income of $4,704,994 and $9,456,107, respectively)	$	1,436,088,568	$	1,476,042,508

See accompanying Notes to Financial Statements.

10 OPPENHEIMER MAIN STREET FUND/VA

FINANCIAL HIGHLIGHTS


Non-Service Shares	Six Months Ended June 30, 2014 (Unaudited)		Year Ended December 31, 2013		Year Ended December 31, 2012		Year Ended December 30, 2011¹		Year Ended December 31, 2010		Year Ended December 31, 2009

Per Share Operating Data
Net asset value, beginning of period	$	31.24	$	23.97	$	20.71	$	20.88	$	18.18	$	14.56

Income (loss) from investment operations:
Net investment income²		0.13		0.24		0.26		0.16		0.17		0.21
Net realized and unrealized gain (loss)		1.79		7.33		3.22		(0.16)		2.73		3.71

Total from investment operations		1.92		7.57		3.48		0.00		2.90		3.92

Dividends and/or distributions to shareholders:
Dividends from net investment income		(0.27)		(0.30)		(0.22)		(0.17)		(0.20)		(0.30)
Distributions from net realized gain		(0.65)		0.00		0.00		0.00		0.00		0.00

Total dividends and/or distributions to shareholders		(0.92)		(0.30)		(0.22)		(0.17)		(0.20)		(0.30)

Net asset value, end of period	$	32.24	$	31.24	$	23.97	$	20.71	$	20.88	$	18.18



Total Return, at Net Asset Value³		6.19%		31.77%		16.87%		(0.01)%		16.11%		28.29%

Ratios/Supplemental Data
Net assets, end of period (in thousands)	$	563,345	$	561,016	$	481,089	$	392,861	$	469,720	$	474,637

Average net assets (in thousands)	$	549,789	$	517,750	$	466,231	$	426,354	$	454,937	$	430,517

Ratios to average net assets:⁴
Net investment income		0.84%		0.87%		1.12%		0.79%		0.93%		1.35%
Total expenses⁵		0.77%		0.78%		0.78%		0.78%		0.78%		0.78%
Expenses after payments, waivers and/or reimbursements and reduction to custodian expenses		0.77%		0.78%		0.78%		0.78%		0.78%		0.78%

Portfolio turnover rate		26%		49%		37%		38%		45%		128%

1. December 30, 2011 represents the last business day of the Fund’s 2011 fiscal year.

2. Per share amounts calculated based on the average shares outstanding during the period.

4. Annualized for periods less than one full year.

5. Total expenses including indirect expenses from affiliated fund were as follows:


Six Months Ended June 30, 2014	0.77	%
Year Ended December 31, 2013	0.78	%
Year Ended December 31, 2012	0.78	%
Year Ended December 30, 2011	0.78	%
Year Ended December 31, 2010	0.78	%
Year Ended December 31, 2009	0.78	%

See accompanying Notes to Financial Statements.

11 OPPENHEIMER MAIN STREET FUND/VA


FINANCIAL HIGHLIGHTS Continued


Service Shares	Six Months Ended June 30, 2014 (Unaudited)		Year Ended December 31, 2013		Year Ended December 31, 2012		Year Ended December 30, 2011¹		Year Ended December 31, 2010		Year Ended December 31, 2009

Per Share Operating Data
Net asset value, beginning of period	$	30.99	$	23.78	$	20.53	$	20.71	$	18.04	$	14.42

Income (loss) from investment operations:
Net investment income²		0.09		0.17		0.20		0.11		0.13		0.17
Net realized and unrealized gain (loss)		1.78		7.27		3.20		(0.17)		2.70		3.70

Total from investment operations		1.87		7.44		3.40		(0.06)		2.83		3.87

Dividends and/or distributions to shareholders:
Dividends from net investment income		(0.19)		(0.23)		(0.15)		(0.12)		(0.16)		(0.25)
Distributions from net realized gain		(0.65)		0.00		0.00		0.00		0.00		0.00

Total dividends and/or distributions to shareholders		(0.84)		(0.23)		(0.15)		(0.12)		(0.16)		(0.25)

Net asset value, end of period	$	32.02	$	30.99	$	23.78	$	20.53	$	20.71	$	18.04



Total Return, at Net Asset Value³		6.06%		31.44%		16.61%		(0.32)%		15.83%		27.99%

Ratios/Supplemental Data
Net assets, end of period (in thousands)	$	872,744	$	915,027	$	869,372	$	1,003,184	$	1,185,456	$	1,154,210

Average net assets (in thousands)	$	876,244	$	895,073	$	913,871	$	1,094,254	$	1,193,630	$	1,029,909

Ratios to average net assets:⁴
Net investment income		0.59%		0.62%		0.85%		0.54%		0.68%		1.10%
Total expenses⁵		1.02%		1.04%		1.03%		1.03%		1.03%		1.03%
Expenses after payments, waivers and/or reimbursements and reduction to custodian expenses		1.02%		1.04%		1.03%		1.03%		1.03%		1.03%

Portfolio turnover rate		26%		49%		37%		38%		45%		128%

1. December 30, 2011 represents the last business day of the Fund’s 2011 fiscal year.

2. Per share amounts calculated based on the average shares outstanding during the period.

4. Annualized for periods less than one full year.

5. Total expenses including indirect expenses from affiliated fund were as follows:


Six Months Ended June 30, 2014	1.02	%
Year Ended December 31, 2013	1.04	%
Year Ended December 31, 2012	1.03	%
Year Ended December 30, 2011	1.03	%
Year Ended December 31, 2010	1.03	%
Year Ended December 31, 2009	1.03	%

See accompanying Notes to Financial Statements.

12 OPPENHEIMER MAIN STREET FUND/VA

NOTESTO FINANCIAL STATEMENTS June 30, 2014 Unaudited

1. Significant Accounting Policies

Oppenheimer Main Street Fund/VA (the “Fund”) is a separate series of Oppenheimer Variable Account Funds, a diversified open-end management investment company registered under the Investment Company Act of 1940, as amended. The Fund’s investment objective is to seek capital appreciation. The Fund’s investment adviser is OFI Global Asset Management, Inc. (“OFI Global” or the “Manager”), a wholly-owned subsidiary of OppenheimerFunds, Inc. (“OFI” or the “Sub-Adviser”). The Manager has entered into a sub-advisory agreement with OFI. Shares of the Fund are sold only to separate accounts of life insurance companies.

The following is a summary of significant accounting policies consistently followed by the Fund.

During the fiscal year ended December 31, 2013, the Fund utilized $198,916,700 of capital loss carryforward to offset capital gains realized in that fiscal year. Details of the fiscal year ended December 31, 2013 capital loss carryforwards are included in the table below. Capital loss carryforwards with no expiration, if any, must be utilized prior to those with expiration dates. Capital losses with no expiration will be carried forward to future years if not offset by gains.


Expiring

2015	$	5,027,976
2016		2,513,988

Total	$	7,541,964

As of June 30, 2014, it is estimated that there will be no capital loss carryforwards. The estimated capital loss carryforward represents the carryforward as of the end of the last fiscal year, increased or decreased by capital losses or gains realized in the first six months of the current fiscal year. During the six months ended June 30, 2014, it is estimated that the Fund will utilize $7,541,964 of capital loss carryforward to offset realized capital gains.

13 OPPENHEIMER MAIN STREET FUND/VA


NOTES TO FINANCIAL STATEMENTS Unaudited / Continued

1. Significant Accounting Policies (Continued)


Federal tax cost of securities	$	995,190,582

Gross unrealized appreciation	$	447,208,517
Gross unrealized depreciation		(2,477,754)

Net unrealized appreciation	$	444,730,763

The tax character of distributions is determined as of the Fund’s fiscal year end. Therefore, a portion of the Fund’s distributions made to shareholders prior to the Fund’s fiscal year end may ultimately be categorized as a tax return of capital.

Security Transactions. Security transactions are recorded on the trade date. Realized gains and losses on securities sold are determined on the basis of identified cost.

2. Securities Valuation

14 OPPENHEIMER MAIN STREET FUND/VA



2. Securities Valuation (Continued)

Valuation Methods and Inputs

Securities are valued using unadjusted quoted market prices, when available, as supplied primarily by third party pricing services or dealers.

The following methodologies are used to determine the market value or the fair value of the types of securities described below:

Shares of a registered investment company that are not traded on an exchange are valued at that investment company’s net asset value per share.

A description of the standard inputs that may generally be considered by the third party pricing vendors in determining their evaluated prices is provided below.


Security Type		Standard inputs generally considered by third-party pricing vendors
Corporate debt, government debt, municipal, mortgage-backed and asset-backed securities		Reported trade data, broker-dealer price quotations, benchmark yields, issuer spreads on comparable securities, the credit quality, yield, maturity, and other appropriate factors.

Loans		Information obtained from market participants regarding reported trade data and broker-dealer price quotations.

Event-linked bonds		Information obtained from market participants regarding reported trade data and broker-dealer price quotations.

Classifications

1) Level 1-unadjusted quoted prices in active markets for identical assets or liabilities (including securities actively traded on a securities exchange)

15 OPPENHEIMER MAIN STREET FUND/VA


NOTES TO FINANCIAL STATEMENTS Unaudited / Continued

2. Securities Valuation (Continued)

3) Level 3-significant unobservable inputs (including the Manager’s own judgments about assumptions that market participants would use in pricing the asset or liability).

The inputs used for valuing securities are not necessarily an indication of the risks associated with investing in those securities.

The table below categorizes amounts that are included in the Fund’s Statement of Assets and Liabilities as of June 30, 2014 based on valuation input level:


	Level 1— Unadjusted Quoted Prices		Level 2— Other Significant Observable Inputs		Level 3— Significant Unobservable Inputs		Value

Assets Table
Investments, at Value:
Common Stocks
Consumer Discretionary	$	140,541,362	$	—	$	—	$	140,541,362
Consumer Staples		83,513,541		48,898,500		—		132,412,041
Energy		142,545,403		—		—		142,545,403
Financials		260,976,839		—		—		260,976,839
Health Care		230,931,941		—		—		230,931,941
Industrials		168,385,772		—		—		168,385,772
Information Technology		262,991,624		—		—		262,991,624
Materials		24,180,374		—		—		24,180,374
Telecommunication Services		24,127,872		—		—		24,127,872
Utilities		19,999,139		—		—		19,999,139
Preferred Stock		—		5,548,884		—		5,548,884
Investment Company		27,280,094		—		—		27,280,094

Total Assets	$	1,385,473,961	$	54,447,384	$	—	$	1,439,921,345

Foreign currency exchange contracts and futures contracts, if any, are reported at their unrealized appreciation/ depreciation at measurement date, which represents the change in the contract’s value from trade date. All additional assets and liabilities included in the above table are reported at their market value at measurement date.

3. Shares of Beneficial Interest

The Fund has authorized an unlimited number of $0.001 par value shares of beneficial interest of each class. Transactions in shares of beneficial interest were as follows:


	Six Months Ended June 30, 2014				Year Ended December 31, 2013
	Shares		Amount		Shares		Amount

Non-Service Shares
Sold		268,164	$	8,439,528		1,001,432	$	27,082,174
Dividends and/or distributions reinvested		493,447		15,750,103		211,118		5,738,189
Redeemed		(1,246,055)		(39,178,530)		(3,327,965)		(90,367,025)

Net decrease		(484,444)	$	(14,988,899)		(2,115,415)	$	(57,546,662)



Service Shares
Sold		144,115	$	4,444,551		590,719	$	15,489,645
Dividends and/or distributions reinvested		709,853		22,508,318		283,631		7,658,030
Redeemed		(3,123,317)		(97,576,534)		(7,913,253)		(214,364,928)

Net decrease		(2,269,349)	$	(70,623,665)		(7,038,903)	$	(191,217,253)

4. Purchases and Sales of Securities

The aggregate cost of purchases and proceeds from sales of securities, other than short-term obligations and investments in IMMF, for the six months ended June 30, 2014 were as follows:


	Purchases		Sales

Investment securities	$	363,419,285	$	482,917,176

16 OPPENHEIMER MAIN STREET FUND/VA

5. Fees and Other Transactions with Affiliates

Management Fees. Under the investment advisory agreement, the Fund pays the Manager a management fee based on the daily net assets of the Fund at an annual rate as shown in the following table:


Fee Schedule
Up to $200 million			0.75%
Next $200 million			0.72
Next $200 million			0.69
Next $200 million			0.66
Next $200 million			0.60
Over $1 billion			0.58

Waivers and Reimbursements of Expenses. The Manager has voluntarily agreed to limit the Fund’s expenses after payments, waivers and/or reimbursements and reduction to custodian expenses, excluding expenses incurred directly or indirectly by the Fund as a result of investments in other investment companies, wholly-owned subsidiaries and pooled investment vehicles; so that those expenses, as percentages of daily net assets, will not exceed the annual rate of 0.80% for Non-Service shares and 1.05% for Service shares.

Some of these undertakings may be modified or terminated at any time; some may not be modified or terminated until after one year from the date of the current prospectus, as indicated therein.

6. Pending Litigation

17 OPPENHEIMER MAIN STREET FUND/VA


NOTES TO FINANCIAL STATEMENTS Unaudited / Continued

6. Pending Litigation (Continued)

18 OPPENHEIMER MAIN STREET FUND/VA

PORTFOLIO PROXY VOTING POLICIES AND PROCEDURES; UPDATES TO STATEMENTS OF INVESTMENTS Unaudited

19 OPPENHEIMER MAIN STREET FUND/VA

OPPENHEIMER MAIN STREET FUND/VA

A Series of Oppenheimer Variable Account Funds


Trustees and Officers		Sam Freedman, Chairman of the Board of Trustees and Trustee
		Edward L. Cameron, Trustee
		Jon S. Fossel, Trustee
		Richard F. Grabish, Trustee
		Beverly L. Hamilton, Trustee
		Victoria J. Herget, Trustee
		Robert J. Malone, Trustee
		F. William Marshall, Jr., Trustee
		Karen L. Stuckey, Trustee
		James D. Vaughn, Trustee
		William F. Glavin, Jr., Trustee, President and Principal Executive Officer
		Manind Govil, Vice President
		Benjamin Ram, Vice President
		Paul Larson, Vice President
		Arthur S. Gabinet, Secretary and Chief Legal Officer
		Christina M. Nasta, Vice President and Chief Business Officer Mary Ann Picciotto, Chief Compliance Officer and Chief Anti-Money Laundering Officer Brian W. Wixted, Treasurer and Principal Financial & Accounting Officer

Manager		OFI Global Asset Management, Inc.

Sub-Adviser		OppenheimerFunds, Inc.

Distributor		OppenheimerFunds Distributor, Inc.

Transfer and Shareholder Servicing Agent		OFI Global Asset Management, Inc.

Sub-Transfer Agent		Shareholder Services, Inc.
		DBA OppenheimerFunds Services

Independent		KPMG LLP
Registered
Public
Accounting
Firm

Counsel		K&L Gates LLP

		Before investing in any of the Oppenheimer funds, investors should carefully consider a fund’s investment objectives, risks, charges and expenses. Fund prospectuses and summary prospectuses contain this and other information about the funds and may be obtained by asking your financial advisor, visiting oppenheimerfunds.com or calling us at 1.800.988.8287. Read prospectuses and summary prospectuses carefully before investing.

		The financial statements included herein have been taken from the records of the Fund without examination of those records by the independent registered public accounting firm.

		^© 2014 OppenheimerFunds, Inc. All rights reserved. Oppenheimer funds are distributed by OppenheimerFunds Distributor, Inc.

LOGO

Portfolio Managers: Matthew P. Ziehl, CFA, Raymond Anello, CFA, Raman Vardharaj, CFA, Joy Budzinski, Kristin Ketner Pak, Magnus Krantz and Adam Weiner.

Cumulative Total Returns

For the 6-Month Period Ended 6/30/14


Non-Service Shares	4.52	%
Service Shares	4.38

Average Annual Total Returns

For the Periods Ended 6/30/14


	1-Year			5-Year			10-Year
Non-Service Shares		23.33	%		20.53	%		9.73	%
Service Shares		23.02	%		20.22	%		9.47	%

Performance data quoted represents past performance, which does not guarantee future results. The investment return and principal value of an investment in the Fund will fluctuate so that an investor’s shares, when redeemed, may be worth more or less than their original cost. Current performance may be lower or higher than the performance quoted. For performance data current to the most recent month end, call us at 1.800.988.8287. The Fund’s total returns include changes in share price and reinvested distributions but should not be expected to be the same as the returns of other funds, whether or not both funds have the same portfolio managers and/or similar names. The Fund’s total returns do not include the charges associated with the separate account products that offer this Fund. Such performance would have been lower if such charges were taken into account.


TOP TEN COMMON STOCK HOLDINGS
LaSalle Hotel Properties	2.6	%
Dana Holding Corp.	2.3
Korn/Ferry International	2.3
KAR Auction Services, Inc.	2.1
STAG Industrial, Inc.	1.9
Redwood Trust, Inc.	1.9
P.H. Glatfelter Co.	1.8
Fortinet, Inc.	1.8
Finisar Corp.	1.8
WellCare Health Plans, Inc.	1.8

Portfolio holdings and allocations are subject to change. Percentages are as of June 30, 2014, and are based on net assets. For more current Fund holdings, please visit oppenheimerfunds.com.

SECTOR ALLOCATION

LOGO

Portfolio holdings and allocations are subject to change. Percentages are as of June 30, 2014, and are based on the total market value of common stocks.

2 OPPENHEIMER MAIN STREET SMALL CAP FUND/VA

Fund Performance Discussion

The Fund’s Non-Service shares produced a return of 4.52% during the period, outperforming the Russell 2000 Index (the “Index”), which returned 3.19%. The Fund outperformed the Index primarily in the industrials, consumer discretionary and materials sectors due to favorable stock selection. The Fund underperformed the Index in the information technology and consumer staples sectors as a result of weaker relative stock selection. An underweight position in the utilities sector also detracted from the Fund’s performance versus the Index.

GLOBAL MARKET AND ECONOMIC ENVIRONMENT

Finally, there was a pick-up in mergers and acquisitions (M&A). A driving force that has garnered considerable headline attention was Corporate America’s aim to put the cash that has built-up on overseas’ balance sheets to productive use. This, combined with an opportunity to lower overall corporate tax rates, resulted in a plethora of proposed acquisitions – targeted at companies domiciled in desirable geographic tax havens. This was especially evident in the health care sector – with Pfizer attempting to merge with Astra-Zeneca and, more recently, Medtronic communicating its intention to acquire Covidien. Regardless of the motivation, the pick-up in M&A activity generally benefited the stock price of both acquiree and acquirer.

TOP INDIVIDUAL CONTRIBUTORS

Top performing stocks for the Fund this period included Cavium, Inc., EPL Oil & Gas, Inc. and Dana Holding Corp. Cavium is a provider of integrated semiconductor processors enabling processing for networks, communications, storage, wireless, security and video applications. Rising expectations for accelerating revenue growth propelled this stock higher during the reporting period. The improving outlook reflects a solid pipeline of products to be delivered to enterprise and wireless customers, plus promising new product designs that have the potential to further fuel demand coming from wireless infrastructure and data center providers. We believe Cavium is at a positive inflection point in its revenue cycle, and added to our position size to reflect the strengthening fundamentals.

EPL Oil & Gas is an independent oil and natural gas exploration & production company with operations concentrated in the shallow waters of the Gulf of Mexico. The stock spiked higher after Energy XXI announced its intention to acquire EPL. The acquisition was completed in June 2014, and we have maintained our holdings in the combined entity, Energy XXI Bermuda Ltd.

Dana Holding manufactures components and systems for the global automotive, truck and industrial markets. The stock’s positive performance largely reflects guidance from management that was not nearly as dire as had been expected — leading to both improved sentiment towards the stock and, eventually, to increased analysts’ estimates. Longer term, the company expects an economic rebound in a number of business segments — notably North American Class 8 heavy-duty truck components — and significant margin improvement stemming, in part, from operating leverage as volume production improves. Furthering the earnings growth potential is management’s choice to use free cash generation for aggressive share repurchase.

3 OPPENHEIMER MAIN STREET SMALL CAP FUND/VA

TOP INDIVIDUAL DETRACTORS

Detractors from performance this reporting period included Infoblox, Inc., Pier 1 Imports, Inc. and Finisar Corp. Infoblox is a leader in “automated network control” solutions and security – allowing companies to manage large and complex data networks, and the proliferation of mobile devices connected to them. The stock suffered a setback after management preannounced a deceleration in growth and guided to a further slowdown for the full fiscal year. As a result, analyst estimates were revised down significantly, putting selling pressure on the company’s stock. The disappointing guidance for both revenues and earnings was largely attributable to a “slippage” of large deal signings and ongoing weakness in business with the U.S. federal government. We exited the position after another disappointing report and the CEO’s unexpected departure, as we lost confidence in our thesis. The stock of Pier 1 Imports, a specialty retailer of decorative home furnishings and accessories, declined as a result of earnings that fell short of consensus estimates – leading to falling forecasts. Revenues largely met expectations, with comparable store sales better-than-anticipated; however, profitability was under pressure due to increased promotional activity which helped to drive store traffic – but at a cost to gross margins. We believe improved merchandising can lead to both rising same-store-sales and expanding profitability, thus we have maintained our holdings in Pier 1. Finisar’s products enable high-speed data communications over both local and storage area networks. A disappointing quarterly result, with earnings that missed estimates, combined with lowered guidance from management drove the stock’s negative results. Despite these near-term profitability headwinds, we have maintained our holdings as we believe Finisar is well positioned to benefit from growth in spending by both telecommunications and large data center dependent firms.

STRATEGY & OUTLOOK

The Fund’s investment strategy and focus can change over time. The mention of specific fund holdings does not constitute a recommendation by OppenheimerFunds, Inc. or its affiliates.

4 OPPENHEIMER MAIN STREET SMALL CAP FUND/VA

Fund Expenses

The examples are based on an investment of $1,000.00 invested at the beginning of the period and held for the entire 6-month period ended June 30, 2014.

Hypothetical Example for Comparison Purposes.


Actual	Beginning Account Value January 1, 2014		Ending Account Value June 30, 2014		Expenses Paid During 6 Months Ended June 30, 2014
Non-Service shares	$	1,000.00	$	1,045.20	$	4.01
Service shares		1,000.00		1,043.80		5.28

Hypothetical (5% return before expenses)
Non-Service shares		1,000.00		1,020.88		3.97
Service shares		1,000.00		1,019.64		5.22

5 OPPENHEIMER MAIN STREET SMALL CAP FUND/VA



STATEMENT OF INVESTMENTS June 30, 2014 Unaudited


	Shares		Value

Common Stocks—97.5%

Consumer Discretionary—12.9%

Auto Components—2.3%
Dana Holding Corp.		1,063,751	$	25,976,799

Diversified Consumer Services—1.8%
LifeLock, Inc.¹		1,029,710		14,374,751

Matthews International Corp., Cl. A		149,710		6,223,445

				20,598,196

Hotels, Restaurants & Leisure—4.5%
Brinker International, Inc.		339,720		16,527,378

Dunkin’ Brands Group, Inc.		139,803		6,404,375

Popeyes Louisiana Kitchen, Inc.¹		263,200		11,504,472

Texas Roadhouse, Inc.		640,580		16,655,080

				51,091,305

Household Durables—1.0%
KB Home		611,760		11,427,677

Specialty Retail—3.3%
Mattress Firm Holding Corp.¹		334,070		15,951,842

Monro Muffler Brake, Inc.		102,879		5,472,134

Pier 1 Imports, Inc.		534,120		8,230,789

Signet Jewelers Ltd.		69,640		7,701,488

				37,356,253

Consumer Staples—0.5%

Food Products—0.5%
Flowers Foods, Inc.		269,190		5,674,525

Energy—4.2%
Oil, Gas & Consumable Fuels—4.2%
Energy XXI Bermuda Ltd.		385,143		9,100,929

Renewable Energy Group, Inc.¹		971,772		11,146,225

Valero Energy Partners LP		314,965		15,845,889

Western Refining, Inc.		283,591		10,648,842

				46,741,885

Financials—23.2%

Commercial Banks—8.9%
BancorpSouth, Inc.		590,480		14,508,094

BankUnited, Inc.		522,015		17,477,062

First Niagara Financial Group, Inc.		1,963,300		17,159,242

FirstMerit Corp.		746,826		14,749,813

MB Financial, Inc.		525,080		14,203,414

Talmer Bancorp, Inc., Cl. A¹		422,890		5,831,653

Webster Financial Corp.		498,450		15,721,113

				99,650,391

Insurance—0.9%
AmTrust Financial Services, Inc.		236,597		9,892,121

Real Estate Investment Trusts (REITs)—11.8%
Apollo Commercial Real Estate Finance, Inc.		857,432		14,139,054

Chatham Lodging Trust		691,970		15,154,143

DuPont Fabros Technology, Inc.		493,430		13,302,873

LaSalle Hotel Properties		812,626		28,677,571

Mid-America Apartment Communities, Inc.		162,025		11,835,926

Redwood Trust, Inc.		1,077,040		20,969,969

STAG Industrial, Inc.		873,850		20,981,138

Starwood Property Trust, Inc.		335,522		7,975,358

				133,036,032

Thrifts & Mortgage Finance—1.6%
Flagstar Bancorp, Inc.¹		518,591		9,386,497

Oritani Financial Corp.		576,090		8,866,025

				18,252,522

Health Care—14.6%

Biotechnology—1.4%
Celldex Therapeutics, Inc.¹		232,000		3,786,240

Keryx Biopharmaceuticals, Inc.¹		568,590		8,744,914

Ultragenyx Pharmaceutical, Inc.¹		70,320		3,156,665

				15,687,819

Health Care Equipment & Supplies—4.0%
DexCom, Inc.¹		237,480		9,418,457

Endologix, Inc.¹		425,530		6,472,311

Greatbatch, Inc.¹		223,471		10,963,487

Integra LifeSciences Holdings Corp.¹		200,730		9,446,354


	Shares		Value

Health Care Equipment & Supplies (Continued)

Spectranetics Corp.¹		381,160	$	8,720,941

				45,021,550

Health Care Providers & Services—4.7%
Acadia Healthcare Co., Inc.¹		205,750		9,361,625

HealthSouth Corp.		430,150		15,429,481

Team Health Holdings, Inc.¹		161,290		8,054,823 ��

WellCare Health Plans, Inc.¹		264,781		19,768,549

				52,614,478

Health Care Technology—0.9%
HMS Holdings Corp.¹		507,636		10,360,851

Life Sciences Tools & Services—0.7%
Fluidigm Corp.¹		99,170		2,915,598

MorphoSys AG¹		56,999		5,347,418

				8,263,016

Pharmaceuticals—2.9%
AcelRx Pharmaceuticals, Inc.¹		252,380		2,586,895

Aratana Therapeutics, Inc.¹		234,040		3,653,365

Horizon Pharma, Inc.¹		395,393		6,255,117

Prestige Brands Holdings, Inc.¹		580,416		19,670,298

				32,165,675

Industrials—17.7%

Aerospace & Defense—2.3%
AAR Corp.		196,085		5,404,103

Orbital Sciences Corp.¹		392,040		11,584,782

Triumph Group, Inc.		121,600		8,490,112

				25,478,997

Air Freight & Couriers—0.8%
XPO Logistics, Inc.¹		297,150		8,504,433

Airlines—0.9%
Spirit Airlines, Inc.¹		152,620		9,651,689

Commercial Services & Supplies—5.1%
ABM Industries, Inc.		337,680		9,110,606

ACCO Brands Corp.¹		1,793,117		11,493,880

KAR Auction Services, Inc.		747,830		23,833,342

Waste Connections, Inc.		255,350		12,397,243

				56,835,071

Construction & Engineering—1.6%
AECOM Technology Corp.¹		299,543		9,645,285

MasTec, Inc.¹		252,350		7,777,427

				17,422,712

Machinery—1.0%
Titan International, Inc.		320,230		5,386,269

Wabash National Corp.¹		412,410		5,876,842

				11,263,111

Professional Services—4.0%
Korn/Ferry International¹		882,251		25,911,712

Paylocity Holding Corp.¹		176,190		3,810,989

Robert Half International, Inc.		328,485		15,681,874

				45,404,575

Road & Rail—2.0%
Saia, Inc.¹		249,220		10,948,235

Swift Transportation Co.¹		440,524		11,114,420

				22,062,655

Information Technology—14.7%

Communications Equipment—1.8%
Finisar Corp.¹		1,003,091		19,811,047

Internet Software & Services—2.1%
j2 Global, Inc.		203,613		10,355,757

Web.com Group, Inc.¹		474,020		13,684,958

				24,040,715

IT Services—3.0%
Booz Allen Hamilton Holding Corp.		422,250		8,968,590

CACI International, Inc., Cl. A¹		47,790		3,355,336

MAXIMUS, Inc.		240,015		10,325,445

Unisys Corp.¹		462,830		11,450,414

				34,099,785

Semiconductors & Semiconductor Equipment—2.9%
Cavium, Inc.¹		350,250		17,393,415

6 OPPENHEIMER MAIN STREET SMALL CAP FUND/VA


	Shares		Value

Semiconductors & Semiconductor Equipment (Continued)

Semtech Corp.¹		570,038	$	14,906,494

				32,299,909

Software—4.9%
FleetMatics Group plc¹		154,700		5,002,998

Fortinet, Inc.¹		792,401		19,913,037

Guidewire Software, Inc.¹		402,680		16,372,969

Imperva, Inc.¹		166,280		4,353,211

Proofpoint, Inc.¹		262,040		9,816,018

				55,458,233

Materials—9.3%

Chemicals—3.4%
A. Schulman, Inc.		230,128		8,905,954

Cytec Industries, Inc.		86,968		9,168,167

Intrepid Potash, Inc.¹		526,640		8,826,486

Tronox Ltd., Cl. A		436,270		11,735,663

				38,636,270

Containers & Packaging—0.6%
Packaging Corp. of America		93,620		6,692,894

Metals & Mining—2.2%
Century Aluminum Co.¹		598,640		9,386,675

Kaiser Aluminum Corp.		205,710		14,990,088

				24,376,763


	Shares			Value

Paper & Forest Products—3.1%
Boise Cascade Co.¹		501,590		$	14,365,538

P.H. Glatfelter Co.		758,423			20,120,962

					34,486,500

Utilities—0.4%

Water Utilities—0.4%
Aqua America, Inc.		191,823			5,029,599

Total Common Stocks (Cost $882,894,498)					1,095,366,053
Investment Company—2.1%
Oppenheimer Institutional Money Market Fund, Cl. E, 0.09%^2,3 (Cost $23,062,033)		23,062,033			23,062,033

Total Investments, at Value (Cost $905,956,531)		99.6	%		1,118,428,086

Net Other Assets (Liabilities)		0.4			4,312,938

Net Assets		100.0	%	$	1,122,741,024

Footnotes to Statement of Investments

1. Non-income producing security.


	Shares December 31, 2013		Gross Additions		Gross Reductions		Shares June 30, 2014

Oppenheimer Institutional Money Market Fund, Cl. E		33,794,445		223,898,354		234,630,766		23,062,033

					Value		Income

Oppenheimer Institutional Money Market Fund, Cl. E					$	23,062,033	$	8,483

3. Rate shown is the 7-day yield as of June 30, 2014.

See accompanying Notes to Financial Statements.

7 OPPENHEIMER MAIN STREET SMALL CAP FUND/VA

STATEMENTOF ASSETS AND LIABILITIES June 30, 2014 Unaudited



Assets
Investments, at value—see accompanying statement of investments:
Unaffiliated companies (cost $882,894,498)	$	1,095,366,053
Affiliated companies (cost $23,062,033)		23,062,033

		1,118,428,086

Cash		605,329

Receivables and other assets:
Investments sold		19,577,920
Dividends		1,630,377
Shares of beneficial interest sold		495,705
Other		44,848

Total assets		1,140,782,265


Liabilities
Payables and other liabilities:
Investments purchased		17,310,643
Shares of beneficial interest redeemed		381,120
Distribution and service plan fees		200,228
Shareholder communications		100,736
Trustees’ compensation		37,451
Other		11,063

Total liabilities		18,041,241


Net Assets	$	1,122,741,024



Composition of Net Assets
Par value of shares of beneficial interest	$	45,670

Additional paid-in capital		773,670,469

Accumulated net investment income		1,223,059

Accumulated net realized gain on investments and foreign currency transactions		135,330,271

Net unrealized appreciation on investments and translation of assets and liabilities denominated in foreign currencies		212,471,555

Net Assets	$	1,122,741,024



Net Asset Value Per Share
Non-Service Shares:
Net asset value, redemption price (excludes applicable contingent deferred sales charge) and offering price per share (based on net assets of $137,372,064 and 5,538,718 shares of beneficial interest outstanding)		$24.80

Service Shares:
Net asset value, redemption price (excludes applicable contingent deferred sales charge) and offering price per share (based on net assets of $985,368,960 and 40,130,910 shares of beneficial interest outstanding)		$24.55

See accompanying Notes to Financial Statements.

8 OPPENHEIMER MAIN STREET SMALL CAP FUND/VA

STATEMENTOF OPERATIONS For the Six Months Ended June 30, 2014 Unaudited



Investment Income
Dividends:
Unaffiliated companies	$	10,652,371
Affiliated companies		8,483

Total investment income		10,660,854

Expenses
Management fees		3,690,527

Distribution and service plan fees - Service shares		1,202,605

Transfer and shareholder servicing agent fees:
Non-Service shares		66,754
Service shares		481,121

Shareholder communications:
Non-Service shares		11,181
Service shares		80,969

Custodian fees and expenses		3,076

Trustees’ compensation		22,379

Other		62,042

Total expenses		5,620,654
Less waivers and reimbursements of expenses		(52,296)

Net expenses		5,568,358


Net Investment Income		5,092,496


Realized and Unrealized Gain (Loss)
Net realized gain on:
Investments from unaffiliated companies		136,463,411
Foreign currency transactions		2,093

Net realized gain		136,465,504

Net change in unrealized appreciation/depreciation on:
Investments		(93,022,275)
Translation of assets and liabilities denominated in foreign currencies		(31,376)

Net change in unrealized appreciation/depreciation		(93,053,651)


Net Increase in Net Assets Resulting from Operations	$	48,504,349

See accompanying Notes to Financial Statements.

9 OPPENHEIMER MAIN STREET SMALL CAP FUND/VA

STATEMENTSOF CHANGES IN NET ASSETS


	Six Months Ended June 30, 2014 (Unaudited)		Year Ended December 31, 2013

Operations
Net investment income	$	5,092,496	$ 4,792,644

Net realized gain		136,465,504	175,049,148

Net change in unrealized appreciation/depreciation		(93,053,651)	173,986,568

Net increase in net assets resulting from operations		48,504,349	353,828,360

Dividends and/or Distributions to Shareholders
Dividends from net investment income:
Non-Service shares		(1,181,630)	(978,410)
Service shares		(6,176,459)	(6,606,031)

		(7,358,089)	(7,584,441)

Distributions from net realized gain:
Non-Service shares		(18,983,832)	(1,288,110)
Service shares		(137,086,830)	(11,405,204)

		(156,070,662)	(12,693,314)

Beneficial Interest Transactions
Net increase (decrease) in net assets resulting from beneficial interest transactions:
Non-Service shares		16,797,524	11,660,720
Service shares		96,007,986	(157,538,740)

		112,805,510	(145,878,020)

Net Assets
Total increase (decrease)		(2,118,892)	187,672,585

Beginning of period		1,124,859,916	937,187,331

End of period (including accumulated net investment income of $1,223,059 and $3,488,652, respectively)	$	1,122,741,024	$ 1,124,859,916

See accompanying Notes to Financial Statements.

10 OPPENHEIMER MAIN STREET SMALL CAP FUND/VA

FINANCIAL HIGHLIGHTS


Non-Service Shares	Six Months Ended June 30, 2014 (Unaudited)		Year Ended December 31, 2013		Year Ended December 31, 2012		Year Ended December 30, 2011¹		Year Ended December 31, 2010		Year Ended December 31, 2009

Per Share Operating Data
Net asset value, beginning of period	$	27.80	$	20.14	$	17.17	$	17.66	$	14.40	$	10.65

Income (loss) from investment operations:
Net investment income²		0.15		0.16		0.21		0.10		0.10		0.08
Net realized and unrealized gain (loss)		1.09		8.01		2.87		(0.48)		3.25		3.78

Total from investment operations		1.24		8.17		3.08		(0.38)		3.35		3.86

Dividends and/or distributions to shareholders:
Dividends from net investment income		(0.25)		(0.22)		(0.11)		(0.11)		(0.09)		(0.11)
Distributions from net realized gain		(3.99)		(0.29)		0.00		0.00		0.00		0.00

Total dividends and/or distributions to shareholders		(4.24)		(0.51)		(0.11)		(0.11)		(0.09)		(0.11)

Net asset value, end of period	$	24.80	$	27.80	$	20.14	$	17.17	$	17.66	$	14.40



Total Return, at Net Asset Value³		4.52%		41.01%		17.99%		(2.21)%		23.41%		37.20%


Ratios/Supplemental Data
Net assets, end of period (in thousands)	$	137,372	$	134,692	$	87,267	$	79,722	$	95,576	$	81,814

Average net assets (in thousands)	$	135,317	$	113,522	$	83,790	$	86,796	$	88,063	$	69,585

Ratios to average net assets:⁴
Net investment income		1.12%		0.67%		1.09%		0.58%		0.68%		0.71%
Total expenses⁵		0.80%		0.81%		0.83%		0.83%		0.85%		0.91%
Expenses after payments, waivers and/or reimbursements and reduction to custodian expenses		0.79%		0.80%		0.80%		0.80%		0.80%		0.82%

Portfolio turnover rate		37%		60%		92%		108%		73%		140%

1. December 30, 2011 represents the last business day of the Fund’s reporting period.

2. Per share amounts calculated based on the average shares outstanding during the period.

4. Annualized for periods less than one full year.

5. Total expenses including indirect expenses from affiliated fund were as follows:


Six Months Ended June 30, 2014	0 .80	%
Year Ended December 31, 2013	0 .81	%
Year Ended December 31, 2012	0 .83	%
Year Ended December 30, 2011	0 .83	%
Year Ended December 31, 2010	0 .85	%
Year Ended December 31, 2009	0 .91	%

See accompanying Notes to Financial Statements.

11 OPPENHEIMER MAIN STREET SMALL CAP FUND/VA

FINANCIAL HIGHLIGHTS Continued


Service Shares	Six Months Ended June 30, 2014 (Unaudited)		Year Ended December 31, 2013		Year Ended December 31, 2012		Year Ended December 30, 2011¹		Year Ended December 31, 2010		Year Ended December 31, 2009

Per Share Operating Data
Net asset value, beginning of period	$	27.53	$	19.96	$	17.02	$	17.50	$	14.28	$	10.54

Income (loss) from investment operations:
Net investment income²		0.12		0.10		0.15		0.06		0.07		0.05
Net realized and unrealized gain (loss)		1.07		7.93		2.85		(0.47)		3.21		3.76

Total from investment operations		1.19		8.03		3.00		(0.41)		3.28		3.81

Dividends and/or distributions to shareholders:
Dividends from net investment income		(0.18)		(0.17)		(0.06)		(0.07)		(0.06)		(0.07)
Distributions from net realized gain		(3.99)		(0.29)		0.00		0.00		0.00		0.00

Total dividends and/or distributions to shareholders		(4.17)		(0.46)		(0.06)		(0.07)		(0.06)		(0.07)

Net asset value, end of period	$	24.55	$	27.53	$	19.96	$	17.02	$	17.50	$	14.28



Total Return, at Net Asset Value³		4 .38%		40 .62%		17 .67%		(2 .38)%		23 .06%		36 .88%


Ratios/Supplemental Data
Net assets, end of period (in thousands)	$	985,369	$	990,168	$	849,920	$	790,752	$	859,710	$	662,347

Average net assets (in thousands)	$	975,371	$	935,083	$	836,487	$	823,201	$	730,069	$	612,651

Ratios to average net assets:⁴
Net investment income		0 .90%		0 .43%		0 .82%		0 .34%		0 .45%		0 .47%
Total expenses⁵		1 .05%		1 .06%		1 .08%		1 .08%		1 .10%		1 .15%
Expenses after payments, waivers and/or reimbursements and reduction to custodian expenses		1 .04%		1 .05%		1 .05%		1 .05%		1 .05%		1 .07%

Portfolio turnover rate		37%		60%		92%		108%		73%		140%

1. December 30, 2011 represents the last business day of the Fund’s reporting period.

2. Per share amounts calculated based on the average shares outstanding during the period.

4. Annualized for periods less than one full year.

5. Total expenses including indirect expenses from affiliated fund were as follows:


Six Months Ended June 30, 2014	1 .05	%
Year Ended December 31, 2013	1 .06	%
Year Ended December 31, 2012	1 .08	%
Year Ended December 30, 2011	1 .08	%
Year Ended December 31, 2010	1 .10	%
Year Ended December 31, 2009	1 .15	%

See accompanying Notes to Financial Statements.

12 OPPENHEIMER MAIN STREET SMALL CAP FUND/VA

NOTESTO FINANCIAL STATEMENTS June 30, 2014 Unaudited

1. Significant Accounting Policies

Oppenheimer Main Street Small Cap Fund/VA (the “Fund”), formerly Oppenheimer Main Street Small- & Mid-Cap Fund/VA, is a separate series of Oppenheimer Variable Account Funds, a diversified open-end management investment company registered under the Investment Company Act of 1940, as amended. The Fund’s investment objective is to seek capital appreciation. The Fund’s investment adviser is OFI Global Asset Management, Inc. (“OFI Global” or the “Manager”), a wholly-owned subsidiary of OppenheimerFunds, Inc. (“OFI” or the “Sub-Adviser”). The Manager has entered into a sub-advisory agreement with OFI. Shares of the Fund are sold only to separate accounts of life insurance companies.

The following is a summary of significant accounting policies consistently followed by the Fund.

During the fiscal year ended December 31, 2013, the Fund did not utilize any capital loss carryforward to offset capital gains realized in that fiscal year.


Federal tax cost of securities	$	906,958,682


Gross unrealized appreciation	$	229,326,232
Gross unrealized depreciation		(17,856,828)

Net unrealized appreciation	$	211,469,404

13 OPPENHEIMER MAIN STREET SMALL CAP FUND/VA

NOTES TO FINANCIAL STATEMENTS Unaudited / Continued

1. Significant Accounting Policies (Continued)

Security Transactions. Security transactions are recorded on the trade date. Realized gains and losses on securities sold are determined on the basis of identified cost.

2. Securities Valuation

Valuation Methods and Inputs

Securities are valued using unadjusted quoted market prices, when available, as supplied primarily by third party pricing services or dealers.

The following methodologies are used to determine the market value or the fair value of the types of securities described below:

14 OPPENHEIMER MAIN STREET SMALL CAP FUND/VA

2. Securities Valuation (Continued)

valued at the most recent official closing price on the principal exchange on which it is traded. If the last sales price or official closing price for a foreign security is not available, the security is valued at the mean between the bid and asked price per the exchange or, if not available from the exchange, obtained from two dealers. If bid and asked prices are not available from either the exchange or two dealers, the security is valued by using one of the following methodologies (listed in order of priority): (1) using a bid from the exchange, (2) the mean between the bid and asked price as provided by a single dealer, or (3) a bid from a single dealer.

Shares of a registered investment company that are not traded on an exchange are valued at that investment company’s net asset value per share.

Short-term money market type debt securities with a remaining maturity of sixty days or less are valued at cost adjusted by the amortization of discount or premium to maturity (amortized cost), which approximates market value. Short-term debt securities with a remaining maturity in excess of sixty days are valued at the mean between the “bid�� and “asked” prices utilizing evaluated prices obtained from third party pricing services or broker-dealers.

A description of the standard inputs that may generally be considered by the third party pricing vendors in determining their evaluated prices is provided below.


Security Type		Standard inputs generally considered by third-party pricing vendors
Corporate debt, government debt, municipal, mortgage-backed and asset-backed securities		Reported trade data, broker-dealer price quotations, benchmark yields, issuer spreads on comparable securities, the credit quality, yield, maturity, and other appropriate factors.
Loans		Information obtained from market participants regarding reported trade data and broker-dealer price quotations.
Event-linked bonds		Information obtained from market participants regarding reported trade data and broker-dealer price quotations.

Classifications

1) Level 1-unadjusted quoted prices in active markets for identical assets or liabilities (including securities actively traded on a securities exchange)

3) Level 3-significant unobservable inputs (including the Manager’s own judgments about assumptions that market participants would use in pricing the asset or liability).

The inputs used for valuing securities are not necessarily an indication of the risks associated with investing in those securities.

15 OPPENHEIMER MAIN STREET SMALL CAP FUND/VA

NOTES TO FINANCIAL STATEMENTS Unaudited / Continued

2. Securities Valuation (Continued)

The table below categorizes amounts that are included in the Fund’s Statement of Assets and Liabilities as of June 30, 2014 based on valuation input level:


	Level 1— Unadjusted Quoted Prices		Level 2— Other Significant Observable Inputs		Level 3— Significant Unobservable Inputs		Value
Assets Table
Investments, at Value:
Common Stocks
Consumer Discretionary	$	146,450,230	$	—	$	—	$	146,450,230
Consumer Staples		5,674,525		—		—		5,674,525
Energy		46,741,885		—		—		46,741,885
Financials		260,831,066		—		—		260,831,066
Health Care		158,765,971		5,347,418		—		164,113,389
Industrials		196,623,243		—		—		196,623,243
Information Technology		165,709,689		—		—		165,709,689
Materials		104,192,427		—		—		104,192,427
Utilities		5,029,599		—		—		5,029,599
Investment Company		23,062,033		—		—		23,062,033

Total Assets	$	1,113,080,668	$	5,347,418	$	—	$	1,118,428,086

Forward currency exchange contracts and futures contracts, if any, are reported at their unrealized appreciation/depreciation at measurement date, which represents the change in the contract’s value from trade date. All additional assets and liabilities included in the above table are reported at their market value at measurement date.

3. Shares of Beneficial Interest

The Fund has authorized an unlimited number of $0.001 par value shares of beneficial interest of each class. Transactions in shares of beneficial interest were as follows:


	Six Months Ended June 30, 2014						Year Ended December 31, 2013
	Shares			Amount			Shares			Amount
Non-Service Shares
Sold		511,647		$	14,382,561			2,050,901		$	49,473,567
Dividends and/or distributions reinvested		817,408			20,165,462			95,274			2,266,520
Redeemed		(635,999	)		(17,750,499	)		(1,633,467	)		(40,079,367)

Net increase		693,056		$	16,797,524			512,708		$	11,660,720



Service Shares
Sold		1,351,858		$	37,218,362			3,333,649		$	79,750,169
Dividends and/or distributions reinvested		5,866,634			143,263,289			763,535			18,011,235
Redeemed		(3,057,737	)		(84,473,665	)		(10,718,072	)		(255,300,144)

Net increase (decrease)		4,160,755		$	96,007,986			(6,620,888	)	$	(157,538,740)

4. Purchases and Sales of Securities

The aggregate cost of purchases and proceeds from sales of securities, other than short-term obligations and investments in IMMF, for the six months ended June 30, 2014 were as follows:


	Purchases		Sales
Investment securities	$	407,965,252	$	433,692,846

5. Fees and Other Transactions with Affiliates

Management Fees. Under the investment advisory agreement, the Fund pays the Manager a management fee based on the daily net assets of the Fund at an annual rate as shown in the following table:


Fee Schedule
Up to $200 million			0.75%
Next $200 million			0.72
Next $200 million			0.69
Next $200 million			0.66
Next $200 million			0.60
Over $1 billion			0.58

16 OPPENHEIMER MAIN STREET SMALL CAP FUND/VA

5. Fees and Other Transactions with Affiliates (Continued)

Waivers and Reimbursements of Expenses. The Manager has contractually agreed to limit the Fund’s expenses after payments, waivers and/or reimbursements and reduction to custodian expenses, excluding expenses incurred directly or indirectly by the Fund as a result of investments in other investment companies, wholly-owned subsidiaries and pooled investment vehicles; so that those expenses, as percentages of daily net assets, will not exceed the annual rate of 0.80% for Non-Service shares and 1.05% for Service shares. During the six months ended June 30, 2014, the Manager waived fees and/or reimbursed the Fund $5,115 for Non-Service shares and $35,985 for Service shares, respectively.

Some of these undertakings may be modified or terminated at any time; some may not be modified or terminated until after one year from the date of the current prospectus, as indicated therein.

6. Pending Litigation

17 OPPENHEIMER MAIN STREET SMALL CAP FUND/VA

PORTFOLIO PROXY VOTING POLICIES AND PROCEDURES; UPDATES TO STATEMENTS OF INVESTMENTS Unaudited

18 OPPENHEIMER MAIN STREET SMALL CAP FUND/VA

THIS PAGE INTENTIONALLY LEFT BLANK.

19 OPPENHEIMER MAIN STREET SMALL CAP FUND/VA

OPPENHEIMER MAIN STREET SMALL CAP FUND/VA

A Series of Oppenheimer Variable Account Funds


Trustees and Officers		Sam Freedman, Chairman of the Board of Trustees and Trustee
		Edward L. Cameron, Trustee
		Jon S. Fossel, Trustee
		Richard F. Grabish, Trustee
		Beverly L. Hamilton, Trustee
		Victoria J. Herget, Trustee
		Robert J. Malone, Trustee
		F. William Marshall, Jr., Trustee
		Karen L. Stuckey, Trustee
		James D. Vaughn, Trustee
		William F. Glavin, Jr., Trustee, President and Principal Executive Officer
		Matthew P. Ziehl, Vice President
		Raymond Anello, Vice President
		Raman Vardharaj, Vice President
		Joy Budzinski, Vice President
		Kristin Ketner Pak, Vice President
		Magnus Krantz, Vice President
		Adam Weiner, Vice President
		Arthur S. Gabinet, Secretary and Chief Legal Officer
		Christina M. Nasta, Vice President and Chief Business Officer
		Mary Ann Picciotto, Chief Compliance Officer and Chief Anti-Money Laundering Officer
		Brian W. Wixted, Treasurer and Principal Financial & Accounting Officer

Manager		OFI Global Asset Management, Inc.

Sub-Adviser		OppenheimerFunds, Inc.

Distributor		OppenheimerFunds Distributor, Inc.

Transfer and		OFI Global Asset Management, Inc.
Shareholder
Servicing Agent

Sub-Transfer Agent		Shareholder Services, Inc.
		DBA OppenheimerFunds Services

Independent Registered		KPMGLLP
Public Accounting Firm

Counsel		K&L Gates LLP

		Before investing in any of the Oppenheimer funds, investors should carefully consider a fund’s investment objective, risks, and charges and expenses. Fund prospectuses and summary prospectuses contain this and other information about the funds, and may be obtained by asking your financial advisor, visiting oppenheimerfunds.com, or calling us at 1.800.988.8287. Read prospectuses and summary prospectuses carefully before investing.

		The financial statements included herein have been taken from the records of the Fund without examination of those records by the independent registered public accounting firm.

		© 2014 OppenheimerFunds, Inc. All rights reserved. Oppenheimer funds are distributed by OppenheimerFunds Distributor, Inc.

LOGO


		June 30, 2014
		Oppenheimer Money Fund/VA A Series of Oppenheimer Variable Account Funds		Semiannual Report
		SEMIANNUAL REPORT Listing of Top Holdings Fund Performance Discussion Financial Statements

LOGO


Portfolio Managers: Christopher Proctor, CFA and Adam S. Wilde, CFA
Current Yield
For the 7-Day Period Ended 6/30/14
With Compounding			0.01%
Without Compounding			0.01%

For the 6-Month Period Ended 6/30/14
With Compounding			0.01%
Without Compounding			0.01%

Performance data quoted represents past performance, which does not guarantee future results. Yields are annualized and include dividends in a hypothetical investment for the periods shown. The investment return and principal value of an investment in the Fund will fluctuate so that an investor’s shares, when redeemed, may be worth more or less than their original cost. Current performance may be lower or higher than the performance quoted. For performance data current to the most recent month end, call us at 1.800.988.8287. The Fund’s total returns should not be expected to be the same as the returns of other funds, whether or not both funds have the same portfolio managers and/or similar names. The Fund’s total returns do not include the charges associated with the separate account products that offer this Fund. Such performance would have been lower if such charges were taken into account.


PORTFOLIO ALLOCATION
Short-Term Notes/Commercial Paper			41.5%
Certificates of Deposit			37.6
Direct Bank Obligations			20.9

Portfolio holdings and allocations are subject to change. Percentages are as of June 30, 2014, and are based on the total market value of investments.

2 OPPENHEIMER MONEY FUND/VA

Fund Performance Discussion

Despite volatility among long-term interest rates stemming from changing economic expectations and a shift in U.S. monetary policy, short-term rates and money market yields remained stable near historical lows, anchored by the Federal Reserve’s (the “Fed”) unchanged target of between 0% and 0.25% for the overnight federal funds rate.

MARKET OVERVIEW

Markets were volatile to start the reporting period in January 2014 amid fears that political and economic instability in the world’s emerging markets might further dampen the U.S. economic recovery. While these fears generally failed to materialize, economic activity was constrained by unusually harsh winter weather over much of the United States, which caused downturns in consumer spending, corporate investment, and business inventory replenishment. Therefore, despite an additional cut in quantitative easing and signs of ongoing strength in U.S. labor markets, U.S. Gross Domestic Product contracted at a 2.1% annualized rate over the first quarter of 2014. Bonds generally rallied in this environment, and yields fell at the longer end of the market’s maturity range.

Many investors appeared to shrug off the economy’s weak quarterly performance in light of expectations that economic activity would bounce back in warmer weather. Economic data released in April and May lent credence to this view, as the unemployment rate fell to 6.3%, the economy finally regained all of the jobs lost during the 2008 recession, and the U.S. stock market achieved record highs. Shortly after the period ended, a positive June jobs report was released, in which the official unemployment rate fell to 6.1%, its lowest level since September 2008.

In spite of all the recent changes in investor sentiment, money market yields largely remained unchanged. Indeed, the Fed’s new chairperson in early 2014 backed away from previously established targets for unemployment and inflation, indicating that short-term rates would likely remain at current levels at least through the end of the year.

PORTFOLIO STRATEGY

In addition to the persistently low interest rate environment, money market yields were restrained by robust demand for a limited supply of eligible instruments and uncertainty surrounding proposed regulatory changes governing money market funds. Within these constraints, the Fund continued to generate consistent and competitive levels of current income.

As we have for some time, we maintained the Fund’s weighted average maturity throughout the reporting period in a range we considered to be in line with market averages for AAA-rated money market funds. From a portfolio composition perspective, we continued to avoid repurchase agreements due to the uncertainty surrounding potential regulatory changes. Instead, we have continued to favor commercial paper issued by global banks meeting our stringent credit criteria. We also increased the Fund’s exposure to floating rate securities on which yields are reset monthly or quarterly. In light of their low yields, the Fund held few U.S. Treasury securities over the reporting period.

Additionally, while the Fund did not partake in the Fed’s reverse repurchase program, we’ve experienced benefits from it this reporting period. The Fed’s reverse repurchase program was introduced as a method to help control short-term interest rates. Under the program, the Fed borrows funds overnight from money market funds, banks and other entities, offering Treasury securities as collateral. The borrowing entity receives 0.05% for the overnight loan. Although the Fund did not participate in the Fed’s program, we indirectly benefited from the increased supply of funds to the market.

STRATEGY & OUTLOOK

We currently expect the U.S. economy to rebound from its poor first quarter performance, but we have seen little change in the current imbalance of supply-and-demand dynamics. Consequently, we expect money market yields to remain range-bound for the foreseeable future. Over the longer term, however, we have begun to see some light at the end of the tunnel with regard to short-term interest rates. Should a 2015 rate hike by the Fed become more likely, we expect yields to rise in anticipation. The prospect of higher yields may prompt us to adjust our strategies, but in the meantime we intend to maintain a roughly market-neutral weighted average maturity, and we have retained our focus on high-quality instruments from fundamentally strong issuers.

An investment in the Fund is not insured or guaranteed by the Federal Deposit Insurance Corporation or any other government agency. Although the Fund seeks to preserve the value of your investment at $1.00 per share, it is possible to lose money by investing in the Fund.

3 OPPENHEIMER MONEY FUND/VA

Fund Expenses

The examples are based on an investment of $1,000.00 invested at the beginning of the period and held for the entire 6-month period ended June 30, 2014.

Hypothetical Example for Comparison Purposes.


Actual	Beginning Account Value January 1, 2014		Ending Account Value June 30, 2014		Expenses Paid During 6 Months Ended June 30, 2014
	$	1,000.00	$	1,000.10	$	0.89

Hypothetical
(5% return before expenses)
		1,000.00		1,023.90		0.90

Expense Ratios

0.18%

4 OPPENHEIMER MONEY FUND/VA

STATEMENT OF INVESTMENTS June 30, 2014 Unaudited


	Maturity Date*		Final Legal Maturity Date**		Principal Amount			Value
Certificates of Deposit—38.4%
Yankee Certificates of Deposit—38.4%
Bank of Montreal, Chicago:
0.06%		7/7/14		7/7/14	$	3,600,000	$		3,600,000
0.06%		7/3/14		7/3/14		1,300,000			1,300,000
0.17%		8/27/14		8/27/14		3,500,000			3,500,000
Bank of Nova Scotia, Houston TX:
0.239%¹		8/20/14		2/20/15		2,300,000			2,300,000
0.25%		1/5/15		1/5/15		2,000,000			2,000,000
BNP Paribas, New York:
0.34%		8/7/14		8/7/14		3,000,000			3,000,000
0.45%		9/19/14		9/19/14		3,000,000			3,000,000
Credit Suisse, New York Branch, 0.21%		7/29/14		7/29/14		1,000,000			1,000,000
DnB Bank ASA NY, 0.195%		9/24/14		9/24/14		4,700,000			4,700,000
Nordea Bank Finland plc, New York:
0.21%		11/14/14		11/14/14		1,700,000			1,700,000
0.21%		11/4/14		11/4/14		2,000,000			2,000,000
0.22%		7/1/14		7/1/14		3,700,000			3,700,000
Rabobank Nederland NV, New York:
0.251%¹		7/7/14		3/9/15		4,000,000			4,000,000
0.255%¹		7/31/14		10/31/14		800,000			800,000
0.27%¹		7/7/14		10/7/14		1,500,000			1,500,000
0.314%¹		10/20/14		7/17/15		1,800,000			1,800,000
Royal Bank of Canada, New York, 0.234%¹		7/18/14		2/18/15		2,000,000			2,000,000
Skandinaviska Enskilda Bank, New York:
0.20%		9/11/14		9/11/14		4,000,000			4,000,000
0.20%		9/4/14		9/4/14		3,000,000			3,000,000
Sumitomo Mutsui Bank NY, 0.08%		7/8/14		7/8/14		5,500,000			5,500,000
Svenska Handelsbanken, New York, 0.205%		11/17/14		11/17/14		800,000			800,015
Toronto Dominion Bank, New York, 0.24%		9/4/14		9/4/14		2,000,000			2,000,144
Wells Fargo Bank NA:
0.222%¹		7/6/14		12/5/14		3,500,000			3,500,000
0.235%¹		7/21/14		5/19/15		3,500,000			3,500,000
Total Certificates of Deposit (Cost $64,200,159)									64,200,159
Direct Bank Obligations—21.4%
Bank of Nova Scotia, New York:
0.205%		9/22/14		9/22/14		500,000			499,764
0.205%		8/4/14		8/4/14		2,500,000			2,499,516
Bank of Tokyo-Mitsubishi UFJ NY, 0.10%²		7/3/14		7/3/14		6,000,000			5,999,967
Credit Suisse, New York Branch:
0.17%		7/1/14		7/1/14		251,000			251,000
0.21%		8/12/14		8/12/14		1,100,000			1,099,731
0.24%		9/4/14		9/4/14		1,700,000			1,699,263
0.27%		9/15/14		9/15/14		2,500,000			2,498,575
DnB Bank ASA:
0.17%³		8/4/14		8/4/14		250,000			249,960
0.195%³		7/1/14		7/1/14		3,000,000			3,000,000
HSBC USA, Inc.:
0.23%		8/8/14		8/8/14		3,000,000			2,999,272
0.23%		8/4/14		8/4/14		3,000,000			2,999,348
0.24%		8/26/14		8/26/14		1,600,000			1,599,403
PNC Bank NA, 0.31%		2/23/15		2/23/15		5,000,000			5,000,000
Skandinaviska Enskilda BankenAB:
0.18%³		7/11/14		7/11/14		600,000			599,970
0.18%³		7/14/14		7/14/14		600,000			599,961
Svenska Handelsbanken, Inc., 0.20%³		10/24/14		10/24/14		3,500,000			3,497,764
Swedbank AB, 0.19%		8/20/14		8/20/14		620,000			619,836
Total Direct Bank Obligations (Cost $35,713,330)									35,713,330
Short-Term Notes/Commercial Paper—42.5%
Capital Markets—0.9%
BNP Paribas Finance, Inc., 0.29%		11/24/14		11/24/14		1,500,000			1,498,236
Leasing & Factoring—9.6%
American Honda Finance Corp.:
0.23%¹		9/4/14		6/4/15		5,000,000			5,000,000
0.23%¹		9/12/14		12/5/14		1,000,000			1,000,000
0.246%^1,2		7/17/14		7/17/14		2,000,000			2,000,000
Toyota Motor Credit Corp.:
0.191%¹		7/4/14		8/28/14		2,000,000			2,000,000

5 OPPENHEIMER MONEY FUND/VA

STATEMENT OF INVESTMENTS Unaudited / Continued


	Maturity Date*		Final Legal Maturity Date**		Principal Amount			Value
Leasing & Factoring (Continued)
Toyota Motor Credit Corp.: (Continued)
0.227%¹		7/14/14		1/14/15	$	2,000,000	$		2,000,000
0.23%		2/9/15		2/9/15		4,000,000			3,994,301
									15,994,301


Municipal—5.9%
CA Pollution Control Financing Authority Solid Waste Disposal Revenue Bonds, Zerep Management Corp., Series 2014, 0.10%¹		7/7/14		7/7/14		1,400,000			1,400,000
Calcasieu Parish, LA Public Trust Authority Solid Waste Disposal Revenue Bonds, WPT Corp. Project, Series 1997, 0.07%¹		7/7/14		7/7/14		5,600,000			5,600,000
San Antonio, TX Industrial Development Authority Revenue Bonds, Tindall Corp. Project, 0.20%¹		7/7/14		7/7/14		1,900,000			1,900,000
St. Paul, MN Bonds, Rivercentre Arena Project, Series 2009A, 0.15%¹		7/7/14		7/7/14		1,000,000			1,000,000
									9,900,000


Receivables Finance—10.6%
Barton Capital Corp., 0.07%³		7/1/14	��	7/1/14		2,848,000			2,848,000
Gemini Securitization Corp., 0.11%³		7/1/14		7/1/14		4,000,000			4,000,000
Manhattan Asset Funding Co., 0.16%³		7/1/14		7/1/14		600,000			600,000
Old Line Funding Corp.:
0.22%³		11/25/14		11/25/14		2,000,000			1,998,203
0.22%³		10/6/14		10/6/14		1,500,000			1,499,111
Thunder Bay Funding LLC:
0.22%³		10/10/14		10/10/14		2,000,000			1,998,765
0.24%³		9/8/14		9/8/14		1,500,000			1,499,310
Victory Receivables Corp., 0.06%³		7/2/14		7/2/14		2,400,000			2,399,996
White Plains Capital Co. LLC, 0.17%		7/1/14		7/1/14		1,000,000			1,000,000
									17,843,385


Special Purpose Financial—15.5%
Anglesea Funding LLC, 0.10%²		7/1/14		7/1/14		3,000,000			3,000,000
Collateralized Commercial Paper II Co. LLC, 0.401%		10/24/14		10/24/14		1,000,000			998,722
Concord Minutemen Cap. Corp. LLC:
0.20%		7/7/14		7/7/14		1,000,000			999,967
0.20%		7/24/14		7/24/14		1,600,000			1,599,796
0.20%		7/21/14		7/21/14		2,900,000			2,899,678
Crown Point Capital Co.:
0.18%		7/14/14		7/14/14		1,100,000			1,099,928
0.20%		7/25/14		7/25/14		2,100,000			2,099,720
0.20%		7/1/14		7/1/14		1,600,000			1,600,000
0.20%		7/8/14		7/8/14		1,000,000			999,961
Govco LLC:
0.18%³		8/15/14		8/15/14		1,900,000			1,899,573
0.18%³		7/17/14		7/17/14		3,000,000			2,999,760
0.18%³		8/1/14		8/1/14		3,100,000			3,099,519
Ridgefield Funding Co. LLC, 0.221%¹		7/3/14		11/3/14		2,500,000			2,500,000
									25,796,624
Total Short-Term Notes/Commercial Paper (Cost $71,032,546)									71,032,546
Total Investments, at Value (Cost $170,946,035)						102.3%			170,946,035
Net Other Assets (Liabilities)						(2.3)			(3,906,570)
Net Assets						100.0%	$		167,039,465

Footnotes to Statement of Investments

Short-term notes and direct bank obligations are generally traded on a discount basis; the interest rate shown is the discount rate received by the Fund at the time of purchase. Other securities normally bear interest at the rates shown.

* The Maturity Date represents the date used to calculate the Fund’s weighted average maturity as determined under Rule 2a-7.

** If different from the Maturity Date, the Final Legal Maturity Date includes any maturity date extensions which may be affected at the option of the issuer or unconditional payments of principal by the issuer which may be affected at the option of the Fund, and represents the date used to calculate the Fund’s weighted average life as determined under Rule 2a-7.

1. Represents the current interest rate for a variable or increasing rate security.

2. Represents securities sold under Rule 144A, which are exempt from registration under the Securities Act of 1933, as amended. These securities have been determined to be liquid under guidelines established by the Board of Trustees. These securities amount to $10,999,967 or 6.59% of the Fund’s net assets as of June 30, 2014.

3. Security issued in an exempt transaction without registration under the Securities Act of 1933. Such securities amount to $32,789,892 or 19.63% of the Fund’s net assets, and have been determined to be liquid pursuant to guidelines adopted by the Board of Trustees.

See accompanying Notes to Financial Statements.

6 OPPENHEIMER MONEY FUND/VA

STATEMENT OF ASSETS AND LIABILITIES June 30, 2014 Unaudited


Assets
Investments, at value (cost $170,946,035)—see accompanying statement of investments	$	170,946,035
Cash		2,021,931
Receivables and other assets:
Shares of beneficial interest sold		103,660
Interest		35,716
Other		22,771
Total assets		173,130,113
Liabilities
Payables and other liabilities:
Shares of beneficial interest redeemed		6,065,665
Trustees’ compensation		18,398
Dividends		404
Other		6,181
Total liabilities		6,090,648
Net Assets	$	167,039,465

Composition of Net Assets
Par value of shares of beneficial interest	$	167,032
Additional paid-in capital		166,869,824
Accumulated net investment loss		(121)
Accumulated net realized gain on investments		2,730
Net Assets - applicable to 167,032,241 shares of beneficial interest outstanding	$	167,039,465


Net Asset Value. Redemption Price Per Share and Offering Price Per Share		$1.00

See accompanying Notes to Financial Statements.

7 OPPENHEIMER MONEY FUND/VA

STATEMENT OF OPERATIONS For the Six Months Ended June 30, 2014 Unaudited


Investment Income
Interest	$	172,380

Expenses
Management fees		403,222
Transfer and shareholder servicing agent fees		89,605
Trustees’ compensation		12,995
Custodian fees and expenses		814
Shareholder communications:		812
Other		25,436
Total expenses		532,884
Less waivers and reimbursements of expenses		(369,460)
Net expenses		163,424
Net Investment Income		8,956

Realized Gain		2,730

Net Increase in Net Assets Resulting from Operations	$	11,686

See accompanying Notes to Financial Statements.

8 OPPENHEIMER MONEY FUND/VA

STATEMENT OF CHANGES IN NET ASSETS


	Six Months Ended June 30, 2014 (Unaudited)		Year Ended December 31, 2013
Operations
Net investment income	$	8,956	$ 18,234
Net realized gain		2,730	2,445

Net increase in net assets resulting from operations		11,686	20,679


Dividends and/or Distributions to Shareholders
Dividends from net investment income		(9,328)	(24,504)
Beneficial Interest Transactions
Net increase (decrease) in net assets resulting from beneficial interest transactions		(9,989,296)	2,601,903
Net Assets
Total increase (decrease)		(9,986,938)	2,598,078
Beginning of period		177,026,403	174,428,325


End of period (including accumulated net investment income (loss) of $(121) and $251, respectively)	$	167,039,465	$ 177,026,403

See accompanying Notes to Financial Statements.

9 OPPENHEIMER MONEY FUND/VA

FINANCIAL HIGHLIGHTS


	Six Months Ended June 30, 2014 (Unaudited)		Year Ended December 31, 2013		Year Ended December 31, 2012			Year Ended December 30, 2011¹		Year Ended December 31, 2010		Year Ended December 31, 2009
Per Share Operating Data
Net asset value, beginning of period	$	1.00	$	1.00	$	1.00		$	1.00	$	1.00	$ 1.00
Income from investment operations -net investment income and net realized gain²		0.00³		0.00³		0.00³			0.00³		0.00³	0.00³
Dividends and/or distributions to shareholders:
Dividends from net investment income		0.00³		0.00³		0.00³			0.00³		0.00³	0.00³
Net asset value, end of period	$	1.00	$	1.00	$	1.00		$	1.00	$	1.00	$ 1.00



Total Return, at Net Asset Value⁴		0.01%		0.01%		0.01%			0.01%		0.03%	0.32%


Ratios/Supplemental Data
Net assets, end of period (in thousands)	$	167,039	$	177,026	$	174,428	��	$	163,973	$	149,697	$ 180,955
Average net assets (in thousands)	$	181,606	$	178,263	$	164,276		$	156,127	$	164,258	$ 218,079
Ratios to average net assets:⁵
Net investment income		0.01%		0.01%		0.01%			0.01%		0.01%	0.35%
Total expenses		0.59%		0.61%		0.62%			0.61%		0.61%	0.57%
Expenses after payments, waivers and/or reimbursements and reduction to custodian expenses		0.18%		0.22%		0.30%			0.29%		0.35%	0.48%

1. December 30, 2011 represents the last business day of the Fund’s reporting period.

2. Per share amounts calculated based on the average shares outstanding during the period.

3. Less than $0.005 per share.

5. Annualized for periods less than one full year.

See accompanying Notes to Financial Statements.

10 OPPENHEIMER MONEY FUND/VA

NOTES TO FINANCIAL STATEMENTS June 30, 2014 Unaudited

1. Significant Accounting Policies

Oppenheimer Money Fund/VA (the “Fund”), a separate series of Oppenheimer Variable Account Funds, is a diversified open-end management investment company registered under the Investment Company Act of 1940, as amended. The Fund’s investment objective is to seek income consistent with stability of principal. The Fund’s investment adviser is OFI Global Asset Management, Inc. (“OFI Global” or the “Manager”), a wholly-owned subsidiary of OppenheimerFunds Inc. (“OFI” or the “Sub-Adviser”). The Manager has entered into a sub-advisory agreement with OFI. Shares of the Fund are sold only to separate accounts of life insurance companies.

The following is a summary of significant accounting policies consistently followed by the Fund.

Dividends and Distributions to Shareholders. Dividends and distributions to shareholders, which are determined in accordance with income tax regulations and may differ from U.S. generally accepted accounting principles, are recorded on the ex-dividend date. Income distributions, if any, are declared daily and paid monthly. Capital gain distributions, if any, are declared and paid annually but may be paid at other times to maintain the net asset value per share at $1.00. The tax character of distributions is determined as of the Fund’s fiscal year end. Therefore, a portion of the Fund’s distributions made to shareholders prior to the Fund’s fiscal year end may ultimately be categorized as a tax return of capital.

Investment Income. Interest income is recognized on an accrual basis. Discount and premium, which are included in interest income on the Statement of Operations, are amortized or accreted daily.

Security Transactions. Security transactions are recorded on the trade date. Realized gains and losses on securities sold are determined on the basis of identified cost.

2. Securities Valuation

11 OPPENHEIMER MONEY FUND/VA

NOTESTO FINANCIAL STATEMENTS Unaudited / Continued

2. Securities Valuation (Continued)

Valuation Methods and Inputs

Securities are valued at cost adjusted by the amortization of discount or premium to maturity (amortized cost), which approximates market value. If amortized cost is determined not to approximate market value, the fair value of the portfolio securities will be determined under procedures approved by the Fund’s Board of Trustees.

Classifications

1) Level 1-unadjusted quoted prices in active markets for identical assets or liabilities (including securities actively traded on a securities exchange)

3) Level 3-significant unobservable inputs (including the Manager’s own judgments about assumptions that market participants would use in pricing the asset or liability).

The inputs used for valuing securities are not necessarily an indication of the risks associated with investing in those securities.

The table below categorizes amounts that are included in the Fund’s Statement of Assets and Liabilities as of June 30, 2014 based on valuation input level:


	Level 1— Unadjusted Quoted Prices		Level 2— Other Significant Observable Inputs		Level 3— Significant Unobservable Inputs		Value

Investments, at Value:
Assets Table
Certificates of Deposit	$	—	$	64,200,159	$	—	$	64,200,159
Direct Bank Obligations		—		35,713,330		—		35,713,330
Short-Term Notes/Commercial Paper		—		71,032,546		—		71,032,546

Total Assets	$	—	$	170,946,035	$	—	$	170,946,035

3. Shares of Beneficial Interest

The Fund has authorized an unlimited number of $0.001 par value shares of beneficial interest of each class. Transactions in shares of beneficial interest were as follows:


	Six Months Ended June 30, 2014				Year Ended December 31, 2013
	Shares		Amount		Shares		Amount

Sold		75,020,548	$	75,020,548		101,203,375	$	101,203,375
Dividends and/or distributions reinvested		9,328		9,328		24,504		24,504
Redeemed		(85,019,172)		(85,019,172)		(98,625,976)		(98,625,976)

Net increase (decrease)		(9,989,296)	$	(9,989,296)		2,601,903	$	2,601,903

12 OPPENHEIMER MONEY FUND/VA

4. Fees and Other Transactions with Affiliates

Management Fees. Under the investment advisory agreement, the Fund pays the Manager a management fee based on the daily net assets of the Fund at an annual rate as shown in the following table:


Fee Schedule

Up to $500 million			0.450%
Next $500 million			0.425
Next $500 million			0.400
Over $1.5 billion			0.375

Waivers and Reimbursements of Expenses. The Manager has voluntarily undertaken to waive fees and/or reimburse expenses to the extent necessary to assist the Fund in attempting to maintain a positive yield. There is no guarantee that the Fund will maintain a positive yield. During the six months ended June 30, 2014, the Manager waived fees and/or reimbursed the Fund $286,859.

The Manager has contractually agreed to limit the Fund’s expenses after payments, waivers and/or reimbursements and reduction to custodian expenses, excluding expenses incurred directly or indirectly by the Fund as a result of investments in other investment companies, wholly-owned subsidiaries and pooled investment vehicles; so that those expenses, as percentages of daily net assets, will not exceed the annual rate of 0.50%. As a result of this limitation, the Manager waived $82,601 for the six months ended June 30, 2014.

Effective April 30, 2013, the Manager is permitted to recapture previously waived and/or reimbursed fees in any given fiscal year if the recapture would not: 1) cause the Fund to generate a negative daily yield, and 2) exceed amounts previously waived and/or reimbursed under this arrangement during the current and prior three fiscal years. The reimbursement to the Manager of such previous waivers and reimbursements would not include any portion of distribution and/or service fees. As of June 30, 2014, the following waived and/or reimbursed amounts are eligible for recapture:


Expires

December 31, 2016	$	486,156
December 31, 2017		369,460

The Manager has not recaptured any previously waived and/or reimbursed amounts during the six months ended June 30, 2014.

Some of these undertakings may be modified or terminated at any time; some may not be modified or terminated until after one year from the date of the current prospectus, as indicated therein.

5. Pending Litigation

13 OPPENHEIMER MONEY FUND/VA

NOTESTO FINANCIAL STATEMENTS Unaudited / Continued

5. Pending Litigation (Continued)

14 OPPENHEIMER MONEY FUND/VA

PORTFOLIO PROXY VOTING POLICIES AND PROCEDURES; UPDATES TO

STATEMENTS Unaudited

15 OPPENHEIMER MONEY FUND/VA

OPPENHEIMER MONEY FUND/VA

A Series of Oppenheimer Variable Account Funds


Trustees and Officers		Sam Freedman, Chairman of the Board of Trustees and Trustee
		Edward L. Cameron, Trustee
		Jon S. Fossel, Trustee
		Richard F. Grabish, Trustee
		Beverly L. Hamilton, Trustee
		Victoria J. Herget, Trustee
		Robert J. Malone, Trustee
		F. William Marshall, Jr., Trustee
		Karen L. Stuckey, Trustee
		James D. Vaughn, Trustee
		William F. Glavin, Jr., Trustee, President and Principal Executive Officer
		Christopher Proctor, Vice President
		Adam Wilde, Vice President
		Arthur S. Gabinet, Secretary and Chief Legal Officer
		Christina M. Nasta, Vice President and Chief Business Officer
		Mary Ann Picciotto, Chief Compliance Officer and Chief Anti-Money Laundering Officer
		Brian W. Wixted, Treasurer and Principal Financial & Accounting Officer

Manager		OFI Global Asset Management, Inc.

Sub-Adviser		OppenheimerFunds, Inc.

Distributor		OppenheimerFunds Distributor, Inc.

Transfer and		OFI Global Asset Management, Inc.
Shareholder
Servicing Agent

Sub-Transfer Agent		Shareholder Services, Inc.
		DBA OppenheimerFunds Services

Independent		KPMG LLP
Registered
Public
Accounting
Firm

Counsel		K&L Gates LLP

		Before investing in any of the Oppenheimer funds, investors should carefully consider a fund’s investment objectives, risks, charges and expenses. Fund prospectuses and summary prospectuses contain this and other information about the funds and may be obtained by asking your financial advisor, visiting oppenheimerfunds.com or calling us at 1.800.988.8287. Read prospectuses and summary prospectuses carefully before investing.

		The financial statements included herein have been taken from the records of the Fund without examination of those records by the independent registered public accounting firm.

		© 2014 OppenheimerFunds, Inc. All rights reserved. Oppenheimer funds are distributed by OppenheimerFunds Distributor, Inc.

LOGO

Portfolio Managers: Krishna Memani, Sara J. Zervos, Ph.D. and Jack Brown, CFA

Cumulative Total Returns

For the 6-Month Period Ended 6/30/14


Non-Service Shares	4.39	%
Service Shares	4.19

Average Annual Total Returns

For the Periods Ended 6/30/14


	1-Year		5-Year		10-Year
Non-Service Shares		6.77%		8.99%		6.28%
Service Shares		6.52%		8.70%		6.01%

Performance data quoted represents past performance, which does not guarantee future results. The investment return and principal value of an investment in the Fund will fluctuate so that an investor’s shares, when redeemed, may be worth more or less than their original cost. Current performance may be lower or higher than the performance quoted. For performance data current to the most recent month end, call us at 1.800.988.8287. The Fund’s total returns should not be expected to be the same as the returns of other funds, whether or not both funds have the same portfolio managers and/or similar names. The Fund’s total returns include changes in share price and reinvested distributions but do not include the charges associated with the separate account products that offer this Fund. Such performance would have been lower if such charges were taken into account.


PORTFOLIO ALLOCATION
Corporate Bonds and Notes			40.5%
Foreign Government Obligations			16.0
Mortgage-Backed Obligations
Government Agency			6.2
Non-Agency			9.5
Investment Companies
Oppenheimer Institutional Money Market Fund			2.6
Oppenheimer Master Event-Linked Bond Fund, LLC			2.2
Oppenheimer Master Loan Fund, LLC			4.9
Oppenheimer Ultra-Short Duration Fund			2.2
U.S. Government Obligations			5.3
Short-Term Notes			3.6
Corporate Loans			3.6
Asset-Backed Securities			2.4
Structured Securities			0.8
Preferred Stocks			0.1
Common Stocks			0.1
Over-the-Counter Credit Default Swaptions Purchased			—*
Over-the-Counter Options Purchased			—*
Rights, Warrants and Certificates			—*
Over-the-Counter Interest Rate Swaptions Purchased			—*

*	Represents a value of less than 0.005%.

Portfolio holdings and allocations are subject to change. Percentages are as of June 30, 2014, and are based on the total market value of investments.


CREDIT RATING BREAKDOWN		NRSRO ONLY TOTAL
AAA		14.3%
AA		1.1
A		6.8
BBB		25.0
BB		14.0
B		20.7
CCC		6.8
CC		0.4
C		0.0
D		0.6
Unrated		10.3
Total		100.0%

The percentages above are based on the market value of the Fund’s securities as of June 30, 2014, and are subject to change. Except for securities labeled “Unrated,” and except for certain securities issued or guaranteed by a foreign sovereign, all securities have been rated by at least one Nationally Recognized Statistical Rating Organization (“NRSRO”), such as Standard & Poor’s (“S&P”). For securities rated only by an NRSRO other than S&P, OppenheimerFunds, Inc. (the “Sub-Adviser”) converts that rating to the equivalent S&P rating. If two or more NRSROs have assigned a rating to a security, the highest S&P equivalent rating is used. Unrated securities issued or guaranteed by a foreign sovereign are assigned a credit rating equal to the highest NRSRO rating assigned to that foreign sovereign. For securities not rated by an NRSRO, the Sub-Adviser uses its own credit analysis to assign ratings in categories similar to those of S&P. The use of similar categories is not an indication that the sub-adviser’s credit analysis process is consistent or comparable with any NRSRO’s process were that NRSRO to rate the same security. Fund assets invested in Oppenheimer Institutional Money Market Fund are assigned that fund’s S&P rating, which is currently AAA. For the purposes of this table, “investment-grade” securities are securities rated within the NRSROs’ four highest rating categories (AAA, AA, A and BBB). Unrated securities do not necessarily indicate low credit quality, and may or may not be the equivalent of investment-grade. Please consult the Fund’s prospectus and Statement of Additional Information for further information.

2 OPPENHEIMER GLOBAL STRATEGIC INCOME FUND/VA

Fund Performance Discussion

The Fund’s Non-Service shares returned 4.39% during the period, underperforming its Reference Index, which returned 5.29%. The Fund’s Reference Index (the “Index”) is a customized weighted index currently comprised of 40% of the Citigroup Non-U.S. World Government Bond Index, 30% of the JPMorgan Domestic High Yield Index and 30% of the Barclays U.S. Aggregate Bond Index.

The Fund’s underperformance to the Reference Index occurred primarily over the first half of the reporting period, and was largely the result of its exposure to emerging market debt denominated in local currencies. The Fund received its best results from its investment in mortgages this reporting period.

GLOBAL MARKET AND ECONOMIC ENVIRONMENT

The global economy started 2014 with continued slow and steady growth throughout the developed world. However, data in the U.S. softened for the first quarter, partially attributed to cold weather effects across much of the country. In addition, renewed concerns about economic instability in the emerging markets caused some analysts to question the sustainability of the global economic recovery, and the markets responded negatively to rising geopolitical tensions between Russia and Ukraine. This resulted in heightened volatility across multiple asset classes to begin the year. Growth in the Eurozone remained anemic, and the outlook for China softened a bit on the back of weaker economic data.

However, in the spring, the U.S. and global economic recoveries seemed to get back on track. Robust U.S. employment gains and mildly encouraging economic data in Europe helped address investors’ concerns. Central banks throughout the world also maintained stimulative monetary policies. Among the central bank measures that boosted the markets this reporting period, the European Central Bank (the “ECB”) announced numerous measures in June, including a benchmark interest rate cut, the introduction of a negative deposit rate to encourage banks to lend, among various other measures to flood the system with liquidity. Beyond that, the ECB said it would prepare to purchase packages of loans from banks to allow for increased lending. In June, the Fed also stated it would reduce the amount of monthly bond purchases by an additional $10 billion and reaffirmed its intention to keep short-term interest rates near zero. U.S. economic data released in April and May was positive, as the unemployment rate fell to 6.3%, the economy finally regained all of the jobs lost during the 2008 recession, and the U.S. stock market achieved record highs. Shortly after the reporting period ended, a positive June jobs report was released, in which the unemployment rate fell to 6.1%, its lowest level since September 2008.

FUND REVIEW

Our security selection in emerging market debt was a negative this reporting period and our allocation to Russia hurt performance on the back of geopolitical turmoil in Ukraine. While we continue to have a sizable investment in emerging market debt (primarily denominated in U.S. dollars) at period end, we have reduced our exposure to Russia and emerging market debt in general this reporting period. We remain cautious that the possibility of earlier-than-expected Fed tightening could negatively impact emerging market debt, but we continue to view emerging market debt as an important diversifier and attractive potential source of returns for several reasons. First, emerging market default risk is significantly lower than in the past as many economies have grown stronger, their balance sheets are in better shape and their monetary/fiscal policies are much improved. Second, many emerging market countries have the flexibility to run countercyclical monetary policies. Third, several countries that have been raising rates are at or near the end of their respective tightening cycles and considering moves toward easing. Based on our assessment of the underlying fundamentals, including current valuations, we remain optimistic on the prospects of emerging market debt at period end. Also detracting from relative performance was an underweight position in the yen, which rallied this reporting period.

The Fund received strong absolute and relative results from mortgages this reporting period as interest rates rallied. These investment-grade securities offered relatively attractive yields, sparking greater demand as investors resumed their search for more competitive levels of current income. However, we began to reduce the Fund’s exposure to mortgage-backed securities later in the reporting period when valuations rose to richer levels and re-allocated the capital into high yield. The Fund’s investments in mortgages at period end include new vintage collateralized mortgage-backed securities (“CMBS”) and some older subprime CMBS. Although high yield spreads are tighter than they were a year ago, we continue to believe high yield has some of the most attractive fundamentals in the fixed income universe. The high yield portfolio produced positive absolute results during the reporting period, with contributions coming from bonds in the transportation, technology and health care sectors. However, the high yield portfolio underperformed the JPMorgan Domestic High Yield Index. Overall, the Fund has maintained a focus on lower-rated bonds at period end, favoring B-rated bonds over BB-rated bonds, and also maintained an allocation to CCC-rated bonds. While the performance of lower-rated bonds was positive on an absolute basis, this positioning detracted from relative performance for the period as lower-rated bonds generally underperformed higher-rated bonds.

3 OPPENHEIMER GLOBAL STRATEGIC INCOME FUND/VA

Also producing positive absolute performance were our positions in European credit. Our rationale for owning this exposure is simple. We view the risk of the Eurozone breaking up as small and getting smaller, and the U.S. economy has stabilized. For the global economy to improve, we believe Europe will need to stabilize further. It appears as though European credit quality is no longer deteriorating, and we believe spreads are attractive versus their U.S. counterparts. We believe one of the bigger potential surprises for the market might be if Europe can stabilize faster than investors expect. We are prepared for that possibility. It was our view that if the ECB decided to ease, European credit would benefit, and that view has proved correct so far.

Finally, we ended the reporting period with a relatively short average duration. Our short duration positioning contributed to relative performance in 2013 but detracted this reporting period as rates rallied. More broadly, we expect rates to continue rising for several years, although with some volatility. As a result, we expect to be short duration for quite some time.

STRATEGY & OUTLOOK

We believe the market will continue to react strongly to changes in expectations about the rate of growth in the U.S. and when the Fed will start tightening. However, at period end, we do not believe that tightening in the U.S. will begin in 2014. We think the Fed is on a steady path of tapering, and we expect there will be consistency in domestic monetary policy, with potentially positive changes coming from other regions. For example, the ECB has eased once and could ease again to address anemic growth and low inflation in Europe, Japan could undertake additional stimulus as it continues to implement its monetary policies (known as “Abenomics”) in the wake of slow economic growth, and certain emerging market countries are at or near the end of their respective tightening cycles and contemplating a move toward easing. We also believe the U.S. dollar has the potential to strengthen. In our opinion, such an environment would favor credit and spread products.

The Fund’s investment strategy and focus can change over time. The mention of specific fund holdings does not constitute a recommendation by OppenheimerFunds, Inc. or its affiliates.

4 OPPENHEIMER GLOBAL STRATEGIC INCOME FUND/VA

Fund Expenses

The examples are based on an investment of $1,000.00 invested at the beginning of the period and held for the entire 6-month period ended June 30, 2014.

Hypothetical Example for Comparison Purposes.


Actual	Beginning Account Value January 1, 2014		Ending Account Value June 30, 2014		Expenses Paid During 6 Months Ended June 30, 2014
Non-Service shares	$	1,000.00	$	1,043.90	$	3.60
Service shares		1,000.00		1,041.90		4.82

Hypothetical (5% return before expenses)
Non-Service shares		1,000.00		1,021.27		3.56
Service shares		1,000.00		1,020.08		4.77

The expense ratios reflect voluntary and/or contractual waivers and/or reimbursements of expenses by the Fund’s Manager. Some of these undertakings may be modified or terminated at any time, as indicated in the Fund’s prospectus. The “Consolidated Financial Highlights” tables in the Fund’s consolidated financial statements, included in this report, also show the gross expense ratios, without such waivers or reimbursements and reduction to custodian expenses, if applicable.

5 OPPENHEIMER GLOBAL STRATEGIC INCOME FUND/VA



CONSOLIDATED STATEMENT OF INVESTMENTS June 30, 2014 Unaudited


	Principal Amount		Value

Asset-Backed Securities—2.4%

American Credit Acceptance Receivables Trust:
Series 2012-2, Cl. D, 5.91%, 7/15/19¹	$	2,100,000	$	2,142,902
Series 2012-3, Cl. C, 2.78%, 9/17/18¹		125,000		126,146
Series 2013-2, Cl. C, 3.96%, 5/15/19¹		2,051,000		2,087,818

AmeriCredit Automobile Receivables Trust:
Series 2012-3, Cl. E, 4.46%, 11/8/19¹		360,000		382,403
Series 2012-4, Cl. D, 2.68%, 10/9/18		220,000		226,010
Series 2013-2, Cl. E, 3.41%, 10/8/20¹		560,000		572,058
Series 2013-3, Cl. D, 3.00%, 7/8/19		440,000		453,393
Series 2013-3, Cl. E, 3.74%, 12/8/20¹		1,995,000		2,054,137
Series 2013-5, Cl. D, 2.86%, 12/8/19		220,000		224,333
Series 2014-2, Cl. D, 2.57%, 7/8/20		300,000		301,800

Axius Europe CLO SA, Series 2007-1X, Cl. E, 4.929%, 11/15/23²	EUR	212,712		277,002

Cadogan Square CLO IV BV, Series 4X, Cl. D, 1.956%, 7/24/23²	EUR	1,200,000		1,443,945

California Republic Auto Receivables Trust:
Series 2013-2, Cl. C, 3.32%, 8/17/20		365,000		369,423
Series 2014-2, Cl. C, 3.29%, 3/15/21		130,000		130,210

Capital Auto Receivables Asset Trust:
Series 2013-1, Cl. D, 2.19%, 9/20/21		275,000		276,028
Series 2013-4, Cl. D, 3.22%, 5/20/19		170,000		174,098
Series 2014-1, Cl. D, 3.39%, 7/22/19		185,000		190,135

CarMax Auto Owner Trust, Series 2014-2, Cl. D, 2.58%, 11/16/20		450,000		451,503

CPS Auto Receivables Trust, Series 2012-C, Cl. A, 1.82%, 12/16/19¹		112,802		113,847

Credit Acceptance Auto Loan Trust, Series 2012-2A, Cl. B, 2.21%, 9/15/20¹		100,000		101,356

DT Auto Owner Trust:
Series 2012-2A, Cl. D, 4.35%, 3/15/19¹		605,000		616,918
Series 2013-1A, Cl. D, 3.74%, 5/15/20¹		7,285,000		7,432,980
Series 2013-2A, Cl. D, 4.18%, 6/15/20¹		675,000		695,182
Series 2014-1A, Cl. D, 3.98%, 1/15/21¹		580,000		588,474

Exeter Automobile Receivables Trust:
Series 2012-2A, Cl. C, 3.06%, 7/16/18¹		65,000		66,414
Series 2013-2A, Cl. C, 4.35%, 1/15/19¹		635,000		661,360
Series 2014-1A, Cl. B, 2.42%, 1/15/19¹		370,000		373,305
Series 2014-1A, Cl. C, 3.57%, 7/15/19¹		370,000		380,867
Series 2014-2A, Cl. A, 1.06%, 8/15/18¹		180,000		180,011
Series 2014-2A, Cl. C, 3.26%, 12/16/19¹		180,000		181,196

First Investors Auto Owner Trust:
Series 2012-1A, Cl. D, 5.65%, 4/15/18¹		285,000		299,519
Series 2013-3A, Cl. C, 2.91%, 1/15/20¹		265,000		269,898
Series 2013-3A, Cl. D, 3.67%, 5/15/20¹		195,000		200,189

GM Financial Automobile Leasing Trust, Series 2014-1A, Cl. D, 2.51%, 3/20/19¹		305,000		306,057

Halcyon Structured Asset Management European CLO BV, Series 2006-IIX, Cl. E, 4.254%, 1/25/23²	EUR	1,405,000		1,826,134

Harvest CLO IA SA:
Series I-X, Cl. C, 2.216%, 3/29/17²	EUR	235,000		321,746
Series I-X, Cl. D, 3.316%, 3/29/17²	EUR	595,000		798,047
Series I-X, Cl. E, 7.916%, 3/29/17²	EUR	595,000		785,695

Highlander Euro CDO II Cayman Ltd., Series 2006-2CX, Cl. E, 3.811%, 12/14/22²	EUR	1,388,921		1,809,040


	Principal Amount		Value

Asset-Backed Securities (Continued)

ICE EM CLO:
Series 2007-1A, Cl. B, 2.029%, 8/15/22^2,3	$	7,870,000	$	6,886,250
Series 2007-1A, Cl. C, 3.329%, 8/15/22^2,3		5,270,000		4,268,700
Series 2007-1A, Cl. D, 5.329%, 8/15/22^2,3		5,270,000		4,532,200

Santander Drive Auto Receivables Trust:
Series 2012-3, Cl. D, 3.64%, 5/15/18		880,000		919,362
Series 2012-5, Cl. D, 3.30%, 9/17/18		540,000		561,821
Series 2012-AA, Cl. D, 2.46%, 12/17/18¹		825,000		839,268
Series 2013-1, Cl. D, 2.27%, 1/15/19		920,000		932,758
Series 2013-2, Cl. D, 2.57%, 3/15/19		1,110,000		1,135,645
Series 2013-3, Cl. D, 2.42%, 4/15/19		950,000		965,638
Series 2013-5, Cl. D, 2.73%, 10/15/19		520,000		530,832
Series 2013-A, Cl. C, 3.12%, 10/15/19¹		1,195,000		1,234,378

SLM Private Credit Student Loan Trust, Series 2005-B, Cl. B, 0.631%, 6/15/39²		1,882,470		1,656,699

SNAAC Auto Receivables Trust:
Series 2012-1A, Cl. C, 4.38%, 6/15/17¹		50,000		50,806
Series 2013-1A, Cl. C, 3.07%, 8/15/18¹		220,000		224,823

Stichting Halcyon Structured Asset Management European, Series 2007-IX, Cl. E, 4.206%, 7/24/23²	EUR	706,933		828,796

TAL Advantage LLC, Series 2014-2A, Cl. A1, 1.70%, 5/20/39¹		205,533		205,769

Theseus European CLO SA, Series 2006-1X, Cl. E, 4.387%, 8/27/22²	EUR	1,490,000		1,930,297

Trip Rail Master Funding LLC, Series 2014-1A, Cl. A1, 2.863%, 4/15/44¹		154,051		155,176

United Auto Credit Securitization Trust:
Series 2012-1, Cl. C, 2.52%, 3/15/16¹		245,000		246,241
Series 2013-1, Cl. B, 1.74%, 4/15/16¹		360,000		361,473
Series 2013-1, Cl. C, 2.22%, 12/15/17¹		230,000		231,607
Series 2013-1, Cl. D, 2.90%, 12/15/17¹		40,000		40,373

Westlake Automobile Receivables Trust, Series 2014-1A, Cl. D, 2.20%, 2/15/21¹		245,000		244,888

Total Asset-Backed Securities (Cost $59,349,998)				58,875,379


Mortgage-Backed Obligations—16.3%

Government Agency—6.4%

FHLMC/FNMA/FHLB/Sponsored—6.3%

Federal Home Loan Mortgage Corp. Gold Pool:
5.00%, 9/1/33		589,411		654,812
5.50%, 9/1/39		746,361		841,396
6.00%, 5/1/18-11/1/21		185,605		205,135
6.50%, 3/1/18-8/1/32		788,041		887,869
7.00%, 10/1/31-10/1/37		161,928		184,011
7.50%, 1/1/32		436,411		512,697

Federal Home Loan Mortgage Corp., Interest-Only Stripped Mtg.-Backed Security:
Series 192,Cl. IO, 8.457%, 2/1/28⁴		11,220		2,476
Series 205,Cl. IO, 12.106%, 9/1/29⁴		65,248		15,424
Series 243,Cl. 6, 0.00%, 12/15/32^4,5		156,223		31,419

Federal Home Loan Mortgage Corp., Mtg.-Linked Amortizing Global Debt Securities, Series 2012-1, Cl. A10, 2.06%, 1/15/22		603,214		608,299

Federal Home Loan Mortgage Corp., Real Estate Mtg. Investment Conduit Multiclass Pass-Through Certificates:
Series 1360,Cl. PZ, 7.50%, 9/15/22		478,246		537,544
Series 151,Cl. F, 9.00%, 5/15/21		10,915		12,073
Series 1674,Cl. Z, 6.75%, 2/15/24		310,441		346,669
Series 1897,Cl. K, 7.00%, 9/15/26		866,848		980,650
Series 2043,Cl. ZP, 6.50%, 4/15/28		327,481		369,682

6 OPPENHEIMER GLOBAL STRATEGIC INCOME FUND/VA


	Principal Amount		Value

FHLMC/FNMA/FHLB/Sponsored (Continued)

Federal Home Loan Mortgage Corp., Real Estate Mtg. Investment Conduit Multiclass Pass-Through Certificates: (Continued)
Series 2106,Cl. FG, 0.602%, 12/15/28²	$	567,668	$	572,920
Series 2122,Cl. F, 0.602%, 2/15/29²		15,623		15,761
Series 2148,Cl. ZA, 6.00%, 4/15/29		384,362		425,691
Series 2195,Cl. LH, 6.50%, 10/15/29		240,368		269,590
Series 2326,Cl. ZP, 6.50%, 6/15/31		30,049		33,900
Series 2344,Cl. FP, 1.102%, 8/15/31²		150,475		154,534
Series 2368,Cl. PR, 6.50%, 10/15/31		118,952		134,279
Series 2412,Cl. GF, 1.102%, 2/15/32²		247,717		254,474
Series 2449,Cl. FL, 0.702%, 1/15/32²		173,790		175,897
Series 2451,Cl. FD, 1.152%, 3/15/32²		94,511		97,250
Series 2453,Cl. BD, 6.00%, 5/15/17		27,668		29,313
Series 2461,Cl. PZ, 6.50%, 6/15/32		437,751		493,224
Series 2464,Cl. FI, 1.152%, 2/15/32²		78,714		80,909
Series 2470,Cl. AF, 1.152%, 3/15/32²		162,159		166,860
Series 2470,Cl. LF, 1.152%, 2/15/32²		80,553		82,798
Series 2471,Cl. FD, 1.152%, 3/15/32²		120,971		124,367
Series 2477,Cl. FZ, 0.702%, 6/15/31²		330,667		334,640
Series 2500,Cl. FD, 0.652%, 3/15/32²		14,181		14,337
Series 2517,Cl. GF, 1.152%, 2/15/32²		70,036		71,989
Series 2526,Cl. FE, 0.552%, 6/15/29²		24,758		24,944
Series 2551,Cl. FD, 0.552%, 1/15/33²		10,485		10,553
Series 2635,Cl. AG, 3.50%, 5/15/32		103,959		108,974
Series 2668,Cl. AZ, 4.00%, 9/15/18		58,241		60,895
Series 2676,Cl. KY, 5.00%, 9/15/23		1,391,808		1,518,661
Series 2707,Cl. QE, 4.50%, 11/15/18		203,859		216,286
Series 2770,Cl. TW, 4.50%, 3/15/19		28,365		30,210
Series 3025,Cl. SJ, 24.194%, 8/15/35²		210,330		315,023
Series 3465,Cl. HA, 4.00%, 7/15/17		22,048		22,414
Series 3617,Cl. DC, 4.00%, 7/15/27		55,824		56,412
Series 3741,Cl. PA, 2.15%, 2/15/35		989,405		1,012,492
Series 3815,Cl. BD, 3.00%, 10/15/20		34,715		35,755
Series 3822,Cl. JA, 5.00%, 6/15/40		47,005		50,276
Series 3840,Cl. CA, 2.00%, 9/15/18		25,962		26,425
Series 3848,Cl. WL, 4.00%, 4/15/40		453,344		469,506
Series 3857,Cl. GL, 3.00%, 5/15/40		18,405		18,904
Series 3917,Cl. BA, 4.00%, 6/15/38		297,681		311,442
Series 4221,Cl. HJ, 1.50%, 7/15/23		513,405		514,721

Federal Home Loan Mortgage Corp., Real Estate Mtg. Investment Conduit Multiclass Pass-Through Certificates, Interest-Only Stripped Mtg.-Backed Security:
Series 2074,Cl. S, 50.427%, 7/17/28⁴		17,632		3,654
Series 2079,Cl. S, 30.382%, 7/17/28⁴		32,613		6,897
Series 2136,Cl. SG, 66.745%, 3/15/29⁴		838,268		205,192
Series 2399,Cl. SG, 57.191%, 12/15/26⁴		463,596		110,889
Series 2437,Cl. SB, 68.895%, 4/15/32⁴		1,504,686		327,032
Series 2526,Cl. SE, 28.92%, 6/15/29⁴		31,084		6,798
Series 2682,Cl. TQ, 99.999%, 10/15/33⁴		305,663		61,133
Series 2795,Cl. SH, 12.633%, 3/15/24⁴		681,332		103,828
Series 2920,Cl. S, 48.563%, 1/15/35⁴		304,808		54,262
Series 2922,Cl. SE, 6.021%, 2/15/35⁴		51,574		9,305
Series 2981,Cl. BS, 99.999%, 5/15/35⁴		565,352		115,813
Series 3201,Cl. SG, 5.254%, 8/15/36⁴		282,833		48,930
Series 3397,Cl. GS, 12.159%, 12/15/37⁴		212,379		39,405
Series 3424,Cl. EI, 2.039%, 4/15/38⁴		135,039		18,890
Series 3450,Cl. BI, 9.842%, 5/15/38⁴		363,825		53,859
Series 3606,Cl. SN, 3.131%, 12/15/39⁴		112,252		15,848
Series 3659,Cl. IE, 0.00%, 3/15/19^4,5		560,802		42,064
Series 3685,Cl. EI, 0.00%, 3/15/19^4,5		440,160		29,295

Federal National Mortgage Assn.:
2.50%, 6/18/27⁶		6,635,000		6,741,781
3.00%, 7/1/27⁶		4,665,000		4,847,227
3.50%, 7/17/27⁶		4,805,000		5,094,051
4.00%, 7/1/28-7/1/41⁶		45,685,000		48,498,748
4.50%, 7/1/22-7/1/39⁶		21,535,000		23,287,390
5.00%, 7/1/37⁶		16,785,000		18,641,846
6.00%, 7/1/37⁶		4,305,000		4,849,852

Federal National Mortgage Assn. Pool:
3.50%, 12/1/20-2/1/22		826,685		877,617
5.00%, 2/1/18-7/1/33		2,290,571		2,466,132
5.50%, 4/1/21-5/1/36		418,415		467,643
6.00%, 10/1/16-1/1/19		129,430		134,791


	Principal Amount		Value

FHLMC/FNMA/FHLB/Sponsored (Continued)

Federal National Mortgage Assn. Pool: (Continued)
6.50%, 4/1/17-1/1/34	$	1,068,297	$	1,212,395
7.00%, 11/1/17-6/1/34		1,221,075		1,405,672
7.50%, 2/1/27-3/1/33		1,455,737		1,712,912
8.50%, 7/1/32		2,167		2,495

Federal National Mortgage Assn., Interest-Only Stripped Mtg.-Backed Security:
Series 214,Cl. 2, 40.605%, 3/1/23⁴		191,011		36,921
Series 221,Cl. 2, 43.862%, 5/1/23⁴		23,457		4,617
Series 254,Cl. 2, 33.689%, 1/1/24⁴		383,214		67,103
Series 301,Cl. 2, 0.00%, 4/1/29^4,5		71,821		15,011
Series 313,Cl. 2, 3.312%, 6/1/31⁴		685,452		120,002
Series 319,Cl. 2, 0.00%, 2/1/32^4,5		337,994		70,130
Series 321,Cl. 2, 2.348%, 4/1/32⁴		97,233		20,438
Series 324,Cl. 2, 0.00%, 7/1/32^4,5		102,353		21,583
Series 328,Cl. 2, 0.00%, 12/1/32^4,5		210,940		31,114
Series 331,Cl. 5, 0.00%, 2/1/33^4,5		388,532		83,813
Series 332,Cl. 2, 0.00%, 3/1/33^4,5		1,648,700		278,367
Series 334,Cl. 12, 0.00%, 3/1/33^4,5		321,274		67,683
Series 339,Cl. 15, 0.00%, 10/25/33^4,5		972,675		195,200
Series 345,Cl. 9, 0.00%, 1/1/34^4,5		272,688		57,927
Series 351,Cl. 10, 0.00%, 4/1/34^4,5		192,600		36,063
Series 351,Cl. 8, 0.00%, 4/1/34^4,5		323,595		60,178
Series 356,Cl. 10, 0.00%, 6/1/35^4,5		241,757		44,771
Series 356,Cl. 12, 0.00%, 2/1/35^4,5		118,498		22,063
Series 362,Cl. 13, 0.00%, 8/1/35^4,5		149,516		27,172

Federal National Mortgage Assn., Real Estate Mtg. Investment Conduit Multiclass Pass-Through Certificates:
Series 1999-54,Cl. LH, 6.50%, 11/25/29		216,520		240,395
Series 2001-51,Cl. OD, 6.50%, 10/25/31		118,836		131,303
Series 2001-69,Cl. PF, 1.152%, 12/25/31²		187,650		192,930
Series 2001-80,Cl. ZB, 6.00%, 1/25/32		216,989		237,686
Series 2002-12,Cl. PG, 6.00%, 3/25/17		85,832		89,915
Series 2002-29,Cl. F, 1.152%, 4/25/32²		84,084		86,441
Series 2002-60,Cl. FH, 1.152%, 8/25/32²		167,258		171,945
Series 2002-64,Cl. FJ, 1.152%, 4/25/32²		25,892		26,618
Series 2002-68,Cl. FH, 0.654%, 10/18/32²		56,766		57,361
Series 2002-84,Cl. FB, 1.152%, 12/25/32²		378,079		388,694
Series 2002-9,Cl. PC, 6.00%, 3/25/17		84,773		88,754
Series 2002-9,Cl. PR, 6.00%, 3/25/17		103,801		108,675
Series 2002-90,Cl. FH, 0.652%, 9/25/32²		211,536		213,600
Series 2003-11,Cl. FA, 1.152%, 9/25/32²		378,088		388,702
Series 2003-112,Cl. AN, 4.00%, 11/25/18		126,255		132,575
Series 2003-116,Cl. FA, 0.552%, 11/25/33²		37,112		37,248
Series 2003-119,Cl. FK, 0.652%, 5/25/18²		694,311		698,225
Series 2003-84,Cl. GE, 4.50%, 9/25/18		53,983		56,841
Series 2004-101,Cl. BG, 5.00%, 1/25/20		364,872		380,041
Series 2004-25,Cl. PC, 5.50%, 1/25/34		109,646		116,937
Series 2005-109,Cl. AH, 5.50%, 12/25/25		1,740,444		1,913,405
Series 2005-31,Cl. PB, 5.50%, 4/25/35		560,000		635,454
Series 2005-71,Cl. DB, 4.50%, 8/25/25		256,889		277,281
Series 2006-11,Cl. PS, 24.009%, 3/25/36²		179,573		276,851
Series 2006-46,Cl. SW, 23.642%, 6/25/36²		301,192		424,074
Series 2008-14,Cl. BA, 4.25%, 3/25/23		225,284		236,523
Series 2008-75,Cl. DB, 4.50%, 9/25/23		173,718		183,176
Series 2009-113,Cl. DB, 3.00%, 12/25/20		516,366		532,122
Series 2009-114,Cl. AC, 2.50%, 12/25/23		103,366		105,429
Series 2009-36,Cl. FA, 1.092%, 6/25/37²		107,333		109,663
Series 2009-70,Cl. NT, 4.00%, 8/25/19		22,978		23,983
Series 2009-70,Cl. TL, 4.00%, 8/25/19		670,471		699,783
Series 2010-43,Cl. KG, 3.00%, 1/25/21		243,285		252,189
Series 2011-122,Cl. EC, 1.50%, 1/25/20		319,092		322,103
Series 2011-15,Cl. DA, 4.00%, 3/25/41		240,780		252,742
Series 2011-3,Cl. EL, 3.00%, 5/25/20		871,286		897,945
Series 2011-3,Cl. KA, 5.00%, 4/25/40		376,632		407,670
Series 2011-38,Cl. AH, 2.75%, 5/25/20		27,753		28,573
Series 2011-6,Cl. BA, 2.75%, 6/25/20		344,954		356,130
Series 2011-69,Cl. EA, 3.00%, 11/25/29		279,198		285,563
Series 2011-82,Cl. AD, 4.00%, 8/25/26		486,064		509,734
Series 2012-20,Cl. FD, 0.552%, 3/25/42²		746,704		746,078

Federal National Mortgage Assn., Real Estate Mtg. Investment Conduit Multiclass Pass-Through Certificates, Interest-Only Stripped Mtg.-Backed Security:
Series 2001-61,Cl. SH, 21.026%, 11/18/31⁴		92,555		20,480

7 OPPENHEIMER GLOBAL STRATEGIC INCOME FUND/VA



CONSOLIDATED STATEMENT OF INVESTMENTS Unaudited / Continued


	Principal Amount		Value

FHLMC/FNMA/FHLB/Sponsored (Continued)

Federal National Mortgage Assn., Real Estate Mtg. Investment Conduit Multiclass Pass-Through Certificates, Interest-Only Stripped Mtg.-Backed Security: (Continued)
Series 2001-63,Cl. SD, 25.41%, 12/18/31⁴	$	26,650	$	5,410
Series 2001-68,Cl. SC, 16.339%, 11/25/31⁴		16,545		3,640
Series 2001-81,Cl. S, 18.614%, 1/25/32⁴		20,362		5,354
Series 2002-28,Cl. SA, 28.855%, 4/25/32⁴		14,784		3,180
Series 2002-38,Cl. SO, 41.945%, 4/25/32⁴		89,384		17,776
Series 2002-48,Cl. S, 24.513%, 7/25/32⁴		23,224		6,237
Series 2002-52,Cl. SL, 27.382%, 9/25/32⁴		14,856		3,313
Series 2002-56,Cl. SN, 26.056%, 7/25/32⁴		31,913		8,574
Series 2002-77,Cl. IS, 37.678%, 12/18/32⁴		152,284		41,894
Series 2002-77,Cl. SH, 29.527%, 12/18/32⁴		31,701		7,014
Series 2002-9,Cl. MS, 21.051%, 3/25/32⁴		28,249		5,710
Series 2003-13,Cl. IO, 6.612%, 3/25/33⁴		277,810		58,384
Series 2003-26,Cl. DI, 7.976%, 4/25/33⁴		226,266		46,715
Series 2003-33,Cl. SP, 22.699%, 5/25/33⁴		170,907		34,254
Series 2003-38,Cl. SA, 0.00%, 3/25/23^4,5		166,366		13,728
Series 2003-4,Cl. S, 24.60%, 2/25/33⁴		50,690		13,280
Series 2004-56,Cl. SE, 8.464%, 10/25/33⁴		811,253		147,140
Series 2005-12,Cl. SC, 8.009%, 3/25/35⁴		25,905		5,486
Series 2005-14,Cl. SE, 31.705%, 3/25/35⁴		905,148		141,170
Series 2005-40,Cl. SA, 44.208%, 5/25/35⁴		785,002		163,633
Series 2005-40,Cl. SB, 59.004%, 5/25/35⁴		1,302,177		268,324
Series 2005-52,Cl. JH, 3.15%, 5/25/35⁴		432,821		68,410
Series 2005-63,Cl. SA, 42.604%, 10/25/31⁴		45,481		9,780
Series 2006-90,Cl. SX, 0.00%, 9/25/36^4,7		820,830		179,298
Series 2007-88,Cl. XI, 27.123%, 6/25/37⁴		1,117,591		147,900
Series 2008-55,Cl. SA, 0.00%, 7/25/38^4,5		115,563		16,224
Series 2009-8,Cl. BS, 0.00%, 2/25/24^4,5		180,758		13,588
Series 2010-95,Cl. DI, 0.00%, 11/25/20^4,5		738,864		55,323
Series 2012-40,Cl. PI, 1.917%, 4/25/41⁴		1,640,925		279,021

Federal National Mortgage Asss., Interest-Only Mtg.-Backed Security, Series 302, Cl. 2, 6%, 5/1/29²		3		1

				152,392,182


GNMA/Guaranteed—0.1%

Government National Mortgage Assn. I Pool:
7.00%, 3/15/28-7/15/28		158,718		176,484
7.50%, 2/15/27		9,308		10,034
8.00%, 11/15/25-5/15/26		33,658		33,945

Government National Mortgage Assn. II Pool, 1.625%, 11/20/25²		3,872		3,985

Government National Mortgage Assn., Interest-Only Stripped Mtg.-Backed Security:
Series 1998-6,Cl. SA, 55.573%, 3/16/28⁴		41,665		8,909
Series 2007-17,Cl. AI, 13.433%, 4/16/37⁴		385,173		71,141
Series 2011-52,Cl. HS, 9.678%, 4/16/41⁴		659,238		129,344

Government National Mortgage Assn., Real Estate Mtg. Investment Conduit Multiclass Pass-Through Certificates:
Series 1999-32,Cl. ZB, 8.00%, 9/16/29		630,832		747,304
Series 2000-12,Cl. ZA, 8.00%, 2/16/30		1,381,673		1,614,187

				2,795,333


Non-Agency—9.9%

Commercial—8.2%

Banc of America Commercial Mortgage Trust, Series 2006-3, Cl. AM, 6.043%, 7/10/44²		4,242,000		4,508,542

BCAP LLC Trust:
Series 2011-R11,Cl. 18A5, 2.20%, 9/26/35^1,2		297,193		305,629
Series 2012-RR2,Cl. 6A3, 2.767%, 9/26/35^1,2		522,558		526,386
Series 2012-RR6, 2.404%, 11/26/36¹		379,605		381,511
Series 2013-RR2,Cl. 5A2, 2.628%, 3/26/36^1,2		7,454,451		6,122,243

Bear Stearns Commercial Mortgage Securities Trust:
Series 2006-PW13,Cl. AJ, 5.611%, 9/11/41²		8,145,000		8,532,547
Series 2007-PW17,Cl. AJ, 6.079%, 6/11/50²		7,400,000		7,627,620
Series 2007-T26,Cl. AJ, 5.566%, 1/12/45²		2,603,000		2,686,832

Citigroup Commercial Mortgage Trust, Series 2013-GC11, Cl. D, 4.606%, 4/10/46^1,2

Citigroup Mortgage Loan Trust, Inc.:		3,125,000		2,937,481
Series 2009-8,Cl. 7A2, 2.613%, 3/25/36^1,2		10,474,197		9,756,454
Series 2012-8,Cl. 1A1, 2.663%, 10/25/35^1,2		906,508		916,682


	Principal Amount		Value

Commercial (Continued)

COMM Mortgage Trust:
Series 2012-CR4,Cl. D, 4.729%, 10/15/45^1,2	$	70,000	$	68,377
Series 2012-CR5,Cl. E, 4.48%, 12/10/45^1,2		2,970,000		2,848,699
Series 2013-CR6,Cl. D, 4.314%, 3/10/46^1,2		1,525,000		1,423,392
Series 2013-CR7,Cl. D, 4.496%, 3/10/46^1,2		3,245,000		3,034,424
Series 2013-CR9,Cl. D, 4.402%, 7/10/45^1,2		2,685,000		2,497,407
Series 2013-LC13,Cl. D, 5.217%, 8/10/46^1,2		3,579,000		3,557,227
Series 2014-UBS3,Cl. D, 4.815%, 6/10/47^1,2		8,145,000		7,772,130

COMM Mortgage Trust, Interest-Only Stripped Mtg.-Backed Security:
Series 2010-C1,Cl. XPA, 0.00%, 7/10/46^1,4,5		4,346,779		137,928
Series 2012-CR5,Cl. XA, 0.00%, 12/10/45^4,5		3,494,531		355,076

Countrywide Home Loans, Series 2005-17, Cl. 1A8, 5.50%, 9/25/35		1,669,669		1,656,873

Credit Suisse Commercial Mortgage Trust:
Series 2006-C1,Cl. AJ, 5.643%, 2/15/39²		695,000		738,066
Series 2006-C4,Cl. AM, 5.509%, 9/15/39		4,315,000		4,646,828

Credit Suisse First Boston Commercial Trust, Series 2005-C6, Cl. AJ, 5.23%, 12/15/40²		600,000		627,878

Credit Suisse Mortgage Trust, Series 2009-13R, Cl. 4A1, 2.619%, 9/26/36^1,2		93,176		94,220

DBUBS Mortgage Trust, Series 2011-LC1A, Cl. E, 5.73%, 11/10/46^1,2		100,000		108,645

Deutsche Alt-B Securities, Inc. Mortgage Loan Trust, Series 2006-AB2, Cl. A1, 5.888%, 6/25/36²		94,283		75,992

Deutsche Mortgage Securities, Inc., Series 2013-RS1, Cl. 1A2, 0.373%, 7/22/36^2,3		5,060,144		4,222,068

FREMF Mortgage Trust:
Series 2012-K501,Cl. C, 3.609%, 11/25/46^1,2		40,000		41,099
Series 2013-K25,Cl. C, 3.618%, 11/25/45^1,2		2,000,000		1,970,044
Series 2013-K26,Cl. C, 3.723%, 12/25/45^1,2		1,040,000		1,021,850
Series 2013-K27,Cl. C, 3.616%, 1/25/46^1,2		1,630,000		1,586,315
Series 2013-K28,Cl. C, 3.614%, 6/25/46^1,2		1,605,000		1,558,828
Series 2013-K502,Cl. C, 3.31%, 3/25/45^1,2		220,000		223,707
Series 2013-K712,Cl. C, 3.483%, 5/25/45^1,2		265,000		266,071
Series 2013-K713,Cl. C, 3.274%, 4/25/46^1,2		535,000		529,606

GE Capital Commercial Mortgage Corp., Series 2005-C4, Cl. AJ, 5.489%, 11/10/45²		2,730,000		2,786,697

GS Mortgage Securities Trust, Series 2014-GC22, Cl. D, 4.646%, 6/10/47		1,515,000		1,413,860

GSR Mortgage Loan Trust, Series 2005-AR4, Cl. 6A1, 5.211%, 7/25/35²		38,379		38,644

JP Morgan Chase Commercial Mortgage Securities Trust:
Series 2006-CB16,Cl. AJ, 5.623%, 5/12/45		2,695,000		2,772,243
Series 2006-LDP8,Cl. AJ, 5.48%, 5/15/45²		445,000		475,296
Series 2007-CB18,Cl. AJ, 5.502%, 6/12/47²		4,031,000		4,037,004
Series 2012-LC9,Cl. E, 4.573%, 12/15/47^1,2		3,025,000		2,949,917
Series 2013-C10,Cl. D, 4.298%, 12/15/47²		4,665,000		4,402,750

JP Morgan Resecuritization Trust:
Series 2009-11,Cl. 5A1, 2.619%, 9/26/36^1,2		353,112		354,354
Series 2009-5,Cl. 1A2, 2.612%, 7/26/36^1,2		5,154,638		4,399,684

JPMBB Commercial Mortgage Securities Trust:
Series 2013-C14,Cl. D, 4.713%, 8/15/46^1,2		2,500,000		2,406,159
Series 2013-C15,Cl. D, 5.251%, 11/15/45^1,2		1,245,000		1,237,677

Merrill Lynch Mortgage Trust, Series 2006-C1, Cl. AJ, 5.862%, 5/12/39²		6,860,000		7,008,862

Morgan Stanley Bank of America Merrill Lynch Trust:
Series 2012-C6,Cl. E, 4.818%, 11/15/45^1,2		2,290,000		2,244,865
Series 2013-C12,Cl. D, 4.929%, 10/15/46^1,2		2,370,000		2,300,494
Series 2013-C7,Cl. D, 4.442%, 2/15/46^1,2		4,250,000		3,998,893
Series 2013-C8,Cl. D, 4.311%, 12/15/48^1,2		2,020,000		1,888,287
Series 2014-C14,Cl. D, 4.996%, 2/15/47^1,2		5,060,000		4,909,184

Morgan Stanley Capital I Trust:
Series 2006-HQ10,Cl. AJ, 5.389%, 11/12/41²		5,225,000		5,440,539
Series 2007-HQ11,Cl. AJ, 5.508%, 2/12/44²		2,115,000		2,248,244
Series 2007-IQ13,Cl. AM, 5.406%, 3/15/44		765,000		834,567

Morgan Stanley Re-Remic Trust, Series 2012-R3, Cl. 1A, 2.049%, 11/26/36^1,2		36,859		36,491

Morgan Stanley Resecuritization Trust, Series 2013-R9, Cl. 3A, 2.395%, 6/26/46^1,2		368,207		371,905

8 OPPENHEIMER GLOBAL STRATEGIC INCOME FUND/VA


	Principal Amount		Value

Commercial (Continued)

RALI Trust, Series 2005-QA4, Cl. A32, 3.063%, 4/25/35²	$	67,908	$	11,730

Structured Adjustable Rate Mortgage Loan Trust:
Series 2004-10,Cl. 2A, 2.387%, 8/25/34²		6,444,260		6,392,471
Series 2007-6,Cl. 3A1, 4.807%, 7/25/37²		4,889,420		3,855,044

UBS-Barclays Commercial Mortgage Trust:
Series 2012-C2,Cl. E, 5.048%, 5/10/63^1,2		3,450,000		3,287,841
Series 2013-C5,Cl. D, 4.23%, 3/10/46^1,2		4,200,000		3,868,017

Wachovia Bank Commercial Mortgage Trust:
Series 2006-C25,Cl. AJ, 5.904%, 5/15/43²		5,315,000		5,665,633
Series 2007-C30,Cl. AM, 5.383%, 12/15/43		5,900,000		6,426,103

Washington Mutual Mortgage Pass-Through Certificates Trust, Series 2007-OA3, Cl. 5A, 1.951%, 4/25/47²		565,991		428,243

Wells Fargo Mortgage-Backed Securities Trust:
Series 2004-W,Cl. B2, 2.616%, 11/25/34²		36,822		372
Series 2005-AR1,Cl. 1A1, 2.61%, 2/25/35²		2,507,094		2,533,105
Series 2005-AR10,Cl. 1A1, 2.614%, 6/25/35²		1,098,582		1,123,655
Series 2005-AR15,Cl. 1A6, 2.606%, 9/25/35²		5,000,895		4,742,924
Series 2006-8,Cl. A15, 6.00%, 7/25/36		2,661,238		2,702,647
Series 2006-AR7,Cl. 2A4, 2.613%, 5/25/36²		2,025,771		1,899,119
Series 2007-AR3,Cl. A4, 5.673%, 4/25/37²		1,224,928		1,217,274

WF-RBS Commercial Mortgage Trust:
Series 2012-C10,Cl. D, 4.608%, 12/15/45^1,2		105,000		101,863
Series 2012-C7,Cl. E, 5.002%, 6/15/45^1,2		2,040,000		2,044,235
Series 2012-C8,Cl. E, 5.04%, 8/15/45^1,2		2,275,000		2,304,998
Series 2013-C11,Cl. D, 4.322%, 3/15/45^1,2		1,168,000		1,116,919
Series 2013-C15,Cl. D, 4.634%, 8/15/46^1,2		4,145,000		3,954,535

WF-RBS Commercial Mortgage Trust, Interest-Only Commercial Mtg. Pass-Through Certificates, Series 2011-C3, Cl. XA, 0%, 3/15/44^1,4,5		5,750,021		354,704

				197,952,725


Multi-Family—0.5%

Banc of America Commercial Mortgage Trust, Series 2006-2, Cl. AJ, 5.954%, 5/10/45²		4,295,000		4,586,343

Citigroup Mortgage Loan Trust, Inc., Series 2006-AR3, Cl. 1A2A, 5.359%, 6/25/36²		3,606,839		3,364,726

Wells Fargo Mortgage-Backed Securities Trust:
Series 2005-AR15,Cl. 1A2, 2.606%, 9/25/35²		267,989		262,349
Series 2006-AR2,Cl. 2A3, 2.613%, 3/25/36²		4,154,812		4,173,371

				12,386,789


Residential—1.2%

Banc of America Commercial Mortgage Trust, Series 2007-4, Cl. AM, 6.015%, 2/10/51²		800,000		896,573

Banc of America Funding Trust:
Series 2007-1,Cl. 1A3, 6.00%, 1/25/37		1,473,674		1,336,297
Series 2007-C,Cl. 1A4, 5.354%, 5/20/36²		1,290,100		1,262,515

CD Commercial Mortgage Trust, Series 2007-CD4, Cl. AMFX, 5.366%, 12/11/49²		8,565,000		9,049,843

Citigroup Mortgage Loan Trust, Inc.:
Series 2005-2,Cl. 1A3, 2.665%, 5/25/35²		1,727,728		1,733,265
Series 2005-3,Cl. 2A4, 2.548%, 8/25/35²		3,300,068		2,894,127

Countrywide Home Loans, Series 2005-J4, Cl. A7, 5.50%, 11/25/35		1,376,744		1,444,307

CWHEQ Revolving Home Equity Loan Trust:
Series 2005-G,Cl. 2A, 0.382%, 12/15/35²		99,224		80,224
Series 2006-H,Cl. 2A1A, 0.302%, 11/15/36²		41,468		26,631

GSR Mortgage Loan Trust, Series 2006-5F, Cl. 2A1, 6%, 6/25/36		391,449		377,790

Home Equity Mortgage Trust, Series 2005-1, Cl. M6, 5.863%, 6/25/35²		885,944		905,509

MASTR Asset Backed Securities Trust, Series 2006-WMC3, Cl. A3, 0.252%, 8/25/36²		1,052,381		540,222

MLCC Mortgage Investors, Inc., Series 2006-3, Cl. 2A1, 2.335%, 10/25/36²		1,253,010		1,244,790

NC Finance Trust, Series 1999-I, Cl. D, 8.75%, 1/25/29^3,8		66,744		4,305


	Principal Amount		Value

Residential (Continued)

RALI Trust, Series 2006-QS13, Cl. 1A8, 6%, 9/25/36	$	26,759	$	21,389

Residential Asset Securitization Trust, Series 2005-A6CB, Cl. A7, 6%, 6/25/35		3,351,211		3,246,674

WaMu Mortgage Pass-Through Certificates Trust, Series 2003-AR10, Cl. A7, 2.422%, 10/25/33²		144,508		146,852

Wells Fargo Mortgage-Backed Securities Trust, Series 2006-AR14, Cl. 1A2, 5.684%, 10/25/36²		2,059,684		2,025,298

				27,236,611

Total Mortgage-Backed Obligations (Cost $377,390,461)				392,763,640


U.S. Government Obligations—5.5%

United States Treasury Nts.:
0.375%, 3/31/16		100,000,000		100,019,500
0.875%, 6/15/17		4,531,000		4,532,237
1.375%, 9/30/18^9,10		16,696,000		16,673,828
2.00%, 9/30/20		9,509,000		9,525,346
2.50%, 8/15/23		735,000		739,048

United States Treasury Nts. Strips, 6.16%, 2/15/16		2,116,000		2,106,080

Total U.S. Government Obligations (Cost $133,262,853)				133,596,039


Foreign Government Obligations—16.6%

Angola—0.1%
Republic of Angola Via Northern Lights III BV Sr. Unsec. Nts., 7% Sr. Unsec. Nts., 8/16/19		2,360,000		2,581,722

Argentina—0.1%
Republic of Argentina Sr. Unsec. Nts., 7%, 4/17/17		1,485,000		1,394,415

Republic of Argentina Unsec. Nts., 8.75%, 5/7/24		420,000		394,800

				1,789,215


Brazil—3.2%
Brazil Minas SPE via State of Minas Gerais Sec. Bonds, 5.333%, 2/15/28¹		1,970,000		1,997,580

Federative Republic of Brazil International Bonds, 4.25%, 1/7/25		1,010,000		1,024,897

Federative Republic of Brazil Letra Tesouro Nacional Treasury Bills, 10.999%, 1/1/15	BRL	145,180,000		62,255,510

Federative Republic of Brazil Nota Do Tesouro Nacional Unsec. Nts.:
9.762%, 1/1/18	BRL	9,290,000		4,003,293
9.762%, 1/1/21	BRL	5,190,000		2,147,417
10.00%, 1/1/23	BRL	6,730,000		2,732,646

Federative Republic of Brazil Sr. Unsec. Nts., 4.875%, 1/22/21		2,027,000		2,219,565

				76,380,908


Colombia—0.6%
Republic of Colombia Sr. Unsec. Nts.:
4.00%, 2/26/24		1,680,000		1,736,280
4.375%, 7/12/21		2,265,000		2,436,008
5.625%, 2/26/44		2,845,000		3,200,625
8.125%, 5/21/24		1,880,000		2,538,000
Series B, 6.00%, 4/28/28	COP	2,633,000,000		1,280,248
Series B, 7.00%, 5/4/22	COP	2,781,000,000		1,527,143
Series B, 10.00%, 7/24/24	COP	2,662,000,000		1,768,759

				14,487,063


Croatia—0.2%
Republic of Croatia Sr. Unsec. Nts.:
5.50%, 4/4/23¹		3,570,000		3,726,187

9 OPPENHEIMER GLOBAL STRATEGIC INCOME FUND/VA



CONSOLIDATED STATEMENT OF INVESTMENTS Unaudited / Continued


	Principal Amount		Value

Croatia (Continued)
Republic of Croatia Sr. Unsec. Nts.: (Continued)
6.375%, 3/24/21¹	$	805,000	$	888,519
6.75%, 11/5/19¹		805,000		906,631

				5,521,337


Dominican Republic—0.1%
Banco de Reservas de la Republica Dominicana Sub. Nts., 7%, 2/1/23¹		1,290,000		1,354,500

Dominican Republic Sr. Unsec. Bonds, 5.875%, 4/18/24¹		1,455,000		1,525,567

				2,880,067


Ecuador—0.1%
Republic of Ecuador Sr. Unsec. Bonds, 7.95%, 6/20/24¹		1,920,000		1,984,320


Gabon—0.1%
Gabonese Republic Unsec. Bonds, 6.375%, 12/12/24¹		1,640,000		1,799,638


Greece—1.4%
Athens Urban Transportation Organisation Sr. Unsec. Nts., 4.851%, 9/19/16	EUR	2,435,000		3,301,470

Hellenic Republic Sr. Unsec. Nts.:
5.20%, 7/17/34	EUR	5,795,000		6,495,334
6.14%, 4/14/28	EUR	10,900,000		14,321,803
Series 15BR, 5.00%, 8/22/16	JPY	143,000,000		1,386,174

Hellenic Republic Unsec. Bonds, 3.80%, 8/8/17	JPY	867,000,000		8,270,695

				33,775,476


Hungary—0.6%
Hungary Sr. Unsec. Nts.:
5.375%, 2/21/23		1,880,000		2,032,750
5.375%, 3/25/24		895,000		959,888
7.625%, 3/29/41		365,000		469,251

Hungary Unsec. Bonds:
Series 14/D, 6.75%, 8/22/14	HUF	997,000,000		4,430,618
Series 20/A, 7.50%, 11/12/20	HUF	392,000,000		2,100,177
Series 22/A, 7.00%, 6/24/22	HUF	238,000,000		1,260,067
Series 23/A, 6.00%, 11/24/23	HUF	537,000,000		2,697,605

				13,950,356


India—0.9%
Republic of India Sr. Unsec. Bonds:
7.28%, 6/3/19	INR	839,000,000		13,316,853
8.83%, 11/25/23	INR	549,000,000		9,215,669

				22,532,522


Indonesia—1.0%
Perusahaan Penerbit SBSN Indonesia Sr. Unsec. Nts., 4%, 11/21/18¹		3,260,000		3,382,250

Perusahaan Penerbit SBSN Indonesia Unsec. Nts., 6.125%, 3/15/19¹		1,910,000		2,132,038

Republic of Indonesia Sr. Unsec. Bonds:
3.375%, 4/15/23¹		1,040,000		969,800
4.875%, 5/5/21¹		2,475,000		2,611,125
5.375%, 10/17/23¹		880,000		938,300
5.875%, 1/15/24¹		1,230,000		1,360,687
11.625%, 3/4/19¹		560,000		764,400

Republic of Indonesia Treasury Bonds:
Series FR68, 8.375%, 3/15/34	IDR	43,960,000,000		3,531,024
Series FR70, 8.375%, 3/15/24	IDR	57,490,000,000		4,905,117
Series FR71, 9.00%, 3/15/29	IDR	47,570,000,000		4,133,269

				24,728,010


Ivory Coast—0.2%
Republic of Cote d’Ivoire Sr. Unsec. Bonds, 5.75%, 12/31/32²		4,635,000		4,524,919


		Principal Amount		Value

Kazakhstan—0.0%
Development Bank of Kazakhstan JSC Sr. Unsec. Bonds, 4.125%, 12/10/22¹		$	930,000	$	884,895


Kenya—0.1%
Republic of Kenya Sr. Unsec. Bonds:
5.875%, 6/24/19¹			640,000		654,080
6.875%, 6/24/24¹			905,000		943,010

					1,597,090


Latvia—0.1%
Republic of Latvia Sr. Unsec. Nts., 5.25%, 6/16/21¹			1,635,000		1,837,331


Lithuania—0.3%
Republic of Lithuania Sr. Unsec. Bonds:
5.125%, 9/14/17¹			2,890,000		3,191,658
6.125%, 3/9/21¹			2,600,000		3,050,840

					6,242,498


Mexico—0.7%
United Mexican States Treasury Bills, 3.06%		MXN	46,900,000		3,570,741

United Mexican States Unsec. Bonds:
Series M, 6.50%, 6/9/22		MXN	70,400,000		5,781,255
Series M, 8.00% Bonds, 12/7/23		MXN	10,400,000		938,144
Series M20, 7.50%, 6/3/27		MXN	22,100,000		1,936,668
Series M20, 8.50%, 5/31/29		MXN	31,740,000		2,994,765
Series M30, 8.50%, 11/18/38		MXN	15,200,000		1,433,813
Series M30, 10.00%, 11/20/36		MXN	7,100,000		763,187

					17,418,573


Morocco—0.1%
Kingdom of Morocco Sr. Unsec. Nts., 4.25%, 12/11/22¹			2,310,000		2,324,437


Panama—0.2%
Republic of Panama Sr. Unsec. Bonds:
5.20%, 1/30/20			1,215,000		1,362,015
6.70%, 1/26/36			700,000		866,950
8.875%, 9/30/27			835,000		1,200,312
9.375%, 4/1/29			730,000		1,089,890

					4,519,167


Peru—0.4%
Republic of Peru Sr. Unsec. Bonds:
6.55%, 3/14/37			1,275,000		1,608,412
7.35%, 7/21/25			1,885,000		2,507,050
7.84%, 8/12/20¹		PEN	5,390,000		2,216,882
8.20%, 8/12/26¹		PEN	5,290,000		2,315,937

					8,648,281


Philippines—0.3%
Republic of the Philippines Sr. Unsec. Bonds:
6.375%, 1/15/32			1,935,000		2,396,981
6.375%, 10/23/34			2,350,000		2,966,875
7.75%, 1/14/31			380,000		526,300
9.875%, 1/15/19			1,005,000		1,335,394
10.625%, 3/16/25			455,000		716,056

					7,941,606


Poland—0.2%
Republic of Poland Sr. Unsec. Bonds:
3.00%, 3/17/23			2,765,000		2,693,110
5.125%, 4/21/21	��		1,765,000		1,990,038

					4,683,148


Portugal—0.1%
Republic of Portugal Obrigacoes do Tesouro OT Sr. Unsec. Bonds, 4.75%, 6/14/19		EUR	1,975,000		3,006,178


Romania—0.4%
Romania Sr. Unsec. Bonds:
4.875%, 1/22/24¹			800,000		855,000

10 OPPENHEIMER GLOBAL STRATEGIC INCOME FUND/VA


	Principal Amount		Value

Romania (Continued)
Romania Sr. Unsec. Bonds: (Continued)
6.125%, 1/22/44¹	$	930,000	$	1,059,130
6.75%, 2/7/22¹		3,150,000		3,772,125

Romania Unsec. Bonds:
5.85%, 4/26/23	RON	4,190,000		1,455,044
5.90%, 7/26/17	RON	10,110,000		3,439,282

				10,580,581


Russia—1.3%
AHML Via AHML Finance Ltd., 7.75% Unsec. Nts., 2/13/18¹	RUB	20,500,000		563,779

Russian Federation Sr. Unsec. Bonds:
4.875%, 9/16/23¹		1,465,000		1,519,937
5.875%, 9/16/43¹		1,510,000		1,623,250
7.50%, 3/31/30^1,2		3,168,125		3,675,469

Russian Federation Sr. Unsec. Nts., 5%, 4/29/20¹		2,900,000		3,105,900

Russian Federation Unsec. Bonds:
Series 6203, 6.90%, 8/3/16	RUB	80,600,000		2,332,878
Series 6205, 7.60%, 4/14/21	RUB	39,100,000		1,123,801
Series 6206, 7.40%, 6/14/17	RUB	59,800,000		1,734,596
Series 6209, 7.60%, 7/20/22	RUB	32,300,000		918,851
Series 6210, 6.80%, 12/11/19	RUB	167,700,000		4,692,145
Series 6212, 7.05%, 1/19/28	RUB	32,400,000		857,324
Series 6215, 7.00%, 8/16/23	RUB	65,900,000		1,805,243
Series 6216, 6.70%, 5/15/19	RUB	191,500,000		5,365,946

Vnesheconombank Sr. Unsec. Bonds, Series 9, 7.90%, 3/18/21²	RUB	33,200,000		965,463

Vnesheconombank Via VEB Finance plc Sr. Unsec. Nts., 5.942%, 11/21/23¹		925,000		935,360

				31,219,942


Serbia—0.1%
Republic of Serbia Sr. Unsec. Bonds, 5.25%, 11/21/17¹		1,420,000		1,487,450

Republic of Serbia Unsec. Bonds, 5.875%, 12/3/18¹		1,575,000		1,683,281

				3,170,731


Slovenia—0.2%
Republic of Slovenia Bonds, 4.125%, 2/18/19¹		3,330,000		3,516,314


South Africa—1.0%
Republic of South Africa Sr. Unsec. Bonds:
5.875%, 5/30/22		650,000		726,375
5.875%, 9/16/25		2,580,000		2,875,410
Series R207, 7.25%, 1/15/20	ZAR	42,800,000		3,929,044
Series R208, 6.75%, 3/31/21	ZAR	42,500,000		3,747,145

Republic of South Africa Unsec. Bonds:
Series 2023, 7.75%, 2/28/23	ZAR	54,500,000		5,000,830
Series R186, 10.50%, 12/21/26	ZAR	72,900,000		8,002,042

				24,280,846


Sri Lanka—0.1%
Democratic Socialist Republic of Sri Lanka Sr. Unsec. Bonds:
5.875%, 7/25/22¹	��	1,010,000		1,049,138
6.00%, 1/14/19¹		1,070,000		1,128,850
6.25%, 10/4/20¹		1,200,000		1,281,000

				3,458,988


Tanzania—0.1%
United Republic of Tanzania Sr. Unsec. Nts., 6.332%, 3/9/20²		1,675,000		1,792,250


Thailand—0.3%
Kingdom of Thailand Sr. Unsec. Bonds:
3.25%, 6/16/17	THB	69,400,000		2,183,918
5.125%, 3/13/18	THB	62,300,000		2,072,036

Kingdom of Thailand Sr. Unsec. Nts., 3.875%, 6/13/19	THB	96,500,000		3,076,609

				7,332,563


	Principal Amount		Value

Turkey—1.3%
Republic of Turkey Bonds:
8.30%, 10/7/15	TRY	2,240,000	$	1,061,531
8.80%, 11/14/18	TRY	6,860,000		3,300,319
8.80%, 9/27/23	TRY	5,425,000		2,577,298
10.40%, 3/20/24	TRY	3,180,000		1,670,228
10.50%, 1/15/20	TRY	1,880,000		967,243
10.70%, 2/24/16	TRY	9,430,000		4,637,552

Republic of Turkey Sr. Unsec. Bonds:
4.35%, 11/12/21	EUR	1,040,000		1,528,029
6.25%, 9/26/22		2,145,000		2,422,349
6.625%, 2/17/45		1,600,000		1,860,000
6.875%, 3/17/36		810,000		956,812
7.375%, 2/5/25		1,375,000		1,674,062

Republic of Turkey Unsec. Bonds:
5.828%, 2/11/15¹¹	TRY	2,905,000		1,959,878
6.30%, 2/14/18	TRY	4,550,000		2,024,155
7.10%, 3/8/23	TRY	4,025,000		1,726,954
9.00%, 3/8/17	TRY	4,490,000		2,165,928

				30,532,338


Ukraine—0.1%
Ukraine International Bonds:
6.875%, 9/23/15¹		255,000		250,588
7.50%, 4/17/23¹		695,000		657,644
7.80%, 11/28/22¹		1,835,000		1,745,544
7.95%, 2/23/21¹		695,000		668,069

				3,321,845


United Arab Emirates—0.2%
Dubai DOF Sukuk Ltd., 3.875% Sr. Unsec. Nts., 1/30/23		560,000		555,212

Emirate of Dubai Sr. Unsec. International Bonds:
5.25%, 1/30/43		1,155,000		1,080,156
5.591%, 6/22/21		2,255,000		2,526,728
7.75%, 10/5/20		820,000		1,031,970

				5,194,066


Uruguay—0.2%
Oriental Republic of Uruguay Sr. Unsec. Bonds:
4.50%, 8/14/24		3,580,000		3,807,330
5.10%, 6/18/50		360,000		356,400

				4,163,730


Venezuela—0.2%
Bolivarian Republic of Venezuela Sr. Unsec. Bonds:
7.00%, 3/31/38		360,000		254,700
7.75%, 10/13/19		2,295,000		1,996,650
8.25%, 10/13/24		1,220,000		985,150
13.625%, 8/15/18¹		2,265,000		2,400,900

				5,637,400

Total Foreign Government Obligations (Cost $390,224,341)				400,240,351


Corporate Loans—3.7%

Accellent, Inc., Sr. Sec. Credit Facilities 2nd Lien Term Loan, 7.50%, 3/11/22²		1,360,000		1,354,333

Affinion Group, Inc., Sr. Sec. Credit Facilities 1st Lien Term Loan, 6.75%, 4/30/18²		801,367		806,188

Affinion Group, Inc., Sr. Sec. Credit Facilities 2nd Lien Term Loan, 8.50%, 10/31/18²		432,587		435,020

Asurion LLC, Sr. Sec. Credit Facilities 2nd Lien Term Loan, 8.50%, 3/3/21²		3,550,000		3,689,781

AZ Chem US, Inc., Sr. Sec. Credit Facilities 2nd Lien Term Loan, 7.50%, 6/10/22^2,6		1,180,000		1,201,388

BJ’s Wholesale Club, Inc., Sr. Sec. Credit Facilities 2nd Lien Term Loan, 8.50%, 3/26/20²		1,775,000		1,824,182

11 OPPENHEIMER GLOBAL STRATEGIC INCOME FUND/VA



CONSOLIDATED STATEMENT OF INVESTMENTS Unaudited / Continued


	Principal Amount		Value

Corporate Loans (Continued)

Blue Coat Systems, Inc., Sr. Sec. Credit Facilities 2nd Lien Term Loan, 9.50%, 6/26/20²	$	895,000	$	912,341

Brock Holdings III, Inc., Sr. Sec. Credit Facilities 2nd Lien Term Loan, 10.00%, 3/16/18²		775,000		782,905

Caesars Entertainment Operating Co., Inc., Sr. Sec. Credit Facilities 1st Lien Term Loan, 9.75%, 3/1/17^2,6		1,090,000		1,077,397

Caesars Entertainment Resort Properties LLC, Sr. Sec. Credit Facilities 1st Lien Term Loan, 7.00%, 10/11/20^2,6		4,377,688		4,407,483

Caesars Growth Properties Holdings LLC/Caesars Growth Properties Finance, Inc., Sr. Sec. Credit Facilities 1st Lien Term Loan, 6.25%, 5/10/21²		1,066,000		1,066,761

Catalent Pharma Solutions, Inc., Sr. Sec. Credit Facilities 1st Lien Term Loan, 6.50%, 12/31/17²		1,265,000		1,279,231

Clear Channel Communications, Inc., Extended Sr. Sec. Credit Facilities 1st Lien Term Loan, 6.90%, 1/30/19²		6,103,532		6,089,036

Clear Channel Communications, Inc., Sr. Sec. Credit Facilities 1st Lien Term Loan:
Tranche B, 3.80%, 1/29/16		50,160		49,862
Tranche E, 7.65%, 7/30/19		926,326		930,250

Connolly Corp., Sr. Sec. Credit Facilities 2nd Lien Term Loan, 8.00%, 5/9/22²		1,880,000		1,915,250

CRC Health Corp., Sr. Sec. Credit Facilities 2nd Lien Term Loan, 9.00%, 9/28/21²		2,325,000		2,349,703

Del Monte Pacific Ltd., Sr. Sec. Credit Facilities 2nd Lien Term Loan, 8.25%, 8/18/21²		1,835,000		1,806,710

Deltek, Inc., Sr. Sec. Credit Facilities 2nd Lien Term Loan, 10.00%, 10/10/19²		2,050,000		2,095,270

Dialysis Newco, Inc., Sr. Sec. Credit Facilities 2nd Lien Term Loan, 7.75%, 10/21/21²		2,835,000		2,856,263

Entegra Holdings LLC, Sr. Sec. Credit Facilities 3rd Lien Term Loan, 3.815%, 10/19/15^2,12		5,173,693		3,207,689

Fairpoint Communications, Inc., Sr. Sec. Credit Facilities 1st Lien Term Loan, 7.50%, 2/14/19^2,6		1,806,281		1,871,759

Fieldwood Energy LLC, Sr. Sec. Credit Facilities 2nd Lien Term Loan, 8.375%, 9/30/20²		3,632,184		3,756,056

Flint Group GmbH, Sr. Sec. Credit Facilities 2nd Lien Term Loan, 8.25%, 5/2/22^2,6		710,000		715,621

Fram Group Holdings, Sr. Sec. Credit Facilities 1st Lien Term Loan, 6.50%, 7/31/17²		1,019,605		1,022,154

GYP Holdings III Corp., Sr. Sec. Credit Facilities 2nd Lien Term Loan, 7.75%, 3/27/22²		2,325,000		2,356,969

Internet Brands, Sr. Sec. Credit Facilities 2nd Lien Term Loan, 8.50%, 6/27/22^2,6		2,120,000		2,113,375

IPC Systems, Inc., Sr. Sec. Credit Facilities 1st Term Loan, 6.00%, 11/9/20²		1,580,000		1,588,888

IPC Systems, Inc., Sr. Sec. Credit Facilities 2nd Term Loan, 9.50%, 5/10/21²		860,000		855,700

iStar Financial, Inc., Sr. Sec. Credit Facilities 1st Lien Term Loan, 7.00%, 3/19/17²		912,118		944,042

Liberty Cablevision of Puerto Rico LLC, Sr. Sec. Credit Facilities 2nd Lien Term Loan, 10.00%, 6/26/23^2,6		745,000		747,328


	Principal Amount		Value

Corporate Loans (Continued)

Moxie Patriot LLC, Sr. Sec. Credit Facilities 1st Lien Term Loan, 6.75%, 12/19/20²	$	1,370,000	$	1,397,400

NewPage Corp., Sr. Sec. Credit Facilities 1st Lien Term Loan, 9.50%, 2/5/21²		3,555,000		3,569,664

NTELOS, Inc., Sr. Sec. Credit Facilities 1st Lien Term Loan, 5.75%, 11/9/19²		1,111,625		1,114,404

Nuveen Investments, Inc., Sr. Sec. Credit Facilities 2nd Lien Term Loan, 6.50%, 2/28/19²		2,475,000		2,503,287

OneLink Communications/San Juan Cable LLC, Sr. Sec. Credit Facilities 2nd Lien Term Loan, 10.00%, 6/9/18²		1,885,000		1,907,384

Orchard Acquisition Co., Sr. Sec. Credit Facilities 1st Lien Term Loan, 7.00%, 2/8/19²		300,970		302,098

Quicksilver Resources, Inc., Sr. Sec. Credit Facilities 2nd Lien Term Loan, 7.00%, 6/21/19²		3,135,000		3,070,341

Radnet Management, Inc., Sr. Sec. Credit Facilities 2nd Lien Term Loan, 8.00%, 3/25/21²		1,740,000		1,750,875

Revel Entertainment, Inc., Sr. Sec. Credit Facilities 2nd Lien Exit Term Loan, 14.50%, 5/20/18^2,8,12		1,490,134		484,294

Rexam plc, Sr. Sec. Credit Facilities 2nd Lien Term Loan, 8.00%, 5/2/22²		1,860,000		1,871,625

Road Infrastructure Investment LLC, Sr. Sec. Credit Facilities 2nd Lien Term Loan, 7.75%, 9/21/21²		1,860,000		1,855,350

RP Crown Parent LLC, Sr. Sec. Credit Facilities 1st Lien Term Loan, 6.00%, 12/21/18²		1,805,464		1,807,560

RP Crown Parent LLC, Sr. Sec. Credit Facilities 2nd Lien Term Loan, 11.25%, 12/21/19²		720,000		727,200

Sabine Oil & Gas LLC, Sr. Sec. Credit Facilities 2nd Lien Term Loan, 8.75%, 12/31/18²		3,590,000		3,649,461

Templar Energy, Sr. Sec. Credit Facilities 2nd Lien Term Loan, 8.00%, 11/25/20²		5,420,000		5,392,900

TWCC Holding Corp., Sr. Sec. Credit Facilities 2nd Lien Term Loan, 7.00%, 6/26/20²		2,185,000		2,167,247

Total Corporate Loans (Cost $90,104,793)				89,680,025


Corporate Bonds and Notes—42.1%

Consumer Discretionary—6.6%

Auto Components—0.7%

Affinia Group, Inc., 7.75% Sr. Unsec. Nts., 5/1/21		2,615,000		2,765,362

GKN Holdings plc:
5.375% Sr. Unsec. Nts., 9/19/22	GBP	795,000		1,491,048
6.75% Sr. Unsec. Nts., 10/28/19	GBP	1,465,000		2,904,853

Goodyear Tire & Rubber Co., 8.25% Sr. Unsec. Nts., 8/15/20		3,760,000		4,145,400

Icahn Enterprises LP/Icahn Enterprises Finance Corp., 5.875% Sr. Unsec. Nts., 2/1/22		3,135,000		3,299,588

Lear Corp., 4.75% Sr. Unsec. Nts., 1/15/23		2,925,000		2,925,000

				17,531,251


Automobiles—0.3%

Daimler Finance North America LLC, 2.375% Sr. Unsec. Nts., 8/1/18¹		1,375,000		1,409,627

Ford Motor Co., 7.45% Sr. Unsec. Nts., 7/16/31		1,025,000		1,372,363

12 OPPENHEIMER GLOBAL STRATEGIC INCOME FUND/VA


	Principal Amount		Value

Automobiles (Continued)

Jaguar Land Rover Automotive plc, 5.625% Sr. Unsec. Nts., 2/1/23¹	$	2,065,000	$	2,201,806

Toyota Motor Credit Corp., 1.80% Sr. Unsec. Nts., 7/23/20	EUR	1,015,000		1,438,604

				6,422,400


Diversified Consumer Services—0.1%

Monitronics International, Inc., 9.125% Sr. Unsec. Nts., 4/1/20		2,865,000		3,072,713


Hotels, Restaurants & Leisure—1.3%

Boyd Gaming Corp., 9.125% Sr. Unsec. Nts., 12/1/18		900,000		961,875

Caesars Entertainment Resort Properties LLC, 11% Sec. Nts., 10/1/21¹		1,725,000		1,863,000

Caesars Growth Properties Holdings LLC/Caesars Growth Properties Finance, Inc., 9.375% Sec. Nts., 5/1/22¹		1,885,000		1,916,809

Churchill Downs, Inc., 5.375% Sr. Unsec. Nts., 12/15/21¹		1,130,000		1,161,075

Greektown Holdings LLC/Greektown Mothership Corp., 8.875% Sr. Sec. Nts., 3/15/19¹		2,080,000		2,132,000

GTECH SpA, 8.25% Jr. Sub. Nts., 3/31/66^1,2	EUR	1,925,000		2,844,271

HOA Restaurant Group LLC/HOA Finance Corp., 11.25% Sec. Nts., 4/1/17³		1,861,000		1,972,660

Isle of Capri Casinos, Inc., 7.75% Sr. Unsec. Nts., 3/15/19		1,350,000		1,447,875

Landry’s, Inc., 9.375% Sr. Unsec. Nts., 5/1/20¹		2,505,000		2,768,025

MCE Finance Ltd., 5% Sr. Unsec. Nts., 2/15/21¹		1,805,000		1,832,075

MGM Resorts International:
6.625% Sr. Unsec. Nts., 12/15/21		1,710,000		1,904,513
6.75% Sr. Unsec. Nts., 10/1/20		1,650,000		1,845,937

MTR Gaming Group, Inc., 11.50% Sec. Nts., 8/1/19		2,510,825		2,834,094

PF Chang’s China Bistro, Inc., 10.25% Sr. Unsec. Nts., 6/30/20¹		1,700,000		1,742,500

Pinnacle Entertainment, Inc., 6.375% Sr. Unsec. Nts., 8/1/21		1,670,000		1,770,200

Premier Cruises Ltd., 11% Sr. Unsec. Nts., 3/15/08^3,8		250,000		—

Sugarhouse HSP Gaming Prop Mezz LP/Sugarhouse HSP Gaming Finance Corp., 6.375% Sr. Sec. Nts., 6/1/21¹		1,250,000		1,231,250

Viking Cruises Ltd., 8.50% Sr. Unsec. Nts., 10/15/22¹		930,000		1,032,300

				31,260,459


Household Durables—0.5%

Beazer Homes USA, Inc., 9.125% Sr. Unsec. Nts., 5/15/19		2,815,000		3,015,569

Jarden Corp., 6.125% Sr. Unsec. Nts., 11/15/22		540,000		574,425

K Hovnanian Enterprises, Inc.:
7.00% Sr. Unsec. Nts., 1/15/19¹		1,200,000		1,227,750
9.125% Sec. Nts., 11/15/20³		1,790,000		2,004,800

KB Home, 7% Sr. Unsec. Nts., 12/15/21		1,965,000		2,146,762

Meritage Homes Corp., 7.15% Sr. Unsec. Nts., 4/15/20		1,960,000		2,195,200

Taylor Morrison Communities, Inc./Monarch Communities, Inc., 5.25% Sr. Unsec. Nts., 4/15/21¹		1,050,000		1,071,000

				12,235,506


	Principal Amount		Value

Media—2.4%

Altice Financing SA, 6.50% Sec. Nts., 1/15/22¹	$	905,000	$	966,087

Altice Finco SA, 8.125% Sr. Sec. Nts., 1/15/24¹		720,000		797,400

Altice SA, 7.25% Sr. Sec. Nts., 5/15/22¹	EUR	4,220,000		6,130,931

Belo Corp., 7.75% Sr. Unsec. Nts., 6/1/27		3,132,000		3,476,520

CBS Outdoor Americas Capital LLC/CBS Outdoor Americas Capital Corp., 5.25% Sr. Unsec. Nts., 2/15/22¹		460,000		473,800

CCO Holdings LLC/CCO Holdings Capital Corp., 5.75% Sr. Unsec. Nts., 9/1/23		1,620,000		1,684,800

Cumulus Media Holdings, Inc., 7.75% Sr. Unsec. Nts., 5/1/19		1,715,000		1,807,181

DISH DBS Corp.:
5.875% Sr. Unsec. Nts., 7/15/22		1,295,000		1,408,312
6.75% Sr. Unsec. Nts., 6/1/21		835,000		953,987
7.875% Sr. Unsec. Nts., 9/1/19		1,580,000		1,880,200

DreamWorks Animation SKG, Inc., 6.875% Sr. Unsec. Nts., 8/15/20¹		1,260,000		1,363,950

Entercom Radio LLC, 10.50% Sr. Unsec. Nts., 12/1/19		1,125,000		1,293,750

Gannett Co., Inc., 5.125% Sr. Unsec. Nts., 7/15/20¹		1,740,000		1,794,375

Gray Television, Inc., 7.50% Sr. Unsec. Nts., 10/1/20		3,340,000		3,615,550

Myriad International Holdings BV, 6% Sr. Unsec. Nts., 7/18/20¹		1,040,000		1,151,800

Nexstar Broadcasting, Inc., 6.875% Sr. Unsec. Nts., 11/15/20		2,305,000		2,495,163

Numericable Group SA, 6% Sr. Sec. Nts., 5/15/22¹		3,585,000		3,732,881

Sinclair Television Group, Inc.:
5.375% Sr. Unsec. Nts., 4/1/21		1,800,000		1,820,250
6.125% Sr. Unsec. Nts., 10/1/22		2,410,000		2,530,500

Univision Communications, Inc., 8.50% Sr. Unsec. Nts., 5/15/21¹		1,590,000		1,770,863

UPC Holding BV, 6.75% Sr. Unsec. Nts., 3/15/23¹	EUR	2,720,000		4,143,502

UPCB Finance V Ltd., 7.25% Sr. Sec. Nts., 11/15/21¹		2,215,000		2,447,575

UPCB Finance VI Ltd., 6.875% Sr. Sec. Nts., 1/15/22¹		3,275,000		3,594,313

Virgin Media Finance plc, 7% Sr. Unsec. Nts., 4/15/23¹	GBP	755,000		1,420,026

Virgin Media Secured Finance plc, 6% Sr. Sec. Nts., 4/15/21¹	GBP	2,470,000		4,446,970

VTR Finance BV, 6.875% Sr. Sec. Nts., 1/15/24¹		1,375,000		1,479,266

				58,679,952


Multiline Retail—0.3%

Burlington Holdings LLC/Burlington Holding Finance, Inc., 9% Sr. Unsec. Nts., 2/15/18^3,12		692,000		711,044

Neiman Marcus Group Ltd., Inc.:
8.00% Sr. Unsec. Nts., 10/15/21¹		665,000		719,862
8.75% Sr. Unsec. Nts., 10/15/21^1,12		4,255,000		4,659,225

				6,090,131


Specialty Retail—0.7%

BC Mountain LLC/BC Mountain Finance, Inc., 7% Sr. Unsec. Nts., 2/1/21¹		3,240,000		3,150,900

Claire’s Stores, Inc., 8.875% Sr. Unsec. Nts., 3/15/19		3,195,000		2,795,625

Hot Topic, Inc., 9.25% Sr. Sec. Nts., 6/15/21¹		4,410,000		4,917,150

13 OPPENHEIMER GLOBAL STRATEGIC INCOME FUND/VA



CONSOLIDATED STATEMENT OF INVESTMENTS Unaudited / Continued


	Principal Amount		Value

Specialty Retail (Continued)

L Brands, Inc., 6.625% Sr. Unsec. Nts., 4/1/21	$	1,295,000	$	1,477,919

Party City Holdings, Inc., 8.875% Sr. Unsec. Nts., 8/1/20		1,630,000		1,813,375

Sally Holdings LLC/Sally Capital, Inc., 5.75% Sr. Unsec. Nts., 6/1/22		655,000		700,850

Stackpole International Intermediate Co., 7.75% Sr. Sec. Nts., 10/15/21¹		1,230,000		1,291,500

				16,147,319


Textiles, Apparel & Luxury Goods—0.3%

Levi Strauss & Co., 7.75% Sr. Unsec. Nts., 5/15/18	EUR	72,500		103,846

Polymer Group, Inc., 6.875% Sr. Unsec. Nts., 6/1/19¹		705,000		719,100

Quiksilver, Inc./QS Wholesale, Inc.:
7.875% Sr. Sec. Nts., 8/1/18¹		1,060,000		1,081,200
10.00% Sr. Unsec. Nts., 8/1/20		701,000		708,010

Springs Industries, Inc., 6.25% Sr. Sec. Nts., 6/1/21		4,110,000		4,207,612

				6,819,768


Consumer Staples—1.0%

Beverages—0.1%

Compania Brasileira de Aluminio, 4.75% Sr. Unsec. Nts., 6/17/24¹		1,200,000		1,182,000

Pernod Ricard SA:
4.45% Sr. Unsec. Nts., 1/15/22¹		695,000		741,789
5.75% Sr. Unsec. Nts., 4/7/21¹		585,000		673,168

				2,596,957


Food & Staples Retailing—0.1%

BI-LO LLC/BI-LO Finance Corp., 8.625% Sr. Unsec. Nts., 9/15/18^1,12		1,755,000		1,785,713

Rite Aid Corp., 6.75% Sr. Unsec. Nts., 6/15/21		1,010,000		1,098,375

				2,884,088


Food Products—0.7%

American Seafoods Group LLC/American Seafoods Finance, Inc., 10.75% Sr. Sub. Nts., 5/15/16¹		2,770,000		2,776,925

ASG Consolidated LLC/ASG Finance, Inc., 15% Sr. Unsec. Nts., 5/15/17^3,12		3,004,334		2,824,074

BRF SA:
4.75% Sr. Unsec. Nts., 5/22/24¹		715,000		706,062
5.875% Sr. Unsec. Nts., 6/6/22¹		1,830,000		1,985,550

Bumble Bee Holdings, Inc., 9% Sr. Sec. Nts., 12/15/17¹		1,374,000		1,470,180

Chiquita Brands International, Inc./Chiquita Brands LLC, 7.875% Sr. Sec. Nts., 2/1/21		1,591,000		1,738,168

HJ Heinz Co., 4.25% Sec. Nts., 10/15/20		1,450,000		1,460,875

Marfrig Holding Europe BV, 6.875% Sr. Unsec. Nts., 6/24/19¹		870,000		882,180

Marfrig Overseas Ltd., 9.50% Sr. Unsec. Nts., 5/4/20¹		925,000		1,003,625

Post Holdings, Inc., 7.375% Sr. Unsec. Nts., 2/15/22		1,315,000		1,426,775

Wells Enterprises, Inc., 6.75% Sr. Sec. Nts., 2/1/20¹		912,000		961,020

				17,235,434


Tobacco—0.1%

Vector Group Ltd.:
7.75% Sr. Sec. Nts., 2/15/21¹		580,000		620,600
7.75% Sr. Sec. Nts., 2/15/21		1,145,000		1,225,150

				1,845,750


	Principal Amount		Value

Energy—7.1%

Energy Equipment & Services—1.2%

Eletson Holdings, 9.625% Sr. Sec. Nts., 1/15/22¹	$	1,245,000	$	1,341,487

Exterran Partners LP/EXLP Finance Corp., 6% Sr. Unsec. Nts., 4/1/21		1,525,000		1,547,875

Forbes Energy Services Ltd., 9% Sr. Unsec. Nts., 6/15/19		1,520,000		1,584,600

Hornbeck Offshore Services, Inc., 5.875% Sr. Unsec. Nts., 4/1/20		2,360,000		2,454,400

McDermott International, Inc., 8% Sec. Nts., 5/1/21¹		1,885,000		1,946,263

North Atlantic Drilling Ltd.:
6.16% Sr. Unsec. Nts., 10/30/18^1,2	NOK	8,000,000		1,312,389
6.25% Sr. Unsec. Nts., 2/1/19¹		1,605,000		1,588,950

Odebrecht Offshore Drilling Finance Ltd., 6.75% Sr. Sec. Nts., 10/1/22¹		2,516,562		2,700,271

Offshore Group Investment Ltd., 7.50% Sr. Sec. Nts., 11/1/19		2,120,000		2,252,500

Pertamina Persero PT, 5.625% Sr. Unsec. Nts., 5/20/43¹		955,000		861,888

Precision Drilling Corp., 6.625% Sr. Unsec. Nts., 11/15/20		1,395,000		1,499,625

QGOG Constellation SA, 6.25% Sr. Unsec. Nts., 11/9/19¹		2,375,000		2,410,625

Seadrill Ltd., 6.125% Sr. Unsec. Nts., 9/15/17¹		2,820,000		2,982,150

Sinopec Group Overseas Development 2013 Ltd., 4.375% Sr. Unsec. Nts., 10/17/23¹		1,320,000		1,384,083

Sinopec Group Overseas Development 2014 Ltd., 2.75% Sr. Unsec. Nts., 4/10/19¹		1,760,000		1,772,373

				27,639,479


Oil, Gas & Consumable Fuels—5.9%

Access Midstream Partners LP/ACMP Finance Corp.:
4.875% Sr. Unsec. Nts., 3/15/24		680,000		720,800
6.125% Sr. Unsec. Nts., 7/15/22		1,390,000		1,542,900

Afren plc, 6.625% Sr. Sec. Nts., 12/9/20¹		1,290,000		1,338,375

Alliance Oil Co. Ltd., 7% Sr. Unsec. Nts., 5/4/20¹		1,605,000		1,488,637

Antero Resources Finance Corp., 6% Sr. Unsec. Nts., 12/1/20		1,410,000		1,519,275

Arch Coal, Inc.:
7.25% Sr. Unsec. Nts., 6/15/21		505,000		371,175
8.00% Sec. Nts., 1/15/19¹		1,760,000		1,746,800

Athlon Holdings LP/Athlon Finance Corp., 6% Sr. Unsec. Nts., 5/1/22¹		710,000		736,625

Atlas Pipeline Partners LP/Atlas Pipeline Finance Corp.:
5.875% Sr. Unsec. Nts., 8/1/23		1,280,000		1,308,800
6.625% Sr. Unsec. Nts., 10/1/20		1,435,000		1,531,862

Baytex Energy Corp., 5.125% Sr. Unsec. Nts., 6/1/21¹		705,000		710,287

Bill Barrett Corp., 7.625% Sr. Unsec. Nts., 10/1/19		2,355,000		2,549,287

BreitBurn Energy Partners LP/BreitBurn Finance Corp., 8.625% Sr. Unsec. Nts., 10/15/20		2,705,000		2,989,025

Chaparral Energy, Inc., 7.625% Sr. Unsec. Nts., 11/15/22		1,400,000		1,519,000

Chesapeake Energy Corp.:
4.875% Sr. Unsec. Nts., 4/15/22		705,000		730,556
5.75% Sr. Unsec. Nts., 3/15/23		1,425,000		1,590,585

Cloud Peak Energy Resources LLC/Cloud Peak Energy Finance Corp.:
6.375% Sr. Unsec. Nts., 3/15/24		1,740,000		1,827,000
8.50% Sr. Unsec. Nts., 12/15/19		485,000		521,375

CNOOC Curtis Funding No 1 Pty Ltd., 4.50% Sr. Unsec. Nts., 10/3/23¹		1,310,000		1,375,382

Cosan Luxembourg SA, 5% Sr. Unsec. Nts., 3/14/23¹		620,000		593,650

14 OPPENHEIMER GLOBAL STRATEGIC INCOME FUND/VA


	Principal Amount		Value

Oil, Gas & Consumable Fuels (Continued)

Crestwood Midstream Partners LP/Crestwood Midstream Finance Corp.:
6.00% Sr. Unsec. Nts., 12/15/20	$	495,000	$	522,225
6.125% Sr. Unsec. Nts., 3/1/22¹		2,055,000		2,173,162

Delek & Avner Tamar Bond Ltd.:
3.839% Sr. Sec. Nts., 12/30/18¹		615,000		620,184
5.082% Sr. Sec. Nts., 12/30/23¹		610,000		621,948

Denbury Resources, Inc., 4.625% Sr. Sub. Nts., 7/15/23		1,040,000		1,014,218

Dolphin Energy Ltd., 5.50% Sr. Sec. Nts., 12/15/21¹		1,790,000		2,038,362

Ecopetrol SA:
5.875% Sr. Unsec. Nts., 5/28/45		1,550,000		1,613,550
7.625% Sr. Unsec. Nts., 7/23/19		370,000		455,100

Empresa Nacional del Petroleo:
4.75% Sr. Unsec. Nts., 12/6/21¹		1,725,000		1,838,157
5.25% Sr. Unsec. Nts., 8/10/20¹		910,000		999,237

Energy Transfer Equity LP, 5.875% Sr. Sec. Nts., 1/15/24¹		1,175,000		1,233,750

Energy XXI Gulf Coast, Inc., 6.875% Sr. Unsec. Nts., 3/15/24¹		470,000		480,575

EP Energy LLC/Everest Acquisition Finance, Inc., 7.75% Sr. Unsec. Nts., 9/1/22		2,665,000		3,018,112

EXCO Resources, Inc., 7.50% Sr. Unsec. Nts., 9/15/18		1,745,000		1,797,350

Gazprom OAO Via Gaz Capital SA:
4.95% Sr. Unsec. Nts., 7/19/22¹		1,240,000		1,239,752
5.999% Sr. Unsec. Nts., 1/23/21¹		1,135,000		1,215,869

Genesis Energy LP/Genesis Energy Finance Corp., 5.75% Sr. Unsec. Nts., 2/15/21		1,720,000		1,797,400

Halcon Resources Corp.:
8.875% Sr. Unsec. Nts., 5/15/21		2,580,000		2,786,400
9.75% Sr. Unsec. Nts., 7/15/20		995,000		1,090,769

Hiland Partners LP/Hiland Partners Finance Corp., 7.25% Sr. Unsec. Nts., 10/1/20¹		1,430,000		1,565,850

KazMunayGas National Co. JSC:
5.75% Sr. Unsec. Nts., 4/30/43¹		650,000		627,250
7.00% Sr. Unsec. Nts., 5/5/20¹		435,000		496,988
9.125% Sr. Unsec. Nts., 7/2/18¹		985,000		1,190,471

Kodiak Oil & Gas Corp., 5.50% Sr. Unsec. Nts., 1/15/21		1,735,000		1,817,413

Laredo Petroleum, Inc., 5.625% Sr. Unsec. Nts., 1/15/22		1,765,000		1,833,394

LBC Tank Terminals Holding Netherlands BV, 6.875% Sr. Unsec. Nts., 5/15/23³		1,530,000		1,617,975

Lightstream Resources Ltd., 8.625% Sr. Unsec. Nts., 2/1/20¹		1,765,000		1,862,075

Linn Energy LLC/Linn Energy Finance Corp.:
7.75% Sr. Unsec. Nts., 2/1/21		3,370,000		3,652,238
8.625% Sr. Unsec. Nts., 4/15/20		1,370,000		1,486,450

MarkWest Energy Partners LP/MarkWest Energy Finance Corp., 4.50% Sr. Unsec. Nts., 7/15/23		730,000		748,250

MEG Energy Corp.:
6.50% Sr. Unsec. Nts., 3/15/21¹		6,740,000		7,178,100
7.00% Sr. Unsec. Nts., 3/31/24¹		1,065,000		1,176,825

Memorial Production Partners LP/Memorial Production Finance Corp., 7.625% Sr. Unsec. Nts., 5/1/21		1,425,000		1,503,375

Midstates Petroleum Co., Inc./Midstates Petroleum Co. LLC, 9.25% Sr. Unsec. Nts., 6/1/21		1,440,000		1,591,200

Murray Energy Corp.:
8.625% Sr. Sec. Nts., 6/15/21¹		635,000		690,563
9.50% Sr. Sec. Nts., 12/5/20¹		2,820,000		3,165,450

Navios Maritime Acquisition Corp./Navios Acquisition Finance US, Inc., 8.125% Sr. Sec. Nts., 11/15/21¹		1,245,000		1,307,250


		Principal Amount		Value

Oil, Gas & Consumable Fuels (Continued)

Novatek OAO via Novatek Finance Ltd.:
4.422% Sr. Unsec. Nts., 12/13/22¹		$	1,120,000	$	1,051,400
7.75% Sr. Unsec. Nts., 2/21/17¹	RUB		9,460,000		269,062

Oasis Petroleum, Inc., 6.875% Sr. Unsec. Nts., 1/15/23			1,975,000		2,162,625

Odebrecht Drilling Norbe VIII/IX Ltd., 6.35% Sr. Sec. Nts., 6/30/21¹			323,750		350,459

Origin Energy Finance Ltd.:
3.50% Sr. Unsec. Nts., 10/9/18¹			2,114,000		2,195,744
5.45% Sr. Unsec. Nts., 10/14/21¹			1,372,000		1,530,589

Pacific Rubiales Energy Corp., 5.125% Sr. Unsec. Nts., 3/28/23¹			1,905,000		1,900,238

Parsley Energy LLC/Parsley Finance Corp., 7.50% Sr. Unsec. Nts., 2/15/22¹			1,520,000		1,630,200

Peabody Energy Corp., 6.25% Sr. Unsec. Nts., 11/15/21			1,735,000		1,737,169

Penn Virginia Corp., 8.50% Sr. Unsec. Nts., 5/1/20			1,715,000		1,925,088

Petroleos de Venezuela SA:
6.00% Sr. Unsec. Nts., 11/15/26¹			2,685,000		1,731,825
9.00% Sr. Unsec. Nts., 11/17/21			1,160,000		991,684

Petroleos Mexicanos:
1.95% Sr. Unsec. Nts., 12/20/22			157,250		156,220
2.00% Sec. Nts., 12/20/22			777,750		774,305
3.50% Sr. Unsec. Nts., 1/30/23			1,470,000		1,439,130
6.375% Sr. Unsec. Nts., 1/23/45¹			2,565,000		2,985,019
6.625% Sr. Unsec. Nts., 6/15/35			1,020,000		1,206,150
8.00% Sr. Unsec. Nts., 5/3/19			4,135,000		5,143,940

Petroleum Co. of Trinidad & Tobago Ltd.:
6.00% Sr. Unsec. Nts., 5/8/22¹			346,667		372,667
9.75% Sr. Unsec. Nts., 8/14/19¹			515,000		651,475

Petronas Capital Ltd., 7.875% Sr. Unsec. Nts., 5/22/22¹			1,725,000		2,297,277

Range Resources Corp.:
5.00% Sr. Sub. Nts., 8/15/22			145,000		154,425
5.00% Sr. Sub. Nts., 3/15/23			325,000		347,750

Rice Energy, Inc., 6.25% Sr. Unsec. Nts., 5/1/22¹			1,085,000		1,113,481

Rosetta Resources, Inc., 5.625% Sr. Unsec. Nts., 5/1/21			1,525,000		1,576,469

Sabine Pass Liquefaction LLC, 5.625% Sr. Sec. Nts., 2/1/21			1,056,000		1,122,000

Samson Investment Co., 10.75% Sr. Unsec. Nts., 2/15/20¹			4,105,000		4,346,169

Sanchez Energy Corp.:
6.125% Sr. Unsec. Nts., 1/15/23¹			945,000		978,075
7.75% Sr. Unsec. Nts., 6/15/21¹			1,695,000		1,847,550

SandRidge Energy, Inc.:
7.50% Sr. Unsec. Nts., 2/15/23			1,675,000		1,825,750
7.51% Sr. Unsec. Nts., 3/15/21			3,062,000		3,333,753

Seventy Seven Energy, Inc., 6.50% Sr. Unsec. Nts., 7/15/22¹			235,000		241,169

Sibur Securities Ltd., 3.914% Sr. Unsec. Nts., 1/31/18¹			650,000		628,875

SM Energy Co., 6.50% Sr. Unsec. Nts., 1/1/23			1,990,000		2,164,125

Tengizchevroil Finance Co. Sarl, 6.124% Sr. Sec. Nts., 11/15/14¹			141,871		144,199

Tesoro Logistics LP/Tesoro Logistics Finance Corp., 5.875% Sr. Unsec. Nts., 10/1/20			1,475,000		1,563,500

Tullow Oil plc, 6% Sr. Unsec. Nts., 11/1/20¹			1,301,000		1,356,293

Whiting Petroleum Corp., 5.75% Sr. Unsec. Nts., 3/15/21			1,015,000		1,113,963

					143,138,445


Financials—8.3%

Capital Markets—1.1%

American Capital Ltd., 6.50% Sr. Unsec. Nts., 9/15/18¹			1,315,000		1,407,050

15 OPPENHEIMER GLOBAL STRATEGIC INCOME FUND/VA



CONSOLIDATED STATEMENT OF INVESTMENTS Unaudited / Continued


		Principal Amount		Value

Capital Markets (Continued)

Axalta Coating Systems Dutch Holding BV, 7.375% Sr. Unsec. Nts., 5/1/21¹		$	1,675,000	$	1,834,125

Cantor Commercial Real Estate Co. LP/CCRE Finance Corp., 7.75% Sr. Unsec. Nts., 2/15/18³			1,880,000		2,039,800

Fermaca Enterprises S de RL de CV, 6.375% Sr. Sec. Nts., 3/30/38¹			1,035,000		1,084,162

Gates Investments LLC/Gates Investments, Inc., 9% Sec. Nts., 10/1/18			1,473,000		1,570,292

Hilton Worldwide Finance LLC/Hilton Worldwide Finance Corp., 5.625% Sr. Unsec. Nts., 10/15/21¹			1,035,000		1,101,628

Mdc-Gmtn BV, 3.25% Sr. Unsec. Nts., 4/28/22¹			1,805,000		1,820,794

MPH Acquisition Holdings LLC, 6.625% Sr. Unsec. Nts., 4/1/22¹			700,000		735,000

Nationstar Mortgage LLC/Nationstar Capital Corp.:
6.50% Sr. Unsec. Nts., 8/1/18			430,000		443,975
7.875% Sr. Unsec. Nts., 10/1/20			1,655,000		1,746,025
10.875% Sr. Unsec. Nts., 4/1/15			1,295,000		1,303,955

Prospect Medical Holdings, Inc., 8.375% Sr. Sec. Nts., 5/1/19¹			2,160,000		2,365,200

Red de Carreteras de Occidente SAPIB de CV, 9% Sr. Sec. Nts., 6/10/28¹	MXN		22,700,000		1,682,127

Signode Industrial Group Lux SA/Signode Industrial Group US, Inc., 6.375% Sr. Unsec. Nts., 5/1/22¹			1,165,000		1,182,475

UBS AG (Jersey Branch), 7.25% Sub. Nts., 2/22/22²			3,520,000		3,863,647

Walter Investment Management Corp., 7.875% Sr. Unsec. Nts., 12/15/21¹			2,855,000		2,990,613

					27,170,868


Commercial Banks—3.8%

Akbank TAS, 7.50% Sr. Unsec. Nts., 2/5/18¹	TRY		1,805,000		795,107

America Movil SAB de CV, 8.46% Sr. Unsec. Nts., 12/18/36	MXN		14,700,000		1,120,669

Banco ABC Brasil SA, 8.50% Sr. Unsec. Nts., 3/28/16¹	BRL		1,080,000		466,802

Banco del Estado de Chile, 4.125% Sr. Unsec. Nts., 10/7/20¹			2,060,000		2,191,325

Banco do Brasil SA (Cayman), 9% Jr. Sub. Perpetual Bonds^1,2,13			465,000		460,931

Banco do Estado do Rio Grande do Sul SA, 7.375% Sub. Nts., 2/2/22¹			1,630,000		1,752,250

Banco Santander Brasil SA (Cayman Islands), 8% Sr. Unsec. Unsub. Nts., 3/18/16¹	BRL		1,850,000		807,988

Banco Santander Mexico SA Institucion de Banca Multiple Grupo Financiero Santand, 4.125% Sr. Unsec. Nts., 11/9/22¹			515,000		526,587

Bancolombia SA, 5.125% Unsec. Sub. Nts., 9/11/22			2,405,000		2,430,493

Barclays plc, 7% Jr. Sub. Perpetual Bonds^2,13	GBP		3,666,000		6,219,208

BBVA Banco Continental SA, 5% Sr. Unsec. Nts., 8/26/22¹			1,600,000		1,700,000

BNP Paribas SA, 5.945% Jr. Sub. Perpetual Bonds^2,13	GBP		3,190,000		5,679,897

BPCE SA:
5.25% Jr. Sub. Perpetual Bonds^2,13	EUR		1,010,000		1,386,727
5.70% Sub. Nts., 10/22/23¹			1,365,000		1,507,438
9.00% Jr. Sub. Perpetual Bonds^2,13	EUR		1,985,000		2,837,897

Brazil Loan Trust 1, 5.477% Sec. Nts., 7/24/23¹			1,420,000		1,462,600

CIT Group, Inc.:
4.25% Sr. Unsec. Nts., 8/15/17			575,000		601,234
5.00% Sr. Unsec. Nts., 8/15/22			2,465,000		2,560,519


		Principal Amount		Value

Commercial Banks (Continued)

Commerzbank AG, 8.125% Sub. Nts., 9/19/23¹		$	5,050,000	$	6,148,951

Corp. Financiera de Desarrollo SA, 4.75% Sr. Unsec. Nts., 2/8/22¹			1,535,000		1,607,912

CorpGroup Banking SA, 6.75% Sr. Unsec. Nts., 3/15/23¹			1,790,000		1,782,085

Credit Agricole SA:
6.637% Jr. Sub. Perpetual Bonds^1,2,13			3,480,000		3,704,025
8.375% Jr. Sub. Perpetual Bonds^2,3,13			1,855,000		2,200,494

Danske Bank, 5.684% Jr. Sub. Perpetual Bonds^2,13	GBP		2,250,000		4,072,062

DTEK Finance plc, 7.875% Sr. Unsec. Nts., 4/4/18¹			115,000		96,911

Export-Import Bank of India, 4% Sr. Unsec. Nts., 1/14/23			690,000		689,924

Finansbank AS, 6.25% Sr. Unsec. Nts., 4/30/19¹			810,000		838,431

Grupo Aval Ltd.:
4.75% Sr. Unsec. Nts., 9/26/22¹			2,190,000		2,168,100
5.25% Sr. Unsec. Nts., 2/1/17¹			480,000		513,600

HBOS Capital Funding LP, 6.461% Jr. Sub. Perpetual Bonds^2,13	GBP		1,085,000		2,005,883

Hungarian Development Bank, 6.25% Sr. Unsec. Nts., 10/21/20¹			1,645,000		1,833,583

ICICI Bank Ltd., 6.375% Jr. Sub. Nts., 4/30/22^1,2			910,000		946,400

ICICI Bank Ltd. (Dubai), 4.80% Sr. Unsec. Nts., 5/22/19¹			980,000		1,037,678

Intesa Sanpaolo SpA, 5.017% Sub. Nts., 6/26/24¹			2,820,000		2,857,283

Jones Energy Holdings LLC/Jones Energy Finance Corp., 6.75% Sr. Unsec. Nts., 4/1/22¹			1,195,000		1,263,713

Mizuho Bank Ltd., 2.45% Sr. Unsec. Nts., 4/16/19¹			1,275,000		1,288,614

Rabobank Capital Funding Trust IV, 5.556% Jr. Sub. Perpetual Bonds^1,2,13	GBP		150,000		273,417

RBS Capital Trust III, 5.512% Jr. Sub. Perpetual Bonds^2,13			1,445,000		1,437,775

Royal Bank of Scotland Group plc, 6% Sub. Nts., 12/19/23			2,795,000		3,032,977

Santander UK plc, 5% Sub. Nts., 11/7/23¹			1,490,000		1,611,399

Scottish Widows plc, 5.125% Jr. Sub. Perpetual Bonds^2,13	GBP		565,000		986,812

Skandinaviska Enskilda Banken AB, 2.375% Sr. Unsec. Nts., 11/20/18¹			1,410,000		1,432,426

Societe Generale SA:
5.00% Sub. Nts., 1/17/24¹			1,450,000		1,518,511
5.922% Jr. Sub. Perpetual Bonds^1,2,13			4,000,000		4,290,000

State Bank of India (London), 4.875% Sr. Unsec. Nts., 4/17/24¹			720,000		730,576

TC Ziraat Bankasi AS, 4.25% Sr. Unsec. Nts., 7/3/19^1,6			1,870,000		1,860,650

Toronto-Dominion Bank (The), 2.625% Sr. Unsec. Nts., 9/10/18			1,395,000		1,441,572

Turkiye Garanti Bankasi AS, 4.75% Sr. Unsec. Nts., 10/17/19¹			1,035,000		1,047,938

Turkiye Halk Bankasi AS, 4.75% Sr. Unsec. Nts., 6/4/19¹			825,000		826,320

Turkiye Sise ve Cam Fabrikalari AS, 4.25% Sr. Unsec. Nts., 5/9/20¹			580,000		562,600

					90,616,294


Consumer Finance—0.6%

Ahern Rentals, Inc., 9.50% Sec. Nts., 6/15/18¹			1,460,000		1,616,950

Ally Financial, Inc., 7.50% Sr. Unsec. Nts., 9/15/20			1,175,000		1,420,281

16 OPPENHEIMER GLOBAL STRATEGIC INCOME FUND/VA


	Principal Amount		Value

Consumer Finance (Continued)

Astana Finance JSC, 9.16% Sr. Unsec. Nts., 3/14/12⁸	$	7,200,000	$414,000

Cash America International, Inc., 5.75% Sr. Unsec. Nts., 5/15/18		1,045,000	1,078,962

Enova International, Inc., 9.75% Sr. Nts., 6/1/21¹		1,880,000	1,877,650

Milestone Aviation Group Ltd. (The), 8.625% Sr. Unsec. Nts., 12/15/17¹		1,380,000	1,516,275

Navient Corp.:
6.125% Sr. Unsec. Nts., 3/25/24		1,820,000	1,849,575
7.25% Sr. Unsec. Nts., 1/25/22		2,230,000	2,472,513

Speedy Cash Intermediate Holdings Corp., 10.75% Sec. Nts., 5/15/18¹		990,000	1,009,800

TMX Finance LLC/TitleMax Finance Corp., 8.50% Sr. Sec. Nts., 9/15/18¹		1,445,000	1,538,925

			14,794,931

Diversified Financial Services—1.5%

ABN AMRO Bank NV, 4.31% Jr. Sub. Perpetual Bonds^2,13	EUR	4,340,000	6,099,092

AG Spring Finance II Ltd., 9.50% Sr. Sec. Nts., 6/1/19¹	EUR	640,000	836,040

AG Spring Finance Ltd., 7.50% Sr. Sec. Nts., 6/1/18¹	EUR	640,000	876,352

Baggot Securities Ltd., 10.25% Sec. Perpetual Bonds^1,13	EUR	1,905,000	2,875,889

Banco BTG Pactual SA (Cayman Islands):
4.00% Sr. Unsec. Nts., 1/16/20¹		2,275,000	2,184,000
5.75% Sub. Nts., 9/28/22¹		1,190,000	1,173,031

Banco Invex SA/Hipotecaria Credito y Casa SA de CV, 6.45% Sec. Nts., 3/13/34⁸	MXN	4,830,531	—

Capsugel SA, 7% Sr. Unsec. Nts., 5/15/19^1,12		1,500,000	1,547,812

Columbus International, Inc., 7.375% Sr. Unsec. Nts., 3/30/21¹		1,185,000	1,281,281

Export Credit Bank of Turkey, 5.875% Sr. Unsec. Nts., 4/24/19¹		3,270,000	3,475,847

First Data Holdings, Inc., 14.50% Sr. Unsec. Nts., 9/24/19^1,12		1,199,880	1,339,366

FTE Verwaltungs GmbH, 9% Sr. Sec. Nts., 7/15/20¹	EUR	1,545,000	2,320,514

Jefferies Finance LLC/JFIN Co.-Issuer Corp., 7.375% Sr. Unsec. Nts., 4/1/20¹		1,715,000	1,809,325

Jefferies LoanCore LLC/JLC Finance Corp., 6.875% Sr. Unsec. Nts., 6/1/20¹		1,470,000	1,492,050

JPMorgan Hipotecaria su Casita:
6.10% Sec. Nts., 9/25/35¹¹	MXN	1,137,637	120,110
6.47% Sec. Nts., 8/26/35^3,11	MXN	5,808,600	44,619

Magyar Export-Import Bank Zrt, 5.50% Sr. Unsec. Nts., 2/12/18¹		1,310,000	1,414,590

National Savings Bank, 8.875% Sr. Unsec. Nts., 9/18/18¹		1,315,000	1,495,813

NN Group NV, 6.375% Sub. Nts., 5/7/27²	EUR	2,565,000	3,913,969

Opal Acquisition, Inc., 8.875% Sr. Unsec. Nts., 12/15/21¹		610,000	644,313

SPCM SA, 5.50% Sr. Unsec. Nts., 6/15/20¹	EUR	270,000	400,212

			35,344,225

Insurance—0.5%

Aviva plc:
5.902% Jr. Sub. Perpetual Bonds^2,13	GBP	750,000	1,350,192
6.125% Jr. Sub. Perpetual Bonds^2,13	GBP	1,545,000	2,836,551

Hockey Merger Sub 2, Inc., 7.875% Sr. Unsec. Nts., 10/1/21¹		2,695,000	2,900,494

National Financial Partners Corp., 9% Sr. Unsec. Nts., 7/15/21¹		1,860,000	2,036,700


	Principal Amount		Value

Insurance (Continued)

Swiss Re Capital I LP, 6.854% Jr. Sub. Perpetual Bonds^1,2,13	$	3,538,000	$ 3,794,505

			12,918,442

Real Estate Investment Trusts (REITs)—0.3%

CTR Partnership LP/CareTrust Capital Corp., 5.875% Sr. Unsec. Nts., 6/1/21¹		1,645,000	1,665,562

DuPont Fabros Technology LP, 5.875% Sr. Unsec. Nts., 9/15/21		1,535,000	1,611,750

iStar Financial, Inc., 4.875% Sr. Unsec. Nts., 7/1/18		1,770,000	1,783,275

TRUST F/1401, 5.25% Sr. Unsec. Nts., 12/15/24¹		1,245,000	1,310,363

			6,370,950

Real Estate Management & Development—0.5%

Country Garden Holdings Co. Ltd., 7.875% Sr. Unsec. Nts., 5/27/19¹		1,150,000	1,197,495

Emaar Sukuk Ltd., 6.40% Sr. Unsec. Nts., 7/18/19		225,000	255,139

Fondo MIVIVIENDA SA, 3.50% Sr. Unsec. Nts., 1/31/23¹		2,360,000	2,259,700

Jafz Sukuk Ltd., 7% Sr. Unsec. Nts., 6/19/19		1,775,000	2,041,250

Realogy Group LLC:
7.625% Sr. Sec. Nts., 1/15/20¹		1,330,000	1,472,975
9.00% Sr. Sec. Nts., 1/15/20³		865,000	988,263

Sukuk Funding No 3 Ltd., 4.348% Sr. Unsec. Nts., 12/3/18		1,145,000	1,195,264

Techem GmbH, 6.125% Sr. Sec. Nts., 10/1/19¹	EUR	1,025,000	1,522,889

			10,932,975

Thrifts & Mortgage Finance—0.0%

Jefferies Finance LLC/JFIN Co.-Issuer Corp., 6.875% Sr. Unsec. Nts., 4/15/22¹		1,165,000	1,185,387

Health Care—1.9%

Biotechnology—0.1%

Universal Hospital Services, Inc., 7.625% Sec. Nts., 8/15/20		1,570,000	1,652,425

Health Care Equipment & Supplies—0.4%

Alere, Inc., 6.50% Sr. Sub. Nts., 6/15/20		1,045,000	1,102,475

ConvaTec Healthcare D Sarl, 10.875% Sr. Unsec. Nts., 12/15/18¹	EUR	1,140,000	1,708,985

Crimson Merger Sub, Inc., 6.625% Sr. Unsec. Nts., 5/15/22¹		3,590,000	3,567,563

DJO Finance LLC/DJO Finance Corp., 8.75% Sec. Nts., 3/15/18		1,125,000	1,215,000

Hologic, Inc., 6.25% Sr. Unsec. Nts., 8/1/20		185,000	196,100

Kinetic Concepts, Inc./KCI USA, Inc., 10.50% Sec. Nts., 11/1/18		1,840,000	2,083,800

			9,873,923

Health Care Providers & Services—1.1%

Acadia Healthcare Co., Inc., 6.125% Sr. Unsec. Nts., 3/15/21		440,000	464,200

CHS/Community Health Systems, Inc.:
6.875% Sr. Unsec. Nts., 2/1/22¹		1,000,000	1,065,000
7.125% Sr. Unsec. Nts., 7/15/20		970,000	1,054,875

DaVita HealthCare Partners, Inc.:
5.125% Sr. Unsec. Nts., 7/15/24		825,000	831,703
5.75% Sr. Unsec. Nts., 8/15/22		895,000	959,887

Envision Healthcare Corp., 5.125% Sr. Unsec. Nts., 7/1/22¹		590,000	596,637

FGI Operating Co. LLC/FGI Finance, Inc., 7.875% Sec. Nts., 5/1/20		3,945,000	4,221,150

17 OPPENHEIMER GLOBAL STRATEGIC INCOME FUND/VA



CONSOLIDATED STATEMENT OF INVESTMENTS Unaudited / Continued


	Principal Amount		Value

Health Care Providers & Services (Continued)

Fresenius Medical Care US Finance II, Inc.:
5.625% Sr. Unsec. Nts., 7/31/19¹	$	805,000	$ 881,475
5.875% Sr. Unsec. Nts., 1/31/22¹		405,000	449,550

Gentiva Health Services, Inc., 11.50% Sr. Unsec. Nts., 9/1/18		1,370,000	1,464,187

HCA, Inc., 7.50% Sr. Unsec. Nts., 2/15/22		2,695,000	3,116,094

IASIS Healthcare LLC/IASIS Capital Corp., 8.375% Sr. Unsec. Nts., 5/15/19		2,270,000	2,426,063

Kindred Healthcare, Inc., 6.375% Sr. Unsec. Nts., 4/15/22¹		1,395,000	1,408,950

LifePoint Hospitals, Inc., 5.50% Sr. Unsec. Nts., 12/1/21¹		3,070,000	3,223,500

Select Medical Corp.:
6.375% Sr. Unsec. Nts., 6/1/21		1,055,000	1,107,750
6.375% Sr. Unsec. Nts., 6/1/21¹		695,000	729,750

Tenet Healthcare Corp., 6% Sr. Sec. Nts., 10/1/20		2,035,000	2,213,063

			26,213,834

Pharmaceuticals—0.3%

Endo Finance LLC & Endo Finco, Inc., 5.375% Sr. Unsec. Nts., 1/15/23¹		2,500,000	2,503,125

JLL/Delta Dutch Newco BV, 7.50% Sr. Unsec. Nts., 2/1/22¹		1,265,000	1,314,019

Salix Pharmaceuticals Ltd., 6% Sr. Unsec. Nts., 1/15/21¹		3,060,000	3,289,500

Valeant Pharmaceuticals International, Inc.:
6.375% Sr. Unsec. Nts., 10/15/20¹		920,000	980,950
7.25% Sr. Unsec. Nts., 7/15/22¹		115,000	124,631

			8,212,225

Industrials—5.6%

Aerospace & Defense—1.1%

B/E Aerospace, Inc., 6.875% Sr. Unsec. Nts., 10/1/20		1,255,000	1,369,519

CBC Ammo LLC/CBC FinCo, Inc., 7.25% Sr. Unsec. Nts., 11/15/21¹		5,860,000	6,079,750

Embraer Overseas Ltd., 5.696% Sr. Unsec. Nts., 9/16/23¹		1,035,000	1,124,320

Erickson, Inc., 8.25% Sec. Nts., 5/1/20		3,057,000	3,156,352

GenCorp, Inc., 7.125% Sec. Nts., 3/15/21		3,980,000	4,368,050

Huntington Ingalls Industries, Inc., 7.125% Sr. Unsec. Unsub. Nts., 3/15/21		1,940,000	2,129,150

Kratos Defense & Security Solutions, Inc., 7% Sr. Sec. Nts., 5/15/19¹		1,805,000	1,881,712

Spirit AeroSystems, Inc., 5.25% Sr. Unsec. Nts., 3/15/22¹		2,165,000	2,202,888

TransDigm, Inc., 6% Sr. Sub. Nts., 7/15/22¹		1,810,000	1,862,038

Triumph Group, Inc., 5.25% Sr. Unsec. Nts., 6/1/22¹		2,555,000	2,570,969

			26,744,748

Air Freight & Couriers—0.4%

CEVA Group plc, 7% Sr. Sec. Nts., 3/1/21¹		7,090,000	7,320,425

Kazakhstan Temir Zholy Finance BV, 6.95% Sr. Unsec. Nts., 7/10/42¹		190,000	208,525

SPL Logistics Escrow LLC/SPL Logistics Finance Corp., 8.875% Sr. Sec. Nts., 8/1/20¹		2,560,000	2,880,000

			10,408,950

Airlines—0.2%

Air Canada, 6.75% Sr. Sec. Nts., 10/1/19¹		1,100,000	1,197,625

Emirates Airline, 4.50% Sr. Unsec. Nts., 2/6/25¹		1,585,000	1,561,225


	Principal Amount		Value

Airlines (Continued)

US Airways 2011-1 Class A Pass Through Trust, 7.125% Pass-Through Certificates, 10/22/23	$	1,167,931	$ 1,369,399

			4,128,249

Building Products—0.1%

Nortek, Inc., 8.50% Sr. Unsec. Nts., 4/15/21		2,740,000	3,041,400

Commercial Services & Supplies—1.2%

Affinion Group, Inc., 7.875% Sr. Unsec. Nts., 12/15/18		3,020,000	2,755,750

Brand Energy & Infrastructure Services, Inc., 8.50% Sr. Unsec. Nts., 12/1/21³		3,070,000	3,284,900

Cenveo Corp.:
6.00% Sr. Sec. Nts., 8/1/19¹		2,925,000	2,939,625
8.50% Sec. Nts., 9/15/22¹		2,550,000	2,543,625
8.875% Sec. Nts., 2/1/18		3,020,000	3,174,080

First Data Corp., 6.75% Sr. Sec. Nts., 11/1/20¹		2,340,000	2,538,900

Quad Graphics, Inc., 7% Sr. Unsec. Nts., 5/1/22¹		1,795,000	1,803,975

R.R. Donnelley & Sons Co., 7.875% Sr. Unsec. Nts., 3/15/21		1,190,000	1,374,450

Spectrum Brands, Inc., 6.375% Sr. Unsec. Nts., 11/15/20		1,010,000	1,093,325

Tervita Corp., 8% Sr. Sec. Nts., 11/15/18¹		3,495,000	3,652,275

West Corp., 5.375% Sr. Unsec. Nts., 7/15/22^1,6		3,535,000	3,499,650

			28,660,555

Construction & Engineering—0.2%

Andrade Gutierrez International SA, 4% Sr. Unsec. Nts., 4/30/18¹		1,915,000	1,910,212

OAS Financial Ltd., 8% Sr. Unsec. Nts., 7/2/21^1,6		755,000	764,438

OAS Investments GmbH, 8.25% Sr. Nts., 10/19/19¹		1,160,000	1,203,500

Odebrecht Finance Ltd.:
5.25% Sr. Unsec. Nts., 6/27/29¹		895,000	899,923
8.25% Sr. Unsec. Nts., 4/25/18¹	BRL	1,130,000	462,842

			5,240,915

Electrical Equipment—0.2%

General Cable Corp., 6.50% Sr. Unsec. Nts., 10/1/22¹		2,615,000	2,673,838

Orion Engineered Carbons Bondco GmbH, 10% Sr. Sec. Nts., 6/15/18¹	EUR	1,084,000	1,602,176

			4,276,014

Industrial Conglomerates—0.1%

Alfa SA, 5.25% Sr. Unsec. Nts., 3/25/24¹		810,000	847,260

KOC Holding AS, 3.50% Sr. Unsec. Nts., 4/24/20¹		1,035,000	992,513

			1,839,773

Machinery—1.1%

Actuant Corp., 5.625% Sr. Unsec. Nts., 6/15/22		1,325,000	1,397,875

Amsted Industries, Inc., 5% Sr. Unsec. Nts., 3/15/22¹		2,190,000	2,198,212

Cleaver-Brooks, Inc., 8.75% Sr. Sec. Nts., 12/15/19¹		2,490,000	2,798,138

CNH Industrial Capital LLC, 6.25% Sr. Unsec. Nts., 11/1/16		670,000	730,300

KION Finance SA, 6.75% Sr. Sec. Nts., 2/15/20¹	EUR	1,650,000	2,478,501

Manitowoc Co., Inc. (The), 8.50% Sr. Unsec. Nts., 11/1/20		2,685,000	3,007,200

18 OPPENHEIMER GLOBAL STRATEGIC INCOME FUND/VA


	Principal Amount		Value

Machinery (Continued)

Meritor, Inc., 6.25% Sr. Unsec. Nts., 2/15/24	$	3,585,000	$ 3,773,213

Navistar International Corp., 8.25% Sr. Unsec. Nts., 11/1/21		2,070,000	2,168,325

Servus Luxembourg Holding SCA, 7.75% Sr. Sec. Nts., 6/15/18¹	EUR	1,821,319	2,693,945

Terex Corp., 6% Sr. Unsec. Nts., 5/15/21		2,640,000	2,857,800

Xerium Technologies, Inc., 8.875% Sr. Unsec. Nts., 6/15/18		1,580,000	1,681,713

			25,785,222

Marine—0.2%

Drill Rigs Holdings, Inc., 6.50% Sr. Sec. Nts., 10/1/17¹		2,780,000	2,856,450

Navios Maritime Holdings, Inc./Navios Maritime Finance II US, Inc., 7.375% Sr. Nts., 1/15/22¹		1,330,000	1,373,225

			4,229,675

Professional Services—0.1%

FTI Consulting, Inc., 6% Sr. Unsec. Nts., 11/15/22		2,740,000	2,832,475

Road & Rail—0.3%

Kazakhstan Temir Zholy Finance BV, 6.375% Sr. Unsec. Nts., 10/6/20¹		955,000	1,061,244

Kenan Advantage Group, Inc. (The), 8.375% Sr. Unsec. Nts., 12/15/18³		2,265,000	2,429,212

REFER-Rede Ferroviaria Nacional, 4% Sr. Unsec. Nts., 3/16/15	EUR	540,000	753,475

Western Express, Inc., 12.50% Sr. Sec. Nts., 4/15/15³		4,775,000	3,903,562

			8,147,493

Trading Companies & Distributors—0.4%

AerCap Ireland Capital Ltd./AerCap Global Aviation Trust, 4.50% Sr. Unsec. Nts., 5/15/21¹		1,645,000	1,675,844

Fly Leasing Ltd., 6.75% Sr. Unsec. Nts., 12/15/20		2,365,000	2,524,637

HD Supply, Inc., 7.50% Sr. Unsec. Nts., 7/15/20		3,620,000	3,972,950

Jurassic Holdings III, Inc., 6.875% Sec. Nts., 2/15/21¹		1,545,000	1,579,763

			9,753,194

Transportation Infrastructure—0.0%

Empresa de Transporte de Pasajeros Metro SA, 4.75% Unsec. Nts., 2/4/24¹		720,000	761,928

Information Technology—2.1%

Communications Equipment—0.4%

Alcatel-Lucent USA, Inc., 6.75% Sr. Unsec. Nts., 11/15/20¹		3,345,000	3,579,150

Avaya, Inc., 7% Sr. Sec. Nts., 4/1/19¹		2,875,000	2,889,375

ViaSat, Inc., 6.875% Sr. Unsec. Nts., 6/15/20		1,481,000	1,603,182

			8,071,707

Electronic Equipment, Instruments, & Components—0.1%

Anixter, Inc., 5.625% Sr. Unsec. Nts., 5/1/19		980,000	1,057,175

Belden, Inc., 5.50% Sr. Sub. Nts., 9/1/22¹		1,405,000	1,461,200

			2,518,375

Internet Software & Services—0.4%

Baidu, Inc., 2.75% Sr. Unsec. Nts., 6/9/19		515,000	517,521

Cerved Group SpA, 6.375% Sr. Sec. Nts., 1/15/20¹	EUR	1,705,000	2,537,015


	Principal Amount		Value

Internet Software & Services (Continued)

EarthLink Holdings Corp., 7.375% Sr. Sec. Nts., 6/1/20	$	3,160,000	$ 3,385,150

Equinix, Inc., 4.875% Sr. Unsec. Nts., 4/1/20		1,220,000	1,256,600

IAC/InterActiveCorp, 4.75% Sr. Unsec. Nts., 12/15/22		1,255,000	1,240,881

Tencent Holdings Ltd., 3.375% Sr. Unsec. Nts., 5/2/19¹		1,200,000	1,228,168

			10,165,335

IT Services—0.5%

Ceridian LLC/Comdata, Inc., 8.125% Sr. Unsec. Nts., 11/15/17³		585,000	592,312

First Data Corp.:
8.25% Sec. Nts., 1/15/21¹		3,300,000	3,630,000
10.625% Sr. Unsec. Nts., 6/15/21		1,280,000	1,497,600

Harland Clarke Holdings Corp., 6.875% Sr. Sec. Nts., 3/1/20¹		1,765,000	1,877,519

iPayment, Inc., 10.25% Sr. Unsec. Nts., 5/15/18		2,945,000	2,694,675

Sabre GLBL, Inc., 8.50% Sr. Sec. Nts., 5/15/19¹		1,281,000	1,426,714

			11,718,820

Semiconductors & Semiconductor Equipment—0.3%

Freescale Semiconductor, Inc.:
6.00% Sr. Sec. Nts., 1/15/22¹		3,355,000	3,581,463
8.05% Sr. Unsec. Nts., 2/1/20		562,000	608,365
10.75% Sr. Unsec. Nts., 8/1/20		1,708,000	1,934,310

Micron Technology, Inc., 5.875% Sr. Unsec. Nts., 2/15/22¹		1,385,000	1,488,875

			7,613,013

Software—0.3%

Blackboard, Inc., 7.75% Sr. Unsec. Nts., 11/15/19³		2,640,000	2,772,000

BMC Software Finance, Inc., 8.125% Sr. Unsec. Nts., 7/15/21¹		3,040,000	3,142,600

Interactive Data Corp., 5.875% Sr. Unsec. Nts., 4/15/19¹		1,890,000	1,934,887

			7,849,487

Technology Hardware, Storage & Peripherals—0.1%

Denali Borrower LLC/Denali Finance Corp., 5.625% Sr. Sec. Nts., 10/15/20¹		2,485,000	2,640,313

Materials—3.3%

Chemicals—0.6%

ADS Waste Holdings, Inc., 8.25% Sr. Unsec. Nts., 10/1/20		1,075,000	1,163,687

Braskem Finance Ltd., 5.375% Sr. Unsec. Nts., 5/2/22¹		2,175,000	2,213,063

Hexion US Finance Corp., 6.625% Sr. Sec. Nts., 4/15/20		1,185,000	1,262,025

Hexion US Finance Corp./Hexion Nova Scotia Finance ULC, 8.875% Sr. Sec. Nts., 2/1/18		680,000	708,900

INEOS Group Holdings SA, 6.125% Sr. Unsec. Nts., 8/15/18¹		1,465,000	1,521,769

Mexichem SAB de CV, 4.875% Sr. Unsec. Nts., 9/19/22¹		1,610,000	1,678,425

Momentive Performance Materials, Inc., 8.875% Sr. Sec. Nts., 10/15/20		1,160,000	1,244,100

PetroLogistics LP/PetroLogistics Finance Corp., 6.25% Sr. Unsec. Nts., 4/1/20		915,000	1,001,925

PQ Corp., 8.75% Sec. Nts., 5/1/18¹		1,140,000	1,241,175

Rentech Nitrogen Partners LP/Rentech Nitrogen Finance Corp., 6.50% Sec. Nts., 4/15/21¹		1,555,000	1,578,325

19 OPPENHEIMER GLOBAL STRATEGIC INCOME FUND/VA



CONSOLIDATED STATEMENT OF INVESTMENTS Unaudited / Continued


	Principal Amount		Value

Chemicals (Continued)

Trinseo Materials Operating SCA/Trinseo Materials Finance, Inc., 8.75% Sr. Sec. Nts., 2/1/19	$	1,445,000	$	1,560,600

				15,173,994


Construction Materials—0.3%

Building Materials Corp. of America, 6.75% Sr. Unsec. Nts., 5/1/21¹		1,975,000		2,133,000

Calcipar SA, 6.875% Sr. Sec. Nts., 5/1/18¹		90,000		95,400

Cemex Finance LLC:
6.00% Sr. Sec. Nts., 4/1/24¹		1,085,000		1,132,469
9.375% Sr. Sec. Nts., 10/12/22¹		670,000		791,437

HeidelbergCement Finance Luxembourg SA:
3.25% Sr. Unsec. Nts., 10/21/21	EUR	625,000		899,623
7.50% Sr. Unsec. Nts., 4/3/20	EUR	570,000		985,383
8.00% Sr. Unsec. Nts., 1/31/17	EUR	655,000		1,045,336

Lafarge SA, 5.375% Sr. Unsec. Nts., 6/26/17	EUR	495,000		754,772

				7,837,420


Containers & Packaging—0.8%

Ardagh Packaging Finance plc/Ardagh Holdings USA, Inc.:
6.00% Sr. Unsec. Nts., 6/30/21^1,6		475,000		476,781
6.75% Sr. Unsec. Nts., 1/31/21¹		1,150,000		1,190,250

Ardagh Packaging Finance plc/Ardagh MP Holdings USA, Inc., 7% Sr. Unsec. Nts., 11/15/20¹		541,765		563,435

Berry Plastics Corp., 5.50% Sec. Nts., 5/15/22		700,000		704,812

Cascades, Inc., 7.875% Sr. Unsec. Nts., 1/15/20		1,955,000		2,086,963

Consolidated Container Co. LLC/Consolidated Container Capital, Inc., 10.125% Sr. Unsec. Nts., 7/15/20¹		590,000		595,900

Crown Americas LLC/Crown Americas Capital Corp. IV, 4.50% Sr. Unsec. Nts., 1/15/23		890,000		871,310

Exopack Holdings SA, 7.875% Sr. Unsec. Nts., 11/1/19³		1,335,000		1,435,125

Polymer Group, Inc., 7.75% Sr. Sec. Nts., 2/1/19		1,540,000		1,643,950

Reynolds Group Issuer, Inc./Reynolds Group Issuer LLC/Reynolds Group Issuer Luxembourg SA:
5.75% Sr. Sec. Nts., 10/15/20		3,420,000		3,625,200
9.00% Sr. Unsec. Nts., 4/15/19		1,285,000		1,366,919

Sealed Air Corp., 6.50% Sr. Unsec. Nts., 12/1/20¹		1,555,000		1,757,150

Smurfit Kappa Acquisitions:
4.875% Sr. Sec. Nts., 9/15/18¹		1,280,000		1,353,600
7.75% Sr. Sec. Nts., 11/15/19¹	EUR	1,210,000		1,764,482

				19,435,877


Metals & Mining—1.4%

Aleris International, Inc.:
7.625% Sr. Unsec. Nts., 2/15/18		2,765,000		2,872,144
7.875% Sr. Unsec. Nts., 11/1/20		2,870,000		3,006,325

ALROSA Finance SA, 7.75% Sr. Unsec. Nts., 11/3/20¹		800,000		893,040

Constellium NV, 5.75% Sr. Unsec. Nts., 5/15/24¹		710,000		746,387

Ferrexpo Finance plc, 7.875% Sr. Unsec. Nts., 4/7/16¹		760,000		741,000

FMG Resources August 2006 Pty Ltd.:
6.875% Sr. Unsec. Nts., 2/1/18¹		1,555,000		1,636,638
6.875% Sr. Unsec. Nts., 4/1/22¹		1,685,000		1,813,481
8.25% Sr. Unsec. Nts., 11/1/19¹		1,180,000		1,289,150

Gerdau Trade, Inc., 5.75% Sr. Unsec. Nts., 1/30/21¹		1,285,000		1,378,162

Gestamp Funding Luxembourg SA:
5.875% Sr. Sec. Nts., 5/31/20¹	EUR	1,835,000		2,687,924


	Principal Amount		Value

Metals & Mining (Continued)

Gestamp Funding Luxembourg SA: (Continued)
5.875% Sr. Sec. Nts., 5/31/20	EUR	105,000	$	153,805

Glencore Finance Canada Ltd.:
2.05% Sr. Unsec. Nts., 10/23/15¹		1,383,000		1,399,117
4.95% Sr. Unsec. Nts., 11/15/21¹		560,000		604,820

GTL Trade Finance, Inc., 5.893% Sr. Unsec. Nts., 4/29/24¹		305,000		320,707

JMC Steel Group, Inc., 8.25% Sr. Nts., 3/15/18¹		1,575,000		1,614,375

Metalloinvest Finance Ltd., 5.625% Unsec. Nts., 4/17/20¹		675,000		658,125

Metinvest BV, 8.75% Sr. Unsec. Nts., 2/14/18¹		115,000		101,775

Mexico Generadora de Energia S de RL, 5.50% Sr. Sec. Nts., 12/6/32¹		1,490,000		1,527,250

MMC Norilsk Nickel OJSC via MMC Finance Ltd., 5.55% Sr. Unsec. Nts., 10/28/20¹		1,565,000		1,580,650

Novelis, Inc., 8.75% Sr. Unsec. Nts., 12/15/20		1,285,000		1,432,775

Polyus Gold International Ltd., 5.625% Sr. Unsec. Nts., 4/29/20¹		1,130,000		1,124,350

Samarco Mineracao SA, 5.75% Sr. Unsec. Nts., 10/24/23¹		1,475,000		1,551,995

Severstal OAO Via Steel Capital SA, 5.90% Sr. Unsec. Nts., 10/17/22¹		650,000		639,438

Thompson Creek Metals Co., Inc., 7.375% Sr. Unsec. Nts., 6/1/18		1,680,000		1,667,400

Walter Energy, Inc., 9.50% Sr. Sec. Nts., 10/15/19¹		1,565,000		1,594,344

Wise Metals Group LLC/Wise Alloys Finance Corp., 8.75% Sr. Sec. Nts., 12/15/18¹		905,000		986,450

				34,021,627


Paper & Forest Products—0.2%

Fibria Overseas Finance Ltd., 5.25% Sr. Unsec. Nts., 5/12/24		1,130,000		1,127,175

Sappi Papier Holding GmbH, 6.625% Sr. Sec. Nts., 4/15/21¹		1,730,000		1,833,800

Suzano Trading Ltd., 5.875% Sr. Unsec. Nts., 1/23/21¹		600,000		630,000

				3,590,975


Telecommunication Services—3.2%

Diversified Telecommunication Services—2.6%

Cequel Communications Holdings I LLC/Cequel Capital Corp., 6.375% Sr. Unsec. Nts., 9/15/20¹		6,770,000		7,226,975

Colombia Telecomunicaciones SA ESP, 5.375% Sr. Unsec. Nts., 9/27/22¹		950,000		952,375

FairPoint Communications, Inc., 8.75% Sr. Sec. Nts., 8/15/19¹		3,600,000		3,897,000

Frontier Communications Corp.:
7.125% Sr. Unsec. Nts., 1/15/23		2,190,000		2,332,350
7.625% Sr. Unsec. Nts., 4/15/24		2,850,000		3,081,562

Intelsat Luxembourg SA, 7.75% Sr. Unsec. Nts., 6/1/21		3,400,000		3,612,500

Koninklijke KPN NV, 8.375% Sr. Unsec. Nts., 10/1/30		3,005,000		4,264,149

Koninklijke KPN NV, 6.125% Sr. Sub. Perpetual Bonds^2,13	EUR	2,265,000		3,350,512

MetroPCS Wireless, Inc., 6.625% Sr. Unsec. Nts., 11/15/20		4,340,000		4,649,225

Oi SA:
5.75% Sr. Unsec. Nts., 2/10/22¹		3,135,000		3,160,080
9.75% Sr. Unsec. Nts., 9/15/16¹	BRL	2,550,000		1,087,746

Telecom Italia Capital SA, 7.721% Sr. Unsec. Unsub. Nts., 6/4/38		4,863,000		5,628,923

Telefonica Chile SA, 3.875% Sr. Unsec. Nts., 10/12/22¹		810,000		800,377

20 OPPENHEIMER GLOBAL STRATEGIC INCOME FUND/VA


	Principal Amount		Value

Diversified Telecommunication Services (Continued)

Telefonica Emisiones SAU, 7.045% Sr. Unsec. Unsub. Nts., 6/20/36	$	1,530,000	$	1,954,818

Telefonica Europe BV, 6.50% Sr. Sub. Perpetual Bonds^2,13	EUR	3,760,000		5,681,960

Telekom Austria AG, 5.625% Jr. Sub. Perpetual Bonds^2,13	EUR	1,435,000		2,117,117

T-Mobile USA, Inc., 6.25% Sr. Unsec. Nts., 4/1/21		1,610,000		1,716,662

Turk Telekomunikasyon AS:
3.75% Sr. Unsec. Nts., 6/19/19¹		575,000		570,127
4.875% Sr. Unsec. Nts., 6/19/24¹		1,155,000		1,123,353

Windstream Corp.:
6.375% Sr. Unsec. Nts., 8/1/23		1,155,000		1,175,213
7.75% Sr. Unsec. Nts., 10/15/20		1,645,000		1,790,994
7.75% Sr. Unsec. Nts., 10/1/21		2,180,000		2,392,550

				62,566,568


Wireless Telecommunication Services—0.6%

Digicel Group Ltd., 7.125% Sr. Unsec. Nts., 4/1/22¹		1,815,000		1,896,675

ENTEL Chile SA, 4.875% Sr. Unsec. Nts., 10/30/24¹		1,850,000		1,930,003

Millicom International Cellular SA, 6.625% Sr. Unsec. Nts., 10/15/21¹		1,255,000		1,355,400

Mobile Telesystems OJSC via MTS International Funding Ltd., 5% Sr. Unsec. Nts., 5/30/23¹		1,545,000		1,508,306

SBA Telecommunications, Inc., 5.75% Sr. Unsec. Nts., 7/15/20		785,000		837,006

Sistema JSFC via Sistema International Funding SA, 6.95% Sr. Unsec. Nts., 5/17/19¹		945,000		996,975

Sprint Corp., 7.25% Sr. Unsec. Nts., 9/15/21¹		1,610,000		1,781,063

VimpelCom Holdings BV, 9% Sr. Unsec. Nts., 2/13/18¹	RUB	19,800,000		565,071

Vimpel-Communications OJSC, 8.85% Sr. Unsec. Nts., 3/8/22²	RUB	12,300,000		361,741

Wind Acquisition Finance SA, 4% Sr. Sec. Nts., 7/15/20^1,6	EUR	1,405,000		1,921,462

				13,153,702


Utilities—3.0%

Electric Utilities—1.3%

EDP Finance BV:
5.25% Sr. Unsec. Nts., 1/14/21¹		1,380,000		1,466,250
6.00% Sr. Unsec. Nts., 2/2/18¹		2,300,000		2,535,727

Electricite de France SA:
5.25% Jr. Sub. Perpetual Bonds^1,2,13		1,950,000		1,994,128
5.625% Jr. Sub. Perpetual Bonds^1,2,13		990,000		1,035,094

Empresas Publicas de Medellin ESP:
7.625% Sr. Unsec. Nts., 7/29/19¹		970,000		1,164,475
8.375% Sr. Unsec. Nts., 2/1/21¹	COP	662,465,000		376,400

Enel SpA, 5% Sub. Nts., 1/15/75²	EUR	2,465,000		3,561,231

Eskom Holdings Ltd., 6.75% Sr. Unsec. Nts., 8/6/23¹		2,590,000		2,758,350

Iberdrola International BV, 5.75% Sub. Perpetual Bonds, 5.75%^2,13	EUR	2,935,000		4,408,314

Israel Electric Corp. Ltd.:
6.70% Sr. Sec. Nts., 2/10/17¹		765,000		838,865
7.25% Sr. Sec. Nts., 1/15/19¹		5,180,000		5,911,675
9.375% Sr. Sec. Nts., 1/28/20¹		365,000		457,382

National Power Corp., 5.875% Sr. Unsec. Nts., 12/19/16	PHP	109,600,000		2,666,055

Perusahaan Listrik Negara PT, 5.50% Sr. Unsec. Nts., 11/22/21¹		1,485,000		1,566,675

Saudi Electricity Global Sukuk Co. 3, 4% Sr. Unsec. Nts., 4/8/24¹		1,030,000		1,053,175

				31,793,796


	Principal Amount		Value

Gas Utilities—0.3%

AmeriGas Finance LLC/AmeriGas Finance Corp., 7% Sr. Unsec. Nts., 5/20/22	$	145,000	$	161,312

Empresa de Energia de Bogota SA, 6.125% Sr. Unsec. Nts., 11/10/21¹		1,620,000		1,774,548

Ferrellgas LP/Ferrellgas Finance Corp., 6.50% Sr. Unsec. Nts., 5/1/21		1,670,000		1,751,412

Gas Natural Capital Markets SA, 4.375% Sr. Unsec. Nts., 11/2/16	EUR	895,000		1,328,876

Gas Natural de Lima y Callao SA, 4.375% Sr. Unsec. Nts., 4/1/23¹		840,000		819,000

Perusahaan Gas Negara Persero Tbk PT, 5.125% Sr. Unsec. Nts., 5/16/24¹		1,545,000		1,535,344

Transportadora de Gas Internacional SA ESP, 5.70% Sr. Unsec. Nts., 3/20/22¹		575,000		622,576

				7,993,068


Independent Power and Renewable Electricity Producers—1.0%

AES Corp., 7.375% Sr. Unsec. Nts., 7/1/21		1,045,000		1,227,875

Atlantic Power Corp., 9% Sr. Unsec. Nts., 11/15/18		1,390,000		1,462,975

Calpine Corp.:
7.50% Sr. Sec. Nts., 2/15/21¹		912,000		990,660
7.875% Sr. Sec. Nts., 1/15/23¹		884,000		990,080

Colbun SA, 6% Sr. Unsec. Nts., 1/21/20¹		2,580,000		2,875,810

Comision Federal de Electricidad, 4.875% Sr. Unsec. Nts., 1/15/24¹		1,690,000		1,808,300

Dynegy, Inc., 5.875% Sr. Unsec. Nts., 6/1/23		420,000		425,250

Edison SpA, 3.875% Sr. Unsec. Nts., 11/10/17	EUR	955,000		1,435,459

GenOn Energy, Inc., 9.50% Sr. Unsec. Nts., 10/15/18		1,730,000		1,907,325

Infinis plc, 7% Sr. Sec. Nts., 2/15/19³	GBP	1,285,000		2,375,081

Miran Mid-Atlantic Trust, 10.06% Sec. Pass-Through Certificates, Series C, 12/30/28		1,573,485		1,779,022

NRG Energy, Inc.:
6.25% Sr. Unsec. Nts., 7/15/22¹		1,605,000		1,713,338
6.25% Sr. Unsec. Nts., 5/1/24¹		2,220,000		2,322,675
6.625% Sr. Unsec. Nts., 3/15/23		1,455,000		1,582,312

Power Sector Assets & Liabilities Management Corp., 7.39% Sr. Unsec. Nts., 12/2/24¹		520,000		670,800

				23,566,962


Multi-Utilities—0.4%

Abu Dhabi National Energy Co., 3.875% Sr. Unsec. Nts., 5/6/24¹		1,805,000		1,793,719

InterGen NV, 7% Sr. Sec. Nts., 6/30/23¹		1,685,000		1,748,188

National Grid North America, Inc., 1.75% Sr. Unsec. Nts., 2/20/18	EUR	990,000		1,395,349

NGG Finance plc, 4.25% Sub. Nts., 6/18/76²	EUR	2,630,000		3,843,363

				8,780,619

Total Corporate Bonds and Notes (Cost $985,737,593)				1,013,228,380

	Shares

Preferred Stock—0.2%

Ally Financial, Inc., 7% Cum., Series G, Non-Vtg.¹ (Cost $3,475,867)		3,632		3,659,354


Common Stocks—0.1%

American Media Operations, Inc.¹⁴		219,796		2,198

Arco Capital Corp. Ltd.^3,14		690,638		—

Astana Finance JSC, ADR¹⁴		60,552		606

21 OPPENHEIMER GLOBAL STRATEGIC INCOME FUND/VA



CONSOLIDATED STATEMENT OF INVESTMENTS Unaudited / Continued


	Shares		Value

Common Stocks (Continued)

Nortek, Inc.¹⁴		24,095	$	2,162,767

Premier Holdings Ltd.¹⁴		18,514		—

Revel Entertainment, Inc.¹⁴		16,153		—

Wallace Theater Holdings, Inc.^3,14		1,525		11,788

Total Common Stocks (Cost $9,558,022)				2,177,359

	Units

Rights, Warrants and Certificates—0.0%

MediaNews Group, Inc. Wts., Strike Price $48.72, 3/19/17¹⁴ (Cost $6,331,150)		22,685		—

	Principal Amount

Structured Securities—0.8%

Credit Suisse First Boston International, Moitk Total Return Linked Nts., 21%, 3/30/11⁸	RUB	53,910,000		—

Credit Suisse First Boston, Inc. (Nassau Branch), Russian Specialized Construction & Installation Administration Total Return Linked Nts., 13%, 5/24/10⁸	RUB	97,250,000		—

Deutsche Bank AG, Coriolanus Ltd. Sec. Credit Linked Bonds:
3.01%, 4/30/25^1,15		1,492,192		986,421
3.138%, 4/30/25^1,15		1,467,253		969,935
3.191%, 4/30/25^1,15		1,826,848		1,207,647
3.242%, 4/30/25^1,15		2,085,070		1,378,346
3.269%, 4/30/25^1,15		1,665,727		1,101,137
3.346%, 4/30/25^1,15		1,565,713		1,035,022
3.905%, 4/30/25^1,15		1,901,283		1,256,853
4.005%, 4/30/25^1,15		1,641,454		1,085,091
33.77%, 12/31/17^3,11	BRL	10,280,000		7,113,881

Deutsche Bank AG, Opic Reforma I Credit Linked Nts.:
Cl. 2A, 7.208%, 5/22/15^2,3	MXN	697,693		50,423
Cl. 2B, 7.208%, 5/22/15^2,3	MXN	1,220,632		88,216
Cl. 2C, 7.208%, 5/22/15^2,3	MXN	18,404,162		1,330,076
Cl. 2D, 7.208%, 5/22/15^2,3	MXN	1,341,270		96,934
Cl. 2E, 7.208%, 5/22/15^2,3	MXN	974,458		70,424
Cl. 2F, 7.208%, 5/22/15^2,3	MXN	622,337		44,977
Cl. 2G, 7.208%, 5/22/15^2,3	MXN	114,609		8,283

Goldman Sachs Capital Markets LP, Republic of Colombia Credit Linked Nts., Cl. B, 10%, 7/30/24¹	COP	1,604,000,000		1,065,774


	Principal Amount		Value

Structured Securities (Continued)

LB Peru Trust II Certificates, Series 1998-A, 3.796%, 2/28/16^8,15	$	2,994	$	—

Morgan Stanley, Russian Federation Total Return Linked Bonds, Series 007, Cl. VR, 5%, 8/22/34	RUB	42,719,328		630,249

Total Structured Securities (Cost $24,748,587)				19,519,689


Short-Term Notes—3.8%

Federal Republic of Nigeria Treasury Bills:
12.695%, 4/9/15	NGN	441,000,000		2,494,022
12.698%, 4/23/15	NGN	317,000,000		1,786,009
12.70%, 3/5/15	NGN	93,000,000		531,199

Hungary Treasury Bills, 3.021%, 11/26/14¹⁵	HUF	2,480,000,000		10,877,039

Korea Monetary Stabilization Bonds:
Series 1411, 2.73% Sr. Unsec. Nts., 11/9/14	KRW	2,704,000,000		2,673,873
Series 1412, 2.72% Sr. Unsec. Nts., 12/9/14	KRW	4,416,000,000		4,367,170

United Mexican States Treasury Bills:
2.933%, 8/21/14	MXN	46,900,000		3,599,987
3.235%, 12/11/14	MXN	368,000,000		27,979,176
3.503%, 10/16/14	MXN	373,000,000		28,501,645

United States Treasury Bills, 0.015%, 8/14/14¹⁵		7,700,000		7,699,837

Total Short-Term Notes (Cost $89,617,660)				90,509,957

	Shares

Investment Companies—12.4%

Oppenheimer Institutional Money Market Fund, Cl. E, 0.09%^16,17		63,849,901		63,849,901

Oppenheimer Master Event-Linked Bond Fund, LLC¹⁶		3,835,870		54,051,682

Oppenheimer Master Loan Fund, LLC¹⁶		8,486,824		123,541,887

Oppenheimer Ultra-Short Duration Fund, Cl. Y¹⁶		5,598,448		56,152,430

Total Investment Companies (Cost $297,035,897)				297,595,900

Counterparty

Exercise Price

Expiration Date

Contracts

Over-the-Counter Options Purchased—0.0%

CNH Currency Put¹⁴

JPM

CNH

6.153

1/12/16

CNH

55,650,000

271,516

CNH Currency Call¹⁴

JPM

CNH

6.147

10/16/14

CNH

8,100,000

373

INR Currency Call¹⁴

JPM

INR

58.750

7/3/14

INR

1,091,000,000

—

RUB Currency Call¹⁴

JPM

RUB

33.500

8/22/14

RUB

692,200,000

72,681

Total Over-the-Counter Options Purchased (Cost $408,840)

344,570

Counterparty

Buy /Sell
Protection

Reference Asset

Fixed Rate

Expiration
Date

Notional

Amount (000’s)

Over-the-Counter Credit Default Swaption Purchased—0.0%

Credit Default Swap maturing 6/20/19 Call¹⁴(Cost $63,875)

BOA

Buy

iTraxx Europe Series
21 Version 1

1.000%

9/17/14

EUR

30,200

27,309

22 OPPENHEIMER GLOBAL STRATEGIC INCOME FUND/VA

Counterparty

Pay / Receive
Floating Rate

Floating Rate

Fixed Rate

Expiration
Date

Notional

Amount (000’s)

Value

Over-the-Counter Interest Rate Swaptions Purchased—0.0%

Interest Rate Swap maturing 11/18/24 Call¹⁴

JPM

Receive

Six-Month EUR EURIBOR

2.798%

11/14/14

EUR

31,790

122,321

Interest Rate Swap maturing 5/30/33 Call¹⁴

BAC

Receive

Six-Month GBP BBA LIBOR

3.990

5/30/23

GBP

1,235

101,385

Interest Rate Swap maturing 7/21/19 Call¹⁴

BOA

Receive

Three-Month USD BBA LIBOR

2.200

7/17/14

USD

38,170

Interest Rate Swap maturing 7/28/44 Call¹⁴

JPM

Receive

Six-Month EUR EURIBOR

2.638

7/24/14

EUR

15,140

Interest Rate Swap maturing 8/4/46 Call¹⁴

BOA

Receive

Three-Month USD BBA LIBOR

4.860

8/2/16

USD

1,395

19,729

Interest Rate Swap maturing 9/8/19 Call¹⁴

JPM

Receive

Three-Month USD BBA LIBOR

2.105

9/4/14

USD

19,500

23,610

Interest Rate Swap maturing 9/8/19 Call¹⁴

BOA

Receive

Three-Month USD BBA LIBOR

2.093

9/4/14

USD

32,040

41,513

Interest Rate Swap maturing 9/8/24 Call¹⁴

JPM

Receive

Three-Month USD BBA LIBOR

3.035

9/4/14

USD

11,700

16,749

Interest Rate Swap maturing 9/8/24 Call¹⁴

BOA

Receive

Three-Month USD BBA LIBOR

3.023

9/4/14

USD

18,110

28,012

Total Over-the-Counter Interest Rate Swaptions Purchased (Cost $1,039,339)

353,427

Total Investments, at Value (Cost $2,468,349,276)

103 .9%

2,502,571,379

Net Other Assets (Liabilities)

(3.9)

(94,732,252)

Net Assets

100.0%

2,407,839,127

Footnotes to Consolidated Statement of Investments

1. Represents securities sold under Rule 144A, which are exempt from registration under the Securities Act of 1933, as amended. These securities have been determined to be liquid under guidelines established by the Board of Trustees. These securities amount to $754,264,615 or 31.33% of the Fund’s net assets as of June 30, 2014.

2. Represents the current interest rate for a variable or increasing rate security.

3. Restricted security. The aggregate value of restricted securities as of June 30, 2014 was $59,924,446, which represents 2.49% of the Fund’s net assets. See Note 7 of the accompanying Consolidated Notes. Information concerning restricted securities is as follows:


Security	Acquisition Dates		Cost		Value		Unrealized Appreciation/ (Depreciation)

Arco Capital Corp. Ltd.		6/28/13	$	—	$	—	$	—
ASG Consolidated LLC/ASG Finance, Inc., 15% Sr. Unsec. Nts., 5/15/17		8/19/10-5/16/14		2,870,085		2,824,074		(46,011	)
Blackboard, Inc., 7.75% Sr. Unsec. Nts., 11/15/19		10/24/13-5/1/14		2,678,584		2,772,000		93,416
Brand Energy & Infrastructure Services, Inc., 8.50% Sr. Unsec. Nts., 12/1/21		11/22/13-11/25/13		3,100,892		3,284,900		184,008
Burlington Holdings LLC/Burlington Holding Finance, Inc., 9% Sr. Unsec. Nts., 2/15/18		4/12/13-10/21/13		703,290		711,044		7,754
Cantor Commercial Real Estate Co. LP/CCRE Finance Corp., 7.75% Sr. Unsec. Nts., 2/15/18		2/7/13		1,863,767		2,039,800		176,033
Ceridian LLC/Comdata, Inc., 8.125% Sr. Unsec. Nts., 11/15/17		5/21/14		583,537		592,312		8,775
Credit Agricole SA, 8.375% Jr. Sub. Perpetual Bonds		7/17/13		1,994,704		2,200,494		205,790
Deutsche Bank AG, Coriolanus Ltd. Sec. Credit Linked Bonds, 33.77% Sr. Sec. Nts., 12/31/17		9/19/07		4,879,748		7,113,881		2,234,133
Deutsche Bank AG, Opic Reforma I Credit Linked Nts., Cl. 2A, 7.208%, 5/22/15		5/21/08		67,269		50,423		(16,846	)
Deutsche Bank AG, Opic Reforma I Credit Linked Nts., Cl. 2B, 7.208%, 5/22/15		6/12/08		117,680		88,216		(29,464	)
Deutsche Bank AG, Opic Reforma I Credit Linked Nts., Cl. 2C, 7.208%, 5/22/15		6/18/08		1,785,486		1,330,076		(455,410	)
Deutsche Bank AG, Opic Reforma I Credit Linked Nts., Cl. 2D, 7.208%, 5/22/15		7/8/08		130,028		96,934		(33,094	)
Deutsche Bank AG, Opic Reforma I Credit Linked Nts., Cl. 2E, 7.208%, 5/22/15		7/15/08		94,626		70,424		(24,202	)
Deutsche Bank AG, Opic Reforma I Credit Linked Nts., Cl. 2F, 7.208%, 5/22/15		8/8/08		61,263		44,977		(16,286	)
Deutsche Bank AG, Opic Reforma I Credit Linked Nts., Cl. 2G, 7.208%, 5/22/15		8/22/08		11,304		8,283		(3,021	)
Deutsche Mortgage Securities, Inc., Series 2013-RS1, Cl. 1A2, 0.373%, 7/22/36		9/23/13		3,804,863		4,222,068		417,205

23 OPPENHEIMER GLOBAL STRATEGIC INCOME FUND/VA

CONSOLIDATEDSTATEMENTOF INVESTMENTS Unaudited / Continued

Footnotes to Consolidated Statement of Investments (Continued)


Security	Acquisition Dates		Cost		Value		Unrealized Appreciation/ (Depreciation)

Exopack Holdings SA, 7.875% Sr. Unsec. Nts., 11/1/19		10/24/13	$	1,335,000	$	1,435,125	$	100,125
HOA Restaurant Group LLC/HOA Finance Corp., 11.25% Sec. Nts., 4/1/17		3/10/11-2/15/12		1,870,875		1,972,660		101,785
ICE EM CLO, Series 2007-1A, Cl. B, 2.029%, 8/15/22		11/6/07		7,210,089		6,886,250		(323,839)
ICE EM CLO, Series 2007-1A, Cl. C, 3.329%, 8/15/22		6/8/07		5,270,000		4,268,700		(1,001,300)
ICE EM CLO, Series 2007-1A, Cl. D, 5.329%, 8/15/22		6/8/07		5,270,000		4,532,200		(737,800)
Infinis plc, 7% Sr. Sec. Nts., 2/15/19		10/2/13-5/12/14		2,232,238		2,375,081		142,843
JPMorgan Hipotecaria su Casita, 6.47% Sec. Nts., 8/26/35		3/21/07		528,994		44,619		(484,375)
K Hovnanian Enterprises, Inc., 9.125% Sec. Nts., 11/15/20		9/19/12-12/6/13		1,912,467		2,004,800		92,333
Kenan Advantage Group, Inc. (The), 8.375% Sr. Unsec. Nts., 12/15/18		12/7/12-12/12/13		2,316,592		2,429,212		112,620
LBC Tank Terminals Holding Netherlands BV, 6.875% Sr. Unsec. Nts., 5/15/23		5/8/13-4/17/14		1,589,407		1,617,975		28,568
NC Finance Trust, Series 1999-I, Cl. D, 8.75%, 1/25/29		8/10/10		66,025		4,305		(61,720)
Premier Cruises Ltd., 11% Sr. Unsec. Nts., 3/15/08		3/6/98		242,675		—		(242,675)
Realogy Group LLC, 9% Sr. Sec. Nts., 1/15/20		1/25/12-2/1/12		862,550		988,263		125,713
Wallace Theater Holdings, Inc.		3/28/13		15		11,788		11,773
Western Express, Inc., 12.50% Sr. Sec. Nts., 4/15/15		4/9/10-5/4/11		4,758,886		3,903,562		(855,324)

			$	60,212,939	$	59,924,446	$	(288,493)

4. Interest-Only Strips represent the right to receive the monthly interest payments on an underlying pool of mortgage loans. These securities typically decline in price as interest rates decline. Most other fixed income securities increase in price when interest rates decline. The principal amount of the underlying pool represents the notional amount on which current interest is calculated. The price of these securities is typically more sensitive to changes in prepayment rates than traditional mortgage-backed securities (for example, GNMA pass-throughs). Interest rates disclosed represent current yields based upon the current cost basis and estimated timing and amount of future cash flows. These securities amount to $5,409,911 or 0.22% of the Fund’s net assets as of June 30, 2014.

5. Interest rate is less than 0.0005%.

6. All or a portion of the security position is when-issued or delayed delivery to be delivered and settled after June 30, 2014. See Note 1 of the accompanying Consolidated Notes.

7. The current amortization rate of the security’s cost basis exceeds the future interest payments currently estimated to be received. Both the amortization rate and interest payments are contingent on future mortgage pre-payment speeds and are therefore subject to change.

9. All or a portion of the security position is held in accounts at a futures clearing merchant and pledged to cover margin requirements on open futures contracts and written options on futures, if applicable. The aggregate market value of such securities is $1,997,344. See Note 6 of the accompanying Consolidated Notes.

10. All or a portion of the security position is held in segregated accounts and pledged to cover margin requirements under certain derivative contracts. The aggregate market value of such securities is $7,305,286. See Note 6 of the accompanying Consolidated Notes.

11. Denotes an inflation-index security: coupon or principal are indexed to a consumer price index.

12. Interest or dividend is paid-in-kind, when applicable.

13. This bond has no contractual maturity date, is not redeemable and contractually pays an indefinite stream of interest. Rate reported represents the current interest rate for this variable rate security.

14. Non-income producing security.

15. Zero coupon bond reflects effective yield on the date of purchase.

16. Is or was an affiliate, as defined in the Investment Company Act of 1940, at or during the period ended June 30, 2014, by virtue of the Fund owning at least 5% of the voting securities of the issuer or as a result of the Fund and the issuer having the same investment adviser. Transactions during the period in which the issuer was an affiliate are as follows:


	Shares December 31, 2013		Gross Additions		Gross Reductions		Shares June 30, 2014

Oppenheimer Institutional Money Market Fund, Cl. E		33,054,028		576,788,954		545,993,081		63,849,901
Oppenheimer Master Event-Linked Bond Fund, LLC		4,827,322		—		991,452		3,835,870
Oppenheimer Master Loan Fund, LLC		1,023,461		8,129,839		666,476		8,486,824
Oppenheimer Ultra-Short Duration Fund, Cl. Y		3,707,723		1,890,725		—		5,598,448

			Value		Income		Realized Gain

Oppenheimer Institutional Money Market Fund, Cl. E			$	63,849,901	$	23,362	$	—
Oppenheimer Master Event-Linked Bond Fund, LLC				54,051,682		1,769,541^a		326,180^a
Oppenheimer Master Loan Fund, LLC				123,541,887		2,977,358^b		103,633^b
Oppenheimer Ultra-Short Duration Fund, Cl. Y				56,152,430		74,197		—

Total			$	297,595,900	$	4,844,458	$	429,813

a. Represents the amount allocated to the Fund from Oppenheimer Master Event-Linked Bond fund, LLC.

b. Represents the amount allocated to the Fund from Oppenheimer Master Loan Fund, LLC.

17. Rate shown is the 7-day yield as of June 30, 2014.

24 OPPENHEIMER GLOBAL STRATEGIC INCOME FUND/VA


Distribution of investments representing geographic holdings, as a percentage of total investments at value, is as follows: Geographic Holdings	Value		Percent

United States	$	1,509,489,077		60.3%
Brazil		121,450,979		4.9
Mexico		104,567,256		4.2
United Kingdom		50,334,178		2.0
Russia		46,144,162		1.8
Turkey		42,625,223		1.7
Greece		37,973,414		1.5
Netherlands		35,136,862		1.4
France		32,457,034		1.3
Colombia		30,879,691		1.2
South Africa		30,024,796		1.2
Indonesia		28,691,917		1.1
India		27,369,875		1.1
Hungary		28,075,568		1.1
Canada		24,225,415		1.0
Peru		24,055,347		1.0
Italy		20,785,643		0.8
Germany		20,459,646		0.8
Spain		17,928,088		0.7
Israel		16,344,473		0.7
Luxembourg		15,782,779		0.6
Supranational		15,687,150		0.6
United Arab Emirates		15,644,680		0.6
Chile		14,658,188		0.6
Philippines		11,278,461		0.5
Romania		10,580,581		0.4
Ireland		10,185,640		0.4
China		9,307,097		0.4
Venezuela		8,360,909		0.3
Australia		8,465,602		0.3
Portugal		7,761,629		0.3
Switzerland		7,658,152		0.3
Thailand		7,332,563		0.3
South Korea		7,041,043		0.3
Lithuania		6,242,498		0.2
Nigeria		6,149,604		0.2
Norway		5,883,489		0.2
Croatia		5,793,226		0.2
Poland		4,683,148		0.2
Kazakhstan		5,028,177		0.2
Sri Lanka		4,954,800		0.2
Ivory Coast		4,524,919		0.2
Panama		4,519,168		0.2
Ukraine		4,261,530		0.2
Uruguay		4,163,730		0.2
Denmark		4,072,062		0.2
Slovenia		3,516,314		0.1
Serbia		3,170,731		0.1
Dominican Republic		2,880,068		0.1
Japan		2,727,218		0.1
Angola		2,581,722		0.1
Malaysia		2,297,277		0.1
Morocco		2,324,438		0.1
Austria		2,117,117		0.1
Ecuador		1,984,320		0.1
Jamaica		1,896,675		0.1
Latvia		1,837,331		0.1
Jersey, Channel Islands		1,809,040		0.1
Gabon		1,799,638		0.1
Tanzania		1,792,250		0.1
Argentina		1,789,215		0.1
Belgium		1,617,975		0.1
Kenya		1,597,090		0.1
Sweden		1,432,426		0.1
Barbados		1,281,281		0.1
Saudi Arabia		1,053,175		0.0
Trinidad		1,024,142		0.0
Puerto Rico		747,328		0.0
		255,139		0.0

Total	$	2,502,571,379		100.0%

25 OPPENHEIMER GLOBAL STRATEGIC INCOME FUND/VA



CONSOLIDATEDSTATEMENTOF INVESTMENTS Unaudited / Continued

Forward Currency Exchange Contracts as of June 30, 2014

Counterparty

Settlement Month(s)

Currency Purchased (000’s)

Currency Sold (000’s)

Unrealized
Appreciation

Unrealized
Depreciation

BAC

07/2014 - 10/2014

BRL

151,595

USD

67,343

896,419

–

BAC

08/2014

IDR

112,508,000

USD

9,655

–

223,333

BAC

07/2014

MXN

35,800

USD

2,762

–

3,532

BAC

08/2014

PLN

5,070

USD

1,665

–

1,988

BAC

07/2014

RUB

252,960

USD

6,905

499,854

–

BAC

09/2014

THB

298,000

USD

9,181

–

33,505

BAC

08/2014

TRY

3,910

USD

1,825

–

1,904

BAC

07/2014 - 01/2015

�� USD

48,705

BRL

113,130

–

1,550,007

BAC

08/2014

USD

2,456

IDR

29,410,000

–

7,541

BAC

07/2014 - 08/2014

USD

9,094

RUB

322,700

–

328,125

BAC

09/2014

USD

5,727

THB

187,000

–

12,499

BAC

08/2014

USD

8,643

TRY

18,600

1,711

33,809

BAC

08/2014

USD

3,733

ZAR

40,020

7,861

14,602

BAC

08/2014

ZAR

35,050

USD

3,288

–

12,727

BNP

07/2014

EUR

465

USD

633

3,999

–

BNP

07/2014

RON

4,400

USD

1,341

32,824

–

BNP

09/2014

USD

10,638

CAD

11,615

–

223,664

BNP

07/2014

USD

5,920

EUR

4,335

–

16,254

BOA

12/2014

GBP

8,080

USD

13,560

247,118

–

BOA

08/2014

IDR

34,389,000

USD

2,985

192

105,343

BOA

07/2014

INR

817,250

USD

13,567

21,267

–

BOA

08/2014

KRW

8,121,000

USD

7,891

116,172

–

BOA

07/2014

MXN

24,300

USD

1,882

–

9,242

BOA

08/2014 - 09/2014

MYR

68,040

USD

21,031

115,769

–

BOA

07/2014

PEN

1,760

USD

632

–

3,670

BOA

09/2014

THB

301,000

USD

9,187

52,196

–

BOA

07/2014 - 01/2015

USD

14,445

BRL

35,320

–

1,334,147

BOA

08/2014

USD

1,385

COP

2,653,000

–

25,566

BOA

07/2014

USD

49,267

GBP

29,375

–

1,000,567

BOA

07/2014 - 10/2014

USD

26,714

INR

1,638,500

–

255,260

BOA

08/2014

USD

553

PEN

1,590

–

12,548

BOA

09/2014

USD

6,584

THB

217,000

–

76,473

CITNA-B

07/2014

MXN

41,500

USD

3,212

7,862

22,069

CITNA-B

07/2014

PEN

6,970

USD

2,486

1,084

–

CITNA-B

07/2014

RON

675

USD

209

1,925

–

CITNA-B

08/2014

TRY

31,310

USD

14,342

260,181

–

CITNA-B

07/2014

USD

59,099

EUR

42,560

817,835

–

CITNA-B

08/2014

USD

2,157

HUF

483,000

26,630

–

CITNA-B

07/2014

USD

704

RON

2,285

–

9,608

CITNA-B

08/2014

ZAR

53,880

USD

5,129

–

93,658

DEU

07/2014

RON

2,650

USD

820

6,877

–

DEU

08/2014

TRY

9,200

USD

4,282

8,450

–

DEU

12/2014

USD

9,453

JPY

963,000

–

65,419

DEU

08/2014

USD

14,390

TRY

30,620

109,640

–

GSCO-OT

09/2014

AUD

130

USD

123

–

879

GSCO-OT

07/2014 - 01/2015

BRL

111,615

USD

48,608

1,565,686

–

GSCO-OT

09/2014

INR

90,200

USD

1,405

81,239

–

GSCO-OT

09/2014

USD

118

AUD

130

–

3,747

GSCO-OT

07/2014 - 01/2015

USD

82,205

BRL

196,885

3,493

4,215,345

GSCO-OT

09/2014

USD

1,258

INR

90,200

–

227,361

GSCO-OT

10/2014

USD

458

MXN

6,200

–

16,454

JPM

01/2016

CNH

55,600

USD

9,041

–

264,388

JPM

08/2014

COP

17,457,000

USD

8,997

286,391

–

JPM

12/2014

EUR

6,180

USD

8,419

48,860

–

JPM

07/2014

INR

426,000

USD

7,071

11,923

–

JPM

08/2014 - 09/2014

MYR

16,270

USD

5,017

37,965

–

JPM

08/2014

PEN

26,470

USD

9,453

6,917

43,857

JPM

08/2014

PLN

41,720

USD

13,591

97,188

2,803

JPM

10/2014

RON

5,440

USD

1,683

9,365

–

JPM

07/2014 - 08/2014

RUB

558,000

USD

15,859

432,980

13,690

JPM

10/2014

USD

3,972

BRL

10,060

–

462,135

JPM

12/2014

USD

31,657

EUR

23,235

–

178,234

JPM

07/2014 - 08/2014

USD

3,975

IDR

46,670,000

61,025

2,942

JPM

07/2014 - 09/2014

USD

17,580

INR

1,072,000

–

146,376

JPM

07/2014

USD

3,739

MXN

48,800

–

20,744

JPM

08/2014

USD

1,813

MYR

5,885

–

17,115

26 OPPENHEIMER GLOBAL STRATEGIC INCOME FUND/VA

Forward Currency Exchange Contracts (Continued)

Counterparty

Settlement Month(s)

Currency Purchased (000’s)

Currency Sold (000’s)

Unrealized
Appreciation

Unrealized
Depreciation

JPM

08/2014

USD

2,606

PHP

119,000

–

121,574

JPM

07/2014

USD

1,688

RON

5,440

–

10,085

JPM

07/2014 - 08/2014

USD

12,022

RUB

432,190

–

592,326

JPM

08/2014

USD

3,565

TRY

7,590

24,795

–

JPM

08/2014

USD

12,644

ZAR

135,060

21,817

–

MSCO

08/2014

COP

15,234,000

USD

7,949

151,509

–

MSCO

08/2014

INR

144,000

USD

2,363

18,044

–

MSCO

07/2014 - 10/2014

MXN

97,530

USD

7,474

24,077

–

MSCO

08/2014

TRY

17,000

USD

7,873

55,789

–

MSCO

07/2014

USD

5,755

BRL

13,300

–

264,377

MSCO

07/2014 - 12/2014

USD

83,098

EUR

61,235

–

782,559

MSCO

08/2014 - 11/2014

USD

15,302

HUF

3,477,000

23,404

27,285

MSCO

07/2014 - 12/2014

USD

67,876

MXN

899,900

–

914,441

NOM

07/2014

USD

3,052

MXN

39,300

24,319

–

RBS

09/2014

CAD

11,615

USD

10,525

336,829

–

RBS

08/2014

HUF

1,832,300

USD

8,161

–

78,475

RBS

08/2014

IDR

16,375,000

USD

1,345

25,971

–

RBS

08/2014

TRY

24,150

USD

11,309

–

45,925

RBS

07/2014

USD

1,444

EUR

1,055

–

469

RBS

07/2014

USD

1,359

NOK

8,070

43,701

–

RBS

08/2014

ZAR

25,140

USD

2,398

–

51,082

TDB

07/2014

IDR

28,169,000

USD

2,330

45,471

–

TDB

07/2014

MYR

5,240

USD

1,629

2,668

–

TDB

09/2014 - 12/2014

USD

64,044

EUR

46,345

593,222

31,530

TDB

07/2014 - 11/2014

USD

3,482

IDR

42,411,000

8,010

50,021

TDB

07/2014

USD

842

MXN

11,000

–

5,061

TDB

08/2014

ZAR

25,440

USD

2,411

–

33,762

Total Unrealized Appreciation and Depreciation

7,278,524

14,102,102

Futures Contracts as of June 30, 2014

Description

Exchange

Buy/Sell

Expiration Date

Number of Contracts

Value

Unrealized Appreciation
(Depreciation)

United States Treasury Long Bonds

CBT

Buy

9/19/14

253

34,708,438

236,578

United States Treasury Long Bonds

CBT

Sell

9/19/14

3,704,063

(6,623)

United States Treasury Nts., 2 yr.

CBT

Sell

9/30/14

16,030,345

(11,726)

United States Treasury Nts., 2 yr.

CBT

Buy

9/30/14

146

32,060,689

(1,095)

United States Treasury Nts., 10 yr.

CBT

Sell

9/19/14

204

25,535,063

(53,755)

United States Treasury Nts., 10 yr.

CBT

Buy

9/19/14

191

23,907,829

(19,436)

United States Treasury Ultra Bonds

CBT

Buy

9/19/14

197

29,537,687

373,208

517,151



Over-the-Counter Options Written at June 30, 2014
Description	Counterparty			Exercise Price		Expiration Date		Number of Contracts			Premiums Received		Value

BRL Currency Put		GSG	BRL		2 .316		8/8/14		BRL	(15,910,000)	$	93,083	$	(19,442)

EUR Currency Call		BAC	PLN		4 .275		8/1/14		EUR	(6,250,000)		65,428		(5,563)

EUR Currency Call		GSG	PLN		4 .280		8/1/14		EUR	(12,500,000)		123,056		(11,422)

EUR Currency Call		JPM	PLN		4 .275		8/4/14		EUR	(9,375,000)		89,940		(11,648)

IDR Currency Put		JPM	IDR		11,700.000		8/15/14		IDR	(40,229,000,000)		34,356		(80,458)

JPY Currency Call		GSG	JPY		84 .550		12/18/15		JPY	(446,000,000)		132,033		(20,962)

Portuguese Government Bond Put		JPM	EUR		110 .000		7/22/14		EUR	(7,270,000)		71,213		(5,356)

Portuguese Government Bond Put		JPM	EUR		115 .000		7/23/14		EUR	(7,280,000)		128,869		(22,924)

Total Over-the-Counter Options Written											$	737,978	$	(177,775)



Over-the-Counter Credit Default Swaps at June 30, 2014
Reference Asset	Counterparty		Buy/Sell Protection		Fixed Rate			Maturity Date		Notional Amount (000’s)			Premiums Received/(Paid)		Value

Banco Bilbao Vizcaya Argentaria Sociedad Anonima		UBS		Sell		3.000	%		12/20/17		EUR	125	$	(60)	$	13,371

Banco Bilbao Vizcaya Argentaria Sociedad Anonima		UBS		Sell		3.000			12/20/17		EUR	125		(60)		13,371

Banco Santander SA		UBS		Sell		3.000			9/20/17		EUR	250		(997)		25,736

Bolivarian Republic of Venezuela		FIB		Buy		5.000			6/20/19		USD	2,170		(404,122)		365,765

Republic of Ireland		GSG		Buy		1.000			3/20/18		EUR	585		(21,618)		(18,324)

Republic of Ireland		GSG		Buy		1.000			3/20/18		USD	660		(27,725)		(15,154)

Republic of Italy		GSG		Sell		1.000			3/20/23		USD	660		105,519		(19,837)

Total Over-the-Counter Credit Default Swaps													$	(349,063)	$	364,928

27 OPPENHEIMER GLOBAL STRATEGIC INCOME FUND/VA



CONSOLIDATEDSTATEMENTOF INVESTMENTS Unaudited / Continued

The table that follows shows the undiscounted maximum potential payment by the Fund related to selling credit protection in credit default swaps:

Type of Reference Asset on

which the Fund Sold Protection

Total Maximum Potential
Payments for Selling
Credit Protection
(Undiscounted)

Amount Recoverable*

Reference Asset Rating
Range**

Investment Grade Single Name Corporate Debt

500,000

EUR

—

EUR

BBB+

Investment Grade Sovereign Debt

660,000

—

BBB+

��

Total USD

660,000

—

Total EUR

500,000

EUR

—

EUR

*The Fund has no amounts recoverable from related purchased protection. In addition, the Fund has no recourse provisions under the credit derivatives and holds no collateral which can offset or reduce potential payments under a triggering event.

**The period end reference asset security ratings, as rated by any rating organization, are included in the equivalent Standard & Poor’s rating category. The reference asset rating represents the likelihood of a potential credit event on the reference asset which would result in a related payment by the Fund.

Over-the-Counter Currency Swap at June 30, 2014

Counterparty

Pay/Receive Floating
Rate

Floating Rate

Fixed
Rate

Maturity
Date

Notional Amount
Currency Received
(000’s)

Notional Amount
Currency Delivered
(000’s)

Value

BOA

Pay

Six-Month USD BBA
LIBOR

7.100%

1/21/19

INR

139,250

2,270

162,914

GSG

Pay

Six-Month USD BBA
LIBOR

7.210

1/13/19

INR

140,500

2,260

223,752

GSG

Pay

Six-Month USD BBA
LIBOR

7.100

1/15/19

INR

140,000

2,261

202,306

Total Over-the-Counter Currency Swap

588,972

Cleared Interest Rate Swaps at June 30, 2014

Counterparty

Pay/Receive
Floating Rate

Floating Rate

Fixed Rate

Maturity Date

Notional

Amount (000’s)

Value

BAC

Receive

Three-Month USD
BBA LIBOR

2.702%

6/18/24

USD

2,590

(22,206)

GSG

Receive

Three-Month USD
BBA LIBOR

2.695

6/19/24

USD

2,570

(20,174)

Total Cleared Interest Rate Swaps

(42,380)

Over-the-Counter Interest Rate Swaps at June 30, 2014

Counterparty

Pay/Receive
Floating Rate

Floating Rate

Fixed Rate

Maturity Date

Notional

Amount (000’s)

Value

BOA

Pay

Three-Month
MYR KLIBOR

4.510%

6/17/24

MYR

8,600

42,042

BOA

Pay

MXN TIIE
BANXICO

4.345

1/11/16

MXN

153,700

130,343

GSG

Pay

Three-Month PLN
WIBOR WIBO

3.145

5/5/16

PLN

128,600

264,415

GSG

Pay

Three-Month PLN
WIBOR WIBO

3.115

5/6/16

PLN

127,000

248,841

GSG

Pay

MXN TIIE
BANXICO

4.260

6/15/16

MXN

126,300

10,111

GSG

Pay

Three-Month
MYR KLIBOR

4.515

6/17/24

MYR

8,570

42,915

GSG

Pay

BZDI

12.703

1/4/16

BRL

49,410

222,325

GSG

Pay

Six-Month INR
MIBOR

8.490

4/29/19

INR

578,000

219,094

HSBC

Pay

MXN TIIE
BANXICO

4.760

1/13/16

MXN

247,500

181,943

JPM

Pay

MXN TIIE
BANXICO

4.280

6/15/16

MXN

125,400

11,889

JPM

Pay

BZDI

12.090

1/4/16

BRL

24,120

146,808

JPM

Pay

BZDI

11.880

1/4/16

BRL

56,280

271,311

Total Over-the-Counter Interest Rate Swaps

1,792,037

Over-the-Counter Credit Default Swaptions Written at June 30, 2014

Description

Counterparty

Buy/Sell
Protection

Reference Asset

Fixed Rate

Expiration
Date

Notional Amount
(000’s)

Premiums Received

Value

Credit Default Swap maturing 6/20/19 Call

BOA

Sell

iTraxx Europe Senior
Financials Series 21
Version 1

1.000%

9/17/14

EUR 30,200

82,419

(44,922)

Credit Default Swap maturing 6/20/19 Call

JPM

Sell

iTraxx Europe
Crossover Series 21
Version 1

5.000

9/17/14

EUR 22,734

194,384

(241,846)

28 OPPENHEIMER GLOBAL STRATEGIC INCOME FUND/VA

Over-the-Counter Credit Default Swaptions Written (Continued)

Description

Counterparty

Buy/Sell
Protection

Reference Asset

Fixed Rate

Expiration
Date

Notional Amount
(000’s)

Premiums Received

Value

Credit Default Swap maturing 6/20/19 Call

JPM

Sell

iTraxx Europe
Crossover Series 21
Version 1

5.000%

9/17/14

EUR 37,660

322,007

(400,631)

Credit Default Swap maturing 6/20/19 Call

JPM

Buy

iTraxx Europe
Crossover Series 21
Version 1

5.000

9/17/14

EUR 22,734

129,589

(127,379)

Credit Default Swap maturing 6/20/19 Call

JPM

Buy

iTraxx Europe
Crossover Series 21
Version 1

5.000

9/17/14

EUR 37,660

214,671

(211,010)

Total Over-the-Counter Credit Default Swaptions Written

943,070

(1,025,788)

Over-the-Counter Interest Rate Swaptions Written at June 30, 2014

Description

Counterparty

Pay/Receive
Floating Rate

Floating Rate

Fixed Rate

Expiration
Date

Notional Amount
(000’s)

Premiums Received

Value

Interest Rate Swap maturing 10/6/24 Call

BOA

Receive

Three-Month
USD BBA
LIBOR

2.690%

10/2/14

USD

29,950

164,725

(301,382)

Interest Rate Swap maturing 8/4/21 Call

BOA

Pay

Three-Month
USD BBA
LIBOR

4.860

8/2/16

USD

5,515

82,725

(28,140)

Interest Rate Swap maturing 7/28/44 Call

JPM

Receive

Six-Month
EUR
EURIBOR

2.238

7/24/14

EUR

15,140

125,536

(352,033)

Total Over-the-Counter Interest Rate Swaptions Written

372,986

(681,555)


Glossary:
Counterparty Abbreviations
BAC		Barclays Bank plc
BNP		BNP Paribas
BOA		Bank of America NA
CITNA-B		Citibank NA
DEU		Deutsche Bank AG
FIB		Credit Suisse International
GSCO-OT		Goldman Sachs Bank USA
GSG		Goldman Sachs Group, Inc. (The)
HSBC		HSBC Bank USA NA
JPM		JPMorgan Chase Bank NA
MSCO		Morgan Stanley Capital Services, Inc.
NOM		Nomura Global Financial Products, Inc.
RBS		Royal Bank of Scotland plc (The)
TDB		Toronto Dominion Bank
UBS		UBS AG

Currency abbreviations indicate amounts reporting in currencies
AUD		Australian Dollar
BRL		Brazilian Real
CAD		Canadian Dollar
CNH		Offshore Chinese Renminbi
COP		Colombian Peso
EUR		Euro
GBP		British Pound Sterling
HUF		Hungarian Forint
IDR		Indonesia Rupiah
INR		Indian Rupee
JPY		Japanese Yen
KRW		South Korean Won
MXN		Mexican Nuevo Peso
MYR		Malaysian Ringgit
NGN		Nigerian Naira
NOK		Norwegian Krone
PEN		Peruvian New Sol
PHP		Philippines Peso
PLN		Polish Zloty
RON		New Romanian Leu
RUB		Russian Ruble
THB		Thailand Baht
TRY		New Turkish Lira
ZAR		South African Rand

29 OPPENHEIMER GLOBAL STRATEGIC INCOME FUND/VA



CONSOLIDATEDSTATEMENTOF INVESTMENTS Unaudited / Continued


Definitions
BANXICO		Banco de Mexico
BBA LIBOR		British Bankers’ Association London - Interbank Offered Rate
BZDI		Brazil Interbank Deposit Rate
EURIBOR		Euro Interbank Offered Rate
iTraxx Europe Crossover Series 21 Version 1		Credit Default Swap Trading Index for a Specific Basket of Securities
iTraxx Europe Senior Financials Series 21 Version 1		Credit Default Swap Trading Index for a Specific Basket of Securities
iTraxx Europe Series 21 Version 1		Credit Default Swap Trading Index for a Specific Basket of Securities
KLIBOR		Kaula Lumpur Interbank Offered Rate
MIBOR		Mumbai Interbank Offered Rate
TIIE		Interbank Equilibrium Interest Rate
WIBOR WIBO		Poland Warsaw Interbank Offer Bid Rate

Exchange Abbreviations
CBT		Chicago Board of Trade

See accompanying Notes to Consolidated Financial Statements.

30 OPPENHEIMER GLOBAL STRATEGIC INCOME FUND/VA



CONSOLIDATED STATEMENT OF ASSETS AND LIABILITIES June 30, 2014 Unaudited


Assets
Investments, at value—see accompanying consolidated statement of investments:
Unaffiliated companies (cost $2,171,313,379)	$	2,204,975,479
Affiliated companies (cost $297,035,897)		297,595,900
		2,502,571,379
Cash		11,627,553
Cash used for collateral on Centrally Cleared Swaps		169,084
Unrealized appreciation on foreign currency exchange contracts		7,278,524
Swaps, at value (premiums paid $405,239)		2,799,252
Receivables and other assets:
Investments sold (including $13,516,826 sold on a when-issued or delayed delivery basis)		42,918,632
Interest, dividends and principal paydowns		24,453,322
Shares of beneficial interest sold		2,590,542
Variation margin receivable		194,871
Other		193,482
Total assets		2,594,796,641
Liabilities
Bank overdraft-foreign		17,934,607
Unrealized depreciation on foreign currency exchange contracts		14,102,102
Options written, at value (premiums received $737,978)		177,775
Swaps, at value (premiums received $56,176)		53,315
Centrally cleared swaps, at value		42,380
Swaptions written, at value (premiums received $1,316,056)		1,707,343
Payables and other liabilities:
Investments purchased (including $137,985,528 purchased on a when-issued or delayed delivery basis)		150,953,166
Shares of beneficial interest redeemed		1,186,402
Distribution and service plan fees		340,660
Shareholder communications		165,354
Trustees’ compensation		91,737
Variation margin payable		841
Other		201,832
Total liabilities		186,957,514
Net Assets	$	2,407,839,127


Composition of Net Assets
Par value of shares of beneficial interest	$	440,044
Additional paid-in capital		2,388,535,171
Accumulated net investment income		78,730,535
Accumulated net realized loss on investments and foreign currency transactions		(90,300,953)
Net unrealized appreciation on investments and translation of assets and liabilities denominated in foreign currencies		30,434,330
Net Assets	$	2,407,839,127


Net Asset Value Per Share
Non-Service Shares:
Net asset value, redemption price (excludes applicable contingent deferred sales charge) and offering price per share (based on net assets of $748,828,716 and 139,152,086 shares of beneficial interest outstanding)		$5.38
Service Shares:
Net asset value, redemption price (excludes applicable contingent deferred sales charge) and offering price per share (based on net assets of $1,659,010,411 and 300,892,246 shares of beneficial interest outstanding)		$5.51

See accompanying Notes to Consolidated Financial Statements.

31 OPPENHEIMER GLOBAL STRATEGIC INCOME FUND/VA



CONSOLIDATED STATEMENT OF OPERATIONS For the Six Months Ended June 30, 2014 Unaudited


Allocation of Income and Expenses from Master Funds¹
Net investment income allocated from Oppenheimer Master Event-Linked Bond Fund, LLC:
Interest	$	1,769,134
Dividends		407
Net expenses		(114,670)
Net investment income allocated from Oppenheimer Master Event-Linked Bond Fund, LLC		1,654,871
Net investment income allocated from Oppenheimer Master Loan Fund, LLC
Interest		2,918,398
Dividends		58,960
Net expenses		(185,603)
Net investment income allocated from Oppenheimer Master Loan Fund, LLC		2,791,755
Total allocation of net investment income from master funds		4,446,626
Investment Income
Interest (net of foreign withholding taxes of $182,279)		58,039,936
Fee income on when-issued securities		1,335,560
Dividends:
Unaffiliated companies		110,272
Affiliated companies		97,559
Total investment income		59,583,327
Expenses
Management fees		6,894,967
Distribution and service plan fees—Service shares		2,077,658
Transfer and shareholder servicing agent fees:
Non-Service shares		365,274
Service shares		831,221
Shareholder communications:
Non-Service shares		50,367
Service shares		116,601
Custodian fees and expenses		135,565
Trustees’ compensation		34,531
Other		148,492
Total expenses		10,654,676
Less waivers and reimbursements of expenses		(428,158)
Net expenses		10,226,518
Net Investment Income		53,803,435

32 OPPENHEIMER GLOBAL STRATEGIC INCOME FUND/VA



Realized and Unrealized Gain (Loss)
Net realized gain (loss) on:
Investments from unaffiliated companies (includes premiums on options and swaptions exercised)	$	8,739,433
Closing and expiration of option contracts written		955,008
Closing and expiration of futures contracts		6,308,973
Foreign currency transactions		(20,555,296)
Swap contracts		(3,037,919)
Swaption contracts		907,395

Net realized gain allocated from:
Oppenheimer Master Event-Linked Bond Fund, LLC		326,180
Oppenheimer Master Loan Fund, LLC		103,633

Net realized loss		(6,252,593)

Net change in unrealized appreciation/depreciation on:
Investments		55,418,312
Translation of assets and liabilities denominated in foreign currencies		(4,417,700)
Futures contracts		3,141,197
Option contracts written		51,985
Swap contracts		1,960,781
Swaption contracts written		1,257,869

Net change in unrealized appreciation/depreciation allocated from:
Oppenheimer Master Event-Linked Bond Fund, LLC		(805,933)
Oppenheimer Master Loan Fund, LLC		(591,087)

Net change in unrealized appreciation/depreciation		56,015,424

Net Increase in Net Assets Resulting from Operations	$	103,566,266

1.	The Fund invests in certain affiliated mutual funds that expect to be treated as partnerships for tax purposes. See Note 1 of the accompanying Consolidated Notes.

See accompanying Notes to Consolidated Financial Statements.

33 OPPENHEIMER GLOBAL STRATEGIC INCOME FUND/VA



CONSOLIDATEDSTATEMENTSOF CHANGES IN NET ASSETS


	Six Months Ended June 30, 2014 (Unaudited)		Year Ended December 31, 2013

Operations
Net investment income	$	53,803,435	$	125,129,462

Net realized gain (loss)		(6,252,593)		(60,454,641)

Net change in unrealized appreciation/depreciation		56,015,424		(73,550,244)

Net increase (decrease) in net assets resulting from operations		103,566,266		(8,875,423)

Dividends and/or Distributions to Shareholders
Dividends from net investment income:
Non-Service shares		(31,299,754)		(36,272,242)
Service shares		(63,703,195)		(83,922,335)

		(95,002,949)		(120,194,577)

Beneficial Interest Transactions
Net increase (decrease) in net assets resulting from beneficial interest transactions:
Non-Service shares		9,082,480		33,900,242
Service shares		(64,573,848)		(32,780,220)

		(55,491,368)		1,120,022

Net Assets
Total decrease		(46,928,051)		(127,949,978)

Beginning of period		2,454,767,178		2,582,717,156

End of period (including accumulated net investment income of $78,730,535 and $119,930,049, respectively)	$	2,407,839,127	$	2,454,767,178

See accompanying Notes to Consolidated Financial Statements.

34 OPPENHEIMER GLOBAL STRATEGIC INCOME FUND/VA



CONSOLIDATED FINANCIAL HIGHLIGHTS


Non-Service Shares	Six Months Ended June 30, 2014 (Unaudited)		Year Ended December 31, 2013		Year Ended December 31, 2012		Year Ended December 30, 2011¹		Year Ended December 31, 2010		Year Ended December 31, 2009

Per Share Operating Data
Net asset value, beginning of period	$	5.38	$	5.67	$	5.38	$	5.58	$	5.30	$	4.49

Income (loss) from investment operations:
Net investment income²		0.13		0.28		0.33		0.36		0.34		0.30
Net realized and unrealized gain (loss)		0.10		(0.29)		0.36		(0.31)		0.40		0.53

Total from investment operations		0.23		(0.01)		0.69		0.05		0.74		0.83

Dividends and/or distributions to shareholders:
Dividends from net investment income		(0.23)		(0.28)		(0.34)		(0.18)		(0.46)		(0.02)
Distributions from net realized gain		0.00		0.00		(0.06)		(0.07)		0.00		0.00³

Total dividends and distributions to shareholders		(0.23)		(0.28)		(0.40)		(0.25)		(0.46)		(0.02)

Net asset value, end of period	$	5.38	$	5.38	$	5.67	$	5.38	$	5.58	$	5.30



Total Return, at Net Asset Value⁴		4.39%		(0.13)%		13.53%		0.85%		14.97%		18.83%


Ratios/Supplemental Data
Net assets, end of period (in thousands)	$	748,829	$	738,741	$	741,996	$	648,084	$	771,755	$	757,772

Average net assets (in thousands)	$	740,488	$	734,707	$	690,351	$	694,868	$	737,071	$	681,926

Ratios to average net assets:^5,6
Net investment income		4.65%		5.12%		6.01%		6.50%		6.47%		6.20%
Total expenses⁷		0.74%		0.74%		0.77%		0.77%		0.75%		0.67%
Expenses after payments, waivers and/or reimbursements and reduction to custodian expenses		0.71%		0.72%		0.71%		0.71%		0.71%		0.64%

Portfolio turnover rate⁸		82%		107%		78%		49%		99%		110%

1. December 30, 2011 represents the last business day of the Fund’s reporting period.

2. Per share amounts calculated based on the average shares outstanding during the period.

3. Less than $0.005 per share.

5. Annualized for periods less than one full year.

6. Includes the Fund’s share of the allocated expenses and/or net investment income from the master funds.

7. Total expenses including indirect expenses from affiliated fund were as follows:


Six Months Ended June 30, 2014	0.75	%
Year Ended December 31, 2013	0.74	%
Year Ended December 31, 2012	0.77	%
Year Ended December 30, 2011	0.77	%
Year Ended December 31, 2010	0.75	%
Year Ended December 31, 2009	0.68	%

8. The portfolio turnover rate excludes purchase and sale transactions of To Be Announced (TBA) mortgage-related securities as follows:


	Purchase Transactions		Sale Transactions

Six Months Ended June 30, 2014		$669,081,642		$650,302,657
Year Ended December 31, 2013		$4,294,357,677		$4,679,296,373
Year Ended December 31, 2012		$3,862,820,437		$3,466,796,233
Year Ended December 30, 2011		$1,050,654,783		$1,039,506,614
Year Ended December 31, 2010		$1,034,550,699		$1,085,289,655
Year Ended December 31, 2009		$1,909,574,925		$1,836,038,328

See accompanying Notes to Consolidated Financial Statements.

35 OPPENHEIMER GLOBAL STRATEGIC INCOME FUND/VA



CONSOLIDATEDFINANCIAL HIGHLIGHTS Continued


Service Shares	Six Months Ended June 30, 2014 (Unaudited)		Year Ended December 31, 2013		Year Ended December 31, 2012		Year Ended December 30, 2011¹		Year Ended December 31, 2010		Year Ended December 31, 2009

Per Share Operating Data
Net asset value, beginning of period	$	5.50	$	5.79	$	5.49	$	5.68	$	5.38	$	4.56

Income (loss) from investment operations:
Net investment income²		0.12		0.27		0.33		0.35		0.33		0.29
Net realized and unrealized gain (loss)		0.11		(0.29)		0.36		(0.31)		0.42		0.54

Total from investment operations		0.23		(0.02)		0.69		0.04		0.75		0.83

Dividends and/or distributions to shareholders:
Dividends from net investment income		(0.22)		(0.27)		(0.33)		(0.16)		(0.45)		(0.01)
Distributions from net realized gain		0.00		0.00		(0.06)		(0.07)		0.00		0.00³

Total dividends and distributions to shareholders		(0.22)		(0.27)		(0.39)		(0.23)		(0.45)		(0.01)

Net asset value, end of period	$	5.51	$	5.50	$	5.79	$	5.49	$	5.68	$	5.38



Total Return, at Net Asset Value⁴		4.19%		(0.37)%		13.15%		0.65%		14.77%		18.41%


Ratios/Supplemental Data
Net assets, end of period (in thousands)	$	1,659,010	$	1,716,026	$	1,840,721	$	1,604,906	$	1,670,340	$	3,656,726

Average net assets (in thousands)	$	1,685,367	$	1,794,640	$	1,715,995	$	1,673,715	$	2,485,427	$	3,143,836

Ratios to average net assets:^5,6
Net investment income		4.40%		4.88%		5.76%		6.25%		6.15%		5.95%
Total expenses⁷		0.98%		0.99%		1.02%		1.02%		0.99%		0.92%
Expenses after payments, waivers and/or reimbursements and reduction to custodian expenses		0.95%		0.97%		0.96%		0.96%		0.95%		0.89%

Portfolio turnover rate⁸		82%		107%		78%		49%		99%		110%

1. December 30, 2011 represents the last business day of the Fund’s reporting period.

2. Per share amounts calculated based on the average shares outstanding during the period.

3. Less than $0.005 per share.

5. Annualized for periods less than one full year.

6. Includes the Fund’s share of the allocated expenses and/or net investment income from the master funds.

7. Total expenses including indirect expenses from affiliated fund were as follows:


Six Months Ended June 30, 2014	0.99	%
Year Ended December 31, 2013	0.99	%
Year Ended December 31, 2012	1.02	%
Year Ended December 30, 2011	1.02	%
Year Ended December 31, 2010	0.99	%
Year Ended December 31, 2009	0.93	%

8. The portfolio turnover rate excludes purchase and sale transactions of To Be Announced (TBA) mortgage-related securities as follows:


	Purchase Transactions		Sale Transactions

Six Months Ended June 30, 2014		$669,081,642		$650,302,657
Year Ended December 31, 2013		$4,294,357,677		$4,679,296,373
Year Ended December 31, 2012		$3,862,820,437		$3,466,796,233
Year Ended December 30, 2011		$1,050,654,783		$1,039,506,614
Year Ended December 31, 2010		$1,034,550,699		$1,085,289,655
Year Ended December 31, 2009		$1,909,574,925		$1,836,038,328

See accompanying Notes to Consolidated Financial Statements.

36 OPPENHEIMER GLOBAL STRATEGIC INCOME FUND/VA



NOTESTOCONSOLIDATED FINANCIAL STATEMENTS June 30, 2014 Unaudited

1. Significant Accounting Policies

Oppenheimer Global Strategic Income Fund/VA (the “Fund”) is a separate series of Oppenheimer Variable Account Funds, a diversified open-end management investment company registered under the Investment Company Act of 1940, as amended. The Fund’s main investment objective is to seek total return. The Fund’s investment adviser is OFI Global Asset Management, Inc. (“OFI Global” or the “Manager”), a wholly-owned subsidiary of OppenheimerFunds, Inc. (“OFI” or the “Sub-Adviser”). The Manager has entered into a sub-advisory agreement with OFI. Shares of the Fund are sold only to separate accounts of life insurance companies.

The following is a summary of significant accounting policies consistently followed by the Fund.

Basis for Consolidation. The Fund has established a Cayman Islands exempted company, Oppenheimer Global Strategic Income Fund (Cayman) Ltd., which is wholly-owned and controlled by the Fund (the “Subsidiary”). The Fund and Subsidiary are both managed by the Manager. The Fund may invest up to 25% of its total assets in the Subsidiary. The Subsidiary invests primarily in commodity-linked derivatives (including commodity futures, financial futures, options and swap contracts) and exchange traded funds related to gold or other special minerals (“Gold ETFs”). The Subsidiary may also invest in certain fixed-income securities and other investments that may serve as margin or collateral for its derivatives positions. Investments in the Subsidiary are expected to provide the Fund with exposure to commodities markets within the limitations of the federal tax requirements that apply to the Fund. The Subsidiary is subject to the same investment restrictions and guidelines, and follows the same compliance policies and procedures, as the Fund.

The financial statements have been consolidated and include accounts of the Fund and the Subsidiary. Accordingly, all inter-company transactions and balances have been eliminated. At June 30, 2014, the Fund owned 15,000 shares with a market value of $1,365,859.

Structured Securities. The Fund invests in structured securities whose market values, interest rates and/or redemption prices are linked to the performance of underlying foreign currencies, interest rate spreads, stock market indices, prices of individual securities, commodities or other financial instruments or the occurrence of other specific events. The structured securities are often leveraged, increasing the volatility of each note’s market value relative to the change in the underlying linked financial element or event. Fluctuations in value of these securities are recorded as unrealized gains and losses in the accompanying Consolidated Statement of Operations. The Fund records a realized gain or loss when a structured security is sold or matures.

As of June 30, 2014, the Fund had purchased securities issued on a when-issued or delayed delivery basis and sold securities issued on a delayed delivery basis as follows:


	When-Issued or Delayed Delivery Basis Transactions

Purchased securities		$137,985,528
Sold securities		13,516,826

37 OPPENHEIMER GLOBAL STRATEGIC INCOME FUND/VA

CONSOLIDATED NOTES TO FINANCIAL STATEMENTS Unaudited / Continued

1. Significant Accounting Policies (Continued)


Cost	$	15,777,324
Market Value	$	902,599
Market value as % of Net Assets		0.04%

Sovereign Debt Risk. The Fund invests in sovereign debt securities, which are subject to certain special risks. These risks include, but are not limited to, the risk that a governmental entity may delay or refuse, or otherwise be unable, to pay interest or repay the principal on its sovereign debt. There may also be no legal process for collecting sovereign debt that a government does not pay or bankruptcy proceedings through which all or part of such sovereign debt may be collected. In addition, a restructuring or default of sovereign debt may also cause additional impacts to the financial markets, such as downgrades to credit ratings, reduced liquidity and increased volatility, among others.

Investment in Oppenheimer Institutional Money Market Fund. The Fund is permitted to invest daily available cash balances in an affiliated money market fund. The Fund may invest the available cash in Class E shares of Oppenheimer Institutional Money Market Fund (“IMMF”) to seek current income while preserving liquidity. IMMF is a registered open-end management investment company, regulated as a money market fund under the Investment Company Act of 1940, as amended. The Manager is the investment adviser of IMMF, and the Sub-Adviser provides investment and related advisory services to IMMF. When applicable, the Fund’s investment in IMMF is included in the Consolidated Statement of Investments. Shares of IMMF are valued at their net asset value per share. As a shareholder, the Fund is subject to its proportional share of IMMF’s Class E expenses, including its management fee. The Manager will waive fees and/or reimburse Fund expenses in an amount equal to the indirect management fees incurred through the Fund’s investment in IMMF.

Investment in Oppenheimer Master Funds. The Fund is permitted to invest in entities sponsored and/or advised by the Manager or an affiliate. Certain of these entities in which the Fund invests are mutual funds registered under the Investment Company Act of 1940 that expect to be treated as partnerships for tax purposes, specifically Oppenheimer Master Loan Fund, LLC and Oppenheimer Master Event-Linked Bond Fund, LLC (the “Master Funds”). Each Master Fund has its own investment risks, and those risks can affect the value of the Fund’s investments and therefore the value of the Fund’s shares. To the extent that the Fund invests more of its assets in one Master Fund than in another, the Fund will have greater exposure to the risks of that Master Fund.

The investment objective of Oppenheimer Master Loan Fund, LLC is to seek income. The investment objective of Oppenheimer Master Event-Linked Bond Fund, LLC is to seek total return. The Fund’s investments in the Master Funds are included in the Consolidated Statement of Investments. The Fund recognizes income and gain/(loss) on its investments in each Master Fund according to its allocated pro-rata share, based on its relative proportion of total outstanding Master Fund shares held, of the total net income earned and the net gain/(loss) realized on investments sold by the Master Funds. As a shareholder, the Fund is subject to its proportional share of the Master Funds’ expenses, including their management fee. The Manager will waive fees and/or reimburse Fund expenses in an amount equal to the indirect management fees incurred through the Fund’s investment in the Master Funds.

38 OPPENHEIMER GLOBAL STRATEGIC INCOME FUND/VA

1. Significant Accounting Policies (Continued)

Subchapter M requires, among other things, that at least 90% of the Fund’s gross income be derived from securities or derived with respect to its business of investing in securities (typically referred to as “qualifying income”). Income from commodity-linked derivatives may not be treated as “qualifying income” for purposes of the 90% gross income requirement. The Internal Revenue Service (IRS) has previously issued a number of private letter rulings which conclude that income derived from commodity index-linked notes and investments in a wholly-owned subsidiary will be “qualifying income.” As a result, the Fund will gain exposure to commodities through commodity-linked notes and its wholly-owned subsidiary.

The IRS has suspended the granting of private letter rulings pending further review. As a result, there can be no assurance that the IRS will not change its position with respect to commodity-linked notes and wholly-owned subsidiaries. In addition, future legislation and guidance from Treasury and the IRS may adversely affect the fund’s ability to gain exposure to commodities through commodity-linked notes and its wholly-owned subsidiary.

During the fiscal year ended December 31, 2013, the Fund utilized $3,174,670 of capital loss carryforward to offset capital gains realized in that fiscal year. The Fund had straddle losses of $235,525. Details of the fiscal year ended December 31, 2013 capital loss carryforwards are included in the table below. Capital loss carryforwards with no expiration, if any, must be utilized prior to those with expiration dates. Capital losses with no expiration will be carried forward to future years if not offset by gains.


Expiring

2015	$	5,751,368
2016		3,339,490
No expiration		64,685,012

Total	$	73,775,870

As of June 30, 2014, it is estimated that the capital loss carryforwards would be $9,090,858 expiring by 2016 and $70,937,605 which will not expire. The estimated capital loss carryforward represents the carryforward as of the end of the last fiscal year, increased or decreased by capital losses or gains realized in the first six months of the current fiscal year. During the six months ended June 30, 2014, it is estimated that the Fund will not utilize any capital loss carryforward to offset realized capital gains.


Federal tax cost of securities	$	2,469,501,647
Federal tax cost of other investments		145,322,709

Total federal tax cost	$	2,614,824,356

Gross unrealized appreciation	$	85,685,349
Gross unrealized depreciation		(49,570,380)

Net unrealized appreciation	$	36,114,969

Trustees’ Compensation. The Board of Trustees has adopted a compensation deferral plan for independent trustees that enables trustees to elect to defer receipt of all or a portion of the annual compensation they are entitled to receive from the Fund. For purposes of determining the amount owed to the Trustee under the plan, deferred amounts are treated as though equal dollar amounts had been invested in shares of the Fund or in other Oppenheimer funds selected by the Trustee. The Fund purchases shares of the funds selected for deferral by the Trustee in amounts equal to his or her deemed investment, resulting in a Fund asset equal to the deferred compensation liability. Such assets are included as a component of “Other” within the asset section of the Consolidated Statement of Assets and Liabilities. Deferral of trustees’ fees under the plan will not affect the net assets of the Fund, and will not materially affect the Fund’s assets, liabilities or net investment income per share. Amounts will be deferred until distributed in accordance with the compensation deferral plan.

Investment Income. Dividend income is recorded on the ex-dividend date or upon ex-dividend notification in the case of certain foreign dividends where the ex-dividend date may have passed. Non-cash dividends included in dividend income, if any, are recorded at the fair market value of the securities received. Interest income is recognized on an accrual basis. Discount and premium, which are included in interest income on the Consolidated Statement of Operations, are amortized or accreted daily.

39 OPPENHEIMER GLOBAL STRATEGIC INCOME FUND/VA

CONSOLIDATED NOTES TO FINANCIAL STATEMENTS Unaudited / Continued

1. Significant Accounting Policies (Continued)

Custodian Fees. “Custodian fees and expenses” in the Consolidated Statement of Operations may include interest expense incurred by the Fund on any cash overdrafts of its custodian account during the period. Such cash overdrafts may result from the effects of failed trades in portfolio securities and from cash outflows resulting from unanticipated shareholder redemption activity. The Fund pays interest to its custodian on such cash overdrafts, to the extent they are not offset by positive cash balances maintained by the Fund, at a rate equal to the Federal Funds Rate plus 0.50%. The “Reduction to custodian expenses” line item, if applicable, represents earnings on cash balances maintained by the Fund during the period. Such interest expense and other custodian fees may be paid with these earnings.

Security Transactions. Security transactions are recorded on the trade date. Realized gains and losses on securities sold are determined on the basis of identified cost.

2. Securities Valuation

Valuation Methods and Inputs

Securities are valued using unadjusted quoted market prices, when available, as supplied primarily by third party pricing services or dealers.

The following methodologies are used to determine the market value or the fair value of the types of securities described below:

Shares of a registered investment company that are not traded on an exchange are valued at that investment company’s net asset value per share.

Structured securities, swaps, swaptions, and other over-the-counter derivatives are valued utilizing evaluated prices obtained from third party pricing services or broker-dealers.

40 OPPENHEIMER GLOBAL STRATEGIC INCOME FUND/VA

2. Securities Valuation (Continued)

Forward foreign currency exchange contracts are valued utilizing current and forward currency rates obtained from third party pricing services. When the settlement date of a contract is an interim date for which a quotation is not available, interpolated values are derived using the nearest dated forward currency rate.

A description of the standard inputs that may generally be considered by the third party pricing vendors in determining their evaluated prices is provided below.


Security Type		Standard inputs generally considered by third-party pricing vendors
Corporate debt, government debt, municipal, mortgage-backed and asset-backed securities		Reported trade data, broker-dealer price quotations, benchmark yields, issuer spreads on comparable securities, the credit quality, yield, maturity, and other appropriate factors.
Loans		Information obtained from market participants regarding reported trade data and broker-dealer price quotations.
Event-linked bonds		Information obtained from market participants regarding reported trade data and broker-dealer price quotations.
Structured securities		Relevant market information such as the price of underlying financial instruments, stock market indices, foreign currencies, interest rate spreads, commodities, or the occurrence of other specific events.
Swaps		Relevant market information, including underlying reference assets such as credit spreads, credit event probabilities, index values, individual security values, forward interest rates, variable interest rates, volatility measures, and forward currency rates.

Classifications

1) Level 1-unadjusted quoted prices in active markets for identical assets or liabilities (including securities actively traded on a securities exchange)

3) Level 3-significant unobservable inputs (including the Manager’s own judgments about assumptions that market participants would use in pricing the asset or liability).

The inputs used for valuing securities are not necessarily an indication of the risks associated with investing in those securities.

The table below categorizes amounts that are included in the Fund’s Consolidated Statement of Assets and Liabilities as of June 30, 2014 based on valuation input level:

41 OPPENHEIMER GLOBAL STRATEGIC INCOME FUND/VA

CONSOLIDATED NOTES TO FINANCIAL STATEMENTS Unaudited / Continued

2. Securities Valuation (Continued)


	Level 1— Unadjusted Quoted Prices		Level 2— Other Significant Observable Inputs		Level 3— Significant Unobservable Inputs		Value

Assets Table
Investments, at Value:
Asset-Backed Securities	$	—	$	57,066,339	$	1,809,040	$	58,875,379
Mortgage-Backed Obligations		—		392,759,335		4,305		392,763,640
U.S. Government Obligations		—		133,596,039		—		133,596,039
Foreign Government Obligations		—		400,240,351		—		400,240,351
Corporate Loans		—		89,680,025		—		89,680,025
Corporate Bonds and Notes		—		1,010,562,325		2,666,055		1,013,228,380
Preferred Stock		—		3,659,354		—		3,659,354
Common Stocks		2,162,767		606		13,986		2,177,359
Rights, Warrants and Certificates		—		—		—		—
Structured Securities		—		10,086,226		9,433,463		19,519,689
Short-Term Notes		—		90,509,957		—		90,509,957
Investment Companies		120,002,330		177,593,570		—		297,595,900
Over-the-Counter Options Purchased		—		344,570		—		344,570
Over-the-Counter Credit Default Swaption Purchased		—		27,309		—		27,309
Over-the-Counter Interest Rate Swaptions Purchased		—		353,427		—		353,427

Total Investments, at Value		122,165,097		2,366,479,433		13,926,849		2,502,571,379
Other Financial Instruments:
Swaps, at value		—		2,799,252		—		2,799,252
Futures contracts		609,786		—		—		609,786
Foreign currency exchange contracts		—		7,278,524		—		7,278,524

Total Assets	$	122,774,883	$	2,376,557,209	$	13,926,849	$	2,513,258,941


Liabilities Table
Other Financial Instruments:
Swaps, at value	$	—	$	(53,315)	$	—	$	(53,315)
Centrally cleared swaps, at value		—		(42,380)		—		(42,380)
Options written, at value		—		(177,775)		—		(177,775)
Futures contracts		(92,635)		—		—		(92,635)
Foreign currency exchange contracts		—		(14,102,102)		—		(14,102,102)
Swaptions written, at value		—		(1,707,343)		—		(1,707,343)

Total Liabilities	$	(92,635)	$	(16,082,915)	$	—	$	(16,175,550)

The table below shows the transfers between Level 2 and Level 3. The Fund’s policy is to recognize transfers in and transfers out as of the beginning of the reporting period.


	Transfers into Level 2*		Transfers out of Level 2**		Transfers into Level 3**		Transfers out of Level 3*

Assets Table
Investments, at Value:
Asset-Backed Securities	$	16,206,250	$	(1,804,570)	$	1,804,570	$	(16,206,250)
Corporate Bonds and Notes		441,000		–		–		(441,000)
Common Stocks		–		(1,428,674)		1,428,674		–
Structured Securities		2,998		–		–		(2,998)

Total Assets	$	16,650,248	$	(3,233,244)	$	3,233,244	$	(16,650,248)

* Transferred from Level 3 to Level 2 due to the availability of market data for this security.

** Transferred from Level 2 to Level 3 because of the lack of observable market data.

3. Shares of Beneficial Interest

The Fund has authorized an unlimited number of $0.001 par value shares of beneficial interest of each class. Transactions in shares of beneficial interest were as follows:

42 OPPENHEIMER GLOBAL STRATEGIC INCOME FUND/VA

3. Shares of Beneficial Interest


	Six Months Ended June 30, 2014				Year Ended December 31, 2013
	Shares		Amount		Shares		Amount

Non-Service Shares
Sold		5,373,098	$	29,343,045		20,825,193	$	114,175,644
Dividends and/or distributions reinvested		5,850,421		31,299,754		6,754,607		36,272,242
Redeemed		(9,437,421)		(51,560,319)		(21,107,392)		(116,547,644)

Net increase		1,786,098	$	9,082,480		6,472,408	$	33,900,242




Service Shares
Sold		5,725,365	$	31,870,488		32,262,956	$	181,229,821
Dividends and/or distributions reinvested		11,624,670		63,703,195		15,286,400		83,922,335
Redeemed		(28,666,941)		(160,147,531)		(53,354,375)		(297,932,376)

Net decrease		(11,316,906)	$	(64,573,848)		(5,805,019)	$	(32,780,220)

4. Purchases and Sales of Securities

The aggregate cost of purchases and proceeds from sales of securities, other than short-term obligations and investments in IMMF, for the six months ended June 30, 2014 were as follows:


	Purchases		Sales

Investment securities	$	1,625,046,468	$	1,532,101,694
U.S. government and government agency obligations		232,071,458		237,464,932
To Be Announced (TBA) mortgage-relates securities		669,081,642		650,302,657

5. Fees and Other Transactions with Affiliates

Management Fees. Under the investment advisory agreement, the Fund pays the Manager a management fee based on the daily net assets of the Fund at an annual rate as shown in the following table:


Fee Schedule

Up to $200 million	0.75	%
Next $200 million	0.72
Next $200 million	0.69
Next $200 million	0.66
Next $200 million	0.60
Over $4 billion	0.50
Over $5 billion	0.48

The Manager also provides investment management related services to the Subsidiary. The Subsidiary pays the Manager a monthly management fee at an annual rate according to the above schedule. The Subsidiary also pays certain other expenses including custody and directors’ fees.

Transfer Agent Fees. OFI Global (the “Transfer Agent”) serves as the transfer and shareholder servicing agent for the Fund. The Fund pays the Transfer Agent a fee based on annual net assets. Fees incurred and average net assets for each class with respect to these services are detailed in the Consolidated Statement of Operations and Financial Highlights, respectively.

Sub-Transfer Agent Fees. The Transfer Agent has retained Shareholder Services, Inc., a wholly-owned subsidiary of OFI (the “Sub-Transfer Agent”), to provide the day-to-day transfer agent and shareholder servicing of the Fund and the Subsidiary. Under the Sub-Transfer Agency Agreement, the Transfer Agent pays the Sub-Transfer Agent an annual fee in monthly installments, equal to a percentage of the transfer agent fee collected by the Transfer Agent from the Fund, which shall be calculated after any applicable fee waivers. The fee paid to the Sub-Transfer Agent is paid by the Transfer Agent, not by the Fund.

43 OPPENHEIMER GLOBAL STRATEGIC INCOME FUND/VA

CONSOLIDATED NOTES TO FINANCIAL STATEMENTS Unaudited / Continued

5. Fees and Other Transactions with Affiliates (Continued)

shares. These fees are paid out of the Fund’s assets on an on-going basis and increase operating expenses of the Service shares, which results in lower performance compared to the Fund’s shares that are not subject to a service fee. Fees incurred by the Fund under the Plan are detailed in the Consolidated Statement of Operations.

Waivers and Reimbursements of Expenses. The Manager has voluntarily agreed to limit the Fund’s expenses after payments, waivers and/or reimbursements and reduction to custodian expenses, excluding expenses incurred directly or indirectly by the Fund as a result of investments in other investment companies, wholly-owned subsidiaries and pooled investment vehicles; so that those expenses, as percentages of daily net assets, will not exceed the annual rate of 0.75% for Non-Service shares and 1.00% for Service shares. During the six months ended June 30, 2014, the Manager waived fees and/or reimbursed the Fund $12,241 and $28,028 for Non-Service and Service shares, respectively.

The Manager has contractually agreed to waive the management fee it receives from the Fund in an amount equal to the management fee it receives from the Subsidiary. This undertaking will continue in effect for so long as the Fund invests in the Subsidiary and may not be terminated unless approved by the Fund’s Board of Trustees. During the six months ended June 30, 2014, the Manager waived $5,098.

The Manager will waive fees and/or reimburse Fund expenses in an amount equal to the indirect management fees incurred through the Fund’s investment in IMMF, Oppenheimer Ultra-Short Duration Fund and the Master Funds. During the six months ended June 30, 2014, the Manager waived fees and/or reimbursed the Fund $382,791 for management fees.

Some of these undertakings may be modified or terminated at any time; some may not be modified or terminated until after one year from the date of the current prospectus, as indicated therein.

6. Risk Exposures and the Use of Derivative Instruments

Market Risk Factors. In accordance with its investment objectives, the Fund may use derivatives to increase or decrease its exposure to one or more of the following market risk factors:

Equity Risk. Equity risk relates to the change in value of equity securities as they relate to increases or decreases in the general market.

44 OPPENHEIMER GLOBAL STRATEGIC INCOME FUND/VA

6. Risk Exposures and the Use of Derivative Instruments (Continued)

The Fund’s actual exposures to these market risk factors and associated risks during the period are discussed in further detail, by derivative type, below.

Forward Currency Exchange Contracts

The Fund may enter into forward currency exchange contracts (“forward contracts”) for the purchase or sale of a foreign currency at a negotiated rate at a future date. Such contracts are traded in the OTC inter-bank currency dealer market.

Forward contracts are reported on a schedule following the Consolidated Statement of Investments. The unrealized appreciation (depreciation) is reported in the Consolidated Statement of Assets and Liabilities as a receivable (or payable) and in the Consolidated Statement of Operations within the change in unrealized appreciation (depreciation). At contract close, the difference between the original cost of the contract and the value at the close date is recorded as a realized gain (loss) in the Consolidated Statement of Operations.

The Fund has entered into forward contracts with the obligation to purchase specified foreign currencies in the future at a currently negotiated forward rate in order to take a positive investment perspective on the related currency. These forward contracts seek to increase exposure to foreign exchange rate risk.

The Fund has entered into forward contracts with the obligation to purchase specified foreign currencies in the future at a currently negotiated forward rate in order to decrease exposure to foreign exchange rate risk associated with foreign currency denominated securities held by the Fund.

The Fund has entered into forward contracts with the obligation to sell specified foreign currencies in the future at a currently negotiated forward rate in order to take a negative investment perspective on the related currency. These forward contracts seek to increase exposure to foreign exchange rate risk.

The Fund has entered into forward contracts with the obligation to sell specified foreign currencies in the future at a currently negotiated forward rate in order to decrease exposure to foreign exchange rate risk associated with foreign currency denominated securities held by the Fund.

During the six months ended June 30, 2014, the Fund had daily average contract amounts on forward contracts to buy and sell of $428,008,266 and $788,165,396, respectively.

Additional associated risk to the Fund includes counterparty credit risk. Counterparty credit risk arises from the possibility that the counterparty to a forward contract will default and fail to perform its obligations to the Fund.

Futures Contracts

Futures contracts are reported on a schedule following the Consolidated Statement of Investments. Securities held by a futures commission merchant to cover initial margin requirements on open futures contracts are noted in the Consolidated Statement of Investments. Cash held by a futures commission merchant to cover initial margin requirements on open futures contracts and the receivable and/or payable for the daily mark to market for the variation margin are noted in the Consolidated Statement of Assets and Liabilities. The net change in unrealized appreciation and depreciation is reported in the Consolidated Statement of Operations. Realized gains (losses) are reported in the Consolidated Statement of Operations at the closing or expiration of futures contracts.

The Fund has purchased futures contracts on various bonds and notes to increase exposure to interest rate risk.

The Fund has sold futures contracts on various bonds and notes to decrease exposure to interest rate risk.

During the six months ended June 30, 2014, the Fund had an ending monthly average market value of $166,034,660 and $44,973,279 on futures contracts purchased and sold, respectively.

Option Activity

The Fund may buy and sell put and call options, or write put and call options. When an option is written, the Fund receives a premium and becomes obligated to sell or purchase the underlying security, currency or other underlying financial instrument at a fixed price, upon exercise of the option.

Options can be traded through an exchange or through a privately negotiated arrangement with a dealer in an OTC transaction. Options traded through an exchange are generally cleared through a clearinghouse (such as The Options Clearing Corporation). The difference between the premium received or paid, and market value of the option, is recorded as unrealized appreciation or depreciation. The net change in unrealized appreciation or depreciation is reported in the Consolidated Statement of Operations. When an option is exercised, the cost of the security purchased or the proceeds of the security sale are adjusted by the amount of premium received or paid. Upon the expiration or closing of the option transaction, a gain or loss is reported in the Consolidated Statement of Operations.

The Fund has purchased call options on currencies to increase exposure to foreign exchange rate risk. A purchased call option becomes more valuable as the price of the underlying financial instrument appreciates relative to the strike price.

45 OPPENHEIMER GLOBAL STRATEGIC INCOME FUND/VA

CONSOLIDATED NOTES TO FINANCIAL STATEMENTS Unaudited / Continued

6. Risk Exposures and the Use of Derivative Instruments (Continued)

The Fund has purchased put options on currencies to decrease exposure to foreign exchange rate risk. A purchased put option becomes more valuable as the price of the underlying financial instrument depreciates relative to the strike price.

The Fund has purchased call options on treasury and/or euro futures to increase exposure to interest rate risk. A purchased call option becomes more valuable as the price of the underlying financial instrument appreciates relative to the strike price.

The Fund has purchased call options on volatility indexes to increase exposure to volatility risk. A purchased call option becomes more valuable as the level of the underlying volatility index increases relative to the strike price.

During the six months ended June 30, 2014, the Fund had an ending monthly average market value of $1,194,300 and $419,679 on purchased call options and purchased put options, respectively.

Options written, if any, are reported in a schedule following the Consolidated Statement of Investments and as a liability in the Consolidated Statement of Assets and Liabilities. Securities held in collateral accounts to cover potential obligations with respect to outstanding written options are noted in the Consolidated Statement of Investments.

The risk in writing a call option is that the market price of the security increases and if the option is exercised, the Fund must either purchase the security at a higher price for delivery or, if the Fund owns the underlying security, give up the opportunity for profit. The risk in writing a put option is that the Fund may incur a loss if the market price of the security decreases and the option is exercised. The risk in buying an option is that the Fund pays a premium whether or not the option is exercised. The Fund also has the additional risk that there may be an illiquid market where the Fund is unable to close the contract.

The Fund has written put options on currencies to increase exposure to foreign exchange rate risk. A written put option becomes more valuable as the price of the underlying financial instrument appreciates relative to the strike price.

The Fund has written call options on currencies to decrease exposure to foreign exchange rate risk. A written call option becomes more valuable as the price of the underlying financial instrument depreciates relative to the strike price.

The Fund has written put options on treasury and/or euro futures to increase exposure to interest rate risk. A written put option becomes more valuable as the price of the underlying financial instrument appreciates relative to the strike price.

The Fund has written call options on volatility indexes to decrease exposure to volatility risk. A written call option becomes more valuable as the level of the underlying volatility index decreases relative to the strike price.

During the six months ended June 30, 2014, the Fund had an ending monthly average market value of $109,453 and $218,112 on written call options and written put options, respectively.

Additional associated risks to the Fund include counterparty credit risk and liquidity risk.

Written option activity for the six months ended June 30, 2014 was as follows:


	Call Options				Put Options
	Number of Contracts		Amount of Premiums		Number of Contracts		Amount of Premiums

Options outstanding as of December 31, 2013		821,440,000	$	353,460		1,466,295,000	$	550,387
Options written		152,274,860		984,830		55,511,440,000		1,059,939
Options closed or expired		(462,409,860)		(788,407)		(184,830,000)		(166,601)
Options exercised		(37,180,000)		(139,426)		(16,533,445,000)		(1,116,204)

Options outstanding as of June 30, 2014		474,125,000	$	410,457		40,259,460,000	$	327,521

Swap Contracts

The Fund may enter into swap contract agreements with a counterparty to exchange a series of cash flows based on either specified reference rates, the price or volatility of asset or non-asset references, or the occurrence of a credit event, over a specified period. Swaps can be executed in a bi-lateral privately negotiated arrangement with a dealer in an OTC transaction (“OTC swaps”) or executed on a regulated market. Certain swaps, regardless of the venue of their execution, are required to be cleared through a clearinghouse (“centrally cleared swaps”). Swap contracts may include interest rate, equity, debt, index, total return, credit default, currency, and volatility swaps.

Swap contracts are reported on a schedule following the Consolidated Statement of Investments. The values of centrally cleared swap and OTC swap contracts are aggregated by positive and negative values and disclosed separately on the Consolidated Statement of Assets and Liabilities. The unrealized appreciation (depreciation) related to the change in the valuation of the notional amount of the swap is combined with the accrued interest due to (owed by) the Fund, if any, at termination or settlement. The net change in this amount during the period is included on the Consolidated Statement of Operations. The Fund also records any periodic payments received from (paid to) the counterparty, including at termination, under such contracts as realized gain (loss) on the Consolidated Statement of Operations.

Swap contract agreements are exposed to the market risk factor of the specific underlying reference rate or asset. Swap contracts are typically more attractively priced compared to similar investments in related cash securities because they isolate the risk to one market risk factor and eliminate the other market risk factors. Investments in cash securities (for instance bonds) have exposure to multiple risk factors (credit and interest rate risk). Because swaps have embedded leverage, they can expose the Fund to substantial risk in the isolated market risk factor.

Credit Default Swap Contracts. A credit default swap is a contract that enables an investor to buy or sell protection against a defined-issuer credit event, such as the issuer’s failure to make timely payments of interest or principal on a debt security, bankruptcy or restructuring. The Fund may enter into credit default swaps either by buying or selling protection on a corporate issuer, sovereign issuer, or a basket or index of issuers (the “reference asset”).

46 OPPENHEIMER GLOBAL STRATEGIC INCOME FUND/VA

6. Risk Exposures and the Use of Derivative Instruments (Continued)

The buyer of protection pays a periodic fee to the seller of protection based on the notional amount of the swap contract. The seller of protection agrees to compensate the buyer of protection for future potential losses as a result of a credit event on the reference asset. The contract effectively transfers the credit event risk of the reference asset from the buyer of protection to the seller of protection.

The ongoing value of the contract will fluctuate throughout the term of the contract based primarily on the credit risk of the reference asset. If the credit quality of the reference asset improves relative to the credit quality at contract initiation, the buyer of protection may have an unrealized loss greater than the anticipated periodic fee owed. This unrealized loss would be the result of current credit protection being cheaper than the cost of credit protection at contract initiation. If the buyer elects to terminate the contract prior to its maturity, and there has been no credit event, this unrealized loss will become realized. If the contract is held to maturity, and there has been no credit event, the realized loss will be equal to the periodic fee paid over the life of the contract.

If there is a credit event, the buyer of protection can exercise its rights under the contract and receive a payment from the seller of protection equal to the notional amount of the swap less the market value of specified debt securities issued by the reference asset. Upon exercise of the contract the difference between such value and the notional amount is recorded as realized gain (loss) and is included on the Consolidated Statement of Operations.

The Fund has sold credit protection through credit default swaps to increase exposure to the credit risk of individual issuers and/or indexes of issuers that are either unavailable or considered to be less attractive in the bond market.

The Fund has purchased credit protection through credit default swaps to decrease exposure to the credit risk of individual issuers and/or indexes of issuers.

The Fund has engaged in spread curve trades by simultaneously purchasing and selling protection through credit default swaps referenced to the same reference asset but with different maturities. Spread curve trades attempt to gain exposure to credit risk on a forward basis by realizing gains on the expected differences in spreads.

For the six months ended June 30, 2014, the Fund had ending monthly average notional amounts of $6,422,781 and $1,623,011 on credit default swaps to buy protection and credit default swaps to sell protection, respectively.

Additional associated risks to the Fund include counterparty credit risk and liquidity risk.

Interest Rate Swap Contracts. An interest rate swap is an agreement between counterparties to exchange periodic payments based on interest rates. One cash flow stream will typically be a floating rate payment based upon a specified floating interest rate while the other is typically a fixed interest rate.

The Fund has entered into interest rate swaps in which it pays a floating interest rate and receives a fixed interest rate in order to increase exposure to interest rate risk. Typically, if relative interest rates rise, payments made by the Fund under a swap agreement will be greater than the payments received by the Fund.

The Fund has entered into interest rate swaps in which it pays a fixed interest rate and receives a floating interest rate in order to decrease exposure to interest rate risk. Typically, if relative interest rates rise, payments received by the Fund under the swap agreement will be greater than the payments made by the Fund.

For the six months ended June 30, 2014, the Fund had ending monthly average notional amounts of $60,059,549 and $185,282,297 on interest rate swaps which pay a fixed rate and interest rate swaps which receive a fixed rate, respectively.

Additional associated risks to the Fund include counterparty credit risk and liquidity risk.

Currency Swap Contracts. A currency swap contract is an agreement between counterparties to exchange different currencies at contract inception that are equivalent to a notional value. The exchange at contract inception is made at the current spot rate. The contract also includes an agreement to reverse the exchange of the same notional values of those currencies at contract termination. The re-exchange at contract termination may take place at the same exchange rate, a specified rate or the then current spot rate. Certain currency swap contracts provide for exchanging the currencies only at contract termination and can provide for only a net payment in the settlement currency, typically USD. A currency swap contract may also include the exchange of periodic payments, between the counterparties, that are based on interest rates available in the respective currencies at contract inception. Other currency swap contracts may not provide for exchanging the different currencies at all, and only for exchanging interest cash flows based on the notional value in the contract.

The Fund has entered into currency swap contracts with the obligation to pay an interest rate on the dollar notional amount and receive an interest rate on the various foreign currency notional amounts in order to take a positive investment perspective on the related currencies for which the Fund receives a payment. These currency swap contracts increase exposure to foreign exchange rate risk.

For the six months ended June 30, 2014, the Fund had ending monthly average notional amounts of $ 5,934,558 on currency swaps which receive a fixed rate.

Additional associated risks to the Fund include counterparty credit risk and liquidity risk.

Swaption Transactions

Purchased swaptions are reported as a component of investments in the Consolidated Statement of Investments and the Consolidated Statement of Assets and Liabilities. Written swaptions are reported on a schedule following the Consolidated Statement of Investments and their value is reported as a separate asset or liability line item in the Consolidated Statement of Assets and Liabilities. The net change in unrealized appreciation or depreciation on written swaptions is separately reported in the Consolidated Statement of Operations. When a swaption is exercised, the cost of the swap is adjusted by the amount of premium paid or received. Upon the expiration or closing of an unexercised swaption contract, a gain or loss is reported in the Consolidated Statement of Operations for the amount of the premium paid or received.

47 OPPENHEIMER GLOBAL STRATEGIC INCOME FUND/VA

CONSOLIDATED NOTES TO FINANCIAL STATEMENTS Unaudited / Continued

6. Risk Exposures and the Use of Derivative Instruments (Continued)

The Fund has purchased swaptions which gives it the option to enter into an interest rate swap in which it pays a floating interest rate and receives a fixed interest rate in order to increase exposure to interest rate risk. A purchased swaption of this type becomes more valuable as the reference interest rate decreases relative to the preset interest rate.

The Fund has purchased swaptions which gives it the option to enter into an interest rate swap in which it pays a fixed interest rate and receives a floating interest rate in order to decrease exposure to interest rate risk. A purchased swaption of this type becomes more valuable as the reference interest rate increases relative to the preset interest rate.

The Fund has written swaptions which gives it the obligation, if exercised by the purchaser, to enter into an interest rate swap in which it pays a floating interest rate and receives a fixed interest rate in order to increase exposure to interest rate risk. A written swaption of this type becomes more valuable as the reference interest rate decreases relative to the preset interest rate.

The Fund has written swaptions which gives it the obligation, if exercised by the purchaser, to enter into an interest rate swap in which it pays a fixed interest rate and receives a floating interest rate in order to decrease exposure to interest rate risk. A written swaption of this type becomes more valuable as the reference interest rate increases relative to the preset interest rate.

The Fund has written swaptions which give it the obligation, if exercised by the purchaser, to sell credit protection through credit default swaps in order to increase exposure to the credit risk of individual issuers and/or indexes of issuers. A written swaption of this type becomes more valuable as the likelihood of a credit event on the reference asset decreases.

The Fund has written swaptions which give it the obligation, if exercised by the purchaser, to buy credit protection through credit default swaps in order to decrease exposure to the credit risk of individual issuers and/or, indexes of issuers. A written swaption of this type becomes more valuable as the likelihood of a credit event on the reference asset increases.

During the six months ended June 30, 2014, the Fund had an ending monthly average market value of $1,835,478 and $2,726,252 on purchased and written swaptions, respectively.

Written swaption activity for the six months ended June 30, 2014 was as follows:


	Call Swaptions
	Notional Amount	Amount of Premiums

Swaptions outstanding as of December 31, 2013	472,545,000	$	4,075,481
Swaptions written	1,776,943,000		7,470,683
Swaptions closed or expired	(369,325,000)		(907,395)
Swaptions exercised	(1,678,570,000)		(9,322,713)

Swaptions outstanding as of June 30, 2014	201,593,000	$	1,316,056

As of June 30, 2014, the Fund has required certain counterparties to post collateral of $4,053,132.

48 OPPENHEIMER GLOBAL STRATEGIC INCOME FUND/VA

6. Risk Exposures and the Use of Derivative Instruments (Continued)

For financial reporting purposes, the Fund does not offset derivative assets and derivative liabilities that are subject to netting arrangements in the Consolidated Statement of Assets and Liabilities. Bankruptcy or insolvency laws of a particular jurisdiction may impose restrictions on or prohibitions against the right of offset in bankruptcy, insolvency or other events.

For financial reporting purposes, cash collateral that has been pledged to cover obligations of the Fund, if any, is reported separately on the Consolidated Statement of Assets and Liabilities as cash pledged as collateral. Non-cash collateral pledged by the Fund, if any, is noted in the Consolidated Statement of Investments. Generally, the amount of collateral due from or to a party must exceed a minimum transfer amount threshold (e.g. $250,000) before a transfer has to be made. To the extent amounts due to the Fund from its counterparties are not fully collateralized, contractually or otherwise, the Fund bears the risk of loss from counterparty nonperformance.

The following table presents by counterparty the Fund’s OTC derivative assets net of the related collateral posted for the benefit of the Fund at June 30, 2014:


			Gross Amounts Not Offset in the Consolidated Statement of Assets & Liabilities
Counterparty	Gross Amount of Assets in the Consolidated Statement of Assets & Liabilities*		Financial Instruments Available for Offset		Financial Instruments Collateral Received**		Cash Collateral Received**		Net Amount

Bank of America NA	$	1,004,661	$	(1,004,661)	$	—	$	—	$	—
Barclays Bank plc		1,507,230		(1,507,230)		—		—		—
BNP Paribas		36,823		(36,823)		—		—		—
Citibank NA		1,115,517		(125,335)		(990,182)		—		—
Credit Suisse International		365,765		—		(365,765)		—		—
Deutsche Bank AG		124,967		(65,419)		—		(59,548)		—
Goldman Sachs Bank USA		1,650,418		(1,650,418)		—		—		—
Goldman Sachs Group, Inc. (The)		1,433,759		(105,141)		—		—		1,328,618
HSBC Bank USA NA		181,943		—		(53,161)		—		128,782
JPMorgan Chase Bank NA		1,976,507		(1,976,507)		—		—		—
Morgan Stanley Capital Services, Inc.		272,823		(272,823)		—		—		—
Nomura Global Financial Products, Inc.		24,319		—		—		—		24,319
Royal Bank of Scotland plc (The)		406,501		(175,951)		—		—		230,550
Toronto Dominion Bank		649,371		(120,374)		(528,997)		—		—
UBS AG		52,478		—		—		—		52,478

	$	10,803,082	$	(7,040,682)	$	(1,938,105)	$	(59,548)	$	1,764,747

* OTC derivatives are reported gross on the Consolidated Statement of Assets and Liabilities. Exchange traded options and margin related to cleared swaps and futures are excluded from these reported amounts.

49 OPPENHEIMER GLOBAL STRATEGIC INCOME FUND/VA

CONSOLIDATED NOTES TO FINANCIAL STATEMENTS Unaudited / Continued

6. Risk Exposures and the Use of Derivative Instruments (Continued)

The following table presents by counterparty the Fund’s OTC derivative liabilities net of the related collateral pledged by the Fund at June 30, 2014:


			Gross Amounts Not Offset in the Consolidated Statement of Assets & Liabilities
Counterparty	Gross Amount of Liabilities in the Consolidated Statement of Assets & Liabilities*		Financial Instruments Available for Offset		Financial Instruments Collateral Pledged**		Cash Collateral Pledged**		Net Amount

Bank of America NA	$	(3,197,260)	$	1,004,661	$	2,192,599	$	—	$	—
Barclays Bank plc		(2,229,135)		1,507,230		721,905		—		—
BNP Paribas		(239,918)		36,823		130,826		—		(72,269)
Citibank NA		(125,335)		125,335		—		—		—
Deutsche Bank AG		(65,419)		65,419		—		—		—
Goldman Sachs Bank USA		(4,463,786)		1,650,418		2,813,368		—		—
Goldman Sachs Group, Inc. (The)		(105,141)		105,141		—		—		—
JPMorgan Chase Bank NA		(3,329,554)		1,976,507		—		—		(1,353,047)
Morgan Stanley Capital Services, Inc.		(1,988,662)		272,823		1,043,612		—		(672,227)
Royal Bank of Scotland plc (The)		(175,951)		175,951		—		—		—
Toronto Dominion Bank		(120,374)		120,374		—		—		—

	$	(16,040,535)	$	7,040,682	$	6,902,310	$	—	$	(2,097,543)

** Reported collateral pledged within this table is limited to the net outstanding amount due from the Fund. The securities pledged as collateral by the Fund as reported on the Consolidated Statements of investments may exceed these amounts.

The following table presents the valuations of derivative instruments by risk exposure as reported within the Consolidated Statement of Assets and Liabilities as of June 30, 2014:

Asset Derivatives

Liability Derivatives

Derivatives Not Accounted for

as Hedging Instruments

Consolidated Statement of Assets and

Liabilities Location

Value

Consolidated Statement of Assets and

Liabilities Location

Value

Credit contracts

Swaps, at value

418,243

Swaps, at value

53,315

Foreign exchange contracts

Swaps, at value

588,972

Interest rate contracts

Swaps, at value

1,792,037

Interest rate contracts

Centrally cleared swaps, at value

42,380

Interest rate contracts

Variation margin receivable

194,871^*

Variation margin payable

841^*

Foreign exchange contracts

Unrealized appreciation on foreign currency exchange contracts

7,278,524

Unrealized depreciation on foreign currency exchange contracts

14,102,102

Foreign exchange contracts

Options written, at value

149,495

Interest rate contracts

Options written, at value

28,280

Credit contracts

Swaptions written, at value

1,025,788

Interest rate contracts

Swaptions written, at value

681,555

Credit contracts

Investments, at value

27,309^**

Foreign exchange contracts

Investments, at value

344,570^**

Interest rate contracts

Investments, at value

353,427^**

Total

10,997,953

16,083,756

* Includes only the current day’s variation margin. Prior variation margin movements have been reflected in cash on the Consolidated Statement of Assets and Liabilities upon receipt or payment.

**Amounts relate to purchased option contracts and purchased swaption contracts, if any.

The effect of derivative instruments on the Consolidated Statement of Operations is as follows:


Amount of Realized Gain or (Loss) Recognized on Derivatives
Derivatives Not Accounted for as Hedging Instruments	Investment from unaffiliated companies (including premiums on options and swaptions exercised*		Closing and expiration of swaption contracts written		Closing and expiration of option contracts written		Closing and expiration of futures contracts		Foreign currency transactions		Swap contracts		Total

Credit contracts	$	(337,383)	$	88,926	$	—	$	—	$	—	$	(586,760)	$	(835,217)
Foreign exchange contracts		130,651		—		416,208		—		(4,209,920)		—		(3,663,061)
Interest rate contracts		(3,476,560)		818,469		—		6,308,973		—		(2,451,159)		1,199,723
Volatility contracts		(1,785,217)		—		538,800		—		—		—		(1,246,417)

Total	$	(5,468,509)	$	907,395	$	955,008	$	6,308,973	$	(4,209,920)	$	(3,037,919)	$	(4,544,972)

*Includes purchased option contracts, purchased swaption contracts, written option contracts exercised and written swaption contracts exercised, if any.

50 OPPENHEIMER GLOBAL STRATEGIC INCOME FUND/VA

6. Risk Exposures and the Use of Derivative Instruments (Continued)


Amount of Change in Unrealized Gain or (Loss) Recognized on Derivatives
Derivatives Not Accounted for as Hedging Instruments	Investments*		Swaption contracts written		Option contracts written		Futures contracts		Translation of assets and liabilities denominated in foreign currency transactions		Swap contracts		Total

Credit contracts	$	55,372	$	(61,851)	$	—	$	—	$	—	$	118,273	$	111,794
Foreign exchange contracts		734,043		—		(119,817)		—		(3,615,945)		588,972		(2,412,747)
Interest rate contracts		(1,787,818)		1,319,720		171,802		3,141,197		—		1,253,536		4,098,437

Total	$	(998,403)	$	1,257,869	$	51,985	$	3,141,197	$	(3,615,945)	$	1,960,781	$	1,797,484

*Includes purchased option contracts and purchased swaption contracts, if any.

7. Restricted Securities

As of June 30, 2014, investments in securities included issues that are restricted. A restricted security may have a contractual restriction on its resale and is valued under methods approved by the Board of Trustees as reflecting fair value. Securities that are restricted are marked with an applicable footnote on the Consolidated Statement of Investments. Restricted securities are reported on a schedule following the Consolidated Statement of Investments.

8. Pending Litigation

51 OPPENHEIMER GLOBAL STRATEGIC INCOME FUND/VA

PORTFOLIO PROXY VOTING POLICIES AND PROCEDURES; UPDATES TO

STATEMENTS OF INVESTMENTS Unaudited

52 OPPENHEIMER GLOBAL STRATEGIC INCOME FUND/VA

THIS PAGE INTENTIONALLY LEFT BLANK.

53 OPPENHEIMER GLOBAL STRATEGIC INCOME FUND/VA

THIS PAGE INTENTIONALLY LEFT BLANK.

54 OPPENHEIMER GLOBAL STRATEGIC INCOME FUND/VA

THIS PAGE INTENTIONALLY LEFT BLANK.

55 OPPENHEIMER GLOBAL STRATEGIC INCOME FUND/VA

OPPENHEIMER GLOBAL STRATEGIC INCOME FUND/VA

A Series of Oppenheimer Variable Account Funds


Trustees and Officers		Sam Freedman, Chairman of the Board of Trustees and Trustee
		Edward L. Cameron, Trustee
		Jon S. Fossel, Trustee
		Richard F. Grabish, Trustee
		Beverly L. Hamilton, Trustee
		Victoria J. Herget, Trustee
		Robert J. Malone, Trustee
		F. William Marshall, Jr., Trustee
		Karen L. Stuckey, Trustee
		James D. Vaughn, Trustee
		William F. Glavin, Jr., Trustee, President and Principal Executive Officer
	��	Krishna Memani, Vice President
		Sara J. Zervos, Ph.D. Vice President
		Jack Brown, Vice President
		Arthur S. Gabinet, Secretary and Chief Legal Officer
		Christina M. Nasta, Vice President and Chief Business Officer
		Mary Ann Picciotto, Chief Compliance Officer and Chief Anti-Money Laundering Officer
		Brian W. Wixted, Treasurer and Principal Financial & Accounting Officer

Manager		OFI Global Asset Management, Inc.

Sub-Adviser		OppenheimerFunds, Inc.

Distributor		OppenheimerFunds Distributor, Inc.

Transfer and		OFI Global Asset Management, Inc.
Shareholder
Servicing Agent

Sub-Transfer Agent		Shareholder Services, Inc.
		DBA OppenheimerFunds Services

Independent		KPMG LLP
Registered Public
Accounting Firm

Counsel		K&L Gates LLP

		Before investing in any of the Oppenheimer funds, investors should carefully consider a fund’s investment objectives, risks, charges and expenses. Fund prospectuses and summary prospectuses contain this and other information about the funds and may be obtained by asking your financial advisor, visiting oppenheimerfunds.com or calling us at 1.800.988.8287. Read prospectuses and summary prospectuses, carefully before investing.

		The financial statements included herein have been taken from the records of the Fund without examination of those records by the independent auditors.

		^© 2014 OppenheimerFunds, Inc. All rights reserved. Oppenheimer funds are distributed by OppenheimerFunds Distributor, Inc.

LOGO

Portfolio Manager: Michael S. Levine, CFA


Cumulative Total Returns For the 6-Month Period Ended 6/30/14
Non-Service Shares	8.41%
Service Shares	8.27%

Average Annual Total Returns For the Periods Ended 6/30/14
	1-Year	5-Year	10-Year
Non-Service Shares	23.35%	18.00%	9.32%

	1-Year	5-Year	Since Inception (9/18/06)
Service Shares	23.00%	15.46%	5.44%

Performance data quoted represents past performance, which does not guarantee future results. The investment return and principal value of an investment in the Fund will fluctuate so that an investor’s shares, when redeemed, may be worth more or less than their original cost. Current performance may be lower or higher than the performance quoted. For performance data current to the most recent month end, call us at 1.800.988.8287. The Fund’s total returns should not be expected to be the same as the returns of other funds, whether or not both funds have the same portfolio managers and/or similar names. The Fund’s total returns include changes in share price and reinvested distributions but do not include the charges associated with the separate account products that offer this Fund. Such performance would have been lower if such charges were taken into account.


TOP TEN COMMON STOCK HOLDINGS
JPMorgan Chase & Co.	3.8	%
Citigroup, Inc.	3.7
Apple, Inc.	3.5
Chevron Corp.	3.0
Ford Motor Co.	2.6
General Motors Co.	2.4
MetLife, Inc.	2.4
Kinder Morgan, Inc.	2.1
Microsoft Corp.	2.0
CenturyLink, Inc.	1.9

Portfolio holdings and allocations are subject to change. Percentages are as of June 30, 2014, and are based on net assets. For more current Fund holdings, please visit oppenheimerfunds.com.

SECTOR ALLOCATION

LOGO

Portfolio holdings and allocations are subject to change. Percentages are as of June 30, 2014, and are based on the total market value of common stocks.

2 OPPENHEIMER EQUITY INCOME FUND/VA

Fund Performance Discussion

The Fund’s Non-Service shares produced a return of 8.41% during the reporting period, outperforming the Russell 1000 Value Index (the “Index”), which returned 8.28%. The Fund’s outperformance relative to the Index stemmed from stronger relative stock selection in the consumer staples and telecommunication services sectors, along with an underweight position in the industrials sector. The Fund underperformed in the consumer discretionary sector due to less favorable stock selection and an overweight position. Weaker relative stock selection in the financials sector and an underweight position in the utilities sector also detracted from the Fund’s performance versus the Index. The Fund also outperformed the S&P 500 Index, which returned 7.14% during the reporting period.

GLOBAL MARKET AND ECONOMIC ENVIRONMENT

TOP INDIVIDUAL CONTRIBUTORS

Top contributors to the Fund’s performance this reporting period included Apple, Inc., Teva Pharmaceutical Industries Ltd. and Halliburton Co. Apple performed well during the second half of 2013 due to excitement surrounding the introduction of two new iPhones as well as the addition of China Mobile as a distribution partner. Apple also rallied strongly in April 2014 after iPhone sales came in higher than analysts anticipated and the company announced a 7-for-1 stock split and increased both its dividend and share repurchases. Teva Pharmaceuticals, a pharmaceutical manufacturer based in Israel, benefited from improving prospects for its branded multiple sclerosis drug, Copaxone. Most market participants had been expecting competition from generic drug manufacturers when Copaxone’s patent expired in May 2014. However, news during the reporting period made it increasingly clear that the Food and Drug Administration (“FDA”) was unlikely to approve any generics by the time the patent ran out. With Copaxone remaining exclusive past May, many analysts raised their earnings expectations for Teva, helping to drive share price gains. Halliburton is an oilfield services company that benefited from the strong performance of the energy sector, with oil prices rising amid heightened geopolitical tensions in the Middle East and Ukraine. As the fundamentals have improved for the North American companies Halliburton serves, it is anticipated that demand for Halliburton’s services can potentially will increase.

TOP INDIVIDUAL DETRACTORS

Top detractors from performance this reporting period included Citigroup Inc. and General Motors Co. (“GM”). Shares of Citigroup Inc., a global financial services company, performed poorly during the reporting period due, in part, to investor concerns about the bank’s exposure to emerging markets. Citi also got a negative surprise when the Fed rejected the firm’s capital plan. While Citi did pass the Fed’s stress tests, regulators expressed qualitative concerns about the firm’s internal controls, and thus halted plans to return additional capital to shareholders. Investors reacted unfavorably to this news, driving down Citi’s share price. At period end, we continued to like the risk/reward of Citigroup.

After a strong performance for most of 2013, consumer discretionary was one of the worst performing sectors of the Russell 1000 Value Index during the six-month reporting period. Auto stocks, such as GM, suffered early in 2014 as investors became concerned that the sales momentum from 2013 would not be sustained. Additionally, recently announced recalls have weighed on GM’s stock price as they hurt both the consumer’s perception of manufacturing quality and

3 OPPENHEIMER EQUITY INCOME FUND/VA

the company’s profitability. As of the reporting period’s end, we remain positive on the outlook for autos because we believe pent-up demand may continue to drive sales higher.

STRATEGY & OUTLOOK

The Fund aims to provide shareholders with long-term growth of capital and a competitive level of income. It invests primarily in the common stocks of large, dividend-paying companies, but may also own income-oriented investments such as preferred shares, convertible bonds and other types of fixed income securities. Through intensive fundamental research and the careful management of portfolio risks, the Fund aims to deliver strong returns compared to its peers.

We are optimistic about the market for the remainder of 2014. We believe the economy can continue to improve, driven by an ongoing recovery in the housing market, still low interest rates and better consumer balance sheets. In our view, corporate earnings should continue to grow in-line with an improving economy and dividends should increase in-line with earnings. We expect interest rates to grind higher during 2014, which should result in flat to negative returns for most fixed income asset classes and make equities look even more appealing. Wildcards remain, including the Middle East, Ukraine and Washington D.C., but overall our outlook for equities in 2014 remains positive at period end.

The Fund’s investment strategy and focus can change over time. The mention of specific fund holdings does not constitute a recommendation by OppenheimerFunds, Inc. or its affiliates.

4 OPPENHEIMER EQUITY INCOME FUND/VA

Fund Expenses

The examples are based on an investment of $1,000.00 invested at the beginning of the period and held for the entire 6-month period ended June 30, 2014.

Hypothetical Example for Comparison Purposes.


Actual	Beginning Account Value January 1, 2014		Ending Account Value June 30, 2014		Expenses Paid During 6 Months Ended June 30, 2014
Non-Service shares	$	1,000.00	$	1,084.10	$	4.09
Service shares		1,000.00		1,082.70		5.38

Hypothetical (5% return before expenses)
Non-Service shares		1,000.00		1,020.88		3.97
Service shares		1,000.00		1,019.64		5.22

5 OPPENHEIMER EQUITY INCOME FUND/VA

STATEMENTOF INVESTMENTS June 30, 2014 Unaudited


	Shares		Value

Common Stocks—86.6%

Consumer Discretionary—14.7%

Auto Components—2.2%

American Axle & Manufacturing Holdings, Inc.¹		2,750	$	51,947

Lear Corp.		2,325		207,669

				259,616


Automobiles—5.0%

Ford Motor Co.²		17,500		301,700

General Motors Co.		7,750		281,325

				583,025


Household Durables—1.4%

MDC Holdings, Inc.		3,950		119,646

Standard Pacific Corp.¹		4,865		41,839

				161,485


Media—1.1%

Time Warner Cable, Inc.		825		121,523


Multiline Retail—2.1%

J.C. Penney Co., Inc.¹		2,130		19,276

Kohl’s Corp.		1,900		100,092

Target Corp.		2,100		121,695

				241,063


Specialty Retail—2.9%

Best Buy Co., Inc.		5,825		180,633

Foot Locker, Inc.		2,500		126,800

Staples, Inc.		2,375		25,745

				333,178


Consumer Staples—4.1%

Beverages—0.9%

Molson Coors Brewing Co., Cl. B, Non-Vtg., Cl. B		500		37,080

PepsiCo, Inc.		725		64,772

				101,852


Food & Staples Retailing—1.4%

Kroger Co. (The)		1,750		86,502

Walgreen Co.		1,000		74,130

				160,632


Food Products—1.2%

Archer-Daniels-Midland Co.		1,350		59,548

ConAgra Foods, Inc.		1,150		34,132

Pinnacle Foods, Inc.		1,600		52,640

				146,320


Tobacco—0.6%

Philip Morris International, Inc.		850		71,664


Energy—11.8%

Energy Equipment & Services—2.1%

Ensco plc, Cl. A		2,250		125,032

Halliburton Co.		1,675		118,942

				243,974


Oil, Gas & Consumable Fuels—9.7%

Apache Corp.		1,200		120,744

BP plc, Sponsored ADR		3,135		165,371

Chevron Corp.		2,700		352,485

Kinder Morgan, Inc.		6,550		237,503

Marathon Oil Corp.		525		20,958

Royal Dutch Shell plc, Cl. A, ADR		1,475		121,496

Williams Cos., Inc. (The)		1,700		98,957

				1,117,514


Financials—23.7%

Capital Markets—4.3%

Credit Suisse Group AG, Sponsored ADR¹		2,025		57,449

Goldman Sachs Group, Inc. (The)		900		150,696

KKR & Co. LP		4,100		99,753


	Shares		Value

Capital Markets (Continued)

Morgan Stanley		4,200	$	135,786

State Street Corp.		725		48,764

				492,448


Commercial Banks—8.9%

Banco Bilbao Vizcaya Argentaria SA, Sponsored ADR		1,875		23,944

Bank of America Corp.		2,750		42,267

CIT Group, Inc.		1,400		64,064

Citigroup, Inc.		9,175		432,142

JPMorgan Chase & Co.		7,750		446,555

M&T Bank Corp.		50		6,203

Wells Fargo & Co.		375		19,710

				1,034,885


Insurance—6.1%

American International Group, Inc.		750		40,935

Assured Guaranty Ltd.		9,175		224,787

Everest Re Group Ltd.		375		60,184

MBIA, Inc.¹		1,350		14,904

MetLife, Inc.		5,000		277,800

XL Group plc, Cl. A		2,750		90,008

				708,618


Real Estate Investment Trusts (REITs)—4.4%

Apollo Commercial Real Estate Finance, Inc.		4,000		65,960

Ashford Hospitality Trust, Inc.		4,250		49,045

Blackstone Mortgage Trust, Inc., Cl. A		300		8,700

Colony Financial, Inc.		5,000		116,100

CYS Investments, Inc.		1,875		16,912

Digital Realty Trust, Inc.		1,075		62,694

Rayonier, Inc.		625		22,219

Starwood Property Trust, Inc.		5,000		118,850

Two Harbors Investment Corp.		5,225		54,758

				515,238


Health Care—7.2%

Health Care Equipment & Supplies—0.9%

Baxter International, Inc.		775		56,032

Medtronic, Inc.		825		52,602

				108,634


Health Care Providers & Services—1.0%

UnitedHealth Group, Inc.		1,350		110,363


Pharmaceuticals—5.3%

AbbVie, Inc.		150		8,466

GlaxoSmithKline plc, Sponsored ADR		1,275		68,187

Merck & Co., Inc.		3,550		205,367

Pfizer, Inc.²		6,450		191,436

Roche Holding AG, Sponsored ADR		200		7,460

Teva Pharmaceutical Industries Ltd., Sponsored ADR		2,500		131,050

				611,966


Industrials—3.9%

Aerospace & Defense—0.8%

General Dynamics Corp.		500		58,275

Textron, Inc.		1,000		38,290

				96,565


Commercial Services & Supplies—0.8%

R.R. Donnelley & Sons Co.		5,375		91,160


Electrical Equipment—0.3%

General Cable Corp.		1,325		34,000


Industrial Conglomerates—0.9%

General Electric Co.²		4,250		111,690


Machinery—0.5%

Navistar International Corp.¹		1,500		56,220

6 OPPENHEIMER EQUITY INCOME FUND/VA


	Shares		Value

Marine—0.3%

Costamare, Inc.		1,350	$	31,482


Road & Rail—0.3%

CSX Corp.		1,000		30,810


Information Technology—7.6%

Communications Equipment—1.3%

Cisco Systems, Inc.		3,000		74,550

QUALCOMM, Inc.		1,000		79,200

				153,750


Semiconductors & Semiconductor Equipment—0.5%

Intel Corp.		1,750		54,075


Software—2.0%

Microsoft Corp.		5,500		229,350


Technology Hardware, Storage & Peripherals—3.8%

Apple, Inc.		4,340		403,316

EMC Corp.		600		15,804

Seagate Technology plc		325		18,467

				437,587


Materials—5.5%

Chemicals—1.8%

Celanese Corp., Series A		925		59,459

LyondellBasell Industries NV, Cl. A		750		73,238

Mosaic Co. (The)		825		40,796

Potash Corp. of Saskatchewan, Inc.		750		28,470

Rayonier Advanced Materials¹		208		8,060

				210,023


Metals & Mining—1.2%

Allegheny Technologies, Inc.		1,500		67,650

Freeport-McMoRan Copper & Gold, Inc.		2,000		73,000

				140,650


Paper & Forest Products—2.5%

Domtar Corp.		2,300		98,555

International Paper Co.		2,575		129,960

Louisiana-Pacific Corp.¹		4,150		62,333

				290,848


Telecommunication Services—5.6%

Diversified Telecommunication Services—5.6%

AT&T, Inc.		3,125		110,500

CenturyLink, Inc.		6,225		225,345

Consolidated Communications Holdings, Inc.		1,675		37,252

Verizon Communications, Inc.		2,300		112,539

Windstream Holdings, Inc.		16,750		166,830

				652,466


Utilities—2.5%

Electric Utilities—2.5%

American Electric Power Co., Inc.		1,325		73,895

Edison International		1,325		76,996

FirstEnergy Corp.		2,000		69,440

PPL Corp.		1,750		62,178

Southern Co. (The)		250		11,344

				293,853

Total Common Stocks (Cost $8,578,894)				10,038,527


Preferred Stocks—2.5%

American Homes 4 Rent, 5% Cum., Series A, Non-Vtg.		1,000		25,210

American Homes 4 Rent, 5% Cum., Series B, Non-Vtg.		1,300		31,993

Beazer Homes USA, Inc., 7.50% Cv.		2,725		87,718

Continental Airlines Finance Trust II, 6% Cv., Non-Vtg.		761		37,883

Dominion Resources, Inc., 6.375% Cv.¹		200		10,525

iStar Financial, Inc., 4.50% Cv., Non-Vtg.		875		56,223

Post Holdings, Inc., 2.50% Cv.³		100		10,194


	Shares		Value

Preferred Stocks (Continued)

Post Holdings, Inc., 3.75% Cv.³		100	$	11,920

Post Holdings, Inc., 5.25% Cv.¹		200		21,056

Total Preferred Stocks (Cost $272,922)				292,722

	Principal Amount

Non-Convertible Corporate Bonds and Notes—0.9%

J.C. Penney Co., Inc., 5.65% Sr. Unsec. Nts., 6/1/20	$	30,000		26,400

MBIA Insurance Corp., 11.486% Sub. Nts., 1/15/33^3,4		65,000		51,187

NII Capital Corp., 7.625% Sr. Unsec. Nts., 4/1/21		87,500		25,594

Total Non-Convertible Corporate Bonds and Notes (Cost $131,583)				103,181


Convertible Corporate Bonds and Notes—8.2%

General Cable Corp., 4.50% Cv. Unsec. Sub. Nts., 11/15/29⁵		100,000		99,375

iStar Financial, Inc., 3% Cv. Sr. Unsec. Nts., 11/15/16		50,000		70,969

Liberty Interactive LLC, 0.75% Cv. Sr. Unsec. Nts., 3/30/43		35,000		47,075

MGIC Investment Corp.:
5.00% Cv. Sr. Unsec. Nts., 5/1/17		45,000		52,650
9.00% Cv. Jr. Sub. Nts., 4/1/63³		150,000		193,594

Micron Technology, Inc., 3% Cv. Sr. Unsec. Nts., 11/15/43		55,000		71,122

Navistar International Corp.:
4.50% Cv. Sr. Sub. Nts., 10/15/18³		85,000		88,134
4.75% Cv. Sr. Sub. Nts., 4/15/19³		23,000		24,653

Peabody Energy Corp., 4.75% Cv. Jr. Sub. Nts., 12/15/41		90,000		68,006

Radian Group, Inc., 2.25% Cv. Sr. Unsec. Nts., 3/1/19²		60,000		90,225

Starwood Property Trust, Inc., 4% Cv. Sr. Unsec. Nts., 1/15/19		15,000		17,241

United Airlines, Inc., 4.50% Cv. Sr. Unsec. Nts., 1/15/15		55,000		120,828

Total Convertible Corporate Bonds and Notes (Cost $829,703)				943,872

	Shares

Structured Securities—2.0%

Bank of America Corp., American Axle & Manufacturing Holdings, Inc. Equity Linked Nts., 11/3/14³		1,150		21,639

Citigroup, Inc., J.C. Penney Co., Inc. Equity Linked Nts., 11/19/14³		1,098		10,333

Credit Suisse AG (New York Branch), Apple, Inc. Equity Linked Nts., 12/3/14		40		25,706

Credit Suisse AG (New York Branch), J.C. Penney Co., Inc. Equity Linked Nts., 11/21/14		2,650		25,358

Credit Suisse AG (New York Branch), Standard Pacific Corp. Equity Linked Nts., 11/7/14		1,269		10,844

Deutsche Bank AG (London Branch), J.C. Penney Co., Inc. Equity Linked Nts., 12/24/14		1,738		15,459

Goldman Sachs Group, Inc. (The), Apple, Inc. Equity Linked Nts., 12/5/14³		55		35,441

Goldman Sachs Group, Inc. (The), MBIA, Inc. Equity Linked Nts., 1/2/15³		1,266		14,185

JPMorgan Chase & Co., Navistar International Corp. Equity Linked Nts., 11/25/14³		398		15,107

Merrill Lynch International & Co. CV Curacao, Standard Pacific Corp. Equity Linked Nts., 11/12/14		1,316		11,064

Merrill Lynch International & Co. CV, Apple, Inc. Equity Linked Nts., 12/9/14		39		25,358

Morgan Stanley, Rite Aid Corp. Performance Equity Linked Redemption Quarterly-pay Securities, 12/15/14³		3,234		23,106

Total Structured Securities (Cost $228,533)				233,600

7 OPPENHEIMER EQUITY INCOME FUND/VA

STATEMENTOF INVESTMENTS Unaudited / Continued


	Shares		Value

Investment Company—0.4%

Oppenheimer Institutional Money Market Fund, Cl. E, 0.09%^6,7 (Cost $48,832)		48,832	$	48,832


		Exercise Price		Expiration Date			Contracts

Exchange-Traded Options Purchased—0.0%

Baxter International, Inc. Put¹	USD		67.500		8/16/14	USD		10		510

Exxon Mobil Corp. Put¹	USD		90.000		8/16/14	USD		10		250

Marathon Oil Corp. Put¹	USD		36.000		7/19/14	USD		10		55

United Continental Holdings, Inc. Put¹	USD		36.000		7/19/14	USD		10		210

Walgreen Co. Put¹	USD		65.000		7/19/14	USD		10		20

Total Exchange-Traded Options Purchased (Cost $1,163)										1,045


Total Investments, at Value (Cost $10,091,630)								100.6%		11,661,779

Net Other Assets (Liabilities)								(0.6)		(69,760)

Net Assets								100.0%	$	11,592,019

Footnotes to Statement of Investments

1. Non-income producing security.

2. All or a portion of the security position is held in segregated accounts and pledged to cover margin requirements with respect to outstanding written options. The aggregate market value of such securities is $122,360. See Note 6 of the accompanying Notes.

3. Represents securities sold under Rule 144A, which are exempt from registration under the Securities Act of 1933, as amended. These securities have been determined to be liquid under guidelines established by the Board of Trustees. These securities amount to $499,493 or 4.31% of the Fund’s net assets as of June 30, 2014.

4. This security is not accruing income because the issuer has missed an interest payment on it and/or is not anticipated to make future interest and or principal payments. The rate shown is the original contractual interest rate. See Note 1 of the accompanying Notes.

5. Represents the current interest rate for a variable or increasing rate security.

6. Is or was an affiliate, as defined in the Investment Company Act of 1940, at or during the period ended June 30, 2014, by virtue of the Fund owning at least 5% of the voting securities of the issuer or as a result of the Fund and the issuer having the same investment adviser. Transactions during the period in which the issuer was an affiliate are as follows:

Shares

Gross

Shares

December 31, 2013

Additions

Reductions

June 30, 2014

Oppenheimer Institutional Money Market Fund, Cl. E

59,001

1,023,421

1,033,590

48,832


	Value		Income

Oppenheimer Institutional Money Market Fund, Cl. E	$	48,832	$	18

7. Rate shown is the 7-day yield as of June 30, 2014.



Exchange-Traded Options Written at June 30, 2014
Description		Exercise Price		Expiration Date		Number of Contracts		Premiums Received		Value

Allegheny Technologies, Inc. Call	USD		42.500		7/19/14	USD	(5)	$	540	$	(1,400)

AT&T, Inc. Call	USD		37.000		7/19/14	USD	(10)		588		(10)

Baxter International, Inc. Put	USD		72.500		8/16/14	USD	(5)		808		(960)

Exxon Mobil Corp. Put	USD		97.500		8/16/14	USD	(5)		560		(610)

J.C. Penney Co., Inc. Put	USD		9.000		8/16/14	USD	(55)		12,152		(3,025)

J.C. Penney Co., Inc. Put	USD		9.000		7/19/14	USD	(5)		221		(135)

Louisiana-Pacific Corp. Put	USD		14.000		7/19/14	USD	(5)		320		(60)

Marathon Oil Corp. Put	USD		40.000		7/19/14	USD	(5)		323		(390)

MBIA, Inc. Put	USD		11.000		8/16/14	USD	(5)		215		(310)

MDC Holdings, Inc. Put	USD		29.000		7/19/14	USD	(5)		515		(100)

Pfizer, Inc. Put	USD		29.000		7/19/14	USD	(5)		206		(40)

Rite Aid Corp. Put	USD		7.000		7/19/14	USD	(5)		95		(75)

United Continental Holdings, Inc. Put	USD		40.000		7/19/14	USD	(5)		415		(540)

Walgreen Co. Put	USD		70.000		7/19/14	USD	(5)		396		(120)

Total of Exchange-Traded Options Written								$	17,354	$	(7,775)

See accompanying Notes to Financial Statements.

8 OPPENHEIMER EQUITY INCOME FUND/VA

STATEMENTOF ASSETS AND LIABILITIES June 30, 2014 Unaudited



Assets
Investments, at value—see accompanying statement of investments:
Unaffiliated companies (cost $10,042,798)	$	11,612,947
Affiliated companies (cost $48,832)		48,832

		11,661,779

Cash		5,954

Receivables and other assets:
Investments sold		60,077
Dividends		31,697
Shares of beneficial interest sold		2,057
Other		11,203

Total assets		11,772,767


Liabilities
Options written, at value (premiums received $17,354)		7,775

Payables and other liabilities:
Shares of beneficial interest redeemed		72,414
Investments purchased		71,649
Shareholder communications		9,933
Trustees’ compensation		9,710
Distribution and service plan fees		2,317
Other		6,950

Total liabilities		180,748

Net Assets	$	11,592,019



Composition of Net Assets
Par value of shares of beneficial interest	$	825

Additional paid-in capital		9,519,154

Accumulated net investment income		84,606

Accumulated net realized gain on investments		407,706

Net unrealized appreciation on investments		1,579,728

Net Assets	$	11,592,019



Net Asset Value Per Share
Non-Service Shares:
Net asset value, redemption price (excludes applicable contingent deferred sales charge) and offering price per share (based on net assets of $278,475 and 23,590 shares of beneficial interest outstanding)		$11.80

Service Shares:
Net asset value, redemption price (excludes applicable contingent deferred sales charge) and offering price per share (based on net assets of $11,313,544 and 801,733 shares of beneficial interest outstanding)		$14.11

See accompanying Notes to Financial Statements.

9 OPPENHEIMER EQUITY INCOME FUND/VA

STATEMENTOF OPERATIONS For the Six Months Ended June 30, 2014 Unaudited



Investment Income

Dividends:
Unaffiliated companies (net of foreign withholding taxes of $1,121)	$	160,472
Affiliated companies		18

Total investment income		160,490


Expenses
Management fees		41,148

Distribution and service plan fees - Service shares		13,418

Transfer and shareholder servicing agent fees:
Non-Service shares		119
Service shares		5,367

Shareholder communications:
Non-Service shares		142
Service shares		6,562

Custodian fees and expenses		707

Trustees’ compensation		4,885

Legal, auditing and other professional fees		17,717

Other		3,091

Total expenses		93,156
Less waivers and reimbursements of expenses		(35,841)

Net expenses		57,315


Net Investment Income		103,175


Realized and Unrealized Gain
Net realized gain on:
Investments from unaffiliated companies (including premiums on options exercised)		456,564
Closing and expiration of option contracts written		31,952

Net realized gain		488,516

Net change in unrealized appreciation/depreciation on:
Investments		308,826
Option contracts written		4,851

Net change in unrealized appreciation/depreciation		313,677


Net Increase in Net Assets Resulting from Operations	$	905,368

See accompanying Notes to Financial Statements.

10 OPPENHEIMER EQUITY INCOME FUND/VA

STATEMENTSOF CHANGES IN NET ASSETS


	Six Months Ended June 30, 2014 (Unaudited)		Year Ended December 31, 2013

Operations
Net investment income	$	103,175	$	155,694

Net realized gain		488,516		1,528,329

Net change in unrealized appreciation/depreciation		313,677		491,763

Net increase in net assets resulting from operations		905,368		2,175,786


Dividends and/or Distributions to Shareholders
Dividends from net investment income:
Non-Service shares		(4,861)		(2,605)
Service shares		(162,231)		(91,168)

		(167,092)		(93,773)


Distributions from net realized gain:
Non-Service shares		(12,986)		—
Service shares		(451,817)		—

		(464,803)		—


Beneficial Interest Transactions
Net increase in net assets resulting from beneficial interest transactions:
Non-Service shares		48,350		26,808
Service shares		181,467		1,928,572

		229,817		1,955,380


Net Assets
Total increase		503,290		4,037,393

Beginning of period		11,088,729		7,051,336


End of period (including accumulated net investment income of $84,606 and $148,523, respectively)	$	11,592,019	$	11,088,729

See accompanying Notes to Financial Statements.

11 OPPENHEIMER EQUITY INCOME FUND/VA

FINANCIAL HIGHLIGHTS


Non-Service Shares	Six Months Ended June 30, 2014 (Unaudited)		Year Ended December 31, 2013		Year Ended December 31, 2012		Year Ended December 30, 2011¹		Year Ended December 31, 2010		Year Ended December 31, 2009

Per Share Operating Data
Net asset value, beginning of period	$	11.64	$	9.15	$	8.00	$	8.49	$	7.22	$	4.99

Income (loss) from investment operations:
Net investment income²		0.12		0.21		0.16		0.15		0.11		0.11
Net realized and unrealized gain (loss)		0.85		2.42		1.11		(0.56)		1.24		2.14

Total from investment operations		0.97		2.63		1.27		(0.41)		1.35		2.25

Dividends and/or distributions to shareholders:
Dividends from net investment income		(0.22)		(0.14)		(0.12)		(0.08)		(0.08)		(0.02)
Distributions from net realized gain		(0.59)		0.00		0.00		0.00		0.00		0.00

Total dividends and/or distributions to shareholders		(0.81)		(0.14)		(0.12)		(0.08)		(0.08)		(0.02)

Net asset value, end of period	$	11.80	$	11.64	$	9.15	$	8.00	$	8.49	$	7.22



Total Return, at Net Asset Value³		8.41%		28.93%		16.08%		(4.93)%		18.85%		45.08%


Ratios/Supplemental Data
Net assets, end of period (in thousands)	$	278	$	227	$	154	$	104	$	92	$	38

Average net assets (in thousands)	$	242	$	195	$	132	$	101	$	57	$	20

Ratios to average net assets:⁴
Net investment income		2.11%		2.00%		1.82%		1.78%		1.46%		1.75%
Total expenses⁵		1.44%		1.64%		1.75%		1.83%		2.05%		2.30%
Expenses after payments, waivers and/or reimbursements and reduction to custodian expenses		0.79%		0.80%		0.80%		0.80%		0.57%		0.85%

Portfolio turnover rate		21%		159%		87%		86%		109%		122%

1. December 30, 2011 represents the last business day of the Fund’s reporting period.

2. Per share amounts calculated based on the average shares outstanding during the period.

4. Annualized for periods less than one full year.

5. Total expenses including indirect expenses from affiliated fund were as follows:


Six Months Ended June 30, 2014	1.44	%
Year Ended December 31, 2013	1.64	%
Year Ended December 31, 2012	1.75	%
Year Ended December 30, 2011	1.83	%
Year Ended December 31, 2010	2.05	%
Year Ended December 31, 2009	2.31	%

See accompanying Notes to Financial Statements.

12 OPPENHEIMER EQUITY INCOME FUND/VA

FINANCIAL HIGHLIGHTS Continued


Service Shares	Six Months Ended June 30, 2014 (Unaudited)		Year Ended December 31, 2013		Year Ended December 31, 2012		Year Ended December 30, 2011¹		Year Ended December 31, 2010		Year Ended December 31, 2009

Per Share Operating Data
Net asset value, beginning of period	$	13.78	$	10.83	$	9.69	$	10.23	$	8.99	$	6.79

Income (loss) from investment operations:
Net investment income²		0.13		0.22		0.13		0.11		0.08		0.09
Net realized and unrealized gain (loss)		1.00		2.87		1.13		(0.56)		1.24		2.12

Total from investment operations		1.13		3.09		1.26		(0.45)		1.32		2.21

Dividends and/or distributions to shareholders:
Dividends from net investment income		(0.21)		(0.14)		(0.12)		(0.09)		(0.08)		(0.01)
Distributions from net realized gain		(0.59)		0.00		0.00		0.00		0.00		0.00

Total dividends and/or distributions to shareholders		(0.80)		(0.14)		(0.12)		(0.09)		(0.08)		(0.01)

Net asset value, end of period	$	14.11	$	13.78	$	10.83	$	9.69	$	10.23	$	8.99



Total Return, at Net Asset Value³		8.27%		28.70%		13.09%		(4.48)%		14.81%		32.57%


Ratios/Supplemental Data
Net assets, end of period (in thousands)	$	11,314	$	10,862	$	6,897	$	6,885	$	7,311	$	7,505

Average net assets (in thousands)	$	10,883	$	8,549	$	7,095	$	7,449	$	7,008	$	5,501

Ratios to average net assets:⁴
Net investment income		1.86%		1.78%		1.26%		1.08%		0.85%		1.10%
Total expenses⁵		1.69%		1.89%		1.93%		1.90%		2.08%		2.17%
Expenses after payments, waivers and/or reimbursements and reduction to custodian expenses		1.04%		1.05%		1.04%		1.05%		0.93%		1.15%

Portfolio turnover rate		21%		159%		87%		86%		109%		122%

1. December 30, 2011 represents the last business day of the Fund’s reporting period.

2. Per share amounts calculated based on the average shares outstanding during the period.

4. Annualized for periods less than one full year.

5. Total expenses including indirect expenses from affiliated fund were as follows:


	Six Months Ended June 30, 2014	1.69	%
	Year Ended December 31, 2013	1.89	%
	Year Ended December 31, 2012	1.93	%
	Year Ended December 30, 2011	1.90	%
	Year Ended December 31, 2010	2.08	%
��	Year Ended December 31, 2009	2.18	%

See accompanying Notes to Financial Statements.

13 OPPENHEIMER EQUITY INCOME FUND/VA

NOTESTO FINANCIAL STATEMENTS June 30, 2014 Unaudited

1. Significant Accounting Policies

Oppenheimer Equity Income Fund/VA (the “Fund”), is a separate series of Oppenheimer Variable Account Funds, a diversified open-end management investment company registered under the Investment Company Act of 1940, as amended. The Fund’s investment objective is to seek total return. The Fund’s investment adviser is OFI Global Asset Management, Inc. (“OFI Global” or the “Manager”), a wholly-owned subsidiary of OppenheimerFunds, Inc. (“OFI” or the “Sub-Adviser”). The Manager has entered into a sub-advisory agreement with OFI. Shares of the Fund are sold only to separate accounts of life insurance companies.

The following is a summary of significant accounting policies consistently followed by the Fund.

During the fiscal year ended December 31, 2013, the Fund utilized $973,499 capital loss carryforward to offset capital gains realized in that fiscal year.

14 OPPENHEIMER EQUITY INCOME FUND/VA

1. Significant Accounting Policies (Continued)

appreciation or depreciation of securities and other investments, if applicable, is attributable to the tax deferral of losses or tax realization of financial statement unrealized gain or loss.


Federal tax cost of securities	$	10,163,119
Federal tax cost of other investments		(17,353)

Total federal tax cost	$	10,145,766

Gross unrealized appreciation	$	1,616,897
Gross unrealized depreciation		(108,659)

Net unrealized appreciation	$	1,508,238

Security Transactions. Security transactions are recorded on the trade date. Realized gains and losses on securities sold are determined on the basis of identified cost.

2. Securities Valuation

15 OPPENHEIMER EQUITY INCOME FUND/VA

NOTES TO FINANCIAL STATEMENTS Unaudited / Continued

2. Securities Valuation (Continued)

Valuation Methods and Inputs

Securities are valued using unadjusted quoted market prices, when available, as supplied primarily by third party pricing services or dealers.

The following methodologies are used to determine the market value or the fair value of the types of securities described below:

Shares of a registered investment company that are not traded on an exchange are valued at that investment company’s net asset value per share.

A description of the standard inputs that may generally be considered by the third party pricing vendors in determining their evaluated prices is provided below.


Security Type		Standard inputs generally considered by third-party pricing vendors
Corporate debt, government debt, municipal, mortgage-backed and asset-backed securities		Reported trade data, broker-dealer price quotations, benchmark yields, issuer spreads on comparable securities, the credit quality, yield, maturity, and other appropriate factors.
Loans		Information obtained from market participants regarding reported trade data and broker-dealer price quotations.
Event-linked bonds		Information obtained from market participants regarding reported trade data and broker-dealer price quotations.

Classifications

1) Level 1-unadjusted quoted prices in active markets for identical assets or liabilities (including securities actively traded on a securities exchange)

16 OPPENHEIMER EQUITY INCOME FUND/VA

2. Securities Valuation (Continued)

3) Level 3-significant unobservable inputs (including the Manager’s own judgments about assumptions that market participants would use in pricing the asset or liability).

The inputs used for valuing securities are not necessarily an indication of the risks associated with investing in those securities.

The table below categorizes amounts that are included in the Fund’s Statement of Assets and Liabilities as of June 30, 2014 based on valuation input level:


	Level 1— Unadjusted Quoted Prices		Level 2— Other Significant Observable Inputs		Level 3— Significant Unobservable Inputs		Value

Assets Table
Investments, at Value:
Common Stocks
Consumer Discretionary	$	1,699,890	$	—	$	—	$	1,699,890
Consumer Staples		480,468		—		—		480,468
Energy		1,361,488		—		—		1,361,488
Financials		2,751,189		—		—		2,751,189
Health Care		830,963		—		—		830,963
Industrials		451,927		—		—		451,927
Information Technology		874,762		—		—		874,762
Materials		641,521		—		—		641,521
Telecommunication Services		652,466		—		—		652,466
Utilities		293,853		—		—		293,853
Preferred Stocks		176,502		116,220		—		292,722
Non-Convertible Corporate Bonds and Notes		—		103,181		—		103,181
Convertible Corporate Bonds and Notes		—		943,872		—		943,872
Structured Securities		—		233,600		—		233,600
Exchange-Traded Options Purchased		1,045		—		—		1,045
Investment Company		48,832		—		—		48,832

Total Assets	$	10,264,906	$	1,396,873	$	—	$	11,661,779


Liabilities Table
Other Financial Instruments:
Options written, at value	$	—	$	(7,775)	$	—	$	(7,775)

Total Liabilities	$	—	$	(7,775)	$	—	$	(7,775)

Foreign currency exchange contracts and futures contracts, if any, are reported at their unrealized appreciation/ depreciation at measurement date, which represents the change in the contract’s value from trade date. All additional assets and liabilities included in the above table are reported at their market value at measurement date.

3. Shares of Beneficial Interest

The Fund has authorized an unlimited number of $0.001 par value shares of beneficial interest of each class. Transactions in shares of beneficial interest were as follows:


	Six Months Ended June 30, 2014						Year Ended December 31, 2013
	Shares			Amount			Shares			Amount

Non-Service Shares
Sold		3,736		$	44,466			4,307		$	45,267
Dividends and/or distributions reinvested		1,525			17,847			247			2,605
Redeemed		(1,190	)		(13,963	)		(1,926	)		(21,064)

Net increase		4,071		$	48,350			2,628		$	26,808



Service Shares
Sold		25,314		$	352,155			274,115		$	3,450,352
Dividends and/or distributions reinvested		43,892			614,048			7,299			91,168
Redeemed		(55,840	)		(784,736	)		(129,769	)		(1,612,948)

Net increase		13,366		$	181,467			151,645		$	1,928,572

4. Purchases and Sales of Securities

The aggregate cost of purchases and proceeds from sales of securities, other than short-term obligations and investments in IMMF, for the six months ended June 30, 2014 were as follows:


	Purchases		Sales

Investment securities		$2,318,616		$2,529,033

17 OPPENHEIMER EQUITY INCOME FUND/VA

NOTES TO FINANCIAL STATEMENTS Unaudited / Continued

5. Fees and Other Transactions with Affiliates

Management Fees. Under the investment advisory agreement, the Fund pays the Manager a management fee based on the daily net assets of the Fund at an annual rate as shown in the following table:


Fee Schedule
Up to $200 million	0.75	%
Next $200 million	0.72
Next $200 million	0.69
Next $200 million	0.66
Over $800 million	0.60

Waivers and Reimbursements of Expenses. The Manager has contractually agreed to limit the Fund’s expenses after payments, waivers and/or reimbursements and reduction to custodian expenses, excluding expenses incurred directly or indirectly by the Fund as a result of investments in other investment companies, wholly-owned subsidiaries and pooled investment vehicles; so that those expenses, as percentages of daily net assets, will not exceed the annual rate of 0.80% for Non-Service shares and 1.05% for Service shares. During the six months ended June 30, 2014, the Manager waived fees and/or reimbursed the Fund $776 and $35,042 for Non-Service and Service shares, respectively.

Some of these undertakings may be modified or terminated at any time; some may not be modified or terminated until after one year from the date of the current prospectus, as indicated therein.

6. Risk Exposures and the Use of Derivative Instruments

The Fund’s investment objectives not only permits the Fund to purchase investment securities, they also allows the Fund to enter into various types of derivatives contracts, including, but not limited to, futures contracts, forward currency exchange contracts, credit default swaps, interest rate swaps, total return swaps, variance swaps and purchased and written options. In doing so, the Fund will employ strategies in differing combinations to permit it to increase, decrease, or change the level or types of exposure to market risk factors. These instruments may allow the Fund to pursue its objectives more quickly and efficiently than if it were to make direct purchases or sales of securities capable of effecting a similar response to market factors. Such contracts may be entered into through a bilateral over-the-counter (“OTC”) transaction, or through a securities or futures exchange and cleared through a clearinghouse.

Market Risk Factors. In accordance with its investment objectives, the Fund may use derivatives to increase or decrease its exposure to one or more of the following market risk factors:

Commodity Risk. Commodity risk relates to the change in value of commodities or commodity indexes as they relate to increases or decreases in the commodities market. Commodities are physical assets that have tangible properties. Examples of these types of assets are crude oil, heating oil, metals, livestock, and agricultural products.

18 OPPENHEIMER EQUITY INCOME FUND/VA

6. Risk Exposures and the Use of Derivative Instruments (Continued)

Equity Risk. Equity risk relates to the change in value of equity securities as they relate to increases or decreases in the general market.

The Fund’s actual exposures to these market risk factors and associated risks during the period are discussed in further detail, by derivative type, below.

Option Activity

Options can be traded through an exchange or through a privately negotiated arrangement with a dealer in an OTC transaction. Options traded through an exchange are generally cleared through a clearinghouse (such as The Options Clearing Corporation). The difference between the premium received or paid, and market value of the option, is recorded as unrealized appreciation or depreciation. The net change in unrealized appreciation or depreciation is reported in the Statement of Operations. When an option is exercised, the cost of the security purchased or the proceeds of the security sale are adjusted by the amount of premium received or paid. Upon the expiration or closing of the option transaction, a gain or loss is reported in the Statement of Operations.

The Fund has purchased call options on individual equity securities and/or equity indexes to increase exposure to equity risk. A purchased call option becomes more valuable as the price of the underlying financial instrument appreciates relative to the strike price.

The Fund has purchased put options on individual equity securities and/or equity indexes to decrease exposure to equity risk. A purchased put option becomes more valuable as the price of the underlying financial instrument depreciates relative to the strike price.

During the six months ended June 30, 2014, the Fund had an ending monthly average market value of $340 on purchased put options.

Options written, if any, are reported in a schedule following the Statement of Investments and as a liability in the Statement of Assets and Liabilities. Securities held in collateral accounts to cover potential obligations with respect to outstanding written options are noted in the Statement of Investments.

The Fund has written put options on individual equity securities and/or equity indexes to increase exposure to equity risk. A written put option becomes more valuable as the price of the underlying financial instrument appreciates relative to the strike price.

The Fund has written call options on individual equity securities and/or equity indexes to decrease exposure to equity risk. A written call option becomes more valuable as the price of the underlying financial instrument depreciates relative to the strike price.

During the six months ended June 30, 2014, the Fund had an ending monthly average market value of $2,501 and $6,937 on written call options and written put options, respectively.

Additional associated risks to the Fund include counterparty credit risk and liquidity risk.

Written option activity for the six months ended June 30, 2014 was as follows:

19 OPPENHEIMER EQUITY INCOME FUND/VA

NOTES TO FINANCIAL STATEMENTS Unaudited / Continued

6. Risk Exposures and the Use of Derivative Instruments (Continued)


	Call Options					Put Options
	Number of Contracts			Amount of Premiums		Number of Contracts			Amount of Premiums

Options outstanding as of December 31, 2013		25		$	2,744		85		$	6,599
Options written		281			20,864		397			44,779
Options closed or expired		(217	)		(15,730)		(195	)		(16,222)
Options exercised		(74	)		(6,750)		(177	)		(18,930)

Options outstanding as of June 30, 2014		15		$	1,128		110		$	16,226

The following table presents the valuations of derivative instruments by risk exposure as reported within the Statement of Assets and Liabilities as of June 30, 2014:

Asset Derivatives

Liability Derivatives

Derivatives Not Accounted for as

Hedging Instruments

Statement of Assets and Liabilities

Location

Value

Statement of Assets and Liabilities

Location

Value

Equity contracts

Investments, at value

1,045^*

Options written, at value

7,775

*Amounts relate to purchased option contracts.

The effect of derivative instruments on the Statement of Operations is as follows:


Amount of Realized Gain or (Loss) Recognized on Derivatives

Derivatives Not Accounted for as Hedging Instruments	Investment from unaffiliated companies*		Closing and expiration of option contracts written		Total

Equity contracts	$	(4,458)	$	31,952	$	27,494

*Includes purchased option contracts, purchased swaption contracts and written option contracts exercised, if any.

20 OPPENHEIMER EQUITY INCOME FUND/VA

6. Risk Exposures and the Use of Derivative Instruments (Continued)


Amount of Change in Unrealized Gain or (Loss) Recognized on Derivatives

Derivatives Not Accounted for as Hedging Instruments	Investments*		Option contracts written		Total

Equity contracts	$	(118)	$	4,851	$	4,733

*Includes purchased option contracts and purchased swaption contracts, if any.

7. Pending Litigation

21 OPPENHEIMER EQUITY INCOME FUND/VA

PORTFOLIO PROXY VOTING POLICIES AND PROCEDURES; UPDATES TO STATEMENTS OF INVESTMENTS Unaudited

22 OPPENHEIMER EQUITY INCOME FUND/VA

THIS PAGE INTENTIONALLY LEFT BLANK.

23 OPPENHEIMER EQUITY INCOME FUND/VA

OPPENHEIMER EQUITY INCOME FUND/VA

A Series of Oppenheimer Variable Account Funds


Trustees and Officers		Sam Freedman, Chairman of the Board of Trustees and Trustee
		Edward L. Cameron, Trustee
		Jon S. Fossel, Trustee
		Richard F. Grabish, Trustee
		Beverly L. Hamilton, Trustee
		Victoria J. Herget, Trustee
		Robert J. Malone, Trustee
		F. William Marshall, Jr., Trustee
		Karen L. Stuckey, Trustee
		James D. Vaughn, Trustee
		William F. Glavin, Jr., Trustee, President and Principal Executive Officer
		Michael S. Levine, Vice President
		Arthur S. Gabinet, Secretary and Chief Legal Officer
		Christina M. Nasta, Vice President and Chief Business Officer
		Mary Ann Picciotto, Chief Compliance Officer and Chief Anti-Money Laundering Officer
		Brian W. Wixted, Treasurer and Principal Financial & Accounting Officer

Manager		OFI Global Asset Management, Inc.

Sub-Adviser		OppenheimerFunds, Inc.

Distributor		OppenheimerFunds Distributor, Inc.

Transfer and		OFI Global Asset Management, Inc.
Shareholder
Servicing Agent

Sub-Transfer Agent		Shareholder Services, Inc.
		DBA OppenheimerFunds Services

Independent		KPMG LLP
Registered
Public
Accounting
Firm

Counsel		K&L Gates LLP

		Before investing in any of the Oppenheimer funds, investors should carefully consider a fund’s investment objectives, risks, charges and expenses. Fund prospectuses and summary prospectuses contain this and other information about the funds and may be obtained by asking your financial advisor, visiting oppenheimerfunds.com or calling us at 1.800.988.8287. Read prospectuses and summary prospectuses carefully before investing. The financial statements included herein have been taken from the records of the Fund without examination of those records by the independent registered public accounting firm. ^© 2014 OppenheimerFunds, Inc. All rights reserved. Oppenheimer funds are distributed by OppenheimerFunds Distributor, Inc.

LOGO


June 30, 2014
	Oppenheimer Diversified Alternatives Fund/VA A Series of Oppenheimer Variable Account Funds	Semiannual Report

	SEMIANNUAL REPORT Listing of Top Holdings Fund Performance Discussion Financial Statements

LOGO

Portfolio Managers: Mark Hamilton; David Wharmby, CFA;

Brian Watson, CFA; Benjamin Rockmuller, CFA; and Dokyoung Lee¹

Performance data quoted represents past performance, which does not guarantee future results. The investment return and principal value of an investment in the Fund will fluctuate so that an investor’s shares, when redeemed, may be worth more or less than their original cost. Current performance may be lower or higher than the performance quoted. For performance data current to the most recent month end, call us at 1.800.988.8287. The Fund’s total returns should not be expected to be the same as the returns of other funds, whether or not both funds have the same portfolio managers and/or similar names. The Fund’s total returns include changes in share price and reinvested distributions but do not include the charges associated with the separate account products that offer this Fund. Such performance would have been lower if such charges were taken into account.

1. Benjamin Rockmuller and Dokyoung Lee became Portfolio Managers in April 2014.

TOP TEN COMMON STOCK HOLDINGS


Energy Transfer Equity LP		1.0%
Enterprise Products Partners LP		0.8
Plains All American Pipeline LP		0.7
Regency Energy Partners LP		0.7
Sunoco Logistics Partners LP		0.6
Simon Property Group, Inc.		0.6
Magellan Midstream Partners LP		0.6
TC PipeLines LP		0.5
EQT Midstream Partners LP		0.5
Mitsui Fudosan Co. Ltd.		0.5

Portfolio holdings and allocations are subject to change. Percentages are as of June 30, 2014, and are based on net assets. For more current Fund holdings, please visit oppenheimerfunds.com.

SECTOR ALLOCATION

LOGO

Portfolio holdings and allocations are subject to change. Percentages are as of June 30, 2014, and are based on the total market value of common stocks.

2 OPPENHEIMER DIVERSIFIED ALTERNATIVES FUND/VA

Fund Performance Discussion

During the six-month reporting period ended June 30, 2014, the Fund’s Non-Service shares produced a return of 8.78%. In comparison, the Barclays U.S. Aggregate Bond Index returned 3.93% during the same period. The Fund’s outperformance occurred in a period when several of the alternative asset classes the Fund invests in outperformed the broader fixed income markets.

MARKET OVERVIEW

The global economy in general started 2014 with continued slow and steady growth throughout the developed world. However, the U.S. economy weakened in the first quarter due in part to cold weather effects across much of the country. The yield on the 10-Year U.S. Treasury fell in the first quarter, and the U.S. dollar remained somewhat weak, falling against 10 out of 16 currencies of the largest U.S. trading partners. Growth in the Eurozone remained anemic, and the outlook for China softened a bit on the back of weaker economic data. These developments resulted in heightened volatility across multiple asset classes to begin the year.

Economic data in the U.S. generally strengthened over the second half of the reporting period. The unemployment rate fell to 6.3% from 6.7%, the economy finally regained all of the jobs lost during the 2008 recession, and the U.S. stock market achieved record highs. In June, the Federal Reserve (the “Fed”) also stated it would continue with its tapering strategy and reaffirmed its intention to keep short-term interest rates near zero. Shortly after the reporting period ended, a positive June jobs report was released, in which the official unemployment rate fell to 6.1%, its lowest level since September 2008. Over the second half of the reporting period, the Eurozone continued to struggle with very low inflation and weak bank lending. In response, the European Central Bank (the “ECB”) announced numerous measures designed to bolster the markets. They included a benchmark interest rate cut and the introduction of a negative deposit rate to encourage banks to lend, among other measures. Beyond that, the ECB said it would prepare to purchase packages of loans from banks to allow for increased lending. In Japan, the Bank of Japan (the “BoJ”) also maintained highly accommodative monetary policies.

Against this backdrop, global equities generally rallied through the end of the reporting period. However, several emerging market countries continued to face the triple threat of inflation, slowing growth and foreign capital flight, and resorted to hiking interest rates in an effort to address economic problems at home. Under circumstances where many central banks around the world are maintaining highly accommodative monetary policies, interest rates are close to zero and policymakers face budget deficits and unfunded entitlements far into the future, we believe a diversified approach to portfolio construction can help investors manage a host of macroeconomic risks that haven’t gone away.

FUND REVIEW

During the reporting period, the Fund’s allocation to gold and precious metals equities benefited performance. After falling sharply in 2013, gold prices rose during the reporting period. This, combined with falling real interest rates, turmoil in the Middle East and elsewhere, and a renewed focus on geopolitical risks, helped support both gold and the gold mining equities. Top performing stocks for the Fund included Royal Gold, Inc., Randgold Resources Ltd. and Franco-Nevada Corp.

The Fund’s exposure to master limited partnership (“MLPs”) also contributed to performance as MLPs rallied during the second half of the reporting period. A top performing holding in this area included Energy Transfer Equity LP, which benefited from acquisition activity at Regency Energy Partners LP and Energy Transfer Partners LP, two of the partnership’s operating affiliates. We believe investor interest in distributions remains strong in a low-yield world, and MLPs are positioned to benefit from the infrastructure build-out necessary to bring both shale oil and gas to market.

In addition, the Fund’s allocation to global real estate contributed positively to performance. We have a procyclical tilt to the portfolio, which we believe can perform well if global growth improves during the rest of 2014. Many investors remain interested in attractive yields, and we believe the combination of an improving global economy, falling unemployment, growing demand for commercial real estate, tight supply and accommodative monetary policies should be positive for the asset class.

The primary detractor from performance this reporting period was the Fund’s exposure to commodities, which we source through commodity futures, options, swaps and structured notes as well as U.S. Government and other fixed income securities. Our term structure strategies, where we select which parts of the futures curves to invest in, were the largest detractors. Simply put, weather was extreme in North America this winter, with the West and Southwest of the U.S. suffering record heat while near record cold gripped much of the rest of the country. The impact weather had on curve dynamics was apparent in our performance during the first quarter of 2014. The front of the curve outperformed deferred contracts in energy, agriculture, and livestock commodities. Our

3 OPPENHEIMER DIVERSIFIED ALTERNATIVES FUND/VA

strategies, which are designed to be less volatile and collect the more stable roll yield of these deferred contracts, detracted from performance in the bullish environment driven by weather and investment flows.

More broadly, early in the reporting period we adjusted the Fund’s allocations in an effort to improve diversification, lower volatility and reduce both equity and interest rate sensitivity. These adjustments included reducing exposure to real estate, MLPs, and gold miners while increasing exposure to senior bank loans, event linked bonds and alpha alternatives.

STRATEGY & OUTLOOK

In our view, the key macro factors that help drive performance of the alternative asset classes in which we invest remain in place, including accommodative monetary policies in the U.S. and around the world, competitive currency debasement, near zero interest rates and geopolitical turmoil. At the same time, valuations for these asset classes are mixed. The strong bull market in U.S. equities over the last five years has given way to more measured returns year to date, intermittent spikes in volatility and a more challenging market environment. We believe a dominant investment theme in 2013 was concentrating risk as greater exposure to equities, higher beta securities and smaller market capitalization companies generally led to better performance. For the rest of 2014, we believe that diversifying risk, controlling volatility and managing the downside will be the winning strategy. Because the Fund is comprised of a number of different alternative asset classes, with their diversifying properties as well as their potential for generating attractive total returns, we believe it can play an important role in investors’ portfolios.

The Fund’s investment strategy and focus can change over time. The mention of specific fund holdings does not constitute a recommendation by OppenheimerFunds, Inc. or its affiliates.

4 OPPENHEIMER DIVERSIFIED ALTERNATIVES FUND/VA

Fund Expenses

The examples are based on an investment of $1,000.00 invested at the beginning of the period and held for the entire 6-month period ended June 30, 2014.

Hypothetical Example for Comparison Purposes.


Actual	Beginning Account Value January 1, 2014		Ending Account Value June 30, 2014		Expenses Paid During 6 Months Ended June 30, 2014
Non-Service shares	$	1,000.00	$	1,087.80	$	5.81
Service shares		1,000.00		1,087.70		7.22

Hypothetical
(5% return before expenses)
Non-Service shares		1,000.00		1,019.24		5.62
Service shares		1,000.00		1,017.90		6.98

The expense ratios reflect voluntary and/or contractual waivers and/or reimbursements of expenses by the Fund’s Manager. Some of these undertakings may be modified or terminated at any time, as indicated in the Fund’s prospectus. The “Consolidated Financial Highlights” tables in the Fund’s financial statements, included in this report, also show the gross expense ratios, without such waivers or reimbursements and reduction to custodian expenses, if applicable.

5 OPPENHEIMER DIVERSIFIED ALTERNATIVES FUND/VA

CONSOLIDATED STATEMENT OF INVESTMENTS June 30, 2014 Unaudited


	Shares		Value
Common Stocks—26.1%
Consumer Discretionary—0.1%
Hotels, Restaurants & Leisure—0.1%
PokerTek, Inc.¹		52,807	$	69,705

Media—0.0%
mktg, inc.¹		25,645		67,446

Specialty Retail—0.0%
Hastings Entertainment, Inc.¹		8,471		24,990

Energy—10.8%
Energy Equipment & Services—0.5%
Seadrill Partners LLC		15,796		523,795

Oil, Gas & Consumable Fuels—10.3%
Access Midstream Partners LP		5,635		358,104
Buckeye Partners LP		5,645		468,874
DCP Midstream Partners LP²		8,955		510,435
Energy Transfer Equity LP²		18,770		1,106,304
Enterprise Products Partners LP		12,575		984,497
EQT Midstream Partners LP		5,780		559,157
Genesis Energy LP		7,595		425,624
Holly Energy Partners LP²		8,875		305,211
Magellan Midstream Partners LP		7,860		660,555
MarkWest Energy Partners LP		6,995		500,702
NGL Energy Partners LP²		8,395		363,839
NuStar Energy LP		1,635		101,386
NuStar GP Holdings LLC		4,250		166,218
ONEOK Partners LP		6,160		360,976
ONEOK, Inc.		4,690		319,295
Plains All American Pipeline LP		14,085		845,804
Regency Energy Partners LP²		25,565		823,449
Spectra Energy Partners LP		5,335		284,622
Summit Midstream Partners LP		3,125		158,906
Sunoco Logistics Partners LP		15,210		716,543
Targa Resources Partners LP		5,770		414,978
TC PipeLines LP		10,990		567,743
Tesoro Logistics LP		3,550		260,570
TransMontaigne Partners LP		4,590		200,813
Western Gas Partners LP		2,870		219,498
Williams Partners LP		7,245		393,331
				12,077,434

Financials—9.3%
Capital Markets—0.0%
Goldman Sachs Group, Inc. (The)		196		32,818

Commercial Banks—0.1%
Centrix Bank & Trust¹		855		34,756
First Mountain Bank¹		7,860		68,382
				103,138

Insurance—0.1%
Protective Life Corp.		1,007		69,815

Real Estate Investment Trusts (REITs)—7.0%
Acadia Realty Trust		5,750		161,517
Alexandria Real Estate Equities, Inc.		960		74,534
Alstria Office REIT AG		9,574		126,798
American Campus Communities, Inc.		5,970		228,293
Ascendas Real Estate Investment Trust		62,000		114,394
AvalonBay Communities, Inc.		741		105,363
Boston Properties, Inc.		1,720		203,269
British Land Co. plc		4,130		49,611
Canadian Real Estate Investment Trust		1,706		73,529
CapitaMall Trust		52,000		82,390
Charter Hall Retail REIT		22,300		81,618
Chesapeake Lodging Trust		7,830		236,701
Corio NV		1,371		70,032
Cousins Properties, Inc.		6,660		82,917
CubeSmart		8,680		159,018


	Shares		Value
Real Estate Investment Trusts (REITs) (Continued)
Derwent London plc		3,060	$	140,122
Douglas Emmett, Inc.		5,020		141,664
Education Realty Trust, Inc.		16,850		180,969
Equity Residential		2,090		131,670
Essex Property Trust, Inc.		1,430		264,421
Eurocommercial Properties NV		1,787		88,111
Extra Space Storage, Inc.		5,370		285,952
FelCor Lodging Trust, Inc.		12,210		128,327
First Industrial Realty Trust, Inc.		4,540		85,534
General Growth Properties, Inc.		8,060		189,894
Glimcher Realty Trust		5,990		64,872
GLP J-Reit		117		131,039
GPT Group (The)		31,000		112,278
Great Portland Estates plc		13,380		147,994
Hammerson plc		13,580		134,672
Highwoods Properties, Inc.		4,340		182,063
Host Hotels & Resorts, Inc.		12,552		276,269
Hudson Pacific Properties, Inc.		7,810		197,905
Industrial & Infrastructure Fund Investment Corp.		7		62,685
Kilroy Realty Corp.		1,910		118,955
Kimco Realty Corp.		2,940		67,561
Kite Realty Group Trust		16,940		104,012
Klepierre		2,230		113,642
Land Securities Group plc		9,500		168,252
LaSalle Hotel Properties		3,810		134,455
Link REIT (The)		12,500		67,257
Mirvac Group		57,131		96,205
Morguard Real Estate Investment Trust		3,650		60,751
Prologis, Inc.		2,530		103,958
Ramco-Gershenson Properties Trust		6,140		102,047
Regency Centers Corp.		2,990		166,483
Sabra Health Care REIT, Inc.		2,130		61,152
Scentre Group¹		30,153		90,985
Simon Property Group, Inc.		4,160		691,725
STAG Industrial, Inc.		3,345		80,313
Stockland		28,400		103,944
Tanger Factory Outlet Centers, Inc.		3,160		110,505
UDR, Inc.		5,349		153,142
Unibail-Rodamco SE		1,350		392,322
Vastned Retail NV		1,192		60,702
Vornado Realty Trust		1,720		183,576
Washington Prime Group, Inc.¹		2,080		38,979
Westfield Corp.		24,200		163,254
				8,230,602


Real Estate Management & Development—2.0%
CapitaLand Ltd.		60,000		153,989
China Overseas Land & Investment Ltd.		32,000		77,619
China Resources Land Ltd.		38,000		69,704
Daiwa House Industry Co. Ltd.		6,000		124,595
Global Logistic Properties Ltd.		29,000		62,799
Hang Lung Properties Ltd.		38,000		117,205
Helical Bar plc		10,940		65,532
Hufvudstaden AB, Cl. A		5,302		74,366
Keppel Land Ltd.		27,000		73,214
Mitsubishi Estate Co. Ltd.		7,100		175,661
Mitsui Fudosan Co. Ltd.		16,000		541,067
Sino Land Co. Ltd.		74,000		121,592
St. Modwen Properties plc		10,290		63,279
Sumitomo Realty & Development Co. Ltd.		6,400		275,379
Sun Hung Kai Properties Ltd.		13,000		178,512
Unite Group plc (The)		8,670		58,411
Wharf Holdings Ltd.		24,000		173,524
				2,406,448


Thrifts & Mortgage Finance—0.1%
SP Bancorp, Inc.¹		2,390		68,952

6 OPPENHEIMER DIVERSIFIED ALTERNATIVES FUND/VA


	Shares		Value
Health Care—0.3%
Biotechnology—0.1%
Chelsea Therapeutics, Inc.¹		10,531	$	—
Idenix Pharmaceuticals, Inc.¹		2,907		70,059
				70,059

Health Care Equipment & Supplies—0.1%
Medical Action Industries, Inc.¹		5,203		71,437

Health Care Providers & Services—0.1%
Capital Senior Living Corp.¹		2,860		68,182
Chindex International, Inc.¹		1,778		42,121
Gentiva Health Services, Inc.¹		742		11,175
				121,478

Life Sciences Tools & Services—0.0%
Furiex Pharmaceuticals, Inc.¹		636		67,530

Pharmaceuticals—0.0%
Teva Pharmaceutical Industries Ltd.¹		10		—

Information Technology—0.3%
Electronic Equipment, Instruments, & Components—0.1%
Aeroflex Holding Corp.¹		6,732		70,686

Semiconductors & Semiconductor Equipment—0.1%
Hittite Microwave Corp.		912		71,091
PLX Technology, Inc.¹		11,060		71,558
				142,649

Software—0.1%
MICROS Systems, Inc.¹		1,055		71,634

Materials—5.1%
Chemicals—0.0%
PetroLogistics LP		4,924		70,709

Metals & Mining—5.1%
Agnico Eagle Mines Ltd.		5,800		222,140
Alamos Gold, Inc.		13,182		133,348
Allied Nevada Gold Corp.¹		2,720		10,227
AngloGold Ashanti Ltd., Sponsored ADR¹		1,692		29,119
Argonaut Gold, Inc.¹		17,171		71,127
Asanko Gold, Inc.¹		1,714		4,465
AuRico Gold, Inc.		13,970		59,512
B2Gold Corp.¹		79,083		230,559
Barrick Gold Corp.		220		4,026
Beadell Resources Ltd.¹		60,400		35,325
Centamin plc¹		12,373		13,544
Centerra Gold, Inc.		21,307		134,386
Continental Gold Ltd.¹		13,770		45,167
Detour Gold Corp.¹		12,573		172,031
Dominion Diamond Corp.¹		1,070		15,461
Duluth Metals Ltd.¹		15,101		8,350
Eldorado Gold Corp.³		28,698		219,461
Eldorado Gold Corp.³		18,980		145,007
First Majestic Silver Corp.¹		7,831		84,618
First Quantum Minerals Ltd.		3,010		64,372
Franco-Nevada Corp.		6,410		367,549
Freeport-McMoRan Copper & Gold, Inc.		80		2,920
Fresnillo plc		11,410		170,118
Gold Standard Ventures Corp.¹		8,440		6,668
Goldcorp, Inc.		11,640		324,872
IAMGOLD Corp.		32,920		135,630
Ivanhoe Mines Ltd., Cl. A¹		24,841		31,661
Ivanhoe Mines Ltd., Legend Shares, Cl. A¹		8,660		11,038	��
Kinross Gold Corp.¹		18,440		76,342
Klondex Mines Ltd.¹		13,979		26,201
Koza Altin Isletmeleri AS		9,131		104,309
Lake Shore Gold Corp.¹		73,516		66,830
Lundin Mining Corp.¹		6,483		35,664


		Shares		Value
Metals & Mining (Continued)
MAG Silver Corp.¹			5,699	$	53,890
McEwen Mining, Inc.¹			8,050		23,184
Nevsun Resources Ltd.			29,890		112,087
New Gold, Inc.^1,3			28,698		182,077
New Gold, Inc.^1,3			20,710		131,923
Newcrest Mining Ltd.¹			5,900		59,676
Newmont Mining Corp.			1,220		31,037
Northern Star Resources Ltd.			24,500		29,643
Novagold Resources, Inc.¹			9,830		41,384
OceanaGold Corp.¹			12,784		39,656
Orocobre Ltd.¹			4,200		8,956
Osisko Gold Royalties Ltd.¹			2,431		36,565
Pan American Silver Corp.			3,460		53,111
Papillon Resources Ltd.¹			8,400		15,363
Polymetal International plc			9,140		90,370
Pretium Resources, Inc.¹			2,553		21,126
Primero Mining Corp.¹			21,263		170,375
Primero Mining Corp., Legend Shares^1,4			2,492		19,968
Randgold Resources Ltd., ADR			4,710		398,466
Regis Resources Ltd.			23,200		36,474
Rio Alto Mining Ltd.¹			25,955		60,324
Romarco Minerals, Inc.¹			127,145		106,048
Royal Gold, Inc.²			4,270		325,032
Rubicon Minerals Corp.¹			12,155		17,998
Sandstorm Gold Ltd.¹			3,380		23,390
SEMAFO, Inc.¹			21,926		102,947
Sibanye Gold Ltd., Sponsored ADR			5,430		59,893
Silver Wheaton Corp.			10,200		267,954
Tahoe Resources, Inc.¹			4,500		117,900
Torex Gold Resources, Inc.¹			20,299		31,008
Turquoise Hill Resources Ltd.¹			6,532		21,817
Yamana Gold, Inc.			20,810		171,058
					5,922,747

Telecommunication Services—0.1%
Diversified Telecommunication Services—0.1%
Cbeyond, Inc.¹			7,010		69,750

Utilities—0.1%
Electric Utilities—0.1%
Pepco Holdings, Inc.			2,556		70,239

Gas Utilities—0.0%
Sino Gas International Holdings, Inc.¹			27,782		33,894

Independent Power and Renewable Electricity Producers—0.0%
EME Reorganization Trust¹			52,072		8,284
NRG Energy, Inc.			171		6,370
					14,654
Total Common Stocks (Cost $26,052,564)					30,472,609

			Units
Rights, Warrants and Certificates—0.0%
Ivanhoe Mines Ltd., Cl. A Wts., Strike Price
1.80CAD, 12/10/15¹			8,660		1,623
Sun Hung Kai Properties Ltd. Wts., Strike Price
98.60HKD, 4/22/16, 0%¹			1,098		1,434
Total Rights, Warrants and Certificates (Cost $1,257)					3,057

			Principal Amount
Foreign Government Obligations—3.2%
Brazil—0.5%
Federative Republic of Brazil Letra Tesouro Nacional Treasury Bills, 11.13%, 1/1/15	BRL		1,270,000		544,596

7 OPPENHEIMER DIVERSIFIED ALTERNATIVES FUND/VA

CONSOLIDATED STATEMENT OF INVESTMENTS Unaudited / Continued


	Principal Amount		Value
Malaysia—0.3%
Malaysia Sr. Unsec. Bonds, 3.197%, 10/15/15	MYR	1,295,000	$	403,555

Singapore—0.5%
Republic of Singapore Sr. Unsec. Bonds, 0.25%, 2/1/15	SGD	665,000		533,212

South Korea—1.9%
Republic of South Korea Treasury Bonds:
2.75%, 12/10/15	KRW	954,000,000		944,763
3.25%, 6/10/15	KRW	1,289,000,000		1,281,722
				2,226,485
Total Foreign Government Obligations (Cost $3,556,452)				3,707,848

Non-Convertible Corporate Bonds and Notes—6.5%
Access Midstream Partners LP/ACMP Finance Corp., 4.875% Sr. Unsec. Nts., 5/15/23		50,000		52,937
Activision Blizzard, Inc., 5.625% Sr. Unsec. Nts., 9/15/21⁵		50,000		54,000
Alcatel-Lucent USA, Inc., 6.45% Sr. Unsec. Nts., 3/15/29		100,000		99,500
Alliance Oil Co. Ltd., 9.875% Sr. Unsec. Nts., 3/11/15⁵		200,000		204,760
AngloGold Ashanti Holdings plc, 8.50% Sr. Unsec. Nts., 7/30/20		100,000		112,375
Arch Coal, Inc., 7.25% Sr. Unsec. Nts., 6/15/21		50,000		36,750
Audatex North America, Inc., 6% Sr. Unsec. Nts., 6/15/21⁴		50,000		53,625
Avaya, Inc., 7% Sr. Sec. Nts., 4/1/19⁵		100,000		100,500
Banco BMG SA, 8.875% Sub. Nts., 8/5/20⁵		100,000		106,250
Banco Panamericano SA, 8.50% Sub. Nts., 4/23/20⁵		100,000		109,764
Bancolombia SA, 5.125% Unsec. Sub. Nts., 9/11/22		50,000		50,530
Biomet, Inc., 6.50% Sr. Unsec. Nts., 8/1/20		100,000		108,250
BMC Software Finance, Inc., 8.125% Sr. Unsec. Nts., 7/15/21⁵		50,000		51,687
Bombardier, Inc., 6.125% Sr. Nts., 1/15/23⁵		100,000		103,500
Caesars Entertainment Operating Co., Inc., 10% Sec. Nts., 12/15/18		50,000		19,188
CCO Holdings LLC/CCO Holdings Capital Corp., 6.50% Sr. Unsec. Nts., 4/30/21		100,000		106,875
Cemex Finance LLC, 6% Sr. Sec. Nts., 4/1/24⁵		150,000		156,562
CenturyLink, Inc., 5.80% Sr. Unsec. Nts., 3/15/22		100,000		104,625
Cequel Communications Holdings I LLC/Cequel Capital Corp., 6.375% Sr. Unsec. Nts., 9/15/20⁵		100,000		106,750
CHC Helicopter SA, 9.25% Sr. Sec. Nts., 10/15/20		90,000		98,550
CHS/Community Health Systems, Inc., 8% Sr. Unsec. Nts., 11/15/19		100,000		109,750
Claire’s Stores, Inc., 9% Sr. Sec. Nts., 3/15/19⁵		50,000		52,437
Clear Channel Communications, Inc., 9% Sr. Sec. Nts., 3/1/21		100,000		107,375
Country Garden Holdings Co. Ltd., 7.875% Sr. Unsec. Nts., 5/27/19⁵		100,000		104,130
Crown Castle International Corp., 5.25% Sr. Unsec. Nts., 1/15/23		100,000		104,750
CSN Resources SA, 6.50% Sr. Unsec. Nts., 7/21/20⁵		200,000		208,000
DaVita HealthCare Partners, Inc., 5.75% Sr. Unsec. Nts., 8/15/22		100,000		107,250
Denali Borrower LLC/Denali Finance Corp., 5.625% Sr. Sec. Nts., 10/15/20⁵		100,000		106,250
Denbury Resources, Inc., 4.625% Sr. Sub. Nts., 7/15/23		100,000		97,521
DISH DBS Corp., 5.875% Sr. Unsec. Nts., 7/15/22		100,000		108,750


	Principal Amount		Value
Non-Convertible Corporate Bonds and Notes (Continued)
Energy Future Intermediate Holding Co. LLC/EFIH Finance, Inc., 10% Sr. Sec. Nts., 12/1/20⁶	$	50,000	$	53,375
Energy Transfer Equity LP, 7.50% Sr. Sec. Nts., 10/15/20		50,000		58,000
EP Energy LLC/EP Energy Finance, Inc., 9.375% Sr. Unsec. Nts., 5/1/20		50,000		57,500
Ferrexpo Finance plc, 7.875% Sr. Unsec. Nts., 4/7/16⁵		200,000		195,000
First Data Corp., 12.625% Sr. Unsec. Nts., 1/15/21		50,000		61,687
First Quantum Minerals Ltd.:
6.75% Sr. Unsec. Nts., 2/15/20⁵		28,000		28,980
7.00% Sr. Unsec. Nts., 2/15/21⁵		328,000		339,070
FirstEnergy Corp., 7.375% Sr. Unsec. Nts., 11/15/31		50,000		59,176
Frontier Communications Corp., 8.50% Sr. Unsec. Nts., 4/15/20		100,000		118,500
Halcon Resources Corp., 8.875% Sr. Unsec. Nts., 5/15/21		100,000		108,000
HD Supply, Inc., 7.50% Sr. Unsec. Nts., 7/15/20		50,000		54,875
Hexion US Finance Corp./Hexion Nova Scotia Finance ULC, 8.875% Sr. Sec. Nts., 2/1/18		50,000		52,125
Icahn Enterprises LP/Icahn Enterprises Finance Corp., 5.875% Sr. Unsec. Nts., 2/1/22		100,000		105,250
ICICI Bank Ltd., 6.375% Jr. Sub. Nts., 4/30/22^5,7		100,000		104,000
Infor US, Inc., 9.375% Sr. Unsec. Nts., 4/1/19		50,000		55,875
International Lease Finance Corp., 8.75% Sr. Unsec. Nts., 3/15/17		50,000		58,219
Kaisa Group Holdings Ltd., 8.875% Sr. Unsec. Nts., 3/19/18⁵		200,000		206,500
Kinetic Concepts, Inc./KCI USA, Inc., 10.50% Sec. Nts., 11/1/18		50,000		56,625
Laureate Education, Inc., 9.25% Sr. Unsec. Nts., 9/1/19⁵		50,000		51,750
Level 3 Financing, Inc., 8.125% Sr. Unsec. Nts., 7/1/19		100,000		109,625
Linn Energy LLC/Linn Energy Finance Corp., 8.625% Sr. Unsec. Nts., 4/15/20		100,000		108,500
MGM Resorts International, 7.75% Sr. Unsec. Nts., 3/15/22		100,000		117,500
MHP SA, 8.25% Sr. Unsec. Nts., 4/2/20⁵		200,000		186,040
Mobile Telesystems OJSC via MTS International Funding Ltd., 5% Sr. Unsec. Nts., 5/30/23⁵		200,000		195,250
Momentive Performance Materials, Inc., 8.875% Sr. Sec. Nts., 10/15/20		100,000		107,250
Navient Corp., 8.45% Sr. Unsec. Nts., 6/15/18		50,000		59,219
Navistar International Corp., 8.25% Sr. Unsec. Nts., 11/1/21		100,000		104,750
NGPL PipeCo LLC, 7.119% Sr. Sec. Nts., 12/15/17⁵		50,000		51,000
NII Capital Corp., 7.625% Sr. Unsec. Nts., 4/1/21		50,000		14,625
Novelis, Inc., 8.75% Sr. Unsec. Nts., 12/15/20		50,000		55,750
Offshore Group Investment Ltd., 7.50% Sr. Sec. Nts., 11/1/19		50,000		53,125
Petroleos de Venezuela SA, 12.75% Sr. Unsec. Nts., 2/17/22⁵		100,000		101,375
Post Holdings, Inc., 7.375% Sr. Unsec. Nts., 2/15/22		100,000		108,500
Reynolds Group Issuer, Inc./Reynolds Group Issuer LLC/Reynolds Group Issuer Luxembourg SA, 5.75% Sr. Sec. Nts., 10/15/20		50,000		53,000
Royal Bank of Scotland Group plc, 6.125% Sub. Nts., 12/15/22		50,000		54,843
Sabine Pass Liquefaction LLC, 5.625% Sr. Sec. Nts., 2/1/21		100,000		106,250
Samson Investment Co., 10.75% Sr. Unsec. Nts., 2/15/20⁵		50,000		52,938
SandRidge Energy, Inc., 7.51% Sr. Unsec. Nts., 3/15/21		100,000		108,875
Sears Holdings Corp., 6.625% Sec. Nts., 10/15/18		50,000		46,313

8 OPPENHEIMER DIVERSIFIED ALTERNATIVES FUND/VA


	Principal Amount		Value
Non-Convertible Corporate Bonds and Notes (Continued)
First Quantum Minerals Ltd.: (Continued)
Sprint Corp., 7.875% Sr. Unsec. Nts., 9/15/23⁵	$	100,000	$	111,500
Tenet Healthcare Corp., 8.125% Sr. Unsec. Nts., 4/1/22		100,000		116,000
Trinseo Materials Operating SCA/Trinseo Materials Finance, Inc., 8.75% Sr. Sec. Nts., 2/1/19		100,000		108,000
United Rentals North America, Inc., 7.625% Sr. Unsec. Nts., 4/15/22		100,000		112,750
Valeant Pharmaceuticals International, Inc., 6.375% Sr. Unsec. Nts., 10/15/20⁵		100,000		106,625
Vimpel Communications Via VIP Finance Ireland Ltd. OJSC, 7.748% Sr. Unsec. Nts., 2/2/21⁵		200,000		220,500
Yapi ve Kredi Bankasi AS, 6.75% Sr. Unsec. Nts., 2/8/17⁵		200,000		214,750
Total Non-Convertible Corporate Bonds and Notes (Cost $7,370,807)				7,552,551

Event-Linked Bonds—12.9%
Earthquake—2.8%
Bosphorus 1 Re Ltd. Catastrophe Linked Nts., 2.52%, 5/3/16^4,7		250,000		250,231
Embarcadero Re Ltd. Catastrophe Linked Nts., 5.02%, 8/7/15^5,7		250,000		255,675
Golden State Re Ltd. Catastrophe Linked Nts., 3.77%, 1/8/15^5,7		500,000		505,850
Kizuna II Re Ltd. Catastrophe Linked Nts.:
2.27%, 4/6/18^4,7		250,000		251,562
2.52%, 4/6/18^4,7		250,000		251,562
Merna Reinsurance V Ltd. Catastrophe Linked Nts., 2.02%, 4/7/17^4,7		750,000		754,238
MultiCat Mexico Ltd. 2012 Catastrophe Linked Nts., 8.02%, 12/4/15^5,7		500,000		514,913
Nakama Re Ltd. Catastrophe Linked Nts.:
2.52%, 4/13/18^5,7		250,000		250,650
2.77%, 9/29/16^5,7		250,000		252,481
				3,287,162

Longevity—0.2%
Vita Capital V Ltd. Catastrophe Linked Nts., 3.438%, 1/15/17^5,7		250,000		257,188

Multiple Event—5.1%
Blue Danube II Ltd. Catastrophe Linked Nts., 4.273%, 5/23/16^5,7		250,000		253,081
Citrus Re Ltd. Catastrophe Linked Nts., 4.27%, 4/18/17^5,7		500,000		491,725
Combine Re Ltd. Catastrophe Linked Nts.:
4.52%, 1/7/15^5,7		250,000		253,400
17.77%, 1/7/15^5,7		600,000		633,840
East Lane Re Ltd. Catastrophe Linked Nts., 6.67%, 3/13/15^5,7		250,000		254,375
East Lane Re VI Ltd. Catastrophe Linked Nts., 2.77%, 3/14/18^5,7		500,000		495,225
Kilimanjaro Re Ltd. Catastrophe Linked Nts.:
4.52%, 4/30/18^5,7		250,000		246,487
4.77%, 4/30/18^5,7		250,000		247,537
Loma Reinsurance Ltd. Catastrophe Linked Nts., 17.02%, 1/8/18^5,7		250,000		252,462
Mystic Re Ltd. Catastrophe Linked Nts., 9.02%, 3/12/15^5,7		250,000		255,625
Residential Reinsurance 2012 Ltd. Catastrophe Linked Nts., 22.02%, 6/6/16^5,7		250,000		299,531
Residential Reinsurance 2014 Ltd. Catastrophe Linked Nts., 15.02%, 6/6/18^5,7		250,000		252,487
Riverfront Re Ltd. Catastrophe Linked Nts., 4.02%, 1/6/17^5,7		250,000		245,038


	Principal Amount		Value
Multiple Event (Continued)
Sanders Re Ltd. Catastrophe Linked Nts.:
3.02%, 5/25/18^5,7	$	250,000	$	248,463
3.27%, 5/25/18^5,7		250,000		247,513
3.92%, 6/7/17^5,7		250,000		249,050
4.02%, 5/5/17^5,7		500,000		497,175
Tradewynd Re Ltd. Catastrophe Linked Nts.:
6.27%, 1/9/17^5,7		250,000		256,538
7.02%, 1/9/17^5,7		250,000		258,188
				5,937,740

Other—0.4%
Kortis Capital Ltd. Catastrophe Linked Nts., 5.042%, 1/15/17^5,7		250,000		262,013
Vitality Re III Ltd. Catastrophe Linked Nts., 4.22%, 1/7/15^5,7		250,000		254,675
				516,688

Windstorm—4.4%
Aozora Re Ltd. Catastrophe Linked Nts., 2.02%, 4/7/17^5,7	JPY	25,000,000		252,086
Armor Re Ltd. Catastrophe Linked Nts., 4.02%, 12/15/16^5,7		750,000		740,044
Calypso Capital II Ltd. Catastrophe Linked Nts., 2.60%, 1/9/17^5,7	EUR	500,000		688,347
Eurus Ltd. Catastrophe Linked Nts., 3.75%, 4/7/16^5,7		250,000		349,308
Everglades Re Ltd. Catastrophe Linked Nts., 7.52%, 4/28/17^5,7		250,000		252,087
Foundation Re III Ltd. Catastrophe Linked Nts., 5.02%, 2/25/15^5,7		250,000		251,425
Green Fields II Capital Ltd. Catastrophe Linked Nts., 2.75%, 1/9/17^5,7	EUR	250,000		346,159
Lion I Re Ltd. Catastrophe Linked Nts., 1.722%, 4/28/17^5,7	EUR	250,000		341,358
Longpoint Re III Ltd. Catastrophe Linked Nts.:
3.98%, 5/18/16^5,7		250,000		252,956
6.02%, 6/12/15^5,7		250,000		257,475
MultiCat Mexico Ltd. 2012 Catastrophe Linked Nts., 7.77%, 12/4/15^5,7		250,000		257,756
Pylon II Capital Ltd. Catastrophe Linked Nts., 5.642%, 5/5/16⁷		250,000		358,851
Queen City Re Catastrophe Linked Nts., 3.52%, 1/6/17^5,7		250,000		243,663
Successor X Ltd. Catastrophe Linked Nts., 16.27%, 11/10/15^5,7		250,000		254,550
Tar Heel Re Ltd. Catastrophe Linked Nts., 8.52%, 5/9/16^5,7		250,000		259,713
				5,105,778
Total Event-Linked Bonds (Cost $15,225,241)				15,104,556

Short-Term Notes—21.7%
Mexico—0.7%
United Mexican States Treasury Bills,
3.646%, 12/11/14	MXN	11,300,000		859,143

United States—21.0%
United States Treasury Bills:
0.032%, 10/30/14⁸		11,800,000		11,798,667
0.036%, 9/4/14⁸	USD	6,250,000		6,249,844
0.05%, 7/24/14^8,9	USD	6,500,000		6,499,792
				24,548,303
Total Short-Term Notes (Cost $25,399,562)				25,407,446

Municipal Bonds and Notes—0.1%
University of Puerto Rico, Series P:
5.00%, 6/1/23		70,000		45,622
5.00%, 6/1/30		70,000		42,096
Total Municipal Bonds and Notes (Cost $87,850)				87,718

9 OPPENHEIMER DIVERSIFIED ALTERNATIVES FUND/VA

CONSOLIDATED STATEMENT OF INVESTMENTS Unaudited / Continued


	Shares		Value
Investment Companies—27.3%
Oppenheimer Institutional Money Market Fund, Cl. E, 0.09%^10,11,12		31,662,226	$	31,662,226
SPDR Gold Trust Exchange Traded Fund^1,12		2,550		326,502
Total Investment Companies (Cost $31,964,524)				31,988,728


		Exercise Price		Expiration Date			Contracts			Value
Exchange-Traded Options Purchased—0.0%
Dow Jones-UBS Commodity Index Put^1,12	USD		135.300		9/10/14	USD		2,956		$	6,395
Gold Fields Ltd. Call¹	USD		4.000		10/18/14	USD		46			1,012
Kinross Gold Corp. Call¹	USD		5.000		8/16/14	USD		32			256
Total Exchange-Traded Options Purchased (Cost $17,359)											7,663

Total Investments, at Value (Cost $109,675,616)								97.8	%		114,332,176
Net Other Assets (Liabilities)								2.2			2,607,751
Net Assets								100.0	%	$	116,939,927

Footnotes to Consolidated Statement of Investments

1. Non-income producing security.

3. The Fund holds securities which have been issued by the same entity and that trade on separate exchanges.

4. Restricted security. The aggregate value of restricted securities as of June 30, 2014 was $1,581,186, which represents 1.35% of the Fund’s net assets. See Note 7 of the accompanying Consolidated Notes. Information concerning restricted securities is as follows:


Security	Acquisition Dates		Cost		Value		Unrealized Appreciation/ (Depreciation)
Audatex North America, Inc., 6% Sr. Unsec. Nts., 6/15/21		4/25/14	$	53,634	$	53,625	$	(9	)
Bosphorus 1 Re Ltd. Catastrophe Linked Nts., 2.52%, 5/3/16		3/11/14		249,625		250,231		606
Kizuna II Re Ltd. Catastrophe Linked Nts., 2.27%, 4/6/18		3/13/14		251,981		251,562		(419	)
Kizuna II Re Ltd. Catastrophe Linked Nts., 2.52%, 4/6/18		5/2/14		252,839		251,562		(1,277	)
Merna Reinsurance V Ltd. Catastrophe Linked Nts., 2.02%, 4/7/17		3/18/14-5/30/14		752,379		754,238		1,859
Primero Mining Corp., Legend Shares		3/6/14		16,364		19,968		3,604
			$	1,576,822	$	1,581,186	$	4,364

5. Represents securities sold under Rule 144A, which are exempt from registration under the Securities Act of 1933, as amended. These securities have been determined to be liquid under guidelines established by the Board of Trustees. These securities amount to $16,867,980 or 14.42% of the Fund’s net assets as of June 30, 2014.

6. This security is not accruing income because the issuer has missed an interest payment on it and/or is not anticipated to make future interest and or principal payments. The rate shown is the original contractual interest rate. See Note 1 of the accompanying Consolidated Notes.

7. Represents the current interest rate for a variable or increasing rate security.

8. Zero coupon bond reflects effective yield on the date of purchase.

9. All or a portion of the security position is held in accounts at a futures clearing merchant and pledged to cover margin requirements on open futures contracts and written options on futures, if applicable. The aggregate market value of such securities is $599,980. See Note 6 of the accompanying Consolidated Notes.


	Shares December 31, 2013		Gross Additions		Gross Reductions			Shares June 30, 2014
Oppenheimer Institutional Money Market Fund, Cl. E		2,007,344		207,651,575		177,996,693			31,662,226
Oppenheimer Master Event-Linked Bond Fund, LLC		10,967		—		10,967			—
Oppenheimer Master Loan Fund, LLC		3,578		—		3,578			—

			Value		Income			Realized Gain (Loss)
Oppenheimer Institutional Money Market Fund, Cl. E			$	31,662,226	$	11,991		$	—
Oppenheimer Master Event-Linked Bond Fund, LLC				—		207	^a		(193	)^a
Oppenheimer Master Loan Fund, LLC				—		141	^b		634	^b
Total			$	31,662,226	$	12,339		$	441

a. Represents the amount allocated to the Fund from Oppenheimer Master Event-Linked Bond Fund, LLC.

b. Represents the amount allocated to the Fund from Oppenheimer Master Loan Fund, LLC.

11. Rate shown is the 7-day yield as of June 30, 2014.

12. All or a portion of this security is owned by the subsidiary. See Note 1 of the accompanying Consolidated Notes.

10 OPPENHEIMER DIVERSIFIED ALTERNATIVES FUND/VA

Forward Currency Exchange Contracts as of June 30, 2014

Counterparty

Settlement Month(s)

Currency Purchased (000’s)

Currency Sold (000’s)

Unrealized
Appreciation

Unrealized
Depreciation

BAC

01/2015

AUD

USD

1,874

–

BAC

07/2014 - 08/2014

BRL

670

USD

300

717

–

BAC

01/2015

CAD

128

USD

116

3,663

–

BAC

01/2015

CHF

USD

–

BAC

08/2014

CZK

10,440

USD

518

2,955

–

BAC

07/2014

INR

7,800

USD

127

2,265

–

BAC

01/2015

JPY

17,000

USD

166

1,922

–

BAC

08/2014

PHP

24,500

USD

543

18,711

–

BAC

08/2014

PLN

3,755

USD

1,223

10,506

–

BAC

07/2014 - 08/2014

RUB

51,200

USD

1,439

57,989

–

BAC

08/2014

SEK

6,660

USD

1,028

–

32,137

BAC

08/2014

SGD

490

USD

391

1,838

–

BAC

01/2015

USD

186

AUD

215

–

14,029

BAC

07/2014

USD

264

BRL

585

–

299

BAC

08/2014

USD

1,689

CZK

33,810

5,794

4,479

BAC

01/2015

USD

GBP

–

1,956

BAC

07/2014

USD

512

INR

30,500

5,277

–

BAC

07/2014

USD

NOK

–

BAC

08/2014

USD

559

PHP

24,500

–

3,043

BAC

07/2014 - 08/2014

USD

1,422

RUB

51,200

–

74,712

BAC

07/2014 - 08/2014

USD

509

SEK

3,430

–

4,095

BAC

08/2014

USD

387

SGD

490

–

6,219

BAC

01/2015

USD

343

TRY

790

–

14,678

BAC

08/2014

USD

539

ZAR

5,810

–

3,562

BAC

08/2014

ZAR

5,810

USD

506

36,108

–

BNP

08/2014

CNH

3,125

USD

515

–

13,278

BNP

08/2014

THB

17,500

USD

526

12,501

–

BNP

08/2014

USD

500

CNH

3,125

–

2,073

BNP

08/2014

USD

494

PLN

1,510

–

1,753

BNP

08/2014

USD

538

THB

17,500

–

353

BNP

07/2014

ZAR

4,900

USD

460

–

BOA

07/2014 - 01/2015

AUD

265

USD

244

5,447

–

BOA

07/2014

CAD

1,980

USD

1,811

43,666

–

BOA

01/2015

CHF

USD

–

BOA

08/2014

CLP

584,900

USD

1,056

445

3,570

BOA

08/2014

COP

1,050,000

USD

505

52,933

–

BOA

07/2014 - 01/2015

GBP

185

USD

309

7,409

–

BOA

07/2014 - 08/2014

HUF

73,700

USD

327

1,746

2,898

BOA

08/2014

IDR

6,332,600

USD

510

20,474

–

BOA

08/2014 - 01/2015

INR

100,000

USD

1,586

35,757

–

BOA

07/2014 - 01/2015

JPY

36,000

USD

351

4,236

–

BOA

07/2014 - 01/2015

KRW

1,264,000

USD

1,233

8,324

–

BOA

07/2014

MXN

3,000

USD

232

–

921

BOA

08/2014

MYR

445

USD

132

6,132

–

BOA

07/2014

NOK

1,370

USD

228

–

4,762

BOA

01/2015

NZD

435

USD

361

11,622

–

BOA

08/2014

PEN

1,549

USD

534

17,249

–

BOA

07/2014

TRY

1,190

USD

557

1,853

–

BOA

08/2014 - 01/2015

TWD

58,300

USD

1,934

21,580

–

BOA

07/2014

USD

457

AUD

490

–

4,429

BOA

07/2014 - 12/2014

USD

774

BRL

1,787

$118

$6,498

BOA

01/2015

USD

931

CAD

1,000

–

1,821

BOA

07/2014

USD

229

CHF

205

–

2,617

BOA

08/2014 - 01/2015

USD

2,753

CLP

1,550,410

3,942

28,906

BOA

08/2014

USD

555

COP

1,050,000

–

3,302

BOA

07/2014

USD

231

EUR

170

–

1,414

BOA

07/2014 - 08/2014

USD

616

HUF

138,000

6,047

BOA

08/2014

USD

525

IDR

6,332,600

–

6,262

BOA

08/2014

USD

527

INR

32,000

–

2,020

BOA

07/2014 - 12/2014

USD

714

JPY

73,000

–

7,444

BOA

06/2015

USD

559

KRW

576,666

–

3,244

BOA

06/2015

USD

523

MYR

1,720

–

2,442

BOA

07/2014

USD

459

NOK

2,740

12,026

–

BOA

07/2014 - 01/2015

USD

1,242

NZD

1,460

1,352

15,882

BOA

08/2014

USD

548

PEN

1,549

–

2,571

BOA

07/2014 - 08/2014

USD

1,756

SEK

11,490

36,851

218

BOA

08/2014

USD

547

TWD

16,400

–

2,885

BOA

07/2014

USD

226

ZAR

2,430

–

1,725

CITNA-B

07/2014 - 08/2014

AUD

1,077

USD

1,005

8,816

–

11 OPPENHEIMER DIVERSIFIED ALTERNATIVES FUND/VA

CONSOLIDATED STATEMENT OF INVESTMENTS Unaudited / Continued

Forward Currency Exchange Contracts (Continued)

Counterparty

Settlement Month(s)

Currency Purchased (000’s)

Currency Sold (000’s)

Unrealized
Appreciation

Unrealized
Depreciation

CITNA-B

01/2015

CAD

430

USD

390

10,907

–

CITNA-B

08/2014 - 01/2015

EUR

4,755

USD

6,486

38,225

10,019

CITNA-B

01/2015

GBP

155

USD

255

10,057

–

CITNA-B

08/2014

HKD

4,015

USD

518

127

–

CITNA-B

08/2014

HUF

16,000

USD

180

–

CITNA-B

08/2014

ILS

1,810

USD

513

14,643

–

CITNA-B

08/2014

JPY

300,000

USD

2,938

24,546

–

CITNA-B

08/2014

MXN

5,840

USD

437

11,948

–

CITNA-B

07/2014

NZD

535

USD

463

5,052

–

CITNA-B

08/2014 - 01/2015

PLN

8,400

USD

2,728

10,551

–

CITNA-B

08/2014

SEK

3,390

USD

507

522

–

CITNA-B

08/2014

USD

549

AUD

587

–

2,734

CITNA-B

01/2015

USD

1,002

CAD

1,107

–

29,614

CITNA-B

01/2015

USD

1,112

CZK

22,400

–

8,011

CITNA-B

08/2014 - 01/2015

USD

2,946

EUR

2,155

11,397

18,165

CITNA-B

08/2014 - 01/2015

USD

897

GBP

529

–

7,573

CITNA-B

08/2014

USD

518

HKD

4,015

168

–

CITNA-B

08/2014

USD

525

ILS

1,810

–

2,659

CITNA-B

08/2014 - 01/2015

USD

2,728

JPY

278,700

–

23,699

CITNA-B

07/2014

USD

460

MXN

6,000

–

2,684

CITNA-B

07/2014 - 08/2014

USD

1,384

NZD

1,640

–

46,476

CITNA-B

01/2015

USD

529

SGD

660

–

1,095

CITNA-B

07/2014

USD

456

TRY

980

–

5,902

CITNA-B

01/2015

USD

371

ZAR

4,140

3,626

CITNA-B

01/2015

ZAR

4,140

USD

376

–

1,000

DEU

07/2014

AUD

USD

–

DEU

01/2015

CHF

USD

369

101

DEU

01/2015

EUR

610

USD

840

–

4,079

DEU

01/2015

GBP

1,125

USD

1,893

27,553

–

DEU

08/2014 - 01/2015

SEK

20,190

USD

3,008

19,307

9,696

DEU

01/2015

TRY

790

USD

351

5,939

–

DEU

01/2015

USD

1,424

CHF

1,270

–

10,942

DEU

08/2014 - 01/2015

USD

4,321

EUR

3,145

22,353

9,938

DEU

01/2015

USD

1,819

GBP

1,105

–

68,112

DEU

08/2014

USD

445

MXN

5,840

–

3,759

DEU

01/2015

USD

2,253

NOK

13,930

–

945

GSCO-OT

01/2015

AUD

USD

627

–

GSCO-OT

07/2014

BRL

1,020

USD

456

5,162

–

GSCO-OT

08/2014

CHF

472

USD

527

5,384

–

GSCO-OT

08/2014

COP

631,700

USD

326

10,163

–

GSCO-OT

07/2014

INR

43,300

USD

707

12,226

–

GSCO-OT

07/2014

KRW

586,000

USD

575

3,516

–

GSCO-OT

08/2014

NOK

9,440

USD

1,532

4,088

–

GSCO-OT

08/2014

NZD

623

USD

508

35,763

–

GSCO-OT

08/2014

SEK

6,690

USD

1,017

–

16,074

GSCO-OT

01/2015

USD

AUD

–

1,665

GSCO-OT

07/2014 - 08/2014

USD

1,905

CHF

1,724

–

39,193

GSCO-OT

08/2014

USD

307

COP

631,700

–

29,131

GSCO-OT

01/2015

USD

1,363

EUR

1,000

–

7,117

GSCO-OT

08/2014 - 01/2015

USD

685

JPY

69,800

–

4,353

GSCO-OT

08/2014

USD

2,115

KRW

2,268,000

–

123,215

GSCO-OT

08/2014

USD

292

MXN

3,920

–

9,203

GSCO-OT

08/2014

USD

1,557

NOK

9,440

20,319

–

GSCO-OT

08/2014

USD

539

NZD

623

–

4,129

GSCO-OT

07/2014 - 08/2014

USD

547

TRY

1,180

–

6,368

JPM

01/2015

GBP

100

USD

167

3,456

–

JPM

08/2014

HUF

73,800

USD

321

4,941

–

JPM

07/2014

INR

48,000

USD

763

34,221

–

JPM

07/2014

KRW

758,000

USD

724

24,517

–

JPM

07/2014

MXN

13,700

USD

1,050

3,913

–

JPM

07/2014

MYR

1,285

USD

392

8,197

–

JPM

08/2014

PLN

1,585

USD

511

9,588

–

JPM

08/2014

TRY

470

USD

202

18,370

–

JPM

01/2015

USD

577

CAD

640

–

19,929

JPM

01/2015

USD

114

GBP

–

5,039

JPM

08/2014

USD

321

HUF

73,800

–

4,748

JPM

12/2014

USD

550

MXN

7,239

–

2,172

JPM

08/2014

USD

399

MYR

1,315

–

10,452

JPM

08/2014

USD

515

PLN

1,585

–

5,188

12 OPPENHEIMER DIVERSIFIED ALTERNATIVES FUND/VA

Forward Currency Exchange Contracts (Continued)

Counterparty

Settlement Month(s)

Currency Purchased (000’s)

Currency Sold (000’s)

Unrealized
Appreciation

Unrealized
Depreciation

JPM

08/2014

USD

SGD

–

MSCO

01/2015

AUD

230

USD

197

16,425

–

MSCO

01/2015

CHF

USD

169

–

MSCO

07/2014 - 01/2015

JPY

68,000

USD

669

2,614

464

MSCO

01/2015

MXN

15,900

USD

1,204

4,902

–

MSCO

07/2014

USD

CHF

–

MSCO

07/2014

USD

524

INR

31,100

7,500

–

MSCO

08/2014

USD

216

JPY

22,000

–

1,213

MSCO

07/2014 - 08/2014

USD

964

NOK

5,840

13,242

–

MSCO

08/2014

USD

508

NZD

620

–

32,683

RBS

01/2015

CAD

120

USD

107

4,553

–

RBS

01/2015

EUR

1,135

USD

1,545

10,838

–

RBS

08/2014

GBP

335

USD

570

3,325

–

RBS

01/2015

JPY

26,000

USD

256

1,173

–

RBS

07/2014

KRW

3,000

USD

–

RBS

07/2014

NOK

2,750

USD

458

–

9,766

RBS

01/2015

USD

AUD

–

719

RBS

08/2014

USD

1,014

CAD

1,125

–

39,392

RBS

01/2015

USD

CHF

–

RBS

07/2014 - 01/2015

USD

3,765

EUR

2,745

14,683

11,038

RBS

08/2014

USD

GBP

–

1,890

RBS

01/2015

USD

1,102

JPY

112,000

–

5,427

RBS

08/2014

USD

759

NOK

4,520

23,013

–

Total Unrealized Appreciation and Depreciation

990,988

944,009


Futures Contracts as of June 30, 2014
Description	Exchange	Buy/Sell	Expiration Date	Number of Contracts	Value		Unrealized Appreciation (Depreciation)

Aluminum*	LME	Sell	10/13/14	1	$	47,375	$	(651)
Aluminum*	LME	Sell	9/15/14	1		47,269		412
Brent Crude Oil*	ICE	Sell	8/14/14	1		112,070		(4,791)
Brent Crude Oil*	ICE	Buy	7/16/14	4		449,440		(3,237)
CAC 40 10 Index	PAR	Sell	7/18/14	46		2,785,320		52,844
CBOE Volatility Index	CBE	Sell	8/19/14	17		226,950		19,789
Copper*	LME	Sell	9/15/14	3		526,800		(9,057)
Corn*	CBT	Sell	12/12/14	5		106,313		4,238
FTSE 100 Index	LIF	Sell	9/19/14	26		2,986,153		1,291
Lean Hogs*	CME	Buy	10/14/14	1		46,400		8,867
Natural Gas*	NYM	Sell	7/29/14	7		312,270		6,282
Natural Gas*	NYM	Sell	8/27/14	3		133,200		3,014
New York Harbor ULSD*	NYM	Buy	7/31/14	7		874,738		12,920
Nickel*	LME	Buy	10/13/14	2		228,636		339
Palladium*	NYM	Sell	9/26/14	2		168,630		(409)
Platinum*	NYM	Buy	10/29/14	4		296,580		1,257
Platinum*	NYM	Sell	7/29/14	2		148,100		(256)
RBOB Gasoline*	NYM	Sell	7/31/14	8		1,022,549		(18,953)
S&P 500 E-Mini Index	CME	Buy	9/19/14	37		3,611,940		43,119
S&P/TSE 60 Index	MON	Sell	9/18/14	5		809,428		(9,362)
Silver*	CMX	Sell	9/26/14	2		210,560		186
Soybean*	CBT	Sell	11/14/14	6		347,175		21,308
SPI 200 Index	SFE	Sell	9/18/14	7		883,497		4,443
United States Treasury Long Bonds	CBT	Buy	9/19/14	9		1,234,688		(1,978)
WTI Crude Oil*	NYM	Sell	7/22/14	12		1,264,440		16,676
WTI Crude Oil*	NYM	Buy	11/20/14	11		1,123,980		154,148
WTI Crude Oil*	ICE	Sell	7/21/14	4		421,480		3,085

							$	305,524

*All or a portion of this security is owned by the subsidiary. See Note 1 of the accompanying Consolidated Notes.

13 OPPENHEIMER DIVERSIFIED ALTERNATIVES FUND/VA

CONSOLIDATED STATEMENT OF INVESTMENTS Unaudited / Continued


Exchange-Traded Options Written at June 30, 2014
Description		Exercise Price		Expiration Date			Number of Contracts	Premiums Received		Value

Agnico Eagle Mines Ltd. Call	USD		42.500		11/22/14	USD	(8)	$	1,296	$	(1,488)

Agnico Eagle Mines Ltd. Call	USD		40.000		1/17/15	USD	(7)		1,055		(2,205)

Agnico Eagle Mines Ltd. Call	USD		32.500		8/16/14	USD	(2)		234		(1,130)

Agnico Eagle Mines Ltd. Call	USD		47.500		1/17/15	USD	(11)		1,121		(1,133)

Agnico Eagle Mines Ltd. Put	USD		30.000		1/17/15	USD	(11)		1,134		(1,034)

Agnico Eagle Mines Ltd. Call	USD		35.000		1/17/15	USD	(8)		4,102		(4,480)

Alamos Gold, Inc. Put	CAD		11.000		7/19/14	CAD	(25)		2,277		(1,054)

AngloGold Ashanti Ltd. Call	USD		18.000		1/17/15	USD	(6)		612		(900)

Coeur D Alene Mines Put	USD		10.000		9/20/14	USD	(12)		1,374		(1,920)

Detour Gold Corp. Call	CAD		18.000		1/17/15	CAD	(10)		1,184		(1,078)

Detour Gold Corp. Put	CAD		11.000		1/17/15	CAD	(9)		844		(717)

Detour Gold Corp. Call	CAD		16.000		1/17/15	CAD	(9)		1,258		(1,518)

Detour Gold Corp. Call	CAD		17.000		10/18/14	CAD	(6)		579		(506)

Detour Gold Corp. Put	CAD		12.000		1/17/15	CAD	(8)		1,121		(900)

Detour Gold Corp. Put	CAD		9.000		10/18/14	CAD	(21)		1,788		(295)

First Majestic Silver Corp. Call	CAD		12.000		1/17/15	CAD	(10)		1,090		(1,125)

Franco-Nevada Corp. Call	USD		60.000		10/18/14	USD	(8)		1,296		(1,880)

Franco-Nevada Corp. Call	USD		60.000		1/17/15	USD	(12)		1,498		(3,600)

Freeport-McMoRan Copper & Gold, Inc. Put	USD		32.000		11/22/14	USD	(8)		1,151		(552)

Freeport-McMoRan Copper & Gold, Inc. Put	USD		31.000		1/17/15	USD	(8)		1,200		(656)

Goldcorp, Inc. Call	USD		29.000		1/17/15	USD	(11)		1,097		(1,793)

Goldcorp, Inc. Put	USD		20.000		1/17/15	USD	(16)		1,656		(368)

Kinross Gold Corp. Put	USD		5.000		1/17/15	USD	(20)		2,206		(2,240)

Newmont Mining Corp. Call	USD		25.000		1/17/15	USD	(9)		1,737		(1,944)

Randgold Resources Ltd. Put	USD		67.500		1/17/15	USD	(4)		578		(550)

Randgold Resources Ltd. Call	USD		82.500		12/20/14	USD	(4)		2,408		(3,000)

Randgold Resources Ltd. Call	USD		100.000		1/17/15	USD	(10)		1,196		(2,000)

Randgold Resources Ltd. Call	USD		95.000		12/20/14	USD	(8)		1,019		(2,000)

Randgold Resources Ltd. Call	USD		100.000		12/20/14	USD	(4)		588		(650)

Rio Tinto plc Put	USD		52.500		7/19/14	USD	(23)		3,336		(1,380)

Royal Gold, Inc. Call	USD		90.000		1/17/15	USD	(12)		2,175		(2,724)

Royal Gold, Inc. Call	USD		77.500		10/18/14	USD	(12)		4,208		(5,160)

Royal Gold, Inc. Call	USD		85.000		1/17/15	USD	(9)		1,188		(2,790)

Silver Wheaton Corp. Call	USD		27.000		1/17/15	USD	(10)		1,090		(2,090)

Silver Wheaton Corp. Call	USD		28.000		12/20/14	USD	(9)		1,135		(1,350)

Silver Wheaton Corp. Call	USD		30.000		1/17/15	USD	(5)		505		(515)

Silver Wheaton Corp. Call	USD		29.000		12/20/14	USD	(11)		1,132		(1,265)

Tahoe Resources, Inc. Call	USD		25.000		12/20/14	USD	(10)		1,769		(3,300)

Tahoe Resources, Inc. Put	USD		20.000		9/20/14	USD	(28)		3,905		(560)

Total of Exchange-Traded Options Written								$	59,142	$	(63,850)


Over-the-Counter Credit Default Swaps at June 30, 2014
Reference Asset	Counterparty	Buy/Sell Protection	Fixed Rate		Maturity Date		Notional Amount (000’s)		Premiums Received/(Paid)		Value

Aetna, Inc.	GSG	Sell	1.000	%	9/20/19	USD	580	$	(18,192)	$	17,672

Avon Products, Inc.	CITNA-B	Buy	1.000		9/20/19	USD	580		(40,202)		47,870

Barrick Gold Corp.	GSG	Buy	1.000		9/20/19	USD	580		(11,300)		14,098

Boeing Capital Corp.	DEU	Sell	1.000		9/20/19	USD	580		(26,361)		26,865

Capital One Bank (USA) NA	CITNA-B	Sell	1.000		9/20/19	USD	580		(18,644)		16,778

Hartford Financial Services Group, Inc. (The)	BNP	Buy	1.000		9/20/19	USD	580		11,319		(7,929)

Hillshire Brands Co. (The)	CITNA-B	Sell	1.000		9/20/19	USD	580		(19,399)		18,094

International Business Machines Corp.	CITNA-B	Buy	1.000		9/20/19	USD	580		17,005		(16,712)

Kohl’s Corp.	DEU	Buy	1.000		9/20/19	USD	580		(6,530)		11,676

Mckesson Corp.	BNP	Sell	1.000		9/20/19	USD	580		(21,370)		20,653

Newell Rubbermaid, Inc.	DEU	Buy	1.000		9/20/19	USD	580		9,543		(7,255)

Newmont Mining Corp.	FIB	Buy	1.000		9/20/19	USD	580		(16,575)		15,544

Norfolk Southern Corp.	CITNA-B	Sell	1.000		9/20/19	USD	580		(23,198)		22,405

Ryder System, Inc.	BNP	Sell	1.000		9/20/19	USD	580		(11,330)		9,232

Staples, Inc.	BOA	Buy	1.000		9/20/19	USD	580		(38,810)		44,237

Target Corp.	DEU	Buy	1.000		9/20/19	USD	580		15,500		(15,078)

Union Pacific Corp.	CITNA-B	Sell	1.000		9/20/19	USD	580		(24,270)		22,743

United Parcel Service, Inc.	CITNA-B	Sell	1.000		9/20/19	USD	580		(23,963)		22,743

Walt Disney Co. (The)	GSG	Sell	1.000		9/20/19	USD	580		(24,116)		22,902

Whirlpool Corp.	DEU	Buy	1.000		9/20/19	USD	580		6,164		(3,137)

Total of Over-the-Counter Credit Default Swaps								$	(264,729)	$	283,401

14 OPPENHEIMER DIVERSIFIED ALTERNATIVES FUND/VA

The table that follows shows the undiscounted maximum potential payment by the Fund related to selling credit protection in credit default swaps:

Type of Reference Asset on
which the Fund Sold Protection

Total Maximum Potential
Payments for Selling
Credit Protection
(Undiscounted)

Amount Recoverable*

Reference Asset
Rating Range**

Investment Grade Single Name

Corporate Debt

$5,800,000

—

BBB to AA-

* The Fund has no amounts recoverable from related purchased protection. In addition, the Fund has no recourse provisions under the credit derivatives and holds no collateral which can offset or reduce potential payments under a triggering event.

** The period end reference asset security ratings, as rated by any rating organization, are included in the equivalent Standard & Poor’s rating category. The reference asset rating represents the likelihood of a potential credit event on the reference asset which would result in a related payment of the Fund.

Centrally Cleared Interest Rate Swaps at June 30, 2014

Counterparty

Pay/Receive Floating
Rate

Floating Rate

Fixed Rate

Maturity Date

Notional Amount (000’s)

Value

Six-Month CHF BBA

BAC

Pay

LIBOR

1.180%

5/8/24

CHF

1,505

(32,763)

Six-Month GBP BBA

BAC

Receive

LIBOR

2.740

5/6/24

GBP

1,010

2,232

Three-Month USD

BAC

Receive

BBA LIBOR

2.734

5/6/24

USD

1,710

26,433

Six-Month JPY BBA

BAC

Pay

LIBOR

0.795

5/7/24

JPY

175,000

(19,325)

Total of Centrally Cleared Interest Rate Swaps

(23,423)

Over-the-Counter Total Return Swaps at June 30, 2014

Reference Asset

Counterparty

Pay/Receive Total Return*

Floating Rate

Maturity Date

Notional
Amount (000’s)

Value

CGAUOPAU Custom Basket

CITNA-B

Receive

One-Month AUD BBR BBSW

3/11/15

AUD

1,321

4,461

CGCNOCAD Custom Basket

CITNA-B

Receive

One-Month CAD BA CDOR

4/8/15

CAD

1,149

57,097

CIBZC8DE Index**

CIBC

Receive

Official settlement price of CIBZC8DE Index

8/5/14

USD

6,000

)

CIBZGSPP Index**

CIBC

Receive

Official settlement price of CIBZGSPP Index

8/5/14

USD

580

—

CIBZNGLO Index**

CIBC

Receive

Official settlement price of CIBZNGLO Index

8/5/14

USD

920

—

CIBZOPQR Index**

CIBC

Receive

Official settlement price of CIBZOPQR Index

8/5/14

USD

3,050

DBOPSPLG Custom Basket

DEU

Receive

One-Month USD BBA LIBOR

2/6/15

USD

1,739

41,011

DBOPSPST Custom Basket

DEU

Pay

One-Month USD BBA LIBOR

2/6/15

USD

1,738

(52,989

)

DJUBS Index**

MAC

Receive

Official settlement price of DJUBS Index

8/5/14

USD

1,370

DJUBS Index**

MAC

Receive

Official settlement price of DJUBS Index

7/3/14

USD

1,350

7,889

GSEHOPHK Custom Basket

GSG

Receive

One-Month HKD HIBOR HKAB plus 40 basis points

6/12/15

HKD

8,860

(3,772

)

GSOPSPS3 Custom Basket

GSG

Receive

One-Month USD BBA LIBOR minus 35 basis points

4/20/15

USD

4,066

49,816

HIN4 Index

GSG

Pay

No floating rate

8/7/14

HKD

5,694

(10,580

)

iBoxx USD Liquid Leveraged Loans Index

JPM

Pay

Three-Month USD BBA LIBOR

9/26/14

USD

12,770

178,649

MLCILRIE Index**

MLCI

Receive

Official settlement price of MLCILRIE Index

8/5/14

USD

(1,200

)

MLCILRLE Index**

MLCI

Receive

Official settlement price of MLCILRLE Index

7/3/14

USD

(380

)

28,424

MLCILRLE Index**

MLCI

Receive

Official settlement price of MLCILRLE Index

8/5/14

USD

(400

)

—

MLCILRME Index**

MLCI

Receive

Official settlement price of MLCILRME Index

8/5/14

USD

(1,650

)

MLCILROE Index**

MLCI

Receive

Official settlement price of MLCILROE Index

8/5/14

USD

(1,500

)

MLCILRSE Index**

MLCI

Receive

Official settlement price of MLCILRSE Index

8/5/14

USD

(540

)

MLTROPF4 Custom Basket

BOA

Pay

One-Month EUR EURIBOR plus 29 basis points

4/13/15

EUR

1,045

(36,901

)

MLTROPFR Custom Basket

BOA

Pay

One-Month EUR EURIBOR plus 29 basis points

4/10/15

EUR

1,035

(37,074

)

MLTROPU4 Custom Basket

BOA

Pay

One-Month GBP BBA LIBOR plus 34 basis points

4/13/15

GBP

860

(15,339

)

MLTROPUK Custom Basket

BOA

Pay

One-Month GBP BBA LIBOR plus 34 basis points

4/10/15

GBP

854

(15,142

)

OEX Index

GSG

Pay

One-Month USD BBA LIBOR plus 5 basis points

1/16/15

USD

2,087

(4,223

)

OEX Index

GSG

Pay

One-Month USD BBA LIBOR plus 5 basis points

11/20/14

USD

(25

)

15 OPPENHEIMER DIVERSIFIED ALTERNATIVES FUND/VA

CONSOLIDATED STATEMENT OF INVESTMENTS Unaudited / Continued

Over-the-Counter Total Return Swaps (Continued)

Reference Asset

Counterparty

Pay/Receive Total
Return*

Floating Rate

Maturity Date

Notional Amount (000’s)

Value

One-Month USD BBA LIBOR

OEX Index

GSG

Pay

plus 5 basis points

1/8/15

USD

181

(2,924

)

One-Month USD BBA LIBOR

OEX Index

GSG

Pay

minus 5 basis points

4/8/15

USD

(13

)

One-Month USD BBA LIBOR

OEX Index

GSG

Pay

plus 5 basis points

1/15/15

USD

1,857

(3,758

)

Total of Over-the-Counter Total Return Swaps

184,605

*Fund will pay ore receive the total return of the reference asset depending on whether the return is positive or negative. For contracts where the Fund has elected to receive the total return of the reference asset if positive, it will be responsible for paying the floating rate and the total return of the reference asset if negative. If the Fund has elected to pay the total return of the reference asset if positive, it will receive the floating rate and the total return of the reference asset if negative.

** All or a portion of this security is owned by the subsidiary. See Note 1 of the accompanying Consolidated Notes.

Over-the-Counter Volatility Swaps at June 30, 2014

Reference Asset

Counterparty

Pay/Receive
Volatility*

Strike Price

Maturity Date

Notional Amount

Value

AUD/JPY spot exchange rate

MOS-A

Pay

5 .900

7/31/14

AUD

850

(265)

AUD/JPY spot exchange rate

BOA

Pay

5 .900

8/1/14

AUD

850

(321)

AUD/JPY spot exchange rate

MOS-A

Pay

6 .050

8/5/14

AUD

850

(120)

CAD/JPY spot exchange rate

BOA

Pay

5 .050

7/22/14

CAD

870

196

CAD/JPY spot exchange rate

DEU

Pay

5 .500

7/22/14

CAD

870

457

CAD/JPY spot exchange rate

DEU

Pay

5 .300

7/18/14

CAD

870

489

CAD/JPY spot exchange rate

MOS-A

Pay

6 .300

7/7/14

CAD

870

1,973

CHF/NOK spot exchange rate

JPM

Receive

6 .750

7/28/14

CHF

710

(64)

EUR/NZD spot exchange rate

MOS-A

Pay

7 .400

7/7/14

EUR

590

(307)

EUR/NZD spot exchange rate

DEU

Pay

7 .000

7/14/14

EUR

590

(800)

EUR/NZD spot exchange rate

BOA

Pay

7 .200

7/7/14

EUR

590

(549)

EUR/USD spot exchange rate

DEU

Pay

5 .900

7/9/14

USD

800

1,736

EUR/USD spot exchange rate

JPM

Pay

6 .625

7/7/14

USD

800

2,160

GBP/NOK spot exchange rate

BOA

Receive

6 .350

7/23/14

GBP

470

(298)

GBP/NOK spot exchange rate

JPM

Receive

6 .700

7/24/14

GBP

470

(483)

GBP/NOK spot exchange rate

DEU

Receive

6 .500

7/28/14

GBP

470

(80)

GBP/NOK spot exchange rate

JPM

Receive

6 .600

7/25/14

GBP

470

(273)

GBP/SEK spot exchange rate

JPM

Receive

5 .950

7/10/14

GBP

480

813

GBP/SEK spot exchange rate

JPM

Receive

6 .000

7/11/14

GBP

480

427

iShares MSCI Emerging Markets

GSG

Receive

517 .108

7/9/14

USD

(31,137)

iShares MSCI Emerging Markets

GSG

Pay

503 .554

7/8/14

USD

33,775

iShares MSCI Emerging Markets

GSG

Pay

499 .076

7/9/14

USD

36,068

iShares MSCI Emerging Markets

GSG

Receive

541 .958

7/7/14

USD

(32,716)

iShares MSCI Emerging Markets

GSG

Pay

523 .494

7/7/14

USD

35,141

iShares MSCI Emerging Markets

GSG

Receive

521 .666

7/8/14

USD

(31,650)

iShares MSCI Emerging Markets

GSG

Receive

551 .780

7/10/14

USD

(35,703)

iShares MSCI Emerging Markets

GSG

Pay

528 .540

7/11/14

USD

34,443

iShares MSCI Emerging Markets

GSG

Receive

555 .545

7/11/14

USD

(32,099)

iShares MSCI Emerging Markets

GSG

Pay

533 .148

7/10/14

USD

35,526

NZD/USD spot exchange rate

JPM

Receive

6 .250

7/16/14

USD

800

(808)

NZD/USD spot exchange rate

DEU

Receive

6 .300

7/17/14

USD

800

(672)

USD/CHF spot exchange rate

GSG

Pay

5 .750

7/14/14

USD

800

1,072

Total of Over-the-Counter Volatility Swaps

15,931

*Fund will pay or receive the volatility of the reference asset depending on whether the realized volatility of the reference asset exceeds or is less than the strike price. For contracts where the Fund has elected to receive the volatility of the reference asset, it will receive a net payment of the difference between the realized volatility and the strike price multiplied by the notional amount if the realized volatility exceeds the strike price; the Fund will make a net payment of the absolute value of the difference of the realized volatility and the strike price multiplied by the notional amount if the realized volatility is less than the strike price. For contracts where the Fund has elected to pay the volatility of the reference asset, it will make a net payment of the difference between the realized volatility and the strike price multiplied by the notional amount if the realized volatility exceeds the strike price; the Fund will receive a net payment of the absolute value of the difference of the realized and the strike price multiplied by the notional amount if the realized volatility is less than the strike price.


Glossary:
Counterparty Abbreviations
BAC		Barclays Bank plc
BNP		BNP Paribas
BOA		Bank of America NA
CIBC		Canadian Imperial Bank of Commerce
CITNA-B		Citibank NA
DEU		Deutsche Bank AG
FIB		Credit Suisse International
GSCO-OT		Goldman Sachs Bank USA
GSG		Goldman Sachs Group, Inc. (The)
JPM		JPMorgan Chase Bank NA
MAC		Macquarie Bank Ltd.
MLCI		Merrill Lynch Commodities, Inc.

16 OPPENHEIMER DIVERSIFIED ALTERNATIVES FUND/VA


Counterparty Abbreviations (Continued)
MOS-A		Morgan Stanley
MSCO		Morgan Stanley Capital Services, Inc.
RBS		Royal Bank of Scotland plc (The)

Currency abbreviations indicate amounts reporting in currencies
AUD		Australian Dollar
BRL		Brazilian Real
CAD		Canadian Dollar
CHF		Swiss Franc
CLP		Chilean Peso
CNH		Offshore Chinese Renminbi
COP		Colombian Peso
CZK		Czech Koruna
EUR		Euro
GBP		British Pound Sterling
HKD		Hong Kong Dollar
HUF		Hungarian Forint
IDR		Indonesia Rupiah
ILS		Israeli Shekel
INR		Indian Rupee
JPY		Japanese Yen
KRW		South Korean Won
MXN		Mexican Nuevo Peso
MYR		Malaysian Ringgit
NOK		Norwegian Krone
NZD		New Zealand Dollar
PEN		Peruvian New Sol
PHP		Philippines Peso
PLN		Polish Zloty
RUB		Russian Ruble
SEK		Swedish Krona
SGD		Singapore Dollar
THB		Thailand Baht
TRY		New Turkish Lira
TWD		New Taiwan Dollar
ZAR		South African Rand

Definitions
BA CDOR		Canada Bankers Acceptances Deposit Offering Rate
BBA LIBOR		British Bankers’ Association London - Interbank Offered Rate
BBR BBSW		Bank Bill Swap Reference Rate (Australian Financial Market)
CDOR		Canada Bankers Acceptances Rate
CIBZC8DE		CIBC Custom 8 Enhanced Roll Commodity Index
CIBZGSPP		CIBC Custom 16 Commodity Index
CIBZNGLO		CIBC Natural Gas Long Only Commodity Index
CIBZOPQR		CIBC Oppenheimer Quarterly Roll Index
DBOPSPST		Custom Basket of Securities
DJUBS		Dow Jones-UBS Index
EURIBOR		Euro Interbank Offered Rate
GSEHOPHK		Custom Basket of Securities
GSGPSPS3		Custom Basket of Securities
HIA4		Hang Seng Index
HIBOR		Hong Kong Interbank Offered Rate
HKAB		Hong Kong Association of Banks
MSCI		Morgan Stanley Capital International
MLCILRIE		Merrill Lynch Commodities Long Pre-Roll Industrial Metals ER Index
MLCILRLE		Merrill Lynch Commodities Long Pre-Roll Livestock ER Index
MLCILROE		DJ Petroleum rolling from -11 to 4 ER Index
MLCILRSE		Merrill Lynch Commodities DJ Softs rolling from -11 to 4
OEX		S&P 100 Index

Exchange Abbreviations
CBE		Chicago Board Options Exchange
CBT		Chicago Board of Trade
CME		Chicago Mercantile Exchanges
CMX		Commodity Exchange, Inc.
ICE		Intercontinental Exchange
LIF		London International Financial Futures and Options Exchange
LME		London Metal Exchange

17 OPPENHEIMER DIVERSIFIED ALTERNATIVES FUND/VA

CONSOLIDATED STATEMENT OF INVESTMENTS Unaudited / Continued


Exchange Abbreviations (Continued)
MON		Montreal Exchange
NYM		New York Mercantile Exchange
PAR		Paris Stock Exchange
SFE		Sydney Futures Exchange

See accompanying Notes to Consolidated Financial Statements.

18 OPPENHEIMER DIVERSIFIED ALTERNATIVES FUND/VA

CONSOLIDATED STATEMENT OF ASSETS AND LIABILITIES June 30, 2014 Unaudited


Assets
Investments, at value—see accompanying consolidated statement of investments:
Unaffiliated companies (cost $78,013,391)	$	82,669,950
Affiliated companies (cost $31,662,225)		31,662,226
		114,332,176
Cash		274,849
Cash used for collateral on futures		385,000
Cash used for collateral on OTC derivatives		1,190,000
Cash used for collateral on centrally cleared swaps		121,200
Unrealized appreciation on foreign currency exchange contracts		990,988
Swaps, at value (premiums paid $324,260)		885,138
Centrally cleared swaps, at value		28,665
Receivables and other assets:
Interest and dividends		311,584
Investments sold		306,684
Variation margin receivable		75,368
Other		21,223
Total assets		118,922,875


Liabilities
Unrealized depreciation on foreign currency exchange contracts		944,009
Options written, at value (premiums received $59,142)		63,850
Swaps, at value (premiums received $59,531)		401,201
Centrally cleared swaps, at value		52,088
Payables and other liabilities:
Investments purchased		477,354
Variation margin payable		28,179
Trustees’ compensation		2,492
Distribution and service plan fees		34
Shares of beneficial interest redeemed		4
Other		13,737
Total liabilities		1,982,948


Net Assets	$	116,939,927


Composition of Net Assets
Par value of shares of beneficial interest	$	10,838
Additional paid-in capital		107,304,353
Accumulated net investment income		471,057
Accumulated net realized gain on investments and foreign currency transactions		3,954,537
Net unrealized appreciation on investments and translation of assets and liabilities denominated in foreign currencies		5,199,142
Net Assets	$	116,939,927


Net Asset Value Per Share
Non-Service Shares:
Net asset value, redemption price (excludes applicable contingent deferred sales charge) and offering price per share (based on net assets of $116,737,343 and 10,819,535 shares of beneficial interest outstanding)		$10.79

Service Shares:
Net asset value, redemption price (excludes applicable contingent deferred sales charge) and offering price per share (based on net assets of $202,584 and 18,776 shares of beneficial interest outstanding)		$10.79

See accompanying Notes to Consolidated Financial Statements.

19 OPPENHEIMER DIVERSIFIED ALTERNATIVES FUND/VA

CONSOLIDATED STATEMENT OF OPERATIONS For the Six Months Ended June 30, 2014 Unaudited


Allocation of Income and Expenses from master funds¹
Net investment income allocated from Oppenheimer Master Event-Linked Bond Fund, LLC:
Interest	$	207
Net expenses		(12)
Net investment income allocated from Oppenheimer Master Event-Linked Bond Fund, LLC		195
Net investment income allocated from Oppenheimer Master Loan Fund, LLC
Interest		14
Dividends		127
Net expenses		(4)
Net investment income allocated from Oppenheimer Master Loan Fund, LLC		137
Total allocation of net investment income from master funds		332


Investment Income
Interest (net of foreign withholding taxes of $7,406)		326,889
Dividends:
Unaffiliated companies (net of foreign withholding taxes of $22,927)		800,065
Affiliated companies		11,991
Total investment income		1,138,945


Expenses
Management fees		619,863
Distribution and service plan fees - Service shares		37
Transfer and shareholder servicing agent fees:
Non-Service shares		53,590
Service shares		22
Shareholder communications:
Non-Service shares		236
Legal, auditing and other professional fees		23,153
Trustees’ compensation		11,790
Custodian fees and expenses		8,295
Other		21,125

Total expenses		738,111
Less waivers and reimbursements of expenses		(131,954)
Net expenses		606,157


Net Investment Income		533,120

20 OPPENHEIMER DIVERSIFIED ALTERNATIVES FUND/VA


Realized and Unrealized Gain (Loss)
Net realized gain (loss) on:
Investments from unaffiliated companies (including premiums on options exercised)	$	2,575,015
Closing and expiration of option contracts written		49,462
Closing and expiration of futures contracts		(173,764)
Foreign currency transactions		497,093
Swap contracts		1,017,719
Net realized gain (loss) allocated from:
Oppenheimer Master Event-Linked Bond Fund, LLC		(193)
Oppenheimer Master Loan Fund, LLC		634
Net realized gain		3,965,966
Net change in unrealized appreciation/depreciation on:
Investments		4,403,702
Translation of assets and liabilities denominated in foreign currencies		344,268
Futures contracts		285,945
Option contracts written		(8,344)
Swap contracts		184,103
Net change in unrealized appreciation/depreciation allocated from:
Oppenheimer Master Event-Linked Bond Fund, LLC		173
Oppenheimer Master Loan Fund, LLC		(635)
Net change in unrealized appreciation/depreciation		5,209,212


Net Increase in Net Assets Resulting from Operations	$	9,708,298

1. The Fund invests in certain affiliated funds that expect to be treated as partnerships for tax purposes. See Note 1 of the accompanying Consolidated Notes.

See accompanying Notes to Consolidated Financial Statements.

21 OPPENHEIMER DIVERSIFIED ALTERNATIVES FUND/VA

CONSOLIDATED STATEMENTS OF CHANGES IN NET ASSETS


	Six Months Ended June 30, 2014 (Unaudited)		Period Ended December 31, 2013¹
Operations
Net investment income (loss)	$	533,120	$	(24,007)
Net realized gain (loss)		3,965,966		(23,232)
Net change in unrealized appreciation/depreciation		5,209,212		(10,070)
Net increase (decrease) in net assets resulting from operations		9,708,298		(57,309)


Dividends and/or Distributions to Shareholders
Dividends from net investment income:
Non-Service shares		(15,253)		(10,989)
Service shares		(6)		(8)
		(15,259)		(10,997)

Beneficial Interest Transactions
Net increase in net assets resulting from beneficial interest transactions:
Non-Service shares		97,115,254		10,000,989
Service shares		188,943		10,008
		97,304,197		10,010,997

Net Assets
Total increase		106,997,236		9,942,691
Beginning of period		9,942,691		—

End of period (including accumulated net investment income (loss) of $471,057 and $(46,804), respectively)	$	116,939,927	$	9,942,691

1. For the period from November 14, 2013 (commencement of operations) to December 31, 2013.

See accompanying Notes to Consolidated Financial Statements.

22 OPPENHEIMER DIVERSIFIED ALTERNATIVES FUND/VA

CONSOLIDATED FINANCIAL HIGHLIGHTS


Non-Service Shares		Six Months Ended June 30, 2014 (Unaudited)		Period Ended December 31, 2013	¹
Per Share Operating Data
Net asset value, beginning of period	$	9.92	$	10.00
Income (loss) from investment operations:
Net investment income (loss)²		0.05		(0.02)
Net realized and unrealized gain (loss)		0.82		(0.05)
Total from investment operations		0.87		(0.07)
Dividends and/or distributions to shareholders:
Dividends from net investment income		0.00³		(0.01)
Net asset value, end of period	$	10.79	$	9.92


Total Return, at Net Asset Value⁴		8.78%		(0.69)%

Ratios/Supplemental Data
Net assets, end of period (in thousands)	$	116,737	$	9,917
Average net assets (in thousands)	$	108,760	$	9,827
Ratios to average net assets:^5,6
Net investment income (loss)		0.99%		(1.85)%
Total expenses⁷		1.37%		7.16%
Expenses after payments, waivers and/or reimbursements and reduction to custodian expenses		1.12%		3.33%
Portfolio turnover rate		124%		11%

1. For the period from November 14, 2013 (commencement of operations) to December 31, 2013.

2. Per share amounts calculated based on the average shares outstanding during the period.

3. Less than $0.005 per share.

5. Annualized for periods less than one full year.

6. Includes the Fund’s shares of the allocated expenses and/or net investment income from the master funds.

7. Total expenses including indirect expenses from affiliated fund were as follows:


Six Months Ended June 30, 2014	1.40	%
Period Ended December 31, 2013	7.18	%

See accompanying Notes to Consolidated Financial Statements.

23 OPPENHEIMER DIVERSIFIED ALTERNATIVES FUND/VA

CONSOLIDATED FINANCIAL HIGHLIGHTS Continued


Service Shares		Six Months Ended June 30, 2014 (Unaudited)		Period Ended December 31, 2013	¹
Per Share Operating Data
Net asset value, beginning of period	$	9.92	$	10.00
Income (loss) from investment operations:
Net investment income (loss)²		0.03		(0.03)
Net realized and unrealized gain (loss)		0.84		(0.04)
Total from investment operations		0.87		(0.07)
Dividends and/or distributions to shareholders:
Dividends from net investment income		0.00³		(0.01)
Net asset value, end of period	$	10.79	$	9 .92


Total Return, at Net Asset Value⁴		8.77%		(0.72)%

Ratios/Supplemental Data
Net assets, end of period (in thousands)	$	203	$	10
Average net assets (in thousands)	$	44	$	10
Ratios to average net assets:^5,6
Net investment income (loss)		0.58%		(2.12)%
Total expenses⁷		1.59%		7.43%
Expenses after payments, waivers and/or reimbursements and reduction to custodian expenses		1.39%		3.50%
Portfolio turnover rate		124%		11%

1. For the period from November 14, 2013 (commencement of operations) to December 31, 2013.

2. Per share amounts calculated based on the average shares outstanding during the period.

3. Less than $0.005 per share.

5. Annualized for periods less than one full year.

6. Includes the Fund’s shares of the allocated expenses and/or net investment income from the master funds.

7. Total expenses including indirect expenses from affiliated fund were as follows:


Six Months Ended June 30, 2014	1.62	%
Period Ended December 31, 2013	7.45	%

See accompanying Notes to Consolidated Financial Statements.

24 OPPENHEIMER DIVERSIFIED ALTERNATIVES FUND/VA

NOTESTOCONSOLIDATED FINANCIAL STATEMENTS _{June 30, 2014 Unaudited}

1. Significant Accounting Policies

Oppenheimer Diversified Alternatives Fund/VA (the “Fund”) is a separate series of Oppenheimer Variable Account Funds, a diversified open-end management investment company registered under the Investment Company Act of 1940, as amended. The Fund’s investment objective is to seek total return. The Fund’s investment adviser is OFI Global Asset Management, Inc. (“OFI Global” or the “Manager”), a wholly-owned subsidiary of OppenheimerFunds, Inc. (“OFI” or the “Sub-Adviser”). The Manager has entered into a sub-advisory agreement with OFI. The Sub-Adviser has entered into a sub-sub-advisory agreement with Cornerstone Real Estate Advisers LLC and OFI SteelPath, Inc. (collectively, the “Sub-Sub-Advisers”). Shares of the Fund are sold only to separate accounts of life insurance companies.

The following is a summary of significant accounting policies consistently followed by the Fund.

Event-Linked Bonds. The Fund may invest in “event-linked” bonds. Event-linked bonds, which are sometimes referred to as “catastrophe” bonds, are fixed income securities for which the return of principal and payment of interest is contingent on the non-occurrence of a specific trigger event, such as a hurricane, earthquake, or other occurrence that leads to physical or economic loss. If the trigger event occurs prior to maturity, the Fund may lose all or a portion of its principal in addition to interest otherwise due from the security. Event-linked bonds may expose the Fund to certain other risks, including issuer default, adverse regulatory or jurisdictional interpretations, liquidity risk and adverse tax consequences. The Fund records the net change in market value of event-linked bonds on the Consolidated Statement of Operations as a change in unrealized appreciation or depreciation on investments. The Fund records a realized gain or loss on the Consolidated Statement of Operations upon the sale or maturity of such securities.


Cost	$	53,625
Market Value	$	53,375
Market Value as % of Net Assets		0.05%

Basis for Consolidation. The Fund has established a Cayman Islands exempted company, Oppenheimer Diversified Alternatives Fund/VA (Cayman) Ltd., which is wholly-owned and controlled by the Fund (the “Subsidiary”). The Fund and Subsidiary are both managed by the Manager. The Fund may invest up to 25% of its total assets in the Subsidiary. The Subsidiary invests primarily in commodity-linked derivatives (including commodity futures, financial futures, options and swap contracts) and exchange-traded funds related to gold or other special minerals. The Subsidiary may also invest in certain fixed-income securities and other investments that may serve as margin or collateral for its derivatives positions. Investments in the Subsidiary are expected to provide the Fund with exposure to commodities markets within the limitations of the federal tax requirements that apply to the Fund. The Subsidiary is subject to the same investment restrictions and guidelines, and follows the same compliance policies and procedures, as the Fund.

Other financial information at June 30, 2014:


Total market value	$	16,351,179
Net assets	$	17,986,107
Net income (loss)	$	(87,918)
Net realized gain (loss)	$	1,148,306
Net change in unrealized appreciation/depreciation	$	228,666

25 OPPENHEIMER DIVERSIFIED ALTERNATIVES FUND/VA

NOTESTOCONSOLIDATED FINANCIAL STATEMENTS _{Unaudited / Continued}

1. Significant Accounting Policies (Continued)

are valued at their net asset value per share. As a shareholder, the Fund is subject to its proportional share of IMMF’s Class E expenses, including its management fee. The Manager will waive fees and/or reimburse Fund expenses in an amount equal to the indirect management fees incurred through the Fund’s investment in IMMF.

Master Limited Partnerships (“MLPs”). MLPs issue common units that represent an equity ownership interest in a partnership and provide limited voting rights. MLP common units are registered with the Securities and Exchange Commission (“SEC”), and are freely tradable on securities exchanges such as the NYSE and the NASDAQ Stock Market (“NASDAQ”), or in the over-the-counter (“OTC”) market. An MLP consists of one or more general partners, who conduct the business, and one or more limited partners, who contribute capital. MLP common unit holders have a limited role in the partnership’s operations and management. The Fund, as a limited partner, normally would not be liable for the debts of the MLP beyond the amounts the Fund has contributed, but would not be shielded to the same extent that a shareholder of a corporation would be. In certain circumstances creditors of an MLP would have the right to seek return of capital distributed to a limited partner. This right of an MLP’s creditors would continue after the Fund sold its investment in the MLP.

The Fund is required to include in income for federal income tax purposes all of the subsidiary’s net income and gains whether or not such income is distributed by the subsidiary. Net income and gains from the subsidiary are generally treated as ordinary income by the Fund, regardless of the character of the subsidiary’s underlying income. Net losses from the subsidiary do not pass through to the Fund for federal income tax purposes.

26 OPPENHEIMER DIVERSIFIED ALTERNATIVES FUND/VA

1. Significant Accounting Policies (Continued)

During the fiscal year ended December 31, 2013, the Fund did not utilize any capital loss carryforward to offset capital gains realized in that fiscal year. Details of the fiscal year ended December 31, 2013 capital loss carryforwards are included in the table below. Capital loss carryforwards with no expiration, if any, must be utilized prior to those with expiration dates. Capital losses with no expiration will be carried forward to future years if not offset by gains.


Expiring
No expiration	$	6,513

As of June 30, 2014, it is estimated that the Fund will have no capital loss carryforwards. The estimated capital loss carryforward represents the carryforward as of the end of the last fiscal year, increased or decreased by capital losses or gains realized in the first six months of the current fiscal year. During the six months ended June 30, 2014, it is estimated that the Fund will utilize $6,513 of capital loss carryforward to offset realized capital gains.


Federal tax cost of securities	$	109,755,712
Federal tax cost of other investments		(4,793,104)

Total federal tax cost	$	104,962,608

Gross unrealized appreciation	$	7,634,503
Gross unrealized depreciation		(2,561,438)

Net unrealized appreciation	$	5,073,065

Trustees’ Compensation. The Board of Trustees has adopted a compensation deferral plan for independent trustees that enables trustees to elect to defer receipt of all or a portion of the annual compensation they are entitled to receive from the Fund. For purposes of determining the amount owed to the Trustee under the plan, deferred amounts are treated as though equal dollar amounts had been invested in shares of the Fund or in other Oppenheimer funds selected by the Trustee. The Fund purchases shares of the funds selected for deferral by the Trustee in amounts equal to his or her deemed investment, resulting in a Fund asset equal to the deferred compensation liability. Such assets are included as a component of “Other” within the asset section of the Consolidated Statement of Assets and Liabilities. Deferral of trustees’ fees under the plan will not affect the net assets of the Fund, and will not materially affect the Fund’s assets, liabilities or net investment income per share. Amounts will be deferred until distributed in accordance with the compensation deferral plan.

Investment Income. Dividend income is recorded on the ex-dividend date or upon ex-dividend notification in the case of certain foreign dividends where the ex-dividend date may have passed. Non-cash dividends included in dividend income, if any, are recorded at the fair market value of the securities received. Interest income is recognized on an accrual basis. Discount and premium, which are included in interest income on the Consolidated Statement of Operations, are amortized or accreted daily.

Security Transactions. Security transactions are recorded on the trade date. Realized gains and losses on securities sold are determined on the basis of identified cost.

27 OPPENHEIMER DIVERSIFIED ALTERNATIVES FUND/VA

NOTESTOCONSOLIDATED FINANCIAL STATEMENTS _{Unaudited / Continued}

1. Significant Accounting Policies (Continued)

2. Securities Valuation

Valuation Methods and Inputs

Securities are valued using unadjusted quoted market prices, when available, as supplied primarily by third party pricing services or dealers.

The following methodologies are used to determine the market value or the fair value of the types of securities described below:

Shares of a registered investment company that are not traded on an exchange are valued at that investment company’s net asset value per share.

Structured securities, swaps, swaptions, and other over-the-counter derivatives are valued utilizing evaluated prices obtained from third party pricing services or broker-dealers.

A description of the standard inputs that may generally be considered by the third party pricing vendors in determining their evaluated prices is provided below.

28 OPPENHEIMER DIVERSIFIED ALTERNATIVES FUND/VA


2. Securities Valuation (Continued)
Security Type		Standard inputs generally considered by third-party pricing vendors
Corporate debt, government debt, municipal, mortgage-backed and asset-backed securities		Reported trade data, broker-dealer price quotations, benchmark yields, issuer spreads on comparable securities, the credit quality, yield, maturity, and other appropriate factors.
Loans		Information obtained from market participants regarding reported trade data and broker-dealer price quotations.
Event-linked bonds		Information obtained from market participants regarding reported trade data and broker-dealer price quotations.
Structured securities		Relevant market information such as the price of underlying financial instruments, stock market indices, foreign currencies, interest rate spreads, commodities, or the occurrence of other specific events.
Swaps		Relevant market information, including underlying reference assets such as credit spreads, credit event probabilities, index values, individual security values, forward interest rates, variable interest rates, volatility measures, and forward currency rates.

Classifications

1) Level 1-unadjusted quoted prices in active markets for identical assets or liabilities (including securities actively traded on a securities exchange)

3) Level 3-significant unobservable inputs (including the Manager’s own judgments about assumptions that market participants would use in pricing the asset or liability).

The inputs used for valuing securities are not necessarily an indication of the risks associated with investing in those securities.

The table below categorizes amounts that are included in the Fund’s Consolidated Statement of Assets and Liabilities as of June 30, 2014 based on valuation input level:


		Level 1— Unadjusted Quoted Prices			Level 2— Other Significant Observable Inputs			Level 3— Significant Unobservable Inputs			Value
Assets Table
Investments, at Value:
Common Stocks
Consumer Discretionary	$		162,141	$		—	$		—	$		162,141
Energy			12,601,229			—			—			12,601,229
Financials			5,907,018			5,004,755			—			10,911,773
Health Care			330,504			—			—			330,504
Information Technology			284,969			—			—			284,969
Materials			5,398,672			594,784			—			5,993,456
Telecommunication Services			69,750			—			—			69,750
Utilities			118,787			—			—			118,787

29 OPPENHEIMER DIVERSIFIED ALTERNATIVES FUND/VA

NOTESTOCONSOLIDATED FINANCIAL STATEMENTS _{Unaudited / Continued}

2. Securities Valuation (Continued)


		Level 1— Unadjusted Quoted Prices				Level 2— Other Significant Observable Inputs				Level 3— Significant Unobservable Inputs			Value
Investments, at Value: (Continued)
Rights, Warrants and Certificates	$		3,057		$		—		$		—	$		3,057
Foreign Government Obligations			—				3,707,848				—			3,707,848
Non-Convertible Corporate Bonds and Notes			—				7,552,551				—			7,552,551
Event-Linked Bonds			—				15,104,556				—			15,104,556
Exchange-Traded Options Purchased			1,268				6,395				—			7,663
Investment Companies			31,988,728				—				—			31,988,728
Short-Term Notes			—				25,407,446				—			25,407,446
Municipal Bonds and Notes			—				87,718				—			87,718
Total Investments, at Value			56,866,123				57,466,053				—			114,332,176
Other Financial Instruments:
Swaps, at value			—				885,138				—			885,138
Centrally cleared swaps, at value			—				28,665				—			28,665
Futures contracts			354,218				—				—			354,218
Foreign currency exchange contracts			—				990,988				—			990,988
Total Assets	$		57,220,341		$		59,370,844		$		—	$		116,591,185

Liabilities Table
Other Financial Instruments:
Swaps, at value	$		—		$		(401,201	)	$		—	$		(401,201	)
Centrally cleared swaps, at value			—				(52,088	)			—			(52,088	)
Options written, at value			(63,850	)			—				—			(63,850	)
Futures contracts			(48,694	)			—				—			(48,694	)
Foreign currency exchange contracts			—				(944,009	)			—			(944,009	)
Total Liabilities	$		(112,544	)	$		(1,397,298	)	$		—	$		(1,509,842	)

Forward currency exchange contracts and futures contracts, if any, are reported at their unrealized appreciation/ depreciation at measurement date, which represents the change in the contract’s value from trade date. All additional assets and liabilities included in the above table are reported at their market value at measurement date.

3. Shares of Beneficial Interest

The Fund has authorized an unlimited number of $0.001 par value shares of beneficial interest of each class. Transactions in shares of beneficial interest were as follows:


	Six Months Ended June 30, 2014						Period Ended December 31, 2013¹
	Shares			Amount			Shares		Amount
Class Non-Service
Sold		9,817,998		$	97,100,001			999,000	$	9,990,000
Dividends and/or distributions reinvested		1,429			15,253			1,108		10,989
Redeemed		—			—			—		—

Net increase		9,819,427		$	97,115,254			1,000,108	$	10,000,989



Class Service
Sold		17,778		$	188,984			1,000	$	10,000
Dividends and/or distributions reinvested		1			6			1		8
Redeemed		(4	)		(47	)		—		—

Net increase		17,775		$	188,943			1,001	$	10,008

1. For the period from November 14, 2013 (commencement of operations) to December 31, 2013.

4. Purchases and Sales of Securities

The aggregate cost of purchases and proceeds from sales of securities, other than short-term obligations and investments in IMMF, for the six months ended June 30, 2014 were as follows:


	Purchases		Sales
Investment securities		$110,303,951		$68,501,084

5. Fees and Other Transactions with Affiliates

Management Fees. Under the investment advisory agreement, the Fund pays the Manager a management fee based on the daily net assets of the Fund at an annual rate as shown in the following table:

30 OPPENHEIMER DIVERSIFIED ALTERNATIVES FUND/VA

5. Fees and Other Transactions with Affiliates (Continued)


Fee Schedule
Up to $500 million	1.00	%
Next $500 million	0.95
Next $4 billion	0.90
Over $5 billion	0.88

Sub-Adviser Fees. The Manager has retained the Sub-Adviser to provide the day-to-day portfolio management of the Fund. Under the Sub-Advisory Agreement, the Manager pays the Sub-Adviser an annual fee in monthly installments, equal to a percentage of the investment management fee collected by the Manager from the Fund and the Subsidiary, which shall be calculated after any investment management fee waivers. The fee paid to the Sub-Adviser is paid by the Manager, not by the Fund.

Sub-Sub-Adviser Fees. The Sub-Adviser retains the Sub-Sub-Adviser to provide the day-to-day portfolio management of the Fund. Under the Sub-Sub-Advisory Agreement, the Sub-Adviser pays the Sub-Sub-Adviser an annual fee in monthly installments, based on the average daily net assets of the Fund. The fee paid to the Sub-Sub-Adviser under the Sub-Sub-Advisory agreement is paid by the Sub-Adviser, not by the Fund.

Transfer Agent Fees. OFI Global (the “Transfer Agent”) serves as the transfer and shareholder servicing agent for the Fund. The Fund pays the Transfer Agent a fee based on annual net assets. Fees incurred and average net assets for each class with respect to these services are detailed in the Consolidated Statement of Operations and Consolidated Financial Highlights, respectively.

Sub-Transfer Agent Fees. The Transfer Agent has retained Shareholder Services, Inc., a wholly-owned subsidiary of OFI (the “Sub-Transfer Agent”), to provide the day-to-day transfer agent and shareholder servicing of the Fund and the Subsidiary. Under the Sub-Transfer Agency Agreement, the Transfer Agent pays the Sub-Transfer Agent an annual fee in monthly installments, equal to a percentage of the transfer agent fee collected by the Transfer Agent from the Fund, which shall be calculated after any applicable fee waivers. The fee paid to the Sub-Transfer Agent is paid by the Transfer Agent, not by the Fund.

Waivers and Reimbursements of Expenses. The Manager has contractually agreed to waive fees and/or reimburse expenses to limit the Fund’s “Expenses after payments, waivers and/or reimbursements and reduction to custodian expenses” (excluding any applicable dividend expense, taxes, interest and fees from borrowing, any subsidiary expenses, Acquired Fund Fees and Expenses, brokerage commissions, extraordinary expenses and certain other Fund expenses) so that, as percentages of average daily net assets, those expenses will not exceed the annual rate of 1.20% for Non-Service shares and 1.45% for Service shares. During the six months ended June 30, 2014, the Manager waived fees and/or reimbursed the Fund $34,189 and $4 for Non-Service and Service, respectively.

The Manager has contractually agreed to waive the Fund’s management fee in an amount equal to the management fee of the Subsidiary. During the six months ended June 30, 2014, this waiver reduced the Fund’s management fee by $83,280.

The Manager will waive fees and/or reimburse Fund expenses in an amount equal to the indirect management fees incurred through the Fund’s investment in IMMF and the Master Funds. During the six months ended June 30, 2014, the Manager waived fees and/or reimbursed the Fund $14,481 for management fees.

Some of these undertakings may be modified or terminated at any time; some may not be modified or terminated until after one year from the date of the current prospectus, as indicated therein.

6. Risk Exposures and the Use of Derivative Instruments

31 OPPENHEIMER DIVERSIFIED ALTERNATIVES FUND/VA

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS _{Unaudited / Continued}

6. Risk Exposures and the Use of Derivative Instruments (Continued)

contracts may be entered into through a bilateral over-the-counter (“OTC”) transaction, or through a securities or futures exchange and cleared through a clearinghouse.

Market Risk Factors. In accordance with its investment objectives, the Fund may use derivatives to increase or decrease its exposure to one or more of the following market risk factors:

Equity Risk. Equity risk relates to the change in value of equity securities as they relate to increases or decreases in the general market.

The Fund’s actual exposures to these market risk factors and associated risks during the period are discussed in further detail, by derivative type, below.

Forward Currency Exchange Contracts

During the six months ended June 30, 2014, the Fund had daily average contract amounts on forward contracts to buy and sell of $55,609,194 and $64,860,956, respectively.

32 OPPENHEIMER DIVERSIFIED ALTERNATIVES FUND/VA

6. Risk Exposures and the Use of Derivative Instruments (Continued)

Futures Contracts

The Fund has purchased futures contracts on various bonds and notes to increase exposure to interest rate risk.

The Fund has sold futures contracts on various bonds and notes to decrease exposure to interest rate risk.

The Fund has purchased futures contracts on various equity indexes to increase exposure to equity risk.

The Fund has sold futures contracts on various equity indexes to decrease exposure to equity risk.

The Fund has purchased futures contracts, which have values that are linked to the price movement of the related volatility indexes, in order to increase exposure to volatility risk.

The Fund has sold futures contracts, which have values that are linked to the price movement of the related volatility indexes, in order to decrease exposure to volatility risk.

The Fund has purchased futures contracts, which have values that are linked to the price movement of the related commodities, in order to increase exposure to commodity risk.

The Fund has sold futures contracts, which have values that are linked to the price movement of the related commodities, in order to decrease exposure to commodity risk.

During the six months ended June 30, 2014, the Fund had an ending monthly average market value of $6,803,409 and $9,805,918 on futures contracts purchased and sold, respectively.

Option Activity

The Fund has purchased put options on individual commodities and/or commodity indexes to decrease exposure to commodity risk. A purchased put option becomes more valuable as the price of the underlying financial instrument depreciates relative to the strike price.

During the six months ended June 30, 2014, the Fund had an ending monthly average market value of $83,959 and $53,981 on purchased call options and purchased put options, respectively.

33 OPPENHEIMER DIVERSIFIED ALTERNATIVES FUND/VA

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS _{Unaudited / Continued}

6. Risk Exposures and the Use of Derivative Instruments (Continued)

premium whether or not the option is exercised. The Fund also has the additional risk that there may be an illiquid market where the Fund is unable to close the contract.

During the six months ended June 30, 2014, the Fund had an ending monthly average market value of $53,189 and $47,826 on written call options and written put options, respectively.

Additional associated risks to the Fund include counterparty credit risk and liquidity risk.

Written option activity for the six months ended June 30, 2014 was as follows:


	Call Options				Put Options
	Number of Contracts		Amount of Premiums		Number of Contracts		Amount of Premiums
Options outstanding as of December 31, 2013		9,380,006	$	6,517		29,725,128	$	14,506
Options written		397,235,537		243,227		1,544,317,639		255,303
Options closed or expired		(139,818,039)		(38,436)		(758,057)		(11,026)
Options exercised		(266,797,283)		(174,736)		(1,573,284,517)		(236,213)

Options outstanding as of June 30, 2014		221	$	36,572		193	$	22,570

Swap Contracts

34 OPPENHEIMER DIVERSIFIED ALTERNATIVES FUND/VA

6. Risk Exposures and the Use of Derivative Instruments (Continued)

The Fund has purchased credit protection through credit default swaps to decrease exposure to the credit risk of individual issuers and/or indexes of issuers.

For the six months ended June 30, 2014, the Fund had ending monthly average notional amounts of $3,072,857 and $3,152,857 on credit default swaps to buy protection and credit default swaps to sell protection, respectively.

Additional associated risks to the Fund include counterparty credit risk and liquidity risk.

For the six months ended June 30, 2014, the Fund had ending monthly average notional amounts of $2,084,175 and $2,085,244 on interest rate swaps which pay a fixed rate and interest rate swaps which receive a fixed rate, respectively.

Additional associated risks to the Fund include counterparty credit risk and liquidity risk.

Total Return Swap Contracts. A total return swap is an agreement between counterparties to exchange periodic payments based on the value of asset or non-asset references. One cash flow is typically based on a non-asset reference (such as an interest rate) and the other on the total return of a reference asset (such as a security or a basket of securities or securities index). The total return of the reference asset typically includes appreciation or depreciation on the reference asset, plus any interest or dividend payments.

Total return swap contracts are exposed to the market risk factor of the specific underlying financial instrument or index. Total return swaps are less standard in structure than other types of swaps and can isolate and/or include multiple types of market risk factors including equity risk, credit risk, and interest rate risk.

The Fund has entered into total return swaps on various equity securities or indexes to increase exposure to equity risk. These equity risk related total return swaps require the Fund to pay a floating reference interest rate, and an amount equal to the negative price movement of securities or an index (expressed as a percentage) multiplied by the notional amount of the contract. The Fund will receive payments equal to the positive price movement of the same securities or index (expressed as a percentage) multiplied by the notional amount of the contract and, in some cases, dividends paid on the securities.

The Fund has entered into total return swaps on various equity securities or indexes to decrease exposure to equity risk. These equity risk related total return swaps require the Fund to pay an amount equal to the positive price movement of securities or an index (expressed as a percentage) multiplied by the notional amount of the contract and, in some cases, dividends paid on the securities. The Fund will receive payments of a floating reference interest rate and an amount equal to the negative price movement of the same securities or index (expressed as a percentage) multiplied by the notional amount of the contract.

The Fund has entered into total return swaps to increase exposure to the credit risk of various indexes or basket of securities. These credit risk related total return swaps require the Fund to pay to, or receive payments from, the counterparty based on the movement of credit spreads of the related indexes or securities.

The Fund has entered into total return swaps on various commodity indexes to increase exposure to commodity risk. These commodity risk related total return swaps require the Fund to pay a fixed or a floating reference interest rate, and an amount equal to the negative price movement of an index (expressed as a percentage) multiplied by the notional amount of the contract. The Fund will receive payments equal to the positive price movement of the same index (expressed as a percentage) multiplied by the notional amount of the contract.

For the six months ended June 30, 2014, the Fund had ending monthly average notional amounts of $27,499,549 and $4,524,889 on total return swaps which are long the reference asset and total return swaps which are short the reference asset, respectively.

Additional associated risks to the Fund include counterparty credit risk and liquidity risk.

Volatility Swap Contracts. A volatility swap is an agreement between counterparties to exchange periodic payments based on the measured volatility of a reference security, index, currency or other reference investment over a specified time frame. One cash flow is typically based on the realized volatility of the reference investment as measured by changes in its price or level over the specified time period while the other cash flow is based on a specified rate representing expected volatility for the reference investment at the time the swap is executed, or the measured volatility of a different reference investment over the specified time period. The appreciation or depreciation on a volatility swap will typically depend on the magnitude of the reference investment’s volatility, or size of the movements in its price, over the specified time period, rather than general directional increases or decreases in its price.

Volatility swaps are less standard in structure than other types of swaps and provide pure, or isolated, exposure to volatility risk of the specific underlying reference investment. Volatility swaps are typically used to speculate on future volatility levels, to trade the spread between realized and expected volatility, or to decrease the volatility exposure of investments held by the Fund.

Variance swaps are a type of volatility swap where counterparties agree to exchange periodic payments based on the measured variance (or the volatility squared) of a reference security, index, or other reference investment over a specified time period. At payment date, a net cash flow will be exchanged based on the difference between the realized variance of the reference investment over the specified time period and the specified rate representing expected variance for the reference investment at the time the swap is executed multiplied by the notional amount of the contract.

35 OPPENHEIMER DIVERSIFIED ALTERNATIVES FUND/VA

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS _{Unaudited / Continued}

6. Risk Exposures and the Use of Derivative Instruments (Continued)

The Fund has entered into volatility swaps to increase exposure to the volatility risk of various reference investments. These types of volatility swaps require the Fund to pay the measured volatility and receive a fixed rate payment. If the measured volatility of the related reference investment increases over the period, the swaps will depreciate in value. Conversely, if the measured volatility of the related reference investment decreases over the period, the swaps will appreciate in value.

The Fund has entered into volatility swaps to decrease exposure to the volatility risk of various reference investments. These types of volatility swaps require the Fund to pay a fixed rate payment and receive the measured volatility. If the measured volatility of the related reference investment increases over the period, the swaps will appreciate in value. Conversely, if the measured volatility of the related reference investment decreases over the period, the swaps will depreciate in value.

The Fund has entered into variance swaps to increase exposure to the volatility risk of various reference investments. These types of volatility swaps require the Fund to make a payment if the measured price variance of the reference investment exceeds the specified fixed rate. If the measured variance of the related reference investment increases over the period, the swaps will depreciate in value. Conversely, if the measured variance of the related reference investment decreases over the period, the swaps will appreciate in value.

The Fund has entered into variance swaps to decrease exposure to the volatility risk of various reference investments. These types of volatility swaps require the Fund to make a payment if the measured price variance of the reference asset is less than the specified fixed rate. If the measured variance of the related reference investment increases over the period, the swaps will appreciate in value. Conversely, if the measured variance of the related reference investment decreases over the period, the swaps will depreciate in value.

For the six months ended June 30, 2014, the Fund had ending monthly average notional amounts of $8,707 and $1,888 on volatility swaps which pay measured volatility/variance and volatility swaps which receive measured volatility/variance, respectively.

Additional associated risks to the Fund include counterparty credit risk and liquidity risk.

As of June 30, 2014, the Fund has required certain counterparties to post collateral of $2,142,581.

36 OPPENHEIMER DIVERSIFIED ALTERNATIVES FUND/VA

6. Risk Exposures and the Use of Derivative Instruments (Continued)

The following table presents by counterparty the Fund’s OTC derivative assets net of the related collateral posted for the benefit of the Fund at June 30, 2014:


			Gross Amounts Not Offset in the Consolidated Statement of Assets & Liabilities
Counterparty	Gross Amount of Assets in the Consolidated Statement of Assets & Liabilities*		Financial Instruments Available for Offset			Financial Instruments Collateral Received**			Cash Collateral Received**		Net Amount

Bank of America NA	$	343,651	$	(211,458	)	$	(132,193	)	$	—	$	—
Barclays Bank plc		149,671		(149,671	)		—			—		—
BNP Paribas		42,386		(25,424	)		—			—		16,962
Canadian Imperial Bank of Commerce		1		(1	)		—			—		—
Citibank NA		359,367		(179,969	)		—			—		179,398
Credit Suisse International		15,544		—			—			—		15,544
Deutsche Bank Securities, Inc.		157,755		(157,755	)		—			—		—
Goldman Sachs Bank USA		97,248		(97,248	)		—			—		—
Goldman Sachs Group, Inc. (The)		280,513		(188,600	)		—			—		91,913
JPMorgan Chase Bank NA		289,252		(49,230	)		(240,022	)		—		—
Macquarie Bank Ltd.		7,890		—			—			—		7,890
Merrill Lynch Commodities, Inc.		28,425		(3	)		—			—		28,422
Morgan Stanley		1,973		(692	)		—			—		1,281
Morgan Stanley Capital Services, Inc.		44,852		(34,360	)		—			—		10,492
Royal Bank of Scotland plc (The)		57,598		(57,598	)		—			—		—

	$	1,876,126	$	(1,152,009	)	$	(372,215	)	$	—	$	351,902

* OTC derivatives are reported gross on the Consolidated Statement of Assets and Liabilities. Exchange traded options and margin related to centrally cleared swaps and futures are excluded from these reported amounts.

The following table presents by counterparty the Fund’s OTC derivative liabilities net of the related collateral pledged by the Fund at June 30, 2014:


			Gross Amounts Not Offset in the Consolidated Statement of Assets & Liabilities
Counterparty	Gross Amount of Liabilities in the Consolidated Statement of Assets & Liabilities*		Financial Instruments Available for Offset		Financial Instruments Collateral Pledged**		Cash Collateral Pledged**		Net Amount

Bank of America NA	$	(211,458)	$	211,458	$	—	$	—	$	—
Barclays Bank plc		(159,209)		149,671		—		—		(9,538)
BNP Paribas		(25,424)		25,424		—		—		—
Canadian Imperial Bank of Commerce		(2)		1		—		1		—
Citibank NA		(179,969)		179,969		—		—		—
Deutsche Bank Securities, Inc.		(187,583)		157,755		—		—		(29,828)
Goldman Sachs Bank USA		(240,448)		97,248		—		—		(143,200)
Goldman Sachs Group, Inc. (The)		(188,600)		188,600		—		—		—
JPMorgan Chase Bank NA		(49,230)		49,230		—		—		—
Merrill Lynch Commodities, Inc.		(3)		3		—		—		—
Morgan Stanley		(692)		692		—		—		—
Morgan Stanley Capital Services, Inc.		(34,360)		34,360		—		—		—
Royal Bank of Scotland plc (The)		(68,232)		57,598		—		—		(10,634)

	$	(1,345,210)	$	1,152,009	$	—	$	1	$	(193,200)

35 OPPENHEIMER DIVERSIFIED ALTERNATIVES FUND/VA


NOTES TO CONSOLIDATED FINANCIAL STATEMENTS Unaudited / Continued

6. Risk Exposures and the Use of Derivative Instruments (Continued)

The following table presents the valuations of derivative instruments by risk exposure as reported within the Consolidated Statement of Assets and Liabilities as of June 30, 2014:

Asset Derivatives

Liability Derivatives

Derivatives Not Accounted for

as Hedging Instruments

Consolidated Statement of Assets and
Liabilities Location

Value

Consolidated Statement of Assets and
Liabilities Location

Value

Commodity contracts

Swaps, at value

36,316

Swaps, at value

Credit contracts

Swaps, at value

512,161

Swaps, at value

50,111

Equity contracts

Swaps, at value

152,385

Swaps, at value

182,740

Volatility contracts

Swaps, at value

184,276

Swaps, at value

168,345

Interest rate contracts

Centrally cleared swaps, at value

28,665

Centrally cleared swaps, at value

52,088

Commodity contracts

Variation margin receivable

47,039 *

Variation margin payable

26,210 *

Equity contracts

Variation margin receivable

23,248 *

Variation margin payable

1,969 *

Interest rate contracts

Variation margin receivable

2,531 *

Volatility contracts

Variation margin receivable

2,550 *

Foreign exchange contracts

Unrealized appreciation on foreign currency exchange contracts

990,988

Unrealized depreciation on foreign currency exchange contracts

944,009

Equity contracts

Options written, at value

63,850

Commodity contracts

Investments, at value

6,395 **

Equity contracts

Investments, at value

1,268 **

Total

1,987,822

1,489,327

* Includes only the current day’s variation margin. Prior variation margin movements have been reflected in cash on the Consolidated Statement of Assets and Liabilities upon receipt or payment.

** Amounts relate to purchased option contracts and purchased swaption contracts, if any.

The effect of derivative instruments on the Consolidated Statement of Operations is as follows:


Amount of Realized Gain or (Loss) Recognized on Derivatives

Derivatives Not Accounted for as Hedging Instruments	Investment from unaffiliated companies (including premiums on options exercised)*		Closing and expiration of option contracts written		Closing and expiration of futures contracts		Foreign currency transactions		Swap contracts		Total

Commodity contracts	$	—	$	—	$	(30,136)	$	—	$	1,175,103	$	1,144,967
Credit contracts		—		—		—		—		(55,218)		(55,218)
Equity contracts		49,805		10,185		(236,544)		—		354,482		177,928
Foreign exchange contracts		41,427		39,277		—		(15,274)		—		65,430
Interest rate contracts		—		—		76,958		—		10,711		87,669
Volatility contracts		—		—		15,958		—		(467,359)		(451,401)

Total	$	91,232	$	49,462	$	(173,764)	$	(15,274)	$	1,017,719	$	969,375

* Includes purchased option contracts, purchased swaption contracts, written option contracts exercised and written swaption contracts exercised, if any.
Amount of Change in Unrealized Gain or (Loss) Recognized on Derivatives

Derivatives Not Accounted for as Hedging Instruments	Investments*		Option contracts written		Futures contracts		Translation of assets and liabilities denominated in foreign currencies		Swap contracts		Total

Commodity contracts	$	(6,804)	$	—	$	173,758	$	—	$	36,311	$	203,265
Credit contracts		—		—		—		—		197,321		197,321
Equity contracts		(192)		(5,869)		116,265		—		(41,823)		68,381
Foreign exchange contracts		(2,440)		(2,475)		—		43,633		—		38,718
Interest rate contracts		—		—		(4,180)		—		(23,423)		(27,603)
Volatility contracts		—		—		102		—		15,717		15,819

Total	$	(9,436)	$	(8,344)	$	285,945	$	43,633	$	184,103	$	495,901

*Includes purchased option contracts and purchased swaption contracts, if any.

7. Restricted Securities

As of June 30, 2014, investments in securities included issues that are restricted. A restricted security may have a contractual restriction on its resale and is valued under methods approved by the Board of Trustees as reflecting fair value. Securities that are restricted are marked with an applicable footnote on the Consolidated Statement of Investments. Restricted securities are reported on a schedule following the Consolidated Statement of Investments.

8. Pending Litigation

38 OPPENHEIMER DIVERSIFIED ALTERNATIVES FUND/VA

8. Pending Litigation (Continued)

among other things, that the disclosure documents of the respective Defendant Funds contained misrepresentations and omissions and that the respective Defendant Funds’ investment policies were not followed. The plaintiffs in these actions sought unspecified damages, equitable relief and awards of attorneys’ fees and litigation expenses. The Defendant Funds’ Boards of Trustees also engaged counsel to represent the Funds and the present and former Independent Trustees named in those suits. On March 5, 2014, the parties in six of these lawsuits executed stipulations and agreements of settlement resolving those actions. On July 31, 2014, the court entered an order and final judgment approving the settlements as fair, reasonable and adequate. The settlements do not resolve a seventh outstanding lawsuit relating to Oppenheimer Rochester California Municipal Fund.

39 OPPENHEIMER DIVERSIFIED ALTERNATIVES FUND/VA


PORTFOLIO PROXY VOTING POLICIES AND PROCEDURES; UPDATES TO STATEMENTS OF INVESTMENTS Unaudited

40 OPPENHEIMER DIVERSIFIED ALTERNATIVES FUND/VA

THIS PAGE INTENTIONALLY LEFT BLANK.

41 OPPENHEIMER DIVERSIFIED ALTERNATIVES FUND/VA

THIS PAGE INTENTIONALLY LEFT BLANK.

42 OPPENHEIMER DIVERSIFIED ALTERNATIVES FUND/VA

THIS PAGE INTENTIONALLY LEFT BLANK.

43 OPPENHEIMER DIVERSIFIED ALTERNATIVES FUND/VA

OPPENHEIMER DIVERSIFIED ALTERNATIVES FUND/VA

A Series of Oppenheimer Variable Account Funds

Trustees and Officers

Sam Freedman, Chairman of the Board of Trustees and Trustee

Edward L. Cameron, Trustee

Jon S. Fossel, Trustee

Richard F. Grabish, Trustee

Beverly L. Hamilton, Trustee

Victoria J. Herget, Trustee

Robert J. Malone, Trustee

F. William Marshall, Jr., Trustee

Karen L. Stuckey, Trustee

James D. Vaughn, Trustee

William F. Glavin, Jr., Trustee, President and Principal Executive Officer

Mark Hamilton, Vice President

Benjamin Rockmuller, Vice President

Dokyoung Lee, Vice President

Arthur S. Gabinet, Secretary and Chief Legal Officer

Christina M. Nasta, Vice President and Chief Business Officer

Mary Ann Picciotto, Chief Compliance Officer and Chief Anti-Money Laundering Officer

Brian W. Wixted, Treasurer and Principal Financial & Accounting Officer

Manager

OFI Global Asset Management, Inc.

Sub-Adviser

OppenheimerFunds, Inc.

Distributor

OppenheimerFunds Distributor, Inc.

Transfer and

OFI Global Asset Management, Inc.

Shareholder

Servicing Agent

Sub-Transfer Agent

Shareholder Services, Inc.

DBA OppenheimerFunds Services

Independent

KPMGLLP

Registered Public

Accounting Firm

Counsel

K&L Gates LLP

Before investing in any of the Oppenheimer funds, investors should carefully consider a fund’s investment objectives, risks, charges and expenses. Fund prospectuses and summary prospectuses contain this and other information about the funds and may be obtained by asking your financial advisor, visiting oppenheimerfunds.com or calling us at 1.800.988.8287. Read prospectuses and summary prospectuses carefully before investing.

The financial statements included herein have been taken from the records of the Fund without examination of those records by the independent registered public accounting firm.

LOGO

Portfolio Managers: George R. Evans, CFA, and Robert B. Dunphy, CFA

Cumulative Total Returns

For the 6-Month Period Ended 6/30/14


Non-Service Shares	2.42	%
Service Shares	2.52	%


Average Annual Total Returns For the Periods Ended 6/30/14
	1-Year	5-Year	10-Year
Non-Service Shares	21.30%	15.80%	10.09%
Service Shares	21.20%	15.53%	9.81%

Performance data quoted represents past performance, which does not guarantee future results. The investment return and principal value of an investment in the Fund will fluctuate so that an investor’s shares, when redeemed, may be worth more or less than their original cost. Current performance may be lower or higher than the performance quoted. For performance data current to the most recent month end, call us at 1.800.988.8287. The Fund’s total returns should not be expected to be the same as the returns of other funds, whether or not both funds have the same portfolio managers and/or similar names. The Fund’s total returns include changes in share price and reinvested distributions but do not include the charges associated with the separate account products that offer this Fund. Such performance would have been lower if such charges were taken into account.


TOP TEN COMMON STOCK HOLDINGS
SAP AG	1.6	%
BT Group plc	1.5
Aalberts Industries NV	1.4
Roche Holding AG	1.4
Industria de Diseno Textil SA (Inditex)	1.4
Novo Nordisk AS, Cl. B	1.4
Aryzta AG	1.4
Syngenta AG	1.3
Diageo plc	1.3
Unilever plc	1.3

Portfolio holdings and allocations are subject to change. Percentages are as of June 30, 2014, and are based on net assets. For more current Fund holdings, please visit oppenheimerfunds.com.

REGIONAL ALLOCATION

LOGO

Portfolio holdings and allocations are subject to change. Percentages are as of June 30, 2014, and are based on the total market value of investments.

2 OPPENHEIMER INTERNATIONAL GROWTH FUND/VA

Fund Performance Discussion

The Fund’s Non-Service shares produced a return of 2.42% for the period, underperforming the MSCI AC World ex-U.S. Index (the “Index”), which returned 5.56%. The Fund underperformed the Index in the information technology, energy and consumer discretionary sectors due primarily to weaker relative stock selection. An underweight position in energy and an overweight position in consumer discretionary also contributed to the underperformance in those sectors. The Fund outperformed the Index in the consumer staples, telecommunication services and materials sectors, where stronger stock selection benefited, and in the financials sector due to an underweight position.

GLOBAL MARKET AND ECONOMIC ENVIRONMENT

TOP INDIVIDUAL CONTRIBUTORS

Top contributors to the Fund’s performance this period included Weir Group plc, Aryzta AG and Novo Nordisk AS. Weir Group is a global engineering solutions company providing components and services mainly to companies in the mining and energy industries. The company’s innovative products, including pumps and valves, are designed for difficult operating environments and can play a critical role in improving operational efficiency for companies operating in the resource markets. Weir also has a complementary aftermarket business that focuses on repair and upgrades of equipment. The stock rallied on the heels of fourth-quarter results that flagged a solid recovery in demand after a period of destocking on the part of clients. The sequential pick up in Weir’s order book also supports an improving outlook. Aryzta provides a wide range of pre-baked bakery food products including bread, cookies and other pastries. Aryzta expanded its presence in North America by acquiring Canada-based Pineridge Bakery and U.S.-based Cloverhill Bakery, helping to drive its stock up. Aryzta has a healthy mergers and acquisitions (M&A) track record in a fragmented bakery industry. Novo Nordisk, a Danish company, is the global leader in diabetes care. The stock rallied during the reporting period as concerns surrounding growth and competition moderated. Investors instead focused on Novo’s track record of delivering consistent results as well as the company’s long-term growth potential. The U.S. diabetes market is estimated at over $40 billion and growing strongly. That growth is supported by increased incidence, diagnosis and treatment of the disease in the United States. Growth is also evident in the emerging markets due to changing dietary habits and increasing disposable income that can be used to better meet healthcare needs.

TOP INDIVIDUAL DETRACTORS

Detractors from performance this reporting period included YOOX SpA, BG Group plc and ARM Holdings plc. YOOX, based in Italy, is a leading online retailer in the luxury goods space. The company’s business model includes a multi-brand business that sells discounted products from a variety of designers, as well as a mono-brand business that offers a shop-in-shop platform for a growing number of brands. Both consumers of luxury goods and luxury goods manufacturers had been relatively slow to embrace e-commerce. In our opinion, as the shift to online sales accelerates, it presents a large growth opportunity for YOOX. Full year 2013 results were announced in March and while underlying metrics were solid, currency proved to be a headwind for the company. At period end, we continue to focus on the long-term structural growth opportunities for YOOX. BG Group, a global integrated oil and gas company, is one of the major players in the Brazilian pre-salt basins. We believe that Brazil, along with BG’s LNG (liquefied natural gas) project in Australia, offers significant growth potential over the next few years. However, the company reported disappointing results recently, which were related to weak production and higher costs in its legacy base business. Its exposure to Egypt has also created some concern. We exited our position. ARM Holdings licenses intellectual property to semiconductor companies, who then incorporate its designs into their own products. The company’s designs are the de-facto chip standard for mobile devices, and they are expanding into other areas as well, such as digital TVs and servers. The stock has been off this year as the growth of high end smartphones has been decelerating, though it is still fast. The stock price has gone up by almost 50% a year for the last 5-years, so a breather is not surprising.

3 OPPENHEIMER INTERNATIONAL GROWTH FUND/VA

STRATEGY & OUTLOOK

We continue to seek to invest in companies that may benefit from long-term secular growth trends, have significant and durable competitive advantages, and the financial flexibility to increase their relative market position against their competitors during downtrends in the business cycle. We are long-term investors with an average holding period of more than seven years.

We continue to see gradual improvement in the macroeconomic environment in the developed world. The U.S. economy is setting the pace and received a vote of confidence from the Fed to continue tapering its quantitative easing program. Europe appears to be turning the corner. The headwinds created by austerity and stressed financial markets are diminishing. While there is still some disparity in fundamentals across Euro area economies, we continue to get positive signals on several fronts. Even the peripheral European economies have shown signs of stability and marginal improvement.

The emerging markets are likely to be a continued source of concern for investors as they weigh the impact of issues such as tightening global liquidity, slowing growth in China, and the events in the Ukraine. However, we believe that the rebound in emerging markets that occurred over the second half of the reporting period would suggest that investors realize some of these headwinds are more than reflected in the market valuation.

The Fund’s investment strategy and focus can change over time. The mention of specific fund holdings does not constitute a recommendation by OppenheimerFunds, Inc. or its affiliates.

4 OPPENHEIMER INTERNATIONAL GROWTH FUND/VA

Fund Expenses

The examples are based on an investment of $1,000.00 invested at the beginning of the period and held for the entire 6-month period ended June 30, 2014.

Hypothetical Example for Comparison Purposes.


Actual	Beginning Account Value January 1, 2014		Ending Account Value June 30, 2014		Expenses Paid During 6 Months Ended June 30, 2014
Non-Service shares	$	1,000.00	$	1,024.20	$	5.03
Service shares		1,000.00		1,025.20		6.25

Hypothetical (5% return before expenses)
Non-Service shares		1,000.00		1,019.84		5.02
Service shares		1,000.00		1,018.65		6.23

5 OPPENHEIMER INTERNATIONAL GROWTH FUND/VA


STATEMENT OF INVESTMENTS June 30, 2014 Unaudited


	Shares		Value

Common Stocks—96.7%

Consumer Discretionary—20.1%

Automobiles—1.1%

Bayerische Motoren Werke (BMW) AG		46,216	$	5,862,180


Diversified Consumer Services—1.3%

Benesse Holdings, Inc.		82,825		3,595,800

Dignity plc		145,626		3,415,882

				7,011,682


Hotels, Restaurants & Leisure—2.9%

Carnival Corp.		134,840		5,076,726

Domino’s Pizza Group plc		483,786		4,335,545

William Hill plc		1,210,517		6,785,247

				16,197,518


Household Durables—0.8%

SEB SA		52,130		4,611,521


Internet & Catalog Retail—1.5%

Ctrip.com International Ltd., ADR¹		67,650		4,332,306

Yoox SpA¹		140,426		3,782,172

				8,114,478


Media—3.1%

British Sky Broadcasting Group plc		432,221		6,680,603

Grupo Televisa SAB, Sponsored ADR		30,580		1,049,200

Liberty Global plc, Cl. A¹		14,332		633,761

Liberty Global plc, Series C¹		35,910		1,519,352

SES SA		158,580		6,012,369

Zee Entertainment Enterprises Ltd.		246,278		1,199,740

				17,095,025


Multiline Retail—1.1%

Dollarama, Inc.		75,522		6,217,710


Specialty Retail—1.4%

Industria de Diseno Textil SA (Inditex)		50,373		7,767,403


Textiles, Apparel & Luxury Goods—6.9%

Burberry Group plc		263,840		6,689,412

Cie Financiere Richemont SA		67,421		7,076,221

Kering		18,840		4,128,434

Luxottica Group SpA		43,523		2,518,971

LVMH Moet Hennessy Louis Vuitton SA		24,800		4,777,236

Prada SpA		826,800		5,877,684

Swatch Group AG (The)		11,005		6,646,904

				37,714,862


Consumer Staples—11.4%

Beverages—3.2%

Diageo plc		229,652		7,310,581

Heineken NV		79,257		5,690,346

Pernod-Ricard SA		37,170		4,463,786

				17,464,713


Food & Staples Retailing—1.3%

CP ALL PCL		4,835,400		7,151,192


Food Products—4.9%

Aryzta AG¹		81,211		7,686,224

Barry Callebaut AG¹		4,202		5,709,035

DANONE SA		67,990		5,046,058

Saputo, Inc.		20,256		1,213,595

Unilever plc		160,802		7,291,601

				26,946,513


Household Products—1.1%

Reckitt Benckiser Group plc		72,804		6,349,066


Personal Products—0.2%

L’Oreal SA		5,660		975,966


	Shares		Value

Tobacco—0.7%

Swedish Match AB		103,929	$	3,605,450


Energy—3.5%

Energy Equipment & Services—2.5%

Hunting plc		26,590		390,500

Saipem SpA¹		185,800		5,007,042

Schoeller-Bleckmann Oilfield Equipment AG		24,829		3,199,913

Technip SA		44,810		4,908,329

				13,505,784


Oil, Gas & Consumable Fuels—1.0%

Koninklijke Vopak NV		115,490		5,642,814


Financials—4.1%

Capital Markets—2.2%

ICAP plc		945,849		6,143,975

Tullett Prebon plc		316,444		1,431,804

UBS AG¹		260,622		4,775,663

				12,351,442


Commercial Banks—0.8%

ICICI Bank Ltd., Sponsored ADR¹		88,565		4,419,394


Insurance—1.0%

Prudential plc		242,617		5,565,340


Thrifts & Mortgage Finance—0.1%

Housing Development Finance Corp. Ltd.¹		25,497		418,598


Health Care—10.5%

Biotechnology—2.3%

CSL Ltd.		92,900		5,832,529

Grifols SA		127,438		6,957,575

				12,790,104


Health Care Equipment & Supplies—3.4%

DiaSorin SpA		97,486		4,084,585

Essilor International SA		44,000		4,671,368

Sonova Holding AG		39,113		5,970,185

William Demant Holding¹		45,444		4,126,255

				18,852,393


Health Care Providers & Services—0.8%

Sonic Healthcare Ltd.		279,158		4,564,954


Health Care Technology—0.3%

CompuGroup Medical AG		50,384		1,435,765


Pharmaceuticals—3.7%

Galenica AG		4,622		4,510,345

Novo Nordisk AS, Cl. B		166,577		7,689,631

Roche Holding AG		26,229		7,826,773

				20,026,749


Industrials—23.9%

Aerospace & Defense—2.9%

Airbus Group NV		80,650		5,413,063

Embraer SA		409,026		3,737,603

Rolls-Royce Holdings plc¹		376,620		6,878,616

				16,029,282


Air Freight & Couriers—0.6%

Royal Mail plc¹		400,050		3,413,734


Commercial Services & Supplies—3.4%

Aggreko plc		208,344		5,879,179

Edenred		185,508		5,621,069

Prosegur Compania de Seguridad SA		984,004		7,060,613

				18,560,861


Construction & Engineering—2.3%

Koninklijke Boskalis Westminster NV		119,443		6,843,251

Leighton Holdings Ltd.		196,080		3,648,685

6 OPPENHEIMER INTERNATIONAL GROWTH FUND/VA


	Shares		Value

Construction & Engineering (Continued)

Trevi Finanziaria Industriale SpA		268,890	$	2,431,717

				12,923,653


Electrical Equipment—3.5%

ABB Ltd.¹		230,602		5,321,559

Legrand SA		98,090		5,996,442

Nidec Corp.		49,800		3,061,946

Schneider Electric SE		52,750		4,975,074

				19,355,021


Machinery—4.2%

Aalberts Industries NV		244,360		7,971,782

Atlas Copco AB, Cl. A		227,871		6,577,580

FANUC Corp.		7,800		1,347,907

Weir Group plc (The)		155,654		6,968,221

				22,865,490


Professional Services—3.5%

Experian plc		379,453		6,408,819

Intertek Group plc		134,120		6,307,590

SGS SA		2,623		6,287,102

				19,003,511


Trading Companies & Distributors—3.5%

Brenntag AG		30,629		5,470,800

Bunzl plc		249,617		6,922,741

Wolseley plc		129,251		7,077,127

				19,470,668


Information Technology—14.0%

Communications Equipment—1.1%

Telefonaktiebolaget LM Ericsson, Cl. B		490,235		5,927,737


Electronic Equipment, Instruments, & Components—2.5%

Hoya Corp.		195,893		6,518,575

Keyence Corp.		12,906		5,645,212

Omron Corp.		39,086		1,651,351

				13,815,138


Internet Software & Services—2.6%

Telecity Group plc		238,710		3,074,574

United Internet AG		130,271		5,739,672

Yahoo Japan Corp.		1,172,500		5,433,399

				14,247,645


IT Services—1.3%

Amadeus IT Holding SA, Cl. A		162,978		6,714,561

Infosys Ltd.		10,780		582,518

				7,297,079


Semiconductors & Semiconductor Equipment—1.1%

ARM Holdings plc		421,330		6,359,976


	Shares			Value

Software—5.4%

Aveva Group plc		81,584		$	2,842,065

Dassault Systemes SA		41,633			5,351,196

Gemalto NV		50,681			5,250,722

Sage Group plc (The)		503,073			3,303,290

SAP AG		114,130			8,815,175

Temenos Group AG		103,497			4,031,799

					29,594,247


Materials—4.9%

Chemicals—3.8%

Essentra plc		544,707			7,107,884

Sika AG		1,560			6,380,763

Syngenta AG		19,753			7,380,109

					20,868,756


Construction Materials—1.1%

James Hardie Industries plc		479,600			6,265,826


Telecommunication Services—4.0%

Diversified Telecommunication Services—4.0%

BT Group plc		1,238,556			8,148,334

Iliad SA		13,950			4,210,016

Inmarsat plc		478,530			6,116,439

Ziggo NV		71,681			3,312,522

					21,787,311


Utilities—0.3%

Independent Power and Renewable Electricity Producers—0.3%

APR Energy plc		153,454			1,707,225

Total Common Stocks (Cost $329,367,604)					532,151,776


Preferred Stock—0.0%

Zee Entertainment Enterprises Ltd., 6% Cum. Non-Cv. (Cost $12,273)		5,995,416			75,759

	Units

Rights, Warrants and Certificates—0.0%

MEI Pharma, Inc. Wts., Strike Price $1.19, Exp. 5/10/17¹ (Cost $35,548)		151,358			56,199

	Shares

Investment Company—2.9%

Oppenheimer Institutional Money Market Fund, Cl. E, 0.09%^2,3 (Cost $15,904,339)		15,904,339			15,904,339


Total Investments, at Value (Cost $345,319,764)		99.6	%		548,188,073

Net Other Assets (Liabilities)		0.4			2,144,096

Net Assets		100.0	%	$	550,332,169

Footnotes to Statement of Investments

1. Non-income producing security.

2. Rate shown is the 7-day yield as of June 30, 2014.


	Shares December 31, 2013		Gross Additions		Gross Reductions		Shares June 30, 2014

Oppenheimer Institutional Money Market Fund, Cl. E		18,850,174		123,423,446		126,369,281		15,904,339

			Value				Income

Oppenheimer Institutional Money Market Fund, Cl. E			$	15,904,339			$	4,873

7 OPPENHEIMER INTERNATIONAL GROWTH FUND/VA


STATEMENT OF INVESTMENTS Continued

Distribution of investments representing geographic holdings, as a percentage of total investments at value, is as follows:


Geographic Holdings	Value		Percent
United Kingdom	$	150,905,371		27.5%
Switzerland		79,602,682		14.5
France		71,161,928		13.0
Netherlands		34,711,436		6.3
Spain		28,500,152		5.2
Germany		27,323,591		5.0
Japan		27,254,190		5.0
Italy		23,702,171		4.3
United States		23,190,378		4.2
Australia		20,311,994		3.7
Sweden		16,110,766		2.9
Denmark		11,815,886		2.2
Canada		7,431,305		1.4
Thailand		7,151,192		1.3
India		6,696,009		1.2
China		4,332,306		0.8
Brazil		3,737,603		0.7
Austria		3,199,913		0.6
Mexico		1,049,200		0.2

Total	$	548,188,073		100.0%

See accompanying Notes to Financial Statements.

8 OPPENHEIMER INTERNATIONAL GROWTH FUND/VA


STATEMENT OF ASSETS AND LIABILITIES June 30, 2014 Unaudited



Assets
Investments, at value—see accompanying statement of investments:
Unaffiliated companies (cost $329,415,425)	$	532,283,734
Affiliated companies (cost $15,904,339)		15,904,339

		548,188,073

Cash		500,370

Receivables and other assets:
Dividends		1,148,291
Shares of beneficial interest sold		893,431
Investments sold		143,749
Other		24,015

Total assets		550,897,929


Liabilities
Payables and other liabilities:
Investments purchased		208,977
Foreign capital gains tax		207,261
Shares of beneficial interest redeemed		65,382
Distribution and service plan fees		26,676
Trustees’ compensation		18,781
Legal, auditing and other professional fees		18,060
Shareholder communications		8,410
Other		12,213

Total liabilities		565,760


Net Assets	$	550,332,169



Composition of Net Assets
Par value of shares of beneficial interest	$	214,114

Additional paid-in capital		321,561,396

Accumulated net investment income		4,059,145

Accumulated net realized gain on investments and foreign currency transactions		21,820,547

Net unrealized appreciation on investments and translation of assets and liabilities denominated in foreign currencies		202,676,967

Net Assets	$	550,332,169



Net Asset Value Per Share
Non-Service Shares:
Net asset value, redemption price (excludes applicable contingent deferred sales charge) and offering price per share (based on net assets of $418,699,050 and 164,367,827 shares of beneficial interest outstanding)		$2.55

Service Shares:
Net asset value, redemption price (excludes applicable contingent deferred sales charge) and offering price per share (based on net assets of $131,633,119 and 49,746,236 shares of beneficial interest outstanding)		$2.65

See accompanying Notes to Financial Statements.

9 OPPENHEIMER INTERNATIONAL GROWTH FUND/VA


STATEMENT OF OPERATIONS For the Six Months Ended June 30, 2014 Unaudited



Investment Income
Dividends:
Unaffiliated companies (net of foreign withholding taxes of $767,466)	$	7,504,330
Affiliated companies		4,873

Interest		236

Total investment income		7,509,439

Expenses
Management fees		2,519,821

Distribution and service plan fees - Service shares		150,915

Transfer and shareholder servicing agent fees:
Non-Service shares		207,066
Service shares		60,375

Shareholder communications:
Non-Service shares		936
Service shares		247

Custodian fees and expenses		25,790

Trustees’ compensation		9,980

Other		33,426

Total expenses		3,008,556
Less waivers and reimbursements of expenses		(182,932)

Net expenses		2,825,624


Net Investment Income		4,683,815

Realized and Unrealized Gain (Loss)
Net realized gain on:
Investments from unaffiliated companies (net of foreign capital gains tax of $22,281)		29,012,936
Foreign currency transactions		35,573

Net realized gain		29,048,509

Net change in unrealized appreciation/depreciation on:
Investments (net of foreign capital gains tax of $189,442)		(24,534,454)
Translation of assets and liabilities denominated in foreign currencies		2,684,293

Net change in unrealized appreciation/depreciation		(21,850,161)


Net Increase in Net Assets Resulting from Operations	$	11,882,163

See accompanying Notes to Financial Statements.

10 OPPENHEIMER INTERNATIONAL GROWTH FUND/VA


STATEMENTS OF CHANGES IN NET ASSETS


	Six Months Ended June 30, 2014 (Unaudited)		Year Ended December 31, 2013

Operations
Net investment income	$	4,683,815	$ 5,818,170

Net realized gain		29,048,509	27,279,495

Net change in unrealized appreciation/depreciation		(21,850,161)	81,110,996

Net increase in net assets resulting from operations		11,882,163	114,208,661

Dividends and/or Distributions to Shareholders
Dividends from net investment income:
Non-Service shares		(4,715,943)	(5,541,706)
Service shares		(1,167,654)	(927,692)

		(5,883,597)	(6,469,398)

Distributions from net realized gain:
Non-Service shares		(8,305,904)	—
Service shares		(2,491,854)	—

		(10,797,758)	—

Beneficial Interest Transactions
Net increase (decrease) in net assets resulting from beneficial interest transactions:
Non-Service shares		(35,409,292)	21,565,103
Service shares		14,442,918	29,347,067

		(20,966,374)	50,912,170

Net Assets
Total increase (decrease)		(25,765,566)	158,651,433

Beginning of period		576,097,735	417,446,302


End of period (including accumulated net investment income of $4,059,145 and $5,258,927, respectively)	$	550,332,169	$ 576,097,735

See accompanying Notes to Financial Statements.

11 OPPENHEIMER INTERNATIONAL GROWTH FUND/VA


FINANCIAL HIGHLIGHTS


Non-Service Shares	Six Months Ended June 30, 2014 (Unaudited)		Year Ended December 31, 2013		Year Ended December 31, 2012		Year Ended December 30, 2011¹		Year Ended December 31, 2010		Year Ended December 31, 2009

Per Share Operating Data
Net asset value, beginning of period	$	2.57	$	2.07	$	1.72	$	1.87	$	1.65	$	1.21

Income (loss) from investment operations:
Net investment income²		0.02		0.03		0.03		0.02		0.02		0.02
Net realized and unrealized gain (loss)		0.04		0.50		0.35		(0.15)		0.22		0.44

Total from investment operations		0.06		0.53		0.38		(0.13)		0.24		0.46

Dividends and/or distributions to shareholders:
Dividends from net investment income		(0.03)		(0.03)		(0.03)		(0.02)		(0.02)		(0.02)
Distributions from net realized gain		(0.05)		0.00		0.00		0.00		0.00		0.00

Total dividends and/or distributions to shareholders		(0.08)		(0.03)		(0.03)		(0.02)		(0.02)		(0.02)

Net asset value, end of period	$	2.55	$	2.57	$	2.07	$	1.72	$	1.87	$	1.65



Total Return, at Net Asset Value³		2.42%		25.87%		22.22%		(7.16)%		14.76%		39.24%


Ratios/Supplemental Data
Net assets, end of period (in thousands)	$	418,699	$	458,038	$	348,449	$	364,221	$	417,141	$	369,575

Average net assets (in thousands)	$	419,608	$	404,859	$	332,018	$	406,974	$	376,612	$	328,763

Ratios to average net assets:⁴
Net investment income		1.78%		1.24%		1.68%		1.21%		1.04%		1.35%
Total expenses⁵		1.06%		1.09%		1.13%		1.09%		1.10%		1.08%
Expenses after payments, waivers and/or reimbursements and reduction to custodian expenses		1.00%		1.00%		1.00%		1.00%		1.00%		1.00%

Portfolio turnover rate		25%		32%		22%		25%		19%		34%

1. December 30, 2011 represents the last business day of the Fund’s 2011 fiscal year.

2. Per share amounts calculated based on the average shares outstanding during the period.

4. Annualized for periods less than one full year.

5. Total expenses including indirect expenses from affiliated fund were as follows:


Six Months Ended June 30, 2014	1.06	%
Year Ended December 31, 2013	1.09	%
Year Ended December 31, 2012	1.13	%
Year Ended December 30, 2011	1.09	%
Year Ended December 31, 2010	1.10	%
Year Ended December 31, 2009	1.09	%

See accompanying Notes to Financial Statements.

12 OPPENHEIMER INTERNATIONAL GROWTH FUND/VA


Service Shares	Six Months Ended June 30, 2014 (Unaudited)		Year Ended December 31, 2013		Year Ended December 31, 2012		Year Ended December 30, 2011¹		Year Ended December 31, 2010		Year Ended December 31, 2009

Per Share Operating Data
Net asset value, beginning of period	$	2.66	$	2.14	$	1.78	$	1.94	$	1.71	$	1.25

Income (loss) from investment operations:
Net investment income²		0.02		0.02		0.03		0.02		0.01		0.01
Net realized and unrealized gain (loss)		0.04		0.53		0.35		(0.17)		0.24		0.47

Total from investment operations		0.06		0.55		0.38		(0.15)		0.25		0.48

Dividends and/or distributions to shareholders:
Dividends from net investment income		(0.02)		(0.03)		(0.02)		(0.01)		(0.02)		(0.02)
Distributions from net realized gain		(0.05)		0.00		0.00		0.00		0.00		0.00

Total dividends and/or distributions to shareholders		(0.07)		(0.03)		(0.02)		(0.01)		(0.02)		(0.02)

Net asset value, end of period	$	2.65	$	2.66	$	2.14	$	1.78	$	1.94	$	1.71



Total Return, at Net Asset Value³		2.52%		25.71%		21.68%		(7.61)%		14.62%		39.06%


Ratios/Supplemental Data
Net assets, end of period (in thousands)	$	131,633	$	118,060	$	68,997	$	57,276	$	61,630	$	43,376

Average net assets (in thousands)	$	122,353	$	88,647	$	63,118	$	62,359	$	50,420	$	30,629

Ratios to average net assets:⁴
Net investment income		1.61%		0.89%		1.43%		0.96%		0.78%		0.94%
Total expenses⁵		1.31%		1.34%		1.38%		1.34%		1.35%		1.34%
Expenses after payments, waivers and/or reimbursements and reduction to custodian expenses		1.24%		1.25%		1.25%		1.25%		1.25%		1.26%

Portfolio turnover rate		25%		32%		22%		25%		19%		34%

1. December 30, 2011 represents the last business day of the Fund’s 2011 fiscal year.

2. Per share amounts calculated based on the average shares outstanding during the period.

4. Annualized for periods less than one full year.

5. Total expenses including indirect expenses from affiliated fund were as follows:


Six Months Ended June 30, 2014	1.31	%
Year Ended December 31, 2013	1.34	%
Year Ended December 31, 2012	1.38	%
Year Ended December 30, 2011	1.34	%
Year Ended December 31, 2010	1.35	%
Year Ended December 31, 2009	1.35	%

See accompanying Notes to Financial Statements.

13 OPPENHEIMER INTERNATIONAL GROWTH FUND/VA


NOTES TO FINANCIAL STATEMENTS June 30, 2014 Unaudited

1. Significant Accounting Policies

Oppenheimer International Growth Fund/VA (the “Fund”), formerly a series of Panorama Series, is a separate series of Oppenheimer Variable Account Funds, which is registered under the Investment Company Act of 1940, as amended, as a diversified open-end management investment company. The Fund’s investment objective is to seek capital appreciation. The Fund’s investment adviser is OFI Global Asset Management, Inc. (“OFI Global” or the “Manager”), a wholly-owned subsidiary of OppenheimerFunds, Inc., (“OFI” or the “Sub-Adviser”). The Manager has entered into a sub-advisory agreement with OFI. Shares of the Fund are sold only to separate accounts of life insurance companies.

The following is a summary of significant accounting policies consistently followed by the Fund.

During the fiscal year ended December 31, 2013, the Fund utilized $13,674,717 capital loss carryforward to offset capital gains realized in that fiscal year. Capital loss carryforwards with no expiration, if any, must be utilized prior to those with expiration dates. Capital losses with no expiration will be carried forward to future years if not offset by gains.

14 OPPENHEIMER INTERNATIONAL GROWTH FUND/VA

1. Significant Accounting Policies (Continued)


Federal tax cost of securities	$	352,161,506


Gross unrealized appreciation	$	201,421,277
Gross unrealized depreciation		(5,394,710)

Net unrealized appreciation	$	196,026,567

Certain foreign countries impose a tax on capital gains which is accrued by the Fund based on unrealized appreciation, if any, on affected securities. The tax is paid when the gain is realized.

Security Transactions. Security transactions are recorded on the trade date. Realized gains and losses on securities sold are determined on the basis of identified cost.

2. Securities Valuation

15 OPPENHEIMER INTERNATIONAL GROWTH FUND/VA

NOTES TO FINANCIAL STATEMENTS Unaudited / Continued

2. Securities Valuation (Continued)

“fair valuation” for any security for which market quotations are not “readily available.” The Valuation Committee’s fair valuation determinations are subject to review, approval and ratification by the Fund’s Board at its next regularly scheduled meeting covering the calendar quarter in which the fair valuation was determined.

Valuation Methods and Inputs

Securities are valued using unadjusted quoted market prices, when available, as supplied primarily by third party pricing services or dealers.

The following methodologies are used to determine the market value or the fair value of the types of securities described below:

Shares of a registered investment company that are not traded on an exchange are valued at that investment company’s net asset value per share.

A description of the standard inputs that may generally be considered by the third party pricing vendors in determining their evaluated prices is provided below.


Security Type		Standard inputs generally considered by third-party pricing vendors
Corporate debt, government debt, municipal, mortgage-backed and asset-backed securities		Reported trade data, broker-dealer price quotations, benchmark yields, issuer spreads on comparable securities, the credit quality, yield, maturity, and other appropriate factors.
Loans		Information obtained from market participants regarding reported trade data and broker-dealer price quotations.
Event-linked bonds		Information obtained from market participants regarding reported trade data and broker-dealer price quotations.

16 OPPENHEIMER INTERNATIONAL GROWTH FUND/VA

2. Securities Valuation (Continued)

Classifications

1) Level 1-unadjusted quoted prices in active markets for identical assets or liabilities (including securities actively traded on a securities exchange)

3) Level 3-significant unobservable inputs (including the Manager’s own judgments about assumptions that market participants would use in pricing the asset or liability).

The inputs used for valuing securities are not necessarily an indication of the risks associated with investing in those securities.

The table below categorizes amounts that are included in the Fund’s Statement of Assets and Liabilities as of June 30, 2014 based on valuation input level:


	Level 1— Unadjusted Quoted Prices		Level 2— Other Significant Observable Inputs		Level 3— Significant Unobservable Inputs		Value
Assets Table
Investments, at Value:
Common Stocks
Consumer Discretionary	$	18,829,055	$	91,763,324	$	—	$	110,592,379
Consumer Staples		1,213,595		61,279,305		—		62,492,900
Energy		—		19,148,598		—		19,148,598
Financials		4,419,394		18,335,380		—		22,754,774
Health Care		—		57,669,965		—		57,669,965
Industrials		—		131,622,220		—		131,622,220
Information Technology		—		77,241,822		—		77,241,822
Materials		—		27,134,582		—		27,134,582
Telecommunication Services		—		21,787,311		—		21,787,311
Utilities		—		1,707,225		—		1,707,225
Preferred Stock		75,759		—		—		75,759
Rights, Warrants and Certificates		—		56,199		—		56,199
Investment Company		15,904,339		—		—		15,904,339

Total Assets	$	40,442,142	$	507,745,931	$	—	$	548,188,073

Foreign currency exchange contracts and futures contracts, if any, are reported at their unrealized appreciation/ depreciation at measurement date, which represents the change in the contract’s value from trade date. All additional assets and liabilities included in the above table are reported at their market value at measurement date.

3. Shares of Beneficial Interest

The Fund has authorized an unlimited number of $0.001 par value shares of beneficial interest of each class. Transactions in shares of beneficial interest were as follows:


	Six Months Ended June 30, 2014						Year Ended December 31, 2013
	Shares			Amount			Shares			Amount
Non-Service Shares
Sold		13,113,200		$	33,681,351			49,717,056		$	113,109,115
Dividends and/or distributions reinvested		5,127,853			13,021,847			2,452,083			5,541,706
Redeemed		(32,232,786	)		(82,112,490	)		(42,327,625	)		(97,085,718)

Net increase (decrease)		(13,991,733	)	$	(35,409,292	)		9,841,514		$	21,565,103



Service Shares
Sold		6,322,116		$	16,887,828			16,576,608		$	39,884,179
Dividends and/or distributions reinvested		1,386,507			3,659,508			396,450			927,692
Redeemed		(2,299,957	)		(6,104,418	)		(4,816,049	)		(11,464,804)

Net increase		5,408,666		$	14,442,918			12,157,009		$	29,347,067

4. Purchases and Sales of Securities

The aggregate cost of purchases and proceeds from sales of securities, other than short-term obligations and investments in IMMF, for the six months ended June 30, 2014 were as follows:


	Purchases		Sales
Investment securities	$	132,058,186	$	163,516,624

17 OPPENHEIMER INTERNATIONAL GROWTH FUND/VA

NOTES TO FINANCIAL STATEMENTS Unaudited / Continued

5. Fees and Other Transactions with Affiliates

Management Fees. Under the investment advisory agreement, the Fund pays the Manager a management fee based on the daily net assets of the Fund at an annual rate as shown in the following table:


Fee Schedule
Up to $250 million			1.00%
Next $250 million			0.90
Over $500 million			0.85

Waivers and Reimbursements of Expenses. The Manager has contractually agreed to limit the Fund’s expenses after payments, waivers and/or reimbursements and reduction to custodian expenses, excluding expenses incurred directly or indirectly by the Fund as a result of investments in other investment companies, wholly-owned subsidiaries and pooled investment vehicles; so that those expenses, as percentages of daily net assets, will not exceed the annual rate of 1.00% for Non-Service shares and 1.25% for Service shares. During the year ended June 30, 2014, the Manager waived fees and/or reimbursed the Fund $136,082 and $40,631 for Non-Service and Service shares, respectively.

Some of these undertakings may be modified or terminated at any time; some may not be modified or terminated until after one year from the date of the current prospectus, as indicated therein.

6. Pending Litigation

18 OPPENHEIMER INTERNATIONAL GROWTH FUND/VA

6. Pending Litigation (Continued)

19 OPPENHEIMER INTERNATIONAL GROWTH FUND/VA

PORTFOLIO PROXY VOTING POLICIES AND PROCEDURES;

UPDATES TO STATEMENTS OF INVESTMENTS Unaudited

20 OPPENHEIMER INTERNATIONAL GROWTH FUND/VA

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21 OPPENHEIMER INTERNATIONAL GROWTH FUND/VA

THIS PAGE INTENTIONALLY LEFT BLANK.

22 OPPENHEIMER INTERNATIONAL GROWTH FUND/VA

THIS PAGE INTENTIONALLY LEFT BLANK.

23 OPPENHEIMER INTERNATIONAL GROWTH FUND/VA


OPPENHEIMER INTERNATIONAL GROWTH FUND/VA

A Series of Oppenheimer Variable Account Funds


Trustees and Officers		Sam Freedman, Chairman of the Board of Trustees and Trustee
		Edward L. Cameron, Trustee
		Jon S. Fossel, Trustee
		Richard F. Grabish, Trustee
		Beverly L. Hamilton, Trustee
		Victoria J. Herget, Trustee
		Robert J. Malone, Trustee
		F. William Marshall, Jr., Trustee
		Karen L. Stuckey, Trustee
		James D. Vaughn, Trustee
		William F. Glavin, Jr., Trustee, President and Principal Executive Officer
		George R. Evans, Vice President
		Robert B. Dunphy, Vice President
		Arthur S. Gabinet, Secretary and Chief Legal Officer
		Christina M. Nasta, Vice President and Chief Business Officer
		Mary Ann Picciotto, Chief Compliance Officer and Chief Anti-Money Laundering Officer
		Brian W. Wixted, Treasurer and Principal Financial & Accounting Officer

Manager		OFI Global Asset Management, Inc.

Sub-Adviser		OppenheimerFunds, Inc.

Distributor		OppenheimerFunds Distributor, Inc.

Transfer and		OFI Global Asset Management, Inc.
Shareholder
Servicing Agent

Sub-Transfer Agent		Shareholder Services, Inc.
		DBA OppenheimerFunds Services

Independent		KPMGLLP
Registered
Public
Accounting
Firm

Counsel		K&L Gates LLP

		Before investing in any of the Oppenheimer funds, investors should carefully consider a fund’s investment objectives, risks, charges and expenses. Fund prospectuses and summary prospectuses contain this and other information about the funds and may be obtained by asking your financial advisor, visiting oppenheimerfunds.com or calling us at 1.800.988.8287. Read prospectuses and summary prospectuses carefully before investing.

		The financial statements included herein have been taken from the records of the Fund without examination of those records by the independent registered public accounting firm.

		© 2014 OppenheimerFunds, Inc. All rights reserved. Oppenheimer funds are distributed by OppenheimerFunds Distributor, Inc.

LOGO

Item 2. Code of Ethics.

Not applicable to semiannual reports.

Item 3. Audit Committee Financial Expert.

Not applicable to semiannual reports.

Item 4. Principal Accountant Fees and Services.

Not applicable to semiannual reports.

Item 5. Audit Committee of Listed Registrants

Not applicable.

Item 6. Schedule of Investments.

a) Not applicable. The complete schedule of investments is included in Item 1 of this Form N-CSR.

b) Not applicable.

Item 7. Disclosure of Proxy Voting Policies and Procedures for Closed-End Management Investment Companies.

Not applicable.

Item 8. Portfolio Managers of Closed-End Management Investment Companies.

Not applicable.

Item 9. Purchases of Equity Securities by Closed-End Management Investment Company and Affiliated Purchasers.

Not applicable.

Item 10. Submission of Matters to a Vote of Security Holders.

The Fund’s Governance Committee Provisions with Respect to Nominations of Directors/Trustees to the Respective Boards

None

Item 11. Controls and Procedures.

Based on their evaluation of the registrant’s disclosure controls and procedures (as defined in rule 30a-3(c) under the Investment Company Act of 1940 (17 CFR 270.30a-3(c)) as of 6/30/2014, the registrant’s principal executive officer and principal financial officer found the registrant’s disclosure controls and procedures to provide reasonable assurances that information required to be disclosed by the registrant in the reports that it files under the Securities Exchange Act of 1934 (a) is accumulated and communicated to registrant’s management, including its principal executive officer and principal financial officer, to allow timely decisions regarding required disclosure, and (b) is recorded, processed, summarized and reported, within the time periods specified in the rules and forms adopted by the U.S. Securities and Exchange Commission.

There have been no changes in the registrant’s internal controls over financial reporting that occurred during the registrant’s second fiscal quarter of the period covered by this report that have materially affected, or are reasonably likely to materially affect, the registrant’s internal control over financial reporting.

Item 12. Exhibits.

(a)	(1) Not applicable to semiannual reports.

(2)

Exhibits attached hereto.

(3)

Not applicable.

(b)	Exhibit attached hereto.

SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934 and the Investment Company Act of 1940, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.

Oppenheimer Variable Account Funds


By:		/s/ William F. Glavin, Jr.
		William F. Glavin, Jr.
		Principal Executive Officer

Date:		8/8/2014

Pursuant to the requirements of the Securities Exchange Act of 1934 and the Investment Company Act of 1940, this report has been signed below by the following persons on behalf of the registrant and in the capacities and on the dates indicated.


By:		/s/ William F. Glavin, Jr.
		William F. Glavin, Jr.
		Principal Executive Officer

Date:		8/8/2014

By:		/s/ Brian W. Wixted
		Brian W. Wixted
		Principal Financial Officer

Date:		8/8/2014

Expense Ratios

Non-Service shares

Service shares