Rydex Energy Fund (RYEIX) N-CSR Certified 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- 07584

Rydex Series Funds
(Exact name of registrant as specified in charter)

9601 Blackwell Road, Suite 500

Rockville, Maryland 20850
(Address of principal executive offices) (Zip code)

Carl G. Verboncoeur
Rydex Series Funds
9601 Blackwell Road, Suite 500
Rockville, Maryland 20850
(Name and address of agent for service)

Registrant’s telephone number, including area code: 1-301-296-5149

Date of fiscal year end: March 31, 2009

Date of reporting period: March 31, 2009

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.

Rydex Series Funds Annual Report

MARCH 31, 2009

RYDEX SERIES FUNDS ANNUAL REPORT

BENCHMARK FUNDS

NOVA FUND

S&P 500 FUND

INVERSE S&P 500 STRATEGY FUND

NASDAQ-100^® FUND

INVERSE NASDAQ-100^® STRATEGY FUND

MID-CAP 1.5x STRATEGY FUND

INVERSE MID-CAP STRATEGY FUND

RUSSELL 2000^® 1.5x STRATEGY FUND

RUSSELL 2000^® FUND

INVERSE RUSSELL 2000 ^® STRATEGY FUND

GOVERNMENT LONG BOND 1.2x STRATEGY FUND

INVERSE GOVERNMENT LONG BOND STRATEGY FUND

HIGH YIELD STRATEGY FUND

INVERSE HIGH YIELD STRATEGY FUND

EUROPE 1.25x STRATEGY FUND

JAPAN 2x STRATEGY FUND

SMALL-CAP VALUE FUND

MID-CAP VALUE FUND

LARGE-CAP VALUE FUND

SMALL-CAP GROWTH FUND

MID-CAP GROWTH FUND

LARGE-CAP GROWTH FUND

U.S. GOVERNMENT MONEY MARKET FUND

 
 
 
 

TABLE OF CONTENTS

LETTER TO OUR SHAREHOLDERS   2

A BRIEF NOTE ON THE COMPOUNDING OF RETURNS   4

ABOUT SHAREHOLDERS’ FUND EXPENSES   5

PERFORMANCE REPORTS AND FUND PROFILES   10

SCHEDULES OF INVESTMENTS   56

STATEMENTS OF ASSETS AND LIABILITIES   140

STATEMENTS OF OPERATIONS   144

STATEMENTS OF CHANGES IN NET ASSETS   148

FINANCIAL HIGHLIGHTS   156

NOTES TO FINANCIAL STATEMENTS   167

REPORT OF INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM   182

OTHER INFORMATION   183

INFORMATION ON BOARD OF TRUSTEES AND OFFICERS   184

THE RYDEX SERIES FUNDS ANNUAL REPORT    |    1

LETTER TO OUR SHAREHOLDERS

DEAR SHAREHOLDERS:

The best thing anyone can say about 2008 is that it is now history. While superlatives like wild, volatile and unprecedented were thrown around on a daily basis since the crisis broke with full force late in the third quarter, there is sufficient evidence indicating that 2009 may continue to warrant such a characterization.

Investors experienced new stock market lows reminiscent of the 1970s, watched as unemployment crept towards new highs and could only sit back and watch as the value of their homes dropped precipitously. On Wall Street, the news was just as grim. The S&P 500^® Index fell 37% for the calendar year—second only to 1931. Hiding places were nearly non-existent as what turned out to be a globally correlated bear market provided few safe havens for investors, with the exception of U.S. Treasury securities. The market environment also emphasized the need for investors to look beyond traditional assets. Increasingly, we are beginning to see investors start to embrace alternative investments to not only assist in managing portfolio risk, but potentially enhance returns.

Bear Market Environment Continues

Fears of a prolonged bear market continued to weigh heavily on the minds of investors throughout the fall, as the financial sector collapsed on apprehension about inadequate capital reserves. In less than a month, the shape of the entire financial system was changed forever. The Wall Street model of large, aggressive, risk-taking investment banks was completely swept aside as financial titans such as Merrill Lynch & Company, Inc., Morgan Stanley, Goldman Sachs Group, Inc. and Lehman Brothers Holdings, Inc. collapsed, merged with or were reborn as commercial banks. Among other things, September 2008 showed us that the Wall Street formula of highly leveraged balance sheets, coupled with the need to access working capital on a daily basis, proved to be lethal when backed by seemingly worthless assets. In September, we saw a temporary ban on the short-selling of financial stocks and historic government intervention as the U.S. Treasury stepped in to offer temporary money market mutual fund insurance after the Reserve Primary Fund “broke the buck"—causing a massive exodus from money market mutual funds.

As the willingness to lend disappeared, so did Wall Street’s daily lifeline, culminating in what Alan Greenspan called, “A once-in-a-century credit tsunami.” In effectively erasing 13 years of performance gains, the S&P 500 Index bottomed out at 666.79—the lowest level since 1996—before rebounding 20% to end the quarter at 797.87. Yet, for the 12-month period ending 3/31/09, the S&P 500 Index was down 38.09%—similar to the abysmal performance investors endured in the calendar year.

Historic Government Intervention

While the equity markets faltered and the credit markets froze, the government—led by the Federal Reserve, the United States Treasury and the Federal Deposit Insurance Corporation (FDIC)—unveiled a colossal amount of policy initiatives with high hopes of jump-starting the economy. The bet being waged by Federal Reserve Chairman Ben Bernanke and Treasury Secretary Tim Geithner is that unleashing a massive amount of stimulus will keep credit flowing and financial markets functioning. Newly sworn-in government officials committed $12 trillion to programs designed to offset credit and subprime mortgage-related issues that were negatively impacting the financial services industry. This historic government intervention kicked into high gear during the fall when Congress established The Emergency Economic Stabilization Act of 2008 (EESA) in an effort to help strengthen the U.S. economy. Primarily, the act authorized the Troubled Assets Relief Program (TARP), which was originally structured to purchase troubled assets from ailing banks but quickly morphed into an effort to recapitalize the banking industry via the Capital Purchase Plan (CPP). The Financial Stability Plan (FSP) outlined by the U.S. Treasury, mandated new rules for additional transparency and accountability of financial institutions. As an objective

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1

LETTER TO OUR SHAREHOLDERS (concluded)

of the plan, the so-called “stress tests” of financial firms were initiated with an eye toward providing additional capital should the economy worsen. That same week, the U.S. Treasury, in partnership with the Federal Reserve and the FDIC, introduced the Public-Private Investment Fund. The fund, which combines public and private assets, was designed to remove legacy-toxic assets from bank balance sheets.

Dismal Economic Activity

As oil and gas prices fell from highs that topped $147/barrel and more than $4.00/gallon, consumers—who were concerned about job security—stopped spending. Fourth quarter 2008 GDP dropped 5.7% compared to 2007’s activity, putting the breaks on the nation’s engine of economic activity. The manufacturing side of the economy staggered in the face of disappearing demand as witnessed by the big three automakers, who appeared before Congress to ask for taxpayer-funded bailouts simply to stay afloat.

On the employment front, the news was just as grim. According to The Bureau of Labor Statistics, the U.S. unemployment rate hit 8.5% in March (levels not seen since November of 1983) with initial jobless claims jumping to 669,000—the highest recorded level since 1982, according to the Labor Department.

Market Outlook: Moving Forward

So what’s an investor to do? On a positive note, the new administration has rightly made the economy its top priority. In this unprecedented bear market environment, we believe it is more important than ever for investors to keep an eye on their long-term investment goals and utilize this opportunity to rebalance their portfolios and re-assess their risk tolerance. America (and the rest of the world) is experiencing an economic and financial storm many of us haven’t experienced in our lifetimes.

Will the tempest blow over? We can only wait and see. However, I do know this—bubble and bear markets have one commonality: fear. In each one, you’ll hear people say that,”... this time, it’s different...” It’s not. While history cannot predict the future, it suggests that the stock market will eventually revert to its mean.

We appreciate the trust that you have placed in our firm’s quality and integrity by investing with us. It is our goal to continue to offer you a wide variety of investment offerings to help you meet your financial goals.

Sincerely,

Mike Byrum, CFA
President and Chief Investment Officer

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.rydexinvestments.com.

THE RYDEX SERIES FUNDS ANNUAL REPORT    |    3

2

A BRIEF NOTE ON THE COMPOUNDING OF RETURNS (Unaudited)

Many of the Rydex Funds described in this report are benchmarked daily to leveraged and/or inverse leveraged versions of published indices. To properly evaluate the performance of these funds, it is essential to understand the effect of mathematical compounding on their respective returns.

Because of the nonlinear effects of leverage applied over time, it is possible for a fund to perform in line with its benchmark for several individual periods in a row, yet seem to trail the benchmark over the entire period. It is also possible that a fund that performs in-line with its benchmark on a daily basis may seem to outperform its benchmark over longer periods.

An Example of Compounding

For example, consider a hypothetical fund that is designed to produce returns that correspond to 150% of an index. On the first day of a period, the index rises from a level of 100 to a level of 106, producing a 6.0% gain and an expectation that the fund will rise by 9.0%. On the same day, the fund’s net asset value (“NAV”) increases from $10.00 to $10.90 for a gain of 9.0%—in line with its benchmark.

On day two, assume the index falls from 106 to 99 for a loss of about 6.6%. The fund, as expected, falls 9.9% to a price of $9.82. On each day, the fund performed exactly in line with its benchmark, but for the two-day period, the fund was down 1.8%, while the index was down only 1.0%. Without taking into account the daily compounding of returns, one would expect the fund to lose 1.5% and would see the fund as trailing by 0.3% when in fact it had performed perfectly. This example is summarized in the table below.

	Index		Index		Fund				Fund
	Level		Performance		Expectation		Fund NAV		Performance		Assessment
Start		100					$	10.00
Day 1		106		6.0%		9.0%	$	10.90		9.0%	In line
Day 2		99		-6.6%		-9.9%	$	9.82		-9.9%	In line
Cumulative				-1.0%		-1.5%				-1.8%		-0.3%

As illustrated by this simple example, the effect of leverage can make it difficult to form expectations or judgments about fund performance given only the returns of the unleveraged index.

Because certain funds seek to track the performance of their benchmark on a daily basis, mathematical compounding, especially with respect to those funds that use leverage as part of their investment strategy, may prevent a fund from correlating with the monthly, quarterly, annual or other period performance of its benchmark. Due to the compounding of daily returns, leveraged and inverse funds’ returns over periods other than one day will likely differ in amount and possibly direction from the benchmark return for the same period. Investors should monitor their leveraged and inverse funds’ holdings consistent with their strategies, as frequently as daily. For those funds that consistently apply leverage, the value of the fund’s shares will tend to increase or decrease more than the value of any increase or decrease in its benchmark index. For more on correlation, leverage and other risks, please read the prospectus.

In general, any change in direction in an index will produce compounding that seems to work against an investor. Were the index to move in the same direction (either up or down) for two or more periods in a row, the compounding of those returns would work in an investor’s favor, causing the fund to seemingly beat its benchmark.

As a general rule of thumb, more leverage in a fund will magnify the compounding effect, while less leverage will generally produce results that are more in line with expectations. In addition, periods of high volatility in an underlying index will also cause the effects of compounding to be more pronounced, while lower volatility will produce a more muted effect.

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3

ABOUT SHAREHOLDERS’ FUND EXPENSES (Unaudited)

All mutual funds have operating expenses and it is important for our shareholders to understand the impact of costs on their investments. Shareholders of a Fund incur two types of costs: (i) transaction costs, including sales charges (loads) on purchase payments, reinvested dividends, or other distributions; redemption fees; and exchange fees; and (ii) ongoing costs, including management fees, administrative services, and shareholder reports, among others. These ongoing costs, or operating expenses, are deducted from a fund’s gross income and reduce the investment return of the fund.

A fund’s expenses are expressed as a percentage of its average net assets, which is known as the expense ratio. The following examples are intended to help investors understand the ongoing costs (in dollars) of investing in a Fund and to compare these costs with the ongoing costs of investing in other mutual funds. The examples are based on an investment of $1,000 made at the beginning of the period and held for the entire six-month period beginning September 30, 2008 and ending March 31, 2009.

The following tables illustrate a Fund’s costs in two ways:

Table 1. Based on actual Fund return. This section helps investors estimate the actual expenses paid over the period. The “Ending Account Value” shown is derived from the Fund’s actual return, and the fourth column shows the dollar amount that would have been paid by an investor who started with $1,000 in the Fund. Investors may use the information here, together with the amount invested, to estimate the expenses paid over the period. Simply divide the Fund’s 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 provided under the heading “Expenses Paid During Period.”

Table 2. Based on hypothetical 5% return. This section is intended to help investors compare a Fund’s cost with those of other mutual funds. The table provides information about hypothetical account values and hypothetical expenses based on the Fund’s actual expense ratio and an assumed rate of return of 5% per year before expenses, which is not the Fund’s actual return. The hypothetical account values and expenses may not be used to estimate the actual ending account balance or expenses paid during the period. The example is useful in making comparisons because the U.S. Securities and Exchange Commission (the “SEC”) requires all mutual funds to calculate expenses based on the 5% return. Investors can assess a Fund’s costs by comparing this hypothetical example with the hypothetical examples that appear in shareholder reports of other funds.

Certain retirement plans such as IRA, SEP, Roth IRA and 403(b) accounts are charged an annual $15 maintenance fee. Upon liquidating a retirement account, a $15 account-closing fee will be taken from the proceeds of the redemption.

The calculations illustrated above assume no shares were bought or sold during the period. Actual costs may have been higher or lower, depending on the amount of investment and the timing of any purchases or redemptions.

Note that the expenses shown in the table are meant to highlight and help compare ongoing costs only and do not reflect any transactional costs which may be incurred by a Fund.

More information about a Fund’s expenses, including annual expense ratios for the past five years, can be found in the Financial Highlights section of this report. For additional information on operating expenses and other shareholder costs, please refer to the appropriate Fund prospectus.

THE RYDEX SERIES FUNDS ANNUAL REPORT    |    5

4

ABOUT SHAREHOLDERS’ FUND EXPENSES (Unaudited) (continued)

					Beginning		Ending		Expenses
	Expense				Account Value		Account Value		Paid During
	Ratio			†	September 30, 2008		March 31, 2009		Period		*
Table 1. Based on actual Fund return
Nova Fund
Investor Class		1.30	%			$1,000.00		$  533.80		$  4.97
Advisor Class		1.80	%			1,000.00		532.40		6.88
A-Class		1.54	%			1,000.00		533.70		5.89
C-Class		2.31	%			1,000.00		531.20		8.82
S&P 500 Fund
A-Class		1.52	%			1,000.00		686.30		6.39
C-Class		2.28	%			1,000.00		683.50		9.57
H-Class		1.53	%			1,000.00		686.40		6.43
Inverse S&P 500 Strategy Fund
Investor Class		1.44	%			1,000.00		1,254.00		8.09
Advisor Class		1.93	%			1,000.00		1,251.20		10.83
A-Class		1.69	%			1,000.00		1,252.30		9.49
C-Class		2.44	%			1,000.00		1,247.40		13.67
NASDAQ-100® Fund
Investor Class		1.31	%			1,000.00		770.30		5.78
Advisor Class		1.81	%			1,000.00		768.90		7.98
A-Class		1.56	%			1,000.00		770.40		6.89
C-Class		2.32	%			1,000.00		767.40		10.22
Inverse NASDAQ-100® Strategy Fund
Investor Class		1.47	%			1,000.00		1,109.20		7.73
Advisor Class		1.97	%			1,000.00		1,106.80		10.35
A-Class		1.72	%			1,000.00		1,107.80		9.04
C-Class		2.47	%			1,000.00		1,104.20		12.96
Mid-Cap 1.5x Strategy Fund
A-Class		1.69	%			1,000.00		519.00		6.40
C-Class		2.46	%			1,000.00		516.80		9.30
H-Class		1.70	%			1,000.00		518.60		6.44
Inverse Mid-Cap Strategy Fund
A-Class		1.69	%			1,000.00		1,221.90		9.36
C-Class		2.44	%			1,000.00		1,218.00		13.49
H-Class		1.68	%			1,000.00		1,222.60		9.31
Russell 2000® 1.5x Strategy Fund
A-Class		1.72	%			1,000.00		458.00		6.25
C-Class		2.48	%			1,000.00		455.30		9.00
H-Class		1.71	%			1,000.00		457.40		6.21
Russell 2000® Fund
A-Class		1.57	%			1,000.00		617.60		6.33
C-Class		2.30	%			1,000.00		614.30		9.26
H-Class		1.57	%			1,000.00		617.60		6.33
Inverse Russell 2000® Strategy Fund
A-Class		1.69	%			1,000.00		1,287.90		9.64
C-Class		2.42	%			1,000.00		1,283.20		13.78
H-Class		1.68	%			1,000.00		1,287.70		9.58
Government Long Bond 1.2x Strategy Fund
Investor Class		0.98	%			1,000.00		1,187.20		5.34
Advisor Class		1.48	%			1,000.00		1,181.70		8.05
A-Class		1.23	%			1,000.00		1,184.40		6.70
C-Class		1.98	%			1,000.00		1,180.60		10.76
Inverse Government Long Bond Strategy Fund
Investor Class		1.42	%			1,000.00		792.40		6.35
Advisor Class		1.92	%			1,000.00		790.10		8.57
A-Class		1.67	%			1,000.00		791.50		7.46
C-Class		2.42	%			1,000.00		788.20		10.79

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5

ABOUT SHAREHOLDERS’ FUND EXPENSES (Unaudited) (continued)

					Beginning		Ending		Expenses
	Expense				Account Value		Account Value		Paid During
	Ratio			†	September 30, 2008		March 31, 2009		Period		*
High Yield Strategy Fund
A-Class		1.60	%			$1,000.00		$  843.70		$  7.35
C-Class		2.32	%			1,000.00		840.00		10.64
H-Class		1.54	%			1,000.00		843.90		7.08
Inverse High Yield Strategy Fund
A-Class		1.53	%			1,000.00		1,091.30		7.98
C-Class		2.30	%			1,000.00		1,086.80		11.97
H-Class		1.54	%			1,000.00		1,090.80		8.03
Europe 1.25x Strategy Fund
A-Class		1.69	%			1,000.00		494.40		6.30
C-Class		2.46	%			1,000.00		491.80		9.15
H-Class		1.70	%			1,000.00		494.10		6.33
Japan 2x Strategy Fund
A-Class		1.53	%			1,000.00		495.70		5.71
C-Class		2.25	%			1,000.00		493.50		8.38
H-Class		1.52	%			1,000.00		495.70		5.67
Small-Cap Value Fund
A-Class		1.61	%			1,000.00		459.80		5.86
C-Class		2.45	%			1,000.00		457.80		8.90
H-Class		1.57	%			1,000.00		459.90		5.71
Mid-Cap Value Fund
A-Class		1.60	%			1,000.00		497.10		5.97
C-Class		2.34	%			1,000.00		494.20		8.72
H-Class		1.58	%			1,000.00		496.50		5.89
Large-Cap Value Fund
A-Class		1.54	%			1,000.00		507.00		5.79
C-Class		2.31	%			1,000.00		505.70		8.67
H-Class		1.54	%			1,000.00		507.40		5.79
Small-Cap Growth Fund
A-Class		1.59	%			1,000.00		622.70		6.43
C-Class		2.34	%			1,000.00		620.50		9.45
H-Class		1.56	%			1,000.00		622.60		6.31
Mid-Cap Growth Fund
A-Class		1.63	%			1,000.00		719.50		6.99
C-Class		2.33	%			1,000.00		716.70		9.97
H-Class		1.54	%			1,000.00		719.50		6.60
Large-Cap Growth Fund
A-Class		1.55	%			1,000.00		713.90		6.62
C-Class		2.31	%			1,000.00		711.00		9.85
H-Class		1.55	%			1,000.00		713.40		6.62
U.S. Government Money Market Fund
Investor Class		0.88	%			1,000.00		1,010.60		4.41
Advisor Class		1.17	%			1,000.00		1,006.50		5.85
A-Class		1.05	%			1,000.00		1,008.50		5.26
C-Class		1.51	%			1,000.00		1,002.60		7.54

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6

ABOUT SHAREHOLDERS’ FUND EXPENSES (Unaudited) (continued)

					Beginning		Ending		Expenses
	Expense				Account Value		Account Value		Paid During
	Ratio			†	September 30, 2008		March 31, 2009		Period		*
Table 2. Based on hypothetical 5% return (before expenses)
Nova Fund
Investor Class		1.30	%			$1,000.00		$1,018.45		$  6.54
Advisor Class		1.80	%			1,000.00		1,015.96		9.05
A-Class		1.54	%			1,000.00		1,017.25		7.75
C-Class		2.31	%			1,000.00		1,013.41		11.60
S&P 500 Fund
A-Class		1.52	%			1,000.00		1,017.35		7.64
C-Class		2.28	%			1,000.00		1,013.56		11.45
H-Class		1.53	%			1,000.00		1,017.30		7.70
Inverse S&P 500 Strategy Fund
Investor Class		1.44	%			1,000.00		1,017.75		7.24
Advisor Class		1.93	%			1,000.00		1,015.31		9.70
A-Class		1.69	%			1,000.00		1,016.50		8.50
C-Class		2.44	%			1,000.00		1,012.76		12.24
NASDAQ-100® Fund
Investor Class		1.31	%			1,000.00		1,018.40		6.59
Advisor Class		1.81	%			1,000.00		1,015.91		9.10
A-Class		1.56	%			1,000.00		1,017.15		7.85
C-Class		2.32	%			1,000.00		1,013.36		11.65
Inverse NASDAQ-100® Strategy Fund
Investor Class		1.47	%			1,000.00		1,017.60		7.39
Advisor Class		1.97	%			1,000.00		1,015.11		9.90
A-Class		1.72	%			1,000.00		1,016.36		8.65
C-Class		2.47	%			1,000.00		1,012.62		12.39
Mid-Cap 1.5x Strategy Fund
A-Class		1.69	%			1,000.00		1,016.50		8.50
C-Class		2.46	%			1,000.00		1,012.67		12.34
H-Class		1.70	%			1,000.00		1,016.45		8.55
Inverse Mid-Cap Strategy Fund
A-Class		1.69	%			1,000.00		1,016.50		8.50
C-Class		2.44	%			1,000.00		1,012.76		12.24
H-Class		1.68	%			1,000.00		1,016.55		8.45
Russell 2000® 1.5x Strategy Fund
A-Class		1.72	%			1,000.00		1,016.36		8.65
C-Class		2.48	%			1,000.00		1,012.57		12.44
H-Class		1.71	%			1,000.00		1,016.40		8.60
Russell 2000® Fund
A-Class		1.57	%			1,000.00		1,017.10		7.90
C-Class		2.30	%			1,000.00		1,013.46		11.55
H-Class		1.57	%			1,000.00		1,017.10		7.90
Inverse Russell 2000® Strategy Fund
A-Class		1.69	%			1,000.00		1,016.50		8.50
C-Class		2.42	%			1,000.00		1,012.86		12.14
H-Class		1.68	%			1,000.00		1,016.55		8.45
Government Long Bond 1.2x Strategy Fund
Investor Class		0.98	%			1,000.00		1,020.04		4.94
Advisor Class		1.48	%			1,000.00		1,017.55		7.44
A-Class		1.23	%			1,000.00		1,018.80		6.19
C-Class		1.98	%			1,000.00		1,015.06		9.95
Inverse Government Long Bond Strategy Fund
Investor Class		1.42	%			1,000.00		1,017.85		7.14
Advisor Class		1.92	%			1,000.00		1,015.36		9.65
A-Class		1.67	%			1,000.00		1,016.60		8.40
C-Class		2.42	%			1,000.00		1,012.86		12.14

8    |    THE RYDEX SERIES FUNDS ANNUAL REPORT

7

ABOUT SHAREHOLDERS’ FUND EXPENSES (Unaudited) (concluded)

					Beginning		Ending		Expenses
	Expense				Account Value		Account Value		Paid During
	Ratio			†	September 30, 2008		March 31, 2009		Period		*
High Yield Strategy Fund
A-Class		1.60	%			$1,000.00		$1,016.95		$  8.05
C-Class		2.32	%			1,000.00		1,013.36		11.65
H-Class		1.54	%			1,000.00		1,017.25		7.75
Inverse High Yield Strategy Fund
A-Class		1.53	%			1,000.00		1,017.30		7.70
C-Class		2.30	%			1,000.00		1,013.46		11.55
H-Class		1.54	%			1,000.00		1,017.25		7.75
Europe 1.25x Strategy Fund
A-Class		1.69	%			1,000.00		1,016.50		8.50
C-Class		2.46	%			1,000.00		1,012.67		12.34
H-Class		1.70	%			1,000.00		1,016.45		8.55
Japan 2x Strategy Fund
A-Class		1.53	%			1,000.00		1,017.30		7.70
C-Class		2.25	%			1,000.00		1,013.71		11.30
H-Class		1.52	%			1,000.00		1,017.35		7.64
Small-Cap Value Fund
A-Class		1.61	%			1,000.00		1,016.90		8.10
C-Class		2.45	%			1,000.00		1,012.72		12.29
H-Class		1.57	%			1,000.00		1,017.10		7.90
Mid-Cap Value Fund
A-Class		1.60	%			1,000.00		1,016.95		8.05
C-Class		2.34	%			1,000.00		1,013.26		11.75
H-Class		1.58	%			1,000.00		1,017.05		7.95
Large-Cap Value Fund
A-Class		1.54	%			1,000.00		1,017.25		7.75
C-Class		2.31	%			1,000.00		1,013.41		11.60
H-Class		1.54	%			1,000.00		1,017.25		7.75
Small-Cap Growth Fund
A-Class		1.59	%			1,000.00		1,017.00		8.00
C-Class		2.34	%			1,000.00		1,013.26		11.75
H-Class		1.56	%			1,000.00		1,017.15		7.85
Mid-Cap Growth Fund
A-Class		1.63	%			1,000.00		1,016.80		8.20
C-Class		2.33	%			1,000.00		1,013.31		11.70
H-Class		1.54	%			1,000.00		1,017.25		7.75
Large-Cap Growth Fund
A-Class		1.55	%			1,000.00		1,017.20		7.80
C-Class		2.31	%			1,000.00		1,013.41		11.60
H-Class		1.55	%			1,000.00		1,017.20		7.80
U.S. Government Money Market Fund
Investor Class		0.88	%			1,000.00		1,020.54		4.43
Advisor Class		1.17	%			1,000.00		1,019.10		5.89
A-Class		1.05	%			1,000.00		1,019.70		5.29
C-Class		1.51	%			1,000.00		1,017.40		7.59

*	Expenses are equal to the Fund’s annualized expense ratio, multiplied by the average account value over the period, multiplied by the number of days in the most recent fiscal half-year, then divided by the number of days in the current fiscal year.
†	This ratio represents annualized Total Expenses, which include dividend expense from securities sold short.

THE RYDEX SERIES FUNDS ANNUAL REPORT    |    9

8

PERFORMANCE REPORTS AND FUND PROFILES (Unaudited)

NOVA FUND

OBJECTIVE: To provide investment results that match the performance of a specific benchmark on a daily basis. The Fund’s current benchmark is 150% of the performance of the S&P 500 Index.

Inception: July 12, 1993

The year began with continued concerns over the subprime mortgage crisis and weakening housing market as Bear Stearns Companies, Inc. collapsed and the Federal Reserve helped orchestrate a takeover of the industry giant by JPMorgan Chase & Co. in March. Fears of a recession increased throughout the year as a highly chaotic atmosphere that came to characterize U.S. equity markets took hold. Stock markets started to freefall after Lehman Brothers Holdings, Inc. filed for bankruptcy on September 15. One-month LIBOR rates spiked to 4.5875% as banks required a higher premium for taking on credit risk from other banks. Volatility also spiked as indicated by the CBOE Volatility Index (VIX), which increased to a high of 80.86.

To help calm financial markets, the U.S. government rescued Fannie Mae, Freddie Mac and American International Group Inc., and released an infusion of cash in the hopes of firming up the balance sheets of major U.S. banking institutions. The government also intervened to orchestrate the Merrill Lynch & Company, Inc. takeover by Bank of America Corp. Then, on October 8, many governments announced massive spending plans in a coordinated effort to help boost global economic activity. These actions appeared to stabilize the financial markets for a short time as the S&P 500 Index ended the year at 903.25—up from its low of 752.44 on November 20. LIBOR rates also fell by less than half a percent and the VIX closed below 40.

As expected, no sector provided positive returns for the year. While investors sought growth, they also sought to shield themselves from the now global collapse of the nation’s housing market. Consumer staples, health care and utilities remained defensive during the year. Battered financials, materials and technology were the worst-performing sectors. Nova Fund Investor Class returned -56.06% for the year. The fund achieved a daily correlation of more than 99% to its benchmark of 150% of the daily price movement of the S&P 500 Index.

The apparent discrepancy between the leveraged and unleveraged indices is the result of compounding, which is described briefly on page 4 of this report.

Holdings Diversification (Market Exposure as % of Net Assets)

“Holdings Diversification (Market Exposure as % of Net Assets)” excludes any temporary cash investments.

Inception Dates:
Investor Class	July 12, 1993
Advisor Class	October 15, 1998
A-Class	March 31, 2004
C-Class	March 14, 2001

Ten Largest Holdings (% of Total Net Assets)
Exxon Mobil Corp.	3.7	%
AT&T, Inc.	1.6	%
Johnson & Johnson, Inc.	1.6	%
Microsoft Corp.	1.6	%
Procter & Gamble Co.	1.5	%
Chevron Corp.	1.5	%
International Business Machines Corp.	1.4	%
Wal-Mart Stores, Inc.	1.3	%
General Electric Co.	1.2	%
JPMorgan Chase & Co.	1.1	%
Top Ten Total	16.5	%

“Ten Largest Holdings” exclude any temporary cash or derivative investments.

10    |    THE RYDEX SERIES FUNDS ANNUAL REPORT

9

PERFORMANCE REPORTS AND FUND PROFILES (Unaudited) (continued)

NOVA FUND

Cumulative Fund Performance

† Initial investment has been adjusted for the maximum sales charge of 4.75%.

AVERAGE ANNUAL TOTAL RETURNS FOR THE PERIOD ENDED 03/31/09

	Investor Class															Advisor Class
	(07/12/93)															(10/15/98)
	ONE			FIVE			TEN									ONE			FIVE			TEN
	YEAR			YEAR			YEAR									YEAR			YEAR			YEAR
NOVA FUND		-56.06	%		-11.81	%		-9.44	%								-56.26	%		-12.25	%		-9.91	%
S&P 500 INDEX		-38.09	%		-4.76	%		-3.00	%								-38.09	%		-4.76	%		-3.00	%
	A-Class												C-Class
	(03/31/04)												(03/14/01)
	ONE			ONE			FIVE			FIVE			ONE			ONE			FIVE			SINCE
	YEAR			YEAR*			YEAR			YEAR*			YEAR			YEAR**			YEAR			INCEPTION
NOVA FUND		-56.13	%		-58.21	%		-12.03	%		-12.88	%		-56.49	%		-56.93	%		-12.68	%		-9.74	%
S&P 500 INDEX		-38.09	%		-38.09	%		-4.76	%		-4.76	%		-38.09	%		-38.09	%		-4.76	%		-2.82	%

*	Fund returns are calculated using the maximum sales charge of 4.75%.
**	Fund returns include a contingent deferred sales charge (“CDSC”) of 1% if redeemed within 12 months of purchase.

The returns presented above do not reflect the effects of taxes. Past performance is no guarantee of future results. The S&P 500 Index is an unmanaged stock index and, unlike the Fund, has no management fees or other operating expenses to reduce its reported return. Returns are historical and include changes in principal and reinvested dividends and capital gains. The graphs are based on Investor Class shares and A-Class shares only; performance for Advisor Class shares and C-Class shares will vary due to differences in fee structures.

THE RYDEX SERIES FUNDS ANNUAL REPORT    |    11

10

PERFORMANCE REPORTS AND FUND PROFILES (Unaudited) (continued)

S&P 500 FUND

OBJECTIVE: To provide investment results that match the performance of a specific benchmark on a daily basis. The Fund’s current benchmark is the S&P 500 Index.

Inception: May 31, 2006

The S&P 500 Index was down 38.09% for the year ended March 31, 2009. The year began with continued concerns over the subprime mortgage crisis and weakening housing market. Bear Stearns collapsed in March and the Federal Reserve helped orchestrate a takeover of Bear Stearns Companies, Inc. by JPMorgan Chase & Co. Fears of a recession increased throughout the year. Stock markets started to freefall after Lehman Brothers Holdings, Inc.’s bankruptcy on September 15. One-month LIBOR rates spiked to 4.5875% as banks required a higher premium for taking on credit risk from other banks. Volatility also spiked as the VIX increased to a high of 80.86.

To help calm financial markets, the U.S. government rescued Fannie Mae, Freddie Mac and American International Group, Inc., as well as firming up the balance sheets of major U.S. banks. Many central banks around the globe coordinated interest rate cuts. Then, on October 8, many governments announced massive spending plans to help boost global economic activity. These actions appear to be stabilizing the financial markets as the S&P 500 Index ended the year at 903.25, up from its low of 752.44 on November 20. LIBOR rates have also fallen to less than half a percent and the VIX closed below 40.

As expected, no sector provided positive returns for the year. The index’s best-performing holdings were Schering-Plough Corp., Anheuser-Busch Companies, Inc., Wyeth, Bristol-Myers Squibb Co. and Amazon.com, Inc. The index’s worst-performing holdings were General Electric Co., Bank of America Corp., Citigroup, Inc., Procter & Gamble Co. and Wells Fargo & Co.

Holdings Diversification (Market Exposure as % of Net Assets)

“Holdings Diversification (Market Exposure as % of Net Assets)” excludes any temporary cash investments.

Inception Dates:
A-Class	May 31, 2006
C-Class	May 31, 2006
H-Class	May 31, 2006

Ten Largest Holdings (% of Total Net Assets)
Exxon Mobil Corp.	3.0	%
AT&T, Inc.	1.3	%
Johnson & Johnson, Inc.	1.3	%
Microsoft Corp.	1.2	%
Procter & Gamble Co.	1.2	%
Chevron Corp.	1.2	%
International Business Machines Corp.	1.2	%
Wal-Mart Stores, Inc.	1.0	%
General Electric Co.	0.9	%
JPMorgan Chase & Co.	0.9	%
Top Ten Total	13.2	%

“Ten Largest Holdings” exclude any temporary cash or derivative investments.

12    |    THE RYDEX SERIES FUNDS ANNUAL REPORT

11

PERFORMANCE REPORTS AND FUND PROFILES (Unaudited) (continued)

S&P 500 FUND

Cumulative Fund Performance

† Initial investment has been adjusted for the maximum sales charge of 4.75%.

AVERAGE ANNUAL TOTAL RETURNS FOR THE PERIOD ENDED 03/31/09

	A-Class												C-Class
	(05/31/06)												(05/31/06)
	ONE			ONE			SINCE			SINCE			ONE			ONE			SINCE
	YEAR			YEAR*			INCEPTION			INCEPTION*			YEAR			YEAR**			INCEPTION
S&P 500 FUND		-38.95	%		-41.85	%		-14.20	%		-15.67	%		-39.43	%		-40.04	%		-14.87	%
S&P 500 INDEX		-38.09	%		-38.09	%		-13.28	%		-13.28	%		-38.09	%		-38.09	%		-13.28	%

	H-Class
	(05/31/06)
	ONE			SINCE
	YEAR			INCEPTION
S&P 500 FUND		-38.94	%		-14.22	%
S&P 500 INDEX		-38.09	%		-13.28	%

*	Fund returns are calculated using the maximum sales charge of 4.75%.
**	Fund returns include a CDSC of 1% if redeemed within 12 months of purchase.

The returns presented above do not reflect the effects of taxes. Past performance is no guarantee of future results. The S&P 500 Index is an unmanaged stock index and, unlike the Fund, has no management fees or other operating expenses to reduce its reported return. Returns are historical and include changes in principal and reinvested dividends and capital gains. The graphs are based on A-Class shares and H-Class shares only; performance for C-Class shares will vary due to differences in fee structures.

THE RYDEX SERIES FUNDS ANNUAL REPORT    |    13

12

PERFORMANCE REPORTS AND FUND PROFILES (Unaudited) (continued)

INVERSE S&P 500 STRATEGY FUND

OBJECTIVE: To provide investment results that inversely correlate to the performance of the S&P 500 Index.

Inception: January 7, 1994

The S&P 500 Index was down 38.09% for the year ended March 31, 2009. The year began with continued concerns over the subprime mortgage crisis and weakening housing market. Bear Stearns Companies, Inc. collapsed in March and the Federal Reserve helped orchestrate a takeover of Bear Stearns Companies, Inc. by JPMorgan Chase & Co. Fears of a recession increased throughout the year. Stock markets started to freefall after Lehman Brothers Holdings, Inc.’s bankruptcy on September 15. One-month LIBOR rates spiked to 4.5875% as banks required a higher premium for taking on credit risk from other banks. Volatility also spiked as indicated by the VIX, which increased to a high of 80.86.

To help calm financial markets, the U.S. government rescued Fannie Mae, Freddie Mac and American International Group, Inc., as well as firming up the balance sheets of major U.S. banks. Many central banks around the globe coordinated interest rate cuts. Then, on October 8, many governments announced massive spending plans to help boost global economic activity. These actions appear to be stabilizing the financial markets as the S&P 500 Index ended the year at 903.25, up from its low of 752.44 on November 20. LIBOR rates have also fallen to less than half a percent and the VIX closed below 40. As expected, no sector provided positive returns for the year. Consumer staples, health care and utilities remained defensive and were the best-performing sectors for 2009. Battered financials, materials and technology were the worst-performing sectors.

Inverse S&P 500 Strategy Fund Investor Class returned 37.66% for the year. The U.S. Securities and Exchange Commission’s three-week ban on shorting stocks in the fall of 2008 had no impact on the fund’s ability to get short exposure to the broad index. The fund achieved a daily correlation of more than 99% to its benchmark of -100% of the daily price movement of the S&P 500 Index.

The apparent discrepancy between daily and long-term returns is the result of compounding, which is described briefly on page 4 of this report.

Holdings Diversification (Market Exposure as % of Net Assets)

“Holdings Diversification (Market Exposure as % of Net Assets)” excludes any temporary cash investments.

Inception Dates:
Investor Class	January 7, 1994
Advisor Class	August 5, 1998
A-Class	March 31, 2004
C-Class	March 15, 2001

The Fund invests principally in derivative investments such as equity index swap agreements, futures contracts, and options on index futures.

14    |    THE RYDEX SERIES FUNDS ANNUAL REPORT

13

PERFORMANCE REPORTS AND FUND PROFILES (Unaudited) (continued)

INVERSE S&P 500 STRATEGY FUND

Cumulative Fund Performance

† Initial investment has been adjusted for the maximum sales charge of 4.75%.

AVERAGE ANNUAL TOTAL RETURNS FOR THE PERIOD ENDED 03/31/09

	Investor Class															Advisor Class
	(01/07/94)															(08/05/98)
	ONE			FIVE			TEN									ONE			FIVE			TEN
	YEAR			YEAR			YEAR									YEAR			YEAR			YEAR
INVERSE S&P 500 STRATEGY FUND		37.66	%		5.55	%		3.99	%								36.96	%		5.00	%		3.44	%
S&P 500 INDEX		-38.09	%		-4.76	%		-3.00	%								-38.09	%		-4.76	%		-3.00	%
	A-Class												C-Class
	(03/31/04)												(03/15/01)
	ONE			ONE			FIVE			FIVE			ONE			ONE			FIVE			SINCE
	YEAR			YEAR*			YEAR			YEAR*			YEAR			YEAR**			YEAR			INCEPTION
INVERSE S&P 500 STRATEGY FUND		37.30	%		30.78	%		5.19	%		4.17	%		36.27	%		35.27	%		4.47	%		1.54	%
S&P 500 INDEX		-38.09	%		-38.09	%		-4.76	%		-4.76	%		-38.09	%		-38.09	%		-4.76	%		-2.89	%

*	Fund returns are calculated using the maximum sales charge of 4.75%.
**	Fund returns include a CDSC of 1% if redeemed within 12 months of purchase.

The returns presented above do not reflect the effects of taxes. Past performance is no guarantee of future results. The S&P 500 Index is an unmanaged stock index and, unlike the Fund, has no management fees or other operating expenses to reduce its reported return. Returns are historical and include changes in principal and reinvested dividends and capital gains. The graphs are based on Investor Class shares and A-Class shares only; performance for Advisor Class shares and C-Class shares will vary due to differences in fee structures.

THE RYDEX SERIES FUNDS ANNUAL REPORT    |    15

14

PERFORMANCE REPORTS AND FUND PROFILES (Unaudited) (continued)

NASDAQ-100^® FUND

OBJECTIVE: To provide investment results that correspond to a benchmark for over-the-counter securities. The Fund’s current benchmark is the NASDAQ-100 Index^®.

Inception: February 14, 1994

The NASDAQ-100 Index was down 30.15% for the year ended March 31, 2009. As expected, technology stocks were hit hard by decreased economic activity and weaker consumer demand. However, the NASDAQ-100 Index fared better than the S&P 500 Index or the Russell 2000^® Index, as those indices were down 38.09% and 37.50%, respectively, over the past 12 months. The financial crisis impacted global economies—even stocks with a large proportion of foreign revenues suffered from weaker demand overseas. Many stocks have correspondingly lowered their revenue and earnings guidance for upcoming quarters. The index’s best-performing holdings included Apollo Group Inc., Amazon.com, Inc., Life Technologies Corp., Illumina, Inc. and Broadcom Corp. The index’s worst performers included Research in Motion Ltd., Apple, Inc., Microsoft Corp., Cisco Systems, Inc. and Google, Inc.

NASDAQ-100^® Fund Investor Class returned -30.99% for the year. The fund achieved a daily correlation over 99% to its benchmark of 100% of the daily price movement of the NASDAQ-100 Index.

Holdings Diversification (Market Exposure as % of Net Assets)

“Holdings Diversification (Market Exposure as % of Net Assets)” excludes any temporary cash investments.

Inception Dates:
Investor Class	February 14, 1994
Advisor Class	September 22, 1998
A-Class	March 31, 2004
C-Class	March 26, 2001

Ten Largest Holdings (% of Total Net Assets)
Apple, Inc.	10.9	%
Qualcomm, Inc.	6.4	%
Microsoft Corp.	4.7	%
Google, Inc. — Class A	4.2	%
Gilead Sciences, Inc.	3.5	%
Oracle Corp.	3.2	%
Cisco Systems, Inc.	2.9	%
Teva Pharmaceutical Industries Ltd. — SP ADR	2.7	%
Intel Corp.	2.4	%
Research In Motion Ltd.	2.0	%
Top Ten Total	42.9	%

“Ten Largest Holdings” exclude any temporary cash or derivative investments.

16    |    THE RYDEX SERIES FUNDS ANNUAL REPORT

15

PERFORMANCE REPORTS AND FUND PROFILES (Unaudited) (continued)

NASDAQ-100^® FUND

Cumulative Fund Performance

†	Initial investment has been adjusted for the maximum sales charge of 4.75%.
††	Data points for the line graph do not reflect the reinvestment of dividends on securities in the index.

AVERAGE ANNUAL TOTAL RETURNS FOR THE PERIOD ENDED 03/31/09

	Investor Class															Advisor Class
	(02/14/94)															(09/22/98)
	ONE			FIVE			TEN									ONE			FIVE			TEN
	YEAR			YEAR			YEAR									YEAR			YEAR			YEAR
NASDAQ-100® FUND		-30.99	%		-3.42	%		-6.29	%								-31.26	%		-3.92	%		-6.77	%
NASDAQ-100 INDEX		-30.15	%		-2.52	%		-4.91	%								-30.15	%		-2.52	%		-4.91	%
	A-Class												C-Class
	(03/31/04)												(03/26/01)
	ONE			ONE			FIVE			FIVE			ONE			ONE			FIVE			SINCE
	YEAR			YEAR*			YEAR			YEAR*			YEAR			YEAR**			YEAR			INCEPTION
NASDAQ-100® FUND		-31.10	%		-34.37	%		-3.67	%		-4.60	%		-31.60	%		-32.28	%		-4.40	%		-5.62	%
NASDAQ-100 INDEX		-30.15	%		-30.15	%		-2.52	%		-2.52	%		-30.15	%		-30.15	%		-2.52	%		-3.39	%

*	Fund returns are calculated using the maximum sales charge of 4.75%.
**	Fund returns include a CDSC of 1% if redeemed within 12 months of purchase.

The returns presented above do not reflect the effects of taxes. Past performance is no guarantee of future results. The NASDAQ-100 Index is an unmanaged stock index and, unlike the Fund, has no management fees or other operating expenses to reduce its reported return. Returns are historical and include changes in principal and reinvested dividends and capital gains. The graphs are is based on Investor Class shares and A-Class shares only; performance for Advisor Class shares and C-Class shares will vary due to differences in fee structures.

THE RYDEX SERIES FUNDS ANNUAL REPORT    |    17

16

PERFORMANCE REPORTS AND FUND PROFILES (Unaudited) (continued)

INVERSE NASDAQ-100^® STRATEGY FUND

OBJECTIVE: To provide investment results that match the performance of a specific benchmark on a daily basis. The Fund’s current benchmark is the inverse of the performance of the NASDAQ-100 Index.

Inception: September 3, 1998

The NASDAQ-100 Index was down 30.15% for the year ended March 31, 2009. As expected, technology stocks were hit hard by decreased economic activity and weaker consumer demand. However, the NASDAQ-100 Index fared better than the S&P 500 Index or the Russell 2000 Index, as those indices were down 38.09% and 37.50%, respectively, over the past 12 months. The financial crisis impacted global economies—even stocks with a large proportion of foreign revenues suffered from weaker demand overseas. Many stocks have correspondingly lowered their revenue and earnings guidance for upcoming quarters. The index’s best-performing holdings included Apollo Group Inc., Amazon.com, Inc., Life Technologies Corp., Illumina, Inc. and Broadcom Corp. The index’s worst performers included Research in Motion Ltd., Apple, Inc., Microsoft Corp., Cisco Systems, Inc. and Google, Inc.

Inverse NASDAQ-100^® Strategy Fund Investor Class returned 19.48% for the year. The fund achieved a daily correlation over 99% to its benchmark of -100% of the daily price movement of the NASDAQ-100 Index.

The apparent discrepancy between daily and long-term returns is the result of compounding, which is described briefly on page 4 of this report.

Holdings Diversification (Market Exposure as % of Net Assets)

“Holdings Diversification (Market Exposure as % of Net Assets)” excludes any temporary cash investments.

Inception Dates:
Investor Class	September 3, 1998
Advisor Class	August 1, 2003
A-Class	March 31, 2004
C-Class	March 7, 2001

The Fund invests principally in derivative investments such as equity index swap agreements, futures contracts, and options on index futures.

18    |    THE RYDEX SERIES FUNDS ANNUAL REPORT

PERFORMANCE REPORTS AND FUND PROFILES (Unaudited) (continued)

INVERSE NASDAQ-100^® STRATEGY FUND

Cumulative Fund Performance

†	Initial investment has been adjusted for the maximum sales charge of 4.75%.
††	Data points for the line graph do not reflect the reinvestment of dividends on securities in the index.

AVERAGE ANNUAL TOTAL RETURNS FOR THE PERIOD ENDED 03/31/09

	Investor Class															Advisor Class
	(09/03/98)															(08/01/03)
	ONE			FIVE			TEN									ONE			FIVE			SINCE
	YEAR			YEAR			YEAR									YEAR			YEAR			INCEPTION
INVERSE NASDAQ-100® STRATEGY FUND		19.48	%		1.36	%		-3.32	%								18.88	%		0.88	%		-1.99	%
NASDAQ-100 INDEX		-30.15	%		-2.52	%		-4.91	%								-30.15	%		-2.52	%		-4.91	%
	A-Class												C-Class
	(03/31/04)												(03/07/01)
	ONE			ONE			FIVE			FIVE			ONE			ONE			FIVE			SINCE
	YEAR			YEAR*			YEAR			YEAR*			YEAR			YEAR**			YEAR			INCEPTION
INVERSE NASDAQ-100®
STRATEGY FUND		19.18	%		13.52	%		1.11	%		0.13	%		18.35	%		17.35	%		0.35	%		-1.28	%
NASDAQ-100 INDEX		-30.15	%		-30.15	%		-2.52	%		-2.52	%		-30.15	%		-30.15	%		-2.52	%		-5.43	%

*	Fund returns are calculated using the maximum sales charge of 4.75%.
**	Fund returns include a CDSC of 1% if redeemed within 12 months of purchase.

The returns presented above do not reflect the effects of taxes. Past performance is no guarantee of future results. The NASDAQ-100 Index is an unmanaged stock index and, unlike the Fund, has no management fees or other operating expenses to reduce its reported return. Returns are historical and include changes in principal and reinvested dividends and capital gains. The graphs are based on Investor Class shares and A-Class shares only; performance for Advisor Class shares and C-Class shares will vary due to differences in fee structures.

THE RYDEX SERIES FUNDS ANNUAL REPORT    |    19

PERFORMANCE REPORTS AND FUND PROFILES (Unaudited) (continued)

MID-CAP 1.5x STRATEGY FUND

OBJECTIVE: To provide investment results that correlate to the performance of a specific benchmark for mid-cap securities on a daily basis. The Fund’s current benchmark is the S&P MidCap 400^® Index.

Inception: August 16, 2001

The S&P MidCap 400 Index was down 36.10% for the year ended March 31, 2009. The weaker housing market and unfolding financial crisis hurt mid-cap companies throughout the year. The bankruptcy of Lehman Brothers Holdings, Inc. in September caused a flight away from risk stocks into the safety of government bonds and T-bills. The actions of the governments and central banks around the world to rescue troubled firms culminated in large fiscal spending plans and coordinated interest rate cuts that helped calm financial markets by year-end. Mid-cap stocks suffered alongside their large-cap and small-cap peers, but managed to slightly outperform the S&P 500 Index (-38.09%) and the Russell 2000 Index (-37.50%). The index’s best-performing holdings this year were ITT Education Services, Inc., O’Reilly Automotive, Inc., Southwestern Energy, Co., Dollar Tree, Inc. and Fidelity National Financial, Inc. The index’s worst-performing holdings included Cliffs Natural Resources Inc., shopping mall operator Macerich Co., Hologic, Inc., Arch Coal, Inc. and Covance, Inc. Mid-Cap 1.5x Strategy Fund H-Class returned -54.71% for the year. The fund achieved a daily correlation of more than 99% to its benchmark of 150% of the daily price movement of the S&P MidCap 400 Index.

The apparent discrepancy between the leveraged and unleveraged indices is the result of compounding, which is described briefly on page 4 of this report.

Holdings Diversification (Market Exposure as % of Net Assets)

“Holdings Diversification (Market Exposure as % of Net Assets)” excludes any temporary cash investments.

Inception Dates:
A-Class	March 31, 2004
C-Class	August 20, 2001
H-Class	August 16, 2001

Ten Largest Holdings
(% of Total Net Assets)
Vertex Pharmaceuticals, Inc.	0.4	%
Ross Stores, Inc.	0.3	%
Everest Re Group Ltd.	0.3	%
Western Digital Corp.	0.3	%
Fidelity National Financial, Inc. — Class A	0.3	%
Quanta Services, Inc.	0.3	%
Dollar Tree, Inc.	0.3	%
FMC Technologies, Inc.	0.3	%
Advance Auto Parts, Inc.	0.3	%
New York Community Bancorp, Inc.	0.3	%
Top Ten Total	3.1	%

“Ten Largest Holdings” exclude any temporary cash or derivative investments.

20    |    THE RYDEX SERIES FUNDS ANNUAL REPORT

PERFORMANCE REPORTS AND FUND PROFILES (Unaudited) (continued)

MID-CAP 1.5x STRATEGY FUND

Cumulative Fund Performance

† Initial investment has been adjusted for the maximum sales charge of 4.75%.

AVERAGE ANNUAL TOTAL RETURNS FOR THE PERIOD ENDED 03/31/09

	A-Class												C-Class
	(03/31/04)												(08/20/01)
	ONE			ONE			FIVE			FIVE			ONE			ONE			FIVE			SINCE
	YEAR			YEAR*			YEAR			YEAR*			YEAR			YEAR**			YEAR			INCEPTION
MID-CAP1.5x
STRATEGY FUND		-54.70	%		-56.85	%		-10.70	%		-11.56	%		-55.06	%		-55.51	%		-11.36	%		-6.02	%
S&P MIDCAP 400 INDEX		-36.10	%		-36.10	%		-2.84	%		-2.84	%		-36.10	%		-36.10	%		-2.84	%		1.06	%
	H-Class
	(08/16/01)
	ONE			FIVE			SINCE
	YEAR			YEAR			INCEPTION
MID-CAP1.5x
STRATEGY FUND		-54.71	%		-10.70	%		-5.55	%
S&P MIDCAP 400 INDEX		-36.10	%		-2.84	%		0.89	%

*	Fund returns are calculated using the maximum sales charge of 4.75%.
**	Fund returns include a CDSC of 1% if redeemed within 12 months of purchase.

The returns presented above do not reflect the effects of taxes. Past performance is no guarantee of future results. The S&P MidCap 400 Index is an unmanaged stock index and, unlike the Fund, has no management fees or other operating expenses to reduce its reported return. Returns are historical and include changes in principal and reinvested dividends and capital gains. The graphs are based on A-Class shares and H-Class shares only; performance for C-Class shares will vary due to differences in fee structures.

THE RYDEX SERIES FUNDS ANNUAL REPORT    |    21

PERFORMANCE REPORTS AND FUND PROFILES (Unaudited) (continued)

INVERSE MID-CAP STRATEGY FUND

OBJECTIVE: To provide investment results that match the performance of a specific benchmark on a daily basis. The Fund’s current benchmark is the inverse of the performance of the S&P MidCap 400 Index.

Inception: February 20, 2004

The S&P MidCap 400 Index was down 36.10% for the year ended March 31, 2009. The weaker housing market and unfolding financial crisis hurt mid-cap companies throughout the year. The bankruptcy of Lehman Brothers Holdings, Inc. in September caused a flight away from risk stocks into the safety of government bonds and T-bills. The actions of the governments and central banks around the world to rescue troubled firms culminated in large fiscal spending plans and coordinated interest rate cuts that helped calm financial markets by year-end. Mid-cap stocks suffered alongside their large-cap and small-cap peers, but managed to slightly outperform the S&P 500 Index (-38.09%) and the Russell 2000 Index (-37.50%). The index’s best-performing holdings this year were ITT Education Services, Inc., O’Reilly Automotive, Inc., Southwestern Energy Co., Dollar Tree, Inc. and Fidelity National Financial, Inc. The index’s worst-performing holdings included Cliffs Natural Resources Inc., shopping mall operator Macerich Co., Hologic, Inc., Arch Coal, Inc. and Covance, Inc. Inverse Mid-Cap Strategy Fund H-Class returned 30.14% for the year. The fund achieved a daily correlation of more than 99% to its benchmark of -100% of the daily price movement of the S&P MidCap 400 Index.

The apparent discrepancy between daily and long-term returns is the result of compounding, which is briefly described on page 4 of this report.

Holdings Diversification (Market Exposure as % of Net Assets)

“Holdings Diversification (Market Exposure as % of Net Assets)” excludes any temporary cash investments.

Inception Dates:
A-Class	March 31, 2004
C-Class	February 20, 2004
H-Class	February 20, 2004

The Fund invests principally in derivative investments such as equity index swap agreements, futures contracts, and options on index futures.

22    |    THE RYDEX SERIES FUNDS ANNUAL REPORT

PERFORMANCE REPORTS AND FUND PROFILES (Unaudited) (continued)

INVERSE MID-CAP STRATEGY FUND

Cumulative Fund Performance

† Initial investment has been adjusted for the maximum sales charge of 4.75%.

AVERAGE ANNUAL TOTAL RETURNS FOR THE PERIOD ENDED 03/31/09

	A-Class												C-Class
	(03/31/04)												(02/20/04)
	ONE			ONE			FIVE			FIVE			ONE			ONE			FIVE			SINCE
	YEAR			YEAR*			YEAR			YEAR*			YEAR			YEAR**			YEAR			INCEPTION
INVERSE MID-CAP
STRATEGY FUND		30.14	%		23.96	%		1.98	%		0.99	%		29.18	%		28.18	%		1.20	%		0.77	%
S&P MIDCAP 400 INDEX		-36.10	%		-36.10	%		-2.84	%		-2.84	%		-36.10	%		-36.10	%		-2.84	%		-2.53	%
	H-Class
	(02/20/04)
	ONE			FIVE			SINCE
	YEAR			YEAR			INCEPTION
INVERSE MID-CAP
STRATEGY FUND		30.14	%		1.98	%		1.54	%
S&P MIDCAP 400 INDEX		-36.10	%		-2.84	%		-2.53	%

*	Fund returns are calculated using the maximum sales charge of 4.75%.
**	Fund returns include a CDSC of 1% if redeemed within 12 months of purchase.

The returns presented above do not reflect the effects of taxes. Past performance is no guarantee of future results. The S&P MidCap 400 Index is an unmanaged stock index and, unlike the Fund, has no management fees or other operating expenses to reduce its reported return. Returns are historical and include changes in principal and reinvested dividends and capital gains. The graphs are based on A-Class shares and H-Class shares only; performance for C-Class shares will vary due to differences in fee structures.

THE RYDEX SERIES FUNDS ANNUAL REPORT    |    23

PERFORMANCE REPORTS AND FUND PROFILES (Unaudited) (continued)

RUSSELL 2000^® 1.5x STRATEGY FUND

OBJECTIVE: To provide investment results that correlate to the performance of a specific benchmark for small-cap securities on a daily basis. The Fund’s current benchmark is the Russell 2000 Index.

Inception: November 1, 2000

The Russell 2000 Index was down 37.50% for the year ended March 31, 2009. The weaker housing market and unfolding financial crisis hurt small-cap companies throughout the year. Increasing fears of a recession were confirmed as the National Bureau of Economic Research announced late in 2008 that U.S. economic activity reached a peak in December 2007.

The bankruptcy of Lehman Brothers Holdings, Inc. in September caused a flight away from risk stocks into the safety of government bonds and T-bills and both investment grade and high yield corporate debt yields to rise dramatically. The actions of the governments and central banks around the world to assist, and even rescue, troubled firms, and to announce large fiscal spending plans and coordinated interest rate cuts helped calm financial markets by year-end.

Even with a flight to less risky assets, the Russell 2000 Index outperformed the large-cap S&P 500 Index, which was down 38.09% for the year. The main reason for the outperformance was that smaller-cap financial stocks outperformed larger-cap financial stocks even though financial stocks comprise a larger weight in the Russell 2000 Index than in the S&P 500 Index. Russell 2000^® 1.5x Strategy Fund H-Class returned -56.43% for the year. The fund achieved a daily correlation of more than 99% to its benchmark of 150% of the daily price movement of the Russell 2000 Index.

The apparent discrepancy between the leveraged and unleveraged indices is the result of compounding, which is described briefly on page 4 of this report.

Holdings Diversification (Market Exposure as % of Net Assets)

“Holdings Diversification (Market Exposure as % of Net Assets)” excludes any temporary cash investments.

Inception Dates:
A-Class	March 31, 2004
C-Class	January 23, 2001
H-Class	November 1, 2000

Ten Largest Holdings
(% of Total Net Assets)
Myriad Genetics, Inc.	0.4	%
Alexion Pharmaceuticals, Inc.	0.3	%
Ralcorp Holdings, Inc.	0.3	%
Sybase, Inc.	0.2	%
OSI Pharmaceuticals, Inc.	0.2	%
ITC Holdings Corp.	0.2	%
Watson Wyatt & Company Holdings	0.2	%
Waste Connections, Inc.	0.2	%
Wendy’s/Arby’s Group, Inc. — Class A	0.2	%
Aspen Insurance Holdings Ltd.	0.2	%
Top Ten Total	2.4	%

“Ten Largest Holdings” exclude any temporary cash or derivative investments.

24    |    THE RYDEX SERIES FUNDS ANNUAL REPORT

PERFORMANCE REPORTS AND FUND PROFILES (Unaudited) (continued)

RUSSELL 2000^® 1.5x STRATEGY FUND

Cumulative Fund Performance

† Initial investment has been adjusted for the maximum sales charge of 4.75%.

AVERAGE ANNUAL TOTAL RETURNS FOR THE PERIOD ENDED 03/31/09

	A-Class												C-Class
	(03/31/04)												(01/23/01)
	ONE			ONE			FIVE			FIVE			ONE			ONE			FIVE			SINCE
	YEAR			YEAR*			YEAR			YEAR*			YEAR			YEAR**			YEAR			INCEPTION
RUSSELL 2000® 1.5x
STRATEGY FUND		-56.36	%		-58.43	%		-12.99	%		-13.84	%		-56.79	%		-57.22	%		-13.68	%		-7.96	%
RUSSELL 2000 INDEX		-37.50	%		-37.50	%		-5.20	%		-5.20	%		-37.50	%		-37.50	%		-5.20	%		-0.74	%
	H-Class
	(11/01/00)
	ONE			FIVE			SINCE
	YEAR			YEAR			INCEPTION
RUSSELL 2000® 1.5x
STRATEGY FUND		-56.43	%		-13.02	%		-7.41	%
RUSSELL 2000 INDEX		-37.50	%		-5.20	%		-0.51	%

*	Fund returns are calculated using the maximum sales charge of 4.75%.
**	Fund returns include a CDSC of 1% if redeemed within 12 months of purchase.

The returns presented above do not reflect the effects of taxes. Past performance is no guarantee of future results. The Russell 2000 Index is an unmanaged stock index and, unlike the Fund, has no management fees or other operating expenses to reduce its reported return. Returns are historical and include changes in principal and reinvested dividends and capital gains. The graphs are based on A-Class shares and H-Class shares only; performance for C-Class shares will vary due to differences in fee structures.

THE RYDEX SERIES FUNDS ANNUAL REPORT    |    25

PERFORMANCE REPORTS AND FUND PROFILES (Unaudited) (continued)

RUSSELL 2000^® FUND

OBJECTIVE: To provide investment results that match the performance of a specific benchmark on a daily basis. The Fund’s current benchmark is the Russell 2000 Index.

Inception: May 31, 2006

The Russell 2000 Index was down 37.50% for the year ended March 31, 2009. The poor economic environment continued to hurt small-cap stocks this year. The bankruptcy of Lehman Brothers Holdings, Inc. in September caused a massive flight away from risk stocks into the safety of government bonds and T-bills. The actions of the governments and central banks around the world to assist, and even rescue, troubled firms, and to announce large fiscal spending plans and coordinated interest rate cuts helped calm financial markets by year-end.

Even with a flight to less risky assets, the Russell 2000 Index performed slightly better than the S&P 500 Index (-38.09%) over the past 12 months. However, the index fared worse than the tech-heavy NASDAQ-100 Index, which ended the year down 30.15%. The index’s best-performing holdings were Petrohawk Energy Corp., Alpha Natural Resources, Inc., CF Industries Holdings, Inc. and Walter Industries, Inc. The industry’s worst performers included BearingPoint, Inc., W Holding Company, Inc., Hologic, Inc., Energy Conversion Devices, Inc. and Penn Virginia Corp.

Holdings Diversification (Market Exposure as % of Net Assets)

“Holdings Diversification (Market Exposure as % of Net Assets)” excludes any temporary cash investments.

Inception Dates:
A-Class	May 31, 2006
C-Class	May 31, 2006
H-Class	May 31, 2006

Ten Largest Holdings
(% of Total Net Assets)
Myriad Genetics, Inc.	0.2	%
Alexion Pharmaceuticals, Inc.	0.2	%
Ralcorp Holdings, Inc.	0.2	%
Sybase, Inc.	0.1	%
OSI Pharmaceuticals, Inc.	0.1	%
ITC Holdings Corp.	0.1	%
Watson Wyatt & Company Holdings	0.1	%
Waste Connections, Inc.	0.1	%
Wendy’s/Arby’s Group, Inc. —Class A	0.1	%
Aspen Insurance Holdings Ltd.	0.1	%
Top Ten Total	1.3	%

“Ten Largest Holdings” exclude any temporary cash or derivative investments.

26    |    THE RYDEX SERIES FUNDS ANNUAL REPORT

PERFORMANCE REPORTS AND FUND PROFILES (Unaudited) (continued)

RUSSELL 2000^® FUND

Cumulative Fund Performance

† Initial investment has been adjusted for the maximum sales charge of 4.75%.

AVERAGE ANNUAL TOTAL RETURNS FOR THE PERIOD ENDED 03/31/09

	A-Class												C-Class									H-Class
	(05/31/06)												(05/31/06)									(05/31/06)
	ONE			ONE			SINCE			SINCE			ONE			ONE			SINCE			ONE			SINCE
	YEAR			YEAR*			INCEPTION			INCEPTION*			YEAR			YEAR**			INCEPTION			YEAR			INCEPTION
RUSSELL 2000® FUND		-39.29	%		-42.17	%		-17.51	%		-18.92	%		-39.86	%		-40.46	%		-18.14	%		-39.29	%		-17.51	%
RUSSELL 2000 INDEX		-37.50	%		-37.50	%		-15.97	%		-15.97	%		-37.50	%		-37.50	%		-15.97	%		-37.50	%		-15.97	%

*	Fund returns are calculated using the maximum sales charge of 4.75%.
**	Fund returns include a CDSC of 1% if redeemed within 12 months of purchase.

The returns presented above do not reflect the effects of taxes. Past performance is no guarantee of future results. The Russell 2000 Index is an unmanaged stock index and, unlike the Fund, has no management fees or other operating expenses to reduce its reported return. Returns are historical and include changes in principal and reinvested dividends and capital gains. The graphs are based on A-Class shares and H-Class shares only; performance for C-Class shares will vary due to differences in fee structures.

THE RYDEX SERIES FUNDS ANNUAL REPORT    |    27

PERFORMANCE REPORTS AND FUND PROFILES (Unaudited) (continued)

INVERSE RUSSELL 2000^® STRATEGY FUND

OBJECTIVE: To provide investment results that match the performance of a specific benchmark on a daily basis. The Fund’s current benchmark is the inverse of the performance of the Russell 2000 Index.

Inception: February 20, 2004

The Russell 2000 Index was down 37.50% for the year ended March 31, 2009. The poor economic environment continued to hurt small-cap stocks this year. The bankruptcy of Lehman Brothers Holdings, Inc. in September caused a massive flight away from risk stocks into the safety of government bonds and T-bills. The actions of the governments and central banks around the world to assist, and even rescue, troubled firms, and to announce large fiscal spending plans and coordinated interest rate cuts helped calm financial markets by year-end.

Even with a flight to less risky assets, the Russell 2000 Index performed slightly better than the S&P Index (-38.09%) over the past 12 months. However, the index fared worse than the tech-heavy NASDAQ-100 Index, which ended the year down 30.15%. The index’s best-performing holdings were Petrohawk Energy Corp., Alpha Natural Resources, Inc., CF Industries Holdings, Inc. and Walter Industries, Inc. The industry’s worst performers included BearingPoint, Inc., W Holding Company, Inc., Hologic, Inc., Energy Conversion Devices, Inc. and Penn Virginia Corp. The fund achieved a daily correlation of 99% to its benchmark of the inverse of the daily price movement of the Russell 2000 Index.

The apparent discrepancy between daily and long-term returns is the result of compounding, which is briefly described on page 4 of this report.

Holdings Diversification (Market Exposure as % of Net Assets)

“Holdings Diversification (Market Exposure as % of Net Assets)” excludes any temporary cash investments.

Inception Dates:
A-Class	March 31, 2004
C-Class	February 20, 2004
H-Class	February 20, 2004

The Fund invests principally in short sales of securities and derivative investments such as equity index swap agreements, futures contracts, and options on index futures.

28    |    THE RYDEX SERIES FUNDS ANNUAL REPORT

PERFORMANCE REPORTS AND FUND PROFILES (Unaudited) (continued)

INVERSE RUSSELL 2000^® STRATEGY FUND

Cumulative Fund Performance

† Initial investment has been adjusted for the maximum sales charge of 4.75%.

AVERAGE ANNUAL TOTAL RETURNS FOR THE PERIOD ENDED 03/31/09

	A-Class												C-Class
	(03/31/04)												(02/20/04)
	ONE			ONE			FIVE			FIVE			ONE			ONE			FIVE			SINCE
	YEAR			YEAR*			YEAR			YEAR*			YEAR			YEAR**			YEAR			INCEPTION
INVERSE RUSSELL 2000® STRATEGY FUND		23.91	%		18.02	%		1.95	%		0.96	%		23.06	%		22.06	%		1.21	%		0.69	%
RUSSELL 2000 INDEX		-37.50	%		-37.50	%		-5.20	%		-5.20	%		-37.50	%		-37.50	%		-5.20	%		-4.73	%
	H-Class
	(02/20/04)
	ONE			FIVE			SINCE
	YEAR			YEAR			INCEPTION
INVERSE RUSSELL 2000® STRATEGY FUND		23.93	%		1.96	%		1.44	%
RUSSELL 2000 INDEX		-37.50	%		-5.20	%		-4.73	%

*	Fund returns are calculated using the maximum sales charge of 4.75%.
**	Fund returns include a CDSC of 1% if redeemed within 12 months of purchase.

The returns presented above do not reflect the effects of taxes. Past performance is no guarantee of future results. The Russell 2000 Index is an unmanaged stock index and, unlike the Fund, has no management fees or other operating expenses to reduce its reported return. Returns are historical and include changes in principal and reinvested dividends and capital gains. The graphs are based on A-Class shares and H-Class shares only; performance for C-Class shares will vary due to differences in fee structures.

THE RYDEX SERIES FUNDS ANNUAL REPORT    |    29

PERFORMANCE REPORTS AND FUND PROFILES (Unaudited) (continued)

GOVERNMENT LONG BOND 1.2x STRATEGY FUND

OBJECTIVE: To provide investment results that correspond to a benchmark for U.S. Government securities. The Fund’s current benchmark is 120% of the price movement of the Long Treasury Bond. The Long Treasury Bond is the U.S. Treasury bond with the longest maturity, which is currently 30 years.

Inception: January 3, 1994

Government Long Bond 1.2x Strategy Fund Investor Class returned 20.17% during the year ended March 31, 2009. During the first and second quarter of 2008, the fund experienced extreme volatility in February and March and traded in a narrow trading range while the Federal Reserve issued new debt to provide economic stimulus and bought back debt to maintain low interest rates. On April 1, 2008, the 30-year bond recorded a yield of 4.4%. A drop in yield resulted in a flight to quality brought on by continuing signs of economic weakness—and alternately—a rise in yield as the Federal Reserve expressed continuing inflationary concerns. Following the collapse of Lehman Brothers Holdings, Inc. on September 15th, economic conditions deteriorated sharply. In a commitment to address the financial crisis, the government took over Freddie Mac, Fannie Mae and American International Group, Inc. as they rapidly declined in value due to legacy toxic assets. The Federal Reserve responded by lowering the Federal Funds Rate. On December 16, the Fed’s target rate rested at an unprecedented low of 0.00% to 0.25%. In mid-November through the end of December, ongoing fears and uncertainty prompted investors to again run for the safety of Treasuries and the 30-year bond yield plummeted 150-basis points. The fund achieved a daily correlation of 99% to its benchmark of 120% of the daily price movement of the Long Treasury Bond.

The apparent discrepancy between the leveraged and unleveraged indices is the result of compounding, which is described briefly on page 4 of this report.

Holdings Diversification (Market Exposure as % of Net Assets)

“Holdings Diversification (Market Exposure as % of Net Assets)” excludes any temporary cash investments.

Inception Dates:
Investor Class	January 3, 1994
Advisor Class	August 1, 2003
A-Class	March 31, 2004
C-Class	May 2, 2001

The Fund invests principally in U.S. Government securities and in derivative investments such as futures and options contracts.

30    |    THE RYDEX SERIES FUNDS ANNUAL REPORT

PERFORMANCE REPORTS AND FUND PROFILES (Unaudited) (continued)

GOVERNMENT LONG BOND 1.2x STRATEGY FUND

Cumulative Fund Performance

† Initial investment has been adjusted for the maximum sales charge of 4.75%.

AVERAGE ANNUAL TOTAL RETURNS FOR THE PERIOD ENDED 03/31/09

	Investor Class									Advisor Class
	(01/03/94)									(08/01/03)
	ONE			FIVE			TEN			ONE			FIVE			SINCE
	YEAR			YEAR			YEAR			YEAR			YEAR			INCEPTION
GOVERNMENT LONG BOND 1.2x STRATEGY FUND		20.17	%		8.35	%		7.35	%		19.49	%		7.65	%		9.04	%
PRICE MOVEMENT OF LONG TREASURY BOND		-2.29	%		-1.88	%		-0.20	%		-2.29	%		-1.88	%		-0.28	%
BARCLAYS CAPITAL LONG TREASURY BOND INDEX		13.05	%		7.44	%		7.99	%		13.05	%		7.44	%		8.52	%

	A-Class												C-Class
	(03/31/04)												(05/02/01)
	ONE			ONE			FIVE			FIVE			ONE			ONE			FIVE			SINCE
	YEAR			YEAR*			YEAR			YEAR*			YEAR			YEAR**			YEAR			INCEPTION
GOVERNMENT LONG BOND 1.2x STRATEGY FUND		19.84	%		14.15	%		8.05	%		7.00	%		18.90	%		17.90	%		7.20	%		7.82	%
PRICE MOVEMENT OF LONG TREASURY BOND		-2.29	%		-2.29	%		-1.88	%		-1.88	%		-2.29	%		-2.29	%		-1.88	%		0.50	%
BARCLAYS CAPITAL LONG TREASURY BOND INDEX		13.05	%		13.05	%		7.44	%		7.44	%		13.05	%		13.05	%		7.44	%		8.38	%

*	Fund returns are calculated using the maximum sales charge of 4.75%.
**	Fund returns include a CDSC of 1% if redeemed within 12 months of purchase.

The returns presented above do not reflect the effects of taxes. Past performance is no guarantee of future results. The Barclays Capital Long Treasury Bond Index is an unmanaged bond index and, unlike the Fund, has no management fees or other operating expenses to reduce its reported return. The price movement of the Long Treasury Bond represents a cumulative percentage change in its closing price. Returns are historical and include changes in principal and reinvested dividends and capital gains. The graphs are based on Investor Class shares and A-Class shares only; performance for Advisor Class shares and C-Class shares will vary due to differences in fee structure.

THE RYDEX SERIES FUNDS ANNUAL REPORT    |    31

PERFORMANCE REPORTS AND FUND PROFILES (Unaudited) (continued)

INVERSE GOVERNMENT LONG BOND STRATEGY FUND

OBJECTIVE: To provide total returns that inversely correlate to the price movements of a benchmark for U.S. Treasury debt instruments or futures contracts on a specified debt instrument. The Fund’s current benchmark is the inverse of the daily price movement of the Long Treasury Bond. The Long Treasury Bond is the U.S. Treasury bond with the longest maturity, which is currently 30 years.

Inception: March 3, 1995

During the first two quarters of 2008, 30-year bond had little direction. The Federal Reserve seemed divided in weighing the risk of inflation versus the risk of slower economic growth. The Long Bond yield remained in a narrow trading range until Lehman Brothers Holdings, Inc. failed in mid-September and the government took over Freddie Mac and Fannie Mae, as well as American International Group, Inc., as the value of the subprime mortgage holdings declined. The U.S. Treasury created new tools to help stimulate the economy, which required them to issue more debt. In response, the Federal Reserve slashed the Federal Funds Rate to encourage banks to lend. By mid-September, the rise in unemployment, falling home prices, home foreclosures and investor fear pushed yields steadily lower. By December 31, the 30-year bond yield slid to 2.68% from 4.23% (on November 14th). The Treasury’s issuance of new debt and the buyback plan created greater volatility during the fourth quarter. For the year ended March 31, 2009, Inverse Government Long Bond Strategy Fund Investor Class returned -20.76%. The fund achieved a daily correlation of 94% to its benchmark of -100% of the daily price movement of the Long Treasury Bond.

The apparent discrepancy between daily and long-term returns is the result of compounding, which is briefly described on page 4 of this report.

Holdings Diversification (Market Exposure as % of Net Assets)

“Holdings Diversification (Market Exposure as % of Net Assets)” excludes any temporary cash investments.

Inception Dates:
Investor Class	March 3, 1995
Advisor Class	August 1, 2003
A-Class	March 31, 2004
C-Class	March 28, 2001

The Fund invests principally in short sales and derivative investments such as futures contracts, and options on index futures.

32    |    THE RYDEX SERIES FUNDS ANNUAL REPORT

PERFORMANCE REPORTS AND FUND PROFILES (Unaudited) (continued)

INVERSE GOVERNMENT LONG BOND STRATEGY FUND

Cumulative Fund Performance

† Initial investment has been adjusted for the maximum sales charge of 4.75%.

AVERAGE ANNUAL TOTAL RETURNS FOR THE PERIOD ENDED 03/31/09

	Investor Class									Advisor Class
	(03/03/95)									(08/01/03)
	ONE			FIVE			TEN			ONE			FIVE			SINCE
	YEAR			YEAR			YEAR			YEAR			YEAR			INCEPTION
INVERSE GOVERNMENT LONG BOND STRATEGY FUND		-20.76	%		-6.30	%		-5.80	%		-21.08	%		-6.75	%		-8.08	%
PRICE MOVEMENT OF LONG TREASURY BOND		-2.29	%		-1.88	%		-0.20	%		-2.29	%		-1.88	%		-0.28	%
BARCLAYS CAPITAL LONG TREASURY BOND INDEX		13.05	%		7.44	%		7.99	%		13.05	%		7.44	%		8.52	%

	A-Class												C-Class
	(03/31/04)												(03/28/01)
	ONE			ONE			FIVE			FIVE			ONE			ONE			FIVE			SINCE
	YEAR			YEAR*			YEAR			YEAR*			YEAR			YEAR**			YEAR			INCEPTION
INVERSE GOVERNMENT LONG BOND STRATEGY FUND		-20.94	%		-24.70	%		-6.54	%		-7.44	%		-21.53	%		-22.31	%		-7.23	%		-7.93	%
PRICE MOVEMENT OF LONG TREASURY BOND		-2.29	%		-2.29	%		-1.88	%		-1.88	%		-2.29	%		-2.29	%		-1.88	%		0.50	%
BARCLAYS CAPITAL LONG TREASURY BOND INDEX		13.05	%		13.05	%		7.44	%		7.44	%		13.05	%		13.05	%		7.44	%		8.38	%

*	Fund returns are calculated using the maximum sales charge of 4.75%.
**	Fund returns include a CDSC of 1% if redeemed within 12 months of purchase.

The returns presented above do not reflect the effects of taxes. Past performance is no guarantee of future results. The Barclays Capital Long Treasury Bond Index is an unmanaged bond index and, unlike the Fund, has no management fees or other operating expenses to reduce its reported return. The price movement of the Long Treasury Bond represents a cumulative percentage change in its closing price. Returns are historical and include changes in principal and reinvested dividends and capital gains. The graphs are based on Investor Class shares and A-Class shares only; performance for Advisor Class shares and C-Class shares will vary due to differences in fee structure.

THE RYDEX SERIES FUNDS ANNUAL REPORT    |    33

PERFORMANCE REPORTS AND FUND PROFILES (Unaudited) (continued)

HIGH YIELD STRATEGY FUND

OBJECTIVE: To provide investment results that correlate to the performance of the high yield bond market.

Inception: April 16, 2007

In 2008, credit default swap spreads widened to their highest levels in history as investors fled risky assets after Lehman Brothers Holdings, Inc.’s bankruptcy on September 15. The relatively more liquid high-yield credit default swap market held up better than cash high yield bonds. However, cash high-yield bonds bounced back much more than high-yield credit default swaps in the first quarter of 2009, from a very depressed level. The five-year U.S. Treasury yield fell from 2.65% to 1.66% at the end of the period, which pulled back some of the positive performance from widening credit spreads over the past 12 months. High Yield Strategy Fund H-Class returned -16.16% for the year ended March 31, 2009, as opposed to its index, the Barclays Capital U.S. Corporate High Yield Index, which returned -19.31%.

Holdings Diversification (Market Exposure as % of Net Assets)

“Holdings Diversification (Market Exposure as % of Net Assets)” excludes any temporary cash investments.

Inception Dates:
A-Class	April 16, 2007
C-Class	April 16, 2007
H-Class	April 16, 2007

The Fund invests principally in derivative investments such as high yield credit default swap agreements and futures contracts.

34    |    THE RYDEX SERIES FUNDS ANNUAL REPORT

PERFORMANCE REPORTS AND FUND PROFILES (Unaudited) (continued)

HIGH YIELD STRATEGY FUND

Cumulative Fund Performance

† Initial investment has been adjusted for the maximum sales charge of 4.75%.

AVERAGE ANNUAL TOTAL RETURNS FOR THE PERIOD ENDED 03/31/09

	A-Class												C-Class									H-Class
	(04/16/07)												(04/16/07)									(04/16/07)
	ONE			ONE			SINCE			SINCE			ONE			ONE			SINCE			ONE			SINCE
	YEAR			YEAR*			INCEPTION			INCEPTION*			YEAR			YEAR**			INCEPTION			YEAR			INCEPTION
HIGH YIELD STRATEGY FUND		-16.15	%		-20.13	%		-9.77	%		-11.99	%		-16.83	%		-17.66	%		-10.50	%		-16.16	%		-9.83	%
S&P 500 INDEX		-38.09	%		-38.09	%		-25.06	%		-25.06	%		-38.09	%		-38.09	%		-25.06	%		-38.09	%		-25.06	%
BARCLAYS CAPITAL U.S. CORPORATE
HIGH YIELD INDEX		-19.31	%		-19.31	%		-12.32	%		-12.32	%		-19.31	%		-19.31	%		-12.32	%		-19.31	%		-12.32	%

*	Fund returns are calculated using the maximum sales charge of 4.75%.
**	Fund returns include a CDSC of 1% if redeemed within 12 months of purchase.

The returns presented above do not reflect the effects of taxes. Past performance is no guarantee of future results. The S&P 500 Index and the Barclays Capital U.S. Corporate High Yield Index are unmanaged stock/bond indices and, unlike the Fund, have no management fees or other operating expenses to reduce their reported returns. Returns are historical and include changes in principal and reinvested dividends and capital gains. The graphs are based on A-Class shares and H-Class shares only; performance for C-Class shares will vary due to differences in fee structures.

THE RYDEX SERIES FUNDS ANNUAL REPORT    |    35

PERFORMANCE REPORTS AND FUND PROFILES (Unaudited) (continued)

INVERSE HIGH YIELD STRATEGY FUND

OBJECTIVE: To provide investment results that inversely correlate to the performance of the high yield bond market.

Inception: April 16, 2007

In 2008, credit default swap spreads widened to their highest levels in history as investors fled risky assets after the Lehman Brothers Holdings, Inc.’s bankruptcy on September 15. The relatively more liquid high-yield credit default swap market held up better than cash high yield bonds. However, cash high-yield bonds bounced back much more than high-yield credit default swaps in the first quarter of 2009 from a very depressed level. The five-year U.S. Treasury yield fell from 2.65% to 1.66% at the end of the period, which pulled back some of the positive performance from widening credit spreads over the past 12 months.

Inverse High Yield Strategy Fund H-Class returned 10.17% during the year ended March 31, 2009, as opposed to its index, the Barclays Capital U.S. Corporate High Yield Index which returned -19.31%.

The apparent discrepancy between daily and long-term returns is the result of compounding, which is briefly described on page 4 of this report.

Holdings Diversification (Market Exposure as % of Net Assets)

“Holdings Diversification (Market Exposure as % of Net Assets)” excludes any temporary cash investments.

Inception Dates:
H-Class	April 16, 2007
A-Class	April 16, 2007
C-Class	April 16, 2007

The Fund invests principally in derivative investments such as high yield credit default swap agreements and futures contracts.

36    |    THE RYDEX SERIES FUNDS ANNUAL REPORT

PERFORMANCE REPORTS AND FUND PROFILES (Unaudited) (continued)

INVERSE HIGH YIELD STRATEGY FUND

Cumulative Fund Performance

† Initial investment has been adjusted for the maximum sales charge of 4.75%.

AVERAGE ANNUAL TOTAL RETURNS FOR THE PERIOD ENDED 03/31/09

	A-Class												C-Class									H-Class
	(04/16/07)												(04/16/07)									(04/16/07)
	ONE			ONE			SINCE			SINCE			ONE			ONE			SINCE			ONE			SINCE
	YEAR			YEAR*			INCEPTION			INCEPTION*			YEAR			YEAR**			INCEPTION			YEAR			INCEPTION
INVERSE HIGH YIELD STRATEGY FUND		10.17	%		4.94	%		6.41	%		3.81	%		9.34	%		8.34	%		5.79	%		10.17	%		6.54	%
S&P 500 INDEX		-38.09	%		-38.09	%		-25.06	%		-25.06	%		-38.09	%		-38.09	%		-25.06	%		-38.09	%		-25.06	%
BARCLAYS CAPITAL U.S. CORPORATE
HIGH YIELD INDEX		-19.31	%		-19.31	%		-12.32	%		-12.32	%		-19.31	%		-19.31	%		-12.32	%		-19.31	%		-12.32	%

*	Fund returns are calculated using the maximum sales charge of 4.75%.
**	Fund returns include a CDSC of 1% if redeemed within 12 months of purchase.

The returns presented above do not reflect the effects of taxes. Past performance is no guarantee of future results. The S&P 500 Index and the Barclays Capital U.S. Corporate High Yield Index are unmanaged stock/bond indices and, unlike the Fund, have no management fees or other operating expenses to reduce their reported returns. Returns are historical and include changes in principal and reinvested dividends and capital gains. The graphs are based on A-Class shares and H-Class shares only; performance for C-Class shares will vary due to differences in fee structures.

THE RYDEX SERIES FUNDS ANNUAL REPORT    |    37

PERFORMANCE REPORTS AND FUND PROFILES (Unaudited) (continued)

EUROPE 1.25x STRATEGY FUND

OBJECTIVE: To provide investment results that correlate to the performance of a specific benchmark. The Fund’s current benchmark is the Dow Jones STOXX 50^® Index.

Inception: May 8, 2000

International markets were not immune to the financial crisis, which spread to Europe from the U.S. in mid-2008. Continued concerns about a weakening global economy weighed heavily on stocks around the world, as European nations pledged a combined 1.3 trillion Euros to bail out banks and prevent the collapse of the financial system. In response to deteriorating economic conditions throughout Europe, the European Central Bank lowered its key interest rate to 1.5% between July 2008 and March 31, 2009. The Dow Jones STOXX 50 Index (in U.S. dollar terms) underperformed both the S&P 500 Index (-38.09%) and the Nikkei 225 Stock Average Index (-33.76%). The fund’s performance was also hurt by European currencies weakening against the U.S. dollar over the past 12 months. Europe 1.25x Strategy Fund H-Class returned -62.44% during the year ended March 31, 2009. The fund achieved a daily correlation of more than 97% to its benchmark of 125% of the daily price movement of the Dow Jones STOXX 50 Index.

The apparent discrepancy between the leveraged and unleveraged indices is the result of compounding, which is described briefly on page 4 of this report.

Holdings Diversification (Market Exposure as % of Net Assets)

“Holdings Diversification (Market Exposure as % of Net Assets)” excludes any temporary cash investments.

Inception Dates:
A-Class	March 31, 2004
C-Class	May 10, 2001
H-Class	May 8, 2000

Ten Largest Holdings (% of Total Net Assets)
Novartis AG — SP ADR	2.8	%
BP PLC — SP ADR	2.7	%
GlaxoSmithKline PLC — SP ADR	2.6	%
Telefonica SA — SP ADR	2.6	%
Total SA — SP ADR	2.5	%
Vodafone Group PLC — SP ADR	2.2	%
Sanofi-Aventis — SP ADR	2.1	%
France Telecom SA — SP ADR	2.0	%
Royal Dutch Shell PLC — SP ADR	1.8	%
AstraZeneca PLC — SP ADR	1.4	%
Top Ten Total	22.7	%

“Ten Largest Holdings” excludes any temporary cash or derivative investments.

38    |    THE RYDEX SERIES FUNDS ANNUAL REPORT

PERFORMANCE REPORTS AND FUND PROFILES (Unaudited) (continued)

EUROPE 1.25x STRATEGY FUND

Cumulative Fund Performance

† Initial investment has been adjusted for the maximum sales charge of 4.75%.

AVERAGE ANNUAL TOTAL RETURNS FOR THE PERIOD ENDED 03/31/09

	A-Class												C-Class
	(03/31/04)												(05/10/01)
	ONE			ONE			FIVE			FIVE			ONE			ONE			FIVE			SINCE
	YEAR			YEAR*			YEAR			YEAR*			YEAR			YEAR**			YEAR			INCEPTION
EUROPE 1.25x STRATEGY FUND***		-62.43	%		-64.21	%		-9.53	%		-10.41	%		-62.71	%		-63.08	%		-10.23	%		-9.18	%
DOW JONES STOXX 50 INDEX		-47.15	%		-47.15	%		-2.42	%		-2.42	%		-47.15	%		-47.15	%		-2.42	%		-2.28	%
	H-Class
	(05/08/00)
	ONE			FIVE			SINCE
	YEAR			YEAR			INCEPTION
EUROPE 1.25x STRATEGY FUND***		-62.44	%		-9.53	%		-10.30	%
DOW JONES STOXX 50 INDEX		-47.15	%		-2.42	%		-3.75	%

*	Fund returns are calculated using the maximum sales charge of 4.75%.
**	Fund returns include a CDSC of 1% if redeemed within 12 months of purchase.
***	The effects of compounding and currency exchange rates may cause the longer-term correlation of the Fund to its benchmark to diminish.

The returns presented above do not reflect the effects of taxes. Past performance is no guarantee of future results. The Dow Jones STOXX 50 Index is an unmanaged stock index and, unlike the Fund, has no management fees or other operating expenses to reduce its reported return. Returns are historical and include changes in principal and reinvested dividends and capital gains. The graphs are based on A-Class shares and H-Class shares only; performance for C-Class shares will vary due to differences in fee structures.

THE RYDEX SERIES FUNDS ANNUAL REPORT    |    39

PERFORMANCE REPORTS AND FUND PROFILES (Unaudited) (continued)

JAPAN 2x STRATEGY FUND

OBJECTIVE: To provide investment results that correlate to the performance of a specific benchmark. The Fund’s current benchmark is 200% of the fair value of the Nikkei 225 Stock Average Index.

Inception: February 22, 2008

Japan 2x Strategy Fund H-Class returned -64.10% for the year ended March 31, 2009. Japan was not insulated from the global credit crisis even though only a few banks in Japan had significant exposure to the U.S. subprime mortgage market. The Nikkei 225 Stock Average (in U.S. dollar terms) outperformed both the S&P 500 Index (-38.09%) as well as the Dow Jones STOXX 50 Index (-47.15%). Performance of the index benefited slightly as the Japanese Yen appreciated slightly against the U.S. dollar over the past 12 months. The fund achieved a daily correlation of more than 99% to its benchmark of 200% of the daily price movement of the Nikkei 225 Stock Average Index.

The apparent discrepancy between the leveraged and unleveraged indices is the result of compounding, which is described briefly on page 4 of this report.

Holdings Diversification (Market Exposure as % of Net Assets)

“Holdings Diversification (Market Exposure as % of Net Assets)” excludes any temporary cash investments.

Inception Dates:
A-Class	February 22, 2008
C-Class	February 22, 2008
H-Class	February 22, 2008

The Fund invests principally in derivative investments such as equity index swap agreements, futures contracts, and options on index futures.

40    |    THE RYDEX SERIES FUNDS ANNUAL REPORT

PERFORMANCE REPORTS AND FUND PROFILES (Unaudited) (continued)

JAPAN 2x STRATEGY FUND

Cumulative Fund Performance

† Initial investment has been adjusted for the maximum sales charge of 4.75%.

AVERAGE ANNUAL TOTAL RETURNS FOR THE PERIOD ENDED 03/31/09

	A-Class												C-Class									H-Class
	(02/22/08)												(02/22/08)									(02/22/08)
	ONE			ONE			SINCE			SINCE			ONE			ONE			SINCE			ONE			SINCE
	YEAR			YEAR*			INCEPTION			INCEPTION*			YEAR			YEAR**			INCEPTION			YEAR			INCEPTION
JAPAN 2x STRATEGY FUND***		-64.10	%		-65.81	%		-60.29	%		-62.01	%		-64.35	%		-64.71	%		-60.57	%		-64.10	%		-60.29	%
NIKKEI-225 STOCK AVERAGE INDEX		-33.76	%		-33.76	%		-31.05	%		-31.05	%		-33.76	%		-33.76	%		-31.05	%		-33.76	%		-31.05	%

*	Fund returns are calculated using the maximum sales charge of 4.75%.
**	Fund returns include a CDSC of 1% if redeemed within 12 months of purchase.
***	The effects of compounding and currency exchange rates may cause the longer-term correlation of the Fund to its benchmark to diminish.

The returns presented above do not reflect the effects of taxes. Past performance is no guarantee of future results. The Nikkei-225 Stock Average Index is an unmanaged stock index and, unlike the Fund, has no management fees or other operating expenses to reduce its reported return. Returns are historical and include changes in principal and reinvested dividends and capital gains. The graphs are based on A-Class shares and H-Class shares only; performance for C-Class shares will vary due to differences in fee structures.

THE RYDEX SERIES FUNDS ANNUAL REPORT    |    41

PERFORMANCE REPORTS AND FUND PROFILES (Unaudited) (continued)

SMALL-CAP VALUE FUND

OBJECTIVE: To provide investment results that match the performance of a benchmark for small-cap value securities. The Fund’s current benchmark is the S&P SmallCap 600/Citigroup Pure Value Index.

Inception: February 20, 2004

Small-Cap Value Fund H-Class returned -57.20% vs. the S&P Small-Cap 600/Citigroup Pure Value Index, which was down 54.89% for the year ended March 31, 2009. Small-cap value stocks underperformed small-cap growth stocks as investors placed a premium on growth stocks in a weakening economic environment. Investors were looking for companies that could grow sales and earnings in these recessionary times and tended to favor growth stocks over value stocks. Small-cap growth outperformed small-cap value due to its lower weighting in consumer discretionary and financial stocks. Small-cap value stocks performed similar to their large-cap value and mid-cap value counterparts with those indices down 55.79% and 51.60%, respectively, for the year. The index’s best-performing holdings included Gevity HR, Inc., Ruby Tuesday, Inc., Stein Mart, Inc., SYNNEX Corp. and Stage Stores, Inc. The index’s worst-performing holdings included BankAtlantic Bancorp, Inc., Corus Bankshares, Inc., Champion Enterprises, Inc., Bassett Furniture Industries, Inc. and OfficeMax, Inc.

Holdings Diversification (Market Exposure as % of Net Assets)

“Holdings Diversification (Market Exposure as % of Net Assets)” excludes any temporary cash investments.

Inception Dates:
A-Class	September 1, 2004
C-Class	February 20, 2004
H-Class	February 20, 2004

Ten Largest Holdings
(% of Total Net Assets)
Gevity HR, Inc.	4.4	%
Stein Mart, Inc.	3.8	%
Ruby Tuesday, Inc.	3.7	%
SYNNEX Corp.	3.4	%
O’Charleys, Inc.	3.0	%
Group 1 Automotive, Inc.	2.4	%
Brunswick Corp.	2.3	%
National Financial Partners Corp.	2.1	%
Standard Motor Products, Inc.	1.9	%
Flagstar Bancorp, Inc.	1.9	%
Top Ten Total	28.9	%

“Ten Largest Holdings” exclude any temporary cash or derivative investments.

42    |    THE RYDEX SERIES FUNDS ANNUAL REPORT

PERFORMANCE REPORTS AND FUND PROFILES (Unaudited) (continued)

SMALL-CAP VALUE FUND

Cumulative Fund Performance

† Initial investment has been adjusted for the maximum sales charge of 4.75%.

AVERAGE ANNUAL TOTAL RETURNS FOR THE PERIOD ENDED 03/31/09

	A-Class												C-Class
	(09/01/04)												(02/20/04)
	ONE			ONE			SINCE			SINCE			ONE			ONE			FIVE			SINCE
	YEAR			YEAR*			INCEPTION			INCEPTION*			YEAR			YEAR**			YEAR			INCEPTION
SMALL-CAP VALUE FUND		-57.21	%		-59.24	%		-15.44	%		-16.33	%		-57.59	%		-58.01	%		-15.12	%		-14.43	%
S&P SMALLCAP 600/CITIGROUP
PURE VALUE INDEX		-54.89	%		-54.89	%		-11.71	%		-11.71	%		-54.89	%		-54.89	%		-11.18	%		-10.44	%
	H-Class
	(02/20/04)
	ONE			FIVE			SINCE
	YEAR			YEAR			INCEPTION
SMALL-CAP VALUE FUND		-57.20	%		-14.48	%		-13.78	%
S&P SMALLCAP 600/CITIGROUP
PURE VALUE INDEX		-54.89	%		-11.18	%		-10.44	%

*	Fund returns are calculated using the maximum sales charge of 4.75%.
**	Fund returns include a CDSC of 1% if redeemed within 12 months of purchase.

The returns presented above do not reflect the effects of taxes. Past performance is no guarantee of future results. The S&P SmallCap 600/Citigroup Pure Value Index is an unmanaged stock index and, unlike the Fund, has no management fees or other operating expenses to reduce its reported return. Returns are historical and include changes in principal and reinvested dividends and capital gains. The graphs are based on A-Class shares and H-Class shares only; performance for C-Class shares will vary due to differences in fee structures.

THE RYDEX SERIES FUNDS ANNUAL REPORT    |    43

PERFORMANCE REPORTS AND FUND PROFILES (Unaudited) (continued)

MID-CAP VALUE FUND

OBJECTIVE: To provide investment results that match the performance of a benchmark for mid-cap value securities. The Fund’s current benchmark is the S&P MidCap 400/Citigroup Pure Value Index.

Inception: February 20, 2004

Mid-Cap Value Fund H-Class returned -53.99% for the 12-month period ended March 31, 2009 vs. the S&P MidCap 400/Citigroup Pure Value Index, which was down 51.60%. Mid-cap value stocks underperformed mid-cap growth stocks as investors placed a premium on growth in a weakening economic environment. Investors were looking for companies that could grow sales and earnings in these recessionary times and tended to favor growth stocks over value stocks. Mid-cap value underperformed mid-cap growth due to lower weighting in health care and energy stocks. Mid-cap value stocks performed slightly better than large-cap value and small-cap value stocks with those indices down 55.79% and 54.89%, respectively, for the year. The index’s best-performing holdings included Brinker International, Inc. Fidelity National Financial, Inc., Williams-Sonoma, Inc., Barnes & Noble, Inc. and Alaska Air Group, Inc. The index’s worst-performing holdings included ArvinMeritor, Inc., Furniture Brands International, Inc., Modine Manufacturing Co. and Chemtura Corp.

Holdings Diversification (Market Exposure as % of Net Assets)

“Holdings Diversification (Market Exposure as % of Net Assets)” excludes any temporary cash investments.

Inception Dates:
A-Class	September 1, 2004
C-Class	February 20, 2004
H-Class	February 20, 2004

Ten Largest Holdings
(% of Total Net Assets)
Temple-Inland, Inc.	4.4	%
Foot Locker, Inc.	3.0	%
Ashland, Inc.	3.0	%
Williams-Sonoma, Inc.	2.9	%
Oshkosh Corp.	2.8	%
Barnes & Noble, Inc.	2.7	%
Brinker International, Inc.	2.6	%
Louisiana-Pacific Corp.	2.3	%
Tech Data Corp.	2.3	%
Health Net, Inc.	2.0	%
Top Ten Total	28.0	%

“Ten Largest Holdings” exclude any temporary cash or derivative investments.

44    |    THE RYDEX SERIES FUNDS ANNUAL REPORT

PERFORMANCE REPORTS AND FUND PROFILES (Unaudited) (continued)

MID-CAP VALUE FUND

Cumulative Fund Performance

† Initial investment has been adjusted for the maximum sales charge of 4.75%.

AVERAGE ANNUAL TOTAL RETURNS FOR THE PERIOD ENDED 03/31/09

	A-Class												C-Class
	(09/01/04)												(02/20/04)
	ONE			ONE			SINCE			SINCE			ONE			ONE			FIVE			SINCE
	YEAR			YEAR*			INCEPTION			INCEPTION*			YEAR			YEAR**			YEAR			INCEPTION
MID-CAP VALUE FUND		-53.97	%		-56.16	%		-11.19	%		-12.13	%		-54.41	%		-54.87	%		-11.40	%		-11.10	%
S&P MIDCAP 400/CITIGROUP
PURE VALUE INDEX		-51.60	%		-51.60	%		-9.23	%		-9.23	%		-51.60	%		-51.60	%		-8.62	%		-8.31	%
	H-Class
	(02/20/04)
	ONE			FIVE			SINCE
	YEAR			YEAR			INCEPTION
MID-CAP VALUE FUND		-53.99	%		-10.70	%		-10.40	%
S&P MIDCAP 400/CITIGROUP
PURE VALUE INDEX		-51.60	%		-8.62	%		-8.31	%

*	Fund returns are calculated using the maximum sales charge of 4.75%.
**	Fund returns include a CDSC of 1% if redeemed within 12 months of purchase.

The returns presented above do not reflect the effects of taxes. Past performance is no guarantee of future results. The S&P MidCap 400/Citigroup Pure Value Index is an unmanaged stock index and, unlike the Fund, has no management fees or other operating expenses to reduce its reported return. Returns are historical and include changes in principal and reinvested dividends and capital gains. The graphs are based on A-Class shares and H-Class shares only; performance for C-Class shares will vary due to differences in fee structures.

THE RYDEX SERIES FUNDS ANNUAL REPORT    |    45

PERFORMANCE REPORTS AND FUND PROFILES (Unaudited) (continued)

LARGE-CAP VALUE FUND

OBJECTIVE: To provide investment results that match the performance of a benchmark for large-cap value securities. The Fund’s current benchmark is the S&P 500/Citigroup Pure Value Index.

Inception: February 20, 2004

Large-Cap Value Fund H-Class returned -57.23% for the year ended March 31, 2009 vs. the S&P 500/Citigroup Pure Value Index, which was down 55.79% for the year. Large-cap value stocks underperformed large-cap growth stocks as investors placed a premium on growth stocks in a weakened economic environment. Basically, investors were looking for companies that could grow sales and earnings in these recessionary times. Large-cap value stocks underperformed large-cap growth due to its lower weighting in technology, health care and energy stocks. Large-cap value stocks performed slightly worse than mid-cap value and small-cap value with those indices down 51.60% and 54.89%, respectively. The index’s best-performing holdings included XL Capital Ltd., Morgan Stanley, Sun Microsystems, Inc., AutoNation, Inc., and Electronic Data Systems Corp. The industry’s worst-performing holdings included American Capital Ltd., Gannett Co., Jones Apparel Group, Inc., Hartford Financial Services Group, Inc. and Office Depot, Inc.

Holdings Diversification (Market Exposure as % of Net Assets)

“Holdings Diversification (Market Exposure as % of Net Assets)” excludes any temporary cash investments.

Inception Dates:
A-Class	September 1, 2004
C-Class	February 20, 2004
H-Class	February 20, 2004

Ten Largest Holdings
(% of Total Net Assets)
XL Capital Ltd.	4.5	%
SUPERVALU, INC.	3.2	%
Tesoro Corp.	3.1	%
Morgan Stanley	2.4	%
ProLogis	2.3	%
Macy’s, Inc.	2.1	%
CIT Group, Inc.	2.0	%
American International Group, Inc.	1.8	%
Genworth Financial, Inc. — Class A	1.7	%
MeadWestvaco Corp.	1.6	%
Top Ten Total	24.7	%

“Ten Largest Holdings” exclude any temporary cash or derivative investments.

46    |    THE RYDEX SERIES FUNDS ANNUAL REPORT

PERFORMANCE REPORTS AND FUND PROFILES (Unaudited) (continued)

LARGE-CAP VALUE FUND

Cumulative Fund Performance

† Initial investment has been adjusted for the maximum sales charge of 4.75%.

AVERAGE ANNUAL TOTAL RETURNS FOR THE PERIOD ENDED 03/31/09

	A-Class												C-Class
	(09/01/04)												(02/20/04)
	ONE			ONE			SINCE			SINCE			ONE			ONE			FIVE			SINCE
	YEAR			YEAR*			INCEPTION			INCEPTION*			YEAR			YEAR**			YEAR			INCEPTION
LARGE-CAP VALUE FUND		-57.28	%		-59.31	%		-14.96	%		-15.86	%		-57.55	%		-57.97	%		-14.54	%		-14.35	%
S&P 500/CITIGROUP
PURE VALUE INDEX		-55.79	%		-55.79	%		-11.26	%		-11.26	%		-55.79	%		-55.79	%		-9.91	%		-9.43	%
	H-Class
	(02/20/04)
	ONE			FIVE			SINCE
	YEAR			YEAR			INCEPTION
LARGE-CAP VALUE FUND		-57.23	%		-13.90	%		-13.71	%
S&P 500/CITIGROUP
PURE VALUE INDEX		-55.79	%		-9.91	%		-9.43	%

*	Fund returns are calculated using the maximum sales charge of 4.75%.
**	Fund returns include a CDSC of 1% if redeemed within 12 months of purchase.

The returns presented above do not reflect the effects of taxes. Past performance is no guarantee of future results. The S&P 500/Citigroup Pure Value Index is an unmanaged stock index and, unlike the Fund, has no management fees or other operating expenses to reduce its reported return. Returns are historical and include changes in principal and reinvested dividends and capital gains. The graphs are based on A-Class shares and H-Class shares only; performance for C-Class shares will vary due to differences in fee structures.

THE RYDEX SERIES FUNDS ANNUAL REPORT    |    47

PERFORMANCE REPORTS AND FUND PROFILES (Unaudited) (continued)

SMALL-CAP GROWTH FUND

OBJECTIVE: To provide investment results that match the performance of a benchmark for small-cap growth securities. The Fund’s current benchmark is the S&P SmallCap 600/Citigroup Pure Growth Index.

Inception: February 20, 2004

Small-Cap Growth Fund H-Class returned -38.29% for the year ended March 31, 2009 vs. the S&P SmallCap 600/Citigroup Pure Growth Index, which was down 36.96% for the same period. Small-cap growth stocks outperformed small-cap value stocks as investors placed a premium on growth in a weakening economic environment. Investors were looking for companies that could grow sales and earnings in these recessionary times and tended to favor growth stocks over value stocks. Small-cap growth outperformed small-cap value due to its lower weighting in consumer discretionary and financial stocks. Small-cap growth stocks performed similar to large-cap growth stocks (-36.43%). However, mid-cap growth performed slightly better, down only 30.54%. The index’s best-performing holdings included LHC Group, Inc., Greenhill & Company, Inc., Kulicke & Soffa Industries, Inc., Quality Systems, Inc. and PetMed Express, Inc. The industries worst-performing holdings included Petroleum Development Corp., Basic Energy Services, Inc., Heartland Payment Systems, Inc., St. Mary Land & Exploration Co. and Penn Virginia Corp.

Holdings Diversification (Market Exposure as % of Net Assets)

“Holdings Diversification (Market Exposure as % of Net Assets)” excludes any temporary cash investments.

Inception Dates:
A-Class	September 1, 2004
C-Class	February 20, 2004
H-Class	February 20, 2004

Ten Largest Holdings
(% of Total Net Assets)
Wright Express Corp.	1.5	%
TradeStation Group, Inc.	1.4	%
Stamps.com, Inc.	1.4	%
Mannatech, Inc.	1.4	%
NutriSystem, Inc.	1.4	%
Intevac, Inc.	1.3	%
True Religion Apparel, Inc.	1.3	%
Greenhill & Company, Inc.	1.3	%
Kulicke & Soffa Industries, Inc.	1.3	%
Pericom Semiconductor Corp.	1.2	%
Top Ten Total	13.5	%

“Ten Largest Holdings” exclude any temporary cash or derivative investments.

48    |    THE RYDEX SERIES FUNDS ANNUAL REPORT

PERFORMANCE REPORTS AND FUND PROFILES (Unaudited) (continued)

SMALL-CAP GROWTH FUND

Cumulative Fund Performance

† Initial investment has been adjusted for the maximum sales charge of 4.75%.

AVERAGE ANNUAL TOTAL RETURNS FOR THE PERIOD ENDED 03/31/09

	A-Class												C-Class
	(09/01/04)												(02/20/04)
	ONE			ONE			SINCE			SINCE			ONE			ONE			FIVE			SINCE
	YEAR			YEAR*			INCEPTION			INCEPTION*			YEAR			YEAR**			YEAR			INCEPTION
SMALL-CAP GROWTH FUND		-38.28	%		-41.21	%		-6.12	%		-7.12	%		-38.76	%		-39.37	%		-6.96	%		-6.58	%
S&P SMALLCAP 600/CITIGROUP
PURE GROWTH INDEX		-36.96	%		-36.96	%		-4.09	%		-4.09	%		-36.96	%		-36.96	%		-4.11	%		-3.22	%
	H-Class
	(02/20/04)
	ONE			FIVE			SINCE
	YEAR			YEAR			INCEPTION
SMALL-CAP GROWTH FUND		-38.29	%		-6.30	%		-5.92	%
S&P SMALLCAP 600/CITIGROUP
PURE GROWTH INDEX		-36.96	%		-4.11	%		-3.22	%

*	Fund returns are calculated using the maximum sales charge of 4.75%.
**	Fund returns include a CDSC of 1% if redeemed within 12 months of purchase.

The returns presented above do not reflect the effects of taxes. Past performance is no guarantee of future results. The S&P SmallCap 600/Citigroup Pure Growth Index is an unmanaged stock index and, unlike the Fund, has no management fees or other operating expenses to reduce its reported return. Returns are historical and include changes in principal and reinvested dividends and capital gains. The graphs are based on A-Class shares and H-Class shares only; performance for C-Class shares will vary due to differences in fee structures.

THE RYDEX SERIES FUNDS ANNUAL REPORT    |    49

PERFORMANCE REPORTS AND FUND PROFILES (Unaudited) (continued)

MID-CAP GROWTH FUND

OBJECTIVE: To provide investment results that match the performance of a benchmark for mid-cap growth securities. The Fund’s current benchmark is the S&P MidCap 400/Citigroup Pure Growth Index.

Inception: February 20, 2004

Mid-Cap Growth Fund H-Class returned -31.75% for the 12-month period ended March 31, 2009 vs. the S&P MidCap 400/Citigroup Pure Growth Index, which was down 30.54% for the same period. Mid-cap growth stocks outperformed mid-cap value stocks as investors placed a premium on growth stocks in a weakened economic environment. Investors were looking for companies that could grow sales and earnings in these recessionary times. Mid-cap growth stocks outperformed mid-cap value stocks due to the higher weighting in health care and energy stocks. Mid-cap growth stocks performed better than large-cap growth and small-cap growth stocks with those indices down 36.43% and 36.96%, respectively, for the year. The index’s best-performing holdings included ITT Educational Services, Inc., Philadelphia Consolidated Holding Corp., Dollar Tree, Inc., Career Education Corp. and Netflix, Inc. The industry’s worst-performing holdings included Cliffs Natural Resources, Inc., Encore Acquisition Co., Helix Energy Solutions Group, Inc., Steel Dynamics, Inc. and United Therapeutics Corp.

Holdings Diversification (Market Exposure as % of Net Assets)

“Holdings Diversification (Market Exposure as % of Net Assets)” excludes any temporary cash investments.

Inception Dates:
A-Class	September 1, 2004
C-Class	February 20, 2004
H-Class	February 20, 2004

Ten Largest Holdings
(% of Total Net Assets)
Sepracor, Inc.	2.5	%
Aeropostale, Inc.	2.2	%
Hansen Natural Corp.	2.0	%
United Therapeutics Corp.	1.9	%
J. Crew Group, Inc.	1.9	%
Sotheby’s	1.9	%
Western Digital Corp.	1.8	%
Lam Research Corp.	1.6	%
ITT Educational Services, Inc.	1.5	%
Frontier Oil Corp.	1.5	%
Top Ten Total	18.8	%

“Ten Largest Holdings” exclude any temporary cash or derivative investments.

50    |    THE RYDEX SERIES FUNDS ANNUAL REPORT

PERFORMANCE REPORTS AND FUND PROFILES (Unaudited) (continued)

MID-CAP GROWTH FUND

Cumulative Fund Performance

† Initial investment has been adjusted for the maximum sales charge of 4.75%.

AVERAGE ANNUAL TOTAL RETURNS FOR THE PERIOD ENDED 03/31/09

	A-Class												C-Class
	(09/01/04)												(02/20/04)
	ONE			ONE			SINCE			SINCE			ONE			ONE			FIVE			SINCE
	YEAR			YEAR*			INCEPTION			INCEPTION*			YEAR			YEAR**			YEAR			INCEPTION
MID-CAP GROWTH FUND		-31.74	%		-34.98	%		-2.99	%		-4.01	%		-32.22	%		-32.90	%		-4.42	%		-4.21	%
S&P MIDCAP 400/CITIGROUP
PURE GROWTH INDEX		-30.54	%		-30.54	%		-1.12	%		-1.12	%		-30.54	%		-30.54	%		-2.18	%		-1.41	%
	H-Class
	(02/20/04)
	ONE			FIVE			SINCE
	YEAR			YEAR			INCEPTION
MID-CAP GROWTH FUND		-31.75	%		-3.72	%		-3.51	%
S&P MIDCAP 400/CITIGROUP
PURE GROWTH INDEX		-30.54	%		-2.18	%		-1.41	%

*	Fund returns are calculated using the maximum sales charge of 4.75%.
**	Fund returns include a CDSC of 1% if redeemed within 12 months of purchase.

The returns presented above do not reflect the effects of taxes. Past performance is no guarantee of future results. The S&P MidCap 400/Citigroup Pure Growth Index is an unmanaged stock index and, unlike the Fund, has no management fees or other operating expenses to reduce its reported return. Returns are historical and include changes in principal and reinvested dividends and capital gains. The graphs are based on A-Class shares and H-Class shares only; performance for C-Class shares will vary due to differences in fee structures.

THE RYDEX SERIES FUNDS ANNUAL REPORT    |    51

PERFORMANCE REPORTS AND FUND PROFILES (Unaudited) (continued)

LARGE-CAP GROWTH FUND

OBJECTIVE: To provide investment results that match the performance of a benchmark for large-cap growth securities. The Fund’s current benchmark is the S&P 500/Citigroup Pure Growth Index.

Inception: February 20, 2004

Large-Cap Growth Fund H-Class returned -37.01% for the year ended March 31, 2009 vs. the S&P 500/Citigroup Pure Growth Index, which was down 36.43% for the year. Investors were looking for companies that could grow sales and earnings in an economic slowdown and tended to favor growth stocks over value stocks. Large-cap growth outperformed large-cap value due to its higher weighting in technology, health care and energy stocks. Large-cap growth stocks performed in line with small-cap growth stocks (-36.96%), but slightly worse than mid-cap growth stocks (-30.54%). The index’s best-performing holdings included Apollo Group, Inc., AutoZone, Inc., Goldman Sachs Group, Inc., Freeport-McMorRan Copper & Gold, Inc. and Anheuser-Busch Companies, Inc. The worst performers in the fund included Intuitive Surgical, Inc., United States Steel Corp., CB Richard Ellis Group, Inc., SLM Corp. and Titanium Metals Corp.

Holdings Diversification (Market Exposure as % of Net Assets)

“Holdings Diversification (Market Exposure as % of Net Assets)” excludes any temporary cash investments.

Inception Dates:
A-Class	September 1, 2004
C-Class	February 20, 2004
H-Class	February 20, 2004

Ten Largest Holdings
(% of Total Net Assets)
Freeport-McMoRan Copper
& Gold, Inc.	2.0	%
Sears Holdings Corp.	1.7	%
Akamai Technologies, Inc.	1.5	%
MasterCard, Inc.	1.4	%
BMC Software, Inc.	1.4	%
Cognizant Technology Solutions
Corp. — Class A	1.3	%
Google, Inc. — Class A	1.3	%
Agilent Technologies, Inc.	1.3	%
IntercontinentalExchange, Inc.	1.3	%
Amazon.com, Inc.	1.3	%
Top Ten Total	14.5	%

“Ten Largest Holdings” exclude any temporary cash or derivative investments.

52    |    THE RYDEX SERIES FUNDS ANNUAL REPORT

PERFORMANCE REPORTS AND FUND PROFILES (Unaudited) (continued)

LARGE-CAP GROWTH FUND

Cumulative Fund Performance

† Initial investment has been adjusted for the maximum sales charge of 4.75%.

AVERAGE ANNUAL TOTAL RETURNS FOR THE PERIOD ENDED 03/31/09

	A-Class												C-Class
	(09/01/04)												(02/20/04)
	ONE			ONE			SINCE			SINCE			ONE			ONE			FIVE			SINCE
	YEAR			YEAR*			INCEPTION			INCEPTION*			YEAR			YEAR**			YEAR			INCEPTION
LARGE-CAP GROWTH FUND		-37.00	%		-39.99	%		-7.93	%		-8.90	%		-37.45	%		-38.08	%		-8.55	%		-8.97	%
S&P 500/CITIGROUP
PURE GROWTH INDEX		-36.43	%		-36.43	%		-4.31	%		-4.31	%		-36.43	%		-36.43	%		-4.80	%		-4.65	%
	H-Class
	(02/20/04)
	ONE			FIVE			SINCE
	YEAR			YEAR			INCEPTION
LARGE-CAP GROWTH FUND		-37.01	%		-7.87	%		-8.31	%
S&P 500/CITIGROUP
PURE GROWTH INDEX		-36.43	%		-4.80	%		-4.65	%

*	Fund returns are calculated using the maximum sales charge of 4.75%.
**	Fund returns include a CDSC of 1% if redeemed within 12 months of purchase.

The returns presented above do not reflect the effects of taxes. Past performance is no guarantee of future results. The S&P 500/Citigroup Pure Growth Index is an unmanaged stock index and, unlike the Fund, has no management fees or other operating expenses to reduce its reported return. Returns are historical and include changes in principal and reinvested dividends and capital gains. The graphs are based on A-Class shares and H-Class shares only; performance for C-Class shares will vary due to differences in fee structures.

THE RYDEX SERIES FUNDS ANNUAL REPORT    |    53

PERFORMANCE REPORTS AND FUND PROFILES (Unaudited) (continued)

U.S. GOVERNMENT MONEY MARKET FUND

OBJECTIVE: To provide security of principal, high current income, and liquidity.

Inception: December 1, 1993

Money market rates remained stable during the first half of 2008, as the Federal Reserve evaluated the economy’s risk of inflation versus slow economic growth. On September 16, following the collapse of Lehman Brothers Holdings, Inc., the Reserve Funds, the originators of the first money market fund, announced that the net asset value of its Primary Fund had fallen below $1.00. The news that a money market mutual fund “broke the buck” shocked the investment community. Leaders of the money market mutual fund industry came together to enhance the already stringent rules and regulations and announced the Temporary Guarantee Program for Money Market Funds to fortify investor confidence in money market fund safety. As the subprime mortgage crisis continued and the economy grew weaker, the government stepped in to support banks, government agencies, an insurance company, victims of home foreclosures and money market funds. In October, the Federal Reserve responded by lowering the Federal Funds Rate. And by December 16, the Federal target rate had fallen to an all-time low of a 0% to 0.25% range. All money market securities were seriously impacted as yields declined precipitously throughout the remainder of the year. For the year ended March 31, 2009, U.S. Government Money Market Fund Investor Class returned 1.06%.

Holdings Diversification (Market Exposure as % of Net Assets)

FADN — Federal Agency Discount Notes.

Inception Dates:
Investor Class	December 1, 1993
Advisor Class	April 1, 1998
A-Class	March 31, 2004
C-Class	October 19, 2000

The Fund invests principally in money market instruments issued or guaranteed as to principal and interest by the U.S. Government, its agencies or instrumentalities.

54    |    THE RYDEX SERIES FUNDS ANNUAL REPORT

PERFORMANCE REPORTS AND FUND PROFILES (Unaudited) (concluded)

U.S. GOVERNMENT MONEY MARKET FUND

AVERAGE ANNUAL TOTAL RETURNS FOR THE PERIOD ENDED 03/31/09

	Investor Class									Advisor Class
	(12/01/93)									(04/01/98)
	ONE			FIVE			TEN			ONE			FIVE			TEN
	YEAR			YEAR			YEAR			YEAR			YEAR			YEAR
U.S. GOVERNMENT MONEY
MARKET FUND		1.06	%		2.54	%		2.55	%		0.65	%		2.07	%		2.13	%

	A-Class						C-Class
	(03/31/04)						(10/19/00)
	ONE			FIVE			ONE			ONE			FIVE			SINCE
	YEAR			YEAR			YEAR			YEAR*			YEAR			INCEPTION
U.S. GOVERNMENT MONEY
MARKET FUND		0.85	%		2.29	%		0.26	%		-0.74	%		1.64	%		1.37	%

* Fund returns include a CDSC of 1% if redeemed within 12 months of purchase.

THE RYDEX SERIES FUNDS ANNUAL REPORT    |    55

SCHEDULE OF INVESTMENTS

March 31, 2009

     NOVA FUND

			MARKET
	SHARES		VALUE
COMMON STOCKS 76.9%
INFORMATION TECHNOLOGY 13.8%
Microsoft Corp.		47,840	$	878,821
International Business Machines Corp.		8,402		814,070
Cisco Systems, Inc.*		36,520		612,440
Apple, Inc.*		5,567		585,203
Intel Corp.		34,794		523,650
Google, Inc. — Class A*		1,498		521,394
Hewlett-Packard Co.		15,000		480,900
Oracle Corp.*		24,000		433,680
Qualcomm, Inc.		10,320		401,551
EMC Corp*		12,590		143,526
Texas Instruments, Inc.		7,990		131,915
Corning, Inc.		9,734		129,170
Yahoo!, Inc.*		8,714		111,626
Automatic Data Processing, Inc.		3,160		111,106
Dell, Inc.*		10,830		102,668
Applied Materials, Inc.		8,320		89,440
eBay, Inc.*		6,736		84,604
Symantec Corp.*		5,140		76,792
MasterCard, Inc.		450		75,366
Adobe Systems, Inc.*		3,280		70,159
Motorola, Inc.		14,248		60,269
Western Union Co.		4,440		55,811
Intuit, Inc.*		2,012		54,324
Broadcom Corp. — Class A*		2,660		53,147
Paychex, Inc.		2,012		51,648
Juniper Networks, Inc.*		3,270		49,246
CA, Inc.		2,465		43,409
BMC Software, Inc.*		1,160		38,280
Cognizant Technology Solutions Corp. — Class A*		1,832		38,087
Electronic Arts, Inc.*		2,012		36,598
Fiserv, Inc.*		980		35,731
Analog Devices, Inc.		1,820		35,071
Computer Sciences Corp.*		947		34,887
Sun Microsystems, Inc.*		4,662		34,126
Agilent Technologies, Inc.*		2,196		33,753
NVIDIA Corp.*		3,362		33,149
Xilinx, Inc.		1,722		32,994
Altera Corp.		1,840		32,292
McAfee, Inc.*		956		32,026
Linear Technology Corp.		1,388		31,896
Tyco Electronics Ltd.		2,870		31,685
NetApp, Inc.*		2,074		30,778
Amphenol Corp.		1,070		30,484
Affiliated Computer Services, Inc. — Class A*		610		29,213
Citrix Systems, Inc.*		1,130		25,583
Xerox Corp.		5,410		24,615
Harris Corp.		840		24,310
Microchip Technology, Inc.		1,140		24,157
Autodesk, Inc.*		1,423		23,921

			MARKET
	SHARES		VALUE
MEMC Electronic Materials, Inc.*		1,400	$	23,086
VeriSign, Inc.*		1,200		22,644
Fidelity National Information Services, Inc.		1,190		21,658
Salesforce.com, Inc.*		655		21,438
KLA-Tencor Corp.		1,062		21,240
Akamai Technologies, Inc.*		1,070		20,758
Micron Technology, Inc.*		4,778		19,399
Flir Systems, Inc.*		940		19,251
SanDisk Corp.*		1,419		17,950
Teradata Corp.*		1,080		17,518
Total System Services, Inc.		1,230		16,986
National Semiconductor Corp.		1,220		12,529
LSI Logic Corp.*		4,062		12,348
Molex, Inc.		870		11,954
Tellabs, Inc.*		2,477		11,345
Advanced Micro Devices, Inc.*		3,500		10,675
Compuware Corp.*		1,540		10,149
Novellus Systems, Inc.*		610		10,144
Novell, Inc.*		2,150		9,159
QLogic Corp.*		760		8,451
Lexmark International, Inc.*		490		8,266
Jabil Circuit, Inc.		1,335		7,423
Convergys Corp.*		760		6,141
Teradyne, Inc.*		1,080		4,730
Ciena Corp.*		570		4,435
JDS Uniphase Corp.*		1,350		4,388
Total Information Technology				7,793,636
HEALTH CARE 11.8%
Johnson & Johnson		17,310		910,506
Pfizer, Inc.		42,201		574,778
Abbott Laboratories		9,670		461,259
Wyeth		8,328		358,437
Merck & Company, Inc.		13,190		352,832
Amgen, Inc.*		6,470		320,394
Bristol-Myers Squibb Co.		12,385		271,479
Gilead Sciences, Inc.*		5,700		264,024
Schering-Plough Corp.		10,181		239,763
Eli Lilly & Co.		6,332		211,552
Medtronic, Inc.		7,000		206,290
Baxter International, Inc.		3,840		196,685
UnitedHealth Group, Inc.		7,606		159,194
Celgene Corp.*		2,882		127,961
Medco Health Solutions, Inc.*		3,070		126,914
WellPoint, Inc.*		3,120		118,466
Covidien Ltd.		3,149		104,673
Genzyme Corp.*		1,703		101,141
Becton, Dickinson & Co.		1,500		100,860
Biogen Idec, Inc.*		1,859		97,449
Thermo Fisher Scientific, Inc.*		2,620		93,455
Allergan, Inc.		1,918		91,604
St. Jude Medical, Inc.*		2,170		78,836
Boston Scientific Corp.*		9,398		74,714

56    |    THE RYDEX SERIES FUNDS ANNUAL REPORT See Notes to Financial Statements.

1

SCHEDULE OF INVESTMENTS (continued)

March 31, 2009

     NOVA FUND

			MARKET
	SHARES		VALUE
Express Scripts, Inc.*		1,554	$	71,748
Cardinal Health, Inc.		2,260		71,145
Aetna, Inc.		2,840		69,097
McKesson Corp.		1,710		59,918
Zimmer Holdings, Inc.*		1,390		50,735
Stryker Corp.		1,490		50,720
C.R. Bard, Inc.		620		49,426
Quest Diagnostics, Inc.		970		46,056
Forest Laboratories, Inc.*		1,892		41,548
Laboratory Corporation of America Holdings*		680		39,773
Life Technologies Corp.*		1,090		35,403
AmerisourceBergen Corp.		950		31,027
Hospira, Inc.*		1,000		30,860
CIGNA Corp.		1,700		29,903
Cephalon, Inc.*		430		29,283
DaVita, Inc.*		648		28,480
Humana, Inc.*		1,058		27,593
Mylan Laboratories, Inc.*		1,914		25,667
DENTSPLY International, Inc.		930		24,971
Varian Medical Systems, Inc.*		780		23,743
Intuitive Surgical, Inc.*		245		23,363
Waters Corp.*		610		22,540
Millipore Corp.*		354		20,323
Watson Pharmaceuticals, Inc.*		650		20,222
IMS Health, Inc.		1,135		14,153
Coventry Health Care, Inc.*		927		11,995
King Pharmaceuticals, Inc.*		1,540		10,888
Patterson Companies, Inc.*		570		10,750
PerkinElmer, Inc.		730		9,322
Tenet Healthcare Corp.*		2,603		3,019
Total Health Care				6,626,937
ENERGY 10.0%
Exxon Mobil Corp.		30,920		2,105,652
Chevron Corp.		12,540		843,189
ConocoPhillips		9,260		362,622
Schlumberger Ltd.		7,484		304,000
Occidental Petroleum Corp.		5,070		282,145
Apache Corp.		2,090		133,948
Devon Energy Corp.		2,782		124,327
Marathon Oil Corp.		4,425		116,333
Anadarko Petroleum Corp.		2,876		111,848
XTO Energy, Inc.		3,632		111,212
Hess Corp.		1,783		96,639
Halliburton Co.		5,612		86,818
EOG Resources, Inc.		1,560		85,426
National-Oilwell Varco, Inc.*		2,614		75,048
Southwestern Energy Co.*		2,145		63,685
Chesapeake Energy Corp.		3,519		60,034
Noble Energy, Inc.		1,080		58,190
Valero Energy Corp.		3,234		57,889
Spectra Energy Corp.		4,022		56,871
Baker Hughes, Inc.		1,930		55,101
Murphy Oil Corp.		1,190		53,276

			MARKET
	SHARES		VALUE
Peabody Energy Corp.		1,670	$	41,817
Williams Companies, Inc.		3,615		41,139
Range Resources Corp.		975		40,131
Cameron International Corp.*		1,360		29,825
Smith International, Inc.		1,369		29,406
Consol Energy, Inc.		1,130		28,521
El Paso Corp.		4,367		27,294
Diamond Offshore Drilling, Inc.		430		27,030
ENSCO International, Inc.		888		23,443
Sunoco, Inc.		730		19,330
BJ Services Co.		1,820		18,109
Nabors Industries Ltd.*		1,770		17,682
Cabot Oil & Gas Corp.		652		15,368
Pioneer Natural Resources Co.		720		11,858
Tesoro Corp.		874		11,773
Rowan Companies, Inc.		710		8,499
Massey Energy Co.		530		5,364
Total Energy				5,640,842
CONSUMER STAPLES 9.8%
Procter & Gamble Co.		18,340		863,631
Wal-Mart Stores, Inc.		13,992		728,983
Coca-Cola Co.		12,457		547,485
PepsiCo, Inc.		9,740		501,415
Philip Morris International, Inc.		12,540		446,173
CVS Caremark Corp.		9,105		250,296
Altria Group, Inc.		12,925		207,059
Kraft Foods, Inc.		9,187		204,778
Colgate-Palmolive Co.		3,140		185,197
Walgreen Co.		6,170		160,173
Costco Wholesale Corp.		2,706		125,342
Kimberly-Clark Corp.		2,592		119,517
Archer-Daniels-Midland Co.		4,024		111,787
General Mills, Inc.		2,050		102,254
Kroger Co.		4,080		86,578
Sysco Corp.		3,690		84,132
H.J. Heinz Co.		1,970		65,128
Lorillard, Inc.		1,049		64,765
Kellogg Co.		1,579		57,839
Safeway, Inc.		2,676		54,028
Avon Products, Inc.		2,671		51,363
ConAgra Foods, Inc.		2,804		47,304
Clorox Co.		870		44,788
Reynolds American, Inc.		1,063		38,098
Hershey Co.		1,041		36,175
Sara Lee Corp.		4,350		35,148
Campbell Soup Co.		1,280		35,021
Molson Coors Brewing Co. — Class B		935		32,052
J.M. Smucker Co.		740		27,580
Dr Pepper Snapple Group, Inc.*		1,589		26,870
Coca-Cola Enterprises, Inc.		1,980		26,116
McCormick & Company, Inc.		810		23,952
Brown-Forman Corp. — Class B		607		23,570
SUPERVALU, INC.		1,329		18,978

See Notes to Financial Statements. THE RYDEX SERIES FUNDS ANNUAL REPORT    |    57

2

SCHEDULE OF INVESTMENTS (continued)

March 31, 2009

     NOVA FUND

			MARKET
	SHARES		VALUE
Pepsi Bottling Group, Inc.		850	$	18,819
Estee Lauder Companies, Inc. — Class A		725		17,871
Tyson Foods, Inc. — Class A		1,890		17,747
Dean Foods Co.*		969		17,520
Whole Foods Market, Inc.		880		14,784
Constellation Brands, Inc. — Class A*		1,220		14,518
Hormel Foods Corp.		440		13,952
Total Consumer Staples				5,548,786
FINANCIALS 8.3%
JPMorgan Chase & Co.		23,511		624,922
Wells Fargo & Co.		26,514		377,559
Goldman Sachs Group, Inc.		2,886		305,974
Bank of America Corp.		40,060		273,209
Bank of New York Mellon Corp.		7,190		203,117
U.S. Bancorp		10,984		160,476
Morgan Stanley		6,720		153,014
Travelers Companies, Inc.		3,660		148,742
MetLife, Inc.		5,119		116,560
CME Group, Inc.		420		103,484
American Express Co.		7,330		99,908
Chubb Corp.		2,200		93,104
Charles Schwab Corp.		5,873		91,031
Citigroup, Inc.		34,265		86,690
Northern Trust Corp.		1,397		83,569
State Street Corp.		2,699		83,075
PNC Financial Services Group, Inc.		2,684		78,614
Aon Corp.		1,710		69,802
Marsh & McLennan Companies, Inc.		3,215		65,104
Allstate Corp.		3,349		64,133
BB&T Corp.		3,499		59,203
Progressive Corp.*		4,231		56,865
AFLAC, Inc.		2,934		56,802
Simon Property Group, Inc.		1,573		54,489
Franklin Resources, Inc.		946		50,961
Prudential Financial, Inc.		2,650		50,403
Loews Corp.		2,256		49,858
T. Rowe Price Group, Inc.		1,600		46,176
Public Storage		778		42,984
People’s United Financial, Inc.		2,180		39,175
Hudson City Bancorp, Inc.		3,268		38,203
IntercontinentalExchange, Inc.*		450		33,512
Invesco Ltd.		2,370		32,848
Equity Residential		1,706		31,305
Capital One Financial Corp.		2,453		30,025
Plum Creek Timber Company, Inc. (REIT)		1,030		29,942
Vornado Realty Trust		880		29,251
NYSE Euronext		1,620		28,998
HCP, Inc.		1,590		28,382
Ameriprise Financial, Inc.		1,371		28,092
Moody’s Corp.		1,190		27,275
Boston Properties, Inc.		755		26,448

			MARKET
	SHARES		VALUE
SunTrust Banks, Inc.		2,228	$	26,157
Unum Group		2,070		25,875
KeyCorp		3,102		24,413
AvalonBay Communities, Inc.		497		23,389
Cincinnati Financial Corp.		1,022		23,373
M&T Bank Corp.		490		22,168
Health Care REIT, Inc.		692		21,168
Ventas, Inc.		900		20,349
Discover Financial Services		3,006		18,968
Regions Financial Corp.		4,349		18,527
Comerica, Inc.		950		17,395
Leucadia National Corp.*		1,134		16,885
Nasdaq Stock Market, Inc.*		860		16,839
American International Group, Inc.		16,838		16,838
Assurant, Inc.		740		16,117
Hartford Financial Services Group, Inc.		2,040		16,014
SLM Corp.*		2,920		14,454
First Horizon National Corp.		1,321		14,188
Legg Mason, Inc.		886		14,087
Torchmark Corp.		530		13,902
Principal Financial Group, Inc.		1,616		13,219
Host Hotels & Resorts, Inc.		3,291		12,901
Federated Investors, Inc. — Class B		560		12,466
XL Capital Ltd.		2,137		11,668
KIMCO Realty Corp.		1,460		11,125
ProLogis		1,670		10,855
Lincoln National Corp.		1,600		10,704
Fifth Third Bancorp		3,613		10,550
Marshall & Ilsley Corp.		1,654		9,312
Zions Bancorporation		720		7,078
CIT Group, Inc.		2,427		6,917
Janus Capital Group, Inc.		986		6,557
CB Richard Ellis Group, Inc. — Class A*		1,410		5,682
Genworth Financial, Inc. — Class A		2,712		5,153
MBIA, Inc.*		1,070		4,901
E*Trade Financial Corp.*		3,576		4,577
Apartment Investment & Management Co. — Class A		726		3,978
Huntington Bancshares, Inc.		2,290		3,801
Total Financials				4,685,834
INDUSTRIALS 7.5%
General Electric Co.		66,061		667,877
United Parcel Service, Inc. —
Class B		6,234		306,837
United Technologies Corp.		5,900		253,582
3M Co.		4,342		215,884
Boeing Co.		4,540		161,533
Lockheed Martin Corp.		2,080		143,582
Emerson Electric Co.		4,720		134,898
Union Pacific Corp.		3,150		129,496
Honeywell International, Inc.		4,600		128,156

58    |    THE RYDEX SERIES FUNDS ANNUAL REPORT See Notes to Financial Statements.

3

SCHEDULE OF INVESTMENTS (continued)

March 31, 2009

     NOVA FUND

			MARKET
	SHARES		VALUE
Caterpillar, Inc.		3,760	$	105,130
Burlington Northern Santa Fe Corp.		1,740		104,661
General Dynamics Corp.		2,420		100,648
Raytheon Co.		2,500		97,350
Northrop Grumman Corp.		2,052		89,549
Deere & Co.		2,640		86,777
FedEx Corp.		1,950		86,755
Danaher Corp.		1,600		86,752
Waste Management, Inc.		3,076		78,746
Norfolk Southern Corp.		2,290		77,287
Illinois Tool Works, Inc.		2,410		74,348
CSX Corp.		2,500		64,625
Paccar, Inc.		2,268		58,424
Precision Castparts Corp.		880		52,712
L-3 Communications Holdings, Inc.		740		50,172
CH Robinson Worldwide, Inc.		1,070		48,803
ITT Corporation		1,139		43,817
Fluor Corp.		1,140		39,387
Eaton Corp.		1,030		37,966
Expeditors International of Washington, Inc.		1,332		37,682
Republic Services, Inc.		2,014		34,540
Parker Hannifin Corp.		1,010		34,320
Rockwell Collins, Inc.		990		32,314
Cummins, Inc.		1,260		32,067
Dover Corp.		1,160		30,601
Pitney Bowes, Inc.		1,290		30,122
Jacobs Engineering Group, Inc.*		770		29,768
Southwest Airlines Co.		4,633		29,327
Goodrich Corp.		770		29,175
W.W. Grainger, Inc.		400		28,072
Ingersoll-Rand Co. — Class A		2,002		27,628
Cooper Industries Ltd. — Class A		1,050		27,153
Fastenal Co.		808		25,981
Dun & Bradstreet Corp.		330		25,410
Stericycle, Inc.*		530		25,297
Iron Mountain, Inc.*		1,120		24,830
Cintas Corp.		820		20,270
Flowserve Corp.		350		19,642
Rockwell Automation, Inc.		890		19,438
Equifax, Inc.		790		19,316
Robert Half International, Inc.		950		16,939
Avery Dennison Corp.		712		15,906
Masco Corp.		2,250		15,705
Pall Corp.		740		15,118
Ryder System, Inc.		350		9,909
RR Donnelley & Sons Co.		1,280		9,382
Textron, Inc.		1,516		8,702
Monster Worldwide, Inc.*		800		6,520
Manitowoc Company, Inc.		821		2,685
Total Industrials				4,209,573

			MARKET
	SHARES		VALUE
CONSUMER DISCRETIONARY 6.7%
McDonald’s Corp.		6,970	$	380,353
Home Depot, Inc.		10,612		250,019
Comcast Corp. — Class A		18,030		245,929
Walt Disney Co.		11,620		211,019
Lowe’s Companies, Inc.		9,174		167,425
Target Corp.		4,713		162,080
Amazon.com, Inc.*		2,010		147,614
Time Warner, Inc.		7,481		144,390
Nike, Inc. — Class B		2,420		113,474
News Corp. — Class A		14,385		95,229
Kohl’s Corp.*		1,912		80,916
Staples, Inc.		4,456		80,698
Best Buy Company, Inc.		2,123		80,589
Yum! Brands, Inc.		2,880		79,142
DIRECTV Group, Inc.*		3,310		75,435
TJX Companies, Inc.		2,610		66,920
Viacom, Inc. — Class B*		3,790		65,870
Carnival Corp.		2,739		59,162
Apollo Group, Inc. — Class A*		668		52,324
Starbucks Corp.*		4,598		51,084
Time Warner Cable, Inc.		1,878		46,572
Omnicom Group, Inc.		1,950		45,630
McGraw-Hill Companies, Inc.		1,970		45,054
Johnson Controls, Inc.		3,718		44,616
Bed Bath & Beyond, Inc.*		1,626		40,243
Ford Motor Co.*		14,991		39,426
AutoZone, Inc.*		240		39,029
H&R Block, Inc.		2,129		38,727
The Gap, Inc.		2,916		37,879
Coach, Inc.*		2,010		33,567
Sherwin-Williams Co.		622		32,325
VF Corp.		550		31,410
Marriott International, Inc. — Class A		1,842		30,135
Genuine Parts Co.		1,003		29,950
Darden Restaurants, Inc.		860		29,464
Family Dollar Stores, Inc.		882		29,432
O’Reilly Automotive, Inc.*		840		29,408
GameStop Corp. — Class A*		1,020		28,580
J.C. Penney Company, Inc.		1,387		27,837
Mattel, Inc.		2,240		25,827
Macy’s, Inc.		2,627		23,380
Fortune Brands, Inc.		938		23,028
Hasbro, Inc.		783		19,630
Harley-Davidson, Inc.		1,462		19,576
International Game Technology, Inc.		1,850		17,057
Nordstrom, Inc.		1,000		16,750
D.R. Horton, Inc.		1,717		16,655
Tiffany & Co.		770		16,601
CBS Corp.		4,252		16,328
Sears Holdings Corp.*		340		15,541
Polo Ralph Lauren Corp.		350		14,788
Limited Brands, Inc.		1,690		14,703

See Notes to Financial Statements. THE RYDEX SERIES FUNDS ANNUAL REPORT    |    59

4

SCHEDULE OF INVESTMENTS (continued)

March 31, 2009

     NOVA FUND

			MARKET
	SHARES		VALUE
Pulte Homes, Inc.		1,338	$	14,624
Starwood Hotels & Resorts Worldwide, Inc.		1,140		14,478
Washington Post Co. — Class B		40		14,284
Stanley Works		490		14,269
Whirlpool Corp.		460		13,611
Abercrombie & Fitch Co. — Class A		540		12,852
Leggett & Platt, Inc.		976		12,678
Scripps Networks Interactive, Inc.		560		12,606
Interpublic Group of Companies, Inc.*		2,983		12,290
Black & Decker Corp.		377		11,898
Expedia, Inc.*		1,308		11,877
Newell Rubbermaid, Inc.		1,730		11,037
Big Lots, Inc.*		509		10,577
Goodyear Tire & Rubber Co.*		1,510		9,453
AutoNation, Inc.*		675		9,369
Snap-On, Inc.		360		9,036
Wynn Resorts Ltd.*		415		8,288
General Motors Corp.		3,820		7,411
RadioShack Corp.		780		6,685
Lennar Corp. — Class A		880		6,609
Eastman Kodak Co.		1,682		6,392
KB HOME		470		6,195
Centex Corp.		777		5,828
Harman International Industries, Inc.		370		5,006
Wyndham Worldwide Corp.		1,110		4,662
Meredith Corp.		230		3,827
New York Times Co. — Class A		730		3,300
Gannett Company, Inc.		1,425		3,135
Office Depot, Inc.*		1,719		2,252
Total Consumer Discretionary				3,793,349
UTILITIES 3.3%
Exelon Corp.		4,119		186,961
Southern Co.		4,873		149,211
FPL Group, Inc.		2,555		129,615
Duke Energy Corp.		8,017		114,803
Dominion Resources, Inc.		3,649		113,083
Public Service Enterprise Group, Inc.		3,174		93,538
PG&E Corp.		2,286		87,371
Entergy Corp.		1,186		80,755
FirstEnergy Corp.		1,911		73,765
Sempra Energy		1,520		70,285
Consolidated Edison, Inc.		1,709		67,693
PPL Corp.		2,351		67,497
American Electric Power Company, Inc.		2,539		64,135
Progress Energy, Inc.		1,720		62,367
Edison International		2,040		58,772
Xcel Energy, Inc.		2,836		52,835

			MARKET
	SHARES		VALUE
Questar Corp.		1,090	$	32,079
Ameren Corp.		1,330		30,843
Wisconsin Energy Corp.		730		30,054
DTE Energy Co.		1,019		28,226
Constellation Energy Group, Inc.		1,252		25,866
EQT CORP		820		25,691
Allegheny Energy, Inc.		1,064		24,653
AES Corp.*		4,170		24,228
SCANA Corp.		760		23,476
Northeast Utilities		1,080		23,317
CenterPoint Energy, Inc.		2,170		22,633
Pepco Holdings, Inc.		1,370		17,098
NiSource, Inc.		1,724		16,895
CMS Energy Corp.		1,415		16,754
Pinnacle West Capital Corp.		630		16,733
TECO Energy, Inc.		1,328		14,807
Integrys Energy Group, Inc.		480		12,499
Nicor, Inc.		280		9,304
Dynegy Inc.*		3,172		4,473
Total Utilities				1,872,315
TELECOMMUNICATION SERVICES 3.1%
AT&T, Inc.		36,878		929,326
Verizon Communications, Inc.		17,764		536,473
American Tower Corp. — Class A*		2,479		75,436
Sprint Nextel Corp.*		17,924		63,989
Embarq Corp.		887		33,573
Qwest Communications International, Inc.		9,194		31,443
Windstream Corp.		2,755		22,205
CenturyTel, Inc.		626		17,603
Frontier Communications Corp.		1,953		14,023
Total Telecommunication Services				1,724,071
MATERIALS 2.6%
Monsanto Co.		3,434		285,365
Newmont Mining Corp.		3,060		136,966
Praxair, Inc.		1,920		129,197
E.I. du Pont de Nemours and Co.		5,651		126,187
Freeport-McMoRan Copper & Gold, Inc.		2,580		98,324
Nucor Corp.		1,970		75,195
Air Products & Chemicals, Inc.		1,310		73,687
Rohm & Haas Co.		780		61,495
Dow Chemical Co.		5,779		48,717
Alcoa, Inc.		5,920		43,453
PPG Industries, Inc.		1,033		38,118
Ecolab, Inc.		1,050		36,467
Weyerhaeuser Co.		1,320		36,392
Vulcan Materials Co.		690		30,560
Sigma-Aldrich Corp.		760		28,720
Ball Corp.		590		25,606
CF Industries Holdings, Inc.		300		21,339
International Paper Co.		2,678		18,853

60    |    THE RYDEX SERIES FUNDS ANNUAL REPORT See Notes to Financial Statements.

5

SCHEDULE OF INVESTMENTS (concluded)

March 31, 2009

     NOVA FUND

			MARKET
	SHARES		VALUE
United States Steel Corp.		730	$	15,425
Owens-Illinois, Inc.*		1,050		15,162
International Flavors & Fragrances, Inc.		489		14,895
Sealed Air Corp.		992		13,690
Allegheny Technologies, Inc.		612		13,421
Bemis Co.		620		13,001
MeadWestvaco Corp.		1,070		12,829
Eastman Chemical Co.		450		12,060
Pactiv Corp.*		819		11,949
AK Steel Holding Corp.		690		4,913
Titanium Metals Corp.		530		2,898
Total Materials				1,444,884
Total Common Stocks (Cost $48,667,296)				43,340,227
		FACE
		AMOUNT
REPURCHASE AGREEMENTS† 8.5%
Credit Suisse Group issued 03/31/09 at 0.15% due 04/01/09	$	3,459,439		3,459,439
Mizuho Financial Group, Inc. issued 03/31/09 at 0.16% due 04/01/09		1,276,098		1,276,098
Morgan Stanley issued 03/31/09 at 0.05% due 04/01/09		87,787		87,787
Total Repurchase Agreements (Cost $4,823,324)				4,823,324
Total Investments 85.4% (Cost $53,490,620)			$	48,163,551
Other Assets in Excess of Liabilities – 14.6%			$	8,219,309
Net Assets – 100.0%			$	56,382,860

			UNREALIZED
	CONTRACTS		GAIN
FUTURES CONTRACTS PURCHASED
June 2009 S&P 500 Index Mini Futures Contracts (Aggregate Market Value of Contracts $26,735,800)		676	$	2,268,376
		UNITS
EQUITY INDEX SWAP AGREEMENT
Goldman Sachs International April 2009 S&P 500 Index Swap, Terminating 04/06/09** (Notional Market Value $14,371,896)		18,013	$	54,949

*	Non-Income Producing Security.
**	Total Return based on S&P 500 Index +/- financing at a variable rate.
†	Repurchase Agreements — See Note 6.
	REIT — Real Estate Investment Trust.

See Notes to Financial Statements. THE RYDEX SERIES FUNDS ANNUAL REPORT    |    61

6

SCHEDULE OF INVESTMENTS

March 31, 2009

     S&P 500 FUND

			MARKET
	SHARES		VALUE
COMMON STOCKS 61.7%
INFORMATION TECHNOLOGY 11.1%
Microsoft Corp.		120,220	$	2,208,441
International Business Machines Corp.		21,103		2,044,670
Cisco Systems, Inc.*		91,780		1,539,151
Apple, Inc.*		13,996		1,471,259
Intel Corp.		87,448		1,316,092
Google, Inc. — Class A*		3,767		1,311,142
Hewlett-Packard Co.		37,690		1,208,341
Oracle Corp.*		60,300		1,089,621
Qualcomm, Inc.		25,930		1,008,936
EMC Corp*		31,640		360,696
Texas Instruments, Inc.		20,070		331,356
Corning, Inc.		24,458		324,558
Yahoo!, Inc.*		21,925		280,859
Automatic Data Processing, Inc.		7,940		279,170
Dell, Inc.*		27,198		257,837
Applied Materials, Inc.		20,900		224,675
eBay, Inc.*		16,951		212,904
Symantec Corp.*		12,910		192,875
MasterCard, Inc.		1,136		190,257
Adobe Systems, Inc.*		8,230		176,040
Motorola, Inc.		35,800		151,434
Western Union Co.		11,170		140,407
Intuit, Inc.*		5,052		136,404
Broadcom Corp. — Class A*		6,680		133,466
Paychex, Inc.		5,053		129,710
Juniper Networks, Inc.*		8,210		123,643
CA, Inc.		6,196		109,112
BMC Software, Inc.*		2,900		95,700
Cognizant Technology Solutions Corp. — Class A*		4,583		95,281
Electronic Arts, Inc.*		5,061		92,060
Fiserv, Inc.*		2,450		89,327
Analog Devices, Inc.		4,578		88,218
Computer Sciences Corp.*		2,382		87,753
Sun Microsystems, Inc.*		11,715		85,754
Agilent Technologies, Inc.*		5,543		85,196
NVIDIA Corp.*		8,443		83,248
Xilinx, Inc.		4,312		82,618
McAfee, Inc.*		2,422		81,137
Altera Corp.		4,610		80,905
Linear Technology Corp.		3,493		80,269
Tyco Electronics Ltd.		7,200		79,488
NetApp, Inc.*		5,196		77,109
Amphenol Corp.		2,690		76,638
Affiliated Computer Services, Inc. — Class A*		1,530		73,272
Citrix Systems, Inc.*		2,830		64,071
Xerox Corp.		13,600		61,880
Harris Corp.		2,100		60,774
Microchip Technology, Inc.		2,860		60,603
Autodesk, Inc.*		3,549		59,659

			MARKET
	SHARES		VALUE
MEMC Electronic Materials, Inc.*		3,500	$	57,715
VeriSign, Inc.*		3,020		56,987
Fidelity National Information Services, Inc.		3,002		54,636
Salesforce.com, Inc.*		1,657		54,234
KLA-Tencor Corp.		2,669		53,380
Akamai Technologies, Inc.*		2,685		52,089
Micron Technology, Inc.*		12,015		48,781
Flir Systems, Inc.*		2,368		48,497
SanDisk Corp.*		3,560		45,034
Teradata Corp.*		2,720		44,118
Total System Services, Inc.		3,101		42,825
National Semiconductor Corp.		3,056		31,385
LSI Logic Corp.*		10,189		30,975
Molex, Inc.		2,170		29,816
Tellabs, Inc.*		6,220		28,488
Advanced Micro Devices, Inc.*		8,800		26,840
Compuware Corp.*		3,878		25,556
Novellus Systems, Inc.*		1,520		25,278
Novell, Inc.*		5,410		23,047
QLogic Corp.*		1,900		21,128
Lexmark International, Inc.*		1,210		20,413
Jabil Circuit, Inc.		3,360		18,682
Convergys Corp.*		1,911		15,441
Teradyne, Inc.*		2,719		11,909
Ciena Corp.*		1,430		11,125
JDS Uniphase Corp.*		3,380		10,985
Total Information Technology				19,583,380
HEALTH CARE 9.4%
Johnson & Johnson		43,480		2,287,048
Pfizer, Inc.		106,057		1,444,496
Abbott Laboratories		24,300		1,159,110
Wyeth		20,934		900,999
Merck & Company, Inc.		33,150		886,762
Amgen, Inc.*		16,260		805,195
Bristol-Myers Squibb Co.		31,118		682,107
Gilead Sciences, Inc.*		14,330		663,766
Schering-Plough Corp.		25,571		602,197
Eli Lilly & Co.		15,902		531,286
Medtronic, Inc.		17,590		518,377
Baxter International, Inc.		9,650		494,273
UnitedHealth Group, Inc.		19,121		400,203
Celgene Corp.*		7,229		320,968
Medco Health Solutions, Inc.*		7,720		319,145
WellPoint, Inc.*		7,840		297,685
Covidien Ltd.		7,920		263,261
Becton, Dickinson & Co.		3,770		253,495
Genzyme Corp.*		4,267		253,417
Biogen Idec, Inc.*		4,666		244,592
Thermo Fisher Scientific, Inc.*		6,570		234,352
Allergan, Inc.		4,839		231,111
St. Jude Medical, Inc.*		5,436		197,490
Boston Scientific Corp.*		23,624		187,811

62    |    THE RYDEX SERIES FUNDS ANNUAL REPORT See Notes to Financial Statements.

7

SCHEDULE OF INVESTMENTS (continued)

March 31, 2009

     S&P 500 FUND

			MARKET
	SHARES		VALUE
Express Scripts, Inc.*		3,892	$	179,694
Cardinal Health, Inc.		5,668		178,429
Aetna, Inc.		7,130		173,473
McKesson Corp.		4,300		150,672
Zimmer Holdings, Inc.*		3,490		127,385
Stryker Corp.		3,740		127,310
C.R. Bard, Inc.		1,561		124,443
Quest Diagnostics, Inc.		2,430		115,376
Forest Laboratories, Inc.*		4,741		104,112
Laboratory Corporation of America Holdings*		1,700		99,433
Life Technologies Corp.*		2,728		88,605
AmerisourceBergen Corp.		2,390		78,057
Hospira, Inc.*		2,514		77,582
CIGNA Corp.		4,260		74,933
Cephalon, Inc.*		1,080		73,548
DaVita, Inc.*		1,620		71,199
Humana, Inc.*		2,655		69,242
Mylan Laboratories, Inc.*		4,788		64,207
DENTSPLY International, Inc.		2,330		62,561
Varian Medical Systems, Inc.*		1,946		59,236
Intuitive Surgical, Inc.*		620		59,123
Waters Corp.*		1,520		56,164
Watson Pharmaceuticals, Inc.*		1,640		51,020
Millipore Corp.*		874		50,176
IMS Health, Inc.		2,852		35,564
Coventry Health Care, Inc.*		2,330		30,150
King Pharmaceuticals, Inc.*		3,871		27,368
Patterson Companies, Inc.*		1,437		27,102
PerkinElmer, Inc.		1,830		23,369
Tenet Healthcare Corp.*		6,530		7,575
Total Health Care				16,646,254
ENERGY 8.0%
Exxon Mobil Corp.		77,700		5,291,370
Chevron Corp.		31,520		2,119,405
ConocoPhillips		23,270		911,253
Schlumberger Ltd.		18,808		763,981
Occidental Petroleum Corp.		12,740		708,981
Apache Corp.		5,259		337,049
Devon Energy Corp.		6,972		311,579
Marathon Oil Corp.		11,126		292,502
Anadarko Petroleum Corp.		7,233		281,291
XTO Energy, Inc.		9,112		279,009
Hess Corp.		4,460		241,732
Halliburton Co.		14,115		218,359
EOG Resources, Inc.		3,925		214,933
National-Oilwell Varco, Inc.*		6,562		188,395
Southwestern Energy Co.*		5,404		160,445
Chesapeake Energy Corp.		8,832		150,674
Noble Energy, Inc.		2,716		146,338
Valero Energy Corp.		8,120		145,348
Spectra Energy Corp.		10,123		143,139
Baker Hughes, Inc.		4,848		138,410
Murphy Oil Corp.		2,997		134,176

			MARKET
	SHARES		VALUE
Peabody Energy Corp.		4,198	$	105,118
Williams Companies, Inc.		9,097		103,524
Range Resources Corp.		2,465		101,459
Cameron International Corp.*		3,410		74,781
Smith International, Inc.		3,443		73,956
Consol Energy, Inc.		2,840		71,682
El Paso Corp.		10,980		68,625
Diamond Offshore Drilling, Inc.		1,088		68,392
ENSCO International, Inc.		2,230		58,872
Sunoco, Inc.		1,836		48,617
BJ Services Co.		4,570		45,471
Nabors Industries Ltd.*		4,440		44,356
Cabot Oil & Gas Corp.		1,622		38,231
Pioneer Natural Resources Co.		1,810		29,811
Tesoro Corp.		2,179		29,351
Rowan Companies, Inc.		1,780		21,307
Massey Energy Co.		1,344		13,601
Total Energy				14,175,523
CONSUMER STAPLES 7.9%
Procter & Gamble Co.		46,090		2,170,378
Wal-Mart Stores, Inc.		35,162		1,831,940
Coca-Cola Co.		31,287		1,375,064
PepsiCo, Inc.		24,470		1,259,716
Philip Morris International, Inc.		31,510		1,121,126
CVS Caremark Corp.		22,885		629,109
Altria Group, Inc.		32,491		520,506
Kraft Foods, Inc.		23,104		514,988
Colgate-Palmolive Co.		7,880		464,762
Walgreen Co.		15,520		402,899
Costco Wholesale Corp.		6,813		315,578
Kimberly-Clark Corp.		6,499		299,669
Archer-Daniels-Midland Co.		10,090		280,300
General Mills, Inc.		5,150		256,882
Kroger Co.		10,264		217,802
Sysco Corp.		9,260		211,128
H.J. Heinz Co.		4,953		163,746
Lorillard, Inc.		2,630		162,376
Kellogg Co.		3,957		144,945
Safeway, Inc.		6,753		136,343
Avon Products, Inc.		6,707		128,976
ConAgra Foods, Inc.		7,030		118,596
Clorox Co.		2,184		112,432
Reynolds American, Inc.		2,660		95,334
Hershey Co.		2,610		90,698
Sara Lee Corp.		10,940		88,395
Campbell Soup Co.		3,210		87,826
Molson Coors Brewing Co. — Class B		2,350		80,558
J.M. Smucker Co.		1,859		69,285
Dr Pepper Snapple Group, Inc.*		3,987		67,420
Coca-Cola Enterprises, Inc.		4,994		65,871
McCormick & Company, Inc.		2,047		60,530
Brown-Forman Corp. — Class B		1,538		59,721

See Notes to Financial Statements. THE RYDEX SERIES FUNDS ANNUAL REPORT    |    63

8

SCHEDULE OF INVESTMENTS (continued)

March 31, 2009

     S&P 500 FUND

			MARKET
	SHARES		VALUE
SUPERVALU, INC.		3,335	$	47,624
Pepsi Bottling Group, Inc.		2,130		47,158
Estee Lauder Companies, Inc. — Class A		1,820		44,863
Tyson Foods, Inc. — Class A		4,747		44,574
Dean Foods Co.*		2,431		43,953
Whole Foods Market, Inc.		2,208		37,094
Constellation Brands, Inc. — Class A*		3,059		36,402
Hormel Foods Corp.		1,090		34,564
Total Consumer Staples				13,941,131
FINANCIALS 6.7%
JPMorgan Chase & Co.		59,080		1,570,346
Wells Fargo & Co.		66,650		949,096
Goldman Sachs Group, Inc.		7,261		769,811
Bank of America Corp.		100,650		686,433
Bank of New York Mellon Corp.		18,072		510,534
U.S. Bancorp		27,597		403,192
Morgan Stanley		16,900		384,813
Travelers Companies, Inc.		9,198		373,807
MetLife, Inc.		12,848		292,549
CME Group, Inc.		1,040		256,246
American Express Co.		18,421		251,078
Chubb Corp.		5,540		234,453
Charles Schwab Corp.		14,735		228,392
Citigroup, Inc.		86,092		217,813
Northern Trust Corp.		3,500		209,370
State Street Corp.		6,794		209,119
PNC Financial Services Group, Inc.		6,730		197,122
Aon Corp.		4,296		175,363
Marsh & McLennan Companies, Inc.		8,086		163,741
Allstate Corp.		8,429		161,415
BB&T Corp.		8,787		148,676
Progressive Corp.*		10,638		142,975
AFLAC, Inc.		7,350		142,296
Simon Property Group, Inc.		3,964		137,313
Franklin Resources, Inc.		2,380		128,211
Prudential Financial, Inc.		6,670		126,863
Loews Corp.		5,677		125,462
T. Rowe Price Group, Inc.		4,020		116,017
Public Storage		1,971		108,898
People’s United Financial, Inc.		5,470		98,296
Hudson City Bancorp, Inc.		8,208		95,952
IntercontinentalExchange, Inc.*		1,143		85,119
Invesco Ltd.		5,950		82,467
Equity Residential		4,290		78,721
Capital One Financial Corp.		6,162		75,423
Plum Creek Timber Company, Inc. (REIT)		2,590		75,291
Vornado Realty Trust		2,221		73,826
NYSE Euronext		4,070		72,853
HCP, Inc.		3,988		71,186

			MARKET
	SHARES		VALUE
Ameriprise Financial, Inc.		3,436	$	70,404
Moody’s Corp.		3,000		68,760
Boston Properties, Inc.		1,896		66,417
SunTrust Banks, Inc.		5,607		65,826
Unum Group		5,210		65,125
KeyCorp		7,783		61,252
AvalonBay Communities, Inc.		1,250		58,825
Cincinnati Financial Corp.		2,560		58,547
M&T Bank Corp.		1,213		54,876
Health Care REIT, Inc.		1,744		53,349
Ventas, Inc.		2,250		50,873
Discover Financial Services		7,573		47,786
Regions Financial Corp.		10,921		46,523
Comerica, Inc.		2,372		43,431
Leucadia National Corp.*		2,851		42,451
American International Group, Inc.		42,309		42,309
Nasdaq Stock Market, Inc.*		2,158		42,254
Assurant, Inc.		1,848		40,249
Hartford Financial Services Group, Inc.		5,110		40,114
SLM Corp.*		7,352		36,392
Legg Mason, Inc.		2,252		35,807
First Horizon National Corp.		3,308		35,531
Torchmark Corp.		1,320		34,624
Principal Financial Group, Inc.		4,083		33,399
Host Hotels & Resorts, Inc.		8,257		32,367
Federated Investors, Inc. — Class B		1,399		31,142
XL Capital Ltd.		5,376		29,353
KIMCO Realty Corp.		3,674		27,996
ProLogis		4,199		27,294
Lincoln National Corp.		4,020		26,894
Fifth Third Bancorp		9,082		26,519
Marshall & Ilsley Corp.		4,170		23,477
Zions Bancorporation		1,812		17,812
CIT Group, Inc.		6,106		17,402
Janus Capital Group, Inc.		2,490		16,559
CB Richard Ellis Group, Inc. — Class A*		3,540		14,266
Genworth Financial, Inc. — Class A		6,812		12,943
MBIA, Inc.*		2,690		12,320
E*Trade Financial Corp.*		8,996		11,515
Apartment Investment & Management Co. — Class A		1,844		10,105
Huntington Bancshares, Inc.		5,760		9,562
Total Financials				11,773,188
INDUSTRIALS 6.0%
General Electric Co.		166,048		1,678,745
United Parcel Service, Inc. — Class B		15,660		770,785
United Technologies Corp.		14,820		636,964
3M Co.		10,901		541,998

64    |    THE RYDEX SERIES FUNDS ANNUAL REPORT See Notes to Financial Statements.

9

SCHEDULE OF INVESTMENTS (continued)

March 31, 2009

     S&P 500 FUND

			MARKET
	SHARES		VALUE
Boeing Co.		11,420	$	406,324
Lockheed Martin Corp.		5,220		360,337
Emerson Electric Co.		11,870		339,245
Union Pacific Corp.		7,910		325,180
Honeywell International, Inc.		11,558		322,006
Caterpillar, Inc.		9,460		264,502
Burlington Northern Santa Fe Corp.		4,380		263,457
General Dynamics Corp.		6,070		252,451
Raytheon Co.		6,280		244,543
Northrop Grumman Corp.		5,143		224,441
Deere & Co.		6,650		218,585
FedEx Corp.		4,897		217,868
Danaher Corp.		4,010		217,422
Waste Management, Inc.		7,718		197,581
Norfolk Southern Corp.		5,760		194,400
Illinois Tool Works, Inc.		6,040		186,334
CSX Corp.		6,270		162,079
Paccar, Inc.		5,700		146,832
Precision Castparts Corp.		2,192		131,301
L-3 Communications Holdings, Inc.		1,860		126,108
CH Robinson Worldwide, Inc.		2,680		122,235
ITT Corporation		2,858		109,947
Fluor Corp.		2,850		98,467
Eaton Corp.		2,600		95,836
Expeditors International of Washington, Inc.		3,330		94,206
Republic Services, Inc.		5,060		86,779
Parker Hannifin Corp.		2,518		85,562
Rockwell Collins, Inc.		2,490		81,274
Cummins, Inc.		3,160		80,422
Dover Corp.		2,920		77,030
Pitney Bowes, Inc.		3,240		75,654
Jacobs Engineering Group, Inc.*		1,940		75,000
Goodrich Corp.		1,950		73,885
Southwest Airlines Co.		11,640		73,681
W.W. Grainger, Inc.		1,000		70,180
Ingersoll-Rand Co. — Class A		5,008		69,110
Cooper Industries Ltd. — Class A		2,620		67,753
Fastenal Co.		2,029		65,242
Dun & Bradstreet Corp.		840		64,680
Stericycle, Inc.*		1,340		63,958
Iron Mountain, Inc.*		2,823		62,586
Cintas Corp.		2,061		50,948
Flowserve Corp.		880		49,386
Rockwell Automation, Inc.		2,228		48,660
Equifax, Inc.		1,980		48,411
Robert Half International, Inc.		2,380		42,435
Avery Dennison Corp.		1,772		39,586
Masco Corp.		5,649		39,430
Pall Corp.		1,858		37,959
Ryder System, Inc.		870		24,630

			MARKET
	SHARES		VALUE
RR Donnelley & Sons Co.		3,221	$	23,610
Textron, Inc.		3,823		21,944
Monster Worldwide, Inc.*		2,011		16,390
Manitowoc Company, Inc.		2,050		6,703
Total Industrials				10,573,067
CONSUMER DISCRETIONARY 5.4%
McDonald’s Corp.		17,510		955,521
Home Depot, Inc.		26,658		628,063
Comcast Corp. — Class A		45,300		617,892
Walt Disney Co.		29,190		530,090
Lowe’s Companies, Inc.		23,050		420,663
Target Corp.		11,833		406,937
Amazon.com, Inc.*		5,059		371,533
Time Warner, Inc.		18,801		362,866
Nike, Inc. — Class B		6,090		285,560
News Corp. — Class A		36,169		239,439
Staples, Inc.		11,220		203,194
Kohl’s Corp.*		4,794		202,882
Best Buy Company, Inc.		5,328		202,251
Yum! Brands, Inc.		7,230		198,680
DIRECTV Group, Inc.*		8,320		189,613
TJX Companies, Inc.		6,538		167,634
Viacom, Inc. — Class B*		9,530		165,631
Carnival Corp.		6,880		148,608
Apollo Group, Inc. — Class A*		1,681		131,673
Starbucks Corp.*		11,550		128,321
Time Warner Cable, Inc.		4,719		117,039
Omnicom Group, Inc.		4,890		114,426
McGraw-Hill Companies, Inc.		4,940		112,978
Johnson Controls, Inc.		9,336		112,032
Bed Bath & Beyond, Inc.*		4,085		101,104
Ford Motor Co.*		37,683		99,106
AutoZone, Inc.*		600		97,572
H&R Block, Inc.		5,336		97,062
The Gap, Inc.		7,330		95,217
Coach, Inc.*		5,050		84,335
Sherwin-Williams Co.		1,554		80,761
VF Corp.		1,380		78,812
Marriott International, Inc. —
Class A		4,623		75,632
Genuine Parts Co.		2,496		74,531
O’Reilly Automotive, Inc.*		2,120		74,221
Darden Restaurants, Inc.		2,150		73,659
Family Dollar Stores, Inc.		2,190		73,080
GameStop Corp. — Class A*		2,566		71,899
J.C. Penney Company, Inc.		3,487		69,984
Mattel, Inc.		5,630		64,914
Macy’s, Inc.		6,606		58,793
Fortune Brands, Inc.		2,360		57,938
Harley-Davidson, Inc.		3,671		49,155
Hasbro, Inc.		1,946		48,786
International Game Technology, Inc.		4,650		42,873
D.R. Horton, Inc.		4,330		42,001
Tiffany & Co.		1,940		41,826

See Notes to Financial Statements. THE RYDEX SERIES FUNDS ANNUAL REPORT    |    65

10

SCHEDULE OF INVESTMENTS (continued)

March 31, 2009

     S&P 500 FUND

			MARKET
	SHARES		VALUE
Nordstrom, Inc.		2,496	$	41,808
CBS Corp.		10,680		41,011
Sears Holdings Corp.*		860		39,311
Polo Ralph Lauren Corp.		890		37,603
Limited Brands, Inc.		4,262		37,079
Pulte Homes, Inc.		3,377		36,911
Starwood Hotels & Resorts Worldwide, Inc.		2,870		36,449
Stanley Works		1,245		36,254
Whirlpool Corp.		1,148		33,969
Abercrombie & Fitch Co. — Class A		1,372		32,654
Washington Post Co. — Class B		90		32,139
Leggett & Platt, Inc.		2,462		31,981
Scripps Networks Interactive, Inc.		1,420		31,964
Interpublic Group of
Companies, Inc.*		7,489		30,855
Expedia, Inc.*		3,299		29,955
Black & Decker Corp.		940		29,666
Newell Rubbermaid, Inc.		4,356		27,791
Big Lots, Inc.*		1,290		26,806
Goodyear Tire & Rubber Co.*		3,795		23,757
AutoNation, Inc.*		1,690		23,457
Snap-On, Inc.		900		22,590
Wynn Resorts Ltd.*		1,053		21,029
General Motors Corp.		9,600		18,624
RadioShack Corp.		1,960		16,797
Lennar Corp. — Class A		2,220		16,672
Eastman Kodak Co.		4,210		15,998
KB HOME		1,177		15,513
Centex Corp.		1,950		14,625
Harman International Industries, Inc.		921		12,461
Wyndham Worldwide Corp.		2,788		11,710
Meredith Corp.		565		9,402
New York Times Co. — Class A		1,835		8,294
Gannett Co., Inc.		3,591		7,900
Office Depot, Inc.*		4,317		5,655
Total Consumer Discretionary				9,525,477
UTILITIES 2.7%
Exelon Corp.		10,351		469,832
Southern Co.		12,217		374,085
FPL Group, Inc.		6,430		326,194
Duke Energy Corp.		20,152		288,577
Dominion Resources, Inc.		9,181		284,519
Public Service Enterprise Group, Inc.		7,956		234,463
PG&E Corp.		5,752		219,841
Entergy Corp.		2,980		202,908
FirstEnergy Corp.		4,790		184,894
Sempra Energy		3,830		177,099
Consolidated Edison, Inc.		4,299		170,283
PPL Corp.		5,904		169,504

			MARKET
	SHARES		VALUE
American Electric Power Company, Inc.		6,383	$	161,235
Progress Energy, Inc.		4,330		157,006
Edison International		5,120		147,507
Xcel Energy, Inc.		7,143		133,074
Questar Corp.		2,728		80,285
Ameren Corp.		3,337		77,385
Wisconsin Energy Corp.		1,845		75,959
DTE Energy Co.		2,556		70,801
Constellation Energy Group, Inc.		3,130		64,666
EQT CORP		2,050		64,227
Allegheny Energy, Inc.		2,656		61,540
AES Corp.*		10,470		60,831
SCANA Corp.		1,898		58,629
Northeast Utilities		2,710		58,509
CenterPoint Energy, Inc.		5,461		56,958
Pepco Holdings, Inc.		3,438		42,906
NiSource, Inc.		4,313		42,267
CMS Energy Corp.		3,565		42,210
Pinnacle West Capital Corp.		1,588		42,177
TECO Energy, Inc.		3,340		37,241
Integrys Energy Group, Inc.		1,200		31,248
Nicor, Inc.		715		23,759
Dynegy Inc.*		7,965		11,231
Total Utilities				4,703,850
TELECOMMUNICATION SERVICES 2.4%
AT&T, Inc.		92,673		2,335,360
Verizon Communications, Inc.		44,673		1,349,125
American Tower Corp. — Class A*		6,248		190,127
Sprint Nextel Corp.*		45,046		160,814
Embarq Corp.		2,239		84,746
Qwest Communications
International, Inc.		23,110		79,036
Windstream Corp.		6,942		55,952
CenturyTel, Inc.		1,576		44,317
Frontier Communications Corp.		4,901		35,189
Total Telecommunication Services				4,334,666
MATERIALS 2.1%
Monsanto Co.		8,622		716,488
Newmont Mining Corp.		7,689		344,160
Praxair, Inc.		4,830		325,011
E.I. du Pont de Nemours and Co.		14,188		316,818
Freeport-McMoRan Copper & Gold, Inc.		6,468		246,495
Nucor Corp.		4,940		188,560
Air Products & Chemicals, Inc.		3,300		185,625
Rohm & Haas Co.		1,961		154,605
Dow Chemical Co.		14,543		122,597
Alcoa, Inc.		14,940		109,660
PPG Industries, Inc.		2,579		95,165
Ecolab, Inc.		2,630		91,340

66    |    THE RYDEX SERIES FUNDS ANNUAL REPORT See Notes to Financial Statements.

11

SCHEDULE OF INVESTMENTS (concluded)

March 31, 2009

     S&P 500 FUND

			MARKET
	SHARES		VALUE
Weyerhaeuser Co.		3,311	$	91,284
Vulcan Materials Co.		1,743		77,197
Sigma-Aldrich Corp.		1,910		72,179
Ball Corp.		1,470		63,798
CF Industries Holdings, Inc.		760		54,059
International Paper Co.		6,730		47,379
United States Steel Corp.		1,828		38,626
Owens-Illinois, Inc.*		2,620		37,833
International Flavors & Fragrances, Inc.		1,228		37,405
Sealed Air Corp.		2,480		34,224
Allegheny Technologies, Inc.		1,532		33,597
Bemis Co.		1,570		32,923
MeadWestvaco Corp.		2,679		32,121
Eastman Chemical Co.		1,140		30,552
Pactiv Corp.*		2,060		30,055
AK Steel Holding Corp.		1,740		12,389
Titanium Metals Corp.		1,328		7,264
Total Materials				3,629,409
Total Common Stocks (Cost $119,958,120)				108,885,945
		FACE
		AMOUNT
REPURCHASE AGREEMENTS† 33.8%
Credit Suisse Group issued 03/31/09 at 0.15% due 04/01/09	$	42,716,137		42,716,137
Mizuho Financial Group, Inc. issued 03/31/09 at 0.16% due 04/01/09		15,756,887		15,756,887
Morgan Stanley issued 03/31/09 at 0.05% due 04/01/09		1,083,973		1,083,973
Total Repurchase Agreements (Cost $59,556,997)				59,556,997
Total Investments 95.5% (Cost $179,515,117)			$	168,442,942
Other Assets in Excess of Liabilities – 4.5%			$	8,020,279
Net Assets – 100.0%			$	176,463,221

			UNREALIZED
	CONTRACTS		GAIN (LOSS)
FUTURES CONTRACTS PURCHASED
June 2009 S&P 500 Index Futures Mini Contracts (Aggregate Market Value of Contracts $41,211,100)		1,042	$	(222,490	)
		UNITS
EQUITY INDEX SWAP AGREEMENT
Goldman Sachs International April 2009 S&P 500 Index Swap, Terminating 04/06/09** (Notional Market Value $27,067,059)		33,924	$	373,850

*	Non-Income Producing Security.
**	Total Return based on S&P 500 Index +/- financing at a variable rate.
†	Repurchase Agreements — See Note 6.
	REIT — Real Estate Investment Trust.

See Notes to Financial Statements. THE RYDEX SERIES FUNDS ANNUAL REPORT    |    67

12

SCHEDULE OF INVESTMENTS

March 31, 2009

     INVERSE S&P 500 STRATEGY FUND

	FACE		MARKET
	AMOUNT		VALUE
FEDERAL AGENCY DISCOUNT NOTES 71.9%
Fannie Mae**
1.00% due 06/22/09	$	20,000,000	$	19,991,340
Fed Home Loan Bank*
0.35% due 04/13/09		25,000,000		24,997,084
0.74% due 10/16/09		25,000,000		24,951,875
Freddie Mac**
1.00% due 04/14/09		25,000,000		24,990,972
0.57% due 09/08/09		25,000,000		24,965,000
0.56% due 08/24/09		50,000,000		49,941,600
0.45% due 07/20/09		25,000,000		24,983,950
Total Federal Agency Discount Notes (Cost $194,630,492)				194,821,821
REPURCHASE AGREEMENTS† 11.3%
Credit Suisse Group issued 03/31/09 at 0.15% due 04/01/09		21,993,891		21,993,891
Mizuho Financial Group, Inc. issued 03/31/09 at 0.16% due 04/01/09		8,112,983		8,112,983
Morgan Stanley issued 03/31/09 at 0.05% due 04/01/09		558,121		558,121
Total Repurchase Agreements (Cost $30,664,995)				30,664,995
Total Investments 83.2% (Cost $225,295,487)			$	225,486,816
Other Assets in Excess of Liabilities – 16.8%			$	45,612,572
Net Assets – 100.0%			$	271,099,388
			Unrealized
		Contracts		Loss
FUTURES CONTRACTS SOLD SHORT
June 2009 S&P 500 Index Mini Futures Contracts (Aggregate Market Value of Contracts $21,673,400)		548	$	(418,021	)

			UNREALIZED
	UNITS		LOSS
EQUITY INDEX SWAP AGREEMENT SOLD SHORT
Goldman Sachs International April 2009 S&P 500 Index Swap, Terminating 04/06/09*** (Notional Market Value $249,715,029)		312,977	$	(22,032,122	)

*	The issuer is a publicly traded company that operates under a Congressional charter; its securities are neither issued nor guaranteed by the U.S. Government.
**	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.
***	Total Return based on S&P 500 Index +/- financing at a variable rate.
†	Repurchase Agreements — See Note 6.

68    |    THE RYDEX SERIES FUNDS ANNUAL REPORT See Notes to Financial Statements.

SCHEDULE OF INVESTMENTS

March 31, 2009

     NASDAQ-100^® FUND

			MARKET
	SHARES		VALUE
COMMON STOCKS 92.4%
INFORMATION TECHNOLOGY 56.5%
Apple, Inc.*		431,525	$	45,361,908
Qualcomm, Inc.		691,130		26,891,868
Microsoft Corp.		1,063,022		19,527,714
Google, Inc. — Class A*		50,788		17,677,271
Oracle Corp.*		730,980		13,208,809
Cisco Systems, Inc.*		724,490		12,149,697
Intel Corp.		676,640		10,183,432
Research In Motion Ltd.*		196,728		8,473,075
Symantec Corp.*		298,240		4,455,706
Automatic Data Processing, Inc.		123,960		4,358,434
Activision Blizzard Inc.*		405,520		4,241,739
eBay, Inc.*		332,417		4,175,158
Adobe Systems, Inc.*		178,480		3,817,687
Intuit, Inc.*		140,577		3,795,579
Paychex, Inc.		118,919		3,052,651
CA, Inc.		173,140		3,048,995
Yahoo!, Inc.*		232,841		2,982,693
Broadcom Corp. — Class A*		135,060		2,698,499
Applied Materials, Inc.		238,840		2,567,530
Altera Corp.		143,310		2,515,090
Fiserv, Inc.*		67,790		2,471,623
Xilinx, Inc.		126,330		2,420,483
Linear Technology Corp.		103,020		2,367,400
Dell, Inc.*		248,517		2,355,941
Cognizant Technology Solutions Corp. — Class A*		98,779		2,053,615
Electronic Arts, Inc.*		112,710		2,050,195
Marvell Technology Group Ltd.*		203,330		1,862,503
NVIDIA Corp.*		183,220		1,806,549
Juniper Networks, Inc.*		119,220		1,795,453
NetApp, Inc.*		120,148		1,782,996
Citrix Systems, Inc.*		74,340		1,683,058
Baidu.com — SP ADR*		9,170		1,619,422
Check Point Software Technologies Ltd.*		72,080		1,600,897
KLA-Tencor Corp.		71,510		1,430,200
Autodesk, Inc.*		81,909		1,376,890
Maxim Integrated Products, Inc.		103,980		1,373,576
VeriSign, Inc.*		63,000		1,188,810
Microchip Technology, Inc.		52,600		1,114,594
Akamai Technologies, Inc.*		56,760		1,101,144
Flir Systems, Inc.*		51,560		1,055,949
Infosys Technologies Ltd. — SP ADR		38,950		1,037,238
Lam Research Corp.*		45,030		1,025,333
Seagate Technology		170,150		1,022,602
Flextronics International Ltd.*		305,130		881,826
Sun Microsystems, Inc.*		112,550		823,866
IAC/InterActiveCorp*		50,830		774,141

			MARKET
	SHARES		VALUE
Logitech International SA*		60,570	$	622,660
Total Information Technology				235,882,499
HEALTH CARE 17.3%
Gilead Sciences, Inc.*		311,670		14,436,554
Teva Pharmaceutical Industries Ltd. — SP ADR		248,743		11,205,872
Amgen, Inc.*		167,430		8,291,134
Celgene Corp.*		158,270		7,027,188
Genzyme Corp.*		118,180		7,018,710
Biogen Idec, Inc.*		112,260		5,884,669
Express Scripts, Inc.*		76,779		3,544,886
Life Technologies Corp.*		61,110		1,984,853
Vertex Pharmaceuticals, Inc.*		62,590		1,798,211
Cephalon, Inc.*		23,280		1,585,368
Illumina, Inc.*		41,290		1,537,640
DENTSPLY International, Inc.		49,560		1,330,686
Intuitive Surgical, Inc.*		13,620		1,298,803
Henry Schein, Inc.*		30,950		1,238,309
Hologic, Inc.*		93,640		1,225,748
Pharmaceutical Product Development, Inc.		39,816		944,436
Warner Chilcott Ltd.*		86,984		915,072
Patterson Companies, Inc.*		40,633		766,338
Total Health Care				72,034,477
CONSUMER DISCRETIONARY 11.8%
Amazon.com, Inc.*		98,863		7,260,499
Comcast Corp. — Class A		501,390		6,838,960
DIRECTV Group, Inc.*		257,350		5,865,006
Apollo Group, Inc. — Class A*		56,039		4,389,535
Starbucks Corp.*		354,843		3,942,306
News Corp. — Class A		493,018		3,263,779
Staples, Inc.		166,479		3,014,935
Bed Bath & Beyond, Inc.*		121,339		3,003,140
Sears Holdings Corp.*		44,330		2,026,324
O’Reilly Automotive, Inc.*		46,743		1,636,472
Ross Stores, Inc.		45,460		1,631,105
Garmin Ltd.		64,570		1,369,530
Urban Outfitters, Inc.*		57,650		943,730
Wynn Resorts Ltd.*		46,580		930,203
Expedia, Inc.*		98,180		891,474
DISH Network Corp. — Class A*		74,950		832,695
Liberty Global, Inc. — Class A*		49,790		724,942
Liberty Media Corp — Interactive*		189,060		548,274
Total Consumer Discretionary				49,112,909
INDUSTRIALS 4.7%
Paccar, Inc.		141,268		3,639,064
First Solar, Inc.*		24,840		3,296,268
CH Robinson Worldwide, Inc.		58,449		2,665,859
Expeditors International of Washington, Inc.		72,350		2,046,781

See Notes to Financial Statements. THE RYDEX SERIES FUNDS ANNUAL REPORT    |    69

SCHEDULE OF INVESTMENTS (concluded)

March 31, 2009

     NASDAQ-100^® FUND

			MARKET
	SHARES		VALUE
Fastenal Co.		49,330	$	1,586,206
Cintas Corp.		63,680		1,574,170
Stericycle, Inc.*		31,130		1,485,835
J.B. Hunt Transport Services, Inc.		43,783		1,055,608
Ryanair Holdings PLC — SP ADR*		40,390		933,413
Foster Wheeler AG*		45,881		801,541
Joy Global, Inc.		34,840		742,092
Total Industrials				19,826,837
CONSUMER STAPLES 1.1%
Costco Wholesale Corp.		79,280		3,672,250
Hansen Natural Corp.*		31,070		1,118,520
Total Consumer Staples				4,790,770
TELECOMMUNICATION SERVICES 0.5%
Millicom International
Cellular SA		36,313		1,345,033
NII Holdings, Inc. — Class B*		55,970		839,550
Total Telecommunication Services				2,184,583
MATERIALS 0.5%
Sigma-Aldrich Corp.		40,750		1,539,942
Steel Dynamics, Inc.		65,200		574,412
Total Materials				2,114,354
Total Common Stocks (Cost $292,395,136)				385,946,429
		FACE
		AMOUNT
REPURCHASE AGREEMENTS† 5.9%
Credit Suisse Group issued 03/31/09 at 0.15% due 04/01/09	$	17,597,004		17,597,004
Mizuho Financial Group, Inc. issued 03/31/09 at 0.16% due 04/01/09		6,491,084		6,491,084
Morgan Stanley issued 03/31/09 at 0.05% due 04/01/09		446,545		446,545
Total Repurchase Agreements (Cost $24,534,633)				24,534,633
Total Investments 98.3% (Cost $316,929,769)			$	410,481,062
Other Assets in Excess of Liabilities – 1.7%			$	7,048,284
Net Assets – 100.0%			$	417,529,346

			UNREALIZED
	CONTRACTS		GAIN (LOSS)
FUTURES CONTRACTS PURCHASED
June 2009 NASDAQ-100 Index Mini Futures Contracts (Aggregate Market Value of Contracts $16,237,760)		659	$	(148,814	)
		UNITS
EQUITY INDEX SWAP AGREEMENT
Goldman Sachs International April 2009 NASDAQ-100 Index Swap, Terminating 04/06/09** (Notional Market Value $15,531,794)		12,556	$	223,432

*	Non-Income Producing Security.
**	Total Return based on NASDAQ-100 Index +/- financing at a variable rate.
†	Repurchase Agreements — See Note 6.
	ADR — American Depository Receipt.

70    |    THE RYDEX SERIES FUNDS ANNUAL REPORT See Notes to Financial Statements.

SCHEDULE OF INVESTMENTS

March 31, 2009

      INVERSE NASDAQ-100^® STRATEGY FUND

	FACE		MARKET
	AMOUNT		VALUE
REPURCHASE AGREEMENTS† 84.9%
Credit Suisse Group issued 03/31/09 at 0.15% due 04/01/09	$	24,054,781	$	24,054,781
Mizuho Financial Group, Inc. issued 03/31/09 at 0.16% due 04/01/09		8,873,192		8,873,192
Morgan Stanley issued 03/31/09 at 0.05% due 04/01/09		610,419		610,419
Total Repurchase Agreements (Cost $33,538,392)				33,538,392
Total Investments 84.9% (Cost $33,538,392)			$	33,538,392
Other Assets in Excess of Liabilities – 15.1%			$	5,977,073
Net Assets – 100.0%			$	39,515,465
			Unrealized
		Contracts		Gain (Loss)
FUTURES CONTRACTS SOLD SHORT
June 2009 NASDAQ-100 Index Mini Futures Contracts (Aggregate Market Value of Contracts $936,320)		38	$	12,374
		UNITS
EQUITY INDEX SWAP AGREEMENT
SOLD SHORT
Goldman Sachs International April 2009 NASDAQ-100 Index Swap, Terminating 04/06/09* (Notional Market Value $38,519,940)		31,140	$	(2,895,213	)

*	Total Return based on Nasdaq 100 Index +/- financing at a variable rate.
†	Repurchase Agreements — See Note 6.

See Notes to Financial Statements. THE RYDEX SERIES FUNDS ANNUAL REPORT    |    71

SCHEDULE OF INVESTMENTS

March 31, 2009

     MID-CAP 1.5x STRATEGY FUND

			MARKET
	SHARES		VALUE
COMMON STOCKS 43.7%
FINANCIALS 7.8%
Everest Re Group Ltd.		670	$	47,436
Fidelity National Financial, Inc. — Class A		2,340		45,653
New York Community Bancorp, Inc.		3,760		41,999
W.R. Berkley Corp.		1,510		34,050
HCC Insurance Holdings, Inc.		1,240		31,236
Cullen/Frost Bankers, Inc.		650		30,511
Federal Realty Investment Trust		640		29,440
Eaton Vance Corp.		1,270		29,019
Old Republic International Corp.		2,560		27,699
First American Corp.		1,010		26,775
Commerce Bancshares, Inc.		720		26,136
Rayonier, Inc.		860		25,989
Reinsurance Group of America, Inc.		790		25,588
Nationwide Health Properties, Inc.		1,110		24,631
Brown & Brown, Inc.		1,260		23,827
AMB Property Corp.		1,520		21,888
Associated Banc-Corp.		1,390		21,462
Realty Income Corp.		1,140		21,455
Raymond James Financial, Inc.		1,070		21,079
Liberty Property Trust		1,100		20,834
Regency Centers Corp.		760		20,193
Affiliated Managers Group, Inc.*		450		18,770
Jefferies Group, Inc.		1,340		18,492
Valley National Bancorp		1,470		18,184
Arthur J. Gallagher & Co.		1,050		17,850
SEI Investments Co.		1,460		17,827
Bank of Hawaii Corp.		520		17,150
Waddell & Reed Financial, Inc. — Class A		930		16,805
Essex Property Trust, Inc.		290		16,629
BancorpSouth, Inc.		790		16,464
FirstMerit Corp.		890		16,198
Hanover Insurance Group, Inc.		560		16,139
Alexandria Real Estate Equities, Inc.		430		15,652
City National Corp.		440		14,859
Highwoods Properties, Inc.		690		14,780
TCF Financial Corp.		1,220		14,347
Mack-Cali Realty Corp.		720		14,263
Westamerica Bancorporation		310		14,124
First Niagara Financial Group, Inc.		1,290		14,061
UDR, Inc.		1,624		13,983
NewAlliance Bancshares, Inc.		1,160		13,618
American Financial Group, Inc.		820		13,161
Washington Federal, Inc.		960		12,758
Omega Healthcare Investors, Inc.		900		12,672

			MARKET
	SHARES		VALUE
Fulton Financial Corp.		1,910	$	12,663
Camden Property Trust		580		12,516
Hospitality Properties Trust		1,020		12,240
Stancorp Financial Group, Inc.		530		12,073
Mercury General Corp.		390		11,583
BRE Properties, Inc. — Class A		560		10,993
Potlatch Corp.		430		9,972
Synovus Financial Corp.		3,060		9,945
Trustmark Corp.		530		9,741
Duke Realty Corp.		1,620		8,910
Jones Lang LaSalle, Inc.		380		8,839
AmeriCredit Corp.*		1,430		8,380
Astoria Financial Corp.		890		8,179
Weingarten Realty Investors		840		7,997
Unitrin, Inc.		540		7,549
Wilmington Trust Corp.		750		7,268
SVB Financial Group*		360		7,204
SL Green Realty Corp.		620		6,696
Cathay General Bancorp		540		5,632
Apollo Investment Corp.		1,550		5,394
Macerich Co.		840		5,258
Equity One, Inc.		360		4,388
International Bancshares Corp.		550		4,290
Protective Life Corp.		760		3,990
PacWest Bancorp		270		3,869
Horace Mann Educators Corp.		430		3,599
Cousins Properties, Inc.		480		3,091
Webster Financial Corp.		580		2,465
Colonial BancGroup, Inc.		2,210		1,989
Total Financials				1,172,399
CONSUMER DISCRETIONARY 6.7%
Ross Stores, Inc.		1,410		50,591
Dollar Tree, Inc.*		990		44,104
Advance Auto Parts, Inc.		1,030		42,312
ITT Educational Services, Inc.*		340		41,283
Priceline.com, Inc.*		450		35,451
DeVry, Inc.		670		32,281
CarMax, Inc.*		2,398		29,831
Petsmart, Inc.		1,380		28,925
American Eagle Outfitters, Inc.		2,250		27,540
Strayer Education, Inc.		150		26,980
NVR, Inc.*		60		25,665
Toll Brothers, Inc.*		1,410		25,606
BorgWarner, Inc.		1,260		25,578
Chipotle Mexican Grill, Inc. — Class A*		360		23,897
Wendy’s/Arby’s Group, Inc. — Class A		4,550		22,886
LKQ Corp.*		1,520		21,690
Urban Outfitters, Inc.*		1,240		20,299
Aeropostale, Inc.*		730		19,389
Netflix, Inc.*		450		19,314
Career Education Corp.*		800		19,168
Panera Bread Co. — Class A*		340		19,006
Corinthian Colleges, Inc.*		940		18,283

72    |    THE RYDEX SERIES FUNDS ANNUAL REPORT See Notes to Financial Statements.

SCHEDULE OF INVESTMENTS (continued)

March 31, 2009

     MID-CAP 1.5x STRATEGY FUND

			MARKET
	SHARES		VALUE
Mohawk Industries, Inc.*		610	$	18,221
DreamWorks Animation SKG, Inc. — Class A*		840		18,178
Foot Locker, Inc.		1,690		17,711
Brinker International, Inc.		1,110		16,761
Gentex Corp.		1,500		14,940
Marvel Entertainment, Inc.*		530		14,071
Rent-A-Center, Inc.*		720		13,946
Guess?, Inc.		660		13,913
John Wiley & Sons, Inc. — Class A		460		13,699
Dick’s Sporting Goods, Inc.*		930		13,271
Phillips-Van Heusen Corp.		560		12,701
M.D.C. Holdings, Inc.		400		12,456
The Warnaco Group, Inc.*		510		12,240
Tupperware Brands Corp.		680		11,553
Chico’s FAS, Inc.*		1,930		10,364
Brink’s Home Security Holdings, Inc.*		440		9,944
Matthews International Corp. — Class A		340		9,795
Hanesbrands, Inc.*		1,020		9,761
Service Corporation
International		2,780		9,702
Williams-Sonoma, Inc.		940		9,475
Scientific Games Corp. — Class A*		710		8,598
Barnes & Noble, Inc.		400		8,552
Lamar Advertising Company*		830		8,092
Ryland Group, Inc.		470		7,830
Cheesecake Factory, Inc.*		650		7,443
Bob Evans Farms, Inc.		330		7,399
J. Crew Group, Inc.*		560		7,381
Regis Corp.		470		6,792
Collective Brands, Inc.*		690		6,721
International Speedway Corp. — Class A		300		6,618
Under Armour, Inc.*		400		6,572
Sotheby’s		730		6,570
Thor Industries, Inc.		388		6,061
Timberland Co. — Class A*		500		5,970
Callaway Golf Co.		700		5,026
Life Time Fitness, Inc.*		380		4,773
99 Cents Only Stores*		510		4,712
Scholastic Corp.		280		4,220
AnnTaylor Stores Corp.*		620		3,224
Saks, Inc.*		1,550		2,899
American Greetings Corp. — Class A		490		2,479
Boyd Gaming Corp.		610		2,275
Harte-Hanks, Inc.		410		2,194
Blyth, Inc.		70		1,829
Coldwater Creek, Inc.*		520		1,305
Belo Corp. — Class A		980		598
Total Consumer Discretionary				1,018,914

			MARKET
	SHARES		VALUE
INDUSTRIALS 6.4%
Quanta Services, Inc.*		2,120	$	45,474
Roper Industries, Inc.		980		41,601
URS Corp.*		930		37,581
AMETEK, Inc.		1,160		36,273
FTI Consulting, Inc.*		560		27,709
Manpower, Inc.		850		26,800
Aecom Technology Corp.*		990		25,819
SPX Corp.		540		25,385
Shaw Group, Inc.*		910		24,943
KBR, Inc.		1,760		24,306
Alliant Techsystems, Inc.*		360		24,113
Joy Global, Inc.		1,110		23,643
Pentair, Inc.		1,070		23,187
Watson Wyatt & Company Holdings		460		22,710
Donaldson Company		840		22,546
Waste Connections, Inc.*		870		22,359
J.B. Hunt Transport Services, Inc.		890		21,458
Copart, Inc.*		690		20,465
AGCO Corp.*		1,000		19,600
Harsco Corp.		880		19,510
IDEX Corp.		880		19,246
Landstar System, Inc.		560		18,743
Corrections Corporation of America*		1,310		16,781
Hubbell, Inc. — Class B		610		16,446
MSC Industrial Direct Co.		490		15,224
Lincoln Electric Holdings, Inc.		460		14,577
Thomas & Betts Corporation*		580		14,512
Wabtec Corp.		520		13,718
Lennox International, Inc.		510		13,495
Granite Construction, Inc.		360		13,493
Timken Co.		930		12,983
Kennametal, Inc.		800		12,968
Carlisle Companies, Inc.		660		12,956
Kansas City Southern*		1,000		12,710
Bucyrus International, Inc.		820		12,448
Brink’s Co.		440		11,642
Graco, Inc.		650		11,095
GATX Corp.		530		10,722
Clean Harbors, Inc.*		220		10,560
Nordson Corp.		370		10,519
BE Aerospace, Inc.*		1,100		9,537
Terex Corp.*		1,030		9,527
Con-way Inc.		500		8,965
Crane Co.		520		8,778
Alexander & Baldwin, Inc.		450		8,563
Trinity Industries, Inc.		870		7,952
Rollins, Inc.		450		7,718
JetBlue Airways Corp.*		2,000		7,300
Werner Enterprises, Inc.		470		7,106
Alaska Air Group, Inc.*		400		7,028
Navigant Consulting, Inc.*		520		6,796
Woodward Governor Co.		600		6,708

See Notes to Financial Statements. THE RYDEX SERIES FUNDS ANNUAL REPORT    |    73

SCHEDULE OF INVESTMENTS (continued)

March 31, 2009

     MID-CAP 1.5x STRATEGY FUND

			MARKET
	SHARES		VALUE
Mine Safety Appliances Co.		320	$	6,406
Herman Miller, Inc.		580		6,183
AirTran Holdings, Inc.*		1,300		5,915
MPS Group, Inc.*		990		5,891
Oshkosh Corp.		810		5,459
Deluxe Corp.		560		5,393
Corporate Executive Board Co.		370		5,365
HNI Corp.		478		4,971
Korn/Ferry International, Inc.*		490		4,439
YRC Worldwide, Inc.*		650		2,919
Federal Signal Corp.		520		2,740
United Rentals, Inc.*		650		2,737
Dycom Industries, Inc.*		430		2,490
Kelly Services, Inc. — Class A		300		2,415
Total Industrials				969,621
INFORMATION TECHNOLOGY 6.3%
Western Digital Corp.*		2,416		46,725
SAIC, Inc.*		2,208		41,223
Synopsys, Inc.*		1,560		32,339
Lam Research Corp.*		1,370		31,195
Global Payments, Inc.		870		29,067
Avnet, Inc.*		1,630		28,541
Broadridge Financial Solutions, Inc.		1,530		28,473
Lender Processing Services, Inc.		910		27,855
Sybase, Inc.*		900		27,261
Hewitt Associates, Inc. — Class A*		910		27,082
Arrow Electronics, Inc.*		1,300		24,778
ANSYS, Inc.*		970		24,347
Alliance Data Systems Corp.*		650		24,017
FactSet Research Systems Inc.		460		22,995
Cree, Inc.*		960		22,589
Ingram Micro, Inc. — Class A*		1,760		22,246
Trimble Navigation Ltd.*		1,300		19,864
Metavante Technologies, Inc.*		980		19,561
Mettler-Toledo International, Inc.*		370		18,992
Itron, Inc.*		400		18,940
F5 Networks, Inc.*		860		18,017
Atmel Corp.*		4,890		17,751
Macrovision Solutions Corp.*		890		15,833
Diebold, Inc.		720		15,372
Intersil Corp. — Class A		1,330		15,295
DST Systems, Inc.*		440		15,233
Jack Henry & Associates, Inc.		910		14,851
Polycom, Inc.*		910		14,005
NCR Corp.*		1,720		13,674
NeuStar, Inc.*		810		13,568
3Com Corp.*		4,210		13,009
Silicon Laboratories, Inc.*		490		12,936
Palm, Inc.*		1,460		12,585
Parametric Technology Corp.*		1,260		12,575
Zebra Technologies Corp. — Class A*		660		12,553

			MARKET
	SHARES		VALUE
Cadence Design Systems, Inc.*		2,880	$	12,096
Digital River, Inc.*		400		11,928
Tech Data Corp.*		540		11,761
National Instruments Corp.		610		11,377
International Rectifier Corp.*		790		10,673
Mantech International Corp. — Class A*		230		9,637
ADTRAN, Inc.		590		9,564
CommScope, Inc.*		790		8,974
Semtech Corp.*		660		8,811
Integrated Device Technology, Inc.*		1,790		8,145
ValueClick, Inc.*		940		7,999
Fair Isaac Corp.		530		7,457
ACI Worldwide, Inc.*		380		7,125
Vishay Intertechnology, Inc.*		2,030		7,064
Gartner, Inc. — Class A*		640		7,046
SRA International, Inc. — Class A*		460		6,762
Plantronics, Inc.		530		6,397
Avocent Corp.*		500		6,070
Advent Software, Inc.*		180		5,996
Acxiom Corp.		740		5,476
Fairchild Semiconductor International, Inc.*		1,350		5,036
Wind River Systems, Inc.*		740		4,736
ADC Telecommunications, Inc.*		1,050		4,610
Mentor Graphics Corp.*		1,010		4,484
RF Micro Devices, Inc.*		2,870		3,817
Imation Corp.		330		2,525
Total Information Technology				950,913
HEALTH CARE 5.5%
Vertex Pharmaceuticals, Inc.*		1,880		54,012
Henry Schein, Inc.*		970		38,810
Edwards Lifesciences Corp.*		610		36,984
Hologic, Inc.*		2,790		36,521
Beckman Coulter, Inc.		690		35,197
Cerner Corp.*		740		32,538
Pharmaceutical Product Development, Inc.		1,280		30,362
ResMed, Inc.*		830		29,332
Omnicare, Inc.		1,140		27,919
Gen-Probe, Inc.*		570		25,981
Covance, Inc.*		690		24,585
OSI Pharmaceuticals, Inc.*		630		24,104
Endo Pharmaceuticals Holdings, Inc.*		1,270		22,454
Techne Corp.		410		22,431
IDEXX Laboratories, Inc.*		640		22,131
Perrigo Co.		850		21,105
VCA Antech, Inc.*		920		20,746
Universal Health Services, Inc. — Class B		540		20,704
Charles River Laboratories
International, Inc.*		730		19,863

74    |    THE RYDEX SERIES FUNDS ANNUAL REPORT See Notes to Financial Statements.

SCHEDULE OF INVESTMENTS (continued)

March 31, 2009

     MID-CAP 1.5x STRATEGY FUND

			MARKET
	SHARES		VALUE
Immucor, Inc.*		770	$	19,365
Lincare Holdings, Inc.*		810		17,658
Sepracor, Inc.*		1,190		17,445
Teleflex, Inc.		430		16,809
United Therapeutics Corp.*		250		16,523
Health Net, Inc.*		1,130		16,362
Valeant Pharmaceuticals International*		900		16,011
Thoratec Corp.*		610		15,671
Masimo Corp.*		530		15,359
Community Health Systems, Inc.*		1,000		15,340
Owens & Minor, Inc.		450		14,909
Steris Corp.		640		14,899
Bio-Rad Laboratories, Inc. — Class A*		210		13,839
Kinetic Concepts, Inc.*		600		12,672
LifePoint Hospitals, Inc.*		570		11,890
Psychiatric Solutions, Inc.*		610		9,595
Medicis Pharmaceutical Corp. — Class A		620		7,669
Varian, Inc.*		320		7,597
Health Management Associates, Inc. — Class A*		2,690		6,940
Hill-Rom Holdings, Inc.		680		6,725
WellCare Health Plans, Inc.*		460		5,175
Kindred Healthcare, Inc.*		330		4,934
Affymetrix, Inc.*		770		2,518
Total Health Care				831,684
MATERIALS 3.0%
Martin Marietta Materials, Inc.		450		35,685
FMC Corp.		790		34,081
Terra Industries, Inc.		1,090		30,618
Airgas, Inc.		890		30,091
Lubrizol Corp.		740		25,167
AptarGroup, Inc.		740		23,044
Sonoco Products Co.		1,090		22,868
Cliffs Natural Resources Inc.		1,240		22,518
Albemarle Corp.		1,000		21,770
Valspar Corp.		1,090		21,767
Reliance Steel & Aluminum Co.		690		18,168
RPM International, Inc.		1,400		17,822
Scotts Miracle-Gro Co. — Class A		480		16,656
Steel Dynamics, Inc.		1,760		15,506
Packaging Corporation of America		1,120		14,582
Commercial Metals Co.		1,220		14,091
Sensient Technologies Corp.		530		12,455
Greif, Inc. — Class A		370		12,317
Olin Corp.		840		11,987
Cytec Industries, Inc.		510		7,660
Cabot Corp.		710		7,462
Ashland, Inc.		720		7,438
Carpenter Technology Corp.		480		6,778
Minerals Technologies, Inc.		200		6,410

			MARKET
	SHARES		VALUE
Temple-Inland, Inc.		1,160	$	6,229
Worthington Industries, Inc.		650		5,661
Louisiana-Pacific Corp.		990		2,208
Total Materials				451,039
UTILITIES 3.0%
NSTAR		1,160		36,981
MDU Resources Group, Inc.		2,000		32,280
Alliant Energy Corp.		1,200		29,628
Aqua America, Inc.		1,480		29,600
DPL, Inc.		1,260		28,400
UGI Corp.		1,180		27,860
National Fuel Gas Co.		870		26,683
Oneok, Inc.		1,150		26,024
OGE Energy Corp.		1,030		24,535
NV Energy, Inc.		2,550		23,945
Energen Corp.		780		22,721
AGL Resources, Inc.		840		22,285
Westar Energy, Inc.		1,180		20,685
Vectren Corp.		880		18,559
WGL Holdings, Inc.		550		18,040
Great Plains Energy, Inc.		1,300		17,511
Hawaiian Electric Industries, Inc.		990		13,603
IDACORP, Inc.		510		11,914
PNM Resources, Inc.		940		7,764
Black Hills Corp.		420		7,514
Total Utilities				446,532
ENERGY 2.9%
FMC Technologies, Inc.*		1,370		42,977
Denbury Resources, Inc.*		2,710		40,271
Pride International, Inc.*		1,890		33,982
Newfield Exploration Co.*		1,450		32,915
Helmerich & Payne, Inc.		1,150		26,186
Oceaneering International, Inc.*		600		22,122
Arch Coal, Inc.		1,560		20,857
Tidewater, Inc.		560		20,793
Southern Union Co.		1,350		20,547
Plains Exploration & Production Co.*		1,170		20,159
Cimarex Energy Co.		910		16,726
Comstock Resources, Inc.*		510		15,198
Patterson-UTI Energy, Inc.		1,670		14,963
Frontier Oil Corp.		1,130		14,453
Forest Oil Corp.*		1,060		13,939
Encore Acquisition Co.*		560		13,031
Superior Energy Services*		850		10,957
Exterran Holdings, Inc.*		670		10,733
Unit Corp.*		510		10,669
Bill Barrett Corp.*		400		8,896
Mariner Energy, Inc.*		980		7,595
Quicksilver Resources, Inc.*		1,230		6,814
Overseas Shipholding Group,Inc.		260		5,894
Helix Energy Solutions Group, Inc.*		1,070		5,500
Patriot Coal Corp.*		700		2,597
Total Energy				438,774

See Notes to Financial Statements. THE RYDEX SERIES FUNDS ANNUAL REPORT    |    75

SCHEDULE OF INVESTMENTS (concluded)

March 31, 2009

     MID-CAP 1.5x STRATEGY FUND

			MARKET
	SHARES		VALUE
CONSUMER STAPLES 1.8%
Church & Dwight Company, Inc.		760	$	39,695
Ralcorp Holdings, Inc.*		620		33,406
Energizer Holdings, Inc.*		640		31,802
Hansen Natural Corp.*		790		28,440
Alberto-Culver Co.		930		21,027
BJ’s Wholesale Club, Inc.*		640		20,474
Flowers Foods, Inc.		860		20,193
Corn Products International, Inc.		810		17,172
Smithfield Foods, Inc.*		1,290		12,203
PepsiAmericas, Inc.		620		10,695
Ruddick Corp.		430		9,653
Lancaster Colony Corp.		220		9,126
NBTY, Inc.*		600		8,448
Universal Corp.		270		8,078
Tootsie Roll Industries, Inc.		291		6,318
Total Consumer Staples				276,730
TELECOMMUNICATION SERVICES 0.3%
Telephone & Data Systems, Inc.		1,100		29,161
Syniverse Holdings, Inc.*		570		8,983
Cincinnati Bell, Inc.*		2,480		5,704
Total Telecommunication Services				43,848
Total Common Stocks (Cost $8,324,155)				6,600,454
WARRANTS 0.0%
CONSUMER DISCRETIONARY 0.0%
Krispy Kreme Doughnuts, Inc.*
$12.21, 03/02/12		510		5
Total Consumer Discretionary				5
Total Warrants (Cost $—)				5
		FACE
		AMOUNT
REPURCHASE AGREEMENTS† 26.9%
Credit Suisse Group issued 03/31/09 at 0.15% due 04/01/09	$	2,910,414		2,910,414
Mizuho Financial Group, Inc. issued 03/31/09 at 0.16% due 04/01/09		1,073,577		1,073,577
Morgan Stanley issued 03/31/09 at 0.05% due 04/01/09		73,856		73,856
Total Repurchase Agreements (Cost $4,057,847)				4,057,847
Total Investments 70.6% (Cost $12,382,002)			$	10,658,306
Other Assets in Excess of Liabilities – 29.4%			$	4,438,896
Net Assets – 100.0%			$	15,097,202

			UNREALIZED
	CONTRACTS		Gain (Loss)
FUTURES CONTRACTS PURCHASED
June 2009 S&P MidCap 400 Index
Mini Futures Contracts (Aggregate Market Value of Contracts $6,748,450)		139	$	89,938
		UNITS
EQUITY INDEX SWAP AGREEMENTS
Goldman Sachs International April 2009 S&P MidCap 400 Index Swap, Terminating 04/06/09** (Notional Market Value
$2,995,055)		6,125	$	354,176
Credit Suisse Capital, LLC June 2009 S&P MidCap 400 Index Swap, Terminating 06/26/09** (Notional Market Value
$6,332,555)		12,950		(17,902	)
(Total Notional Market Value $9,327,610)			$	336,274

*	Non-Income Producing Security.
**	Total Return based on S&P MidCap 400 Index +/- financing at a variable rate.
†	Repurchase Agreements — See Note 6.

76    |    THE RYDEX SERIES FUNDS ANNUAL REPORT See Notes to Financial Statements.

SCHEDULE OF INVESTMENTS

March 31, 2009

     INVERSE MID-CAP STRATEGY FUND

	FACE		MARKET
	AMOUNT		VALUE
REPURCHASE AGREEMENTS† 89.8%
Credit Suisse Group issued 03/31/09 at 0.15% due 04/01/09	$	5,234,793	$	5,234,793
Mizuho Financial Group, Inc. issued 03/31/09 at 0.16% due 04/01/09		1,930,981		1,930,981
Morgan Stanley issued 03/31/09 at 0.05% due 04/01/09		132,839		132,839
Total Repurchase Agreements (Cost $7,298,613)				7,298,613
Total Investments 89.8% (Cost $7,298,613)			$	7,298,613
Other Assets in Excess of Liabilities – 10.2%			$	830,151
Net Assets – 100.0%			$	8,128,764
			Unrealized
		Contracts		Gain (Loss)
FUTURES CONTRACTS SOLD SHORT
June 2009 S&P MidCap 400 Index Mini Futures Contracts (Aggregate Market Value of Contracts $825,350)		17	$	(9,751	)
		UNITS
EQUITY INDEX SWAP AGREEMENTS
SOLD SHORT
Credit Suisse Capital, LLC June 2009 S&P MidCap 400 Index Swap, Terminating 06/26/09* (Notional Market Value
$4,089,869)		8,364	$	23,516
Goldman Sachs International April 2009 MidCap 400 Index Swap, Terminating 04/06/09* (Notional Market Value $3,199,648)		6,543		(347,272	)
(Total Notional Market Value $7,289,517)			$	(323,756	)

*	Total Return based on S&P MidCap 400 Index +/- financing at a variable rate.
†	Repurchase Agreements — See Note 6.

See Notes to Financial Statements. THE RYDEX SERIES FUNDS ANNUAL REPORT    |    77

SCHEDULE OF INVESTMENTS

March 31, 2009

      RUSSELL 2000^® 1.5x STRATEGY FUND

			MARKET
	SHARES		VALUE
COMMON STOCKS 63.2%
FINANCIALS 13.1%
Aspen Insurance Holdings Ltd.		1,530	$	34,364
Realty Income Corp.		1,822		34,290
Senior Housing Properties Trust		2,047		28,699
Validus Holdings Ltd.		1,155		27,350
ProAssurance Corp.*		568		26,480
FirstMerit Corp.		1,450		26,390
Knight Capital Group, Inc. — Class A*		1,685		24,837
Platinum Underwriters Holdings Ltd.		875		24,815
Highwoods Properties, Inc.		1,136		24,333
Westamerica Bancorporation		523		23,828
MFA Mortgage Investments,
Inc.		3,955		23,255
UMB Financial Corp.		546		23,200
Greenhill & Company, Inc.		314		23,189
First Niagara Financial Group, Inc.		2,125		23,162
NewAlliance Bancshares, Inc.		1,949		22,881
IPC Holdings Ltd.		843		22,795
National Retail Properties, Inc.		1,410		22,334
Montpelier Re Holdings Ltd.		1,670		21,643
Omega Healthcare Investors, Inc.		1,473		20,740
Stifel Financial Corp.*		460		19,923
Prosperity Bancshares, Inc.		700		19,145
Corporate Office Properties Trust SBI		750		18,622
Signature Bank*		630		17,785
First Financial Bankshares, Inc.		365		17,582
Max Capital Group Ltd.		1,010		17,412
Tanger Factory Outlet Centers, Inc.		555		17,127
Glacier Bancorp, Inc.		1,090		17,124
Home Properties, Inc.		555		17,011
Argo Group International Holdings Ltd.*		550		16,571
Trustmark Corp.		890		16,358
RLI Corp.		325		16,315
Washington Real Estate Investment Trust		942		16,297
Zenith National Insurance Corp.		670		16,154
Potlatch Corp.		695		16,117
Tower Group, Inc.		641		15,788
Redwood Trust, Inc.		1,025		15,734
Mid-America Apartment Communities, Inc.		510		15,723
Healthcare Realty Trust, Inc.		1,046		15,680
Odyssey Re Holdings Corp.		385		14,603
Hancock Holding Co.		460		14,389
Susquehanna Bancshares, Inc.		1,538		14,350
Equity Lifestyle Properties, Inc.		363		13,830

			MARKET
	SHARES		VALUE
PHH Corp.*		970	$	13,628
First Commonwealth Financial Corp.		1,513		13,420
Old National Bancorp		1,190		13,292
American Campus Communities, Inc.		758		13,159
Franklin Street Properties Corp., Inc.		1,046		12,866
IBERIABANK Corp.		278		12,771
Eastgroup Properties, Inc.		449		12,603
NBT Bancorp, Inc.		580		12,551
Capstead Mortgage Corp.		1,120		12,029
National Penn Bancshares, Inc.		1,429		11,861
FNB Corp.		1,540		11,812
Selective Insurance Group, Inc.		960		11,674
United Bankshares, Inc.		675		11,637
Interactive Brokers Group, Inc. — Class A*		720		11,614
Provident Financial Services, Inc.		1,065		11,513
Park National Corp.		200		11,150
Navigators Group, Inc.*		230		10,851
WesBanco, Inc.		475		10,844
SVB Financial Group*		540		10,805
Anworth Mortgage Asset Corp.		1,756		10,764
National Health Investors, Inc.		395		10,614
Investors Real Estate Trust		1,030		10,156
Seaboard Corp.		10		10,100
Delphi Financial Group, Inc. — Class A		740		9,960
Brookline Bancorp, Inc.		1,040		9,880
Pinnacle Financial Partners, Inc.*		415		9,840
Community Bank System, Inc.		585		9,799
BioMed Realty Trust, Inc.		1,443		9,769
DCT Industrial Trust, Inc.		3,075		9,748
Umpqua Holding Corp.		1,075		9,739
PS Business Parks, Inc.		264		9,728
KBW, Inc.*		474		9,646
Financial Federal Corp.		450		9,531
Ezcorp, Inc. — Class A*		800		9,256
Entertainment Properties Trust		586		9,235
Cathay General Bancorp		885		9,231
Hilltop Holdings, Inc.*		796		9,074
S&T Bancorp, Inc.		425		9,014
Apollo Investment Corp.		2,545		8,857
United Fire & Casualty Co.		400		8,784
Piper Jaffray Companies, Inc.*		340		8,769
Safety Insurance Group, Inc.		280		8,702
optionsXpress Holdings, Inc.		763		8,675
Chemical Financial Corp.		415		8,636
Pico Holdings, Inc.*		286		8,600
Infinity Property & Casualty Corp.		253		8,584
Sterling Bancshares, Inc.		1,305		8,535
Employers Holdings, Inc.		890		8,491
MB Financial Corp.		620		8,432

78    |    THE RYDEX SERIES FUNDS ANNUAL REPORT             See Notes to Financial Statements.

SCHEDULE OF INVESTMENTS (continued)

March 31, 2009

      RUSSELL 2000^® 1.5x STRATEGY FUND

			MARKET
	SHARES		VALUE
Extra Space Storage, Inc.		1,530	$	8,430
Ares Capital Corp.		1,740		8,422
Greenlight Capital Re Ltd. — Class A*		520		8,304
TrustCo Bank Corp.		1,355		8,157
Cash America International, Inc.		520		8,143
Chimera Investment Corp.		2,398		8,057
thinkorswim Group, Inc.*		930		8,035
City Holding Co.		294		8,023
Post Properties, Inc.		785		7,960
CVB Financial Corp.		1,190		7,890
Bank Mutual Corp.		868		7,864
Sovran Self Storage, Inc.		390		7,831
First Midwest Bancorp, Inc.		865		7,430
Harleysville Group, Inc.		230		7,316
Inland Real Estate Corp.		1,030		7,303
Ocwen Financial Corp.*		635		7,258
Portfolio Recovery Associates, Inc.*		270		7,247
First Financial Corp.		196		7,232
LTC Properties, Inc.		412		7,226
International Bancshares Corp.		915		7,137
Community Trust Bancorp, Inc.		264		7,062
eHealth, Inc.*		435		6,964
Equity One, Inc.		566		6,900
DiamondRock Hospitality Co.		1,700		6,817
SWS Group, Inc.		435		6,756
Hatteras Financial Corp.		270		6,747
Assured Guaranty Ltd.		996		6,743
Investors Bancorp, Inc.*		780		6,607
First Financial Bancorp		665		6,337
PacWest Bancorp		440		6,305
Simmons First National Corp.		247		6,222
Provident New York Bancorp		720		6,156
Universal Health Realty Income Trust		210		6,138
Acadia Realty Trust		575		6,101
Meadowbrook Insurance Group, Inc.		996		6,076
Stewart Information Services Corp.		310		6,045
TowneBank		370		6,042
Horace Mann Educators Corp.		715		5,985
SY Bancorp, Inc.		237		5,759
American Physicians Capital, Inc.		140		5,729
Beneficial Mutual Bancorp, Inc.*		575		5,664
PrivateBancorp, Inc.		390		5,639
Texas Capital Bancshares, Inc.*		500		5,630
Pacific Capital Bancorp		830		5,619
Getty Realty Corp.		306		5,615
Riskmetrics Group, Inc.*		388		5,545
CNA Surety Corp.*		298		5,495
First Bancorp Puerto Rico		1,280		5,453
First Cash Financial Services, Inc.*		360		5,371

			MARKET
	SHARES		VALUE
East-West Bancorp, Inc.		1,135	$	5,187
Northwest Bancorp, Inc.		306		5,171
Wintrust Financial Corp.		420		5,166
Medical Properties Trust Inc.		1,415		5,165
Amerisafe, Inc.*		335		5,132
Alexander’s, Inc.		30		5,111
Enstar Group*		90		5,069
Berkshire Hills Bancorp, Inc.		220		5,042
FPIC Insurance Group, Inc.*		136		5,036
Cousins Properties, Inc.		775		4,991
Bank of the Ozarks, Inc.		216		4,985
Urstadt Biddle Properties, Inc.		370		4,965
Westfield Financial, Inc.		560		4,928
World Acceptance Corp.*		285		4,873
Forestar Real Estate Group, Inc.*		635		4,858
Citizens, Inc.*		665		4,835
StellarOne Corp.		405		4,824
1st Source Corp.		264		4,765
Bancfirst Corp.		130		4,732
Renasant Corp.		374		4,697
Home Bancshares, Inc.		233		4,653
Banco Latinoamericano de Exportaciones SA		490		4,591
Harleysville National Corp.		755		4,575
National Western Life Insurance Co. — Class A		40		4,520
Prospect Capital Corp.		530		4,516
Danvers Bancorp, Inc.		323		4,461
State Auto Financial Corp.		246		4,330
Tompkins Financial Corp.		100		4,300
Suffolk Bancorp		165		4,288
Independent Bank Corp.		290		4,277
Flagstone Reinsurance Holdings		540		4,207
Triko Bancshares		251		4,202
LaSalle Hotel Properties		715		4,176
Lakeland Financial Corp.		216		4,145
Tejon Ranch Co.*		200		4,134
Provident Bankshares Corp.		585		4,124
SCBT Financial Corp.		197		4,117
Southside Bancshares, Inc.		217		4,101
First Merchants Corp.		380		4,100
MarketAxess Holdings, Inc.*		536		4,095
GAMCO Investors, Inc. — Class A		125		4,081
American Equity Investment Life Holding Co.		980		4,077
Ambac Financial Group, Inc.		5,151		4,018
Dollar Financial Corp.*		421		4,008
SeaBright Insurance Holdings, Inc.*		380		3,975
Univest Corp. of Pennsylvania		226		3,955
United Financial Bancorp, Inc.		300		3,927
Maiden Holdings Ltd.		876		3,916
Washington Trust Bancorp, Inc.		240		3,900

See Notes to Financial Statements. THE RYDEX SERIES FUNDS ANNUAL REPORT    |    79

SCHEDULE OF INVESTMENTS (continued)

March 31, 2009

      RUSSELL 2000^® 1.5x STRATEGY FUND

			MARKET
	SHARES		VALUE
Dime Community Bancshares		415	$	3,893
Northfield Bancorp, Inc.		350		3,825
Capital Southwest Corp.		50		3,819
GFI Group, Inc.		1,185		3,804
TradeStation Group, Inc.*		565		3,729
Compass Diversified Trust		415		3,702
Arrow Financial Corp.		156		3,696
First Mercury Financial Corp.*		255		3,682
ESSA Bancorp, Inc.		275		3,660
Abington Bancorp, Inc.		440		3,643
MVC Capital, Inc.		425		3,574
First Potomac Realty Trust		486		3,572
Saul Centers, Inc.		155		3,560
Citizens Banking Corp.*		2,259		3,501
First Busey Corp.		450		3,492
BankFinancial Corp.		350		3,489
LaBranche & Company, Inc.*		922		3,448
Boston Private Financial Holdings, Inc.		978		3,433
Sun Communities, Inc.		290		3,431
Lexington Realty Trust		1,432		3,408
Cohen & Steers, Inc.		303		3,381
Westwood Holdings Group, Inc.		85		3,323
Kearny Financial Corp.		316		3,312
Union Bankshares Corp.		238		3,296
Colonial BancGroup, Inc.		3,620		3,258
Sandy Spring Bancorp, Inc.		290		3,236
Donegal Group, Inc. — Class A		210		3,228
Colonial Properties Trust		845		3,219
Camden National Corp.		140		3,199
First Financial Northwest, Inc.		380		3,169
Sterling Bancorp		320		3,168
American Capital Agency Corp.		184		3,148
UCBH Holdings, Inc.		2,080		3,141
Oritani Financial Corp.*		223		3,122
Heartland Financial USA, Inc.		230		3,114
United Community Banks, Inc.		739		3,076
Presidential Life Corp.		390		3,038
First Bancorp		251		3,004
Citizens & Northern Corp.		161		2,977
Consolidated-Tomoka Land Co.		100		2,970
Hercules Technology Growth Capital, Inc.		586		2,930
Republic Bancorp, Inc.		156		2,913
MainSource Financial Group, Inc.		360		2,894
Central Pacific Financial Corp.		516		2,890
Lakeland Bancorp, Inc.		355		2,851
Crawford & Co. — Class B*		421		2,829
Evercore Partners, Inc. — Class A		180		2,781
Parkway Properties, Inc.		270		2,781
Baldwind & Lyons, Inc. — Class B		145		2,743
Nelnet, Inc. — Class A*		305		2,696

			MARKET
	SHARES		VALUE
Amtrust Financial Services, Inc.		280	$	2,674
Peapack Gladstone Financial Corp.		145		2,614
Radian Group, Inc.		1,435		2,612
Sunstone Hotel Investors, Inc.		958		2,520
Kansas City Life Insurance Co.		70		2,509
WSFS Financial Corp.		110		2,460
Credit Acceptance Corp.*		114		2,450
Shore Bancshares, Inc.		146		2,445
Cardinal Financial Corp.		424		2,434
Capital City Bank Group, Inc.		210		2,407
ViewPoint Financial Group		200		2,406
Ashford Hospitality Trust, Inc.		1,560		2,402
Phoenix Companies, Inc.		2,045		2,393
Southwest Bancorp, Inc.		255		2,392
Gladstone Capital Corp.		382		2,391
First Bancorp, Inc.		150		2,379
PMA Capital Corp.*		566		2,360
Monmouth Real Estate Investment Corp. — Class A		350		2,313
NorthStar Realty Finance Corp.		995		2,308
West Bancorporation, Inc.		306		2,280
Peoples Bancorp, Inc.		175		2,271
Flushing Financial Corp.		375		2,257
Mission West Properties		350		2,240
Pennsylvania Real Estate Investment Trust		628		2,229
National Financial Partners Corp.		695		2,224
Agree Realty Corp.		140		2,197
Pacific Continental Corp.		186		2,165
American Safety Insurance Holdings Ltd.*		186		2,141
Life Partners Holdings, Inc.		125		2,132
Oriental Financial Group		425		2,074
Columbia Banking Systems, Inc.		317		2,029
Green Bankshares, Inc.		230		2,024
EMC Insurance Group, Inc.		96		2,023
Bryn Mawr Bank Corp.		120		2,022
Smithtown Bancorp, Inc.		175		1,974
State Bancorp, Inc.		254		1,956
Enterprise Financial Services Corp.		200		1,952
Penson Worldwide Company, Inc.*		303		1,948
First Community Bancshares, Inc.		166		1,937
BancTrust Financial Group, Inc.		305		1,931
First Industrial Realty Trust, Inc.		786		1,926
Sterling Savings Bank		930		1,925
NGP Capital Resources Co.		386		1,918
Clifton Savings Bancorp, Inc.		190		1,900
Medallion Financial Corp.		256		1,897
Roma Financial Corp.		146		1,891
National Interstate Corp.		110		1,860

80    |    THE RYDEX SERIES FUNDS ANNUAL REPORT             See Notes to Financial Statements.

SCHEDULE OF INVESTMENTS (continued)

March 31, 2009

      RUSSELL 2000^® 1.5x STRATEGY FUND

			MARKET
	SHARES		VALUE
Ames National Corp.		106	$	1,812
Wilshire Bancorp, Inc.		350		1,806
U-Store-It Trust		885		1,788
Western Alliance Bancorp, Inc.*		392		1,788
CoBiz Financial, Inc.		340		1,785
Ramco-Gershenson Properties Trust		276		1,780
Education Realty Trust, Inc.		510		1,780
MCG Capital Corp.		1,355		1,734
Calamos Asset Management, Inc. — Class A		360		1,732
Farmers Capital Bank Corp.		110		1,724
Centerstate Banks of Florida, Inc.		155		1,707
Guaranty Financial Group, Inc.*		1,607		1,687
Harris & Harris Group, Inc.*		455		1,683
Kayne Anderson Energy Development Co.		180		1,681
South Financial Group, Inc.		1,510		1,661
Pennsylvania Commerce Bancorp, Inc.*		90		1,656
Oceanfirst Financial Corp.		161		1,645
Guaranty Bancorp*		938		1,642
Meridian Interstate Bancorp, Inc.*		194		1,633
Hersha Hospitality Trust		850		1,615
First Marblehead Corp.*		1,235		1,593
First Financial Holdings, Inc.		207		1,584
CapLease, Inc.		800		1,576
Yadkin Valley Financial Corp.		210		1,565
Old Second Bancorp, Inc.		240		1,524
Financial Institutions, Inc.		200		1,524
FelCor Lodging Trust, Inc.		1,120		1,523
FBR Capital Markets Corp.*		458		1,507
Avatar Holdings Inc.*		100		1,498
Broadpoint Securities Group, Inc.*		453		1,495
NASB Financial, Inc.		60		1,495
Associated Estates Realty Corp.		263		1,494
Gladstone Investment Corp.		390		1,490
Premierwest Bancorp		362		1,456
First South Bancorp, Inc.		136		1,444
PennantPark Investment Corp.		380		1,425
Fifth Street Finance Corp.		184		1,424
DuPont Fabros Technology, Inc.		205		1,410
Asset Acceptance Capital Corp.*		264		1,402
Epoch Holding Corp.		203		1,395
Winthrop Realty Trust		200		1,382
Diamond Hill Investment Group, Inc.*		35		1,376
RAIT Financial Trust		1,110		1,354
Sun Bancorp, Inc.*		260		1,349
Sanders Morris Harris Group Inc.		346		1,349

			MARKET
	SHARES		VALUE
United America Indemnity Ltd. — Class A*		330	$	1,327
BGC Partners, Inc. — Class A		598		1,322
Rockville Financial, Inc.		145		1,320
Care Investment Trust, Inc.		240		1,310
Advance America Cash Advance Centers, Inc.		750		1,268
Sierra Bancorp		130		1,265
Thomas Weisel Partners Group, Inc.*		350		1,253
Cedar Shopping Centers, Inc.		690		1,201
Nara Bancorp, Inc.		400		1,176
Resource Capital Corp.		380		1,155
Ameris Bancorp		240		1,130
Cogdell Spencer, Inc.		220		1,122
US Global Investors, Inc. — Class A		230		1,120
Encore Capital Group, Inc.*		244		1,105
United Security Bancshares		146		1,075
Capitol Bancorp, Ltd.		253		1,050
Fox Chase Bancorp, Inc.*		110		1,040
Kite Realty Group Trust		417		1,022
Ladenburg Thalmann Financial Services, Inc.*		1,921		1,018
Home Federal Bancorp, Inc.		116		1,013
NewStar Financial, Inc.*		430		998
First Place Financial Corp.		296		995
Heritage Commerce Corp.		186		977
NYMAGIC, Inc.		80		976
FBL Financial Group, Inc. — Class A		232		963
BlackRock Kelso Capital Corp.		226		947
Glimcher Realty Trust		675		945
Encore Bancshares, Inc.*		106		940
FCStone Group, Inc.*		410		935
Frontier Financial Corp.		841		925
Strategic Hotels & Resorts, Inc.		1,340		925
Kohlberg Capital Corp.		300		918
The PMI Group, Inc.		1,460		905
Hanmi Financial Corp.		670		871
City Bank		244		805
Flagstar Bancorp, Inc.*		1,070		803
Seacoast Banking Corporation of Florida		260		788
Banner Corp.		260		757
First Acceptance Corp.*		304		736
Hallmark Financial Services, Inc.*		106		735
Gramercy Capital Corp.		750		728
CompuCredit Corp.*		290		711
Resource America, Inc. — Class A		175		698
Integra Bank Corp.		365		690
Patriot Capital Funding, Inc.		372		681
Stratus Properties, Inc.*		110		666

See Notes to Financial Statements. THE RYDEX SERIES FUNDS ANNUAL REPORT    |    81

SCHEDULE OF INVESTMENTS (continued)

March 31, 2009

      RUSSELL 2000^® 1.5x STRATEGY FUND

			MARKET
	SHARES		VALUE
International Assets Holding Corp.*		65	$	662
Brooklyn Federal Bancorp, Inc.		60		662
Virtus Investment Partners, Inc.*		101		658
Cascade Bancorp.		400		652
Primus Guaranty Ltd.*		410		644
Maui Land & Pineapple Company, Inc.*		75		637
Santander BanCorp		80		630
West Coast Bancorp		278		617
Newcastle Investment Corp.		945		614
Ampal American Israel — Class A*		350		599
United Community Financial Corp.		482		583
Independence Holding Co.		116		581
Amcore Financial, Inc.		360		576
Friedman Billings Ramsey Group, Inc. — Class A*		2,646		529
Thomas Properties Group, Inc.		425		502
Maguire Properties, Inc.*		685		493
One Liberty Properties, Inc.		136		479
Advanta Corp.		688		454
Anchor BanCorp Wisconsin, Inc.		336		454
Federal Agricultural Mortgage Corp.		155		415
Cardtronics, Inc.*		230		407
Midwest Banc Holdings, Inc.		400		404
Grubb & Ellis Co.		620		391
W Holding Company, Inc.		40		364
Anthracite Capital, Inc.		1,046		356
Capital Trust, Inc. — Class A		294		323
Waterstone Financial, Inc.*		120		245
Pzena Investment Management, Inc. — Class A		100		191
Corus Bankshares, Inc.*		683		184
Doral Financial Corp.*		100		180
Arbor Realty Trust, Inc.		246		177
Meruelo Maddux Properties, Inc.*		765		56
FX Real Estate and Entertainment, Inc.*		185		30
Total Financials				2,321,414
INFORMATION TECHNOLOGY 11.6%
Sybase, Inc.*		1,420		43,012
Micros Systems, Inc.*		1,460		27,375
Macrovision Solutions Corp.*		1,475		26,240
PMC — Sierra, Inc.*		3,921		25,016
Solera Holdings, Inc.*		981		24,309
Polycom, Inc.*		1,565		24,085
Skyworks Solutions, Inc.*		2,916		23,503
3Com Corp.*		7,222		22,316
Jack Henry & Associates, Inc.		1,335		21,787
VistaPrint Ltd.*		785		21,580

			MARKET
	SHARES		VALUE
Informatica Corp.*		1,585	$	21,017
InterDigital, Inc.*		810		20,914
Parametric Technology Corp.*		2,070		20,659
Perot Systems Corp. — Class A*		1,550		19,964
Digital River, Inc.*		661		19,711
CACI International, Inc. — Class A*		540		19,705
TIBCO Software, Inc.*		3,136		18,408
Cybersource Corp.*		1,235		18,290
Blackboard, Inc.*		546		17,330
j2 Global Communications, Inc.*		786		17,206
Anixter International, Inc.*		540		17,107
Microsemi Corp.*		1,470		17,052
Palm, Inc.*		1,915		16,507
ADTRAN, Inc.		1,008		16,340
Arris Group, Inc.*		2,201		16,221
Synaptics, Inc.*		600		16,056
Formfactor, Inc.*		878		15,822
Tekelec*		1,170		15,479
Atheros Communications, Inc.*		1,055		15,466
Quest Software, Inc.*		1,180		14,962
Mantech International Corp. — Class A*		355		14,874
Semtech Corp.*		1,110		14,818
Concur Technologies, Inc.*		771		14,795
Omniture, Inc.*		1,120		14,773
Quality Systems, Inc.		305		13,801
Benchmark Electronics, Inc.*		1,210		13,552
Net 1 UEPS Technologies, Inc.*		880		13,385
Ariba, Inc.*		1,530		13,357
ValueClick, Inc.*		1,550		13,190
Riverbed Technology, Inc.*		1,005		13,145
MKS Instruments, Inc.*		887		13,012
EarthLink, Inc.*		1,970		12,943
TiVo, Inc.*		1,825		12,848
Progress Software Corp.*		735		12,760
Wright Express Corp.*		700		12,754
MAXIMUS, Inc.		316		12,596
Infinera Corp.*		1,660		12,284
Fair Isaac Corp.		855		12,030
Cymer, Inc.*		535		11,909
Gartner, Inc. — Class A*		1,062		11,693
Tessera Technologies, Inc.*		865		11,565
Take-Two Interactive Software, Inc.		1,380		11,523
ACI Worldwide, Inc.*		613		11,494
Intermec, Inc.*		1,095		11,388
EPIQ Systems, Inc.*		625		11,269
Euronet Worldwide, Inc.*		851		11,114
SRA International, Inc. — Class A*		753		11,069
Harmonic, Inc.*		1,685		10,952
Hittite Microwave Corp.*		350		10,920
Plantronics, Inc.		875		10,561

82    |    THE RYDEX SERIES FUNDS ANNUAL REPORT             See Notes to Financial Statements.

SCHEDULE OF INVESTMENTS (continued)

March 31, 2009

     RUSSELL 2000^® 1.5x STRATEGY FUND

			MARKET
	SHARES		VALUE
AsiaInfo Holdings, Inc.*		620	$	10,447
Comtech Telecommunications Corp.*		421		10,428
FEI Co.*		646		9,968
Advent Software, Inc.*		298		9,926
Tyler Technologies, Inc.*		675		9,875
Plexus Corp.*		710		9,812
Cabot Microelectronics Corp.*		405		9,732
Avocent Corp.*		800		9,712
Websense, Inc.*		806		9,672
ViaSat, Inc.*		450		9,369
DealerTrack Holdings, Inc.*		712		9,327
Electronics for Imaging, Inc.*		950		9,310
Cognex Corp.		697		9,305
Blackbaud, Inc.		800		9,288
SPSS, Inc.*		323		9,183
Sycamore Networks, Inc.*		3,431		9,161
CSG Systems International, Inc.*		630		8,996
Lawson Software, Inc.*		2,115		8,989
ATMI, Inc.*		580		8,949
Cogent, Inc.*		736		8,758
Scansource, Inc.*		466		8,658
Power Integrations, Inc.		500		8,600
MercadoLibre, Inc.*		460		8,533
Netlogic Microsystems, Inc.*		310		8,519
Rofin-Sinar Technologies, Inc.*		528		8,511
Commvault Systems, Inc.*		770		8,447
Starent Networks Corp.*		528		8,348
VeriFone Holdings, Inc.*		1,225		8,330
Acxiom Corp.		1,095		8,103
Zoran Corp.*		916		8,061
Wind River Systems, Inc.*		1,220		7,808
DTS, Inc. — Class A*		321		7,723
Emulex Corp.*		1,510		7,595
Netgear, Inc.*		630		7,591
Manhattan Associates, Inc.*		438		7,586
Data Domain, Inc.*		589		7,404
Monolithic Power Systems, Inc.*		474		7,347
Standard Microsystems Corp.*		395		7,347
Ultimate Software Group, Inc.*		425		7,335
Coherent, Inc.*		420		7,245
Mentor Graphics Corp.*		1,630		7,237
Neutral Tandem, Inc.*		294		7,235
Black Box Corp.		305		7,201
Blue Coat Systems, Inc.*		594		7,134
Teletech Holdings, Inc.*		652		7,100
Sapient Corp.*		1,575		7,040
MTS Systems Corp.		308		7,007
L-1 Identity Solutions, Inc.*		1,288		6,582
Triquint Semiconductor, Inc.*		2,571		6,350
Checkpoint Systems, Inc.*		705		6,324
Park Electrochemical Corp.		365		6,307
RF Micro Devices, Inc.*		4,715		6,271
Cavium Networks, Inc.*		538		6,209

			MARKET
	SHARES		VALUE
OmniVision Technologies, Inc.*		915	$	6,149
United Online, Inc.		1,375		6,132
DG FastChannel, Inc.*		323		6,063
Rogers Corp.*		320		6,042
SYNNEX Corp.*		306		6,019
Sigma Designs, Inc.*		475		5,909
Art Technology Group, Inc.*		2,311		5,893
Sonus Networks, Inc.*		3,655		5,738
Micrel, Inc.		815		5,738
Bankrate, Inc.*		228		5,689
Applied Micro Circuits Corp.*		1,160		5,638
Forrester Research, Inc.*		267		5,490
TeleCommunication Systems, Inc. — Class A*		598		5,484
Diodes, Inc.*		516		5,475
GSI Commerce, Inc.*		415		5,436
Taleo Corp.*		458		5,414
MicroStrategy, Inc. — Class A*		156		5,334
JDA Software Group, Inc.*		460		5,313
Amkor Technology, Inc.*		1,960		5,253
Brooks Automation, Inc.*		1,136		5,237
Adaptec, Inc.*		2,165		5,196
Ultratech, Inc.*		405		5,058
Constant Contact, Inc.*		358		5,008
Avid Technology, Inc.*		540		4,936
EMS Technologies, Inc.*		280		4,889
Netezza Corp.*		700		4,760
Syntel, Inc.		231		4,754
Universal Display Corp.*		516		4,732
Pegasystems, Inc.		253		4,698
Supertex, Inc.*		200		4,620
Actel Corp.*		452		4,574
MSC.Software Corp.*		811		4,574
Synchronoss Technologies, Inc.*		373		4,573
TTM Technologies, Inc.*		770		4,466
Loral Space & Communications, Inc.*		207		4,422
Cirrus Logic, Inc.*		1,160		4,362
OSI SYSTEMS INC*		283		4,319
Echelon Corp.*		533		4,312
S1 Corp.*		837		4,311
Advanced Energy Industries, Inc.*		570		4,292
Littelfuse, Inc.*		390		4,286
SonicWALL, Inc.*		955		4,259
Exar Corp.*		665		4,150
The Knot, Inc.*		506		4,149
SAVVIS, Inc.*		670		4,147
Imation Corp.		540		4,131
STEC, Inc.*		550		4,053
Epicor Software Corp.*		1,055		4,020
Faro Technologies, Inc.*		298		4,005
Ixia*		760		3,929
comScore, Inc.*		320		3,869

See Notes to Financial Statements. THE RYDEX SERIES FUNDS ANNUAL REPORT    |    83

SCHEDULE OF INVESTMENTS (continued)

March 31, 2009

      RUSSELL 2000^® 1.5x STRATEGY FUND

			MARKET
	SHARES		VALUE
BigBand Networks, Inc.*		586	$	3,838
Brightpoint, Inc.*		890		3,809
Veeco Instruments, Inc.*		568		3,789
Vocus, Inc.*		285		3,788
Daktronics, Inc.		575		3,766
Netscout Systems, Inc.*		526		3,766
Cass Information Systems, Inc.		116		3,762
Volterra Semiconductor Corp.*		445		3,756
RightNow Technologies, Inc.*		495		3,747
NIC, Inc.		710		3,692
THQ, Inc.*		1,200		3,648
TNS, Inc.*		440		3,599
RealNetworks, Inc.*		1,542		3,593
Electro Rent Corp.		370		3,567
Digi International, Inc.*		456		3,498
IXYS Corp.		421		3,393
ShoreTel, Inc.*		778		3,353
Move, Inc.*		2,300		3,335
Actuate Corp.*		1,085		3,320
SuccessFactors, Inc.*		435		3,319
DemandTec, Inc.*		370		3,238
LoopNet, Inc.*		530		3,222
3PAR, Inc.*		490		3,214
Switch & Data Facilities Company, Inc.*		362		3,175
Silicon Image, Inc.*		1,320		3,168
Novatel Wireless, Inc.*		560		3,147
InfoSpace, Inc.*		605		3,146
Seachange International, Inc.*		545		3,117
Finisar Corp.*		7,076		3,113
Perficient, Inc.*		570		3,078
Stratasys, Inc.*		370		3,060
NCI, Inc.*		116		3,016
Cohu, Inc.		412		2,966
Ciber, Inc.*		1,076		2,937
Aruba Networks, Inc.*		935		2,936
Advanced Analogic Technologies, Inc.*		815		2,934
Sanmina-SCI Corp.*		9,528		2,906
Vignette Corp.*		435		2,906
Cogo Group, Inc.*		434		2,899
Electro Scientific Industries, Inc.*		488		2,889
Anaren, Inc.*		264		2,888
Symmetricom, Inc.*		825		2,888
Heartland Payment Systems, Inc.		436		2,882
Smith Micro Software, Inc.*		550		2,877
Newport Corp.*		650		2,873
Kopin Corp.*		1,235		2,865
IPG Photonics Corp.*		340		2,863
Lattice Semiconductor Corp.*		2,070		2,857
Pericom Semiconductor Corp.*		390		2,851
Oplink Communications, Inc.*		370		2,849
Kulicke & Soffa Industries, Inc.*		1,082		2,835

			MARKET
	SHARES		VALUE
Internet Capital Group, Inc.*		688	$	2,773
Vasco Data Security International*		480		2,770
Acme Packet, Inc.*		454		2,756
Bel Fuse, Inc. — Class B		205		2,755
Ebix, Inc.*		110		2,734
Global Cash Access Holdings, Inc.*		715		2,731
Compellent Technologies, Inc.*		247		2,680
Comverge, Inc.*		385		2,676
Symyx Technologies, Inc.*		598		2,661
Ceva, Inc.*		360		2,621
Sourcefire, Inc.*		360		2,621
Insight Enterprises, Inc.*		840		2,570
Bottomline Technologies, Inc.*		390		2,566
Integral Systems, Inc.*		296		2,546
Terremark Worldwide, Inc.*		945		2,542
Multi-Fineline Electronix, Inc.*		150		2,526
SiRF Technology Holdings, Inc.*		1,090		2,507
Quantum Corp.*		3,690		2,472
Airvana, Inc.*		420		2,457
infoGROUP, Inc.*		589		2,450
Radisys Corp.*		403		2,442
Methode Electronics, Inc. — Class A		680		2,434
Internap Network Services Corp.*		895		2,408
Extreme Networks, Inc.*		1,580		2,402
DivX, Inc.*		476		2,394
OpenTV Corp.*		1,560		2,356
Anadigics, Inc.*		1,115		2,308
Silicon Storage Technology, Inc.*		1,397		2,305
MIPS Technology, Inc.*		785		2,300
Internet Brands, Inc. — Class A*		390		2,289
Maxwell Technologies, Inc.*		325		2,259
i2 Technologies, Inc.*		282		2,228
Rackspace Hosting*		295		2,210
Rimage Corp.*		165		2,203
Mercury Computer Systems, Inc.*		398		2,201
Online Resources Corp.*		520		2,189
Radiant Systems, Inc.*		490		2,161
NVE Corp.*		75		2,161
CTS Corp.		598		2,159
ModusLink Global Solutions, Inc.*		830		2,150
Rackable Systems, Inc.*		525		2,132
Kenexa Corp. — Class A*		395		2,129
ExlService Holdings, Inc.*		246		2,121
Globecomm Systems, Inc.*		360		2,084
American Software, Inc. — Class A		395		2,082
Cray, Inc.*		589		2,062
Super Micro Computer, Inc.*		418		2,057

84    |    THE RYDEX SERIES FUNDS ANNUAL REPORT             See Notes to Financial Statements.

SCHEDULE OF INVESTMENTS (continued)

March 31, 2009

      RUSSELL 2000^® 1.5x STRATEGY FUND

			MARKET
	SHARES		VALUE
Double-Take Software, Inc.*		300	$	2,028
Ness Technologies, Inc.*		685		2,021
Intevac, Inc.*		387		2,016
Opnet Technologies, Inc.*		230		1,994
Interactive Intelligence, Inc.*		217		1,966
China Security & Surveillance Technology, Inc.*		510		1,958
Keynote Systems, Inc.*		245		1,943
Liquidity Services Inc.*		260		1,817
Harris Stratex Networks, Inc. — Class A*		460		1,771
Entegris, Inc.*		2,050		1,763
DSP Group, Inc.*		408		1,763
Microtune, Inc.*		966		1,758
Agilysys, Inc.		408		1,754
Limelight Networks Inc.*		520		1,742
Gevity HR, Inc.		440		1,738
Techwell, Inc.*		274		1,729
Rudolph Technologies, Inc.*		550		1,667
Entrust, Inc.*		1,100		1,661
Web.com Group, Inc.*		490		1,627
Chordiant Software, Inc.*		535		1,621
FalconStor Software, Inc.*		675		1,613
Trident Microsystems, Inc.*		1,090		1,591
SupportSoft, Inc.*		825		1,584
Callidus Software, Inc.*		541		1,569
CPI International, Inc.*		165		1,551
Utstarcom, Inc.*		1,980		1,544
ArcSight, Inc.*		120		1,532
Hughes Communications, Inc.*		126		1,516
Hackett Group, Inc.*		740		1,495
Renaissance Learning, Inc.		165		1,480
Immersion Corp.*		504		1,477
PC-Tel, Inc.		340		1,462
Marchex, Inc.		425		1,462
NetSuite, Inc.*		126		1,419
Powerwave Technologies, Inc.*		2,361		1,402
Technitrol, Inc.		733		1,253
China Information Security Technology, Inc.*		395		1,248
iGate Corp.		385		1,247
Zygo Corp., Inc.*		270		1,239
Rubicon Technology, Inc.*		231		1,227
Safeguard Scientifics, Inc.*		2,180		1,199
Unica Corp.*		247		1,193
PLX Technology, Inc.*		510		1,107
Digimarc Corp.*		113		1,098
Semitool, Inc.*		395		1,098
Hutchinson Technology, Inc.*		419		1,089
Smart Modular Technologies WWH, Inc.*		786		1,085
Measurement Specialties, Inc.*		263		1,076
PROS Holdings, Inc.*		226		1,051
Presstek, Inc.*		490		1,014

			MARKET
	SHARES		VALUE
Monotype Imaging Holdings, Inc.*		270	$	1,010
Gerber Scientific, Inc.*		416		994
Emcore Corp.*		1,320		990
ICx Technologies, Inc.*		244		988
Deltek, Inc.*		225		974
Isilon Systems, Inc.*		438		964
Virtusa Corp.*		150		930
Hypercom Corp.*		955		917
PC Mall, Inc.*		200		908
MRV Communications, Inc.*		2,821		875
Phoenix Technologies, Ltd.*		520		842
Orbcomm, Inc.*		565		831
Opnext, Inc.*		476		814
Dice Holdings, Inc.*		283		787
Bookham, Inc.*		1,805		776
Mattson Technology, Inc.*		885		744
Photronics, Inc.*		750		720
Axcelis Technologies, Inc.*		1,835		697
Parkervision, Inc.*		400		676
AuthenTec, Inc.*		446		660
Guidance Software, Inc.*		161		657
TheStreet.com, Inc.		331		652
LTX-Credence Corp.*		2,250		630
TechTarget, Inc.*		247		593
Magma Design Automation, Inc.*		790		593
PC Connection, Inc.*		155		589
QAD, Inc.		220		557
Sonic Solutions, Inc.*		390		468
Avanex Corp.*		239		418
Ultra Clean Holdings*		350		375
Spansion, Inc.*		2,290		297
Asyst Technologies, Inc.*		885		248
Nextwave Wireless, Inc.*		865		138
Elixir Gaming Technologies, Inc.*		1,210		133
Entropic Communications, Inc.*		156		115
HSW International, Inc.*		495		82
Total Information Technology				2,055,881
HEALTH CARE 10.0%
Myriad Genetics, Inc.*		1,600		72,752
Alexion Pharmaceuticals, Inc.*		1,450		54,607
OSI Pharmaceuticals, Inc.*		1,032		39,484
Immucor, Inc.*		1,255		31,563
Onyx Pharmaceuticals, Inc.*		1,002		28,607
Magellan Health Services, Inc.*		730		26,601
Allscripts Healthcare Solutions, Inc.		2,578		26,528
AMERIGROUP Corp.*		961		26,466
United Therapeutics Corp.*		395		26,106
Haemonetics Corp.*		456		25,116
Thoratec Corp.*		976		25,073
Steris Corp.		1,050		24,444
Owens & Minor, Inc.		736		24,384

See Notes to Financial Statements. THE RYDEX SERIES FUNDS ANNUAL REPORT    |    85

SCHEDULE OF INVESTMENTS (continued)

March 31, 2009

      RUSSELL 2000^® 1.5x STRATEGY FUND

			MARKET
	SHARES		VALUE
Isis Pharmaceuticals, Inc.*		1,623	$	24,361
Masimo Corp.*		825		23,908
Bio-Rad Laboratories, Inc. — Class A*		338		22,274
CV Therapeutics, Inc.*		1,090		21,669
Alkermes, Inc.*		1,710		20,742
Valeant Pharmaceuticals
International*		1,139		20,263
Auxilium Pharmaceuticals, Inc.*		726		20,125
NuVasive, Inc.*		635		19,926
West Pharmaceutical Services, Inc.		575		18,866
Cubist Pharmaceuticals, Inc.*		1,010		16,524
PSS World Medical, Inc.*		1,110		15,928
Theravance, Inc.*		926		15,742
Psychiatric Solutions, Inc.*		990		15,573
Sequenom, Inc.*		1,093		15,542
Dionex Corp.*		325		15,356
Regeneron Pharmaceuticals, Inc.*		1,106		15,329
PDL BioPharma, Inc.		2,139		15,144
Chemed Corp.		389		15,132
American Medical Systems Holdings, Inc.*		1,310		14,606
HMS Holdings Corp.*		435		14,311
Centene Corp.*		780		14,056
Healthsouth Corp.*		1,575		13,986
Luminex Corp.*		740		13,409
Meridian Bioscience, Inc.		720		13,046
Acorda Therapeutics, Inc.*		655		12,976
Amedisys, Inc.*		465		12,783
Varian, Inc.*		525		12,463
Medicis Pharmaceutical Corp. — Class A		1,005		12,432
Volcano Corp.*		845		12,295
Alnylam Pharmaceuticals, Inc.*		635		12,090
Medarex, Inc.*		2,293		11,763
Catalyst Health Solutions, Inc.*		589		11,674
Seattle Genetics, Inc.*		1,155		11,388
Celera Corp.*		1,440		10,987
AMAG Pharmaceuticals, Inc.*		296		10,884
Martek Biosciences Corp.		586		10,695
InterMune, Inc.*		615		10,111
Medicines Co.*		925		10,027
Eclipsys Corp.*		982		9,957
Parexel International Corp.*		1,020		9,925
Phase Forward, Inc.*		765		9,784
Invacare Corp.		580		9,297
XenoPort, Inc.*		480		9,293
PharMerica Corp.*		550		9,152
athenahealth, Inc.*		370		8,921
Nektar Therapeutics*		1,655		8,920
ev3, Inc.*		1,255		8,911
AmSurg Corp.*		556		8,813
Align Technology, Inc.*		1,110		8,802

			MARKET
	SHARES		VALUE
Wright Medical Group, Inc.*		668	$	8,704
Exelixis, Inc.*		1,885		8,671
Cougar Biotechnology, Inc.*		264		8,501
Medivation, Inc.*		460		8,404
Salix Pharmaceuticals Ltd.*		861		8,180
Landauer, Inc.		156		7,906
Integra LifeSciences Holdings Corp.*		319		7,889
Greatbatch, Inc.*		395		7,643
Analogic Corp.		237		7,589
Kindred Healthcare, Inc.*		500		7,475
Healthspring, Inc.*		885		7,407
Viropharma, Inc.*		1,404		7,371
Conmed Corp.*		510		7,349
Hanger Orthopedic Group, Inc.*		547		7,248
Dendreon Corp.*		1,673		7,027
Cepheid, Inc.*		1,016		7,010
Gentiva Health Services, Inc.*		450		6,840
Geron Corp.*		1,515		6,772
ICU Medical, Inc.*		210		6,745
Abaxis, Inc.*		390		6,724
Sun Healthcare Group, Inc.*		766		6,465
ImmunoGen, Inc.*		905		6,426
Res-Care, Inc.*		440		6,406
Conceptus, Inc.*		536		6,298
Merit Medical Systems, Inc.*		500		6,105
Optimer Pharmaceuticals, Inc.*		460		6,067
Genomic Health, Inc.*		247		6,022
Universal American Financial Corp.*		705		5,971
Halozyme Therapeutics, Inc.*		1,090		5,951
Par Pharmaceutical Companies, Inc.*		615		5,824
National Healthcare Corp.		145		5,822
LHC Group, Inc.*		260		5,793
Allos Therapeutics, Inc.*		936		5,784
Orthofix International NV*		310		5,741
RehabCare Group, Inc.*		322		5,616
Cyberonics, Inc.*		422		5,600
Odyssey HealthCare, Inc.*		575		5,578
Healthways, Inc.*		630		5,525
Neogen Corp.*		253		5,523
Bruker BioSciences Corp.*		886		5,458
SonoSite, Inc.*		303		5,418
Ligand Pharmaceuticals, Inc. — Class B*		1,800		5,364
Vivus, Inc.*		1,240		5,357
Computer Programs & Systems, Inc.		160		5,323
Momenta Pharmaceuticals, Inc.*		480		5,285
Zoll Medical Corp.*		368		5,284
MWI Veterinary Supply, Inc.*		180		5,126
Emergency Medical Services Corp. — Class A*		161		5,054
SurModics, Inc.*		276		5,037

86    |    THE RYDEX SERIES FUNDS ANNUAL REPORT             See Notes to Financial Statements.

SCHEDULE OF INVESTMENTS (continued)

March 31, 2009

      RUSSELL 2000^® 1.5x STRATEGY FUND

			MARKET
	SHARES		VALUE
Enzon Pharmaceuticals, Inc.*		800	$	4,856
Savient Pharmaceuticals, Inc.*		973		4,816
Vnus Medical Technologies, Inc.*		226		4,807
inVentiv Health, Inc.*		589		4,806
Angiodynamics, Inc.*		424		4,766
Cypress Bioscience, Inc.*		670		4,764
Kendle International, Inc.*		226		4,737
Quidel Corp.*		506		4,665
MedAssets, Inc.*		325		4,631
Molina Healthcare, Inc.*		240		4,565
Questcor Pharmaceuticals, Inc.*		895		4,403
Bio-Reference Labs, Inc.*		210		4,391
Sirona Dental Systems, Inc.*		300		4,296
Omnicell, Inc.*		546		4,270
Noven Pharmaceuticals, Inc.*		440		4,171
Natus Medical, Inc.*		485		4,127
eResearch Technology, Inc.*		778		4,092
Affymetrix, Inc.*		1,250		4,088
Facet Biotech Corp.*		430		4,085
Symmetry Medical, Inc.*		635		4,007
Arena Pharmaceuticals, Inc.*		1,328		3,997
Rigel Pharmaceuticals, Inc.*		650		3,991
Genoptix Inc.*		145		3,956
Albany Molecular Research, Inc.*		415		3,913
IRIS International, Inc.*		330		3,805
Pharmasset, Inc.*		373		3,659
Osiris Therapeutics, Inc.*		264		3,643
Cross Country Healthcare, Inc.*		550		3,603
NPS Pharmaceuticals, Inc.*		850		3,570
GTx, Inc.*		325		3,439
Nabi Biopharmaceuticals*		916		3,389
Somanetics Corp.*		220		3,340
Cadence Pharmaceuticals, Inc.*		355		3,330
Durect Corp.*		1,465		3,267
Air Methods Corp.*		192		3,247
Accuray, Inc.*		645		3,244
Emergent Biosolutions, Inc.*		240		3,242
Incyte Corp.*		1,370		3,206
Orthovita, Inc.*		1,190		3,189
MannKind Corp.*		915		3,184
Progenics Pharmaceuticals, Inc.*		476		3,137
Alliance Imaging, Inc.*		460		3,128
AMN Healthcare Services, Inc.*		605		3,086
Inspire Pharmaceuticals, Inc.*		755		3,065
Affymax, Inc.*		190		3,061
Maxygen Inc.*		450		3,060
Triple-S Management Corp. — Class B*		246		3,031
Arqule, Inc.*		730		3,022
Abiomed, Inc.*		600		2,940
DexCom, Inc.*		706		2,923
Synovis Life Technologies, Inc.*		210		2,906
Vital Images, Inc.*		256		2,885
Pozen, Inc.*		460		2,815
Sangamo Biosciences, Inc.*		655		2,771

			MARKET
	SHARES		VALUE
Cantel Medical Corp.*		215	$	2,767
Kensey Nash Corp.*		130		2,765
RTI Biologics, Inc.*		958		2,730
Zymogenetics, Inc.*		670		2,673
Assisted Living Concepts, Inc. — Class A*		195		2,644
Repligen Corp.*		546		2,615
Pain Therapeutics, Inc.*		613		2,575
CryoLife, Inc.*		495		2,564
Corvel Corp.*		126		2,548
Ardea Biosciences, Inc.*		247		2,542
Dyax Corp.*		1,003		2,518
Skilled Healthcare Group, Inc. — Class A*		305		2,504
Neurocrine Biosciences, Inc.*		690		2,450
Idera Pharmaceuticals, Inc.*		368		2,381
Palomar Medical Technologies, Inc.*		325		2,360
Enzo Biochem, Inc.*		575		2,312
Emeritus Corp.*		350		2,296
Metabolix, Inc.*		336		2,292
Ensign Group, Inc.		145		2,242
Array Biopharma, Inc.*		845		2,231
Clinical Data, Inc.*		203		2,192
Stereotaxis, Inc.*		546		2,179
Depomed, Inc.*		905		2,136
OraSure Technologies, Inc.*		840		2,125
Discovery Laboratories, Inc.*		1,730		2,111
Almost Family, Inc.*		110		2,100
Medical Action Industries, Inc.*		247		2,048
Medcath Corp.*		280		2,036
Human Genome Sciences, Inc.*		2,429		2,016
US Physical Therapy, Inc.*		205		1,984
CardioNet, Inc.*		70		1,964
TomoTherapy, Inc.*		725		1,921
Accelrys, Inc.*		480		1,910
IPC The Hospitalist Company, Inc.*		100		1,903
Atrion Corp.		20		1,765
Obagi Medical Products, Inc.*		320		1,722
Celldex Therapeutics, Inc.*		264		1,719
BioMimetic Therapeutics, Inc.*		241		1,711
Adolor Corp.*		833		1,699
Micrus Endovascular Corp.*		270		1,612
Lexicon Genetics, Inc.*		1,435		1,564
Providence Service Corp.*		222		1,527
Exactech, Inc.*		130		1,494
Ariad Pharmaceuticals, Inc.*		1,250		1,488
Spectranetics Corp.*		570		1,442
I-Flow Corp.*		385		1,405
Insulet Corp.*		330		1,353
TranS1, Inc.*		222		1,352
Idenix Pharmaceuticals, Inc.*		435		1,340
BMP Sunstone Corp.*		410		1,324
Javelin Pharmaceuticals, Inc.*		880		1,267

See Notes to Financial Statements. THE RYDEX SERIES FUNDS ANNUAL REPORT    |    87

SCHEDULE OF INVESTMENTS (continued)

March 31, 2009

      RUSSELL 2000^® 1.5x STRATEGY FUND

			MARKET
	SHARES		VALUE
XOMA Ltd.*		2,370	$	1,256
Hansen Medical, Inc.*		306		1,230
NxStage Medical, Inc.*		470		1,213
Columbia Labs, Inc.*		835		1,202
Cambrex Corp.*		519		1,183
Nanosphere, Inc.*		231		1,148
Immunomedics, Inc.*		1,170		1,123
Molecular Insight Pharmaceuticals, Inc.*		315		1,121
Cytokinetics, Inc.*		626		1,064
Novavax, Inc.*		1,040		1,061
Nighthawk Radiology Holdings, Inc.*		390		1,053
Life Sciences Research, Inc.*		146		1,047
Cardiac Science Corp.*		346		1,041
Cynosure, Inc.*		165		1,005
Chindex International, Inc.*		200		994
Biodel, Inc.*		190		990
KV Pharmaceutical Co.*		594		980
Capital Senior Living Corp.*		396		966
Sucampo Pharmaceuticals, Inc. — Class A*		156		956
Orexigen Therapeutics, Inc.*		360		940
Alexza Pharmaceuticals, Inc.*		425		939
Acura Pharmaceuticals, Inc.*		140		899
Targacept, Inc.*		329		882
Akorn, Inc.*		1,016		874
MiddleBrook Pharmaceuticals, Inc.*		635		864
Caliper Life Sciences, Inc.*		861		852
Opko Health, Inc.*		860		843
Virtual Radiologic Corp.*		120		839
Alphatec Holdings, Inc.*		445		788
Caraco Pharm Labs, Inc.*		212		746
Amicus Therapeutics, Inc.*		75		685
Cytori Therapeutics, Inc.*		390		671
Synta Pharmaceuticals Corp.*		303		648
National Research Corp.		25		621
Five Star Quality Care, Inc.*		570		593
Acadia Pharmaceuticals, Inc.*		589		560
Sunrise Senior Living, Inc.*		808		549
RadNet, Inc.*		380		471
BioForm Medical, Inc.*		385		470
Cell Genesys, Inc.*		1,535		445
Vision-Sciences, Inc.*		303		388
Protalix BioTherapeutics, Inc.*		185		370
Rexahn Pharmaceuticals, Inc.*		518		363
MAP Pharmaceuticals, Inc.*		140		294
Marshall Edwards, Inc.*		370		148
Jazz Pharmaceuticals, Inc.*		134		119
Total Health Care				1,771,869
INDUSTRIALS 9.6%
Watson Wyatt & Company Holdings		765		37,768
Waste Connections, Inc.*		1,425		36,622

			MARKET
	SHARES		VALUE
Wabtec Corp.		868	$	22,898
Curtiss-Wright Corp.		800		22,440
Clarcor, Inc.		886		22,318
Granite Construction, Inc.		589		22,076
Tetra Tech, Inc.*		1,055		21,501
EMCOR Group, Inc.*		1,220		20,947
TransDigm Group, Inc.*		600		19,704
ESCO Technologies, Inc.*		465		17,995
Moog, Inc. — Class A*		760		17,381
Regal-Beloit Corp.		566		17,342
Nordson Corp.		603		17,143
Teledyne Technologies, Inc.*		638		17,022
Clean Harbors, Inc.*		350		16,800
Kaydon Corp.		613		16,753
Acuity Brands, Inc.		720		16,229
Brady Corp. — Class A		898		15,832
Huron Consulting Group, Inc.*		370		15,699
Knight Transportation, Inc.		1,030		15,615
Heartland Express, Inc.		996		14,751
Briggs & Stratton Corp.		885		14,602
Mueller Industries, Inc.		661		14,337
Watsco, Inc.		405		13,782
Otter Tail Power Co.		625		13,781
GrafTech International Ltd.*		2,140		13,182
SkyWest, Inc.		1,046		13,012
American Superconductor Corp.*		750		12,982
Rollins, Inc.		750		12,862
Applied Industrial Technologies, Inc.		758		12,787
ABM Industries, Inc.		778		12,759
Orbital Sciences Corp.*		1,045		12,425
Resources Connection, Inc.*		820		12,366
Simpson Manufacturing Company, Inc.		670		12,073
Baldor Electric Co.		830		12,027
Geo Group, Inc.*		905		11,991
Woodward Governor Co.		1,046		11,694
Genesee & Wyoming, Inc. — Class A*		550		11,687
Werner Enterprises, Inc.		758		11,461
Healthcare Services Group		765		11,452
Alaska Air Group, Inc.*		650		11,420
Old Dominion Freight Line, Inc.*		486		11,416
United Stationers, Inc.*		405		11,372
JetBlue Airways Corp.*		3,111		11,355
Navigant Consulting, Inc.*		865		11,306
Hexcel Corp.*		1,715		11,268
HUB Group, Inc. — Class A*		660		11,220
Triumph Group, Inc.		290		11,078
Perini Corp.*		896		11,021
Mine Safety Appliances Co.		546		10,931
Allegiant Travel Co.*		240		10,910
Esterline Technologies Corp.*		530		10,701
Herman Miller, Inc.		1,000		10,660
CoStar Group, Inc.*		350		10,587

88    |    THE RYDEX SERIES FUNDS ANNUAL REPORT             See Notes to Financial Statements.

SCHEDULE OF INVESTMENTS (continued)

March 31, 2009

      RUSSELL 2000^® 1.5x STRATEGY FUND

			MARKET
	SHARES		VALUE
Energy Conversion Devices, Inc.*		796	$	10,563
Beacon Roofing Supply, Inc.*		785		10,511
Belden, Inc.		832		10,408
Middleby Corp.*		319		10,345
Actuant Corp. — Class A		996		10,289
Insituform Technologies, Inc. — Class A*		656		10,260
Watts Industries, Inc. — Class A		518		10,132
UAL Corp.*		2,255		10,102
MPS Group, Inc.*		1,690		10,055
SYKES Enterprises, Inc.*		589		9,795
AirTran Holdings, Inc.*		2,101		9,560
Heico Corp.		390		9,477
Mastec, Inc.*		766		9,261
Barnes Group, Inc.		861		9,204
A.O. Smith Corp.		360		9,065
American Science & Engineering, Inc.		160		8,928
Deluxe Corp.		920		8,860
AAR Corp.*		698		8,753
Franklin Electric Company, Inc.		395		8,741
Ceradyne, Inc.*		470		8,521
Astec Industries, Inc.*		322		8,446
Forward Air Corp.		520		8,440
Administaff, Inc.		390		8,241
Ameron International Corp.		156		8,215
Universal Forest Products, Inc.		304		8,089
HNI Corp.		776		8,070
Robbins & Myers, Inc.		500		7,585
Korn/Ferry International, Inc.*		831		7,529
Arkansas Best Corp.		395		7,513
Badger Meter, Inc.		260		7,511
II-VI, Inc.*		436		7,490
Comfort Systems USA, Inc.		715		7,415
Mobile Mini, Inc.*		620		7,142
Griffon Corp.*		946		7,095
Tredegar Corp.		430		7,022
Encore Wire Corp.		325		6,965
Cubic Corp.		270		6,839
Mueller Water Products, Inc. — Class A		2,070		6,831
Circor International, Inc.		303		6,824
Mcgrath Rentcorp		420		6,619
TrueBlue, Inc.*		796		6,567
GeoEye, Inc.*		320		6,320
G & K Services, Inc. — Class A		330		6,240
Exponent, Inc.*		243		6,155
Axsys Technologies, Inc.*		146		6,138
EnPro Industries, Inc.*		355		6,070
Raven Industries, Inc.		290		6,026
School Specialty, Inc.*		335		5,893
EnerSys*		486		5,890
RBC Bearings, Inc.*		385		5,883
DynCorp International, Inc. — Class A*		440		5,865

			MARKET
	SHARES		VALUE
Force Protection, Inc.*		1,215	$	5,832
AZZ, Inc.*		217		5,727
Apogee Enterprises, Inc.		516		5,666
Kaman Corp. — Class A		445		5,580
CBIZ, Inc.*		800		5,576
Lindsay Manufacturing Co.		205		5,535
Heidrick & Struggles International, Inc.		308		5,464
Layne Christensen Co.*		340		5,464
Evergreen Solar, Inc.*		2,565		5,463
Amerco, Inc.*		161		5,398
Rush Enterprises, Inc. — Class A*		598		5,334
Knoll, Inc.		868		5,321
Genco Shipping & Trading Ltd.		425		5,245
Viad Corp.		370		5,224
Taser International, Inc.*		1,115		5,218
US Airways Group, Inc.*		2,045		5,174
EnergySolutions, Inc.		590		5,104
Marten Transport Ltd.*		270		5,044
Orion Marine Group, Inc.*		385		5,044
Quanex Building Products Corp.		661		5,024
Gorman-Rupp Co.		251		4,970
Advisory Board Co.*		293		4,858
Interline Brands, Inc.*		575		4,847
Albany International Corp. — Class A		528		4,778
Powell Industries, Inc.*		130		4,590
YRC Worldwide, Inc.*		1,020		4,580
Applied Signal Technology, Inc.		225		4,552
Federal Signal Corp.		850		4,480
RSC Holdings, Inc.*		850		4,471
LB Foster Co. — Class A*		180		4,469
Northwest Pipe Co.*		156		4,441
Argon ST, Inc.*		230		4,363
AAON, Inc.		237		4,294
ATC Technology Corp.*		380		4,256
Dycom Industries, Inc.*		715		4,140
Atlas Air Worldwide Holdings Company, Inc.*		236		4,095
Republic Airways Holdings, Inc.*		630		4,082
Ennis Inc.		456		4,040
American Ecology Corp.		285		3,973
Chart Industries, Inc.*		495		3,901
Aircastle Ltd.		835		3,883
Kforce, Inc.*		550		3,867
Team, Inc.*		328		3,844
Stanley, Inc.*		151		3,834
CRA International, Inc.*		203		3,833
Aerovironment, Inc.*		180		3,762
Kelly Services, Inc. — Class A		466		3,751
Sterling Construction Company, Inc.*		210		3,746
Kimball International, Inc. — Class B		568		3,726
Ener1, Inc.*		720		3,722

See Notes to Financial Statements. THE RYDEX SERIES FUNDS ANNUAL REPORT    |    89

SCHEDULE OF INVESTMENTS (continued)

March 31, 2009

      RUSSELL 2000^® 1.5x STRATEGY FUND

			MARKET
	SHARES		VALUE
Freightcar America, Inc.		205	$	3,594
Fuel Tech, Inc.*		340		3,556
GT Solar International, Inc.*		535		3,552
Eagle Bulk Shipping Inc.		830		3,528
Michael Baker Corp.*		130		3,380
American Woodmark Corp.		190		3,336
Cornell Companies, Inc.*		200		3,274
Odyssey Marine Exploration, Inc.*		931		3,156
Blount International, Inc.*		675		3,119
Titan International, Inc.		606		3,048
NACCO Industries, Inc. — Class A		112		3,044
Sun Hydraulics Corp.		207		3,024
Columbus McKinnon Corp. — Class A*		342		2,982
FuelCell Energy, Inc.*		1,230		2,952
Duff & Phelps Corp. — Class A*		186		2,930
Interface, Inc. — Class A		960		2,870
Hawaiian Holdings, Inc.*		769		2,868
Saia, Inc.*		239		2,856
Courier Corp.		187		2,837
Tennant Co.		300		2,811
Ducommun, Inc.		190		2,763
Cenveo, Inc.*		850		2,763
ICF International, Inc.*		120		2,756
Cascade Corp.		156		2,750
Pike Electric Corp.*		295		2,729
Colfax Corp.*		393		2,700
Herley Industries, Inc.*		225		2,691
Kadant, Inc.*		230		2,650
Aceto Corp.		440		2,622
Houston Wire & Cable Co.		324		2,511
K-Tron International, Inc.*		40		2,427
M&F Worldwide Corp.*		207		2,424
Innerworkings, Inc.*		565		2,413
First Advantage Corp. — Class A*		175		2,412
EnerNOC, Inc.*		165		2,399
Multi-Color Corp.		190		2,324
Consolidated Graphics, Inc.*		180		2,290
Gibraltar Industries, Inc.		484		2,284
American Reprographics Co.*		645		2,283
Met-Pro Corp.		274		2,233
Capstone Turbine Corp.*		3,075		2,214
Standard Parking Corp.*		135		2,214
Pacer International, Inc.		620		2,170
CDI Corp.		222		2,158
Gencorp, Inc.*		1,016		2,154
Great Lakes Dredge & Dock Corp. Co.		710		2,137
Celadon Group, Inc.*		385		2,137
Insteel Industries, Inc.		305		2,123
Ladish Company, Inc.*		290		2,105
3D Systems Corp.*		317		2,089
Dynamic Materials Corp.		225		2,061
Trex Company, Inc.*		270		2,060

			MARKET
	SHARES		VALUE
Valence Technology, Inc.*		955	$	2,034
Furmanite Corp.*		651		2,025
American Commercial Lines, Inc.*		631		2,000
Standex International Corp.		215		1,978
Dynamex, Inc.*		150		1,962
Energy Recovery, Inc.*		255		1,938
China Fire & Security Group, Inc.*		246		1,934
Spherion Corp.*		923		1,920
Preformed Line Products Co.		50		1,882
Patriot Transportation Holding, Inc.*		30		1,870
VSE Corp.		70		1,869
H&E Equipment Services, Inc.*		285		1,867
TAL International Group, Inc.		255		1,867
LaBarge, Inc.*		222		1,858
Waste Services Inc.*		432		1,849
Altra Holdings, Inc.*		470		1,824
PMFG, Inc.*		230		1,812
Ampco-Pittsburgh Corp.		135		1,790
Plug Power, Inc.*		2,040		1,775
LSI Industries, Inc.		335		1,732
On Assignment, Inc.*		638		1,729
Vicor Corp.		350		1,712
Advanced Battery Technologies, Inc.*		790		1,691
International Shipholding Corp.		85		1,672
Ultralife Batteries, Inc.*		215		1,662
Horizon Lines, Inc. — Class A		540		1,636
Schawk, Inc.		270		1,631
Graham Corp.		180		1,615
Microvision, Inc.*		1,220		1,574
Bowne & Company, Inc.		479		1,538
Universal Truckload Services, Inc.		106		1,520
Volt Information Sciences, Inc.*		215		1,430
TBS International Ltd. — Class A*		190		1,397
DXP Enterprises, Inc.*		130		1,343
Tecumseh Products Company — Class A*		285		1,288
American Railcar Industries, Inc.		168		1,282
Integrated Electrical Services, Inc.*		136		1,240
Hill International, Inc.*		405		1,231
Fushi Copperweld, Inc.*		253		1,214
Standard Register Co.		260		1,191
Power-One, Inc.*		1,340		1,179
Alamo Group, Inc.		110		1,173
Hurco Companies, Inc.*		110		1,169
Titan Machinery, Inc.*		130		1,169
LECG Corp.*		458		1,163
Flanders Corp.*		285		1,151
Polypore International, Inc.*		280		1,126
Ultrapetrol Bahamas Ltd.*		414		1,118
Textainer Group Holdings Ltd.		165		1,114

90    |    THE RYDEX SERIES FUNDS ANNUAL REPORT             See Notes to Financial Statements.

SCHEDULE OF INVESTMENTS (continued)

March 31, 2009

      RUSSELL 2000^® 1.5x STRATEGY FUND

			MARKET
	SHARES		VALUE
LMI Aerospace, Inc.*		150	$	1,086
Flow International Corp.*		670		1,085
Greenbrier Companies, Inc.		290		1,061
Twin Disc, Inc.		150		1,038
PowerSecure International, Inc.*		296		1,012
Omega Flex, Inc.		60		967
China BAK Battery, Inc.*		565		966
ACCO Brands Corp.*		965		946
Lawson Products, Inc.		75		913
Lydall, Inc.*		300		891
Beacon Power Corp.*		1,735		815
ICT Group, Inc.*		146		813
Key Technology, Inc.*		90		792
Harbin Electric, Inc.*		125		769
NCI Building Systems, Inc.*		345		766
PRG-Schultz International, Inc.*		264		750
Metalico, Inc.*		424		721
Wabash National Corp.		550		677
Casella Waste Systems, Inc. — Class A*		395		675
Orion Energy Systems Inc.*		135		595
Builders FirstSource, Inc.*		290		586
COMSYS IT Partners, Inc.*		255		564
United Capital Corp.*		30		518
Ascent Solar Technologies, Inc.*		125		508
Thermadyne Holdings Corp.*		237		502
Hudson Highland Group, Inc.*		446		495
Sauer, Inc.		200		488
Park-Ohio Holdings Corp.*		140		456
Trimas Corp.*		260		455
Dollar Thrifty Automotive Group, Inc.*		385		447
Akeena Solar, Inc.*		368		412
Amrep Corp. PLC*		25		393
CAI International, Inc.*		127		359
NN, Inc.		280		353
Protection One, Inc.*		110		351
China Architectural Engineering, Inc.*		325		319
Coleman Cable Inc.*		136		290
Xerium Technologies, Inc.*		370		248
Medis Technologies Ltd.*		563		248
Commercial Vehicle Group, Inc.*		385		212
Total Industrials				1,706,735
CONSUMER DISCRETIONARY 7.7%
Wendy’s/Arby’s Group, Inc. - Class A		7,104		35,733
Aeropostale, Inc.*		1,200		31,872
Netflix, Inc.*		715		30,688
Corinthian Colleges, Inc.*		1,530		29,758
Jack in the Box, Inc.*		1,046		24,361
Marvel Entertainment, Inc.*		875		23,231
Rent-A-Center, Inc.*		1,195		23,147
Aaron Rents, Inc.		810		21,595
Tractor Supply Co.*		595		21,456

			MARKET
	SHARES		VALUE
The Warnaco Group, Inc.*		820	$	19,680
Carter’s, Inc.*		1,020		19,186
Tupperware Brands Corp.		1,110		18,859
Bally Technologies, Inc.*		980		18,052
Chico’s FAS, Inc.*		3,171		17,028
WMS Industries, Inc.*		790		16,519
Coinstar, Inc.*		503		16,478
Interactive Data Corp.		655		16,283
Matthews International Corp. — Class A		560		16,134
Men’s Wearhouse, Inc.		928		14,050
Wolverine World Wide, Inc.		885		13,788
Capella Education Co.*		256		13,568
Buckle, Inc.		405		12,932
Fossil, Inc.*		810		12,717
Ryland Group, Inc.		758		12,628
Polaris Industries, Inc.		589		12,628
Cheesecake Factory, Inc.*		1,073		12,286
Bob Evans Farms, Inc.		546		12,241
Deckers Outdoor Corp.*		226		11,987
Buffalo Wild Wings, Inc.*		324		11,852
Pool Corp.		861		11,537
Cracker Barrel Old Country Store, Inc.		400		11,456
Collective Brands, Inc.*		1,145		11,152
Regis Corp.		766		11,069
Sotheby’s		1,210		10,890
Gymboree Corp.*		508		10,846
Sonic Corp.*		1,076		10,782
Vail Resorts, Inc.*		526		10,746
Timberland Co. — Class A*		861		10,280
Dress Barn, Inc.*		806		9,906
J. Crew Group, Inc.*		745		9,819
National CineMedia, Inc.		745		9,819
Tempur-Pedic International, Inc.		1,340		9,782
P.F. Chang’s China Bistro, Inc.*		424		9,701
Under Armour, Inc.*		589		9,677
Hibbett Sports Inc.*		503		9,668
Sally Beauty Holdings, Inc.*		1,685		9,571
CEC Entertainment, Inc.*		360		9,317
Jos. A. Bank Clothiers, Inc.*		331		9,205
Iconix Brand Group, Inc.*		1,026		9,080
Cato Corp. — Class A		486		8,884
Children’s Place Retail Stores, Inc.*		405		8,865
Papa John’s International, Inc.*		385		8,805
HOT Topic, Inc.*		778		8,706
Callaway Golf Co.		1,190		8,544
American Public Education, Inc.*		203		8,538
Texas Roadhouse, Inc.*		887		8,453
Fred’s, Inc.		713		8,043
CKE Restaurants, Inc.		942		7,913
NutriSystem, Inc.		550		7,848
Monro Muffler Brake, Inc.		285		7,789
Life Time Fitness, Inc.*		618		7,762

See Notes to Financial Statements. THE RYDEX SERIES FUNDS ANNUAL REPORT    |    91

SCHEDULE OF INVESTMENTS (continued)

March 31, 2009

      RUSSELL 2000^® 1.5x STRATEGY FUND

			MARKET
	SHARES		VALUE
99 Cents Only Stores*		840	$	7,762
Pinnacle Entertainment, Inc.*		1,080		7,603
Helen of Troy Ltd.*		536		7,370
Arbitron, Inc.		490		7,355
Blue Nile, Inc.*		242		7,296
Jo-Ann Stores, Inc.*		445		7,271
PetMed Express, Inc.*		432		7,119
Unifirst Corp.		251		6,988
Stage Stores, Inc.		693		6,985
Steiner Leisure Ltd.*		280		6,835
Scholastic Corp.		433		6,525
Columbia Sportswear Co.		216		6,463
Genesco, Inc.*		340		6,402
Cabela’s, Inc. — Class A*		700		6,377
Meritage Homes Corp.*		550		6,281
Gaylord Entertainment Co.*		725		6,039
Jakks Pacific, Inc.*		489		6,039
Steven Madden, Ltd.*		315		5,916
Dillard’s, Inc. — Class A		1,016		5,791
Citi Trends, Inc.*		250		5,722
Ameristar Casinos, Inc.		450		5,661
Group 1 Automotive, Inc.		405		5,658
The Wet Seal, Inc. — Class A*		1,650		5,544
Brunswick Corp.		1,570		5,416
Peet’s Coffee & Tea, Inc.*		237		5,124
Cinemark Holdings, Inc.		540		5,071
Finish Line, Inc. — Class A		760		5,031
Churchill Downs, Inc.		165		4,960
Red Robin Gourmet Burgers, Inc.*		281		4,954
California Pizza Kitchen, Inc.*		377		4,931
Ethan Allen Interiors, Inc.		435		4,898
Superior Industries International, Inc.		412		4,882
Stewart Enterprises, Inc. — Class A		1,500		4,860
Universal Technical Institute, Inc.*		390		4,680
Bebe Stores, Inc.		685		4,569
Domino’s Pizza, Inc.*		685		4,487
Universal Electronics, Inc.*		246		4,453
World Wrestling Entertainment, Inc.		380		4,385
BJ’s Restaurants, Inc.*		314		4,368
National Presto Industries, Inc.		70		4,271
Cooper Tire & Rubber Co.		1,055		4,262
American Greetings Corp. — Class A		810		4,099
Pre-Paid Legal Services, Inc.*		140		4,064
Exide Technologies*		1,350		4,050
Smith & Wesson Holding Corp.*		670		4,033
K-Swiss, Inc. — Class A		460		3,928
Steak n Shake Co.*		516		3,906
Skechers U.S.A., Inc. — Class A*		575		3,835
CKX, Inc.*		935		3,833
Raser Technologies, Inc.*		905		3,792

			MARKET
	SHARES		VALUE
Maidenform Brands, Inc.*		398	$	3,646
Live Nation, Inc.*		1,360		3,631
True Religion Apparel, Inc.*		306		3,614
DineEquity, Inc.		304		3,605
Dolan Media Co.*		450		3,541
Harte-Hanks, Inc.		645		3,451
Zumiez, Inc.*		350		3,395
Weyco Group, Inc.		130		3,370
PEP Boys-Manny Moe & Jack		755		3,330
Haverty Furniture Companies, Inc.		316		3,327
Shutterfly, Inc.*		350		3,279
Volcom, Inc.*		332		3,220
Grand Canyon Education, Inc.*		184		3,176
hhgregg, Inc.*		215		3,042
Charlotte Russe Holding, Inc.*		373		3,040
Drew Industries, Inc.*		350		3,038
Marcus Corp.		356		3,026
Lululemon Athletica, Inc.*		345		2,988
Fuel Systems Solutions, Inc.*		220		2,966
Core-Mark Holding Company, Inc.*		161		2,933
Quiksilver, Inc.*		2,260		2,893
Blyth, Inc.		109		2,848
Denny’s Corp.*		1,700		2,839
Speedway Motorsports, Inc.		240		2,837
Charming Shoppes, Inc.*		2,025		2,835
Brown Shoe Company, Inc.		755		2,831
Mediacom Communications Corp.*		695		2,801
FGX International Holdings Ltd.*		240		2,789
Winnebago Industries, Inc.		523		2,777
Cavco Industries, Inc.*		116		2,738
Ambassadors Group, Inc.		336		2,728
Shuffle Master, Inc.*		945		2,712
Ruby Tuesday, Inc.*		926		2,704
Jackson Hewitt Tax Service, Inc.		503		2,626
Systemax, Inc.*		203		2,623
Christopher & Banks Corp.		625		2,556
Coldwater Creek, Inc.*		1,016		2,550
Overstock.com, Inc.*		276		2,525
RCN Corp.*		675		2,497
iRobot Corp.*		324		2,462
Conn’s, Inc.*		175		2,457
Asbury Automotive Group, Inc.		568		2,448
America’s Car Mart, Inc.*		180		2,446
Ulta Salon Cosmetics & Fragrance, Inc.*		360		2,383
Spartan Motors, Inc.		580		2,332
Stamps.com, Inc.*		240		2,328
Blockbuster, Inc. — Class A*		3,181		2,290
Big 5 Sporting Goods Corp.		385		2,260
CSS Industries, Inc.		130		2,210
Skyline Corp.		116		2,205
DSW, Inc.*		237		2,202
Movado Group, Inc.		280		2,111

92    |    THE RYDEX SERIES FUNDS ANNUAL REPORT See Notes to Financial Statements.

SCHEDULE OF INVESTMENTS (continued)

March 31, 2009

      RUSSELL 2000^® 1.5x STRATEGY FUND

			MARKET
	SHARES		VALUE
Cherokee, Inc.		135	$	2,106
Lumber Liquidators, Inc.*		161		2,053
Knology, Inc.*		495		2,039
AFC Enterprises, Inc.*		445		2,007
Pacific Sunwear of California, Inc.*		1,180		1,959
Midas, Inc.*		245		1,940
Luby’s, Inc.*		385		1,890
Dorman Products, Inc.*		200		1,866
Build-A-Bear Workshop, Inc.*		304		1,845
Outdoor Channel Holdings, Inc.*		263		1,794
Cox Radio Inc. — Class A*		432		1,771
CROCS, Inc.*		1,485		1,767
American Apparel, Inc.*		605		1,767
drugstore.com, Inc.*		1,500		1,755
M/I Homes, Inc.		247		1,727
Krispy Kreme Doughnuts, Inc.*		1,008		1,613
RC2 Corp.*		306		1,613
Standard-Pacific Corp.*		1,800		1,584
Oxford Industries, Inc.		256		1,580
Shoe Carnival, Inc.*		151		1,563
Talbots, Inc.		440		1,544
Amerigon, Inc.*		400		1,480
Isle of Capri Casinos, Inc.*		276		1,460
Rex Stores Corp.*		135		1,447
New York & Company, Inc.*		405		1,438
Modine Manufacturing Co.		575		1,437
Steinway Musical Instruments, Inc.*		120		1,436
K12 Inc.*		100		1,390
Lincoln Educational Services Corp.*		75		1,374
Morgans Hotel Group Co.*		440		1,368
Tenneco, Inc.*		838		1,366
Valassis Communications, Inc.*		845		1,327
G-III Apparel Group Ltd.*		240		1,325
Hooker Furniture Corp.		156		1,317
Learning Tree International, Inc.*		155		1,313
Stein Mart, Inc.*		450		1,300
Hovnanian Enterprises, Inc. — Class A*		831		1,296
Quantum Fuel Systems
Technologies Worldwide, Inc.*		1,480		1,184
Global Sources Ltd.*		304		1,181
Sealy Corp.*		790		1,177
La-Z-Boy, Inc.		920		1,150
Martha Stewart Omnimedia, Inc.*		450		1,121
Zale Corp.*		570		1,112
Primedia, Inc.		450		1,112
Great Wolf Resorts, Inc.*		476		1,109
Furniture Brands International, Inc.		745		1,095
American Axle & Manufacturing
Holdings, Inc.		825		1,089
Monarch Casino & Resort, Inc.*		210		1,084

			MARKET
	SHARES		VALUE
Landry’s Restaurants, Inc.		206	$	1,075
Princeton Review, Inc.*		242		1,053
Audiovox Corp. — Class A*		306		1,050
Gaiam, Inc.*		318		1,043
ArvinMeritor, Inc.		1,320		1,043
Fisher Communications, Inc.		106		1,035
Kenneth Cole Productions, Inc. — Class A		155		990
Belo Corp. — Class A		1,595		973
1-800-FLOWERS.com, Inc.*		468		969
O’Charleys, Inc.		319		960
Tween Brands, Inc.*		440		942
Wonder Auto Technology, Inc.*		260		931
Town Sports International Holdings, Inc.*		305		912
Pier 1 Imports, Inc.*		1,600		896
Sinclair Broadcast Group, Inc. — Class A		868		894
Lear Corp.*		1,145		859
Orbitz Worldwide, Inc.*		655		845
Leapfrog Enterprises, Inc.*		594		820
Dana Holding Corp.*		1,775		817
Retail Ventures, Inc.*		516		784
Fuqi International, Inc.*		165		776
Perry Ellis International, Inc.*		222		768
Media General, Inc.		400		768
Dover Downs Gaming & Entertainment, Inc.		250		768
Playboy Enterprises, Inc. — Class B*		380		749
Marine Products Corp.		176		746
Sonic Automotive, Inc.		464		742
Syms Corp.*		115		704
Beazer Homes USA, Inc.*		685		692
Borders Group, Inc.*		1,085		684
Tuesday Morning Corp.*		538		683
Champion Enterprises, Inc.*		1,390		667
Global Traffic Network, Inc.*		210		636
Lodgian, Inc.*		276		580
Journal Communications, Inc. — Class A		755		566
Cache, Inc.*		196		564
MarineMax, Inc.*		285		559
Stoneridge, Inc.*		260		549
Value Line, Inc.		20		547
Brookfield Homes Corp.		156		538
Lin TV Corp. — Class A*		480		538
Unifi, Inc.*		806		516
Rick’s Cabaret International, Inc.*		112		508
Entercom Communications Corp.		456		502
Dover Motorsports, Inc.		270		500
McClatchy Company — Class A		1,016		498
Cumulus Media, Inc. — Class A*		470		475

See Notes to Financial Statements. THE RYDEX SERIES FUNDS ANNUAL REPORT    |    93

SCHEDULE OF INVESTMENTS (continued)

March 31, 2009

      RUSSELL 2000^® 1.5x STRATEGY FUND

			MARKET
	SHARES		VALUE
Einstein Noah Restaurant Group, Inc.*		80	$	466
Ruth’s Chris Steak House*		360		436
Palm Harbor Homes, Inc.*		184		410
Bluegreen Corp.*		232		404
Bidz.com, Inc.*		100		402
Russ Berrie & Company, Inc.*		303		400
Crown Media Holdings, Inc. — Class A*		195		398
RHI Entertainment*		241		366
AH Belo Corp. — Class A		365		358
Six Flags, Inc.*		1,310		354
Hayes Lemmerz International, Inc.*		1,805		334
Casual Male Retail Group, Inc.*		670		328
Entravision Communications Corp. — Class A*		1,008		262
Nautilus, Inc.*		400		252
Gray Television, Inc.		765		245
Libbey, Inc.		264		243
Lee Enterprises, Inc.		805		225
Riviera Holdings Corp.*		180		184
Charter Communications,
Inc. — Class A*		7,316		152
Aristotle Corp.*		20		69
Total Consumer Discretionary				1,379,068
UTILITIES 2.9%
ITC Holdings Corp.		890		38,822
Piedmont Natural Gas Co.		1,320		34,175
Westar Energy, Inc.		1,880		32,956
WGL Holdings, Inc.		890		29,192
Nicor, Inc.		806		26,783
New Jersey Resources Corp.		748		25,417
Cleco Corp.		1,080		23,425
Northwest Natural Gas Co.		470		20,407
Portland General Electric Co.		1,115		19,613
IDACORP, Inc.		805		18,805
South Jersey Industries, Inc.		533		18,655
Unisource Energy Corp.		615		17,337
Southwest Gas Corp.		778		16,392
Laclede Group, Inc.		385		15,007
California Water Service Group		350		14,651
NorthWestern Corp.		635		13,640
CH Energy Group, Inc.		284		13,320
Allete, Inc.		486		12,971
Avista Corp.		936		12,898
PNM Resources, Inc.		1,545		12,762
Black Hills Corp.		690		12,344
Mge Energy, Inc.		390		12,234
El Paso Electric Co.*		795		11,202
American States Water Co.		308		11,187
UIL Holding Corp.		450		10,044
Empire District Electric Co.		601		8,678
Ormat Technologies, Inc.		316		8,677

			MARKET
	SHARES		VALUE
SJW Corp.		230	$	5,849
Central Vermont Public Service Corp.		210		3,633
Chesapeake Utilities Corp.		116		3,536
Middlesex Water Co.		230		3,312
Connecticut Water Service, Inc.		146		2,961
Consolidated Water Company, Inc.		256		2,778
Southwest Water Co.		440		1,892
Cadiz, Inc.*		210		1,676
US Geothermal, Inc.*		1,106		785
Synthesis Energy Systems, Inc.*		445		294
Total Utilities				518,310
ENERGY 2.6%
EXCO Resources, Inc.*		2,680		26,800
Concho Resources, Inc.*		985		25,206
Comstock Resources, Inc.*		815		24,287
Nordic American Tanker Shipping		683		20,012
Arena Resources, Inc.*		675		17,199
Dril-Quip, Inc.*		546		16,762
World Fuel Services Corp.		518		16,384
Bill Barrett Corp.*		655		14,567
CARBO Ceramics, Inc.		355		10,096
Lufkin Industries, Inc.		260		9,849
Gran Tierra Energy, Inc.*		3,910		9,814
USEC, Inc.*		1,985		9,528
GulfMark Offshore, Inc.*		395		9,425
Bristow Group, Inc.*		421		9,022
Contango Oil & Gas Co.*		230		9,016
Berry Petroleum Co. — Class A		765		8,384
Penn Virginia Corp.		745		8,180
Goodrich Petroleum Corp.*		395		7,647
Willbros Group, Inc.*		703		6,819
NATCO Group, Inc.*		360		6,815
Western Refining, Inc.		540		6,448
Hornbeck Offshore Services, Inc.*		405		6,172
General Maritime Corp.		871		6,097
James River Coal Co.*		486		5,997
Vaalco Energy, Inc.*		1,052		5,565
Atlas America, Inc.		615		5,381
Cal Dive International, Inc.*		791		5,355
McMoRan Exploration Co.*		1,080		5,076
Ship Finance International Ltd.		755		4,953
Basic Energy Services, Inc.*		735		4,755
Rosetta Resources, Inc.*		915		4,529
Knightsbridge Tankers Ltd.		310		4,510
Carrizo Oil & Gas, Inc.*		486		4,316
Newpark Resources, Inc.*		1,610		4,073
BPZ Resources, Inc.*		1,076		3,981
Swift Energy Co.*		535		3,905
Matrix Service Co.*		463		3,806
Parker Drilling Co.*		2,030		3,735
Cheniere Energy, Inc.*		865		3,685
International Coal Group, Inc.*		2,275		3,663
RPC, Inc.		523		3,467

94    |    THE RYDEX SERIES FUNDS ANNUAL REPORT See Notes to Financial Statements.

SCHEDULE OF INVESTMENTS (continued)

March 31, 2009

      RUSSELL 2000^® 1.5x STRATEGY FUND

			MARKET
	SHARES		VALUE
Evergreen Energy Inc.*		2,190	$	3,048
Petroleum Development Corp.*		256		3,023
Pioneer Drilling Co.*		885		2,903
Clayton Williams Energy, Inc.*		90		2,632
DHT Maritime, Inc.		685		2,630
Clean Energy Fuels Corp.*		430		2,619
Complete Production Services, Inc.*		850		2,618
ATP Oil & Gas Corp.*		500		2,565
Alon USA Energy, Inc.		185		2,535
T-3 Energy Services, Inc. — Class A*		215		2,533
Delek US Holdings, Inc.		241		2,497
ION Geophysical Corp.*		1,600		2,496
Bronco Drilling Company, Inc.*		466		2,451
PHI, Inc.*		240		2,395
Oilsands Quest, Inc.*		3,326		2,395
Teekay Tankers Ltd.		240		2,282
Panhandle Oil and Gas, Inc. — Class A		130		2,226
CVR Energy, Inc.*		400		2,216
ENGlobal Corp.*		484		2,197
Golar LNG Ltd.		630		2,161
FX Energy, Inc.*		715		1,988
Harvest Natural Resources, Inc.*		586		1,987
Natural Gas Services Group, Inc.*		220		1,980
GMX Resources, Inc.*		298		1,937
Petroquest Energy, Inc.*		780		1,872
Stone Energy Corp.*		560		1,865
Dawson Geophysical Co.*		136		1,836
Gulf Island Fabrication, Inc.		222		1,778
Endeavour International Corp.*		2,040		1,775
Rentech, Inc.*		2,965		1,631
Brigham Exploration Co.*		830		1,577
Superior Well Services, Inc.*		290		1,488
Northern Oil And Gas, Inc.*		380		1,368
Delta Petroleum Corp.*		1,110		1,332
Crosstex Energy, Inc.		715		1,173
Venoco, Inc.*		356		1,168
Westmoreland Coal Co.*		155		1,111
Gulfport Energy Corp.*		474		1,100
Sulphco, Inc.*		1,019		1,090
Bolt Technology Corp.*		145		1,031
Warren Resources, Inc.*		1,045		1,003
PrimeEnergy Corp.*		20		998
Allis-Chalmers Energy, Inc.*		500		965
Approach Resources, Inc.*		155		961
Parallel Petroleum Corp.*		743		951
Union Drilling, Inc.*		247		939
OYO Geospace Corp.*		70		914
Rex Energy Corp.*		303		870
Energy XXI Bermuda Ltd.		2,145		804
Abraxas Petroleum Corp.*		750		773
APCO Argentina, Inc.		70		771
Toreador Resources Corp.		295		740
Double Eagle Petroleum Co.*		140		724
Georesources, Inc.*		100		672

			MARKET
	SHARES		VALUE
Mitcham Industries, Inc.*		175	$	667
National Coal Corp.*		490		666
Gasco Energy, Inc.*		1,681		656
RAM Energy Resources, Inc.*		838		612
American Oil & Gas, Inc.*		655		504
Houston American Energy Corp.		264		491
GeoGlobal Resources, Inc.*		680		490
Trico Marine Services, Inc.*		230		483
Tri-Valley Corp.*		403		459
BMB Munai, Inc.*		720		418
Uranium Resources, Inc.*		875		411
Callon Petroleum Co.*		374		408
Cano Petroleum, Inc.*		850		366
Meridian Resource Corp.*		1,390		292
Geokinetics, Inc.*		85		278
Pacific Ethanol, Inc.*		790		261
TXCO Resources, Inc.*		616		254
GeoMet, Inc.*		328		190
Quest Resource Corp.*		485		152
GreenHunter Energy, Inc.*		70		133
Total Energy				467,066
CONSUMER STAPLES 2.6%
Ralcorp Holdings, Inc.*		1,006		54,203
Flowers Foods, Inc.		1,390		32,637
Casey’s General Stores, Inc.		908		24,207
Chattem, Inc.*		308		17,263
Ruddick Corp.		755		16,950
TreeHouse Foods, Inc.*		560		16,122
Lancaster Colony Corp.		360		14,933
Green Mountain Coffee Roasters, Inc.*		308		14,784
United Natural Foods, Inc.*		765		14,512
Universal Corp.		450		13,464
Sanderson Farms, Inc.		356		13,368
Fresh Del Monte Produce, Inc.*		748		12,282
Hain Celestial Group, Inc.*		725		10,324
Lance, Inc.		476		9,910
Tootsie Roll Industries, Inc.		437		9,482
Nu Skin Enterprises, Inc.		885		9,284
Winn-Dixie Stores, Inc.*		970		9,273
Central Garden and Pet Co. - Class A*		1,155		8,686
J&J Snack Foods Corp.		246		8,509
Diamond Foods, Inc.		280		7,820
Vector Group Ltd.		589		7,651
Pantry, Inc.*		400		7,044
WD-40 Co.		290		7,001
Smart Balance, Inc.*		1,115		6,735
Nash Finch Co.		228		6,405
Weis Markets, Inc.		203		6,301
Alliance One International, Inc.*		1,595		6,125
Spartan Stores, Inc.		385		5,933
Darling International, Inc.*		1,460		5,417
Chiquita Brands International, Inc.*		778		5,158
Cal-Maine Foods, Inc.		230		5,150
Star Scientific, Inc.*		1,175		5,029

See Notes to Financial Statements. THE RYDEX SERIES FUNDS ANNUAL REPORT    |    95

SCHEDULE OF INVESTMENTS (continued)

March 31, 2009

      RUSSELL 2000^® 1.5x STRATEGY FUND

			MARKET
	SHARES		VALUE
Pricesmart, Inc.		263	$	4,737
Andersons, Inc.		317		4,482
American Oriental Bioengineering, Inc.*		1,110		4,285
Coca-Cola Bottling Company
Consolidated		70		3,643
Village Super Market		110		3,429
Great Atlantic & Pacific Tea Company, Inc*		625		3,319
Ingles Markets, Inc. — Class A		215		3,210
Boston Beer Company, Inc. — Class A*		150		3,129
Prestige Brands Holdings, Inc. — Class A*		601		3,113
Zhongpin, Inc.*		330		2,930
USANA Health Sciences, Inc.*		120		2,683
Elizabeth Arden, Inc.*		436		2,542
Arden Group, Inc.		20		2,337
Calavo Growers, Inc.		186		2,236
American Dairy, Inc.*		126		2,131
Farmer Brothers Co.		116		2,065
Griffin Land & Nurseries, Inc.		60		1,982
Susser Holdings Corp.*		140		1,882
B&G Foods, Inc.		360		1,872
National Beverage Corp.*		190		1,742
China Sky One Medical, Inc.*		140		1,610
Synutra International, Inc.*		186		1,527
Imperial Sugar Company, Inc.		205		1,474
Inter Parfums, Inc.		247		1,440
Alico, Inc.		60		1,440
Mannatech, Inc.		277		922
HQ Sustainable Maritime Industries, Inc.*		120		918
Omega Protein Corp.*		330		871
AgFeed Industries, Inc.*		358		809
Schiff Nutrition International, Inc.*		158		711
Lifeway Foods, Inc.*		85		663
Reddy Ice Holdings, Inc.		324		476
Total Consumer Staples				462,572
MATERIALS 2.3%
Compass Minerals International, Inc.		580		32,695
Royal Gold, Inc.		520		24,315
Silgan Holdings, Inc.		450		23,643
Sensient Technologies Corp.		850		19,975
Olin Corp.		1,340		19,122
Rock-Tenn Co. — Class A		675		18,259
Calgon Carbon Corp.*		956		13,547
H.B. Fuller Co.		865		11,245
Minerals Technologies, Inc.		340		10,897
NewMarket Corp.		238		10,543
Texas Industries, Inc.		415		10,375
OM Group, Inc.*		535		10,336
Worthington Industries, Inc.		1,145		9,973
Coeur d’Alene Mines Corp.*		9,877		9,284
Arch Chemicals, Inc.		449		8,513
Balchem Corp.		329		8,268

			MARKET
	SHARES		VALUE
W.R. Grace & Co.*		1,290	$	8,153
Deltic Timber Corp.		194		7,646
Amcol International Corp.		460		6,826
A. Schulman, Inc.		484		6,558
Kaiser Aluminum Corp.		281		6,497
Hecla Mining Co.*		3,003		6,006
Rockwood Holdings, Inc.*		750		5,955
Koppers Holdings, Inc.		370		5,372
Schweitzer-Mauduit International, Inc.		282		5,206
Glatfelter		805		5,023
Westlake Chemical Corp.		338		4,945
Brush Engineered Materials, Inc.*		356		4,938
Allied Nevada Gold Corp.*		806		4,715
RTI International Metals, Inc.*		400		4,680
American Vanguard Corp.		340		4,386
Wausau Paper Corp.		785		4,129
Louisiana-Pacific Corp.		1,851		4,128
Zep, Inc.		378		3,867
PolyOne Corp.*		1,665		3,846
Haynes International, Inc.*		205		3,653
Horsehead Holding Corp.*		630		3,465
Zoltek Companies, Inc.*		490		3,337
Solutia, Inc.*		1,685		3,151
LSB Industries, Inc.*		314		3,105
Myers Industries, Inc.		500		3,070
Stepan Co.		105		2,866
GenTek, Inc.*		161		2,816
A.M. Castle & Co.		290		2,587
Stillwater Mining Co.*		695		2,572
Olympic Steel, Inc.		156		2,367
Headwaters, Inc.*		750		2,355
Landec Corp.*		405		2,256
Graphic Packaging Holding Co.*		2,591		2,254
Innophos Holdings, Inc.		190		2,143
ShengdaTech, Inc.*		541		1,677
Clearwater Paper Corp.*		203		1,630
AEP Industries, Inc.*		100		1,527
Innospec, Inc.		405		1,527
Buckeye Technologies, Inc.*		700		1,491
Quaker Chemical Corp.		185		1,469
Spartech Corp.		550		1,353
U S Concrete, Inc.*		658		1,316
Universal Stainless & Alloy*		124		1,199
General Moly, Inc.*		1,125		1,193
NL Industries, Inc.		116		1,160
Ferro Corp.		778		1,113
ICO, Inc.*		486		1,001
Bway Holding Co.*		125		986
Neenah Paper, Inc.		260		944
United States Lime & Minerals, Inc.*		30		821
KapStone Paper and Packaging Corp.*		316		777
Penford Corp.		200		726
Flotek Industries, Inc.*		413		648

96    |    THE RYDEX SERIES FUNDS ANNUAL REPORT See Notes to Financial Statements.

SCHEDULE OF INVESTMENTS (concluded)

March 31, 2009

      RUSSELL 2000^® 1.5x STRATEGY FUND

			MARKET
	SHARES		VALUE
AbitibiBowater, Inc.*		953	$	524
General Steel Holdings, Inc.*		185		487
Boise, Inc.*		631		385
China Precision Steel, Inc.*		308		360
Mercer International, Inc.*		540		356
Sutor Technology Group Ltd.*		125		175
Verso Paper Corp.		246		157
China Direct, Inc.*		116		146
Total Materials				411,011
TELECOMMUNICATION SERVICES 0.8%
tw telecom Inc.*		2,636		23,065
Syniverse Holdings, Inc.*		920		14,499
Centennial Communications Corp.*		1,210		9,995
Premiere Global Services, Inc.*		1,113		9,817
NTELOS Holdings Corp.		540		9,796
Shenandoah Telecommunications Co.		424		9,667
Cincinnati Bell, Inc.*		4,132		9,504
Cbeyond, Inc.*		415		7,815
Iowa Telecommunications Services, Inc.		570		6,532
Cogent Communications Group, Inc.*		795		5,724
General Communication, Inc. — Class A*		805		5,377
Alaska Communications Systems Group, Inc.		778		5,213
Consolidated Communications Holdings, Inc.		405		4,155
USA Mobility, Inc.		410		3,776
Global Crossing*		474		3,318
PAETEC Holding Corp.*		2,220		3,197
iPCS, Inc. — Class A*		310		3,010
Atlantic Tele-Network, Inc.		155		2,973
Fairpoint Communications, Inc.		1,595		1,244
Virgin Mobile USA, Inc. — Class A*		656		846
ICO Global Communications Holdings Ltd.*		1,860		651
TerreStar Corp.*		1,040		582
FiberTower Corp.*		2,160		432
Vonage Holdings Corp.*		918		367
IDT Corp.*		315		365
Ibasis, Inc.*		542		363
Globalstar, Inc.*		904		316
Total Telecommunication Services				142,599
Total Common Stocks
(Cost $14,750,528)				11,236,525
WARRANTS 0.0%
CONSUMER DISCRETIONARY 0.0%
Krispy Kreme Doughnuts, Inc.*
$12.21, 03/02/12		250		3
Total Consumer Discretionary				3
Total Warrants
(Cost $—)				3

			MARKET
	SHARES		VALUE
RIGHTS 0.0%
FINANCIALS 0.0%
United America Indemnity Ltd.*
Expires 04/06/09		300	$	141
Total Financials				141
Total Rights
(Cost $503)				141
		FACE
		AMOUNT
REPURCHASE AGREEMENTS† 16.5%
Credit Suisse Group issued 03/31/09 at 0.15% due 04/01/09	$	2,105,643		2,105,643
Mizuho Financial Group, Inc. issued 03/31/09 at 0.16% due 04/01/09		776,718		776,718
Morgan Stanley issued 03/31/09 at 0.05% due 04/01/09		53,433		53,433
Total Repurchase Agreements
(Cost $2,935,794)				2,935,794
Total Investments 79.7%
(Cost $17,686,825)			$	14,172,463
Other Assets in Excess of Liabilities – 20.3%			$	3,606,719
Net Assets – 100.0%			$	17,779,182
			Unrealized
		Contracts		Gain (Loss)
FUTURES CONTRACTS PURCHASED
June 2009 Russell 2000 Index Mini Futures Contracts (Aggregate Market Value of Contracts $9,755,710)		233	$	(12,576	)
		UNITS
EQUITY INDEX SWAP AGREEMENTS
Goldman Sachs International April 2009 Russell 2000 Index Swap, Terminating 04/06/09** (Notional Market Value $4,146,832)		9,809	$	134,028
Credit Suisse Capital, LLC June 2009 Russell 2000 Index Swap, Terminating 06/26/09** (Notional Market Value $1,524,903)		3,607		(12,726	)
(Total Notional Market Value $5,671,735)			$	121,302

*	Non-Income Producing Security.
**	Total Return based on Russell 2000 Index +/- financing at a variable rate.
†	Repurchase Agreements — See Note 6.

See Notes to Financial Statements. THE RYDEX SERIES FUNDS ANNUAL REPORT    |    97

SCHEDULE OF INVESTMENTS

March 31, 2009

      RUSSELL 2000^® FUND

			MARKET
	SHARES		VALUE
COMMON STOCKS 36.9%
FINANCIALS 7.6%
Aspen Insurance Holdings Ltd.		1,215	$	27,289
Realty Income Corp.		1,441		27,120
Senior Housing Properties Trust		1,634		22,909
Validus Holdings Ltd.		932		22,070
ProAssurance Corp.*		456		21,259
FirstMerit Corp.		1,155		21,021
Platinum Underwriters Holdings Ltd.		697		19,767
Knight Capital Group, Inc. — Class A*		1,336		19,693
Highwoods Properties, Inc.		902		19,321
UMB Financial Corp.		444		18,866
Westamerica Bancorporation		414		18,862
Greenhill & Company, Inc.		252		18,610
First Niagara Financial Group, Inc.		1,681		18,323
NewAlliance Bancshares, Inc.		1,540		18,080
IPC Holdings Ltd.		663		17,928
National Retail Properties, Inc.		1,113		17,630
MFA Mortgage Investments, Inc.		2,969		17,458
Montpelier Re Holdings Ltd.		1,330		17,237
Omega Healthcare Investors, Inc.		1,164		16,389
Stifel Financial Corp.*		363		15,722
Prosperity Bancshares, Inc.		565		15,453
Corporate Office Properties Trust SBI		597		14,824
First Financial Bankshares, Inc.		300		14,451
Signature Bank*		498		14,059
Max Capital Group Ltd.		804		13,861
Tanger Factory Outlet Centers, Inc.		449		13,856
Home Properties, Inc.		452		13,854
RLI Corp.		275		13,805
Glacier Bancorp, Inc.		865		13,589
Argo Group International Holdings Ltd.*		440		13,257
Potlatch Corp.		563		13,056
Trustmark Corp.		700		12,866
Washington Real Estate Investment Trust		742		12,837
Zenith National Insurance Corp.		530		12,778
Healthcare Realty Trust, Inc.		844		12,652
Tower Group, Inc.		509		12,537
Mid-America Apartment Communities, Inc.		400		12,332
Odyssey Re Holdings Corp.		310		11,758
Hancock Holding Co.		372		11,636
Susquehanna Bancshares, Inc.		1,225		11,429
Equity Lifestyle Properties, Inc.		293		11,163
PHH Corp.*		773		10,861

			MARKET
	SHARES		VALUE
First Commonwealth Financial Corp.		1,213	$	10,759
Old National Bancorp		940		10,500
American Campus Communities, Inc.		602		10,451
IBERIABANK Corp.		226		10,382
Franklin Street Properties Corp., Inc.		838		10,307
NBT Bancorp, Inc.		457		9,889
Eastgroup Properties, Inc.		348		9,768
Interactive Brokers Group, Inc. — Class A*		584		9,420
FNB Corp.		1,223		9,380
National Penn Bancshares, Inc.		1,130		9,379
United Bankshares, Inc.		544		9,379
Selective Insurance Group, Inc.		766		9,315
Provident Financial Services, Inc.		852		9,210
Navigators Group, Inc.*		195		9,200
Capstead Mortgage Corp.		847		9,097
Park National Corp.		158		8,808
WesBanco, Inc.		383		8,744
National Health Investors, Inc.		320		8,598
SVB Financial Group*		428		8,564
Anworth Mortgage Asset Corp.		1,342		8,226
Pinnacle Financial Partners, Inc.*		345		8,180
Investors Real Estate Trust		817		8,056
Delphi Financial Group, Inc. — Class A		590		7,941
Brookline Bancorp, Inc.		831		7,895
PS Business Parks, Inc.		212		7,812
DCT Industrial Trust, Inc.		2,448		7,760
Community Bank System, Inc.		463		7,755
BioMed Realty Trust, Inc.		1,144		7,745
Umpqua Holding Corp.		853		7,728
Financial Federal Corp.		358		7,582
KBW, Inc.*		372		7,570
Redwood Trust, Inc.		493		7,568
Entertainment Properties Trust		471		7,423
Cathay General Bancorp		705		7,353
Hilltop Holdings, Inc.*		641		7,307
S&T Bancorp, Inc.		343		7,275
Chemical Financial Corp.		344		7,159
Safety Insurance Group, Inc.		230		7,148
Apollo Investment Corp.		2,022		7,037
Pico Holdings, Inc.*		234		7,036
United Fire & Casualty Co.		320		7,027
Infinity Property & Casualty Corp.		205		6,956
Piper Jaffray Companies, Inc.*		267		6,886
optionsXpress Holdings, Inc.		604		6,867
Sterling Bancshares, Inc.		1,042		6,815
Employers Holdings, Inc.		710		6,773
Ezcorp, Inc. — Class A*		581		6,722
Ares Capital Corp.		1,386		6,708

98    |    THE RYDEX SERIES FUNDS ANNUAL REPORT See Notes to Financial Statements.

SCHEDULE OF INVESTMENTS (continued)

March 31, 2009

      RUSSELL 2000^® FUND

			MARKET
	SHARES		VALUE
Extra Space Storage, Inc.		1,217	$	6,706
MB Financial Corp.		488		6,637
Greenlight Capital Re Ltd. — Class A*		413		6,596
Chimera Investment Corp.		1,941		6,522
TrustCo Bank Corp.		1,073		6,459
Post Properties, Inc.		635		6,439
Cash America International, Inc.		410		6,421
thinkorswim Group, Inc.*		742		6,411
City Holding Co.		232		6,331
Sovran Self Storage, Inc.		310		6,225
Bank Mutual Corp.		687		6,224
CVB Financial Corp.		937		6,212
Harleysville Group, Inc.		190		6,044
First Midwest Bancorp, Inc.		693		5,953
Portfolio Recovery Associates, Inc.*		217		5,824
Ocwen Financial Corp.*		507		5,795
First Financial Corp.		157		5,793
Alexander’s, Inc.		34		5,793
LTC Properties, Inc.		328		5,753
Inland Real Estate Corp.		810		5,743
Community Trust Bancorp, Inc.		213		5,698
eHealth, Inc.*		354		5,668
Equity One, Inc.		464		5,656
International Bancshares Corp.		725		5,655
SWS Group, Inc.		355		5,513
Hatteras Financial Corp.		218		5,448
DiamondRock Hospitality Co.		1,355		5,434
Assured Guaranty Ltd.		794		5,375
Investors Bancorp, Inc.*		630		5,336
First Financial Bancorp		533		5,079
Simmons First National Corp.		200		5,038
PacWest Bancorp		348		4,987
Provident New York Bancorp		572		4,891
Acadia Realty Trust		460		4,881
Horace Mann Educators Corp.		580		4,855
Universal Health Realty Income Trust		166		4,852
Meadowbrook Insurance Group, Inc.		794		4,843
TowneBank		295		4,817
Stewart Information Services Corp.		240		4,680
Getty Realty Corp.		254		4,661
SY Bancorp, Inc.		191		4,641
Beneficial Mutual Bancorp, Inc.*		470		4,630
American Physicians Capital, Inc.		110		4,501
PrivateBancorp, Inc.		308		4,454
FPIC Insurance Group, Inc.*		120		4,444
Pacific Capital Bancorp		655		4,434
Riskmetrics Group, Inc.*		308		4,401
Texas Capital Bancshares, Inc.*		390		4,391
CNA Surety Corp.*		238		4,389
Enstar Group*		77		4,337

			MARKET
	SHARES		VALUE
First Bancorp Puerto Rico		1,009	$	4,298
Bank of the Ozarks, Inc.		184		4,247
Amerisafe, Inc.*		273		4,182
Wintrust Financial Corp.		340		4,182
First Cash Financial Services, Inc.*		279		4,163
East-West Bancorp, Inc.		905		4,136
Medical Properties Trust Inc.		1,133		4,135
Northwest Bancorp, Inc.		244		4,124
Cousins Properties, Inc.		625		4,025
Westfield Financial, Inc.		454		3,995
Urstadt Biddle Properties, Inc.		295		3,959
Forestar Real Estate Group, Inc.*		510		3,902
Berkshire Hills Bancorp, Inc.		170		3,896
Citizens, Inc.*		533		3,875
Home Bancshares, Inc.		194		3,874
World Acceptance Corp.*		226		3,865
StellarOne Corp.		323		3,847
Renasant Corp.		302		3,793
1st Source Corp.		208		3,754
Harleysville National Corp.		613		3,715
Banco Latinoamericano de Exportaciones SA		395		3,701
Suffolk Bancorp		142		3,691
GAMCO Investors, Inc. — Class A		113		3,689
Bancfirst Corp.		100		3,640
State Auto Financial Corp.		204		3,590
Prospect Capital Corp.		420		3,578
Danvers Bancorp, Inc.		253		3,494
First Merchants Corp.		315		3,399
Independent Bank Corp.		230		3,393
National Western Life Insurance Co. — Class A		30		3,390
MarketAxess Holdings, Inc.*		441		3,369
Flagstone Reinsurance Holdings		430		3,350
LaSalle Hotel Properties		573		3,346
Lakeland Financial Corp.		174		3,339
Tompkins Financial Corp.		77		3,311
Southside Bancshares, Inc.		175		3,308
Tejon Ranch Co.*		160		3,307
Provident Bankshares Corp.		466		3,285
SCBT Financial Corp.		157		3,281
Triko Bancshares		196		3,281
Dollar Financial Corp.*		344		3,275
American Equity Investment Life Holding Co.		784		3,261
Westwood Holdings Group, Inc.		83		3,244
Univest Corp. of Pennsylvania		184		3,220
Ambac Financial Group, Inc.		4,076		3,179
Maiden Holdings Ltd.		704		3,147
United Financial Bancorp, Inc.		240		3,142
SeaBright Insurance Holdings, Inc.*		300		3,138

See Notes to Financial Statements. THE RYDEX SERIES FUNDS ANNUAL REPORT    |    99

SCHEDULE OF INVESTMENTS (continued)

March 31, 2009

      RUSSELL 2000^® FUND

			MARKET
	SHARES		VALUE
First Mercury Financial Corp.*		215	$	3,105
Northfield Bancorp, Inc.		284		3,104
Washington Trust Bancorp, Inc.		190		3,088
Compass Diversified Trust		344		3,068
Dime Community Bancshares		326		3,058
Capital Southwest Corp.		40		3,056
TradeStation Group, Inc.*		460		3,036
GFI Group, Inc.		939		3,014
Saul Centers, Inc.		130		2,986
Arrow Financial Corp.		126		2,985
ESSA Bancorp, Inc.		222		2,955
MVC Capital, Inc.		350		2,944
Abington Bancorp, Inc.		353		2,923
First Potomac Realty Trust		392		2,881
BankFinancial Corp.		284		2,831
First Busey Corp.		364		2,825
Citizens Banking Corp.*		1,790		2,775
Sun Communities, Inc.		234		2,768
Boston Private Financial Holdings, Inc.		785		2,755
Lexington Realty Trust		1,145		2,725
LaBranche & Company, Inc.*		728		2,723
Cohen & Steers, Inc.		243		2,712
Kearny Financial Corp.		251		2,630
Sandy Spring Bancorp, Inc.		234		2,611
Union Bankshares Corp.		188		2,604
Colonial BancGroup, Inc.		2,875		2,588
Sterling Bancorp		260		2,574
Heartland Financial USA, Inc.		190		2,573
Donegal Group, Inc. — Class A		167		2,567
Colonial Properties Trust		673		2,564
UCBH Holdings, Inc.		1,670		2,522
Camden National Corp.		110		2,514
Republic Bancorp, Inc.		133		2,483
Oritani Financial Corp.*		175		2,450
American Capital Agency Corp.		143		2,447
Citizens & Northern Corp.		131		2,422
First Financial Northwest, Inc.		290		2,419
United Community Banks, Inc.		579		2,407
First Bancorp		200		2,394
Presidential Life Corp.		307		2,392
MainSource Financial Group, Inc.		295		2,372
Lakeland Bancorp, Inc.		294		2,361
Baldwind & Lyons, Inc. — Class B		124		2,346
Hercules Technology Growth Capital, Inc.		467		2,335
Crawford & Co. — Class B*		344		2,312
Central Pacific Financial Corp.		411		2,302
Consolidated-Tomoka Land Co.		76		2,257
Parkway Properties, Inc.		217		2,235
Peapack Gladstone Financial Corp.		123		2,218
Nelnet, Inc. — Class A*		250		2,210

			MARKET
	SHARES		VALUE
Kansas City Life Insurance Co.		60	$	2,151
Evercore Partners, Inc. — Class A		137		2,117
Radian Group, Inc.		1,142		2,078
Amtrust Financial Services, Inc.		217		2,072
Sunstone Hotel Investors, Inc.		771		2,028
Southwest Bancorp, Inc.		215		2,017
Shore Bancshares, Inc.		120		2,010
Capital City Bank Group, Inc.		172		1,971
Cardinal Financial Corp.		342		1,963
Peoples Bancorp, Inc.		150		1,947
WSFS Financial Corp.		87		1,945
ViewPoint Financial Group		158		1,901
Gladstone Capital Corp.		303		1,897
Phoenix Companies, Inc.		1,620		1,895
Ashford Hospitality Trust, Inc.		1,230		1,894
PMA Capital Corp.*		454		1,893
First Bancorp, Inc.		119		1,887
West Bancorporation, Inc.		252		1,877
NorthStar Realty Finance Corp.		794		1,842
Monmouth Real Estate Investment Corp. — Class A		277		1,831
Mission West Properties		284		1,818
Flushing Financial Corp.		300		1,806
Credit Acceptance Corp.*		84		1,805
National Financial Partners Corp.		563		1,802
Life Partners Holdings, Inc.		105		1,791
Agree Realty Corp.		113		1,773
Pennsylvania Real Estate Investment Trust		498		1,768
American Safety Insurance Holdings Ltd.*		150		1,727
Oriental Financial Group		350		1,708
Pacific Continental Corp.		146		1,699
EMC Insurance Group, Inc.		80		1,686
Bryn Mawr Bank Corp.		99		1,668
Columbia Banking Systems, Inc.		260		1,664
Green Bankshares, Inc.		186		1,637
First Community Bancshares, Inc.		140		1,634
Smithtown Bancorp, Inc.		143		1,613
BancTrust Financial Group, Inc.		252		1,595
Penson Worldwide Company, Inc.*		243		1,562
Medallion Financial Corp.		210		1,556
Roma Financial Corp.		120		1,554
First Industrial Realty Trust, Inc.		634		1,553
NGP Capital Resources Co.		311		1,546
Enterprise Financial Services Corp.		158		1,542
State Bancorp, Inc.		200		1,540
Ames National Corp.		90		1,538
Sterling Savings Bank		740		1,532
Clifton Savings Bancorp, Inc.		150		1,500

100    |    THE RYDEX SERIES FUNDS ANNUAL REPORT See Notes to Financial Statements.

SCHEDULE OF INVESTMENTS (continued)

March 31, 2009

      RUSSELL 2000^® FUND

			MARKET
	SHARES		VALUE
National Interstate Corp.		87	$	1,471
Centerstate Banks of Florida, Inc.		133		1,464
Ramco-Gershenson Properties Trust		223		1,438
Western Alliance Bancorp, Inc.*		315		1,436
U-Store-It Trust		702		1,418
Education Realty Trust, Inc.		405		1,413
CoBiz Financial, Inc.		267		1,402
Avatar Holdings Inc.*		93		1,393
Wilshire Bancorp, Inc.		269		1,388
Calamos Asset Management, Inc. — Class A		287		1,380
Harris & Harris Group, Inc.*		373		1,380
MCG Capital Corp.		1,072		1,372
Farmers Capital Bank Corp.		87		1,363
Guaranty Financial Group, Inc.*		1,289		1,353
Oceanfirst Financial Corp.		132		1,349
First Financial Holdings, Inc.		173		1,323
Guaranty Bancorp*		749		1,311
Kayne Anderson Energy Development Co.		140		1,308
Hersha Hospitality Trust		682		1,296
Meridian Interstate Bancorp, Inc.*		153		1,288
Pennsylvania Commerce Bancorp, Inc.*		70		1,288
Old Second Bancorp, Inc.		200		1,270
First Marblehead Corp.*		980		1,264
CapLease, Inc.		640		1,261
Financial Institutions, Inc.		160		1,219
FelCor Lodging Trust, Inc.		894		1,216
Rockville Financial, Inc.		133		1,210
FBR Capital Markets Corp.*		365		1,201
South Financial Group, Inc.		1,088		1,197
Associated Estates Realty Corp.		210		1,193
Yadkin Valley Financial Corp.		160		1,192
Broadpoint Securities Group, Inc.*		358		1,181
Gladstone Investment Corp.		308		1,177
First South Bancorp, Inc.		110		1,168
Premierwest Bancorp		287		1,152
DuPont Fabros Technology, Inc.		167		1,149
NASB Financial, Inc.		46		1,146
PennantPark Investment Corp.		302		1,133
Epoch Holding Corp.		164		1,127
Fifth Street Finance Corp.		143		1,107
Winthrop Realty Trust		160		1,106
Asset Acceptance Capital Corp.*		208		1,104
Sun Bancorp, Inc.*		212		1,100
Sanders Morris Harris Group Inc.		282		1,100
Sierra Bancorp		110		1,070
RAIT Financial Trust		877		1,070
BGC Partners, Inc. — Class A		477		1,054

			MARKET
	SHARES		VALUE
United America Indemnity Ltd. — Class A*		260	$	1,045
Care Investment Trust, Inc.		190		1,037
Advance America Cash Advance Centers, Inc.		590		997
Thomas Weisel Partners Group, Inc.*		277		992
Diamond Hill Investment Group, Inc.*		25		983
Cedar Shopping Centers, Inc.		542		943
Nara Bancorp, Inc.		318		935
United Security Bancshares		125		920
Resource Capital Corp.		296		900
Ameris Bancorp		190		895
Cogdell Spencer, Inc.		170		867
US Global Investors, Inc. — Class A		178		867
Encore Capital Group, Inc.*		190		861
Kite Realty Group Trust		340		833
Capitol Bancorp Ltd.		200		830
Fox Chase Bancorp, Inc.*		87		822
First Place Financial Corp.		240		806
Ladenburg Thalmann Financial Services, Inc.*		1,521		806
Encore Bancshares, Inc.*		90		798
Heritage Commerce Corp.		151		793
NewStar Financial, Inc.*		338		784
BlackRock Kelso Capital Corp.		184		771
Kohlberg Capital Corp.		250		765
Glimcher Realty Trust		543		760
Home Federal Bancorp, Inc.		87		760
FBL Financial Group, Inc. — Class A		180		747
Strategic Hotels & Resorts, Inc.		1,065		735
Frontier Financial Corp.		667		734
NYMAGIC, Inc.		60		732
FCStone Group, Inc.*		316		720
The PMI Group, Inc.		1,148		712
Hanmi Financial Corp.		530		689
Flagstar Bancorp, Inc.*		853		640
Seacoast Banking Corporation of Florida		210		636
City Bank		190		627
Banner Corp.		212		617
International Assets Holding Corp.*		60		611
Maui Land & Pineapple Company, Inc.*		70		594
First Acceptance Corp.*		238		576
Gramercy Capital Corp.		593		575
Resource America, Inc. — Class A		144		575
CompuCredit Corp.*		230		564
Hallmark Financial Services, Inc.*		80		554
Integra Bank Corp.		288		544

See Notes to Financial Statements. THE RYDEX SERIES FUNDS ANNUAL REPORT    |    101

SCHEDULE OF INVESTMENTS (continued)

March 31, 2009

      RUSSELL 2000^® FUND

			MARKET
	SHARES		VALUE
Patriot Capital Funding, Inc.		293	$	536
Stratus Properties, Inc.*		87		526
Cascade Bancorp.		320		522
Primus Guaranty Ltd.*		328		515
Virtus Investment Partners, Inc.*		78		508
Brooklyn Federal Bancorp, Inc.		46		507
West Coast Bancorp		224		497
Newcastle Investment Corp.		750		488
Ampal American Israel — Class A*		284		486
Santander BanCorp		60		473
United Community Financial Corp.		383		463
Independence Holding Co.		90		451
Amcore Financial, Inc.		277		443
Friedman Billings Ramsey Group, Inc. — Class A*		2,101		420
Thomas Properties Group, Inc.		345		407
Maguire Properties, Inc.*		542		390
One Liberty Properties, Inc.		110		387
Anchor BanCorp Wisconsin, Inc.		273		369
Advanta Corp.		542		358
Federal Agricultural Mortgage Corp.		130		348
Midwest Banc Holdings, Inc.		319		322
Cardtronics, Inc.*		180		319
Grubb & Ellis Co.		490		309
Anthracite Capital, Inc.		835		284
Capital Trust, Inc. — Class A		242		266
W Holding Company, Inc.		26		236
Waterstone Financial, Inc.*		100		204
Pzena Investment Management, Inc. — Class A		87		166
Doral Financial Corp.*		83		149
Arbor Realty Trust, Inc.		204		147
Corus Bankshares, Inc.*		543		147
Meruelo Maddux Properties, Inc.*		608		44
FX Real Estate and Entertainment, Inc.*		150		24
Total Financials				1,845,036
INFORMATION TECHNOLOGY 6.8%
Sybase, Inc.*		1,135		34,379
Micros Systems, Inc.*		1,163		21,806
Macrovision Solutions Corp.*		1,172		20,850
PMC — Sierra, Inc.*		3,112		19,855
Polycom, Inc.*		1,242		19,114
Solera Holdings, Inc.*		767		19,006
Skyworks Solutions, Inc.*		2,329		18,772
3Com Corp.*		5,737		17,727
VistaPrint Ltd.*		635		17,456
Jack Henry & Associates, Inc.		1,062		17,332
Informatica Corp.*		1,263		16,747
InterDigital, Inc.*		637		16,447

			MARKET
	SHARES		VALUE
Parametric Technology Corp.*		1,640	$	16,367
Perot Systems Corp. — Class A*		1,230		15,842
Digital River, Inc.*		529		15,775
CACI International, Inc. — Class A*		430		15,691
TIBCO Software, Inc.*		2,499		14,669
Cybersource Corp.*		980		14,514
Blackboard, Inc.*		441		13,997
j2 Global Communications, Inc.*		631		13,813
Microsemi Corp.*		1,177		13,653
Anixter International, Inc.*		420		13,306
Palm, Inc.*		1,522		13,120
Synaptics, Inc.*		483		12,925
ADTRAN, Inc.		797		12,919
Arris Group, Inc.*		1,746		12,868
Formfactor, Inc.*		695		12,524
Atheros Communications, Inc.*		840		12,314
Tekelec*		928		12,277
Mantech International Corp. — Class A*		291		12,193
Quest Software, Inc.*		946		11,995
Concur Technologies, Inc.*		616		11,821
Semtech Corp.*		885		11,815
Omniture, Inc.*		890		11,739
Quality Systems, Inc.		250		11,312
Net 1 UEPS Technologies, Inc.*		715		10,875
Benchmark Electronics, Inc.*		960		10,752
Ariba, Inc.*		1,215		10,607
Riverbed Technology, Inc.*		803		10,503
ValueClick, Inc.*		1,230		10,467
MKS Instruments, Inc.*		707		10,372
Progress Software Corp.*		593		10,294
EarthLink, Inc.*		1,560		10,249
TiVo, Inc.*		1,450		10,208
MAXIMUS, Inc.		254		10,124
Wright Express Corp.*		547		9,966
Infinera Corp.*		1,326		9,812
Fair Isaac Corp.		693		9,751
Cymer, Inc.*		428		9,527
Gartner, Inc. — Class A*		845		9,303
Tessera Technologies, Inc.*		693		9,265
ACI Worldwide, Inc.*		489		9,169
Take-Two Interactive Software, Inc.		1,093		9,127
Intermec, Inc.*		872		9,069
EPIQ Systems, Inc.*		502		9,051
SRA International, Inc. — Class A*		604		8,879
Harmonic, Inc.*		1,344		8,736
Euronet Worldwide, Inc.*		667		8,711
Hittite Microwave Corp.*		278		8,674
Comtech Telecommunications Corp.*		344		8,521
Plantronics, Inc.		703		8,485

102    |    THE RYDEX SERIES FUNDS ANNUAL REPORT See Notes to Financial Statements.

SCHEDULE OF INVESTMENTS (continued)

March 31, 2009

      RUSSELL 2000^® FUND

			MARKET
	SHARES		VALUE
AsiaInfo Holdings, Inc.*		490	$	8,256
FEI Co.*		521		8,039
Cabot Microelectronics Corp.*		333		8,002
Advent Software, Inc.*		238		7,928
Tyler Technologies, Inc.*		540		7,900
Plexus Corp.*		569		7,864
Avocent Corp.*		640		7,770
Websense, Inc.*		644		7,728
DealerTrack Holdings, Inc.*		574		7,519
ViaSat, Inc.*		360		7,495
Electronics for Imaging, Inc.*		762		7,468
Cognex Corp.		559		7,463
Blackbaud, Inc.		640		7,430
Sycamore Networks, Inc.*		2,722		7,268
SPSS, Inc.*		254		7,221
CSG Systems International, Inc.*		505		7,211
Lawson Software, Inc.*		1,680		7,140
ATMI, Inc.*		457		7,052
Cogent, Inc.*		584		6,950
Scansource, Inc.*		374		6,949
Rofin-Sinar Technologies, Inc.*		417		6,722
Power Integrations, Inc.		390		6,708
Commvault Systems, Inc.*		610		6,692
Starent Networks Corp.*		421		6,656
MercadoLibre, Inc.*		358		6,641
VeriFone Holdings, Inc.*		971		6,603
Netlogic Microsystems, Inc.*		240		6,595
Zoran Corp.*		742		6,530
Acxiom Corp.		874		6,468
Wind River Systems, Inc.*		976		6,246
Ultimate Software Group, Inc.*		354		6,110
Emulex Corp.*		1,207		6,071
Manhattan Associates, Inc.*		350		6,062
Netgear, Inc.*		503		6,061
DTS, Inc. — Class A*		250		6,015
Data Domain, Inc.*		475		5,971
Neutral Tandem, Inc.*		242		5,956
Standard Microsystems Corp.*		320		5,952
Black Box Corp.		250		5,902
Coherent, Inc.*		340		5,865
Monolithic Power Systems, Inc.*		374		5,797
MTS Systems Corp.		252		5,733
Mentor Graphics Corp.*		1,289		5,723
Blue Coat Systems, Inc.*		475		5,705
Teletech Holdings, Inc.*		521		5,674
Sapient Corp.*		1,250		5,587
L-1 Identity Solutions, Inc.*		1,035		5,289
Park Electrochemical Corp.		293		5,063
Triquint Semiconductor, Inc.*		2,046		5,054
Checkpoint Systems, Inc.*		561		5,032
Cavium Networks, Inc.*		435		5,020
RF Micro Devices, Inc.*		3,750		4,987
OmniVision Technologies, Inc.*		735		4,939
SYNNEX Corp.*		251		4,937
United Online, Inc.		1,104		4,924

			MARKET
	SHARES		VALUE
Sigma Designs, Inc.*		381	$	4,740
Rogers Corp.*		249		4,701
DG FastChannel, Inc.*		250		4,692
Art Technology Group, Inc.*		1,833		4,674
Micrel, Inc.		650		4,576
Sonus Networks, Inc.*		2,902		4,556
Bankrate, Inc.*		180		4,491
Forrester Research, Inc.*		217		4,462
Applied Micro Circuits Corp.*		917		4,457
MicroStrategy, Inc. — Class A*		130		4,445
Diodes, Inc.*		414		4,393
Taleo Corp.*		370		4,373
TeleCommunication Systems, Inc. — Class A*		476		4,365
GSI Commerce, Inc.*		331		4,336
JDA Software Group, Inc.*		372		4,297
Amkor Technology, Inc.*		1,557		4,173
Brooks Automation, Inc.*		904		4,167
Ultratech, Inc.*		333		4,159
Adaptec, Inc.*		1,719		4,126
Constant Contact, Inc.*		290		4,057
Avid Technology, Inc.*		430		3,930
EMS Technologies, Inc.*		220		3,841
Universal Display Corp.*		414		3,796
Netezza Corp.*		557		3,788
Syntel, Inc.		183		3,766
Pegasystems, Inc.		200		3,714
Supertex, Inc.*		160		3,696
Loral Space & Communications, Inc.*		173		3,695
Actel Corp.*		363		3,674
MSC.Software Corp.*		644		3,632
Synchronoss Technologies, Inc.*		295		3,617
TTM Technologies, Inc.*		612		3,550
Advanced Energy Industries, Inc.*		466		3,509
Cirrus Logic, Inc.*		918		3,452
Echelon Corp.*		425		3,438
SonicWALL, Inc.*		769		3,430
S1 Corp.*		661		3,404
OSI SYSTEMS, Inc.*		223		3,403
Littelfuse, Inc.*		307		3,374
Cass Information Systems, Inc.		103		3,340
Exar Corp.*		533		3,326
The Knot, Inc.*		404		3,313
SAVVIS, Inc.*		530		3,281
STEC, Inc.*		440		3,243
Imation Corp.		420		3,213
Epicor Software Corp.*		840		3,200
Faro Technologies, Inc.*		238		3,199
Ixia*		610		3,154
comScore, Inc.*		259		3,131
Vocus, Inc.*		235		3,123
Daktronics, Inc.		473		3,098
BigBand Networks, Inc.*		470		3,078

See Notes to Financial Statements. THE RYDEX SERIES FUNDS ANNUAL REPORT    |    103

SCHEDULE OF INVESTMENTS (continued)

March 31, 2009

      RUSSELL 2000^® FUND

			MARKET
	SHARES		VALUE
Brightpoint, Inc.*		715	$	3,060
Volterra Semiconductor Corp.*		360		3,038
Veeco Instruments, Inc.*		455		3,035
Netscout Systems, Inc.*		420		3,007
RightNow Technologies, Inc.*		390		2,952
NIC, Inc.		566		2,943
THQ, Inc.*		950		2,888
Digi International, Inc.*		374		2,869
RealNetworks, Inc.*		1,219		2,840
TNS, Inc.*		346		2,830
Electro Rent Corp.		290		2,796
IXYS Corp.		344		2,773
SuccessFactors, Inc.*		355		2,709
ShoreTel, Inc.*		616		2,655
Move, Inc.*		1,827		2,649
Actuate Corp.*		863		2,641
Switch & Data Facilities Company, Inc.*		294		2,578
DemandTec, Inc.*		294		2,572
InfoSpace, Inc.*		493		2,564
Novatel Wireless, Inc.*		454		2,551
3PAR, Inc.*		388		2,549
Seachange International, Inc.*		443		2,534
LoopNet, Inc.*		416		2,529
Silicon Image, Inc.*		1,037		2,489
Finisar Corp.*		5,619		2,472
Perficient, Inc.*		450		2,430
Stratasys, Inc.*		288		2,382
Cohu, Inc.		328		2,362
Advanced Analogic Technologies, Inc.*		652		2,347
NCI, Inc.*		90		2,340
Aruba Networks, Inc.*		743		2,333
Bel Fuse, Inc. — Class B		173		2,325
Vignette Corp.*		348		2,325
Anaren, Inc.*		212		2,319
Electro Scientific Industries, Inc.*		390		2,309
Heartland Payment Systems, Inc.		349		2,307
Sanmina-SCI Corp.*		7,559		2,305
Symmetricom, Inc.*		652		2,282
Kopin Corp.*		980		2,274
IPG Photonics Corp.*		270		2,273
Oplink Communications, Inc.*		295		2,271
Cogo Group, Inc.*		339		2,265
Lattice Semiconductor Corp.*		1,640		2,263
Newport Corp.*		510		2,254
Smith Micro Software, Inc.*		430		2,249
Kulicke & Soffa Industries, Inc.*		858		2,248
Pericom Semiconductor Corp.*		307		2,244
Ebix, Inc.*		90		2,236
Internet Capital Group, Inc.*		551		2,221
Ciber, Inc.*		811		2,214
Global Cash Access Holdings, Inc.*		571		2,181
Vasco Data Security International*		377		2,175

			MARKET
	SHARES		VALUE
Comverge, Inc.*		310	$	2,154
Ceva, Inc.*		295		2,148
Compellent Technologies, Inc.*		197		2,137
Acme Packet, Inc.*		352		2,137
Symyx Technologies, Inc.*		476		2,118
Integral Systems, Inc.*		241		2,073
Insight Enterprises, Inc.*		667		2,041
Sourcefire, Inc.*		280		2,038
Multi-Fineline Electronix, Inc.*		120		2,021
Bottomline Technologies, Inc.*		307		2,020
Terremark Worldwide, Inc.*		750		2,018
Airvana, Inc.*		342		2,001
SiRF Technology Holdings, Inc.*		864		1,987
infoGROUP, Inc.*		475		1,976
Quantum Corp.*		2,925		1,960
Radisys Corp.*		320		1,939
Internap Network Services Corp.*		720		1,937
Methode Electronics, Inc. — Class A		537		1,922
DivX, Inc.*		380		1,911
Extreme Networks, Inc.*		1,253		1,905
NVE Corp.*		66		1,901
Rimage Corp.*		142		1,896
Rackspace Hosting*		252		1,887
OpenTV Corp.*		1,237		1,868
MIPS Technology, Inc.*		635		1,861
Anadigics, Inc.*		893		1,849
Internet Brands, Inc. — Class A*		314		1,843
Silicon Storage Technology, Inc.*		1,115		1,840
Maxwell Technologies, Inc.*		256		1,779
Mercury Computer Systems, Inc.*		320		1,770
i2 Technologies, Inc.*		224		1,770
ExlService Holdings, Inc.*		204		1,758
Interactive Intelligence, Inc.*		194		1,758
Online Resources Corp.*		415		1,747
Kenexa Corp. — Class A*		323		1,741
Radiant Systems, Inc.*		390		1,720
CTS Corp.		476		1,718
ModusLink Global Solutions, Inc.*		660		1,709
Globecomm Systems, Inc.*		295		1,708
Rackable Systems, Inc.*		420		1,705
American Software, Inc. — Class A		323		1,702
Double-Take Software, Inc.*		248		1,676
Cray, Inc.*		475		1,663
Ness Technologies, Inc.*		563		1,661
Keynote Systems, Inc.*		205		1,626
Intevac, Inc.*		310		1,615
Super Micro Computer, Inc.*		328		1,614
Opnet Technologies, Inc.*		186		1,613
China Security & Surveillance Technology, Inc.*		398		1,528
Liquidity Services Inc.*		214		1,496

104    |    THE RYDEX SERIES FUNDS ANNUAL REPORT See Notes to Financial Statements.

SCHEDULE OF INVESTMENTS (continued)

March 31, 2009

      RUSSELL 2000^® FUND

			MARKET
	SHARES		VALUE
DSP Group, Inc.*		332	$	1,434
Microtune, Inc.*		774		1,409
Techwell, Inc.*		223		1,407
Entegris, Inc.*		1,628		1,400
Limelight Networks Inc.*		415		1,390
Harris Stratex Networks, Inc. — Class A*		358		1,378
Gevity HR, Inc.		348		1,375
Agilysys, Inc.		318		1,367
Entrust, Inc.*		867		1,309
Chordiant Software, Inc.*		430		1,303
Rudolph Technologies, Inc.*		430		1,303
FalconStor Software, Inc.*		542		1,295
Web.com Group, Inc.*		390		1,295
CPI International, Inc.*		136		1,278
ArcSight, Inc.*		100		1,277
SupportSoft, Inc.*		664		1,275
Renaissance Learning, Inc.		142		1,274
Trident Microsystems, Inc.*		870		1,270
Callidus Software, Inc.*		426		1,235
Utstarcom, Inc.*		1,570		1,225
Marchex, Inc.		343		1,180
Hughes Communications, Inc.*		97		1,167
Hackett Group, Inc.*		577		1,166
PC-Tel, Inc.		270		1,161
Immersion Corp.*		396		1,160
NetSuite, Inc.*		100		1,126
Powerwave Technologies, Inc.*		1,874		1,113
China Information Security Technology, Inc.*		328		1,036
Rubicon Technology, Inc.*		194		1,030
iGate Corp.		313		1,014
Zygo Corp.		217		996
Technitrol, Inc.		581		994
Unica Corp.*		200		966
Safeguard Scientifics, Inc.*		1,730		952
Semitool, Inc.*		323		898
Digimarc Corp.*		90		875
Smart Modular Technologies WWH, Inc.*		633		874
PLX Technology, Inc.*		400		868
Hutchinson Technology, Inc.*		330		858
PROS Holdings, Inc.*		184		856
Measurement Specialties, Inc.*		200		818
Gerber Scientific, Inc.*		338		808
Presstek, Inc.*		390		807
Deltek, Inc.*		184		797
Virtusa Corp.*		128		794
Emcore Corp.*		1,040		780
Monotype Imaging Holdings, Inc.*		208		778
Isilon Systems, Inc.*		350		770
ICx Technologies, Inc.*		190		770
Hypercom Corp.*		762		732
PC Mall, Inc.*		160		726

			MARKET
	SHARES		VALUE
MRV Communications, Inc.*		2,231	$	692
Phoenix Technologies Ltd.*		410		664
Orbcomm, Inc.*		448		659
Bookham, Inc.*		1,442		620
Dice Holdings, Inc.*		223		620
Mattson Technology, Inc.*		704		592
Photronics, Inc.*		587		564
Parkervision, Inc.*		332		561
Axcelis Technologies, Inc.*		1,464		556
Guidance Software, Inc.*		133		543
AuthenTec, Inc.*		364		539
TheStreet.com, Inc.		263		518
Opnext, Inc.*		294		503
LTX-Credence Corp.*		1,785		500
PC Connection, Inc.*		130		494
TechTarget, Inc.*		200		480
Magma Design Automation, Inc.*		630		473
QAD, Inc.		178		450
Sonic Solutions, Inc.*		314		377
Avanex Corp.*		192		336
Ultra Clean Holdings*		278		297
Spansion, Inc.*		1,813		235
Asyst Technologies, Inc.*		714		200
Nextwave Wireless, Inc.*		692		111
Elixir Gaming Technologies, Inc.*		957		105
Entropic Communications, Inc.*		128		95
HSW International, Inc.*		398		66
Total Information Technology				1,641,969
HEALTH CARE 5.8%
Myriad Genetics, Inc.*		1,260		57,292
Alexion Pharmaceuticals, Inc.*		1,153		43,422
OSI Pharmaceuticals, Inc.*		812		31,067
Immucor, Inc.*		995		25,024
Onyx Pharmaceuticals, Inc.*		794		22,669
Magellan Health Services, Inc.*		586		21,354
Allscripts Healthcare Solutions, Inc.		2,072		21,321
United Therapeutics Corp.*		321		21,215
AMERIGROUP Corp.*		757		20,848
Haemonetics Corp.*		372		20,490
Thoratec Corp.*		774		19,884
Steris Corp.		835		19,439
Owens & Minor, Inc.		584		19,348
Isis Pharmaceuticals, Inc.*		1,282		19,243
Masimo Corp.*		653		18,924
Bio-Rad Laboratories, Inc. — Class A*		275		18,122
CV Therapeutics, Inc.*		858		17,057
Alkermes, Inc.*		1,363		16,533
Auxilium Pharmaceuticals, Inc.*		584		16,188
Valeant Pharmaceuticals International*		901		16,029
NuVasive, Inc.*		507		15,910
West Pharmaceutical Services, Inc.		462		15,158

See Notes to Financial Statements. THE RYDEX SERIES FUNDS ANNUAL REPORT    |    105

SCHEDULE OF INVESTMENTS (continued)

March 31, 2009

      RUSSELL 2000^® FUND

			MARKET
	SHARES		VALUE
Cubist Pharmaceuticals, Inc.*		804	$	13,153
PSS World Medical, Inc.*		877		12,585
Psychiatric Solutions, Inc.*		800		12,584
Chemed Corp.		322		12,526
Theravance, Inc.*		731		12,427
Dionex Corp.*		261		12,332
Sequenom, Inc.*		866		12,315
Regeneron Pharmaceuticals, Inc.*		881		12,211
PDL BioPharma, Inc.		1,694		11,994
American Medical Systems Holdings, Inc.*		1,028		11,462
HMS Holdings Corp.*		348		11,449
Centene Corp.*		622		11,208
Healthsouth Corp.*		1,248		11,082
Luminex Corp.*		590		10,691
Acorda Therapeutics, Inc.*		535		10,598
Amedisys, Inc.*		381		10,474
Meridian Bioscience, Inc.		574		10,401
Varian, Inc.*		418		9,923
Medicis Pharmaceutical Corp. — Class A		802		9,921
Volcano Corp.*		673		9,792
Alnylam Pharmaceuticals, Inc.*		507		9,653
Catalyst Health Solutions, Inc.*		475		9,414
Medarex, Inc.*		1,818		9,326
Seattle Genetics, Inc.*		911		8,982
AMAG Pharmaceuticals, Inc.*		243		8,935
Celera Corp.*		1,140		8,698
Martek Biosciences Corp.		470		8,577
Medicines Co.*		740		8,022
Eclipsys Corp.*		768		7,788
Parexel International Corp.*		800		7,784
Phase Forward, Inc.*		608		7,776
InterMune, Inc.*		470		7,727
XenoPort, Inc.*		388		7,512
Invacare Corp.		456		7,310
PharMerica Corp.*		430		7,155
AmSurg Corp.*		451		7,148
ev3, Inc.*		1,002		7,114
Nektar Therapeutics*		1,314		7,082
Align Technology, Inc.*		877		6,955
athenahealth, Inc.*		288		6,944
Wright Medical Group, Inc.*		529		6,893
Exelixis, Inc.*		1,490		6,854
Landauer, Inc.		133		6,740
Cougar Biotechnology, Inc.*		208		6,698
Medivation, Inc.*		358		6,541
Salix Pharmaceuticals Ltd.*		684		6,498
Greatbatch, Inc.*		318		6,153
Integra LifeSciences Holdings Corp.*		248		6,133
Analogic Corp.		191		6,116
Kindred Healthcare, Inc.*		400		5,980
Healthspring, Inc.*		705		5,901

			MARKET
	SHARES		VALUE
Viropharma, Inc.*		1,123	$	5,896
Conmed Corp.*		406		5,850
Hanger Orthopedic Group, Inc.*		437		5,790
Cepheid, Inc.*		811		5,596
Dendreon Corp.*		1,326		5,569
Gentiva Health Services, Inc.*		358		5,442
ICU Medical, Inc.*		168		5,396
Abaxis, Inc.*		307		5,293
Geron Corp.*		1,170		5,230
Sun Healthcare Group, Inc.*		614		5,182
ImmunoGen, Inc.*		725		5,147
Conceptus, Inc.*		434		5,099
Res-Care, Inc.*		350		5,096
Optimer Pharmaceuticals, Inc.*		372		4,907
Genomic Health, Inc.*		200		4,876
National Healthcare Corp.		121		4,858
LHC Group, Inc.*		214		4,768
Merit Medical Systems, Inc.*		390		4,762
Universal American Financial Corp.*		562		4,760
Halozyme Therapeutics, Inc.*		860		4,696
Par Pharmaceutical Companies, Inc.*		495		4,688
Allos Therapeutics, Inc.*		754		4,660
Cyberonics, Inc.*		344		4,565
Odyssey HealthCare, Inc.*		470		4,559
RehabCare Group, Inc.*		260		4,534
Bruker BioSciences Corp.*		724		4,460
Orthofix International NV*		240		4,445
Healthways, Inc.*		498		4,367
Neogen Corp.*		200		4,366
SonoSite, Inc.*		243		4,345
Computer Programs & Systems, Inc.		130		4,325
Ligand Pharmaceuticals, Inc. — Class B*		1,449		4,318
Zoll Medical Corp.*		298		4,279
Vivus, Inc.*		986		4,260
MWI Veterinary Supply, Inc.*		147		4,187
Emergency Medical Services Corp. — Class A*		133		4,175
Momenta Pharmaceuticals, Inc.*		376		4,140
SurModics, Inc.*		217		3,960
Vnus Medical Technologies, Inc.*		184		3,914
Enzon Pharmaceuticals, Inc.*		640		3,885
inVentiv Health, Inc.*		475		3,876
Angiodynamics, Inc.*		342		3,844
Savient Pharmaceuticals, Inc.*		773		3,826
Kendle International, Inc.*		182		3,815
Cypress Bioscience, Inc.*		535		3,804
Molina Healthcare, Inc.*		198		3,766
Quidel Corp.*		399		3,679
MedAssets, Inc.*		256		3,648
Questcor Pharmaceuticals, Inc.*		718		3,533

106    |    THE RYDEX SERIES FUNDS ANNUAL REPORT See Notes to Financial Statements.

SCHEDULE OF INVESTMENTS (continued)

March 31, 2009

      RUSSELL 2000^® FUND

			MARKET
	SHARES		VALUE
Omnicell, Inc.*		444	$	3,472
Sirona Dental Systems, Inc.*		237		3,394
Natus Medical, Inc.*		395		3,361
Genoptix Inc.*		123		3,355
Bio-Reference Labs, Inc.*		160		3,346
Noven Pharmaceuticals, Inc.*		350		3,318
Affymetrix, Inc.*		990		3,237
Facet Biotech Corp.*		338		3,211
eResearch Technology, Inc.*		607		3,193
Rigel Pharmaceuticals, Inc.*		520		3,193
Arena Pharmaceuticals, Inc.*		1,055		3,176
Symmetry Medical, Inc.*		502		3,168
Albany Molecular Research, Inc.*		335		3,159
IRIS International, Inc.*		260		2,998
Cross Country Healthcare, Inc.*		439		2,875
Osiris Therapeutics, Inc.*		208		2,870
NPS Pharmaceuticals, Inc.*		668		2,806
GTx, Inc.*		265		2,804
Cadence Pharmaceuticals, Inc.*		294		2,758
Nabi Biopharmaceuticals*		742		2,745
Durect Corp.*		1,164		2,596
Accuray, Inc.*		514		2,585
Somanetics Corp.*		170		2,581
Air Methods Corp.*		152		2,570
MannKind Corp.*		730		2,540
Emergent Biosolutions, Inc.*		188		2,540
Incyte Corp.*		1,077		2,520
Orthovita, Inc.*		940		2,519
Progenics Pharmaceuticals, Inc.*		382		2,517
Triple-S Management Corp. — Class B*		204		2,513
Maxygen Inc.*		365		2,482
Pharmasset, Inc.*		253		2,482
AMN Healthcare Services, Inc.*		485		2,474
Inspire Pharmaceuticals, Inc.*		606		2,460
Alliance Imaging, Inc.*		358		2,434
Arqule, Inc.*		584		2,418
Affymax, Inc.*		150		2,417
Abiomed, Inc.*		479		2,347
Vital Images, Inc.*		207		2,333
Cantel Medical Corp.*		178		2,291
Pozen, Inc.*		369		2,258
Corvel Corp.*		110		2,224
Sangamo Biosciences, Inc.*		525		2,221
Synovis Life Technologies, Inc.*		158		2,187
RTI Biologics, Inc.*		759		2,163
Repligen Corp.*		444		2,127
Assisted Living Concepts, Inc. — Class A*		156		2,115
Ardea Biosciences, Inc.*		205		2,109
Zymogenetics, Inc.*		527		2,103
Kensey Nash Corp.*		98		2,084
CryoLife, Inc.*		400		2,072
Pain Therapeutics, Inc.*		489		2,054

			MARKET
	SHARES		VALUE
Skilled Healthcare Group, Inc. —
Class A*		250	$	2,053
Dyax Corp.*		793		1,990
Neurocrine Biosciences, Inc.*		551		1,956
Ensign Group, Inc.		123		1,902
Metabolix, Inc.*		274		1,869
Idera Pharmaceuticals, Inc.*		288		1,863
Palomar Medical Technologies, Inc.*		256		1,859
Emeritus Corp.*		283		1,856
Enzo Biochem, Inc.*		460		1,849
Array Biopharma, Inc.*		685		1,808
Stereotaxis, Inc.*		444		1,772
IPC The Hospitalist Company, Inc.*		93		1,770
Depomed, Inc.*		730		1,723
Almost Family, Inc.*		90		1,718
Clinical Data, Inc.*		157		1,696
OraSure Technologies, Inc.*		667		1,688
CardioNet, Inc.*		60		1,684
Atrion Corp.		19		1,677
Discovery Laboratories, Inc.*		1,374		1,676
Medcath Corp.*		228		1,658
Medical Action Industries, Inc.*		197		1,633
DexCom, Inc.*		394		1,631
US Physical Therapy, Inc.*		166		1,607
Human Genome Sciences, Inc.*		1,924		1,597
TomoTherapy, Inc.*		580		1,537
Accelrys, Inc.*		379		1,508
BioMimetic Therapeutics, Inc.*		194		1,377
Celldex Therapeutics, Inc.*		208		1,354
Adolor Corp.*		654		1,334
Obagi Medical Products, Inc.*		247		1,329
Micrus Endovascular Corp.*		218		1,301
Lexicon Genetics, Inc.*		1,149		1,252
Exactech, Inc.*		108		1,241
Providence Service Corp.*		172		1,183
Ariad Pharmaceuticals, Inc.*		989		1,177
Spectranetics Corp.*		454		1,149
I-Flow Corp.*		310		1,132
Idenix Pharmaceuticals, Inc.*		357		1,100
Insulet Corp.*		263		1,078
BMP Sunstone Corp.*		330		1,066
TranS1, Inc.*		172		1,047
Javelin Pharmaceuticals, Inc.*		705		1,015
XOMA Ltd.*		1,882		997
Hansen Medical, Inc.*		244		981
Columbia Labs, Inc.*		661		952
NxStage Medical, Inc.*		367		947
Cambrex Corp.*		409		933
Nanosphere, Inc.*		183		910
Molecular Insight Pharmaceuticals, Inc.*		250		890
Immunomedics, Inc.*		927		890
Cynosure, Inc.*		142		865

See Notes to Financial Statements. THE RYDEX SERIES FUNDS ANNUAL REPORT    |    107

SCHEDULE OF INVESTMENTS (continued)

March 31, 2009

      RUSSELL 2000^® FUND

			MARKET
	SHARES		VALUE
Life Sciences Research, Inc.*		120	$	860
Cytokinetics, Inc.*		504		857
Cardiac Science Corp.*		282		849
Nighthawk Radiology Holdings, Inc.*		310		837
Novavax, Inc.*		817		833
Biodel, Inc.*		152		792
Chindex International, Inc.*		158		785
KV Pharmaceutical Co.*		472		779
Capital Senior Living Corp.*		319		778
Sucampo Pharmaceuticals, Inc. — Class A*		126		772
Alexza Pharmaceuticals, Inc.*		345		762
Acura Pharmaceuticals, Inc.*		117		751
Orexigen Therapeutics, Inc.*		280		731
Targacept, Inc.*		264		708
Akorn, Inc.*		814		700
MiddleBrook Pharmaceuticals, Inc.*		510		694
Opko Health, Inc.*		685		671
Caliper Life Sciences, Inc.*		678		671
Virtual Radiologic Corp.*		90		629
Alphatec Holdings, Inc.*		354		627
Amicus Therapeutics, Inc.*		65		593
Caraco Pharm Labs, Inc.*		167		588
Cytori Therapeutics, Inc.*		315		542
Synta Pharmaceuticals Corp.*		243		520
National Research Corp.		20		497
Five Star Quality Care, Inc.*		447		465
Acadia Pharmaceuticals, Inc.*		475		451
Sunrise Senior Living, Inc.*		643		437
BioForm Medical, Inc.*		313		382
RadNet, Inc.*		300		372
Cell Genesys, Inc.*		1,224		355
Vision-Sciences, Inc.*		243		311
Protalix BioTherapeutics, Inc.*		146		292
Rexahn Pharmaceuticals, Inc.*		409		286
MAP Pharmaceuticals, Inc.*		113		237
Marshall Edwards, Inc.*		288		115
Jazz Pharmaceuticals, Inc.*		110		98
Total Health Care				1,412,992
INDUSTRIALS 5.6%
Watson Wyatt & Company
Holdings		612		30,214
Waste Connections, Inc.*		1,132		29,092
Wabtec Corp.		695		18,334
Clarcor, Inc.		724		18,238
Curtiss-Wright Corp.		640		17,952
Granite Construction, Inc.		475		17,803
Tetra Tech, Inc.*		837		17,058
EMCOR Group, Inc.*		963		16,535
TransDigm Group, Inc.*		468		15,369
Regal-Beloit Corp.		464		14,217
ESCO Technologies, Inc.*		367		14,203
Moog, Inc. — Class A*		610		13,951

			MARKET
	SHARES		VALUE
Nordson Corp.		480	$	13,646
Kaydon Corp.		490		13,392
Teledyne Technologies, Inc.*		500		13,340
Clean Harbors, Inc.*		276		13,248
Acuity Brands, Inc.		584		13,163
Brady Corp. — Class A		710		12,517
Huron Consulting Group, Inc.*		295		12,517
Knight Transportation, Inc.		807		12,234
Heartland Express, Inc.		794		11,759
Briggs & Stratton Corp.		702		11,583
Mueller Industries, Inc.		529		11,474
Watsco, Inc.		333		11,332
Otter Tail Power Co.		499		11,003
GrafTech International Ltd.*		1,707		10,515
American Superconductor Corp.*		597		10,334
SkyWest, Inc.		829		10,313
ABM Industries, Inc.		619		10,152
Applied Industrial Technologies, Inc.		600		10,122
Rollins, Inc.		588		10,084
Orbital Sciences Corp.*		830		9,869
Resources Connection, Inc.*		647		9,757
Baldor Electric Co.		665		9,636
Geo Group, Inc.*		723		9,580
Simpson Manufacturing
Company, Inc.		527		9,497
United Stationers, Inc.*		333		9,351
Woodward Governor Co.		831		9,291
Genesee & Wyoming, Inc. — Class A*		437		9,286
Old Dominion Freight Line, Inc.*		394		9,255
Healthcare Services Group		612		9,162
Werner Enterprises, Inc.		601		9,087
Navigant Consulting, Inc.*		695		9,084
JetBlue Airways Corp.*		2,466		9,001
Hexcel Corp.*		1,363		8,955
Alaska Air Group, Inc.*		506		8,890
Mine Safety Appliances Co.		444		8,889
HUB Group, Inc. — Class A*		517		8,789
Triumph Group, Inc.		230		8,786
Perini Corp.*		713		8,770
Allegiant Travel Co.*		190		8,637
Energy Conversion Devices, Inc.*		641		8,506
Beacon Roofing Supply, Inc.*		635		8,503
Esterline Technologies Corp.*		421		8,500
Herman Miller, Inc.		797		8,496
Middleby Corp.*		260		8,432
CoStar Group, Inc.*		278		8,409
Belden, Inc.		665		8,319
Actuant Corp. — Class A		794		8,202
UAL Corp.*		1,790		8,019
MPS Group, Inc.*		1,347		8,015
Watts Industries, Inc. — Class A		409		8,000

108    |    THE RYDEX SERIES FUNDS ANNUAL REPORT See Notes to Financial Statements.

SCHEDULE OF INVESTMENTS (continued)

March 31, 2009

      RUSSELL 2000^® FUND

			MARKET
	SHARES		VALUE
SYKES Enterprises, Inc.*		475	$	7,899
Heico Corp.		314		7,630
AirTran Holdings, Inc.*		1,659		7,548
Mastec, Inc.*		614		7,423
Barnes Group, Inc.		679		7,259
American Science & Engineering, Inc.		130		7,254
Ameron International Corp.		134		7,056
A.O. Smith Corp.		280		7,050
Franklin Electric Company, Inc.		318		7,037
Deluxe Corp.		730		7,030
AAR Corp.*		551		6,910
Astec Industries, Inc.*		260		6,820
Forward Air Corp.		415		6,735
Ceradyne, Inc.*		370		6,708
Insituform Technologies, Inc. — Class A*		424		6,631
HNI Corp.		631		6,562
Administaff, Inc.		308		6,508
Universal Forest Products, Inc.		244		6,493
Arkansas Best Corp.		325		6,181
Badger Meter, Inc.		212		6,125
Robbins & Myers, Inc.		400		6,068
Korn/Ferry International, Inc.*		666		6,034
II-VI, Inc.*		349		5,996
Comfort Systems USA, Inc.		574		5,952
Griffon Corp.*		764		5,730
Mobile Mini, Inc.*		490		5,645
Tredegar Corp.		342		5,585
Cubic Corp.		218		5,522
Encore Wire Corp.		256		5,486
Circor International, Inc.		243		5,472
Mueller Water Products, Inc. — Class A		1,650		5,445
Mcgrath Rentcorp		340		5,358
TrueBlue, Inc.*		634		5,230
GeoEye, Inc.*		260		5,135
EnPro Industries, Inc.*		294		5,027
Exponent, Inc.*		195		4,939
Axsys Technologies, Inc.*		117		4,919
G & K Services, Inc. — Class A		257		4,860
Raven Industries, Inc.		230		4,779
RBC Bearings, Inc.*		310		4,737
EnerSys*		390		4,727
School Specialty, Inc.*		267		4,697
DynCorp International, Inc. — Class A*		350		4,665
Force Protection, Inc.*		970		4,656
AZZ, Inc.*		175		4,618
Apogee Enterprises, Inc.		414		4,546
Kaman Corp. — Class A		360		4,514
Lindsay Manufacturing Co.		167		4,509
Amerco, Inc.*		133		4,459
CBIZ, Inc.*		636		4,433
Evergreen Solar, Inc.*		2,042		4,349

			MARKET
	SHARES		VALUE
Layne Christensen Co.*		270	$	4,339
Genco Shipping & Trading Ltd.		350		4,319
Rush Enterprises, Inc. — Class A*		478		4,264
Knoll, Inc.		695		4,260
Heidrick & Struggles International, Inc.		240		4,258
Taser International, Inc.*		893		4,179
Viad Corp.		293		4,137
Orion Marine Group, Inc.*		314		4,113
US Airways Group, Inc.*		1,620		4,099
Marten Transport Ltd.*		217		4,054
EnergySolutions, Inc.		468		4,048
Quanex Building Products Corp.		529		4,020
Gorman-Rupp Co.		200		3,960
Powell Industries, Inc.*		112		3,955
Interline Brands, Inc.*		463		3,903
Advisory Board Co.*		235		3,896
Albany International Corp. — Class A		417		3,774
Applied Signal Technology, Inc.		184		3,722
LB Foster Co. — Class A*		147		3,650
YRC Worldwide, Inc.*		807		3,623
Federal Signal Corp.		685		3,610
Argon ST, Inc.*		190		3,604
Northwest Pipe Co.*		126		3,587
RSC Holdings, Inc.*		676		3,556
AAON, Inc.		191		3,461
Stanley, Inc.*		132		3,351
ATC Technology Corp.*		296		3,315
Dycom Industries, Inc.*		571		3,306
Atlas Air Worldwide Holdings Company, Inc.*		190		3,297
Ennis, Inc.		372		3,296
Republic Airways Holdings, Inc.*		505		3,272
American Ecology Corp.		234		3,262
Chart Industries, Inc.*		404		3,184
CRA International, Inc.*		165		3,115
Kforce, Inc.*		439		3,086
Aircastle Ltd.		663		3,083
Aerovironment, Inc.*		147		3,072
Team, Inc.*		258		3,024
Kelly Services, Inc. — Class A		374		3,011
Ener1, Inc.*		577		2,983
Kimball International, Inc. — Class B		453		2,972
Freightcar America, Inc.		166		2,910
Sterling Construction Company, Inc.*		160		2,854
GT Solar International, Inc.*		427		2,835
Fuel Tech, Inc.*		269		2,814
Eagle Bulk Shipping Inc.		659		2,801
American Woodmark Corp.		150		2,634
Michael Baker Corp.*		100		2,600
Cornell Companies, Inc.*		157		2,570

See Notes to Financial Statements. THE RYDEX SERIES FUNDS ANNUAL REPORT    |    109

SCHEDULE OF INVESTMENTS (continued)

March 31, 2009

      RUSSELL 2000^® FUND

			MARKET
	SHARES		VALUE
Odyssey Marine Exploration, Inc.*		742	$	2,515
Blount International, Inc.*		544		2,513
Sun Hydraulics Corp.		172		2,513
Titan International, Inc.		494		2,485
Columbus McKinnon Corp. — Class A*		274		2,389
Duff & Phelps Corp. — Class A*		150		2,363
Courier Corp.		155		2,351
FuelCell Energy, Inc.*		976		2,342
Herley Industries, Inc.*		194		2,320
Saia, Inc.*		193		2,306
Cascade Corp.		130		2,292
Interface, Inc. — Class A		766		2,290
Hawaiian Holdings, Inc.*		607		2,264
Tennant Co.		240		2,249
Cenveo, Inc.*		677		2,200
Pike Electric Corp.*		237		2,192
Ducommun, Inc.		150		2,181
NACCO Industries, Inc. — Class A		80		2,174
Colfax Corp.*		310		2,130
Aceto Corp.		353		2,104
Kadant, Inc.*		181		2,085
ICF International, Inc.*		90		2,067
First Advantage Corp. — Class A*		150		2,067
EnerNOC, Inc.*		142		2,065
Standard Parking Corp.*		123		2,017
Houston Wire & Cable Co.		250		1,938
Innerworkings, Inc.*		448		1,913
Multi-Color Corp.		152		1,859
American Reprographics Co.*		520		1,841
M&F Worldwide Corp.*		157		1,838
K-Tron International, Inc.*		30		1,820
Consolidated Graphics, Inc.*		143		1,819
Gibraltar Industries, Inc.		381		1,798
CDI Corp.		184		1,788
Capstone Turbine Corp.*		2,478		1,784
Insteel Industries, Inc.		250		1,740
Met-Pro Corp.		212		1,728
Gencorp, Inc.*		814		1,726
Celadon Group, Inc.*		310		1,721
Pacer International, Inc.		490		1,715
Great Lakes Dredge & Dock Corp. Co.		567		1,707
Trex Company, Inc.*		220		1,679
Ladish Company, Inc.*		230		1,670
Standex International Corp.		178		1,638
International Shipholding Corp.		83		1,633
Ampco-Pittsburgh Corp.		123		1,631
Furmanite Corp.*		524		1,630
American Commercial Lines, Inc.*		513		1,626
3D Systems Corp.*		246		1,621

			MARKET
	SHARES		VALUE
Valence Technology, Inc.*		760	$	1,619
Dynamic Materials Corp.		176		1,612
VSE Corp.		60		1,602
TAL International Group, Inc.		215		1,574
Energy Recovery, Inc.*		207		1,573
Patriot Transportation Holding, Inc.*		25		1,558
Dynamex, Inc.*		118		1,543
China Fire & Security Group, Inc.*		196		1,541
Spherion Corp.*		733		1,525
Preformed Line Products Co.		40		1,506
H&E Equipment Services, Inc.*		226		1,480
Waste Services Inc.*		345		1,477
Altra Holdings, Inc.*		380		1,474
PMFG, Inc.*		185		1,458
LaBarge, Inc.*		172		1,440
Ultralife Batteries, Inc.*		184		1,422
LSI Industries, Inc.		275		1,422
On Assignment, Inc.*		502		1,360
Vicor Corp.		277		1,355
Advanced Battery Technologies, Inc.*		617		1,320
Horizon Lines, Inc. — Class A		420		1,273
Schawk, Inc.		208		1,256
Graham Corp.		140		1,256
Microvision, Inc.*		972		1,254
Bowne & Company, Inc.		387		1,242
Universal Truckload Services, Inc.		85		1,219
Volt Information Sciences, Inc.*		173		1,150
TBS International Ltd. — Class A*		150		1,103
Plug Power, Inc.*		1,202		1,046
DXP Enterprises, Inc.*		100		1,033
Tecumseh Products Company — Class A*		228		1,031
American Railcar Industries, Inc.		133		1,015
Hill International, Inc.*		333		1,012
Integrated Electrical Services, Inc.*		108		985
Standard Register Co.		210		962
Fushi Copperweld, Inc.*		200		960
Textainer Group Holdings Ltd.		142		959
Hurco Companies, Inc.*		90		957
Flanders Corp.*		235		949
Power-One, Inc.*		1,057		930
Alamo Group, Inc.		87		927
Polypore International, Inc.*		230		925
LECG Corp.*		357		907
Ultrapetrol Bahamas Ltd.*		334		902
Titan Machinery, Inc.*		100		899
LMI Aerospace, Inc.*		120		869
Flow International Corp.*		530		859
Greenbrier Companies, Inc.		228		834

110    |    THE RYDEX SERIES FUNDS ANNUAL REPORT See Notes to Financial Statements.

SCHEDULE OF INVESTMENTS (continued)

March 31, 2009

      RUSSELL 2000^® FUND

			MARKET
	SHARES		VALUE
Twin Disc, Inc.		120	$	830
PowerSecure International, Inc.*		241		824
China BAK Battery, Inc.*		466		797
ACCO Brands Corp.*		773		758
Lawson Products, Inc.		60		730
Lydall, Inc.*		240		713
Harbin Electric, Inc.*		113		695
ICT Group, Inc.*		120		668
Beacon Power Corp.*		1,382		650
Omega Flex, Inc.		40		644
NCI Building Systems, Inc.*		282		626
Key Technology, Inc.*		70		616
PRG-Schultz International, Inc.*		213		605
Metalico, Inc.*		343		583
Casella Waste Systems, Inc. — Class A*		323		552
Wabash National Corp.		437		538
United Capital Corp.*		30		518
COMSYS IT Partners, Inc.*		215		475
Orion Energy Systems Inc.*		105		463
Ascent Solar Technologies, Inc.*		114		463
Builders FirstSource, Inc.*		228		461
Thermadyne Holdings Corp.*		191		405
Hudson Highland Group, Inc.*		361		401
Sauer, Inc.		160		390
Park-Ohio Holdings Corp.*		117		381
Trimas Corp.*		214		375
Dollar Thrifty Automotive Group, Inc.*		310		360
Akeena Solar, Inc.*		298		334
Amrep Corp. PLC*		20		314
NN, Inc.		226		285
CAI International, Inc.*		100		283
Protection One, Inc.*		87		278
China Architectural Engineering, Inc.*		265		260
Coleman Cable, Inc.*		110		234
Xerium Technologies, Inc.*		295		198
Medis Technologies Ltd.*		443		195
Commercial Vehicle Group, Inc.*		315		173
Total Industrials				1,363,643
CONSUMER DISCRETIONARY 4.5%
Wendy’s/Arby’s Group, Inc. — Class A		5,638		28,359
Aeropostale, Inc.*		947		25,152
Netflix, Inc.*		575		24,679
Corinthian Colleges, Inc.*		1,215		23,632
Jack in the Box, Inc.*		834		19,424
Rent-A-Center, Inc.*		953		18,460
Marvel Entertainment, Inc.*		687		18,240
Tractor Supply Co.*		473		17,056
Aaron Rents, Inc.		637		16,982
The Warnaco Group, Inc.*		647		15,528
Carter’s, Inc.*		803		15,104
Tupperware Brands Corp.		877		14,900

			MARKET
	SHARES		VALUE
Bally Technologies, Inc.*		777	$	14,312
Chico’s FAS, Inc.*		2,514		13,500
Coinstar, Inc.*		403		13,202
Interactive Data Corp.		523		13,002
WMS Industries, Inc.*		619		12,943
Matthews International Corp. — Class A		440		12,676
Wolverine World Wide, Inc.		713		11,109
Men’s Wearhouse, Inc.		732		11,082
Buckle, Inc.		331		10,569
Capella Education Co.*		199		10,547
Deckers Outdoor Corp.*		194		10,290
Polaris Industries, Inc.		475		10,184
Ryland Group, Inc.		610		10,163
Fossil, Inc.*		637		10,001
Bob Evans Farms, Inc.		444		9,954
Cheesecake Factory, Inc.*		854		9,778
Buffalo Wild Wings, Inc.*		250		9,145
Pool Corp.		682		9,139
Cracker Barrel Old Country Store, Inc.		311		8,907
Regis Corp.		614		8,872
Collective Brands, Inc.*		910		8,863
Sotheby’s		960		8,640
Gymboree Corp.*		403		8,604
Vail Resorts, Inc.*		420		8,581
Sonic Corp.*		851		8,527
Timberland Co. — Class A*		686		8,191
J. Crew Group, Inc.*		603		7,948
National CineMedia, Inc.		601		7,921
Dress Barn, Inc.*		639		7,853
P.F. Chang’s China Bistro, Inc.*		343		7,848
Under Armour, Inc.*		475		7,804
Hibbett Sports Inc.*		405		7,784
Tempur-Pedic International, Inc.		1,058		7,723
CEC Entertainment, Inc.*		295		7,635
Sally Beauty Holdings, Inc.*		1,340		7,611
Iconix Brand Group, Inc.*		824		7,292
Children’s Place Retail Stores, Inc.*		333		7,289
Jos. A. Bank Clothiers, Inc.*		262		7,286
Cato Corp. — Class A		394		7,202
Papa John’s International, Inc.*		310		7,090
American Public Education, Inc.*		165		6,940
HOT Topic, Inc.*		619		6,927
Callaway Golf Co.		939		6,742
Texas Roadhouse, Inc.*		706		6,728
Fred’s, Inc.		574		6,475
Monro Muffler Brake, Inc.		234		6,395
CKE Restaurants, Inc.		745		6,258
99 Cents Only Stores*		670		6,191
NutriSystem, Inc.		430		6,136
Life Time Fitness, Inc.*		486		6,104
Pinnacle Entertainment, Inc.*		855		6,019
Helen of Troy Ltd.*		434		5,967

See Notes to Financial Statements. THE RYDEX SERIES FUNDS ANNUAL REPORT    |    111

SCHEDULE OF INVESTMENTS (continued)

March 31, 2009

      RUSSELL 2000^® FUND

			MARKET
	SHARES		VALUE
Arbitron, Inc.		395	$	5,929
Jo-Ann Stores, Inc.*		360		5,882
Blue Nile, Inc.*		195		5,879
PetMed Express, Inc.*		345		5,686
Steiner Leisure Ltd.*		230		5,614
Unifirst Corp.		200		5,568
Columbia Sportswear Co.		184		5,505
Stage Stores, Inc.		544		5,484
Scholastic Corp.		339		5,109
Genesco, Inc.*		270		5,084
Cabela’s, Inc. — Class A*		557		5,074
Meritage Homes Corp.*		437		4,991
Gaylord Entertainment Co.*		583		4,856
Jakks Pacific, Inc.*		393		4,854
Steven Madden, Ltd.*		250		4,695
Dillard’s, Inc. — Class A		814		4,640
Group 1 Automotive, Inc.		329		4,596
Ameristar Casinos, Inc.		364		4,579
Citi Trends, Inc.*		198		4,532
The Wet Seal, Inc. — Class A*		1,310		4,402
Brunswick Corp.		1,247		4,302
Churchill Downs, Inc.		142		4,269
Peet’s Coffee & Tea, Inc.*		190		4,108
Finish Line, Inc. — Class A		609		4,032
Ethan Allen Interiors, Inc.		354		3,986
Red Robin Gourmet Burgers, Inc.*		225		3,967
California Pizza Kitchen, Inc.*		303		3,963
Cinemark Holdings, Inc.		420		3,944
Superior Industries International, Inc.		326		3,863
Stewart Enterprises, Inc. — Class A		1,190		3,856
Universal Technical Institute, Inc.*		308		3,696
Universal Electronics, Inc.*		204		3,692
Domino’s Pizza, Inc.*		563		3,688
Bebe Stores, Inc.		551		3,675
National Presto Industries, Inc.		60		3,661
BJ’s Restaurants, Inc.*		252		3,505
World Wrestling Entertainment, Inc.		296		3,416
Cooper Tire & Rubber Co.		840		3,394
American Greetings Corp. — Class A		647		3,274
Exide Technologies*		1,076		3,228
Pre-Paid Legal Services, Inc.*		110		3,193
Smith & Wesson Holding Corp.*		530		3,191
K-Swiss, Inc. — Class A		367		3,134
Steak n Shake Co.*		411		3,111
Skechers U.S.A., Inc. — Class A*		466		3,108
Raser Technologies, Inc.*		740		3,101
CKX, Inc.*		747		3,063
DineEquity, Inc.		252		2,989
Maidenform Brands, Inc.*		318		2,913
Live Nation, Inc.*		1,083		2,892

			MARKET
	SHARES		VALUE
True Religion Apparel, Inc.*		244	$	2,882
Dolan Media Co.*		358		2,817
Harte-Hanks, Inc.		524		2,803
Zumiez, Inc.*		285		2,764
Weyco Group, Inc.		104		2,696
Haverty Furniture Companies, Inc.		254		2,675
Shutterfly, Inc.*		284		2,661
PEP Boys-Manny Moe & Jack		600		2,646
Volcom, Inc.*		264		2,561
Grand Canyon Education, Inc.*		147		2,537
hhgregg, Inc.*		178		2,519
Marcus Corp.		294		2,499
Charlotte Russe Holding, Inc.*		303		2,469
Drew Industries, Inc.*		283		2,456
Core-Mark Holding Company, Inc.*		133		2,423
Lululemon Athletica, Inc.*		277		2,399
Fuel Systems Solutions, Inc.*		174		2,346
FGX International Holdings Ltd.*		200		2,324
Quiksilver, Inc.*		1,790		2,291
Blyth, Inc.		87		2,273
Denny’s Corp.*		1,357		2,266
Mediacom Communications Corp.*		562		2,265
Charming Shoppes, Inc.*		1,612		2,257
Brown Shoe Company, Inc.		601		2,254
Speedway Motorsports, Inc.		190		2,246
Ambassadors Group, Inc.		273		2,217
Winnebago Industries, Inc.		414		2,198
Shuffle Master, Inc.*		750		2,152
Systemax, Inc.*		165		2,132
Ruby Tuesday, Inc.*		729		2,129
Cavco Industries, Inc.*		90		2,124
Jackson Hewitt Tax Service, Inc.		405		2,114
Christopher & Banks Corp.		500		2,045
Coldwater Creek, Inc.*		811		2,036
Conn’s, Inc.*		143		2,008
Overstock.com, Inc.*		217		1,986
RCN Corp.*		532		1,968
Asbury Automotive Group, Inc.		453		1,952
Ulta Salon Cosmetics & Fragrance, Inc.*		290		1,920
America’s Car Mart, Inc.*		140		1,903
iRobot Corp.*		248		1,885
Skyline Corp.		98		1,863
Stamps.com, Inc.*		190		1,843
Spartan Motors, Inc.		457		1,837
Big 5 Sporting Goods Corp.		310		1,820
Blockbuster, Inc. — Class A*		2,520		1,814
Cherokee, Inc.		114		1,778
DSW, Inc.*		191		1,774
Movado Group, Inc.		228		1,719
CSS Industries, Inc.		100		1,700
Lumber Liquidators, Inc.*		133		1,696
AFC Enterprises, Inc.*		364		1,642

112    |    THE RYDEX SERIES FUNDS ANNUAL REPORT See Notes to Financial Statements.

SCHEDULE OF INVESTMENTS (continued)

March 31, 2009

      RUSSELL 2000^® FUND

			MARKET
	SHARES		VALUE
Knology, Inc.*		397	$	1,636
Midas, Inc.*		205		1,624
Luby’s, Inc.*		314		1,542
Pacific Sunwear of California, Inc.*		927		1,539
Dorman Products, Inc.*		160		1,493
Build-A-Bear Workshop, Inc.*		244		1,481
Outdoor Channel Holdings, Inc.*		210		1,432
American Apparel, Inc.*		485		1,416
CROCS, Inc.*		1,180		1,404
Cox Radio Inc. — Class A*		340		1,394
drugstore.com, Inc.*		1,190		1,392
M/I Homes, Inc.		197		1,377
Shoe Carnival, Inc.*		132		1,366
RC2 Corp.*		252		1,328
Krispy Kreme Doughnuts, Inc.*		799		1,278
Standard-Pacific Corp.*		1,431		1,259
Talbots, Inc.		353		1,239
Oxford Industries, Inc.		199		1,228
Rex Stores Corp.*		113		1,211
K12 Inc.*		87		1,209
New York & Company, Inc.*		330		1,171
Amerigon, Inc.*		315		1,165
Steinway Musical Instruments, Inc.*		97		1,161
Modine Manufacturing Co.		463		1,157
Isle of Capri Casinos, Inc.*		217		1,148
Hooker Furniture Corp.		134		1,131
Lincoln Educational Services Corp.*		60		1,099
Morgans Hotel Group Co.*		346		1,076
Tenneco, Inc.*		659		1,074
Valassis Communications, Inc.*		684		1,074
Learning Tree International, Inc.*		125		1,059
Stein Mart, Inc.*		362		1,046
Hovnanian Enterprises, Inc. — Class A*		666		1,039
G-III Apparel Group Ltd.*		186		1,027
Sealy Corp.*		635		946
Quantum Fuel Systems
Technologies Worldwide, Inc.*		1,170		936
La-Z-Boy, Inc.		734		917
Primedia, Inc.		365		902
Landry’s Restaurants, Inc.		172		898
Global Sources Ltd.*		230		895
Great Wolf Resorts, Inc.*		381		888
Martha Stewart Omnimedia, Inc.*		356		886
Fisher Communications, Inc.		90		878
Furniture Brands International, Inc.		593		872
Zale Corp.*		446		870
Kenneth Cole Productions, Inc. — Class A		135		863

			MARKET
	SHARES		VALUE
American Axle & Manufacturing Holdings, Inc.		653	$	862
Audiovox Corp. — Class A*		251		861
Princeton Review, Inc.*		195		848
Gaiam, Inc.*		257		843
ArvinMeritor, Inc.		1,052		831
Monarch Casino & Resort, Inc.*		160		826
O’Charleys, Inc.		264		795
Belo Corp. — Class A		1,273		777
1-800-FLOWERS.com, Inc.*		374		774
Town Sports International Holdings, Inc.*		254		759
Tween Brands, Inc.*		350		749
Wonder Auto Technology, Inc.*		208		745
Sinclair Broadcast Group, Inc. — Class A		696		717
Pier 1 Imports, Inc.*		1,267		710
Lear Corp.*		912		684
Orbitz Worldwide, Inc.*		523		675
Fuqi International, Inc.*		143		672
Leapfrog Enterprises, Inc.*		472		651
Dana Holding Corp.*		1,409		648
Retail Ventures, Inc.*		414		629
Media General, Inc.		320		614
Dover Downs Gaming & Entertainment, Inc.		200		614
Sonic Automotive, Inc.		373		597
Perry Ellis International, Inc.*		172		595
Marine Products Corp.		140		594
Playboy Enterprises, Inc. — Class B*		300		591
Beazer Homes USA, Inc.*		563		569
Syms Corp.*		90		551
Tuesday Morning Corp.*		432		549
Value Line, Inc.		20		547
Borders Group, Inc.*		863		544
Champion Enterprises, Inc.*		1,102		529
Global Traffic Network, Inc.*		166		503
Lodgian, Inc.*		234		491
Cache, Inc.*		157		452
Stoneridge, Inc.*		214		452
Journal Communications, Inc. — Class A		602		451
Brookfield Homes Corp.		130		449
MarineMax, Inc.*		226		443
Rick’s Cabaret International, Inc.*		97		440
Lin TV Corp. — Class A*		377		422
Unifi, Inc.*		644		412
Dover Motorsports, Inc.		217		401
Entercom Communications Corp.		362		398
McClatchy Company — Class A		811		397
Cumulus Media, Inc. — Class A*		380		384
Ruth’s Chris Steak House*		290		351

See Notes to Financial Statements. THE RYDEX SERIES FUNDS ANNUAL REPORT    |    113

SCHEDULE OF INVESTMENTS (continued)

March 31, 2009

      RUSSELL 2000^® FUND

			MARKET
	SHARES		VALUE
Einstein Noah Restaurant Group, Inc.*		60	$	350
Russ Berrie & Company, Inc.*		243		321
Bluegreen Corp.*		180		313
Bidz.com, Inc.*		76		306
Palm Harbor Homes, Inc.*		137		306
Crown Media Holdings, Inc. — Class A*		147		300
AH Belo Corp. — Class A		290		284
RHI Entertainment*		186		283
Six Flags, Inc.*		1,027		277
Hayes Lemmerz International, Inc.*		1,441		267
Casual Male Retail Group, Inc.*		530		260
Entravision Communications Corp. — Class A*		802		209
Nautilus, Inc.*		321		202
Gray Television, Inc.		613		196
Libbey, Inc.		212		195
Lee Enterprises, Inc.		639		179
Riviera Holdings Corp.*		140		143
Charter Communications, Inc. — Class A*		5,806		121
Aristotle Corp.*		19		66
Total Consumer Discretionary				1,102,222
UTILITIES 1.7%
ITC Holdings Corp.		700		30,534
Piedmont Natural Gas Co.		1,038		26,874
Westar Energy, Inc.		1,488		26,085
WGL Holdings, Inc.		698		22,894
Nicor, Inc.		644		21,400
New Jersey Resources Corp.		597		20,286
Cleco Corp.		860		18,653
Northwest Natural Gas Co.		377		16,369
Portland General Electric Co.		893		15,708
IDACORP, Inc.		638		14,904
South Jersey Industries, Inc.		421		14,735
Unisource Energy Corp.		495		13,954
Southwest Gas Corp.		607		12,789
Laclede Group, Inc.		310		12,084
California Water Service Group		278		11,637
NorthWestern Corp.		508		10,912
CH Energy Group, Inc.		223		10,459
Allete, Inc.		391		10,436
Avista Corp.		754		10,390
PNM Resources, Inc.		1,233		10,184
Black Hills Corp.		549		9,822
Mge Energy, Inc.		308		9,662
El Paso Electric Co.*		644		9,074
American States Water Co.		238		8,644
UIL Holding Corp.		362		8,080
Empire District Electric Co.		480		6,931
Ormat Technologies, Inc.		249		6,837
SJW Corp.		190		4,832
Chesapeake Utilities Corp.		98		2,987

			MARKET
	SHARES		VALUE
Central Vermont Public Service Corp.		160	$	2,768
Middlesex Water Co.		190		2,736
Connecticut Water Service, Inc.		120		2,434
Consolidated Water Company, Inc.		210		2,278
Southwest Water Co.		346		1,488
Cadiz, Inc.*		167		1,333
US Geothermal, Inc.*		881		625
Synthesis Energy Systems, Inc.*		360		238
Total Utilities				412,056
ENERGY 1.5%
EXCO Resources, Inc.*		2,127		21,270
Concho Resources, Inc.*		793		20,293
Comstock Resources, Inc.*		650		19,370
Nordic American Tanker Shipping		539		15,793
Arena Resources, Inc.*		545		13,887
Dril-Quip, Inc.*		441		13,539
World Fuel Services Corp.		412		13,032
Bill Barrett Corp.*		525		11,676
CARBO Ceramics, Inc.		291		8,276
Gran Tierra Energy, Inc.*		3,149		7,904
Lufkin Industries, Inc.		208		7,879
GulfMark Offshore, Inc.*		323		7,707
USEC, Inc.*		1,580		7,584
Contango Oil & Gas Co.*		190		7,448
Bristow Group, Inc.*		344		7,372
Berry Petroleum Co. — Class A		613		6,718
Penn Virginia Corp.		592		6,500
Goodrich Petroleum Corp.*		323		6,253
Willbros Group, Inc.*		554		5,374
NATCO Group, Inc.*		277		5,244
Hornbeck Offshore Services, Inc.*		331		5,044
Western Refining, Inc.		420		5,015
General Maritime Corp.		695		4,865
James River Coal Co.*		391		4,825
Vaalco Energy, Inc.*		845		4,470
Atlas America, Inc.		495		4,331
Cal Dive International, Inc.*		629		4,258
McMoRan Exploration Co.*		847		3,981
Ship Finance International Ltd.		600		3,936
Basic Energy Services, Inc.*		593		3,837
Rosetta Resources, Inc.*		730		3,613
Knightsbridge Tankers Ltd.		240		3,492
Carrizo Oil & Gas, Inc.*		391		3,472
Newpark Resources, Inc.*		1,286		3,254
Swift Energy Co.*		435		3,175
BPZ Resources, Inc.*		851		3,149
Matrix Service Co.*		366		3,009
Parker Drilling Co.*		1,607		2,957
Cheniere Energy, Inc.*		691		2,944
International Coal Group, Inc.*		1,810		2,914

114    |    THE RYDEX SERIES FUNDS ANNUAL REPORT See Notes to Financial Statements.

SCHEDULE OF INVESTMENTS (continued)

March 31, 2009

      RUSSELL 2000^® FUND

			MARKET
	SHARES		VALUE
RPC, Inc.		414	$	2,745
Petroleum Development Corp.*		210		2,480
Evergreen Energy Inc.*		1,753		2,440
Clayton Williams Energy, Inc.*		83		2,427
Pioneer Drilling Co.*		707		2,319
DHT Maritime, Inc.		563		2,162
Clean Energy Fuels Corp.*		348		2,119
T-3 Energy Services, Inc. — Class A*		178		2,097
Complete Production Services, Inc.*		677		2,085
Delek US Holdings, Inc.		194		2,010
Alon USA Energy, Inc.		146		2,000
ATP Oil & Gas Corp.*		389		1,996
ION Geophysical Corp.*		1,276		1,991
Bronco Drilling Company, Inc.*		374		1,967
Oilsands Quest, Inc.*		2,643		1,903
PHI, Inc.*		190		1,896
CVR Energy, Inc.*		332		1,839
Teekay Tankers Ltd.		190		1,807
ENGlobal Corp.*		384		1,743
Golar LNG Ltd.		503		1,725
Panhandle Oil and Gas, Inc. - Class A		100		1,712
FX Energy, Inc.*		574		1,596
Harvest Natural Resources, Inc.*		469		1,590
Natural Gas Services Group, Inc.*		174		1,566
GMX Resources, Inc.*		238		1,547
Stone Energy Corp.*		453		1,508
Petroquest Energy, Inc.*		625		1,500
Dawson Geophysical Co.*		108		1,458
Endeavour International Corp.*		1,617		1,407
Gulf Island Fabrication, Inc.		172		1,378
Rentech, Inc.*		2,358		1,297
Brigham Exploration Co.*		660		1,254
Superior Well Services, Inc.*		230		1,180
Northern Oil And Gas, Inc.*		300		1,080
Delta Petroleum Corp.*		882		1,058
Venoco, Inc.*		294		964
Crosstex Energy, Inc.		573		940
Westmoreland Coal Co.*		130		932
Bolt Technology Corp.*		124		882
Sulphco, Inc.*		818		875
Gulfport Energy Corp.*		374		868
Warren Resources, Inc.*		832		799
Approach Resources, Inc.*		125		775
Allis-Chalmers Energy, Inc.*		400		772
Parallel Petroleum Corp.*		594		760
Union Drilling, Inc.*		197		749
OYO Geospace Corp.*		57		744
Rex Energy Corp.*		243		697
Energy XXI Bermuda Ltd.		1,700		637
Abraxas Petroleum Corp.*		599		617
Double Eagle Petroleum Co.*		117		605

			MARKET
	SHARES		VALUE
Toreador Resources Corp.		237	$	595
Georesources, Inc.*		88		591
APCO Argentina, Inc.		50		551
Mitcham Industries, Inc.*		143		545
National Coal Corp.*		390		530
Gasco Energy, Inc.*		1,329		518
PrimeEnergy Corp.*		10		499
RAM Energy Resources, Inc.*		666		486
American Oil & Gas, Inc.*		525		404
GeoGlobal Resources, Inc.*		540		389
Houston American Energy Corp.		208		387
Trico Marine Services, Inc.*		178		374
Tri-Valley Corp.*		320		365
Callon Petroleum Co.*		302		329
Uranium Resources, Inc.*		700		329
BMB Munai, Inc.*		566		328
Cano Petroleum, Inc.*		668		287
Meridian Resource Corp.*		1,100		231
Geokinetics, Inc.*		70		229
Pacific Ethanol, Inc.*		635		210
TXCO Resources, Inc.*		500		206
GeoMet, Inc.*		258		150
Quest Resource Corp.*		393		123
GreenHunter Energy, Inc.*		60		114
Total Energy				373,928
CONSUMER STAPLES 1.5%
Ralcorp Holdings, Inc.*		801		43,158
Flowers Foods, Inc.		1,100		25,828
Casey’s General Stores, Inc.		720		19,195
Ruddick Corp.		601		13,492
Chattem, Inc.*		240		13,452
TreeHouse Foods, Inc.*		440		12,668
Lancaster Colony Corp.		295		12,237
United Natural Foods, Inc.*		610		11,572
Green Mountain Coffee Roasters, Inc.*		238		11,424
Sanderson Farms, Inc.		294		11,040
Universal Corp.		358		10,711
Fresh Del Monte Produce, Inc.*		599		9,836
Hain Celestial Group, Inc.*		583		8,302
Lance, Inc.		384		7,995
Tootsie Roll Industries, Inc.		354		7,686
Winn-Dixie Stores, Inc.*		773		7,390
Nu Skin Enterprises, Inc.		702		7,364
J&J Snack Foods Corp.		204		7,056
Central Garden and Pet Co. — Class A*		912		6,858
Diamond Foods, Inc.		233		6,508
Vector Group Ltd.		475		6,170
WD-40 Co.		234		5,649
Pantry, Inc.*		319		5,618
Smart Balance, Inc.*		893		5,394
Weis Markets, Inc.		165		5,122
Nash Finch Co.		180		5,056
Alliance One International, Inc.*		1,263		4,850

See Notes to Financial Statements. THE RYDEX SERIES FUNDS ANNUAL REPORT    |    115

SCHEDULE OF INVESTMENTS (continued)

March 31, 2009

      RUSSELL 2000^® FUND

			MARKET
	SHARES		VALUE
Spartan Stores, Inc.		313	$	4,823
Darling International, Inc.*		1,160		4,304
Cal-Maine Foods, Inc.		185		4,142
Chiquita Brands International, Inc.*		616		4,084
Star Scientific, Inc.*		945		4,045
Andersons, Inc.		260		3,676
Pricesmart, Inc.		200		3,602
American Oriental Bioengineering, Inc.*		877		3,385
Coca-Cola Bottling Company Consolidated		56		2,915
Village Super Market		92		2,868
Ingles Markets, Inc. — Class A		184		2,747
Great Atlantic & Pacific Tea Company, Inc*		500		2,655
Prestige Brands Holdings, Inc. — Class A*		480		2,486
Boston Beer Company, Inc. — Class A*		118		2,461
Arden Group, Inc.		20		2,337
Zhongpin, Inc.*		260		2,309
Elizabeth Arden, Inc.*		349		2,035
USANA Health Sciences, Inc.*		90		2,012
Farmer Brothers Co.		103		1,833
Calavo Growers, Inc.		151		1,815
American Dairy, Inc.*		100		1,691
Griffin Land & Nurseries, Inc.		50		1,652
Susser Holdings Corp.*		113		1,519
B&G Foods, Inc.		287		1,492
National Beverage Corp.*		152		1,394
China Sky One Medical, Inc.*		110		1,265
Synutra International, Inc.*		151		1,240
Imperial Sugar Company, Inc.		167		1,201
Alico, Inc.		50		1,200
Inter Parfums, Inc.		200		1,166
Mannatech, Inc.		223		743
HQ Sustainable Maritime Industries, Inc.*		95		727
Omega Protein Corp.*		257		678
AgFeed Industries, Inc.*		278		628
Schiff Nutrition International, Inc.*		133		598
Lifeway Foods, Inc.*		70		546
Reddy Ice Holdings, Inc.		252		370
Total Consumer Staples				370,275
MATERIALS 1.4%
Compass Minerals International, Inc.		457		25,761
Royal Gold, Inc.		416		19,452
Silgan Holdings, Inc.		362		19,019
Sensient Technologies Corp.		685		16,097
Olin Corp.		1,057		15,083
Rock-Tenn Co. — Class A		544		14,715
Calgon Carbon Corp.*		772		10,939
H.B. Fuller Co.		690		8,970

			MARKET
	SHARES		VALUE
Minerals Technologies, Inc.		270	$	8,654
OM Group, Inc.*		435		8,404
Texas Industries, Inc.		334		8,350
NewMarket Corp.		188		8,328
Worthington Industries, Inc.		910		7,926
Coeur d’Alene Mines Corp.*		7,832		7,362
Arch Chemicals, Inc.		350		6,636
Balchem Corp.		264		6,634
W.R. Grace & Co.*		1,020		6,446
Deltic Timber Corp.		153		6,030
Amcol International Corp.		374		5,550
A. Schulman, Inc.		384		5,203
Kaiser Aluminum Corp.		223		5,156
Hecla Mining Co.*		2,419		4,838
Rockwood Holdings, Inc.*		595		4,724
Koppers Holdings, Inc.		298		4,327
Schweitzer-Mauduit International, Inc.		224		4,135
Glatfelter		638		3,981
Brush Engineered Materials, Inc.*		287		3,981
Westlake Chemical Corp.		268		3,921
RTI International Metals, Inc.*		332		3,884
Allied Nevada Gold Corp.*		641		3,750
American Vanguard Corp.		270		3,483
Wausau Paper Corp.		630		3,314
Louisiana-Pacific Corp.		1,476		3,291
PolyOne Corp.*		1,323		3,056
Zep, Inc.		298		3,049
Haynes International, Inc.*		167		2,976
Horsehead Holding Corp.*		497		2,734
Zoltek Companies, Inc.*		390		2,656
Stepan Co.		93		2,539
LSB Industries, Inc.*		254		2,512
Solutia, Inc.*		1,340		2,506
Myers Industries, Inc.		398		2,444
GenTek, Inc.*		131		2,291
Stillwater Mining Co.*		562		2,079
A.M. Castle & Co.		230		2,052
Olympic Steel, Inc.		130		1,972
Headwaters, Inc.*		597		1,875
Landec Corp.*		335		1,866
Graphic Packaging Holding Co.*		2,054		1,787
Innophos Holdings, Inc.		148		1,669
ShengdaTech, Inc.*		426		1,321
Clearwater Paper Corp.*		164		1,317
Innospec, Inc.		333		1,255
Buckeye Technologies, Inc.*		565		1,203
Quaker Chemical Corp.		150		1,191
AEP Industries, Inc.*		76		1,161
Spartech Corp.		430		1,058
U S Concrete, Inc.*		520		1,040
NL Industries, Inc.		98		980
Universal Stainless & Alloy*		100		967
General Moly, Inc.*		892		946
Bway Holding Co.*		113		892

116    |    THE RYDEX SERIES FUNDS ANNUAL REPORT See Notes to Financial Statements.

SCHEDULE OF INVESTMENTS (concluded)

March 31, 2009

      RUSSELL 2000^® FUND

			MARKET
	SHARES		VALUE
Ferro Corp.		619	$	885
United States Lime & Minerals, Inc.*		30		821
ICO, Inc.*		394		812
Neenah Paper, Inc.		212		770
KapStone Paper and Packaging Corp.*		249		613
Penford Corp.		157		570
Flotek Industries, Inc.*		325		510
AbitibiBowater, Inc.*		761		419
General Steel Holdings, Inc.*		146		384
Boise, Inc.*		513		313
Mercer International, Inc.*		430		284
China Precision Steel, Inc.*		240		281
Sutor Technology Group Ltd.*		108		151
Verso Paper Corp.		196		125
China Direct, Inc.*		98		123
Total Materials				328,799
TELECOMMUNICATION SERVICES 0.5%
tw telecom Inc.*		2,094		18,323
Syniverse Holdings, Inc.*		732		11,536
Centennial Communications Corp.*		960		7,930
Premiere Global Services, Inc.*		882		7,779
NTELOS Holdings Corp.		420		7,619
Cincinnati Bell, Inc.*		3,272		7,526
Shenandoah Telecommunications Co.		330		7,524
Cbeyond, Inc.*		344		6,478
Iowa Telecommunications Services, Inc.		448		5,134
Cogent Communications Group, Inc.*		631		4,543
General Communication, Inc. — Class A*		638		4,262
Alaska Communications Systems Group, Inc.		616		4,127
Consolidated Communications Holdings, Inc.		331		3,396
USA Mobility, Inc.		328		3,021
Global Crossing*		372		2,604
PAETEC Holding Corp.*		1,760		2,534
Atlantic Tele-Network, Inc.		130		2,493
iPCS, Inc. — Class A*		240		2,330
Fairpoint Communications, Inc.		1,264		986
Virgin Mobile USA, Inc. — Class A*		522		673
ICO Global Communications Holdings Ltd.*		1,476		517
TerreStar Corp.*		828		464
FiberTower Corp.*		1,717		343
IDT Corp.*		257		298
Vonage Holdings Corp.*		727		291
Ibasis, Inc.*		419		281
Globalstar, Inc.*		734		257
Total Telecommunication Services				113,269

			MARKET
	SHARES		VALUE
Total Common Stocks
(Cost $8,749,142)			$	8,964,189
RIGHTS 0.0%
FINANCIALS 0.0%
United America Indemnity Ltd.*
Expires 04/06/09		280		131
Total Financials				131
Total Rights
(Cost $411)				131
		FACE
		AMOUNT
REPURCHASE AGREEMENTS† 57.6%
Credit Suisse Group issued 03/31/09 at 0.15% due 04/01/09	$	10,034,539		10,034,539
Mizuho Financial Group, Inc. issued 03/31/09 at 0.16% due 04/01/09		3,701,484		3,701,484
Morgan Stanley issued 03/31/09 at 0.05% due 04/01/09		254,639		254,639
Total Repurchase Agreements
(Cost $13,990,662)				13,990,662
Total Investments 94.5%
(Cost $22,740,215)			$	22,954,982
Other Assets in Excess of Liabilities – 5.5%			$	1,323,212
Net Assets – 100.0%			$	24,278,194
			Unrealized
		Contracts		Gain (Loss)
FUTURES CONTRACTS PURCHASED
June 2009 Russell 2000 Index Mini Futures Contracts (Aggregate Market Value of Contracts $11,556,120)		276	$	(396,289	)
		UNITS
EQUITY INDEX SWAP AGREEMENTS
Goldman Sachs International April 2009 Russell 2000 Index Swap, Terminating 04/06/09** (Notional Market Value $2,919,349)		6,906	$	2,102
Credit Suisse Capital, LLC June 2009 Russell 2000 Index Swap, Terminating 06/26/09** (Notional Market Value $1,171,230)		2,771		(9,775	)
(Total Notional Market Value $4,090,579)			$	(7,673	)

*	Non-Income Producing Security.
**	Total Return based on Russell 2000 Index +/- financing at a variable rate.
†	Repurchase Agreements — See Note 6.

See Notes to Financial Statements. THE RYDEX SERIES FUNDS ANNUAL REPORT    |    117

SCHEDULE OF INVESTMENTS

March 31, 2009

      INVERSE RUSSELL 2000^® STRATEGY FUND

	FACE		MARKET
	AMOUNT		VALUE
REPURCHASE AGREEMENTS† 88.5%
Credit Suisse Group issued 03/31/09 at 0.15% due 04/01/09	$	21,980,201	$	21,980,201
Mizuho Financial Group, Inc. issued 03/31/09 at 0.16% due 04/01/09		8,107,932		8,107,932
Morgan Stanley issued 03/31/09 at 0.05% due 04/01/09		557,774		557,774
Total Repurchase Agreements
(Cost $30,645,907)				30,645,907
Total Investments 88.5%
(Cost $30,645,907)			$	30,645,907
Other Assets in Excess of Liabilities – 11.5%			$	3,983,551
Net Assets – 100.0%			$	34,629,458
			Unrealized
		Contracts		Gain (Loss)
FUTURES CONTRACTS SOLD SHORT
June 2009 Russell 2000 Index Mini Futures Contracts (Aggregate Market Value of Contracts $4,228,870)		101	$	(32,259	)
		UNITS
EQUITY INDEX SWAP AGREEMENT
SOLD SHORT
Credit Suisse Capital, LLC June 2009 Russell 2000 Index Swap, Terminating 06/26/09* (Notional Market Value $27,751,493)		65,645		220,410
Goldman Sachs International April 2009 Russell 2000 Index Swap, Terminating 04/06/09* (Notional Market Value $2,615,240)		6,186		(25,911	)
(Total Notional Market Value $30,366,733)			$	194,499

*	Total Return based on Russell 2000 Index +/- financing at a variable rate.
†	Repurchase Agreements — See Note 6.

118    |    THE RYDEX SERIES FUNDS ANNUAL REPORT See Notes to Financial Statements.

SCHEDULE OF INVESTMENTS

March 31, 2009

     GOVERNMENT LONG BOND 1.2x STRATEGY FUND

	FACE		MARKET
	AMOUNT		VALUE
U.S. TREASURY OBLIGATIONS 95.2%
U.S. Treasury Bond 3.50% due 02/15/39	$	65,050,000	$	64,460,484
Total U.S. Treasury Obligations
(Cost $63,082,628)				64,460,484
REPURCHASE AGREEMENTS† 3.6%
Credit Suisse Group issued 03/31/09 at 0.15% due 04/01/09		1,759,425		1,759,425
Mizuho Financial Group, Inc. issued 03/31/09 at 0.16% due 04/01/09		649,007		649,007
Morgan Stanley issued 03/31/09 at 0.05% due 04/01/09		44,647		44,647
Total Repurchase Agreements
(Cost $2,453,079)				2,453,079
Total Investments 98.8%
(Cost $65,535,707)			$	66,913,563
Other Assets in Excess of Liabilities – 1.2%			$	812,363
Net Assets – 100.0%			$	67,725,926
			Unrealized
		Contracts		Gain
FUTURES CONTRACTS PURCHASED
June 2009 U.S. Treasury Bond Futures Contracts (Aggregate Market Value of Contracts $29,442,609)		227	$	1,027,941

† Repurchase Agreements — See Note 6.

See Notes to Financial Statements. THE RYDEX SERIES FUNDS ANNUAL REPORT    |    119

SCHEDULE OF INVESTMENTS

March 31, 2009

     INVERSE GOVERNMENT LONG BOND STRATEGY FUND

	FACE		MARKET
	AMOUNT		VALUE
FEDERAL AGENCY DISCOUNT NOTES 82.6%
Fannie Mae**
0.19% due 04/27/09	$	50,000,000	$	49,993,139
0.68% due 10/30/09		50,000,000		49,895,000
Fed Home Loan Bank*
0.01% due 04/07/09		100,000,000		99,999,833
0.25% due 06/26/09		50,000,000		49,975,000
0.83% due 12/15/09		49,000,000		48,843,200
0.74% due 10/16/09		25,000,000		24,952,500
Freddie Mac**
1.25% due 05/05/09		50,000,000		49,990,000
0.57% due 09/08/09		25,000,000		24,965,000
Total Federal Agency Discount Notes
(Cost $398,247,309)				398,613,672
		CONTRACTS
OPTIONS PURCHASED 0.0%
Call Options on:
June 2009 U.S. Treasury Bond Index Futures Contracts Expiring May 2009 with strike price of 173††		3,000		—
Total Call Options				—
Total Options Purchased
(Cost $52,875)				—
		FACE
		AMOUNT
REPURCHASE AGREEMENTS† 10.7%
Credit Suisse Group issued 03/31/09 at 0.15% due 04/01/09	$	36,900,848		36,900,848
Mizuho Financial Group, Inc. issued 03/31/09 at 0.16% due 04/01/09		13,611,777		13,611,777
Morgan Stanley issued 03/31/09 at 0.05% due 04/01/09		936,403		936,403
Total Repurchase Agreements
(Cost $51,449,028)				51,449,028
Total Investments 93.3%
(Cost $449,749,212)			$	450,062,700
Other Assets in Excess of Liabilities – 6.7%			$	32,232,529
Net Assets – 100.0%			$	482,295,229

			UNREALIZED
	CONTRACTS		LOSS
FUTURES CONTRACTS SOLD SHORT
June 2009 U.S. Treasury Bond Futures Contracts (Aggregate Market Value of Contracts $834,639,609)		6,435	$	(18,192,349	)

*	The issuer is a publicly traded company that operates under a Congressional charter; its securities are neither issued nor guaranteed by the U.S. Government.
**	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.
†	Repurchase Agreements — See Note 6.
††	Security is fair valued.

120    |    THE RYDEX SERIES FUNDS ANNUAL REPORT See Notes to Financial Statements.

SCHEDULE OF INVESTMENTS

March 31, 2009

     HIGH YIELD STRATEGY FUND

	FACE		MARKET
	AMOUNT		VALUE
REPURCHASE AGREEMENTS† 88.1%
Credit Suisse Group issued 03/31/09 at 0.15% due 04/01/09	$	156,186,966	$	156,186,966
Mizuho Financial Group, Inc. issued 03/31/09 at 0.16% due 04/01/09		57,613,366		57,613,366
Morgan Stanley issued 03/31/09 at 0.05% due 04/01/09		3,963,431		3,963,431
Total Repurchase Agreements
(Cost $217,763,763)				217,763,763
Total Investments 88.1%
(Cost $217,763,763)			$	217,763,763
Other Assets in Excess of Liabilities – 11.9%			$	29,284,612
Net Assets – 100.0%			$	247,048,375
			Unrealized
		Contracts		Gain
FUTURES CONTRACTS PURCHASED
June 2009 U.S. 5 Year Treasury Note Futures Contracts (Aggregate Market Value of Contracts $79,826,250)		672	$	498,570

CREDIT DEFAULT SWAP AGREEMENT PROTECTION SOLD††

Upfront

Protection

Maturity

Notional

Market

Premiums

Unrealized

Index

Counterparty

Premium Rate

Date

Principal

Value

Received

Depreciation

CDX.NA.HY-11 Index

Goldman Sachs International

5.00

%

12/20/13

$264,810,000

$(83,746,162

)

$(78,588,943

)

$(5,157,219

)

†	Repurchase Agreements — See Note 6.
††	Credit Default Swaps — See Note 3.

See Notes to Financial Statements. THE RYDEX SERIES FUNDS ANNUAL REPORT    |    121

SCHEDULE OF INVESTMENTS

March 31, 2009

     INVERSE HIGH YIELD STRATEGY FUND

	FACE		MARKET
	AMOUNT		VALUE
REPURCHASE AGREEMENTS† 64.3%
Credit Suisse Group issued 03/31/09 at 0.15% due 04/01/09	$	7,819,151	$	7,819,151
Mizuho Financial Group, Inc. issued 03/31/09 at 0.16% due 04/01/09		2,884,285		2,884,285
Morgan Stanley issued 03/31/09 at 0.05% due 04/01/09		198,420		198,420
Total Repurchase Agreements
(Cost $10,901,856)				10,901,856
Total Investments 64.3%
(Cost $10,901,856)			$	10,901,856
Other Assets in Excess of Liabilities – 35.7%			$	6,043,484
Net Assets – 100.0%			$	16,945,340
			Unrealized
		Contracts		Loss
FUTURES CONTRACTS SOLD SHORT
June 2009 U.S. 5 Year Treasury Note Futures Contracts (Aggregate Market Value of Contracts $4,870,352)		41	$	(37,077	)

CREDIT DEFAULT SWAP AGREEMENT PROTECTION PURCHASED

Upfront

Protection

Maturity

Notional

Market

Premiums

Unrealized

Index

Counterparty

Premium Rate

Date

Principal

Value

Paid

Appreciation

CDX.NA.HY-11 Index

Goldman Sachs International

5.00%

12/20/13

$5,820,000

$1,840,575

$1,235,092

$605,483

† Repurchase Agreements — See Note 6.

122    |    THE RYDEX SERIES FUNDS ANNUAL REPORT See Notes to Financial Statements.

SCHEDULE OF INVESTMENTS

March 31, 2009

     EUROPE 1.25x STRATEGY FUND

			MARKET
	SHARES		VALUE
COMMON STOCKS 46.8%
HEALTH CARE 10.3%
Novartis AG — SP ADR		4,359	$	164,901
GlaxoSmithKline PLC — SP ADR		4,889		151,901
Sanofi-Aventis — SP ADR		4,379		122,305
AstraZeneca PLC — SP ADR		2,370		84,017
Novo Nordisk A/S — SP ADR		780		37,424
Teva Pharmaceutical Industries Ltd. — SP ADR		580		26,129
Alcon, Inc. — SP ADR		160		14,546
Total Health Care				601,223
FINANCIALS 8.8%
HSBC Holdings PLC — SP ADR		2,229		62,902
Banco Santander Central Hispano SA — SP ADR		9,108		62,845
Credit Suisse Group AG — SP ADR		2,059		62,779
Allianz SE — SP ADR		6,788		56,748
Banco Bilbao Vizcaya Argentaria SA — SP ADR		6,668		54,211
Deutsche Bank AG — SP ADR		1,190		48,373
UBS AG — SP ADR*		4,849		45,726
AXA — SP ADR		3,219		38,564
Barclays PLC — SP ADR		3,519		29,912
Willis Group Holdings Ltd.		780		17,160
ING Groep NV — SP ADR		3,089		16,804
Lloyds TSB Group PLC — SP ADR		3,609		14,544
Allied Irish Banks PLC — SP ADR		1,670		2,589
Total Financials				513,157
TELECOMMUNICATION SERVICES 8.5%
Telefonica SA — SP ADR		2,480		147,857
Vodafone Group PLC — SP ADR		7,378		128,525
France Telecom SA — SP ADR		5,039		114,184
Deutsche Telekom AG — SP ADR		5,799		71,618
BT Group PLC — SP ADR		2,909		32,493
Total Telecommunication Services				494,677
ENERGY 8.2%
BP PLC — SP ADR		3,899		156,350
Total SA — SP ADR		2,939		144,187
Royal Dutch Shell PLC — SP ADR		2,369		104,947
Eni SpA — SP ADR		1,760		67,443
Compagnie Generale de Geophysique SA, Inc. — SP ADR*		550		6,347
Total Energy				479,274

			MARKET
	SHARES		VALUE
CONSUMER STAPLES 3.0%
Unilever NV — SP ADR		3,789	$	74,265
Diageo PLC — SP ADR		1,480		66,230
British American Tobacco PLC— SP ADR		680		31,280
Total Consumer Staples				171,775
MATERIALS 2.7%
BHP Billiton Ltd. — SP ADR		1,190		53,074
Rio Tinto PLC — SP ADR		300		40,218
Anglo American PLC — SP ADR		3,179		27,117
ArcelorMittal — SP ADR		930		18,637
Syngenta AG — SP ADR		430		17,247
Total Materials				156,293
INFORMATION TECHNOLOGY 2.4%
Nokia Oyj — SP ADR		4,889		57,055
SAP AG — SP ADR		1,480		52,229
Telefonaktiebolaget LM Ericsson — SP ADR		3,639		29,439
Total Information Technology				138,723
INDUSTRIALS 1.8%
Siemens AG — SP ADR		1,080		61,527
Koninklijke Philips Electronics NV — SP ADR		1,410		20,967
Ryanair Holdings PLC — SP ADR*		860		19,875
Total Industrials				102,369
CONSUMER DISCRETIONARY 0.9%
Daimler AG — SP ADR		1,410		36,011
Carnival PLC — SP ADR		760		17,237
Total Consumer Discretionary				53,248
UTILITIES 0.2%
Veolia Environnement — SP ADR		510		10,659
Total Utilities				10,659
Total Common Stocks
(Cost $2,549,433)				2,721,398

See Notes to Financial Statements. THE RYDEX SERIES FUNDS ANNUAL REPORT    |    123

SCHEDULE OF INVESTMENTS (concluded)

March 31, 2009

     EUROPE 1.25x STRATEGY FUND

	FACE		MARKET
	AMOUNT		VALUE
REPURCHASE AGREEMENTS† 44.6%
Credit Suisse Group issued 03/31/09 at 0.15% due 04/01/09	$	1,857,251	$	1,857,251
Mizuho Financial Group, Inc. issued 03/31/09 at 0.16% due 04/01/09		685,093		685,093
Morgan Stanley issued 03/31/09 at 0.05% due 04/01/09		47,130		47,130
Total Repurchase Agreements
(Cost $2,589,474)				2,589,474
Total Investments 91.4%
(Cost $5,138,907)			$	5,310,872
Other Assets in Excess of Liabilities – 8.6%			$	498,317
Net Assets – 100.0%			$	5,809,189
			Unrealized
		Contracts		Gain
CURRENCY FUTURES
CONTRACTS PURCHASED
June 2009 EURO Currency Futures Contracts (Aggregate Market Value of Contracts $4,649,050)		28	$	47,807
FUTURES CONTRACTS PURCHASED
June 2009 Dow Jones EURO STOXX 50 Index Futures Contracts (Aggregate Market Value of Contracts $1,562,418)		59	$	9,924
June 2009 Dow Jones STOXX 50 Index Futures Contracts (Aggregate Market Value of Contracts $3,246,583)		138		41,527
(Total Aggregate Market Value of Contracts $4,809,001)			$	51,451

*	Non-Income Producing Security.
†	Repurchase Agreements — See Note 6.
ADR	— American Depository Receipt.

Country Diversification

The pie chart above reflects percentages of the market value of Common Stocks.

124    |    THE RYDEX SERIES FUNDS ANNUAL REPORT See Notes to Financial Statements.

SCHEDULE OF INVESTMENTS

March 31, 2009

     JAPAN 2x STRATEGY FUND

	FACE		MARKET
	AMOUNT		VALUE
REPURCHASE AGREEMENTS† 43.2%
Credit Suisse Group issued 03/31/09 at 0.15% due 04/01/09	$	2,389,120	$	2,389,120
Mizuho Financial Group, Inc. issued 03/31/09 at 0.16% due 04/01/09		881,285		881,285
Morgan Stanley issued 03/31/09 at 0.05% due 04/01/09		60,627		60,627
Total Repurchase Agreements
(Cost $3,331,032)				3,331,032
Total Investments 43.2%
(Cost $3,331,032)			$	3,331,032
Other Assets in Excess of Liabilities – 56.8%			$	4,378,284
Net Assets – 100.0%			$	7,709,316
			Unrealized
		Contracts		Gain (Loss)
CURRENCY FUTURES
CONTRACTS PURCHASED
June 2009 Japanese Yen Currency Futures Contracts (Aggregate Market Value of Contracts $15,425,375)		122	$	(77,889	)
FUTURES CONTRACTS PURCHASED
June 2009 Nikkei-225 Stock Average Index Futures Contracts (Aggregate Market Value of Contracts $15,395,650)		367	$	1,031,416

† Repurchase Agreements — See Note 6.

See Notes to Financial Statements. THE RYDEX SERIES FUNDS ANNUAL REPORT    |    125

SCHEDULE OF INVESTMENTS

March 31, 2009

     SMALL-CAP VALUE FUND

			MARKET
	SHARES		VALUE
COMMON STOCKS 99.1%
CONSUMER DISCRETIONARY 42.6%
Stein Mart, Inc.*		292,138	$	844,279
Ruby Tuesday, Inc.*		284,998		832,194
O’Charleys, Inc.		225,003		677,259
Group 1 Automotive, Inc.		38,389		536,294
Brunswick Corp.		147,509		508,906
Standard Motor Products, Inc.		156,514		430,414
Big 5 Sporting Goods Corp.		65,187		382,648
Liz Claiborne, Inc.		146,468		361,776
Oxford Industries, Inc.		57,582		355,281
Lithia Motors, Inc. — Class A		153,757		345,953
PEP Boys-Manny Moe & Jack		77,127		340,130
Stage Stores, Inc.		31,501		317,530
EW Scripps Co. — Class A		213,135		287,732
OfficeMax Inc.		76,778		239,547
Christopher & Banks Corp.		56,503		231,097
Tuesday Morning Corp.*		181,566		230,589
Sonic Automotive, Inc.		142,587		228,139
MarineMax, Inc.*		98,786		193,621
Spartan Motors, Inc.		44,041		177,045
Quiksilver, Inc.*		137,787		176,367
Superior Industries International, Inc.		14,110		167,204
Ethan Allen Interiors, Inc.		14,222		160,140
DineEquity, Inc.		13,398		158,900
Perry Ellis International, Inc.*		38,695		133,885
Arctic Cat, Inc.		34,846		133,460
Brown Shoe Company, Inc.		35,340		132,525
Live Nation, Inc.*		44,129		117,824
Standard-Pacific Corp.*		131,122		115,387
Men’s Wearhouse, Inc.		7,384		111,794
Hillenbrand, Inc.		6,949		111,253
Zale Corp.*		50,843		99,144
La-Z-Boy, Inc.		77,866		97,333
National Presto Industries, Inc.		1,485		90,600
Russ Berrie & Company, Inc.*		56,513		74,597
Tween Brands, Inc.*		34,858		74,596
Total Consumer Discretionary				9,475,443
FINANCIALS 24.7%
National Financial Partners Corp.		146,090		467,488
Flagstar Bancorp, Inc.*		556,965		417,724
Stewart Information Services Corp.		18,896		368,472
Irwin Financial Corp.*		154,679		301,624
DiamondRock Hospitality Co.		52,213		209,374
Independent Bank Corp.		88,119		206,198
Pennsylvania Real Estate Investment Trust		57,602		204,487
Guaranty Financial Group, Inc.*		187,353		196,721

			MARKET
	SHARES		VALUE
Colonial Properties Trust		46,520	$	177,241
National Retail Properties, Inc.		10,941		173,305
Senior Housing Properties Trust		10,167		142,541
Parkway Properties, Inc.		13,237		136,341
BioMed Realty Trust, Inc.		19,637		132,943
Kite Realty Group Trust		50,987		124,918
LTC Properties, Inc.		7,048		123,622
Sterling Savings Bank		56,966		117,920
Whitney Holding Corp.		9,818		112,416
Post Properties, Inc.		11,055		112,098
Susquehanna Bancshares, Inc.		11,727		109,413
Lexington Realty Trust		44,628		106,215
Home Properties, Inc.		3,107		95,230
Frontier Financial Corp.		86,430		95,073
Umpqua Holding Corp.		10,132		91,796
Provident Bankshares Corp.		12,986		91,551
Presidential Life Corp.		11,570		90,130
Brookline Bancorp, Inc.		9,322		88,559
Sovran Self Storage, Inc.		4,378		87,910
Franklin Street Properties Corp.		7,048		86,690
Extra Space Storage, Inc.		15,482		85,306
Entertainment Properties Trust		5,252		82,772
Delphi Financial Group, Inc. — Class A		5,876		79,091
Mid-America Apartment Communities, Inc.		2,508		77,322
Eastgroup Properties, Inc.		2,621		73,571
Urstadt Biddle Properties, Inc.		5,401		72,481
Kilroy Realty Corp.		4,129		70,978
Inland Real Estate Corp.		9,781		69,347
Cedar Shopping Centers, Inc.		38,039		66,188
Acadia Realty Trust		5,165		54,801
First Midwest Bancorp, Inc.		5,914		50,801
South Financial Group, Inc.		41,110		45,221
Total Financials				5,495,879
INFORMATION TECHNOLOGY 16.0%
Gevity HR, Inc.		246,127		972,202
SYNNEX Corp.*		37,927		746,024
Keithley Instruments, Inc.		76,022		257,714
Technitrol, Inc.		142,870		244,308
Insight Enterprises, Inc.*		78,130		239,078
Agilysys, Inc.		55,284		237,721
Brightpoint, Inc.*		52,499		224,696
Cypress Semiconductor Corp.*		25,102		169,940
Startek, Inc.*		47,746		148,013
Gerber Scientific, Inc.*		45,061		107,696
Rudolph Technologies, Inc.*		28,968		87,773
Hutchinson Technology, Inc.*		31,825		82,745
CTS Corp.		11,614		41,926
Total Information Technology				3,559,836

126    |    THE RYDEX SERIES FUNDS ANNUAL REPORT See Notes to Financial Statements.

SCHEDULE OF INVESTMENTS (concluded)

March 31, 2009

     SMALL-CAP VALUE FUND

			MARKET
	SHARES		VALUE
INDUSTRIALS 8.9%
Spherion Corp.*		174,008	$	361,937
John Bean Technologies Corp.		26,923		281,615
Volt Information Sciences, Inc.*		34,133		226,984
Bowne & Company, Inc.		63,788		204,760
Briggs & Stratton Corp.		9,893		163,235
CDI Corp.		16,729		162,606
Apogee Enterprises, Inc.		13,836		151,919
Standard Register Co.		22,930		105,019
Baldor Electric Co.		4,903		71,044
Barnes Group, Inc.		6,612		70,682
Consolidated Graphics, Inc.*		5,233		66,564
C&D Technologies, Inc.*		33,983		62,869
Wabash National Corp.		48,880		60,122
Total Industrials				1,989,356
MATERIALS 2.9%
Neenah Paper, Inc.		35,659		129,442
Quaker Chemical Corp.		15,369		122,030
A. Schulman, Inc.		8,339		112,993
PolyOne Corp.*		48,484		111,998
Myers Industries, Inc.		17,890		109,845
Buckeye Technologies, Inc.*		26,449		56,336
Total Materials				642,644
CONSUMER STAPLES 1.8%
Great Atlantic & Pacific Tea
Company, Inc*		45,025		239,083
Andersons, Inc.		11,927		168,648
Total Consumer Staples				407,731
UTILITIES 1.6%
Atmos Energy Corp.		5,440		125,773
UIL Holding Corp.		3,368		75,174
CH Energy Group, Inc.		1,574		73,820
Central Vermont Public
Service Corp.		4,243		73,404
Total Utilities				348,171
TELECOMMUNICATION SERVICES 0.6%
Iowa Telecommunications Services, Inc.		5,926		67,912
Fairpoint Communications, Inc.		75,541		58,922
Total Telecommunication Services				126,834
Total Common Stocks
(Cost $21,762,348)				22,045,894

	FACE		MARKET
	AMOUNT		VALUE
REPURCHASE AGREEMENTS† 1.5%
Credit Suisse Group issued 03/31/09 at 0.15% due 04/01/09	$	245,479	$	245,479
Mizuho Financial Group, Inc. issued 03/31/09 at 0.16% due 04/01/09		90,551		90,551
Morgan Stanley issued 03/31/09 at 0.05% due 04/01/09		6,229		6,229
Total Repurchase Agreements
(Cost $342,259)				342,259
Total Investments 100.6%
(Cost $22,104,607)			$	22,388,153
Liabilities in Excess of Other Assets – (0.6)%			$	(129,537	)
Net Assets – 100.0%			$	22,258,616

*	Non-Income Producing Security.
†	Repurchase Agreements — See Note 6.

See Notes to Financial Statements. THE RYDEX SERIES FUNDS ANNUAL REPORT    |    127

SCHEDULE OF INVESTMENTS

March 31, 2009

     MID-CAP VALUE FUND

				MARKET
	SHARES			VALUE
COMMON STOCKS 100.5%
FINANCIALS 29.3%
Fidelity National Financial, Inc. — Class A		4,234		$	82,605
Colonial BancGroup, Inc.		86,073			77,466
Hospitality Properties Trust		6,002			72,024
Unitrin, Inc.		5,107			71,396
Old Republic International Corp.		6,586			71,261
Mack-Cali Realty Corp.		3,133			62,065
Horace Mann Educators Corp.		6,920			57,920
Liberty Property Trust		2,843			53,846
Protective Life Corp.		9,952			52,248
SL Green Realty Corp.		4,432			47,866
New York Community Bancorp, Inc.		4,019			44,892
Highwoods Properties, Inc.		2,080			44,554
Nationwide Health Properties, Inc.		1,955			43,381
Omega Healthcare Investors, Inc.		3,080			43,366
Camden Property Trust		1,877			40,506
Alexandria Real Estate Equities, Inc.		1,110			40,404
Realty Income Corp.		2,071			38,976
Duke Realty Corp.		6,962			38,291
Equity One, Inc.		3,100			37,789
Washington Federal, Inc.		2,500			33,225
BRE Properties, Inc. — Class A		1,648			32,350
Regency Centers Corp.		1,206			32,043
First American Corp.		1,196			31,706
Weingarten Realty Investors		3,194			30,407
Webster Financial Corp.		6,776			28,798
Apollo Investment Corp.		8,138			28,320
Associated Banc-Corp.		1,765			27,252
Cousins Properties, Inc.		3,676			23,673
Macerich Co.		3,669			22,968
UDR, Inc.		2,374	��		20,440
PacWest Bancorp		1,354			19,403
Astoria Financial Corp.		1,777			16,331
Wilmington Trust Corp.		1,359			13,169
Total Financials					1,380,941
CONSUMER DISCRETIONARY 21.3%
Foot Locker, Inc.		13,699			143,566
Williams-Sonoma, Inc.		13,505			136,130
Barnes & Noble, Inc.		5,967			127,574
Brinker International, Inc.		8,143			122,959
Brink’s Home Security Holdings, Inc.*		3,827			86,490
AnnTaylor Stores Corp.*		12,899			67,075
Blyth, Inc.		2,379			62,163
Regis Corp.		3,912			56,528
Boyd Gaming Corp.		13,409			50,016
Belo Corp. — Class A		77,342			47,179

			MARKET
	SHARES		VALUE
Harte-Hanks, Inc.		8,281	$	44,303
Bob Evans Farms, Inc.		1,606		36,007
American Greetings Corp. — Class A		4,718		23,873
Total Consumer Discretionary				1,003,863
MATERIALS 13.8%
Temple-Inland, Inc.		38,260		205,456
Ashland, Inc.		13,672		141,232
Louisiana-Pacific Corp.		48,654		108,498
RPM International, Inc.		4,307		54,828
Packaging Corporation of America		4,191		54,567
Cabot Corp.		2,997		31,499
Worthington Industries, Inc.		3,324		28,952
Cytec Industries, Inc.		1,793		26,931
Total Materials				651,963
INDUSTRIALS 11.6%
Oshkosh Corp.		19,549		131,760
Kelly Services, Inc. — Class A		9,386		75,557
YRC Worldwide, Inc.*		15,759		70,758
Timken Co.		3,659		51,080
HNI Corp.		4,718		49,067
Crane Co.		2,510		42,369
Manpower, Inc.		1,274		40,169
Deluxe Corp.		4,030		38,809
Alexander & Baldwin, Inc.		1,434		27,289
Federal Signal Corp.		3,978		20,964
Total Industrials				547,822
INFORMATION TECHNOLOGY 10.1%
Tech Data Corp.*		4,924		107,245
Ingram Micro, Inc. — Class A*		6,520		82,413
Intersil Corp. — Class A		5,547		63,790
Arrow Electronics, Inc.*		2,648		50,471
Vishay Intertechnology, Inc.*		14,437		50,241
RF Micro Devices, Inc.*		37,610		50,021
Avnet, Inc.*		2,133		37,349
Imation Corp.		4,185		32,015
Total Information Technology				473,545
UTILITIES 6.4%
PNM Resources, Inc.		5,905		48,775
Great Plains Energy, Inc.		3,586		48,304
Oneok, Inc.		1,927		43,608
Westar Energy, Inc.		2,144		37,584
NV Energy, Inc.		3,723		34,959
OGE Energy Corp.		1,378		32,824
AGL Resources, Inc.		1,158		30,722
Black Hills Corp.		1,454		26,013
Total Utilities				302,789

128    |    THE RYDEX SERIES FUNDS ANNUAL REPORT See Notes to Financial Statements.

SCHEDULE OF INVESTMENTS (concluded)

March 31, 2009

     MID-CAP VALUE FUND

			MARKET
	SHARES		VALUE
HEALTH CARE 4.5%
Health Net, Inc.*		6,410	$	92,817
Kindred Healthcare, Inc.*		4,884		73,016
WellCare Health Plans, Inc.*		4,065		45,731
Total Health Care				211,564
CONSUMER STAPLES 2.6%
Smithfield Foods, Inc.*		8,081		76,446
Universal Corp.		1,508		45,119
Total Consumer Staples				121,565
ENERGY 0.9%
Southern Union Co.		2,754		41,916
Total Energy				41,916
Total Common Stocks
(Cost $4,407,691)				4,735,968
WARRANTS 0.0%
CONSUMER DISCRETIONARY 0.0%
Krispy Kreme Doughnuts, Inc.*
$12.21, 03/02/12		176		2
Total Consumer Discretionary				2
Total Warrants
(Cost $—)				2

	FACE		MARKET
	AMOUNT		VALUE
REPURCHASE AGREEMENTS† 3.8%
Credit Suisse Group issued 03/31/09 at 0.15% due 04/01/09	$	128,525	$	128,525
Mizuho Financial Group, Inc. issued 03/31/09 at 0.16% due 04/01/09		47,410		47,410
Morgan Stanley issued 03/31/09 at 0.05% due 04/01/09		3,261		3,261
Total Repurchase Agreements
(Cost $179,196)				179,196
Total Investments 104.3%
(Cost $4,586,888)			$	4,915,166
Liabilities in Excess of Other Assets – (4.3)%			$	(203,159	)
Net Assets – 100.0%			$	4,712,007

*	Non-Income Producing Security.
†	Repurchase Agreements — See Note 6.

See Notes to Financial Statements. THE RYDEX SERIES FUNDS ANNUAL REPORT    |    129

SCHEDULE OF INVESTMENTS

March 31, 2009

     LARGE-CAP VALUE FUND

			MARKET
	SHARES		VALUE
COMMON STOCKS 100.3%
FINANCIALS 32.1%
XL Capital Ltd.		49,062	$	267,879
Morgan Stanley		6,095		138,783
ProLogis		21,245		138,092
CIT Group, Inc.		41,766		119,033
American International Group, Inc.		106,851		106,851
Genworth Financial, Inc. — Class A		53,349		101,363
Hartford Financial Services Group, Inc.		11,500		90,275
Comerica, Inc.		3,793		69,450
Host Hotels & Resorts, Inc.		14,136		55,413
Legg Mason, Inc.		2,772		44,075
Allstate Corp.		2,173		41,613
Lincoln National Corp.		6,022		40,287
Bank of America Corp.		5,413		36,917
KeyCorp		4,442		34,959
HCP, Inc.		1,921		34,290
Citigroup, Inc.		13,322		33,705
Health Care REIT, Inc.		1,099		33,618
Prudential Financial, Inc.		1,707		32,467
Ameriprise Financial, Inc.		1,554		31,841
Boston Properties, Inc.		786		27,534
Marshall & Ilsley Corp.		4,888		27,519
Regions Financial Corp.		6,408		27,298
SunTrust Banks, Inc.		2,311		27,131
Cincinnati Financial Corp.		1,163		26,598
Vornado Realty Trust		786		26,127
Fifth Third Bancorp		8,787		25,658
JPMorgan Chase & Co.		958		25,464
Apartment Investment & Management Co. — Class A		4,604		25,230
Simon Property Group, Inc.		713		24,698
Assurant, Inc.		1,040		22,651
BB&T Corp.		1,250		21,150
KIMCO Realty Corp.		2,754		20,985
Equity Residential		1,118		20,515
AvalonBay Communities, Inc.		410		19,295
Capital One Financial Corp.		1,309		16,022
U.S. Bancorp		1,091		15,940
Principal Financial Group, Inc.		1,908		15,607
Huntington Bancshares, Inc.		8,022		13,317
Zions Bancorporation		1,005		9,879
Total Financials				1,889,529
CONSUMER DISCRETIONARY 19.5%
Macy’s, Inc.		13,997		124,573
Goodyear Tire & Rubber Co.*		13,105		82,037
Ford Motor Co.*		29,518		77,632
Office Depot, Inc.*		56,768		74,366
AutoNation, Inc.*		4,910		68,151
CBS Corp.		17,192		66,017
Wyndham Worldwide Corp.		15,149		63,626

			MARKET
	SHARES		VALUE
J.C. Penney Company, Inc.		2,692	$	54,028
Limited Brands, Inc.		6,208		54,010
Carnival Corp.		2,317		50,047
Eastman Kodak Co.		12,592		47,850
Whirlpool Corp.		1,547		45,776
International Game Technology, Inc.		4,635		42,735
Meredith Corp.		2,559		42,582
Gannett Company, Inc.		18,823		41,411
Leggett & Platt, Inc.		3,091		40,152
Darden Restaurants, Inc.		915		31,348
Newell Rubbermaid, Inc.		4,235		27,019
Starwood Hotels & Resorts Worldwide, Inc.		2,022		25,679
Johnson Controls, Inc.		2,044		24,528
Time Warner, Inc.		1,069		20,638
Mattel, Inc.		1,677		19,336
Fortune Brands, Inc.		655		16,080
Time Warner Cable, Inc.		261		6,470
Total Consumer Discretionary				1,146,091
UTILITIES 9.8%
Constellation Energy Group, Inc.		3,480		71,897
NiSource, Inc.		6,687		65,533
Pinnacle West Capital Corp.		1,839		48,844
TECO Energy, Inc.		3,525		39,304
Pepco Holdings, Inc.		3,045		38,002
Duke Energy Corp.		2,539		36,358
Ameren Corp.		1,558		36,130
Consolidated Edison, Inc.		878		34,777
Progress Energy, Inc.		956		34,664
DTE Energy Co.		1,243		34,431
CenterPoint Energy, Inc.		3,041		31,718
Integrys Energy Group, Inc.		1,167		30,389
Xcel Energy, Inc.		1,462		27,237
SCANA Corp.		781		24,125
American Electric Power Company, Inc.		950		23,997
Total Utilities				577,406
CONSUMER STAPLES 8.3%
SUPERVALU, INC.		13,348		190,609
Tyson Foods, Inc. — Class A		9,126		85,693
Altria Group, Inc.		3,417		54,740
Coca-Cola Enterprises, Inc.		3,644		48,064
Philip Morris International, Inc.		1,225		43,586
Reynolds American, Inc.		1,034		37,059
ConAgra Foods, Inc.		1,592		26,857
Total Consumer Staples				486,608
MATERIALS 7.9%
MeadWestvaco Corp.		7,777		93,246
Alcoa, Inc.		8,418		61,788
International Paper Co.		7,604		53,532
AK Steel Holding Corp.		6,580		46,850
Weyerhaeuser Co.		1,380		38,047
Air Products & Chemicals, Inc.		658		37,013

130    |    THE RYDEX SERIES FUNDS ANNUAL REPORT See Notes to Financial Statements.

SCHEDULE OF INVESTMENTS (concluded)

March 31, 2009

     LARGE-CAP VALUE FUND

			MARKET
	SHARES		VALUE
Eastman Chemical Co.		1,380	$	36,984
E.I. du Pont de Nemours and Co.		1,567		34,991
United States Steel Corp.		1,515		32,012
Dow Chemical Co.		3,524		29,707
Total Materials				464,170
TELECOMMUNICATION SERVICES 5.6%
Qwest Communications International, Inc.		20,304		69,440
CenturyTel, Inc.		2,420		68,050
Embarq Corp.		1,546		58,516
Windstream Corp.		5,241		42,242
Frontier Communications Corp.		5,345		38,377
Verizon Communications, Inc.		908		27,422
AT&T, Inc.		1,035		26,082
Total Telecommunication Services				330,129
ENERGY 5.2%
Tesoro Corp.		13,600		183,192
Valero Energy Corp.		3,858		69,058
Spectra Energy Corp.		4,032		57,013
Total Energy				309,263
INFORMATION TECHNOLOGY 4.5%
Jabil Circuit, Inc.		13,880		77,173
Sun Microsystems, Inc.*		7,707		56,415
Analog Devices, Inc.		1,972		38,000
Microchip Technology, Inc.		1,749		37,061
Tyco Electronics Ltd.		2,915		32,182
Molex, Inc.		1,893		26,010
Total Information Technology				266,841
INDUSTRIALS 4.1%
RR Donnelley & Sons Co.		5,749		42,140
Masco Corp.		5,855		40,868
Ingersoll-Rand Co. — Class A		2,649		36,556
General Electric Co.		2,896		29,279
Northrop Grumman Corp.		655		28,584
Textron, Inc.		3,965		22,759
Ryder System, Inc.		785		22,223
Avery Dennison Corp.		956		21,357
Total Industrials				243,766
HEALTH CARE 3.3%
AmerisourceBergen Corp.		2,432		79,429
Tenet Healthcare Corp.*		51,070		59,241
Pfizer, Inc.		2,296		31,272
McKesson Corp.		770		26,981
Total Health Care				196,923
Total Common Stocks
(Cost $6,275,012)				5,910,726

	FACE		MARKET
	AMOUNT		VALUE
REPURCHASE AGREEMENTS† 2.6%
Credit Suisse Group issued 03/31/09 at 0.15% due 04/01/09	$	109,584	$	109,584
Mizuho Financial Group, Inc. issued 03/31/09 at 0.16% due 04/01/09		40,423		40,423
Morgan Stanley issued 03/31/09 at 0.05% due 04/01/09		2,781		2,781
Total Repurchase Agreements
(Cost $152,788)				152,788
Total Investments 102.9%
(Cost $6,427,800)			$	6,063,514
Liabilities in Excess of Other Assets – (2.9)%			$	(173,516	)
Net Assets – 100.0%			$	5,889,998

*	Non-Income Producing Security.
†	Repurchase Agreements — See Note 6.
	REIT — Real Estate Investment Trust.

See Notes to Financial Statements. THE RYDEX SERIES FUNDS ANNUAL REPORT    |    131

SCHEDULE OF INVESTMENTS

March 31, 2009

     SMALL-CAP GROWTH FUND

			MARKET
	SHARES		VALUE
COMMON STOCKS 99.7%
INFORMATION TECHNOLOGY 31.5%
Wright Express Corp.*		8,250	$	150,315
Intevac, Inc.*		26,558		138,367
Kulicke & Soffa Industries, Inc.*		50,361		131,946
Pericom Semiconductor Corp.*		17,362		126,916
j2 Global Communications, Inc.*		5,690		124,554
Hittite Microwave Corp.*		3,780		117,936
Commvault Systems, Inc.*		10,580		116,063
Cybersource Corp.*		7,585		112,334
Quality Systems, Inc.		2,416		109,324
DealerTrack Holdings, Inc.*		8,281		108,481
Perficient, Inc.*		19,746		106,628
Diodes, Inc.*		9,885		104,880
The Knot, Inc.*		11,326		92,873
MKS Instruments, Inc.*		5,681		83,340
Epicor Software Corp.*		21,802		83,066
Smith Micro Software, Inc.*		15,356		80,312
Micrel, Inc.		11,020		77,581
InfoSpace, Inc.*		14,569		75,759
Netgear, Inc.*		6,170		74,349
ATMI, Inc.*		4,728		72,953
United Online, Inc.		15,179		67,698
Varian Semiconductor Equipment Associates, Inc.*		3,085		66,821
EPIQ Systems, Inc.*		3,477		62,690
TTM Technologies, Inc.*		10,729		62,228
Park Electrochemical Corp.		3,565		61,603
Plexus Corp.*		4,454		61,554
Electro Scientific Industries, Inc.*		10,188		60,313
Blackbaud, Inc.		5,039		58,503
Bankrate, Inc.*		2,168		54,092
Synaptics, Inc.*		1,995		53,386
Ebix, Inc.*		2,030		50,446
Websense, Inc.*		4,162		49,944
Faro Technologies, Inc.*		3,418		45,938
Heartland Payment Systems, Inc.		6,522		43,110
Micros Systems, Inc.*		2,169		40,669
Daktronics, Inc.		5,996		39,274
ViaSat, Inc.*		1,793		37,330
Concur Technologies, Inc.*		1,849		35,482
Tyler Technologies, Inc.*		2,242		32,801
Comtech Telecommunications Corp.*		1,308		32,399
Bel Fuse, Inc. — Class B		2,410		32,390
Cymer, Inc.*		1,271		28,292
CACI International, Inc. — Class A*		770		28,097
Stratasys, Inc.*		2,913		24,091
Integral Systems, Inc.*		2,346		20,176
Total Information Technology				3,237,304

			MARKET
	SHARES		VALUE
CONSUMER DISCRETIONARY 20.7%
Stamps.com, Inc.*		14,629	$	141,901
NutriSystem, Inc.		9,871		140,859
True Religion Apparel, Inc.*		11,368		134,256
CROCS, Inc.*		99,991		118,989
Cracker Barrel Old Country Store, Inc.		3,611		103,419
Ruth’s Chris Steak House*		83,525		101,065
Zumiez, Inc.*		10,187		98,814
PetMed Express, Inc.*		5,922		97,595
Shuffle Master, Inc.*		24,699		70,886
Hibbett Sports Inc.*		3,596		69,115
Pool Corp.		5,022		67,295
Dress Barn, Inc.*		4,977		61,167
Volcom, Inc.*		6,201		60,150
Papa John’s International, Inc.*		2,605		59,576
Pre-Paid Legal Services, Inc.*		2,009		58,321
Jos. A. Bank Clothiers, Inc.*		2,053		57,094
Coinstar, Inc.*		1,673		54,808
Meritage Homes Corp.*		4,510		51,504
Children’s Place Retail Stores, Inc.*		2,255		49,362
WMS Industries, Inc.*		2,242		46,880
K-Swiss, Inc. — Class A		5,371		45,868
Tractor Supply Co.*		1,265		45,616
CEC Entertainment, Inc.*		1,718		44,462
Deckers Outdoor Corp.*		812		43,069
Maidenform Brands, Inc.*		4,512		41,330
Capella Education Co.*		770		40,810
Fossil, Inc.*		2,374		37,272
Drew Industries, Inc.*		4,281		37,159
P.F. Chang’s China Bistro, Inc.*		1,588		36,334
Universal Technical Institute, Inc.*		2,516		30,192
Gymboree Corp.*		1,221		26,068
Carter’s, Inc.*		1,206		22,685
Monarch Casino & Resort, Inc.*		3,567		18,406
HSN, Inc.*		3,551		18,252
Total Consumer Discretionary				2,130,579
HEALTH CARE 13.0%
Palomar Medical Technologies, Inc.*		13,348		96,906
Cubist Pharmaceuticals, Inc.*		5,782		94,594
LCA-Vision, Inc.		32,388		94,249
Magellan Health Services, Inc.*		2,527		92,084
inVentiv Health, Inc.*		9,240		75,398
Chemed Corp.		1,891		73,560
Catalyst Health Solutions, Inc.*		3,478		68,934
Martek Biosciences Corp.		3,430		62,597
Healthways, Inc.*		6,915		60,645
Viropharma, Inc.*		11,076		58,149
Dionex Corp.*		1,119		52,873
Abaxis, Inc.*		2,796		48,203
Meridian Bioscience, Inc.		2,619		47,456

132    |    THE RYDEX SERIES FUNDS ANNUAL REPORT See Notes to Financial Statements.

SCHEDULE OF INVESTMENTS (continued)

March 31, 2009

     SMALL-CAP GROWTH FUND

			MARKET
	SHARES		VALUE
Molina Healthcare, Inc.*		2,358	$	44,849
Air Methods Corp.*		2,269		38,369
eResearch Technology, Inc.*		7,190		37,819
LHC Group, Inc.*		1,673		37,274
Integra LifeSciences Holdings Corp.*		1,455		35,982
Mednax, Inc.*		1,150		33,891
Salix Pharmaceuticals Ltd.*		3,522		33,459
ICU Medical, Inc.*		1,019		32,730
Symmetry Medical, Inc.*		4,976		31,399
Natus Medical, Inc.*		3,478		29,598
Amedisys, Inc.*		973		26,748
AmSurg Corp.*		1,267		20,082
SurModics, Inc.*		801		14,618
Total Health Care				1,342,466
INDUSTRIALS 10.2%
Ceradyne, Inc.*		5,650		102,434
Astec Industries, Inc.*		2,547		66,808
Viad Corp.		3,987		56,296
Mueller Industries, Inc.		2,501		54,247
Knight Transportation, Inc.		3,403		51,589
Actuant Corp. — Class A		4,805		49,636
SkyWest, Inc.		3,840		47,770
Gardner Denver, Inc.*		2,167		47,111
Toro Co.		1,879		45,434
Geo Group, Inc.*		3,259		43,182
II-VI, Inc.*		2,475		42,520
American Science & Engineering, Inc.		743		41,459
Heartland Express, Inc.		2,703		40,031
Aerovironment, Inc.*		1,864		38,958
Stanley, Inc.*		1,530		38,847
Forward Air Corp.		2,243		36,404
SYKES Enterprises, Inc.*		2,141		35,605
Curtiss-Wright Corp.		1,251		35,090
Old Dominion Freight Line, Inc.*		1,485		34,883
Axsys Technologies, Inc.*		728		30,605
Teledyne Technologies, Inc.*		1,020		27,214
Orbital Sciences Corp.*		2,255		26,812
Simpson Manufacturing Company, Inc.		1,443		26,003
AAR Corp.*		2,051		25,719
Total Industrials				1,044,657
FINANCIALS 8.7%
TradeStation Group, Inc.*		22,575		148,995
Greenhill & Company, Inc.		1,804		133,225
eHealth, Inc.*		5,784		92,602

			MARKET
	SHARES		VALUE
optionsXpress Holdings, Inc.		7,628	$	86,730
Portfolio Recovery Associates, Inc.*		2,084		55,935
Wilshire Bancorp, Inc.		10,728		55,357
American Physicians Capital, Inc.		1,308		53,523
Signature Bank*		1,818		51,322
World Acceptance Corp.*		2,576		44,050
Amerisafe, Inc.*		2,865		43,892
First Cash Financial Services, Inc.*		2,139		31,914
Stifel Financial Corp.*		610		26,419
PrivateBancorp, Inc.		1,548		22,384
East-West Bancorp, Inc.		3,914		17,887
Nara Bancorp, Inc.		5,750		16,905
Cascade Bancorp.		8,175		13,325
Total Financials				894,465
ENERGY 8.0%
Hornbeck Offshore Services, Inc.*		5,660		86,258
Dril-Quip, Inc.*		2,262		69,443
St. Mary Land & Exploration Co.		5,180		68,531
Basic Energy Services, Inc.*		10,480		67,806
NATCO Group, Inc.*		3,172		60,046
Petroleum Development Corp.*		4,773		56,369
Oil States International, Inc.*		4,013		53,855
Lufkin Industries, Inc.		1,326		50,229
Superior Well Services, Inc.*		8,529		43,754
SEACOR Holdings, Inc.*		739		43,091
Tetra Technologies, Inc.*		12,022		39,072
CARBO Ceramics, Inc.		1,330		37,825
Swift Energy Co.*		4,656		33,989
Penn Virginia Corp.		2,840		31,183
ION Geophysical Corp.*		18,543		28,927
Pioneer Drilling Co.*		8,034		26,352
Petroquest Energy, Inc.*		9,113		21,871
Total Energy				818,601
CONSUMER STAPLES 4.1%
Mannatech, Inc.		42,549		141,688
Green Mountain Coffee Roasters, Inc.*		1,527		73,296
Diamond Foods, Inc.		2,387		66,669
Darling International, Inc.*		12,168		45,143
Chattem, Inc.*		629		35,256
Spartan Stores, Inc.		2,229		34,349
Boston Beer Company, Inc. — Class A*		1,164		24,281
Total Consumer Staples				420,682

See Notes to Financial Statements. THE RYDEX SERIES FUNDS ANNUAL REPORT    |    133

SCHEDULE OF INVESTMENTS (concluded)

March 31, 2009

     SMALL-CAP GROWTH FUND

			MARKET
	SHARES		VALUE
MATERIALS 3.5%
Eagle Materials, Inc.		4,485	$	108,761
A.M. Castle & Co.		9,692		86,453
Brush Engineered Materials, Inc.*		6,113		84,787
Balchem Corp.		1,337		33,599
Headwaters, Inc.*		7,539		23,672
Deltic Timber Corp.		565		22,267
Total Materials				359,539
Total Common Stocks
(Cost $10,143,112)				10,248,293
Total Investments 99.7%
(Cost $10,143,112)			$	10,248,293
Other Assets in Excess of Liabilities – 0.3%			$	32,794
Net Assets – 100.0%			$	10,281,087

* Non-Income Producing Security.

134    |    THE RYDEX SERIES FUNDS ANNUAL REPORT See Notes to Financial Statements.

SCHEDULE OF INVESTMENTS

March 31, 2009

     MID-CAP GROWTH FUND

			MARKET
	SHARES		VALUE
COMMON STOCKS 99.4%
CONSUMER DISCRETIONARY 26.6%
Aeropostale, Inc.*		16,563	$	439,913
J. Crew Group, Inc.*		28,519		375,881
Sotheby’s		41,190		370,710
ITT Educational Services, Inc.*		2,369		287,644
Guess?, Inc.		12,705		267,821
Chico’s FAS, Inc.*		49,368		265,106
Netflix, Inc.*		6,113		262,370
NVR, Inc.*		579		247,667
Urban Outfitters, Inc.*		12,722		208,259
Ross Stores, Inc.		5,335		191,420
Panera Bread Co. — Class A*		3,420		191,178
Chipotle Mexican Grill, Inc. — Class A*		2,811		186,594
The Warnaco Group, Inc.*		6,882		165,168
Career Education Corp.*		6,673		159,885
Under Armour, Inc.*		9,214		151,386
Marvel Entertainment, Inc.*		5,667		150,459
Thor Industries, Inc.		9,520		148,702
Advance Auto Parts, Inc.		3,598		147,806
Strayer Education, Inc.		813		146,234
Toll Brothers, Inc.*		7,450		135,292
Dick’s Sporting Goods, Inc.*		8,239		117,571
Lamar Advertising Company*		11,866		115,694
DreamWorks Animation SKG, Inc. — Class A*		5,291		114,497
Timberland Co. — Class A*		9,243		110,362
Priceline.com, Inc.*		1,302		102,572
Dollar Tree, Inc.*		2,278		101,485
John Wiley & Sons, Inc. — Class A		3,389		100,924
Total Consumer Discretionary				5,262,600
INFORMATION TECHNOLOGY 17.7%
Western Digital Corp.*		17,947		347,095
Lam Research Corp.*		13,646		310,719
Digital River, Inc.*		8,639		257,615
CommScope, Inc.*		20,378		231,494
FactSet Research Systems Inc.		4,575		228,704
ValueClick, Inc.*		25,055		213,218
DST Systems, Inc.*		5,640		195,257
NeuStar, Inc.*		11,643		195,020
Synopsys, Inc.*		8,960		185,741
Silicon Laboratories, Inc.*		6,524		172,234
F5 Networks, Inc.*		6,766		141,748
Cree, Inc.*		5,841		137,439
Metavante Technologies, Inc.*		6,115		122,055
Plantronics, Inc.		10,022		120,966
Parametric Technology Corp.*		11,044		110,219
ACI Worldwide, Inc.*		5,510		103,313
Global Payments, Inc.		3,035		101,399
Alliance Data Systems Corp.*		2,571		94,998

			MARKET
	SHARES		VALUE
ANSYS, Inc.*		3,542	$	88,904
Trimble Navigation Ltd.*		3,467		52,976
Gartner, Inc. — Class A*		4,490		49,435
Mettler-Toledo International, Inc.*		814		41,783
Total Information Technology				3,502,332
INDUSTRIALS 16.6%
Joy Global, Inc.		12,838		273,449
Landstar System, Inc.		6,302		210,928
Thomas & Betts Corporation*		8,254		206,515
Herman Miller, Inc.		16,674		177,745
Corporate Executive Board Co.		12,204		176,958
Clean Harbors, Inc.*		3,447		165,456
J.B. Hunt Transport Services, Inc.		6,749		162,718
Trinity Industries, Inc.		16,139		147,511
Graco, Inc.		8,509		145,249
Alliant Techsystems, Inc.*		2,042		136,773
Con-way Inc.		7,599		136,250
MSC Industrial Direct Co.		4,368		135,714
Bucyrus International, Inc.		8,522		129,364
Rollins, Inc.		7,448		127,733
Terex Corp.*		10,923		101,038
Donaldson Company		3,757		100,838
Korn/Ferry International, Inc.*		10,616		96,181
FTI Consulting, Inc.*		1,894		93,715
AMETEK, Inc.		2,854		89,245
Alaska Air Group, Inc.*		4,946		86,901
Navigant Consulting, Inc.*		6,546		85,556
Copart, Inc.*		2,693		79,874
Roper Industries, Inc.		1,854		78,702
Watson Wyatt & Company
Worldwide, Inc.		1,560		77,017
Lincoln Electric Holdings, Inc.		2,278		72,190
Total Industrials				3,293,620
HEALTH CARE 12.8%
Sepracor, Inc.*		33,861		496,402
United Therapeutics Corp.*		5,790		382,661
Kinetic Concepts, Inc.*		12,726		268,773
VCA Antech, Inc.*		9,417		212,353
Immucor, Inc.*		6,160		154,924
Hologic, Inc.*		11,496		150,483
IDEXX Laboratories, Inc.*		3,699		127,911
Gen-Probe, Inc.*		2,618		119,328
Lincare Holdings, Inc.*		5,037		109,807
Cerner Corp.*		2,482		109,134
ResMed, Inc.*		3,021		106,762
Endo Pharmaceuticals Holdings, Inc.*		5,961		105,391
Techne Corp.		1,905		104,223
Pharmaceutical Product
Development, Inc.		4,013		95,188
Total Health Care				2,543,340

See Notes to Financial Statements. THE RYDEX SERIES FUNDS ANNUAL REPORT    |    135

SCHEDULE OF INVESTMENTS (concluded)

March 31, 2009

     MID-CAP GROWTH FUND

			MARKET
	SHARES		VALUE
ENERGY 11.0%
Frontier Oil Corp.		22,459	$	287,251
Patterson-UTI Energy, Inc.		24,487		219,404
Helmerich & Payne, Inc.		9,520		216,770
Denbury Resources, Inc.*		14,331		212,959
Unit Corp.*		9,773		204,451
Helix Energy Solutions Group, Inc.*		38,088		195,772
FMC Technologies, Inc.*		6,055		189,945
Encore Acquisition Co.*		7,927		184,461
Quicksilver Resources, Inc.*		29,444		163,120
Oceaneering International, Inc.*		3,832		141,286
Superior Energy Services*		8,902		114,747
Comstock Resources, Inc.*		1,708		50,898
Total Energy				2,181,064
FINANCIALS 6.5%
Eaton Vance Corp.		10,596		242,119
Affiliated Managers Group, Inc.*		5,322		221,981
SEI Investments Co.		12,599		153,834
HCC Insurance Holdings, Inc.		5,986		150,787
Jones Lang LaSalle, Inc.		6,010		139,793
Brown & Brown, Inc.		6,350		120,078
W.R. Berkley Corp.		5,141		115,929
SVB Financial Group*		3,576		71,556
Hanover Insurance Group, Inc.		2,370		68,303
Total Financials				1,284,380
MATERIALS 4.4%
Reliance Steel & Aluminum Co.		9,026		237,655
Steel Dynamics, Inc.		24,405		215,008
Cliffs Natural Resources, Inc.		11,822		214,687
FMC Corp.		4,500		194,130
Total Materials				861,480
CONSUMER STAPLES 3.8%
Hansen Natural Corp.*		10,821		389,556
Energizer Holdings, Inc.*		5,411		268,873
Church & Dwight Company, Inc.		1,619		84,560
Total Consumer Staples				742,989
Total Common Stocks
(Cost $17,336,314)				19,671,805
WARRANTS 0.0%
CONSUMER DISCRETIONARY 0.0%
Krispy Kreme Doughnuts, Inc.* $12.21, 03/02/12		18		—
Total Consumer Discretionary				—
Total Warrants
(Cost $—)				—

	FACE		MARKET
	AMOUNT		VALUE
REPURCHASE AGREEMENTS† 0.3%
Credit Suisse Group issued 03/31/09 at 0.15% due 04/01/09	$	43,068	$	43,068
Mizuho Financial Group, Inc. issued 03/31/09 at 0.16% due 04/01/09		15,887		15,887
Morgan Stanley issued 03/31/09 at 0.05% due 04/01/09		1,093		1,093
Total Repurchase Agreements
(Cost $60,048)				60,048
Total Investments 99.7%
(Cost $17,396,362)			$	19,731,853
Other Assets in Excess of Liabilities – 0.3%			$	58,988
Net Assets – 100.0%			$	19,790,841

*	Non-Income Producing Security.
†	Repurchase Agreements — See Note 6.

136    |    THE RYDEX SERIES FUNDS ANNUAL REPORT See Notes to Financial Statements.

SCHEDULE OF INVESTMENTS

March 31, 2009

     LARGE-CAP GROWTH FUND

			MARKET
	SHARES		VALUE
COMMON STOCKS 99.4%
INFORMATION TECHNOLOGY 30.5%
Akamai Technologies, Inc.*		13,140	$	254,916
MasterCard, Inc.		1,372		229,783
BMC Software, Inc.*		6,950		229,350
Cognizant Technology Solutions Corp. — Class A*		11,007		228,836
Google, Inc. — Class A*		657		228,675
Agilent Technologies, Inc.*		14,548		223,603
SanDisk Corp.*		17,098		216,290
Salesforce.com, Inc.*		6,154		201,420
Amphenol Corp.		6,815		194,159
Apple, Inc.*		1,807		189,952
Motorola, Inc.		39,999		169,196
Texas Instruments, Inc.		8,745		144,380
National Semiconductor Corp.		13,963		143,400
Autodesk, Inc.*		8,424		141,608
Microsoft Corp.		7,560		138,877
Intuit, Inc.*		5,143		138,861
Yahoo!, Inc.*		10,733		137,490
NetApp, Inc.*		9,237		137,077
Paychex, Inc.		5,256		134,922
Dell, Inc.*		13,994		132,663
Oracle Corp.*		7,071		127,773
Qualcomm, Inc.		3,268		127,158
Cisco Systems, Inc.*		7,394		123,997
Western Union Co.		9,797		123,148
VeriSign, Inc.*		6,259		118,107
Altera Corp.		6,695		117,497
Total System Services, Inc.		8,020		110,756
eBay, Inc.*		8,609		108,129
MEMC Electronic Materials, Inc.*		6,311		104,068
Adobe Systems, Inc.*		4,392		93,945
Fiserv, Inc.*		2,572		93,775
Flir Systems, Inc.*		4,546		93,102
Compuware Corp.*		12,417		81,828
Harris Corp.		2,804		81,148
Lexmark International, Inc.*		3,382		57,054
Total Information Technology				5,176,943
ENERGY 15.4%
Schlumberger Ltd.		4,880		198,226
XTO Energy, Inc.		5,608		171,717
Murphy Oil Corp.		3,664		164,037
Chesapeake Energy Corp.		9,455		161,302
Sunoco, Inc.		5,713		151,280
Exxon Mobil Corp.		2,146		146,143
BJ Services Co.		13,271		132,046
EOG Resources, Inc.		2,367		129,617
Chevron Corp.		1,918		128,966
Hess Corp.		2,234		121,083
Apache Corp.		1,824		116,900

			MARKET
	SHARES		VALUE
Nabors Industries Ltd.*		11,593	$	115,814
Baker Hughes, Inc.		3,984		113,743
Anadarko Petroleum Corp.		2,803		109,009
Cabot Oil & Gas Corp.		4,444		104,745
Range Resources Corp.		2,499		102,859
Cameron International Corp.*		4,628		101,492
Smith International, Inc.		4,694		100,827
ENSCO International, Inc.		3,580		94,512
Consol Energy, Inc.		3,448		87,028
Devon Energy Corp.		1,343		60,019
Total Energy				2,611,365
CONSUMER DISCRETIONARY 14.3%
Sears Holdings Corp.*		6,162		281,665
Amazon.com, Inc.*		3,006		220,761
Abercrombie & Fitch Co. — Class A		7,928		188,687
Apollo Group, Inc. — Class A*		2,300		180,159
TJX Companies, Inc.		6,918		177,378
Coach, Inc.*		10,079		168,319
AutoZone, Inc.*		997		162,132
Starbucks Corp.*		14,058		156,184
Sherwin-Williams Co.		2,209		114,802
McGraw-Hill Companies, Inc.		4,969		113,641
GameStop Corp. — Class A*		3,920		109,838
Bed Bath & Beyond, Inc.*		4,418		109,346
Yum! Brands, Inc.		3,815		104,836
Black & Decker Corp.		3,225		101,781
Viacom, Inc. — Class B*		5,169		89,837
Nike, Inc. — Class B		1,691		79,291
Wynn Resorts Ltd.*		3,397		67,838
Total Consumer Discretionary				2,426,495
HEALTH CARE 12.7%
Celgene Corp.*		4,822		214,097
Intuitive Surgical, Inc.*		2,099		200,161
DaVita, Inc.*		4,088		179,668
Waters Corp.*		3,960		146,322
IMS Health, Inc.		10,722		133,703
UnitedHealth Group, Inc.		5,978		125,120
Varian Medical Systems, Inc.*		4,015		122,217
Biogen Idec, Inc.*		2,231		116,949
Express Scripts, Inc.*		2,502		115,517
St. Jude Medical, Inc.*		3,000		108,990
Amgen, Inc.*		2,106		104,289
Forest Laboratories, Inc.*		4,257		93,484
Johnson & Johnson		1,767		92,944
Medtronic, Inc.		3,091		91,092
Laboratory Corporation of America Holdings*		1,361		79,605
Zimmer Holdings, Inc.*		2,137		78,000
Patterson Companies, Inc.*		4,125		77,797
Stryker Corp.		2,256		76,794
Total Health Care				2,156,749

See Notes to Financial Statements. THE RYDEX SERIES FUNDS ANNUAL REPORT    |    137

SCHEDULE OF INVESTMENTS (concluded)

March 31, 2009

     LARGE-CAP GROWTH FUND

			MARKET
	SHARES		VALUE
INDUSTRIALS 8.6%
Paccar, Inc.		5,962	$	153,581
Rockwell Collins, Inc.		4,050		132,192
Dun & Bradstreet Corp.		1,616		124,432
CH Robinson Worldwide, Inc.		2,624		119,681
Equifax, Inc.		4,781		116,895
Caterpillar, Inc.		4,150		116,034
3M Co.		2,207		109,732
Expeditors International of Washington, Inc.		3,741		105,833
Fastenal Co.		3,197		102,799
Lockheed Martin Corp.		1,429		98,644
Robert Half International, Inc.		5,466		97,459
Danaher Corp.		1,699		92,120
Rockwell Automation, Inc.		4,196		91,641
Total Industrials				1,461,043
FINANCIALS 7.2%
IntercontinentalExchange, Inc.*		2,991		222,740
Goldman Sachs Group, Inc.		2,055		217,871
CME Group, Inc.		646		159,168
CB Richard Ellis Group, Inc. — Class A*		37,968		153,011
NYSE Euronext		8,375		149,912
Progressive Corp.*		9,023		121,269
SLM Corp.*		22,100		109,395
Franklin Resources, Inc.		1,556		83,822
Total Financials				1,217,188
MATERIALS 5.4%
Freeport-McMoRan Copper & Gold, Inc.		8,982		342,304
Nucor Corp.		4,959		189,285
Titanium Metals Corp.		30,100		164,647
Ball Corp.		3,340		144,956
Ecolab, Inc.		2,463		85,540
Total Materials				926,732
CONSUMER STAPLES 4.8%
Sysco Corp.		4,983		113,612
PepsiCo, Inc.		2,205		113,513
Hershey Co.		3,190		110,853
Campbell Soup Co.		3,703		101,314
Colgate-Palmolive Co.		1,692		99,794
Avon Products, Inc.		5,107		98,208
Kellogg Co.		2,499		91,538
Estee Lauder Companies, Inc. — Class A		3,323		81,912
Total Consumer Staples				810,744
UTILITIES 0.5%
Questar Corp.		2,993		88,084
Total Utilities				88,084
Total Common Stocks
(Cost $15,161,384)			$	16,875,343

	FACE		MARKET
	AMOUNT		VALUE
REPURCHASE AGREEMENTS† 1.4%
Credit Suisse Group issued 03/31/09 at 0.15% due 04/01/09	$	165,233	$	165,233
Mizuho Financial Group, Inc. issued 03/31/09 at 0.16% due 04/01/09		60,950		60,950
Morgan Stanley issued 03/31/09 at 0.05% due 04/01/09		4,193		4,193
Total Repurchase Agreements
(Cost $230,376)				230,376
Total Investments 100.8%
(Cost $15,391,760)			$	17,105,719
Liabilities in Excess of Other Assets – (0.8)%			$	(136,615	)
Net Assets – 100.0%			$	16,969,104

*	Non-Income Producing Security.
†	Repurchase Agreements — See Note 6.

138    |    THE RYDEX SERIES FUNDS ANNUAL REPORT See Notes to Financial Statements.

SCHEDULE OF INVESTMENTS

March 31, 2009

     U.S. GOVERNMENT MONEY MARKET FUND

	FACE		MARKET
	AMOUNT		VALUE
FEDERAL AGENCY DISCOUNT NOTES 62.1%
Fannie Mae**
1.70% due 09/01/09	$	50,000,000	$	49,638,750
1.38% due 07/27/09		49,000,000		48,780,235
1.15% due 05/01/09		25,000,000		24,976,042
Farmer Mac*
0.31% due 04/02/09		50,000,000		49,999,569
0.22% due 04/08/09		50,000,000		49,997,861
0.34% due 04/16/09		50,000,000		49,992,917
0.15% due 04/01/09		25,000,000		25,000,000
1.25% due 06/25/09		25,000,000		24,926,215
1.70% due 09/25/09		25,000,000		24,791,042
1.90% due 07/06/09		20,000,000		19,898,667
Federal Farm Credit Bank*
0.23% due 04/23/09		25,000,000		24,996,486
Federal Home Loan Bank*
0.26% due 04/24/09		50,000,000		49,991,694
0.57% due 08/17/09		50,000,000		49,890,750
0.59% due 09/02/09		50,000,000		49,873,805
0.80% due 12/08/09		50,000,000		49,721,111
0.81% due 12/23/09		50,000,000		49,700,750
0.33% due 05/27/09		25,000,000		24,987,167
0.44% due 05/13/09		25,000,000		24,987,167
0.56% due 08/26/09		25,000,000		24,942,833
0.62% due 12/30/09		25,000,000		24,882,458
1.05% due 03/16/10		25,000,000		24,745,521
0.55% due 07/31/09		20,227,000		20,189,608
0.75% due 02/09/10		12,000,000		11,921,500
0.55% due 07/29/09		10,000,000		9,981,819
Freddie Mac**
0.43% due 07/06/09		50,000,000		49,942,667
1.30% due 07/07/09		50,000,000		49,824,861
0.30% due 04/23/09		25,000,000		24,995,417
1.76% due 05/28/09		25,000,000		24,930,333
0.60% due 09/21/09		25,000,000		24,927,917
1.25% due 06/24/09		25,000,000		24,927,083
0.73% due 02/08/10		10,000,000		9,936,530
Total Federal Agency Discount Notes
(Cost $1,018,298,775)				1,018,298,775
FEDERAL AGENCY BONDS 5.8%
Federal Home Loan Bank*
1.90% due 04/09/09		25,000,000		24,993,368
Freddie Mac**
1.25% due 03/09/10		25,000,000		25,000,000
1.00% due 02/11/10		20,000,000		19,993,074
1.15% due 02/26/10		15,000,000		15,000,000
1.05% due 02/05/10		10,000,000		10,000,000
Total Federal Agency Bonds
(Cost $94,986,442)				94,986,442

	FACE		MARKET
	AMOUNT		VALUE
U.S. TREASURY OBLIGATIONS 1.4%
RFCO Strips Zero Coupon due 07/15/09	$	22,995,000	$	22,951,586
Total U.S. Treasury Obligations
(Cost $22,951,586)				22,951,586
REPURCHASE AGREEMENTS† 29.7%
Credit Suisse Group issued 03/31/09 at 0.15% due 04/01/09		337,098,666		337,098,666
Mizuho Financial Group, Inc. issued 03/31/09 at 0.16% due 04/01/09		141,919,697		141,919,697
Morgan Stanley issued 03/31/09 at 0.05% due 04/01/09		8,554,282		8,554,282
Total Repurchase Agreements
(Cost $487,572,645)				487,572,645
Total Investments 99.0%
(Cost $1,623,809,448)			$	1,623,809,448
Other Assets in Excess of Liabilities – 1.0%			$	16,358,687
Net Assets – 100.0%			$	1,640,168,135

*	The issuer is a publicly traded company that operates under a Congressional charter; its securities are neither issued nor guaranteed by the U.S. Government.
**	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.
†	Repurchase Agreements — See Note 6.

See Notes to Financial Statements. THE RYDEX SERIES FUNDS ANNUAL REPORT    |    139

STATEMENTS OF ASSETS AND LIABILITIES

							Inverse
							S&P 500
	Nova			S&P 500			Strategy			NASDAQ-100®
	Fund			Fund			Fund			Fund
Assets
Investment Securities	$	43,340,227		$	108,885,945		$	194,821,821		$	385,946,429
Repurchase Agreements		4,823,324			59,556,997			30,664,995			24,534,633
Total Investments		48,163,551			168,442,942			225,486,816			410,481,062
Segregated Cash with Broker		4,368,958			8,612,861			65,588,800			4,084,768
Unrealized Appreciation on Swap Agreements		54,949			373,850			—			223,432
Receivable for Equity Index Swap Settlement		280,601			2,100,324			—			—
Variation Margin on Futures Contracts		240,566			356,378			—			120,324
Receivable for Securities Sold		—			—			—			—
Receivable for Fund Shares Sold		4,177,612			1,319,903			17,980,881			6,184,466
Investment Income Receivable		85,279			201,991			128			108,437
Total Assets		57,371,516			181,408,249			309,056,625			421,202,489
Liabilities
Unrealized Depreciation on Swap Agreements		—			—			22,032,122			—
Payable for Equity Index Swap Settlement		—			—			13,668,228			344,987
Variation Margin on Futures Contracts		—			—			127,398			—
Payable for Securities Purchased		—			—			—			198,163
Payable for Fund Shares Redeemed		901,588			4,748,685			1,618,981			2,539,956
Investment Advisory Fees Payable		29,758			73,724			248,442			235,247
Transfer Agent and Administrative Fees Payable		9,919			24,575			69,012			78,416
Distribution and Service Fees Payable		11,920			29,047			30,506			10,032
Portfolio Accounting Fees Payable		3,968			9,855			25,826			28,662
Custody Fees Payable		1,321			4,175			9,919			10,354
Dividends Payable		—			—			—			—
Other Accrued Fees		30,182			54,967			126,803			227,326
Total Liabilities		988,656			4,945,028			37,957,237			3,673,143
Net Assets	$	56,382,860		$	176,463,221		$	271,099,388		$	417,529,346
Net Assets Consist Of
Paid-In Capital	$	244,278,160		$	255,487,101		$	461,408,777		$	1,099,192,865
Undistributed Net Investment Income (Loss)		608,840			290,128			387,063			—
Accumulated Net Realized Loss on Investments		(185,500,396	)		(68,393,193	)		(168,437,638	)		(775,289,430	)
Net Unrealized Appreciation (Depreciation) on Investments		(3,003,744	)		(10,920,815	)		(22,258,814	)		93,625,911
Net Assets		$56,382,860		$	176,463,221		$	271,099,388		$	417,529,346
Investor Class	$	32,603,317			N/A		$	217,739,939		$	389,943,943
Advisor Class		10,853,213			N/A			15,304,514			18,077,624
A-Class		3,612,389			29,409,214			18,381,195			3,139,579
C-Class		9,313,941			7,295,224			19,673,740			6,368,200
H-Class		N/A			139,758,783			N/A			N/A
Shares Outstanding
Investor Class		2,859,965			N/A			4,015,029			47,821,838
Advisor Class		1,011,595			N/A			301,110			2,342,677
A-Class		332,124			1,862,726			358,334			401,637
C-Class		893,636			472,483			396,765			850,517
H-Class		N/A			8,858,738			N/A			N/A
Net Asset Values
Investor Class	$	11.40			N/A		$	54.23		$	8.15
Advisor Class		10.73			N/A			50.83			7.72
A-Class		10.88		$	15.79			51.30			7.82
A-Class Maximum Offering Price*		11.42			16.58			53.86			8.21
C-Class		10.42			15.44			49.59			7.49
H-Class		N/A			15.78			N/A			N/A
Cost of Investments	$	53,490,620		$	179,515,117		$	225,295,487		$	316,929,769

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

140    |    THE RYDEX SERIES FUNDS ANNUAL REPORT             See Notes to Financial Statements.

March 31, 2009

	Inverse															Inverse			Government			Inverse
	NASDAQ-			Mid-Cap			Inverse									Russell			Long Bond			Government
	100®			1.5x			Mid-Cap			Russell 2000®			Russell			2000®			1.2x			Long Bond
	Strategy			Strategy			Strategy			1.5x Strategy			2000®			Strategy			Strategy			Strategy
	Fund			Fund			Fund			Fund			Fund			Fund			Fund			Fund
ASSETS
	$	—		$	6,600,459		$	—		$	11,236,669		$	8,964,320		$	—		$	64,460,484		$	398,613,672
		33,538,392			4,057,847			7,298,613			2,935,794			13,990,662			30,645,907			2,453,079			51,449,028
		33,538,392			10,658,306			7,298,613			14,172,463			22,954,982			30,645,907			66,913,563			450,062,700
		10,557,720			1,356,532			1,414,677			1,158,680			1,537,573			2,900,105			997,200			22,619,310
		—			354,176			23,516			134,028			2,102			220,410			—			—
		—			—			—			266,543			5,862			39,765			—			—
		—			83,929			—			90,870			99,697			—			205,384			—
		—			—			—			42			21			—			12,764,573			—
		1,782,679			3,449,894			119,868			2,060,913			1,507,121			1,135,986			1,811,299			19,750,408
		141			9,747			30			15,369			13,312			128			283,032			216
		45,878,932			15,912,584			8,856,704			17,898,908			26,120,670			34,942,301			82,975,051			492,432,634
		2,895,213			17,902			347,272			12,726			9,775			25,911			—			—
		3,291,533			53,381			348,751			—			—			—			—			—
		6,077			—			10,880			—			—			32,607			—			4,764,731
		—			—			—			—			—			—			—			—
		88,139			720,923			2,272			83,632			1,810,572			178,868			15,138,776			4,525,519
		35,334			8,228			7,689			9,182			8,029			33,702			32,563			362,983
		9,815			2,286			2,136			2,551			2,676			9,362			13,025			100,829
		4,299			3,995			2,485			4,662			3,245			11,073			14,196			125,930
		3,926			914			854			1,020			1,042			3,745			6,513			35,289
		1,296			379			282			340			550			1,236			2,149			13,309
		—			—			—			—			—			—			4,321			—
		27,835			7,374			5,319			5,613			6,587			16,339			37,582			208,815
		6,363,467			815,382			727,940			119,726			1,842,476			312,843			15,249,125			10,137,405
	$	39,515,465		$	15,097,202		$	8,128,764		$	17,779,182		$	24,278,194		$	34,629,458		$	67,725,926		$	482,295,229
	$	106,779,810		$	39,026,524		$	15,761,719		$	42,690,743		$	41,467,876		$	58,429,978		$	70,700,104		$	853,712,819
		—			—			—			(53	)		(584	)		—			183,623			—
		(64,381,506	)		(22,631,838	)		(7,299,448	)		(21,505,872	)		(16,999,903	)		(23,962,760	)		(5,563,598	)		(353,538,729	)
		(2,882,839	)		(1,297,484	)		(333,507	)		(3,405,636	)		(189,195	)		162,240			2,405,797			(17,878,861	)
	$	39,515,465		$	15,097,202		$	8,128,764		$	17,779,182		$	24,278,194		$	34,629,458		$	67,725,926		$	482,295,229
	$	33,672,421			N/A			N/A			N/A			N/A			N/A		$	43,237,249		$	269,155,008
		475,986			N/A			N/A			N/A			N/A			N/A			7,867,430			35,153,063
		2,301,141		$	1,080,182		$	451,893		$	591,215		$	2,308,587		$	2,299,430			11,118,857			54,574,134
		3,065,917			2,954,096			327,309			3,380,674			2,122,715			2,198,745			5,502,390			123,413,024
		N/A			11,062,924			7,349,562			13,807,293			19,846,892			30,131,283			N/A			N/A
		1,342,145			N/A			N/A			N/A			N/A			N/A			3,147,895			20,203,718
		19,534			N/A			N/A			N/A			N/A			N/A			576,113			2,714,055
		93,290			81,028			9,373			47,352			161,298			47,885			808,636			4,166,446
		133,847			236,816			7,079			288,584			151,621			47,645			401,059			10,051,778
		N/A			829,782			152,460			1,107,015			1,387,059			627,119			N/A			N/A
	$	25.09			N/A			N/A			N/A			N/A			N/A		$	13.74		$	13.32
		24.37			N/A			N/A			N/A			N/A			N/A			13.66			12.95
		24.67		$	13.33		$	48.21		$	12.49		$	14.31		$	48.02			13.75			13.10
		25.90			13.99			50.61			13.11			15.02			50.41			14.44			13.75
		22.91			12.47			46.24			11.71			14.00			46.15			13.72			12.28
		N/A			13.33			48.21			12.47			14.31			48.05			N/A			N/A
	$	33,538,392		$	12,382,002		$	7,298,613		$	17,686,825		$	22,740,215		$	30,645,907		$	65,535,707		$	449,749,212

THE RYDEX SERIES FUNDS ANNUAL REPORT    |    141

STATEMENTS OF ASSETS AND LIABILITIES (concluded)

				Inverse			Europe
	High Yield			High Yield			1.25x			Japan
	Strategy			Strategy			Strategy			2x Strategy
	Fund			Fund			Fund			Fund
Assets
Investment Securities	$	—		$	—		$	2,721,398		$	—
Repurchase Agreements		217,763,763			10,901,856			2,589,474			3,331,032
Total Investments		217,763,763			10,901,856			5,310,872			3,331,032
Unamortized Upfront Premiums Received		—			1,235,092			—			—
Segregated Cash with Broker		114,781,178			1,264,136			658,563			1,487,200
Unrealized Appreciation on Swap Agreements		—			605,483			—			—
Receivable for Credit Default Swap Settlement		6,511,900			142,233			—			—
Variation Margin on Futures Contracts		199,500			—			203,261			39,309
Receivable for Securities Sold		—			—			12,090			—
Receivable for Fund Shares Sold		2,426,439			4,233,072			10,100			3,229,893
Investment Income Receivable		912			46			12,038			14
Prepaid Insurance		—			—			—			—
Total Assets		341,683,692			18,381,918			6,206,924			8,087,448
Liabilities
Payable for Credit Default Swap Settlement		6,152,765			9,700			—			—
Unamortized Upfront Premiums Paid		78,588,943			—			—			—
Unrealized Depreciation on Swap Agreements		5,157,219			—			—			—
Variation Margin on Futures Contracts		—			12,172			—			—
Payable for Securities Purchased		—			—			—			—
Payable for Fund Shares Redeemed		4,616,867			1,394,822			383,976			369,934
Investment Advisory Fees Payable		49,021			6,635			3,930			3,123
Transfer Agent and Administrative Fees Payable		16,340			2,212			1,092			1,041
Distribution and Service Fees Payable		17,335			2,927			1,656			1,298
Portfolio Accounting Fees Payable		6,462			885			437			416
Custody Fees Payable		2,157			292			144			121
Overdraft Due to Custodian Bank		—			—			—			—
Other Accrued Fees		28,208			6,933			6,500			2,199
Total Liabilities		94,635,317			1,436,578			397,735			378,132
Net Assets	$	247,048,375		$	16,945,340		$	5,809,189		$	7,709,316
Net Assets Consist Of
Paid-In Capital	$	273,368,882		$	16,741,824		$	24,924,487		$	11,818,660
Undistributed Net Investment Income (Loss)		—			—			(165,064	)		—
Accumulated Net Realized Loss on Investments		(21,661,858	)		(364,890	)		(19,221,457	)		(5,062,871	)
Net Unrealized Appreciation (Depreciation) on Investments		(4,658,649	)		568,406			271,223			953,527
Net Assets	$	247,048,375		$	16,945,340		$	5,809,189		$	7,709,316
Investor Class		N/A			N/A			N/A			N/A
Advisor Class		N/A			N/A			N/A			N/A
A-Class	$	5,747,576		$	2,277,528		$	315,865		$	299,292
C-Class		1,773,170			868,610			754,436			879,377
H-Class		239,527,628			13,799,202			4,738,888			6,530,647
Shares Outstanding
Investor Class		N/A			N/A			N/A			N/A
Advisor Class		N/A			N/A			N/A			N/A
A-Class		345,481			41,313			37,769			33,227
C-Class		108,557			15,940			96,329			98,372
H-Class		14,424,833			249,714			566,585			724,990
Net Asset Values
Investor Class		N/A			N/A			N/A			N/A
Advisor Class		N/A			N/A			N/A			N/A
A-Class	$	16.64		$	55.13		$	8.36		$	9.01
A-Class Maximum Offering Price*		17.47			57.88			8.78			9.46
C-Class		16.33			54.49			7.83			8.94
H-Class		16.61			55.26			8.36			9.01
Cost of Investments	$	217,763,763		$	10,901,856		$	5,138,907		$	3,331,032

*	Net asset value adjusted for the maximum sales charge of 4.75% of offering price, calculated NAV/(1-4.75%).
†	Amounts have been restated to reflect a 1:5 reverse share split effective April 20, 2009.

142    |    THE RYDEX SERIES FUNDS ANNUAL REPORT             See Notes to Financial Statements.

March 31, 2009

																		U.S.
Small-Cap			Mid-Cap			Large-Cap			Small-Cap			Mid-Cap			Large-Cap			Government
Value			Value			Value			Growth			Growth			Growth			Money Market
Fund			Fund			Fund			Fund			Fund			Fund			Fund
$	22,045,894		$	4,735,970		$	5,910,726		$	10,248,293		$	19,671,805		$	16,875,343		$	1,136,236,803
	342,259			179,196			152,788			—			60,048			230,376			487,572,645
	22,388,153			4,915,166			6,063,514			10,248,293			19,731,853			17,105,719			1,623,809,448
	—			—			—			—			—			—			—
	—			—			—			—			—			—			—
	—			—			—			—			—			—			—
	—			—			—			—			—			—			—
	—			—			—			—			—			—			—
	—			—			62,912			255,890			—			—			—
	2,000			57,347			3,033			4,091			775,782			272,051			99,256,412
	30,944			6,908			17,742			2,982			10,581			8,450			319,221
	—			—			—			—			—			—			46,188
	22,421,097			4,979,421			6,147,201			10,511,256			20,518,216			17,386,220			1,723,431,269
	—			—			—			—			—			—			—
	—			—			—			—			—			—			—
	—			—			—			—			—			—			—
	—			—			—			—			—			—			—
	—			84,824			—			—			537,138			186,484			—
	145,168			175,100			241,730			154,137			157,240			206,624			81,850,489
	6,584			1,769			2,806			5,861			8,790			8,158			265,759
	2,195			590			935			1,954			2,930			2,719			298,429
	2,632			977			1,631			2,262			4,735			4,009			—
	878			236			374			781			1,172			1,088			72,504
	290			634			123			258			420			359			49,241
	—			—			—			60,884			—			—			—
	4,734			3,284			9,604			4,032			14,950			7,675			726,712
	162,481			267,414			257,203			230,169			727,375			417,116			83,263,134
$	22,258,616		$	4,712,007		$	5,889,998		$	10,281,087		$	19,790,841		$	16,969,104		$	1,640,168,135
$	49,718,097		$	11,869,641		$	32,099,801		$	18,709,797		$	44,509,884		$	30,929,199		$	1,640,175,189
	34,123			143,550			509,393			—			—			—			(40	)
	(27,777,150	)		(7,629,462	)		(26,354,910	)		(8,533,891	)		(27,054,534	)		(15,674,054	)		(7,014	)
	283,546			328,278			(364,286	)		105,181			2,335,491			1,713,959			—
$	22,258,616		$	4,712,007		$	5,889,998		$	10,281,087		$	19,790,841		$	16,969,104		$	1,640,168,135
	N/A			N/A			N/A			N/A			N/A			N/A		$	1,114,286,495
	N/A			N/A			N/A			N/A			N/A			N/A			341,425,399
$	78,282		$	100,262		$	202,983		$	116,917		$	722,631		$	2,346,297			49,072,111
	690,895			626,848			1,128,720			369,469			3,476,858			2,110,894			135,384,130
	21,489,439			3,984,897			4,558,295			9,794,701			15,591,352			12,511,913			N/A
	N/A			N/A			N/A			N/A			N/A			N/A			1,114,715,694
	N/A			N/A			N/A			N/A			N/A			N/A			341,617,316
	7,064			7,328			5,705	†		6,904			39,726			148,334			49,070,900
	65,031			47,762			33,536	†		22,640			198,911			138,602			135,382,248
	1,940,626			291,447			127,807	†		578,161			856,081			791,201			N/A
	N/A			N/A			N/A			N/A			N/A			N/A		$	1.00
	N/A			N/A			N/A			N/A			N/A			N/A			1.00
$	11.08		$	13.68		$	35.58	†	$	16.93		$	18.19		$	15.82			1.00
	11.63			14.36			37.35	†		17.77			19.10			16.61			N/A
	10.62			13.12			33.66	†		16.32			17.48			15.23			1.00
	11.07			13.67			35.67	†		16.94			18.21			15.81			N/A
$	22,104,607		$	4,586,888		$	6,427,800		$	10,143,112		$	17,396,362		$	15,391,760		$	1,623,809,448

THE RYDEX SERIES FUNDS ANNUAL REPORT    |    143

STATEMENTS OF OPERATIONS

							Inverse
							S&P 500
	Nova			S&P 500			Strategy			NASDAQ-100®
	Fund			Fund			Fund			Fund
Investment Income
Interest	$	236,727		$	332,685		$	4,742,663		$	229,214
Income from Securities Lending, net		48,199			21,068			—			497,007
Dividends, Net of Foreign Tax Withheld		1,851,281			2,212,422			—			3,108,660
Total Income		2,136,207			2,566,175			4,742,663			3,834,881
Expenses
Investment Advisory Fees		719,954			884,588			2,531,099			4,082,452
Transfer Agent and Administrative Fees		239,985			294,863			703,083			1,360,817
Distribution & Service Fees:
Advisor Class		77,968			—			71,824			67,504
A-Class		16,382			22,091			41,365			9,783
C-Class		197,887			89,619			222,265			106,465
H-Class		—			250,365			—			—
Portfolio Accounting Fees		95,994			117,971			272,127			446,976
Registration Fees		77,296			46,552			172,126			503,739
Interest Expense		—			—			—			—
Short Sales Dividend Expense		—			—			—			—
Trustees’ Fees*		13,744			10,984			32,631			66,387
Custody Fees		27,658			35,403			80,232			150,178
Miscellaneous		60,498			117,731			228,848			430,416
Total Expenses		1,527,366			1,870,167			4,355,600			7,224,717
Net Investment Income (Loss)		608,841			696,008			387,063			(3,389,836	)
Realized and Unrealized Gain (Loss) on Investments
Net Realized Gain (Loss) on:
Investment Securities		(12,525,945	)		(39,108,151	)		5,146			(25,464,563	)
Equity Index Swaps		(3,891,803	)		233,744			21,112,407			(1,737,204	)
Futures Contracts		(30,633,595	)		(24,704,770	)		95,112,928			(10,221,244	)
Securities Sold Short		—			—			—			—
Total Net Realized Gain (Loss)		(47,051,343	)		(63,579,177	)		116,230,481			(37,423,011	)
Net Change in Unrealized Appreciation (Depreciation) on:
Investment Securities		(23,645,017	)		(12,039,925	)		191,329			(152,217,352	)
Equity Index Swaps		(102,016	)		371,678			(21,130,131	)		97,082
Futures Contracts		2,149,220			(761,797	)		468,982			(111,025	)
Securities Sold Short		—			—			—			—
Net Change in Unrealized Appreciation (Depreciation)		(21,597,813	)		(12,430,044	)		(20,469,820	)		(152,231,295	)
Net Gain (Loss) on Investments		(68,649,156	)		(76,009,221	)		95,760,661			(189,654,306	)
Net Increase (Decrease) in Net Assets from Operations	$	(68,040,315	)	$	(75,313,213	)	$	96,147,724		$	(193,044,142	)
Foreign Tax Withheld	$	—		$	—		$	—		$	40,130

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

144    |    THE RYDEX SERIES FUNDS ANNUAL REPORT See Notes to Financial Statements.

Year Ended March 31, 2009

Inverse						Inverse									Inverse			Government			Inverse
NASDAQ-100®			Mid-Cap				Mid-Cap		Russell 2000®						Russell 2000®			Long Bond			Government
Strategy			1.5x Strategy			Strategy			1.5x Strategy			Russell 2000®			Strategy			1.2x Strategy			Long Bond
Fund			Fund			Fund			Fund			Fund			Fund			Fund			Strategy Fund
$	686,363		$	115,798		$	127,666		$	117,590		$	107,641		$	663,513		$	2,804,330		$	9,849,913
	—			12,882			—			31,621			4,899			—			—			—
	—			246,937			—			252,767			135,680			46			—			—
	686,363			375,617			127,666			401,978			248,220			663,559			2,804,330			9,849,913
	516,935			195,882			105,433			223,092			128,075			389,342			362,124			4,242,582
	143,593			54,412			29,287			61,970			42,692			108,150			144,850			1,178,495
	8,429			—			—			—			—			—			84,224			148,094
	8,876			3,070			1,593			6,138			9,644			12,526			38,020			139,264
	59,467			64,152			9,838			85,188			10,180			50,281			66,700			1,258,593
	—			35,304			25,234			34,535			30,502			83,054			—			—
	57,437			21,765			11,715			24,788			17,048			43,260			72,425			413,469
	57,487			16,146			7,659			22,518			11,839			37,448			40,345			238,936
	—			—			—			—			—			—			—			6,560,648
	—			—			—			—			—			116,760			—			—
	7,587			3,122			1,559			3,441			1,643			5,511			8,292			54,499
	16,038			6,231			3,361			6,758			5,387			12,319			20,995			132,033
	40,446			13,277			8,270			16,355			15,789			31,668			57,529			387,592
	916,295			413,361			203,949			484,783			272,799			890,319			895,504			14,754,205
	(229,932	)		(37,744	)		(76,283	)		(82,805	)		(24,579	)		(226,760	)		1,908,826			(4,904,292	)
	—			(6,804,515	)		—			(3,915,117	)		(8,002,538	)		—			1,470,178			(95,624	)
	(4,380,888	)		(2,078,939	)		16,582			(3,363,623	)		(1,929,044	)		2,595,348			—			—
	18,881,948			(4,516,597	)		(1,390,872	)		(4,597,466	)		(6,395,259	)		4,757,133			153,763			(84,694,497	)
	—			—			—			—			—			396,022			—			(11,633,154	)
	14,501,060			(13,400,051	)		(1,374,290	)		(11,876,206	)		(16,326,841	)		7,748,503			1,623,941			(96,423,275	)
	—			(2,036,620	)		—			(3,522,697	)		196,879			—			(2,361,043	)		324,345
	(1,796,865	)		356,110			(1,482,374	)		212,407			(20,159	)		345,606			—			—
	43,791			(105,247	)		(2,486	)		(257,592	)		(413,004	)		5,186			197,051			(13,206,666	)
	—			—			—			—			—			(1,780,355	)		—			13,734,403
	(1,753,074	)		(1,785,757	)		(1,484,860	)		(3,567,882	)		(236,284	)		(1,429,563	)		(2,163,992	)		852,082
	12,747,986			15,185,808			(2,859,150	)		(15,444,088	)		(16,563,125	)		6,318,940			(540,051	)		(95,571,193	)
$	12,518,054		$	(15,223,552	)	$	(2,935,433	)	$	(15,526,893	)	$	(16,587,704	)	$	6,092,180		$	1,368,775		$	(100,475,485	)
$	—		$	—		$	—		$	113		$	46		$	—		$	—		$	—

THE RYDEX SERIES FUNDS ANNUAL REPORT    |    145

STATEMENTS OF OPERATIONS (concluded)

				Inverse
	High Yield			High Yield			Europe			Japan
	Strategy			Strategy			1.25x Strategy			2x Strategy
	Fund			Fund			Fund			Fund
Investment Income
Interest	$	858,729		$	174,392		$	129,240		$	52,129
Income from Securities Lending, net		—			—			9,213			—
Dividends, Net of Foreign Tax Withheld		—			—			360,606			—
Other Income		—			—			—			—
Total Income		858,729			174,392			499,059			52,129
Expenses
Investment Advisory Fees		516,174			123,742			155,457			38,396
Transfer Agent and Administrative Fees		172,058			41,247			43,182			12,799
Distribution & Service Fees:
Advisor Class		—			—			—			—
A-Class		40,877			3,947			2,395			1,932
C-Class		11,464			26,583			34,845			4,375
H-Class		128,315			30,655			32,077			9,773
Portfolio Accounting Fees		68,520			16,499			17,273			5,119
Registration Fees		25,565			9,201			20,436			1,708
Trustees’ Fees*		6,870			2,154			3,300			476
Custody Fees		19,877			5,339			4,614			1,429
Treasury Guarantee Program Fee		—			—			—			—
Miscellaneous		103,059			12,578			5,310			5,324
Total Expenses		1,092,779			271,945			318,889			81,331
Less Expenses Waived by Distributor
Advisor Class		—			—			—			—
A-Class		—			—			—			—
C-Class		—			—			—			—
Less Expenses Waived by Advisor
Investor Class		—			—			—			—
Advisor Class		—			—			—			—
A-Class		—			—			—			—
C-Class		—			—			—			—
Total Waived Expenses		—			—			—			—
Net Expenses		1,092,779			271,945			318,889			81,331
Net Investment Income (Loss)		(234,050	)		(97,553	)		180,170			(29,202	)
Realized and Unrealized Gain (Loss) on Investments
Net Realized Gain (Loss) on:
Investment Securities		—			—			(1,887,174	)		—
Credit Default/Equity Index Swaps		(17,093,155	)		1,126,418			(2,504,935	)		(467,475	)
Futures Contracts		1,387,987			78,662			(5,727,082	)		(4,356,546	)
Net Increase from Payments by Affiliates		—			—			—			46,878
Total Net Realized Gain (Loss)		(15,705,168	)		1,205,080			(10,119,191	)		(4,777,143	)
Net Change in Unrealized Appreciation (Depreciation) on:
Investment Securities		—			—			(2,397,757	)		—
Equity Index Swaps		(4,545,046	)		(54,014	)		(48,170	)		(54,558	)
Futures Contracts		180,807			37,042			(35,231	)		775,928
Net Change in Unrealized Appreciation (Depreciation)		(4,364,239	)		(16,972	)		(2,481,158	)		721,370
Net Gain (Loss) on Investments		(20,069,407	)		1,188,108			(12,600,349	)		(4,055,773	)
Net Increase (Decrease) in Net Assets from Operations	$	(20,303,457	)	$	1,090,555		$	(12,420,179	)	$	(4,084,975	)
Foreign Tax Withheld	$	—		$	—		$	49,059		$	—

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

146    |    THE RYDEX SERIES FUNDS ANNUAL REPORT             See Notes to Financial Statements.

Year Ended March 31, 2009

																		U.S.
																		Government
Small-Cap			Mid-Cap			Large-Cap			Small-Cap			Mid-Cap			Large-Cap			Money
Value			Value			Value			Growth			Growth			Growth			Market
Fund			Fund			Fund			Fund			Fund			Fund			Fund
$	1,417		$	501		$	1,077		$	1,003		$	3,776		$	1,826		$	27,538,473
	37,999			15,804			25,386			31,284			44,227			21,616			11,532
	346,792			260,546			840,250			61,101			142,851			205,719			—
	7,638			—			—			—			—			—			—
	393,846			276,851			866,713			93,388			190,854			229,161			27,550,005
	102,427			57,855			162,604			70,579			238,346			154,390			7,213,212
	34,143			19,285			54,201			23,527			79,449			51,464			2,885,285
	—			—			—			—			—			—			1,121,423
	2,192			2,036			3,918			1,526			5,382			10,318			95,062
	27,645			19,701			33,519			20,769			39,175			37,930			1,326,559
	25,040			12,324			41,904			16,808			64,272			31,663			—
	13,657			7,714			21,681			9,411			31,779			20,585			770,294
	7,456			7,035			19,380			6,383			17,681			17,829			736,682
	1,671			1,269			3,792			1,245			3,817			3,409			162,403
	4,702			2,800			6,487			2,962			9,771			6,153			420,479
	—			—			—			—			—			—			326,722
	12,106			3,282			9,832			8,413			32,459			9,687			1,163,353
	231,039			133,301			357,318			161,623			522,131			343,428			16,221,474
	—			—			—			—			—			—			(288,815	)
	—			—			—			—			—			—			(21,378	)
	—			—			—			—			—			—			(279,319	)
	—			—			—			—			—			—			(461,168	)
	—			—			—			—			—			—			(127,163	)
	—			—			—			—			—			—			(19,798	)
	—			—			—			—			—			—			(52,835	)
	—			—			—			—			—			—			(1,250,476	)
	231,039			133,301			357,318			161,623			522,131			343,428			14,970,998
	162,807			143,550			509,395			(68,235	)		(331,277	)		(114,267	)		12,579,007
	(19,335,639	)		(4,592,115	)		(20,227,083	)		(3,807,362	)		(19,391,102	)		(6,574,273	)		69,106
	—			—			—			—			—			—			—
	(65,178	)		—			—			—			—			—			—
	—			—			—			—			—			—			—
	(19,400,817	)		(4,592,115	)		(20,227,083	)		(3,807,362	)		(19,391,102	)		(6,574,273	)		69,106
	1,316,093			(158,177	)		(2,513,010	)		(619,767	)		119,720			(750,066	)		—
	—			—			—			—			—			—			—
	—			—			—			—			—			—			—
	1,316,093			(158,177	)		(2,513,010	)		(619,767	)		119,720			(750,066	)		—
	(18,084,724	)		(4,750,292	)		(22,740,093	)		(4,427,129	)		(19,271,382	)		(7,324,339	)		69,106
$	(17,921,917	)	$	(4,606,742	)	$	(22,230,698	)	$	(4,495,364	)	$	(19,602,659	)	$	(7,438,606	)	$	12,648,113
$	512		$	—		$	—		$	—		$	—		$	—		$	—

THE RYDEX SERIES FUNDS ANNUAL REPORT    |    147

STATEMENTS OF CHANGES IN NET ASSETS

	Nova Fund						S&P 500 Fund
	Year			Year			Year			Year
	Ended			Ended			Ended			Ended
	March 31,			March 31,			March 31,			March 31,
	2009			2008			2009			2008
From Operations
Net Investment Income (Loss)	$	608,841		$	1,814,491		$	696,008		$	390,281
Net Realized Gain (Loss) on Investments		(47,051,343	)		(9,551,255	)		(63,579,177	)		(4,633,846	)
Net Change in Unrealized Appreciation (Depreciation) on Investments		(21,597,813	)		(18,422,080	)		(12,430,044	)		949,099
Net Increase (Decrease) in Net Assets from Operations		(68,040,315	)		(26,158,844	)		(75,313,213	)		(3,294,466	)
Distributions to Shareholders from:
Net Investment Income
Investor Class		(249,257	)		(2,576,835	)		—			—
Advisor Class		(60,918	)		(587,393	)		—			—
A-Class		(31,355	)		(263,460	)		(22,565	)		(5,509	)
C-Class		(90,473	)		(872,315	)		(21,039	)		(22,779	)
H-Class		—			—			(365,084	)		(121,712	)
Realized Gain on Investments
A-Class		—			—			—			—
C-Class		—			—			—			—
H-Class		—			—			—			—
Total Distributions to Shareholders		(432,003	)		(4,300,003	)		(408,688	)		(150,000	)
Share Transactions
Proceeds from Shares Purchased
Investor Class		253,488,653			341,259,500			—			—
Advisor Class		62,801,039			68,277,906			—			—
A-Class		26,971,416			14,230,806			73,453,330			19,984,413
C-Class		15,050,326			35,778,708			167,837,574			100,930,691
H-Class		—			—			895,518,522			243,409,668
Value of Shares Purchased through Dividend Reinvestment
Investor Class		229,423			2,412,637			—			—
Advisor Class		54,450			502,879			—			—
A-Class		29,248			215,508			20,738			3,583
C-Class		86,280			815,962			20,397			22,414
H-Class		—			—			216,004			121,524
Cost of Shares Redeemed
Investor Class		(259,092,682	)		(362,877,907	)		—			—
Advisor Class		(58,326,532	)		(83,015,389	)		—			—
A-Class		(30,821,803	)		(16,109,773	)		(40,339,207	)		(19,732,723	)
C-Class		(21,013,097	)		(43,779,722	)		(164,913,203	)		(94,416,991	)
H-Class		—			—			(768,785,989	)		(168,129,248	)
Net Increase (Decrease) in Net Assets From Share Transactions		(10,543,279	)		(42,288,885	)		163,028,166			82,193,331
Net Increase (Decrease) in Net Assets		(79,015,579	)		(72,747,732	)		87,306,265			78,748,865
Net Assets—Beginning of Period		135,398,457			208,146,189			89,156,956			10,408,091
Net Assets—End of Period	$	56,382,860		$	135,398,457		$	176,463,221		$	89,156,956
Undistributed Net Investment Income (Loss)—End of Period	$	608,840		$	432,002		$	290,128		$	2,559

148    |    THE RYDEX SERIES FUNDS ANNUAL REPORT See Notes to Financial Statements.

1

Inverse												Inverse						Mid-Cap
S&P 500 Strategy Fund						NASDAQ-100® Fund						NASDAQ-100® Strategy Fund						1.5x Strategy Fund
Year			Year			Year			Year			Year			Year			Year			Year
Ended			Ended			Ended			Ended			Ended			Ended			Ended			Ended
March 31,			March 31,			March 31,			March 31,			March 31,			March 31,			March 31,			March 31,
2009			2008			2009			2008			2009			2008			2009			2008
$	387,063		$	9,239,729		$	(3,389,836	)	$	(3,871,579	)	$	(229,932	)	$	2,739,850		$	(37,744	)	$	184,928
	116,230,481			8,497,642			(37,423,011	)		37,550,926			14,501,060			(8,791,690	)		(13,400,051	)		(4,634,390	)
	(20,469,820	)		5,979,963			(152,231,295	)		(35,808,024	)		(1,753,074	)		1,330,389			(1,785,757	)		(4,432,221	)
	96,147,724			23,717,334			(193,044,142	)		(2,128,677	)		12,518,054			(4,721,451	)		(15,223,552	)		(8,881,683	)
	(3,155,961	)		(10,150,499	)		—			—			(500,878	)		(2,469,997	)		—			—
	(301,706	)		(544,365	)		—			—			(8,988	)		(93,712	)		—			—
	(230,772	)		(417,734	)		—			—			(115,722	)		(220,499	)		—			(13,285	)
	(300,640	)		(1,287,404	)		—			—			(70,020	)		(365,790	)		—			(81,268	)
	—			—			—			—			—			—			—			(155,448	)
	—			—			—			—			—			—			(46,952	)		(86,908	)
	—			—			—			—			—			—			(309,080	)		(531,658	)
	—			—			—			—			—			—			(978,240	)		(1,016,946	)
	(3,989,079	)		(12,400,002	)		—			—			(695,608	)		(3,149,998	)		(1,334,272	)		(1,885,513	)
	813,336,089			415,012,456			538,260,472			555,891,864			181,405,974			266,757,622			—			—
	102,858,985			48,201,826			110,732,240			139,974,270			3,852,269			11,607,871			—			—
	70,739,952			23,979,245			8,777,731			15,782,415			17,451,507			9,715,769			2,823,579			4,937,608
	107,129,470			107,600,065			115,748,994			93,532,178			63,340,946			37,796,095			17,493,225			19,972,516
	—			—			—			—			—			—			160,138,832			338,407,973
	2,733,955			9,133,319			—			—			460,030			2,169,008			—			—
	291,409			457,021			—			—			8,784			78,193			—			—
	223,099			354,871			—			—			101,436			145,081			43,087			89,731
	262,657			1,125,213			—			—			65,461			345,264			282,399			579,143
	—			—			—			—			—			—			954,788			1,101,301
	(898,586,805	)		(504,104,091	)		(583,226,577	)		(573,819,417	)		(219,099,643	)		(308,127,363	)		—			—
	(100,577,437	)		(60,172,882	)		(103,205,150	)		(132,669,492	)		(7,064,436	)		(18,768,096	)		—			—
	(67,731,417	)		(26,601,648	)		(10,394,443	)		(13,135,349	)		(16,980,273	)		(11,615,256	)		(2,438,761	)		(5,770,358	)
	(127,558,043	)		(120,326,325	)		(115,614,100	)		(92,744,657	)		(68,828,480	)		(47,225,030	)		(18,343,104	)		(26,383,646	)
	—			—			—			—			—			—			(151,020,935	)		(345,280,940	)
	(96,878,086	)		(105,340,930	)		(38,920,833	)		(7,188,188	)		(45,286,425	)		(57,120,842	)		9,933,110			(12,346,672	)
	(4,719,441	)		(94,023,598	)		(231,964,975	)		(9,316,865	)		(33,463,979	)		(64,992,291	)		(6,624,714	)		(23,113,868	)
	275,818,829			369,842,427			649,494,321			658,811,186			72,979,444			137,971,735			21,721,916			44,835,784
$	271,099,388		$	275,818,829		$	417,529,346		$	649,494,321		$	39,515,465		$	72,979,444		$	15,097,202		$	21,721,916
$	387,063		$	3,989,079		$	—		$	—		$	—		$	695,607		$	—		$	—

THE RYDEX SERIES FUNDS ANNUAL REPORT    |    149

2

STATEMENTS OF CHANGES IN NET ASSETS (continued)

	Inverse						Russell 2000®
	Mid-Cap Strategy Fund						1.5x Strategy Fund
	Year			Year			Year			Year
	Ended			Ended			Ended			Ended
	March 31,			March 31,			March 31,			March 31,
	2009			2008			2009			2008
From Operations
Net Investment Income (Loss)	$	(76,283	)	$	379,675		$	(82,805	)	$	328,224
Net Realized Gain (Loss) on Investments		(1,374,290	)		264,155			(11,876,206	)		(6,256,309	)
Net Change in Unrealized Appreciation (Depreciation) on Investments		(1,484,860	)		1,132,496			(3,567,882	)		(7,678,425	)
Net Increase (Decrease) in Net Assets from Operations		(2,935,433	)		1,776,326			(15,526,893	)		(13,606,510	)
Distributions to Shareholders from:
Net Investment Income
Investor Class		—			—			—			—
Advisor Class		—			—			—			—
A-Class		(398	)		(14,414	)		—			(11,847	)
C-Class		(468	)		(12,714	)		—			(39,861	)
H-Class		(39,133	)		(392,699	)		—			(53,601	)
Total Distributions to Shareholders		(39,999	)		(419,827	)		—			(105,309	)
Share Transactions
Proceeds from Shares Purchased
Investor Class		—			—			—			—
Advisor Class		—			—			—			—
A-Class		1,792,062			1,473,841			4,834,811			5,608,927
C-Class		6,969,049			19,784,055			14,021,425			27,002,919
H-Class		110,155,110			100,782,437			134,645,259			243,835,904
Value of Shares Purchased through Dividend Reinvestment
Investor Class		—			—			—			—
Advisor Class		—			—			—			—
A-Class		281			10,623			—			11,014
C-Class		466			11,651			—			35,684
H-Class		35,232			377,291			—			50,275
Cost of Shares Redeemed
Investor Class		—			—			—			—
Advisor Class		—			—			—			—
A-Class		(2,440,256	)		(1,125,508	)		(7,543,684	)		(5,958,829	)
C-Class		(8,310,290	)		(19,223,442	)		(15,002,698	)		(31,943,301	)
H-Class		(146,110,905	)		(71,243,410	)		(126,732,551	)		(264,626,266	)
Net Increase (Decrease) in Net Assets From Share Transactions		(37,909,251	)		30,847,538			4,222,562			(25,983,673	)
Net Increase (Decrease) in Net Assets		(40,884,683	)		32,204,037			(11,304,331	)		(39,695,492	)
Net Assets—Beginning of Period		49,013,447			16,809,410			29,083,513			68,779,005
Net Assets—End of Period	$	8,128,764		$	49,013,447		$	17,779,182		$	29,083,513
Undistributed Net Investment Income (Loss)—End of Period	$	—		$	25,629		$	(53	)	$	—

150    |    THE RYDEX SERIES FUNDS ANNUAL REPORT See Notes to Financial Statements.

3

Russell 2000®						Inverse						Government Long Bond						Inverse Government
Fund						Russell 2000®Strategy Fund						1.2x Strategy Fund						Long Bond Strategy Fund
Year			Year			Year			Year			Year			Year			Year			Year
Ended			Ended			Ended			Ended			Ended			Ended			Ended			Ended
March 31,			March 31,			March 31,			March 31,			March 31,			March 31,			March 31,			March 31,
2009			2008			2009			2008			2009			2008			2009			2008
$	(24,579	)	$	130,395		$	(226,760	)	$	1,842,934		$	1,908,826		$	2,568,216		$	(4,904,292	)	$	10,945,020
	(16,326,841	)		(214,609	)		7,748,503			4,123,664			1,623,941			(1,773,685	)		(96,423,275	)		(28,527,890	)
	(236,284	)		(361,722	)		(1,429,563	)		1,287,153			(2,163,992	)		5,317,858			852,082			(24,199,216	)
	(16,587,704	)		(445,936	)		6,092,180			7,253,751			1,368,775			6,112,389			(100,475,485	)		(41,782,086	)
	—			—			—			—			(941,561	)		(1,420,257	)		—			(8,268,999	)
	—			—			—			—			(417,809	)		(415,210	)		—			(1,048,257	)
	—			(3,218	)		(55,895	)		(262,498	)		(416,096	)		(478,407	)		—			(1,181,600	)
	—			(6,072	)		(27,396	)		(314,182	)		(133,359	)		(254,342	)		—			(5,301,155	)
	—			(24,871	)		(246,709	)		(1,673,321	)		—			—			—			—
	—			(34,161	)		(330,000	)		(2,250,001	)		(1,908,825	)		(2,568,216	)		—			(15,800,011	)
	—			—			—			—			867,157,702			824,506,330			1,116,248,542			1,047,079,062
	—			—			—			—			548,593,771			180,695,157			552,838,969			151,234,508
	15,590,344			6,689,164			10,610,542			15,262,274			27,372,441			27,478,043			88,626,150			27,820,957
	44,652,308			11,788,819			72,340,206			29,493,508			123,996,321			79,769,479			116,468,620			57,936,431
	272,828,329			112,455,644			152,295,355			226,253,216			—			—			—			—
	—			—			—			—			890,596			1,291,988			—			5,921,254
	—			—			—			—			414,301			411,265			—			873,772
	—			3,055			50,036			245,925			370,874			372,582			—			1,052,303
	—			4,822			24,881			264,680			127,270			221,778			—			4,607,055
	—			24,724			150,522			1,475,890			—			—			—			—
	—			—			—			—			(850,471,909	)		(837,686,520	)		(1,032,216,838	)		(1,097,133,564	)
	—			—			—			—			(566,919,573	)		(166,581,027	)		(536,326,976	)		(167,400,041	)
	(10,348,886	)		(6,005,450	)		(15,069,169	)		(19,266,022	)		(39,628,364	)		(20,498,724	)		(58,240,501	)		(58,850,467	)
	(42,583,483	)		(11,713,559	)		(78,122,808	)		(32,705,884	)		(126,126,597	)		(89,766,321	)		(89,247,418	)		(130,620,082	)
	(245,186,056	)		(121,115,706	)		(168,917,835	)		(237,600,325	)		—			—			—			—
	34,952,556			(7,868,487	)		(26,638,270	)		(16,576,738	)		(14,223,167	)		214,030			158,150,548			(157,478,812	)
	18,364,852			(8,348,584	)		(20,876,090	)		(11,572,988	)		(14,763,217	)		3,758,203			57,675,063			(215,060,909	)
	5,913,342			14,261,926			55,505,548			67,078,536			82,489,143			78,730,940			424,620,166			639,681,075
$	24,278,194		$	5,913,342		$	34,629,458		$	55,505,548		$	67,725,926		$	82,489,143		$	482,295,229		$	424,620,166
$	(584	)	$	—		$	—		$	143,279		$	183,623		$	183,622		$	—		$	—

THE RYDEX SERIES FUNDS ANNUAL REPORT    |    151

4

STATEMENTS OF CHANGES IN NET ASSETS (continued)

	High Yield						Inverse High Yield
	Strategy Fund						Strategy Fund
	Year			Year			Year			Year
	Ended			Ended			Ended			Ended
	March 31,			March 31,			March 31,			March 31,
	2009			2008*			2009			2008*
From Operations
Net Investment Income (Loss)	$	(234,050	)	$	597,094		$	(97,553	)	$	327,727
Net Realized Gain (Loss) on Investments		(15,705,168	)		(2,022,664	)		1,205,080			(1,151,097	)
Net Change in Unrealized Appreciation (Depreciation) on Investments		(4,364,239	)		(294,410	)		(16,972	)		585,378
Net Increase (Decrease) in Net Assets from Operations		(20,303,457	)		(1,719,980	)		1,090,555			(237,992	)
Distributions to Shareholders from:
Net Investment Income
A-Class		(934,963	)		(94,059	)		—			—
C-Class		(116,106	)		(3,119	)		—			—
H-Class		(2,198,931	)		(252,822	)		—			—
Realized Gain on Investments
A-Class		—			—			(28,565	)		—
C-Class		—			—			(56,725	)		—
H-Class		—			—			(854,552	)		—
Total Distributions to Shareholders		(3,250,000	)		(350,000	)		(939,842	)		—
Share Transactions
Proceeds from Shares Purchased
A-Class		179,448,929			49,111,859			12,550,539			18,335,302
C-Class		19,960,644			4,241,692			2,853,206			6,037,467
H-Class		1,057,815,536			298,135,020			340,067,292			159,139,664
Value of Shares Purchased through Dividend Reinvestment
A-Class		928,359			93,585			11,158			—
C-Class		116,106			3,048			56,655			—
H-Class		2,123,624			252,521			802,717			—
Cost of Shares Redeemed
A-Class		(181,095,758	)		(37,905,292	)		(12,048,193	)		(16,310,916	)
C-Class		(18,856,745	)		(3,224,690	)		(5,246,915	)		(3,060,250	)
H-Class		(865,660,066	)		(232,816,560	)		(333,418,149	)		(152,736,958	)
Net Increase (Decrease) in Net Assets From Share Transactions		194,780,629			77,891,183			5,628,310			11,404,309
Net Increase (Decrease) in Net Assets		171,227,172			75,821,203			5,779,023			11,166,317
Net Assets—Beginning of Period		75,821,203			—			11,166,317			—
Net Assets—End of Period	$	247,048,375		$	75,821,203		$	16,945,340		$	11,166,317
Undistributed Net Investment Income (Loss)—End of Period	$	—		$	384,040		$	—		$	—

* Since commencement of operations: April 16, 2007 — High Yield Strategy Fund and Inverse High Yield Strategy Fund; February 22, 2008 —Japan 2x Strategy Fund.

152    |    THE RYDEX SERIES FUNDS ANNUAL REPORT             See Notes to Financial Statements.

5

Europe						Japan						Small-Cap						Mid-Cap
1.25x Strategy Fund						2x Strategy Fund						Value Fund						Value Fund
Year			Year			Year			Year			Year			Year			Year			Year
Ended			Ended			Ended			Ended			Ended			Ended			Ended			Ended
March 31,			March 31,			March 31,			March 31,			March 31,			March 31,			March 31,			March 31,
2009			2008			2009			2008*			2009			2008			2009			2008
$	180,170		$	1,874,122		$	(29,202	)	$	607		$	162,807		$	145,848		$	143,550		$	300,251
	(10,119,191	)		(583,438	)		(4,777,143	)		(285,728	)		(19,400,817	)		(3,529,923	)		(4,592,115	)		2,556,717
	(2,481,158	)		(4,787,080	)		721,370			232,157			1,316,093			(4,152,139	)		(158,177	)		(4,572,641	)
	(12,420,179	)		(3,496,396	)		(4,084,975	)		(52,964	)		(17,921,917	)		(7,536,214	)		(4,606,742	)		(1,715,673	)
	—			(27,890	)		(872	)		—			(3,661	)		(18,247	)		—			(78,237	)
	—			(143,919	)		(155	)		—			(12,729	)		(7,413	)		—			(41,598	)
	—			(573,127	)		(2,868	)		—			(205,610	)		(28,903	)		—			(157,115	)
	—			(84,392	)		—			—			—			—			—			—
	—			(435,477	)		—			—			—			—			—			—
	—			(1,734,199	)		—			—			—			—			—			—
	—			(2,999,004	)		(3,895	)		—			(222,000	)		(54,563	)		—			(276,950	)
	234,541			12,571,808			1,964,705			655,392			2,394,535			5,591,744			1,644,673			6,102,704
	77,059,959			164,682,136			21,679,561			1,074,730			17,737,023			33,963,980			17,443,146			27,510,830
	106,856,029			425,839,427			67,921,912			13,009,228			120,768,286			139,955,762			44,428,178			93,270,475
	—			102,592			645			—			3,525			18,143			—			72,305
	—			555,797			155			—			12,241			7,069			—			39,879
	—			2,247,120			2,725			—			204,367			28,137			—			152,723
	(910,394	)		(22,788,995	)		(1,608,262	)		(56,585	)		(4,796,628	)		(5,725,821	)		(4,208,010	)		(7,404,551	)
	(79,975,672	)		(167,193,672	)		(20,728,115	)		(829,607	)		(27,860,304	)		(20,857,249	)		(16,703,919	)		(34,318,144	)
	(114,604,154	)		(458,269,642	)		(63,553,581	)		(7,681,753	)		(136,608,914	)		(93,517,092	)		(43,676,311	)		(162,625,394	)
	(11,339,691	)		(42,253,429	)		5,679,745			6,171,405			(28,145,869	)		59,464,673			(1,072,243	)		(77,199,173	)
	(23,759,870	)		(48,748,829	)		1,590,875			6,118,441			(46,289,786	)		51,873,896			(5,678,985	)		(79,191,796	)
	29,569,059			78,317,888			6,118,441			—			68,548,402			16,674,506			10,390,992			89,582,788
$	5,809,189		$	29,569,059		$	7,709,316		$	6,118,441		$	22,258,616		$	68,548,402		$	4,712,007		$	10,390,992
$	(165,064	)	$	(2,603,625	)	$	—		$	1,752		$	34,123		$	92,190		$	143,550		$	—

THE RYDEX SERIES FUNDS ANNUAL REPORT    |    153

6

STATEMENTS OF CHANGES IN NET ASSETS (concluded)

	Large-Cap						Small-Cap
	Value Fund						Growth Fund
	Year			Year			Year			Year
	Ended			Ended			Ended			Ended
	March 31,			March 31,			March 31,			March 31,
	2009			2008			2009			2008
From Operations
Net Investment Income (Loss)	$	509,395		$	875,220		$	(68,235	)	$	(181,870	)
Net Realized Gain (Loss) on Investments		(20,227,083	)		26,243,034			(3,807,362	)		730,805
Net Change in Unrealized Appreciation (Depreciation) on Investments		(2,513,010	)		(23,545,348	)		(619,767	)		(1,728,062	)
Net Increase (Decrease) in Net Assets from Operations		(22,230,698	)		3,572,906			(4,495,364	)		(1,179,127	)
Distributions to Shareholders from:
Net Investment Income
Investor Class		—			—			—			—
Advisor Class		—			—			—			—
A-Class		(3,018	)		(259,465	)		—			—
C-Class		(155,473	)		(384,645	)		—			—
H-Class		(144,833	)		(580,308	)		—			—
Realized Gain on Investments
A-Class		(21,899	)		(765,247	)		—			(101,616	)
C-Class		(1,128,291	)		(1,134,442	)		—			(327,448	)
H-Class		(1,051,077	)		(1,711,515	)		—			(222,904	)
Total Distributions to Shareholders		(2,504,591	)		(4,835,622	)		—			(651,968	)
Share Transactions
Proceeds from Shares Purchased
Investor Class		—			—			—			—
Advisor Class		—			—			—			—
A-Class		3,134,128			8,142,461			1,059,437			8,648,656
C-Class		22,014,986			56,251,502			37,850,187			71,659,894
H-Class		235,394,519			236,489,451			84,197,270			116,986,235
Value of Shares Purchased through Dividend Reinvestment
Investor Class		—			—			—			—
Advisor Class		—			—			—			—
A-Class		21,833			993,745			—			101,611
C-Class		1,267,647			1,442,982			—			327,318
H-Class		1,192,323			2,241,255			—			222,054
Cost of Shares Redeemed
Investor Class		—			—			—			—
Advisor Class		—			—			—			—
A-Class		(6,302,332	)		(8,107,705	)		(2,801,186	)		(7,810,332	)
C-Class		(19,756,536	)		(76,358,825	)		(39,046,955	)		(76,836,624	)
H-Class		(230,906,803	)		(405,771,580	)		(76,659,423	)		(128,439,749	)
Net Increase (Decrease) in Net Assets From Share Transactions		6,059,765			(184,676,714	)		4,599,330			(15,140,937	)
Net Increase (Decrease) in Net Assets		(18,675,524	)		(185,939,430	)		103,966			(16,972,032	)
Net Assets—Beginning of Period		24,565,522			210,504,952			10,177,121			27,149,153
Net Assets—End of Period	$	5,889,998		$	24,565,522		$	10,281,087		$	10,177,121
Undistributed Net Investment Income (Loss)—End of Period	$	509,393		$	303,322		$	—		$	—

154    |    THE RYDEX SERIES FUNDS ANNUAL REPORT See Notes to Financial Statements.

7

Mid-Cap						Large-Cap						U.S. Government
Growth Fund						Growth Fund						Money Market Fund
Year			Year			Year			Year			Year			Year
Ended			Ended			Ended			Ended			Ended			Ended
March 31,			March 31,			March 31,			March 31,			March 31,			March 31,
2009			2008			2009			2008			2009			2008
$	(331,277	)	$	(300,551	)	$	(114,267	)	$	(424,286	)	$	12,579,007		$	43,732,402
	(19,391,102	)		(4,673,720	)		(6,574,273	)		(4,624,388	)		69,106			1,840
	119,720			(149,780	)		(750,066	)		(1,638,431	)		—			—
	(19,602,659	)		(5,124,051	)		(7,438,606	)		(6,687,105	)		12,648,113			43,734,242
	—			—			—			—			(10,725,622	)		(34,843,919	)
	—			—			—			—			(1,244,597	)		(5,056,359	)
	—			—			—			—			(283,796	)		(686,982	)
	—			—			—			—			(324,992	)		(3,145,141	)
	—			—			—			—			—			—
	—			(215,956	)		—			(61,132	)		—			—
	—			(147,969	)		—			(210,937	)		—			—
	—			(703,587	)		—			(560,509	)		—			—
	—			(1,067,512	)		—			(832,578	)		(12,579,007	)		(43,732,401	)
	—			—			—			—			14,234,678,743			16,744,764,573
	—			—			—			—			5,683,851,096			3,541,832,288
	6,807,590			7,741,318			9,237,958			7,583,898			167,289,290			86,075,767
	66,567,303			46,185,102			24,949,550			121,153,557			1,495,568,434			1,349,987,737
	367,668,576			230,118,496			102,848,506			199,536,612			—			—
	—			—			—			—			10,640,857			34,409,275
	—			—			—			—			1,238,606			5,026,273
	—			214,830			—			60,489			265,875			611,010
	—			146,362			—			207,581			318,248			3,040,004
	—			698,887			—			545,152			—			—
	—			—			—			—			(14,109,618,445	)		(16,782,939,167	)
	—			—			—			—			(5,502,840,798	)		(3,591,814,816	)
	(9,008,923	)		(6,349,744	)		(10,940,324	)		(4,409,453	)		(139,658,664	)		(84,291,559	)
	(64,611,358	)		(48,784,216	)		(25,012,644	)		(118,548,255	)		(1,481,940,632	)		(1,352,007,025	)
	(347,476,475	)		(220,140,598	)		(98,509,542	)		(232,280,349	)		—			—
	19,946,713			9,830,437			2,573,504			(26,150,768	)		359,792,610			(45,305,640	)
	344,054			3,638,874			(4,865,102	)		(33,670,451	)		359,861,716			(45,303,799	)
	19,446,787			15,807,913			21,834,206			55,504,657			1,280,306,419			1,325,610,218
$	19,790,841		$	19,446,787		$	16,969,104		$	21,834,206		$	1,640,168,135		$	1,280,306,419
$	—		$	—		$	—		$	—		$	(40	)	$	(20,989	)

THE RYDEX SERIES FUNDS ANNUAL REPORT    |    155

FINANCIAL HIGHLIGHTS
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.

																									RATIOS TO
																									AVERAGE NET ASSETS:
						Net Realized			Net Increase																									Combined
	NET ASSET		Net			and			(Decrease)			Distributions			Distributions						NET ASSET										Net			Net				Net Assets,
	VALUE,		Investment			Unrealized			in Net Assets			from Net			from Net						VALUE,		Total								Investment			Investment		Portfolio		End of
Year	BEGINNING		Income			Gains (Losses)			Value Resulting			Investment			Realized			Total			END OF		Investment		Total			Net			Income			Income		Turnover		Period (000’s
Ended	OF PERIOD		(Loss)†			on Investments			from Operations			Income			Gains			Distributions			PERIOD		Return††		Expenses■			Expenses■			(Loss)			(Loss)▲		Rate		omitted)
Nova Fund Investor Class
March 31, 2009	$	26.13	$	.19		$	(14.83	)	$	(14.64	)	$	(.09	)	$	—		$	(.09	)	$	11.40		(56.06)%		1.29%			1.29%			0.93%			—		143%	$	32,603
March 31, 2008		30.92		.40			(4.51	)		(4.11	)		(.68	)		—			(.68	)		26.13		(13.71)%		1.27%			1.27%			1.26%			—		115%		74,674
March 31, 2007		28.89		(.15	)		4.19			4.04			(2.01	)		—			(2.01	)		30.92		13.99%		1.25%			1.25%			1.23%			—		144%		113,195
March 31, 2006		25.96		(.12	)		3.90			3.78			(.85	)		—			(.85	)		28.89		14.68%		1.35%			1.23%			(0.45)%			0.95%		192%		139,786
March 31, 2005		24.12		(.11	)		1.95			1.84			—			—			—			25.96		7.63%		1.21%			1.21%			(0.44)%			0.82%		388%		175,042
Nova Fund Advisor Class
March 31, 2009		24.72		.08			(13.98	)		(13.90	)		(.09	)		—			(.09	)		10.73		(56.26)%		1.79%			1.79%			0.45%			—		143%		10,853
March 31, 2008		29.44		.23			(4.27	)		(4.04	)		(.68	)		—			(.68	)		24.72		(14.16)%		1.77%			1.77%			0.78%			—		115%		19,218
March 31, 2007		27.73		(.28	)		4.00			3.72			(2.01	)		—			(2.01	)		29.44		13.41%		1.75%			1.75%			0.73%			—		144%		36,441
March 31, 2006		25.08		(.25	)		3.75			3.50			(.85	)		—			(.85	)		27.73		14.07%		1.85%			1.74%			(0.96)%			0.44%		192%		41,002
March 31, 2005		23.42		(.23	)		1.89			1.66			—			—			—			25.08		7.09%		1.71%			1.71%			(0.94)%			0.32%		388%		52,642
Nova Fund A-Class
March 31, 2009		24.99		.13			(14.15	)		(14.02	)		(.09	)		—			(.09	)		10.88		(56.13)%		1.54%			1.54%			0.70%			—		143%		3,612
March 31, 2008		29.67		.29			(4.29	)		(4.00	)		(.68	)		—			(.68	)		24.99		(13.92)%		1.52%			1.52%			0.97%			—		115%		11,791
March 31, 2007		27.87		(.21	)		4.02			3.81			(2.01	)		—			(2.01	)		29.67		13.67%		1.50%			1.50%			0.98%			—		144%		15,586
March 31, 2006		25.15		(.19	)		3.76			3.57			(.85	)		—			(.85	)		27.87		14.32%		1.60%			1.49%			(0.71)%			0.69%		192%		29,315
March 31, 2005		23.42		(.17	)		1.90			1.73			—			—			—			25.15		7.39%		1.45%			1.45%			(0.68)%			0.58%		388%		18,463
Nova Fund C-Class
March 31, 2009		24.14		(.01	)		(13.62	)		(13.63	)		(.09	)		—			(.09	)		10.42		(56.49)%		2.29%			2.29%			(0.05)%			—		143%		9,314
March 31, 2008		28.91		.07			(4.16	)		(4.09	)		(.68	)		—			(.68	)		24.14		(14.60)%		2.27%			2.27%			0.24%			—		115%		29,715
March 31, 2007		27.39		(.42	)		3.95			3.53			(2.01	)		—			(2.01	)		28.91		12.88%		2.25%			2.25%			0.23%			—		144%		42,925
March 31, 2006		24.89		(.38	)		3.73			3.35			(.85	)		—			(.85	)		27.39		13.58%		2.35%			2.24%			(1.46)%			(0.06)%		192%		50,131
March 31, 2005		23.36		(.35	)		1.88			1.53			—			—			—			24.89		6.55%		2.21%			2.21%			(1.44)%			(0.18)%		388%		49,464
S&P 500 Fund A-Class
March 31, 2009		25.92		.12			(10.21	)		(10.09	)		(.04	)		—			(.04	)		15.79		(38.95)%		1.52%			1.52%			0.68%			—		168%		29,409
March 31, 2008		27.32		.52			(1.78	)		(1.26	)		(.14	)		—			(.14	)		25.92		(4.68)%		1.51%			1.51%			1.86%			—		396%		2,358
March 31, 2007*		25.00		.30			2.53			2.83			(.11	)		(.40	)		(.51	)		27.32		11.34%		1.55%	**		1.55%	**		1.35%	**		—		119%		2,063
S&P 500 Fund C-Class
March 31, 2009		25.55		(.02	)		(10.05	)		(10.07	)		(.04	)		—			(.04	)		15.44		(39.43)%		2.28%			2.28%			(0.08)%			—		168%		7,295
March 31, 2008		27.15		.18			(1.64	)		(1.46	)		(.14	)		—			(.14	)		25.55		(5.45)%		2.25%			2.25%			0.67%			—		396%		7,836
March 31, 2007*		25.00		.19			2.47			2.66			(.11	)		(.40	)		(.51	)		27.15		10.65%		2.25%	**		2.25%	**		0.84%	**		—		119%		1,971
S&P 500 Fund H-Class
March 31, 2009		25.90		.13			(10.21	)		(10.08	)		(.04	)		—			(.04	)		15.78		(38.94)%		1.53%			1.53%			0.64%			—		168%		139,759
March 31, 2008		27.31		.39			(1.66	)		(1.27	)		(.14	)		—			(.14	)		25.90		(4.72)%		1.48%			1.48%			1.40%			—		396%		78,963
March 31, 2007*		25.00		.30			2.52			2.82			(.11	)		(.40	)		(.51	)		27.31		11.29%		1.54%	**		1.54%	**		1.33%	**		—		119%		6,374

156    |    THE RYDEX SERIES FUNDS ANNUAL REPORT

FINANCIAL HIGHLIGHTS (continued)
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.

																								RATIOS TO
																								AVERAGE NET ASSETS:
						Net Realized			Net Increase																					Combined
	NET ASSET		Net			and			(Decrease)			Distributions			Distributions					NET ASSET								Net		Net				Net Assets,
	VALUE,		Investment			Unrealized			in Net Assets			from Net			from Net					VALUE,		Total						Investment		Investment		Portfolio		End of
Year	BEGINNING		Income			Gains (Losses)			Value Resulting			Investment			Realized		Total			END OF		Investment		Total		Net		Income		Income		Turnover		Period (000’s
Ended	OF PERIOD		(Loss)†			on Investments			from Operations			Income			Gains		Distributions			PERIOD		Return††		Expenses■		Expenses■		(Loss)		(Loss)▲		Rate		omitted)
Inverse S&P 500 Strategy Fund Investor Class
March 31, 2009	$	40.00	$	.12		$	14.94		$	15.06		$	(.83	)	$	—	$	(.83	)	$	54.23		37.66%		1.43%		1.43%		0.25%		—		—	$	217,740
March 31, 2008		37.85		.93			2.74			3.67			(1.52	)		—		(1.52	)		40.00		10.24%		1.41%		1.41%		3.08%		—		—		223,044
March 31, 2007†††		40.30		(.20	)		(1.15	)		(1.35	)		(1.10	)		—		(1.10	)		37.85		(3.26)%		1.36%		1.36%		3.85%		—		—		293,092
March 31, 2006†††		43.45		(.20	)		(2.35	)		(2.55	)		(.60	)		—		(.60	)		40.30		(5.84)%		1.41%		1.38%		(0.45)%		2.29%		—		329,785
March 31, 2005†††		45.85		(.20	)		(2.20	)		(2.40	)		—			—		—			43.45		(5.23)%		1.38%		1.38%		(0.46)%		0.25%		—		326,085
Inverse S&P 500 Strategy Fund Advisor Class
March 31, 2009		37.72		(.13	)		14.07			13.94			(.83	)		—		(.83	)		50.83		36.96%		1.93%		1.93%		(0.30)%		—		—		15,305
March 31, 2008		36.00		.73			2.51			3.24			(1.52	)		—		(1.52	)		37.72		9.56%		1.92%		1.92%		2.64%		—		—		11,131
March 31, 2007†††		38.55		(.35	)		(1.10	)		(1.45	)		(1.10	)		—		(1.10	)		36.00		(3.67)%		1.87%		1.87%		3.34%		—		—		22,712
March 31, 2006†††		41.80		(.40	)		(2.25	)		(2.65	)		(.60	)		—		(.60	)		38.55		(6.32)%		1.91%		1.88%		(0.95)%		1.79%		—		45,332
March 31, 2005†††		44.35		(.40	)		(2.15	)		(2.55	)		—			—		—			41.80		(5.75)%		1.88%		1.88%		(0.96)%		(0.25)%		—		40,964
Inverse S&P 500 Strategy Fund A-Class
March 31, 2009		37.97		—	§		14.16			14.16			(.83	)		—		(.83	)		51.30		37.30%		1.68%		1.68%		0.00%		—		—		18,381
March 31, 2008		36.10		.81			2.58			3.39			(1.52	)		—		(1.52	)		37.97		9.95%		1.66%		1.66%		2.83%		—		—		9,344
March 31, 2007†††		38.60		(.25	)		(1.15	)		(1.40	)		(1.10	)		—		(1.10	)		36.10		(3.53)%		1.61%		1.61%		3.60%		—		—		11,388
March 31, 2006†††		41.85		(.30	)		(2.35	)		(2.65	)		(.60	)		—		(.60	)		38.60		(6.31)%		1.66%		1.63%		(0.70)%		2.04%		—		8,932
March 31, 2005†††		44.35		(.30	)		(2.20	)		(2.50	)		—			—		—			41.85		(5.64)%		1.63%		1.63%		(0.71)%		—		—		7,318
Inverse S&P 500 Strategy Fund C-Class
March 31, 2009		37.00		(.28	)		13.70			13.42			(.83	)		—		(.83	)		49.59		36.27%		2.43%		2.43%		(0.67)%		—		—		19,674
March 31, 2008		35.50		.58			2.44			3.02			(1.52	)		—		(1.52	)		37.00		9.07%		2.41%		2.41%		2.14%		—		—		32,299
March 31, 2007†††		38.25		(.55	)		(1.10	)		(1.65	)		(1.10	)		—		(1.10	)		35.50		(4.22)%		2.36%		2.36%		2.85%		—		—		42,651
March 31, 2006†††		41.65		(.60	)		(2.20	)		(2.80	)		(.60	)		—		(.60	)		38.25		(6.70)%		2.41%		2.38%		(1.45)%		1.29%		—		39,146
March 31, 2005†††		44.45		(.65	)		(2.15	)		(2.80	)		—			—		—			41.65		(6.30)%		2.38%		2.38%		(1.46)%		(0.75)%		—		43,763
NASDAQ-100® Fund Investor Class
March 31, 2009		11.81		(.06	)		(3.60	)		(3.66	)		—			—		—			8.15		(30.99)%		1.30%		1.30%		(0.59)%		—		55%		389,944
March 31, 2008		11.78		(.06	)		.09			.03			—			—		—			11.81		0.25%		1.28%		1.28%		(0.50)%		—		57%		617,923
March 31, 2007		11.34		(.06	)		.50			.44			—			—		—			11.78		3.88%		1.22%		1.22%		(0.52)%		—		71%		635,744
March 31, 2006		9.94		(.05	)		1.49			1.44			(.04	)		—		(.04	)		11.34		14.45%		1.20%		1.20%		(0.49)%		—		122%		893,295
March 31, 2005		9.73		.04			.17			.21			—			—		—			9.94		2.16%		1.20%		1.20%		0.40%		—		132%		801,185
NASDAQ-100® Fund Advisor Class
March 31, 2009		11.23		(.11	)		(3.40	)		(3.51	)		—			—		—			7.72		(31.26)%		1.79%		1.79%		(1.11)%		—		55%		18,078
March 31, 2008		11.26		(.12	)		.09			(.03	)		—			—		—			11.23		(0.27)%		1.78%		1.78%		(0.99)%		—		57%		15,184
March 31, 2007		10.90		(.11	)		.47			.36			—			—		—			11.26		3.30%		1.73%		1.73%		(1.07)%		—		71%		9,349
March 31, 2006		9.60		(.10	)		1.44			1.34			(.04	)		—		(.04	)		10.90		13.92%		1.70%		1.70%		(1.00)%		—		122%		27,832
March 31, 2005		9.46		(.02	)		.16			.14			—			—		—			9.60		1.48%		1.69%		1.69%		(0.25)%		—		132%		19,887
NASDAQ-100® Fund A-Class
March 31, 2009		11.35		(.08	)		(3.45	)		(3.53	)		—			—		—			7.82		(31.10)%		1.55%		1.55%		(0.82)%		—		55%		3,140
March 31, 2008		11.36		(.09	)		.08			(.01	)		—			—		—			11.35		(0.09)%		1.54%		1.54%		(0.76)%		—		57%		6,044
March 31, 2007		10.96		(.08	)		.48			.40			—			—		—			11.36		3.65%		1.46%		1.46%		(0.73)%		—		71%		3,686
March 31, 2006		9.63		(.08	)		1.45			1.37			(.04	)		—		(.04	)		10.96		14.18%		1.46%		1.46%		(0.78)%		—		122%		2,491
March 31, 2005		9.46		.06			.11			.17			—			—		—			9.63		1.80%		1.45%		1.45%		0.59%		—		132%		1,818
NASDAQ-100® Fund C-Class
March 31, 2009		10.95		(.15	)		(3.31	)		(3.46	)		—			—		—			7.49		(31.60)%		2.30%		2.30%		(1.59)%		—		55%		6,368
March 31, 2008		11.02		(.18	)		.11			(.07	)		—			—		—			10.95		(0.64)%		2.28%		2.28%		(1.50)%		—		57%		10,343
March 31, 2007		10.73		(.16	)		.45			.29			—			—		—			11.02		2.70%		2.22%		2.22%		(1.55)%		—		71%		10,032
March 31, 2006		9.50		(.16	)		1.43			1.27			(.04	)		—		(.04	)		10.73		13.33%		2.21%		2.21%		(1.52)%		—		122%		18,707
March 31, 2005		9.41		(.03	)		.12			.09			—			—		—			9.50		0.96%		2.19%		2.19%		(0.33)%		—		132%		14,422

THE RYDEX SERIES FUNDS ANNUAL REPORT    |    157

FINANCIAL HIGHLIGHTS (continued)
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.

																									RATIOS TO
																									AVERAGE NET ASSETS:
						Net Realized			Net Increase																						Combined
	NET ASSET		Net			and			(Decrease)			Distributions			Distributions						NET ASSET								Net		Net				Net Assets,
	VALUE,		Investment			Unrealized			in Net Assets			from Net			from Net						VALUE,		Total						Investment		Investment		Portfolio		End of
Year	BEGINNING		Income			Gains (Losses)			Value Resulting			Investment			Realized			Total			END OF		Investment		Total		Net		Income		Income		Turnover		Period (000’s
Ended	OF PERIOD		(Loss)†			on Investments			from Operations			Income			Gains			Distributions			PERIOD		Return††		Expenses■		Expenses■		(Loss)		(Loss)▲		Rate		omitted)
Inverse NASDAQ-100® Strategy Fund Investor Class
March 31, 2009	$	21.27	$	(.06	)	$	4.25		$	4.19		$	(.37	)	$	—		$	(.37	)	$	25.09		19.48%		1.46%		1.46%		(0.26)%		—		—	$	33,672
March 31, 2008		21.67		.59			(.30	)		.29			(.69	)		—			(.69	)		21.27		1.92%		1.47%		1.47%		2.98%		—		—		59,819
March 31, 2007		21.80		(.11	)		.54			.43			(.56	)		—			(.56	)		21.67		2.01%		1.40%		1.40%		3.79%		—		—		104,617
March 31, 2006		24.55		(.11	)		(2.31	)		(2.42	)		(.33	)		—			(.33	)		21.80		(9.85)%		1.39%		1.38%		(0.45)%		2.22%		—		143,742
March 31, 2005		25.69		(.11	)		(1.03	)		(1.14	)		—			—			—			24.55		(4.44)%		1.38%		1.38%		(0.46)%		0.20%		—		198,288
Inverse NASDAQ-100® Strategy Fund Advisor Class
March 31, 2009		20.77		(.06	)		4.03			3.97			(.37	)		—			(.37	)		24.37		18.88%		1.97%		1.97%		(0.29)%		—		—		476
March 31, 2008		21.28		.51			(.33	)		.18			(.69	)		—			(.69	)		20.77		1.43%		1.98%		1.98%		2.56%		—		—		3,744
March 31, 2007		21.51		(.22	)		.55			.33			(.56	)		—			(.56	)		21.28		1.56%		1.90%		1.90%		3.29%		—		—		11,436
March 31, 2006		24.34		(.22	)		(2.28	)		(2.50	)		(.33	)		—			(.33	)		21.51		(10.27)%		1.89%		1.89%		(0.96)%		1.71%		—		10,390
March 31, 2005		25.60		(.24	)		(1.02	)		(1.26	)		—			—			—			24.34		(4.92)%		1.88%		1.88%		(0.96)%		(0.30)%		—		17,059
Inverse NASDAQ-100® Strategy Fund A-Class
March 31, 2009		20.97		(.22	)		4.29			4.07			(.37	)		—			(.37	)		24.67		19.18%		1.71%		1.71%		(0.92)%		—		—		2,301
March 31, 2008		21.43		.52			(.29	)		.23			(.69	)		—			(.69	)		20.97		1.65%		1.72%		1.72%		2.61%		—		—		1,784
March 31, 2007		21.61		(.16	)		.54			.38			(.56	)		—			(.56	)		21.43		1.79%		1.64%		1.64%		3.55%		—		—		4,086
March 31, 2006		24.39		(.16	)		(2.29	)		(2.45	)		(.33	)		—			(.33	)		21.61		(10.04)%		1.63%		1.63%		(0.70)%		1.97%		—		2,108
March 31, 2005		25.60		(.17	)		(1.04	)		(1.21	)		—			—			—			24.39		(4.73)%		1.62%		1.62%		(0.70)%		(0.04)%		—		5,697
Inverse NASDAQ-100® Strategy Fund C-Class
March 31, 2009		19.63		(.25	)		3.90			3.65			(.37	)		—			(.37	)		22.91		18.35%		2.47%		2.47%		(1.19)%		—		—		3,066
March 31, 2008		20.27		.38			(.33	)		.05			(.69	)		—			(.69	)		19.63		0.85%		2.48%		2.48%		2.05%		—		—		7,633
March 31, 2007		20.63		(.32	)		.52			.20			(.56	)		—			(.56	)		20.27		1.00%		2.40%		2.40%		2.79%		—		—		17,834
March 31, 2006		23.48		(.32	)		(2.20	)		(2.52	)		(.33	)		—			(.33	)		20.63		(10.73)%		2.40%		2.39%		(1.46)%		1.21%		—		13,527
March 31, 2005		24.83		(.35	)		(1.00	)		(1.35	)		—			—			—			23.48		(5.44)%		2.38%		2.38%		(1.46)%		(0.80)%		—		15,693
Mid-Cap 1.5x Strategy Fund A-Class
March 31, 2009		32.39		—	§		(17.74	)		(17.74	)		—			(1.32	)		(1.32	)		13.33		(54.70)%		1.68%		1.68%		0.01%		—		204%		1,080
March 31, 2008		41.56		.23			(7.46	)		(7.23	)		(.26	)		(1.68	)		(1.94	)		32.39		(18.29)%		1.67%		1.67%		0.57%		—		226%		1,571
March 31, 2007		40.14		.05			2.74			2.79			—			(1.37	)		(1.37	)		41.56		7.11%		1.67%		1.67%		0.13%		—		296%		2,806
March 31, 2006		31.86		.01			8.65			8.66			—			(.38	)		(.38	)		40.14		27.27%		1.92%		1.66%		0.03%		—		528%		4,948
March 31, 2005		28.30		(.03	)		3.59			3.56			—			—			—			31.86		12.58%		1.63%		1.63%		(0.10)%		—		669%		1,050
Mid-Cap 1.5x Strategy Fund C-Class
March 31, 2009		30.73		(.17	)		(16.77	)		(16.94	)		—			(1.32	)		(1.32	)		12.47		(55.06)%		2.43%		2.43%		(0.72)%		—		204%		2,954
March 31, 2008		39.82		(.08	)		(7.07	)		(7.15	)		(.26	)		(1.68	)		(1.94	)		30.73		(18.90)%		2.42%		2.42%		(0.20)%		—		226%		8,388
March 31, 2007		38.81		(.23	)		2.61			2.38			—			(1.37	)		(1.37	)		39.82		6.29%		2.41%		2.41%		(0.62)%		—		296%		17,112
March 31, 2006		31.03		(.25	)		8.41			8.16			—			(.38	)		(.38	)		38.81		26.38%		2.66%		2.40%		(0.72)%		—		528%		28,836
March 31, 2005		27.76		(.26	)		3.53			3.27			—			—			—			31.03		11.78%		2.37%		2.37%		(0.91)%		—		669%		17,912
Mid-Cap 1.5x Strategy Fund H-Class
March 31, 2009		32.40		.01			(17.76	)		(17.75	)		—			(1.32	)		(1.32	)		13.33		(54.71)%		1.68%		1.68%		0.06%		—		204%		11,063
March 31, 2008		41.58		.25			(7.49	)		(7.24	)		(.26	)		(1.68	)		(1.94	)		32.40		(18.31)%		1.67%		1.67%		0.61%		—		226%		11,763
March 31, 2007		40.17		.06			2.72			2.78			—			(1.37	)		(1.37	)		41.58		7.08%		1.67%		1.67%		0.16%		—		296%		24,918
March 31, 2006		31.86		—	§		8.69			8.69			—			(.38	)		(.38	)		40.17		27.36%		1.90%		1.64%		0.01%		—		528%		50,883
March 31, 2005		28.30		(.06	)		3.62			3.56			—			—			—			31.86		12.58%		1.62%		1.62%		(0.21)%		—		669%		59,274

158    |    THE RYDEX SERIES FUNDS ANNUAL REPORT

FINANCIAL HIGHLIGHTS (continued)
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.

																									RATIOS TO
																									AVERAGE NET ASSETS:
						Net Realized			Net Increase
	NET ASSET		Net			and			(Decrease)			Distributions			Distributions						NET ASSET								Net				Net Assets,
	VALUE,		Investment			Unrealized			in Net Assets			from Net			from Net						VALUE,		Total						Investment		Portfolio		End of
Year	BEGINNING		Income			Gains (Losses)			Value Resulting			Investment			Realized			Total			END OF		Investment		Total		Net		Income		Turnover		Period (000’s
Ended	OF PERIOD		(Loss)†			on Investments			from Operations			Income			Gains			Distributions			PERIOD		Return††		Expenses		Expenses		(Loss)		Rate		omitted)
Inverse Mid-Cap Strategy Fund A-Class
March 31, 2009	$	37.07	$	(.22	)	$	11.40		$	11.18		$	(.04	)	$	—		$	(.04	)	$	48.21		30.14%		1.68%		1.68%		(0.55)%		—	$	452
March 31, 2008		33.78		.81			3.11			3.92			(.63	)		—			(.63	)		37.07		11.83%		1.66%		1.66%		2.35%		—		906
March 31, 2007		37.03		1.35			(1.81	)		(.46	)		(2.79	)		—			(2.79	)		33.78		(1.35)%		1.65%		1.65%		3.52%		—		477
March 31, 2006		44.01		.87			(7.20	)		(6.33	)		(.65	)		—			(.65	)		37.03		(14.44)%		1.66%		1.66%		2.12%		—		161
March 31, 2005		49.01		(.06	)		(4.94	)		(5.00	)		—			—			—			44.01		(10.20)%		1.63%		1.63%		(0.13)%		—		61
Inverse Mid-Cap Strategy Fund C-Class
March 31, 2009		35.82		(.41	)		10.87			10.46			(.04	)		—			(.04	)		46.24		29.18%		2.43%		2.43%		(1.07)%		—		327
March 31, 2008		32.89		.60			2.96			3.56			(.63	)		—			(.63	)		35.82		11.05%		2.41%		2.41%		1.83%		—		1,478
March 31, 2007		36.43		1.05			(1.80	)		(.75	)		(2.79	)		—			(2.79	)		32.89		(2.19)%		2.40%		2.40%		2.81%		—		801
March 31, 2006		43.62		.15			(6.69	)		(6.54	)		(.65	)		—			(.65	)		36.43		(15.05)%		2.41%		2.41%		1.54%		—		1,147
March 31, 2005		48.98		(.27	)		(5.09	)		(5.36	)		—			—			—			43.62		(10.94)%		2.36%		2.36%		(0.58)%		—		1,011
Inverse Mid-Cap Strategy Fund H-Class
March 31, 2009		37.07		(.27	)		11.45			11.18			(.04	)		—			(.04	)		48.21		30.14%		1.70%		1.70%		(0.62)%		—		7,350
March 31, 2008		33.78		.78			3.14			3.92			(.63	)		—			(.63	)		37.07		11.83%		1.65%		1.65%		2.26%		—		46,630
March 31, 2007		37.04		1.35			(1.82	)		(.47	)		(2.79	)		—			(2.79	)		33.78		(1.38)%		1.66%		1.66%		3.51%		—		15,531
March 31, 2006		44.01		.83			(7.15	)		(6.32	)		(.65	)		—			(.65	)		37.04		(14.42)%		1.64%		1.64%		2.01%		—		18,475
March 31, 2005		49.01		.18			(5.18	)		(5.00	)		—			—			—			44.01		(10.20)%		1.60%		1.60%		0.39%		—		30,073
Russell 2000® 1.5x Strategy Fund A-Class
March 31, 2009		28.62		(.02	)		(16.11	)		(16.13	)		—			—			—			12.49		(56.36)%		1.70%		1.70%		(0.07)%		288%		591
March 31, 2008		37.24		.29			(8.83	)		(8.54	)		(.08	)		—			(.08	)		28.62		(22.98)%		1.67%		1.67%		0.81%		227%		4,372
March 31, 2007		37.33		.10			1.24			1.34			—			(1.43	)		(1.43	)		37.24		3.60%		1.66%		1.66%		0.28%		179%		5,976
March 31, 2006		27.54		.04			9.75			9.79			—			—			—			37.33		35.55%		2.06%		1.65%		0.13%		441%		6,789
March 31, 2005		26.22		(.03	)		1.51			1.48			—			(.16	)		(.16	)		27.54		5.63%		1.61%		1.61%		(0.10)%		501%		3,340
Russell 2000® 1.5x Strategy Fund C-Class
March 31, 2009		27.10		(.18	)		(15.21	)		(15.39	)		—			—			—			11.71		(56.79)%		2.45%		2.45%		(0.83)%		288%		3,381
March 31, 2008		35.51		.03			(8.36	)		(8.33	)		(.08	)		—			(.08	)		27.10		(23.50)%		2.42%		2.42%		0.09%		227%		10,873
March 31, 2007		35.93		(.16	)		1.17			1.01			—			(1.43	)		(1.43	)		35.51		2.81%		2.41%		2.41%		(0.47)%		179%		19,942
March 31, 2006		26.69		(.21	)		9.45			9.24			—			—			—			35.93		34.62%		2.81%		2.40%		(0.70)%		441%		31,956
March 31, 2005		25.63		(.26	)		1.48			1.22			—			(.16	)		(.16	)		26.69		4.75%		2.37%		2.37%		(1.00)%		501%		18,915
Russell 2000® 1.5x Strategy Fund H-Class
March 31, 2009		28.62		(.02	)		(16.13	)		(16.15	)		—			—			—			12.47		(56.43)%		1.70%		1.70%		(0.07)%		288%		13,807
March 31, 2008		37.22		.30			(8.82	)		(8.52	)		(.08	)		—			(.08	)		28.62		(22.93)%		1.67%		1.67%		0.83%		227%		13,839
March 31, 2007		37.32		.10			1.23			1.33			—			(1.43	)		(1.43	)		37.22		3.57%		1.66%		1.66%		0.27%		179%		42,861
March 31, 2006		27.51		.03			9.78			9.81			—			—			—			37.32		35.66%		2.05%		1.64%		0.10%		441%		170,698
March 31, 2005		26.22		(.07	)		1.52			1.45			—			(.16	)		(.16	)		27.51		5.52%		1.62%		1.62%		(0.26)%		501%		68,084

THE RYDEX SERIES FUNDS ANNUAL REPORT    |    159

FINANCIAL HIGHLIGHTS (continued)
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.

																								RATIOS TO
																								AVERAGE NET ASSETS:
						Net Realized			Net Increase
	NET ASSET					and			(Decrease)			Distributions			Distributions					NET ASSET										Net					Net Assets,
	VALUE,		Net Investment			Unrealized			in Net Assets			from Net			from Net					VALUE,		Total								Investment			Portfolio		End of
	BEGINNING		Income			Gains (Losses)			Value Resulting			Investment			Realized		Total			END OF		Investment		Total			Operating			Income			Turnover		Period (000’s
Year Ended	OF PERIOD		(Loss)†			on Investments			from Operations			Income			Gains		Distributions			PERIOD		Return††		Expenses			Expenses◊			(Loss)			Rate		omitted)
Russell 2000® Fund A-Class
March 31, 2009	$	23.57	$	(.02	)	$	(9.24	)	$	(9.26	)	$	—		$	—	$	—		$	14.31		(39.29)%		1.56%			1.56%			(0.13)%			485%	$	2,309
March 31, 2008		27.64		.34			(4.21	)		(3.87	)		(.20	)		—		(.20	)		23.57		(14.08)%		1.51%			1.51%			1.26%			535%		909
March 31, 2007*		25.00		.35			2.43			2.78			(.14	)		—		(.14	)		27.64		11.13%		1.51%	**		1.51%	**		1.54%	**		335%		275
Russell 2000® Fund C-Class
March 31, 2009		23.28		(.15	)		(9.13	)		(9.28	)		—			—		—			14.00		(39.86)%		2.29%			2.29%			(0.82)%			485%		2,123
March 31, 2008		27.48		.23			(4.23	)		(4.00	)		(.20	)		—		(.20	)		23.28		(14.63)%		2.27%			2.27%			0.85%			535%		678
March 31, 2007*		25.00		.17			2.45			2.62			(.14	)		—		(.14	)		27.48		10.49%		2.28%	**		2.28%	**		0.76%	**		335%		739
Russell 2000® Fund H-Class
March 31, 2009		23.57		(.02	)		(9.24	)		(9.26	)		—			—		—			14.31		(39.29)%		1.55%			1.55%			(0.09)%			485%		19,847
March 31, 2008		27.64		.51			(4.38	)		(3.87	)		(.20	)		—		(.20	)		23.57		(14.08)%		1.52%			1.52%			1.86%			535%		4,327
March 31, 2007*		25.00		.34			2.44			2.78			(.14	)		—		(.14	)		27.64		11.13%		1.52%	**		1.52%	**		1.55%	**		335%		13,248
Inverse Russell 2000® Strategy Fund A-Class
March 31, 2009		39.05		(.21	)		9.57			9.36			(.39	)		—		(.39	)		48.02		23.91%		1.96%			1.71%			(0.50)%			214%		2,299
March 31, 2008		35.00		1.06			4.40			5.46			(1.41	)		—		(1.41	)		39.05		16.11%		1.89%			1.89%			2.96%			—		6,816
March 31, 2007		36.96		1.38			(1.65	)		(.27	)		(1.69	)		—		(1.69	)		35.00		(0.67)%		1.65%			1.65%			3.64%			—		9,905
March 31, 2006		46.09		.85			(9.26	)		(8.41	)		(.72	)		—		(.72	)		36.96		(18.40)%		1.63%			1.63%			1.97%			—		1,067
March 31, 2005		48.80		(.02	)		(2.69	)		(2.71	)		—			—		—			46.09		(5.55)%		1.63%			1.63%			(0.03)%			—		404
Inverse Russell 2000® Strategy Fund C-Class
March 31, 2009		37.80		(.40	)		9.14			8.74			(.39	)		—		(.39	)		46.15		23.06%		2.76%			2.45%			(1.03)%			214%		2,199
March 31, 2008		34.18		.76			4.27			5.03			(1.41	)		—		(1.41	)		37.80		15.22%		2.67%			2.67%			2.17%			—		6,136
March 31, 2007		36.40		1.07			(1.60	)		(.53	)		(1.69	)		—		(1.69	)		34.18		(1.40)%		2.40%			2.40%			2.87%			—		8,455
March 31, 2006		45.71		.56			(9.15	)		(8.59	)		(.72	)		—		(.72	)		36.40		(18.95)%		2.40%			2.40%			1.33%			—		3,164
March 31, 2005		48.77		(.49	)		(2.57	)		(3.06	)		—			—		—			45.71		(6.27)%		2.39%			2.39%			(0.97)%			—		3,951
Inverse Russell 2000® Strategy Fund H-Class
March 31, 2009		39.07		(.19	)		9.56			9.37			(.39	)		—		(.39	)		48.05		23.93%		1.97%			1.70%			(0.45)%			214%		30,131
March 31, 2008		35.02		1.05			4.41			5.46			(1.41	)		—		(1.41	)		39.07		16.10%		1.89%			1.89%			2.93%			—		42,554
March 31, 2007		36.98		1.36			(1.63	)		(.27	)		(1.69	)		—		(1.69	)		35.02		(0.67)%		1.65%			1.65%			3.56%			—		48,718
March 31, 2006		46.09		.91			(9.30	)		(8.39	)		(.72	)		—		(.72	)		36.98		(18.36)%		1.65%			1.65%			2.14%			—		52,201
March 31, 2005		48.80		.04			(2.75	)		(2.71	)		—			—		—			46.09		(5.55)%		1.63%			1.63%			0.09%			—		46,832

160    |    THE RYDEX SERIES FUNDS ANNUAL REPORT

FINANCIAL HIGHLIGHTS (continued)
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.

																								RATIOS TO
																								AVERAGE NET ASSETS:
						Net Realized			Net Increase
	NET ASSET		Net			and			(Decrease)			Distributions			Distributions					NET ASSET								Net		Combined				Net Assets,
	VALUE,		Investment			Unrealized			in Net Asset			from Net			from Net					VALUE,		Total						Investment		Net		Portfolio		End of
	BEGINNING		Income			Gains (Losses)			Value Resulting			Investment			Realized		Total			END OF		Investment		Total		Operating		Income		Investment		Turnover		Period (000’s
Year Ended	OF PERIOD		(Loss)†			on Investments			from Operations			Income			Gains		Distributions			PERIOD		Return††		Expenses■		Expenses◊■		(Loss)		Income (Loss)▲		Rate		omitted)
Government Long Bond 1.2x Strategy Fund Investor Class
March 31, 2009	$	11.78	$	.36		$	1.97		$	2.33		$	(.37	)	$	—	$	(.37	)	$	13.74		20.17%		0.98%		0.98%		2.79%		—		1,794%	$	43,237
March 31, 2008		10.59		.40			1.19			1.59			(.40	)		—		(.40	)		11.78		15.43%		0.97%		0.97%		3.75%		—		1,142%		30,695
March 31, 2007		10.50		.41			.09			.50			(.41	)		—		(.41	)		10.59		4.87%		0.96%		0.96%		3.92%		—		1,357%		40,816
March 31, 2006		11.04		.42			(.54	)		(.12	)		(.42	)		—		(.42	)		10.50		(1.37)%		0.94%		0.94%		3.69%		—		1,451%		33,223
March 31, 2005		11.03		.42			—			.42			(.41	)		—		(.41	)		11.04		4.04%		0.93%		0.93%		3.95%		—		737%		25,992
Government Long Bond 1.2x Strategy Fund Advisor Class
March 31, 2009		11.72		.31			1.93			2.24			(.30	)		—		(.30	)		13.66		19.49%		1.48%		1.48%		2.49%		—		1,794%		7,867
March 31, 2008		10.54		.34			1.19			1.53			(.35	)		—		(.35	)		11.72		14.82%		1.47%		1.47%		3.13%		—		1,142%		25,181
March 31, 2007		10.50		.37			.03			.40			(.36	)		—		(.36	)		10.54		3.86%		1.46%		1.46%		3.44%		—		1,357%		10,815
March 31, 2006		11.07		.37			(.57	)		(.20	)		(.37	)		—		(.37	)		10.50		(2.10)%		1.42%		1.42%		3.16%		—		1,451%		21,200
March 31, 2005		11.04		.36			.04			.40			(.37	)		—		(.37	)		11.07		3.75%		1.41%		1.41%		3.32%		—		737%		53,283
Government Long Bond 1.2x Strategy Fund A-Class
March 31, 2009		11.79		.34			1.95			2.29			(.33	)		—		(.33	)		13.75		19.84%		1.23%		1.23%		2.74%		—		1,794%		11,119
March 31, 2008		10.60		.38			1.19			1.57			(.38	)		—		(.38	)		11.79		15.13%		1.22%		1.22%		3.44%		—		1,142%		20,374
March 31, 2007		10.50		.38			.10			.48			(.38	)		—		(.38	)		10.60		4.71%		1.22%		1.22%		3.64%		—		1,357%		11,460
March 31, 2006		11.07		.40			(.58	)		(.18	)		(.39	)		—		(.39	)		10.50		(1.88)%		1.17%		1.17%		3.45%		—		1,451%		1,503
March 31, 2005		11.05		.39			.02			.41			(.39	)		—		(.39	)		11.07		3.86%		1.15%		1.15%		3.63%		—		737%		1,703
Government Long Bond 1.2x Strategy Fund C-Class
March 31, 2009		11.77		.25			1.94			2.19			(.24	)		—		(.24	)		13.72		18.90%		1.97%		1.97%		2.00%		—		1,794%		5,502
March 31, 2008		10.59		.30			1.18			1.48			(.30	)		—		(.30	)		11.77		14.20%		1.98%		1.98%		2.80%		—		1,142%		6,239
March 31, 2007		10.50		.31			.08			.39			(.30	)		—		(.30	)		10.59		3.84%		1.96%		1.96%		2.93%		—		1,357%		15,640
March 31, 2006		11.07		.31			(.57	)		(.26	)		(.31	)		—		(.31	)		10.50		(2.61)%		1.93%		1.93%		2.69%		—		1,451%		7,293
March 31, 2005		11.05		.31			.02			.33			(.31	)		—		(.31	)		11.07		3.10%		1.92%		1.92%		2.86%		—		737%		11,005
Inverse Government Long Bond Strategy Fund Investor Class
March 31, 2009		16.81		(.11	)		(3.38	)		(3.49	)		—			—		—			13.32		(20.76)%		2.80%		1.41%		(0.72)%		—		584%		269,155
March 31, 2008		19.37		.49			(2.39	)		(1.90	)		(.66	)		—		(.66	)		16.81		(9.98)%		3.45%		1.40%		2.56%		—		550%		237,900
March 31, 2007		19.69		(.09	)		.40			.31			(.63	)		—		(.63	)		19.37		1.66%		4.97%		1.36%		3.68%		—		192%		313,117
March 31, 2006		18.94		(.07	)		.82			.75			—			—		—			19.69		3.96%		4.66%		1.33%		(0.40)%		0.78%		179%		768,588
March 31, 2005		19.77		(.08	)		(.75	)		(.83	)		—			—		—			18.94		(4.20)%		5.11%		1.32%		(0.40)%		1.53%		101%		1,472,040
Inverse Government Long Bond Strategy Fund Advisor Class
March 31, 2009		16.41		(.18	)		(3.28	)		(3.46	)		—			—		—			12.95		(21.08)%		3.36%		1.91%		(1.19)%		—		584%		35,153
March 31, 2008		19.01		.34			(2.28	)		(1.94	)		(.66	)		—		(.66	)		16.41		(10.39)%		4.10%		1.90%		1.84%		—		550%		24,891
March 31, 2007		19.43		(.18	)		.39			.21			(.63	)		—		(.63	)		19.01		1.17%		5.47%		1.86%		3.18%		—		192%		43,782
March 31, 2006		18.79		(.16	)		.80			.64			—			—		—			19.43		3.41%		5.16%		1.83%		(0.90)%		0.28%		179%		99,546
March 31, 2005		19.71		(.17	)		(.75	)		(.92	)		—			—		—			18.79		(4.67)%		5.61%		1.82%		(0.90)%		1.03%		101%		232,541
Inverse Government Long Bond Strategy Fund A-Class
March 31, 2009		16.57		(.15	)		(3.32	)		(3.47	)		—			—		—			13.10		(20.94)%		3.00%		1.65%		(0.94)%		—		584%		54,574
March 31, 2008		19.16		.44			(2.37	)		(1.93	)		(.66	)		—		(.66	)		16.57		(10.25)%		3.86%		1.65%		2.37%		—		550%		37,256
March 31, 2007		19.52		(.14	)		.41			.27			(.63	)		—		(.63	)		19.16		1.47%		5.22%		1.61%		3.43%		—		192%		69,606
March 31, 2006		18.84		(.12	)		.80			.68			—			—		—			19.52		3.61%		4.91%		1.58%		(0.65)%		0.53%		179%		124,679
March 31, 2005		19.71		(.13	)		(.74	)		(.87	)		—			—		—			18.84		(4.41)%		5.35%		1.56%		(0.64)%		1.29%		101%		177,178
Inverse Government Long Bond Strategy Fund C-Class
March 31, 2009		15.65		(.25	)		(3.12	)		(3.37	)		—			—		—			12.28		(21.53)%		3.81%		2.41%		(1.70)%		—		584%		123,413
March 31, 2008		18.26		.29			(2.24	)		(1.95	)		(.66	)		—		(.66	)		15.65		(10.87)%		4.44%		2.40%		1.62%		—		550%		124,572
March 31, 2007		18.78		(.27	)		.38			.11			(.63	)		—		(.63	)		18.26		0.67%		5.97%		2.36%		2.68%		—		192%		213,175
March 31, 2006		18.25		(.25	)		.78			.53			—			—		—			18.78		2.90%		5.66%		2.33%		(1.40)%		(0.22)%		179%		533,862
March 31, 2005		19.24		(.27	)		(.72	)		(.99	)		—			—		—			18.25		(5.15)%		6.11%		2.32%		(1.40)%		0.53%		101%		893,249

THE RYDEX SERIES FUNDS ANNUAL REPORT    |    161

FINANCIAL HIGHLIGHTS (continued)
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.

						Net Realized			Net Increase																			RATIOS TO AVERAGE NET ASSETS:
	NET ASSET		Net			and			(Decrease)			Distributions			Distributions									NET ASSET										Net					Net Assets,
	VALUE,		Investment			Unrealized			in Net Asset			from Net			from Net									VALUE,		Total								Investment			Portfolio		End of
	BEGINNING		Income			Gains (Losses)			Value Resulting			Investment			Realized			Total			Payments by			END OF		Investment		Total			Net			Income			Turnover		Period (000’s
Year Ended	OF PERIOD		(Loss)†			on Investments			from Operations			Income			Gains			Distributions			Affiliates			PERIOD		Return††		Expenses			Expenses			(Loss)			Rate		omitted)
High Yield Strategy Fund A-Class
March 31, 2009	$	24.31	$	(.16	)	$	(3.51	)	$	(3.67	)	$	(4.00	)	$	—		$	(4.00	)	$	—		$	16.64		(16.15)%		1.57%			1.57%			(0.71)%			—	$	5,748
March 31, 2008*		25.00		.69			(1.31	)		(.62	)		(.07	)		—			(.07	)		—			24.31		(2.49)%		1.50%	**		1.50%	**		2.79%	**		—		10,530
High Yield Strategy Fund C-Class
March 31, 2009		24.12		(.25	)		(3.54	)		(3.79	)		(4.00	)		—			(4.00	)		—			16.33		(16.83)%		2.32%			2.32%			(1.21)%			—		1,773
March 31, 2008*		25.00		.46			(1.27	)		(.81	)		(.07	)		—			(.07	)		—			24.12		(3.25)%		2.22%	**		2.22%	**		1.90%	**		—		1,001
High Yield Strategy Fund H-Class
March 31, 2009		24.28		(.04	)		(3.63	)		(3.67	)		(4.00	)		—			(4.00	)		—			16.61		(16.16)%		1.56%			1.56%			(0.20)%			—		239,528
March 31, 2008*		25.00		.62			(1.27	)		(.65	)		(.07	)		—			(.07	)		—			24.28		(2.61)%		1.49%	**		1.49%	**		2.55%	**		—		64,290
Inverse High Yield Strategy Fund A-Class
March 31, 2009		51.26		(.10	)		5.29			5.19			—			(1.32	)		(1.32	)		—			55.13		10.17%		1.52%			1.52%			(0.19)%			—		2,278
March 31, 2008*		50.00		.54			.72			1.26			—			—			—			—			51.26		2.52%		1.52%	**		1.52%	**		1.09%	**		—		1,673
Inverse High Yield Strategy Fund C-Class
March 31, 2009		51.06		(.52	)		5.27			4.75			—			(1.32	)		(1.32	)		—			54.49		9.34%		2.28%			2.28%			(1.00)%			—		869
March 31, 2008*		50.00		(.62	)		1.68			1.06			—			—			—			—			51.06		2.12%		2.26%	**		2.26%	**		(1.25)%	**		—		2,958
Inverse High Yield Strategy Fund H-Class
March 31, 2009		51.38		(.29	)		5.49			5.20			—			(1.32	)		(1.32	)		—			55.26		10.17%		1.53%			1.53%			(0.55)%			—		13,799
March 31, 2008*		50.00		1.44			(.06	)		1.38			—			—			—			—			51.38		2.76%		1.52%	**		1.52%	**		2.84%	**		—		6,536
Europe 1.25x Strategy Fund A-Class
March 31, 2009		22.25		.18			(14.07	)		(13.89	)		—			—			—			—			8.36		(62.43)%		1.68%			1.68%			1.05%			384%		316
March 31, 2008		24.13		.62			(1.57	)		(.95	)		(.23	)		(.70	)		(.93	)		—			22.25		(4.60)%		1.69%			1.69%			2.42%			320%		1,750
March 31, 2007		20.06		.54			3.65			4.19			(.12	)		—			(.12	)		—			24.13		20.90%		1.54%			1.54%			2.33%			373%		10,892
March 31, 2006		17.14		.18			3.06			3.24			—			(.32	)		(.32	)		—			20.06		19.10%		1.67%			1.66%			1.02%			454%		1,378
March 31, 2005		14.98		.05			2.59			2.64			(.47	)		(.01	)		(.48	)		—			17.14		17.56%		1.62%			1.62%			0.29%			—		180
Europe 1.25x Strategy Fund C-Class
March 31, 2009		21.00		.07			(13.24	)		(13.17	)		—			—			—			—			7.83		(62.71)%		2.43%			2.43%			0.42%			384%		754
March 31, 2008		22.98		.31			(1.36	)		(1.05	)		(.23	)		(.70	)		(.93	)		—			21.00		(5.28)%		2.40%			2.40%			1.27%			320%		6,149
March 31, 2007		19.25		.39			3.46			3.85			(.12	)		—			(.12	)		—			22.98		20.01%		2.40%			2.40%			1.85%			373%		9,539
March 31, 2006		16.57		.10			2.90			3.00			—			(.32	)		(.32	)		—			19.25		18.30%		2.42%			2.41%			0.59%			454%		8,703
March 31, 2005		14.62		(.09	)		2.52			2.43			(.47	)		(.01	)		(.48	)		—			16.57		16.55%		2.37%			2.37%			(0.57)%			—		5,717
Europe 1.25x Strategy Fund H-Class
March 31, 2009		22.26		.21			(14.11	)		(13.90	)		—			—			—			—			8.36		(62.44)%		1.71%			1.71%			1.22%			384%		4,739
March 31, 2008		24.14		.57			(1.52	)		(.95	)		(.23	)		(.70	)		(.93	)		—			22.26		(4.60)%		1.67%			1.67%			2.20%			320%		21,670
March 31, 2007		20.06		.59			3.61			4.20			(.12	)		—			(.12	)		—			24.14		20.95%		1.66%			1.66%			2.63%			373%		57,887
March 31, 2006		17.13		.22			3.03			3.25			—			(.32	)		(.32	)		—			20.06		19.17%		1.64%			1.63%			1.21%			454%		46,066
March 31, 2005		14.98		.05			2.58			2.63			(.47	)		(.01	)		(.48	)		—			17.13		17.49%		1.61%			1.61%			0.28%			—		62,957
Japan 2x Strategy Fund A-Class
March 31, 2009		25.12		(.06	)		(16.24	)		(16.30	)		(.01	)		—			(.01	)		.20	§§		9.01		(64.10)%		1.53%			1.53%			(0.42)%			—		299
March 31, 2008*		25.00		—	§		.12			.12			—			—			—			—			25.12		0.48%		1.25%	**		1.25%	**		(0.12)%	**		—		636
Japan 2x Strategy Fund C-Class
March 31, 2009		25.10		(.17	)		(16.18	)		(16.35	)		(.01	)		—			(.01	)		.20	§§		8.94		(64.35)%		2.26%			2.26%			(0.98)%			—		879
March 31, 2008*		25.00		(.02	)		.12			.10			—			—			—			—			25.10		0.40%		2.21%	**		2.21%	**		(0.74)%	**		—		240
Japan 2x Strategy Fund H-Class
March 31, 2009		25.12		(.08	)		(16.22	)		(16.30	)		(.01	)		—			(.01	)		.20	§§		9.01		(64.10)%		1.52%			1.52%			(0.55)%			—		6,531
March 31, 2008*		25.00		—	§		.12			.12			—			—			—			—			25.12		0.48%		1.44%	**		1.44%	**		0.17%	**		—		5,243

162    |    THE RYDEX SERIES FUNDS ANNUAL REPORT

FINANCIAL HIGHLIGHTS (continued)
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.

																									RATIOS TO
																									AVERAGE NET ASSETS:
						Net Realized			Net Increase
	NET ASSET		Net			and			(Decrease)			Distributions			Distributions						NET ASSET							Net					Net Assets,
	VALUE,		Investment			Unrealized			in Net Asset			from Net			from Net						VALUE,		Total					Investment			Portfolio		End of
	BEGINNING		Income			Gains (Losses)			Value Resulting			Investment			Realized			Total			END OF		Investment		Total			Income			Turnover		Period (000’s
Year Ended	OF PERIOD		(Loss)†			on Investments			from Operations			Income			Gains			Distributions			PERIOD		Return††		Expenses			(Loss)			Rate		omitted)
Small-Cap Value Fund A-Class
March 31, 2009	$	26.56	$	.50		$	(15.61	)	$	(15.11	)	$	(.37	)	$	—		$	(.37	)	$	11.08		(57.21)%		1.54%			2.04%			878%	$	78
March 31, 2008		35.54		.26			(8.97	)		(8.71	)		(.27	)		—			(.27	)		26.56		(24.54)%		1.53%			0.82%			566%		2,945
March 31, 2007		33.40		.23			1.94			2.17			—			(.03	)		(.03	)		35.54		6.49%		1.51%			0.66%			728%		3,929
March 31, 2006		28.22		(.03	)		5.71			5.68			—			(.50	)		(.50	)		33.40		20.35%		1.46%			(0.11)%			806%		335
March 31, 2005*		25.28		(.06	)		3.13			3.07			—			(.13	)		(.13	)		28.22		12.14%		1.43%	**		(0.37)%	**		744%		714
Small-Cap Value Fund C-Class
March 31, 2009		25.71		.04			(14.76	)		(14.72	)		(.37	)		—			(.37	)		10.62		(57.59)%		2.32%			0.21%			878%		691
March 31, 2008		34.68		.28			(8.98	)		(8.70	)		(.27	)		—			(.27	)		25.71		(25.12)%		2.26%			0.99%			566%		14,040
March 31, 2007		32.85		(.05	)		1.91			1.86			—			(.03	)		(.03	)		34.68		5.65%		2.26%			(0.16)%			728%		2,268
March 31, 2006		28.01		(.18	)		5.52			5.34			—			(.50	)		(.50	)		32.85		19.29%		2.27%			(0.60)%			806%		18,779
March 31, 2005		25.59		(.24	)		2.79			2.55			—			(.13	)		(.13	)		28.01		9.96%		2.21%			(0.89)%			744%		12,119
Small-Cap Value Fund H-Class
March 31, 2009		26.53		.27			(15.36	)		(15.09	)		(.37	)		—			(.37	)		11.07		(57.20)%		1.55%			1.40%			878%		21,489
March 31, 2008		35.51		.33			(9.04	)		(8.71	)		(.27	)		—			(.27	)		26.53		(24.56)%		1.48%			1.04%			566%		51,563
March 31, 2007		33.38		.15			2.01			2.16			—			(.03	)		(.03	)		35.51		6.46%		1.52%			0.46%			728%		10,478
March 31, 2006		28.24		.06			5.58			5.64			—			(.50	)		(.50	)		33.38		20.20%		1.50%			0.19%			806%		102,448
March 31, 2005		25.62		(.01	)		2.76			2.75			—			(.13	)		(.13	)		28.24		10.73%		1.47%			(0.04)%			744%		75,748
Mid-Cap Value Fund A-Class
March 31, 2009		29.72		.47			(16.51	)		(16.04	)		—			—			—			13.68		(53.97)%		1.54%			1.66%			977%		100
March 31, 2008		36.58		.44			(6.37	)		(5.93	)		(.93	)		—			(.93	)		29.72		(16.45)%		1.53%			1.25%			297%		2,797
March 31, 2007		31.83		.34			4.57			4.91			—			(.16	)		(.16	)		36.58		15.45%		1.53%			1.00%			625%		4,744
March 31, 2006		27.49		.06			4.47			4.53			(—)	§		(.19	)		(.19	)		31.83		16.51%		1.48%			0.21%			558%		1,480
March 31, 2005*		24.58		.11			2.91			3.02			(—)	§		(.11	)		(.11	)		27.49		12.29%		1.42%	**		0.69%	**		731%		312
Mid-Cap Value Fund C-Class
March 31, 2009		28.78		.39			(16.05	)		(15.66	)		—			—			—			13.12		(54.41)%		2.29%			1.58%			977%		627
March 31, 2008		35.75		.30			(6.34	)		(6.04	)		(.93	)		—			(.93	)		28.78		(17.15)%		2.28%			0.88%			297%		1,082
March 31, 2007		31.34		.11			4.46			4.57			—			(.16	)		(.16	)		35.75		14.61%		2.28%			0.33%			625%		8,326
March 31, 2006		27.29		(.10	)		4.34			4.24			(—)	§		(.19	)		(.19	)		31.34		15.57%		2.25%			(0.35)%			558%		7,270
March 31, 2005		25.11		(.07	)		2.36			2.29			(—)	§		(.11	)		(.11	)		27.29		9.12%		2.21%			(0.28)%			731%		8,831
Mid-Cap Value Fund H-Class
March 31, 2009		29.71		.47			(16.51	)		(16.04	)		—			—			—			13.67		(53.99)%		1.54%			2.01%			977%		3,985
March 31, 2008		36.58		.35			(6.29	)		(5.94	)		(.93	)		—			(.93	)		29.71		(16.48)%		1.54%			0.96%			297%		6,512
March 31, 2007		31.82		.46			4.46			4.92			—			(.16	)		(.16	)		36.58		15.49%		1.52%			1.39%			625%		76,513
March 31, 2006		27.49		.07			4.45			4.52			(—)	§		(.19	)		(.19	)		31.82		16.47%		1.48%			0.25%			558%		31,340
March 31, 2005		25.13		.21			2.26			2.47			(—)	§		(.11	)		(.11	)		27.49		9.83%		1.46%			0.77%			731%		115,660
Large-Cap Value Fund A-Class
March 31, 2009†††		100.00		1.95			(57.52	)		(55.57	)		(1.05	)		(7.80	)		(8.55	)		35.58		(57.28)%		1.53%			2.16%			1,448%		203
March 31, 2008†††		167.30		2.45			(30.50	)		(28.05	)		(9.95	)		(29.30	)		(39.25	)		100.00		(19.98)%		1.52%			1.67%			289%		4,269
March 31, 2007†††		145.60		1.85			21.65			23.50			(1.05	)		(.75	)		(1.80	)		167.30		16.21%		1.50%			1.17%			389%		5,348
March 31, 2006†††		132.80		.95			13.87			14.82			—			(2.02	)		(2.02	)		145.60		11.20%		1.47%			0.70%			1,054%		713
March 31, 2005*†††		123.40		.60			9.05			9.65			(—)	§		(.25	)		(.25	)		132.80		7.82%		1.43%	**		0.77%	**		747%		211
Large-Cap Value Fund C-Class
March 31, 2009†††		96.00		1.40			(54.89	)		(53.49	)		(1.05	)		(7.80	)		(8.85	)		33.66		(57.55)%		2.29%			2.44%			1,448%		1,129
March 31, 2008†††		163.40		.70			(28.85	)		(28.15	)		(9.95	)		(29.30	)		(39.25	)		96.00		(20.57)%		2.29%			0.48%			289%		1,838
March 31, 2007†††		143.35		.45			21.40			21.85			(1.05	)		(.75	)		(1.80	)		163.40		15.31%		2.27%			0.29%			389%		21,075
March 31, 2006†††		131.90		.20			13.27			13.47			—			(2.02	)		(2.02	)		143.35		10.25%		2.26%			0.14%			1,054%		4,344
March 31, 2005†††		124.25		.05			7.85			7.90			(—)	§		(.25	)		(.25	)		131.90		6.35%		2.20%			0.03%			747%		4,636

THE RYDEX SERIES FUNDS ANNUAL REPORT    |    163

FINANCIAL HIGHLIGHTS (continued)
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.

																									RATIOS TO
																									AVERAGE NET ASSETS:
						Net Realized			Net Increase
	NET ASSET		Net			and			(Decrease) in Net			Distributions			Distributions						NET ASSET							Net					Net Assets,
	VALUE,		Investment			Unrealized			Asset Value			from Net			from Net						VALUE,		Total					Investment			Portfolio		End of
	BEGINNING		Income			Gains (Losses)			Resulting from			Investment			Realized			Total			END OF		Investment		Total			Income			Turnover		Period (000’s
Year Ended	OF PERIOD		(Loss)†			on Investments			Operations			Income			Gains			Distributions			PERIOD		Return††		Expenses			(Loss)			Rate		omitted)
Large-Cap Value Fund H-Class
March 31, 2009†††	$	100.00	$	1.40		$	(56.88	)	$	(55.48	)	$	(1.05	)	$	(7.80	)	$	(8.85	)	$	35.67		(57.23)%		1.53%			2.36%			1,448%	$	4,558
March 31, 2008†††		167.30		1.80			(29.85	)		(28.05	)		(9.95	)		(29.30	)		(39.25	)		100.00		(19.98)%		1.53%			1.11%			289%		18,459
March 31, 2007†††		145.60		1.75			21.75			23.50			(1.05	)		(.75	)		(1.80	)		167.30		16.21%		1.51%			1.12%			389%		184,082
March 31, 2006†††		132.80		1.15			13.67			14.82			—			(2.02	)		(2.02	)		145.60		11.20%		1.49%			0.82%			1,054%		56,005
March 31, 2005†††		124.35		.80			7.90			8.70			(—)	§		(.25	)		(.25	)		132.80		6.99%		1.47%			0.63%			747%		24,974
Small-Cap Growth Fund A-Class
March 31, 2009		27.43		(.19	)		(10.31	)		(10.50	)		—			—			—			16.93		(38.28)%		1.54%			(0.73)%			1,066%		117
March 31, 2008		32.61		(.13	)		(3.72	)		(3.85	)		—			(1.33	)		(1.33	)		27.43		(12.27)%		1.52%			(0.40)%			834%		1,938
March 31, 2007		32.25		(.29	)		.65			.36			—			—			—			32.61		1.12%		1.56%			(0.93)%			623%		1,408
March 31, 2006		27.96		(.18	)		5.27			5.09			—			(.80	)		(.80	)		32.25		18.41%		1.47%			(0.61)%			1,003%		943
March 31, 2005*		24.43		(.12	)		3.90			3.78			—			(.25	)		(.25	)		27.96		15.49%		1.43%	**		(0.74)%	**		983%		76
Small-Cap Growth Fund C-Class
March 31, 2009		26.65		(.32	)		(10.01	)		(10.33	)		—			—			—			16.32		(38.76)%		2.29%			(1.28)%			1,066%		369
March 31, 2008		31.94		(.51	)		(3.45	)		(3.96	)		—			(1.33	)		(1.33	)		26.65		(12.88)%		2.29%			(1.57)%			834%		1,980
March 31, 2007		31.82		(.58	)		.70			.12			—			—			—			31.94		0.38%		2.32%			(1.83)%			623%		7,570
March 31, 2006		27.78		(.47	)		5.31			4.84			—			(.80	)		(.80	)		31.82		17.63%		2.27%			(1.57)%			1,003%		5,972
March 31, 2005		25.33		(.44	)		3.14			2.70			—			(.25	)		(.25	)		27.78		10.68%		2.21%			(1.58)%			983%		2,710
Small-Cap Growth Fund H-Class
March 31, 2009		27.45		(.13	)		(10.38	)		(10.51	)		—			—			—			16.94		(38.29)%		1.56%			(0.55)%			1,066%		9,795
March 31, 2008		32.62		(.26	)		(3.58	)		(3.84	)		—			(1.33	)		(1.33	)		27.45		(12.23)%		1.53%			(0.79)%			834%		6,259
March 31, 2007		32.27		(.33	)		.68			.35			—			—			—			32.62		1.08%		1.53%			(1.05)%			623%		18,171
March 31, 2006		27.97		(.22	)		5.32			5.10			—			(.80	)		(.80	)		32.27		18.44%		1.50%			(0.73)%			1,003%		73,489
March 31, 2005		25.34		(.23	)		3.11			2.88			—			(.25	)		(.25	)		27.97		11.38%		1.46%			(0.84)%			983%		26,145
Mid-Cap Growth Fund A-Class
March 31, 2009		26.65		(.24	)		(8.22	)		(8.46	)		—			—			—			18.19		(31.74)%		1.58%			(0.93)%			1,281%		723
March 31, 2008		30.72		(.27	)		(1.42	)		(1.69	)		—			(2.38	)		(2.38	)		26.65		(6.26)%		1.52%			(0.88)%			736%		3,863
March 31, 2007		31.94		(.08	)		.48			.40			—			(1.62	)		(1.62	)		30.72		1.36%		1.51%			(0.25)%			537%		2,777
March 31, 2006		26.85		(.17	)		5.39			5.22			—			(.13	)		(.13	)		31.94		19.47%		1.48%			(0.60)%			681%		1,530
March 31, 2005*		23.91		(.09	)		3.04			2.95			—			(.01	)		(.01	)		26.85		12.33%		1.46%	**		(0.58)%	**		1,211%		553
Mid-Cap Growth Fund C-Class
March 31, 2009		25.79		(.42	)		(7.89	)		(8.31	)		—			—			—			17.48		(32.22)%		2.32%			(1.72)%			1,281%		3,477
March 31, 2008		30.01		(.50	)		(1.34	)		(1.84	)		—			(2.38	)		(2.38	)		25.79		(6.92)%		2.28%			(1.69)%			736%		1,426
March 31, 2007		31.47		(.42	)		.58			.16			—			(1.62	)		(1.62	)		30.01		0.60%		2.27%			(1.40)%			537%		5,316
March 31, 2006		26.66		(.42	)		5.36			4.94			—			(.13	)		(.13	)		31.47		18.55%		2.26%			(1.43)%			681%		3,305
March 31, 2005		25.15		(.37	)		1.89			1.52			—			(.01	)		(.01	)		26.66		6.04%		2.21%			(1.43)%			1,211%		2,313

164    |    THE RYDEX SERIES FUNDS ANNUAL REPORT

1

FINANCIAL HIGHLIGHTS (continued)
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.

																									RATIOS TO
																									AVERAGE NET ASSETS:
						Net Realized			Net Increase
	NET ASSET		Net			and			(Decrease)			Distributions			Distributions						NET ASSET										Net					Net Assets,
	VALUE,		Investment			Unrealized			in Net Asset			from Net			from Net						VALUE,		Total								Investment			Portfolio		End of
	BEGINNING		Income			Gains (Losses)			Value Resulting			Investment			Realized			Total			END OF		Investment		Total			Net			Income			Turnover		Period (000’s
Year Ended	OF PERIOD		(Loss)†			on Investments			from Operations			Income			Gains			Distributions			PERIOD		Return††		Expenses			Expenses			(Loss)			Rate		omitted)
Mid-Cap Growth Fund H-Class
March 31, 2009	$	26.68	$	(.22	)	$	(8.25	)	$	(8.47	)	$	—		$	—		$	—		$	18.21		(31.75)%		1.55%			1.55%			(0.95)%			1,281%	$	15,591
March 31, 2008		30.75		(.28	)		(1.41	)		(1.69	)		—			(2.38	)		(2.38	)		26.68		(6.25)%		1.51%			1.51%			(0.92)%			736%		14,158
March 31, 2007		31.95		(.24	)		.66			.42			—			(1.62	)		(1.62	)		30.75		1.42%		1.52%			1.52%			(0.80)%			537%		7,715
March 31, 2006		26.86		(.19	)		5.41			5.22			—			(.13	)		(.13	)		31.95		19.46%		1.50%			1.50%			(0.63)%			681%		48,888
March 31, 2005		25.17		(.17	)		1.87			1.70			—			(.01	)		(.01	)		26.86		6.75%		1.46%			1.46%			(0.66)%			1,211%		23,733
Large-Cap Growth Fund A-Class
March 31, 2009		25.11		(.11	)		(9.18	)		(9.29	)		—			—			—			15.82		(37.00)%		1.53%			1.53%			(0.46)%			573%		2,346
March 31, 2008		27.17		(.15	)		(1.52	)		(1.67	)		—			(.39	)		(.39	)		25.11		(6.28)%		1.51%			1.51%			(0.53)%			450%		5,443
March 31, 2007		26.11		(.13	)		1.19			1.06			—			—			—			27.17		4.06%		1.52%			1.52%			(0.51)%			1,029%		2,675
March 31, 2006		24.48		(.07	)		1.72			1.65			—			(.02	)		(.02	)		26.11		6.76%		1.48%			1.48%			(0.29)%			1,276%		914
March 31, 2005*		23.44		.09			.95			1.04			—			—			—			24.48		4.45%		1.45%	**		1.45%	**		0.62%	**		2,018%		74
Large-Cap Growth Fund C-Class
March 31, 2009		24.35		(.23	)		(8.89	)		(9.12	)		—			—			—			15.23		(37.45)%		2.29%			2.29%			(1.13)%			573%		2,111
March 31, 2008		26.57		(.32	)		(1.51	)		(1.83	)		—			(.39	)		(.39	)		24.35		(7.02)%		2.27%			2.27%			(1.21)%			450%		4,453
March 31, 2007		25.74		(.37	)		1.20			.83			—			—			—			26.57		3.22%		2.28%			2.28%			(1.44)%			1,029%		3,743
March 31, 2006		24.30		(.26	)		1.72			1.46			—			(.02	)		(.02	)		25.74		6.03%		2.23%			2.23%			(1.04)%			1,276%		5,249
March 31, 2005		24.18		(.01	)		.13			.12			—			(—)	§		(—)	§		24.30		0.51%		2.20%			2.20%			(0.06)%			2,018%		19,703
Large-Cap Growth Fund H-Class
March 31, 2009		25.10		(.09	)		(9.20	)		(9.29	)		—			—			—			15.81		(37.01)%		1.53%			1.53%			(0.41)%			573%		12,512
March 31, 2008		27.16		(.17	)		(1.50	)		(1.67	)		—			(.39	)		(.39	)		25.10		(6.28)%		1.53%			1.53%			(0.62)%			450%		11,937
March 31, 2007		26.11		(.14	)		1.19			1.05			—			—			—			27.16		4.02%		1.52%			1.52%			(0.53)%			1,029%		49,087
March 31, 2006		24.49		(.05	)		1.69			1.64			—			(.02	)		(.02	)		26.11		6.71%		1.49%			1.49%			(0.19)%			1,276%		32,258
March 31, 2005		24.18		.37			(.06	)		.31			—			(—)	§		(—)	§		24.49		1.30%		1.47%			1.47%			1.52%			2,018%		11,762
U.S. Government Money Market Fund Investor Class
March 31, 2009		1.00		.01			—			.01			(.01	)		—			(.01	)		1.00		1.06%		0.95%			0.90%			1.02%			—		1,114,286
March 31, 2008		1.00		.04			—			.04			(.04	)		—			(.04	)		1.00		3.76%		0.93%			0.93%			3.71%			—		978,584
March 31, 2007		1.00		.04			—			.04			(.04	)		—			(.04	)		1.00		4.26%		0.92%			0.92%			4.20%			—		982,347
March 31, 2006		1.00		.03			—			.03			(.03	)		—			(.03	)		1.00		2.79%		0.88%			0.88%			2.74%			—		975,088
March 31, 2005		1.00		.01			—			.01			(.01	)		—			(.01	)		1.00		0.82%		0.87%			0.87%			0.81%			—		1,196,009
U.S. Government Money Market Fund Advisor Class
March 31, 2009		1.00		.01			—			.01			(.01	)		—			(.01	)		1.00		0.65%		1.45%			1.26%			0.55%			—		341,425
March 31, 2008		1.00		.03			—			.03			(.03	)		—			(.03	)		1.00		3.24%		1.43%			1.43%			3.25%			—		159,111
March 31, 2007		1.00		.04			—			.04			(.04	)		—			(.04	)		1.00		3.75%		1.42%			1.42%			3.70%			—		204,068
March 31, 2006		1.00		.02			—			.02			(.02	)		—			(.02	)		1.00		2.28%		1.39%			1.39%			2.21%			—		151,828
March 31, 2005		1.00		—	§		—			—	§		(—)	§		—			(—)	§		1.00		0.43%		1.38%			1.25%			0.39%			—		245,890
U.S. Government Money Market Fund A-Class
March 31, 2009		1.00		.01			—			.01			(.01	)		—			(.01	)		1.00		0.85%		1.20%			1.09%			0.74%			—		49,072
March 31, 2008		1.00		.03			—			.03			(.03	)		—			(.03	)		1.00		3.51%		1.18%			1.18%			3.45%			—		21,174
March 31, 2007		1.00		.04			—			.04			(.04	)		—			(.04	)		1.00		4.01%		1.17%			1.17%			3.97%			—		18,779
March 31, 2006		1.00		.03			—			.03			(.03	)		—			(.03	)		1.00		2.51%		1.15%			1.15%			2.66%			—		14,324
March 31, 2005		1.00		.01			—			.01			(.01	)		—			(.01	)		1.00		0.59%		1.10%			1.10%			0.93%			—		7,335
U.S. Government Money Market Fund C-Class
March 31, 2009		1.00		—			—			—			(—)	§		—			(—)	§		1.00		0.26%		1.95%			1.70%			0.24%			—		135,384
March 31, 2008		1.00		.03			—			.03			(.03	)		—			(.03	)		1.00		2.74%		1.93%			1.93%			2.69%			—		121,436
March 31, 2007		1.00		.03			—			.03			(.03	)		—			(.03	)		1.00		3.24%		1.92%			1.92%			3.20%			—		120,415
March 31, 2006		1.00		.02			—			.02			(.02	)		—			(.02	)		1.00		1.76%		1.89%			1.89%			1.72%			—		131,045
March 31, 2005		1.00		—	§		—			—	§		(—)	§		—			(—)	§		1.00		0.19%		1.87%			1.51%			0.19%			—		155,668

THE RYDEX SERIES FUNDS ANNUAL REPORT    |    165

2

FINANCIAL HIGHLIGHTS (concluded)

*	Since the commencement of operations:
	September 1, 2004 — Small-Cap Value Fund A-Class, Mid-Cap Value Fund A-Class, Large-Cap Value Fund A-Class, Small-Cap Growth Fund A-Class, Mid-Cap Growth Fund A-Class, and Large-Cap Growth Fund A-Class;
	May 31, 2006 — S&P 500 Fund A-Class, C-Class and H-Class and Russell 2000 ® Fund A-Class, C-Class and H-Class;
	April 16, 2007 — High Yield Strategy Fund A-Class, C-Class and H-Class and Inverse High Yield Strategy Fund A-Class, C-Class and H-Class;
	February 22, 2008 — Japan 2x Strategy Fund A-Class, C-Class and H-Class.
**	Annualized
†	Calculated using the average daily shares outstanding for the year.
††	Total investment return does not reflect the impact of any applicable sales charges and has not been annualized.
†††	Inverse S&P 500 Strategy Fund — Per share amounts for the years ended March 31, 2005 through March 31, 2007 have been restated to reflect a 1:5 reverse share split effective April 23, 2007; Large-Cap Value Fund — Per share amounts for the years ended March 31, 2005 through March 31, 2009 have been restated to reflect a 1:5 reverse share split effective April 20, 2009 — See Note 13.
◊	Operating Expenses exclude interest and dividend expense from securities sold short.
§	Less than $.01 per share.
§§	Excluding the reimbursement, the Fund’s total return would have been -64.90%, -65.15% and -64.90% for the A-Class, C-Class and H-Class, respectively.
	Prior to April 1, 2007, the Nova Fund, Inverse S&P 500 Strategy Fund, Inverse NASDAQ-100 ® Strategy Fund, and Inverse Government Long Bond Strategy Fund operated under a Master-Feeder Structure.

▲

Ratios represent combined net investment income of the former Master Portfolio and the Fund. Ratios shown under the caption “Combined Net Investment Income (Loss)” for the year ended March 31, 2006 and preceding periods did not reflect the net investment income of the former Master Portfolio. This has no effect on the Fund’s net asset value, per share value or total increase (decrease) in net assets from operations during any period.

■

Expense ratios to average net assets include expenses of the corresponding former Master Portfolio for the year ended March 31, 2007 and preceding periods.

166    |    THE RYDEX SERIES FUNDS ANNUAL REPORT

NOTES TO FINANCIAL STATEMENTS

1.   Organization and Significant Accounting Policies Organization

The Rydex Series Funds (the “Trust”) is registered with the SEC under the Investment Company Act of 1940 (the “1940 Act”) as a non-diversified, open-ended investment company. The Trust offers five separate classes of shares, Investor Class shares, Advisor Class shares, A-Class shares, C-Class shares, and H-Class shares. C-Class shares have a 1% CDSC if shares are redeemed within 12 months of purchase. Sales of shares of each Class are made without a sales charge at the NAV, with the exception of A-Class shares. A-Class shares are sold at the NAV, plus the applicable front-end sales charge, except for the U.S. Government Money Market Fund. The sales charge varies depending on the amount purchased, but will not exceed 4.75%. A-Class share purchases of $1 million or more are exempt from the front-end sales charge but have a 1% CDSC if shares are redeemed within 18 months of purchase.

At March 31, 2009, the Trust consisted of fifty-five separate Funds. This report covers Benchmark Funds and the Money Market Fund (the “Funds”), while the other funds are contained in separate reports.

Rydex Investments provides advisory, transfer agent and administrative services, and accounting services to the Trust. Rydex Distributors, Inc. (the “Distributor”) acts as principal underwriter for the Trust. Both Rydex Investments and the Distributor are affiliated entities.

Significant Accounting Policies

The following significant accounting policies are in conformity with U.S. generally accepted accounting principles and are consistently followed by the Trust. This requires management to make estimates and assumptions that affect the reported amount of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from these estimates. All time references are based on Eastern Time.

A. The Trust calculates a NAV twice each business day, first in the morning and again in the afternoon for the Russell 2000^® Fund and the S&P 500 Fund. All other Funds in the Trust will price at the afternoon NAV. The morning NAV is calculated at 10:45 a.m. and the afternoon NAV is calculated at the close of the New York Stock Exchange (“NYSE”), usually 4:00 p.m. The NAV is calculated using the current market value of each Fund’s total assets as of the respective time of calculation. These financial statements are based on the March 31, 2009 afternoon NAV.

Equity securities listed on an exchange (NYSE or American Stock Exchange) are valued at the last quoted sales price as of the close of business on the NYSE on

the valuation date. Equity securities listed on the NASDAQ market system are valued at the NASDAQ Official Closing Price on the valuation date.

Listed options held by the Trust are valued at the last bid price or the Official Settlement Price listed by the exchange. Long options are valued using the bid price and short options are valued using the ask price. In the event that a settlement price is not available, fair valuation is enacted. Over-the-Counter options held by the Trust are valued using the average bid price (for long options), or average ask price (for short options) obtained from one or more security dealers.

The value of futures contracts purchased and sold by the Trust is accounted for using the unrealized gain or loss on the contracts that is determined by marking the contracts to their current realized settlement prices. Financial futures contracts are valued at the last quoted sales price on the valuation date. In the event that the exchange for a specific futures contract closes earlier than 4:00 p.m., the futures contract is valued at the Official Settlement Price of the exchange. However, the underlying securities from which the futures contract value is derived are monitored until 4:00 p.m. to determine if fair valuation would provide a more accurate valuation.

The U.S. Government Money Market Fund values debt securities at amortized cost pursuant to Rule 2a-7 of the 1940 Act.

Debt securities in a non 2a-7 money market fund with a maturity greater than 60 days are valued at the last traded fill price at the close of business, unless no trades were executed. If there are no trades, securities are valued at the reported bid price, at the close of business. Debt securities, with a maturity of 60 days or less are valued at amortized cost, which approximates market value.

Open-end investment companies (“Mutual Funds”) are valued at their NAV as of the close of business. Exchange Traded Funds (“ETFs”) and closed-end investment companies are valued at the last quoted sales price.

The value of domestic equity index and credit default swap agreements entered into by a Fund is accounted for using the unrealized gain or loss on the agreements that is determined by marking the agreements to the last quoted value of the index that the swap pertains to at the close of the NYSE. The swap’s market value is then adjusted to include dividends accrued, financing charges and/or interest associated with the swap agreements.

The value of foreign equity and currency index swap agreements entered into by a Fund is accounted for using the unrealized gain or loss on the agreements that

THE RYDEX SERIES FUNDS ANNUAL REPORT    |    167

NOTES TO FINANCIAL STATEMENTS (continued)

is determined by marking the agreements to the price at which orders are being filled at the close of the NYSE. In the event that no order is filled at 4:00 p.m., the security dealer provides a fair value quote at which the swap agreement is valued. The swap’s market value is then adjusted to include dividends accrued, financing charges and/or interest associated with the swap agreements.

Investments for which market quotations are not readily available are fair valued as determined in good faith by Rydex Investments under the direction of the Board of Trustees using methods established or ratified by the Board of Trustees. These methods include, but are not limited to:(i) general information as to how these securities and assets trade; (ii) in connection with futures contracts and options thereupon, and other derivative investments, information as to how (a) these contracts and other derivative investments trade in the futures or other derivative markets, respectively, and (b) the securities underlying these contracts and other derivative investments trade in the cash market; and (iii) other information and considerations, including current values in related markets.

B. Securities transactions are recorded on the trade date for financial reporting purposes. Realized gains and losses from securities transactions are recorded using the identified cost basis. Proceeds from lawsuits related to investment holdings are recorded as realized gains in the respective Fund. Dividend income is recorded on the ex-dividend date, net of applicable taxes withheld by foreign countries. Taxable non-cash dividends are recorded as dividend income. Interest income, including amortization of premiums and accretion of discount, is accrued on a daily basis. Distributions received from investments in REITs are recorded as dividend income on the ex-dividend date, subject to reclassification upon notice of the character of such distribution by the issuer.

C. Net investment income is computed and dividends are declared daily in the Government Long Bond 1.2x Strategy Fund and the U.S. Government Money Market Fund. Dividends are reinvested in additional shares unless shareholders request payment in cash. Distributions of net investment income, in the remaining Funds and distributions of net realized capital gains, if any, in all Funds are declared at least annually and recorded on the ex-dividend date and are determined in accordance with income tax regulations which may differ from U.S. generally accepted accounting principles.

D. When a Fund engages in a short sale of an equity or fixed income security, an amount equal to the proceeds is reflected as an asset and an equivalent liability. The amount of the liability is subsequently marked-to-market to reflect the market value of the short sale. The Fund maintains a segregated account of cash and/or securities as collateral for short sales. The Fund is exposed to

market risk based on the amount, if any, that the market value of the security exceeds the market value of the securities in the segregated account. Fees, if any, paid to brokers to borrow securities in connection with short sales are considered part of the cost of short sale transactions. In addition, the Fund must pay out the dividend rate of the equity or coupon rate of the treasury obligation to the lender and records this as an expense. Short dividends or interest expense is a cost associated with the investment objective of short sales transactions, rather than an operational cost associated with the day-to-day management of any mutual fund. The Funds may also receive rebate income from the broker resulting from the investment of the proceeds from securities sold short.

E. Upon the purchase of an option by a Fund, the premium paid is recorded as an investment, the value of which is marked-to-market daily. When a purchased option expires, that Fund will realize a loss in the amount of the cost of the option. When a Fund enters into a closing sale transaction, that Fund will realize a gain or loss depending on whether the proceeds from the closing sale transaction are greater or less than the cost of the option. When a Fund exercises a put option, that Fund will realize a gain or loss from the sale of the underlying security and the proceeds from such sale will be decreased by the premium originally paid. When a Fund exercises a call option, the cost of the security purchased by that Fund upon exercise will be increased by the premium originally paid. When a Fund writes (sells) an option, an amount equal to the premium received is entered in that Fund’s accounting records as an asset and equivalent liability. The amount of the liability is subsequently marked-to-market to reflect the current value of the option written. When a written option expires, or if a Fund enters into a closing purchase transaction, that Fund realizes a gain (or loss if the cost of a closing purchase transaction exceeds the premium received when the option was sold).

F. The Trust may enter into stock and bond index futures contracts and options on such futures contracts. Futures contracts are contracts for delayed delivery of securities at a specified future delivery date and at a specific price. Upon entering into a contract, a Fund deposits and maintains as collateral such initial margin as required by the exchange on which the transaction is effected. Pursuant to the contract, the Fund agrees to receive from or pay to the broker an amount of cash equal to the daily fluctuation in value of the contract. Such receipts or payments are known as variation margin and are recorded by the Fund as unrealized gains or losses. When the contract is closed, the Fund records a realized gain or loss equal to the difference between the value of the contract at the time it was opened and the value at the time it was closed.

168    |    THE RYDEX SERIES FUNDS ANNUAL REPORT

NOTES TO FINANCIAL STATEMENTS (continued)

G. The Trust may enter into domestic equity index and domestic currency index swap agreements, which are over the-counter contracts in which one party agrees to make periodic payments based on the change in market value of a specified equity security, basket of equity securities, equity index or domestic currency index, in return for periodic payments based on a fixed or variable interest rate or the change in market value of a different equity security, basket of equity securities, equity index or domestic currency index. Swap agreements are used to obtain exposure to an equity or market without owning or taking physical custody of securities. The swap agreements are marked-to-market daily based upon quotations from market makers and the change, if any, is recorded as unrealized gain or loss. Payments received or made as a result of an agreement or termination of the agreement are recognized as realized gains or losses.

The Trust may enter into credit default swap agreements where one party, the protection buyer, makes an upfront or periodic payment to a counterparty, the protection seller, in exchange for the right to receive a contingent payment. The maximum amount of the payment may equal the notional amount, at par, of the underlying index or security as a result of a related credit event. Upfront payments received or made by a Fund, are amortized over the expected life of the agreement. Periodic payments received or paid by a Fund are recorded as realized gains or losses. The credit default contracts are marked-to-market daily based upon quotations from market makers and the change, if any, is recorded as unrealized gain or loss. Payments received or made as a result of a credit event or termination of the contract are recognized, net of a proportional amount of the upfront payment, as realized gains or losses.

H. Investment securities and other assets and liabilities denominated in foreign currencies are translated into U.S. dollar amounts at the date of valuation. Purchases and sales of investment securities and income and expense items denominated in foreign currencies are translated into U.S. dollar amounts on the respective dates of such transactions. The Trust does not isolate that portion of the results of operations resulting from changes in foreign exchange rates on investments from the fluctuations arising from changes in market prices of securities held. Such fluctuations are included with the net realized and unrealized gain and loss from investments.

Reported net realized foreign exchange gains or losses arise from sales of foreign currencies and currency gains or losses realized between the trade and settlement dates on investment transactions. Net unrealized exchange gains and losses arise from changes in the fair values of assets and liabilities other than investments in securities at the fiscal period end, resulting from changes in exchange rates.

I. The Trust may enter into forward currency contracts primarily to hedge against foreign currency exchange rate risks on its non-U.S. dollar denominated investment securities. When entering into a forward currency contract, a Fund agrees to receive or deliver a fixed quantity of foreign currency for an agreed-upon price on an agreed future date. These contracts are valued daily and the corresponding unrealized gain or loss on the contracts, as measured by the difference between the forward foreign exchange rates at the dates of entry into the contracts and the forward rates at the reporting date, is included in the Statement of Assets and Liabilities. Realized and unrealized gains and losses are included in the Statement of Operations. At March 31, 2009 none of the Funds held forward currency contracts.

J. Certain U.S. Government and Agency Obligations are traded on a discount basis; the interest rates shown on the Schedules of Investments reflect the effective rates at the time of purchase by the Funds. Other securities bear interest at the rates shown, payable at fixed dates through maturity. The Funds may also purchase American Depository Receipts, U.S. Government securities, and enter into repurchase agreements.

K. The Funds may leave cash overnight in their cash account with the custodian, U.S. Bank. Periodically, a Fund may have cash due to the custodian bank as an overdraft balance. A fee is incurred on this overdraft, calculated by multiplying the overdraft by a rate based on the federal funds rate. Segregated cash with the broker is held as collateral for investments in derivative instruments such as futures contracts and index swap agreements.

L. Interest and dividend income, most expenses, all realized gains and losses, and all unrealized gains and losses are allocated to the Classes based upon the value of the outstanding shares in each Class. Certain costs, such as distribution fees relating to A-Class shares and H-Class shares and service and distribution fees related to Advisor Class shares and C-Class shares, are charged directly to specific Classes. In addition, certain expenses have been allocated to the individual Funds in the Trust on a pro rata basis upon the respective aggregate net assets of each Fund included in the Trust.

M. Throughout the normal course of business, the Funds enter into contracts that contain a variety of representations and warranties which provide general indemnifications. The Funds’ maximum exposure under these arrangements is unknown, as this would involve future claims that may be made against the Funds and/or their affiliates that have not yet occurred. However, based on experience, the Funds expect the risk of loss to be remote.

THE RYDEX SERIES FUNDS ANNUAL REPORT    |    169

NOTES TO FINANCIAL STATEMENTS (continued)

2.   Financial Instruments

As part of its investment strategy, the Trust may utilize short sales and a variety of derivative instruments including, options, futures, options on futures and swap agreements. These investments involve, to varying degrees, elements of market risk and risks in excess of the amounts recognized in the Statements of Assets and Liabilities.

A short sale is a transaction in which a Fund sells an equity or fixed income security it does not own. If the security sold short decreases in price between the time the Fund sells the security and closes its short position, that Fund will realize gain on the transaction. Conversely, if the security increases in price during the period, that Fund will realize a loss on the transaction. The risk of such price increases is the principal risk of engaging in short sales.

The risk associated with purchasing options is limited to the premium originally paid. The risk in writing a covered call option is that a Fund may forego the opportunity for profit if the market price of the underlying security increases and the option is exercised. The risk in writing a covered put option is that a Fund may incur a loss if the market price of the underlying security decreases and the option is exercised. In addition, there is the risk that a Fund may not be able to enter into a closing transaction because of an illiquid secondary market or, for over-the-counter options, because of the counterparty’s inability to perform.

There are several risks in connection with the use of futures contracts. Risks may be caused by an imperfect correlation between movements in the price of the instruments and the price of the underlying securities. In addition, there is the risk that a Fund may not be able to enter into a closing transaction because of an illiquid secondary market.

There are several risks associated with the use of swap agreements that are different from those associated with ordinary portfolio securities transactions, due to the fact they could be considered illiquid. Although the Trust will not enter into any swap agreement unless Rydex Investments believes that the other party to the transaction is creditworthy, the Funds bear the risk of loss of the amount expected to be received under a swap agreement in the event of the default or bankruptcy of the agreement counterparty.

There are several risks associated with credit default swaps. Credit default swaps involve the exchange of a fixed-rate premium for protection against the loss in value of an underlying debt instrument in the event of a defined credit event (such as payment default or bankruptcy). Under the terms of the swap, one party acts as a “guarantor,” receiving a periodic payment that is a fixed percentage applied to a notional principal amount. In return, the party agrees to purchase the notional

amount of the underlying instrument, at par, if a credit event occurs during the term of the swap. A Fund may enter into credit default swaps in which that Fund or its counterparty acts as guarantor. By acting as the guarantor of a swap, that Fund assumes the market and credit risk of the underlying instrument, including liquidity and loss of value.

In conjunction with the use of short sales, options, futures, options on futures and swap agreements, the Funds are required to maintain collateral in various forms. The Funds use, where appropriate, depending on the financial instrument utilized and the broker involved, margin deposits at the broker, cash and/or securities segregated at the custodian bank, discount notes, or the repurchase agreements allocated to each Fund.

The risks inherent in the use of short sales, options, futures contracts, options on futures contracts and swap agreements, include i) adverse changes in the value of such instruments; ii) imperfect correlation between the price of the instruments and movements in the price of the underlying securities, indices, or futures contracts; iii) the possible absence of a liquid secondary market for any particular instrument at any time; and iv) the potential of counterparty default. The Trust has established counterparty credit guidelines and enters into transactions only with financial institutions of investment grade or better. The Trust monitors the counterparty credit risk.

3.   Disclosures about Credit Derivatives

Effective March 31, 2009, the Funds adopted Statement of Financial Accounting Standard (“FAS”) 133-1 and FIN 45-4, “Disclosures about Credit Derivatives and Certain Guarantees: An Amendment of FAS 133 and FIN 45” (the “Position”), which is effective for reporting periods ending after November 15, 2008. The FSP requires enhanced disclosures about credit derivatives and guarantees.

In accordance with its principal investment strategy, the High Yield Strategy Fund enters into credit default swaps as a seller of protection primarily to gain exposure similar to the high yield bond market. Credit default swaps are instruments which allow for the full or partial transfer of third party credit risk, with respect to a particular entity or entities, from one counterparty to the other. A seller of credit default swaps is selling credit protection or assuming credit risk with respect to the underlying entity or entities. If a credit event occurs, as defined under the terms of the swap agreement, the Fund will either (i) pay to the buyer of protection an amount equal to the notional amount of the swap and take delivery of the referenced obligation or underlying securities compromising the referenced index or (ii) pay a net settlement amount in the form of cash or securities equal to the notional amount of the swap less the recovery value of the referenced obligation or underlying

170    |    THE RYDEX SERIES FUNDS ANNUAL REPORT

NOTES TO FINANCIAL STATEMENTS (continued)

securities compromising the referenced index. The Notional Principal reflects the maximum potential amount the Fund could be required to make as a seller of credit protection if a credit event occurs. As the seller of protection, the Fund receives periodic premium payments from the counterparty and may also receive or pay an upfront premium that serves as an adjustment to the stated periodic premium. In the event a credit event occurs, an adjustment will be made to any upfront premiums that were received by a reduction of 1.00% per credit event.

The quoted market prices and resulting market values for credit default swap agreements on securities and credit indices serve as an indicator of the current status of the payment/performance risk and represent the likelihood of an expected liability (or profit) for the credit derivative should the notional amount of the swap agreement been closed/sold as of the period end. Increasing market values, in absolute terms when compared to the notional amount of the swap, represent a deterioration of the referenced entity’s credit soundness and a greater likelihood or risk of default or other credit event occurring as defined under the terms of the agreement.

The table on page 121 included in the Schedule of Investments summarizes the information with regard to sold protection on credit default swap contracts as of March 31, 2009.

4.   Fees And Other Transactions With Affiliates

Under the terms of an investment advisory contract, the Trust pays Rydex Investments investment advisory fees calculated at an annualized rate of 0.50% of the average daily net assets of the Government Long Bond 1.2x Strategy Fund and U.S. Government Money Market Fund; 0.75% of the average daily net assets of the Nova Fund, S&P 500 Fund, High Yield Strategy Fund, Inverse High Yield Strategy Fund, NASDAQ-100^® Fund, Russell 2000 ^® Fund, Japan 2x Strategy Fund, Small-Cap Value Fund, Mid-Cap Value Fund, Large-Cap Value Fund, Small-Cap Growth Fund, Mid-Cap Growth Fund, and Large-Cap Growth Fund; and 0.90% of the average daily net assets of the remaining Funds covered in this report.

Rydex Investments provides transfer agent and administrative services to the Trust for fees calculated at an annualized rate of 0.20% of the average daily net assets of the Government Long Bond 1.2x Strategy Fund and U.S. Government Money Market Fund; and 0.25% of the average daily net assets for the remaining Funds covered in this report.

Rydex Investments also provides accounting services to the Trust for fees calculated at an annualized rate of 0.10% on the first $250 million of the average daily net assets, 0.075% on the next $250 million of the average

daily net assets, 0.05% on the next $250 million of the average daily net assets, and 0.03% on the average daily net assets over $750 million of each Fund.

Rydex Investments engages external service providers to perform other necessary services to the Trust, such as accounting and auditing services, legal services, printing and mailing, etc., on a pass-through basis. Such expenses vary from Fund to Fund and are allocated to the Funds based on relative net assets. Organizational and setup costs for new Funds are paid by the Trust.

The Trust has adopted a Distribution and Shareholder Services Plan applicable to Advisor Class shares and a Distribution Plan applicable to A-Class shares and H-Class shares for which the Distributor and other firms that provide distribution and/or shareholder services (“Service Providers”) may receive compensation. If a Service Provider provides distribution services, the Trust will pay distribution fees to the Distributor at an annual rate not to exceed 0.25% of average daily net assets, pursuant to Rule 12b-1 of the 1940 Act. The Distributor, in turn, will pay the Service Provider out of its fees. The Distributor may, at its discretion, retain a portion of such payments to compensate itself for distribution services. With regard to Advisor Class shares only, if a Service Provider provides shareholders services, the Distributor will receive shareholder servicing fees from the Trust at an annual rate not to exceed 0.25% of average daily net assets. The Distributor, in turn, will compensate Service Providers for providing such services, while retaining a portion of such payments to compensate itself for shareholder services it performs.

The Trust has adopted a separate Distribution and Shareholder Services Plan applicable to its C-Class shares that allows the Funds to pay annual distribution and service fees of 1.00% of the Funds’ C-Class shares average daily net assets. The annual 0.25% service fee compensates the shareholder’s financial advisor for providing on-going services to the shareholder. The annual 0.75% distribution fee reimburses the Distributor for paying the shareholder’s financial advisor an ongoing sales commission. The Distributor advances the first year’s service and distribution fees to the Financial Advisor. The Distributor retains the service and distribution fees on accounts with no authorized dealer of record.

Rydex Investments and its affiliates have voluntarily agreed to waive their fees, including but not limited to 12b-1 and shareholder service fees and investment advisory fees, in an attempt to maintain a positive net yield for the U.S. Government Money Market Fund. Rydex Investments or its affiliates may terminate this voluntary waiver at any time upon notice to the Fund. When 12b-1 and shareholder services fees are waived, dealer compensation will be reduced to the extent of such waiver.

THE RYDEX SERIES FUNDS ANNUAL REPORT    |    171

NOTES TO FINANCIAL STATEMENTS (continued)

During the year ended March 31, 2009, the Distributor retained sales charges of $688,103 relating to sales of A-Class shares of the Trust.

During the year ended March 31, 2009, Rydex Investments reimbursed the Japan 2x Strategy Fund related to losses on amounts receivable from Lehman Brothers Finance S.A. and certain of its affiliates.

Certain officers and trustees of the Trust are also officers of Rydex Investments and the Distributor.

5.   Federal Income Tax Information

The Funds intend to comply with the provisions of Subchapter M of the Internal Revenue Code applicable to regulated investment companies and will distribute substantially all net investment income and capital gains to shareholders. Therefore, no Federal income tax provision has been recorded.

Tax positions taken or expected to be taken in the course of preparing the Funds’ tax returns are evaluated to determine whether the tax positions are “more-likely-than-not” of being sustained by the applicable tax authority. Tax positions not deemed to meet the more-likely-than-not threshold would be recorded as a tax benefit or expense in the current year. Management has analyzed the Funds’ tax positions taken on federal income tax returns for all open tax years (fiscal years 2006 – 2009), and has concluded that no provision for income tax was required in the Funds’ financial statements.
Income and capital gain distributions are determined in accordance with Federal income tax regulations, which may differ from U.S. generally accepted accounting principles. These differences are primarily due to differing treatments for derivatives, foreign currency transactions, losses deferred due to wash sales, losses deferred due to post-October losses, and excise tax regulations.

Permanent book and tax basis differences, if any, will result in reclassifications. This may include net operating losses not utilized during the current period, capital loss carryforward expired, and the utilization of earnings and profits distributed to the shareholders on redemption of shares as part of the dividends paid deduction for income tax purposes. These reclassifications have no effect on net assets or net asset values per share. Any undistributed ordinary income or long-term capital gain remaining at fiscal year end is distributed in the following year.

The Funds’ tax basis capital gains and losses are determined only at the end of each fiscal year. Tax basis capital losses in excess of capital gains are carried forward to offset future net capital gains. For the year ended March 31, 2009, the following Funds expired or offset net realized capital gains with capital losses from previous years:

Fund	Amount
Nova Fund	$	37,911,293
Inverse S&P 500 Strategy Fund		116,699,463
Inverse NASDAQ-100® Strategy Fund		60,215,201
Inverse Mid-Cap Strategy Fund		1,225,836
Inverse Russell 2000® Strategy Fund		10,665,086
Government Long Bond 1.2x Strategy Fund		5,358,506
Inverse Government Long Bond Strategy Fund		1,582,486
Inverse High Yield Strategy Fund		292,718
U.S. Government Money Market Fund		124,003

The tax character of distributions paid during the year ended March 31, 2009, was as follows:

	Ordinary		Long-Term		Total
Fund	Income		Capital Gain		Distributions
Nova Fund	$	432,003	$	—	$	432,003
S&P 500 Fund		408,688		—		408,688
Inverse S&P 500 Strategy Fund		3,989,079		—		3,989,079
NASDAQ-100® Fund		—		—		—
Inverse NASDAQ-100® Strategy Fund		695,608		—		695,608
Mid-Cap 1.5x Strategy Fund		—		1,334,272		1,334,272
Inverse Mid-Cap Strategy Fund		39,999		—		39,999
Russell 2000® 1.5x Strategy Fund		—		—		—
Russell 2000® Fund		—		—		—
Inverse Russell 2000® Strategy Fund		330,000		—		330,000
Government Long Bond 1.2x Strategy Fund		1,908,825		—		1,908,825
Inverse Government Long Bond Strategy Fund		—		—		—
High Yield Strategy Fund		3,250,000		—		3,250,000

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NOTES TO FINANCIAL STATEMENTS (continued)

	Ordinary		Long-Term		Total
Fund	Income		Capital Gain		Distributions
Inverse High Yield Strategy Fund	$	939,842	$	—	$	939,842
Europe 1.25x Strategy Fund		—		—		—
Japan 2x Strategy Fund		3,895		—		3,895
Small-Cap Value Fund		222,000		—		222,000
Mid-Cap Value Fund		—		—		—
Large-Cap Value Fund		2,504,591		—		2,504,591
Small-Cap Growth Fund		—		—		—
Mid-Cap Growth Fund		—		—		—
Large-Cap Growth Fund		—		—		—
U.S. Government Money Market Fund		12,579,007		—		12,579,007

The tax character of distributions paid during the year ended March 31, 2008, was as follows:

	Ordinary		Long-Term		Total
Fund	Income		Capital Gain		Distributions
Nova Fund	$	4,300,003	$	—	$	4,300,003
S&P 500 Fund		150,000		—		150,000
Inverse S&P 500 Strategy Fund		12,400,002		—		12,400,002
NASDAQ-100® Fund		—		—		—
Inverse NASDAQ-100® Strategy Fund		3,149,998		—		3,149,998
Mid-Cap 1.5x Strategy Fund		653,518		1,231,995		1,885,513
Inverse Mid-Cap Strategy Fund		419,827		—		419,827
Russell 2000® 1.5x Strategy Fund		105,309		—		105,309
Russell 2000® Fund		34,161		—		34,161
Inverse Russell 2000® Strategy Fund		2,250,001		—		2,250,001
Government Long Bond 1.2x Strategy Fund		2,568,216		—		2,568,216
Inverse Government Long Bond Strategy Fund		15,800,011		—		15,800,011
High Yield Strategy Fund		350,000		—		350,000
Inverse High Yield Strategy Fund		—		—		—
Europe 1.25x Strategy Fund		2,999,004		—		2,999,004
Japan 2x Strategy Fund		—		—		—
Small-Cap Value Fund		54,563		—		54,563
Mid-Cap Value Fund		276,950		—		276,950
Large-Cap Value Fund		4,835,622		—		4,835,622
Small-Cap Growth Fund		418,525		233,443		651,968
Mid-Cap Growth Fund		840,286		227,226		1,067,512
Large-Cap Growth Fund		611,183		221,395		832,578
U.S. Government Money Market Fund		43,732,401		—		43,732,401

The tax character of distributable earnings/(accumulated losses) at March 31, 2009, was as follows:

	Undistributed		Undistributed		Net Unrealized
	Ordinary		Long-Term		Appreciation			Capital Loss
Fund	Income		Capital Gain		(Depreciation)			Carryforward
Nova Fund	$	608,840	$	—	$	(17,265,552	)	$	(155,483,327	)1
S&P 500 Fund		290,128		—		(46,837,759	)		(21,239,591	)1
Inverse S&P 500 Strategy Fund		387,063		—		(21,840,793	)		(168,855,659	)1
NASDAQ-100® Fund		—		—		(43,264,791	)		(614,784,964	)1
Inverse NASDAQ-100® Strategy Fund		—		—		(2,895,213	)		(64,369,132	)1
Mid-Cap 1.5x Strategy Fund		—		—		(4,304,215	)		(12,924,888	)1
Inverse Mid-Cap Strategy Fund		—		—		(323,756	)		(4,706,587	)1
Russell 2000® 1.5x Strategy Fund		—		—		(7,381,149	)		(14,184,522	)1
Russell 2000® Fund		—		—		(5,197,666	)		(7,015,307	)1
Inverse Russell 2000® Strategy Fund		—		—		194,499			(20,933,916	)1
Government Long Bond 1.2x Strategy Fund		187,944		—		(3,022,299	)		(135,502	)1
Inverse Government Long Bond Strategy Fund		—		—		366,363			(253,719,415	)1
High Yield Strategy Fund		—		—		(5,157,219	)		(9,496,018	)1

THE RYDEX SERIES FUNDS ANNUAL REPORT    |    173

NOTES TO FINANCIAL STATEMENTS (continued)

	Undistributed		Undistributed		Net Unrealized
	Ordinary		Long-Term		Appreciation			Capital Loss
Fund	Income		Capital Gain		(Depreciation)			Carryforward
Inverse High Yield Strategy Fund	$	67,069	$	—	$	605,483		$	—
Europe 1.25x Strategy Fund		—		—		(1,715,830	)		(15,191,539	)1
Japan 2x Strategy Fund		—		—		—			(2,399,878	)1
Small-Cap Value Fund		34,123		—		(4,548,906	)		(13,867,819	)1
Mid-Cap Value Fund		143,550		—		(2,139,905	)		(1,714,006	)1
Large-Cap Value Fund		509,394		—		(3,798,024	)		(3,322,819	)1
Small-Cap Growth Fund		—		—		(2,428,649	)		(5,805,747	)1
Mid-Cap Growth Fund		—		—		(5,425,251	)		(7,826,447	)1
Large-Cap Growth Fund		—		—		(6,143,072	)		(6,035,327	)1
U.S. Government Money Market Fund		—		—		—			(7,014	)1

Capital Loss Carryforward amounts may be limited due to Treasury Regulations.

¹ A summary of the expiration of the aforementioned Capital Loss Carryforward is as follows:

																									Total
	Expires in			Expires in			Expires in			Expires in			Expires in			Expires in			Expires in			Expires in			Capital Loss
Fund	2010			2011			2012			2013			2014			2015			2016			2017			Carryforward
Nova Fund	$	(41,531,696	)	$	(65,514,853	)	$	—		$	—		$	—		$	—		$	—		$	(48,436,778	)	$	(155,483,327	)
S&P 500 Fund		—			—			—			—			—			—			—			(21,239,591	)		(21,239,591	)
Inverse S&P 500 Strategy Fund		—			—			(5,725,764	)		(65,527,919	)		(37,877,636	)		(59,724,340	)		—			—			(168,855,659	)
NASDAQ-100® Fund		(184,833,850	)		(302,251,932	)		(60,857,728	)		(44,673,639	)		—			—			—			(22,167,815	)		(614,784,964	)
Inverse NASDAQ-100® Strategy Fund		—			—			(19,380,747	)		(3,723,075	)		(17,351,209	)		(15,380,081	)		(8,534,020	)		—			(64,369,132	)
Mid-Cap 1.5x Strategy Fund		—			—			—			—			—			—			—			(12,924,888	)		(12,924,888	)
Inverse Mid-Cap Strategy Fund		—			—			—			—			—			(3,855,787	)		(850,800	)		—			(4,706,587	)
Russell 2000® 1.5x Strategy Fund		—			—			—			—			—			(101,313	)		—			(14,083,209	)		(14,184,522	)
Russell 2000® Fund		—			—			—			—			—			—			—			(7,015,307	)		(7,015,307	)
Inverse Russell 2000® Strategy Fund		—			—			—			—			—			(13,474,576	)		(7,459,340	)		—			(20,933,916	)
Government Long Bond 1.2x Strategy Fund		—			—			—			—			—			—			(135,502	)		—			(135,502	)
Inverse Government Long Bond Strategy Fund		(3,660,853	)		—			(16,998,940	)		(63,759,468	)		(82,212,943	)		(60,731,802	)		(2,188,094	)		(24,167,315	)		(253,719,415	)
High Yield Strategy Fund		—			—			—			—			—			—			(270,230	)		(9,225,788	)		(9,496,018	)
Europe 1.25x Strategy Fund		—			—			—			—			—			—			—			(15,191,539	)		(15,191,539	)
Japan 2x Strategy Fund		—			—			—			—			—			—			(108,129	)		(2,291,749	)		(2,399,878	)
Small-Cap Value Fund		—			—			—			—			—			—			(2,493,199	)		(11,374,620	)		(13,867,819	)
Mid-Cap Value Fund		—			—			—			—			—			—			—			(1,714,006	)		(1,714,006	)
Large-Cap Value Fund		—			—			—			—			—			—			—			(3,322,819	)		(3,322,819	)
Small-Cap Growth Fund		—			—			—			—			—			—			—			(5,805,747	)		(5,805,747	)
Mid-Cap Growth Fund		—			—			—			—			—			—			—			(7,826,447	)		(7,826,447	)
Large-Cap Growth Fund		—			—			—			—			—			—			—			(6,035,327	)		(6,035,327	)
U.S. Government Money Market Fund		—			—			—			—			(3,736	)		(3,278	)		—			—			(7,014	)

At March 31, 2009, the cost of securities for Federal income tax purposes, the aggregate gross unrealized gain for all securities for which there was an excess of value over tax cost and the aggregate gross unrealized loss for all securities for which there was an excess of tax cost over value were as follows:

			Tax		Tax			Net
	Tax		Unrealized		Unrealized			Unrealized
Fund	Cost		Gain		Loss			Gain (Loss)
Nova Fund	$	65,484,052	$	1,679,376	$	(18,999,877	)	$	(17,320,501	)
S&P 500 Fund		215,654,551		—		(47,211,609	)		(47,211,609	)
Inverse S&P 500 Strategy Fund		225,295,487		191,329		—			191,329
NASDAQ-100® Fund		453,969,285		41,851,821		(85,340,044	)		(43,488,223	)

174    |    THE RYDEX SERIES FUNDS ANNUAL REPORT

NOTES TO FINANCIAL STATEMENTS (continued)

			Tax		Tax			Net
	Tax		Unrealized		Unrealized			Unrealized
Fund	Cost		Gain		Loss			Gain (Loss)
Inverse NASDAQ-100® Strategy Fund	$	33,538,392	$	—	$	—		$	—
Mid-Cap 1.5x Strategy Fund		15,298,795		—		(4,640,489	)		(4,640,489	)
Inverse Mid-Cap Strategy Fund		7,298,613		—		—			—
Russell 2000® 1.5x Strategy Fund		21,674,914		67,647		(7,570,098	)		(7,502,451	)
Russell 2000® Fund		28,144,975		—		(5,189,993	)		(5,189,993	)
Inverse Russell 2000® Strategy Fund		30,645,907		—		—			—
Government Long Bond 1.2x Strategy Fund		69,935,862		—		(3,022,299	)		(3,022,299	)
Inverse Government Long Bond Strategy Fund		449,696,337		412,569		(46,206	)		366,363
High Yield Strategy Fund		217,763,763		—		—			—
Inverse High Yield Strategy Fund		10,901,856		—		—			—
Europe 1.25x Strategy Fund		7,078,153		—		(1,767,281	)		(1,767,281	)
Japan 2x Strategy Fund		3,331,032		—		—			—
Small-Cap Value Fund		26,937,059		—		(4,548,906	)		(4,548,906	)
Mid-Cap Value Fund		7,055,071		—		(2,139,905	)		(2,139,905	)
Large-Cap Value Fund		9,861,538		—		(3,798,024	)		(3,798,024	)
Small-Cap Growth Fund		12,676,942		—		(2,428,649	)		(2,428,649	)
Mid-Cap Growth Fund		25,157,104		—		(5,425,251	)		(5,425,251	)
Large-Cap Growth Fund		23,248,791		—		(6,143,072	)		(6,143,072	)
U.S. Government Money Market Fund		1,623,809,448		—		—			—

Post-October Losses Deferred

Pursuant to Federal income tax regulations applicable to investment companies, the Funds have elected to treat net capital losses realized between November 1 and March 31 of each year as occurring on the first day of the following tax year. For the year ended March 31, 2009, the following amounts of realized capital losses reflected in the accompanying financial statements will not be recognized for Federal income tax purposes until April 1, 2009:

Fund	Currency			Capital
Nova Fund	$	—		$	(15,755,261	)
S&P 500 Fund		—			(11,236,658	)
NASDAQ-100® Fund		—			(23,613,764	)
Mid-Cap 1.5x Strategy Fund		—			(6,700,219	)
Inverse Mid-Cap Strategy Fund		—			(2,602,612	)
Russell 2000® 1.5x Strategy Fund		—			(3,345,890	)
Russell 2000® Fund		—			(4,976,709	)
Inverse Russell 2000® Strategy Fund		—			(3,061,103	)
Inverse Government Long Bond Strategy Fund		—			(118,064,538	)
High Yield Strategy Fund		—			(11,667,270	)
Inverse High Yield Strategy Fund		—			(469,036	)
Europe 1.25x Strategy Fund		(165,064	)		(2,042,865	)
Japan 2x Strategy Fund		—			(1,709,466	)
Small-Cap Value Fund		—			(9,076,879	)
Mid-Cap Value Fund		—			(3,447,273	)
Large-Cap Value Fund		—			(19,598,354	)
Small-Cap Growth Fund		—			(194,314	)
Mid-Cap Growth Fund		—			(11,467,345	)
Large-Cap Growth Fund		—			(1,781,696	)

6.   Repurchase Agreements

The Funds transfer uninvested cash balances into a single joint account, the daily aggregate balance of which is invested in one or more repurchase agreements collateralized by obligations of the U.S. Treasury and U.S. Government Agencies. The collateral is in the possession of the Funds’ custodian and is evaluated to ensure that its market value exceeds at a minimum, 102% of the original face amount of the repurchase agreements. Each Fund holds a pro rata share of the collateral based on the dollar amount of the repurchase agreement entered into by each Fund.

The repurchase agreements executed by the joint account and outstanding at March 31, 2009, were as follows:

Counterparty	Terms of Agreement	Face Value		Market Value		Repurchase Price
Credit Suisse Group	0.15% due 04/01/09	$	1,148,344,725	$	1,148,344,725	$	1,148,349,509
Mizuho Financial Group, Inc.	0.16% due 04/01/09		424,587,235		424,587,235		424,589,122
Morgan Stanley	0.05% due 04/01/09		28,000,000		28,000,000		28,000,039
				$	1,600,931,960	$	1,600,938,670

THE RYDEX SERIES FUNDS ANNUAL REPORT    |    175

NOTES TO FINANCIAL STATEMENTS (continued)

At March 31, 2009, the collateral for the repurchase agreements in the joint account was as follows:

Security Type	Maturity Dates	Range of Rates		Par Value		Market Value
U.S. Treasury Notes	07/15/10 - 08/15/17		1.13% - 4.75%	$	990,145,000	$	1,082,422,034
U.S. Treasury Bills	07/30/09 - 09/10/09		—		433,606,900		433,079,078
U.S. Treasury Bond	02/15/38		4.38%		78,470,000		88,892,208
U.S. TIP Note	07/15/14		2.00%		24,573,000		28,560,324
						$	1,632,953,644

In the event of counterparty default, the Funds have the right to collect the collateral to offset losses incurred. There is potential loss to the Funds in the event the Funds are delayed or prevented from exercising their rights to dispose of the collateral securities, including the risk of a possible decline in the value of the underlying securities during the period while the Funds seek to assert their rights. The Funds’ investment advisor, acting under the supervision of the Board of Trustees, reviews the value of the collateral and the creditworthiness of those banks and dealers with which the Funds enter into repurchase agreements to evaluate potential risks.

7.   Fair Value Measurement

Effective April 1, 2008, the Funds adopted FAS 157 Fair Value Measurement which provided enhanced guidance for using fair value to measure assets and liabilities. The standard requires companies to provide expanded information about the assets and liabilities measured at fair value and the potential effect of these fair valuations on an entity’s financial performance. The standard does not expand the use of fair value in any new circumstances, but provides clarification on acceptable fair valuation methods and applications.

Various inputs may be used to determine the value of the fund’s investments. These inputs are summarized in three broad levels:

Level 1 — quoted prices in active markets for identical securities.

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

Level 3 — significant unobservable inputs (including the fund’s own 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 summarizes the inputs used to value the Funds’ net assets at March 31, 2009:

			Level 1					Level 2
	Level 1		Other			Level 2		Other
	Investments		Financial			Investments		Financial
Fund	In Securities		Instruments		*	In Securities		Instruments		*	Total
Assets
Nova Fund	$	48,163,551	$	2,268,376		$	—	$	54,949		$	50,486,876
S&P 500 Fund		168,442,942		—			—		373,850			168,816,792
Inverse S&P 500 Strategy Fund		30,664,995		—			194,821,821		—			225,486,816
NASDAQ-100® Fund		410,481,062		—			—		223,432			410,704,494
Inverse NASDAQ-100® Strategy Fund		33,538,392		12,374			—		—			33,550,766
Mid-Cap 1.5x Strategy Fund		10,658,306		89,938			—		354,176			11,102,420
Inverse Mid-Cap Strategy Fund		7,298,613		—			—		23,516			7,322,129
Russell 2000® 1.5x Strategy Fund		14,172,463		—			—		134,028			14,306,491
Russell 2000® Fund		22,954,982		—			—		2,102			22,957,084
Inverse Russell 2000® Strategy Fund		30,645,907		—			—		220,410			30,866,317
Government Long Bond 1.2x Strategy Fund		66,913,563		1,027,941			—		—			67,941,504
Inverse Government Long Bond Strategy Fund		51,449,028		—			398,613,672		—			450,062,700
High Yield Strategy Fund		217,763,763		498,570			—		—			218,262,333
Inverse High Yield Strategy Fund		10,901,856		—			—		605,483			11,507,339
Europe 1.25x Strategy Fund		5,310,872		—			—		99,258			5,410,130
Japan 2x Strategy Fund		3,331,032		—			—		953,527			4,284,559
Small-Cap Value Fund		22,388,153		—			—		—			22,388,153

176    |    THE RYDEX SERIES FUNDS ANNUAL REPORT

NOTES TO FINANCIAL STATEMENTS (continued)

			Level 1					Level 2
	Level 1		Other			Level 2		Other
	Investments		Financial			Investments		Financial
Fund	In Securities		Instruments		*	In Securities		Instruments		*	Total
Assets
Mid-Cap Value Fund	$	4,915,166	$	—		$	—	$	—		$	4,915,166
Large-Cap Value Fund		6,063,514		—			—		—			6,063,514
Small-Cap Growth Fund		10,248,293		—			—		—			10,248,293
Mid-Cap Growth Fund		19,731,853		—			—		—			19,731,853
Large-Cap Growth Fund		17,105,719		—			—		—			17,105,719
U.S. Government Money Market Fund		487,572,645		—			1,136,236,803		—			1,623,809,448
Liabilities
Nova Fund		—		—			—		—			—
S&P500 Fund		—		222,490			—		—			222,490
Inverse S&P500 Strategy Fund		—		418,021			—		22,032,122			22,450,143
NASDAQ-100® Fund		—		148,814			—		—			148,814
Inverse NASDAQ-100® Strategy Fund		—		—			—		2,895,213			2,895,213
Mid-Cap 1.5x Strategy Fund		—		—			—		17,902			17,902
Inverse Mid-Cap Strategy Fund		—		9,751			—		347,272			357,023
Russell 2000® 1.5x Strategy Fund		—		12,576			—		12,726			25,302
Russell 2000® Fund		—		396,289			—		9,775			406,064
Inverse Russell 2000® Strategy Fund		—		32,259			—		25,911			58,170
Government Long Bond 1.2x Strategy Fund		—		—			—		—			—
Inverse Government Long Bond Strategy Fund		—		18,192,349			—		—			18,192,349
High Yield Strategy Fund		—		—			—		5,157,219			5,157,219
Inverse High Yield Strategy Fund		—		37,077			—		—			37,077
Europe 1.25x Strategy Fund		—		—			—		—			—
Japan 2x Strategy Fund		—		—			—		—			—
Small-Cap Value Fund		—		—			—		—			—
Mid-Cap Value Fund		—		—			—		—			—
Large-Cap Value Fund		—		—			—		—			—
Small-Cap Growth Fund		—		—			—		—			—
Mid-Cap Growth Fund		—		—			—		—			—
Large-Cap Growth Fund		—		—			—		—			—
U.S. Government Money Market Fund		—		—			—		—			—

* Other financial instruments may include forward foreign currency contracts, futures and/or swaps, which are reported as unrealized gain/loss at period end.

8.   Securities Transactions

For the year ended March 31, 2009, the cost of purchases and proceeds from sales of investment securities, excluding short-term and temporary cash investments, were:

						Inverse				Inverse				Inverse
	Nova		S&P 500			S&P 500		NASDAQ-100®		NASDAQ-100®		Mid-Cap 1.5x		Mid-Cap
	Fund		Fund		��	Strategy Fund		Fund		Strategy Fund		Strategy Fund		Strategy Fund
Purchases	$	111,977,313	$	249,785,063		$	—	$	288,841,251	$	—	$	29,422,151	$	—
Sales	$	148,114,558	$	140,119,631		$	—	$	357,647,972	$	—	$	29,826,229	$	—
						Inverse		Government		Inverse
	Russell					Russell 2000®		Long Bond		Government				Inverse
	2000® 1.5x		Russell 2000®			Strategy		1.2x Strategy		Long Bond		High Yield		High Yield
	Strategy Fund		Fund			Fund		Fund		Strategy Fund		Strategy Fund		Strategy Fund
Purchases	$	50,819,343	$	57,152,998		$	17,779,531	$	1,110,062,781	$	1,187,134,680	$	—	$	—
Sales	$	54,064,719	$	44,680,051		$	39,945,929	$	1,134,449,319	$	866,834,024	$	—	$	—
						Small-Cap		Mid-Cap		Large-Cap		Small-Cap		Mid-Cap
	Europe 1.25x		Japan 2x			Value		Value		Value		Growth		Growth
	Strategy Fund		Strategy Fund			Fund		Fund		Fund		Fund		Fund
Purchases	$	32,073,354	$	—		$	136,468,233	$	67,749,355	$	280,794,077	$	106,298,546	$	394,947,708
Sales	$	38,467,575	$	—		$	164,397,950	$	68,585,674	$	276,565,002	$	101,723,617	$	375,438,828
	Large-Cap		U.S. Government
	Growth		Money Market
	Fund		Fund
Purchases	$	119,906,889	$	—
Sales	$	117,532,695	$	—

THE RYDEX SERIES FUNDS ANNUAL REPORT    |    177

NOTES TO FINANCIAL STATEMENTS (continued)

9. Share Transactions

The Trust is authorized to issue an unlimited number of shares (no par value). Transactions in shares for the years presented were:

					Purchased through										Net Shares
	Shares Purchased				Dividend Reinvestment				Shares Redeemed						Purchased (Redeemed)
	Year Ended		Year Ended		Year Ended		Year Ended		Year Ended			Year Ended			Year Ended			Year Ended
	March 31,		March 31,		March 31,		March 31,		March 31,			March 31,			March 31,			March 31,
	2009		2008		2009		2008		2009			2008			2009			2008
Nova Fund
Investor Class		13,957,780		10,763,436		18,122		75,348		(13,974,154	)		(11,641,404	)		1,748			(802,620	)
Advisor Class		3,832,611		2,287,134		4,564		16,569		(3,602,867	)		(2,764,194	)		234,308			(460,491	)
A-Class		1,868,770		486,941		2,421		7,031		(2,010,989	)		(547,325	)		(139,798	)		(53,353	)
C-Class		849,660		1,227,847		7,432		27,492		(1,194,431	)		(1,509,363	)		(337,339	)		(254,024	)
S&P 500 Fund
A-Class		4,008,263		717,124		1,157		124		(2,237,667	)		(701,805	)		1,771,753			15,443
C-Class		8,742,411		3,802,327		1,162		787		(8,577,798	)		(3,568,990	)		165,775			234,124
H-Class		45,822,717		8,954,070		12,067		4,221		(40,024,348	)		(6,143,418	)		5,810,436			2,814,873
Inverse S&P 500 Strategy Fund
Investor Class		16,676,609		11,985,693		50,442		259,306		(18,288,286	)		(45,382,295	)		(1,561,235	)		(33,137,296	)
Advisor Class		2,190,590		1,435,780		5,728		13,737		(2,190,297	)		(4,310,762	)		6,021			(2,861,245	)
A-Class		1,532,101		724,012		4,348		10,606		(1,424,211	)		(2,065,981	)		112,238			(1,331,363	)
C-Class		2,342,583		3,180,263		5,283		34,413		(2,823,949	)		(8,351,679	)		(476,083	)		(5,137,003	)
NASDAQ-100® Fund
Investor Class		53,894,562		42,755,463		—		—		(58,410,551	)		(44,366,095	)		(4,515,989	)		(1,610,632	)
Advisor Class		11,376,095		11,133,034		—		—		(10,385,688	)		(10,611,159	)		990,407			521,875
A-Class		838,778		1,224,853		—		—		(969,858	)		(1,016,650	)		(131,080	)		208,203
C-Class		12,513,645		7,582,203		—		—		(12,607,723	)		(7,547,831	)		(94,078	)		34,372
Inverse NASDAQ-100® Strategy Fund
Investor Class		7,845,903		13,266,797		15,809		121,160		(9,331,826	)		(15,402,931	)		(1,470,114	)		(2,014,974	)
Advisor Class		162,288		584,179		310		4,466		(323,326	)		(945,671	)		(160,728	)		(357,026	)
A-Class		677,075		486,070		3,543		8,211		(672,388	)		(599,900	)		8,230			(105,619	)
C-Class		2,838,716		2,065,870		2,457		20,816		(3,096,091	)		(2,577,766	)		(254,918	)		(491,080	)
Mid-Cap 1.5x Strategy Fund
A-Class		153,730		114,194		3,284		2,239		(124,485	)		(135,455	)		32,529			(19,022	)
C-Class		696,274		499,616		22,959		15,201		(755,372	)		(671,558	)		(36,139	)		(156,741	)
H-Class		6,762,134		8,197,410		72,774		27,478		(6,368,183	)		(8,461,182	)		466,725			(236,294	)
Inverse Mid-Cap Strategy Fund
A-Class		40,828		42,249		5		323		(55,899	)		(32,269	)		(15,066	)		10,303
C-Class		177,660		603,381		9		366		(211,841	)		(586,835	)		(34,172	)		16,912
H-Class		2,422,094		2,884,473		657		11,489		(3,528,331	)		(2,097,722	)		(1,105,580	)		798,240
Russell 2000® 1.5x Strategy Fund
A-Class		205,364		155,573		—		312		(310,754	)		(163,625	)		(105,390	)		(7,740	)
C-Class		657,620		794,721		—		1,065		(770,248	)		(956,120	)		(112,628	)		(160,334	)
H-Class		6,191,385		6,640,565		—		1,424		(5,567,927	)		(7,309,867	)		623,458			(667,878	)
Russell 2000® Fund
A-Class		761,966		253,665		—		114		(639,227	)		(225,169	)		122,739			28,610
C-Class		2,860,982		441,630		—		182		(2,738,477	)		(439,576	)		122,505			2,236
H-Class		12,915,647		4,122,727		—		924		(11,712,129	)		(4,419,348	)		1,203,518			(295,697	)

178    |    THE RYDEX SERIES FUNDS ANNUAL REPORT

NOTES TO FINANCIAL STATEMENTS (continued)

						Purchased through											Net Shares
	Shares Purchased					Dividend Reinvestment					Shares Redeemed						Purchased (Redeemed)
	Year Ended		Year Ended			Year Ended		Year Ended			Year Ended			Year Ended			Year Ended			Year Ended
	March 31,		March 31,			March 31,		March 31,			March 31,			March 31,			March 31,			March 31,
	2009		2008			2009		2008			2009			2008			2009			2008
Inverse Russell 2000® Strategy Fund
A-Class		223,071		430,239			983		7,114			(350,718	)		(545,832	)		(126,664	)		(108,479	)
C-Class		1,639,047		847,999			507		7,889			(1,754,220	)		(940,973	)		(114,666	)		(85,085	)
H-Class		3,519,602		6,274,357			2,954		42,668			(3,984,669	)		(6,618,998	)		(462,113	)		(301,973	)
Government Long Bond 1.2x Strategy Fund
Investor Class		70,222,148		76,783,346			71,093		119,095			(69,751,014	)		(78,150,310	)		542,227			(1,247,869	)
Advisor Class		46,248,046		16,143,329			34,434		37,347			(47,854,383	)		(15,059,265	)		(1,571,903	)		1,121,411
A-Class		2,180,623		2,480,041			30,651		33,796			(3,130,595	)		(1,867,065	)		(919,321	)		646,772
C-Class		10,362,493		7,398,417			10,619		20,651			(10,502,327	)		(8,365,974	)		(129,215	)		(946,906	)
Inverse Government Long Bond Strategy Fund
Investor Class		71,208,967		55,942,835			—		335,286			(65,153,661	)		(58,292,241	)		6,055,306			(2,014,120	)
Advisor Class		35,032,129		8,604,796			—		50,624			(33,834,671	)		(9,441,570	)		1,197,458			(786,150	)
A-Class		5,676,955		1,523,588			—		60,408			(3,758,321	)		(2,969,787	)		1,918,634			(1,385,791	)
C-Class		8,284,450		3,335,250			—		279,343			(6,191,247	)		(7,328,114	)		2,093,203			(3,713,521	)
High Yield Strategy Fund
A-Class		7,450,347		1,930,328	*		52,184		3,634	*		(7,590,171	)		(1,500,841	)*		(87,640	)		433,121	*
C-Class		1,068,221		170,873	*		6,627		119	*		(1,007,804	)		(129,479	)*		67,044			41,513	*
H-Class		53,732,294		11,912,677	*		119,641		9,814	*		(42,074,924	)		(9,274,669	)*		11,777,011			2,647,822	*
Inverse High Yield Strategy Fund
A-Class		237,851		350,188	*		206		—	*		(229,380	)		(317,552	)*		8,677			32,636	*
C-Class		55,188		117,922	*		1,054		—	*		(98,224	)		(60,000	)*		(41,982	)		57,922	*
H-Class		6,462,859		3,107,955	*		14,759		—	*		(6,355,101	)		(2,980,758	)*		122,517			127,197	*
Europe 1.25x Strategy Fund
A-Class		14,514		481,557			—		3,796			(55,391	)		(858,069	)		(40,877	)		(372,716	)
C-Class		5,001,051		6,793,370			—		21,736			(5,197,539	)		(6,937,333	)		(196,488	)		(122,227	)
H-Class		6,359,283		16,294,141			—		83,104			(6,766,252	)		(17,801,896	)		(406,969	)		(1,424,651	)
Japan 2x Strategy Fund
A-Class		159,701		27,605	**		65		—	**		(151,846	)		(2,298	)**		7,920			25,307	**
C-Class		1,352,650		44,347	**		16		—	**		(1,263,839	)		(34,802	)**		88,827			9,545	**
H-Class		4,691,011		528,213	**		274		—	**		(4,174,985	)		(319,523	)**		516,300			208,690	**
Small-Cap Value Fund
A-Class		96,193		177,319			248		644			(200,264	)		(177,608	)		(103,823	)		355
C-Class		822,870		1,259,064			895		258			(1,304,886	)		(778,563	)		(481,121	)		480,759
H-Class		6,569,449		4,777,161			14,402		999			(6,586,735	)		(3,129,747	)		(2,884	)		1,648,413
Mid-Cap Value Fund
A-Class		65,966		174,959			—		2,215			(152,759	)		(212,737	)		(86,793	)		(35,563	)
C-Class		631,011		845,951			—		1,257			(620,858	)		(1,042,478	)		10,153			(195,270	)
H-Class		1,928,186		2,664,509			—		4,679			(1,855,884	)		(4,541,599	)		72,302			(1,872,411	)

THE RYDEX SERIES FUNDS ANNUAL REPORT    |    179

NOTES TO FINANCIAL STATEMENTS (continued)

					Purchased through										Net Shares
	Shares Purchased				Dividend Reinvestment				Shares Redeemed						Purchased (Redeemed)
	Year Ended		Year Ended		Year Ended		Year Ended		Year Ended			Year Ended			Year Ended			Year Ended
	March 31,		March 31,		March 31,		March 31,		March 31,			March 31,			March 31,			March 31,
	2009		2008		2009		2008		2009			2008			2009			2008
Large-Cap Value Fund†
A-Class		38,296		55,986		493		8,581		(75,764	)		(53,853	)		(36,975	)		10,714
C-Class		288,157		405,089		30,218		12,947		(303,983	)		(527,849	)		14,392			(109,813	)
H-Class		3,472,707		1,874,433		26,885		19,355		(3,556,340	)		(2,809,541	)		(56,748	)		(915,753	)
Small-Cap Growth Fund
A-Class		39,374		262,368		—		3,278		(103,117	)		(238,178	)		(63,743	)		27,468
C-Class		1,448,507		2,189,483		—		10,842		(1,500,177	)		(2,363,032	)		(51,670	)		(162,707	)
H-Class		3,355,554		3,527,056		—		7,158		(3,005,373	)		(3,863,333	)		350,181			(329,119	)
Mid-Cap Growth Fund
A-Class		258,261		250,895		—		7,273		(363,473	)		(203,641	)		(105,212	)		54,527
C-Class		2,559,586		1,561,001		—		5,107		(2,415,961	)		(1,687,976	)		143,625			(121,868	)
H-Class		16,292,819		7,525,765		—		23,635		(15,967,446	)		(7,269,598	)		325,373			279,802
Large-Cap Growth Fund
A-Class		387,434		277,830		—		2,193		(455,867	)		(161,710	)		(68,433	)		118,313
C-Class		1,436,891		4,408,801		—		7,740		(1,481,168	)		(4,374,533	)		(44,277	)		42,008
H-Class		5,062,418		7,048,426		—		19,766		(4,746,723	)		(8,400,012	)		315,695			(1,331,820	)
U.S. Government Money Market Fund
Investor Class		14,234,678,742		16,744,764,573		10,640,857		34,409,275		(14,109,618,443	)		(16,782,939,166	)		135,701,156			(3,765,318	)
Advisor Class		5,683,851,096		3,541,832,288		1,238,606		5,026,273		(5,502,840,798	)		(3,591,814,815	)		182,248,904			(44,956,254	)
A-Class		167,289,290		86,075,767		265,875		611,010		(139,658,664	)		(84,291,559	)		27,896,501			2,395,218
C-Class		1,495,568,434		1,349,987,737		318,248		3,040,004		(1,481,940,632	)		(1,352,007,026	)		13,946,050			1,020,715

*	Since the inception date: April 16, 2007.
**	Since the inception date: February 22, 2008.
†	Share amounts have been restated to reflect a 1:5 reverse share split effective April 20, 2009.

180    |    THE RYDEX SERIES FUNDS ANNUAL REPORT

NOTES TO FINANCIAL STATEMENTS (concluded)

10.   Portfolio Securities Loaned

During the year ended March 31, 2009, certain Funds lent their securities to approved brokers to earn additional income. Security lending income shown on the statement of operations is net of rebates paid to borrowers and earnings on cash collateral investments shared with the lending agent. As of March 31, 2009, all Funds had ceased participation in securities lending.

11.   Continued Participation in the U.S. Treasury’s Temporary Guarantee Program for Money Market Funds

U.S. Government Money Market Fund (the “Fund”) has filed a Guarantee Agreement with the United States Department of the Treasury (the “Treasury”) to participate in the Treasury’s Temporary Guarantee Program for Money Market Funds (the “Program”). Under the Program, the Treasury will guarantee the share price of shares of the Fund held by shareholders as of September 19, 2008 at $1.00 per share if the Fund’s net asset value per share falls below $0.995 (a “Guarantee Event”) and the Fund liquidates. Recovery under the Program is subject to certain conditions and limitations, including the following:

• For shareholders of a Fund, the Program provides a guarantee for the lesser of (a) the number of Fund shares owned by the shareholder as of the close of business on September 19, 2008, or (b) the number of Fund shares owned by the shareholder on the date of a Guarantee Event.

• The total amount of coverage available for all participants in the Program is limited to the amount of funds available under the Federal Exchange Stabilization Fund at the time of a Guarantee Event (currently approximately $50 billion).

• In order to recover, a Guarantee Event must occur during the term of the Program.

Fund shares acquired by investors after September 19, 2008 that increase the number of Fund shares the investor held as of the close of business of September 19, 2008 are not eligible for protection under the Program. In addition, Fund shares acquired by investors who did not hold Fund shares as of the close of business on September 19, 2008 are not eligible for protection under the Program.

The Fund’s Program will remain in effect through April 30, 2009, after which the Secretary of the Treasury will review the need for, and terms of, the Program. Participation in the initial three months of the Program required a payment to the Treasury in the amount of .01% of the value of all shares outstanding as of September 19, 2008. Continued participation in the Program through April 30, 2009 required an additional payment to the Treasury in the amount of .015% of the value of all shares outstanding as of September 19, 2008, which were both paid by the Fund. The Secretary extended the Program through the close of business of September 18, 2009. The Fund considered not to participate past the April 30, 2009 extension.

12.   New Accounting Pronouncements

In March 2008, the FASB issued FAS 161, “Disclosures about Derivative Instruments and Hedging Activities.” The new requirement is intended to improve disclosures around an entity’s derivatives activity and help investors understand how entities use derivatives, how they are accounted for and how they affect the financial position and operations of that entity. FAS 161 is effective for fiscal years and interim periods beginning after November 15, 2008. Management is evaluating the impact of FAS 161 on its current disclosures.

13.   Subsequent Events

Effective April 20, 2009, the Large-Cap Value Fund underwent a 1-for-5 reverse share split. The effect of this transaction was to divide the number of outstanding shares of the Fund by five, resulting in a corresponding increase in the net asset value per share. The shares outstanding and net asset value per share on the statements of assets and liabilities as of March 31, 2009, the share transactions presented in Note 9 for each of the two years in the period then ended, and the per share data in the financial highlights for each of the five years in the 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.

Effective April 1, 2009, the Small-Cap Value Fund, Mid-Cap Value Fund, Large-Cap Value Fund, Small-Cap Growth Fund, Mid-Cap Growth Fund, and Large-Cap Growth Fund changed their Fund names to the S&P SmallCap 600 Pure Value Fund, S&P MidCap 400 Pure Value Fund, S&P 500 Pure Value Fund, S&P SmallCap 600 Pure Growth Fund, S&P MidCap 400 Pure Growth Fund, and S&P 500 Pure Growth Fund, respectively. The name change will have no impact on the Funds’ investment objectives, tickers and CUSIPS.

THE RYDEX SERIES FUNDS ANNUAL REPORT    |    181

REPORT OF INDEPENDENT REGISTERED PUBLIC
ACCOUNTING FIRM

To the Board of Trustees and Shareholders
of the Rydex Series Funds:

We have audited the accompanying statements of assets and liabilities of Nova Fund, S&P 500 Fund, Inverse S&P 500 Strategy Fund, NASDAQ-100^® Fund, Inverse NASDAQ-100^® Strategy Fund, Mid-Cap 1.5x Strategy Fund, Inverse Mid-Cap Strategy Fund, Russell 2000^® 1.5x Strategy Fund, Russell 2000^® Fund, Inverse Russell 2000^® Strategy Fund, Government Long Bond 1.2x Strategy Fund, Inverse Government Long Bond Strategy Fund, High Yield Strategy Fund, Inverse High Yield Strategy Fund, Europe 1.25x Strategy Fund, Japan 2x Strategy Fund, Small-Cap Value Fund, Mid-Cap Value Fund, Large-Cap Value Fund, Small-Cap Growth Fund, Mid-Cap Growth Fund, Large-Cap Growth Fund, and U.S. Government Money Market Fund (twenty-three of the series constituting the Rydex Series Funds)(the “Funds”), including the schedules of investments, as of March 31, 2009, and the related statements of operations for the year then ended, statements of changes in net assets for each of the years or periods presented in the two-year period then ended, and financial highlights for each of the years or periods presented in the three-year period then ended. These financial statements and financial highlights are the responsibility of the Funds’ management. Our responsibility is to express an opinion on these financial statements and financial highlights based on our audits. The financial highlights for each of the periods presented through March 31, 2006 were audited by other auditors, whose report dated May 18, 2006 expressed an unqualified opinion on those financial highlights.

We conducted our audits in accordance with the standards of the Public Company Accounting Oversight Board (United States). Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements and financial highlights are free of material misstatement. We were not engaged to perform an audit of the Funds’ internal control over financial reporting. Our audits included consideration of internal control over financial reporting as a basis for designing audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of the Funds’ internal control over financial reporting. Accordingly, we express no such opinion. An audit also includes examining, on a test basis, evidence supporting the amounts and disclosures in the financial statements and financial highlights, assessing the accounting principles used and significant estimates made by management, and evaluating the overall financial statement presentation. Our procedures included confirmation of securities owned as of March 31, 2009, by correspondence with the custodian and brokers or by other appropriate auditing procedures where replies from brokers were not received. We believe that our audits provide a reasonable basis for our opinion.

In our opinion, the financial statements and financial highlights referred to above present fairly, in all material respects, the financial position of each of the Funds at March 31, 2009, and the results of their operations for the year then ended, the changes in their net assets for each of the years or periods presented in the two-year period then ended, and their financial highlights for each of the years or periods presented in the three-year period then ended, in conformity with U.S. generally accepted accounting principles.

McLean, Virginia
May 28, 2009

182    |    THE RYDEX SERIES FUNDS ANNUAL REPORT

OTHER INFORMATION (Unaudited)

Tax Information

This information is being provided as required by the Internal Revenue Code. Amounts shown may differ from those elsewhere in the report because of differences in tax and financial reporting practice.

Of the ordinary income distributions paid during the year, the following funds had the corresponding percentages qualify for the dividends received deduction for corporations:

Fund	% Qualifying
Nova Fund		100.00	%
S&P 500 Fund		99.74	%
Small-Cap Value Fund		68.55	%
Large-Cap Value Fund		19.46	%

Additionally, the following amounts of ordinary dividends paid during the same period qualified for the lower income tax rate available to individuals under the Jobs and Growth Tax Relief Reconciliation Act of 2003. This information was included in Form 1099-DIV sent to shareholders for the calendar year ended on December 31, 2008. Information for 2009 will be sent to shareholders in January of 2010.

Fund	% Qualifying
Nova Fund		32.15	%
S&P 500 Fund		100.00	%
Small-Cap Value Fund		57.91	%
Large-Cap Value Fund		66.31	%

With respect to the taxable year ended March 31, 2009, the Funds hereby designate as capital gain dividends the amounts listed below, or, if subsequently determined to be different, the net capital gain of such year:

	Mid-Cap 1.5x
	Strategy
	Fund
From long-term capital gains, subject to the 15% rate gains category:		$ 1,334,272
From long-term capital gains, using proceeds from shareholder redemptions:		—

Proxy Voting Information

A description of the policies and procedures that the Trust uses to determine how to vote proxies relating to securities held in the Funds’ portfolios is available, without charge and upon request, by calling 1-800-820-0888. This information is also available from the EDGAR database on the SEC’s website at http://www.sec.gov.

Information regarding how the Funds voted proxies relating to portfolio securities during the most recent 12-month period ended June 30 is available without charge, upon request, by calling 1-800-820-0888. This information is also available from the EDGAR database on the SEC’s website at http://www.sec.gov.

Quarterly Portfolio Schedules Information

The Trust files its complete schedule of portfolio holdings with the SEC for the first and third quarters of each fiscal year on Form N-Q; which are available on the SEC’s website at http://www.sec.gov. The Funds’ Forms N-Q may be reviewed and copied at the SEC’s Public Reference Room in Washington, DC, and that information on the operation of the Public Reference Room may be obtained by calling 1-800-SEC-0330. Copies of the portfolio holdings are also available to shareholders, without charge and upon request, by calling 1-800-820-0888.

THE RYDEX SERIES FUNDS ANNUAL REPORT    |    183

INFORMATION ON BOARD OF TRUSTEES AND OFFICERS (Unaudited)

A Board of Trustees oversees all Rydex Investments, in which its members have no stated term of service, and continue to serve after election until resignation. The Statement of Additional Information includes further information about Fund Trustees and Officers, and can be obtained without charge by calling 1-800-820-0888.

All Trustees and Officers may be reached c/o Rydex Investments, 9601 Blackwell Rd., Suite 500, Rockville, MD 20850.

TRUSTEES AND OFFICERS

	Length of Service
Name, Position and	As Trustee	Number of
Year of Birth	(Year Began)	Funds Over seen
Carl G. Verboncoeur*	Rydex Series Funds – 2004	152
Trustee, President (1952)	Rydex Variable Trust – 2004
	Rydex Dynamic Funds – 2004
	Rydex ETF Trust – 2004

Principal Occupations During Past Five Years: Treasurer of Rydex Specialized Products, LLC (2005 to 2009) Chief Executive Officer of Rydex Specialized Products, LLC (2005 to 2008); Chief Executive Officer of Rydex Investments and Rydex Distributors, Inc. (2003 to 2009)

Michael P. Byrum*	Rydex Series Funds – 2005	152
Trustee, Vice President	Rydex Variable Trust – 2005
(1970)	Rydex Dynamic Funds – 2005
	Rydex ETF Trust – 2005

Principal Occupations During Past Five Years: Chief Investment Officer of Rydex Investments (2003 to present); Secretary of Rydex Specialized Products, LLC (2005 to 2008); Vice President of Rydex Series Funds (1997 to present); Vice President of Rydex Variable Trust (1998 to present); Vice President of Rydex Dynamic Funds (1999 to present); Vice President of Rydex ETF Trust (2002 to present); President and Trustee of Rydex Capital Partners SPhinX Fund (2003 to 2006); President of Rydex Investments (2004 to present)

INDEPENDENT TRUSTEES

	Length of Service
Name, Position and	As Trustee	Number of
Year of Birth	(Year Began)	Funds Over seen
John O. Demaret	Rydex Series Funds – 1997	152
Trustee, Chairman of the	Rydex Variable Trust – 1998
Board (1940)	Rydex Dynamic Funds – 1999
	Rydex ETF Trust – 2003

Principal Occupations During Past Five Years: Retired

Corey A. Colehour	Rydex Series Funds – 1993	152
Trustee (1945)	Rydex Variable Trust – 1998
	Rydex Dynamic Funds – 1999
	Rydex ETF Trust – 2003

Principal Occupations During Past Five Years: Retired (2006 to present); Owner and President of Schield Management Company, registered investment adviser (2005 to 2006); Senior Vice President of Marketing and Co-Owner of Schield Management Company, registered investment adviser (1985 to 2005)

J. Kenneth Dalton	Rydex Series Funds – 1995	152
Trustee (1941)	Rydex Variable Trust – 1998
	Rydex Dynamic Funds – 1999
	Rydex ETF Trust – 2003

Principal Occupations During Past Five Years: Mortgage Banking Consultant and Investor, The Dalton Group

184    |    THE RYDEX SERIES FUNDS ANNUAL REPORT

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

	Length of Service
Name, Position and	As Trustee	Number of
Year of Birth	(Year Began)	Funds Over seen
Werner E. Keller	Rydex Series Funds – 2005	152
Trustee (1940)	Rydex Variable Trust – 2005
	Rydex Dynamic Funds – 2005
	Rydex ETF Trust – 2005

Principal Occupations During Past Five Years: Retired (2001 to present); Chairman, Centurion Capital Management (1991 to 2001)

Thomas F. Lydon, Jr.	Rydex Series Funds – 2005	152
Trustee (1960)	Rydex Variable Trust – 2005
	Rydex Dynamic Funds – 2005
	Rydex ETF Trust – 2005

Principal Occupations During Past Five Years: President, Global Trends Investments

Patrick T. McCarville	Rydex Series Funds – 1997	152
Trustee (1942)	Rydex Variable Trust – 1998
	Rydex Dynamic Funds – 1999
	Rydex ETF Trust – 2003

Principal Occupations During Past Five Years: Founder and Chief Executive Officer, Par Industries, Inc.

Roger Somers	Rydex Series Funds – 1993	152
Trustee (1944)	Rydex Variable Trust – 1998
	Rydex Dynamic Funds – 1999
	Rydex ETF Trust – 2003

Principal Occupations During Past Five Years: Owner, Arrow Limousine

EXECUTIVE OFFICERS

Name, Position and	Principal Occupations
Year of Birth	During Past Five Years
Nick Bonos* Vice President and Treasurer (1963)	Chief Financial Officer of Rydex Specialized Products, LLC (2005 to present); Vice President and Treasurer of Rydex Series Funds, Rydex Variable Trust, Rydex Dynamic Funds, and Rydex ETF Trust (2003 to present); Senior Vice President of Rydex Investments (2003 to present); Vice President and Treasurer of Rydex Capital Partners SPhinX Fund (2003 to 2006)
Joanna M. Haigney* Chief Compliance Officer and Secretary (1966)	Chief Compliance Officer of Rydex Series Funds, Rydex Variable Trust, and Rydex Dynamic Funds (2004 to present) Secretary of Rydex Series Funds, Rydex Variable Trust, and Rydex Dynamic Funds (2000 to present); Secretary of Rydex ETF Trust (2002 to present); Vice President of Compliance of Rydex Investments (2000 to present); Secretary of Rydex Capital Partners SPhinX Fund (2003 to 2006)
Joseph Arruda* Assistant Treasurer (1966)	Assistant Treasurer of Rydex Series Funds, Rydex Variable Trust, Rydex Dynamic Funds, Rydex ETF Trust (2006 to present); Senior Vice President of Rydex Investments (2008 to present); Vice President of Rydex Investments (2004 to 2008)
Paula Billos* Controller (1974)	Controller of Rydex Series Funds, Rydex Variable Trust, Rydex Dynamic Funds, Rydex ETF Trust (2006 to present); Director of Fund Administration of Rydex Investments (2001 to present)

* Officers of the Funds are deemed to be “interested persons” of the Trust, within the meaning of Section 2(a)(19) of the 1940 Act, inasmuch as this person is affiliated with Rydex Investments.

THE RYDEX SERIES FUNDS ANNUAL REPORT    |    185

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BANKING FUND

BASIC MATERIALS FUND

BIOTECHNOLOGY FUND

CONSUMER PRODUCTS FUND

ELECTRONICS FUND

ENERGY FUND

MARCH 31, 2009

RYDEX SERIES FUNDS SECTOR FUNDS ANNUAL REPORT

ENERGY SERVICES FUND

FINANCIAL SERVICES FUND

HEALTH CARE FUND

INTERNET FUND

LEISURE FUND

PRECIOUS METALS FUND

RETAILING FUND

TECHNOLOGY FUND

TELECOMMUNICATIONS FUND

TRANSPORTATION FUND

UTILITIES FUND

 
 
 
 

TABLE OF CONTENTS

LETTER TO OUR SHAREHOLDERS   2

ABOUT SHAREHOLDERS’ FUND EXPENSES   4

PERFORMANCE REPORTS AND FUND PROFILES   10

SCHEDULES OF INVESTMENTS   44

STATEMENTS OF ASSETS AND LIABILITIES   64

STATEMENTS OF OPERATIONS   68

STATEMENTS OF CHANGES IN NET ASSETS   72

FINANCIAL HIGHLIGHTS   78

NOTES TO FINANCIAL STATEMENTS   87

REPORT OF INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM   98

OTHER INFORMATION   99

INFORMATION ON BOARD OF TRUSTEES AND OFFICERS   101

THE RYDEX SERIES FUNDS ANNUAL REPORT    |    1

LETTER TO OUR SHAREHOLDERS

DEAR SHAREHOLDERS,

The best thing anyone can say about 2008 is that it is now history. While superlatives like wild, volatile and unprecedented were thrown around on a daily basis since the crisis broke with full force late in the third quarter, there is sufficient evidence indicating that 2009 may continue to warrant such a characterization.

Investors experienced new stock market lows reminiscent of the 1970s, watched as unemployment crept towards new highs and could only sit back and watch as the value of their homes dropped precipitously. On Wall Street, the news was just as grim. The S&P 500^® Index fell 37% for the calendar year—second only to 1931. Hiding places were nearly non-existent as what turned out to be a globally correlated bear market provided few safe havens for investors, with the exception of U.S. Treasury securities. The market environment also emphasized the need for investors to look beyond traditional assets. Increasingly, we are beginning to see investors start to embrace alternative investments to not only assist in managing portfolio risk, but potentially enhance returns.

Bear Market Environment Continues

Fears of a prolonged bear market continued to weigh heavily on the minds of investors throughout the fall, as the financial sector collapsed on apprehension about inadequate capital reserves. In less than a month, the shape of the entire financial system was changed forever. The Wall Street model of large, aggressive, risk-taking investment banks was completely swept aside as financial titans such as Merrill Lynch & Co., Morgan Stanley, Goldman Sachs Group, Inc. and Lehman Brothers Holdings, Inc. collapsed, merged with or were reborn as commercial banks. Among other things, September 2008 showed us that the Wall Street formula of highly leveraged balance sheets, coupled with the need to access working capital on a daily basis, proved to be lethal when backed by seemingly worthless assets. In September, we saw a temporary ban on the short-selling of financial stocks and historic government intervention as the U.S. Treasury stepped in to offer temporary money market mutual fund insurance after the Reserve Primary Fund “broke the buck"—causing a massive exodus from money market mutual funds.

As the willingness to lend disappeared, so did Wall Street’s daily lifeline, culminating in what Alan Greenspan called, “A once-in-a-century credit tsunami.” In effectively erasing 13 years of performance gains, the S&P 500 Index bottomed out at 666.79—the lowest level since 1996—before rebounding 20% to end the quarter at 797.87. Yet, for the 12-month period ended 3/31/09, the S&P 500 Index was down 38.09%—similar to the abysmal performance investors endured in the calendar year.

Historic Government Intervention

While the equity markets faltered and the credit markets froze, the government led by the Federal Reserve, the United States Treasury and the Federal Deposit Insurance Corporation (FDIC)—unveiled a colossal amount of policy initiatives with high hopes of jump-starting the economy. The bet being waged by Federal Reserve Chairman Ben Bernanke and Treasury Secretary Tim Geithner is that unleashing a massive amount of stimulus will keep credit flowing and financial markets functioning. Newly sworn-in government officials committed $12 trillion to programs designed to offset credit and subprime mortgage-related issues that were negatively impacting the financial services industry. This historic government intervention kicked into high gear during the fall when Congress established The Emergency Economic Stabilization Act of 2008 (EESA) in an effort to help strengthen the U.S. economy. Primarily, the act authorized the Troubled Assets Relief Program (TARP), which was originally structured to purchase troubled assets from ailing banks but quickly morphed into an effort to recapitalize the banking industry via the Capital Purchase Plan (CPP). The Financial Stability Plan (FSP) outlined by the U.S. Treasury, mandated new rules for additional transparency and accountability of financial institutions. As an objective of the plan, the so-called “stress tests” of financial firms were initiated with

2    |    THE RYDEX SERIES FUNDS ANNUAL REPORT

LETTER TO OUR SHAREHOLDERS (concluded)

an eye toward providing additional capital should the economy worsen. That same week, the U.S. Treasury, in partnership with the Federal Reserve and the FDIC, introduced the Public-Private Investment Fund. The fund, which combines public and private assets, was designed to remove legacy-toxic assets from bank balance sheets.

Dismal Economic Activity

As oil and gas prices fell from highs that topped $147/barrel and more than $4.00/gallon, consumers—who were concerned about job security—stopped spending. Fourth quarter 2008 GDP dropped 5.7% compared to 2007’s activity, putting the breaks on the nation’s engine of economic activity. The manufacturing side of the economy staggered in the face of disappearing demand as witnessed by the big three automakers, who appeared before Congress to ask for taxpayer-funded bailouts simply to stay afloat.

On the employment front, the news was just as grim. According to The Bureau of Labor Statistics, the U.S. unemployment rate hit 8.5% in March (levels not seen since November of 1983) with initial jobless claims jumping to 669,000—the highest recorded level since 1982, according to the Labor Department.

Market Outlook: Moving Forward

So what’s an investor to do? On a positive note, the new administration has rightly made the economy its top priority. In this unprecedented bear market environment, we believe it is more important than ever for investors to keep an eye on their long-term investment goals and utilize this opportunity to rebalance their portfolios and re-assess their risk tolerance. America (and the rest of the world) is experiencing an economic and financial storm many of us haven’t experienced in our lifetimes. Will the tempest blow over? We can only wait and see. However, I do know this—bubble and bear markets have one commonality: fear. In each one, you’ll hear people say that, ”... this time, it’s different...” It’s not. While history cannot predict the future, it suggests that the stock market will eventually revert to its mean.

We appreciate the trust that you have placed in our firm’s quality and integrity by investing with us. It is our goal to continue to offer you a wide variety of investment offerings to help you meet your financial goals.

Sincerely,

Mike Byrum, CFA
President and Chief Investment Officer

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.rydexinvestments.com.

THE RYDEX SERIES FUNDS ANNUAL REPORT    |    3

ABOUT SHAREHOLDERS’ FUND EXPENSES (Unaudited)

All mutual funds have operating expenses and it is important for our shareholders to understand the impact of costs on their investments. Shareholders of a Fund incur two types of costs: (i) transaction costs, including sales charges (loads) on purchase payments, reinvested dividends, or other distributions; redemption fees; and exchange fees; and (ii) ongoing costs, including management fees, administrative services, and shareholder reports, among others. These ongoing costs, or operating expenses, are deducted from a fund’s gross income and reduce the investment return of the fund.

A fund’s expenses are expressed as a percentage of its average net assets, which is known as the expense ratio. The following examples are intended to help investors understand the ongoing costs (in dollars) of investing in a Fund and to compare these costs with the ongoing costs of investing in other mutual funds. The examples are based on an investment of $1,000 made at the beginning of the period and held for the entire six-month period beginning September 30, 2008 and ending March 31, 2009.

The following tables illustrate a Fund’s costs in two ways:

Table 1. Based on actual Fund return. This section helps investors estimate the actual expenses paid over the period. The “Ending Account Value” shown is derived from the Fund’s actual return, and the fourth column shows the dollar amount that would have been paid by an investor who started with $1,000 in the Fund. Investors may use the information here, together with the amount invested, to estimate the expenses paid over the period. Simply divide the Fund’s 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 provided under the heading “Expenses Paid During Period.”

Table 2. Based on hypothetical 5% return. This section is intended to help investors compare a Fund’s cost with those of other mutual funds. The table provides information about hypothetical account values and hypothetical expenses based on the Fund’s actual expense ratio and an assumed rate of return of 5% per year before expenses, which is not the Fund’s actual return. The hypothetical account values and expenses may not be used to estimate the actual ending account balance or expenses paid during the period. The example is useful in making comparisons because the U.S. Securities and Exchange Commission (the “SEC”) requires all mutual funds to calculate expenses based on the 5% return. Investors can assess a Fund’s costs by comparing this hypothetical example with the hypothetical examples that appear in shareholder reports of other funds.

Certain retirement plans such as IRA, SEP, Roth IRA and 403(b) accounts are charged an annual $15 maintenance fee. Upon liquidating a retirement account, a $15 account-closing fee will be taken from the proceeds of the redemption.

The calculations illustrated above assume no shares were bought or sold during the period. Actual costs may have been higher or lower, depending on the amount of investment and the timing of any purchases or redemptions.

Note that the expenses shown in the table are meant to highlight and help compare ongoing costs only and do not reflect any transactional costs which may be incurred by a Fund.

More information about a Fund’s expenses, including annual expense ratios for the past five years, can be found in the Financial Highlights section of this report. For additional information on operating expenses and other shareholder costs, please refer to the appropriate Fund prospectus.

4    |    THE RYDEX SERIES FUNDS ANNUAL REPORT

ABOUT SHAREHOLDERS’ FUND EXPENSES (Unaudited) (continued)

				Beginning		Ending		Expenses
	Expense			Account Value		Account Value		Paid During
	Ratio		†	September 30, 2008		March 31, 2009		Period		*
Table 1. Based on actual Fund return
Banking Fund
Investor Class		1.36%		$	1,000.00	$	513.40	$	5.13
Advisor Class		1.91%			1,000.00		511.00		7.20
A-Class		1.65%			1,000.00		510.90		6.22
C-Class		2.41%			1,000.00		507.80		9.06
Basic Materials Fund
Investor Class		1.36%			1,000.00		734.90		5.88
Advisor Class		1.89%			1,000.00		733.00		8.17
A-Class		1.65%			1,000.00		733.70		7.13
C-Class		2.41%			1,000.00		730.90		10.40
Biotechnology Fund
Investor Class		1.39%			1,000.00		829.20		6.34
Advisor Class		1.89%			1,000.00		827.80		8.61
A-Class		1.64%			1,000.00		828.50		7.48
C-Class		2.39%			1,000.00		824.90		10.87
Consumer Products Fund
Investor Class		1.38%			1,000.00		766.40		6.08
Advisor Class		1.87%			1,000.00		764.90		8.23
A-Class		1.64%			1,000.00		765.50		7.22
C-Class		2.39%			1,000.00		762.60		10.50
Electronics Fund
Investor Class		1.33%			1,000.00		765.20		5.85
Advisor Class		1.81%			1,000.00		764.50		7.96
A-Class		1.60%			1,000.00		764.30		7.04
C-Class		2.32%			1,000.00		762.30		10.19
Energy Fund
Investor Class		1.38%			1,000.00		640.30		5.64
Advisor Class		1.89%			1,000.00		638.80		7.72
A-Class		1.64%			1,000.00		639.40		6.70
C-Class		2.39%			1,000.00		637.20		9.76
Energy Services Fund
Investor Class		1.39%			1,000.00		517.70		5.26
Advisor Class		1.89%			1,000.00		516.40		7.15
A-Class		1.65%			1,000.00		517.00		6.24
C-Class		2.39%			1,000.00		515.20		9.03
Financial Services Fund
Investor Class		1.37%			1,000.00		521.60		5.20
Advisor Class		1.89%			1,000.00		519.50		7.16
A-Class		1.62%			1,000.00		520.50		6.14
C-Class		2.39%			1,000.00		519.40		9.05
Health Care Fund
Investor Class		1.41%			1,000.00		791.00		6.30
Advisor Class		1.87%			1,000.00		788.40		8.34
A-Class		1.63%			1,000.00		789.50		7.27
C-Class		2.36%			1,000.00		786.30		10.51

THE RYDEX SERIES FUNDS ANNUAL REPORT    |    5

ABOUT SHAREHOLDERS’ FUND EXPENSES (Unaudited) (continued)

				Beginning		Ending		Expenses
	Expense			Account Value		Account Value		Paid During
	Ratio		†	September 30, 2008		March 31, 2009		Period		*
Internet Fund
Investor Class		1.34%		$	1,000.00	$	832.40	$	6.12
Advisor Class		1.86%			1,000.00		830.20		8.49
A-Class		1.63%			1,000.00		831.30		7.44
C-Class		2.38%			1,000.00		828.90		10.85
Leisure Fund
Investor Class		1.36%			1,000.00		603.00		5.44
Advisor Class		1.90%			1,000.00		601.70		7.59
A-Class		1.65%			1,000.00		602.00		6.59
C-Class		2.39%			1,000.00		600.20		9.53
Precious Metals Fund
Investor Class		1.29%			1,000.00		988.70		6.40
Advisor Class		1.77%			1,000.00		986.20		8.76
A-Class		1.53%			1,000.00		987.70		7.58
C-Class		2.27%			1,000.00		983.70		11.23
Retailing Fund
Investor Class		1.30%			1,000.00		804.90		5.85
Advisor Class		1.88%			1,000.00		803.10		8.45
A-Class		1.64%			1,000.00		804.30		7.38
C-Class		2.38%			1,000.00		800.80		10.69
Technology Fund
Investor Class		1.38%			1,000.00		746.80		6.01
Advisor Class		1.87%			1,000.00		743.10		8.13
A-Class		1.62%			1,000.00		743.70		7.04
C-Class		2.42%			1,000.00		742.20		10.51
Telecommunications Fund
Investor Class		1.47%			1,000.00		760.60		6.45
Advisor Class		1.75%			1,000.00		758.30		7.67
A-Class		1.60%			1,000.00		760.30		7.02
C-Class		2.47%			1,000.00		756.70		10.82
Transportation Fund
Investor Class		1.41%			1,000.00		613.80		5.67
Advisor Class		1.93%			1,000.00		612.70		7.76
A-Class		1.70%			1,000.00		613.40		6.84
C-Class		2.45%			1,000.00		611.30		9.84
Utilities Fund
Investor Class		1.40%			1,000.00		797.80		6.28
Advisor Class		1.91%			1,000.00		796.40		8.55
A-Class		1.67%			1,000.00		797.40		7.48
C-Class		2.42%			1,000.00		794.20	$	10.83

6    |    THE RYDEX SERIES FUNDS ANNUAL REPORT

ABOUT SHAREHOLDERS’ FUND EXPENSES (Unaudited) (continued)

				Beginning		Ending		Expenses
	Expense			Account Value		Account Value		Paid During
	Ratio		†	September 30, 2008		March 31, 2009		Period		*
Table 2. Based on hypothetical 5% return (before expenses)
Banking Fund
Investor Class		1.36%		$	1,000.00	$	1,018.15	$	6.84
Advisor Class		1.91%			1,000.00		1,015.41		9.60
A-Class		1.65%			1,000.00		1,016.70		8.30
C-Class		2.41%			1,000.00		1,012.91		12.09
Basic Materials Fund
Investor Class		1.36%			1,000.00		1,018.15		6.84
Advisor Class		1.89%			1,000.00		1,015.51		9.50
A-Class		1.65%			1,000.00		1,016.70		8.30
C-Class		2.41%			1,000.00		1,012.91		12.09
Biotechnology Fund
Investor Class		1.39%			1,000.00		1,018.00		6.99
Advisor Class		1.89%			1,000.00		1,015.51		9.50
A-Class		1.64%			1,000.00		1,016.75		8.25
C-Class		2.39%			1,000.00		1,013.01		11.99
Consumer Products Fund
Investor Class		1.38%			1,000.00		1,018.05		6.94
Advisor Class		1.87%			1,000.00		1,015.61		9.40
A-Class		1.64%			1,000.00		1,016.75		8.25
C-Class		2.39%			1,000.00		1,013.01		11.99
Electronics Fund
Investor Class		1.33%			1,000.00		1,018.30		6.69
Advisor Class		1.81%			1,000.00		1,015.91		9.10
A-Class		1.60%			1,000.00		1,016.95		8.05
C-Class		2.32%			1,000.00		1,013.36		11.65
Energy Fund
Investor Class		1.38%			1,000.00		1,018.05		6.94
Advisor Class		1.89%			1,000.00		1,015.51		9.50
A-Class		1.64%			1,000.00		1,016.75		8.25
C-Class		2.39%			1,000.00		1,013.01		11.99
Energy Services Fund
Investor Class		1.39%			1,000.00		1,018.00		6.99
Advisor Class		1.89%			1,000.00		1,015.51		9.50
A-Class		1.65%			1,000.00		1,016.70		8.30
C-Class		2.39%			1,000.00		1,013.01		11.99
Financial Services Fund
Investor Class		1.37%			1,000.00		1,018.10		6.89
Advisor Class		1.89%			1,000.00		1,015.51		9.50
A-Class		1.62%			1,000.00		1,016.85		8.15
C-Class		2.39%			1,000.00		1,013.01		11.99
Health Care Fund
Investor Class		1.41%			1,000.00		1,017.90		7.09
Advisor Class		1.87%			1,000.00		1,015.61		9.40
A-Class		1.63%			1,000.00		1,016.80		8.20
C-Class		2.36%			1,000.00		1,013.16		11.85

THE RYDEX SERIES FUNDS ANNUAL REPORT    |    7

ABOUT SHAREHOLDERS’ FUND EXPENSES (Unaudited) (concluded)

				Beginning		Ending		Expenses
	Expense			Account Value		Account Value		Paid During
	Ratio		†	September 30, 2008		March 31, 2009		Period		*
Internet Fund
Investor Class		1.34%		$	1,000.00	$	1,018.25	$	6.74
Advisor Class		1.86%			1,000.00		1,015.66		9.35
A-Class		1.63%			1,000.00		1,016.80		8.20
C-Class		2.38%			1,000.00		1,013.06		11.94
Leisure Fund
Investor Class		1.36%			1,000.00		1,018.15		6.84
Advisor Class		1.90%			1,000.00		1,015.46		9.55
A-Class		1.65%			1,000.00		1,016.70		8.30
C-Class		2.39%			1,000.00		1,013.01		11.99
Precious Metals Fund
Investor Class		1.29%			1,000.00		1,018.50		6.49
Advisor Class		1.77%			1,000.00		1,016.11		8.90
A-Class		1.53%			1,000.00		1,017.30		7.70
C-Class		2.27%			1,000.00		1,013.61		11.40
Retailing Fund
Investor Class		1.30%			1,000.00		1,018.45		6.54
Advisor Class		1.88%			1,000.00		1,015.56		9.45
A-Class		1.64%			1,000.00		1,016.75		8.25
C-Class		2.38%			1,000.00		1,013.06		11.94
Technology Fund
Investor Class		1.38%			1,000.00		1,018.05		6.94
Advisor Class		1.87%			1,000.00		1,015.61		9.40
A-Class		1.62%			1,000.00		1,016.85		8.15
C-Class		2.42%			1,000.00		1,012.86		12.14
Telecommunications Fund
Investor Class		1.47%			1,000.00		1,017.60		7.39
Advisor Class		1.75%			1,000.00		1,016.21		8.80
A-Class		1.60%			1,000.00		1,016.95		8.05
C-Class		2.47%			1,000.00		1,012.62		12.39
Transportation Fund
Investor Class		1.41%			1,000.00		1,017.90		7.09
Advisor Class		1.93%			1,000.00		1,015.31		9.70
A-Class		1.70%			1,000.00		1,016.45		8.55
C-Class		2.45%			1,000.00		1,012.72		12.29
Utilities Fund
Investor Class		1.40%			1,000.00		1,017.95		7.04
Advisor Class		1.91%			1,000.00		1,015.41		9.60
A-Class		1.67%			1,000.00		1,016.60		8.40
C-Class		2.42%			1,000.00		1,012.86		12.14

*	Expenses are equal to the Fund’s annualized expense ratio, multiplied by the average account value over the period, multiplied by the number of days in the most recent fiscal half-year, then divided by the number of days in the current fiscal year.
†	Annualized

8    |    THE RYDEX SERIES FUNDS ANNUAL REPORT

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THE RYDEX SERIES FUNDS ANNUAL REPORT    |    9

PERFORMANCE REPORTS AND FUND PROFILES (Unaudited)

BANKING FUND

OBJECTIVE: Seeks to provide capital appreciation by investing in companies that are involved in the banking sector, including commercial banks (and their holding companies) and savings and loan institutions.

Inception: April 1, 1998

The subprime debacle and subsequent collapse of the U.S. housing market decimated the banking sector again this year. Rydex Banking Fund Investor Class fell 55.66% compared to the S&P 500 Index, which returned -38.09%. Every industry in the banking sector felt the effects of the continuing global recession. Lehman Brothers Holdings, Inc.’s historic bankruptcy on September 15, 2008 led to a freeze in the banking sector. As financial stocks went into a proverbial free-fall, the Securities and Exchange Commission was forced to place a temporary ban on short sales of financial securities within a week of the Lehman Brothers Holdings, Inc. bankruptcy. In subsequent months, many banks reported additional write-downs of assets tied to the mortgage industry. In September, the government placed Federal Home Loan Mortgage Corp. known as Freddie Mac and Federal National Mortgage Association known as Fannie Mae into a government conservatorship. Needless to say, this would not be the last of the government legislation as much of the banking sector received government-sponsored TARP funds to strengthen their balance sheets and keep their doors open. The sector will continue to be under intense scrutiny and will most likely face additional regulations and have capital requirements going forward. While several banks failed, or were simply taken over, there were a few industry stand-outs held in the portfolio, namely: UnionBanCal Corp., First Horizon National Corporation, People’s United Financial Inc. and Ocwen Financial Corp. The worst-performing holdings for the period included HSBC Holdings PLC, Bank of America Corp., Wells Fargo & Co., Barclays PLC and UBS AG.

Industry Diversification (Market Exposure as % of Net Assets)

“Industry Diversification (Market Exposure as % of Net Assets)” excludes any temporary cash investments.

Inception Dates:
Investor Class	April 1, 1998
Advisor Class	April 1, 1998
A-Class	September 1, 2004
C-Class	March 30, 2001

Ten Largest Holdings
(% of Total Net Assets)
Credit Suisse Group AG — SP ADR	5.0	%
JPMorgan Chase & Co.	4.5	%
Bank of America Corp.	4.3	%
Wells Fargo & Co.	4.3	%
Barclays PLC — SP ADR	4.2	%
U.S. Bancorp	4.2	%
HSBC Holdings PLC — SP ADR	3.2	%
UBS AG — SP ADR	3.1	%
PNC Financial Services Group, Inc.	2.6	%
BB&T Corp.	2.2	%
Top Ten Total	37.6	%

“Ten Largest Holdings” exclude any temporary cash or derivative investments.

10    |    THE RYDEX SERIES FUNDS ANNUAL REPORT

PERFORMANCE REPORTS AND FUND PROFILES (Unaudited) (continued)

BANKING FUND

Cumulative Fund Performance

†	Initial investment has been adjusted for the maximum sales charge of 4.75%.
††	Data points for the line graph do not reflect the reinvestment of dividends on securities in the index.

AVERAGE ANNUAL TOTAL RETURNS FOR THE PERIOD ENDED 03/31/09

	Investor Class									Advisor Class
	(04/01/98)									(04/01/98)
	ONE			FIVE			TEN			ONE			FIVE			TEN
	YEAR			YEAR			YEAR			YEAR			YEAR			YEAR
BANKING FUND		-55.66	%		-19.12	%		-8.00	%		-55.70	%		-19.58	%		-8.57	%
S&P 500 INDEX		-38.09	%		-4.76	%		-3.00	%		-38.09	%		-4.76	%		-3.00	%
S&P 500 FINANCIALS INDEX		-62.99	%		-19.01	%		-7.60	%		-62.99	%		-19.01	%		-7.60	%

	A-Class												C-Class
	(09/01/04)												(03/30/01)
	ONE			ONE			SINCE			SINCE			ONE			ONE			FIVE			SINCE
	YEAR			YEAR*			INCEPTION			INCEPTION*			YEAR			YEAR**			YEAR			INCEPTION
BANKING FUND		-55.77	%		-57.87	%		-21.38	%		-22.21	%		-55.64	%		-56.08	%		-20.07	%		-10.31	%
S&P 500 INDEX		-38.09	%		-38.09	%		-4.97	%		-4.97	%		-38.09	%		-38.09	%		-4.76	%		-2.77	%
S&P 500 FINANCIALS INDEX		-62.99	%		-62.99	%		-20.26	%		-20.26	%		-62.99	%		-62.99	%		-19.01	%		-10.49	%

*	Fund returns are calculated using the maximum sales charge of 4.75%.
**	Fund returns include a contingent deferred sales charge (“CDSC”) of 1% if redeemed within 12 months of purchase.

The returns presented above do not reflect the effects of taxes. Past performance is no guarantee of future results. The S&P 500 Index and the S&P 500 Financials Index are unmanaged stock indices and, unlike the Fund, have no management fees or other operating expenses to reduce their reported returns. Returns are historical and include changes in principal and reinvested dividends and capital gains. The graphs are based on Investor Class shares and A-Class shares only; performance for Advisor Class shares and C-Class shares will vary due to differences in fee structure.

THE RYDEX SERIES FUNDS ANNUAL REPORT    |    11

PERFORMANCE REPORTS AND FUND PROFILES (Unaudited) (continued)

BASIC MATERIALS FUND

OBJECTIVE: Seeks capital appreciation by investing in companies engaged in the mining manufacture or sale of basis materials, such as lumber, steel, iron, aluminum, concrete, chemicals and other basic building and manufacturing materials.

Inception: April 1, 1998

For the one-year period ended March 31, 2009, Rydex Basic Materials Fund Investor Class returned - -44.54% compared to the S&P 500 Index, which returned -38.09%. The basic materials sector was hit hard by the global economic recession as housing, construction and auto sales came to a halt. One bright spot for the industry remained gold stocks, which traded at historic highs throughout the year, as gold was perceived to be an inflation hedge as well as one of the few safe havens where investors could hide. The top-performing holdings were AngloGold Ashanti Ltd., Rohm and Haas Co., IAMGOLD Corp., Gold Fields Ltd. and Newmont Mining Corp. The worst-performing holdings included ArcelorMittal, Dow Chemical Co., Rio Tinto PLC, Alcoa Inc. and E.I. du Pont de Nemours and Co.

Industry Diversification (Market Exposure as % of Net Assets)

“Industry Diversification (Market Exposure as % of Net Assets)” excludes any temporary cash investments.

Inception Dates:
Investor Class	April 1, 1998
Advisor Class	April 14, 1998
A-Class	September 1, 2004
C-Class	May 3, 2001

Ten Largest Holdings
(% of Total Net Assets)
BHP Billiton Ltd. — SP ADR	4.5	%
Rio Tinto PLC — SP ADR	3.4	%
Monsanto Co.	3.4	%
Cia Vale do Rio Doce — SP ADR	3.2	%
Goldcorp, Inc.	2.6	%
Potash Corporation of Saskatchewan	2.5	%
Barrick Gold Corp.	2.5	%
ArcelorMittal	2.4	%
Praxair, Inc.	2.4	%
Freeport-McMoRan Copper & Gold, Inc.	2.3	%
Top Ten Total	29.2	%

“Ten Largest Holdings” exclude any temporary cash or derivative investments.

12    |    THE RYDEX SERIES FUNDS ANNUAL REPORT

PERFORMANCE REPORTS AND FUND PROFILES (Unaudited) (continued)

BASIC MATERIALS FUND

Cumulative Fund Performance

†	Initial investment has been adjusted for the maximum sales charge of 4.75%.
††	Data points for the line graph do not reflect the reinvestment of dividends on securities in the index.

AVERAGE ANNUAL TOTAL RETURNS FOR THE PERIOD ENDED 03/31/09

	Investor Class									Advisor Class
	(04/01/98)									(04/14/98)
	ONE			FIVE			TEN			ONE			FIVE			TEN
	YEAR			YEAR			YEAR			YEAR			YEAR			YEAR
BASIC MATERIALS FUND		-44.54	%		2.24	%		2.23	%		-44.83	%		1.72	%		1.76	%
S&P 500 INDEX		-38.09	%		-4.76	%		-3.00	%		-38.09	%		-4.76	%		-3.00	%
S&P 500 MATERIALS INDEX		-45.11	%		-1.30	%		2.63	%		-45.11	%		-1.30	%		2.63	%

	A-Class												C-Class
	(09/01/04)												(05/03/01)
	ONE			ONE			SINCE			SINCE			ONE			ONE			FIVE			SINCE
	YEAR			YEAR*			INCEPTION			INCEPTION*			YEAR			YEAR**			YEAR			INCEPTION
BASIC MATERIALS FUND		-44.71	%		-47.34	%		1.33	%		0.26	%		-45.11	%		-45.66	%		1.23	%		1.85	%
S&P 500 INDEX		-38.09	%		-38.09	%		-4.97	%		-4.97	%		-38.09	%		-38.09	%		-4.76	%		-3.72	%
S&P 500 MATERIALS INDEX		-45.11	%		-45.11	%		-1.95	%		-1.95	%		-45.11	%		-45.11	%		-1.30	%		2.15	%

*	Fund returns are calculated using the maximum sales charge of 4.75%.
**	Fund returns include a CDSC of 1% if redeemed within 12 months of purchase.

The returns presented above do not reflect the effects of taxes. Past performance is no guarantee of future results. The S&P 500 Index and the S&P 500 Materials Index are unmanaged stock indices and, unlike the Fund, have no management fees or other operating expenses to reduce their reported returns. Returns are historical and include changes in principal and reinvested dividends and capital gains. The graphs are based on Investor Class shares and A-Class shares only; performance for Advisor Class shares and C-Class shares will vary due to differences in fee structure.

THE RYDEX SERIES FUNDS ANNUAL REPORT    |    13

PERFORMANCE REPORTS AND FUND PROFILES (Unaudited) (continued)

BIOTECHNOLOGY FUND

OBJECTIVE: Seeks capital appreciation by investing in companies that are involved in the biotechnology industry, including companies involved in research and development, genetic or other biological engineering, and in the design, manufacture or sale of related biotechnology products or services.

Inception: April 1, 1998

For the one-year period ended March 31, 2009, Rydex Biotechnology Fund Investor Class returned - -9.95% compared to the S&P 500 Index, which returned -38.09%. Biotechnology remained one of the strongest performing sectors over the past year, helped by a wave of consolidation and mergers and acquisition activity. However, the industry was not immune to the global economic crisis as critical research and development budgets continued to get cut as the credit freeze continued to limit leading biotech companies’ ability to raise new capital. The best-performing stocks in the Fund were Genentech, Millennium Pharmaceuticals, CV Therapeutics Inc., ImClone Systems and Amgen, Inc. The worst-performing stocks in the Fund included BioMarin Pharmaceutical, Inc., Celgene Corp., Genzyme Corp., Human Genome Sciences, Inc. and Amylin Pharmaceuticals, Inc.

Industry Diversification (Market Exposure as % of Net Assets)

“Industry Diversification (Market Exposure as % of Net Assets)” excludes any temporary cash investments.

Inception Dates:
Investor Class	April 1, 1998
Advisor Class	April 1, 1998
A-Class	September 1, 2004
C-Class	March 30, 2001

Ten Largest Holdings
(% of Total Net Assets)
Amgen, Inc.	11.1	%
Gilead Sciences, Inc.	10.1	%
Celgene Corp.	6.6	%
Biogen Idec, Inc.	6.4	%
Genzyme Corp.	5.9	%
Myriad Genetics, Inc.	3.6	%
Cephalon, Inc.	3.2	%
Vertex Pharmaceuticals, Inc.	3.1	%
Alexion Pharmaceuticals, Inc.	2.8	%
OSI Pharmaceuticals, Inc.	2.4	%
Top Ten Total	55.2	%

“Ten Largest Holdings” exclude any temporary cash or derivative investments.

14    |    THE RYDEX SERIES FUNDS ANNUAL REPORT

PERFORMANCE REPORTS AND FUND PROFILES (Unaudited) (continued)

BIOTECHNOLOGY FUND

Cumulative Fund Performance

†	Initial investment has been adjusted for the maximum sales charge of 4.75%.
††	Data points for the line graph do not reflect the reinvestment of dividends on securities in the index.

AVERAGE ANNUAL TOTAL RETURNS FOR THE PERIOD ENDED 03/31/09

	Investor Class									Advisor Class
	(04/01/98)									(04/01/98)
	ONE			FIVE			TEN			ONE			FIVE			TEN
	YEAR			YEAR			YEAR			YEAR			YEAR			YEAR
BIOTECHNOLOGY FUND		-9.95	%		-1.19	%		4.25	%		-10.40	%		-1.66	%		3.76	%
S&P 500 INDEX		-38.09	%		-4.76	%		-3.00	%		-38.09	%		-4.76	%		-3.00	%
S&P 500 HEALTH CARE INDEX		-19.74	%		-2.26	%		-1.41	%		-19.74	%		-2.26	%		-1.41	%

	A-Class												C-Class
	(09/01/04)												(03/30/01)
	ONE			ONE			SINCE			SINCE			ONE			ONE			FIVE			SINCE
	YEAR			YEAR*			INCEPTION			INCEPTION*			YEAR			YEAR**			YEAR			INCEPTION
BIOTECHNOLOGY FUND		-10.18	%		-14.45	%		0.68	%		-0.39	%		-10.78	%		-11.67	%		-2.16	%		-2.38	%
S&P 500 INDEX		-38.09	%		-38.09	%		-4.97	%		-4.97	%		-38.09	%		-38.09	%		-4.76	%		-2.77	%
S&P 500 HEALTH CARE INDEX		-19.74	%		-19.74	%		-2.29	%		-2.29	%		-19.74	%		-19.74	%		-2.26	%		-1.92	%

*	Fund returns are calculated using the maximum sales charge of 4.75%.
**	Fund returns include a CDSC of 1% if redeemed within 12 months of purchase.

The returns presented above do not reflect the effects of taxes. Past performance is no guarantee of future results. The S&P 500 Index and the S&P 500 Health Care Index are unmanaged stock indices and, unlike the Fund, have no management fees or other operating expenses to reduce their reported returns. Returns are historical and include changes in principal and reinvested dividends and capital gains. The graphs are based on Investor Class shares and A-Class shares only; performance for Advisor Class shares and C-Class shares will vary due to differences in fee structure.

THE RYDEX SERIES FUNDS ANNUAL REPORT    |    15

PERFORMANCE REPORTS AND FUND PROFILES (Unaudited) (continued)

CONSUMER PRODUCTS FUND

OBJECTIVE: Seeks capital appreciation by investing in companies engaged in manufacturing finished goods and services both domestically and internationally.

Inception: July 6, 1998

For the one-year period ended March 31, 2009, Rydex Consumer Products Fund Investor Class returned - -26.96% as compared to the S&P 500 Index, which returned -38.09%. The consumer products sector fared better than most of the broader markets due to the fact that the demand for consumer staples remained fairly consistent throughout the year. Several high profile mergers and acquisition occurred this year as large American icons such as Anheuser-Busch Co., WM. Wrigley Jr. and UST were bought out. The best-performing stocks in the Fund included Anheuser-Busch Co., WM. Wrigley Jr., UST, Hansen Natural Corp. and American Italian Pasta Co. The worst-performing stocks in the Fund included Proctor & Gamble Co., Unilever NV, Pepsico, Inc. and Coca-Cola Co..

Industry Diversification (Market Exposure as % of Net Assets)

“Industry Diversification (Market Exposure as % of Net Assets)” excludes any temporary cash investments.

Inception Dates:
Investor Class	July 6, 1998
Advisor Class	August 17, 1998
A-Class	September 1, 2004
C-Class	July 24, 2001

Ten Largest Holdings
(% of Total Net Assets)
Procter & Gamble Co.	7.3	%
Coca-Cola Co.	6.7	%
PepsiCo, Inc.	6.0	%
Philip Morris International, Inc.	5.4	%
Altria Group, Inc.	3.8	%
Unilever NV	3.6	%
Colgate-Palmolive Co.	3.5	%
Kraft Foods, Inc.	3.4	%
Diageo PLC — SP ADR	3.3	%
Archer-Daniels-Midland Co.	2.8	%
Top Ten Total	45.8	%

“Ten Largest Holdings” exclude any temporary cash or derivative investments.

16    |    THE RYDEX SERIES FUNDS ANNUAL REPORT

PERFORMANCE REPORTS AND FUND PROFILES (Unaudited) (continued)

CONSUMER PRODUCTS FUND

Cumulative Fund Performance

†	Initial investment has been adjusted for the maximum sales charge of 4.75%.
††	Data points for the line graph do not reflect the reinvestment of dividends on securities in the index.

AVERAGE ANNUAL TOTAL RETURNS FOR THE PERIOD ENDED 03/31/09

	Investor Class															Advisor Class
	(07/06/98)															(08/17/98)
	ONE			FIVE			TEN									ONE			FIVE			TEN
	YEAR			YEAR			YEAR									YEAR			YEAR			YEAR
CONSUMER PRODUCTS FUND		-26.96	%		-1.01	%		-0.19	%								-27.29	%		-1.50	%		-0.67	%
S&P 500 INDEX		-38.09	%		-4.76	%		-3.00	%								-38.09	%		-4.76	%		-3.00	%
S&P 500 CONSUMER STAPLES INDEX		-22.64	%		1.01	%		1.83	%								-22.64	%		1.01	%		1.83	%
	A-Class												C-Class
	(09/01/04)												(07/24/01)
	ONE			ONE			SINCE			SINCE			ONE			ONE			FIVE			SINCE
	YEAR			YEAR*			INCEPTION			INCEPTION*			YEAR			YEAR**			YEAR			INCEPTION
CONSUMER PRODUCTS FUND		-27.14	%		-30.60	%		-0.96	%		-2.01	%		-27.67	%		-28.39	%		-2.02	%		2.04	%
S&P 500 INDEX		-38.09	%		-38.09	%		-4.97	%		-4.97	%		-38.09	%		-38.09	%		-4.76	%		-3.06	%
S&P 500 CONSUMER STAPLES INDEX		-22.64	%		-22.64	%		1.65	%		1.65	%		-22.64	%		-22.64	%		1.01	%		3.12	%

*	Fund returns are calculated using the maximum sales charge of 4.75%.
**	Fund returns include a CDSC of 1% if redeemed within 12 months of purchase.

The returns presented above do not reflect the effects of taxes. Past performance is no guarantee of future results. The S&P 500 Index and the S&P 500 Consumer Staples Index are unmanaged stock indices and, unlike the Fund, have no management fees or other operating expenses to reduce their reported returns. Returns are historical and include changes in principal and reinvested dividends and capital gains. The graphs are based on Investor Class shares and A-Class shares only; performance for Advisor Class shares and C-Class shares will vary due to differences in fee structure.

THE RYDEX SERIES FUNDS ANNUAL REPORT    |    17

PERFORMANCE REPORTS AND FUND PROFILES (Unaudited) (continued)

ELECTRONICS FUND

OBJECTIVE: Seeks capital appreciation by investing in companies that are involved in the electronics sector, including semiconductor manufacturers and distributions, and makers and vendors of other electronic components and devices.

Inception: April 1, 1998

For the one-year period ended March 31, 2009, Rydex Electronics Fund Investor Class returned - -34.89% as compared to the S&P 500 Index, which returned -38.09%. The electronics sector consists primarily of one industry group—semiconductors and semiconductor equipment—which lost 32.82% this year. Needless to say, the electronics industry was hit hard from reduced consumer spending, as the economy slipped into a recession. Increased competition from new and existing competitors entering the electronic market decreased operating and profit margins across the industry. Also, changing consumer demand as well as the industry’s rapid development of new technologies created shorter and shorter product life cycles. In order to effectively compete in the marketplace, companies are forced to maintain large research and development programs which in turn affect their bottom line. The best-performing holdings included Broadcom Corp., Taiwan Semiconductor Manufacturing Company Ltd., Cypress Semiconductor, Skyworks Solutions, Inc. and PMC-Sierra, Inc. The worst-performing included Infineon Technologies AG, MEMC Electronic Materials, Inc., Applied Materials, Inc., STMicroelectronics NV and Texas Instruments, Inc.

Industry Diversification (Market Exposure as % of Net Assets)

“Industry Diversification (Market Exposure as % of Net Assets)” excludes any temporary cash investments.

Inception Dates:
Investor Class	April 1, 1998
Advisor Class	April 2, 1998
A-Class	September 1, 2004
C-Class	March 26, 2001

Ten Largest Holdings
(% of Total Net Assets)
Intel Corp.	11.1	%
Taiwan Semiconductor
Manufacturing Company Ltd. — SP ADR	8.4	%
Texas Instruments, Inc.	5.6	%
Applied Materials, Inc.	4.5	%
Broadcom Corp. — Class A	3.7	%
ASML Holding NV	3.2	%
Marvell Technology Group Ltd.	3.1	%
NVIDIA Corp.	2.9	%
Xilinx, Inc.	2.8	%
Altera Corp.	2.7	%
Top Ten Total	48.0	%

“Ten Largest Holdings” exclude any temporary cash or derivative investments.

18    |    THE RYDEX SERIES FUNDS ANNUAL REPORT

PERFORMANCE REPORTS AND FUND PROFILES (Unaudited) (continued)

ELECTRONICS FUND

Cumulative Fund Performance

†	Initial investment has been adjusted for the maximum sales charge of 4.75%.
††	Data points for the line graph do not reflect the reinvestment of dividends on securities in the index.

AVERAGE ANNUAL TOTAL RETURNS FOR THE PERIOD ENDED 03/31/09

	Investor Class															Advisor Class
	(04/01/98)															(04/02/98)
	ONE			FIVE			TEN									ONE			FIVE			TEN
	YEAR			YEAR			YEAR									YEAR			YEAR			YEAR
ELECTRONICS FUND		-34.89	%		-13.38	%		-7.27	%								-35.15	%		-13.79	%		-7.73	%
S&P 500 INDEX		-38.09	%		-4.76	%		-3.00	%								-38.09	%		-4.76	%		-3.00	%
S&P 500 INFORMATION TECHNOLOGY INDEX		-30.07	%		-4.49	%		-6.73	%								-30.07	%		-4.49	%		-6.73	%
	A-Class												C-Class
	(09/01/04)												(03/26/01)
	ONE			ONE			SINCE			SINCE			ONE			ONE			FIVE			SINCE
	YEAR			YEAR*			INCEPTION			INCEPTION*			YEAR			YEAR**			YEAR			INCEPTION
ELECTRONICS FUND		-35.13	%		-38.21	%		-8.11	%		-9.08	%		-35.39	%		-36.04	%		-14.16	%		-13.13	%
S&P 500 INDEX		-38.09	%		-38.09	%		-4.97	%		-4.97	%		-38.09	%		-38.09	%		-4.76	%		-2.69	%
S&P 500 INFORMATION TECHNOLOGY INDEX		-30.07	%		-30.07	%		-2.81	%		-2.81	%		-30.07	%		-30.07	%		-4.49	%		-5.03	%

*	Fund returns are calculated using the maximum sales charge of 4.75%.
**	Fund returns include a CDSC of 1% if redeemed within 12 months of purchase.

The returns presented above do not reflect the effects of taxes. Past performance is no guarantee of future results. The S&P 500 Index and the S&P 500 Information Technology Index are unmanaged stock indices and, unlike the Fund, have no management fees or other operating expenses to reduce their reported returns. Returns are historical and include changes in principal and reinvested dividends and capital gains. The graphs are based on Investor Class shares and A-Class shares only; performance for Advisor Class shares and C-Class shares will vary due to differences in fee structure.

THE RYDEX SERIES FUNDS ANNUAL REPORT    |    19

PERFORMANCE REPORTS AND FUND PROFILES (Unaudited) (continued)

ENERGY FUND

OBJECTIVE: Seeks capital appreciation by investing in companies involved in the energy field, including the exploration, production and development of oil, gas, coal and alternative sources of energy.

Inception: April 21, 1998

For the one-year period ended March 31, 2009, Rydex Energy Fund Investor Class returned -46.01% as compared to the S&P 500 Index, which returned -38.09%. The industry saw a tumultuous year in which oil prices soared to new highs of $147/barrel in July 2008, only to come crashing down to $32/barrel by December. By mid-March 2009, the price of oil stabilized at $50/barrel. The drop in oil prices was a direct result of reduced demand as the global economy slipped into a recession, which then forced OPEC to dramatically cut its oil production to help stabilize the price of oil. Natural gas, gasoline and heating oil prices also fell throughout the year—in line with declining oil prices. This plummet in oil prices negatively impacted the entire energy sector, which consists of two industry groups—energy equipment and services (down more than half for the year) and oil, gas and consumable fuels. Despite the doom and gloom in the sector, a few stocks managed to end 2008 in the black. The best-performing holdings included Concho Resources, Inc., Petrohawk Energy Corp., Grant Prideco, CNX Gas Corp. and Noble Energy, Inc. The worst-performing stocks in the Fund were Schlumberger Ltd., ConocoPhillips, Devon Energy Corp., Transocean Ltd. and Halliburton Co.

Industry Diversification (Market Exposure as % of Net Assets)

“Industry Diversification (Market Exposure as % of Net Assets)” excludes any temporary cash investments.

Inception Dates:
Investor Class	April 21, 1998
Advisor Class	May 5, 1998
A-Class	September 1, 2004
C-Class	April 19, 2001

Ten Largest Holdings
(% of Total Net Assets)
Exxon Mobil Corp.	8.0	%
Chevron Corp.	5.2	%
BP PLC — SP ADR	5.0	%
Petroleo Brasileiro SA	4.5	%
Royal Dutch Shell PLC — SP ADR	3.8	%
Schlumberger Ltd.	3.2	%
ConocoPhillips	3.1	%
Occidental Petroleum Corp.	3.1	%
Canadian Natural Resources Ltd.	2.2	%
Transocean Ltd.	2.1	%
Top Ten Total	40.2	%

“Ten Largest Holdings” exclude any temporary cash or derivative investments.

20    |    THE RYDEX SERIES FUNDS ANNUAL REPORT

PERFORMANCE REPORTS AND FUND PROFILES (Unaudited) (continued)

ENERGY FUND

Cumulative Fund Performance

†	Initial investment has been adjusted for the maximum sales charge of 4.75%.
††	Data points for the line graph do not reflect the reinvestment of dividends on securities in the index.

AVERAGE ANNUAL TOTAL RETURNS FOR THE PERIOD ENDED 03/31/09

	Investor Class															Advisor Class
	(04/21/98)															(05/05/98)
	ONE			FIVE			TEN									ONE			FIVE			TEN
	YEAR			YEAR			YEAR									YEAR			YEAR			YEAR
ENERGY FUND		-46.01	%		5.73	%		5.93	%								-46.29	%		5.17	%		5.40	%
S&P 500 INDEX		-38.09	%		-4.76	%		-3.00	%								-38.09	%		-4.76	%		-3.00	%
S&P 500 ENERGY INDEX		-37.94	%		9.57	%		8.00	%								-37.94	%		9.57	%		8.00	%
	A-Class												C-Class
	(09/01/04)												(04/19/01)
	ONE			ONE			SINCE			SINCE			ONE			ONE			FIVE			SINCE
	YEAR			YEAR*			INCEPTION			INCEPTION*			YEAR			YEAR**			YEAR			INCEPTION
ENERGY FUND		-46.15	%		-48.71	%		3.84	%		2.73	%		-46.55	%		-47.08	%		4.67	%		2.80	%
S&P 500 INDEX		-38.09	%		-38.09	%		-4.97	%		-4.97	%		-38.09	%		-38.09	%		-4.76	%		-3.74	%
S&P 500 ENERGY INDEX		-37.94	%		-37.94	%		7.88	%		7.88	%		-37.94	%		-37.94	%		9.57	%		7.01	%

*	Fund returns are calculated using the maximum sales charge of 4.75%.
**	Fund returns include a CDSC of 1% if redeemed within 12 months of purchase.

The returns presented above do not reflect the effects of taxes. Past performance is no guarantee of future results. The S&P 500 Index and the S&P 500 Energy Index are unmanaged stock indices and, unlike the Fund, have no management fees or other operating expenses to reduce their reported returns. Returns are historical and include changes in principal and reinvested dividends and capital gains. The graphs are based on Investor Class shares and A-Class shares only; performance for Advisor Class shares and C-Class shares will vary due to differences in fee structure.

THE RYDEX SERIES FUNDS ANNUAL REPORT    |    21

PERFORMANCE REPORTS AND FUND PROFILES (Unaudited) (continued)

ENERGY SERVICES FUND

OBJECTIVE: Seeks capital appreciation by investing in companies that are involved in the energy services field, including those that provide services and equipment in the areas of oil, coal and gas exploration and production.

Inception: April 1, 1998

For the one-year period ended March 31, 2009, Rydex Energy Services Fund Investor Class returned - -56.81% as compared to the S&P 500 Index, which returned -38.09%. It was a tumultuous year for the energy services industry. Oil prices soared to new highs of $147/barrel in July 2008, only to come crashing down to $32/barrel by December. By mid-March 2009, the price of oil stabilized at $50/barrel. The drop in oil prices was a result of two industry-wide factors. First, there was reduced demand as the global economy slipped into a recession, forcing OPEC to dramatically cut its oil production to help stabilize the price of oil. Thus, margins suffered as customers reduced their operations and requested concessions. Second, new natural gas and mining technology broadened supply and further drove down prices in the industry. Despite the turbulence seen throughout the sector, a few stocks in the Fund managed to end 2008 in positive territory, namely: Grant Prideco, Inc., W-H Energy Services, Inc., Bristow Group, Inc., John Bean Technologies Corp. and Cal Dive International, Inc. The worst-performing stocks in the Fund included, Schlumberger Ltd., Transocean Ltd., Weatherford International Ltd., Halliburton Co. and Smith International, Inc.

Industry Diversification (Market Exposure as % of Net Assets)

“Industry Diversification (Market Exposure as % of Net Assets)” excludes any temporary cash investments.

Inception Dates:
Investor Class	April 1, 1998
Advisor Class	April 2, 1998
A-Class	September 1, 2004
C-Class	March 30, 2001

Ten Largest Holdings
(% of Total Net Assets)
Schlumberger Ltd.	10.8	%
Transocean Ltd.	7.0	%
National-Oilwell Varco, Inc.	5.7	%
Halliburton Co.	5.4	%
Tenaris SA — SP ADR	5.3	%
Diamond Offshore Drilling, Inc.	4.6	%
Baker Hughes, Inc.	4.4	%
Weatherford International Ltd.	4.3	%
Noble Corp.	3.7	%
Cameron International Corp.	3.3	%
Top Ten Total	54.5	%

“Ten Largest Holdings” exclude any temporary cash or derivative investments.

22    |    THE RYDEX SERIES FUNDS ANNUAL REPORT

PERFORMANCE REPORTS AND FUND PROFILES (Unaudited) (continued)

ENERGY SERVICES FUND

Cumulative Fund Performance

†	Initial investment has been adjusted for the maximum sales charge of 4.75%.
††	Data points for the line graph do not reflect the reinvestment of dividends on securities in the index.

AVERAGE ANNUAL TOTAL RETURNS FOR THE PERIOD ENDED 03/31/09

	Investor Class															Advisor Class
	(04/01/98)															(04/02/98)
	ONE			FIVE			TEN									ONE			FIVE			TEN
	YEAR			YEAR			YEAR									YEAR			YEAR			YEAR
ENERGY SERVICES FUND		-56.81	%		2.89	%		3.33	%								-57.02	%		2.39	%		2.83	%
S&P 500 INDEX		-38.09	%		-4.76	%		-3.00	%								-38.09	%		-4.76	%		-3.00	%
S&P 500 ENERGY INDEX		-37.94	%		9.57	%		8.00	%								-37.94	%		9.57	%		8.00	%
	A-Class												C-Class
	(09/01/04)												(03/30/01)
	ONE			ONE			SINCE			SINCE			ONE			ONE			FIVE			SINCE
	YEAR			YEAR*			INCEPTION			INCEPTION*			YEAR			YEAR**			YEAR			INCEPTION
ENERGY SERVICES FUND		-56.90	%		-58.95	%		0.88	%		-0.19	%		-57.23	%		-56.67	%		1.89	%		-2.02	%
S&P 500 INDEX		-38.09	%		-38.09	%		-4.97	%		-4.97	%		-38.09	%		-38.09	%		-4.76	%		-2.77	%
S&P 500 ENERGY INDEX		-37.94	%		-37.94	%		7.88	%		7.88	%		-37.94	%		-37.94	%		9.57	%		7.43	%

*	Fund returns are calculated using the maximum sales charge of 4.75%.
**	Fund returns include a CDSC of 1% if redeemed within 12 months of purchase.

The returns presented above do not reflect the effects of taxes. Past performance is no guarantee of future results. The S&P 500 Index and the S&P 500 Energy Index are unmanaged stock indices and, unlike the Fund, have no management fees or other operating expenses to reduce their reported returns. Returns are historical and include changes in principal and reinvested dividends and capital gains. The graphs are based on Investor Class shares and A-Class shares only; performance for Advisor Class shares and C-Class shares will vary due to differences in fee structure.

THE RYDEX SERIES FUNDS ANNUAL REPORT    |    23

PERFORMANCE REPORTS AND FUND PROFILES (Unaudited) (continued)

FINANCIAL SERVICES FUND

OBJECTIVE: Seeks capital appreciation by investing in companies that are involved in the financial services sector.

Inception: April 2, 1998

The subprime debacle and subsequent collapse of the U.S. housing market decimated the financial sector again this year. For the one-year period ended March 31, 2009, Rydex Financial Services Fund Investor Class returned -54.76% as compared to the S&P 500 Index, which returned -38.09%. Lehman Brothers Holdings, Inc.’s historic bankruptcy on September 15, 2008 led to a freeze in the banking sector. Also in September, Bank of America acquired troubled Merrill Lynch & Company, Inc. As financial stocks went into a proverbial free-fall, the Securities and Exchange Commission was forced to place a temporary ban on short sales of financial securities within a week of the Lehman bankruptcy. Many banks reported additional write-downs of assets tied to the mortgage industry. On September 7, the government stepped in and placed Freddie Mac and Fannie Mae into government conservatorship in an attempt to save two of the largest mortgage lenders in the United States. Needless to say, this would not be the last of the legislation. Much of the banking sector received government-sponsored TARP funds to strengthen their balance sheets and keep their doors open.

The sector will continue to be under intense scrutiny and will most likely face additional regulations and capital requirement going forward. While several banks failed, or were simply taken over, there were a few industry stand-outs held in the Fund, namely, Fidelity National Financial, Inc., Northern Trust Corp., UnionBanCal Corp., Philadelphia Consolidated Holding Corp. and Greenhill & Company, Inc. The worst-performing stocks in the Fund for the period included HSBC Holdings PLC, Bank of America Corp., Citigroup, Wells Fargo & Co. and American International Group, Inc.

Industry Diversification (Market Exposure as % of Net Assets)

“Industry Diversification (Market Exposure as % of Net Assets)” excludes any temporary cash investments.

Inception Dates:
Investor Class	April 2, 1998
Advisor Class	April 6, 1998
A-Class	September 1, 2004
C-Class	April 19, 2001

Ten Largest Holdings
(% of Total Net Assets)
JPMorgan Chase & Co.	3.2	%
Goldman Sachs Group, Inc.	2.6	%
Wells Fargo & Co.	2.2	%
HSBC Holdings PLC — SP ADR	2.2	%
Bank of America Corp.	2.1	%
Credit Suisse Group AG — SP ADR	1.9	%
Bank of New York Mellon Corp.	1.9	%
Barclays PLC — SP ADR	1.7	%
U.S. Bancorp	1.6	%
Morgan Stanley	1.6	%
Top Ten Total	21.0	%

“Ten Largest Holdings” exclude any temporary cash or derivative investments.

24    |    THE RYDEX SERIES FUNDS ANNUAL REPORT

PERFORMANCE REPORTS AND FUND PROFILES (Unaudited) (continued)

FINANCIAL SERVICES FUND

Cumulative Fund Performance

†	Initial investment has been adjusted for the maximum sales charge of 4.75%.
††	Data points for the line graph do not reflect the reinvestment of dividends on securities in the index.

AVERAGE ANNUAL TOTAL RETURNS FOR THE PERIOD ENDED 03/31/09

				Investor Class									Advisor Class
				(04/02/98)									(04/06/98)
	ONE			FIVE			TEN			ONE			FIVE			TEN
	YEAR			YEAR			YEAR			YEAR			YEAR			YEAR
FINANCIAL SERVICES FUND		-54.76	%		-15.51	%		-6.95	%		-55.06	%		-15.97	%		-7.33	%
S&P 500 INDEX		-38.09	%		-4.76	%		-3.00	%		-38.09	%		-4.76	%		-3.00	%
S&P 500 FINANCIALS INDEX		-62.99	%		-19.01	%		-7.60	%		-62.99	%		-19.01	%		-7.60	%

							A-Class									C-Class
							(09/01/04)									(04/19/01)
	ONE			ONE			SINCE			SINCE			ONE			ONE			FIVE			SINCE
	YEAR			YEAR*			INCEPTION			INCEPTION*			YEAR			YEAR**			YEAR			INCEPTION
FINANCIAL SERVICES FUND		-54.92	%		-57.06	%		-16.87	%		-17.76	%		-55.16	%		-55.61	%		-16.39	%		-10.06	%
S&P 500 INDEX		-38.09	%		-38.09	%		-4.97	%		-4.97	%		-38.09	%		-38.09	%		-4.76	%		-3.74	%
S&P 500 FINANCIALS INDEX		-62.99	%		-62.99	%		-20.26	%		-20.26	%		-62.99	%		-62.99	%		-19.01	%		-11.12	%

*	Fund returns are calculated using the maximum sales charge of 4.75%.
**	Fund returns include a CDSC of 1% if redeemed within 12 months of purchase.

The returns presented above do not reflect the effects of taxes. Past performance is no guarantee of future results. The S&P 500 Index and the S&P 500 Financials Index are unmanaged stock indices and, unlike the Fund, have no management fees or other operating expenses to reduce their reported returns. Returns are historical and include changes in principal and reinvested dividends and capital gains. The graphs are based on Investor Class shares and A-Class shares only; performance for Advisor Class shares and C-Class shares will vary due to differences in fee structure.

THE RYDEX SERIES FUNDS ANNUAL REPORT    |    25

PERFORMANCE REPORTS AND FUND PROFILES (Unaudited) (continued)

HEALTH CARE FUND

Objective: Seeks capital appreciation by investing in companies that are involved in the health care industry.

Inception: April 17, 1998

The health care industry was the lone bright spot and performed significantly better than the broad markets this year. For the one-year period ending March 31, 2009, Rydex Health Care Fund Investor Class returned -21.57% as compared to the S&P 500 Index, which returned -38.09%. While health care costs continue to rise well above inflationary levels, the industry remains cautious about any Universal Health Care Plan that might come out of Washington under the new administration. Companies that maintained large cash holdings were in a better position to maintain or increase their research and development budgets—the blood line to success in the health care and biotech field. The Fund’s best-performing holdings included Schering-Plough Corp., Genentech, Inc., Wyeth, Bristol-Myers Squibb Co. and Millennium Pharmaceuticals. The Fund’s worst-performing holdings included Medtronic, Inc., Pfizer, Inc., Novartis AG, Stryker Corp. and Intuitive Surgical, Inc.

Industry Diversification (Market Exposure as % of Net Assets)

“Industry Diversification (Market Exposure as % of Net Assets)” excludes any temporary cash investments.

Inception Dates:
Investor Class	April 17, 1998
Advisor Class	May 11, 1998
A-Class	September 1, 2004
C-Class	March 30, 2001

Ten Largest Holdings
(% of Total Net Assets)
Johnson & Johnson, Inc.	4.5	%
Novartis AG — SP ADR	3.6	%
Pfizer, Inc.	3.5	%
GlaxoSmithKline PLC — SP ADR	3.3	%
Sanofi-Aventis — SP ADR	3.2	%
Abbott Laboratories	3.1	%
Wyeth	2.9	%
Merck & Company, Inc.	2.8	%
Amgen, Inc.	2.7	%
Schering-Plough Corp.	2.7	%
Top Ten Total	32.3	%

“Ten Largest Holdings” exclude any temporary cash or derivative investments.

26    |    THE RYDEX SERIES FUNDS ANNUAL REPORT

PERFORMANCE REPORTS AND FUND PROFILES (Unaudited) (continued)

HEALTH CARE FUND

Cumulative Fund Performance

†	Initial investment has been adjusted for the maximum sales charge of 4.75%.
††	Data points for the line graph do not reflect the reinvestment of dividends on securities in the index.

AVERAGE ANNUAL TOTAL RETURNS FOR THE PERIOD ENDED 03/31/09

				Investor Class									Advisor Class
				(04/17/98)									(05/11/98)
	ONE			FIVE			TEN			ONE			FIVE			TEN
	YEAR			YEAR			YEAR			YEAR			YEAR			YEAR
HEALTH CARE FUND		-21.57	%		-2.17	%		-0.22	%		-22.03	%		-2.67	%		-0.71	%
S&P 500 INDEX		-38.09	%		-4.76	%		-3.00	%		-38.09	%		-4.76	%		-3.00	%
S&P 500 HEALTH CARE INDEX		-19.74	%		-2.26	%		-1.41	%		-19.74	%		-2.26	%		-1.41	%

							A-Class									C-Class
							(09/01/04)									(03/30/01)
	ONE			ONE			SINCE			SINCE			ONE			ONE			FIVE			SINCE
	YEAR			YEAR*			INCEPTION			INCEPTION*			YEAR			YEAR**			YEAR			INCEPTION
HEALTH CARE FUND		-21.86	%		-25.57	%		-1.86	%		-2.90	%		-22.44	%		-23.22	%		-3.19	%		-1.10	%
S&P 500 INDEX		-38.09	%		-38.09	%		-4.97	%		-4.97	%		-38.09	%		-38.09	%		-4.76	%		-2.77	%
S&P 500 HEALTH CARE INDEX		-19.74	%		-19.74	%		-2.29	%		-2.29	%		-19.74	%		-19.74	%		-2.26	%		-1.92	%

*	Fund returns are calculated using the maximum sales charge of 4.75%.
**	Fund returns include a CDSC of 1% if redeemed within 12 months of purchase.

The returns presented above do not reflect the effects of taxes. Past performance is no guarantee of future results. The S&P 500 Index and the S&P 500 Health Care Index are unmanaged stock indices and, unlike the Fund, have no management fees or other operating expenses to reduce their reported returns. Returns are historical and include changes in principal and reinvested dividends and capital gains. The graphs are based on Investor Class shares and A-Class shares only; performance for Advisor Class shares and C-Class shares will vary due to differences in fee structure.

THE RYDEX SERIES FUNDS ANNUAL REPORT    |    27

PERFORMANCE REPORTS AND FUND PROFILES (Unaudited) (continued)

INTERNET FUND

Objective: Seeks capital appreciation by investing in companies that provide products or services designed for or related to the Internet.

Inception: April 6, 2000

For the one-year period ended March 31, 2009, Rydex Internet Fund Investor Class returned -29.63% as compared to the S&P 500 Index, which returned -38.09%. Online retailers struggled as a result of weakened consumer demand as the economy fell into a recession in the latter half of the year. That being said, online retailers performed better than their brick-and-mortar counterparts. Companies that produce equipment for Internet usage—such as Research in Motion Ltd., Cisco Systems, Inc. and Sun Microsystems, Inc.—continued to struggle from weak economic demand. However, Internet advertising continued to grow in 2008 and is now on par with advertising sales in national newspapers and television markets. Rydex Internet Fund’s best-performing holdings for the year included Amazon.com, Inc., Netflix, Inc., Broadcom Corp., Red Hat, Inc. and HLTH Corp. The worst-performing holdings in the Fund were Research in Motion Ltd., Cisco Systems, Inc., eBay, Inc., Yahoo!, Inc. and Sun Microsystems, Inc.

Industry Diversification (Market Exposure as % of Net Assets)

“Industry Diversification (Market Exposure as % of Net Assets)” excludes any temporary cash investments.

Inception Dates:
Investor Class	April 6, 2000
Advisor Class	April 6, 2000
A-Class	September 1, 2004
C-Class	April 19, 2001

Ten Largest Holdings
(% of Total Net Assets)
Cisco Systems, Inc.	8.9	%
Google, Inc. — Class A	8.6	%
Qualcomm, Inc.	7.9	%
Amazon.com, Inc.	7.2	%
Yahoo!, Inc.	4.9	%
Research In Motion Ltd.	4.4	%
eBay, Inc.	4.4	%
Symantec Corp.	4.0	%
Time Warner, Inc.	3.9	%
Intuit, Inc.	3.7	%
Top Ten Total	57.9	%

“Ten Largest Holdings” exclude any temporary cash or derivative investments.

28    |    THE RYDEX SERIES FUNDS ANNUAL REPORT

PERFORMANCE REPORTS AND FUND PROFILES (Unaudited) (continued)

INTERNET FUND

Cumulative Fund Performance

†	Initial investment has been adjusted for the maximum sales charge of 4.75%.
††	Data points for the line graph do not reflect the reinvestment of dividends on securities in the index.

AVERAGE ANNUAL TOTAL RETURNS FOR THE PERIOD ENDED 03/31/09

	Investor Class															Advisor Class
	(04/06/00)															(04/06/00)
	ONE			FIVE			SINCE									ONE			FIVE			SINCE
	YEAR			YEAR			INCEPTION									YEAR			YEAR			INCEPTION
INTERNET FUND		-29.63	%		-5.26	%		-19.91	%								-29.99	%		-5.72	%		-20.33	%
S&P 500 INDEX		-38.09	%		-4.76	%		-5.11	%								-38.09	%		-4.76	%		-5.11	%
S&P 500 INFORMATION TECHNOLOGY INDEX		-30.07	%		-4.49	%		-13.07	%								-30.07	%		-4.49	%		-13.07	%
	A-Class												C-Class
	(09/01/04)												(04/19/01)
	ONE			ONE			SINCE			SINCE			ONE			ONE			FIVE			SINCE
	YEAR			YEAR*			INCEPTION			INCEPTION*			YEAR			YEAR**			YEAR			INCEPTION
INTERNET FUND		-29.82	%		-33.15	%		-3.32	%		-4.35	%		-30.28	%		-30.98	%		-6.17	%		-9.02	%
S&P 500 INDEX		-38.09	%		-38.09	%		-4.97	%		-4.97	%		-38.09	%		-38.09	%		-4.76	%		-3.74	%
S&P 500 INFORMATION TECHNOLOGY INDEX		-30.07	%		-30.07	%		-2.81	%		-2.81	%		-30.07	%		-30.07	%		-4.49	%		-6.74	%

*	Fund returns are calculated using the maximum sales charge of 4.75%.
**	Fund returns include a CDSC of 1% if redeemed within 12 months of purchase.

The returns presented above do not reflect the effects of taxes. Past performance is no guarantee of future results. The S&P 500 Index and the S&P 500 Information Technology Index are unmanaged stock indices and, unlike the Fund, have no management fees or other operating expenses to reduce their reported returns. Returns are historical and include changes in principal and reinvested dividends and capital gains. The graphs are based on Investor Class shares and A-Class shares only; performance for Advisor Class shares and C-Class shares will vary due to differences in fee structure.

THE RYDEX SERIES FUNDS ANNUAL REPORT    |    29

PERFORMANCE REPORTS AND FUND PROFILES (Unaudited) (continued)

LEISURE FUND

Objective: Seeks capital appreciation by investing in companies engaged in the leisure and entertainment business.

Inception: April 1, 1998

For the one-year period ended March 31, 2009, Rydex Leisure Fund Investor Class returned -51.45% as compared to the S&P 500 Index, which returned -38.09%. While reduced consumer demand hurt retail spending, it did not curtail Americans’ appetite for eating out—restaurant stocks showed positive returns for the leisure industry over the past 12 months. Weak consumer confidence did hurt the hotel industry as well as the entertainment industry as people decided to vacation closer to home. Resorts in Las Vegas were hit especially hard as reductions in travel reduced foot traffic in casinos. The Fund’s best-performing holdings included Darden Restaurants, Inc., Panera Bread Co., Brinker International, Inc., Regal Entertainment Group and Jack in the Box, Inc. The Fund’s worst-performing holdings included Las Vegas Sands Corp., MGM MIRAGE, News Corp., Wynn Resorts Ltd. and Walt Disney Co.

Industry Diversification (Market Exposure as % of Net Assets)

“Industry Diversification (Market Exposure as % of Net Assets)” excludes any temporary cash investments.

Inception Dates:
Investor Class	April 1, 1998
Advisor Class	June 3, 1998
A-Class	September 1, 2004
C-Class	May 3, 2001

Ten Largest Holdings
(% of Total Net Assets)
McDonald’s Corp.	8.5	%
Walt Disney Co.	6.1	%
Activision Blizzard Inc.	4.5	%
Time Warner, Inc.	4.4	%
Carnival Corp.	4.4	%
Yum! Brands, Inc.	3.9	%
News Corp. — Class A	3.9	%
Viacom, Inc. — Class B	3.8	%
Starbucks Corp.	3.6	%
Electronic Arts, Inc.	2.9	%
Top Ten Total	46.0	%

“Ten Largest Holdings” exclude any temporary cash or derivative investments.

30    |    THE RYDEX SERIES FUNDS ANNUAL REPORT

PERFORMANCE REPORTS AND FUND PROFILES (Unaudited) (continued)

LEISURE FUND

Cumulative Fund Performance

†	Initial investment has been adjusted for the maximum sales charge of 4.75%.
††	Data points for the line graph do not reflect the reinvestment of dividends on securities in the index.

AVERAGE ANNUAL TOTAL RETURNS FOR THE PERIOD ENDED 03/31/09

	Investor Class															Advisor Class
	(04/01/98)															(06/03/98)
	ONE			FIVE			TEN									ONE			FIVE			TEN
	YEAR			YEAR			YEAR									YEAR			YEAR			YEAR
LEISURE FUND		-51.45	%		-11.05	%		-7.43	%								-51.66	%		-11.48	%		-7.92	%
S&P 500 INDEX		-38.09	%		-4.76	%		-3.00	%								-38.09	%		-4.76	%		-3.00	%
S&P 500 CONSUMER DISCRETIONARY INDEX		-35.05	%		-7.99	%		-4.21	%								-35.05	%		-7.99	%		-4.21	%
	A-Class												C-Class
	(09/01/04)												(05/03/01)
	ONE			ONE			SINCE			SINCE			ONE			ONE			FIVE			SINCE
	YEAR			YEAR*			INCEPTION			INCEPTION*			YEAR			YEAR**			YEAR			INCEPTION
LEISURE FUND		-51.58	%		-53.88	%		-10.67	%		-11.62	%		-51.92	%		-52.40	%		-11.94	%		-8.59	%
S&P 500 INDEX		-38.09	%		-38.09	%		-4.97	%		-4.97	%		-38.09	%		-38.09	%		-4.76	%		-3.72	%
S&P 500 CONSUMER DISCRETIONARY INDEX		-35.05	%		-35.05	%		-7.86	%		-7.86	%		-35.05	%		-35.05	%		-7.99	%		-5.20	%

*	Fund returns are calculated using the maximum sales charge of 4.75%.
**	Fund returns include a CDSC of 1% if redeemed within 12 months of purchase.

The returns presented above do not reflect the effects of taxes. Past performance is no guarantee of future results. The S&P 500 Index and the S&P 500 Consumer Discretionary Index are unmanaged stock indices and, unlike the Fund, have no management fees or other operating expenses to reduce their reported returns. Returns are historical and include changes in principal and reinvested dividends and capital gains. The graphs are based on Investor Class shares and A-Class shares only; performance for Advisor Class shares and C-Class shares will vary due to differences in fee structure.

THE RYDEX SERIES FUNDS ANNUAL REPORT    |    31

PERFORMANCE REPORTS AND FUND PROFILES (Unaudited) (continued)

PRECIOUS METALS FUND

Objective: Seeks to provide capital appreciation by investing in U.S and foreign companies that are involved in the precious metals sector, including exploration, mining, production and development, and other precious metals-related services.

Inception: December 1, 1993

For the one-year period ended March 31, 2009, Rydex Precious Metals Fund Investor Class returned - -33.67% as compared to the S&P 500 Index which returned -38.09%. The fund represents a concentrated investment in the stocks of gold and other precious metal producers. High commodity prices in the first half of 2008 boosted revenues for many of the industry’s top-producers, with the exception of platinum, which was hit hard as car manufacturers such as Ford, General Motors and Chrysler announced production cuts and looked to Congress for an industry-wide bailout. In the latter half of 2008, only gold—a traditional safe haven for investors—remained positive.

The Fund’s best-performing holdings included AngloGold Ashant Ltd., Eldorado Gold Corp., Randgold Resources Ltd., Royal Gold, Inc. and Gold Fields Ltd. The worst-performing stocks in the Fund included Freeport-McMoRan Copper & Gold, Inc., Coeur d’Alene Mines, Hecla Mining Co., Apex Silver Mines and Novagold Resources, Inc.

Industry Diversification (Market Exposure as % of Net Assets)

“Industry Diversification (Market Exposure as % of Net Assets)” excludes any temporary cash investments.

Inception Dates:
Investor Class	December 1, 1993
Advisor Class	August 1, 2003
A-Class	September 1, 2004
C-Class	April 27, 2001

Ten Largest Holdings
(% of Total Net Assets)
Freeport-McMoRan Copper & Gold, Inc.	8.9	%
Goldcorp, Inc.	6.6	%
Newmont Mining Corp.	6.1	%
Agnico-Eagle Mines Ltd.	5.7	%
AngloGold Ashanti Ltd. — SP ADR	5.4	%
Yamana Gold, Inc.	5.3	%
Barrick Gold Corp.	5.3	%
Kinross Gold Corp.	5.2	%
Randgold Resources Ltd. — SP ADR	4.7	%
Silver Wheaton Corp.	4.7	%
Top Ten Total	57.9	%

“Ten Largest Holdings” exclude any temporary cash or derivative investments.

32    |    THE RYDEX SERIES FUNDS ANNUAL REPORT

PERFORMANCE REPORTS AND FUND PROFILES (Unaudited) (continued)

PRECIOUS METALS FUND

Cumulative Fund Performance

†	Initial investment has been adjusted for the maximum sales charge of 4.75%.
††	Data points for the line graph do not reflect the reinvestment of dividends on securities in the index.

AVERAGE ANNUAL TOTAL RETURNS FOR THE PERIOD ENDED 03/31/09

	Investor Class									Advisor Class
	(12/01/93)									(08/01/03)
	ONE			FIVE			TEN			ONE			FIVE			SINCE
	YEAR			YEAR			YEAR			YEAR			YEAR			INCEPTION
PRECIOUS METALS FUND		-33.67	%		0.90	%		8.34	%		-34.00	%		0.43	%		6.44	%
S&P 500 INDEX		-38.09	%		-4.76	%		-3.00	%		-38.09	%		-4.76	%		-1.64	%
S&P 500 MATERIALS INDEX		-45.11	%		-1.30	%		2.63	%		-45.11	%		-1.30	%		2.15	%

	A-Class												C-Class
	(09/01/04)												(04/27/01)
	ONE			ONE			SINCE			SINCE			ONE			ONE			FIVE			SINCE
	YEAR			YEAR*			INCEPTION			INCEPTION*			YEAR			YEAR**			YEAR			INCEPTION
PRECIOUS METALS FUND		-33.82	%		-36.96	%		4.53	%		3.42	%		-34.35	%		-35.01	%		-0.11	%		9.93	%
S&P 500 INDEX		-38.09	%		-38.09	%		-4.97	%		-4.97	%		-38.09	%		-38.09	%		-4.76	%		-3.75	%
S&P 500 MATERIALS INDEX		-45.11	%		-45.11	%		-1.95	%		-1.95	%		-45.11	%		-45.11	%		-1.30	%		2.07	%

*	Fund returns are calculated using the maximum sales charge of 4.75%.
**	Fund returns include a CDSC of 1% if redeemed within 12 months of purchase.

The returns presented above do not reflect the effects of taxes. Past performance is no guarantee of future results. The S&P 500 Index and the S&P 500 Materials Index are unmanaged stock indices and, unlike the Fund, have no management fees or other operating expenses to reduce their reported returns. Returns are historical and include changes in principal and reinvested dividends and capital gains. The graphs are based on Investor Class shares and A-Class shares only; performance for Advisor Class shares and C-Class shares will vary due to differences in fee structure.

THE RYDEX SERIES FUNDS ANNUAL REPORT    |    33

PERFORMANCE REPORTS AND FUND PROFILES (Unaudited) (continued)

RETAILING FUND

Objective: Seeks capital appreciation by investing in companies engaged in merchandising finished goods and services, including department stores, restaurant franchises, mail order operations and other companies involved in selling products to consumers.

Inception: April 1, 1998

For the one-year period ended March 31, 2009, Rydex Retailing Fund Investor Class returned -25.65% as compared to the S&P 500 Index, which returned -38.09%. Retailers suffered through another dismal year as discretionary spending came to a halt due to recessionary fears, double-digit job losses and an exponential rise in foreclosures. The 2008 holiday shopping season was one of the worst in decades, with consumers searching for deep discounts, or not spending at all. In fact, the lack of demand from the American consumer caused many major American brands to file for bankruptcy, including Linens ‘n Things, KB Toys and Circuit City. Online discount retailers fared better than their traditional brick-and-mortar counterparts, as consumers sought to save money online. Top-performers for the Fund included AutoZone, Inc., Amazon.com, Inc., Family Dollar Stores, Inc. and O’Reilly Automotive, Inc. The Fund’s worst-performing holdings included Liberty Interactive, CVS Caremark Corp., Sears Holding Corp., Target Corp. and Macy’s, Inc.

Industry Diversification (Market Exposure as % of Net Assets)

“Industry Diversification (Market Exposure as % of Net Assets)” excludes any temporary cash investments.

Inception Dates:
Investor Class	April 1, 1998
Advisor Class	April 21, 1998
A-Class	September 1, 2004
C-Class	May 9, 2001

Ten Largest Holdings
(% of Total Net Assets)
Wal-Mart Stores, Inc.	10.7	%
Amazon.com, Inc.	5.0	%
Home Depot, Inc.	4.7	%
CVS Caremark Corp.	4.5	%
Target Corp.	3.7	%
Walgreen Co.	3.6	%
Lowe’s Companies, Inc.	3.6	%
Best Buy Company, Inc.	3.3	%
Costco Wholesale Corp.	3.2	%
Kohl’s Corp.	2.7	%
Top Ten Total	45.0	%

“Ten Largest Holdings” exclude any temporary cash or derivative investments.

34    |    THE RYDEX SERIES FUNDS ANNUAL REPORT

PERFORMANCE REPORTS AND FUND PROFILES (Unaudited) (continued)

RETAILING FUND

Cumulative Fund Performance

†	Initial investment has been adjusted for the maximum sales charge of 4.75%.
††	Data points for the line graph do not reflect the reinvestment of dividends on securities in the index.

AVERAGE ANNUAL TOTAL RETURNS FOR THE PERIOD ENDED 03/31/09

	Investor Class															Advisor Class
	(04/01/98)															(04/21/98)
	ONE			FIVE			TEN									ONE			FIVE			TEN
	YEAR			YEAR			YEAR									YEAR			YEAR			YEAR
RETAILING FUND		-25.65	%		-6.08	%		-4.38	%								-26.13	%		-6.52	%		-4.78	%
S&P 500 INDEX		-38.09	%		-4.76	%		-3.00	%								-38.09	%		-4.76	%		-3.00	%
S&P 500 CONSUMER DISCRETIONARY INDEX		-35.05	%		-7.99	%		-4.21	%								-35.05	%		-7.99	%		-4.21	%
	A-Class												C-Class
	(09/01/04)												(05/09/01)
	ONE			ONE			SINCE			SINCE			ONE			ONE			FIVE			SINCE
	YEAR			YEAR*			INCEPTION			INCEPTION*			YEAR			YEAR**			YEAR			INCEPTION
RETAILING FUND		-25.76	%		-29.29	%		-4.91	%		-5.91	%		-26.39	%		-27.13	%		-6.98	%		-3.72	%
S&P 500 INDEX		-38.09	%		-38.09	%		-4.97	%		-4.97	%		-38.09	%		-38.09	%		-4.76	%		-3.79	%
S&P 500 CONSUMER DISCRETIONARY INDEX		-35.05	%		-35.05	%		-7.86	%		-7.86	%		-35.05	%		-35.05	%		-7.99	%		-5.14	%

*	Fund returns are calculated using the maximum sales charge of 4.75%.
**	Fund returns include a CDSC of 1% if redeemed within 12 months of purchase.

The returns presented above do not reflect the effects of taxes. Past performance is no guarantee of future results. The S&P 500 Index and the S&P 500 Consumer Discretionary Index are unmanaged stock indices and, unlike the Fund, have no management fees or other operating expenses to reduce their reported returns. Returns are historical and include changes in principal and reinvested dividends and capital gains. The graphs are based on Investor Class shares and A-Class shares only; performance for Advisor Class shares and C-Class shares will vary due to differences in fee structure.

THE RYDEX SERIES FUNDS ANNUAL REPORT    |    35

PERFORMANCE REPORTS AND FUND PROFILES (Unaudited) (continued)

TECHNOLOGY FUND

Objective: Seeks capital appreciation by investing in companies that are involved in the technology sector, including computer software, semiconductor manufacturers, networking and telecommunications equipment manufacturers, and PC hardware and peripherals companies.

Inception: April 14, 1998

For the one-year period ended March 31, 2009, Rydex Technology Fund Investor Class returned -34.58% as compared to the S&P 500 Index, which returned -38.09%. It was another challenging year for the technology industry. Tech giants like Microsoft Corp. and Yahoo!, Inc. were hit hard. The planned acquisition of Yahoo!, Inc. failed to materialize as the deadline approached and Yahoo!’s multi-billion search advertising deal with Google, Inc. was stopped in its tracks following opposition from the Department of Justice. All was not lost, though. In the past year, Google, Inc. released its own web-browser, Chrome, while Apple released its next generation of the iPhone 3G. The Fund’s best-performing holdings included Broadcom Corp., Electronic Data Systems, Lender Processing Systems, Inc., Taiwan Semiconductor Manufacturing Company Ltd. and Sybase, Inc. The worst-performing stocks in the Fund were Nokia Oyi, Microsoft Corp., Research in Motion Ltd., Cisco Systems, Inc. and Hewlett-Packard Co.

Industry Diversification (Market Exposure as % of Net Assets)

“Industry Diversification (Market Exposure as % of Net Assets)” excludes any temporary cash investments.

Inception Dates:
Investor Class	April 14, 1998
Advisor Class	April 29, 1998
A-Class	September 1, 2004
C-Class	April 18, 2001

Ten Largest Holdings
(% of Total Net Assets)
Microsoft Corp.	3.9	%
International Business Machines Corp.	3.5	%
Apple, Inc.	3.1	%
Cisco Systems, Inc.	3.0	%
Oracle Corp.	2.9	%
Intel Corp.	2.9	%
Google, Inc. — Class A	2.8	%
Qualcomm, Inc.	2.5	%
Hewlett-Packard Co.	2.5	%
Taiwan Semiconductor Manufacturing Company Ltd. — SP ADR	2.2	%
Top Ten Total	29.3	%

“Ten Largest Holdings” exclude any temporary cash or derivative investments.

36    |    THE RYDEX SERIES FUNDS ANNUAL REPORT

PERFORMANCE REPORTS AND FUND PROFILES (Unaudited) (continued)

TECHNOLOGY FUND

Cumulative Fund Performance

†	Initial investment has been adjusted for the maximum sales charge of 4.75%.
††	Data points for the line graph do not reflect the reinvestment of dividends on securities in the index.

AVERAGE ANNUAL TOTAL RETURNS FOR THE PERIOD ENDED 03/31/09

	Investor Class									Advisor Class
	(04/14/98)									(04/29/98)
	ONE			FIVE			TEN			ONE			FIVE			TEN
	YEAR			YEAR			YEAR			YEAR			YEAR			YEAR
TECHNOLOGY FUND		-34.58	%		-7.48	%		-7.60	%		-35.05	%		-7.99	%		-8.00	%
S&P 500 INDEX		-38.09	%		-4.76	%		-3.00	%		-38.09	%		-4.76	%		-3.00	%
S&P 500 INFORMATION TECHNOLOGY INDEX		-30.07	%		-4.49	%		-6.73	%		-30.07	%		-4.49	%		-6.73	%

	A-Class												C-Class
	(09/01/04)												(04/18/01)
	ONE			ONE			SINCE			SINCE			ONE			ONE			FIVE			SINCE
	YEAR			YEAR*			INCEPTION			INCEPTION*			YEAR			YEAR**			YEAR			INCEPTION
TECHNOLOGY FUND		-34.89	%		-37.98	%		-4.94	%		-5.94	%		-35.33	%		-35.98	%		-8.40	%		-8.74	%
S&P 500 INDEX		-38.09	%		-38.09	%		-4.97	%		-4.97	%		-38.09	%		-38.09	%		-4.76	%		-3.59	%
S&P 500 INFORMATION TECHNOLOGY INDEX		-30.07	%		-30.07	%		-2.81	%		-2.81	%		-30.07	%		-30.07	%		-4.49	%		-5.91	%

*	Fund returns are calculated using the maximum sales charge of 4.75%.
**	Fund returns include a CDSC of 1% if redeemed within 12 months of purchase.

The returns presented above do not reflect the effects of taxes. Past performance is no guarantee of future results. The S&P 500 Index and the S&P 500 Information Technology Index are unmanaged stock indices and, unlike the Fund, have no management fees or other operating expenses to reduce their reported returns. Returns are historical and include changes in principal and reinvested dividends and capital gains. The graphs are based on Investor Class shares and A-Class shares only; performance for Advisor Class shares and C-Class shares will vary due to differences in fee structure.

THE RYDEX SERIES FUNDS ANNUAL REPORT    |    37

PERFORMANCE REPORTS AND FUND PROFILES (Unaudited) (continued)

TELECOMMUNICATIONS FUND

Objective: Seeks capital appreciation by investing in companies engaged in the development, manufacture or sale of the communications services or communications equipment.

Inception: April 1, 1998

For the one-year period ended March 31, 2009, Rydex Telecommunications Fund Investor Class returned - -37.55% as compared to the S&P 500 Index which returned -38.09%. The telecommunications industry was not immune from the credit crisis and the economic recession as AT&T, Inc. and other firms announced job cuts and reductions in capital expenditures in 2008. Even as industry leader Apple released the much anticipated iPhone 3G, the weak economy took its toll on consumer demand and by the end of 2008, and mobile phone makers were reporting their slowest growth rate since 2001. The Fund’s top holdings included MetroPCS Communications, Inc., Tellabs, Inc., Foundry Networks, SBA Communications Corp. and Verizon Communications, Inc. The worst-performing stocks in the Fund included Nokia Oyi, Research in Motion Ltd., American Movil, Cisco Systems, Inc. and Vondafone Group PLC.

Industry Diversification (Market Exposure as % of Net Assets)

“Industry Diversification (Market Exposure as % of Net Assets)” excludes any temporary cash investments.

Inception Dates:
Investor Class	April 1, 1998
Advisor Class	April 1, 1998
A-Class	September 1, 2004
C-Class	April 18, 2001

Ten Largest Holdings
(% of Total Net Assets)
AT&T, Inc.	8.1	%
Cisco Systems, Inc.	7.0	%
Verizon Communications, Inc.	6.6	%
Vodafone Group PLC — SP ADR	6.4	%
Qualcomm, Inc.	6.2	%
Deutsche Telekom AG — SP ADR	5.3	%
Nokia Oyj — SP ADR	4.8	%
Corning, Inc.	4.4	%
America Movil SAB de CV — SP ADR	4.4	%
Telefonaktiebolaget LM Ericsson — SP ADR	3.9	%
Top Ten Total	57.1	%

“Ten Largest Holdings” exclude any temporary cash or derivative investments.

38    |    THE RYDEX SERIES FUNDS ANNUAL REPORT

PERFORMANCE REPORTS AND FUND PROFILES (Unaudited) (continued)

TELECOMMUNICATIONS FUND

Cumulative Fund Performance

†	Initial investment has been adjusted for the maximum sales charge of 4.75%.
††	Data points for the line graph do not reflect the reinvestment of dividends on securities in the index.

AVERAGE ANNUAL TOTAL RETURNS FOR THE PERIOD ENDED 03/31/09

	Investor Class															Advisor Class
	(04/01/98)															(04/01/98)
	ONE			FIVE			TEN									ONE			FIVE			TEN
	YEAR			YEAR			YEAR									YEAR			YEAR			YEAR
TELECOMMUNICATIONS FUND		-37.55	%		-6.62	%		-11.85	%								-37.88	%		-7.07	%		-12.21	%
S&P 500 INDEX		-38.09	%		-4.76	%		-3.00	%								-38.09	%		-4.76	%		-3.00	%
S&P 500 TELECOMMUNICATION
SERVICES INDEX		-25.15	%		1.31	%		-6.89	%								-25.15	%		1.31	%		-6.89	%
	A-Class												C-Class
	(09/01/04)												(04/18/01)
	ONE			ONE			SINCE			SINCE			ONE			ONE			FIVE			SINCE
	YEAR			YEAR*			INCEPTION			INCEPTION*			YEAR			YEAR**			YEAR			INCEPTION
TELECOMMUNICATIONS FUND		-37.66	%		-40.62	%		-5.36	%		-6.37	%		-38.21	%		-38.83	%		-7.55	%		-11.44	%
S&P 500 INDEX		-38.09	%		-38.09	%		-4.97	%		-4.97	%		-38.09	%		-38.09	%		-4.76	%		-3.59	%
S&P 500 TELECOMMUNICATION
SERVICES INDEX		-25.15	%		-25.15	%		0.45	%		0.45	%		-25.15	%		-25.15	%		1.31	%		-4.84	%

*	Fund returns are calculated using the maximum sales charge of 4.75%.
**	Fund returns include a CDSC of 1% if redeemed within 12 months of purchase.

The returns presented above do not reflect the effects of taxes. Past performance is no guarantee of future results. The S&P 500 Index and the S&P 500 Telecommunication Services Index are unmanaged stock indices and, unlike the Fund, have no management fees or other operating expenses to reduce their reported returns. Returns are historical and include changes in principal and reinvested dividends and capital gains. The graphs are based on Investor Class shares and A-Class shares only; performance for Advisor Class shares and C-Class shares will vary due to differences in fee structure.

THE RYDEX SERIES FUNDS ANNUAL REPORT    |    39

PERFORMANCE REPORTS AND FUND PROFILES (Unaudited) (continued)

TRANSPORTATION FUND

OBJECTIVE: Seeks capital appreciation by investing in companies engaged in providing transportation services or companies engaged in design, manufacture, distribution, or sale of transportation equipment.

Inception: April 2, 1998

For the one-year period ended March 31, 2009, Rydex Transportation Fund Investor Class returned - -42.96% as compared to the S&P 500 Index, which returned -38.09%. High fuel prices had a profound impact on most of the industry’s operating and profit margins. Even as fuel costs began to tumble in October, the damage was compounded by reduced consumer demand due to the weakened economy. The Fund’s best-performing holdings for the period included Heartland Express, Inc., Knight Transportation, Inc., Northwest Airlines, US Airways Group and Werner Enterprises, Inc. The worst-performing holdings for the period included FedEx, CSX Corp., Union Pacific Corp., Burlington Northern Santa Fe Corp. and Norfolk Southern Corp. The top-performing industry group was air freight & logistics while the worst-performing industry group remained marine.

Industry Diversification (Market Exposure as % of Net Assets)

“Industry Diversification (Market Exposure as % of Net Assets)” excludes any temporary cash investments.

Inception Dates:
Investor Class	April 2, 1998
Advisor Class	June 9, 1998
A-Class	September 1, 2004
C-Class	May 14, 2001

Ten Largest Holdings
(% of Total Net Assets)
United Parcel Service, Inc. — Class B	8.6	%
Union Pacific Corp.	6.6	%
Burlington Northern Santa Fe Corp.	6.4	%
Canadian National Railway Co.	6.2	%
Norfolk Southern Corp.	5.3	%
FedEx Corp.	5.2	%
CSX Corp.	4.8	%
CH Robinson Worldwide, Inc.	4.7	%
Expeditors International of Washington, Inc.	4.2	%
Southwest Airlines Co.	3.5	%
Top Ten Total	55.5	%

“Ten Largest Holdings” exclude any temporary cash or derivative investments.

40    |    THE RYDEX SERIES FUNDS ANNUAL REPORT

PERFORMANCE REPORTS AND FUND PROFILES (Unaudited) (continued)

TRANSPORTATION FUND

Cumulative Fund Performance

†	Initial investment has been adjusted for the maximum sales charge of 4.75%.
††	Data points for the line graph do not reflect the reinvestment of dividends on securities in the index.

AVERAGE ANNUAL TOTAL RETURNS FOR THE PERIOD ENDED 03/31/09

	Investor Class									Advisor Class
	(04/02/98)									(06/09/98)
	ONE			FIVE			TEN			ONE			FIVE			TEN
	YEAR			YEAR			YEAR			YEAR			YEAR			YEAR
TRANSPORTATION FUND		-42.96	%		-5.26	%		-4.98	%		-43.20	%		-5.74	%		-5.60	%
S&P 500 INDEX		-38.09	%		-4.76	%		-3.00	%		-38.09	%		-4.76	%		-3.00	%
S&P 500 INDUSTRIALS INDEX		-50.51	%		-5.94	%		-1.88	%		-50.51	%		-5.94	%		-1.88	%

	A-Class												C-Class
	(09/01/04)												(05/14/01)
	ONE			ONE			SINCE			SINCE			ONE			ONE			FIVE			SINCE
	YEAR			YEAR*			INCEPTION			INCEPTION*			YEAR			YEAR**			YEAR			INCEPTION
TRANSPORTATION FUND		-43.09	%		-45.79	%		-6.83	%		-7.81	%		-43.46	%		-44.03	%		-6.18	%		-4.98	%
S&P 500 INDEX		-38.09	%		-38.09	%		-4.97	%		-4.97	%		-38.09	%		-38.09	%		-4.76	%		-3.74	%
S&P 500 INDUSTRIALS INDEX		-50.51	%		-50.51	%		-7.71	%		-7.71	%		-50.51	%		-50.51	%		-5.94	%		-5.24	%

*	Fund returns are calculated using the maximum sales charge of 4.75%.
**	Fund returns include a CDSC of 1% if redeemed within 12 months of purchase.

The returns presented above do not reflect the effects of taxes. Past performance is no guarantee of future results. The S&P 500 Index and the S&P 500 Industrials Index are unmanaged stock indices and, unlike the Fund, have no management fees or other operating expenses to reduce their reported returns. Returns are historical and include changes in principal and reinvested dividends and capital gains. The graphs are based on Investor Class shares and A-Class shares only; performance for Advisor Class shares and C-Class shares will vary due to differences in fee structure.

THE RYDEX SERIES FUNDS ANNUAL REPORT    |    41

PERFORMANCE REPORTS AND FUND PROFILES (Unaudited) (continued)

UTILITIES FUND

OBJECTIVE: Seeks capital appreciation by investing in companies that operate public utilities.

Inception: April 3, 2000

For the one-year period ended March 31, 2009, Rydex Utilities Fund Investor Class returned -29.40% as compared to the S&P 500 Index, which returned -38.09%. Reduction in demand due to a weak economy and housing foreclosures led to unpaid utility bills. October’s federal bailout plan extended the Federal Solar Tax Credit for eight years, ending speculation about the extension and paving the way for new solar developments. The American Recovery and Reinvestment Act, passed in February 2009, will provide further incentives for utilities to invest in renewable technologies, which have been focal points for growth and development in the utility industry. The Fund’s best-performing holdings for the period included WGL Holdings, Inc., Puget Energy, Energy East, Aqua America, Inc. and PG&E Corp. The worst-performing holdings for the Fund included Exelon Corp., Constellation Energy Group, Inc., Reliant Energy, FirstEnergy and AES Corp.

Industry Diversification (Market Exposure as % of Net Assets)

“Industry Diversification (Market Exposure as % of Net Assets)” excludes any temporary cash investments.

Inception Dates:
Investor Class	April 3, 2000
Advisor Class	April 3, 2000
A-Class	September 1, 2004
C-Class	April 27, 2001

Ten Largest Holdings
(% of Total Net Assets)
Exelon Corp.	4.0	%
FPL Group, Inc.	3.6	%
Southern Co.	3.6	%
Duke Energy Corp.	3.3	%
Dominion Resources, Inc.	3.1	%
PG&E Corp.	3.0	%
Public Service Enterprise Group, Inc.	2.9	%
Entergy Corp.	2.7	%
Sempra Energy	2.7	%
Consolidated Edison, Inc.	2.6	%
Top Ten Total	31.5	%

“Ten Largest Holdings” exclude any temporary cash or derivative investments.

42    |    THE RYDEX SERIES FUNDS ANNUAL REPORT

PERFORMANCE REPORTS AND FUND PROFILES (Unaudited) (concluded)

UTILITIES FUND

Cumulative Fund Performance

†	Initial investment has been adjusted for the maximum sales charge of 4.75%.
††	Data points for the line graph do not reflect the reinvestment of dividends on securities in the index.

AVERAGE ANNUAL TOTAL RETURNS FOR THE PERIOD ENDED 03/31/09

	Investor Class															Advisor Class
	(04/03/00)															(04/03/00)
	ONE			FIVE			SINCE									ONE			FIVE			SINCE
	YEAR			YEAR			INCEPTION									YEAR			YEAR			INCEPTION
UTILITIES FUND		-29.40	%		1.47	%		-1.81	%								-29.72	%		0.97	%		-2.30	%
S&P 500 INDEX		-38.09	%		-4.76	%		-5.14	%								-38.09	%		-4.76	%		-5.14	%
S&P 500 UTILITIES INDEX		-29.65	%		4.79	%		1.98	%								-29.65	%		4.79	%		1.98	%
	A-Class												C-Class
	(09/01/04)												(04/27/01)
	ONE			ONE			SINCE			SINCE			ONE			ONE			FIVE			SINCE
	YEAR			YEAR*			INCEPTION			INCEPTION*			YEAR			YEAR**			YEAR			INCEPTION
UTILITIES FUND		-29.54	%		-32.89	%		0.71	%		-0.35	%		-30.08	%		-30.78	%		0.46	%		-5.95	%
S&P 500 INDEX		-38.09	%		-38.09	%		-4.97	%		-4.97	%		-38.09	%		-38.09	%		-4.76	%		-3.75	%
S&P 500 UTILITIES INDEX		-29.65	%		-29.65	%		4.20	%		4.20	%		-29.65	%		-29.65	%		4.79	%		-2.29	%

*	Fund returns are calculated using the maximum sales charge of 4.75%.
**	Fund returns include a CDSC of 1% if redeemed within 12 months of purchase.

The returns presented above do not reflect the effects of taxes. Past performance is no guarantee of future results. The S&P 500 Index and the S&P 500 Utilities Index are unmanaged stock indices and, unlike the Fund, have no management fees or other operating expenses to reduce their reported returns. Returns are historical and include changes in principal and reinvested dividends and capital gains. The graphs are based on Investor Class shares and A-Class shares only; performance for Advisor Class shares and C-Class shares will vary due to differences in fee structure.

THE RYDEX SERIES FUNDS ANNUAL REPORT    |    43

SCHEDULE OF INVESTMENTS

March 31, 2009

     BANKING FUND

			MARKET
	SHARES		VALUE
COMMON STOCKS 98.8%
Credit Suisse Group AG — SP ADR		47,823	$	1,458,123
JPMorgan Chase & Co.		49,431		1,313,876
Bank of America Corp.		183,090		1,248,674
Wells Fargo & Co.		87,162		1,241,187
Barclays PLC — SP ADR		144,786		1,230,681
U.S. Bancorp		83,812		1,224,493
HSBC Holdings PLC — SP ADR		33,351		941,165
UBS AG — SP ADR*		96,271		907,836
PNC Financial Services Group, Inc.		26,359		772,055
BB&T Corp.		37,687		637,664
People’s United Financial, Inc.		32,193		578,508
Hudson City Bancorp, Inc.		48,248		564,019
M&T Bank Corp.		12,345		558,488
SunTrust Banks, Inc.		38,512		452,131
KeyCorp		57,288		450,857
New York Community Bancorp, Inc.		39,537		441,628
TFS Financial Corp.		36,147		438,463
Cullen/Frost Bankers, Inc.		8,640		405,562
Comerica, Inc.		21,295		389,911
Commerce Bancshares, Inc.		10,738		389,789
First Horizon National Corp.		35,177		377,797
Capitol Federal Financial		9,730		367,891
BOK Financial Corp.		9,901		342,080
UMB Financial Corp.		7,491		318,293
Associated Banc-Corp.		20,480		316,211
BancorpSouth, Inc.		14,986		312,308
City National Corp.		8,597		290,321
FirstMerit Corp.		15,766		286,941
Valley National Bancorp		23,031		284,894
TCF Financial Corp.		23,819		280,111
Bank of Hawaii Corp.		8,399		276,999
Westamerica Bancorporation		5,904		268,986
Marshall & Ilsley Corp.		46,873		263,895
Prosperity Bancshares, Inc.		9,639		263,627
NewAlliance Bancshares, Inc.		22,307		261,884
Washington Federal, Inc.		19,316		256,710
Signature Bank*		9,019		254,606
Trustmark Corp.		13,419		246,641
First Citizens BancShares, Inc. — Class A		1,819		239,744
Hancock Holding Co.		7,657		239,511
First Financial Bankshares, Inc.		4,954		238,634
Glacier Bancorp, Inc.		15,161		238,179
First Niagara Financial Group, Inc.		21,605		235,495
Fulton Financial Corp.		35,202		233,389
Ocwen Financial Corp.*		19,400		221,742
Park National Corp.		3,879		216,254
Zions Bancorporation		20,681		203,294

			MARKET
	SHARES		VALUE
IBERIABANK Corp.		4,411	$	202,641
Astoria Financial Corp.		21,472		197,328
Whitney Holding Corp.		17,180		196,711
Northwest Bancorp, Inc.		11,342		191,680
Investors Bancorp, Inc.*		22,386		189,609
First Commonwealth Financial Corp.		21,068		186,873
FNB Corp.		24,176		185,430
Susquehanna Bancshares, Inc.		19,765		184,407
NBT Bancorp, Inc.		8,404		181,863
Old National Bancorp		16,203		180,988
WesBanco, Inc.		7,869		179,649
United Bankshares, Inc.		10,273		177,107
Bancfirst Corp.		4,744		172,682
SVB Financial Group*		8,611		172,306
Pinnacle Financial Partners, Inc.*		7,197		170,641
Umpqua Holding Corp.		18,725		169,649
Brookline Bancorp, Inc.		17,606		167,257
National Penn Bancshares, Inc.		20,070		166,581
Provident Financial Services, Inc.		15,094		163,166
Community Bank System, Inc.		9,589		160,616
S&T Bancorp, Inc.		7,394		156,827
PrivateBancorp, Inc.		10,715		154,939
Chemical Financial Corp.		7,400		153,994
Wilmington Trust Corp.		15,281		148,073
Cathay General Bancorp		13,954		145,540
CVB Financial Corp.		21,910		145,263
TrustCo Bank Corp.		23,569		141,885
Community Trust Bancorp, Inc.		5,230		139,903
MB Financial Corp.		10,240		139,264
First Midwest Bancorp, Inc.		15,923		136,779
Tompkins Financial Corp.		3,139		134,977
PacWest Bancorp		8,810		126,247
TowneBank		7,641		124,778
First Bancorp Puerto Rico		26,791		114,130
International Bancshares Corp.		14,216		110,885
Pacific Capital Bancorp		13,459		91,117
Harleysville National Corp.		14,424		87,409
East-West Bancorp, Inc.		18,753		85,701
Total Common Stocks
(Cost $26,749,314)				28,916,442
Total Investments 98.8%
(Cost $26,749,314)			$	28,916,442
Other Assets in Excess of Liabilities – 1.2%			$	362,432
Net Assets – 100.0%			$	29,278,874

*	Non-Income Producing Security.
	ADR — American Depository Receipt.

44    |    THE RYDEX SERIES FUNDS ANNUAL REPORT See Notes to Financial Statements.

46

SCHEDULE OF INVESTMENTS

March 31, 2009

     BASIC MATERIALS FUND

			MARKET
	SHARES		VALUE
COMMON STOCKS 99.5%
BHP Billiton Ltd. — SP ADR		112,856	$	5,033,378
Rio Tinto PLC — SP ADR		28,591		3,832,909
Monsanto Co.		45,943		3,817,863
Cia Vale do Rio Doce — SP ADR		266,640		3,546,312
Goldcorp, Inc.		87,631		2,919,865
Potash Corporation of Saskatchewan		34,230		2,766,126
Barrick Gold Corp.		84,516		2,740,009
ArcelorMittal		134,308		2,691,532
Praxair, Inc.		39,714		2,672,355
Freeport-McMoRan Copper & Gold, Inc.		67,424		2,569,529
The Mosaic Co.		60,695		2,547,976
Newmont Mining Corp.		56,613		2,533,998
Rohm & Haas Co.		31,749		2,503,091
Syngenta AG — SP ADR		61,540		2,468,369
E.I. du Pont de Nemours and Co.		108,411		2,420,818
Southern Copper Corp.		131,615		2,292,733
AngloGold Ashanti Ltd. — SP ADR		62,270		2,289,045
Kinross Gold Corp.		108,746		1,943,291
Air Products & Chemicals, Inc.		34,065		1,916,156
Nucor Corp.		48,872		1,865,444
Agnico-Eagle Mines Ltd.		29,968		1,705,779
Cia de Minas Buenaventura SA — SP ADR		67,260		1,612,895
Gold Fields Ltd. — SP ADR		141,151		1,600,652
Ecolab, Inc.		45,410		1,577,089
Yamana Gold, Inc.		167,484		1,549,227
CF Industries Holdings, Inc.		19,320		1,374,232
Agrium, Inc.		37,633		1,346,885
PPG Industries, Inc.		35,668		1,316,149
Weyerhaeuser Co.		47,210		1,301,580
Randgold Resources Ltd. — SP ADR		23,230		1,262,551
Alcoa, Inc.		167,851		1,232,026
Dow Chemical Co.		145,779		1,228,917
Sigma-Aldrich Corp.		31,967		1,208,033
Ball Corp.		27,000		1,171,800
Crown Holdings, Inc.*		51,350		1,167,186
Harmony Gold Mining Co. Ltd. — SP ADR*		105,812		1,157,583
Gerdau SA — SP ADR		208,150		1,138,581
Terra Industries, Inc.		39,900		1,120,791

			MARKET
	SHARES		VALUE
Vulcan Materials Co.		25,193	$	1,115,798
Eldorado Gold Corp.*		120,310		1,082,790
Cemex SAB de CV — SP ADR*		170,849		1,067,806
IAMGOLD Corp.		117,050		1,000,778
Martin Marietta Materials, Inc.		12,512		992,202
Sociedad Quimica y Minera de Chile SA — SP ADR		36,498		969,387
FMC Corp.		22,152		955,637
Silver Wheaton Corp.*		108,742		894,947
International Flavors & Fragrances, Inc.		28,735		875,268
Airgas, Inc.		25,759		870,912
Reliance Steel & Aluminum Co.		32,285		850,064
Scotts Miracle-Gro Co. — Class A		24,290		842,863
Silgan Holdings, Inc.		15,819		831,130
Lubrizol Corp.		24,203		823,144
Nalco Holding Co.		62,510		817,006
Celanese Corp.		60,597		810,182
Valspar Corp.		40,410		806,988
AptarGroup, Inc.		25,857		805,187
Sealed Air Corp.		58,197		803,119
Albemarle Corp.		36,038		784,547
Allegheny Technologies, Inc.		35,497		778,449
MeadWestvaco Corp.		64,863		777,707
Eastman Chemical Co.		28,510		764,068
Bemis Co.		36,211		759,345
International Paper Co.		107,820		759,053
Compass Minerals International, Inc.		13,451		758,233
Sonoco Products Co.		35,829		751,692
United States Steel Corp.		33,501		707,876
RPM International, Inc.		54,845		698,177
Owens-Illinois, Inc.*		48,255		696,802
Royal Gold, Inc.		14,870		695,321
Cliffs Natural Resources Inc		37,663		683,960
Pan American Silver Corp.*		37,260		649,069
Pactiv Corp.*		42,746		623,664
Commercial Metals Co.		53,590		618,965
Steel Dynamics, Inc.		68,340		602,075
Intrepid Potash, Inc.*		32,270		595,382
Packaging Corporation of America		45,591		593,595
Silver Standard Resources, Inc.*		31,720		511,326
Titanium Metals Corp.		87,367		477,897
Total Common Stocks
(Cost $103,660,142)				110,945,166

See Notes to Financial Statements. THE RYDEX SERIES FUNDS ANNUAL REPORT    |    45

47

SCHEDULE OF INVESTMENTS (concluded)

March 31, 2009

     BASIC MATERIALS FUND

	FACE		MARKET
	AMOUNT		VALUE
REPURCHASE AGREEMENT† 1.8%
Credit Suisse Group issued 03/31/09 at 0.15% due 04/01/09	$	1,956,362	$	1,956,362
Total Repurchase Agreement
(Cost $1,956,362)				1,956,362
Total Investments 101.3%
(Cost $105,616,504)			$	112,901,528
Liabilities in Excess of Other Assets – (1.3)%			$	(1,419,456	)
Net Assets – 100.0%			$	111,482,072

*	Non-Income Producing Security.
†	Repurchase Agreements — See Note 4.
	ADR—American Depository Receipt.

46    |    THE RYDEX SERIES FUNDS ANNUAL REPORT See Notes to Financial Statements.

48

SCHEDULE OF INVESTMENTS

March 31, 2009

     BIOTECHNOLOGY FUND

			MARKET
	SHARES		VALUE
COMMON STOCKS 99.7%
Amgen, Inc.*		180,507	$	8,938,707
Gilead Sciences, Inc.*		175,592		8,133,421
Celgene Corp.*		120,785		5,362,854
Biogen Idec, Inc.*		98,287		5,152,205
Genzyme Corp.*		80,283		4,768,007
Myriad Genetics, Inc.*		64,332		2,925,176
Cephalon, Inc.*		38,379		2,613,610
Vertex Pharmaceuticals, Inc.*		88,083		2,530,625
Alexion Pharmaceuticals, Inc.*		60,140		2,264,872
OSI Pharmaceuticals, Inc.*		51,372		1,965,493
Amylin Pharmaceuticals, Inc.*		138,689		1,629,596
CV Therapeutics, Inc.*		80,576		1,601,851
Isis Pharmaceuticals, Inc.*		105,763		1,587,503
United Therapeutics Corp.*		23,925		1,581,203
Onyx Pharmaceuticals, Inc.*		55,015		1,570,678
Alkermes, Inc.*		115,796		1,404,605
Theravance, Inc.*		80,200		1,363,400
PDL BioPharma, Inc.		175,323		1,241,287
InterMune, Inc.*		74,059		1,217,530
Regeneron Pharmaceuticals, Inc.*		86,137		1,193,859
Genomic Health, Inc.*		47,241		1,151,736
BioMarin Pharmaceuticals, Inc.*		91,698		1,132,470
Seattle Genetics, Inc.*		111,601		1,100,386
Cougar Biotechnology, Inc.*		33,100		1,065,820
Cubist Pharmaceuticals, Inc.*		64,998		1,063,367
Alnylam Pharmaceuticals, Inc.*		54,618		1,039,927
Acorda Therapeutics, Inc.*		49,518		980,952
Medarex, Inc.*		189,785		973,597
Celera Corp.*		120,901		922,475
Dendreon Corp.*		214,823		902,257
Momenta Pharmaceuticals, Inc.*		78,303		862,116
Allos Therapeutics, Inc.*		131,022		809,716
Martek Biosciences Corp.		44,296		808,402
GTx, Inc.*		75,059		794,124
Cepheid, Inc.*		109,315		754,273
Osiris Therapeutics, Inc.*		50,667		699,205
Enzon Pharmaceuticals, Inc.*		105,001		637,356
Emergent Biosolutions, Inc.*		47,061		635,794
Savient Pharmaceuticals, Inc.*		121,431		601,083
Geron Corp.*		133,587		597,134
Pharmasset, Inc.*		59,876		587,384
Maxygen Inc.*		83,538		568,058
Rigel Pharmaceuticals, Inc.*		89,823		551,513
Incyte Corp.*		225,848		528,484
Progenics Pharmaceuticals, Inc.*		78,786		519,200

			MARKET
	SHARES		VALUE
Arena Pharmaceuticals, Inc.*		170,701	$	513,810
NPS Pharmaceuticals, Inc.*		115,417		484,751
Human Genome Sciences, Inc.*		325,359		270,048
Total Common Stocks
(Cost $59,209,653)				80,601,920
Total Investments 99.7%
(Cost $59,209,653)			$	80,601,920
Other Assets in Excess of Liabilities – 0.3%			$	276,306
Net Assets – 100.0%			$	80,878,226

* Non-Income Producing Security.

See Notes to Financial Statements. THE RYDEX SERIES FUNDS ANNUAL REPORT    |    47

49

SCHEDULE OF INVESTMENTS

March 31, 2009

     CONSUMER PRODUCTS FUND

			MARKET
	SHARES		VALUE
COMMON STOCKS 99.9%
Procter & Gamble Co.		49,188	$	2,316,263
Coca-Cola Co.		48,551		2,133,816
PepsiCo, Inc.		37,170		1,913,512
Philip Morris International, Inc.		48,113		1,711,861
Altria Group, Inc.		74,773		1,197,863
Unilever NV		57,780		1,132,488
Colgate-Palmolive Co.		19,096		1,126,282
Kraft Foods, Inc.		48,120		1,072,595
Diageo PLC — SP ADR		23,329		1,043,973
Archer-Daniels-Midland Co.		32,561		904,545
Kimberly-Clark Corp.		18,722		863,271
General Mills, Inc.		15,790		787,605
Sysco Corp.		34,253		780,968
Kroger Co.		34,761		737,628
Kellogg Co.		19,693		721,355
Lorillard, Inc.		11,209		692,044
Reynolds American, Inc.		18,311		656,266
H.J. Heinz Co.		19,811		654,952
Campbell Soup Co.		23,171		633,959
Bunge Ltd.		11,091		628,305
Avon Products, Inc.		30,790		592,092
Safeway, Inc.		28,953		584,561
Clorox Co.		11,193		576,216
ConAgra Foods, Inc.		33,914		572,129
Coca-Cola Enterprises, Inc.		42,865		565,389
Hershey Co.		14,286		496,439
Pepsi Bottling Group, Inc.		21,736		481,235
Sara Lee Corp.		56,179		453,926
Molson Coors Brewing Co. — Class B		13,132		450,165
Dr Pepper Snapple Group, Inc.*		26,510		448,284
Hormel Foods Corp.		14,133		448,157
J.M. Smucker Co.		10,960		408,479
Church & Dwight Company, Inc.		7,734		403,947
Hansen Natural Corp.*		11,080		398,880
McCormick & Company, Inc.		13,190		390,028
Brown-Forman Corp. — Class B		9,590		372,380
Tyson Foods, Inc. — Class A		39,156		367,675
Energizer Holdings, Inc.*		7,395		367,458
Estee Lauder Companies, Inc. — Class A		14,511		357,696
Ralcorp Holdings, Inc.*		6,610		356,147
Dean Foods Co.*		18,956		342,724
SUPERVALU, Inc.		22,615		322,942
Constellation Brands, Inc. — Class A*		24,677		293,656

			MARKET
	SHARES		VALUE
American Italian Pasta Co. —
Class A*		54	$	1,880
Total Common Stocks
(Cost $31,670,187)				31,762,036
WARRANTS 0.0%
Krispy Kreme Doughnuts, Inc.* $12.21, 03/02/12		125	$	1
Total Warrants
(Cost $—)				1
Total Investments 99.9%
(Cost $31,670,187)			$	31,762,037
Other Assets in Excess of Liabilities – 0.1%			$	19,391
Net Assets – 100.0%			$	31,781,428

*	Non-Income Producing Security.
	ADR — American Depository Receipt.

48    |    THE RYDEX SERIES FUNDS ANNUAL REPORT See Notes to Financial Statements.

50

SCHEDULE OF INVESTMENTS

March 31, 2009

     ELECTRONICS FUND

			MARKET
	SHARES		VALUE
COMMON STOCKS 99.5%
Intel Corp.		811,248	$	12,209,282
Taiwan Semiconductor Manufacturing Company Ltd. — SP ADR		1,032,213		9,238,306
Texas Instruments, Inc.		371,961		6,141,076
Applied Materials, Inc.		464,213		4,990,290
Broadcom Corp. — Class A*		203,399		4,063,912
ASML Holding NV		203,499		3,563,267
Marvell Technology Group Ltd.*		373,069		3,417,312
NVIDIA Corp.*		322,497		3,179,820
Xilinx, Inc.		161,936		3,102,694
Altera Corp.		170,831		2,998,084
Analog Devices, Inc.		152,251		2,933,877
Linear Technology Corp.		121,769		2,798,252
Microchip Technology, Inc.		127,560		2,702,996
MEMC Electronic Materials, Inc.*		161,306		2,659,936
Micron Technology, Inc.*		598,003		2,427,892
KLA-Tencor Corp.		118,368		2,367,360
Lam Research Corp.*		95,451		2,173,419
Advanced Micro Devices, Inc.*		681,767		2,079,389
Skyworks Solutions, Inc.*		247,861		1,997,760
Cree, Inc.*		84,502		1,988,332
National Semiconductor Corp.		187,403		1,924,629
PMC — Sierra, Inc.*		278,024		1,773,793
Novellus Systems, Inc.*		104,687		1,740,945
LSI Corp.*		556,029		1,690,328
Atmel Corp.*		461,298		1,674,512
Varian Semiconductor Equipment Associates, Inc.*		76,342		1,653,568
Intersil Corp. — Class A		143,638		1,651,837
ON Semiconductor Corp.*		396,992		1,548,269
Cypress Semiconductor Corp.*		220,409		1,492,169
Microsemi Corp.*		127,535		1,479,406
Silicon Laboratories, Inc.*		55,711		1,470,770
Hittite Microwave Corp.*		43,675		1,362,660
Formfactor, Inc.*		72,975		1,315,010
Rambus, Inc.*		138,117		1,306,587
Atheros Communications, Inc.*		86,409		1,266,756
International Rectifier Corp.*		92,024		1,243,244
Semtech Corp.*		90,374		1,206,493
MKS Instruments, Inc.*		76,151		1,117,135
Tessera Technologies, Inc.*		81,406		1,088,398
Cymer, Inc.*		46,765		1,040,989
Teradyne, Inc.*		233,081		1,020,895
Integrated Device Technology, Inc.*		218,960		996,268
Power Integrations, Inc.		49,588		852,914
FEI Co.*		55,093		850,085
Total Common Stocks
(Cost $101,451,503)				109,800,916

	FACE		MARKET
	AMOUNT		VALUE
REPURCHASE AGREEMENT† 2.7%
Credit Suisse Group issued 03/31/09 at 0.15% due 04/01/09	$	3,000,486	$	3,000,486
Total Repurchase Agreement
(Cost $3,000,486)				3,000,486
Total Investments 102.2%
(Cost $104,451,989)			$	112,801,402
Liabilities in Excess of Other Assets – (2.2)%			$	(2,444,379	)
Net Assets – 100.0%			$	110,357,023

*	Non-Income Producing Security.
†	Repurchase Agreements — See Note 4.
	ADR — American Depository Receipt.

See Notes to Financial Statements. THE RYDEX SERIES FUNDS ANNUAL REPORT    |    49

51

SCHEDULE OF INVESTMENTS

March 31, 2009

     ENERGY FUND

			MARKET
	SHARES		VALUE
COMMON STOCKS 99.6%
Exxon Mobil Corp.		85,636	$	5,831,813
Chevron Corp.		56,708		3,813,046
BP PLC — SP ADR		91,161		3,655,556
Petroleo Brasileiro SA		108,777		3,314,435
Royal Dutch Shell PLC — SP ADR		63,405		2,808,841
Schlumberger Ltd.		56,990		2,314,934
ConocoPhillips		58,546		2,292,661
Occidental Petroleum Corp.		40,277		2,241,415
Canadian Natural Resources Ltd.		41,401		1,596,423
Transocean Ltd.*		25,851		1,521,073
Anadarko Petroleum Corp.		36,905		1,435,235
Apache Corp.		22,239		1,425,298
Marathon Oil Corp.		52,960		1,392,318
Hess Corp.		25,081		1,359,390
XTO Energy, Inc.		42,046		1,287,449
Devon Energy Corp.		28,494		1,273,397
National-Oilwell Varco, Inc.*		42,149		1,210,098
Tenaris SA — SP ADR		57,107		1,151,848
Talisman Energy, Inc.		109,324		1,147,902
Halliburton Co.		74,082		1,146,049
Chesapeake Energy Corp.		66,443		1,133,518
EOG Resources, Inc.		20,626		1,129,480
Nexen, Inc.		63,226		1,072,313
Noble Energy, Inc.		19,881		1,071,188
Southwestern Energy Co.*		35,473		1,053,193
Diamond Offshore Drilling, Inc.		15,702		987,028
Spectra Energy Corp.		68,102		962,962
Murphy Oil Corp.		21,295		953,377
Baker Hughes, Inc.		32,734		934,556
Weatherford International Ltd.*		83,770		927,334
Range Resources Corp.		22,229		914,946
Valero Energy Corp.		49,260		881,754
Cameco Corp.		49,846		855,856
Peabody Energy Corp.		33,732		844,649
Noble Corp.		33,121		797,885
Ultra Petroleum Corp.*		22,094		792,954
Williams Companies, Inc.		68,575		780,383
PetroHawk Energy Corp.*		38,754		745,239
Cameron International Corp.*		32,656		716,146
Denbury Resources, Inc.*		47,712		709,000
FMC Technologies, Inc.*		22,108		693,528
Consol Energy, Inc.		27,313		689,380
Smith International, Inc.		31,771		682,441
Newfield Exploration Co.*		28,486		646,632
Continental Resources, Inc.*		29,361		622,747
El Paso Corp.		98,706		616,912
ENSCO International, Inc.		23,346		616,334
Pride International, Inc.*		34,010		611,500
CNX Gas Corp.*		24,975		592,157
IHS Inc.*		13,045		537,193

			MARKET
	SHARES		VALUE
Concho Resources, Inc.*		20,560	$	526,130
BJ Services Co.		52,558		522,952
Nabors Industries Ltd.*		52,045		519,930
Helmerich & Payne, Inc.		22,111		503,467
EXCO Resources, Inc.*		49,300		493,000
Cabot Oil & Gas Corp.		20,640		486,485
Sunoco, Inc.		17,313		458,448
Tidewater, Inc.		12,108		449,570
Plains Exploration & Production Co.*		24,742		426,305
Tesoro Corp.		31,368		422,527
Arch Coal, Inc.		30,810		411,930
Cimarex Energy Co.		19,258		353,962
Frontline Ltd.		17,746		308,603
Total Common Stocks
(Cost $62,344,104)				72,675,075
		FACE
		AMOUNT
REPURCHASE AGREEMENT† 1.4%
Credit Suisse Group issued 03/31/09 at 0.15% due 04/01/09	$	1,053,892		1,053,892
Total Repurchase Agreement
(Cost $1,053,892)				1,053,892
Total Investments 101.0%
(Cost $63,397,996)			$	73,728,967
Liabilities in Excess of Other Assets – (1.0)%			$	(713,530	)
Net Assets – 100.0%			$	73,015,437

*	Non-Income Producing Security.
†	Repurchase Agreements — See Note 4.
	ADR — American Depository Receipt.

50    |    THE RYDEX SERIES FUNDS ANNUAL REPORT See Notes to Financial Statements.

52

SCHEDULE OF INVESTMENTS

March 31, 2009

     ENERGY SERVICES FUND

			MARKET
	SHARES		VALUE
COMMON STOCKS 99.0%
Schlumberger Ltd.		215,531	$	8,754,869
Transocean Ltd.*		96,292		5,665,821
National-Oilwell Varco, Inc.*		159,322		4,574,135
Halliburton Co.		280,044		4,332,281
Tenaris SA — SP ADR		212,716		4,290,482
Diamond Offshore Drilling, Inc.		59,560		3,743,942
Baker Hughes, Inc.		123,654		3,530,322
Weatherford International Ltd.*		312,280		3,456,940
Noble Corp.		123,456		2,974,055
Cameron International Corp.*		122,480		2,685,986
FMC Technologies, Inc.*		82,985		2,603,239
Smith International, Inc.		119,909		2,575,645
ENSCO International, Inc.		88,166		2,327,582
Pride International, Inc.*		128,755		2,315,015
IHS Inc.*		48,444		1,994,924
BJ Services Co.		198,705		1,977,115
Nabors Industries Ltd.*		197,038		1,968,410
Oceaneering International, Inc.*		51,945		1,915,212
Helmerich & Payne, Inc.		82,780		1,884,901
Dresser-Rand Group, Inc.*		82,539		1,824,112
Tidewater, Inc.		45,031		1,672,001
Dril-Quip, Inc.*		48,732		1,496,072
Rowan Companies, Inc.		117,411		1,405,410
Patterson-UTI Energy, Inc.		156,577		1,402,930
Atwood Oceanics, Inc.*		78,528		1,302,779
SEACOR Holdings, Inc.*		21,989		1,282,178
Superior Energy Services*		89,320		1,151,335
Unit Corp.*		53,779		1,125,057
Exterran Holdings, Inc.*		68,046		1,090,097
CARBO Ceramics, Inc.		32,728		930,784
RPC, Inc.		136,778		906,838
Oil States International, Inc.*		65,429		878,057
Total Common Stocks
(Cost $68,194,596)				80,038,526

	FACE		MARKET
	AMOUNT		VALUE
REPURCHASE AGREEMENT† 2.1%
Credit Suisse Group issued 03/31/09 at 0.15% due 04/01/09	$	1,694,730	$	1,694,730
Total Repurchase Agreement
(Cost $1,694,730)				1,694,730
Total Investments 101.1%
(Cost $69,889,326)			$	81,733,256
Liabilities in Excess of Other Assets – (1.1)%			$	(853,238	)
Net Assets – 100.0%			$	80,880,018

*	Non-Income Producing Security.
†	Repurchase Agreements — See Note 4.
	ADR — American Depository Receipt.

See Notes to Financial Statements. THE RYDEX SERIES FUNDS ANNUAL REPORT    |    51

53

SCHEDULE OF INVESTMENTS

March 31, 2009

     FINANCIAL SERVICES FUND

			MARKET
	SHARES		VALUE
COMMON STOCKS 98.6%
JPMorgan Chase & Co.		23,802	$	632,657
Goldman Sachs Group, Inc.		4,934		523,103
Wells Fargo & Co.		31,267		445,242
HSBC Holdings PLC — SP ADR		15,497		437,325
Bank of America Corp.		61,167		417,159
Credit Suisse Group AG — SP ADR		12,735		388,290
Bank of New York Mellon Corp.		13,124		370,753
Barclays PLC — SP ADR		39,086		332,231
U.S. Bancorp		22,079		322,574
Morgan Stanley		13,999		318,757
Travelers Companies, Inc.		7,363		299,232
CME Group, Inc.		1,213		298,871
State Street Corp.		9,024		277,759
Blackrock, Inc.		2,127		276,595
Charles Schwab Corp.		17,441		270,335
UBS AG — SP ADR*		25,562		241,050
Chubb Corp.		5,548		234,791
MetLife, Inc.		10,298		234,485
Northern Trust Corp.		3,836		229,470
American Express Co.		16,046		218,707
Franklin Resources, Inc.		4,041		217,689
ACE Ltd.		5,219		210,848
Aon Corp.		5,102		208,264
PNC Financial Services Group, Inc.		7,024		205,733
Marsh & McLennan Companies, Inc.		9,781		198,065
Progressive Corp.*		14,264		191,708
TD Ameritrade Holding Corp.*		13,629		188,216
Loews Corp.		8,036		177,596
Public Storage		3,097		171,109
AFLAC, Inc.		8,828		170,910
BB&T Corp.		10,039		169,860
T. Rowe Price Group, Inc.		5,677		163,838
Allstate Corp.		8,536		163,464
Invesco Ltd.		11,739		162,703
IntercontinentalExchange, Inc.*		2,146		159,813
Annaly Capital Management, Inc.		11,368		157,674
Brookfield Asset Management, Inc. — Class A		11,201		154,350
People’s United Financial, Inc.		8,579		154,165
Simon Property Group, Inc.		4,428		153,386
M&T Bank Corp.		3,280		148,387
Hudson City Bancorp, Inc.		12,544		146,639
Moody’s Corp.		6,350		145,542
Prudential Financial, Inc.		7,591		144,381
Fidelity National Financial, Inc. — Class A		7,337		143,145
Everest Re Group Ltd.		1,849		130,909
Plum Creek Timber Company, Inc. (REIT)		4,416		128,373

			MARKET
	SHARES		VALUE
Ameriprise Financial, Inc.		6,257	$	128,206
Equity Residential		6,691		122,780
NYSE Euronext		6,737		120,592
KeyCorp		15,259		120,088
SunTrust Banks, Inc.		10,025		117,693
TFS Financial Corp.		9,631		116,824
Vornado Realty Trust		3,508		116,606
Cincinnati Financial Corp.		5,045		115,379
New York Community Bancorp, Inc.		10,316		115,230
Nasdaq Stock Market, Inc.*		5,827		114,093
HCP, Inc.		6,312		112,669
Boston Properties, Inc.		3,195		111,921
Unum Group		8,953		111,912
Willis Group Holdings Ltd.		5,047		111,034
Capital One Financial Corp.		8,969		109,781
PartnerRe Ltd.		1,764		109,491
RenaissanceRe Holdings Ltd.		2,211		109,312
Eaton Vance Corp.		4,779		109,200
Cullen/Frost Bankers, Inc.		2,305		108,197
AvalonBay Communities, Inc.		2,275		107,062
HCC Insurance Holdings, Inc.		4,211		106,075
Leucadia National Corp.*		7,072		105,302
W.R. Berkley Corp.		4,669		105,286
Comerica, Inc.		5,667		103,763
Raymond James Financial, Inc.		5,266		103,740
Commerce Bancshares, Inc.		2,809		101,967
Axis Capital Holdings Ltd.		4,512		101,700
Arch Capital Group Ltd.*		1,886		101,580
First Horizon National Corp.		9,370		100,634
Lazard Ltd. — Class A		3,408		100,195
Jefferies Group, Inc.		7,248		100,022
First American Corp.		3,765		99,810
Discover Financial Services		15,669		98,871
Federated Investors, Inc. — Class B		4,408		98,122
Brown & Brown, Inc.		5,188		98,105
Greenhill & Company, Inc.		1,327		97,999
Capitol Federal Financial		2,563		96,907
Markel Corp.*		340		96,519
Health Care REIT, Inc.		3,139		96,022
Transatlantic Holdings, Inc.		2,690		95,952
Digital Realty Trust, Inc.		2,890		95,890
Ventas, Inc.		4,221		95,437
Old Republic International Corp.		8,775		94,946
Federal Realty Investment Trust		2,060		94,760
SEI Investments Co.		7,757		94,713
Rayonier, Inc.		3,116		94,166
Brookfield Properties Corp.		16,270		93,390
BOK Financial Corp.		2,636		91,074
Reinsurance Group of America, Inc.		2,751		89,105
Alleghany Corp.*		325		88,123
Assurant, Inc.		4,019		87,534
Validus Holdings Ltd.		3,650		86,432
Nationwide Health Properties, Inc.		3,849		85,409

52    |    THE RYDEX SERIES FUNDS ANNUAL REPORT See Notes to Financial Statements.

54

SCHEDULE OF INVESTMENTS (concluded)

March 31, 2009

     FINANCIAL SERVICES FUND

			MARKET
	SHARES		VALUE
UMB Financial Corp.		1,999	$	84,938
Associated Banc-Corp.		5,453		84,194
Aspen Insurance Holdings Ltd.		3,718		83,506
BancorpSouth, Inc.		3,995		83,256
Realty Income Corp.		4,409		82,977
Odyssey Re Holdings Corp.		2,174		82,460
Legg Mason, Inc.		5,170		82,203
Affiliated Managers Group, Inc.*		1,966		82,002
Torchmark Corp.		3,106		81,470
CNA Financial Corp.		8,894		81,469
Allied World Assurance Company Holdings Ltd		2,125		80,814
Liberty Property Trust		4,231		80,135
City National Corp.		2,286		77,198
Erie Indemnity Co. — Class A		2,258		77,178
American Financial Group, Inc.		4,800		77,040
Valley National Bancorp		6,134		75,878
TCF Financial Corp.		6,342		74,582
ProAssurance Corp.*		1,594		74,312
Bank of Hawaii Corp.		2,239		73,842
Host Hotels & Resorts, Inc.		18,393		72,101
Marshall & Ilsley Corp.		12,487		70,302
Senior Housing Properties Trust		4,999		70,086
Essex Property Trust, Inc.		1,210		69,381
Endurance Specialty Holdings Ltd.		2,778		69,283
Regency Centers Corp.		2,605		69,215
American National Insurance Co.		1,314		68,867
Hartford Financial Services Group, Inc.		8,736		68,578
SLM Corp.*		13,540		67,023
Highwoods Properties, Inc.		3,125		66,938
Mercury General Corp.		2,231		66,261
Arthur J. Gallagher & Co.		3,858		65,586
AMB Property Corp.		4,472		64,397
ProLogis		9,659		62,784
First Niagara Financial Group, Inc.		5,759		62,773
Principal Financial Group, Inc.		7,635		62,454
Knight Capital Group, Inc. — Class A*		4,235		62,424
White Mountains Insurance Group Ltd.		360		61,888
Hanover Insurance Group, Inc.		2,145		61,819
The St. Joe Co.*		3,669		61,419
KIMCO Realty Corp.		7,929		60,419
UDR, Inc.		6,516		56,103
Zions Bancorporation		5,508		54,144
Alexandria Real Estate Equities, Inc.		1,394		50,742

			MARKET
	SHARES		VALUE
Lincoln National Corp.		7,476	$	50,014
Duke Realty Corp.		7,086		38,973
Total Common Stocks
(Cost $18,399,193)				19,777,201
Total Investments 98.6%
(Cost $18,399,193)			$	19,777,201
Other Assets in Excess of Liabilities – 1.4%			$	280,156
Net Assets – 100.0%			$	20,057,357

*	Non-Income Producing Security.
	ADR — American Depository Receipt.
	REIT — Real Estate Investment Trust.

See Notes to Financial Statements. THE RYDEX SERIES FUNDS ANNUAL REPORT    |    53

55

SCHEDULE OF INVESTMENTS

March 31, 2009

     HEALTH CARE FUND

			MARKET
	SHARES		VALUE
COMMON STOCKS 99.3%
Johnson & Johnson, Inc.		22,577	$	1,187,550
Novartis AG — SP ADR		24,860		940,454
Pfizer, Inc.		67,135		914,379
GlaxoSmithKline PLC — SP ADR		27,702		860,701
Sanofi-Aventis — SP ADR		30,628		855,440
Abbott Laboratories		17,373		828,692
Wyeth		17,844		768,006
Merck & Company, Inc.		28,072		750,926
Amgen, Inc.*		14,531		719,575
Schering-Plough Corp.		30,228		711,869
AstraZeneca PLC — SP ADR		19,568		693,686
Teva Pharmaceutical Industries Ltd. — SP ADR		14,977		674,714
Bristol-Myers Squibb Co.		30,081		659,375
Gilead Sciences, Inc.*		14,128		654,409
Eli Lilly & Co.		17,643		589,453
Alcon, Inc. — SP ADR		6,155		559,551
Medtronic, Inc.		18,635		549,173
Baxter International, Inc.		10,588		542,317
Medco Health Solutions, Inc.*		10,902		450,689
UnitedHealth Group, Inc.		20,956		438,609
Allergan, Inc.		9,140		436,526
Celgene Corp.*		9,719		431,524
WellPoint, Inc.*		11,243		426,897
Biogen Idec, Inc.*		7,917		415,009
Covidien Ltd.		11,940		396,886
Thermo Fisher Scientific, Inc.*		11,070		394,867
Becton, Dickinson & Co.		5,859		393,959
Genzyme Corp.*		6,458		383,541
St. Jude Medical, Inc.*		10,171		369,512
Stryker Corp.		10,198		347,140
Boston Scientific Corp.*		43,216		343,567
Express Scripts, Inc.*		6,910		319,035
Cardinal Health, Inc.		10,066		316,878
Aetna, Inc.		12,443		302,738
Quest Diagnostics, Inc.		6,289		298,602
McKesson Corp.		7,999		280,285
C.R. Bard, Inc.		3,504		279,339
Zimmer Holdings, Inc.*		7,523		274,589
Life Technologies Corp.*		8,449		274,424
Illumina, Inc.*		6,895		256,770
Hospira, Inc.*		8,279		255,490
Laboratory Corporation of America Holdings*		4,346		254,198
Shire PLC — SP ADR		6,810		244,751
Forest Laboratories, Inc.*		11,114		244,063
Myriad Genetics, Inc.*		5,176		235,353
CIGNA Corp.		13,179		231,819
Mylan, Inc.*		16,730		224,349

			MARKET
	SHARES		VALUE
AmerisourceBergen Corp.		6,640	$	216,862
Cephalon, Inc.*		3,088		210,293
DaVita, Inc.*		4,730		207,883
Vertex Pharmaceuticals, Inc.*		7,091		203,724
DENTSPLY International, Inc.		7,541		202,476
Henry Schein, Inc.*		5,010		200,450
Hologic, Inc.*		15,042		196,900
Waters Corp.*		5,238		193,544
Edwards Lifesciences Corp.*		3,190		193,410
Intuitive Surgical, Inc.*		2,016		192,246
Beckman Coulter, Inc.		3,739		190,726
Varian Medical Systems, Inc.*		6,111		186,019
Millipore Corp.*		3,235		185,721
Humana, Inc.*		6,772		176,614
Omnicare, Inc.		6,580		161,144
ResMed, Inc.*		4,420		156,203
Warner Chilcott Ltd.*		13,562		142,672
Total Common Stocks
(Cost $22,607,946)				26,198,566
Total Investments 99.3%
(Cost $22,607,946)			$	26,198,566
Other Assets in Excess of Liabilities – 0.7%			$	171,957
Net Assets – 100.0%			$	26,370,523

*	Non-Income Producing Security.
	ADR — American Depository Receipt.

54    |    THE RYDEX SERIES FUNDS ANNUAL REPORT See Notes to Financial Statements.

56

SCHEDULE OF INVESTMENTS

March 31, 2009

     INTERNET FUND

			MARKET
	SHARES		VALUE
COMMON STOCKS 99.7%
Cisco Systems, Inc.*		349,721	$	5,864,821
Google, Inc. — Class A*		16,256		5,658,063
Qualcomm, Inc.		133,837		5,207,598
Amazon.com, Inc.*		64,897		4,766,036
Yahoo!, Inc.*		252,545		3,235,102
Research In Motion Ltd.*		68,035		2,930,268
eBay, Inc.*		231,041		2,901,875
Symantec Corp.*		178,704		2,669,838
Time Warner, Inc.		131,790		2,543,547
Intuit, Inc.*		89,860		2,426,220
Broadcom Corp. — Class A*		121,151		2,420,597
BMC Software, Inc.*		67,680		2,233,440
Baidu.com — SP ADR*		12,482		2,204,321
Juniper Networks, Inc.*		128,716		1,938,463
McAfee, Inc.*		56,160		1,881,360
Akamai Technologies, Inc.*		95,488		1,852,467
Check Point Software Technologies Ltd.*		77,219		1,715,034
Red Hat, Inc.*		95,204		1,698,439
Priceline.com, Inc.*		20,952		1,650,599
VeriSign, Inc.*		81,621		1,540,188
Netflix, Inc.*		35,746		1,534,218
Expedia, Inc.*		150,490		1,366,449
Equinix, Inc.*		23,062		1,294,931
IAC/InterActiveCorp*		80,762		1,230,005
Sohu.com, Inc.*		28,662		1,184,027
F5 Networks, Inc.*		51,144		1,071,467
Time Warner Cable, Inc.		33,084		820,489
Total Common Stocks
(Cost $60,382,755)				65,839,862

	FACE		MARKET
	AMOUNT		VALUE
REPURCHASE AGREEMENT† 0.4%
Credit Suisse Group issued 03/31/09 at 0.15% due 04/01/09	$	263,820	$	263,820
Total Repurchase Agreement
(Cost $263,820)				263,820
Total Investments 100.1%
(Cost $60,646,575)			$	66,103,682
Liabilities in Excess of Other Assets – (0.1)%			$	(62,421	)
Net Assets – 100.0%			$	66,041,261

*	Non-Income Producing Security.
†	Repurchase Agreements — See Note 4.
	ADR — American Depository Receipt.

See Notes to Financial Statements. THE RYDEX SERIES FUNDS ANNUAL REPORT    |    55

57

SCHEDULE OF INVESTMENTS

March 31, 2009

     LEISURE FUND

			MARKET
	SHARES		VALUE
COMMON STOCKS 99.6%
McDonald’s Corp.		7,290	$	397,815
Walt Disney Co.		15,603		283,350
Activision Blizzard Inc.*		19,818		207,296
Time Warner, Inc.		10,638		205,313
Carnival Corp.		9,433		203,753
Yum! Brands, Inc.		6,658		182,962
News Corp. — Class A		27,434		181,613
Viacom, Inc. — Class B*		10,162		176,616
Starbucks Corp.*		14,968		166,294
Electronic Arts, Inc.*		7,369		134,042
Darden Restaurants, Inc.		3,715		127,276
Marriott International, Inc. — Class A		7,487		122,487
Tim Hortons, Inc.		4,459		113,125
Hasbro, Inc.		3,861		96,795
Mattel, Inc.		8,155		94,027
Burger King Holdings, Inc.		4,093		93,934
Penn National Gaming, Inc.*		3,395		81,989
Regal Entertainment Group — Class A		6,016		80,675
Wendy’s/Arby’s Group, Inc. — Class A		15,787		79,409
International Game Technology, Inc.		8,328		76,784
Brinker International, Inc.		4,914		74,201
Marvel Entertainment, Inc.*		2,787		73,995
Panera Bread Co. — Class A*		1,292		72,223
Starwood Hotels & Resorts Worldwide, Inc.		5,650		71,755
DreamWorks Animation SKG, Inc. — Class A*		3,163		68,447
Time Warner Cable, Inc.		2,671		66,239
Choice Hotels International, Inc.		2,510		64,808
Jack in the Box, Inc.*		2,628		61,206
Chipotle Mexican Grill, Inc. — Class A*		919		61,003
Royal Caribbean Cruises Ltd.		7,570		60,636
Wynn Resorts Ltd.*		2,928		58,472
Cinemark Holdings, Inc.		6,056		56,866
Las Vegas Sands Corp.*		17,789		53,545
Scientific Games Corp. — Class A*		4,369		52,909
WMS Industries, Inc.*		2,399		50,163
Bally Technologies, Inc.*		2,600		47,892
Bob Evans Farms, Inc.		2,126		47,665
Take-Two Interactive Software, Inc.		5,416		45,224
Polaris Industries, Inc.		2,013		43,159
Vail Resorts, Inc.*		2,054		41,963
CEC Entertainment, Inc.*		1,591		41,175
Sonic Corp.*		4,083		40,912
Eastman Kodak Co.		10,435		39,653

			MARKET
	SHARES		VALUE
Pool Corp.		2,872	$	38,485
International Speedway Corp. — Class A		1,714		37,811
Wyndham Worldwide Corp.		8,611		36,166
Speedway Motorsports, Inc.		2,816		33,285
Life Time Fitness, Inc.*		2,626		32,983
Callaway Golf Co.		4,536		32,568
MGM MIRAGE*		9,208		21,455
Total Common Stocks
(Cost $4,433,958)				4,632,419
WARRANTS 0.0%
Krispy Kreme Doughnuts, Inc.* $12.21, 03/02/12		350	$	4
Total Warrants
(Cost $—)				4
Total Investments 99.6%
(Cost $4,433,958)			$	4,632,423
Other Assets in Excess of Liabilities – 0.4%			$	20,553
Net Assets – 100.0%			$	4,652,976

* Non-Income Producing Security.

56    |    THE RYDEX SERIES FUNDS ANNUAL REPORT See Notes to Financial Statements.

58

SCHEDULE OF INVESTMENTS

March 31, 2009

     PRECIOUS METALS FUND

			MARKET
	SHARES		VALUE
COMMON STOCKS 99.6%
Freeport-McMoRan Copper & Gold, Inc.		471,887	$	17,983,614
Goldcorp, Inc.		400,286		13,337,529
Newmont Mining Corp.		276,874		12,392,880
Agnico-Eagle Mines Ltd.		201,424		11,465,054
AngloGold Ashanti Ltd. — SP ADR		296,514		10,899,855
Yamana Gold, Inc.		1,162,044		10,748,907
Barrick Gold Corp.		329,973		10,697,725
Kinross Gold Corp.		592,092		10,580,684
Randgold Resources Ltd. — SP ADR		175,452		9,535,816
Silver Wheaton Corp.*		1,149,366		9,459,282
Gold Fields Ltd. — SP ADR		823,784		9,341,711
Cia de Minas Buenaventura SA — SP ADR		366,008		8,776,872
Iamgold Corp.		878,172		7,508,371
Eldorado Gold Corp.*		794,622		7,151,598
Royal Gold, Inc.		152,100		7,112,196
Pan American Silver Corp.*		383,801		6,685,813
Harmony Gold Mining Company Ltd. — SP ADR*		606,900		6,639,486
Silver Standard Resources, Inc.*		344,856		5,559,079
Golden Star Resources Ltd.*		3,767,271		5,500,216
Allied Nevada Gold Corp.*		869,270		5,085,229
Novagold Resources, Inc.*		1,830,552		5,052,323
Hecla Mining Co.*		2,490,381		4,980,762
Stillwater Mining Co.*		1,185,653		4,386,916
Total Common Stocks
(Cost $118,906,037)				200,881,918

	FACE		MARKET
	AMOUNT		VALUE
REPURCHASE AGREEMENT† 1.2%
Credit Suisse Group issued 03/31/09 at 0.15% due 04/01/09	$	2,410,821	$	2,410,821
Total Repurchase Agreement
(Cost $2,410,821)				2,410,821
Total Investments 100.8%
(Cost $121,316,858)			$	203,292,739
Liabilities in Excess of Other Assets – (0.8)%			$	(1,542,025	)
Net Assets – 100.0%			$	201,750,714

*	Non-Income Producing Security.
†	Repurchase Agreements — See Note 4.
	ADR — American Depository Receipt.

See Notes to Financial Statements. THE RYDEX SERIES FUNDS ANNUAL REPORT    |    57

59

SCHEDULE OF INVESTMENTS

March 31, 2009

     RETAILING FUND

			MARKET
	SHARES		VALUE
COMMON STOCKS 99.2%
Wal-Mart Stores, Inc.		178,198	$	9,284,116
Amazon.com, Inc.*		59,088		4,339,423
Home Depot, Inc.		173,993		4,099,275
CVS Caremark Corp.		143,362		3,941,021
Target Corp.		94,393		3,246,175
Walgreen Co.		120,169		3,119,587
Lowe’s Companies, Inc.		170,646		3,114,289
Best Buy Company, Inc.		76,045		2,886,668
Costco Wholesale Corp.		59,765		2,768,315
Kohl’s Corp.*		55,794		2,361,202
Staples, Inc.		128,041		2,318,822
TJX Companies, Inc.		90,140		2,311,190
AutoZone, Inc.*		13,043		2,121,053
The Gap, Inc.		152,495		1,980,910
Bed Bath & Beyond, Inc.*		64,800		1,603,800
Sherwin-Williams Co.		30,837		1,602,599
Sears Holdings Corp.*		33,081		1,512,133
Family Dollar Stores, Inc.		44,662		1,490,371
O’Reilly Automotive, Inc.*		42,064		1,472,661
Ross Stores, Inc.		40,295		1,445,785
J.C. Penney Company, Inc.		69,898		1,402,853
GameStop Corp. — Class A*		49,494		1,386,822
Advance Auto Parts, Inc.		33,656		1,382,588
Genuine Parts Co.		44,399		1,325,754
Nordstrom, Inc.		79,006		1,323,350
Dollar Tree, Inc.*		28,908		1,287,851
CarMax, Inc.*		102,083		1,269,913
AutoNation, Inc.*		88,762		1,232,017
Priceline.com, Inc.*		15,422		1,214,945
Macy’s, Inc.		131,712		1,172,237
American Eagle Outfitters, Inc.		93,300		1,141,992
Netflix, Inc.*		25,777		1,106,349
Petsmart, Inc.		50,574		1,060,031
Limited Brands, Inc.		120,279		1,046,427
Urban Outfitters, Inc.*		63,538		1,040,117
Tiffany & Co.		47,462		1,023,281
Big Lots, Inc.*		49,078		1,019,841
Abercrombie & Fitch Co. — Class A		42,593		1,013,713
Guess?, Inc.		48,062		1,013,147
LKQ Corp.*		69,903		997,516
Expedia, Inc.*		109,699		996,067
Aeropostale, Inc.*		35,488		942,561
Foot Locker, Inc.		87,520		917,210
BJ’s Wholesale Club, Inc.*		27,824		890,090
Tractor Supply Co.*		20,385		735,083
Aaron Rents, Inc.		26,484		706,063
RadioShack Corp.		64,288		550,948
Total Common Stocks
(Cost $81,040,196)				86,218,161

	FACE		MARKET
	AMOUNT		VALUE
REPURCHASE AGREEMENT† 0.7%
Credit Suisse Group issued 03/31/09 at 0.15% due 04/01/09	$	570,040	$	570,040
Total Repurchase Agreement
(Cost $570,040)				570,040
Total Investments 99.9%
(Cost $81,610,236)			$	86,788,201
Other Assets in Excess of Liabilities – 0.1%			$	64,159
Net Assets – 100.0%			$	86,852,360

*	Non-Income Producing Security.
†	Repurchase Agreements — See Note 4.

58    |    THE RYDEX SERIES FUNDS ANNUAL REPORT See Notes to Financial Statements.

60

SCHEDULE OF INVESTMENTS

March 31, 2009

     TECHNOLOGY FUND

			MARKET
	SHARES		VALUE
COMMON STOCKS 99.9%
Microsoft Corp.		34,985	$	642,674
International Business Machines Corp.		5,963		577,755
Apple, Inc.*		4,885		513,511
Cisco Systems, Inc.*		29,174		489,248
Oracle Corp.*		26,645		481,475
Intel Corp.		31,292		470,945
Google, Inc. — Class A*		1,330		462,920
Qualcomm, Inc.		10,611		412,874
Hewlett-Packard Co.		12,773		409,502
Taiwan Semiconductor Manufacturing Company Ltd. — SP ADR		39,823		356,416
SAP AG — SP ADR		9,260		326,785
Nokia Oyj — SP ADR		27,124		316,537
Canon, Inc. — SP ADR		10,604		307,834
Visa, Inc.		4,974		276,554
Corning, Inc.		19,449		258,088
EMC Corp*		21,544		245,602
Telefonaktiebolaget LM Ericsson — SP ADR		29,724		240,467
Texas Instruments, Inc.		14,347		236,869
MasterCard, Inc.		1,378		230,787
Yahoo!, Inc.*		17,254		221,024
Research In Motion Ltd.*		5,052		217,590
Dell, Inc.*		21,669		205,422
Automatic Data Processing, Inc.		5,769		202,838
eBay, Inc.*		16,027		201,299
Activision Blizzard Inc.*		18,498		193,489
Applied Materials, Inc.		17,907		192,500
Infosys Technologies Ltd. — SP ADR		7,164		190,777
Accenture Ltd. — Class A		6,756		185,722
Symantec Corp.*		12,053		180,072
Adobe Systems, Inc.*		7,956		170,179
Broadcom Corp. — Class A*		7,843		156,703
Intuit, Inc.*		5,790		156,330
Paychex, Inc.		5,902		151,504
CA, Inc.		8,508		149,826
AU Optronics Corp. — SP ADR		17,041		142,974
BMC Software, Inc.*		4,185		138,105
ASML Holding NV		7,845		137,366
Western Union Co.		10,810		135,882
Marvell Technology Group Ltd.*		14,392		131,831
Baidu.com — SP ADR*		732		129,271
Juniper Networks, Inc.*		8,493		127,905
Fiserv, Inc.*		3,502		127,683
Cognizant Technology Solutions Corp. — Class A*		6,092		126,653
Electronic Arts, Inc.*		6,881		125,165
NVIDIA Corp.*		12,435		122,609
Western Digital Corp.*		6,307		121,977
Xilinx, Inc.		6,245		119,654

			MARKET
	SHARES		VALUE
McAfee, Inc.*		3,457	$	115,809
Altera Corp.		6,593		115,707
Amphenol Corp.		4,045		115,242
Computer Sciences Corp.*		3,123		115,051
Analog Devices, Inc.		5,867		113,057
Linear Technology Corp.		4,696		107,914
Salesforce.com, Inc.*		3,287		107,584
NetApp, Inc.*		7,215		107,071
Affiliated Computer Services, Inc. — Class A*		2,235		107,034
Check Point Software Technologies Ltd.*		4,779		106,142
Akamai Technologies, Inc.*		5,441		105,555
Microchip Technology, Inc.		4,926		104,382
Agilent Technologies, Inc.*		6,764		103,963
MEMC Electronic Materials, Inc.*		6,217		102,518
Red Hat, Inc.*		5,569		99,351
Citrix Systems, Inc.*		4,349		98,461
Amdocs Ltd.*		5,293		98,026
Fidelity National Information Services, Inc.		5,354		97,443
Autodesk, Inc.*		5,705		95,901
Broadridge Financial Solutions, Inc.		5,050		93,981
SAIC, Inc.*		4,990		93,163
Tyco Electronics Ltd.		8,411		92,857
VeriSign, Inc.*		4,918		92,803
KLA-Tencor Corp.		4,562		91,240
Teradata Corp.*		5,524		89,599
Synopsys, Inc.*		4,275		88,621
Lender Processing Services, Inc.		2,890		88,463
Hewitt Associates, Inc. — Class A*		2,950		87,792
SanDisk Corp.*		6,776		85,716
FactSet Research Systems Inc.		1,698		84,883
Lam Research Corp.*		3,680		83,794
Sybase, Inc.*		2,764		83,722
Total System Services, Inc.		5,994		82,777
Nuance Communications, Inc.*		7,530		81,776
Global Payments, Inc.		2,409		80,485
Harris Corp.		2,725		78,862
Xerox Corp.		17,125		77,919
Cree, Inc.*		3,258		76,661
Avnet, Inc.*		4,311		75,486
VMware, Inc.*		3,190		75,348
National Semiconductor Corp.		7,232		74,273
ANSYS, Inc.*		2,940		73,794
Equinix, Inc.*		1,305		73,276
Arrow Electronics, Inc.*		3,816		72,733
Flir Systems, Inc.*		3,550		72,704
Alliance Data Systems Corp.*		1,929		71,277
Genpact Ltd.*		7,831		69,383
IAC/InterActiveCorp*		4,541		69,159
Ingram Micro, Inc. — Class A*		5,465		69,078
Trimble Navigation Ltd.*		4,362		66,651
F5 Networks, Inc.*		2,870		60,127

See Notes to Financial Statements. THE RYDEX SERIES FUNDS ANNUAL REPORT    |    59

61

SCHEDULE OF INVESTMENTS (concluded)

March 31, 2009

     TECHNOLOGY FUND

			MARKET
	SHARES		VALUE
Mettler-Toledo International, Inc.*		1,100	$	56,463
Itron, Inc.*		1,160		54,926
Lexmark International, Inc.*		2,760		46,561
NCR Corp.*		5,453		43,351
Total Common Stocks
(Cost $13,683,259)				16,495,108
Total Investments 99.9%
(Cost $13,683,259)			$	16,495,108
Other Assets in Excess of Liabilities – 0.1%			$	24,527
Net Assets – 100.0%			$	16,519,635

*	Non-Income Producing Security.
	ADR — American Depository Receipt.

60    |    THE RYDEX SERIES FUNDS ANNUAL REPORT See Notes to Financial Statements.

62

SCHEDULE OF INVESTMENTS

March 31, 2009

     TELECOMMUNICATIONS FUND

			MARKET
	SHARES		VALUE
COMMON STOCKS 99.6%
AT&T, Inc.		54,530	$	1,374,156
Cisco Systems, Inc.*		70,738		1,186,276
Verizon Communications, Inc.		37,341		1,127,698
Vodafone Group PLC — SP ADR		62,982		1,097,146
Qualcomm, Inc.		27,070		1,053,294
Deutsche Telekom AG — SP ADR		72,610		896,734
Nokia Oyj — SP ADR		70,684		824,882
Corning, Inc.		56,704		752,462
America Movil SAB de CV — SP ADR		27,593		747,218
Telefonaktiebolaget LM Ericsson — SP ADR		82,895		670,621
Sprint Nextel Corp.*		166,745		595,280
Research In Motion Ltd.*		13,766		592,902
American Tower Corp. — Class A*		16,895		514,115
MetroPCS Communications, Inc.*		26,114		446,027
Motorola, Inc.		103,533		437,945
Crown Castle International Corp.*		19,306		394,035
Juniper Networks, Inc.*		26,044		392,223
Embarq Corp.		9,784		370,324
Qwest Communications International, Inc.		107,274		366,877
Tele Norte Leste Participacoes SA — ADR		24,381		337,433
SBA Communications Corp.*		13,613		317,183
Alcatel-Lucent*		170,089		316,366
Windstream Corp.		36,158		291,433
CenturyTel, Inc.		10,051		282,634
Harris Corp.		8,755		253,370
Tellabs, Inc.*		53,638		245,662
Frontier Communications Corp.		32,725		234,966
NII Holdings, Inc. — Class B*		15,168		227,520
F5 Networks, Inc.*		10,339		216,602
U.S. Cellular Corp.*		6,266		208,908
Level 3 Communications, Inc.*		213,827		196,721
Total Common Stocks
(Cost $15,160,482)				16,969,013
Total Investments 99.6%
(Cost $15,160,482)			$	16,969,013
Other Assets in Excess of Liabilities – 0.4%			$	59,744
Net Assets – 100.0%			$	17,028,757

*	Non-Income Producing Security.
	ADR — American Depository Receipt.

See Notes to Financial Statements. THE RYDEX SERIES FUNDS ANNUAL REPORT    |    61

63

SCHEDULE OF INVESTMENTS

March 31, 2009

     TRANSPORTATION FUND

			MARKET
	SHARES		VALUE
COMMON STOCKS 99.2%
United Parcel Service, Inc. — Class B		43,491	$	2,140,627
Union Pacific Corp.		39,800		1,636,178
Burlington Northern Santa Fe Corp.		26,542		1,596,501
Canadian National Railway Co.		43,254		1,533,354
Norfolk Southern Corp.		39,069		1,318,579
FedEx Corp.		28,860		1,283,981
CSX Corp.		46,241		1,195,330
CH Robinson Worldwide, Inc.		25,809		1,177,149
Expeditors International of Washington, Inc.		36,536		1,033,603
Southwest Airlines Co.		137,551		870,698
J.B. Hunt Transport Services, Inc.		35,686		860,390
Delta Air Lines, Inc.*		126,599		712,752
Landstar System, Inc.		20,036		670,605
Knight Transportation, Inc.		40,734		617,527
Heartland Express, Inc.		41,450		613,875
Kirby Corp.*		22,584		601,638
UTI Worldwide, Inc.		47,800		571,210
Ryder System, Inc.		19,286		545,987
Werner Enterprises, Inc.		34,437		520,687
Old Dominion Freight Line, Inc.*		21,634		508,183
Copa Holdings SA		17,370		497,998
Hertz Global Holdings, Inc.*		120,338		472,928
Kansas City Southern*		34,961		444,354
Con-way Inc.		24,185		433,637
Alexander & Baldwin, Inc.		21,545		410,001
SkyWest, Inc.		31,195		388,066
Continental Airlines, Inc. — Class B*		42,893		377,887
Genesee & Wyoming, Inc. — Class A*		17,733		376,826
JetBlue Airways Corp.*		98,251		358,616
Alaska Air Group, Inc.*		18,915		332,337
AMR Corp.*		102,442		326,790
UAL Corp.*		53,474		239,564
Total Common Stocks
(Cost $23,312,000)				24,667,858
Total Investments 99.2%
(Cost $23,312,000)			$	24,667,858
Other Assets in Excess of Liabilities – 0.8%			$	208,285
Net Assets – 100.0%			$	24,876,143

* Non-Income Producing Security.

62    |    THE RYDEX SERIES FUNDS ANNUAL REPORT See Notes to Financial Statements.

64

SCHEDULE OF INVESTMENTS

March 31, 2009

     UTILITIES FUND

			MARKET
	SHARES		VALUE
COMMON STOCKS 99.5%
Exelon Corp.		19,083	$	866,177
FPL Group, Inc.		15,554		789,054
Southern Co.		25,714		787,363
Duke Energy Corp.		50,192		718,749
Dominion Resources, Inc.		22,110		685,189
PG&E Corp.		17,315		661,779
Public Service Enterprise Group, Inc.		21,555		635,226
Entergy Corp.		8,666		590,068
Sempra Energy		12,693		586,924
Consolidated Edison, Inc.		14,207		562,739
PPL Corp.		18,837		540,810
Progress Energy, Inc.		14,570		528,308
FirstEnergy Corp.		13,278		512,531
Edison International		17,749		511,349
Xcel Energy, Inc.		26,772		498,762
American Electric Power Company, Inc.		19,326		488,175
Questar Corp.		12,270		361,106
Wisconsin Energy Corp.		8,703		358,303
EQT CORP		10,754		336,923
DTE Energy Co.		11,730		324,921
SCANA Corp.		10,391		320,978
NRG Energy, Inc.*		18,146		319,370
Constellation Energy Group, Inc.		15,309		316,284
Ameren Corp.		13,571		314,712
NSTAR		9,729		310,161
Northeast Utilities		14,363		310,097
Calpine Corp.*		42,541		289,704
American Water Works Company, Inc.		14,972		288,061
CenterPoint Energy, Inc.		27,473		286,543
DPL, Inc.		12,669		285,559
CMS Energy Corp.		23,828		282,124
Aqua America, Inc.		14,062		281,240
National Fuel Gas Co.		9,141		280,354
Allegheny Energy, Inc.		12,020		278,503
AES Corp.*		47,721		277,259
UGI Corp.		11,337		267,667
NiSource, Inc.		27,142		265,992
MDU Resources Group, Inc.		16,430		265,180
ITC Holdings Corp.		6,014		262,331
Alliant Energy Corp.		10,594		261,566
Pinnacle West Capital Corp.		9,665		256,702
TECO Energy, Inc.		22,641		252,447
Energen Corp.		8,544		248,887
Piedmont Natural Gas Co.		9,581		248,052
OGE Energy Corp.		10,354		246,632
Atmos Energy Corp.		10,497		242,691
NV Energy, Inc.		25,020		234,938

			MARKET
	SHARES		VALUE
Pepco Holdings, Inc.		18,244	$	227,685
Oneok, Inc.		9,895		223,924
AGL Resources, Inc.		8,406		223,011
WGL Holdings, Inc.		6,724		220,547
Westar Energy, Inc.		12,484		218,845
Nicor, Inc.		6,217		206,591
Vectren Corp.		9,610		202,675
Cleco Corp.		9,248		200,589
Integrys Energy Group, Inc.		7,340		191,134
New Jersey Resources Corp.		5,615		190,798
Mirant Corp.*		16,357		186,470
Great Plains Energy, Inc.		13,301		179,164
Ormat Technologies, Inc.		6,490		178,215
Hawaiian Electric Industries, Inc.		11,054		151,882
Reliant Energy, Inc.*		44,566		142,166
Total Common Stocks
(Cost $19,624,140)				21,782,186
Total Investments 99.5%
(Cost $19,624,140)			$	21,782,186
Other Assets in Excess of Liabilities – 0.5%			$	119,946
Net Assets – 100.0%			$	21,902,132

* Non-Income Producing Security.

See Notes to Financial Statements. THE RYDEX SERIES FUNDS ANNUAL REPORT    |    63

STATEMENTS OF ASSETS AND LIABILITIES

				Basic			Bio-			Consumer
	Banking			Materials			technology			Products
	Fund			Fund			Fund			Fund
Assets
Investment Securities	$	28,916,442		$	110,945,166		$	80,601,920		$	31,762,037
Repurchase Agreements		—			1,956,362			—			—
Total Investments		28,916,442			112,901,528			80,601,920			31,762,037
Receivable for Securities Sold		58,319			1,158,043			14,437,721			—
Receivable for Fund Shares Sold		357,620			2,503,763			215,704			102,275
Investment Income Receivable		32,103			116,648			62,661			151,922
Other Assets		—			—			—			—
Total Assets		29,364,484			116,679,982			95,318,006			32,016,234
Liabilities
Payable for Securities Purchased		—			2,958,463			—			—
Payable for Fund Shares Redeemed		56,637			2,150,790			1,530,876			132,881
Investment Advisory Fees Payable		12,054			37,841			50,549			22,039
Transfer Agent and Administrative Fees Payable		3,545			11,130			14,867			6,482
Distribution and Service Fees Payable		3,197			4,846			7,198			7,028
Portfolio Accounting Fees Payable		1,418			4,452			5,947			2,593
Custody Fees Payable		977			1,547			2,492			859
Overdraft Due to Custodian Bank		396			—			12,784,136			45,259
Other Accrued Fees		7,386			28,841			43,715			17,665
Total Liabilities		85,610			5,197,910			14,439,780			234,806
Net Assets	$	29,278,874		$	111,482,072		$	80,878,226		$	31,781,428
Net Assets Consist Of
Paid-In Capital	$	82,695,233		$	148,273,895		$	251,770,857		$	49,057,375
Undistributed Net Investment Income (Loss)		421,335			185,140			—			502,726
Accumulated Net Realized Loss on Investments		(56,004,822	)		(44,261,987	)		(192,284,898	)		(17,870,523	)
Net Unrealized Appreciation on Investments		2,167,128			7,285,024			21,392,267			91,850
Net Assets	$	29,278,874		$	111,482,072		$	80,878,226		$	31,781,428
Investor Class	$	23,804,493		$	98,766,859		$	65,828,843		$	14,703,070
Advisor Class		2,509,220			4,704,888			6,674,966			11,113,346
A-Class		851,292			3,985,936			4,346,499			2,897,697
C-Class		2,113,869			4,024,389			4,027,918			3,067,315
Shares Outstanding
Investor Class		729,673	†		3,601,085			3,397,955			557,109
Advisor Class		82,657	†		180,559			365,451			443,012
A-Class		27,758	†		150,905			235,519			114,219
C-Class		70,696	†		159,474			225,458			125,936
Net Asset Values
Investor Class	$	32.62	†	$	27.43		$	19.37		$	26.39
Advisor Class		30.36	†		26.06			18.27			25.09
A-Class		30.67	†		26.41			18.45			25.37
A-Class Maximum Offering Price*		32.20	†		27.73			19.37			26.64
C-Class		29.90	†		25.24			17.87			24.36
Cost of Investments	$	26,749,314		$	105,616,504		$	59,209,653		$	31,670,187

*	Net asset value adjusted for the maximum sales charge of 4.75% of offering price, calculated NAV/(1-4.75%).
†	Amounts have been restated to reflect reverse share split effective April 20, 2009:
	Banking Fund and Financial Services Fund 1:10 reverse share split.
	Electronics Fund 1:5 reverse share split.

64    |    THE RYDEX SERIES FUNDS ANNUAL REPORT             See Notes to Financial Statements.

March 31, 2009

						Energy			Financial			Health									Precious
Electronics			Energy			Services			Services			Care			Internet			Leisure			Metals
Fund			Fund			Fund			Fund			Fund			Fund			Fund			Fund
$	109,800,916		$	72,675,075		$	80,038,526		$	19,777,201		$	26,198,566		$	65,839,862		$	4,632,423		$	200,881,918
	3,000,486			1,053,892			1,694,730			—			—			263,820			—			2,410,821
	112,801,402			73,728,967			81,733,256			19,777,201			26,198,566			66,103,682			4,632,423			203,292,739
	1,662,625			864,789			—			27,995			874,095			—			109,055			2,412,178
	1,584,085			41,660			391,440			548,524			5,100,533			32,228			4,507			2,687,213
	59,898			89,391			45,624			37,413			118,809			—			995			24,955
	1,428			—			—			—			—			—			—			—
	116,109,438			74,724,807			82,170,320			20,391,133			32,292,003			66,135,910			4,746,980			208,417,085
	3,487,091			—			738,461			—			4,824,932			—			—			2,374,538
	2,188,408			1,595,540			432,911			269,090			321,581			38,355			83,437			4,039,387
	45,423			46,994			47,909			8,670			16,823			31,970			1,204			103,831
	13,360			13,822			14,091			2,550			4,948			9,403			354			34,610
	990			10,637			9,525			2,064			7,059			1,966			238			19,150
	5,344			5,529			5,636			1,020			1,979			3,761			142			13,844
	1,768			1,847			1,974			361			730			1,241			47			4,709
	—			—			—			45,260			725,308			—			7,423			—
	10,031			35,001			39,795			4,761			18,120			7,953			1,159			76,302
	5,752,415			1,709,370			1,290,302			333,776			5,921,480			94,649			94,004			6,666,371
$	110,357,023		$	73,015,437		$	80,880,018		$	20,057,357		$	26,370,523		$	66,041,261		$	4,652,976		$	201,750,714
$	241,495,604		$	98,190,026		$	164,818,674		$	72,312,688		$	67,172,245		$	95,023,417		$	19,259,906		$	212,602,443
	—			—			—			216,508			113,695			—			—			(642,071	)
	(139,487,994	)		(35,505,560	)		(95,782,586	)		(53,849,847	)		(44,506,037	)		(34,439,263	)		(14,805,395	)		(92,185,539	)
	8,349,413			10,330,971			11,843,930			1,378,008			3,590,620			5,457,107			198,465			81,975,881
$	110,357,023		$	73,015,437		$	80,880,018		$	20,057,357		$	26,370,523		$	66,041,261		$	4,652,976		$	201,750,714
$	106,702,861		$	53,627,075		$	59,706,262		$	13,257,331		$	13,919,555		$	61,744,509		$	4,131,879		$	160,759,410
	3,151,879			4,679,272			7,057,903			2,710,375			6,352,980			3,603,775			373,157			12,055,684
	41,890			4,844,571			4,920,131			2,682,734			997,123			90,717			25,174			8,483,625
	460,393			9,864,519			9,195,722			1,406,917			5,100,865			602,260			122,766			20,451,995
	3,257,139	†		3,827,917			2,381,258			298,769	†		1,242,912			2,322,619			268,334			3,467,693
	101,655	†		352,395			296,139			64,107	†		600,344			142,307			25,688			267,169
	1,338	†		360,502			203,862			62,675	†		93,262			3,541			1,716			185,883
	15,207	†		768,197			396,608			34,305	†		495,125			24,524			8,608			476,549
$	32.76	†	$	14.01		$	25.07		$	44.37	†	$	11.20		$	26.58		$	15.40		$	46.36
	31.01	†		13.28			23.83			42.28	†		10.58			25.32			14.53			45.12
	31.31	†		13.44			24.13			42.80	†		10.69			25.62			14.67			45.64
	32.87	†		14.11			25.33			44.93	†		11.22			26.90			15.40			47.92
	30.28	†		12.84			23.19			41.01	†		10.30			24.56			14.26			42.92
$	104,451,989		$	63,397,996		$	69,889,326		$	18,399,193		$	22,607,946		$	60,646,575		$	4,433,958		$	121,316,858

THE RYDEX SERIES FUNDS ANNUAL REPORT    |    65

STATEMENTS OF ASSETS AND LIABILITIES (concluded)

							Telecom-
	Retailing			Technology			munications			Transportation
	Fund			Fund			Fund			Fund
Assets
Investment Securities	$	86,218,161		$	16,495,108		$	16,969,013		$	24,667,858
Repurchase Agreements		570,040			—			—			—
Total Investments		86,788,201			16,495,108			16,969,013			24,667,858
Receivable for Securities Sold		—			632,923			680,516			26,469
Receivable for Fund Shares Sold		230,140			23,553			192,007			1,425,753
Investment Income Receivable		31,731			6,751			13,343			10,278
Total Assets		87,050,072			17,158,335			17,854,879			26,130,358
Liabilities
Payable for Securities Purchased		—			—			—			583,862
Payable for Fund Shares Redeemed		154,463			428,926			56,339			234,854
Investment Advisory Fees Payable		25,166			10,983			10,327			9,588
Transfer Agent and Administrative Fees Payable		7,402			3,230			3,037			2,820
Distribution and Service Fees Payable		1,015			1,896			4,536			1,360
Portfolio Accounting Fees Payable		2,961			1,292			1,215			1,128
Custody Fees Payable		985			448			404			383
Overdraft Due to Custodian Bank		—			185,098			744,999			412,050
Other Accrued Fees		5,720			6,827			5,265			8,170
Total Liabilities		197,712			638,700			826,122			1,254,215
Net Assets	$	86,852,360		$	16,519,635		$	17,028,757		$	24,876,143
Net Assets Consist Of
Paid-In Capital	$	114,055,400		$	97,656,364		$	58,518,823		$	55,161,801
Undistributed Net Investment Income (Loss)		—			—			129,765			64,578
Accumulated Net Realized Loss on Investments		(32,381,005	)		(83,948,578	)		(43,428,362	)		(31,706,094	)
Net Unrealized Appreciation on Investments		5,177,965			2,811,849			1,808,531			1,355,858
Net Assets	$	86,852,360		$	16,519,635		$	17,028,757		$	24,876,143
Investor Class	$	84,894,258		$	11,601,441		$	4,440,213		$	20,990,416
Advisor Class		901,177			1,914,464			9,990,753			1,138,759
A-Class		48,937			1,668,546			1,317,238			561,342
C-Class		1,007,988			1,335,184			1,280,553			2,185,626
Shares Outstanding
Investor Class		9,900,138			1,507,570			431,701			1,460,145
Advisor Class		109,857			261,363			1,024,288			85,002
A-Class		5,899			226,371			134,029			41,423
C-Class		127,244			186,988			135,071			163,128
Net Asset Values
Investor Class	$	8.58		$	7.70		$	10.29		$	14.38
Advisor Class		8.20			7.32			9.75			13.40
A-Class		8.30			7.37			9.83			13.55
A-Class Maximum Offering Price*		8.71			7.74			10.32			14.23
C-Class		7.92			7.14			9.48			13.40
Cost of Investments	$	81,610,236		$	13,683,259		$	15,160,482		$	23,312,000

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

66    |    THE RYDEX SERIES FUNDS ANNUAL REPORT             See Notes to Financial Statements.

March 31, 2009

Utilities
Fund
$	21,782,186
	—
	21,782,186
	20,243
	825,610
	64,530
	22,692,569
	36,398
	576,427
	14,910
	4,385
	5,729
	1,754
	667
	134,657
	15,510
	790,437
$	21,902,132
$	34,332,641
	441,713
	(15,030,268	)
	2,158,046
$	21,902,132
$	10,347,527
	5,938,612
	1,489,057
	4,126,936
	503,264
	303,586
	75,221
	220,617
$	20.56
	19.56
	19.80
	20.79
	18.71
$	19,624,140

THE RYDEX SERIES FUNDS ANNUAL REPORT    |    67

STATEMENTS OF OPERATIONS

				Basic			Bio-			Consumer
	Banking			Materials			technology			Products
	Fund			Fund			Fund			Fund
Investment Income
Interest	$	854		$	8,098		$	4,717		$	1,878
Income from Securities Lending, net		19,938			97,602			109,625			6,622
Dividends, Net of Foreign Tax Withheld		691,158			1,720,657			379,469			1,061,015
Other Income		—			—			—			1,330
Total Income		711,950			1,826,357			493,811			1,070,845
Expenses
Investment Advisory Fees		152,561			836,050			811,452			291,418
Transfer Agent and Administrative Fees		44,871			245,897			238,662			85,711
Distribution & Service Fees:
Advisor Class		11,895			40,655			37,423			54,150
A-Class		2,406			11,994			10,880			7,260
C-Class		28,923			78,533			47,497			34,234
Portfolio Accounting Fees		17,948			98,359			95,465			34,284
Registration Fees		8,130			62,590			46,497			19,708
Trustees’ Fees*		1,850			14,693			10,118			4,105
Custody Fees		6,661			27,411			39,018			10,830
Miscellaneous		15,370			65,128			81,413			26,421
Total Expenses		290,615			1,481,310			1,418,425			568,121
Net Investment Income (Loss)		421,335			345,047			(924,614	)		502,724
Realized and Unrealized Gain (Loss) on Investments
Net Realized Gain (Loss) on:
Investment Securities		(26,159,474	)		(16,420,900	)		(18,284,138	)		(7,112,432	)
Total Net Realized Loss		(26,159,474	)		(16,420,900	)		(18,284,138	)		(7,112,432	)
Net Change in Unrealized Appreciation (Depreciation) on:
Investment Securities		1,338,459			(26,250,174	)		(5,920,054	)		(4,794,392	)
Net Change in Unrealized Appreciation (Depreciation)		1,338,459			(26,250,174	)		(5,920,054	)		(4,794,392	)
Net Gain (Loss) on Investments		(24,821,015	)		(42,671,074	)		(24,204,192	)		(11,906,824	)
Net Increase (Decrease) in Net Assets from Operations	$	(24,399,680	)	$	(42,326,027	)	$	(25,128,806	)	$	(11,404,100	)
Foreign Tax Withheld	$	4,357		$	33,519		$	—		$	5,628

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

68    |    THE RYDEX SERIES FUNDS ANNUAL REPORT See Notes to Financial Statements.

Year Ended March 31, 2009

						Energy			Financial			Health									Precious
Electronics			Energy			Services			Services			Care			Internet			Leisure			Metals
Fund			Fund			Fund			Fund			Fund			Fund			Fund			Fund
$	1,045		$	7,051		$	11,901		$	768		$	2,944		$	532		$	331		$	13,082
	11,993			60,265			111,732			11,357			22,146			4,772			5,408			149,128
	176,582			1,597,898			1,050,215			402,114			823,501			30,463			46,673			1,169,030
	—			—			—			—			—			—			—			—
	189,620			1,665,214			1,173,848			414,239			848,591			35,767			52,412			1,331,240
	117,178			845,391			1,090,979			98,718			391,222			82,817			28,960			1,244,276
	34,464			248,644			320,876			29,035			115,066			24,358			8,518			414,759
	4,390			51,897			63,928			7,905			36,386			6,558			4,913			44,668
	202			14,686			25,769			3,379			2,869			373			236			18,347
	8,878			157,310			191,456			26,486			63,105			9,455			2,467			191,374
	13,786			99,458			128,275			11,614			46,026			9,743			3,407			165,904
	6,545			55,720			78,045			6,744			24,564			5,452			2,884			92,938
	1,361			13,030			18,274			1,419			5,356			1,013			601			20,601
	4,112			28,940			40,413			4,011			14,820			2,993			1,028			48,837
	11,791			74,722			86,571			8,432			36,141			7,734			1,398			128,288
	202,707			1,589,798			2,044,586			197,743			735,555			150,496			54,412			2,369,992
	(13,087	)		75,416			(870,738	)		216,496			113,036			(114,729	)		(2,000	)		(1,038,752	)
	(2,160,296	)		(19,198,800	)		(43,618,143	)		(9,599,767	)		(15,425,192	)		(1,736,908	)		(1,358,193	)		(52,516,950	)
	(2,160,296	)		(19,198,800	)		(43,618,143	)		(9,599,767	)		(15,425,192	)		(1,736,908	)		(1,358,193	)		(52,516,950	)
	5,066,627			(37,976,333	)		(59,974,108	)		204,716			(3,853,303	)		3,364,798			(1,407,220	)		(26,426,270	)
	5,066,627			(37,976,333	)		(59,974,108	)		204,716			(3,853,303	)		3,364,798			(1,407,220	)		(26,426,270	)
	2,906,331			(57,175,133	)		(103,592,251	)		(9,395,051	)		(19,278,495	)		1,627,890			(2,765,413	)		(78,943,220	)
$	2,893,244		$	(57,099,717	)	$	(104,462,989	)	$	(9,178,555	)	$	(19,165,459	)	$	1,513,161		$	(2,767,413	)	$	(79,981,972	)
$	15,994		$	40,097		$	940		$	5,680		$	28,040		$	—		$	—		$	67,097

THE RYDEX SERIES FUNDS ANNUAL REPORT    |    69

STATEMENTS OF OPERATIONS (concluded)

							Telecom-
	Retailing			Technology			munications			Transportation
	Fund			Fund			Fund			Fund
Investment Income
Interest	$	612		$	1,504		$	488		$	2,000
Income from Securities Lending, net		9,789			13,601			5,739			18,338
Dividends, Net of Foreign Tax Withheld		94,756			175,525			330,424			395,441
Total Income		105,157			190,630			336,651			415,779
Expenses
Investment Advisory Fees		67,185			141,470			85,239			196,438
Transfer Agent and Administrative Fees		19,760			41,609			25,070			57,776
Distribution & Service Fees:
Advisor Class		4,250			14,926			14,299			14,512
A-Class		226			1,308			719			1,448
C-Class		11,201			23,955			21,870			18,108
Portfolio Accounting Fees		7,904			16,643			10,028			23,110
Trustees’ Fees*		671			2,272			1,639			2,433
Custody Fees		2,633			5,172			3,055			6,858
Miscellaneous		10,557			21,775			13,022			34,197
Total Expenses		124,387			269,130			174,941			354,880
Net Investment Income (Loss)		(19,230	)		(78,500	)		161,710			60,899
Realized and Unrealized Gain (Loss) on Investments
Net Realized Gain (Loss) on:
Investment Securities		(3,547,201	)		(6,972,063	)		(2,020,809	)		(18,134,194	)
Total Net Realized Loss		(3,547,201	)		(6,972,063	)		(2,020,809	)		(18,134,194	)
Net Change in Unrealized Appreciation (Depreciation) on:
Investment Securities		3,594,137			(712,028	)		(2,291,419	)		(612,051	)
Net Change in Unrealized Appreciation (Depreciation)		3,594,137			(712,028	)		(2,291,419	)		(612,051	)
Net Gain (Loss) on Investments		46,936			(7,684,091	)		(4,312,228	)		(18,746,245	)
Net Increase (Decrease) in Net Assets from Operations	$	27,706		$	(7,762,591	)	$	(4,150,518	)	$	(18,685,346	)
Foreign Tax Withheld	$	—		$	10,248		$	12,425		$	3,373

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

70    |    THE RYDEX SERIES FUNDS ANNUAL REPORT See Notes to Financial Statements.

Year Ended March 31, 2009

Utilities
Fund
$	1,375
	9,511
	1,332,300
	1,343,186
	271,807
	79,943
	26,947
	6,127
	57,961
	31,978
	3,671
	9,646
	47,816
	535,896
	807,290
	(10,730,687	)
	(10,730,687	)
	(3,160,355	)
	(3,160,355	)
	(13,891,042	)
$	(13,083,752	)
$	—

THE RYDEX SERIES FUNDS ANNUAL REPORT    |    71

STATEMENTS OF CHANGES IN NET ASSETS

							Basic
	Banking Fund						Materials Fund
	Year			Year			Year			Year
	Ended			Ended			Ended			Ended
	March 31,			March 31,			March 31,			March 31,
	2009			2008			2009			2008
From Operations
Net Investment Income (Loss)	$	421,335		$	294,966		$	345,047		$	261,175
Net Realized Gain (Loss) on Investments		(26,159,474	)		(4,869,053	)		(16,420,900	)		(4,600,233	)
Net Change in Unrealized Appreciation (Depreciation) on Investments		1,338,459			(842,133	)		(26,250,174	)		18,153,290
Net Increase (Decrease) in Net Assets from Operations		(24,399,680	)		(5,416,220	)		(42,326,027	)		13,814,232
Distributions to Shareholders from:
Net Investment Income
Investor Class		(148,171	)		(98,571	)		(277,328	)		(165,464	)
Advisor Class		(57,155	)		(6,043	)		(59,314	)		(21,758	)
A-Class		(25,862	)		(9,992	)		(36,308	)		(12,589	)
C-Class		(63,779	)		(19,529	)		(55,049	)		(21,169	)
Realized Gain on Investments
Investor Class		—			—			—			—
Advisor Class		—			—			—			—
A-Class		—			—			—			—
C-Class		—			—			—			—
Total Distributions to Shareholders		(294,967	)		(134,135	)		(427,999	)		(220,980	)
Share Transactions
Proceeds from Shares Purchased
Investor Class		201,373,674			203,166,852			342,442,938			439,272,110
Advisor Class		28,363,535			21,640,798			34,693,939			54,726,975
A-Class		5,274,418			1,436,715			5,687,412			13,027,976
C-Class		40,763,875			18,442,782			28,032,765			49,665,852
Value of Shares Purchased through Dividend Reinvestment
Investor Class		145,272			93,964			254,681			152,731
Advisor Class		52,784			5,828			55,668			20,952
A-Class		25,370			9,633			30,854			10,167
C-Class		52,669			19,077			52,656			19,950
Cost of Shares Redeemed
Investor Class		(165,764,753	)		(201,370,951	)		(333,391,539	)		(396,951,253	)
Advisor Class		(24,655,414	)		(21,521,627	)		(37,488,239	)		(60,576,786	)
A-Class		(3,894,678	)		(837,855	)		(5,812,216	)		(9,173,446	)
C-Class		(40,201,153	)		(17,529,872	)		(32,800,991	)		(45,239,675	)
Net Increase (Decrease) in Net Assets From Share Transactions		41,535,599			3,555,344			1,757,928			44,955,553
Net Increase (Decrease) in Net Assets		16,840,952			(1,995,011	)		(40,996,098	)		58,548,805
Net Assets—Beginning of Period		12,437,922			14,432,933			152,478,170			93,929,365
Net Assets—End of Period	$	29,278,874		$	12,437,922		$	111,482,072		$	152,478,170
Undistributed Net Investment Income—End of Period	$	421,335		$	294,967		$	185,140		$	267,265

72    |    THE RYDEX SERIES FUNDS ANNUAL REPORT See Notes to Financial Statements.

1

Biotechnology						Consumer						Electronics						Energy
Fund						Products Fund						Fund						Fund
Year			Year			Year			Year			Year			Year			Year			Year
Ended			Ended			Ended			Ended			Ended			Ended			Ended			Ended
March 31,			March 31,			March 31,			March 31,			March 31,			March 31,			March 31,			March 31,
2009			2008			2009			2008			2009			2008			2009			2008
$	(924,614	)	$	(803,226	)	$	502,724		$	391,809		$	(13,087	)	$	(117,811	)	$	75,416		$	(455,175	)
	(18,284,138	)		8,483,131			(7,112,432	)		(400,491	)		(2,160,296	)		(38,543	)		(19,198,800	)		12,292,100
	(5,920,054	)		(5,396,782	)		(4,794,392	)		(2,401,918	)		5,066,627			(5,411,072	)		(37,976,333	)		5,885,819
	(25,128,806	)		2,283,123			(11,404,100	)		(2,410,600	)		2,893,244			(5,567,426	)		(57,099,717	)		17,722,744
	—			—			(200,308	)		(321,818	)		—			—			—			—
	—			—			(148,528	)		(111,506	)		—			—			—			—
	—			—			(20,551	)		(20,984	)		—			—			—			—
	—			—			(22,422	)		(30,543	)		—			—			—			—
	—			—			—			—			—			—			(1,879,311	)		(1,578,479	)
	—			—			—			—			—			—			(263,944	)		(519,390	)
	—			—			—			—			—			—			(201,226	)		(168,071	)
	—			—			—			—			—			—			(431,051	)		(666,174	)
	—			—			(391,809	)		(484,851	)		—			—			(2,775,532	)		(2,932,114	)
	420,821,080			183,304,085			117,693,069			151,791,697			169,715,360			215,488,751			380,750,293			287,360,532
	34,956,140			32,423,444			69,017,628			56,728,350			11,139,820			26,169,260			43,726,642			44,333,359
	8,349,437			2,961,797			8,751,437			1,616,504			420,410			111,227			8,465,528			6,365,023
	38,055,856			25,354,829			10,613,889			11,122,974			21,323,067			34,632,029			60,972,633			66,709,476
	—			—			182,963			316,700			—			—			1,830,010			1,496,122
	—			—			146,106			104,700			—			—			251,455			499,301
	—			—			17,381			19,917			—			—			183,699			158,240
	—			—			22,024			29,764			—			—			402,170			624,378
	(381,124,189	)		(199,452,087	)		(105,199,522	)		(163,567,156	)		(76,589,516	)		(216,091,092	)		(351,012,511	)	$	(308,834,979	)
	(31,137,191	)		(33,603,351	)		(60,881,415	)		(55,915,348	)		(8,034,332	)		(26,889,511	)		(50,396,227	)		(44,143,704	)
	(5,112,351	)		(1,367,300	)		(6,052,878	)		(3,923,949	)		(387,661	)		(130,645	)		(6,336,791	)		(4,229,618	)
	(36,709,464	)		(24,185,847	)		(10,425,311	)		(12,711,020	)		(21,571,612	)		(36,168,055	)		(64,350,538	)		(68,472,728	)
	48,099,318			(14,564,430	)		23,885,371			(14,386,867	)		96,015,536			(2,878,036	)		24,486,363			(18,134,598	)
	22,970,512			(12,281,307	)		12,089,462			(17,282,318	)		98,908,780			(8,445,462	)		(35,388,886	)		(3,343,968	)
	57,907,714			70,189,021			19,691,966			36,974,284			11,448,243			19,893,705			108,404,323			111,748,291
$	80,878,226		$	57,907,714		$	31,781,428		$	19,691,966		$	110,357,023		$	11,448,243		$	73,015,437		$	108,404,323
$	—		$	—		$	502,726		$	391,811		$	—		$	—		$	—		$	—

THE RYDEX SERIES FUNDS ANNUAL REPORT    |    73

2

STATEMENTS OF CHANGES IN NET ASSETS (continued)

	Energy Services						Financial Services
	Fund						Fund
	Year			Year			Year			Year
	Ended			Ended			Ended			Ended
	March 31,			March 31,			March 31,			March 31,
	2009			2008			2009			2008
From Operations
Net Investment Income (Loss)	$	(870,738	)	$	(1,889,075	)	$	216,496		$	257,743
Net Realized Gain (Loss) on Investments		(43,618,143	)		20,207,317			(9,599,767	)		(4,179,459	)
Net Change in Unrealized Appreciation (Depreciation) on Investments		(59,974,108	)		12,541,125			204,716			(2,588,828	)
Net Increase (Decrease) in Net Assets from Operations		(104,462,989	)		30,859,367			(9,178,555	)		(6,510,544	)
Distributions to Shareholders from:
Net Investment Income
Investor Class		—			—			(99,414	)		(139,823	)
Advisor Class		—			—			(33,545	)		(32,761	)
A-Class		—			—			(29,695	)		(10,414	)
C-Class		—			—			(95,089	)		(47,595	)
Total Distributions to Shareholders		—			—			(257,743	)		(230,593	)
Share Transactions
Proceeds from Shares Purchased
Investor Class		417,495,768			516,306,399			116,103,054			178,520,044
Advisor Class		40,512,673			62,191,229			14,250,029			16,984,925
A-Class		17,863,130			21,824,266			4,807,002			5,818,516
C-Class		51,617,723			58,602,325			16,355,808			19,379,048
Value of Shares Purchased through Dividend Reinvestment
Investor Class		—			—			93,646			99,191
Advisor Class		—			—			21,274			20,165
A-Class		—			—			22,572			10,414
C-Class		—			—			90,731			46,687
Cost of Shares Redeemed
Investor Class		(369,014,668	)		(543,513,435	)		(103,937,350	)		(192,752,012	)
Advisor Class		(39,154,274	)		(68,802,543	)		(11,854,063	)		(30,824,724	)
A-Class		(14,169,959	)		(18,489,295	)		(2,229,197	)		(5,001,171	)
C-Class		(59,192,621	)		(59,576,438	)		(15,040,447	)		(20,681,664	)
Net Increase (Decrease) in Net Assets From Share Transactions		45,957,772			(31,457,492	)		18,683,059			(28,380,581	)
Net Increase (Decrease) in Net Assets		(58,505,217	)		(598,125	)		9,246,761			(35,121,718	)
Net Assets—Beginning of Period		139,385,235			139,983,360			10,810,596			45,932,314
Net Assets—End of Period	$	80,880,018		$	139,385,235		$	20,057,357		$	10,810,596
Undistributed Net Investment Income (Loss)—End of Period	$	—		$	—		$	216,508		$	257,743

74    |    THE RYDEX SERIES FUNDS ANNUAL REPORT See Notes to Financial Statements.

3

Health Care						Internet						Leisure						Precious
Fund						Fund						Fund						Metals Fund
Year			Year			Year			Year			Year			Year			Year			Year
Ended			Ended			Ended			Ended			Ended			Ended			Ended			Ended
March 31,			March 31,			March 31,			March 31,			March 31,			March 31,			March 31,			March 31,
2009			2008			2009			2008			2009			2008			2009			2008
$	113,036		$	(215,989	)	$	(114,729	)	$	101,522		$	(2,000	)	$	(8,462	)	$	(1,038,752	)	$	(1,400,490	)
	(15,425,192	)		509,538			(1,736,908	)		(2,901,982	)		(1,358,193	)		2,014,268			(52,516,950	)		28,380,022
	(3,853,303	)		(3,879,926	)		3,364,798			(1,008,378	)		(1,407,220	)		(3,003,499	)		(26,426,270	)		10,721,531
	(19,165,459	)		(3,586,377	)		1,513,161			(3,808,838	)		(2,767,413	)		(997,693	)		(79,981,972	)		37,701,063
	—			—			(30,224	)		(24,448	)		—			—			—			—
	—			—			(8,773	)		(12,991	)		—			—			—			—
	—			—			(2,504	)		(942	)		—			—			—			—
	—			—			(10,248	)		(11,619	)		—			—			—			—
	—			—			(51,749	)		(50,000	)		—			—			—			—
	343,556,004			170,424,221			104,551,898			144,300,520			48,876,726			62,178,348			813,581,527			856,256,103
	36,471,781			42,157,203			26,255,825			32,142,870			12,812,974			18,862,916			60,721,188			50,461,624
	4,561,492			849,342			538,418			548,167			65,603			190,020			14,653,869			15,380,251
	32,122,718			30,999,619			21,295,261			17,504,124			995,089			3,634,670			147,203,563			107,551,122
	—			—			29,953			24,215			—			—			—			—
	—			—			8,525			11,073			—			—			—			—
	—			—			2,360			834			—			—			—			—
	—			—			10,078			11,489			—			—			—			—
	(337,450,051	)		(180,573,385	)		(49,575,100	)		(142,710,703	)		(46,727,896	)		(67,256,920	)		(736,182,288	)		(886,454,565	)
	(40,975,677	)		(45,283,724	)		(23,375,933	)		(30,916,073	)		(12,840,340	)		(21,995,823	)		(57,807,400	)		(48,200,441	)
	(3,583,230	)		(854,546	)		(479,394	)		(542,355	)		(189,048	)		(2,184,788	)		(14,576,162	)		(10,353,561	)
	(30,734,615	)		(33,307,674	)		(22,134,122	)		(16,578,965	)		(1,103,351	)		(6,222,325	)		(144,713,715	)		(110,015,752	)
	3,968,422			(15,588,944	)		57,127,769			3,795,196			1,889,757			(12,793,902	)		82,880,582			(25,375,219	)
	(15,197,037	)		(19,175,321	)		58,589,182			(63,642	)		(877,658	)		(13,791,595	)		2,898,610			12,325,844
	41,567,560			60,742,881			7,452,080			7,515,722			5,530,632			19,322,227			198,852,104			186,526,260
$	26,370,523		$	41,567,560		$	66,041,261		$	7,452,080		$	4,652,976		$	5,530,632		$	201,750,714		$	198,852,104
$	113,695		$	—		$	—		$	51,749		$	—		$	—		$	(642,071	)	$	—

THE RYDEX SERIES FUNDS ANNUAL REPORT    |    75

4

STATEMENTS OF CHANGES IN NET ASSETS (concluded)

	Retailing						Technology
	Fund						Fund
	Year			Year			Year			Year
	Ended			Ended			Ended			Ended
	March 31,			March 31,			March 31,			March 31,
	2009			2008			2009			2008
From Operations
Net Investment Income (Loss)	$	(19,230	)	$	(51,033	)	$	(78,500	)	$	(277,462	)
Net Realized Gain (Loss) on Investments		(3,547,201	)		566,519			(6,972,063	)		(1,443,937	)
Net Change in Unrealized Appreciation (Depreciation) on Investments		3,594,137			(2,210,637	)		(712,028	)		(674,525	)
Net Increase (Decrease) in Net Assets from Operations		27,706			(1,695,151	)		(7,762,591	)		(2,395,924	)
Distributions to Shareholders from:
Net Investment Income
Investor Class		—			—			—			—
Advisor Class		—			—			—			—
A-Class		—			—			—			—
C-Class		—			—			—			—
Total Distributions to Shareholders		—			—			—			—
Share Transactions
Proceeds from Shares Purchased
Investor Class		133,435,704			95,906,677			94,105,444			146,891,214
Advisor Class		12,913,378			15,058,156			19,905,522			18,854,281
A-Class		264,721			58,665			3,078,851			5,217,961
C-Class		1,083,138			4,756,786			14,315,499			19,349,832
Value of Shares Purchased through Dividend Reinvestment
Investor Class		—			—			—			—
Advisor Class		—			—			—			—
A-Class		—			—			—			—
C-Class		—			—			—			—
Cost of Shares Redeemed
Investor Class		(52,524,164	)		(95,675,235	)		(88,889,045	)		(149,463,648	)
Advisor Class		(12,400,650	)		(16,896,896	)		(17,438,828	)		(21,492,964	)
A-Class		(293,882	)		(307,600	)		(1,531,871	)		(4,861,496	)
C-Class		(997,460	)		(5,720,387	)		(14,250,650	)		(18,008,540	)
Net Increase (Decrease) in Net Assets From Share Transactions		81,480,785			(2,819,834	)		9,294,922			(3,513,360	)
Net Increase (Decrease) in Net Assets		81,508,491			(4,514,985	)		1,532,331			(5,909,284	)
Net Assets—Beginning of Period		5,343,869			9,858,854			14,987,304			20,896,588
Net Assets—End of Period	$	86,852,360		$	5,343,869		$	16,519,635		$	14,987,304
Undistributed Net Investment Income—End of Period	$	—		$	—		$	—		$	—

76    |    THE RYDEX SERIES FUNDS ANNUAL REPORT See Notes to Financial Statements.

5

Telecommunications						Transportation						Utilities
Fund						Fund						Fund
Year			Year			Year			Year			Year			Year
Ended			Ended			Ended			Ended			Ended			Ended
March 31,			March 31,			March 31,			March 31,			March 31,			March 31,
2009			2008			2009			2008			2009			2008
$	161,710		$	97,854		$	60,899		$	350		$	807,290		$	654,782
	(2,020,809	)		201,874			(18,134,194	)		295,047			(10,730,687	)		6,356,354
	(2,291,419	)		(3,038,765	)		(612,051	)		(2,961,457	)		(3,160,355	)		(9,572,561	)
	(4,150,518	)		(2,739,037	)		(18,685,346	)		(2,666,060	)		(13,083,752	)		(2,561,425	)
	(58,771	)		(18,694	)		(255	)		—			(283,952	)		(430,333	)
	(18,021	)		(2,783	)		(57	)		—			(43,346	)		(157,597	)
	(2,341	)		(1,872	)		(15	)		—			(10,848	)		(75,704	)
	(50,867	)		(7,181	)		(23	)		—			(31,854	)		(136,366	)
	(130,000	)		(30,530	)		(350	)		—			(370,000	)		(800,000	)
	44,911,804			180,185,204			211,862,955			174,508,871			219,127,277			241,295,818
	25,866,449			30,857,598			27,114,203			20,140,716			43,682,915			38,052,494
	2,728,675			2,611,638			2,413,383			220,459			2,821,098			3,401,360
	19,542,939			33,656,940			37,588,750			24,674,026			61,956,389			45,508,020
	55,938			17,996			253			—			281,920			414,442
	16,726			2,585			54			—			41,935			138,212
	2,341			1,794			14			—			9,651			66,425
	49,684			7,112			22			—			28,686			113,760
	(49,811,764	)		(184,156,771	)		(194,323,845	)		(162,218,237	)		(212,980,701	)		(312,890,132	)
	(15,657,661	)		(36,543,698	)		(27,431,534	)		(17,650,375	)		(37,241,904	)		(46,606,744	)
	(1,597,656	)		(4,094,776	)		(1,520,304	)		(449,412	)		(3,377,621	)		(4,889,499	)
	(20,064,316	)		(34,681,335	)		(35,787,174	)		(28,483,367	)		(65,162,335	)		(46,922,835	)
	6,043,159			(12,135,713	)		19,916,777			10,742,681			9,187,310			(82,318,679	)
	1,762,641			(14,905,280	)		1,231,081			8,076,621			(4,266,442	)		(85,680,104	)
	15,266,116			30,171,396			23,645,062			15,568,441			26,168,574			111,848,678
$	17,028,757		$	15,266,116			$24,876,143		$	23,645,062		$	21,902,132		$	26,168,574
$	129,765		$	98,055		$	64,578		$	350		$	441,713		$	—

THE RYDEX SERIES FUNDS ANNUAL REPORT    |    77

FINANCIAL HIGHLIGHTS
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.

																								RATIOS TO
																								AVERAGE NET ASSETS:
						Net Realized			Net Increase
	NET ASSET		Net			and			(Decrease)			Distributions			Distributions					NET ASSET							Net					Net Assets,
	VALUE,		Investment			Unrealized			in Net Asset			from Net			from Net					VALUE,		Total					Investment			Portfolio		End of
	BEGINNING		Income			Gains (Losses)			Value Resulting			Investment			Realized		Total			END OF		Investment		Total			Income			Turnover		Period (000’s
Year Ended	OF PERIOD		(Loss)†			on Investments			from Operations			Income			Gains		Distributions			PERIOD		Return††		Expenses			(Loss)			Rate		omitted)
Banking Fund Investor Class
March 31, 2009†††	$	75.60	$	1.30		$	(42.98	)	$	(41.68	)	$	(1.30	)	$	—	$	(1.30	)	$	32.62		(55.66)%		1.37%			2.42%			1,055%	$	23,804
March 31, 2008†††		110.30		2.50			(36.20	)		(33.70	)		(1.00	)		—		(1.00	)		75.60		(30.69)%		1.37%			2.59%			1,417%		7,035
March 31, 2007†††		108.60		2.00			.50			2.50			(.80	)		—		(.80	)		110.30		2.24%		1.32%			1.79%			954%		9,229
March 31, 2006†††		101.70		1.60			6.90			8.50			(1.60	)		—		(1.60	)		108.60		8.41%		1.34%			1.48%			1,834%		8,713
March 31, 2005†††		102.50		1.30			.50			1.80			(2.60	)		—		(2.60	)		101.70		1.61%		1.34%			1.26%			1,692%		4,899
Banking Fund Advisor Class
March 31, 2009†††		70.70		1.20			(40.24	)		(39.04	)		(1.30	)		—		(1.30	)		30.36		(55.70)%		1.88%			2.42%			1,055%		2,509
March 31, 2008†††		103.90		2.00			(34.20	)		(32.20	)		(1.00	)		—		(1.00	)		70.70		(31.14)%		1.85%			2.32%			1,417%		1,449
March 31, 2007†††		103.00		1.10			.60			1.70			(.80	)		—		(.80	)		103.90		1.58%		1.88%			1.08%			954%		1,836
March 31, 2006†††		97.20		1.20			6.20			7.40			(1.60	)		—		(1.60	)		103.00		7.66%		1.84%			1.20%			1,834%		1,537
March 31, 2005†††		98.50		.60			.70			1.30			(2.60	)		—		(2.60	)		97.20		1.17%		1.86%			0.60%			1,692%		2,955
Banking Fund A-Class
March 31, 2009†††		71.50		1.30			(40.83	)		(39.53	)		(1.30	)		—		(1.30	)		30.67		(55.77)%		1.62%			2.71%			1,055%		851
March 31, 2008†††		104.70		2.00			(34.20	)		(32.20	)		(1.00	)		—		(1.00	)		71.50		(30.90)%		1.55%			2.33%			1,417%		547
March 31, 2007†††		103.40		1.70			.40			2.10			(.80	)		—		(.80	)		104.70		1.96%		1.62%			1.54%			954%		187
March 31, 2006†††		97.20		1.40			6.40			7.80			(1.60	)		—		(1.60	)		103.40		8.07%		1.62%			1.40%			1,834%		97
March 31, 2005*†††		100.60		.60			(1.40	)		(.80	)		(2.60	)		—		(2.60	)		97.20		(0.95)%		1.57%	**		1.03%	**		1,692%		15
Banking Fund C-Class
March 31, 2009†††		69.50		.90			(39.20	)		(38.30	)		(1.30	)		—		(1.30	)		29.90		(55.64)%		2.40%			1.82%			1,055%		2,114
March 31, 2008†††		102.70		1.60			(33.80	)		(32.30	)		(1.00	)		—		(1.00	)		69.50		(31.51)%		2.35%			1.89%			1,417%		3,408
March 31, 2007†††		102.00		.70			.80			1.50			(.80	)		—		(.80	)		102.70		1.40%		2.37%			0.63%			954%		3,180
March 31, 2006†††		96.60		.60			6.40			7.00			(1.60	)		—		(1.60	)		102.00		7.29%		2.35%			0.59%			1,834%		673
March 31, 2005†††		98.70		.40			.10			.50			(2.60	)		—		(2.60	)		96.60		0.35%		2.34%			0.43%			1,692%		867
Basic Materials Fund Investor Class
March 31, 2009		50.49		.20			(22.77	)		(22.57	)		(.49	)		—		(.49	)		27.43		(44.54)%		1.37%			0.46%			288%		98,767
March 31, 2008		42.25		.15			8.18			8.33			(.09	)		—		(.09	)		50.49		19.71%		1.37%			0.31%			225%		120,870
March 31, 2007		35.23		.41			6.91			7.32			(.30	)		—		(.30	)		42.25		20.86%		1.36%			1.09%			442%		68,862
March 31, 2006		30.66		.32			4.44			4.76			(.19	)		—		(.19	)		35.23		15.60%		1.35%			1.04%			826%		23,630
March 31, 2005		25.46		.14			5.06			5.20			—			—		—			30.66		20.42%		1.33%			0.51%			891%		34,039
Basic Materials Fund Advisor Class
March 31, 2009		48.27		.05			(21.77	)		(21.72	)		(.49	)		—		(.49	)		26.06		(44.83)%		1.88%			0.13%			288%		4,705
March 31, 2008		40.61		(.11	)		7.86			7.75			(.09	)		—		(.09	)		48.27		19.08%		1.87%			(0.25)%			225%		11,899
March 31, 2007		34.03		.26			6.62			6.88			(.30	)		—		(.30	)		40.61		20.30%		1.87%			0.72%			442%		15,974
March 31, 2006		29.78		.16			4.28			4.44			(.19	)		—		(.19	)		34.03		14.98%		1.85%			0.55%			826%		7,619
March 31, 2005		24.85		.01			4.92			4.93			—			—		—			29.78		19.84%		1.82%			0.03%			891%		12,987
Basic Materials Fund A-Class
March 31, 2009		48.80		.12			(22.02	)		(21.90	)		(.49	)		—		(.49	)		26.41		(44.71)%		1.63%			0.30%			288%		3,986
March 31, 2008		40.92		.03			7.94			7.97			(.09	)		—		(.09	)		48.80		19.47%		1.62%			0.07%			225%		6,985
March 31, 2007		34.19		.33			6.70			7.03			(.30	)		—		(.30	)		40.92		20.65%		1.62%			0.92%			442%		2,076
March 31, 2006		29.84		.29			4.25			4.54			(.19	)		—		(.19	)		34.19		15.29%		1.63%			0.97%			826%		659
March 31, 2005*		25.80		.07			3.97			4.04			—			—		—			29.84		15.66%		1.55%	**		0.44%	**		891%		210
Basic Materials Fund C-Class
March 31, 2009		47.02		(.18	)		(21.11	)		(21.29	)		(.49	)		—		(.49	)		25.24		(45.11)%		2.38%			(0.46)%			288%		4,024
March 31, 2008		39.76		(.28	)		7.63			7.35			(.09	)		—		(.09	)		47.02		18.48%		2.37%			(0.63)%			225%		12,725
March 31, 2007		33.48		.04			6.54			6.58			(.30	)		—		(.30	)		39.76		19.74%		2.37%			0.11%			442%		7,017
March 31, 2006		29.44		.03			4.20			4.23			(.19	)		—		(.19	)		33.48		14.44%		2.36%			0.11%			826%		6,041
March 31, 2005		24.68		(.12	)		4.88			4.76			—			—		—			29.44		19.29%		2.32%			(0.43)%			891%		7,421

78    |    THE RYDEX SERIES FUNDS ANNUAL REPORT

FINANCIAL HIGHLIGHTS (continued)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.

																								RATIOS TO
																								AVERAGE NET ASSETS:
						Net Realized			Net Increase
	NET ASSET		Net			and			(Decrease)			Distributions			Distributions					NET ASSET							Net					Net Assets,
	VALUE,		Investment			Unrealized			in Net Asset			from Net			from Net					VALUE,		Total					Investment			Portfolio		End of
	BEGINNING		Income			Gains (Losses)			Value Resulting			Investment			Realized		Total			END OF		Investment		Total			Income			Turnover		Period (000’s
Year Ended	OF PERIOD		(Loss)†			on Investments			from Operations			Income			Gains		Distributions			PERIOD		Return††		Expenses			(Loss)			Rate		omitted)
Biotechnology Fund Investor Class
March 31, 2009	$	21.51	$	(.19	)	$	(1.95	)	$	(2.14	)	$	—		$	—	$	—		$	19.37		(9.95)%		1.38%			(0.86)%			370%	$	65,829
March 31, 2008		21.21		(.22	)		.52			.30			—			—		—			21.51		1.41%		1.39%			(0.94)%			193%		47,696
March 31, 2007		23.45		(.27	)		(1.97	)		(2.24	)		—			—		—			21.21		(9.55)%		1.37%			(1.23)%			269%		61,366
March 31, 2006		17.59		(.26	)		6.12			5.86			—			—		—			23.45		33.31%		1.34%			(1.25)%			338%		104,126
March 31, 2005		20.56		(.24	)		(2.73	)		(2.97	)		—			—		—			17.59		(14.45)%		1.33%			(1.25)%			585%		74,890
Biotechnology Fund Advisor Class
March 31, 2009		20.39		(.29	)		(1.83	)		(2.12	)		—			—		—			18.27		(10.40)%		1.88%			(1.40)%			370%		6,675
March 31, 2008		20.20		(.31	)		.50			.19			—			—		—			20.39		0.94%		1.89%			(1.42)%			193%		4,220
March 31, 2007		22.44		(.37	)		(1.87	)		(2.24	)		—			—		—			20.20		(9.98)%		1.87%			(1.75)%			269%		5,295
March 31, 2006		16.91		(.36	)		5.89			5.53			—			—		—			22.44		32.70%		1.86%			(1.76)%			338%		26,240
March 31, 2005		19.86		(.32	)		(2.63	)		(2.95	)		—			—		—			16.91		(14.85)%		1.83%			(1.75)%			585%		10,231
Biotechnology Fund A-Class
March 31, 2009		20.54		(.24	)		(1.85	)		(2.09	)		—			—		—			18.45		(10.18)%		1.64%			(1.17)%			370%		4,346
March 31, 2008		20.30		(.27	)		.51			.24			—			—		—			20.54		1.18%		1.62%			(1.26)%			193%		2,321
March 31, 2007		22.50		(.31	)		(1.89	)		(2.20	)		—			—		—			20.30		(9.78)%		1.62%			(1.50)%			269%		849
March 31, 2006		16.93		(.33	)		5.90			5.57			—			—		—			22.50		32.90%		1.63%			(1.52)%			338%		5,087
March 31, 2005*		17.89		(.16	)		(.80	)		(.96	)		—			—		—			16.93		(5.37)%		1.53%	**		(1.47)%	**		585%		74
Biotechnology Fund C-Class
March 31, 2009		20.03		(.38	)		(1.78	)		(2.16	)		—			—		—			17.87		(10.78)%		2.39%			(1.89)%			370%		4,028
March 31, 2008		19.95		(.42	)		.50			.08			—			—		—			20.03		0.40%		2.38%			(1.99)%			193%		3,671
March 31, 2007		22.27		(.46	)		(1.86	)		(2.32	)		—			—		—			19.95		(10.42)%		2.36%			(2.23)%			269%		2,678
March 31, 2006		16.87		(.47	)		5.87			5.40			—			—		—			22.27		32.01%		2.36%			(2.27)%			338%		7,786
March 31, 2005		19.92		(.42	)		(2.63	)		(3.05	)		—			—		—			16.87		(15.31)%		2.33%			(2.23)%			585%		2,625
Consumer Products Fund Investor Class
March 31, 2009		36.40		.55			(10.35	)		(9.80	)		(.21	)		—		(.21	)		26.39		(26.96)%		1.38%			1.81%			445%		14,703
March 31, 2008		36.11		.52			.13			.65			(.36	)		—		(.36	)		36.40		1.72%		1.37%			1.37%			449%		8,722
March 31, 2007		31.03		.43			4.71			5.14			(.06	)		—		(.06	)		36.11		16.58%		1.37%			1.29%			455%		21,814
March 31, 2006		30.50		.30			.65			.95			(.42	)		—		(.42	)		31.03		3.13%		1.32%			0.98%			813%		11,815
March 31, 2005		28.68		.18			1.65			1.83			(.01	)		—		(.01	)		30.50		6.40%		1.33%			0.60%			907%		15,470
Consumer Products Fund Advisor Class
March 31, 2009		34.78		.34			(9.82	)		(9.48	)		(.21	)		—		(.21	)		25.09		(27.29)%		1.87%			1.18%			445%		11,113
March 31, 2008		34.68		.15			.31			.46			(.36	)		—		(.36	)		34.78		1.25%		1.87%			0.42%			449%		5,384
March 31, 2007		29.96		.20			4.58			4.78			(.06	)		—		(.06	)		34.68		15.97%		1.86%			0.64%			455%		5,754
March 31, 2006		29.66		.03			.69			.72			(.42	)		—		(.42	)		29.96		2.44%		1.82%			0.08%			813%		6,487
March 31, 2005		27.99		.05			1.63			1.68			(.01	)		—		(.01	)		29.66		6.02%		1.82%			0.19%			907%		26,851
Consumer Products Fund A-Class
March 31, 2009		35.09		.42			(9.93	)		(9.51	)		(.21	)		—		(.21	)		25.37		(27.14)%		1.63%			1.41%			445%		2,898
March 31, 2008		34.90		.50			.05			.55			(.36	)		—		(.36	)		35.09		1.50%		1.63%			1.38%			449%		1,682
March 31, 2007		30.07		.42			4.47			4.89			(.06	)		—		(.06	)		34.90		16.27%		1.61%			1.30%			455%		3,935
March 31, 2006		29.69		.18			.62			.80			(.42	)		—		(.42	)		30.07		2.71%		1.60%			0.62%			813%		1,475
March 31, 2005*		27.42		.06			2.22			2.28			(.01	)		—		(.01	)		29.69		8.33%		1.56%	**		0.42%	**		907%		463
Consumer Products Fund C-Class
March 31, 2009		33.95		.19			(9.57	)		(9.38	)		(.21	)		—		(.21	)		24.36		(27.67)%		2.38%			0.65%			445%		3,067
March 31, 2008		34.04		.17			.10			.27			(.36	)		—		(.36	)		33.95		0.71%		2.37%			0.49%			449%		3,903
March 31, 2007		29.55		.20			4.35			4.55			(.06	)		—		(.06	)		34.04		15.41%		2.36%			0.62%			455%		5,472
March 31, 2006		29.53		(.03	)		.47			.44			(.42	)		—		(.42	)		29.55		1.50%		2.33%			(0.11)%			813%		1,340
March 31, 2005		27.92		(.13	)		1.75			1.62			(.01	)		—		(.01	)		29.53		5.82%		2.31%			(0.44)%			907%		8,048

THE RYDEX SERIES FUNDS ANNUAL REPORT    |    79

FINANCIAL HIGHLIGHTS (continued)
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.

																									RATIOS TO
																									AVERAGE NET ASSETS:
						Net Realized			Net Increase
	NET ASSET		Net			and			(Decrease)			Distributions			Distributions						NET ASSET										Net					Net Assets,
	VALUE,		Investment			Unrealized			in Net Asset			from Net			from Net						VALUE,		Total								Investment			Portfolio		End of
	BEGINNING		Income			Gains (Losses)			Value Resulting			Investment			Realized			Total			END OF		Investment		Total			Net			Income			Turnover		Period (000’s
Year Ended	OF PERIOD		(Loss)†			on Investments			from Operations			Income			Gains			Distributions			PERIOD		Return††		Expenses			Expenses			(Loss)			Rate		omitted)
Electronics Fund Investor Class
March 31, 2009†††	$	50.30	$	(—	)§	$	(17.54	)	$	(17.54	)	$	—		$	—		$	—		$	32.76		(34.89)%		1.34%			1.34%			(0.03)%			408%	$	106,703
March 31, 2008†††		62.30		(.25	)		(11.75	)		(12.00	)		—			—			—			50.30		(19.26)%		1.36%			1.36%			(0.37)%			784%		9,835
March 31, 2007†††		67.60		(.50	)		(4.80	)		(5.30	)		—			—			—			62.30		(7.84)%		1.37%			1.37%			(0.76)%			759%		15,376
March 31, 2006†††		51.55		(.55	)		16.60			16.05			—			—			—			67.60		31.13%		1.34%			1.34%			(0.91)%			911%		34,194
March 31, 2005†††		67.15		(.40	)		(15.20	)		(15.60	)		—			—			—			51.55		(23.23)%		1.33%			1.33%			(0.76)%			1,106%		27,150
Electronics Fund Advisor Class
March 31, 2009†††		47.80		(.10	)		(16.69	)		(16.79	)		—			—			—			31.01		(35.15)%		1.86%			1.86%			(0.29)%			408%		3,152
March 31, 2008†††		59.40		(.60	)		(11.00	)		(11.60	)		—			—			—			47.80		(19.53)%		1.88%			1.88%			(0.98)%			784%		566
March 31, 2007†††		64.90		(.75	)		(4.75	)		(5.50	)		—			—			—			59.40		(8.47)%		1.87%			1.87%			(1.20)%			759%		1,511
March 31, 2006†††		49.75		(.80	)		15.95			15.15			—			—			—			64.90		30.45%		1.84%			1.84%			(1.39)%			911%		14,089
March 31, 2005†††		65.10		(.70	)		(14.65	)		(15.35	)		—			—			—			49.75		(23.58)%		1.83%			1.83%			(1.32)%			1,106%		12,613
Electronics Fund A-Class
March 31, 2009†††		48.25		(.10	)		(16.84	)		(16.94	)		—			—			—			31.31		(35.13)%		1.60%			1.60%			(0.26)%			408%		42
March 31, 2008†††		59.95		(.55	)		(11.15	)		(11.70	)		—			—			—			48.25		(19.52)%		1.62%			1.62%			(0.90)%			784%		85
March 31, 2007†††		65.15		(.55	)		(4.65	)		(5.20	)		—			—			—			59.95		(7.98)%		1.63%			1.63%			(0.94)%			759%		130
March 31, 2006†††		49.80		(.70	)		16.05			15.35			—			—			—			65.15		30.82%		1.64%			1.64%			(1.18)%			911%		1,253
March 31, 2005*†††		46.10		(.35	)		4.05			3.70			—			—			—			49.80		8.03%		1.59%	**		1.59%	**		(1.21)%	**		1,106%		1
Electronics Fund C-Class
March 31, 2009†††		46.90		(.30	)		(16.32	)		(16.62)			—			—			—			30.28		(35.39)%		2.42%			2.42%			(0.74)%			408%		460
March 31, 2008†††		58.65		(.75	)		(11.00	)		(11.75	)		—			—			—			46.90		(20.03)%		2.38%			2.38%			(1.26)%			784%		962
March 31, 2007†††		64.30		(1.00	)		(4.65	)		(5.65	)		—			—			—			58.65		(8.79)%		2.36%			2.36%			(1.72)%			759%		2,876
March 31, 2006†††		49.50		(1.05	)		15.85			14.80			—			—			—			64.30		29.90%		2.36%			2.36%			(1.91)%			911%		5,015
March 31, 2005†††		65.00		(1.00	)		(14.50	)		(15.50	)		—			—			—			49.50		(23.85)%		2.33%			2.33%			(1.86)%			1,106%		2,119
Energy Fund Investor Class
March 31, 2009		27.29		.06			(12.61	)		(12.55	)		—			(.73	)		(.73	)		14.01		(46.01)%		1.37%			1.37%			0.28%			310%		53,627
March 31, 2008		23.19		(.03	)		4.86			4.83			—			(.73	)		(.73	)		27.29		20.91%		1.37%			1.37%			(0.10)%			188%		63,325
March 31, 2007		21.68		—	§		1.92			1.92			—			(.41	)		(.41	)		23.19		8.87%		1.36%			1.36%			(0.01)%			283%		75,204
March 31, 2006		17.12		.02			5.02			5.04			(.03	)		(.45	)		(.48	)		21.68		29.60%		1.34%			1.34%			0.08%			415%		90,331
March 31, 2005		11.94		.05			5.14			5.19			(.01	)		—			(.01	)		17.12		43.43%		1.33%			1.33%			0.40%			546%		111,762
Energy Fund Advisor Class
March 31, 2009		26.07		(.04	)		(12.02	)		(12.06	)		—			(.73	)		(.73	)		13.28		(46.29)%		1.88%			1.88%			(0.16)%			310%		4,679
March 31, 2008		22.29		(.15	)		4.66			4.51			—			(.73	)		(.73	)		26.07		20.31%		1.86%			1.86%			(0.58)%			188%		17,713
March 31, 2007		20.96		(.12	)		1.86			1.74			—			(.41	)		(.41	)		22.29		8.31%		1.86%			1.86%			(0.54)%			283%		14,613
March 31, 2006		16.65		(.07	)		4.86			4.79			(.03	)		(.45	)		(.48	)		20.96		28.93%		1.85%			1.84%			(0.38)%			415%		18,162
March 31, 2005		11.68		(.02	)		5.00			4.98			(.01	)		—			(.01	)		16.65		42.60%		1.82%			1.82%			(0.11)%			546%		25,000
Energy Fund A-Class
March 31, 2009		26.30		.02			(12.15	)		(12.13	)		—			(.73	)		(.73	)		13.44		(46.15)%		1.63%			1.63%			0.10%			310%		4,845
March 31, 2008		22.44		(.08	)		4.67			4.59			—			(.73	)		(.73	)		26.30		20.54%		1.61%			1.61%			(0.31)%			188%		6,378
March 31, 2007		21.04		(.06	)		1.87			1.81			—			(.41	)		(.41	)		22.44		8.62%		1.61%			1.61%			(0.29)%			283%		3,307
March 31, 2006		16.68		(.05	)		4.89			4.84			(.03	)		(.45	)		(.48	)		21.04		29.18%		1.61%			1.60%			(0.25)%			415%		3,210
March 31, 2005*		12.79		.02			3.88			3.90			(.01	)		—			(.01	)		16.68		30.46%		1.45%	**		1.45%	**		0.19%	**		546%		744
Energy Fund C-Class
March 31, 2009		25.37		(.14	)		(11.66	)		(11.80	)		—			(.73	)		(.73	)		12.84		(46.55)%		2.38%			2.38%			(0.65)%			310%		9,865
March 31, 2008		21.81		(.27	)		4.56			4.29			—			(.73	)		(.73	)		25.37		19.74%		2.36%			2.36%			(1.07)%			188%		20,989
March 31, 2007		20.62		(.21	)		1.81			1.60			—			(.41	)		(.41	)		21.81		7.77%		2.36%			2.36%			(1.00)%			283%		18,624
March 31, 2006		16.47		(.16	)		4.79			4.63			(.03	)		(.45	)		(.48	)		20.62		28.27%		2.35%			2.35%			(0.88)%			415%		23,734
March 31, 2005		11.60		(.08	)		4.96			4.88			(.01	)		—			(.01	)		16.47		42.03%		2.33%			2.33%			(0.61)%			546%		17,993

80    |    THE RYDEX SERIES FUNDS ANNUAL REPORT

FINANCIAL HIGHLIGHTS (continued)
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.

																								RATIOS TO
																								AVERAGE NET ASSETS:
						Net Realized			Net Increase
	NET ASSET		Net			and			(Decrease)			Distributions			Distributions					NET ASSET										Net					Net Assets,
	VALUE,		Investment			Unrealized			in Net Asset			from Net			from Net					VALUE,		Total								Investment			Portfolio		End of
	BEGINNING		Income			Gains (Losses)			Value Resulting			Investment			Realized		Total			END OF		Investment		Total			Net			Income			Turnover		Period (000’s
Year Ended	OF PERIOD		(Loss)†			on Investments			from Operations			Income			Gains		Distributions			PERIOD		Return††		Expenses			Expenses			(Loss)			Rate		omitted)
Energy Services Fund Investor Class
March 31, 2009	$	58.04	$	(.24	)	$	(32.73	)	$	(32.97	)	$	—		$	—	$	—		$	25.07		(56.81)%		1.37%			1.37%			(0.48)%			207%	$	59,706
March 31, 2008		47.47		(.43	)		11.00			10.57			—			—		—			58.04		22.27%		1.37%			1.37%			(0.77)%			193%		82,691
March 31, 2007		45.05		(.36	)		2.78			2.42			—			—		—			47.47		5.37%		1.36%			1.36%			(0.80)%			196%		91,095
March 31, 2006		30.12		(.30	)		15.23			14.93			—			—		—			45.05		49.57%		1.35%			1.35%			(0.81)%			324%		147,439
March 31, 2005		21.74		(.22	)		8.60			8.38			—			—		—			30.12		38.55%		1.31%			1.31%			(0.85)%			501%		99,603
Energy Services Fund Advisor Class
March 31, 2009		55.45		(.43	)		(31.19	)		(31.62	)		—			—		—			23.83		(57.02)%		1.88%			1.88%			(0.92)%			207%		7,058
March 31, 2008		45.58		(.69	)		10.56			9.87			—			—		—			55.45		21.65%		1.87%			1.87%			(1.28)%			193%		15,929
March 31, 2007		43.46		(.58	)		2.70			2.12			—			—		—			45.58		4.88%		1.86%			1.86%			(1.35)%			196%		18,237
March 31, 2006		29.21		(.47	)		14.72			14.25			—			—		—			43.46		48.78%		1.85%			1.85%			(1.33)%			324%		44,033
March 31, 2005		21.18		(.33	)		8.36			8.03			—			—		—			29.21		37.91%		1.82%			1.82%			(1.37)%			501%		24,647
Energy Services Fund A-Class
March 31, 2009		55.99		(.31	)		(31.55	)		(31.86	)		—			—		—			24.13		(56.90)%		1.63%			1.63%			(0.68)%			207%		4,920
March 31, 2008		45.90		(.55	)		10.64			10.09			—			—		—			55.99		21.98%		1.62%			1.62%			(1.01)%			193%		11,450
March 31, 2007		43.67		(.41	)		2.64			2.23			—			—		—			45.90		5.11%		1.61%			1.61%			(0.97)%			196%		6,151
March 31, 2006		29.25		(.39	)		14.81			14.42			—			—		—			43.67		49.30%		1.63%			1.63%			(1.00)%			324%		6,569
March 31, 2005*		23.18		(.18	)		6.25			6.07			—			—		—			29.25		26.19%		1.53%	**		1.53%	**		(1.13)%	**		501%		313
Energy Services Fund C-Class
March 31, 2009		54.22		(.64	)		(30.39	)		(31.03	)		—			—		—			23.19		(57.23)%		2.38%			2.38%			(1.41)%			207%		9,196
March 31, 2008		44.79		(.93	)		10.36			9.43			—			—		—			54.22		21.05%		2.37%			2.37%			(1.76)%			193%		29,316
March 31, 2007		42.92		(.74	)		2.61			1.87			—			—		—			44.79		4.36%		2.36%			2.36%			(1.77)%			196%		24,500
March 31, 2006		28.98		(.65	)		14.59			13.94			—			—		—			42.92		48.10%		2.36%			2.36%			(1.82)%			324%		27,542
March 31, 2005		21.12		(.45	)		8.31			7.86			—			—		—			28.98		37.22%		2.31%			2.31%			(1.84)%			501%		11,529
Financial Services Fund Investor Class
March 31, 2009†††		101.80		1.60			(57.13	)		(55.53	)		(1.90	)		—		(1.90	)		44.37		(54.76)%		1.37%			1.37%			2.16%			755%		13,257
March 31, 2008†††		142.50		1.70			(40.20	)		(38.50	)		(2.20	)		—		(2.20	)		101.80		(27.26)%		1.38%			1.38%			1.25%			913%		4,640
March 31, 2007†††		132.60		1.40			9.14			10.54			(.64	)		—		(.64	)		142.50		7.94%		1.34%			1.34%			1.03%			534%		22,658
March 31, 2006†††		114.00		1.70			18.10			19.80			(1.20	)		—		(1.20	)		132.60		17.42%		1.36%			1.34%			1.32%			821%		12,226
March 31, 2005†††		110.90		1.00			2.90			3.90			(.80	)		—		(.80	)		114.00		3.46%		1.33%			1.33%			0.91%			1,005%		7,741
Financial Services Fund Advisor Class
March 31, 2009†††		97.80		1.30			(54.92	)		(53.62	)		(1.90	)		—		(1.90	)		42.48		(55.06)%		1.88%			1.88%			1.83%			755%		2,710
March 31, 2008†††		137.60		.90			(38.50	)		(37.60	)		(2.20	)		—		(2.20	)		97.80		(27.58)%		1.89%			1.89%			0.70%			913%		1,957
March 31, 2007†††		128.80		.70			8.74			9.44			(.64	)		—		(.64	)		137.60		7.32%		1.84%			1.84%			0.54%			534%		16,786
March 31, 2006†††		111.30		1.00			17.70			18.70			(1.20	)		—		(1.20	)		128.80		16.85%		1.85%			1.83%			0.82%			821%		6,801
March 31, 2005†††		108.90		.50			2.70			3.20			(.80	)		—		(.80	)		111.30		2.88%		1.83%			1.83%			0.43%			1,005%		27,181
Financial Services Fund A-Class
March 31, 2009†††		98.60		1.30			(55.20	)		(53.90	)		(1.90	)		—		(1.90	)		42.80		(54.92)%		1.62%			1.62%			1.97%			755%		2,683
March 31, 2008†††		138.20		1.60			(39.00	)		(37.40	)		(2.20	)		—		(2.20	)		98.60		(27.32)%		1.59%			1.59%			1.42%			913%		1,367
March 31, 2007†††		129.10		1.00			8.74			9.74			(.64	)		—		(.64	)		138.20		7.54%		1.61%			1.61%			0.74%			534%		1,107
March 31, 2006†††		111.30		1.40			17.60			19.00			(1.20	)		—		(1.20	)		129.10		17.12%		1.65%			1.64%			1.18%			821%		4,295
March 31, 2005*†††		107.50		.50			4.10			4.60			(.80	)		—		(.80	)		111.30		4.22%		1.55%	**		1.55%	**		0.70%	**		1,005%		5
Financial Services Fund C-Class
March 31, 2009†††		95.10		.80			(52.99	)		(52.19	)		(1.90	)		—		(1.90	)		41.01		(55.16)%		2.38%			2.38%			1.13%			755%		1,407
March 31, 2008†††		134.60		.50			(37.80	)		(37.30	)		(2.20	)		—		(2.20	)		95.10		(27.98)%		2.37%			2.37%			0.45%			913%		2,847
March 31, 2007†††		126.70		.10			8.44			8.54			(.64	)		—		(.64	)		134.60		6.73%		2.34%			2.34%			0.06%			534%		5,382
March 31, 2006†††		110.10		.10			17.70			17.80			(1.20	)		—		(1.20	)		126.70		16.21%		2.36%			2.34%			0.11%			821%		2,081
March 31, 2005†††		108.40		(.10	)		2.60			2.50			(.80	)		—		(.80	)		110.10		2.24%		2.33%			2.33%			(0.10)%			1,005%		1,689

THE RYDEX SERIES FUNDS ANNUAL REPORT    |    81

FINANCIAL HIGHLIGHTS (continued)
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.

																								RATIOS TO
																								AVERAGE NET ASSETS:
						Net Realized			Net Increase
	NET ASSET		Net			and			(Decrease)			Distributions			Distributions					NET ASSET							Net					Net Assets,
	VALUE,		Investment			Unrealized			in Net Asset			from Net			from Net					VALUE,		Total					Investment			Portfolio		End of
	BEGINNING		Income			Gains (Losses)			Value Resulting			Investment			Realized		Total			END OF		Investment		Total			Income			Turnover		Period (000’s
Year Ended	OF PERIOD		(Loss)†			on Investments			from Operations			Income			Gains		Distributions			PERIOD		Return††		Expenses			(Loss)			Rate		omitted)
Health Care Fund Investor Class
March 31, 2009	$	14.28	$	.07		$	(3.15	)	$	(3.08	)	$	—		$	—	$	—		$	11.20		(21.57)%		1.36%			0.48%			745%	$	13,920
March 31, 2008		15.28		(.02	)		(.98	)		(1.00	)		—			—		—			14.28		(6.54)%		1.37%			(0.13)%			444%		22,062
March 31, 2007		14.54		.03			.71			.74			—			—		—			15.28		5.09%		1.35%			0.23%			545%		33,878
March 31, 2006		12.71		(.05	)		1.88			1.83			—			—		—			14.54		14.40%		1.33%			(0.35)%			568%		46,432
March 31, 2005		12.50		(.05	)		.26			.21			—			—		—			12.71		1.68%		1.34%			(0.42)%			610%		35,500
Health Care Fund Advisor Class
March 31, 2009		13.57		.01			(3.00	)		(2.99	)		—			—		—			10.58		(22.03)%		1.93%			0.04%			745%		6,353
March 31, 2008		14.59		(.09	)		(.93	)		(1.02	)		—			—		—			13.57		(6.99)%		1.86%			(0.60)%			444%		13,099
March 31, 2007		13.94		(.05	)		.70			.65			—			—		—			14.59		4.66%		1.85%			(0.37)%			545%		17,327
March 31, 2006		12.25		(.12	)		1.81			1.69			—			—		—			13.94		13.80%		1.84%			(0.89)%			568%		14,577
March 31, 2005		12.11		(.10	)		.24			.14			—			—		—			12.25		1.16%		1.84%			(0.83)%			610%		16,511
Health Care Fund A-Class
March 31, 2009		13.68		.02			(3.01	)		(2.99	)		—			—		—			10.69		(21.86)%		1.63%			0.15%			745%		997
March 31, 2008		14.67		(.06	)		(.93	)		(.99	)		—			—		—			13.68		(6.75)%		1.61%			(0.36)%			444%		730
March 31, 2007		13.98		(.02	)		.71			.69			—			—		—			14.67		4.94%		1.60%			(0.13)%			545%		818
March 31, 2006		12.25		(.08	)		1.81			1.73			—			—		—			13.98		14.12%	��	1.62%			(0.60)%			568%		2,239
March 31, 2005*		11.65		(.05	)		.65			.60			—			—		—			12.25		5.15%		1.56%	**		(0.65)%	**		610%		1
Health Care Fund C-Class
March 31, 2009		13.28		(.08	)		(2.90	)		(2.98	)		—			—		—			10.30		(22.44)%		2.38%			(0.65)%			745%		5,101
March 31, 2008		14.35		(.16	)		(.91	)		(1.07	)		—			—		—			13.28		(7.46)%		2.37%			(1.12)%			444%		5,677
March 31, 2007		13.79		(.10	)		.66			.56			—			—		—			14.35		4.06%		2.34%			(0.73)%			545%		8,720
March 31, 2006		12.19		(.18	)		1.78			1.60			—			—		—			13.79		13.13%		2.34%			(1.39)%			568%		7,114
March 31, 2005		12.11		(.16	)		.24			.08			—			—		—			12.19		0.66%		2.33%			(1.36)%			610%		4,017
Internet Fund Investor Class
March 31, 2009		38.55		(.29	)		(11.23	)		(11.52	)		(.45	)		—		(.45	)		26.58		(29.63)%		1.35%			(1.01)%			550%		61,745
March 31, 2008		41.11		.46	à		(2.87	)		(2.41	)		(.15	)		—		(.15	)		38.55		(5.92)%		1.38%			1.00%	àà		870%		4,365
March 31, 2007		40.22		(.44	)		1.33			.89			—			—		—			41.11		2.21%		1.37%			(1.09)%			864%		5,496
March 31, 2006		32.29		(.40	)		8.33			7.93			—			—		—			40.22		24.56%		1.34%			(1.10)%			1,371%		16,288
March 31, 2005		35.66		(.43	)		(2.94	)		(3.37	)		—			—		—			32.29		(9.45)%		1.34%			(1.23)%			1,947%		5,210
Internet Fund Advisor Class
March 31, 2009		36.95		(.41	)		(10.77	)		(11.18	)		(.45	)		—		(.45	)		25.32		(29.99)%		1.87%			(1.43)%			550%		3,604
March 31, 2008		39.61		(.09	)à		(2.42	)		(2.51	)		(.15	)		—		(.15	)		36.95		(6.40)%		1.88%			(0.21	)%àà		870%		1,364
March 31, 2007		38.94		(.63	)		1.30			.67			—			—		—			39.61		1.72%		1.87%			(1.60)%			864%		863
March 31, 2006		31.41		(.55	)		8.08			7.53			—			—		—			38.94		23.97%		1.85%			(1.58)%			1,371%		3,696
March 31, 2005		34.85		(.60	)		(2.84	)		(3.44	)		—			—		—			31.41		(9.87)%		1.83%			(1.72)%			1,947%		829
Internet Fund A-Class
March 31, 2009		37.29		(.33	)		(10.89	)		(11.22	)		(.45	)		—		(.45	)		25.62		(29.82)%		1.62%			(1.07)%			550%		91
March 31, 2008		39.87		(.19	)à		(2.24	)		(2.43	)		(.15	)		—		(.15	)		37.29		(6.16)%		1.63%			(0.44	)%àà		870%		116
March 31, 2007		39.07		(.52	)		1.32			.80			—			—		—			39.87		2.05%		1.61%			(1.37)%			864%		139
March 31, 2006		31.45		(.50	)		8.12			7.62			—			—		—			39.07		24.23%		1.63%			(1.36)%			1,371%		470
March 31, 2005*		30.65		(.31	)		1.11			.80			—			—		—			31.45		2.61%		1.55%	**		(1.46)%	**		1,947%		4
Internet Fund C-Class
March 31, 2009		36.01		(.59	)		(10.41	)		(11.00	)		(.45	)		—		(.45	)		24.56		(30.28)%		2.38%			(1.95)%			550%		602
March 31, 2008		38.79		(.38	)à		(2.25	)		(2.63	)		(.15	)		—		(.15	)		36.01		(6.84)%		2.37%			(0.89	)%àà		870%		1,608
March 31, 2007		38.30		(.78	)		1.27			.49			—			—		—			38.79		1.28%		2.36%			(2.10)%			864%		1,017
March 31, 2006		31.06		(.73	)		7.97			7.24			—			—		—			38.30		23.31%		2.35%			(2.09)%			1,371%		2,273
March 31, 2005		34.64		(.73	)		(2.85	)		(3.58	)		—			—		—			31.06		(10.33)%		2.33%			(2.19)%			1,947%		1,596

82    |    THE RYDEX SERIES FUNDS ANNUAL REPORT

1

FINANCIAL HIGHLIGHTS (continued)
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.

																						RATIOS TO
																						AVERAGE NET ASSETS:
						Net Realized			Net Increase
	NET ASSET		Net			and			(Decrease)			Distributions		Distributions				NET ASSET							Net					Net Assets,
	VALUE,		Investment			Unrealized			in Net Asset			from Net		from Net				VALUE,		Total					Investment			Portfolio		End of
	BEGINNING		Income			Gains (Losses)			Value Resulting			Investment		Realized		Total		END OF		Investment		Total			Income			Turnover		Period (000’s
Year Ended	OF PERIOD		(Loss)†			on Investments			from Operations			Income		Gains		Distributions		PERIOD		Return††		Expenses			(Loss)			Rate		omitted)
Leisure Fund Investor Class
March 31, 2009	$	31.72	$	.01		$	(16.33	)	$	(16.32	)	$	—	$	—	$	—	$	15.40		(51.45)%		1.37%			0.05%			1,529%	$	4,132
March 31, 2008		35.87		.09			(4.24	)		(4.15	)		—		—		—		31.72		(11.57)%		1.39%			0.24%			646%		3,283
March 31, 2007		32.56		—	§		3.31			3.31			—		—		—		35.87		10.17%		1.37%			(0.01)%			675%		9,130
March 31, 2006		30.50		(.07	)		2.13			2.06			—		—		—		32.56		6.75%		1.34%			(0.25)%			734%		16,418
March 31, 2005		27.66		(.17	)		3.01			2.84			—		—		—		30.50		10.27%		1.31%			(0.57)%			1,046%		15,080
Leisure Fund Advisor Class
March 31, 2009		30.06		(.03	)		(15.50	)		(15.53	)		—		—		—		14.53		(51.66)%		1.88%			(0.11)%			1,529%		373
March 31, 2008		34.14		(.07	)		(4.01	)		(4.08	)		—		—		—		30.06		(11.95)%		1.89%			(0.22)%			646%		1,611
March 31, 2007		31.15		(.10	)		3.09			2.99			—		—		—		34.14		9.60%		1.87%			(0.32)%			675%		4,903
March 31, 2006		29.34		(.32	)		2.13			1.81			—		—		—		31.15		6.17%		1.80%			(1.10)%			734%		5,372
March 31, 2005		26.74		(.30	)		2.90			2.60			—		—		—		29.34		9.72%		1.82%			(1.10)%			1,046%		27,750
Leisure Fund A-Class
March 31, 2009		30.30		(.04	)		(15.59	)		(15.63	)		—		—		—		14.67		(51.58)%		1.63%			(0.16)%			1,529%		25
March 31, 2008		34.32		(.07	)		(3.95	)		(4.02	)		—		—		—		30.30		(11.71)%		1.67%			(0.20)%			646%		206
March 31, 2007		31.24		(.14	)		3.22			3.08			—		—		—		34.32		9.86%		1.60%			(0.41)%			675%		2,198
March 31, 2006		29.34		(.14	)		2.04			1.90			—		—		—		31.24		6.48%		1.60%			(0.49)%			734%		68
March 31, 2005*		24.59		(.08	)		4.83			4.75			—		—		—		29.34		19.32%		1.55%	**		(1.02)%	**		1,046%		12
Leisure Fund C-Class
March 31, 2009		29.66		(.18	)		(15.22	)		(15.40	)		—		—		—		14.26		(51.92)%		2.38%			(0.78)%			1,529%		123
March 31, 2008		33.86		(.28	)		(3.92	)		(4.20	)		—		—		—		29.66		(12.40)%		2.40%			(0.81)%			646%		430
March 31, 2007		31.05		(.31	)		3.12			2.81			—		—		—		33.86		9.05%		2.36%			(0.96)%			675%		3,091
March 31, 2006		29.39		(.40	)		2.06			1.66			—		—		—		31.05		5.65%		2.32%			(1.40)%			734%		997
March 31, 2005		26.93		(.40	)		2.86			2.46			—		—		—		29.39		9.13%		2.31%			(1.44)%			1,046%		2,502
Precious Metals Fund Investor Class
March 31, 2009		69.89		(.23	)		(23.30	)		(23.53	)		—		—		—		46.36		(33.67)%		1.28%			(0.48)%			245%		160,759
March 31, 2008		56.21		(.37	)		14.05			13.68			—		—		—		69.89		24.34%		1.27%			(0.58)%			203%		149,805
March 31, 2007		54.50		(.03	)		1.74			1.71			—		—		—		56.21		3.14%		1.26%			(0.05)%			259%		149,876
March 31, 2006		35.64		(.07	)		18.93			18.86			—		—		—		54.50		52.92%		1.24%			(0.16)%			277%		213,017
March 31, 2005		44.32		(.05	)		(8.63	)		(8.68	)		—		—		—		35.64		(19.58)%		1.23%			(0.12)%			358%		130,718
Precious Metals Fund Advisor Class
March 31, 2009		68.36		(.50	)		(22.74	)		(23.24	)		—		—		—		45.12		(34.00)%		1.77%			(1.02)%			245%		12,056
March 31, 2008		55.24		(.69	)		13.81			13.12			—		—		—		68.36		23.75%		1.77%			(1.09)%			203%		11,817
March 31, 2007		53.83		(.27	)		1.68			1.41			—		—		—		55.24		2.62%		1.76%			(0.51)%			259%		8,387
March 31, 2006		35.37		(.28	)		18.74			18.46			—		—		—		53.83		52.19%		1.75%			(0.70)%			277%		14,087
March 31, 2005		44.17		(.03	)		(8.77	)		(8.80	)		—		—		—		35.37		(19.92)%		1.72%			(0.09)%			358%		8,596
Precious Metals Fund A-Class
March 31, 2009		68.96		(.36	)		(22.96	)		(23.32	)		—		—		—		45.64		(33.82)%		1.53%			(0.71)%			245%		8,484
March 31, 2008		55.59		(.55	)		13.92			13.37			—		—		—		68.96		24.05%		1.52%			(0.84)%			203%		10,911
March 31, 2007		54.03		(.15	)		1.71			1.56			—		—		—		55.59		2.89%		1.51%			(0.28)%			259%		4,778
March 31, 2006		35.41		(.19	)		18.81			18.62			—		—		—		54.03		52.58%		1.52%			(0.43)%			277%		5,701
March 31, 2005*		37.26		(.01	)		(1.84	)		(1.85	)		—		—		—		35.41		(4.97)%		1.45%	**		(0.02)%	**		358%		217
Precious Metals Fund C-Class
March 31, 2009		65.38		(.68	)		(21.78	)		(22.46	)		—		—		—		42.92		(34.35)%		2.27%			(1.43)%			245%		20,452
March 31, 2008		53.12		(.97	)		13.23			12.26			—		—		—		65.38		23.08%		2.27%			(1.60)%			203%		26,319
March 31, 2007		52.02		(.51	)		1.61			1.10			—		—		—		53.12		2.11%		2.26%			(1.00)%			259%		23,486
March 31, 2006		34.37		(.46	)		18.11			17.65			—		—		—		52.02		51.35%		2.25%			(1.20)%			277%		24,266
March 31, 2005		43.16		(.39	)		(8.40	)		(8.79	)		—		—		—		34.37		(20.37)%		2.23%			(1.08)%			358%		20,426

THE RYDEX SERIES FUNDS ANNUAL REPORT    |    83

2

FINANCIAL HIGHLIGHTS (continued)
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.

																								RATIOS TO
																								AVERAGE NET ASSETS:
						Net Realized			Net Increase
	NET ASSET		Net			and			(Decrease)			Distributions			Distributions					NET ASSET							Net					Net Assets,
	VALUE,		Investment			Unrealized			in Net Asset			from Net			from Net					VALUE,		Total					Investment			Portfolio		End of
	BEGINNING		Income			Gains (Losses)			Value Resulting			Investment			Realized		Total			END OF		Investment		Total			Income			Turnover		Period (000’s
Year Ended	OF PERIOD		(Loss)†			on Investments			from Operations			Income			Gains		Distributions			PERIOD		Return††		Expenses			(Loss)			Rate		omitted)
Retailing Fund Investor Class
March 31, 2009	$	11.54	$	(.01	)	$	(2.95	)	$	(2.96	)	$	—		$	—	$	—		$	8.58		(25.65)%		1.32%			(0.14)%			461%	$	84,894
March 31, 2008		14.47		(.04	)		(2.89	)		(2.93	)		—			—		—			11.54		(20.25)%		1.37%			(0.27)%			1,205%		3,152
March 31, 2007		13.48		(.06	)		1.05			.99			—			—		—			14.47		7.34%		1.36%			(0.45)%			952%		4,033
March 31, 2006		12.30		(.08	)		1.26			1.18			—			—		—			13.48		9.59%		1.33%			(0.60)%			1,163%		7,608
March 31, 2005		11.74		(.06	)		.62			.56			—			—		—			12.30		4.77%		1.33%			(0.54)%			1,505%		7,529
Retailing Fund Advisor Class
March 31, 2009		11.10		(.02	)		(2.88	)		(2.90	)		—			—		—			8.20		(26.13)%		1.88%			(0.26)%			461%		901
March 31, 2008		13.97		(.12	)		(2.75	)		(2.87	)		—			—		—			11.10		(20.54)%		1.87%			(0.89)%			1,205%		800
March 31, 2007		13.07		(.10	)		1.00			.90			—			—		—			13.97		6.89%		1.86%			(0.73)%			952%		2,791
March 31, 2006		11.99		(.15	)		1.23			1.08			—			—		—			13.07		9.01%		1.82%			(1.18)%			1,163%		3,385
March 31, 2005		11.49		(.12	)		.62			.50			—			—		—			11.99		4.35%		1.83%			(1.09)%			1,505%		6,445
Retailing Fund A-Class
March 31, 2009		11.18		(.02	)		(2.86	)		(2.88	)		—			—		—			8.30		(25.76)%		1.63%			(0.17)%			461%		49
March 31, 2008		14.04		(.10	)		(2.76	)		(2.86	)		—			—		—			11.18		(20.37)%		1.63%			(0.73)%			1,205%		101
March 31, 2007		13.10		(.07	)		1.01			.94			—			—		—			14.04		7.18%		1.57%			(0.54)%			952%		385
March 31, 2006		12.01		(.11	)		1.20			1.09			—			—		—			13.10		9.08%		1.59%			(0.87)%			1,163%		46
March 31, 2005*		10.45		(.07	)		1.63			1.56			—			—		—			12.01		14.93%		1.68%	**		(1.03)%	**		1,505%		1
Retailing Fund C-Class
March 31, 2009		10.76		(.07	)		(2.77	)		(2.84	)		—			—		—			7.92		(26.39)%		2.38%			(0.76)%			461%		1,008
March 31, 2008		13.62		(.17	)		(2.69	)		(2.86	)		—			—		—			10.76		(21.00)%		2.37%			(1.36)%			1,205%		1,291
March 31, 2007		12.80		(.15	)		.97			.82			—			—		—			13.62		6.41%		2.34%			(1.17)%			952%		2,650
March 31, 2006		11.80		(.20	)		1.20			1.00			—			—		—			12.80		8.47%		2.34%			(1.65)%			1,163%		1,586
March 31, 2005		11.37		(.17	)		.60			.43			—			—		—			11.80		3.78%		2.33%			(1.52)%			1,505%		1,774
Technology Fund Investor Class
March 31, 2009		11.77		(.03	)		(4.04	)		(4.07	)		—			—		—			7.70		(34.58)%		1.37%			(0.29)%			564%		11,601
March 31, 2008		12.53		(.10	)		(.66	)		(.76	)		—			—		—			11.77		(6.07)%		1.37%			(0.72)%			694%		9,916
March 31, 2007		12.35		(.11	)		.29			.18			—			—		—			12.53		1.46%		1.36%			(0.91)%			684%		14,274
March 31, 2006		10.35		(.09	)		2.12			2.03			(.03	)		—		(.03	)		12.35		19.65%		1.33%			(0.79)%			666%		21,182
March 31, 2005		11.40		.03			(1.08	)		(1.05	)		—			—		—			10.35		(9.21)%		1.31%			0.33%			1,304%		13,346
Technology Fund Advisor Class
March 31, 2009		11.27		(.05	)		(3.90	)		(3.95	)		—			—		—			7.32		(35.05)%		1.87%			(0.53)%			564%		1,914
March 31, 2008		12.05		(.15	)		(.63	)		(.78	)		—			—		—			11.27		(6.47)%		1.88%			(1.16)%			694%		2,077
March 31, 2007		11.94		(.16	)		.27			.11			—			—		—			12.05		0.92%		1.86%			(1.41)%			684%		4,807
March 31, 2006		10.06		(.14	)		2.05			1.91			(.03	)		—		(.03	)		11.94		19.02%		1.84%			(1.32)%			666%		12,737
March 31, 2005		11.13		.02			(1.09	)		(1.07	)		—			—		—			10.06		(9.61)%		1.83%			0.21%			1,304%		10,693
Technology Fund A-Class
March 31, 2009		11.32		(.04	)		(3.91	)		(3.95	)		—			—		—			7.37		(34.89)%		1.63%			(0.41)%			564%		1,669
March 31, 2008		12.09		(.11	)		(.66	)		(.77	)		—			—		—			11.32		(6.37)%		1.60%			(0.86)%			694%		546
March 31, 2007		11.95		(.14	)		.28			.14			—			—		—			12.09		1.17%		1.61%			(1.18)%			684%		278
March 31, 2006		10.07		(.13	)		2.04			1.91			(.03	)		—		(.03	)		11.95		19.00%		1.63%			(1.15)%			666%		633
March 31, 2005*		9.32		—			.75			.75			—			—		—			10.07		8.05%		1.54%	**		0.00%	**		1,304%		6
Technology Fund C-Class
March 31, 2009		11.04		(.12	)		(3.78	)		(3.90	)		—			—		—			7.14		(35.33)%		2.38%			(1.24)%			564%		1,335
March 31, 2008		11.87		(.21	)		(.62	)		(.83	)		—			—		—			11.04		(6.99)%		2.35%			(1.67)%			694%		2,448
March 31, 2007		11.81		(.22	)		.28			.06			—			—		—			11.87		0.51%		2.35%			(1.91)%			684%		1,538
March 31, 2006		10.01		(.21	)		2.04			1.83			(.03	)		—		(.03	)		11.81		18.31%		2.35%			(1.88)%			666%		2,800
March 31, 2005		11.10		—			(1.09	)		(1.09	)		—			—		—			10.01		(9.82)%		2.32%			0.00%			1,304%		1,284

84    |    THE RYDEX SERIES FUNDS ANNUAL REPORT

FINANCIAL HIGHLIGHTS (continued)
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.

																								RATIOS TO
																								AVERAGE NET ASSETS:
						Net Realized			Net Increase
	NET ASSET		Net			and			(Decrease)			Distributions			Distributions					NET ASSET							Net					Net Assets,
	VALUE,		Investment			Unrealized			in Net Asset			from Net			from Net					VALUE,		Total					Investment			Portfolio		End of
	BEGINNING		Income			Gains (Losses)			Value Resulting			Investment			Realized		Total			END OF		Investment		Total			Income			Turnover		Period (000’s
Year Ended	OF PERIOD		(Loss)†			on Investments			from Operations			Income			Gains		Distributions			PERIOD		Return††		Expenses			(Loss)			Rate		omitted)
Telecommunications Fund Investor Class
March 31, 2009	$	17.04	$	.27		$	(6.68	)	$	(6.41	)	$	(.34	)	$	—	$	(.34	)	$	10.29		(37.55)%		1.39%			1.92%			672%	$	4,440
March 31, 2008		19.02		.12			(2.08	)		(1.96	)		(.02	)		—		(.02	)		17.04		(10.32)%		1.37%			0.58%			528%		11,134
March 31, 2007		17.74		.16			1.23			1.39			(.11	)		—		(.11	)		19.02		7.87%		1.37%			0.89%			430%		16,699
March 31, 2006		14.33		.21			3.60			3.81			(.40	)		—		(.40	)		17.74		26.96%		1.38%			1.30%			820%		56,695
March 31, 2005		15.48		.09			(1.24	)		(1.15	)		—			—		—			14.33		(7.43)%		1.35%			0.60%			1,142%		6,003
Telecommunications Fund Advisor Class
March 31, 2009		16.26		.17			(6.34	)		(6.17	)		(.34	)		—		(.34	)		9.75		(37.88)%		1.81%			1.53%			672%		9,991
March 31, 2008		18.24		(.02	)		(1.94	)		(1.96	)		(.02	)		—		(.02	)		16.26		(10.76)%		1.88%			(0.09)%			528%		835
March 31, 2007		17.10		.04			1.21			1.25			(.11	)		—		(.11	)		18.24		7.35%		1.83%			0.22%			430%		6,584
March 31, 2006		13.88		.12			3.50			3.62			(.40	)		—		(.40	)		17.10		26.46%		1.82%			0.81%			820%		8,487
March 31, 2005		15.07		.03			(1.22	)		(1.19	)		—			—		—			13.88		(7.90)%		1.86%			0.19%			1,142%		1,922
Telecommunications Fund A-Class
March 31, 2009		16.33		.27			(6.43	)		(6.16	)		(.34	)		—		(.34	)		9.83		(37.66)%		1.63%			2.15%			672%		1,317
March 31, 2008		18.28		.03			(1.96	)		(1.93	)		(.02	)		—		(.02	)		16.33		(10.57)%		1.61%			0.13%			528%		451
March 31, 2007		17.15		.05			1.19			1.24			(.11	)		—		(.11	)		18.28		7.27%		1.49%			0.28%			430%		2,126
March 31, 2006		13.90		(.03	)		3.68			3.65			(.40	)		—		(.40	)		17.15		26.64%		1.88%			(0.18)%			820%		4,193
March 31, 2005*		13.55		.11			.24			.35			—			—		—			13.90		2.58%		1.54%	**		1.25%	**		1,142%		3
Telecommunications Fund C-Class
March 31, 2009		15.91		.13			(6.22	)		(6.09	)		(.34	)		—		(.34	)		9.48		(38.21)%		2.42%			0.99%			672%		1,281
March 31, 2008		17.93		(.10	)		(1.90	)		(2.00	)		(.02	)		—		(.02	)		15.91		(11.17)%		2.37%			(0.50)%			528%		2,846
March 31, 2007		16.90		(.06	)		1.20			1.14			(.11	)		—		(.11	)		17.93		6.78%		2.33%			(0.35)%			430%		4,763
March 31, 2006		13.81		.01			3.48			3.49			(.40	)		—		(.40	)		16.90		25.65%		2.31%			0.09%			820%		2,827
March 31, 2005		15.06		(.07	)		(1.18	)		(1.25	)		—			—		—			13.81		(8.30)%		2.38%			(0.51)%			1,142%		1,784
Transportation Fund Investor Class
March 31, 2009		25.21		.07			(10.90	)		(10.83	)		—	§		—		—			14.38		(42.96)%		1.38%			0.33%			875%		20,990
March 31, 2008		29.16		.06			(4.01	)		(3.95	)		—			—		—			25.21		(13.55)%		1.36%			0.22%			952%		17,420
March 31, 2007		28.30		(.14	)		1.00			.86			—			—		—			29.16		3.04%		1.36%			(0.48)%			686%		6,635
March 31, 2006		22.42		(.09	)		5.97			5.88			—			—		—			28.30		26.23%		1.37%			(0.36)%			669%		45,580
March 31, 2005		18.84		(.11	)		3.69			3.58			—			—		—			22.42		19.00%		1.32%			(0.51)%			929%		7,890
Transportation Fund Advisor Class
March 31, 2009		23.59		.10			(10.29	)		(10.19	)		—	§		—		—			13.40		(43.20)%		1.90%			0.51%			875%		1,139
March 31, 2008		27.42		(.01	)		(3.82	)		(3.83	)		—			—		—			23.59		(13.97)%		1.87%			(0.05)%			952%		5,152
March 31, 2007		26.75		(.26	)		.93			.67			—			—		—			27.42		2.50%		1.86%			(0.97)%			686%		3,556
March 31, 2006		21.31		(.19	)		5.63			5.44			—			—		—			26.75		25.53%		1.86%			(0.81)%			669%		8,478
March 31, 2005		18.02		(.21	)		3.50			3.29			—			—		—			21.31		18.26%		1.82%			(1.05)%			929%		5,748
Transportation Fund A-Class
March 31, 2009		23.81		.08			(10.34	)		(10.26	)		—	§		—		—			13.55		(43.09)%		1.67%			0.43%			875%		561
March 31, 2008		27.60		—	§		(3.79	)		(3.79	)		—			—		—			23.81		(13.73)%		1.62%			0.00%			952%		228
March 31, 2007		26.87		(.19	)		.92			.73			—			—		—			27.60		2.72%		1.61%			(0.70)%			686%		483
March 31, 2006		21.34		(.17	)		5.70			5.53			—			—		—			26.87		25.91%		1.66%			(0.71)%			669%		3,044
March 31, 2005*		18.73		(.09	)		2.70			2.61			—			—		—			21.34		13.93%		1.54%	**		(0.71)%	**		929%		22
Transportation Fund C-Class
March 31, 2009		23.70		(.16	)		(10.14	)		(10.30	)		—	§		—		—			13.40		(43.46)%		2.40%			(0.79)%			875%		2,186
March 31, 2008		27.68		(.20	)		(3.78	)		(3.98	)		—			—		—			23.70		(14.38)%		2.38%			(0.73)%			952%		845
March 31, 2007		27.14		(.40	)		.94			.54			—			—		—			27.68		1.99%		2.37%			(1.47)%			686%		4,894
March 31, 2006		21.71		(.35	)		5.78			5.43			—			—		—			27.14		25.01%		2.38%			(1.43)%			669%		5,385
March 31, 2005		18.43		(.32	)		3.60			3.28			—			—		—			21.71		17.80%		2.32%			(1.51)%			929%		1,807

THE RYDEX SERIES FUNDS ANNUAL REPORT    |    85

FINANCIAL HIGHLIGHTS (concluded)
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.

																							RATIOS TO
																							AVERAGE NET ASSETS:
					Net Realized			Net Increase
	NET ASSET				and			(Decrease)			Distributions			Distributions					NET ASSET												Net Assets,
	VALUE,		Net		Unrealized			in Net Asset			from Net			from Net					VALUE,		Total					Net			Portfolio		End of
	BEGINNING		Investment		Gains (Losses)			Value Resulting			Investment			Realized		Total			END OF		Investment		Total			Investment			Turnover		Period (000’s
Year Ended	OF PERIOD		Income†		on Investments			from Operations			Income			Gains		Distributions			PERIOD		Return††		Expenses			Income			Rate		omitted)
Utilities Fund Investor Class
March 31, 2009	$	29.29	$	.72	$	(9.32	)	$	(8.60	)	$	(.13	)	$	—	$	(.13	)	$	20.56		(29.40)%		1.39%			2.90%			684%	$	10,348
March 31, 2008		31.89		.51		(2.31	)		(1.80	)		(.80	)		—		(.80	)		29.29		(5.88)%		1.39%			1.57%			375%		11,242
March 31, 2007		24.90		.52		6.83			7.35			(.36	)		—		(.36	)		31.89		29.64%		1.37%			1.86%			557%		84,150
March 31, 2006		23.62		.51		1.21			1.72			(.44	)		—		(.44	)		24.90		7.25%		1.33%			1.99%			728%		11,717
March 31, 2005		20.57		.53		2.82			3.35			(.30	)		—		(.30	)		23.62		16.35%		1.33%			2.46%			1,124%		17,861
Utilities Fund Advisor Class
March 31, 2009		28.00		.63		(8.94	)		(8.31	)		(.13	)		—		(.13	)		19.56		(29.72)%		1.90%			2.72%			684%		5,939
March 31, 2008		30.65		.32		(2.17	)		(1.85	)		(.80	)		—		(.80	)		28.00		(6.28)%		1.88%			1.02%			375%		2,960
March 31, 2007		24.08		.37		6.56			6.93			(.36	)		—		(.36	)		30.65		28.90%		1.86%			1.38%			557%		11,929
March 31, 2006		22.96		.36		1.20			1.56			(.44	)		—		(.44	)		24.08		6.76%		1.83%			1.46%			728%		1,427
March 31, 2005		20.10		.42		2.74			3.16			(.30	)		—		(.30	)		22.96		15.78%		1.83%			1.95%			1,124%		8,045
Utilities Fund A-Class
March 31, 2009		28.27		.54		(8.88	)		(8.34	)		(.13	)		—		(.13	)		19.80		(29.54)%		1.64%			2.15%			684%		1,489
March 31, 2008		30.87		.42		(2.22	)		(1.80	)		(.80	)		—		(.80	)		28.27		(6.07)%		1.63%			1.38%			375%		3,032
March 31, 2007		24.18		.43		6.62			7.05			(.36	)		—		(.36	)		30.87		29.28%		1.61%			1.52%			557%		4,756
March 31, 2006		23.00		.44		1.18			1.62			(.44	)		—		(.44	)		24.18		7.01%		1.60%			1.75%			728%		626
March 31, 2005*		20.66		.40		2.24			2.64			(.30	)		—		(.30	)		23.00		12.84%		1.54%	**		2.98%	**		1,124%		128
Utilities Fund C-Class
March 31, 2009		26.93		.32		(8.41	)		(8.09	)		(.13	)		—		(.13	)		18.71		(30.08)%		2.39%			1.31%			684%		4,127
March 31, 2008		29.66		.18		(2.11	)		(1.93	)		(.80	)		—		(.80	)		26.93		(6.77)%		2.38%			0.60%			375%		8,934
March 31, 2007		23.42		.22		6.38			6.60			(.36	)		—		(.36	)		29.66		28.30%		2.36%			0.82%			557%		11,013
March 31, 2006		22.47		.24		1.15			1.39			(.44	)		—		(.44	)		23.42		6.15%		2.34%			1.00%			728%		5,346
March 31, 2005		19.77		.29		2.71			3.00			(.30	)		—		(.30	)		22.47		15.23%		2.32%			1.39%			1,124%		4,807

*	Since the commencement of operations:
	September 1, 2004 — Banking Fund A-Class, Basic Materials Fund A-Class, Biotechnology Fund A-Class, Consumer Products Fund A-Class, Electronics Fund A-Class, Energy Fund A-Class, Energy Services Fund A-Class, Financial Services Fund A-Class, Health Care Fund A-Class, Internet Fund A-Class, Leisure Fund A-Class, Precious Metals Fund A-Class, Retailing Fund A-Class, Technology Fund A-Class, Telecommunications Fund A-Class, Transportation Fund A-Class and Utilities Fund A-Class.
**	Annualized
†	Calculated using the average daily shares outstanding for the year.
††	Total investment return does not reflect the impact of any applicable sales charges and has not been annualized.
†††	Banking Fund, Financial Services Fund — Per share amounts for the periods ended March 31, 2005 through March 31, 2009 have been restated to reflect a 1:10 reverse share split effective April 20, 2009.
	Electronics Fund — Per share amounts for the periods ended March 31, 2005 through March 31, 2009 have been restated to reflect a 1:5 reverse share split effective April 20, 2009. See Note 10.
à	Net investment income per share includes $0.88, $0.84, $0.83, and $0.81 for Investor Class, Advisor Class, A-Class, and C-Class, respectively, resulting from a special dividend from Palm, Inc. on October 25, 2007.
àà	Net investment income to average assets includes 1.91% for Investor Class, Advisor Class, A-Class, and C-Class, resulting from a special dividend from Palm, Inc. on October 25, 2007.
§	Less than $.01 per share.

86    |    THE RYDEX SERIES FUNDS ANNUAL REPORT

NOTES TO FINANCIAL STATEMENTS

1.    Organization and Significant Accounting Policies Organization

The Rydex Series Funds (the “Trust”) is registered with the SEC under the Investment Company Act of 1940 (the “1940 Act”) as a non-diversified, open-ended investment company. The Trust offers five separate classes of shares, Investor Class shares, Advisor Class shares, A-Class shares, C-Class shares, and H-Class shares. C-Class shares have a 1% CDSC if shares are redeemed within 12 months of purchase. Sales of shares of each Class are made without a sales charge at the net asset value per share, with the exception of A-Class shares. A-Class shares are sold at net asset value, plus the applicable front-end sales charge, except for the U.S. Government Money Market Fund. The sales charge varies depending on the amount purchased, but will not exceed 4.75%. A-Class Share purchases of $1 million or more are exempt from the front-end sales charge but have a 1% CDSC if shares are redeemed within 18 months of purchase.

At March 31, 2009, the Trust consisted of fifty-five separate Funds. This report covers the Sector Funds (the “Funds”), while the other funds are contained in separate reports.

Rydex Investments provides advisory, transfer agent and administrative services, and accounting services to the Trust. Rydex Distributors, Inc. (the “Distributor”) acts as principal underwriter for the Trust. Both Rydex Investments and the Distributor are affiliated entities.

The Sector Funds invest in a specific industry sector. To the extent that investments are concentrated in a single sector, the Funds are subject to legislative or regulatory changes, adverse market conditions and/or increased competition affecting such sector.

The Funds seek capital appreciation and invest substantially all of their assets in equity securities of companies involved in their sector. The Funds may also purchase American Depository Receipts, U.S. Government securities, and enter into repurchase agreements.

Significant Accounting Policies

The following significant accounting policies and the preparation of financial statements are in conformity with U.S. generally accepted accounting principles and are consistently followed by the Trust. This requires management to make estimates and assumptions that affect the reported amount of assets and liabilities and disclosure of contingent assets and liabilities at the date

of the financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from these estimates. All time references are based on Eastern Time.

A. Equity securities listed on an exchange (New York Stock Exchange (“NYSE”) or American Stock Exchange) are valued at the last quoted sales price as of the close of business on the NYSE, usually 4:00 p.m.on the valuation date. Equity securities listed on the NASDAQ market system are valued at the NASDAQ Official Closing Price, usually as of 4:00 p.m. on the valuation date.

Investments, for which market quotations are not readily available, are fair valued as determined in good faith by Rydex Investments under direction of the Board of Trustees using methods established or ratified by the Board of Trustees. These methods include, but are not limited to: (i) general information as to how these securities and assets trade; (ii) in connection with futures contracts and options thereupon, and other derivative investments, information as to how (a) these contracts and other derivative investments trade in the futures or other derivative markets, respectively, and (b) the securities underlying these contracts and other derivative investments trade in the cash market; and (iii) other information and considerations, including current values in related markets.

B. Securities transactions are recorded on the trade date for financial reporting purposes. Realized gains and losses from securities transactions are recorded using the identified cost basis. Proceeds from lawsuits related to investment holdings are recorded as realized gains in the respective Fund. Dividend income is recorded on the ex-dividend date, net of applicable taxes withheld by foreign countries. Taxable non-cash dividends are recorded as dividend income. Interest income, including amortization of premiums and accretion of discount, is accrued on a daily basis. Distributions received from investments in REITs are recorded as dividend income on the ex-dividend date, subject to reclassification upon notice of the character of such distribution by the issuer.

C. Distributions of net investment income and net realized capital gains, if any, are declared and paid at least annually. Distributions are recorded on the ex-dividend date and are determined in accordance with income tax regulations which may differ from U.S. generally accepted accounting principles.

THE RYDEX SERIES FUNDS ANNUAL REPORT    |    87

NOTES TO FINANCIAL STATEMENTS (continued)

D. The Funds may leave cash overnight in their cash account with the custodian, U.S. Bank. Periodically, a Fund may have cash due to the custodian bank as an overdraft balance. A fee is incurred on this overdraft, calculated by multiplying the overdraft by a rate based on the federal funds rate.

E. Interest and dividend income, most expenses, all realized gains and losses, and all unrealized gains and losses are allocated to the Classes based upon the value of the outstanding shares in each Class. Certain costs, such as distribution fees relating to A-Class shares and service and distribution fees related to Advisor Class shares and C-Class shares, are charged directly to specific Classes. In addition, certain expenses have been allocated to the individual Funds in the Trust on a pro rata basis upon the respective aggregate net assets of each Fund included in the Trust.

F. Throughout the normal course of business, the Funds enter into contracts that contain a variety of representations and warranties which provide general indemnifications. The Funds’ maximum exposure under these arrangements is unknown, as this would involve future claims that may be made against the Funds and/or their affiliates that have not yet occurred. However, based on experience, the Funds expect the risk of loss to be remote.

2.    Fees And Other Transactions With Affiliates

Under the terms of an investment advisory contract, the Trust pays Rydex Investments investment advisory fees calculated at an annualized rate of 0.85% of the average daily net assets of each of the Funds, except the Precious Metals Fund, which is 0.75% of the average daily net assets.

Rydex Investments provides transfer agent and administrative services to the Funds for fees calculated at an annualized rate of 0.25% of the average daily net assets of each Fund.

Rydex Investments also provides accounting services to the Trust for fees calculated at an annualized rate of 0.10% on the first $250 million of the average daily net assets, 0.075% on the next $250 million of the average daily net assets, 0.05% on the next $250 million of the average daily net assets, and 0.03% on the average daily net assets over $750 million of each Fund.

Rydex Investments engages external service providers to perform other necessary services to the Trust, such as accounting and auditing related services, legal services, printing and mailing, etc. on a pass-through basis. Such expenses vary from Fund to Fund and are allocated to the Funds based on relative net assets. Organizational and setup costs for new Funds are paid by the Trust.

The Trust has adopted a Distribution Plan and Shareholder Services Plan applicable to its Advisor Class shares and a Distribution Plan applicable to A-Class shares for which the Distributor and other firms that provide distribution and/or shareholder services (“Service Providers”) may receive compensation. If a Service Provider provides distribution services, the Trust will pay distribution fees to the Distributor at an annual rate not to exceed 0.25% of average daily net assets, pursuant to Rule 12b-1 of the 1940 Act. The Distributor, in turn, will pay the Service Provider out of its fees. The Distributor may, at its discretion, retain a portion of such payments to compensate itself for distribution services. With regard to Advisor Class shares only, if a Service Provider provides shareholder services, the Distributor will receive shareholder servicing fees from the Trust at an annual rate not to exceed 0.25% of average daily net assets. The Distributor, in turn, will pay the Service Provider out of its fees.

The Trust has adopted a separate Distribution and Shareholder Services Plan applicable to its C-Class shares that allows the Funds to pay annual distribution and service fees of 1.00% of the Funds’ C-Class shares average daily net assets. The annual 0.25% service fee compensates the shareholder’s financial advisor for providing on-going services to the shareholder. The annual 0.75% distribution fee reimburses the Distributor for paying the shareholder’s financial advisor an ongoing sales commission. The Distributor advances the first year’s service and distribution fees to the Financial Advisor. The Distributor retains the service and distribution fees on accounts with no authorized dealer of record.

For the year ended March 31, 2009, the Distributor retained sales charges of $688,103 relating to sales of A-Class shares of the Trust.

Certain officers and trustees of the Trust are also officers of Rydex Investments and the Distributor.

88    |    THE RYDEX SERIES FUNDS ANNUAL REPORT

NOTES TO FINANCIAL STATEMENTS (continued)

3.    Federal Income Tax Information

The Funds intend to comply with the provisions of Subchapter M of the Internal Revenue Code applicable to regulated investment companies and will distribute substantially all net investment income and capital gains to shareholders. Therefore no Federal income tax provision has been recorded.

Tax positions taken or expected to be taken in the course of preparing the Funds’ tax returns are evaluated to determine whether the tax positions are “more-likely-than- not” of being sustained by the applicable tax authority. Tax positions not deemed to meet the more-likely- than-not threshold would be recorded as a tax benefit or expense in the current year. Management has analyzed the Funds’ tax positions taken on federal income tax returns for all open tax years (fiscal years 2006 — 2009), and has concluded that no provision for income tax is required in the Funds’ financial statements.

Income and capital gain distributions are determined in accordance with Federal income tax regulations, which may differ from U.S. generally accepted accounting principles. These differences are primarily due to differing treatments for losses deferred due to wash sales, losses deferred due to post-October losses, and excise tax regulations.

Permanent book and tax basis differences, if any, will result in reclassifications. This may include net operating losses not utilized during the current period, capital loss carryforward expired, and the utilization of earnings and profits distributed to the shareholders on redemption of shares as part of the dividends paid deduction for income tax purposes. These reclassifications have no effect on net assets or net asset values per share. Any undistributed ordinary income or long-term capital gain remaining at fiscal year end is distributed in the following year.

The Funds’ tax basis capital gains and losses are determined only at the end of each fiscal year. Tax basis capital losses in excess of capital gains are carried forward to offset future net capital gains. For the year ended March 31, 2009, the following capital losses from previous years expired:

Fund	Amount
Banking Fund	$	20,242,791
Biotechnology Fund		125,804
Consumer Products Fund		5,623,844
Electronics Fund		26,624,901
Financial Services Fund		566,452
Internet Fund		5,922,196
Leisure Fund		2,107,453
Retailing Fund		5,599,963
Transportation Fund		5,149,592

The tax character of distributions paid during the year ended March 31, 2009, was as follows:

	Ordinary		Long-Term		Total
Fund	Income		Capital Gain		Distributions
Banking Fund	$	294,967	$	—	$	294,967
Basic Materials Fund		427,999		—		427,999
Biotechnology Fund		—		—		—
Consumer Products Fund		391,809		—		391,809
Electronics Fund		—		—		—
Energy Fund		—		2,775,532		2,775,532
Energy Services Fund		—		—		—
Financial Services Fund		257,743		—		257,743
Health Care Fund		—		—		—
Internet Fund		51,749		—		51,749
Leisure Fund		—		—		—
Precious Metals Fund		—		—		—
Retailing Fund		—		—		—
Technology Fund		—		—		—
Telecommunications Fund		130,000		—		130,000
Transportation Fund		350		—		350
Utilities Fund		370,000		—		370,000

THE RYDEX SERIES FUNDS ANNUAL REPORT    |    89

NOTES TO FINANCIAL STATEMENTS (continued)

The tax character of distributions paid during the year ended March 31, 2008, was as follows:

	Ordinary		Long-Term		Total
Fund	Income		Capital Gain		Distributions
Banking Fund	$	134,135	$	—	$	134,135
Basic Materials Fund		220,980		—		220,980
Biotechnology Fund		—		—		—
Consumer Products Fund		484,851		—		484,851
Electronics Fund		—		—		—
Energy Fund		45,313		2,886,801		2,932,114
Energy Services Fund		—		—		—
Financial Services Fund		230,593		—		230,593
Health Care Fund		—		—		—
Internet Fund		50,000		—		50,000
Leisure Fund		—		—		—
Precious Metals Fund		—		—		—
Retailing Fund		—		—		—
Technology Fund		—		—		—
Telecommunications Fund		30,530		—		30,530
Transportation Fund		—		—		—
Utilities Fund		800,000		—		800,000

The tax character of distributable earnings/(accumulated losses) at March 31, 2009, was as follows:

	Undistributed		Undistributed		Net Unrealized
	Ordinary		Long-Term		Appreciation/			Capital Loss
Fund	Income		Capital Gain		Depreciation			Carryforward
Banking Fund	$	421,334		$ —	$	(22,043,877	)	$	(12,360,268	)1
Basic Materials Fund		185,137		—		(15,407,705	)		(17,855,592	)1
Biotechnology Fund		—		—		(29,259,386	)		(141,633,245	)1
Consumer Products Fund		502,724		—		(9,057,442	)		(5,582,951	)1
Electronics Fund		—		—		(10,198,165	)		(120,114,372	)1
Energy Fund		—		—		(20,663,323	)		—
Energy Services Fund		—		—		(38,821,088	)		(40,881,690	)1
Financial Services Fund		216,441		—		(28,813,997	)		(20,929,716	)1
Health Care Fund		113,695		—		(20,780,123	)		(12,832,995	)1
Internet Fund		—		—		1,616,588			(30,339,371	)1
Leisure Fund		—		—		(4,151,918	)		(9,521,741	)1
Precious Metals Fund		—		—		3,753,024			(5,026,575	)1
Retailing Fund		—		—		(12,857,859	)		(14,143,546	)1
Technology Fund		—		—		(38,156,501	)		(40,310,275	)1
Telecommunications Fund		129,765		—		(13,461,571	)		(28,158,260	)1
Transportation Fund		64,578		—		(8,780,561	)		(6,925,941	)1
Utilities Fund		441,713		—		(7,104,898	)		(1,315,205	)1

Capital Loss Carryforward amounts may be limited due to Treasury Regulations.

¹ A summary of the expiration of the aforementioned Capital Loss Carryforward is as follows:

																									Total
	Expires in			Expires in			Expires in			Expires in			Expires in			Expires in			Expires in			Expires in			Capital Loss
Fund	2010			2011			2012			2013			2014			2015			2016			2017			Carryforward
Banking Fund	$	(7,330,166	)	$	(2,693,804	)	$	—		$	—		$	(214,478	)	$	—		$	(311,892	)	$	(1,809,928	)	$	(12,360,268	)
Basic Materials Fund		—			(2,474,180	)		—			(2,261,623	)		(451,056	)		—			—			(12,668,733	)		(17,855,592	)
Biotechnology Fund		(46,454,438	)		(41,827,211	)		—			(53,351,596	)		—			—			—			—			(141,633,245	)
Consumer Products Fund		—			(1,405,711	)		—			(290,898	)		(1,252,333	)		—			—			(2,634,009	)		(5,582,951	)
Electronics Fund		(71,114,792	)		(4,632,927	)		(21,975,263	)		(6,480,667	)		(2,395,860	)		(5,495,145	)		(1,900,883	)		(6,118,835	)		(120,114,372	)
Energy Services Fund		(1,755,155	)		(1,565,855	)		(10,710,084	)		—			—			—			—			(26,850,596	)		(40,881,690	)
Financial Services Fund		(16,797,195	)		—			—			—			—			—			—			(4,132,521	)		(20,929,716	)
Health Care Fund		—			(3,106,137	)		—			(2,200,218	)		—			—			—			(7,526,640	)		(12,832,995	)
Internet Fund		(20,245,609	)		(3,187,374	)		(201,036	)		(775,742	)		(1,627,251	)		—			—			(4,302,359	)		(30,339,371	)

90    |    THE RYDEX SERIES FUNDS ANNUAL REPORT

NOTES TO FINANCIAL STATEMENTS (continued)

																							Total
	Expires in			Expires in			Expires in			Expires in			Expires in			Expires in		Expires in		Expires in			Capital Loss
Fund	2010			2011			2012			2013			2014			2015		2016		2017			Carryforward
Leisure Fund	$	(5,084,685	)	$	(1,440,998	)	$	(76,092	)	$	(353,498	)	$	(1,914,441	)		$    —		$    —	$	(652,027	)	$	(9,521,741	)
Precious Metals Fund		—			—			—			(3,940,940	)		—			—		—		(1,085,635	)		(5,026,575	)
Retailing Fund		(8,401,610	)		(1,550,748	)		—			(1,002,219	)		—			—		—		(3,188,969	)		(14,143,546	)
Technology Fund		(1,756,838	)		(24,431,379	)		—			(5,462,751	)		(3,582,117	)		—		—		(5,077,190	)		(40,310,275	)
Telecommunications Fund		(19,165,482	)		(6,628,688	)		—			(618,538	)		—			—		—		(1,745,552	)		(28,158,260	)
Transportation Fund		(1,468,132	)		(2,503,694	)		(1,263,341	)		(894,874	)		—			—		—		(795,900	)		(6,925,941	)
Utilities Fund		—			—			—			—			—			—		—		(1,315,205	)		(1,315,205	)

At March 31, 2009, the cost of securities for Federal income tax purposes, the aggregate gross unrealized gain for all securities for which there was an excess of value over tax cost and the aggregate gross unrealized loss for all securities for which there was an excess of tax cost over value, were as follows:

			Tax		Tax			Net
	Tax		Unrealized		Unrealized			Unrealized
Fund	Cost		Gain		Loss			Gain (Loss)
Banking Fund	$	50,960,319	$	—	$	(22,043,877	)	$	(22,043,877	)
Basic Materials Fund		128,309,233		—		(15,407,705	)		(15,407,705	)
Biotechnology Fund		109,861,306		—		(29,259,386	)		(29,259,386	)
Consumer Products Fund		40,819,479		—		(9,057,442	)		(9,057,442	)
Electronics Fund		122,999,567		—		(10,198,165	)		(10,198,165	)
Energy Fund		94,392,290		—		(20,663,323	)		(20,663,323	)
Energy Services Fund		120,554,344		—		(38,821,088	)		(38,821,088	)
Financial Services Fund		48,591,198		—		(28,813,997	)		(28,813,997	)
Health Care Fund		46,978,689		—		(20,780,123	)		(20,780,123	)
Internet Fund		64,487,094		1,908,258		(291,670	)		1,616,588
Leisure Fund		8,784,341		—		(4,151,918	)		(4,151,918	)
Precious Metals Fund		199,539,715		4,348,071		(595,047	)		3,753,024
Retailing Fund		99,646,060		—		(12,857,859	)		(12,857,859	)
Technology Fund		54,651,609		—		(38,156,501	)		(38,156,501	)
Telecommunications Fund		30,430,584		—		(13,461,571	)		(13,461,571	)
Transportation Fund		33,448,419		—		(8,780,561	)		(8,780,561	)
Utilities Fund		28,887,084		—		(7,104,898	)		(7,104,898	)

Pursuant to Federal income tax regulations applicable to investment companies, the Funds have elected to treat net capital losses realized between November 1 and March 31 of each year as occurring on the first day of the following tax year. For the year ended March 31, 2009, the following amounts of realized net capital losses reflected in the accompanying financial statements will not be recognized for Federal income tax purposes until April 1, 2009:

Fund
Banking Fund	$	(19,433,548	)
Basic Materials Fund		(3,713,663	)
Consumer Products Fund		(3,138,278	)
Electronics Fund		(826,044	)
Energy Fund		(4,511,266	)
Energy Services Fund		(4,235,878	)
Financial Services Fund		(2,728,059	)
Health Care Fund		(7,302,299	)
Internet Fund		(259,373	)
Leisure Fund		(933,271	)
Precious Metals Fund		(9,578,178	)
Retailing Fund		(201,635	)
Technology Fund		(2,669,953	)
Transportation Fund		(14,643,734	)
Utilities Fund		(4,452,119	)

THE RYDEX SERIES FUNDS ANNUAL REPORT    |    91

NOTES TO FINANCIAL STATEMENTS (continued)

4.    Repurchase Agreements

The Funds transfer uninvested cash balances into a single joint account, the daily aggregate balance of which is invested in one or more repurchase agreements collateralized by obligations of the U.S. Treasury and U.S. Government Agencies. The collateral is in the possession of the Funds’ custodian and is evaluated to ensure that its market value exceeds, at a minimum, 102% of the original face amount of the repurchase agreements. Each Fund holds a pro rata share of the collateral based on the dollar amount of the repurchase agreement entered into by each Fund.

The repurchase agreements executed by the joint account and outstanding at March 31, 2009, were as follows:

Counterparty	Terms of Agreement	Face Value		Market Value		Repurchase Price
Credit Suisse Group	0.15% due 04/01/09	$	1,148,344,725	$	1,148,344,725	$	1,148,349,509
				$	1,148,344,725	$	1,148,349,509

At March 31, 2009, the collateral for the repurchase agreements in the joint account was as follows:

		Range
Security Type	Maturity Dates	of Rates		Par Value		Market Value
U.S. Treasury Notes	07/15/10 – 08/15/17		1.13% – 4.75%	$	990,145,000	$	1,082,422,034
U.S. Treasury Bond	02/15/38		4.38%		78,470,000		88,892,208
						$	1,171,314,242

In the event of counterparty default, the Funds have the right to collect the collateral to offset losses incurred. There is potential loss to the Funds in the event the Funds are delayed or prevented from exercising their rights to dispose of the collateral securities, including the risk of a possible decline in the value of the underlying securities during the period while the Funds seek to assert their rights. The Funds’ investment advisor, acting under the supervision of the Board of Trustees, reviews the value of the collateral and the credit worthiness of those banks and dealers with which the Funds enter into repurchase agreements to evaluate potential risks.

5.    Fair Value Measurement

Effective April 1, 2008, the Funds adopted Statement of Financial Accounting Standard No. 157 (“FAS 157”) Fair Value Measurement which provided enhanced guidance for using fair value to measure assets and liabilities. The standard requires companies to provide expanded information about the assets and liabilities measured at fair value and the potential effect of these fair valuations on an entity’s financial performance. The standard does not expand the use of fair value in any new circumstances, but provides clarification on acceptable fair valuation methods and applications.

Various inputs may be used to determine the value of the fund’s investments. These inputs are summarized in three broad levels:

Level 1—quoted prices in active markets for identical securities.

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

Level 3—significant unobservable inputs (including the fund’s own 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 summarizes the inputs used to value the Funds’ net assets at March 31, 2009:

	Level 1		Level 2		Level 3
	Investments		Investments		Investments
Fund	In Securities		In Securities		In Securities		Total
Assets
Banking Fund	$	28,916,442		$    —		$    —	$	28,916,442
Basic Materials Fund		112,901,528		—		—		112,901,528
Biotechnology Fund		80,601,920		—		—		80,601,920
Consumer Products Fund		31,762,037		—		—		31,762,037
Electronics Fund		112,801,402		—		—		112,801,402

92    |    THE RYDEX SERIES FUNDS ANNUAL REPORT

NOTES TO FINANCIAL STATEMENTS (continued)

	Level 1		Level 2		Level 3
	Investments		Investments		Investments
Fund	In Securities		In Securities		In Securities		Total
Energy Fund	$	73,728,967		$    —		$    —	$	73,728,967
Energy Services Fund		81,733,256		—		—		81,733,256
Financial Services Fund		19,777,201		—		—		19,777,201
Health Care Fund		26,198,566		—		—		26,198,566
Internet Fund		66,103,682		—		—		66,103,682
Leisure Fund		4,632,423		—		—		4,632,423
Precious Metals Fund		203,292,739		—		—		203,292,739
Retailing Fund		86,788,201		—		—		86,788,201
Technology Fund		16,495,108		—		—		16,495,108
Telecommunications Fund		16,969,013		—		—		16,969,013
Transportation Fund		24,667,858		—		—		24,667,858
Utilities Fund		21,782,186		—		—		21,782,186

6.    Securities Transactions

For the year ended March 31, 2009, the cost of purchases and proceeds from sales of investment securities, excluding short-term and temporary cash investments, were:

			Basic		Biotech-		Consumer						Energy
	Banking		Materials		nology		Products		Electronics		Energy		Services
	Fund		Fund		Fund		Fund		Fund		Fund		Fund
Purchases	$	212,786,175	$	297,323,843	$	383,229,922	$	172,850,689	$	163,652,101	$	333,737,665	$	314,284,718
Sales	$	171,334,877	$	295,303,204	$	335,930,352	$	148,764,312	$	68,144,907	$	311,784,674	$	269,356,909
	Financial		Health						Precious
	Services		Care		Internet		Leisure		Metals		Retailing		Technology
	Fund		Fund		Fund		Fund		Fund		Fund		Fund
Purchases	$	108,224,688	$	319,653,882	$	119,423,429	$	53,362,817	$	506,503,692	$	132,910,280	$	102,141,493
Sales	$	89,751,540	$	315,427,922	$	62,618,183	$	51,466,199	$	425,608,092	$	52,041,608	$	92,870,686
	Telecom-		Transpor-
	munications		tation		Utilities
	Fund		Fund		Fund
Purchases	$	73,230,723	$	215,779,524	$	221,584,356
Sales	$	67,187,391	$	195,876,263	$	211,188,346

THE RYDEX SERIES FUNDS ANNUAL REPORT    |    93

NOTES TO FINANCIAL STATEMENTS (continued)

7.   Share Transactions

The Trust is authorized to issue an unlimited number of shares (no par value). Transactions in shares for the years presented were:

											��
					Purchased through Dividend
	Shares Purchased				Reinvestment				Shares Redeemed				Net Shares Purchased (Redeemed)
	Year Ended		Year Ended		Year Ended		Year Ended		Year Ended		Year Ended		Year Ended		Year Ended
	March 31,		March 31,		March 31,		March 31,		March 31,		March 31,		March 31,		March 31,
	2009		2008		2009		2008		2009		2008		2009		2008
Banking Fund††
Investor Class		3,722,707		2,184,629		3,228		1,079		(3,089,312)		(2,176,324)		636,623		9,384
Advisor Class		571,322		239,209		1,257		71		(510,400)		(236,473)		62,179		2,807
A-Class		84,436		15,711		598		117		(64,926)		(9,968)		20,109		5,860
C-Class		1,059,129		213,781		1,288		237		(1,038,759)		(195,940)		21,658		18,078
Basic Materials Fund
Investor Class		9,127,408		9,085,830		10,838		3,061		(7,930,992)		(8,324,844)		1,207,254		764,047
Advisor Class		994,073		1,199,375		2,489		438		(1,062,492)		(1,346,702)		(65,930)		(146,889)
A-Class		168,836		291,891		1,362		211		(162,432)		(199,691)		7,766		92,411
C-Class		837,810		1,091,168		2,428		428		(951,361)		(997,507)		(111,123)		94,089
Biotechnology Fund
Investor Class		18,856,315		8,046,628		—		—		(17,675,739)		(8,721,870)		1,180,576		(675,242)
Advisor Class		1,634,146		1,497,669		—		—		(1,475,662)		(1,552,796)		158,484		(55,127)
A-Class		386,231		135,897		—		—		(263,740)		(64,710)		122,491		71,187
C-Class		1,898,970		1,177,345		—		—		(1,856,789)		(1,128,343)		42,181		49,002
Consumer Products Fund
Investor Class		3,583,571		4,016,214		6,620		8,104		(3,272,694)		(4,388,872)		317,497		(364,554)
Advisor Class		2,346,473		1,582,674		5,553		2,801		(2,063,838)		(1,596,552)		288,188		(11,077)
A-Class		278,741		44,328		654		528		(213,127)		(109,674)		66,268		(64,818)
C-Class		333,710		318,383		861		814		(323,576)		(365,011)		10,995		(45,814)
Electronics Fund†
Investor Class		4,789,939		3,400,411		—		—		(1,728,291)		(3,451,761)		3,061,648		(51,350)
Advisor Class		292,504		421,099		—		—		(202,693)		(434,702)		89,811		(13,603)
A-Class		9,216		1,724		—		—		(9,642)		(2,135)		(426)		(411)
C-Class		561,010		566,098		—		—		(566,318)		(594,613)		(5,308)		(28,515)
Energy Fund
Investor Class		17,548,301		10,638,142		128,602		56,372		(16,169,627)		(11,616,824)		1,507,276		(922,310)
Advisor Class		2,038,770		1,762,826		18,613		19,658		(2,384,546)		(1,758,559)		(327,163)		23,925
A-Class		398,810		253,497		13,448		6,179		(294,258)		(164,562)		118,000		95,114
C-Class		3,430,294		2,665,760		30,723		25,217		(3,520,216)		(2,717,401)		(59,199)		(26,424)

94    |    THE RYDEX SERIES FUNDS ANNUAL REPORT

NOTES TO FINANCIAL STATEMENTS (continued)

					Purchased through Dividend
	Shares Purchased				Reinvestment				Shares Redeemed				Net Shares Purchased (Redeemed)
	Year Ended		Year Ended		Year Ended		Year Ended		Year Ended		Year Ended		Year Ended		Year Ended
	March 31,		March 31,		March 31,		March 31,		March 31,		March 31,		March 31,		March 31,
	2009		2008		2009		2008		2009		2008		2009		2008
Energy Services Fund
Investor Class		8,775,734		9,256,758		—		—		(7,819,259)		(9,751,153)		956,475		(494,395)
Advisor Class		943,943		1,168,172		—		—		(935,046)		(1,281,003)		8,897		(112,831)
A-Class		317,255		411,495		—		—		(317,905)		(340,981)		(650)		70,514
C-Class		1,490,462		1,121,336		—		—		(1,634,533)		(1,127,685)		(144,071)		(6,349)
Financial Services Fund††
Investor Class		1,664,110		1,377,633		1,836		835		(1,412,757)		(1,491,865)		253,189		(113,397)
Advisor Class		207,702		139,891		436		177		(164,046)		(242,043)		44,093		(101,975)
A-Class		85,810		51,353		458		91		(37,455)		(45,591)		48,813		5,853
C-Class		196,099		164,572		1,918		419		(193,637)		(175,035)		4,380		(10,044)
Health Care Fund
Investor Class		24,725,615		10,762,494		—		—		(25,027,291)		(11,434,633)		(301,676)		(672,139)
Advisor Class		2,871,976		2,801,976		—		—		(3,237,165)		(3,024,301)		(365,189)		(222,325)
A-Class		358,167		54,923		—		—		(318,270)		(57,339)		39,897		(2,416)
C-Class		2,645,778		2,103,521		—		—		(2,578,198)		(2,283,572)		67,580		(180,051)
Internet Fund
Investor Class		3,890,076		3,124,058		1,373		516		(1,682,056)		(3,145,031)		2,209,393		(20,457)
Advisor Class		1,055,885		734,811		410		246		(950,890)		(719,945)		105,405		15,112
A-Class		17,905		11,469		112		18		(17,578)		(11,875)		439		(388)
C-Class		635,756		405,600		499		261		(656,396)		(387,417)		(20,141)		18,444
Leisure Fund
Investor Class		1,915,104		1,738,265		—		—		(1,750,252)		(1,889,317)		164,852		(151,052)
Advisor Class		594,482		545,887		—		—		(622,399)		(635,902)		(27,917)		(90,015)
A-Class		3,872		5,561		—		—		(8,967)		(62,795)		(5,095)		(57,234)
C-Class		70,789		105,164		—		—		(76,690)		(181,941)		(5,901)		(76,777)
Precious Metals Fund
Investor Class		17,007,559		13,597,521		—		—		(15,683,292)		(14,120,431)		1,324,267		(522,910)
Advisor Class		1,396,240		798,827		—		—		(1,301,925)		(777,799)		94,315		21,028
A-Class		315,577		229,689		—		—		(287,918)		(157,400)		27,659		72,289
C-Class		3,242,716		1,793,782		—		—		(3,168,712)		(1,833,355)		74,004		(39,573)
Retailing Fund
Investor Class		14,799,775		7,136,814		—		—		(5,172,827)		(7,142,396)		9,626,948		(5,582)
Advisor Class		1,401,461		1,192,997		—		—		(1,363,668)		(1,320,740)		37,793		(127,743)
A-Class		32,579		4,451		—		—		(35,733)		(22,806)		(3,154)		(18,355)
C-Class		106,560		400,140		—		—		(99,303)		(474,793)		7,257		(74,653)

THE RYDEX SERIES FUNDS ANNUAL REPORT    |    95

NOTES TO FINANCIAL STATEMENTS (continued)

					Purchased through Dividend
	Shares Purchased				Reinvestment				Shares Redeemed						Net Shares Purchased (Redeemed)
	Year Ended		Year Ended		Year Ended		Year Ended		Year Ended			Year Ended			Year Ended			Year Ended
	March 31,		March 31,		March 31,		March 31,		March 31,			March 31,			March 31,			March 31,
	2009		2008		2009		2008		2009			2008			2009			2008
Technology Fund
Investor Class		9,440,587		10,696,083		—		—		(8,775,376	)		(10,992,938	)		665,211			(296,855	)
Advisor Class		2,209,544		1,437,570		—		—		(2,132,408	)		(1,652,207	)		77,136			(214,637	)
A-Class		375,490		430,423		—		—		(197,310	)		(405,192	)		178,180			25,231
C-Class		1,273,666		1,515,054		—		—		(1,308,503	)		(1,422,849	)		(34,837	)		92,205
Telecommunications Fund
Investor Class		3,494,275		8,701,195		5,639		884		(3,721,765	)		(8,926,630	)		(221,851	)		(224,551	)
Advisor Class		2,331,848		1,541,682		1,776		133		(1,360,680	)		(1,851,468	)		972,944			(309,653	)
A-Class		264,793		125,840		247		92		(158,646	)		(214,571	)		106,394			(88,639	)
C-Class		1,492,819		1,699,854		5,418		373		(1,542,051	)		(1,786,944	)		(43,814	)		(86,717	)
Transportation Fund
Investor Class		9,602,496		6,123,111		14		—		(8,833,289	)		(5,659,770	)		769,221			463,341
Advisor Class		1,334,357		756,857		3		—		(1,467,706	)		(668,223	)		(133,346	)		88,634
A-Class		118,637		8,262		1		—		(86,796	)		(16,170	)		31,842			(7,908	)
C-Class		1,899,130		952,957		1		—		(1,771,642	)		(1,094,116	)		127,489			(141,159	)
Utilities Fund
Investor Class		8,704,325		7,500,882		12,734		12,752		(8,597,645	)		(9,768,940	)		119,414			(2,255,306	)
Advisor Class		1,863,100		1,229,917		1,988		4,441		(1,667,249	)		(1,517,764	)		197,839			(283,406	)
A-Class		113,035		110,391		452		2,116		(145,535	)		(159,322	)		(32,048	)		(46,815	)
C-Class		2,735,626		1,555,870		1,420		3,795		(2,848,230	)		(1,599,189	)		(111,184	)		(39,524	)

†	Share amounts have been restated to reflect a 1:5 reverse share split effective April 20, 2009.
††	Share amounts have been restated to reflect a 1:10 reverse share split effective April 20, 2009.

96    |    THE RYDEX SERIES FUNDS ANNUAL REPORT

NOTES TO FINANCIAL STATEMENTS (concluded)

8.   Portfolio Securities Loaned

For the year ended March 31, 2009, certain Funds lent their securities to approved brokers to earn additional income. Security lending income shown on the statement of operations is net of rebates paid to borrowers and earnings on cash collateral investments shared with the lending agent. As of March 31, 2009, all Funds had ceased participation in securities lending.

9.   New Accounting Pronouncements

In March 2008, the FASB issued FAS 161, “Disclosures about Derivative Instruments and Hedging Activities.” The new requirement is intended to improve disclosures around an entity’s derivatives activity and help investors understand how entities use derivatives, how they are accounted for and how they affect the financial position and operations of that entity. FAS 161 is effective for fiscal years and interim periods beginning after November 15, 2008. Management is evaluating the impact of FAS 161 on its current disclosures.

10.   Subsequent Event

Effective April 20, 2009, the Banking Fund and the Financial Services Fund underwent a 1-for-10 reverse share split and the Electronics Fund underwent a 1-for-5 reverse share split. The effect of these transactions was to divide the number of outstanding shares of the Funds by ten and five, respectively, resulting in a corresponding increase in the net asset value per share. The shares outstanding and net asset value per share on the statements of assets and liabilities as of March 31, 2009, the share transactions presented in Note 7 for each of the two years in the period then ended, and the per share data in the financial highlights for each of the five years in the 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.

THE RYDEX SERIES FUNDS ANNUAL REPORT    |    97

REPORT OF INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM

To the Board of Trustees and Shareholders
of the Rydex Series Funds:

We have audited the accompanying statements of assets and liabilities of the Banking Fund, Basic Materials Fund, Biotechnology Fund, Consumer Products Fund, Electronics Fund, Energy Fund, Energy Services Fund, Financial Services Fund, Health Care Fund, Internet Fund, Leisure Fund, Precious Metals Fund, Retailing Fund, Technology Fund, Telecommunications Fund, Transportation Fund, and Utilities Fund (seventeen of the series constituting the Rydex Series Funds) (the “Funds”), including the schedules of investments, as of March 31, 2009, and the related statements of operations for the year then ended, statements of changes in net assets for each of the two years in the period then ended, and the financial highlights for each of the three years in the period then ended. These financial statements and financial highlights are the responsibility of the Funds’ management. Our responsibility is to express an opinion on these financial statements and financial highlights based on our audits. The financial highlights for each of the periods presented through March 31, 2006 were audited by other auditors, whose report dated May 18, 2006 expressed an unqualified opinion on those financial highlights.

We conducted our audits in accordance with the standards of the Public Company Accounting Oversight Board (United States). Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements and financial highlights are free of material misstatement. We were not engaged to perform an audit of the Funds’ internal control over financial reporting. Our audits included consideration of internal control over financial reporting as a basis for designing audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of the Funds’ internal control over financial reporting. Accordingly, we express no such opinion. An audit also includes examining, on a test basis, evidence supporting the amounts and disclosures in the financial statements and financial highlights, assessing the accounting principles used and significant estimates made by management, and evaluating the overall financial statement presentation. Our procedures included confirmation of securities owned as of March 31, 2009, by correspondence with the custodian and brokers or by other appropriate auditing procedures where replies from brokers were not received. We believe that our audits provide a reasonable basis for our opinion.

In our opinion, the financial statements and financial highlights referred to above present fairly, in all material respects, the financial position of each of the Funds at March 31, 2009, the results of their operations for the year then ended, the changes in their net assets for each of the two years in the period then ended and their financial highlights for each of the three years in the period then ended, in conformity with U.S. generally accepted accounting principles.

McLean, Virginia
May 28, 2009

98    |    THE RYDEX SERIES FUNDS ANNUAL REPORT

OTHER INFORMATION (Unaudited)

Tax Information

This information is being provided as required by the Internal Revenue Code. Amounts shown may differ from those elsewhere in the report because of differences in tax and financial reporting practice.

Of the ordinary income distributions paid during the year, the following funds had the corresponding percentages qualify for the dividends received deduction for corporations:

Fund	% Qualifying
Banking Fund		71.72	%
Basic Materials Fund		100.00	%
Consumer Products Fund		100.00	%
Financial Services Fund		100.00	%
Internet Fund		100.00	%
Telecommunications Fund		88.21	%
Transportation Fund		100.00	%
Utilities Fund		100.00	%

Additionally, the following amounts of ordinary dividends paid during the same period qualified for the lower income tax rate available to individuals under the Jobs and Growth Tax Relief Reconciliation Act of 2003. This information was included in Form 1099-DIV sent to shareholders for the calendar year ended on December 31, 2008. Information for 2009 will be sent to shareholders in January of 2010.

Fund	% Qualifying
Banking Fund		79.22	%
Basic Materials Fund		95.35	%
Internet Fund		100.00	%
Telecommunications Fund		82.73	%
Utilities Fund		100.00	%

With respect to the taxable year ended March 31, 2009, the Funds hereby designate as capital gain dividends the amounts listed below, or, if subsequently determined to be different, the net capital gain of such year:

	Energy Fund
From long-term capital gains, subject to the 15% rate gains category:	$	2,775,532
From long-term capital gains, using proceeds from shareholder redemptions:		2,098,471

Proxy Voting Information

A description of the policies and procedures that the Trust uses to determine how to vote proxies relating to securities held in the Funds’ portfolios is available, without charge and upon request, by calling 1-800-820-0888. This information is also available from the EDGAR database on the SEC’s website at http://www.sec.gov.

Information regarding how the Funds voted proxies relating to portfolio securities during the most recent 12-month period ended June 30 is available without charge, upon request, by calling 1-800-820-0888. This information is also available from the EDGAR database on the SEC’s website at http://www.sec.gov.

Quarterly Portfolio Schedules Information

The Trust files its complete schedule of portfolio holdings with the SEC for the first and third quarters of each fiscal year on Form N-Q; which are available on the SEC’s website at http://www.sec.gov. The Funds’ Forms N-Q may be reviewed and copied at the SEC’s Public Reference Room in Washington, DC, and that information on the operation of the Public Reference Room may be obtained by calling 1-800-SEC-0330. Copies of the portfolio holdings are also available to shareholders, without charge and upon request, by calling 1-800-820-0888.

THE RYDEX SERIES FUNDS ANNUAL REPORT    |    99

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INFORMATION ON BOARD OF TRUSTEES AND OFFICERS (Unaudited)

A Board of Trustees oversees all Rydex Investments, in which its members have no stated term of service, and continue to serve after election until resignation. The Statement of Additional Information includes further information about Fund Trustees and Officers, and can be obtained without charge by calling 1-800-820-0888.

All Trustees and Officers may be reached c/o Rydex Investments, 9601 Blackwell Rd., Suite 500, Rockville, MD 20850.

TRUSTEES AND OFFICERS

	Length of Service
Name, Position and	As Trustee	Number of
Year of Birth	(Year Began)	Funds Overseen
Carl G. Verboncoeur*	Rydex Series Funds – 2004	152
Trustee, President (1952)	Rydex Variable Trust – 2004
	Rydex Dynamic Funds – 2004
	Rydex ETF Trust – 2004

Principal Occupations During Past Five Years: Treasurer of Rydex Specialized Products, LLC (2005 to 2009) Chief Executive Officer of Rydex Specialized Products, LLC (2005 to 2008); Chief Executive Officer of Rydex Investments and Rydex Distributors, Inc. (2003 to 2009)

Michael P. Byrum*	Rydex Series Funds – 2005	152
Trustee, Vice President	Rydex Variable Trust – 2005
(1970)	Rydex Dynamic Funds – 2005
	Rydex ETF Trust – 2005

Principal Occupations During Past Five Years: Chief Investment Officer of Rydex Investments (2003 to present); Secretary of Rydex Specialized Products, LLC (2005 to 2008); Vice President of Rydex Series Funds (1997 to present); Vice President of Rydex Variable Trust (1998 to present); Vice President of Rydex Dynamic Funds (1999 to present); Vice President of Rydex ETF Trust (2002 to present); President and Trustee of Rydex Capital Partners SPhinX Fund (2003 to 2006); President of Rydex Investments (2004 to present)

INDEPENDENT TRUSTEES

	Length of Service
Name, Position and	As Trustee	Number of
Year of Birth	(Year Began)	Funds Overseen
John O. Demaret	Rydex Series Funds – 1997	152
Trustee, Chairman of the	Rydex Variable Trust – 1998
Board (1940)	Rydex Dynamic Funds – 1999
	Rydex ETF Trust – 2003

Principal Occupations During Past Five Years: Retired

Corey A. Colehour	Rydex Series Funds – 1993	152
Trustee (1945)	Rydex Variable Trust – 1998
	Rydex Dynamic Funds – 1999
	Rydex ETF Trust – 2003

Principal Occupations During Past Five Years: Retired (2006 to present); Owner and President of Schield Management Company, registered investment adviser (2005 to 2006); Senior Vice President of Marketing and Co-Owner of Schield Management Company, registered investment adviser (1985 to 2005)

J. Kenneth Dalton	Rydex Series Funds – 1995	152
Trustee (1941)	Rydex Variable Trust – 1998
	Rydex Dynamic Funds – 1999
	Rydex ETF Trust – 2003

Principal Occupations During Past Five Years: Mortgage Banking Consultant and Investor, The Dalton Group

THE RYDEX SERIES FUNDS ANNUAL REPORT    |    101

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

	Length of Service
Name, Position and	As Trustee	Number of
Year of Birth	(Year Began)	Funds Overseen
Werner E. Keller	Rydex Series Funds – 2005	152
Trustee (1940)	Rydex Variable Trust – 2005
	Rydex Dynamic Funds – 2005
	Rydex ETF Trust – 2005

Principal Occupations During Past Five Years: Retired (2001 to present); Chairman, Centurion Capital Management (1991 to 2001)

Thomas F. Lydon, Jr.	Rydex Series Funds – 2005	152
Trustee (1960)	Rydex Variable Trust – 2005
	Rydex Dynamic Funds – 2005
	Rydex ETF Trust – 2005

Principal Occupations During Past Five Years: President, Global Trends Investments

Patrick T. McCarville	Rydex Series Funds – 1997	152
Trustee (1942)	Rydex Variable Trust – 1998
	Rydex Dynamic Funds – 1999
	Rydex ETF Trust – 2003

Principal Occupations During Past Five Years: Founder and Chief Executive Officer, Par Industries, Inc.

Roger Somers	Rydex Series Funds – 1993	152
Trustee (1944)	Rydex Variable Trust – 1998
	Rydex Dynamic Funds – 1999
	Rydex ETF Trust – 2003

Principal Occupations During Past Five Years: Owner, Arrow Limousine

EXECUTIVE OFFICERS

Name, Position and	Principal Occupations
Year of Birth	During Past Five Years
Nick Bonos* Vice President and Treasurer (1963)	Chief Financial Officer of Rydex Specialized Products, LLC (2005 to present); Vice President and Treasurer of Rydex Series Funds, Rydex Variable Trust, Rydex Dynamic Funds, and Rydex ETF Trust (2003 to present); Senior Vice President of Rydex Investments (2003 to present); Vice President and Treasurer of Rydex Capital Partners SPhinX Fund (2003 to 2006)
Joanna M. Haigney* Chief Compliance Officer and Secretary (1966)	Chief Compliance Officer of Rydex Series Funds, Rydex Variable Trust, and Rydex Dynamic Funds (2004 to present); Secretary of Rydex Series Funds, Rydex Variable Trust, and Rydex Dynamic Funds (2000 to present); Secretary of Rydex ETF Trust (2002 to present); Vice President of Compliance of Rydex Investments (2000 to present); Secretary of Rydex Capital Partners SPhinX Fund (2003 to 2006)
Joseph Arruda* Assistant Treasurer (1966)	Assistant Treasurer of Rydex Series Funds, Rydex Variable Trust, Rydex Dynamic Funds, Rydex ETF Trust (2006 to present); Senior Vice President of Rydex Investments (2008 to present); Vice President of Rydex Investments (2004 to 2008); Director of Accounting of Rydex Investments (2003 to 2004)
Paula Billos* Controller (1974)	Controller of Rydex Series Funds, Rydex Variable Trust, Rydex Dynamic Funds, Rydex ETF Trust (2006 to present); Director of Fund Administration of Rydex Investments (2001 to present)

* Officers of the Funds are deemed to be “interested persons” of the Trust, within the meaning of Section 2(a)(19) of the 1940 Act, inasmuch as this person is affiliated with Rydex Investments.

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MARCH 31, 2009

RYDEX SERIES FUNDS ANNUAL REPORT

DOMESTIC EQUITY FUNDS

MULTI-CAP CORE EQUITY FUND

SECTOR ROTATION FUND

ALTERNATIVE INVESTMENT FUNDS

ABSOLUTE RETURN STRATEGIES FUND

ALTERNATIVE STRATEGIES ALLOCATION FUND

COMMODITIES STRATEGY FUND

GLOBAL MARKET NEUTRAL FUND

HEDGED EQUITY FUND

INTERNATIONAL ROTATION FUND

REAL ESTATE FUND

STRENGTHENING DOLLAR 2x STRATEGY FUND

WEAKENING DOLLAR 2x STRATEGY FUND

 
 
 
 

TABLE OF CONTENTS

LETTER TO OUR SHAREHOLDERS   2

A BRIEF NOTE ON THE COMPOUNDING OF RETURNS   4

ABOUT SHAREHOLDERS’ FUND EXPENSES   6

PERFORMANCE REPORTS AND FUND PROFILES   10

SCHEDULES OF INVESTMENTS   31

STATEMENTS OF ASSETS AND LIABILITIES   68

STATEMENTS OF OPERATIONS   70

STATEMENTS OF CHANGES IN NET ASSETS   72

FINANCIAL HIGHLIGHTS   76

NOTES TO FINANCIAL STATEMENTS   80

REPORT OF INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM   94

OTHER INFORMATION   95

INFORMATION ON BOARD OF TRUSTEES AND OFFICERS   101

THE RYDEX SERIES FUNDS ANNUAL REPORT    |    1

LETTER TO OUR SHAREHOLDERS

DEAR SHAREHOLDER:

The best thing anyone can say about 2008 is that it is now history. While superlatives like wild, volatile and unprecedented were thrown around on a daily basis since the crisis broke with full force late in the third quarter, there is sufficient evidence indicating that 2009 may continue to warrant such a characterization.

Investors experienced new stock market lows reminiscent of the 1970s, watched as unemployment crept towards new highs and could only sit back and watch as the value of their homes dropped precipitously. On Wall Street, the news was just as grim. The S&P 500^® Index fell 37% for the calendar year—second only to 1931. Hiding places were nearly non-existent as what turned out to be a globally correlated bear market provided few safe havens for investors, with the exception of U.S. Treasury securities. The market environment also emphasized the need for investors to look beyond traditional assets. Increasingly, we are beginning to see investors start to embrace alternative investments to not only assist in managing portfolio risk, but potentially enhance returns.

Bear Market Environment Continues

Fears of a prolonged bear market continued to weigh heavily on the minds of investors throughout the fall, as the financial sector collapsed on apprehension about inadequate capital reserves. In less than a month, the shape of the entire financial system was changed forever. The Wall Street model of large, aggressive, risk-taking investment banks was completely swept aside as financial titans such as Merrill Lynch & Company, Inc., Morgan Stanley, Goldman Sachs Group, Inc. and Lehman Brothers Holdings, Inc. collapsed, merged with or were reborn as commercial banks. Among other things, September 2008 showed us that the Wall Street formula of highly leveraged balance sheets, coupled with the need to access working capital on a daily basis, proved to be lethal when backed by seemingly worthless assets. In September, we saw a temporary ban on the short-selling of financial stocks and historic government intervention as the U.S. Treasury stepped in to offer temporary money market mutual fund insurance after the Reserve Primary Fund “broke the buck”—causing a massive exodus from money market mutual funds.

As the willingness to lend disappeared, so did Wall Street’s daily lifeline, culminating in what former Federal Reserve Chairman Alan Greenspan called, “A once-in-a-century credit tsunami.” In effectively erasing 13 years of performance gains, the S&P 500 Index bottomed out at 666.79—the lowest level since 1996—before rebounding 20% to end the quarter at 797.87. Yet, for the 12-month period ended 3/31/09, the S&P 500 Index was down 38.09%—similar to the abysmal performance investors endured in the calendar year.

Historic Government Intervention

While the equity markets faltered and the credit markets froze, the government—led by the Federal Reserve, the United States Treasury and the Federal Deposit Insurance Corporation (FDIC)—unveiled a colossal amount of policy initiatives with high hopes of jump-starting the economy. The bet being waged by Federal Reserve Chairman Ben Bernanke and Treasury Secretary Tim Geithner is that unleashing a massive amount of stimulus will keep credit flowing and financial markets functioning. Newly sworn-in government officials committed $12 trillion to programs designed to offset credit and subprime mortgage-related issues that were negatively impacting the financial services industry. This historic government intervention kicked into high gear during the fall when Congress established The Emergency Economic Stabilization Act of 2008 (EESA) in an effort to help strengthen the U.S. economy. Primarily, the act authorized the Troubled Assets Relief Program (TARP), which was originally structured to purchase troubled assets from ailing banks but quickly morphed into an effort to recapitalize the banking industry via the Capital Purchase Plan (CPP). The Financial Stability Plan (FSP) outlined by the U.S. Treasury, mandated new rules for additional transparency and accountability of financial institutions. As an objective of the plan, so-called “stress tests” of financial firms were initiated with an eye toward providing additional

2    |    THE RYDEX SERIES FUNDS ANNUAL REPORT

LETTER TO OUR SHAREHOLDERS (concluded)

capital should the economy worsen. That same week, the U.S. Treasury, in partnership with the Federal Reserve and the FDIC, introduced the Public-Private Investment Fund. The fund, which combines public and private assets, was designed to remove legacy-toxic assets from bank balance sheets.

Dismal Economic Activity

As oil and gas prices fell from highs that topped $147/barrel and more than $4.00/gallon, consumers—who were concerned about job security—stopped spending. Fourth quarter 2008 GDP dropped 5.7% compared to 2007’s activity, putting the brakes on the nation’s engine of economic activity. The manufacturing side of the economy staggered in the face of disappearing demand as witnessed by the big three automakers, who appeared before Congress to ask for taxpayer-funded bailouts simply to stay afloat.

On the employment front, the news was just as grim. According to The Bureau of Labor Statistics, the U.S. unemployment rate hit 8.5% in March (levels not seen since November of 1983) with initial jobless claims jumping to 669,000—the highest recorded level since 1982, according to the Labor Department.

Market Outlook: Moving Forward

So what’s an investor to do? On a positive note, the new administration has rightly made the economy its top priority. In this unprecedented bear market environment, we believe it is more important than ever for investors to keep an eye on their long-term investment goals and utilize this opportunity to rebalance their portfolios and re-assess their risk tolerance. America (and the rest of the world) is experiencing an economic and financial storm many of us haven’t experienced in our lifetimes.

Will the tempest blow over? We can only wait and see. However, I do know this—bubble and bear markets have one commonality: fear. In each one, you’ll hear people say that,”... this time, it’s different...” It’s not. While history cannot predict the future, it suggests that the stock market will eventually revert to its mean.

We appreciate the trust that you have placed in our firm’s quality and integrity by investing with us. It is our goal to continue to offer you a wide variety of investment offerings to help you meet your financial goals.

Sincerely,

Mike Byrum, CFA
President and Chief Investment Officer

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.rydexinvestments.com.

THE RYDEX SERIES FUNDS ANNUAL REPORT    |    3

A BRIEF NOTE ON THE COMPOUNDING OF RETURNS (Unaudited)

Some of the Rydex Funds described in this report are benchmarked daily to leveraged and/or inverse leveraged versions of published indices. To properly evaluate the performance of these funds, it is essential to understand the effect of mathematical compounding on their respective returns.

Because of the nonlinear effects of leverage applied over time, it is possible for a fund to perform in line with its benchmark for several individual periods in a row, yet seem to trail the benchmark over the entire period. It is also possible that a fund that performs in-line with its benchmark on a daily basis may seem to outperform its benchmark over longer periods.

An Example of Compounding

For example, consider a hypothetical fund that is designed to produce returns that correspond to 150% of an index. On the first day of a period, the index rises from a level of 100 to a level of 106, producing a 6.0% gain and an expectation that the fund will rise by 9.0%. On the same day, the fund’s net asset value (“NAV”) increases from $10.00 to $10.90 for a gain of 9.0%–in line with its benchmark.

On day two, assume the index falls from 106 to 99 for a loss of about 6.6%. The fund, as expected, falls 9.9% to a price of $9.82. On each day, the fund performed exactly in line with its benchmark, but for the two-day period, the fund was down 1.8%, while the index was down only 1.0%. Without taking into account the daily compounding of returns, one would expect the fund to lose 1.5% and would see the fund as trailing by 0.3% when in fact it had performed perfectly. This example is summarized in the table below.

	Index		Index		Fund				Fund
	Level		Performance		Expectation		Fund NAV		Performance		Assessment
Start		100					$	10.00
Day 1		106		6.0%		9.0%	$	10.90		9.0%	In line
Day 2		99		-6.6%		-9.9%	$	9.82		-9.9%	In line
Cumulative				-1.0%		-1.5%				-1.8%		-0.3%

As illustrated by this simple example, the effect of leverage can make it difficult to form expectations or judgments about fund performance given only the returns of the unleveraged index.

Because certain funds seek to track the performance of their benchmark on a daily basis, mathematical compounding, especially with respect to those funds that use leverage as part of their investment strategy, may prevent a fund from correlating with the monthly, quarterly, annual or other period performance of its benchmark. Due to the compounding of daily returns, leveraged and inverse funds’ returns over periods other than one day will likely differ in amount and possibly direction from the benchmark return for the same period. Investors should monitor their leveraged and inverse funds’ holdings consistent with their strategies, as frequently as daily. For those funds that consistently apply leverage, the value of the fund’s shares will tend to increase or decrease more than the value of any increase or decrease in its benchmark index. For more on correlation, leverage and other risks, please read the prospectus.

Alternative funds may not be suitable for all investors because of the sophisticated and aggressive investment techniques the funds employ, such as leverage, derivatives and short selling. See a prospectus for additional details on these and other risks.

4    |    THE RYDEX SERIES FUNDS ANNUAL REPORT

A BRIEF NOTE ON THE COMPOUNDING OF RETURNS (Unaudited) (concluded)

In general, any change in direction in an index will produce compounding that seems to work against an investor. Were the index to move in the same direction (either up or down) for two or more periods in a row, the compounding of those returns would work in an investor’s favor, causing the fund to seemingly beat its benchmark.

As a general rule of thumb, more leverage in a fund will magnify the compounding effect, while less leverage will generally produce results that are more in line with expectations. In addition, periods of high volatility in an underlying index will also cause the effects of compounding to be more pronounced, while lower volatility will produce a more muted effect.

THE RYDEX SERIES FUNDS ANNUAL REPORT    |    5

ABOUT SHAREHOLDERS’ FUND EXPENSES (Unaudited)

All mutual funds have operating expenses and it is important for our shareholders to understand the impact of costs on their investments. Shareholders of a Fund incur two types of costs: (i) transaction costs, including sales charges (loads) on purchase payments, reinvested dividends, or other distributions; redemption fees; and exchange fees; and (ii) ongoing costs, including management fees, administrative services, and shareholder reports, among others. These ongoing costs, or operating expenses, are deducted from a fund’s gross income and reduce the investment return of the fund.

A fund’s expenses are expressed as a percentage of its average net assets, which is known as the expense ratio. The following examples are intended to help investors understand the ongoing costs (in dollars) of investing in a Fund and to compare these costs with the ongoing costs of investing in other mutual funds. The examples are based on an investment of $1,000 made at the beginning of the period and held for the entire six-month period beginning September 30, 2008 and ending March 31, 2009.

The following tables illustrate a Fund’s costs in two ways:

Table 1. Based on actual Fund return. This section helps investors estimate the actual expenses paid over the period. The “Ending Account Value” shown is derived from the Fund’s actual return, and the fourth column shows the dollar amount that would have been paid by an investor who started with $1,000 in the Fund. Investors may use the information here, together with the amount invested, to estimate the expenses paid over the period. Simply divide the Fund’s 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 provided under the heading “Expenses Paid During Period.”

Table 2. Based on hypothetical 5% return. This section is intended to help investors compare a Fund’s cost with those of other mutual funds. The table provides information about hypothetical account values and hypothetical expenses based on the Fund’s actual expense ratio and an assumed rate of return of 5% per year before expenses, which is not the Fund’s actual return. The hypothetical account values and expenses may not be used to estimate the actual ending account balance or expenses paid during the period. The example is useful in making comparisons because the U.S. Securities and Exchange Commission (the “SEC”) requires all mutual funds to calculate expenses based on the 5% return. Investors can assess a Fund’s costs by comparing this hypothetical example with the hypothetical examples that appear in shareholder reports of other funds.

Certain retirement plans such as IRA, SEP, Roth IRA and 403(b) accounts are charged an annual $15 maintenance fee. Upon liquidating a retirement account, a $15 account-closing fee will be taken from the proceeds of the redemption.

The calculations illustrated above assume no shares were bought or sold during the period. Actual costs may have been higher or lower, depending on the amount of investment and the timing of any purchases or redemptions.

Note that the expenses shown in the table are meant to highlight and help compare ongoing costs only and do not reflect any transactional costs which may be incurred by a Fund.

More information about a Fund’s expenses, including annual expense ratios for up to the past five years, can be found in the Financial Highlights section of this report. For additional information on operating expenses and other shareholder costs, please refer to the appropriate Fund prospectus.

6    |    THE RYDEX SERIES FUNDS ANNUAL REPORT

ABOUT SHAREHOLDERS’ FUND EXPENSES (Unaudited) (continued)

				Beginning		Ending		Expenses
	Expense			Account Value		Account Value		Paid During
	Ratio		†	September 30, 2008		March 31, 2009		Period		*
Table 1. Based on actual Fund return
Multi-Cap Core Equity Fund
A-Class		1.07%		$	1,000.00	$	662.20	$	4.43
C-Class		1.79%			1,000.00		660.30		7.41
H-Class		1.06%			1,000.00		663.20		4.40
Sector Rotation Fund
A-Class		1.71%			1,000.00		713.60		7.31
C-Class		2.46%			1,000.00		711.10		10.49
H-Class		1.71%			1,000.00		713.70		7.31
Absolute Return Strategies Fund
A-Class		2.22%			1,000.00		846.30		10.22
C-Class		2.98%			1,000.00		843.50		13.70
H-Class		2.22%			1,000.00		846.40		10.22
Alternative Strategies Allocation Fund††
A-Class		0.00%			1,000.00		833.00		—
C-Class		0.75%			1,000.00		829.70		3.42
H-Class		0.00%			1,000.00		832.90		—
Commodities Strategy Fund
A-Class		1.20%			1,000.00		450.80		4.34
C-Class		1.96%			1,000.00		449.20		7.08
H-Class		1.20%			1,000.00		450.90		4.34
Global Market Neutral Fund**
A-Class		2.00%			1,000.00		997.60		0.05
C-Class		1.75%			1,000.00		998.00		0.05
H-Class		2.00%			1,000.00		997.60		0.05
Hedged Equity Fund
A-Class		2.09%			1,000.00		800.80		9.38
C-Class		2.78%			1,000.00		797.50		12.46
H-Class		1.96%			1,000.00		800.40		8.80
International Rotation Fund
A-Class		1.69%			1,000.00		749.50		7.37
C-Class		2.44%			1,000.00		747.10		10.63
H-Class		1.69%			1,000.00		749.70		7.37
Real Estate Fund
A-Class		1.80%			1,000.00		433.40		6.43
C-Class		2.50%			1,000.00		432.00		8.93
H-Class		1.73%			1,000.00		433.00		6.18
Strengthening Dollar 2x Strategy Fund
A-Class		1.72%			1,000.00		1,106.90		9.03
C-Class		2.48%			1,000.00		1,108.90		13.04
H-Class		1.73%			1,000.00		1,103.70		9.07
Weakening Dollar 2x Strategy Fund
A-Class		1.72%			1,000.00		845.40		7.91
C-Class		2.48%			1,000.00		842.50		11.39
H-Class		1.74%			1,000.00		845.30		8.01

THE RYDEX SERIES FUNDS ANNUAL REPORT    |    7

ABOUT SHAREHOLDERS’ FUND EXPENSES (Unaudited) (concluded)

				Beginning		Ending		Expenses
	Expense			Account Value		Account Value		Paid During
	Ratio		†	September 30, 2008		March 31, 2009		Period		*
Table 2. Based on hypothetical 5% return (before expenses)
Multi-Cap Core Equity Fund
A-Class		1.07%		$	1,000.00	$	1,019.60	$	5.39
C-Class		1.79%			1,000.00		1,016.01		9.00
H-Class		1.06%			1,000.00		1,019.65		5.34
Sector Rotation Fund
A-Class		1.71%			1,000.00		1,016.40		8.60
C-Class		2.46%			1,000.00		1,012.67		12.34
H-Class		1.71%			1,000.00		1,016.40		8.60
Absolute Return Strategies Fund
A-Class		2.22%			1,000.00		1,013.86		11.15
C-Class		2.98%			1,000.00		1,010.07		14.93
H-Class		2.22%			1,000.00		1,013.86		11.15
Alternative Strategies Allocation Fund††
A-Class		0.00%			1,000.00		1,024.93		—
C-Class		0.75%			1,000.00		1,021.19		3.78
H-Class		0.00%			1,000.00		1,024.93		—
Commodities Strategy Fund
A-Class		1.20%			1,000.00		1,018.95		6.04
C-Class		1.96%			1,000.00		1,015.16		9.85
H-Class		1.20%			1,000.00		1,018.95		6.04
Global Market Neutral Fund**
A-Class		2.00%			1,000.00		1,014.96		10.05
C-Class		1.75%			1,000.00		1,016.21		8.80
H-Class		2.00%			1,000.00		1,014.96		10.05
Hedged Equity Fund
A-Class		2.09%			1,000.00		1,014.51		10.50
C-Class		2.78%			1,000.00		1,011.07		13.94
H-Class		1.96%			1,000.00		1,015.16		9.85
International Rotation Fund
A-Class		1.69%			1,000.00		1,016.50		8.50
C-Class		2.44%			1,000.00		1,012.76		12.24
H-Class		1.69%			1,000.00		1,016.50		8.50
Real Estate Fund
A-Class		1.80%			1,000.00		1,015.96		9.05
C-Class		2.50%			1,000.00		1,012.47		12.54
H-Class		1.73%			1,000.00		1,016.31		8.70
Strengthening Dollar 2x Strategy Fund
A-Class		1.72%			1,000.00		1,016.36		8.65
C-Class		2.48%			1,000.00		1,012.57		12.44
H-Class		1.73%			1,000.00		1,016.31		8.70
Weakening Dollar 2x Strategy Fund
A-Class		1.72%			1,000.00		1,016.36		8.65
C-Class		2.48%			1,000.00		1,012.57		12.44
H-Class		1.74%			1,000.00		1,016.26		8.75

*	Expenses are equal to the Fund’s annualized expense ratio, multiplied by the average account value over the period, multiplied by the number of days in the most recent fiscal half-year, then divided by the number of days in the current fiscal year.
**	Since the commencement of operations: March 30, 2009. Due to the limited length of Fund operations, current expense ratios may not be indicative of future expense ratios.
†	This ratio represents annualized Total Expenses, which include dividend expense from securities sold short. Excluding short dividend expense, the operating expense ratio would be 0.82%, 0.83%, and 0.82% lower in the A-Class, C-Class and H-Class of the Absolute Return Strategies Fund and 0.68%, 0.63%, and 0.56% lower in the A-Class, C-Class and H-Class of the Hedged Equity Fund, respectively.
††	Does not include expenses of the underlying funds in which the Fund invests.

8    |    THE RYDEX SERIES FUNDS ANNUAL REPORT

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THE RYDEX SERIES FUNDS ANNUAL REPORT    |    9

PERFORMANCE REPORTS AND FUND PROFILES (Unaudited)

MULTI-CAP CORE EQUITY FUND

OBJECTIVE: Seeks long-term capital appreciation.

Inception: September 23, 2002

For the one-year period ended March 31, 2009, the Multi-Cap Core Equity Fund H-Class returned - -40.77% as opposed to the Russell 3000^® Index return of -38.18%, underperforming the index by 2.59%. The Fund allocates its assets generally in equal proportions to the large-, mid- and small-cap size groups. Extreme equity market declines over the past 12 months weighed heavily on this long equity fund. Overweighting in the industrials, materials and health care sectors detracted from the Fund’s performance relative to its benchmark. The Fund’s best-performing holdings for the period included: Delek U.S. Holdings, Inc. (+97%), which contributed 26 basis points to the Fund; Evercore Partners, Inc. (+29%), which contributed 16 basis points to the Fund; and Computer Programs and Systems, Inc., (+73%), which contributed 15 basis points to the Fund. The Fund’s worst-performing holdings for the period included: Bank of America Corp. (-81%), which cost the Fund 77 basis points, General Electric Co. (-70%), which cost the Fund 68 basis points; and Citigroup, Inc. (-83%), which cost the Fund 58 basis points.

Holdings Diversification (Market Exposure as % of Net Assets)

“Holdings Diversification (Market Exposure as % of Net Assets)” excludes any temporary cash investments.

Inception Dates:
A-Class	March 31, 2004
C-Class	September 23, 2002
H-Class	September 23, 2002

Ten Largest Holdings
(% of Total Net Assets)
Exxon Mobil Corp.	2.5	%
Chevron Corp.	1.4	%
Apple, Inc.	1.1	%
Verizon Communications, Inc.	1.0	%
International Business Machines Corp.	1.0	%
Hewlett-Packard Co.	0.9	%
Philip Morris International, Inc.	0.9	%
Abbott Laboratories	0.9	%
Johnson & Johnson, Inc.	0.8	%
AT&T, Inc.	0.8	%
Top Ten Total	11.3	%

“Ten Largest Holdings” exclude any temporary cash or derivative investments.

10    |    THE RYDEX SERIES FUNDS ANNUAL REPORT

PERFORMANCE REPORTS AND FUND PROFILES (Unaudited) (continued)

MULTI-CAP CORE EQUITY FUND

Cumulative Fund Performance

† Initial investment has been adjusted for the maximum sales charge of 4.75%.

AVERAGE ANNUAL TOTAL RETURNS FOR THE PERIOD ENDED 03/31/09

	A-Class												C-Class
	(03/31/04)												(09/23/02)
	ONE			ONE			FIVE			FIVE			ONE			ONE			FIVE			SINCE
	YEAR			YEAR*			YEAR			YEAR*			YEAR			YEAR**			YEAR			INCEPTION
MULTI-CAP CORE EQUITY FUND		-40.85	%		-43.66	%		-7.16	%		-8.06	%		-41.26	%		-41.85	%		-7.85	%		-0.69	%
RUSSELL 3000 INDEX		-38.18	%		-38.18	%		-4.54	%		-4.54	%		-38.18	%		-38.18	%		-4.54	%		1.84	%
																							��
				H-Class
				(09/23/02)
	ONE			FIVE			SINCE
	YEAR			YEAR			INCEPTION
MULTI-CAP CORE EQUITY FUND		-40.77	%		-7.14	%		0.08	%
RUSSELL 3000 INDEX		-38.18	%		-4.54	%		1.84	%

*	Fund returns are calculated using the maximum sales charge of 4.75%.
**	Fund returns include a contingent deferred sales charge (“CDSC”) of 1% if redeemed within 12 months of purchase.

The returns presented above do not reflect the effects of taxes. Past performance is no guarantee of future results. The Russell 3000 Index is an unmanaged stock index and, unlike the Fund, has no management fees or other operating expenses to reduce its reported return. Returns are historical and include changes in principal and reinvested dividends and capital gains. The graphs are based on A-Class shares and H-Class shares only; performance for C-Class shares will vary due to differences in fee structures.

THE RYDEX SERIES FUNDS ANNUAL REPORT    |    11

PERFORMANCE REPORTS AND FUND PROFILES (Unaudited) (continued)

SECTOR ROTATION FUND

OBJECTIVE: Seeks long-term capital appreciation.

Inception: March 22, 2002

For the one-year period ended March 31, 2009, the Sector Rotation Fund H-Class returned -35.88% as opposed to the S&P 500 Index, which ended the year -38.09%. The Fund outperformed the S&P 500 Index by 2.21% during the period. Industry momentum was an effective strategy for the Fund, although equities in general were down significantly for the year, which resulted in the Fund’s poor performance. The Fund had a significant position in materials during the second quarter of the year, which contributed to 130 basis points of outperformance versus the S&P 500 Index. The Fund had minimal exposure to the financials industry for most of the year. Avoiding the capital market, insurance and Real Estate Investment Trust (“REIT”) industries provided the more than 300 basis points of outperformance versus the S&P 500 Index.

Holdings Diversification (Market Exposure as % of Net Assets)

“Holdings Diversification (Market Exposure as % of Net Assets)” excludes any temporary cash investments.

Inception Dates:
A-Class	March 31, 2004
C-Class	March 22, 2002
H-Class	March 22, 2002

Ten Largest Holdings
(% of Total Net Assets)
Amazon.com, Inc.	5.0	%
Wal-Mart Stores, Inc.	2.8	%
Google, Inc. — Class A	2.2	%
International Business Machines Corp.	1.6	%
Cerner Corp.	1.5	%
Priceline.com, Inc.	1.5	%
Expedia, Inc.	1.5	%
Myriad Genetics, Inc.	1.5	%
Intel Corp.	1.5	%
Netflix, Inc.	1.4	%
Top Ten Total	20.5	%

“Ten Largest Holdings” exclude any temporary cash or derivative investments.

12    |    THE RYDEX SERIES FUNDS ANNUAL REPORT

PERFORMANCE REPORTS AND FUND PROFILES (Unaudited) (continued)

SECTOR ROTATION FUND

Cumulative Fund Performance

† Initial investment has been adjusted for the maximum sales charge of 4.75%.

AVERAGE ANNUAL TOTAL RETURNS FOR THE PERIOD ENDED 03/31/09

	A-Class												C-Class
	(03/31/04)												(03/22/02)
	ONE			ONE			FIVE			FIVE			ONE			ONE			FIVE			SINCE
	YEAR			YEAR*			YEAR			YEAR*			YEAR			YEAR**			YEAR			INCEPTION
SECTOR ROTATION FUND		-35.91	%		-38.95	%		-1.98	%		-2.92	%		-36.42	%		-37.06	%		-2.67	%		-1.49	%
S&P 500 INDEX		-38.09	%		-38.09	%		-4.76	%		-4.76	%		-38.09	%		-38.09	%		-4.76	%		-3.20	%
				H-Class
				(03/22/02)
	ONE			FIVE			SINCE
	YEAR			YEAR			INCEPTION
SECTOR ROTATION FUND		-35.88	%		-1.91	%		-0.75	%
S&P 500 INDEX		-38.09	%		-4.76	%		-3.20	%

*	Fund returns are calculated using the maximum sales charge of 4.75%.
**	Fund returns include a CDSC of 1% if redeemed within 12 months of purchase.

The returns presented above do not reflect the effects of taxes. Past performance is no guarantee of future results. The S&P 500 Index is an unmanaged stock index and, unlike the Fund, has no management fees or other operating expenses to reduce its reported return. Returns are historical and include changes in principal and reinvested dividends and capital gains. The graphs are based on A-Class shares and H-Class shares only; performance for C-Class shares will vary due to differences in fee structures.

THE RYDEX SERIES FUNDS ANNUAL REPORT    |    13

PERFORMANCE REPORTS AND FUND PROFILES (Unaudited) (continued)

ABSOLUTE RETURN STRATEGIES FUND

OBJECTIVE: To provide capital appreciation consistent with the return and risk characteristics of the hedge fund universe. The secondary objective is to achieve these returns with low correlation to and less volatility than equity indices.

Inception: September 19, 2005

For the one-year period ended March 31, 2009, the Absolute Return Strategies Fund H-Class returned - -18.17%. The Fund outperformed the Tremont Blue Chip Investable Hedge Fund Index and the HFRX Global Hedge Fund Index for the 12-month period. All of the Fund’s Equity Market Neutral factors (value, growth, momentum, size) contributed positively to the Fund’s returns. In total, the Equity Market Neutral strategy contributed approximately 2% to Fund returns over this period. The Fund’s Merger Arbitrage and Fixed Income Arbitrage strategies were flat for the period. Unfortunately, global equity market declines on the order of 30%–45% during the period impacted the Fund’s long/short strategy. Our long/short strategy, like the typical long/short managers, has a long equity bias. In total, this strategy cost the Fund approximately 12.0% over the 12-month period. The Fund’s Global Macro strategy suffered as commodity prices plummeted from their June 30 historical highs. Short dollar and yen positions also detracted from Fund performance, as investors viewed these currencies as safe harbors. In total, the Global Macro strategy cost the Fund approximately 6.00%.

The Fund’s best-performing holdings for the period included: 10-year Bond, Equity Market Neutral Momentum, Equity Market Neutral Size, Equity Market Neutral Growth, Equity Market Neutral Value and Merger Arbitrage. The worst-performing holdings for the period included: Commodity, European Equities, and Emerging Market Equities.

Holdings Diversification (Market Exposure as % of Net Assets)

“Holdings Diversification (Market Exposure as % of Net Assets)” excludes any temporary cash investments.

Inception Dates:
A-Class	September 19, 2005
C-Class	September 19, 2005
H-Class	September 19, 2005

Ten Largest Long Holdings
(% of Total Net Assets)
iShares S&P GSCI Commodity
Indexed Trust	8.2	%
Embarq Corp.	1.3	%
Rohm & Haas Co.	1.1	%
Pinnacle Financial Partners, Inc.	1.0	%
iShares MSCI Emerging Markets Index Fund	0.6	%
Landry’s Restaurants, Inc.	0.4	%
Liberty All Star Equity Fund	0.4	%
Provident Bankshares Corp.	0.4	%
Centennial Communications Corp.	0.4	%
Eaton Vance Tax-Managed
Buy-Write Income Fund	0.4	%
Top Ten Total	14.2	%

“Ten Largest Long Holdings” exclude any temporary cash or derivative investments.

14    |    THE RYDEX SERIES FUNDS ANNUAL REPORT

PERFORMANCE REPORTS AND FUND PROFILES (Unaudited) (continued)

ABSOLUTE RETURN STRATEGIES FUND

Cumulative Fund Performance

† Initial investment has been adjusted for the maximum sales charge of 4.75%.

AVERAGE ANNUAL TOTAL RETURNS FOR THE PERIOD ENDED 03/31/09

	A-Class												C-Class									H-Class
	(09/19/05)												(09/19/05)									(09/19/05)
	ONE			ONE			SINCE			SINCE			ONE			ONE			SINCE			ONE			SINCE
	YEAR			YEAR*			INCEPTION			INCEPTION*			YEAR			YEAR**			INCEPTION			YEAR			INCEPTION
ABSOLUTE RETURN STRATEGIES FUND		-18.19	%		-22.08	%		-4.34	%		-5.65	%		-18.76	%		-19.57	%		-5.04	%		-18.17	%		-4.31	%
S&P 500 INDEX		-38.09	%		-38.09	%		-9.67	%		-9.67	%		-38.09	%		-38.09	%		-9.67	%		-38.09	%		-9.67	%
HFRX GLOBAL HEDGE FUND INDEX		-20.52	%		-20.52	%		-3.12	%		-3.12	%		-20.52	%		-20.52	%		-3.12	%		-20.52	%		-3.12	%

*	Fund returns are calculated using the maximum sales charge of 4.75%.
**	Fund returns include a CDSC of 1% if redeemed within 12 months of purchase.

The returns presented above do not reflect the effects of taxes. Past performance is no guarantee of future results. The S&P 500 Index and the HFRX Global Hedge Fund Index are unmanaged indices and, unlike the Fund, have no management fees or other operating expenses to reduce their reported returns. Returns are historical and include changes in principal and reinvested dividends and capital gains. The graphs are based on A-Class shares and H-Class shares only; performance for C-Class shares will vary due to differences in fee structures.

THE RYDEX SERIES FUNDS ANNUAL REPORT    |    15

PERFORMANCE REPORTS AND FUND PROFILES (Unaudited) (continued)

ALTERNATIVE STRATEGIES ALLOCATION FUND

OBJECTIVE: To deliver a return that has a low correlation to the returns of traditional stock and bond asset classes as well as provide capital appreciation.

Inception: March 7, 2008

Securities markets across the world plummeted in 2008 as the subprime housing crisis (which had its origins here in the U.S.) led to a global financial panic that tipped the world economy into a recession as the year came to a close. Rydex Alternative Strategies Allocation Fund H-Class returned -20.43% as opposed to the U.S. Treasury Bellwethers: 3 Month Index, which returned 1.31%. Rydex Managed Futures Fund performed the best during this period. Its dynamic long-and-short rules demonstrated the capability in opportunistically capturing trading profits in commodity and financial markets. Rydex Managed Futures Fund is a true alternative strategy fund that delivers returns regardless of traditional market performance. On the opposite side of the spectrum, Rydex Real Estate and Commodities Strategy Funds both performed poorly for the year. Since the market collapse emanated from the housing bubble, Rydex Real Estate Fund was an obvious victim of the housing downturn. Rydex Commodities Strategy Fund initially contributed to the Fund’s performance, but after the summer, as the crisis deepened, it fell fast from its previous peak performance. On March 30, 2009, Rydex Global Market Neutral Fund was added to the portfolio. We believe that this addition will help further diversify the Fund’s holdings and offer another source of steady returns. In the past year, we have also been adding incremental weighting from Rydex Managed Futures Fund, which not only helped contain any losses throughout the year, but also minimized any correlations with the traditional markets.

Holdings Diversification (Market Exposure as % of Net Assets)

“Industry Diversification (Market Exposure as % of Net Assets)” excludes any temporary cash investments.

Inception Dates:
A-Class	March 7, 2008
C-Class	March 7, 2008
H-Class	March 7, 2008

Holdings (% of Total Net Assets)
Rydex Series Funds — Managed
Futures Strategy Fund	31.6	%
Rydex Series Funds — Absolute
Return Strategies Fund	21.5	%
Rydex Series Funds — Global
Market Neutral Fund	18.4	%
PowerShares DB G10 Currency
Harvest Fund	14.4	%
Rydex Series Funds —
Commodities Strategy Fund	4.2	%
Rydex Series Funds — Real
Estate Fund	4.1	%
Grand Total	94.2	%

“Holdings” exclude any temporary cash or derivative investments.

16    |    THE RYDEX SERIES FUNDS ANNUAL REPORT

PERFORMANCE REPORTS AND FUND PROFILES (Unaudited) (continued)

ALTERNATIVE STRATEGIES ALLOCATION FUND

Cumulative Fund Performance

† Initial investment has been adjusted for the maximum sales charge of 4.75%.

AVERAGE ANNUAL TOTAL RETURNS FOR THE PERIOD ENDED 03/31/09

	A-Class												C-Class									H-Class
	(03/07/08)												(03/07/08)									(03/07/08)
	ONE			ONE			SINCE			SINCE			ONE			ONE			SINCE			ONE			SINCE
	YEAR			YEAR*			INCEPTION			INCEPTION*			YEAR			YEAR**			INCEPTION			YEAR			INCEPTION
ALTERNATIVE STRATEGIES
ALLOCATION FUND		-20.39	%		-24.17	%		-19.74	%		-23.34	%		-21.00	%		-21.79	%		-20.36	%		-20.43	%		-19.78	%
S&P 500 INDEX		-38.09	%		-38.09	%		-34.82	%		-34.82	%		-38.09	%		-38.09	%		-34.82	%		-38.09	%		-34.82	%
U.S. TREASURY BELLWETHERS:
3 MONTH INDEX		1.31	%		1.31	%		1.35	%		1.35	%		1.31	%		1.31	%		1.35	%		1.31	%		1.35	%

*	Fund returns are calculated using the maximum sales charge of 4.75%.
**	Fund returns include a CDSC of 1% if redeemed within 12 months of purchase.

The returns presented above do not reflect the effects of taxes. Past performance is no guarantee of future results. The S&P 500 Index and the U.S.Treasury Bellwethers: 3 Month Index are unmanaged indices and, unlike the Fund, have no management fees or other operating expenses to reduce their reported returns. Returns are historical and include changes in principal and reinvested dividends and capital gains. The graphs are based on A-Class shares and H-Class shares only; performance for C-Class shares will vary due to differences in fee structure.

THE RYDEX SERIES FUNDS ANNUAL REPORT    |    17

PERFORMANCE REPORTS AND FUND PROFILES (Unaudited) (continued)

COMMODITIES STRATEGY FUND

OBJECTIVE: Seeks to provide investment results that correlate to the performance of a benchmark for commodities. The Fund’s current benchmark is the S&P Goldman Sachs Commodity Index (“GSCI™”).

Inception: May 25, 2005

For the one-year period ended March 31, 2009, the Commodities Strategy Fund H-Class returned -57.52% as opposed to its benchmark, the S&P GSCI Total Return Index, which ended the year down 56.51%. Demand for commodities declined over the past year as the downturn in the U.S. spread throughout the world. The significant decline in energy prices weighed heavily on the energy-concentrated index. Energy prices (such as oil products and natural gas) declined the most, as the price of oil fell from its peak of $147 per barrel in July 2008 down to a low of $32 per barrel in December 2008. By March 31, 2009, the price of oil had stabilized at $50 per barrel after OPEC announced significant production cuts. The Fund’s best performers were sugar, lean hogs, cocoa, gold and feeder cattle. The Fund’s worst-performing stock holdings included crude oil, brent crude, natural gas, gas oil and heating oil.

Holdings Diversification (Market Exposure as % of Net Assets)

“Holdings Diversification (Market Exposure as % of Net Assets)” excludes any temporary cash investments.

Inception Dates:
A-Class	May 25, 2005
C-Class	May 25, 2005
H-Class	May 25, 2005

The Fund invests principally in exchange traded funds and in derivative instruments such as structured notes, futures contracts, and options on index futures.

18    |    THE RYDEX SERIES FUNDS ANNUAL REPORT

PERFORMANCE REPORTS AND FUND PROFILES (Unaudited) (continued)

COMMODITIES STRATEGY FUND

Cumulative Fund Performance

† Initial investment has been adjusted for the maximum sales charge of 4.75%.

AVERAGE ANNUAL TOTAL RETURNS FOR THE PERIOD ENDED 03/31/09

	A-Class												C-Class									H-Class
	(05/25/05)												(05/25/05)									(05/25/05)
	ONE			ONE			SINCE			SINCE			ONE			ONE			SINCE			ONE			SINCE
	YEAR			YEAR*			INCEPTION			INCEPTION*			YEAR			YEAR**			INCEPTION			YEAR			INCEPTION
COMMODITIES STRATEGY FUND		-57.55	%		-59.58	%		-13.99	%		-15.07	%		-58.03	%		-58.45	%		-14.64	%		-57.52	%		-13.99	%
S&P 500 INDEX		-38.09	%		-38.09	%		-7.96	%		-7.96	%		-38.09	%		-38.09	%		-7.96	%		-38.09	%		-7.96	%
S&P GSCI TOTAL RETURN INDEX		-56.51	%		-56.51	%		-11.69	%		-11.69	%		-56.51	%		-56.51	%		-11.69	%		-56.51	%		-11.69	%

*	Fund returns are calculated using the maximum sales charge of 4.75%.
**	Fund returns include a CDSC of 1% if redeemed within 12 months of purchase.

The returns presented above do not reflect the effects of taxes. Past performance is no guarantee of future results. The S&P 500 Index and the S&P GSCI Total Return Index are unmanaged indices and, unlike the Fund, have no management fees or other operating expenses to reduce their reported returns. Returns are historical and include changes in principal and reinvested dividends and capital gains. The graphs are based on A-Class shares and H-Class shares only; performance for C-Class shares will vary due to differences in fee structure.

THE RYDEX SERIES FUNDS ANNUAL REPORT    |    19

PERFORMANCE REPORTS AND FUND PROFILES (Unaudited) (continued)

GLOBAL MARKET NEUTRAL FUND

OBJECTIVE: Seeks to provide long-term absolute returns regardless of market conditions, while maintaining a low correlation to and mitigating the risks of the global equity market.

Inception: March 30, 2009

Rydex Investments opened the Global Market Neutral Fund at the end of the reporting period. This fund, which began operation on March 30, 2009, attempts to invest in a balanced portfolio of long and short positions and applies a fundamentally driven quantitative approach to stock selection. The fund is sub-advised by Security Global Investors, which has 12 years of experience in employing long/short strategies.

Holdings Diversification (Market Exposure as % of Net Assets)

“Holdings Diversification (Market Exposure as % of Net Assets)” excludes any temporary cash investments.

Inception Dates:
A-Class	March 30, 2009
C-Class	March 30, 2009
H-Class	March 30, 2009

Ten Largest Long Holdings
(% of Total Net Assets)
AFLAC, Inc.	2.1	%
Demag Cranes AG	1.4	%
Cliffs Natural Resources Inc	1.3	%
Owens-Illinois, Inc.	1.3	%
Foundation Coal Holdings, Inc.	1.2	%
Boliden AB	1.2	%
Jarden Corp.	1.1	%
ASM Pacific Technology Ltd.	1.1	%
LHC Group, Inc.	1.1	%
Tandberg ASA	1.1	%
Top Ten Total	12.9	%

“Ten Largest Long Holdings” exclude any temporary cash or derivative investments.

TOTAL RETURNS FOR THE PERIOD ENDED 03/31/09

	A-CLASS				C-CLASS				H-CLASS
	(03/30/09)				(03/30/09)				(03/30/09)
	SINCE		SINCE		SINCE		SINCE		SINCE
	INCEPTION		INCEPTION*		INCEPTION		INCEPTION**		INCEPTION
GLOBAL MARKET NEUTRAL FUND		-0.24%		-4.98%		-0.20%		-1.20%		-0.24%
HFRX U.S. EQUITY MARKET NEUTRAL INDEX		-0.04%		-0.04%		-0.04%		-0.04%		-0.04%

*	Fund returns are calculated using the maximum sales charge of 4.75%.
**	Fund returns include a CDSC of 1% if redeemed within 12 months of purchase.

The returns presented above do not reflect the effects of taxes. Past performance is no guarantee of future results. The HFRX U.S. Equity Market Neutral Index is an unmanaged stock index and, unlike the Fund, has no management fees or other operating expenses to reduce its reported return. Returns are historical and include changes in principal and reinvested dividends and capital gains.

20    |    THE RYDEX SERIES FUNDS ANNUAL REPORT

PERFORMANCE REPORTS AND FUND PROFILES (Unaudited) (continued)

HEDGED EQUITY FUND

OBJECTIVE: To provide capital appreciation consistent with the return and risk characteristics of the long/short hedge fund universe. The secondary objective is to achieve these returns with low correlation to and less volatility than equity indices.

Inception: September 19, 2005

For the one-year period ended March 31, 2009, the Hedged Equity Fund H-Class returned -23.69%. The Fund outperformed the Tremont Blue Chip Long/Short Investable Index, yet trailed the HFRX Equity Hedge Index, which lost 21.11% for the same time period.

Global equity market declines on the order of 30%–45% during the period impacted the Fund’s long/short strategy. Our long/short strategy, like the typical long/short managers, has a long equity bias. All long/short value style—momentum, value, growth, call-writing—performed poorly during the period due to their equity exposure. Our long/short value style exposure helped mitigate overall losses as value strategies tended to outperform during the bear market. However, volatile selling strategies—via covered call writing—harmed Fund performance as market-implied volatility spiked to unprecedented levels.

Holdings Diversification (Market Exposure as % of Net Assets)

“Holdings Diversification (Market Exposure as % of Net Assets)” excludes any temporary cash investments.

Inception Dates:
A-Class	September 19, 2005
C-Class	September 19, 2005
H-Class	September 19, 2005

Ten Largest Long Holdings
(% of Total Net Assets)
iShares MSCI Emerging Markets
Index Fund	4.0	%
Pinnacle Financial Partners, Inc.	1.0	%
Wal-Mart Stores, Inc.	0.5	%
Eaton Vance Tax-Managed
Buy-Write Income Fund	0.4	%
NSTAR	0.4	%
Nuveen Equity Premium
Opportunity Fund	0.4	%
Eaton Vance Tax-Managed
Buy-Write Opportunities Fund	0.4	%
Nuveen Core Equity Alpha Fund	0.4	%
First Trust Enhanced Equity
Income Fund, Inc.	0.4	%
Nuveen Equity Premium and
Growth Fund	0.4	%
Top Ten Total	8.3	%

“Ten Largest Long Holdings” exclude any temporary cash or derivative investments.

THE RYDEX SERIES FUNDS ANNUAL REPORT    |    21

PERFORMANCE REPORTS AND FUND PROFILES (Unaudited) (continued)

HEDGED EQUITY FUND

Cumulative Fund Performance

† Initial investment has been adjusted for the maximum sales charge of 4.75%.

AVERAGE ANNUAL TOTAL RETURNS FOR THE PERIOD ENDED 03/31/09

	A-Class												C-Class									H-Class
	(09/19/05)												(09/19/05)									(09/19/05)
	ONE			ONE			SINCE			SINCE			ONE			ONE			SINCE			ONE			SINCE
	YEAR			YEAR*			INCEPTION			INCEPTION*			YEAR			YEAR**			INCEPTION			YEAR			INCEPTION
HEDGED EQUITY FUND		-23.66	%		-27.29	%		-7.37	%		-8.64	%		-24.26	%		-25.02	%		-8.05	%		-23.69	%		-7.37	%
S&P 500 INDEX		-38.09	%		-38.09	%		-9.67	%		-9.67	%		-38.09	%		-38.09	%		-9.67	%		-38.09	%		-9.67	%
HFRX EQUITY HEDGE INDEX		-21.11	%		-21.11	%		-4.07	%		-4.07	%		-21.11	%		-21.11	%		-4.07	%		-21.11	%		-4.07	%

*	Fund returns are calculated using the maximum sales charge of 4.75%.
**	Fund returns include a CDSC of 1% if redeemed within 12 months of purchase.

The returns presented above do not reflect the effects of taxes. Past performance is no guarantee of future results. The S&P 500 Index and the HFRX Equity Hedge Index are unmanaged indices and, unlike the Fund, have no management fees or other operating expenses to reduce their reported returns. Returns are historical and include changes in principal and reinvested dividends and capital gains. The graphs are based on A-Class shares and H-Class shares only; performance for C-Class shares will vary due to differences in fee structures.

22    |    THE RYDEX SERIES FUNDS ANNUAL REPORT

PERFORMANCE REPORTS AND FUND PROFILES (Unaudited) (continued)

INTERNATIONAL ROTATION FUND

OBJECTIVE: Seeks long-term capital appreciation.

Inception: August 31, 2007

For the one-year period ended March 31, 2009, the International Rotation Fund H-Class returned - -38.63% as opposed to its benchmark, the MSCI World Ex USA Index, which ended the year down 45.99%. The Fund outperformed the MSCI World Ex USA IndexSM by 7.4%. Global equity market declines on the order of 30%–45% caused by a synchronous global downturn in credit availability, consumer consumption and industrial production weighed heavily on all long international equity funds. The dollar strengthened approximately 20% as global investors sought the relative safety of securities issued in the United States, particularly in U.S. treasuries. This contributed to additional currency losses for U.S.–based investors in foreign equity securities. The Fund’s best-performing holdings for the period (on a relative basis) included its long German equity position, which contributed 5.1%; its Long French equity position, which contributed 4.3%; its long Japanese equity position, which contributed 2.8%; its hedged U.K. currency position, which contributed 6.5%; and its hedged Canadian currency position, which contributed 3.3%. The worst-performing holdings (on a relative basis) for the period included: the Fund’s long Canadian equity position, which detracted 7.3%; its long Europe equity position, which detracted 5.1%; and its long U.K. equity position, which detracted 4.0%.

Holdings Diversification (Market Exposure as % of Net Assets)

“Holdings Diversification (Market Exposure as % of Net Assets)” excludes any temporary cash investments.

Inception Dates:
A-Class	August 31, 2007
C-Class	August 31, 2007
H-Class	August 31, 2007

The Fund invests principally in exchange traded funds and derivative investments such as swap agreements, futures contracts and options on currencies.

THE RYDEX SERIES FUNDS ANNUAL REPORT    |    23

PERFORMANCE REPORTS AND FUND PROFILES (Unaudited) (continued)

INTERNATIONAL ROTATION FUND

Cumulative Fund Performance

† Initial investment has been adjusted for the maximum sales charge of 4.75%.

AVERAGE ANNUAL TOTAL RETURNS FOR THE PERIOD ENDED 03/31/09

	A-Class												C-Class									H-Class
	(08/31/07)												(08/31/07)									(08/31/07)
	ONE			ONE			SINCE			SINCE			ONE			ONE			SINCE			ONE			SINCE
	YEAR			YEAR*			INCEPTION			INCEPTION*			YEAR			YEAR**			INCEPTION			YEAR			INCEPTION
INTERNATIONAL ROTATION FUND		-38.64	%		-41.55	%		-29.32	%		-31.47	%		-39.06	%		-39.67	%		-29.80	%		-38.63	%		-29.29	%
S&P 500 INDEX		-38.09	%		-38.09	%		-30.49	%		-30.49	%		-38.09	%		-38.09	%		-30.49	%		-38.09	%		-30.49	%
MSCI WORLD Ex USA INDEX		-45.99	%		-45.99	%		-34.34	%		-34.34	%		-45.99	%		-45.99	%		-34.34	%		-45.99	%		-34.34	%

*	Fund returns are calculated using the maximum sales charge of 4.75%.
**	Fund returns include a CDSC of 1% if redeemed within 12 months of purchase.

The returns presented above do not reflect the effects of taxes. Past performance is no guarantee of future results. The S&P 500 Index and the MSCI World Ex USA Index are unmanaged indices and, unlike the Fund, have no management fees or other operating expenses to reduce their reported returns. Returns are historical and include changes in principal and reinvested dividends and capital gains. The graphs are based on A-Class shares and H-Class shares only; performance for C-Class shares will vary due to differences in fee structures.

24    |    THE RYDEX SERIES FUNDS ANNUAL REPORT

PERFORMANCE REPORTS AND FUND PROFILES (Unaudited) (continued)

REAL ESTATE FUND

OBJECTIVE: Seeks to provide capital appreciation by investing in companies that are involved in the real estate industry including real estate investment trusts (“REITs”).

Inception: February 20, 2004

For the one-year period ended March 31, 2009, the Real Estate Fund H-Class returned -58.01% as opposed to its benchmark, the MSCI U.S. REIT Index, which ended the year down 59.14%. The housing market continued to deteriorate as credit markets froze and property prices experienced double-digit declines. The weakening economy also impacted commercial REITs, as vacancy rates increased and land values declined. The tightening credit market also made financing new developments more difficult throughout the year. Despite the downturn in the commercial real estate industry, there were still bright spots: some of the Fund’s best-performing holdings included: Annaly Capital Management, Inc., MFA Financial, Inc., Capstead Mortgage Corp., Franklin Street Properties Corp., Inc. and American Financial Realty Trust. On the flip side, the worst-performing stocks included, ProLogis, Kimco Realty Corp., Simon Property Group, Inc., Macerich Co. and Vornado Realty Trust.

Holdings Diversification (Market Exposure as % of Net Assets)

“Holdings Diversification (Market Exposure as % of Net Assets)” excludes any temporary cash investments.

Inception Dates:
A-Class	September 1, 2004
C-Class	February 20, 2004
H-Class	February 20, 2004

Ten Largest Holdings
(% of Total Net Assets)
Public Storage	3.4	%
Annaly Capital Management, Inc.	3.1	%
Brookfield Asset
Management, Inc. — Class A	3.1	%
Simon Property Group, Inc.	3.0	%
Plum Creek Timber Co., Inc. (REIT)	2.5	%
Equity Residential	2.3	%
HCP, Inc.	2.2	%
Boston Properties, Inc.	2.2	%
Vornado Realty Trust	2.2	%
AvalonBay Communities, Inc.	2.1	%
Top Ten Total	26.1	%

“Ten Largest Holdings” exclude any temporary cash or derivative investments.

THE RYDEX SERIES FUNDS ANNUAL REPORT    |    25

PERFORMANCE REPORTS AND FUND PROFILES (Unaudited) (continued)

REAL ESTATE FUND

Cumulative Fund Performance

† Initial investment has been adjusted for the maximum sales charge of 4.75%.

AVERAGE ANNUAL TOTAL RETURNS FOR THE PERIOD ENDED 03/31/09

	A-Class												C-Class
	(09/01/04)												(02/20/04)
	ONE			ONE			SINCE			SINCE			ONE			ONE			FIVE			SINCE
	YEAR			YEAR*			INCEPTION			INCEPTION*			YEAR			YEAR**			YEAR			INCEPTION
REAL ESTATE FUND		-58.00	%		-60.00	%		-13.18	%		-14.10	%		-58.28	%		-58.70	%		-12.77	%		-11.42	%
S&P 500 INDEX		-38.09	%		-38.09	%		-4.97	%		-4.97	%		-38.09	%		-38.09	%		-4.76	%		-4.92	%
MSCI U.S. REIT INDEX		-59.14	%		-59.14	%		-10.21	%		-10.21	%		-59.14	%		-59.14	%		-9.09	%		-7.76	%
	H-Class
	(02/20/04)
	ONE			FIVE			SINCE
	YEAR			YEAR			INCEPTION
REAL ESTATE FUND		-58.01	%		-12.15	%		-10.79	%
S&P 500 INDEX		-38.09	%		-4.76	%		-4.92	%
MSCI U.S. REIT INDEX		-59.14	%		-9.09	%		-7.76	%

*	Fund returns are calculated using the maximum sales charge of 4.75%.
**	Fund returns include a CDSC of 1% if redeemed within 12 months of purchase.

The returns presented above do not reflect the effects of taxes. Past performance is no guarantee of future results. The S&P 500 Index and the MSCI U.S. REIT Index are unmanaged stock indices and, unlike the Fund, have no management fees or other operating expenses to reduce their reported returns. Returns are historical and include changes in principal and reinvested dividends and capital gains. The graphs are based on A-Class shares and H-Class shares only; performance for C-Class shares will vary due to differences in fee structures.

26    |    THE RYDEX SERIES FUNDS ANNUAL REPORT

PERFORMANCE REPORTS AND FUND PROFILES (Unaudited) (continued)

STRENGTHENING DOLLAR 2x STRATEGY FUND

OBJECTIVE: To provide investment results that will match the performance of a specific benchmark on a daily basis. The Fund’s current benchmark is 200% of the performance of the U.S. Dollar Index^®.

Inception: May 25, 2005

For the one-year period ended March 31, 2009, the Strengthening Dollar 2x Strategy Fund H-Class returned 30.25% as opposed to its benchmark, the U.S. Dollar Index, which ended the year up 18.98%. The U.S. dollar rose against most currencies over the past year, signaling that it remains the currency of choice for investors in search of safety during turbulent economic times. Investors fled to the safety of the U.S. dollar as the economies around the world slipped into recession. The recession in the U.S. led the trade balance of the payments deficit, which includes both goods and services, to its highest level in almost 10 years. The U.S. dollar rose against five of the six currencies in the U.S. Dollar Index (Euro, British Pound, Canadian Dollar, Swedish Krona and Swiss Franc), and fell against the Japanese Yen.

The apparent discrepancy between the leveraged and unleveraged indices is the result of compounding, which is described briefly on page 4 of this report.

Holdings Diversification (Market Exposure as % of Net Assets)

“Holdings Diversification (Market Exposure as % of Net Assets)” excludes any temporary cash investments.

Inception Dates:
A-Class	May 25, 2005
C-Class	May 25, 2005
H-Class	May 25, 2005

The Fund invests principally in derivative investments such as currency index swap agreements, futures contracts, and options on index futures.

THE RYDEX SERIES FUNDS ANNUAL REPORT    |    27

PERFORMANCE REPORTS AND FUND PROFILES (Unaudited) (continued)

STRENGTHENING DOLLAR 2x STRATEGY FUND

Cumulative Fund Performance

† Initial investment has been adjusted for the maximum sales charge of 4.75%.

AVERAGE ANNUAL TOTAL RETURNS FOR THE PERIOD ENDED 03/31/09

	A-Class												C-Class									H-Class
	(05/25/05)												(05/25/05)									(05/25/05)
	ONE			ONE			SINCE			SINCE			ONE			ONE			SINCE			ONE			SINCE
	YEAR			YEAR*			INCEPTION			INCEPTION*			YEAR			YEAR**			INCEPTION			YEAR			INCEPTION
STRENGTHENING DOLLAR
2X STRATEGY FUND		30.59	%		24.39	%		1.07	%		-0.21	%		30.36	%		29.36	%		0.45	%		30.25	%		0.96	%
U.S. DOLLAR INDEX		18.98	%		18.98	%		-0.28	%		-0.28	%		18.98	%		18.98	%		-0.28	%		18.98	%		-0.28	%

*	Fund returns are calculated using the maximum sales charge of 4.75%.
**	Fund returns include a CDSC of 1% if redeemed within 12 months of purchase.

The returns presented above do not reflect the effects of taxes. Past performance is no guarantee of future results. The U.S. Dollar Index is an unmanaged index and, unlike the Fund, has no management fees or other operating expenses to reduce its reported return. Returns are historical and include changes in principal and reinvested dividends and capital gains. The graphs are based on A-Class shares and H-Class shares only; performance for C-Class shares will vary due to differences in fee structures.

28    |    THE RYDEX SERIES FUNDS ANNUAL REPORT

PERFORMANCE REPORTS AND FUND PROFILES (Unaudited) (continued)

WEAKENING DOLLAR 2x STRATEGY FUND

OBJECTIVE: To provide investment results that will match the performance of a specific benchmark on a daily basis. The Fund’s current benchmark is 200% of the inverse performance of the U.S Dollar Index.

Inception: May 25, 2005

For the one-year period ended March 31, 2009, the Weakening Dollar 2x Strategy Fund H-Class returned -29.86% as opposed to its benchmark, the U.S. Dollar Index, which ended the year up 18.98%. The U.S. dollar rose against most currencies over the past year, signaling that it remains the currency of choice for investors in search of safety during turbulent economic times. Investors fled to the safety of the U.S. dollar as the economies around the world slipped into recession. The recession in the U.S. led the trade balance of the payments deficit, which includes both goods and services, to its highest level in almost 10 years. The U.S. dollar rose against five of the six currencies in the U.S. Dollar Index (Euro, British Pound, Canadian Dollar, Swedish Krona, and Swiss Franc). The U.S. dollar fell against the Japanese Yen.

The apparent discrepancy between the leveraged and unleveraged indices is the result of compounding, which is described briefly on page 4 of this report.

Holdings Diversification (Market Exposure as % of Net Assets)

“Holdings Diversification (Market Exposure as % of Net Assets)” excludes any temporary cash investments.

Inception Dates:
A-Class	May 25, 2005
C-Class	May 25, 2005
H-Class	May 25, 2005

The Fund invests principally in derivative investments such as currency index swap agreements, futures contracts, and options on index futures.

THE RYDEX SERIES FUNDS ANNUAL REPORT    |    29

PERFORMANCE REPORTS AND FUND PROFILES (Unaudited) (concluded)

WEAKENING DOLLAR 2x STRATEGY FUND

Cumulative Fund Performance

† Initial investment has been adjusted for the maximum sales charge of 4.75%.

AVERAGE ANNUAL TOTAL RETURNS FOR THE PERIOD ENDED 03/31/09

	A-Class												C-Class									H-Class
	(05/25/05)												(05/25/05)									(05/25/05)
	ONE			ONE			SINCE			SINCE			ONE			ONE			SINCE			ONE			SINCE
	YEAR			YEAR*			INCEPTION			INCEPTION*			YEAR			YEAR**			INCEPTION			YEAR			INCEPTION
WEAKENING DOLLAR
2X STRATEGY FUND		-29.87	%		-33.20	%		-0.55	%		-1.81	%		-30.37	%		-31.07	%		-1.30	%		-29.86	%		-0.56	%
U.S. DOLLAR INDEX		18.98	%		18.98	%		-0.28	%		-0.28	%		18.98	%		18.98	%		-0.28	%		18.98	%		-0.28	%

*	Fund returns are calculated using the maximum sales charge of 4.75%.
**	Fund returns include a CDSC of 1% if redeemed within 12 months of purchase.

The returns presented above do not reflect the effects of taxes. Past performance is no guarantee of future results. The U.S. Dollar Index is an unmanaged index and, unlike the Fund, has no management fees or other operating expenses to reduce its reported return. Returns are historical and include changes in principal and reinvested dividends and capital gains. The graphs are based on A-Class shares and H-Class shares only; performance for C-Class shares will vary due to differences in fee structures.

30    |    THE RYDEX SERIES FUNDS ANNUAL REPORT

SCHEDULE OF INVESTMENTS

March 31, 2009

     MULTI-CAP CORE EQUITY FUND

			MARKET
	SHARES		VALUE
COMMON STOCKS 98.9%
INFORMATION TECHNOLOGY 16.9%
Apple, Inc.*		1,070	$	112,478
International Business Machines Corp.		1,031		99,894
Hewlett-Packard Co.		2,912		93,359
Microsoft Corp.		4,241		77,907
Corning, Inc.		4,614		61,228
Western Digital Corp.*		2,722		52,643
CA, Inc.		2,853		50,241
FactSet Research Systems Inc.		978		48,890
Automatic Data Processing, Inc.		1,371		48,204
Fidelity National Information Services, Inc.		2,604		47,393
i2 Technologies, Inc.*		5,865		46,334
Linear Technology Corp.		1,921		44,145
Starent Networks Corp.*		2,682		42,402
Affiliated Computer Services, Inc. — Class A*		871		41,712
VistaPrint Ltd.*		1,481		40,713
OSI Systems Inc.*		2,660		40,592
Cisco Systems, Inc.*		2,382		39,946
Black Box Corp.		1,680		39,665
Benchmark Electronics, Inc.*		3,482		38,998
Sohu.com, Inc.*		937		38,707
Computer Sciences Corp.*		1,050		38,682
Ingram Micro, Inc. — Class A*		3,053		38,590
Plexus Corp.*		2,754		38,060
Motorola, Inc.		8,992		38,036
Alliance Data Systems Corp.*		975		36,026
CACI International, Inc. — Class A*		982		35,833
Diebold, Inc.		1,570		33,520
Multi-Fineline Electronix, Inc.*		1,911		32,181
Hughes Communications, Inc.*		2,592		31,182
Juniper Networks, Inc.*		1,961		29,533
Symantec Corp.*		1,946		29,073
CommScope, Inc.*		2,541		28,866
United Online, Inc.		6,389		28,495
Heartland Payment Systems, Inc.		4,106		27,141
Synopsys, Inc.*		1,279		26,514
PC-Tel, Inc.		5,486		23,590
Cogo Group, Inc.*		2,081		13,901
Visa, Inc.		219		12,176
NCR Corp.*		1,391		11,058
Qualcomm, Inc.		260		10,117
Daktronics, Inc.		1,206		7,899
JDS Uniphase Corp.*		811		2,636
Total Information Technology				1,678,560
HEALTH CARE 16.1%
Abbott Laboratories		1,852		88,340
Johnson & Johnson		1,592		83,739
Bristol-Myers Squibb Co.		3,173		69,552

			MARKET
	SHARES		VALUE
Gilead Sciences, Inc.*		1,429	$	66,191
Eli Lilly & Co.		1,722		57,532
Baxter International, Inc.		1,071		54,857
Myriad Genetics, Inc.*		1,200		54,564
Computer Programs & Systems, Inc.		1,561		51,935
Cerner Corp.*		1,173		51,577
Mylan Laboratories, Inc.*		3,754		50,341
Biogen Idec, Inc.*		950		49,799
Medco Health Solutions, Inc.*		1,171		48,409
Becton, Dickinson & Co.		691		46,463
AmerisourceBergen Corp.		1,302		42,523
PDL BioPharma, Inc.		5,959		42,190
Pharmaceutical Product Development, Inc.		1,762		41,795
Gen-Probe, Inc.*		890		40,566
Pfizer, Inc.		2,932		39,934
Techne Corp.		662		36,218
Omnicare, Inc.		1,472		36,049
ResMed, Inc.*		1,008		35,623
Emergency Medical Services Corp. — Class A*		1,131		35,502
Perrigo Co.		1,361		33,794
Cubist Pharmaceuticals, Inc.*		2,039		33,358
Greatbatch, Inc.*		1,651		31,947
RehabCare Group, Inc.*		1,811		31,584
Teleflex, Inc.		760		29,708
WellPoint, Inc.*		771		29,275
Thoratec Corp.*		1,131		29,055
Masimo Corp.*		1,000		28,980
Amedisys, Inc.*		1,031		28,342
Warner Chilcott Ltd.*		2,684		28,236
Bio-Rad Laboratories, Inc. — Class A*		421		27,744
UnitedHealth Group, Inc.		953		19,946
Cardiac Science Corp.*		6,546		19,703
Healthspring, Inc.*		2,341		19,594
Par Pharmaceutical Companies, Inc.*		1,901		18,003
Hill-Rom Holdings, Inc.		1,660		16,417
Merck & Company, Inc.		450		12,038
Amgen, Inc.*		210		10,399
Wyeth		230		9,899
Cardinal Health, Inc.		190		5,981
Caraco Pharm Labs, Inc.*		1,681		5,917
Sun Healthcare Group, Inc.*		40		338
Total Health Care				1,593,957
FINANCIALS 13.6%
Wells Fargo & Co.		4,844		68,978
Bank of America Corp.		8,775		59,845
Annaly Capital Management, Inc.		3,487		48,365
First Horizon National Corp.		4,252		45,662
MFA Mortgage Investments, Inc.		7,693		45,235

See Notes to Financial Statements. THE RYDEX SERIES FUNDS ANNUAL REPORT    |    31

SCHEDULE OF INVESTMENTS (continued)

March 31, 2009

     MULTI-CAP CORE EQUITY FUND

			MARKET
	SHARES		VALUE
Platinum Underwriters Holdings, Ltd.		1,571	$	44,554
Transatlantic Holdings, Inc.		1,183		42,198
Aspen Insurance Holdings Ltd.		1,849		41,528
Senior Housing Properties Trust		2,930		41,079
Agree Realty Corp.		2,581		40,496
Park National Corp.		716		39,917
Ameriprise Financial, Inc.		1,941		39,771
Unitrin, Inc.		2,751		38,459
Axis Capital Holdings Ltd.		1,704		38,408
FNB Corp.		4,961		38,051
AmeriCredit Corp.*		6,446		37,774
Evercore Partners, Inc. — Class A		2,422		37,420
AFLAC, Inc.		1,898		36,745
Health Care REIT, Inc.		1,181		36,127
Getty Realty Corp.		1,739		31,911
Camden Property Trust		1,420		30,644
BB&T Corp.		1,801		30,473
State Auto Financial Corp.		1,722		30,307
Prospect Capital Corp.		3,360		28,627
Hanover Insurance Group, Inc.		970		27,955
Entertainment Properties Trust		1,758		27,706
Diamond Hill Investment Group, Inc.*		701		27,563
Kilroy Realty Corp.		1,531		26,318
IPC Holdings, Ltd.		961		25,985
Assurant, Inc.		1,013		22,063
SunTrust Banks, Inc.		1,806		21,202
Assured Guaranty Ltd.		2,952		19,985
Blackrock, Inc.		150		19,506
Cincinnati Financial Corp.		849		19,417
Weingarten Realty Investors		1,921		18,288
MetLife, Inc.		775		17,647
World Acceptance Corp.*		970		16,587
Post Properties, Inc.		1,595		16,173
Marshall & Ilsley Corp.		2,703		15,218
Anworth Mortgage Asset Corp.		2,468		15,129
W Holding Company, Inc.		1,561		14,189
Safety Insurance Group, Inc.		400		12,432
Omega Healthcare Investors, Inc.		544		7,659
CNA Surety Corp.*		361		6,657
Taubman Centers, Inc.		150		2,556
Prudential Financial, Inc.		100		1,902
First Financial Holdings, Inc.		60		459
Delphi Financial Group, Inc. — Class A		30		404
Hartford Financial Services Group, Inc.		20		157
Total Financials				1,355,731
INDUSTRIALS 13.6%
United Parcel Service, Inc. — Class B		1,320		64,970

			MARKET
	SHARES		VALUE
General Electric Co.		5,411	$	54,705
CH Robinson Worldwide, Inc.		1,150		52,452
Union Pacific Corp.		1,200		49,332
Emerson Electric Co.		1,672		47,786
Lockheed Martin Corp.		691		47,700
URS Corp.*		1,171		47,320
ITT Corporation		1,151		44,279
Northrop Grumman Corp.		1,000		43,640
Fluor Corp.		1,251		43,222
ABM Industries, Inc.		2,571		42,164
Norfolk Southern Corp.		1,220		41,175
Valmont Industries, Inc.		801		40,218
Raytheon Co.		1,031		40,147
Kirby Corp.*		1,492		39,747
Regal-Beloit Corp.		1,230		37,687
Triumph Group, Inc.		971		37,092
EMCOR Group, Inc.*		2,121		36,418
AGCO Corp.*		1,822		35,711
VSE Corp.		1,300		34,710
Timken Co.		2,323		32,429
Knoll, Inc.		5,287		32,409
SkyWest, Inc.		2,550		31,722
Apogee Enterprises, Inc.		2,886		31,688
Dover Corp.		1,181		31,155
Teledyne Technologies, Inc.*		1,055		28,147
Federal Signal Corp.		5,273		27,789
DXP Enterprises, Inc.*		2,633		27,199
Viad Corp.		1,733		24,470
Jacobs Engineering Group, Inc.*		620		23,969
LMI Aerospace, Inc.*		3,243		23,479
TBS International Ltd. — Class A*		3,159		23,219
Goodrich Corp.		560		21,218
Standard Register Co.		4,157		19,039
School Specialty, Inc.*		1,010		17,766
Flowserve Corp.		280		15,714
3M Co.		209		10,392
SPX Corp.		220		10,342
Ampco-Pittsburgh Corp.		729		9,667
General Dynamics Corp.		200		8,318
International Shipholding Corp.		400		7,868
Foster Wheeler AG*		279		4,874
Genco Shipping & Trading Ltd.		330		4,072
Dynamic Materials Corp.		351		3,215
Brink’s Co.		10		265
Total Industrials				1,350,900
ENERGY 10.1%
Exxon Mobil Corp.		3,664		249,518
Chevron Corp.		2,041		137,237
Murphy Oil Corp.		1,197		53,590
Delek U.S. Holdings, Inc.		5,065		52,473
Noble Corp.		1,868		45,000
Diamond Offshore Drilling, Inc.		699		43,939

32    |    THE RYDEX SERIES FUNDS ANNUAL REPORT See Notes to Financial Statements.

SCHEDULE OF INVESTMENTS (continued)

March 31, 2009

     MULTI-CAP CORE EQUITY FUND

			MARKET
	SHARES		VALUE
Nordic American Tanker
Shipping		1,431	$	41,928
World Fuel Services Corp.		1,220		38,589
Valero Energy Corp.		1,852		33,151
Plains Exploration & Production Co.*		1,891		32,582
ConocoPhillips		821		32,150
Tesoro Corp.		2,373		31,964
Chesapeake Energy Corp.		1,609		27,450
ENSCO International, Inc.		919		24,262
Williams Companies, Inc.		2,121		24,137
Massey Energy Co.		2,292		23,195
Frontline Ltd.		1,321		22,972
Peabody Energy Corp.		631		15,800
Knightsbridge Tankers Ltd.		789		11,480
Schlumberger Ltd.		270		10,967
Oil States International, Inc.*		699		9,381
Overseas Shipholding Group, Inc.		390		8,841
Teekay Tankers Ltd.		760		7,228
Petroleum Development Corp.*		440		5,196
Encore Acquisition Co.*		180		4,189
Cimarex Energy Co.		220		4,044
Sunoco, Inc.		108		2,860
Trico Marine Services, Inc.*		1,050		2,205
Penn Virginia Corp.		140		1,537
Occidental Petroleum Corp.		20		1,113
Marathon Oil Corp.		40		1,052
Total Energy				1,000,030
CONSUMER DISCRETIONARY 8.9%
Ross Stores, Inc.		1,464		52,528
Foot Locker, Inc.		4,978		52,170
Carnival Corp.		2,249		48,578
Staples, Inc.		2,621		47,466
P.F. Chang’s China Bistro, Inc.*		2,053		46,973
Jo-Ann Stores, Inc.*		2,832		46,275
Tractor Supply Co.*		1,257		45,327
Petsmart, Inc.		2,143		44,917
Chipotle Mexican Grill, Inc. — Class A*		662		43,944
H&R Block, Inc.		2,392		43,511
Polo Ralph Lauren Corp.		990		41,828
Unifirst Corp.		1,433		39,895
DineEquity, Inc.		3,240		38,426
Core-Mark Holding Company, Inc.*		1,942		35,383
Polaris Industries, Inc.		1,510		32,374
Priceline.com, Inc.*		390		30,724
Darden Restaurants, Inc.		760		26,038
Liberty Global, Inc. — Class A*		1,771		25,786
M/I Homes, Inc.		3,513		24,556
Family Dollar Stores, Inc.		620		20,689
AutoNation, Inc.*		1,440		19,987
Whirlpool Corp.		570		16,866

			MARKET
	SHARES		VALUE
Pinnacle Entertainment, Inc.*		2,189	$	15,411
Tupperware Brands Corp.		530		9,005
ITT Educational Services, Inc.*		70		8,499
Collective Brands, Inc.*		820		7,987
Centex Corp.		880		6,600
Gaylord Entertainment Co.*		660		5,498
Children’s Place Retail Stores, Inc.*		180		3,940
Group 1 Automotive, Inc.		210		2,934
Brookfield Homes Corp.		700		2,415
Fuel Systems Solutions, Inc.*		80		1,078
TJX Companies, Inc.		20		513
Total Consumer Discretionary				888,121
CONSUMER STAPLES 7.5%
Philip Morris International, Inc.		2,560		91,085
Bunge Ltd.		1,040		58,916
Altria Group, Inc.		3,670		58,793
Archer-Daniels-Midland Co.		1,793		49,810
Central Garden and Pet Co. — Class A*		6,211		46,707
Coca-Cola Co.		1,000		43,950
Coca-Cola Bottling Company Consolidated		811		42,213
Kroger Co.		1,982		42,058
Village Super Market		1,330		41,456
PepsiAmericas, Inc.		2,271		39,175
Pantry, Inc.*		2,212		38,953
Susser Holdings Corp.*		2,652		35,643
Zhongpin, Inc.*		3,622		32,163
PepsiCo, Inc.		559		28,777
Cal-Maine Foods, Inc.		1,220		27,316
Nash Finch Co.		890		25,000
Avon Products, Inc.		1,034		19,884
Chiquita Brands International, Inc.*		2,793		18,518
Calavo Growers, Inc.		270		3,245
Total Consumer Staples				743,662
UTILITIES 5.1%
Entergy Corp.		600		40,854
UGI Corp.		1,618		38,201
OGE Energy Corp.		1,601		38,136
DTE Energy Co.		1,369		37,921
CH Energy Group, Inc.		800		37,520
Atmos Energy Corp.		1,620		37,454
NorthWestern Corp.		1,700		36,516
CenterPoint Energy, Inc.		3,304		34,461
NRG Energy, Inc.*		1,931		33,986
PNM Resources, Inc.		4,044		33,403
Vectren Corp.		1,541		32,500
Oneok, Inc.		1,408		31,863
Mirant Corp.*		2,373		27,052
Reliant Energy, Inc.*		7,408		23,632

See Notes to Financial Statements. THE RYDEX SERIES FUNDS ANNUAL REPORT    |    33

SCHEDULE OF INVESTMENTS (concluded)

March 31, 2009

     MULTI-CAP CORE EQUITY FUND

			MARKET
	SHARES		VALUE
SCANA Corp.		278	$	8,587
Avista Corp.		591		8,144
FirstEnergy Corp.		80		3,088
AES Corp.*		10		58
Total Utilities				503,376
MATERIALS 3.7%
Celanese Corp.		2,850		38,105
A. Schulman, Inc.		2,469		33,455
Bway Holding Co.*		4,215		33,256
International Paper Co.		4,278		30,117
Cabot Corp.		2,826		29,701
Greif, Inc. — Class A		830		27,631
Stepan Co.		1,010		27,573
Glatfelter		4,172		26,033
Innophos Holdings, Inc.		2,272		25,628
Steel Dynamics, Inc.		1,980		17,444
AEP Industries, Inc.*		1,120		17,103
Schweitzer-Mauduit International, Inc.		890		16,429
Commercial Metals Co.		969		11,192
Koppers Holdings, Inc.		631		9,162
Eastman Chemical Co.		310		8,308
The Mosaic Co.		180		7,556
Cliffs Natural Resources Inc		220		3,995
Rock-Tenn Co. — Class A		90		2,435
Total Materials				365,123
TELECOMMUNICATION SERVICES 3.4%
Verizon Communications, Inc.		3,394		102,499
AT&T, Inc.		3,203		80,716
Embarq Corp.		1,270		48,069
Syniverse Holdings, Inc.*		2,983		47,012
American Tower Corp. — Class A*		695		21,149
Shenandoah Telecommunications Co.		791		18,035
NII Holdings, Inc. — Class B*		1,130		16,950
Total Telecommunication Services				334,430
WARRANTS 0.0%
CONSUMER DISCRETIONARY 0.0%
Krispy Kreme Doughnuts, Inc.* $12.21, 03/02/12		20		—
Total Consumer Discretionary				—
Total Warrants
(Cost $—)				—
Total Common Stocks
(Cost $10,423,773)				9,813,890

	FACE		MARKET
	AMOUNT		VALUE
REPURCHASE AGREEMENTS† 0.3%
Credit Suisse Group issued 03/31/09 at 0.15% due 04/01/09	$	21,122	$	21,122
Mizuho Financial Group, Inc. issued 03/31/09 at 0.16% due 04/01/09		7,792		7,792
Morgan Stanley issued 03/31/09 at 0.05% due 04/01/09		536		536
Total Repurchase Agreements (Cost $29,450)				29,450
Total Investments 99.2% (Cost $10,453,223)			$	9,843,340
Other Assets in Excess of Liabilities – 0.8%			$	76,094
Net Assets – 100.0%			$	9,919,434

*	Non-Income Producing Security.
†	Repurchase Agreements — See Note 6.
	REIT — Real Estate Investment Trust.

34    |    THE RYDEX SERIES FUNDS ANNUAL REPORT See Notes to Financial Statements.

SCHEDULE OF INVESTMENTS

March 31, 2009

     SECTOR ROTATION FUND

			MARKET
	SHARES		VALUE
COMMON STOCKS 98.6%
HEALTH CARE 24.0%
Cerner Corp.*		58,400	$	2,567,848
Myriad Genetics, Inc.*		54,000		2,455,380
Thermo Fisher Scientific, Inc.*		59,800		2,133,066
IMS Health, Inc.		160,200		1,997,694
Allscripts Healthcare Solutions, Inc.		166,500		1,713,285
Life Technologies Corp.*		42,400		1,377,152
HLTH Corp.*		131,200		1,357,920
Illumina, Inc.*		34,200		1,273,608
MedAssets, Inc.*		84,500		1,204,125
Alexion Pharmaceuticals, Inc.*		31,500		1,186,290
athenahealth, Inc.*		46,600		1,123,526
Waters Corp.*		29,400		1,086,330
Amgen, Inc.*		21,300		1,054,776
Eclipsys Corp.*		101,200		1,026,168
Onyx Pharmaceuticals, Inc.*		35,800		1,022,090
Millipore Corp.*		17,600		1,010,416
Vertex Pharmaceuticals, Inc.*		34,400		988,312
Celgene Corp.*		21,900		972,360
BioMarin Pharmaceuticals, Inc.*		74,900		925,015
Pharmaceutical Product Development, Inc.		38,800		920,336
Techne Corp.		15,200		831,592
Covance, Inc.*		23,100		823,053
Computer Programs & Systems, Inc.		24,500		815,115
Charles River Laboratories
International, Inc.*		29,400		799,974
Biogen Idec, Inc.*		14,700		770,574
Genzyme Corp.*		12,900		766,131
Phase Forward, Inc.*		58,800		752,052
Bio-Rad Laboratories, Inc. — Class A*		11,400		751,260
United Therapeutics Corp.*		10,500		693,945
Bruker BioSciences Corp.*		112,446		692,668
OSI Pharmaceuticals, Inc.*		18,000		688,680
PerkinElmer, Inc.		53,800		687,026
Omnicell, Inc.*		80,233		627,422
Gilead Sciences, Inc.*		13,500		625,320
Cephalon, Inc.*		8,100		551,610
Sequenom, Inc.*		36,700		521,874
Dionex Corp.*		10,800		510,300
Luminex Corp.*		27,500		498,300
Total Health Care				39,802,593
INFORMATION TECHNOLOGY 23.8%
Google, Inc. — Class A*		10,600		3,689,436
International Business Machines Corp.		27,700		2,683,853

				MARKET
		SHARES		VALUE
Intel Corp.			160,000	$	2,408,000
Apple, Inc.*			21,500		2,260,080
Hewlett-Packard Co.			65,700		2,106,342
eBay, Inc.*			141,200		1,773,472
Taiwan Semiconductor
Manufacturing Company Ltd. — SP ADR			197,200		1,764,940
Yahoo!, Inc.*			129,800		1,662,738
Texas Instruments, Inc.			74,400		1,228,344
EMC Corp*			97,700		1,113,780
Applied Materials, Inc.			93,000		999,750
Dell, Inc.*			100,600		953,688
Baidu.com - SP ADR*			5,300		935,980
Broadcom Corp. — Class A*			38,500		769,230
Akamai Technologies, Inc.*			38,900		754,660
VeriSign, Inc.*			39,600		747,252
ASML Holding NV			41,600		728,416
Equinix, Inc.*			11,600		651,340
Marvell Technology Group Ltd.*			70,000		641,200
Analog Devices, Inc.			32,200		620,494
NVIDIA Corp.*			62,100		612,306
Altera Corp.			34,400		603,720
Linear Technology Corp.			26,100		599,778
Xilinx, Inc.			31,200		597,792
IAC/InterActiveCorp*			36,700		558,941
Sun Microsystems, Inc.*			72,700		532,164
Microchip Technology, Inc.			24,900		527,631
MEMC Electronic Materials, Inc.*			31,100		512,839
NetApp, Inc.*			34,500		511,980
Western Digital Corp.*			25,900		500,906
KLA-Tencor Corp.			24,300		486,000
Digital River, Inc.*			16,000		477,120
Sohu.com, Inc.*			11,300		466,803
VistaPrint Ltd.*			16,600		456,334
Omniture, Inc.*			32,700		431,313
j2 Global Communications, Inc.*			19,300		422,477
Seagate Technology			68,600		412,286
Teradata Corp.*			24,000		389,280
SanDisk Corp.*			30,600		387,090
Ariba, Inc.*			40,100		350,073
Diebold, Inc.	��		12,900		275,415
Lexmark International, Inc.*			15,900		268,233
QLogic Corp.*			24,100		267,992
NCR Corp.*			30,300		240,885
Total Information Technology					39,382,353
CONSUMER DISCRETIONARY 22.3%
Amazon.com, Inc.*			113,600		8,342,784
Priceline.com, Inc.*			32,100		2,528,838
Expedia, Inc.*			270,600		2,457,048
Netflix, Inc.*			55,500		2,382,060
H&R Block, Inc.			123,400		2,244,646

See Notes to Financial Statements. THE RYDEX SERIES FUNDS ANNUAL REPORT    |    35

SCHEDULE OF INVESTMENTS (continued)

March 31, 2009

     SECTOR ROTATION FUND

			MARKET
	SHARES		VALUE
Liberty Media Corp - Interactive*		605,300	$	1,755,370
American Public Education, Inc.*		27,900		1,173,474
Apollo Group, Inc. — Class A*		13,600		1,065,288
Blue Nile, Inc.*		34,500		1,040,175
Hillenbrand, Inc.		63,437		1,015,626
Weight Watchers International, Inc.		52,698		977,548
NutriSystem, Inc.		66,900		954,663
PetMed Express, Inc.*		56,800		936,064
DeVry, Inc.		19,300		929,874
Strayer Education, Inc.		4,600		827,402
HSN, Inc.*		155,919		801,424
Sotheby’s		81,700		735,300
Service Corporation International		210,600		734,994
Shutterfly, Inc.*		76,657		718,276
Matthews International Corp. — Class A		24,900		717,369
ITT Educational Services, Inc.*		5,900		716,378
Career Education Corp.*		27,400		656,504
Overstock.com, Inc.*		70,600		645,990
Ticketmaster Entertainment, Inc.*		172,300		635,787
Stamps.com, Inc.*		62,498		606,231
K12 Inc.*		41,305		574,139
Corinthian Colleges, Inc.*		24,500		476,525
Capella Education Co.*		6,400		339,200
Total Consumer Discretionary				36,988,977
MATERIALS 9.9%
BHP Billiton Ltd. — SP ADR		49,100		2,189,860
Rio Tinto PLC — SP ADR		12,400		1,662,344
Cia Vale do Rio Doce — SP ADR		110,500		1,469,650
Goldcorp, Inc.		36,100		1,202,852
ArcelorMittal		59,300		1,188,372
Barrick Gold Corp.		35,100		1,137,942
Freeport-McMoRan Copper & Gold, Inc.		28,700		1,093,757
Newmont Mining Corp.		24,200		1,083,192
Southern Copper Corp.		58,400		1,017,328
AngloGold Ashanti Ltd. — SP ADR		26,000		955,760
Kinross Gold Corp.		45,100		805,937
Nucor Corp.		20,400		778,668
Agnico-Eagle Mines Ltd.		12,700		722,884
Gold Fields Ltd. — SP ADR		57,600		653,184
Alcoa, Inc.		73,400		538,756
Total Materials				16,500,486
CONSUMER STAPLES 9.1%
Wal-Mart Stores, Inc.		88,800		4,626,480
CVS Caremark Corp.		70,600		1,940,794
Walgreen Co.		60,600		1,573,176

			MARKET
	SHARES		VALUE
Costco Wholesale Corp.		28,300	$	1,310,856
Kroger Co.		53,500		1,135,270
Sysco Corp.		47,000		1,071,600
Safeway, Inc.		46,300		934,797
Whole Foods Market, Inc.		28,800		483,840
SUPERVALU, INC.		32,900		469,812
BJ’s Wholesale Club, Inc.*		13,500		431,865
Casey’s General Stores, Inc.		14,400		383,904
Ruddick Corp.		13,200		296,340
United Natural Foods, Inc.*		14,700		278,859
Winn-Dixie Stores, Inc.*		21,100		201,716
Total Consumer Staples				15,139,309
UTILITIES 7.6%
Public Service Enterprise Group, Inc.		47,806		1,408,843
Dominion Resources, Inc.		45,090		1,397,339
PG&E Corp.		35,097		1,341,407
Sempra Energy		27,055		1,251,023
Consolidated Edison, Inc.		29,324		1,161,524
Xcel Energy, Inc.		56,000		1,043,280
Wisconsin Energy Corp.		18,490		761,233
Ameren Corp.		28,949		671,327
DTE Energy Co.		23,773		658,512
SCANA Corp.		20,881		645,014
NSTAR		20,080		640,151
CenterPoint Energy, Inc.		60,096		626,801
Alliant Energy Corp.		21,811		538,514
Integrys Energy Group, Inc.		14,855		386,824
Total Utilities				12,531,792
FINANCIALS 1.9%
Goldman Sachs Group, Inc.		3,500		371,070
Credit Suisse Group AG — SP ADR		10,400		317,096
Bank of New York Mellon Corp.		11,100		313,575
UBS AG — SP ADR*		28,300		266,869
Morgan Stanley		11,000		250,470
Charles Schwab Corp.		15,200		235,600
Blackrock, Inc.		1,600		208,064
State Street Corp.		6,400		196,992
Franklin Resources, Inc.		3,600		193,932
Northern Trust Corp.		3,200		191,424
TD Ameritrade Holding Corp.*		11,400		157,434
T. Rowe Price Group, Inc.		5,300		152,958
Invesco Ltd.		9,100		126,126
Ameriprise Financial, Inc.		5,600		114,744
Eaton Vance Corp.		4,000		91,400
Total Financials				3,187,754
Total Common Stocks
(Cost $161,310,700)				163,533,264

36    |    THE RYDEX SERIES FUNDS ANNUAL REPORT See Notes to Financial Statements.

SCHEDULE OF INVESTMENTS (concluded)

March 31, 2009

     SECTOR ROTATION FUND

	FACE		MARKET
	AMOUNT		VALUE
REPURCHASE AGREEMENTS† 1.2%
Credit Suisse Group issued 03/31/09 at 0.15% due 04/01/09	$	1,368,872	$	1,368,872
Mizuho Financial Group, Inc. issued 03/31/09 at 0.16% due 04/01/09		504,941		504,941
Morgan Stanley issued 03/31/09 at 0.05% due 04/01/09		34,737		34,737
Total Repurchase Agreements (Cost $1,908,550)				1,908,550
Total Investments 99.8% (Cost $163,219,250)			$	165,441,814
Other Assets in Excess of Liabilities – 0.2%			$	355,373
Net Assets – 100.0%			$	165,797,187

*	Non-Income Producing Security.
†	Repurchase Agreements — See Note 6.
	ADR — American Depository Receipt.

See Notes to Financial Statements. THE RYDEX SERIES FUNDS ANNUAL REPORT    |    37

SCHEDULE OF INVESTMENTS

March 31, 2009

     ABSOLUTE RETURN STRATEGIES FUND

			MARKET
	SHARES		VALUE
COMMON STOCKS 16.9%
FINANCIALS 3.3%
Pinnacle Financial Partners, Inc.*		56,676	$	1,343,788
Provident Bankshares Corp.		78,690		554,764
thinkorswim Group, Inc.*		45,450		392,688
Aon Corp.		5,630		229,817
Charles Schwab Corp.		11,700		181,350
Annaly Capital Management, Inc.		12,850		178,229
Plum Creek Timber Company, Inc. (REIT)		6,060		176,164
Allied World Assurance
Company Holdings, Ltd		3,870		147,176
People’s United Financial, Inc.		7,910		142,143
Cullen/Frost Bankers, Inc.		2,000		93,880
Blackrock, Inc.		710		92,328
Capitol Federal Financial		2,370		89,610
HCC Insurance Holdings, Inc.		3,310		83,379
TFS Financial Corp.		6,550		79,452
Alleghany Corp.*		290		78,541
Hudson City Bancorp, Inc.		6,260		73,179
Northern Trust Corp.		1,210		72,382
T. Rowe Price Group, Inc.		2,360		68,110
Federated Investors, Inc. — Class B		2,470		54,982
Eaton Vance Corp.		2,400		54,840
Digital Realty Trust, Inc.		1,580		52,424
Brown & Brown, Inc.		2,740		51,813
Fidelity National Financial, Inc. — Class A		2,160		42,142
Unum Group		2,960		37,000
IntercontinentalExchange, Inc.*		320		23,830
Chubb Corp.		530		22,430
Nasdaq Stock Market, Inc.*		840		16,447
Investment Technology Group, Inc.*		560		14,291
W.R. Berkley Corp.		630		14,207
Arch Capital Group Ltd.*		240		12,926
The St. Joe Co.*		570		9,542
BancorpSouth, Inc.		450		9,378
First Marblehead Corp.*		4,430		5,715
Ambac Financial Group, Inc.		6,180		4,820
Bank of New York Mellon Corp.		90		2,543
Credit Suisse Group AG —
SP ADR		80		2,439
UBS AG — SP ADR*		230		2,169
The PMI Group, Inc.		2,490		1,544
State Street Corp.		50		1,539
Ameriprise Financial, Inc.		50		1,025
Invesco Ltd.		70		970
Total Financials				4,515,996

			MARKET
	SHARES		VALUE
INFORMATION TECHNOLOGY 2.1%
Atmel Corp.*		71,230	$	258,565
SAIC, Inc.*		11,100		207,237
BMC Software, Inc.*§		5,070		167,310
EMC Corp*§		11,740		133,836
Altera Corp.		7,440		130,572
Sohu.com, Inc.*§		3,150		130,126
Oracle Corp.		6,180		111,673
Global Payments, Inc.§		3,180		106,244
Flir Systems, Inc.*§		5,140		105,267
F5 Networks, Inc.*§		4,810		100,769
Affiliated Computer Services, Inc. — Class A*§		2,020		96,738
Qualcomm, Inc.§		2,410		93,773
Compuware Corp.*§		13,210		87,054
MasterCard, Inc.§		490		82,065
Xilinx, Inc.§		3,940		75,490
Linear Technology Corp.§		3,260		74,915
Red Hat, Inc.*§		3,830		68,327
Automatic Data Processing, Inc.		1,840		64,694
Broadcom Corp. — Class A*		3,040		60,739
WebMD Health Corp.*§		2,620		58,426
QLogic Corp.*§		4,890		54,377
Dolby Laboratories, Inc. — Class A*		1,520		51,847
Accenture Ltd. — Class A		1,850		50,856
Hewitt Associates, Inc. — Class A*		1,650		49,104
Apple Computer, Inc.*§		440		46,253
International Business
Machines Corp.§		400		38,756
Broadridge Financial Solutions, Inc.§		1,850		34,429
Microchip Technology, Inc.§		1,510		31,997
Google, Inc. — Class A*		90		31,325
Diebold, Inc.		1,460		31,171
Harris Corp.§		910		26,335
ANSYS, Inc.*§		1,000		25,100
VeriSign, Inc.*		1,300		24,531
Cypress Semiconductor Corp.*§		3,500		23,695
CA, Inc.§		1,280		22,541
Intel Corp.		1,290		19,415
Hewlett-Packard Co.		530		16,992
Taiwan Semiconductor Manufacturing Company Ltd. — SP ADR		1,590		14,231
Metavante Technologies, Inc.*§		690		13,772
NeuStar, Inc.*§		440		7,370
Baidu.com — SP ADR*		40		7,064
ASML Holding NV		340		5,953
Equinix, Inc.*		90		5,054
Analog Devices, Inc.		260		5,010

38    |    THE RYDEX SERIES FUNDS ANNUAL REPORT See Notes to Financial Statements.

SCHEDULE OF INVESTMENTS (continued)

March 31, 2009

     ABSOLUTE RETURN STRATEGIES FUND

			MARKET
	SHARES		VALUE
IAC/InterActiveCorp*		290	$	4,417
Western Digital Corp.*§		210		4,061
Digital River, Inc.*		130		3,877
VistaPrint Ltd.*		130		3,574
Omniture, Inc.*		260		3,429
j2 Global Communications, Inc.*		150		3,284
Ariba, Inc.*		320		2,794
MoneyGram International, Inc.*		2,000		2,360
Total System Services, Inc.		150		2,072
Teradata Corp.*		10		162
Total Information Technology				2,881,028
MATERIALS 2.0%
Rohm & Haas Co.§		18,320		1,444,349
Monsanto Co.§		1,730		143,763
Sonoco Products Co.§		6,060		127,139
Valspar Corp.		5,430		108,437
Praxair, Inc.§		1,560		104,972
Ball Corp.		1,810		78,554
Nova Chemicals Corp.		12,890		74,246
Airgas, Inc.§		2,120		71,677
FMC Corp.§		1,570		67,730
Nucor Corp.§		1,170		44,659
Valhi, Inc.§		4,390		41,178
Scotts Miracle-Gro Co. — Class A		1,170		40,599
Huntsman Corp.§		11,770		36,840
Crown Holdings, Inc.*§		1,320		30,004
Lubrizol Corp.§		860		29,249
Sigma-Aldrich Corp.§		590		22,296
RPM International, Inc.§		1,690		21,514
BHP Billiton Ltd. — SP ADR§		390		17,394
Martin Marietta Materials, Inc.§		200		15,860
Rio Tinto PLC — SP ADR§		100		13,406
Reliance Steel & Aluminum Co.§		450		11,849
The Mosaic Co.§		280		11,754
Cia Vale do Rio Doce — SP ADR§		880		11,704
Louisiana-Pacific Corp.§		4,900		10,927
PPG Industries, Inc.§		280		10,332
Schnitzer Steel Industries, Inc. — Class A§		310		9,731
Goldcorp, Inc.§		290		9,663
ArcelorMittal§		470		9,419
Barrick Gold Corp.§		280		9,078
Newmont Mining Corp.		190		8,504
Southern Copper Corp.§		470		8,187
AngloGold Ashanti Ltd. — SP ADR§		210		7,720
Kinross Gold Corp.§		360		6,433
Agnico-Eagle Mines Ltd.§		100		5,692

			MARKET
	SHARES		VALUE
Gold Fields Ltd. — SP ADR§		460	$	5,216
Greif, Inc. — Class A§		90		2,996
Sealed Air Corp.§		170		2,346
Total Materials				2,675,417
TELECOMMUNICATION SERVICES 1.9%
Embarq Corp.§		45,250		1,712,712
Centennial Communications Corp.*§		65,260		539,048
Verizon Communications, Inc.§		5,390		162,778
MetroPCS Communications, Inc.*§		6,150		105,042
SBA Communications Corp.*		2,340		54,522
Total Telecommunication Services				2,574,102
CONSUMER DISCRETIONARY 1.8%
Landry’s Restaurants, Inc.*§		116,617		608,741
Amazon.com, Inc.*§		2,560		188,006
DeVry, Inc.§		3,190		153,694
McDonald’s Corp.§		2,700		147,339
TJX Companies, Inc.§		4,090		104,868
AutoZone, Inc.*§		630		102,451
Burger King Holdings, Inc.§		4,370		100,291
Foot Locker, Inc.§		7,840		82,163
Panera Bread Co. — Class A*§		1,360		76,024
Ross Stores, Inc.§		1,900		68,172
ITT Educational Services, Inc.*§		510		61,924
Apollo Group, Inc. — Class A*§		790		61,881
Big Lots, Inc.*§		2,690		55,898
Hasbro, Inc.§		2,170		54,402
Strayer Education, Inc.§		280		50,364
Priceline.com, Inc.*§		600		47,268
GameStop Corp. — Class A*§		1,650		46,233
Dollar Tree, Inc.*§		770		34,303
Darden Restaurants, Inc.§		930		31,862
Family Dollar Stores, Inc.§		840		28,031
Yum! Brands, Inc.		1,010		27,755
Discovery Communications, Inc. — Class A*§		1,660		26,593
Nike, Inc. — Class B		520		24,383
Advance Auto Parts, Inc.		480		19,718
Expedia, Inc.*§		2,160		19,613
Netflix, Inc.*§		440		18,885
H&R Block, Inc.		990		18,008
Career Education Corp.*		630		15,095
Petsmart, Inc.§		720		15,091
Guess?, Inc.§		640		13,491
NVR, Inc.*		30		12,833
BorgWarner, Inc.§		560		11,368
Sherwin-Williams Co.§		190		9,874
American Public Education, Inc.*		220		9,253
Blue Nile, Inc.*§		280		8,442
Urban Outfitters, Inc.*§		510		8,349
Hillenbrand, Inc.		510		8,165

See Notes to Financial Statements. THE RYDEX SERIES FUNDS ANNUAL REPORT    |    39

SCHEDULE OF INVESTMENTS (continued)

March 31, 2009

     ABSOLUTE RETURN STRATEGIES FUND

			MARKET
	SHARES		VALUE
Weight Watchers International, Inc.§		420	$	7,791
NutriSystem, Inc.§		530		7,563
PetMed Express, Inc.*§		450		7,416
Time Warner Cable, Inc.		286		7,098
Scientific Games Corp. — Class A*		560		6,782
HSN, Inc.*§		1,250		6,425
Toll Brothers, Inc.*		350		6,356
Service Corporation International§		1,680		5,863
Sotheby’s§		650		5,850
Matthews International Corp. — Class A§		200		5,762
Shutterfly, Inc.*		610		5,716
Overstock.com, Inc.*§		560		5,124
Ticketmaster Entertainment, Inc.*§		1,380		5,092
Stamps.com, Inc.*§		500		4,850
K12 Inc.*§		330		4,587
Corinthian Colleges, Inc.*§		200		3,890
Capella Education Co.*§		50		2,650
Autoliv, Inc.§		10		186
Total Consumer Discretionary				2,469,832
HEALTH CARE 1.5%
Wyeth§		9,918		426,871
Schering-Plough Corp.		12,181		286,863
Baxter International, Inc.§		4,230		216,661
Techne Corp.§		2,640		144,434
Cephalon, Inc.*		1,810		123,261
Gilead Sciences, Inc.*		2,290		106,073
Vertex Pharmaceuticals, Inc.*§		3,230		92,798
Edwards Lifesciences Corp.*		1,340		81,244
Illumina, Inc.*		1,590		59,212
Abraxis BioScience, Inc.*§		1,210		57,693
Omnicare, Inc.§		2,280		55,837
Mylan Laboratories, Inc.*		4,120		55,249
Medco Health Solutions, Inc.*§		1,280		52,915
Express Scripts, Inc.*§		1,080		49,864
Amgen, Inc.*		860		42,587
Thermo Fisher Scientific, Inc.*§		910		32,460
HLTH Corp.*		2,670		27,634
Cerner Corp.*		470		20,666
Myriad Genetics, Inc.*§		440		20,007
Allscripts Healthcare Solutions, Inc.		1,340		13,789
MedAssets, Inc.*		680		9,690
Alexion Pharmaceuticals, Inc.*§		250		9,415
athenahealth, Inc.*		380		9,162
Biogen Idec, Inc.*§		170		8,911
Eclipsys Corp.*		820		8,315
Onyx Pharmaceuticals, Inc.*§		290		8,279

			MARKET
	SHARES		VALUE
Phase Forward, Inc.*		630	$	8,058
Millipore Corp.*§		140		8,037
Celgene Corp.*§		180		7,992
Covance, Inc.*§		190		6,770
Computer Programs & Systems, Inc.		200		6,654
United Therapeutics Corp.*§		90		5,948
Genzyme Corp.*		100		5,939
Bio-Rad Laboratories, Inc. — Class A*		90		5,931
OSI Pharmaceuticals, Inc.*		150		5,739
Bruker BioSciences Corp.*		900		5,544
Omnicell, Inc.*		650		5,083
Dionex Corp.*		90		4,252
Sequenom, Inc.*		290		4,124
Luminex Corp.*		220		3,986
Covidien Ltd.		80		2,659
Warner Chilcott Ltd.*§		110		1,157
Pharmaceutical Product Development, Inc.		40		949
Total Health Care				2,108,712
INDUSTRIALS 1.5%
Stericycle, Inc.*§		4,850		231,490
W.W. Grainger, Inc.§		2,530		177,555
Dun & Bradstreet Corp.		2,130		164,010
CH Robinson Worldwide, Inc.§		3,350		152,793
Burlington Northern Santa Fe Corp.§		2,050		123,307
Norfolk Southern Corp.§		3,340		112,725
Quanta Services, Inc.*§		5,200		111,540
Waste Management, Inc.§		3,170		81,152
Aecom Technology Corp.*		3,010		78,501
URS Corp.*§		1,880		75,971
Fastenal Co.		2,160		69,455
J.B. Hunt Transport Services, Inc.§		2,570		61,963
First Solar, Inc.*§		390		51,753
Copart, Inc.*§		1,660		49,236
Republic Services, Inc.§		2,650		45,447
Landstar System, Inc.		1,220		40,833
IHS Inc.*		990		40,768
Union Pacific Corp.§		960		39,466
MSC Industrial Direct Co.§		1,260		39,148
Valmont Industries, Inc.§		760		38,160
AMETEK, Inc.§		1,180		36,899
Lennox International, Inc.§		1,320		34,927
Gardner Denver, Inc.*§		1,540		33,480
CSX Corp.§		1,140		29,469
Roper Industries, Inc.		650		27,592
Flowserve Corp.§		430		24,132
Copa Holdings SA§		750		21,502
Pentair, Inc.§		990		21,453
Covanta Holding Corp.*§		1,460		19,111
FTI Consulting, Inc.*		370		18,308

40    |    THE RYDEX SERIES FUNDS ANNUAL REPORT See Notes to Financial Statements.

SCHEDULE OF INVESTMENTS (continued)

March 31, 2009

     ABSOLUTE RETURN STRATEGIES FUND

			MARKET
	SHARES		VALUE
Precision Castparts Corp.§		270	$	16,173
UTI Worldwide, Inc.		1,130		13,504
GATX Corp.§		590		11,936
Fluor Corp.§		330		11,402
Owens Corning, Inc.*		480		4,339
Foster Wheeler AG*§		50		874
Total Industrials				2,110,374
ENERGY 1.3%
Petro-Canada		17,390		462,226
Range Resources Corp.		2,720		111,955
Exxon Mobil Corp.		1,600		108,960
Hess Corp.		1,640		88,888
Chevron Corp.		1,200		80,688
PetroHawk Energy Corp.*		3,660		70,382
FMC Technologies, Inc.*		2,240		70,269
SEACOR Holdings, Inc.*		1,200		69,972
Helmerich & Payne, Inc.		2,720		61,934
Continental Resources, Inc.*		2,810		59,600
Tidewater, Inc.		1,420		52,725
Southwestern Energy Co.*		1,650		48,988
Noble Energy, Inc.		800		43,104
Encore Acquisition Co.*		1,810		42,119
Cameron International Corp.*		1,870		41,009
Alpha Natural Resources, Inc.*		2,290		40,648
Occidental Petroleum Corp.		720		40,068
Apache Corp.		600		38,454
Dresser-Rand Group, Inc.*		1,480		32,708
CNX Gas Corp.*		1,320		31,297
EOG Resources, Inc.		480		26,285
Transocean Ltd.*§		400		23,536
Cheniere Energy, Inc.*		4,180		17,807
Murphy Oil Corp.		290		12,983
Sunoco, Inc.		490		12,975
Frontline Ltd.		600		10,434
XTO Energy, Inc.		310		9,492
Oceaneering International, Inc.*		200		7,374
Cabot Oil & Gas Corp.		280		6,600
Diamond Offshore Drilling, Inc.		70		4,400
National-Oilwell Varco, Inc.*		110		3,158
ENSCO International, Inc.		90		2,376
Consol Energy, Inc.		50		1,262
Total Energy				1,734,676
CONSUMER STAPLES 0.8%
Wal-Mart Stores, Inc.§		5,950		309,995
General Mills, Inc.		4,060		202,513
Hershey Co.		4,760		165,410
Campbell Soup Co.		2,970		81,259
Coca-Cola Co.§		1,480		65,046
Dean Foods Co.*		3,270		59,122
J.M. Smucker Co.§		1,170		43,606
Costco Wholesale Corp.§		790		36,593
Church & Dwight Company, Inc.§		550		28,726

			MARKET
	SHARES		VALUE
CVS Caremark Corp.§		560	$	15,394
Kroger Co.§		430		9,125
Sysco Corp.		380		8,664
BJ’s Wholesale Club, Inc.*§		110		3,519
Casey’s General Stores, Inc.§		110		2,933
Ruddick Corp.§		110		2,469
United Natural Foods, Inc.*§		120		2,276
Winn-Dixie Stores, Inc.*§		170		1,625
Total Consumer Staples				1,038,275
UTILITIES 0.7%
NSTAR§		9,040		288,195
Southern Co.§		7,470		228,731
PG&E Corp.§		4,300		164,346
Aqua America, Inc.		4,460		89,200
UGI Corp.§		3,080		72,719
Xcel Energy, Inc.		1,650		30,740
Public Service Enterprise Group, Inc.§		380		11,199
Dominion Resources, Inc.§		360		11,156
Sempra Energy§		220		10,173
Consolidated Edison, Inc.		230		9,110
Wisconsin Energy Corp.		150		6,176
DTE Energy Co.§		190		5,263
SCANA Corp.§		170		5,251
CenterPoint Energy, Inc.		480		5,006
Total Utilities				937,265
Total Common Stocks
(Cost $23,615,064)				23,045,677
CONVERTIBLE PREFERRED STOCK 0.0%
HEALTH CARE 0.0%
Inverness Medical Innovations, Inc.*		407		68,042
Total Health Care				68,042
Total Convertible Preferred Stock
(Cost $108,536)				68,042
EXCHANGE TRADED FUNDS 11.8%
iShares S&P GSCI Commodity
Indexed Trust*§		443,719		11,172,844
iShares MSCI Emerging Markets Index Fund§		34,110		846,269
Liberty All Star Equity Fund§		189,540		555,352
Eaton Vance Tax-Managed Buy-Write Income Fund§		47,100		535,527
Nuveen Equity Premium Opportunity Fund§		52,280		530,642
Eaton Vance Tax-Managed Buy-Write Opportunities Fund§		50,230		529,927
Nuveen Core Equity Alpha Fund§		63,020		526,847

See Notes to Financial Statements. THE RYDEX SERIES FUNDS ANNUAL REPORT    |    41

SCHEDULE OF INVESTMENTS (continued)

March 31, 2009

     ABSOLUTE RETURN STRATEGIES FUND

			MARKET
	SHARES		VALUE
First Trust Enhanced Equity
Income Fund, Inc.§		66,950	$	523,549
Nuveen Equity Premium and
Growth Fund§		54,290		521,184
Vanguard Emerging Markets ETF§		20,650		487,340
Total Exchange Traded Funds
(Cost $18,377,960)				16,229,481
		FACE
		AMOUNT
REPURCHASE AGREEMENTS† 55.7%
Credit Suisse Group
issued 03/31/09 at 0.15%
due 04/01/09	$	54,742,227		54,742,227
Mizuho Financial Group, Inc.
issued 03/31/09 at 0.16% due 04/01/09		20,193,003		20,193,003
Morgan Stanley
issued 03/31/09 at 0.05% due 04/01/09		1,389,150		1,389,150
Total Repurchase Agreements
(Cost $76,324,380)				76,324,380
Total Long Securities 84.4%
(Cost $118,425,940)			$	115,667,580
		SHARES
COMMON STOCKS SOLD SHORT (11.9)%
MATERIALS (0.4)%
Chemtura Corp.		35,060		(1,665	)
Eastman Chemical Co.		200		(5,360	)
Temple-Inland, Inc.		2,220		(11,922	)
Cabot Corp.		1,270		(13,348	)
United States Steel Corp.		640		(13,523	)
Carpenter Technology Corp.		1,230		(17,368	)
Celanese Corp.		1,360		(18,183	)
Century Aluminum Co.*		8,630		(18,209	)
AK Steel Holding Corp.		2,610		(18,583	)
Titanium Metals Corp.		3,920		(21,442	)
Alcoa, Inc.		2,990		(21,947	)
Freeport-McMoRan Copper & Gold, Inc.		640		(24,390	)
Dow Chemical Co.		2,920		(24,616	)
Ashland, Inc.		2,390		(24,689	)
International Paper Co.		3,530		(24,851	)
Cytec Industries, Inc.		1,770		(26,585	)
Eagle Materials, Inc.		1,420		(34,435	)
Pactiv Corp.*		6,320		(92,209	)
Westlake Chemical Corp.		11,170		(163,417	)
Total Materials				(576,742	)
CONSUMER DISCRETIONARY (0.9)%
Harte-Hanks, Inc.		510		(2,729	)
CarMax, Inc.*		420		(5,225	)

			MARKET
	SHARES		VALUE
Coldwater Creek, Inc.*		2,440	$	(6,125	)
Lowe’s Companies, Inc.		340		(6,205	)
KB Home		490		(6,458	)
Jarden Corp.*		530		(6,715	)
JC Penney Co., Inc.		350		(7,025	)
DR Horton, Inc.		820		(7,954	)
Centex Corp.		1,160		(8,700	)
Hanesbrands*		920		(8,805	)
Ryland Group, Inc.		590		(9,829	)
Sears Holding Corp.*		230		(10,513	)
Warner Music Group Corp.*		4,780		(11,233	)
Lamar Advertising Co. — Class A*		1,160		(11,310	)
Jones Apparel Group, Inc.		2,750		(11,605	)
Federal-Mogul Corp.*		1,860		(12,425	)
Harley-Davidson, Inc.		980		(13,122	)
Starwood Hotels & Resorts Worldwide, Inc.		1,080		(13,716	)
New York Times Co. — Class A		3,140		(14,193	)
Lennar Corp. — Class A		1,930		(14,494	)
WABCO Holdings, Inc.		1,280		(15,757	)
DISH Network Corp. — Class A*		1,510		(16,776	)
Saks, Inc.*		9,080		(16,980	)
Whirlpool Corp.		580		(17,162	)
Virgin Media, Inc.		3,590		(17,232	)
Newell Rubbermaid, Inc.		2,790		(17,800	)
TRW Automotive Holdings Corp.*		5,770		(18,579	)
Chico’s FAS, Inc.*		3,530		(18,956	)
CBS Corp.		4,960		(19,046	)
OfficeMax, Inc.		6,120		(19,094	)
News Corp. - Class A		2,910		(19,264	)
E.W. Scripps Co. — Class A		14,350		(19,373	)
CTC Media, Inc.*		4,610		(21,022	)
Office Depot, Inc.*		16,090		(21,078	)
Liz Claiborne, Inc.		8,590		(21,217	)
Wyndham Worldwide Corp.		5,180		(21,756	)
Liberty Media Corp. - Interactive*		7,590		(22,011	)
Las Vegas Sands Corp.*		7,330		(22,063	)
Central European Media Enterprises Ltd. — Class A*		1,970		(22,576	)
International Game Technology		2,470		(22,773	)
Gannett Co., Inc.		10,800		(23,760	)
Orient-Express Hotels Ltd. — Class A		5,860		(24,026	)
Penn National Gaming Inc.*		1,020		(24,633	)
Goodyear Tire & Rubber Co.*		3,980		(24,915	)
Eastman Kodak Co.		6,630		(25,194	)
AnnTaylor Stores Corp.*		5,090		(26,468	)
Harman International Industries, Inc.		1,990		(26,925	)
Royal Caribbean Cruises Ltd.		3,400		(27,234	)
Hearst-Argyle Television, Inc.		6,560		(27,290	)

42    |    THE RYDEX SERIES FUNDS ANNUAL REPORT See Notes to Financial Statements.

SCHEDULE OF INVESTMENTS (continued)

March 31, 2009

     ABSOLUTE RETURN STRATEGIES FUND

			MARKET
	SHARES		VALUE
Clear Channel Outdoor — Class A*		7,520	$	(27,598	)
Boyd Gaming Corp.		7,640		(28,497	)
Williams-Sonoma, Inc.		3,130		(31,550	)
Macy’s, Inc.		3,570		(31,773	)
Abercrombie & Fitch Co. — Class A		1,390		(33,082	)
Garmin Ltd.		1,580		(33,512	)
Meredith Corp.		2,050		(34,112	)
Signet Jewelers Ltd.		3,250		(37,213	)
Starbucks Corp.*		4,390		(48,773	)
Liberty Media
Corp. - Capital*		7,640		(53,327	)
Pool Corp.		5,590		(74,906	)
Total Consumer Discretionary				(1,243,684	)
CONSUMER STAPLES (1.0)%
ConAgra Foods, Inc.		700		(11,809	)
PepsiCo, Inc.		240		(12,355	)
Central European Distribution Corp.*		2,050		(22,058	)
Rite Aid Corp.*		64,460		(22,561	)
Bare Escentuals, Inc.*		5,850		(23,985	)
Bunge Ltd.		440		(24,926	)
Smithfield Foods, Inc.*		4,110		(38,881	)
NBTY, Inc.*		2,940		(41,395	)
Safeway, Inc.		2,230		(45,024	)
SUPERVALU INC.		3,180		(45,410	)
Tyson Foods, Inc. - Class A		5,190		(48,734	)
Whole Foods Market, Inc.		3,040		(51,072	)
Herbalife Ltd.		3,910		(58,572	)
Hormel Foods Corp.		1,870		(59,298	)
Energizer Holdings, Inc.*		1,250		(62,112	)
Coca - Cola Enterprises		4,960		(65,422	)
Estee Lauder Cos., Inc. — Class A		2,950		(72,718	)
Reynolds American, Inc.		2,130		(76,339	)
Avon Products, Inc.		4,390		(84,420	)
Constellation Brands, Inc. — Class A*		8,290		(98,651	)
Sara Lee Corp.		12,640		(102,131	)
Del Monte Foods Co.		20,050		(146,165	)
Walgreen Co.		7,840		(203,526	)
Total Consumer Staples				(1,417,564	)
ENERGY (1.1)%
Massey Energy Co.		160		(1,619	)
El Paso Corp.		570		(3,562	)
Patterson-UTI Energy, Inc.		760		(6,810	)
Smith International, Inc.		380		(8,162	)
Mariner Energy, Inc.*		1,210		(9,377	)
Arch Coal, Inc.		920		(12,300	)
Unit Corp.*		620		(12,970	)
Weatherford International Ltd.*		1,200		(13,284	)
Holly Corp.		730		(15,476	)
Foundation Coal Holdings, Inc.		1,150		(16,503	)
Patriot Coal Corp.*		4,990		(18,513	)

			MARKET
	SHARES		VALUE
Hercules Offshore, Inc.*		12,550	$	(19,829	)
Newfield Exploration Co.*		1,050		(23,835	)
Nabors Industries Ltd.*		2,400		(23,976	)
Forest Oil Corp.*		1,900		(24,985	)
Key Energy Services, Inc.*		8,850		(25,488	)
Helix Energy Solutions Group, Inc.*		5,160		(26,522	)
Pioneer Natural Resources Co.		1,630		(26,846	)
Quicksilver Resources, Inc.*		4,870		(26,980	)
BJ Services Co.		2,730		(27,164	)
Tetra Technologies, Inc.*		8,500		(27,625	)
SandRidge Energy, Inc.*		4,330		(28,535	)
W&T Offshore, Inc.		4,660		(28,659	)
Tesoro Corp.		2,280		(30,712	)
Exterran Holdings, Inc.*		1,950		(31,239	)
Valero Energy Corp.		1,770		(31,683	)
Williams Cos., Inc.		2,870		(32,661	)
Rowan Companies, Inc.		2,870		(34,354	)
Global Industries, Ltd.*		9,300		(35,712	)
Teekay Corp.		2,980		(42,405	)
Frontier Oil Corp.		3,500		(44,765	)
Baker Hughes, Inc.		2,370		(67,664	)
Denbury Resources, Inc.*		11,080		(164,649	)
Suncor Energy, Inc.		22,210		(493,284	)
Total Energy				(1,438,148	)
UTILITIES (1.1)%
American Electric Power Co., Inc.		260		(6,568	)
MDU Resources Group, Inc.		750		(12,105	)
Atmos Energy Corp.		580		(13,410	)
Reliant Energy, Inc.*		9,340		(29,795	)
Dynegy, Inc. - Class A*		23,100		(32,571	)
Ameren Corp.		1,800		(41,742	)
Great Plains Energy, Inc.		3,340		(44,990	)
Constellation Energy Group, Inc.		2,400		(49,584	)
Calpine Corp.*		7,440		(50,666	)
Integrys Energy Group, Inc.		1,960		(51,038	)
CMS Energy Corp.		4,470		(52,925	)
Edison International		2,140		(61,653	)
Energen Corp.		2,160		(62,921	)
Mirant Corp.*		5,530		(63,042	)
AES Corp.*		11,150		(64,781	)
NV Energy, Inc.		9,120		(85,637	)
Allegheny Energy, Inc.		4,180		(96,851	)
Oneok, Inc.		4,340		(98,214	)
NiSource, Inc.		13,310		(130,438	)
OGE Energy Corp.		5,820		(138,632	)
Alliant Energy Corp.		5,750		(141,967	)
Pinnacle West Capital Corp.		5,670		(150,595	)
Total Utilities				(1,480,125	)

See Notes to Financial Statements. THE RYDEX SERIES FUNDS ANNUAL REPORT    |    43

SCHEDULE OF INVESTMENTS (continued)

March 31, 2009

     ABSOLUTE RETURN STRATEGIES FUND

			MARKET
	SHARES		VALUE
INDUSTRIALS (1.3)%
KBR, Inc.		40	$	(552	)
Carlisle Companies, Inc.		70		(1,374	)
Aircastle Ltd.		970		(4,510	)
General Dynamics Corp.		270		(11,229	)
SunPower Corp.*		490		(11,652	)
Avery Dennison Corp.		540		(12,064	)
Rockwell Collins, Inc.		390		(12,730	)
Continental Airlines, Inc.*		1,850		(16,298	)
Alexander & Baldwin, Inc.		860		(16,366	)
Manitowoc Co., Inc.		6,480		(21,190	)
Goodrich Corp.		570		(21,597	)
Boeing Co.		630		(22,415	)
General Cable Corp.*		1,200		(23,784	)
HNI Corp.		2,410		(25,064	)
Terex Corp*		2,720		(25,160	)
Delta Air Lines, Inc.*		4,470		(25,166	)
Graco, Inc.		1,510		(25,776	)
McDermott International, Inc.*		1,940		(25,977	)
Textron, Inc.		4,540		(26,060	)
Hertz Global Holdings, Inc.*		6,710		(26,370	)
Trinity Industries, Inc.		2,950		(26,963	)
Oshkosh Corp.		4,020		(27,095	)
Avis Budget Group, Inc.*		30,350		(27,619	)
Cooper Industries, Ltd. — Class A		1,080		(27,929	)
Joy Global Inc.		1,370		(29,181	)
USG Corp.*		4,080		(31,049	)
Bucyrus International, Inc. — Class A		2,080		(31,574	)
AGCO Corp.*		1,680		(32,928	)
BE Aerospace, Inc.*		3,850		(33,380	)
WESCO International, Inc.*		1,850		(33,522	)
Caterpillar, Inc.		1,200		(33,552	)
Harsco Corp.		1,520		(33,698	)
AMR Corp.*		10,710		(34,165	)
Robert Half International, Inc.		1,950		(34,769	)
Rockwell Automation, Inc.		1,670		(36,473	)
United Rentals, Inc.*		8,800		(37,048	)
Thomas & Betts Corp.*		1,520		(38,030	)
Deere & Co.		1,160		(38,129	)
Steelcase, Inc. - Class A		8,090		(40,531	)
Ingersoll-Rand Company Ltd. — Class A		2,940		(40,572	)
Con-way Inc.		2,300		(41,239	)
Spirit Aerosystems Holdings, Inc. — Class A*		4,260		(42,472	)
Masco Corp.		6,090		(42,508	)
Monster Worldwide, Inc.*		5,500		(44,825	)
Corrections Corp. of America*		3,690		(47,269	)
Crane Co.		3,150		(53,172	)
Corporate Executive Board Co.		4,000		(58,000	)
General Electric Co.		5,900		(59,649	)

			MARKET
	SHARES		VALUE
Tyco International Ltd.		4,290	$	(83,912	)
FedEx Corp.		2,040		(90,760	)
Southwest Airlines Co.		20,080		(127,106	)
Total Industrials				(1,714,453	)
TELECOMMUNICATION SERVICES (1.3)%
Qwest Communications International, Inc		440		(1,505	)
Crown Castle International Corp.*		820		(16,736	)
Level 3 Communications, Inc.*		41,970		(38,613	)
NII Holdings, Inc.*		3,710		(55,650	)
Sprint Nextel Corp.*		16,270		(58,084	)
CenturyTel, Inc.		59,478		(1,672,521	)
Total Telecommunication Services				(1,843,109	)
HEALTH CARE (1.5)%
PerkinElmer, Inc.		350		(4,469	)
Idexx Laboratories, Inc.*		340		(11,757	)
McKesson Corp.		530		(18,571	)
Patterson Cos., Inc.*		1,110		(20,935	)
WellCare Health Plans, Inc.*		2,430		(27,337	)
Amylin Pharmaceuticals, Inc.*		2,440		(28,670	)
Tenet Healthcare Corp.*		24,990		(28,988	)
Health Management Associates, Inc. — Class A*		11,550		(29,799	)
Brookdale Senior Living Inc.		6,120		(30,906	)
Health Net, Inc.*		2,200		(31,856	)
Eli Lilly & Co.		1,000		(33,410	)
Charles River Laboratories International, Inc.*		1,260		(34,285	)
BioMarin Pharmaceuticals, Inc.*		2,820		(34,827	)
Sepracor, Inc.*		2,580		(37,823	)
CIGNA Corp.		2,330		(40,985	)
Coventry Health Care, Inc*		3,190		(41,279	)
Mednax, Inc.*		1,420		(41,847	)
King Pharmaceuticals, Inc.*		5,970		(42,208	)
Intuitive Surgical, Inc.*		460		(43,866	)
Waters Corp.*		1,200		(44,340	)
Forest Laboratories, Inc.*		2,050		(45,018	)
Aetna, Inc.		1,950		(47,443	)
Wellpoint, Inc.*		1,320		(50,120	)
Hospira, Inc.*		1,680		(51,845	)
Community Health Systems, Inc.*		3,490		(53,537	)
Hill-Rom Holdings, Inc.		5,530		(54,692	)
UnitedHealth Group, Inc.		2,700		(56,511	)
Zimmer Holdings, Inc.*		1,580		(57,670	)
IMS Health Inc		4,810		(59,981	)
Humana, Inc.*		2,450		(63,896	)
Inverness Medical Innovations, Inc.*		2,560		(68,173	)
VCA Antech, Inc.*		3,300		(74,415	)
CooperCompanies, Inc.		2,900		(76,676	)

44    |    THE RYDEX SERIES FUNDS ANNUAL REPORT See Notes to Financial Statements.

SCHEDULE OF INVESTMENTS (continued)

March 31, 2009

     ABSOLUTE RETURN STRATEGIES FUND

			MARKET
	SHARES		VALUE
Kinetic Concepts, Inc.*		3,690	$	(77,933	)
Boston Scientific Corp.*		10,530		(83,713	)
Life Technologies Corp.*		2,910		(94,517	)
Hologic, Inc.*		8,720		(114,145	)
Pfizer Inc.		10,578		(144,072	)
Merck & Company, Inc.		7,890		(211,057	)
Total Health Care				(2,113,572	)
INFORMATION TECHNOLOGY (1.6)%
Akamai Technologies, Inc.*		120		(2,328	)
Sanmina-SCI Corp.*		14,110		(4,304	)
Novell, Inc.*		1,520		(6,475	)
VeriFone Holdings, Inc.*		1,010		(6,868	)
Rambus, Inc.*		850		(8,041	)
Yahoo!, Inc.*		760		(9,736	)
ON Semiconductor Corp.*		3,830		(14,937	)
Riverbed Technology, Inc.*		1,150		(15,042	)
Marvell Technology Group Ltd.*		1,730		(15,847	)
Genpact Ltd.*		1,940		(17,188	)
Lexmark International, Inc. — Class A*		1,330		(22,437	)
Novellus Systems, Inc.*		1,350		(22,450	)
Agilent Technologies, Inc.*		1,470		(22,594	)
NVIDIA Corp.*		2,660		(26,228	)
Unisys Corp.*		49,930		(26,463	)
Tellabs, Inc.*		6,130		(28,075	)
MEMC Electronic Materials, Inc.*		1,710		(28,198	)
Dell, Inc.*		3,220		(30,526	)
Lam Research Corp.*		1,370		(31,195	)
Arrow Electronics, Inc.*		1,640		(31,258	)
Applied Materials, Inc.		3,000		(32,250	)
Intersil Corp. ,— Class A		2,920		(33,580	)
CommScope, Inc.*		2,980		(33,853	)
JDS Uniphase Corp.*		10,480		(34,060	)
Nuance Communications, Inc.*		3,140		(34,100	)
VMware, Inc.*		1,500		(35,430	)
Teradyne, Inc.*		8,560		(37,493	)
Ciena Corp.*		4,850		(37,733	)
EchoStar Corp. — Class A*		2,570		(38,113	)
eBay, Inc.*		3,300		(41,448	)
ADC Telecommunications, Inc.*		9,650		(42,363	)
Fairchild Semiconductor International, Inc.*		11,710		(43,678	)
LSI Logic Corp.*		14,680		(44,627	)
Brocade Communications Systems, Inc.*		12,970		(44,746	)
Kla-Tencor Corp.		2,240		(44,800	)
Jabil Circuit, Inc.		8,300		(46,148	)
Texas Instruments, Inc.		2,880		(47,549	)
Seagate Technology		8,040		(48,320	)
NCR Corp.*		6,290		(50,005	)
Autodesk, Inc.*		3,150		(52,951	)
Tyco Electronics Ltd.		4,890		(53,986	)
Electronic Arts, Inc.*		3,030		(55,116	)

			MARKET
	SHARES		VALUE
SanDisk Corp.*		4,660	$	(58,949	)
DST Systems, Inc.*		1,740		(60,239	)
International Rectifier Corp.*		4,460		(60,255	)
Cadence Design Systems, Inc.*		14,490		(60,858	)
Vishay Intertechnology, Inc.*		17,510		(60,935	)
Convergys Corp.*		7,750		(62,620	)
Motorola, Inc.		14,860		(62,858	)
Xerox Corp.		14,890		(67,750	)
Advanced Micro Devices, Inc.*		22,530		(68,717	)
Corning, Inc.		5,390		(71,525	)
Micron Technology, Inc.*		18,150		(73,689	)
Sun Microsystems, Inc.*		10,110		(74,005	)
NetApp, Inc.*		5,390		(79,988	)
Acxiom Corp.		11,740		(86,876	)
Total Information Technology				(2,251,803	)
FINANCIALS (1.7)%
Astoria Financial Corp.		180		(1,654	)
Wilmington Trust Corp.		240		(2,326	)
Synovus Financial Corp.		770		(2,502	)
Franklin Resources, Inc.		60		(3,232	)
Colonial BancGroup, Inc.		3,780		(3,402	)
Apartment Investment & Management Co. — Class A		940		(5,151	)
Kimco Realty Corp.		820		(6,248	)
Lincoln National Corp.		1,050		(7,025	)
Jones Lang LaSalle, Inc.		320		(7,443	)
Prudential Financial, Inc.		490		(9,320	)
CNA Financial Corp.		1,020		(9,343	)
SLM Corp.*		1,900		(9,405	)
HRPT Properties Trust		2,980		(9,506	)
NYSE Euronext		580		(10,382	)
Unitrin, Inc.		800		(11,184	)
Hospitality Properties Trust		940		(11,280	)
Duke Realty Corp.		2,060		(11,330	)
Brandywine Realty Trust		4,030		(11,486	)
AMB Property Corp.		840		(12,096	)
East West Bancorp, Inc.		2,880		(13,162	)
Host Hotels & Resorts, Inc.		3,370		(13,210	)
Jefferies Group, Inc.		1,010		(13,938	)
JPMorgan Chase & Co.		530		(14,087	)
Janus Capital Group, Inc.		2,160		(14,364	)
Assurant, Inc.		690		(15,028	)
Goldman Sachs Group, Inc.		150		(15,903	)
Principal Financial Group, Inc.		1,950		(15,951	)
CIT Group, Inc.		5,750		(16,388	)
CB Richard Ellis Group, Inc. — Class A*		4,120		(16,604	)
ProLogis		2,570		(16,705	)
Waddell & Reed Financial, Inc. — Class A		970		(17,528	)
CapitalSource, Inc.		14,800		(18,056	)
MGIC Investment Corp.		12,830		(18,219	)

See Notes to Financial Statements. THE RYDEX SERIES FUNDS ANNUAL REPORT    |    45

SCHEDULE OF INVESTMENTS (concluded)

March 31, 2009

     ABSOLUTE RETURN STRATEGIES FUND

			MARKET
	SHARES		VALUE
Genworth Financial, Inc. — Class A		9,640	$	(18,316	)
BRE Properties, Inc.		940		(18,452	)
Popular, Inc.		8,520		(18,574	)
E*Trade Financial Corp.*		14,530		(18,598	)
Whitney Holding Corp.		1,630		(18,664	)
SL Green Realty Corp.		1,730		(18,684	)
American Capital Ltd.		10,000		(18,700	)
Zions Bancorporation		1,930		(18,972	)
Forest City Enterprises, Inc. — Class A		5,280		(19,008	)
Webster Financial Corp.		4,530		(19,253	)
Protective Life Corp.		3,670		(19,268	)
MBIA, Inc.*		4,310		(19,740	)
Hartford Financial Services Group, Inc.		2,560		(20,096	)
Huntington Bancshares, Inc.		12,260		(20,352	)
American Express Co.		1,500		(20,445	)
Moody’s Corp.		900		(20,628	)
Developers Diversified Realty Corp.		10,030		(21,364	)
American International Group, Inc.		21,700		(21,700	)
CBL & Associates Properties, Inc.		9,250		(21,830	)
General Growth Properties, Inc.		31,320		(22,237	)
First Horizon National Corp.		2,091		(22,453	)
Affiliated Managers Group, Inc.*		540		(22,523	)
Legg Mason, Inc.		1,470		(23,373	)
Morgan Stanley		1,080		(24,592	)
Allied Capital Corp.		15,660		(24,899	)
Fifth Third Bancorp		9,500		(27,740	)
Marshall & Ilsley Corp.		5,400		(30,402	)
Conseco, Inc.*		33,260		(30,599	)
MF Global Ltd.*		7,280		(30,794	)
Regions Financial Corp.		7,340		(31,268	)
iStar Financial, Inc.		11,440		(32,146	)
KeyCorp		4,600		(36,202	)
Bank of America Corp.		5,570		(37,987	)
Student Loan Corp.		880		(38,227	)
GLG Partners, Inc.		14,740		(41,862	)
Capital One Financial Corp.		3,870		(47,369	)
XL Capital		9,140		(49,904	)
SunTrust Banks, Inc.		5,690		(66,801	)
Comerica, Inc.		4,470		(81,846	)

			MARKET
	SHARES		VALUE
TD Ameritrade Holding Corp.*		16,300	$	(225,103	)
M&T Bank Corp.		13,230		(598,525	)
Total Financials				(2,282,954	)
Total Common Stocks Sold Short
(Proceeds $16,654,273)				(16,362,154	)
Other Assets in Excess of Liabilities – 27.5%			$	37,707,746
Net Assets – 100.0%			$	137,013,172
			Unrealized
		CONTRACTS		GAIN (LOSS)
FUTURES CONTRACTS PURCHASED
June 2009 S&P MidCap 400 Index Mini Futures Contracts (Aggregate Market Value of Contracts $6,797,000)		140	$	786,441
June 2009 Nikkei-225 Stock Average Index Futures Contracts (Aggregate Market Value of Contracts $1,929,700)		46		309,907
June 2009 Russell 2000 Index Mini Futures Contracts (Aggregate Market Value of Contracts $6,782,940)		162		146,914
June 2009 Dow Jones STOXX 50 Futures Contracts (Aggregate Market Value of Contracts $2,611,382)		111		72,178
(Total Aggregate Market Value of Contracts $18,121,022)			$	1,315,440
CURRENCY FUTURES CONTRACTS SOLD SHORT
June 2009 U.S. Dollar Index Futures Contracts (Aggregate Market Value of Contracts $4,808,160)		56	$	156,567
FUTURES CONTRACTS SOLD SHORT
June 2009 S&P 500 Index Futures Mini Contracts (Aggregate Market Value of Contracts $6,407,100)		162	$	(59,165	)

*	Non-Income Producing Security.
†	Repurchase Agreements — See Note 6.
§	All or a portion of this security is pledged as short security collateral at March 31, 2009.
	ADR — American Depository Receipt.
	REIT — Real Estate Investment Trust.

46    |    THE RYDEX SERIES FUNDS ANNUAL REPORT See Notes to Financial Statements.

SCHEDULE OF INVESTMENTS

March 31, 2009

     ALTERNATIVE STRATEGIES ALLOCATION FUND

			MARKET
	SHARES		VALUE
CURRENCY EXCHANGE TRADED FUND 14.4%
PowerShares DB G10 Currency Harvest Fund*		224,940	$	4,615,769
Total Currency Exchange Traded Fund (Cost $5,794,177)				4,615,769
MUTUAL FUNDS†† 79.8%
Rydex Series Funds - Managed Futures Strategy Fund		375,641		10,127,273
Rydex Series Funds - Absolute Return Strategies Fund		345,922		6,904,611
Rydex Series Funds - Global Market Neutral Fund*		236,687		5,907,708
Rydex Series Funds -
Commodities Strategy Fund		102,520		1,359,409
Rydex Series Funds - Real Estate Fund		102,502		1,315,100
Total Mutual Funds (Cost $26,634,841)				25,614,101
		FACE
		AMOUNT
REPURCHASE AGREEMENT† 5.9%
Credit Suisse Group issued 03/31/09 at 0.15% due 04/01/09	$	1,881,654		1,881,654
Total Repurchase Agreement (Cost $1,881,654)				1,881,654
Total Investments 100.1% (Cost $34,310,672)			$	32,111,524
Liabilities in Excess of Other Assets – (0.1)%			$	(17,241	)
Net Assets – 100.0%			$	32,094,283

*	Non-Income Producing Security.
†	Repurchase Agreements — See Note 6.
††	A-Class shares of Affiliated Funds

See Notes to Financial Statements. THE RYDEX SERIES FUNDS ANNUAL REPORT    |    47

SCHEDULE OF INVESTMENTS

March 31, 2009

     COMMODITIES STRATEGY FUND

			MARKET
	SHARES		VALUE
EXCHANGE TRADED FUND 20.7%
iShares S&P GSCI Commodity Indexed Trust*		508,347	$	12,800,177
Total Exchange Traded Fund (Cost $13,258,895)				12,800,177
		FACE
		AMOUNT
STRUCTURED NOTES†† 27.0%
Credit Suisse Group, S&P GSCI Total Return Linked Notes at 1.00% due 02/24/10	$	9,550,100		10,387,021
Swedish Export Credit Corp., S&P GSCI Total Return Linked Notes at 0.98% due 03/11/10		2,625,000		3,712,560
Swedish Export Credit Corp., S&P GSCI Total Return Linked Notes at 0.96% due 04/06/10		3,000,000		2,626,701
Total Structured Notes (Cost $15,175,100)				16,726,282
REPURCHASE AGREEMENT† 51.5%
Credit Suisse Group issued 03/31/09 at 0.15% due 04/01/09		31,837,916		31,837,916
Total Repurchase Agreement (Cost $31,837,916)				31,837,916
Total Investments 99.2% (Cost $60,271,911)			$	61,364,375
Other Assets in Excess of Liabilities – 0.8%			$	517,812
Net Assets – 100.0%			$	61,882,187

*	Non-Income Producing Security.
†	Repurchase Agreements — See Note 6.
††	Structured Notes are leveraged, providing an exposure to the underlying benchmark greater than the face amount. The total exposure to the S&P GSCI Total Return Index is $47,058,964 as of March 31, 2009 — See Note 2.

48    |    THE RYDEX SERIES FUNDS ANNUAL REPORT See Notes to Financial Statements.

SCHEDULE OF INVESTMENTS

March 31, 2009

     GLOBAL MARKET NEUTRAL FUND

			MARKET
	SHARES		VALUE
COMMON STOCKS 96.7%
INFORMATION TECHNOLOGY 17.9%
ASM Pacific Technology Ltd.		47,000	$	164,637
Mimasu Semiconductor		14,700		159,208
Western Digital Corp.*		7,800		150,852
Sohu.com, Inc.*		3,200		132,192
Apple, Inc.*		1,200		126,144
Nippon Electric Glass		16,000		110,891
Wacom Co., Ltd.		100		104,264
Wincor Nixdorf AG*		2,200		99,690
Broadridge Financial Solutions, Inc.		5,100		94,911
Accenture Ltd. — Class A		3,400		93,466
MEMC Electronic Materials, Inc.*		5,600		92,344
Shanda Interactive Entertainment Ltd.*		2,100		83,013
Synaptics, Inc.*		3,100		82,956
Hittite Microwave Corp.*		2,500		78,000
Perfect World Company Ltd. — SP ADR*		5,500		77,275
ADTRAN, Inc.		4,700		76,187
Vtech Holdings Ltd.		19,000		73,542
Symantec Corp.*		4,700		70,218
Syntel, Inc.		3,300		67,914
Nohmi Bosai Ltd.		9,000		67,195
Sigma Designs, Inc.*		5,400		67,176
Starent Networks Corp.*		4,200		66,402
Quest Software, Inc.*		5,100		64,668
Research In Motion Ltd.*		1,500		64,605
ACI Worldwide, Inc.*		3,200		60,000
Open Text Corp.*		1,700		58,743
F5 Networks, Inc.*		2,700		56,565
CSG Systems International, Inc.*		3,900		55,692
j2 Global Communications, Inc.*		2,300		50,347
Sybase, Inc.*		1,500		45,435
InterDigital, Inc.*		1,700		43,894
Total Information Technology				2,638,426
INDUSTRIALS 16.1%
Demag Cranes AG*		11,800		205,354
Macquarie Airports		113,071		142,690
Wartsila Oyj*		6,598		139,279
Maire Technimont*		67,338		138,925
Aeon Delight Company Ltd.		8,500		106,314
HNI Corp.		9,600		99,840
Diana Shipping		8,300		97,857
EnPro Industries, Inc.*		5,700		97,470
Smit Internationale*		1,700		97,043
Ceradyne, Inc.*		5,200		94,276
DynCorp International, Inc. — Class A*		6,900		91,977
GT Solar International, Inc.*		13,700		90,968
Trinity Industries, Inc.		9,700		88,658
Sasebo Heavy Industries Company, Ltd.		47,000		85,947

			MARKET
	SHARES		VALUE
Sankyu Inc.		32,000	$	84,057
West Jet Airlines*		8,500		79,412
Central Glass Company, Ltd.		26,000		76,965
Regus PLC		69,200		72,978
Shinwa Kaiun		31,000		68,590
Gardner Denver, Inc.*		2,900		63,046
Nissin Electric Co. Ltd.		19,000		58,931
Kansas City Southern*		4,200		53,382
Clean Harbors, Inc.*		1,100		52,800
Aica Kogyo Co		6,000		52,010
Taikisha Ltd.		4,800		50,871
EnerSys*		3,700		44,844
Kitz Corp		14,000		42,291
Total Industrials				2,376,775
FINANCIALS 15.0%
AFLAC, Inc.		15,700		303,952
AMB Property Corp.		10,400		149,760
Gecina*		3,483		133,629
KBC Ancora SCA*		16,409		132,973
Redwood Trust, Inc.		8,400		128,940
Stancorp Financial Group, Inc.		5,600		127,568
Unitrin, Inc.		9,000		125,820
Cash America International, Inc.		7,600		119,016
Principal Financial Group, Inc.		13,700		112,066
Catlin Group Ltd.		24,200		108,682
Citycon Oyj*		45,500		88,250
Fuyo General Lease Company Ltd.		6,400		79,725
Ezcorp, Inc. — Class A*		6,500		75,205
Crawford & Co. — Class B*		11,000		73,920
IBJ Leasing Co		6,100		66,990
Amtrust Financial Services, Inc.		6,900		65,895
First Bancorp Puerto Rico		15,100		64,326
Hartford Financial Services Group, Inc.		7,200		56,520
Macerich Co.		9,000		56,340
MBIA, Inc.*		11,000		50,380
Monex Group Inc.		208		49,699
Keiyo Bank Ltd.		11,000		44,231
Total Financials				2,213,887
ENERGY 11.5%
Foundation Coal Holdings, Inc.		12,500		179,375
Worleyparsons		10,800		135,164
General Maritime Corp.*		19,000		133,000
Sunoco, Inc.		4,300		113,864
Consol Energy, Inc.		4,300		108,532
Nippon Mining Holdings		25,500		100,475
Western Refining, Inc.		8,300		99,102
Ship Finance International Ltd.		14,300		93,808
Massey Energy Co.		9,200		93,104
World Fuel Services Corp.		2,600		82,238
Valero Energy Corp.		4,500		80,550
Tesoro Corp.		5,400		72,738
Delek U.S. Holdings, Inc.		7,000		72,520
Global Industries, Ltd.*		17,800		68,352

See Notes to Financial Statements. THE RYDEX SERIES FUNDS ANNUAL REPORT    |    49

SCHEDULE OF INVESTMENTS (continued)

March 31, 2009

     GLOBAL MARKET NEUTRAL FUND

			MARKET
	SHARES		VALUE
Alon USA Energy, Inc.		4,500	$	61,650
Calumet Specialty Products Partners LP		5,200		56,680
Alpha Natural Resources, Inc.*		3,000		53,250
Holly Corp.		2,400		50,880
Arch Coal, Inc.		3,100		41,447
Total Energy				1,696,729
CONSUMER DISCRETIONARY 9.5%
Jarden Corp.*		13,300		168,511
Signet Jewelers Ltd.		12,991		150,423
David Jones Ltd.		65,263		127,055
Thomas Cook Group PLC		29,228		100,439
T-Gaia Corp.		88		92,819
Astra International		73,900		91,254
Pre-Paid Legal Services, Inc.*		3,000		87,090
Daihatsu Motor		10,000		77,693
Big Lots, Inc.*		3,700		76,886
Cracker Barrel Old Country Store, Inc.		2,500		71,600
Nissan Shatai		12,000		68,862
Gannett Co., Inc.		29,100		64,020
Systemax, Inc.*		4,600		59,432
Tempur-Pedic International, Inc.		8,100		59,130
Geo Corp		100		57,385
NutriSystem, Inc.		3,600		51,372
Total Consumer Discretionary				1,403,971
CONSUMER STAPLES 8.6%
Spartan Stores, Inc.		9,300		143,313
Cal-Maine Foods, Inc.		5,600		125,384
Nash Finch Co.		4,400		123,596
Pantry, Inc.*		6,700		117,987
Tsuruha Holdings		4,300		108,391
SUPERVALU, INC.		6,600		94,248
Empire Company Ltd. — Class A		2,100		88,270
J-Oil Mills Inc.		32,000		85,027
Herbalife Ltd.		5,300		79,394
Dorel Industries, Inc. - Class B		4,900		74,497
Cawachi Ltd.		4,700		71,416
Toyo Suisan Kaisha Ltd.		3,000		61,376
Boston Beer Company, Inc. — Class A*		2,600		54,236
Maruetsu Inc.*		12,000		49,101
Total Consumer Staples				1,276,236
HEALTH CARE 8.0%
LHC Group, Inc.*		7,200		160,416
Fortis Group*		73,342		134,749
Emergency Medical Services Corp. — Class A*		4,200		131,838
Kindred Healthcare, Inc.*		8,800		131,560
Centene Corp.*		5,600		100,912
Bruker BioSciences Corp.*		14,000		86,240
PDL BioPharma, Inc.		10,500		74,340
Martek Biosciences Corp.		3,500		63,875

			MARKET
	SHARES		VALUE
Viropharma, Inc.*		12,100	$	63,525
Laboratorios Almirall SA*		7,100		61,497
Sepracor, Inc.*		4,100		60,106
Chemed Corp.		1,400		54,460
Osiris Therapeutics, Inc.*		3,900		53,820
Total Health Care				1,177,338
MATERIALS 5.6%
Cliffs Natural Resources Inc		10,400		188,864
Owens-Illinois, Inc.*		13,000		187,720
Boliden AB*		33,400		172,288
Rock-Tenn Co. — Class A		3,000		81,150
Sino-Forest Corp.*		11,500		80,169
Pactiv Corp.*		5,100		74,409
Commercial Metals Co.		3,900		45,045
Mvelaphanda Resources Ltd.*		300		918
Total Materials				830,563
TELECOMMUNICATION SERVICES 3.1%
Tandberg ASA*		10,800		159,273
Kddi Corp.		31		144,696
Informa PLC		21,900		82,327
Global Crossing*		10,300		72,100
Total Telecommunication Services				458,396
UTILITIES 1.4%
NRG Energy, Inc.*		7,400		130,240
Mirant Corp.*		7,100		80,940
Total Utilities				211,180
Total Common Stocks
(Cost $14,299,601)				14,283,501
PREFERRED STOCK 0.3%
CONSUMER DISCRETIONARY 0.3%
Hugo Boss*		3,587		52,417
Total Consumer Discretionary				52,417
Total Preferred Stock
(Cost $52,384)				52,417
		FACE
		AMOUNT
REPURCHASE AGREEMENTS† 93.7%
Credit Suisse Group issued 03/31/09 at 0.15% due 04/01/09	$	9,923,816		9,923,816
Mizuho Financial Group, Inc. issued 03/31/09 at 0.16% due 04/01/09		3,660,641		3,660,641
Morgan Stanley issued 03/31/09 at 0.05% due 04/01/09		251,829		251,829
Total Repurchase Agreements
(Cost $13,836,286)				13,836,286

50    |    THE RYDEX SERIES FUNDS ANNUAL REPORT See Notes to Financial Statements.

SCHEDULE OF INVESTMENTS (continued)

March 31, 2009

     GLOBAL MARKET NEUTRAL FUND

			MARKET
	SHARES		VALUE
Total Long Securities 190.7%
(Cost $28,188,271)			$	28,172,204
COMMON STOCKS SOLD SHORT (88.0)%
CONSUMER STAPLES (1.9)%
Yakult Honsha Company, Ltd.		5,700		(101,008	)
Tootsie Roll Industries, Inc.		8,400		(182,448	)
Total Consumer Staples				(283,456	)
TELECOMMUNICATION SERVICES (4.2)%
Cbeyond, Inc.*		2,000		(37,660	)
TW Telecom*		7,100		(62,125	)
Freenet AG*		12,700		(79,127	)
MetroPCS Communications, Inc.*		6,900		(117,852	)
SBA Communications Corp. — Class A*		5,500		(128,150	)
Crown Castle International Corp.*		9,400		(191,854	)
Total Telecommunication Services				(616,768	)
UTILITIES (4.8)%
Reliant Energy, Inc.*		13,100		(41,789	)
Dynegy, Inc. — Class A*		58,000		(81,780	)
EDF Energies Nouvelles SA*		4,100		(154,523	)
Ormat Technologies, Inc.		7,300		(200,458	)
EQT Corp.		7,200		(225,576	)
Total Utilities				(704,126	)
ENERGY (7.8)%
Paladin Energy Ltd.*		26,994		(63,813	)
Dno International ASA*		91,000		(79,898	)
CNX Gas Corp.*		4,000		(94,840	)
Lundin Petroleum AB*		17,600		(95,712	)
Comstock Resources, Inc.*		3,300		(98,340	)
Ultra Petroleum Corp.*		2,900		(104,081	)
PetroHawk Energy Corp.*		5,500		(105,765	)
Petrobank Energy*		5,700		(106,008	)
SOCO International PLC*		6,700		(113,437	)
Range Resources Corp.		3,100		(127,596	)
Venture Production		14,000		(160,499	)
Total Energy				(1,149,989	)
HEALTH CARE (8.8)%
Regeneron Pharmaceuticals, Inc.*		2,600		(36,036	)
Amylin Pharmaceuticals, Inc.*		3,300		(38,775	)
Medarex, Inc.*		7,800		(40,014	)
XenoPort, Inc.*		2,700		(52,272	)
Tenet Healthcare Corp.*		56,600		(65,656	)
United Therapeutics Corp.*		1,200		(79,308	)
Grupo Ferrovial SA*		4,114		(87,772	)
Perrigo Co.		3,700		(91,871	)
Intuitive Surgical, Inc.*		1,000		(95,360	)
Olympus Corp.*		6,000		(95,777	)

			MARKET
	SHARES		VALUE
Basilea Pharmaceutica AG*		1,693	$	(105,599	)
Align Technology, Inc.*		14,400		(114,192	)
BioMarin Pharmaceuticals, Inc.*		9,500		(117,325	)
Intercell AG*		4,164		(128,336	)
Eclipsys Corp.*		15,000		(152,100	)
Total Health Care				(1,300,393	)
MATERIALS (9.1)%
Anglo Platinum		10		(502	)
Vulcan Materials Co.		1,000		(44,290	)
Kinross Gold Corp.*		2,900		(52,692	)
Pan American Silver Corp.*		3,500		(61,817	)
James Hardie Industries NV		22,236		(63,543	)
Alumina Ltd. — SP ADR		19,500		(72,345	)
Hochschild Mining PLC		27,700		(84,656	)
Agnico-Eagle Mines		1,500		(86,212	)
Rhodia SA*		23,853		(87,490	)
Nucor Corp.		2,400		(91,608	)
Wacker Chemie AG*		1,339		(111,229	)
Weyerhaeuser Co.		4,100		(113,037	)
Zeon Corp		50,000		(133,865	)
Silver Standard Resources*		9,500		(154,604	)
Texas Industries, Inc.		7,200		(180,000	)
Total Materials				(1,337,890	)
FINANCIALS (12.1)%
State Street Corp.		1,200		(36,936	)
IntercontinentalExchange, Inc.*		600		(44,682	)
Orix Corporation*		1,900		(60,851	)
Umpqua Holdings Corp.		7,600		(68,856	)
Whitney Holding Corp.		7,200		(82,440	)
AmeriCredit Corp.*		14,300		(83,798	)
Cousins Properties, Inc.		13,500		(86,940	)
KeyCorp		12,100		(95,227	)
Wells Fargo & Co.		6,900		(98,256	)
Nanto Bank Ltd.		19,000		(103,273	)
Comerica, Inc.		5,800		(106,198	)
IVG Immobilien AG*		19,296		(116,378	)
Nomura Holdings Inc		24,100		(120,524	)
St Joe Co.*		7,400		(123,876	)
China Life Insurance Co.		38,000		(126,002	)
Credit Saison Company Ltd.		13,400		(129,289	)
Acom Company Ltd.		4,970		(139,590	)
Musashino Bank Ltd.		5,500		(168,923	)
Total Financials				(1,792,039	)
INFORMATION TECHNOLOGY (12.4)%
Baidu/China, Inc. — SP ADR*		200		(35,320	)
SanDisk Corp.*		3,600		(45,540	)
Cogent, Inc.*		4,200		(49,980	)
Omniture, Inc.*		4,300		(56,717	)
NVIDIA Corp.*		6,100		(60,146	)
Autodesk, Inc.*		3,600		(60,516	)
Alps Elec Co		18,000		(61,285	)
Ansys, Inc.*		3,000		(75,300	)

See Notes to Financial Statements. THE RYDEX SERIES FUNDS ANNUAL REPORT    |    51

SCHEDULE OF INVESTMENTS (concluded)

March 31, 2009

     GLOBAL MARKET NEUTRAL FUND

			MARKET
	SHARES		VALUE
Yahoo!, Inc.*		6,000	$	(76,860	)
Palm, Inc.*		10,426		(89,872	)
Ciena Corp.*		11,900		(92,582	)
Broadcom Corp. — Class A*		4,900		(97,902	)
Rambus, Inc.*		11,000		(104,060	)
Riverbed Technology, Inc.*		8,000		(104,640	)
Equinix, Inc.*		1,900		(106,685	)
NeuStar, Inc.*		6,600		(110,550	)
Electronic Arts, Inc.*		6,300		(114,597	)
SINA Corp*		5,100		(118,575	)
Rofin-Sinar Technologies, Inc.*		7,400		(119,288	)
Intermec, Inc.*		12,000		(124,800	)
National Instruments Corp.		6,900		(128,685	)
Total Information Technology				(1,833,900	)
INDUSTRIALS (13.2)%
First Solar, Inc.*		400		(53,080	)
Chiyoda Corp.		11,000		(58,234	)
Vestas Wind Systems A.S.*		1,400		(61,425	)
Owens Corning, Inc.*		6,800		(61,472	)
Transurban Group		19,530		(63,414	)
UAL Corp.*		14,300		(64,064	)
Expeditors International of Washington, Inc.		2,300		(65,067	)
Forward Air Corp.		4,400		(71,412	)
SunPower Corp.*		3,100		(73,718	)
Covanta Holding Corp.*		5,700		(74,613	)
Resources Connection, Inc.*		5,100		(76,908	)
Chicago Bridge & Iron NV Co.		12,500		(78,375	)
CoStar Group, Inc.*		2,900		(87,725	)
Landstar System, Inc.		2,700		(90,369	)
Scania AB*		11,400		(92,923	)
Michael Page International		36,220		(95,494	)
USG Corp.*		14,200		(108,062	)
Furukawa Electric Co.*		41,000		(115,155	)
Simpson Manufacturing Company, Inc.		8,300		(149,566	)

			MARKET
	SHARES		VALUE
Komori Corp		25,000	$	(203,324	)
Nkt Holding A/S*		11,800		(204,671	)
Total Industrials				(1,949,071	)
CONSUMER DISCRETIONARY (13.7)%
Harman International Industries, Inc.		3,000		(40,590	)
AnnTaylor Stores Corp.*		10,300		(53,560	)
Tomtom NV*		12,615		(60,163	)
Sotheby’s		6,700		(60,300	)
Zenrin Company Ltd.		7,600		(81,083	)
Bebe Stores, Inc.		13,000		(86,710	)
Mohawk Industries, Inc.*		3,300		(98,571	)
Borgwarner, Inc.		4,900		(99,470	)
J Crew Group, Inc.*		7,600		(100,168	)
NGK Spark Plug Company Ltd.		12,000		(100,990	)
Gymboree Corp.*		5,300		(113,155	)
Goodyear Tire & Rubber Co.*		20,300		(127,078	)
Focus Media Holding Ltd. — SP ADR*		20,200		(137,360	)
Las Vegas Sands Corp.*		51,400		(154,714	)
Wendy’s/Arby’s Group, Inc.*		31,800		(159,954	)
Oil Search, Ltd.		44,100		(161,284	)
Gentex Corp.		17,500		(174,300	)
Saks, Inc.*		118,000		(220,660	)
Total Consumer Discretionary				(2,030,110	)
Total Common Stocks Sold Short
(Proceeds $12,990,137)				(12,997,742	)
Liabilities in Excess of
Other Assets – (2.7)%			$	(400,266	)
Net Assets – 100.0%			$	14,774,196

The pie chart above reflects percentages of the market value of Long Stocks.

The pie chart above reflects percentages of the market value of Short Stocks.

*	Non-Income Producing Security.
†	Repurchase Agreements — See Note 6.
	ADR — American Depository Receipt.

52    |    THE RYDEX SERIES FUNDS ANNUAL REPORT See Notes to Financial Statements.

SCHEDULE OF INVESTMENTS

March 31, 2009

     HEDGED EQUITY FUND

			MARKET
	SHARES		VALUE
COMMON STOCKS 24.2%
INFORMATION TECHNOLOGY 4.4%
Atmel Corp.*§		24,770	$	89,915
SAIC, Inc.*§		3,860		72,066
BMC Software, Inc.*§		1,760		58,080
EMC Corp*§		4,370		49,818
Altera Corp.§		2,690		47,209
Sohu.com, Inc.*§		1,130		46,680
Oracle Corp.		2,150		38,851
Global Payments, Inc.§		1,110		37,085
Flir Systems, Inc.*§		1,790		36,659
F5 Networks, Inc.*§		1,670		34,987
Affiliated Computer Services, Inc. — Class A*§		700		33,523
Qualcomm, Inc.§		840		32,684
Compuware Corp.*§		4,590		30,248
MasterCard, Inc.§		170		28,472
Xilinx, Inc.§		1,460		27,974
Linear Technology Corp.§		1,210		27,806
Red Hat, Inc.*§		1,330		23,727
Broadcom Corp. — Class A*		1,170		23,377
Apple Computer, Inc.*§		220		23,126
Automatic Data Processing, Inc.		640		22,502
International Business Machines Corp.§		220		21,316
Google, Inc. — Class A*		60		20,884
WebMD Health Corp.*§		910		20,293
QLogic Corp.*§		1,770		19,682
Dolby Laboratories, Inc. — Class A*		530		18,078
Accenture Ltd. — Class A		640		17,594
Hewitt Associates, Inc. — Class A*§		570		16,963
Intel Corp.		920		13,846
Microchip Technology, Inc.§		600		12,714
Hewlett-Packard Co.		380		12,183
Broadridge Financial Solutions, Inc.§		640		11,910
Diebold, Inc.§		550		11,743
VeriSign, Inc.*		570		10,756
Taiwan Semiconductor
Manufacturing Company Ltd. — SP ADR		1,130		10,114
Harris Corp.§		310		8,971
ANSYS, Inc.*§		350		8,785
Cypress Semiconductor Corp.*§		1,220		8,259
CA, Inc.§		440		7,748
Baidu.com - SP ADR*		30		5,298
Metavante Technologies, Inc.*§		240		4,790
ASML Holding NV		240		4,202
Equinix, Inc.*		70		3,931
Analog Devices, Inc.		180		3,469

			MARKET
	SHARES		VALUE
IAC/InterActiveCorp*		210	$	3,198
Western Digital Corp.*§		150		2,901
VistaPrint Ltd.*		100		2,749
Digital River, Inc.*		90		2,684
NeuStar, Inc.*§		150		2,513
Omniture, Inc.*		190		2,506
j2 Global Communications, Inc.*		110		2,408
Ariba, Inc.*		230		2,008
Yahoo!, Inc.*		120		1,537
Akamai Technologies, Inc.*		70		1,358
Teradata Corp.*		70		1,135
MoneyGram International, Inc.*		690		814
Total System Services, Inc.		50		691
Total Information Technology				1,084,820
FINANCIALS 4.2%
Pinnacle Financial Partners, Inc.*		10,040		238,048
Aon Corp.		1,960		80,007
Charles Schwab Corp.		4,110		63,705
Annaly Capital Management, Inc.		4,470		61,999
Plum Creek Timber Company, Inc. (REIT)		2,110		61,338
Allied World Assurance Company Holdings, Ltd		1,350		51,340
People’s United Financial, Inc.		2,750		49,417
Blackrock, Inc.		250		32,510
Cullen/Frost Bankers, Inc.		690		32,389
Capitol Federal Financial		820		31,004
HCC Insurance Holdings, Inc.		1,150		28,968
TFS Financial Corp.		2,280		27,656
Alleghany Corp.*		100		27,083
Northern Trust Corp.		430		25,723
Hudson City Bancorp, Inc.		2,180		25,484
T. Rowe Price Group, Inc.		840		24,242
Eaton Vance Corp.		850		19,423
Federated Investors, Inc. — Class B		860		19,144
Digital Realty Trust, Inc.		550		18,249
Brown & Brown, Inc.		950		17,965
Fidelity National Financial, Inc. — Class A		750		14,633
Unum Group		1,030		12,875
IntercontinentalExchange, Inc.*		110		8,192
Chubb Corp.		190		8,041
Nasdaq Stock Market, Inc.*		290		5,678
W.R. Berkley Corp.		220		4,961
Investment Technology Group, Inc.*		190		4,849
Arch Capital Group Ltd.*		80		4,309
The St. Joe Co.*		200		3,348
BancorpSouth, Inc.		160		3,334
First Marblehead Corp.*		1,540		1,987
Credit Suisse Group AG — SP ADR		60		1,829

See Notes to Financial Statements. THE RYDEX SERIES FUNDS ANNUAL REPORT    |    53

SCHEDULE OF INVESTMENTS (continued)

March 31, 2009

     HEDGED EQUITY FUND

			MARKET
	SHARES		VALUE
Bank of New York Mellon Corp.		60	$	1,695
Ambac Financial Group, Inc.		2,150		1,677
UBS AG — SP ADR*		160		1,509
State Street Corp.		40		1,231
Invesco Ltd.		50		693
Ameriprise Financial, Inc.		30		615
The PMI Group, Inc.		870		539
Total Financials				1,017,689
CONSUMER DISCRETIONARY 3.1%
Amazon.com, Inc.*§		1,220		89,597
DeVry, Inc.§		1,170		56,371
McDonald’s Corp.§		940		51,296
TJX Companies, Inc.§		1,420		36,409
AutoZone, Inc.*§		220		35,776
Burger King Holdings, Inc.§		1,520		34,884
Foot Locker, Inc.§		2,730		28,610
Panera Bread Co. — Class A*§		470		26,273
ITT Educational Services, Inc.*§		200		24,284
Apollo Group, Inc. — Class A*§		310		24,282
Ross Stores, Inc.§		660		23,681
Priceline.com, Inc.*§		300		23,634
Strayer Education, Inc.		110		19,786
Big Lots, Inc.*§		940		19,533
Hasbro, Inc.§		760		19,053
GameStop Corp. — Class A*§		570		15,971
Expedia, Inc.*§		1,540		13,983
Netflix, Inc.*§		320		13,734
H&R Block, Inc.		700		12,733
Dollar Tree, Inc.*§		270		12,028
Darden Restaurants, Inc.§		320		10,963
Family Dollar Stores, Inc.§		290		9,677
Yum! Brands, Inc.		350		9,618
Discovery Communications, Inc. — Class A*§		580		9,292
Nike, Inc. — Class B		180		8,440
Career Education Corp.*		300		7,188
Advance Auto Parts, Inc.		170		6,984
American Public Education, Inc.*		160		6,730
Blue Nile, Inc.*§		200		6,030
Hillenbrand, Inc.§		360		5,764
Weight Watchers International, Inc.§		300		5,565
NutriSystem, Inc.§		380		5,423
PetMed Express, Inc.*§		320		5,274
Petsmart, Inc.§		250		5,240
Guess?, Inc.§		220		4,638
HSN, Inc.*§		890		4,575
NVR, Inc.*		10		4,277
Sotheby’s§		470		4,230
Service Corporation International§		1,200		4,188
Shutterfly, Inc.*		440		4,123
Matthews International Corp. — Class A§		140		4,033
BorgWarner, Inc.§		190		3,857

			MARKET
	SHARES		VALUE
Overstock.com, Inc.*§		400	$	3,660
Ticketmaster Entertainment, Inc.*		980		3,616
Stamps.com, Inc.*§		360		3,492
K12 Inc.*§		240		3,336
Sherwin-Williams Co.§		60		3,118
Urban Outfitters, Inc.*		180		2,947
Corinthian Colleges, Inc.*§		140		2,723
Time Warner Cable, Inc.		98		2,420
Scientific Games Corp. — Class A*		190		2,301
Toll Brothers, Inc.*		120		2,179
Capella Education Co.*§		40		2,120
Total Consumer Discretionary				749,939
INDUSTRIALS 3.0%
Stericycle, Inc.*§		1,690		80,664
W.W. Grainger, Inc.§		880		61,758
Dun & Bradstreet Corp.		740		56,980
CH Robinson Worldwide, Inc.§		1,170		53,364
Burlington Northern Santa Fe Corp.§		710		42,706
Norfolk Southern Corp.§		1,160		39,150
Quanta Services, Inc.*§		1,810		38,824
Waste Management, Inc.§		1,100		28,160
Aecom Technology Corp.*		1,050		27,384
URS Corp.*§		650		26,266
Fastenal Co.		750		24,116
J.B. Hunt Transport Services, Inc.§		890		21,458
First Solar, Inc.*§		130		17,251
Copart, Inc.*§		580		17,203
Republic Services, Inc.§		920		15,778
Landstar System, Inc.		430		14,392
IHS Inc.*		340		14,001
MSC Industrial Direct Co.§		440		13,671
Union Pacific Corp.§		330		13,566
Valmont Industries, Inc.§		260		13,055
AMETEK, Inc.§		410		12,821
Lennox International, Inc.§		460		12,172
Gardner Denver, Inc.*§		540		11,740
CSX Corp.§		400		10,340
Roper Industries, Inc.		230		9,764
Flowserve Corp.§		150		8,418
Copa Holdings SA§		260		7,454
Pentair, Inc.§		340		7,368
Covanta Holding Corp.*§		510		6,676
FTI Consulting, Inc.*		130		6,432
Precision Castparts Corp.§		90		5,391
UTI Worldwide, Inc.		390		4,661
Fluor Corp.§		120		4,146
GATX Corp.§		200		4,046
Owens Corning, Inc.*§		170		1,537
Foster Wheeler AG*§		20		349
Total Industrials				733,062

54    |    THE RYDEX SERIES FUNDS ANNUAL REPORT See Notes to Financial Statements.

SCHEDULE OF INVESTMENTS (continued)

March 31, 2009

     HEDGED EQUITY FUND

			MARKET
	SHARES		VALUE
HEALTH CARE 2.4%
Baxter International, Inc.§		1,470	$	75,293
Techne Corp.§		960		52,522
Cephalon, Inc.*		650		44,265
Gilead Sciences, Inc.*		840		38,909
Vertex Pharmaceuticals, Inc.*§		1,220		35,051
Edwards Lifesciences Corp.*§		470		28,496
Illumina, Inc.*		650		24,206
Abraxis BioScience, Inc.*§		420		20,026
Omnicare, Inc.§		790		19,347
Mylan Laboratories, Inc.*		1,430		19,176
Medco Health Solutions, Inc.*§		440		18,190
Amgen, Inc.*		360		17,827
Express Scripts, Inc.*§		380		17,545
Thermo Fisher Scientific, Inc.*§		490		17,478
Cerner Corp.*		340		14,950
Myriad Genetics, Inc.*§		310		14,096
HLTH Corp.*		1,320		13,662
Allscripts Healthcare Solutions, Inc.		960		9,878
MedAssets, Inc.*		490		6,982
Alexion Pharmaceuticals, Inc.*§		180		6,779
athenahealth, Inc.*		270		6,510
Onyx Pharmaceuticals, Inc.*§		210		5,995
Eclipsys Corp.*		580		5,881
Celgene Corp.*		130		5,772
Phase Forward, Inc.*		450		5,756
Millipore Corp.*§		100		5,741
Biogen Idec, Inc.*§		100		5,242
Computer Programs & Systems, Inc.		140		4,658
Covance, Inc.*§		130		4,632
Bio-Rad Laboratories, Inc. — Class A*		70		4,613
Genzyme Corp.*		70		4,157
United Therapeutics Corp.*§		60		3,965
Bruker BioSciences Corp.*		640		3,942
OSI Pharmaceuticals, Inc.*		100		3,826
Omnicell, Inc.*		460		3,597
Pharmaceutical Product Development, Inc.		130		3,084
Sequenom, Inc.*		210		2,986
Luminex Corp.*		160		2,899
Dionex Corp.*		60		2,835
Covidien Ltd.		30		997
PerkinElmer, Inc.§		40		511
Warner Chilcott Ltd.*§		40		421
Total Health Care				582,698
ENERGY 1.8%
Range Resources Corp.		940		38,690
Exxon Mobil Corp.		560		38,136
Hess Corp.		570		30,894
Chevron Corp.		420		28,241
SEACOR Holdings, Inc.*		420		24,490

			MARKET
	SHARES		VALUE
FMC Technologies, Inc.*		780	$	24,469
PetroHawk Energy Corp.*		1,270		24,422
Helmerich & Payne, Inc.		940		21,404
Continental Resources, Inc.*		980		20,786
Tidewater, Inc.		500		18,565
Southwestern Energy Co.*		570		16,923
Noble Energy, Inc.		280		15,086
Encore Acquisition Co.*		630		14,660
Cameron International Corp.*		650		14,254
Alpha Natural Resources, Inc.*		800		14,200
Occidental Petroleum Corp.		250		13,912
Apache Corp.		210		13,459
Dresser-Rand Group, Inc.*		510		11,271
CNX Gas Corp.*		460		10,907
EOG Resources, Inc.		170		9,309
Transocean Ltd.*§		140		8,238
Cheniere Energy, Inc.*		1,450		6,177
Sunoco, Inc.		170		4,502
Murphy Oil Corp.		100		4,477
Frontline Ltd.		210		3,652
XTO Energy, Inc.		110		3,368
Oceaneering International, Inc.*		70		2,581
Cabot Oil & Gas Corp.		100		2,357
Diamond Offshore Drilling, Inc.		20		1,257
National-Oilwell Varco, Inc.*		40		1,148
ENSCO International, Inc.		30		792
Consol Energy, Inc.		20		505
Noble Corp.		17		410
Total Energy				443,542
MATERIALS 1.8%
Monsanto Co.§		600		49,860
Sonoco Products Co.§		2,110		44,268
Valspar Corp.§		1,890		37,743
Praxair, Inc.§		540		36,337
Ball Corp.		630		27,342
Airgas, Inc.§		740		25,019
FMC Corp.§		550		23,727
Nucor Corp.§		470		17,940
Valhi, Inc.§		1,530		14,351
Scotts Miracle-Gro Co. — Class A		410		14,227
BHP Billiton Ltd. — SP ADR§		280		12,488
Crown Holdings, Inc.*§		460		10,456
Lubrizol Corp.§		300		10,203
Rio Tinto PLC — SP ADR§		70		9,384
Cia Vale do Rio Doce — SP ADR§		630		8,379
Sigma-Aldrich Corp.§		200		7,558
RPM International, Inc.§		590		7,511
Goldcorp, Inc.§		210		6,997
ArcelorMittal§		340		6,814
Barrick Gold Corp.§		200		6,484
Newmont Mining Corp.		140		6,266
Southern Copper Corp.§		330		5,749
Martin Marietta Materials, Inc.§		70		5,551

See Notes to Financial Statements. THE RYDEX SERIES FUNDS ANNUAL REPORT    |    55

SCHEDULE OF INVESTMENTS (continued)

March 31, 2009

     HEDGED EQUITY FUND

			MARKET
	SHARES		VALUE
AngloGold Ashanti Ltd. — SP ADR§		150	$	5,514
Kinross Gold Corp.§		260		4,646
Reliance Steel & Aluminum Co.§		160		4,213
The Mosaic Co.§		100		4,198
Agnico-Eagle Mines Ltd.§		70		3,984
Louisiana-Pacific Corp.§		1,700		3,791
Gold Fields Ltd. — SP ADR§		330		3,742
PPG Industries, Inc.§		100		3,690
Schnitzer Steel Industries, Inc. — Class A§		110		3,453
Greif, Inc. — Class A§		30		999
Sealed Air Corp.§		60		828
Total Materials				433,712
CONSUMER STAPLES 1.6%
Wal-Mart Stores, Inc.§		2,330		121,393
General Mills, Inc.§		1,410		70,331
Hershey Co.		1,660		57,685
Campbell Soup Co.		1,030		28,181
Coca-Cola Co.§		510		22,414
Dean Foods Co.*		1,140		20,611
Costco Wholesale Corp.§		360		16,675
J.M. Smucker Co.§		410		15,281
CVS Corp.§		400		10,996
Church & Dwight Company, Inc.		190		9,924
Kroger Co.§		300		6,366
Sysco Corp.		270		6,156
BJ’s Wholesale Club, Inc.*§		80		2,559
Casey’s General Stores, Inc.§		80		2,133
Ruddick Corp.§		80		1,796
United Natural Foods, Inc.*§		80		1,518
Winn-Dixie Stores, Inc.*§		120		1,147
Total Consumer Staples				395,166
UTILITIES 1.5%
NSTAR§		3,200		102,016
Southern Co.§		2,600		79,612
PG&E Corp.§		1,600		61,152
Aqua America, Inc.		1,550		31,000
UGI Corp.§		1,070		25,263
Xcel Energy, Inc.		740		13,786
Dominion Resources, Inc.§		260		8,057
Public Service Enterprise Group, Inc.§		270		7,957
Sempra Energy§		150		6,936
Consolidated Edison, Inc.		170		6,734
Wisconsin Energy Corp.		110		4,529
DTE Energy Co.§		140		3,878
SCANA Corp.§		120		3,707
CenterPoint Energy, Inc.		340		3,546
Total Utilities				358,173

			MARKET
	SHARES		VALUE
TELECOMMUNICATION SERVICES 0.4%
Verizon Communications, Inc.§		1,880	$	56,776
MetroPCS Communications, Inc.*§		2,140		36,551
SBA Communications Corp.*		810		18,873
Total Telecommunication Services				112,200
Total Common Stocks
(Cost $5,795,589)				5,911,001
EXCHANGE TRADED FUNDS 7.2%
iShares MSCI Emerging Markets Index Fund§		39,040		968,582
Eaton Vance Tax-Managed Buy-Write Income Fund§		8,980		102,103
Nuveen Equity Premium Opportunity Fund§		9,970		101,196
Eaton Vance Tax-Managed Buy-Write Opportunities Fund§		9,580		101,069
Nuveen Core Equity Alpha Fund§		12,020		100,487
First Trust Enhanced Equity Income Fund, Inc.§		12,770		99,861
Nuveen Equity Premium and Growth Fund§		10,360		99,456
Liberty All Star Equity Fund§		32,960		96,573
Vanguard Emerging Markets ETF§		3,590		84,724
Total Exchange Traded Funds
(Cost $1,871,356)				1,754,051
		FACE
		AMOUNT
REPURCHASE AGREEMENTS† 47.6%
Credit Suisse Group issued 03/31/09 at 0.15% due 04/01/09	$	8,325,151		8,325,151
Mizuho Financial Group, Inc. issued 03/31/09 at 0.16% due 04/01/09		3,070,935		3,070,935
Morgan Stanley issued 03/31/09 at 0.05% due 04/01/09		211,260		211,260
Total Repurchase Agreements
(Cost $11,607,346)				11,607,346
Total Long Securities 79.0%
(Cost $19,274,291)			$	19,272,398

56    |    THE RYDEX SERIES FUNDS ANNUAL REPORT See Notes to Financial Statements.

SCHEDULE OF INVESTMENTS (continued)

March 31, 2009

     HEDGED EQUITY FUND

			MARKET
	SHARES		VALUE
COMMON STOCKS SOLD SHORT (18.3)%
TELECOMMUNICATION SERVICES (0.2)%
Qwest Communications International, Inc		160	$	(547	)
Crown Castle International Corp.*		290		(5,919	)
Level 3 Communications, Inc.*		14,690		(13,515	)
NII Holdings, Inc.*		1,300		(19,500	)
Sprint Nextel Corp.*		5,690		(20,313	)
Total Telecommunication Services				(59,794	)
MATERIALS (0.8)%
Chemtura Corp.		12,270		(583	)
Eastman Chemical Co.		70		(1,876	)
Temple-Inland, Inc.		780		(4,189	)
Cabot Corp.		440		(4,624	)
United States Steel Corp.		230		(4,860	)
Freeport-McMoRan Copper & Gold, Inc.		140		(5,335	)
Carpenter Technology Corp.		430		(6,072	)
Alcoa, Inc.		830		(6,092	)
Century Aluminum Co.*		3,020		(6,372	)
Celanese Corp.		480		(6,418	)
AK Steel Holding Corp.		920		(6,550	)
Titanium Metals Corp.		1,370		(7,494	)
Dow Chemical Co.		1,020		(8,599	)
Ashland, Inc.		840		(8,677	)
International Paper Co.		1,240		(8,730	)
Cytec Industries, Inc.		620		(9,312	)
Eagle Materials, Inc.		500		(12,125	)
Pactiv Corp.*		2,210		(32,244	)
Westlake Chemical Corp.		3,910		(57,203	)
Total Materials				(197,355	)
ENERGY (1.3)%
Noble Corp.		17		(410	)
Massey Energy Co.		60		(607	)
El Paso Corp.		200		(1,250	)
Patterson-UTI Energy, Inc.		270		(2,419	)
Smith International, Inc.		130		(2,792	)
Mariner Energy, Inc.*		420		(3,255	)
Arch Coal, Inc.		320		(4,278	)
UNIT CORP*		220		(4,602	)
Weatherford International Ltd.*		420		(4,649	)
Holly Corp.		250		(5,300	)
Foundation Coal Holdings, Inc.		400		(5,740	)
Patriot Coal Corp.*		1,750		(6,492	)
Hercules Offshore, Inc.*		4,390		(6,936	)
Nabors Industries Ltd.*		840		(8,392	)
Newfield Exploration Co.*		370		(8,399	)
Forest Oil Corp.*		670		(8,811	)
Key Energy Services, Inc.*		3,100		(8,928	)
Helix Energy Solutions Group, Inc.*		1,810		(9,303	)
Pioneer Natural Resources Co.		570		(9,388	)
Quicksilver Resources, Inc.*		1,700		(9,418	)

			MARKET
	SHARES		VALUE
BJ Services Co.		960	$	(9,552	)
Tetra Technologies, Inc.*		2,980		(9,685	)
SandRidge Energy, Inc.*		1,510		(9,951	)
W&T Offshore, Inc.		1,630		(10,025	)
Tesoro Corp.		800		(10,776	)
Exterran Holdings, Inc.*		680		(10,894	)
Valero Energy Corp.		620		(11,098	)
Williams Cos., Inc.		1,000		(11,380	)
Rowan Companies, Inc.		1,000		(11,970	)
Global Industries, Ltd.*		3,250		(12,480	)
Teekay Corp.		1,040		(14,799	)
Frontier Oil Corp.		1,230		(15,732	)
Baker Hughes, Inc.		830		(23,697	)
Denbury Resources, Inc.*		3,880		(57,657	)
Total Energy				(331,065	)
CONSUMER DISCRETIONARY (1.8)%
Harte-Hanks, Inc.		180		(963	)
CarMax, Inc.*		150		(1,866	)
Coldwater Creek, Inc.*		850		(2,133	)
Lowe’s Companies, Inc.		120		(2,190	)
KB Home		170		(2,241	)
Jarden Corp.*		180		(2,281	)
JC Penney Co., Inc.		120		(2,408	)
Liberty Media Corp. - Interactive*		860		(2,494	)
DR Horton, Inc.		290		(2,813	)
Hanesbrands*		320		(3,062	)
Centex Corp.		410		(3,075	)
Ryland Group, Inc.		210		(3,499	)
Sears Holding Corp.*		80		(3,657	)
Lamar Advertising Co. — Class A*		390		(3,802	)
Warner Music Group Corp.*		1,670		(3,924	)
Jones Apparel Group, Inc.		960		(4,051	)
Federal-Mogul Corp.*		650		(4,342	)
Harley-Davidson, Inc.		340		(4,553	)
Starwood Hotels & Resorts Worldwide, Inc.		380		(4,826	)
New York Times Co. — Class A		1,100		(4,972	)
Lennar Corp. — Class A		680		(5,107	)
WABCO Holdings, Inc.		450		(5,540	)
DISH Network Corp. — Class A*		530		(5,888	)
Whirlpool Corp.		200		(5,918	)
Saks, Inc.*		3,180		(5,947	)
Virgin Media, Inc.		1,250		(6,000	)
Newell Rubbermaid, Inc.		980		(6,252	)
TRW Automotive Holdings Corp.*		2,020		(6,504	)
Chico’s FAS, Inc.*		1,240		(6,659	)
OfficeMax, Inc.		2,140		(6,677	)
CBS Corp.		1,740		(6,682	)
News Corp. - Class A		1,020		(6,752	)
E.W. Scripps Co. — Class A		5,020		(6,777	)
CTC Media, Inc.*		1,610		(7,342	)
Office Depot, Inc.*		5,630		(7,375	)
Liz Claiborne, Inc.		3,000		(7,410	)
Wyndham Worldwide Corp.		1,810		(7,602	)

See Notes to Financial Statements. THE RYDEX SERIES FUNDS ANNUAL REPORT    |    57

SCHEDULE OF INVESTMENTS (continued)

March 31, 2009

     HEDGED EQUITY FUND

			MARKET
	SHARES		VALUE
Las Vegas Sands Corp.*		2,570	$	(7,736	)
Central European Media Enterprises Ltd. — Class A*		690		(7,907	)
International Game Technology		860		(7,929	)
Gannett Co., Inc.		3,780		(8,316	)
Orient-Express Hotels Ltd. — Class A		2,050		(8,405	)
Penn National Gaming Inc.*		360		(8,694	)
Goodyear Tire & Rubber Co.*		1,390		(8,701	)
Eastman Kodak Co.		2,320		(8,816	)
AnnTaylor Stores Corp.*		1,780		(9,256	)
Harman International Industries, Inc.		700		(9,471	)
Royal Caribbean Cruises Ltd.		1,190		(9,532	)
Hearst-Argyle Television, Inc.		2,300		(9,568	)
Clear Channel Outdoor - CL A*		2,630		(9,652	)
Boyd Gaming Corp.		2,670		(9,959	)
Williams-Sonoma, Inc.		1,090		(10,987	)
Macy’s, Inc.		1,250		(11,125	)
Abercrombie & Fitch Co. — Class A		490		(11,662	)
Garmin Ltd.		550		(11,666	)
Meredith Corp.		720		(11,981	)
Signet Jewelers Ltd.		1,140		(13,053	)
Starbucks Corp.*		1,530		(16,998	)
Liberty Media Corp. - Capital*		2,670		(18,637	)
Pool Corp.		1,960		(26,264	)
Total Consumer Discretionary				(429,899	)
CONSUMER STAPLES (2.0)%
PepsiCo/NC, Inc.		80		(4,118	)
ConAgra Foods, Inc.		250		(4,217	)
Central European Distribution Corp.*		720		(7,747	)
Rite Aid Corp.*		22,560		(7,896	)
Bare Escentuals, Inc.*		2,050		(8,405	)
Bunge Ltd.		160		(9,064	)
Safeway, Inc.		640		(12,921	)
Smithfield Foods, Inc.*		1,440		(13,622	)
NBTY, Inc.*		1,030		(14,502	)
SUPERVALU INC.		1,020		(14,566	)
Whole Foods Market, Inc.		980		(16,464	)
Tyson Foods, Inc. — Class A		1,820		(17,090	)
Herbalife Ltd.		1,370		(20,523	)
Hormel Foods Corp.		660		(20,929	)
Energizer Holdings, Inc.*		440		(21,864	)
Coca - Cola Enterprises		1,740		(22,951	)
Estee Lauder Cos., Inc. — Class A		1,030		(25,389	)
Reynolds American, Inc.		750		(26,880	)
Avon Products, Inc.		1,540		(29,614	)
Constellation Brands, Inc. — Class A*		2,900		(34,510	)
Sara Lee Corp.		4,420		(35,714	)
Del Monte Foods Co.		7,020		(51,176	)

			MARKET
	SHARES		VALUE
Walgreen Co.		2,560	$	(66,458	)
Total Consumer Staples				(486,620	)
FINANCIALS (2.1)%
Franklin Resources, Inc.		10		(539	)
Astoria Financial Corp.		60		(551	)
TD Ameritrade Holding Corp.*		40		(552	)
Colonial BancGroup, Inc.		770		(693	)
Wilmington Trust Corp.		80		(775	)
Synovus Financial Corp.		270		(877	)
Apartment Investment & Management Co. — Class A		330		(1,808	)
Kimco Realty Corp.		290		(2,210	)
Lincoln National Corp.		370		(2,475	)
Jones Lang LaSalle, Inc.		110		(2,559	)
Prudential Financial, Inc.		170		(3,233	)
CNA Financial Corp.		360		(3,298	)
SLM Corp.*		670		(3,316	)
HRPT Properties Trust		1,040		(3,318	)
NYSE Euronext		200		(3,580	)
Unitrin, Inc.		280		(3,914	)
Duke Realty Corp.		720		(3,960	)
Hospitality Properties Trust		330		(3,960	)
Brandywine Realty Trust		1,410		(4,018	)
AMB Property Corp.		290		(4,176	)
Goldman Sachs Group, Inc.		40		(4,241	)
East West Bancorp, Inc.		1,010		(4,616	)
Host Hotels & Resorts, Inc.		1,180		(4,626	)
JPMorgan Chase & Co.		180		(4,784	)
Jefferies Group, Inc.		350		(4,830	)
Janus Capital Group, Inc.		750		(4,988	)
Assurant, Inc.		240		(5,227	)
Principal Financial Group, Inc.		680		(5,562	)
CIT Group, Inc.		2,010		(5,729	)
CB Richard Ellis Group, Inc. — Class A*		1,440		(5,803	)
ProLogis		900		(5,850	)
Waddell & Reed Financial, Inc. — Class A		340		(6,144	)
CapitalSource, Inc.		5,180		(6,320	)
MGIC Investment Corp.		4,490		(6,376	)
Genworth Financial, Inc. — Class A		3,370		(6,403	)
BRE Properties, Inc.		330		(6,478	)
SL Green Realty Corp.		600		(6,480	)
Popular, Inc.		2,980		(6,496	)
E*Trade Financial Corp.*		5,090		(6,515	)
Whitney Holding Corp.		570		(6,527	)
American Capital Ltd.		3,500		(6,545	)
Zions Bancorporation		670		(6,586	)
Forest City Enterprises, Inc. — Class A		1,850		(6,660	)
Protective Life Corp.		1,280		(6,720	)
Webster Financial Corp.		1,590		(6,758	)
MBIA, Inc.*		1,510		(6,916	)

58    |    THE RYDEX SERIES FUNDS ANNUAL REPORT See Notes to Financial Statements.

SCHEDULE OF INVESTMENTS (continued)

March 31, 2009

     HEDGED EQUITY FUND

			MARKET
	SHARES		VALUE
Hartford Financial Services Group, Inc.		900	$	(7,065	)
American Express Co.		520		(7,088	)
Huntington Bancshares, Inc.		4,290		(7,121	)
Moody’s Corp.		320		(7,334	)
Developers Diversified Realty Corp.		3,510		(7,476	)
American International Group, Inc.		7,590		(7,590	)
CBL & Associates Properties, Inc.		3,240		(7,646	)
General Growth Properties, Inc.		10,960		(7,782	)
First Horizon National Corp.		731		(7,847	)
Affiliated Managers Group, Inc.*		190		(7,925	)
Morgan Stanley		350		(7,970	)
Legg Mason, Inc.		510		(8,109	)
Allied Capital Corp.		5,480		(8,713	)
Fifth Third Bancorp		3,330		(9,724	)
Marshall & Ilsley Corp.		1,890		(10,641	)
Conseco, Inc.*		11,640		(10,709	)
MF Global Ltd.*		2,550		(10,787	)
Regions Financial Corp.		2,570		(10,948	)
iStar Financial, Inc.		4,000		(11,240	)
KeyCorp		1,610		(12,671	)
Bank of America Corp.		1,950		(13,299	)
Student Loan Corp.		310		(13,466	)
GLG Partners, Inc.		5,160		(14,654	)
Capital One Financial Corp.		1,360		(16,646	)
XL Capital		3,200		(17,472	)
SunTrust Banks, Inc.		1,990		(23,363	)
Comerica, Inc.		1,570		(28,747	)
Total Financials				(508,025	)
UTILITIES (2.1)%
American Electric Power Co., Inc.		90		(2,273	)
MDU Resources Group, Inc.		260		(4,196	)
Atmos Energy Corp.		200		(4,624	)
Reliant Energy, Inc.*		3,270		(10,431	)
Dynegy, Inc. - Class A*		8,090		(11,407	)
Ameren Corp.		540		(12,523	)
Great Plains Energy, Inc.		1,170		(15,760	)
Integrys Energy Group, Inc.		640		(16,666	)
Constellation Energy Group, Inc.		840		(17,354	)
Calpine Corp.*		2,600		(17,706	)
CMS Energy Corp.		1,570		(18,589	)
Edison International		750		(21,607	)
Energen Corp.		750		(21,848	)
Mirant Corp.*		1,930		(22,002	)
AES Corp.*		3,900		(22,659	)
NV Energy, Inc.		3,190		(29,954	)
Allegheny Energy, Inc.		1,460		(33,828	)
Oneok, Inc.		1,520		(34,398	)
NiSource, Inc.		4,660		(45,668	)
Alliant Energy Corp.		1,950		(48,146	)
OGE Energy Corp.		2,040		(48,593	)
Pinnacle West Capital Corp.		1,990		(52,854	)
Total Utilities				(513,086	)

			MARKET
	SHARES		VALUE
HEALTH CARE (2.4)%
Idexx Laboratories, Inc.*		120	$	(4,150	)
McKesson Corp.		180		(6,307	)
Patterson Cos., Inc.*		390		(7,355	)
BioMarin Pharmaceuticals, Inc.*		760		(9,386	)
Charles River Laboratories International, Inc.*		350		(9,523	)
WellCare Health Plans, Inc.*		850		(9,562	)
Amylin Pharmaceuticals, Inc.*		850		(9,987	)
Tenet Healthcare Corp.*		8,750		(10,150	)
Health Management Associates, Inc. — Class A*		4,040		(10,423	)
Brookdale Senior Living Inc.		2,140		(10,807	)
Health Net, Inc.*		770		(11,150	)
Eli Lilly & Co.		350		(11,694	)
Waters Corp.*		330		(12,194	)
Sepracor, Inc.*		900		(13,194	)
CIGNA Corp.		820		(14,424	)
Coventry Health Care, Inc.*		1,120		(14,493	)
Mednax, Inc.*		500		(14,735	)
King Pharmaceuticals, Inc.*		2,090		(14,776	)
IMS Health Inc		1,200		(14,964	)
Intuitive Surgical, Inc.*		160		(15,258	)
Forest Laboratories, Inc.*		720		(15,811	)
Aetna, Inc.		680		(16,544	)
Wellpoint, Inc.*		460		(17,466	)
Hospira, Inc.*		590		(18,207	)
Community Health Systems, Inc.*		1,220		(18,715	)
Hill-Rom Holdings, Inc.		1,930		(19,088	)
UnitedHealth Group, Inc.		940		(19,674	)
Zimmer Holdings, Inc.*		550		(20,075	)
Humana, Inc.*		860		(22,429	)
Inverness Medical Innovations, Inc.*		900		(23,967	)
VCA Antech, Inc.*		1,160		(26,158	)
CooperCompanies, Inc.		1,010		(26,704	)
Kinetic Concepts, Inc.*		1,290		(27,245	)
Life Technologies Corp.*		890		(28,907	)
Boston Scientific Corp.*		3,690		(29,336	)
Hologic, Inc.*		3,050		(39,925	)
Total Health Care				(594,783	)
INDUSTRIALS (2.5)%
KBR, Inc.		10		(138	)
Carlisle Companies, Inc.		20		(393	)
Aircastle Ltd.		340		(1,581	)
General Dynamics Corp.		90		(3,743	)
SunPower Corp.*		170		(4,043	)
Avery Dennison Corp.		190		(4,245	)
Rockwell Collins, Inc.		140		(4,570	)
Alexander & Baldwin, Inc.		300		(5,709	)
Continental Airlines, Inc.*		650		(5,726	)
Manitowoc Co., Inc.		2,270		(7,423	)
Goodrich Corp.		200		(7,578	)
Boeing Co.		220		(7,828	)

See Notes to Financial Statements. THE RYDEX SERIES FUNDS ANNUAL REPORT    |    59

SCHEDULE OF INVESTMENTS (continued)

March 31, 2009

     HEDGED EQUITY FUND

			MARKET
	SHARES		VALUE
General Cable Corp.*		420	$	(8,324	)
HNI Corp.		840		(8,736	)
Terex Corp*		950		(8,787	)
Delta Air Lines, Inc.*		1,570		(8,839	)
Graco, Inc.		530		(9,047	)
McDermott International, Inc.*		680		(9,105	)
Textron, Inc.		1,590		(9,127	)
Hertz Global Holdings, Inc.*		2,350		(9,236	)
Trinity Industries, Inc.		1,030		(9,414	)
Oshkosh Corp.		1,410		(9,503	)
Avis Budget Group, Inc.*		10,620		(9,664	)
Cooper Industries, Ltd. — Class A		380		(9,827	)
Joy Global Inc.		480		(10,224	)
USG Corp.*		1,430		(10,882	)
Bucyrus International, Inc. — Class A		730		(11,081	)
AGCO Corp.*		590		(11,564	)
BE Aerospace, Inc.*		1,350		(11,705	)
Caterpillar, Inc.		420		(11,743	)
Harsco Corp.		530		(11,750	)
WESCO International, Inc.*		650		(11,778	)
AMR Corp.*		3,750		(11,963	)
Robert Half International, Inc.		680		(12,124	)
Rockwell Automation, Inc.		580		(12,667	)
United Rentals, Inc.*		3,080		(12,967	)
Thomas & Betts Corp.*		530		(13,261	)
Deere & Co.		410		(13,477	)
Steelcase, Inc. - Class A		2,830		(14,178	)
Ingersoll-Rand Company Ltd. — Class A		1,030		(14,214	)
Con-way Inc.		810		(14,523	)
Spirit Aerosystems Holdings, Inc. — Class A*		1,490		(14,855	)
Masco Corp.		2,130		(14,867	)
Monster Worldwide, Inc.*		1,920		(15,648	)
Corrections Corp. of America*		1,290		(16,525	)
Crane Co.		1,100		(18,568	)
Corporate Executive Board Co.		1,400		(20,300	)
General Electric Co.		2,070		(20,928	)
Tyco International Ltd.		1,500		(29,340	)
FedEx Corp.		710		(31,588	)
Southwest Airlines Co.		7,030		(44,500	)
Total Industrials				(599,806	)
INFORMATION TECHNOLOGY (3.1)%
Sanmina-SCI Corp.*		4,940		(1,507	)
Novell, Inc.*		530		(2,258	)
VeriFone Holdings, Inc.*		350		(2,380	)
Rambus, Inc.*		300		(2,838	)
Marvell Technology Group Ltd.*		400		(3,664	)
ON Semiconductor Corp.*		1,340		(5,226	)
Riverbed Technology, Inc.*		400		(5,232	)
Genpact Ltd.*		680		(6,025	)
Lexmark International, Inc. — Class A*		420		(7,085	)

			MARKET
	SHARES		VALUE
NVIDIA Corp.*		740	$	(7,296	)
Dell, Inc.*		820		(7,774	)
Novellus Systems, Inc.*		470		(7,816	)
Agilent Technologies, Inc.*		510		(7,839	)
Applied Materials, Inc.		770		(8,277	)
MEMC Electronic Materials, Inc.*		510		(8,410	)
Unisys Corp.*		17,480		(9,264	)
eBay, Inc.*		740		(9,294	)
Tellabs, Inc.*		2,150		(9,847	)
Lam Research Corp.*		480		(10,930	)
Arrow Electronics, Inc.*		580		(11,055	)
Intersil Corp. — Class A		1,020		(11,730	)
CommScope, Inc.*		1,040		(11,814	)
JDS Uniphase Corp.*		3,670		(11,928	)
Nuance Communications, Inc.*		1,100		(11,946	)
VMware, Inc.*		520		(12,282	)
Texas Instruments, Inc.		790		(13,043	)
Teradyne, Inc.*		3,000		(13,140	)
Ciena Corp.*		1,700		(13,226	)
EchoStar Corp. — Class A*		900		(13,347	)
Kla-Tencor Corp.		710		(14,200	)
ADC Telecommunications, Inc.*		3,380		(14,838	)
Fairchild Semiconductor International, Inc.*		4,100		(15,293	)
LSI Logic Corp.*		5,140		(15,626	)
Brocade Communications Systems, Inc.*		4,540		(15,663	)
Seagate Technology		2,610		(15,686	)
Jabil Circuit, Inc.		2,910		(16,180	)
NCR Corp.*		2,110		(16,775	)
Autodesk, Inc.*		1,100		(18,491	)
Tyco Electronics Ltd.		1,710		(18,878	)
Electronic Arts, Inc.*		1,060		(19,281	)
SanDisk Corp.*		1,540		(19,481	)
International Rectifier Corp.*		1,560		(21,076	)
DST Systems, Inc.*		610		(21,118	)
Cadence Design Systems, Inc.*		5,070		(21,294	)
Vishay Intertechnology, Inc.*		6,130		(21,332	)
Convergys Corp.*		2,710		(21,897	)
Motorola, Inc.		5,200		(21,996	)
Xerox Corp.		5,210		(23,706	)
Advanced Micro Devices, Inc.*		7,890		(24,065	)
Sun Microsystems, Inc.*		3,320		(24,302	)
Corning, Inc.		1,890		(25,080	)
Micron Technology, Inc.*		6,350		(25,781	)
NetApp, Inc.*		1,780		(26,415	)
Acxiom Corp.		4,110		(30,414	)
Total Information Technology				(755,341	)
Total Common Stocks Sold Short
(Proceeds $4,547,463)			$	(4,475,774	)
Other Assets in Excess of Liabilities – 39.4%			$	9,611,333
Net Assets – 100.0%			$	24,407,957

60    |    THE RYDEX SERIES FUNDS ANNUAL REPORT See Notes to Financial Statements.

SCHEDULE OF INVESTMENTS (concluded)

March 31, 2009

     HEDGED EQUITY FUND

			UNREALIZED
	CONTRACTS		GAIN
FUTURES CONTRACTS PURCHASED
June 2009 Nikkei-225 Stock Average Index Futures Contracts (Aggregate Market Value of Contracts $1,090,700)		26	$	175,165
June 2009 S&P MidCap 400 Index Mini Futures Contracts (Aggregate Market Value of Contracts $1,456,500)		30		161,371
June 2009 S&P 500 Index Mini Futures Contracts (Aggregate Market Value of Contracts $1,305,150)		33		128,851
June 2009 Russell 2000 Index Mini Futures Contracts (Aggregate Market Value of Contracts $4,689,440)		112		55,029
June 2009 Dow Jones STOXX 50 Futures Contracts (Aggregate Market Value of Contracts $1,129,246)		48		33,074
(Total Aggregate Market Value of Contracts $9,671,036)			$	553,490

*	Non-Income Producing Security.
†	Repurchase Agreements — See Note 6.
§	All or a portion of this security is pledged as short security collateral at March 31, 2009.
	ADR — American Depository Receipt.
	REIT — Real Estate Investment Trust.

See Notes to Financial Statements. THE RYDEX SERIES FUNDS ANNUAL REPORT    |    61

SCHEDULE OF INVESTMENTS

March 31, 2009

     INTERNATIONAL ROTATION FUND

			MARKET
	SHARES		VALUE
EXCHANGE TRADED FUND 4.9%
Vanguard European ETF		19,000	$	606,100
Total Exchange Traded Fund
(Cost $619,339)				606,100
		FACE
		AMOUNT
REPURCHASE AGREEMENTS† 75.3%
Credit Suisse Group issued 03/31/09 at 0.15% due 04/01/09	$	6,683,608		6,683,608
Mizuho Financial Group, Inc. issued 03/31/09 at 0.16% due 04/01/09		2,465,412		2,465,412
Morgan Stanley issued 03/31/09 at 0.05% due 04/01/09		169,605		169,605
Total Repurchase Agreements
(Cost $9,318,625)				9,318,625
Total Investments 80.2%
(Cost $9,937,964)			$	9,924,725
Other Assets in Excess of Liabilities – 19.8%			$	2,446,769
Net Assets – 100.0%			$	12,371,494
			Unrealized
		Contracts		Gain (Loss)
CURRENCY FUTURES CONTRACTS PURCHASED
June 2009 Canadian Dollar Futures Contracts (Aggregate Market Value of Contracts $1,666,560)		21	$	21,707
June 2009 Japanese Yen Futures Contracts (Aggregate Market Value of Contracts $2,908,063)		23		(27,158	)
(Total Aggregate Market Value of Contracts $4,574,623)			$	(5,451	)

			UNREALIZED
	CONTRACTS		Gain (Loss)
FUTURES CONTRACTS PURCHASED
June 2009 Nikkei-225 Stock Average Index Futures Contracts (Aggregate Market Value of Contracts $2,852,600)		68	$	451,776
June 2009 S&P/Toronto Stock Exchange 60 Index Futures Contracts (Aggregate Market Value of Contracts $2,911,578)		35		113,844
June 2009 FTSE 100 Index Futures Contracts (Aggregate Market Value of Contracts $3,440,640)		62		76,549
April 2009 CAC 40 10 Euro Futures Contracts (Aggregate Market Value of Contracts $1,005,526)		27		14,188
April 2009 OMX Stockholm 30 Index Futures Contracts (Aggregate Market Value of Contracts $1,421,696)		181		(31,391	)
(Total Aggregate Market Value of Contracts $11,632,040)			$	624,966

† Repurchase Agreements — See Note 6.

62    |    THE RYDEX SERIES FUNDS ANNUAL REPORT See Notes to Financial Statements.

SCHEDULE OF INVESTMENTS

March 31, 2009

     REAL ESTATE FUND

			MARKET
	SHARES		VALUE
COMMON STOCKS 101.4%
REAL ESTATE INVESTMENT TRUST (REIT) 86.0%
SPECIALIZED REIT 25.9%
Public Storage		2,694	$	148,843
Plum Creek Timber Company,
Inc. (REIT)		3,841		111,658
HCP, Inc.		5,482		97,854
Health Care REIT, Inc.		2,727		83,419
Ventas, Inc.		3,666		82,888
Rayonier, Inc.		2,707		81,806
Nationwide Health Properties,
Inc.		3,346		74,248
Host Hotels & Resorts, Inc.		15,757		61,767
Senior Housing Properties Trust		4,334		60,763
Omega Healthcare Investors,
Inc.		3,885		54,701
Hospitality Properties Trust		4,294		51,528
Potlatch Corp.		2,048		47,493
Healthcare Realty Trust, Inc.		3,062		45,899
Entertainment Properties Trust		1,996		31,457
Sovran Self Storage, Inc.		1,522		30,562
Extra Space Storage, Inc.		5,210		28,707
Medical Properties Trust Inc.		6,466		23,601
LaSalle Hotel Properties		3,413		19,932
Total Specialized REIT				1,137,126
RETAIL REIT 15.8%
Simon Property Group, Inc.		3,855		133,537
Federal Realty Investment Trust		1,784		82,064
Realty Income Corp.		3,828		72,043
Regency Centers Corp.		2,265		60,181
National Retail Properties, Inc.		3,774		59,780
KIMCO Realty Corp.		6,886		52,471
Tanger Factory Outlet Centers,
Inc.		1,686		52,030
Equity One, Inc.		3,867		47,139
Taubman Centers, Inc.		2,659		45,309
Weingarten Realty Investors		3,760		35,795
Inland Real Estate Corp.		4,206		29,821
Macerich Co.		3,631		22,730
Total Retail REIT				692,900
RESIDENTIAL REIT 14.7%
Equity Residential		5,512		101,145
AvalonBay Communities, Inc.		1,975		92,943
Essex Property Trust, Inc.		1,050		60,207
Equity Lifestyle Properties, Inc.		1,367		52,083
Camden Property Trust		2,329		50,260
Mid-America Apartment Communities, Inc.		1,594		49,143

			MARKET
	SHARES		VALUE
UDR, Inc.		5,656	$	48,698
Home Properties, Inc.		1,564		47,937
BRE Properties, Inc. — Class A		2,330		45,738
American Campus Communities, Inc.		2,356		40,900
Post Properties, Inc.		2,932		29,730
Apartment Investment &
Management Co. — Class A		5,054		27,696
Total Residential REIT				646,480
OFFICE REIT 13.4%
Boston Properties, Inc.		2,773		97,138
Digital Realty Trust, Inc.		2,506		83,149
Highwoods Properties, Inc.		2,713		58,113
Mack-Cali Realty Corp.		2,930		58,043
Corporate Office Properties
Trust SBI		2,273		56,439
Alexandria Real Estate Equities,
Inc.		1,216		44,262
Douglas Emmett, Inc.		5,819		43,002
SL Green Realty Corp.		3,217		34,744
Duke Realty Corp.		6,161		33,886
Kilroy Realty Corp.		1,895		32,575
BioMed Realty Trust, Inc.		4,342		29,395
Brandywine Realty Trust		6,200		17,670
Total Office REIT				588,416
MORTGAGE REIT 7.4%
Annaly Capital Management,
Inc.		9,878		137,008
MFA Mortgage Investments,
Inc.		9,796		57,601
Hatteras Financial Corp.		1,966		49,130
Capstead Mortgage Corp.		3,864		41,499
Redwood Trust, Inc.		2,591		39,772
Total Mortgage REIT				325,010
DIVERSIFIED REIT 5.3%
Vornado Realty Trust		2,882		95,798
Liberty Property Trust		3,673		69,567
Washington Real Estate
Investment Trust		2,455		42,471
Cousins Properties, Inc.		3,659		23,564
Total Diversified REIT				231,400
INDUSTRIAL REIT 3.5%
AMB Property Corp.		3,865		55,656
ProLogis		8,385		54,502
Eastgroup Properties, Inc.		1,481		41,572
Total Industrial REIT				151,730
Total Real Estate Investment
Trust (REIT)				3,773,062

See Notes to Financial Statements. THE RYDEX SERIES FUNDS ANNUAL REPORT    |    63

SCHEDULE OF INVESTMENTS (concluded)

March 31, 2009

     REAL ESTATE FUND

			MARKET
	SHARES		VALUE
REAL ESTATE MANAGEMENT &
DEVELOPEMENT 15.4%
Brookfield Asset Management, Inc. — Class A		9,722	$	133,969
Brookfield Properties Corp.		13,945		80,044
The St. Joe Co.*		3,190		53,401
Franklin Street Properties Corp., Inc.		4,045		49,753
Alexander’s, Inc.		270		46,003
Jones Lang LaSalle, Inc.		1,960		45,590
National Health Investors, Inc.		1,690		45,410
PS Business Parks, Inc.		1,140		42,009
Investors Real Estate Trust		4,004		39,479
Anworth Mortgage Asset Corp.		6,251		38,319
LTC Properties, Inc.		1,750		30,695
Saul Centers, Inc.		1,209		27,771
Forestar Real Estate Group, Inc.*		2,944		22,522
Forest City Enterprises, Inc. — Class A		5,337		19,213
Total Real Estate Management & Developement				674,178
Total Common Stocks
(Cost $4,072,902)				4,447,240
		FACE
		AMOUNT
REPURCHASE AGREEMENT† 1.8%
Credit Suisse Group issued 03/31/09 at 0.15% due 04/01/09	$	80,467		80,467
Total Repurchase Agreement
(Cost $80,467)				80,467
Total Investments 103.2%
(Cost $4,153,369)			$	4,527,707
Liabilities in Excess of Other Assets (3.2)%			$	(141,872	)
Net Assets – 100.0%			$	4,385,835

*	Non-Income Producing Security.
†	Repurchase Agreements — See Note 6.
	REIT — Real Estate Investment Trust.

64    |    THE RYDEX SERIES FUNDS ANNUAL REPORT See Notes to Financial Statements.

SCHEDULE OF INVESTMENTS

March 31, 2009

     STRENGTHENING DOLLAR 2x STRATEGY FUND

	FACE		MARKET
	AMOUNT		VALUE
FEDERAL AGENCY DISCOUNT
NOTES 71.0%
Federal Home Loan Bank 3.05% due 04/01/09*	$	25,000,000	$	25,000,000
Total Federal Agency Discount Notes
(Cost $25,000,000)				25,000,000
REPURCHASE AGREEMENTS† 61.7%
Credit Suisse Group issued 03/31/09 at 0.15% due 04/01/09		15,560,443		15,560,443
Mizuho Financial Group, Inc. issued 03/31/09 at 0.16% due 04/01/09		5,739,848		5,739,848
Morgan Stanley issued 03/31/09 at 0.05% due 04/01/09		394,865		394,865
Total Repurchase Agreements
(Cost $21,695,156)				21,695,156
Total Investments 132.7%
(Cost $46,695,156)			$	46,695,156
Liabilities in Excess of Other Assets – (32.7)%			$	(11,506,633	)
Net Assets – 100.0%			$	35,188,523

			UNREALIZED
	CONTRACTS		GAIN (LOSS)
CURRENCY FUTURES CONTRACTS
PURCHASED
June 2009 U.S. Dollar Index Futures Contracts (Aggregate Market Value of Contracts $61,561,620)		717	$	(13,895	)
		UNITS
CURRENCY INDEX SWAP AGREEMENT
Goldman Sachs International May 2009 U.S. Dollar Index Swap, Terminating 05/29/09†† (Notional Market Value of Contracts $9,254,415)		108,010	$	106,930

*	The issuer is a publicly traded company that operates under a Congressional charter; its securities are neither issued nor guaranteed by the U.S. Government.
†	Repurchase Agreements — See Note 6.
††	Total Return based on U.S. Dollar Index +/- financing at a variable rate.

See Notes to Financial Statements. THE RYDEX SERIES FUNDS ANNUAL REPORT    |    65

SCHEDULE OF INVESTMENTS

March 31, 2009

     WEAKENING DOLLAR 2x STRATEGY FUND

	FACE		MARKET
	AMOUNT		VALUE
REPURCHASE AGREEMENTS† 74.9%
Credit Suisse Group issued 03/31/09 at 0.15% due 04/01/09	$	46,492,401	$	46,492,401
Mizuho Financial Group, Inc. issued 03/31/09 at 0.16% due 04/01/09		17,149,854		17,149,854
Morgan Stanley issued 03/31/09 at 0.05% due 04/01/09		1,179,800		1,179,800
Total Repurchase Agreements
(Cost $64,822,055)				64,822,055
Total Investments 74.9%
(Cost $64,822,055)			$	64,822,055
Other Assets in Excess of Liabilities – 25.1%			$	21,755,543
Net Assets – 100.0%			$	86,577,598

			UNREALIZED
	CONTRACTS		GAIN
CURRENCY FUTURES CONTRACTS
SOLD SHORT
June 2009 U.S. Dollar Index Futures Contracts (Aggregate Market Value of Contracts $117,113,040)		1,364	$	4,172,554
		UNITS
CURRENCY INDEX SWAP AGREEMENT SOLD SHORT
Goldman Sachs International May 2009 U.S. Dollar Index Swap, Terminating 05/29/09†† (Notional Market Value of Contracts $57,012,696)		665,405	$	1,175,832

†	Repurchase Agreements — See Note 6.
††	Total Return based on U.S. Dollar Index +/- financing at a variable rate.

66    |    THE RYDEX SERIES FUNDS ANNUAL REPORT See Notes to Financial Statements.

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THE RYDEX SERIES FUNDS ANNUAL REPORT    |    67

STATEMENTS OF ASSETS AND LIABILITIES

							Absolute			Alternative
	Multi-Cap			Sector			Return			Strategies
	Core Equity			Rotation			Strategies			Allocation
	Fund			Fund			Fund			Fund
Assets
Investment Securities	$	9,813,890		$	163,533,264		$	39,343,200		$	4,615,769
Investment Securities in Affiliated Funds		—			—			—			25,614,101
Repurchase Agreements		29,450			1,908,550			76,324,380			1,881,654
Total Investments		9,843,340			165,441,814			115,667,580			32,111,524
Segregated Cash with Broker		—			—			9,520,034			—
Unrealized Appreciation on Swap Agreements		—			—			—			—
Receivable for Swap Settlement		—			—			—			—
Deposits with Brokers for Securities Sold Short		—			—			19,184,822			—
Variation Margin on Futures Contracts		—			—			254,596			—
Receivable for Securities Sold		74,955			541,500			27,790,513			—
Receivable for Fund Shares Sold		2,352			188,975			218,635			30,268
Investment Income Receivable		24,695			208,967			85,647			—
Total Assets		9,945,342			166,381,256			172,721,827			32,141,792
Liabilities
Short Sales at Market Value		—			—			16,362,154			—
Payable for Swap Settlement		—			—			—			—
Unrealized Loss on Foreign Currency		—			—			—			—
Variation Margin on Futures Contracts		—			—			—			—
Payable for Securities Purchased		—			—			18,909,947			—
Payable for Fund Shares Redeemed		12,057			238,620			230,104			42,644
Investment Advisory Fees Payable		—			119,726			128,703			—
Transfer Agent and Administrative Fees Payable		1,961			33,257			—			—
Distribution and Service Fees Payable		5,265			67,949			45,535			4,865
Portfolio Accounting Fees Payable		784			13,303			—			—
Custody Fees Payable		294			4,928			—			—
Overdraft Due to Custodian Bank		—			—			—			—
Short Sales Dividends Payable		—			—			32,212			—
Other Accrued Fees		5,547			106,286			—			—
Total Liabilities		25,908			584,069			35,708,655			47,509
Net Assets	$	9,919,434		$	165,797,187		$	137,013,172		$	32,094,283
Net Assets Consist Of
Paid-In Capital	$	22,784,269		$	318,906,286		$	197,141,257		$	40,918,375
Undistributed Net Investment Income (Loss)		11,703			—			(59,903	)		1,703,139
Accumulated Net Realized Gain (Loss) on Investments		(12,266,655	)		(155,331,663	)		(59,014,783	)		(8,328,083	)
Net Unrealized Appreciation (Depreciation) on Investments and Foreign Currency		(609,883	)		2,222,564			(1,053,399	)		(2,199,148	)
Net Assets	$	9,919,434		$	165,797,187		$	137,013,172		$	32,094,283
A-Class	$	663,257		$	31,924,809		$	45,078,244		$	5,816,221
C-Class		5,659,364			57,792,162			28,706,369			7,750,273
H-Class		3,596,813			76,080,216			63,228,559			18,527,789
Shares Outstanding
A-Class		95,965			3,703,965			2,258,160			300,958
C-Class		872,954			7,073,185			1,477,756			404,300
H-Class		520,089			8,798,125			3,165,343			958,912
Net Asset Values
A-Class		$6.91			$8.62			$19.96			$19.33
A-Class Maximum Offering Price*		7.25			9.05			20.96			20.29
C-Class		6.48			8.17			19.43			19.17
H-Class		6.92			8.65			19.98			19.32
Cost of Investments	$	10,453,223		$	163,219,250		$	118,425,940		$	34,310,672
Proceeds from Short Sales		—			—			16,654,273			—

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

68    |    THE RYDEX SERIES FUNDS ANNUAL REPORT See Notes to Financial Statements.

March 31, 2009

			Global												Strengthening			Weakening
Commodities			Market			Hedged			International						Dollar 2x			Dollar 2x
Strategy			Neutral			Equity			Rotation			Real Estate			Strategy			Strategy
Fund			Fund			Fund			Fund			Fund			Fund			Fund
$	29,526,459		$	14,335,918		$	7,665,052		$	606,100		$	4,447,240		$	25,000,000		$	—
	—			—			—			—			—			—			—
	31,837,916			13,836,286			11,607,346			9,318,625			80,467			21,695,156			64,822,055
	61,364,375			28,172,204			19,272,398			9,924,725			4,527,707			46,695,156			64,822,055
	—			1,000,000			4,231,051			2,006,712			—			7,295,307			7,509,631
	—			—			—			—			—			106,930			1,175,832
	—			—			—			—			—			—			497,859
	—			12,990,138			4,886,607			—			—			—			—
	—			—			136,865			304,655			—			—			589,063
	991,600			—			4,244,963			95,192			—			—			—
	276,857			7,352			45,360			84,390			863,174			2,023,530			14,748,574
	13,394			58			17,712			39			34,052			91			272
	62,646,226			42,169,752			32,834,956			12,415,713			5,424,933			56,121,014			89,343,286
	—			12,997,742			4,475,774			—			—			—			—
	—			—			—			—			—			1,004,321			—
	—			8,414			—			—			—			—			—
	—			—			—			—			—			378,070			—
	—			14,351,985			3,905,940			—			645,922			—			—
	685,547			36,555			9,183			17,335			382,423			19,428,516			2,632,241
	17,933			488			23,196			10,214			3,000			44,388			54,623
	10,547			102			—			2,837			882			12,330			15,173
	12,459			102			6,741			3,775			1,168			18,462			20,658
	4,219			41			—			1,135			353			4,932			6,069
	1,392			13			—			375			149			1,628			2,003
	—			50			—			974			—			—			—
	—			—			6,165			—			—			—			—
	31,942			64			—			7,574			5,201			39,844			34,921
	764,039			27,395,556			8,426,999			44,219			1,039,098			20,932,491			2,765,688
$	61,882,187		$	14,774,196		$	24,407,957		$	12,371,494		$	4,385,835		$	35,188,523		$	86,577,598
$	89,852,052		$	14,806,563		$	34,145,604		$	28,510,994		$	24,247,730		$	47,595,666		$	118,549,333
	309,227			(281	)		(9,084	)		58,464			171,104			—			—
	(29,371,556	)		—			(10,351,849	)		(16,804,240	)		(20,407,337	)		(12,500,178	)		(37,320,121	)
	1,092,464			(32,086	)		623,286			606,276			374,338			93,035			5,348,386
$	61,882,187		$	14,774,196		$	24,407,957		$	12,371,494		$	4,385,835		$	35,188,523		$	86,577,598
$	7,188,670		$	11,023,208		$	2,221,787		$	6,818,234		$	1,553,696		$	7,314,417		$	17,641,537
	4,071,743			25			2,858,842			1,617,669			1,075,234			5,727,504			8,686,689
	50,621,774			3,750,963			19,327,328			3,935,591			1,756,905			22,146,602			60,249,372
	541,985			441,907			127,576			495,341			121,138			372,352			1,076,927
	316,583			1			168,671			118,858			87,200			301,328			552,295
	3,816,969			150,372			1,109,484			285,712			137,011			1,132,434			3,680,642
$	13.26		$	24.94		$	17.42		$	13.76		$	12.83		$	19.64		$	16.38
	13.92			26.18			18.29			14.45			13.47			20.62			17.20
	12.86			24.95			16.95			13.61			12.33			19.01			15.73
	13.26			24.94			17.42			13.77			12.82			19.56			16.37
$	60,271,911		$	28,188,271		$	19,274,291		$	9,937,964		$	4,153,369		$	46,695,156		$	64,822,055
	—			12,990,137			4,547,463			—			—			—			—

THE RYDEX SERIES FUNDS ANNUAL REPORT    |    69

STATEMENTS OF OPERATIONS

							Absolute			Alternative
	Multi-Cap			Sector			Return			Strategies
	Core Equity			Rotation			Strategies			Allocation
	Fund			Fund			Fund			Fund
Investment Income
Interest	$	4,933		$	50,934		$	1,568,110		$	7,011
Income from Securities Lending, net		26,812			238,504			55,484			—
Dividends, Net of Foreign Tax Withheld		440,719			5,044,584			1,722,837			—
Dividends from Affiliated Funds		—			—			—			651,829
Other Income		—			—			883			—
Total Income		472,464			5,334,022			3,347,314			658,840
Expenses
Investment Advisory Fees		67,805			2,786,051			2,246,324			—
Transfer Agent and Administrative Fees		52,496			773,903			—			—
Distribution & Service Fees:
A-Class		3,898			111,339			130,559			—
C-Class		106,585			936,299			423,942			43,815
H-Class		21,951			428,489			251,786			—
Portfolio Accounting Fees		20,999			288,527			—			—
Short Sales Dividend Expense		—			—			1,308,014			—
Trustees’ Fees*		3,096			39,732			—			—
Custody Fees		6,825			120,821			—			148
Miscellaneous		27,971			427,209			94			—
Total Expenses		311,626			5,912,370			4,360,719			43,963
Less Expenses Waived by Advisor		—			—			—			—
Net Expenses		311,626			5,912,370			4,360,719			43,963
Net Investment Income (Loss)		160,838			(578,348	)		(1,013,405	)		614,877
Realized and Unrealized Gain (Loss) on Investments
Net Realized Gain (Loss) on:
Investment Securities		(8,743,994	)		(113,268,459	)		(46,352,712	)		(6,893,611	)
Currency Index Swaps		—			—			—			—
Futures Contracts		(1,009,368	)		—			(46,645,020	)		—
Realized Gain Distributions Received from Affiliated Funds		—			—			—			320,726
Securities Sold Short		—			—			44,277,436			—
Written Options		—			—			13,594,657			—
Total Net Realized Gain (Loss)		(9,753,362	)		(113,268,459	)		(35,125,639	)		(6,572,885	)
Net Change in Unrealized Appreciation (Depreciation) on:
Investment Securities		(326,012	)		(21,213,717	)		2,033,407			(2,168,507	)
Currency Index Swaps		—			—			—			—
Futures Contracts		14,380			—			29,703			—
Foreign Currency		—			—			—			—
Securities Sold Short		—			—			(6,216,656	)		—
Net Change in Unrealized Appreciation (Depreciation)		(311,632	)		(21,213,717	)		(4,153,546	)		(2,168,507	)
Net Gain (Loss) on Investments		(10,064,994	)		(134,482,176	)		(39,279,185	)		(8,741,392	)
Net Increase (Decrease) in Net Assets from Operations	$	(9,904,156	)	$	(135,060,524	)	$	(40,292,590	)	$	(8,126,515	)
Rebate Income on Proceeds for Securities Sold Short, included in Interest	$	—		$	—		$	346,494		$	—
Foreign Tax Withheld		165			65,018			—			—

*	Relates to Trustees not deemed “interested persons” within the meaning of Section 2(a)(19) of the 1940 Act.
**	Since the commencement of operations: March 30, 2009.

70    |    THE RYDEX SERIES FUNDS ANNUAL REPORT See Notes to Financial Statements.

Year Ended March 31, 2009

			Global												Strengthening			Weakening
Commodities			Market			Hedged			International						Dollar 2x			Dollar 2x
Strategy			Neutral			Equity			Rotation			Real Estate			Strategy			Strategy
Fund			Fund		**	Fund			Fund			Fund			Fund			Fund
$	1,755,260		$	58		$	183,850		$	207,162		$	1,316		$	1,909,850		$	1,379,838
	50,406			—			4,589			—			40,039			—			—
	—			—			204,214			127,313			826,325			—			—
	—			—			—			—			—			—			—
	5,356			—			157			—			—			—			—
	1,811,022			58			392,810			334,475			867,680			1,909,850			1,379,838
	863,431			488			257,074			206,511			182,400			972,207			812,462
	287,810			101			—			57,364			53,647			270,058			225,684
	42,520			76			12,455			32,818			13,497			34,972			37,179
	81,843			—			38,348			25,733			15,684			131,758			113,959
	224,829			26			33,843			18,112			36,229			202,145			160,015
	114,298			41			—			22,946			21,459			108,023			90,274
	—			—			157,395			—			—			—			—
	15,556			—			—			2,813			2,676			11,243			12,767
	30,639			13			—			6,258			7,923			32,662			24,720
	150,410			65			15			31,347			32,409			159,452			136,149
	1,811,336			810			499,130			403,902			365,924			1,922,520			1,613,209
	(368,460	)		—			—			—			—			—			—
	1,442,876			810			499,130			403,902			365,924			1,922,520			1,613,209
	368,146			(752	)		(106,320	)		(69,427	)		501,756			(12,670	)		(233,371	)
	(27,236,287	)		—			(5,155,006	)		(3,698,414	)		(16,037,272	)		13,931			—
	—			—			—			—			—			13,483,235			(4,793,762	)
	—			—			(7,801,872	)		(8,760,851	)		—			23,561,755			(19,456,019	)
	—			—			—			—			—			—			—
	790,129			—			4,651,462			—			—			—			—
	—			—			2,886,921			—			—			—			—
	(26,446,158	)		—			(5,418,495	)		(12,459,265	)		(16,037,272	)		37,058,921			(24,249,781	)
	(12,290,105	)		(16,067	)		747,938			931,753			(1,439,418	)		—			—
	—			—			—			—			—			1,955,122			(10,893,812	)
	—			—			351,619			779,959			—			134,608			3,171,857
	—			(8,414	)		—			—			—			—			—
	—			(7,605	)		(728,359	)		—			—			—			—
	(12,290,105	)		(32,086	)		371,198			1,711,712			(1,439,418	)		2,089,730			(7,721,955	)
	(38,736,263	)		(32,086	)		(5,047,297	)		(10,747,553	)		(17,476,690	)		39,148,651			(31,971,736	)
$	(38,368,117	)	$	(32,838	)	$	(5,153,617	)	$	(10,816,980	)	$	(16,974,934	)	$	39,135,981		$	(32,205,107	)
$	—		$	—		$	69,320		$	—		$	—		$	—		$	—
	—			—			224			—			3,664			—			—

THE RYDEX SERIES FUNDS ANNUAL REPORT    |    71

STATEMENTS OF CHANGES IN NET ASSETS

	Multi-Cap						Sector Rotation
	Core Equity Fund						Fund
	Year			Year			Year			Year
	Ended			Ended			Ended			Ended
	March 31,			March 31,			March 31,			March 31,
	2009			2008			2009			2008
From Operations
Net Investment Income (Loss)	$	160,838		$	154,839		$	(578,348	)	$	(1,283,152	)
Net Realized Gain (Loss) on Investments		(9,753,362	)		1,727,148			(113,268,459	)		(23,253,004	)
Net Change in Unrealized Appreciation (Depreciation) on Investments and Foreign Currency		(311,632	)		(9,486,742	)		(21,213,717	)		1,680,010
Net Increase (Decrease) in Net Assets from Operations		(9,904,156	)		(7,604,755	)		(135,060,524	)		(22,856,146	)
Distributions to Shareholders from:
Net Investment Income
A-Class		(6,493	)		(3,504	)		—			—
C-Class		(59,743	)		(24,471	)		—			—
H-Class		(83,764	)		(22,326	)		—			—
Realized Gain on Investments
A-Class		—			(582,465	)		—			(2,965,934	)
C-Class		—			(4,017,324	)		—			(7,784,003	)
H-Class		—			(3,710,898	)		—			(15,425,954	)
Total Distributions to Shareholders		(150,000	)		(8,360,988	)		—			(26,175,891	)
Share Transactions
Proceeds from Shares Purchased
A-Class		9,750,776			2,764,650			44,559,746			38,627,448
C-Class		1,723,970			8,439,215			16,947,230			44,066,197
H-Class		9,224,887			6,611,755			207,523,407			278,158,887
Redemption Fees Collected
A-Class		6,527			1,097			11,144			26,493
C-Class		48,912			6,533			24,427			66,027
H-Class		42,274			7,492			43,454			114,836
Value of Shares Purchased through Dividend Reinvestment
A-Class		6,421			581,390			—			2,702,394
C-Class		56,530			3,744,401			—			7,259,013
H-Class		80,402			3,211,062			—			14,155,545
Cost of Shares Redeemed
A-Class		(10,981,081	)		(4,536,301	)		(42,203,694	)		(27,230,934	)
C-Class		(7,190,241	)		(18,623,553	)		(35,650,579	)		(46,959,917	)
H-Class		(15,254,631	)		(31,206,054	)		(233,629,702	)		(217,722,031	)
Net Increase (Decrease) in Net Assets From Share Transactions		(12,485,254	)		(28,998,313	)		(42,374,567	)		93,263,958
Net Increase (Decrease) in Net Assets		(22,539,410	)		(44,964,056	)		(177,435,091	)		44,231,921
Net Assets—Beginning of Period		32,458,844			77,422,900			343,232,278			299,000,357
Net Assets—End of Period	$	9,919,434		$	32,458,844		$	165,797,187		$	343,232,278
Undistributed Net Investment Income (Loss)—End of Period	$	11,703		$	—		$	—		$	—

*	Since the commencement of operations: March 30, 2009.
**	For financial reporting purposes, certain distributions from net investment income for federal income tax purposes have been reclassified to distributions from realized gains.

72    |    THE RYDEX SERIES FUNDS ANNUAL REPORT See Notes to Financial Statements.

	Absolute Return						Alternative Strategies						Commodities						Global Market
	Strategies Fund						Allocation Fund						Strategy Fund						Neutral Fund
	Year			Year			Year			Year			Year			Year			Year
	Ended			Ended			Ended			Ended			Ended			Ended			Ended
	March 31,			March 31,			March 31,			March 31,			March 31,			March 31,			March 31,
	2009			2008			2009			2008			2009			2008			2009*
$		(1,013,405	)	$	6,183,924		$	614,877		$	247		$	368,146		$	1,820,924		$	(752	)
		(35,125,639	)		(14,682,495	)		(6,572,885	)		—			(26,446,158	)		10,534,067			—
		(4,153,546	)		(4,060,931	)		(2,168,507	)		(30,641	)		(12,290,105	)		9,210,448			(32,086	)
		(40,292,590	)		(12,559,502	)		(8,126,515	)		(30,394	)		(38,368,117	)		21,565,439			(32,838	)
		(273,036	)		(1,619,281	)		(158,223	)**		—			(387,071	)		(109,198	)		—
		(209,559	)		(1,944,242	)		(161,347	)**		—			(147,857	)		(74,170	)		—
		(437,025	)		(5,952,339	)		(370,769	)**		—			(872,501	)		(267,525	)		—
		(135,740	)		(175,613	)		(9,935	)**		—			—			—			—
		(104,182	)		(210,855	)		(10,131	)**		—			—			—			—
		(217,266	)		(645,538	)		(23,280	)**		—			—			—			—
		(1,376,808	)		(10,547,868	)		(733,685	)		—			(1,407,429	)		(450,893	)		—
		68,515,501			40,780,536			11,798,894			1,128,617			37,803,837			20,571,490			11,077,044
		6,652,774			34,354,420			10,978,311			154,649			12,556,578			12,460,496			25
		38,869,824			100,077,742			36,997,004			3,917,739			229,127,411			272,980,653			3,766,519
		7,637			3,288			6,530			3			54,958			65,524			—
		5,663			4,167			6,192			—			27,481			40,266			—
		13,462			13,008			15,346			20			298,366			392,598			—
		372,766			1,575,032			145,664			—			371,452			104,193			—
		291,840			2,046,966			162,533			—			137,899			68,104			—
		569,826			5,954,321			381,030			—			821,992			239,163			—
		(52,667,407	)		(38,116,726	)		(5,288,124	)		(898	)		(38,336,017	)		(16,044,064	)		(29,335	)
		(24,431,362	)		(24,156,055	)		(1,424,179	)		(1,900	)		(13,889,845	)		(8,184,148	)		—
		(98,051,422	)		(126,906,668	)		(17,991,078	)		(1,476	)		(281,575,152	)		(198,501,063	)		(7,219	)
		(59,850,898	)		(4,369,969	)		35,788,123			5,196,754			(52,601,040	)		84,193,212			14,807,034
		(101,520,296	)		(27,477,339	)		26,927,923			5,166,360			(92,376,586	)		105,307,758			14,774,196
		238,533,468			266,010,807			5,166,360			—			154,258,773			48,951,015			—
$		137,013,172		$	238,533,468		$	32,094,283		$	5,166,360		$	61,882,187		$	154,258,773		$	14,774,196
$		(59,903	)	$	710,510		$	1,703,139		$	247		$	309,227		$	1,407,429		$	(281	)

THE RYDEX SERIES FUNDS ANNUAL REPORT    |    73

STATEMENTS OF CHANGES IN NET ASSETS (concluded)

	Hedged Equity						International Rotation
	Fund						Fund
	Year			Year			Year			Year
	Ended			Ended			Ended			Ended
	March 31,			March 31,			March 31,			March 31,
	2009			2008			2009			2008
From Operations
Net Investment Income (Loss)	$	(106,320	)	$	1,113,346		$	(69,427	)	$	529,027
Net Realized Gain (Loss) on Investments		(5,418,495	)		(3,544,178	)		(12,459,265	)		(3,599,755	)
Net Change in Unrealized Appreciation (Depreciation) on Investments		371,198			(1,020,817	)		1,711,712			(1,105,436	)
Net Increase (Decrease) in Net Assets from Operations		(5,153,617	)		(3,451,649	)		(10,816,980	)		(4,176,164	)
Distributions to Shareholders from:
Net Investment Income
A-Class		(10,647	)		(256,063	)		(222,092	)		(270,789	)
C-Class		(6,607	)		(264,730	)		(36,809	)		(81,207	)
H-Class		(15,229	)		(1,297,480	)		(82,115	)		(153,426	)
Realized Gain on Investments
A-Class		(10,009	)		(7,986	)		—			(159,929	)
C-Class		(6,212	)		(8,257	)		—			(47,961	)
H-Class		(14,317	)		(40,467	)		—			(90,614	)
Total Distributions to Shareholders		(63,021	)		(1,874,983	)		(341,016	)		(803,926	)
Share Transactions
Proceeds from Shares Purchased
A-Class		8,403,689			2,946,000			13,321,711			23,067,035
C-Class		1,871,504			3,437,524			2,314,047			9,620,731
H-Class		18,923,075			16,601,499			16,964,284			34,841,686
Redemption Fees Collected
A-Class		1,783			981			37,342			14,179
C-Class		1,412			1,052			7,132			9,795
H-Class		5,469			4,573			18,492			43,318
Value of Shares Purchased through Dividend Reinvestment
A-Class		17,571			204,865			211,478			426,494
C-Class		12,390			254,071			33,381			127,790
H-Class		28,003			1,306,654			79,391			242,525
Cost of Shares Redeemed
A-Class		(10,562,563	)		(3,858,525	)		(13,369,859	)		(7,500,179	)
C-Class		(3,397,932	)		(5,887,950	)		(3,081,231	)		(5,443,101	)
H-Class		(13,121,584	)		(26,587,232	)		(23,868,370	)		(19,608,491	)
Net Increase (Decrease) in Net Assets From Share Transactions		2,182,817			(11,576,488	)		(7,332,202	)		35,841,782
Net Increase (Decrease) in Net Assets		(3,033,821	)		(16,903,120	)		(18,490,198	)		30,861,692
Net Assets—Beginning of Period		27,441,778			44,344,898			30,861,692			—
Net Assets—End of Period	$	24,407,957		$	27,441,778		$	12,371,494		$	30,861,692
Undistributed Net Investment Income (Loss)—End of Period	$	(9,084	)	$	32,482		$	58,464		$	(2,502,568	)

74    |    THE RYDEX SERIES FUNDS ANNUAL REPORT See Notes to Financial Statements.

Real Estate						Strengthening Dollar 2x						Weakening Dollar 2x
Fund						Strategy Fund						Strategy Fund
Year			Year			Year			Year			Year			Year
Ended			Ended			Ended			Ended			Ended			Ended
March 31,			March 31,			March 31,			March 31,			March 31,			March 31,
2009			2008			2009			2008			2009			2008
$	501,756		$	245,081		$	(12,670	)	$	711,796		$	(233,371	)	$	3,571,191
	(16,037,272	)		688,587			37,058,921			(7,852,075	)		(24,249,781	)		27,087,048
	(1,439,418	)		(6,818,462	)		2,089,730			(1,750,940	)		(7,721,955	)		8,815,090
	(16,974,934	)		(5,884,794	)		39,135,981			(8,891,219	)		(32,205,107	)		39,473,329
	(144,592	)		(19,151	)		—			—			(563,952	)		(4,162,016	)
	(40,558	)		(19,174	)		—			—			(559,337	)		(3,293,861	)
	(149,849	)		(29,207	)		—			—			(2,397,352	)		(19,472,969	)
	—			—			(4,678,494	)		—			(1,218,098	)		(2,766	)
	—			—			(2,786,283	)		—			(1,208,128	)		(2,190	)
	—			—			(22,537,927	)		—			(5,178,115	)		(12,945	)
	(334,999	)		(67,532	)		(30,002,704	)		—			(11,124,982	)		(26,946,747	)
	25,765,124			4,261,397			51,138,674			17,956,828			37,116,574			43,416,675
	30,169,078			24,881,486			154,562,351			32,866,033			48,921,556			35,113,807
	173,570,581			225,566,473			565,922,365			273,514,131			351,254,745			255,507,428
	—			—			—			—			—			—
	—			—			—			—			—			—
	—			—			—			—			—			—
	144,355			18,938			3,965,984			—			1,513,588			3,290,478
	40,289			18,663			2,633,415			—			1,586,937			2,829,351
	142,249			28,965			18,471,001			—			6,616,772			16,757,981
	(23,438,672	)		(9,310,916	)		(49,015,442	)		(13,972,483	)		(35,907,820	)		(48,841,856	)
	(29,844,314	)		(27,239,102	)		(159,351,996	)		(28,379,029	)		(57,728,584	)		(31,865,100	)
	(174,149,097	)		(233,291,275	)		(600,208,154	)		(249,841,075	)		(371,086,031	)		(287,257,877	)
	2,399,593			(15,065,371	)		(11,881,802	)		32,144,405			(17,712,263	)		(11,049,113	)
	(14,910,340	)		(21,017,697	)		(2,748,525	)		23,253,186			(61,042,352	)		1,477,469
	19,296,175			40,313,872			37,937,048			14,683,862			147,619,950			146,142,481
$	4,385,835		$	19,296,175		$	35,188,523		$	37,937,048		$	86,577,598		$	147,619,950
$	171,104		$	—		$	—		$	(1,856,737	)	$	—		$	3,520,639

THE RYDEX SERIES FUNDS ANNUAL REPORT    |    75

FINANCIAL HIGHLIGHTS

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.

						Net			Net Increase
						Realized			(Decrease)
						and			in Net																			RATIOS TO
	NET ASSET		Net			Unrealized			Asset Value			Distributions			Distributions									NET ASSET				AVERAGE NET ASSETS:						Net Assets,
	VALUE,		Investment			Gains			Resulting			from Net			from Net						Redemption			VALUE,		Total				Net		Portfolio		End of
	BEGINNING		Income			(Losses) on			from			Investment			Realized			Total			Fees			END OF		Investment		Total		Investment		Turnover		Period (000’s
Year Ended	OF PERIOD		(Loss)†			Investments			Operations			Income			Gains			Distributions			Collected			PERIOD		Return†††		Expenses		Income (Loss)		Rate		omitted)
Multi-Cap Core Equity Fund A-Class
March 31, 2009	$	11.79	$	.12		$	(4.98	)	$	(4.86	)	$	(.06	)	$	—		$	(.06	)	$	.04		$	6.91		(40.85)%		1.12%		1.17%		254%	$	663
March 31, 2008		17.05		.10			(2.58	)		(2.48	)		(.02	)		(2.76	)		(2.78	)		—	§		11.79		(15.78)%		1.21%		0.64%		149%		3,361
March 31, 2007		16.72		.05			1.38			1.43			—			(1.10	)		(1.10	)		—	§		17.05		8.89%		1.32%		0.32%		138%		5,680
March 31, 2006		15.01		(.01	)		2.59			2.58			—			(.87	)		(.87	)		—			16.72		17.55%		1.66%		(0.08)%		168%		3,079
March 31, 2005		14.44		.02			1.16			1.18			—			(.61	)		(.61	)		—			15.01		8.16%		1.57%		0.16%		159%		906
Multi-Cap Core Equity Fund C-Class
March 31, 2009		11.14		.04			(4.68	)		(4.64	)		(.06	)		—			(.06	)		.04			6.48		(41.26)%		1.86%		0.42%		254%		5,659
March 31, 2008		16.39		(.02	)		(2.45	)		(2.47	)		(.02	)		(2.76	)		(2.78	)		—	§		11.14		(16.39)%		1.97%		(0.13)%		149%		15,906
March 31, 2007		16.24		(.09	)		1.34			1.25			—			(1.10	)		(1.10	)		—	§		16.39		8.03%		2.12%		(0.54)%		138%		30,181
March 31, 2006		14.71		(.13	)		2.53			2.40			—			(.87	)		(.87	)		—			16.24		16.68%		2.40%		(0.87)%		168%		30,981
March 31, 2005		14.27		(.10	)		1.15			1.05			—			(.61	)		(.61	)		—			14.71		7.34%		2.31%		(0.71)%		159%		34,793
Multi-Cap Core Equity Fund H-Class
March 31, 2009		11.79		.11			(4.97	)		(4.86	)		(.06	)		—			(.06	)		.05			6.92		(40.77)%		1.11%		1.12%		254%		3,597
March 31, 2008		17.04		.09			(2.56	)		(2.47	)		(.02	)		(2.76	)		(2.78	)		—	§		11.79		(15.73)%		1.23%		0.57%		149%		13,192
March 31, 2007		16.72		.03			1.39			1.42			—			(1.10	)		(1.10	)		—	§		17.04		8.83%		1.38%		0.18%		138%		41,562
March 31, 2006		15.01		(.02	)		2.60			2.58			—			(.87	)		(.87	)		—			16.72		17.55%		1.64%		(0.11)%		168%		53,323
March 31, 2005		14.44		—	§		1.18			1.18			—			(.61	)		(.61	)		—			15.01		8.16%		1.56%		0.03%		159%		51,139
Sector Rotation Fund A-Class
March 31, 2009		13.45		.01			(4.84	)		(4.83	)		—			—			—			—	§		8.62		(35.91)%		1.69%		0.13%		528%		31,925
March 31, 2008		14.08		(.01	)		.30			.29			—			(.93	)		(.93	)		.01			13.45		1.50%		1.65%		(0.08)%		278%		49,148
March 31, 2007		14.15		(.01	)		.38			.37			—			(.44	)		(.44	)		—	§		14.08		2.75%		1.64%		(0.09)%		373%		39,804
March 31, 2006		11.10		(.04	)		3.09			3.05			—			—			—			—			14.15		27.48%		1.67%		(0.33)%		263%		30,593
March 31, 2005		10.45		(.02	)		.67			.65			—			—			—			—			11.10		6.22%		1.63%		(0.19)%		262%		2,989
Sector Rotation Fund C-Class
March 31, 2009		12.85		(.07	)		(4.61	)		(4.68	)		—			—			—			—	§		8.17		(36.42)%		2.44%		(0.66)%		528%		57,792
March 31, 2008		13.58		(.12	)		.31			.19			—			(.93	)		(.93	)		.01			12.85		0.81%		2.41%		(0.80)%		278%		115,136
March 31, 2007		13.76		(.11	)		.37			.26			—			(.44	)		(.44	)		—	§		13.58		2.02%		2.39%		(0.86)%		373%		118,422
March 31, 2006		10.87		(.12	)		3.01			2.89			—			—			—			—			13.76		26.59%		2.41%		(0.95)%		263%		118,083
March 31, 2005		10.30		(.10	)		.67			.57			—			—			—			—			10.87		5.53%		2.38%		(1.03)%		262%		54,604
Sector Rotation Fund H-Class
March 31, 2009		13.49		(—	)§		(4.84	)		(4.84	)		—			—			—			—	§		8.65		(35.88)%		1.68%		(0.01)%		528%		76,080
March 31, 2008		14.12		(.02	)		.31			.29			—			(.93	)		(.93	)		.01			13.49		1.50%		1.65%		(0.13)%		278%		178,949
March 31, 2007		14.18		(.02	)		.40			.38			—			(.44	)		(.44	)		—	§		14.12		2.81%		1.65%		(0.16)%		373%		140,774
March 31, 2006		11.12		(.03	)		3.09			3.06			—			—			—			—			14.18		27.52%		1.66%		(0.25)%		263%		246,029
March 31, 2005		10.45		(.03	)		.70			.67			—			—			—			—			11.12		6.41%		1.64%		(0.31)%		262%		56,725

76    |    THE RYDEX SERIES FUNDS ANNUAL REPORT

FINANCIAL HIGHLIGHTS (continued)

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.

						Net			Net Increase
						Realized			(Decrease)																			RATIOS TO
						and			in Net																			AVERAGE NET ASSETS:
	NET ASSET		Net			Unrealized			Asset Value			Distributions			Distributions									NET ASSET													Net					Net Assets,
	VALUE,		Investment			Gains			Resulting			from Net			from Net						Redemption			VALUE,		Total											Investment			Portfolio		End of
	BEGINNING		Income			(Losses) on			from			Investment			Realized			Total			Fees			END OF		Investment		Total			Net			Operating			Income			Turnover		Period (000’s
Year Ended	OF PERIOD		(Loss)†			Investments			Operations			Income			Gains			Distributions			Collected			PERIOD		Return†††		Expenses			Expenses			Expenses††			(Loss)			Rate		omitted)
Absolute Return Strategies Fund A-Class
March 31, 2009	$	24.61	$	(.10	)	$	(4.37	)	$	(4.47	)	$	(.12	)	$	(.06	)	$	(.18	)	$	—	§	$	19.96		(18.19)%		2.09%			2.09%			1.40%			(0.46)%			1,578%	$	45,078
March 31, 2008		26.44		.58			(1.53	)		(.95	)		(.79	)		(.09	)		(.88	)		—	§		24.61		(3.72)%		1.96%			1.96%			1.40%			2.18%			509%		42,193
March 31, 2007		25.52		.71			.80			1.51			(.38	)		(.22	)		(.60	)		.01			26.44		6.05%		1.93%			1.93%			1.43%			2.74%			298%		41,771
March 31, 2006*		25.00		.29			.24			.53			(.07	)		—			(.07	)		.06			25.52		2.36%		1.87%	**		1.87%	**		1.45%	**		2.20%	**		127%		5,791
Absolute Return Strategies Fund C-Class
March 31, 2009		24.13		(.25	)		(4.27	)		(4.52	)		(.12	)		(.06	)		(.18	)		—	§		19.43		(18.76)%		2.82%			2.82%			2.15%			(1.09)%			1,578%		28,706
March 31, 2008		26.14		.37			(1.50	)		(1.13	)		(.79	)		(.09	)		(.88	)		—	§		24.13		(4.46)%		2.71%			2.71%			2.15%			1.41%			509%		54,857
March 31, 2007		25.42		.51			.80			1.31			(.38	)		(.22	)		(.60	)		.01			26.14		5.28%		2.66%			2.66%			2.16%			1.99%			298%		48,052
March 31, 2006*		25.00		.19			.24			.43			(.07	)		—			(.07	)		.06			25.42		1.96%		2.65%	**		2.65%	**		2.23%	**		1.42%	**		127%		7,352
Absolute Return Strategies Fund H-Class
March 31, 2009		24.63		(.07	)		(4.40	)		(4.47	)		(.12	)		(.06	)		(.18	)		—	§		19.98		(18.17)%		2.07%			2.07%			1.41%			(0.31)%			1,578%		63,229
March 31, 2008		26.46		.58			(1.53	)		(.95	)		(.79	)		(.09	)		(.88	)		—	§		24.63		(3.71)%		1.95%			1.95%			1.39%			2.21%			509%		141,483
March 31, 2007		25.53		.72			.80			1.52			(.38	)		(.22	)		(.60	)		.01			26.46		6.09%		1.90%			1.90%			1.40%			2.78%			298%		176,187
March 31, 2006*		25.00		.29			.25			.54			(.07	)		—			(.07	)		.06			25.53		2.40%		1.83%	**		1.83%	**		1.41%	**		2.18%	**		127%		30,796
Alternative Strategies Allocation Fund A-Class
March 31, 2009		24.84		.62			(5.69	)		(5.07	)		(.44	)		(.03	)		(.47	)		.03			19.33		(20.39)%		0.00%			0.00%			0.00%			2.82%			88%		5,816
March 31, 2008*		25.00		—	§		(.16	)		(.16	)		—			—			—			—			24.84		(0.64)%		0.00%	**		0.00%	**		0.00%	**		0.16%	**à		—		1,121
Alternative Strategies Allocation Fund C-Class
March 31, 2009		24.83		.39			(5.60	)		(5.21	)		(.44	)		(.03	)		(.47	)		.02			19.17		(21.00)%		0.75%			0.75%			0.75%			1.77%			88%		7,750
March 31, 2008*		25.00		(.01	)		(.16	)		(.17	)		—			—			—			—			24.83		(0.68)%		0.68%	**à		0.68%	**à		0.68%	**à		(0.56)%	**à		—		152
Alternative Strategies Allocation Fund H-Class
March 31, 2009		24.84		.56			(5.63	)		(5.07	)		(.44	)		(.03	)		(.47	)		.02			19.32		(20.43)%		0.00%			0.00%			0.00%			2.55%			88%		18,528
March 31, 2008*		25.00		—	§		(.16	)		(.16	)		—			—			—			—			24.84		(0.64)%		0.00%	**		0.00%	**		0.00%	**		0.12%	**à		—		3,893
Commodities Strategy Fund A-Class
March 31, 2009		32.68		—	§		(18.80	)		(18.80	)		(.70	)		—			(.70	)		.08			13.26		(57.55)%		1.52%			1.20%			1.20%			0.02%			390%		7,189
March 31, 2008		23.81		.68			8.27			8.95			(.22	)		—			(.22	)		.14			32.68		38.48%		1.51%			1.19%			1.19%			2.49%			405%		18,579
March 31, 2007		27.29		.63			(4.15	)		(3.52	)		—			—			—			.04			23.81		(12.75)%		1.46%			1.17%			1.17%			2.57%			672%		9,720
March 31, 2006*		25.00		.61			1.68			2.29			—			—			—			—			27.29		9.16%		1.71%	**		1.71%	**		1.71%	**		2.76%	**		—		8,751
Commodities Strategy Fund C-Class
March 31, 2009		31.96		(.06	)		(18.43	)		(18.49	)		(.70	)		—			(.70	)		.09			12.86		(58.03)%		2.28%			1.95%			1.95%			(0.22)%			390%		4,072
March 31, 2008		23.47		.48			8.09			8.57			(.22	)		—			(.22	)		.14			31.96		37.41%		2.26%			1.94%			1.94%			1.79%			405%		10,793
March 31, 2007		27.10		.56			(4.23	)		(3.67	)		—			—			—			.04			23.47		(13.39)%		2.23%			1.94%			1.94%			2.23%			672%		4,169
March 31, 2006*		25.00		.42			1.68			2.10			—			—			—			—			27.10		8.40%		2.34%	**		2.34%	**		2.34%	**		1.79%	**		—		4,128
Commodities Strategy Fund H-Class
March 31, 2009		32.66		.13			(18.93	)		(18.80	)		(.70	)		—			(.70	)		.10			13.26		(57.52)%		1.52%			1.20%			1.20%			0.43%			390%		50,622
March 31, 2008		23.81		.60			8.30			8.90			(.22	)		—			(.22	)		.17			32.66		38.39%		1.51%			1.19%			1.19%			2.10%			405%		124,886
March 31, 2007		27.29		.77			(4.28	)		(3.51	)		—			—			—			.03			23.81		(12.75)%		1.49%			1.20%			1.20%			2.99%			672%		35,062
March 31, 2006*		25.00		.61			1.68			2.29			—			—			—			—			27.29		9.16%		1.57%	**		1.57%	**		1.57%	**		2.56%	**		—		29,028
Global Market Neutral Fund A-Class
March 31, 2009*		25.00		(—	)§		(.06	)		(.06	)		—			—			—			—			24.94		(0.24)%		2.00%	**à		2.00%	**à		2.00%	**à		(1.86%)	**		91%		11,023
Global Market Neutral Fund C-Class
March 31, 2009*		25.00		—	§		(.05	)		(.05	)		—			—			—			—			24.95		(0.20)%		1.75%	**à		1.75%	**à		1.75%	**à		0.14 %	**		91%		—	§§
Global Market Neutral Fund H-Class
March 31, 2009*		25.00		(—	)§		(.06	)		(.06	)		—			—			—			—			24.94		(0.24)%		2.00%	**à		2.00%	**à		2.00%	**à		(1.86%)	**		91%		3,751

THE RYDEX SERIES FUNDS ANNUAL REPORT    |    77

FINANCIAL HIGHLIGHTS (continued)

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.

						Net			Net Increase
						Realized			(Decrease)																		RATIOS TO
						and			in Net																		AVERAGE NET ASSETS:
	NET ASSET		Net			Unrealized			Asset Value			Distributions			Distributions								NET ASSET													Net					Net Assets,
	VALUE,		Investment			Gains			Resulting			from Net			from Net						Redemption		VALUE,		Total											Investment			Portfolio		End of
	BEGINNING		Income			(Losses) on			from			Investment			Realized			Total			Fees		END OF		Investment		Total			Net			Operating			Income			Turnover		Period (000’s
Year Ended	OF PERIOD		(Loss)†			Investments			Operations			Income			Gains			Distributions			Collected		PERIOD		Return†††		Expenses			Expenses			Expenses††			(Loss)			Rate		omitted)
Hedged Equity Fund A-Class
March 31, 2009	$	22.90	$	(.06	)	$	(5.37	)	$	(5.43	)	$	(.03	)	$	(.03	)	$	(.06	)	$	.01	$	17.42		(23.66)%		2.14%			2.14%			1.40%			(0.28)%			1,448%	$	2,222
March 31, 2008		26.29		.67			(2.94	)		(2.27	)		(1.09	)		(.03	)		(1.12	)		—§		22.90		(8.98)%		2.04%			2.04%			1.41%			2.59%			433%		5,553
March 31, 2007		25.86		.82			.63			1.45			(.52	)		(.51	)		(1.03	)		.01		26.29		5.82%		2.13%			2.13%			1.41%			3.15%			282%		7,086
March 31, 2006*		25.00		.26			.65			.91			(.09	)		—			(.09	)		.04		25.86		3.81%		2.10%	**		2.10%	**		1.44%	**		1.91%	**		159%		1,672
Hedged Equity Fund C-Class
March 31, 2009		22.46		(.22	)		(5.24	)		(5.46	)		(.03	)		(.03	)		(.06	)		.01		16.95		(24.26)%		2.88%			2.88%			2.15%			(1.06)%			1,448%		2,859
March 31, 2008		25.99		.48			(2.89	)		(2.41	)		(1.09	)		(.03	)		(1.12	)		—§		22.46		(9.63)%		2.78%			2.78%			2.15%			1.89%			433%		5,226
March 31, 2007		25.76		.62			.63			1.25			(.52	)		(.51	)		(1.03	)		.01		25.99		5.05%		2.89%			2.89%			2.17%			2.40%			282%		8,312
March 31, 2006*		25.00		.16			.65			.81			(.09	)		—			(.09	)		.04		25.76		3.41%		2.86%	**		2.86%	**		2.20%	**		1.16%	**		159%		2,957
Hedged Equity Fund H-Class
March 31, 2009		22.91		(.08	)		(5.36	)		(5.44	)		(.03	)		(.03	)		(.06	)		.01		17.42		(23.69)%		2.08%			2.08%			1.40%			(0.38)%			1,448%		19,327
March 31, 2008		26.30		.68			(2.95	)		(2.27	)		(1.09	)		(.03	)		(1.12	)		—§		22.91		(8.97)%		2.03%			2.03%			1.40%			2.63%			433%		16,663
March 31, 2007		25.86		.81			.65			1.46			(.52	)		(.51	)		(1.03	)		.01		26.30		5.86%		2.13%			2.13%			1.41%			3.14%			282%		28,947
March 31, 2006*		25.00		.26			.65			.91			(.09	)		—			(.09	)		.04		25.86		3.81%		2.07%	**		2.07%	**		1.41%	**		1.96%	**		159%		17,321
International Rotation Fund A-Class
March 31, 2009		22.93		(.05	)		(8.84	)		(8.89	)		(.33	)		—			(.33	)		.05		13.76		(38.64)%		1.68%			1.68%			1.68%			(0.24)%			278%		6,818
March 31, 2008*		25.00		.53			(1.98	)		(1.45	)		(.41	)		(.24	)		(.65	)		.03		22.93		(5.93)%		1.74%	**		1.74%	**		1.74%	**		3.68%	**		160%		13,483
International Rotation Fund C-Class
March 31, 2009		22.84		(.19	)		(8.76	)		(8.95	)		(.33	)		—			(.33	)		.05		13.61		(39.06)%		2.43%			2.43%			2.43%			(1.00)%			278%		1,618
March 31, 2008*		25.00		.39			(1.96	)		(1.57	)		(.41	)		(.24	)		(.65	)		.06		22.84		(6.29)%		2.49%	**		2.49%	**		2.49%	**		2.70%	**		160%		3,603
International Rotation Fund H-Class
March 31, 2009		22.94		(.03	)		(8.86	)		(8.89	)		(.33	)		—			(.33	)		.05		13.77		(38.63)%		1.68%			1.68%			1.68%			(0.16)%			278%		3,936
March 31, 2008*		25.00		.45			(1.95	)		(1.50	)		(.41	)		(.24	)		(.65	)		.09		22.94		(5.89)%		1.75%	**		1.75%	**		1.75%	**		3.19%	**		160%		13,775
Real Estate Fund A-Class
March 31, 2009		32.42		.74			(19.43	)		(18.69	)		(.90	)		—			(.90	)		—		12.83		(58.00)%		1.68%			1.68%			1.68%			2.81%			780%		1,554
March 31, 2008		42.16		.54			(10.05	)		(9.51	)		(.23	)		—			(.23	)		—		32.42		(22.59)%		1.64%			1.64%			1.64%			1.45%			832%		2,866
March 31, 2007		36.46		.46			5.53			5.99			(.17	)		(.12	)		(.29	)		—		42.16		16.43%		1.61%			1.61%			1.61%			1.10%			762%		9,061
March 31, 2006		27.84		.64			8.18			8.82			—			(.20	)		(.20	)		—		36.46		31.75%		1.57%			1.57%			1.57%			2.02%			1,304%		375
March 31, 2005*		26.66		.09			1.24			1.33			(.03)			(.12	)		(.15	)		—		27.84		4.98%		1.54%	**		1.54%	**		1.54%	**		0.52%	**		1,773%		71
Real Estate Fund C-Class
March 31, 2009		31.44		.66			(18.87	)		(18.21	)		(.90	)		—			(.90	)		—		12.33		(58.28)%		2.42%			2.42%			2.42%			2.62%			780%		1,075
March 31, 2008		41.22		.29			(9.84	)		(9.55	)		(.23	)		—			(.23	)		—		31.44		(23.21)%		2.39%			2.39%			2.39%			0.78%			832%		2,290
March 31, 2007		35.93		.19			5.39			5.58			(.17	)		(.12	)		(.29	)		—		41.22		15.53%		2.36%			2.36%			2.36%			0.48%			762%		5,469
March 31, 2006		27.64		.43			8.06			8.49			—			(.20	)		(.20	)		—		35.93		30.79%		2.36%			2.36%			2.36%			1.35%			1,304%		3,548
March 31, 2005		26.63		.41			.75			1.16			(.03	)		(.12	)		(.15	)		—		27.64		4.35%		2.32%			2.32%			2.32%			1.52%			1,773%		1,293
Real Estate Fund H-Class
March 31, 2009		32.40		.61			(19.29	)		(18.68	)		(.90	)		—			(.90	)		—		12.82		(58.01)%		1.64%			1.64%			1.64%			2.14%			780%		1,757
March 31, 2008		42.14		.53			(10.04	)		(9.51	)		(.23	)		—			(.23	)		—		32.40		(22.60)%		1.64%			1.64%			1.64%			1.43%			832%		14,140
March 31, 2007		36.47		.54			5.42			5.96			(.17	)		(.12	)		(.29	)		—		42.14		16.34%		1.62%			1.62%			1.62%			1.35%			762%		25,784
March 31, 2006		27.85		.57			8.25			8.82			—			(.20	)		(.20	)		—		36.47		31.74%		1.59%			1.59%			1.59%			1.78%			1,304%		49,591
March 31, 2005		26.65		.58			.77			1.35			(.03	)		(.12	)		(.15	)		—		27.85		5.06%		1.58%			1.58%			1.58%			2.08%			1,773%		8,186

78    |    THE RYDEX SERIES FUNDS ANNUAL REPORT

FINANCIAL HIGHLIGHTS (concluded)

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.

						Net			Net Increase
						Realized			(Decrease)																RATIOS TO
						and			in Net												NET				AVERAGE NET ASSETS:
	NET ASSET		Net			Unrealized			Asset Value			Distributions			Distributions						ASSET							Net					Net Assets,
	VALUE,		Investment			Gains			Resulting			from Net			from Net						VALUE,		Total					Investment			Portfolio		End of
	BEGINNING		Income			(Losses) on			from			Investment			Realized			Total			END OF		Investment		Total			Income			Turnover		Period (000’s
Year Ended	OF PERIOD		(Loss)†			Investments			Operations			Income			Gains			Distributions			PERIOD		Return†††		Expenses			(Loss)			Rate		omitted)
Strengthening Dollar 2x Strategy Fund A-Class
March 31, 2009	$	19.85	$	.02		$	6.50		$	6.52		$	—		$	(6.73	)	$	(6.73	)	$	19.64		30.59%		1.69%			0.07%			—	$	7,314
March 31, 2008		25.35		.39			(5.89	)		(5.50	)		—			—			—			19.85		(21.70)%		1.66%			1.73%			—		2,795
March 31, 2007		27.74		.91			(3.30	)		(2.39	)		—			—			—			25.35		(8.62)%		1.66%			3.53%			—		108
March 31, 2006*		25.00		.50			2.37			2.87			(.13	)		—			(.13	)		27.74		11.47%		1.68%	**		2.17%	**		—		91
Strengthening Dollar 2x Strategy Fund C-Class
March 31, 2009		19.42		(.14	)		6.46			6.32			—			(6.73	)		(6.73	)		19.01		30.36%		2.44%			(0.66)%			—		5,728
March 31, 2008		24.99		.42			(5.99	)		(5.57	)		—			—			—			19.42		(22.29)%		2.40%			1.84%			—		6,131
March 31, 2007		27.56		.70			(3.27	)		(2.57	)		—			—			—			24.99		(9.33)%		2.40%			2.75%			—		2,630
March 31, 2006*		25.00		.36			2.33			2.69			(.13	)		—			(.13	)		27.56		10.75%		2.41%	**		1.51%	**		—		769
Strengthening Dollar 2x Strategy Fund H-Class
March 31, 2009		19.83		.02			6.44			6.46			—			(6.73	)		(6.73	)		19.56		30.25%		1.69%			0.08%			—		22,147
March 31, 2008		25.33		.57			(6.07	)		(5.50	)		—			—			—			19.83		(21.71)%		1.66%			2.44%			—		29,011
March 31, 2007		27.71		.90			(3.28	)		(2.38	)		—			—			—			25.33		(8.59)%		1.66%			3.47%			—		11,946
March 31, 2006*		25.00		.51			2.33			2.84			(.13	)		—			(.13	)		27.71		11.35%		1.66%	**		2.19%	**		—		7,270
Weakening Dollar 2x Strategy Fund A-Class
March 31, 2009		29.27		(.07	)		(8.77	)		(8.84	)		(1.28	)		(2.77	)		(4.05	)		16.38		(29.87)%		1.69%			(0.30)%			—		17,642
March 31, 2008		26.18		.70			7.17			7.87			(4.78	)		(—	)§		(4.78	)		29.27		32.49%		1.67%			2.51%			—		22,148
March 31, 2007		22.70		.91		��	2.57			3.48			—			—			—			26.18		15.33%		1.65%			3.63%			—		21,502
March 31, 2006*		25.00		.51			(2.67	)		(2.16	)		(.14	)		—			(.14	)		22.70		(8.65)%		1.70%	**		2.66%	**		—		2,989
Weakening Dollar 2x Strategy Fund C-Class
March 31, 2009		28.53		(.21	)		(8.54	)		(8.75	)		(1.28	)		(2.77	)		(4.05	)		15.73		(30.37)%		2.45%			(0.93)%			—		8,687
March 31, 2008		25.81		.43			7.07			7.50			(4.78	)		(—	)§		(4.78	)		28.53		31.47%		2.41%			1.57%			—		21,604
March 31, 2007		22.55		.71			2.55			3.26			—			—			—			25.81		14.46%		2.40%			2.87%			—		14,160
March 31, 2006*		25.00		.34			(2.65	)		(2.31	)		(.14	)		—			(.14	)		22.55		(9.25)%		2.46%	**		1.79%	**		—		3,916
Weakening Dollar 2x Strategy Fund H-Class
March 31, 2009		29.25		(.03	)		(8.80	)		(8.83	)		(1.28	)		(2.77	)		(4.05	)		16.37		(29.86)%		1.70%			(0.13)%			—		60,249
March 31, 2008		26.18		.68			7.17			7.85			(4.78	)		(—	)§		(4.78	)		29.25		32.41%		1.67%			2.45%			—		103,867
March 31, 2007		22.69		.90			2.59			3.49			—			—			—			26.18		15.38%		1.65%			3.60%			—		110,480
March 31, 2006*		25.00		.49			(2.66	)		(2.17	)		(.14	)		—			(.14	)		22.69		(8.69)%		1.68%	**		2.53%	**		—		51,710

*	Since the commencement of operations:
	September 1, 2004 — Real Estate Fund A-Class;
	May 25, 2005 — Commodities Strategy Fund A-Class, C-Class, and H-Class, Strengthening Dollar 2x Strategy Fund A-Class, C-Class and H-Class and Weakening Dollar 2x Strategy Fund A-Class, C-Class and H-Class;
	September 19, 2005 — Absolute Return Strategies Fund A-Class, C-Class and H Class and Hedged Equity Fund A-Class, C-Class and H-Class;
	March 2, 2007 — Managed Futures Fund A-Class, C-Class and H-Class;
	August 31, 2007 — International Rotation Fund A-Class, C-Class and H Class;
	March 7, 2008 — Alternative Strategies Allocation Fund A-Class, C-Class and H-Class;
	March 30, 2009 — Global Market Neutral Fund A-Class, C-Class and H-Class.
**	Annualized
†	Calculated using the average daily shares outstanding for the year.
††	Operating Expenses exclude short dividends expense.
†††	Total investment return does not reflect the impact of any applicable sales charges and has not been annualized.
à	Due to the limited length of Fund operations, ratios for this period are not indicative of future class performance.
§	Less than $.01 per share.
§§	Less than $1,000 in Net Assets.

THE RYDEX SERIES FUNDS ANNUAL REPORT    |    79

NOTES TO FINANCIAL STATEMENTS

1.   Organization and Significant Accounting Policies

Organization

The Rydex Series Funds (the “Trust”) is registered with the SEC under the Investment Company Act of 1940 (the “1940 Act”) as a non-diversified, open-ended investment company. The Trust offers five separate classes of shares, Investor Class shares, Advisor Class shares, A-Class shares, C-Class shares, and H-Class shares. C-Class shares have a 1% CDSC if shares are redeemed within 12 months of purchase. Sales of shares of each Class are made without a sales charge at the NAV, with the exception of A-Class shares. A-Class shares are sold at the NAV, plus the applicable front-end sales charge, except for the U.S. Government Money Market Fund. The sales charge varies depending on the amount purchased, but will not exceed 4.75%. A-Class share purchases of $1 million or more are exempt from the front-end sales charge but have a 1% CDSC if shares are redeemed within 18 months of purchase.

At March 31, 2009, the Trust consisted of fifty-five separate funds. This report covers the Alternative Strategy Funds (the “Funds”), while the other funds are contained in separate reports.

The Alternative Strategies Allocation Fund is a “fund of funds,” which means that the Fund seeks to achieve its investment objective by investing primarily in other Rydex mutual funds (the “underlying funds”) instead of individual securities.

The Global Market Neutral Fund invests in long and short positions, ADRs from all over the world that generally have a minimum market capitalization of $500 million, although the Fund may invest in companies with smaller market capitalizations.

As of March 31, 2009, only A-Class, C-Class and H-Class shares had been issued in the Funds. All share classes of the Multi-Cap Core Equity Fund, Sector Rotation Fund, Absolute Return Strategies Fund, Alternative Strategies Allocation Fund, Commodities Strategy Fund, Global Market Neutral Fund, Hedged Equity Fund and International Rotation Fund are subject to a 1% redemption fee when shares are redeemed within 30 days of purchase.

Valu-Trac Investment Management Limited and Security Global Investors, LLC, (“SGI”) serve as the investment sub-advisors to the International Rotation Fund and the Global Market Neutral Fund, respectively. The sub-advisor is responsible for the development and ongoing maintenance of the investment management strategy utilized by that Fund.

Rydex Investments provides advisory, transfer agent and administrative services, and accounting services to the Trust. Rydex Distributors, Inc. (the “Distributor”) acts as principal underwriter for the Trust. Both Rydex Investments and the Distributor are affiliated entities.

Significant Accounting Policies

The following significant accounting policies are in conformity with U.S. generally accepted accounting principles and are consistently followed by the Trust. This requires management to make estimates and assumptions that affect the reported amount of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from these estimates. All time references are based on Eastern Time.

A. Equity securities listed on an exchange (New York Stock Exchange (“NYSE”) or American Stock Exchange) are valued at the last quoted sales price as of the close of business on the NYSE, usually 4:00 p.m. on the valuation date. Equity securities listed on the NASDAQ market system are valued at the NASDAQ Official Closing Price on the valuation date.

Listed options held by the Trust are valued at the Official Settlement Price listed by the exchange. Long options are valued using the bid price and short options are valued using the ask price. In the event that a settlement price is not available, fair valuation is enacted. Over-the-counter options held by the Trust are valued using the average bid price (for long options), or average ask price (for short options) obtained from one or more security dealers.

The value of futures contracts purchased and sold by the Trust is accounted for using the unrealized gain or loss on the contracts that is determined by marking the contracts to their current realized settlement prices. Financial futures contracts are valued at the last quoted sales price on the valuation date. In the event that the exchange for a specific futures contract closes earlier than 4:00 p.m., the futures contract is valued at the Official Settlement Price of the exchange. However, the underlying securities from which the futures contract value is derived are monitored until 4:00 p.m. to determine if fair valuation would provide a more accurate valuation.

Debt securities with a maturity greater than 60 days are valued at the last traded fill price at the close of business, unless no trades were executed. If there are no trades, a security is valued at the reported bid price, at the close of business. Short-term debt securities, with

80    |    THE RYDEX SERIES FUNDS ANNUAL REPORT

1

NOTES TO FINANCIAL STATEMENTS (continued)

a maturity of 60 days or less are valued at amortized cost, which approximates market value.

Open-end investment companies (“Mutual Funds”) are valued at their NAV as of the close of business, on the valuation date. Exchange Traded Funds (“ETFs”) and closed-end investment companies are valued at the last quoted sales price.

The value of domestic equity index swap agreements entered into by a Fund is accounted for using the unrealized gain or loss on the agreements that is determined by marking the agreements to the last quoted value of the index that the swap pertains to at the close of the NYSE. The swap’s market value is then adjusted to include dividends accrued, financing charges and/or interest associated with the swap agreements.

The value of foreign equity and currency index swap agreements entered into by a Fund is accounted for using the unrealized gain or loss on the agreements that is determined by marking the agreements to the price at which orders are being filled at the close of the NYSE. In the event that no order is filled at 4:00 p.m., the security dealer provides a fair value quote at which the swap agreement is valued. The swap’s market value is then adjusted to include dividends accrued, financing charges and/or interest associated with the swap agreements.

Structured notes are valued in accordance with the terms of their agreement at the value of the underlying index close, adjusted for any interest accruals and financing charges. If the securities comprising the underlying index cease trading before a Fund’s close of business, the index will be fair valued with the use of an appropriate market indicator.

Investments, for which market quotations are not readily available, are fair valued as determined in good faith by Rydex Investments under the direction of the Board of Trustees using methods established or ratified by the Board of Trustees. These methods include, but are not limited to: (i) general information as to how these securities and assets trade; (ii) in connection with futures contracts and options thereupon, and other derivative investments, information as to how (a) these contracts and other derivative investments trade in the futures or other derivative markets, respectively, and (b) the securities underlying these contracts and other derivative investments trade in the cash market; and (iii) other information and considerations, including current values in related-markets.

B. Securities transactions are recorded on the trade date for financial reporting purposes. Realized gains and losses from securities transactions are recorded using the

identified cost basis. Proceeds from lawsuits related to investment holdings are recorded as realized gains in the respective Fund. Dividend income is recorded on the ex-dividend date, net of applicable taxes withheld by foreign countries. Taxable non-cash dividends are recorded as dividend income. Interest income, including amortization of premiums and accretion of discount, is accrued on a daily basis. Distributions received from investments in REITs are recorded as dividend income on the ex-dividend date, subject to reclassification upon notice of the character of such distribution by the issuer.

C. Distributions of net investment income and net realized gains, if any, are declared and paid at least annually. Distributions are recorded on the ex-dividend date and are determined in accordance with income tax regulations which may differ from U.S. generally accepted accounting principles.

D. When a Fund engages in a short sale of an equity or fixed income security, an amount equal to the proceeds is reflected as an asset and an equivalent liability. The amount of the liability is subsequently marked-to-market to reflect the market value of the short sale. The Fund maintains a segregated account of cash and/or securities as collateral for short sales. The Fund is exposed to market risk based on the amount, if any, that the market value of the security exceeds the market value of the securities in the segregated account. Fees, if any, paid to brokers to borrow securities in connection with short sales are considered part of the cost of short sale transactions. In addition, the Fund must pay out the dividend rate of the equity or coupon rate of the treasury obligation to the lender and records this as an expense. Short dividends or interest expense is a cost associated with the investment objective of short sales transactions, rather than an operational cost associated with the day-to-day management of any mutual fund. The Funds may also receive rebate income from the broker resulting from the investment of the proceeds from securities sold short or incur rebate charges to borrow certain securities.

E. Upon the purchase of an option by a Fund, the premium paid is recorded as an investment, the value of which is marked-to-market daily. When a purchased option expires, that Fund will realize a loss in the amount of the cost of the option. When a Fund enters into a closing sale transaction, that Fund will realize a gain or loss depending on whether the proceeds from the closing sale transaction are greater or less than the cost of the option. When a Fund exercises a put option, that Fund will realize a gain or loss from the sale of the underlying security and the proceeds from such sale will

THE RYDEX SERIES FUNDS ANNUAL REPORT    |    81

2

NOTES TO FINANCIAL STATEMENTS (continued)

be decreased by the premium originally paid. When a Fund exercises a call option, the cost of the security purchased by that Fund upon exercise will be increased by the premium originally paid. When a Fund writes (sells) an option, an amount equal to the premium received is entered in that Fund’s accounting records as an asset and equivalent liability. The amount of the liability is subsequently marked to-market to reflect the current value of the option written. When a written option expires, or if a Fund enters into a closing purchase transaction, that Fund realizes a gain (or loss if the cost of a closing purchase transaction exceeds the premium received when the option was sold).

F. The Trust may enter into stock and bond index future contracts and options on such futures contracts. Futures contracts are contracts for delayed delivery of securities at a specified future delivery date and at a specific price. Upon entering into a contract, a Fund deposits and maintains as collateral such initial margin as required by the exchange on which the transaction is effected. Pursuant to the contract, the Fund agrees to receive from or pay to the broker an amount of cash equal to the daily fluctuation in value of the contract. Such receipts or payments are known as variation margin and are recorded by the Fund as unrealized gains or losses. When the contract is closed, the Fund records a realized gain or loss equal to the difference between the value of the contract at the time it was opened and the value at the time it was closed.

G. The Trust may enter into domestic equity index and domestic currency index swap agreements, which are over-the-counter contracts in which one party agrees to make periodic payments based on the change in market value of a specified equity security, basket of equity securities, equity index or domestic currency index, in return for periodic payments based on a fixed or variable interest rate or the change in market value of a different equity security, basket of equity securities, equity index or domestic currency index. Swap agreements are used to obtain exposure to an equity or market without owning or taking physical custody of securities. The swap agreements are marked-to-market daily based upon quotations from market makers and the change, if any, is recorded as unrealized gain or loss. Payments received or made as a result of an agreement or termination of the agreement are recognized as realized gains or losses.

H. The Trust may invest in structured notes, which are over-the-counter contracts linked to the performance of an underlying benchmark such as interest rates, equity markets, equity indices, commodities indices, corporate

credits or foreign exchange markets. A structured note is a type of bond in which an issuer borrows money from investors and pays back the principal, adjusted for performance of the underlying benchmark, at a specified maturity date. In addition, the contract may require periodic interest payments. Structured notes are used to obtain exposure to a market without owning or taking physical custody of securities or commodities.

Fluctuations in value of the structured notes are recorded as unrealized gains and losses in the accompanying financial statements. Coupon payments are recorded as income while net payments are recorded as net realized gains or losses.

I. Investment securities and other assets and liabilities denominated in foreign currencies are translated into U.S. dollar amounts at the date of valuation. Purchases and sales of investment securities and income and expense items denominated in foreign currencies are translated into U.S. dollar amounts on the respective dates of such transactions. The Trust does not isolate that portion of the results of operations resulting from changes in foreign exchange rates on investments from the fluctuations arising from changes in market prices of securities held. Such fluctuations are included with the net realized and unrealized gain and loss from investments. Reported net realized foreign exchange gains or losses arise from sales of foreign currencies and currency gains or losses realized between the trade and settlement dates on investment transactions. Net unrealized exchange gains and losses arise from changes in the fair values of assets and liabilities other than investments in securities at the fiscal period end, resulting from changes in exchange rates.

J. The Trust may enter into forward currency contracts primarily to hedge against foreign currency exchange rate risks on its non-U.S. dollar denominated investment securities. When entering into a forward currency contract, a Fund agrees to receive or deliver a fixed quantity of foreign currency for an agreed-upon price on an agreed future date. These contracts are valued daily and the corresponding unrealized gain or loss on the contracts, as measured by the difference between the forward foreign exchange rates at the dates of entry into the contracts and the forward rates at the reporting date, is included in the Statement of Assets and Liabilities. Realized and unrealized gains and losses are included in the Statement of Operations. At March 31, 2009, none of the Funds held forward currency contracts.

K. Certain U.S. Government and Agency Obligations are traded on a discount basis; the interest rates shown on

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NOTES TO FINANCIAL STATEMENTS (continued)

the Schedules of Investments reflect the effective rates paid at the time of purchase by the Funds. Other securities bear interest at the rates shown, payable at fixed dates through maturity. The Funds may also purchase American Depository Receipts, U.S. Government securities, and enter into repurchase agreements.

L. The Funds may leave cash overnight in their cash account with the custodian, U.S. Bank. Periodically, a Fund may have cash due to the custodian bank as an overdraft balance. A fee is incurred on this overdraft, calculated by multiplying the overdraft by a rate based on the federal funds rate. Segregated cash with the broker is held as collateral for investments in derivative instruments such as futures contracts and index swap agreements.

M. Interest and dividend income, most expenses, all realized gains and losses, and all unrealized gains and losses are allocated to the Classes based upon the value of the outstanding shares in each Class. Certain costs, such as distribution fees related to A-Class shares and H-Class shares and service and distribution fees related to C-Class shares, are charged directly to such Classes. In addition, certain expenses have been allocated to the individual Funds in the Trust on a pro rata basis upon the respective aggregate net assets of each Fund included in the Trust.

N. Throughout the normal course of business, the Funds enter into contracts that contain a variety of representations and warranties which provide general indemnifications. The Funds’ maximum exposure under these arrangements is unknown, as this would involve future claims that may be made against the Funds and/or their affiliates that have not yet occurred. However, based on experience, the Funds expect the risk of loss to be remote.

2.   Financial Instruments

As part of its investment strategy, the Trust may utilize short sales and a variety of derivative instruments including, options, futures, options on futures, structured notes and swap agreements. These investments involve, to varying degrees, elements of market risk and risks in excess of the amounts recognized in the Statements of Assets and Liabilities.

A short sale is a transaction in which a Fund sells an equity or fixed income security it does not own. If the security sold short decreases in price between the time the Fund sells the security and closes its short position, that Fund will realize a gain on the transaction. Conversely, if the security increases in price during the period, that Fund will realize a loss on the transaction.

The risk of such price increases is the principal risk of engaging in short sales.

The risk associated with purchasing options is limited to the premium originally paid. The risk in writing a covered call option is that a Fund may forego the opportunity for profit if the market price of the underlying security increases and the option is exercised. The risk in writing a covered put option is that a Fund may incur a loss if the market price of the underlying security decreases and the option is exercised. In addition, there is the risk that a Fund may not be able to enter into a closing transaction because of an illiquid secondary market or, for over-the-counter options, because of the counterparty’s inability to perform.

There are several risks in connection with the use of futures contracts. Risks may be caused by an imperfect correlation between movements in the price of the instruments and the price of the underlying securities. In addition, there is the risk that a Fund may not be able to enter into a closing transaction because of an illiquid secondary market.

There are several risks associated with the use of structured notes. Structured notes are leveraged, thereby providing an exposure to the underlying benchmark greater than the face amount and increasing the volatility of each note relative to the change in the underlying linked financial instrument. A highly liquid secondary market may not exist for the structured notes a Fund invests in, which may make it difficult for that Fund to sell the structured notes it holds at an acceptable price or to accurately value them. In addition, structured notes are subject to the risk that the counterparty to the instrument, or issuer, might not pay interest when due or repay principal at maturity of the obligation. Although the Trust will not invest in any structured notes unless Rydex Investments believes that the issuer is creditworthy, a Fund does bear the risk of loss of the amount expected to be received in the event of the default or bankruptcy of the issuer.

There are several risks associated with the use of swap agreements that are different from those associated with ordinary portfolio securities transactions, due to the fact they could be considered illiquid. Although the Trust will not enter into any swap agreement unless Rydex Investments believes that the other party to the transaction is creditworthy, the Funds bear the risk of loss of the amount expected to be received under a swap agreement in the event of the default or bankruptcy of the agreement counterparty.

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NOTES TO FINANCIAL STATEMENTS (continued)

In conjunction with the use of short sales, options, futures, options on futures, structured notes and swap agreements, the Funds are required to maintain collateral in various forms. The Funds use, where appropriate, depending on the financial instrument utilized and the broker involved, margin deposits at the broker, cash and/or securities segregated at the custodian bank, discount notes, or the repurchase agreements allocated to each Fund.

The risks inherent in the use of short sales, options, futures contracts, options on futures contracts, structured notes, and swap agreements, include i) adverse changes in the value of such instruments; ii) imperfect correlation between the price of the instruments and movements in the price of the underlying securities, indices, or futures contracts; iii) the possible absence of a liquid secondary market for any particular instrument at any time; and iv) the potential of counterparty default. The Trust has established counterparty credit guidelines and enters into transactions only with financial institutions of investment grade or better. The Trust monitors the counterparty credit risk.

There are several risks associated with exposure to foreign currencies, foreign issuers and emerging markets. The Fund’s indirect and direct exposure to foreign currencies subjects the Fund to the risk that those currencies will decline in value relative to the U.S. dollar, or, in the case of short positions, that the U.S. dollar will decline in value relative to the currency being hedged. Currency rates in foreign countries may fluctuate significantly over short periods of time for a number of reasons, including changes in interest rates and the imposition of currency controls or other political developments in the U.S. or abroad. In addition, the Fund may incur transaction costs in connection with conversions between various currencies. The Fund may, but is not obligated to, engage in currency hedging transactions, which generally involve buying currency forward, options or futures contracts. However, not all currency risk may be effectively hedged, and in some cases the costs of hedging techniques may outweigh expected benefits. In such instances, the value of securities denominated in foreign currencies can change significantly when foreign currencies strengthen or weaken relative to the U.S. dollar.

The Fund may invest in securities of foreign companies directly, or in financial instruments, such as ADRs and exchange-traded funds, which are indirectly linked to the performance of foreign issuers. Foreign markets can be

more volatile than the U.S. market due to increased risks of adverse issuer, political, regulatory, market, or economic developments and can perform differently from the U.S. market. Investing in securities of foreign companies directly, or in financial instruments that are indirectly linked to the performance of foreign issuers, may involve risks not typically associated with investing in U.S. issuers. The value of securities denominated in foreign currencies, and of dividends from such securities, can change significantly when foreign currencies strengthen or weaken relative to the U.S. dollar. Foreign securities markets generally have less trading volume and less liquidity than U.S. markets, and prices in some foreign markets may fluctuate more than those of securities traded on U.S. markets. Many foreign countries lack accounting and disclosure standards comparable to those that apply to U.S. companies, and it may be more difficult to obtain reliable information regarding a foreign issuer’s financial condition and operations. Transaction costs and costs associated with custody services are generally higher for foreign securities than they are for U.S. securities. Some foreign governments levy withholding taxes against dividend and interest income. Although in some countries portions of these taxes are recoverable, the non-recovered portion will reduce the income received by the Fund.

Emerging markets, which consist of countries that have an emerging stock market as defined by Standard & Poor’s^®, countries or markets with low- to middle-income economies as classified by the World Bank, and other countries or markets with similar characteristics as determined by Rydex Investments, can be more volatile than the U.S. market due to increased risks of adverse issuer, political, regulatory, market, or economic developments and can perform differently from the U.S. market. Emerging markets can be subject to greater social, economic, regulatory, and political uncertainties and can be extremely volatile. As a result, the securities of emerging market issuers may present market, credit, currency, liquidity, legal, political and other risks different from, or greater than, the risks of investing in securities of developed foreign countries. In addition, the risks associated with investing in a narrowly defined geographic area are generally more pronounced with respect to investments in emerging market countries. The Fund may also be subject to this risk with respect to its investments in derivatives or other securities or financial instruments whose returns are related to the returns of emerging market securities.

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NOTES TO FINANCIAL STATEMENTS (continued)

3.   Call Options Written

Transactions in options written during the year ended March 31, 2009, were as follows:

	Absolute Return Strategies Fund						Hedged Equity Fund
	Number of			Premiums			Number of			Premiums
	Contracts			Received			Contracts			Received
Options outstanding at March 31, 2008		119		$	2,468,798			19		$	394,178
Options written		12,364			24,592,301			1,213			4,940,337
Options terminated in closing purchase transactions		(5,738	)		(20,307,428	)		(592	)		(4,135,273	)
Options expired		(4,875	)		(6,410,988	)		(360	)		(1,154,441	)
Options exercised		(1,870	)		(342,684	)		(280	)		(44,800	)
Options outstanding at March 31, 2009		—		$	—			—		$	—

4.   Fees And Other Transactions With Affiliates

Under the terms of an investment advisory contract, the Trust pays Rydex Investments investment advisory fees calculated at an annualized rate of 0.75% of the average daily net assets of the Commodities Strategy Fund; 0.85% of the average daily net assets of the Real Estate Fund; 0.90% of the average daily net assets of the Sector Rotation Fund, the International Rotation Fund, the Strengthening Dollar 2x Strategy Fund, and the Weakening Dollar 2x Strategy Fund, 1.15% of the average daily net assets of the Absolute Return Strategies Fund and the Hedged Equity Fund, and 1.20% of the average daily net assets of the Global Market Neutral Fund. The Alternative Strategies Allocation Fund does not pay Rydex Investments a management fee.

Under the terms of the investment advisory contract, Multi-Cap Core Equity Fund pays Rydex Investments a base management fee of 0.70% of the average daily net assets; that is subject to a performance adjustment so that base fee can increase or decrease, depending on the investment performance of the Fund relative to the Russell 3000^® Index (the “Index”). The maximum annualized performance adjustment is +/- 0.20% of the performance period. The performance comparison is made for a rolling 12-month period, with performance adjustments made at the end of each month. The 12-month comparison period will roll over with each succeeding month, so that it will always equal 12 months, ending with the month for which the performance adjustment is being computed. For the year ended March 31, 2009, the effective management fee was 0.32% of the Fund’s average daily net assets.

Effective May 1, 2006, Rydex Investments has contractually agreed to waive its advisory fee to the extent necessary to limit the ordinary operating expenses of the Commodities Strategy Fund (but excluding interest expenses, brokerage commissions and extraordinary expenses) to not more than 1.20%, 1.95%, and 1.20% per annum of the average monthly net assets of the A-Class, C-Class, and H-Class of the Fund (the “Contractual Fee Waiver”). The Contractual Fee Waiver may not be modified or eliminated prior to August 1, 2009, except with the approval of the Board of Trustees. There is no guarantee that the contractual fee waiver will continue beyond August 1, 2009.

As part of its agreement with the Trust, Rydex Investments will pay all expenses of the Absolute Return Strategies Fund and Hedged Equity Fund, including the cost of transfer agency, custody, fund administration, legal, audit and other services, except interest expense, taxes (expected to be de minimis), brokerage commissions and other expenses connected with execution of portfolio transactions, short dividend expenses, and extraordinary expenses.

Rydex Investments manages the investment and reinvestment of the assets of the Alternative Strategies Allocation Fund in accordance with the investment objectives, policies, and limitations of the Fund. As part of its agreement with the Trust, Rydex Investments will pay all expenses of the Fund, including the cost of transfer agency, fund administration, audit and other services, excluding interest expense, taxes (expected to be de minimis), brokerage commissions and other expenses connected with the execution of portfolio transactions, short dividend expenses, and extraordinary expenses. The Fund indirectly bears a proportionate share of the total operating expenses (including investment management, shareholder servicing, custody, transfer agency, audit and other underlying fund expenses) of the underlying funds in which the Fund invests. In addition, some underlying funds charge redemption fees if a shareholder, including a Fund, redeems shares before the end of the funds’ requisite holding period. Therefore, if the Fund sells shares of an underlying fund that is subject to a redemption fee, that Fund will be responsible for paying the redemption fee to the underlying funds.

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NOTES TO FINANCIAL STATEMENTS (continued)

Rydex Investments provides transfer agent and administrative services to the Funds for fees calculated at an annualized rate of 0.25% of the average daily net assets of each Fund. Fees related to the Absolute Return Strategies Fund, Alternative Strategies Allocation Fund, and Hedged Equity Fund are paid by Rydex Investments, as previously noted.

Rydex Investments provides accounting services to the Trust calculated at an annualized rate of 0.10% on the first $250 million of the average daily net assets, 0.075% on the next $250 million of the average daily net assets, 0.05% on the next $250 million of the average daily net assets, and 0.03% on the average daily net assets over $750 million of each Fund. Fees related to the Absolute Return Strategies Fund, Alternative Strategies Allocation Fund, and Hedged Equity Fund are paid by Rydex Investments, as previously noted.

Rydex Investments engages external service providers to perform other necessary services for the Trust, such as audit and accounting related services, legal services, custody, printing and mailing, etc., on a pass-through basis. Such expenses vary from Fund to Fund and are allocated to the Funds based on relative net assets. Certain expenses allocated to the Absolute Return Strategies Fund, Alternative Strategies Allocation Fund, and Hedged Equity Fund are paid by Rydex Investments, as previously noted.

The Trust has adopted a Distribution Plan applicable to A-Class shares and H-Class shares for which the Distributor and other firms that provide distribution and/or shareholder services (“Service Providers”) may receive compensation. If a Service Provider provides distribution services, the Funds will pay distribution fees to the Distributor at an annual rate not to exceed 0.25% of average daily net assets, pursuant to Rule 12b-1 of the 1940 Act. The Distributor, in turn, will pay the Service Provider out of its fees. The Distributor may, at its discretion, retain a portion of such payments to compensate itself for distribution services.

The Trust has adopted a separate Distribution and Shareholder Services Plan applicable to its C-Class shares that allows the Funds to pay annual distribution and service fees of 0.75% of the Alternative Strategies Allocation Fund and 1.00% of the remaining Funds’ C-Class shares average daily net assets. The annual 0.25% service fee compensates the shareholder’s financial advisor for providing on-going services to the shareholder. The annual distribution fee of 0.50% for Alternative Strategies Allocation Fund and 0.75% for the remaining Funds reimburses the Distributor for paying the shareholder’s financial advisor an on-going sales

commission. The Distributor advances the first year’s service and distribution fees to the financial advisor. The Distributor retains the service and distribution fees on accounts with no authorized dealer of record.

The Alternative Strategies Allocation Fund has not adopted a Distribution Plan and a Shareholder Services Plan with respect to A-Class shares and H-Class shares. Instead, the Fund invests in underlying funds that have a distribution plan that allows the underlying funds to pay distribution fees to the Distributor and other firms that provide distribution services (“Service Providers”). The underlying funds will pay distribution fees to the Distributor at an annual rate not to exceed 0.25% of average daily net assets, pursuant to Rule 12b-1 under the 1940 Act, as amended. If a Service Provider provides distribution or shareholder services, the Distributor will, in turn, pay the Service Provider for the services it provides at an annual rate not to exceed 0.25% of the average daily net assets of a Fund.

For the year ended March 31, 2009, the Distributor retained sales charges of $688,103 relating to sales of A-Class shares of the Trust.

Certain officers and trustees of the Trust are also officers of Rydex Investments and the Distributor.

5.   Federal Income Tax Information

The Funds intend to comply with the provisions of Subchapter M of the Internal Revenue Code applicable to regulated investment companies and will distribute substantially all net investment income and capital gains to shareholders. Therefore, no Federal income tax provision has been recorded.

Tax positions taken or expected to be taken in the course of preparing the Funds’ tax returns are evaluated to determine whether the tax positions are “more-likely-than-not” of being sustained by the applicable tax authority. Tax positions not deemed to meet the more-likely-than-not threshold would be recorded as a tax benefit or expense in the current year. Management has analyzed the Funds’ tax positions taken on federal income tax returns for all open tax years (fiscal years 2006 — 2009), and has concluded that no provision for income tax was required in the Funds’ financial statements.

Income and capital gain distributions are determined in accordance with Federal income tax regulations, which may differ from U.S. generally accepted accounting principles. These differences are primarily due to differing treatments for losses deferred due to wash sales, losses deferred due to post-October losses, unsettled short sales and excise tax regulations.

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NOTES TO FINANCIAL STATEMENTS (continued)

Permanent book and tax basis differences, if any, will result in reclassifications. This may include net operating losses not utilized during the current period, capital loss carryforward expired, and the utilization of earnings and profits distributed to the shareholders on redemption of shares as part of the dividends paid deduction for income tax purposes. These reclassifications have no effect on net assets or net asset values per share. Any undistributed ordinary income or long-term capital gain remaining at fiscal year end is distributed in the following year.

The Funds’ tax basis capital gains and losses are determined only at the end of each fiscal year. Tax basis capital losses in excess of capital gains are carried forward to offset future net capital gains. For the year ended March 31, 2009, the following Fund offset net realized capital gains with capital losses from previous years:

Fund	Amount
Strengthening Dollar 2x Strategy Fund	$	152,230

The tax character of distributions paid during the year ended March 31, 2009, was as follows:

	Ordinary		Long-Term		Total
Fund	Income		Capital Gain		Distributions
Multi-Cap Core Equity Fund	$	150,000	$	—	$	150,000
Sector Rotation Fund		—		—		—
Absolute Return Strategies Fund		1,270,043		106,765		1,376,808
Alternative Strategies Allocation Fund		733,685		—		733,685
Commodities Strategy Fund		1,407,429		—		1,407,429
Global Market Neutral Fund		—		—		—
Hedged Equity Fund		57,229		5,792		63,021
International Rotation Fund		341,016		—		341,016
Real Estate Fund		334,999		—		334,999
Strengthening Dollar 2x Strategy Fund		16,926,126		13,076,578		30,002,704
Weakening Dollar 2x Strategy Fund		8,851,201		2,273,781		11,124,982

The tax character of distributions paid during the year ended March 31, 2008, was as follows:

	Ordinary		Long-Term		Total
Fund	Income		Capital Gain		Distributions
Multi-Cap Core Equity Fund	$	3,661,114	$	4,699,874	$	8,360,988
Sector Rotation Fund		12,569,597		13,606,294		26,175,891
Absolute Return Strategies Fund		9,533,830		1,014,038		10,547,868
Alternative Strategies Allocation Fund		—		—		—
Commodities Strategy Fund		450,893		—		450,893
Hedged Equity Fund		1,818,273		56,710		1,874,983
International Rotation Fund		663,835		140,091		803,926
Real Estate Fund		67,532		—		67,532
Strengthening Dollar 2x Strategy Fund		—		—		—
Weakening Dollar 2x Strategy Fund		26,928,846		17,901		26,946,747

The tax character of distributable earnings/(accumulated losses) at March 31, 2009, was as follows:

	Undistributed		Undistributed		Net Unrealized
	Ordinary		Long-Term		Appreciation/			Capital Loss
Fund	Income		Capital Gain		(Depreciation)			Carryforward
Multi-Cap Core Equity Fund	$	11,703	$	—	$	(2,290,500	)	$	(5,307,599	)1
Sector Rotation Fund		—		—		(1,657,312	)		(85,674,709	)1
Absolute Return Strategies Fund		—		—		(11,055,642	)		(46,616,917	)1
Alternative Strategies Allocation Fund		—		—		(3,408,305	)		—
Commodities Strategy Fund		309,231		—		(2,996,626	)		(1,156,141	)2
Global Market Neutral Fund		—		—		(32,367	)		—
Hedged Equity Fund		—		—		(1,142,500	)		(7,921,143	)1
International Rotation Fund		58,464		—		42,572			(13,450,524	)1
Real Estate Fund		171,103		—		(7,897,689	)		(6,482,362	)1
Strengthening Dollar 2x Strategy Fund		—		—		—			—
Weakening Dollar 2x Strategy Fund		—		—		—			(31,971,735	)1

Capital Loss Carryforward amounts may be limited due to Treasury Regulations.

¹  Expires in 2017.

²  $533,762 expires in 2015 and $622,379 expires in 2017.

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NOTES TO FINANCIAL STATEMENTS (continued)

At March 31, 2009, the cost of securities for Federal income tax purposes, the aggregate gross unrealized gain for all securities for which there was an excess of value over tax cost and the aggregate gross unrealized loss for all securities for which there was an excess of tax cost over value were as follows:

			Tax		Tax			Net
	Tax		Unrealized		Unrealized			Unrealized
Fund	Cost		Gain		Loss			Gain (Loss)
Multi-Cap Core Equity Fund	$	12,133,840	$	149,998	$	(2,440,498	)	$	(2,290,500	)
Sector Rotation Fund		167,099,126		7,486,177		(9,143,489	)		(1,657,312	)
Absolute Return Strategies Fund		127,087,519		—		(11,419,939	)		(11,419,939	)
Alternative Strategies Allocation Fund		35,519,829		28,714		(3,437,019	)		(3,408,305	)
Commodities Strategy Fund		64,361,001		—		(2,996,626	)		(2,996,626	)
Global Market Neutral Fund		28,188,553		10,166		(26,515	)		(16,349	)
Hedged Equity Fund		20,519,661		—		(1,247,263	)		(1,247,263	)
International Rotation Fund		9,940,563		—		(15,838	)		(15,838	)
Real Estate Fund		12,425,396		—		(7,897,689	)		(7,897,689	)
Strengthening Dollar 2x Strategy Fund		46,695,156		—		—			—
Weakening Dollar 2x Strategy Fund		64,822,055		—		—			—

Post-October Losses Deferred

Pursuant to Federal income tax regulations applicable to investment companies, the Funds have elected to treat net capital losses realized between November 1 and March 31 of each year as occurring on the first day of the following tax year. For the year ended March 31, 2009, the following amounts of realized capital losses reflected in the accompanying financial statements will not be recognized for Federal income tax purposes until April 1, 2009:

Fund	Currency			Capital
Multi-Cap Core Equity Fund	$	—		$	(5,278,439	)
Sector Rotation Fund		—			(65,777,078	)
Absolute Return Strategies Fund		(103,884	)		(1,627,011	)
Alternative Strategies Allocation Fund		—			(5,415,787	)
Commodities Strategy Fund		—			(24,126,329	)
Hedged Equity Fund		(9,084	)		(568,976	)
International Rotation Fund		—			(2,790,012	)
Real Estate Fund		—			(5,652,947	)
Strengthening Dollar 2x Strategy Fund		—			(12,407,143	)

6.   Repurchase Agreements

The Funds transfer uninvested cash balances into a single joint account, the daily aggregate balance of which is invested in one or more repurchase agreements collateralized by obligations of the U.S. Treasury and U.S. Government Agencies. The collateral is in the possession of the Fund’s custodian and is evaluated to ensure that its market value exceeds at a minimum, 102% of the original face amount of the repurchase agreements. Each Fund holds a pro rata share of the collateral based on the dollar amount of the repurchase agreement entered into by each Fund.

The repurchase agreements executed by the joint account and outstanding at March 31, 2009, were as follows:

Counterparty	Terms of Agreement	Face Value		Market Value		Repurchase Price
Credit Suisse Group	0.15% due 04/01/09	$	1,148,344,725	$	1,148,344,725	$	1,148,349,509
Mizuho Financial Group, Inc.	0.16% due 04/01/09		424,587,235		424,587,235		424,589,122
Morgan Stanley	0.05% due 04/01/09		28,000,000		28,000,000		28,000,039
				$	1,600,931,960	$	1,600,938,670

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NOTES TO FINANCIAL STATEMENTS (continued)

At March 31, 2009, the collateral for the repurchase agreements in the joint account was as follows:

Security Type	Maturity Dates		Range of Rates		Par Value		Market Value
U.S. Treasury Notes		07/15/10 - 08/15/17		1.13% - 4.75%	$	990,145,000	$	1,082,422,034
U.S. Treasury Bills		07/30/09 - 09/10/09		—		433,606,900		433,079,078
U.S. Treasury Bond		02/15/38		4.38%		78,470,000		88,892,208
U.S. TIP Note		07/15/14		2.00%		24,573,000		28,560,324
							$	1,632,953,644

In the event of counterparty default, the Funds have the right to collect the collateral to offset losses incurred. There is potential loss to the Funds in the event the Funds are delayed or prevented from exercising their rights to dispose of the collateral securities, including the risk of a possible decline in the value of the underlying securities during the period while the Funds seek to assert their rights. The Funds’ investment advisor, acting under the supervision of the Board of Trustees, reviews the value of the collateral and the creditworthiness of those banks and dealers with which the Funds enter into repurchase agreements to evaluate potential risks.

7.   Fair Value Measurement

Effective April 1, 2008, the Funds adopted Statement of Financial Accounting Standard No. 157 (“FAS 157”) Fair Value Measurement which provided enhanced guidance for using fair value to measure assets and liabilities. The standard requires companies to provide expanded information about the assets and liabilities measured at fair value and the potential effect of these fair valuations on an entity’s financial performance. The standard does not expand the use of fair value in any new circumstances, but provides clarification on acceptable fair valuation methods and applications.

Various inputs may be used to determine the value of the fund’s investments. These inputs are summarized in three broad levels:

Level 1 — quoted prices in active markets for identical securities.

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

Level 3 — significant unobservable inputs (including the fund’s own 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 summarizes the inputs used to value the Funds’ net assets at March 31, 2009:

	Level 1		Level 1			Level 2		Level 2			Level 3		Level 3
	Investments		Other Financial			Investments		Other Financial			Investments		Other Financial
Fund	In Securities		Instruments		*	In Securities		Instruments		*	In Securities		Instruments		*	Total
Assets
Multi-Cap Core Equity Fund	$	9,843,340	$	—		$	—	$	—		$	—	$	—		$	9,843,340
Sector Rotation Fund		165,441,814		—			—		—			—		—			165,441,814
Absolute Return Strategies Fund		115,667,580		874,190			—		538,652			—		—			117,080,422
Alternative Strategies Allocation Fund		32,111,524		—			—		—			—		—			32,111,524
Commodities Strategy Fund		44,638,093		—			16,726,282		—			—		—			61,364,375
Global Market Neutral Fund		28,172,204		—			—		—			—		—			28,172,204
Hedged Equity Fund		19,272,398		345,251			—		208,239			—		—			19,825,888
International Rotation Fund		9,924,725		—			—		619,515			—		—			10,544,240
Real Estate Fund		4,527,707		—			—		—			—		—			4,527,707
Strengthening Dollar 2x Strategy Fund		21,695,156		—			25,000,000		106,930			—		—			46,802,086
Weakening Dollar 2x Strategy Fund		64,822,055		—			—		5,348,386			—		—			70,170,441

THE RYDEX SERIES FUNDS ANNUAL REPORT    |    89

10

NOTES TO FINANCIAL STATEMENTS (continued)

	Level 1		Level 1			Level 2		Level 2			Level 3		Level 3
	Investments		Other Financial			Investments		Other Financial			Investments		Other Financial
Fund	In Securities		Instruments		*	In Securities		Instruments		*	In Securities		Instruments		*	Total
Liabilities
Multi-Cap Core Equity Fund	$	—	$	—		$	—	$	—		$	—	$	—		$	—
Sector Rotation Fund		—		—			—		—			—		—			—
Absolute Return Strategies Fund		16,362,154		—			—		—			—		—			16,362,154
Alternative Strategies Allocation Fund		—		—			—		—			—		—			—
Commodities Strategy Fund		—		—			—		—			—		—			—
Global Market Neutral Fund		12,997,742		—			—		—			—		—			12,997,742
Hedged Equity Fund		4,475,774		—			—		—			—		—			4,475,774
International Rotation Fund		—		—			—		—			—		—			—
Real Estate Fund		—		—			—		—			—		—			—
Strengthening Dollar 2x Strategy Fund		—		—			—		13,895			—		—			13,895
Weakening Dollar 2x Strategy Fund		—		—			—		—			—		—			—

* Other financial instruments may include forward foreign currency contracts, futures and/or swaps, which are reported as unrealized gain/loss at period end.

8.   Securities Transactions

For the year ended March 31, 2009, the cost of purchases and proceeds from sales of investment securities, excluding short-term and temporary cash investments, were:

							Alternative				Global
	Multi-Cap				Absolute Return		Strategies		Commodities		Market
	Core Equity		Sector Rotation		Strategies		Allocation		Strategy		Neutral
	Fund		Fund		Fund		Fund		Fund		Fund
Purchases	$	51,418,504	$	1,596,538,453	$	1,493,050,252	$	55,258,031	$	220,802,114	$	28,188,271
Sales	$	62,640,880	$	1,614,487,747	$	1,570,466,206	$	20,812,245	$	220,659,942	$	12,990,139
							Strengthening		Weakening
			International				Dollar		Dollar
	Hedged Equity		Rotation		Real Estate		2x Strategy		2x Strategy
	Fund		Fund		Fund		Fund		Fund
Purchases	$	156,223,844	$	15,235,287	$	160,576,513	$	—	$	—
Sales	$	165,949,397	$	24,411,980	$	157,397,072	$	—	$	—

90    |    THE RYDEX SERIES FUNDS ANNUAL REPORT

NOTES TO FINANCIAL STATEMENTS (continued)

9.   Share Transactions

The Trust is authorized to issue an unlimited number of shares (no par value). Transactions in shares for the years presented were:

	Shares Purchased					Purchased through Dividend Reinvestment				Shares Redeemed					Net Shares Purchased (Redeemed)
	Year Ended		Year Ended			Year Ended		Year Ended		Year Ended		Year Ended			Year Ended		Year Ended
	March 31,		March 31,			March 31,		March 31,		March 31,		March 31,			March 31,		March 31,
	2009		2008			2009		2008		2009		2008			2009		2008
Multi-Cap Core Equity Fund
A-Class		1,175,672		183,758			907		45,561		(1,365,614)		(277,562)			(189,035)		(48,243)
C-Class		188,261		578,996			8,488		309,961		(751,472)		(1,303,090)			(554,723)		(414,133)
H-Class		1,077,659		450,833			11,340		251,651		(1,687,556)		(2,022,499)			(598,557)		(1,320,015)
Sector Rotation Fund
A-Class		3,770,906		2,515,971			—		180,762		(3,720,927)		(1,870,200)			49,979		826,533
C-Class		1,427,758		2,985,049			—		507,269		(3,318,021)		(3,247,704)			(1,890,263)		244,614
H-Class		14,854,667		17,462,062			—		944,333		(19,321,635)		(15,112,460)			(4,466,968)		3,293,935
Absolute Return Strategies Fund
A-Class		2,922,719		1,539,342			18,264		61,772		(2,397,397)		(1,466,196)			543,586		134,918
C-Class		291,626		1,299,950			14,651		81,715		(1,101,599)		(946,572)			(795,322)		435,093
H-Class		1,687,547		3,737,413			27,892		233,503		(4,295,385)		(4,883,815)			(2,579,946)		(912,899)
Alternative Strategies Allocation Fund
A-Class		496,706		45,145	*		7,218		—		(248,075)		(36)	*		255,849		45,109	*
C-Class		458,968		6,211	*		8,106		—		(68,909)		(76)	*		398,165		6,135	*
H-Class		1,574,081		156,802	*		18,891		—		(790,802)		(60)	*		802,170		156,742	*
Commodities Strategy Fund
A-Class		1,527,572		735,802			24,438		4,195		(1,578,531)		(579,667)			(26,521)		160,330
C-Class		459,367		468,782			9,336		2,792		(489,811)		(311,479)			(21,108)		160,095
H-Class		9,123,069		9,361,274			54,114		9,632		(9,183,624)		(7,020,121)			(6,441)		2,350,785
Global Market Neutral Fund*
A-Class		443,082		—			—		—		(1,175)		—			441,907		—
C-Class		1		—			—		—		—		—			1		—
H-Class		150,661		—			—		—		(289)		—			150,372		—
Hedged Equity Fund
A-Class		425,570		111,860			981		8,201		(541,461)		(147,120)			(114,910)		(27,059)
C-Class		98,968		134,682			709		10,345		(163,744)		(232,135)			(64,067)		(87,108)
H-Class		1,022,465		629,575			1,563		52,308		(641,932)		(1,055,321)			382,096		(373,438)
International Rotation Fund
A-Class		616,941		873,569			14,308		16,911		(724,025)		(302,363)			(92,776)		588,117
C-Class		131,088		371,274			2,280		5,073		(172,302)		(218,555)			(38,934)		157,792
H-Class		826,963		1,363,614			5,371		9,613		(1,147,207)		(772,642)			(314,873)		600,585

THE RYDEX SERIES FUNDS ANNUAL REPORT    |    91

NOTES TO FINANCIAL STATEMENTS (continued)

	Shares Purchased				Purchased through Dividend Reinvestment				Shares Redeemed				Net Shares Purchased (Redeemed)
	Year Ended		Year Ended		Year Ended		Year Ended		Year Ended		Year Ended		Year Ended		Year Ended
	March 31,		March 31,		March 31,		March 31,		March 31,		March 31,		March 31,		March 31,
	2009		2008		2009		2008		2009		2008		2009		2008
Real Estate Fund
A-Class		872,029		112,803		9,833		557		(849,110)		(239,901)		32,752		(126,541)
C-Class		1,290,931		700,464		2,851		564		(1,279,430)		(760,867)		14,352		(59,839)
H-Class		6,263,460		6,023,194		9,690		852		(6,572,613)		(6,199,457)		(299,463)		(175,411)
Strengthening Dollar 2x Strategy Fund
A-Class		2,250,634		787,126		188,587		—		(2,207,727)		(650,512)		231,494		136,614
C-Class		7,389,634		1,457,961		129,853		—		(7,533,854)		(1,247,514)		(14,367)		210,447
H-Class		26,299,904		12,026,223		879,991		—		(27,510,577)		(11,034,788)		(330,682)		991,435
Weakening Dollar 2x Strategy Fund
A-Class		1,926,838		1,514,334		94,540		127,340		(1,701,240)		(1,706,145)		320,138		(64,471)
C-Class		2,363,700		1,265,049		102,981		112,053		(2,671,722)		(1,168,330)		(205,041)		208,772
H-Class		16,932,375		9,101,734		413,548		648,780		(17,216,007)		(10,420,234)		129,916		(669,720)

* Since the commencement of operations: March 7, 2008 — Alternative Strategies Allocation Fund; March 30, 2009 — Global Market Neutral Fund.

92    |    THE RYDEX SERIES FUNDS ANNUAL REPORT

NOTES TO FINANCIAL STATEMENTS (concluded)

10.   Portfolio Securities Loaned

During the year ended March 31, 2009, certain Funds lent their securities to approved brokers to earn additional income. Security lending income shown on the statement of operations is shown net of rebates paid to borrowers and earnings on cash collateral investments shared with the lending agent. As of March 31, 2009, all Funds had ceased participation in securities lending.

11.   New Accounting Pronouncements

In March 2008, the FASB issued FAS 161, “Disclosures about Derivative Instruments and Hedging Activities.” The new requirement is intended to improve disclosures around an entity’s derivatives activity and help investors understand how entities use derivatives, how they are accounted for and how they affect the financial position and operations of that entity. FAS 161 is effective for fiscal years and interim periods beginning after November 15, 2008. Management is evaluating the impact of FAS 161 on its current disclosures.

12.   Subsequent Events

Effective April 1, 2009, the Absolute Return Strategies Fund, the International Rotation Fund, the Multi-Cap Core Equity Fund and the Sector Rotation Fund, changed their Fund names to Multi-Hedge Strategies Fund, International Opportunity Fund, Global 130/30 Strategy Fund and All-Cap Opportunity Fund, respectively. The name change did not have any impact on the Funds’ investment objectives, tickers and CUSIPS.

Effective April 1, 2009, the investment strategy of the Multi-Cap Core Equity Fund was converted to 130/30 global equity strategy; Security Global Investors, LLC (“SGI”) was hired as the Fund’s sub-adviser and the management fee was changed from 0.70% to 1.05% of the average daily net assets of the Fund.

Effective May 29, 2009, the Hedged Equity Fund will merge into the Absolute Return Strategies Fund. The two Funds pursue similar investment objectives, possess similar fee structures and are managed by the same portfolio management team. The reorganization is being structured in a way in which it will not be a taxable event for shareholders.

THE RYDEX SERIES FUNDS ANNUAL REPORT    |    93

REPORT OF INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM

To the Board of Trustees and Shareholders
of the Rydex Series Funds:

We have audited the accompanying statements of assets and liabilities of the Multi-Cap Core Equity Fund, Sector Rotation Fund, Absolute Return Strategies Fund, Alternative Strategies Allocation Fund, Commodities Strategy Fund, Global Market Neutral Fund, Hedged Equity Fund, International Rotation Fund, Real Estate Fund, Strengthening Dollar 2x Strategy Fund, and Weakening Dollar 2x Strategy Fund (eleven of the series constituting the Rydex Series Funds)(the “Funds”), including the schedules of investments, as of March 31, 2009, and the related statements of operations for the year or period then ended, statements of changes in net assets for each of the years or periods presented in the two-year period then ended, and financial highlights for each of the years or periods in the three-year period then ended. These financial statements and financial highlights are the responsibility of the Funds’ management. Our responsibility is to express an opinion on these financial statements and financial highlights based on our audits. The financial highlights for each of the periods presented through March 31, 2006 were audited by other auditors, whose report dated May 18, 2006 expressed an unqualified opinion on those financial statements and financial highlights.

We conducted our audits in accordance with the standards of the Public Company Accounting Oversight Board (United States). Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements and financial highlights are free of material misstatement. We were not engaged to perform an audit of the Funds’ internal control over financial reporting. Our audits included consideration of internal control over financial reporting as a basis for designing audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of the Funds’ internal control over financial reporting. Accordingly, we express no such opinion. An audit also includes examining, on a test basis, evidence supporting the amounts and disclosures in the financial statements and financial highlights, assessing the accounting principles used and significant estimates made by management, and evaluating the overall financial statement presentation. Our procedures included confirmation of securities owned as of March 31, 2009, by correspondence with the custodian and brokers or by other appropriate auditing procedures where replies from brokers were not received. We believe that our audits provide a reasonable basis for our opinion.

In our opinion, the financial statements and financial highlights referred to above present fairly, in all material respects, the financial position of each of the Funds at March 31, 2009, the results of their operations for the year or period then ended, the changes in their net assets for each of the years or periods presented in the two-year period then ended, and their financial highlights for each of the years or periods presented in the three-year period then ended, in conformity with U.S. generally accepted accounting principles.

McLean, Virginia
May 28, 2009

94    |    THE RYDEX SERIES FUNDS ANNUAL REPORT

OTHER INFORMATION (Unaudited)

Tax Information

This information is being provided as required by the Internal Revenue Code. Amounts shown may differ from those elsewhere in the report because of differences in tax and financial reporting practice.

Of the ordinary income distributions paid during the year, the following Funds had the corresponding percentages qualify for the dividends received deduction for corporations:

Fund	% Qualifying
Multi-Cap Core Equity Fund		100.00	%
Absolute Return Strategies Fund		30.52	%
Alternative Strategies Allocation Fund		1.21	%
Hedged Equity Fund		26.55	%
International Rotation Fund		57.53	%

Additionally, the following amounts of ordinary dividends paid during the same period qualified for the lower income tax rate available to individuals under the Jobs and Growth Tax Relief Reconciliation Act of 2003. This information was included in Form 1099-DIV sent to shareholders for the calendar year ended on December 31, 2008. Information for 2009 will be sent to shareholders in January of 2010.

Fund	% Qualifying
Multi-Cap Core Equity Fund		100.00	%
Absolute Return Strategies Fund		40.29	%
Alternative Strategies Allocation Fund		1.60	%
Hedged Equity Fund		7.75	%
International Rotation Fund		44.91	%

With respect to the taxable year ended March 31, 2009, the Funds hereby designate as capital gain dividends the amounts listed below, or, if subsequently determined to be different, the net capital gain of such year:

	Absolute Return		Hedged		Strengthening		Weakening
	Strategies		Equity		Dollar 2x		Dollar 2x
	Fund		Fund		Strategy Fund		Strategy Fund
From long-term capital gains, subject to the 15% rate gains category:		$106,765		$5,792		$13,076,578		$2,273,781
From long-term capital gains, using proceeds from shareholder redemptions:		—		—		15,345,067		—

Proxy Voting Information

A description of the policies and procedures that the Trust uses to determine how to vote proxies relating to securities held in the Funds’ portfolios is available, without charge and upon request, by calling 1-800-820-0888. This information is also available from the EDGAR database on the SEC’s website at http://www.sec.gov.

Information regarding how the Funds voted proxies relating to portfolio securities during the most recent 12-month period ended June 30 is available without charge, upon request, by calling 1-800-820-0888. This information is also available from the EDGAR database on the SEC’s website at http://www.sec.gov.

Proxy Results

At a special meeting of shareholders held on November 7, 2008, the shareholders of the Multi-Cap Core Equity Fund voted on approval of a new investment sub-advisory agreement between PADCO Advisors, Inc., and Security Global Investors, LLC, with respect to the Fund and an amendment to the investment advisory agreement between the Advisor and the Trust, on behalf of the Fund.

A description of the number of shares voted by proposal is as follows:

	Shares		Shares		Shares
Proposal	For		Against		Abstained
Approval of a new Investment Sub-Advisory agreement		1,036,543		63,905		112,995
Approval of an amendment to the investment advisory agreement		1,025,945		75,199		112,299

THE RYDEX SERIES FUNDS ANNUAL REPORT    |    95

OTHER INFORMATION (Unaudited) (continued)

Quarterly Portfolio Schedules Information

The Trust files its complete schedule of portfolio holdings with the SEC for the first and third quarters of each fiscal year on Form N-Q; which are available on the SEC’s website at http://www.sec.gov. The Funds’ Forms N-Q may be reviewed and copied at the SEC’s Public Reference Room in Washington, DC, and that information on the operation of the Public Reference Room may be obtained by calling 1-800-SEC-0330. Copies of the portfolio holdings are also available to shareholders, without charge and upon request, by calling 1-800-820-0888.

Rydex Investments Board Review and Approval of the Investment Advisory Agreement

The Investment Company Act of 1940 (the “1940 Act”) requires that the initial approval of, as well as the continuation of, a fund’s investment advisory agreement (including all sub-advisory agreements) be specifically approved (1) by the vote of the trustees or by a vote of the shareholders of the fund, and (2) by the vote of a majority of the trustees who are not parties to the investment advisory agreement (or sub-advisory agreement) or “interested persons” of any party (the “Independent Trustees”), cast in person at a meeting called for the purpose of voting on such approval. In connection with such approvals, the fund’s trustees must request and evaluate, and the investment adviser (or sub-adviser) is required to furnish, such information as may be reasonably necessary to evaluate the terms of the advisory agreement (or sub-advisory agreement). In addition, the U.S. Securities and Exchange Commission (the “SEC”) takes the position that, as part of their fiduciary duties with respect to fund fees, fund boards are required to evaluate the material factors applicable to a decision to approve (or renew) an investment advisory agreement (or sub-advisory agreement).

Consistent with these responsibilities, the Rydex Series Funds’ Board of Trustees (the “Trust” and the “Board,” respectively) generally calls and holds one meeting each year that is dedicated to considering whether to renew the investment advisory agreements between the Trust and PADCO Advisors, Inc., which does business under the name Rydex Investments (“Rydex Investments” or the “Adviser”), with respect to existing funds in the Trust, including the funds discussed in this Annual Report (each a “Fund” and collectively, the “Funds”). The Board may also meet, from time to time, for the purpose of considering the initial approval of investment advisory agreements (or sub-advisory agreements), pursuant to which the Adviser (or sub-adviser) will provide investment advisory services to new or existing series of the Trust.

In preparation for these meetings, the Board requests and reviews a wide variety of materials provided by the Adviser (or applicable sub-adviser), including information about the Adviser’s (or sub-adviser’s) affiliates, personnel and operations. The Board also receives data provided by third parties. For existing Funds, this information is in addition to the detailed information about the Funds that the Board reviews during the course of each year, including information that relates to Fund operations and performance. The Board also receives a memorandum from Fund counsel regarding the responsibilities of the Board for the approval of each investment advisory agreement (or sub-advisory agreement). In addition, the Independent Trustees receive advice from independent counsel to the Independent Trustees, meet in executive session outside the presence of fund management, and participate in question and answer sessions with representatives of the Adviser (or sub-adviser).

For the Trust’s fiscal year ended March 31, 2009, the following investment advisory (or sub-advisory) agreements were in effect and therefore, subject to Board oversight and approval (or renewal), as necessary.

Investment Advisory Agreements for All Funds, Except the Alternative Strategies Allocation Fund and Global 130/30 Strategy Fund (Formerly, the Multi-Cap Core Equity Fund)

The investment advisory agreements dated January 18, 2008 between the Trust, on behalf of the Funds (except for the Alternative Strategies Allocation Fund and Global 130/30 Strategy Fund), and the Adviser (each an “Advisory Agreement” and together, the “Advisory Agreements”) were initially approved by the Board, including all of the Independent Trustees, at a Special Meeting held on July 10, 2007 and at the Board’s Quarterly Meeting held on August 27 and 28, 2007. Subsequently, the Advisory Agreements were approved by shareholders of the Funds (except for the Alternative Strategies Allocation Fund and Global 130/30 Strategy Fund) at Special Meetings held on October 4, 2007, November 1, 2007, December 20, 2007, January 31, 2008, and February 12, 2008. Subject to the terms and conditions provided for in the Advisory Agreements, each Advisory Agreement remains in effect for an initial two year term from the date of the Advisory Agreement and remains in effect for periods of one year thereafter subject to Board approval. Therefore, the continuation of the Advisory Agreements are next scheduled to be approved by the Board at the Trust’s August 2009 Meeting.

96    |    THE RYDEX SERIES FUNDS ANNUAL REPORT

OTHER INFORMATION (Unaudited) (continued)

Investment Sub-Advisory Agreement for the International Opportunity Fund (Formerly, the International Rotation Fund)

The investment sub-advisory agreement dated August 29, 2007 between the Adviser and Valu-Trac Investment Management Limited, with respect to the International Opportunity Fund (the “Valu-Trac Sub-Advisory Agreement”), was initially approved by the Board, including all of the Independent Trustees, on August 27, 2007. Subject to the terms and conditions provided for in the Valu-Trac Sub-Advisory Agreement, the Valu-Trac Sub-Advisory Agreement remains in effect for an initial two year term from the date of the Valu-Trac Sub-Advisory Agreement and remains in effect for periods of one year thereafter subject to Board approval. Therefore, the continuation of the Valu-Trac Sub-Advisory Agreement is next scheduled to be approved by the Board at the Trust’s August 2009 Meeting.

THE RYDEX SERIES FUNDS ANNUAL REPORT    |    97

OTHER INFORMATION (Unaudited) (continued)

Investment Advisory Agreement for the Global 130/30 Strategy Fund (Formerly, the Multi-Cap Core Equity Fund)

At a Meeting held on August 27, 2008, the Board, including all the Independent Trustees, approved an amended investment advisory agreement (the “Amended Advisory Agreement”) between the Adviser and the Trust, on behalf of the Global 130/30 Strategy Fund (formerly, the Multi-Cap Core Equity Fund) (the “130/30 Fund”), which provides for an increase in the management fee for the 130/30 Fund. Subsequently, the Amended Advisory Agreement, as well as the 130/30 Fund’s corresponding new investment sub-advisory agreement, as discussed below, were approved by shareholders of the 130/30 Fund at a Special Meeting held on November 7, 2008 and went into effect on April 1, 2009.

Prior to the Meeting, the Board, including the Independent Trustees, advised by their independent legal counsel, received and reviewed written materials from the Adviser regarding, among other things, the proposed new advisory fee arrangement and the reasons for the change. In addition, representatives of the Adviser made a presentation to the Board at the August 27, 2008 Meeting and were on hand to answer any questions regarding the Amended Advisory Agreement and the proposed change in terms of the Adviser’s compensation.

In determining whether to approve the Amended Advisory Agreement, which differed from the old investment advisory agreement (the “Initial Advisory Agreement”) only with respect to the management fee payable to the Adviser, the Board considered the fact that the advisory fee contemplated under the Amended Advisory Agreement would be implemented in conjunction with other proposed changes to the 130/30 Fund, including a new principal investment strategy (the “New Principal Investment Strategy”) as well as the addition of a sub-adviser. The Board further considered that the day-to-day management of the 130/30 Fund’s assets pursuant to the New Principal Investment Strategy will be provided by the newly appointed sub-adviser, which will be compensated for its services by the Adviser, under the terms and conditions provided for in an investment sub-advisory agreement between the sub-adviser and the Adviser. The Board also took into account that the Adviser will have supervisory and oversight responsibility with respect to the sub-adviser’s activities.

In addition, the Board considered in particular the proposed fees and total expected expense ratio (taking into account the increased management fee) for the 130/30 Fund under the Initial and Amended Advisory Agreements, the relationship between the proposed management fee and proposed sub-advisory fee and the overall management fee structure in relation to the implementation of the New Principal Investment Strategy. The Board received a “Competitive Fee Analysis,” comparing the 130/30 Fund’s proposed management fee, as well as its expected total expense ratio, to other mutual funds that employ strategies similar to the New Principal Investment Strategy. Under the Amended Advisory Agreement, the proposed management fee for the 130/30 Fund would fall within the range of advisory fees charged by comparable funds (0.80% to 1.25%), which the Board considered reasonable given the reasons for the proposed change, as described above. The Board also considered the 130/30 Fund’s management fee rate under the Amended Advisory Agreement as compared to management fees charged by the Adviser for comparable funds.

In addition to the information provided by the Adviser and the sub-adviser, the Board also relied upon the factors that it considered in approving the Initial Advisory Agreement at a meeting held on August 27, 2007, including: (i) the nature, extent and quality of services provided by the Adviser, (ii) the profits realized by the Adviser and its affiliates from their relationship with the 130/30 Fund, (iii) whether the 130/30 Fund benefits from any economies of scale, and (iv) the benefits realized by the Adviser and its affiliates from their relationship with the 130/30 Fund. With respect to these factors, along with the factors noted above, the Board reached the following conclusions in approving the Amended Advisory Agreement: (1) the nature and extent of the services historically provided by the Adviser were appropriate and the quality of services was good, (2) the advisory fees were reasonable and appropriate in amount given the quality of services provided and expected to be provided after implementation of the New Principal Investment Strategy, (3) the profits to be realized by the Adviser from the proposed management fee are reasonable in comparison with the costs of providing investment advisory services to the 130/30 Fund, (4) with respect to economies of scale, profitability to the Adviser and its affiliates is not excessive, (5) the direct and indirect benefits accruing to the Adviser were reasonable in comparison with the costs of providing advisory services, and the advisory fees charged, and the benefits to the 130/30 Fund, and (6) the Amended Advisory Agreement, to be implemented in conjunction with the New Principal Investment Strategy, is in the bests interests of Shareholders. The Board did not identify any single piece of information that was all-important, controlling or determinative of its decision.

98    |    THE RYDEX SERIES FUNDS ANNUAL REPORT

OTHER INFORMATION (Unaudited) (continued)

Subject to the terms and conditions provided for in the Amended Advisory Agreement, the Amended Advisory Agreement remains in effect for an initial two year term from the date of the Amended Advisory Agreement and remains in effect for periods of one year thereafter subject to Board approval. Therefore, the continuation of the Amended Advisory Agreement is next scheduled to be approved by the Board at the Trust’s August 2010 Meeting.

Investment Sub-Advisory Agreement for the Global 130/30 Strategy Fund (Formerly, the Multi-Cap Core Equity Fund)

At a Meeting held on August 27, 2008, the Board, including all of the Independent Trustees, approved an investment sub-advisory agreement between the Adviser and Security Global Investors, LLC (“SGI”), with respect to the 130/30 Fund (as defined under the heading “Investment Advisory Agreement for the Global 130/30 Strategy Fund (formerly, the Multi-Cap Core Equity Fund)”), pursuant to which SGI is responsible for managing the assets of the 130/30 Fund on a day-to-day basis, subject to the oversight of the Adviser and the Board (the “SGI Sub-Advisory Agreement”). Subsequently, the SGI Sub-Advisory Agreement was approved by shareholders of the 130/30 Fund at a Special Meeting held on November 7, 2008 and went into effect on April 1, 2009.

Prior to the Meeting, the Board, including the Independent Trustees advised by their independent legal counsel, received and reviewed written materials from SGI regarding, among other things: (i) the nature, extent and quality of the services to be provided by SGI to the 130/30 Fund, including SGI’s management personnel, compliance systems and overall reputation, expertise and resources; and (ii) the costs of the services to be provided, including the level of the proposed sub-advisory fee in comparison to fees charged by SGI to any other comparable accounts managed. These factors are discussed in further detail below. In addition, at the Meeting representatives from SGI presented additional oral and written information to help the Board evaluate SGI’s fee and other aspects of the SGI Sub-Advisory Agreement. Among other things, the representatives provided an overview of SGI’s history and investment philosophy. The Trustees then discussed the written materials they had received before the Meeting, SGI’s oral presentation and any other information that the Board received at the Meeting, and deliberated on the approval of the SGI Sub-Advisory Agreement in light of this information. In its deliberations, the Board did not identify any single piece of information discussed below that was all-important, controlling or determinative of its decision.

Nature, Extent and Quality of Services to be Provided by SGI

In considering the nature, extent and quality of the services to be provided by SGI, the Board reviewed the portfolio management services to be provided by SGI to the 130/30 Fund. Among other things, the Board considered the quality of SGI’s portfolio management personnel. SGI’s registration form (“Form ADV”) and current Code of Ethics were provided to the Board, as was the response of SGI to a detailed series of questions which included, among other things, information about the background and experience of the portfolio managers who would be primarily responsible for the day-to-day management of the 130/30 Fund. The Board considered whether SGI has the capabilities and resources to implement the New Principal Investment Strategy for the 130/30 Fund and, in this regard, took into account SGI’s substantial experience managing assets in accordance with “alternative” equity strategies. The Board also considered SGI’s diverse client base, which includes mutual funds, and the amount of assets the firm has under management.

The Trustees also considered other services to be provided to the 130/30 Fund by SGI, such as selecting broker-dealers for executing portfolio transactions, monitoring adherence to the 130/30 Fund’s investment restrictions, and monitoring compliance with various Fund policies and procedures and with applicable securities regulations. Based on the factors above, as well as those discussed below, the Board concluded that it was satisfied with the nature, extent and quality of the services to be provided to the 130/30 Fund by SGI.

Cost of Services Provided and Economies of Scale

The Trustees reviewed reports comparing the expense ratio and sub-advisory fee to those of other comparable mutual funds and concluded that the sub-advisory fees were reasonable and the result of arm’s length negotiations, and the sub-advisory fee was comparable to those of peer funds. Because it was not possible to determine the profitability that SGI might achieve with respect to the 130/30 Fund, the Trustees did not make any conclusions regarding SGI’s profitability. For the same reason, the Board did not make any conclusions regarding the extent to which economies of scale would be realized by SGI as the assets of the 130/30 Fund grow. In this regard, during future considerations of the SGI Sub-Advisory Agreement, the Board will consider whether any economies of scale are being realized by SGI and, if so, an appropriate mechanism for sharing the benefits of such economies of scale.

THE RYDEX SERIES FUNDS ANNUAL REPORT    |    99

OTHER INFORMATION (Unaudited) (concluded)

Other Benefits to SGI

The Board received and considered information regarding the character and amount of other incidental benefits SGI might receive as a result of its relationship with the 130/30 Fund, including SGI’s soft dollar practices. The Board also took into account that SGI is an affiliate of the Adviser. The Board concluded that, taking into account any incidental benefits SGI might receive, the terms of the SGI Sub-Advisory Agreement, including the compensation to be paid thereunder, were reasonable.

Based on the Board’s deliberations and its evaluation of the information described above, the Board, including all of the Independent Trustees, unanimously: (a) concluded that the terms of the SGI Sub-Advisory Agreement are fair and reasonable; (b) concluded that SGI’s fees are reasonable in light of the services that SGI will provide to the 130/30 Fund; (c) agreed to approve the SGI Sub-Advisory Agreement for an initial term of two years; and (d) determined that the engagement of SGI as sub-adviser under the terms of the SGI Sub-Advisory Agreement is in the bests interests of Shareholders.

Subject to the terms and conditions provided for in the SGI Sub-Advisory Agreement, the SGI Sub-Advisory Agreement remains in effect for an initial two year term from the date of the SGI Sub-Advisory Agreement and remains in effect for periods of one year thereafter subject to Board approval. Therefore, the continuation of the SGI Sub-Advisory Agreement is next scheduled to be approved by the Board at the Trust’s August 2010 Meeting.

Investment Advisory Agreement for the Alternative Strategies Allocation Fund

With respect to the Alternative Strategies Allocation Fund (the “Alternative Strategies Fund”), the Board, including all of the Independent Trustees, approved the selection of the Adviser as investment adviser of the Alternative Strategies Fund under the terms and conditions set forth in the investment advisory agreement between the Trust and the Adviser (the “Advisory Agreement”) at a meeting held on February 29, 2008.

Subject to the terms and conditions provided for in the Advisory Agreement, the Advisory Agreement remains in effect for an initial two year term from the date of the Advisory Agreement and remains in effect for periods of one year thereafter subject to Board approval. Therefore, the continuation of the Advisory Agreement is next scheduled to be approved by the Board at the Trust’s August 2009 Meeting.

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INFORMATION ON BOARD OF TRUSTEES AND OFFICERS (Unaudited)

A Board of Trustees oversees all Rydex Investments, in which its members have no stated term of service, and continue to serve after election until resignation. The Statement of Additional Information includes further information about Fund Trustees and Officers, and can be obtained without charge by calling 1-800-820-0888.

All Trustees and Officers may be reached c/o Rydex Investments, 9601 Blackwell Rd., Suite 500, Rockville, MD 20850.

TRUSTEES AND OFFICERS

	Length of Service
Name, Position and	As Trustee	Number of
Year of Birth	(Year Began)	Funds Overseen
Carl G. Verboncoeur*	Rydex Series Funds – 2004	152
Trustee, President (1952)	Rydex Variable Trust – 2004
	Rydex Dynamic Funds – 2004
	Rydex ETF Trust – 2004

Principal Occupations During Past Five Years: Treasurer of Rydex Specialized Products, LLC (2005 to 2009) Chief Executive Officer of Rydex Specialized Products, LLC (2005 to 2008); Chief Executive Officer of Rydex Investments and Rydex Distributors, Inc. (2003 to 2009)

Michael P. Byrum*	Rydex Series Funds – 2005	152
Trustee, Vice President	Rydex Variable Trust – 2005
(1970)	Rydex Dynamic Funds – 2005
	Rydex ETF Trust – 2005

Principal Occupations During Past Five Years: Chief Investment Officer of Rydex Investments (2003 to present); Secretary of Rydex Specialized Products, LLC (2005 to 2008); Vice President of Rydex Series Funds (1997 to present); Vice President of Rydex Variable Trust (1998 to present); Vice President of Rydex Dynamic Funds (1999 to present); Vice President of Rydex ETF Trust (2002 to present); President and Trustee of Rydex Capital Partners SPhinX Fund (2003 to 2006); President of Rydex Investments (2004 to present)

INDEPENDENT TRUSTEES

	Length of Service
Name, Position and	As Trustee	Number of
Year of Birth	(Year Began)	Funds Overseen
John O. Demaret	Rydex Series Funds – 1997	152
Trustee, Chairman of the	Rydex Variable Trust – 1998
Board (1940)	Rydex Dynamic Funds – 1999
	Rydex ETF Trust – 2003

Principal Occupations During Past Five Years: Retired

Corey A. Colehour	Rydex Series Funds – 1993	152
Trustee (1945)	Rydex Variable Trust – 1998
	Rydex Dynamic Funds – 1999
	Rydex ETF Trust – 2003

Principal Occupations During Past Five Years: Retired (2006 to present); Owner and President of Schield Management Company, registered investment adviser (2005 to 2006); Senior Vice President of Marketing and Co-Owner of Schield Management Company, registered investment adviser (1985 to 2005)

J. Kenneth Dalton	Rydex Series Funds – 1995	152
Trustee (1941)	Rydex Variable Trust – 1998
	Rydex Dynamic Funds – 1999
	Rydex ETF Trust – 2003

Principal Occupations During Past Five Years: Mortgage Banking Consultant and Investor, The Dalton Group

THE RYDEX SERIES FUNDS ANNUAL REPORT    |    101

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

	Length of Service
Name, Position and	As Trustee	Number of
Year of Birth	(Year Began)	Funds Overseen
Werner E. Keller	Rydex Series Funds – 2005	152
Trustee (1940)	Rydex Variable Trust – 2005
	Rydex Dynamic Funds – 2005
	Rydex ETF Trust – 2005

Principal Occupations During Past Five Years: Retired (2001 to present); Chairman, Centurion Capital Management (1991 to 2001)

Thomas F. Lydon, Jr.	Rydex Series Funds – 2005	152
Trustee (1960)	Rydex Variable Trust – 2005
	Rydex Dynamic Funds – 2005
	Rydex ETF Trust – 2005

Principal Occupations During Past Five Years: President, Global Trends Investments

Patrick T. McCarville	Rydex Series Funds – 1997	152
Trustee (1942)	Rydex Variable Trust – 1998
	Rydex Dynamic Funds – 1999
	Rydex ETF Trust – 2003

Principal Occupations During Past Five Years: Founder and Chief Executive Officer, Par Industries, Inc.

Roger Somers	Rydex Series Funds – 1993	152
Trustee (1944)	Rydex Variable Trust – 1998
	Rydex Dynamic Funds – 1999
	Rydex ETF Trust – 2003

Principal Occupations During Past Five Years: Owner, Arrow Limousine

EXECUTIVE OFFICERS

Name, Position and	Principal Occupations
Year of Birth	During Past Five Years
Nick Bonos* Vice President and Treasurer (1963)	Chief Financial Officer of Rydex Specialized Products, LLC (2005 to present); Vice President and Treasurer of Rydex Series Funds, Rydex Variable Trust, Rydex Dynamic Funds, and Rydex ETF Trust (2003 to present); Senior Vice President of Rydex Investments (2003 to present); Vice President and Treasurer of Rydex Capital Partners SPhinX Fund (2003 to 2006)
Joanna M. Haigney* Chief Compliance Officer and Secretary (1966)	Chief Compliance Officer of Rydex Series Funds, Rydex Variable Trust, and Rydex Dynamic Funds (2004 to present) Secretary of Rydex Series Funds, Rydex Variable Trust, and Rydex Dynamic Funds (2000 to present); Secretary of Rydex ETF Trust (2002 to present); Vice President of Compliance of Rydex Investments (2000 to present); Secretary of Rydex Capital Partners SPhinX Fund (2003 to 2006)
Joseph Arruda* Assistant Treasurer (1966)	Assistant Treasurer of Rydex Series Funds, Rydex Variable Trust, Rydex Dynamic Funds, Rydex ETF Trust (2006 to present); Senior Vice President of Rydex Investments (2008 to present); Vice President of Rydex Investments (2004 to 2008)
Paula Billos* Controller (1974)	Controller of Rydex Series Funds, Rydex Variable Trust, Rydex Dynamic Funds, Rydex ETF Trust (2006 to present); Director of Fund Administration of Rydex Investments (2001 to present)

* Officers of the Funds are deemed to be “interested persons” of the Trust, within the meaning of Section 2(a)(19) of the 1940 Act, inasmuch as this person is affiliated with Rydex Investments.

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MARCH 31, 2009

RYDEX SERIES FUNDS ANNUAL REPORT

ESSENTIAL PORTFOLIOS

ESSENTIAL PORTFOLIO CONSERVATIVE FUND

ESSENTIAL PORTFOLIO MODERATE FUND

ESSENTIAL PORTFOLIO AGGRESSIVE FUND

 
 
 
 

GO GREEN! ELIMINATE MAILBOX CLUTTER Go paperless with Rydex eDelivery—a service giving you full online access to account information and documents. Save time, cut down on mailbox clutter and be a friend to the environment with eDelivery. With Rydex eDelivery you can: · View online confirmations and statements at your convenience. · Receive email notifications when your most recent confirmations, statements and other account documents are available for review. · Access prospectuses, annual reports and semiannual reports online. It’s easy to enroll: 1/ Visit www.rydexinvestments.com 2/ Click on the Rydex eDelivery logo 3/ Follow the simple enrollment instructions RYDEX E DELIVERY If you have questions about Rydex 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, Inc.

TABLE OF CONTENTS

LETTER TO OUR SHAREHOLDERS    2

ABOUT SHAREHOLDERS’ FUND EXPENSES    4

PERFORMANCE REPORTS AND FUND PROFILES    6

SCHEDULES OF INVESTMENTS    12

STATEMENTS OF ASSETS AND LIABILITIES    15

STATEMENTS OF OPERATIONS    16

STATEMENTS OF CHANGES IN NET ASSETS    18

FINANCIAL HIGHLIGHTS    20

NOTES TO FINANCIAL STATEMENTS    21

REPORT OF INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM    28

OTHER INFORMATION    29

INFORMATION ON BOARD OF TRUSTEES AND OFFICERS    30

THE RYDEX SERIES FUNDS ANNUAL REPORT    |    1

LETTER TO OUR SHAREHOLDERS

DEAR SHAREHOLDER:

The best thing anyone can say about 2008 is that it is now history. While superlatives like wild, volatile and unprecedented were thrown around on a daily basis since the crisis broke with full force late in the third quarter, there is sufficient evidence indicating that 2009 may continue to warrant such a characterization.

Investors experienced new stock market lows reminiscent of the 1970s, watched as unemployment crept towards new highs and could only sit back and watch as the value of their homes dropped precipitously. On Wall Street, the news was just as grim. The S&P 500^® Index fell 37% for the calendar year—second only to 1931. Hiding places were nearly non-existent as what turned out to be a globally correlated bear market provided few safe havens for investors, with the exception of U.S. Treasury securities. The market environment also emphasized the need for investors to look beyond traditional assets. Increasingly, we are beginning to see investors start to embrace alternative investments to not only assist in managing portfolio risk, but potentially enhance returns.

Bear Market Environment Continues

Fears of a prolonged bear market continued to weigh heavily on the minds of investors throughout the fall, as the financial sector collapsed on apprehension about inadequate capital reserves. In less than a month, the shape of the entire financial system was changed forever. The Wall Street model of large, aggressive, risk-taking investment banks was completely swept aside as financial titans such as Merrill Lynch & Company, Inc., Morgan Stanley, Goldman Sachs Group, Inc. and Lehman Brothers Holdings, Inc. collapsed, merged with or were reborn as commercial banks. Among other things, September 2008 showed us that the Wall Street formula of highly leveraged balance sheets, coupled with the need to access working capital on a daily basis, proved to be lethal when backed by seemingly worthless assets. In September, we saw a temporary ban on the short-selling of financial stocks and historic government intervention as the U.S. Treasury stepped in to offer temporary money market mutual fund insurance after the Reserve Primary Fund “broke the buck"—causing a massive exodus from money market mutual funds.

As the willingness to lend disappeared, so did Wall Street’s daily lifeline, culminating in what former Federal Reserve Chairman Alan Greenspan called, “A once-in-a-century credit tsunami.” In effectively erasing 13 years of performance gains, the S&P 500 Index bottomed out at 666.79—the lowest level since 1996—before rebounding 20% to end the quarter at 797.87. Yet, for the 12-month period ended 3/31/09, the S&P 500 Index was down 38.09%—similar to the abysmal performance investors endured in the calendar year.

Historic Government Intervention

While the equity markets faltered and the credit markets froze, the government—led by the Federal Reserve, the United States Treasury and the Federal Deposit Insurance Corporation (FDIC)—unveiled a colossal amount of policy initiatives with high hopes of jump-starting the economy. The bet being waged by Federal Reserve Chairman Ben Bernanke and Treasury Secretary Tim Geithner is that unleashing a massive amount of stimulus will keep credit flowing and financial markets functioning. Newly sworn-in government officials committed $12 trillion to programs designed to offset credit and subprime mortgage-related issues that were negatively impacting the financial services industry. This historic government intervention kicked into high gear during the fall when Congress established The Emergency Economic Stabilization Act of 2008 (EESA) in an effort to help strengthen the U.S. economy. Primarily, the act authorized the Troubled Assets Relief Program (TARP), which was originally structured to purchase troubled assets from ailing banks but quickly morphed into an effort to recapitalize the banking industry via the Capital Purchase Plan (CPP). The Financial Stability Plan (FSP) outlined by the U.S. Treasury, mandated new rules for additional transparency and accountability of financial institutions. As an objective of the plan, so-called “stress tests” of financial firms were initiated with an eye toward providing

2    |    THE RYDEX SERIES FUNDS ANNUAL REPORT

LETTER TO OUR SHAREHOLDERS (concluded)

additional capital should the economy worsen. That same week, the U.S. Treasury, in partnership with the Federal Reserve and the FDIC, introduced the Public-Private Investment Fund. The fund, which combines public and private assets, was designed to remove legacy-toxic assets from bank balance sheets.

Dismal Economic Activity

As oil and gas prices fell from highs that topped $147/barrel and more than $4.00/gallon, consumers—who were concerned about job security—stopped spending. Fourth quarter 2008 GDP dropped 5.7% compared to 2007’s activity, putting the brakes on the nation’s engine of economic activity. The manufacturing side of the economy staggered in the face of disappearing demand as witnessed by the big three automakers, who appeared before Congress to ask for taxpayer-funded bailouts simply to stay afloat.

On the employment front, the news was just as grim. According to The Bureau of Labor Statistics, the U.S. unemployment rate hit 8.5% in March (levels not seen since November of 1983) with initial jobless claims jumping to 669,000—the highest recorded level since 1982, according to the Labor Department.

Market Outlook: Moving Forward

So what’s an investor to do? On a positive note, the new administration has rightly made the economy its top priority. In this unprecedented bear market environment, we believe it is more important than ever for investors to keep an eye on their long-term investment goals and utilize this opportunity to rebalance their portfolios and re-assess their risk tolerance. America (and the rest of the world) is experiencing an economic and financial storm many of us haven’t experienced in our lifetimes.

Will the tempest blow over? We can only wait and see. However, I do know this—bubble and bear markets have one commonality: fear. In each one, you’ll hear people say that, “... this time, it’s different...” It’s not. While history cannot predict the future, it suggests that the stock market will eventually revert to its mean.

We appreciate the trust that you have placed in our firm’s quality and integrity by investing with us. It is our goal to continue to offer you a wide variety of investment offerings to help you meet your financial goals.

Sincerely,

Mike Byrum, CFA
President and Chief Investment Officer

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.rydexinvestments.com.

THE RYDEX SERIES FUNDS ANNUAL REPORT    |    3

ABOUT SHAREHOLDERS’ FUND EXPENSES (Unaudited)

All mutual funds have operating expenses and it is important for our shareholders to understand the impact of costs on their investments. Shareholders of a Fund incur two types of costs: (i) transaction costs, including sales charges (loads) on purchase payments, reinvested dividends, or other distributions; redemption fees; and exchange fees; and (ii) ongoing costs, including management fees, administrative services, and shareholder reports, among others. These ongoing costs, or operating expenses, are deducted from a fund’s gross income and reduce the investment return of the fund.

A fund’s expenses are expressed as a percentage of its average net assets, which is known as the expense ratio. The following examples are intended to help investors understand the ongoing costs (in dollars) of investing in a Fund and to compare these costs with the ongoing costs of investing in other mutual funds. The examples are based on an investment of $1,000 made at the beginning of the period and held for the entire six-month period beginning September 30, 2008 and ending March 31, 2009.

The following tables illustrate a Fund’s costs in two ways:

Table 1. Based on actual Fund return. This section helps investors estimate the actual expenses paid over the period. The “Ending Account Value” shown is derived from the Fund’s actual return, and the fourth column shows the dollar amount that would have been paid by an investor who started with $1,000 in the Fund. Investors may use the information here, together with the amount invested, to estimate the expenses paid over the period. Simply divide the Fund’s 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 provided under the heading “Expenses Paid During Period.”

Table 2. Based on hypothetical 5% return. This section is intended to help investors compare a Fund’s cost with those of other mutual funds. The table provides information about hypothetical account values and hypothetical expenses based on the Fund’s actual expense ratio and an assumed rate of return of 5% per year before expenses, which is not the Fund’s actual return. The hypothetical account values and expenses may not be used to estimate the actual ending account balance or expenses paid during the period. The example is useful in making comparisons because the U.S. Securities and Exchange Commission (the “SEC”) requires all mutual funds to calculate expenses based on the 5% return. Investors can assess a Fund’s costs by comparing this hypothetical example with the hypothetical examples that appear in shareholder reports of other funds.

Certain retirement plans such as IRA, SEP, Roth IRA and 403(b) accounts are charged an annual $15 maintenance fee. Upon liquidating a retirement account, a $15 account-closing fee will be taken from the proceeds of the redemption.

The calculations illustrated above assume no shares were bought or sold during the period. Actual costs may have been higher or lower, depending on the amount of investment and the timing of any purchases or redemptions.

Note that the expenses shown in the table are meant to highlight and help compare ongoing costs only and do not reflect any transactional costs which may be incurred by a Fund.

More information about a Fund’s expenses, including annual expense ratios for up to the past five years, can be found in the Financial Highlights section of this report. For additional information on operating expenses and other shareholder costs, please refer to the appropriate Fund prospectus.

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ABOUT SHAREHOLDERS’ FUND EXPENSES (Unaudited) (concluded)

				Beginning		Ending		Expenses
	Expense			Account Value		Account Value		Paid During
	Ratio		†	September 30, 2008		March 31, 2009		Period		*
Table 1. Based on actual Fund return
Essential Portfolio Conservative Fund
A-Class		0.00%		$	1,000.00	$	898.10	$	—
C-Class		0.75%			1,000.00		895.20		3.54
H-Class		0.00%			1,000.00		898.20		—
Essential Portfolio Moderate Fund
A-Class		0.00%			1,000.00		859.20		—
C-Class		0.75%			1,000.00		854.70		3.47
H-Class		0.00%			1,000.00		859.20		—
Essential Portfolio Aggressive Fund
A-Class		0.00%			1,000.00		799.70		—
C-Class		0.75%			1,000.00		759.10		3.36
H-Class		0.00%			1,000.00		798.80		—
Table 2. Based on hypothetical 5% return (before expenses)
Essential Portfolio Conservative Fund
A-Class		0.00%			1,000.00		1,024.93		—
C-Class		0.75%			1,000.00		1,021.19		3.78
H-Class		0.00%			1,000.00		1,024.93		—
Essential Portfolio Moderate Fund
A-Class		0.00%			1,000.00		1,024.93		—
C-Class		0.75%			1,000.00		1,021.19		3.78
H-Class		0.00%			1,000.00		1,024.93		—
Essential Portfolio Aggressive Fund
A-Class		0.00%			1,000.00		1,024.93		—
C-Class		0.75%			1,000.00		1,021.19		3.78
H-Class		0.00%			1,000.00		1,024.93		—

*	Expenses are equal to the Fund’s annualized expense ratio, multiplied by the average account value over the period, multiplied by the number of days in the most recent fiscal half-year, then divided by the number of days in current fiscal year.
†	Annualized and excludes expenses of the underlying funds in which the Funds invest.

THE RYDEX SERIES FUNDS ANNUAL REPORT    |    5

PERFORMANCE REPORTS AND FUND PROFILES (Unaudited)

ESSENTIAL PORTFOLIO CONSERVATIVE FUND

OBJECTIVE: To primarily seek preservation of capital and, secondarily, long-term growth of capital by investing principally in a diversified portfolio of underlying funds.

Inception: June 30, 2006

For the one-year period ended March 31, 2009, Essential Portfolio Conservative Fund H-Class returned -17.03% compared to its benchmark (40% S&P 500 Index and 60% Barclays Capital Aggregate Bond Index), which ended the year down 13.72%. The one-year period was a difficult one with the stock market going through turbulence unseen in several decades. The three Rydex Essential Portfolios took full advantage of their flexibility in allocation and performed better than the simple buy-and-hold strategy used by industry peers. Investing in both alternative investments and alternative strategies helped opportunistically adjust the Conservative Portfolio’s beta to associated market risk and reduce overall portfolio risk. These alternative strategies and investments included exposure to real estate, commodities, managed futures, absolute return strategies and hedged equity investments. When all other markets collapsed, the U.S. Treasury market became the only safe haven. Allocations to Rydex Managed Futures Strategy Fund and Rydex Sector Rotation Fund benefited the portfolio this year. Rydex Managed Futures Strategy Fund’s dynamic long and short rules opportunistically captured trading profits in the commodity and financial markets, while Rydex Sector Rotation Fund simply outperformed the stock market and helped boost relative performance. On the opposite side of the spectrum, allocations to Rydex Real Estate and Commodities Strategy Funds hindered the Fund’s performance for the year. Since the market collapse emanated from the housing bubble, Rydex Real Estate Fund was an obvious victim of the housing downturn. Rydex Commodities Strategy Fund initially contributed to the portfolio, but after the summer, as the crisis deepened, it fell fast from its previous peak performance.

Holdings Diversification (Market Exposure as % of Net Assets)

“Holdings Diversification (Market Exposure as % of Net Assets)” excludes any temporary cash investments.

Inception Dates:
A-Class	June 30, 2006
C-Class	June 30, 2006
H-Class	June 30, 2006

Holdings
(% of Total Net Assets)
Rydex Series Funds —
S&P 500 Fund	18.5	%
Rydex Series Funds —
Government Long Bond
1.2x Strategy Fund	14.5	%
Rydex Series Funds —
Managed Futures
Strategy Fund	14.0	%
Rydex Series Funds —
Absolute Return
Strategies Fund	10.2	%
Rydex Series Funds —
U.S. Government Money
Market Fund	9.9	%
Rydex Series Funds —
Global Market Neutral Fund	9.5	%
Rydex Series Funds —
International Rotation Fund	8.8	%
Rydex Series Funds —
Sector Rotation Fund	8.1	%
Rydex Series Funds —
High Yield Strategy Fund	5.8	%
Grand Total	99.3	%

“Holdings” exclude any temporary cash or derivative investments.

6    |    THE RYDEX SERIES FUNDS ANNUAL REPORT

1

PERFORMANCE REPORTS AND FUND PROFILES (Unaudited) (continued)

ESSENTIAL PORTFOLIO CONSERVATIVE FUND

Cumulative Fund Performance

    

† Initial investment has been adjusted for the maximum sales charge of 4.75%.

AVERAGE ANNUAL TOTAL RETURNS FOR THE PERIOD ENDED 03/31/09

				1													3
	A-Class													C-Class										H-Class
	(06/30/06)													(06/30/06)										(06/30/06)
	ONE				ONE			SINCE			SINCE			ONE				ONE			SINCE			ONE			SINCE
	YEAR				YEAR*			INCEPTION			INCEPTION*			YEAR				YEAR**			INCEPTION			YEAR			INCEPTION
ESSENTIAL PORTFOLIO
CONSERVATIVE FUND		-17.05	%			-20.99	%		-2.66	%		-4.37	%		-17.65	%			-18.47	%		-3.37	%		-17.03	%		-2.62	%
S&P 500 INDEX		-38.09	%			-38.09	%		-13.69	%		-13.69	%		-38.09	%			-38.09	%		-13.69	%		-38.09	%		-13.69	%
SYNTHETIC ESSENTIAL
PORTFOLIO CONSERVATIVE
BENCHMARK***		-13.72	%			-13.72	%		-1.04	%		-1.04	%		-13.72	%			-13.72	%		-1.04	%		-13.72	%		-1.04	%

*	Fund returns are calculated using the maximum sales charge of 4.75%.
**	Fund returns include a contingent deferred sales charge (“CDSC”) of 1% if redeemed within 12 months of purchase.
***	Benchmark reflects a 40/60 ratio of the performance of the S&P 500 Index and the Barclays Capital Aggregate Bond Index.

The returns presented above do not reflect the effects of taxes. Past performance is no guarantee of future results. The S&P 500 Index and Barclays Capital Aggregate Bond Index are unmanaged indicies and, unlike the Fund, have no management fees or other operating expenses to reduce their reported returns. Returns are historical and include changes in principal and reinvested dividends and capital gains. The graphs are based on A-Class shares and H-Class shares only; performance for C-Class shares will vary due to differences in fee structure.

THE RYDEX SERIES FUNDS ANNUAL REPORT    |    7

2

PERFORMANCE REPORTS AND FUND PROFILES (Unaudited) (continued)

ESSENTIAL PORTFOLIO MODERATE FUND

OBJECTIVE: To primarily seek growth of capital and, secondarily, to seek preservation of capital by investing principally in a diversified portfolio of underlying funds.

Inception: June 30, 2006

For the one-year period ended March 31, 2009, Essential Portfolio Moderate Fund H-Class returned - -20.75% compared to its benchmark (60% S&P 500 Index and 40% Barclays Capital Aggregate Bond Index), which ended the year down 22.13%. The one-year period was a difficult one with the stock market going through turbulence unseen in several decades. The three Rydex Essential Portfolios took full advantage of their flexibility in allocation and performed better than the simple buy-and-hold strategy used by industry peers. Investing in both alternative investments and alternative strategies helped opportunistically adjust the portfolio’s beta to associated market risk and reduce overall portfolio risk. These alternative strategies and investments included exposure to real estate, commodities, managed futures, absolute return strategies and hedged equity investments. When all other markets collapsed, the U.S. Treasury market became the only safe haven. Allocations to Rydex Managed Futures Strategy Fund and Rydex Sector Rotation Fund benefited the portfolio this year. Rydex Managed Futures Strategy Fund’s dynamic long and short rules opportunistically captured trading profits in the commodity and financial markets, while Rydex Sector Rotation Fund simply outperformed the stock market and helped boost relative performance. On the opposite side of the spectrum, allocations to Rydex Real Estate and Commodities Strategy Funds hindered the portfolio’s performance for the year. Since the market collapse emanated from the housing bubble, Rydex Real Estate Fund was an obvious victim of the housing downturn. Rydex Commodities Strategy Fund initially contributed to the portfolio, but after the summer, as the crisis deepened, it fell fast from its previous peak performance.

Holdings Diversification (Market Exposure as % of Net Assets)

“Holdings Diversification (Market Exposure as % of Net Assets)” excludes any temporary cash investments.

Inception Dates:
A-Class	June 30, 2006
C-Class	June 30, 2006
H-Class	June 30, 2006

Ten Largest Holdings
(% of Total Net Assets)
Rydex Series Funds —
S&P 500 Fund	20.8	%
Rydex Series Funds —
Sector Rotation Fund	18.6	%
Rydex Series Funds —
International Rotation Fund	12.0	%
Rydex Series Funds —
Managed Futures
Strategy Fund	10.2	%
Rydex Series Funds —
Global Market Neutral Fund	9.1	%
Rydex Series Funds —
Government Long Bond
1.2x Strategy Fund	9.0	%
Rydex Series Funds —
Absolute Return
Strategies Fund	8.7	%
Rydex Series Funds —
U.S. Government
Money Market Fund	3.2	%
Rydex Series Funds —
Russell 2000® Fund	2.5	%
Rydex Series Funds —
Commodities Strategy Fund	2.5	%
Top Ten Total	96.6	%

“Ten Largest Holdings” exclude any temporary cash or derivative investments.

8    |    THE RYDEX SERIES FUNDS ANNUAL REPORT

3

PERFORMANCE REPORTS AND FUND PROFILES (Unaudited) (continued)

ESSENTIAL PORTFOLIO MODERATE FUND

Cumulative Fund Performance

† Initial investment has been adjusted for the maximum sales charge of 4.75%.

AVERAGE ANNUAL TOTAL RETURNS FOR THE PERIOD ENDED 03/31/09

				1													3
	A-Class													C-Class										H-Class
	(06/30/06)													(06/30/06)										(06/30/06)
	ONE				ONE			SINCE			SINCE			ONE				ONE			SINCE			ONE			SINCE
	YEAR				YEAR*			INCEPTION			INCEPTION*			YEAR				YEAR**			INCEPTION			YEAR			INCEPTION
ESSENTIAL PORTFOLIO
MODERATE FUND		-20.85	%			-24.61	%		-5.16	%		-6.83	%		-21.42	%			-22.21	%		-5.88	%		-20.75	%		-5.16	%
S&P 500 INDEX		-38.09	%			-38.09	%		-13.69	%		-13.69	%		-38.09	%			-38.09	%		-13.69	%		-38.09	%		-13.69	%
SYNTHETIC ESSENTIAL
PORTFOLIO MODERATE
BENCHMARK***		-22.13	%			-22.13	%		-5.09	%		-5.09	%		-22.13	%			-22.13	%		-5.09	%		-22.13	%		-5.09	%

*	Fund returns are calculated using the maximum sales charge of 4.75%.
**	Fund returns include a CDSC of 1% if redeemed within 12 months of purchase.
***	Benchmark reflects a 60/40 ratio of the performance of the S&P 500 Index and the Barclays Capital Aggregate Bond Index.

The returns presented above do not reflect the effects of taxes. Past performance is no guarantee of future results. The S&P 500 Index and Barclays Capital Aggregate Bond Index are unmanaged indicies and, unlike the Fund, have no management fees or other operating expenses to reduce their reported returns. Returns are historical and include changes in principal and reinvested dividends and capital gains. The graphs are based on A-Class shares and H-Class shares only; performance for C-Class shares will vary due to differences in fee structure.

THE RYDEX SERIES FUNDS ANNUAL REPORT    |    9

4

PERFORMANCE REPORTS AND FUND PROFILES (Unaudited) (continued)

ESSENTIAL PORTFOLIO AGGRESSIVE FUND

OBJECTIVE: To primarily seek growth of capital by investing principally in a diversified portfolio of underlying funds.

Inception: June 30, 2006

For the one-year period ended March 31, 2009, Essential Portfolio Aggressive Fund H-Class returned - -25.92% compared to its benchmark (80% S&P 500 Index and 20% Barclays Capital Aggregate Bond Index), which ended the year down 30.24%. The one-year period was a difficult one with the stock market going through turbulence unseen in several decades. The three Rydex Essential Portfolios took full advantage of their flexibility in allocation and performed better than the simple buy-and-hold strategy used by industry peers. Investing in both alternative investments and alternative strategies helped opportunistically adjust the portfolio’s beta to associated market risk and reduce overall portfolio risk. These alternative strategies and investments included exposure to real estate, commodities, managed futures, absolute return strategies and hedged equity investments. When all other markets collapsed, the U.S. Treasury market became the only safe haven. Allocations to Rydex Managed Futures Strategy Fund and Rydex Sector Rotation Fund benefited the portfolio this year. Rydex Managed Futures Strategy Fund’s dynamic long and short rules opportunistically captured trading profits in the commodity and financial markets, while Rydex Sector Rotation Fund simply outperformed the stock market and helped boost relative performance. On the opposite side of the spectrum, allocations to Rydex Real Estate and Commodities Strategy Funds hindered the portfolio’s performance for the year. Since the market collapse emanated from the housing bubble, Rydex Real Estate Fund was an obvious victim of the housing downturn. Rydex Commodities Strategy Fund initially contributed to the portfolio, but after the summer, as the crisis deepened, it fell fast from its previous peak performance.

Holdings Diversification (Market Exposure as % of Net Assets)

“Holdings Diversification (Market Exposure as % of Net Assets)” excludes any temporary cash investments.

Inception Dates:
A-Class	June 30, 2006
C-Class	June 30, 2006
H-Class	June 30, 2006

Ten Largest Holdings
(% of Total Net Assets)
Rydex Series Funds —
S&P 500 Fund	28.0	%
Rydex Series Funds ��
Sector Rotation Fund	18.4	%
Rydex Series Funds —
Global Market Neutral Fund	9.3	%
Rydex Series Funds —
Russell 2000® Fund	9.1	%
Rydex Series Funds —
International Rotation Fund	7.9	%
Rydex Series Funds —
Managed Futures
Strategy Fund	7.5	%
Rydex Series Funds —
Nova Fund	5.1	%
Rydex Series Funds —
Commodities Strategy Fund	4.7	%
Rydex Series Funds —
Government Long Bond
1.2x Strategy Fund	4.6	%
Rydex Series Funds —
Absolute Return
Strategies Fund	3.3	%
Top Ten Total	97.9	%

“Ten Largest Holdings” exclude any temporary cash or derivative investments.

10    |    THE RYDEX SERIES FUNDS ANNUAL REPORT

5

PERFORMANCE REPORTS AND FUND PROFILES (Unaudited) (concluded)

ESSENTIAL PORTFOLIO AGGRESSIVE FUND

Cumulative Fund Performance

† Initial investment has been adjusted for the maximum sales charge of 4.75%.

AVERAGE ANNUAL TOTAL RETURNS FOR THE PERIOD ENDED 03/31/09

				1													3
	A-Class													C-Class										H-Class
	(06/30/06)													(06/30/06)										(06/30/06)
	ONE				ONE			SINCE			SINCE			ONE				ONE			SINCE			ONE			SINCE
	YEAR				YEAR*			INCEPTION			INCEPTION*			YEAR				YEAR**			INCEPTION			YEAR			INCEPTION
ESSENTIAL PORTFOLIO
AGGRESSIVE FUND		-25.81	%			-29.34	%		-8.30	%		-9.91	%		-26.48	%			-27.22	%		-9.03	%		-25.92	%		-8.30	%
S&P 500 INDEX		-38.09	%			-38.09	%		-13.69	%		-13.69	%		-38.09	%			-38.09	%		-13.69	%		-38.09	%		-13.69	%
SYNTHETIC ESSENTIAL
PORTFOLIO AGGRESSIVE
BENCHMARK***		-30.24	%			-30.24	%		-9.32	%		-9.32	%		-30.24	%			-30.24	%		-9.32	%		-30.24	%		-9.32	%

*	Fund returns are calculated using the maximum sales charge of 4.75%.
**	Fund returns include a CDSC of 1% if redeemed within 12 months of purchase.
***	Benchmark reflects a 80/20 ratio of the performance of the S&P 500 Index and the Barclays Capital Aggregate Bond Index.

The returns presented above do not reflect the effects of taxes. Past performance is no guarantee of future results. The S&P 500 Index and Barclays Capital Aggregate Bond Index are unmanaged indicies and, unlike the Fund, have no management fees or other operating expenses to reduce their reported returns. Returns are historical and include changes in principal and reinvested dividends and capital gains. The graphs are based on A-Class shares and H-Class shares only; performance for C-Class shares will vary due to differences in fee structure.

THE RYDEX SERIES FUNDS ANNUAL REPORT    |    11

6

SCHEDULE OF INVESTMENTS

March 31, 2009

     ESSENTIAL PORTFOLIO CONSERVATIVE FUND

			Market
	Shares		Value
MUTUAL FUNDS† 99.3%
Rydex Series Funds –
S&P 500 Fund		122,706	$	1,937,505
Rydex Series Funds –
Government Long Bond 1.2x
Strategy Fund		109,577		1,506,689
Rydex Series Funds –
Managed Futures Strategy
Fund		53,951		1,454,521
Rydex Series Funds –
Absolute Return Strategies
Fund		53,384		1,065,545
Rydex Series Funds –
U.S. Government Money
Market Fund		1,026,259		1,026,259
Rydex Series Funds –
Global Market Neutral Fund*		39,468		984,323
Rydex Series Funds –
International Rotation Fund		66,277		911,971
Rydex Series Funds –
Sector Rotation Fund*		97,781		842,875
Rydex Series Funds –
High Yield Strategy Fund		36,127		601,154
Total Mutual Funds
(Cost $10,370,515)				10,330,842

	Face		Market
	Amount		Value
REPURCHASE AGREEMENT†† 0.5%
Credit Suisse Group
issued 03/31/09 at 0.15%
due 04/01/09	$	53,075	$	53,075
Total Repurchase Agreement
(Cost $53,075)				53,075
Total Investments 99.8%
(Cost $10,423,590)			$	10,383,917
Other Assets in Excess
of Liabilities – 0.2%			$	19,813
Net Assets – 100.0%			$	10,403,730

*	Non-Income Producing Security.
†	A-Class shares of Affiliated Funds.
††	Repurchase Agreement — See Note 5.

12    |    THE RYDEX SERIES FUNDS ANNUAL REPORT See Notes to Financial Statements.

7

SCHEDULE OF INVESTMENTS

March 31, 2009

     ESSENTIAL PORTFOLIO MODERATE FUND

			Market
	Shares		Value
MUTUAL FUNDS† 98.9%
Rydex Series Funds –
S&P 500 Fund		422,094	$	6,664,866
Rydex Series Funds –
Sector Rotation Fund*		690,513		5,952,219
Rydex Series Funds –
International Rotation Fund		279,800		3,850,045
Rydex Series Funds –
Managed Futures Strategy
Fund		121,809		3,283,960
Rydex Series Funds –
Global Market Neutral Fund*		116,389		2,902,752
Rydex Series Funds –
Government Long Bond 1.2x
Strategy Fund		209,390		2,879,118
Rydex Series Funds –
Absolute Return Strategies
Fund		139,400		2,782,420
Rydex Series Funds –
U.S. Government Money
Market Fund		1,019,578		1,019,578
Rydex Series Funds –
Russell 2000® Fund*		56,262		805,113
Rydex Series Funds –
Commodities Strategy Fund		59,397		787,601
Rydex Series Funds –
High Yield Strategy Fund		26,569		442,102
Rydex Series Funds –
Hedged Equity Fund		20,027		348,878
Total Mutual Funds
(Cost $33,538,115)				31,718,652
Total Investments 98.9%
(Cost $33,538,115)			$	31,718,652
Other Assets in Excess
of Liabilities – 1.1%			$	351,628
Net Assets – 100.0%			$	32,070,280

*	Non-Income Producing Security.
†	A-Class shares of Affiliated Funds.

See Notes to Financial Statements. THE RYDEX SERIES FUNDS ANNUAL REPORT    |    13

8

SCHEDULE OF INVESTMENTS

March 31, 2009

     ESSENTIAL PORTFOLIO AGGRESSIVE FUND

			Market
	Shares		Value
MUTUAL FUNDS† 99.3%
Rydex Series Funds –
S&P 500 Fund		235,459	$	3,717,893
Rydex Series Funds –
Sector Rotation Fund*		284,570		2,452,989
Rydex Series Funds –
Global Market Neutral Fund*		49,363		1,231,109
Rydex Series Funds –
Russell 2000® Fund*		84,301		1,206,351
Rydex Series Funds –
International Rotation Fund		76,043		1,046,358
Rydex Series Funds –
Managed Futures Strategy
Fund		37,232		1,003,762
Rydex Series Funds –
Nova Fund		62,700		682,174
Rydex Series Funds –
Commodities Strategy Fund		46,844		621,149
Rydex Series Funds –
Government Long Bond 1.2x
Strategy Fund		44,589		613,101
Rydex Series Funds –
Absolute Return Strategies
Fund		22,313		445,368
Rydex Series Funds –
U.S. Government Money
Market Fund		132,366		132,365
Rydex Series Funds –
High Yield Strategy Fund		3,134		52,149
Total Mutual Funds
(Cost $13,806,821)				13,204,768

	Face		Market
	Amount		Value
REPURCHASE AGREEMENT†† 1.1%
Credit Suisse Group
issued 03/31/09 at 0.15%
due 04/01/09	$	145,178	$	145,178
Total Repurchase Agreement
(Cost $145,178)				145,178
Total Investments 100.4%
(Cost $13,951,999)			$	13,349,946
Liabilities in Excess of
Other Assets – (0.4)%			$	(54,243	)
Net Assets – 100.0%			$	13,295,703

*	Non-Income Producing Security.
†	A-Class shares of Affiliated Funds.
††	Repurchase Agreements — See Note 5.

14    |    THE RYDEX SERIES FUNDS ANNUAL REPORT See Notes to Financial Statements.

STATEMENTS OF ASSETS AND LIABILITIES

March 31, 2009

	Essential Portfolio			Essential Portfolio			Essential Portfolio
	Conservative			Moderate			Aggressive
	Fund			Fund			Fund
Assets
Investment Securities in Affiliated Funds	$	10,330,842		$	31,718,652		$	13,204,768
Repurchase Agreements		53,075			—			145,178
Total Investments		10,383,917			31,718,652			13,349,946
Receivable for Securities Sold		—			300,000			—
Receivable for Fund Shares Sold		72,991			137,545			1,910
Investment Income Receivable		1,961			3,698			543
Total Assets		10,458,869			32,159,895			13,352,399
Liabilities
Payable for Securities Purchased		52,131			4,024			50,579
Payable for Fund Shares Redeemed		—			23,402			3,326
Distribution and Service Fees Payable		3,008			11,177			2,791
Custody Fees Payable		—			22			—
Overdraft Due to Custodian Bank		—			50,990			—
Total Liabilities		55,139			89,615			56,696
Net Assets	$	10,403,730		$	32,070,280		$	13,295,703
Net Assets Consist Of
Paid-In Capital	$	13,474,409		$	44,910,905		$	20,210,141
Undistributed Net Investment Income		269,875			678,024			194,707
Accumulated Net Realized Loss on Investments		(3,300,881	)		(11,699,186	)		(6,507,092	)
Net Unrealized Depreciation on Investments		(39,673	)		(1,819,463	)		(602,053	)
Net Assets	$	10,403,730		$	32,070,280		$	13,295,703
A-Class	$	2,274,495		$	7,906,908		$	5,388,984
C-Class		5,106,792			17,884,664			4,666,518
H-Class		3,022,443			6,278,708			3,240,201
Shares Outstanding
A-Class		263,244			996,505			772,223
C-Class		603,579			2,301,620			684,397
H-Class		349,253			791,226			464,551
Net Asset Values
A-Class	$	8.64		$	7.93		$	6.98
A-Class Maximum Offering Price*		9.07			8.33			7.33
C-Class		8.46			7.77			6.82
H-Class		8.65			7.94			6.97
Cost of Investments	$	10,423,590		$	33,538,115		$	13,951,999

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

See Notes to Financial Statements. THE RYDEX SERIES FUNDS ANNUAL REPORT    |    15

STATEMENTS OF OPERATIONS

Year Ended March 31, 2009

	Essential Portfolio			Essential Portfolio			Essential Portfolio
	Conservative			Moderate			Aggressive
	Fund			Fund			Fund
Investment Income
Interest	$	1,800		$	4,332		$	1,778
Dividends from Affiliated Funds		443,922			854,101			227,042
Total Income		445,722			858,433			228,820
Expenses
Distribution & Service Fees:
C-Class		37,526			192,074			41,708
Tax Expense		—			—			2,706
Custody Fees		469			453			57
Total Expenses		37,995			192,527			44,471
Net Investment Income		407,727			665,906			184,349
Realized And Unrealized Gain (Loss) On Investments
Net Realized Gain (Loss) on:
Affiliated Investment Securities		(2,879,540	)		(10,733,762	)		(5,337,484	)
Realized Gain Distributions Received from Affiliated Funds		31,201			129,096			52,596
Total Net Realized Loss		(2,848,339	)		(10,604,666	)		(5,284,888	)
Net Change in Unrealized Appreciation (Depreciation) on:
Investment Securities		(168,692	)		(208,696	)		200,395
Net Change in Unrealized Appreciation (Depreciation)		(168,692	)		(208,696	)		200,395
Net Loss on Investments		(3,017,031	)		(10,813,362	)		(5,084,493	)
Net Decrease in Net Assets from Operations	$	(2,609,304	)	$	(10,147,456	)	$	(4,900,144	)

16    |    THE RYDEX SERIES FUNDS ANNUAL REPORT See Notes to Financial Statements.

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THE RYDEX SERIES FUNDS ANNUAL REPORT    |    17

STATEMENTS OF CHANGES IN NET ASSETS

	Essential Portfolio						Essential Portfolio
	Conservative Fund						Moderate Fund
	Year			Year			Year			Year
	Ended			Ended			Ended			Ended
	March 31,			March 31,			March 31,			March 31,
	2009			2008			2009			2008
From Operations
Net Investment Income	$	407,727		$	219,873		$	665,906		$	537,734
Net Realized Gain (Loss) on Investments		(2,848,339	)		43,082			(10,604,666	)		802,204
Net Change in Unrealized Appreciation (Depreciation) on Investments		(168,692	)		(22,730	)		(208,696	)		(2,171,265	)
Net Increase (Decrease) in Net Assets from Operations		(2,609,304	)		240,225			(10,147,456	)		(831,327	)
Distributions to Shareholders From:*
Net Investment Income
A-Class		(46,893	)		(47,300	)		(17,007	)		(125,284	)
C-Class		(72,527	)		(85,100	)		(45,786	)		(310,460	)
H-Class		(62,462	)		(104,141	)		(16,709	)		(101,990	)
Realized Gain on Investments
A-Class		(55,079	)		(28,001	)		(117,048	)		(204,413	)
C-Class		(85,187	)		(50,378	)		(315,116	)		(506,546	)
H-Class		(73,366	)		(61,650	)		(114,994	)		(166,406	)
Total Distributions to Shareholders		(395,514	)		(376,570	)		(626,660	)		(1,415,099	)
Share Transactions
Proceeds from Shares Purchased
A-Class		3,184,417			3,994,722			4,027,378			6,330,674
C-Class		5,193,932			5,682,278			7,691,246			20,118,009
H-Class		4,206,848			8,551,489			7,667,158			13,258,002
Redemption Fees Collected
A-Class		1,241			3,856			2,207			1,253
C-Class		1,673			7,073			7,040			2,938
H-Class		1,835			8,303			3,070			1,229
Value of Shares Purchased through Dividend Reinvestment
A-Class		78,514			57,742			123,280			299,996
C-Class		146,760			119,384			345,607			744,996
H-Class		123,401			156,752			123,890			248,187
Cost of Shares Redeemed
A-Class		(4,554,407	)		(389,163	)		(4,511,332	)		(5,688,827	)
C-Class		(4,224,264	)		(3,474,923	)		(13,987,437	)		(7,644,269	)
H-Class		(7,270,527	)		(5,282,222	)		(10,502,859	)		(10,463,848	)
Net Increase (Decrease) in Net Assets From Share Transactions		(3,110,577	)		9,435,291			(9,010,752	)		17,208,340
Net Increase (Decrease) in Net Assets		(6,115,395	)		9,298,946			(19,784,868	)		14,961,914
Net Assets — Beginning of Period		16,519,125			7,220,179			51,855,148			36,893,234
Net Assets — End of Period	$	10,403,730		$	16,519,125		$	32,070,280		$	51,855,148
Undistributed Net Investment Income — End of Period	$	269,875		$	44,030		$	678,024		$	91,347

* For financial reporting purposes, certain distributions from net investment income for federal income tax purposes have been reclassified to distributions from realized gains.

18    |    THE RYDEX SERIES FUNDS ANNUAL REPORT See Notes to Financial Statements.

Essential Portfolio
Aggressive Fund
Year			Year
Ended			Ended
March 31,			March 31,
2009			2008
$	184,349		$	223,684
	(5,284,888	)		92,520
	200,395			(952,545	)
	(4,900,144	)		(636,341	)
	(184,383	)		(54,939	)
	(128,799	)		(39,975	)
	(92,075	)		(24,441	)
	(3,482	)		(158,306	)
	(2,432	)		(115,188	)
	(1,737	)		(70,426	)
	(412,908	)		(463,275	)
	1,619,522			4,810,125
	2,809,535			4,081,423
	3,059,297			5,559,805
	2,032			4,539
	1,514			2,410
	1,035			2,140
	97,327			104,716
	122,413			147,234
	93,386			93,263
	(2,545,792	)		(9,752,150	)
	(2,647,763	)		(4,072,572	)
	(3,224,177	)		(7,538,079	)
	(611,671	)		(6,557,146	)
	(5,924,723	)		(7,656,762	)
	19,220,426			26,877,188
$	13,295,703		$	19,220,426
$	194,707		$	412,908

See Notes to Financial Statements. THE RYDEX SERIES FUNDS ANNUAL REPORT    |    19

FINANCIAL HIGHLIGHTS
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.

																												RATIOS TO
																												AVERAGE NET ASSETS:
						Net Realized			Net Increase
	NET ASSET		Net			and			(Decrease)			Distributions			Distributions									NET ASSET							Net					Net Assets,
	VALUE,		Investment			Unrealized			in Net Asset			from Net			from Net						Redemption			VALUE,		Total					Investment			Portfolio		End of
	BEGINNING		Income			Gains (Losses)			Value Resulting			Investment			Realized			Total			Fees			END OF		Investment		Total			Income			Turnover		Period (000’s
Year Ended	OF PERIOD		(Loss)†			on Investments			from Operations			Income***			Gains***			Distributions			Collected			PERIOD		Return†††		Expenses††			(Loss)			Rate		omitted)
Essential Portfolio Conservative Fund A-Class
March 31, 2009	$	10.74	$	.28		$	(2.08	)	$	(1. 80	)	$	(.14	)	$	(.16	)	$	(.30	)	$	—	§	$	8.64		(17.05)%		0.00%			2.84%			230%	$	2,274
March 31, 2008		10.70		.26			.12			.38			(.22	)		(.14	)		(.36	)		.02			10.74		3.70%		0.01%			2.39%			119%		4,431
March 31, 2007*		10.00		.20			.56			.76			(.09	)		—			(.09	)		.03			10.70		7.94%		0.01%	**		2.47%	**		105%		782
Essential Portfolio Conservative Fund C-Class
March 31, 2009		10.60		.28			(2.12	)		(1.84	)		(.14	)		(.16	)		(.30	)		—	§		8.46		(17.65)%		0.75%			2.87%			230%		5,107
March 31, 2008		10.65		.17			.12			.29			(.22	)		(.14	)		(.36	)		.02			10.60		2.86%		0.75%			1.53%			119%		5,074
March 31, 2007*		10.00		.08			.63			.71			(.09	)		—			(.09	)		.03			10.65		7.44%		0.76%	**		1.05%	**		105%		2,804
Essential Portfolio Conservative Fund H-Class
March 31, 2009		10.75		.31			(2.11	)		(1.80	)		(.14	)		(.16	)		(.30	)		—	§		8.65		(17.03)%		0.00%			3.14%			230%		3,022
March 31, 2008		10.71		.25			.13			.38			(.22	)		(.14	)		(.36	)		.02			10.75		3.69%		0.01%			2.28%			119%		7,014
March 31, 2007*		10.00		.15			.62			.77			(.09	)		—			(.09	)		.03			10.71		8.04%		0.01%	**		1.93%	**		105%		3,634
Essential Portfolio Moderate Fund A-Class
March 31, 2009		10.18		.20			(2.31	)		(2.11	)		(.02	)		(.12	)		(.14	)		—	§		7.93		(20.85)%		0.00%			2.14%			220%		7,907
March 31, 2008		10.56		.17			(.24	)		(.07	)		(.12	)		(.19	)		(.31	)		—	§		10.18		(0.75)%		0.01%			1.58%			125%		10,214
March 31, 2007*		10.00		.18			.79			.97			(.10	)		(.32	)		(.42	)		.01			10.56		9.90%		0.00%	**		2.26%	**		66%		9,719
Essential Portfolio Moderate Fund C-Class
March 31, 2009		10.05		.11			(2.25	)		(2.14	)		(.02	)		(.12	)		(.14	)		—	§		7.77		(21.42)%		0.75%			1.22%			220%		17,885
March 31, 2008		10.50		.10			(.24	)		(.14	)		(.12	)		(.19	)		(.31	)		—	§		10.05		(1.43)%		0.76%			0.90%			125%		30,282
March 31, 2007*		10.00		.11			.80			.91			(.10	)		(.32	)		(.42	)		.01			10.50		9.29%		0.75%	**		1.34%	**		66%		18,551
Essential Portfolio Moderate Fund H-Class
March 31, 2009		10.18		.16			(2.26	)		(2.10	)		(.02	)		(.12	)		(.14	)		—	§		7.94		(20.75)%		0.00%			1.73%			220%		6,279
March 31, 2008		10.56		.13			(.20	)		(.07	)		(.12	)		(.19	)		(.31	)		—	§		10.18		(0.75)%		0.01%			1.22%			125%		11,359
March 31, 2007*		10.00		.18			.79			.97			(.10	)		(.32	)		(.42	)		.01			10.56		9.90%		0.00%	**		2.32%	**		66%		8,623
Essential Portfolio Aggressive Fund A-Class
March 31, 2009		9.69		.12			(2.60	)		(2.48	)		(.22	)		(.01	)		(.23	)		—	§		6.98		(25.81)%		0.02%			1.40%			278%		5,389
March 31, 2008		10.28		.11			(.48	)		(.37	)		(.06	)		(.16	)		(.22	)		—	§		9.69		(3.77)%		0.01%			1.01%			120%		8,596
March 31, 2007*		10.00		.24			.77			1.01			(.10	)		(.64	)		(.74	)		.01			10.28		10.37%		0.00%	**		3.11%	**		92%		13,854
Essential Portfolio Aggressive Fund C-Class
March 31, 2009		9.56		.05			(2.56	)		(2.51	)		(.22	)		(.01	)		(.23	)		—	§		6.82		(26.48)%		0.77%			0.59%			278%		4,667
March 31, 2008		10.22		.06			(.50	)		(.44	)		(.06	)		(.16	)		(.22	)		—	§		9.56		(4.48)%		0.76%			0.60%			120%		6,178
March 31, 2007*		10.00		(.03	)		.98			.95			(.10	)		(.64	)		(.74	)		.01			10.22		9.76%		0.75%	**		(0.34)%	**		92%		6,537
Essential Portfolio Aggressive Fund H-Class
March 31, 2009		9.69		.11			(2.60	)		(2.49	)		(.22	)		(.01	)		(.23	)		—	§		6.97		(25.92)%		0.02%			1.22%			278%		3,240
March 31, 2008		10.29		.08			(.46	)		(.38	)		(.06	)		(.16	)		(.22	)		—	§		9.69		(3.87)%		0.01%			0.80%			120%		4,447
March 31, 2007*		10.00		.15			.87			1.02			(.10	)		(.64	)		(.74	)		.01			10.29		10.48%		0.00%	**		1.94%	**		92%		6,486

*	Since the commencement of operations: June 30, 2006.
**	Annualized
***	For financial reporting purposes, certain distributions from net investment income for federal income tax purposes have been reclassified to distributions from realized gains.
†	Calculated using the average daily shares outstanding for the year.
††	Does not include expenses of the underlying funds in which the Funds invest.
†††	Total investment return does not reflect the impact of any applicable sales charges and has not been annualized.
§	Less than $.01 per share.

20    |    THE RYDEX SERIES FUNDS ANNUAL REPORT

NOTES TO FINANCIAL STATEMENTS

1.   Organization and Significant Accounting Policies

Organization

The Rydex Series Funds (the “Trust”) is registered with the SEC under the Investment Company Act of 1940 (the “1940 Act”) as a non-diversified, open-ended investment company. The Trust offers five separate classes of shares, Investor Class shares, Advisor Class shares, A-Class shares, C-Class shares, and H-Class shares. C-Class shares have a 1% CDSC if shares are redeemed within 12 months of purchase. Sales of shares of each Class are made without a sales charge at the net asset value per share, with the exception of A-Class shares. A-Class shares are sold at net asset value, plus the applicable front-end sales charge, except for U.S. Government Money Market Fund. The sales charge varies depending on the amount purchased, but will not exceed 4.75%. A-Class Share purchases of $1 million or more are exempt from the front-end sales charge but have a 1% CDSC if shares are redeemed within 18 months of purchase.

At March 31, 2009, the Trust consisted of fifty-five separate Funds. This report covers the Essential Portfolio Funds (the “Funds”), while the other funds are contained in separate reports.

Each Fund is a “fund of funds,” which means that each Fund seeks to achieve its investment objective by investing primarily in other Rydex mutual funds (the “underlying funds”) instead of individual securities. At March 31, 2009, only A-Class, C-Class and H-Class shares had been issued by the Funds. All share classes of the Funds are subject to a 1% redemption fee if redeemed within 30 days of purchase.

Rydex Investments provides advisory, transfer agent and administrative services, and accounting services to the Trust. Rydex Distributors, Inc. (the “Distributor”) acts as principal underwriter for the Trust. Both Rydex Investments and the Distributor are affiliated entities.

Significant Accounting Policies

The following significant accounting policies and the preparation of financial statements are in conformity with U.S. generally accepted accounting principles and are consistently followed by the Trust. This requires management to make estimates and assumptions that affect the reported amount of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from these estimates. All time references are based on Eastern Time.

A. The underlying funds are valued at their Net Asset Value (“NAV”) as of the close of business, usually 4:00 p.m. on the valuation date. Exchange Traded Funds (“ETFs”) and closed-end investment companies are valued at the last quoted sales price. Debt securities in a non 2a-7 money market fund with a maturity greater than 60 days are valued at the last traded fill price at the close of business, unless no trades were executed. If there are no trades, a security is valued at the reported bid price, at the close of business. Short-term securities with a maturity of 60 days or less are valued at amortized cost, which approximates market value.

B. Securities transactions are recorded on the trade date for financial reporting purposes. Realized gains and losses from securities transactions are recorded using the identified cost basis. Dividend income is recorded on the ex-dividend date, net of applicable taxes withheld by foreign countries. Taxable non-cash dividends are recorded as dividend income. Interest income, including amortization of premiums and accretion of discount, is accrued on a daily basis.

C. Interest and dividend income, most expenses, all realized gains and losses, and all unrealized gains and losses are allocated to the Classes based upon the value of the outstanding shares in each Class. Certain costs, such as distribution and service fees related to C-Class shares, are charged directly to such class. In addition, certain expenses have been allocated to the individual Funds in the Trust on a pro rata basis upon the respective aggregate net assets of each Fund included in the Trust.

D. Distributions of net investment income and net realized capital gains, if any, are declared and paid at least annually. Distributions are recorded on the ex-dividend date and are determined in accordance with income tax regulations which may differ from U.S. generally accepted accounting principles.

E. The Funds may also purchase American Depository Receipts, U.S. Government securities, and enter into repurchase agreements.

F. Throughout the normal course of business, the Funds and the underlying funds enter into contracts that contain a variety of representations and warranties which provide general indemnifications. The maximum exposure under these arrangements is unknown, as this would involve future claims that may be made that have not yet occurred. However, based on experience, the Funds expect the risk of loss to be remote.

THE RYDEX SERIES FUNDS ANNUAL REPORT    |    21

NOTES TO FINANCIAL STATEMENTS (continued)

2.   Financial Instruments

As part of their investment strategies, the underlying funds may utilize short sales and a variety of derivative instruments including, options, futures, options on futures, structured notes and swap agreements. These investments involve, to varying degrees, elements of market risk and risks in excess of the amounts reflected in the underlying funds’ NAVs.

A short sale is a transaction in which an underlying fund sells an equity or fixed income security it does not own. If the security sold short goes down in price between the time the underlying fund sells the security and closes its short position, that underlying fund will realize a gain on the transaction. Conversely, if the security goes up in price during the period, that underlying fund will realize a loss on the transaction. The risk of such price increases is the principal risk of engaging in short sales.

The risk associated with purchasing options is limited to the premium originally paid. The risk in writing a covered call option is that an underlying fund may forego the opportunity for profit if the market price of the underlying security increases and the option is exercised. The risk in writing a covered put option is that an underlying fund may incur a loss if the market price of the underlying security decreases and the option is exercised. In addition, there is the risk that an underlying fund may not be able to enter into a closing transaction because of an illiquid secondary market or, for over-the-counter options, because of the counterparty’s inability to perform.

There are several risks in connection with the use of futures contracts. Risks may be caused by an imperfect correlation between movements in the price of the instruments and the price of the underlying securities. In addition, there is the risk that an underlying fund may not be able to enter into a closing transaction because of an illiquid secondary market.

There are several risks associated with the use of structured notes. Structured securities are leveraged, thereby providing an exposure to the underlying benchmark greater than the face amount and increasing the volatility of each note relative to the change in the underlying linked financial instrument. A highly liquid secondary market may not exist for the structured notes an underlying fund invests in which may make it difficult for that underlying fund to sell the structured notes it holds at an acceptable price or to accurately value them. In addition, structured notes are subject to the risk that the counterparty to the instrument, or

issuer, might not pay interest when due or repay principal at maturity of the obligation. Although the Trust will not invest in any structured notes unless Rydex Investments believes that the issuer is creditworthy, an underlying fund does bear the risk of loss of the amount expected to be received in the event of the default or bankruptcy of the issuer.

There are several risks associated with the use of swap agreements that are different from those associated with ordinary portfolio securities transactions. Swap agreements may be considered to be illiquid. Although the Trust will not enter into any swap agreement unless Rydex Investments believes that the other party to the transaction is creditworthy, the underlying funds bear the risk of loss of the amount expected to be received under a swap agreement in the event of the default or bankruptcy of the agreement counterparty.

There are several risks associated with credit default swaps. Credit default swaps involve the exchange of a fixed-rate premium for protection against the loss in value of an underlying debt instrument in the event of a defined credit event (such as payment default or bankruptcy). Under the terms of the swap, one party acts as a “guarantor,” receiving a periodic payment that is a fixed percentage applied to a notional principal amount. In return, the party agrees to purchase the notional amount of the underlying instrument, at par, if a credit event occurs during the term of the swap. An underlying fund may enter into credit default swaps in which that underlying fund or its counterparty act as guarantors. By acting as the guarantor of a swap, that underlying fund assumes the market and credit risk of the underlying instrument, including liquidity and loss of value.

In conjunction with the use of short sales, options, futures, options on futures, structured notes and swap agreements, the underlying funds are required to maintain collateral in various forms. The underlying funds use, where appropriate, depending on the financial instrument utilized and the broker involved, margin deposits at the broker, cash and/or securities segregated at the custodian bank, discount notes, or the repurchase agreements allocated to each underlying fund.

The risks inherent in the use of short sales, options, futures contracts, options on futures contracts, structured notes and swap agreements include i) adverse changes in the value of such instruments; ii) imperfect correlation between the price of the instruments and movements in the price of the underlying securities, indices, or futures contracts; iii) the possible absence of a liquid secondary

22    |    THE RYDEX SERIES FUNDS ANNUAL REPORT

NOTES TO FINANCIAL STATEMENTS (continued)

market for any particular instrument at any time; and iv) the potential of counterparty default. The trust has established counterparty credit guidelines and enters into transactions only with financial institutions of investment grade or better. The Trust monitors the counter-party credit risk.

3.   Fees And Other Transactions With Affiliates

Rydex Investments manages the investment and reinvestment of the assets of each of the Funds in accordance with the investment objectives, policies, and limitations of each Fund, however, the Funds do not pay Rydex Investments a management fee. As part of its agreement with the Trust, Rydex Investments will pay all expenses of the Funds, including the cost of transfer agency, fund administration, audit and other services, excluding interest expense, taxes (expected to be de minimis), brokerage commissions and other expenses connected with the execution of portfolio transactions, short dividend expenses, and extraordinary expenses.

Each Fund indirectly bears a proportionate share of the total operating expenses (including investment management, shareholder servicing, custody, transfer agency, audit and other expenses) of the underlying funds in which the Fund invests. In addition, some underlying funds charge redemption fees if a shareholder, including a Fund, redeems shares before the end of the funds’ requisite holding period. Therefore, if a Fund sells shares of an underlying fund that is subject to a redemption fee, that Fund will be responsible for paying the redemption fee to the underlying fund.

Rydex Investments provides transfer agent, accounting services and administrative services to the Funds. However, the related fees are paid by Rydex Investments, as noted above.

The Funds have not adopted a Distribution Plan or a Shareholder Services Plan with respect to A-Class shares and H-Class shares. Instead, the Funds invest in underlying funds that have a distribution plan that allows the underlying funds to pay distribution fees to the Distributor and other firms that provide distribution services (“Service Providers”). The underlying funds will pay distribution fees to the Distributor at an annual rate not to exceed 0.25% of average daily net assets, pursuant to Rule 12b-1 under the 1940 Act, as amended. If a Service Provider provides distribution or shareholder services, the Distributor will, in turn, pay the Service Provider for the services it provides at an annual rate not to exceed 0.25% of the average daily net assets of a Fund.

The Funds have adopted a Distribution and Shareholder Services Plan applicable to its C-Class shares that allows the Funds to pay annual distribution and service fees of 0.75% of the Funds’ C-Class shares average daily net assets. The annual 0.25% service fee compensates the shareholder’s financial advisor for providing on-going services to the shareholder. The annual 0.50% distribution fee reimburses the Distributor for paying the shareholder’s financial advisor an ongoing sales commission. The Distributor advances the first year’s service and distribution fees to the financial advisor. The Distributor retains the service and distribution fees on accounts with no authorized dealer of record.

For the year ended March 31, 2009, the Distributor retained sales charges of $688,103, relating to sales of A-Class shares of the Trust.

Certain officers and trustees of the Trust are also officers of Rydex Investments and the Distributor.

4.   Federal Income Tax Information

The Funds intend to comply with the provisions of Subchapter M of the Internal Revenue Code applicable to regulated investment companies and will distribute substantially all net investment income and capital gains to shareholders. Therefore, no Federal income tax provision has been recorded.

Tax positions taken or expected to be taken in the course of preparing the Funds’ tax returns are evaluated to determine whether the tax positions are “more-likely-than-not” of being sustained by the applicable tax authority. Tax positions not deemed to meet the more-likely-than-not threshold would be recorded as a tax benefit or expense in the current year.

Management has analyzed the Funds’ tax positions taken on federal income tax returns for all open tax years (fiscal years 2006-2009), and has concluded that no provision for income tax is required in the Funds’ financial statements.

Income and capital gain distributions are determined in accordance with Federal income tax regulations, which may differ from U.S. generally accepted accounting principles. These differences are primarily due to differing treatments for losses deferred due to wash sales, losses deferred due to post-October losses, and excise tax regulations.

Permanent book and tax basis differences, if any, will result in reclassifications. This may include net operating losses not utilized during the current period and capital loss carryforward expired. These reclassifications have no effect on net assets or net asset values per

THE RYDEX SERIES FUNDS ANNUAL REPORT    |    23

NOTES TO FINANCIAL STATEMENTS (continued)

share. Any undistributed ordinary income or long-term capital gain remaining at fiscal year end is distributed in the following year.

The Fund’s tax basis capital gains and losses are determined only at the end of each fiscal year. Tax basis capital losses in excess of capital gains are carried forward to offset future net capital gains.

The tax character of distributions paid during the year ended March 31, 2009, was as follows:

	Ordinary		Long-Term		Total
Fund	Income		Capital Gain		Distributions
Essential Portfolio Conservative Fund	$	308,712	$	86,802	$	395,514
Essential Portfolio Moderate Fund		306,653		320,007		626,660
Essential Portfolio Aggressive Fund		412,908		—		412,908

The tax character of distributions paid during the year ended March 31, 2008, was as follows:

	Ordinary		Long-Term		Total
Fund	Income		Capital Gain		Distributions
Essential Portfolio Conservative Fund	$	371,958	$	4,612	$	376,570
Essential Portfolio Moderate Fund		1,291,456		123,643		1,415,099
Essential Portfolio Aggressive Fund		286,409		176,866		463,275

The tax character of distributable earnings/(accumulated losses) at March 31, 2009, was as follows:

	Undistributed		Undistributed
	Ordinary		Long-Term		Net Unrealized			Capital Loss
Fund	Income		Capital Gain		Depreciation			Carryforward
Essential Portfolio Conservative Fund	$	269,875	$	—	$	(1,029,528	)	$	(1,085,370	)1
Essential Portfolio Moderate Fund		678,024		—		(5,220,537	)		(4,439,372	)1
Essential Portfolio Aggressive Fund		194,707		—		(2,436,649	)		(2,176,118	)1

Capital Loss Carryforward amounts may be limited due to Treasury Regulations.

¹   A summary of the expiration of the aforementioned Capital Loss Carryforward is as follows:

							Total
	Expires in			Expires in			Capital Loss
Fund	2016			2017			Carryforward
Essential Portfolio Conservative Fund	$	—		$	(1,085,370	)	$	(1,085,370	)
Essential Portfolio Moderate Fund		—			(4,439,372	)		(4,439,372	)
Essential Portfolio Aggressive Fund		(343,627	)		(1,832,491	)		(2,176,118	)

At March 31, 2009, the cost of securities for Federal income tax purposes, the aggregate gross unrealized gain for all securities for which there was an excess of value over tax cost and the aggregate gross unrealized loss for all securities for which there was an excess of tax cost over value, were as follows:

			Tax		Tax			Net
	Tax		Unrealized		Unrealized			Unrealized
Fund	Cost		Gain		Loss			Loss
Essential Portfolio Conservative Fund	$	11,413,445	$	—	$	(1,029,528	)	$	(1,029,528	)
Essential Portfolio Moderate Fund		36,939,189		159,304		(5,379,841	)		(5,220,537	)
Essential Portfolio Aggressive Fund		15,786,595		—		(2,436,649	)		(2,436,649	)

Post-October Losses Deferred

Pursuant to Federal income tax regulations applicable to investment companies, the Funds have elected to treat net capital losses realized between November 1 and March 31 of each year as occurring on the first day of the following tax year. For the year ended March 31, 2009, the following amounts of realized capital losses reflected in the accompanying financial statements will not be recognized for Federal income tax purposes until April 1, 2009:

Fund	Capital
Essential Portfolio Conservative Fund	$	(1,225,656	)
Essential Portfolio Moderate Fund		(3,858,740	)
Essential Portfolio Aggressive Fund		(2,496,378	)

5.   Repurchase Agreements

Effective March 31, 2009, the Funds transfer uninvested cash balances into a single joint account, the daily aggregate balance of which is invested in one or more repurchase agreements collateralized by obligations of the U.S. Treasury and U.S. Government Agencies. The collateral is in the possession of the Funds’ custodian and is evaluated to ensure that its

24    |    THE RYDEX SERIES FUNDS ANNUAL REPORT

NOTES TO FINANCIAL STATEMENTS (continued)

market value exceeds at a minimum, 102% of the original face amount of the repurchase agreements. Each Fund holds a pro rata share of the collateral based on the dollar amount of the repurchase agreement entered into by each Fund.

The repurchase agreements executed by the joint account and outstanding at March 31, 2009, were as follows:

Counterparty	Terms of Agreement	Face Value		Market Value		Repurchase Price
Credit Suisse Group	0.15% due 04/01/09	$	1,148,344,725	$	1,148,344,725	$	1,148,349,509
				$	1,148,344,725	$	1,148,349,509

At March 31, 2009, the collateral for the repurchase agreements in the joint account was as follows:

Security Type	Maturity Dates		Range of Rates		Par Value		Market Value
U.S. Treasury Notes		07/15/10 - 08/15/17		1.13% - 4.75%	$	990,145,000	$	1,082,422,034
U.S. Treasury Bond		02/15/38		4.38%		78,470,000		88,892,208
							$	1,171,314,242

In the event of counterparty default, the Funds have the right to collect the collateral to offset losses incurred. There is potential loss to the Funds in the event the Funds are delayed or prevented from exercising its rights to dispose of the collateral securities, including the risk of a possible decline in the value of the underlying securities during the period while the Funds seek to assert its rights. The Funds’ investment advisor, acting under the supervision of the Board of Trustees, reviews the value of the collateral and the credit worthiness of those banks and dealers with which the Funds enter into repurchase agreements to evaluate potential risks.

6.   Fair Value Measurement

Effective April 1, 2008, the Funds adopted Statement of Financial Accounting Standard No. 157 (“FAS 157”) Fair Value Measurement which provided enhanced guidance for using fair value to measure assets and liabilities. The standard requires companies to provide expanded information about the assets and liabilities measured at fair value and the potential effect of these fair valuations on an entity’s financial performance. The standard does not expand the use of fair value in any new circumstances, but provides clarification on acceptable fair valuation methods and applications.

Various inputs may be used to determine the value of the fund’s investments. These inputs are summarized in three broad levels:

Level 1 — quoted prices in active markets for identical securities.

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

Level 3 — significant unobservable inputs (including the fund’s own 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 summarizes the inputs used to value the Funds’ net assets at March 31, 2009:

	Level 1		Level 2		Level 3
	Investments		Investments		Investments
Fund	In Securities		In Securities		In Securities		Total
Assets
Essential Portfolio Conservative Fund	$	10,383,917	$	—	$	—	$	10,383,917
Essential Portfolio Moderate Fund		31,718,652		—		—		31,718,652
Essential Portfolio Aggressive Fund		13,349,946		—		—		13,349,946

7.   Securities Transactions

For the year ended March 31, 2009, the cost of purchases and proceeds from sales of investment securities, excluding short-term and temporary cash investments, were:

	Essential Portfolio		Essential Portfolio		Essential Portfolio
	Conservative Fund		Moderate Fund		Aggressive Fund
Purchases	$	31,218,823	$	96,072,302	$	46,582,166
Sales	$	34,114,882	$	104,779,478	$	47,160,491

THE RYDEX SERIES FUNDS ANNUAL REPORT    |    25

NOTES TO FINANCIAL STATEMENTS (continued)

8.   Share Transactions

The Trust is authorized to issue an unlimited number of shares (no par value). Transactions in shares for the years presented were:

					Purchased through								Net Shares
	Shares Purchased				Dividend Reinvestment				Shares Redeemed				Purchased (Redeemed)
	Year Ended		Year Ended		Year Ended		Year Ended		Period Ended		Year Ended		Year Ended		Year Ended
	March 31,		March 31,		March 31,		March 31,		March 31,		March 31,		March 31,		March 31,
	2009		2008		2009		2008		2009		2008		2009		2008
Essential Portfolio Conservative Fund
A-Class		321,202		369,840		8,256		5,356		(478,729)		(35,755)		(149,271)		339,441
C-Class		537,552		529,764		15,730		11,189		(428,353)		(325,681)		124,929		215,272
H-Class		414,698		786,204		12,949		14,514		(730,595)		(487,803)		(302,948)		312,915
Essential Portfolio Moderate Fund
A-Class		449,747		588,146		14,252		28,409		(471,088)		(533,666)		(7,089)		82,889
C-Class		851,078		1,900,579		40,755		71,291		(1,604,713)		(724,002)		(712,880)		1,247,868
H-Class		799,520		1,244,646		14,323		23,503		(1,138,670)		(968,734)		(324,827)		299,415
Essential Portfolio Aggressive Fund
A-Class		186,877		452,957		12,823		10,079		(314,444)		(923,091)		(114,744)		(460,055)
C-Class		356,718		390,478		16,453		14,336		(335,001)		(397,980)		38,170		6,834
H-Class		357,765		534,927		12,304		8,976		(364,296)		(715,671)		5,773		(171,768)

26    |    THE RYDEX SERIES FUNDS ANNUAL REPORT

NOTES TO FINANCIAL STATEMENTS (concluded)

9.   New Accounting Pronouncements

In March 2008, the FASB issued FAS 161, “Disclosures about Derivative Instruments and Hedging Activities.” The new requirement is intended to improve disclosures around an entity’s derivatives activity and help investors understand how entities use derivatives, how they are accounted for and how they affect the financial position and operations of that entity. FAS 161 is effective for fiscal years and interim periods beginning after November 15, 2008. Management is evaluating the impact of FAS 161 on its current disclosures.

THE RYDEX SERIES FUNDS ANNUAL REPORT    |    27

REPORT OF INDEPENDENT REGISTERED PUBLIC
ACCOUNTING FIRM

To the Board of Trustees and Shareholders
of the Rydex Series Funds:

We have audited the accompanying statements of assets and liabilities of the Essential Portfolio Conservative Fund, Essential Portfolio Moderate Fund, and Essential Portfolio Aggressive Fund (three of the series constituting the Rydex Series Funds) (the “Funds”), including the schedules of investments, as of March 31, 2009, and the related statements of operations for the year then ended, the statements of changes in net assets for each of the two years in the period then ended, and the financial highlights for each of the two years in the period then ended and the period June 30, 2006 (commencement of operations) through March 31, 2007. These financial statements and financial highlights are the responsibility of the Funds’ management. Our responsibility is to express an opinion on these financial statements and financial highlights based on our audits.

We conducted our audits in accordance with the standards of the Public Company Accounting Oversight Board (United States). Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements and financial highlights are free of material misstatement. We were not engaged to perform an audit of the Funds’ internal control over financial reporting. Our audits included consideration of internal control over financial reporting as a basis for designing audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of the Funds’ internal control over financial reporting. Accordingly, we express no such opinion. An audit also includes examining, on a test basis, evidence supporting the amounts and disclosures in the financial statements and financial highlights, assessing the accounting principles used and significant estimates made by management, and evaluating the overall financial statement presentation. Our procedures included confirmation of securities owned as of March 31, 2009, by correspondence with the custodian/brokers and the underlying funds’ transfer agent. We believe that our audits provide a reasonable basis for our opinion.

In our opinion, the financial statements and financial highlights referred to above present fairly, in all material respects, the financial position of each of the Funds at March 31, 2009, the results of their operations for the year then ended, the changes in their net assets for each of the two years in the period then ended, and their financial highlights for each of the two years in the period then ended and the period June 30, 2006 (commencement of operations) through March 31, 2007, in conformity with U.S. generally accepted accounting principles.

McLean, Virginia
May 28, 2009

28    |    THE RYDEX SERIES FUNDS ANNUAL REPORT

OTHER INFORMATION (Unaudited)

Tax Information

This information is being provided as required by the Internal Revenue Code. Amounts shown may differ from those elsewhere in the report because of differences in tax and financial reporting practice.

Of the ordinary income distributions paid during the year, the following funds had the corresponding percentages qualify for the dividends received deduction for corporations:

Fund	% Qualifying
Essential Portfolio Conservative Fund		26.31	%
Essential Portfolio Moderate Fund		33.01	%
Essential Portfolio Aggressive Fund		54.84	%

Additionally, the following amounts of ordinary dividends paid during the same period qualified for the lower income tax rate available to individuals under the Jobs and Growth Tax Relief Reconciliation Act of 2003, respectively. This information was included in Form 1099-DIV sent to shareholders for the calendar year ended on December 31, 2008. Information for 2009 will be sent to shareholders in January of 2010.

Fund	% Qualifying
Essential Portfolio Conservative Fund		22.97	%
Essential Portfolio Moderate Fund		51.11	%
Essential Portfolio Aggressive Fund		99.40	%

With respect to the taxable year ended March 31, 2009, the Funds hereby designate as capital gain dividends the amounts listed below, or, if subsequently determined to be different, the net capital gain of such year:

	Essential		Essential		Essential
	Portfolio		Portfolio		Portfolio
	Conservative		Moderate		Aggressive
	Fund		Fund		Fund
From long-term capital gains, subject to the
15% rate gains category:	$	86,802	$	320,007	$	—

Proxy Voting Information

A description of the policies and procedures that the Trust uses to determine how to vote proxies relating to securities held in the Funds’ portfolios is available, without charge and upon request, by calling 1-800-820-0888. This information is also available from the EDGAR database on the SEC’s website at http://www.sec.gov.

Information regarding how the Funds voted proxies relating to portfolio securities during the most recent 12-month period ended June 30 is available without charge, upon request, by calling 1-800-820-0888. This information is also available from the EDGAR database on the SEC’s website at http://www.sec.gov.

Quarterly Portfolio Schedules Information

The Trust files its complete schedule of portfolio holdings with the SEC for the first and third quarters of each fiscal year on Form N-Q; which are available on the SEC’s website at http://www.sec.gov. The Funds’ Forms N-Q may be reviewed and copied at the SEC’s Public Reference Room in Washington, DC, and that information on the operation of the Public Reference Room may be obtained by calling 1-800-SEC-0330. Copies of the portfolio holdings are also available to shareholders, without charge and upon request, by calling 1-800-820-0888.

THE RYDEX SERIES FUNDS ANNUAL REPORT    |    29

INFORMATION ON BOARD OF TRUSTEES AND OFFICERS (Unaudited)

A Board of Trustees oversees all Rydex Investments, in which its members have no stated term of service, and continue to serve after election until resignation. The Statement of Additional Information includes further information about Fund Trustees and Officers, and can be obtained without charge by calling 1-800-820-0888.

All Trustees and Officers may be reached c/o Rydex Investments, 9601 Blackwell Rd., Suite 500, Rockville, MD 20850.

TRUSTEES AND OFFICERS

	Length of Service
Name, Position and	As Trustee	Number of
Year of Birth	(Year Began)	Funds Overseen
Carl G. Verboncoeur*	Rydex Series Funds – 2004	152
Trustee, President (1952)	Rydex Variable Trust – 2004
	Rydex Dynamic Funds – 2004
	Rydex ETF Trust – 2004

Principal Occupations During Past Five Years: Treasurer of Rydex Specialized Products, LLC (2005 to 2009) Chief Executive Officer of Rydex Specialized Products, LLC (2005 to 2008); Chief Executive Officer of Rydex Investments and Rydex Distributors, Inc. (2003 to 2009)

Michael P. Byrum*	Rydex Series Funds – 2005	152
Trustee, Vice President	Rydex Variable Trust – 2005
(1970)	Rydex Dynamic Funds – 2005
	Rydex ETF Trust – 2005

Principal Occupations During Past Five Years: Chief Investment Officer of Rydex Investments (2003 to present); Secretary of Rydex Specialized Products, LLC (2005 to 2008); Vice President of Rydex Series Funds (1997 to present); Vice President of Rydex Variable Trust (1998 to present); Vice President of Rydex Dynamic Funds (1999 to present); Vice President of Rydex ETF Trust (2002 to present); President and Trustee of Rydex Capital Partners SPhinX Fund (2003 to 2006); President of Rydex Investments (2004 to present)

INDEPENDENT TRUSTEES

	Length of Service
Name, Position and	As Trustee	Number of
Year of Birth	(Year Began)	Funds Overseen
John O. Demaret	Rydex Series Funds – 1997	152
Trustee, Chairman of the	Rydex Variable Trust – 1998
Board (1940)	Rydex Dynamic Funds – 1999
	Rydex ETF Trust – 2003

Principal Occupations During Past Five Years: Retired

Corey A. Colehour	Rydex Series Funds – 1993	152
Trustee (1945)	Rydex Variable Trust – 1998
	Rydex Dynamic Funds – 1999
	Rydex ETF Trust – 2003

Principal Occupations During Past Five Years: Retired (2006 to present); Owner and President of Schield Management Company, registered investment adviser (2005 to 2006); Senior Vice President of Marketing and Co-Owner of Schield Management Company, registered investment adviser (1985 to 2005)

J. Kenneth Dalton	Rydex Series Funds – 1995	152
Trustee (1941)	Rydex Variable Trust – 1998
	Rydex Dynamic Funds – 1999
	Rydex ETF Trust – 2003

Principal Occupations During Past Five Years: Mortgage Banking Consultant and Investor, The Dalton Group

30    |    THE RYDEX SERIES FUNDS ANNUAL REPORT

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

Name, Position and	Length of Service As Trustee	Number of
Year of Birth	(Year Began)	Funds Overseen
Werner E. Keller	Rydex Series Funds – 2005	152
Trustee (1940)	Rydex Variable Trust – 2005
	Rydex Dynamic Funds – 2005
	Rydex ETF Trust – 2005

Principal Occupations During Past Five Years: Retired (2001 to present); Chairman, Centurion Capital Management (1991 to 2001)

Thomas F. Lydon, Jr.	Rydex Series Funds – 2005	152
Trustee (1960)	Rydex Variable Trust – 2005
	Rydex Dynamic Funds – 2005
	Rydex ETF Trust – 2005

Principal Occupations During Past Five Years: President, Global Trends Investments

Patrick T. McCarville	Rydex Series Funds – 1997	152
Trustee (1942)	Rydex Variable Trust – 1998
	Rydex Dynamic Funds – 1999
	Rydex ETF Trust – 2003

Principal Occupations During Past Five Years: Founder and Chief Executive Officer, Par Industries, Inc.

Roger Somers	Rydex Series Funds – 1993	152
Trustee (1944)	Rydex Variable Trust – 1998
	Rydex Dynamic Funds – 1999
	Rydex ETF Trust – 2003

Principal Occupations During Past Five Years: Owner, Arrow Limousine

EXECUTIVE OFFICERS

Name, Position and	Principal Occupations
Year of Birth	During Past Five Years
Nick Bonos* Vice President and Treasurer (1963)	Chief Financial Officer of Rydex Specialized Products, LLC (2005 to present); Vice President and Treasurer of Rydex Series Funds, Rydex Variable Trust, Rydex Dynamic Funds, and Rydex ETF Trust (2003 to present); Senior Vice President of Rydex Investments (2003 to present); Vice President and Treasurer of Rydex Capital Partners SPhinX Fund (2003 to 2006)
Joanna M. Haigney* Chief Compliance Officer and Secretary (1966)	Chief Compliance Officer of Rydex Series Funds, Rydex Variable Trust, and Rydex Dynamic Funds (2004 to present); Secretary of Rydex Series Funds, Rydex Variable Trust, and Rydex Dynamic Funds (2000 to present); Secretary of Rydex ETF Trust (2002 to present); Vice President of Compliance of Rydex Investments (2000 to present); Secretary of Rydex Capital Partners SPhinX Fund (2003 to 2006)
Joseph Arruda* Assistant Treasurer (1966)	Assistant Treasurer of Rydex Series Funds, Rydex Variable Trust, Rydex Dynamic Funds, Rydex ETF Trust (2006 to present); Senior Vice President of Rydex Investments (2008 to present); Vice President of Rydex Investments (2004 to 2008); Director of Accounting of Rydex Investments (2003 to 2004)
Paula Billos* Controller (1974)	Controller of Rydex Series Funds, Rydex Variable Trust, Rydex Dynamic Funds, Rydex ETF Trust (2006 to present); Director of Fund Administration of Rydex Investments (2001 to present)

* Officers of the Funds are deemed to be “interested persons” of the Trust, within the meaning of Section 2(a)(19) of the 1940 Act, inasmuch as this person is affiliated with Rydex Investments.

THE RYDEX SERIES FUNDS ANNUAL REPORT    |    31

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Item 2. Code of Ethics.

The Board of Trustees of the Trust has adopted a Combined Code of Ethics (the “Code”) pursuant to Rule 17j-1 under the 1940 Act. The Advisor and Distributor are also covered by the Code. The Code applies to the personal investing activities of trustees, directors, officers, and certain employees (“access persons”). Rule 17j-1 and the Code are designed to prevent unlawful practices in connection with the purchase or sale of securities by access persons. Under the Code, access persons are permitted to engage in personal securities transactions, but are required to report their personal securities transactions for monitoring purposes. In addition, certain access persons are required to obtain approval before investing in initial public offerings or private placements. No substantive amendments were approved or waivers were granted to the Code during the period covered by this report. The Code is filed as an exhibit to this Form N-CSR.

Item 3. Audit Committee Financial Expert.

The registrant’s Board of Trustees has determined that Werner Keller, an “independent” Trustee serving on the registrant’s audit committee, is an “audit committee financial expert,” as defined in Item 3 of Form N-CSR. Under applicable securities laws, a person who is determined to be an audit committee financial expert will not be deemed an “expert” for any purpose, including without limitation for the purposes of Section 11 of the Securities Act of 1933, as a result of being designated or identified as an audit committee financial expert. The designation or identification of a person as an audit committee financial expert does not impose on such person any duties, obligations, or liabilities that are greater than the duties, obligations, and liabilities imposed on such person as a member of the audit committee and Board of Trustees in the absence of such designation or identification.

Item 4. Principal Accountant Fees and Services.

(a)-(d)     The aggregate Audit Fees billed by the Trust’s principal accountant, for the audit of the annual financial statements in connection with statutory and regulatory filings for the fiscal years ended March 31, 2009 and March 31, 2008 were $972,273 and $919,700, respectively. The aggregate Audit Related Fees by the Trust’s principal accountant billed for the fiscal years ended March 31, 2009 and March 31, 2008 were $75,000 and $0, respectively. The aggregate Tax Fees billed by the Trust’s principal accountant for professional services rendered for tax compliance, tax advice, and tax planning, including preparation of tax returns and distribution assistance, for the fiscal years ended March 31, 2009 and March 31, 2008 were $0 and $0, respectively.

(e)     The audit committee has adopted a policy whereby audit and non-audit services performed by the registrant’s principal accountant for the registrant, its investment advisor, and any entity controlling, controlled by, or under common control with the investment advisor that provides ongoing services to the registrant require pre-approval in advance at regularly scheduled audit committee meetings. If such service is required between regularly scheduled audit committee meetings, the chairman of the audit committee, J. Kenneth Dalton, is authorized to pre-approve the service with full committee approval at the next scheduled meeting. There shall be no

waivers of the pre-approval process. No services described in (b)-(d) above were approved pursuant to paragraph (c)(7)(i)(C) of Rule 2-01 of Regulation S-X.

(f)     Not applicable.

(g)     The aggregate non-audit fees billed by the registrant’s accountant for the most recent fiscal year and the preceding fiscal year for services rendered to the registrant, the investment advisor, and any entity controlling, controlled by, or under common control with the advisor that provides ongoing services to the registrant were $75,000 and $0, respectively. These aggregate fees were less than the aggregate fees billed for the same periods by the registrant’s principal accountant for audit services rendered to the registrant, the investment advisor, and any entity controlling, controlled by, or under common control with the advisor that provides ongoing services to the registrant.

(h)     All non-audit services rendered in (g) above were pre-approved by the registrant’s audit committee. As such, the audit committee has considered these services in maintaining the principal accountant’s independence.

Item 5. Audit Committee of Listed Registrants.

Not applicable.

Item 6. Investments.

Schedule of Investments is included as part of the report to shareholders filed 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 Managers of Closed-End Management Investment Companies.

Not applicable.

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

Not applicable.

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

Not applicable.

Item 11. Controls and Procedures.

(a)     Based on their evaluation on June 4, 2009, the President (principal executive officer) and the Treasurer (principal financial officer) of the Rydex Series Funds (the “Trust”) believe that there were no significant deficiencies in the design or operation of the internal controls of the Trust or Rydex Investments (“RI”), the investment advisor and manager of the Trust, or Rydex Distributors, Inc. (“RD”), which acts as distributor for the Trust, including disclosure controls and procedures (as defined in Rule 30a-3(c) under the Investment Company Act of 1940) which would have adversely affected the ability of the Trust or RI on behalf of the Trust, to record, process, summarize, and report the subject matter contained in this Report.

There was no fraud, whether or not material, involving officers or employees of RI, RD or the Trust who have a significant role in the Trust’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 Advisor or the officers of the Trust, including its President and Treasurer.

(b)     There were no significant changes in the Trust’s or RI’s internal controls over financial reporting (as defined in Rule 30a-3(d) under the Investment Company Act of 1940) that occurred during the second fiscal quarter of the period covered by this report that has materially affected, or is reasonably likely to materially affect, the registrant’s internal control over financial reporting.

Item 12. Exhibits.

(a)(1)     The registrant’s code of ethics pursuant to Item 2 of Form N-CSR is attached.

(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.

EX.-12(a)(2)(i)

CERTIFICATION

I, Carl G. Verboncoeur, certify that:

1. I have reviewed this report on Form N-CSR of Rydex Series Funds;

2. Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;

3. Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations, changes in net assets, and cash flows (if the financial statements are required to include a statement of cash flows) of the registrant as of, and for, the periods presented in this report;

4. The registrant’s other certifying officer(s) and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Rule 30a-3(c) under the Investment Company Act of 1940) and internal control over financial reporting (as defined in Rule 30a-3(d) under the Investment Company Act of 1940) for the registrant and have:

(a)	Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;
(b)	Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;
(c)	Evaluated the effectiveness of the registrant’s disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of a date within 90 days prior to the filing date of this report based on such evaluation; and

(d) Disclosed in this report any change in the registrant’s internal control over financial reporting that occurred during the second fiscal quarter of the period covered by this report that has materially affected, or is reasonably likely to materially affect, the registrant’s internal control over financial reporting; and

5. The registrant’s other certifying officer(s) and I have disclosed to the registrant’s auditors and the audit committee of the registrant’s board of directors (or persons performing the equivalent functions):

(a)	All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant’s ability to record, process, summarize, and report financial information; and
(b)	Any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant’s internal control over financial reporting.

Date: June 4, 2009
	/s/ Carl G. Verboncoeur
	Carl G. Verboncoeur,
	President

EX.-12(a)(2)(ii)

CERTIFICATION

I, Nick Bonos, certify that:

1. I have reviewed this report on Form N-CSR of Rydex Series Funds;

2. Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;

3. Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations, changes in net assets, and cash flows (if the financial statements are required to include a statement of cash flows) of the registrant as of, and for, the periods presented in this report;

4. The registrant’s other certifying officer(s) and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Rule 30a-3(c) under the Investment Company Act of 1940) and internal control over financial reporting (as defined in Rule 30a-3(d) under the Investment Company Act of 1940) for the registrant and have:

(a)	Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;
(b)	Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;
(c)	Evaluated the effectiveness of the registrant’s disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of a date within 90 days prior to the filing date of this report based on such evaluation; and
(d)	Disclosed in this report any change in the registrant’s internal control over financial reporting that occurred during the second fiscal quarter of the period

covered by this report that has materially affected, or is reasonably likely to materially affect, the registrant’s internal control over financial reporting; and

5. The registrant’s other certifying officer(s) and I have disclosed to the registrant’s auditors and the audit committee of the registrant’s board of directors (or persons performing the equivalent functions):

(a)	All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant’s ability to record, process, summarize, and report financial information; and
(b)	Any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant’s internal control over financial reporting.

Date: June 4, 2009
	/s/ Nick Bonos
	Nick Bonos,
	Vice President & Treasurer

EX.-12(b)(i)

CERTIFICATION

I, Carl G. Verboncoeur, President of Rydex Series Funds (the “Trust”), certify that:

1.	The Form N-CSR of the Trust (the “Report”) fully complies with the requirements of Section 13(a) or 15(d) of the Securities Exchange Act of 1934; and
2.	The information contained in the Report fairly presents, in all material respects, the financial condition and results of operations of the Trust.

A signed original of this written statement required by Section 906 has been provided to the Trust and will be retained by the Trust and furnished to the Securities and Exchange Commission or its staff upon request.

Dated: June 4, 2009

/s/ Carl G. Verboncoeur  

Carl G. Verboncoeur, 

President 

EX.-12(b)(ii)

CERTIFICATION

I, Nick Bonos, Vice President and Treasurer of Rydex Series Funds (the “Trust”), certify that:

1.	The Form N-CSR of the Trust (the “Report”) fully complies with the requirements of Section 13(a) or 15(d) of the Securities Exchange Act of 1934; and
2.	The information contained in the Report fairly presents, in all material respects, the financial condition and results of operations of the Trust.

A signed original of this written statement required by Section 906 has been provided to the Trust and will be retained by the Trust and furnished to the Securities and Exchange Commission or its staff upon request.

Dated: June 4, 2009

/s/ Nick Bonos  

Nick Bonos, 

Vice President and Treasurer 

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) Rydex Series Funds

By (Signature and Title)*	/s/ Carl G. Verboncoeur
	Carl G. Verboncoeur, President

Date June 4, 2009

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/ Carl G. Verboncoeur
	Carl G. Verboncoeur, President

Date June 4, 2009

By (Signature and Title)*	/s/ Nick Bonos
	Nick Bonos, Vice President and Treasurer

Date June 4, 2009

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