Guggenheim Alpha Opportunity Fund Class C (SAOCX) N-CSRS Certified semi-annual shareholder report (management investment company)

UNITED STATES
SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

FORM N-CSR

CERTIFIED SHAREHOLDER REPORT OF REGISTERED
MANAGEMENT INVESTMENT COMPANIES

Investment Company Act file number 811-01136

SECURITY EQUITY FUND

(Exact name of registrant as specified in charter)

ONE SECURITY BENEFIT PLACE, TOPEKA, KANSAS 66636-0001
(Address of principal executive offices) (Zip code)

RICHARD M. GOLDMAN, PRESIDENT
SECURITY EQUITY FUND
ONE SECURITY BENEFIT PLACE
TOPEKA, KANSAS 66636-0001
(Name and address of agent for service)

Registrant’s telephone number, including area code: (785) 438-3000

Date of fiscal year end: September 30

Date of reporting period: March 31, 2011

Form N-CSR is to be used by management investment companies to file reports with the Commission not later than 10 days after the transmission to stockholders of any report that is required to be transmitted to stockholders under Rule 30e-1 under the Investment Company Act of 1940 (17 CFR 270.30e-1). The Commission may use the information provided on Form N-CSR in its regulatory, disclosure review, inspection, and policymaking roles.

A registrant is required to disclose the information specified by Form N-CSR, and the Commission will make this information public. A registrant is not required to respond to the collection of information contained in Form N-CSR unless the Form displays a currently valid Office of Management and Budget (“OMB”) control number. Please direct comments concerning the accuracy of the information collection burden estimate and any suggestions for reducing the burden to Secretary, Securities and Exchange Commission, 450 Fifth Street, NW, Washington, DC 20549-0609. The OMB has reviewed this collection of information under the clearance requirements of 44 U.S.C. §3507.

Item 1. Reports to Stockholders.

MARCH 31, 2011 SEMI-ANNUAL REPORT EQUITY FUNDS Rydex SGI Equity Fund AN Cap Value Fund Alpha Opportunity Fund Large Cap Core Fund Global Fund Global Institutional Fund Mid Cap Value Fund Mid Cap Value Institutional Fund Large Cap Concentrated Growth Fund Small Cap Growth Fund Small Cap Value Fund Rydex SGI Large Cap Value Fund Large Cap Value Fund Large Cap Value Institutional Fund Rydex SGI Mid Cap Growth Fund

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If you have questions about Rydex|SGI eDelivery services, contact one of our Shareholder Service Representatives at 800.820.0888.

This report and the financial statements contained herein are submitted for the general information of our shareholders. The report is not authorized for distribution to prospective investors unless preceded or accompanied by an effective prospectus.

Distributed by Rydex Distributors, LLC.

RYDEX|SGI EQUITY FUND
RYDEX|SGI LARGE CAP VALUE FUND
RYDEX|SGI MID CAP GROWTH FUND

March 31, 2011
Semi-Annual Report

Table of Contents

Chairman’s Letter	2
Information About Your Fund Expenses	4
Rydex|SGI Equity Fund
All Cap Value Fund	7
Alpha Opportunity Fund	14
Large Cap Core Fund	23
Global Fund	30
Global Institutional Fund	37
Mid Cap Value Fund	43
Mid Cap Value Institutional Fund	50
Large Cap Concentrated Growth Fund	56
Small Cap Growth Fund	62
Small Cap Value Fund	69
Rydex|SGI Large Cap Value Fund
Large Cap Value Fund	76
Large Cap Value Institutional Fund	82
Rydex|SGI Mid Cap Growth Fund	87
Notes to Financial Statements	93
Directors and Officers	107
Other Information	110
Rydex|SGI Privacy Policies	111
EX-99.CERT
EX-99.906CERT

THE RYDEX|SGI EQUITY FUNDS SEMI-ANNUAL REPORT | 1

CHAIRMAN’S LETTER

DEAR SHAREHOLDER:

The U.S. economic recovery continued through the 12 months ended March 31, 2011, despite a succession of headwinds. Last spring was the European sovereign debt crisis, which eased only with the establishment of a euro 750 billion rescue fund. Poor reports on U.S. manufacturing and private sector job growth raised investor fears of a double-dip recession in mid-year. Concern that the recovery was not self-sustaining led the U.S. Federal Reserve to undertake a second round of quantitative easing in the last part of 2010 to keep long-term rates low and spur economic growth. The Fed’s support of asset prices contributed to a 25% run-up in U.S. stocks through March 2011, amid a jump in oil prices, natural and nuclear disasters in Japan and unrest in the Mid East and North Africa.

Investors have come to believe that much of the U.S. market and economic recovery has been driven by the unprecedented government stimulus measures. Still, national output is at an all time high, exports rose to a record in January and S&P 500^® Index* earnings are double what they were two years ago—all of which has enhanced U.S. equity market performance over the past 12 months. Broad market measures were up by 15% for the period, while international markets were up about 10%. Reflecting their growing confidence in the economy, investors went out on the risk/reward curve, leading small stock indices to outperform the broader market for the past year; from a style perspective, growth outperformed value across all capitalizations, with the differential widening the lower the cap size.

The Fed’s decision to keep short-term rates at record lows and to hold down long-term rates through its quantitative easing program spurred demand for fixed-income spread product for most of the past year. This resulted in good performance across most fixed income sectors, including investment grade corporate bonds and especially high-yield bonds. The long Treasury market remained stable, with good returns, while yields on benchmark 10-year Treasuries began rising in the past few months in tandem with improving economic reports.

One of the threats to the economic recovery is inflation. Higher food and energy costs have been driving up consumer prices—so-called “headline” inflation—but these have not translated into a broader increase in inflation that would prompt the Fed to act. Concerns about slowing growth worldwide and the expected shift away from the Fed’s bond-buying strategy had led many economists to lower growth forecasts for 2011, both in the U.S. and globally. The Fed’s fiscal and monetary stimulus measures have resulted in the country outspending revenues and adding substantially to the national debt. This, along with the potential for a double-dip in housing and a persistently poor labor market, has made many investors sensitive to market sentiment and volatility.

U.S. economic growth, while not robust, has been positive for seven consecutive quarters, strong enough to overcome a number of headwinds. With the help of massive government stimulus, there is optimism that the recovery from the financial crisis and ensuing recession is becoming self-sustaining. The end of Fed easing could signal that the policymakers are comfortable with the strength of the expansion, and believe that house prices and joblessness may be hitting bottom and be poised to recover.

Sincerely,

Richard Goldman
President and Chairman, Rydex|SGI Funds

2 | THE RYDEX|SGI EQUITY FUNDS SEMI-ANNUAL REPORT

CHAIRMAN’S LETTER (concluded)

*Standard & Poor’s 500 Index (S&P 500^®) — a capitalization-weighted index covering 500 industrial, utility, transportation and financial companies of the U.S. markets (mostly NYSE Euronext issues).

Performance displayed represents past performance which is no guarantee of future results. Of course, fund performance is subject to daily market volatility and may be better or worse since the end of the last quarter. For up-to-date fund performance, call us at 800.820.0888 or visit www.rydex-sgi.com.

Read each fund’s prospectus and summary prospectus (if available) carefully before investing. It contains the fund’s investment objectives, risks, charges, expenses and other information, which should be considered carefully before investing. Obtain a prospectus and summary prospectus (if available) at www.rydex-sgi.com or call 800.820.0888.

Rydex|SGI funds are distributed by Rydex Distributors, LLC (RDL). Security Investors, LLC (SI) is a registered investment advisor, and does business as Security Global Investors^® and Rydex Investments. SI and RDL are affiliates and are subsidiaries of Security Benefit Corporation, which is wholly owned by Guggenheim SBC Holdings, LLC, a special purpose entity managed by an affiliate of Guggenheim Partners, LLC, a diversified financial services firm with more than $100 billion in assets under supervision.

THE RYDEX|SGI EQUITY FUNDS SEMI-ANNUAL REPORT | 3

INFORMATION ABOUT YOUR FUND EXPENSES (Unaudited)
March 31, 2011

Calculating your ongoing Fund expenses

As a shareholder of the Fund, you incur two types of costs: (1) transaction costs, which may include sales charges (loads) on purchase payments; contingent deferred sales charges on redemptions; and redemption fees, if any; and (2) ongoing costs, including management fees; distribution and/or service fees (12b-1); 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 ongoing costs of investing in other mutual funds. The example is based on an investment of $1,000 invested at the beginning of the period and held for the entire period September 30, 2010 through March 31, 2011.

Actual Expenses

The first table provides information about actual account values and actual expenses. You may use the information in this table, 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 table 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 table provides information about hypothetical account values and hypothetical expenses based on the Fund actual expense ratio and an assumed rate of return of 5% per year before expenses, which is not the Fund 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 mutual 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) on purchase payments, contingent deferred sales charges on redemptions, and redemption fees, if any. Therefore, the second line for each class of shares is useful in comparing ongoing costs only, and will not help you determine the relative total costs of owning different funds. In addition, if these transactional costs were included, your costs would have been higher.

4 | THE RYDEX|SGI EQUITY FUNDS SEMI-ANNUAL REPORT

INFORMATION ABOUT YOUR FUND EXPENSES (Unaudited) (continued)
March 31, 2011

							Beginning		Ending		Expenses
	Expense			Fund			Account Value		Account Value		Paid During
	Ratio1			Return			September 30, 2010		March 31, 2011		the Period2
Table 1. Based on actual Fund return3
All Cap Value Fund
A-Class		1.27	%		19.98	%	$	1,000.00	$	1,199.82	$	6.97
C-Class		2.02	%		19.48	%		1,000.00		1,194.78		11.05
Institutional Class		1.02	%		20.20	%		1,000.00		1,201.96		5.60
Alpha Opportunity Fund5
A-Class		2.17	%		28.32	%		1,000.00		1,283.20		12.35
B-Class		2.92	%		27.91	%		1,000.00		1,279.10		16.59
C-Class		2.91	%		27.80	%		1,000.00		1,278.00		16.53
Institutional Class		1.91	%		28.51	%		1,000.00		1,285.10		10.88
Large Cap Core Fund
A-Class		1.44	%		19.71	%		1,000.00		1,197.07		7.90
B-Class		2.19	%		18.89	%		1,000.00		1,188.89		11.96
C-Class		2.19	%		19.28	%		1,000.00		1,192.80		11.97
Global Fund
A-Class		1.99	%		14.08	%		1,000.00		1,140.85		10.60
B-Class4		1.74	%		14.16	%		1,000.00		1,141.63		9.27
C-Class		2.74	%		13.58	%		1,000.00		1,135.76		14.57
Global Institutional Fund		1.00	%		14.38	%		1,000.00		1,143.78		5.34
Mid Cap Value Fund
A-Class		1.31	%		19.84	%		1,000.00		1,198.39		7.20
B-Class		2.06	%		19.35	%		1,000.00		1,193.48		11.29
C-Class		2.06	%		19.36	%		1,000.00		1,193.60		11.28
Mid Cap Value Institutional Fund		0.90	%		19.99	%		1,000.00		1,199.93		4.94
Large Cap Concentrated Growth Fund
A-Class		1.35	%		20.05	%		1,000.00		1,200.52		7.41
B-Class		2.10	%		19.54	%		1,000.00		1,195.40		11.49
C-Class		2.10	%		19.46	%		1,000.00		1,194.56		11.49
Small Cap Growth Fund
A-Class		2.24	%		24.90	%		1,000.00		1,248.98		12.56
B-Class		3.00	%		24.52	%		1,000.00		1,245.16		16.77
C-Class		3.00	%		24.50	%		1,000.00		1,245.03		16.77
Small Cap Value Fund
A-Class		1.30	%		24.17	%		1,000.00		1,241.72		7.27
C-Class		2.05	%		23.66	%		1,000.00		1,236.57		11.43
Institutional Class		1.05	%		24.25	%		1,000.00		1,242.46		5.87
Large Cap Value Fund
A-Class		1.15	%		19.64	%		1,000.00		1,196.40		6.30
B-Class4		0.90	%		19.65	%		1,000.00		1,196.50		4.93
C-Class		1.90	%		19.02	%		1,000.00		1,190.24		10.37
Large Cap Value Institutional Fund		0.96	%		20.17	%		1,000.00		1,201.68		5.27
Mid Cap Growth Fund
A-Class		1.84	%		18.48	%		1,000.00		1,184.78		10.02
B-Class		2.59	%		17.97	%		1,000.00		1,179.67		14.06
C-Class		2.60	%		18.11	%		1,000.00		1,181.10		14.12

THE RYDEX|SGI EQUITY FUNDS SEMI-ANNUAL REPORT | 5

INFORMATION ABOUT YOUR FUND EXPENSES (Unaudited) (concluded)
March 31, 2011

							Beginning		Ending		Expenses
	Expense			Fund			Account Value		Account Value		Paid During
	Ratio1			Return			September 30, 2010		March 31, 2011		the Period2
Table 2. Based on hypothetical 5% return (before expenses)
All Cap Value Fund
A-Class		1.27	%		5.00	%	$	1,000.00	$	1,018.60	$	6.39
C-Class		2.02	%		5.00	%		1,000.00		1,014.86		10.15
Institutional Class		1.02	%		5.00	%		1,000.00		1,019.85		5.14
Alpha Opportunity Fund5
A-Class		2.17	%		5.00	%		1,000.00		1,014.11		10.90
B-Class		2.92	%		5.00	%		1,000.00		1,010.37		14.64
C-Class		2.91	%		5.00	%		1,000.00		1,010.42		14.59
Institutional Class		1.91	%		5.00	%		1,000.00		1,015.41		9.60
Large Cap Core Fund
A-Class		1.44	%		5.00	%		1,000.00		1,017.75		7.26
B-Class		2.19	%		5.00	%		1,000.00		1,014.01		11.00
C-Class		2.19	%		5.00	%		1,000.00		1,014.01		11.00
Global Fund
A-Class		1.99	%		5.00	%		1,000.00		1,015.01		9.97
B-Class4		1.74	%		5.00	%		1,000.00		1,016.26		8.72
C-Class		2.74	%		5.00	%		1,000.00		1,011.27		13.72
Global Institutional Fund		1.00	%		5.00	%		1,000.00		1,019.95		5.04
Mid Cap Value Fund
A-Class		1.31	%		5.00	%		1,000.00		1,018.40		6.61
B-Class		2.06	%		5.00	%		1,000.00		1,014.66		10.37
C-Class		2.06	%		5.00	%		1,000.00		1,014.66		10.36
Mid Cap Value Institutional Fund		0.90	%		5.00	%		1,000.00		1,020.44		4.53
Large Cap Concentrated Growth Fund
A-Class		1.35	%		5.00	%		1,000.00		1,018.20		6.79
B-Class		2.10	%		5.00	%		1,000.00		1,014.46		10.55
C-Class		2.10	%		5.00	%		1,000.00		1,014.46		10.55
Small Cap Growth Fund
A-Class		2.24	%		5.00	%		1,000.00		1,013.76		11.25
B-Class		3.00	%		5.00	%		1,000.00		1,009.97		15.01
C-Class		3.00	%		5.00	%		1,000.00		1,009.97		15.01
Small Cap Value Fund
A-Class		1.30	%		5.00	%		1,000.00		1,018.45		6.54
C-Class		2.05	%		5.00	%		1,000.00		1,014.71		10.30
Institutional Class		1.05	%		5.00	%		1,000.00		1,019.70		5.29
Large Cap Value Fund
A-Class		1.15	%		5.00	%		1,000.00		1,019.20		5.79
B-Class4		0.90	%		5.00	%		1,000.00		1,020.44		4.53
C-Class		1.90	%		5.00	%		1,000.00		1,015.46		9.55
Large Cap Value Institutional Fund		0.96	%		5.00	%		1,000.00		1,020.14		4.84
Mid Cap Growth Fund
A-Class		1.84	%		5.00	%		1,000.00		1,015.76		9.24
B-Class		2.59	%		5.00	%		1,000.00		1,012.02		12.99
C-Class		2.60	%		5.00	%		1,000.00		1,011.97		13.03

1	Annualized
2	Expenses are equal to the Fund’s annualized expense ratio, net of any applicable fee waivers or earnings credits, multiplied by the average account value over the period, multiplied by 182/365 (to reflect the one-half year period).
3	Actual cumulative return at net asset value for the period September 30, 2010 to March 31, 2011.
4	B-Class shares of Global Fund and Large Cap Value Fund did not charge 12b-1 fees during the period.
5	This ratio represents annualized net expenses, which include interest and dividend expense related to securities sold short. Excluding short dividend expense and prime broker interest expense, the operating expense ratio would be 0.06%, 0.06%, 0.05% and 0.05% lower in A-Class, B-Class, C-Class and Institutional Class, respectively.

6 | THE RYDEX|SGI EQUITY FUNDS SEMI-ANNUAL REPORT

Rydex|SGI Equity Fund

PERFORMANCE SUMMARY	All Cap Value Fund
March 31, 2011	(Unaudited)

PERFORMANCE

$10,000 Since Inception

This chart assumes a $10,000 investment in A-Class shares of All Cap Value Fund on October 3, 2008 (date of inception), reflects deduction of the maximum front-end sales charge of 5.75% and assumes all dividends are reinvested.^† The chart does not reflect the deduction of taxes that a shareholder would pay on distributions or the redemption of fund shares. The Russell 3000^® Value Index is an unmanaged index that measures the performance of the broad value segment of the U.S. equity universe. It includes those Russell 3000^® companies with lower price-to-book ratios and lower forecasted growth values.

AVERAGE ANNUAL RETURNS
PERIODS ENDED 3/31/2011

				SINCE
				INCEPTION
	1 YEAR			(10/03/08)
A-Class Shares		17.55	%		12.30	%
A-Class Shares with sales charge		10.81	%		9.66	%
C-Class Shares		16.71	%		11.48	%
C-Class Shares with CDSC		15.71	%		11.48	%
Institutional Class Shares		17.97	%		12.62	%

The performance data above represents past performance that is not predictive of future results. The investment return and principal value of an investment in the Fund will fluctuate so that an investor’s shares, when redeemed, may be worth more or less than their original cost. The figures above do not reflect deduction of the maximum front-end sales charge of 5.75% for Class A shares or the contingent deferred sales charge of 1% for Class C shares, as applicable, except where noted.^† The figures do not reflect the deduction of taxes that a shareholder would pay on distributions or redemption of shares. Such figures would be lower if the maximum sales charge and any applicable taxes were deducted. Fee waivers and/or reimbursements reduced expenses of the Fund and in the absence of such waivers, the performance quoted would be reduced.

Portfolio Composition by Sector
Common Stocks
Energy	15.7	%
Financials	14.9	%
Industrials	14.0	%
Information Technology	11.0	%
Consumer Discretionary	9.7	%
Consumer Staples	7.1	%
Health Care	6.4	%
Materials	4.5	%
Utilities	3.3	%
Telecommunication Services	1.0	%
Exchange Traded Funds	7.5	%
Cash & Other Assets, Less Liabilities	4.9	%
Total Net Assets	100.0	%

^† Effective 2/22/11, the A-Class maximum sales charge decreased from 5.75% to 4.75%. A 5.75% maximum sales charge is used to calculate performance for periods beginning prior to 2/22/11, and a 4.75% maximum sales charge is used to calculate performance for periods beginning on or after 2/22/11.

THE RYDEX|SGI EQUITY FUNDS SEMI-ANNUAL REPORT | 7

SCHEDULE OF INVESTMENTS (Unaudited)	Rydex|SGI Equity Fund
March 31, 2011	All Cap Value Fund

	Shares		Value
COMMON STOCKS† - 87.6%
Energy - 15.7%
Chevron Corp.		860	$	92,390
ConocoPhillips		960		76,665
Williams Companies, Inc.		2,260		70,467
McDermott International, Inc.*		1,968		49,967
Apache Corp.		300		39,276
Halliburton Co.		769		38,327
Global Industries Ltd.*		3,724		36,458
Exxon Mobil Corp.		390		32,811
Chesapeake Energy Corp.		859		28,794
Southern Union Co.		903		25,844
SandRidge Energy, Inc.*		1,744		22,323
Gulfport Energy Corp.*		580		20,967
Plains Exploration & Production Co.*		500		18,115
Goodrich Petroleum Corp.*		523		11,621
USEC, Inc.*		2,005		8,822
Resolute Energy Corp.*		284		5,152
Total Energy				577,999
Financials - 14.9%
Berkshire Hathaway, Inc. — Class B*		770		64,395
AON Corp.		1,134		60,057
Wells Fargo & Co.		1,872		59,342
Bank of New York Mellon Corp.		1,730		51,675
JPMorgan Chase & Co.		1,010		46,561
U.S. Bancorp		1,440		38,059
Hanover Insurance Group, Inc.		774		35,024
W.R. Berkley Corp.		1,066		34,336
BB&T Corp.		1,135		31,156
American Financial Group, Inc.		620		21,712
Reinsurance Group of America, Inc. — Class A		233		14,628
Fifth Street Finance Corp.		990		13,217
Transatlantic Holdings, Inc.		200		9,734
RenaissanceRe Holdings Ltd.		140		9,659
Employers Holdings, Inc.		459		9,483
Investors Real Estate Trust		900		8,550
Associated Banc-Corp.1		544		8,078
Alleghany Corp.*		23		7,765
Old National Bancorp		713		7,643
First Marblehead Corp.*		2,819		6,202
First Horizon National Corp.		499		5,592
Wilmington Trust Corp.		650		2,938
Total Financials				545,806
Industrials - 14.0%
Equifax, Inc.		3,165		122,960
United Technologies Corp.		830		70,260
Babcock & Wilcox Co.*		1,384		46,198
Quanta Services, Inc.*		1,340		30,056
GeoEye, Inc.*		600		24,948
USG Corp.*		1,454		24,224
Parker Hannifin Corp.		252		23,859
General Cable Corp.*,1		510		22,083
FedEx Corp.		217		20,300
Covanta Holding Corp.		1,100		18,788
Insituform Technologies, Inc. — Class A*		680		18,190
FTI Consulting, Inc.*		380		14,565
Orbital Sciences Corp.*		655		12,393
Saia, Inc.*		712		11,670
Navigant Consulting, Inc.*		1,105		11,039
Trex Company, Inc.*		279		9,101
URS Corp.*		183		8,427
Insperity, Inc.		274		8,324
Force Protection, Inc.*		1,611		7,894
ICF International, Inc.*		199		4,088
United Stationers, Inc.		47		3,339
Total Industrials				512,706
Information Technology - 11.0%
Western Union Co.		4,190		87,026
TE Connectivity, Ltd.		2,152		74,933
Computer Sciences Corp.		1,443		70,318
Hewlett-Packard Co.		1,290		52,851
IXYS Corp.*		3,224		43,298
Maxwell Technologies, Inc.*		1,259		21,743
Power-One, Inc.*,1		2,373		20,764
Synopsys, Inc.*		420		11,613
Symmetricom, Inc.*		1,825		11,187
Satyam Computer Services Ltd. ADR*		3,243		9,794
Total Information Technology				403,527
Consumer Discretionary - 9.7%
Lowe’s Companies, Inc.		3,759		99,350
Time Warner, Inc.		2,087		74,506
Cabela’s, Inc.*		1,499		37,490
Best Buy Company, Inc.		800		22,976
Chico’s FAS, Inc.		1,200		17,880
Maidenform Brands, Inc.*		537		15,342
Penn National Gaming, Inc.*		400		14,824
Brown Shoe Company, Inc.		1,063		12,990
Apollo Group, Inc. — Class A*		270		11,261
JC Penney Company, Inc.		300		10,773
Hanesbrands, Inc.*		300		8,112
Scholastic Corp.		300		8,112
DeVry, Inc.		140		7,710
Fortune Brands, Inc.		100		6,189
Jack in the Box, Inc.*		210		4,763
Fred’s, Inc. — Class A		200		2,664
Total Consumer Discretionary				354,942
Consumer Staples - 7.1%
Wal-Mart Stores, Inc.1		1,200		62,460
CVS Caremark Corp.		1,608		55,186
Hormel Foods Corp.		1,258		35,023

8  | THE RYDEX|SGI EQUITY FUNDS SEMI-ANNUAL REPORT The accompanying notes are an integral part of the financial statements.

SCHEDULE OF INVESTMENTS (Unaudited) (concluded)	Rydex|SGI Equity Fund
March 31, 2011	All Cap Value Fund

	Shares		Value
Kraft Foods, Inc. — Class A		1,100	$	34,496
Bunge Ltd.		425		30,740
JM Smucker Co.		381		27,200
Ralcorp Holdings, Inc.*		240		16,423
Total Consumer Staples				261,528
Health Care - 6.4%
Aetna, Inc.		1,449		54,236
Covidien plc		1,038		53,914
Hospira, Inc.*		619		34,169
Mednax, Inc.*		324		21,581
Forest Laboratories, Inc.*		630		20,349
RehabCare Group, Inc.*		500		18,435
Medco Health Solutions, Inc.*		244		13,703
Merck & Company, Inc.		310		10,233
Hologic, Inc.*		399		8,858
Total Health Care				235,478
Materials - 4.5%
Dow Chemical Co.		1,356		51,189
Bemis Company, Inc.		1,194		39,175
Louisiana-Pacific Corp.*		2,800		29,400
Sonoco Products Co.		521		18,876
Owens-Illinois, Inc.*		600		18,114
HB Fuller Co.		282		6,058
Zoltek Companies, Inc.*		224		3,008
Total Materials				165,820
Utilities - 3.3%
Edison International		1,680		61,471
NRG Energy, Inc.*		590		12,709
Allete, Inc.		273		10,639
Great Plains Energy, Inc.		497		9,950
Black Hills Corp.		290		9,697
American Water Works Company, Inc.		300		8,415
MDU Resources Group, Inc.		273		6,271
Total Utilities				119,152
Telecommunication Services - 1.0%
Windstream Corp.		2,882		37,091
Total Common Stocks (Cost $2,574,629)				3,214,049
EXCHANGE TRADED FUNDS† - 7.5%
iShares Russell Midcap Value Index Fund		2,000		96,320
iShares Russell 1000 Value Index Fund		1,300		89,271
iShares S&P 500 Value Index Fund		1,400		88,634
Total Exchange Traded Funds (Cost $244,684)				274,225
Total Long Investments — 95.1% (Cost $2,819,313)			$	3,488,274
	Contracts
OPTIONS WRITTEN† - (0.1)%
Call Options on:
Power-One, Inc.
Expiring April 2011
with strike price of $13.00		3		(15	)
General Cable Corp.
Expiring May 2011
with strike price of $50.00		5		(125	)
Associated Banc-Corp.
Expiring June 2011
with strike price of $15.00		2		(160	)
Total Call Options				(300	)
Put Options on:
Arch Coal, Inc.
Expiring July 2011
with strike price of $30.00		6		(582	)
Computer Sciences Corp.
Expiring June 2011
with strike price of $50.00		4		(1,320	)
Total Put Options				(1,902	)
Total Options Written (Premiums received $3,616)				(2,202	)
Cash & Other Assets, Less Liabilities - 5.0%				184,975
Total Net Assets - 100.0%			$	3,671,047

*	Non-income producing security
†	Value determined based on Level 1 inputs — See Note 10.
1	All or a portion of this security is pledged as collateral for open written option contracts at March 31, 2011.
ADR — American Depositary Receipt
plc — Public Limited Company

The accompanying notes are an integral part of the financial statements. THE RYDEX|SGI EQUITY FUNDS SEMI-ANNUAL REPORT | 9

Rydex|SGI Equity Fund
All Cap Value Fund

STATEMENT OF ASSETS AND LIABILITIES (Unaudited)

March 31, 2011

Assets:
Investments, at value*	$	3,488,274
Total investments		3,488,274
Cash		183,149
Receivables:
Securities sold		1,082
Fund shares sold		6,338
Dividends		3,673
Prepaid expenses		23,589
Total assets		3,706,105
Liabilities:
Written options, at value**		2,202
Payable for:
Securities purchased		1,707
Fund shares redeemed		4,012
Security Investors		1,483
Management fees		2,145
Custodian fees		1,518
Distribution and service fees		1,440
Portfolio accounting fees		291
Professional fees		6,090
Directors’ fees		98
Legal fees		3,842
Pricing fees		1,306
Direct shareholders expense		6,991
Corporate expenses		1,933
Total liabilities		35,058
Net assets	$	3,671,047
Net assets consist of:
Paid in capital	$	2,935,979
Accumulated net investment loss		(414	)
Undistributed net realized gain on investments		65,107
Net unrealized appreciation in on investments		670,375
Net assets	$	3,671,047
A-Class:
Net assets	$	2,041,138
Capital shares outstanding		161,474
Net asset value per share	$	12.64
Maximum offering price per share***	$	13.27
C-Class:
Net assets	$	1,221,097
Capital shares outstanding		98,146
Net asset value per share	$	12.44
Institutional Class:
Net assets	$	408,812
Capital shares outstanding		32,301
Net asset value per share	$	12.66

*    Investments, at cost	$	2,819,313
**   Premiums received for written options	$	3,616
*** Net asset value adjusted for the maximum sales charge of 4.75% of offering price, calculated NAV/(1-4.75%).

STATEMENT OF OPERATIONS (Unaudited)

For the Period Ended March 31, 2011

Investment Income:
Dividends	$	23,690
Interest		10
Total investment income		23,700
Expenses:
Management fees		11,317
Transfer agent/maintenance fees		157
Distribution and service fees:
A-Class		2,292
C-Class		5,163
Portfolio accounting fees		1,536
Directors’ fees*		196
Custodian fees		2,673
Registration fees		12,099
Professional fees		4,226
Corporate fees		3,034
Legal fees		2,845
Miscellaneous		2,779
Total expenses		48,317
Expenses waived by Advisor		(24,371	)
Net expenses		23,946
Net investment loss		(246	)
Net Realized and Unrealized Gain (Loss):
Net realized gain (loss) on:
Investments		106,897
Options written		1,642
Net realized gain		108,539
Net change in unrealized appreciation (depreciation) on:
Investments		465,912
Options written		966
Net change in unrealized appreciation		466,878
Net realized and unrealized gain		575,417
Net increase in net assets resulting from operations	$	575,171

* Relates to Directors not deemed “interested persons” within the meaning of Section 2(a)(19) of the 1940 Act.

10 | THE RYDEX|SGI EQUITY FUNDS SEMI-ANNUAL REPORT The accompanying notes are an integral part of the financial statements.

	Rydex|SGI Equity Fund
STATEMENTS OF CHANGES IN NET ASSETS	All Cap Value Fund

	Period Ended
	March 31,			Year Ended
	2011			September 30,
	(Unaudited)			2010
Increase (Decrease) In Net Assets From Operations:
Net investment income (loss)	$	(246	)	$	3,935
Net realized gain on investments		108,539			140,388
Net change in unrealized appreciation (depreciation) on investments		466,878			54,786
Net increase in net assets resulting from operations		575,171			199,109
Distributions to shareholders from:
Net investment income
A-Class		(2,929	)		(1,974	)
Institutional Class		(1,040	)		(1,736	)
Net realized gains
A-Class		(89,465	)		—
C-Class		(51,878	)		—
Institutional Class		(18,694	)		—
Total distributions to shareholders		(164,006	)		(3,710	)
Capital share transactions:
Proceeds from sale of shares
A-Class		283,910			1,353,803
C-Class		285,875			464,106
Institutional Class		23,672			43,200
Distributions reinvested
A-Class		92,394			1,960
C-Class		51,833			—
Institutional Class		19,734			1,736
Cost of shares redeemed
A-Class		(172,468	)		(1,209,690	)
C-Class		(53,539	)		(128,033	)
Institutional Class		—			(40,226	)
Net increase from capital share transactions		531,411			486,856
Net increase in net assets		942,576			682,255
Net assets:
Beginning of period		2,728,471			2,046,216
End of period	$	3,671,047		$	2,728,471
Accumulated/(Undistributed) net investment income/(loss) at end of period	$	(414	)	$	3,801
Capital share activity:
Shares sold
A-Class		23,783			126,610
C-Class		24,260			42,853
Institutional Class		1,966			3,913
Shares issued from reinvestment of distributions
A-Class		7,993			186
C-Class		4,547			—
Institutional Class		1,706			165
Shares redeemed
A-Class		(14,380	)		(111,974	)
C-Class		(4,465	)		(12,031	)
Institutional Class		—			(3,913	)
Net increase in shares		45,410			45,809

The accompanying notes are an integral part of the financial statements. THE RYDEX|SGI EQUITY FUNDS SEMI-ANNUAL REPORT | 11

	Rydex|SGI Equity Fund
FINANCIAL HIGHLIGHTS	All Cap Value Fund

This table is presented to show selected data for a share outstanding throughout each period, and to assist shareholders in evaluating a Fund’s performance for the periods presented.

	Period Ended			Year Ended			Period Ended
	March 31,			September 30,			September 30,
A-Class	2011a			2010			2009b
Per Share Data
Net asset value, beginning of period	$	11.11		$	10.21		$	10.00
Income (loss) from investment operations:
Net investment incomec		0.01			0.03			0.04
Net gain on investments (realized and unrealized)		2.15			0.89			0.17
Total from investment operations		2.16			0.92			0.21
Less distributions from:
Net investment income		(0.02	)		(0.02	)		—
Net realized gains		(0.61	)		—			—
Total distributions		(0.63	)		(0.02	)		—
Net asset value, end of period	$	12.64		$	11.11		$	10.21
Total Returnd		19.98	%		8.97	%		2.10	%
Ratios/Supplemental Data
Net assets, end of period (in thousands)	$	2,041		$	1,601		$	1,319
Ratios to average net assets:
Net investment income		0.19	%		0.31	%		0.51	%
Total expensese		2.78	%		3.71	%		6.75	%
Net expensesf		1.27	%		1.29	%		1.35	%
Portfolio turnover rate		14	%		55	%		17	%
	Period Ended			Year Ended			Period Ended
	March 31,			September 30,			September 30,
C-Class	2011a			2010			2009b
Per Share Data
Net asset value, beginning of period	$	10.97		$	10.13		$	10.00
Income (loss) from investment operations:
Net investment lossc		(0.03	)		(0.04	)		(0.02	)
Net gain on investments (realized and unrealized)		2.11			0.88			0.15
Total from investment operations		2.08			0.84			0.13
Less distributions from:
Net realized gains		(0.61	)		—			—
Total distributions		(0.61	)		—			—
Net asset value, end of period	$	12.44		$	10.97		$	10.13
Total Returnd		19.48	%		8.29	%		1.30	%
Ratios/Supplemental Data
Net assets, end of period (in thousands)	$	1,221		$	809		$	436
Ratios to average net assets:
Net investment loss		(0.54	%)		(0.41	%)		(0.18	%)
Total expensese		3.51	%		4.47	%		8.89	%
Net expensesf		2.02	%		2.04	%		2.10	%
Portfolio turnover rate		14	%		55	%		17	%

12 | THE RYDEX|SGI EQUITY FUNDS SEMI-ANNUAL REPORT The accompanying notes are an integral part of the financial statements.

	Rydex|SGI Equity Fund
FINANCIAL HIGHLIGHTS (concluded)	All Cap Value Fund

This table is presented to show selected data for a share outstanding throughout each period, and to assist shareholders in evaluating a Fund’s performance for the periods presented.

	Period Ended			Year Ended			Period Ended
	March 31,			September 30,			September 30,
Institutional Class	2011a			2010			2009b
Per Share Data
Net asset value, beginning of period	$	11.12		$	10.24		$	10.00
Income (loss) from investment operations:
Net investment incomec		0.03			0.06			0.07
Net gain on investments (realized and unrealized)		2.15			0.88			0.17
Total from investment operations		2.18			0.94			0.24
Less distributions from:
Net investment income		(0.03	)		(0.06	)		—
Net realized gains		(0.61	)		—			—
Total distributions		(0.64	)		(0.06	)		—
Net asset value, end of period	$	12.66		$	11.12		$	10.24
Total Returnd		20.20	%		9.22	%		2.40	%
Ratios/Supplemental Data
Net assets, end of period (in thousands)	$	409		$	318		$	291
Ratios to average net assets:
Net investment income		0.44	%		0.55	%		0.81	%
Total expensese		2.54	%		3.48	%		8.19	%
Net expensesf		1.02	%		1.05	%		1.10	%
Portfolio turnover rate		14	%		55	%		17	%

a	Unaudited figures for the period ended March 31, 2011. Percentage amounts for the period, except total return and portfolio turnover rate, have been annualized.
b	Since commencement of operations: October 3, 2008 — All Cap Value Fund.
c	Net investment income (loss) was computed using average shares outstanding throughout the period.
d	Total return does not reflect the impact of any applicable sales charges and has not been annualized.
e	Total expense information reflects expense ratios absent expense reductions by the Investment Manager, as applicable.
f	Net expense information reflects the expense ratios after voluntary expense waivers and reimbursements and before custodian earnings credits, as applicable.

The accompanying notes are an integral part of the financial statements.  THE RYDEX|SGI EQUITY FUNDS SEMI-ANNUAL REPORT |  13

	Rydex|SGI Equity Fund
PERFORMANCE SUMMARY	Alpha Opportunity Fund
March 31, 2011	(Unaudited)

PERFORMANCE

$10,000 Since Inception

This chart assumes a $10,000 investment in A-Class shares of Alpha Opportunity Fund on July 7, 2003 (date of inception), reflects deduction of the maximum front-end sales charge of 5.75% and assumes all dividends are reinvested.^† The chart does not reflect the deduction of taxes that a shareholder would pay on distributions or the redemption of fund shares. The S&P 500^® Index is a capitalization weighted index composed of 500 selected common stocks that represent the broad domestic economy and is a widely recognized unmanaged index of market performance.

Holdings Diversification (Market Exposure as % of Net Assets)

AVERAGE ANNUAL RETURNS
PERIODS ENDED 3/31/2011

							SINCE
							INCEPTION
	1 YEAR			5 YEAR			(07/07/03)
A-Class Shares		29.93	%		6.21	%		10.15	%
A-Class Shares with sales charge		22.40	%		4.96	%		9.31	%
B-Class Shares		28.91	%		5.37	%		9.30	%
B-Class Shares with CDSC		23.91	%		5.07	%		9.30	%
C-Class Shares		28.79	%		5.35	%		9.28	%
C-Class Shares with CDSC		27.79	%		5.35	%		9.28	%

				SINCE
				INCEPTION
	1 YEAR			(11/07/08)
Institutional Class Shares		30.07	%		25.21	%

The performance data above represents past performance that is not predictive of future results. The investment return and principal value of an investment in the Fund will fluctuate so that an investor’s shares, when redeemed, may be worth more or less than their original cost. The figures above do not reflect deduction of the maximum front-end sales charge of 5.75% for Class A shares or the contingent deferred sales charge of 5% for Class B shares and 1% for Class C shares, as applicable, except where noted.^† The figures do not reflect the deduction of taxes that a shareholder would pay on distributions or redemption of shares. Such figures would be lower if the maximum sales charge and any applicable taxes were deducted. Fee waivers and/or reimbursements reduced expenses of the Fund and in the absence of such waivers, the performance quoted would be reduced.

^† Effective 2/22/11, the A-Class maximum sales charge decreased from 5.75% to 4.75%. A 5.75% maximum sales charge is used to calculate performance for periods beginning prior to 2/22/11, and a 4.75% maximum sales charge is used to calculate performance for periods beginning on or after 2/22/11.

14 | THE RYDEX|SGI EQUITY FUNDS SEMI-ANNUAL REPORT

SCHEDULE OF INVESTMENTS (Unaudited)
March 31, 2011 Rydex|SGI Equity Fund
Alpha Opportunity Fund

	Shares		Value
COMMON STOCKS† - 92.6%
Industrials - 21.0%
Joy Global, Inc.1,2		6,117	$	604,421
Trinity Industries, Inc.1,2		10,200		374,034
Lockheed Martin Corp.1,2		3,753		301,741
AO Smith Corp.1,2		4,200		186,228
Towers Watson & Co. — Class A1,2		2,200		122,012
Union Pacific Corp.		1,132		111,310
Watts Water Technologies, Inc. — Class A1,2		2,800		106,932
3M Co.		971		90,789
Boeing Co.		1,204		89,012
Lincoln Electric Holdings, Inc.		1,132		85,941
Alamo Group, Inc.		3,100		85,095
General Electric Co.1,2		4,200		84,210
Northrop Grumman Corp.1,2		1,100		68,981
Con-way, Inc.1,2		1,700		66,793
Wabash National Corp.*		4,851		56,175
Fluor Corp.		608		44,785
Eaton Corp.		759		42,079
Timken Co.		679		35,512
Arkansas Best Corp.		1,354		35,096
Northwest Pipe Co.*		1,235		28,319
Kansas City Southern*		485		26,408
ABB, Ltd. ADR		1,058		25,593
Werner Enterprises, Inc.		911		24,114
Titan Machinery, Inc.*		894		22,574
Blount International, Inc.*		1,209		19,320
Saia, Inc.*		1,143		18,734
Kirby Corp.*		323		18,505
Terex Corp.*		485		17,964
Swift Transportation Company — Class A*		911		13,392
China Ming Yang Wind Power Group, Ltd. ADR*		1,232		12,702
Southwest Airlines Co.		970		12,251
Alaska Air Group, Inc.*		175		11,099
Metalico, Inc.*		1,294		8,049
Huntington Ingalls Industries, Inc.*		183		7,608
Ampco-Pittsburgh Corp.		235		6,481
Total Industrials				2,864,259
Information Technology - 14.8%
Shanda Interactive Entertainment Ltd. ADR*,1,2		15,100		634,049
CA, Inc.1,2		14,000		338,520
Apple, Inc.*		325		113,246
Symantec Corp.*,1,2		5,900		109,386
Arrow Electronics, Inc.*,1,2		2,600		108,888
Avnet, Inc.*,1,2		3,100		105,679
Harmonic, Inc.*,1,2		11,000		103,180
Oracle Corp.		2,079		69,376
Google, Inc. — Class A*		115		67,414
Amkor Technology, Inc.*,1,2		9,200		62,008
Xerox Corp.		4,362		46,455
QUALCOMM, Inc.		759		41,616
Avago Technologies Ltd.		1,218		37,880
STEC, Inc.*		1,161		23,324
Atmel Corp.*		1,618		22,053
Corning, Inc.		922		19,021
Rovi Corp.*		291		15,612
OCZ Technology Group, Inc.*		1,621		13,033
EMC Corp.*		485		12,877
Marvell Technology Group Ltd.*		759		11,802
Anadigics, Inc.*		2,471		11,070
Sanmina-SCI Corp.*		759		8,508
Novatel Wireless, Inc.*		1,500		8,190
MEMC Electronic Materials, Inc.*		608		7,880
DG FastChannel, Inc.*		211		6,798
Quantum Corp.*		2,569		6,474
ON Semiconductor Corp.*		608		6,001
Axcelis Technologies, Inc.*		1,832		4,855
LTX-Credence Corp.*		514		4,693
Daktronics, Inc.		429		4,612
Total Information Technology				2,024,500
Consumer Staples - 12.4%
Philip Morris International, Inc.1,2		9,800		643,174
Altria Group, Inc.1,2		16,700		434,701
Herbalife Ltd.1,2		2,500		203,400
Wal-Mart Stores, Inc.1,2		2,200		114,510
CVS Caremark Corp.		3,080		105,706
Safeway, Inc.1,2		3,900		91,806
Pilgrim’s Pride Corp.*		3,719		28,673
Hormel Foods Corp.		911		25,362
Andersons, Inc.		485		23,629
Tyson Foods, Inc. — Class A		1,164		22,337
Cal-Maine Foods, Inc.		172		5,074
Cresud S.A. ADR		40		724
Total Consumer Staples				1,699,096
Health Care - 11.1%
Johnson & Johnson1,2		5,000		296,250
Viropharma, Inc.*,1,2		9,900		197,010
Life Technologies Corp.*,1,2		2,800		146,776
Lincare Holdings, Inc.1,2		3,800		112,708
Forest Laboratories, Inc.*,1,2		3,400		109,820
Baxter International, Inc.1,2		1,800		96,786
WellCare Health Plans, Inc.*,1,2		2,300		96,485
Amgen, Inc.*,1,2		1,800		96,210
Kindred Healthcare, Inc.*,1,2		3,900		93,132
athenahealth, Inc.*		1,975		89,132
Owens & Minor, Inc.1,2		2,700		87,696
Charles River Laboratories International, Inc.*,1,2		2,000		76,760
Team Health Holdings, Inc.*		542		9,474
Agilent Technologies, Inc.*		152		6,807
Total Health Care				1,515,046
Consumer Discretionary - 9.5%
Family Dollar Stores, Inc.1,2		3,700		189,884
TJX Companies, Inc.1,2		3,600		179,028
Walt Disney Co.1,2		4,024		173,394
Limited Brands, Inc.1,2		5,100		167,688

The accompanying notes are an integral part of the financial statements. THE RYDEX|SGI EQUITY FUNDS SEMI-ANNUAL REPORT | 15

SCHEDULE OF INVESTMENTS (Unaudited) (continued)	Rydex|SGI Equity Fund
March 31, 2011	Alpha Opportunity Fund

	Shares		Value
Ross Stores, Inc.1,2		2,100	$	149,352
The Gap, Inc.1,2		6,000		135,960
Jack in the Box, Inc.*,1,2		4,000		90,720
RadioShack Corp.1,2		5,100		76,551
Phillips-Van Heusen Corp.1,2		800		52,024
Tenneco, Inc.*		1,170		49,666
General Motors Co.*		1,063		32,985
Perfumania Holdings, Inc.*		639		6,243
Navarre Corp.*		548		1,041
Total Consumer Discretionary				1,304,536
Materials - 7.8%
Newmont Mining Co.		3,404		185,790
Monsanto Co.		1,942		140,329
CF Industries Holdings, Inc.		911		124,616
OM Group, Inc.*		2,193		80,132
Freeport-McMoRan Copper & Gold, Inc. — Class B		1,294		71,882
Potash Corporation of Saskatchewan, Inc.		1,008		59,401
Schnitzer Steel Industries, Inc. — Class A		724		47,067
Huntsman Corp.		2,266		39,383
Vale S.A. — Class B ADR		1,167		38,919
United States Steel Co.		647		34,899
Titanium Metals Corp.*		1,768		32,849
Noranda Aluminum Holding Corp.*		1,829		29,356
Stillwater Mining Co.*		1,233		28,273
Nucor Corp.		608		27,980
AngloGold Ashanti Ltd. ADR		558		26,756
Carpenter Technology Corp.		564		24,088
Mosaic Co.		304		23,940
Thompson Creek Metals Company, Inc.*		1,109		13,907
North American Palladium Ltd.*		2,127		13,804
Horsehead Holding Corp.*		647		11,031
Teck Resources Ltd. — Class B		135		7,158
General Moly, Inc.*		647		3,481
Total Materials				1,065,041
Energy - 7.4%
Anadarko Petroleum Corp.1,2		2,755		225,690
ConocoPhillips1,2		1,500		119,790
Consol Energy, Inc.		1,942		104,149
InterOil Corp.*		1,289		96,211
Denbury Resources, Inc.*		3,399		82,936
Cameron International Corp.*		1,294		73,887
Devon Energy Corp.		765		70,204
Petroleum Development Corp.*		1,456		69,903
Hess Corp.		759		64,674
Oil States International, Inc.*		647		49,263
Oasis Petroleum, Inc.*		647		20,458
Triangle Petroleum Corporation*		1,779		14,766
Petroleo Brasileiro S.A. ADR		215		8,692
Sunoco, Inc.		139		6,337
Total Energy				1,006,960
Financials - 5.0%
Endurance Specialty Holdings Ltd.1,2		3,000		146,460
Genworth Financial, Inc. — Class A*,1,2		9,165		123,361
Weyerhaeuser Co.		4,851		119,335
Amtrust Financial Services, Inc.1,2		6,000		114,420
Wells Fargo & Co.		2,886		91,486
Citigroup, Inc.*		7,595		33,570
Goldman Sachs Group, Inc.		162		25,672
HSBC Holdings plc ADR		320		16,576
Brookfield Properties Corp.		545		9,657
Farmer Mac — Class C		274		5,236
St. Joe Co.*		152		3,811
Total Financials				689,584
Telecommunication Services - 2.4%
AT&T, Inc.1,2		10,600		324,360
Utilities - 1.2%
Constellation Energy Group, Inc.1,2		5,100		158,763
Total Common Stocks (Cost $11,864,850)				12,652,145
EXCHANGE TRADED FUNDS† - 2.0%
iShares S&P Global Materials Sector Index Fund		2,069		154,348
SPDR KBW Regional Banking ETF		1,823		48,492
iShares MSCI Japan Index Fund		2,888		29,775
Regional Bank HOLDRs Trust		304		26,381
Market Vectors Junior Gold Miners ETF		323		12,668
Total Exchange Traded Funds (Cost $269,278)				271,664
SHORT TERM INVESTMENT†† - 0.2%
State Street General Account U.S. Government Fund		20,500		20,500
Total Short Term Investment (Cost $20,500)				20,500
	Face
	Amount
FEDERAL AGENCY DISCOUNT NOTE†† - 7.3%
Freddie Mac2,3 0.18% due 06/28/11	$	1,000,000		999,780
Total Federal Agency Discount Note (Cost $999,562)				999,780
REPURCHASE AGREEMENT††,4 - 10.0%
State Street issued 03/31/11 at 0.00% due 04/01/11		1,366,517		1,366,517
Total Repurchase Agreement (Cost $1,366,517)				1,366,517
Total Long Investments - 112.1% (Cost $14,520,707)			$	15,310,606

16 | THE RYDEX|SGI EQUITY FUNDS SEMI-ANNUAL REPORT The accompanying notes are an integral part of the financial statements.

SCHEDULE OF INVESTMENTS (Unaudited) (continued)	Rydex|SGI Equity Fund
March 31, 2011	Alpha Opportunity Fund

	Shares		Value
COMMON STOCK SOLD SHORT† - (53.9)%
Consumer Staples - (0.8)%
Molson Coors Brewing Co. — Class B		127	$	(5,955	)
Hansen Natural Corp.*,†††,5,6		3,250		(96,232	)
Total Consumer Staples				(102,187	)
Telecommunication Services - (1.4)%
Clearwire Corp. — Class A*,†††,5,6		2,530		(28,665	)
Global Crossing Ltd.*,†††,5,6		1,800		(28,746	)
Leap Wireless International, Inc.*,†††,5,6		1,500		(65,100	)
SBA Communications Corp. — Class A*,†††,5,6		2,400		(69,096	)
Total Telecommunication Services				(191,607	)
Utilities - (1.8)%
Korea Electric Power Corp. ADR†††,5,6		18,310		(247,734	)
Energy - (2.5)%
Aquila Resources Ltd.*,†††,5,6		2,750		(21,907	)
Arrow Energy Ltd.*,†††,5,6		8,900		(22,965	)
Modec, Inc.†††,5,6		900		(23,195	)
Sevan Marine ASA*,†††,5,6		5,900		(30,951	)
Trican Well Service Ltd.†††,5,6		2,000		(34,043	)
Queensland Gas Company Ltd.*,†††,5,6		12,800		(49,787	)
Riversdale Mining Ltd.*,†††,5,6		6,700		(50,985	)
BPZ Resources, Inc.*,†††,5,6		5,700		(107,160	)
Total Energy				(340,993	)
Materials - (3.0)%
China National Building Material Company Ltd. — Class H†††,5,6		14,700		(19,910	)
Anhui Conch Cement Company Ltd. — Class H†††,5,6		4,500		(20,259	)
Fushan International Energy Group Ltd.†††,5,6		66,000		(23,727	)
Sino Gold Mining Ltd.*,†††,5,6		8,600		(35,368	)
Ivanhoe Mines Ltd.*,†††,5,6		4,440		(37,030	)
Western Areas NL†††,5,6		6,200		(44,456	)
Zoltek Companies, Inc.*,†††,5,6		2,700		(49,221	)
Silver Wheaton Corp.†††,5,6		6,100		(64,046	)
Agnico-Eagle Mines Ltd.†††,5,6		1,800		(119,001	)
Total Materials				(413,018	)
Information Technology - (5.9)%
VeriSign, Inc.†††,5,6		1,200		(30,756	)
Access Company Ltd.†††,5,6		17		(32,755	)
Varian Semiconductor Equipment Associates, Inc.*,†††,5,6		1,260		(33,037	)
Electronic Arts, Inc.*,†††,5,6		900		(36,720	)
Riverbed Technology, Inc.*,†††,5,6		3,280		(43,624	)
Red Hat, Inc.*,†††,5,6		2,610		(46,588	)
Baidu, Inc. ADR*,†††,5,6		200		(53,726	)
Intermec, Inc.*,†††,5,6		2,740		(54,307	)
Rambus, Inc.*,†††,5,6		3,600		(55,224	)
VMware, Inc. — Class A*,†††,5,6		2,400		(68,592	)
Imperial Energy Corporation plc*,†††,5,6		3,900		(77,681	)
Equinix, Inc.*,†††,5,6		1,000		(79,940	)
SAVVIS, Inc.*,†††,5,6		5,700		(84,018	)
Cree, Inc.*,†††,5,6		4,000		(109,840	)
Total Information Technology				(806,808	)
Industrials - (7.3)%
International Shipholding Corp.		2		(50	)
China Merchants Holdings International Company Ltd.†††,5,6		3,100		(11,047	)
China Communications Construction Company Ltd. — Class H†††,5,6		15,000		(15,536	)
China National Materials Company Ltd.†††,5,6		34,400		(17,537	)
Japan Steel Works Ltd.†††,5,6		1,500		(20,809	)
Ausenco Ltd.†††,5,6		2,100		(22,659	)
Toyo Tanso Company Ltd.†††,5,6		500		(27,007	)
Ryanair Holdings plc†††,5,6		9,600		(35,971	)
Meyer Burger Technology AG*,†††,5,6		200		(49,879	)
USG Corp.*,†††,5,6		4,940		(141,877	)
Beijing Capital International Airport Company Ltd. — Class H†††,5,6		218,000		(188,550	)
Brisa Auto-Estradas de Portugal S.A.†††,5,6		44,400		(461,804	)
Total Industrials				(992,726	)
Financials - (8.6)%
C C Land Holdings Ltd.†††,5,6		50,000		(13,945	)
Franshion Properties China Ltd.†††,5,6		79,400		(22,104	)
Mizuho Trust & Banking Company Ltd.†††,5,6		17,700		(24,682	)
Aozora Bank Ltd.†††,5,6		16,300		(26,250	)
Monex Group, Inc.†††,5,6		78		(27,384	)
Mizuho Financial Group, Inc.†††,5,6		11,000		(45,461	)
Aeon Mall Company Ltd.†††,5,6		1,700		(52,093	)
PrivateBancorp, Inc. — Class A†††,5,6		2,390		(102,770	)
Erste Group Bank AG†††,5,6		5,200		(319,536	)
Wells Fargo & Co.†††,5,6		12,384		(539,689	)
Total Financials				(1,173,914	)
Health Care - (9.8)%
Sepracor, Inc.*,†††,5,6		1,400		(24,500	)
Exelixis, Inc.*,†††,5,6		4,500		(28,845	)
Savient Pharmaceuticals, Inc.*,†††,5,6		2,420		(48,013	)
Zeltia S.A.†††,5,6		8,000		(54,559	)
Intuitive Surgical, Inc.*,†††,5,6		200		(56,100	)
Auxilium Pharmaceuticals, Inc.*,†††,5,6		1,540		(56,703	)
XenoPort, Inc.*,†††,5,6		1,376		(63,062	)
Luminex Corp.*,†††,5,6		2,500		(63,725	)

The accompanying notes are an integral part of the financial statements. THE RYDEX|SGI EQUITY FUNDS SEMI-ANNUAL REPORT | 17

SCHEDULE OF INVESTMENTS (Unaudited) (concluded)	Rydex|SGI Equity Fund
March 31, 2011	Alpha Opportunity Fund

	Shares		Value
Regeneron Pharmaceuticals, Inc.*,†††,5,6		3,180	$	(69,038	)
Vertex Pharmaceuticals, Inc.*,†††,5,6		2,600		(71,942	)
Align Technology, Inc.*,†††,5,6		6,100		(74,420	)
Intercell AG*,†††,5,6		1,900		(74,840	)
Acorda Therapeutics, Inc.*,†††,5,6		2,800		(74,900	)
Rigel Pharmaceuticals, Inc.*,†††,5,6		3,050		(78,324	)
Sequenom, Inc.*,†††,5,6		3,810		(78,524	)
Cepheid, Inc.*,†††,5,6		5,300		(81,620	)
AMAG Pharmaceuticals, Inc.*,†††,5,6		1,900		(82,954	)
Basilea Pharmaceutica*,†††,5,6		500		(83,365	)
Alnylam Pharmaceuticals, Inc.*,†††,5,6		2,900		(85,289	)
athenahealth, Inc.*,†††,5,6		2,500		(89,625	)
Total Health Care				(1,340,348	)
Consumer Discretionary - (12.8)%
Fuel Systems Solutions, Inc.*		253		(7,636	)
Tokyo Broadcasting System Holdings, Inc.†††,5,6		1,300		(21,836	)
Genting Singapore plc*,†††,5,6		124,900		(41,123	)
bwin Interactive Entertainment AG†††,5,6		1,600		(45,582	)
Bwin.Party Digital Entertainment plc*,†††,5,6		15,200		(57,210	)
Focus Media Holding Ltd. ADR*,†††,5,6		2,130		(63,900	)
Sky Deutschland AG*,†††,5,6		4,000		(65,668	)
Marui Group Company Ltd.†††,5,6		29,100		(219,527	)
Pool Corp.†††,5,6		11,639		(288,065	)
Electrolux AB†††,5,6		30,100		(395,761	)
Volkswagen AG†††,5,6		1,300		(539,374	)
Total Consumer Discretionary				(1,745,682	)
Total Common Stock Sold Short (Proceeds $7,177,613)				(7,355,017	)
Cash & Other Assets, Less Liabilities - 41.8%				5,702,738
Total Net Assets - 100.0%			$	13,658,327

INVESTMENT CONCENTRATION

At March 31, 2011, the investment diversification of the Fund was as follows:

	% of
Country	Net Assets			Value
United States		78.1	%	$	10,675,169
Cayman Islands		5.3			732,525
Bermuda		0.8			115,571
Brazil		0.3			47,611
Singapore		0.3			37,880
South Africa		0.2			26,756
Argentina		0.0			724
Norway		(0.2	)		(30,951	)
Ireland		(0.3	)		(35,971	)
Isle Of Man		(0.3	)		(41,123	)
Canada		(0.4	)		(53,982	)
Spain		(0.4	)		(54,559	)
Hong Kong		(0.4	)		(56,878	)
Gibraltar		(0.4	)		(57,210	)
United Kingdom		(0.4	)		(61,105	)
Switzerland		(0.8	)		(107,651	)
Republic of Korea		(1.8	)		(247,734	)
Australia		(1.8	)		(248,127	)
China		(1.9	)		(261,792	)
Sweden		(2.9	)		(395,761	)
Austria		(3.2	)		(439,958	)
Portugal		(3.4	)		(461,804	)
Japan		(3.8	)		(520,999	)
Germany		(4.4	)		(605,042	)
Total Investments		58.2	%	$	7,955,589

			Unrealized
	Contracts		Gain
FUTURES CONTRACTS PURCHASED†
June 2011 S&P 500 Index Mini Futures Contracts (Aggregate Value of Contracts $3,434,600)		52	$	14,599

*	Non-income producing security
†	Value determined based on Level 1 inputs, except otherwise noted — See Note 10.
††	Value determined based on Level 2 inputs — See Note 10.
†††	Value determined based on Level 3 inputs — See Note 10.
1	All or a portion of the security is deemed illiquid due to the Fund’s exposure to Lehman Brothers International Europe (“LBIE”) prime brokerage services. The total market value of illiquid securities is $8,472,434 (cost $7,620,331), or 62.0% of total net assets. The security was deemed liquid at the time of purchase — See Note 9.
2	All or a portion of this security is pledged as short security collateral at March 31, 2011.
3	On September 7, 2008 the issuer was placed in conservatorship by the Federal Housing Finance Agency (FHFA). As conservator, the FHFA has full powers to control the assets and operations of the firm.
4	Repurchase Agreement — See Note 5.
5	All or a portion of this security was fair valued by the Valuation Committee at March 31, 2011. The total market value of fair valued securities amounts to $(7,341,377) (proceeds $7,164,436), or (53.8%) of total net assets.
6	Illiquid security.
7	Security was acquired through a private placement.
ADR — American Depositary Receipt
plc — Public Limited Company

18 | THE RYDEX|SGI EQUITY FUNDS SEMI-ANNUAL REPORT The accompanying notes are an integral part of the financial statements.

Rydex|SGI Equity Fund
Alpha Opportunity Fund

STATEMENT OF ASSETS AND LIABILITIES (Unaudited)

March 31, 2011

Assets:
Investments, at value*,†	$	13,944,089
Repurchase agreements, at value**		1,366,517
Total investments		15,310,606
Restricted cash†		1,759,316
Restricted cash denominated in a foreign currency, at value***		3,701,800
Receivables:
Securities sold		1,176,270
Dividends		19,925
Due from Security Investors		8,467
Foreign taxes reclaim		216
Prepaid expense		24,946
Total assets		22,001,546
Liabilities:
Cash overdraft		7,257
Securities sold short, at value****,†		7,355,017
Payable for:
Variation margin		7,540
Securities purchased		869,963
Fund shares redeemed		2,641
Management fees		14,162
Custodian fees		25,144
Transfer agent/maintenance fees		5,514
Distribution and service fees		4,267
Portfolio accounting fees		2,034
Professional fees		11,353
Directors’ fees		975
Legal fees		21,175
Pricing fees		8,174
Other		6,299
Corporate expenses		1,704
Total liabilities		8,343,219
Net assets	$	13,658,327
Net assets consist of:
Paid in capital	$	23,459,229
Accumulated net investment loss		(36,052	)
Accumulated net realized loss on investments		(10,713,278	)
Net unrealized appreciation in on investments		948,428
Net assets	$	13,658,327
A-Class:
Net assets	$	8,970,828
Capital shares outstanding		720,163
Net asset value per share	$	12.46
Maximum offering price per share††	$	13.08
B-Class:
Net assets	$	1,111,943
Capital shares outstanding		96,313
Net asset value per share	$	11.55
C-Class:
Net assets	$	1,765,064
Capital shares outstanding		152,895
Net asset value per share	$	11.54
Institutional Class:
Net assets	$	1,810,492
Capital shares outstanding		105,668
Net asset value per share	$	17.13

*    Investments, at cost	$	13,154,190
**   Repurchase agreements, at cost		1,366,517
Total cost	$	14,520,707
***  Restricted cash denominated in a foreign currency, at cost		3,380,466
**** Securities sold short, proceeds		7,177,613

†	All or portion of this amount represents values related to Lehman Brothers International Europe prime brokerage services — See Note 8.
††	Net asset value adjusted for the maximum sales charge of 4.75% of offering price, calculated NAV/(1-4.75%).

STATEMENT OF OPERATIONS (Unaudited)

For the Period Ended March 31, 2011

Investment Income:
Dividends (net of foreign withholding tax of $199)	$	114,189
Interest		932
Total investment income		115,121
Expenses:
Management fees		80,749
Transfer agent/maintenance fees		27,246
Distribution and service fees:
A-Class		10,635
B-Class		5,723
C-Class		8,229
Portfolio accounting fees		13,075
Directors’ fees††††		639
Short sales dividend expense		1,055
Registration fees		22,526
Legal fees		44,684
Pricing fees		12,840
Miscellaneous		26,392
Prime broker interest expense		2,534
Total expenses		256,327
Expenses waived by Advisor		(107,997	)
Net expenses		148,330
Net investment loss		(33,209	)
Net Realized and Unrealized Gain (Loss):
Net realized gain (loss) on:
Investments†††		1,373,221
Futures contracts		572,949
Foreign currency		102
Securities sold short		(13,613	)
Net realized gain		1,932,659
Net change in unrealized appreciation (depreciation) on:
Investments		1,220,909
Securities sold short		2,698
Futures contracts		(34,434	)
Foreign currency		128,817
Net change in unrealized appreciation		1,317,990
Net realized and unrealized gain		3,250,649
Net increase in net assets resulting from operations	$	3,217,440

†††	Includes net realized gains of $9,993 on affiliated issuers.
††††	Relates to Directors not deemed “interested persons” within the meaning of Section 2(a)(19) of the 1940 Act.

The accompanying notes are an integral part of the financial statements. THE RYDEX|SGI EQUITY FUNDS SEMI-ANNUAL REPORT | 19

	Rydex|SGI Equity Fund
STATEMENTS OF CHANGES IN NET ASSETS	Alpha Opportunity Fund

	Period Ended
	March 31,			Year Ended
	2011			September 30,
	(Unaudited)			2010
Increase (Decrease) In Net Assets From Operations:
Net investment loss	$	(33,209	)	$	(114,876	)
Net realized gain on investments and foreign currency transactions		1,932,659			1,037,820
Net change in unrealized appreciation (depreciation) on investments and translation of assets and liabilities in foreign currencies		1,317,990			683,849
Net increase in net assets resulting from operations		3,217,440			1,606,793
Capital share transactions:
Proceeds from sale of shares
A-Class*		88,633			293,839
B-Class		—			—
C-Class		—			—
Institutional Class		—			—
Cost of shares redeemed
A-Class		(1,383,368	)		(2,954,805	)
B-Class		(329,978	)		(635,054	)
C-Class		(127,709	)		(698,685	)
Institutional Class		(38,782	)		(917,495	)
Net decrease from capital share transactions		(1,791,204	)		(4,912,200	)
Net increase (decrease) in net assets		1,426,236			(3,305,407	)
Net assets:
Beginning of period		12,232,091			15,537,498
End of period	$	13,658,327		$	12,232,091
Accumulated net investment loss at end of period	$	(36,052	)	$	(2,843	)
Capital share activity:
Shares sold
A-Class*		8,377			32,339
Shares redeemed
A-Class		(126,966	)		(333,306	)
B-Class		(32,260	)		(74,867	)
C-Class		(12,101	)		(83,926	)
Institutional Class		(2,605	)		(75,471	)
Net decrease in shares		(165,555	)		(535,231	)

* Represents conversion of B-Class to A-Class shares.

20 | THE RYDEX|SGI EQUITY FUNDS SEMI-ANNUAL REPORT The accompanying notes are an integral part of the financial statements.

	Rydex|SGI Equity Fund
FINANCIAL HIGHLIGHTS	Alpha Opportunity Fund

This table is presented to show selected data for a share outstanding throughout each period, and to assist shareholders in evaluating a Fund’s performance for the periods presented.

	Period Ended			Year Ended			Year Ended			Year Ended			Year Ended			Year Ended
	March 31,			September 30,			September 30,			September 30,			September 30,			September 30,
A-Class	2011a			2010			2009			2008d			2007			2006
Per Share Data
Net asset value, beginning of period	$	9.70		$	8.56		$	9.37		$	13.94		$	12.23		$	12.37
Income (loss) from investment operations:
Net investment lossb		(0.02	)		(0.06	)		(0.04	)		(0.16	)		(0.01	)		(0.06	)
Net gain (loss) on investments (realized and unrealized)		2.78			1.20			(0.77	)		(1.68	)		2.99			0.93
Total from investment operations		2.76			1.14			(0.81	)		(1.84	)		2.98			0.87
Less distributions from:
Net realized gains		—			—			—			(2.57	)		(1.27	)		(1.01	)
Return of capital		—			—			—			(0.16	)		—			—
Total distributions		—			—			—			(2.73	)		(1.27	)		(1.01	)
Net asset value, end of period	$	12.46		$	9.70		$	8.56		$	9.37		$	13.94		$	12.33
Total Returnc		28.32	%		13.43	%		(8.64	%)		(15.99	%)		26.10	%		7.39	%
Ratios/Supplemental Data
Net assets, end of period (in thousands)	$	8,971		$	8,138		$	9,752		$	30,615		$	25,072		$	20,595
Ratios to average net assets:
Net investment loss		(0.38	%)		(0.71	%)		(0.50	%)		(1.44	%)		(0.08	%)		(0.50	%)
Total expensese		3.84	%		3.51	%		3.82	%		3.41	%		2.88	%		3.20	%
Net expensesf		2.17	%		2.21	%		2.00	%		3.32	%		2.82	%		3.04	%
Operating expensesg		2.11	%		2.05	%		1.95	%		3.06	%		2.62	%		2.95	%
Portfolio turnover rate		504	%		954	%		422	%		1,248	%		1,697	%		1,302	%

	Period Ended			Year Ended			Year Ended			Year Ended			Year Ended			Year Ended
	March 31,			September 30,			September 30,			September 30,			September 30,			September 30,
B-Class	2011a			2010			2009			2008d			2007			2006
Per Share Data
Net asset value, beginning of period	$	9.03		$	8.04		$	8.87		$	13.42		$	11.90		$	12.15
Income (loss) from investment operations:
Net investment lossb		(0.06	)		(0.12	)		(0.09	)		(0.23	)		(0.09	)		(0.15	)
Net gain (loss) on investments (realized and unrealized)		2.58			1.11			(0.74	)		(1.59	)		2.88			0.91
Total from investment operations		2.52			0.99			(0.83	)		(1.82	)		2.79			0.76
Less distributions from:
Net realized gains		—			—			—			(2.57	)		(1.27	)		(1.01	)
Return of capital		—			—			—			(0.16	)		—			—
Total distributions		—			—			—			(2.73	)		(1.27	)		(1.01	)
Net asset value, end of period	$	11.55		$	9.03		$	8.04		$	8.87		$	13.42		$	11.90
Total Returnc		27.91	%		12.31	%		(9.36	%)		(16.66	%)		25.14	%		6.56	%
Ratios/Supplemental Data
Net assets, end of period (in thousands)	$	1,112		$	1,161		$	1,635		$	5,391		$	3,154		$	4,846
Ratios to average net assets:
Net investment loss		(1.14	%)		(1.47	%)		(1.24	%)		(2.18	%)		(0.77	%)		(1.24	%)
Total expensese		4.61	%		4.27	%		4.57	%		4.16	%		3.59	%		3.95	%
Net expensesf		2.92	%		2.96	%		2.75	%		4.04	%		3.53	%		3.78	%
Operating expensesg		2.86	%		2.80	%		2.69	%		3.78	%		3.33	%		3.69	%
Portfolio turnover rate		504	%		954	%		422	%		1,248	%		1,697	%		1,302	%

The accompanying notes are an integral part of the financial statements. THE RYDEX|SGI EQUITY FUNDS SEMI-ANNUAL REPORT | 21

	Rydex|SGI Equity Fund
FINANCIAL HIGHLIGHTS (concluded)	Alpha Opportunity Fund

This table is presented to show selected data for a share outstanding throughout each period, and to assist shareholders in evaluating a Fund’s performance for the periods presented.

	Period Ended			Year Ended			Year Ended			Year Ended			Year Ended			Year Ended
	March 31,			September 30,			September 30,			September 30,			September 30,			September 30,
C-Class	2011a			2010			2009			2008d			2007			2006
Per Share Data
Net asset value, beginning of period	$	9.03		$	8.02		$	8.87		$	13.43		$	11.90		$	12.15
Income (loss) from investment operations:
Net investment lossb		(0.06	)		(0.12	)		(0.09	)		(0.23	)		(0.10	)		(0.15	)
Net gain (loss) on investments (realized and unrealized)		2.57			1.13			(0.76	)		(1.60	)		2.90			0.91
Total from investment operations		2.51			1.01			(0.85	)		(1.83	)		2.80			0.76
Less distributions from:
Net realized gains		—			—			—			(2.57	)		(1.27	)		(1.01	)
Return of capital		—			—			—			(0.16	)		—			—
Total distributions		—			—			—			(2.73	)		(1.27	)		(1.01	)
Net asset value, end of period	$	11.54		$	9.03		$	8.02		$	8.87		$	13.43		$	11.90
Total Returnc		27.80	%		12.59	%		(9.58	%)		(16.63	%)		25.24	%		6.56	%
Ratios/Supplemental Data
Net assets, end of period (in thousands)	$	1,765		$	1,490		$	1,996		$	4,935		$	4,216		$	5,576
Ratios to average net assets:
Net investment loss		(1.13	%)		(1.46	%)		(1.24	%)		(2.21	%)		(0.77	%)		(1.18	%)
Total expensese		4.58	%		4.28	%		4.67	%		4.16	%		3.60	%		3.95	%
Net expensesf		2.91	%		2.95	%		2.75	%		4.09	%		3.54	%		3.77	%
Operating expensesg		2.86	%		2.80	%		2.69	%		3.83	%		3.34	%		3.68	%
Portfolio turnover rate		504	%		954	%		422	%		1,248	%		1,697	%		1,302	%

	Period Ended			Year Ended			Period Ended
	March 31,			September 30,			September 30,
Institutional Class	2011a			2010			2009h
Per Share Data
Net asset value, beginning of period	$	13.33		$	11.73		$	10.00
Income (loss) from investment operations:
Net investment lossb		(0.01	)		(0.06	)		(0.01	)
Net gain on investments (realized and unrealized)		3.81			1.66			1.74
Total from investment operations		3.80			1.60			1.73
Net asset value, end of period	$	17.13		$	13.33		$	11.73
Total Returnc		28.51	%		13.64	%		17.30	%
Ratios/Supplemental Data
Net assets, end of period (in thousands)	$	1,810		$	1,444		$	2,155
Ratios to average net assets:
Net investment loss		(0.13	%)		(0.48	%)		(0.07	%)
Total expensese		3.57	%		3.28	%		3.94	%
Net expensesf		1.91	%		1.96	%		1.76	%
Operating expensesg		1.86	%		1.80	%		1.70	%
Portfolio turnover rate		504	%		954	%		422	%

a	Unaudited figures for the period ended March 31, 2011. Percentage amounts for the period, except total return and portfolio turnover rate, have been annualized.
b	Net investment income (loss) was computed using average shares outstanding throughout the period.
c	Total return does not reflect the impact of any applicable sales charges and has not been annualized.
d	Security Global Investors, LLC (SGI) became the sub-advisor of 37.5% of the assets of the Alpha Opportunity Fund effective August 18, 2008. Also effective August 18, 2008, Mainstream Investment Advisers, LLC (Mainstream) sub-advises 37.5% of the assets and Security Investors, LLC (SI) manages 25% of the assets. Prior to August 18, 2008, Mainstream sub-advised 60% of the assets and SI managed the remaining 40% of the assets.
e	Total expense information reflects expense ratios absent expense reductions by the Investment Manager and custodian earnings credits, as applicable.
f	Net expense information reflects the expense ratios after voluntary expense waivers, and reimbursements, and before custodian earnings credits, as applicable.
g	Operating expenses exclude interest and dividend expense from securities sold short.
h	Since commencement of operations: November 7, 2008 — Alpha Opportunity Fund Institutional Class.

22 | THE RYDEX|SGI EQUITY FUNDS SEMI-ANNUAL REPORT The accompanying notes are an integral part of the financial statements.

	Rydex|SGI Equity Fund
PERFORMANCE SUMMARY	Large Cap Core Fund
March 31, 2011	(Unaudited)

PERFORMANCE

$10,000 Over Ten Years

This chart assumes a $10,000 investment in A-Class shares of Large Cap Core Fund on March 31, 2011, reflects deduction of the maximum front-end sales charge of 5.75% and assumes all dividends are reinvested.^† The chart does not reflect the deduction of taxes that a shareholder would pay on distributions or the redemption of fund shares. The S&P 500^® Index is a capitalization-weighted index composed of 500 selected common stocks that represent the broad domestic economy and is a widely recognized unmanaged index on market performance.

AVERAGE ANNUAL RETURNS
PERIODS ENDED 3/31/2011

	1 YEAR			5 YEAR			10 YEAR
A-Class Shares		15.50	%		0.39	%		0.93	%
A-Class Shares with sales charge		8.80	%		-0.78	%		0.33	%
B-Class Shares		14.44	%		-0.38	%		0.28	%
B-Class Shares with CDSC		9.44	%		-0.67	%		0.28	%
C-Class Shares		14.57	%		-0.31	%		0.17	%
C-Class Shares with CDSC		13.57	%		-0.31	%		0.17	%

The performance data above represents past performance that is not predictive of future results. The investment return and principal value of an investment in the Fund will fluctuate so that an investor’s shares, when redeemed, may be worth more or less than their original cost. The figures above do not reflect deduction of the maximum front-end sales charge of 5.75% for Class A shares or the contingent deferred sales charge of 5% for Class B shares and 1% for Class C shares, as applicable, except where noted.^† The figures do not reflect the deduction of taxes that a shareholder would pay on distributions or redemption of shares. Such figures would be lower if the maximum sales charge and any applicable taxes were deducted.

Portfolio Composition by Sector
Common Stocks
Information Technology	21.0	%
Industrials	15.5	%
Energy	13.9	%
Consumer Discretionary	13.0	%
Financials	10.5	%
Health Care	7.5	%
Consumer Staples	6.1	%
Materials	5.1	%
Utilities	1.4	%
Telecommunication Services	0.6	%
Exchange Traded Funds	1.4	%
Cash & Other Assets, Less Liabilities	4.0	%
Total Net Assets	100.0	%

^† Effective 2/22/11, the A-Class maximum sales charge decreased from 5.75% to 4.75%. A 5.75% maximum sales charge is used to calculate performance for periods beginning prior to 2/22/11, and a 4.75% maximum sales charge is used to calculate performance for periods beginning on or after 2/22/11.

THE RYDEX|SGI EQUITY FUNDS SEMI-ANNUAL REPORT | 23

SCHEDULE OF INVESTMENTS (Unaudited)	Rydex|SGI Equity Fund
March 31, 2011	Large Cap Core Fund

	Shares		Value
COMMON STOCKS† - 94.6%
Information Technology - 21.0%
Apple, Inc.*		16,085	$	5,604,818
Google, Inc. — Class A*		8,475		4,968,130
QUALCOMM, Inc.		85,300		4,676,999
EMC Corp.*		167,740		4,453,497
Autodesk, Inc.*		84,570		3,730,383
Cognizant Technology Solutions Corp. — Class A*		42,680		3,474,152
Western Union Co.		155,900		3,238,043
Microsoft Corp.		126,750		3,214,380
Avago Technologies Ltd.		89,950		2,797,445
TE Connectivity, Ltd.		75,400		2,625,428
Computer Sciences Corp.		50,100		2,441,373
Hewlett-Packard Co.		50,716		2,077,834
Visa, Inc. — Class A		12,100		890,802
Synopsys, Inc.*		17,200		475,580
Total Information Technology				44,668,864
Industrials - 15.5%
Parker Hannifin Corp.		50,590		4,789,861
Equifax, Inc.		108,500		4,215,225
Eaton Corp.		65,400		3,625,776
Deere & Co.		36,120		3,499,667
Precision Castparts Corp.		23,340		3,435,181
United Parcel Service, Inc. — Class B		45,400		3,374,128
CSX Corp.		41,220		3,239,892
United Technologies Corp.		29,400		2,488,710
Babcock & Wilcox Co.*		63,300		2,112,954
USG Corp.*		66,400		1,106,224
FedEx Corp.		10,200		954,210
Total Industrials				32,841,828
Energy - 13.9%
Halliburton Co.		125,470		6,253,425
Baker Hughes, Inc.		55,000		4,038,650
Peabody Energy Corp.		54,250		3,903,830
Chevron Corp.		32,240		3,463,543
McDermott International, Inc.*		126,600		3,214,374
Williams Companies, Inc.		93,900		2,927,802
Exxon Mobil Corp.		22,600		1,901,338
Apache Corp.		11,400		1,492,488
Chesapeake Energy Corp.		35,400		1,186,608
ConocoPhillips		14,400		1,149,984
Total Energy				29,532,042
Consumer Discretionary - 13.0%
Time Warner, Inc.		163,866		5,850,016
Walt Disney Co.		87,690		3,778,562
Ford Motor Co.*		242,000		3,608,220
Starbucks Corp.		92,470		3,416,767
Omnicom Group, Inc.		69,040		3,387,102
Johnson Controls, Inc.		78,580		3,266,571
Lowe’s Companies, Inc.		123,300		3,258,819
Best Buy Company, Inc.		25,400		729,488
JC Penney Company, Inc.		10,200		366,282
Total Consumer Discretionary				27,661,827
Financials - 10.5%
U.S. Bancorp		217,106		5,738,112
Goldman Sachs Group, Inc.		20,230		3,205,848
AON Corp.		58,700		3,108,752
Wells Fargo & Co.		89,778		2,845,963
Bank of New York Mellon Corp.		69,300		2,069,991
Berkshire Hathaway, Inc. — Class A*		16		2,004,800
JPMorgan Chase & Co.		41,770		1,925,597
BB&T Corp.		39,112		1,073,624
First Marblehead Corp.*		97,760		215,072
Total Financials				22,187,759
Health Care - 7.5%
Covidien plc		107,990		5,609,000
Warner Chilcott plc — Class A		116,710		2,717,009
Aetna, Inc.		68,300		2,556,469
Hospira, Inc.*		44,100		2,434,320
Forest Laboratories, Inc.*		33,800		1,091,740
Medco Health Solutions, Inc.*		14,800		831,168
Merck & Company, Inc.		17,762		586,324
Total Health Care				15,826,030
Consumer Staples - 6.1%
Bunge Ltd.		61,250		4,430,212
CVS Caremark Corp.		67,400		2,313,168
Wal-Mart Stores, Inc.		43,600		2,269,380
Costco Wholesale Corp.		23,200		1,701,024
Kraft Foods, Inc. — Class A		43,100		1,351,616
Altria Group, Inc.		34,500		898,035
Total Consumer Staples				12,963,435
Materials - 5.1%
Dow Chemical Co.		151,220		5,708,555
Freeport-McMoRan Copper & Gold, Inc. — Class B		65,600		3,644,080
Bemis Company, Inc.		45,600		1,496,136
Total Materials				10,848,771
Utilities - 1.4%
Edison International		66,400		2,429,576
NRG Energy, Inc.*		25,100		540,654
Total Utilities				2,970,230
Telecommunication Services - 0.6%
Windstream Corp.		98,400		1,266,408
Total Common Stocks (Cost $169,242,221)				200,767,194

24 | THE RYDEX|SGI EQUITY FUNDS SEMI-ANNUAL REPORT The accompanying notes are an integral part of the financial statements.

SCHEDULE OF INVESTMENTS (Unaudited) (concluded)	Rydex|SGI Equity Fund
March 31, 2011	Large Cap Core Fund

	Shares		Value
EXCHANGE TRADED FUNDS† - 1.4%
iShares Russell 1000 Value Index Fund		23,600	$	1,620,612
iShares S&P 500 Value Index Fund		23,800		1,506,778
Total Exchange Traded Funds (Cost $2,773,362)				3,127,390
Total Investments - 96.0% (Cost $172,015,583)			$	203,894,584
Cash & Other Assets, Less Liabilities - 4.0%				8,387,662
Total Net Assets - 100.0%			$	212,282,246

*	Non-income producing security
†	Value determined based on Level 1 inputs — See Note 10.
plc — Public Limited Company

The accompanying notes are an integral part of the financial statements. THE RYDEX|SGI EQUITY FUNDS SEMI-ANNUAL REPORT | 25

Rydex|SGI Equity Fund
Large Cap Core Fund

STATEMENT OF ASSETS AND LIABILITIES (Unaudited)
March 31, 2011

Assets:
Investments, at value*	$	203,894,584
Total investments		203,894,584
Cash		7,354,446
Receivables:
Securities sold		1,552,648
Fund shares sold		4,935
Dividends		232,471
Prepaid expenses		45,897
Total assets		213,084,981
Liabilities:
Payable for:
Fund shares redeemed		410,104
Management fees		133,227
Transfer agent/maintenance fees		39,748
Distribution and service fees		50,379
Portfolio accounting fees		16,875
Professional fees		39,183
Directors’ fees		7,691
Legal fees		2,963
Pricing fees		33
Direct shareholders expense		83,402
Corporate expenses		515
Other		18,615
Total liabilities		802,735
Net assets		$212,282,246
Net assets consist of:
Paid in capital	$	202,287,935
Accumulated net investment loss		(133,238	)
Accumulated net realized loss on investments		(21,751,452	)
Net unrealized appreciation in on investments		31,879,001
Net assets	$	212,282,246
A-Class:
Net assets	$	202,881,261
Capital shares outstanding1		9,683,824
Net asset value per share1	$	20.95
Maximum offering price per share**1	$	21.99
B-Class:
Net assets	$	7,358,228
Capital shares outstanding1		429,312
Net asset value per share1	$	17.14
C-Class:
Net assets	$	2,042,757
Capital shares outstanding1		110,166
Net asset value per share1	$	18.54

* Investments, at cost	$	172,015,583
1   The shares outstanding, net asset value per share and the maximum offering price per share have been restated to reflect a 1-for-4 reverse share split effective April 8, 2011. See Note 12 in Notes to Financial Statements.
**  Net asset value adjusted for the maximum sales charge of 4.75% of offering price, calculated NAV/(1-4.75%).

STATEMENT OF OPERATIONS (Unaudited)
For the Period Ended March 31, 2011

Investment Income:
Dividends	$	1,389,164
Interest		1,010
Total investment income		1,390,174
Expenses:
Management fees		751,945
Transfer agent/maintenance fees		268,101
Distribution and service fees:
A-Class		238,846
B-Class		36,322
C-Class		10,887
Portfolio accounting fees		95,245
Directors’ fees*		8,852
Miscellaneous		71,815
Total expenses		1,482,013
Net investment loss		(91,839	)
Net Realized and Unrealized Gain (Loss):
Net realized gain (loss) on:
Investments		12,946,515
Net realized gain		12,946,515
Net change in unrealized appreciation (depreciation) on:
Investments		22,638,175
Options written		(12,667	)
Net change in unrealized appreciation		22,625,508
Net realized and unrealized gain		35,572,023
Net increase in net assets resulting from operations	$	35,480,184

* Relates to Directors not deemed “interested persons” within the meaning of Section 2(a)(19) of the 1940 Act.

26 | THE RYDEX|SGI EQUITY FUNDS SEMI-ANNUAL REPORT The accompanying notes are an integral part of the financial statements.

	Rydex|SGI Equity Fund
STATEMENTS OF CHANGES IN NET ASSETS	Large Cap Core Fund

	Period Ended
	March 31,			Year Ended
	2011			September 30,
	(Unaudited)			2010
Increase (Decrease) In Net Assets From Operations:
Net investment income (loss)	$	(91,839	)	$	505,424
Net realized gain on investments		12,946,515			6,646,343
Net change in unrealized appreciation (depreciation) on investments		22,625,508			8,023,383
Net increase in net assets resulting from operations		35,480,184			15,175,150
Distributions to shareholders from:
Net investment income
A-Class		(546,823	)		—
Total distributions to shareholders		(546,823	)		—
Capital share transactions:
Proceeds from sale of shares
A-Class		5,642,017			12,543,804
B-Class		741,986			2,379,823
C-Class		99,555			266,313
Distributions reinvested
A-Class		502,041			—
Cost of shares redeemed
A-Class		(10,919,157	)		(27,969,578	)
B-Class	��	(1,464,065	)		(3,966,116	)
C-Class		(599,981	)		(514,992	)
Net decrease from capital share transactions		(5,997,604	)		(17,260,746	)
Net increase (decrease) in net assets		28,935,757			(2,085,596	)
Net assets:
Beginning of period		183,346,489			185,432,085
End of period	$	212,282,246		$	183,346,489
Accumulated/(Undistributed) net investment income/(loss) at end of period	$	(133,238	)	$	505,424
Capital share activity:1
Shares sold
A-Class		288,625			736,887
B-Class		46,325			171,540
C-Class		5,684			17,562
Shares issued from reinvestment of distributions
A-Class		25,932			—
Shares redeemed
A-Class		(558,694	)		(1,630,932	)
B-Class		(90,982	)		(279,623	)
C-Class		(34,224	)		(33,966	)
Net decrease in shares		(317,334	)		(1,018,532	)

¹ The share activity has been restated to reflect a 1-for-4 reverse share split effective April 8, 2011. See Note 12 in Notes to Financial Statements.

The accompanying notes are an integral part of the financial statements. THE RYDEX|SGI EQUITY FUNDS SEMI-ANNUAL REPORT | 27

	Rydex|SGI Equity Fund
FINANCIAL HIGHLIGHTS	Large Cap Core Fund

This table is presented to show selected data for a share outstanding throughout each period, and to assist shareholders in evaluating a Fund’s performance for the periods presented.

	Period Ended			Year Ended			Year Ended			Year Ended			Year Ended			Year Ended
	March 31,			September 30,			September 30,			September 30,			September 30,			September 30,
A-Class	2011a,e			2010e			2009e			2008e			2007e			2006e
Per Share Data
Net asset value, beginning of period	$	17.56		$	16.20		$	17.04		$	27.36		$	27.40		$	26.32
Income (loss) from investment operations:
Net investment income (loss)b		—c			0.04			0.04			0.04			—c			(0.04	)
Net gain (loss) on investments (realized and unrealized)		3.43			1.32			(0.80	)		(6.44	)		2.76			2.08
Total from investment operations		3.43			1.36			(0.76	)		(6.40	)		2.76			2.04
Less distributions from:
Net investment income		(0.04	)		—			(0.04	)		—			—			(0.16	)
Net realized gains		—			—			—			(3.88	)		(2.80	)		(0.80	)
Return of capital		—			—			(0.04	)		(0.04	)		—			—
Total distributions		(0.04	)		—			(0.08	)		(3.92	)		(2.80	)		(0.96	)
Net asset value, end of period	$	20.95		$	17.56		$	16.20		$	17.04		$	27.36		$	27.40
Total Returnd		19.71	%		8.40	%		(4.32	%)		(26.12	%)		10.33	%		7.88	%
Ratios/Supplemental Data
Net assets, end of period (in thousands)	$	202,881		$	174,371		$	175,404		$	205,908		$	322,850		$	371,006
Ratios to average net assets:
Net investment income (loss)		(0.06	%)		0.31	%		0.28	%		0.15	%		0.02	%		(0.08	%)
Total expenses		1.44	%		1.43	%		1.49	%		1.36	%		1.34	%		1.34	%
Portfolio turnover rate		43	%		100	%		69	%		111	%		20	%		34	%

	Period Ended			Year Ended			Year Ended			Year Ended			Year Ended			Year Ended
	March 31,			September 30,			September 30,			September 30,			September 30,			September 30,
B-Class	2011a,e			2010e			2009e			2008e			2007e			2006e
Per Share Data
Net asset value, beginning of period	$	14.40		$	13.36		$	14.12		$	23.56		$	24.16		$	23.32
Income (loss) from investment operations:
Net investment lossb		(0.08	)		(0.08	)		(0.04	)		(0.12	)		(0.16	)		(0.20	)
Net gain (loss) on investments (realized and unrealized)		2.82			1.12			(0.68	)		(5.40	)		2.36			1.84
Total from investment operations		2.74			1.04			(0.72	)		(5.52	)		2.20			1.64
Less distributions from:
Net realized gains		—			—			—			(3.88	)		(2.80	)		(0.80	)
Return of capital		—			—			(0.04	)		(0.04	)		—			—
Total distributions		—			—			(0.04	)		(3.92	)		(2.80	)		(0.80	)
Net asset value, end of period	$	17.14		$	14.40		$	13.36		$	14.12		$	23.56		$	24.16
Total Returnd		18.89	%		7.78	%		(4.96	%)		(26.69	%)		9.33	%		7.16	%
Ratios/Supplemental Data
Net assets, end of period (in thousands)	$	7,358		$	6,817		$	7,784		$	10,621		$	19,928		$	27,842
Ratios to average net assets:
Net investment loss		(0.81	%)		(0.48	%)		(0.46	%)		(0.61	%)		(0.74	%)		(0.83	%)
Total expenses		2.19	%		2.17	%		2.24	%		2.11	%		2.09	%		2.09	%
Portfolio turnover rate		43	%		100	%		69	%		111	%		20	%		34	%

28 | the RYDEX|SGI equity funds semi-annual report The accompanying notes are an integral part of the financial statements.

	Rydex|SGI Equity Fund
FINANCIAL HIGHLIGHTS (concluded)	Large Cap Core Fund

This table is presented to show selected data for a share outstanding throughout each period, and to assist shareholders in evaluating a Fund’s performance for the periods presented.

	Period Ended			Year Ended			Year Ended			Year Ended			Year Ended			Year Ended
	March 31,			September 30,			September 30,			September 30,			September 30,			September 30,
C-Class	2011a,e			2010e			2009e			2008e			2007e			2006e
Per Share Data
Net asset value, beginning of period	$	15.56		$	14.48		$	15.24		$	25.12		$	25.56		$	24.64
Income (loss) from investment operations:
Net investment lossb		(0.08	)		(0.08	)		(0.04	)		(0.12	)		(0.20	)		(0.20	)
Net gain (loss) on investments (realized and unrealized)		3.06			1.16			(0.68	)		(5.84	)		2.56			1.92
Total from investment operations		2.98			1.08			(0.72	)		(5.96	)		2.36			1.72
Less distributions from:
Net realized gains		—			—			—			(3.88	)		(2.80	)		(0.80	)
Return of capital		—			—			(0.04	)		(0.04	)		—			—
Total distributions		—			—			(0.04	)		(3.92	)		(2.80	)		(0.80	)
Net asset value, end of period	$	18.54		$	15.56		$	14.48		$	15.24		$	25.12		$	25.56
Total Returnd		19.28	%		7.46	%		(4.60	%)		(26.79	%)		9.45	%		7.10	%
Ratios/Supplemental Data
Net assets, end of period (in thousands)	$	2,043		$	2,158		$	2,244		$	2,915		$	5,048		$	5,794
Ratios to average net assets:
Net investment loss		(0.81	%)		(0.44	%)		(0.47	%)		(0.60	%)		(0.73	%)		(0.83	%)
Total expenses		2.19	%		2.18	%		2.24	%		2.11	%		2.09	%		2.09	%
Portfolio turnover rate		43	%		100	%		69	%		111	%		20	%		34	%

a	Unaudited figures for the period ended March 31, 2011. Percentage amounts for the period, except total return and portfolio turnover rate, have been annualized.
b	Net investment income (loss) was computed using average shares outstanding throughout the period.
c	Net investment income is less than $0.01 per share.
d	Total return does not reflect the impact of any applicable sales charges and has not been annualized.
e	Per share amounts for periods ended September 30, 2006—March 31, 2011 have been restated to reflect 1:4 reverse share split effective April 8, 2011.

The accompanying notes are an integral part of the financial statements. THE RYDEX|SGI EQUITY FUNDS SEMI-ANNUAL REPORT | 29

	Rydex|SGI Equity Fund
PERFORMANCE SUMMARY	Global Fund
March 31, 2011	(Unaudited)

PERFORMANCE

$10,000 Over Ten Years

This chart assumes a $10,000 investment in A-Class shares of Global Fund on March 31, 2011, reflects deduction of the maximum front-end sales charge of 5.75% and assumes all dividends are reinvested.^† The chart does not reflect the deduction of taxes that a shareholder would pay on distributions or the redemption of fund shares. The MSCI World Index is an unmanaged capitalization weighted index that is designed to measure global developed market equity performance.

AVERAGE ANNUAL RETURNS
PERIODS ENDED 3/31/2011

	1 YEAR			5 YEAR			10 YEAR
A-Class Shares		13.33	%		1.13	%		5.10	%
A-Class Shares with sales charge		6.78	%		-0.06	%		4.47	%
B-Class Shares		13.67	%		1.38	%		4.95	%
B-Class Shares with CDSC		8.67	%		1.16	%		4.95	%
C-Class Shares		12.46	%		0.35	%		4.28	%
C-Class Shares with CDSC		11.46	%		0.35	%		4.28	%

The performance data above represents past performance that is not predictive of future results. The investment return and principal value of an investment in the Fund will fluctuate so that an investor’s shares, when redeemed, may be worth more or less than their original cost. The figures above do not reflect deduction of the maximum front-end sales charge of 5.75% for Class A shares or the contingent deferred sales charge of 5% for Class B shares and 1% for Class C shares, as applicable, except where noted.^† The figures do not reflect the deduction of taxes that a shareholder would pay on distributions or redemption of shares. Such figures would be lower if the maximum sales charge and any applicable taxes were deducted.

Portfolio Composition by Sector
Common Stocks
Financials	18.2	%
Consumer Discretionary	17.1	%
Health Care	12.5	%
Information Technology	11.9	%
Materials	11.0	%
Industrials	8.3	%
Energy	7.4	%
Utilities	4.0	%
Consumer Staples	2.5	%
Telecommunication Services	2.4	%
Short Term Investments	3.2	%
Cash & Other Assets, Less Liabilities	1.5	%
Total Net Assets	100.0	%

^† Effective 2/22/11, the A-Class maximum sales charge decreased from 5.75% to 4.75%. A 5.75% maximum sales charge is used to calculate performance for periods beginning prior to 2/22/11, and a 4.75% maximum sales charge is used to calculate performance for periods beginning on or after 2/22/11.

30 | THE RYDEX|SGI EQUITY FUNDS SEMI-ANNUAL REPORT

SCHEDULE OF INVESTMENTS (Unaudited)	Rydex | SGI Equity Fund
March 31, 2011	Global Fund

	Shares		Value
COMMON STOCKS† - 95.3%
Financials - 18.2%
JPMorgan Chase & Co.		60,850	$	2,805,185
BNP Paribas		38,059		2,783,963
Credit Suisse Group AG		63,564		2,701,332
Julius Baer Group Ltd.		56,462		2,450,539
Sony Financial Holdings, Inc.		105,800		2,098,575
Everest Re Group Ltd.		8,399		740,624
RenaissanceRe Holdings Ltd.		10,624		732,950
Aspen Insurance Holdings Ltd.		26,258		723,670
Reinsurance Group of America, Inc. — Class A		11,059		694,284
Validus Holdings Ltd.		19,100		636,603
Bank of America Corp.		43,735		582,988
PartnerRe Ltd.		6,770		536,455
Total Financials				17,487,168
Consumer Discretionary - 17.1%
Valeo S.A.		49,043		2,860,697
Time Warner Cable, Inc. — Class A		38,637		2,756,364
Cie Financiere Richemont S.A.		41,719		2,409,835
Kabel Deutschland Holding AG*		39,598		2,099,022
Pioneer Corp.		483,300		2,010,240
Kingfisher plc		499,279		1,969,563
Apollo Group, Inc. — Class A*		17,188		716,911
Tractor Supply Co.		10,396		622,305
ITT Educational Services, Inc.*		7,000		505,050
Volkswagen AG		3,206		492,112
Total Consumer Discretionary				16,442,099
Health Care - 12.5%
Express Scripts, Inc. — Class A*		67,212		3,737,659
Fresenius SE & Company KGaA		20,281		1,876,183
Cephalon, Inc.*		10,700		810,846
Endo Pharmaceuticals Holdings, Inc.*		19,198		732,596
Impax Laboratories, Inc.*		28,600		727,870
Eli Lilly & Co.		20,233		711,595
Abbott Laboratories		14,503		711,372
Bristol-Myers Squibb Co.		26,711		705,972
CR Bard, Inc.		7,100		705,101
Magellan Health Services, Inc.*		11,360		557,549
Merck & Company, Inc.		14,203		468,841
Miraca Holdings, Inc.		5,773		221,037
Total Health Care				11,966,621
Information Technology - 11.9%
Apple, Inc.*		10,123		3,527,359
Hitachi Ltd.		488,000		2,540,170
Ancestry.com, Inc.*		56,910		2,017,460
Xerox Corp.		182,100		1,939,365
CoreLogic, Inc.		38,673		715,450
Lender Processing Services, Inc.		22,065		710,272
Total Information Technology				11,450,076
Materials - 11.0%
Osisko Mining Corp.*,1		205,700		2,961,910
Koninklijke DSM N.V.		41,311		2,538,500
Exxaro Resources Ltd.		93,456		2,286,141
Mongolian Mining Corp.*		1,162,500		1,485,537
Barrick Gold Corp.		13,796		717,050
Newmont Mining Co.		10,300		562,174
Total Materials				10,551,312
Industrials - 8.3%
Amada Company Ltd.		226,000		1,885,484
Neptune Orient Lines Ltd.		1,143,851		1,760,469
Yangzijiang Shipbuilding Holdings Ltd.		941,000		1,351,218
GT Solar International, Inc.*		60,199		641,721
Delta Air Lines, Inc.*		63,100		618,380
Alaska Air Group, Inc.*		9,697		614,984
United Continental Holdings, Inc.*		25,400		583,946
US Airways Group, Inc.*		63,393		552,153
Total Industrials				8,008,355
Energy - 7.4%
El Paso Corp.		143,000		2,574,000
CNOOC Ltd.		944,087		2,378,878
Forest Oil Corp.*		55,973		2,117,459
Total Energy				7,070,337
Utilities - 4.0%
Veolia Environnement S.A.		60,100		1,868,888
Tohoku Electric Power Company, Inc.		41,124		694,587
NextEra Energy, Inc.		11,235		619,273
Kansai Electric Power Company, Inc.		28,400		618,290
Total Utilities				3,801,038
Consumer Staples - 2.5%
Pernod-Ricard S.A.		25,265		2,359,809
Telecommunication Services - 2.4%
Vodafone Group plc		558,108		1,580,269
Tele Norte Leste Participacoes S.A. ADR		38,449		674,011
Total Telecommunication Services				2,254,280
Total Common Stocks (Cost $80,765,267)				91,391,095
SHORT TERM INVESTMENT†† - 3.2%
State Street General Account U.S. Government Fund		3,087,765		3,087,765
Total Short Term Investment (Cost $3,087,765)				3,087,765
Total Investments - 98.5% (Cost $83,853,032)			$	94,478,860
Cash & Other Assets, Less Liabilities - 1.5%				1,445,791
Total Net Assets - 100.0%			$	95,924,651

The accompanying notes are an integral part of the financial statements. THE RYDEX|SGI EQUITY FUNDS SEMI-ANNUAL REPORT | 31

SCHEDULE OF INVESTMENTS (Unaudited) (concluded)	Rydex|SGI Equity Fund
March 31, 2011	Global Fund

INVESTMENT CONCENTRATION

At March 31, 2011, the investment diversification of the Fund was as follows:

	% Of Net
COUNTRY	Assets			Value
United States		40.9	%	$	39,434,249
Japan		10.5			10,068,383
France		10.4			9,873,357
Switzerland		7.8			7,561,706
Germany		4.7			4,467,317
Canada		3.8			3,678,960
United Kingdom		3.8			3,549,832
Bermuda		3.6			3,370,302
Singapore		3.2			3,111,687
Netherlands		2.6			2,538,500
Hong Kong		2.5			2,378,878
South Africa		2.4			2,286,141
Cayman Islands		1.6			1,485,537
Brazil		0.7			674,011
Total Investments		98.5	%	$	94,478,860

*	Non-income producing security
†	Value determined based on Level 1 inputs — See Note 10.
††	Value determined based on Level 2 inputs — See Note 10.
1	Security is a PFIC (Passive Foreign Investment Company).
ADR — American Depositary Receipt
plc — Public Limited Company

32 | THE RYDEX|SGI EQUITY FUNDS SEMI-ANNUAL REPORT The accompanying notes are an integral part of the financial statements.

Rydex|SGI Equity Fund
Global Fund

STATEMENT OF ASSETS AND LIABILITIES (Unaudited)

March 31, 2011

Assets:
Investments, at value*	$	94,478,860
Total investments		94,478,860
Cash denominated in a foreign currency, at value**		22,339
Receivables:
Securities sold		8,920,098
Fund shares sold		66,456
Dividends		73,223
Foreign taxes reclaim		40,432
Prepaid expenses		25,666
Total assets		103,627,074
Liabilities:
Payable for:
Securities purchased		7,418,338
Fund shares redeemed		32,601
Management fees		80,770
Custodian fees		27,922
Transfer agent/maintenance fees		15,099
Distribution and service fees		21,735
Portfolio accounting fees		12,116
Professional fees		22,130
Directors’ fees		8,741
Legal fees		525
Interest		572
Pricing fees		6,294
Direct shareholders expense		23,915
Corporate expenses		31,665
Total liabilities		7,702,423
Net assets	$	95,924,651
Net assets consist of:
Paid in capital	$	119,664,279
Accumulated net investment loss		(1,532,053	)
Accumulated net realized loss on investments		(32,838,299	)
Net unrealized appreciation in on investments		10,630,724
Net assets	$	95,924,651
A-Class:
Net assets	$	84,903,341
Capital shares outstanding		7,116,394
Net asset value per share	$	11.93
Maximum offering price per share***	$	12.52
B-Class:
Net assets	$	6,419,263
Capital shares outstanding		617,654
Net asset value per share	$	10.39
C-Class:
Net assets	$	4,602,047
Capital shares outstanding		447,201
Net asset value per share	$	10.29

*	Investments, at cost	$	83,853,032
**	Cash denominated in a foreign currency, at cost		22,182

*** Net asset value adjusted for the maximum sales charge of 4.75% of offering price, calculated NAV/(1-4.75%).

STATEMENT OF OPERATIONS (Unaudited)

For the Period Ended March 31, 2011

Investment Income:
Dividends (net of foreign withholding tax of $20,872)	$	331,414
Total investment income		331,414
Expenses:
Management fees		473,573
Transfer agent/maintenance fees		135,798
Distribution and service fees:
A-Class		104,193
C-Class		22,858
Portfolio accounting fees		71,036
Directors’ fees*		6,820
Miscellaneous		134,708
Total expenses		948,986
Net investment loss		(617,572	)
Net Realized and Unrealized Gain (Loss):
Net realized gain (loss) on:
Investments		10,159,422
Foreign currency transactions		(129,684	)
Net realized gain		10,029,738
Net change in unrealized appreciation (depreciation) on:
Investments		2,797,864
Translation of assets and liabilities in foreign currencies		(718	)
Net change in unrealized appreciation		2,797,146
Net realized and unrealized gain		12,826,884
Net increase in net assets resulting from operations	$	12,209,312

* Relates to Directors not deemed “interested persons” within the meaning of Section 2(a)(19) of the 1940 Act.

The accompanying notes are an integral part of the financial statements. THE RYDEX|SGI EQUITY FUNDS SEMI-ANNUAL REPORT | 33

	Rydex|SGI Equity Fund
STATEMENTS OF CHANGES IN NET ASSETS	Global Fund

	Period Ended
	March 31,			Year Ended
	2011			September 30,
	(Unaudited)			2010
Increase (Decrease) In Net Assets From Operations:
Net investment income (loss)	$	(617,572	)	$	223,151
Net realized gain on investments		10,029,738			11,793,752
Net change in unrealized appreciation (depreciation) on investments		2,797,146			(6,398,467	)
Net increase in net assets resulting from operations		12,209,312			5,618,436
Distributions to shareholders from:
Net investment income
A-Class		(428,482	)		—
B-Class		(59,809	)		—
Total distributions to shareholders		(488,291	)		—
Capital share transactions:
Proceeds from sale of shares
A-Class		6,992,174			20,592,616
B-Class		267,729			826,631
C-Class		337,932			439,496
Distributions reinvested
A-Class		424,001			—
B-Class		59,500			—
Cost of shares redeemed
A-Class		(11,013,632	)		(44,556,043	)
B-Class		(1,525,447	)		(5,667,547	)
C-Class		(603,429	)		(1,186,786	)
Net decrease from capital share transactions		(5,061,172	)		(29,551,633	)
Net increase (decrease) in net assets		6,659,849			(23,933,197	)
Net assets:
Beginning of period		89,264,802			113,197,999
End of period	$	95,924,651		$	89,264,802
Accumulated net investment loss at end of period	$	(1,532,053	)	$	(426,190	)
Capital share activity:
Shares sold
A-Class		606,852			2,066,878
B-Class		26,660			93,747
C-Class		33,677			50,022
Shares issued from reinvestment of distributions
A-Class		36,520			—
B-Class		5,885			—
Shares redeemed
A-Class		(959,519	)		(4,379,932	)
B-Class		(151,508	)		(640,990	)
C-Class		(60,372	)		(135,076	)
Net decrease in shares		(461,805	)		(2,945,351	)

34 | THE RYDEX|SGI EQUITY FUNDS SEMI-ANNUAL REPORT The accompanying notes are an integral part of the financial statements.

	Rydex|SGI Equity Fund
FINANCIAL HIGHLIGHTS	Global Fund

This table is presented to show selected data for a share outstanding throughout each period, and to assist shareholders in evaluating a Fund’s performance for the periods presented.

	Period Ended			Year Ended			Year Ended			Year Ended			Year Ended			Year Ended
	March 31,			September 30,			September 30,			September 30,			September 30,			September 30,
A-Class	2011a			2010			2009			2008			2007			2006
Per Share Data
Net asset value, beginning of period	$	10.52		$	9.97		$	10.35		$	20.69		$	19.65		$	17.47
Income (loss) from investment operations:
Net investment income (loss)b		(0.07	)		0.02			0.05			0.05			0.06			(0.03	)
Net gain (loss) on investments (realized and unrealized)		1.54			0.53			(0.35	)		(3.63	)		3.60			2.21
Total from investment operations		1.47			0.55			(0.30	)		(3.58	)		3.66			2.18
Less distributions from:
Net investment income		(0.06	)		—			(0.02	)		(0.04	)		—			—
Net realized gains		—			—			—			(6.72	)		(2.62	)		—
Return of capital		—			—			(0.06	)		—			—			—
Total distributions		(0.06	)		—			(0.08	)		(6.76	)		(2.62	)		—
Net asset value, end of period	$	11.93		$	10.52		$	9.97		$	10.35		$	20.69		$	19.65
Total Returnc		14.08	%		5.52	%		(2.71	%)		(25.16	%)		20.07	%		12.48	%
Ratios/Supplemental Data
Net assets, end of period (in thousands)	$	84,903		$	78,201		$	97,205		$	88,782		$	145,158		$	119,176
Ratios to average net assets:
Net investment income (loss)		(1.29	%)		0.24	%		0.63	%		0.33	%		0.29	%		(0.17	%)
Total expenses		1.99	%		1.86	%		1.89	%		1.73	%		1.69	%		1.75	%
Portfolio turnover rate		120	%		288	%		368	%		280	%		162	%		28	%

	Period Ended			Year Ended			Year Ended			Year Ended			Year Ended			Year Ended
	March 31,			September 30,			September 30,			September 30,			September 30,			September 30,
B-Class	2011a,d			2010d			2009d			2008d			2007d			2006d
Per Share Data
Net asset value, beginning of period	$	9.19		$	8.69		$	9.05		$	18.96		$	18.17		$	16.12
Income (loss) from investment operations:
Net investment income (loss)b		(0.05	)		0.04			0.07			0.07			0.09			0.02
Net gain (loss) on investments (realized and unrealized)		1.34			0.46			(0.32	)		(3.17	)		3.32			2.03
Total from investment operations		1.29			0.50			(0.25	)		(3.10	)		3.41			2.05
Less distributions from:
Net investment income		(0.09	)		—			(0.04	)		(0.09	)		—			—
Net realized gains		—			—			—			(6.72	)		(2.62	)		—
Return of capital		—			—			(0.07	)		—			—			—
Total distributions		(0.09	)		—			(0.11	)		(6.81	)		(2.62	)		—
Net asset value, end of period	$	10.39		$	9.19		$	8.69		$	9.05		$	18.96		$	18.17
Total Returnc		14.16	%		5.75	%		(2.45	%)		(24.91	%)		20.36	%		12.72	%
Ratios/Supplemental Data
Net assets, end of period (in thousands)	$	6,419		$	6,769		$	11,155		$	15,303		$	29,659		$	27,494
Ratios to average net assets:
Net investment income (loss)		(1.04	%)		0.45	%		0.90	%		0.55	%		0.50	%		0.11	%
Total expenses		1.74	%		1.61	%		1.65	%		1.48	%		1.44	%		1.50	%
Portfolio turnover rate		120	%		288	%		368	%		280	%		162	%		28	%

Selected data for each share of capital stock outstanding throughout each period

The accompanying notes are an integral part of the financial statements. THE RYDEX|SGI EQUITY FUNDS SEMI-ANNUAL REPORT | 35

	Rydex|SGI Equity Fund
FINANCIAL HIGHLIGHTS (concluded)	Global Fund

This table is presented to show selected data for a share outstanding throughout each period, and to assist shareholders in evaluating a Fund’s performance for the periods presented.

	Period Ended			Year Ended			Year Ended			Year Ended			Year Ended			Year Ended
	March 31,			September 30,			September 30,			September 30,			September 30,			September 30,
C-Class	2011a			2010			2009			2008			2007			2006
Per Share Data
Net asset value, beginning of period	$	9.06		$	8.66		$	9.04		$	19.00		$	18.37		$	16.46
Income (loss) from investment operations:
Net investment lossb		(0.10	)		(0.04	)		(0.01	)		(0.05	)		(0.09	)		(0.15	)
Net gain (loss) on investments (realized and unrealized)		1.33			0.44			(0.31	)		(3.18	)		3.34			2.06
Total from investment operations		1.23			0.40			(0.32	)		(3.23	)		3.25			1.91
Less distributions from:
Net realized gains		—			—			—			(6.73	)		(2.62	)		—
Return of capital		—			—			(0.06	)		—			—			—
Total distributions		—			—			(0.06	)		(6.73	)		(2.62	)		—
Net asset value, end of period	$	10.29		$	9.06		$	8.66		$	9.04		$	19.00		$	18.37
Total Returnc		13.58	%		4.62	%		(3.39	%)		(25.69	%)		19.14	%		11.60	%
Ratios/Supplemental Data
Net assets, end of period (in thousands)	$	4,602		$	4,295		$	4,838		$	7,866		$	12,449		$	10,361
Ratios to average net assets:
Net investment loss		(2.03	%)		(0.50	%)		(0.11	%)		(0.44	%)		(0.48	%)		(0.87	%)
Total expenses		2.74	%		2.62	%		2.65	%		2.49	%		2.44	%		2.51	%
Portfolio turnover rate		120	%		288	%		368	%		280	%e		162	%e		28	%

a	Unaudited figures for the period ended March 31, 2011. Percentage amounts for the period, except total return and portfolio turnover rate, have been annualized.
b	Net investment income (loss) was computed using average shares outstanding throughout the period.
c	Total return does not reflect the impact of any applicable sales charges and has not been annualized.
d	Effective August 25, 2005, B-Class shares ceased charging 12b-1 fees in accordance with FINRA sales cap regulations. Per share information reflects this change. This fee will be reinstated when sales exceed the sales cap limit.
e	Significant variation in the portfolio turnover rate is due to the re-alignment of the Fund’s portfolio following the appointment of SGI as sub-advisor.

36 | THE RYDEX|SGI EQUITY FUNDS SEMI-ANNUAL REPORT The accompanying notes are an integral part of the financial statements.

PERFORMANCE SUMMARY
March 31, 2011 Rydex|SGI Equity Fund
Global Institutional Fund
(Unaudited)

PERFORMANCE

$10,000 Since Inception

This chart assumes a $10,000 investment in shares of Global Institutional Fund on July 11, 2008 (date of inception), reflects the fees and expenses of the Fund and assumes all dividends are reinvested. The chart does not reflect the deduction of taxes that a shareholder would pay on distributions or the redemption of fund shares. The MSCI World Index is an unmanaged capitalization weighted index that is designed to measure global developed market equity performance.

AVERAGE ANNUAL RETURNS
PERIODS ENDED 3/31/2011

				SINCE
				INCEPTION
	1 YEAR			(07/11/08)
Global Institutional Fund		14.64	%		1.73	%

The performance data above represents past performance that is not predictive of future results. The investment return and principal value of an investment in the Fund will fluctuate so that an investor’s shares, when redeemed, may be worth more or less than their original cost. The figures do not reflect the deduction of taxes that a shareholder would pay on distributions or redemption of shares. Such figures would be lower if any applicable taxes were deducted. Fee waivers and/or reimbursements reduced expenses of the Fund and in the absence of such waivers, the performance quoted would be reduced.

Portfolio Composition by Sector
Common Stocks
Financials	17.1	%
Consumer Discretionary	16.0	%
Health Care	11.7	%
Information Technology	11.3	%
Materials	10.3	%
Energy	6.9	%
Industrials	7.9	%
Utilities	3.8	%
Consumer Staples	2.3	%
Telecommunication Services	2.2	%
Short Term Investments	10.9	%
Liabilities, Less Cash & Other Assets	(0.4	%)
Total Net Assets	100.0	%

THE RYDEX|SGI EQUITY FUNDS SEMI-ANNUAL REPORT | 37

SCHEDULE OF INVESTMENTS (Unaudited)	Rydex|SGI Equity Fund
March 31, 2011	Global Institutional Fund

	SHARES		VALUE
COMMON STOCKS† - 89.5%
Financials - 17.1%
JPMorgan Chase & Co.		2,650	$	122,165
BNP Paribas		1,662		121,573
Credit Suisse Group AG		2,794		118,739
Julius Baer Group Ltd.		2,476		107,462
Sony Financial Holdings, Inc.		4,600		91,243
RenaissanceRe Holdings Ltd.		499		34,426
Aspen Insurance Holdings Ltd.		1,232		33,954
Everest Re Group Ltd.		361		31,833
Reinsurance Group of America, Inc. — Class A		500		31,390
Bank of America Corp.		2,052		27,353
Validus Holdings Ltd.		800		26,664
PartnerRe Ltd.		318		25,198
Total Financials				772,000
Consumer Discretionary - 16.0%
Valeo S.A.		2,136		124,594
Time Warner Cable, Inc. — Class A		1,693		120,779
Cie Financiere Richemont S.A.		1,818		105,014
Kabel Deutschland Holding AG*		1,736		92,022
Kingfisher plc		21,940		86,549
Pioneer Corp.		20,800		86,516
Apollo Group, Inc. — Class A*		807		33,660
Tractor Supply Co.		488		29,212
Volkswagen AG		150		23,024
ITT Educational Services, Inc.*		300		21,645
Total Consumer Discretionary				723,015
Health Care - 11.7%
Express Scripts, Inc. — Class A*		2,957		164,439
Fresenius SE & Company KGaA		876		81,038
Cephalon, Inc.*		465		35,238
Abbott Laboratories		681		33,403
Eli Lilly & Co.		949		33,376
Bristol-Myers Squibb Co.		1,253		33,117
Impax Laboratories, Inc.*		1,200		30,540
CR Bard, Inc.		300		29,793
Endo Pharmaceuticals Holdings, Inc.*		779		29,726
Magellan Health Services, Inc.*		533		26,160
Merck & Company, Inc.		667		22,018
Miraca Holdings, Inc.		246		9,419
Total Health Care				528,267
Information Technology - 11.3%
Apple, Inc.*		452		157,499
Hitachi Ltd.		21,800		113,475
Ancestry.com, Inc.*		2,502		88,696
Xerox Corp.		8,000		85,200
CoreLogic, Inc.		1,815		33,577
Lender Processing Services, Inc.		1,035		33,317
Total Information Technology				511,764
Materials - 10.3%
Osisko Mining Corp.*,1		9,200		132,472
Koninklijke DSM N.V.		1,853		113,864
Exxaro Resources Ltd.		4,123		100,858
Mongolian Mining Corp.*		50,500		64,533
Barrick Gold Corp.		647		33,628
Newmont Mining Co.		400		21,832
Total Materials				467,187
Industrials - 7.9%
Amada Company Ltd.		10,000		83,429
Neptune Orient Lines Ltd.		49,647		76,410
Yangzijiang Shipbuilding Holdings Ltd.		41,000		58,873
GT Solar International, Inc.*		2,800		29,848
Alaska Air Group, Inc.*		455		28,856
Delta Air Lines, Inc.*		2,800		27,440
US Airways Group, Inc.*		2,975		25,912
United Continental Holdings, Inc.*		1,100		25,289
Total Industrials				356,057
Energy - 6.9%
El Paso Corp.		6,200		111,600
CNOOC Ltd.		41,601		104,825
Forest Oil Corp.*		2,541		96,126
Total Energy				312,551
Utilities - 3.8%
Veolia Environnement S.A.		2,706		84,146
Tohoku Electric Power Company, Inc.		1,930		32,598
NextEra Energy, Inc.		527		29,048
Kansai Electric Power Company, Inc.		1,200		26,125
Total Utilities				171,917
Consumer Staples - 2.3%
Pernod-Ricard S.A.		1,111		103,770
Telecommunication Services - 2.2%
Vodafone Group plc		23,922		67,735
Tele Norte Leste Participacoes S.A. ADR		1,804		31,624
Total Telecommunication Services				99,359
Total Common Stocks (Cost $3,563,539)				4,045,887
SHORT TERM INVESTMENT†† - 10.9%
State Street General Account U.S. Government Fund		492,787		492,787
Total Short Term Investment (Cost $492,787)				492,787
Total Investments - 100.4% (Cost $4,056,326)			$	4,538,674
Liabilities, Less Cash & Other Assets - (0.4)%				(19,241	)
Total Net Assets - 100.0%			$	4,519,433

38 | THE RYDEX|SGI EQUITY FUNDS SEMI-ANNUAL REPORT The accompanying notes are an integral part of the financial statements.

SCHEDULE OF INVESTMENTS (Unaudited) (concluded)	Rydex|SGI Equity Fund
March 31, 2011	Global Institutional Fund

INVESTMENT CONCENTRATION

At March 31, 2011, the investment diversification of the Fund was as follows:

	% of Net
Country	Assets			Value
United States		46.7	%	$	2,111,041
Japan		9.8			442,805
France		9.6			434,083
Switzerland		7.3			331,215
Germany		4.4			196,084
Canada		3.7			166,100
United Kingdom		3.4			154,284
Bermuda		3.4			152,075
Singapore		3.0			135,283
Netherlands		2.5			113,864
Hong Kong		2.3			104,825
South Africa		2.2			100,858
Cayman Islands		1.4			64,533
Brazil		0.7			31,624
Total Investments		100.4	%	$	4,538,674

*	Non-income producing security
†	Value determined based on Level 1 inputs — See Note 10.
††	Value determined based on Level 2 inputs — See Note 10.
1	Security is a PFIC (Passive Foreign Investment Company).
ADR — American Depositary Receipt
plc — Public Limited Company

The accompanying notes are an integral part of the financial statements. THE RYDEX|SGI EQUITY FUNDS SEMI-ANNUAL REPORT | 39

Rydex|SGI Equity Fund
Global Institutional Fund

STATEMENT OF ASSETS AND LIABILITIES (Unaudited)

March 31, 2011

Assets:
Investments, at value*	$	4,538,674
Total investments		4,538,674
Cash denominated in a foreign currency, at value**		991
Receivables:
Securities sold		364,803
Dividends		5,198
Prepaid expenses		10,178
Total assets		4,919,844
Liabilities:
Payable for:
Securities purchased		357,065
Management fees		3,682
Custodian fees		15,076
Transfer agent/maintenance fees		1,858
Portfolio accounting fees		1,769
Professional fees		6,378
Directors’ fees		384
Legal fees		1,068
Pricing fees		3,833
Direct shareholders expense		7,619
Interest		25
Corporate expenses		1,654
Total liabilities		400,411
Net assets	$	4,519,433
Net assets consist of:
Paid in capital	$	5,518,081
Accumulated net investment loss		(83,375	)
Accumulated net realized loss on investments		(1,397,816	)
Net unrealized appreciation in on investments		482,543
Net assets	$	4,519,433
Net assets	$	4,519,433
Capital shares outstanding		448,673
Net asset value per share	$	10.07

* Investments, at cost	$	4,056,326
** Cash denominated in a foreign currency, at cost		383

STATEMENT OF OPERATIONS (Unaudited)

For the Period Ended March 31, 2011

Investment Income:
Dividends (net of foreign withholding tax of $1,120)	$	14,242
Total investment income		14,242
Expenses:
Management fees		20,884
Transfer agent/maintenance fees		11,273
Portfolio accounting fees		13,797
Directors’ fees*		263
Custodian fees		10,252
Registration fees		7,295
Professional fees		4,846
Pricing fees		5,660
Miscellaneous		4,585
Total expenses		78,855
Expenses waived by Advisor		(57,970	)
Net expenses		20,885
Net investment loss		(6,643	)
Net Realized and Unrealized Gain (Loss):
Net realized gain (loss) on:
Investments		425,451
Foreign currency transactions		(5,566	)
Net realized gain		419,885
Net change in unrealized appreciation (depreciation) on:
Investments		135,766
Translation of assets and liabilities in foreign currencies		(118	)
Net change in unrealized appreciation		135,648
Net realized and unrealized gain		555,533
Net increase in net assets resulting from operations	$	548,890

* Relates to Directors not deemed “interested persons” within the meaning of Section 2(a)(19) of the 1940 Act.

40 | THE RYDEX|SGI EQUITY FUNDS SEMI-ANNUAL REPORT The accompanying notes are an integral part of the financial statements.

	Rydex|SGI Equity Fund
STATEMENTS OF CHANGES IN NET ASSETS	Global Institutional Fund

	Period Ended
	March 31,			Year Ended
	2011			September 30,
	(Unaudited)			2010
Increase (Decrease) In Net Assets From Operations:
Net investment income (loss)	$	(6,643	)	$	48,456
Net realized gain on investments		419,885			467,339
Net change in unrealized appreciation (depreciation) on investments		135,648			(256,045	)
Net increase in net assets resulting from operations		548,890			259,750
Distributions to shareholders from:
Net investment income		(54,383	)		(97,135	)
Total distributions to shareholders		(54,383	)		(97,135	)
Capital share transactions:
Proceeds from sale of shares		503,859			592,280
Distributions reinvested		54,383			97,135
Cost of shares redeemed		(407,884	)		(1,887,824	)
Net increase (decrease) from capital share transactions		150,358			(1,198,409	)
Net increase (decrease) in net assets		644,865			(1,035,794	)
Net assets:
Beginning of period		3,874,568			4,910,362
End of period	$	4,519,433		$	3,874,568
Accumulated net investment loss at end of period	$	(83,375	)	$	(22,349	)
Capital share activity:
Shares sold		50,837			69,226
Shares issued from reinvestment of distributions		5,561			11,468
Shares redeemed		(41,673	)		(220,651	)
Net increase (decrease) in shares		14,725			(139,957	)

The accompanying notes are an integral part of the financial statements. THE RYDEX|SGI EQUITY FUNDS SEMI-ANNUAL REPORT | 41

	Rydex|SGI Equity Fund
FINANCIAL HIGHLIGHTS	Global Institutional Fund

This table is presented to show selected data for a share outstanding throughout each period, and to assist shareholders in evaluating a Fund’s performance for the periods presented.

	Period Ended			Year Ended			Year Ended			Period Ended
	March 31,			September 30,			September 30,			September 30,
	2011a			2010			2009			2008b
Per Share Data
Net asset value, beginning of period	$	8.93		$	8.56		$	8.67		$	10.00
Income (loss) from investment operations:
Net investment income (loss)c		(0.02	)		0.10			0.17			0.02
Net gain (loss) on investments (realized and unrealized)		1.29			0.46			(0.25	)		(1.35	)
Total from investment operations		1.27			0.56			(0.08	)		(1.33	)
Less distributions from:
Net investment income		(0.13	)		(0.19	)		(0.03	)		—
Total distributions		(0.13	)		(0.19	)		(0.03	)		—
Net asset value, end of period	$	10.07		$	8.93		$	8.56		$	8.67
Total Returnd		14.38	%		6.61	%		(0.90	)%		(13.30	)%
Ratios/Supplemental Data
Net assets, end of period (in thousands)	$	4,519		$	3,875		$	4,910		$	7,382
Ratios to average net assets:
Net investment income (loss)		(0.32	)%		1.13	%		2.34	%		0.87	%
Total expensese		3.78	%		3.34	%		2.76	%		1.97	%
Net expensesf		1.00	%		1.00	%		1.15	%		1.15	%
Portfolio turnover rate		120	%		295	%		379	%		325	%

a	Unaudited figures for the period ended March 31, 2011. Percentage amounts for the period, except total return and portfolio turnover rate, have been annualized.
b	Since commencement of operations: July 11, 2008 — Global Institutional Fund.
c	Net investment income (loss) was computed using average shares outstanding throughout the period.
d	Total return does not reflect the impact of any applicable sales charges and has not been annualized.
e	Total expense information reflects the expense ratios absent expense reductions by the Investment Manager, as applicable.
f	Net expense information reflects the expense ratios after voluntary expense waivers and reimbursements, as applicable.

42 | THE RYDEX|SGI EQUITY FUNDS SEMI-ANNUAL REPORT The accompanying notes are an integral part of the financial statements.

	Rydex|SGI Equity Fund
PERFORMANCE SUMMARY	Mid Cap Value Fund
March 31, 2011	(Unaudited)

PERFORMANCE

$10,000 Over Ten Years

This chart assumes a $10,000 investment in A-Class shares of Mid Cap Value Fund on March 31, 2011, reflects deduction of the maximum front-end sales charge of 5.75% and assumes all dividends are reinvested.^† The chart does not reflect the deduction of taxes that a shareholder would pay on distributions or the redemption of fund shares. The Russell 2500^® Value Index is an unmanaged index that measures the performance of securities of small-to-mid cap U.S. companies with greater-than-average value orientation.

AVERAGE ANNUAL RETURNS
PERIODS ENDED 3/31/2011

	1 YEAR			5 YEAR			10 YEAR
A-Class Shares		21.69	%		6.33	%		11.92	%
A-Class Shares with sales charge		14.68	%		5.08	%		11.26	%
B-Class Shares		20.79	%		5.53	%		11.21	%
B-Class Shares with CDSC		15.79	%		5.26	%		11.21	%
C-Class Shares		20.76	%		5.53	%		11.06	%
C-Class Shares with CDSC		19.76	%		5.53	%		11.06	%

The performance data above represents past performance that is not predictive of future results. The investment return and principal value of an investment in the Fund will fluctuate so that an investor’s shares, when redeemed, may be worth more or less than their original cost. The figures above do not reflect deduction of the maximum front-end sales charge of 5.75% for Class A shares or the contingent deferred sales charge of 5% for Class B shares and 1% for Class C shares, as applicable, except where noted.^† The figures do not reflect the deduction of taxes that a shareholder would pay on distributions or redemption of shares. Such figures would be lower if the maximum sales charge and any applicable taxes were deducted.

Portfolio Composition by Sector
Common Stocks
Industrials	17.7	%
Financials	15.4	%
Energy	12.8	%
Consumer Discretionary	11.9	%
Information Technology	10.8	%
Utilities	7.7	%
Materials	7.5	%
Consumer Staples	5.5	%
Health Care	4.8	%
Exchange Traded Funds	1.6	%
Warrants	0.1	%
Convertible Bond	0.7	%
Repurchase Agreement	3.4	%
Cash & Other Assets, Less Liabilities	0.1	%
Total Net Assets	100.0	%

^† Effective 2/22/11, the A-Class maximum sales charge decreased from 5.75% to 4.75%. A 5.75% maximum sales charge is used to calculate performance for periods beginning prior to 2/22/11, and a 4.75% maximum sales charge is used to calculate performance for periods beginning on or after 2/22/11.

THE RYDEX|SGI EQUITY FUNDS SEMI-ANNUAL REPORT | 43

SCHEDULE OF INVESTMENTS (Unaudited)	Rydex|SGI Equity Fund
March 31, 2011	Mid Cap Value Fund

	Shares		Value
COMMON STOCKS† - 94.2%
Industrials - 17.7%
GeoEye, Inc.*		852,690	$	35,454,850
Covanta Holding Corp.		1,739,150		29,704,682
General Cable Corp.*,1		590,900		25,585,970
Insituform Technologies, Inc. — Class A*		910,700		24,361,225
Quanta Services, Inc.*		1,067,600		23,946,268
FTI Consulting, Inc.*		514,210		19,709,669
Orbital Sciences Corp.*		1,022,080		19,337,754
Navigant Consulting, Inc.*		1,757,030		17,552,730
Babcock & Wilcox Co.*		470,650		15,710,297
URS Corp.*		338,300		15,578,715
Trex Company, Inc.*		379,900		12,392,338
Insperity, Inc.		354,685		10,775,330
Force Protection, Inc.*		2,043,525		10,013,273
Saia, Inc.*		551,770		9,043,510
ICF International, Inc.*		426,700		8,764,418
United Stationers, Inc.		80,129		5,693,165
UQM Technologies, Inc.*		226,328		674,457
Thermoenergy Corp.5		2,701,839		594,405
Total Industrials				284,893,056
Financials - 15.4%
Hanover Insurance Group, Inc.		836,370		37,845,742
American Financial Group, Inc.1		886,500		31,045,230
W.R. Berkley Corp.		938,010		30,213,302
Alleghany Corp.*		61,220		20,262,728
Reinsurance Group of America, Inc. — Class A		320,198		20,102,030
Fifth Street Finance Corp.		1,263,932		16,873,492
RenaissanceRe Holdings Ltd.		177,000		12,211,230
Transatlantic Holdings, Inc.		246,700		12,006,889
Lexington Realty Trust		1,207,800		11,292,930
Old National Bancorp		1,015,822		10,889,612
Associated Banc-Corp.1		731,277		10,859,463
Employers Holdings, Inc.		486,300		10,046,958
First Horizon National Corp.		674,221		7,558,015
Investors Real Estate Trust		674,800		6,410,600
Redwood Trust, Inc.		285,027		4,432,170
Wilmington Trust Corp.		881,000		3,982,120
First Marblehead Corp.*		1,117,473		2,458,441
Total Financials				248,490,952
Energy - 12.9%
Global Industries Ltd.*		4,671,590		45,734,866
SandRidge Energy, Inc.*		2,394,530		30,649,984
Gulfport Energy Corp.*		842,947		30,472,534
Plains Exploration & Production Co.*		686,740		24,880,590
Southern Union Co.		866,360		24,795,223
McDermott International, Inc.*		714,400		18,138,616
Goodrich Petroleum Corp.*		729,069		16,199,913
USEC, Inc.*		2,713,730		11,940,412
Resolute Energy Corp.*		249,938		4,533,876
Total Energy				207,346,014
Consumer Discretionary - 11.9%
Cabela’s, Inc.*		1,565,693		39,157,982
Chico’s FAS, Inc.		1,968,100		29,324,690
Maidenform Brands, Inc.*		655,900		18,739,063
Penn National Gaming, Inc.*		483,700		17,925,922
Brown Shoe Company, Inc.		1,369,435		16,734,496
Apollo Group, Inc. — Class A*		356,000		14,848,760
Scholastic Corp.		386,600		10,453,664
Jack in the Box, Inc.*		433,000		9,820,440
Hanesbrands, Inc.*		333,580		9,020,003
DeVry, Inc.		160,580		8,843,141
Fortune Brands, Inc.		121,500		7,519,635
Smith & Wesson Holding Corp.*		1,990,310		7,065,600
Fred’s, Inc. — Class A		242,534		3,230,553
Total Consumer Discretionary				192,683,949
Information Technology - 10.8%
Computer Sciences Corp.		959,120		46,737,918
IXYS Corp.*,5		2,400,000		32,232,000
Maxwell Technologies, Inc.*,5		1,504,700		25,986,169
Power-One, Inc.*,1		2,666,000		23,327,500
Satyam Computer Services Ltd. ADR*		4,341,099		13,110,119
Euronet Worldwide, Inc.*		629,800		12,174,034
Symmetricom, Inc.*		1,908,270		11,697,695
Ultratech, Inc.*		316,200		9,296,280
Total Information Technology				174,561,715
Utilities - 7.7%
Great Plains Energy, Inc.		953,117		19,081,402
NorthWestern Corp.		608,100		18,425,430
Allete, Inc.		424,757		16,552,780
American Water Works Company, Inc.		527,740		14,803,107
Black Hills Corp.		397,000		13,275,680
UGI Corp.		386,242		12,707,362
Pepco Holdings, Inc.		408,400		7,616,660
Westar Energy, Inc.		287,270		7,589,674
Atmos Energy Corp.		220,820		7,529,962
MDU Resources Group, Inc.		305,768		7,023,491
Total Utilities				124,605,548
Materials - 7.5%
Bemis Company, Inc.		1,035,180		33,964,256
Owens-Illinois, Inc.*		768,300		23,194,977
Louisiana-Pacific Corp.*		2,079,300		21,832,650
Sonoco Products Co.		527,200		19,100,456

44 | THE RYDEX|SGI EQUITY FUNDS SEMI-ANNUAL REPORT The accompanying notes are an integral part of the financial statements.

SCHEDULE OF INVESTMENTS (Unaudited) (concluded)	Rydex|SGI Equity Fund
March 31, 2011	Mid Cap Value Fund

	Shares		Value
HB Fuller Co.		486,504	$	10,450,106
Zoltek Companies, Inc.*		519,596		6,978,174
Landec Corp.*		911,716		5,926,154
Total Materials				121,446,773
Consumer Staples - 5.5%
JM Smucker Co.		395,300		28,220,467
Hormel Foods Corp.		967,880		26,945,779
Ralcorp Holdings, Inc.*		339,300		23,218,299
Bunge Ltd.		135,500		9,800,715
Total Consumer Staples				88,185,260
Health Care - 4.8%
RehabCare Group, Inc.*		688,400		25,381,308
Mednax, Inc.*		347,641		23,156,367
Hologic, Inc.*		737,801		16,379,182
Forest Laboratories, Inc.*		390,780		12,622,194
Total Health Care				77,539,051
Total Common Stocks (Cost $1,156,665,731)				1,519,752,318
CONVERTIBLE PREFERRED STOCK††- 0.0%
Thermoenergy Corp.*,2,3,5		858,334		551,394
Total Convertible Preferred Stock (Cost $819,654)				551,394
WARRANTS†† - 0.1%
Industrials - 0.1%
Thermoenergy Corp. $0.30, 07/31/15 2,5		13,733,344		708,641
Energy - 0.0%
Nova Biosource Fuels, Inc.2 $2.40, 07/05/11		677,450		1,761
Total Warrants (Cost $1,940,120)				710,402
EXCHANGE TRADED FUNDS† - 1.6%
iShares Russell Midcap Value Index Fund		300,000		14,448,000
iShares Russell 2000 Value Index Fund		160,860		12,125,627
Total Exchange Traded Funds (Cost $19,887,647)				26,573,627

	Face
	Amount		Value
CONVERTIBLE BOND†† - 0.7%
Energy - 0.7%
USEC, Inc.
3.00% due 10/01/14	$	13,600,000	$	10,744,000
Total Convertible Bond (Cost $12,444,847)				10,744,000
REPURCHASE AGREEMENT††, 4 - 3.4%
UMB Financial Corp. issued 03/31/11 at 0.03% due 04/01/11		55,424,000		55,424,000
Total Repurchase Agreement (Cost $55,424,000)				55,424,000
Total Long Investments - 100.0% (Cost $1,247,181,999)			$	1,613,755,741

	Contracts
OPTIONS WRITTEN† - (0.1)%
Call Options on:
Power-One, Inc. Expiring April 2011 with strike price of $13.00		3,782		(18,910	)
General Cable Corp. Expiring May 2011 with strike price of $50.00		2,000		(50,000	)
Associated Banc-Corp. Expiring June 2011 with strike price of $15.00		2,385		(190,800	)
Total Call Options				(259,710	)
Put Options on:
Arch Coal, Inc. Expiring July 2011 with strike price of $30.00		2,535		(245,895	)
Comzputer Sciences Corp. Expiring June 2011 with strike price of $50.00		1,500		(495,000	)
Total Put Options				(740,895	)
Total Options Written (Premiums received $1,728,328)			$	(1,000,605	)
Cash & Other Assets, Less Liabilities - 0.1%				987,434
Total Net Assets - 100.0%			$	1,613,742,570

*	Non-income producing security
†	Value determined based on Level 1 inputs — See Note 10.
††	Value determined based on Level 2 inputs — See Note 10.
1	All or a portion of this security is pledged as collateral for open written option contracts at March 31, 2011.
2	All or a portion of this security was fair valued by the Valuation Committee based on non-observable market inputs at March 31, 2011. The total market value of fair valued securities amounts to $1,261,796 (cost $3,300,349), or 0.08% of total net assets.
3	PIPE (Private Investment in Public Equity) — Stock issued by a company in the secondary market as a means of raising capital more quickly and less expensively than through registration of a secondary public offering.
4	Repurchase Agreement — See Note 5.
5	Investment in affiliated issuer. See Note 8 in the Notes to Financial Statements.
ADR—American Depositary Receipt

The accompanying notes are an integral part of the financial statements. THE RYDEX|SGI EQUITY FUNDS SEMI-ANNUAL REPORT | 45

Rydex|SGI Equity Fund
Mid Cap Value Fund

STATEMENT OF ASSETS AND LIABILITIES (Unaudited)

March 31, 2011

Assets:
Investments in unaffiliated issuers, at value*	$	1,497,664,727
Investments in affiliated issuers, at value**		60,667,014
Repurchase agreements, at value		55,424,000
Total investments		1,613,755,741
Cash		242
Receivables:
Securities sold		1,446,730
Fund shares sold		2,822,122
Dividends		1,324,267
Interest		204,046
Prepaid expenses		113,209
Total assets		1,619,666,357
Liabilities:
Written options, at value***		1,000,605
Payable for:
Securities purchased		1,221,588
Fund shares redeemed		1,129,951
Management fees		1,033,658
Custodian fees		13,363
Transfer agent/maintenance fees		85,239
Distribution and service fees		510,455
Portfolio accounting fees		125,549
Professional fees		32,021
Directors’ fees		53,093
Legal fees		24,340
Pricing fees		3,155
Direct shareholders expense		170,617
Corporate expenses		46,559
Other		473,594
Total liabilities		5,923,787
Net assets	$	1,613,742,570
Net assets consist of:
Paid in capital	$	1,294,472,450
Accumulated net investment loss		(1,591,608	)
Accumulated net realized loss on investments		(46,439,735	)
Net unrealized appreciation in on investments		367,301,463
Net assets	$	1,613,742,570
A-Class:
Net assets	$	1,322,354,046
Capital shares outstanding		37,432,627
Net asset value per share	$	35.33
Maximum offering price per share****	$	37.09
B-Class:
Net assets	$	43,620,724
Capital shares outstanding		1,451,916
Net asset value per share	$	30.04
C-Class:
Net assets	$	247,767,800
Capital shares outstanding		8,004,272
Net asset value per share	$	30.95
*     Investments in unaffiliated issuers, at cost	$	1,148,199,521
**    Investments in affiliated issuers, at cost		43,558,478
Repurchase agreements, at cost		55,424,000
Total cost	$	1,247,181,999
***   Premiums received for written options	$	1,728,328

**** Net asset value adjusted for the maximum sales charge of 4.75% of offering price, calculated NAV/(1-4.75)%.

STATEMENT OF OPERATIONS (Unaudited)

For the Period Ended March 31, 2011

Investment Income:
Dividends	$	8,620,593
Interest		358,446
Total investment income		8,979,039
Expenses:
Management fees		5,645,260
Transfer agent/maintenance fees		941,735
Distribution and service fees:
A-Class		1,469,989
B-Class		215,222
C-Class		1,099,416
Portfolio accounting fees		683,477
Directors’ fees*		52,515
Miscellaneous		323,739
Total expenses		10,431,353
Net investment loss		(1,452,314	)
Net Realized and Unrealized Gain (Loss):
Net realized gain (loss) on:
Investments		40,435,013
Options written		1,362,151
Net realized gain		41,797,164
Net change in unrealized appreciation (depreciation) on:
Investments		219,401,050
Options written		89,797
Net change in unrealized appreciation		219,490,847
Net realized and unrealized gain		261,288,011
Net increase in net assets resulting from operations	$	259,835,697

* Relates to Directors not deemed “interested persons” within the meaning of Section 2(a)(19) of the 1940 Act.

46 | THE RYDEX|SGI EQUITY FUNDS SEMI-ANNUAL REPORT The accompanying notes are an integral part of the financial statements.

	Rydex|SGI Equity Fund
STATEMENTS OF CHANGES IN NET ASSETS	Mid Cap Value Fund

	Period Ended
	March 31,			Year Ended
	2011			September 30,
	(Unaudited)			2010
Increase (Decrease) In Net Assets From Operations:
Net investment income (loss)	$	(1,452,314	)	$	2,637,672
Net realized gain (loss) on investments		41,797,164			(2,816,034	)
Net change in unrealized appreciation (depreciation) on investments		219,490,847			120,886,412
Net increase in net assets resulting from operations		259,835,697			120,708,050
Distributions to shareholders from:
Net investment income
A-Class		(2,703,671	)		(1,178,918	)
Total distributions to shareholders		(2,703,671	)		(1,178,918	)
Capital share transactions:
Proceeds from sale of shares
A-Class		189,613,159			525,044,189
B-Class		957,240			2,160,769
C-Class		30,099,941			60,822,739
Distributions reinvested
A-Class		2,286,331			1,064,396
Cost of shares redeemed
A-Class		(136,690,777	)		(349,397,686	)
B-Class		(7,278,726	)		(23,155,998	)
C-Class		(15,338,954	)		(22,330,336	)
Net increase from capital share transactions		63,648,214			194,208,073
Net increase in net assets		320,780,240			313,737,205
Net assets:
Beginning of period		1,292,962,330			979,225,125
End of period	$	1,613,742,570		$	1,292,962,330
Accumulated/(Undistributed) net investment income/(loss) at end of period	$	(1,591,608	)	$	2,564,377
Capital share activity:
Shares sold
A-Class		5,832,195			18,798,275
B-Class		34,443			92,317
C-Class		1,061,081			2,460,598
Shares issued from reinvestment of distributions
A-Class		71,137			38,861
Shares redeemed
A-Class		(4,223,216	)		(12,495,803	)
B-Class		(263,878	)		(966,968	)
C-Class		(536,613	)		(908,686	)
Net increase in shares		1,975,149			7,018,594

The accompanying notes are an integral part of the financial statements. THE RYDEX|SGI EQUITY FUNDS SEMI-ANNUAL REPORT | 47

	Rydex|SGI Equity Fund
FINANCIAL HIGHLIGHTS	Mid Cap Value Fund

This table is presented to show selected data for a share outstanding throughout each period, and to assist shareholders in evaluating a Fund’s performance for the periods presented.

	Period Ended			Year Ended			Year Ended			Year Ended			Year Ended			Year Ended
	March 31,			September 30,			September 30,			September 30,			September 30,			September 30,
A-Class	2011a			2010			2009			2008			2007			2006
Per Share Data
Net asset value, beginning of period	$	29.55		$	26.58		$	28.41		$	40.79		$	38.27		$	36.34
Income (loss) from investment operations:
Net investment income (loss)b		(0.01	)		0.11			0.08			0.25			0.25			0.04
Net gain (loss) on investments (realized and unrealized)		5.87			2.90			0.82			(4.77	)		4.59			3.96
Total from investment operations		5.86			3.01			0.90			(4.52	)		4.84			4.00
Less distributions from:
Net investment income		(0.08	)		(0.04	)		(0.14	)		(0.14	)		(0.23	)		—
Net realized gains		—			—			(2.59	)		(7.72	)		(2.09	)		(2.07	)
Total distributions		(0.08	)		(0.04	)		(2.73	)		(7.86	)		(2.32	)		(2.07	)
Net asset value, end of period	$	35.33		$	29.55		$	26.58		$	28.41		$	40.79		$	38.27
Total Returnc		19.84	%		11.32	%		6.90	%		(12.48	)%		12.96	%		11.44	%
Ratios/Supplemental Data
Net assets, end of period (in thousands)	$	1,322,354		$	1,056,655		$	781,883		$	656,044		$	687,484		$	596,074
Ratios to average net assets:
Net investment income (loss)		(0.06	)%		0.38	%		0.40	%		0.79	%		0.61	%		0.10	%
Total expenses		1.31	%		1.37	%		1.48	%		1.37	%		1.32	%		1.36	%
Portfolio turnover rate		12	%		23	%		31	%		68	%		44	%		33	%
	Period Ended			Year Ended			Year Ended			Year Ended			Year Ended			Year Ended
	March 31,			September 30,			September 30,			September 30,			September 30,			September 30,
B-Class	2011a			2010			2009			2008			2007			2006
Per Share Data
Net asset value, beginning of period	$	25.17		$	22.78		$	24.83		$	36.78		$	34.76		$	33.43
Income (loss) from investment operations:
Net investment lossb		(0.11	)		(0.09	)		(0.06	)		—	d		(0.04	)		(0.23	)
Net gain (loss) on investments (realized and unrealized)		4.98			2.48			0.60			(4.23	)		4.15			3.63
Total from investment operations		4.87			2.39			0.54			(4.23	)		4.11			3.40
Less distributions from:
Net realized gains		—			—			(2.59	)		(7.72	)		(2.09	)		(2.07	)
Total distributions		—			—			(2.59	)		(7.72	)		(2.09	)		(2.07	)
Net asset value, end of period	$	30.04		$	25.17		$	22.78		$	24.83		$	36.78		$	34.76
Total Returnc		19.35	%		10.49	%		6.17	%		(13.14	)%		12.10	%		10.60	%
Ratios/Supplemental Data
Net assets, end of period (in thousands)	$	43,621		$	42,321		$	58,221		$	66,641		$	106,179		$	108,784
Ratios to average net assets:
Net investment loss		(0.83	)%		(0.40	)%		(0.34	)%		(0.01	)%		(0.10	)%		(0.68	)%
Total expenses		2.06	%		2.12	%		2.23	%		2.12	%		2.07	%		2.11	%
Portfolio turnover rate		12	%		23	%		31	%		68	%		44	%		33	%

48 | THE RYDEX|SGI EQUITY FUNDS SEMI-ANNUAL REPORT The accompanying notes are an integral part of the financial statements.

	Rydex|SGI Equity Fund
FINANCIAL HIGHLIGHTS (concluded)	Mid Cap Value Fund

This table is presented to show selected data for a share outstanding throughout each period, and to assist shareholders in evaluating a Fund’s performance for the periods presented.

	Period Ended			Year Ended			Year Ended			Year Ended			Year Ended			Year Ended
	March 31,			September 30,			September 30,			September 30,			September 30,			September 30,
C-Class	2011a			2010			2009			2008			2007			2006
Per Share Data
Net asset value, beginning of period	$	25.93		$	23.47		$	25.49		$	37.54		$	35.43		$	34.03
Income (loss) from investment operations:
Net investment lossb		(0.11	)		(0.09	)		(0.07	)		—	d		(0.05	)		(0.22	)
Net gain (loss) on investments (realized and unrealized)		5.13			2.55			0.64			(4.33	)		4.25			3.69
Total from investment operations		5.02			2.46			0.57			(4.33	)		4.20			3.47
Less distributions from:
Net realized gains		—			—			(2.59	)		(7.72	)		(2.09	)		(2.07	)
Total distributions		—			—			(2.59	)		(7.72	)		(2.09	)		(2.07	)
Net asset value, end of period	$	30.95		$	25.93		$	23.47		$	25.49		$	37.54		$	35.43
Total Returnc		19.36	%		10.48	%		6.13	%		(13.15	)%		12.13	%		10.62	%
Ratios/Supplemental Data
Net assets, end of period (in thousands)	$	247,768		$	193,986		$	139,121		$	113,192		$	176,746		$	152,579
Ratios to average net assets:
Net investment loss		(0.81	)%		(0.37	)%		(0.35	)%		(0.01	)%		(0.12	)%		(0.65	)%
Total expenses		2.06	%		2.12	%		2.22	%		2.12	%		2.07	%		2.11	%
Portfolio turnover rate		12	%		23	%		31	%		68	%		44	%		33	%

a	Unaudited figures for the period ended March 31, 2011. Percentage amounts for the period, except total return and portfolio turnover rate, have been annualized.
b	Net investment income (loss) was computed using average shares outstanding throughout the period.
c	Total return does not reflect the impact of any applicable sales charges and has not been annualized.
d	Net investment income is less than $0.01 per share.

The accompanying notes are an integral part of the financial statements. THE RYDEX|SGI EQUITY FUNDS SEMI-ANNUAL REPORT | 49

	Rydex|SGI Equity Fund
PERFORMANCE SUMMARY	Mid Cap Value Institutional Fund
March 31, 2011	(Unaudited)

PERFORMANCE

$10,000 Since Inception

This chart assumes a $10,000 investment in shares of Mid Cap Value Institutional Fund on July 11, 2008 (date of Inception) and assumes all dividends are reinvested. The chart does not reflect the deduction of taxes that a shareholder would pay on distributions or the redemption of fund shares. The Russell 2500^® Value Index is an unmanaged index that measures the performance of securities of small-to-mid cap U.S. companies with greater-than-average value orientation.

AVERAGE ANNUAL RETURNS
PERIODS ENDED 3/31/2011

				SINCE
				INCEPTION
	1 YEAR			(07/11/08)
Mid Cap Value Institutional Fund		21.93	%		16.30	%

The performance data above represents past performance that is not predictive of future results. The investment return and principal value of an investment in the Fund will fluctuate so that an investor’s shares, when redeemed, may be worth more or less than their original cost. The figures do not reflect the deduction of taxes that a shareholder would pay on distributions or redemption of shares. Such figures would be lower if any applicable taxes were deducted. Fee waivers and/or reimbursements reduced expenses of the Fund and in the absence of such waivers, the performance quoted would be reduced.

Portfolio Composition by Sector
Common Stocks
Industrials	17.2	%
Financials	14.9	%
Energy	12.7	%
Consumer Discretionary	11.7	%
Information Technology	10.3	%
Utilities	7.3	%
Materials	7.1	%
Consumer Staples	4.9	%
Health Care	4.3	%
Exchange Traded Funds	5.3	%
Warrants	0.1	%
Convertible Preferred Stock	0.1	%
Convertible Bond	0.7	%
Repurchase Agreement	4.1	%
Liabilities, Less Cash & Other Assets	(0.7	%)
Total Net Assets	100.0	%

50 | THE RYDEX|SGI EQUITY FUNDS SEMI-ANNUAL REPORT

SCHEDULE OF INVESTMENTS (Unaudited)	Rydex|SGI Equity Fund
March 31, 2011	Mid Cap Value Institutional Fund

	Shares			Value
COMMON STOCKS†- 90.4%
Industrials - 17.2%
GeoEye, Inc.*		349,700		$	14,540,526
Covanta Holding Corp.		740,040			12,639,883
Insituform Technologies, Inc. — Class A*		378,340			10,120,595
General Cable Corp.*,1		233,400			10,106,220
Quanta Services, Inc.*		435,200			9,761,536
FTI Consulting, Inc.*		206,700			7,922,811
Orbital Sciences Corp.*		392,888			7,433,441
Navigant Consulting, Inc.*		684,870			6,841,851
Babcock & Wilcox Co.*		191,600			6,395,608
URS Corp.*		121,700			5,604,285
Trex Company, Inc.*		151,200			4,932,144
Insperity, Inc.		144,132			4,378,730
Force Protection, Inc.*		872,103			4,273,305
ICF International, Inc.*		174,910			3,592,652
Saia, Inc.*		214,470			3,515,163
United Stationers, Inc.		35,278	��		2,506,502
UQM Technologies, Inc.*		91,078			271,413
Total Industrials					114,836,665
Financials - 14.9%
Hanover Insurance Group, Inc.		337,250			15,260,563
American Financial Group, Inc.1		353,570			12,382,021
W.R. Berkley Corp.		373,010			12,014,652
Reinsurance Group of America, Inc. — Class A		128,352			8,057,939
Alleghany Corp.*		22,619			7,486,271
Fifth Street Finance Corp.		502,507			6,708,468
RenaissanceRe Holdings Ltd.		73,300			5,056,967
Transatlantic Holdings, Inc.		102,100			4,969,207
Lexington Realty Trust		476,000			4,450,600
Associated Banc-Corp.1		292,352			4,341,427
Old National Bancorp		393,845			4,222,018
Employers Holdings, Inc.		193,100			3,989,446
First Horizon National Corp.		267,756			3,001,544
Investors Real Estate Trust		245,000			2,327,500
Redwood Trust, Inc.		124,100			1,929,755
Wilmington Trust Corp.		350,000			1,582,000
First Marblehead Corp.*		542,384			1,193,245
Bimini Capital Management, Inc. — Class A		473,362			364,489
Total Financials					99,338,112
Energy - 12.7%
Global Industries Ltd.*		1,941,039			19,002,772
SandRidge Energy, Inc.*		959,411			12,280,461
Gulfport Energy Corp.*		327,172			11,827,268
Southern Union Co.		356,700			10,208,754
Plains Exploration & Production Co.*		273,230			9,899,123
McDermott International, Inc.*		277,300			7,040,647
Goodrich Petroleum Corp.*		303,410			6,741,770
USEC, Inc.*		1,234,000			5,429,600
Resolute Energy Corp.*		103,503			1,877,544
Total Energy					84,307,939
Consumer Discretionary - 11.7%
Cabela’s, Inc.*		637,301			15,938,898
Chico’s FAS, Inc.		779,570			11,615,593
Maidenform Brands, Inc.*		272,717			7,791,525
Penn National Gaming, Inc.*		201,800			7,478,708
Brown Shoe Company, Inc.		553,557			6,764,467
Apollo Group, Inc. — Class A*		143,350			5,979,128
Jack in the Box, Inc.*		197,700			4,483,836
Scholastic Corp.		155,900			4,215,536
Hanesbrands, Inc.*		133,890			3,620,386
DeVry, Inc.		64,160			3,533,291
Smith & Wesson Holding Corp.*		798,826			2,835,832
Fortune Brands, Inc.		42,000			2,599,380
Fred’s, Inc. — Class A		89,226			1,188,490
HydroGen Corp.*,5		1,265,700			25,314
Total Consumer Discretionary					78,070,384
Information Technology - 10.3%
Computer Sciences Corp.		383,390			18,682,595
IXYS Corp.*		940,379			12,629,290
Maxwell Technologies, Inc.*		613,755			10,599,549
Power-One, Inc.*,1		1,063,372			9,304,505
Euronet Worldwide, Inc.*		278,800			5,389,204
Satyam Computer Services Ltd. ADR*		1,769,175			5,342,908
Symmetricom, Inc.*		630,300			3,863,739
Ultratech, Inc.*		104,900			3,084,060
Total Information Technology					68,895,850
Utilities - 7.3%
Great Plains Energy, Inc.		382,735			7,662,355
NorthWestern Corp.		220,800			6,690,240
Allete, Inc.		157,854			6,151,570
Black Hills Corp.		182,000			6,086,080
American Water Works Company, Inc.		204,240			5,728,932
UGI Corp.		143,457			4,719,735
Westar Energy, Inc.		114,780			3,032,488
Atmos Energy Corp.		88,230			3,008,643
MDU Resources Group, Inc.		122,167			2,806,176
Pepco Holdings, Inc.		135,500			2,527,075
Total Utilities					48,413,294
Materials - 7.1%
Bemis Company, Inc.		420,680			13,802,511
Owens-Illinois, Inc.*		319,180			9,636,044
Louisiana-Pacific Corp.*		830,700			8,722,350
Sonoco Products Co.		174,500			6,322,135
HB Fuller Co.		194,646			4,180,996
Zoltek Companies, Inc.*		209,214			2,809,744
Landec Corp.*		328,600			2,135,900
Total Materials					47,609,680

The accompanying notes are an integral part of the financial statements. THE RYDEX|SGI EQUITY FUNDS SEMI-ANNUAL REPORT | 51

SCHEDULE OF INVESTMENTS (Unaudited) (concluded)	Rydex|SGI Equity Fund
March 31, 2011	Mid Cap Value Institutional Fund

	Shares		Value
Consumer Staples - 4.9%
Hormel Foods Corp.		374,580	$	10,428,307
JM Smucker Co.		134,500		9,601,955
Ralcorp Holdings, Inc.*		132,400		9,060,132
Bunge Ltd.		48,000		3,471,840
Total Consumer Staples				32,562,234
Health Care - 4.3%
RehabCare Group, Inc.*		274,900		10,135,563
Mednax, Inc.*		114,013		7,594,406
Hologic, Inc.*		279,882		6,213,380
Forest Laboratories, Inc.*		151,230		4,884,729
Total Health Care				28,828,078
Total Common Stocks (Cost $465,077,187)				602,862,236
CONVERTIBLE PREFERRED STOCK†† - 0.1%
Thermoenergy Corp.*,2,3		793,750		509,905
Total Convertible Preferred Stock (Cost $757,980)				509,905
WARRANTS†† - 0.1%
Industrials - 0.1%
Thermoenergy Corp. $0.30,07/31/152		12,700,000		655,320
Total Warrants (Cost $1,147,020)				655,320
EXCHANGE TRADED FUNDS† - 5.3%
iShares Russell Midcap Value Index Fund		325,570		15,679,451
iShares S&P MidCap 400 Value Index Fund		145,000		12,499,000
iShares Russell 2000 Value Index Fund		95,000		7,161,100
Total Exchange Traded Funds (Cost $29,640,600)				35,339,551

	Face
	Amount		Value
CONVERTIBLE BOND†† - 0.7%
Energy - 0.7%
USEC, Inc. 3.00% due 10/01/14	$	5,500,000	$	4,345,000
Total Convertible Bond (Cost $4,388,738)			$	4,345,000
REPURCHASE AGREEMENT††,4 - 4.1%
UMB Financial Corp. issued 03/31/11 at 0.03% due 04/01/11		27,592,000		27,592,000
Total Repurchase Agreement (Cost $27,592,000)				27,592,000
Total Long Investments - 100.7% (Cost $528,603,525)			$	671,304,012
	Contracts
OPTIONS WRITTEN† - (0.1)%
Call Options on:
Power-One, Inc. Expiring April 2011 with strike price of $13.00		1,547		(7,735	)
General Cable Corp. Expiring May 2011 with strike price of $50.00		800		(20,000	)
Associated Banc-Corp. Expiring June 2011 with strike price of $15.00		973		(77,840	)
Total Call Options				(105,575	)
Put Options on:
Arch Coal, Inc. Expiring July 2011 with strike price of $30.00		1,025		(99,425	)
Computer Sciences Corp. Expiring June 2011 with strike price of $50.00		580		(191,400	)
Total Put Options				(290,825	)
Total Options Written (Premiums received $690,678)			$	(396,400	)
Liabilities, Less Cash & Other Assets — (0.6)%				(4,199,769	)
Total Net Assets - 100.0%			$	666,707,843

*	Non-income producing security
†	Value determined based on Level 1 inputs — See Note 10.
††	Value determined based on Level 2 inputs — See Note 10.
1	All or a portion of this security is pledged as collateral for open written option contracts at March 31, 2011.
2	All or a portion of this security was fair valued by the Valuation Committee based on non-observable market inputs at March 31, 2011. The total market value of fair valued securities amounts to $1,165,225 (cost $1,905,000), or 0.2% of total net assets.
3	PIPE (Private Investment in Public Equity) — Stock issued by a company in the secondary market as a means of raising capital more quickly and less expensively than through registration of a secondary public offering.
4	Repurchase Agreement — See Note 5.
5	Investment in affiliated issuer. See Note 8 in the Notes to Financial Statements. ADR — American Depositary Receipt
ADR — American Depositary Receipt

52 | THE RYDEX|SGI EQUITY FUNDS SEMI-ANNUAL REPORT The accompanying notes are an integral part of the financial statements.

Rydex|SGI Equity Fund
Mid Cap Value Institutional Fund

STATEMENT OF ASSETS AND LIABILITIES (Unaudited)
March 31, 2011

Assets:
Investments in unaffiliated issuers, at value*	$	643,686,698
Investments in affiliated issuers, at value**		25,314
Repurchase agreements, at value		27,592,000
Total investments		671,304,012
Cash		863
Receivables:
Securities sold		547,782
Fund shares sold		811,436
Dividends		529,684
Interest		82,523
Prepaid expenses		98,381
Total assets		673,374,681
Liabilities:
Written options, at value***		396,400
Payable for:
Securities purchased		553,288
Fund shares redeemed		5,085,577
Management fees		410,253
Custodian fees		5,279
Transfer agent/maintenance fees		58,032
Portfolio accounting fees		51,965
Professional fees		265
Directors’ fees		9,449
Legal fees		7,225
Pricing fees		714
Direct shareholders expense		64,212
Corporate expenses		8,239
Other		15,940
Total liabilities		6,666,838
Net assets	$	666,707,843
Net assets consist of:
Paid in capital	$	507,358,586
Undistributed net investment income		1,122,066
Undistributed net realized gain on investments		15,232,426
Net unrealized appreciation in on investments		142,994,765
Net assets	$	666,707,843
Net assets	$	666,707,843
Capital shares outstanding		51,236,181
Net asset value per share	$	13.01
*      Investments in unaffiliated issuers, at cost	$	501,008,994
**     Investments in affiliated issuers, at cost		2,531
Repurchase agreements, at cost		27,592,000
Total cost	$	528,603,525
***    Premiums received for written options	$	690,678

STATEMENT OF OPERATIONS (Unaudited)
For the Period Ended March 31, 2011

Investment Income:
Dividends	$	3,544,154
Interest		220,281
Total investment income		3,764,435
Expenses:
Management fees		2,171,318
Transfer agent/maintenance fees		251,600
Portfolio accounting fees		275,030
Directors’ fees*		19,875
Miscellaneous		168,534
Total expenses		2,886,357
Expenses waived by Advisor		(280,769	)
Net expenses		2,605,588
Net investment income		1,158,847
Net Realized and Unrealized Gain (Loss):
Net realized gain (loss) on:
Investments		18,215,137
Options written		519,568
Net realized gain		18,734,705
Net change in unrealized appreciation (depreciation) on:
Investments		85,963,537
Options written		57,716
Net change in unrealized appreciation		86,021,253
Net realized and unrealized gain		104,755,958
Net increase in net assets resulting from operations	$	105,914,805

* Relates to Directors not deemed “interested persons” within the meaning of Section 2(a)(19) of the 1940 Act.

The accompanying notes are an integral part of the financial statements. THE RYDEX|SGI EQUITY FUNDS SEMI-ANNUAL REPORT | 53

	Rydex|SGI Equity Fund
STATEMENTS OF CHANGES IN NET ASSETS	Mid Cap Value Institutional Fund

	Period Ended
	March 31,			Year Ended
	2011			September 30,
	(Unaudited)			2010
Increase (Decrease) In Net Assets From Operations:
Net investment income	$	1,158,847		$	3,027,929
Net realized gain on investments		18,734,705			21,766,168
Net change in unrealized appreciation (depreciation) on investments		86,021,253			19,799,839
Net increase in net assets resulting from operations		105,914,805			44,593,936
Distributions to shareholders from:
Net investment income		(3,064,710	)		(326,334	)
Net realized gains		(22,149,495	)		(11,082,828	)
Total distributions to shareholders		(25,214,205	)		(11,409,162	)
Capital share transactions:
Proceeds from sale of shares		127,161,145			259,968,422
Distributions reinvested		10,706,814			5,348,897
Cost of shares redeemed		(66,307,714	)		(101,510,411	)
Net increase from capital share transactions		71,560,245			163,806,908
Net increase in net assets		152,260,845			196,991,682
Net assets:
Beginning of period		514,446,998			317,455,316
End of period	$	666,707,843		$	514,446,998
Undistributed net investment income at end of period	$	1,122,066		$	3,027,929
Capital share activity:
Shares sold		10,415,132			23,979,841
Shares issued from reinvestment of distributions		905,056			509,904
Shares redeemed		(5,459,645	)		(9,372,413	)
Net increase in shares		5,860,543			15,117,332

54 | THE RYDEX|SGI EQUITY FUNDS SEMI-ANNUAL REPORT The accompanying notes are an integral part of the financial statements.

	Rydex|SGI Equity Fund
FINANCIAL HIGHLIGHTS	Mid Cap Value Institutional Fund

This table is presented to show selected data for a share outstanding throughout each period, and to assist shareholders in evaluating a Fund’s performance for the periods presented.

	Period Ended			Year Ended			Year Ended			Period Ended
	March 31,			September 30,			September 30,			September 30,
	2011a			2010			2009			2008a,b
Per Share Data
Net asset value, beginning of period	$	11.34		$	10.49		$	10.68		$	10.00
Income (loss) from investment operations:
Net investment incomec		0.02			0.08			0.08			0.04
Net gain on investments (realized and unrealized)		2.20			1.13			0.27			0.64
Total from investment operations		2.22			1.21			0.35			0.68
Less distributions from:
Net investment income		(0.07	)		(0.01	)		(0.06	)		—
Net realized gains		(0.48	)		(0.35	)		(0.48	)		—
Total distributions		(0.55	)		(0.36	)		(0.54	)		—
Net asset value, end of period	$	13.01		$	11.34		$	10.49		$	10.68
Total Returnd		19.99	%		11.76	%		5.30	%		6.80	%
Ratios/Supplemental Data
Net assets, end of period (in thousands)	$	666,708		$	514,447		$	317,455		$	17,436
Ratios to average net assets:
Net investment income		0.40	%		0.78	%		0.82	%		1.81	%
Total expensese		1.00	%		0.95	%		0.98	%		1.19	%
Net expensesf		0.90	%		0.90	%		0.91	%		1.10	%
Portfolio turnover rate		13	%		20	%		76	%		63	%

a	Unaudited figures for the period ended March 31, 2011. Percentage amounts for the period, except total return and portfolio turnover rate, have been annualized.
b	Since commencement of operations: July 11, 2008 — Mid Cap Value Institutional Fund.
c	Net investment income (loss) was computed using average shares outstanding throughout the period.
d	Total return does not reflect the impact of any applicable sales charges and has not been annualized.
e	Total expense information reflects the expense ratios absent expense reductions by the Investment Manager, as applicable.
f	Net expense information reflects the expense ratios after voluntary expense waivers and reimbursements, as applicable.

The accompanying notes are an integral part of the financial statements. THE RYDEX|SGI EQUITY FUNDS SEMI-ANNUAL REPORT | 55

	Rydex|SGI Equity Fund
PERFORMANCE SUMMARY	Large Cap Concentrated Growth Fund
March 31, 2011	(Unaudited)

PERFORMANCE

$10,000 Over Ten Years

This chart assumes a $10,000 investment in A-Class shares of Large Cap Concentrated Growth Fund on March 31, 2011, reflects deduction of the maximum front-end sales charge of 5.75% and assumes all dividends are reinvested.^† The chart does not reflect the deduction of taxes that a shareholder would pay on distributions or the redemption of fund shares. The Russell 1000^® Growth Index is an unmanaged capitalization index which includes stocks incorporated in the United States and its territories and measures the performance of the Russell 1000^® companies with higher price-to-book ratios and higher forecasted growth values.

AVERAGE ANNUAL RETURNS
PERIODS ENDED 3/31/2011

	1 YEAR			5 YEAR			10 YEAR
A-Class Shares		16.69	%		-0.35	%		1.42	%
A-Class Shares with sales charge		9.96	%		-1.51	%		0.83	%
B-Class Shares		15.72	%		-1.11	%		0.82	%
B-Class Shares with CDSC		10.72	%		-1.47	%		0.82	%
C-Class Shares		15.65	%		-1.11	%		0.67	%
C-Class Shares with CDSC		14.65	%		-1.11	%		0.67	%

The performance data above represents past performance that is not predictive of future results. The investment return and principal value of an investment in the Fund will fluctuate so that an investor’s shares, when redeemed, may be worth more or less than their original cost. The figures above do not reflect deduction of the maximum front-end sales charge of 5.75% for Class A shares or the contingent deferred sales charge of 5% for Class B shares and 1% for Class C shares, as applicable, except where noted.^† The figures do not reflect the deduction of taxes that a shareholder would pay on distributions or redemption of shares. Such figures would be lower if the maximum sales charge and any applicable taxes were deducted. Fee waivers and/or reimbursements reduced expenses of the Fund and in the absence of such waivers, the performance quoted would be reduced.

Portfolio Composition by Sector
Common Stocks
Information Technology	28.9	%
Consumer Discretionary	18.4	%
Industrials	18.2	%
Energy	11.0	%
Materials	6.2	%
Financials	5.6	%
Health Care	5.4	%
Consumer Staples	2.8	%
Cash & Other Assets, Less Liabilities	3.5	%
Total Net Assets	100.0	%

^† Effective 2/22/11, the A-Class maximum sales charge decreased from 5.75% to 4.75%. A 5.75% maximum sales charge is used to calculate performance for periods beginning prior to 2/22/11, and a 4.75% maximum sales charge is used to calculate performance for periods beginning on or after 2/22/11.

56 | THE RYDEX|SGI EQUITY FUNDS SEMI-ANNUAL REPORT

SCHEDULE OF INVESTMENTS (Unaudited)	Rydex|SGI Equity Fund
March 31, 2011	Large Cap Concentrated Growth Fund

	Shares		Value
COMMON STOCKS† - 96.5%
Information Technology - 28.9%
Apple, Inc.*		6,410	$	2,233,565
Google, Inc. — Class A*		3,295		1,931,562
QUALCOMM, Inc.		33,250		1,823,098
EMC Corp.*		65,050		1,727,077
Autodesk, Inc.*		32,640		1,439,750
Cognizant Technology Solutions Corp. — Class A*		16,820		1,369,148
Microsoft Corp.		50,130		1,271,297
Avago Technologies Ltd.		34,950		1,086,945
Total Information Technology				12,882,442
Consumer Discretionary - 18.4%
Walt Disney Co.		33,640		1,449,548
Starbucks Corp.		38,290		1,414,815
Ford Motor Co.*		93,100		1,388,121
Omnicom Group, Inc.		28,220		1,384,473
Time Warner, Inc.		36,300		1,295,910
Johnson Controls, Inc.		30,760		1,278,693
Total Consumer Discretionary				8,211,560
Industrials - 18.2%
Parker Hannifin Corp.		15,630		1,479,849
Eaton Corp.		25,100		1,391,544
Deere & Co.		14,010		1,357,429
Precision Castparts Corp.		8,980		1,321,676
United Parcel Service, Inc. — Class B		17,700		1,315,464
CSX Corp.		16,090		1,264,674
Total Industrials				8,130,636
Energy - 11.0%
Halliburton Co.		36,720		1,830,125
Baker Hughes, Inc.		21,400		1,571,402
Peabody Energy Corp.		21,090		1,517,636
Total Energy				4,919,163
Materials - 6.2%
Freeport-McMoRan Copper & Gold, Inc. — Class B		25,200		1,399,860
Dow Chemical Co.		36,265		1,369,004
Total Materials				2,768,864
Financials - 5.6%
U.S. Bancorp		47,520		1,255,954
Goldman Sachs Group, Inc.		7,920		1,255,082
Total Financials				2,511,036
Health Care - 5.4%
Covidien plc		26,380		1,370,177
Warner Chilcott plc — Class A		45,240		1,053,187
Total Health Care				2,423,364
Consumer Staples - 2.8%
Bunge Ltd.		17,190		1,243,353
Total Common Stocks (Cost $36,879,553)				43,090,418
Total Investments - 96.5% (Cost $36,879,553)			$	43,090,418
Cash & Other Assets, Less Liabilities - 3.5%				1,553,401
Total Net Assets - 100.0%			$	44,643,819

*	Non-income producing security
†	Value determined based on Level 1 inputs — See Note 10.
plc — Public Limited Company.

The accompanying notes are an integral part of the financial statements. THE RYDEX|SGI EQUITY FUNDS SEMI-ANNUAL REPORT | 57

Rydex|SGI Equity Fund
Large Cap Concentrated Growth Fund

STATEMENT OF ASSETS AND LIABILITIES (Unaudited)
March 31, 2011

Assets:
Investments, at value*	$	43,090,418
Total investments		43,090,418
Cash		967,711
Receivables:
Securities sold		628,784
Fund shares sold		6,760
Dividends		38,758
Prepaid expenses		38,306
Total assets		44,770,737
Liabilities:
Payable for:
Fund shares redeemed		51,872
Management fees		27,680
Custodian fees		321
Transfer agent/maintenance fees		13,595
Distribution and service fees		15,154
Portfolio accounting fees		3,506
Professional fees		4,128
Directors’ fees		1,847
Legal fees		591
Pricing fees		143
Insurance		729
Direct shareholders expense		6,505
Corporate expenses		847
Total liabilities		126,918
Net assets	$	44,643,819
Net assets consist of:
Paid in capital	$	47,934,848
Accumulated net investment loss		(68,534	)
Accumulated net realized loss on investments		(9,433,360	)
Net unrealized appreciation in on investments		6,210,865
Net assets	$	44,643,819
A-Class:
Net assets	$	35,195,336
Capital shares outstanding		3,861,132
Net asset value per share	$	9.12
Maximum offering price per share**	$	9.57
B-Class:
Net assets	$	4,987,738
Capital shares outstanding		599,378
Net asset value per share	$	8.32
C-Class:
Net assets	$	4,460,745
Capital shares outstanding		533,917
Net asset value per share	$	8.35
*      Investments, at cost	$	36,879,553

** Net asset value adjusted for the maximum sales charge of 4.75% of offering price, calculated NAV/(1-4.75%).

STATEMENT OF OPERATIONS (Unaudited)
For the Period Ended March 31, 2011

Investment Income:
Dividends	$	249,412
Interest		81
Total investment income		249,493
Expenses:
Management fees		154,292
Transfer agent/maintenance fees		111,572
Distribution and service fees:
A-Class		40,413
B-Class		24,589
C-Class		19,481
Portfolio accounting fees		19,544
Directors’ fees*		1,287
Miscellaneous		29,313
Total expenses		400,491
Expenses waived by Advisor		(89,711	)
Net expenses		310,780
Net investment loss		(61,287	)
Net Realized and Unrealized Gain (Loss):
Net realized gain (loss) on:
Investments		3,983,924
Net realized gain		3,983,924
Net change in unrealized appreciation (depreciation) on:
Investments		3,389,239
Net change in unrealized appreciation		3,389,239
Net realized and unrealized gain		7,373,163
Net increase in net assets resulting from operations $		7,311,876

* Relates to Directors not deemed “interested persons” within the meaning of Section 2(a)(19) of the 1940 Act.

58 | THE RYDEX|SGI EQUITY FUNDS SEMI-ANNUAL REPORT The accompanying notes are an integral part of the financial statements.

	Rydex|SGI Equity Fund
STATEMENTS OF CHANGES IN NET ASSETS	Large Cap Concentrated Growth Fund

	Period Ended
	March 31,			Year Ended
	2011			September 30,
	(Unaudited)			2010
Increase (Decrease) In Net Assets From Operations:
Net investment income (loss)	$	(61,287	)	$	129,025
Net realized gain on investments		3,983,924			4,700,281
Net change in unrealized appreciation (depreciation) on investments		3,389,239			(1,175,337	)
Net increase in net assets resulting from operations		7,311,876			3,653,969
Distribution To Shareholders From:
Net investment income
A-Class		(136,272	)		—
Total distributions to shareholders		(136,272	)		—
Capital share transactions:
Proceeds from sale of shares
A-Class		4,364,125			12,118,241
B-Class		393,922			1,138,329
C-Class		767,788			253,325
Distributions reinvested
A-Class		135,329			—
Cost of shares redeemed
A-Class		(4,002,928	)		(8,293,084	)
B-Class		(858,629	)		(2,811,232	)
C-Class		(276,075	)		(1,022,294	)
Net increase from capital share transactions		523,532			1,383,285
Net increase in net assets		7,699,136			5,037,254
Net assets:
Beginning of period		36,944,683			31,907,429
End of period	$	44,643,819		$	36,944,683
Accumulated/(Undistributed) net investment income/(loss) at end of period	$	(68,534	)	$	129,025
Capital share activity:
Shares sold
A-Class		508,571			1,699,951
B-Class		50,610			170,222
C-Class		97,096			37,449
Shares issued from reinvestment of distributions
A-Class		16,034			—
Shares redeemed
A-Class		(470,662	)		(1,120,658	)
B-Class		(110,399	)		(409,958	)
C-Class		(34,602	)		(149,671	)
Net increase in shares		56,648			227,335

The accompanying notes are an integral part of the financial statements. THE RYDEX|SGI EQUITY FUNDS SEMI-ANNUAL REPORT | 59

FINANCIAL HIGHLIGHTS Rydex|SGI Equity Fund
Large Cap Concentrated Growth Fund

This table is presented to show selected data for a share outstanding throughout each period, and to assist shareholders in evaluating a Fund’s performance for the periods presented.

	Period Ended			Year Ended			Year Ended			Year Ended			Year Ended			Year Ended
	March 31,			September 30,			September 30,			September 30,			September 30,			September 30,
A-Class	2011a			2010			2009			2008			2007			2006
Per Share Data
Net asset value, beginning of period	$	7.63		$	6.95		$	6.91		$	10.66		$	9.86		$	9.36
Income (loss) from investment operations:
Net investment income (loss)b		(0.01	)		0.04			0.01			(0.02	)		(0.01	)		(0.06	)
Net gain (loss) on investments (realized and unrealized)		1.54			0.64			0.03			(2.87	)		0.81			0.56
Total from investment operations		1.53			0.68			0.04			(2.89	)		0.80			0.50
Less distributions from:
Net investment income		(0.04	)		—			—			—			—			—
Net realized gains		—			—			—			(0.86	)		—			—
Total distributions		(0.04	)		—			—			(0.86	)		—			—
Net asset value, end of period	$	9.12		$	7.63		$	6.95		$	6.91		$	10.66		$	9.86
Total Returnc		20.05	%		9.78	%		0.58	%		(28.85	%)		8.11	%		5.34	%
Ratios/Supplemental Data
Net assets, end of period (in thousands)	$	35,195		$	29,059		$	22,425		$	23,723		$	30,375		$	30,078
Ratios to average net assets:
Net investment income (loss)		(0.14	%)		0.52	%		0.09	%		(0.20	%)		(0.10	%)		(0.68	%)
Total expensesd		1.78	%		1.73	%		2.04	%		1.72	%		1.57	%		1.76	%
Net expensese		1.35	%		1.35	%		1.35	%		1.35	%		1.40	%		1.76	%
Portfolio turnover rate		76	%		190	%		134	%		198	%		21	%		39	%

	Period Ended			Year Ended			Year Ended			Year Ended			Year Ended			Year Ended
	March 31,			September 30,			September 30,			September 30,			September 30,			September 30,
B-Class	2011a			2010			2009			2008			2007			2006
Per Share Data
Net asset value, beginning of period	$	6.96		$	6.39		$	6.40		$	10.01		$	9.33		$	8.92
Income (loss) from investment operations:
Net investment lossb		(0.03	)		(0.02	)		(0.03	)		(0.08	)		(0.09	)		(0.13	)
Net gain (loss) on investments (realized and unrealized)		1.39			0.59			0.02			(2.67	)		0.77			0.54
Total from investment operations		1.36			0.57			(0.01	)		(2.75	)		0.68			0.41
Less distributions from:
Net realized gains		—			—			—			(0.86	)		—			—
Total distributions		—			—			—			(0.86	)		—			—
Net asset value, end of period	$	8.32		$	6.96		$	6.39		$	6.40		$	10.01		$	9.33
Total Returnc		19.54	%		8.92	%		(0.16	%)		(29.36	%)		7.29	%		4.60	%
Ratios/Supplemental Data
Net assets, end of period (in thousands)	$	4,988		$	4,590		$	5,740		$	7,394		$	10,868		$	16,073
Ratios to average net assets:
Net investment loss		(0.89	%)		(0.31	%)		(0.66	%)		(0.95	%)		(0.88	%)		(1.46	%)
Total expensesd		2.54	%		2.48	%		2.79	%		2.47	%		2.32	%		2.53	%
Net expensese		2.10	%		2.10	%		2.10	%		2.10	%		2.15	%		2.53	%
Portfolio turnover rate		76	%		190	%		134	%		198	%		21	%		39	%

60 | THE RYDEX|SGI EQUITY FUNDS SEMI-ANNUAL REPORT The accompanying notes are an integral part of the financial statements.

	Rydex|SGI Equity Fund
FINANCIAL HIGHLIGHTS (concluded)	Large Cap Concentrated Growth Fund

This table is presented to show selected data for a share outstanding throughout each period, and to assist shareholders in evaluating a Fund’s performance for the periods presented.

	Period Ended			Year Ended			Year Ended			Year Ended			Year Ended			Year Ended
	March 31,			September 30,			September 30,			September 30,			September 30,			September 30,
C-Class	2011a			2010			2009			2008			2007			2006
Per Share Data
Net asset value, beginning of period	$	6.99		$	6.41		$	6.42		$	10.04		$	9.36		$	8.94
Income (loss) from investment operations:
Net investment lossb		(0.03	)		(0.02	)		(0.03	)		(0.08	)		(0.08	)		(0.13	)
Net gain (loss) on investments (realized and unrealized)		1.39			0.60			0.02			(2.68	)		0.76			0.55
Total from investment operations		1.36			0.58			(0.01	)		(2.76	)		0.68			0.42
Less distributions from:
Net realized gains		—			—			—			(0.86	)		—			—
Total distributions		—			—			—			(0.86	)		—			—
Net asset value, end of period	$	8.35		$	6.99		$	6.41		$	6.42		$	10.04		$	9.36
Total Returnc		19.46	%		9.05	%		(0.16	%)		(29.37	%)		7.26	%		4.70	%
Ratios/Supplemental Data
Net assets, end of period (in thousands)	$	4,461		$	3,296		$	3,742		$	5,501		$	11,245		$	12,777
Ratios to average net assets:
Net investment loss		(0.88	%)		(0.27	%)		(0.66	%)		(0.92	%)		(0.86	%)		(1.44	%)
Total expensesd		2.55	%		2.48	%		2.78	%		2.46	%		2.32	%		2.52	%
Net expensese		2.10	%		2.10	%		2.10	%		2.10	%		2.15	%		2.52	%
Portfolio turnover rate		76	%		190	%		134	%		198	%		21	%		39	%

a	Unaudited figures for the period ended March 31, 2011. Percentage amounts for the period, except total return and portfolio turnover rate, have been annualized.
b	Net investment income (loss) was computed using average shares outstanding throughout the period.
c	Total return does not reflect the impact of any applicable sales charges and has not been annualized.
d	Total expense information reflects expense ratios absent expense reductions by the Investment Manager, as applicable.
e	Net expense information reflects the expense ratios after voluntary expense waivers and reimbursements and before custodian earnings credits, as applicable.

The accompanying notes are an integral part of the financial statements. THE RYDEX|SGI EQUITY FUNDS SEMI-ANNUAL REPORT | 61

	Rydex|SGI Equity Fund
PERFORMANCE SUMMARY	Small Cap Growth Fund
March 31, 2011	(Unaudited)

PERFORMANCE

$10,000 Over Ten Years

This chart assumes a $10,000 investment in A-Class shares of Small Cap Growth Fund on March 31, 2011, reflects deduction of the maximum front-end sales charge of 5.75% and assumes all dividends are reinvested.^† The chart does not reflect the deduction of taxes that a shareholder would pay on distributions or the redemption of fund shares. The Russell 2000^® Growth Index measures the performance of those Russell 2000^® companies with higher price-to-book ratios and higher forecasted growth values.

AVERAGE ANNUAL RETURNS
PERIODS ENDED 3/31/2011

	1 YEAR			5 YEAR			10 YEAR
A-Class Shares		27.82	%		-1.17	%		3.54	%
A-Class Shares with sales charge		20.47	%		-2.33	%		2.92	%
B-Class Shares		26.85	%		-1.87	%		2.91	%
B-Class Shares with CDSC		21.85	%		-2.23	%		2.91	%
C-Class Shares		26.91	%		-1.90	%		2.77	%
C-Class Shares with CDSC		25.91	%		-1.90	%		2.77	%

The performance data above represents past performance that is not predictive of future results. The investment return and principal value of an investment in the Fund will fluctuate so that an investor’s shares, when redeemed, may be worth more or less than their original cost. The figures above do not reflect deduction of the maximum front-end sales charge of 5.75% for Class A shares or the contingent deferred sales charge of 5% for Class B shares and 1% for Class C shares, as applicable, except where noted.^† The figures do not reflect the deduction of taxes that a shareholder would pay on distributions or redemption of shares. Such figures would be lower if the maximum sales charge and any applicable taxes were deducted.

Portfolio Composition by Sector
Common Stocks
Information Technology	22.4	%
Consumer Discretionary	16.9	%
Health Care	16.8	%
Industrials	16.3	%
Energy	5.7	%
Materials	5.1	%
Financials	4.2	%
Consumer Staples	1.9	%
Utilities	1.7	%
Telecommunication Services	1.1	%
Exchange Traded Funds	5.0	%
Cash & Other Assets, Less Liabilities	2.9	%
Total Net Assets	100.0	%

^† Effective 2/22/11, the A-Class maximum sales charge decreased from 5.75% to 4.75%. A 5.75% maximum sales charge is used to calculate performance for periods beginning prior to 2/22/11, and a 4.75% maximum sales charge is used to calculate performance for periods beginning on or after 2/22/11.

62 | THE RYDEX|SGI EQUITY FUNDS SEMI-ANNUAL REPORT

SCHEDULE OF INVESTMENTS (Unaudited)	Rydex|SGI Equity Fund
March 31, 2011	Small Cap Growth Fund

	Shares		Value
COMMON STOCKS† - 92.1%
Information Technology - 22.4%
Solera Holdings, Inc.		5,830	$	297,913
Alliance Data Systems Corp.*		3,120		267,977
Opnet Technologies, Inc.		6,350		247,587
Ciena Corp.*		9,000		233,640
SYNNEX Corp.*		7,130		233,365
Cadence Design Systems, Inc.*		21,720		211,770
Nuance Communications, Inc.*		10,705		209,390
SolarWinds, Inc.*		8,820		206,917
KLA-Tencor Corp.		4,200		198,954
LogMeIn, Inc.*		4,700		198,152
Rofin-Sinar Technologies, Inc.*		4,710		186,045
FLIR Systems, Inc.		5,250		181,702
VanceInfo Technologies, Inc. ADR*		5,600		175,896
Informatica Corp.*		3,190		166,614
Acme Packet, Inc.*		2,300		163,208
Newport Corp.*		8,300		147,989
Riverbed Technology, Inc.*		3,710		139,681
Harmonic, Inc.*		14,750		138,355
Sourcefire, Inc.*		4,600		126,546
Nanometrics, Inc.*		6,590		119,213
Meru Networks, Inc.*		5,280		107,237
SMART Modular Technologies WWH, Inc.*		11,700		90,909
Lattice Semiconductor Corp.*		14,600		86,140
GSI Commerce, Inc.*		2,710		79,322
Total Information Technology				4,214,522
Consumer Discretionary - 16.9%
Jarden Corp.		9,865		350,898
Tempur-Pedic International, Inc.*		5,250		265,965
Life Time Fitness, Inc.*		7,020		261,916
Penn National Gaming, Inc.*		6,525		241,816
Lamar Advertising Co. — Class A*		6,140		226,812
Gaylord Entertainment Co.*		5,990		207,733
ANN, Inc.*		6,560		190,962
Select Comfort Corp.*		12,560		151,474
Lennar Corp. — Class A		8,350		151,302
Hanesbrands, Inc.*		5,490		148,450
Gentex Corp.		4,760		143,990
Monro Muffler Brake, Inc.		4,075		134,393
Phillips-Van Heusen Corp.		1,850		120,305
Jos A. Bank Clothiers, Inc.*		2,360		120,077
California Pizza Kitchen, Inc.*		6,970		117,654
Cost Plus, Inc.*		11,240		110,377
Harman International Industries, Inc.		1,920		89,894
Vail Resorts, Inc.*		1,625		79,235
MDC Partners, Inc. — Class A		3,600		60,372
Total Consumer Discretionary				3,173,625
Health Care - 16.8%
Hologic, Inc.*		12,140		269,508
Endo Pharmaceuticals Holdings, Inc.*		6,690		255,290
Hill-Rom Holdings, Inc.		5,820		221,044
Mednax, Inc.*		3,270		217,815
Natus Medical, Inc.*		12,540		210,672
Integra LifeSciences Holdings Corp.*		4,230		200,587
Health Management Associates, Inc. — Class A*		16,620		181,158
Parexel International Corp.*		7,270		181,023
Teleflex, Inc.		2,680		155,386
Wright Medical Group, Inc.*		9,120		155,131
American Medical Systems Holdings, Inc.*		6,810		147,368
Perrigo Co.		1,850		147,112
Haemonetics Corp.*		2,155		141,239
Endologix, Inc.*		19,600		132,888
BioMarin Pharmaceutical, Inc.*		5,000		125,650
Halozyme Therapeutics, Inc.*		12,940		86,827
Obagi Medical Products, Inc.*		6,420		81,149
Human Genome Sciences, Inc.*		2,630		72,194
Angiodynamics, Inc.*		4,260		64,411
CardioNet, Inc.*		12,550		60,114
Momenta Pharmaceuticals, Inc.*		3,300		52,305
Total Health Care				3,158,871
Industrials - 16.3%
Navistar International Corp.*		5,400		374,382
Interface, Inc. — Class A		19,080		352,789
WABCO Holdings, Inc.*		5,580		343,951
IDEX Corp.		6,650		290,273
Regal-Beloit Corp.		3,740		276,124
BE Aerospace, Inc.*		7,340		260,790
Wabtec Corp.		3,150		213,665
Roper Industries, Inc.		2,260		195,400
Pall Corp.		3,240		186,656
Kansas City Southern*		2,945		160,355
Aecom Technology Corp.*		5,560		154,179
Towers Watson & Co. — Class A		2,550		141,423
Pentair, Inc.		3,290		124,329
Total Industrials				3,074,316
Energy - 5.7%
Oil States International, Inc.*		4,560		347,199
Alpha Natural Resources, Inc.*		4,890		290,319
Superior Energy Services, Inc.*		6,830		280,030
Bill Barrett Corp.*		3,820		152,456
Total Energy				1,070,004
Materials - 5.1%
Solutia, Inc.*		10,300		261,620
CF Industries Holdings, Inc.		1,300		177,827
Kaiser Aluminum Corp.		3,590		176,807
Cliffs Natural Resources, Inc.		1,760		172,973
Silgan Holdings, Inc.		4,470		170,486
Total Materials				959,713

The accompanying notes are an integral part of the financial statements. THE RYDEX|SGI EQUITY FUNDS SEMI-ANNUAL REPORT | 63

SCHEDULE OF INVESTMENTS (Unaudited) (concluded)	Rydex|SGI Equity Fund
March 31, 2011	Small Cap Growth Fund

	Shares		Value
Financials - 4.2%
Discover Financial Services		9,000	$	217,080
Commerce Bancshares, Inc.		5,061		204,667
Stifel Financial Corp.*		2,670		191,679
HCC Insurance Holdings, Inc.		5,780		180,972
Total Financials				794,398
Consumer Staples - 1.9%
Diamond Foods, Inc.		3,300		184,140
TreeHouse Foods, Inc.*		3,140		178,572
Total Consumer Staples				362,712
Utilities - 1.7%
ITC Holdings Corp.		2,270		158,673
NorthWestern Corp.		5,050		153,015
Total Utilities				311,688
Telecommunication Services - 1.1%
SBA Communications Corp. — Class A*		5,000		198,400
Total Common Stocks (Cost$12,446,840)				17,318,249
EXCHANGE TRADED FUND† - 5.0%
iShares Russell 2000 Growth Index Fund		9,850		939,099
Total Exchange Traded Fund (Cost$916,447)				939,099
Total Investments - 97.1% (Cost $13,363,287)			$	18,257,348
Cash & Other Assets, Less Liabilities - 2.9%				544,914
Total Net Assets - 100.0%			$	18,802,262

*	Non-income producing security
†	Value determined based on Level 1 inputs — See Note 10.

ADR — American Depositary Receipt.

64 | THE RYDEX|SGI EQUITY FUNDS SEMI-ANNUAL REPORT The accompanying notes are an integral part of the financial statements.

Rydex|SGI Equity Fund
Small Cap Growth Fund

STATEMENT OF ASSETS AND LIABILITIES (Unaudited)
March 31, 2011

Assets:
Investments, at value*	$	18,257,348
Total investments		18,257,348
Cash		1,477,766
Receivables:
Securities sold		256,892
Fund shares sold		27,153
Dividends		3,099
Prepaid expenses		23,464
Total assets		20,045,722
Liabilities:
Payable for:
Securities purchased		1,197,037
Fund shares redeemed		1,775
Management fees		12,385
Custodian fees		2,060
Transfer agent/maintenance fees		10,910
Distribution and service fees		5,692
Portfolio accounting fees		1,956
Professional fees		6,208
Directors’ fees		742
Legal fees		288
Pricing fees		952
Insurance		110
Direct shareholders expense		2,395
Corporate expenses		950
Total liabilities		1,243,460
Net assets	$	18,802,262
Net assets consist of:
Paid in capital	$	19,001,886
Accumulated net investment loss		(159,891	)
Accumulated net realized loss on investments		(4,933,794	)
Net unrealized appreciation in on investments		4,894,061
Net assets	$	18,802,262
A-Class:
Net assets	$	15,467,625
Capital shares outstanding		1,011,028
Net asset value per share	$	15.30
Maximum offering price per share**	$	16.06
B-Class:
Net assets	$	1,501,408
Capital shares outstanding		111,170
Net asset value per share	$	13.51
C-Class:
Net assets	$	1,833,229
Capital shares outstanding		133,180
Net asset value per share	$	13.77

*     Investments, at cost	$	13,363,287
**    Net asset value adjusted for the maximum sales charge of 4.75% of offering price, calculated NAV/(1-4.75%).

STATEMENT OF OPERATIONS (Unaudited)
For the Period Ended March 31, 2011

Investment Income:
Dividends (net of foreign withholding tax of $103)	$	36,332
Interest		24
Total investment income		36,356
Expenses:
Management fees		69,986
Transfer agent/maintenance fees		50,340
Distribution and service fees:
A-Class		16,679
B-Class		7,338
C-Class		8,282
Portfolio accounting fees		13,336
Directors’ fees*		830
Registration fees		17,314
Miscellaneous		12,142
Total expenses		196,247
Net investment loss		(159,891	)
Net Realized and Unrealized Gain (Loss):
Net realized gain (loss) on:
Investments		1,797,594
Net realized gain		1,797,594
Net change in unrealized appreciation (depreciation) on:
Investments		1,998,115
Net change in unrealized appreciation		1,998,115
Net realized and unrealized gain		3,795,709
Net increase in net assets resulting from operations	$	3,635,818

* Relates to Directors not deemed “interested persons” within the meaning of Section 2(a)(19) of the 1940 Act.

The accompanying notes are an integral part of the financial statements. THE RYDEX|SGI EQUITY FUNDS SEMI-ANNUAL REPORT | 65

	Rydex|SGI Equity Fund
STATEMENTS OF CHANGES IN NET ASSETS	Small Cap Growth Fund

	Period Ended
	March 31,			Year Ended
	2011			September 30,
	(Unaudited)			2010
Increase (Decrease) In Net Assets From Operations:
Net investment loss	$	(159,891	)	$	(246,891	)
Net realized gain on investments		1,797,594			2,427,963
Net change in unrealized appreciation (depreciation) on investments		1,998,115			(19,339	)
Net increase in net assets resulting from operations		3,635,818			2,161,733
Capital share transactions:
Proceeds from sale of shares
A-Class		4,337,186			7,166,260
B-Class		61,428			126,073
C-Class		118,169			164,394
Cost of shares redeemed
A-Class		(3,673,756	)		(7,013,788	)
B-Class		(298,891	)		(691,365	)
C-Class		(142,695	)		(397,619	)
Net increase (decrease) from capital share transactions		401,441			(646,045	)
Net increase in net assets		4,037,259			1,515,688
Net assets:
Beginning of period		14,765,003			13,249,315
End of period	$	18,802,262		$	14,765,003
Accumulated net investment loss at end of period	$	(159,891	)	$	—
Capital share activity:
Shares sold
A-Class		301,919			641,027
B-Class		4,990			12,444
C-Class		9,201			16,059
Shares redeemed
A-Class		(258,105	)		(617,198	)
B-Class		(24,545	)		(69,069	)
C-Class		(11,509	)		(38,473	)
Net increase (decrease) in shares		21,951			(55,210	)

66 | THE RYDEX|SGI EQUITY FUNDS SEMI-ANNUAL REPORT The accompanying notes are an integral part of the financial statements.

	Rydex|SGI Equity Fund
FINANCIAL HIGHLIGHTS	Small Cap Growth Fund

This table is presented to show selected data for a share outstanding throughout each period, and to assist shareholders in evaluating a Fund’s performance for the periods presented.

	Period Ended			Year Ended			Year Ended			Year Ended			Year Ended			Year Ended
	March 31,			September 30,			September 30,			September 30,			September 30,			September 30,
A-Class	2011a			2010			2009			2008			2007			2006
Per Share Data
Net asset value, beginning of period	$	12.25		$	10.56		$	11.43		$	18.53		$	15.63		$	15.76
Income (loss) from investment operations:
Net investment lossb		(0.12	)		(0.18	)		(0.18	)		(0.24	)		(0.23	)		(0.23	)
Net gain (loss) on investments (realized and unrealized)		3.17			1.87			(0.63	)		(5.55	)		3.13			0.10
Total from investment operations		3.05			1.69			(0.81	)		(5.79	)		2.90			(0.13	)
Less distributions from:
Net realized gains		—			—			(0.06	)		(1.31	)		—			—
Total distributions		—			—			(0.06	)		(1.31	)		—			—
Net asset value, end of period	$	15.30		$	12.25		$	10.56		$	11.43		$	18.53		$	15.63
Total Returnc		24.90	%		16.00	%		(6.89	%)		(33.25	%)		18.55	%		(0.82	%)
Ratios/Supplemental Data
Net assets, end of period (in thousands)	$	15,468		$	11,847		$	9,966		$	12,414		$	45,430		$	45,451
Ratios to average net assets:
Net investment loss		(1.80	%)		(1.55	%)		(2.04	%)		(1.59	%)		(1.32	%)		(1.46	%)
Total expensesd		2.24	%		2.26	%		2.67	%		1.98	%		1.80	%		2.01	%
Net expensese		2.24	%		2.26	%		2.60	%		1.98	%		1.80	%		2.01	%
Portfolio turnover rate		50	%		112	%		200	%		169	%		145	%		136	%

	Period Ended			Year Ended			Year Ended			Year Ended			Year Ended			Year Ended
	March 31,			September 30,			September 30,			September 30,			September 30,			September 30,
B-Class	2011a			2010			2009			2008			2007			2006
Per Share Data
Net asset value, beginning of period	$	10.85		$	9.43		$	10.28		$	16.92		$	14.38		$	14.60
Income (loss) from investment operations:
Net investment lossb		(0.16	)		(0.23	)		(0.21	)		(0.32	)		(0.33	)		(0.36	)
Net gain (loss) on investments (realized and unrealized)		2.82			1.65			(0.58	)		(5.01	)		2.87			0.14
Total from investment operations		2.66			1.42			(0.79	)		(5.33	)		2.54			(0.22	)
Less distributions from:
Net realized gains		—			—			(0.06	)		(1.31	)		—			—
Total distributions		—			—			(0.06	)		(1.31	)		—			—
Net asset value, end of period	$	13.51		$	10.85		$	9.43		$	10.28		$	16.92		$	14.38
Total Returnc		24.52	%		15.06	%		(7.47	%)		(33.72	%)		17.66	%		(1.51	%)
Ratios/Supplemental Data
Net assets, end of period (in thousands)	$	1,501		$	1,419		$	1,766		$	2,675		$	5,792		$	5,919
Ratios to average net assets:
Net investment loss		(2.56	%)		(2.30	%)		(2.77	%)		(2.42	%)		(2.07	%)		(2.31	%)
Total expensesd		3.00	%		3.02	%		3.41	%		2.82	%		2.56	%		2.79	%
Net expensese		3.00	%		3.02	%		3.33	%		2.82	%		2.56	%		2.79	%
Portfolio turnover rate		50	%		112	%		200	%		169	%		145	%		136	%

The accompanying notes are an integral part of the financial statements. THE RYDEX|SGI EQUITY FUNDS SEMI-ANNUAL REPORT | 67

	Rydex|SGI Equity Fund
FINANCIAL HIGHLIGHTS (concluded)	Small Cap Growth Fund

This table is presented to show selected data for a share outstanding throughout each period, and to assist shareholders in evaluating a Fund’s performance for the periods presented.

	Period Ended			Year Ended			Year Ended			Year Ended			Year Ended			Year Ended
	March 31,			September 30,			September 30,			September 30,			September 30,			September 30,
C-Class	2011a			2010			2009			2008			2007			2006
Per Share Data
Net asset value, beginning of period	$	11.06		$	9.61		$	10.48		$	17.23		$	14.64		$	14.88
Income (loss) from investment operations:
Net investment lossb		(0.16	)		(0.24	)		(0.22	)		(0.33	)		(0.33	)		(0.35	)
Net gain (loss) on investments (realized and unrealized)		2.87			1.69			(0.59	)		(5.11	)		2.92			0.11
Total from investment operations		2.71			1.45			(0.81	)		(5.44	)		2.59			(0.24	)
Less distributions from:
Net realized gains		—			—			(0.06	)		(1.31	)		—			—
Total distributions		—			—			(0.06	)		(1.31	)		—			—
Net asset value, end of period	$	13.77		$	11.06		$	9.61		$	10.48		$	17.23		$	14.64
Total Returnc		24.50	%		15.09	%		(7.51	%)		(33.76	%)		17.69	%		(1.61	%)
Ratios/Supplemental Data
Net assets, end of period (in thousands)	$	1,833		$	1,499		$	1,518		$	2,318		$	3,964		$	4,304
Ratios to average net assets:
Net investment loss		(2.56	%)		(2.31	%)		(2.77	%)		(2.43	%)		(2.07	%)		(2.29	%)
Total expensesd		3.00	%		3.02	%		3.40	%		2.83	%		2.56	%		2.79	%
Net expensese		3.00	%		3.02	%		3.33	%		2.83	%		2.56	%		2.79	%
Portfolio turnover rate		50	%		112	%		200	%		169	%		145	%		136	%

a	Unaudited figures for the period ended March 31, 2011. Percentage amounts for the period, except total return and portfolio turnover rate, have been annualized.
b	Net investment income (loss) was computed using average shares outstanding throughout the period.
c	Total return does not reflect the impact of any applicable sales charges and has not been annualized.
d	Total expense information reflects expense ratios absent expense reductions by the Investment Manager, as applicable.
e	Net expense information reflects the expense ratios after voluntary expense waivers and reimbursements and before custodian earnings credits, as applicable.

68 | THE RYDEX|SGI EQUITY FUNDS SEMI-ANNUAL REPORT The accompanying notes are an integral part of the financial statements.

	Rydex|SGI Equity Fund
PERFORMANCE SUMMARY	Small Cap Value Fund
March 31, 2011	(Unaudited)

PERFORMANCE

$10,000 Since Inception

This chart assumes a $10,000 investment in A-Class shares of Small Cap Value Fund on July 11, 2008 (date of inception), reflects deduction of the maximum front-end sales charge of 5.75% and assumes all dividends are reinvested.^† The chart does not reflect the deduction of taxes that a shareholder would pay on distributions or the redemption of fund shares. The Russell 2000^® Value Index is an unmanaged index that measures the performance of securities of small to mid cap U.S. companies with lower price-to-book ratios and lower forecasted growth values.

AVERAGE ANNUAL RETURNS
PERIODS ENDED 3/31/2011

				SINCE
				INCEPTION
	1 YEAR			(07/11/08)
A-Class Shares		26.02	%		28.39	%
A-Class Shares with sales charge		18.79	%		25.63	%
C-Class Shares		24.98	%		27.49	%
C-Class Shares with CDSC		23.98	%		27.49	%
Institutional Class Shares		26.26	%		28.67	%

The performance data above represents past performance that is not predictive of future results. The investment return and principal value of an investment in the Fund will fluctuate so that an investor’s shares, when redeemed, may be worth more or less than their original cost. The figures above do not reflect deduction of the maximum front-end sales charge of 5.75% for Class A shares or the contingent deferred sales charge of 1% for Class C shares, as applicable, except where noted.^† The figures do not reflect the deduction of taxes that a shareholder would pay on distributions or redemption of shares. Such figures would be lower if the maximum sales charge and any applicable taxes were deducted. Fee waivers and/or reimbursements reduced expenses of the Fund and in the absence of such waivers, the performance quoted would be reduced.

Portfolio Composition by Sector
Common Stocks
Industrials	19.2	%
Energy	15.7	%
Information Technology	13.5	%
Consumer Discretionary	13.4	%
Financials	13.2	%
Materials	9.1	%
Health Care	3.5	%
Consumer Staples	3.1	%
Utilities	0.4	%
Exchange Traded Funds	3.2	%
Warrants	0.1	%
Cash & Other Assets, Less Liabilities	5.6	%
Total Net Assets	100.0	%

^† Effective 2/22/11, the A-Class maximum sales charge decreased from 5.75% to 4.75%. A 5.75% maximum sales charge is used to calculate performance for periods beginning prior to 2/22/11, and a 4.75% maximum sales charge is used to calculate performance for periods beginning on or after 2/22/11.

THE RYDEX|SGI EQUITY FUNDS SEMI-ANNUAL REPORT | 69

SCHEDULE OF INVESTMENTS (Unaudited)	Rydex|SGI Equity Fund
March 31, 2011	Small Cap Value Fund

	Shares		Value
COMMON STOCKS† - 91.1%
Industrials - 19.2%
GeoEye, Inc.*		6,690	$	278,170
Insituform Technologies, Inc. — Class A*		7,490		200,357
Force Protection, Inc.*		37,390		183,211
General Cable Corp.*,1		3,900		168,870
EnergySolutions, Inc.		27,458		163,650
Orbital Sciences Corp.*		7,746		146,554
FTI Consulting, Inc.*		3,780		144,887
Saia, Inc.*		8,090		132,595
LaBarge, Inc.*		7,470		132,219
ICF International, Inc.*		6,240		128,170
Celadon Group, Inc.*		7,392		120,046
Ameron International Corp.		1,720		120,039
Ceradyne, Inc.*		2,400		108,192
Navigant Consulting, Inc.*		10,820		108,092
Insperity, Inc.		2,665		80,963
Flow International Corp.*		14,718		64,612
Great Lakes Dredge & Dock Corp.		6,030		46,009
United Stationers, Inc.		491		34,885
Apogee Enterprises, Inc.		1,561		20,590
Total Industrials				2,382,111
Energy - 15.7%
Global Industries Ltd.*		35,972		352,166
Tesco Corp.*		14,410		316,300
Gulfport Energy Corp.*		6,885		248,893
Southern Union Co.1		8,410		240,694
Parker Drilling Co.*		33,520		231,623
Kodiak Oil & Gas Corp.*,1		26,530		177,751
Goodrich Petroleum Corp.*		5,514		122,521
Petroleum Development Corp.*		2,520		120,985
USEC, Inc.*		22,520		99,088
Resolute Energy Corp.*		1,884		34,176
Total Energy				1,944,197
Information Technology - 13.5%
Standard Microsystems Corp.*		9,713		239,522
IXYS Corp.*		16,810		225,758
Maxwell Technologies, Inc.*		12,470		215,357
Insight Enterprises, Inc.*		10,090		171,833
Global Cash Access Holdings, Inc.*		45,160		147,673
Power-One, Inc.*,1		15,363		134,426
Harmonic, Inc.*		14,170		132,915
Satyam Computer Services Ltd. ADR*		34,208		103,308
Euronet Worldwide, Inc.*		4,960		95,877
Perficient, Inc.*		6,110		73,381
Methode Electronics, Inc.		5,924		71,562
Symmetricom, Inc.*		10,160		62,281
Total Information Technology				1,673,893
Consumer Discretionary - 13.4%
Cabela’s, Inc.*		10,699		267,582
Chico’s FAS, Inc.		16,280		242,572
International Speedway Corp. — Class A		6,360		189,528
DeVry, Inc.		3,150		173,471
Smith & Wesson Holding Corp.*		44,430		157,727
Maidenform Brands, Inc.*		5,050		144,278
Penn National Gaming, Inc.*		3,520		130,451
Brown Shoe Company, Inc.		9,584		117,116
MDC Partners, Inc. — Class A		6,339		106,305
Scholastic Corp.		2,870		77,605
Hanesbrands, Inc.*		960		25,958
Fred’s, Inc. — Class A		1,900		25,308
Total Consumer Discretionary				1,657,901
Financials - 13.2%
Hanover Insurance Group, Inc.		6,190		280,098
Horace Mann Educators Corp.		12,840		215,712
Transatlantic Holdings, Inc.		3,675		178,862
Reinsurance Group of America, Inc. — Class A		2,340		146,905
1st Source Corp.		6,420		128,657
Fifth Street Finance Corp.		8,140		108,669
Old National Bancorp		7,499		80,389
Solar Senior Capital, Ltd.*		4,216		78,544
Lexington Realty Trust		8,370		78,260
Heritage Financial Corp.*		5,390		76,376
Employers Holdings, Inc.		3,200		66,112
Bancfirst Corp.		1,394		59,496
First Marblehead Corp.*		24,251		53,352
First Horizon National Corp.		4,266		47,821
Redwood Trust, Inc.		2,430		37,787
Total Financials				1,637,040
Materials - 9.1%
Louisiana-Pacific Corp.*		26,340		276,570
LSB Industries, Inc.*		5,450		216,038
Myers Industries, Inc.		18,410		182,811
Zoltek Companies, Inc.*		11,440		153,639
A. Schulman, Inc.		5,130		126,814
Landec Corp.*		16,883		109,740
HB Fuller Co.		3,027		65,020
Total Materials				1,130,632
Health Care - 3.5%
ICU Medical, Inc.*		4,210		184,314
RehabCare Group, Inc.*		4,160		153,379
Mednax, Inc.*		1,540		102,580
Total Health Care				440,273
Consumer Staples - 3.1%
Spartan Stores, Inc.		7,370		109,002
Smart Balance, Inc.*		21,240		97,492
Orchids Paper Products Co.		7,864		95,154
Winn-Dixie Stores, Inc.*		11,870		84,752
Total Consumer Staples				386,400

70 | THE RYDEX|SGI EQUITY FUNDS SEMI-ANNUAL REPORT The accompanying notes are an integral part of the financial statements.

SCHEDULE OF INVESTMENTS (Unaudited) (concluded)	Rydex|SGI Equity Fund
March 31, 2011	Small Cap Value Fund

	Shares		Value
Utilities - 0.4%
MDU Resources Group, Inc.		2,156	$	49,523
Total Common Stocks (Cost $9,226,215)				11,301,970
CONVERTIBLE PREFERRED STOCK†† - 0.0%
Thermoenergy Corp.*,2,3		6,250		4,015
Total Convertible Preferred Stock (Cost $5,968)				4,015
WARRANT†† - 0.1%
Industrials - 0.1%
Thermoenergy Corp. $0.30, 07/31/152		100,000		5,160
Total Warrant (Cost $9,032)				5,160
EXCHANGE TRADED FUNDS† - 3.2%
iShares Russell 2000 Value Index Fund		2,900		218,602
iShares S&P SmallCap 600 Value Index Fund		2,300		175,306
Total Exchange Traded Funds (Cost $381,066)				393,908
Total Long Investments - 94.4% (Cost $9,622,281)			$	11,705,053

	Contracts
OPTIONS WRITTEN† - (0.1)%
Call Options on:
Power-One, Inc. Expiring April 2011 with strike price of $13.00		26		(130	)
General Cable Corp. Expiring May 2011 with strike price of $50.00		10		(250	)
Kodiak Oil & Gas Corp. Expiring June 2011 with strike price of $7.50		76		(4,180	)
Total Options Written (Premiums received $9,100)				(4,560	)
Cash & Other Assets, Less Liabilities - 5.7%				703,004
Total Net Assets - 100.0%			$	12,403,497

*	Non-income producing security
†	Value determined based on Level 1 inputs — See Note 10.
††	Value determined based on Level 2 inputs — See Note 10.
1	All or a portion of this security is pledged as collateral for open written option contracts at March 31, 2011.
2	All or a portion of this security was fair valued by the Valuation Committee at March 31, 2011. The total market value of fair valued securities amounts to $9,175 (cost $15,000), or 0.1% of total net assets.
3	PIPE (Private Investment in Public Equity) — Stock issued by a company in the secondary market as a means of raising capital more quickly and less expensively than through registration of a secondary public offering.
ADR — American Depositary Receipt.

The accompanying notes are an integral part of the financial statements. THE RYDEX|SGI EQUITY FUNDS SEMI-ANNUAL REPORT | 71

Rydex|SGI Equity Fund
Small Cap Value Fund

STATEMENT OF ASSETS AND LIABILITIES (Unaudited)
March 31, 2011

Assets:
Investments, at value*	$	11,705,053
Total investments		11,705,053
Cash		670,859
Receivables:
Securities sold		85,604
Fund shares sold		23,225
Dividends		7,149
Prepaid expenses		26,983
Total assets		12,518,873
Liabilities:
Written options, at value**		4,560
Payable for:
Securities purchased		67,225
Fund shares redeemed		11,067
Management fees		9,905
Custodian fees		1,684
Transfer agent/maintenance fees		2,653
Distribution and service fees		3,811
Portfolio accounting fees		1,856
Professional fees		4,948
Directors’ fees		506
Legal fees		891
Pricing fees		695
Direct shareholders expense		3,521
Corporate expenses		2,054
Total liabilities		115,376
Net assets	$	12,403,497
Net assets consist of:
Paid in capital		10,473,890
Accumulated net investment loss		(34,480	)
Accumulated net realized loss on investments		(123,225	)
Net unrealized appreciation in on investments		2,087,312
Net assets		12,403,497
A-Class:
Net assets	$	8,809,826
Capital shares outstanding		564,101
Net asset value per share	$	15.62
Maximum offering price per share***	$	16.40
C-Class:
Net assets	$	2,671,082
Capital shares outstanding		174,793
Net asset value per share	$	15.28
Institutional Class:
Net assets	$	922,589
Capital shares outstanding		58,636
Net asset value per share	$	15.73

*       Investments, at cost	$	9,622,281
**      Premiums received for written options	$	9,100
***    Net asset value adjusted for the maximum sales charge of 4.75% of offering price, calculated NAV/(1-4.75%).

STATEMENT OF OPERATIONS (Unaudited)
For the Period Ended March 31, 2011

Investment Income:
Dividends (net of foreign withholding tax of $256)	$	36,690
Interest		19
Total investment income		36,709
Expenses:
Management fees		50,106
Transfer agent/maintenance fees		14,062
Distribution and service fees:
A-Class		9,176
C-Class		9,402
Portfolio accounting fees		13,760
Directors’ fees*		541
Registration fees		16,280
Miscellaneous		14,647
Total expenses		127,974
Expenses waived by Advisor		(56,785	)
Net expenses		71,189
Net investment loss		(34,480	)
Net Realized and Unrealized Gain (Loss):
Net realized gain (loss) on:
Investments		448,510
Options written		2,807
Net realized gain		451,317
Net change in unrealized appreciation (depreciation) on:
Investments		1,739,424
Options written		3,914
Net change in unrealized appreciation		1,743,338
Net realized and unrealized gain		2,194,655
Net Increase in net assets resulting from operations	$	2,160,175

* Relates to Trustees not deemed “interested persons” within the meaning of Section 2(a)(19) of the 1940 Act.

72 | THE RYDEX|SGI EQUITY FUNDS SEMI-ANNUAL REPORT The accompanying notes are an integral part of the financial statements.

	Rydex|SGI Equity Fund
STATEMENTS OF CHANGES IN NET ASSETS	Small Cap Value Fund

	Period Ended
	March 31,			Year Ended
	2011			September 30,
	(Unaudited)			2010
Increase (Decrease) In Net Assets From Operations:
Net investment loss	$	(34,480	)	$	(32,326	)
Net realized gain on investments		451,317			720,272
Net change in unrealized appreciation (depreciation) on investments		1,743,338			(376,988	)
Net increase in net assets resulting from operations		2,160,175			310,958
Distributions to shareholders from:
Net realized gains
A-Class		(891,554	)		(152,192	)
C-Class		(220,130	)		(21,874	)
Institutional Class		(91,413	)		(21,435	)
Total distributions to shareholders		(1,203,097	)		(195,501	)
Capital share transactions:
Proceeds from sale of shares
A-Class		1,945,871			12,456,244
C-Class		1,028,933			692,236
Institutional Class		166,264			157,271
Distributions reinvested
A-Class		869,510			150,268
C-Class		203,353			21,874
Institutional Class		73,422			13,598
Cost of shares redeemed
A-Class		(911,300	)		(9,619,034	)
C-Class		(94,016	)		(143,145	)
Institutional Class		(132,167	)		(131,908	)
Net increase from capital share transactions		3,149,870			3,597,404
Net increase in net assets		4,106,948			3,712,861
Net assets:
Beginning of period		8,296,549			4,583,688
End of period	$	12,403,497		$	8,296,549
Accumulated net investment loss at end of period	$	(34,480	)	$	—
Capital share activity:
Shares sold
A-Class		132,252			911,652
C-Class		70,656			51,089
Institutional Class		11,371			11,908
Shares issued from reinvestment of distributions
A-Class		61,536			11,497
C-Class		14,672			1,693
Institutional Class		5,160			1,036
Shares redeemed
A-Class		(62,219	)		(735,798	)
C-Class		(6,276	)		(11,124	)
Institutional Class		(8,776	)		(9,494	)
Net increase in shares		218,376			232,459

The accompanying notes are an integral part of the financial statements. THE RYDEX|SGI EQUITY FUNDS SEMI-ANNUAL REPORT | 73

	Rydex|SGI Equity Fund
FINANCIAL HIGHLIGHTS	Small Cap Value Fund

This table is presented to show selected data for a share outstanding throughout each period, and to assist shareholders in evaluating a Fund’s performance for the periods presented.

	Period Ended			Year Ended			Year Ended			Period Ended
	March 31,			September 30,			September 30,			September 30,
A-Class	2011		a	2010			2009			2008		a,b
Per Share Data
Net asset value, beginning of period	$	14.35		$	13.24		$	11.48		$	10.00
Income (loss) from investment operations:
Net investment lossc		(0.04	)		(0.05	)		(0.05	)		—	d
Net gain on investments (realized and unrealized)		3.30			1.54			2.44			1.48
Total from investment operations		3.26			1.49			2.39			1.48
Less distributions from:
Net realized gains		(1.99	)		(0.38	)		(0.63	)		—
Total distributions		(1.99	)		(0.38	)		(0.63	)		—
Net asset value, end of period	$	15.62		$	14.35		$	13.24		$	11.48
Total Returne		24.17	%		11.53	%		24.15	%		14.80	%
Ratios/Supplemental Data
Net assets, end of period (in thousands)	$	8,810		$	6,209		$	3,245		$	400
Ratios to average net assets:
Net investment loss		(0.57	%)		(0.34	%)		(0.46	%)		(0.19	%)
Total expensesf		2.43	%		2.45	%		4.92	%		6.10	%
Net expensesg		1.30	%		1.30	%		1.55	%		1.55	%
Portfolio turnover rate		20	%		140	%		58	%		86	%

	Period Ended			Year Ended			Year Ended			Period Ended
	March 31,			September 30,			September 30,			September 30,
C-Class	2011		a	2010			2009			2008		a,b
Per Share Data
Net asset value, beginning of period	$	14.13		$	13.11		$	11.46		$	10.00
Income (loss) from investment operations:
Net investment lossc		(0.09	)		(0.15	)		(0.11	)		(0.02	)
Net gain on investments (realized and unrealized)		3.23			1.55			2.39			1.48
Total from investment operations		3.14			1.40			2.28			1.46
Less distributions from:
Net realized gains		(1.99	)		(0.38	)		(0.63	)		—
Total distributions		(1.99	)		(0.38	)		(0.63	)		—
Net asset value, end of period	$	15.28		$	14.13		$	13.11		$	11.46
Total Returne		23.66	%		10.94	%		23.16	%		14.60	%
Ratios/Supplemental Data
Net assets, end of period (in thousands)	$	2,671		$	1,353		$	709		$	391
Ratios to average net assets:
Net investment loss		(1.31	%)		(1.09	%)		(1.15	%)		(0.94	%)
Total expensesf		3.18	%		3.22	%		6.40	%		6.88	%
Net expensesg		2.05	%		2.05	%		2.30	%		2.30	%
Portfolio turnover rate		20	%		140	%		58	%		86	%

74 | THE RYDEX|SGI EQUITY FUNDS SEMI-ANNUAL REPORT The accompanying notes are an integral part of the financial statements.

	Rydex|SGI Equity Fund
FINANCIAL HIGHLIGHTS (concluded)	Small Cap Value Fund

This table is presented to show selected data for a share outstanding throughout each period, and to assist shareholders in evaluating a Fund’s performance for the periods presented.

	Period Ended			Year Ended			Year Ended			Period Ended
	March 31,			September 30,			September 30,			September 30,
Institutional Class	2011		a	2010			2009			2008		a,b
Per Share Data
Net asset value, beginning of period	$	14.43		$	13.28		$	11.49		$	10.00
Income (loss) from investment operations:
Net investment lossc		(0.02	)		(0.01	)		(0.01	)		—	d
Net gain on investments (realized and unrealized)		3.31			1.54			2.43			1.49
Total from investment operations		3.29			1.53			2.42			1.49
Less distributions from:
Net realized gains		(1.99	)		(0.38	)		(0.63	)		—
Total distributions		(1.99	)		(0.38	)		(0.63	)		—
Net asset value, end of period	$	15.73		$	14.43		$	13.28		$	11.49
Total Returne		24.25	%		11.80	%		24.40	%		14.90	%
Ratios/Supplemental Data
Net assets, end of period (in thousands)	$	923		$	734		$	630		$	383
Ratios to average net assets:
Net investment income (loss)		(0.33	%)		(0.08	%)		(0.14	%)		0.06	%
Total expensesf		2.19	%		2.21	%		5.44	%		5.90	%
Net expensesg		1.05	%		1.05	%		1.30	%		1.30	%
Portfolio turnover rate		20	%		140	%		58	%		86	%

a	Unaudited figures for the period ended March 31, 2011. Percentage amounts for the period, except total return and portfolio turnover rate, have been annualized.
b	Since commencement of operations: July 11, 2008 — Small Cap Value Fund
c	Net investment income (loss) was computed using average shares outstanding throughout the period.
d	Net investment income is less than $0.01 per share.
e	Total return does not reflect the impact of any applicable sales charges and has not been annualized.
f	Total expense information reflects expense ratios absent expense reductions by the Investment Manager, as applicable.
g	Net expense information reflects the expense ratios after voluntary expense waivers and reimbursements and before earnings credits, as applicable.

The accompanying notes are an integral part of the financial statements. THE RYDEX|SGI EQUITY FUNDS SEMI-ANNUAL REPORT | 75

	Rydex|SGI Large Cap Value Fund
PERFORMANCE SUMMARY	Large Cap Value Fund
March 31, 2011	(Unaudited)

PERFORMANCE

$10,000 Over Ten Years

This chart assumes a $10,000 investment in A-Class shares of Large Cap Value Fund on March 31, 2011, reflects deduction of the maximum front-end sales charge of 5.75% and assumes all dividends are reinvested.^† The chart does not reflect the deduction of taxes that a shareholder would pay on distributions or the redemption of fund shares. The Russell 1000^® Value Index is an unmanaged index representing the performance of those Russell 1000^® Index companies with lower price-to-book ratios and lower forecasted growth values.

AVERAGE ANNUAL RETURNS
PERIODS ENDED 3/31/2011

	1 YEAR			5 YEAR			10 YEAR
A-Class Shares		13.71	%		2.67	%		3.67	%
A-Class Shares with sales charge		7.15	%		1.46	%		3.06	%
B-Class Shares		13.81	%		2.50	%		3.14	%
B-Class Shares with CDSC		8.81	%		2.13	%		3.14	%
C-Class Shares		12.79	%		1.76	%		2.80	%
C-Class Shares with CDSC		11.79	%		1.76	%		2.80	%

The performance data above represents past performance that is not predictive of future results. The investment return and principal value of an investment in the Fund will fluctuate so that an investor’s shares, when redeemed, may be worth more or less than their original cost. The figures above do not reflect deduction of the maximum front-end sales charge of 5.75% for Class A shares or the contingent deferred sales charge of 5% for Class B shares and 1% for Class C shares, as applicable, except where noted.^† The figures do not reflect the deduction of taxes that a shareholder would pay on distributions or redemption of shares. Such figures would be lower if the maximum sales charge and any applicable taxes were deducted. Fee waivers and/or reimbursements reduced expenses of the Fund and in the absence of such waivers, the performance quoted would be reduced.

Portfolio Composition by Sector
Common Stocks
Energy	17.7	%
Financials	17.1	%
Industrials	12.4	%
Information Technology	11.7	%
Consumer Staples	9.9	%
Health Care	9.6	%
Consumer Discretionary	7.2	%
Materials	3.9	%
Utilities	3.0	%
Telecommunication Services	1.2	%
Exchange Traded Funds	1.5	%
Cash & Other Assets, Less Liabilities	4.8	%
Total Net Assets	100.0	%

^† Effective 2/22/11, the A-Class maximum sales charge decreased from 5.75% to 4.75%. A 5.75% maximum sales charge is used to calculate performance for periods beginning prior to 2/22/11, and a 4.75% maximum sales charge is used to calculate performance for periods beginning on or after 2/22/11.

76 | THE RYDEX|SGI EQUITY FUNDS SEMI-ANNUAL REPORT

SCHEDULE OF INVESTMENTS (Unaudited)	Rydex|SGI Large Cap Value Fund
March 31, 2011	Large Cap Value Fund

	Shares		Value
COMMON STOCKS† - 93.7%
Energy - 17.7%
McDermott International, Inc.*		77,600	$	1,970,264
Chevron Corp.		17,760		1,907,957
Williams Companies, Inc.		56,000		1,746,080
Exxon Mobil Corp.		12,800		1,076,864
Halliburton Co.		18,200		907,088
ConocoPhillips		11,000		878,460
Apache Corp.		6,500		850,980
Chesapeake Energy Corp.		20,200		677,104
Total Energy				10,014,797
Financials - 17.1%
AON Corp.		37,400		1,980,704
Wells Fargo & Co.		56,952		1,805,378
U.S. Bancorp		61,332		1,621,005
Berkshire Hathaway, Inc. — Class A*		10		1,253,000
Bank of New York Mellon Corp.		39,500		1,179,865
JPMorgan Chase & Co.		22,963		1,058,594
BB&T Corp.		23,432		643,209
First Marblehead Corp.*		74,421		163,726
Total Financials				9,705,481
Industrials - 12.4%
Equifax, Inc.		61,600		2,393,160
United Technologies Corp.		16,700		1,413,655
Babcock & Wilcox Co.*		41,800		1,395,284
USG Corp.*		42,300		704,718
Parker Hannifin Corp.		6,200		587,016
FedEx Corp.		5,800		542,590
Total Industrials				7,036,423
Information Technology - 11.7%
Western Union Co.		88,600		1,840,222
TE Connectivity, Ltd.		41,450		1,443,289
Computer Sciences Corp.		28,500		1,388,805
Hewlett-Packard Co.		28,341		1,161,131
Visa, Inc. — Class A		7,400		544,788
Synopsys, Inc.*		9,800		270,970
Total Information Technology				6,649,205
Consumer Staples - 9.9%
CVS Caremark Corp.		38,600		1,324,752
Wal-Mart Stores, Inc.		24,400		1,270,020
Costco Wholesale Corp.		13,200		967,824
Bunge Ltd.		10,800		781,164
Kraft Foods, Inc. — Class A		24,700		774,592
Altria Group, Inc.		20,100		523,203
Total Consumer Staples				5,641,555
Health Care - 9.6%
Aetna, Inc.		42,400		1,587,032
Hospira, Inc.*		24,200		1,335,840
Covidien plc		20,650		1,072,561
Forest Laboratories, Inc.*		21,400		691,220
Medco Health Solutions, Inc.*		8,100		454,896
Merck & Company, Inc.		9,919		327,426
Total Health Care				5,468,975
Consumer Discretionary - 7.2%
Lowe’s Companies, Inc.		75,300		1,990,179
Time Warner, Inc.		39,800		1,420,860
Best Buy Company, Inc.		16,100		462,392
JC Penney Company, Inc.		5,900		211,869
Total Consumer Discretionary				4,085,300
Materials - 3.9%
Dow Chemical Co.		35,900		1,355,225
Bemis Company, Inc.		25,500		836,655
Total Materials				2,191,880
Utilities - 3.0%
Edison International		37,800		1,383,102
NRG Energy, Inc.*		14,300		308,022
Total Utilities				1,691,124
Telecommunication Services - 1.2%
Windstream Corp.		54,376		699,819
Total Common Stocks
(Cost $44,047,940)				53,184,559
EXCHANGE TRADED FUNDS† - 1.5%
iShares Russell 1000 Value Index Fund		6,200		425,754
iShares S&P 500 Value Index Fund		6,700		424,177
Total Exchange Traded Funds
(Cost $825,017)				849,931
Total Investments - 95.2%
(Cost $44,872,957)			$	54,034,490
Cash & Other Assets, Less Liabilities - 4.8%				2,723,527
Total Net Assets - 100.0%			$	56,758,017

*	Non-income producing security
†	Value determined based on Level 1 inputs — See Note 10.
plc — Public Limited Company.

The accompanying notes are an integral part of the financial statements. THE RYDEX|SGI EQUITY FUNDS SEMI-ANNUAL REPORT | 77

Rydex|SGI Large Cap Value Fund
Large Cap Value Fund

STATEMENT OF ASSETS AND LIABILITIES (Unaudited)
March 31, 2011

Assets:
Investments, at value*	$	54,034,490
Total investments		54,034,490
Cash		2,682,382
Receivables:
Fund shares sold		24,731
Dividends		76,396
Prepaid expenses		63,330
Total assets		56,881,329
Liabilities:
Payable for:
Fund shares redeemed		9,756
Management fees		30,952
Transfer agent/maintenance fees		12,082
Distribution and service fees		12,992
Portfolio accounting fees		4,524
Professional fees		5,747
Directors’ fees		3,430
Legal fees		204
Pricing fees		48
Direct shareholders expense		8,296
Corporate expenses		35,281
Total liabilities		123,312
Net assets	$	56,758,017
Net assets consist of:
Paid in capital	$	62,906,876
Undistributed net investment income		89,932
Accumulated net realized loss on investments		(15,400,324	)
Net unrealized appreciation in on investments		9,161,533
Net assets	$	56,758,017
A-Class:
Net assets	$	50,495,549
Capital shares outstanding1		1,624,767
Net asset value per share1	$	31.08
Maximum offering price per share**1	$	32.63
B-Class:
Net assets	$	3,400,626
Capital shares outstanding1		118,341
Net asset value per share1	$	28.74
C-Class:
Net assets	$	2,861,842
Capital shares outstanding1		97,697
Net asset value per share1	$	29.29

*      Investments, at cost	$	44,872,957
1     The shares outstanding, net asset value per share and the maximum offering price per share have been restated to reflect a       1-for-4 reverse share split effective April 8, 2011. See Note 12 in Notes to Financial Statements.
**    Net asset value adjusted for the maximum sales charge of 4.75% of offering price, calculated NAV/(1-4.75%).

STATEMENT OF OPERATIONS (Unaudited)
For the Period Ended March 31, 2011

Investment Income:
Dividends	$	427,945
Interest		311
Total investment income		428,256
Expenses:
Management fees		179,996
Transfer agent/maintenance fees		102,418
Distribution and service fees:
A-Class		61,163
C-Class		13,584
Portfolio accounting fees		26,307
Directors’ fees*		2,770
Corporate fees		32,737
Miscellaneous		58,570
Total expenses		477,545
Expenses waived by Advisor		(153,571	)
Net expenses		323,974
Net investment income		104,282
Net Realized and Unrealized Gain (Loss):
Net realized gain (loss) on:
Investments		1,934,239
Net realized gain		1,934,239
Net change in unrealized appreciation (depreciation) on:
Investments		7,903,985
Options written		(7,916	)
Net change in unrealized appreciation		7,896,069
Net realized and unrealized gain		9,830,308
Net increase in net assets resulting from operations	$	9,934,590

* Relates to Directors not deemed “interested persons” within the meaning of Section 2(a)(19) of the 1940 Act.

78 | THE RYDEX|SGI EQUITY FUNDS SEMI-ANNUAL REPORT The accompanying notes are an integral part of the financial statements.

	Rydex|SGI Large Cap Value Fund
STATEMENTS OF CHANGES IN NET ASSETS	Large Cap Value Fund

	Period Ended
	March 31,			Year Ended
	2011			September 30,
	(Unaudited)			2010
Increase (Decrease) In Net Assets From Operations:
Net investment income	$	104,282		$	222,061
Net realized gain (loss) on investments		1,934,239			(587,262	)
Net change in unrealized appreciation (depreciation) on investments		7,896,069			3,655,422
Net increase in net assets resulting from operations		9,934,590			3,290,221
Distributions to shareholders from:
Net investment income
A-Class		(200,254	)		(355,258	)
B-Class		(26,785	)		(50,199	)
Total distributions to shareholders		(227,039	)		(405,457	)
Capital share transactions:
Proceeds from sale of shares
A-Class		5,985,598			23,964,177
B-Class		140,807			1,414,615
C-Class		422,829			289,639
Distributions reinvested
A-Class		192,036			337,049
B-Class		26,436			49,907
Cost of shares redeemed
A-Class		(11,974,232	)		(17,125,261	)
B-Class		(1,559,582	)		(2,349,156	)
C-Class		(526,635	)		(1,060,910	)
Net increase (decrease) from capital share transactions		(7,292,743	)		5,520,060
Net increase in net assets		2,414,808			8,404,824
Net assets:
Beginning of period		54,343,209			45,938,385
End of period	$	56,758,017		$	54,343,209
Undistributed net investment income at end of period	$	89,932		$	212,689
Capital share activity:1
Shares sold
A-Class		204,855			948,424
B-Class		5,121			59,996
C-Class		15,466			11,785
Shares issued from reinvestment of distributions
A-Class		6,733			13,228
B-Class		1,003			2,118
Shares redeemed
A-Class		(415,982	)		(658,590	)
B-Class		(58,851	)		(98,810	)
C-Class		(19,156	)		(43,681	)
Net increase (decrease) in shares		(260,811	)		234,470

¹ The share activity has been restated to reflect a 1-for-4 reverse share split effective April 8, 2011. See Note 12 in Notes to Financial Statements.

The accompanying notes are an integral part of the financial statements. THE RYDEX|SGI EQUITY FUNDS SEMI-ANNUAL REPORT | 79

	Rydex|SGI Large Cap Value Fund
FINANCIAL HIGHLIGHTS	Large Cap Value Fund

This table is presented to show selected data for a share outstanding throughout each period, and to assist shareholders in evaluating a Fund’s performance for the periods presented.

	Period Ended			Year Ended			Year Ended			Year Ended			Year Ended			Year Ended
	March 31,			September 30,			September 30,			September 30,			September 30,			September 30,
A-Class	2011		a,h	2010		h	2009		h	2008		h	2007		h	2006		h
Per Share Data
Net asset value, beginning of period	$	26.08		$	24.92		$	26.88		$	36.72		$	30.60		$	27.12
Income (loss) from investment operations:
Net investment incomeb		0.04			0.12			0.20			0.20			0.16			0.04
Net gain (loss) on investments (realized and unrealized)		5.08			1.24			(1.80	)		(8.56	)		5.96			3.60
Total from investment operations		5.12			1.36			(1.60	)		(8.36	)		6.12			3.64
Less distributions from:
Net investment income		(0.12	)		(0.20	)		(0.20	)		(0.16	)		—			(0.16	)
Net realized gains		—			—			(0.16	)		(1.32	)		—			—
Total distributions		(0.12	)		(0.20	)		(0.36	)		(1.48	)		—			(0.16	)
Net asset value, end of period	$	31.08		$	26.08		$	24.92		$	26.88		$	36.72		$	30.60
Total Returnc		19.64	%		5.46	%		(5.59	%)		(23.45	%)		20.04	%		13.45	%
Ratios/Supplemental Data
Net assets, end of period (in thousands)	$	50,496		$	47,718		$	38,008		$	66,902		$	79,998		$	64,786
Ratios to average net assets:
Net investment income		0.40	%		0.46	%		0.88	%		0.68	%		0.51	%		0.17	%
Total expensesd		1.70	%		1.59	%		1.70	%		1.36	%		1.35	%		1.49	%
Net expensese		1.15	%		1.18	%		1.25	%		1.25	%		1.27	%		1.49	%
Portfolio turnover rate		8	%		29	%		25	%		48	%		25	%		54	%

	Period Ended			Year Ended			Year Ended			Year Ended			Year Ended			Year Ended
	March 31,			September 30,			September 30,			September 30,			September 30,			September 30,
B-Class	2011		a,g,h	2010		g,h	2009		g,h	2008		g,h	2007		g,h	2006		g,h
Per Share Data
Net asset value, beginning of period	$	24.16		$	23.12		$	25.16		$	34.32		$	28.72		$	25.52
Income (loss) from investment operations:
Net investment income (loss)b		0.08			0.16			0.24			0.28			(0.04	)		(0.16	)
Net gain (loss) on investments (realized and unrealized)		4.66			1.16			(1.84	)		(8.08	)		5.64			3.36
Total from investment operations		4.74			1.32			(1.60	)		(7.80	)		5.60			3.20
Less distributions from:
Net investment income		(0.16	)		(0.28	)		(0.28	)		(0.04	)		—			—
Net realized gains		—			—			(0.16	)		(1.32	)		—			—
Total distributions		(0.16	)		(0.28	)		(0.44	)		(1.36	)		—			—
Net asset value, end of period	$	28.74		$	24.16		$	23.12		$	25.16		$	34.32		$	28.72
Total Returnc		19.65	%		5.78	%		(5.91	%)		(23.39	%)		19.50	%		12.54	%
Ratios/Supplemental Data
Net assets, end of period (in thousands)	$	3,401		$	4,132		$	4,802		$	8,097		$	13,784		$	12,761
Ratios to average net assets:
Net investment income (loss)		0.62	%		0.68	%		1.16	%		0.93	%		(0.08	%)		(0.58	%)
Total expensesd		1.46	%		1.33	%		1.47	%		1.11	%		1.92	%		2.26	%
Net expensese		0.90	%		0.94	%		1.00	%		1.00	%		1.85	%		2.26	%
Portfolio turnover rate		8	%		29	%		25	%		48	%		25	%		54	%

80 | THE RYDEX|SGI EQUITY FUNDS SEMI-ANNUAL REPORT The accompanying notes are an integral part of the financial statements.

	Rydex|SGI Large Cap Value Fund
FINANCIAL HIGHLIGHTS (concluded)	Large Cap Value Fund

This table is presented to show selected data for a share outstanding throughout each period, and to assist shareholders in evaluating a Fund’s performance for the periods presented.

	Period Ended			Year Ended			Year Ended			Year Ended			Year Ended			Year Ended
	March 31,			September 30,			September 30,			September 30,			September 30,			September 30,
C-Class	2011		a,h	2010		h	2009		h	2008		h	2007		h	2006		h
Per Share Data
Net asset value, beginning of period	$	24.60		$	23.48		$	25.40		$	34.88		$	29.24		$	25.96
Income (loss) from investment operations:
Net investment income (loss)b		(0.04	)		(0.08	)		0.04			—	f		(0.08	)		(0.16	)
Net gain (loss) on investments (realized and unrealized)		4.73			1.20			(1.80	)		(8.16	)		5.72			3.44
Total from investment operations		4.69			1.12			(1.76	)		(8.16	)		5.64			3.28
Less distributions from:
Net realized gains		—			—			(0.16	)		(1.32	)		—			—
Total distributions		—			—			(0.16	)		(1.32	)		—			—
Net asset value, end of period	$	29.29		$	24.60		$	23.48		$	25.40		$	34.88		$	29.24
Total Returnc		19.02	%		4.77	%		(6.80	%)		(24.09	%)		19.29	%		12.63	%
Ratios/Supplemental Data
Net assets, end of period (in thousands)	$	2,862		$	2,493		$	3,128		$	4,410		$	5,717		$	3,536
Ratios to average net assets:
Net investment income (loss)		(0.35	%)		(0.31	%)		0.14	%		(0.07	%)		(0.23	%)		(0.60	%)
Total expensesd		2.46	%		2.33	%		2.46	%		2.11	%		2.10	%		2.25	%
Net expensese		1.90	%		1.94	%		2.00	%		2.00	%		2.02	%		2.25	%
Portfolio turnover rate		8	%		29	%		25	%		48	%		25	%		54	%

a	Unaudited figures for the period ended March 31, 2011. Percentage amounts for the period, except total return and portfolio turnover rate, have been annualized.
b	Net investment income (loss) was computed using average shares outstanding throughout the period.
c	Total return does not reflect the impact of any applicable sales charges and has not been annualized.
d	Total expense information reflects expense ratios absent expense reductions by the Investment Manager, as applicable.
e	Net expense information reflects the expense ratios after voluntary expense waivers, and reimbursements and before custodian earnings credits, as applicable.
f	Net investment income is less than $0.01 per share.
g	Effective August 1, 2007, B-Class shares ceased charging 12b-1 fees in accordance with FINRA sales cap regulations. Per share information reflects this change. This fee will be reinstated when sales exceed the sales cap limit.
h	Per share amounts for periods ended September 30, 2006-March 31, 2011 have been restated to reflect 1:4 reverse share split effective April 8, 2011.

The accompanying notes are an integral part of the financial statements. THE RYDEX|SGI EQUITY FUNDS SEMI-ANNUAL REPORT | 81

	Rydex|SGI Large Cap Value Fund
PERFORMANCE SUMMARY	Large Cap Value Institutional Fund
March 31, 2011	(Unaudited)

PERFORMANCE

$10,000 Since Inception

This chart assumes a $10,000 investment in shares of Large Cap Value Institutional Fund on July 11, 2008 (date of inception), and assumes all dividends are reinvested. The chart does not reflect the deduction of taxes that a shareholder would pay on distributions or the redemption of fund shares. The Russell 1000^® Value Index is an unmanaged index representing the performance of those Russell 1000^® Index companies with lower price-to-book ratios and lower forecasted growth values.

AVERAGE ANNUAL RETURNS
PERIODS ENDED 3/31/2011

				SINCE
				INCEPTION
	1 YEAR			(07/11/08)
Large Cap Value Institutional Fund		15.63	%		5.29	%

The performance data above represents past performance that is not predictive of future results. The investment return and principal value of an investment in the Fund will fluctuate so that an investor’s shares, when redeemed, may be worth more or less than their original cost. The figures do not reflect the deduction of taxes that a shareholder would pay on distributions or redemption of shares. Such figures would be lower if any applicable taxes were deducted. Fee waivers and/or reimbursements reduced expenses of the Fund and in the absence of such waivers, the performance quoted would be reduced.

Portfolio Composition by Sector
Common Stocks
Energy	17.4	%
Financials	15.4	%
Industrials	11.4	%
Information Technology	11.3	%
Consumer Staples	10.0	%
Health Care	8.9	%
Consumer Discretionary	7.1	%
Materials	3.9	%
Utilities	2.8	%
Telecommunication Services	1.2	%
Exchange Traded Funds	4.0	%
Cash & Other Assets, Less Liabilities	6.6	%
Total Net Assets	100.0	%

82 | THE RYDEX|SGI EQUITY FUNDS SEMI-ANNUAL REPORT

SCHEDULE OF INVESTMENTS(Unaudited)	Rydex|SGI Large Cap Value Fund
March 31, 2011	Large Cap Value Institutional Fund

	Shares		Value
COMMON STOCKS† - 89.4%
Energy - 17.4%
Chevron Corp.		1,190	$	127,842
McDermott International, Inc.*		4,070		103,337
Williams Companies, Inc.		3,090		96,346
Exxon Mobil Corp.		720		60,574
Halliburton Co.		1,060		52,830
ConocoPhillips		660		52,708
Apache Corp.		400		52,368
Chesapeake Energy Corp.		1,100		36,872
Total Energy				582,877
Financials - 15.4%
AON Corp.		2,070		109,627
Wells Fargo & Co.		3,043		96,463
U.S. Bancorp		3,041		80,374
Bank of New York Mellon Corp.		2,300		68,701
JPMorgan Chase & Co.		1,376		63,434
Berkshire Hathaway, Inc. — Class B*		700		58,541
BB&T Corp.		1,251		34,340
First Marblehead Corp.*		3,412		7,506
Total Financials				518,986
Industrials - 11.4%
Equifax, Inc.		3,620		140,637
United Technologies Corp.		930		78,725
Babcock & Wilcox Co.*		2,035		67,928
USG Corp.*		2,190		36,485
Parker Hannifin Corp.		340		32,191
FedEx Corp.		300		28,065
Total Industrials				384,031
Information Technology - 11.3%
Western Union Co.		5,040		104,681
TE Connectivity, Ltd.		2,410		83,916
Computer Sciences Corp.		1,600		77,968
Hewlett-Packard Co.		1,645		67,396
Visa, Inc. — Class A		400		29,448
Synopsys, Inc.*		600		16,590
Total Information Technology				379,999
Consumer Staples - 10.0%
CVS Caremark Corp.		2,160		74,131
Wal-Mart Stores, Inc.		1,360		70,788
Kraft Foods, Inc. — Class A		2,150		67,424
Costco Wholesale Corp.		740		54,257
Bunge Ltd.		545		39,420
Altria Group, Inc.		1,100		28,633
Total Consumer Staples				334,653
Health Care - 8.9%
Aetna, Inc.		2,420		90,580
Hospira, Inc.*		1,360		75,072
Covidien plc		1,350		70,119
Forest Laboratories, Inc.*		1,100		35,530
Medco Health Solutions, Inc.*		480		26,957
Total Health Care				298,258
Consumer Discretionary - 7.1%
Lowe’s Companies, Inc.		4,630		122,371
Time Warner, Inc.		2,240		79,968
Best Buy Company, Inc.		800		22,976
JC Penney Company, Inc.		330		11,850
Total Consumer Discretionary				237,165
Materials - 3.9%
Dow Chemical Co.		1,950		73,612
Bemis Company, Inc.		1,750		57,418
Total Materials				131,030
Utilities - 2.8%
Edison International		2,130		77,937
NRG Energy, Inc.*		800		17,232
Total Utilities				95,169
Telecommunication Services - 1.2%
Windstream Corp.		3,130		40,283
Total Common Stocks (Cost $2,383,769)				3,002,451
EXCHANGE TRADED FUNDS† - 4.0%
iShares Russell 1000 Value Index Fund		980		67,296
iShares S&P 500 Value Index Fund		1,060		67,109
Total Exchange Traded Funds (Cost $123,362)				134,405
Total Investments - 93.4% (Cost $2,507,131)			$	3,136,856
Cash & Other Assets, Less Liabilities - 6.6%				222,153
Total Net Assets - 100.0%			$	3,359,009

*	Non-income producing security
†	Value determined based on Level 1 inputs — See Note 10.
plc — Public Limited Company

The accompanying notes are an integral part of the financial statements. THE RYDEX|SGI EQUITY FUNDS SEMI-ANNUAL REPORT | 83

Rydex|SGI Large Cap Value Fund
Large Cap Value Institutional Fund

STATEMENT OF ASSETS AND LIABILITIES (Unaudited)

March 31, 2011

Assets:
Investments, at value*	$	3,136,856
Total investments		3,136,856
Cash		234,949
Receivables:
Dividends		4,245
Prepaid expenses		16,952
Total assets		3,393,002
Liabilities:
Payable for:
Securities purchased		8,223
Management fees		1,790
Custodian fees		483
Transfer agent/maintenance fees		1,329
Portfolio accounting fees		1,702
Professional fees		7,478
Directors’ fees		161
Legal fees		72
Pricing fees		434
Direct shareholders expense		9,068
Corporate expenses		3,253
Total liabilities		33,993
Net assets	$	3,359,009
Net assets consist of:
Paid in capital	$	3,013,468
Undistributed net investment income		3,591
Accumulated net realized loss on investments		(287,775	)
Net unrealized appreciation in on investments		629,725
Net assets	$	3,359,009
Net assets	$	3,359,009
Capital shares outstanding		298,679
Net asset value per share	$	11.25

* Investments, at cost $ 2,507,131

STATEMENT OF OPERATIONS (Unaudited)

For the Period Ended March 31, 2011

Investment Income:
Dividends	$	24,095
Interest		6
Total investment income		24,101
Expenses:
Management fees		9,796
Transfer agent/maintenance fees		9,530
Portfolio accounting fees		13,987
Directors’ fees*		164
Registration fees		8,106
Professional fees		5,014
Corporate fees		3,360
Miscellaneous		5,064
Total expenses		55,021
Expenses waived by Advisor		(40,554	)
Net expenses		14,467
Net investment income		9,634
Net Realized and Unrealized Gain (Loss):
Net realized gain (loss) on:
Investments		79,286
Net realized gain		79,286
Net change in unrealized appreciation (depreciation) on:
Investments		458,975
Options written		(528	)
Net change in unrealized appreciation		458,447
Net realized and unrealized gain		537,733
Net increase in net assets resulting from operations	$	547,367

* Relates to Directors not deemed “interested persons” within the meaning of Section 2(a)(19) of the 1940 Act.

84 | THE RYDEX|SGI EQUITY FUNDS SEMI-ANNUAL REPORT The accompanying notes are an integral part of the financial statements.

	Rydex|SGI Large Cap Value Fund
STATEMENTS OF CHANGES IN NET ASSETS	Large Cap Value Institutional Fund

	Period Ended
	March 31,			Year Ended
	2011			September 30,
	(Unaudited)			2010
Increase (Decrease) In Net Assets From Operations:
Net investment income	$	9,634		$	17,628
Net realized gain (loss) on investments		79,286			(43,818	)
Net change in unrealized appreciation (depreciation) on investments		458,447			210,659
Net increase in net assets resulting from operations		547,367			184,469
Distributions to shareholders from:
Net investment income		(21,441	)		(23,939	)
Total distributions to shareholders		(21,441	)		(23,939	)
Capital share transactions:
Proceeds from sale of shares		310,171			740,266
Distributions reinvested		21,441			23,939
Cost of shares redeemed		(329,479	)		(811,428	)
Net increase (decrease) from capital share transactions		2,133			(47,223	)
Net increase in net assets		528,059			113,307
Net assets:
Beginning of period		2,830,950			2,717,643
End of period	$	3,359,009		$	2,830,950
Undistributed net investment income at end of period	$	3,591		$	15,398
Capital share activity:
Shares sold		28,837			79,452
Shares issued from reinvestment of distributions		2,080			2,631
Shares redeemed		(32,311	)		(87,551	)
Net decrease in shares		(1,394	)		(5,468	)

The accompanying notes are an integral part of the financial statements.
THE RYDEX|SGI EQUITY FUNDS SEMI-ANNUAL REPORT | 85

	Rydex|SGI Large Cap Value Fund
FINANCIAL HIGHLIGHTS	Large Cap Value Institutional Fund

This table is presented to show selected data for a share outstanding throughout each period, and to assist shareholders in evaluating a Fund’s performance for the periods presented.

	Period Ended			Year Ended			Year Ended			Period Ended
	March 31,			September 30,			September 30,			September 30,
	2011		a	2010			2009			2008		a,b
Per Share Data
Net asset value, beginning of period	$	9.43		$	8.89		$	9.61		$	10.00
Income (loss) from investment operations:
Net investment incomec		0.03			0.06			0.09			0.03
Net gain (loss) on investments (realized and unrealized)		1.87			0.56			(0.76	)		(0.42	)
Total from investment operations		1.90			0.62			(0.67	)		(0.39	)
Less distributions from:
Net investment income		(0.08	)		(0.08	)		(0.05	)		—
Total distributions		(0.08	)		(0.08	)		(0.05	)		—
Net asset value, end of period	$	11.25		$	9.43		$	8.89		$	9.61
Total Returnd		20.17	%		7.00	%		(6.89	%)		(3.90	%)
Ratios/Supplemental Data
Net assets, end of period (in thousands)	$	3,359		$	2,831		$	2,718		$	2,878
Ratios to average net assets:
Net investment income		0.64	%		0.63	%		1.22	%		1.17	%
Total expensese		3.65	%		3.18	%		2.37	%		2.33	%
Net expensesf		0.96	%		0.97	%		0.98	%		0.98	%
Portfolio turnover rate		12	%		26	%		45	%		35	%

a	Unaudited figures for the period ended March 31, 2011. Percentage amounts for the period, except total return and portfolio turnover rate, have been annualized.
b	Since commencement of operations: July 11, 2008 — Large Cap Value Institutional Fund.
c	Net investment income (loss) was computed using average shares outstanding throughout the period.
d	Total return does not reflect the impact of any applicable sales charges and has not been annualized.
e	Total expense information reflects the expense ratios absent expense reductions by the Investment Manager, as applicable.
f	Net expense information reflects the expense ratios after voluntary expense waivers, and reimbursements and before custodian earnings credits, as applicable.

86 | THE RYDEX|SGI EQUITY FUNDS SEMI-ANNUAL REPORT
The accompanying notes are an integral part of the financial statements.

	Rydex|SGI
PERFORMANCE SUMMARY	Mid Cap Growth Fund
March 31, 2011	(Unaudited)

PERFORMANCE

$10,000 Over Ten Years

This chart assumes a $10,000 investment in A-Class shares of Mid Cap Growth Fund on March 31, 2011, reflects deduction of the maximum front-end sales charge of 5.75% and assumes all dividends are reinvested.^† The chart does not reflect the deduction of taxes that a shareholder would pay on distributions of the redemption of fund shares. The Russell MidCap^® Growth Index is an unmanaged capitalization-weighted index that is designed to measure the performance of the 800 smallest companies in the Russell 1000^® Index with higher price-to-book ratios and higher forecasted growth values.

AVERAGE ANNUAL RETURNS
PERIODS ENDED 3/31/2011

	1 YEAR			5 YEAR			10 YEAR
A-Class Shares		19.62	%		-1.75	%		3.50	%
A-Class Shares with sales charge		12.81	%		-2.90	%		2.88	%
B-Class Shares		18.61	%		-2.51	%		2.87	%
B-Class Shares with CDSC		13.61	%		-2.76	%		2.87	%
C-Class Shares		18.86	%		-2.50	%		2.73	%
C-Class Shares with CDSC		17.86	%		-2.50	%		2.73	%

The performance data above represents past performance that is not predictive of future results. The investment return and principal value of an investment in the Fund will fluctuate so that an investor’s shares, when redeemed, may be worth more or less than their original cost. The figures above do not reflect deduction of the maximum front-end sales charge of 5.75% for Class A shares or the contingent deferred sales charge of 5% for Class B shares and 1% for Class C shares, as applicable, except where noted.^† The figures do not reflect the deduction of taxes that a shareholder would pay on distributions or redemption of shares. Such figures would be lower if the maximum sales charge and any applicable taxes were deducted.

Portfolio Composition by Sector
Common Stocks
Information Technology	21.4	%
Consumer Discretionary	20.5	%
Industrials	18.3	%
Health Care	11.7	%
Energy	6.5	%
Materials	6.4	%
Financials	6.1	%
Telecommunication Services	1.9	%
Exchange Traded Funds	3.7	%
Cash & Other Assets, Less Liabilities	3.5	%
Total Net Assets	100.0	%

^† Effective 2/22/11, the A-Class maximum sales charge decreased from 5.75% to 4.75%. A 5.75% maximum sales charge is used to calculate performance for periods beginning prior to 2/22/11, and a 4.75% maximum sales charge is used to calculate performance for periods beginning on or after 2/22/11.

THE RYDEX|SGI EQUITY FUNDS SEMI-ANNUAL REPORT | 87

SCHEDULE OF INVESTMENTS (Unaudited)	Rydex|SGI
March 31, 2011	Mid Cap Growth Fund

	Shares		Value
COMMON STOCKS† - 92.8%
Information Technology - 21.4%
Autodesk, Inc.*		49,350	$	2,176,829
Cognizant Technology Solutions Corp. — Class A*		26,035		2,119,249
KLA-Tencor Corp.		42,200		1,999,014
Check Point Software Technologies Ltd.*		37,365		1,907,483
Micron Technology, Inc.*		120,200		1,377,492
Alliance Data Systems Corp.*		15,900		1,365,651
NetApp, Inc.*		24,920		1,200,646
Cadence Design Systems, Inc.*		116,180		1,132,755
Amphenol Corp. — Class A		20,460		1,112,819
Nuance Communications, Inc.*		56,865		1,112,279
Advanced Micro Devices, Inc.*		123,500		1,062,100
Avago Technologies Ltd.		32,500		1,010,750
Salesforce.com, Inc.*		5,430		725,339
Teradata Corp.*		13,700		694,590
Western Digital Corp.*		18,450		688,001
Total Information Technology				19,684,997
Consumer Discretionary - 20.5%
Jarden Corp.		71,280		2,535,430
Priceline.com, Inc.*		4,005		2,028,292
Johnson Controls, Inc.		40,100		1,666,957
Phillips-Van Heusen Corp.		24,050		1,563,971
Stanley Black & Decker, Inc.		18,200		1,394,120
Life Time Fitness, Inc.*		36,500		1,361,815
Wyndham Worldwide Corp.		42,120		1,339,837
Wynn Resorts Ltd.		10,350		1,317,038
Penn National Gaming, Inc.*		34,170		1,266,340
Kohl’s Corp.		22,150		1,174,836
CarMax, Inc.*		35,500		1,139,550
Darden Restaurants, Inc.		22,520		1,106,408
Bed Bath & Beyond, Inc.*		20,510		990,018
Total Consumer Discretionary				18,884,612
Industrials - 18.3%
Navistar International Corp.*		42,250		2,929,192
Parker Hannifin Corp.		21,450		2,030,886
Cummins, Inc.		16,800		1,841,616
Cooper Industries plc — Class A		28,100		1,823,690
Goodrich Corp.		17,400		1,488,222
Joy Global, Inc.		15,060		1,488,079
Dover Corp.		22,500		1,479,150
AMETEK, Inc.		33,675		1,477,322
Union Pacific Corp.		12,820		1,260,591
Roper Industries, Inc.		11,800		1,020,228
Total Industrials				16,838,976
Health Care - 11.7%
Warner Chilcott plc — Class A		90,200		2,099,856
Covidien plc		37,700		1,958,138
Thermo Fisher Scientific, Inc.*		32,115		1,783,988
Agilent Technologies, Inc.*		36,470		1,633,127
Teva Pharmaceutical Industries Ltd. ADR		30,965		1,553,514
Hospira, Inc.*		16,800		927,360
Community Health Systems, Inc.*		21,050		841,789
Total Health Care				10,797,772
Energy - 6.5%
Oil States International, Inc.*		26,000		1,979,640
Pioneer Natural Resources Co.		17,750		1,809,080
Ensco plc ADR		21,200		1,226,208
Alpha Natural Resources, Inc.*		17,000		1,009,290
Total Energy				6,024,218
Materials - 6.4%
Albemarle Corp.		32,550		1,945,514
Ball Corp.		52,784		1,892,306
Agrium, Inc.		11,540		1,064,680
Airgas, Inc.		15,100		1,002,942
Total Materials				5,905,442
Financials - 6.1%
T. Rowe Price Group, Inc.		27,450		1,823,229
Discover Financial Services		54,900		1,324,188
HCC Insurance Holdings, Inc.		30,510		955,268
Blackstone Group, LP		42,400		758,112
KKR & Company, LP		45,800		751,578
Total Financials				5,612,375
Telecommunication Services - 1.9%
SBA Communications Corp. — Class A*		42,960		1,704,653
Total Common Stocks
(Cost $72,461,079)				85,453,045
WARRANT†† - 0.0%
Energy - 0.0%
Nova Biosource Fuels, Inc.1 $2.40, 07/05/11		208,050		541
Total Warrant
(Cost $214,905)				541
EXCHANGE TRADED FUND† - 3.7%
iShares Russell Midcap Growth Index Fund		55,535		3,382,637
Total Exchange Traded Fund
(Cost $3,040,083)				3,382,637
Total Investments - 96.5%
(Cost $75,716,067)			$	88,836,223
Cash & Other Assets, Less Liabilities - 3.5%				3,190,973
Total Net Assets - 100.0%			$	92,027,196

*	Non-income producing security
†	Value determined based on Level 1 inputs — See Note 10.
††	Value determined based on Level 2 inputs — See Note 10.
ADR — American Depositary Receipt
plc — Public Limited Company
1	All or a portion of this security was fair valued by the Valuation Committee at March 31, 2011. The total market value of fair valued securities amounts to $541 (cost $214,905), or 0.0% of total net assets.

88 | THE RYDEX|SGI EQUITY FUNDS SEMI-ANNUAL REPORT The accompanying notes are an integral part of the financial statements.

Rydex|SGI
Mid Cap Growth Fund

STATEMENT OF ASSETS AND LIABILITIES (Unaudited)

March 31, 2011

Assets:
Investments, at value*	$	88,836,223
Total investments		88,836,223
Cash		3,268,702
Receivables:
Securities sold		695,166
Fund shares sold		98,377
Dividends		44,122
Prepaid expenses		28,666
Total assets		92,971,256
Liabilities:
Payable for:
Securities purchased		588,873
Fund shares redeemed		58,518
Management fees		57,303
Custodian fees		229
Transfer agent/maintenance fees		47,603
Distribution and service fees		26,075
Portfolio accounting fees		7,258
Professional fees		9,333
Directors’ fees		79,685
Legal fees		2,708
Pricing fees		1,112
Direct shareholders expense		31,018
Corporate expenses		34,345
Total liabilities		944,060
Net assets	$	92,027,196
Net assets consist of:
Paid in capital	$	100,052,015
Accumulated net investment loss		(524,274	)
Accumulated net realized loss on investments		(20,620,701	)
Net unrealized appreciation in on investments		13,120,156
Net assets	$	92,027,196
A-Class:
Net assets	$	80,835,669
Capital shares outstanding1		2,317,190
Net asset value per share1	$	34.89
Maximum offering price per share**1	$	36.63
B-Class:
Net assets	$	4,573,789
Capital shares outstanding1		175,837
Net asset value per share1	$	26.01
C-Class:
Net assets	$	6,617,738
Capital shares outstanding1		220,664
Net asset value per share1	$	29.99

*       Investments, at cost $ 75,716,067

1	The shares outstanding, net asset value per share and the maximum offering price per share have been restated to reflect a 1-for-4 reverse share split effective April 8, 2011. See Note 12 in Notes to Financial Statements.
**	Net asset value adjusted for the maximum sales charge of 4.75% of offering price, calculated NAV/(1-4.75%).

STATEMENT OF OPERATIONS (Unaudited)

For the Period Ended March 31, 2011

Investment Income:
Dividends (net of foreign withholding tax of $98)	$	335,560
Interest		434
Total investment income		335,994
Expenses:
Management fees		334,230
Transfer agent/maintenance fees		187,134
Distribution and service fees:
A-Class		97,972
B-Class		23,626
C-Class		30,126
Portfolio accounting fees		42,335
Directors’ fees*		39,140
Miscellaneous		105,705
Total expenses		860,268
Net investment loss		(524,274	)
Net Realized and Unrealized Gain (Loss):
Net realized gain (loss) on:
Investments		11,908,398
Net realized gain		11,908,398
Net change in unrealized appreciation (depreciation) on:
Investments		3,471,804
Net change in unrealized appreciation		3,471,804
Net realized and unrealized gain		15,380,202
Net increase in net assets resulting from operations	$	14,855,928

* Relates to Directors not deemed “interested persons” within the meaning of Section 2(a)(19) of the 1940 Act.

The accompanying notes are an integral part of the financial statements. THE RYDEX|SGI EQUITY FUNDS SEMI-ANNUAL REPORT | 89

	Rydex|SGI
STATEMENTS OF CHANGES IN NET ASSETS	Mid Cap Growth Fund

	Period Ended
	March 31,			Year Ended
	2011			September 30,
	(Unaudited)			2010
Increase (Decrease) In Net Assets From Operations:
Net investment loss	$	(524,274	)	$	(770,984	)
Net realized gain on investments		11,908,398			12,599,744
Net change in unrealized appreciation (depreciation) on investments		3,471,804			(2,290,110	)
Net increase in net assets resulting from operations		14,855,928			9,538,650
Capital share transactions:
Proceeds from sale of shares
A-Class		6,364,608			8,594,212
B-Class		466,672			168,153
C-Class		1,139,906			764,151
Cost of shares redeemed
A-Class		(10,501,710	)		(17,101,108	)
B-Class		(1,201,528	)		(3,669,427	)
C-Class		(830,488	)		(1,620,755	)
Net decrease from capital share transactions		(4,562,540	)		(12,864,774	)
Net increase (decrease) in net assets		10,293,388			(3,326,124	)
Net assets:
Beginning of period		81,733,808			85,059,932
End of period	$	92,027,196		$	81,733,808
Accumulated net investment loss at end of period	$	(524,274	)	$	—
Capital share activity:1
Shares sold
A-Class		193,101			317,220
B-Class		18,739			8,261
C-Class		39,421			31,757
Shares redeemed
A-Class		(316,414	)		(628,456	)
B-Class		(48,750	)		(180,188	)
C-Class		(28,895	)		(68,800	)
Net decrease in shares		(142,798	)		(520,206	)

¹ The share activity has been restated to reflect a 1-for-4 reverse share split effective April 8, 2011. See Note 12 in Notes to Financial Statements.

90 | THE RYDEX|SGI EQUITY FUNDS SEMI-ANNUAL REPORT The accompanying notes are an integral part of the financial statements.

FINANCIAL HIGHLIGHTS Rydex|SGI
Mid Cap Growth Fund

This table is presented to show selected data for a share outstanding throughout each period, and to assist shareholders in evaluating a Fund’s performance for the periods presented.

	Period Ended			Year Ended			Year Ended			Year Ended			Year Ended			Year Ended
	March 31,			September 30,			September 30,			September 30,			September 30,			September 30,
A-Class	2011		a,d	2010		d	2009		d	2008		d	2007		d	2006		d
Per Share Data
Net asset value, beginning of period	$	29.44		$	26.16		$	25.84		$	44.44		$	48.12		$	50.60
Income (loss) from investment operations:
Net investment lossb		(0.16	)		(0.24	)		(0.20	)		(0.20	)		(0.32	)		(0.48	)
Net gain (loss) on investments (realized and unrealized)		5.61			3.52			0.72			(9.84	)		1.40			1.88
Total from investment operations		5.45			3.28			0.52			(10.04	)		1.08			1.40
Less distributions from:
Net realized gains		—			—			(0.20	)		(8.56	)		(4.76	)		(3.88	)
Total distributions		—			—			(0.20	)		(8.56	)		(4.76	)		(3.88	)
Net asset value, end of period	$	34.89		$	29.44		$	26.16		$	25.84		$	44.44		$	48.12
Total Returnc		18.48	%		12.54	%		2.32	%		(26.24	)%		2.10	%		2.81	%
Ratios/Supplemental Data
Net assets, end of period (in thousands)	$	80,836		$	71,858		$	71,985		$	71,655		$	160,544		$	192,159
Ratios to average net assets:
Net investment loss		(1.09	)%		(0.85	)%		(0.99	)%		(0.63	)%		(0.67	)%		(0.93	)%
Total expenses		1.84	%		1.67	%		1.78	%		1.50	%		1.41	%		1.40	%
Portfolio turnover rate		76	%		133	%		138	%		191	%		34	%		41	%

	Period Ended			Year Ended			Year Ended			Year Ended			Year Ended			Year Ended
	March 31,			September 30,			September 30,			September 30,			September 30,			September 30,
B-Class	2011		a,d	2010		d	2009		d	2008		d	2007		d	2006		d
Per Share Data
Net asset value, beginning of period	$	22.04		$	19.72		$	19.68		$	36.36		$	40.48		$	43.44
Income (loss) from investment operations:
Net investment lossb		(0.24	)		(0.32	)		(0.28	)		(0.36	)		(0.56	)		(0.72	)
Net gain (loss) on investments (realized and unrealized)		4.21			2.64			0.52			(7.76	)		1.20			1.64
Total from investment operations		3.97			2.32			0.24			(8.12	)		0.64			0.92
Less distributions from:
Net realized gains		—			—			(0.20	)		(8.56	)		(4.76	)		(3.88	)
Total distributions		—			—			(0.20	)		(8.56	)		(4.76	)		(3.88	)
Net asset value, end of period	$	26.01		$	22.04		$	19.72		$	19.68		$	36.36		$	40.48
Total Returnc		17.97	%		11.76	%		1.61	%		(26.92	)%		1.34	%		2.12	%
Ratios/Supplemental Data
Net assets, end of period (in thousands)	$	4,574		$	4,537		$	7,454		$	7,711		$	14,877		$	22,010
Ratios to average net assets:
Net investment loss		(1.84	)%		(1.60	)%		(1.73	)%		(1.40	)%		(1.43	)%		(1.68	)%
Total expenses		2.59	%		2.42	%		2.53	%		2.26	%		2.16	%		2.15	%
Portfolio turnover rate		76	%		133	%		138	%		191	%		34	%		41	%

The accompanying notes are an integral part of the financial statements. THE RYDEX|SGI EQUITY FUNDS SEMI-ANNUAL REPORT | 91

	Rydex|SGI
FINANCIAL HIGHLIGHTS (concluded)	Mid Cap Growth Fund

This table is presented to show selected data for a share outstanding throughout each period, and to assist shareholders in evaluating a Fund’s performance for the periods presented.

	Period Ended			Year Ended			Year Ended			Year Ended			Year Ended			Year Ended
	March 31,			September 30,			September 30,			September 30,			September 30,			September 30,
C-Class	2011		a,d	2010		d	2009		d	2008		d	2007		d	2006		d
Per Share Data
Net asset value, beginning of period	$	25.40		$	22.76		$	22.68		$	40.44		$	44.52		$	47.36
Income (loss) from investment operations:
Net investment lossb		(0.28	)		(0.40	)		(0.32	)		(0.40	)		(0.60	)		(0.76	)
Net gain (loss) on investments (realized and unrealized)		4.87			3.04			0.60			(8.80	)		1.28			1.80
Total from investment operations		4.59			2.64			0.28			(9.20	)		0.68			1.04
Less distributions from:
Net realized gains		—			—			(0.20	)		(8.56	)		(4.76	)		(3.88	)
Total distributions		—			—			(0.20	)		(8.56	)		(4.76	)		(3.88	)
Net asset value, end of period	$	29.99		$	25.40		$	22.76		$	22.68		$	40.44		$	44.52
Total Returnc		18.11	%		11.60	%		1.58	%		(26.87	)%		1.31	%		2.20	%
Ratios/Supplemental Data
Net assets, end of period (in thousands)	$	6,618		$	5,339		$	5,622		$	6,452		$	10,717		$	15,505
Ratios to average net assets:
Net investment loss		(1.84	)%		(1.60	)%		(1.74	)%		(1.40	)%		(1.43	)%		(1.68	)%
Total expenses		2.60	%		2.43	%		2.54	%		2.26	%		2.16	%		2.15	%
Portfolio turnover rate		76	%		133	%		138	%		191	%		34	%		41	%

a	Unaudited figures for the period ended March 31, 2011. Percentage amounts for the period, except total return and portfolio turnover rate, have been annualized.
b	Net investment income (loss) was computed using average shares outstanding throughout the period.
c	Total return does not reflect the impact of any applicable sales charges and has not been annualized.
d	Per share amounts for periods ended September 30, 2006-March 31, 2011 have been restated to reflect 1:4 reverse share split effective April 8, 2011.

92 | THE RYDEX|SGI EQUITY FUNDS SEMI-ANNUAL REPORT The accompanying notes are an integral part of the financial statements.

NOTES TO FINANCIAL STATEMENTS (Unaudited)

1. Significant Accounting Policies

Rydex|SGI Equity, Large Cap Value, and Mid Cap Growth Funds (legally known as Security Equity Fund, Security Large Cap Value Fund, and Security Mid Cap Growth Fund, respectively), (collectively referred to herein as the Funds) are registered under the Investment Company Act of 1940 (the “1940 Act”), as amended, as open-end management investment companies. The shares of Rydex|SGI Equity Fund and Large Cap Value Fund are currently issued in multiple series, with each series, in effect, representing a separate fund. The Rydex|SGI Equity Fund and Large Cap Value Fund account for the assets of each series separately. A-Class shares are generally sold with a front-end sales charge at the time of purchase. A-Class shares are not subject to a sales charge when they are redeemed, except for purchases of $1 million or more sold without a front-end sales charge which are subject to a contingent deferred sales charge if redeemed within one year of purchase. B-Class shares are offered without a front-end sales charge, but are subject to a contingent deferred sales charge for five years and automatically convert to A-Class shares after eight years. C-Class shares are offered without a front-end sales charge but incur additional class-specific expenses. Redemptions of C-Class shares within one year of acquisition incur a contingent deferred sales charge. Institutional Class shares are offered primarily for direct investment by institutions, such as pension and profit sharing plans, endowments, foundations and corporations. Institutional class shares have a minimum initial investment of $2 million and a minimum account balance of $1 million. Institutional Class shares are offered without a front-end sales charge or a contingent deferred sales charge. The following is a summary of the significant accounting policies followed by the Funds in the preparation of their financial statements.

A. Security Valuation — Valuations of the Funds’ securities are supplied by pricing services approved by the Board of Directors. The Funds’ officers, through the Valuation Committee, under the general supervision of the Board of Directors, regularly review procedures used by, and valuations provided by, the pricing services. Each security owned by the Funds that is listed on a securities exchange is valued at its last sale price on that exchange on the date as of which assets are valued. Where the security is listed on more than one exchange, the Fund will use the price of that exchange that it generally considers to be the principal exchange on which the stock is traded. Securities listed on the NASDAQ Stock Market, Inc. (“NASDAQ”) will be valued at the NASDAQ Official Closing Price, which may not necessarily represent the last sale price. If there has been no sale on such exchange or NASDAQ on such day, the security is valued at the closing bid price on such day. Securities for which market quotations are not readily available are valued taking into consideration securities with similar yields, quality, type of issue, coupon, duration and rating. If there is no bid price or if the bid price is deemed to be unsatisfactory by the Board of Directors or by the Funds’ investment manager, then the securities are valued in good faith by such method as the Board of Directors determines will reflect the fair value. If events occur after the close of a foreign exchange that will affect the value of a Funds portfolio securities before the time as of which the NAV is calculated (a “significant event”), the security will generally be priced using a fair value procedure. If the Valuation Committee determines a significant event has occurred, it will evaluate the impact of that event on an affected security or securities, to determine whether a fair value adjustment would materially affect the Funds net asset value per share. Some of the factors which may be considered by the Board of Directors in determining fair value are fundamental analytical data relating to the investment, the nature and duration of any restrictions on disposition, trading in similar securities of the same issuer or comparable companies, information from broker-dealers, and an evaluation of the forces that influence the market in which the securities are purchased and sold. The Funds generally will value short-term debt securities at prices based on market quotations for such securities or securities of similar type, yield, quality and duration. Those securities purchased with 60 days or less to maturity are valued on the basis of amortized cost, which approximates market value.

Generally, trading in foreign securities markets is substantially completed each day at various times prior to the close of the New York Stock Exchange. The values of foreign securities are determined as of the close of such foreign markets or the close of the New York Stock Exchange, if earlier. All investments quoted in foreign currency are valued in U.S. dollars on the basis of the foreign currency exchange rates prevailing at the close of business. Investments in foreign securities may involve risks not present in domestic investments. The Valuation Committee will determine the current value of such foreign securities by taking into consideration certain factors which may include those discussed above, as well as the following factors, among others: the value of the securities traded on other foreign markets, ADR trading, closed-end fund trading, foreign currency exchange activity, and the trading prices of financial products that are tied to foreign securities such as WEBS^®. In addition, the Board of Directors has authorized the Valuation Committee and Administrator to use prices and other information supplied by a third party pricing vendor in valuing foreign securities.

B. Repurchase Agreements — In connection with transactions in repurchase agreements, it is the Funds’ policy that their custodian take possession of the underlying collateral and that the fair value of the collateral exceed the principal amount of the repurchase transaction, including accrued interest, at all times. If the seller defaults, and the fair value of the collateral declines, realization of the collateral by the Fund may be delayed or limited.

C. Foreign Currency Transactions — The accounting records of the Funds are maintained in U.S. dollars. All assets and liabilities initially expressed in foreign currencies are converted into U.S. dollars at prevailing exchange rates.

THE RYDEX|SGI EQUITY FUNDS SEMI-ANNUAL REPORT | 93

NOTES TO FINANCIAL STATEMENTS (Unaudited) (continued)

Purchases and sales of investment securities, dividend and interest income, and certain expenses are translated at the rates of exchange prevailing on the respective dates of such transactions. Changes in the relationship of these foreign currencies to the U.S. dollar can significantly affect the value of the investments and earnings of the Funds. Foreign investments may also subject the Fund to foreign government exchange restrictions, expropriation, taxation or other political, social or economic developments, all of which could affect the market and/or credit risk of the investments.

The Funds do not isolate that portion of the results of operations resulting from changes in the foreign exchange rates on investments from the fluctuations arising from changes in the market prices of securities held. Such fluctuations are included with the net realized and unrealized gain or loss on investments.

Net realized foreign exchange gains or losses arise from sales of portfolio securities, sales of foreign currencies, and the difference between asset and liability amounts initially stated in foreign currencies and the U.S. dollar value of the amounts actually received or paid. Net unrealized foreign exchange gains or losses arise from changes in the value of portfolio securities and other assets and liabilities at the end of the reporting period, resulting from changes in the exchange rates.

D. Futures — The Alpha Opportunity Fund utilized futures contracts to obtain broad index exposure. Returns may be enhanced by purchasing futures contracts instead of the underlying securities when futures are believed to be priced more attractively than the underlying securities. The primary risks associated with the use of futures contracts are imperfect correlation between changes in market values of stocks contained in the indexes and the prices of futures contracts, and the possibility of an illiquid market. Cash deposits are shown as restricted cash on the Statement of Assets and Liabilities; securities held as collateral are noted in the Schedule of Investments. Subsequent changes in the value of the contract are recorded as unrealized gains or losses. The variation margin is paid or received in cash daily by the Funds. The Funds realize a gain or loss when the contract is closed or expires.

E. Options Written — Certain Funds wrote call options on a covered basis and put options on securities that are traded on recognized securities exchanges and over-the-counter markets (see footnote 4). Call and put options on securities give the writer the obligation to sell or purchase a security at a specified price, until a certain date. Options were used minimally to hedge the Funds’ portfolio, and create liquidity. The primary risks associated with the use of options are an imperfect correlation between the change in market value of the securities held by the Fund and the price of the option, the possibility of an illiquid market, and the inability of the counterparty to meet the terms of the contract.

The premium received for a written option is recorded as an asset with an equal liability which is marked-to-market based on the option’s quoted daily settlement price. Fluctuations in the value of such instruments are recorded as unrealized appreciation (depreciation) until terminated, at which time realized gains and losses are recognized.

F. Securities Sold Short — The Alpha Opportunity Fund may make short sales “against the box,” in which the Fund enters into a short sale of a security it owns. At no time will more than 15% of the value of the Funds’ net assets be in deposits on short sales against the box. If a Fund makes a short sale, the Fund does not immediately deliver from its own account the securities sold and does not receive the proceeds from the sale. To complete the sale, the Fund must borrow the security (generally from the broker through which the short sale is made) in order to make delivery to the buyer. The Fund must replace the security borrowed by purchasing it at the market price at the time of replacement or delivering the security from its own portfolio. Such short sales theoretically involve unlimited loss potential, as the market price of securities sold short may continually increase, although a Fund may mitigate such losses by replacing the securities sold short before the market price has increased significantly. For financial statement purposes, an amount equal to the settlement amount is initially recorded as an asset and an equivalent liability. The amount of the liability is subsequently marked-to-market to reflect the current value of the short position. Subsequent fluctuations in the market prices of securities sold short, may require purchasing the securities at prices which differ from the market value reflected on the Statement of Assets and Liabilities. The Funds are liable for any dividends or interest payable on securities while those securities are in a short position and are recorded as dividend or interest expense in the Statement of Operations. As collateral for its short positions, the Funds are required under the 1940 Act to maintain segregated assets consisting of cash, cash equivalents or liquid securities. These segregated assets are valued consistent with Note 1A above. These segregated assets are required to be adjusted daily to reflect changes in the market value of the securities sold short.

G. Security Transactions and Investment Income — Security transactions are accounted for on the date the securities are purchased or sold (trade date). Realized gains and losses are reported on an identified cost basis. Dividend income is accrued as of the ex-dividend date, except that certain dividends for foreign securities where the ex-dividend date may have passed are recorded as soon as the Fund is informed of the dividend in the exercise of reasonable diligence. Interest income is recognized on the accrual basis, including the amortization of premiums and accretion of discounts on debt securities.

H. Expenses — Expenses that are directly related to one of the Funds are charged directly to that Fund. Other operating expenses are allocated to the Funds on the basis of relative net assets. Class specific expenses, such as 12b-1 fees, are borne by that class. Income, other expenses and realized and unrealized gains and losses of a Fund are allocated to each respective class in proportion to the relative net assets of each class.

94 |THE RYDEX|SGI EQUITY FUNDS SEMI-ANNUAL REPORT

NOTES TO FINANCIAL STATEMENTS (Unaudited) (continued)

I. Distributions to Shareholders — Distributions to shareholders are recorded on the ex-dividend date. The character of distributions made during the year from net investment income or net realized gains may differ from their ultimate characterization for federal income tax purposes.

J. Taxes — The Funds intend to comply with the requirements of the Internal Revenue Code applicable to regulated investment companies and distribute all of their taxable net income and net realized gains sufficient to relieve them from all, or substantially all, federal income, excise and state income taxes. Therefore, no provision for federal or state income tax is required.

The evaluation of tax positions taken or expected to be taken in the course of preparing the Fund’s tax returns is required to determine whether the tax positions are “more-likely-than-not” of being sustained by the applicable tax authority. For all open tax years (September 30, 2007—September 30, 2010) and all major taxing jurisdictions through the end of the reporting period, the Fund’s management has completed a review and evaluation and has determined that no tax liability is required and no additional disclosures are needed as of March 31, 2011.

K. Earnings Credits — Under the fee agreement with the custodian, the Funds may earn credits based on overnight custody cash balances. These credits are utilized to reduce related custodial expenses. The custodian fees disclosed in the Statement of Operations are before the reduction in expense from the related earnings credits.

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

M. Indemnifications — Under the Funds’ organizational documents, its Officers and Directors are indemnified against certain liabilities arising out of the performance of their duties to the Funds. In addition, in the normal course of business, the Funds enter into contracts that provide general indemnification to other parties. The Funds’ maximum exposure under these arrangements is unknown as this would involve future claims that may be made against the Funds that have not yet occurred, and may not occur. However, the Funds have not had prior claims or losses pursuant to these contracts and expect the risk of loss to be remote.

2. Management Fees and Other Transactions with Affiliates

Security Investors, LLC (SI) pays the Sub-Advisor out of the advisory fees it receives. Management fees are paid monthly to SI, based on the following annual rates for the period ended March 31, 2011:

	Management
	Fees (as a %
	of net assets)
All Cap Value Fund		0.70	%
Alpha Opportunity Fund		1.25	%
Large Cap Core Fund		0.75	%
Global Fund		1.00	%
Global Institutional Fund		1.00	%
Mid Cap Value Fund		0.78	%1
Mid Cap Value Institutional Fund		0.75	%
Large Cap Concentrated Growth Fund		0.75	%
Small Cap Growth Fund		0.85	%
Small Cap Value Fund		1.00	%
Large Cap Value Fund		0.65	%
Large Cap Value Institutional Fund		0.65	%
Mid Cap Growth Fund		0.75	%

¹ Management fees are payable at an annual rate of 1.00% of the average daily net assets of $200 million or less, and 0.75% of the average daily net assets of the Mid Cap Value Fund in excess of $200 million.

SI also acts as the administrative agent and transfer agent for the Funds, and as such performs administrative functions, transfer agency and dividend disbursing services, and the bookkeeping, accounting and pricing functions for each Fund. For these services, SI receives the following:

	Administrative Fees
	(as a % of net assets)
All Cap Value Fund		0.095	%
Alpha Opportunity Fund		0.15	%
Large Cap Core Fund		0.095	%
Global Fund	greater of 0.15% or $60,000
Global Institutional Fund		0.15	%
Mid Cap Value Fund		0.095	%
Mid Cap Value Institutional Fund		0.095	%
Large Cap Concentrated Growth Fund		0.095	%
Small Cap Growth Fund		0.095	%
Small Cap Value Fund		0.095	%
Large Cap Value Fund		0.095	%
Large Cap Value Institutional Fund		0.095	%
Mid Cap Growth Fund		0.095	%
Minimum charge per Fund	$	25,000	1
Certain out-of-pocket charges	Varies

¹ SI has agreed not to charge the $25,000 minimum fee on the All Cap Value Fund.

SI is paid the following for providing transfer agent services to the Funds:

Annual per account charge	$	5.00 – $8.00
Transaction fee	$	0.60 – $1.10
Annual minimum charge (per Fund)	$	25,000	1
Certain out-of-pocket charges	Varies

¹ SI has agreed not to charge the $25,000 minimum fee on the All Cap Value Fund.

THE RYDEX|SGI EQUITY FUNDS SEMI-ANNUAL REPORT | 95

NOTES TO FINANCIAL STATEMENTS (Unaudited) (continued)

The investment advisory contracts for the following Funds provide that the total expenses be limited to a percentage of average net assets for each class of shares, exclusive of brokerage costs, dividends on securities sold short, expenses of other investment companies in which a Fund invests, interest, taxes, litigation, indemnification and extraordinary expenses (as determined under generally accepted accounting principles). The limits are listed below:

				Effective		Contract
	Limit			Date		End Date
All Cap Value Fund — A-Class		1.27	%		2/1/2010		1/31/2012
All Cap Value Fund — C-Class		2.02	%		2/1/2010		1/31/2012
All Cap Value Fund — Institutional Class		1.02	%		2/1/2010		1/31/2012
Alpha Opportunity Fund — A-Class		2.11	%		2/1/2010		1/31/2012
Alpha Opportunity Fund — B-Class		2.86	%		2/1/2010		1/31/2012
Alpha Opportunity Fund — C-Class		2.86	%		2/1/2010		1/31/2012
Alpha Opportunity Fund — Institutional Class		1.86	%		2/1/2010		1/31/2012
Global Institutional Fund		1.00	%		8/24/2009		1/31/2012
Mid Cap Value Institutional Fund		0.90	%		4/13/2009		3/31/2012
Large Cap Concentrated Growth Fund — A-Class		1.35	%		1/11/2007		1/31/2012
Large Cap Concentrated Growth Fund — B-Class		2.10	%		1/11/2007		1/31/2012
Large Cap Concentrated Growth Fund — C-Class		2.10	%		1/11/2007		1/31/2012
Small Cap Value Fund — A-Class		1.30	%		8/24/2009		1/31/2012
Small Cap Value Fund — C-Class		2.05	%		8/24/2009		1/31/2012
Small Cap Value Fund — Institutional Class		1.05	%		8/24/2009		1/31/2012
Large Cap Value Fund — A-Class		1.15	%		2/1/2010		1/31/2012
Large Cap Value Fund — B-Class		1.90	%		2/1/2010		1/31/2012
Large Cap Value Fund — C-Class		1.90	%		2/1/2010		1/31/2012
Large Cap Value Institutional Fund		0.96	%		2/1/2010		1/31/2012

SI is entitled to reimbursement by the All Cap Value Fund, Alpha Opportunity Fund, Global Institutional Fund, Mid Cap Value Institutional Fund, Large Cap Concentrated Growth Fund, Small Cap Value Fund, Large Cap Value Fund and the Large Cap Value Institutional Fund for fees waived or expenses reimbursed during any of the previous 36 months, beginning on the date of the expense limitation agreement, if on any day the estimated operating expenses are less than the indicated percentages. As of March 31, 2011, the amount of fees waived or expenses reimbursed in the All Cap Value Fund, Alpha Opportunity Fund, Global Institutional Fund, Mid Cap Value Institutional Fund, Large Cap Concentrated Growth Fund, Small Cap Value Fund, Large Cap Value Fund and the Large Cap Value Institutional Fund were $63,659, $209,474, $158,221, $538,821, $535,548, $147,132, $306,984 and $92,122, respectively. For the six months ended March 31, 2011, no amounts were recouped by SI.

The Funds have adopted Distribution Plans related to the offering of A-Class, B-Class and C-Class shares pursuant to Rule 12b-1 under the Investment Company Act of 1940. The plans provide for payments at an annual rate of 1.00% of the average daily net assets of each Fund’s B-Class and C-Class shares, and 0.25% of the average daily net assets of each Fund’s A-Class shares. Effective August 25, 2005, the Global Fund ceased charging 12b-1 fees on B-Class shares in accordance with the FINRA sales cap regulations. Effective August 1, 2007, the Large Cap Value Fund ceased charging 12b-1 fees on B-Class shares in accordance with the FINRA sales cap regulations. These fees may be reinstated at any time.

96 |THE RYDEX|SGI EQUITY FUNDS SEMI-ANNUAL REPORT

NOTES TO FINANCIAL STATEMENTS (Unaudited) (continued)

During the six months ended March 31, 2011, RDL retained sales charges of $97,577, $14,365 and $8,550 relating to sales of A-Class shares of the Equity Fund, Large Cap Value Fund and the Mid Cap Growth Fund, respectively.

Certain officers and directors of the Funds are also officers and/or directors of Security Benefit Life Insurance Company, a subsidiary of Security Benefit Corporation, and its affiliates, which include Security Investors, Security Global Investors (SGI), SDI, and RDL.

At March 31, 2011, Security Benefit Corporation and its subsidiaries owned over five percent of the outstanding shares of the Funds, as follows:

	Percent of
	outstanding
Fund	shares owned
All Cap Value Fund		30.93	%
Alpha Opportunity Fund		16.06	%
Large Cap Core Fund		14.83	%
Global Fund		9.99	%
Global Institutional Fund		100	%
Large Cap Concentrated Growth Fund		8.95	%
Small Cap Growth Fund		20.99	%
Small Cap Value Fund		15.85	%
Large Cap Value Fund		19.26	%
Large Cap Value Institutional Fund		100	%
Mid Cap Growth Fund		9.38	%

3. Investment Transactions

Investment transactions for the six months ended March 31, 2011, (excluding overnight investments and short-term commercial paper) were as follows:

	Purchases		Proceeds from Sales
All Cap Value Fund	$	722,335	$	428,071
Alpha Opportunity Fund		26,768,503		28,250,616
Large Cap Core Fund		83,614,121		94,512,976
Global Fund		112,913,069		119,575,760
Global Institutional Fund		5,198,893		5,012,262
Mid Cap Value Fund		230,062,534		172,043,101
Mid Cap Value Institutional Fund		122,361,240		72,673,168
Large Cap Concentrated Growth Fund		30,606,201		30,733,483
Small Cap Growth Fund		8,041,757		8,029,039
Small Cap Value Fund		3,576,661		1,941,641
Large Cap Value Fund		4,239,803		11,687,001
Large Cap Value Institutional Fund		351,777		475,298
Mid Cap Growth Fund		65,478,034		70,816,542

THE RYDEX|SGI EQUITY FUNDS SEMI-ANNUAL REPORT | 97

NOTES TO FINANCIAL STATEMENTS (Unaudited) (continued)

4. Options Written

Information as to options written by the Funds during the six months ended March 31, 2011, and options outstanding at March 31, 2011 is provided below:

All Cap Value Fund Written Call Options

	Number of			Premium
	Contracts			Amount
Balance at September 30, 2010		—		$	—
Options written		62			5,787
Options terminated in closing purchase transactions		(41	)		(3,813	)
Options expired		—			—
Options exercised		(11	)		(1,068	)
Balance at March 31, 2011		10		$	906

All Cap Value Fund Written Put Options

	Number of			Premium
	Contracts			Amount
Balance at September 30, 2010		8		$	1,057
Options written		13			3,048
Options terminated in closing purchase transactions		—			—
Options expired		(11	)		(1,395	)
Options exercised		—			—
Balance at March 31, 2011		10		$	2,710

Large Cap Core Fund Written Put Options

	Number of			Premium
	Contracts			Amount
Balance at September 30, 2010		120		$	36,067
Options written		—			—
Options terminated in closing purchase transactions		—			—
Options expired		—			—
Options exercised		(120	)		(36,067	)
Balance at March 31, 2011		—		$	—

Mid Cap Value Fund Written Call Options

	Number of			Premium
	Contracts			Amount
Balance at September 30, 2010		4,000		$	520,297
Options written		14,665			1,354,586
Options terminated in closing purchase transactions		—			—
Options expired		(1,085	)		(155,706	)
Options exercised		(9,413	)		(1,071,322	)
Balance at March 31, 2011		8,167		$	647,855

Mid Cap Value Fund Written Put Options

	Number of			Premium
	Contracts			Amount
Balance at September 30, 2010		8,745		$	1,059,209
Options written		5,338			1,227,709
Options terminated in closing purchase transactions		—			—
Options expired		(10,048	)		(1,206,445	)
Options exercised		—			—
Balance at March 31, 2011		4,035		$	1,080,473

98 | THE RYDEX|SGI EQUITY FUNDS SEMI-ANNUAL REPORT

NOTES TO FINANCIAL STATEMENTS (Unaudited) (continued)

Mid Cap Value Institutional Fund Written Call Options

	Number of			Premium
	Contracts			Amount
Balance at September 30, 2010		1,400		$	182,102
Options written		5,949			548,526
Options terminated in closing purchase transactions		—			—
Options expired		(440	)		(63,143	)
Options exercised		(3,589	)		(404,725	)
Balance at March 31, 2011		3,320		$	262,760

Mid Cap Value Institutional Fund Written Put Options

	Number of			Premium
	Contracts			Amount
Balance at September 30, 2010		3,274		$	397,441
Options written		2,127			486,902
Options terminated in closing purchase transactions		—			—
Options expired		(3,796	)		(456,425	)
Options exercised		—			—
Balance at March 31, 2011		1,605		$	427,918

Small Cap Value Fund Written Call Options

	Number of			Premium
	Contracts			Amount
Balance at September 30, 2010		—		$	—
Options written		118			9,961
Options terminated in closing purchase transactions		—			—
Options expired		(6	)		(861	)
Options exercised		—			—
Balance at March 31, 2011		112		$	9,100

Small Cap Value Fund Written Put Options

	Number of			Premium
	Contracts			Amount
Balance at September 30, 2010		17		$	1,946
Options written		—			—
Options terminated in closing purchase transactions		—			—
Options expired		(17	)		(1,946	)
Options exercised		—			—
Balance at March 31, 2011		—		$	—

Large Cap Value Fund Written Put Options

	Number of			Premium
	Contracts			Amount
Balance at September 30, 2010		75		$	22,542
Options written		—			—
Options terminated in closing purchase transactions		—			—
Options expired		—			—
Options exercised		(75	)		(22,542	)
Balance at March 31, 2011		—		$	—

Large Cap Value Institutional Fund Written Put Options

	Number of			Premium
	Contracts			Amount
Balance at September 30, 2010		5		$	1,503
Options written		—			—
Options terminated in closing purchase transactions		—			—
Options expired		—			—
Options exercised		(5	)		(1,503	)
Balance at March 31, 2011		—		$	—

THE RYDEX|SGI EQUITY FUNDS SEMI-ANNUAL REPORT | 99

NOTES TO FINANCIAL STATEMENTS (Unaudited) (continued)

5. Repurchase Agreements

Information related to repurchase agreements as of March 31, 2011, were as follows:

		Terms of			Repurchase		Collateral	Collateral			Collateral		Collateral
Fund	Counterparty	Agreement	Face Value		Price		Type	Rate			Maturity		Value
Alpha Opportunity Fund	State Street	0.01% due 04/01/11	$	1,366,517	$	1,366,517	U.S. Treasury Note		1.00	%		04/30/2012	$	854,433
							U.S. Treasury Note		3.13	%		04/30/2017		541,952
														1,396,385
Mid Cap Value Fund	UMB Financial Corp	0.03% due 04/01/11	$	55,424,000	$	55,424,046	Federal Home Loan Bank		0.34	%		12/15/2011		20,030,622
							Freddie Mac		1.38	%		02/25/2014		20,037,551
							Fannie Mae		1.38	%		12/30/2013		16,465,058
														56,533,231
Mid Cap Value Institutional Fund	UMB Financial Corp	0.03% due 04/01/11	$	27,592,000	$	27,592,023	Freddie Mac		2.50	%		01/17/2014		12,932,818
							Federal Farm Credit Bank		0.92	%		11/26/2013		14,659,219
														27,592,037

6. Derivative Investment Holdings Categorized by Risk Exposure

U.S. generally accepted accounting principles requires enhanced disclosures to enable investors to better understand how and why the Funds use derivative instruments, how these derivative instruments are accounted for and their effects on the Funds’ financial position and results of operations. None of the derivatives currently held by the Funds are being used as hedging instruments.

Certain Funds seek to gain exposure to their respective benchmarks by investing in currency, and financial-linked derivative instruments, including futures and options. The following table represents the notional amount of derivative instruments outstanding, as an approximate percentage of the Fund’s net assets on a daily basis, while the risk to the Fund is limited to the profit earned on such derivatives:

	Approximate percentage
	of Fund’s net assets
Fund	on a daily basis
All Cap Value Fund		0	%*
Alpha Opportunity Fund		25	%
Mid Cap Value Fund		0	%*
Mid Cap Value Institutional Fund		0	%*
Small Cap Value Fund		0	%*

* Less than 1%.

The following is a summary of the location of derivative investments on the Funds’ Statements of Assets and Liabilities as of March 31, 2011:

Location on the Statements of Assets and Liabilities

Derivative Investments Type	Asset Derivatives	Liability Derivatives
Futures — equity contracts	Receivable: Variation margin	Payable: Variation margin
Written Options — equity contracts		Written Options, at value

The following table sets forth the fair value of the Funds’ derivative contracts by primary risk exposure as of March 31, 2011:

Asset Derivative Investments Value

	Futures		Written Options
	Equity		Equity
Fund	Contracts*		Contracts		Total
Alpha Opportunity Fund	$	14,599	$	—	$	14,599

100 | THE RYDEX|SGI EQUITY FUNDS SEMI-ANNUAL REPORT

NOTES TO FINANCIAL STATEMENTS (Unaudited) (continued)

Liability Derivative Investments Value

	Futures		Written Options
	Equity		Equity
Fund	Contracts*		Contracts		Total
All Cap Value Fund	$	—	$	2,202	$	2,202
Mid Cap Value Fund		—		1,000,605		1,000,605
Mid Cap Value Institutional Fund		—		396,400		396,400
Small Cap Value Fund		—		4,560		4,560

* Includes cumulative appreciation (depreciation) of futures contracts as reported in the Schedule of Investments. Only current day’s variation margin is reported within the Statement of Assets and Liabilities.

The following is a summary of the location of derivative investments on the Funds’ Statements of Operations as of March 31, 2011:

Derivative Investment Type	Location of Gain (Loss) on Derivatives
Futures — equity contracts	Net realized gain (loss) on futures contracts and change in net unrealized appreciation (depreciation) on futures contracts
Written Options — equity contracts	Net realized gain (loss) on options written and change in net unrealized appreciation (depreciation) on options written

The following is a summary of the Funds’ realized gain (loss) and change in unrealized appreciation (depreciation) on derivative investments recognized in the Statements of Operations categorized by primary risk exposure for the six months ended March 31, 2011:

Realized Gain (Loss) on Derivative Investments Recognized in the Statement of Operations

	Futures		Written Options
	Equity		Equity
Fund	Contracts		Contracts		Total
All Cap Value Fund	$	—	$	1,642	$	1,642
Alpha Opportunity Fund		572,949		—		572,949
Mid Cap Value Fund		—		1,362,151		1,362,151
Mid Cap Value Institutional Fund		—		519,568		519,568
Small Cap Value Fund		—		2,807		2,807

Change in Unrealized Appreciation (Depreciation) on Derivative Investments Recognized in the Statement of Operations

	Futures			Written Options
	Equity			Equity
Fund	Contracts			Contracts			Total
All Cap Value Fund	$	—		$	966		$	966
Alpha Opportunity Fund		(34,434	)		—			(34,434	)
Large Cap Core Fund		—			(12,667	)		(12,667	)
Mid Cap Value Fund		—			89,797			89,797
Mid Cap Value Institutional Fund		—			57,716			57,716
Small Cap Value Fund		—			3,914			3,914
Large Cap Value Fund		—			(7,916	)		(7,916	)
Large Cap Value Institutional Fund		—			(528	)		(528	)

THE RYDEX|SGI EQUITY FUNDS SEMI-ANNUAL REPORT | 101

NOTES TO FINANCIAL STATEMENTS (Unaudited) (continued)

7. Federal Tax Matters

For federal income tax purposes, the amounts of unrealized appreciation (depreciation) on investments at March 31, 2011, were as follows:

	��
									Net unrealized
		Investment		Gross unrealized		Gross unrealized			appreciation
Fund Name		Tax Cost		appreciation		(depreciation)			(depreciation)
All Cap Value Fund		$	2,859,572	$	657,572	$	(28,870	)	$	628,702
Alpha Opportunity Fund			14,560,225		1,565,482		(815,101	)		750,381
Large Cap Core Fund			172,433,499		36,079,806		(4,618,721	)		31,461,085
Global Fund			84,664,314		11,108,605		(1,294,059	)		9,814,546
Global Institutional Fund			4,091,912		503,325		(56,563	)		446,762
Mid Cap Value Fund			1,257,402,797		391,867,059		(35,514,115	)		356,352,944
Mid Cap Value Institutional Fund			528,776,083		151,829,282		(9,301,353	)		142,527,929
Large Cap Concentrated Growth			36,969,935		6,335,909		(215,426	)		6,120,483
Small Cap Growth Fund			13,378,412		5,050,148		(171,212	)		4,878,936
Small Cap Value Fund			10,131,453		1,808,941		(235,341	)		1,573,600
Large Cap Value Fund			44,891,762		10,853,917		(1,711,189	)		9,142,728
Large Cap Value Institutional Series			2,512,433		647,370		(22,947	)		624,423
Security Mid Cap Growth Fund			75,946,898		13,590,462		(701,137	)		12,889,325

The tax character of distributions paid during the fiscal year ended September 30, 2010 is as follows:

	Ordinary		Capital		Return of
	Income		Gain		Capital		Total
All Cap Value Fund	$	3,710	$	—	$	—	$	3,710
Global Institutional Fund		97,135		—		—		97,135
Mid Cap Value Fund		1,178,918		—		—		1,178,918
Mid Cap Value Institutional Fund		10,187,733		1,221,429		—		11,409,162
Small Cap Value Fund		161,456		34,045		—		195,501
Large Cap Value Fund		405,457		—		—		405,457
Large Cap Value Institutional Fund		23,939		—		—		23,939

Note: For federal income tax purposes, short term capital gain distributions are treated as ordinary income distributions.

As of September 30, 2010, the components of distributable earnings on a tax basis were:

	Undistributed		Undistributed		Accumulated			Unrealized			Total
	Ordinary		Long-Term		Capital and			Appreciation			Accumulated
	Income		Capital Gain		Other Losses*			(Depreciation)**			Earnings/(Deficit)
All Cap Value Fund	$	46,034	$	114,631	$	—		$	163,238		$	323,903
Alpha Opportunity Fund		—		—		(12,560,228	)		(458,114	)		(13,018,342	)
Large Cap Core Fund		505,424		—		(34,280,051	)		8,835,577			(24,939,050	)
Global Fund		476,659		—		(42,959,604	)		7,022,296			(35,460,649	)
Global Institutional Fund		17,497		—		(1,821,961	)		311,309			(1,493,155	)
Mid Cap Value Fund		2,564,377		—		(78,016,101	)		137,589,818			62,138,094
Mid Cap Value Institutional Fund		14,921,262		6,926,441		—			56,800,954			78,648,657
Large Cap Concentrated Growth Fund		129,025		—		(13,326,902	)		2,731,244			(10,466,633	)
Small Cap Growth Fund		—		—		(6,716,262	)		2,880,820			(3,835,442	)
Small Cap Value Fund		461,897		675,830		—			(165,198	)		972,529
Large Cap Value Fund		212,689		—		(17,315,758	)		1,246,659			(15,856,410	)
Large Cap Value Institutional Fund		15,398		—		(361,759	)		165,976			(180,385	)
Mid Cap Growth Fund		—		—		(32,298,267	)		9,417,520			(22,880,747	)

*	Certain Funds had net capital loss carryovers and deferred post October losses as identified elsewhere in the Notes to the Financial Statements.
**	The differences between book-basis and tax-basis unrealized appreciation (depreciation) are attributable primarily to the tax deferral of wash sale losses, the differences between book and tax basis passive foreign investment companies and bond discount accretion.

102 | THE RYDEX|SGI EQUITY FUNDS SEMI-ANNUAL REPORT

NOTES TO FINANCIAL STATEMENTS (Unaudited) (continued)

For the year ended September 30, 2010, the capital loss carryovers utilized or expired and the accumulated net realized loss on sales of investments for federal income tax purposes which are available to offset future taxable gains are shown in the table below. The post-October losses that are deferred to the first day of the next fiscal year are as follows:

									Deferred
	Capital Loss		Capital Loss		Remaining				Post-
	Carryovers		Carryovers		Capital Loss				October
	Utilized		Expired		Carryovers		Expires In		Losses
All Cap Value Fund	$	4,080	$	—	$	—		2017	$	—
Alpha Opportunity Fund	$	—	$	—	$	8,215,458		2017	$	2,843
		—		—		4,341,927		2018
	$	—	$	—	$	12,557,385
Large Cap Core Fund	$	—	$	—	$	10,341,572		2017	$	2,315,300
		—		—		21,623,180		2018
	$	—	$	—	$	31,964,752
Global Fund	$	—	$	674,209	$	—		2010	$	301,732
		—		—		37,300,368		2017
		—		—		5,357,504		2018
	$	—	$	674,209	$	42,657,872
Global Institutional Fund	$	—	$	—	$	1,263,838		2017	$	12,655
		—		—		545,469		2018
	$	—	$	—	$	1,809,307
Mid Cap Value Fund	$	—	$	—	$	3,357,672		2017	$	3,790,876
		—		—		70,867,553		2018
	$	—	$	—	$	74,225,225
Large Cap Concentrated Growth Fund*	$	—	$	2,582,076	$	—		2010	$	—
		—		—		3,390,876		2011
		—		—		38,639		2012
		—		—		7,441,695		2017
		—		—		2,455,692		2018
	$	—	$	2,582,076	$	13,326,902
Small Cap Growth Fund	$	—	$	—	$	4,589,755		2017	$	—
		—		—		2,126,507		2018
	$	—	$	—	$	6,716,262
Large Cap Value Fund	$	—	$	—	$	7,053,807		2017	$	28,441
		—		—		10,233,510		2018
	$	—	$	—	$	17,287,317
Large Cap Value Institutional Fund	$	—	$	—	$	70,714		2017	$	28,663
		—		—		262,382		2018
	$	—	$	—	$	333,096
Mid Cap Growth Fund	$	—	$	567,035	$	—		2010	$	—
		—		—		16,944		2011
		—		—		26,755,106		2017
		—		—		5,526,217		2018
	$	—	$	567,035	$	32,298,267

* Subject to limitations pursuant to Section 382 of the Internal Revenue Code.

Net investment income and net realized gains (losses) may differ for financial statement and tax purposes because of temporary or permanent book/tax differences. These differences are primarily due to post-October losses, losses deferred due to wash sales, foreign currency gains and losses, and the “mark-to-market” of certain passive foreign investment companies (PFICs) for tax purposes. To the extent these differences are permanent, reclassifications are made to the appropriate equity accounts in the period that the differences arise.

THE RYDEX|SGI EQUITY FUNDS SEMI-ANNUAL REPORT | 103

NOTES TO FINANCIAL STATEMENTS (Unaudited) (continued)

8. Affiliated Transactions

Investments representing 5% or more of the outstanding voting shares of a portfolio company of a fund, or control of or by, or common control under Guggenheim Partners, LLC, result in that portfolio company being considered an affiliated company of such fund, as defined in the 1940 Act. Transactions during the six months ended March 31, 2011 in which the portfolio company is an “affiliated person” are as follows:

		Value							Value		Shares		Investment
Fund	Security	09/30/2010		Additions		Reductions			03/31/2011		03/31/2011		Income
Alpha Opportunity Fund	Exchange Traded Fund:
	Guggenheim Timber ETF	$	48,887	$	110,262	$	(157,636	)	$	—		—	$	—
Mid Cap Value Fund	Common Stock:
	IXYS Corp.		22,347,000		765,600		—			32,232,000		2,400,000		—
	Maxwell Technologies, Inc.		21,691,467		330,400		—			25,986,169		1,504,700		—
	Thermoenergy Corp.		810,552		—		—			594,405		2,701,839		—
	Preferred Stock:
	Thermoenergy Corp.		751,901		—		—			551,394		858,334		—
	Warrant:
	Thermoenergy Corp.		1,106,908		—		—			708,641		13,733,344		—
	Total		46,707,828		1,096,000		—			60,072,609		21,198,217		—
Mid Cap Value Institutional Fund	Common Stock:
	Hydrogen Corp.		3,924		—		—			25,314		1,265,700		—
	Total		3,924		—		—			25,314		1,265,700		—

9. Alpha Opportunity Fund

The Fund contracted with Lehman Brothers International Europe (“LBIE”) to provide prime brokerage services related to the Fund’s short selling. On September 15, 2008, LBIE was placed into administration and a third party administrator was named (the “Administrator”). The Fund’s exposure to LBIE consists of short sale proceeds held by LBIE, and restricted long positions held at the Fund’s custodian, as collateral for said short sales. The Fund has delivered a Notice of Termination of Loans to LBIE and the Administrator. The Fund is working to resolve these issues with LBIE and the Administrator. As of March 31, 2011, included in the Statement of Assets and Liabilities are the value of restricted long positions of $8,472,434, cash collateral of $550,800, restricted cash representing the value of short sale proceeds of $4,410,316 and liabilities for short sales of $7,341,377 representing the value of securities sold short at the date the short sales were deemed by the Fund to have been terminated. If these short sales had not been terminated, the value of the liability related to these securities sold short would have been $(7,792,046) as of March 31, 2011 resulting in a decrease in net assets of $450,669 (or 3.3%). Until such time as the liability for short sales is settled and all restrictions are removed by LBIE and LBI, the Fund cannot sell such restricted long positions and/or utilize the restricted cash balances to achieve the Fund’s investment objectives and/or meet Fund redemption or other Fund obligations. Based on the ultimate terms of such settlement, the value assigned to these positions may ultimately differ from the fair valuations assigned to them by the Fund and there is no guaranty that the Fund will ultimately recover the full value of the assets that are subject to restrictions. Accordingly, a settlement could ultimately result in the Fund realizing values that are materially different from those indicated herein, which would materially impact the Fund’s net asset value (either positively or negatively). As of the close of business on October 3, 2008, and until further notice, the Fund is not accepting subscriptions for shares from either new or existing shareholders.

10. Fair Value Measurement

In accordance with U.S. generally accepted accounting principles, fair value is defined as the price that the Fund would receive to sell an investment or pay to transfer a liability in an orderly transaction with an independent buyer in the principal market, or in the absence of a principal market the most advantageous market for the investment or liability. A three-tier hierarchy to distinguish between (1) inputs that reflect the assumptions market participants would use in pricing an asset or liability developed based on market data obtained from sources independent of the reporting entity (observable inputs) and (2) inputs that reflect the reporting entity’s own assumptions about the assumptions market participants would use in pricing an asset or liability developed based on the best information available in the circumstances (unobservable inputs) and to establish classification of fair value measurements for disclosure purposes. Various inputs are used in determining the value of the Funds’ investments. The inputs are summarized in the three broad levels listed below:

Level 1	—	quoted prices in active markets for identical securities.
Level 2	—	other significant observable inputs (including quoted prices for similar securities, interest rates, prepayment speeds, credit risk, etc.).

104 | THE RYDEX|SGI EQUITY FUNDS SEMI-ANNUAL REPORT

NOTES TO FINANCIAL STATEMENTS (Unaudited) (continued)

Level 3 — significant unobservable inputs (including the fund’s own assumptions used to determine the fair value of investments).

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

The following table provides the fair value measurement of applicable Fund assets by level within the fair value hierarchy as of March 31, 2011. These assets are measured on a recurring basis.

	Level 1		Level 1		Level 2		Level 3
	Investments		Other Financial		Investments		Investments
Fund	In Securities		Instruments		In Securities		In Securities		Total
Assets
All Cap Value Fund	$	3,488,274	$	—	$	—	$	—	$	3,488,274
Alpha Opportunity Fund		12,923,809		14,599		2,386,797		—		15,325,205
Large Cap Core Fund		203,894,584		—		—		—		203,894,584
Global Fund		91,391,095		—		3,087,765		—		94,478,860
Global Institutional Fund		4,045,887		—		492,787		—		4,538,674
Mid Cap Value Fund		1,546,325,945		—		67,429,796		—		1,613,755,741
Mid Cap Value Institutional Fund		638,201,787		—		33,102,225		—		671,304,012
Large Cap Concentrated Growth Fund		43,090,418		—		—		—		43,090,418
Small Cap Growth Fund		18,257,348		—		—		—		18,257,348
Small Cap Value Fund		11,695,878		—		9,175		—		11,705,053
Large Cap Value Fund		54,034,490		—		—		—		54,034,490
Large Cap Value Institutional Fund		3,136,856		—		—		—		3,136,856
Mid Cap Growth Fund		88,835,682		—		541		—		88,836,223
Liabilities
All Cap Value Fund	$	—	$	2,202	$	—	$	—	$	2,202
Alpha Opportunity Fund		13,640		—		—		7,341,377		7,355,017
Large Cap Core Fund		—		—		—		—		—
Global Fund		—		—		—		—		—
Global Institutional Fund		—		—		—		—		—
Mid Cap Value Fund		—		1,000,605		—		—		1,000,605
Mid Cap Value Institutional Fund		—		396,400		—		—		396,400
Large Cap Concentrated Growth Fund		—		—		—		—		—
Small Cap Growth Fund		—		—		—		—		—
Small Cap Value Fund		—		4,560		—		—		4,560
Large Cap Value Fund		—		—		—		—		—
Large Cap Value Institutional Fund		—		—		—		—		—
Mid Cap Growth Fund		—		—		—		—		—

The Funds adopted updated provisions surrounding fair value measurements and disclosures effective March 31, 2010. This update applies to the Funds’ disclosures about transfers in and out of all Levels of the fair value hierarchy on a gross basis and the reasons for the transfers, as well as to disclosures about the valuation techniques and inputs used to measure fair value for investments that fall in either Level 2 or Level 3 fair value hierarchy. Effective for interim and annual periods beginning after December 15, 2010, purchases, sales, issuances and settlements must be shown on a gross basis in the Level 3 rollforward rather than as one net number.

For the six months ended March 31, 2011, there were no significant transfers between Levels.

Following is a reconciliation of Level 3 assets for which significant unobservable inputs were used to determine fair value for the six months ended March 31, 2011:

LEVEL 3 — Fair value measurement using significant unobservable inputs

	Securities Sold Short		Total
Alpha Opportunity Fund
Liabilities:
Beginning Balance	$	7,341,377	$	7,341,377
Total realized gains or losses included in earnings		—		—
Total unrealized gains or losses included in earnings		—		—
Purchases, sales, issuances, and settlements (net)		—		—
Transfers in and/or out of Level 3		—		—
Ending Balance	$	7,341,377	$	7,341,377

THE RYDEX|SGI EQUITY FUNDS SEMI-ANNUAL REPORT | 105

NOTES TO FINANCIAL STATEMENTS (Unaudited) (concluded)

11. Other Liabilities

Mid Cap Value Fund, Mid Cap Value Institutional Fund and Large Cap Core Fund each wrote put option contracts through Lehman Brothers Inc., (“Lehman”) that were exercised prior to the option contracts’ expiration and prior to the bankruptcy filing by Lehman, during September, 2008. However, these transactions have not settled and the securities have not been delivered to the Funds as of March 31, 2011.

Although the ultimate resolution of these transactions is uncertain, the Funds have recorded a liability on their respective books equaI to the difference between the strike price on the put options and the market price of the underlying security on the exercise date. The amount of the liability recorded by the Funds as of March 31, 2011 was $473,594 for Mid Cap Value Fund, $15,940 for Mid Cap Value Institutional Fund, and $18,615 for Large Cap Core Fund.

12. Subsequent Events

Reverse Share Splits

Effective April 8, 2011, the Large Cap Core Fund, Large Cap Value Fund and the Mid Cap Growth Fund each underwent a 1-for-4 reverse share split. The effect of the transaction was to divide the number of outstanding shares of the Fund by four, resulting in a corresponding increase in the net asset value per share. The shares outstanding and net asset value per share on the statement of assets and liabilities as of March 31, 2011, the capital share activity presented in the statement of changes in net assets for each of the two years in the period then ended, and the per share data in the financial highlights for each of the years in the five-year period then ended have been given retroactive effect to reflect these reverse share splits. There were no changes in net assets, results of operations or total return as a result of these transactions.

Global Institutional Fund Liquidation

Effective April 27, 2011, the Global Institutional Fund liquidated assets and ceased operations.

Global Fund Changes

At a meeting held on February 16, 2011 the Board of Directors (the “Board”) approved the following changes with respect to the Fund, each effective on April 29, 2011:

• The change of the Fund’s name to “MSCI EAFE Equal Weight Fund;”

• The change of the Fund’s’ investment objective to “performance that corresponds, before fees and expenses, to the price and yield performance of the MSCI EAFE Equal Weighted Index;”

• The change of the Fund’s investment strategies to reflect the new name and investment objective;

• The change of the Fund’s benchmark index in light of the foregoing changes to the Fund’s investment objective and strategies; and

• A new lower investment advisory fee of 0.70% of average daily net assets on an annual basis (instead of 1.00% currently).

• The creation of the new Institutional Class in MSCI EAFE Equal Weight Fund.

Also, the Fund’s portfolio managers are expected to change when the new strategies are implemented.

106 | THE RYDEX|SGI EQUITY FUNDS SEMI-ANNUAL REPORT

INFORMATION ON BOARD OF DIRECTORS AND OFFICERS (Unaudited)

DIRECTORS

The business address of each director is One Security Benefit Place, Topeka, KS 66636-0001

Name
(Date of Birth)	Principal Occupations
Year Elected***	During Past Five Years
Donald A. Chubb, Jr.** (12-14-46) 1994	Business Broker — Griffith & Blair Realtors
Harry W. Craig, Jr.** (05-11-39) 2004	Chairman, CEO, Secretary & Director — The Martin Tractor Company, Inc.
Jerry B. Farley** (09-20-46) 2005	President — Washburn University
Penny A. Lumpkin** (08-20-39) 1993	Partner — Vivian’s Gift Shop (Corporate Retail) Vice President — Palmer Companies, Inc. (Small Business and Shopping Center Development) Vice President — PLB (Real Estate Equipment Leasing)
Maynard F. Oliverius** (12-18-43) 1998	President & Chief Executive Officer — Stormont-Vail HealthCare
Richard M. Goldman* (03-04-61) 2008 (President, Director & Chairman of the Board)	Senior Vice President — Security Benefit Corporation Director — First Security Benefit Life Insurance and Annuity Company of New York President — Security Investors, LLC President & Director — Security Global Investors, LLC CEO, President, & Director — Rydex Distributors, Inc. President & CEO — Rydex Holdings, LLC CEO & Director — Padco Advisors, Inc. CEO & Director — Padco Advisors II, Inc. Director — Rydex Fund Services, Inc. Director — Security Distributors, Inc. (2007-2009) Managing Member — Goldman Partners, LLC (2006-2007) President and CEO — ForstmannLeff (2003-2005)

*	This director is deemed to be an “interested person” of the Funds under the Investment Company Act of 1940, as amended, by reason of his position with the Funds’ Investment Manager and/or the parent of the Investment Manager. This director is also an officer of the funds.
**	These directors serve on the Fund’s joint audit committee, the purpose of which is to meet with the independent registered public accounting firm, to review the work of the independent registered public accounting firm, and to oversee the handling by Security Investors of the accounting and financial reporting functions for the Funds.
***	Each director oversees 29 Security Funds portfolios and serves until the next annual meeting, or until a successor has been duly elected and qualified.

THE RYDEX|SGI EQUITY FUNDS SEMI-ANNUAL REPORT | 107

INFORMATION ON BOARD OF DIRECTORS AND OFFICERS (Unaudited) (continued)

OFFICERS*

The business address of each officer is One Security Benefit Place, Topeka, KS 66636-0001

Name
(Date of Birth)	Principal Occupations
Title – Year Elected	During Past Five Years
Mark P. Bronzo (11-01-60) Vice President — 2008	Current: Portfolio Manager, Security Investors, LLC Managing Director and Chief Compliance Officer, Nationwide Separate Accounts LLC (2003-2008)
Keith A. Fletcher (02-18-58) Vice President — 2010	Current: Senior Vice President, Security Investors, LLC; Vice President, Rydex Holdings, LLC; Vice President, Rydex Specialized Products, LLC; Vice President, Rydex Distributors, LLC; Vice President, Rydex Fund Services, LLC; Vice President and Director, Advisor Research Center, Inc.; and Vice President, Rydex Series Funds, Rydex ETF Trust, Rydex Dynamic Funds and Rydex Variable Trust Vice President, Security Global Investors, LLC (2010-2011); Vice President, Rydex Advisors, LLC (2010); and Vice President, Rydex Advisors II, LLC (2010)
Joanna M. Haigney (10-10-66) Chief Compliance Officer — 2010	Current: Chief Compliance Officer & Secretary, Rydex Series Funds, Rydex ETF Trust, Rydex Dynamic Funds, and Rydex Variable Trust; Vice President, Rydex Holdings, LLC; Vice President, Security Benefit Asset Management Holdings, LLC; and Senior Vice President & Chief Compliance Officer, Security Investors, LLC Senior Vice President, Security Global Investors, LLC (2010-2011); Chief Compliance Officer and Senior Vice President, Rydex Advisors, LLC & Rydex Advisors II, LLC (2010)
Nikolaos Bonos (05-30-63) Treasurer — 2010	Current: Senior Vice President, Security Investors, LLC; Chief Executive Officer & Manager, Rydex Specialized Products, LLC; Chief Executive Officer & President, Rydex Fund Services, LLC; Vice President, Rydex Holdings, LLC; Vice President & Treasurer, Rydex Series Funds; Rydex ETF Trust; Rydex Dynamic Funds; and Rydex Variable Trust; and Vice President, Security Benefit Asset Management Holdings, LLC Senior Vice President, Security Global Investors, LLC (2010-2011); and Senior Vice President, Rydex Advisors, LLC and Rydex Advisors II, LLC
Joseph M. Arruda (09-05-66) Assistant Treasurer — 2010	Current: Vice President, Security Investors, LLC; Chief Financial Officer & Manager, Rydex Specialized Products, LLC; and Assistant Treasurer, Rydex Series Funds; Rydex Dynamic Funds; Rydex ETF Trust; and Rydex Variable Trust Vice President, Security Global Investors, LLC (2010-2011); and Vice President, Rydex Advisors, LLC and Rydex Advisors II, LLC (2010)

* Officers serve until the next annual meeting or until a successor has been duly elected and qualified.

108 | THE RYDEX|SGI EQUITY FUNDS SEMI-ANNUAL REPORT

INFORMATION ON BOARD OF DIRECTORS AND OFFICERS (Unaudited) (concluded)

OFFICERS* (concluded)

The business address of each officer is One Security Benefit Place, Topeka, KS 66636-0001

Name (Date of Birth)	Principal Occupations
Title – Year Elected	During Past Five Years
Amy J. Lee (06-05-61) Vice President — 2007 Secretary — 1987	Current: Senior Vice President & Secretary, Security Investors, LLC; Secretary & Chief Compliance Officer, Security Distributors, Inc.; Vice President, Associate General Counsel & Assistant Secretary, Security Benefit Life Insurance Company and Security Benefit Corporation; Associate General Counsel, First Security Benefit Life Insurance and Annuity of New York; Vice President & Assistant Secretary, Rydex Series Funds, Rydex ETF Trust, Rydex Dynamic Funds, and Rydex Variable Trust; Vice President & Secretary, Rydex Holdings, LLC Secretary, Advisor Research Center, Inc., Rydex Specialized Products, LLC, Rydex Distributors, LLC and Rydex Fund Services, LLC; and Assistant Secretary, Security Benefit Clinic and Hospital Senior Vice President & Secretary, Security Global Investors, LLC (2007-2011); Senior Vice President & Secretary, Rydex Advisors, LLC and Rydex Advisors II, LLC (2010); and Director, Brecek & Young Advisors, Inc. (2004-2008)
Mark A. Mitchell (08-24-64) Vice President — 2003	Current: Portfolio Manager, Security Investors, LLC Vice President and Portfolio Manager, Security Benefit Life Insurance Company (2003-2010)
Joseph C. O’Connor (07-15-60) Vice President — 2008	Current: Portfolio Manager, Security Investors, LLC Managing Director, Nationwide Separate Accounts LLC (2003-2008)
Daniel W. Portanova (10-02-60) Vice President — 2008	Current: Portfolio Manager, Security Investors, LLC Managing Director, Nationwide Separate Accounts LLC (2003-2008)
James P. Schier (12-28-57) Vice President — 1998	Current: Senior Portfolio Manager, Security Investors, LLC Vice President & Senior Portfolio Manager, Security Benefit Life Insurance Company (1998-2010)
David G. Toussaint (10-10-66) Vice President — 2005	Current: Portfolio Manager, Security Investors, LLC Assistant Vice President and Portfolio Manager, Security Benefit Life Insurance Company. (2005-2009)

* Officers serve until the next annual meeting or until a successor has been duly elected and qualified.

THE RYDEX|SGI EQUITY FUNDS SEMI-ANNUAL REPORT | 109

OTHER INFORMATION (Unaudited)

Each of the Rydex|SGI Funds files a complete schedule of portfolio holdings with the U.S. Securities and Exchange Commission for the first and third quarters of each fiscal year on Form N-Q. The Forms N-Q of each such Fund are available on the Commission’s website at www.sec.gov. The Forms N-Q may be reviewed and copied at the Commission’s Public Reference Room in Washington, DC. Information on the operation of the Public Reference Room may be obtained by calling 1.800.SEC.0330. The portfolio holdings of each of the Rydex|SGI Funds are available on their website, www.securitybenefit.com or by calling 1.800.888.2461.

A description of the policies and procedures that the Rydex|SGI Funds use to determine how to vote proxies relating to portfolio securities is available upon request, free of charge by calling 1.800.888.2461, or accessing the U.S. Securities and Exchange Commission website at www.sec.gov. Information regarding how the Rydex|SGI Funds voted proxies relating to portfolio securities during the 12 month period ended June 30, 2010 is available upon request, free of charge by calling 1.800.888.2461, or accessing the U.S. Securities and Exchange Commission website at www.sec.gov.

The statement of additional information (“SAI”) includes additional information about the Funds’ Directors and is available upon request without charge by calling 1.800.888.2461.

Office Locations

The offices of Security Global Investors, LLC can be found in the following locations:

40 East 52nd Street
16th Floor
New York, NY 10022
(Headquarters)

Four Irvington Centre
805 King Farm Boulevard
Suite 600
Rockville, MD 20850

9401 Indian Creek Parkway
40 Corporate Woods
Suite 850
Overland Park, KS 66210

110 | THE RYDEX|SGI EQUITY FUNDS SEMI-ANNUAL REPORT

OTHER INFORMATION (Unaudited) (concluded)

Rydex Funds, Rydex|SGI Funds, Rydex Investments, Rydex Distributors, Inc., Security Investors, LLC, Security Global Investors, LLC, Security Distributors, Inc. and Rydex Advisory Services (Collectively “Rydex|SGI”)

Our Commitment to You

When you become a Rydex|SGI investor, you entrust us with not only your hard-earned money but also with personal and financial information about you. We recognize that your relationship with us is based on trust and that you expect us to act responsibly and in your best interests. Because we have access to this private information about you, we hold ourselves to the highest standards in its safekeeping and use. This means, most importantly, that we do not sell client information to anyone—whether it is your personal information or if you are a current or former Rydex|SGI client.

The Information We Collect About You

In the course of doing business with shareholders and investors, we collect nonpublic personal information about you. You typically provide personal information when you complete a Rydex|SGI account application or when you request a transaction that involves Rydex and Rydex|SGI funds or one of the Rydex|SGI affiliated companies. “Nonpublic personal information” is personally identifiable private information about you. For example, it includes information regarding your name and address, Social Security or taxpayer identification number, assets, income, account balance, bank account information and investment activity (e.g., purchase and redemption history).

How We Handle Your Personal Information

As emphasized above, we do not sell information about current or former clients or their accounts to third parties. Nor do we share such information, except when necessary to complete transactions at your request or to make you aware of related investment products and services that we offer. Additional details about how we handle your personal information are provided below. To complete certain transactions or account changes that you direct, it may be necessary to provide identifying information to companies, individuals or groups that are not affiliated with Rydex|SGI. For example, if you ask to transfer assets from another financial institution to Rydex|SGI, we will need to provide certain information about you to that company to complete the transaction. To alert you to other Rydex|SGI investment products and services, we may share your information within the Rydex|SGI family of affiliated companies. This would include, for example, sharing your information within Rydex|SGI so we can make you aware of new Rydex and Rydex|SGI funds or the services offered through another Rydex|SGI affiliated company. In certain instances, we may contract with nonaffiliated companies to perform services for us. Where necessary, we will disclose information we have about you to these third parties. In all such cases, we provide the third party with only the information necessary to carry out its assigned responsibilities and only for that purpose. And we require these third parties to treat your private information with the same high degree of confidentiality that we do. In certain instances, we may share information with other financial institutions regarding individuals and entities in response to the U.S.A. Patriot Act. Finally, we will release information about you if you direct us to do so, if we are compelled by law to do so or in other circumstances permitted by law.

Opt Out Provisions

We do not sell your personal information to anyone. The law allows you to “opt out” of only certain kinds of information sharing with third parties. The firm does not share personal information about you with any third parties that triggers this opt-out right. This means YOU ARE ALREADY OPTED OUT.

How We Protect Privacy Online

Our concern for the privacy of our shareholders also extends to those who use our web site, www.rydex-sgi.com. Our web site uses some of the most secure forms of online communication available, including encryption technology, Secure Socket Layer (SSL) protocol, firewalls and user names and passwords. These technologies provide a high level of security and privacy when you access your account information or initiate online transactions. The Rydex|SGI web site offers customized features that require our use of “http cookies”—tiny pieces of information that we ask your browser to store. However, we make very limited use of these cookies. We only use cookies for session management and security features on the Rydex|SGI web site. We do not use them to pull data from your hard drive, to learn your email address, or to view data in cookies created by other web sites. We will not share the information in our cookies or give others access to it. See the legal information area on our web site for more details about web site security and privacy features.

How We Safeguard Your Personal Information

We restrict access to nonpublic personal information about shareholders to our employees and in some cases to third parties (for example, the service providers described above) as permitted by law. We maintain strict physical, electronic and procedural safeguards that comply with federal standards to guard your nonpublic personal information.

We’ll Keep You Informed

As required by federal law, we will notify shareholders of our privacy policy annually. We reserve the right to modify this policy at any time, but rest assured that if we do change it, we will tell you promptly. You will also be able to access our privacy policy from our web site at www.rydex-sgi.com. Should you have any questions regarding our privacy policy, contact us at 800.820.0888 or 301.296.5100.

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One Security Benefit Place
Topeka, Kansas 66636-0001
securitybenefit.com
Rydex Distributors, Inc.
460604400

Item 2. Code of Ethics.

          Not required at this time.

Item 3. Audit Committee Financial Expert.

          Not required at this time.

Item 4. Principal Accountant Fees and Services.

          Not required at this time.

Item 5. Audit Committee of Listed Registrants.

          Not applicable.

Item 6. Schedule of Investments.

The Schedule of Investments is included under Item 1 of this form.

Item 7. Disclosure of Proxy Voting Policies and Procedures for Closed-End Management Investment Companies.

          Not applicable.

Item 8. Portfolio Mangers of Closed-end Management Investment Companies

          Not applicable

Item 9. Purchases of Equity Securities by Closed-End Management Investment Company and Affiliated Purchasers.

          Not applicable.

Item 10. Submission of Matters to a Vote of Security Holders.

The registrant does not currently have in place procedures by which shareholders may recommend nominees to the registrant’s board.

There have been no changes to the procedures by which shareholders may recommend nominees to the registrant’s board.

Item 11. Controls and Procedures.

(a) The registrant’s President and Treasurer have concluded that the registrant’s disclosure controls and procedures (as defined in rule 30a-3(c) under the

	Investment Company Act of 1940) are effective based on their evaluation of these disclosure controls and procedures within 90 days of the filing date of this report on Form N-CSR.
	There was no fraud, whether or not material, involving officers or employees of the Registrant who have a significant role in the Registrant’s internal controls, including disclosure controls and procedures (as defined in Rule 30a-3(c) under the Investment Company Act of 1940) that has come to the attention of the Registrant, including its President and Treasurer.
(b)	There were no significant changes in the registrant’s internal controls, or in other factors that could significantly affect these controls subsequent to the date of their evaluation, including any corrective actions with regard to significant deficiencies and material weaknesses.

Item 12. Exhibits.

(a)(2)	Separate certifications by the President (principal executive officer) and Treasurer (principal financial officer) of the registrant as required by Rule 30a-2(a) under the Act (17 CFR 270.30a-2(a)) are attached.
(b)	A certification by the registrant’s President (principal executive officer) and Treasurer (principal financial officer) as required by Rule 30a-2(b) under the Act (17 CFR 270.30a-2(b)) is attached.

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.

(Registrant) Security Equity Fund
By (Signature and Title)*	/s/ Richard M. Goldman
	Richard M. Goldman, President
Date June 7, 2011

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 (Signature and Title)*	/s/ Richard M. Goldman
	Richard M. Goldman, President
Date June 7, 2011
By (Signature and Title)*	/s/ Nikolaos Bonos
	Nikolaos Bonos, Treasurer
Date June 7, 2011

^* Print the name and title of each signing officer under his or her signature.