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UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM N-CSR
CERTIFIED SHAREHOLDER REPORT OF REGISTERED MANAGEMENT INVESTMENT
COMPANIES
COMPANIES
Investment Company Act file number 811-05641
The Park Avenue Portfolio
(Exact name of registrant as specified in charter)
7 Hanover Square New York, N.Y. 10004
(Address of principal executive offices) (Zip code)
Frank L. Pepe | Thomas G. Sorell | |
The Park Avenue Portfolio | The Park Avenue Portfolio | |
7 Hanover Square | 7 Hanover Square | |
New York, N.Y. 10004 | New York, N.Y. 10004 |
(Name and address of agents for service)
Registrant’s telephone number, including area code: (800) 221-3253
Date of fiscal year end: December 31
Date of reporting period: June 30, 2005
ITEM 1. REPORTS TO STOCKHOLDERS.
The Semiannual Report to Shareholders follows.
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![COVER PAGE](https://capedge.com/proxy/N-CSRS/0000950123-05-010744/e10194y1019426.gif)
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Dear Shareholder: |
![(PHOTO)](https://capedge.com/proxy/N-CSRS/0000950123-05-010744/e10194sorell.jpg)
Thomas G. Sorell, CFA
Chief Investment Officer
QUICK FACTS
• | Despite rising oil prices and higher short-term interest rates, the U.S. economy continued to expand at a brisk pace. |
• | Even though stock prices rose in the second quarter, the overall equity market was flat during the six month period. |
• | While the Federal Reserve continued to raise the Fed Funds rate, the bond market bucked conventional wisdom and generated positive returns during the first six months of 2005. |
• | We continue to believe the economy will expand as the year progresses and that the stock and bond markets may generate modest gains in 2005. |
A Resilient U.S. Economy
While there were concerns that the U.S. economy might experience a “soft patch” due to higher oil prices and interest rates, the U.S. economy remained on solid footing during the six month reporting period. First quarter Gross Domestic Product (GDP) was 3.8%, which was the same growth rate experienced during the fourth quarter of 2004. (Gross Domestic Product measures the value of goods and services produced in an economy.) The economic expansion continued to be supported by strong consumer spending that was fueled by solid employment and income gains, as well as an extremely supportive housing market.
To date, concerns that rising oil prices and the Federal Reserve Board’s (the Fed) move to increase interest rates would slow economic growth appear to be unfounded. This might be explained in part by the fact that in spite of the Fed’s moves to raise short-term interest rates, longer-term rates have actually declined. Low interest rates have continued to support an ever-ebullient housing market. The Fed has continued to remove policy accommodation at a “measured pace,” raising the Federal Funds target rate four more times during the six month period. These hikes were instituted with the intention of eliminating excess monetary stimuli that might result in too rapid a rate of economic growth and increased inflationary pressures. All told, the Fed has now raised short-term rates nine times since June 2004, bringing the Federal Funds rate from 1.00% to 3.25%.
Stocks Largely Tread Water
After falling 2.15% in the first quarter of 2005, stocks generated positive returns in the second quarter, with the S&P 500 Index returning 1.37%. For the six month period ended June 30, 2005, the S&P 500 Index posted a -0.81% return. (The S&P 500 Index is an index of 500 primarily large-cap U.S. stocks that is generally considered to be representative of U.S. stock market activity. It is unmanaged and not available for direct investment.) Past performance is not an indication of future results.
The stock market’s weakness in the first quarter was triggered by mixed economic data, soaring oil prices, and inflationary concerns. The second quarter also started off on the wrong foot, as stocks fell due to fears that the economic expansion was running out of steam. The S&P 500 Index then gained 3.18% in May, on the back of better-than-expected retail sales data and a benign inflation report. Stock prices were then flat in June, as investors’ awaited word from the Fed regarding the magnitude and duration of future interest rate hikes.
For the reporting period as a whole, mid-cap stocks posted the strongest returns, with the Russell Midcap, Russell 1000, and Russell 2000 Indexes returning 3.92%, 0.11%, and -1.25%, respectively (the Russell Midcap is generally considered to be representative of mid-cap U.S. stocks, the Russell 1000 is generally considered to be representative of large-cap U.S. stocks, and the Russell 2000 Index is generally considered to be representative of small capitalization issues in the U.S. stock market. All of these indices are unmanaged and are not available for direct investment). From a market style perspective, value-oriented stocks outperformed their growth counterparts, as the Russell 3000 Value Index rose 1.69%, while the Russell 3000 Growth Index declined 1.88% (the Russell 3000 Value Index is generally considered to be representative of the U.S. equity value market, and the Russell 3000 Growth Index is generally considered to be representative of the broad U.S. equity growth markets. These indices are unmanaged and are not available for direct investment).
Bonds Have a Pleasant Surprise for Investors
Certainly one of the biggest surprises over the last six months was the performance of the bond market. When the year began, there were few people who thought that bonds would generate positive returns, let alone outperform stocks. But the bond market surpassed these low expectations and the overall market, as measured by the Lehman Brothers Aggregate Bond Index, returned 2.51% during the six-month period (the Lehman Brothers Aggregate Bond Index is an unmanaged index that is generally considered to be representative of the U.S. bond market activity. It is not available for direct investment).
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As previously mentioned, longer-term interest rates, which are used to establish mortgage and other borrowing rates, have fallen despite the Fed’s tightening monetary policy. When the Fed first started increasing rates in June 2004, 10-year Treasury yields were 4.69% and one year later at quarter end they stood at 3.92%. While Fed Chairman Greenspan stated it was a “conundrum” that shorter term interest rates were rising while longer term rates were falling, these conditions continued to support consumer spending, as well as a potential “bubble” in the housing market. Even Chairman Greenspan admitted that housing showed “signs of froth in some local markets, where home prices seem to have risen to unsustainable levels.”
One sector of the market that experienced a fair share of publicity, as well as increased volatility, was high yield bonds. After a strong start, high yield bond prices declined in March and April 2005 due to concerns over the bond downgrades of General Motors and Ford Motor Company. However, following these downgrades, high yield bonds rebounded in May and June. All told, over the six-month period, the Lehman High Yield Bond Index returned 1.11% (The Lehman High Yield Bond Index is an index that is generally considered to be representative of corporate high yield bond market activity. It is unmanaged and not available for direct investment).
Economic Outlook: Moderating Economic Growth
Over the last six months, our outlook for the U.S. economy has remained fairly consistent. Given the current environment, we continue to believe that economic growth will decline somewhat. The Fed has made clear its intention to raise rates at a measured pace. In addition, high oil prices, if sustained, should eventually temper spending and slow economic growth. We believe the Blue Chip Economic Indicators consensus estimate for second half 2005 GDP growth of 3.5% is reasonable and that GDP could move closer to its historical average of 3.0% next year. Looking more closely at the Fed, we expect it to raise short-term rates from 3.25% to 3.75% during its next two meetings. However, after these moves, we wouldn’t be surprised if the Fed paused to monitor and analyze the economic impact of its monetary policy, which will have been in effect for more than a year. Historically, Fed-tightening cycles last about twelve months with 2.50% of interest rate hikes. We have just reached the twelfth month of this cycle and rates have risen 2.25%.While rates were extremely low from a historical perspective when the Fed began raising the Fed Funds rate, we believe we are approaching the end of this tightening cycle.
Equity Outlook: Hopes for a Late Rally
As with the economy, our outlook for the equity market hasn’t changed. We continue to expect a decelerating corporate profit environment, with Thomson First Call projecting that earnings growth will be approximately 8% in 2005 and 5% in 2006. This compares to 21% earnings growth in 2004. We currently believe the stock market is fairly valued at 16 times forward earnings and 17 times trailing earnings. This is a level not seen since 1996. Given the relatively flat market thus far in 2005, many investors are hoping for a repeat of 2004, when stock prices surged in the fourth quarter and the S&P 500 Index gained 10.88% for the year as a whole. Last year’s rally occurred once the uncertainty of the presidential election lifted and oil prices fell. A catalyst for a late rally in 2005 could possibly be driven by a meaningful decline in oil prices and/or a pause in the Fed’s tightening cycle. We believe equity returns in the mid- to upper-single digit range could be possible should this scenario play out.
In the international equity markets, European stocks performed well during the first half in local currency terms. However, due to the weakening of the euro during the first half of the year, all of the gains were lost in currency translation for U.S. investors. Reasonable valuations, decent corporate profitability and profit margins have made the region’s equity markets appear attractive relative to the prevailing low bond yields. Looking ahead, European equities could benefit if the European Central Bank lowers interest rates to stimulate economic growth. Japan’s stock market has been nearly flat in local currency terms (and negative in dollar terms) thus far in 2005, as mixed economic signals, high oil prices, falling exports, and political uncertainties have weighted on the Japanese market. Until some of these issues are resolved there could be continued weakness.
Finally, emerging market equities have performed well in 2005 (both in local currency terms and dollar terms) and could continue to do so given high commodity prices and their ability, thus far, to withstand a rising Fed Funds rate. This has mirrored the strong performance of emerging market bonds so far in the year, which has been attributed to their improving credit quality.
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Bond Outlook: Mixed Signals Abound
After the first six months of 2005, it may be unwise to again underestimate the bond market. At the same time, many of the issues that concerned investors heading into the year remain. The Fed has telegraphed its intention to raise interest rates. Longer-term rates have bucked their historical trend and fallen in the face of rising short-term rates. And inflation could eventually be impacted if oil prices don’t retreat from their current high levels.
The bond market tends to telegraph the future and it’s currently acting as if economic weakness were on the horizon. This is exemplified by the flattening yield curve as long-and-short term yields compress, and continued low long-term rates. On the other hand, if the bond market is wrong and the economy continues to expand at a rapid pace, we believe the Fed may move to continue raising short-term rates for the foreseeable future. Should this occur, longer-term rates will most likely rise as well.
Given this environment, where investors are poorly compensated for extending duration with a flat yield curve, a prudent approach may be to become more defensive with one’s fixed income holdings, both in terms of duration and credit quality. By holding shorter duration bonds or funds, we believe principal losses are less likely in a rising rate environment. That’s because interest rates and bond prices move in opposite directions and rising rates generally have a negative impact on bond prices.
Take a Long-term View
Perhaps nowhere is the saying “hindsight is 20/20” more pertinent that when looking at the financial markets. Because no one knows where the markets are headed over the short-term, attempting to outguess, or time, the market can be hazardous to your longer-term financial goals. We continue to believe in the three tenets of sound investing: maintaining a diversified portfolio, employing a sound asset allocation strategy, and taking a long-term view of the markets. Your investment professional can provide the guidance needed to keep you on track with your financial goals. He or she can also help you have realistic expectations for your investment returns in the current environment.
In conclusion, we thank you for your business, confidence and trust to manage your investments and look forward to serving your financial needs in the future.
![-s- Thomas G. Sorell](https://capedge.com/proxy/N-CSRS/0000950123-05-010744/e10194sorells1.gif)
Thomas G. Sorell, CFA
President, The Park Avenue Portfolio
Chief Investment Officer,
Guardian Investor Services LLC
President, The Park Avenue Portfolio
Chief Investment Officer,
Guardian Investor Services LLC
Please note that the opinions and outlooks about the markets in general and any specific securities expressed above reflect the viewpoints of Tom Sorell as of June 30, 2005. Keep in mind that market conditions are constantly evolving and that past performance is not a guarantee of future results. This shareholder letter is not part of the funds’ financial report and is submitted for the general information of Park Avenue Portfolio shareholders. This letter is not authorized for distribution to prospective investors unless preceded or accompanied by a prospectus. Please consider the funds’ investment objective, risks, fees and charges carefully before investing.
The Park Avenue Portfolio® family of mutual funds is sold by prospectus only. The prospectus contains important information, including fees and expenses and should be read carefully before investing or sending money. You should consider the funds’ investment objectives, risks, fees and charges carefully before investing. A prospectus contains this and other important information and can be obtained from your investment professional or by calling 800-221-3253.
Shares of The Park Avenue Portfolio family of mutual funds are not deposits or obligations of, or guaranteed or endorsed by, any bank or depository institution, nor are they insured by the Federal Deposit Insurance Corporation (FDIC), the National Credit Union Association (NCUA), the Federal Reserve Board, or any other agency. Investment in the funds involves risks, including possible loss of the principal amount invested. Fund shares are subject to market fluctuations and, when redeemed, may be worth more or less than their original cost.
Guardian Investor Services LLC (GIS) is the distributor of The Park Avenue Portfolio family of mutual funds. GIS is an indirect wholly owned subsidiary of The Guardian Life Insurance Company of America (Guardian Life), New York, NY. GIS is located at 7 Hanover Square, New York, NY 10004. 800-221-3253.
GIS is a member: NASD, SIPC.
GIS is a member: NASD, SIPC.
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About Your Semiannual Report |
Information About Indexes:
Index returns are provided for comparative purposes and are quoted throughout the following fund information. Please note that the indices are not available for direct investment and the returns do not reflect the fees and expenses that have been deducted from the Fund. In addition, the return figures for the index do not reflect sales charges that an investor may pay when purchasing or redeeming shares of the Fund.
• | The S&P 500 Index is an unmanaged index of 500 primarily large cap U.S. stocks that is generally considered to be representative of U.S. stock market activity. | |
• | The Russell 1000 Value Index offers investors access to the large-cap value segment of the U.S. equity universe. The Russell 1000 Value is constructed to seek to provide a comprehensive and unbiased barometer of the large-cap value market. Based on ongoing empirical research of investment manager behavior, the methodology used to determine growth probability approximates the aggregate large-cap value manager’s opportunity set. | |
• | The Russell 2000 Index is an unmanaged index that is generally considered to be representative of small capitalization issues in the U.S. stock market. | |
• | The Russell 2000 Value Index offers investors access to the small-cap value segment of the U.S. equity universe. The Russell 2000 Value is constructed to seek to provide a comprehensive and unbiased barometer of the small-cap value market. Based on ongoing empirical research of investment manager behavior, the methodology used to determine value probability approximates the aggregate small-cap value manager’s opportunity set. | |
• | The Morgan Stanley Capital International (MSCI) Europe, Australasia and Far East (EAFE) Growth Index is an unmanaged index that is generally considered to be representative of the international growth stock market activity. | |
• | The Morgan Stanley Capital International (MSCI) Emerging Markets Free (EMF) Index is an unmanaged index that is generally considered to be representative of the stock market activity of emerging markets. The MSCI EMF Index is a market capitalization weighted index composed of companies representative of the market structure of 22 emerging market countries of Europe, Latin America and the Pacific Basin. The MSCI EMF Index excludes closed markets and those shares in otherwise free markets that may not be purchased by foreigners. | |
• | The Lehman Aggregate Bond Index is an unmanaged index that is generally considered to be representative of U.S. bond market activity. | |
• | The Lehman U.S. Government 1-3 Year Bond Index is an unmanaged index that is generally considered to be representative of U.S. short duration bond market activity. | |
• | The Lehman Corporate High Yield Bond Index is an unmanaged index that is generally considered to be representative of U.S. corporate high yield bond market activity. | |
• | The Lehman Municipal Bond Index is an unmanaged index that is generally considered to be representative of U.S. municipal bond activity. | |
• | The Lehman 3-Month Treasury Bill Index is generally considered representative of the average yield of three-month Treasury Bills. |
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THE PARK AVENUE PORTFOLIO
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Schedule | ||||
Fund | of | |||
Highlights | Investments | |||
The Guardian Park Avenue Fund | 2 | 29 | ||
The Guardian UBS Large Cap Value Fund | 5 | 31 | ||
The Guardian Park Avenue Small Cap Fund | 7 | 33 | ||
The Guardian UBS Small Cap Value Fund | 9 | 35 | ||
The Guardian Asset Allocation Fund | 11 | 37 | ||
The Guardian S&P 500 Index Fund | 13 | 40 | ||
The Guardian Baillie Gifford International Growth Fund | 15 | 46 | ||
The Guardian Baillie Gifford Emerging Markets Fund | 17 | 49 | ||
The Guardian Investment Quality Bond Fund | 19 | 52 | ||
The Guardian Low Duration Bond Fund | 21 | 57 | ||
The Guardian High Yield Bond Fund | 23 | 60 | ||
The Guardian Tax-Exempt Fund | 25 | 65 | ||
The Guardian Cash Management Fund | 27 | 68 | ||
Financial Statements | 72 | |||
Notes to Financial Statements | 81 | |||
Financial Highlights | 96 | |||
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n The Guardian Park Avenue Fund | Semiannual Report To Shareholders |
![(PHOTO)](https://capedge.com/proxy/N-CSRS/0000950123-05-010744/e10194mgovil.gif)
Manind V. Govil, CFA
Portfolio Manager
Portfolio Manager
Objective:
Long-term growth of capital |
Portfolio:
At least 80% common stocks and securities convertible into common stocks |
Inception Date:
June 1, 1972 |
Net Assets at
June 30, 2005:
June 30, 2005:
$941,721,411 |
A Portfolio Management Update
Manind V. Govil, CFA, was named portfolio manager of The Guardian Park Avenue Fund and head of Guardian’s Common Stock Department starting August 1, 2005. Manind joins Guardian after having spent the past 12 years at Mercantile Capital Advisors where he served as Co-Head of Equities, Head of Equity Research, and as the Lead Portfolio Manager of the large cap core Mercantile Growth & Income Fund managing $2.2 billion in assets. Prior to joining Mercantile, he was with Covansys Corporation in Michigan and began his career with KPMG Peat Marwick in India. He is a Chartered Financial Analyst, and is a member of the CFA Institute as well as the American Association of Individual Investors. He received a Bachelor of Commerce degree in Accounting from the University of Bombay, India, and was awarded a Master of Business Administration degree in Finance and Information Systems from the University of Cincinnati in Ohio.
Average Annual Total Returns (For periods ended 6/30/2005)
Inception | 1 | 3 | 5 | 10 | Since | |||||||||||||||||||||||||
Date | YTD | Yr | Yrs | Yrs | Yrs | Inception | ||||||||||||||||||||||||
Class A shares | (w/o sales charge) | 6/1/72 | -2.64 | % | 2.12 | % | 3.88 | % | -9.59 | % | 6.43 | % | 12.73 | % | ||||||||||||||||
(w/ sales charge) | 6/1/72 | -7.02 | % | -2.48 | % | 2.30 | % | -10.42 | % | 5.94 | % | 12.57 | % | |||||||||||||||||
Class B shares | (w/o sales charge) | 5/1/96 | -3.13 | % | 1.11 | % | 2.86 | % | -10.46 | % | — | 4.01 | % | |||||||||||||||||
(w/ sales charge) | 5/1/96 | -6.04 | % | -1.89 | % | 2.23 | % | -10.64 | % | — | 4.01 | % | ||||||||||||||||||
Class C shares | (w/o sales charge) | 8/7/00 | -3.21 | % | 0.92 | % | 2.62 | % | — | — | -10.96 | % | ||||||||||||||||||
(w/ sales charge) | 8/7/00 | -4.18 | % | -0.08 | % | 2.62 | % | — | — | -10.96 | % | |||||||||||||||||||
Class K shares | (w/o sales charge) | 5/15/01 | -2.82 | % | 1.75 | % | 3.55 | % | — | — | -3.87 | % | ||||||||||||||||||
(w/ sales charge) | 5/15/01 | -3.79 | % | 0.75 | % | 3.55 | % | — | — | -3.87 | % | |||||||||||||||||||
S&P 500 Index | -0.81 | % | 6.32 | % | 8.28 | % | -2.37 | % | 9.93 | % | 10.99 | % | ||||||||||||||||||
Since Class A shares inception |
Sector Weightings vs. Index (As of 6/30/2005)
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About information in this report:
• | All performance data quoted is historical and the results represent past performance and neither guarantee nor predict future investment results. To obtain performance data current to the most recent month (available within 7 business days of the most recent month end), please call us at (800) 221-3253 or visit our website at www.guardianinvestor.com. Current performance may be higher or lower than the performance quoted here. Investment return and principal value will fluctuate so that an investor’s shares, when redeemed, may be worth more or less than the original cost. | |
• | It is important to consider the Fund’s investment objectives, risks, fees and expenses before investing. All funds involve some risk, including possible loss of the principal amount invested. | |
• | Please see the “About Your Annual Report” page for a description of the S&P 500 Index. | |
• | Total return figures are historical and assume the reinvestment of dividends and distributions and the deduction of all Fund expenses. The return figures shown do not reflect the deduction of taxes that a shareholder may pay on distributions or redemption of shares. Total return figures for Class A shares do not take into account the current maximum sales charge of 4.5%, except where noted. Total return figures for Class B, Class C and Class K shares do not take into account the contingent deferred sales charge applicable to such shares (maximum 3% for Class B shares and 1% for Class C and Class K shares), except where noted. Prior to August 25, 1988, Class A shares of the Fund were offered at a higher sales charge, so that actual returns would have been somewhat lower. |
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n The Guardian Park Avenue Fund | Semiannual Report To Shareholders |
Top Ten Holdings (As of 6/30/2005)
Percentage of | ||||
Company | Total Net Assets | |||
General Electric Co. | 3.14 | % | ||
Bank of America Corp. | 2.99 | % | ||
Microsoft Corp. | 2.87 | % | ||
Citigroup, Inc. | 2.73 | % | ||
Procter & Gamble Co. | 2.50 | % | ||
Exxon Mobil Corp. | 2.43 | % | ||
Johnson & Johnson | 2.07 | % | ||
Intel Corp. | 2.05 | % | ||
Pfizer, Inc. | 1.84 | % | ||
Cisco Systems, Inc. | 1.68 | % |
Fund Expenses
By investing in the Fund, you incur two types of costs: (1) transaction costs, including sales charges on purchase payments, reinvested dividends, or other distributions; redemption fees and exchange fees; and (2) ongoing costs, including, as applicable, management fees; distribution and/or service (12b-1) fees; and other Fund expenses. This example is 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 example is based on an investment of $1,000 invested on January 1, 2005 and held for six months ended June 30, 2005.
Actual Expenses
The first line provides information about actual account values and actual expenses. You may use the information on this line, together with the amount you invested, to estimate the expenses that you paid over the period. Simply divide your account value by $1,000 (for example, an $8,600 account value divided by $1,000 = 8.6), then multiply the result by the number in the applicable line under the heading entitled “Expenses Paid During the Period” to estimate the expenses you paid on your account during this period.
Hypothetical Example for Comparison Purposes
The second line provides information about hypothetical account values and hypothetical expenses based on the Fund’s actual expense ratio and an assumed rate of return of 5% per year before expenses, which is not the Fund’s actual return. The hypothetical account values and expenses may not be used to estimate the actual ending account balance or expenses you paid for the period. You may use this information to compare the ongoing costs of investing in the Fund and other funds. To do so, compare this 5% hypothetical example with the 5% hypothetical examples that appear in the shareholder reports of the other funds.
Please note that the expenses shown in the table are meant to highlight your ongoing costs only and do not reflect any transactional costs, such as sales charges (loads), redemption fees, or exchange fees. Therefore, the table is useful in comparing ongoing costs only, and will not help you determine the relative total costs of owning different funds. In addition, if transactional costs were included, your costs would have been higher.
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n The Guardian Park Avenue Fund | Semiannual Report To Shareholders |
Beginning | Ending | |||||||||||||||
Account Value | Account Value | Expenses Paid | Annualized | |||||||||||||
January 1, 2005 | June 30, 2005 | During Period* | Expense Ratio | |||||||||||||
Class A | ||||||||||||||||
Actual | $ | 1,000 | $ | 973.60 | $ | 4.36 | 0.89 | % | ||||||||
Hypothetical (5% return before expenses) | $ | 1,000 | $ | 1,020.38 | $ | 4.46 | 0.89 | % | ||||||||
Class B | ||||||||||||||||
Actual | $ | 1,000 | $ | 968.70 | $ | 9.27 | 1.90 | % | ||||||||
Hypothetical (5% return before expenses) | $ | 1,000 | $ | 1,015.37 | $ | 9.49 | 1.90 | % | ||||||||
Class C | ||||||||||||||||
Actual | $ | 1,000 | $ | 967.90 | $ | 10.10 | 2.07 | % | ||||||||
Hypothetical (5% return before expenses) | $ | 1,000 | $ | 1,014.53 | $ | 10.34 | 2.07 | % | ||||||||
Class K | ||||||||||||||||
Actual | $ | 1,000 | $ | 971.80 | $ | 5.96 | 1.22 | % | ||||||||
Hypothetical (5% return before expenses) | $ | 1,000 | $ | 1,018.74 | $ | 6.11 | 1.22 | % |
* | Expenses are equal to the Fund’s annualized expense ratio for the Fund’s Class A, B, C and K shares, multiplied by the average account value over the period, multiplied by 181/365 (to reflect the Fund’s most recent fiscal half-year). |
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n The Guardian UBS Large Cap Value Fund | Semiannual Report To Shareholders |
The Guardian UBS Large Cap Value Fund is managed by a team of investment professionals from the Fund’s sub-advisor, UBS Global Asset Management (Americas) Inc., with many years of experience in large cap value investment management. |
Objective:
Seeks to maximize total return, consisting of capital appreciation and current income |
Portfolio:
At least 80% in equity securities issued by companies with a large market capitalization at the time of purchase |
Inception Date:
February 3, 2003 |
Net Assets at
June 30, 2005:
June 30, 2005:
$86,402,807 |
Top Ten Holdings (As of 6/30/2005)
Percentage of | ||||
Company | Total Net Assets | |||
Citigroup, Inc. | 5.40 | % | ||
Exxon Mobil Corp. | 4.90 | % | ||
Wells Fargo & Co. | 4.03 | % | ||
J.P. Morgan Chase & Co. | 3.96 | % | ||
Morgan Stanley | 3.75 | % | ||
Nextel Comm., Inc. | 3.40 | % | ||
Marathon Oil Corp. | 3.03 | % | ||
UnitedHealth Group | 2.86 | % | ||
Federal Home Loan Mortgage Corp. | 2.83 | % | ||
S&P Depositary Receipts Trust Series 1 | 2.36 | % |
Sector Weightings vs. Index (As of 6/30/2005)
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Average Annual Total Returns (For periods ended 6/30/2005)
Inception | 1 | 5 | 10 | Since | ||||||||||||||||||||||
Date | YTD | Yr | Yrs | Yrs | Inception | |||||||||||||||||||||
Class A shares | (w/o sales charge) | 2/3/03 | 1.82 | % | 12.15 | % | — | — | 18.94 | % | ||||||||||||||||
(w/ sales charge) | 2/3/03 | -2.76 | % | 7.10 | % | — | — | 16.68 | % | |||||||||||||||||
Class B shares | (w/o sales charge) | 2/3/03 | 1.52 | % | 11.40 | % | — | — | 18.09 | % | ||||||||||||||||
(w/ sales charge) | 2/3/03 | -1.48 | % | 8.40 | % | — | — | 17.43 | % | |||||||||||||||||
Class C shares | (w/o sales charge) | 2/3/03 | 1.52 | % | 11.40 | % | — | — | 18.09 | % | ||||||||||||||||
(w/ sales charge) | 2/3/03 | 0.52 | % | 10.40 | % | — | — | 18.09 | % | |||||||||||||||||
Class K shares | (w/o sales charge) | 2/3/03 | 1.69 | % | 11.84 | % | — | — | 18.62 | % | ||||||||||||||||
(w/ sales charge) | 2/3/03 | 0.69 | % | 10.84 | % | — | — | 18.62 | % | |||||||||||||||||
Russell 1000 Value Index | 1.76 | % | 14.06 | % | — | — | 20.63 | % | ||||||||||||||||||
Since Class A shares inception |
About information in this report:
• | All performance data quoted is historical and the results represent past performance and neither guarantee nor predict future investment results. To obtain performance data current to the most recent month (available within 7 business days of the most recent month end), please call us at (800) 221-3253 or visit our website at www.guardianinvestor.com. Current performance may be higher or lower than the performance quoted here. Investment return and principal value will fluctuate so that an investor’s shares, when redeemed, may be worth more or less than the original cost. | |
• | It is important to consider the Fund’s investment objectives, risks, fees and expenses before investing. All funds involve some risk, including possible loss of the principal amount invested. | |
• | Please see the “About Your Annual Report” page for a description of the Russell 1000 Value Index. | |
• | Total return figures are historical and assume the reinvestment of dividends and distributions and the deduction of all Fund expenses. The return figures shown do not reflect the deduction of taxes that a shareholder may pay on distributions or redemption of shares. Total return figures for Class A shares do not take into account the current maximum sales charge of 4.5%, except where noted. Total return figures for Class B, Class C and Class K shares do not take into account the contingent deferred sales charge applicable to such shares (maximum 3% for Class B shares and 1% for Class C and Class K shares), except where noted. |
5
Table of Contents
n The Guardian UBS Large Cap Value Fund | Semiannual Report To Shareholders |
Fund Expenses
By investing in the Fund, you incur two types of costs: (1) transaction costs, including sales charges on purchase payments, reinvested dividends, or other distributions; redemption fees and exchange fees; and (2) ongoing costs, including, as applicable, management fees; distribution and/or service (12b-1) fees; and other Fund expenses. This example is 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 example is based on an investment of $1,000 invested on January 1, 2005 and held for six months ended June 30, 2005.
Actual Expenses
The first line provides information about actual account values and actual expenses. You may use the information on this line, together with the amount you invested, to estimate the expenses that you paid over the period. Simply divide your account value by $1,000 (for example, an $8,600 account value divided by $1,000 = 8.6), then multiply the result by the number in the applicable line under the heading entitled “Expenses Paid During the Period” to estimate the expenses you paid on your account during this period.
Hypothetical Example for Comparison Purposes
The second line provides information about hypothetical account values and hypothetical expenses based on the Fund’s actual expense ratio and an assumed rate of return of 5% per year before expenses, which is not the Fund’s actual return. The hypothetical account values and expenses may not be used to estimate the actual ending account balance or expenses you paid for the period. You may use this information to compare the ongoing costs of investing in the Fund and other funds. To do so, compare this 5% hypothetical example with the 5% hypothetical examples that appear in the shareholder reports of the other funds.
Please note that the expenses shown in the table are meant to highlight your ongoing costs only and do not reflect any transactional costs, such as sales charges (loads), redemption fees, or exchange fees. Therefore, the table is useful in comparing ongoing costs only, and will not help you determine the relative total costs of owning different funds. In addition, if transactional costs were included, your costs would have been higher.
Beginning | Ending | |||||||||||||||
Account Value | Account Value | Expenses Paid | Annualized | |||||||||||||
January 1, 2005 | June 30, 2005 | During Period* | Expense Ratio | |||||||||||||
Class A | ||||||||||||||||
Actual | $ | 1,000 | $ | 1,018.20 | $ | 7.16 | 1.43 | % | ||||||||
Hypothetical (5% return before expenses) | $ | 1,000 | $ | 1,017.70 | $ | 7.15 | 1.43 | % | ||||||||
Class B | ||||||||||||||||
Actual | $ | 1,000 | $ | 1,015.20 | $ | 10.89 | 2.18 | % | ||||||||
Hypothetical (5% return before expenses) | $ | 1,000 | $ | 1,013.98 | $ | 10.89 | 2.18 | % | ||||||||
Class C | ||||||||||||||||
Actual | $ | 1,000 | $ | 1,015.20 | $ | 10.89 | 2.18 | % | ||||||||
Hypothetical (5% return before expenses) | $ | 1,000 | $ | 1,013.98 | $ | 10.89 | 2.18 | % | ||||||||
Class K | ||||||||||||||||
Actual | $ | 1,000 | $ | 1,016.90 | $ | 8.45 | 1.69 | % | ||||||||
Hypothetical (5% return before expenses) | $ | 1,000 | $ | 1,016.41 | $ | 8.45 | 1.69 | % |
* | Expenses are equal to the Fund’s annualized expense ratio for the Fund’s Class A, B, C and K shares, multiplied by the average account value over the period, multiplied by 181/365 (to reflect the Fund’s most recent fiscal half-year). |
6
Table of Contents
n The Guardian Park Avenue Small Cap Fund | Semiannual Report To Shareholders |
![(PHOTO)](https://capedge.com/proxy/N-CSRS/0000950123-05-010744/e10194ziehl.jpg)
Matthew Ziehl, CFA
Portfolio Manager
Portfolio Manager
Objective:
Long-term growth of capital |
Portfolio:
At least 85% in a diversified portfolio of common stocks issued by companies with a small market capitalization at the time of initial purchase |
Inception Date:
May 1, 1997 |
Net Assets at
June 30, 2005:
June 30, 2005:
$178,376,808 |
Top Ten Holdings (As of 6/30/2005)
Percentage of | ||||
Company | Total Net Assets | |||
Affiliated Managers Group, Inc. | 2.42 | % | ||
Benchmark Electronics, Inc. | 2.11 | % | ||
Salix Pharmaceuticals Ltd. | 2.11 | % | ||
Insight Enterprises, Inc. | 1.80 | % | ||
Varian Semiconductor Equipment Assoc., Inc. | 1.73 | % | ||
FactSet Research Systems, Inc. | 1.65 | % | ||
Tanger Factory Outlet Centers, Inc. | 1.63 | % | ||
CACI Int’l., Inc. | 1.61 | % | ||
Fairmont Hotels & Resorts, Inc. | 1.60 | % | ||
Informatica Corp. | 1.51 | % |
Sector Weightings vs. Index (As of 6/30/2005)
![]() |
Average Annual Total Returns (For periods ended 6/30/2005)
Inception | 1 | 3 | 5 | 10 | Since | |||||||||||||||||||||||||
Date | YTD | Yr | Yrs | Yrs | Yrs | Inception | ||||||||||||||||||||||||
Class A shares | (w/o sales charge) | 5/1/97 | -4.04 | % | 5.98 | % | 10.75 | % | 1.64 | % | — | 9.51 | % | |||||||||||||||||
(w/ sales charge) | 5/1/97 | -8.36 | % | 1.21 | % | 9.06 | % | 0.71 | % | — | 8.89 | % | ||||||||||||||||||
Class B shares | (w/o sales charge) | 5/6/97 | -4.54 | % | 4.96 | % | 9.70 | % | 0.71 | % | — | 8.11 | % | |||||||||||||||||
(w/ sales charge) | 5/6/97 | -7.40 | % | 1.96 | % | 9.14 | % | 0.51 | % | — | 8.11 | % | ||||||||||||||||||
Class C shares | (w/o sales charge) | 8/7/00 | -4.52 | % | 4.94 | % | 9.58 | % | — | — | 0.14 | % | ||||||||||||||||||
(w/ sales charge) | 8/7/00 | -5.47 | % | 3.94 | % | 9.58 | % | — | — | 0.14 | % | |||||||||||||||||||
Class K shares | (w/o sales charge) | 5/15/01 | -4.22 | % | 5.64 | % | 10.43 | % | — | — | 6.41 | % | ||||||||||||||||||
(w/ sales charge) | 5/15/01 | -5.18 | % | 4.64 | % | 10.43 | % | — | — | 6.41 | % | |||||||||||||||||||
Russell 2000 Index | -1.25 | % | 9.45 | % | 12.81 | % | 5.71 | % | — | 9.31 | % | |||||||||||||||||||
Since Class A shares inception |
About information in this report:
• | All performance data quoted is historical and the results represent past performance and neither guarantee nor predict future investment results. To obtain performance data current to the most recent month (available within 7 business days of the most recent month end), please call us at (800) 221-3253 or visit our website at www.guardianinvestor.com. Current performance may be higher or lower than the performance quoted here. Investment return and principal value will fluctuate so that an investor’s shares, when redeemed, may be worth more or less than the original cost. | |
• | It is important to consider the Fund’s investment objectives, risks, fees and expenses before investing. All funds involve some risk, including possible loss of the principal amount invested. Small-cap investing entails special risks, as small-cap stocks have tended to be more volatile and to drop more in down markets than large-cap stocks. This may happen because small companies may be limited in terms of product lines, financial resources and management. | |
• | Please see the “About Your Annual Report” page for a description of the Russell 2000 Index. | |
• | Total return figures are historical and assume the reinvestment of dividends and distributions and the deduction of all Fund expenses. The return figures shown do not reflect the deduction of taxes that a shareholder may pay on distributions or redemption of shares. Total return figures for Class A shares do not take into account the current maximum sales charge of 4.5%, except where noted. Total return figures for Class B, Class C and Class K shares do not take into account the contingent deferred sales charge applicable to such shares (maximum 3% for Class B shares and 1% for Class C and Class K shares), except where noted. |
7
Table of Contents
n The Guardian Park Avenue Small Cap Fund | Semiannual Report To Shareholders |
Fund Expenses
By investing in the Fund, you incur two types of costs: (1) transaction costs, including sales charges on purchase payments, reinvested dividends, or other distributions; redemption fees and exchange fees; and (2) ongoing costs, including, as applicable, management fees; distribution and/or service (12b-1) fees; and other Fund expenses. This example is 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 example is based on an investment of $1,000 invested on January 1, 2005 and held for six months ended June 30, 2005.
Actual Expenses
The first line provides information about actual account values and actual expenses. You may use the information on this line, together with the amount you invested, to estimate the expenses that you paid over the period. Simply divide your account value by $1,000 (for example, an $8,600 account value divided by $1,000 = 8.6), then multiply the result by the number in the applicable line under the heading entitled “Expenses Paid During the Period” to estimate the expenses you paid on your account during this period.
Hypothetical Example for Comparison Purposes
The second line provides information about hypothetical account values and hypothetical expenses based on the Fund’s actual expense ratio and an assumed rate of return of 5% per year before expenses, which is not the Fund’s actual return. The hypothetical account values and expenses may not be used to estimate the actual ending account balance or expenses you paid for the period. You may use this information to compare the ongoing costs of investing in the Fund and other funds. To do so, compare this 5% hypothetical example with the 5% hypothetical examples that appear in the shareholder reports of the other funds.
Please note that the expenses shown in the table are meant to highlight your ongoing costs only and do not reflect any transactional costs, such as sales charges (loads), redemption fees, or exchange fees. Therefore, the table is useful in comparing ongoing costs only, and will not help you determine the relative total costs of owning different funds. In addition, if transactional costs were included, your costs would have been higher.
Beginning | Ending | |||||||||||||||
Account Value | Account Value | Expenses Paid | Annualized | |||||||||||||
January 1, 2005 | June 30, 2005 | During Period* | Expense Ratio | |||||||||||||
Class A | ||||||||||||||||
Actual | $ | 1,000 | $ | 959.60 | $ | 5.93 | 1.22 | % | ||||||||
Hypothetical (5% return before expenses) | $ | 1,000 | $ | 1,018.74 | $ | 6.11 | 1.22 | % | ||||||||
Class B | ||||||||||||||||
Actual | $ | 1,000 | $ | 954.60 | $ | 10.42 | 2.15 | % | ||||||||
Hypothetical (5% return before expenses) | $ | 1,000 | $ | 1,014.13 | $ | 10.74 | 2.15 | % | ||||||||
Class C | ||||||||||||||||
Actual | $ | 1,000 | $ | 954.80 | $ | 10.71 | 2.21 | % | ||||||||
Hypothetical (5% return before expenses) | $ | 1,000 | $ | 1,013.84 | $ | 11.03 | 2.21 | % | ||||||||
Class K | ||||||||||||||||
Actual | $ | 1,000 | $ | 957.80 | $ | 7.48 | 1.54 | % | ||||||||
Hypothetical (5% return before expenses) | $ | 1,000 | $ | 1,017.16 | $ | 7.70 | 1.54 | % |
* | Expenses are equal to the Fund’s annualized expense ratio for the Fund’s Class A, B, C and K shares, multiplied by the average account value over the period, multiplied by 181/365 (to reflect the Fund’s most recent fiscal half-year). |
8
Table of Contents
n The Guardian UBS Small Cap Value Fund | Semiannual Report To Shareholders |
The Guardian UBS Small Cap Value Fund is managed by a team of investment professionals from the Fund’s sub-advisor, UBS Global Asset Management (Americas) Inc., with many years of experience in small cap value investment management. |
Objective:
Seeks to maximize total return, consisting of capital appreciation and current income |
Portfolio:
At least 80% in equity securities issued by companies with a small market capitalization at the time of initial purchase |
Inception Date:
February 3, 2003 |
Net Assets at
June 30, 2005:
June 30, 2005:
$43,054,058 |
Top Ten Holdings (As of 6/30/2005)
Percentage of | ||||
Company | Total Net Assets | |||
Regal-Beloit Corp. | 2.42 | % | ||
Equitable Resources, Inc. | 2.27 | % | ||
National Financial Partners Corp. | 2.26 | % | ||
The Sports Authority, Inc. | 2.22 | % | ||
Apollo Investment Corp. | 2.14 | % | ||
Esterline Technologies Corp. | 2.12 | % | ||
Ryland Group, Inc. | 2.06 | % | ||
McGrath Rentcorp | 1.87 | % | ||
AmerUs Group Co. | 1.85 | % | ||
Jackson Hewitt Tax Svc., Inc. | 1.79 | % |
Sector Weightings vs. Index (As of 6/30/2005)
![]() |
Average Annual Total Returns (For periods ended 6/30/2005)
Inception | 1 | 5 | 10 | Since | ||||||||||||||||||||||
Date | YTD | Yr | Yrs | Yrs | Inception | |||||||||||||||||||||
Class A shares | (w/o sales charge) | 2/3/03 | -1.05 | % | 10.92 | % | — | — | 21.15 | % | ||||||||||||||||
(w/ sales charge) | 2/3/03 | -5.50 | % | 5.93 | % | — | — | 18.85 | % | |||||||||||||||||
Class B shares | (w/o sales charge) | 2/3/03 | -1.45 | % | 9.98 | % | — | — | 20.18 | % | ||||||||||||||||
(w/ sales charge) | 2/3/03 | -4.41 | % | 6.98 | % | — | — | 19.54 | % | |||||||||||||||||
Class C shares | (w/o sales charge) | 2/3/03 | -1.45 | % | 9.98 | % | — | — | 20.18 | % | ||||||||||||||||
(w/ sales charge) | 2/3/03 | -2.44 | % | 8.98 | % | — | — | 20.18 | % | |||||||||||||||||
Class K shares | (w/o sales charge) | 2/3/03 | -1.13 | % | 10.70 | % | — | — | 20.94 | % | ||||||||||||||||
(w/ sales charge) | 2/3/03 | -2.12 | % | 9.70 | % | — | — | 20.94 | % | |||||||||||||||||
Russell 2000 Value Index | 0.90 | % | 14.39 | % | — | — | 29.41 | % | ||||||||||||||||||
Since Class A shares inception |
About information in this report:
• | All performance data quoted is historical and the results represent past performance and neither guarantee nor predict future investment results. To obtain performance data current to the most recent month (available within 7 business days of the most recent month end), please call us at (800) 221-3253 or visit our website at www.guardianinvestor.com. Current performance may be higher or lower than the performance quoted here. Investment return and principal value will fluctuate so that an investor’s shares, when redeemed, may be worth more or less than the original cost. | |
• | It is important to consider the Fund’s investment objectives, risks, fees and expenses before investing. All funds involve some risk, including possible loss of the principal amount invested. Small-cap investing entails special risks, as small-cap stocks have tended to be more volatile and to drop more in down markets than large-cap stocks. This may happen because small companies may be limited in terms of product lines, financial resources and management. | |
• | Please see the “About Your Annual Report” page for a description of the Russell 2000 Value Index. | |
• | Total return figures are historical and assume the reinvestment of dividends and distributions and the deduction of all Fund expenses. The return figures shown do not reflect the deduction of taxes that a shareholder may pay on distributions or redemption of shares. Total return figures for Class A shares do not take into account the current maximum sales charge of 4.5%, except where noted. Total return figures for Class B, Class C and Class K shares do not take into account the contingent deferred sales charge applicable to such shares (maximum 3% for Class B shares and 1% for Class C and Class K shares), except where noted. |
9
Table of Contents
n The Guardian UBS Small Cap Value Fund | Semiannual Report To Shareholders |
Fund Expenses
By investing in the Fund, you incur two types of costs: (1) transaction costs, including sales charges on purchase payments, reinvested dividends, or other distributions; redemption fees and exchange fees; and (2) ongoing costs, including, as applicable, management fees; distribution and/or service (12b-1) fees; and other Fund expenses. This example is 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 example is based on an investment of $1,000 invested on January 1, 2005 and held for six months ended June 30, 2005.
Actual Expenses
The first line provides information about actual account values and actual expenses. You may use the information on this line, together with the amount you invested, to estimate the expenses that you paid over the period. Simply divide your account value by $1,000 (for example, an $8,600 account value divided by $1,000 = 8.6), then multiply the result by the number in the applicable line under the heading entitled “Expenses Paid During the Period” to estimate the expenses you paid on your account during this period.
Hypothetical Example for Comparison Purposes
The second line provides information about hypothetical account values and hypothetical expenses based on the Fund’s actual expense ratio and an assumed rate of return of 5% per year before expenses, which is not the Fund’s actual return. The hypothetical account values and expenses may not be used to estimate the actual ending account balance or expenses you paid for the period. You may use this information to compare the ongoing costs of investing in the Fund and other funds. To do so, compare this 5% hypothetical example with the 5% hypothetical examples that appear in the shareholder reports of the other funds.
Please note that the expenses shown in the table are meant to highlight your ongoing costs only and do not reflect any transactional costs, such as sales charges (loads), redemption fees, or exchange fees. Therefore, the table is useful in comparing ongoing costs only, and will not help you determine the relative total costs of owning different funds. In addition, if transactional costs were included, your costs would have been higher.
Beginning | Ending | |||||||||||||||
Account Value | Account Value | Expenses Paid | Annualized | |||||||||||||
January 1, 2005 | June 30, 2005 | During Period* | Expense Ratio | |||||||||||||
Class A | ||||||||||||||||
Actual | $ | 1,000 | $ | 988.80 | $ | 9.32 | 1.89 | % | ||||||||
Hypothetical (5% return before expenses) | $ | 1,000 | $ | 1,015.42 | $ | 9.44 | 1.89 | % | ||||||||
Class B | ||||||||||||||||
Actual | $ | 1,000 | $ | 985.50 | $ | 13.10 | 2.66 | % | ||||||||
Hypothetical (5% return before expenses) | $ | 1,000 | $ | 1,011.60 | $ | 13.27 | 2.66 | % | ||||||||
Class C | ||||||||||||||||
Actual | $ | 1,000 | $ | 985.50 | $ | 13.14 | 2.67 | % | ||||||||
Hypothetical (5% return before expenses) | $ | 1,000 | $ | 1,011.55 | $ | 13.32 | 2.67 | % | ||||||||
Class K | ||||||||||||||||
Actual | $ | 1,000 | $ | 988.00 | $ | 10.01 | 2.03 | % | ||||||||
Hypothetical (5% return before expenses) | $ | 1,000 | $ | 1,014.73 | $ | 10.14 | 2.03 | % |
* | Expenses are equal to the Fund’s annualized expense ratio for the Fund’s Class A, B, C and K shares, multiplied by the average account value over the period, multiplied by 181/365 (to reflect the Fund’s most recent fiscal half-year). |
10
Table of Contents
n The Guardian Asset Allocation Fund | Semiannual Report To Shareholders |
![(PHOTO)](https://capedge.com/proxy/N-CSRS/0000950123-05-010744/e10194jankus.jpg)
Jonathan C. Jankus, CFA
Co-Portfolio Manager
Co-Portfolio Manager
![(PHOTO)](https://capedge.com/proxy/N-CSRS/0000950123-05-010744/e10194johnson.jpg)
Stewart Johnson,
Co-Portfolio Manager
Objective:
Long-term total investment return consistent with moderate investment risk |
Portfolio:
Generally purchases shares of The Guardian S&P 500 Index, The Guardian Park Avenue, The Guardian Investment Quality Bond and/or The Guardian Cash Management Funds. Also invests in individual securities and uses futures to manage allocations among the equity, debt and money market asset classes. |
Inception Date:
February 16, 1993 |
Net Assets at
June 30, 2005:
June 30, 2005:
$144,006,574 |
Portfolio Composition by Asset Class (As of 6/30/2005)
The Guardian Asset Allocation Fund, June 30, 2005 | The Guardian Asset Allocation Fund, Dec. 31, 2004 | |
![]() |
Average Annual Total Returns (For periods ended 6/30/2005)
Inception | 1 | 3 | 5 | 10 | Since | |||||||||||||||||||||||||
Date | YTD | Yr | Yrs | Yrs | Yrs | Inception | ||||||||||||||||||||||||
Class A shares | (w/o sales charge) | 2/16/93 | -0.91 | % | 5.68 | % | 7.71 | % | -0.87 | % | 8.07 | % | 8.45 | % | ||||||||||||||||
(w/ sales charge) | 2/16/93 | -5.37 | % | 0.92 | % | 6.07 | % | -1.78 | % | 7.57 | % | 8.05 | % | |||||||||||||||||
Class B shares | (w/o sales charge) | 5/1/96 | -1.23 | % | 4.85 | % | 6.80 | % | -1.71 | % | — | 6.35 | % | |||||||||||||||||
(w/ sales charge) | 5/1/96 | -4.19 | % | 1.85 | % | 6.21 | % | -1.91 | % | — | 6.35 | % | ||||||||||||||||||
Class C shares | (w/o sales charge) | 8/7/00 | -1.31 | % | 4.66 | % | 6.60 | % | — | — | -2.12 | % | ||||||||||||||||||
(w/ sales charge) | 8/7/00 | -2.30 | % | 3.66 | % | 6.60 | % | — | — | -2.12 | % | |||||||||||||||||||
Class K shares | (w/o sales charge) | 5/15/01 | -0.93 | % | 5.49 | % | 7.40 | % | — | — | 0.32 | % | ||||||||||||||||||
(w/ sales charge) | 5/15/01 | -1.92 | % | 4.49 | % | 7.40 | % | — | — | 0.32 | % | |||||||||||||||||||
Composite benchmark: 60% S&P 500 Index/ 40% Lehman Aggregate Bond Index | 0.55 | % | 6.62 | % | 7.57 | % | 1.80 | % | 9.04 | % | 9.31 | % | ||||||||||||||||||
Since Class A shares inception |
About information in this report:
• | All performance data quoted is historical and the results represent past performance and neither guarantee nor predict future investment results. To obtain performance data current to the most recent month (available within 7 business days of the most recent month end), please call us at (800) 221-3253 or visit our website at www.guardianinvestor.com. Current performance may be higher or lower than the performance quoted here. Investment return and principal value will fluctuate so that an investor’s shares, when redeemed, may be worth more or less than the original cost. | |
• | It is important to consider the Fund’s investment objectives, risks, fees and expenses before investing. All funds involve some risk, including possible loss of the principal amount invested. | |
• | The Composite benchmark total return data is comprised of 60% of the S&P 500 Index and 40% of the Lehman Aggregate Bond Index to reflect a 60/40 neutral weighting of the Fund. Please see the “About Your Annual Report” page for a description of the S&P 500 Index and the Lehman Aggregate Bond Index. | |
• | Total return figures are historical and assume the reinvestment of dividends and distributions and the deduction of all Fund expenses. The return figures shown do not reflect the deduction of taxes that a shareholder may pay on distributions or redemption of shares. Total return figures for Class A shares do not take into account the current maximum sales charge of 4.5%, except where noted. Total return figures for Class B, Class C and Class K shares do not take into account the contingent deferred sales charge applicable to such shares (maximum 3% for Class B shares and 1% for Class C and Class K shares), except where noted. |
11
Table of Contents
n The Guardian Asset Allocation Fund | Semiannual Report To Shareholders |
Fund Expenses
By investing in the Fund, you incur two types of costs: (1) transaction costs, including sales charges on purchase payments, reinvested dividends, or other distributions; redemption fees and exchange fees; and (2) ongoing costs, including, as applicable, management fees; distribution and/or service (12b-1) fees; and other Fund expenses. This example is 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 example is based on an investment of $1,000 invested on January 1, 2005 and held for six months ended June 30, 2005.
Actual Expenses
The first line provides information about actual account values and actual expenses. You may use the information on this line, together with the amount you invested, to estimate the expenses that you paid over the period. Simply divide your account value by $1,000 (for example, an $8,600 account value divided by $1,000 = 8.6), then multiply the result by the number in the applicable line under the heading entitled “Expenses Paid During the Period” to estimate the expenses you paid on your account during this period.
Hypothetical Example for Comparison Purposes
The second line provides information about hypothetical account values and hypothetical expenses based on the Fund’s actual expense ratio and an assumed rate of return of 5% per year before expenses, which is not the Fund’s actual return. The hypothetical account values and expenses may not be used to estimate the actual ending account balance or expenses you paid for the period. You may use this information to compare the ongoing costs of investing in the Fund and other funds. To do so, compare this 5% hypothetical example with the 5% hypothetical examples that appear in the shareholder reports of the other funds.
Please note that the expenses shown in the table are meant to highlight your ongoing costs only and do not reflect any transactional costs, such as sales charges (loads), redemption fees, or exchange fees. Therefore, the table is useful in comparing ongoing costs only, and will not help you determine the relative total costs of owning different funds. In addition, if transactional costs were included, your costs would have been higher.
Beginning | Ending | |||||||||||||||
Account Value | Account Value | Expenses Paid | Annualized | |||||||||||||
January 1, 2005 | June 30, 2005 | During Period* | Expense Ratio | |||||||||||||
Class A | ||||||||||||||||
Actual | $ | 1,000 | $ | 990.90 | $ | 2.02 | 0.41 | % | ||||||||
Hypothetical (5% return before expenses) | $ | 1,000 | $ | 1,022.76 | $ | 2.06 | 0.41 | % | ||||||||
Class B | ||||||||||||||||
Actual | $ | 1,000 | $ | 987.70 | $ | 6.11 | 1.24 | % | ||||||||
Hypothetical (5% return before expenses) | $ | 1,000 | $ | 1,018.65 | $ | 6.21 | 1.24 | % | ||||||||
Class C | ||||||||||||||||
Actual | $ | 1,000 | $ | 986.90 | $ | 6.90 | 1.40 | % | ||||||||
Hypothetical (5% return before expenses) | $ | 1,000 | $ | 1,017.85 | $ | 7.00 | 1.40 | % | ||||||||
Class K | ||||||||||||||||
Actual | $ | 1,000 | $ | 990.70 | $ | 3.41 | 0.69 | % | ||||||||
Hypothetical (5% return before expenses) | $ | 1,000 | $ | 1,021.37 | $ | 3.46 | 0.69 | % |
* | Expenses are equal to the Fund’s annualized expense ratio for the Fund’s Class A, B, C and K shares, multiplied by the average account value over the period, multiplied by 181/365 (to reflect the Fund’s most recent fiscal half-year). |
12
Table of Contents
n The Guardian S&P 500 Index Fund | Semiannual Report To Shareholders |
![(PHOTO)](https://capedge.com/proxy/N-CSRS/0000950123-05-010744/e10194jankus.jpg)
Jonathan C. Jankus, CFA
Co-Portfolio Manager
![(PHOTO)](https://capedge.com/proxy/N-CSRS/0000950123-05-010744/e10194johnson.jpg)
Stewart Johnson,
Co-Portfolio Manager
Co-Portfolio Manager
![(PHOTO)](https://capedge.com/proxy/N-CSRS/0000950123-05-010744/e10194johnson.jpg)
Stewart Johnson,
Co-Portfolio Manager
Objective:
Seeks to track the investment performance of the Standard and Poor’s 500 Composite Stock Price Index (the “S&P 500 Index”) which emphasizes securities issued by large U.S. companies |
Portfolio:
At least 95% of the Fund’s assets are invested in common stocks of companies included in the S&P 500 Index under normal circumstances |
Inception Date:
August 7, 2000 |
Net Assets at
June 30, 2005:
June 30, 2005:
$179,220,336 |
Top Ten Holdings (As of 6/30/2005)
Percentage of | ||||
Company | Total Net Assets | |||
General Electric Co. | 3.27 | % | ||
Exxon Mobil Corp. | 3.27 | % | ||
Microsoft Corp. | 2.30 | % | ||
Citigroup, Inc. | 2.08 | % | ||
Pfizer, Inc. | 1.82 | % | ||
Johnson & Johnson | 1.74 | % | ||
Bank of America Corp. | 1.60 | % | ||
Wal-Mart Stores, Inc. | 1.60 | % | ||
Intel Corp. | 1.45 | % | ||
American Int’l. Group, Inc. | 1.36 | % |
Sector Weightings vs. Index (As of 6/30/2005)
![]() |
Average Annual Total Returns (For periods ended 6/30/2005)
Inception | 1 | 3 | 5 | 10 | Since | |||||||||||||||||||||||||
Date | YTD | Yr | Yrs | Yrs | Yrs | Inception | ||||||||||||||||||||||||
Class A shares | (w/o sales charge) | 8/7/00 | -1.02 | % | 5.91 | % | 7.71 | % | — | — | -3.17 | % | ||||||||||||||||||
(w/ sales charge) | 8/7/00 | -5.47 | % | 1.14 | % | 6.07 | % | — | — | -4.08 | % | |||||||||||||||||||
Class B shares | (w/o sales charge) | 8/7/00 | -1.34 | % | 5.02 | % | 6.80 | % | — | — | -3.97 | % | ||||||||||||||||||
(w/ sales charge) | 8/7/00 | -4.30 | % | 2.02 | % | 6.21 | % | — | — | -4.17 | % | |||||||||||||||||||
Class C shares | (w/o sales charge) | 8/7/00 | -1.34 | % | 5.03 | % | 6.76 | % | — | — | -3.99 | % | ||||||||||||||||||
(w/ sales charge) | 8/7/00 | -2.33 | % | 4.03 | % | 6.76 | % | — | — | -3.99 | % | |||||||||||||||||||
Class K shares | (w/o sales charge) | 5/15/01 | -1.09 | % | 5.45 | % | 7.18 | % | — | — | -1.12 | % | ||||||||||||||||||
(w/ sales charge) | 5/15/01 | -2.08 | % | 4.45 | % | 7.18 | % | — | — | -1.12 | % | |||||||||||||||||||
S&P 500 Index | -0.81 | % | 6.32 | % | 8.28 | % | — | — | -2.77 | % | ||||||||||||||||||||
Since Class A shares inception |
About information in this report:
• | All performance data quoted is historical and the results represent past performance and neither guarantee nor predict future investment results. To obtain performance data current to the most recent month (available within 7 business days of the most recent month end), please call us at (800) 221-3253 or visit our website at www.guardianinvestor.com. Current performance may be higher or lower than the performance quoted here. Investment return and principal value will fluctuate so that an investor’s shares, when redeemed, may be worth more or less than the original cost. | |
• | It is important to consider the Fund’s investment objectives, risks, fees and expenses before investing. All funds involve some risk, including possible loss of the principal amount invested. | |
• | Please see the “About Your Annual Report” page for a description of the S&P 500 Index. | |
• | Total return figures are historical and assume the reinvestment of dividends and distributions and the deduction of all Fund expenses. The return figures shown do not reflect the deduction of taxes that a shareholder may pay on distributions or redemption of shares. Total return figures for Class A shares do not take into account the current maximum sales charge of 4.5%, except where noted. Total return figures for Class B, Class C and Class K shares do not take into account the contingent deferred sales charge applicable to such shares (maximum 3% for Class B shares and 1% for Class C and Class K shares), except where noted. |
13
Table of Contents
n The Guardian S&P 500 Index Fund | Semiannual Report To Shareholders |
Fund Expenses
By investing in the Fund, you incur two types of costs: (1) transaction costs, including sales charges on purchase payments, reinvested dividends, or other distributions; redemption fees and exchange fees; and (2) ongoing costs, including, as applicable, management fees; distribution and/or service (12b-1) fees; and other Fund expenses. This example is 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 example is based on an investment of $1,000 invested on January 1, 2005 and held for six months ended June 30, 2005.
Actual Expenses
The first line provides information about actual account values and actual expenses. You may use the information on this line, together with the amount you invested, to estimate the expenses that you paid over the period. Simply divide your account value by $1,000 (for example, an $8,600 account value divided by $1,000 = 8.6), then multiply the result by the number in the applicable line under the heading entitled “Expenses Paid During the Period” to estimate the expenses you paid on your account during this period.
Hypothetical Example for Comparison Purposes
The second line provides information about hypothetical account values and hypothetical expenses based on the Fund’s actual expense ratio and an assumed rate of return of 5% per year before expenses, which is not the Fund’s actual return. The hypothetical account values and expenses may not be used to estimate the actual ending account balance or expenses you paid for the period. You may use this information to compare the ongoing costs of investing in the Fund and other funds. To do so, compare this 5% hypothetical example with the 5% hypothetical examples that appear in the shareholder reports of the other funds.
Please note that the expenses shown in the table are meant to highlight your ongoing costs only and do not reflect any transactional costs, such as sales charges (loads), redemption fees, or exchange fees. Therefore, the table is useful in comparing ongoing costs only, and will not help you determine the relative total costs of owning different funds. In addition, if transactional costs were included, your costs would have been higher.
Beginning | Ending | |||||||||||||||
Account Value | Account Value | Expenses Paid | Annualized | |||||||||||||
January 1, 2005 | June 30, 2005 | During Period* | Expense Ratio | |||||||||||||
Class A | ||||||||||||||||
Actual | $ | 1,000 | $ | 989.80 | $ | 2.61 | 0.53 | % | ||||||||
Hypothetical (5% return before expenses) | $ | 1,000 | $ | 1,022.17 | $ | 2.66 | 0.53 | % | ||||||||
Class B | ||||||||||||||||
Actual | $ | 1,000 | $ | 986.60 | $ | 6.30 | 1.28 | % | ||||||||
Hypothetical (5% return before expenses) | $ | 1,000 | $ | 1,018.45 | $ | 6.41 | 1.28 | % | ||||||||
Class C | ||||||||||||||||
Actual | $ | 1,000 | $ | 986.60 | $ | 6.30 | 1.28 | % | ||||||||
Hypothetical (5% return before expenses) | $ | 1,000 | $ | 1,018.45 | $ | 6.41 | 1.28 | % | ||||||||
Class K | ||||||||||||||||
Actual | $ | 1,000 | $ | 989.10 | $ | 4.59 | 0.93 | % | ||||||||
Hypothetical (5% return before expenses) | $ | 1,000 | $ | 1,020.18 | $ | 4.66 | 0.93 | % |
* | Expenses are equal to the Fund’s annualized expense ratio for the Fund’s Class A, B, C and K shares, multiplied by the average account value over the period, multiplied by 181/365 (to reflect the Fund’s most recent fiscal half-year). |
14
Table of Contents
n The Guardian Baillie Gifford International Growth Fund | Semiannual Report To Shareholders |
![(PHOTO)](https://capedge.com/proxy/N-CSRS/0000950123-05-010744/e10194menzies.gif)
R. Robin Menzies,
Portfolio Manager
Portfolio Manager
Objective:
Long-term growth of capital |
Portfolio:
At least 80% in a diversified portfolio of common stocks and convertible securities of companies domiciled outside the United States |
Inception Date:
February 16, 1993 |
Net Assets at
June 30, 2005:
June 30, 2005:
$55,332,444 |
Top Ten Holdings (As of 6/30/2005)
Percentage of | ||||||
Company | Country | Total Net Assets | ||||
Total S.A. | France | 3.17 | % | |||
Vodafone Group | United Kingdom | 3.11 | % | |||
UBS AG | Switzerland | 2.51 | % | |||
Petroleo Brasileiro S.A. | Brazil | 2.39 | % | |||
Danske Bank AS | Denmark | 2.32 | % | |||
Japan Tobacco, Inc. | Japan | 2.31 | % | |||
BP PLC | United Kingdom | 2.26 | % | |||
SAP AG | Germany | 2.24 | % | |||
Essilor Int’l. S.A. | France | 2.19 | % | |||
Sanofi-Aventis | France | 1.96 | % |
Geographical Location vs. Index (As of 6/30/2005)
![]() |
Average Annual Total Returns (For periods ended 6/30/2005)
Inception | 1 | 3 | 5 | 10 | Since | |||||||||||||||||||||||||
Date | YTD | Yr | Yrs | Yrs | Yrs | Inception | ||||||||||||||||||||||||
Class A shares | (w/o sales charge) | 2/16/93 | -0.18 | % | 13.81 | % | 7.52 | % | -4.72 | % | 5.02 | % | 6.23 | % | ||||||||||||||||
(w/sales charge) | 2/16/93 | -4.67 | % | 8.69 | % | 5.88 | % | -5.59 | % | 4.54 | % | 5.84 | % | |||||||||||||||||
Class B shares | (w/o sales charge) | 5/1/96 | -0.75 | % | 12.44 | % | 6.27 | % | -5.84 | % | — | 2.22 | % | |||||||||||||||||
(w/sales charge) | 5/1/96 | -3.73 | % | 9.44 | % | 5.68 | % | -6.03 | % | — | 2.22 | % | ||||||||||||||||||
Class C shares | (w/o sales charge) | 8/7/00 | -0.66 | % | 12.59 | % | 6.35 | % | — | — | -4.93 | % | ||||||||||||||||||
(w/sales charge) | 8/7/00 | -1.65 | % | 11.59 | % | 6.35 | % | — | — | -4.93 | % | |||||||||||||||||||
Class K shares | (w/o sales charge) | 5/15/01 | -0.25 | % | 13.58 | % | 7.35 | % | — | — | 0.16 | % | ||||||||||||||||||
(w/sales charge) | 5/15/01 | -1.25 | % | 12.58 | % | 7.35 | % | — | — | 0.16 | % | |||||||||||||||||||
MSCI EAFE Growth Index | -1.47 | % | 11.73 | % | 9.38 | % | -4.50 | % | 2.91 | % | 4.98 | % | ||||||||||||||||||
Since Class A shares inception |
About information in this report:
• | All performance data quoted is historical and the results represent past performance and neither guarantee nor predict future investment results. To obtain performance data current to the most recent month (available within 7 business days of the most recent month end), please call us at (800) 221-3253 or visit our website at www.guardianinvestor.com. Current performance may be higher or lower than the performance quoted here. Investment return and principal value will fluctuate so that an investor’s shares, when redeemed, may be worth more or less than the original cost. | |
• | It is important to consider the Fund’s investment objectives, risks, fees and expenses before investing. All funds involve some risk, including possible loss of the principal amount invested. International investing has special risks relating to changes in currency rates, foreign taxation, differences in auditing and other financial standards, political uncertainty and greater volatility. | |
• | Please see the “About Your Annual Report” page for a description of the Morgan Stanley Capital International (MSCI) Europe, Australasia and Far East (EAFE) Growth Index. | |
• | Total return figures are historical and assume the reinvestment of dividends and distributions and the deduction of all Fund expenses. The return figures shown do not reflect the deduction of taxes that a shareholder may pay on distributions or redemption of shares. Total return figures for Class A shares do not take into account the current maximum sales charge of 4.5%, except where noted. Total return figures for Class B, Class C and Class K shares do not take into account the contingent deferred sales charge applicable to such shares (maximum 3% for Class B shares and 1% for Class C and Class K shares), except where noted. |
15
Table of Contents
n The Guardian Baillie Gifford International Growth Fund | Semiannual Report To Shareholders |
Fund Expenses
By investing in the Fund, you incur two types of costs: (1) transaction costs, including sales charges on purchase payments, reinvested dividends, or other distributions; redemption fees and exchange fees; and (2) ongoing costs, including, as applicable, management fees; distribution and/or service (12b-1) fees; and other Fund expenses. This example is 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 example is based on an investment of $1,000 invested on January 1, 2005 and held for six months ended June 30, 2005.
Actual Expenses
The first line provides information about actual account values and actual expenses. You may use the information on this line, together with the amount you invested, to estimate the expenses that you paid over the period. Simply divide your account value by $1,000 (for example, an $8,600 account value divided by $1,000 = 8.6), then multiply the result by the number in the applicable line under the heading entitled “Expenses Paid During the Period” to estimate the expenses you paid on your account during this period.
Hypothetical Example for Comparison Purposes
The second line provides information about hypothetical account values and hypothetical expenses based on the Fund’s actual expense ratio and an assumed rate of return of 5% per year before expenses, which is not the Fund’s actual return. The hypothetical account values and expenses may not be used to estimate the actual ending account balance or expenses you paid for the period. You may use this information to compare the ongoing costs of investing in the Fund and other funds. To do so, compare this 5% hypothetical example with the 5% hypothetical examples that appear in the shareholder reports of the other funds.
Please note that the expenses shown in the table are meant to highlight your ongoing costs only and do not reflect any transactional costs, such as sales charges (loads), redemption fees, or exchange fees. Therefore, the table is useful in comparing ongoing costs only, and will not help you determine the relative total costs of owning different funds. In addition, if transactional costs were included, your costs would have been higher.
Beginning | Ending | |||||||||||||||
Account Value | Account Value | Expenses Paid | Annualized | |||||||||||||
January 1, 2005 | June 30, 2005 | During Period* | Expense Ratio | |||||||||||||
Class A | ||||||||||||||||
Actual | $ | 1,000 | $ | 998.20 | $ | 9.17 | 1.85 | % | ||||||||
Hypothetical (5% return before expenses) | $ | 1,000 | $ | 1,015.62 | $ | 9.25 | 1.85 | % | ||||||||
Class B | ||||||||||||||||
Actual | $ | 1,000 | $ | 992.50 | $ | 14.87 | 3.01 | % | ||||||||
Hypothetical (5% return before expenses) | $ | 1,000 | $ | 1,009.87 | $ | 15.00 | 3.01 | % | ||||||||
Class C | ||||||||||||||||
Actual | $ | 1,000 | $ | 993.40 | $ | 13.89 | 2.81 | % | ||||||||
Hypothetical (5% return before expenses) | $ | 1,000 | $ | 1,010.86 | $ | 14.01 | 2.81 | % | ||||||||
Class K | ||||||||||||||||
Actual | $ | 1,000 | $ | 997.50 | $ | 10.05 | 2.03 | % | ||||||||
Hypothetical (5% return before expenses) | $ | 1,000 | $ | 1,014.73 | $ | 10.14 | 2.03 | % |
* | Expenses are equal to the Fund’s annualized expense ratio for the Fund’s Class A, B, C and K shares, multiplied by the average account value over the period, multiplied by 181/365 (to reflect the Fund’s most recent fiscal half-year). |
16
Table of Contents
n The Guardian Baillie Gifford Emerging Markets Fund | Semiannual Report To Shareholders |
![(PHOTO)](https://capedge.com/proxy/N-CSRS/0000950123-05-010744/e10194hocknell.gif)
Edward H. Hocknell,
Portfolio Manager
Portfolio Manager
Objective:
Long-term capital appreciation |
Portfolio:
At least 80% in a diversified portfolio of common stocks and convertible securities issued by companies in emerging markets |
Inception Date:
May 1, 1997 |
Net Assets at
June 30, 2005:
June 30, 2005:
$119,322,699 |
Top Ten Holdings (As of 6/30/2005)
Percentage of | ||||||
Company | Country | Total Net Assets | ||||
Petroleo Brasileiro S.A. | Brazil | 3.74 | % | |||
Sasol Ltd. | South Africa | 3.23 | % | |||
Comp. Vale Do Rio Doce | Brazil | 2.96 | % | |||
Hon Hai Precision Inds. Co. Ltd. | Taiwan | 2.93 | % | |||
America Movil S.A. de C.V. | Mexico | 2.86 | % | |||
Itausa-Investimentos Itau S.A. | Brazil | 2.66 | % | |||
Reliance Inds. Ltd. | India | 2.48 | % | |||
Turkiye Garanti Bankasi A.S. | Turkey | 2.31 | % | |||
Standard Bank Group Ltd. | South Africa | 2.22 | % | |||
Samsung Corp. | South Korea | 2.03 | % |
Geographical Location vs. Index (As of 6/30/2005)
![]() |
Average Annual Total Returns (For periods ended 6/30/2005)
Inception | 1 | 3 | 5 | 10 | Since | |||||||||||||||||||||||||
Date | YTD | Yr | Yrs | Yrs | Yrs | Inception | ||||||||||||||||||||||||
Class A shares | (w/o sales charge) | 5/1/97 | 8.14 | % | 35.89 | % | 22.38 | % | 8.74 | % | — | 6.59 | % | |||||||||||||||||
(w/ sales charge) | 5/1/97 | 3.27 | % | 29.77 | % | 20.52 | % | 7.74 | % | — | 5.99 | % | ||||||||||||||||||
Class B shares | (w/o sales charge) | 5/6/97 | 7.64 | % | 34.56 | % | 21.04 | % | 7.43 | % | — | 4.77 | % | |||||||||||||||||
(w/ sales charge) | 5/6/97 | 4.64 | % | 31.56 | % | 20.58 | % | 7.28 | % | — | 4.77 | % | ||||||||||||||||||
Class C shares | (w/o sales charge) | 8/7/00 | 7.70 | % | 34.65 | % | 21.13 | % | — | — | �� | 8.97 | % | |||||||||||||||||
(w/ sales charge) | 8/7/00 | 6.70 | % | 33.65 | % | 21.13 | % | — | — | 8.97 | % | |||||||||||||||||||
Class K shares | (w/o sales charge) | 5/15/01 | 7.94 | % | 35.48 | % | 21.98 | % | — | — | 17.26 | % | ||||||||||||||||||
(w/ sales charge) | 5/15/01 | 6.94 | % | 34.48 | % | 21.98 | % | — | — | 17.26 | % | |||||||||||||||||||
MSCI EMF Index | 6.26 | % | 34.89 | % | 24.42 | % | 7.68 | % | — | 3.71 | % | |||||||||||||||||||
Since Class A shares inception |
About information in this report:
• | All performance data quoted is historical and the results represent past performance and neither guarantee nor predict future investment results. To obtain performance data current to the most recent month (available within 7 business days of the most recent month end), please call us at (800) 221-3253 or visit our website at www.guardianinvestor.com. Current performance may be higher or lower than the performance quoted here. Investment return and principal value will fluctuate so that an investor’s shares, when redeemed, may be worth more or less than the original cost. | |
• | It is important to consider the Fund’s investment objectives, risks, fees and expenses before investing. All funds involve some risk, including possible loss of the principal amount invested. International investing has special risks relating to changes in currency rates, foreign taxation, differences in auditing and other financial standards, political uncertainty and greater volatility. These risks are even greater when investing in emerging markets. | |
• | Please see the “About Your Annual Report” page for a description of the Morgan Stanley Capital International (MSCI) Emerging Markets Free (EMF) Index. | |
• | Total return figures are historical and assume the reinvestment of dividends and distributions and the deduction of all Fund expenses. The return figures shown do not reflect the deduction of taxes that a shareholder may pay on distributions or redemption of shares. Total return figures for Class A shares do not take into account the current maximum sales charge of 4.5%, except where noted. Total return figures for Class B, Class C and Class K shares do not take into account the contingent deferred sales charge applicable to such shares (maximum 3% for Class B shares and 1% for Class C and Class K shares), except where noted. |
17
Table of Contents
n The Guardian Baillie Gifford Emerging Markets Fund | Semiannual Report To Shareholders |
Fund Expenses
By investing in the Fund, you incur two types of costs: (1) transaction costs, including sales charges on purchase payments, reinvested dividends, or other distributions; redemption fees and exchange fees; and (2) ongoing costs, including, as applicable, management fees; distribution and/or service (12b-1) fees; and other Fund expenses. This example is 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 example is based on an investment of $1,000 invested on January 1, 2005 and held for six months ended June 30, 2005.
Actual Expenses
The first line provides information about actual account values and actual expenses. You may use the information on this line, together with the amount you invested, to estimate the expenses that you paid over the period. Simply divide your account value by $1,000 (for example, an $8,600 account value divided by $1,000 = 8.6), then multiply the result by the number in the applicable line under the heading entitled “Expenses Paid During the Period” to estimate the expenses you paid on your account during this period.
Hypothetical Example for Comparison Purposes
The second line provides information about hypothetical account values and hypothetical expenses based on the Fund’s actual expense ratio and an assumed rate of return of 5% per year before expenses, which is not the Fund’s actual return. The hypothetical account values and expenses may not be used to estimate the actual ending account balance or expenses you paid for the period. You may use this information to compare the ongoing costs of investing in the Fund and other funds. To do so, compare this 5% hypothetical example with the 5% hypothetical examples that appear in the shareholder reports of the other funds.
Please note that the expenses shown in the table are meant to highlight your ongoing costs only and do not reflect any transactional costs, such as sales charges (loads), redemption fees, or exchange fees. Therefore, the table is useful in comparing ongoing costs only, and will not help you determine the relative total costs of owning different funds. In addition, if transactional costs were included, your costs would have been higher.
Beginning | Ending | |||||||||||||||
Account Value | Account Value | Expenses Paid | Annualized | |||||||||||||
January 1, 2005 | June 30, 2005 | During Period* | Expense Ratio | |||||||||||||
Class A | ||||||||||||||||
Actual | $ | 1,000 | $ | 1,081.40 | $ | 9.19 | 1.78 | % | ||||||||
Hypothetical (5% return before expenses) | $ | 1,000 | $ | 1,015.97 | $ | 8.90 | 1.78 | % | ||||||||
Class B | ||||||||||||||||
Actual | $ | 1,000 | $ | 1,076.40 | $ | 14.11 | 2.74 | % | ||||||||
Hypothetical (5% return before expenses) | $ | 1,000 | $ | 1,011.21 | $ | 13.66 | 2.74 | % | ||||||||
Class C | ||||||||||||||||
Actual | $ | 1,000 | $ | 1,077.00 | $ | 13.90 | 2.70 | % | ||||||||
Hypothetical (5% return before expenses) | $ | 1,000 | $ | 1,011.41 | $ | 13.47 | 2.70 | % | ||||||||
Class K | ||||||||||||||||
Actual | $ | 1,000 | $ | 1,079.40 | $ | 10.93 | 2.12 | % | ||||||||
Hypothetical (5% return before expenses) | $ | 1,000 | $ | 1,014.28 | $ | 10.59 | 2.12 | % |
* | Expenses are equal to the Fund’s annualized expense ratio for the Fund’s Class A, B, C and K shares, multiplied by the average account value over the period, multiplied by 181/365 (to reflect the Fund’s most recent fiscal half-year). |
18
Table of Contents
n The Guardian Investment Quality Bond Fund | Semiannual Report To Shareholders |
![(PHOTO)](https://capedge.com/proxy/N-CSRS/0000950123-05-010744/e10194chin.gif)
Howard W. Chin,
Co-Portfolio Manager
![(PHOTO)](https://capedge.com/proxy/N-CSRS/0000950123-05-010744/e10194crimmins.gif)
Co-Portfolio Manager
![(PHOTO)](https://capedge.com/proxy/N-CSRS/0000950123-05-010744/e10194crimmins.gif)
Robert Crimmins,
Co-Portfolio Manager
Co-Portfolio Manager
Objective:
High level of current income and capital appreciation without undue risk to principal |
Portfolio:
At least 80% in different kinds of investment grade bonds, such as corporate bonds, mortgage-backed and asset-backed securities, and obligations of the U.S. government and its agencies |
Inception Date:
February 16, 1993 |
Net Assets at
June 30, 2005:
June 30, 2005:
$140,064,078 |
Top Ten Holdings (As of 6/30/2005)
Maturity | Percentage of | |||||||||||
Company | Coupon | Date | Total Net Assets | |||||||||
FNMA (30 yr. TBA) | 5.000 | % | N/A | 4.80 | % | |||||||
FHLMC | 5.500 | % | 12/1/2034 | 4.49 | % | |||||||
U.S. Treasury Bonds | 5.375 | % | 2/15/2031 | 4.25 | % | |||||||
FHLMC | 5.500 | % | 6/1/2035 | 4.20 | % | |||||||
FNMA | 3.030 | % | 7/14/2005 | 3.62 | % | |||||||
FHLMC | 2.875 | % | 5/15/2007 | 3.51 | % | |||||||
U.S. Treasury Bonds | 6.000 | % | 2/15/2026 | 3.09 | % | |||||||
FNMA | 3.250 | % | 1/15/2008 | 2.53 | % | |||||||
FNMA | 5.000 | % | 6/1/2018 | 2.36 | % | |||||||
FHLMC | 5.500 | % | 10/1/2034 | 2.00 | % |
Sector Allocation (As of 6/30/2005 and 12/31/2004)
![]() |
Average Annual Total Returns (For periods ended 6/30/2005)
Inception | 1 | 3 | 5 | 10 | Since | |||||||||||||||||||||||||
Date | YTD | Yr | Yrs | Yrs | Yrs | Inception | ||||||||||||||||||||||||
Class A shares | (w/o sales charge) | 2/16/93 | 2.49 | % | 6.68 | % | 5.60 | % | 7.00 | % | 6.22 | % | 5.88 | % | ||||||||||||||||
(w/ sales charge) | 2/16/93 | -2.12 | % | 1.88 | % | 3.99 | % | 6.02 | % | 5.73 | % | 5.49 | % | |||||||||||||||||
Class B shares | (w/o sales charge) | 8/7/00 | 2.11 | % | 5.78 | % | 4.78 | % | — | — | 6.08 | % | ||||||||||||||||||
(w/ sales charge) | 8/7/00 | -0.89 | % | 2.78 | % | 4.17 | % | — | — | 5.92 | % | |||||||||||||||||||
Class C shares | (w/o sales charge) | 8/7/00 | 2.11 | % | 5.78 | % | 4.78 | % | — | — | 6.08 | % | ||||||||||||||||||
(w/ sales charge) | 8/7/00 | 1.11 | % | 4.78 | % | 4.78 | % | — | — | 6.08 | % | |||||||||||||||||||
Class K shares | (w/o sales charge) | 5/15/01 | 2.29 | % | 6.26 | % | 5.18 | % | — | — | 5.84 | % | ||||||||||||||||||
(w/ sales charge) | 5/15/01 | 1.29 | % | 5.26 | % | 5.18 | % | — | — | 5.84 | % | |||||||||||||||||||
Lehman Aggregate Bond Index | 2.51 | % | 6.80 | % | 5.76 | % | 7.40 | % | 6.83 | % | 6.74 | % | ||||||||||||||||||
Since Class A shares inception |
About information in this report:
• | All performance data quoted is historical and the results represent past performance and neither guarantee nor predict future investment results. To obtain performance data current to the most recent month (available within 7 business days of the most recent month end), please call us at (800) 221-3253 or visit our website at www.guardianinvestor.com. Current performance may be higher or lower than the performance quoted here. Investment return and principal value will fluctuate so that an investor’s shares, when redeemed, may be worth more or less than the original cost. | |
• | It is important to consider the Fund’s investment objectives, risks, fees and expenses before investing. All funds involve some risk, including possible loss of the principal amount invested. Investing in bond funds exposes you to the general risk of investing in the debt markets. Duration is a measure of bond price sensitivity to a given change in interest rates. Generally, the higher a bond’s duration, the greater its price sensitivity to a given change in interest rates. Bond funds are subject to interest rate risk. When interest rates rise, bond prices generally fall, and when interest rates fall, bond prices generally rise. Currently, interest rates are at historically low levels. Please keep in mind that in this kind of environment, the risk that bond prices may fall when interest rates rise is potentially greater. | |
• | Please see the “About Your Annual Report” page for a description of the Lehman Aggregate Bond Index. | |
• | Total return figures are historical and assume the reinvestment of dividends and distributions and the deduction of all Fund expenses. The return figures shown do not reflect the deduction of taxes that a shareholder may pay on distributions or redemption of shares. Total return figures for Class A shares do not take into account the current maximum sales charge of 4.5%, except where noted. Total return figures for Class B, Class C and Class K shares do not take into account the contingent deferred sales charge applicable to such shares (maximum 3% for Class B shares and 1% for Class C and Class K shares), except where noted. Since June 1, 1994, the investment adviser for the Fund has assumed certain ordinary operating expenses for the Fund. Without this assumption of expenses, returns would have been lower. |
19
Table of Contents
n The Guardian Investment Quality Bond Fund | Semiannual Report To Shareholders |
Fund Expenses
By investing in the Fund, you incur two types of costs: (1) transaction costs, including sales charges on purchase payments, reinvested dividends, or other distributions; redemption fees and exchange fees; and (2) ongoing costs, including, as applicable, management fees; distribution and/or service (12b-1) fees; and other Fund expenses. This example is 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 example is based on an investment of $1,000 invested on January 1, 2005 and held for six months ended June 30, 2005.
Actual Expenses
The first line provides information about actual account values and actual expenses. You may use the information on this line, together with the amount you invested, to estimate the expenses that you paid over the period. Simply divide your account value by $1,000 (for example, an $8,600 account value divided by $1,000 = 8.6), then multiply the result by the number in the applicable line under the heading entitled “Expenses Paid During the Period” to estimate the expenses you paid on your account during this period.
Hypothetical Example for Comparison Purposes
The second line provides information about hypothetical account values and hypothetical expenses based on the Fund’s actual expense ratio and an assumed rate of return of 5% per year before expenses, which is not the Fund’s actual return. The hypothetical account values and expenses may not be used to estimate the actual ending account balance or expenses you paid for the period. You may use this information to compare the ongoing costs of investing in the Fund and other funds. To do so, compare this 5% hypothetical example with the 5% hypothetical examples that appear in the shareholder reports of the other funds.
Please note that the expenses shown in the table are meant to highlight your ongoing costs only and do not reflect any transactional costs, such as sales charges (loads), redemption fees, or exchange fees. Therefore, the table is useful in comparing ongoing costs only, and will not help you determine the relative total costs of owning different funds. In addition, if transactional costs were included, your costs would have been higher.
Beginning | Ending | |||||||||||||||
Account Value | Account Value | Expenses Paid | Annualized | |||||||||||||
January 1, 2005 | June 30, 2005 | During Period* | Expense Ratio | |||||||||||||
Class A | ||||||||||||||||
Actual | $ | 1,000 | $ | 1,024.90 | $ | 4.27 | 0.85 | % | ||||||||
Hypothetical (5% return before expenses) | $ | 1,000 | $ | 1,020.58 | $ | 4.26 | 0.85 | % | ||||||||
Class B | ||||||||||||||||
Actual | $ | 1,000 | $ | 1,021.10 | $ | 8.02 | 1.60 | % | ||||||||
Hypothetical (5% return before expenses) | $ | 1,000 | $ | 1,016.86 | $ | 8.00 | 1.60 | % | ||||||||
Class C | ||||||||||||||||
Actual | $ | 1,000 | $ | 1,021.00 | $ | 8.02 | 1.60 | % | ||||||||
Hypothetical (5% return before expenses) | $ | 1,000 | $ | 1,016.86 | $ | 8.00 | 1.60 | % | ||||||||
Class K | ||||||||||||||||
Actual | $ | 1,000 | $ | 1,022.90 | $ | 6.27 | 1.25 | % | ||||||||
Hypothetical (5% return before expenses) | $ | 1,000 | $ | 1,018.60 | $ | 6.26 | 1.25 | % |
* | Expenses are equal to the Fund’s annualized expense ratio for the Fund’s Class A, B, C and K shares, multiplied by the average account value over the period, multiplied by 181/365 (to reflect the Fund’s most recent fiscal half-year). |
20
Table of Contents
n The Guardian Low Duration Bond Fund | Semiannual Report To Shareholders |
![(PHOTO)](https://capedge.com/proxy/N-CSRS/0000950123-05-010744/e10194chin.gif)
Howard W. Chin,
Co-Portfolio Manager
![(PHOTO)](https://capedge.com/proxy/N-CSRS/0000950123-05-010744/e10194crimmins.gif)
Robert Crimmins,
Co-Portfolio Manager
Co-Portfolio Manager
![(PHOTO)](https://capedge.com/proxy/N-CSRS/0000950123-05-010744/e10194crimmins.gif)
Robert Crimmins,
Co-Portfolio Manager
Objective:
Seeks a high level of current income, consistent with preservation of capital |
Portfolio:
At least 80% in different kinds of investment grade bonds, such as corporate bonds, mortgage-backed and asset-backed securities, and obligations of the U.S. government and its agencies |
Inception Date:
July 30, 2003 |
Net Assets at
June 30, 2005:
June 30, 2005:
$34,924,516 |
Top Ten Holdings (As of 6/30/2005)
Maturity | Percentage of | |||||||||||
Company | Coupon | Date | Total Net Assets | |||||||||
U.S. Treasury Notes | 3.875 | % | 5/15/2010 | 4.53 | % | |||||||
U.S. Treasury Notes | 2.625 | % | 5/15/2008 | 2.73 | % | |||||||
FNMA | 3.875 | % | 2/15/2010 | 2.63 | % | |||||||
Chase Comm’l. Mtg. Secs. Corp. | 6.390 | % | 11/18/2030 | 1.90 | % | |||||||
Mtg. Capital Funding, Inc. | 6.337 | % | 11/18/2031 | 1.73 | % | |||||||
Chase Comm’l. Mtg. Secs. Corp. | 7.370 | % | 6/19/2029 | 1.72 | % | |||||||
World Omni Auto Receivables Tr. | 3.820 | % | 11/12/2011 | 1.67 | % | |||||||
Harley-Davidson Motorcycle Tr. | 2.530 | % | 11/15/2011 | 1.65 | % | |||||||
Capital Auto Receivables Asset Tr | 4.050 | % | 7/15/2009 | 1.63 | % | |||||||
FHLMC | 3.150 | % | 12/16/2008 | 1.63 | % |
Sector Allocation (As of 6/30/2005 and 12/31/2004)
![]() |
Average Annual Total Returns (For periods ended 6/30/2005)
Inception | 1 | 3 | 5 | 10 | Since | |||||||||||||||||||||||||
Date | YTD | Yr | Yrs | Yrs | Yrs | Inception | ||||||||||||||||||||||||
Class A Shares | (w/o sales charge) | 7/30/03 | 0.85 | % | 2.00 | % | — | — | — | 1.67 | % | |||||||||||||||||||
(w/ sales charge) | 7/30/03 | -2.18 | % | -1.06 | % | — | — | — | 0.13 | % | ||||||||||||||||||||
Class B Shares | (w/o sales charge) | 7/30/03 | 0.47 | % | 1.25 | % | — | — | — | 0.91 | % | |||||||||||||||||||
(w/ sales charge) | 7/30/03 | -2.53 | % | -1.75 | % | — | — | — | -1.24 | % | ||||||||||||||||||||
Class C Shares | (w/o sales charge) | 7/30/03 | 0.47 | % | 1.25 | % | — | — | — | 0.91 | % | |||||||||||||||||||
(w/ sales charge) | 7/30/03 | -0.53 | % | 0.25 | % | — | — | — | 0.91 | % | ||||||||||||||||||||
Class K Shares | (w/o sales charge) | 7/30/03 | 0.65 | % | 1.60 | % | — | — | — | 1.27 | % | |||||||||||||||||||
(w/ sales charge) | 7/30/03 | -0.35 | % | 0.60 | % | — | — | — | 1.27 | % | ||||||||||||||||||||
Lehman U.S. Government 1-3 Year Bond Index | 0.94 | % | 2.07 | % | — | — | — | 1.55 | % | |||||||||||||||||||||
Since Class A shares inception |
About information in this report:
• | All performance data quoted is historical and the results represent past performance and neither guarantee nor predict future investment results. To obtain performance data current to the most recent month (available within 7 business days of the most recent month end), please call us at (800) 221-3253 or visit our website at www.guardianinvestor.com. Current performance may be higher or lower than the performance quoted here. Investment return and principal value will fluctuate so that an investor’s shares, when redeemed, may be worth more or less than the original cost. | |
• | It is important to consider the Fund’s investment objectives, risks, fees and expenses before investing. All funds involve some risk, including possible loss of the principal amount invested. Investing in bond funds exposes you to the general risk of investing in the debt markets. Duration is a measure of bond price sensitivity to a given change in interest rates. Generally, the higher a bond’s duration, the greater its price sensitivity to a given change in interest rates. Bond funds are subject to interest rate risk. When interest rates rise, bond prices generally fall, and when interest rates fall, bond prices generally rise. Currently, interest rates are at historically low levels. Please keep in mind that in this kind of environment, the risk that bond prices may fall when interest rates rise is potentially greater. | |
• | Please see the “About Your Annual Report” page for a description of the Lehman U.S. Government 1-3 Year Bond Index. | |
• | Total return figures are historical and assume the reinvestment of dividends and distributions and the deduction of all Fund expenses. The return figures shown do not reflect the deduction of taxes that a contractowner may pay on distributions or redemption of shares. Total return figures for Class A shares do not take into account the current maximum sales charge of 3.0%, except where noted. Total return figures for Class B, Class C and Class K shares do not take into account the contingent deferred sales charge applicable to such shares (maximum 3% for Class B shares and 1% for Class C and Class K shares), except where noted. Since inception, the investment adviser for the Fund has assumed certain operating expenses for the Fund. Without this assumption of expenses, returns would have been lower. |
21
Table of Contents
n The Guardian Low Duration Bond Fund | Semiannual Report To Shareholders |
Fund Expenses
By investing in the Fund, you incur two types of costs: (1) transaction costs, including sales charges on purchase payments, reinvested dividends, or other distributions; redemption fees and exchange fees; and (2) ongoing costs, including, as applicable, management fees; distribution and/or service (12b-1) fees; and other Fund expenses. This example is 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 example is based on an investment of $1,000 invested on January 1, 2005 and held for six months ended June 30, 2005.
Actual Expenses
The first line provides information about actual account values and actual expenses. You may use the information on this line, together with the amount you invested, to estimate the expenses that you paid over the period. Simply divide your account value by $1,000 (for example, an $8,600 account value divided by $1,000 = 8.6), then multiply the result by the number in the applicable line 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 line provides information about hypothetical account values and hypothetical expenses based on the Fund’s actual expense ratio and an assumed rate of return of 5% per year before expenses, which is not the Fund’s actual return. The hypothetical account values and expenses may not be used to estimate the actual ending account balance or expenses you paid for the period. You may use this information to compare the ongoing costs of investing in the Fund and other funds. To do so, compare this 5% hypothetical example with the 5% hypothetical examples that appear in the shareholder reports of the other funds.
Please note that the expenses shown in the table are meant to highlight your ongoing costs only and do not reflect any transactional costs, such as sales charges (loads), redemption fees, or exchange fees. Therefore, the table is useful in comparing ongoing costs only, and will not help you determine the relative total costs of owning different funds. In addition, if transactional costs were included, your costs would have been higher.
Beginning | Ending | |||||||||||||||
Account Value | Account Value | Expenses Paid | Annualized | |||||||||||||
January 1, 2005 | June 30, 2005 | During Period* | Expense Ratio | |||||||||||||
Class A | ||||||||||||||||
Actual | $ | 1,000 | $ | 1,008.50 | $ | 3.98 | 0.80 | % | ||||||||
Hypothetical (5% return before expenses) | $ | 1,000 | $ | 1,020,83 | $ | 4.01 | 0.80 | % | ||||||||
Class B | ||||||||||||||||
Actual | $ | 1,000 | $ | 1,004.70 | $ | 7.70 | 1.55 | % | ||||||||
Hypothetical (5% return before expenses) | $ | 1,000 | $ | 1,017.11 | $ | 7.75 | 1.55 | % | ||||||||
Class C | ||||||||||||||||
Actual | $ | 1,000 | $ | 1,004.70 | $ | 7.70 | 1.55 | % | ||||||||
Hypothetical (5% return before expenses) | $ | 1,000 | $ | 1,017.11 | $ | 7.75 | 1.55 | % | ||||||||
Class K | ||||||||||||||||
Actual | $ | 1,000 | $ | 1,006.50 | $ | 5.97 | 1.20 | % | ||||||||
Hypothetical (5% return before expenses) | $ | 1,000 | $ | 1,018.84 | $ | 6.01 | 1.20 | % |
* | Expenses are equal to the Fund’s annualized expense ratio for the Fund’s Class A, B, C and K shares, multiplied by the average account value over the period, multiplied by 181/365 (to reflect the Fund’s most recent fiscal half-year). Since inception, the investment adviser for the Fund has assumed certain operating expenses for the Fund. Without this assumption of expenses, returns would have been lower. |
22
Table of Contents
n The Guardian High Yield Bond Fund | Semiannual Report To Shareholders |
![(PHOTO)](https://capedge.com/proxy/N-CSRS/0000950123-05-010744/e10194liebst.jpg)
Peter J. Liebst,
Portfolio Manager
Portfolio Manager
Objective:
Seeks current income. Capital appreciation is a secondary objective. |
Portfolio:
At least 80% is invested in corporate bonds and other debt securities that, at the time of purchase, are rated below investment grade or are unrated. |
Inception Date:
September 1, 1998 |
Net Assets at
June 30, 2005:
June 30, 2005:
$85,409,241 |
Top Ten Holdings (As of 6/30/2005)
Maturity | Percentage of | |||||||||||
Company | Coupon | Date | Total Net Assets | |||||||||
Mission Energy Hldg. | 13.500 | % | 7/15/2008 | 2.56 | % | |||||||
Nextel Comm., Inc. | 7.375 | % | 8/1/2015 | 2.49 | % | |||||||
J.C. Penney Co., Inc. | 7.950 | % | 4/1/2017 | 2.22 | % | |||||||
Sierra Pacific Resources | 8.625 | % | 3/15/2014 | 2.07 | % | |||||||
Williams Cos., Inc. | 8.125 | % | 3/15/2012 | 1.96 | % | |||||||
Allegheny Energy Supply | 7.800 | % | 3/15/2011 | 1.90 | % | |||||||
Teco Energy, Inc. | 7.000 | % | 5/1/2012 | 1.64 | % | |||||||
Federative Republic of Brazil | 9.250 | % | 10/22/2010 | 1.51 | % | |||||||
Charter Comm. Hldgs. II | 10.250 | % | 9/15/2010 | 1.51 | % | |||||||
Equistar Chemicals LP | 10.125 | % | 9/1/2008 | 1.50 | % |
Bond Quality (As of 6/30/2005 and 12/31/2004)
![]() |
Average Annual Total Returns (For periods ended 6/30/2005)
Inception | 1 | 3 | 5 | 10 | Since | |||||||||||||||||||||||||
Date | YTD | Yr | Yrs | Yrs | Yrs | Inception | ||||||||||||||||||||||||
Class A shares | (w/o sales charge) | 9/1/98 | 1.17 | % | 9.09 | % | 10.59 | % | 5.35 | % | — | �� | 5.14 | % | ||||||||||||||||
(w/ sales charge) | 9/1/98 | -3.38 | % | 4.18 | % | 8.91 | % | 4.38 | % | — | 4.43 | % | ||||||||||||||||||
Class B shares | (w/o sales charge) | 9/1/98 | 0.93 | % | 8.28 | % | 9.77 | % | 4.56 | % | — | 4.22 | % | |||||||||||||||||
(w/ sales charge) | 9/1/98 | -2.07 | % | 5.28 | % | 9.21 | % | 4.39 | % | — | 4.22 | % | ||||||||||||||||||
Class C shares | (w/o sales charge) | 8/7/00 | 0.93 | % | 8.28 | % | 9.82 | % | — | — | 4.63 | % | ||||||||||||||||||
(w/ sales charge) | 8/7/00 | -0.07 | % | 7.28 | % | 9.82 | % | — | — | 4.63 | % | |||||||||||||||||||
Class K shares | (w/o sales charge) | 5/15/01 | 0.97 | % | 8.51 | % | 10.15 | % | — | — | 6.80 | % | ||||||||||||||||||
(w/ sales charge) | 5/15/01 | -0.03 | % | 7.51 | % | 10.15 | % | — | — | 6.80 | % | |||||||||||||||||||
Lehman Corporate High Yield Bond Index | 1.11 | % | 10.86 | % | 14.51 | % | 7.47 | % | — | 6.04 | % | |||||||||||||||||||
Since Class A shares inception |
About information in this report:
• | All performance data quoted is historical and the results represent past performance and neither guarantee nor predict future investment results. To obtain performance data current to the most recent month (available within 7 business days of the most recent month end), please call us at (800) 221-3253 or visit our website at www.guardianinvestor.com. Current performance may be higher or lower than the performance quoted here. Investment return and principal value will fluctuate so that an investor’s shares, when redeemed, may be worth more or less than the original cost. | |
• | It is important to consider the Fund’s investment objectives, risks, fees and expenses before investing. All funds involve some risk, including possible loss of the principal amount invested. Investing in bond funds exposes you to the general risk of investing in the debt markets. Duration is a measure of bond price sensitivity to a given change in interest rates. Generally, the higher a bond’s duration, the greater its price sensitivity to a given change in interest rates. Bond funds are subject to interest rate risk. When interest rates rise, bond prices generally fall, and when interest rates fall, bond prices generally rise. Currently, interest rates are at historically low levels. Please keep in mind that in this kind of environment, the risk that bond prices may fall when interest rates rise is potentially greater. Investing in high yield bonds involves special risks because investments in lower rated and unrated debt securities are subject to greater loss of principal and interest than higher rated securities. | |
• | Please see the “About Your Annual Report” page for a description of the Lehman Corporate High Yield Index. | |
• | Total return figures are historical and assume the reinvestment of dividends and distributions and the deduction of all Fund expenses. The return figures shown do not reflect the deduction of taxes that a shareholder may pay on distributions or redemption of shares. Total return figures for Class A shares do not take into account the current maximum sales charge of 4.5%, except where noted. Total return figures for Class B, Class C and Class K shares do not take into account the contingent deferred sales charge applicable to such shares (maximum 3% for Class B shares and 1% for Class C and Class K shares), except where noted. Since inception, the investment adviser for the Fund has assumed certain ordinary operating expenses for the Fund. Without this assumption of expenses, returns would have been lower. |
23
Table of Contents
n The Guardian High Yield Bond Fund | Semiannual Report To Shareholders |
Fund Expenses
By investing in the Fund, you incur two types of costs: (1) transaction costs, including sales charges on purchase payments, reinvested dividends, or other distributions; redemption fees and exchange fees; and (2) ongoing costs, including, as applicable, management fees; distribution and/or service (12b-1) fees; and other Fund expenses. This example is 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 example is based on an investment of $1,000 invested on January 1, 2005 and held for six months ended June 30, 2005.
Actual Expenses
The first line provides information about actual account values and actual expenses. You may use the information on this line, together with the amount you invested, to estimate the expenses that you paid over the period. Simply divide your account value by $1,000 (for example, an $8,600 account value divided by $1,000 = 8.6), then multiply the result by the number in the applicable line under the heading entitled “Expenses Paid During the Period” to estimate the expenses you paid on your account during this period.
Hypothetical Example for Comparison Purposes
The second line provides information about hypothetical account values and hypothetical expenses based on the Fund’s actual expense ratio and an assumed rate of return of 5% per year before expenses, which is not the Fund’s actual return. The hypothetical account values and expenses may not be used to estimate the actual ending account balance or expenses you paid for the period. You may use this information to compare the ongoing costs of investing in the Fund and other funds. To do so, compare this 5% hypothetical example with the 5% hypothetical examples that appear in the shareholder reports of the other funds.
Please note that the expenses shown in the table are meant to highlight your ongoing costs only and do not reflect any transactional costs, such as sales charges (loads), redemption fees, or exchange fees. Therefore, the table is useful in comparing ongoing costs only, and will not help you determine the relative total costs of owning different funds. In addition, if transactional costs were included, your costs would have been higher.
Beginning | Ending | |||||||||||||||
Account Value | Account Value | Expenses Paid | Annualized | |||||||||||||
January 1, 2005 | June 30, 2005 | During Period* | Expense Ratio | |||||||||||||
Class A | ||||||||||||||||
Actual | $ | 1,000 | $ | 1,011.70 | $ | 4.24 | 0.85 | % | ||||||||
Hypothetical (5% return before expenses) | $ | 1,000 | $ | 1,020.58 | $ | 4.26 | 0.85 | % | ||||||||
Class B | ||||||||||||||||
Actual | $ | 1,000 | $ | 1,009.30 | $ | 7.97 | 1.60 | % | ||||||||
Hypothetical (5% return before expenses) | $ | 1,000 | $ | 1,016.86 | $ | 8.00 | 1.60 | % | ||||||||
Class C | �� | |||||||||||||||
Actual | $ | 1,000 | $ | 1,008.00 | $ | 7.97 | 1.60 | % | ||||||||
Hypothetical (5% return before expenses) | $ | 1,000 | $ | 1,016.86 | $ | 8.00 | 1.60 | % | ||||||||
Class K | ||||||||||||||||
Actual | $ | 1,000 | $ | 1,009.70 | $ | 6.23 | 1.25 | % | ||||||||
Hypothetical (5% return before expenses) | $ | 1,000 | $ | 1,018.60 | $ | 6.26 | 1.25 | % |
* | Expenses are equal to the Fund’s annualized expense ratio for the Fund’s Class A, B, C and K shares, multiplied by the average account value over the period, multiplied by 181/365 (to reflect the Fund’s most recent fiscal half-year). |
24
Table of Contents
n The Guardian Tax-Exempt Fund | Semiannual Report To Shareholders |
![(PHOTO)](https://capedge.com/proxy/N-CSRS/0000950123-05-010744/e10194agrant.jpg)
Alexander M. Grant, Jr.,
Portfolio Manager
Portfolio Manager
Objective:
Seeks to maximize current income exempt from federal income taxes, consistent with the preservation of capital |
Portfolio:
At least 80% in investment grade municipal debt obligations |
Inception Date:
February 16, 1993 |
Net Assets at
June 30, 2005:
June 30, 2005:
$97,465,384 |
Top Ten Holdings (As of 6/30/2005)
Percentage of | ||||||||||||
Company | Coupon | Maturity Date | Total Net Assets | |||||||||
New Jersey St. Housing & Mtg. Fin. Agy. Rev. Ser. N | 2.350 | % | 10/1/2017 | 3.08 | % | |||||||
St. Johns Cnty., FL Sales Tax Rev. | 5.250 | % | 10/1/2027 | 2.54 | % | |||||||
Badger Tobacco Asset Securitization Corp. | 5.750 | % | 6/1/2011 | 2.32 | % | |||||||
Tobacco Settlement Auth. WA Rev. | 6.250 | % | 6/1/2011 | 2.29 | % | |||||||
California St. Pub. Wks. Brd. Dept. of Mental Hlth. | 5.500 | % | 6/1/2023 | 2.24 | % | |||||||
Minnesota St. Muni. Power Agy. Electric | 5.250 | % | 10/1/2024 | 2.24 | % | |||||||
North Carolina St. Univ. NC Raleigh Rev. General Ser. A | 5.000 | % | 10/1/2024 | 2.24 | % | |||||||
California St. G.O. | 5.250 | % | 11/1/2027 | 2.22 | % | |||||||
New York St. Dormitory Auth. Rev. Mental Hlth. Facs. Impt. B | 5.000 | % | 2/15/2030 | 2.19 | % | |||||||
Tobacco Settlement Rev. Management | 6.000 | % | 5/15/2022 | 2.17 | % |
Sector Allocation (As of 6/30/2005 and 12/31/2004)
![]() |
Average Annual Total Returns (For periods ended 6/30/2005)
Inception | 1 | 3 | 5 | 10 | Since | |||||||||||||||||||||||||
Date | YTD | Yr | Yrs | Yrs | Yrs | Inception | ||||||||||||||||||||||||
Class A shares | (w/o sales charge) | 2/16/93 | 3.84 | % | 9.92 | % | 6.33 | % | 7.16 | % | 6.22 | % | 5.42 | % | ||||||||||||||||
(w/ sales charge) | 2/16/93 | -0.83 | % | 4.97 | % | 4.71 | % | 6.18 | % | 5.73 | % | 5.03 | % | |||||||||||||||||
Class C shares | (w/o sales charge) | 8/7/00 | 3.46 | % | 9.11 | % | 5.53 | % | — | — | 6.10 | % | ||||||||||||||||||
(w/ sales charge) | 8/7/00 | 2.46 | % | 8.11 | % | 5.53 | % | — | — | 6.10 | % | |||||||||||||||||||
Lehman Brothers Municipal Bond Index | 2.89 | % | 8.24 | % | 5.85 | % | 6.88 | % | 6.38 | % | 6.25 | % | ||||||||||||||||||
Since Class A shares inception |
About information in this report:
• | All performance data quoted is historical and the results represent past performance and neither guarantee nor predict future investment results. To obtain performance data current to the most recent month (available within 7 business days of the most recent month end), please call us at (800) 221-3253 or visit our website at www.guardianinvestor.com. Current performance may be higher or lower than the performance quoted here. Investment return and principal value will fluctuate so that an investor’s shares, when redeemed, may be worth more or less than the original cost. | |
• | It is important to consider the Fund’s investment objectives, risks, fees and expenses before investing. All funds involve some risk, including possible loss of the principal amount invested. Investing in bond funds exposes you to the general risk of investing in the debt markets. Duration is a measure of bond price sensitivity to a given change in interest rates. Generally, the higher a bond’s duration, the greater its price sensitivity to a given change in interest rates. Bond funds are subject to interest rate risk. When interest rates rise, bond prices generally fall, and when interest rates fall, bond prices generally rise. Currently, interest rates are at historically low levels. Please keep in mind that in this kind of environment, the risk that bond prices may fall when interest rates rise is potentially greater. | |
• | Please see the “About Your Annual Report” page for a description of the Lehman Brothers Municipal Bond Index. | |
• | Total return figures are historical and assume the reinvestment of dividends and distributions and the deduction of all Fund expenses. The return figures shown do not reflect the deduction of taxes that a shareholder may pay on distributions or redemption of shares. Total return figures for Class A shares do not take into account the current maximum sales charge of 4.5%, except where noted. Total return figures for Class C shares do not take into account the contingent deferred sales charges applicable to such shares (maximum of 1%) except where noted. Since June 1, 1994, the investment adviser for the Fund has assumed certain ordinary operating expenses for the Fund. Without this assumption of expenses, returns would have been lower. |
25
Table of Contents
n The Guardian Tax-Exempt Fund | Semiannual Report To Shareholders |
Fund Expenses
By investing in the Fund, you incur two types of costs: (1) transaction costs, including sales charges on purchase payments, reinvested dividends, or other distributions; redemption fees and exchange fees; and (2) ongoing costs, including, as applicable, management fees; distribution and/or service (12b-1) fees; and other Fund expenses. This example is 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 example is based on an investment of $1,000 invested on January 1, 2005 and held for six months ended June 30, 2005.
Actual Expenses
The first line provides information about actual account values and actual expenses. You may use the information on this line, together with the amount you invested, to estimate the expenses that you paid over the period. Simply divide your account value by $1,000 (for example, an $8,600 account value divided by $1,000 = 8.6), then multiply the result by the number in the applicable line under the heading entitled “Expenses Paid During the Period” to estimate the expenses you paid on your account during this period.
Hypothetical Example for Comparison Purposes
The second line provides information about hypothetical account values and hypothetical expenses based on the Fund’s actual expense ratio and an assumed rate of return of 5% per year before expenses, which is not the Fund’s actual return. The hypothetical account values and expenses may not be used to estimate the actual ending account balance or expenses you paid for the period. You may use this information to compare the ongoing costs of investing in the Fund and other funds. To do so, compare this 5% hypothetical example with the 5% hypothetical examples that appear in the shareholder reports of the other funds.
Please note that the expenses shown in the table are meant to highlight your ongoing costs only and do not reflect any transactional costs, such as sales charges (loads), redemption fees, or exchange fees. Therefore, the table is useful in comparing ongoing costs only, and will not help you determine the relative total costs of owning different funds. In addition, if transactional costs were included, your costs would have been higher.
Beginning | Ending | |||||||||||||||
Account Value | Account Value | Expenses Paid | Annualized | |||||||||||||
January 1, 2005 | June 30, 2005 | During Period* | Expense Ratio | |||||||||||||
Class A | ||||||||||||||||
Actual | $ | 1,000 | $ | 1,038.40 | $ | 4.30 | 0.85 | % | ||||||||
Hypothetical (5% return before expenses) | $ | 1,000 | $ | 1,020.58 | $ | 4.26 | 0.85 | % | ||||||||
Class C | ||||||||||||||||
Actual | $ | 1,000 | $ | 1,034.60 | $ | 8.07 | 1.60 | % | ||||||||
Hypothetical (5% return before expenses) | $ | 1,000 | $ | 1,016.86 | $ | 8.00 | 1.60 | % |
* | Expenses are equal to the Fund’s annualized expense ratio for the Fund’s Class A, and C shares, multiplied by the average account value over the period, multiplied by 181/365 (to reflect the Fund’s most recent fiscal half-year). |
26
Table of Contents
n The Guardian Cash Management Fund | Semiannual Report To Shareholders |
![(PHOTO)](https://capedge.com/proxy/N-CSRS/0000950123-05-010744/e10194agrant.jpg)
Alexander M. Grant, Jr.,
Portfolio Manager
Portfolio Manager
Objective:
Seeks as high a level of current income as is consistent with liquidity and preservation of capital |
Portfolio:
Short-term money market investments |
Inception Date:
November 3, 1982 |
Net Assets at
June 30, 2005:
June 30, 2005:
$448,599,478 |
Portfolio Statistics (as of 6/30/2005)
Average Maturity (days): | 32 | |||||
Yields: | ||||||
Effective 7 day Yield | With subsidy | 2.35 | % | |||
Without subsidy | 2.30 | % | ||||
Current 7 day Yield | With subsidy | 2.32 | % | |||
Without subsidy | 2.27 | % |
Annualized historical yields for the 7-day periods ended June 30, 2005. Effective yield assumes reinvested income. Yields will vary. The yield figures cited represent yield for Class A shares.
Sector Allocation (as of 6/30/2005)
![]() |
Average Annual Total Returns (For periods ended 6/30/2005)
Inception | 1 | 3 | 5 | 10 | Since | |||||||||||||||||||||||||
Date | YTD | Yr | Yrs | Yrs | Yrs | Inception | ||||||||||||||||||||||||
Class A shares | (w/o sales charge) | 9/13/82 | 0.93 | % | 1.38 | % | 0.78 | % | 1.81 | % | 3.29 | % | 4.96 | % | ||||||||||||||||
Class B shares | (w/o sales charge) | 5/1/96 | 0.67 | % | 1.11 | % | 0.52 | % | 1.36 | % | — | 2.85 | % | |||||||||||||||||
(w/ sales charge) | 5/1/96 | -2.33 | % | -1.89 | % | -0.14 | % | 1.17 | % | — | 2.85 | % | ||||||||||||||||||
Class C shares | (w/o sales charge) | 8/7/00 | 0.67 | % | 1.11 | % | 0.52 | % | — | — | 1.26 | % | ||||||||||||||||||
(w/ sales charge) | 8/7/00 | -0.33 | % | 0.11 | % | 0.52 | % | — | — | 1.26 | % | |||||||||||||||||||
Class K shares | (w/o sales charge) | 5/15/01 | 0.73 | % | 1.12 | % | 0.54 | % | — | — | 0.77 | % | ||||||||||||||||||
(w/ sales charge) | 5/15/01 | 0.73 | % | 1.12 | % | 0.54 | % | — | — | 0.77 | % | |||||||||||||||||||
Lehman Brothers 3 Month Treasury-Bill Index | 1.28 | % | 2.12 | % | 1.53 | % | 2.63 | % | 4.01 | % | 5.51 | % | ||||||||||||||||||
Since Class A shares inception |
About information in this report:
• | All performance data quoted is historical and the results represent past performance and neither guarantee nor predict future investment results. To obtain performance data current to the most recent month (available within 7 business days of the most recent month end), please call us at (800) 221-3253 or visit our website at www.guardianinvestor.com. Current performance may be higher or lower than the performance quoted here. Investment return and principal value will fluctuate so that an investor’s shares, when redeemed, may be worth more or less than the original cost. | |
• | It is important to consider the Fund’s investment objectives, risks, fees and expenses before investing. All funds involve some risk, including possible loss of the principal amount invested. | |
• | Please see the “About Your Annual Report” page for a description of the Lehman Brothers 3-Month Treasury Bill Index. | |
• | Shares of The Guardian Cash Management Fund are not issued or guaranteed by the Federal Deposit Insurance Corporation (FDIC), the National Credit Union Association (NCUA), the Federal Reserve Board or any other agency. Although the Fund seeks to preserve the value of an investment at $1.00 per share, it is possible to lose money by investing in the Fund. | |
• | Total return figures are historical and assume the reinvestment of dividends and distributions and the deduction of all Fund expenses. The return figures shown do not reflect the deduction of taxes that a shareholder may pay on distributions or redemption of shares. Total return figures for Class B, Class C and Class K shares do not take into account the contingent deferred sales charge applicable to such shares (maximum 3% for Class B shares and 1% for Class C and Class K shares), except where noted. Since June 1, 1994, the investment adviser for the Fund has assumed certain ordinary operating expenses of the Fund. Without these expense assumptions, the returns would have been lower. |
27
Table of Contents
n The Guardian Cash Management Fund | Semiannual Report To Shareholders |
Fund Expenses
By investing in the Fund, you incur two types of costs: (1) transaction costs, including sales charges on purchase payments, reinvested dividends, or other distributions; redemption fees and exchange fees; and (2) ongoing costs, including, as applicable, management fees; distribution and/or service (12b-1) fees; and other Fund expenses. This example is 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 example is based on an investment of $1,000 invested on January 1, 2005 and held for six months ended June 30, 2005.
Actual Expenses
The first line provides information about actual account values and actual expenses. You may use the information on this line, together with the amount you invested, to estimate the expenses that you paid over the period. Simply divide your account value by $1,000 (for example, an $8,600 account value divided by $1,000 = 8.6), then multiply the result by the number in the applicable line under the heading entitled “Expenses Paid During the Period” to estimate the expenses you paid on your account during this period.
Hypothetical Example for Comparison Purposes
The second line provides information about hypothetical account values and hypothetical expenses based on the Fund’s actual expense ratio and an assumed rate of return of 5% per year before expenses, which is not the Fund’s actual return. The hypothetical account values and expenses may not be used to estimate the actual ending account balance or expenses you paid for the period. You may use this information to compare the ongoing costs of investing in the Fund and other funds. To do so, compare this 5% hypothetical example with the 5% hypothetical examples that appear in the shareholder reports of the other funds.
Please note that the expenses shown in the table are meant to highlight your ongoing costs only and do not reflect any transactional costs, such as sales charges (loads), redemption fees, or exchange fees. Therefore, the table is useful in comparing ongoing costs only, and will not help you determine the relative total costs of owning different funds. In addition, if transactional costs were included, your costs would have been higher.
Beginning | Ending | |||||||||||||||
Account Value | Account Value | Expenses Paid | Annualized | |||||||||||||
January 1, 2005 | June 30, 2005 | During Period* | Expense Ratio | |||||||||||||
Class A | ||||||||||||||||
Actual | $ | 1,000 | $ | 1,009.30 | $ | 4.23 | 0.85 | % | ||||||||
Hypothetical (5% return before expenses) | $ | 1,000 | $ | 1,020.58 | $ | 4.26 | 0.85 | % | ||||||||
Class B | ||||||||||||||||
Actual | $ | 1,000 | $ | 1,006.70 | $ | 6.82 | 1.37 | % | ||||||||
Hypothetical (5% return before expenses) | $ | 1,000 | $ | 1,018.00 | $ | 6.85 | 1.37 | % | ||||||||
Class C | ||||||||||||||||
Actual | $ | 1,000 | $ | 1,006.70 | $ | 6.77 | 1.36 | % | ||||||||
Hypothetical (5% return before expenses) | $ | 1,000 | $ | 1,018.05 | $ | 6.80 | 1.36 | % | ||||||||
Class K | ||||||||||||||||
Actual | $ | 1,000 | $ | 1,007.30 | $ | 6.22 | 1.25 | % | ||||||||
Hypothetical (5% return before expenses) | $ | 1,000 | $ | 1,018.60 | $ | 6.26 | 1.25 | % |
* | Expenses are equal to the Fund’s annualized expense ratio for the Fund’s Class A, B, C and K shares, multiplied by the average account value over the period, multiplied by 181/365 (to reflect the Fund’s most recent fiscal half-year). |
28
Table of Contents
n | The Guardian Park Avenue Fund |
Schedule of Investments |
June 30, 2005 (Unaudited)
Common Stocks — 99.0% |
Shares | Value | |||||||
Aerospace and Defense — 3.8% | ||||||||
75,100 | Boeing Co. | $ | 4,956,600 | |||||
120,100 | General Dynamics Corp. | 13,155,754 | ||||||
256,300 | Honeywell Int’l., Inc. | 9,388,269 | ||||||
162,200 | United Technologies Corp. | 8,328,970 | ||||||
35,829,593 | ||||||||
Air Freight and Logistics — 0.5% | ||||||||
67,000 | United Parcel Svc., Inc. | 4,633,720 | ||||||
Beverages — 2.2% | ||||||||
201,700 | Coca-Cola Co. | 8,420,975 | ||||||
234,700 | PepsiCo., Inc. | 12,657,371 | ||||||
21,078,346 | ||||||||
Biotechnology — 1.2% | ||||||||
180,400 | Amgen, Inc.* | 10,906,984 | ||||||
Building Products — 0.6% | ||||||||
184,800 | Masco Corp. | 5,869,248 | ||||||
Capital Markets — 2.5% | ||||||||
40,900 | Goldman Sachs Group, Inc. | 4,172,618 | ||||||
72,900 | Lehman Brothers Hldgs., Inc. | 7,237,512 | ||||||
133,300 | Merrill Lynch & Co., Inc. | 7,332,833 | ||||||
96,000 | Morgan Stanley | 5,037,120 | ||||||
23,780,083 | ||||||||
Chemicals — 0.6% | ||||||||
88,200 | PPG Inds., Inc. | 5,535,432 | ||||||
Commercial Banks — 5.6% | ||||||||
617,500 | Bank of America Corp. | 28,164,175 | ||||||
187,100 | Wachovia Corp. | 9,280,160 | ||||||
242,700 | Wells Fargo & Co. | 14,945,466 | ||||||
52,389,801 | ||||||||
Commercial Services and Supplies — 1.3% | ||||||||
197,200 | Cintas Corp. | 7,611,920 | ||||||
184,700 | Robert Half Int’l., Inc. | 4,611,959 | ||||||
12,223,879 | ||||||||
Communications Equipment — 3.2% | ||||||||
830,300 | Cisco Systems, Inc.* | 15,867,033 | ||||||
129,500 | Corning, Inc.* | 2,152,290 | ||||||
414,700 | Lucent Technologies, Inc.* | 1,206,777 | ||||||
340,200 | Motorola, Inc. | 6,212,052 | ||||||
147,200 | QUALCOMM, Inc. | 4,859,072 | ||||||
30,297,224 | ||||||||
Computers and Peripherals — 3.6% | ||||||||
73,200 | Apple Computer, Inc.* | 2,694,492 | ||||||
218,200 | Dell, Inc.* | 8,621,082 | ||||||
336,300 | EMC Corp.* | 4,610,673 | ||||||
254,600 | Hewlett Packard Co. | 5,985,646 | ||||||
147,100 | Int’l. Business Machines | 10,914,820 | ||||||
309,600 | Sun Microsystems, Inc.* | 1,154,808 | ||||||
33,981,521 | ||||||||
Consumer Finance — 1.0% | ||||||||
118,000 | Capital One Financial Corp. | 9,441,180 | ||||||
Diversified Financial Services — 3.7% | ||||||||
556,766 | Citigroup, Inc. | 25,739,292 | ||||||
245,400 | J.P. Morgan Chase & Co. | 8,667,528 | ||||||
34,406,820 | ||||||||
Diversified Telecommunication Services — 3.9% | ||||||||
404,400 | AT & T Corp. | 7,699,776 | ||||||
172,100 | BellSouth Corp. | 4,572,697 | ||||||
423,100 | SBC Comm., Inc. | 10,048,625 | ||||||
407,800 | Verizon Comm. | 14,089,490 | ||||||
36,410,588 | ||||||||
Electric Utilities — 1.6% | ||||||||
156,600 | Consolidated Edison, Inc. | 7,335,144 | ||||||
62,900 | Exelon Corp. | 3,228,657 | ||||||
105,200 | FPL Group, Inc. | 4,424,712 | ||||||
14,988,513 | ||||||||
Electrical Equipment — 0.5% | ||||||||
98,100 | Rockwell Automation, Inc. | 4,778,451 | ||||||
Energy Equipment and Services — 1.8% | ||||||||
56,400 | Schlumberger Ltd. | 4,283,016 | ||||||
244,000 | Transocean, Inc.* | 13,168,680 | ||||||
17,451,696 | ||||||||
Food and Staples Retailing — 1.6% | ||||||||
144,000 | Kroger Co.* | 2,740,320 | ||||||
259,200 | Wal-Mart Stores, Inc. | 12,493,440 | ||||||
15,233,760 | ||||||||
Food Products — 1.7% | ||||||||
89,300 | Bunge Ltd. | 5,661,620 | ||||||
158,500 | Dean Foods Co.* | 5,585,540 | ||||||
142,300 | McCormick & Co., Inc. | 4,650,364 | ||||||
15,897,524 | ||||||||
Gas Utilities — 0.5% | ||||||||
205,900 | NiSource, Inc. | 5,091,907 | ||||||
Health Care Equipment and Supplies — 2.6% | ||||||||
240,800 | Boston Scientific Corp.* | 6,501,600 | ||||||
73,000 | C.R. Bard, Inc. | 4,855,230 | ||||||
50,590 | Hospira, Inc.* | 1,973,010 | ||||||
206,900 | Medtronic, Inc. | 10,715,351 | ||||||
24,045,191 | ||||||||
Health Care Providers and Services — 1.9% | ||||||||
151,200 | McKesson Corp. | 6,772,248 | ||||||
219,600 | UnitedHealth Group | 11,449,944 | ||||||
18,222,192 | ||||||||
Hotels, Restaurants and Leisure — 2.5% | ||||||||
130,600 | Carnival Corp. | 7,124,230 | ||||||
341,700 | Hilton Hotels Corp. | 8,149,545 | ||||||
175,100 | Int’l. Game Technology | 4,929,065 | ||||||
112,400 | McDonald’s Corp. | 3,119,100 | ||||||
23,321,940 | ||||||||
Household Durables — 1.0% | ||||||||
131,500 | Centex Corp. | 9,293,105 | ||||||
Household Products — 3.6% | ||||||||
198,700 | Colgate-Palmolive Co. | 9,917,117 | ||||||
446,400 | Procter & Gamble Co. | 23,547,600 | ||||||
33,464,717 | ||||||||
Industrial Conglomerates — 4.5% | ||||||||
71,700 | 3M Co. | 5,183,910 | ||||||
852,300 | General Electric Co. | 29,532,195 | ||||||
257,100 | Tyco Int’l. Ltd. | 7,507,320 | ||||||
42,223,425 | ||||||||
See notes to financial statements.
29
Table of Contents
n | The Guardian Park Avenue Fund |
Schedule of Investments (Continued) |
June 30, 2005 (Unaudited)
Shares | Value | |||||||
Information Technology Services — 0.6% | ||||||||
52,500 | Automatic Data Processing, Inc. | $ | 2,203,425 | |||||
71,200 | First Data Corp. | 2,857,968 | ||||||
33,000 | Paychex, Inc. | 1,073,820 | ||||||
6,135,213 | ||||||||
Insurance — 3.3% | ||||||||
83,700 | Ambac Financial Group, Inc. | 5,838,912 | ||||||
226,400 | American Int’l. Group, Inc. | 13,153,840 | ||||||
339,300 | Fidelity National Financial, Inc. | 12,109,617 | ||||||
31,102,369 | ||||||||
Internet and Catalog Retail — 0.4% | ||||||||
106,700 | eBay, Inc.* | 3,522,167 | ||||||
Internet Software and Services — 0.6% | ||||||||
175,100 | Yahoo! Inc.* | 6,067,215 | ||||||
Machinery — 1.5% | ||||||||
75,000 | Caterpillar, Inc. | 7,148,250 | ||||||
105,000 | Deere & Co. | 6,876,450 | ||||||
14,024,700 | ||||||||
Media — 4.1% | ||||||||
332,300 | Clear Channel Comm., Inc.* | 10,278,039 | ||||||
426,600 | Comcast Corp. – Class A* | 13,096,620 | ||||||
224,800 | Time Warner, Inc.* | 3,756,408 | ||||||
359,400 | Viacom, Inc. | 11,507,988 | ||||||
38,639,055 | ||||||||
Metals and Mining — 0.8% | ||||||||
85,700 | Phelps Dodge Corp. | 7,927,250 | ||||||
Multiline Retail — 0.9% | ||||||||
163,900 | J.C. Penney Co., Inc. | 8,617,862 | ||||||
Multi–Utilities — 0.8% | ||||||||
101,700 | Dominion Resources, Inc. | 7,463,763 | ||||||
Office Electronics — 0.1% | ||||||||
89,100 | Xerox Corp.* | 1,228,689 | ||||||
Oil, Gas and Consumable Fuels — 5.7% | ||||||||
273,000 | ChevronTexaco Corp. | 15,266,160 | ||||||
201,200 | Devon Energy Corp. | 10,196,816 | ||||||
399,000 | Exxon Mobil Corp. | 22,930,530 | ||||||
70,700 | Occidental Petroleum Corp. | 5,438,951 | ||||||
53,832,457 | ||||||||
Personal Products — 0.8% | ||||||||
192,700 | Estee Lauder Cos., Inc. | 7,540,351 | ||||||
Pharmaceuticals — 7.5% | ||||||||
224,100 | Abbott Laboratories | 10,983,141 | ||||||
100,000 | Eli Lilly & Co. | 5,571,000 | ||||||
299,340 | Johnson & Johnson | 19,457,100 | ||||||
629,740 | Pfizer, Inc. | 17,368,229 | ||||||
268,900 | Schering-Plough Corp. | 5,125,234 | ||||||
270,600 | Wyeth | 12,041,700 | ||||||
70,546,404 | ||||||||
Road and Rail — 0.5% | ||||||||
97,900 | Burlington Northern Santa Fe | 4,609,132 | ||||||
Semiconductors and Semiconductor Equipment — 3.4% | ||||||||
34,600 | Analog Devices, Inc. | 1,290,926 | ||||||
148,900 | Applied Materials, Inc. | 2,409,202 | ||||||
742,600 | Intel Corp. | 19,352,156 | ||||||
28,400 | Linear Technology Corp. | 1,041,996 | ||||||
29,600 | Maxim Integrated Products, Inc. | 1,131,016 | ||||||
228,400 | Texas Instruments, Inc. | 6,411,188 | ||||||
31,636,484 | ||||||||
Software — 4.6% | ||||||||
60,000 | Adobe Systems, Inc. | 1,717,200 | ||||||
52,600 | Computer Assocs. Int’l., Inc. | 1,445,448 | ||||||
27,200 | Electronic Arts, Inc.* | 1,539,792 | ||||||
1,089,800 | Microsoft Corp. | 27,070,632 | ||||||
573,100 | Oracle Corp.* | 7,564,920 | ||||||
168,200 | Symantec Corp.* | 3,656,668 | ||||||
42,994,660 | ||||||||
Specialty Retail — 0.8% | ||||||||
130,200 | Home Depot, Inc. | 5,064,780 | ||||||
43,000 | Lowe’s Cos., Inc. | 2,503,460 | ||||||
7,568,240 | ||||||||
Textiles, Apparel and Luxury Goods — 0.5% | ||||||||
141,800 | Coach, Inc.* | 4,760,226 | ||||||
Thrifts and Mortgage Finance — 2.7% | ||||||||
241,500 | Countrywide Financial Corp. | 9,324,315 | ||||||
61,000 | Federal Home Loan Mortgage Corp. | 3,979,030 | ||||||
210,500 | Federal National Mortgage Assn. | 12,293,200 | ||||||
25,596,545 | ||||||||
Tobacco — 1.3% | ||||||||
190,700 | Altria Group, Inc. | 12,330,662 | ||||||
Wireless Telecommunication Services — 0.6% | ||||||||
257,000 | American Tower Corp.* | 5,402,140 | ||||||
Total Common Stocks (Cost $830,436,103) | 932,342,424 | |||||||
Repurchase Agreement — 1.5% |
Principal | ||||||||
Amount | Value | |||||||
$ | 13,775,000 | State Street Bank and Trust Co. repurchase agreement, dated 6/30/2005, maturity value $13,776,224 at 3.20%, due 7/1/2005 (1) (Cost $13,775,000) | $ | 13,775,000 | ||||
Total Investments — 100.5% (Cost $844,211,103) | 946,117,424 | |||||||
Liabilities in Excess of Cash, Receivables and Other Assets — (0.5)% | (4,396,013 | ) | ||||||
Net Assets — 100% | $ | 941,721,411 | ||||||
* | Non-income producing security. |
(1) | The repurchase agreement is collateralized by $13,950,000 in U.S. Government Agency 4.50%, due 11/15/11, with a value of $14,054,625. |
See notes to financial statements.
30
Table of Contents
n | The Guardian UBS Large Cap Value Fund |
Schedule of Investments |
June 30, 2005 (Unaudited)
Common Stocks — 96.5% |
Shares | Value | |||||||
Aerospace and Defense — 3.2% | ||||||||
26,700 | Lockheed Martin Corp. | $ | 1,732,029 | |||||
19,000 | Northrop Grumman Corp. | 1,049,750 | ||||||
2,781,779 | ||||||||
Air Freight and Logistics — 1.0% | ||||||||
10,500 | FedEx Corp. | 850,605 | ||||||
Auto Components — 1.3% | ||||||||
2,100 | BorgWarner, Inc. | 112,707 | ||||||
18,600 | Johnson Controls, Inc. | 1,047,738 | ||||||
1,160,445 | ||||||||
Biotechnology — 0.7% | ||||||||
16,200 | Cephalon, Inc.* | 644,922 | ||||||
Building Products — 1.8% | ||||||||
48,800 | Masco Corp. | 1,549,888 | ||||||
Capital Markets — 7.0% | ||||||||
62,700 | Mellon Financial Corp. | 1,798,863 | ||||||
61,800 | Morgan Stanley | 3,242,646 | ||||||
22,500 | Northern Trust Corp. | 1,025,775 | ||||||
6,067,284 | ||||||||
Commercial Banks — 9.0% | ||||||||
34,556 | Bank of America Corp. | 1,576,099 | ||||||
29,300 | Fifth Third Bancorp | 1,207,453 | ||||||
28,300 | PNC Financial Svcs. Group | 1,541,218 | ||||||
56,500 | Wells Fargo & Co. | 3,479,270 | ||||||
7,804,040 | ||||||||
Commercial Services and Supplies — 0.8% | ||||||||
32,700 | Cendant Corp. | 731,499 | ||||||
Computers and Peripherals — 1.3% | ||||||||
46,300 | Hewlett Packard Co. | 1,088,513 | ||||||
Construction Materials — 2.4% | ||||||||
29,400 | Martin Marietta Materials, Inc. | 2,032,128 | ||||||
Diversified Financial Services — 9.4% | ||||||||
100,900 | Citigroup, Inc. | 4,664,607 | ||||||
96,800 | J.P. Morgan Chase & Co. | 3,418,976 | ||||||
8,083,583 | ||||||||
Diversified Telecommunication Services — 1.9% | ||||||||
69,200 | SBC Comm., Inc. | 1,643,500 | ||||||
Electric Utilities — 7.6% | ||||||||
46,800 | American Electric Power, Inc. | 1,725,516 | ||||||
37,800 | Exelon Corp. | 1,940,274 | ||||||
40,900 | FirstEnergy Corp. | 1,967,699 | ||||||
37,300 | Pepco Hldgs., Inc. | 892,962 | ||||||
6,526,451 | ||||||||
Energy Equipment and Services — 0.6% | ||||||||
9,600 | Baker Hughes, Inc. | 491,136 | ||||||
Food and Staples Retailing — 4.6% | ||||||||
61,900 | Albertson’s, Inc. | 1,280,092 | ||||||
32,700 | Costco Wholesale Corp. | 1,465,614 | ||||||
63,100 | Kroger Co.* | 1,200,793 | ||||||
3,946,499 | ||||||||
Gas Utilities — 0.5% | ||||||||
18,100 | NiSource, Inc. | 447,613 | ||||||
Health Care Providers and Services — 4.3% | ||||||||
23,900 | Medco Health Solutions, Inc.* | 1,275,304 | ||||||
47,400 | UnitedHealth Group | 2,471,436 | ||||||
3,746,740 | ||||||||
Household Products — 1.0% | ||||||||
14,500 | Kimberly-Clark Corp. | 907,555 | ||||||
Insurance — 6.1% | ||||||||
22,900 | AFLAC, Inc. | 991,112 | ||||||
26,100 | Allstate Corp. | 1,559,475 | ||||||
21,100 | American Int’l. Group, Inc. | 1,225,910 | ||||||
19,500 | Hartford Financial Svcs. Group, Inc. | 1,458,210 | ||||||
5,234,707 | ||||||||
Internet and Catalog Retail — 1.1% | ||||||||
41,200 | IAC/InterActiveCorp* | 990,860 | ||||||
Machinery — 2.1% | ||||||||
22,400 | Illinois Tool Works, Inc. | 1,784,832 | ||||||
Media — 4.9% | ||||||||
15,100 | Omnicom Group, Inc. | 1,205,886 | ||||||
25,100 | The DIRECTV Group, Inc.* | 389,050 | ||||||
108,500 | Time Warner, Inc.* | 1,813,035 | ||||||
28,500 | Univision Comm., Inc.* | 785,175 | ||||||
4,193,146 | ||||||||
Multi–Utilities — 1.0% | ||||||||
20,100 | Sempra Energy | 830,331 | ||||||
Oil, Gas and Consumable Fuels — 7.9% | ||||||||
73,700 | Exxon Mobil Corp. | 4,235,539 | ||||||
49,100 | Marathon Oil Corp. | 2,620,467 | ||||||
6,856,006 | ||||||||
Pharmaceuticals — 4.8% | ||||||||
35,200 | Bristol-Myers Squibb Corp. | 879,296 | ||||||
23,400 | Johnson & Johnson | 1,521,000 | ||||||
38,500 | Wyeth | 1,713,250 | ||||||
4,113,546 | ||||||||
Road and Rail — 1.5% | ||||||||
27,300 | Burlington Northern Santa Fe | 1,285,284 | ||||||
Software — 1.8% | ||||||||
64,200 | Microsoft Corp. | 1,594,728 | ||||||
Specialty Retail — 0.7% | ||||||||
26,100 | Office Depot, Inc.* | 596,124 | ||||||
Thrifts and Mortgage Finance — 2.8% | ||||||||
37,500 | Federal Home Loan Mortgage Corp. | 2,446,125 | ||||||
Wireless Telecommunication Services — 3.4% | ||||||||
91,000 | Nextel Comm., Inc.* | 2,940,210 | ||||||
Total Common Stocks (Cost $63,231,476) | 83,370,079 | |||||||
Exchange-Traded Fund — 2.3% | ||||||||
17,100 | S&P Depositary Receipts Trust Series 1 exp. 12/31/2099 (Cost $2,028,220) | $ | 2,037,978 | |||||
See notes to financial statements.
31
Table of Contents
n | The Guardian UBS Large Cap Value Fund |
Schedule of Investments (Continued) |
June 30, 2005 (Unaudited)
Repurchase Agreement — 1.2% |
Principal | ||||||||
Amount | Value | |||||||
$ | 1,022,000 | State Street Bank and Trust Co. repurchase agreement, dated 6/30/2005, maturity value $1,022,091 at 3.20%, due 7/1/2005 (1) (Cost $1,022,000) | $ | 1,022,000 | ||||
Total Investments — 100.0% (Cost $66,281,696) | 86,430,057 | |||||||
Liabilities in Excess of Cash, Receivables and Other Assets — (0.0)% | (27,250 | ) | ||||||
Net Assets — 100% | $ | 86,402,807 | ||||||
* | Non-income producing security. |
(1) | The repurchase agreement is collateralized by $1,055,000 in U.S. Government Agency 3.25%, due 2/15/09, with a value of $1,044,285. |
See notes to financial statements.
32
Table of Contents
n | The Guardian Park Avenue Small Cap Fund |
Schedule of Investments |
June 30, 2005 (Unaudited)
Common Stocks — 97.2% |
Shares | Value | |||||||
Aerospace and Defense — 3.3% | ||||||||
44,900 | Aviall, Inc.* | $ | 1,418,391 | |||||
74,700 | EDO Corp. | 2,234,277 | ||||||
24,800 | Engineered Support Systems, Inc. | 888,584 | ||||||
34,000 | Esterline Technologies Corp.* | 1,362,720 | ||||||
5,903,972 | ||||||||
Air Freight and Logistics — 1.3% | ||||||||
32,400 | UTi Worldwide, Inc. | 2,255,688 | ||||||
Airlines — 1.2% | ||||||||
116,300 | Skywest, Inc. | 2,114,334 | ||||||
Auto Components — 0.9% | ||||||||
62,600 | American Axle & Mfg. Hldgs., Inc. | 1,581,902 | ||||||
Biotechnology — 4.0% | ||||||||
177,600 | Immunicon Corp.* | 900,432 | ||||||
109,300 | Incyte Corp.* | 781,495 | ||||||
105,700 | Keryx Biopharmaceuticals, Inc.* | 1,395,240 | ||||||
112,100 | Nabi Biopharmaceuticals* | 1,707,283 | ||||||
116,000 | Protein Design Labs., Inc.* | 2,344,360 | ||||||
7,128,810 | ||||||||
Capital Markets — 4.0% | ||||||||
63,200 | Affiliated Managers Group, Inc.* | 4,318,456 | ||||||
23,700 | Investors Financial Svcs. Corp. | 896,334 | ||||||
51,900 | Nuveen Investments | 1,952,478 | ||||||
7,167,268 | ||||||||
Chemicals — 3.2% | ||||||||
38,400 | Albemarle Corp. | 1,400,448 | ||||||
37,900 | Georgia Gulf Corp. | 1,176,795 | ||||||
53,200 | Lubrizol Corp. | 2,234,932 | ||||||
34,000 | Westlake Chemical Corp. | 833,000 | ||||||
5,645,175 | ||||||||
Commercial Banks — 3.9% | ||||||||
41,700 | Boston Private Financial Hldgs., Inc. | 1,050,840 | ||||||
74,100 | East West Bancorp, Inc. | 2,489,019 | ||||||
45,100 | Westcorp | 2,364,142 | ||||||
20,600 | Wintrust Financial Corp. | 1,078,410 | ||||||
6,982,411 | ||||||||
Commercial Services and Supplies — 6.8% | ||||||||
14,300 | CRA Int’l., Inc.* | 770,055 | ||||||
48,200 | G & K Svcs., Inc. | 1,818,586 | ||||||
130,500 | Knoll, Inc. | 2,232,855 | ||||||
106,400 | Labor Ready, Inc.* | 2,480,184 | ||||||
98,100 | Resources Connection, Inc.* | 2,278,863 | ||||||
50,100 | Stericycle, Inc.* | 2,521,032 | ||||||
12,101,575 | ||||||||
Communications Equipment — 2.6% | ||||||||
203,300 | Arris Group, Inc.* | 1,770,743 | ||||||
88,100 | Polycom, Inc.* | 1,313,571 | ||||||
143,300 | Symmetricom, Inc.* | 1,486,021 | ||||||
4,570,335 | ||||||||
Computers and Peripherals — 1.1% | ||||||||
65,100 | PalmOne, Inc.* | 1,938,027 | ||||||
Containers and Packaging — 0.6% | ||||||||
48,000 | Packaging Corp. of America | 1,010,400 | ||||||
Diversified Consumer Services — 1.5% | ||||||||
18,600 | Bright Horizons Family Solutions, Inc.* | 757,392 | ||||||
64,100 | Educate, Inc.* | 907,015 | ||||||
28,300 | Universal Technical Institute, Inc.* | 939,560 | ||||||
2,603,967 | ||||||||
Diversified Telecommunication Services — 2.7% | ||||||||
101,200 | Iowa Telecom. Svcs., Inc. | 1,897,500 | ||||||
72,600 | New Skies Satellites Hldgs. Ltd. | 1,441,110 | ||||||
102,500 | Valor Comm. Group, Inc. | 1,414,500 | ||||||
4,753,110 | ||||||||
Electric Utilities — 0.7% | ||||||||
52,500 | Weststar Energy, Inc. | 1,261,575 | ||||||
Electronic Equipment and Instruments — 3.0% | ||||||||
123,800 | Benchmark Electronics, Inc.* | 3,765,996 | ||||||
51,500 | FLIR Systems, Inc.* | 1,536,760 | ||||||
5,302,756 | ||||||||
Energy Equipment and Services — 3.1% | ||||||||
21,100 | Atwood Oceanics, Inc.* | 1,298,916 | ||||||
74,700 | FMC Technologies, Inc.* | 2,388,159 | ||||||
151,100 | Key Energy Svcs., Inc.* | 1,828,310 | ||||||
5,515,385 | ||||||||
Food and Staples Retailing — 1.1% | ||||||||
33,500 | Performance Food Group Co.* | 1,012,035 | ||||||
30,000 | United Natural Foods, Inc.* | 911,100 | ||||||
1,923,135 | ||||||||
Food Products — 1.4% | ||||||||
17,200 | Flowers Foods, Inc.* | 608,192 | ||||||
47,800 | Hain Celestial Group, Inc.* | 932,100 | ||||||
61,700 | Lance, Inc. | 1,061,857 | ||||||
2,602,149 | ||||||||
Gas Utilities — 1.6% | ||||||||
29,800 | Energen Corp. | 1,044,490 | ||||||
28,200 | Piedmont Natural Gas Co., Inc. | 677,364 | ||||||
41,600 | UGI Corp. | 1,160,640 | ||||||
2,882,494 | ||||||||
Health Care Equipment and Supplies — 3.9% | ||||||||
83,900 | American Medical Systems Hldgs., Inc.* | 1,732,535 | ||||||
31,300 | DJ Orthopedics, Inc.* | 858,559 | ||||||
73,750 | Immucor, Inc.* | 2,135,062 | ||||||
39,500 | LifeCell Corp.* | 624,495 | ||||||
153,600 | OraSure Technologies, Inc.* | 1,534,464 | ||||||
6,885,115 | ||||||||
Hotels, Restaurants and Leisure — 2.9% | ||||||||
82,000 | Fairmont Hotels & Resorts, Inc. | 2,856,060 | ||||||
31,200 | Rare Hospitality Int’l., Inc.* | 950,664 | ||||||
48,600 | Shuffle Master, Inc.* | 1,362,258 | ||||||
5,168,982 | ||||||||
Household Durables — 2.7% | ||||||||
45,800 | Snap-On, Inc. | 1,570,940 | ||||||
15,400 | Standard Pacific Corp. | 1,354,430 | ||||||
58,100 | WCI Communities, Inc.* | 1,860,943 | ||||||
4,786,313 | ||||||||
Information Technology Services — 1.6% | ||||||||
45,500 | CACI Int’l., Inc.* | 2,873,780 | ||||||
See notes to financial statements.
33
Table of Contents
n | The Guardian Park Avenue Small Cap Fund |
Schedule of Investments (Continued) |
June 30, 2005 (Unaudited)
Shares | Value | |||||||
Insurance — 3.0% | ||||||||
60,600 | Endurance Specialty Hldgs. Ltd. | $ | 2,291,892 | |||||
21,800 | ProAssurance Corp.* | 910,368 | ||||||
53,400 | Stewart Information Svcs. Corp. | 2,242,800 | ||||||
5,445,060 | ||||||||
Internet and Catalog Retail — 1.8% | ||||||||
158,900 | Insight Enterprises, Inc.* | 3,206,602 | ||||||
Machinery — 2.0% | ||||||||
46,000 | Trinity Inds., Inc. | 1,473,380 | ||||||
62,200 | Watts Water Technologies, Inc. | 2,083,078 | ||||||
3,556,458 | ||||||||
Media — 3.2% | ||||||||
31,900 | Entercom Comm. Corp.* | 1,061,951 | ||||||
179,400 | Gray Television, Inc. | 2,163,564 | ||||||
58,800 | Lin TV Corp.* | 816,732 | ||||||
81,100 | Westwood One, Inc. | 1,656,873 | ||||||
5,699,120 | ||||||||
Metals and Mining — 0.7% | ||||||||
64,200 | Century Aluminum Co.* | 1,309,680 | ||||||
Oil, Gas and Consumable Fuels — 1.7% | ||||||||
62,300 | Bill Barrett Corp.* | 1,842,834 | ||||||
33,500 | Plains Exploration & Production Co.* | 1,190,255 | ||||||
4 | Tel Offshore Trust | 42 | ||||||
3,033,131 | ||||||||
Personal Products — 0.6% | ||||||||
94,600 | Playtex Products, Inc.* | 1,017,896 | ||||||
Pharmaceuticals — 5.1% | ||||||||
60,400 | Barrier Therapeutics, Inc.* | 478,972 | ||||||
234,300 | Discovery Laboratories, Inc.* | 1,708,047 | ||||||
78,600 | MGI Pharma, Inc.* | 1,710,336 | ||||||
217,000 | Pain Therapeutics, Inc.* | 1,464,750 | ||||||
212,850 | Salix Pharmaceuticals Ltd.* | 3,758,931 | ||||||
9,121,036 | ||||||||
Real Estate — 5.6% | ||||||||
18,300 | Alexandria Real Estate Equities | 1,344,135 | ||||||
26,400 | Federal Realty Investment Trust | 1,557,600 | ||||||
47,000 | Reckson Assocs. Realty Corp. | 1,576,850 | ||||||
51,800 | Redwood Trust, Inc. | 2,672,880 | ||||||
107,800 | Tanger Factory Outlet Centers, Inc. | 2,903,054 | ||||||
10,054,519 | ||||||||
Road and Rail — 0.8% | ||||||||
76,300 | Werner Enterprises, Inc. | 1,498,532 | ||||||
Semiconductors and Semiconductor Equipment — 4.1% | ||||||||
57,700 | Brooks Automation, Inc.* | 856,845 | ||||||
124,900 | Cypress Semiconductor Corp.* | 1,572,491 | ||||||
105,400 | Netlogic Microsystems, Inc.* | 1,868,742 | ||||||
83,600 | Varian Semiconductor Equipment Assoc., Inc.* | 3,093,200 | ||||||
7,391,278 | ||||||||
Software — 5.7% | ||||||||
82,100 | FactSet Research Systems, Inc. | 2,942,464 | ||||||
321,800 | Informatica Corp.* | 2,699,902 | ||||||
125,400 | Internet Security Systems, Inc.* | 2,544,366 | ||||||
311,500 | Parametric Technology Corp.* | 1,987,370 | ||||||
10,174,102 | ||||||||
Specialty Retail — 2.0% | ||||||||
48,200 | New York & Co., Inc.* | 1,015,092 | ||||||
54,500 | The Sports Authority, Inc.* | 1,733,100 | ||||||
49,000 | West Marine, Inc.* | 884,940 | ||||||
3,633,132 | ||||||||
Thrifts and Mortgage Finance — 1.8% | ||||||||
46,500 | BankAtlantic Bancorp, Inc. | 881,175 | ||||||
139,400 | Commercial Capital Bancorp, Inc. | 2,329,374 | ||||||
3,210,549 | ||||||||
Total Common Stocks (Cost $159,019,919) | 173,309,753 | |||||||
Repurchase Agreement — 2.3% |
Principal | ||||||||
Amount | Value | |||||||
$ | 4,196,000 | State Street Bank and Trust Co. repurchase agreement, dated 6/30/2005, maturity value $4,196,373 at 3.20%, due 7/1/2005 (1) (Cost $4,196,000) | $ | 4,196,000 | ||||
Total Investments — 99.5% (Cost $163,215,919) | 177,505,753 | |||||||
Cash, Receivables and Other Assets Less Liabilities — 0.5% | 871,055 | |||||||
Net Assets — 100% | $ | 178,376,808 | ||||||
* | Non-income producing security. |
(1) | The repurchase agreement is collateralized by $4,250,000 in U.S. Government Agency 4.50%, due 11/15/11, with a value of $4,281,875. |
See notes to financial statements.
34
Table of Contents
n | The Guardian UBS Small Cap Value Fund |
Schedule of Investments |
June 30, 2005 (Unaudited)
Common Stocks — 97.2% |
Shares | Value | |||||||
Aerospace and Defense — 3.6% | ||||||||
22,800 | Esterline Technologies Corp.* | $ | 913,824 | |||||
18,200 | Triumph Group, Inc.* | 632,632 | ||||||
1,546,456 | ||||||||
Airlines — 2.5% | ||||||||
53,100 | AMR Corp.* | 643,041 | ||||||
49,700 | Pinnacle Airlines Corp.* | 426,923 | ||||||
1,069,964 | ||||||||
Auto Components — 1.7% | ||||||||
29,500 | American Axle & Mfg. Hldgs., Inc. | 745,465 | ||||||
Biotechnology — 0.7% | ||||||||
24,600 | Alkermes, Inc.* | 325,212 | ||||||
Building Products — 1.3% | ||||||||
11,600 | American Woodmark Corp. | 348,116 | ||||||
13,200 | Apogee Enterprises, Inc. | 202,884 | ||||||
551,000 | ||||||||
Capital Markets — 4.9% | ||||||||
50,000 | Apollo Investment Corp. | 921,500 | ||||||
9,400 | Lazard Ltd.* | 218,550 | ||||||
24,900 | National Financial Partners Corp. | 974,586 | ||||||
2,114,636 | ||||||||
Chemicals — 0.9% | ||||||||
9,300 | Lubrizol Corp. | 390,693 | ||||||
Commercial Banks — 6.1% | ||||||||
20,400 | Boston Private Financial Hldgs., Inc. | 514,080 | ||||||
26,100 | Colonial BancGroup, Inc. | 575,766 | ||||||
14,100 | Cullen/Frost Bankers, Inc. | 671,865 | ||||||
9,200 | South Financial Group, Inc. | 261,464 | ||||||
11,100 | Trustmark Corp. | 324,786 | ||||||
8,400 | Vineyard National Bancorp Co. | 265,104 | ||||||
2,613,065 | ||||||||
Commercial Services and Supplies — 3.4% | ||||||||
28,700 | Coinstar, Inc.* | 651,203 | ||||||
34,000 | McGrath Rentcorp | 805,800 | ||||||
1,457,003 | ||||||||
Communications Equipment — 3.1% | ||||||||
23,000 | Harris Corp. | 717,830 | ||||||
17,300 | Plantronics, Inc. | 629,028 | ||||||
1,346,858 | ||||||||
Containers and Packaging — 0.9% | ||||||||
39,200 | Caraustar Inds., Inc.* | 411,600 | ||||||
Diversified Consumer Services — 1.8% | ||||||||
32,600 | Jackson Hewitt Tax Svc., Inc. | 770,664 | ||||||
Diversified Telecommunication Services — 0.4% | ||||||||
6,400 | NeuStar, Inc.* | 163,840 | ||||||
Electric Utilities — 2.1% | ||||||||
6,300 | Allete, Inc. | 314,370 | ||||||
21,800 | Hawaiian Electric Inds., Inc. | 584,458 | ||||||
898,828 | ||||||||
Electrical Equipment — 3.5% | ||||||||
35,800 | Regal-Beloit Corp. | 1,043,928 | ||||||
28,000 | Ultralife Batteries, Inc.* | 452,200 | ||||||
1,496,128 | ||||||||
Electronic Equipment and Instruments — 1.6% | ||||||||
32,000 | Newport Corp.* | 443,520 | ||||||
9,100 | Park Electrochemical Corp. | 229,320 | ||||||
672,840 | ||||||||
Energy Equipment and Services — 3.1% | ||||||||
19,200 | Oceaneering Int’l., Inc.* | 742,080 | ||||||
18,500 | Offshore Logistics, Inc.* | 607,540 | ||||||
1,349,620 | ||||||||
Food Products — 1.2% | ||||||||
27,000 | Hain Celestial Group, Inc.* | 526,500 | ||||||
Gas Utilities — 3.7% | ||||||||
15,800 | AGL Resources, Inc. | 610,670 | ||||||
14,400 | Equitable Resources, Inc. | 979,200 | ||||||
1,589,870 | ||||||||
Health Care Equipment and Supplies — 4.3% | ||||||||
52,100 | Candela Corp.* | 544,445 | ||||||
8,800 | Cooper Cos., Inc. | 535,568 | ||||||
7,200 | Diagnostic Products Corp. | 340,776 | ||||||
10,500 | Mentor Corp. | 435,540 | ||||||
1,856,329 | ||||||||
Health Care Providers and Services — 3.8% | ||||||||
10,300 | LifePoint Hospitals, Inc.* | 520,356 | ||||||
11,900 | Molina Healthcare, Inc.* | 526,694 | ||||||
40,800 | Odyssey Healthcare, Inc.* | 588,336 | ||||||
1,635,386 | ||||||||
Household Durables — 6.7% | ||||||||
17,900 | Comstock Homebuilding Cos., Inc.* | 433,538 | ||||||
23,400 | Department 56, Inc.* | 239,850 | ||||||
19,900 | Lifetime Hoan Corp. | 388,647 | ||||||
11,700 | Ryland Group, Inc. | 887,679 | ||||||
12,100 | Snap-On, Inc. | 415,030 | ||||||
16,000 | The Yankee Candle Co., Inc. | 513,600 | ||||||
2,878,344 | ||||||||
Information Technology Services — 1.2% | ||||||||
38,600 | BearingPoint, Inc.* | 282,938 | ||||||
24,200 | SM&A* | 217,074 | ||||||
500,012 | ||||||||
Insurance — 4.5% | ||||||||
16,600 | AmerUs Group Co. | 797,630 | ||||||
48,900 | Seabright Insurance Hldgs.* | 558,927 | ||||||
11,500 | Selective Insurance Group, Inc. | 569,825 | ||||||
1,926,382 | ||||||||
Internet Software and Services — 0.9% | ||||||||
26,700 | iVillage, Inc.* | 159,666 | ||||||
87,300 | Tumbleweed Comm. Corp.* | 226,980 | ||||||
386,646 | ||||||||
Leisure Equipment and Products — 1.1% | ||||||||
9,200 | Polaris Industries, Inc. | 496,800 | ||||||
Machinery — 3.7% | ||||||||
21,400 | Gardner Denver, Inc.* | 750,712 | ||||||
7,600 | Harsco Corp. | 414,580 | ||||||
12,400 | Nordson Corp. | 425,072 | ||||||
1,590,364 | ||||||||
See notes to financial statements.
35
Table of Contents
n | The Guardian UBS Small Cap Value Fund |
Schedule of Investments (Continued) |
June 30, 2005 (Unaudited)
Shares | Value | |||||||
Media — 4.4% | ||||||||
18,900 | ADVO, Inc. | $ | 601,965 | |||||
36,400 | Radio One, Inc.* | 464,828 | ||||||
25,300 | Saga Comm., Inc.* | 354,200 | ||||||
50,300 | Sinclair Broadcast Group, Inc. | 456,724 | ||||||
1,877,717 | ||||||||
Oil, Gas and Consumable Fuels — 1.8% | ||||||||
6,500 | Cimarex Energy Co.* | 252,915 | ||||||
36,000 | NGP Capital Resources Co. | 537,480 | ||||||
790,395 | ||||||||
Personal Products — 1.2% | ||||||||
22,400 | Nu Skin Enterprises, Inc. | 521,920 | ||||||
Pharmaceuticals — 1.4% | ||||||||
22,000 | Connetics Corp.* | 388,080 | ||||||
6,800 | Medicis Pharmaceutical Corp. | 215,764 | ||||||
603,844 | ||||||||
Real Estate — 5.2% | ||||||||
19,007 | Government Pptys. Trust, Inc. | 184,748 | ||||||
11,100 | New Century Financial Corp. | 571,095 | ||||||
13,300 | Parkway Pptys., Inc. | 665,133 | ||||||
3,600 | SL Green Realty Corp. | 232,200 | ||||||
20,600 | Thornburg Mortgage, Inc. | 600,078 | ||||||
2,253,254 | ||||||||
Road and Rail — 3.3% | ||||||||
18,950 | Genesee & Wyoming, Inc.* | 515,630 | ||||||
15,800 | Landstar Systems, Inc.* | 475,896 | ||||||
8,800 | Yellow Roadway Corp.* | 447,040 | ||||||
1,438,566 | ||||||||
Software — 1.2% | ||||||||
26,700 | Mentor Graphics Corp.* | 273,675 | ||||||
8,300 | Reynolds & Reynolds Co. | 224,349 | ||||||
498,024 | ||||||||
Specialty Retail — 3.7% | ||||||||
10,800 | Linens ’n Things, Inc.* | 255,528 | ||||||
31,700 | Party City Corp.* | 380,400 | ||||||
30,000 | The Sports Authority, Inc.* | 954,000 | ||||||
1,589,928 | ||||||||
Thrifts and Mortgage Finance — 2.3% | ||||||||
10,300 | IndyMac Bancorp, Inc. | 419,519 | ||||||
82,800 | Ocwen Financial Corp.* | 559,728 | ||||||
979,247 | ||||||||
Total Common Stocks (Cost $34,771,243) | 41,863,400 | |||||||
Exchange-Traded Fund — 0.5% | ||||||||
3,600 | iShares Russell 2000 Value Index Fund (Cost $216,478) | $ | 231,480 | |||||
Repurchase Agreement — 3.0% |
Principal | ||||||||
Amount | Value | |||||||
$ | 1,281,000 | State Street Bank and Trust Co. repurchase agreement, dated 6/30/2005, maturity value $1,281,114 at 3.20%, due 7/1/2005 (1) (Cost $1,281,000) | $ | 1,281,000 | ||||
Total Investments — 100.7% (Cost $36,268,721) | 43,375,880 | |||||||
Liabilities in Excess of Cash, Receivables and Other Assets — (0.7)% | (321,822 | ) | ||||||
Net Assets — 100% | $ | 43,054,058 | ||||||
* | Non-income producing security. |
(1) | The repurchase agreement is collateralized by $1,295,000 in U.S. Government Agency 3.875%, due 1/12/09, with a value of $1,308,908. |
See notes to financial statements.
36
Table of Contents
n | The Guardian Asset Allocation Fund |
Schedule of Investments |
June 30, 2005 (Unaudited)
Common Stocks — 9.5% |
Shares | Value | |||||||
Aerospace and Defense — 0.3% | ||||||||
1,444 | Boeing Co. | $ | 95,304 | |||||
536 | Honeywell Int’l., Inc. | 19,634 | ||||||
1,046 | Lockheed Martin Corp. | 67,854 | ||||||
1,212 | Northrop Grumman Corp. | 66,963 | ||||||
1,924 | Raytheon Co. | 75,267 | ||||||
636 | United Technologies Corp. | 32,658 | ||||||
357,680 | ||||||||
Air Freight and Logistics — 0.1% | ||||||||
2,119 | United Parcel Svc., Inc. | 146,550 | ||||||
Airlines — 0.0% | ||||||||
2,503 | Southwest Airlines Co. | 34,867 | ||||||
Automobiles — 0.1% | ||||||||
5,835 | Ford Motor Co. | 59,750 | ||||||
338 | General Motors Corp. | 11,492 | ||||||
1,219 | Harley-Davidson, Inc. | 60,463 | ||||||
131,705 | ||||||||
Beverages — 0.2% | ||||||||
738 | Anheuser-Busch Cos., Inc. | 33,764 | ||||||
2,995 | Coca-Cola Co. | 125,041 | ||||||
1,667 | PepsiCo., Inc. | 89,901 | ||||||
2,305 | The Pepsi Bottling Group, Inc. | 65,946 | ||||||
314,652 | ||||||||
Biotechnology — 0.2% | ||||||||
2,242 | Amgen, Inc.* | 135,551 | ||||||
917 | Biogen Idec, Inc.* | 31,591 | ||||||
1,035 | Chiron Corp.* | 36,111 | ||||||
1,726 | MedImmune, Inc.* | 46,119 | ||||||
249,372 | ||||||||
Building Products — 0.0% | ||||||||
508 | Masco Corp. | 16,134 | ||||||
Capital Markets — 0.3% | ||||||||
2,547 | Bank of New York, Inc. | 73,303 | ||||||
2,148 | Charles Schwab Corp. | 24,229 | ||||||
1,000 | Goldman Sachs Group, Inc. | 102,020 | ||||||
980 | Lehman Brothers Hldgs., Inc. | 97,294 | ||||||
2,356 | Mellon Financial Corp. | 67,594 | ||||||
410 | Merrill Lynch & Co., Inc. | 22,554 | ||||||
1,052 | Morgan Stanley | 55,199 | ||||||
57 | State Street Corp. | 2,750 | ||||||
444,943 | ||||||||
Chemicals — 0.2% | ||||||||
567 | Dow Chemical Co. | 25,249 | ||||||
1,635 | E.I. Du Pont de Nemours & Co. | 70,321 | ||||||
1,085 | Monsanto Co. | 68,214 | ||||||
1,174 | PPG Inds., Inc. | 73,680 | ||||||
1,770 | Rohm & Haas Co. | 82,022 | ||||||
319,486 | ||||||||
Commercial Banks — 0.6% | ||||||||
5,894 | Bank of America Corp. | 268,825 | ||||||
1,872 | BB&T Corp. | 74,824 | ||||||
617 | Fifth Third Bancorp | 25,427 | ||||||
1,410 | KeyCorp | 46,742 | ||||||
3,312 | U.S. Bancorp | 96,710 | ||||||
3,292 | Wachovia Corp. | 163,283 | ||||||
2,350 | Wells Fargo & Co. | 144,713 | ||||||
820,524 | ||||||||
Commercial Services and Supplies — 0.1% | ||||||||
5,396 | Cendant Corp. | 120,708 | ||||||
1,807 | Cintas Corp. | 69,750 | ||||||
269 | PHH Corp.* | 6,919 | ||||||
479 | Waste Management, Inc. | 13,575 | ||||||
210,952 | ||||||||
Communications Equipment — 0.3% | ||||||||
8,225 | Cisco Systems, Inc.* | 157,180 | ||||||
6,482 | Corning, Inc.* | 107,731 | ||||||
2,075 | Motorola, Inc. | 37,889 | ||||||
2,868 | QUALCOMM, Inc. | 94,673 | ||||||
397,473 | ||||||||
Computers and Peripherals — 0.3% | ||||||||
3,076 | Dell, Inc.* | 121,533 | ||||||
5,386 | EMC Corp.* | 73,842 | ||||||
2,615 | Hewlett Packard Co. | 61,478 | ||||||
1,866 | Int’l. Business Machines | 138,457 | ||||||
12,916 | Sun Microsystems, Inc.* | 48,177 | ||||||
443,487 | ||||||||
Consumer Finance — 0.1% | ||||||||
1,972 | American Express Co. | 104,970 | ||||||
146 | Capital One Financial Corp. | 11,681 | ||||||
1,450 | MBNA Corp. | 37,932 | ||||||
865 | SLM Corp. | 43,942 | ||||||
198,525 | ||||||||
Distributors — 0.0% | ||||||||
867 | Genuine Parts Co. | 35,625 | ||||||
Diversified Financial Services — 0.2% | ||||||||
5,073 | Citigroup, Inc. | 234,525 | ||||||
2,266 | J.P. Morgan Chase & Co. | 80,035 | ||||||
314,560 | ||||||||
Diversified Telecommunication Services — 0.2% | ||||||||
364 | ALLTEL Corp. | 22,670 | ||||||
1,989 | AT & T Corp. | 37,871 | ||||||
2,478 | BellSouth Corp. | 65,840 | ||||||
2,390 | SBC Comm., Inc. | 56,762 | ||||||
1,710 | Sprint Corp. | 42,904 | ||||||
2,971 | Verizon Comm. | 102,648 | ||||||
328,695 | ||||||||
Electric Utilities — 0.2% | ||||||||
705 | Entergy Corp. | 53,263 | ||||||
1,050 | Exelon Corp. | 53,896 | ||||||
728 | FPL Group, Inc. | 30,620 | ||||||
1,395 | Progress Energy, Inc. | 63,110 | ||||||
2,650 | Southern Co. | 91,875 | ||||||
292,764 | ||||||||
Electrical Equipment — 0.0% | ||||||||
424 | Cooper Inds. Ltd. | 27,094 | ||||||
Electronic Equipment and Instruments — 0.0% | ||||||||
4,723 | Solectron Corp.* | 17,900 | ||||||
Energy Equipment and Services — 0.1% | ||||||||
705 | Baker Hughes, Inc. | 36,068 | ||||||
1,681 | Schlumberger Ltd. | 127,655 | ||||||
163,723 | ||||||||
See notes to financial statements.
37
Table of Contents
n | The Guardian Asset Allocation Fund |
Schedule of Investments (Continued) |
June 30, 2005 (Unaudited)
Shares | Value | |||||||
Food and Staples Retailing — 0.2% | ||||||||
840 | Albertson’s, Inc. | $ | 17,371 | |||||
2,040 | CVS Corp. | 59,303 | ||||||
2,409 | Kroger Co.* | 45,843 | ||||||
1,099 | Safeway, Inc. | 24,827 | ||||||
3,795 | Wal-Mart Stores, Inc. | 182,919 | ||||||
330,263 | ||||||||
Food Products — 0.2% | ||||||||
2,194 | Archer-Daniels-Midland Co. | 46,908 | ||||||
321 | Campbell Soup Co. | 9,877 | ||||||
162 | ConAgra Foods, Inc. | 3,752 | ||||||
928 | General Mills, Inc. | 43,421 | ||||||
224 | H.J. Heinz Co. | 7,934 | ||||||
234 | Hershey Foods Corp. | 14,532 | ||||||
512 | Kellogg Co. | 22,753 | ||||||
1,269 | W.M. Wrigley Jr. Co. | 87,358 | ||||||
236,535 | ||||||||
Health Care Equipment and Supplies — 0.3% | ||||||||
328 | Baxter Int’l., Inc. | 12,169 | ||||||
622 | Becton Dickinson & Co., Inc. | 32,637 | ||||||
632 | Boston Scientific Corp.* | 17,064 | ||||||
272 | C.R. Bard, Inc. | 18,091 | ||||||
616 | Guidant Corp. | 41,457 | ||||||
1,756 | Medtronic, Inc. | 90,943 | ||||||
784 | St. Jude Medical, Inc.* | 34,190 | ||||||
1,188 | Stryker Corp. | 56,501 | ||||||
884 | Zimmer Hldgs., Inc.* | 67,334 | ||||||
370,386 | ||||||||
Health Care Providers and Services — 0.3% | ||||||||
998 | AmerisourceBergen Corp. | 69,012 | ||||||
746 | Cigna Corp. | 79,844 | ||||||
306 | HCA, Inc. | 17,341 | ||||||
3,629 | Health Management Assoc., Inc. | 95,007 | ||||||
1,178 | McKesson Corp. | 52,763 | ||||||
1,512 | Tenet Healthcare Corp.* | 18,507 | ||||||
858 | WellPoint, Inc.* | 59,751 | ||||||
392,225 | ||||||||
Hotels, Restaurants and Leisure — 0.1% | ||||||||
890 | Carnival Corp. | 48,550 | ||||||
2,751 | McDonald’s Corp. | 76,340 | ||||||
943 | Starbucks Corp.* | 48,715 | ||||||
173,605 | ||||||||
Household Products — 0.2% | ||||||||
614 | Clorox Co. | 34,212 | ||||||
755 | Kimberly-Clark Corp. | 47,255 | ||||||
2,920 | Procter & Gamble Co. | 154,030 | ||||||
235,497 | ||||||||
Independent Power Producers and Energy Traders — 0.1% | ||||||||
3,468 | AES Corp.* | 56,806 | ||||||
2,204 | Duke Energy Corp. | 65,525 | ||||||
392 | TXU Corp. | 32,571 | ||||||
154,902 | ||||||||
Industrial Conglomerates — 0.4% | ||||||||
936 | 3M Co. | 67,673 | ||||||
13,703 | General Electric Co. | 474,809 | ||||||
3,024 | Tyco Int’l. Ltd. | 88,301 | ||||||
630,783 | ||||||||
Information Technology Services — 0.2% | ||||||||
2,142 | Automatic Data Processing, Inc. | 89,900 | ||||||
2,525 | Electronic Data Systems Corp. | 48,606 | ||||||
1,116 | First Data Corp. | 44,796 | ||||||
957 | Paychex, Inc. | 31,141 | ||||||
1,608 | Sabre Hldgs. Corp. | 32,080 | ||||||
246,523 | ||||||||
Insurance — 0.5% | ||||||||
2,353 | AFLAC, Inc. | 101,838 | ||||||
2,008 | Allstate Corp. | 119,978 | ||||||
3,215 | American Int’l. Group, Inc. | 186,791 | ||||||
481 | Chubb Corp. | 41,178 | ||||||
186 | Loews Corp. | 14,415 | ||||||
2,164 | Marsh & McLennan Cos., Inc. | 59,943 | ||||||
884 | MetLife, Inc. | 39,727 | ||||||
553 | Progressive Corp. | 54,642 | ||||||
687 | St. Paul Travelers Cos., Inc. | 27,157 | ||||||
645,669 | ||||||||
Internet Software and Services — 0.0% | ||||||||
1,884 | Yahoo! Inc.* | 65,281 | ||||||
Leisure Equipment and Products — 0.1% | ||||||||
1,149 | Eastman Kodak Co. | 30,851 | ||||||
3,448 | Mattel, Inc. | 63,098 | ||||||
93,949 | ||||||||
Machinery — 0.1% | ||||||||
726 | Caterpillar, Inc. | 69,195 | ||||||
391 | Deere & Co. | 25,607 | ||||||
94,802 | ||||||||
Media — 0.3% | ||||||||
2,046 | Clear Channel Comm., Inc. | 63,283 | ||||||
3,217 | Comcast Corp. — Class A* | 98,762 | ||||||
629 | Gannett Co., Inc. | 44,741 | ||||||
1,395 | New York Times Co. | 43,454 | ||||||
6,512 | Time Warner, Inc.* | 108,815 | ||||||
77 | Tribune Co. | 2,709 | ||||||
1,149 | Viacom, Inc. | 36,791 | ||||||
3,067 | Walt Disney Co. | 77,227 | ||||||
475,782 | ||||||||
Metals and Mining — 0.0% | ||||||||
2,364 | Alcoa, Inc. | 61,771 | ||||||
Multiline Retail — 0.1% | ||||||||
1,602 | Kohl’s Corp.* | 89,568 | ||||||
481 | Target Corp. | 26,171 | ||||||
115,739 | ||||||||
Multi–Utilities — 0.0% | ||||||||
482 | Public Svc. Enterprise Group, Inc. | 29,315 | ||||||
Oil, Gas and Consumable Fuels — 0.7% | ||||||||
506 | Anadarko Petroleum Corp. | 41,568 | ||||||
294 | Burlington Resources, Inc. | 16,241 | ||||||
3,274 | ChevronTexaco Corp. | 183,082 | ||||||
2,466 | ConocoPhillips | 141,770 | ||||||
3,136 | El Paso Corp. | 36,127 | ||||||
8,498 | Exxon Mobil Corp. | 488,380 | ||||||
971 | Unocal Corp. | 63,163 | ||||||
970,331 | ||||||||
Paper and Forest Products — 0.0% | ||||||||
452 | Georgia-Pacific Corp. | 14,374 | ||||||
See notes to financial statements.
38
Table of Contents
n | The Guardian Asset Allocation Fund |
Schedule of Investments (Continued) |
June 30, 2005 (Unaudited)
Shares | Value | |||||||
Personal Products — 0.1% | ||||||||
1,052 | Avon Products, Inc. | $ | 39,818 | |||||
1,484 | Gillette Co. | 75,135 | ||||||
114,953 | ||||||||
Pharmaceuticals — 0.6% | ||||||||
216 | Allergan, Inc. | 18,412 | ||||||
3,462 | Bristol-Myers Squibb Corp. | 86,481 | ||||||
1,549 | Eli Lilly & Co. | 86,295 | ||||||
4,072 | Johnson & Johnson | 264,680 | ||||||
1,779 | King Pharmaceuticals, Inc.* | 18,537 | ||||||
9,615 | Pfizer, Inc. | 265,182 | ||||||
3,875 | Schering-Plough Corp. | 73,857 | ||||||
813,444 | ||||||||
Real Estate — 0.1% | ||||||||
483 | Plum Creek Timber Co., Inc. | 17,533 | ||||||
872 | Simon Ppty. Group, Inc. | 63,211 | ||||||
80,744 | ||||||||
Road and Rail — 0.1% | ||||||||
852 | Burlington Northern Santa Fe | 40,112 | ||||||
574 | Union Pacific Corp. | 37,195 | ||||||
77,307 | ||||||||
Semiconductors and Semiconductor Equipment — 0.5% | ||||||||
2,923 | Altera Corp.* | 57,934 | ||||||
754 | Analog Devices, Inc. | 28,132 | ||||||
4,648 | Applied Materials, Inc. | 75,205 | ||||||
1,688 | Broadcom Corp.* | 59,941 | ||||||
670 | Freescale Semiconductor, Inc.* | 14,190 | ||||||
7,330 | Intel Corp. | 191,020 | ||||||
1,448 | KLA-Tencor Corp. | 63,277 | ||||||
549 | Linear Technology Corp. | 20,143 | ||||||
794 | Maxim Integrated Products, Inc. | 30,339 | ||||||
3,302 | Micron Technology, Inc.* | 33,713 | ||||||
1,503 | Texas Instruments, Inc. | 42,189 | ||||||
2,346 | Xilinx, Inc. | 59,823 | ||||||
675,906 | ||||||||
Software — 0.3% | ||||||||
1,404 | Adobe Systems, Inc. | 40,182 | ||||||
490 | Computer Assocs. Int’l., Inc. | 13,465 | ||||||
13,145 | Microsoft Corp. | 326,522 | ||||||
2,830 | Siebel Systems, Inc. | 25,187 | ||||||
2,739 | VERITAS Software Corp.* | 66,832 | ||||||
472,188 | ||||||||
Specialty Retail — 0.2% | ||||||||
1,416 | Bed, Bath & Beyond, Inc.* | 59,161 | ||||||
430 | Best Buy Co., Inc. | 29,477 | ||||||
3,143 | Home Depot, Inc. | 122,263 | ||||||
1,015 | Lowe’s Cos., Inc. | 59,093 | ||||||
648 | Staples, Inc. | 13,815 | ||||||
1,947 | The Gap, Inc. | 38,453 | ||||||
322,262 | ||||||||
Textiles, Apparel and Luxury Goods — 0.0% | ||||||||
455 | NIKE, Inc. | 39,403 | ||||||
Thrifts and Mortgage Finance — 0.1% | ||||||||
1,850 | Federal National Mortgage Assn. | 108,040 | ||||||
2,445 | Washington Mutual, Inc. | 99,487 | ||||||
207,527 | ||||||||
Tobacco — 0.2% | ||||||||
2,916 | Altria Group, Inc. | 188,548 | ||||||
509 | UST, Inc. | 23,241 | ||||||
211,789 | ||||||||
Total Common Stocks (Cost $14,290,582) | 13,619,966 | |||||||
Mutual Fund — 87.1% | ||||||||
Equity — 87.1% | ||||||||
15,351,801 | The Guardian S&P 500 Index Fund, Class A (1)† (Cost $132,857,668) | $ | 125,424,216 | |||||
U.S. Government Securities — 0.5% |
Principal | |||||||||
Amount | Value | ||||||||
U.S. Treasury Bills | |||||||||
$ | 35,000 | 2.708%, 7/14/2005 (2) | $ | 34,966 | |||||
325,000 | 2.823%, 7/21/2005 (2) | 324,490 | |||||||
50,000 | 2.882%, 8/4/2005 (2) | 49,864 | |||||||
325,000 | 2.946%, 9/8/2005 (2) | 323,165 | |||||||
Total U.S. Government Securities (Cost $732,485) | 732,485 | ||||||||
Repurchase Agreement — 3.1% | |||||||||
$ | 4,460,000 | State Street Bank and Trust Co. repurchase agreement, dated 6/30/2005, maturity value $4,460,396 at 3.20%, due 7/1/2005 (3) (Cost $4,460,000) | $ | 4,460,000 | |||||
Total Investments — 100.2% (Cost $152,340,735) | 144,236,667 | ||||||||
Liabilities in Excess of Cash, Receivables and Other Assets — (0.2)% | (230,093 | ) | |||||||
Net Assets — 100% | $ | 144,006,574 | |||||||
* | Non-income producing security. |
† | The Guardian S&P 500 Index Fund financials are included herein. |
(1) | Majority-owned subsidiary. |
(2) | The U.S. Treasury Bill is segregated as collateral to cover margin requirements on open futures contracts. |
(3) | The repurchase agreement is collateralized by $4,530,000 in U.S. Government Agency 5.40%, due 6/30/05, with a value of $4,552,650. |
Sold Futures Contracts |
Unrealized | ||||||||||
Contracts | Description | Expiration | Appreciation | |||||||
29 | S&P 500 Index | 9/2005 | $ | 76,143 | ||||||
See notes to financial statements.
39
Table of Contents
n | The Guardian S&P 500 Index Fund |
Schedule of Investments |
June 30, 2005 (Unaudited)
Common Stocks — 97.1% | ||||||||
Shares | Value | |||||||
Aerospace and Defense — 2.1% | ||||||||
12,788 | Boeing Co. | $ | 844,008 | |||||
3,125 | General Dynamics Corp. | 342,313 | ||||||
2,343 | Goodrich Corp. | 95,969 | ||||||
13,224 | Honeywell Int’l., Inc. | 484,395 | ||||||
1,600 | L-3 Comm. Hldgs., Inc. | 122,528 | ||||||
6,804 | Lockheed Martin Corp. | 441,375 | ||||||
5,740 | Northrop Grumman Corp. | 317,135 | ||||||
6,629 | Raytheon Co. | 259,326 | ||||||
2,645 | Rockwell Collins, Inc. | 126,114 | ||||||
15,510 | United Technologies Corp. | 796,439 | ||||||
3,829,602 | ||||||||
Air Freight and Logistics — 0.9% | ||||||||
4,550 | FedEx Corp. | 368,596 | ||||||
810 | Ryder Systems, Inc. | 29,646 | ||||||
17,015 | United Parcel Svc., Inc. | 1,176,757 | ||||||
1,574,999 | ||||||||
Airlines — 0.1% | ||||||||
1,785 | Delta Airlines, Inc.* | 6,711 | ||||||
12,232 | Southwest Airlines Co. | 170,392 | ||||||
177,103 | ||||||||
Auto Components — 0.2% | ||||||||
945 | Cooper Tire & Rubber Co. | 17,549 | ||||||
2,085 | Dana Corp. | 31,296 | ||||||
8,041 | Delphi Corp. | 37,391 | ||||||
4,365 | Goodyear Tire & Rubber Co.* | 65,038 | ||||||
2,858 | Johnson Controls, Inc. | 160,991 | ||||||
1,852 | Visteon Corp. | 11,167 | ||||||
323,432 | ||||||||
Automobiles — 0.5% | ||||||||
33,159 | Ford Motor Co. | 339,548 | ||||||
8,879 | General Motors Corp. | 301,886 | ||||||
4,838 | Harley-Davidson, Inc. | 239,965 | ||||||
881,399 | ||||||||
Beverages — 2.3% | ||||||||
11,891 | Anheuser-Busch Cos., Inc. | 544,013 | ||||||
1,990 | Brown-Forman Corp. | 120,315 | ||||||
37,132 | Coca-Cola Co. | 1,550,261 | ||||||
7,664 | Coca-Cola Enterprises, Inc. | 168,685 | ||||||
2,125 | Molson Coors Brewing Co. | 131,750 | ||||||
25,965 | PepsiCo., Inc. | 1,400,293 | ||||||
4,359 | The Pepsi Bottling Group, Inc. | 124,711 | ||||||
4,040,028 | ||||||||
Biotechnology — 1.2% | ||||||||
19,558 | Amgen, Inc.* | 1,182,477 | ||||||
3,019 | Applera Corp.-Applied Biosystems Group | 59,384 | ||||||
5,022 | Biogen Idec, Inc.* | 173,008 | ||||||
2,723 | Chiron Corp.* | 95,005 | ||||||
5,079 | Genzyme Corp.* | 305,197 | ||||||
6,600 | Gilead Sciences, Inc.* | 290,334 | ||||||
3,661 | MedImmune, Inc.* | 97,822 | ||||||
2,203,227 | ||||||||
Building Products — 0.2% | ||||||||
3,186 | American Standard Cos., Inc. | 133,557 | ||||||
7,483 | Masco Corp. | 237,660 | ||||||
371,217 | ||||||||
Capital Markets — 2.7% | ||||||||
11,877 | Bank of New York, Inc. | 341,820 | ||||||
1,689 | Bear Stearns Cos., Inc. | 175,555 | ||||||
19,889 | Charles Schwab Corp. | 224,348 | ||||||
5,500 | E*TRADE Financial Corp.* | 76,945 | ||||||
1,600 | Federated Investors, Inc. | 48,016 | ||||||
3,801 | Franklin Resources, Inc. | 292,601 | ||||||
8,166 | Goldman Sachs Group, Inc. | 833,095 | ||||||
3,184 | Janus Capital Group, Inc. | 47,887 | ||||||
4,199 | Lehman Brothers Hldgs., Inc. | 416,877 | ||||||
6,309 | Mellon Financial Corp. | 181,005 | ||||||
15,654 | Merrill Lynch & Co., Inc. | 861,127 | ||||||
16,508 | Morgan Stanley | 866,175 | ||||||
3,195 | Northern Trust Corp. | 145,660 | ||||||
5,114 | State Street Corp. | 246,750 | ||||||
1,728 | T. Rowe Price Group, Inc. | 108,173 | ||||||
4,866,034 | ||||||||
Chemicals — 1.6% | ||||||||
3,281 | Air Products & Chemicals, Inc. | 197,844 | ||||||
15,665 | Dow Chemical Co. | 697,562 | ||||||
16,409 | E.I. Du Pont de Nemours & Co. | 705,751 | ||||||
1,083 | Eastman Chemical Co. | 59,727 | ||||||
4,653 | Ecolab, Inc. | 150,571 | ||||||
1,823 | Engelhard Corp. | 52,047 | ||||||
685 | Great Lakes Chemical Corp. | 21,557 | ||||||
1,497 | Hercules, Inc.* | 21,183 | ||||||
1,377 | Int’l. Flavors & Fragrances, Inc. | 49,875 | ||||||
4,436 | Monsanto Co. | 278,891 | ||||||
2,774 | PPG Inds., Inc. | 174,096 | ||||||
5,132 | Praxair, Inc. | 239,151 | ||||||
3,834 | Rohm & Haas Co. | 177,668 | ||||||
1,093 | Sigma-Aldrich | 61,252 | ||||||
2,887,175 | ||||||||
Commercial Banks — 5.7% | ||||||||
5,373 | AmSouth Bancorporation | 139,698 | ||||||
62,976 | Bank of America Corp. | 2,872,335 | ||||||
8,563 | BB&T Corp. | 342,263 | ||||||
2,548 | Comerica, Inc. | 147,274 | ||||||
1,900 | Compass Bancshares, Inc. | 85,500 | ||||||
9,346 | Fifth Third Bancorp | 385,149 | ||||||
1,845 | First Horizon Nat’l. Corp. | 77,859 | ||||||
3,600 | Huntington Bancshares, Inc. | 86,904 | ||||||
6,165 | KeyCorp | 204,370 | ||||||
1,800 | M & T Bank Corp. | 189,288 | ||||||
3,714 | Marshall & Ilsley Corp. | 165,087 | ||||||
11,065 | National City Corp. | 377,538 | ||||||
7,607 | North Fork Bancorporation, Inc. | 213,681 | ||||||
4,177 | PNC Financial Svcs. Group | 227,480 | ||||||
7,283 | Regions Financial Corp. | 246,748 | ||||||
5,676 | SunTrust Banks, Inc. | 410,034 | ||||||
4,926 | Synovus Financial Corp. | 141,228 | ||||||
30,104 | U.S. Bancorp | 879,037 | ||||||
26,414 | Wachovia Corp. | 1,310,134 | ||||||
25,987 | Wells Fargo & Co. | 1,600,280 | ||||||
1,438 | Zions Bancorporation | 105,736 | ||||||
10,207,623 | ||||||||
See notes to financial statements.
40
Table of Contents
n | The Guardian S&P 500 Index Fund |
Schedule of Investments (Continued) |
June 30, 2005 (Unaudited)
Shares | Value | |||||||
Commercial Services and Supplies — 0.7% | ||||||||
4,995 | Allied Waste Inds., Inc.* | $ | 39,610 | |||||
1,581 | Avery Dennison Corp. | 83,730 | ||||||
15,262 | Cendant Corp. | 341,411 | ||||||
2,425 | Cintas Corp. | 93,605 | ||||||
2,052 | Equifax, Inc. | 73,277 | ||||||
1,707 | Monster Worldwide, Inc.* | 48,957 | ||||||
3,634 | Pitney Bowes, Inc. | 158,261 | ||||||
4,423 | R.R. Donnelley & Sons Co. | 152,638 | ||||||
2,547 | Robert Half Int’l., Inc. | 63,598 | ||||||
8,974 | Waste Management, Inc. | 254,323 | ||||||
1,309,410 | ||||||||
Communications Equipment — 2.5% | ||||||||
1,590 | ADC Telecomm., Inc.* | 34,614 | ||||||
2,400 | Andrew Corp.* | 30,624 | ||||||
6,102 | Avaya, Inc.* | 50,769 | ||||||
10,503 | CIENA Corp.* | 21,951 | ||||||
103,242 | Cisco Systems, Inc.* | 1,972,955 | ||||||
2,380 | Comverse Technology, Inc.* | 56,287 | ||||||
20,197 | Corning, Inc.* | 335,674 | ||||||
18,734 | JDS Uniphase Corp.* | 28,476 | ||||||
67,556 | Lucent Technologies, Inc.* | 196,588 | ||||||
43,325 | Motorola, Inc. | 791,114 | ||||||
25,104 | QUALCOMM, Inc. | 828,683 | ||||||
2,311 | Scientific Atlanta, Inc. | 76,887 | ||||||
5,897 | Tellabs, Inc.* | 51,304 | ||||||
4,475,926 | ||||||||
Computers and Peripherals — 3.5% | ||||||||
12,969 | Apple Computer, Inc.* | 477,389 | ||||||
38,726 | Dell, Inc.* | 1,530,064 | ||||||
36,868 | EMC Corp.* | 505,460 | ||||||
4,621 | Gateway, Inc.* | 15,249 | ||||||
46,798 | Hewlett Packard Co. | 1,100,221 | ||||||
26,281 | Int’l. Business Machines | 1,950,050 | ||||||
1,823 | Lexmark Int’l. Group, Inc.* | 118,185 | ||||||
2,758 | NCR Corp.* | 96,861 | ||||||
5,702 | Network Appliance, Inc.* | 161,196 | ||||||
1,349 | QLogic Corp.* | 41,644 | ||||||
54,932 | Sun Microsystems, Inc.* | 204,896 | ||||||
6,201,215 | ||||||||
Construction and Engineering — 0.0% | ||||||||
1,050 | Fluor Corp. | 60,469 | ||||||
Construction Materials — 0.0% | ||||||||
1,439 | Vulcan Materials Co. | 93,521 | ||||||
Consumer Finance — 1.3% | ||||||||
19,651 | American Express Co. | 1,046,023 | ||||||
3,450 | Capital One Financial Corp. | 276,034 | ||||||
19,217 | MBNA Corp. | 502,717 | ||||||
4,111 | Providian Financial Corp.* | 72,477 | ||||||
7,101 | SLM Corp. | 360,731 | ||||||
2,257,982 | ||||||||
Containers and Packaging — 0.2% | ||||||||
1,626 | Ball Corp. | 58,471 | ||||||
1,504 | Bemis Co., Inc. | 39,916 | ||||||
2,261 | Pactiv Corp.* | 48,793 | ||||||
2,781 | Sealed Air Corp.* | 138,466 | ||||||
1,394 | Temple-Inland, Inc. | 51,787 | ||||||
337,433 | ||||||||
Distributors — 0.1% | ||||||||
2,486 | Genuine Parts Co. | 102,150 | ||||||
Diversified Consumer Services — 0.2% | ||||||||
2,845 | Apollo Group, Inc.* | 222,536 | ||||||
2,604 | H & R Block, Inc. | 151,943 | ||||||
374,479 | ||||||||
Diversified Financial Services — 3.5% | ||||||||
3,200 | CIT Group, Inc. | 137,504 | ||||||
80,462 | Citigroup, Inc. | 3,719,758 | ||||||
57,653 | J.P. Morgan Chase & Co. | 2,036,304 | ||||||
4,718 | Moody’s Corp. | 212,121 | ||||||
5,116 | Principal Financial Group, Inc. | 214,361 | ||||||
6,320,048 | ||||||||
Diversified Telecommunication Services — 2.7% | ||||||||
4,514 | ALLTEL Corp. | 281,132 | ||||||
12,198 | AT & T Corp. | 232,250 | ||||||
28,012 | BellSouth Corp. | 744,279 | ||||||
1,992 | CenturyTel, Inc. | 68,983 | ||||||
6,319 | Citizens Comm. Co. | 84,927 | ||||||
30,623 | Qwest Comm. Int’l., Inc.* | 113,611 | ||||||
51,460 | SBC Comm., Inc. | 1,222,175 | ||||||
24,164 | Sprint Corp. | 606,275 | ||||||
44,585 | Verizon Comm. | 1,540,412 | ||||||
4,894,044 | ||||||||
Electric Utilities — 2.0% | ||||||||
1,753 | Allegheny Energy, Inc.* | 44,211 | ||||||
2,471 | Ameren Corp. | 136,646 | ||||||
6,284 | American Electric Power, Inc. | 231,691 | ||||||
4,248 | CenterPoint Energy, Inc. | 56,116 | ||||||
2,886 | CiNergy Corp. | 129,350 | ||||||
3,075 | Consolidated Edison, Inc. | 144,033 | ||||||
2,578 | DTE Energy Co. | 120,573 | ||||||
4,648 | Edison Int’l. | 188,476 | ||||||
3,618 | Entergy Corp. | 273,340 | ||||||
11,404 | Exelon Corp. | 585,367 | ||||||
5,049 | FirstEnergy Corp. | 242,907 | ||||||
5,814 | FPL Group, Inc. | 244,537 | ||||||
6,344 | PG&E Corp. | 238,154 | ||||||
1,212 | Pinnacle West Capital Corp. | 53,873 | ||||||
2,692 | PPL Corp. | 159,851 | ||||||
4,069 | Progress Energy, Inc. | 184,082 | ||||||
12,246 | Southern Co. | 424,569 | ||||||
2,624 | TECO Energy, Inc. | 49,620 | ||||||
6,601 | Xcel Energy, Inc. | 128,852 | ||||||
3,636,248 | ||||||||
Electrical Equipment — 0.4% | ||||||||
2,786 | American Power Conversion Corp. | 65,722 | ||||||
1,359 | Cooper Inds. Ltd. | 86,840 | ||||||
6,564 | Emerson Electric Co. | 411,103 | ||||||
2,645 | Rockwell Automation, Inc. | 128,838 | ||||||
692,503 | ||||||||
Electronic Equipment and Instruments — 0.3% | ||||||||
7,382 | Agilent Technologies, Inc.* | 169,933 | ||||||
2,726 | Jabil Circuit, Inc.* | 83,770 | ||||||
2,802 | Molex, Inc. | 72,964 | ||||||
7,816 | Sanmina-SCI Corp.* | 42,753 | ||||||
12,349 | Solectron Corp.* | 46,803 | ||||||
3,132 | Symbol Technologies, Inc. | 30,913 | ||||||
1,336 | Tektronix, Inc. | 31,089 | ||||||
478,225 | ||||||||
See notes to financial statements.
41
Table of Contents
n | The Guardian S&P 500 Index Fund |
Schedule of Investments (Continued) |
June 30, 2005 (Unaudited)
Shares | Value | |||||||
Energy Equipment and Services — 1.2% | ||||||||
2,317 | B.J. Svcs. Co. | $ | 121,596 | |||||
5,564 | Baker Hughes, Inc. | 284,654 | ||||||
8,090 | Halliburton Co. | 386,864 | ||||||
2,092 | Nabors Inds., Inc.* | 126,817 | ||||||
2,600 | National-Oilwell Varco, Inc.* | 123,604 | ||||||
2,008 | Noble Corp. | 123,512 | ||||||
1,317 | Rowan Cos., Inc. | 39,128 | ||||||
9,003 | Schlumberger Ltd. | 683,688 | ||||||
5,572 | Transocean, Inc.* | 300,721 | ||||||
2,190,584 | ||||||||
Food and Staples Retailing — 2.9% | ||||||||
5,902 | Albertson’s, Inc. | 122,053 | ||||||
7,059 | Costco Wholesale Corp. | 316,384 | ||||||
12,602 | CVS Corp. | 366,340 | ||||||
11,800 | Kroger Co.* | 224,554 | ||||||
7,230 | Safeway, Inc. | 163,326 | ||||||
1,885 | Supervalu, Inc. | 61,470 | ||||||
9,731 | Sysco Corp. | 352,165 | ||||||
59,552 | Wal-Mart Stores, Inc. | 2,870,407 | ||||||
15,872 | Walgreen Co. | 729,953 | ||||||
5,206,652 | ||||||||
Food Products — 1.2% | ||||||||
9,568 | Archer-Daniels-Midland Co. | 204,564 | ||||||
6,069 | Campbell Soup Co. | 186,743 | ||||||
8,628 | ConAgra Foods, Inc. | 199,825 | ||||||
5,846 | General Mills, Inc. | 273,534 | ||||||
5,823 | H.J. Heinz Co. | 206,251 | ||||||
3,920 | Hershey Foods Corp. | 243,432 | ||||||
6,444 | Kellogg Co. | 286,371 | ||||||
1,968 | McCormick & Co., Inc. | 64,314 | ||||||
12,269 | Sara Lee Corp. | 243,049 | ||||||
3,730 | W.M. Wrigley Jr. Co. | 256,773 | ||||||
2,164,856 | ||||||||
Gas Utilities — 0.2% | ||||||||
4,116 | KeySpan Corp. | 167,521 | ||||||
674 | NICOR, Inc. | 27,749 | ||||||
4,276 | NiSource, Inc. | 105,746 | ||||||
527 | Peoples Energy Corp. | 22,903 | ||||||
323,919 | ||||||||
Health Care Equipment and Supplies — 2.2% | ||||||||
755 | Bausch & Lomb, Inc. | 62,665 | ||||||
9,370 | Baxter Int’l., Inc. | 347,627 | ||||||
3,689 | Becton Dickinson & Co., Inc. | 193,562 | ||||||
3,846 | Biomet, Inc. | 133,225 | ||||||
13,482 | Boston Scientific Corp.* | 364,014 | ||||||
1,442 | C.R. Bard, Inc. | 95,907 | ||||||
1,700 | Fisher Scientific Int’l., Inc.* | 110,330 | ||||||
5,722 | Guidant Corp. | 385,091 | ||||||
2,380 | Hospira, Inc.* | 92,820 | ||||||
20,480 | Medtronic, Inc. | 1,060,659 | ||||||
653 | Millipore Corp.* | 37,045 | ||||||
2,010 | PerkinElmer, Inc. | 37,989 | ||||||
5,634 | St. Jude Medical, Inc.* | 245,699 | ||||||
6,194 | Stryker Corp. | 294,587 | ||||||
2,568 | Thermo Electron Corp.* | 69,002 | ||||||
2,045 | Waters Corp.* | 76,013 | ||||||
3,813 | Zimmer Hldgs., Inc.* | 290,436 | ||||||
3,896,671 | ||||||||
Health Care Providers and Services — 2.7% | ||||||||
4,672 | Aetna, Inc. | 386,935 | ||||||
1,854 | AmerisourceBergen Corp. | 128,204 | ||||||
6,958 | Cardinal Health, Inc. | 400,642 | ||||||
6,800 | Caremark Rx, Inc.* | 302,736 | ||||||
2,221 | Cigna Corp. | 237,714 | ||||||
2,330 | Express Scripts, Inc.* | 116,453 | ||||||
7,462 | HCA, Inc. | 422,871 | ||||||
3,671 | Health Management Assoc., Inc. | 96,107 | ||||||
2,389 | Humana, Inc.* | 94,939 | ||||||
3,317 | IMS Health, Inc. | 82,162 | ||||||
2,100 | Laboratory Corp. of America Hldgs.* | 104,790 | ||||||
1,456 | Manor Care, Inc. | 57,847 | ||||||
4,085 | McKesson Corp. | 182,967 | ||||||
4,011 | Medco Health Solutions, Inc.* | 214,027 | ||||||
3,476 | Quest Diagnostics, Inc. | 185,166 | ||||||
6,941 | Tenet Healthcare Corp.* | 84,958 | ||||||
21,440 | UnitedHealth Group | 1,117,882 | ||||||
9,512 | WellPoint, Inc.* | 662,416 | ||||||
4,878,816 | ||||||||
Hotels, Restaurants and Leisure — 1.4% | ||||||||
9,614 | Carnival Corp. | 524,444 | ||||||
2,575 | Darden Restaurants, Inc. | 84,924 | ||||||
1,649 | Harrah’s Entertainment, Inc. | 118,843 | ||||||
5,226 | Hilton Hotels Corp. | 124,640 | ||||||
5,356 | Int’l. Game Technology | 150,771 | ||||||
3,443 | Marriott Int’l., Inc. | 234,881 | ||||||
20,021 | McDonald’s Corp. | 555,583 | ||||||
6,148 | Starbucks Corp.* | 317,606 | ||||||
3,141 | Starwood Hotels & Resorts Worldwide, Inc. | 183,968 | ||||||
1,623 | Wendy’s Int’l., Inc. | 77,336 | ||||||
4,234 | Yum! Brands, Inc. | 220,507 | ||||||
2,593,503 | ||||||||
Household Durables — 0.6% | ||||||||
1,127 | Black & Decker Corp. | 101,261 | ||||||
2,084 | Centex Corp. | 147,276 | ||||||
2,219 | Fortune Brands, Inc. | 197,047 | ||||||
1,236 | KB Home | 94,220 | ||||||
2,782 | Leggett & Platt, Inc. | 73,946 | ||||||
1,066 | Maytag Corp. | 16,694 | ||||||
3,827 | Newell Rubbermaid, Inc. | 91,236 | ||||||
2,046 | Pulte Homes, Inc. | 172,375 | ||||||
811 | Snap-On, Inc. | 27,817 | ||||||
1,228 | Stanley Works | 55,923 | ||||||
933 | Whirlpool Corp. | 65,413 | ||||||
1,043,208 | ||||||||
Household Products — 1.8% | ||||||||
3,390 | Clorox Co. | 188,891 | ||||||
8,248 | Colgate-Palmolive Co. | 411,658 | ||||||
7,704 | Kimberly-Clark Corp. | 482,193 | ||||||
39,416 | Procter & Gamble Co. | 2,079,194 | ||||||
3,161,936 | ||||||||
Independent Power Producers and Energy Traders — 0.7% | ||||||||
10,232 | AES Corp.* | 167,600 | ||||||
6,711 | Calpine Corp.* | 22,817 | ||||||
2,335 | Constellation Energy Group, Inc. | 134,706 | ||||||
16,678 | Duke Energy Corp. | 495,837 | ||||||
4,647 | Dynegy, Inc.* | 22,585 | ||||||
3,945 | TXU Corp. | 327,790 | ||||||
1,171,335 | ||||||||
See notes to financial statements.
42
Table of Contents
n | The Guardian S&P 500 Index Fund |
Schedule of Investments (Continued) |
June 30, 2005 (Unaudited)
Shares | Value | |||||||
Industrial Conglomerates — 4.3% | ||||||||
11,794 | 3M Co. | $ | 852,706 | |||||
169,266 | General Electric Co. | 5,865,067 | ||||||
2,056 | Textron, Inc. | 155,948 | ||||||
31,210 | Tyco Int’l. Ltd. | 911,332 | ||||||
7,785,053 | ||||||||
Information Technology Services — 1.1% | ||||||||
2,100 | Affiliated Computer Svcs., Inc.* | 107,310 | ||||||
9,179 | Automatic Data Processing, Inc. | 385,243 | ||||||
2,951 | Computer Sciences Corp.* | 128,959 | ||||||
2,482 | Convergys Corp.* | 35,294 | ||||||
7,704 | Electronic Data Systems Corp. | 148,302 | ||||||
14,105 | First Data Corp. | 566,175 | ||||||
2,689 | Fiserv, Inc.* | 115,493 | ||||||
6,010 | Paychex, Inc. | 195,565 | ||||||
1,910 | Sabre Hldgs. Corp. | 38,104 | ||||||
3,991 | SunGard Data Systems, Inc.* | 140,363 | ||||||
4,516 | Unisys Corp.* | 28,586 | ||||||
1,889,394 | ||||||||
Insurance — 4.2% | ||||||||
4,286 | ACE Ltd. | 192,227 | ||||||
7,659 | AFLAC, Inc. | 331,482 | ||||||
10,558 | Allstate Corp. | 630,840 | ||||||
1,504 | Ambac Financial Group, Inc. | 104,919 | ||||||
41,806 | American Int’l. Group, Inc. | 2,428,929 | ||||||
4,649 | Aon Corp. | 116,411 | ||||||
2,889 | Chubb Corp. | 247,327 | ||||||
3,377 | Cincinnati Financial Corp. | 133,594 | ||||||
4,261 | Hartford Financial Svcs. Group, Inc. | 318,638 | ||||||
2,226 | Jefferson-Pilot Corp. | 112,235 | ||||||
2,766 | Lincoln Nat’l. Corp. | 129,781 | ||||||
2,851 | Loews Corp. | 220,952 | ||||||
9,335 | Marsh & McLennan Cos., Inc. | 258,579 | ||||||
2,115 | MBIA, Inc. | 125,441 | ||||||
11,297 | MetLife, Inc. | 507,687 | ||||||
3,436 | Progressive Corp. | 339,511 | ||||||
8,227 | Prudential Financial, Inc. | 540,185 | ||||||
1,823 | SAFECO Corp. | 99,062 | ||||||
10,367 | St. Paul Travelers Cos., Inc. | 409,808 | ||||||
1,831 | Torchmark Corp. | 95,578 | ||||||
4,975 | UnumProvident Corp. | 91,142 | ||||||
2,213 | XL Capital Ltd. | 164,691 | ||||||
7,599,019 | ||||||||
Internet and Catalog Retail — 0.4% | ||||||||
20,312 | eBay, Inc.* | 670,499 | ||||||
Internet Software and Services — 0.4% | ||||||||
20,701 | Yahoo! Inc.* | 717,290 | ||||||
Leisure Equipment and Products — 0.2% | ||||||||
1,223 | Brunswick Corp. | 52,980 | ||||||
4,324 | Eastman Kodak Co. | 116,099 | ||||||
2,426 | Hasbro, Inc. | 50,437 | ||||||
6,117 | Mattel, Inc. | 111,941 | ||||||
331,457 | ||||||||
Machinery — 1.3% | ||||||||
5,238 | Caterpillar, Inc. | 499,234 | ||||||
571 | Cummins, Inc. | 42,602 | ||||||
4,676 | Danaher Corp. | 244,742 | ||||||
3,730 | Deere & Co. | 244,278 | ||||||
2,911 | Dover Corp. | 105,902 | ||||||
2,354 | Eaton Corp. | 141,005 | ||||||
4,671 | Illinois Tool Works, Inc. | 372,185 | ||||||
2,653 | Ingersoll-Rand Co. | 189,291 | ||||||
1,256 | ITT Inds., Inc. | 122,623 | ||||||
1,366 | Navistar Int’l. Corp.* | 43,712 | ||||||
2,467 | PACCAR, Inc. | 167,756 | ||||||
1,735 | Pall Corp. | 52,675 | ||||||
1,682 | Parker-Hannifin Corp. | 104,301 | ||||||
2,330,306 | ||||||||
Media — 3.5% | ||||||||
9,260 | Clear Channel Comm., Inc. | 286,412 | ||||||
34,494 | Comcast Corp. — Class A* | 1,058,966 | ||||||
1,237 | Dow Jones & Co., Inc. | 43,852 | ||||||
4,065 | Gannett Co., Inc. | 289,143 | ||||||
5,651 | Interpublic Group Cos., Inc.* | 68,829 | ||||||
1,337 | Knight-Ridder, Inc. | 82,012 | ||||||
5,632 | McGraw-Hill Cos., Inc. | 249,216 | ||||||
690 | Meredith Corp. | 33,851 | ||||||
2,319 | New York Times Co. | 72,237 | ||||||
42,200 | News Corp. | 682,796 | ||||||
2,999 | Omnicom Group, Inc. | 239,500 | ||||||
73,818 | Time Warner, Inc.* | 1,233,499 | ||||||
5,202 | Tribune Co. | 183,006 | ||||||
4,887 | Univision Comm., Inc.* | 134,637 | ||||||
26,391 | Viacom, Inc. | 845,040 | ||||||
31,096 | Walt Disney Co. | 782,997 | ||||||
6,285,993 | ||||||||
Metals and Mining — 0.6% | ||||||||
13,096 | Alcoa, Inc. | 342,198 | ||||||
1,448 | Allegheny Technologies, Inc. | 31,943 | ||||||
3,526 | Freeport-McMoran Copper & Gold, Inc. | 132,013 | ||||||
6,419 | Newmont Mining Corp. | 250,534 | ||||||
2,435 | Nucor Corp. | 111,085 | ||||||
1,425 | Phelps Dodge Corp. | 131,813 | ||||||
1,892 | United States Steel Corp. | 65,028 | ||||||
1,064,614 | ||||||||
Multiline Retail — 1.3% | ||||||||
1,561 | Big Lots, Inc.* | 20,668 | ||||||
1,201 | Dillards, Inc. | 28,127 | ||||||
4,737 | Dollar General Corp. | 96,445 | ||||||
2,900 | Family Dollar Stores, Inc. | 75,690 | ||||||
2,840 | Federated Department Stores, Inc. | 208,115 | ||||||
4,629 | J.C. Penney Co., Inc. | 243,393 | ||||||
5,280 | Kohl’s Corp.* | 295,205 | ||||||
4,265 | May Department Stores Co. | 171,282 | ||||||
2,637 | Nordstrom, Inc. | 179,237 | ||||||
1,563 | Sears Hldgs. Corp.* | 234,247 | ||||||
13,845 | Target Corp. | 753,307 | ||||||
2,305,716 | ||||||||
Multi–Utilities — 0.4% | ||||||||
1,896 | CMS Energy Corp.* | 28,554 | ||||||
4,770 | Dominion Resources, Inc. | 350,070 | ||||||
3,650 | Public Svc. Enterprise Group, Inc. | 221,993 | ||||||
3,727 | Sempra Energy | 153,962 | ||||||
754,579 | ||||||||
Office Electronics — 0.1% | ||||||||
11,648 | Xerox Corp.* | 160,626 | ||||||
See notes to financial statements.
43
Table of Contents
n | The Guardian S&P 500 Index Fund |
Schedule of Investments (Continued) |
June 30, 2005 (Unaudited)
Shares | Value | |||||||
Oil, Gas and Consumable Fuels — 7.4% | ||||||||
1,272 | Amerada Hess Corp. | $ | 135,481 | |||||
4,276 | Anadarko Petroleum Corp. | 351,273 | ||||||
4,912 | Apache Corp. | 317,315 | ||||||
966 | Ashland, Inc. | 69,426 | ||||||
6,212 | Burlington Resources, Inc. | 343,151 | ||||||
33,540 | ChevronTexaco Corp. | 1,875,557 | ||||||
23,246 | ConocoPhillips | 1,336,412 | ||||||
8,742 | Devon Energy Corp. | 443,045 | ||||||
10,252 | El Paso Corp. | 118,103 | ||||||
3,648 | EOG Resources, Inc. | 207,206 | ||||||
101,980 | Exxon Mobil Corp. | 5,860,791 | ||||||
2,450 | Kerr-McGee Corp. | 186,959 | ||||||
2,048 | Kinder Morgan, Inc. | 170,394 | ||||||
4,856 | Marathon Oil Corp. | 259,165 | ||||||
6,371 | Occidental Petroleum Corp. | 490,121 | ||||||
1,169 | Sunoco, Inc. | 132,892 | ||||||
3,975 | Unocal Corp. | 258,574 | ||||||
4,300 | Valero Energy Corp. | 340,173 | ||||||
9,907 | Williams Cos., Inc. | 188,233 | ||||||
5,466 | XTO Energy, Inc. | 185,789 | ||||||
13,270,060 | ||||||||
Paper and Forest Products — 0.4% | ||||||||
3,965 | Georgia-Pacific Corp. | 126,087 | ||||||
7,547 | Int’l. Paper Co. | 227,995 | ||||||
1,413 | Louisiana-Pacific Corp. | 34,732 | ||||||
2,831 | MeadWestvaco Corp. | 79,381 | ||||||
4,011 | Weyerhaeuser Co. | 255,300 | ||||||
723,495 | ||||||||
Personal Products — 0.6% | ||||||||
1,201 | Alberto-Culver Co. | 52,039 | ||||||
6,846 | Avon Products, Inc. | 259,121 | ||||||
15,165 | Gillette Co. | 767,804 | ||||||
1,078,964 | ||||||||
Pharmaceuticals — 6.9% | ||||||||
24,216 | Abbott Laboratories | 1,186,826 | ||||||
1,885 | Allergan, Inc. | 160,678 | ||||||
29,523 | Bristol-Myers Squibb Corp. | 737,485 | ||||||
18,227 | Eli Lilly & Co. | 1,015,426 | ||||||
5,593 | Forest Laboratories, Inc.* | 217,288 | ||||||
48,070 | Johnson & Johnson | 3,124,550 | ||||||
3,608 | King Pharmaceuticals, Inc.* | 37,595 | ||||||
34,862 | Merck & Co., Inc. | 1,073,750 | ||||||
4,100 | Mylan Laboratories, Inc. | 78,884 | ||||||
117,992 | Pfizer, Inc. | 3,254,219 | ||||||
22,681 | Schering-Plough Corp. | 432,300 | ||||||
2,740 | Watson Pharmaceuticals, Inc.* | 80,994 | ||||||
20,740 | Wyeth | 922,930 | ||||||
12,322,925 | ||||||||
Real Estate — 0.6% | ||||||||
1,513 | Apartment Investment & Management Co. | 61,912 | ||||||
2,900 | Archstone-Smith Trust | 111,998 | ||||||
6,439 | Equity Office Pptys. Trust | 213,131 | ||||||
4,460 | Equity Residential | 164,217 | ||||||
2,659 | Plum Creek Timber Co., Inc. | 96,522 | ||||||
2,678 | ProLogis | 107,763 | ||||||
4,360 | Simon Ppty. Group, Inc. | 316,056 | ||||||
1,071,599 | ||||||||
Road and Rail — 0.5% | ||||||||
5,663 | Burlington Northern Santa Fe | 266,614 | ||||||
3,037 | CSX Corp. | 129,558 | ||||||
6,560 | Norfolk Southern Corp. | 203,098 | ||||||
4,600 | Union Pacific Corp. | 298,080 | ||||||
897,350 | ||||||||
Semiconductors and Semiconductor Equipment — 3.2% | ||||||||
6,069 | Advanced Micro Devices, Inc.* | 105,236 | ||||||
5,686 | Altera Corp.* | 112,697 | ||||||
5,668 | Analog Devices, Inc. | 211,473 | ||||||
27,399 | Applied Materials, Inc. | 443,316 | ||||||
4,283 | Applied Micro Circuits Corp.* | 10,964 | ||||||
5,795 | Broadcom Corp.* | 205,780 | ||||||
7,613 | Freescale Semiconductor, Inc.* | 161,243 | ||||||
99,614 | Intel Corp. | 2,595,941 | ||||||
3,041 | KLA-Tencor Corp. | 132,892 | ||||||
4,550 | Linear Technology Corp. | 166,939 | ||||||
5,783 | LSI Logic Corp.* | 49,098 | ||||||
4,899 | Maxim Integrated Products, Inc. | 187,191 | ||||||
8,530 | Micron Technology, Inc.* | 87,091 | ||||||
6,136 | National Semiconductor Corp. | 135,176 | ||||||
2,577 | Novellus Systems, Inc.* | 63,678 | ||||||
2,760 | NVIDIA Corp.* | 73,747 | ||||||
3,235 | PMC-Sierra, Inc.* | 30,183 | ||||||
2,493 | Teradyne, Inc.* | 29,841 | ||||||
26,280 | Texas Instruments, Inc. | 737,680 | ||||||
5,339 | Xilinx, Inc. | 136,145 | ||||||
5,676,311 | ||||||||
Software — 3.8% | ||||||||
7,500 | Adobe Systems, Inc. | 214,650 | ||||||
3,550 | Autodesk, Inc. | 122,013 | ||||||
3,499 | BMC Software, Inc.* | 62,807 | ||||||
2,659 | Citrix Systems, Inc.* | 57,594 | ||||||
9,148 | Computer Assocs. Int’l., Inc. | 251,387 | ||||||
5,272 | Compuware Corp.* | 37,906 | ||||||
4,446 | Electronic Arts, Inc.* | 251,688 | ||||||
3,242 | Intuit, Inc.* | 146,247 | ||||||
1,159 | Mercury Interactive Corp.* | 44,459 | ||||||
165,976 | Microsoft Corp. | 4,122,844 | ||||||
6,727 | Novell, Inc.* | 41,707 | ||||||
79,099 | Oracle Corp.* | 1,044,107 | ||||||
3,803 | Parametric Technology Corp.* | 24,263 | ||||||
6,843 | Siebel Systems, Inc. | 60,903 | ||||||
10,000 | Symantec Corp.* | 217,400 | ||||||
6,433 | VERITAS Software Corp.* | 156,965 | ||||||
6,856,940 | ||||||||
Specialty Retail — 2.3% | ||||||||
4,489 | AutoNation, Inc.* | 92,114 | ||||||
1,333 | AutoZone, Inc.* | 123,249 | ||||||
4,634 | Bed, Bath & Beyond, Inc.* | 193,609 | ||||||
4,823 | Best Buy Co., Inc. | 330,617 | ||||||
2,929 | Circuit City Stores, Inc. | 50,642 | ||||||
34,767 | Home Depot, Inc. | 1,352,436 | ||||||
8,155 | Limited Brands | 174,680 | ||||||
12,053 | Lowe’s Cos., Inc. | 701,726 | ||||||
4,230 | Office Depot, Inc.* | 96,613 | ||||||
1,654 | OfficeMax, Inc. | 49,240 | ||||||
2,665 | RadioShack Corp. | 61,748 |
See notes to financial statements.
44
Table of Contents
n | The Guardian S&P 500 Index Fund |
Schedule of Investments (Continued) |
June 30, 2005 (Unaudited)
Shares | Value | |||||||
2,265 | Sherwin-Williams Co. | $ | 106,659 | |||||
11,179 | Staples, Inc. | 238,336 | ||||||
13,490 | The Gap, Inc. | 266,428 | ||||||
2,083 | Tiffany & Co. | 68,239 | ||||||
7,969 | TJX Cos., Inc. | 194,045 | ||||||
2,834 | Toys R Us, Inc.* | 75,044 | ||||||
4,175,425 | ||||||||
Textiles, Apparel and Luxury Goods — 0.4% | ||||||||
5,600 | Coach, Inc.* | 187,992 | ||||||
2,039 | Jones Apparel Group, Inc. | 63,290 | ||||||
1,864 | Liz Claiborne, Inc. | 74,113 | ||||||
4,106 | NIKE, Inc. | 355,579 | ||||||
649 | Reebok Int’l. Ltd. | 27,148 | ||||||
1,473 | V.F. Corp. | 84,285 | ||||||
792,407 | ||||||||
Thrifts and Mortgage Finance — 1.6% | ||||||||
8,654 | Countrywide Financial Corp. | 334,131 | ||||||
10,495 | Federal Home Loan Mortgage Corp. | 684,589 | ||||||
14,854 | Federal National Mortgage Assn. | 867,474 | ||||||
4,552 | Golden West Financial Corp. | 293,058 | ||||||
1,532 | MGIC Investment Corp. | 99,917 | ||||||
5,100 | Sovereign Bancorp, Inc. | 113,934 | ||||||
13,818 | Washington Mutual, Inc. | 562,254 | ||||||
2,955,357 | ||||||||
Tobacco — 1.4% | ||||||||
34,165 | Altria Group, Inc. | 2,209,109 | ||||||
2,145 | Reynolds American, Inc. | 169,026 | ||||||
2,362 | UST, Inc. | 107,849 | ||||||
2,485,984 | ||||||||
Trading Companies and Distributors — 0.1% | ||||||||
2,244 | W.W. Grainger, Inc. | 122,949 | ||||||
Wireless Telecommunication Services — 0.3% | ||||||||
16,542 | Nextel Comm., Inc.* | 534,472 | ||||||
Total Common Stocks (Cost $167,068,660) | 174,085,756 | |||||||
U.S. Government Securities — 0.2% |
Principal | |||||||||
Amount | Value | ||||||||
U.S. Treasury Bills | |||||||||
$ | 50,000 | 2.864% due 7/28/2008 (1) | $ | 49,651 | |||||
50,000 | 3.00% due 9/22/2005 (1) | 49,654 | |||||||
220,000 | 3.07% due 9/29/2005 (1) | 218,306 | |||||||
Total U.S. Government Securities (Cost $317,611) | 317,611 | ||||||||
Repurchase Agreement — 2.6% |
Principal | ||||||||
Amount | Value | |||||||
$ | 4,597,000 | State Street Bank and Trust Co. repurchase agreement, dated 6/30/2005, maturity value $4,597,409 at 3.20%, due 7/1/2005 (2) (Cost $4,597,000) | $ | 4,597,000 | ||||
Total Investments — 99.9% (Cost $171,983,271) | 179,000,367 | |||||||
Cash, Receivables and Other Assets Less Liabilities — 0.1% | 219,969 | |||||||
Net Assets — 100% | $ | 179,220,336 | ||||||
* | Non-income producing security. |
(1) | The U.S. Treasury Bill is segregated as collateral to cover margin requirements on open futures contracts. |
(2) | The repurchase agreement is collateralized by $4,320,000 in U.S. Government Agency 5.50%, due 3/15/11, with a value of $4,689,900. |
Purchased Futures Contracts |
Unrealized | ||||||||
Contracts | Description | Expiration | Depreciation | |||||
16 | S&P 500 Index | 9/2005 | $ | (42,278 | ) | |||
See notes to financial statements.
45
Table of Contents
n | The Guardian Baillie Gifford International Growth Fund |
Schedule of Investments |
June 30, 2005 (Unaudited)
Common Stocks — 96.3% |
Shares | Value | |||||||
Australia — 4.3% | ||||||||
Beverages — 0.4% | ||||||||
53,400 | Fosters Group Ltd. | $ | 215,945 | |||||
Commercial Banks — 0.7% | ||||||||
22,354 | Australia and NZ Banking Group Ltd. | 369,347 | ||||||
Commercial Services and Supplies — 0.3% | ||||||||
31,000 | Brambles Inds. Ltd. | 192,069 | ||||||
Food and Staples Retailing — 0.5% | ||||||||
20,506 | Woolworths Ltd. | 257,136 | ||||||
Media — 0.2% | ||||||||
33,000 | John Fairfax Hldgs. Ltd. | 107,824 | ||||||
Metals and Mining — 1.1% | ||||||||
45,406 | BHP Billiton Ltd. | 620,420 | ||||||
Oil, Gas and Consumable Fuels — 0.6% | ||||||||
15,200 | Woodside Petroleum Ltd. | 337,816 | ||||||
Real Estate — 0.5% | ||||||||
19,000 | Westfield Group | 256,130 | ||||||
2,356,687 | ||||||||
Belgium — 1.8% | ||||||||
Diversified Financial Services — 1.8% | ||||||||
11,816 | Groupe Bruxelles Lambert S.A. | 1,021,259 | ||||||
Brazil — 1.6% | ||||||||
Diversified Telecommunication Services — 0.6% | ||||||||
18,700 | Telecom. Norte Leste Participacoes ADR | 311,355 | ||||||
Oil, Gas and Consumable Fuels — 1.0% | ||||||||
10,800 | Petroleo Brasileiro S.A. ADR | 563,004 | ||||||
874,359 | ||||||||
Denmark — 2.3% | ||||||||
Commercial Banks — 2.3% | ||||||||
42,840 | Danske Bank AS | 1,286,205 | ||||||
Finland — 1.5% | ||||||||
Construction and Engineering — 1.5% | ||||||||
14,077 | Kone OYJ* | 843,037 | ||||||
France — 12.6% | ||||||||
Beverages — 1.0% | ||||||||
3,340 | Pernod-Ricard S.A. | 533,046 | ||||||
Diversified Financial Services — 1.4% | ||||||||
9,065 | Eurazeo | 774,724 | ||||||
Health Care Equipment and Supplies — 2.2% | ||||||||
17,790 | Essilor Int’l. S.A. | 1,213,022 | ||||||
Media — 1.2% | ||||||||
20,852 | Vivendi Universal S.A. | 653,305 | ||||||
Oil, Gas and Consumable Fuels — 3.2% | ||||||||
7,490 | Total S.A. | 1,752,193 | ||||||
Personal Products — 1.7% | ||||||||
13,091 | L’Oreal S.A. | 937,105 | ||||||
Pharmaceuticals — 1.9% | ||||||||
13,265 | Sanofi-Aventis | 1,086,103 | ||||||
6,949,498 | ||||||||
Germany — 5.4% | ||||||||
Health Care Providers and Services — 0.9% | ||||||||
6,150 | Celesio AG | 482,390 | ||||||
Multi-Utilities — 1.1% | ||||||||
9,760 | RWE AG | 626,589 | ||||||
Software — 2.3% | ||||||||
7,163 | SAP AG | 1,238,893 | ||||||
Textiles, Apparel and Luxury Goods — 1.1% | ||||||||
3,770 | Adidas-Salomon AG | 628,702 | ||||||
2,976,574 | ||||||||
Hong Kong — 2.9% | ||||||||
Commercial Banks — 0.9% | ||||||||
169,500 | BOC Hong Kong Hldgs. Ltd. | 319,590 | ||||||
13,000 | Hang Seng Bank Ltd. | 176,829 | ||||||
496,419 | ||||||||
Distributors — 0.3% | ||||||||
78,000 | Li & Fung Ltd. | 161,404 | ||||||
Diversified Financial Services — 0.2% | ||||||||
50,000 | Hong Kong Exchanges & Clearing Ltd. | 129,270 | ||||||
Real Estate — 1.5% | ||||||||
59,000 | Cheung Kong Hldgs. Ltd. | 570,278 | ||||||
28,000 | Sun Hung Kai Properties Ltd. | 275,354 | ||||||
845,632 | ||||||||
1,632,725 | ||||||||
Ireland — 3.2% | ||||||||
Commercial Banks — 1.5% | ||||||||
39,230 | Allied Irish Banks PLC | 840,085 | ||||||
Construction Materials — 1.7% | ||||||||
35,380 | CRH PLC | 937,524 | ||||||
1,777,609 | ||||||||
Italy — 2.4% | ||||||||
Insurance — 1.5% | ||||||||
40,860 | Riunione Adriatica di Sicurta SPA | 793,900 | ||||||
Oil, Gas and Consumable Fuels — 0.9% | ||||||||
19,810 | ENI SPA | 508,884 | ||||||
1,302,784 | ||||||||
Japan — 20.8% | ||||||||
Auto Components — 1.1% | ||||||||
33,000 | Bridgestone Corp. | 632,386 | ||||||
Automobiles — 1.1% | ||||||||
59,800 | Nissan Motor Co. Ltd. | 591,185 | ||||||
Building Products — 1.4% | ||||||||
76,000 | Asahi Glass Co. | 794,195 | ||||||
Commercial Banks — 1.0% | ||||||||
104 | UFJ Hldgs., Inc.* | 538,037 | ||||||
Diversified Financial Services — 1.1% | ||||||||
9,700 | Promise Co. | 619,264 | ||||||
Electronic Equipment and Instruments — 2.6% | ||||||||
2,800 | Keyence Corp. | 624,198 | ||||||
38,500 | Konica Minolta Hldgs., Inc. | 357,822 | ||||||
4,100 | Nidec Corp | 432,189 | ||||||
1,414,209 | ||||||||
Household Products — 0.9% | ||||||||
22,000 | Kao Corp. | 516,906 | ||||||
Insurance — 1.1% | ||||||||
70,000 | Mitsui Sumitomo Insurance Co. | 626,289 | ||||||
Machinery — 0.9% | ||||||||
20,000 | Daikin Inds. Ltd. | 498,170 | ||||||
Marine — 1.0% | ||||||||
89,000 | Mitsui O.S.K. Lines Ltd. | 545,915 | ||||||
Multiline Retail — 0.6% | ||||||||
36,000 | Takashimaya Co. Ltd. | 321,145 | ||||||
Office Electronics — 1.2% | ||||||||
13,000 | Canon, Inc. | 681,389 | ||||||
Real Estate — 0.6% | ||||||||
27,000 | Sumitomo Realty & Dev’t. Co. Ltd. | 300,630 | ||||||
Road and Rail — 0.6% | ||||||||
74,000 | Tokyu Corp. | 331,072 | ||||||
Specialty Retail — 1.2% | ||||||||
11,900 | Yamada Denki Co. Ltd. | 683,352 |
See notes to financial statements.
46
Table of Contents
n | The Guardian Baillie Gifford International Growth Fund |
Schedule of Investments (Continued) |
June 30, 2005 (Unaudited)
Shares | Value | |||||||
Tobacco — 2.3% | ||||||||
96 | Japan Tobacco, Inc. | $ | 1,276,246 | |||||
Trading Companies and Distributors — 1.5% | ||||||||
86,000 | Mitsui & Co. Ltd. | 810,670 | ||||||
Wireless Telecommunication Services — 0.6% | ||||||||
72 | KDDI Corp. | 332,301 | ||||||
11,513,361 | ||||||||
New Zealand — 0.4% | ||||||||
Diversified Telecommunication Services — 0.4% | ||||||||
53,400 | Telecom. Corp. of New Zealand | 223,363 | ||||||
People’s Republic of China — 0.9% | ||||||||
Oil, Gas and Consumable Fuels — 0.9% | ||||||||
807,500 | CNOOC Ltd. | 475,920 | ||||||
Russia — 0.5% | ||||||||
Wireless Telecommunication Services — 0.5% | ||||||||
8,000 | Mobile Telesystems ADR | 269,200 | ||||||
Singapore — 0.8% | ||||||||
Electronic Equipment and Instruments — 0.3% | ||||||||
19,000 | Venture Corp. Ltd. | 179,542 | ||||||
Industrial Conglomerates — 0.2% | ||||||||
19,000 | Keppel Corp. Ltd. | 140,275 | ||||||
Media — 0.3% | ||||||||
56,000 | Singapore Press Hldgs. Ltd. | 142,484 | ||||||
462,301 | ||||||||
South Africa — 0.5% | ||||||||
Oil, Gas and Consumable Fuels — 0.5% | ||||||||
10,156 | Sasol Ltd. | 273,502 | ||||||
South Korea — 0.5% | ||||||||
Semiconductors and Semiconductor Equipment — 0.5% | ||||||||
1,200 | Samsung Electronics Co. Ltd. GDR | 287,100 | ||||||
Spain — 2.6% | ||||||||
Commercial Banks — 1.3% | ||||||||
60,650 | Banco Popular Espanol S.A. | 731,687 | ||||||
Tobacco — 1.3% | ||||||||
16,720 | Altadis S.A. | 699,334 | ||||||
1,431,021 | ||||||||
Sweden — 6.6% | ||||||||
Commercial Banks — 1.4% | ||||||||
39,376 | Svenska Handelsbanken AB | 802,752 | ||||||
Communications Equipment — 1.1% | ||||||||
182,870 | LM Ericsson | 584,003 | ||||||
Health Care Equipment and Supplies — 1.3% | ||||||||
51,430 | Getinge AB | 700,409 | ||||||
Machinery — 2.8% | ||||||||
74,580 | Atlas Copco AB | 1,070,038 | ||||||
13,479 | Sandvik AB | 500,257 | ||||||
1,570,295 | ||||||||
3,657,459 | ||||||||
Switzerland — 4.1% | ||||||||
Commercial Banks — 2.5% | ||||||||
17,810 | UBS AG | 1,387,082 | ||||||
Electrical Equipment — 1.6% | ||||||||
134,300 | ABB Ltd.* | 868,353 | ||||||
2,255,435 | ||||||||
United Kingdom — 20.6% | ||||||||
Commercial Banks — 3.4% | ||||||||
69,800 | Barclays PLC | 692,282 | ||||||
25,664 | Royal Bank of Scotland | 773,168 | ||||||
23,000 | Standard Chartered PLC | 419,274 | ||||||
1,884,724 | ||||||||
Commercial Services and Supplies — 0.6% | ||||||||
141,000 | Hays PLC* | 326,205 | ||||||
Hotels, Restaurants and Leisure — 2.6% | ||||||||
14,800 | Carnival PLC | 839,641 | ||||||
112,000 | Hilton Group PLC | 572,912 | ||||||
1,412,553 | ||||||||
Metals and Mining — 0.9% | ||||||||
40,000 | BHP Billiton PLC | 510,208 | ||||||
Multiline Retail — 0.6% | ||||||||
13,000 | Next PLC | 350,572 | ||||||
Oil, Gas and Consumable Fuels — 3.1% | ||||||||
58,000 | BG Group PLC | 476,461 | ||||||
120,000 | BP PLC | 1,248,696 | ||||||
1,725,157 | ||||||||
Pharmaceuticals — 1.8% | ||||||||
40,902 | GlaxoSmithKline PLC | 988,916 | ||||||
Software — 0.3% | ||||||||
41,000 | Sage Group | 163,972 | ||||||
Specialty Retail — 0.8% | ||||||||
98,000 | Kingfisher PLC | 430,195 | ||||||
Tobacco — 2.8% | ||||||||
29,000 | British American Tobacco PLC | 558,848 | ||||||
37,000 | Imperial Tobacco | 994,877 | ||||||
1,553,725 | ||||||||
Trading Companies and Distributors — 0.6% | ||||||||
17,000 | Wolseley PLC | 356,574 | ||||||
Wireless Telecommunication Services — 3.1% | ||||||||
707,650 | Vodafone Group | 1,721,491 | ||||||
11,424,292 | ||||||||
Total Common Stocks (Cost $39,423,617) | 53,293,691 | |||||||
Preferred Stocks — 3.3% | ||||||||
Brazil — 1.4% | ||||||||
Oil, Gas and Consumable Fuels — 1.4% | ||||||||
16,500 | Petroleo Brasileiro S.A. ADR | $ | 759,660 | |||||
Germany — 1.9% | ||||||||
Automobiles — 1.9% | ||||||||
1,440 | Porsche AG | 1,078,541 | ||||||
Total Preferred Stocks (Cost $884,143) | 1,838,201 | |||||||
Rights — 0.1% | ||||||||
Sweden — 0.1% | ||||||||
Machinery — 0.1% | ||||||||
561 | Sandvik AB exp. 7/8/2005 (Cost $9,489) | $ | 29,328 | |||||
See notes to financial statements.
47
Table of Contents
n | The Guardian Baillie Gifford International Growth Fund |
Schedule of Investments (Continued) |
June 30, 2005 (Unaudited)
Repurchase Agreement — 0.4% |
Principal | ||||||||
Amount | Value | |||||||
$ | 200,000 | State Street Bank and Trust Co. repurchase agreement, dated 6/30/2005, maturity value $200,008 at 1.40%, due 7/1/2005 (1) (Cost $200,000) | $ | 200,000 | ||||
Total Investments — 100.1% (Cost $40,517,249) | 55,361,220 | |||||||
Liabilities in Excess of Cash, Receivables and Other Assets — (0.1)% | (28,776 | ) | ||||||
Net Assets — 100% | $ | 55,332,444 | ||||||
* | Non-income producing security. |
(1) | The repurchase agreement is collateralized by $205,000 in U.S. Treasury Bonds 3.625%, due 6/30/05, with a value of $204,744. |
Glossary of Terms:
ADR — American Depositary Receipt. GDR — Global Depositary Receipt. |
Pursuant to its Valuation Procedures, the Fund valued its securities using fair value prices as of June 30, 2005.
See notes to financial statements.
48
Table of Contents
n | The Guardian Baillie Gifford Emerging Markets Fund |
Schedule of Investments |
June 30, 2005 (Unaudited)
Common Stocks — 89.1% |
Shares | Value | |||||||
Argentina — 0.1% | ||||||||
Food and Staples Retailing — 0.1% | ||||||||
11,480 | Imp. Y Exp. Patagonia | $ | 68,475 | |||||
Brazil — 4.2% | ||||||||
Diversified Telecommunication Services — 1.9% | ||||||||
132,600 | Telecom. Norte Leste Participacoes ADR | 2,207,790 | ||||||
Metals and Mining — 0.9% | ||||||||
36,900 | Comp. Vale Do Rio Doce ADR | 1,080,432 | ||||||
Oil, Gas and Consumable Fuels — 1.4% | ||||||||
33,000 | Petroleo Brasileiro S.A. ADR | 1,720,290 | ||||||
5,008,512 | ||||||||
Chile — 0.4% | ||||||||
Commercial Banks — 0.4% | ||||||||
15,000 | Banco Santander Chile ADR | 484,500 | ||||||
Egypt — 1.9% | ||||||||
Wireless Telecommunication Services — 1.9% | ||||||||
44,792 | Orascom Telecom Hldg. SAE GDR* | 2,252,590 | ||||||
Hong Kong — 1.0% | ||||||||
Industrial Conglomerates — 1.0% | ||||||||
390,000 | Citic Pacific Ltd. | 1,137,834 | ||||||
India — 3.5% | ||||||||
Chemicals — 2.5% | ||||||||
101,500 | Reliance Inds. Ltd. GDR† | 2,954,665 | ||||||
Commercial Banks — 1.0% | ||||||||
25,500 | HDFC Bank Ltd. ADR | 1,186,005 | ||||||
4,140,670 | ||||||||
Indonesia — 3.7% | ||||||||
Commercial Banks — 1.1% | ||||||||
4,709,500 | PT Bank Rakyat Indonesia | 1,395,415 | ||||||
Diversified Telecommunication Services — 1.7% | ||||||||
3,940,000 | PT Telekomunikasi Indonesia* | 2,036,425 | ||||||
Metals and Mining — 0.9% | ||||||||
12,335,000 | PT Bumi Resources Tbk* | 1,046,957 | ||||||
4,478,797 | ||||||||
Israel — 3.0% | ||||||||
Chemicals — 0.9% | ||||||||
202,100 | Makhteshim-Agan Inds. Ltd. | 1,099,575 | ||||||
Commercial Banks — 1.2% | ||||||||
470,000 | Bank Hapoalim Ltd. | 1,475,596 | ||||||
Internet Software and Services — 0.9% | ||||||||
52,000 | Check Point Software Technologies Ltd. ADR* | 1,029,600 | ||||||
3,604,771 | ||||||||
Malaysia — 6.1% | ||||||||
Construction and Engineering — 0.4% | ||||||||
800,000 | Road Builder (M) Hldgs. Berhad | 499,937 | ||||||
Diversified Telecommunication Services — 1.3% | ||||||||
575,000 | Telekom Malaysia Berhad | 1,510,178 | ||||||
Food Products — 1.7% | ||||||||
506,400 | IOI Corp. Berhad | 1,397,754 | ||||||
235,000 | IOI Oleochemical Inds. Berhad | 596,776 | ||||||
1,994,530 | ||||||||
Media — 1.1% | ||||||||
920,000 | Astro All Asia Networks PLC* | 1,317,745 | ||||||
Real Estate — 0.5% | ||||||||
530,000 | SP Setia Berhad | 569,053 | ||||||
Transportation Infrastructure — 1.1% | ||||||||
1,600,000 | PLUS Expressways Berhad | 1,380,268 | ||||||
7,271,711 | ||||||||
Mexico — 8.1% | ||||||||
Commercial Banks — 1.2% | ||||||||
218,200 | Grupo Fin. Banorte S.A. de C.V. | 1,438,125 | ||||||
Diversified Telecommunication Services — 1.5% | ||||||||
271,000 | Grupo Carso Global Telecom.* | 499,359 | ||||||
69,200 | Telefonos de Mexico S.A. ADR | 1,307,188 | ||||||
1,806,547 | ||||||||
Food and Staples Retailing — 1.1% | ||||||||
317,511 | Wal-Mart de Mexico S.A. de C.V. | 1,287,436 | ||||||
Household Durables — 0.4% | ||||||||
150,000 | Consorcio Ara S.A. de C.V. | 517,986 | ||||||
Transportation Infrastructure — 0.5% | ||||||||
19,400 | Grupo Aeroportuario del Sureste S.A. de C.V. ADR | 617,890 | ||||||
Wireless Telecommunication Services — 3.4% | ||||||||
57,200 | America Movil S.A. de C.V. ADR | 3,409,692 | ||||||
191,000 | America Telecom S.A. de C.V.* | 609,746 | ||||||
4,019,438 | ||||||||
9,687,422 | ||||||||
People’s Republic of China — 5.3% | ||||||||
Diversified Telecommunication Services — 1.0% | ||||||||
3,200,000 | China Telecom Corp. Ltd. | 1,132,424 | ||||||
Electric Utilities — 0.4% | ||||||||
720,000 | Huaneng Power Int’l., Inc. | 527,896 | ||||||
Oil, Gas and Consumable Fuels — 3.3% | ||||||||
3,190,000 | CNOOC Ltd. | 1,880,104 | ||||||
2,770,000 | PetroChina Co. Ltd. | 2,035,293 | ||||||
3,915,397 | ||||||||
Transportation Infrastructure — 0.6% | ||||||||
1,136,000 | Zhejiang Expressway Co. Ltd. | 771,517 | ||||||
6,347,234 | ||||||||
Poland — 1.5% | ||||||||
Commercial Banks — 1.0% | ||||||||
29,000 | Bank Pekao S.A. | 1,243,233 | ||||||
Media — 0.5% | ||||||||
30,000 | Agora S.A. | 572,909 | ||||||
1,816,142 | ||||||||
Russia — 3.6% | ||||||||
Metals and Mining — 0.3% | ||||||||
32,000 | Peter Hambro Mining PLC* | 371,191 | ||||||
Oil, Gas and Consumable Fuels — 2.0% | ||||||||
64,000 | LUKOIL ADR | 2,355,840 | ||||||
Wireless Telecommunication Services — 1.3% | ||||||||
23,900 | Mobile Telesystems ADR | 804,235 | ||||||
23,300 | VimpelCom ADR* | 792,899 | ||||||
1,597,134 | ||||||||
4,324,165 | ||||||||
South Africa — 11.2% | ||||||||
Commercial Banks — 2.2% | ||||||||
275,000 | Standard Bank Group Ltd. | 2,653,091 | ||||||
Diversified Telecommunication Services — 1.0% | ||||||||
74,000 | Telkom Group Ltd. | 1,185,013 | ||||||
Industrial Conglomerates — 0.8% | ||||||||
64,368 | Imperial Hldgs. Ltd. | 983,285 |
See notes to financial statements.
49
Table of Contents
n | The Guardian Baillie Gifford Emerging Markets Fund |
Schedule of Investments (Continued) |
June 30, 2005 (Unaudited)
Shares | Value | |||||||
Media — 0.7% | ||||||||
69,000 | Naspers Ltd. | $ | 854,727 | |||||
Metals and Mining — 1.8% | ||||||||
30,435 | Anglo American Platinum Corp. | 1,351,803 | ||||||
43,000 | Lonmin PLC | 812,473 | ||||||
2,164,276 | ||||||||
Oil, Gas and Consumable Fuels — 3.2% | ||||||||
143,100 | Sasol Ltd. | 3,853,702 | ||||||
Specialty Retail — 0.6% | ||||||||
14,800 | Edgars Consolidated Stores Ltd. | 640,191 | ||||||
Wireless Telecommunication Services — 0.9% | ||||||||
150,000 | MTN Group Ltd. | 990,223 | ||||||
13,324,508 | ||||||||
South Korea — 16.5% | ||||||||
Auto Components — 0.2% | ||||||||
18,290 | Hankook Tire Co. Ltd. | 220,819 | ||||||
Commercial Services and Supplies — 1.3% | ||||||||
36,700 | S1 Corp. | 1,563,256 | ||||||
Construction and Engineering — 0.2% | ||||||||
7,970 | Hyundai Development Co. | 185,154 | ||||||
Industrial Conglomerates — 3.5% | ||||||||
128,630 | Hanwha Corp. | 2,160,376 | ||||||
79,500 | LG Corp. | 2,002,106 | ||||||
4,162,482 | ||||||||
Insurance — 2.8% | ||||||||
52,000 | Oriental Fire & Marine Ins. Co. Ltd. | 1,147,868 | ||||||
27,400 | Samsung Fire & Marine Ins. Co. Ltd. | 2,202,397 | ||||||
3,350,265 | ||||||||
Marine — 1.9% | ||||||||
248,000 | Samsung Heavy Inds. Co. Ltd. | 2,234,286 | ||||||
Media — 0.8% | ||||||||
4,800 | Cheil Comms., Inc. | 898,075 | ||||||
Oil, Gas and Consumable Fuels — 1.1% | ||||||||
55,000 | GS Hldgs. Corp. | 1,293,523 | ||||||
Pharmaceuticals — 1.4% | ||||||||
14,797 | Yuhan Corp. | 1,713,182 | ||||||
Trading Companies and Distributors — 2.0% | ||||||||
186,200 | Samsung Corp. | 2,424,870 | ||||||
Transportation Infrastructure — 1.3% | ||||||||
84,000 | Daewoo Shipbuilding & Marine Engineering Co. Ltd. | 1,611,864 | ||||||
19,657,776 | ||||||||
Taiwan — 10.1% | ||||||||
Chemicals — 1.6% | ||||||||
1,440,000 | Taiwan Fertilizer Co. Ltd. | 1,898,932 | ||||||
Construction and Engineering — 0.4% | ||||||||
843,767 | CTCI Corp. | 463,436 | ||||||
Diversified Financial Services — 0.9% | ||||||||
2,282,570 | SinoPac Hldgs. | 1,143,662 | ||||||
Electrical Equipment — 0.4% | ||||||||
400,000 | Phoenixtec Power Co. Ltd. | 428,544 | ||||||
Electronic Equipment and Instruments — 4.9% | ||||||||
1,423,000 | AU Optronics Corp. | 2,370,173 | ||||||
673,599 | Hon Hai Precision Inds. Co. Ltd. | 3,494,783 | ||||||
5,864,956 | ||||||||
Multiline Retail — 0.9% | ||||||||
1,830,000 | Far Eastern Dept. Stores Ltd. | 1,094,702 | ||||||
Wireless Telecommunication Services — 1.0% | ||||||||
1,179,800 | Taiwan Cellular Corp. | 1,213,329 | ||||||
12,107,561 | ||||||||
Thailand — 5.4% | ||||||||
Commercial Banks — 1.4% | ||||||||
700,000 | Bangkok Bank Public Co. Ltd. | 1,702,699 | ||||||
Diversified Financial Services — 0.7% | ||||||||
1,335,000 | TISCO Finance Pub. Co. Ltd. | 805,357 | ||||||
Oil, Gas and Consumable Fuels — 1.7% | ||||||||
221,000 | PTT Exploration & Production Pub. Co. Ltd. | 2,046,027 | ||||||
Wireless Telecommunication Services — 1.6% | ||||||||
790,000 | Advanced Info Service Pub. Co. Ltd. | 1,865,693 | ||||||
6,419,776 | ||||||||
Turkey — 2.9% | ||||||||
Commercial Banks — 2.3% | ||||||||
647,357 | Turkiye Garanti Bankasi A.S.* | 2,752,724 | ||||||
Media — 0.6% | ||||||||
307,837 | Dogan Yayin Hldgs. A.S.* | 770,776 | ||||||
3,523,500 | ||||||||
Venezuela — 0.6% | ||||||||
Diversified Telecommunication Services — 0.6% | ||||||||
35,000 | Comp. Anonima Nacional Tel. de Venezuela ADR* | 662,900 | ||||||
Total Common Stocks (Cost $78,992,648) | 106,318,844 | |||||||
Preferred Stocks — 8.3% | ||||||||
Brazil — 8.3% | ||||||||
Commercial Banks — 2.7% | ||||||||
1,473,055 | Itausa-Investimentos Itau S.A. | $ | 3,171,485 | |||||
Electric Utilities — 0.8% | ||||||||
55,300,000 | AES Tiete S.A. | 984,361 | ||||||
Food Products — 0.0% | ||||||||
4,700,000 | Comp. Lorenz S.A.* | 0 | ||||||
Media — 0.9% | ||||||||
3,989,019 | Net Servicos de Comunicacao S.A.* | 1,065,091 | ||||||
Metals and Mining — 1.6% | ||||||||
55,000 | Comp. Vale Do Rio Doce ADR | 1,397,000 | ||||||
19,000 | Comp. Vale Do Rio Doce | 477,839 | ||||||
1,874,839 | ||||||||
Oil, Gas and Consumable Fuels — 2.3% | ||||||||
59,600 | Petroleo Brasileiro S.A. ADR | 2,743,984 | ||||||
Total Preferred Stocks (Cost $5,584,733) | 9,839,760 | |||||||
See notes to financial statements.
50
Table of Contents
n | The Guardian Baillie Gifford Emerging Markets Fund |
Schedule of Investments (Continued) |
June 30, 2005 (Unaudited)
Repurchase Agreement — 1.9% |
Principal | ||||||||
Amount | Value | |||||||
$ | 2,312,000 | State Street Bank and Trust Co. repurchase agreement, dated 6/30/2005, maturity value $2,312,090 at 1.40%, due 7/1/2005 (1) (Cost $2,312,000) | $ | 2,312,000 | ||||
Total Investments — 99.3% (Cost $86,889,381) | 118,470,604 | |||||||
Cash, Receivables and Other Assets Less Liabilities — 0.7% | 852,095 | |||||||
Net Assets — 100% | $ | 119,322,699 | ||||||
* | Non-income producing security. |
† | Securities exempt from registration under Rule 144A of the Securities Act of 1933. These securities may be resold in transactions exempt from registration, normally to certain qualified buyers. At June 30, 2005, the aggregate market value of these securities amounted to $2,954,665 representing 2.5% of net assets. |
(1) | The repurchase agreement is collateralized by $2,365,000 in U.S. Treasury Bonds 3.625%, due 6/30/05, with a value of $2,362,044. |
Glossary of Terms:
ADR — American Depositary Receipt. GDR — Global Depositary Receipt. |
Pursuant to its Valuation Procedures, the Fund valued its securities using fair value prices as of June 30, 2005.
See notes to financial statements.
51
Table of Contents
n | The Guardian Investment Quality Bond Fund |
Schedule of Investments |
June 30, 2005
Asset Backed Securities — 11.2% |
Principal | ||||||||
Amount | Value | |||||||
$ | 1,200,000 | Ameriquest Mtg. Secs., Inc. 2003-5 A6 4.541% due 4/25/2033 | $ | 1,206,994 | ||||
86,252 | Amresco 1997-1 MIF 7.42% due 3/25/2027 | 85,996 | ||||||
750,000 | Capital Auto Receivables Asset Tr. 2005-1 A4 4.05% due 7/15/2009 | 750,935 | ||||||
1,264,000 | Carmax Auto Owner Tr. 2005-1 A4 4.35% due 3/15/2010 | 1,272,727 | ||||||
300,000 | Caterpillar Financial Asset Tr. 2004-A A3 3.13% due 1/26/2009 | 297,144 | ||||||
New Century Home Equity Loan Tr. 2004-4 A4 | ||||||||
1,480,000 | 3.594% due 2/25/2035 (2) | 1,484,124 | ||||||
2005-A A4 | ||||||||
1,500,000 | 5.114% due 8/25/2035 | 1,508,700 | ||||||
810,000 | Nissan Auto Receivables Owner Tr. 2003-B A4 2.05% due 3/16/2009 | 790,277 | ||||||
1,200,000 | Renaissance Home Equity Loan Tr. 2005-2 AF3 4.499% due 8/25/2035 (2) | 1,200,720 | ||||||
207,750 | Residential Asset Mtg. Prods., Inc. 2003-RZ3 A3 2.14% due 2/25/2030 | 206,467 | ||||||
1,600,000 | Residential Funding Mtg. Secs. 2003-HS3 AI2 3.15% due 7/25/2018 | 1,577,372 | ||||||
SLMA Student Loan Tr. 2004-3 A2 | ||||||||
1,500,000 | 3.171% due 4/25/2013 (2) | 1,500,353 | ||||||
2005-4 A1 | ||||||||
650,000 | 3.215% due 10/26/2015 (2) | 648,343 | ||||||
2002-5 A4L | ||||||||
700,000 | 3.56% due 9/17/2018 (2) | 703,394 | ||||||
455,000 | Structured Asset Secs. Corp. 2005-WF1 A2 3.514% due 2/25/2035 (2) | 455,439 | ||||||
1,900,000 | Vanderbilt Acquisition Loan Tr. 2002-1 A3 5.70% due 9/7/2023 | 1,926,705 | ||||||
Total Asset Backed Securities (Cost $15,621,512) | 15,615,690 | |||||||
Collateralized Mortgage Obligations — 7.2% | ||||||||
$ | 1,450,000 | Countrywide Home Loans 2002-19 1A1 6.25% due 11/25/2032 | $ | 1,471,293 | ||||
FHLMC H006 A2 | ||||||||
952,676 | 2.837% due 2/15/2010 | 939,843 | ||||||
2430 GD | ||||||||
13,257 | 6.50% due 11/15/2030 | 13,241 | ||||||
2744 VC | ||||||||
1,054,974 | 5.50% due 4/15/2011 | 1,087,242 | ||||||
2500 TD | ||||||||
405,000 | 5.50% due 2/15/2016 | 411,492 | ||||||
2744 PC | ||||||||
1,500,000 | 5.50% due 1/15/2031 | 1,547,859 | ||||||
2367 ME | ||||||||
1,200,000 | 6.50% due 10/15/2031 | 1,274,462 | ||||||
855,075 | FNMA 2001-51 PH 6.00% due 8/25/2030 | 869,403 | ||||||
918,000 | Mastr Asset Securitization Tr. 2003-10 3A7 5.50% due 11/25/2033 | 933,649 | ||||||
1,500,000 | Wells Fargo Mtg.-Backed Secs. Tr. 2003-11 1A3 4.75% due 10/25/2018 | 1,506,040 | ||||||
Total Collateralized Mortgage Obligations (Cost $10,242,503) | 10,054,524 | |||||||
Commercial Mortgage Backed Securities — 6.4% | ||||||||
Chase Comm’l. Mtg. Secs. Corp. 1998-2 A2 | ||||||||
$ | 305,000 | 6.39% due 11/18/2030 | $ | 324,566 | ||||
1997-1 C | ||||||||
400,000 | 7.37% due 6/19/2029 | 421,093 | ||||||
1,500,000 | Crown Castle Towers LLC 2005-1A AFX 4.643% due 6/15/2035† | 1,507,650 | ||||||
557,764 | First Union National Bank Comm’l. Mtg. Tr. 2000-C2 A1 6.94% due 10/15/2032 | 580,145 | ||||||
1,500,000 | GE Comm’l. Mtg. Corp. 2005-C1 A5 4.772% due 6/10/2048 | 1,524,259 | ||||||
801,030 | GMAC Comm’l. Mtg. Secs., Inc. 1997-C1 A3 6.869% due 7/15/2029 | 836,450 | ||||||
1,550,000 | Greenwich Capital Comm’l. Funding Corp. 2005-GC3 AJ 4.859% due 8/10/2042 | 1,573,576 | ||||||
200,000 | Merrill Lynch Mtg. Tr. 2004-BPC1 A5 4.855% due 10/12/2041 | 203,914 | ||||||
1,165,000 | Midland Realty Acceptance Corp. 1996-C1 C 7.86% due 8/25/2028 (2) | 1,182,154 | ||||||
225,000 | Morgan Stanley Capital I 1999-RM1 E 7.208% due 12/15/2031 (2) | 244,382 | ||||||
589,393 | Mtg. Capital Funding, Inc. 1997-MC1 A3 7.288% due 7/20/2027 | 608,862 | ||||||
Total Commercial Mortgage Backed Securities (Cost $9,135,079) | 9,007,051 | |||||||
See notes to financial statements.
52
Table of Contents
n | The Guardian Investment Quality Bond Fund |
Schedule of Investments (Continued) |
June 30, 2005 (Unaudited)
Corporate Bonds — 21.8% |
Principal | ||||||||
Amount | Value | |||||||
Aerospace and Defense — 0.7% | ||||||||
$ | 200,000 | General Dynamics Corp. 4.50% due 8/15/2010 | $ | 202,495 | ||||
100,000 | Northrop Grumman Corp. 7.125% due 2/15/2011 | 113,097 | ||||||
150,000 | TRW, Inc. 7.75% due 6/1/2029 | 200,469 | ||||||
United Technologies Corp. | ||||||||
200,000 | 4.375% due 5/1/2010 | 201,849 | ||||||
200,000 | 5.40% due 5/1/2035 | 210,129 | ||||||
928,039 | ||||||||
Automotive — 0.9% | ||||||||
DaimlerChrysler NA Hldg. | ||||||||
300,000 | 4.05% due 6/4/2008 | 295,405 | ||||||
150,000 | 6.50% due 11/15/2013 | 162,331 | ||||||
90,000 | 8.50% due 1/18/2031 | 114,022 | ||||||
Ford Motor Credit Co. | ||||||||
250,000 | 6.50% due 1/25/2007 | 251,794 | ||||||
250,000 | 7.00% due 10/1/2013 | 239,870 | ||||||
250,000 | General Motors Acceptance Corp. 6.125% due 9/15/2006 | 250,179 | ||||||
1,313,601 | ||||||||
Banking — 0.2% | ||||||||
300,000 | BB&T Corp. 4.90% due 6/30/2017 | 300,780 | ||||||
Chemicals — 0.1% | ||||||||
200,000 | Potash Corp. 4.875% due 3/1/2013 | 202,037 | ||||||
Consumer Products — 0.2% | ||||||||
250,000 | Procter & Gamble Co. 5.50% due 2/1/2034 | 269,691 | ||||||
Electric — 0.7% | ||||||||
300,000 | Alabama Power Co. 5.65% due 3/15/2035 | 312,418 | ||||||
200,000 | Cons. Edison Co. of New York, Inc. 5.30% due 3/1/2035 | 207,977 | ||||||
300,000 | Florida Power & Light Co. 4.95% due 6/1/2035 | 295,883 | ||||||
200,000 | Pacific Gas & Electric Co. 6.05% due 3/1/2034 | 220,418 | ||||||
1,036,696 | ||||||||
Energy — 0.6% | ||||||||
498,600 | RAS Laffan Liquefied Natural Gas 3.437% due 9/15/2009† | 489,361 | ||||||
350,000 | Western Oil Sands, Inc. 8.375% due 5/1/2012 | 398,562 | ||||||
887,923 | ||||||||
Energy–Refining — 0.3% | ||||||||
250,000 | Tosco Corp. 8.125% due 2/15/2030 | 352,179 | ||||||
Entertainment — 0.4% | ||||||||
500,000 | Time Warner, Inc. 7.57% due 2/1/2024 | 610,879 | ||||||
Environmental — 0.6% | ||||||||
800,000 | Waste Management, Inc. 7.375% due 8/1/2010 | 894,602 | ||||||
Finance Companies — 1.5% | ||||||||
400,000 | Capital One Bank 5.75% due 9/15/2010 | 422,124 | ||||||
500,000 | CIT Group, Inc. 3.49% due 5/18/2007 (2) | 500,895 | ||||||
200,000 | General Electric Capital Corp. 6.75% due 3/15/2032 | 246,798 | ||||||
400,000 | Household Fin. Corp. 6.375% due 11/27/2012 | 442,394 | ||||||
375,000 | MBNA America Bank Nat’l. 7.125% due 11/15/2012 | 431,166 | ||||||
2,043,377 | ||||||||
Financial — 1.1% | ||||||||
200,000 | Credit Suisse First Boston 6.50% due 1/15/2012 | 222,278 | ||||||
300,000 | Goldman Sachs Group, Inc. 5.125% due 1/15/2015 | 305,565 | ||||||
Lehman Brothers Hldgs., Inc. | ||||||||
200,000 | 4.25% due 1/27/2010 | 199,408 | ||||||
200,000 | 6.625% due 1/18/2012 | 223,377 | ||||||
250,000 | Merrill Lynch & Co. 5.00% due 1/15/2015 | 255,983 | ||||||
Morgan Stanley | ||||||||
150,000 | 4.00% due 1/15/2010 | 147,763 | ||||||
200,000 | 4.75% due 4/1/2014 | 197,034 | ||||||
1,551,408 | ||||||||
Financial–Banks — 2.5% | ||||||||
550,000 | Bank of America Corp. 4.875% due 9/15/2012 | 565,673 | ||||||
500,000 | Citigroup, Inc. 5.00% due 9/15/2014 | 511,473 | ||||||
300,000 | City Nat’l. Corp. 5.125% due 2/15/2013 | 308,104 | ||||||
200,000 | HSBC USA, Inc. 4.625% due 4/1/2014 | 199,660 | ||||||
450,000 | J.P. Morgan Chase & Co. 5.75% due 1/2/2013 | 482,135 | ||||||
200,000 | Regions Financial Corp. 6.375% due 5/15/2012 | 224,427 | ||||||
250,000 | Sovereign Bank 5.125% due 3/15/2013 | 254,931 | ||||||
200,000 | Wachovia Corp. 5.25% due 8/1/2014 | 208,777 | ||||||
150,000 | Washington Mutual Bank 5.65% due 8/15/2014 | 157,938 | ||||||
500,000 | Zions Bancorp 6.00% due 9/15/2015 | 545,178 | ||||||
3,458,296 | ||||||||
Food and Beverage — 0.5% | ||||||||
400,000 | Kellogg Co. 2.875% due 6/1/2008 | 385,353 | ||||||
300,000 | Kraft Foods, Inc. 5.25% due 10/1/2013 | 312,178 | ||||||
697,531 | ||||||||
See notes to financial statements.
53
Table of Contents
n | The Guardian Investment Quality Bond Fund |
Schedule of Investments (Continued) |
June 30, 2005 (Unaudited)
Principal | ||||||||
Amount | Value | |||||||
Gaming — 0.1% | ||||||||
$ | 150,000 | Harrahs Operating Co., Inc. 5.625% due 6/1/2015† | $ | 152,782 | ||||
Health Care — 0.1% | ||||||||
150,000 | Wellpoint, Inc. 5.00% due 12/15/2014 | 153,166 | ||||||
Home Construction — 0.4% | ||||||||
250,000 | D. R. Horton, Inc. 5.625% due 1/15/2016 | 247,475 | ||||||
300,000 | Ryland Group, Inc. 5.375% due 6/1/2008 | 306,662 | ||||||
554,137 | ||||||||
Insurance — 0.7% | ||||||||
200,000 | Allstate Corp. 5.00% due 8/15/2014 | 205,588 | ||||||
Metlife, Inc. | ||||||||
250,000 | 5.00% due 6/15/2015 | 253,717 | ||||||
125,000 | 5.70% due 6/15/2035 | 128,859 | ||||||
400,000 | Willis Group NA 5.625% due 7/15/2015 | 402,572 | ||||||
990,736 | ||||||||
Media–Cable — 0.9% | ||||||||
300,000 | AT & T Broadband Corp. 9.455% due 11/15/2022 | 424,389 | ||||||
800,000 | Comcast Cable Comm., Inc. 6.875% due 6/15/2009 | 871,453 | ||||||
1,295,842 | ||||||||
Media–NonCable — 1.0% | ||||||||
150,000 | News America Hldgs. 8.00% due 10/17/2016 | 184,330 | ||||||
1,150,000 | Scholastic Corp. 5.75% due 1/15/2007 | 1,174,284 | ||||||
1,358,614 | ||||||||
Merchandising–Supermarkets — 0.6% | ||||||||
400,000 | Delhaize America, Inc. 7.375% due 4/15/2006 | 408,709 | ||||||
400,000 | Safeway, Inc. 6.15% due 3/1/2006 | 404,299 | ||||||
813,008 | ||||||||
Metals and Mining — 0.3% | ||||||||
350,000 | Noranda, Inc. 6.00% due 10/15/2015 | 367,375 | ||||||
Natural Gas–Pipelines — 0.7% | ||||||||
500,000 | Enterprise Prods. Operating LP 6.65% due 10/15/2034 | 548,934 | ||||||
250,000 | Keyspan Corp. 7.625% due 11/15/2010 | 288,456 | ||||||
200,000 | Plains All American Pipeline 5.625% due 12/15/2013 | 207,123 | ||||||
1,044,513 | ||||||||
Paper and Forest Products — 0.1% | ||||||||
150,000 | Weyerhaeuser Co. 6.00% due 8/1/2006 | 152,672 | ||||||
Railroads — 0.8% | ||||||||
300,000 | Burlington Northern Santa Fe Corp. 7.95% due 8/15/2030 | 411,209 | ||||||
150,000 | CSX Corp. 4.875% due 11/1/2009 | 152,353 | ||||||
450,000 | Norfolk Southern Corp. 6.75% due 2/15/2011 | 503,210 | ||||||
1,066,772 | ||||||||
Real Estate Investment Trust — 0.4% | ||||||||
EOP Operating LP | ||||||||
150,000 | 4.75% due 3/15/2014 | 147,061 | ||||||
100,000 | 7.00% due 7/15/2011 | 110,886 | ||||||
200,000 | Liberty Ppty. LP 7.25% due 3/15/2011 | 224,531 | ||||||
100,000 | Regency Centers LP 6.75% due 1/15/2012 | 109,859 | ||||||
592,337 | ||||||||
Retailers — 0.7% | ||||||||
250,000 | CVS Corp. 4.875% due 9/15/2014 | 254,152 | ||||||
150,000 | Federated Department Stores, Inc. 7.00% due 2/15/2028 | 174,386 | ||||||
300,000 | Staples, Inc. 7.375% due 10/1/2012 | 346,808 | ||||||
150,000 | Wal-Mart Stores, Inc. 4.50% due 7/1/2015 | 149,037 | ||||||
924,383 | ||||||||
Technology — 0.6% | ||||||||
250,000 | First Data Corp. 4.95% due 6/15/2015 | 253,395 | ||||||
200,000 | IBM Corp. 5.875% due 11/29/2032 | 221,782 | ||||||
300,000 | Motorola, Inc. 6.50% due 9/1/2025 | 330,842 | ||||||
806,019 | ||||||||
Utilities–Electric and Water — 1.2% | ||||||||
250,000 | FirstEnergy Corp. 6.45% due 11/15/2011 | 273,157 | ||||||
300,000 | Potomac Edison Co. 5.35% due 11/15/2014† | 312,441 | ||||||
300,000 | Progress Energy, Inc. 7.00% due 10/30/2031 | 346,499 | ||||||
500,000 | Public Service Co. of New Mexico 4.40% due 9/15/2008 | 500,357 | ||||||
200,000 | Public Service Electric Gas Co. 5.125% due 9/1/2012 | 207,759 | ||||||
1,640,213 | ||||||||
Wireless Communications — 1.3% | ||||||||
300,000 | America Movil S.A. de C.V. 6.375% due 3/1/2035 | 292,755 | ||||||
AT & T Wireless Svcs., Inc. | ||||||||
400,000 | 8.125% due 5/1/2012 | 479,259 | ||||||
250,000 | 8.75% due 3/1/2031 | 350,409 | ||||||
690,000 | Verizon Wireless Capital LLC 5.375% due 12/15/2006 | 703,193 | ||||||
1,825,616 | ||||||||
See notes to financial statements.
54
Table of Contents
n | The Guardian Investment Quality Bond Fund |
Schedule of Investments (Continued) |
June 30, 2005 (Unaudited)
Principal | ||||||||
Amount | Value | |||||||
Wireline Communications — 1.3% | ||||||||
$ | 250,000 | Deutsche Telekom Int’l. Fin. BV 8.75% due 6/15/2030 (2) | $ | 338,495 | ||||
France Telecom S.A. | ||||||||
325,000 | 8.00% due 3/1/2011 (2) | 377,154 | ||||||
115,000 | 8.50% due 3/1/2031 (2) | 160,334 | ||||||
600,000 | Sprint Capital Corp. 8.375% due 3/15/2012 | 721,692 | ||||||
200,000 | Verizon Global Funding Corp. 7.75% due 12/1/2030 | 258,250 | ||||||
1,855,925 | ||||||||
Yankee — 0.3% | ||||||||
350,000 | Pemex Project Funding Master Tr. 7.875% due 2/1/2009 (2) | 382,375 | ||||||
Total Corporate Bonds (Cost $29,144,484) | 30,523,524 | |||||||
Mortgage Pass-Through Securities — 33.5% | ||||||||
FHLMC | ||||||||
$ | 10,817,111 | 5.50%, 2034 | $ | 10,975,308 | ||||
5,800,000 | 5.50%, 6/1/2035 | 5,884,661 | ||||||
2,602,282 | 6.00%, 11/1/2034 | 2,670,075 | ||||||
6,915 | 7.00%, 8/1/2008 | 7,176 | ||||||
FNMA | ||||||||
6,725,000 | 5.00%, (30 yr. TBA) | 6,725,000 | ||||||
1,300,000 | 5.50%, (30 yr. TBA) | 1,317,469 | ||||||
3,269,138 | 5.00%, 6/1/2018 | 3,308,325 | ||||||
2,198,327 | 5.00%, 10/1/2019 | 2,224,127 | ||||||
552,898 | 5.50%, 12/1/2014 | 568,091 | ||||||
264,093 | 5.50%, 8/1/2019 | 271,276 | ||||||
547,346 | 6.00%, 10/1/2013 | 566,400 | ||||||
373,711 | 6.00%, 4/1/2016 | 386,516 | ||||||
2,841,514 | 6.00%, 2034 | 2,914,205 | ||||||
2,382,915 | 6.00%, 2035 | 2,443,849 | ||||||
879,973 | 6.50%, 12/1/2017 | 916,404 | ||||||
1,393,998 | 6.50%, 2032 | 1,445,077 | ||||||
874,586 | 6.50%, 11/1/2034 | 905,421 | ||||||
5,442 | 7.00%, 2/1/2009 | 5,639 | ||||||
36,679 | 7.00%, 2012 | 38,443 | ||||||
144,641 | 7.00%, 9/1/2014 | 151,580 | ||||||
2,548 | 7.00%, 8/1/2023 | 2,701 | ||||||
1,337 | 7.00%, 12/1/2027 | 1,413 | ||||||
51,469 | 7.00%, 12/1/2028 | 54,373 | ||||||
454,094 | 7.00%, 2032 | 478,990 | ||||||
230 | 7.50%, 5/1/2027 | 246 | ||||||
101,547 | 7.50%, 12/1/2029 | 108,563 | ||||||
396,101 | 7.50%, 2/1/2031 | 423,603 | ||||||
180,932 | 8.00%, 2030 | 194,593 | ||||||
GNMA | ||||||||
895,941 | 6.00%, 2033 | 924,854 | ||||||
874,913 | 6.50%, 4/15/2033 | 914,790 | ||||||
97,825 | 8.00%, 2030 | 105,738 | ||||||
Total Mortgage Pass-Through Securities (Cost $46,702,178) | 46,934,906 | |||||||
Sovereign Debt Securities — 1.1% |
Principal | ||||||||
Amount | Value | |||||||
$ | 200,000 | Pemex Project Funding Master Tr. 4.71% due 6/15/2010†(2) | $ | 206,300 | ||||
250,000 | Quebec Province 4.60% due 5/26/2015 | 252,883 | ||||||
475,000 | Republic of South Africa 6.50% due 6/2/2014 | 530,219 | ||||||
United Mexican States | ||||||||
200,000 | 4.625% due 10/8/2008 | 201,300 | ||||||
250,000 | 8.00% due 9/24/2022 | 306,250 | ||||||
Total Sovereign Debt Securities (Cost $1,367,649) | 1,496,952 | |||||||
U.S. Government Securities — 19.8% | ||||||||
U.S. Government Agency Securities — 10.9% | ||||||||
FHLMC | ||||||||
$ | 5,000,000 | 2.875%, 5/15/2007 | $ | 4,917,045 | ||||
390,000 | 3.15%, 12/16/2008 | 379,945 | ||||||
FNMA | ||||||||
5,070,000 | 3.03%, 7/14/2005††(1) | 5,064,159 | ||||||
3,600,000 | 3.25%, 1/15/2008 | 3,550,457 | ||||||
1,290,000 | 4.625%, 10/15/2014 | 1,322,990 | ||||||
15,234,596 | ||||||||
U.S. Treasury Bonds and Notes — 8.9% | ||||||||
U.S. Treasury Bonds | ||||||||
5,046,000 | 5.375%, 2/15/2031 | 5,954,280 | ||||||
3,510,000 | 6.00%, 2/15/2026 | 4,324,703 | ||||||
U.S. Treasury Notes | ||||||||
180,000 | 3.00%, 12/31/2006 | 178,348 | ||||||
2,035,000 | 4.125%, 5/15/2015 | 2,064,729 | ||||||
12,522,060 | ||||||||
Total U.S. Government Securities (Cost $26,881,777) | 27,756,656 | |||||||
Commercial Paper — 3.3% | ||||||||
Food and Beverage — 3.3% | ||||||||
$ | 3,000,000 | Coca-Cola Enterprises, Inc. 3.02% due 7/14/2005 (1) | $ | 2,996,728 | ||||
1,600,000 | Nestle Capital Corp. 2.965% due 7/13/2005 (1) | 1,598,293 | ||||||
Total Commercial Paper (Cost $4,595,021) | 4,595,021 | |||||||
Taxable Municipal Security — 0.1% | ||||||||
$ | 200,000 | Oregon Sch. Brds. Association 4.759% due 6/30/2028 (Cost $200,000) | $ | 200,470 | ||||
See notes to financial statements.
55
Table of Contents
n | The Guardian Investment Quality Bond Fund |
Schedule of Investments (Continued) |
June 30, 2005 (Unaudited)
Repurchase Agreement — 1.5% |
Principal | ||||||||
Amount | Value | |||||||
$ | 2,139,000 | State Street Bank and Trust Co. repurchase agreement, dated 6/30/2005, maturity value $2,139,190 at 3.20%, due 7/1/2005 (1)(3) (Cost $2,139,000) | $ | 2,139,000 | ||||
Total Investments — 105.9% (Cost $146,029,203) | 148,323,794 | |||||||
Payables for Mortgage Pass-Throughs Delayed Delivery Securities (1) — (5.7)% | (7,987,581 | ) | ||||||
Liabilities in Excess of Cash, Receivables and Other Assets — (0.2)% | (272,135 | ) | ||||||
Net Assets — 100% | $ | 140,064,078 | ||||||
† | Securities exempt from registration under Rule 144A of the Securities Act of 1933. These securities may be resold in transactions exempt from registration, normally to certain qualified buyers. At June 30, 2005, the aggregate market value of these securities amounted to $2,668,534 representing 1.9% of net assets. |
†† | Discount note. The rate shown is the effective yield at date of purchase. |
(1) | Securities are segregated to cover forward mortgage purchases. |
(2) | Floating rate note. The rate shown is the rate in effect at June 30, 2005. |
(3) | The repurchase agreement is collateralized by $2,175,000 in U.S. Government Agency 4.65%, due 10/10/13, with a value of $2,185,875. |
See notes to financial statements.
56
Table of Contents
n | The Guardian Low Duration Bond Fund |
Schedule of Investments |
June 30, 2005 (Unaudited)
Asset Backed Securities — 23.4% |
Principal | ||||||||
Amount | Value | |||||||
$ | 570,000 | Capital Auto Receivables Asset Tr. 2005-1 A4 4.05% due 7/15/2009 | $ | 570,711 | ||||
340,000 | Carmax Auto Owner Tr. 2005-1 A4 4.35% due 3/15/2010 | 342,347 | ||||||
282,000 | Caterpillar Financial Asset Tr. 2004-A A3 3.13% due 1/26/2009 | 279,315 | ||||||
500,000 | Chase Manhattan Auto Owner Tr. 2003-A A4 2.06% due 12/15/2009 | 486,694 | ||||||
565,000 | Ford Credit Auto Owner Tr. 2005-B A4 4.38% due 1/15/2010 | 569,148 | ||||||
590,000 | Harley-Davidson Motorcycle Tr. 2004-1 A2 2.53% due 11/15/2011 | 574,711 | ||||||
242,000 | Navistar Financial Corp. Owner Tr. 2004-A A3 2.01% due 8/15/2008 | 238,054 | ||||||
510,000 | New Century Home Equity Loan Tr. 2004-4 A4 3.594% due 2/25/2035 (1) | 511,421 | ||||||
335,000 | Nissan Auto Receivables Owner Tr. 2003-B A4 2.05% due 3/16/2009 | 326,843 | ||||||
400,000 | PP&L Transition Bond Co. LLC 1999-1 A7 7.05% due 6/25/2009 | 415,786 | ||||||
510,000 | Renaissance Home Equity Loan Tr. 2005-2 AF3 4.499% due 8/25/2035 (1) | 510,306 | ||||||
Residential Asset Mtg. Prods., Inc. 2003-RZ3 A3 | ||||||||
402,098 | 2.14% due 2/25/2030 | 399,614 | ||||||
2003-RZ4 A5 | ||||||||
510,000 | 4.66% due 2/25/2032 | 509,650 | ||||||
560,000 | Residential Asset Secs. Corp. 2003-KS2 AI5 5.01% due 4/25/2033 | 567,245 | ||||||
300,000 | Residential Funding Mtg. Secs. 2003-HS3 AI2 3.15% due 7/25/2018 | 295,757 | ||||||
170,000 | SLMA Student Loan Tr. 2002-5 A4L 3.56% due 9/17/2018 (1) | 170,824 | ||||||
495,000 | Volkswagen Auto Lease Tr. 2005-A A2 3.52% due 4/20/2007 | 494,026 | ||||||
335,000 | WFS Financial Owner Tr. 2003-3 A4 3.25% due 5/20/2011 | 331,482 | ||||||
587,000 | World Omni Auto Receivables Tr. 2005-A A4 3.82% due 11/12/2011 | 582,667 | ||||||
Total Asset Backed Securities (Cost $8,201,648) | 8,176,601 | |||||||
Collateralized Mortgage Obligations — 11.4% |
Principal | ||||||||
Amount | Value | |||||||
$ | 330,853 | Countrywide Alternative Loan Tr. 2005-14 1A1 3.30% due 5/25/2035 (1) | $ | 326,724 | ||||
FHLMC 2430 GD | ||||||||
3,381 | 6.50% due 11/15/2030 | 3,376 | ||||||
2598 QC | ||||||||
435,000 | 4.50% due 6/15/2027 | 433,566 | ||||||
2744 VC | ||||||||
258,910 | 5.50% due 4/15/2011 | 266,829 | ||||||
2500 TD | ||||||||
420,000 | 5.50% due 2/15/2016 | 426,732 | ||||||
20 H | ||||||||
170,369 | 5.50% due 10/25/2023 | 174,342 | ||||||
1650 J | ||||||||
459,478 | 6.50% due 6/15/2023 | 470,127 | ||||||
FNMA 2003-24 PU | ||||||||
449,998 | 3.50% due 11/25/2015 | 442,264 | ||||||
2003-13 ME | ||||||||
443,000 | 5.00% due 2/25/2026 | 445,123 | ||||||
2002-55 PC | ||||||||
306,857 | 5.50% due 4/25/2026 | 308,231 | ||||||
2001-51 PH | ||||||||
166,446 | 6.00% due 8/25/2030 | 169,235 | ||||||
116,701 | GNMA 2002-93 NV 4.75% due 2/20/2032 | 116,355 | ||||||
59,975 | Prudential Home Mtg. Secs. 1993-60 A3 6.75% due 12/25/2023 | 59,832 | ||||||
340,000 | Washington Mutual 2003-AR10 A4 4.075% due 10/25/2033 | 338,096 | ||||||
Total Collateralized Mortgage Obligations (Cost $4,023,001) | 3,980,832 | |||||||
Commercial Mortgage Backed Securities — 10.9% | ||||||||
Chase Comm’l. Mtg. Secs. Corp. 1998-2 A2 | ||||||||
$ | 625,000 | 6.39% due 11/18/2030 | $ | 665,093 | ||||
1997-1 C | ||||||||
570,000 | 7.37% due 6/19/2029 | 600,057 | ||||||
GMAC Comm’l. Mtg. Secs., Inc. 1997-C1 A3 | ||||||||
261,765 | 6.869% due 7/15/2029 | 273,340 | ||||||
1999-C2 A2 | ||||||||
140,000 | 6.945% due 9/15/2033 | 152,365 | ||||||
269,640 | Greenwich Capital Comm’l. Funding Corp. | |||||||
2004-GG1 A2 | ||||||||
3.835% due 6/10/2036 | 268,101 | |||||||
260,000 | J.P. Morgan Comm’l. Mtg. Fin. Corp. | |||||||
1997-C5 B | ||||||||
7.159% due 9/15/2029 | 275,000 | |||||||
125,068 | LB UBS Comm’l. Mtg. Tr. | |||||||
2001-C3 A1 | ||||||||
6.058% due 6/15/2020 | 130,302 |
See notes to financial statements.
57
Table of Contents
n | The Guardian Low Duration Bond Fund |
Schedule of Investments (Continued) |
June 30, 2005 (Unaudited)
Principal | ||||||||
Amount | Value | |||||||
$ | 225,000 | Midland Realty Acceptance Corp. 1996-C1 C | ||||||
7.86% due 8/25/2028 (1) | $ | 228,313 | ||||||
Morgan Stanley Capital I | ||||||||
1999-WF1 A1 | ||||||||
32,289 | 5.91% due 11/15/2031 | 32,530 | ||||||
1999-RM1 E | ||||||||
340,000 | 7.208% due 12/15/2031 (1) | 369,289 | ||||||
575,843 | Mtg. Capital Funding, Inc. | |||||||
1998-MC3 A2 | ||||||||
6.337% due 11/18/2031 | 603,942 | |||||||
189,000 | Salomon Brothers Mtg. Secs. VII, Inc. | |||||||
2001-C2 A2 | ||||||||
6.168% due 2/13/2010 | 198,877 | |||||||
Total Commercial Mortgage Backed Securities (Cost $3,832,696) | 3,797,209 | |||||||
Corporate Bonds — 32.3% | ||||||||
Automotive — 5.1% | ||||||||
$ | 500,000 | DaimlerChrysler NA Hldg. 4.75% due 1/15/2008 | $ | 501,932 | ||||
500,000 | Delphi Corp. 6.55% due 6/15/2006 | 486,250 | ||||||
400,000 | Ford Motor Credit Co. 6.875% due 2/1/2006 | 403,998 | ||||||
400,000 | General Motors Acceptance Corp. 6.125% due 9/15/2006 | 400,286 | ||||||
1,792,466 | ||||||||
Energy — 1.4% | ||||||||
500,000 | Repsol Int’l. Fin. BV 7.45% due 7/15/2005 | 500,880 | ||||||
Entertainment — 1.2% | ||||||||
400,000 | AOL Time Warner, Inc. 6.15% due 5/1/2007 | 413,888 | ||||||
Finance Companies — 5.8% | ||||||||
500,000 | American General Fin. Corp. 5.875% due 12/15/2005 | 504,541 | ||||||
500,000 | Capital One Bank 6.875% due 2/1/2006 | 507,904 | ||||||
500,000 | General Electric Capital Corp. 3.50% due 8/15/2007 | 494,133 | ||||||
500,000 | MBNA America Bank NA 6.50% due 6/20/2006 | 511,640 | ||||||
2,018,218 | ||||||||
Financial — 0.7% | ||||||||
250,000 | Lehman Brothers Hldgs., Inc. 6.25% due 5/15/2006 | 254,590 | ||||||
Food and Beverage — 1.5% | ||||||||
500,000 | Kellogg Co. | |||||||
6.00% due 4/1/2006 | 508,147 | |||||||
Lodging — 0.7% | ||||||||
250,000 | Marriott Int’l., Inc. | |||||||
6.875% due 11/15/2005 | 252,674 | |||||||
Media–Cable — 1.5% | ||||||||
500,000 | Cox Comm., Inc. | |||||||
7.75% due 8/15/2006 | 516,301 | |||||||
Natural Gas–Pipelines — 4.0% | ||||||||
500,000 | Duke Energy Field Svcs. | |||||||
7.50% due 8/16/2005 | 501,964 | |||||||
500,000 | Enterprise Prods. Operating LP | |||||||
4.00% due 10/15/2007 | 495,005 | |||||||
400,000 | Sempra Energy | |||||||
4.621% due 5/17/2007 | 401,889 | |||||||
1,398,858 | ||||||||
Paper and Forest Products — 0.7% | ||||||||
250,000 | Abitibi-Consolidated, Inc. | |||||||
8.30% due 8/1/2005 | 250,000 | |||||||
Real Estate Investment Trust — 2.7% | ||||||||
505,000 | Avalon Bay Communities, Inc. | |||||||
6.80% due 7/15/2006 | 517,939 | |||||||
400,000 | Simon Ppty. Group LP | |||||||
6.875% due 10/27/2005 | 403,584 | |||||||
921,523 | ||||||||
Services — 0.7% | ||||||||
250,000 | Cendant Corp. | |||||||
6.875% due 8/15/2006 | 257,017 | |||||||
Utilities–Electric and Water — 3.4% | ||||||||
250,000 | Niagara Mohawk Power Corp. | |||||||
6.625% due 7/1/2005 | 250,000 | |||||||
500,000 | Nisource Fin. Corp. | |||||||
7.625% due 11/15/2005 | 506,558 | |||||||
425,000 | PSEG Power LLC | |||||||
6.875% due 4/15/2006 | 433,821 | |||||||
1,190,379 | ||||||||
Wireline Communications — 2.9% | ||||||||
500,000 | France Telecom | |||||||
7.45% due 3/1/2006 (1) | 510,953 | |||||||
500,000 | Sprint Capital Corp. | |||||||
6.00% due 1/15/2007 | 512,373 | |||||||
1,023,326 | ||||||||
Total Corporate Bonds (Cost $11,421,566) | 11,298,267 | |||||||
U.S. Government Securities — 17.3% | ||||||||
U.S. Government Agency Securities — 5.3% | ||||||||
FHLMC | ||||||||
$ | 585,000 | 3.15%, 12/16/2008 | $ | 569,917 | ||||
375,000 | 3.625%, 2/15/2008 | 372,877 | ||||||
FNMA | ||||||||
920,000 | 3.875%, 2/15/2010 | 918,219 | ||||||
1,861,013 | ||||||||
U.S. Treasury Notes — 12.0% | ||||||||
U.S. Treasury Notes | ||||||||
980,000 | 2.625%, 5/15/2008 | 952,323 | ||||||
447,000 | 2.625%, 3/15/2009 | 430,709 | ||||||
570,000 | 3.125%, 5/15/2007 | 564,611 | ||||||
485,000 | 3.375%, 12/15/2008 | 480,131 | ||||||
180,000 | 3.75%, 5/15/2008 | 180,394 | ||||||
1,573,000 | 3.875%, 5/15/2010 | 1,581,971 | ||||||
4,190,139 | ||||||||
Total U.S. Government Securities (Cost $6,026,072) | 6,051,152 | |||||||
See notes to financial statements.
58
Table of Contents
n | The Guardian Low Duration Bond Fund |
Schedule of Investments (Continued) |
June 30, 2005 (Unaudited)
June 30, 2005 (Unaudited) | ||||||||
Repurchase Agreement — 4.7% | ||||||||
$ | 1,632,000 | State Street Bank and Trust Co. repurchase agreement, dated 6/30/2005, maturity value $1,632,145 at 3.20%, due 7/1/2005 (2) (Cost $1,632,000) | $ | 1,632,000 | ||||
Total Investments — 100.0% (Cost $35,136,983) | 34,936,061 | |||||||
Liabilities in Excess of Cash, Receivables and Other Assets — (0.0)% | (11,545 | ) | ||||||
Net Assets — 100% | $ | 34,924,516 | ||||||
(1) | Floating rate note. The rate shown is the rate in effect at June 30, 2005. |
(2) | The repurchase agreement is collateralized by $1,535,000 in U.S. Government Agency 5.50%, due 3/15/11, with a value of $1,666,434. |
See notes to financial statements.
59
Table of Contents
n | The Guardian High Yield Bond Fund |
Schedule of Investments |
June 30, 2005 (Unaudited)
Corporate Bonds — 94.3% |
Rating | ||||||||||
Principal | Moody’s/ | |||||||||
Amount | S&P* | Value | ||||||||
Aerospace and Defense — 1.3% | ||||||||||
Comm. & Power Inds., Inc. | ||||||||||
$ | 671,000 | Sr. Sub. Nt. 8.00% due 2/1/2012 | B3/B- | $ | 674,355 | |||||
L-3 Comms. Corp. | ||||||||||
404,000 | Sr. Sub. Nt. 6.125% due 7/15/2013 | Ba3/BB+ | 406,020 | |||||||
1,080,375 | ||||||||||
Automotive — 2.0% | ||||||||||
Keystone Automotive Operations | ||||||||||
808,000 | Sr. Sub. Nt. 9.75% due 11/1/2013 | B3/B- | 799,920 | |||||||
Tenneco Automotive, Inc. | ||||||||||
515,000 | Sr. Nt. 8.625% due 11/15/2014 | B3/B- | 517,575 | |||||||
United Components, Inc. | ||||||||||
400,000 | Sr. Sub. Nt. 9.375% due 6/15/2013 | B3/B | 403,000 | |||||||
1,720,495 | ||||||||||
Building Materials — 2.5% | ||||||||||
Compression Polymers Hldg. Corp. | ||||||||||
600,000 | Sr. Nt.† 10.50% due 7/1/2013 | B2/B- | 606,000 | |||||||
Norcraft Cos. Fin | ||||||||||
500,000 | Sr. Sub. Nt. 9.00% due 11/1/2011 | B3/B- | 515,000 | |||||||
Ply Gem Inds., Inc. | ||||||||||
556,000 | Sr. Sub. Nt. 9.00% due 2/15/2012 | B3/B- | 469,820 | |||||||
Texas Inds., Inc. | ||||||||||
570,000 | Sr. Nt.† 7.25% due 7/15/2013 | Ba3/BB- | 584,250 | |||||||
2,175,070 | ||||||||||
Chemicals — 6.0% | ||||||||||
Equistar Chemicals LP | ||||||||||
1,185,000 | Sr. Nt. 10.125% due 9/1/2008 | B2/BB- | 1,282,762 | |||||||
Huntsman Advanced Materials | ||||||||||
373,000 | Sec. Nt. 11.00% due 7/15/2010 | Ba3/BB- | 421,490 | |||||||
Huntsman ICI Chemicals LLC | ||||||||||
400,000 | Sr. Sub. Nt. 10.125% due 7/1/2009 | B3/B | 411,500 | |||||||
Huntsman Int’l. LLC | ||||||||||
224,000 | Sr. Nt. 9.875% due 3/1/2009 | B2/B+ | 239,680 | |||||||
Koppers, Inc. | ||||||||||
584,000 | Sec. Nt. 9.875% due 10/15/2013 | B2/B | 630,720 | |||||||
Lubrizol Corp. | ||||||||||
870,000 | Sr. Nt. 5.50% due 10/1/2014 | Baa3/BB+ | 897,245 | |||||||
Lyondell Chemical Co. | ||||||||||
372,000 | Sr. Sub. Nt. 10.875% due 5/1/2009 | B3/B | 385,950 | |||||||
Millennium America, Inc. | ||||||||||
484,000 | Sr. Nt. 9.25% due 6/15/2008 | B1/BB- | 523,930 | |||||||
Nalco Co. | ||||||||||
298,000 | Sr. Sub. Nt. 8.875% due 11/15/2013 | Caa1/B- | 319,605 | |||||||
5,112,882 | ||||||||||
Construction Machinery — 2.5% | ||||||||||
Nationsrent, Inc. | ||||||||||
400,000 | Sr. Nt.† 9.50% due 5/1/2015 | Caa1/B- | 396,000 | |||||||
NMHG Hldg. Co. | ||||||||||
140,000 | Sr. Nt. 10.00% due 5/15/2009 | B3/B+ | 147,000 | |||||||
Terex Corp. | ||||||||||
285,000 | Sr. Sub. Nt. 9.25% due 7/15/2011 | B3/B | 309,225 | |||||||
285,000 | Sr. Sub. Nt. 10.375% due 4/1/2011 | B3/B | 309,225 | |||||||
United Rentals NA, Inc. | ||||||||||
960,000 | Sr. Sub. Nt. 7.75% due 11/15/2013 | B2/B+ | 943,200 | |||||||
2,104,650 | ||||||||||
Consumer Products — 2.0% | ||||||||||
Bombardier Recreational Products | ||||||||||
286,000 | Sr. Sub. Nt. 8.375% due 12/15/2013 | B3/B- | 304,590 | |||||||
Elizabeth Arden, Inc. | ||||||||||
410,000 | Sr. Sub. Nt. 7.75% due 1/15/2014 | B2/B- | 427,425 | |||||||
Jafra Cosmetics | ||||||||||
539,000 | Sr. Sub. Nt. 10.75% due 5/15/2011 | B3/B- | 603,680 | |||||||
Riddell Bell Hldgs., Inc. | ||||||||||
360,000 | Sr. Nt. 8.375% due 10/1/2012 | B3/B- | 360,900 | |||||||
1,696,595 | ||||||||||
Electric — 15.2% | ||||||||||
Allegheny Energy Supply | ||||||||||
1,490,000 | Nt. 7.80% due 3/15/2011 | Ba3/B | 1,624,100 | |||||||
Calpine Canada Energy | ||||||||||
505,000 | Sr. Nt. 8.50% due 5/1/2008 | Caa3/CCC | 363,600 | |||||||
Dynegy Hldgs., Inc. | ||||||||||
610,000 | Sec. Nt.† 9.875% due 7/15/2010 | B3/B- | 674,050 | |||||||
400,000 | Sr. Sec. Nt.† 10.125% due 7/15/2013 | B3/B- | 452,000 | |||||||
Edison Mission Energy | ||||||||||
365,000 | Sr. Nt. 9.875% due 4/15/2011 | B1/B+ | 427,506 | |||||||
Mission Energy Hldg. | ||||||||||
1,840,000 | Sr. Sec. Nt. 13.50% due 7/15/2008 | B2/CCC+ | 2,185,000 | |||||||
Nevada Power Co. | ||||||||||
515,000 | Gen’l. Ref. Mtg. Nt.† 5.875% due 1/15/2015 | Ba2/BB | 517,575 | |||||||
NRG Energy, Inc. | ||||||||||
644,000 | Sec. Nt.† 8.00% due 12/15/2013 | B1/B | 679,420 |
See notes to financial statements.
60
Table of Contents
n | The Guardian High Yield Bond Fund |
Schedule of Investments (Continued) |
June 30, 2005 (Unaudited)
Rating | ||||||||||
Principal | Moody’s/ | |||||||||
Amount | S&P* | Value | ||||||||
Reliant Energy, Inc. | ||||||||||
$ | 505,000 | Sec. Nt. 6.75% due 12/15/2014 | B1/B+ | $ | 493,637 | |||||
Sierra Pacific Resources | ||||||||||
1,600,000 | Sr. Nt. 8.625% due 3/15/2014 | B2/B- | 1,768,000 | |||||||
Teco Energy, Inc. | ||||||||||
202,000 | Sr. Nt.† 6.75% due 5/1/2015 | Ba2/BB | 214,120 | |||||||
1,295,000 | Nt. 7.00% due 5/1/2012 | Ba2/BB | 1,398,600 | |||||||
TXU Corp. | ||||||||||
1,010,000 | Sr. Nt.† 5.55% due 11/15/2014 | Ba1/BB+ | 979,555 | |||||||
UtiliCorp Canada Fin. | ||||||||||
1,200,000 | Sr. Nt. 7.75% due 6/15/2011 | B2/B- | 1,236,000 | |||||||
13,013,163 | ||||||||||
Energy — 2.9% | ||||||||||
Chesapeake Energy Corp. | ||||||||||
318,000 | Sr. Nt.† 6.375% due 6/15/2015 | Ba3/BB- | 325,950 | |||||||
398,000 | Sr. Nt.† 6.625% due 1/15/2016 | Ba3/BB- | 410,935 | |||||||
Dresser, Inc. | ||||||||||
447,000 | Sr. Nt. 9.375% due 4/15/2011 | B2/B- | 470,467 | |||||||
Newpark Resources, Inc. | ||||||||||
700,000 | Sr. Sub. Nt. Ser. B 8.625% due 12/15/2007 | B2/B | 693,000 | |||||||
Pride Int’l., Inc. | ||||||||||
219,000 | Sr. Nt. 7.375% due 7/15/2014 | Ba2/BB- | 240,353 | |||||||
Western Oil Sands, Inc. | ||||||||||
298,000 | Sr. Sec. Nt. 8.375% due 5/1/2012 | Ba2/BB+ | 339,347 | |||||||
2,480,052 | ||||||||||
Entertainment — 2.1% | ||||||||||
Intrawest Corp. | ||||||||||
720,000 | Sr. Nt. 7.50% due 10/15/2013 | B1/B+ | 738,900 | |||||||
Time Warner Cos., Inc. | ||||||||||
870,000 | Debt. 7.25% due 10/15/2017 | Baa1/BBB+ | 1,033,384 | |||||||
1,772,284 | ||||||||||
Environmental — 0.4% | ||||||||||
Allied Waste NA, Inc. | ||||||||||
335,000 | Sr. Nt. 7.875% due 4/15/2013 | B2/BB- | 342,538 | |||||||
Food and Beverage — 2.9% | ||||||||||
American Seafood Group LLC | ||||||||||
560,000 | Sr. Sub. Nt. 10.125% due 4/15/2010 | B3/B- | 600,600 | |||||||
ASG Consolidated LLC | ||||||||||
550,000 | Sr. Disc. Nt. (1) 0/11.50% due 11/1/2011 | Caa1/B- | 394,625 | |||||||
Del Monte Corp. | ||||||||||
618,000 | Sr. Sub. Nt.† 6.75% due 2/15/2015 | B2/B | 630,360 | |||||||
Michael Foods, Inc. | ||||||||||
808,000 | Sr. Sub. Nt. 8.00% due 11/15/2013 | B3/B- | 822,140 | |||||||
2,447,725 | ||||||||||
Gaming — 0.9% | ||||||||||
Harrahs Operating Co., Inc. | ||||||||||
435,000 | Nt. 5.375% due 12/15/2013 | Baa3/BBB- | 441,320 | |||||||
Sun Int’l. Hotels Ltd. | ||||||||||
285,000 | Sr. Sub. Nt. 8.875% due 8/15/2011 | B2/B | 304,950 | |||||||
746,270 | ||||||||||
Health Care — 6.8% | ||||||||||
Bio Rad Laboratories, Inc. | ||||||||||
358,000 | Sr. Sub. Nt. 6.125% due 12/15/2014 | Ba3/BB- | 361,580 | |||||||
Coventry Health Care, Inc. | ||||||||||
618,000 | Sr. Nt. 6.125% due 1/15/2015 | Ba1/BBB- | 628,815 | |||||||
Fisher Scientific Int’l., Inc. | ||||||||||
800,000 | Sr. Sub. Nt.† 6.125% due 7/1/2015 | Ba3/BB+ | 801,000 | |||||||
376,000 | Sr. Sub. Nt. 8.00% due 9/1/2013 | Ba3/BB+ | 429,580 | |||||||
Fresenius Medical Care | ||||||||||
570,000 | Capital Tr. 7.875% due 6/15/2011 | B1/BB- | 612,750 | |||||||
HCA, Inc. | ||||||||||
995,000 | Nt. 6.375% due 1/15/2015 | Ba2/BB+ | 1,032,420 | |||||||
Medical Device Mfg., Inc. | ||||||||||
366,000 | Sr. Sub. Nt. 10.00% due 7/15/2012 | Caa1/B- | 393,450 | |||||||
National Nephrology Assocs., Inc. | ||||||||||
515,000 | Sr. Sub. Nt.† 9.00% due 11/1/2011 | B1/B | 578,087 | |||||||
Triad Hospitals, Inc. | ||||||||||
498,000 | Sr. Sub. Nt. 7.00% due 11/15/2013 | B3/B | 511,695 | |||||||
Vanguard Health Hldg. Co. II | ||||||||||
400,000 | Sr. Sub. Nt. 9.00% due 10/1/2014 | Caa1/CCC+ | 432,000 | |||||||
5,781,377 | ||||||||||
Home Construction — 0.9% | ||||||||||
K. Hovnanian Enterprises, Inc. | ||||||||||
309,000 | Sr. Nt. 6.25% due 1/15/2015 | Ba1/BB | 305,138 | |||||||
Meritage Homes Corp. | ||||||||||
500,000 | Sr. Nt. 7.00% due 5/1/2014 | Ba3/BB- | 488,750 | |||||||
793,888 | ||||||||||
Industrial–Other — 1.0% | ||||||||||
Da Lite Screen Co., Inc. | ||||||||||
224,000 | Sr. Nt. 9.50% due 5/15/2011 | B2/B- | 238,560 | |||||||
PerkinElmer, Inc. | ||||||||||
560,000 | Sr. Sub. Nt. 8.875% due 1/15/2013 | Ba2/BB- | 623,000 | |||||||
861,560 | ||||||||||
See notes to financial statements.
61
Table of Contents
n | The Guardian High Yield Bond Fund |
Schedule of Investments (Continued) |
June 30, 2005 (Unaudited)
Rating | ||||||||||
Principal | Moody’s/ | |||||||||
Amount | S&P* | Value | ||||||||
Lodging — 0.4% | ||||||||||
Host Marriott LP | ||||||||||
$ | 400,000 | Sr. Nt.† 6.375% due 3/15/2015 | Ba3/B+ | $ | 396,000 | |||||
Media–Cable — 6.5% | ||||||||||
Charter Comm. Hldgs. II | ||||||||||
1,272,000 | Sr. Nt. 10.25% due 9/15/2010 | Caa1/CCC- | 1,286,310 | |||||||
Charter Comm. Operating LLC | ||||||||||
372,000 | Sr. Nt.† 8.00% due 4/30/2012 | B2/B- | 370,140 | |||||||
Comcast Cable Comm. | ||||||||||
870,000 | Nt. 8.875% due 5/1/2017 | Baa2/BBB+ | 1,148,296 | |||||||
CSC Hldgs., Inc. | ||||||||||
730,000 | Debt. 7.625% due 7/15/2018 | B1/BB- | 704,450 | |||||||
1,120,000 | Debt. 7.875% due 2/15/2018 | B1/BB- | 1,103,200 | |||||||
Insight Comm., Inc. | ||||||||||
515,000 | Sr. Disc. Nt. (1) 0/12.25% due 2/15/2011 | Caa2/CCC+ | 516,288 | |||||||
Insight Midwest LP | ||||||||||
373,000 | Sr. Nt. 10.50% due 11/1/2010 | B2/B | 395,380 | |||||||
5,524,064 | ||||||||||
Media–NonCable — 6.4% | ||||||||||
Dex Media East LLC | ||||||||||
351,000 | Sr. Sub. Nt. 12.125% due 11/15/2012 | B2/B | 420,323 | |||||||
DirecTV Hldgs. Fin. | ||||||||||
1,200,000 | Sr. Nt.† 6.375% due 6/15/2015 | Ba2/BB- | 1,194,000 | |||||||
181,000 | Sr. Nt. 8.375% due 3/15/2013 | Ba2/BB- | 200,457 | |||||||
EchoStar DBS Corp. | ||||||||||
365,000 | Sr. Nt. 6.375% due 10/1/2011 | Ba3/BB- | 361,806 | |||||||
400,000 | Sr. Nt. 6.625% due 10/1/2014 | Ba3/BB- | 395,000 | |||||||
Houghton Mifflin Co. | ||||||||||
500,000 | Sr. Sub. Nt. 9.875% due 2/1/2013 | Caa1/B- | 533,750 | |||||||
News America, Inc. | ||||||||||
870,000 | Debt. 7.25% due 5/18/2018 | Baa3/BBB- | 1,019,226 | |||||||
R.H. Donnelley Fin. Corp. I | ||||||||||
465,000 | Sr. Sub. Nt.† 10.875% due 12/15/2012 | B2/B+ | 540,563 | |||||||
Radio One, Inc. | ||||||||||
795,000 | Sr. Sub. Nt.† 6.375% due 2/15/2013 | B2/B | 782,081 | |||||||
5,447,206 | ||||||||||
Metals and Mining — 2.9% | ||||||||||
AK Steel Corp. | ||||||||||
800,000 | Sr. Nt. 7.75% due 6/15/2012 | B1/B+ | 676,000 | |||||||
Luscar Coal Ltd. | ||||||||||
286,000 | Sr. Nt. 9.75% due 10/15/2011 | Ba3/BB | 314,600 | |||||||
Oregon Steel Mills, Inc. | ||||||||||
1,030,000 | 1st Mtg. Nt. 10.00% due 7/15/2009 | B1/B+ | 1,109,825 | |||||||
Peabody Energy Corp. | ||||||||||
365,000 | Sr. Nt. 6.875% due 3/15/2013 | Ba3/BB- | 386,900 | |||||||
2,487,325 | ||||||||||
Natural Gas–Pipelines — 6.3% | ||||||||||
Amerigas Partners LP | ||||||||||
618,000 | Sr. Nt.† 7.25% due 5/20/2015 | B2/BB- | 642,720 | |||||||
El Paso Natural Gas | ||||||||||
670,000 | Sr. Nt. 7.625% due 8/1/2010 | B1/B | 707,319 | |||||||
Enterprise Products Operating | ||||||||||
870,000 | Nt.† 5.00% due 3/1/2015 | Baa3/BB+ | 854,280 | |||||||
Holly Energy Partners LP | ||||||||||
410,000 | Sr. Nt.† 6.25% due 3/1/2015 | Ba3/B+ | 399,750 | |||||||
Northwest Pipeline Corp. | ||||||||||
208,000 | Sr. Nt. 8.125% due 3/1/2010 | Ba2/B+ | 225,680 | |||||||
Southern Natural Gas Co. | ||||||||||
623,000 | Nt. 7.35% due 2/15/2031 | B1/B | 662,736 | |||||||
Transcontinental Gas Pipeline Corp. | ||||||||||
180,000 | Nt. Ser. B 7.00% due 8/15/2011 | Ba2/B+ | 193,950 | |||||||
Williams Cos., Inc. | ||||||||||
1,475,000 | Nt. 8.125% due 3/15/2012 | B1/B+ | 1,674,125 | |||||||
5,360,560 | ||||||||||
Noncaptive Consumer — 0.7% | ||||||||||
Dollar Financial Group, Inc. | ||||||||||
559,000 | Sr. Nt. 9.75% due 11/15/2011 | B3/B | 576,469 | |||||||
Non Sovereign — 1.3% | ||||||||||
Gazprom OAO | ||||||||||
900,000 | Nt.† 9.625% due 3/1/2013 | NR/BB- | 1,103,625 | |||||||
Packaging — 2.3% | ||||||||||
Ball Corp. | ||||||||||
417,000 | Sr. Nt. 6.875% due 12/15/2012 | Ba2/BB | 437,850 | |||||||
Crown European Hldgs. S.A. | ||||||||||
355,000 | Sec. Nt. 9.50% due 3/1/2011 | B1/B+ | 392,275 | |||||||
Owens-Brockway Glass Container | ||||||||||
400,000 | Sr. Sec. Nt. 7.75% due 5/15/2011 | B1/BB- | 425,000 | |||||||
424,000 | Sec. Nt. 8.875% due 2/15/2009 | B1/BB- | 450,500 | |||||||
Silgan Hldgs., Inc. | ||||||||||
298,000 | Sr. Sub. Nt. 6.75% due 11/15/2013 | B1/B+ | 306,940 | |||||||
2,012,565 | ||||||||||
See notes to financial statements.
62
Table of Contents
n | The Guardian High Yield Bond Fund |
Schedule of Investments (Continued) |
June 30, 2005 (Unaudited)
Rating | ||||||||||
Principal | Moody’s/ | |||||||||
Amount | S&P* | Value | ||||||||
Paper and Forest Products — 2.7% | ||||||||||
Georgia-Pacific Corp. | ||||||||||
$ | 618,000 | Sr. Nt. 9.375% due 2/1/2013 | Ba2/BB+ | $ | 699,112 | |||||
Graphic Packaging Int’l., Inc. | ||||||||||
522,000 | Sr. Sub. Nt. 9.50% due 8/15/2013 | B3/B- | 525,915 | |||||||
Millar Western Forest | ||||||||||
298,000 | Sr. Nt. 7.75% due 11/15/2013 | B2/B+ | 279,375 | |||||||
Packaging Corp. of America | ||||||||||
824,000 | Sr. Nt. 5.75% due 8/1/2013 | Ba1/BBB | 823,960 | |||||||
2,328,362 | ||||||||||
Retailers — 2.5% | ||||||||||
J.C. Penney Co., Inc. | ||||||||||
1,648,000 | Debt. 7.95% due 4/1/2017 | Ba1/BB+ | 1,899,320 | |||||||
Rent-A-Center | ||||||||||
239,000 | Sr. Sub. Nt. Ser. B 7.50% due 5/1/2010 | B1/BB- | 239,000 | |||||||
2,138,320 | ||||||||||
Technology — 2.2% | ||||||||||
Flextronics Int’l. Ltd. | ||||||||||
606,000 | Sr. Sub. Nt. 6.25% due 11/15/2014 | Ba2/BB- | 601,455 | |||||||
Iron Mountain, Inc. | ||||||||||
700,000 | Sr. Sub. Nt. 8.625% due 4/1/2013 | Caa1/B | 724,500 | |||||||
Magnachip Semiconductor | ||||||||||
600,000 | Sr. Nt.† 6.875% due 12/15/2011 | Ba3/B+ | 588,000 | |||||||
1,913,955 | ||||||||||
Textile — 1.3% | ||||||||||
Oxford Inds., Inc. | ||||||||||
300,000 | Sr. Nt. 8.875% due 6/1/2011 | B2/B | 321,000 | |||||||
Russell Corp. | ||||||||||
350,000 | Sr. Nt. 9.25% due 5/1/2010 | B1/B+ | 369,250 | |||||||
William Carter Co. | ||||||||||
422,000 | Sr. Sub. Nt. Ser. B 10.875% due 8/15/2011 | B3/B+ | 472,708 | |||||||
1,162,958 | ||||||||||
Transportation — 0.7% | ||||||||||
Omi Corp. | ||||||||||
600,000 | Sr. Nt. 7.625% due 12/1/2013 | B1/B+ | 597,750 | |||||||
Wireless Communications — 5.6% | ||||||||||
Centennial Cell Comm. Corp. | ||||||||||
700,000 | Sr. Nt. 10.125% due 6/15/2013 | B3/CCC | 791,000 | |||||||
Inmarsat Fin. PLC | ||||||||||
477,000 | Sr. Nt. 7.625% due 6/30/2012 | B2/B- | 503,235 | |||||||
Nextel Comm., Inc. | ||||||||||
1,970,000 | Sr. Nt. 7.375% due 8/1/2015 | Ba3/BB | 2,127,600 | |||||||
Nextel Partners, Inc. | ||||||||||
350,000 | Sr. Nt. 8.125% due 7/1/2011 | Ba3/BB- | 379,750 | |||||||
Rogers Wireless, Inc. | ||||||||||
580,000 | Sr. Sub. Nt. 8.00% due 12/15/2012 | B2/B+ | 624,950 | |||||||
Ubiquitel Operating Co. | ||||||||||
298,000 | Sr. Nt. 9.875% due 3/1/2011 | Caa1/CCC | 327,055 | |||||||
4,753,590 | ||||||||||
Wireline Communications — 3.1% | ||||||||||
Citizens Comm. Co. | ||||||||||
238,000 | Sr. Nt. 6.25% due 1/15/2013 | Ba3/BB+ | 230,265 | |||||||
MCI, Inc. | ||||||||||
397,000 | Sr. Nt. (3) 7.688% due 5/1/2009 | B2/B+ | 413,376 | |||||||
Qwest Corp. | ||||||||||
397,000 | Debt. 7.20% due 11/10/2026 | Ba3/BB- | 357,300 | |||||||
1,085,000 | Sr. Nt.† 7.875% due 9/1/2011 | Ba3/BB- | 1,131,113 | |||||||
U.S. West Comm. | ||||||||||
480,000 | Debt. 8.875% due 6/1/2031 | Ba3/BB- | 484,800 | |||||||
2,616,854 | ||||||||||
Total Corporate Bonds (Cost $78,343,481) | 80,548,527 | |||||||||
Sovereign Debt Security — 1.5% | ||||||||||
Federative Republic of Brazil | ||||||||||
$ | 1,163,000 | Nt. 9.25% due 10/22/2010 | B1/BB- | |||||||
(Cost $1,196,889) | $ | 1,293,838 | ||||||||
Warrant — 0.0% | ||||||||||
XM Satellite Radio, Inc. | ||||||||||
330 | exp. 3/15/2010 | |||||||||
(Cost $66,660) | $ | 19,800 | ||||||||
See notes to financial statements.
63
Table of Contents
n | The Guardian High Yield Bond Fund |
Schedule of Investments (Continued) |
June 30, 2005 (Unaudited)
June 30, 2005 (Unaudited) | ||||||||||
Repurchase Agreement — 4.0% |
Principal | ||||||||||
Amount | Value | |||||||||
$ | 3,351,000 | State Street Bank and Trust Co. repurchase agreement, dated 6/30/2005, maturity value $3,351,298 at 3.20% due 7/1/2005 (2) (Cost $3,351,000) | $ | 3,351,000 | ||||||
Total Investments — 99.8% (Cost $82,958,030) | 85,213,165 | |||||||||
Cash, Receivables and Other Assets Less Liabilities — 0.2% | 196,076 | |||||||||
Net Assets — 100% | $ | 85,409,241 | ||||||||
* | Unaudited. |
† | Securities exempt from registration under Rule 144A of the Securities Act of 1933. These securities may be resold in transactions exempt from registration, normally to certain qualified buyers. At June 30, 2005, the aggregate market value of these securities amounted to $15,851,574 representing 18.6% of net assets. |
(1) | Step-up bond. |
(2) | The repurchase agreement is collateralized by $3,150,000 in U.S. Government Agency 5.50%, due 3/15/11, with a value of $3,419,719. |
(3) | Floating rate note. The rate shown is the rate in effect at June 30, 2005. |
See notes to financial statements.
64
Table of Contents
n | The Guardian Tax-Exempt Fund |
Schedule of Investments |
June 30, 2005 (Unaudited)
Municipal Bonds — 97.8% |
Rating | ||||||||||
Principal | Moody��s/ | |||||||||
Amount | S&P* | Value | ||||||||
Alabama — 1.3% | ||||||||||
$ | 1,000,000 | Alabama 21st Century Auth. Tobacco Settlement Rev., 5.25% due 12/1/2009 | Baa1/A- | $ | 1,079,270 | |||||
160,000 | Alabama 21St Century Authority Tobacco, 5.75% due 12/1/2019 | Baa1/A- | 169,786 | |||||||
1,249,056 | ||||||||||
Alaska — 1.4% | ||||||||||
1,300,000 | Northern Tobacco Securitization Corp., 5.80% due 6/1/2012 | Baa3/BBB | 1,397,201 | |||||||
Arizona — 2.9% | ||||||||||
1,500,000 | Phoenix, AZ Civic Impt. Corp. Wtr. Sys. Rev., 5.50% due 7/1/2020 | Aaa/AAA | 1,666,830 | |||||||
1,000,000 | Phoenix, AZ G.O. Ser. B, 5.375% due 7/1/2020 | Aa1/AA+ | 1,115,970 | |||||||
2,782,800 | ||||||||||
Arkansas — 1.1% | ||||||||||
1,000,000 | Arkansas St. G.O. Fed. Hwy. Grant Ser. A, 5.50% due 8/1/2011 | Aa2/AA | 1,096,280 | |||||||
California — 8.5% | ||||||||||
2,000,000 | California St. G.O., 5.25% due 11/1/2027 | A3/A | 2,166,500 | |||||||
2,000,000 | California St. Pub. Wks. Brd. Dept. of Mental Hlth., 5.50% due 6/1/2023 | Baa1/A- | 2,182,060 | |||||||
750,000 | Golden St. Tobacco Securitization Corp. Ser. 2003-A-1, 5.00% due 6/1/2012 | Baa3/BBB | 797,145 | |||||||
1,250,000 | Metropolitan Wtr. Dist. South California Wtrwks. Rev. Ser. B-1, 5.00% due 10/1/2029 | Aaa/AAA | 1,335,088 | |||||||
1,690,000 | Napa Valley, CA Unified Sch. Dist. G.O., 5.00% due 8/1/2028 | Aaa/AAA | 1,823,087 | |||||||
8,303,880 | ||||||||||
Connecticut — 1.1% | ||||||||||
100,000 | Connecticut St. Hlth. & Educational Facs. Auth. Rev. Yale Univ. Ser. U, 2.30% due 7/1/2033 (1) | Aaa/AAA | 100,000 | |||||||
1,000,000 | Connecticut St. Special Tax Obligation Rev. Trans. Infrastructure Ser. 1, 2.40% due 9/1/2020 (1) | Aaa/AAA | 1,000,000 | |||||||
1,100,000 | ||||||||||
Florida — 5.3% | ||||||||||
1,500,000 | Florida St. Brd. of Ed. Lottery Rev. Ser. C, 5.25% due 7/1/2016 | Aaa/AAA | 1,640,400 | |||||||
1,000,000 | Lakes By The Bay South Community, 6.25% due 5/1/2034 | NR/NR | 1,067,170 | |||||||
2,255,000 | St. Johns Cnty., FL Sales Tax Rev., 5.25% due 10/1/2027 | Aaa/AAA | 2,478,042 | |||||||
5,185,612 | ||||||||||
Georgia — 2.5% | ||||||||||
1,000,000 | Fulton Cnty., GA Dev. Auth. Rev. Georgia Tech. Foundation Ser. A, 5.125% due 11/1/2021 | Aa1/AA+ | 1,083,110 | |||||||
350,000 | Gainesville, GA Wtr. & Swg. Rev., 5.25% due 11/15/2018 | Aaa/AAA | 381,920 | |||||||
1,000,000 | Municipal Electric Auth. Georgia, 2.33% due 1/1/2026 (1) | Aaa/AAA | 1,000,000 | |||||||
2,465,030 | ||||||||||
Illinois — 1.1% | ||||||||||
1,000,000 | Chicago, IL Brd. of Ed. Ser. A, 5.25% due 12/1/2018 | Aaa/AAA | 1,097,500 | |||||||
Iowa — 3.4% | ||||||||||
Tobacco Settlement Auth. IA Rev. Ser. B, | ||||||||||
1,615,000 | 5.50% due 6/1/2011 | Baa3/BBB | 1,741,180 | |||||||
1,500,000 | 5.60% due 6/1/2035 | Baa3/BBB | 1,538,715 | |||||||
3,279,895 | ||||||||||
Kansas — 2.6% | ||||||||||
1,300,000 | Kansas St. Dev. Fin. Auth. Lease, 5.125% due 4/1/2022 | Aaa/AAA | 1,415,856 | |||||||
1,000,000 | Wyandotte Cnty., Kansas City, KS Impt. Ser. B, 5.00% due 9/1/2028 | Aaa/AAA | 1,065,700 | |||||||
2,481,556 | ||||||||||
Maryland — 1.1% | ||||||||||
1,000,000 | Prince Georges Cnty., MD Industrial Dev. Auth. Ref., 5.00% due 6/30/2019 | Aaa/AAA | 1,089,870 | |||||||
Massachusetts — 4.4% | ||||||||||
1,500,000 | Massachusetts St. Housing Fin. Agy. Ser. B, 5.00% due 6/1/2030 | Aa3/AA- | 1,549,560 | |||||||
1,500,000 | Massachusetts St. Special Obligation Rev., 5.25% due 1/1/2028 | Aaa/AAA | 1,681,920 | |||||||
1,000,000 | Massachusetts St. Wtr. Resources Auth. Rev. Ser. A, 5.00% due 8/1/2029 | Aaa/AAA | 1,064,450 | |||||||
4,295,930 | ||||||||||
See notes to financial statements.
65
Table of Contents
n | The Guardian Tax-Exempt Fund |
Schedule of Investments (Continued) |
June 30, 2005 (Unaudited)
Rating | ||||||||||
Principal | Moody’s/ | |||||||||
Amount | S&P* | Value | ||||||||
Michigan — 1.5% | ||||||||||
$ | 1,500,000 | Michigan St. Univ. Rev. Ser. A, 2.35% due 8/15/2030 (1) | A2/AA | $ | 1,500,000 | |||||
Minnesota — 5.5% | ||||||||||
2,000,000 | Minnesota St. Muni. Power Agy. Electric, 5.25% due 10/1/2024 | A3/NR | 2,180,060 | |||||||
1,500,000 | Rochester, MN Waste Wtr. Ser. A G.O., 5.00% due 2/1/2026 | Aaa/AAA | 1,609,620 | |||||||
1,500,000 | St. Paul, MN Port Auth. Lease Rev., 5.125% due 12/1/2027 | Aa2/AA+ | 1,605,000 | |||||||
5,394,680 | ||||||||||
Missouri — 1.1% | ||||||||||
1,000,000 | Camdenton, MO Reorganized Sch. Dist. Ref. & Impt. G.O., 5.25% due 3/1/2024 | Aaa/AAA | 1,102,600 | |||||||
New Jersey — 6.7% | ||||||||||
3,000,000 | New Jersey St. Housing & Mtg. Fin. Agy. Rev. Ser. N, 2.35% due 10/1/2017 (1) | Aa2/AA | 3,000,000 | |||||||
Tobacco Settlement Financing Corp., | ||||||||||
1,500,000 | 5.50% due 6/1/2011 | Baa3/BBB | 1,617,195 | |||||||
1,735,000 | 5.50% due 6/1/2012 | Baa3/BBB | 1,868,873 | |||||||
6,486,068 | ||||||||||
New York — 8.6% | ||||||||||
1,500,000 | Metropolitan Transportation, 5.00% due 11/15/2031 | A2/A | 1,593,390 | |||||||
1,255,000 | New York City Industrial Dev. Agy., 5.25% due 3/1/2018 | Aaa/AAA | 1,386,198 | |||||||
2,000,000 | New York St. Dormitory Auth. Rev. Mental Hlth. Facs. Impt. B, 5.00% due 2/15/2030 | Aaa/AAA | 2,138,400 | |||||||
1,500,000 | New York St. Urban Dev. Corp., 5.25% due 1/1/2021 | NR/AA- | 1,601,175 | |||||||
1,500,000 | Sales Tax Asset Receivable Corp. Ser. A Rev., 5.00% due 10/15/2029 | Aaa/AAA | 1,618,815 | |||||||
8,337,978 | ||||||||||
North Carolina — 7.7% | ||||||||||
1,345,000 | Appalachian St. Univ. NC Rev. Ref., 5.00% due 7/15/2025 | Aaa/NR | 1,454,012 | |||||||
1,800,000 | North Carolina Educational Facs. Fin. Agy. Rev. Duke Univ. Proj. Ser. B, 2.35% due 12/1/2021 (1) | Aa1/AA+ | 1,800,000 | |||||||
2,000,000 | North Carolina St. Univ. NC Raleigh Rev. General Ser. A, 5.00% due 10/1/2024 | Aaa/AAA | 2,178,800 | |||||||
2,100,000 | North Carolina St. Univ. NC Raleigh Rev. Ser. A, 2.35% due 12/15/2019 (1) | Aaa/AAA | 2,100,000 | |||||||
7,532,812 | ||||||||||
Ohio — 1.2% | ||||||||||
1,050,000 | Univ. of Cincinnati, OH General Rcpts. Ser. A, 5.50% due 6/1/2011 | Aaa/AAA | 1,180,725 | |||||||
Pennsylvania — 1.7% | ||||||||||
1,500,000 | Philadelphia, PA Wtr. & Wastewtr. Rev. Ser. A, 5.00% due 7/1/2029 | Aaa/AAA | 1,607,160 | |||||||
Puerto Rico — 5.6% | ||||||||||
570,000 | Childrens Trust Fund Prior, 5.375% due 5/15/2033 | Baa3/BBB | 588,924 | |||||||
2,000,000 | Puerto Rico Comwlth., 5.00% due 7/1/2029 | Baa2/BBB | 2,103,420 | |||||||
1,000,000 | Puerto Rico Muni. Fin. Agency Ser. A, 5.25% due 8/1/2021 | Aaa/AAA | 1,113,370 | |||||||
1,500,000 | Puerto Rico Pub. Bldgs. Auth. Rev. Gov’t. Facs. Ser. I, 5.50% due 7/1/2020 | Baa2/BBB | 1,695,015 | |||||||
5,500,729 | ||||||||||
South Carolina — 7.2% | ||||||||||
350,000 | Charleston Cnty., SC Sch. Dist. Ref. Ser. B, 5.00% due 2/1/2016 | Aa1/AA+ | 379,284 | |||||||
1,250,000 | Charleston, SC Wtrwks. & Swr. Rev., 5.25% due 1/1/2018 | Aa3/AA- | 1,370,625 | |||||||
1,000,000 | Mount Pleasant, SC Wtr. & Swr. Rev. Ref. & Impt., 5.25% due 12/1/2019 | Aaa/AAA | 1,107,720 | |||||||
2,000,000 | Piedmont Muni. Power Agy. SC Electric Rev. Ref. Ser. B, 2.40% due 1/1/2019 (1) | Aaa/AAA | 2,000,000 | |||||||
2,000,000 | Tobacco Settlement Rev. Management, 6.00% due 5/15/2022 | Baa3/BBB | 2,117,160 | |||||||
6,974,789 | ||||||||||
Tennessee — 0.8% | ||||||||||
700,000 | Knox Cnty., TN Pub. Impt. G.O., 5.375% due 5/1/2020 | Aa2/AA | 755,776 | |||||||
Virginia — 3.2% | ||||||||||
1,430,000 | Newport News, VA Gen. Impt. Ser. D, 5.00% due 12/1/2022 | Aa2/AA | 1,551,607 |
See notes to financial statements.
66
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n | The Guardian Tax-Exempt Fund |
Schedule of Investments (Continued) |
June 30, 2005 (Unaudited)
Rating | ||||||||||
Principal | Moody’s/ | |||||||||
Amount | S&P* | Value | ||||||||
$ | 1,500,000 | Tobacco Settlement Financing Corp., 5.50% due 6/1/2026 | Baa3/BBB | $ | 1,541,415 | |||||
3,093,022 | ||||||||||
Washington — 5.2% | ||||||||||
1,250,000 | Snohomish Cnty., WA G.O., 5.375% due 12/1/2019 | Aaa/AAA | 1,378,075 | |||||||
2,000,000 | Tobacco Settlement Auth. WA Rev., 6.25% due 6/1/2011 | Baa3/BBB | 2,234,420 | |||||||
1,500,000 | Univ. of Washington Univ. Rev. General Ser. A Rev., 2.40% due 12/1/2036 (1) | Aaa/AAA | 1,500,000 | |||||||
5,112,495 | ||||||||||
Wisconsin — 5.1% | ||||||||||
Badger Tobacco Asset Securitization Corp., | ||||||||||
1,500,000 | 5.50% due 6/1/2010 | Baa3/BBB | 1,613,025 | |||||||
2,070,000 | 5.75% due 6/1/2011 | Baa3/BBB | 2,258,701 | |||||||
1,005,000 | 6.00% due 6/1/2017 | Baa3/BBB | 1,060,004 | |||||||
4,931,730 | ||||||||||
Total Municipal Bonds (Cost $90,932,628) | 95,335,174 | |||||||||
Total Investments — 97.8% (Cost $90,932,628) | 95,335,174 | |||||||||
Cash, Receivables and Other Assets Less Liabilities — 2.2% | 2,130,210 | |||||||||
Net Assets — 100% | $ | 97,465,384 | ||||||||
* | Unaudited. |
(1) | Variable rate demand notes. |
Glossary:
G.O. — General Obligation.
See notes to financial statements.
67
Table of Contents
n | The Guardian Cash Management Fund |
Schedule of Investments |
June 30, 2005 (unaudited)
Corporate Bonds — 4.8% |
Principal | Maturity | ||||||||||||
Amount | Date | Value | |||||||||||
Capital Markets — 1.5% | |||||||||||||
Goldman Sachs Group LP | |||||||||||||
$ | 3,500,000 | 6.34% | 3/1/2006 | † | $ | 3,561,369 | |||||||
3,000,000 | 7.25% | 10/1/2005 | 3,031,284 | ||||||||||
6,592,653 | |||||||||||||
Diversified Financial Services — 1.1% | |||||||||||||
5,000,000 | CIT Group, Inc. | ||||||||||||
6.50% | 2/7/2006 | 5,078,480 | |||||||||||
Financial–Banks — 2.2% | |||||||||||||
1,500,000 | Citicorp | ||||||||||||
6.75% | 8/15/2005 | 1,506,973 | |||||||||||
3,335,000 | First Union Corp. | ||||||||||||
7.05% | 8/1/2005 | 3,346,712 | |||||||||||
5,000,000 | First Union National Bank | ||||||||||||
3.45% | 7/13/2005 | 5,004,084 | |||||||||||
9,857,769 | |||||||||||||
Total Corporate Bonds | |||||||||||||
(Cost $21,528,902) | 21,528,902 | ||||||||||||
Certificates of Deposit — 5.6% | |||||||||||||
$ | 5,000,000 | Bank of America NA | |||||||||||
3.18% | 8/17/2005 | $ | 5,000,000 | ||||||||||
5,000,000 | Barclays Bank PLC | ||||||||||||
3.11% | 7/11/2005 | 5,000,024 | |||||||||||
5,000,000 | Depfa Bank PLC | ||||||||||||
3.23% | 8/23/2005 | 5,000,000 | |||||||||||
5,000,000 | Societe Generale NA | ||||||||||||
3.10% | 6/7/2006 | 5,000,000 | |||||||||||
5,000,000 | Washington Mutual | ||||||||||||
3.09% | 7/18/2005 | 5,000,000 | |||||||||||
Total Certificates of Deposit | |||||||||||||
(Cost $25,000,024) | 25,000,024 | ||||||||||||
U.S. Government Securities — 2.2% | |||||||||||||
U.S. Government Agency Securities — 2.2% | |||||||||||||
$ | 5,000,000 | FHLB | |||||||||||
1.75% | 8/15/2005 | $ | 4,990,946 | ||||||||||
5,000,000 | FNMA | ||||||||||||
2.32% | 9/30/2005 | 5,000,000 | |||||||||||
Total U.S. Government Securities | |||||||||||||
(Cost $9,990,946) | 9,990,946 | ||||||||||||
Commercial Paper — 65.4% | |||||||||||||
ASSET BACKED — 5.6% | |||||||||||||
Barton Capital Corp. | |||||||||||||
$ | 3,000,000 | 3.14% | 7/1/2005 | $ | 3,000,000 | ||||||||
7,325,000 | 3.16% | 7/13/2005 | 7,317,286 | ||||||||||
5,000,000 | Sheffield Receivables Corp. | ||||||||||||
3.22% | 7/20/2005 | 4,991,503 | |||||||||||
10,000,000 | Surrey Funding Corp. | ||||||||||||
3.08% | 7/6/2005 | 9,995,722 | |||||||||||
TOTAL ASSET BACKED | 25,304,511 | ||||||||||||
FINANCIAL — 24.2% | |||||||||||||
Automotive — 3.3% | |||||||||||||
$ | 5,000,000 | American Honda Fin. Corp. | |||||||||||
3.01% | 7/7/2005 | $ | 4,997,492 | ||||||||||
10,000,000 | Toyota Motor Credit Corp. | ||||||||||||
3.08% | 7/18/2005 | 9,985,455 | |||||||||||
14,982,947 | |||||||||||||
Capital Markets — 2.2% | |||||||||||||
10,000,000 | J.P. Morgan Chase | ||||||||||||
3.27% | 8/22/2005 | 9,952,767 | |||||||||||
Diversified Financial Services — 1.1% | |||||||||||||
5,000,000 | Credit Suisse First Boston | ||||||||||||
3.36% | 9/22/2005 | 4,961,267 | |||||||||||
Finance Companies — 3.4% | |||||||||||||
5,000,000 | Siemens Capital Corp. | ||||||||||||
2.97% | 7/1/2005 | 5,000,000 | |||||||||||
10,000,000 | USAA Capital Corp. | ||||||||||||
3.10% | 7/5/2005 | 9,996,555 | |||||||||||
14,996,555 | |||||||||||||
Financial–Banks — 7.9% | |||||||||||||
5,000,000 | Abbey National NA LLC | ||||||||||||
3.07% | 7/12/2005 | 4,995,310 | |||||||||||
5,000,000 | BNP Paribas Finance | ||||||||||||
3.017% | 7/1/2005 | 5,000,000 | |||||||||||
5,450,000 | Dexia Delaware LLC | ||||||||||||
3.36% | 9/13/2005 | 5,412,359 | |||||||||||
10,000,000 | Dresdner Bank AG | ||||||||||||
3.205% | 8/23/2005 | 9,952,815 | |||||||||||
10,000,000 | UBS Finance, Inc. | ||||||||||||
3.265% | 8/11/2005 | 9,962,815 | |||||||||||
35,323,299 | |||||||||||||
Financial–Other — 6.3% | |||||||||||||
5,000,000 | Citigroup, Inc. | ||||||||||||
3.06% | 7/1/2005 | 5,000,000 | |||||||||||
8,300,000 | Cooperative Associates Tractor Dealers | ||||||||||||
3.32% | 7/6/2005 | 8,296,173 | |||||||||||
10,000,000 | Countrywide Fin. Corp. | ||||||||||||
3.30% | 7/27/2005 | 9,976,167 | |||||||||||
5,000,000 | Govco, Inc. | ||||||||||||
3.34% | 9/16/2005 | 4,964,280 | |||||||||||
28,236,620 | |||||||||||||
TOTAL FINANCIAL | 108,453,455 | ||||||||||||
INDUSTRIAL — 35.6% | |||||||||||||
Automotive — 2.2% | |||||||||||||
$ | 10,000,000 | BMW US Capital LLC | |||||||||||
3.16% | 7/19/2005 | $ | 9,984,200 | ||||||||||
Beverage — 4.5% | |||||||||||||
5,000,000 | Coca-Cola Co. | ||||||||||||
3.29% | 9/6/2005 | 4,969,385 | |||||||||||
5,000,000 | Coca-Cola Enterprises, Inc. | ||||||||||||
3.02% | 7/5/2005 | 4,998,322 | |||||||||||
10,000,000 | PepsiCo., Inc. | ||||||||||||
3.03% | 7/5/2005 | 9,996,633 | |||||||||||
19,964,340 | |||||||||||||
See notes to financial statements.
68
Table of Contents
n | The Guardian Cash Management Fund |
Schedule of Investments (Continued) |
June 30, 2005 (unaudited)
Principal | Maturity | ||||||||||||
Amount | Date | Value | |||||||||||
Computer Systems — 1.1% | |||||||||||||
$ | 5,000,000 | Hewlett Packard Co. | |||||||||||
3.10% | 7/25/2005 | $ | 4,989,667 | ||||||||||
Conglomerates — 2.3% | |||||||||||||
General Electric Capital Corp. | |||||||||||||
5,000,000 | 3.10% | 7/25/2005 | 4,989,666 | ||||||||||
5,150,000 | 3.37% | 9/22/2005 | 5,109,986 | ||||||||||
10,099,652 | |||||||||||||
Electronics and Instruments — 1.1% | |||||||||||||
5,000,000 | Sharp Electronics | ||||||||||||
3.23% | 8/8/2005 | 4,982,953 | |||||||||||
Food and Beverage — 2.2% | |||||||||||||
10,000,000 | Unilever Capital Corp. | ||||||||||||
3.16% | 7/1/2005 | 10,000,000 | |||||||||||
Food Products — 2.2% | |||||||||||||
10,000,000 | Nestle Capital Corp. | ||||||||||||
2.965% | 7/1/2005 | 10,000,000 | |||||||||||
Health Care Equipment and Supplies — 2.2% | |||||||||||||
10,000,000 | Medtronic, Inc. | ||||||||||||
3.12% | 7/7/2005 | 9,994,800 | |||||||||||
Household Durables — 2.2% | |||||||||||||
Stanley Works | |||||||||||||
5,000,000 | 3.09% | 7/18/2005 | 4,992,704 | ||||||||||
5,000,000 | 3.29% | 8/29/2005 | 4,973,040 | ||||||||||
9,965,744 | |||||||||||||
Machinery–Industrial Specialty — 1.1% | |||||||||||||
5,000,000 | Caterpillar Fin. Svcs. | ||||||||||||
3.14% | 8/16/2005 | 4,979,939 | |||||||||||
Media — 2.2% | |||||||||||||
10,000,000 | Gannett Co., Inc. | ||||||||||||
3.08% | 7/5/2005 | 9,996,578 | |||||||||||
Merchandising–Mass — 2.2% | |||||||||||||
10,000,000 | Wal-Mart Stores, Inc. | ||||||||||||
3.08% | 7/5/2005 | 9,996,578 | |||||||||||
Pharmaceuticals — 3.4% | |||||||||||||
Alcon Fin. | |||||||||||||
5,000,000 | 3.01% | 7/1/2005 | 5,000,000 | ||||||||||
5,000,000 | 3.17% | 7/26/2005 | 4,988,993 | ||||||||||
5,000,000 | Novartis | ||||||||||||
3.25% | 7/7/2005 | 4,997,291 | |||||||||||
14,986,284 | |||||||||||||
Transport Services — 2.2% | |||||||||||||
10,000,000 | Netjets, Inc. | ||||||||||||
3.33% | 9/9/2005 | 9,935,250 | |||||||||||
Utilities–Electric and Water — 4.5% | |||||||||||||
10,000,000 | National Rural Utilities Coop. Fin. | ||||||||||||
3.25% | 7/28/2005 | 9,975,625 | |||||||||||
10,000,000 | Southern Co. | ||||||||||||
3.16% | 7/18/2005 | 9,985,078 | |||||||||||
19,960,703 | |||||||||||||
TOTAL INDUSTRIAL | 159,836,688 | ||||||||||||
Total Commercial Paper | |||||||||||||
(Cost $293,594,654) | 293,594,654 | ||||||||||||
Taxable Municipal Securities — 20.6% |
Principal | Reset | ||||||||||||
Amount | Date* | Value | |||||||||||
California — 3.5% | |||||||||||||
$ | 7,465,000 | California Housing Fin. Agency | |||||||||||
3.31% | 7/6/2005 | $ | 7,465,000 | ||||||||||
8,100,000 | Sacramento Cnty., CA | ||||||||||||
3.31% | 7/6/2005 | 8,100,000 | |||||||||||
15,565,000 | |||||||||||||
Colorado — 2.9% | |||||||||||||
Colorado Housing & Fin. Auth. | |||||||||||||
6,800,000 | 3.32% | 7/6/2005 | 6,800,000 | ||||||||||
6,000,000 | 3.32% | 7/6/2005 | 6,000,000 | ||||||||||
12,800,000 | |||||||||||||
Connecticut — 1.8% | |||||||||||||
8,000,000 | Connecticut St. Housing & Fin. Auth. | ||||||||||||
3.31% | 7/7/2005 | 8,000,000 | |||||||||||
Michigan — 0.9% | |||||||||||||
4,000,000 | Michigan St. Housing Dev. Auth. | ||||||||||||
3.32% | 7/6/2005 | 4,000,000 | |||||||||||
New York — 5.9% | |||||||||||||
16,355,000 | New York City Trans. | ||||||||||||
3.32% | 7/6/2005 | 16,355,000 | |||||||||||
8,000,000 | New York St. Dormitory Auth. Rev. | ||||||||||||
3.32% | 7/7/2005 | 8,000,000 | |||||||||||
2,000,000 | New York St. Urban Dev. Corp. | ||||||||||||
2.24% | 12/15/2005 | 1,987,776 | |||||||||||
26,342,776 | |||||||||||||
See notes to financial statements.
69
Table of Contents
n | The Guardian Cash Management Fund |
Schedule of Investments (Continued) |
June 30, 2005 (unaudited)
Principal | Reset | ||||||||||||
Amount | Date* | Value | |||||||||||
Utah — 4.4% | |||||||||||||
Utah Housing Corp. Single Family | |||||||||||||
$ | 9,825,000 | 3.32% | 7/6/2005 | $ | 9,825,000 | ||||||||
3,465,000 | 3.32% | 1/1/2033 | 3,465,000 | ||||||||||
6,655,000 | Utah St. Housing Fin. Agency | ||||||||||||
3.32% | 7/6/2005 | 6,655,000 | |||||||||||
19,945,000 | |||||||||||||
Washington — 1.2% | |||||||||||||
5,595,000 | Seattle, WA | ||||||||||||
2.40% | 8/31/2005 | 5,595,000 | |||||||||||
Total Taxable Municipal Securities | |||||||||||||
(Cost $92,247,776) | 92,247,776 | ||||||||||||
Repurchase Agreement — 1.2% |
Principal | �� | ||||||||||||
Amount | Value | ||||||||||||
$ | 5,315,000 | State Street Bank and Trust Co. repurchase agreement, dated 6/30/2005, maturity value $5,315,472 at 3.20% due 7/1/2005 (1) | |||||||||||
(Cost $5,315,000) | $ | 5,315,000 | |||||||||||
Total Investments — 99.8% (Cost $447,677,302) | 447,677,302 | ||||||||||||
Cash, Receivables and Other Assets Less Liabilities — 0.2% | 922,176 | ||||||||||||
Net Assets — 100% | $ | 448,599,478 | |||||||||||
* | Floating rate note. The rate shown is the rate in effect at June 30, 2005. |
† | Securities exempt from registration under Rule 144A of the Securities Act of 1933. These securities may be resold in transactions exempt from registration, normally to certain qualified buyers. At June 30, 2005, the aggregate market value of these securities amounted to $3,561,369 representing 0.8% of net assets. |
(1) | The repurchase agreement is collateralized by $5,350,000 in U.S. Government Agency 4.30%, due 2/4/10, with a value of $5,423,563. |
See notes to financial statements.
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n | The Park Avenue Portfolio |
Statements of Assets and Liabilities |
June 30, 2005 (Unaudited)
The Guardian | The Guardian | The Guardian | The Guardian | The Guardian | ||||||||||||||||||
Park Avenue | UBS Large | Park Avenue | UBS Small | Asset | ||||||||||||||||||
Fund | Cap Value | Small Cap | Cap Value | Allocation | ||||||||||||||||||
Fund | Fund | Fund | Fund | |||||||||||||||||||
ASSETS | ||||||||||||||||||||||
Investments, at identified cost (includes majority-owned subsidiary of $132,857,668 for GAAF) | $ | 844,211,103 | $ | 66,281,696 | $ | 163,215,919 | $ | 36,268,721 | $ | 152,340,735 | ||||||||||||
Investments, at market — Note 1 (includes majority-owned subsidiary of $125,424,216 for GAAF) | 946,117,424 | 86,430,057 | 177,505,753 | 43,375,880 | 144,236,667 | |||||||||||||||||
Cash | 592 | 664 | 978 | 16,371 | 879 | |||||||||||||||||
Foreign currency (cost $18,632 GBGIF and $1,642,629 GBGEMF, respectively) | — | — | — | — | — | |||||||||||||||||
Receivable for securities sold | 6,282,261 | 218,214 | 1,894,613 | 594,504 | — | |||||||||||||||||
Dividends receivable | 790,249 | 81,386 | 227,815 | 25,240 | 14,756 | |||||||||||||||||
Receivable for fund shares sold | 219,875 | 47,449 | 87,651 | 2,607 | 4,928 | |||||||||||||||||
Interest receivable | 1,224 | 91 | 373 | 114 | 396 | |||||||||||||||||
Receivable for variation margin — Note 1 | — | — | — | — | 53,650 | |||||||||||||||||
Dividend reclaim receivable | — | — | — | — | — | |||||||||||||||||
Principal paydowns receivable | — | — | — | — | — | |||||||||||||||||
Other assets | 51,257 | 4,434 | 10,021 | 2,421 | 7,657 | |||||||||||||||||
Total Assets | 953,462,882 | 86,782,295 | 179,727,204 | 44,017,137 | 144,318,933 | |||||||||||||||||
LIABILITIES | ||||||||||||||||||||||
Payable for securities purchased | 9,538,895 | 231,166 | 921,664 | 868,210 | — | |||||||||||||||||
Payable for fund shares redeemed | 1,291,741 | 2,283 | 220,905 | 1,167 | 224,214 | |||||||||||||||||
Accrued expenses | 288,686 | 68,126 | 41,612 | 55,736 | 50,555 | |||||||||||||||||
Payable for variation margin — Note 1 | — | — | — | — | — | |||||||||||||||||
Accrued foreign capital gains tax | — | — | — | — | — | |||||||||||||||||
Payable for forward mortgage securities purchased — Note 7 | — | — | — | — | — | |||||||||||||||||
Distributions payable | — | — | — | — | — | |||||||||||||||||
Due to GIS | 622,149 | 77,913 | 166,215 | 37,966 | 37,590 | |||||||||||||||||
Total Liabilities | 11,741,471 | 379,488 | 1,350,396 | 963,079 | 312,359 | |||||||||||||||||
Net Assets | $ | 941,721,411 | $ | 86,402,807 | $ | 178,376,808 | $ | 43,054,058 | $ | 144,006,574 | ||||||||||||
COMPONENTS OF NET ASSETS | ||||||||||||||||||||||
Shares of beneficial interest, at par | $ | 312,820 | $ | 65,076 | $ | 104,526 | $ | 33,756 | $ | 127,431 | ||||||||||||
Additional paid-in capital | 1,500,929,330 | 61,424,305 | 152,684,062 | 32,697,023 | 202,636,695 | |||||||||||||||||
Undistributed/(distribution in excess of) net investment income | 553,156 | (16,416 | ) | (507,894 | ) | (185,969 | ) | 647,014 | ||||||||||||||
Accumulated net realized gain/(loss) on investments and foreign currency related transactions | (661,980,216 | ) | 4,781,481 | 11,806,280 | 3,402,089 | (51,376,641 | ) | |||||||||||||||
Net unrealized appreciation/(depreciation) of investments and foreign currency related transactions | 101,906,321 | 20,148,361 | 14,289,834 | 7,107,159 | (8,027,925 | ) | ||||||||||||||||
Net Assets | $ | 941,721,411 | $ | 86,402,807 | $ | 178,376,808 | $ | 43,054,058 | $ | 144,006,574 | ||||||||||||
NET ASSETS | ||||||||||||||||||||||
Class A | $ | 834,065,210 | $ | 24,570,657 | $ | 139,990,585 | $ | 13,051,374 | $ | 101,549,402 | ||||||||||||
Class B | $ | 92,747,609 | $ | 21,232,376 | $ | 17,478,581 | $ | 10,017,891 | $ | 24,567,266 | ||||||||||||
Class C | $ | 6,090,404 | $ | 19,569,664 | $ | 9,518,218 | $ | 9,420,905 | $ | 8,290,429 | ||||||||||||
Class K | $ | 8,818,188 | $ | 21,030,110 | $ | 11,389,424 | $ | 10,563,888 | $ | 9,599,477 | ||||||||||||
Shares of Beneficial Interest Outstanding — $0.01 Par Value | ||||||||||||||||||||||
Class A | 27,591,015 | 1,848,194 | 8,073,598 | 1,012,250 | 8,975,789 | |||||||||||||||||
Class B | 3,185,380 | 1,601,568 | 1,102,449 | 793,725 | 2,182,066 | |||||||||||||||||
Class C | 212,421 | 1,476,043 | 605,455 | 746,486 | 736,106 | |||||||||||||||||
Class K | 293,227 | 1,581,828 | 671,131 | 823,173 | 849,117 | |||||||||||||||||
Net Asset Value Per Share | ||||||||||||||||||||||
Class A | $30.23 | $ | 13.29 | $ | 17.34 | $ | 12.89 | $ | 11.31 | |||||||||||||
Class B | $29.12 | $ | 13.26 | $ | 15.85 | $ | 12.62 | $ | 11.26 | |||||||||||||
Class C | $28.67 | $ | 13.26 | $ | 15.72 | $ | 12.62 | $ | 11.26 | |||||||||||||
Class K | $30.07 | $ | 13.29 | $ | 16.97 | $ | 12.83 | $ | 11.31 | |||||||||||||
Maximum Offering Price Per Share | ||||||||||||||||||||||
Class A (Net Asset Value × 104.71%)* | $31.65 | $ | 13.92 | $ | 18.16 | $ | 13.50 | $ | 11.84 | |||||||||||||
Class A (Net Asset Value × 103.09%)* | — | — | — | — | — |
* | Based on sale of less than $100,000. On sale of $100,000 or more, the offering price is reduced. |
** | No load is charged on Class A shares. |
See notes to financial statements.
72
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The Guardian | The Guardian | The Guardian | The Guardian | The Guardian | ||||||||||||||||||||||||||
S&P 500 | Baillie Gifford | Baillie Gifford | Investment | The Guardian | The Guardian | The Guardian | Cash | |||||||||||||||||||||||
Index | International | Emerging | Quality | Low Duration | High Yield | Tax-Exempt | Management | |||||||||||||||||||||||
Fund | Growth Fund | Markets Fund | Bond Fund | Bond Fund | Bond Fund | Fund | Fund | |||||||||||||||||||||||
$ | 171,983,271 | $ | 40,517,249 | $ | 86,889,381 | $ | 146,029,203 | $ | 35,136,983 | $ | 82,958,030 | $ | 90,932,628 | $ | 447,677,302 | |||||||||||||||
179,000,367 | 55,361,220 | 118,470,604 | 148,323,794 | 34,936,061 | 85,213,165 | 95,335,174 | 447,677,302 | |||||||||||||||||||||||
91,950 | 783 | 650 | 63,401 | 57,369 | 79,378 | 157,925 | 63,968 | |||||||||||||||||||||||
— | 18,513 | 1,564,747 | — | — | — | — | — | |||||||||||||||||||||||
— | — | 89,736 | 2,251,233 | 821,465 | 2,710,422 | 2,839,000 | — | |||||||||||||||||||||||
209,660 | 66,570 | 457,373 | — | — | — | — | — | |||||||||||||||||||||||
84,622 | 4,327 | 49,943 | 43,927 | 1,449 | 10,287 | 10,987 | 264,525 | |||||||||||||||||||||||
409 | 2,442 | 90 | 1,060,705 | 291,320 | 1,590,715 | 983,796 | 1,141,450 | |||||||||||||||||||||||
— | — | — | — | — | — | — | — | |||||||||||||||||||||||
— | 13,186 | — | — | — | — | — | — | |||||||||||||||||||||||
— | — | — | 126,915 | — | — | — | — | |||||||||||||||||||||||
8,326 | 2,944 | 5,242 | 7,156 | 1,881 | 4,243 | 4,684 | 22,097 | |||||||||||||||||||||||
179,395,334 | 55,469,985 | 120,638,385 | 151,877,131 | 36,109,545 | 89,608,210 | 99,331,566 | 449,169,342 | |||||||||||||||||||||||
— | — | 392,874 | 3,408,588 | 1,125,640 | 3,907,933 | 1,748,740 | — | |||||||||||||||||||||||
3,292 | 64,834 | 725,388 | 172,947 | 7,413 | 149,224 | 12,437 | 157,428 | |||||||||||||||||||||||
51,209 | 50,689 | 71,593 | 48,414 | 18,295 | 27,934 | 31,440 | 120,313 | |||||||||||||||||||||||
29,600 | — | — | — | — | — | — | — | |||||||||||||||||||||||
— | — | 81,104 | — | — | — | — | — | |||||||||||||||||||||||
— | — | — | 7,987,581 | — | — | — | — | |||||||||||||||||||||||
— | — | — | 91,042 | 1,256 | 38,463 | 6,979 | 2,619 | |||||||||||||||||||||||
90,897 | 22,018 | 44,727 | 104,481 | 32,425 | 75,415 | 66,586 | 289,504 | |||||||||||||||||||||||
174,998 | 137,541 | 1,315,686 | 11,813,053 | 1,185,029 | 4,198,969 | 1,866,182 | 569,864 | |||||||||||||||||||||||
$ | 179,220,336 | $ | 55,332,444 | $ | 119,322,699 | $ | 140,064,078 | $ | 34,924,516 | $ | 85,409,241 | $ | 97,465,384 | $ | 448,599,478 | |||||||||||||||
$ | 219,526 | $ | 43,021 | $ | 78,938 | $ | 139,685 | $ | 35,362 | $ | 114,971 | $ | 93,899 | $ | 4,485,995 | |||||||||||||||
268,296,423 | 78,469,372 | 83,730,014 | 137,009,660 | 35,333,655 | 99,825,125 | 91,864,102 | 444,113,483 | |||||||||||||||||||||||
185,492 | 168,920 | 576,707 | — | — | — | — | — | |||||||||||||||||||||||
(96,455,923 | ) | (38,190,772 | ) | 3,515,003 | 620,142 | (243,579 | ) | (16,785,990 | ) | 1,104,837 | — | |||||||||||||||||||
6,974,818 | 14,841,903 | 31,422,037 | 2,294,591 | (200,922 | ) | 2,255,135 | 4,402,546 | — | ||||||||||||||||||||||
$ | 179,220,336 | $ | 55,332,444 | $ | 119,322,699 | $ | 140,064,078 | $ | 34,924,516 | $ | 85,409,241 | $ | 97,465,384 | $ | 448,599,478 | |||||||||||||||
$ | 145,656,728 | $ | 34,043,226 | $ | 78,057,543 | $ | 105,991,476 | $ | 9,598,586 | $ | 53,975,239 | $ | 86,416,783 | $ | 427,683,652 | |||||||||||||||
$ | 13,148,040 | $ | 5,646,746 | $ | 10,780,875 | $ | 14,951,501 | $ | 8,639,618 | $ | 9,875,729 | — | $ | 6,482,735 | ||||||||||||||||
$ | 9,182,837 | $ | 6,606,576 | $ | 13,611,537 | $ | 10,190,641 | $ | 7,788,000 | $ | 10,290,648 | $ | 11,048,601 | $ | 6,165,040 | |||||||||||||||
$ | 11,232,731 | $ | 9,035,896 | $ | 16,872,744 | $ | 8,930,460 | $ | 8,898,312 | $ | 11,267,625 | — | $ | 8,268,051 | ||||||||||||||||
17,834,980 | 2,581,462 | 5,044,320 | 10,570,629 | 971,933 | 7,264,978 | 8,325,471 | 427,683,652 | |||||||||||||||||||||||
1,613,864 | 473,386 | 768,747 | 1,491,537 | 874,770 | 1,329,922 | — | 6,482,735 | |||||||||||||||||||||||
1,128,184 | 551,467 | 967,244 | 1,016,563 | 788,549 | 1,386,075 | 1,064,470 | 6,165,040 | |||||||||||||||||||||||
1,375,613 | 695,814 | 1,113,449 | 889,744 | 900,954 | 1,516,093 | — | 8,268,051 | |||||||||||||||||||||||
$8.17 | $ | 13.19 | $ | 15.47 | $ | 10.03 | $ | 9.88 | $ | 7.43 | $ | 10.38 | $ | 1.00 | ||||||||||||||||
$8.15 | $ | 11.93 | $ | 14.02 | $ | 10.02 | $ | 9.88 | $ | 7.43 | — | $ | 1.00 | |||||||||||||||||
$8.14 | $ | 11.98 | $ | 14.07 | $ | 10.02 | $ | 9.88 | $ | 7.42 | $ | 10.38 | $ | 1.00 | ||||||||||||||||
$8.17 | $ | 12.99 | $ | 15.15 | $ | 10.04 | $ | 9.88 | $ | 7.43 | — | $ | 1.00 | |||||||||||||||||
$8.55 | $ | 13.81 | $ | 16.20 | $ | 10.50 | — | $ | 7.78 | $ | 10.87 | N/A | ** | |||||||||||||||||
— | — | — | — | $ | 10.19 | — | — | — |
73
Table of Contents
n | The Park Avenue Portfolio |
Statements of Operations |
Six Months Ended June 30, 2005 (Unaudited)
The Guardian | The Guardian | The Guardian | The Guardian | The Guardian | ||||||||||||||||||
Park Avenue | UBS Large | Park Avenue | UBS Small | Asset | ||||||||||||||||||
Fund | Cap Value | Small Cap | Cap Value | Allocation | ||||||||||||||||||
Fund | Fund | Fund | Fund | |||||||||||||||||||
INVESTMENT INCOME | ||||||||||||||||||||||
Dividends (includes $679,663 from a majority- owned subsidiary for GAAF) | $ | 12,760,907 | $ | 971,005 | $ | 797,971 | $ | 289,533 | $ | 880,955 | ||||||||||||
Interest | 118,262 | 16,791 | 44,226 | 22,130 | 61,632 | |||||||||||||||||
Less: Foreign tax withheld | (4,459 | ) | — | (738 | ) | (123 | ) | — | ||||||||||||||
Total Income | 12,874,710 | 987,796 | 841,459 | 311,540 | 942,587 | |||||||||||||||||
Expenses: | ||||||||||||||||||||||
Investment advisory fees — Note 2 | 2,529,097 | 368,647 | 728,555 | 217,532 | 483,587 | |||||||||||||||||
Administrative fees — Class A — Note 2 | 871,140 | 30,767 | 191,329 | 16,265 | 131,447 | |||||||||||||||||
Administrative fees — Class B — Note 2 | 135,627 | 27,420 | 25,648 | 12,753 | 32,716 | |||||||||||||||||
Administrative fees — Class C — Note 2 | 7,725 | 25,735 | 11,470 | 12,127 | 10,305 | |||||||||||||||||
Administrative fees — Class K — Note 2 | 10,616 | 27,117 | 14,404 | 13,238 | 11,527 | |||||||||||||||||
12b-1 fees — Class B — Note 3 | 406,880 | 82,259 | 76,945 | 38,259 | 98,149 | |||||||||||||||||
12b-1 fees — Class C — Note 3 | 23,175 | 77,205 | 34,411 | 36,381 | 30,914 | |||||||||||||||||
12b-1 fees — Class K — Note 3 | 16,985 | 43,387 | 23,046 | 21,180 | 18,444 | |||||||||||||||||
Transfer agent fees — Class A | 632,176 | 17,039 | 72,105 | 17,385 | 68,352 | |||||||||||||||||
Transfer agent fees — Class B | 188,259 | 15,286 | 28,211 | 14,896 | 27,585 | |||||||||||||||||
Transfer agent fees — Class C | 16,117 | 14,459 | 15,237 | 14,502 | 15,177 | |||||||||||||||||
Transfer agent fees — Class K | 681 | 494 | 809 | 482 | 497 | |||||||||||||||||
Custodian fees | 96,212 | 48,275 | 63,958 | 44,380 | 51,053 | |||||||||||||||||
Trustees’ fees — Note 2 | 45,453 | 3,802 | 8,568 | 1,816 | 6,478 | |||||||||||||||||
Printing expense | 37,972 | 4,636 | 7,637 | 3,383 | 6,739 | |||||||||||||||||
Registration fees | 33,898 | 18,429 | 25,505 | 18,629 | 25,587 | |||||||||||||||||
Insurance expense | 26,252 | 2,526 | 4,945 | 1,295 | 3,975 | |||||||||||||||||
Legal fees | 19,398 | 1,091 | 2,732 | 621 | 2,517 | |||||||||||||||||
Audit fees | 14,512 | 11,783 | 11,775 | 11,775 | 11,806 | |||||||||||||||||
Loan commitment fees — Note 9 | 9,570 | 793 | 1,837 | 385 | 1,411 | |||||||||||||||||
Other | 722 | 225 | 226 | 225 | 333 | |||||||||||||||||
Total Expenses before Reimbursement and Custody credits | 5,122,467 | 821,375 | 1,349,353 | 497,509 | 1,038,599 | |||||||||||||||||
Less: Expenses assumed by investment adviser — Note 2 | — | — | — | — | (572,049 | ) | ||||||||||||||||
Custody credits — Note 1 | — | — | — | — | — | |||||||||||||||||
Expenses Net of Reimbursement and Custody credits | 5,122,467 | 821,375 | 1,349,353 | 497,509 | 466,550 | |||||||||||||||||
Net Investment Income/(Loss) | 7,752,243 | 166,421 | (507,894 | ) | (185,969 | ) | 476,037 | |||||||||||||||
REALIZED AND UNREALIZED GAIN/(LOSS) ON INVESTMENTS AND FOREIGN CURRENCIES — NOTE 4 | ||||||||||||||||||||||
Net realized gain/(loss) on investments — Note 1 | 28,531,633 | 4,806,094 | 12,650,398 | 3,414,660 | 272,122 | |||||||||||||||||
Net realized gain/(loss) on futures contracts | — | — | — | — | 488,663 | |||||||||||||||||
Net realized loss on sale of affiliated underlying funds | — | — | — | — | (239,993 | ) | ||||||||||||||||
Net realized loss on foreign currency related transactions — Note 1 | — | — | — | — | — | |||||||||||||||||
Net change in unrealized appreciation/(depreciation) on investments — Note 4 | (66,582,968 | ) | (3,539,495 | ) | (22,652,858 | ) | (3,851,289 | ) | (2,526,051 | ) | ||||||||||||
Unrealized foreign capital gains tax | — | — | — | — | — | |||||||||||||||||
Net change in unrealized appreciation of futures contracts — Note 1 | — | — | — | — | (56,197 | ) | ||||||||||||||||
Net change in unrealized appreciation from translation of other assets and liabilities denominated in foreign currencies — Note 1 | — | — | — | — | — | |||||||||||||||||
Net Realized and Unrealized Gain/(Loss) on Investments and Foreign Currencies | (38,051,335 | ) | 1,266,599 | (10,002,460 | ) | (436,629 | ) | (2,061,456 | ) | |||||||||||||
NET INCREASE/(DECREASE) IN NET ASSETS FROM OPERATIONS | $ | (30,299,092 | ) | $ | 1,433,020 | $ | (10,510,354 | ) | $ | (622,598 | ) | $ | (1,585,419 | ) | ||||||||
See notes to financial statements.
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The Guardian | The Guardian | The Guardian | The Guardian | The Guardian | The Guardian | |||||||||||||||||||||||||
S&P 500 | Baillie Gifford | Baillie Gifford | Investment | The Guardian | High Yield | The Guardian | Cash | |||||||||||||||||||||||
Index | International | Emerging | Quality | Low Duration | Bond | Tax-Exempt | Management | |||||||||||||||||||||||
Fund | Growth Fund | Markets Fund | Bond Fund | Bond Fund | Fund | Fund | Fund | |||||||||||||||||||||||
$ | 1,561,622 | $ | 1,050,997 | $ | 2,024,800 | — | — | — | — | — | ||||||||||||||||||||
51,711 | 11,637 | 16,802 | $ | 3,339,517 | $ | 588,618 | $ | 3,105,394 | $ | 2,086,504 | $ | 6,247,288 | ||||||||||||||||||
— | (120,223 | ) | (195,960 | ) | — | — | — | — | — | |||||||||||||||||||||
1,613,333 | 942,411 | 1,845,642 | 3,339,517 | 588,618 | 3,105,394 | 2,086,504 | 6,247,288 | |||||||||||||||||||||||
218,459 | 223,672 | 548,649 | 352,156 | 75,120 | 257,273 | 235,319 | 1,148,235 | |||||||||||||||||||||||
177,555 | 43,321 | 86,311 | 129,556 | 11,789 | 68,925 | 104,244 | 542,100 | |||||||||||||||||||||||
16,211 | 7,409 | 15,095 | 19,784 | 10,661 | 12,187 | — | 8,830 | |||||||||||||||||||||||
11,546 | 8,222 | 16,009 | 13,701 | 9,611 | 12,579 | 13,416 | 9,857 | |||||||||||||||||||||||
13,147 | 10,945 | 19,747 | 13,037 | 9,673 | 13,506 | — | 13,330 | |||||||||||||||||||||||
48,632 | 22,228 | 45,287 | 59,352 | 31,983 | 36,562 | — | 26,490 | |||||||||||||||||||||||
34,639 | 24,665 | 48,027 | 41,104 | 28,831 | 37,736 | 40,247 | 29,572 | |||||||||||||||||||||||
21,036 | 17,512 | 31,595 | 20,859 | 15,478 | 21,609 | — | 21,327 | |||||||||||||||||||||||
23,614 | 40,389 | 22,972 | 36,085 | 15,581 | 17,157 | 17,728 | 168,330 | |||||||||||||||||||||||
18,453 | 19,267 | 16,692 | 18,105 | 14,723 | 15,890 | — | 12,028 | |||||||||||||||||||||||
15,380 | 14,604 | 15,023 | 15,007 | 14,573 | 14,726 | 14,670 | 3,438 | |||||||||||||||||||||||
978 | 439 | 381 | 895 | 93 | 387 | — | 2,230 | |||||||||||||||||||||||
74,802 | 106,781 | 200,840 | 63,190 | 37,823 | 51,579 | 36,869 | 67,262 | |||||||||||||||||||||||
8,644 | 2,223 | 3,919 | 7,054 | 1,654 | 4,331 | 4,628 | 22,961 | |||||||||||||||||||||||
8,182 | 3,924 | 4,489 | 7,722 | 3,759 | 5,298 | 4,711 | 18,003 | |||||||||||||||||||||||
32,891 | 26,836 | 26,838 | 21,372 | 21,321 | 25,150 | 9,184 | 19,055 | |||||||||||||||||||||||
4,390 | 1,521 | 2,447 | 4,224 | 1,141 | 2,216 | 2,584 | 12,304 | |||||||||||||||||||||||
1,984 | 908 | 1,032 | 1,546 | 496 | 1,052 | 1,157 | 4,791 | |||||||||||||||||||||||
11,823 | 14,537 | 14,537 | 11,823 | 12,859 | 14,579 | 11,823 | 11,441 | |||||||||||||||||||||||
1,450 | 463 | 836 | 1,341 | 296 | 740 | 820 | — | |||||||||||||||||||||||
226 | 242 | 226 | 231 | 275 | 547 | 858 | 240 | |||||||||||||||||||||||
744,042 | 590,108 | 1,120,952 | 838,144 | 317,740 | 614,029 | 498,258 | 2,141,824 | |||||||||||||||||||||||
(176,602 | ) | — | — | (118,159 | ) | (107,851 | ) | (153,331 | ) | (51,662 | ) | (130,070 | ) | |||||||||||||||||
— | — | — | — | — | — | (5,676 | ) | — | ||||||||||||||||||||||
567,440 | 590,108 | 1,120,952 | 719,985 | 209,889 | 460,698 | 440,920 | 2,011,754 | |||||||||||||||||||||||
1,045,893 | 352,303 | 724,690 | 2,619,532 | 378,729 | 2,644,696 | 1,645,584 | 4,235,534 | |||||||||||||||||||||||
(23,924 | ) | 2,304,315 | 3,653,921 | 622,687 | (181,056 | ) | 925,393 | 1,105,703 | — | |||||||||||||||||||||
(29,355 | ) | — | — | — | — | — | — | — | ||||||||||||||||||||||
— | — | — | — | — | — | — | — | |||||||||||||||||||||||
— | (22,094 | ) | (138,952 | ) | — | — | — | — | — | |||||||||||||||||||||
(2,797,147 | ) | (2,841,006 | ) | 4,354,095 | 104,136 | 1,596 | (2,698,351 | ) | 801,939 | — | ||||||||||||||||||||
— | — | (37,520 | ) | — | — | — | — | — | ||||||||||||||||||||||
(148,149 | ) | — | — | — | — | — | — | — | ||||||||||||||||||||||
— | (5,709 | ) | (80,659 | ) | — | — | — | — | — | |||||||||||||||||||||
(2,998,575 | ) | (564,494 | ) | 7,750,885 | 726,823 | (179,460 | ) | (1,772,958 | ) | 1,907,642 | — | |||||||||||||||||||
$ | (1,952,682 | ) | $ | (212,191 | ) | $ | 8,475,575 | $ | 3,346,355 | $ | 199,269 | $ | 871,738 | $ | 3,553,226 | $ | 4,235,534 | |||||||||||||
75
Table of Contents
n | The Park Avenue Portfolio |
Statements of Changes in Net Assets |
The Guardian | The Guardian | The Guardian | |||||||||||||||||||||||||
Park Avenue Fund | UBS Large Cap Value Fund | Park Avenue Small Cap Fund | |||||||||||||||||||||||||
Six Months | Year Ended | Six Months | Year Ended | Six Months | Year Ended | ||||||||||||||||||||||
Ended | December 31, | Ended | December 31, | Ended | December 31, | ||||||||||||||||||||||
June 30, 2005 | 2004 | June 30, 2005 | 2004 | June 30, 2005 | 2004 | ||||||||||||||||||||||
(Unaudited) | (Audited) | (Unaudited) | (Audited) | (Unaudited) | (Audited) | ||||||||||||||||||||||
INCREASE/(DECREASE) IN NET ASSETS | |||||||||||||||||||||||||||
From Operations: | |||||||||||||||||||||||||||
Net investment income/(loss) | $ | 7,752,243 | $ | 9,874,920 | $ | 166,421 | $ | 217,881 | $ | (507,894 | ) | $ | (1,699,438 | ) | |||||||||||||
Net realized gain/(loss) on investments and foreign currency related transactions | 28,531,633 | 43,914,493 | 4,806,094 | 5,880,973 | 12,650,398 | 36,997,666 | |||||||||||||||||||||
Net change in unrealized appreciation/ (depreciation) of investments and foreign currency related transactions | (66,582,968 | ) | 5,480,778 | (3,539,495 | ) | 5,118,409 | (22,652,858 | ) | (6,630,509 | ) | |||||||||||||||||
Net Increase/(Decrease) in Net Assets Resulting from Operations | (30,299,092 | ) | 59,270,191 | 1,433,020 | 11,217,263 | (10,510,354 | ) | 28,667,719 | |||||||||||||||||||
Dividends and Distributions to Shareholders from: | |||||||||||||||||||||||||||
Net investment income | |||||||||||||||||||||||||||
Class A | (8,769,836 | ) | (12,988,844 | ) | (126,193 | ) | (130,775 | ) | — | — | |||||||||||||||||
Class B | — | — | — | — | — | — | |||||||||||||||||||||
Class C | — | — | — | — | — | — | |||||||||||||||||||||
Class K | (81,418 | ) | (97,044 | ) | (83,131 | ) | (61,348 | ) | — | — | |||||||||||||||||
Net realized gain on investments and foreign currency related transactions | |||||||||||||||||||||||||||
Class A | — | — | (326,286 | ) | (2,047,005 | ) | (9,583,549 | ) | (20,434,106 | ) | |||||||||||||||||
Class B | — | — | (285,750 | ) | (1,934,103 | ) | (1,300,413 | ) | (2,882,448 | ) | |||||||||||||||||
Class C | — | — | (263,482 | ) | (1,856,823 | ) | (701,113 | ) | (1,179,600 | ) | |||||||||||||||||
Class K | — | — | (280,565 | ) | (1,898,407 | ) | (783,098 | ) | (1,406,422 | ) | |||||||||||||||||
Total Dividends and Distributions to Shareholders | (8,851,254 | ) | (13,085,888 | ) | (1,365,407 | ) | (7,928,461 | ) | (12,368,173 | ) | (25,902,576 | ) | |||||||||||||||
From Capital Share Transactions: | |||||||||||||||||||||||||||
Net increase/(decrease) in net assets from capital share transactions — Note 8 | (145,684,133 | ) | (232,136,779 | ) | (12,836,412 | ) | 11,055,749 | (25,534,154 | ) | 23,001,400 | |||||||||||||||||
Redemption fees | — | — | — | — | — | — | |||||||||||||||||||||
(145,684,133 | ) | (232,136,779 | ) | (12,836,412 | ) | 11,055,749 | (25,534,154 | ) | 23,001,400 | ||||||||||||||||||
Net Increase/(Decrease) in Net Assets | (184,834,479 | ) | (185,952,476 | ) | (12,768,799 | ) | 14,344,551 | (48,412,681 | ) | 25,766,543 | |||||||||||||||||
NET ASSETS: | |||||||||||||||||||||||||||
Beginning of period | 1,126,555,890 | 1,312,508,366 | 99,171,606 | 84,827,055 | 226,789,489 | 201,022,946 | |||||||||||||||||||||
End of period* | $ | 941,721,411 | $ | 1,126,555,890 | $ | 86,402,807 | $ | 99,171,606 | $ | 178,376,808 | $ | 226,789,489 | |||||||||||||||
* Includes undistributed/(distributions in excess of) net investment income of | $ | 553,156 | $ | 1,652,167 | $ | (16,416 | ) | $ | 26,487 | $ | (507,894 | ) | $ | — |
See notes to financial statements.
76
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The Guardian | ||||||||||||||||||||||||||||||
The Guardian | The Guardian | The Guardian | Baillie Gifford | |||||||||||||||||||||||||||
UBS Small Cap Value Fund | Asset Allocation Fund | S&P 500 Index Fund | International Growth Fund | |||||||||||||||||||||||||||
Six Months | Year Ended | Six Months | Year Ended | Six Months | Year Ended | Six Months | Year Ended | |||||||||||||||||||||||
Ended | December 31, | Ended | December 31, | Ended | December 31, | Ended | December 31, | |||||||||||||||||||||||
June 30, 2005 | 2004 | June 30, 2005 | 2004 | June 30, 2005 | 2004 | June 30, 2005 | 2004 | |||||||||||||||||||||||
(Unaudited) | (Audited) | (Unaudited) | (Audited) | (Unaudited) | (Audited) | (Unaudited) | (Audited) | |||||||||||||||||||||||
$ | (185,969 | ) | $ | (277,382 | ) | $ | 476,037 | $ | 1,739,902 | $ | 1,045,893 | $ | 2,274,307 | $ | 352,303 | $ | (70,715 | ) | ||||||||||||
3,414,660 | 4,594,611 | 520,792 | 2,053,678 | (53,279 | ) | 487,112 | 2,282,221 | 1,214,443 | ||||||||||||||||||||||
(3,851,289 | ) | 2,797,353 | (2,582,248 | ) | 10,480,742 | (2,945,296 | ) | 13,652,953 | (2,846,715 | ) | 6,736,411 | |||||||||||||||||||
(622,598 | ) | 7,114,582 | (1,585,419 | ) | 14,274,322 | (1,952,682 | ) | 16,414,372 | (212,191 | ) | 7,880,139 | |||||||||||||||||||
— | — | (146,316 | ) | (2,400,470 | ) | (793,019 | ) | (1,978,008 | ) | (118,271 | ) | (89,371 | ) | |||||||||||||||||
— | — | — | (271,768 | ) | (31,241 | ) | (89,432 | ) | — | — | ||||||||||||||||||||
— | — | — | (48,522 | ) | (22,560 | ) | (66,023 | ) | — | — | ||||||||||||||||||||
— | — | (3,373 | ) | (141,931 | ) | (40,127 | ) | (94,839 | ) | (25,686 | ) | — | ||||||||||||||||||
(130,846 | ) | (1,668,270 | ) | — | — | — | — | — | — | |||||||||||||||||||||
(102,615 | ) | (1,424,466 | ) | — | — | — | — | — | — | |||||||||||||||||||||
(96,556 | ) | (1,360,553 | ) | — | — | — | — | — | — | |||||||||||||||||||||
(106,567 | ) | (1,415,192 | ) | — | — | — | — | — | — | |||||||||||||||||||||
(436,584 | ) | (5,868,481 | ) | (149,689 | ) | (2,862,691 | ) | (886,947 | ) | (2,228,302 | ) | (143,957 | ) | (89,371 | ) | |||||||||||||||
(4,771,984 | ) | 8,906,264 | (12,695,517 | ) | (20,540,477 | ) | 3,507,161 | 6,679,825 | (1,203,124 | ) | (2,103,573 | ) | ||||||||||||||||||
— | — | — | — | — | — | 283 | 17,925 | |||||||||||||||||||||||
(4,771,984 | ) | 8,906,264 | (12,695,517 | ) | (20,540,477 | ) | 3,507,161 | 6,679,825 | (1,202,841 | ) | (2,085,648 | ) | ||||||||||||||||||
(5,831,166 | ) | 10,152,365 | (14,430,625 | ) | (9,128,846 | ) | 667,532 | 20,865,895 | (1,558,989 | ) | 5,705,120 | |||||||||||||||||||
48,885,224 | 38,732,859 | 158,437,199 | 167,566,045 | 178,552,804 | 157,686,909 | 56,891,433 | 51,186,313 | |||||||||||||||||||||||
$ | 43,054,058 | $ | 48,885,224 | $ | 144,006,574 | $ | 158,437,199 | $ | 179,220,336 | $ | 178,552,804 | $ | 55,332,444 | $ | 56,891,433 | |||||||||||||||
$ | (185,969 | ) | $ | — | $ | 647,014 | $ | 320,666 | $ | 185,492 | $ | 26,546 | $ | 168,920 | $ | (39,426 | ) |
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n | The Park Avenue Portfolio |
Statements of Changes in Net Assets (Continued) |
The Guardian | |||||||||||||||||||||||||||
Baillie Gifford | The Guardian | The Guardian | |||||||||||||||||||||||||
Emerging Markets Fund | Investment Quality Bond Fund | Low Duration Bond Fund | |||||||||||||||||||||||||
Six Months | Year Ended | Six Months | Year Ended | Six Months | Year Ended | ||||||||||||||||||||||
Ended | December 31, | Ended | December 31, | Ended | December 31, | ||||||||||||||||||||||
June 30, 2005 | 2004 | June 30, 2005 | 2004 | June 30, 2005 | 2004 | ||||||||||||||||||||||
(Unaudited) | (Audited) | (Unaudited) | (Audited) | (Unaudited) | (Audited) | ||||||||||||||||||||||
INCREASE/(DECREASE) IN NET ASSETS | |||||||||||||||||||||||||||
From Operations: | |||||||||||||||||||||||||||
Net investment income | $ | 724,690 | $ | 115,635 | $ | 2,619,532 | $ | 5,832,835 | $ | 378,729 | $ | 588,430 | |||||||||||||||
Net realized gain/(loss) on investments and foreign currency related transactions | 3,514,969 | 10,147,991 | 622,687 | 1,606,034 | (181,056 | ) | (28,179 | ) | |||||||||||||||||||
Net change in unrealized appreciation/ (depreciation) of investments and foreign currency related transactions | 4,235,916 | 7,529,328 | 104,136 | (1,524,310 | ) | 1,596 | (294,183 | ) | |||||||||||||||||||
Net Increase in Net Assets Resulting from Operations | 8,475,575 | 17,792,954 | 3,346,355 | 5,914,559 | 199,269 | 266,068 | |||||||||||||||||||||
Dividends and Distributions to Shareholders from: | |||||||||||||||||||||||||||
Net investment income | |||||||||||||||||||||||||||
Class A | — | (116,609 | ) | (2,016,882 | ) | (4,631,841 | ) | (128,488 | ) | (206,517 | ) | ||||||||||||||||
Class B | — | — | (248,621 | ) | (519,948 | ) | (84,192 | ) | (123,667 | ) | |||||||||||||||||
Class C | — | — | (172,124 | ) | (337,129 | ) | (75,887 | ) | (116,473 | ) | |||||||||||||||||
Class K | — | (11,893 | ) | (181,905 | ) | (343,917 | ) | (90,162 | ) | (141,773 | ) | ||||||||||||||||
Net realized gain on investments and foreign currency related transactions | |||||||||||||||||||||||||||
Class A | (1,894,752 | ) | (2,415,890 | ) | (456,618 | ) | (1,090,742 | ) | — | — | |||||||||||||||||
Class B | (288,231 | ) | (515,212 | ) | (64,310 | ) | (164,526 | ) | — | — | |||||||||||||||||
Class C | (361,991 | ) | (519,613 | ) | (44,126 | ) | (109,717 | ) | — | — | |||||||||||||||||
Class K | (416,713 | ) | (601,842 | ) | (38,183 | ) | (103,230 | ) | — | — | |||||||||||||||||
Total Dividends and Distributions to Shareholders | (2,961,687 | ) | (4,181,059 | ) | (3,222,769 | ) | (7,301,050 | ) | (378,729 | ) | (588,430 | ) | |||||||||||||||
From Capital Share Transactions: | |||||||||||||||||||||||||||
Net increase/(decrease) in net assets from capital share transactions — Note 8 | 12,199,098 | 13,696,283 | (4,302,197 | ) | (37,306,362 | ) | 1,387,628 | 2,663,253 | |||||||||||||||||||
Redemption fees | 3,311 | 5,372 | — | — | — | — | |||||||||||||||||||||
12,202,409 | 13,701,655 | (4,302,197 | ) | (37,306,362 | ) | 1,387,628 | 2,663,253 | ||||||||||||||||||||
Net Increase/(Decrease) in Net Assets | 17,716,297 | 27,313,550 | (4,178,611 | ) | (38,692,853 | ) | 1,208,168 | 2,340,891 | |||||||||||||||||||
NET ASSETS: | |||||||||||||||||||||||||||
Beginning of period | 101,606,402 | 74,292,852 | 144,242,689 | 182,935,542 | 33,716,348 | 31,375,457 | |||||||||||||||||||||
End of period* | $ | 119,322,699 | $ | 101,606,402 | $ | 140,064,078 | $ | 144,242,689 | $ | 34,924,516 | $ | 33,716,348 | |||||||||||||||
* Includes undistributed/(distributions in excess of ) net investment income of | $ | 576,707 | $ | (147,983 | ) | $ | — | $ | — | $ | — | $ | — |
See notes to financial statements.
78
Table of Contents
The Guardian | The Guardian | The Guardian | ||||||||||||||||||||
High Yield Bond Fund | Tax-Exempt Fund | Cash Management Fund | ||||||||||||||||||||
Six Months | Year Ended | Six Months | Year Ended | Six Months | Year Ended | |||||||||||||||||
Ended | December 31, | Ended | December 31, | Ended | December 31, | |||||||||||||||||
June 30, 2005 | 2004 | June 30, 2005 | 2004 | June 30, 2005 | 2004 | |||||||||||||||||
(Unaudited) | (Audited) | (Unaudited) | (Audited) | (Unaudited) | (Audited) | |||||||||||||||||
$ | 2,644,696 | $ | 5,190,729 | $ | 1,645,584 | $ | 3,078,209 | $ | 4,235,534 | $ | 2,784,129 | |||||||||||
925,393 | 1,382,997 | 1,105,703 | 1,899,375 | — | — | |||||||||||||||||
(2,698,351 | ) | 242,109 | 801,939 | (1,173,809 | ) | — | — | |||||||||||||||
871,738 | 6,815,835 | 3,553,226 | 3,803,775 | 4,235,534 | 2,784,129 | |||||||||||||||||
(1,762,598 | ) | (3,299,787 | ) | (1,493,571 | ) | (2,791,145 | ) | (4,057,911 | ) | (2,633,636 | ) | |||||||||||
(274,861 | ) | (625,306 | ) | — | — | (47,152 | ) | (53,655 | ) | |||||||||||||
(283,733 | ) | (602,260 | ) | (152,013 | ) | (287,064 | ) | (52,724 | ) | (49,517 | ) | |||||||||||
(323,504 | ) | (663,376 | ) | — | — | (77,747 | ) | (47,321 | ) | |||||||||||||
— | — | (132,122 | ) | (1,571,408 | ) | — | — | |||||||||||||||
— | — | — | — | — | — | |||||||||||||||||
— | — | (16,859 | ) | (204,912 | ) | — | — | |||||||||||||||
— | — | — | — | — | — | |||||||||||||||||
(2,644,696 | ) | (5,190,729 | ) | (1,794,565 | ) | (4,854,529 | ) | (4,235,534 | ) | (2,784,129 | ) | |||||||||||
(925,051 | ) | 14,976,472 | 2,884,607 | 3,295,052 | (20,703,116 | ) | (91,284,950 | ) | ||||||||||||||
64 | 1,737 | — | — | — | — | |||||||||||||||||
(924,987 | ) | 14,978,209 | 2,884,607 | 3,295,052 | (20,703,116 | ) | (91,284,950 | ) | ||||||||||||||
(2,697,945 | ) | 16,603,315 | 4,643,268 | 2,244,298 | (20,703,116 | ) | (91,284,950 | ) | ||||||||||||||
88,107,186 | 71,503,871 | 92,822,116 | 90,577,818 | 469,302,594 | 560,587,544 | |||||||||||||||||
$ | 85,409,241 | $ | 88,107,186 | $ | 97,465,384 | $ | 92,822,116 | $ | 448,599,478 | $ | 469,302,594 | |||||||||||
$ | — | $ | — | $ | — | $ | — | $ | — | $ | — |
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n | The Guardian Investment Quality Bond Fund |
Statement of Cash Flows |
Six Months Ended June 30, 2005 (Unaudited)
Cash flows from operating activities: | |||||||||
Net increase in net assets resulting from operations | $ | 3,346,355 | |||||||
Adjustments to reconcile net increase in net assets resulting from operations to net cash provided by operating activities: | |||||||||
Purchases of long-term securities | (143,684,754 | ) | |||||||
Proceeds from sales of long-term securities | 140,423,984 | ||||||||
Proceeds from mortgage securities’ paydown | 4,874,009 | ||||||||
Gain on proceeds from mortgage securities’ paydown | 152,561 | ||||||||
Premium amortization/discount accretion, net | 61,657 | ||||||||
Purchases of short-term investments, net | 21,624,901 | ||||||||
Increase in receivables due to securities sold | (2,251,233 | ) | |||||||
Increase in receivables | (121,051 | ) | |||||||
Increase in other assets | (3,095 | ) | |||||||
Decrease in accrued expenses | (20,522 | ) | |||||||
Decrease in distributions payable | (1,778 | ) | |||||||
Decrease in due to GIS | (8,859 | ) | |||||||
Net realized gain on investments | (622,687 | ) | |||||||
Net change in unrealized appreciation of investments | (104,136 | ) | |||||||
Net cash provided by operating activities | 23,665,352 | ||||||||
Cash flows from financing activities: | |||||||||
Proceeds from fund shares sold | 9,081,248 | ||||||||
Payments for fund shares redeemed | (16,562,097 | ) | |||||||
Cash distributions paid | (94,566 | ) | |||||||
Proceeds from the financing of dollar roll transactions, net | (16,071,715 | ) | |||||||
Net cash used in financing activities | (23,647,130 | ) | |||||||
Increase in Cash | 18,222 | ||||||||
Cash | |||||||||
Beginning of period | 45,179 | ||||||||
End of period | $ | 63,401 | |||||||
Supplemental disclosure of cash flow information | |||||||||
Non-cash financing activities not included above: | |||||||||
Reinvestment of distributions | $ | 3,128,203 | |||||||
See notes to financial statements.
80
Table of Contents
n | The Park Avenue Portfolio |
Notes to Financial Statements |
June 30, 2005 (Unaudited)
n The Guardian Park Avenue Fund
n The Guardian UBS Large Cap Value Fund
n The Guardian Park Avenue Small Cap Fund
n The Guardian UBS Small Cap Value Fund
n The Guardian Asset Allocation Fund
n The Guardian S&P 500 Index Fund
n The Guardian Baillie Gifford International Growth Fund
n The Guardian Baillie Gifford Emerging Markets Fund
n The Guardian Investment Quality Bond Fund
n The Guardian Low Duration Bond Fund
n The Guardian High Yield Bond Fund
n The Guardian Tax-Exempt Fund
n The Guardian Cash Management Fund
Note 1. | Organization and Accounting Policies |
The Park Avenue Portfolio (the Portfolio) is a diversified open-end management investment company registered under the Investment Company Act of 1940, as amended (the 1940 Act), which is organized as a business trust under the laws of the Commonwealth of Massachusetts. The Portfolio consists of thirteen series, namely: The Guardian Park Avenue Fund (GPAF); The Guardian UBS Large Cap Value Fund (GULCVF); The Guardian Park Avenue Small Cap Fund (GPASCF); The Guardian UBS Small Cap Value Fund (GUSCVF); The Guardian Asset Allocation Fund (GAAF); The Guardian S&P 500 Index Fund (GSP500F); The Guardian Baillie Gifford International Growth Fund (GBGIF); The Guardian Baillie Gifford Emerging Markets Fund (GBGEMF); The Guardian Investment Quality Bond Fund (GIQBF); The Guardian Low Duration Bond Fund (GLDBF); The Guardian High Yield Bond Fund (GHYBF); The Guardian Tax-Exempt Fund (GTEF); and The Guardian Cash Management Fund (GCMF). The series are collectively referred to herein as the “Funds”.
The Funds offer up to five classes of shares: Class A, Class B, Class C, Class K and the Institutional Class. Each of the Funds offers Class A shares. Class A shares are sold with an initial sales load of up to 4.50% (up to 3.00% for GLDBF and 0.00% for GCMF) and an administrative fee of up to .25% on an annual basis of the Funds’ average daily net assets. A redemption fee of 2% is imposed on purchases of Class A shares of GBGIF, GBGEMF and GHYBF if redeemed within 60 days of purchase, except for shares held in omnibus accounts. Class B shares are offered by all of the Funds, except for GTEF. Class B shares are sold without an initial sales load but are subject to a 12b-1 fee of .75% and an administrative fee of .25% on an annual basis of each Fund’s Class B average daily net assets, and a contingent deferred sales load (CDSL) of up to 3% imposed on certain redemptions. Each of the Funds offers Class C shares. Class C shares are sold without an initial sales load but are subject to a 12b-1 fee of .75% and an administrative fee of .25% on an annual basis of each Fund’s Class C average daily net assets, and a CDSL of 1% imposed on certain redemptions. Class K shares are offered by all of the Funds, except for GTEF. Class K shares are sold without an initial sales load but are subject to a 12b-1 fee of .40% and an administrative fee of .25% on an annual basis of each Fund’s Class K average daily net assets, and a CDSL of 1% imposed on certain redemptions. Institutional Class shares are offered by GPAF, GPASCF, GAAF, GSP500F, GBGIF, GBGEMF, GIQBF and GHYBF. As of June 30, 2005, none of the Funds had issued Institutional Class shares. Institutional Class shares are offered at net asset value, without an initial or a CDSL. All classes of shares for each Fund represent interests in the same portfolio of investments, have the same rights and are generally identical in all respects except that each class bears its separate distribution and certain class expenses, and has exclusive voting rights with respect to any matter to which a separate vote of any class is required.
The preparation of financial statements in conformity with accounting principles generally accepted in the United States (GAAP) requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities at the date of the financial statements and the reported amounts of income, gains (losses) and expenses during the reporting period. Actual results could differ from those estimates.
Significant accounting policies of the Funds are as follows:
Investments
Securities listed on domestic or foreign securities exchanges are valued at the last sale price on such exchanges, or if no sale occurred, at the mean of the bid and asked prices. Securities that are traded on the NASDAQ
81
Table of Contents
n | The Park Avenue Portfolio |
Notes to Financial Statements (Continued) |
June 30, 2005 (Unaudited)
National Securities Market are valued at the NASDAQ Official Closing Price. In GAAF, investments in the underlying Funds are valued at the closing net asset value of each underlying Fund on the day of valuation.
Pursuant to valuation procedures approved by the Board of Trustees, certain debt securities may be valued each business day by an independent pricing service (Service). Debt securities for which quoted bid prices are readily available and representative of the bid side of the market, in the judgment of the Service, are valued at the bid price, except for GTEF. In GTEF, debt securities are valued at the mean between the bid and asked prices obtained by the Service. Other debt securities that are valued by the Service are carried at fair value as determined by the Service, based on methods which include consideration of: yields or prices of securities of comparable quality, coupon, maturity and type; indications as to values from dealers; and general market conditions.
Futures contracts are valued at the settlement prices established by the boards of trade or exchanges on which they are traded.
Other securities, including securities for which market quotations are not readily available (such as certain mortgage backed securities, restricted securities and foreign securities subject to “significant event”) are valued at fair value as determined in good faith by or under the direction of the Funds’ Board of Trustees. A “significant event” is an event that will affect the value of a portfolio security that occurs after the close of trading in the security’s primary trading market or exchange but before the Funds’ NAV is calculated.
Investing outside of the U.S. may involve certain considerations and risks not typically associated with domestic investments, including the possibility of political and economic unrest and different levels of governmental supervision and regulation of foreign securities markets.
Repurchase agreements are carried at cost which approximates market value (see Note 5). Short-term securities held by the Funds are valued on an amortized cost basis which approximates market value but does not take into account unrealized gains and losses. GCMF values its investments based on amortized cost in accordance with Rule 2a-7 under the 1940 Act.
Investment transactions are recorded on the date of purchase or sale. Security gains or losses are determined on an identified cost basis. Interest income, including amortization/accretion of premium/ discount, is accrued daily. Dividend income is recorded on the ex-dividend date.
All income, expenses (other than class-specific expenses) and realized and unrealized gains or losses are allocated daily to each class of shares based upon the relative value of shares of each class. Class-specific expenses, which include any items that are specifically attributed to a particular class, are charged directly to such class. For the six months ended June 30, 2005, distribution, administrative and transfer agent fees were the only class-specific expenses.
Foreign Currency Translation
GPAF, GULCVF, GPASCF, GUSCVF, GAAF, GBGIF, GBGEMF and GHYBF are permitted to buy international securities that are not U.S. dollar denominated. Their books and records are maintained in U.S. dollars as follows:
(1) The foreign currency market value of investment securities and other assets and liabilities stated in foreign currencies are translated into U.S. dollars at the current rate of exchange.
(2) Security purchases and sales, income and expenses are translated at the rate of exchange prevailing on the respective dates of such transactions.
The resulting gains and losses are included in the Statement of Operations as follows:
Gains and losses attributable to foreign currency exchange rates on sales of securities are recorded for financial statement purposes as net realized gains and losses on investments. Realized foreign exchange gains and losses, which result from changes in foreign exchange rates between the date on which a Fund earns dividends and interest or pays foreign withholding taxes or other expenses and the date on which U.S. dollar equivalent amounts are actually received or paid, are included in net realized gains or losses on foreign currency related transactions. Realized foreign exchange gains and losses which result from changes in foreign exchange rates between the trade and settlement dates on security and currency transactions are also included in net realized gains or losses on foreign currency related transactions. Net currency gains and losses from valuing other assets and liabilities denominated in foreign currency at the period end exchange rate are reflected in net change in unrealized appreciation or depreciation from translation of other assets and liabilities denominated in foreign currencies.
Forward Foreign Currency Contracts
GPAF, GULCVF, GPASCF, GUSCVF, GAAF, GBGIF, GBGEMF and GHYBF may enter into forward foreign currency contracts in connection with planned purchases or
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June 30, 2005 (Unaudited)
sales of securities, or to hedge against changes in currency exchange rates affecting the values of its investments that are denominated in a particular currency. A forward foreign currency contract is a commitment to purchase or sell a foreign currency at a future date at a negotiated forward exchange rate. Risks may arise from the potential inability of a counterparty to meet the terms of a contract and from unanticipated movements in the value of a foreign currency relative to the U.S. dollar. Fluctuations in the value of forward foreign currency contracts are recorded for book purposes as unrealized gains or losses from translation of other assets and liabilities denominated in foreign currencies by the Funds. When forward contracts are closed, the Funds will record realized gains or losses equal to the difference between the values of such forward contracts at the time each was opened and the values at the time each was closed. Such amounts are recorded in net realized gains or losses on foreign currency related transactions. The Funds will not enter into a forward foreign currency contract if such contract would obligate the applicable Funds to deliver an amount of foreign currency in excess of the value of the Funds’ portfolio securities or other assets denominated in that currency.
Futures Contracts
GULCVF, GUSCVF, GAAF, GSP500F, GBGIF, GBGEMF, GIQBF, GLDBF, GHYBF and GTEF may enter into financial futures contracts for the delayed delivery of securities, currency or contracts based on financial indices at a fixed price on a future date. In entering into such contracts, the Funds are required to deposit either in cash or securities an amount equal to a certain percentage of the contract amount. Subsequent payments are made or received by the Funds each day, depending on the daily fluctuations in the value of the underlying security, and are recorded for financial statement purposes as variation margins by the Funds. The daily changes in the variation margin are recognized as unrealized gains or losses by the Funds. The Funds’ investments in financial futures contracts are designed to hedge against anticipated future changes in interest or exchange rates or securities prices. In addition, GAAF may enter into financial futures contracts for non-hedging purposes. Should interest or exchange rates or securities prices or prices of futures contracts move unexpectedly, the Funds may not achieve the anticipated benefits of the financial futures contracts and may realize a loss. GAAF’s portfolio holdings correspond to the custodian bank’s records and reflect accounting treatment for the futures contracts in the portfolio.
Dividend Distributions
Dividends from net investment income are declared and accrued daily and are paid monthly for GIQBF, GLDBF, GHYBF and GTEF, and declared and paid semi-annually for GPAF, GULCVF, GPASCF, GUSCVF, GAAF, GSP500F, GBGIF and GBGEMF. Net realized short-term and long-term capital gains for these Funds will be distributed at least annually. Dividends from GCMF’s net investment income, which includes any net realized capital gains or losses, are declared and accrued daily and paid monthly on the last business day of each month.
All dividends and distributions are recorded on the ex-dividend date. Such distributions are determined in conformity with federal income tax regulations. Differences between the recognition of income on an income tax basis and recognition of income based on GAAP may cause temporary overdistributions of net realized gains and net investment income.
Taxes
Each Fund has qualified and intends to remain qualified to be taxed as a “regulated investment company” under the provisions of the U.S. Internal Revenue Code (Code), and as such will not be subject to federal income tax on taxable income (including any realized capital gains) which is distributed in accordance with the provisions of the Code. Therefore, no federal income tax provision is required.
Withholding taxes on foreign interest, dividends and capital gains in GBGIF and GBGEMF have been provided for in accordance with the applicable country’s tax rules and rates.
Expense Reductions
GTEF has entered into an arrangement with its custodian whereby credits realized as a result of uninvested cash balances were used to reduce a portion of the Fund’s expenses. During the period, GTEF’s custodian fees were reduced by $5,676 under this arrangement. GTEF could have employed the uninvested assets to produce income if GTEF had not entered into such arrangement.
Reclassification of Capital Accounts
The treatment for financial statement purposes of distributions made during the year from net investment income and net realized gains may differ from their ultimate treatment for federal income tax purposes. These differences primarily are caused by differences in the timing of the
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Notes to Financial Statements (Continued) |
June 30, 2005 (Unaudited)
recognition of certain components of income or capital gains, and the recharacterization of foreign exchange gains or losses to either ordinary income or realized capital gains for federal income tax purposes. Where such differences are permanent in nature, they are reclassified in the components of net assets based on their ultimate characterization for federal income tax purposes. Any such reclassifications will have no effect on net assets, results of operations, or net asset value per share of the Funds.
Note 2. | Investment Advisory Agreements and Payments to or from Related Parties |
The Funds (except GBGIF and GBGEMF) have an investment advisory agreement with Guardian Investor Services LLC (GIS), an indirect wholly-owned subsidiary of Guardian Life. Fees for investment advisory are at an annual rate of .50% of the average daily net assets for GPAF, GAAF, GIQBF and GTEF. GPASCF, GSP500F, GHYBF and GLDBF pay GIS an annual rate of .75%, .25%, .60% and .45%, respectively, of their average daily net assets. GCMF pays GIS investment advisory fees at an annual rate of .50% of its average daily net assets for the first $500 million and at an annual rate of .45% in excess of $500 million of its daily average net assets.
GAAF is subject to a contractual annual advisory fee of .65% of its average daily net assets. However, GIS has agreed to a waiver of .15% of GAAF’s annual advisory fee when GAAF is operated as a “fund of funds” so that GAAF’s effective advisory fee is .50% of its average daily net assets. There are no duplicative advisory and administrative service fees charged to GAAF on assets invested in other Guardian Funds. Under an SEC exemptive order, advisory and administrative fees are paid at the underlying Fund level.
GULCVF pays investment advisory fees to GIS at an annual rate of ..83% of its average daily net assets. GUSCVF pays investment advisory fees to GIS at an annual rate of 1.00% of its average daily net assets for the first $50 million and an annual rate of ..95% of its average daily net assets in excess of $50 million. GIS has entered into a sub-investment advisory agreement with UBS Global Asset Management (Americas), Inc. (UBS Global AM). UBS Global AM is responsible for the day-to-day management of GULCVF and GUSCVF. GIS continually monitors and evaluates the performance of UBS Global AM. As compensation for its services, GIS pays UBS Global AM at an annual rate of .43% of GULCVF’s average daily net assets and at an annual rate of .60% for the first $50 million and at an annual rate of ..55% in excess of $50 million of GUSCVF’s average daily net assets. Payment of sub-investment advisory fees does not represent a separate or additional expense to GULCVF or GUSCVF.
In approving the continuation of the investment advisory agreements and the investment sub-advisory agreements, the Board reviewed and discussed materials prepared by the investment adviser and/or sub-adviser, as applicable, and a report furnished by an independent mutual fund rating firm comparing each Fund’s advisory fee rate and overall expense ratio with those of comparable funds. The Board also considered the size of the Funds and any economies of scale and fall-out benefits, as well as the continuing fee subsidy of certain Funds. The Board considered: (i) the nature, extent and quality of services provided to the Funds by the investment adviser and sub-advisers and the overall positive cooperation of management and concluded that the services provided were satisfactory; (ii) the investment performance of the Funds and the adviser’s and sub-adviser’s employment of knowledgeable personnel and determined that performance of certain Funds was satisfactory, and for those Funds where performance was less than satisfactory, that management was working to address the performance issues; (iii) the costs of the services provided and the profitability to the investment adviser and concluded that the advisory fees were reasonable; and (iv) the extent to which economies of scale could be realized and whether fee levels reflect economies of scale. The Board also reviewed and relied upon comparisons of advisory fees paid by other investment companies and other clients of the adviser and sub-advisers. The Independent Trustees of the Funds were assisted by independent legal counsel in their deliberations.
For the six months ended June 30, 2005, GIS voluntarily assumed a portion of the ordinary operating expenses (excluding interest expense associated with reverse repurchase agreements and securities lending) that exceeded a percentage of the average daily net assets of the respective Funds, by class, as follows:
Fund | Class A | Class B | Class C | Class K | ||||||||||||
GSP500F | .53% | 1.28% | 1.28% | 0.93% | ||||||||||||
GIQBF | .85% | 1.60% | 1.60% | 1.25% | ||||||||||||
GLDBF | .80% | 1.55% | 1.55% | 1.20% | ||||||||||||
GHYBF | .85% | 1.60% | 1.60% | 1.25% | ||||||||||||
GTEF | .85% | N/A | 1.60% | N/A | ||||||||||||
GCMF | .85% | 1.60% | 1.60% | 1.25% |
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June 30, 2005 (Unaudited)
For the six months ended June 30, 2005, GIS voluntarily assumed a portion of certain Funds’ expenses based on their respective average daily net assets as follows:
GSP500F* | ||||||||||||||||
Class A | Class B | Class C | Class K | |||||||||||||
Administrative Fees | .17% | .25% | .25% | .15% | ||||||||||||
12b-1 Fees | — | .17% | .22% | — | ||||||||||||
.17% | .42% | .47% | .15% | |||||||||||||
GIQBF* | ||||||||||||||||
Class A | Class B | Class C | Class K | |||||||||||||
Administrative Fees | .14% | .25% | .25% | .09% | ||||||||||||
12b-1 Fees | — | .05% | .09% | — | ||||||||||||
.14% | .30% | .34% | .09% | |||||||||||||
GLDBF* | ||||||||||||||||
Class A | Class B | Class C | Class K | |||||||||||||
Advisory Fees | .38% | .38% | .38% | .38% | ||||||||||||
Transfer Agent Fees | .33% | .34% | .38% | — | ||||||||||||
.71% | .72% | .76% | .38% | |||||||||||||
GHYBF* | ||||||||||||||||
Class A | Class B | Class C | Class K | |||||||||||||
Advisory Fees | .25% | .25% | .25% | .25% | ||||||||||||
Transfer Agent Fees | .06% | .32% | .29% | — | ||||||||||||
.31% | .57% | .54% | .25% | |||||||||||||
GTEF* | ||||||||||||||||
Class A | Class C | |||||||||||||||
Administrative Fees | .08% | .25% | ||||||||||||||
12b-1 Fees | — | .06% | ||||||||||||||
.08% | .31% | |||||||||||||||
GCMF* | ||||||||||||||||
Class A | Class B | Class C | Class K | |||||||||||||
Administrative Fees | .05% | .25% | .25% | .01% | ||||||||||||
12b-1 Fees | — | .29% | .05% | — | ||||||||||||
.05% | .54% | .30% | .01% | |||||||||||||
* Annualized.
For the six months ended June 30, 2005, GIS voluntarily assumed $176,602, $118,159, $51,662 and $112,423 of the administrative fees and 12b-1 fees of GSP500F, GIQBF, GTEF and GCMF, respectively. GIS voluntarily assumed $107,851 and $153,331 of the advisory fees and transfer agent fees of GLDBF and GHYBF, respectively. In addition, GIS reimbursed GCMF $17,648 in expenses in order to maintain a minimum yield threshold. These arrangements can be terminated at any time by GIS.
The Portfolio, on behalf of GBGIF and GBGEMF, has an investment management agreement with Guardian Baillie Gifford Limited (GBG), a Scottish corporation owned by The Guardian Insurance & Annuity Company, Inc. (GIAC), a wholly-owned subsidiary of Guardian Life and Baillie Gifford Overseas Limited (BG Overseas). GBG is responsible for the overall investment management of GBGIF and GBGEMF’s portfolios, subject to the supervision of the Portfolio’s Board of Trustees. GBG has entered into a sub-investment management agreement with BG Overseas pursuant to which BG Overseas is responsible for the day-to-day management of GBGIF and GBGEMF. GBG continually monitors and evaluates the performance of BG Overseas. As compensation for its services, GBGIF and GBGEMF pay GBG annual investment management fees of .80% and 1.00%, respectively, of their average daily net assets. One half of these fees is payable by GBG to BG Overseas for its services. Payment of the sub-investment management fee does not represent a separate or additional expense to GBGIF or GBGEMF.
The Guardian Fund Complex pays trustees who are not “interested persons” (as defined in the 1940 Act) fees consisting of a $5,000 per meeting fee and an annual retainer of $30,500, allocated among all funds in the Guardian Fund Complex based on relative average daily net assets. Board committee members also receive a fee of $2,000 per committee meeting, which also is allocated among all funds in the Guardian Fund Complex based on relative average daily net assets. Additional compensation is paid to the Chairmen of the Nominating and Governance Committee and the Audit Committee, respectively. GIS pays compensation to certain trustees who are interested persons. Certain officers and trustees of the Funds are affiliated with GIS.
GAAF received $679,663 in dividends from other Guardian mutual funds.
Park Avenue Securities LLC (PAS), a wholly-owned subsidiary of GIAC and an affiliate of GIS distributes the Portfolio’s shares as a retail broker-dealer. For the six
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June 30, 2005 (Unaudited)
months ended June 30, 2005, PAS received $261,183 for brokerage commissions from the Portfolio.
Administrative Services Agreement
Pursuant to the Administrative Services Agreement adopted by the Funds on behalf of the Class A, Class B, Class C and Class K shares, each of the Funds, except GPAF, pays GIS an administrative service fee at an annual rate of .25% of the Funds’ average daily net assets. GPAF pays this fee to GIS at an annual rate of up to .25% of the average daily net assets for which a “dealer of record” has been designated. For the six months ended June 30, 2005, GPAF Class A shares paid an annualized rate of .20% of its average daily net assets pursuant to the Administrative Services Agreement.
Note 3. | Underwriting Agreement and Distribution Plan |
The Portfolio has entered into an Underwriting Agreement with GIS pursuant to which GIS serves as the principal underwriter for shares of the Funds.
For the six months ended June 30, 2005, aggregate front-end sales charges for the sale of Class A shares paid to GIS were as follows:
Fund | Commissions | Fund | Commissions | |||||||
GPAF | $ | 10,408 | GBGIF | $ | 127 | |||||
GULCVF | 45 | GBGEMF | 157 | |||||||
GPASCF | 803 | GIQBF | 1,561 | |||||||
GUSCVF | 222 | GHYBF | 276 | |||||||
GAAF | 472 | GTEF | 241 | |||||||
GSP500F | 1,558 |
Under Distribution Plans adopted by the Portfolio pursuant to Rule 12b-1 under the 1940 Act (the “12b-1 Plans”), each Fund is authorized to pay a monthly 12b-1 fee for certain classes of shares at an annual rate of .75% of average daily net assets of the Fund’s Class B and Class C shares and .40% of average daily net assets of the Fund’s Class K shares as compensation for distribution-related services provided to the Class B, Class C and Class K shares of those Funds.
GIS is entitled to retain any CDSL imposed on certain Class B, Class C and Class K share redemptions. For the six months ended June 30, 2005, GIS received CDSL charges on Class B, Class C and Class K as follows:
Fund | Class B | Class C | Class K | |||||||||
GPAF | $ | 79,598 | $ | 12 | $ | 1,454 | ||||||
GULCVF | 388 | 49 | 32 | |||||||||
GPASCF | 6,557 | 225 | 781 | |||||||||
GUSCVF | 166 | — | 1,234 | |||||||||
GAAF | 13,911 | 64 | 61 | |||||||||
GSP500F | 2,547 | 1,101 | 1,464 | |||||||||
GBGIF | 1,159 | 87 | 622 | |||||||||
GBGEMF | 1,396 | 25 | 1,221 | |||||||||
GIQBF | 4,417 | 48 | 246 | |||||||||
GLDBF | 2,276 | 50 | 182 | |||||||||
GHYBF | 1,108 | 494 | 215 | |||||||||
GTEF | N/A | 96 | N/A | |||||||||
GCMF | 3,745 | — | — |
Note 4. | Investment Transactions |
Purchases and proceeds from sales of securities (excluding short-term securities) for the six months ended June 30, 2005 were as follows:
GPAF | GULCVF | |||||||
Purchases | $ | 558,186,820 | $ | 13,362,985 | ||||
Proceeds | 710,676,667 | 26,971,753 | ||||||
GPASCF | GUSCVF | |||||||
Purchases | $ | 129,956,023 | $ | 15,159,678 | ||||
Proceeds | 171,431,886 | 19,349,715 | ||||||
GAAF | GSP500F | |||||||
Purchases | $ | 3,679,663 | $ | 4,839,359 | ||||
Proceeds | 12,990,766 | 922,897 | ||||||
GBGIF | GBGEMF | |||||||
Purchases | $ | 9,232,774 | $ | 29,146,449 | ||||
Proceeds | 9,635,506 | 19,912,445 | ||||||
GIQBF | GLDBF | |||||||
Purchases | $ | 145,985,338 | $ | 30,690,405 | ||||
Proceeds | 140,424,191 | 28,949,701 | ||||||
GHYBF | GTEF | |||||||
Purchases | $ | 37,647,681 | $ | 67,481,992 | ||||
Proceeds | 36,778,814 | 65,479,737 | ||||||
The cost of investments owned at June 30, 2005 for federal income tax purposes was substantially the same as the cost for financial reporting purposes for the Funds. The gross unrealized appreciation and depreciation of invest-
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June 30, 2005 (Unaudited)
ments excluding foreign currency and futures at June 30, 2005 were as follows:
GPAF | GULCVF | |||||||
Appreciation | $ | 122,810,890 | $ | 20,829,873 | ||||
(Depreciation) | (20,904,569 | ) | (681,512 | ) | ||||
Net Unrealized Appreciation | $ | 101,906,321 | $ | 20,148,361 | ||||
GPASCF | GUSCVF | |||||||
Appreciation | $ | 19,352,107 | $ | 8,559,285 | ||||
(Depreciation) | (5,062,273 | ) | (1,452,126 | ) | ||||
Net Unrealized Appreciation | $ | 14,289,834 | $ | 7,107,159 | ||||
GAAF | GSP500F | |||||||
Appreciation | $ | 2,011,906 | $ | 37,530,632 | ||||
(Depreciation) | (10,115,973 | ) | (30,513,536 | ) | ||||
Net Unrealized Appreciation/ (Depreciation) | $ | (8,104,067 | ) | $ | 7,017,096 | |||
GBGIF | GBGEMF | |||||||
Appreciation | $ | 15,532,419 | $ | 32,730,560 | ||||
(Depreciation) | (688,448 | ) | (1,149,337 | ) | ||||
Net Unrealized Appreciation | $ | 14,843,971 | $ | 31,581,223 | ||||
GIQBF | GLDBF | |||||||
Appreciation | $ | 2,951,287 | $ | 45,347 | ||||
(Depreciation) | (656,696 | ) | (246,269 | ) | ||||
Net Unrealized Appreciation/ (Depreciation) | $ | 2,294,591 | $ | (200,922 | ) | |||
GHYBF | GTEF | |||||||
Appreciation | $ | 2,882,678 | $ | 4,412,559 | ||||
(Depreciation) | (627,543 | ) | (10,013 | ) | ||||
Net Unrealized Appreciation | $ | 2,255,135 | $ | 4,402,546 | ||||
Note 5. | Repurchase Agreements |
The collateral for repurchase agreements is either cash or fully negotiable U.S. government securities. Repurchase agreements are fully collateralized (including the interest earned thereon) and such collateral is marked-to-market daily while the agreements remain in force. If the value of the collateral falls below the value of the repurchase price plus accrued interest, the applicable Fund will require the seller to deposit additional collateral by the next business day. If the request for additional collateral is not met, or the seller defaults, the applicable Fund maintains the right to sell the collateral and may claim any resulting loss against the seller.
Note 6. | Reverse Repurchase Agreements |
GAAF, GIQBF, GLDBF and GHYBF may enter into reverse repurchase agreements with banks or third party broker-dealers to borrow short-term funds. Interest on the value of reverse repurchase agreements issued and outstanding is based upon competitive market rates at the time of issuance. At the time GAAF, GIQBF, GLDBF and GHYBF enter into a reverse repurchase agreement, the Funds establish and segregate cash, U.S. government securities or liquid, unencumbered securities that are marked-to-market daily. The value of such segregated assets must be at least equal to the value of the repurchase obligation (principal plus accrued interest), as applicable. Reverse repurchase agreements involve the risk that the buyer of the securities sold by GAAF, GIQBF, GLDBF and GHYBF may be unable to deliver the securities when the Funds seek to repurchase them.
Note 7. | Dollar Roll Transactions |
GAAF, GIQBF, GLDBF and GHYBF may enter into dollar rolls (principally using TBA’s) in which each of the Funds sell mortgage securities for delivery in the current month and simultaneously contract to repurchase similar securities at an agreed-upon price on a fixed date. The securities repurchased will bear the same interest as those sold, but generally will be collateralized at the time of delivery by different pools of mortgages with different prepayment histories than those securities sold. During the period between the sale and repurchase, the Fund will not be entitled to receive interest and principal payments on the securities sold. Dollar roll transactions involve the risk that the buyer of the securities sold by GAAF, GIQBF, GLDBF and GHYBF may be unable to deliver the securities when the Funds seek to repurchase them.
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June 30, 2005 (Unaudited)
Note 8. | Shares of Beneficial Interest |
There is an unlimited number of $0.01 par value shares of beneficial interest authorized, divided into five classes, designated as Class A, Class B, Class C, Class K and Institutional Class shares. As of June 30, 2005: (i) GPAF, GPASCF, GAAF, GSP500F, GBGIF, GBGEMF, GIQBF and GHYBF offered all five classes; (ii) GTEF offered Class A and Class C shares; and (iii) GULCVF, GUSCVF, GLDBF and GCMF offered Class A, Class B, Class C and Class K shares. Through June 30, 2005, no Institutional Class shares of the Funds were sold.
Transactions in shares of beneficial interest were as follows:
n The Guardian Park Avenue Fund
Six Months | Six Months | |||||||||||||||
Ended | Year Ended | Ended | Year Ended | |||||||||||||
June 30, 2005 | December 31, 2004 | June 30, 2005 | December 31, 2004 | |||||||||||||
(Unaudited) | (Audited) | (Unaudited) | (Audited) | |||||||||||||
Shares | Amount | |||||||||||||||
Class A | ||||||||||||||||
Shares sold | 810,853 | 1,190,345 | $ | 24,857,079 | $ | 35,901,738 | ||||||||||
Shares issued in reinvestment of dividends | 277,883 | 410,983 | 8,486,523 | 12,593,649 | ||||||||||||
Shares repurchased | (4,763,729 | ) | (8,021,112 | ) | (145,470,790 | ) | (241,079,852 | ) | ||||||||
Net decrease | (3,674,993 | ) | (6,419,784 | ) | $ | (112,127,188 | ) | $ | (192,584,465 | ) | ||||||
Class B | ||||||||||||||||
Shares sold | 32,078 | 120,793 | $ | 934,815 | $ | 3,485,291 | ||||||||||
Shares repurchased | (1,184,038 | ) | (1,537,731 | ) | (34,623,576 | ) | (43,974,403 | ) | ||||||||
Net decrease | (1,151,960 | ) | (1,416,938 | ) | $ | (33,688,761 | ) | $ | (40,489,112 | ) | ||||||
Class C | ||||||||||||||||
Shares sold | 1,708 | 10,462 | $ | 48,041 | $ | 296,587 | ||||||||||
Shares repurchased | (10,445 | ) | (22,706 | ) | (300,334 | ) | (635,942 | ) | ||||||||
Net decrease | (8,737 | ) | (12,244 | ) | $ | (252,293 | ) | $ | (339,355 | ) | ||||||
Class K | ||||||||||||||||
Shares sold | 21,049 | 41,501 | $ | 639,084 | $ | 1,245,335 | ||||||||||
Shares issued in reinvestment of dividends | 2,679 | 3,162 | 81,418 | 97,044 | ||||||||||||
Shares repurchased | (11,070 | ) | (2,258 | ) | (336,393 | ) | (66,226 | ) | ||||||||
Net increase | 12,658 | 42,405 | $ | 384,109 | $ | 1,276,153 | ||||||||||
n The Guardian UBS Large Cap Value Fund
Six Months | Six Months | |||||||||||||||
Ended | Year Ended | Ended | Year Ended | |||||||||||||
June 30, 2005 | December 31, 2004 | June 30, 2005 | December 31, 2004 | |||||||||||||
(Unaudited) | (Audited) | (Unaudited) | (Audited) | |||||||||||||
Shares | Amount | |||||||||||||||
Class A | ||||||||||||||||
Shares sold | 159,062 | 174,657 | $ | 2,095,937 | $ | 2,262,682 | ||||||||||
Shares issued in reinvestment of dividends and distributions | 33,749 | 166,765 | 447,517 | 2,170,261 | ||||||||||||
Shares repurchased | (350,352 | ) | (28,215 | ) | (4,667,919 | ) | (362,577 | ) | ||||||||
Net increase/(decrease) | (157,541 | ) | 313,207 | $ | (2,124,465 | ) | $ | 4,070,366 | ||||||||
Class B | ||||||||||||||||
Shares sold | 56,418 | 81,632 | $ | 742,072 | $ | 1,054,685 | ||||||||||
Shares issued in reinvestment of distributions | 21,498 | 148,409 | 284,206 | 1,925,522 | ||||||||||||
Shares repurchased | (337,261 | ) | (39,293 | ) | (4,467,398 | ) | (506,949 | ) | ||||||||
Net increase/(decrease) | (259,345 | ) | 190,748 | $ | (3,441,120 | ) | $ | 2,473,258 | ||||||||
Class C | ||||||||||||||||
Shares sold | 2,669 | 6,593 | $ | 35,201 | $ | 84,107 | ||||||||||
Shares issued in reinvestment of distributions | 19,925 | 143,136 | 263,411 | 1,856,821 | ||||||||||||
Shares repurchased | (321,343 | ) | — | (4,257,619 | ) | — | ||||||||||
Net increase/(decrease) | (298,749 | ) | 149,729 | $ | (3,959,007 | ) | $ | 1,940,928 | ||||||||
Class K | ||||||||||||||||
Shares sold | 48,367 | 51,807 | $ | 638,078 | $ | 682,461 | ||||||||||
Shares issued in reinvestment of dividends and distributions | 27,428 | 150,644 | 363,696 | 1,959,753 | ||||||||||||
Shares repurchased | (323,945 | ) | (5,504 | ) | (4,313,594 | ) | (71,017 | ) | ||||||||
Net increase/(decrease) | (248,150 | ) | 196,947 | $ | (3,311,820 | ) | $ | 2,571,197 | ||||||||
88
Table of Contents
n | The Park Avenue Portfolio |
Notes to Financial Statements (Continued) |
June 30, 2005 (Unaudited)
n The Guardian Park Avenue Small Cap Fund
Six Months | Six Months | |||||||||||||||
Ended | Year Ended | Ended | Year Ended | |||||||||||||
June 30, 2005 | December 31, 2004 | June 30, 2005 | December 31, 2004 | |||||||||||||
(Unaudited) | (Audited) | (Unaudited) | (Audited) | |||||||||||||
Shares | Amount | |||||||||||||||
Class A | ||||||||||||||||
Shares sold | 579,115 | 1,343,980 | $ | 10,562,163 | $ | 26,373,297 | ||||||||||
Shares issued in reinvestment of distributions | 546,326 | 1,031,848 | 9,357,329 | 20,020,556 | ||||||||||||
Shares repurchased | (2,383,048 | ) | (1,447,680 | ) | (43,121,539 | ) | (27,991,349 | ) | ||||||||
Net increase/(decrease) | (1,257,607 | ) | 928,148 | $ | (23,202,047 | ) | $ | 18,402,504 | ||||||||
Class B | ||||||||||||||||
Shares sold | 45,359 | 140,829 | $ | 766,023 | $ | 2,576,277 | ||||||||||
Shares issued in reinvestment of distributions | 78,241 | 149,273 | 1,226,052 | 2,681,069 | ||||||||||||
Shares repurchased | (335,291 | ) | (257,947 | ) | (5,600,789 | ) | (4,675,874 | ) | ||||||||
Net increase/(decrease) | (211,691 | ) | 32,155 | $ | (3,608,714 | ) | $ | 581,472 | ||||||||
Class C | ||||||||||||||||
Shares sold | 18,291 | 39,603 | $ | 301,685 | $ | 688,850 | ||||||||||
Shares issued in reinvestment of distributions | 44,787 | 65,829 | 695,993 | 1,173,573 | ||||||||||||
Shares repurchased | (5,678 | ) | (11,175 | ) | (93,854 | ) | (204,574 | ) | ||||||||
Net increase | 57,400 | 94,257 | $ | 903,824 | $ | 1,657,849 | ||||||||||
Class K | ||||||||||||||||
Shares sold | 43,044 | 52,945 | $ | 765,210 | $ | 1,003,863 | ||||||||||
Shares issued in reinvestment of distributions | 46,696 | 73,805 | 783,096 | 1,406,418 | ||||||||||||
Shares repurchased | (69,092 | ) | (2,648 | ) | (1,175,523 | ) | (50,706 | ) | ||||||||
Net increase | 20,648 | 124,102 | $ | 372,783 | $ | 2,359,575 | ||||||||||
n The Guardian UBS Small Cap Value Fund
Six Months | Six Months | |||||||||||||||
Ended | Year Ended | Ended | Year Ended | |||||||||||||
June 30, 2005 | December 31, 2004 | June 30, 2005 | December 31, 2004 | |||||||||||||
(Unaudited) | (Audited) | (Unaudited) | (Audited) | |||||||||||||
Shares | Amount | |||||||||||||||
Class A | ||||||||||||||||
Shares sold | 71,807 | 190,281 | $ | 913,036 | $ | 2,526,654 | ||||||||||
Shares issued in reinvestment of distributions | 9,723 | 123,870 | 124,177 | 1,605,478 | ||||||||||||
Shares repurchased | (157,817 | ) | (18,561 | ) | (2,035,269 | ) | (239,521 | ) | ||||||||
Net increase/(decrease) | (76,287 | ) | 295,590 | $ | (998,056 | ) | $ | 3,892,611 | ||||||||
Class B | ||||||||||||||||
Shares sold | 14,748 | 35,115 | $ | 184,973 | $ | 454,187 | ||||||||||
Shares issued in reinvestment of distributions | 8,093 | 110,609 | 101,164 | 1,410,041 | ||||||||||||
Shares repurchased | (129,481 | ) | (17,277 | ) | (1,642,506 | ) | (220,955 | ) | ||||||||
Net increase/(decrease) | (106,640 | ) | 128,447 | $ | (1,356,369 | ) | $ | 1,643,273 | ||||||||
Class C | ||||||||||||||||
Shares sold | 5,273 | 3,638 | $ | 65,894 | $ | 46,138 | ||||||||||
Shares issued in reinvestment of distributions | 7,724 | 106,734 | 96,556 | 1,360,553 | ||||||||||||
Shares repurchased | (123,861 | ) | — | (1,573,564 | ) | — | ||||||||||
Net increase/(decrease) | (110,864 | ) | 110,372 | $ | (1,411,114 | ) | $ | 1,406,691 | ||||||||
Class K | ||||||||||||||||
Shares sold | 47,734 | 52,642 | $ | 603,907 | $ | 683,169 | ||||||||||
Shares issued in reinvestment of distributions | 8,385 | 109,649 | 106,567 | 1,415,186 | ||||||||||||
Shares repurchased | (133,233 | ) | (10,438 | ) | (1,716,919 | ) | (134,666 | ) | ||||||||
Net increase/(decrease) | (77,114 | ) | 151,853 | $ | (1,006,445 | ) | $ | 1,963,689 | ||||||||
89
Table of Contents
n | The Park Avenue Portfolio |
Notes to Financial Statements (Continued) |
June 30, 2005 (Unaudited)
n The Guardian Asset Allocation Fund
Six Months | Six Months | |||||||||||||||
Ended | Year Ended | Ended | Year Ended | |||||||||||||
June 30, 2005 | December 31, 2004 | June 30, 2005 | December 31, 2004 | |||||||||||||
(Unaudited) | (Audited) | (Unaudited) | (Audited) | |||||||||||||
Shares | Amount | |||||||||||||||
Class A | ||||||||||||||||
Shares sold | 407,160 | 790,317 | $ | 4,582,167 | $ | 8,537,011 | ||||||||||
Shares issued in reinvestment of dividends | 12,310 | 208,464 | 140,575 | 2,305,931 | ||||||||||||
Shares repurchased | (1,201,093 | ) | (2,432,345 | ) | (13,524,160 | ) | (26,267,499 | ) | ||||||||
Net decrease | (781,623 | ) | (1,433,564 | ) | $ | (8,801,418 | ) | $ | (15,424,557 | ) | ||||||
Class B | ||||||||||||||||
Shares sold | 62,265 | 102,043 | $ | 693,358 | $ | 1,100,025 | ||||||||||
Shares issued in reinvestment of dividends | — | 23,248 | — | 259,342 | ||||||||||||
Shares repurchased | (443,703 | ) | (671,863 | ) | (4,957,185 | ) | (7,213,089 | ) | ||||||||
Net decrease | (381,438 | ) | (546,572 | ) | $ | (4,263,827 | ) | $ | (5,853,722 | ) | ||||||
Class C | ||||||||||||||||
Shares sold | 6,389 | 20,244 | $ | 71,510 | $ | 214,709 | ||||||||||
Shares issued in reinvestment of dividends | — | 4,285 | — | 48,490 | ||||||||||||
Shares repurchased | (8,986 | ) | (29,495 | ) | (100,802 | ) | (311,293 | ) | ||||||||
Net decrease | (2,597 | ) | (4,966 | ) | $ | (29,292 | ) | $ | (48,094 | ) | ||||||
Class K | ||||||||||||||||
Shares sold | 38,847 | 65,378 | $ | 437,419 | $ | 705,819 | ||||||||||
Shares issued in reinvestment of dividends | 295 | 12,780 | 3,373 | 141,931 | ||||||||||||
Shares repurchased | (3,724 | ) | (5,606 | ) | (41,772 | ) | (61,854 | ) | ||||||||
Net increase | 35,418 | 72,552 | $ | 399,020 | $ | 785,896 | ||||||||||
n The Guardian S&P 500 Index Fund
Six Months | Six Months | |||||||||||||||
Ended | Year Ended | Ended | Year Ended | |||||||||||||
June 30, 2005 | December 31, 2004 | June 30, 2005 | December 31, 2004 | |||||||||||||
(Unaudited) | (Audited) | (Unaudited) | (Audited) | |||||||||||||
Shares | Amount | |||||||||||||||
Class A | ||||||||||||||||
Shares sold | 920,863 | 1,359,992 | $ | 7,537,058 | $ | 10,600,735 | ||||||||||
Shares issued in reinvestment of dividends | 95,068 | 27,719 | 784,311 | 226,075 | ||||||||||||
Shares repurchased | (668,922 | ) | (841,650 | ) | (5,419,694 | ) | (6,529,210 | ) | ||||||||
Net increase | 347,009 | 546,061 | $ | 2,901,675 | $ | 4,297,600 | ||||||||||
Class B | ||||||||||||||||
Shares sold | 101,457 | 226,852 | $ | 819,613 | $ | 1,760,369 | ||||||||||
Shares issued in reinvestment of dividends | 3,709 | 10,594 | 30,526 | 86,674 | ||||||||||||
Shares repurchased | (108,933 | ) | (204,588 | ) | (886,743 | ) | (1,588,671 | ) | ||||||||
Net increase/(decrease) | (3,767 | ) | 32,858 | $ | (36,604 | ) | $ | 258,372 | ||||||||
Class C | ||||||||||||||||
Shares sold | 32,444 | 186,853 | $ | 263,505 | $ | 1,437,277 | ||||||||||
Shares issued in reinvestment of dividends | 2,692 | 7,898 | 22,153 | 64,524 | ||||||||||||
Shares repurchased | (96,706 | ) | (160,903 | ) | (792,809 | ) | (1,237,474 | ) | ||||||||
Net increase/(decrease) | (61,570 | ) | 33,848 | $ | (507,151 | ) | $ | 264,327 | ||||||||
Class K | ||||||||||||||||
Shares sold | 168,289 | 242,188 | $ | 1,374,805 | $ | 1,876,104 | ||||||||||
Shares issued in reinvestment of dividends | 4,863 | 11,599 | 40,127 | 94,838 | ||||||||||||
Shares repurchased | (32,590 | ) | (14,508 | ) | (265,691 | ) | (111,416 | ) | ||||||||
Net increase | 140,562 | 239,279 | $ | 1,149,241 | $ | 1,859,526 | ||||||||||
90
Table of Contents
n | The Park Avenue Portfolio |
Notes to Financial Statements (Continued) |
June 30, 2005 (Unaudited)
n The Guardian Baillie Gifford International Growth Fund
Six Months | Six Months | |||||||||||||||
Ended | Year Ended | Ended | Year Ended | |||||||||||||
June 30, 2005 | December 31, 2004 | June 30, 2005 | December 31, 2004 | |||||||||||||
(Unaudited) | (Audited) | (Unaudited) | (Audited) | |||||||||||||
Shares | Amount | |||||||||||||||
Class A | ||||||||||||||||
Shares sold | 281,951 | 662,514 | $ | 3,721,314 | $ | 7,884,998 | ||||||||||
Shares issued in reinvestment of dividends | 8,850 | 7,506 | 115,852 | 87,669 | ||||||||||||
Shares repurchased | (356,448 | ) | (834,343 | ) | (4,694,018 | ) | (9,889,156 | ) | ||||||||
Net decrease | (65,647 | ) | (164,323 | ) | $ | (856,852 | ) | $ | (1,916,489 | ) | ||||||
Class B | ||||||||||||||||
Shares sold | 16,480 | 28,247 | $ | 199,413 | $ | 307,868 | ||||||||||
Shares repurchased | (67,621 | ) | (129,102 | ) | (805,727 | ) | (1,401,616 | ) | ||||||||
Net decrease | (51,141 | ) | (100,855 | ) | $ | (606,314 | ) | $ | (1,093,748 | ) | ||||||
Class C | ||||||||||||||||
Shares sold | 286 | 27,182 | $ | 3,413 | $ | 308,977 | ||||||||||
Shares repurchased | (3,144 | ) | (2,578 | ) | (37,545 | ) | (27,430 | ) | ||||||||
Net increase/(decrease) | (2,858 | ) | 24,604 | $ | (34,132 | ) | $ | 281,547 | ||||||||
Class K | ||||||||||||||||
Shares sold | 27,914 | 53,942 | $ | 361,746 | $ | 648,581 | ||||||||||
Shares issued in reinvestment of dividends | 1,993 | — | 25,687 | — | ||||||||||||
Shares repurchased | (7,101 | ) | (2,052 | ) | (92,976 | ) | (23,464 | ) | ||||||||
Net increase | 22,806 | 51,890 | $ | 294,457 | $ | 625,117 | ||||||||||
n The Guardian Baillie Gifford Emerging Markets Fund
Six Months | Six Months | |||||||||||||||
Ended | Year Ended | Ended | Year Ended | |||||||||||||
June 30, 2005 | December 31, 2004 | June 30, 2005 | December 31, 2004 | |||||||||||||
(Unaudited) | (Audited) | (Unaudited) | (Audited) | |||||||||||||
Shares | Amount | |||||||||||||||
Class A | ||||||||||||||||
Shares sold | 1,122,762 | 1,405,868 | $ | 17,106,205 | $ | 18,918,924 | ||||||||||
Shares issued in reinvestment of dividends and distributions | 122,482 | 172,261 | 1,851,359 | 2,480,952 | ||||||||||||
Shares repurchased | (425,984 | ) | (869,934 | ) | (6,407,884 | ) | (11,026,232 | ) | ||||||||
Net increase | 819,260 | 708,195 | $ | 12,549,680 | $ | 10,373,644 | ||||||||||
Class B | ||||||||||||||||
Shares sold | 25,210 | 91,087 | $ | 350,381 | $ | 1,115,800 | ||||||||||
Shares issued in reinvestment of distributions | 20,105 | 37,243 | 275,645 | 494,590 | ||||||||||||
Shares repurchased | (183,035 | ) | (42,565 | ) | (2,557,219 | ) | (506,264 | ) | ||||||||
Net increase/(decrease) | (137,720 | ) | 85,765 | $ | (1,931,193 | ) | $ | 1,104,126 | ||||||||
Class C | ||||||||||||||||
Shares sold | 29,165 | 54,177 | $ | 412,173 | $ | 643,204 | ||||||||||
Shares issued in reinvestment of distributions | 26,238 | 38,909 | 360,776 | 518,275 | ||||||||||||
Shares repurchased | (3,201 | ) | (9,827 | ) | (44,084 | ) | (121,577 | ) | ||||||||
Net increase | 52,202 | 83,259 | $ | 728,865 | $ | 1,039,902 | ||||||||||
Class K | ||||||||||||||||
Shares sold | 42,489 | 55,567 | $ | 632,214 | $ | 719,161 | ||||||||||
Shares issued in reinvestment of dividends and distributions | 28,137 | 43,129 | 416,712 | 613,008 | ||||||||||||
Shares repurchased | (13,249 | ) | (11,138 | ) | (193,869 | ) | (153,558 | ) | ||||||||
Net increase | 57,377 | 87,558 | $ | 855,057 | $ | 1,178,611 | ||||||||||
91
Table of Contents
n | The Park Avenue Portfolio |
Notes to Financial Statements (Continued) |
June 30, 2005 (Unaudited)
n The Guardian Investment Quality Bond Fund
Six Months | Six Months | |||||||||||||||
Ended | Year Ended | Ended | Year Ended | |||||||||||||
June 30, 2005 | December 31, 2004 | June 30, 2005 | December 31, 2004 | |||||||||||||
(Unaudited) | (Audited) | (Unaudited) | (Audited) | |||||||||||||
Shares | Amount | |||||||||||||||
Class A | ||||||||||||||||
Shares sold | 782,203 | 1,063,835 | $ | 7,810,584 | $ | 10,712,545 | ||||||||||
Shares issued in reinvestment of dividends and distributions | 239,871 | 502,991 | 2,394,168 | 5,039,162 | ||||||||||||
Shares repurchased | (948,154 | ) | (5,293,237 | ) | (9,457,292 | ) | (53,080,160 | ) | ||||||||
Net increase/(decrease) | 73,920 | (3,726,411 | ) | $ | 747,460 | $ | (37,328,453 | ) | ||||||||
Class B | ||||||||||||||||
Shares sold | 21,662 | 87,162 | $ | 216,196 | $ | 881,154 | ||||||||||
Shares issued in reinvestment of dividends and distributions | 30,214 | 65,499 | 301,398 | 655,658 | ||||||||||||
Shares repurchased | (226,801 | ) | (307,375 | ) | (2,258,914 | ) | (3,078,041 | ) | ||||||||
Net decrease | (174,925 | ) | (154,714 | ) | $ | (1,741,320 | ) | $ | (1,541,229 | ) | ||||||
Class C | ||||||||||||||||
Shares sold | 21,123 | 9,411 | $ | 210,928 | $ | 95,145 | ||||||||||
Shares issued in reinvestment of dividends and distributions | 21,316 | 43,962 | 212,642 | 440,050 | ||||||||||||
Shares repurchased | (166,600 | ) | (23,399 | ) | (1,661,458 | ) | (234,564 | ) | ||||||||
Net increase/(decrease) | (124,161 | ) | 29,974 | $ | (1,237,888 | ) | $ | 300,631 | ||||||||
Class K | ||||||||||||||||
Shares sold | 84,482 | 92,817 | $ | 843,164 | $ | 935,863 | ||||||||||
Shares issued in reinvestment of dividends and distributions | 22,024 | 44,606 | 219,995 | 447,123 | ||||||||||||
Shares repurchased | (314,284 | ) | (11,921 | ) | (3,133,608 | ) | (120,297 | ) | ||||||||
Net increase/(decrease) | (207,778 | ) | 125,502 | $ | (2,070,449 | ) | $ | 1,262,689 | ||||||||
n The Guardian Low Duration Bond Fund
Six Months | Six Months | |||||||||||||||
Ended | Year Ended | Ended | Year Ended | |||||||||||||
June 30, 2005 | December 31, 2004 | June 30, 2005 | December 31, 2004 | |||||||||||||
(Unaudited) | (Audited) | (Unaudited) | (Audited) | |||||||||||||
Shares | Amount | |||||||||||||||
Class A | ||||||||||||||||
Shares sold | 28,890 | 217,235 | $ | 285,249 | $ | 2,176,482 | ||||||||||
Shares issued in reinvestment of dividends | 12,712 | 20,264 | 125,440 | 202,280 | ||||||||||||
Shares repurchased | (25,231 | ) | (125,558 | ) | (248,793 | ) | (1,252,947 | ) | ||||||||
Net increase | 16,371 | 111,941 | $ | 161,896 | $ | 1,125,815 | ||||||||||
Class B | ||||||||||||||||
Shares sold | 3,620 | 97,549 | $ | 35,660 | $ | 974,331 | ||||||||||
Shares issued in reinvestment of dividends | 8,282 | 12,212 | 81,722 | 121,895 | ||||||||||||
Shares repurchased | (12,783 | ) | (6,485 | ) | (126,389 | ) | (64,820 | ) | ||||||||
Net increase/(decrease) | (881 | ) | 103,276 | $ | (9,007 | ) | $ | 1,031,406 | ||||||||
Class C | ||||||||||||||||
Shares sold | 1,629 | 18,572 | $ | 16,102 | $ | 185,410 | ||||||||||
Shares issued in reinvestment of dividends | 7,640 | 11,618 | 75,389 | 115,977 | ||||||||||||
Shares repurchased | (7,986 | ) | (2,131 | ) | (79,060 | ) | (21,257 | ) | ||||||||
Net increase | 1,283 | 28,059 | $ | 12,431 | $ | 280,130 | ||||||||||
Class K | ||||||||||||||||
Shares sold | 118,255 | 8,500 | $ | 1,168,751 | $ | 84,748 | ||||||||||
Shares issued in reinvestment of dividends | 9,129 | 14,202 | 90,084 | 141,773 | ||||||||||||
Shares repurchased | (3,700 | ) | (62 | ) | (36,527 | ) | (619 | ) | ||||||||
Net increase | 123,684 | 22,640 | $ | 1,222,308 | $ | 225,902 | ||||||||||
92
Table of Contents
n | The Park Avenue Portfolio |
Notes to Financial Statements (Continued) |
June 30, 2005 (Unaudited)
n The Guardian High Yield Bond Fund
Six Months | Six Months | |||||||||||||||
Ended | Year Ended | Ended | Year Ended | |||||||||||||
June 30, 2005 | December 31, 2004 | June 30, 2005 | December 31, 2004 | |||||||||||||
(Unaudited) | (Audited) | (Unaudited) | (Audited) | |||||||||||||
Shares | Amount | |||||||||||||||
Class A | ||||||||||||||||
Shares sold | 218,983 | 1,934,200 | $ | 1,630,066 | $ | 14,283,811 | ||||||||||
Shares issued in reinvestment of dividends | 223,571 | 439,968 | 1,660,264 | 3,265,041 | ||||||||||||
Shares repurchased | (731,538 | ) | (536,446 | ) | (5,407,393 | ) | (3,988,418 | ) | ||||||||
Net increase/(decrease) | (288,984 | ) | 1,837,722 | $ | (2,117,063 | ) | $ | 13,560,434 | ||||||||
Class B | ||||||||||||||||
Shares sold | 9,229 | 38,772 | $ | 68,874 | $ | 286,046 | ||||||||||
Shares issued in reinvestment of dividends | 35,700 | 78,636 | 265,004 | 582,493 | ||||||||||||
Shares repurchased | (36,917 | ) | (140,632 | ) | (274,075 | ) | (1,041,229 | ) | ||||||||
Net increase/(decrease) | 8,012 | (23,224 | ) | $ | 59,803 | $ | (172,690 | ) | ||||||||
Class C | ||||||||||||||||
Shares sold | 20,829 | 15,621 | $ | 157,381 | $ | 115,550 | ||||||||||
Shares issued in reinvestment of dividends | 38,169 | 81,203 | 283,308 | 601,376 | ||||||||||||
Shares repurchased | (7,908 | ) | (13,136 | ) | (57,998 | ) | (96,779 | ) | ||||||||
Net increase | 51,090 | 83,688 | $ | 382,691 | $ | 620,147 | ||||||||||
Class K | ||||||||||||||||
Shares sold | 74,839 | 47,295 | $ | 561,865 | $ | 352,627 | ||||||||||
Shares issued in reinvestment of dividends | 43,552 | 89,467 | 323,412 | 663,370 | ||||||||||||
Shares repurchased | (18,230 | ) | (6,387 | ) | (135,695 | ) | (47,416 | ) | ||||||||
Net increase | 100,161 | 130,375 | $ | 749,582 | $ | 968,581 | ||||||||||
n The Guardian Tax-Exempt Fund
Six Months | Six Months | |||||||||||||||
Ended | Year Ended | Ended | Year Ended | |||||||||||||
June 30, 2005 | December 31, 2004 | June 30, 2005 | December 31, 2004 | |||||||||||||
(Unaudited) | (Audited) | (Unaudited) | (Audited) | |||||||||||||
Shares | Amount | |||||||||||||||
Class A | ||||||||||||||||
Shares sold | 193,866 | 171,456 | $ | 1,986,664 | $ | 1,759,539 | ||||||||||
Shares issued in reinvestment of dividends and distributions | 153,986 | 417,665 | 1,582,423 | 4,260,609 | ||||||||||||
Shares repurchased | (80,830 | ) | (292,175 | ) | (829,411 | ) | (2,999,696 | ) | ||||||||
Net increase | 267,022 | 296,946 | $ | 2,739,676 | $ | 3,020,452 | ||||||||||
Class C | ||||||||||||||||
Shares sold | 973 | 10,161 | $ | 10,000 | $ | 103,572 | ||||||||||
Shares issued in reinvestment of dividends and distributions | 16,319 | 47,821 | 167,695 | 487,634 | ||||||||||||
Shares repurchased | (3,213 | ) | (31,129 | ) | (32,764 | ) | (316,606 | ) | ||||||||
Net increase | 14,079 | 26,853 | $ | 144,931 | $ | 274,600 | ||||||||||
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n | The Park Avenue Portfolio |
Notes to Financial Statements (Continued) |
June 30, 2005 (Unaudited)
n The Guardian Cash Management Fund
Six Months | ||||||||
Ended | Year Ended | |||||||
June 30, 2005 | December 31, 2004 | |||||||
(Unaudited) | (Audited) | |||||||
Shares @ $1 per share | ||||||||
Class A | ||||||||
Shares sold | 85,796,132 | 176,701,322 | ||||||
Shares issued in reinvestment of dividends | 4,041,038 | 2,621,389 | ||||||
Shares repurchased | (104,262,908 | ) | (266,534,396 | ) | ||||
Net decrease | (14,425,738 | ) | (87,211,685 | ) | ||||
Class B | ||||||||
Shares sold | 741,999 | 2,629,517 | ||||||
Shares issued in reinvestment of dividends | 43,992 | 50,094 | ||||||
Shares repurchased | (2,447,084 | ) | (7,034,259 | ) | ||||
Net decrease | (1,661,093 | ) | (4,354,648 | ) | ||||
Class C | ||||||||
Shares sold | 1,756 | 572,903 | ||||||
Shares issued in reinvestment of dividends | 52,723 | 49,455 | ||||||
Shares repurchased | (2,515,027 | ) | (1,082,301 | ) | ||||
Net decrease | (2,460,548 | ) | (459,943 | ) | ||||
Class K | ||||||||
Shares sold | 8,858,198 | 8,049,743 | ||||||
Shares issued in reinvestment of dividends | 77,420 | 46,831 | ||||||
Shares repurchased | (11,091,355 | ) | (7,355,248 | ) | ||||
Net increase/(decrease) | (2,155,737 | ) | 741,326 | |||||
Note 9. | Line of Credit |
A $100,000,000 line of credit available to all of the Funds and other related Guardian Funds has been established with State Street Bank and Trust Company and Bank of Montreal. The rate of interest charged on any borrowing is based upon the prevailing Federal Funds rate at the time of the loan plus .50% calculated on a 360 day basis per annum. For the six months ended June 30, 2005, none of the Funds borrowed against this line of credit.
The Funds are obligated to pay State Street Bank and Trust Company and Bank of Montreal a commitment fee computed at a rate of .08% per annum on the average daily unused portion of the revolving credit.
Note 10. | Investments in Affiliates1 |
A summary of GAAF transactions in affiliated securities during the six months ended June 30, 2005 is set forth below:
Balance of | Balance of | Dividends | |||||||||||||||||||||||||||||||
Shares | Gross | Shares | Included | Net Realized | |||||||||||||||||||||||||||||
Held | Purchases | Gross | Held | Value | in | Gains from | Net Realized | ||||||||||||||||||||||||||
December 31, | and | Sales and | June 30, | June 30, | Dividend | Underlying | Loss | ||||||||||||||||||||||||||
Name of Issuer | 2004 | Additions | Reductions | 2005 | 2005 | Income | Funds | on Sales | |||||||||||||||||||||||||
Majority-Owned Subsidiary | |||||||||||||||||||||||||||||||||
The Guardian S&P 500 Index Fund, Class A | 15,277,311 | 446,903 | 372,413 | 15,351,801 | $ | 125,424,216 | $ | 679,663 | — | $ | 239,993 |
1 | Affiliated issuers, as defined in the 1940 Act, include issuers in which the Fund held 5% or more of the outstanding voting securities. Majority- owned subsidiaries include issuers in which the Fund held 50% or more of the outstanding voting securities. |
94
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95
Table of Contents
n | The Park Avenue Portfolio |
Financial Highlights |
Selected data for a share of beneficial interest outstanding throughout the periods indicated:
Net Realized | ||||||||||||||||||||||
& Unrealized | ||||||||||||||||||||||
Gain/(Loss) on | ||||||||||||||||||||||
Investments | Increase/ | |||||||||||||||||||||
Net Asset | Net | and Foreign | (Decrease) | Dividends | ||||||||||||||||||
Value, | Investment | Currency | from | from Net | ||||||||||||||||||
Beginning | Income/ | Related | Investment | Investment | ||||||||||||||||||
of Period | (Loss) | Transactions | Operations | Income | ||||||||||||||||||
The Guardian Park Avenue Fund | ||||||||||||||||||||||
Class A: | ||||||||||||||||||||||
Six months ended 6/30/2005† | $ | 31.37 | $ | 0.29 | $ | (1.11 | ) | $ | (0.82 | ) | $ | (0.32 | ) | |||||||||
Year ended 12/31/2004 | 30.08 | 0.34 | 1.35 | 1.69 | (0.40 | ) | ||||||||||||||||
Year ended 12/31/2003 | 25.03 | 0.23 | 5.00 | 5.23 | (0.18 | ) | ||||||||||||||||
Year ended 12/31/2002 | 32.00 | 0.17 | (7.06 | ) | (6.89 | ) | (0.08 | ) | ||||||||||||||
Year ended 12/31/2001 | 41.18 | 0.12 | (9.06 | ) | (8.94 | ) | (0.03 | ) | ||||||||||||||
Year ended 12/31/2000 | 59.42 | (0.09 | ) | (10.57 | ) | (10.66 | ) | (0.00 | )†† | |||||||||||||
Class B: | ||||||||||||||||||||||
Six months ended 6/30/2005† | 30.06 | (0.17 | ) | (0.77 | ) | (0.94 | ) | — | ||||||||||||||
Year ended 12/31/2004 | 28.72 | (0.20 | ) | 1.54 | 1.34 | — | ||||||||||||||||
Year ended 12/31/2003 | 23.99 | (0.16 | ) | 4.89 | 4.73 | — | ||||||||||||||||
Year ended 12/31/2002 | 30.88 | (0.20 | ) | (6.69 | ) | (6.89 | ) | — | ||||||||||||||
Year ended 12/31/2001 | 40.08 | (0.23 | ) | (8.76 | ) | (8.99 | ) | — | ||||||||||||||
Year ended 12/31/2000 | 58.57 | (0.43 | ) | (10.48 | ) | (10.91 | ) | — | ||||||||||||||
Class C: | ||||||||||||||||||||||
Six months ended 6/30/2005† | 29.62 | 0.04 | (0.99 | ) | (0.95 | ) | — | |||||||||||||||
Year ended 12/31/2004 | 28.37 | (0.09 | ) | 1.34 | 1.25 | — | ||||||||||||||||
Year ended 12/31/2003 | 23.75 | (0.16 | ) | 4.78 | 4.62 | — | ||||||||||||||||
Year ended 12/31/2002 | 30.64 | (0.19 | ) | (6.70 | ) | (6.89 | ) | — | ||||||||||||||
Year ended 12/31/2001 | 39.85 | (0.25 | ) | (8.75 | ) | (9.00 | ) | — | ||||||||||||||
Period from 8/7/2000††† to 12/31/2000 | 58.01 | (0.11 | ) | (12.59 | ) | (12.70 | ) | — | ||||||||||||||
Class K: | ||||||||||||||||||||||
Six months ended 6/30/2005† | 31.23 | 0.20 | (1.08 | ) | (0.88 | ) | (0.28 | ) | ||||||||||||||
Year ended 12/31/2004 | 30.00 | 0.20 | 1.39 | 1.59 | (0.36 | ) | ||||||||||||||||
Year ended 12/31/2003 | 24.96 | 0.11 | 5.02 | 5.13 | (0.09 | ) | ||||||||||||||||
Year ended 12/31/2002 | 31.93 | 0.05 | (7.02 | ) | (6.97 | ) | — | |||||||||||||||
Period from 5/15/2001††† to 12/31/2001 | 35.55 | 0.00†† | (3.41 | ) | (3.41 | ) | — | |||||||||||||||
The Guardian UBS Large Cap Value Fund | ||||||||||||||||||||||
Class A: | ||||||||||||||||||||||
Six months ended 6/30/2005† | 13.30 | 0.06 | 0.18 | 0.24 | (0.07 | ) | ||||||||||||||||
Year ended 12/31/2004 | 12.82 | 0.08 | 1.59 | 1.67 | (0.07 | ) | ||||||||||||||||
Period from 2/3/2003††† to 12/31/2003 | 10.00 | 0.08 | 3.06 | 3.14 | (0.07 | ) | ||||||||||||||||
Class B: | ||||||||||||||||||||||
Six months ended 6/30/2005† | 13.24 | 0.00†† | 0.20 | 0.20 | — | |||||||||||||||||
Year ended 12/31/2004 | 12.80 | (0.01 | ) | 1.57 | 1.56 | — | ||||||||||||||||
Period from 2/3/2003††† to 12/31/2003 | 10.00 | 0.00†† | 3.06 | 3.06 | (0.01 | ) | ||||||||||||||||
Class C: | ||||||||||||||||||||||
Six months ended 6/30/2005† | 13.24 | 0.00†† | 0.20 | 0.20 | — | |||||||||||||||||
Year ended 12/31/2004 | 12.80 | (0.01 | ) | 1.57 | 1.56 | — | ||||||||||||||||
Period from 2/3/2003††† to 12/31/2003 | 10.00 | 0.00†† | 3.06 | 3.06 | (0.01 | ) | ||||||||||||||||
Class K: | ||||||||||||||||||||||
Six months ended 6/30/2005† | 13.30 | 0.04 | 0.18 | 0.22 | (0.05 | ) | ||||||||||||||||
Year ended 12/31/2004 | 12.83 | 0.05 | 1.58 | 1.63 | (0.04 | ) | ||||||||||||||||
Period from 2/3/2003††† to 12/31/2003 | 10.00 | 0.05 | 3.07 | 3.12 | (0.04 | ) |
† | Unaudited. |
†† | Rounds to less than $0.01. |
††† | Commencement of operations. |
96
Table of Contents
Distributions | ||||||||||||||||||||||||||
from | Ratios/Supplemental Data | |||||||||||||||||||||||||
Net Realized | ||||||||||||||||||||||||||
Gain on | Net | |||||||||||||||||||||||||
Investments | Net Asset | Investment | ||||||||||||||||||||||||
and Foreign | Value, | Net Assets, | Expenses | Income/(Loss) | Portfolio | |||||||||||||||||||||
Currency Related | End of | Total | End of Period | to Average | to Average | Turnover | ||||||||||||||||||||
Transactions | Period | Return* | (000’s Omitted) | Net Assets | Net Assets | Rate | ||||||||||||||||||||
— | $ | 30.23 | (2.64 | )%(a) | $ | 834,065 | 0.89 | %(b) | 1.65 | %(b) | 55 | % | ||||||||||||||
— | 31.37 | 5.64 | 980,872 | 0.88 | 0.95 | 75 | ||||||||||||||||||||
— | 30.08 | 20.95 | 1,133,468 | 0.89 | 0.72 | 74 | ||||||||||||||||||||
— | 25.03 | (21.56 | ) | 1,120,351 | 0.87 | 0.51 | 60 | |||||||||||||||||||
$ | (0.21 | ) | 32.00 | (21.75 | ) | 1,779,818 | 0.83 | 0.31 | 143 | |||||||||||||||||
(7.58 | ) | 41.18 | (18.62 | ) | 2,589,059 | 0.79 | (0.16 | ) | 108 | |||||||||||||||||
— | 29.12 | (3.13 | )(a) | 92,748 | 1.90 | (b) | 0.65 | (b) | 55 | |||||||||||||||||
— | 30.06 | 4.67 | 130,372 | 1.84 | (0.02 | ) | 75 | |||||||||||||||||||
— | 28.72 | 19.72 | 165,274 | 1.84 | (0.24 | ) | 74 | |||||||||||||||||||
— | 23.99 | (22.31 | ) | 167,471 | 1.83 | (0.44 | ) | 60 | ||||||||||||||||||
(0.21 | ) | 30.88 | (22.46 | ) | 274,761 | 1.75 | (0.61 | ) | 143 | |||||||||||||||||
(7.58 | ) | 40.08 | (19.34 | ) | 431,206 | 1.67 | (1.03 | ) | 108 | |||||||||||||||||
— | 28.67 | (3.21 | )(a) | 6,090 | 2.07 | (b) | 0.47 | (b) | 55 | |||||||||||||||||
— | 29.62 | 4.41 | 6,551 | 2.06 | (0.21 | ) | 75 | |||||||||||||||||||
— | 28.37 | 19.45 | 6,622 | 2.12 | (0.52 | ) | 74 | |||||||||||||||||||
— | 23.75 | (22.49 | ) | 5,884 | 2.07 | (0.67 | ) | 60 | ||||||||||||||||||
(0.21 | ) | 30.64 | (22.62 | ) | 7,594 | 1.96 | (0.81 | ) | 143 | |||||||||||||||||
(5.46 | ) | 39.85 | (21.79 | )(a) | 8,222 | 2.18 | (b) | (1.29 | )(b) | 108 | ||||||||||||||||
— | 30.07 | (2.82 | )(a) | 8,818 | 1.22 | (b) | 1.32 | (b) | 55 | |||||||||||||||||
— | 31.23 | 5.34 | 8,761 | 1.20 | 0.69 | 75 | ||||||||||||||||||||
— | 30.00 | 20.58 | 7,145 | 1.20 | 0.41 | 74 | ||||||||||||||||||||
— | 24.96 | (21.83 | ) | 5,752 | 1.21 | 0.19 | 60 | |||||||||||||||||||
(0.21 | ) | 31.93 | (9.63 | )(a) | 7,229 | 1.22 | (b) | 0.02 | (b) | 143 | ||||||||||||||||
(0.18 | ) | 13.29 | 1.82 | (a) | 24,571 | 1.43 | (b) | 0.80 | (b) | 15 | ||||||||||||||||
(1.12 | ) | 13.30 | 13.43 | 26,676 | 1.44 | 0.68 | 32 | |||||||||||||||||||
(0.25 | ) | 12.82 | 31.48 | (a) | 21,705 | 1.59 | (b) | 0.78 | (b) | 45 | ||||||||||||||||
(0.18 | ) | 13.26 | 1.52 | (a) | 21,232 | 2.18 | (b) | 0.05 | (b) | 15 | ||||||||||||||||
(1.12 | ) | 13.24 | 12.52 | 24,646 | 2.19 | (0.07 | ) | 32 | ||||||||||||||||||
(0.25 | ) | 12.80 | 30.65 | (a) | 21,378 | 2.33 | (b) | 0.03 | (b) | 45 | ||||||||||||||||
(0.18 | ) | 13.26 | 1.52 | (a) | 19,570 | 2.18 | (b) | 0.05 | (b) | 15 | ||||||||||||||||
(1.12 | ) | 13.24 | 12.52 | 23,507 | 2.19 | (0.07 | ) | 32 | ||||||||||||||||||
(0.25 | ) | 12.80 | 30.65 | (a) | 20,801 | 2.33 | (b) | 0.04 | (b) | 45 | ||||||||||||||||
(0.18 | ) | 13.29 | 1.69 | (a) | 21,030 | 1.69 | (b) | 0.53 | (b) | 15 | ||||||||||||||||
(1.12 | ) | 13.30 | 13.05 | 24,342 | 1.70 | 0.42 | 32 | |||||||||||||||||||
(0.25 | ) | 12.83 | 31.22 | (a) | 20,944 | 1.88 | (b) | 0.49 | (b) | 45 |
* | Excludes the effect of sales load. |
(a) | Not annualized. |
(b) | Annualized. |
97
Table of Contents
n | The Park Avenue Portfolio |
Financial Highlights (Continued) |
Selected data for a share of beneficial interest outstanding throughout the periods indicated:
Net Realized | Distributions | |||||||||||||||||||||
& Unrealized | from | |||||||||||||||||||||
Gain/(Loss) on | Net Realized | |||||||||||||||||||||
Investments | Increase/ | Gain on | ||||||||||||||||||||
Net Asset | Net | and Foreign | (Decrease) | Investments | ||||||||||||||||||
Value, | Investment | Currency | from | and Foreign | ||||||||||||||||||
Beginning | Income/ | Related | Investment | Currency Related | ||||||||||||||||||
of Period | (Loss) | Transactions | Operations | Transactions | ||||||||||||||||||
The Guardian Park Avenue Small Cap Fund | ||||||||||||||||||||||
Class A: | ||||||||||||||||||||||
Six months ended 6/30/2005† | $ | 19.40 | $ | (0.03 | ) | $ | (0.77 | ) | $ | (0.80 | ) | $ | (1.26 | ) | ||||||||
Year ended 12/31/2004 | 19.05 | (0.12 | ) | 2.90 | 2.78 | (2.43 | ) | |||||||||||||||
Year ended 12/31/2003 | 13.30 | (0.10 | ) | 5.85 | 5.75 | — | ||||||||||||||||
Year ended 12/31/2002 | 15.74 | (0.07 | ) | (2.37 | ) | (2.44 | ) | — | ||||||||||||||
Year ended 12/31/2001 | 16.93 | (0.06 | ) | (1.13 | ) | (1.19 | ) | — | ||||||||||||||
Year ended 12/31/2000 | 17.48 | (0.05 | ) | (0.37 | ) | (0.42 | ) | (0.13 | ) | |||||||||||||
Class B: | ||||||||||||||||||||||
Six months ended 6/30/2005† | 17.94 | (0.12 | ) | (0.71 | ) | (0.83 | ) | (1.26 | ) | |||||||||||||
Year ended 12/31/2004 | 17.93 | (0.27 | ) | 2.71 | 2.44 | (2.43 | ) | |||||||||||||||
Year ended 12/31/2003 | 12.64 | (0.24 | ) | 5.53 | 5.29 | — | ||||||||||||||||
Year ended 12/31/2002 | 15.10 | (0.20 | ) | (2.26 | ) | (2.46 | ) | — | ||||||||||||||
Year ended 12/31/2001 | 16.39 | (0.20 | ) | (1.09 | ) | (1.29 | ) | — | ||||||||||||||
Year ended 12/31/2000 | 17.06 | (0.20 | ) | (0.34 | ) | (0.54 | ) | (0.13 | ) | |||||||||||||
Class C: | ||||||||||||||||||||||
Six months ended 6/30/2005† | 17.80 | (0.10 | ) | (0.72 | ) | (0.82 | ) | (1.26 | ) | |||||||||||||
Year ended 12/31/2004 | 17.83 | (0.26 | ) | 2.66 | 2.40 | (2.43 | ) | |||||||||||||||
Year ended 12/31/2003 | 12.59 | (0.27 | ) | 5.51 | 5.24 | — | ||||||||||||||||
Year ended 12/31/2002 | 15.07 | (0.22 | ) | (2.26 | ) | (2.48 | ) | — | ||||||||||||||
Year ended 12/31/2001 | 16.39 | (0.21 | ) | (1.11 | ) | (1.32 | ) | — | ||||||||||||||
Period from 8/7/2000†† to 12/31/2000 | 19.37 | (0.08 | ) | (2.77 | ) | (2.85 | ) | (0.13 | ) | |||||||||||||
Class K: | ||||||||||||||||||||||
Six months ended 6/30/2005† | 19.05 | (0.06 | ) | (0.76 | ) | (0.82 | ) | (1.26 | ) | |||||||||||||
Year ended 12/31/2004 | 18.79 | (0.16 | ) | 2.85 | 2.69 | (2.43 | ) | |||||||||||||||
Year ended 12/31/2003 | 13.15 | (0.14 | ) | 5.78 | 5.64 | — | ||||||||||||||||
Year ended 12/31/2002 | 15.62 | (0.11 | ) | (2.36 | ) | (2.47 | ) | — | ||||||||||||||
Period from 5/15/2001†† to 12/31/2001 | 15.71 | (0.07 | ) | (0.02 | ) | (0.09 | ) | — | ||||||||||||||
The Guardian UBS Small Cap Value Fund | ||||||||||||||||||||||
Class A: | ||||||||||||||||||||||
Six months ended 6/30/2005† | 13.17 | (0.03 | ) | (0.12 | ) | (0.15 | ) | (0.13 | ) | |||||||||||||
Year ended 12/31/2004 | 12.71 | (0.03 | ) | 2.25 | 2.22 | (1.76 | ) | |||||||||||||||
Period from 2/3/2003†† to 12/31/2003 | 10.00 | (0.01 | ) | 3.60 | 3.59 | (0.88 | ) | |||||||||||||||
Class B: | ||||||||||||||||||||||
Six months ended 6/30/2005† | 12.94 | (0.08 | ) | (0.11 | ) | (0.19 | ) | (0.13 | ) | |||||||||||||
Year ended 12/31/2004 | 12.61 | (0.12 | ) | 2.21 | 2.09 | (1.76 | ) | |||||||||||||||
Period from 2/3/2003†† to 12/31/2003 | 10.00 | (0.09 | ) | 3.58 | 3.49 | (0.88 | ) | |||||||||||||||
Class C: | ||||||||||||||||||||||
Six months ended 6/30/2005† | 12.94 | (0.08 | ) | (0.11 | ) | (0.19 | ) | (0.13 | ) | |||||||||||||
Year ended 12/31/2004 | 12.61 | (0.12 | ) | 2.21 | 2.09 | (1.76 | ) | |||||||||||||||
Period from 2/3/2003†† to 12/31/2003 | 10.00 | (0.10 | ) | 3.59 | 3.49 | (0.88 | ) | |||||||||||||||
Class K: | ||||||||||||||||||||||
Six months ended 6/30/2005† | 13.12 | (0.04 | ) | (0.12 | ) | (0.16 | ) | (0.13 | ) | |||||||||||||
Year ended 12/31/2004 | 12.68 | (0.04 | ) | 2.24 | 2.20 | (1.76 | ) | |||||||||||||||
Period from 2/3/2003†† to 12/31/2003 | 10.00 | (0.03 | ) | 3.59 | 3.56 | (0.88 | ) |
† | Unaudited. |
†† | Commencement of operations. |
98
Table of Contents
Ratios/Supplemental Data | ||||||||||||||||||||||
Net | ||||||||||||||||||||||
Net Asset | Investment | |||||||||||||||||||||
Value, | Net Assets, | Expenses | Income/(Loss) | Portfolio | ||||||||||||||||||
End of | Total | End of Period | to Average | to Average | Turnover | |||||||||||||||||
Period | Return* | (000’s Omitted) | Net Assets | Net Assets | Rate | |||||||||||||||||
$ | 17.34 | (4.04 | )%(a) | $ | 139,991 | 1.22 | %(b) | (0.36 | )%(b) | 67 | % | |||||||||||
19.40 | 14.74 | 181,068 | 1.21 | (0.67 | ) | 127 | ||||||||||||||||
19.05 | 43.23 | 160,049 | 1.27 | (0.67 | ) | 105 | ||||||||||||||||
13.30 | (15.50 | ) | 111,803 | 1.25 | (0.45 | ) | 108 | |||||||||||||||
15.74 | (7.03 | ) | 139,774 | 1.28 | (0.37 | ) | 131 | |||||||||||||||
16.93 | (2.35 | ) | 150,022 | 1.25 | (0.31 | ) | 125 | |||||||||||||||
15.85 | (4.54 | )(a) | 17,479 | 2.15 | (b) | (1.30 | )(b) | 67 | ||||||||||||||
17.94 | 13.76 | 23,574 | 2.13 | (1.59 | ) | 127 | ||||||||||||||||
17.93 | 41.85 | 22,989 | 2.21 | (1.61 | ) | 105 | ||||||||||||||||
12.64 | (16.29 | ) | 17,189 | 2.19 | (1.40 | ) | 108 | |||||||||||||||
15.10 | (7.87 | ) | 20,876 | 2.18 | (1.27 | ) | 131 | |||||||||||||||
16.39 | (3.11 | ) | 24,977 | 2.12 | (1.18 | ) | 125 | |||||||||||||||
15.72 | (4.52 | )(a) | 9,518 | 2.21 | (b) | (1.31 | )(b) | 67 | ||||||||||||||
17.80 | 13.62 | 9,757 | 2.23 | (1.69 | ) | 127 | ||||||||||||||||
17.83 | 41.62 | 8,092 | 2.39 | (1.79 | ) | 105 | ||||||||||||||||
12.59 | (16.46 | ) | 5,824 | 2.40 | (1.60 | ) | 108 | |||||||||||||||
15.07 | (8.05 | ) | 6,752 | 2.34 | (1.43 | ) | 131 | |||||||||||||||
16.39 | (14.67 | )(a) | 7,033 | 2.22 | (b) | (1.12 | )(b) | 125 | ||||||||||||||
16.97 | (4.22 | )(a) | 11,389 | 1.54 | (b) | (0.65 | )(b) | 67 | ||||||||||||||
19.05 | 14.47 | 12,391 | 1.52 | (0.97 | ) | 127 | ||||||||||||||||
18.79 | 42.89 | 9,893 | 1.55 | (0.96 | ) | 105 | ||||||||||||||||
13.15 | (15.81 | ) | 6,748 | 1.55 | (0.75 | ) | 108 | |||||||||||||||
15.62 | (0.57 | )(a) | 7,959 | 1.61 | (b) | (0.77 | )(b) | 131 | ||||||||||||||
12.89 | (1.12 | )(a) | 13,051 | 1.89 | (b) | (0.46 | )(b) | 35 | ||||||||||||||
13.17 | 18.14 | 14,332 | 1.95 | (0.25 | ) | 53 | ||||||||||||||||
12.71 | 35.76 | (a) | 10,081 | 2.17 | (b) | (0.07 | )(b) | 94 | ||||||||||||||
12.62 | (1.45 | )(a) | 10,018 | 2.66 | (b) | (1.24 | )(b) | 35 | ||||||||||||||
12.94 | 17.22 | 11,652 | 2.71 | (1.04 | ) | 53 | ||||||||||||||||
12.61 | 34.76 | (a) | 9,737 | 2.91 | (b) | (0.81 | )(b) | 94 | ||||||||||||||
12.62 | (1.45 | )(a) | 9,421 | 2.67 | (b) | (1.25 | )(b) | 35 | ||||||||||||||
12.94 | 17.22 | 11,095 | 2.72 | (1.04 | ) | 53 | ||||||||||||||||
12.61 | 34.76 | (a) | 9,422 | 2.91 | (b) | (0.81 | )(b) | 94 | ||||||||||||||
12.83 | (1.20 | )(a) | 10,564 | 2.03 | (b) | (0.60 | )(b) | 35 | ||||||||||||||
13.12 | 18.01 | 11,807 | 2.07 | (0.39 | ) | 53 | ||||||||||||||||
12.68 | 35.46 | (a) | 9,492 | 2.35 | (b) | (0.25 | )(b) | 94 |
* | Excludes the effect of sales load. |
(a) | Not annualized. |
(b) | Annualized. |
99
Table of Contents
n | The Park Avenue Portfolio |
Financial Highlights (Continued) |
Selected data for a share of beneficial interest outstanding throughout the periods indicated:
Net Realized | ||||||||||||||||||||||
& Unrealized | ||||||||||||||||||||||
Gain/(Loss) on | ||||||||||||||||||||||
Investments | Increase/ | |||||||||||||||||||||
Net Asset | Net | and Foreign | (Decrease) | Dividends | ||||||||||||||||||
Value, | Investment | Currency | from | from Net | ||||||||||||||||||
Beginning | Income/ | Related | Investment | Investment | ||||||||||||||||||
of Period | (Loss) | Transactions | Operations | Income | ||||||||||||||||||
The Guardian Asset Allocation Fund | ||||||||||||||||||||||
Class A: | ||||||||||||||||||||||
Six months ended 6/30/2005† | $ | 11.43 | $ | 0.05 | $ | (0.15 | ) | $ | (0.10 | ) | $ | (0.02 | ) | |||||||||
Year ended 12/31/2004 | 10.63 | 0.16 | 0.88 | 1.04 | (0.24 | ) | ||||||||||||||||
Year ended 12/31/2003 | 8.45 | 0.14 | 2.20 | 2.34 | (0.16 | ) | ||||||||||||||||
Year ended 12/31/2002 | 10.84 | 0.17 | (2.38 | ) | (2.21 | ) | (0.18 | ) | ||||||||||||||
Year ended 12/31/2001 | 13.00 | 0.30 | (1.61 | ) | (1.31 | ) | (0.18 | ) | ||||||||||||||
Year ended 12/31/2000 | 14.77 | 0.45 | (0.29 | ) | 0.16 | (0.44 | ) | |||||||||||||||
Class B: | ||||||||||||||||||||||
Six months ended 6/30/2005† | 11.40 | 0.00 | †† | (0.14 | ) | (0.14 | ) | — | ||||||||||||||
Year ended 12/31/2004 | 10.57 | 0.06 | 0.87 | 0.93 | (0.10 | ) | ||||||||||||||||
Year ended 12/31/2003 | 8.41 | 0.05 | 2.18 | 2.23 | (0.07 | ) | ||||||||||||||||
Year ended 12/31/2002 | 10.77 | 0.09 | (2.37 | ) | (2.28 | ) | (0.08 | ) | ||||||||||||||
Year ended 12/31/2001 | 12.95 | 0.19 | (1.59 | ) | (1.40 | ) | (0.11 | ) | ||||||||||||||
Year ended 12/31/2000 | 14.72 | 0.32 | (0.27 | ) | 0.05 | (0.33 | ) | |||||||||||||||
Class C: | ||||||||||||||||||||||
Six months ended 6/30/2005† | 11.41 | (0.01 | ) | (0.14 | ) | (0.15 | ) | — | ||||||||||||||
Year ended 12/31/2004 | 10.56 | 0.04 | 0.88 | 0.92 | (0.07 | ) | ||||||||||||||||
Year ended 12/31/2003 | 8.39 | 0.02 | 2.19 | 2.21 | (0.04 | ) | ||||||||||||||||
Year ended 12/31/2002 | 10.77 | 0.05 | (2.38 | ) | (2.33 | ) | (0.05 | ) | ||||||||||||||
Year ended 12/31/2001 | 12.94 | 0.17 | (1.64 | ) | (1.47 | ) | (0.03 | ) | ||||||||||||||
Period from 8/7/2000††† to 12/31/2000 | 14.72 | 0.15 | (0.78 | ) | (0.63 | ) | (0.23 | ) | ||||||||||||||
Class K: | ||||||||||||||||||||||
Six months ended 6/30/2005† | 11.42 | 0.03 | (0.14 | ) | (0.11 | ) | (0.00 | )†† | ||||||||||||||
Year ended 12/31/2004 | 10.60 | 0.11 | 0.89 | 1.00 | (0.18 | ) | ||||||||||||||||
Year ended 12/31/2003 | 8.43 | 0.09 | 2.19 | 2.28 | (0.11 | ) | ||||||||||||||||
Year ended 12/31/2002 | 10.82 | 0.13 | (2.39 | ) | (2.26 | ) | (0.13 | ) | ||||||||||||||
Period from 5/15/2001††† to 12/31/2001 | 12.06 | 0.11 | (0.68 | ) | (0.57 | ) | — | |||||||||||||||
The Guardian S&P 500 Index Fund | ||||||||||||||||||||||
Class A: | ||||||||||||||||||||||
Six months ended 6/30/2005† | 8.30 | 0.05 | (0.13 | ) | (0.08 | ) | (0.05 | ) | ||||||||||||||
Year ended 12/31/2004 | 7.63 | 0.12 | 0.66 | 0.78 | (0.11 | ) | ||||||||||||||||
Year ended 12/31/2003 | 6.04 | 0.08 | 1.59 | 1.67 | (0.08 | ) | ||||||||||||||||
Year ended 12/31/2002 | 7.90 | 0.10 | (1.86 | ) | (1.76 | ) | (0.10 | ) | ||||||||||||||
Year ended 12/31/2001 | 9.07 | 0.06 | (1.17 | ) | (1.11 | ) | (0.06 | ) | ||||||||||||||
Period from 7/25/2000††† to 12/31/2000 | 10.06 | 0.03 | (0.99 | ) | (0.96 | ) | (0.03 | ) | ||||||||||||||
Class B: | ||||||||||||||||||||||
Six months ended 6/30/2005† | 8.28 | 0.02 | (0.13 | ) | (0.11 | ) | (0.02 | ) | ||||||||||||||
Year ended 12/31/2004 | 7.62 | 0.06 | 0.66 | 0.72 | (0.06 | ) | ||||||||||||||||
Year ended 12/31/2003 | 6.03 | 0.03 | 1.59 | 1.62 | (0.03 | ) | ||||||||||||||||
Year ended 12/31/2002 | 7.88 | 0.02 | (1.85 | ) | (1.83 | ) | (0.02 | ) | ||||||||||||||
Year ended 12/31/2001 | 9.05 | 0.01 | (1.18 | ) | (1.17 | ) | (0.00 | )†† | ||||||||||||||
Period from 7/25/2000††† to 12/31/2000 | 10.06 | 0.00 | †† | (1.01 | ) | (1.01 | ) | — | ||||||||||||||
Class C: | ||||||||||||||||||||||
Six months ended 6/30/2005† | 8.27 | 0.02 | (0.13 | ) | (0.11 | ) | (0.02 | ) | ||||||||||||||
Year ended 12/31/2004 | 7.61 | 0.06 | 0.66 | 0.72 | (0.06 | ) | ||||||||||||||||
Year ended 12/31/2003 | 6.03 | 0.03 | 1.58 | 1.61 | (0.03 | ) | ||||||||||||||||
Year ended 12/31/2002 | 7.88 | 0.02 | (1.85 | ) | (1.83 | ) | (0.02 | ) | ||||||||||||||
Year ended 12/31/2001 | 9.05 | 0.01 | (1.17 | ) | (1.16 | ) | (0.01 | ) | ||||||||||||||
Period from 7/25/2000††† to 12/31/2000 | 10.06 | 0.00 | †† | (1.01 | ) | (1.01 | ) | — | ||||||||||||||
Class K: | ||||||||||||||||||||||
Six months ended 6/30/2005† | 8.29 | 0.04 | (0.13 | ) | (0.09 | ) | (0.03 | ) | ||||||||||||||
Year ended 12/31/2004 | 7.63 | 0.08 | 0.66 | 0.74 | (0.08 | ) | ||||||||||||||||
Year ended 12/31/2003 | 6.04 | 0.06 | 1.59 | 1.65 | (0.06 | ) | ||||||||||||||||
Year ended 12/31/2002 | 7.90 | 0.05 | (1.86 | ) | (1.81 | ) | (0.05 | ) | ||||||||||||||
Period from 5/15/2001††† to 12/31/2001 | 8.59 | 0.02 | (0.69 | ) | (0.67 | ) | (0.02 | ) |
† | Unaudited. |
†† | Rounds to less than $0.01. |
††† | Commencement of operations. |
100
Table of Contents
Distributions | ||||||||||||||||||||||||||||||||||
from | Ratios/Supplemental Data | |||||||||||||||||||||||||||||||||
Net Realized | ||||||||||||||||||||||||||||||||||
Gain on | Net | |||||||||||||||||||||||||||||||||
Investments | Net Asset | Expenses | GAAF | Investment | ||||||||||||||||||||||||||||||
and Foreign | Value, | Net Assets, | Expenses | Waived/ | Gross | Income/(Loss) | Portfolio | |||||||||||||||||||||||||||
Currency Related | End of | Total | End of Period | to Average | Subsidized | Expense | to Average | Turnover | ||||||||||||||||||||||||||
Transactions | Period | Return* | (000’s Omitted) | Net Assets(a) | by GIS | Ratio(b) | Net Assets | Rate | ||||||||||||||||||||||||||
— | $ | 11.31 | (0.91 | )%(c) | $ | 101,549 | 0.41 | %(d) | 0.77 | %(d) | 0.84 | %(d) | 0.86 | % (d) | 3 | % | ||||||||||||||||||
— | 11.43 | 9.84 | 111,486 | 0.41 | 0.76 | 0.86 | 1.30 | 0 | ||||||||||||||||||||||||||
— | 10.63 | 27.87 | 118,988 | 0.43 | 0.77 | 0.92 | (e) | 1.25 | 0 | |||||||||||||||||||||||||
— | 8.45 | (20.64 | ) | 110,593 | 0.42 | 0.73 | 0.89 | (e) | 1.60 | 4 | ||||||||||||||||||||||||
$ | (0.67 | ) | 10.84 | (10.23 | ) | 169,386 | 0.47 | 0.63 | 0.83 | (e) | 2.44 | 51 | ||||||||||||||||||||||
(1.49 | ) | 13.00 | 1.00 | 227,228 | 0.46 | 0.60 | 0.96 | (e) | 3.07 | 11 | ||||||||||||||||||||||||
— | 11.26 | (1.23 | )(c) | 24,567 | 1.24 | (d) | 0.77 | (d) | 1.67 | (d) | (0.01 | )(d) | 3 | |||||||||||||||||||||
— | 11.40 | 8.83 | 29,226 | 1.23 | 0.76 | 1.68 | 0.46 | 0 | ||||||||||||||||||||||||||
— | 10.57 | 26.65 | 32,863 | 1.27 | 0.77 | 1.75 | (e) | 0.43 | 0 | |||||||||||||||||||||||||
— | 8.41 | (21.31 | ) | 29,064 | 1.25 | 0.73 | 1.71 | (e) | 0.78 | 4 | ||||||||||||||||||||||||
(0.67 | ) | 10.77 | (10.99 | ) | 44,813 | 1.28 | 0.63 | 1.64 | (e) | 1.62 | 51 | |||||||||||||||||||||||
(1.49 | ) | 12.95 | 0.26 | 51,024 | 1.28 | 0.60 | 1.76 | (e) | 2.29 | 11 | ||||||||||||||||||||||||
— | 11.26 | (1.31 | )(c) | 8,290 | 1.40 | (d) | 0.77 | (d) | 1.83 | (d) | (0.10 | )(d) | 3 | |||||||||||||||||||||
— | 11.41 | 8.68 | 8,431 | 1.42 | 0.76 | 1.87 | 0.35 | 0 | ||||||||||||||||||||||||||
— | 10.56 | 26.39 | 7,857 | 1.51 | 0.77 | 2.00 | (e) | 0.19 | 0 | |||||||||||||||||||||||||
— | 8.39 | (21.70 | ) | 6,470 | 1.50 | 0.73 | 1.97 | (e) | 0.58 | 4 | ||||||||||||||||||||||||
(0.67 | ) | 10.77 | (11.48 | ) | 8,080 | 1.46 | 0.63 | 1.82 | (e) | 1.43 | 51 | |||||||||||||||||||||||
(0.92 | ) | 12.94 | (4.18 | )(c) | 8,544 | 1.49 | (d) | 0.55 | (d) | 1.93 | (d)(e) | 2.61 | (d) | 11 | ||||||||||||||||||||
— | 11.31 | (0.93 | )(c) | 9,599 | 0.69 | (d) | 0.77 | (d) | 1.12 | (d) | 0.63 | (d) | 3 | |||||||||||||||||||||
— | 11.42 | 9.51 | 9,293 | 0.68 | 0.76 | 1.13 | 1.13 | 0 | ||||||||||||||||||||||||||
— | 10.60 | 27.20 | 7,859 | 0.68 | 0.77 | 1.17 | (e) | 1.04 | 0 | |||||||||||||||||||||||||
— | 8.43 | (21.05 | ) | 6,126 | 0.70 | 0.73 | 1.16 | (e) | 1.39 | 4 | ||||||||||||||||||||||||
(0.67 | ) | 10.82 | (4.85 | )(c) | 7,619 | 0.75 | (d) | 0.72 | (d) | 1.16 | (d)(e) | 1.57 | (d) | 51 | ||||||||||||||||||||
— | 8.17 | (1.02 | )(c) | 145,657 | 0.53 | (d) | 0.17 | (d) | — | 1.32 | (d) | 1 | ||||||||||||||||||||||
— | 8.30 | 10.30 | 145,072 | 0.53 | 0.18 | — | 1.50 | 1 | ||||||||||||||||||||||||||
— | 7.63 | 27.78 | 129,228 | 0.53 | 0.25 | — | 1.26 | 4 | ||||||||||||||||||||||||||
— | 6.04 | (22.35 | ) | 100,129 | 0.53 | 0.13 | — | 1.03 | 10 | |||||||||||||||||||||||||
— | 7.90 | (12.25 | ) | 276,645 | 0.53 | 0.10 | — | 0.87 | 1 | |||||||||||||||||||||||||
(0.00 | )(f) | 9.07 | (9.53 | )(c) | 167,487 | 0.53 | (d) | 0.21 | (d) | — | 0.71 | (d) | 4 | |||||||||||||||||||||
— | 8.15 | (1.34 | )(c) | 13,148 | 1.28 | (d) | 0.42 | (d) | — | 0.56 | (d) | 1 | ||||||||||||||||||||||
— | 8.28 | 9.40 | 13,394 | 1.28 | 0.45 | — | 0.75 | 1 | ||||||||||||||||||||||||||
— | 7.62 | 26.94 | 12,070 | 1.28 | 0.61 | — | 0.51 | 4 | ||||||||||||||||||||||||||
— | 6.03 | (23.22 | ) | 8,472 | 1.28 | 0.52 | — | 0.33 | 10 | |||||||||||||||||||||||||
— | 7.88 | (12.87 | ) | 9,705 | 1.28 | 0.47 | — | 0.09 | 1 | |||||||||||||||||||||||||
(0.00 | )(f) | 9.05 | (10.00 | )(c) | 7,677 | 1.28 | (d) | 0.47 | (d) | — | (0.04 | )(d) | 4 | |||||||||||||||||||||
— | 8.14 | (1.34 | )(c) | 9,183 | 1.28 | (d) | 0.47 | (d) | — | 0.57 | (d) | 1 | ||||||||||||||||||||||
— | 8.27 | 9.41 | 9,842 | 1.28 | 0.49 | — | 0.74 | 1 | ||||||||||||||||||||||||||
— | 7.61 | 26.77 | 8,796 | 1.28 | 0.67 | — | 0.51 | 4 | ||||||||||||||||||||||||||
— | 6.03 | (23.21 | ) | 6,175 | 1.28 | 0.57 | — | 0.33 | 10 | |||||||||||||||||||||||||
— | 7.88 | (12.87 | ) | 7,598 | 1.28 | 0.49 | — | 0.09 | 1 | |||||||||||||||||||||||||
(0.00 | )(f) | 9.05 | (10.00 | )(c) | 7,296 | 1.28 | (d) | 0.47 | (d) | — | (0.04 | )(d) | 4 | |||||||||||||||||||||
— | 8.17 | (1.09 | )(c) | 11,233 | 0.93 | (d) | 0.15 | (d) | — | 0.92 | (d) | 1 | ||||||||||||||||||||||
— | 8.29 | 9.72 | 10,244 | 0.93 | 0.16 | — | 1.13 | 1 | ||||||||||||||||||||||||||
— | 7.63 | 27.31 | 7,594 | 0.93 | 0.21 | — | 0.86 | 4 | ||||||||||||||||||||||||||
— | 6.04 | (23.00 | ) | 5,722 | 0.93 | 0.10 | — | 0.68 | 10 | |||||||||||||||||||||||||
— | 7.90 | (7.76 | )(c) | 7,383 | 0.93 | (d) | 0.15 | (d) | — | 0.47 | (d) | 1 |
* | Excludes the effect of sales load. |
(a) | After expenses subsidized by GIS and do not include the expenses of the underlying Funds. |
(b) | Amounts include the expenses of the underlying Funds. |
(c) | Not annualized. |
(d) | Annualized. |
(e) | Reflects adjustments made on prior year’s expense waivers. |
(f) | Rounds to less than $0.01. |
101
Table of Contents
n | The Park Avenue Portfolio |
Financial Highlights (Continued) |
Selected data for a share of beneficial interest outstanding throughout the periods indicated:
Net Realized | ||||||||||||||||||||||
& Unrealized | ||||||||||||||||||||||
Gain/(Loss) on | ||||||||||||||||||||||
Investments | Increase/ | |||||||||||||||||||||
Net Asset | Net | and Foreign | (Decrease) | Dividends | ||||||||||||||||||
Value, | Investment | Currency | from | from Net | ||||||||||||||||||
Beginning | Income/ | Related | Investment | Investment | ||||||||||||||||||
of Period | (Loss) | Transactions | Operations | Income | ||||||||||||||||||
The Guardian Baillie Gifford International Growth Fund | ||||||||||||||||||||||
Class A: | ||||||||||||||||||||||
Six months ended 6/30/2005† | $ | 13.26 | $ | 0.11 | $ | (0.13 | ) | $ | (0.02 | ) | $ | (0.05 | ) | |||||||||
Year ended 12/31/2004 | 11.43 | 0.03 | 1.83 | 1.86 | (0.03 | ) | ||||||||||||||||
Year ended 12/31/2003 | 8.90 | 0.18 | 2.33 | 2.51 | (0.01 | ) | ||||||||||||||||
Year ended 12/31/2002 | 11.09 | 0.06 | (2.25 | ) | (2.19 | ) | — | |||||||||||||||
Year ended 12/31/2001 | 14.28 | 0.01 | (3.20 | ) | (3.19 | ) | — | |||||||||||||||
Year ended 12/31/2000 | 23.36 | (0.06 | ) | (5.52 | ) | (5.58 | ) | — | ||||||||||||||
Class B: | ||||||||||||||||||||||
Six months ended 6/30/2005† | 12.02 | (0.11 | ) | 0.02 | (0.09 | ) | — | |||||||||||||||
Year ended 12/31/2004 | 10.45 | (0.29 | ) | 1.86 | 1.57 | — | ||||||||||||||||
Year ended 12/31/2003 | 8.22 | (0.16 | ) | 2.36 | 2.20 | — | ||||||||||||||||
Year ended 12/31/2002 | 10.38 | (0.19 | ) | (1.97 | ) | (2.16 | ) | — | ||||||||||||||
Year ended 12/31/2001 | 13.54 | (0.20 | ) | (2.96 | ) | (3.16 | ) | — | ||||||||||||||
Year ended 12/31/2000 | 22.61 | (0.11 | ) | (5.46 | ) | (5.57 | ) | — | ||||||||||||||
Class C: | ||||||||||||||||||||||
Six months ended 6/30/2005† | 12.06 | 0.03 | (0.11 | ) | (0.08 | ) | — | |||||||||||||||
Year ended 12/31/2004 | 10.47 | (0.08 | ) | 1.67 | 1.59 | — | ||||||||||||||||
Year ended 12/31/2003 | 8.24 | (0.08 | ) | 2.28 | 2.20 | — | ||||||||||||||||
Year ended 12/31/2002 | 10.40 | (0.09 | ) | (2.07 | ) | (2.16 | ) | — | ||||||||||||||
Year ended 12/31/2001 | 13.55 | (0.12 | ) | (3.03 | ) | (3.15 | ) | — | ||||||||||||||
Period from 8/7/2000†† to 12/31/2000 | 19.19 | (0.09 | ) | (2.20 | ) | (2.29 | ) | — | ||||||||||||||
Class K: | ||||||||||||||||||||||
Six months ended 6/30/2005† | 13.06 | 0.09 | (0.12 | ) | (0.03 | ) | (0.04 | ) | ||||||||||||||
Year ended 12/31/2004 | 11.24 | 0.00 | ††† | 1.82 | 1.82 | — | ||||||||||||||||
Year ended 12/31/2003 | 8.76 | 0.00 | ††† | 2.45 | 2.45 | — | ||||||||||||||||
Year ended 12/31/2002 | 10.94 | 0.00 | ††† | (2.18 | ) | (2.18 | ) | — | ||||||||||||||
Period from 5/15/2001†† to 12/31/2001 | 12.96 | (0.04 | ) | (1.98 | ) | (2.02 | ) | — | ||||||||||||||
The Guardian Baillie Gifford Emerging Markets Fund | ||||||||||||||||||||||
Class A: | ||||||||||||||||||||||
Six months ended 6/30/2005† | 14.67 | 0.10 | 1.08 | 1.18 | — | |||||||||||||||||
Year ended 12/31/2004 | 12.39 | 0.05 | 2.85 | 2.90 | (0.03 | ) | ||||||||||||||||
Year ended 12/31/2003 | 8.07 | 0.05 | 4.27 | 4.32 | — | |||||||||||||||||
Year ended 12/31/2002 | 8.45 | 0.01 | (0.39 | ) | (0.38 | ) | — | |||||||||||||||
Year ended 12/31/2001 | 8.31 | 0.01 | 0.13 | 0.14 | — | |||||||||||||||||
Year ended 12/31/2000 | 11.13 | (0.55 | ) | (2.05 | ) | (2.60 | ) | (0.22 | ) | |||||||||||||
Class B: | ||||||||||||||||||||||
Six months ended 6/30/2005† | 13.39 | 0.01 | 1.00 | 1.01 | — | |||||||||||||||||
Year ended 12/31/2004 | 11.44 | (0.05 | ) | 2.59 | 2.54 | — | ||||||||||||||||
Year ended 12/31/2003 | 7.55 | (0.04 | ) | 3.93 | 3.89 | — | ||||||||||||||||
Year ended 12/31/2002 | 7.98 | (0.10 | ) | (0.33 | ) | (0.43 | ) | — | ||||||||||||||
Year ended 12/31/2001 | 7.97 | (0.10 | ) | 0.11 | 0.01 | — | ||||||||||||||||
Year ended 12/31/2000 | 10.65 | 0.08 | (2.76 | ) | (2.68 | ) | — | |||||||||||||||
Class C: | ||||||||||||||||||||||
Six months ended 6/30/2005† | 13.43 | 0.05 | 0.97 | 1.02 | — | |||||||||||||||||
Year ended 12/31/2004 | 11.47 | (0.06 | ) | 2.61 | 2.55 | — | ||||||||||||||||
Year ended 12/31/2003 | 7.56 | (0.04 | ) | 3.95 | 3.91 | — | ||||||||||||||||
Year ended 12/31/2002 | 8.00 | (0.09 | ) | (0.35 | ) | (0.44 | ) | — | ||||||||||||||
Year ended 12/31/2001 | 7.98 | (0.09 | ) | 0.11 | 0.02 | — | ||||||||||||||||
Period from 8/7/2000†† to 12/31/2000 | 9.92 | (0.08 | ) | (1.86 | ) | (1.94 | ) | — | ||||||||||||||
Class K: | ||||||||||||||||||||||
Six months ended 6/30/2005† | 14.39 | 0.09 | 1.06 | 1.15 | (0.01 | ) | ||||||||||||||||
Year ended 12/31/2004 | 12.19 | 0.01 | 2.79 | 2.80 | (0.01 | ) | ||||||||||||||||
Year ended 12/31/2003 | 7.97 | 0.03 | 4.19 | 4.22 | — | |||||||||||||||||
Year ended 12/31/2002 | 8.36 | (0.03 | ) | (0.36 | ) | (0.39 | ) | — | ||||||||||||||
Period from 5/15/2001†† to 12/31/2001 | 8.35 | (0.06 | ) | 0.07 | 0.01 | — |
† | Unaudited. |
†† | Commencement of operations. |
††† | Rounds to less than $0.01. |
102
Table of Contents
Distributions | ||||||||||||||||||||||||||||||||||
from | Ratios/Supplemental Data | |||||||||||||||||||||||||||||||||
Net Realized | ||||||||||||||||||||||||||||||||||
Gain on | Net | |||||||||||||||||||||||||||||||||
Investments | Net Asset | Investment | ||||||||||||||||||||||||||||||||
and Foreign | Value, | Net Assets, | Expenses | Income/(Loss) | Portfolio | |||||||||||||||||||||||||||||
Currency Related | Redemption | Tax Return | End of | Total | End of Period | to Average | to Average | Turnover | ||||||||||||||||||||||||||
Transactions | Fees | of Capital | Period | Return* | (000’s Omitted) | Net Assets | Net Assets | Rate | ||||||||||||||||||||||||||
— | $ | 0.00 | (a) | — | $ | 13.19 | (0.18 | )%(b) | $ | 34,043 | 1.85 | %(c) | 1.53 | %(c) | 17 | % | ||||||||||||||||||
— | 0.00 | (a) | — | 13.26 | 16.34 | 35,106 | 1.94 | 0.13 | 24 | |||||||||||||||||||||||||
— | 0.03 | — | 11.43 | 28.57 | 32,126 | 1.93 | 0.50 | 44 | ||||||||||||||||||||||||||
— | — | — | 8.90 | (19.75 | ) | 47,948 | 1.62 | 0.29 | 45 | |||||||||||||||||||||||||
— | — | — | 11.09 | (22.34 | ) | 80,856 | 1.53 | 0.06 | 63 | |||||||||||||||||||||||||
$ | (3.26 | ) | — | $ | (0.24 | ) | 14.28 | (23.81 | ) | 94,482 | 1.45 | (0.29 | ) | 78 | ||||||||||||||||||||
— | 0.00 | (a) | — | 11.93 | (0.75 | )(b) | 5,647 | 3.01 | (c) | 0.34 | (c) | 17 | ||||||||||||||||||||||
— | 0.00 | (a) | — | 12.02 | 15.02 | 6,307 | 3.08 | (0.98 | ) | 24 | ||||||||||||||||||||||||
— | 0.03 | — | 10.45 | 27.13 | 6,535 | 3.19 | (1.00 | ) | 44 | |||||||||||||||||||||||||
— | — | — | 8.22 | (20.81 | ) | 5,598 | 2.87 | (0.98 | ) | 45 | ||||||||||||||||||||||||
— | — | — | 10.38 | (23.34 | ) | 8,228 | 2.62 | (1.05 | ) | 63 | ||||||||||||||||||||||||
(3.26 | ) | — | (0.24 | ) | 13.54 | (24.56 | ) | 12,747 | 2.43 | (1.27 | ) | 78 | ||||||||||||||||||||||
— | 0.00 | (a) | — | 11.98 | (0.66 | )(b) | 6,607 | 2.81 | (c) | 0.56 | (c) | 17 | ||||||||||||||||||||||
— | 0.00 | (a) | — | 12.06 | 15.19 | 6,687 | 2.95 | (0.89 | ) | 24 | ||||||||||||||||||||||||
— | 0.03 | — | 10.47 | 27.06 | 5,546 | 3.10 | (0.93 | ) | 44 | |||||||||||||||||||||||||
— | — | — | 8.24 | (20.77 | ) | 4,381 | 2.85 | (0.99 | ) | 45 | ||||||||||||||||||||||||
— | — | — | 10.40 | (23.25 | ) | 5,530 | 2.60 | (1.04 | ) | 63 | ||||||||||||||||||||||||
(3.11 | ) | — | (0.24 | ) | 13.55 | (11.72 | )(b) | 7,208 | 2.51 | (c) | (1.52 | )(c) | 78 | |||||||||||||||||||||
— | 0.00 | (a) | — | 12.99 | (0.25 | )(b) | 9,036 | 2.03 | (c) | 1.35 | (c) | 17 | ||||||||||||||||||||||
— | 0.00 | (a) | — | 13.06 | 16.19 | 8,792 | 2.04 | 0.00 | (a) | 24 | ||||||||||||||||||||||||
— | 0.03 | — | 11.24 | 28.31 | 6,979 | 2.13 | 0.04 | 44 | ||||||||||||||||||||||||||
— | — | — | 8.76 | (19.93 | ) | 5,407 | 1.86 | 0.01 | 45 | |||||||||||||||||||||||||
— | — | — | 10.94 | (15.59 | )(b) | 6,753 | 1.84 | (c) | (0.60 | )(c) | 63 | |||||||||||||||||||||||
(0.38 | ) | 0.00 | (a) | — | 15.47 | 8.14 | (b) | 78,058 | 1.78 | (c) | 1.60 | (c) | 19 | |||||||||||||||||||||
(0.59 | ) | 0.00 | (a) | — | 14.67 | 23.53 | 61,975 | 1.88 | 0.42 | 71 | ||||||||||||||||||||||||
— | — | — | 12.39 | 53.53 | 43,561 | 2.10 | 0.57 | 74 | ||||||||||||||||||||||||||
— | — | — | 8.07 | (4.50 | ) | 27,356 | 2.10 | (0.04 | ) | 81 | ||||||||||||||||||||||||
— | — | — | 8.45 | 1.68 | 19,777 | 2.39 | (0.19 | ) | 101 | |||||||||||||||||||||||||
— | — | — | 8.31 | (23.88 | ) | 18,439 | 2.18 | (0.86 | ) | 101 | ||||||||||||||||||||||||
(0.38 | ) | 0.00 | (a) | — | 14.02 | 7.64 | (b) | 10,781 | 2.74 | (c) | 0.59 | (c) | 19 | |||||||||||||||||||||
(0.59 | ) | 0.00 | (a) | — | 13.39 | 22.28 | 12,138 | 2.90 | (0.58 | ) | 71 | |||||||||||||||||||||||
— | — | — | 11.44 | 51.52 | 9,389 | 3.20 | (0.54 | ) | 74 | |||||||||||||||||||||||||
— | — | — | 7.55 | (5.39 | ) | 5,965 | 3.21 | (1.16 | ) | 81 | ||||||||||||||||||||||||
— | — | — | 7.98 | 0.13 | 6,023 | 3.51 | (1.28 | ) | 101 | |||||||||||||||||||||||||
— | — | — | 7.97 | (25.16 | ) | 6,105 | 3.79 | (2.54 | ) | 101 | ||||||||||||||||||||||||
(0.38 | ) | 0.00 | (a) | — | 14.07 | 7.70 | (b) | 13,612 | 2.70 | (c) | 0.64 | (c) | 19 | |||||||||||||||||||||
(0.59 | ) | 0.00 | (a) | — | 13.43 | 22.30 | 12,291 | 2.85 | (0.55 | ) | 71 | |||||||||||||||||||||||
— | — | — | 11.47 | 51.72 | 9,540 | 3.17 | (0.51 | ) | 74 | |||||||||||||||||||||||||
— | — | — | 7.56 | (5.50 | ) | 6,306 | 3.12 | (1.08 | ) | 81 | ||||||||||||||||||||||||
— | — | — | 8.00 | 0.25 | 6,486 | 3.34 | (1.12 | ) | 101 | |||||||||||||||||||||||||
— | — | — | 7.98 | (19.56 | )(b) | 6,466 | 3.49 | (c) | (2.31 | )(c) | 101 | |||||||||||||||||||||||
(0.38 | ) | 0.00 | (a) | — | 15.15 | 7.94 | (b) | 16,873 | 2.12 | (c) | 1.22 | (c) | 19 | |||||||||||||||||||||
(0.59 | ) | 0.00 | (a) | — | 14.39 | 23.16 | 15,202 | 2.19 | 0.12 | 71 | ||||||||||||||||||||||||
— | — | — | 12.19 | 52.95 | 11,803 | 2.38 | 0.29 | 74 | ||||||||||||||||||||||||||
— | — | — | 7.97 | (4.67 | ) | 7,685 | 2.36 | (0.32 | ) | 81 | ||||||||||||||||||||||||
— | — | — | 8.36 | 0.12 | (b) | 8,020 | 2.63 | (c) | (1.23 | )(c) | 101 |
* | Excludes the effect of sales load. |
(a) | Rounds to less than $0.01. |
(b) | Not annualized. |
(c) | Annualized. |
103
Table of Contents
n | The Park Avenue Portfolio |
Financial Highlights (Continued) |
Selected data for a share of beneficial interest outstanding throughout the periods indicated:
Net Realized | ||||||||||||||||||||||
& Unrealized | ||||||||||||||||||||||
Gain/(Loss) on | ||||||||||||||||||||||
Investments | ||||||||||||||||||||||
Net Asset | and Foreign | Increase | Dividends | |||||||||||||||||||
Value, | Net | Currency | from | from Net | ||||||||||||||||||
Beginning | Investment | Related | Investment | Investment | ||||||||||||||||||
of Period | Income | Transactions | Operations | Income | ||||||||||||||||||
The Guardian Investment Quality Bond Fund | ||||||||||||||||||||||
Class A: | ||||||||||||||||||||||
Six months ended 6/30/2005† | $ | 10.02 | $ | 0.19 | $ | 0.05 | $ | 0.24 | $ | (0.19 | ) | |||||||||||
Year ended 12/31/2004 | 10.09 | 0.38 | 0.03 | 0.41 | (0.38 | ) | ||||||||||||||||
Year ended 12/31/2003 | 10.28 | 0.35 | 0.11 | 0.46 | (0.35 | ) | ||||||||||||||||
Year ended 12/31/2002 | 9.86 | 0.44 | 0.45 | 0.89 | (0.44 | ) | ||||||||||||||||
Year ended 12/31/2001 | 9.61 | 0.50 | 0.30 | 0.80 | (0.50 | ) | ||||||||||||||||
Year ended 12/31/2000 | 9.33 | 0.60 | 0.28 | 0.88 | (0.60 | ) | ||||||||||||||||
Class B: | ||||||||||||||||||||||
Six months ended 6/30/2005† | 10.01 | 0.16 | 0.05 | 0.21 | (0.16 | ) | ||||||||||||||||
Year ended 12/31/2004 | 10.09 | 0.30 | 0.02 | 0.32 | (0.30 | ) | ||||||||||||||||
Year ended 12/31/2003 | 10.28 | 0.27 | 0.11 | 0.38 | (0.27 | ) | ||||||||||||||||
Year ended 12/31/2002 | 9.86 | 0.37 | 0.45 | 0.82 | (0.37 | ) | ||||||||||||||||
Year ended 12/31/2001 | 9.60 | 0.43 | 0.31 | 0.74 | (0.43 | ) | ||||||||||||||||
Period from 8/7/2000†† to 12/31/2000 | 9.41 | 0.22 | 0.19 | 0.41 | (0.22 | ) | ||||||||||||||||
Class C: | ||||||||||||||||||||||
Six months ended 6/30/2005† | 10.01 | 0.16 | 0.05 | 0.21 | (0.16 | ) | ||||||||||||||||
Year ended 12/31/2004 | 10.09 | 0.30 | 0.02 | 0.32 | (0.30 | ) | ||||||||||||||||
Year ended 12/31/2003 | 10.28 | 0.27 | 0.11 | 0.38 | (0.27 | ) | ||||||||||||||||
Year ended 12/31/2002 | 9.86 | 0.37 | 0.45 | 0.82 | (0.37 | ) | ||||||||||||||||
Year ended 12/31/2001 | 9.60 | 0.43 | 0.31 | 0.74 | (0.43 | ) | ||||||||||||||||
Period from 8/7/2000†† to 12/31/2000 | 9.41 | 0.22 | 0.19 | 0.41 | (0.22 | ) | ||||||||||||||||
Class K: | ||||||||||||||||||||||
Six months ended 6/30/2005† | 10.03 | 0.17 | 0.05 | 0.22 | (0.17 | ) | ||||||||||||||||
Year ended 12/31/2004 | 10.10 | 0.34 | 0.03 | 0.37 | (0.34 | ) | ||||||||||||||||
Year ended 12/31/2003 | 10.29 | 0.31 | 0.11 | 0.42 | (0.31 | ) | ||||||||||||||||
Year ended 12/31/2002 | 9.87 | 0.40 | 0.45 | 0.85 | (0.40 | ) | ||||||||||||||||
Period from 5/15/2001†† to 12/31/2001 | 9.68 | 0.28 | 0.24 | 0.52 | (0.28 | ) | ||||||||||||||||
The Guardian Low Duration Bond Fund | ||||||||||||||||||||||
Class A: | ||||||||||||||||||||||
Six months ended 6/30/2005† | 9.93 | 0.13 | (0.05 | ) | 0.08 | (0.13 | ) | |||||||||||||||
Year ended 12/31/2004 | 10.02 | 0.23 | (0.09 | ) | 0.14 | (0.23 | ) | |||||||||||||||
Period from 7/30/2003†† to 12/31/2003 | 10.00 | 0.08 | 0.02 | 0.10 | (0.08 | ) | ||||||||||||||||
Class B: | ||||||||||||||||||||||
Six months ended 6/30/2005† | 9.93 | 0.10 | (0.05 | ) | 0.05 | (0.10 | ) | |||||||||||||||
Year ended 12/31/2004 | 10.02 | 0.15 | (0.09 | ) | 0.06 | (0.15 | ) | |||||||||||||||
Period from 7/30/2003†† to 12/31/2003 | 10.00 | 0.05 | 0.02 | 0.07 | (0.05 | ) | ||||||||||||||||
Class C: | ||||||||||||||||||||||
Six months ended 6/30/2005† | 9.93 | 0.10 | (0.05 | ) | 0.05 | (0.10 | ) | |||||||||||||||
Year ended 12/31/2004 | 10.02 | 0.15 | (0.09 | ) | 0.06 | (0.15 | ) | |||||||||||||||
Period from 7/30/2003†† to 12/31/2003 | 10.00 | 0.05 | 0.02 | 0.07 | (0.05 | ) | ||||||||||||||||
Class K: | ||||||||||||||||||||||
Six months ended 6/30/2005† | 9.93 | 0.11 | (0.05 | ) | 0.06 | (0.11 | ) | |||||||||||||||
Year ended 12/31/2004 | 10.02 | 0.19 | (0.09 | ) | 0.10 | (0.19 | ) | |||||||||||||||
Period from 7/30/2003†† to 12/31/2003 | 10.00 | 0.06 | 0.02 | 0.08 | (0.06 | ) |
† Unaudited.
†† Commencement of operations.
104
Table of Contents
Distributions | ||||||||||||||||||||||||||||||||||
from | Ratios/Supplemental Data | |||||||||||||||||||||||||||||||||
Net Realized | ||||||||||||||||||||||||||||||||||
Gain on | Expenses | Net | ||||||||||||||||||||||||||||||||
Investments | Net Asset | Net | (excluding | Investment | ||||||||||||||||||||||||||||||
and Foreign | Value, | Net Assets, | Expenses | interest expense) | Expenses | Income | Portfolio | |||||||||||||||||||||||||||
Currency Related | End of | Total | End of Period | to Average | to Average | Subsidized | to Average | Turnover | ||||||||||||||||||||||||||
Transactions | Period | Return* | (000’s Omitted) | Net Assets(a)(b) | Net Assets(a) | by GIS | Net Assets | Rate | ||||||||||||||||||||||||||
$ | (0.04 | ) | $ | 10.03 | 2.49 | %(c) | $ | 105,991 | 0.85 | %(d) | 0.85 | %(d) | 0.14 | %(d) | 3.89 | %(d) | 101 | % | ||||||||||||||||
(0.10 | ) | 10.02 | 4.10 | 105,131 | 0.85 | 0.85 | 0.13 | 3.74 | 233 | |||||||||||||||||||||||||
(0.30 | ) | 10.09 | 4.53 | 143,536 | 0.85 | 0.85 | 0.11 | 3.40 | 257 | |||||||||||||||||||||||||
(0.03 | ) | 10.28 | 9.25 | 170,658 | 0.85 | 0.85 | 0.08 | 4.37 | 275 | |||||||||||||||||||||||||
(0.05 | ) | 9.86 | 8.55 | 144,900 | 0.86 | 0.85 | 0.09 | 5.11 | 414 | |||||||||||||||||||||||||
— | 9.61 | 9.81 | 124,805 | 0.85 | 0.85 | 0.09 | 6.41 | 344 | ||||||||||||||||||||||||||
(0.04 | ) | 10.02 | 2.11 | (c) | 14,952 | 1.60 | (d) | 1.60 | (d) | 0.30 | (d) | 3.14 | (d) | 101 | ||||||||||||||||||||
(0.10 | ) | 10.01 | 3.22 | 16,685 | 1.60 | 1.60 | 0.28 | 2.99 | 233 | |||||||||||||||||||||||||
(0.30 | ) | 10.09 | 3.75 | 18,374 | 1.60 | 1.60 | 0.27 | 2.65 | 257 | |||||||||||||||||||||||||
(0.03 | ) | 10.28 | 8.43 | 19,308 | 1.60 | 1.60 | 0.27 | 3.58 | 275 | |||||||||||||||||||||||||
(0.05 | ) | 9.86 | 7.86 | 13,036 | 1.61 | 1.60 | 0.31 | 4.31 | 414 | |||||||||||||||||||||||||
— | 9.60 | 4.40 | (c) | 8,493 | 1.60 | (d) | 1.60 | (d) | 0.34 | (d) | 5.78 | (d) | 344 | |||||||||||||||||||||
(0.04 | ) | 10.02 | 2.11 | (c) | 10,191 | 1.60 | (d) | 1.60 | (d) | 0.34 | (d) | 3.14 | (d) | 101 | ||||||||||||||||||||
(0.10 | ) | 10.01 | 3.22 | 11,422 | 1.60 | 1.60 | 0.33 | 2.99 | 233 | |||||||||||||||||||||||||
(0.30 | ) | 10.09 | 3.75 | 11,206 | 1.60 | 1.60 | 0.35 | 2.66 | 257 | |||||||||||||||||||||||||
(0.03 | ) | 10.28 | 8.44 | 10,753 | 1.60 | 1.60 | 0.36 | 3.64 | 275 | |||||||||||||||||||||||||
(0.05 | ) | 9.86 | 7.85 | 9,090 | 1.61 | 1.60 | 0.36 | 4.36 | 414 | |||||||||||||||||||||||||
— | 9.60 | 4.39 | (c) | 8,356 | 1.60 | (d) | 1.60 | (d) | 0.34 | (d) | 5.78 | (d) | 344 | |||||||||||||||||||||
(0.04 | ) | 10.04 | 2.29 | (c) | 8,930 | 1.25 | (d) | 1.25 | (d) | 0.09 | (d) | 3.49 | (d) | 101 | ||||||||||||||||||||
(0.10 | ) | 10.03 | 3.69 | 11,004 | 1.25 | 1.25 | 0.06 | 3.34 | 233 | |||||||||||||||||||||||||
(0.30 | ) | 10.10 | 4.11 | 9,820 | 1.25 | 1.25 | 0.05 | 3.00 | 257 | |||||||||||||||||||||||||
(0.03 | ) | 10.29 | 8.81 | 9,213 | 1.25 | 1.25 | 0.03 | 4.00 | 275 | |||||||||||||||||||||||||
(0.05 | ) | 9.87 | 5.43 | (c) | 8,436 | 1.26 | (d) | 1.25 | (d) | 0.08 | (d) | 4.48 | (d) | 414 | ||||||||||||||||||||
— | 9.88 | 0.85 | (c) | 9,599 | 0.80 | (d) | — | 0.71 | (d) | 2.72 | (d) | 87 | ||||||||||||||||||||||
— | 9.93 | 1.36 | 9,487 | 0.80 | — | 0.69 | 2.25 | 68 | ||||||||||||||||||||||||||
— | 10.02 | 0.99 | (c) | 8,457 | 0.80 | (d) | — | 1.20 | (d) | 1.87 | (d) | 97 | ||||||||||||||||||||||
— | 9.88 | 0.47 | (c) | 8,640 | 1.55 | (d) | — | 0.72 | (d) | 1.97 | (d) | 87 | ||||||||||||||||||||||
— | 9.93 | 0.61 | 8,695 | 1.55 | — | 0.70 | 1.51 | 68 | ||||||||||||||||||||||||||
— | 10.02 | 0.67 | (c) | 7,743 | 1.55 | (d) | — | 1.20 | (d) | 1.11 | (d) | 97 | ||||||||||||||||||||||
— | 9.88 | 0.47 | (c) | 7,788 | 1.55 | (d) | — | 0.76 | (d) | 1.97 | (d) | 87 | ||||||||||||||||||||||
— | 9.93 | 0.61 | 7,817 | 1.55 | — | 0.73 | 1.51 | 68 | ||||||||||||||||||||||||||
— | 10.02 | 0.67 | (c) | 7,611 | 1.55 | (d) | — | 1.21 | (d) | 1.11 | (d) | 97 | ||||||||||||||||||||||
— | 9.88 | 0.65 | (c) | 8,898 | 1.20 | (d) | — | 0.38 | (d) | 2.33 | (d) | 87 | ||||||||||||||||||||||
— | 9.93 | 0.96 | 7,718 | 1.20 | — | 0.39 | 1.86 | 68 | ||||||||||||||||||||||||||
— | 10.02 | 0.82 | (c) | 7,565 | 1.20 | (d) | — | 0.97 | (d) | 1.46 | (d) | 97 |
* | Excludes the effect of sales load. |
(a) | After expenses subsidized by GIS. |
(b) | Expense ratio includes interest expense associated with reverse repurchase agreements. |
(c) | Not annualized. |
(d) | Annualized. |
105
Table of Contents
n | The Park Avenue Portfolio |
Financial Highlights (Continued) |
Selected data for a share of beneficial interest outstanding throughout the periods indicated:
Net Realized | ||||||||||||||||||||||
& Unrealized | ||||||||||||||||||||||
Gain/(Loss) on | ||||||||||||||||||||||
Investments | Increase/ | |||||||||||||||||||||
Net Asset | and Foreign | (Decrease) | Dividends | |||||||||||||||||||
Value, | Net | Currency | from | from Net | ||||||||||||||||||
Beginning | Investment | Related | Investment | Investment | ||||||||||||||||||
of Period | Income | Transactions | Operations | Income | ||||||||||||||||||
The Guardian High Yield Bond Fund | ||||||||||||||||||||||
Class A: | ||||||||||||||||||||||
Six months ended 6/30/2005† | $ | 7.58 | $ | 0.24 | $ | (0.15 | ) | $ | 0.09 | $ | (0.24 | ) | ||||||||||
Year ended 12/31/2004 | 7.45 | 0.52 | 0.13 | 0.65 | (0.52 | ) | ||||||||||||||||
Year ended 12/31/2003 | 6.69 | 0.54 | 0.76 | 1.30 | (0.54 | ) | ||||||||||||||||
Year ended 12/31/2002 | 7.19 | 0.55 | (0.50 | ) | 0.05 | (0.55 | ) | |||||||||||||||
Year ended 12/31/2001 | 7.66 | 0.69 | (0.47 | ) | 0.22 | (0.69 | ) | |||||||||||||||
Year ended 12/31/2000 | 8.98 | 0.77 | (1.32 | ) | (0.55 | ) | (0.77 | ) | ||||||||||||||
Class B: | ||||||||||||||||||||||
Six months ended 6/30/2005† | 7.57 | 0.21 | (0.14 | ) | 0.07 | (0.21 | ) | |||||||||||||||
Year ended 12/31/2004 | 7.45 | 0.47 | 0.12 | 0.59 | (0.47 | ) | ||||||||||||||||
Year ended 12/31/2003 | 6.69 | 0.48 | 0.76 | 1.24 | (0.48 | ) | ||||||||||||||||
Year ended 12/31/2002 | 7.18 | 0.50 | (0.49 | ) | 0.01 | (0.50 | ) | |||||||||||||||
Year ended 12/31/2001 | 7.66 | 0.64 | (0.48 | ) | 0.16 | (0.64 | ) | |||||||||||||||
Year ended 12/31/2000 | 8.97 | 0.68 | (1.31 | ) | (0.63 | ) | (0.68 | ) | ||||||||||||||
Class C: | ||||||||||||||||||||||
Six months ended 6/30/2005† | 7.57 | 0.21 | (0.15 | ) | 0.06 | (0.21 | ) | |||||||||||||||
Year ended 12/31/2004 | 7.45 | 0.47 | 0.12 | 0.59 | (0.47 | ) | ||||||||||||||||
Year ended 12/31/2003 | 6.69 | 0.48 | 0.76 | 1.24 | (0.48 | ) | ||||||||||||||||
Year ended 12/31/2002 | 7.18 | 0.50 | (0.49 | ) | 0.01 | (0.50 | ) | |||||||||||||||
Year ended 12/31/2001 | 7.65 | 0.64 | (0.47 | ) | 0.17 | (0.64 | ) | |||||||||||||||
Period from 8/7/2000†† to 12/31/2000 | 8.47 | 0.28 | (0.82 | ) | (0.54 | ) | (0.28 | ) | ||||||||||||||
Class K: | ||||||||||||||||||||||
Six months ended 6/30/2005† | 7.58 | 0.22 | (0.15 | ) | 0.07 | (0.22 | ) | |||||||||||||||
Year ended 12/31/2004 | 7.45 | 0.49 | 0.13 | 0.62 | (0.49 | ) | ||||||||||||||||
Year ended 12/31/2003 | 6.69 | 0.51 | 0.76 | 1.27 | (0.51 | ) | ||||||||||||||||
Year ended 12/31/2002 | 7.19 | 0.53 | (0.50 | ) | 0.03 | (0.53 | ) | |||||||||||||||
Period from 5/15/2001†† to 12/31/2001 | 7.68 | 0.39 | (0.49 | ) | (0.10 | ) | (0.39 | ) | ||||||||||||||
The Guardian Tax-Exempt Fund | ||||||||||||||||||||||
Class A: | ||||||||||||||||||||||
Six months ended 6/30/2005† | 10.19 | 0.18 | 0.21 | 0.39 | (0.18 | ) | ||||||||||||||||
Year ended 12/31/2004 | 10.31 | 0.36 | 0.08 | 0.44 | (0.36 | ) | ||||||||||||||||
Year ended 12/31/2003 | 10.51 | 0.37 | 0.18 | 0.55 | (0.37 | ) | ||||||||||||||||
Year ended 12/31/2002 | 10.09 | 0.40 | 0.61 | 1.01 | (0.40 | ) | ||||||||||||||||
Year ended 12/31/2001 | 10.10 | 0.41 | 0.06 | 0.47 | (0.41 | ) | ||||||||||||||||
Year ended 12/31/2000 | 9.40 | 0.43 | 0.70 | 1.13 | (0.43 | ) | ||||||||||||||||
Class C: | ||||||||||||||||||||||
Six months ended 6/30/2005† | 10.19 | 0.14 | 0.21 | 0.35 | (0.14 | ) | ||||||||||||||||
Year ended 12/31/2004 | 10.31 | 0.28 | 0.08 | 0.36 | (0.28 | ) | ||||||||||||||||
Year ended 12/31/2003 | 10.51 | 0.29 | 0.18 | 0.47 | (0.29 | ) | ||||||||||||||||
Year ended 12/31/2002 | 10.09 | 0.32 | 0.61 | 0.93 | (0.32 | ) | ||||||||||||||||
Year ended 12/31/2001 | 10.10 | 0.34 | �� | 0.06 | 0.40 | (0.34 | ) | |||||||||||||||
Period from 8/7/2000†† to 12/31/2000 | 9.77 | 0.14 | 0.33 | 0.47 | (0.14 | ) |
† Unaudited.
†† Commencement of operations.
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Distributions | ||||||||||||||||||||||||||||||||||
from | Ratios/Supplemental Data | |||||||||||||||||||||||||||||||||
Net Realized | ||||||||||||||||||||||||||||||||||
Gain on | Net | |||||||||||||||||||||||||||||||||
Investments | Net Asset | Net Assets, | Net | Investment | ||||||||||||||||||||||||||||||
and Foreign | Value, | End of | Expenses | Expenses | Income | Portfolio | ||||||||||||||||||||||||||||
Currency Related | Redemption | End of | Total | Period | to Average | Subsidized | to Average | Turnover | ||||||||||||||||||||||||||
Transactions | Fees | Period | Return* | (000’s Omitted) | Net Assets(a) | by GIS | Net Assets | Rate | ||||||||||||||||||||||||||
— | $ | 0.00 | (b) | $ | 7.43 | 1.17 | %(c) | $ | 53,975 | 0.85 | %(d) | 0.31 | %(d) | 6.39 | %(d) | 45 | % | |||||||||||||||||
— | 0.00 | (b) | 7.58 | 9.15 | 57,250 | 0.85 | 0.34 | 7.00 | 95 | |||||||||||||||||||||||||
— | — | 7.45 | 20.11 | 42,589 | 0.85 | 0.42 | 7.59 | 153 | ||||||||||||||||||||||||||
— | — | 6.69 | 0.96 | 33,894 | 0.85 | 0.45 | 8.17 | 69 | ||||||||||||||||||||||||||
— | — | 7.19 | 2.87 | 33,797 | 0.85 | 0.47 | 9.21 | 141 | ||||||||||||||||||||||||||
— | — | 7.66 | (6.53 | ) | 38,646 | 0.85 | 0.38 | 9.03 | 163 | |||||||||||||||||||||||||
— | 0.00 | (b) | 7.43 | 0.93 | (c) | 9,876 | 1.60 | (d) | 0.57 | (d) | 5.64 | (d) | 45 | |||||||||||||||||||||
— | 0.00 | (b) | 7.57 | 8.20 | 10,013 | 1.60 | 0.62 | 6.30 | 95 | |||||||||||||||||||||||||
— | — | 7.45 | 19.22 | 10,018 | 1.60 | 0.72 | 6.85 | 153 | ||||||||||||||||||||||||||
— | — | 6.69 | 0.35 | 8,336 | 1.60 | 0.77 | 7.42 | 69 | ||||||||||||||||||||||||||
— | — | 7.18 | 1.96 | 8,182 | 1.60 | 0.78 | 8.42 | 141 | ||||||||||||||||||||||||||
— | — | 7.66 | (7.32 | ) | 7,567 | 1.74 | 0.77 | 8.37 | 163 | |||||||||||||||||||||||||
— | 0.00 | (b) | 7.42 | 0.80 | (c) | 10,291 | 1.60 | (d) | 0.54 | (d) | 5.64 | (d) | 45 | |||||||||||||||||||||
— | 0.00 | (b) | 7.57 | 8.20 | 10,110 | 1.60 | 0.59 | 6.29 | 95 | |||||||||||||||||||||||||
— | — | 7.45 | 19.22 | 9,316 | 1.60 | 0.71 | 6.85 | 153 | ||||||||||||||||||||||||||
— | — | 6.69 | 0.35 | 7,710 | 1.60 | 0.77 | 7.42 | 69 | ||||||||||||||||||||||||||
— | — | 7.18 | 2.09 | 7,657 | 1.60 | 0.71 | 8.43 | 141 | ||||||||||||||||||||||||||
— | — | 7.65 | (6.42 | )(c) | 7,491 | 1.60 | (d) | 0.63 | (d) | 8.74 | (d) | 163 | ||||||||||||||||||||||
— | 0.00 | (b) | 7.43 | 0.97 | (c) | 11,268 | 1.25 | (d) | 0.25 | (d) | 5.99 | (d) | 45 | |||||||||||||||||||||
— | 0.00 | (b) | 7.58 | 8.72 | 10,734 | 1.25 | 0.28 | 6.64 | 95 | |||||||||||||||||||||||||
— | — | 7.45 | 19.63 | 9,581 | 1.25 | 0.33 | 7.20 | 153 | ||||||||||||||||||||||||||
— | — | 6.69 | 0.55 | 7,944 | 1.25 | 0.35 | 7.77 | 69 | ||||||||||||||||||||||||||
— | — | 7.19 | (1.31 | )(c) | 7,893 | 1.25 | (d) | 0.41 | (d) | 8.36 | (d) | 141 | ||||||||||||||||||||||
$ | (0.02 | ) | — | 10.38 | 3.84 | (c) | 86,417 | 0.86 | (d)(e) | 0.08 | (d) | 3.58 | (d) | 70 | ||||||||||||||||||||
(0.20 | ) | — | 10.19 | 4.38 | 82,118 | 0.87 | (e) | 0.09 | 3.49 | 161 | ||||||||||||||||||||||||
(0.38 | ) | — | 10.31 | 5.34 | 80,025 | 0.89 | (e) | 0.09 | 3.52 | 68 | ||||||||||||||||||||||||
(0.19 | ) | — | 10.51 | 10.20 | 113,852 | 0.87 | (e) | 0.06 | 3.85 | 99 | ||||||||||||||||||||||||
(0.07 | ) | — | 10.09 | 4.78 | 107,676 | 0.91 | (e) | 0.09 | 4.03 | 181 | ||||||||||||||||||||||||
— | — | 10.10 | 12.29 | 97,185 | 0.88 | (e) | 0.07 | 4.43 | 124 | |||||||||||||||||||||||||
(0.02 | ) | — | 10.38 | 3.46 | (c) | 11,049 | 1.61 | (d)(e) | 0.31 | (d) | 2.83 | (d) | 70 | |||||||||||||||||||||
(0.20 | ) | — | 10.19 | 3.60 | 10,704 | 1.62 | (e) | 0.33 | 2.74 | 161 | ||||||||||||||||||||||||
(0.38 | ) | — | 10.31 | 4.54 | 10,553 | 1.64 | (e) | 0.36 | 2.77 | 68 | ||||||||||||||||||||||||
(0.19 | ) | — | 10.51 | 9.37 | 9,741 | 1.62 | (e) | 0.37 | 3.11 | 99 | ||||||||||||||||||||||||
(0.07 | ) | — | 10.09 | 3.99 | 8,783 | 1.66 | (e) | 0.37 | 3.28 | 181 | ||||||||||||||||||||||||
— | — | 10.10 | 4.87 | (c) | 8,391 | 1.65 | (d)(e) | 0.31 | (d) | 3.62 | (d) | 124 |
* | Excludes the effect of sales load. |
(a) | After expenses subsidized by GIS. |
(b) | Rounds to less than $0.01. |
(c) | Not annualized. |
(d) | Annualized. |
(e) | Before offset of custody credits. Including the custody credits in Class A, the expense ratio is 0.85% for each year 12/31/2000, 2001, 2002, 2003, 2004 and 6/30/2005; in Class C the expense ratio is 1.60% for each year 12/31/2000, 2001, 2002, 2003, 2004 and 6/30/2005. |
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n | The Park Avenue Portfolio |
Financial Highlights (Continued) |
Selected data for a share of beneficial interest outstanding throughout the periods indicated:
Net Asset | Dividends | Net Asset | ||||||||||||||||||||
Value, | Net | from Net | Value, | |||||||||||||||||||
Beginning | Investment | Investment | End of | Total | ||||||||||||||||||
of Period | Income | Income | Period | Return* | ||||||||||||||||||
The Guardian Cash Management Fund | ||||||||||||||||||||||
Class A: | ||||||||||||||||||||||
Six months ended 6/30/2005† | $ | 1.000 | $ | 0.009 | $ | (0.009 | ) | $ | 1.000 | 0.93 | %††† | |||||||||||
Year ended 12/31/2004 | 1.000 | 0.006 | (0.006 | ) | 1.000 | 0.57 | ||||||||||||||||
Year ended 12/31/2003 | 1.000 | 0.004 | (0.004 | ) | 1.000 | 0.37 | ||||||||||||||||
Year ended 12/31/2002 | 1.000 | 0.009 | (0.009 | ) | 1.000 | 0.95 | ||||||||||||||||
Year ended 12/31/2001 | 1.000 | 0.032 | (0.032 | ) | 1.000 | 3.27 | ||||||||||||||||
Year ended 12/31/2000 | 1.000 | 0.056 | (0.056 | ) | 1.000 | 5.69 | ||||||||||||||||
Class B: | ||||||||||||||||||||||
Six months ended 6/30/2005† | 1.000 | 0.007 | (0.007 | ) | 1.000 | 0.67 | ††† | |||||||||||||||
Year ended 12/31/2004 | 1.000 | 0.006 | (0.006 | ) | 1.000 | 0.57 | ||||||||||||||||
Year ended 12/31/2003 | 1.000 | 0.002 | (0.002 | ) | 1.000 | 0.21 | ||||||||||||||||
Year ended 12/31/2002 | 1.000 | 0.002 | (0.002 | ) | 1.000 | 0.23 | ||||||||||||||||
Year ended 12/31/2001 | 1.000 | 0.025 | (0.025 | ) | 1.000 | 2.48 | ||||||||||||||||
Year ended 12/31/2000 | 1.000 | 0.052 | (0.052 | ) | 1.000 | 5.34 | ||||||||||||||||
Class C: | ||||||||||||||||||||||
Six months ended 6/30/2005† | 1.000 | 0.007 | (0.007 | ) | 1.000 | 0.67 | ††† | |||||||||||||||
Year ended 12/31/2004 | 1.000 | 0.006 | (0.006 | ) | 1.000 | 0.57 | ||||||||||||||||
Year ended 12/31/2003 | 1.000 | 0.002 | (0.002 | ) | 1.000 | 0.21 | ||||||||||||||||
Year ended 12/31/2002 | 1.000 | 0.002 | (0.002 | ) | 1.000 | 0.22 | ||||||||||||||||
Year ended 12/31/2001 | 1.000 | 0.025 | (0.025 | ) | 1.000 | 2.48 | ||||||||||||||||
Period from 8/7/2000†† to 12/31/2000 | 1.000 | 0.020 | (0.020 | ) | 1.000 | 2.03 | ††† | |||||||||||||||
Class K: | ||||||||||||||||||||||
Six months ended 6/30/2005† | 1.000 | 0.007 | (0.007 | ) | 1.000 | 0.73 | ††† | |||||||||||||||
Year ended 12/31/2004 | 1.000 | 0.005 | (0.005 | ) | 1.000 | 0.47 | ||||||||||||||||
Year ended 12/31/2003 | 1.000 | 0.002 | (0.002 | ) | 1.000 | 0.18 | ||||||||||||||||
Year ended 12/31/2002 | 1.000 | 0.005 | (0.005 | ) | 1.000 | 0.55 | ||||||||||||||||
Period from 5/15/2001†† to 12/31/2001 | 1.000 | 0.013 | (0.013 | ) | 1.000 | 1.26 | ††† |
* Excludes the effect of sales load.
† Unaudited.
†† Commencement of operations.
††† Not annualized.
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Ratios/Supplemental Data | ||||||||||||||
Net | ||||||||||||||
Net | Investment | |||||||||||||
Net Assets, | Expenses | Expenses | Income | |||||||||||
End of Period | to Average | Subsidized | to Average | |||||||||||
(000’s Omitted) | Net Assets(a) | by GIS | Net Assets | |||||||||||
$ | 427,684 | 0.85 | %(b) | 0.05 | %(b) | 1.87 | %(b) | |||||||
442,109 | 0.85 | 0.04 | 0.55 | |||||||||||
529,321 | 0.85 | 0.05 | 0.38 | |||||||||||
658,159 | 0.85 | 0.02 | 0.94 | |||||||||||
606,045 | 0.85 | 0.04 | 3.13 | |||||||||||
462,183 | 0.85 | 0.07 | 5.57 | |||||||||||
6,483 | 1.37 | (b) | 0.54 | (b) | 1.33 | (b) | ||||||||
8,144 | 0.85 | 0.99 | 0.53 | |||||||||||
12,498 | 1.03 | (c) | 0.73 | (c) | 0.21 | |||||||||
18,485 | 1.57 | (c) | 0.16 | (c) | 0.22 | |||||||||
15,685 | 1.60 | 0.12 | 2.37 | |||||||||||
11,860 | 1.14 | 0.63 | 5.25 | |||||||||||
6,165 | 1.36 | (b) | 0.30 | (b) | 1.34 | (b) | ||||||||
8,626 | 0.85 | 0.80 | 0.57 | |||||||||||
9,086 | 1.02 | (c) | 0.63 | (c) | 0.21 | |||||||||
9,330 | 1.57 | (c) | 0.06 | (c) | 0.22 | |||||||||
8,492 | 1.60 | 0.04 | 2.47 | |||||||||||
8,193 | 1.60 | (b) | 0.13 | (b) | 5.06 | (b) | ||||||||
8,268 | 1.25 | (b) | 0.01 | (b) | 1.46 | (b) | ||||||||
10,424 | 0.95 | 0.30 | 0.48 | |||||||||||
9,682 | 1.25 | — | 0.18 | |||||||||||
8,500 | 1.25 | — | 0.54 | |||||||||||
8,125 | 1.25 | (b) | 0.01 | (b) | 1.99 | (b) |
(a) | After expenses subsidized by GIS. |
(b) | Annualized. |
(c) | Revised to reflect additional subsidies to maintain a minimum yield threshold. |
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• Trustees Dennis J. Manning, CLU, ChFC Frank J. Fabozzi, Ph.D. Arthur V. Ferrara, CLU Leo R. Futia, CLU Anne M. Goggin, Esq. William W. Hewitt, Jr. Sidney I. Lirtzman, Ph.D. Robert G. Smith, Ph.D. • Officers Thomas G. Sorell Joseph A. Caruso Howard W. Chin Robert J. Crimmins, Jr. Richard A. Cumiskey Manind V. Govil Alexander M. Grant, Jr. Edward H. Hocknell Jonathan C. Jankus Stewart M. Johnson Peter J. Liebst R. Robin Menzies Nydia Morrison Karen L. Olvany Frank L. Pepe Richard T. Potter, Jr. Robert A. Reale Donald P. Sullivan, Jr. Raman Vardharaj Mathew P. Ziehl • Investment Adviser & Distributor Guardian Investor Services LLC 7 Hanover Square New York, New York 10004 • Custodian of Assets State Street Bank and Trust Company Custody Division 1776 Heritage Drive North Quincy, Massachusetts 02171 • Shareholder Servicing Agent, Transfer Agent & Dividend Paying Agent for State Street Bank and Trust Company Boston Financial Data Services Post Office Box 219611 Kansas City, Missouri 64121-9611 • Independent Auditors Ernst & Young LLP 200 Clarendon Street Boston, MA 02116 ![]() Guardian Investor Services LLC 7 Hanover Square New York, New York 10004 | • Proxy Voting Policies and Procedures: A description of the policies and procedures that the Funds use to determine how to vote proxies relating to portfolio securities, as well as information regarding how each Fund voted proxies relating to portfolio securities during the 12-month period ended June 30, 2005, is available without charge upon request by logging on to www.guardianinvestor.com or the Securities and Exchange Commission’s (“SEC”) website at www.sec.gov. • Form N-Q: The Park Avenue Portfolio files a complete schedule of portfolio holdings with the SEC for the first and third quarters of each year on the Form N-Q. The Portfolio’s Form N-Q is available on the SEC’s Internet site at www.sec.gov, and can 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 the SEC at 1-800-SEC-0330. • Code of Ethics: The Park Avenue Portfolio has adopted a code of ethics for its Principal Executive Officer and Principal Financial Officers (the “Code”). The purpose of the Code is to promote, among other things: honest and ethical conduct, including the handling of conflicts of interest; full, fair, accurate, timely and understandable disclosure in reports and documents filed with the SEC; and compliance with applicable laws and regulations. A copy of the Code has been filed with the SEC on Form N-CSR and can be obtained on the SEC’s website at www.sec.gov. Copies of the above can also be obtained free of charge by calling 1-800-221-3253 or by writing Guardian Investor Services LLC at 7 Hanover Square, New York, New York 10004. Shares of the Funds are not deposits or obligations of, or guaranteed or endorsed by, any bank or depository institution, nor are they federally insured by the Federal Deposit Insurance Corporation, The Federal Reserve Board, the National Credit Union Association or any other agency. They involve investment risk, including possible loss of principal amount invested. This report is submitted for the general information of the shareholders of The Park Avenue Portfolio family of mutual funds. This report is not authorized for distribution to the public unless accompanied or preceded by a current prospectus for the funds which comprise The Park Avenue Portfolio. The prospectus contains important information, including fees and expenses. Please read the prospectus carefully before investing or sending money. You should consider the investment objectives, risks, fees and charges of the investment company carefully before investing. For an additional prospectus, which contains this and other information, please contact your investment professional or call Guardian Investor Services LLC at 800-221-3253. |
Table of Contents
![]() Guardian Investor Services LLC 7 Hanover Square New York, New York 10004 | PRSRT STANDARD U.S. POSTAGE PAID BOWNE FULFILLMENT SOLUTIONS |
EB 011566 (6/05)
TABLE OF CONTENTS
Table of Contents
ITEM 2. CODE OF ETHICS.
Not applicable for semiannual reports.
ITEM 3. AUDIT COMMITTEE FINANCIAL EXPERT.
Not applicable for semiannual reports.
ITEM 4. PRINCIPAL ACCOUNTANT FEES AND SERVICES.
Not applicable for semiannual reports.
ITEM 5. AUDIT COMMITTEE OF LISTED REGISTRANTS.
Not applicable.
ITEM 6. SCHEDULE OF INVESTMENTS.
Included in response to Item 1.
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 COMPANIES AND AFFILIATED PURCHASES.
Not applicable.
ITEM 10. SUBMISSION OF MATTERS TO A VOTE OF SECURITY HOLDERS.
None.
ITEM 11. CONTROLS AND PROCEDURES.
(a) The registrant’s certifying officers have evaluated the registrant’s disclosure controls and procedures within 90 days of this filing and have concluded that the registrant’s disclosure controls and procedures were effective, as of that date, in ensuring that information required to be disclosed by the registrant in this Form N-CSR was recorded, processed, summarized, and reported timely.
(b) The registrant’s certifying officers are aware of no changes in the registrant’s internal control over financial reporting that occurred during the registrant’s most recent fiscal half-year that has materially affected, or is reasonably likely to materially affect, the registrant’s internal control over financial reporting.
Table of Contents
ITEM 12. EXHIBITS.
(a)(1) Not applicable.
(a)(2) Separate certifications by the registrant’s certifying officers, pursuant to Section 302 of the Sarbanes-Oxley Act of 2002 and required by Rule 30a-2(a) under the Investment Company Act of 1940, are attached.
(a)(3) Not applicable.
(b) A certification by the registrant’s certifying officers, pursuant to Section 906 of the Sarbanes-Oxley Act of 2002 and required by Rule 30a-2(b) under the Investment Company Act of 1940, is attached.
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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.
The Park Avenue Portfolio
By: | /s/ Thomas G. Sorell | |||
Thomas G. Sorell President of | ||||
The Park Avenue Portfolio |
Date: September 6, 2005
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/ Thomas G. Sorell | |||
Thomas G. Sorell | ||||
President of | ||||
The Park Avenue Portfolio |
Date: September 6, 2005
By: | /s/ Frank L. Pepe | |||
Frank L. Pepe | ||||
Vice President and Treasurer of | ||||
The Park Avenue Portfolio |
Date: September 6, 2005