U.S. SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM N-14
REGISTRATION STATEMENT UNDER THE SECURITIES ACT OF 1933
Pre-Effective Amendment No. _______________
Post-Effective Amendment No. _______________
(Check appropriate box or boxes)
Exact Name of Registrant as Specified in Charter:
Area Code and Telephone Number:
Principal Investors Fund, Inc. (800) 247-4123
Address of Principal Executive Offices: (Number, Street, City, State, Zip Code)
711 High Street, Des Moines, Iowa 50392
Name and Address of Agent for Service:
With a copy to:
Michael D. Roughton John W. Blouch
Counsel Jones & Blouch L.L.P.
Principal Investors Fund, Inc. 1025 Thomas Jefferson Street, N.W.
711 High Street Suite 405 West
Des Moines, Iowa 50392-0300 Washington, D.C. 20007
Approximate Date of Proposed Public Offering: As soon as practicable after the
effective date of this Registration Statement.
______________________________________________________
Title of Securities Being Registered:
Advisors Preferred Class, Advisors Select Class, Preferred Class,
Select Class, Institutional Class and Class J Common
Stock,
par value $.01 per share.
______________________________________________________
No filing fee is required because of reliance on Section 24(f) under the
Investment Company Act of 1940, as amended.
It is proposed that this filing will become effective on April 10, 2003,
pursuant to Rule 488.
______________________________________________________
PRINCIPAL INVESTORS FUND, INC.
CROSS REFERENCE SHEET
PURSUANT TO RULE 481(a) UNDER THE SECURITIES ACT OF 1933
FORM N-14 INFORMATION STATEMENT AND
ITEM NO. PROSPECTUS CAPTION
PART A
Item 1. ......................................
Beginning of Registration Statement and Outside
Front Cover Page of Prospectus .........Cross Reference Sheet; Cover Page
Item 2.......................................
Beginning and Outside Back Cover Page of Prospectus Table of Contents
Item 3.......................................
Fee Table, Synopsis Information and Risk Factors
Summary; Principal Risk Factors
Item 4.......................................Information about the Transaction
The Plan
Item 5.
Information about the Registrant
Incorporation of Documents by
Reference in the Prospectus
Item 6.
Information about the Company Being
Acquired
Incorporation of Documents by
Reference in the Prospectus
Item 7.......................................Voting Information
Introduction and Voting Information
Item 8.......................................
Interest of Certain Persons and Experts Not Applicable
Item 9. ......................................
Additional Information Required for Reoffering
by Persons Deemed to be Underwriters ...Not Applicable
PART B
Item 10......................................Cover Page
Cover Page of Statement of
Additional Information
Item 11......................................Table of Contents
Table of Contents of Statement of
Additional Information
Item 12.
Additional Information about the
Registrant
Statement of Additional Information
of Principal Investors Fund, Inc.
dated March 1, 2003.
Item 14......................................Financial Statements
Financial Statements as noted in
the Statement of Additional
Information
2
PART C
Item 15......................................Indemnification
Indemnification
Item 16......................................Exhibits Exhibits
Item 17......................................Undertakings Undertakings
3
Logo
Principal
Financial Group
April 10, 2003
Dear Shareholder:
The Board of Directors of Principal Investors Fund, Inc. has called a special
meeting of the shareholders of one series of the Fund, the Balanced Fund, for
May 14, 2003 to vote on a Plan of Acquisition which provides for the combination
of the Balanced Fund with another series of the Fund, the Principal LifeTime
2030 Fund. If the Plan is approved by shareholders and implemented, shareholders
of the Balanced Fund will cease to own shares of the Balanced Fund and will
become the owner of shares of the same class of the Principal LifeTime 2030 Fund
equal in value to the shares of the Balanced Fund. The Board believes that the
proposed change is in the best interest of each series of the Fund and its
shareholders.
The Balanced Fund and the Principal LifeTime 2030 Fund both seek a total return
consisting of long-term growth of capital and current income. The principal
difference between the Balanced Fund and the Principal LifeTime 2030 Fund is the
investment strategy of each series. The Balanced Fund invests primarily in
common stocks and corporate bonds. The Principal LifeTime 2030 Fund invests in
shares of other series of Principal Investors fund and is commonly referred to
as a "fund of funds." In addition, over time the Principal LifeTime 2030 Fund
will shift the percentage of its portfolio invested in the Underlying Funds to
accommodate investors progressing from an asset accumulation objective to an
income generating objective.
It is important that you take time to read the prospectus/information statement.
If you have questions regarding the prospectus/information statement or your
account, please call our shareholder services department toll-free at
1-800-247-4123.
Sincerely,
LOGO
/s/ Ralph C. Eucher
Ralph C. Eucher
President
Principal Investors Fund, Inc.
1
NOTICE OF
SPECIAL MEETING OF SHAREHOLDERS
TO BE HELD ON MAY 14, 2003
___________
To the Shareholders:
Notice is hereby given that a special meeting of the shareholders of the
Balanced Fund, a series of Principal Investors Fund, Inc., will be held at 2:00
p.m. C.D.T., on May 14, 2003, at the offices of Principal Management
Corporation, 680 8th Street, Des Moines, Iowa 50392-2080. The meeting is being
held to consider and vote on the following matter as well as any other business
that may properly come before the meeting or any adjournment thereof:
1. Approval of a Plan of Acquisition and the transactions
contemplated thereby, pursuant to which the Principal LifeTime
2030 Fund, a series of Principal Investors Fund, Inc., will
acquire all the assets and assume all the liabilities of the
Balanced Fund and issue in exchange shares of its Preferred
Class, Advisors Preferred Class, Select Class, Advisors Select
Class, Institutional Class, and Class J common stock, and the
Balanced Fund will distribute those shares to its Preferred
Class, Advisors Preferred Class, Select Class, Advisors Select
Class, Institutional Class, and Class J shareholders in
redemption of all its outstanding shares and then dissolve.
You are entitled to notice of and to vote at the meeting, and any adjournment,
if you owned shares of the Balanced Fund at the close of business on April 7,
2003, the record date for the meeting.
Please read the attached prospectus/information statement.
LOGO
/s/A.S. Filean
For the Board of Directors
Arthur S. Filean
Senior Vice President and Secretary
April 10, 2003
2
PRINCIPAL INVESTORS FUND, INC.
PRINCIPAL LIFETIME 2030 FUND SERIES
BALANCED SERIES
PROSPECTUS/INFORMATION STATEMENT
This prospectus/information statement is being furnished in connection with a
special meeting of the shareholders of the Balanced Fund, a series of Principal
Investors Fund, Inc. ("Investors Fund") to be held at 2:00 p.m. C.D.T., on May
14, 2003, at the offices of Principal Management Corporation, 680 8th Street,
Des Moines, Iowa 50392-0200.
At the meeting, shareholders of the Balanced Fund will vote on a Plan of
Acquisition ("Plan"). Under the Plan, if approved, the Principal LifeTime 2030
Fund, another series of the Investors Fund, will acquire all the assets and
assume all the liabilities of the Balanced Fund and issue in exchange shares of
its Preferred Class, Advisors Preferred Class, Select Class, Advisors Select
Class, Institutional Class, and Class J common stock. The Balanced Fund will
immediately redeem all its outstanding Preferred Class, Advisors Preferred
Class, Select Class, Advisors Select Class, Institutional Class, and Class J
shares by distributing the Principal LifeTime 2030 Fund shares of the same
classes to its shareholders. As a result, a shareholder of the Balanced Fund
will have the same amount invested in the same share class of the Principal
LifeTime 2030 Fund that the shareholder had invested in those share classes of
the Balanced Fund at the effective time. The manager of the Investors Fund,
Principal Management Corporation, has agreed to pay all expenses incurred by the
Balanced Fund in connection with the Plan.
The Balanced Fund and the Principal LifeTime 2030 Fund are each a series of the
Investors Fund, which is a Maryland corporation organized by Principal Life
Insurance Company ("Principal Life") and registered as an open-end, management
investment company under the Investment Company Act of 1940 (the "Investment
Company Act"). The primary investment objective of both the Balanced Fund and
the Principal LifeTime 2030 Fund is to seek a total return consisting of
long-term growth of capital and current income. The Balanced Fund pursues the
investment objective by investing primarily in common stocks and corporate bonds
while the Principal LifeTime 2030 Fund invests in shares of other series of the
Principal Investors Fund (the "Underlying Funds"). In addition, the Principal
LifeTime 2030 Fund will change the percentage of its portfolio allocation
invested in the Underlying Funds over time to accommodate investors progressing
from an asset accumulation objective to an income generating objective.
This prospectus/information statement sets forth concisely the information you
should know before voting on the proposed Plan. You should retain it for future
reference.
The prospectus and Statement of Additional Information for the Balanced Fund,
the Principal LifeTime 2030 Fund and the Underlying Funds in which the Principal
LifeTime 2030 Fund invests, dated March 1, 2003, have been filed with the
Securities and Exchange Commission ("SEC") and are available without charge by
writing to the Investors Fund or its manager at their principal executive
offices, 680 8th Street, Des Moines, Iowa 50392-2080 or by telephoning toll-free
1-800-247-4123. The prospectus of the Principal LifeTime 2030 Fund and the
Balanced Fund, dated March 1, 2003, and the Statement of Additional Information,
dated April 10, 2003, relating to this prospectus/information statement, are
incorporated herein by reference. As a shareholder of the Balanced Fund, you
previously received a current prospectus for the Principal LifeTime 2030 Fund in
a prospectus that combines these and other series of the Investors Fund. A copy
of the prospectus may be obtained as described above.
_____________________
THE SEC HAS NOT APPROVED OR DISAPPROVED OF THESE SECURITIES OR PASSED UPON THE
ADEQUACY OF THIS PROSPECTUS/INFORMATION STATEMENT. ANY REPRESENTATION TO THE
CONTRARY IS A CRIMINAL OFFENSE.
_____________________
The date of this prospectus/information
statement is April 10, 2003
3
PROSPECTUS/INFORMATION STATEMENT
TABLE OF CONTENTS
INTRODUCTION AND VOTING INFORMATION................................... 5
Special Meeting; Voting............................................. 5
Additional Information.............................................. 5
SUMMARY .............................................................. 7
The Plan............................................................ 7
Reasons for the Plan................................................ 7
Investment Objectives and Policies.................................. 8
Fees and Expenses of the Series..................................... 9
Purchases........................................................... 13
Exchanges........................................................... 13
Redemption Procedures and Fees...................................... 13
Dividends and Distributions......................................... 13
Federal Income Tax Consequences of the Proposed Combination......... 14
Costs and Expenses.................................................. 14
Continuation of Shareholder Accounts................................ 14
PRINCIPAL RISK FACTORS................................................ 14
THE PLAN.............................................................. 14
Plan of Acquisition................................................. 14
Description of Securities to Be Issued.............................. 15
Reasons for the Proposed Combination................................ 15
Federal Income Tax Consequences..................................... 16
Capitalization...................................................... 16
MANAGEMENT'S DISCUSSION OF SERIES PERFORMANCE......................... 17
COMPARISON OF INVESTMENT OBJECTIVES, POLICIES AND RESTRICTIONS........ 18
ADDITIONAL INFORMATION ABOUT THE SERIES............................... 21
PROPOSALS OF SHAREHOLDERS............................................. 22
OTHER BUSINESS........................................................ 22
APPENDIX A: FORM OF PLAN OF ACQUISITION ............................... 22
4
INTRODUCTION AND VOTING INFORMATION
SPECIAL MEETING; VOTING
- -----------------------
We are furnishing this prospectus/information statement to you as a shareholder
of the Balanced Fund, a series of the Investors Fund, in connection with a
special meeting of the shareholders of the Balanced Fund to be held on May 14,
2003. The purpose of the meeting is to vote on the Plan for the Balanced Fund. A
copy of the Plan is included as Appendix A. The Plan provides for the
combination of the Balanced Fund with the Principal LifeTime 2030 Fund which is
also a series of the Investors Fund, as more fully described below. The
prospectus/information statement is first being furnished to shareholders on or
about April 10, 2003.
THE BOARD OF DIRECTORS OF THE INVESTORS FUND HAS APPROVED THE PLAN AND
RECOMMENDS THAT THE SHAREHOLDERS OF THE BALANCED FUND VOTE FOR THE PLAN AND THE
TRANSACTIONS WHICH IT CONTEMPLATES.
Shareholders of record of the Balanced Fund at the close of business on April 7,
2003, the record date, are entitled to vote at the meeting. As of the record
date, the Balanced Fund had the following shares outstanding and entitled to be
voted.
OUTSTANDING
SHARE CLASS SHARES
----------- -----------
Advisors Preferred
Advisors Select
Preferred
Select
Institutional
Class J
Shareholders of the Balanced Fund are entitled to one vote for each share of
each Class held at the meeting. A quorum for the Balanced Fund must be present
at the meeting for the transaction of business. The holders of record of
one-third of the shares outstanding at the close of business on the record date
present at the meeting will constitute a quorum for the meeting. The approval of
the Plan by the Balanced Fund requires the affirmative vote of a majority of all
the votes entitled to be cast by shareholders of the Balanced Fund. Abstentions
and broker non-votes (votes from brokers or nominees indicating that they have
not received instructions from the beneficial owners on an item for which the
broker or nominee does not have discretionary power) are counted toward a quorum
but do not represent votes cast for the Plan or any other issue. If the
shareholders of the Balanced Fund do not approve the Plan, the Board will
consider possible alternative arrangements, and Principal Management Corporation
will continue to manage the Balanced Fund.
Proxies of the shareholders of the Balanced Fund are not being solicited because
Principal Life owned, or was authorized to vote, a majority of the outstanding
shares of the Balanced Fund as of the record date, and is expected to be present
and vote such shares at the meeting.
ADDITIONAL INFORMATION
- ----------------------
On April 7, 2003, the directors and officers of the Investors Fund together
owned less than 1% of each of the Balanced Fund's and the Principal LifeTime
2030 Fund's outstanding shares. Principal Life, Des Moines, Iowa, 50392, an Iowa
life insurance company and an affiliate of Principal Management Corporation, the
manager of the Funds (the "Manager"), owned of record and beneficially, either
directly or through subsidiaries, _____% of the outstanding shares of the
Principal LifeTime 2030 Fund. The table below shows the percentage of the
outstanding shares of each Class of the Balanced Fund owned by Principal Life on
April 7, 2003 and based on those holdings, its percentage of ownership at the
effective time (3:00 p.m. C.D.T. on May 21, 2003):
5
PRINCIPAL LIFE'S PRINCIPAL LIFE'S
BALANCED FUND PRINCIPAL LIFETIME 2030
PERCENTAGE FUND
OWNERSHIP PERCENTAGE OWNERSHIP
SHARE CLASS ON APRIL 7, 2003 AT THE EFFECTIVE TIME
----------- ----------------- -----------------------
Advisors Preferred
Advisors Select
Preferred
Select
Institutional
Class J
The ultimate parent of Principal Life is Principal Financial Group, Inc.
As of April 7, 2003, the following shareholders owned 5% or more of the
outstanding shares of any Class of the Funds:
PERCENTAGE
NAME ADDRESS OF OWNERSHIP
---- -------- ------------
BALANCED FUND - ADVISORS SELECT CLASS
BALANCED FUND - CLASS J
PRINCIPAL LIFETIME 2030 FUND - ADVISORS
SELECT CLASS
PRINCIPAL LIFETIME 2030 FUND - ADVISORS
PREFERRED CLASS
PRINCIPAL LIFETIME 2030 FUND -
PREFERRED CLASS
The Investors Fund does not know of any other person who owned at the record
date, or will own at the effective time, of record or beneficially 5% or more of
the outstanding shares of either of the Funds.
SUMMARY
The following is a summary of certain information contained or incorporated by
reference in this prospectus/information statement. It is qualified in its
entirety by the more detailed information appearing elsewhere or incorporated by
reference in this prospectus/information statement.
THE PLAN
- --------
You are being asked to approve the Plan, which provides for the combination of
the Balanced Fund with the Principal LifeTime 2030 Fund. The Balanced Fund and
Principal LifeTime 2030 Fund are each a series of the Investors Fund. Under the
Plan, at the effective time on the closing date, the Principal LifeTime 2030
Fund will acquire all the assets and assume all the liabilities of the Balanced
Fund and issue to the Balanced Fund shares of its Preferred Class, Advisors
Preferred Class, Select Class, Advisors Select Class, Institutional Class and
Class J common stock having a value equal to the net assets of the Balanced Fund
attributable to each share class. Immediately thereafter, the Balanced Fund will
distribute all the Principal LifeTime 2030 Fund shares it receives to its
shareholders who own the corresponding class of the Balanced Fund shares and
thereby redeem all its outstanding shares. Each Balanced Fund shareholder will
receive Principal LifeTime 2030 Fund shares equal in value to the shares of the
corresponding class of the Balanced Fund held by the shareholder at the
effective time. If the Plan is approved, the effective time will be 3:00 p.m.
C.D.T. on May 21, 2003.
6
REASONS FOR THE PROPOSED COMBINATION
- ------------------------------------
The Balanced Fund has a relatively small amount of assets and has experienced
limited sales of shares. Shares of the Balanced Fund and Principal LifeTime 2030
Fund are used primarily to fund employer-sponsored retirement plans and
Individual Retirement Accounts. The Board believes the Principal LifeTime 2030
Fund would be more likely to garner assets from retirement-oriented investors
than the Balanced Fund. The likelihood that the Balanced Fund will achieve
significant asset levels in the foreseeable future is low. The Board for the
Investors Fund considered these and other factors and determined that the
proposed Plan would be in the best interests of the Balanced Fund and its
shareholders, that the terms of the Plan are fair and reasonable and that the
interests of the shareholders of the Balanced Fund will not be diluted as a
result of the transactions contemplated by the Plan. The Board believes that the
Plan will provide shareholders of the Balanced Fund with an investment in a
larger fund with greater capacity for diversification than the Balanced Fund.
The table below reflects the investment performance of the Balanced Fund and the
Principal LifeTime 2030 Fund for the periods ended February 28, 2003.
TOTAL RETURN WITH MAXIMUM SALES CHARGE*
--------------------------------------------------------------------------------------------------------
ADVISORS ADVISORS
PREFERRED PREFERRED SELECT SELECT
SERIES CLASS CLASS CLASS CLASS
------ ---------------------------------------- ------------- ------------------- -------------------
SINCE SINCE SINCE SINCE
1-YR. INCEPTION** 1-YR. INCEPTION** 1-YR. INCEPTION** 1-YR. INCEPTION**
----- ----------- ----- ----------- ----- ----------- ----- -----------
Principal LifeTime
2030 Fund -11.39 -6.79 -11.57 -7.03 -11.40 -6.85 -11.82 -7.25
Balanced Fund -12.27 -9.00 -12.55 -9.30 -12.28 -9.10 -12.62 -9.45
TOTAL RETURN WITH MAXIMUM SALES CHARGE*
----------------------------------------
INSTITUTIONAL
SERIES CLASS CLASS J
------ --------------------------------------- ---------------
SINCE SINCE
1-YR. INCEPTION** 1-YR INCEPTION***
----- ----------- ----- ------------
Principal LifeTime 2030 Fund -11.16 -6.55 -12.76 -8.45
Balanced Fund -12.01 -7.96 -13.68 -8.77
*No front-end or back-end sales charge applies to any of the share classes, except Class J shares. A contingent deferred sales
charge of 1.00% is charged on redemptions of Class J shares within 18 months of their purchase.
**Inception Date of December 6, 2000 for the Balanced Fund and March 1, 2001 for the Principal LifeTime 2030 Fund.
***Inception Date of June 15, 2001 for Class J shares of the Principal LifeTime 2030 Fund.
INVESTMENT OBJECTIVES AND POLICIES
- ----------------------------------
The primary investment objective of the Principal LifeTime 2030 Fund and the
Balanced Fund is to seek a total return consisting of long-term growth of
capital and current income. The principal difference between the Balanced Fund
and the Principal LifeTime 2030 Fund is the investment strategy of each series.
The Balanced Fund invests primarily in common stocks and corporate bonds. The
Principal LifeTime 2030 Fund invests in shares of other series of Principal
Investors fund and is commonly referred to as a "fund of funds." In addition,
over time the Principal LifeTime 2030 Fund will shift the percentage of its
portfolio invested in the Underlying Funds to accommodate investors progressing
from an asset accumulation objective to an income generating objective.
Principal Global Investors ("PGI"), the fund's sub-advisor, intends to allocate
the Principal LifeTime 2030 Fund's assets so that approximately five to ten
years after the year 2030, the Fund's assets in the Underlying Funds will match
the asset allocation of the Principal LifeTime Strategic Income Fund, another
series of the Investors Fund. At that time, the Principal LifeTime 2030 Fund may
be combined with the Principal LifeTime Strategic Income Fund. The Board of
Directors would need to determine at the time of the proposed combination that
the combining of the funds is in the best interests of the funds' shareholders.
INVESTMENT ADVISORY SERVICES
- ----------------------------
The Manager serves as investment advisor to the Investors Fund. The Manager has
entered into a sub-advisory agreement with PGI to provide investment advisory
services to the Balanced Fund as well as the Principal LifeTime 2030 Fund and
nine of the twelve Underlying Funds in which the Principal LifeTime 2030 Fund
invested as of December 31, 2002. PGI is a directly, wholly-owned subsidiary of
Principal Life and an affiliate of the Manager. The Manager also receives a fee
for providing investment advisory services to each of the Underlying Funds in
which the
7
Principal LifeTime 2030 Fund invests. As of December 31, 2002, the Principal
LifeTime 2030 Fund's assets were allocated among the following Underlying Funds
as follows:
Bond & Mortgage Securities 18.8% Partners LargeCap Growth I 7.3%
Government Securities 10.2 Partners LargeCap Value 11.8
International Emerging Partners SmallCap Growth I
Markets 2.2 2.9
International I 11.2 Preferred Securities 5.5
LargeCap Growth 8.8 SmallCap Growth 3.5
LargeCap Value 11.2 SmallCap Value 6.6
Based on this allocation, the weighted average management fee of the Underlying
Funds is 0.67%. The combined total expenses for the Principal LifeTime 2030 Fund
may be higher or lower depending on the allocation of its assets among the
Underlying Funds.
The Manager pays PGI a larger percentage of the fee it receives from the
Principal LifeTime 2030 Fund than the percentage of the fee it receives from the
Balanced Fund. The Manager also pays PGI a larger percentage of the aggregated
fees it receives from the Underlying Funds than the percentage of the fee it
receives from the Balanced Fund. However, the management fee the Manager
receives from the Principal LifeTime 2030 Fund combined with the weighted
average management fee it receives from the Underlying Funds, exceeds the fee it
receives from the Balanced Fund.
The Manager currently pays expenses of the Class J shares of each of the Funds.
If the Plan is approved a large portion of the combined assets of the Funds will
continue to be sub-advised by PGI, the Manager will receive higher overall
advisory fees with respect to the assets formerly owned by the Balanced Fund,
and the Manager's expense reimbursement for Class J shares will be reduced.
FEES AND EXPENSES OF THE SERIES
- -------------------------------
This table describes the fees and expenses that you may pay if you buy and hold
shares of either of the series.
SHAREHOLDER FEES
(FEES PAID DIRECTLY FROM YOUR INVESTMENT)
-----------------------------------------
ADVISORS ADVISORS
PREFERRED PREFERRED SELECT SELECT INSTITUTIONAL
CLASS CLASS CLASS CLASS CLASS CLASS J
--------- --------- ------ -------- ------------- ------------
Maximum sales charge imposed on purchases
(as a % of offering price) None None None None None None
Maximum Contingent Deferred Sales Charge
("CDSC") (as a % of dollars subject to
charge) None None None None None 1.00/(1)/
Redemption or Exchange Fee None None None None None 1.00/(2)/
// // / / /
///(1)/A contingent deferred sales charge of 1% applies on certain redemptions of shares made within 18 months after they are
purchased.//
///(2)/
Redemption fees or exchange fees are charged on redemptions or exchanges of $50,000 or more of shares redeemed within 30 days
after they are purchased.
ONE-TIME FEES
. Class J shares have no initial sales charge but may be subject to a
CDSC. If you sell (redeem) shares and the CDSC is imposed, it will
reduce the amount of sales proceeds.
. A redemption fee or exchange fee of 1.00% is charged on redemptions or
exchanges of Class J shares of $50,000 or more if the shares were
purchased within 30 days of the redemption or exchange. The fee is
calculated as a percentage of market value at the time the shares are
redeemed or exchanged.
The operating expenses attributable to each share class of each Fund (as a
percentage of the average daily net assets) for the fiscal year ended October
31, 2002 were as follows:
8
BALANCED FUND
---------------------------------------------------------------------
ADVISORS ADVISORS
PREFERRED PREFERRED SELECT INSTITUTIONAL
FUND OPERATING EXPENSES CLASS CLASS SELECT CLASS CLASS CLASS CLASS J*
----------------------- --------- --------- ------------ -------- ------------- --------
Management Fees 0.50% 0.50% 0.50% 0.50% 0.50% 0.50%
12b-1 Fees 0.00 0.25 0.10 0.30 0.00 0.50
Other Expenses 0.26 0.32 0.28 0.45 0.00 1.10
---- ---- ---- ---- ---- ----
Total Operating Expenses 0.76% 1.07% 0.88% 1.25% 0.50% 2.10%
PRINCIPAL LIFETIME 2030 FUND
-----------------------------------------------------------------------------------------
ADVISORS ADVISORS
PREFERRED PREFERRED SELECT SELECT INSTITUTIONAL
FUND OPERATING EXPENSES CLASS CLASS CLASS* CLASS CLASS
----------------------- --------- --------- ------ -------- -------------
Management Fees 0.1225% 0.1225% 0.1225% 0.1225% 0.1225%
12b-1 Fees 0.0000 0.2500 0.1000 0.3000 0.0000
Other Expenses 0.2600 0.3200 0.2800 0.4500 0.0000
------ ------ ------ ------ ------
Total Operating Expenses*** 0.3825% 0.6925% 0.5025% 0.8725% 0.1225%
*A Distribution Plan and Agreement was adopted by the Investors Fund pursuant to Rule 12b-1 for the Select Class shares effective
June 10, 2002.
**The Manager voluntarily agreed to limit the expenses paid by the Class J shares of the Principal LifeTime 2030 Fund and the
Balanced Fund through February 28, 2003 to the extent necessary to maintain a total level of operating expenses for Class J shares
of the Principal LifeTime 2030 Fund and the Balanced Fund (expressed as a percent of average net assets attributable to Class J
shares on an annualized basis) not to exceed 1.45% for the Balanced Fund and 1.05% for the Principal LifeTime 2030 Fund. The
effect of this expense limitation was to reduce each Fund's Class J operating expense. The Manager intends to pay expenses
normally payable by Class J shares of each Fund through February 29, 2004 to the extent necessary to maintain a total level of
operating expenses for Class J shares of the Balanced Fund not to exceed 1.75% of the Fund's average net assets on an annualized
basis and of the Principal LifeTime 2030 Fund not to exceed 1.50% of the Fund's average net assets on an annualized basis.
*** Does not include the expenses of the Underlying Funds in which the Fund invests.
FUND OPERATING EXPENSES CLASS J**
----------------------- ---------
Management Fees 0.1225%
12b-1 Fees 0.5000
Other Expenses 1.0400
------
Total Operating Expenses*** 1.6625%
*A Distribution Plan and Agreement was adopted by the Investors Fund pursuant to Rule 12b-1 for the Select Class shares effective
June 10, 2002.
**The Manager voluntarily agreed to limit the expenses paid by the Class J shares of the Principal LifeTime 2030 Fund and the
Balanced Fund through February 28, 2003 to the extent necessary to maintain a total level of operating expenses for Class J shares
of the Principal LifeTime 2030 Fund and the Balanced Fund (expressed as a percent of average net assets attributable to Class J
shares on an annualized basis) not to exceed 1.45% for the Balanced Fund and 1.05% for the Principal LifeTime 2030 Fund. The
effect of this expense limitation was to reduce each Fund's Class J operating expense. The Manager intends to pay expenses
normally payable by Class J shares of each Fund through February 29, 2004 to the extent necessary to maintain a total level of
operating expenses for Class J shares of the Balanced Fund not to exceed 1.75% of the Fund's average net assets on an annualized
basis and of the Principal LifeTime 2030 Fund not to exceed 1.50% of the Fund's average net assets on an annualized basis.
*** Does not include the expenses of the Underlying Funds in which the Fund invests.
The Principal LifeTime 2030 Fund's expenses, assuming implementation of the Plan
on May 21, 2003, as a percentage of average daily net assets are as follows:
PRINCIPAL LIFETIME 2030 FUND
---------------------------------------------------------------
ADVISORS ADVISORS
PREFERRED PREFERRED SELECT SELECT INSTITUTIONAL
FUND OPERATING EXPENSES CLASS CLASS CLASS CLASS CLASS CLASS J
----------------------- --------- --------- ------ -------- ------------- -------
Management Fees 0.1225% 0.1225% 0.1225% 0.1225% 0.1225% 0.1225%
12b-1 Fees 0.0000 0.2500 0.1000 0.3000 0.0000 0.5000
Other Expenses 0.2600 0.3200 0.2800 0.4500 0.0000 0.9600
------ ------ ------ ------ ------ ------
Total Operating Expenses* 0.3825% 0.6925% 0.5025% 0.8725% 0.1225% 1.5825%
* Does not include the expenses of the Underlying Funds in which the Fund invests.
The following is an example of the effect of the operating expenses of each of
the Funds as of October 31, 2002. The examples assume (1) a 5% annual return,
and (2) each Fund's operating expenses remain the same. Although your actual
costs may be higher or lower, you would pay the following expenses on a $10,000
investment in shares of each Fund, based upon these assumptions:
NUMBER OF YEARS YOU OWN YOUR PREFERRED CLASS SHARES
----------------------------------------------------
1 YEAR 3 YEARS 5 YEARS 10 YEARS
----------- ------------ ------------ ---------------
Principal LifeTime
2030 Fund $39 $123 $215 $484
Balanced Fund 78 243 422 942
NUMBER OF YEARS YOU OWN YOUR ADVISORS PREFERRED CLASS SHARES
-------------------------------------------------------------
1 YEAR 3 YEARS 5 YEARS 10 YEARS
------------- -------------- -------------- -----------------
Principal LifeTime
2030 Fund $ 71 $221 $386 $ 862
Balanced Fund 109 340 590 1,306
9
NUMBER OF YEARS YOU OWN YOUR SELECT CLASS SHARES
-------------------------------------------------
1 YEAR 3 YEARS 5 YEARS 10 YEARS
---------- ----------- ----------- --------------
Principal LifeTime 2030
Fund $51 $161 $281 $ 631
Balanced Fund 90 281 488 1,084
NUMBER OF YEARS YOU OWN YOUR ADVISORS SELECT CLASS SHARES
----------------------------------------------------------
1 YEAR 3 YEARS 5 YEARS 10 YEARS
------------ ------------- ------------- ----------------
Principal LifeTime
2030 Fund $ 89 $278 $484 $1,075
Balanced Fund 127 397 686 1,511
NUMBER OF YEARS YOU OWN YOUR INSTITUTIONAL CLASS SHARES
--------------------------------------------------------
1 YEAR 3 YEARS 5 YEARS 10 YEARS
------------ ------------- ------------- ----------------
Principal LifeTime
2030 Fund $13 $ 40 $ 69 $157
Balanced Fund 51 160 280 628
IF YOU SELL YOUR CLASS J SHARES
--------------------------------------------
NUMBER OF YEARS YOU OWN YOUR CLASS J SHARES
--------------------------------------------
1 YEAR 3 YEARS 5 YEARS 10 YEARS
---------- ----------- ----------- --------------
Principal LifeTime 2030
Fund $272 $523 $ 902 $1,965
Balanced Fund 316 658 1,129 2,431
IF YOU DO NOT SELL YOUR CLASS J SHARES
--------------------------------------------
NUMBER OF YEARS YOU OWN YOUR CLASS J SHARES
--------------------------------------------
1 YEAR 3 YEARS 5 YEARS 10 YEARS
---------- ----------- ----------- --------------
Principal LifeTime 2030
Fund $169 $523 $ 902 $1,965
Balanced Fund 213 658 1,129 2,431
The following is an example of the effect of the operating expenses of the
Principal LifeTime 2030 Fund, assuming implementation of the Plans on May 21,
2003. The examples assume (1) a 5% annual return, and (2) the Fund's operating
expenses remain the same. Although your actual costs may be higher or lower, you
would pay the following expenses on a $10,000 investment in shares of the
Principal LifeTime 2030 Fund, based upon these assumptions:
NUMBER OF YEARS YOU OWN YOUR PREFERRED CLASS SHARES
----------------------------------------------------
1 YEAR 3 YEARS 5 YEARS 10 YEARS
----------- ------------ ------------ ---------------
Principal LifeTime
2030 Fund $39 $123 $215 $484
NUMBER OF YEARS YOU OWN YOUR ADVISORS PREFERRED CLASS SHARES
-------------------------------------------------------------
1 YEAR 3 YEARS 5 YEARS 10 YEARS
------------- -------------- -------------- -----------------
Principal LifeTime
2030 Fund $71 $221 $386 $862
NUMBER OF YEARS YOU OWN YOUR SELECT CLASS SHARES
-------------------------------------------------
1 YEAR 3 YEARS 5 YEARS 10 YEARS
---------- ----------- ----------- --------------
Principal LifeTime 2030
Fund $51 $161 $281 $631
NUMBER OF YEARS YOU OWN YOUR ADVISORS SELECT CLASS SHARES
----------------------------------------------------------
1 YEAR 3 YEARS 5 YEARS 10 YEARS
------------ ------------- ------------- ----------------
Principal LifeTime
2030 Fund $89 $278 $484 $1,075
NUMBER OF YEARS YOU OWN YOUR INSTITUTIONAL CLASS SHARES
--------------------------------------------------------
1 YEAR 3 YEARS 5 YEARS 10 YEARS
------------ ------------- ------------- ----------------
Principal LifeTime
2030 Fund $13 $40 $69 $157
10
IF YOU SELL YOUR CLASS J SHARES
--------------------------------------------
NUMBER OF YEARS YOU OWN YOUR CLASS J SHARES
--------------------------------------------
1 YEAR 3 YEARS 5 YEARS 10 YEARS
---------- ----------- ----------- --------------
Principal LifeTime 2030
Fund $264 $500 $862 $1,881
IF YOU DO NOT SELL YOUR CLASS J SHARES
--------------------------------------------
NUMBER OF YEARS YOU OWN YOUR CLASS J SHARES
--------------------------------------------
1 YEAR 3 YEARS 5 YEARS 10 YEARS
---------- ----------- ----------- --------------
Principal LifeTime 2030
Fund $161 $500 $862 $1,881
PURCHASES
- ---------
Shares of the Principal LifeTime 2030 Fund and the Balanced Fund are offered for
sale through Princor Financial Services Corporation ("Princor"), a broker-dealer
that is also the principal underwriter for the Investors Fund, or other dealers
which it selects.
ONGOING FEES
- ------------
The Principal LifeTime 2030 Fund and the Balanced Fund pay ongoing fees to the
Manager. Some of the share classes of each Fund also pay ongoing fees to Princor
and others who provide services to the Funds. These fees reduce the value of
each share you own.
DISTRIBUTION (12B-1) FEES
- -------------------------
The Investors Fund has adopted a Distribution Plan under Rule 12b-1 of the
Investment Company Act of 1940 for its Advisors Preferred, Advisors Select,
Select and Class J shares for the Principal LifeTime 2030 Fund and the Balanced
Fund. Under each Distribution Plan, each Fund pays a fee to Princor based on the
average daily net asset values attributable to these share classes. These
ongoing fees pay expenses relating to distribution of shares of the four share
classes referred to above and for services Princor and other selling dealers
provide to shareholders of those classes of shares. Because they are ongoing,
the fees may, over time, exceed other types of sales charges such as front-end
charges or contingent deferred sales charges.
12B-1 FEE
---------
Advisors Preferred Class Shares 0.25%
Advisors Select Class Shares... 0.30%
Select Class Shares............ 0.10%
Class J Shares................. 0.50%
EXCHANGES
- ---------
Shares of the Principal LifeTime 2030 Fund and the Balanced Fund may be
exchanged, without payment of a sales charge or CDSC, for shares of the same
class of other series of the Investors Fund. If Class J shares are exchanged for
Class J shares of another series, the shares acquired by the exchange will be
subject to the applicable CDSC imposed by the new series; however, the holding
period of the Class J shares exchanged is added to the holding period of the
acquired Class J shares for purposes of determining the applicable charge.
REDEMPTION PROCEDURES AND FEES
- ------------------------------
Shares of the Principal LifeTime 2030 Fund and the Balanced Fund may be redeemed
at a price equal to the net asset value of the shares next computed following
the receipt of a request for redemption in proper form. With respect to Class J
shares, the amount you receive will be reduced by any applicable CDSC or
redemption fee.
Generally, the sale proceeds are sent to you on the day following the day you
place the sell order.
DIVIDENDS AND DISTRIBUTIONS
- ---------------------------
The Principal LifeTime 2030 Fund and the Balanced Fund each pay its net
investment income on an annual basis. Payments are made to shareholders of
record on the business day prior to the payment date. The payment date for the
Balanced Fund is December 23rd (or previous business day). The payment date for
the Principal LifeTime 2030 Fund is December 27th (or previous business day).
11
Net realized capital gains, if any, are distributed annually. Generally the
distribution for the Balanced Fund is made on the fourth business day of
December and for the Principal LifeTime 2030 Fund is made on the sixth business
day of December. Payments are made to shareholders of record on the business day
prior to the payable date. Capital gains the Funds distribute to shareholders
may be taxable at different rates, depending on the length of time that the Fund
holds its assets.
Immediately prior to the reorganization, the Principal LifeTime 2030 Fund and
the Balanced Fund will pay a dividend or dividends which, together with all
previous dividends, will have the effect of distributing to their respective
shareholders all of their investment company taxable income for taxable years
ending on or prior to the reorganization (computed without regard to any
deduction for dividends paid) and all of its net capital gains, if any, realized
in taxable years ending on or prior to the reorganization (after reduction for
any available capital loss carry forward). Such dividends will be included in
the taxable income each Fund distributes to its shareholders.
FEDERAL INCOME TAX CONSEQUENCES OF THE PROPOSED COMBINATION
- -----------------------------------------------------------
The combination will be a tax-free "reorganization" under Section 368 of the
Internal Revenue Code of 1986, as amended (the "Code"). In the opinion of tax
counsel to the Investors Fund, no gain or loss will be recognized by either Fund
or either Fund's shareholders in connection with the combination, and the tax
cost basis of the Principal LifeTime 2030 Fund shares received by shareholders
of the Balanced Fund will equal the tax cost basis of their shares in the
Balanced Fund and their holding period of the Principal LifeTime 2030 Fund
shares will include the time during which the shareholders held the Balanced
Fund shares.
COSTS AND EXPENSES
- ------------------
The Manager will bear all out-of-pocket fees and expenses incurred by the Funds
in connection with the transactions contemplated by the Plan.
CONTINUATION OF SHAREHOLDER ACCOUNTS
- ------------------------------------
At the effective time of the Plan, you will cease to be a shareholder of the
Balanced Fund and will become a shareholder of the Principal LifeTime 2030 Fund
owning the same class of shares of the Principal LifeTime 2030 Fund having the
same value as the investment you had in the Balanced Fund at the effective time.
PRINCIPAL RISK FACTORS
The primary investment objective of the Principal LifeTime 2030 Fund and the
Balanced Fund is to seek long-term growth of capital. The Balanced Fund invests
primarily in common stocks and corporate bonds. The Principal LifeTime 2030 Fund
invests in shares of other series of Principal Investors Fund and is commonly
referred to as a "fund of funds." In addition, over time the Principal LifeTime
2030 Fund will shift the percentage of its portfolio invested in the Underlying
Funds to accommodate investors progressing from an asset accumulation objective
to an income generating objective. As with all mutual funds, as the values of
the assets of each Fund rise or fall, the share prices change for each. If you
sell your shares when their value is less than the price you paid, you will lose
money.
MAIN RISKS FOR THE BALANCED FUND
The value of the stocks owned by the Balanced Fund changes on a daily basis.
Stock prices reflect the activities of individual companies as well as general
market and economic conditions. In the short-term, stock prices can fluctuate
dramatically in response to these factors. Foreign stocks carry risks that are
not generally found in stocks of U.S. companies. These include the risk that a
foreign security could lose value as a result of political, financial and
economic events in foreign countries. In addition, foreign securities may be
subject to securities regulators with less stringent accounting and disclosure
standards than are required of U.S. companies.
Fixed-income security values change daily. Their prices reflect changes in
interest rates, market conditions and amusements of other economic, political or
financial information. When interest rates fall, the price of a bond rises and
when interest rates rise, the price declines.
Because the Balanced Fund invests in both stocks and bonds, the Fund may
under-perform stock funds when stocks are in favor and under-perform bond funds
when bonds are in favor.
12
MAIN RISKS FOR THE PRINCIPAL LIFETIME 2030 FUND
The Principal LifeTime 2030 Fund's investments are concentrated in the
Underlying Funds and, as a result, the Principal LifeTime 2030 Fund's
performance is directly related to their performance. The Principal LifeTime
2030 Fund's ability to meet its investment objective depends on the ability of
the Underlying Funds to achieve their investment objectives. Consequently, the
Principal LifeTime 2030 Fund is subject to the particular risks of the
Underlying Funds in the proportions in which the Fund invests in them.
The Principal LifeTime 2030 Fund's broad diversification is designed to cushion
severe losses in any one investment sector and moderate the Fund's overall price
swings. However, the Fund's share prices will fluctuate as the prices of the
Underlying Funds rise or fall with changing market conditions.
Because it purchases equity securities, the Principal LifeTime 2030 Fund is
subject to the risk that stock prices will fall over short or extended periods
of time. A company in which a particular Underlying Fund invests may report poor
results or be negatively affected by industry and/or economic trends and
developments. In response, the price of the securities issued by such companies
may decline. In addition, the Manager's assessment of the potential growth of
Underlying Funds held by the Principal LifeTime 2030 Fund may prove incorrect,
resulting in losses or poor performance even in a rising market. These factors
contribute to price volatility, which is the principal risk of investing in the
Fund.
In addition to the general stock market, certain Underlying Funds have
additional risks. Investments in companies with smaller market capitalizations
may involve greater risks and price volatility (wide, rapid fluctuations) than
investments in larger, more mature companies. To the extent an Underlying Fund
invests in foreign securities, it is also subject to the risk that a foreign
security could lose value as a result of political, financial and economic
events in foreign countries. In addition, foreign securities may be subject to
securities regulators with less stringent accounting and disclosure standards
than are required of U.S. companies.
The values of the fixed-income securities in which certain Underlying Funds
invest change daily. Their prices reflect changes in interest rates, market
conditions and announcements of other economic, political of financial
information. When interest rates fall, the price of a bond rises and when
interest rates rise, the price declines.
THE PLAN
PLAN OF ACQUISITION
- -------------------
The terms of the Plan are summarized below. The summary is qualified in its
entirety by reference to the Plan, a copy of which is attached as Appendix A.
Under the Plan, the Principal LifeTime 2030 Fund will acquire all the assets and
assume all the liabilities of the Balanced Fund and will issue to the Balanced
Fund the number of shares of Common Stock of each share class of the Principal
LifeTime 2030 Fund that has a net asset value equal to the net asset value
attributable to each corresponding share class of the Balanced Fund. We expect
that the closing date will be May 21, 2003, assuming shareholder approval of the
Plan, and that the effective time will be the close of regular trading on the
NYSE at 3:00 P.M., Central Daylight Time, on that date. The series will
determine their net asset values as of the effective time using the procedures
described in the Investors Fund's prospectus (the procedures applicable to the
Principal LifeTime 2030 Fund and the Balanced Fund are identical). The Principal
LifeTime 2030 Fund will issue to the Balanced Fund a number of shares of each
share class equal to the value of the net assets of each corresponding share
class of the Balanced Fund outstanding at the effective time. The Balanced Fund
will be managed such that at the effective time it will hold only cash or cash
equivalents.
Immediately after the effective time, the Balanced Fund will distribute to you
its Principal LifeTime 2030 Fund shares of the same class as the Balanced Fund
shares you own in exchange for all your Balanced Fund shares of that class. You
will receive shares of the Principal LifeTime 2030 Fund that are equal in value
to the shares of the Balanced Fund you surrender in the exchange. In connection
with the exchange, the Principal LifeTime 2030 Fund will credit on its books an
appropriate number of its shares to the account of each Balanced Fund
shareholder, and the Balanced Fund will cancel on its books all its shares
registered to the account of that shareholder. Any outstanding certificate for
Balanced Fund shares that is not surrendered will be deemed to represent the
number of Principal LifeTime 2030 Fund shares
13
for which the Balanced Fund shares have been exchanged. After the effective
time, the Balanced Fund will dissolve in accordance with applicable law.
The consummation of the transactions contemplated by the Plan for the Balanced
Fund is subject to the approval of the Plan by the shareholders of the Balanced
Fund. The Plan may be amended, but no amendment may be made to the Plan which in
the opinion of the Board of Directors would materially adversely affect the
interests of the shareholders of the Balanced Fund after the shareholders of the
Balanced Fund have approved the Plan. The Board of Directors may terminate the
Plan at any time before the effective time if it believes that consummation of
the transactions contemplated by the Plan would not be in the best interests of
the shareholders.
The Manager will pay all fees and out-of-pocket expenses incurred by the Funds
in connection with the transactions contemplated by the Plan.
DESCRIPTION OF SECURITIES TO BE ISSUED
- --------------------------------------
The share classes of the Principal LifeTime 2030 Fund are shares of common
stock, par value $.01 per share. They have the same rights with respect to the
Principal LifeTime 2030 Fund as the share classes of the Balanced Fund have with
respect to the Balanced Fund. Each share is entitled to one vote and has equal
rights with every other share as to dividends, earnings, voting, assets and
redemption. There is no cumulative voting for directors. Shares are fully paid
and non-assessable, have no preemptive or conversion rights and are freely
transferable. Each fractional share has proportionately the same rights as are
provided for a full share. As of April 7, 2003, the Principal LifeTime 2030 Fund
had the following number of shares of each class outstanding:
NUMBER OF OUTSTANDING
CLASS SHARES
----- ---------------------
Preferred
Advisors Preferred
Select
Advisors Select
Institutional
Class J
REASONS FOR THE PROPOSED COMBINATION
- ------------------------------------
The Balanced Fund has a relatively small amount of assets and has experienced
limited sales of shares. Shares of the Balanced Fund and Principal LifeTime 2030
Fund are used primarily to fund employer-sponsored retirement plans and
Individual Retirement Accounts. The Board believes the Principal LifeTime 2030
Fund would be more likely to garner assets from retirement-oriented investors
than the Balanced Fund. The likelihood that the Balanced Fund will achieve
significant asset levels in the foreseeable future is low. The Board for the
Balanced Fund considered these and other factors and determined that the
proposed Plan would be in the best interests of the Balanced Fund and its
shareholders, that the terms of the Plan are fair and reasonable and that the
interests of the shareholders of the Balanced Fund will not be diluted as a
result of the transactions contemplated by the Plan.
The Plan has been approved by the Board of Directors of the Principal LifeTime
2030 Fund and the Balanced Fund, including all of the directors who are not
"interested persons" as defined in Section 2(a)(19) of the Investment Company
Act. In approving the Plan, the Boards considered the following factors, among
others: (1) possible alternatives to the Plan; (2) the terms and conditions of
the Plan and whether its implementation would result in dilution of shareholder
interests or involve overreaching by any person concerned; (3) the advantages to
the Balanced Fund's shareholders of investing in a larger asset pool with
greater diversification; (4) any direct or indirect fees or expenses incurred by
the Fund as a result of the Plan; (5) expense ratios and available information
regarding the fees and expenses of the Funds, including any change in fees or
expenses to be paid or borne by shareholders of the Balanced Fund (direct or
indirectly) as a result of the Plan; (6) comparative investment performances of
the Funds; (7) the direct or indirect federal income tax consequences of the
Plan to shareholders of the Balanced Fund; (8) the continuity of or changes in
services to be provided to shareholders following implementation of the Plan;
and (9) the compatibility of the investment objectives and policies of the Funds
and changes with respect to the investment objectives and policies of the
Balanced Fund that will result from the Plan.
FEDERAL INCOME TAX CONSEQUENCES
- -------------------------------
To be considered a tax-free "reorganization" under Section 368 of the Code, a
reorganization must exhibit a continuity of business enterprise. Because the
Principal LifeTime 2030 Fund will use a portion of the Balanced Fund's assets in
14
its business and will continue the Balanced Fund's historic business, the
combination of the Balanced Fund with the Principal LifeTime 2030 Fund will
exhibit a continuity of business enterprise. Therefore, the combination will be
considered a tax-free "reorganization," under applicable provisions of the Code.
In the opinion of tax counsel to the Investors Fund, no gain or loss will be
recognized by either of the Funds or their shareholders in connection with the
combination, the tax cost basis of the Principal LifeTime 2030 Fund shares
received by shareholders of the Balanced Fund will equal the tax cost basis of
their shares in the Balanced Fund, and their holding periods for the Principal
LifeTime 2030 Fund shares will include their holding periods for the Balanced
Fund shares.
As of October 31, 2002, the Balanced Fund had an accumulated capital loss
carryforward in the amount of approximately $2,069,000. After the
reorganization, this loss will be available to the Principal LifeTime 2030 Fund
to offset its capital gains, although the amount of offsetting losses available
in any given year may be limited. As a result of this limitation, it is possible
that the Principal LifeTime 2030 Fund may not be able to use these losses as
rapidly as the Balanced Fund might have, and part of these losses may not be
useable at all. The ability of the Principal LifeTime 2030 Fund to utilize the
accumulated capital loss carry-forward in the future depends upon a variety of
factors that cannot be known in advance, including the existence of capital
gains against which these losses may be offset. In addition, the benefits of any
capital loss carryfoward currently are available only to shareholders of the
Balanced Fund. After the reorganization, however, these benefits will inure to
the benefit of all shareholders of the Principal LifeTime 2030 Fund.
The foregoing is only a summary of the principal federal income tax consequences
of the combination and should not be considered to be tax advice. There can be
no assurance that the Internal Revenue Service will concur on all or any of the
issues discussed above. You may wish to consult with your own tax advisers
regarding the federal, state, and local tax consequences with respect to the
foregoing matters and any other considerations which may apply in your
particular circumstances.
CAPITALIZATION
- --------------
The following table shows the capitalization of the Balanced Fund and the
Principal LifeTime 2030 Fund separately, as of February 28, 2003, and combined
in the aggregate (unaudited), as of that date, giving effect to the Plan:
BALANCED FUND
----------------------------------------------------------------------------
ADVISORS ADVISORS
PREFERRED PREFERRED SELECT INSTITUTIONAL
CLASS CLASS CLASS SELECT CLASS CLASS CLASS J
--------- --------- -------- ------------ ------------- -------
Net Assets $2,248,373 $1,077,399 $1,379,424 $973,236 $8,074 $16,872,299
Net Asset Value Per
Share $ 7.78 $ 7.79 $ 7.78 $ 7.79 $ 7.74 $ 7.75
Shares Outstanding 288,853 138,221 177,363 124,999 1,043 2,177,506
PRINCIPAL LIFETIME 2030 FUND
-------------------------------------------------------------------------
ADVISORS ADVISORS
PREFERRED PREFERRED SELECT INSTITUTIONAL
CLASS CLASS CLASS SELECT CLASS CLASS CLASS J
--------- --------- -------- ------------ ------------- -------
Net Assets $681,729 $2,094,994 $366,291 $8,516 $61,100,381 $12,495,898
Net Asset Value Per
Share $ 8.52 $ 8.51 $ 8.51 $ 8.52 $ 8.51 $ 8.55
Shares Outstanding 80,000 246,143 43,056 1,000 7,175,905 1,462,267
COMBINED PRINCIPAL LIFETIME 2030 FUND
----------------------------------------------------------------------------
ADVISORS ADVISORS
PREFERRED PREFERRED SELECT INSTITUTIONAL
CLASS CLASS CLASS SELECT CLASS CLASS CLASS J
--------- --------- -------- ------------ ------------- -------
$2,930,102 $1,745,715 $981,752 $61,108,455 $29,368,197
Net Assets $3,172,393
Net Asset Value Per
Share $ 8.52 $ 8.51 $ 8.51 $ 8.52 $ 8.51 $ 8.55
Shares Outstanding 343,894 372,747 205,151 115,230 7,176,854 3,435,635
15
MANAGEMENT'S DISCUSSION OF PRINCIPAL LIFETIME 2030 FUND PERFORMANCE
The following discussion relates to the performance of the Principal LifeTime
2030 Fund during its most recent fiscal year, which ended October 31, 2002.
The Principal Investors Fund - Principal LifeTime 2030 Fund underperformed the
60% S&P 500/40% Lehman Aggregate Index for the year primarily due to the
overweighted position in stocks versus bonds. For the one year period ended
October 31, 2002, the Fund returned -7.26% compared to -6.68% for the Index.
Individual security selection tended to add value, but overall performance
suffered due to the Fund's overweighted equity position. The overweighted
position in value companies versus growth companies tended to make a marginal
contribution to the Fund's performance. International exposure was positive for
overall Fund returns for the year. The fixed-income holdings continued to
provide competitive returns for the Fund.
GROWTH OF $10,000
Cumulative Returns
as of October 31, 2002
Class 1 Year Life of Fund*
Advisors Preferred -7.09% -7.27%
Advisors Select -7.26% -7.43%
J -8.44% -9.63%
Institutional -6.63% -6.76%
Preferred -6.89% -7.03%
Select -6.91% -7.10%
60% S&P
500/40%
Lehman Lehman
Brothers Standard & Brothers Morningstar Principal
Aggregate Poor's 500 Aggregate Domestic LifeTime 2030
Bond Stock Bond Hybrid Fund,
Index Index Index Category Advisors Select
10 10 10 10 10
"2001" 9.458 8.612 10.794 9.447 9.48
"2002" 9.826 7.311 11.43 9.93 9.792
Note: Past performance is not predictive of future performance.
The performance of Advisors Preferred, Preferred, Select, Institutional,
and Class J shares will vary from the performance of Advisors Select
shares based on the differences in sales charges and fees. The returns
shown do not reflect taxes, if any, that a shareholder would pay on Fund
distributions or on the redemption of Fund shares.
* The inception date of the Class J shares was June 15, 2001.
The Advisors Preferred, Advisors Select, Institutional, Preferred
and Select Classes inception was March 1, 2001.
LOGO
The equity markets continued to disappoint investors with sharp price declines
during the past year. Investor confidence is at low levels as the economy
remains troubled and companies provide analysts with negative information about
future quarters' earnings. The earnings shortfall and increased expectations of
expanded overseas military activity kept the equity market in a downturn. The
fixed-income markets advanced during the year as inflation remained low and
yields moved down, increasing bond prices. The difference in yield between
various fixed-income securities became wider as investors sought the safety of
government securities. The economic future remains uncertain as economists
continue to debate when the recovery will boost the financial markets.
Investors are uncomfortable with the equity markets for a number of reasons,
including lack of earnings growth, continued financial scandals and a lackluster
economy. As a result, investors have begun scrutinizing company financial
statements more carefully to identify the quality firms. The integrity of
financial reporting and companies' ability to grow earnings even in a slowing
economic environment will be increasingly important to investors. Now that
company CEOs must sign reported financial statements and assume personal
liability for those numbers, investors may begin to feel more confident about
the quality of reported earnings.
The equity markets experienced declines across all areas during the past year.
Small-cap companies generally were down less than larger firms. International
markets were down sharply and domestic growth and value firms fell together.
Fixed-income markets advanced as yields dropped and prices increased across all
maturities.
The Fund continues to maintain a diversified position with investments in
domestic equities, foreign equities and domestic fixed-income securities. The
Fund will remain overweighted in stocks versus bonds until a clear economic and
market environment favors one asset class over the other. An improving economic
environment in the coming year could provide value to the Fund's equity and
fixed-income components.
1) LEHMAN BROTHERS AGGREGATE BOND INDEX represents securities that are U.S.
domestic, taxable, and dollar denominated. The index covers the U.S.
investment grade fixed rate bond market, with index components for
government and corporate securities, mortgage pass-through securities, and
asset-backed securities. These major sectors are subdivided into more
specific indices that are calculated and reported on a regular basis.
2) MORNINGSTAR DOMESTIC HYBRID CATEGORY consists of domestic-hybrid funds that
divide their assets among stocks. These funds tend to focus on conservative
stocks and bonds.
3) S&P 500 INDEX is a market capitalization-weighted index of 500 widely
held stocks often used as a proxy for the stock market. It measures the
movement of the largest issues. Standard & Poor's chooses the member
companies for the 500 based on market size, liquidity and industry
group representation. Included are the stocks of industrial,
financial, utility and transportation companies.
16
COMPARISON OF INVESTMENT OBJECTIVES, POLICIES AND RESTRICTIONS
The investment objectives of each Fund is fundamental and certain investment
restrictions which are designated as such in each Fund's prospectus or Statement
of Additional Information are fundamental policies that may not be changed
without approval by the holders of the lesser of: (i) 67% of the Fund's shares
present or represented at a shareholder's meeting at which the holders of more
than 50% of such shares are present or represented by proxy; or (ii) more than
50% of the outstanding shares of the Fund. All other investment policies and
restrictions are not fundamental and may be changed by the Investors Fund Board
of Directors without shareholder approval.
PRINCIPAL LIFETIME 2030 FUND
- ----------------------------
The Principal LifeTime 2030 Fund seeks to generate a total return consisting of
long-term growth of capital and current income.
PRINCIPAL LIFETIME 2030 FUND STRATEGY
To pursue its goal, the Principal LifeTime 2030 Fund invests in shares of other
Investors Funds (the "Underlying Funds"). The Underlying Funds are intended to
give the Fund broad exposure to the domestic and foreign equity and fixed-income
markets. At any time, the Sub-Advisors, PGI may add or substitute Underlying
Funds in which the Fund invests.
Currently, approximately 60% of the Principal LifeTime 2030 Fund's assets are
invested in equity securities and 40% in fixed-income securities. In deciding
how to allocate the Fund's assets among the Underlying Funds, PGI considers
long-term asset class returns and volatility assumptions. There are no minimum
or maximum percentages in which the Principal LifeTime 2030 Fund must invest in
any Underlying Fund.
As of December 31, 2002, the Principal LifeTime 2030 Fund's assets were
allocated among the following Underlying Funds as follows:
Bond & Mortgage Securities 18.8% Partners LargeCap Growth I 7.3%
Government Securities 10.2 Partners LargeCap Value 11.8
International Emerging Partners SmallCap Growth I
Markets 2.2 2.9
International I 11.2 Preferred Securities 5.5
LargeCap Growth 8.8 SmallCap Growth 3.5
LargeCap Value 11.2 SmallCap Value 6.6
Over time, shifts in the allocations to the Underlying Funds will be designed to
accommodate investors progressing from asset accumulation years to
income-generations years. PGI intends to allocate the Principal LifeTime 2030
Fund's assets so that approximately five to ten years after the year 2030, the
Fund's assets in the Underlying Funds matches the asset allocation of the
Principal LifeTime Strategic Income Fund. At that time, the Principal LifeTime
2030 Fund may be combined with the Principal LifeTime Strategic Income Fund. The
Board of Directors would need to determine at the time of the proposed
combination that the combining of the funds is the best interests of the funds'
shareholders.
BALANCED FUND
- -------------
The Balanced Fund seeks to generate a total return consisting of current income
and long-term growth of capital.
BALANCED FUND STRATEGY
The Balanced Fund seeks growth of capital and current income by investing
primarily in common stocks and corporate bonds. It may also invest in other
equity securities, government bonds and notes (obligations of the U.S.
government or its agencies or instrumentalities) and cash. Though the
percentages in each category are not fixed, common stocks generally represent
40% to 70% of the Balanced Fund's assets. The remainder of the Balanced Fund's
assets is invested in bonds and cash.
PGI serves as Sub-Advisor for the Balanced Fund. In making its selection of
equity securities, PGI looks for companies that have predictable earnings and
which, based on growth prospects, it believes are undervalued in the
marketplace. PGI buys stocks with the objective of long-term capital
appreciation. From time to time, PGI purchases stocks with the
17
expectation of price appreciation over the short-term. In response to changes in
economic conditions, PGI may change the make-up of the portfolio and emphasize
different market sectors by buying and selling the portfolio's stocks. The
Balanced Fund may invest up to 25% of its assets in securities of foreign
companies.
Fixed-income securities are purchased to generate income and for capital
appreciation purposes when PGI thinks that declining interest rates may increase
market value. Deep discount bonds (those which sell at a substantial discount
from their face amount) are also purchased to generate capital appreciation. The
Balanced Fund may invest in bonds with speculative characteristics but does not
intend to invest more than 5% of its assets in securities rated below BBB by
Standard & Poor's Rating Service or Baa by Moody's Investors Service, Inc.
Fixed-income securities that are not investment grade are commonly referred to
as "junk bonds" or high yield securities. These securities offer a higher yield
than other, higher rated securities, but they carry a greater degree of risk and
are considered speculative by the major credit rating agencies.
The Balanced Fund and each of the Underlying Funds in which the Principal
LifeTime 2030 Fund invests have the same investment policies and restrictions.
BALANCED FUND AND UNDERLYING FUND INVESTMENT POLICIES AND RESTRICTIONS
Fundamental Restrictions
- ------------------------
Each of the following restrictions for the Balanced Fund and each of the
Underlying Funds in which the Principal LifeTime 2030 Fund invests is a matter
of fundamental policy and may not be changed without shareholder approval. The
Funds may not:
. Issue any senior securities as defined in the 1940 Act, as amended.
Purchasing and selling securities and futures contracts and options thereon
and borrowing money in accordance with restrictions described below do not
involve the issuance of a senior security.
. Invest in physical commodities or commodity contracts (other than foreign
currencies), but it may purchase and sell financial futures contracts,
options on such contracts, swaps and securities backed by physical
commodities.
. Invest in real estate, although it may invest in securities that are secured
by real estate and securities of issuers that invest or deal in real estate.
. Borrow money, except that it may a) borrow from banks (as defined in the
1940 Act, as amended) or other financial institutions or through reverse
repurchase agreements in amounts up to 33 1/3% of its total assets
(including the amount borrowed); b) to the extent permitted by applicable
law, borrow up to an additional 5% of its total assets for temporary
purposes; c) obtain short-term credits as may be necessary for the clearance
of purchases and sales of portfolio securities; and d) purchase securities
on margin to the extent permitted by applicable law (the deposit or payment
of margin in connection with transactions in options and financial futures
contracts is not considered purchase of securities on margin).
. Make loans, except that the series may a) purchase and hold debt obligations
in accordance with its investment objective and policies; b) enter into
repurchase agreements; and c) lend its portfolio securities without
limitation against collateral (consisting of cash or securities issued or
guaranteed by the U.S. Government or its agencies or instrumentalities)
equal at all times to not less than 100% of the value of the securities
loaned. This limit does not apply to purchases of debt securities or
commercial paper.
. Invest more than 5% of its total assets in the securities of any one issuer
(other than obligations issued or guaranteed by the U.S. Government or its
agencies or instrumentalities) or purchase more than 10% of the outstanding
voting securities of any one issuer, except that this limitation shall apply
only with respect to 75% of the total assets of the series.
. Act as an underwriter of securities, except to the extent that the series
may be deemed to be an underwriter in connection with the sale of securities
held in its portfolio.
. Concentrate its investments in any particular industry, except that the
series may invest up to 25% of the value of its total assets in a single
industry, provided that, when the series has adopted a temporary defensive
posture, there shall be no limitation on the purchase of obligations issued
or guaranteed by the U.S. Government or its agencies or instrumentalities.
. Sell securities short (except where the series holds or has the right to
obtain at no added cost a long position in the securities sold that equals
or exceeds the securities sold short).
Non-Fundamental Restrictions
- ----------------------------
18
The Balanced Fund and each of the Underlying Funds in which the Principal
LifeTime 2030 Fund invests have also adopted the following restrictions that are
not fundamental policies and that may be changed without shareholder approval.
It is contrary to each Fund's present policy to:
. Invest more than 15% of its net assets in illiquid securities and in
repurchase agreements maturing in more than seven days except to the extent
permitted by applicable law.
. Pledge, mortgage or hypothecate its assets, except to secure permitted
borrowings. The deposit of underlying securities and other assets in escrow
and other collateral arrangements in connection with transactions in put or
call options, futures contracts and options on futures contracts are not
deemed to be pledges or other encumbrances.
. Invest in companies for the purpose of exercising control or management.
. Enter into a) any futures contracts and related options for non-bona fide
hedging purposes within the meaning of Commodity Futures Trading Commission
(CFTC) regulations if the aggregate initial margin and premiums required to
establish such positions will exceed 5% of the fair market value of the
series' net assets, after taking into account unrealized profits and
unrealized losses on any such contracts it has entered into; and b) any
futures contracts if the aggregate amount of such series' commitments under
outstanding futures contracts positions would exceed the market value of its
total assets.
. Invest more than 5% of its total assets in real estate limited partnership
interests.
. Acquire securities of other investment companies in reliance on Section
12(d) (1) (F) or (G) of the 1940 Act.
PRINCIPAL LIFETIME 2030 FUND INVESTMENT POLICIES AND RESTRICTIONS
- -----------------------------------------------------------------
Fundamental Restrictions
- ------------------------
Each of the following restrictions is a matter of fundamental policy of the
Principal LifeTime 2030 Fund and may not be changed without shareholder
approval. The Principal LifeTime 2030 Fund may not:
.. Issue senior securities as defined in the 1940 Act. Purchasing and selling
securities and futures contracts and options thereon and borrowing money in
accordance with restrictions described below do not involve the issuance of a
senior security.
.. Purchase or sell commodities or commodities contracts except that the Fund may
invest in Underlying Funds that may purchase or write interest rate, currency
and stock and bond index futures contracts and related options thereon.
.. Purchase or sell real estate or interests therein, although the Fund may
purchase Underlying Funds which purchase securities of issuers that engage in
real estate operations and securities secured by real estate or interests
therein.
.. Borrow money, except that it may a) borrow from banks (as defined in the 1940
Act) or other financial institutions in amounts up to 33 1/3% of its total
assets (including the amount borrowed) and b) to the extent permitted by
applicable law, borrow up to an additional 5% of its total assets for
temporary purposes.
.. Make loans, except that the Fund may a) purchase Underlying Funds which
purchase and hold debt obligations; and b) enter into repurchase agreements.
This limit does not apply to purchases of debt securities or commercial paper
by the Fund or an underlying fund. For the purpose of this restriction,
lending of fund securities by the Underlying Funds are not deemed to be loans.
.. Act as an underwriter of securities, except to the extent that the Fund or an
underlying fund may be deemed to be an underwriter in connection with the sale
of securities held in its portfolio.
.. Invest 25% or more of the value of its total assets in securities of issuers
in any one industry except that the Fund will concentrate its investments in
the mutual fund industry. This restriction does not apply to the Fund's
investments in the mutual fund industry by virtue of its investments in the
Underlying Funds. This restriction also does not apply to obligations issued
or guaranteed by the U.S. Government, its agencies or instrumentalities.
.. Sell securities short.
Non-Fundamental Restrictions
- ----------------------------
The Principal LifeTime 2030 Fund has also adopted the following restrictions
that are not fundamental policies and may be changed without shareholder
approval. It is contrary to the Principal LifeTime 2030 Fund's present policy
to:
.. Pledge, mortgage or hypothecate its assets, except to secure permitted
borrowings. For the purpose of this restriction, collateral arrangements with
respect to the writing of options by the Underlying Funds and collateral
19
arrangements with respect to initial or variation margin for futures by the
Underlying Funds are not deemed to be pledges of assets.
.. Invest in companies for the purpose of exercising control or management.
INVESTMENT ADVISORY SERVICES
- ----------------------------
The Manager serves as investment advisor to the Investors Fund. The Manager has
entered into a sub-advisory agreement with PGI to provide investment advisory
services to the Balanced Fund as well as the Principal LifeTime 2030 Fund and
nine of the twelve Underlying Funds in which the Principal LifeTime 2030 Fund
invested as of December 31, 2002. PGI is a directly wholly-owned subsidiary of
Principal Life and an affiliate of the Manager. The Principal LifeTime 2030 Fund
paid the Manager a fee equal to 0.1225% of the Principal LifeTime 2030 Fund's
average daily net assets for services provided during the fiscal year ended
October 31, 2002 and the Manager paid PGI a sub-advisory fee equal to 0.0425% of
such assets. Based upon the allocation of the Principal LifeTime 2030 Fund's
assets as of December 31, 2002, the Manager's weighted average management fee
for the Underlying Funds was 0.67% of the Fund's average daily net assets.
The Manager has also entered into a sub-advisory agreement with PGI to provide
investment advisory services to the Balanced Fund. The Balanced Fund paid the
Manager a fee equal to 0.50% of the Balanced Fund's average daily net assets for
services provided during the fiscal year ended October 31, 2002 and the Manager
paid PGI a sub-advisory fee of 0.086% of the equity securities portion of such
assets and 0.10% of the fixed-income securities portion of such assets.
If the Plan is approved, a large portion of the combined assets of the Funds
will continue to be sub-advised by PGI, the Manager will receive higher overall
advisory fees with respect to the assets formerly owned by the Balanced Fund,
and the amount of the Manager's expense reimbursement for Class J shares by the
Manager will be reduced.
ADDITIONAL INFORMATION ABOUT THE SERIES
Additional information about the Funds is available in their annual reports to
shareholders for the year ended October 31, 2002, and in the following documents
which have been filed with the SEC: prospectus and Statement of Additional
Information for the Investors Fund (including the Principal LifeTime 2030 Fund
and Balanced Fund) dated March 1, 2003; and Statement of Additional Information
for the registration statement of which this prospectus/ information statement
is a part, dated April 10, 2003. You may obtain copies of the annual reports to
shareholders, the prospectuses and the Statements of Additional Information by
contacting Princor Financial Services Corporation at Des Moines, Iowa
50392-2080, or by telephoning shareholder services toll-free at 1-800-247-4123.
Each of the Funds is subject to the informational requirements of the Securities
Exchange Act of 1934, as amended, and the Investment Company Act, as applicable.
Accordingly, each files reports, proxy materials and other information with
the SEC. You may inspect those reports, proxy materials and other information at
the public reference facilities maintained by the SEC at 450 Fifth Street, N.W.,
Washington, D. C. 20549. Copies of such materials also may be obtained from the
Public Reference Branch, Office of Consumer Affairs and Information Services,
Securities and Exchange Commission, 450 Fifth Street, N.W., Washington, D. C.
20549, at prescribed rates, or at no charge from the EDGAR database on the
Commission's website at "www.sec.gov."
PROPOSALS OF SHAREHOLDERS
A shareholder who has an issue that he or she would like to have included in the
agenda at a Principal Investors Fund shareholder meeting should send the
proposal to the Investors Fund at the Principal Financial Group, Des Moines,
Iowa 50392-0200. To be considered for presentation at a shareholders meeting,
the proposal must be received a reasonable time before a solicitation is made
for such meeting. Timely submission of a proposal does not necessarily mean that
such proposal will be included.
OTHER BUSINESS
We do not know of any business to be brought before the meeting other than the
matters set forth in this prospectus/ information statement.
20
APPENDIX A
PRINCIPAL INVESTORS FUND
PLAN OF ACQUISITION
BALANCED FUND AND PRINCIPAL LIFETIME 2030 FUND
The Board of Directors of Principal Investors Fund (the "Fund") deem it
advisable that the Principal LifeTime 2030 Fund of the Fund acquire all of the
assets of the Balanced Fund in exchange for the assumption by the Principal
LifeTime 2030 Fund of all of the liabilities of the Balanced Fund and shares
issued by the Principal LifeTime 2030 Fund which are thereafter to be
distributed by the Balanced Fund pro rata to its shareholders in complete
liquidation and termination of the Balanced Fund and in exchange for all of the
Balanced Fund's outstanding shares.
The Balanced Fund will transfer to the Principal LifeTime 2030 Fund and the
Principal LifeTime 2030 Fund will acquire from the Balanced Fund, all of the
assets of the Balanced Fund on the Closing Date and will assume from the
Balanced Fund all of the liabilities of the Balanced Fund in exchange for the
issuance of the number of shares of the Principal LifeTime 2030 Fund determined
as provided in the following paragraphs, which will be subsequently distributed
pro rata to the shareholders of the Balanced Fund in complete liquidation and
termination of the Balanced Fund and in exchange for all of the Balanced Fund's
outstanding shares. The Balanced Fund will not issue, sell or transfer any of
its shares after the Closing Date, and only redemption requests received by the
Balanced Fund in proper form prior to the Closing Date shall be fulfilled by the
Balanced Fund. Redemption requests received by the Balanced Fund thereafter will
be treated as requests for redemption of those shares of the Principal LifeTime
2030 Fund allocable to the shareholder in question.
Each Fund will declare to its shareholders of record on or prior to the Closing
Date a dividend or dividends which, together with all previous such dividends,
shall have the effect of distributing to its shareholders all of its income
(computed without regard to any deduction for dividends paid) and all of its net
realized capital gains, if any, as of the Closing Date.
On the Closing Date, the Principal LifeTime 2030 Fund will issue to the Balanced
Fund a number of full and fractional shares of the Principal LifeTime 2030 Fund,
taken at their then net asset value, having an aggregate net asset value equal
to the aggregate value of the net assets of the Balanced Fund. The aggregate
value of the net assets of the Balanced Fund and the Principal LifeTime 2030
Fund shall be determined in accordance with the then current Prospectus of the
Principal LifeTime 2030 Fund as of closing of the New York Stock Exchange on the
Closing Date.
The closing of the transactions contemplated in this Plan (the "Closing") shall
be held at the offices of Principal Management, 680 8th Street, Des Moines, Iowa
50392-2080 at 3:00 p.m. Central Daylight Time on May 21, 2003 or on such earlier
or later date as fund management may determine. The date on which the Closing is
to be held as provided in this Plan shall be known as the "Closing Date."
In the event that on the Closing Date (a) the New York Stock Exchange is closed
for other than customary weekend and holiday closings or (b) trading on said
Exchange is restricted or (c) an emergency exists as a result of which it is not
reasonably practicable for the Principal LifeTime 2030 Fund or the Balanced Fund
to fairly determine the value of its assets, the Closing Date shall be postponed
until the first business day after the day on which trading shall have been
fully resumed.
As soon as practicable after the Closing, the Balanced Fund shall (a) distribute
on a pro rata basis to the shareholders of record of the Balanced Fund at the
close of business on the Closing Date the shares of the Principal LifeTime 2030
Fund received by the Balanced Fund at the Closing in exchange for all of the
Balanced Fund's outstanding shares, and (b) be liquidated in accordance with
applicable law and the Fund's Articles of Incorporation.
21
For purposes of the distribution of shares of the Principal LifeTime 2030 Fund
to shareholders of the Balanced Fund, the Principal LifeTime 2030 Fund shall
credit on the books of the Principal LifeTime 2030 Fund an appropriate number of
shares of the Principal LifeTime 2030 Fund to the account of each shareholder of
the Balanced Fund. No certificates will be issued for shares of the Principal
LifeTime 2030 Fund. After the Closing Date and until surrendered, each
outstanding certificate, if any, which, prior to the Closing Date, represented
shares of the Balanced Fund, shall be deemed for all purposes of the Fund's
Articles of Incorporation and Bylaws to evidence the appropriate number of
shares of the Principal LifeTime 2030 Fund to be credited on the books of the
Principal LifeTime 2030 Fund in respect of such shares of the Balanced Fund as
provided above.
Prior to the Closing Date, the Balanced Fund shall deliver to the Principal
LifeTime 2030 Fund a list setting forth the assets to be assigned, delivered and
transferred to the Principal LifeTime 2030 Fund, including the securities then
owned by the Balanced Fund and the respective federal income tax bases (on an
identified cost basis) thereof, and the liabilities to be assumed by the
Principal LifeTime 2030 Fund pursuant to this Plan.
All of the Balanced Fund's portfolio securities shall be delivered by the
Balanced Fund's custodian on the Closing Date to the Principal LifeTime 2030
Fund or its custodian, either endorsed in proper form for transfer in such
condition as to constitute good delivery thereof in accordance with the practice
of brokers or, if such securities are held in a securities depository within the
meaning of Rule 17f-4 under the 1940 Act, transferred to an account in the name
of the Principal LifeTime 2030 Fund or its custodian with said depository. All
cash to be delivered pursuant to this Plan shall be transferred from the
Balanced Fund's account at its custodian to the Principal LifeTime 2030 Fund's
account at its custodian. If on the Closing Date the Balanced Fund is unable to
make good delivery to the Principal LifeTime 2030 Fund's custodian of any of the
Balanced Fund's portfolio securities because such securities have not yet been
delivered to the Balanced Fund's custodian by its brokers or by the transfer
agent for such securities, then the delivery requirement with respect to such
securities shall be waived, and the Balanced Fund shall deliver to the Principal
LifeTime 2030 Fund's custodian on or by said Closing Date with respect to said
undelivered securities executed copies of an agreement of assignment in a form
satisfactory to the Principal LifeTime 2030 Fund, and a due bill or due bills in
form and substance satisfactory to the custodian, together with such other
documents including brokers' confirmations, as may be reasonably required by the
Principal LifeTime 2030 Fund.
This Plan may be abandoned and terminated, whether before or after action
thereon by the shareholders of the Balanced Fund and notwithstanding favorable
action by such shareholder, if the Board of Directors believe that the
consummation of the transactions contemplated hereunder would not be in the best
interests of the shareholders of either Fund. This Plan may be amended by the
Fund's Board of Directors at any time, except that after approval by the
shareholders of the Balanced Fund no amendment may be made with respect to the
Plan which in the opinion of the Board of Directors materially adversely affects
the interests of the shareholders of the Balanced Fund.
Except as expressly provided otherwise in this Plan, Principal Management will
pay or cause to be paid all out-of-pocket fees and expenses incurred by the
Balanced Fund or the Principal LifeTime 2030 Fund in connection with the
transactions contemplated under this Plan, including, but not limited to,
accountants' fees, legal fees, registration fees, printing expenses, transfer
taxes (if any) and the fees of banks and transfer agents.
22
PRINCIPAL INVESTORS FUND, INC.
DES MOINES, IOWA 50392-0200
STATEMENT OF ADDITIONAL INFORMATION
This Statement of Additional Information is not a prospectus and should be read
in conjunction with the prospectus/ information statement dated April 10, 2003
for the special meeting of the holders of each share class of the common stock,
$.01 par value per share, of the International SmallCap Fund, a series of
Principal Investors Fund, Inc., an open-end management investment company. The
meeting is to be held on Wednesday, May 14, 2003. A copy of the
prospectus/information statement may be obtained from Principal Management
Corporation.
The prospectus/information statement describes certain transactions contemplated
by the proposed combination of the Balanced Fund with the Principal LifeTime
2030 Fund pursuant to the terms of a Plan of Acquisition ("Plan"). Under the
Plan, the Principal LifeTime 2030 Fund would acquire all the assets and assume
all the liabilities of the Balanced Fund and issue in exchange shares of each
share class of its common stock. The Balanced Fund would immediately redeem all
its outstanding shares by distributing the Principal LifeTime 2030 Fund shares
to its shareholders. As a result, each shareholder would own shares in the
Principal LifeTime 2030 Fund equal in value to shares of the same class as he or
she had owned in the Balanced Fund at the effective time. Principal Management
Corporation has agreed to pay all expenses incurred by the series in connection
with the Plan.
The date of the Statement of Additional Information is April 10, 2003.
OTHER INFORMATION
The information otherwise required to be set forth in this Statement of
Additional Information is included in the prospectuses and Statements of
Additional Information of the Investors Fund, dated March 1, 2003, and in the
Investors Fund's Annual Report to Shareholders for the year ended October 31,
2002, all of which are incorporated herein by reference.
FINANCIAL STATEMENTS
The financial statements and footnotes thereto of the Principal Investors Fund,
Inc., together with the Report of Independent Auditors thereon, are incorporated
herein by reference from the Principal Investors Fund's Annual Report to
Shareholders for the year ended October 31, 2002.
The financial statements of Principal Investors Fund, Inc. listed above and
incorporated by reference into this Statement of Additional Information have
been audited by Ernst & Young LLP, independent auditors, as set forth in their
report thereon and incorporated herein by reference. Such financial statements
are incorporated by reference in reliance upon such report given on the
authority of such firm as experts in accounting and auditing.
1
STATEMENTS OF ASSETS AND LIABILITIES
PRINCIPAL INVESTORS FUND, INC.
OCTOBER 31, 2002 (UNAUDITED)
-------------------------------------------------------------------------------
COMBINED
PRINCIPAL PRINCIPAL
LIFETIME LIFETIME 2030
BALANCED 2030 PRO FORMA FUND
FUND FUND ADJUSTMENTS
- -------------------------------------------------------------------------------------
- -------------------------------------------------------------------------------------
INVESTMENT IN
SECURITIES--AT COST.. $ 22,051,504 $ 43,731,321 $ -- $ 65,782,825
============ ============ ========= ============
ASSETS
Investment in
securities--at value. $ 21,291,549 $ 40,755,596 -- 62,047,145
Cash.................. 18,371 83,598 -- 101,969
Receivables:
Capital Shares sold.. 13,597 173,595 -- 187,192
Dividends and
interest............ 84,777 -- -- 84,777
Investment securities
sold................ 30,511 -- -- 30,511
------------ ------------ --------- ------------
Total Assets 21,438,805 41,012,789 -- 62,451,594
LIABILITIES
Accrued expenses...... 19,320 8,900 -- 28,220
Payables:
Investment securities
purchased........... 406,730 -- -- 406,730
------------ ------------ --------- ------------
Total Liabilities 426,050 8,900 -- 434,950
------------ ------------ --------- ------------
NET ASSETS APPLICABLE
TO OUTSTANDING SHARES $ 21,012,755 $ 41,003,889 $ -- $ 62,016,644
============ ============ ========= ============
NET ASSETS CONSIST OF:
Capital Shares and
additional
paid-in-capital...... $ 23,906,014 $ 43,904,653 $ -- $ 67,810,667
Accumulated
undistributed
(overdistributed) net
investment income
(operating loss)..... 241,046 284,239 -- 525,285
Accumulated
undistributed
(overdistributed) net
realized gain (loss). (2,374,350) (209,278) -- (2,583,628)
Net unrealized
appreciation
(depreciation) of
investments.......... (759,955) (2,975,725) -- (3,735,680)
------------ ------------ --------- ------------
Total Net Assets $ 21,012,755 $ 41,003,889 $ -- $ 62,016,644
============ ============ ========= ============
CAPITAL STOCK (PAR
VALUE: $.01 A SHARE):
Shares authorized..... 145,000,000 145,000,000 -- 145,000,000
NET ASSET VALUE PER
SHARE:
Advisors Preferred:
Net Assets........... $ 2,394,499 $ 645,865 $ -- $ 3,040,364
Shares issued and
outstanding.......... 296,736 73,873 (22,766)/(b)/ 347,843
Net asset value per
share................ $ 8.07 $ 8.74 -- $ 8.74
============ ============ == ============
Advisors Select: Net
Assets............... $ 1,422,587 $ 12,582 $ -- $ 1,435,169
Shares issued and
outstanding.......... 176,656 1,442 (13,702)/(b)/ 164,396
Net asset value per
share................ $ 8.05 $ 8.73 -- $ 8.73
============ ============ == ============
Class J: Net Assets... $ 15,113,124 $ 7,610,667 $ -- $ 22,723,791
Shares issued and
outstanding.......... 1,885,797 870,710 (156,607)/(b)/ 2,599,900
Net asset value per
share /(a)/.......... $ 8.01 $ 8.74 -- $ 8.74
============ ============ == ============
Institutional: Net
Assets............... $ 8,403 $ 31,841,183 $ -- $ 31,849,586
Shares issued and
outstanding.......... 1,043 3,629,869 (85)/(b)/ 3,630,827
Net asset value per
share................ $ 8.06 $ 8.77 -- $ 8.77
============ ============ == ============
Preferred: Net Assets. $ 1,063,997 $ 884,843 $ -- $ 1,948,840
Shares issued and
outstanding.......... 131,409 101,078 (9,809)/(b)/ 222,678
Net asset value per
share................ $ 8.10 $ 8.75 -- $ 8.75
============ ============ == ============
Select: Net Assets.... $ 1,010,145 $ 8,749 $ -- $ 1,018,894
Shares issued and
outstanding.......... 124,999 1,000 (9,554)/(b)/ 116,445
Net asset value per
share................ $ 8.08 $ 8.75 -- $ 8.75
============ ============ == ============
/(a) /Redemption price per share is equal to net asset value less any applicable
contingent deferred sales charge
/(b) /Reflects new shares issued, net of retired shares of Balanced Fund.
See accompanying notes.
2
STATEMENTS OF OPERATIONS
PRINCIPAL INVESTORS FUND, INC.
YEAR ENDED OCTOBER 31, 2002 (UNAUDITED)
-------------------------------------------------------------------------------
COMBINED
PRINCIPAL PRINCIPAL
LIFETIME LIFETIME 2030
BALANCED 2030 PRO FORMA FUND
FUND FUND ADJUSTMENTS/(A)/
- -------------------------------------------------------------------------------------
- -------------------------------------------------------------------------------------
NET INVESTMENT INCOME
(OPERATING LOSS)
Income:
Dividends........... $ 131,679 $ 426,496 $ -- $ 558,175
Interest............ 334,477 909 -- 335,386
----------- ----------- ---------------- -----------
Total Income 466,156 427,405 -- 893,561
Expenses:
Management and
investment advisory
fees............... 77,240 25,814 (58,280) 44,774
Distribution fees... 60,247 23,701 -- 83,948
Administrative
service fees....... 7,223 477 -- 7,700
Service fees........ 10,983 618 -- 11,601
Transfer and
administrative fees
- Class J.......... 44,939 20,010 -- 64,949
Other expenses -
Class J............ 43 43 -- 86
----------- ----------- ---------------- -----------
Total Gross Expenses 200,675 70,663 (58,280) 213,058
Less: Fees paid
indirectly......... 1,465 -- -- 1,465
----------- ----------- ---------------- -----------
Total Net Expenses 199,210 70,663 (58,280) 211,593
----------- ----------- ---------------- -----------
Net Investment Income
(Operating Loss) 266,946 356,742 58,280 565,408
NET REALIZED AND UNREALIZED GAIN (LOSS) ON INVESTMENTS
AND FOREIGN CURRENCIES
Net realized gain (loss) from:
Investment
transactions....... (2,268,858) (159,681) -- (2,428,539)
Other investment
companies.......... -- 178 -- 178
Change in unrealized
appreciation/depreciation
of:
Investments.......... (55,449) (2,945,544) -- (3,000,993)
Net Realized and
Unrealized Gain (Loss)
on Investments and
Foreign Currencies (2,324,307) (3,105,047) -- (5,429,354)
----------- ----------- ---------------- -----------
Net Increase (Decrease)
in Net Assets
Resulting from
Operations $(2,057,361) $(2,748,305) $ 58,280 $(4,747,386)
=========== =========== ================ ===========
/(a) /Reflects estimated reduction in expenses due to lower management and
investment advisory fees, larger net assets and greater economies of scale,
and assumes the Principal LifeTime 2030 Fund fee structure was in effect for
the twelve months ended October 31, 2002.
See accompanying notes.
3
NOTES TO PRO FORMA FINANCIAL STATEMENTS
(UNAUDITED)
-------------------------------------------------------------------------------
1. BASIS OF COMBINATION
On March 10, 2003, the Board of Directors of Principal Investors Fund, Inc.
approved an Agreement and Plan of Reorganization whereby, subject to approval by
the shareholders of Balanced Fund, Principal LifeTime 2030 Fund will acquire all
the assets of Balanced Fund subject to the liabilities of such Fund, in exchange
for a number of shares equal to the pro rata net assets of shares of Principal
LifeTime 2030 Fund (the "Merger").
The Merger will be accounted for as a tax-free merger of investment companies.
The pro forma combined financial statements are presented for the information of
the reader and may not necessarily be representative of what the actual combined
financial statements would have been had the reorganization occurred at October
31, 2002. The unaudited pro forma schedule of investments and statement of
assets and liabilities reflect the financial position of Balanced Fund and
Principal LifeTime 2030 Fund at October 31, 2002. The unaudited pro forma
statement of operations reflects the results of operations of Balanced Fund and
Principal LifeTime 2030 Fund for the twelve months ended October 31, 2002. The
statements have been derived from the Funds' respective books and records
utilized in calculating daily net asset value at the dates indicated above for
Balanced Fund and Principal LifeTime 2030 Fund under accounting principles
generally accepted in the United States. The historical cost of investment
securities will be carried forward to the surviving entity and results of
operations of Principal LifeTime 2030 Fund for pre-combination periods will not
be restated.
The pro forma schedule of investments and statements of assets and liabilities
and operations should be read in conjunction with the historical financial
statements of the Funds incorporated by reference in the Statements of
Additional Information.
2. SECURITY VALUATION
Principal LifeTime 2030 Fund primarily invests in combinations of other funds
(the "Underlying Funds") managed by Principal Management Corporation.
Investments in Underlying Funds are valued at the closing net asset value per
share of each Underlying Fund on the day of valuation.
Balanced Fund values securities for which market quotations are readily
available at market value, which is determined using the last reported sale
price or, if no sales are reported, as is regularly the case for some securities
traded over-the-counter, the last reported bid price. When reliable market
quotations are not considered to be readily available, which may be the case,
for example, with respect to certain debt securities, preferred stocks and
international securities the investments are valued by using prices provided by
market makers or estimates of market values obtained from yield data and other
factors relating to instruments or securities with similar characteristics in
accordance with procedures established in good faith by the Fund's Board of
Directors. Short-term securities are valued at amortized cost, which
approximates market.
3. CAPITAL SHARES
The pro forma net asset value per share assumes additional shares of common
stock issued in connection with the proposed acquisition of Balanced Fund by
Principal LifeTime 2030 Fund as of October 31, 2002. The number of additional
shares issued was calculated by dividing the net asset value of each class of
Balanced Fund by the respective class net asset value per share of Principal
LifeTime 2030 Fund.
4. PRO FORMA ADJUSTMENTS
The accompanying pro forma financial statements reflect changes in fund shares
as if the merger had taken place on October 31, 2002. The expenses of the
Balanced Fund were adjusted assuming the fee structure of Principal LifeTime
2030 Fund was in effect for the twelve months ended October 31, 2002.
5. DISTRIBUTIONS
No provision for federal income taxes is considered necessary because each Fund
is qualified as a "regulated investment company" under the Internal Revenue Code
and intends to distribute each year substantially all of its net investment
income and realized capital gains to shareholders.
Balanced Fund and Principal LifeTime 2030 Fund will distribute substantially all
of their net investment income and any realized gains prior to the merger date.
4
- ------------------------------------------------------------------------------------------------------------------------------
Principal Amount or Number of Shares
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Balanced Principal LifeTime
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Fund 2030 Fund Combined
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
COMMON STOCKS (20.41%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Advertising Services (0.01%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
180 180 R.H. Donnelley 1,4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Aerospace & Defense (0.01%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
220 220 Esterline Technologies 1,4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Aerospace & Defense Equipment (0.35%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
670 670 BE Aerospace 1,4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
140 140 DRS Technologies 1,4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
1,580 1,580 Lockheed Martin 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
250 250 Moog 1,4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
1,770 1,770 United Technologies 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Agricultural Chemicals (0.01%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
390 390 Agrium 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Agricultural Operations (0.01%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
330 330 Delta & Pine Land 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Apparel Manufacturers (0.01%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
330 330 Phillips-Van Heusen 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
200 200 Quiksilver 1,4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Applications Software (0.45%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
430 430 Citrix Systems 1,4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
570 570 Intuit 1,4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
4,200 4,200 Microsoft 1,4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
3,260 3,260 Siebel Systems 1,4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Auto-Medium & Heavy Duty Trucks (0.01%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
90 90 Oshkosh Truck 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Auto/Truck Parts & Equipment-Original (0.02%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
220 220 American Axle & Manufacturing Holdings 1,4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
1,000 1,000 Tower Automotive 1,4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Auto/Truck Parts & Equipment-Replacement (0.01%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
340 340 Aftermarket Technology 1,4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Building & Construction Products-Miscellaneous (0.01%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
220 220 ElkCorp 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Building Products-Air & Heating (0.01%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
280 280 Lennox International 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Building Products-Wood (0.01%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
234 234 Universal Forest Products 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Building-Heavy Construction (0.02%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
260 260 Chicago Bridge & Iron 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
200 200 Granite Construction 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Building-Residential & Commercial (0.11%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
180 180 Dominion Homes 1,4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
1,130 1,130 Lennar 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
100 100 Ryland Group 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Cable TV (0.10%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
2,710 2,710 Comcast 1,4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Casino Hotels (0.19%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
230 230 Ameristar Casinos 1,4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
280 280 Aztar 1,4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
610 610 Harrah's Entertainment 1,4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
1,100 1,100 MGM Mirage 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
7,400 7,400 Park Place Entertainment 1,4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Chemicals-Diversified (0.29%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
3,210 3,210 E.I. Du Pont de Nemours 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
190 190 Georgia Gulf 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
2,320 2,320 Hercules 1,4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
670 670 Rohm & Haas 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Chemicals-Specialty (0.01%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
150 150 Albemarle 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Circuit Boards (0.01%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
170 170 Benchmark Electronics 1,4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Coal (0.01%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
370 370 Arch Coal 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Coatings & Paint (0.01%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
410 410 RPM 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Collectibles (0.01%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
260 260 Action Performance 1,4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Commercial Banks (0.60%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
3,380 3,380 Amsouth Bancorp 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
1,439 1,439 Commerce Bancshares 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
120 120 First Midwest Bancorp 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
1,970 1,970 First Tennessee National 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
630 630 Gold Banc 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
370 370 Greater Bay Bancorp 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
78 78 Independent Bank 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
350 350 Local Financial 1,4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
1,850 1,850 North Fork Bancorp. 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
200 200 Old National Bancorp 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
270 270 Sky Financial Group 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
180 180 South Financial Group 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
1,560 1,560 UnionBanCal 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Commercial Service-Finance (0.51%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
4,010 4,010 H&R Block 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
4,910 4,910 Paychex 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Commercial Services (0.04%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
1,020 1,020 Alliance Data Systems 1,4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
260 260 Central Parking 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Computer Data Security (0.00%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
150 150 Netscreen Technologies 1,4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Computer Services (0.11%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
2,080 2,080 Computer Sciences 1,4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Computers (0.04%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
1,601 1,601 Hewlett-Packard 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Computers-Memory Devices (0.14%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
5,130 5,130 EMC 1,4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
4,130 4,130 Veritas Software 1,4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Computers-Peripheral Equipment (0.00%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
51 51 Electronics for Imaging 1,4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Consulting Services (0.01%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
310 310 Right Management Consultants 1,4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Consumer Products-Miscellaneous (0.18%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
1,160 1,160 American Greetings 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
1,560 1,560 Clorox 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
380 380 Fortune Brands 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
80 80 Scotts 1,4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Containers-Metal & Glass (0.13%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
1,270 1,270 Ball 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
1,760 1,760 Owens-Illinois 1,4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Containers-Paper & Plastic (0.06%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
1,330 1,330 Pactiv 1,4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
630 630 Sealed Air 1,4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Cosmetics & Toiletries (0.39%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
2,670 2,670 Gillette 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
490 490 Kimberly-Clark 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
1,580 1,580 Procter & Gamble 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Data Processing & Management (0.25%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
4,140 4,140 Acxiom 1,4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
2,380 2,380 Automatic Data Processing 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Decision Support Software (0.02%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
290 290 Cognos 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
240 240 NetIQ 1,4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
550 550 Precise Software Solutions 1,4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Diagnostic Kits (0.01%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
170 170 Idexx Laboratories 1,4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Distribution-Wholesale (0.01%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
360 360 Aviall 1,4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Diversified Financial Services (0.28%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
4,750 4,750 Citigroup 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Diversified Manufacturing Operations (0.40%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
380 380 3M 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
240 240 A.O. Smith 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
7,520 7,520 General Electric 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
130 130 Harsco 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Diversified Operations (0.01%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
462 462 Walter Industries 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
E-Commerce-Services (0.06%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
6,120 6,120 WebMD 1,4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Electric-Integrated (0.66%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
160 160 Black Hills 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
149 149 CH Energy Group 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
7,490 7,490 Edison International 1,4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
2,130 2,130 Entergy 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
2,220 2,220 Exelon 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
1,740 1,740 PPL 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
960 960 Progress Energy 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
1,050 1,050 TXU 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Electronic Components-Miscellaneous (0.01%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
240 240 OSI Systems 1,4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Electronic Components-Semiconductor (0.18%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
587 587 Applied Micro Circuits 1,4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
2,780 2,780 Intel 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
3,650 3,650 LSI Logic 1,4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
280 280 Omnivision Technologies 1,4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
2,430 2,430 Texas Instruments 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Electronics-Military (0.03%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
360 360 L-3 Communications Holdings 1,4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Engineering-Research & Development Services (0.01%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
90 90 EMCOR Group 1,4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
270 270 URS 1,4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Engines-Internal Combustion (0.01%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
140 140 Briggs & Stratton 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Enterprise Software & Service (0.07%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
5,680 5,680 BEA Systems 1,4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Entertainment Software (0.01%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
200 200 Activision 1,4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Fiduciary Banks (0.15%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
2,260 2,260 State Street 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Finance-Investment Banker & Broker (0.37%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
1,120 1,120 Bear Stearns 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
150 150 Jefferies Group 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
3,080 3,080 Merrill Lynch 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
970 970 Morgan Stanley Dean Witter 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Finance-Mortgage Loan/Banker (0.15%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
1,390 1,390 Federal National Mortgage Association 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Food-Confectionery (0.12%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
110 110 J.M. Smucker 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
1,300 1,300 Wm. Wrigley Jr. 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Food-Miscellaneous/Diversified (0.05%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
90 90 American Italian Pasta 1,4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
710 710 Dole Food 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
120 120 J & J Snack Foods 1,4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
180 180 Ralcorp Holdings 1,4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Food-Retail (0.08%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
520 520 Whole Foods Market 1,4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
1,930 1,930 Winn-Dixie Stores 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Food-Wholesale & Distribution (0.40%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
840 840 Supervalu 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
7,330 7,330 Sysco 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Garden Products (0.01%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
96 96 Toro 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Gas-Distribution (0.04%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
300 300 AGL Resources 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
230 230 New Jersey Resources 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
210 210 Oneok 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
130 130 Peoples Energy 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
390 390 Southern Union 1,4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Home Furnishings (0.00%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
97 97 Bassett Furniture Industries 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Identification System-Development (0.00%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
240 240 Paxar 1,4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Industrial Gases (0.01%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
500 500 Airgas 1,4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Instruments-Controls (0.06%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
350 350 Johnson Controls 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
210 210 Photon Dynamics 1,4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
250 250 Watts Industries 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Internet Brokers (0.10%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
13,550 13,550 E*trade Group 1,4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Internet Financial Services (0.01%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
340 340 IndyMac Bancorp 1,4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Internet Security (0.23%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
3,890 3,890 CheckFree 1,4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
230 230 Internet Security Systems 1,4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
1,920 1,920 Symantec 1,4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Investment Companies (0.01%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
250 250 American Capital Strategies 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Life & Health Insurance (0.01%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
130 130 Scottish Annuity & Life Holdings 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
80 80 Stancorp Financial Group 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Lottery Services (0.01%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
200 200 Gtech Holdings 1,4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Machinery-Construction & Mining (0.00%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
230 230 Terex 1,4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Machinery-General Industry (0.02%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
470 470 Albany International 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Machinery-Material Handling (0.00%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
70 70 Nacco Industries 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Medical Instruments (0.69%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
4,305 4,305 Biomet 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
6,140 6,140 Medtronic 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
700 700 St. Jude Medical 1,4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Medical Products (0.56%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
5,960 5,960 Johnson & Johnson 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Medical Sterilization Product (0.04%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
920 920 Steris 1,4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Medical-Biomedical/Gene (0.01%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
170 170 Enzon 1,4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Medical-Drugs (0.63%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
250 250 Forest Laboratories 1,4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
2,330 2,330 ICN Pharmaceuticals 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
200 200 OSI Pharmaceuticals 1,4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
10,730 10,730 Pfizer 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
530 530 Salix Pharmaceuticals 1,4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Medical-Generic Drugs (0.04%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
710 710 Mylan Laboratories 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Medical-HMO (0.13%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
600 600 Aetna 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
600 600 UnitedHealth Group 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Medical-Hospitals (0.19%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
360 360 Curative Health Services 1,4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
3,865 3,865 Tenet Healthcare 1,4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Medical-Outpatient & Home Medical Care (0.01%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
410 410 Select Medical 1,4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Medical-Wholesale Drug Distribution (0.40%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
3,580 3,580 Cardinal Health 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Metal Processors & Fabrication (0.02%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
180 180 Quanex 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
470 470 Worthington Industries 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Metal-Diversified (0.00%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
990 990 Hecla Mining 1,4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Miscellaneous Investing (0.32%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
3,270 3,270 Annaly Mortgage Management 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
180 180 Capital Automotive 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
200 200 CBL & Associates Properties 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
170 170 Chelsea Property Group 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
250 250 Developers Diversified Realty 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
80 80 Essex Property Trust 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
120 120 Home Properties of New York 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
100 100 Hospitality Properties Trust 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
520 520 IMPAC Mortgage Holdings 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
220 220 Keystone Property Trust 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
160 160 Macerich 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
2,140 2,140 Mack-Cali Realty 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
150 150 Manufactured Home Communities 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
200 200 Pan Pacific Retail Properties 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
160 160 Prentiss Properties Trust 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
170 170 PS Business Parks 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
170 170 Regency Centers 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
140 140 SL Green Realty 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
220 220 United Dominion Realty Trust 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Money Center Banks (0.40%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
3,530 3,530 Bank of America 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Motorcycle & Motor Scooter (0.19%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
2,300 2,300 Harley-Davidson 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Multi-line Insurance (0.55%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
610 610 Allstate 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
2,610 2,610 American International Group 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
950 950 Cigna 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
2,330 2,330 MetLife 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
2,140 2,140 Old Republic International 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Multimedia (0.39%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
1,790 1,790 Belo 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
1,470 1,470 Gannett 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
1,070 1,070 McGraw-Hill 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
1,070 1,070 Walt Disney 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Networking Products (0.42%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
140 140 Anixter International 1,4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
120 120 Black Box 1,4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
14,510 14,510 Cisco Systems 1,4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
5,120 5,120 Emulex 1,4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Non-Ferrous Metals (0.01%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
480 480 RTI International Metals 1,4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Non-hazardous Waste Disposal (0.01%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
770 770 Allied Waste Industries 1,4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Office Automation & Equipment (0.17%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
260 260 Global Imaging Systems 1,4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
3,630 3,630 Ikon Office Solutions 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
11,340 11,340 Xerox 1,4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Oil Company-Exploration & Production (0.20%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
1,240 1,240 Apache 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
388 388 Denbury Resources 1,4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
280 280 Encore Acquisition 1,4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
140 140 Evergreen Resources 1,4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
110 110 Houston Exploration 1,4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
1,150 1,150 Newfield Exploration 1,4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Oil Company-Integrated (0.69%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
389 389 ChevronTexaco 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
370 370 ConocoPhillips 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
9,360 9,360 Exxon Mobil 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
2,510 2,510 Occidental Petroleum 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Oil Field Machinery & Equipment (0.00%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
130 130 Universal Compression Holdings 1,4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Oil-Field Services (0.02%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
220 220 Hanover Compressor 1,4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
490 490 Key Energy Services 1,4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
100 100 Seacor Smit 1,4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
530 530 Willbros Group 1,4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Paper & Related Products (0.03%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
630 630 Louisiana-Pacific 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
500 500 Pope & Talbot 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
320 320 Schweitzer-Mauduit International 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Printing-Commercial (0.00%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
90 90 Banta 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Property & Casualty Insurance (0.25%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
210 210 Arch Capital Group 1,4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
2,220 2,220 Fidelity National Financial 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
1,240 1,240 Progressive 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
180 180 Selective Insurance Group 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
87 87 Travelers Property Casualty 1,4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
188 188 Travelers Property Casualty 1,4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
130 130 W.R. Berkley 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Publicly Traded Investment Fund (1.70%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
6,600 6,600 iShares MSCI EAFE Index Fund 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
11,100 11,100 iShares MSCI Japan Index Fund 1,4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
2,500 2,500 iShares MSCI Netherlands Index Fund 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
1,700 1,700 iShares MSCI Pacific ex-Japan Index Fund 1,4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
4,295 4,295 iShares S&P Europe 350 Index Fund 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Publishing-Newspapers (0.09%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
1,210 1,210 Tribune 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Regional Banks (1.20%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
3,550 3,550 Bank One 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
3,360 3,360 Fifth Third Bancorp 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
2,430 2,430 Union Planters 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
6,780 6,780 US Bancorp 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
3,670 3,670 Wells Fargo 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Reinsurance (0.01%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
246 246 Platinum Underwriters Holdings 1,4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Respiratory Products (0.01%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
130 130 Respironics 1,4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Retail-Apparel & Shoe (0.07%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
330 330 Brown Shoe 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
270 270 Charlotte Russe Holding 1,4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
210 210 Shoe Carnival 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
140 140 Urban Outfitters 1,4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Retail-Arts & Crafts (0.10%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
1,350 1,350 Michaels Stores 1,4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Retail-Auto Parts (0.01%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
330 330 CSK Auto 1,4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
260 260 PEP Boys-Manny Moe & Jack 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Retail-Automobile (0.01%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
240 240 Sonic Automotive 1,4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Retail-Bedding (0.36%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
6,220 6,220 Bed Bath & Beyond 1,4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Retail-Building Products (0.03%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
660 660 Home Depot 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Retail-Discount (0.11%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
231 231 ShopKo Stores 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
190 190 Tuesday Morning 1,4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
1,110 1,110 Wal-Mart Stores 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Retail-Drug Store (0.09%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
250 250 Duane Reade 1,4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
1,600 1,600 Walgreen 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Retail-Home Furnishings (0.07%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
278 278 Haverty Furniture 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
1,980 1,980 Pier 1 Imports 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Retail-Jewelry (0.02%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
400 400 Tiffany 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Retail-Mail Order (0.01%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
150 150 J. Jill Group 1,4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Retail-Major Department Store (0.09%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
2,140 2,140 Sears Roebuck 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Retail-Regional Department Store (0.21%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
2,260 2,260 Kohls 1,4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Retail-Restaurants (0.12%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
220 220 CBRL Group 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
3,260 3,260 McDonald's 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
240 240 Rare Hospitality International 1,4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
390 390 Red Robin Gourmet Burgers 1,4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Retail-Sporting Goods (0.00%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
600 600 Sports Authority 1,4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Retail-Video Rental (0.01%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
310 310 Movie Gallery 1,4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Savings & Loans-Thrifts (0.14%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
220 220 Dime Community Bancshares 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
260 260 Flagstar Bancorp. 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
1,450 1,450 Greenpoint Financial 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
230 230 Independence Community Bank 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
200 200 Pennfed Financial Services 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
110 110 Webster Financial 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Schools (0.01%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
420 420 Sylvan Learning Systems 1,4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Semiconductor Component-Integrated Circuits (0.40%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
4,690 4,690 Linear Technology 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
3,790 3,790 Maxim Integrated Products 1,4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
128 128 O2Micro International 1,4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Semiconductor Equipment (0.13%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
5,010 5,010 Applied Materials 1,4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
310 310 Photronics 1,4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Steel-Producers (0.01%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
180 180 Reliance Steel & Aluminum 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
380 380 Steel Dynamics 1,4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Steel-Specialty (0.01%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
270 270 Gibraltar Steel 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Telecommunication Equipment (0.07%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
2,470 2,470 UTStarcom 1,4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Telephone-Integrated (0.53%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
1,140 1,140 Alltel 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
11,460 11,460 AT&T 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
5,910 5,910 Level 3 Communications 1,4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
680 680 SBC Communications 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
3,940 3,940 Sprint 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
815 815 Verizon Communications 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Therapeutics (0.01%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
150 150 CV Therapeutics 1,4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
700 700 Guilford Pharmaceuticals 1,4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Tobacco (0.04%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
570 570 Philip Morris 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
140 140 Universal 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Tools-Hand Held (0.04%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
580 580 Black & Decker 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Transport-Rail (0.29%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
160 160 Genesee & Wyoming 1,4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
230 230 Kansas City Southern Industries 1,4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
3,480 3,480 Norfolk Southern 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
1,760 1,760 Union Pacific 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Transport-Services (0.17%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
1,980 1,980 FedEx 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Transport-Truck (0.02%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
280 280 Covenant Transport 1,4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
100 100 SCS Transportation 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
210 210 Yellow 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Travel Services (0.00%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
320 320 Navigant International 1,4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Wireless Equipment (0.11%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
7,715 7,715 Motorola 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Total Common Stocks
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
BONDS (5.46%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Aerospace & Defense (0.02%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Northrop Grumman 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
10,000 10,000 7.75%; 02/15/31
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Aerospace & Defense Equipment (0.03%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Lockheed Martin 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
5,000 5,000 7.65%; 05/01/16
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
United Technologies 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
10,000 10,000 6.10%; 05/15/12
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Airlines (0.04%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Northwest Airlines 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
9,147 9,147 7.58%; 03/01/19
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Southwest Airlines 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
17,010 17,010 5.10%; 05/01/06
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Asset Backed Securities (0.07%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Chase Funding Mortgage Loan
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Asset-Backed Certificates 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
20,000 20,000 3.07%; 07/25/17
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
25,000 25,000 4.41%; 02/25/17
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Auto-Cars & Light Trucks (0.09%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
DaimlerChrysler Holding 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
30,000 30,000 7.13%; 04/10/03
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
15,000 15,000 7.30%; 01/15/12
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Ford Motor 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
10,000 10,000 7.45%; 07/16/31
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Auto/Truck Parts & Equipment-Original (0.04%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Delphi 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
5,000 5,000 6.50%; 05/01/09
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Lear 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
10,000 10,000 7.96%; 05/15/05
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
TRW 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
5,000 5,000 7.13%; 06/01/09
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Visteon 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
5,000 5,000 8.25%; 08/01/10
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Automobile Sequential (0.29%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Ford Credit Auto Owner Trust 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
100,000 100,000 4.72%; 12/15/05
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Toyota Auto Receivables Owner Trust 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
75,000 75,000 4.72%; 09/15/08
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Beverages-Non-alcoholic (0.04%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Coca-Cola Enterprises 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
5,000 5,000 4.38%; 09/15/09
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
10,000 10,000 5.25%; 05/15/07
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
PepsiAmericas 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
10,000 10,000 3.88%; 09/12/07
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Brewery (0.03%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Anheuser-Busch 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
10,000 10,000 4.38%; 01/15/13
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Coors Brewing 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
10,000 10,000 6.38%; 05/15/12
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Broadcasting Services & Programming (0.00%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Grupo Televisa 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
2,000 2,000 8.50%; 03/11/32
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Building & Construction Products-Miscellaneous (0.03%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
CRH America 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
4,000 4,000 6.95%; 03/15/12
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Masco 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
15,000 15,000 6.00%; 05/03/04
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Building Products-Air & Heating (0.02%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
York International 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
15,000 15,000 6.63%; 08/15/06
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Building Products-Cement & Aggregate (0.02%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Cemex Central Sa De Cv 2,4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
15,000 15,000 8.63%; 07/18/03
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Building-Residential & Commercial (0.01%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
DR Horton 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
10,000 10,000 8.50%; 04/15/12
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Cable TV (0.01%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
COX Communications 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
5,000 5,000 6.75%; 03/15/11
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Casino Hotels (0.01%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Mirage Resorts 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
10,000 10,000 6.75%; 02/01/08
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Casino Services (0.02%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
International Game Technology 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
10,000 10,000 8.38%; 05/15/09
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Cellular Telecommunications (0.03%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
AT&T Wireless Services 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
10,000 10,000 7.88%; 03/01/11
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Telus 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
5,000 5,000 7.50%; 06/01/07
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Verizon Wireless 2,4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
5,000 5,000 5.38%; 12/15/06
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Chemicals-Diversified (0.03%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Chevron Phillips Chemical 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
20,000 20,000 7.00%; 03/15/11
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Coatings & Paint (0.01%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Valspar 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
5,000 5,000 6.00%; 05/01/07
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Commercial Banks (0.08%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
KeyBank 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
5,000 5,000 5.70%; 08/15/12
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Union Planters Bank 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
10,000 10,000 5.13%; 06/15/07
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
US Bank 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
30,000 30,000 6.38%; 08/01/11
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Computer Services (0.01%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Unisys 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
5,000 5,000 8.13%; 06/01/06
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Computers (0.02%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
International Business Machines 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
10,000 10,000 4.25%; 09/15/09
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Computers-Integrated Systems (0.01%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
NCR 2,4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
5,000 5,000 7.13%; 06/15/09
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Credit Card Asset Backed Securities (0.23%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
American Express Credit Account Master Trust 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
100,000 100,000 5.53%; 10/15/08
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Citibank Credit Card Master Trust I 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
30,000 30,000 5.50%; 02/15/06
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Credit Card Control Amortization (0.06%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Sears Credit Account Master Trust 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
9,375 9,375 6.20%; 07/16/07
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
30,000 30,000 7.25%; 11/15/07
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Diversified Financial Services (0.15%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Citigroup 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
20,000 20,000 6.00%; 02/21/12
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
10,000 10,000 6.63%; 06/15/32
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
5,000 5,000 7.25%; 10/01/10
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
General Electric Capital 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
5,000 5,000 4.63%; 09/15/09
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
20,000 20,000 6.75%; 03/15/32
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
John Deere Capital 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
15,000 15,000 7.00%; 03/15/12
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Textron Financial 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
10,000 10,000 5.88%; 06/01/07
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Diversified Operations (0.02%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Kansas City Southern Railway 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
5,000 5,000 7.50%; 06/15/09
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Rio Tinto Finance 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
5,000 5,000 5.75%; 07/03/06
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Electric-Generation (0.02%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Allegheny Energy Supply 2,4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
3,000 3,000 8.25%; 04/15/12
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Reliant Energy Finance 2,4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
10,000 10,000 7.40%; 11/15/02
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Electric-Integrated (0.22%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Arizona Public Service 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
7,000 7,000 6.50%; 03/01/12
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Consumers Energy 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
5,000 5,000 6.00%; 03/15/05
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Duke Energy 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
5,000 5,000 6.25%; 01/15/12
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Exelon 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
5,000 5,000 6.75%; 05/01/11
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
GPU 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
15,000 15,000 7.70%; 12/01/05
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Indianapolis Power & Light 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
5,000 5,000 7.38%; 08/01/07
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
MidAmerican Energy Holdings 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
10,000 10,000 6.75%; 12/30/31
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Niagara Mohawk Power 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
15,000 15,000 5.38%; 10/01/04
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Oncor Electric Delivery 2,4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
15,000 15,000 6.38%; 05/01/12
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
PG&E National Energy Group 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
10,000 10,000 10.38%; 05/16/11
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Progress Energy 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
25,000 25,000 6.55%; 03/01/04
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
PSEG Power 2,4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
10,000 10,000 6.95%; 06/01/12
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Southwestern Electric Power 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
10,000 10,000 4.50%; 07/01/05
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Teco Energy 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
10,000 10,000 6.13%; 05/01/07
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Electronic Components-Miscellaneous (0.01%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Flextronics International 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
5,000 5,000 9.88%; 07/01/10
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Federal & Federally Sponsored Credit (0.06%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Federal Farm Credit Bank 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
20,000 20,000 7.25%; 06/12/07
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Housing Urban Development 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
15,000 15,000 2.99%; 08/01/05
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Finance-Auto Loans (0.14%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Ford Motor Credit 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
45,000 45,000 6.50%; 01/25/07
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
General Motors Acceptance 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
15,000 15,000 6.38%; 01/30/04
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
5,000 5,000 6.88%; 09/15/11
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
5,000 5,000 6.88%; 08/28/12
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
20,000 20,000 7.00%; 02/01/12
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
5,000 5,000 8.00%; 11/01/31
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Finance-Commercial (0.01%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
CIT Group 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
5,000 5,000 7.38%; 04/02/07
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Finance-Consumer Loans (0.07%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
American General Finance 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
5,000 5,000 5.38%; 09/01/09
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Household Finance 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
10,000 10,000 2.88%; 09/19/03
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
25,000 25,000 5.75%; 01/30/07
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
5,000 5,000 7.63%; 05/17/32
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Finance-Investment Banker & Broker (0.10%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Banque Paribas 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
15,000 15,000 6.88%; 03/01/09
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Goldman Sachs Group 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
15,000 15,000 6.60%; 01/15/12
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Lehman Brothers Holdings 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
15,000 15,000 6.63%; 01/18/12
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Morgan Stanley Dean Witter 3,4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
367,121 367,121 0.64%; 04/01/34
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Finance-Leasing Company (0.01%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Case Credit 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
5,000 5,000 6.13%; 02/15/03
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Finance-Mortgage Loan/Banker (0.78%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Countrywide Home Loans 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
30,000 30,000 5.25%; 06/15/04
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Federal Home Loan Bank System 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
15,000 15,000 5.75%; 05/15/12
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Federal Home Loan Mortgage 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
30,000 30,000 5.75%; 01/15/12
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
50,000 50,000 6.00%; 05/25/12
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
30,000 30,000 6.75%; 03/15/31
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Federal National Mortgage Association 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
25,000 25,000 3.70%; 11/01/07
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
35,000 35,000 3.75%; 07/29/05
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
20,000 20,000 4.32%; 07/26/07
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
10,000 10,000 5.00%; 01/20/07
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
35,000 35,000 5.00%; 03/12/07
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
15,000 15,000 5.25%; 08/01/12
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
120,000 120,000 5.50%; 03/15/11
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
25,000 25,000 6.00%; 05/15/08
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
15,000 15,000 6.25%; 07/19/11
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Finance-Other Services (0.07%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Mellon Funding 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
10,000 10,000 4.88%; 06/15/07
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Newcourt Credit Group 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
10,000 10,000 6.88%; 02/16/05
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Pemex Master Trust 2,4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
20,000 20,000 7.88%; 02/01/09
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Food-Flour & Grain (0.01%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Archer-Daniels-Midland 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
5,000 5,000 5.88%; 10/01/32
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Food-Miscellaneous/Diversified (0.04%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Corn Products International 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
5,000 5,000 8.45%; 08/15/09
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
General Mills 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
10,000 10,000 6.00%; 02/15/12
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Kraft Foods 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
10,000 10,000 6.50%; 11/01/31
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Food-Retail (0.03%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Kroger 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
10,000 10,000 7.50%; 04/01/31
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Safeway 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
10,000 10,000 5.80%; 08/15/12
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Forestry (0.03%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Weyerhaeuser 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
10,000 10,000 6.13%; 03/15/07
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
10,000 10,000 7.38%; 03/15/32
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Home Equity Sequential (0.02%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Residential Asset Securities 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
15,000 15,000 4.59%; 10/25/26
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Industrial Gases (0.03%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Praxair 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
10,000 10,000 4.75%; 07/15/07
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
5,000 5,000 6.50%; 03/01/08
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Life & Health Insurance (0.02%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Lincoln National 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
15,000 15,000 5.25%; 06/15/07
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Machinery-Electrical (0.01%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Emerson Electric 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
5,000 5,000 6.00%; 08/15/32
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Medical-Drugs (0.02%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
American Home Products 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
15,000 15,000 5.88%; 03/15/04
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Medical-HMO (0.03%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Anthem 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
20,000 20,000 4.88%; 08/01/05
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Medical-Hospitals (0.04%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
HCA 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
10,000 10,000 7.13%; 06/01/06
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Tenet Healthcare 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
10,000 10,000 5.00%; 07/01/07
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
5,000 5,000 6.50%; 06/01/12
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Metal-Aluminum (0.02%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Alcoa 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
10,000 10,000 4.25%; 08/15/07
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Metal-Diversified (0.02%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Falconbridge 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
5,000 5,000 7.35%; 06/05/12
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Noranda 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
10,000 10,000 7.25%; 07/15/12
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Miscellaneous Investing (0.03%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Camden Property Trust 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
5,000 5,000 5.88%; 06/01/07
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
New Plan Excel Realty Trust 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
5,000 5,000 5.88%; 06/15/07
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
United Dominion Realty Trust 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
10,000 10,000 6.50%; 06/15/09
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Money Center Banks (0.10%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Bank of America 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
40,000 40,000 4.88%; 09/15/12
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
JP Morgan Chase 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
10,000 10,000 5.35%; 03/01/07
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Royal Bank of Scotland Group 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
10,000 10,000 5.00%; 10/01/14
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Mortgage Backed Securities (0.52%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Bear Stearns Commercial Mortgage Securities 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
17,768 17,768 7.64%; 02/15/32
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Chase Commercial Mortgage Securities 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
10,000 10,000 7.76%; 04/15/32
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
DLJ Commercial Mortgage 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
15,000 15,000 7.62%; 06/10/33
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
First Union-Lehman Brothers-Bank of America 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
40,000 40,000 6.56%; 11/18/35
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
GMAC Commercial Mortgage Securities 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
30,000 30,000 6.96%; 09/15/35
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
JP Morgan Chase Commercial Mortgage Securities 2,3,
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
142,720 142,720 0.35%; 05/12/34
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
LB-UBS Commercial Mortgage Trust 2,3,4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
283,281 283,281 0.65%; 03/15/34
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Morgan Stanley Dean Witter Capital I 2,3,4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
344,663 344,663 0.31%; 12/15/35
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Nationslink Funding 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
95,000 95,000 7.23%; 06/20/31
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
PNC Mortgage Acceptance 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
50,000 50,000 7.33%; 12/10/32
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Multimedia (0.11%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
AOL Time Warner 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
15,000 15,000 6.15%; 05/01/07
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
10,000 10,000 7.63%; 04/15/31
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Gannett 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
10,000 10,000 4.95%; 04/01/05
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
5,000 5,000 6.38%; 04/01/12
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Viacom 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
5,000 5,000 6.40%; 01/30/06
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
10,000 10,000 6.63%; 05/15/11
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Walt Disney 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
10,000 10,000 6.38%; 03/01/12
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Municipal-County (0.01%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Region of Lombardy 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
5,000 5,000 5.80%; 10/25/32
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Non-hazardous Waste Disposal (0.01%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Allied Waste 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
5,000 5,000 8.50%; 12/01/08
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Oil & Gas Drilling (0.04%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Nabors Holdings 2,4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
10,000 10,000 4.88%; 08/15/09
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Northern Natural Gas 2,4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
10,000 10,000 6.88%; 05/01/05
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Transocean 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
5,000 5,000 6.63%; 04/15/11
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Oil Company-Exploration & Production (0.15%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Alberta Energy 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
5,000 5,000 7.38%; 11/01/31
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Anadarko Petroleum 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
5,000 5,000 5.00%; 10/01/12
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
10,000 10,000 5.38%; 03/01/07
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Canadian Natural Resources 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
5,000 5,000 7.20%; 01/15/32
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Devon Energy 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
5,000 5,000 7.95%; 04/15/32
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Kerr-McGee 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
25,000 25,000 5.88%; 09/15/06
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Nexen 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
5,000 5,000 7.88%; 03/15/32
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Petroleos Mexicanos 2,4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
15,000 15,000 6.50%; 02/01/05
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Union Oil Company of California 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
5,000 5,000 5.05%; 10/01/12
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
XTO Energy 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
10,000 10,000 7.50%; 04/15/12
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Oil Company-Integrated (0.07%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Amerada Hess 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
5,000 5,000 7.13%; 03/15/33
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
ConocoPhillips 2,4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
15,000 15,000 4.75%; 10/15/12
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Marathon Oil 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
15,000 15,000 6.80%; 03/15/32
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
PanCanadian Energy 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
5,000 5,000 7.20%; 11/01/31
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Oil Refining & Marketing (0.02%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Valero Energy 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
15,000 15,000 6.88%; 04/15/12
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Oil-Field Services (0.01%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Hanover Equipment Trust 2,4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
5,000 5,000 8.50%; 09/01/08
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Paper & Related Products (0.10%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Domtar 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
10,000 10,000 7.88%; 10/15/11
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
International Paper 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
25,000 25,000 6.75%; 09/01/11
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Norske Skogindustrier 2,4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
10,000 10,000 7.63%; 10/15/11
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Sappi Papier Holding 2,4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
5,000 5,000 6.75%; 06/15/12
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Stora Enso Oyj 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
5,000 5,000 7.38%; 05/15/11
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Pipelines (0.07%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Duke Energy Field Services 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
15,000 15,000 7.88%; 08/16/10
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Kinder Morgan Energy Partners 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
5,000 5,000 6.75%; 03/15/11
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Plains All American Pipeline 2,4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
5,000 5,000 7.75%; 10/15/12
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Tennessee Gas Pipeline 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
10,000 10,000 8.38%; 06/15/32
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Texas Eastern Transmission 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
10,000 10,000 5.25%; 07/15/07
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Poultry (0.03%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Tyson Foods 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
15,000 15,000 6.63%; 10/01/04
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Property & Casualty Insurance (0.03%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
ACE 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
15,000 15,000 6.00%; 04/01/07
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
ul 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
3,000 3,000 5.75%; 03/15/07
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Publishing-Books (0.03%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Reed Elsevier Capital 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
15,000 15,000 6.13%; 08/01/06
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Real Estate Operator & Developer (0.04%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
EOP Operating 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
10,000 10,000 7.00%; 07/15/11
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
5,000 5,000 7.38%; 11/15/03
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
First Industrial 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
10,000 10,000 6.88%; 04/15/12
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Regional Authority (0.10%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Financement Quebec 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
15,000 15,000 5.00%; 10/25/12
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Province of Nova Scotia 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
15,000 15,000 5.75%; 02/27/12
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Province of Ontario 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
10,000 10,000 5.13%; 07/17/12
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Province of Quebec 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
5,000 5,000 5.75%; 02/15/09
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
10,000 10,000 7.50%; 09/15/29
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Regional Banks (0.18%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
KeyCorp 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
20,000 20,000 4.63%; 05/16/05
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Korea Development Bank 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
25,000 25,000 7.13%; 04/22/04
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
PNC Funding 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
20,000 20,000 5.75%; 08/01/06
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Wachovia 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
20,000 20,000 5.63%; 12/15/08
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Wells Fargo 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
20,000 20,000 5.13%; 02/15/07
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Research & Development (0.02%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Science Applications International 2,4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
10,000 10,000 7.13%; 07/01/32
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Retail-Discount (0.03%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Target 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
10,000 10,000 5.38%; 06/15/09
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Wal-Mart Stores 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
10,000 10,000 4.38%; 07/12/07
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Retail-Drug Store (0.01%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
CVS 2,4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
4,873 4,873 7.77%; 01/10/12
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Retail-Major Department Store (0.01%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Sears Roebuck Acceptance 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
7,500 7,500 7.00%; 06/01/32
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Retail-Regional Department Store (0.01%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Federated Department Stores 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
5,000 5,000 7.00%; 02/15/28
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Retail-Restaurants (0.02%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Yum! Brands 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
10,000 10,000 7.70%; 07/01/12
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Sovereign (0.07%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Finland Government 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
5,000 5,000 4.75%; 03/06/07
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Italy Government 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
10,000 10,000 5.63%; 06/15/12
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Mexico Government 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
20,000 20,000 8.38%; 01/14/11
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Poland Government 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
5,000 5,000 6.25%; 07/03/12
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Special Purpose Entity (0.01%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Ahold Lease 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
5,000 5,000 7.82%; 01/02/20
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Supranational Bank (0.04%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Corp Andina de Fomento 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
4,000 4,000 6.75%; 03/15/05
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
10,000 10,000 6.88%; 03/15/12
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
European Investment Bank 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
10,000 10,000 4.63%; 03/01/07
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Telecommunication Services (0.02%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Citizens Communications 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
10,000 10,000 6.38%; 08/15/04
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Telephone-Integrated (0.24%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Alltel 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
10,000 10,000 7.00%; 07/01/12
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
AT&T 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
15,000 15,000 6.00%; 03/15/09
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
5,000 5,000 6.50%; 11/15/06
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
BellSouth 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
10,000 10,000 6.88%; 10/15/31
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
British Telecommunications 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
20,000 20,000 7.88%; 12/15/05
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
France Telecom 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
10,000 10,000 9.25%; 03/01/11
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
SBC Communications 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
10,000 10,000 5.88%; 08/15/12
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Sprint Capital 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
5,000 5,000 6.00%; 01/15/07
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
10,000 10,000 6.90%; 05/01/19
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Telefonica Europe 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
10,000 10,000 7.75%; 09/15/10
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Telefonos de Mexico 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
10,000 10,000 8.25%; 01/26/06
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Verizon 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
10,000 10,000 6.50%; 09/15/11
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
10,000 10,000 7.38%; 04/01/32
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Verizon Florida 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
10,000 10,000 6.13%; 01/15/13
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Textile-Home Furnishings (0.01%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Mohawk Industries 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
5,000 5,000 6.50%; 04/15/07
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Tools-Hand Held (0.01%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Stanley Works 2,4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
5,000 5,000 4.90%; 11/01/12
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Transport-Rail (0.08%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Burlington Northern Santa Fe 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
5,000 5,000 7.95%; 08/15/30
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
CSX 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
15,000 15,000 6.25%; 10/15/08
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Union Pacific 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
25,000 25,000 5.75%; 10/15/07
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Total Bonds
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Federal Home Loan Mortgage Corporation (FHLMC) Certificates (2.47%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
65,000 65,000 FHLMC 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
63,168 63,168 FHLMC 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
479,487 479,487 FHLMC 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
630,755 630,755 FHLMC 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
151,197 151,197 FHLMC 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
64,700 64,700 FHLMC 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
18,881 18,881 FHLMC 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Total FHLMC Certificates
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Federal National Mortgage Association (FNMA) Certificates (1.57%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
150,000 150,000 FNMA 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
277,523 277,523 FNMA 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
402,444 402,444 FNMA 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
95,000 95,000 FNMA 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Total FNMA Certificates
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Government National Mortgage Association (GNMA) Certificates (0.72%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
42,048 42,048 GNMA I 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
223,040 223,040 GNMA I 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
41,837 41,837 GNMA I 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
67,561 67,561 GNMA II 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
14,435 14,435 GNMA II 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
35,671 35,671 GNMA II 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Total GNMA Certificates
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Treasury Bonds (2.00%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
U.S. Treasury 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
200,000 200,000 2.25%; 07/31/04
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
170,000 170,000 3.50%; 11/15/06
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
25,000 25,000 4.38%; 05/15/07
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
45,000 45,000 4.75%; 11/15/08
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
50,000 50,000 4.88%; 02/15/12
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
30,000 30,000 5.00%; 02/15/11
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
30,000 30,000 5.00%; 08/15/11
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
65,000 65,000 5.38%; 02/15/31
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
35,000 35,000 5.63%; 05/15/08
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
85,000 85,000 5.75%; 11/15/05
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
60,000 60,000 6.00%; 08/15/09
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
35,000 35,000 6.13%; 08/15/07
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
75,000 75,000 6.25%; 08/15/23
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
37,000 37,000 6.25%; 05/15/30
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
15,000 15,000 7.13%; 02/15/23
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
60,000 60,000 7.25%; 05/15/16
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
20,000 20,000 7.50%; 11/15/16
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
75,000 75,000 8.00%; 11/15/21
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Total Treasury Bonds
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Commercial Paper (1.70%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Finance-Mortgage Loan/Banker (1.70%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Investment in Joint Trading Account; Federal Home
Loan Bank System 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
1,056,827 1,056,827 1.72%; 11/01/02
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Total Commercial Paper
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Investment Companies (65.72%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Principal Investors Fund, Inc. (65.72%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
735,964 Bond & Mortgage Securities Fund
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
492,733 Government Securities Fund
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
94,911 International Emerging Markets Fund
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
645,057 International Fund I
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
689,428 LargeCap Growth Fund
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
523,484 LargeCap Value Fund
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
504,881 Partners LargeCap Growth Fund I
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
494,455 Partners LargeCap Value Fund
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
226,092 Partners SmallCap Growth Fund I
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
219,631 Preferred Securities Fund
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
233,070 SmallCap Growth Fund
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
243,865 SmallCap Value Fund
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Total Investment Companies
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Total Portfolio Investments (100.05%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Liabilities, net of cash & receivables (-0.05%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Total Net Assets (100.00%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Market Value
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Balanced Principal LifeTime
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Fund (4) 2030 Fund Combined
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
COMMON STOCKS (20.41%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Advertising Services (0.01%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
R.H. Donnelley 1,4 4,354 4,354
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Aerospace & Defense (0.01%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Esterline Technologies 1,4 3,993 3,993
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Aerospace & Defense Equipment (0.35%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
BE Aerospace 1,4 2,050 2,050
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
DRS Technologies 1,4 4,640 4,640
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Lockheed Martin 4 91,482 91,482
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Moog 1,4 6,642 6,642
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
United Technologies 4 109,156 109,156
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Agricultural Chemicals (0.01%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Agrium 4 3,838 3,838
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Agricultural Operations (0.01%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Delta & Pine Land 4 6,326 6,326
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Apparel Manufacturers (0.01%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Phillips-Van Heusen 4 4,462 4,462
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Quiksilver 1,4 4,802 4,802
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Applications Software (0.45%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Citrix Systems 1,4 3,247 3,247
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Intuit 1,4 29,594 29,594
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Microsoft 1,4 224,574 224,574
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Siebel Systems 1,4 24,515 24,515
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Auto-Medium & Heavy Duty Trucks (0.01%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Oshkosh Truck 4 5,126 5,126
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Auto/Truck Parts & Equipment-Original (0.02%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
American Axle & Manufacturing Holdings 1,4 5,214 5,214
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Tower Automotive 1,4 5,300 5,300
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Auto/Truck Parts & Equipment-Replacement (0.01%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Aftermarket Technology 1,4 3,784 3,784
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Building & Construction Products-Miscellaneous (0.01%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
ElkCorp 4 3,467 3,467
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Building Products-Air & Heating (0.01%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Lennox International 4 3,623 3,623
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Building Products-Wood (0.01%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Universal Forest Products 4 4,182 4,182
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Building-Heavy Construction (0.02%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Chicago Bridge & Iron 4 7,046 7,046
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Granite Construction 4 3,204 3,204
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Building-Residential & Commercial (0.11%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Dominion Homes 1,4 2,781 2,781
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Lennar 4 62,342 62,342
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Ryland Group 4 4,160 4,160
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Cable TV (0.10%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Comcast 1,4 62,357 62,357
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Casino Hotels (0.19%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Ameristar Casinos 1,4 2,990 2,990
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Aztar 1,4 3,783 3,783
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Harrah's Entertainment 1,4 25,620 25,620
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
MGM Mirage 4 34,210 34,210
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Park Place Entertainment 1,4 53,650 53,650
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Chemicals-Diversified (0.29%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
E.I. Du Pont de Nemours 4 132,412 132,412
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Georgia Gulf 4 4,133 4,133
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Hercules 1,4 22,272 22,272
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Rohm & Haas 4 22,291 22,291
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Chemicals-Specialty (0.01%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Albemarle 4 4,218 4,218
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Circuit Boards (0.01%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Benchmark Electronics 1,4 3,784 3,784
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Coal (0.01%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Arch Coal 4 6,423 6,423
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Coatings & Paint (0.01%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
RPM 4 6,175 6,175
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Collectibles (0.01%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Action Performance 1,4 5,366 5,366
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Commercial Banks (0.60%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Amsouth Bancorp 4 66,248 66,248
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Commerce Bancshares 4 59,848 59,848
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
First Midwest Bancorp 4 3,335 3,335
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
First Tennessee National 4 73,048 73,048
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Gold Banc 4 6,199 6,199
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Greater Bay Bancorp 4 5,639 5,639
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Independent Bank 4 1,700 1,700
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Local Financial 1,4 4,998 4,998
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
North Fork Bancorp. 4 71,151 71,151
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Old National Bancorp 4 4,760 4,760
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Sky Financial Group 4 5,189 5,189
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
South Financial Group 4 3,897 3,897
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
UnionBanCal 4 66,612 66,612
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Commercial Service-Finance (0.51%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
H&R Block 4 177,964 177,964
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Paychex 4 141,506 141,506
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Commercial Services (0.04%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Alliance Data Systems 1,4 17,340 17,340
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Central Parking 4 6,040 6,040
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Computer Data Security (0.00%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Netscreen Technologies 1,4 1,976 1,976
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Computer Services (0.11%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Computer Sciences 1,4 67,163 67,163
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Computers (0.04%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Hewlett-Packard 4 25,296 25,296
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Computers-Memory Devices (0.14%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
EMC 1,4 26,214 26,214
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Veritas Software 1,4 62,983 62,983
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Computers-Peripheral Equipment (0.00%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Electronics for Imaging 1,4 929 929
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Consulting Services (0.01%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Right Management Consultants 1,4 4,086 4,086
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Consumer Products-Miscellaneous (0.18%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
American Greetings 4 17,446 17,446
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Clorox 4 70,091 70,091
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Fortune Brands 4 19,023 19,023
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Scotts 1,4 3,808 3,808
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Containers-Metal & Glass (0.13%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Ball 4 61,506 61,506
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Owens-Illinois 1,4 21,102 21,102
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Containers-Paper & Plastic (0.06%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Pactiv 1,4 26,387 26,387
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Sealed Air 1,4 9,652 9,652
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Cosmetics & Toiletries (0.39%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Gillette 4 79,780 79,780
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Kimberly-Clark 4 25,235 25,235
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Procter & Gamble 4 139,751 139,751
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Data Processing & Management (0.25%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Acxiom 1,4 52,164 52,164
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Automatic Data Processing 4 101,221 101,221
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Decision Support Software (0.02%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Cognos 4 5,748 5,748
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
NetIQ 1,4 3,386 3,386
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Precise Software Solutions 1,4 6,380 6,380
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Diagnostic Kits (0.01%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Idexx Laboratories 1,4 5,865 5,865
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Distribution-Wholesale (0.01%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Aviall 1,4 3,359 3,359
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Diversified Financial Services (0.28%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Citigroup 4 175,512 175,512
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Diversified Manufacturing Operations (0.40%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
3M 4 48,237 48,237
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
A.O. Smith 4 5,270 5,270
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
General Electric 4 189,880 189,880
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Harsco 4 3,335 3,335
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Diversified Operations (0.01%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Walter Industries 4 5,059 5,059
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
E-Commerce-Services (0.06%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
WebMD 1,4 38,617 38,617
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Electric-Integrated (0.66%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Black Hills 4 4,216 4,216
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
CH Energy Group 4 7,428 7,428
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Edison International 1,4 75,274 75,274
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Entergy 4 93,912 93,912
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Exelon 4 111,888 111,888
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
PPL 4 60,221 60,221
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Progress Energy 4 40,051 40,051
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
TXU 4 15,068 15,068
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Electronic Components-Miscellaneous (0.01%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
OSI Systems 1,4 3,838 3,838
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Electronic Components-Semiconductor (0.18%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Applied Micro Circuits 1,4 2,301 2,301
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Intel 4 48,094 48,094
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
LSI Logic 1,4 21,535 21,535
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Omnivision Technologies 1,4 3,169 3,169
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Texas Instruments 4 38,540 38,540
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Electronics-Military (0.03%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
L-3 Communications Holdings 1,4 16,920 16,920
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Engineering-Research & Development Services (0.01%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
EMCOR Group 1,4 4,375 4,375
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
URS 1,4 5,119 5,119
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Engines-Internal Combustion (0.01%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Briggs & Stratton 4 5,383 5,383
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Enterprise Software & Service (0.07%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
BEA Systems 1,4 45,946 45,946
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Entertainment Software (0.01%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Activision 1,4 4,100 4,100
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Fiduciary Banks (0.15%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
State Street 4 93,496 93,496
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Finance-Investment Banker & Broker (0.37%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Bear Stearns 4 68,376 68,376
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Jefferies Group 4 6,248 6,248
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Merrill Lynch 4 116,886 116,886
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Morgan Stanley Dean Witter 4 37,752 37,752
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Finance-Mortgage Loan/Banker (0.15%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Federal National Mortgage Association 4 92,935 92,935
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Food-Confectionery (0.12%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
J.M. Smucker 4 4,027 4,027
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Wm. Wrigley Jr. 4 68,601 68,601
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Food-Miscellaneous/Diversified (0.05%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
American Italian Pasta 1,4 3,100 3,100
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Dole Food 4 20,860 20,860
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
J & J Snack Foods 1,4 4,440 4,440
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Ralcorp Holdings 1,4 4,070 4,070
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Food-Retail (0.08%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Whole Foods Market 1,4 24,260 24,260
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Winn-Dixie Stores 4 28,989 28,989
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Food-Wholesale & Distribution (0.40%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Supervalu 4 14,112 14,112
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Sysco 4 232,214 232,214
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Garden Products (0.01%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Toro 4 6,131 6,131
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Gas-Distribution (0.04%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
AGL Resources 4 7,050 7,050
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
New Jersey Resources 4 7,263 7,263
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Oneok 4 3,977 3,977
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Peoples Energy 4 4,726 4,726
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Southern Union 1,4 4,813 4,813
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Home Furnishings (0.00%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Bassett Furniture Industries 4 1,268 1,268
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Identification System-Development (0.00%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Paxar 1,4 3,461 3,461
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Industrial Gases (0.01%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Airgas 1,4 7,630 7,630
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Instruments-Controls (0.06%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Johnson Controls 4 27,300 27,300
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Photon Dynamics 1,4 4,507 4,507
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Watts Industries 4 4,117 4,117
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Internet Brokers (0.10%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
E*trade Group 1,4 60,975 60,975
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Internet Financial Services (0.01%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
IndyMac Bancorp 1,4 6,338 6,338
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Internet Security (0.23%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
CheckFree 1,4 63,329 63,329
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Internet Security Systems 1,4 4,246 4,246
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Symantec 1,4 76,800 76,800
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Investment Companies (0.01%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
American Capital Strategies 4 4,915 4,915
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Life & Health Insurance (0.01%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Scottish Annuity & Life Holdings 4 2,300 2,300
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Stancorp Financial Group 4 4,320 4,320
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Lottery Services (0.01%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Gtech Holdings 1,4 5,200 5,200
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Machinery-Construction & Mining (0.00%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Terex 1,4 2,682 2,682
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Machinery-General Industry (0.02%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Albany International 4 9,959 9,959
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Machinery-Material Handling (0.00%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Nacco Industries 4 3,024 3,024
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Medical Instruments (0.69%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Biomet 4 126,825 126,825
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Medtronic 4 275,072 275,072
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
St. Jude Medical 1,4 24,927 24,927
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Medical Products (0.56%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Johnson & Johnson 4 350,150 350,150
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Medical Sterilization Product (0.04%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Steris 1,4 24,408 24,408
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Medical-Biomedical/Gene (0.01%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Enzon 1,4 3,298 3,298
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Medical-Drugs (0.63%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Forest Laboratories 1,4 24,497 24,497
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
ICN Pharmaceuticals 4 19,456 19,456
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
OSI Pharmaceuticals 1,4 3,464 3,464
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Pfizer 4 340,892 340,892
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Salix Pharmaceuticals 1,4 4,346 4,346
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Medical-Generic Drugs (0.04%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Mylan Laboratories 4 22,344 22,344
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Medical-HMO (0.13%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Aetna 4 24,180 24,180
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
UnitedHealth Group 4 54,570 54,570
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Medical-Hospitals (0.19%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Curative Health Services 1,4 5,382 5,382
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Tenet Healthcare 1,4 111,119 111,119
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Medical-Outpatient & Home Medical Care (0.01%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Select Medical 1,4 5,305 5,305
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Medical-Wholesale Drug Distribution (0.40%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Cardinal Health 4 247,772 247,772
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Metal Processors & Fabrication (0.02%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Quanex 4 6,397 6,397
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Worthington Industries 4 8,855 8,855
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Metal-Diversified (0.00%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Hecla Mining 1,4 3,584 3,584
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Miscellaneous Investing (0.32%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Annaly Mortgage Management 4 57,323 57,323
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Capital Automotive 4 4,410 4,410
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
CBL & Associates Properties 4 7,392 7,392
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Chelsea Property Group 4 5,533 5,533
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Developers Diversified Realty 4 5,350 5,350
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Essex Property Trust 4 3,797 3,797
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Home Properties of New York 4 3,804 3,804
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Hospitality Properties Trust 4 3,272 3,272
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
IMPAC Mortgage Holdings 4 5,658 5,658
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Keystone Property Trust 4 3,645 3,645
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Macerich 4 4,552 4,552
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Mack-Cali Realty 4 61,825 61,825
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Manufactured Home Communities 4 4,283 4,283
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Pan Pacific Retail Properties 4 6,700 6,700
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Prentiss Properties Trust 4 4,312 4,312
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
PS Business Parks 4 5,387 5,387
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Regency Centers 4 5,314 5,314
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
SL Green Realty 4 4,085 4,085
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
United Dominion Realty Trust 4 3,175 3,175
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Money Center Banks (0.40%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Bank of America 4 246,394 246,394
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Motorcycle & Motor Scooter (0.19%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Harley-Davidson 4 120,290 120,290
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Multi-line Insurance (0.55%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Allstate 4 24,266 24,266
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
American International Group 4 163,256 163,256
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Cigna 4 34,333 34,333
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
MetLife 4 55,640 55,640
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Old Republic International 4 63,793 63,793
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Multimedia (0.39%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Belo 4 41,349 41,349
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Gannett 4 111,617 111,617
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
McGraw-Hill 4 69,015 69,015
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Walt Disney 4 17,869 17,869
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Networking Products (0.42%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Anixter International 1,4 3,230 3,230
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Black Box 1,4 5,073 5,073
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Cisco Systems 1,4 162,222 162,222
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Emulex 1,4 91,904 91,904
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Non-Ferrous Metals (0.01%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
RTI International Metals 1,4 4,968 4,968
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Non-hazardous Waste Disposal (0.01%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Allied Waste Industries 1,4 6,275 6,275
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Office Automation & Equipment (0.17%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Global Imaging Systems 1,4 4,781 4,781
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Ikon Office Solutions 4 25,700 25,700
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Xerox 1,4 75,298 75,298
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Oil Company-Exploration & Production (0.20%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Apache 4 67,034 67,034
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Denbury Resources 1,4 4,520 4,520
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Encore Acquisition 1,4 4,584 4,584
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Evergreen Resources 1,4 5,758 5,758
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Houston Exploration 1,4 3,378 3,378
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Newfield Exploration 1,4 40,239 40,239
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Oil Company-Integrated (0.69%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
ChevronTexaco 4 26,308 26,308
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
ConocoPhillips 4 17,945 17,945
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Exxon Mobil 4 315,058 315,058
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Occidental Petroleum 4 71,610 71,610
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Oil Field Machinery & Equipment (0.00%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Universal Compression Holdings 1,4 2,522 2,522
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Oil-Field Services (0.02%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Hanover Compressor 1,4 2,308 2,308
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Key Energy Services 1,4 4,376 4,376
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Seacor Smit 1,4 4,110 4,110
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Willbros Group 1,4 3,927 3,927
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Paper & Related Products (0.03%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Louisiana-Pacific 4 4,246 4,246
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Pope & Talbot 4 5,890 5,890
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Schweitzer-Mauduit International 4 7,933 7,933
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Printing-Commercial (0.00%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Banta 4 2,772 2,772
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Property & Casualty Insurance (0.25%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Arch Capital Group 1,4 5,882 5,882
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Fidelity National Financial 4 67,044 67,044
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Progressive 4 68,200 68,200
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Selective Insurance Group 4 4,032 4,032
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Travelers Property Casualty 1,4 1,154 1,154
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Travelers Property Casualty 1,4 2,542 2,542
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
W.R. Berkley 4 4,830 4,830
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Publicly Traded Investment Fund (1.70%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
iShares MSCI EAFE Index Fund 4 650,760 650,760
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
iShares MSCI Japan Index Fund 1,4 76,701 76,701
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
iShares MSCI Netherlands Index Fund 4 33,650 33,650
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
iShares MSCI Pacific ex-Japan Index Fund 1,4 88,400 88,400
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
iShares S&P Europe 350 Index Fund 4 205,516 205,516
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Publishing-Newspapers (0.09%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Tribune 4 58,140 58,140
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Regional Banks (1.20%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Bank One 4 136,923 136,923
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Fifth Third Bancorp 4 213,360 213,360
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Union Planters 4 68,672 68,672
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
US Bancorp 4 142,990 142,990
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Wells Fargo 4 185,225 185,225
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Reinsurance (0.01%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Platinum Underwriters Holdings 1,4 6,175 6,175
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Respiratory Products (0.01%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Respironics 1,4 4,152 4,152
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Retail-Apparel & Shoe (0.07%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Brown Shoe 4 6,385 6,385
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Charlotte Russe Holding 1,4 3,335 3,335
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Shoe Carnival 4 2,726 2,726
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Urban Outfitters 1,4 3,363 3,363
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Retail-Arts & Crafts (0.10%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Michaels Stores 1,4 60,696 60,696
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Retail-Auto Parts (0.01%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
CSK Auto 1,4 4,092 4,092
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
PEP Boys-Manny Moe & Jack 4 3,016 3,016
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Retail-Automobile (0.01%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Sonic Automotive 1,4 3,780 3,780
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Retail-Bedding (0.36%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Bed Bath & Beyond 1,4 220,561 220,561
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Retail-Building Products (0.03%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Home Depot 4 19,061 19,061
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Retail-Discount (0.11%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
ShopKo Stores 4 2,927 2,927
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Tuesday Morning 1,4 3,973 3,973
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Wal-Mart Stores 4 59,440 59,440
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Retail-Drug Store (0.09%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Duane Reade 1,4 4,810 4,810
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Walgreen 4 54,000 54,000
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Retail-Home Furnishings (0.07%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Haverty Furniture 4 3,570 3,570
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Pier 1 Imports 4 37,323 37,323
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Retail-Jewelry (0.02%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Tiffany 4 10,472 10,472
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Retail-Mail Order (0.01%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
J. Jill Group 1,4 3,234 3,234
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Retail-Major Department Store (0.09%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Sears Roebuck 4 56,196 56,196
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Retail-Regional Department Store (0.21%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Kohls 1,4 132,097 132,097
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Retail-Restaurants (0.12%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
CBRL Group 4 5,155 5,155
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
McDonald's 4 59,039 59,039
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Rare Hospitality International 1,4 6,403 6,403
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Red Robin Gourmet Burgers 1,4 3,615 3,615
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Retail-Sporting Goods (0.00%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Sports Authority 1,4 3,564 3,564
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Retail-Video Rental (0.01%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Movie Gallery 1,4 5,639 5,639
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Savings & Loans-Thrifts (0.14%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Dime Community Bancshares 4 4,620 4,620
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Flagstar Bancorp. 4 5,005 5,005
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Greenpoint Financial 4 63,177 63,177
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Independence Community Bank 4 5,904 5,904
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Pennfed Financial Services 4 5,240 5,240
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Webster Financial 4 3,565 3,565
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Schools (0.01%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Sylvan Learning Systems 1,4 6,413 6,413
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Semiconductor Component-Integrated Circuits (0.40%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Linear Technology 4 129,631 129,631
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Maxim Integrated Products 1,4 120,674 120,674
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
O2Micro International 1,4 1,098 1,098
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Semiconductor Equipment (0.13%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Applied Materials 1,4 75,300 75,300
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Photronics 1,4 3,764 3,764
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Steel-Producers (0.01%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Reliance Steel & Aluminum 4 3,771 3,771
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Steel Dynamics 1,4 4,951 4,951
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Steel-Specialty (0.01%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Gibraltar Steel 4 5,543 5,543
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Telecommunication Equipment (0.07%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
UTStarcom 1,4 42,188 42,188
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Telephone-Integrated (0.53%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Alltel 4 56,669 56,669
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
AT&T 4 149,438 149,438
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Level 3 Communications 1,4 28,126 28,126
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
SBC Communications 4 17,449 17,449
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Sprint 4 48,935 48,935
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Verizon Communications 4 30,774 30,774
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Therapeutics (0.01%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
CV Therapeutics 1,4 3,600 3,600
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Guilford Pharmaceuticals 1,4 3,514 3,514
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Tobacco (0.04%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Philip Morris 4 23,227 23,227
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Universal 4 4,931 4,931
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Tools-Hand Held (0.04%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Black & Decker 4 27,121 27,121
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Transport-Rail (0.29%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Genesee & Wyoming 1,4 3,504 3,504
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Kansas City Southern Industries 1,4 3,220 3,220
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Norfolk Southern 4 70,296 70,296
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Union Pacific 4 103,928 103,928
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Transport-Services (0.17%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
FedEx 4 105,316 105,316
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Transport-Truck (0.02%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Covenant Transport 1,4 4,807 4,807
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
SCS Transportation 4 910 910
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Yellow 4 5,815 5,815
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Travel Services (0.00%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Navigant International 1,4 3,658 3,658
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Wireless Equipment (0.11%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Motorola 4 70,747 70,747
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Total Common Stocks 12,657,698 12,657,698
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
BONDS (5.46%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Aerospace & Defense (0.02%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Northrop Grumman 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
7.75%; 02/15/31 11,253 11,253
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Aerospace & Defense Equipment (0.03%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Lockheed Martin 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
7.65%; 05/01/16 6,161 6,161
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
United Technologies 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
6.10%; 05/15/12 11,037 11,037
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Airlines (0.04%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Northwest Airlines 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
7.58%; 03/01/19 8,128 8,128
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Southwest Airlines 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
5.10%; 05/01/06 17,497 17,497
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Asset Backed Securities (0.07%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Chase Funding Mortgage Loan
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Asset-Backed Certificates 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
3.07%; 07/25/17 20,103 20,103
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
4.41%; 02/25/17 25,616 25,616
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Auto-Cars & Light Trucks (0.09%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
DaimlerChrysler Holding 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
7.13%; 04/10/03 30,450 30,450
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
7.30%; 01/15/12 16,240 16,240
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Ford Motor 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
7.45%; 07/16/31 7,640 7,640
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Auto/Truck Parts & Equipment-Original (0.04%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Delphi 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
6.50%; 05/01/09 5,094 5,094
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Lear 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
7.96%; 05/15/05 10,350 10,350
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
TRW 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
7.13%; 06/01/09 5,293 5,293
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Visteon 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
8.25%; 08/01/10 5,173 5,173
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Automobile Sequential (0.29%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Ford Credit Auto Owner Trust 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
4.72%; 12/15/05 104,458 104,458
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Toyota Auto Receivables Owner Trust 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
4.72%; 09/15/08 78,625 78,625
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Beverages-Non-alcoholic (0.04%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Coca-Cola Enterprises 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
4.38%; 09/15/09 5,016 5,016
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
5.25%; 05/15/07 10,753 10,753
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
PepsiAmericas 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
3.88%; 09/12/07 10,042 10,042
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Brewery (0.03%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Anheuser-Busch 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
4.38%; 01/15/13 9,811 9,811
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Coors Brewing 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
6.38%; 05/15/12 11,064 11,064
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Broadcasting Services & Programming (0.00%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Grupo Televisa 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
8.50%; 03/11/32 1,710 1,710
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Building & Construction Products-Miscellaneous (0.03%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
CRH America 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
6.95%; 03/15/12 4,417 4,417
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Masco 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
6.00%; 05/03/04 15,659 15,659
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Building Products-Air & Heating (0.02%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
York International 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
6.63%; 08/15/06 16,376 16,376
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Building Products-Cement & Aggregate (0.02%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Cemex Central Sa De Cv 2,4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
8.63%; 07/18/03 15,525 15,525
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Building-Residential & Commercial (0.01%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
DR Horton 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
8.50%; 04/15/12 9,825 9,825
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Cable TV (0.01%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
COX Communications 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
6.75%; 03/15/11 5,044 5,044
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Casino Hotels (0.01%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Mirage Resorts 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
6.75%; 02/01/08 10,006 10,006
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Casino Services (0.02%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
International Game Technology 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
8.38%; 05/15/09 10,950 10,950
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Cellular Telecommunications (0.03%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
AT&T Wireless Services 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
7.88%; 03/01/11 8,700 8,700
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Telus 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
7.50%; 06/01/07 4,125 4,125
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Verizon Wireless 2,4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
5.38%; 12/15/06 4,937 4,937
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Chemicals-Diversified (0.03%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Chevron Phillips Chemical 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
7.00%; 03/15/11 21,833 21,833
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Coatings & Paint (0.01%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Valspar 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
6.00%; 05/01/07 5,325 5,325
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Commercial Banks (0.08%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
KeyBank 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
5.70%; 08/15/12 5,222 5,222
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Union Planters Bank 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
5.13%; 06/15/07 10,318 10,318
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
US Bank 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
6.38%; 08/01/11 33,191 33,191
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Computer Services (0.01%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Unisys 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
8.13%; 06/01/06 5,100 5,100
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Computers (0.02%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
International Business Machines 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
4.25%; 09/15/09 9,922 9,922
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Computers-Integrated Systems (0.01%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
NCR 2,4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
7.13%; 06/15/09 5,344 5,344
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Credit Card Asset Backed Securities (0.23%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
American Express Credit Account Master Trust 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
5.53%; 10/15/08 108,540 108,540
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Citibank Credit Card Master Trust I 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
5.50%; 02/15/06 31,405 31,405
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Credit Card Control Amortization (0.06%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Sears Credit Account Master Trust 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
6.20%; 07/16/07 9,532 9,532
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
7.25%; 11/15/07 30,958 30,958
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Diversified Financial Services (0.15%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Citigroup 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
6.00%; 02/21/12 21,426 21,426
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
6.63%; 06/15/32 10,189 10,189
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
7.25%; 10/01/10 5,666 5,666
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
General Electric Capital 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
4.63%; 09/15/09 5,040 5,040
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
6.75%; 03/15/32 20,947 20,947
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
John Deere Capital 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
7.00%; 03/15/12 17,041 17,041
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Textron Financial 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
5.88%; 06/01/07 10,244 10,244
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Diversified Operations (0.02%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Kansas City Southern Railway 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
7.50%; 06/15/09 5,175 5,175
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Rio Tinto Finance 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
5.75%; 07/03/06 5,458 5,458
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Electric-Generation (0.02%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Allegheny Energy Supply 2,4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
8.25%; 04/15/12 1,590 1,590
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Reliant Energy Finance 2,4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
7.40%; 11/15/02 9,930 9,930
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Electric-Integrated (0.22%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Arizona Public Service 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
6.50%; 03/01/12 7,215 7,215
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Consumers Energy 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
6.00%; 03/15/05 4,799 4,799
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Duke Energy 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
6.25%; 01/15/12 5,212 5,212
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Exelon 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
6.75%; 05/01/11 5,331 5,331
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
GPU 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
7.70%; 12/01/05 15,838 15,838
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Indianapolis Power & Light 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
7.38%; 08/01/07 5,023 5,023
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
MidAmerican Energy Holdings 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
6.75%; 12/30/31 9,993 9,993
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Niagara Mohawk Power 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
5.38%; 10/01/04 15,592 15,592
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Oncor Electric Delivery 2,4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
6.38%; 05/01/12 15,261 15,261
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
PG&E National Energy Group 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
10.38%; 05/16/11 2,100 2,100
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Progress Energy 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
6.55%; 03/01/04 25,528 25,528
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
PSEG Power 2,4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
6.95%; 06/01/12 8,700 8,700
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Southwestern Electric Power 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
4.50%; 07/01/05 9,638 9,638
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Teco Energy 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
6.13%; 05/01/07 8,550 8,550
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Electronic Components-Miscellaneous (0.01%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Flextronics International 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
9.88%; 07/01/10 5,200 5,200
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Federal & Federally Sponsored Credit (0.06%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Federal Farm Credit Bank 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
7.25%; 06/12/07 23,442 23,442
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Housing Urban Development 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
2.99%; 08/01/05 15,224 15,224
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Finance-Auto Loans (0.14%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Ford Motor Credit 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
6.50%; 01/25/07 40,759 40,759
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
General Motors Acceptance 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
6.38%; 01/30/04 15,119 15,119
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
6.88%; 09/15/11 4,556 4,556
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
6.88%; 08/28/12 4,525 4,525
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
7.00%; 02/01/12 18,432 18,432
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
8.00%; 11/01/31 4,465 4,465
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Finance-Commercial (0.01%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
CIT Group 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
7.38%; 04/02/07 5,165 5,165
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Finance-Consumer Loans (0.07%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
American General Finance 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
5.38%; 09/01/09 5,091 5,091
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Household Finance 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
2.88%; 09/19/03 9,605 9,605
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
5.75%; 01/30/07 22,236 22,236
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
7.63%; 05/17/32 4,169 4,169
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Finance-Investment Banker & Broker (0.10%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Banque Paribas 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
6.88%; 03/01/09 16,694 16,694
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Goldman Sachs Group 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
6.60%; 01/15/12 16,303 16,303
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Lehman Brothers Holdings 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
6.63%; 01/18/12 16,278 16,278
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Morgan Stanley Dean Witter 3,4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
0.64%; 04/01/34 9,785 9,785
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Finance-Leasing Company (0.01%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Case Credit 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
6.13%; 02/15/03 4,888 4,888
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Finance-Mortgage Loan/Banker (0.78%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Countrywide Home Loans 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
5.25%; 06/15/04 30,922 30,922
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Federal Home Loan Bank System 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
5.75%; 05/15/12 16,450 16,450
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Federal Home Loan Mortgage 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
5.75%; 01/15/12 32,862 32,862
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
6.00%; 05/25/12 52,313 52,313
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
6.75%; 03/15/31 34,589 34,589
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Federal National Mortgage Association 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
3.70%; 11/01/07 25,501 25,501
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
3.75%; 07/29/05 35,787 35,787
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
4.32%; 07/26/07 20,945 20,945
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
5.00%; 01/20/07 10,394 10,394
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
5.00%; 03/12/07 35,440 35,440
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
5.25%; 08/01/12 15,384 15,384
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
5.50%; 03/15/11 129,763 129,763
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
6.00%; 05/15/08 28,117 28,117
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
6.25%; 07/19/11 15,852 15,852
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Finance-Other Services (0.07%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Mellon Funding 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
4.88%; 06/15/07 10,531 10,531
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Newcourt Credit Group 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
6.88%; 02/16/05 10,071 10,071
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Pemex Master Trust 2,4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
7.88%; 02/01/09 20,625 20,625
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Food-Flour & Grain (0.01%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Archer-Daniels-Midland 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
5.88%; 10/01/32 4,780 4,780
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Food-Miscellaneous/Diversified (0.04%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Corn Products International 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
8.45%; 08/15/09 4,806 4,806
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
General Mills 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
6.00%; 02/15/12 10,711 10,711
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Kraft Foods 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
6.50%; 11/01/31 10,612 10,612
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Food-Retail (0.03%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Kroger 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
7.50%; 04/01/31 10,742 10,742
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Safeway 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
5.80%; 08/15/12 10,470 10,470
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Forestry (0.03%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Weyerhaeuser 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
6.13%; 03/15/07 10,543 10,543
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
7.38%; 03/15/32 10,101 10,101
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Home Equity Sequential (0.02%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Residential Asset Securities 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
4.59%; 10/25/26 15,465 15,465
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Industrial Gases (0.03%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Praxair 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
4.75%; 07/15/07 10,525 10,525
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
6.50%; 03/01/08 5,622 5,622
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Life & Health Insurance (0.02%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Lincoln National 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
5.25%; 06/15/07 15,186 15,186
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Machinery-Electrical (0.01%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Emerson Electric 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
6.00%; 08/15/32 4,898 4,898
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Medical-Drugs (0.02%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
American Home Products 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
5.88%; 03/15/04 15,476 15,476
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Medical-HMO (0.03%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Anthem 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
4.88%; 08/01/05 20,485 20,485
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Medical-Hospitals (0.04%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
HCA 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
7.13%; 06/01/06 10,510 10,510
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Tenet Healthcare 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
5.00%; 07/01/07 10,300 10,300
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
6.50%; 06/01/12 4,944 4,944
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Metal-Aluminum (0.02%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Alcoa 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
4.25%; 08/15/07 10,314 10,314
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Metal-Diversified (0.02%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Falconbridge 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
7.35%; 06/05/12 5,155 5,155
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Noranda 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
7.25%; 07/15/12 9,627 9,627
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Miscellaneous Investing (0.03%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Camden Property Trust 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
5.88%; 06/01/07 5,256 5,256
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
New Plan Excel Realty Trust 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
5.88%; 06/15/07 5,211 5,211
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
United Dominion Realty Trust 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
6.50%; 06/15/09 10,430 10,430
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Money Center Banks (0.10%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Bank of America 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
4.88%; 09/15/12 39,778 39,778
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
JP Morgan Chase 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
5.35%; 03/01/07 10,526 10,526
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Royal Bank of Scotland Group 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
5.00%; 10/01/14 9,716 9,716
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Mortgage Backed Securities (0.52%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Bear Stearns Commercial Mortgage Securities 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
7.64%; 02/15/32 19,920 19,920
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Chase Commercial Mortgage Securities 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
7.76%; 04/15/32 11,880 11,880
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
DLJ Commercial Mortgage 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
7.62%; 06/10/33 17,734 17,734
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
First Union-Lehman Brothers-Bank of America 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
6.56%; 11/18/35 44,885 44,885
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
GMAC Commercial Mortgage Securities 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
6.96%; 09/15/35 34,277 34,277
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
JP Morgan Chase Commercial Mortgage Securities 2,3,
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
0.35%; 05/12/34 5,164 5,164
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
LB-UBS Commercial Mortgage Trust 2,3,4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
0.65%; 03/15/34 9,581 9,581
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Morgan Stanley Dean Witter Capital I 2,3,4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
0.31%; 12/15/35 10,697 10,697
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Nationslink Funding 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
7.23%; 06/20/31 109,399 109,399
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
PNC Mortgage Acceptance 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
7.33%; 12/10/32 58,076 58,076
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Multimedia (0.11%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
AOL Time Warner 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
6.15%; 05/01/07 14,837 14,837
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
7.63%; 04/15/31 9,061 9,061
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Gannett 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
4.95%; 04/01/05 10,556 10,556
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
6.38%; 04/01/12 5,606 5,606
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Viacom 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
6.40%; 01/30/06 5,420 5,420
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
6.63%; 05/15/11 11,051 11,051
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Walt Disney 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
6.38%; 03/01/12 10,734 10,734
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Municipal-County (0.01%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Region of Lombardy 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
5.80%; 10/25/32 5,056 5,056
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Non-hazardous Waste Disposal (0.01%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Allied Waste 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
8.50%; 12/01/08 4,875 4,875
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Oil & Gas Drilling (0.04%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Nabors Holdings 2,4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
4.88%; 08/15/09 10,215 10,215
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Northern Natural Gas 2,4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
6.88%; 05/01/05 10,525 10,525
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Transocean 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
6.63%; 04/15/11 5,286 5,286
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Oil Company-Exploration & Production (0.15%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Alberta Energy 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
7.38%; 11/01/31 5,564 5,564
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Anadarko Petroleum 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
5.00%; 10/01/12 4,973 4,973
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
5.38%; 03/01/07 10,675 10,675
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Canadian Natural Resources 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
7.20%; 01/15/32 5,382 5,382
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Devon Energy 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
7.95%; 04/15/32 5,799 5,799
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Kerr-McGee 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
5.88%; 09/15/06 26,981 26,981
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Nexen 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
7.88%; 03/15/32 5,039 5,039
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Petroleos Mexicanos 2,4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
6.50%; 02/01/05 15,525 15,525
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Union Oil Company of California 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
5.05%; 10/01/12 4,879 4,879
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
XTO Energy 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
7.50%; 04/15/12 10,600 10,600
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Oil Company-Integrated (0.07%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Amerada Hess 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
7.13%; 03/15/33 5,155 5,155
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
ConocoPhillips 2,4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
4.75%; 10/15/12 14,777 14,777
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Marathon Oil 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
6.80%; 03/15/32 14,960 14,960
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
PanCanadian Energy 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
7.20%; 11/01/31 5,486 5,486
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Oil Refining & Marketing (0.02%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Valero Energy 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
6.88%; 04/15/12 14,463 14,463
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Oil-Field Services (0.01%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Hanover Equipment Trust 2,4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
8.50%; 09/01/08 4,750 4,750
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Paper & Related Products (0.10%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Domtar 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
7.88%; 10/15/11 11,275 11,275
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
International Paper 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
6.75%; 09/01/11 27,378 27,378
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Norske Skogindustrier 2,4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
7.63%; 10/15/11 10,647 10,647
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Sappi Papier Holding 2,4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
6.75%; 06/15/12 5,376 5,376
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Stora Enso Oyj 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
7.38%; 05/15/11 5,649 5,649
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Pipelines (0.07%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Duke Energy Field Services 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
7.88%; 08/16/10 14,761 14,761
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Kinder Morgan Energy Partners 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
6.75%; 03/15/11 5,290 5,290
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Plains All American Pipeline 2,4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
7.75%; 10/15/12 5,100 5,100
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Tennessee Gas Pipeline 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
8.38%; 06/15/32 9,500 9,500
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Texas Eastern Transmission 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
5.25%; 07/15/07 10,365 10,365
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Poultry (0.03%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Tyson Foods 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
6.63%; 10/01/04 15,851 15,851
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Property & Casualty Insurance (0.03%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
ACE 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
6.00%; 04/01/07 15,735 15,735
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
5.75%; 03/15/07 3,082 3,082
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Publishing-Books (0.03%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Reed Elsevier Capital 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
6.13%; 08/01/06 16,198 16,198
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Real Estate Operator & Developer (0.04%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
EOP Operating 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
7.00%; 07/15/11 10,654 10,654
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
7.38%; 11/15/03 5,207 5,207
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
First Industrial 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
6.88%; 04/15/12 10,578 10,578
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Regional Authority (0.10%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Financement Quebec 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
5.00%; 10/25/12 15,269 15,269
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Province of Nova Scotia 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
5.75%; 02/27/12 16,208 16,208
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Province of Ontario 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
5.13%; 07/17/12 10,445 10,445
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Province of Quebec 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
5.75%; 02/15/09 5,486 5,486
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
7.50%; 09/15/29 12,275 12,275
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Regional Banks (0.18%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
KeyCorp 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
4.63%; 05/16/05 20,756 20,756
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Korea Development Bank 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
7.13%; 04/22/04 26,678 26,678
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
PNC Funding 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
5.75%; 08/01/06 20,993 20,993
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Wachovia 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
5.63%; 12/15/08 21,172 21,172
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Wells Fargo 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
5.13%; 02/15/07 21,379 21,379
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Research & Development (0.02%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Science Applications International 2,4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
7.13%; 07/01/32 9,907 9,907
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Retail-Discount (0.03%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Target 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
5.38%; 06/15/09 10,605 10,605
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Wal-Mart Stores 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
4.38%; 07/12/07 10,436 10,436
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Retail-Drug Store (0.01%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
CVS 2,4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
7.77%; 01/10/12 5,460 5,460
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Retail-Major Department Store (0.01%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Sears Roebuck Acceptance 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
7.00%; 06/01/32 6,254 6,254
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Retail-Regional Department Store (0.01%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Federated Department Stores 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
7.00%; 02/15/28 4,999 4,999
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Retail-Restaurants (0.02%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Yum! Brands 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
7.70%; 07/01/12 10,350 10,350
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Sovereign (0.07%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Finland Government 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
4.75%; 03/06/07 5,411 5,411
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Italy Government 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
5.63%; 06/15/12 10,908 10,908
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Mexico Government 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
8.38%; 01/14/11 21,550 21,550
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Poland Government 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
6.25%; 07/03/12 5,425 5,425
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Special Purpose Entity (0.01%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Ahold Lease 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
7.82%; 01/02/20 5,383 5,383
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Supranational Bank (0.04%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Corp Andina de Fomento 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
6.75%; 03/15/05 4,176 4,176
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
6.88%; 03/15/12 10,009 10,009
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
European Investment Bank 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
4.63%; 03/01/07 10,578 10,578
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Telecommunication Services (0.02%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Citizens Communications 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
6.38%; 08/15/04 10,000 10,000
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Telephone-Integrated (0.24%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Alltel 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
7.00%; 07/01/12 11,263 11,263
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
AT&T 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
6.00%; 03/15/09 14,325 14,325
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
6.50%; 11/15/06 5,000 5,000
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
BellSouth 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
6.88%; 10/15/31 10,754 10,754
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
British Telecommunications 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
7.88%; 12/15/05 22,317 22,317
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
France Telecom 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
9.25%; 03/01/11 11,033 11,033
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
SBC Communications 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
5.88%; 08/15/12 10,628 10,628
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Sprint Capital 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
6.00%; 01/15/07 4,035 4,035
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
6.90%; 05/01/19 6,714 6,714
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Telefonica Europe 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
7.75%; 09/15/10 11,215 11,215
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Telefonos de Mexico 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
8.25%; 01/26/06 10,537 10,537
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Verizon 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
6.50%; 09/15/11 10,548 10,548
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
7.38%; 04/01/32 10,394 10,394
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Verizon Florida 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
6.13%; 01/15/13 10,245 10,245
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Textile-Home Furnishings (0.01%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Mohawk Industries 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
6.50%; 04/15/07 5,466 5,466
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Tools-Hand Held (0.01%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Stanley Works 2,4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
4.90%; 11/01/12 4,996 4,996
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Transport-Rail (0.08%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Burlington Northern Santa Fe 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
7.95%; 08/15/30 5,963 5,963
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
CSX 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
6.25%; 10/15/08 16,248 16,248
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Union Pacific 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
5.75%; 10/15/07 27,003 27,003
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Total Bonds 3,388,210 3,388,210
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Federal Home Loan Mortgage Corporation (FHLMC) Certificates (2.47%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
FHLMC 4 65,947 65,947
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
FHLMC 4 65,283 65,283
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
FHLMC 4 497,339 497,339
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
FHLMC 4 655,062 655,062
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
FHLMC 4 157,931 157,931
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
FHLMC 4 68,361 68,361
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
FHLMC 4 20,156 20,156
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Total FHLMC Certificates 1,530,079 1,530,079
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Federal National Mortgage Association (FNMA) Certificates (1.57%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
FNMA 4 153,325 153,325
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
FNMA 4 288,090 288,090
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
FNMA 4 418,797 418,797
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
FNMA 4 115,123 115,123
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Total FNMA Certificates 975,335 975,335
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Government National Mortgage Association (GNMA) Certificates (0.72%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
GNMA I 4 43,830 43,830
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
GNMA I 4 234,344 234,344
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
GNMA I 4 44,484 44,484
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
GNMA II 4 70,149 70,149
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
GNMA II 4 15,316 15,316
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
GNMA II 4 38,013 38,013
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Total GNMA Certificates 446,136 446,136
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Treasury Bonds (2.00%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
2.25%; 07/31/04 202,188 202,188
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
3.50%; 11/15/06 176,308 176,308
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
4.38%; 05/15/07 26,800 26,800
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
4.75%; 11/15/08 48,878 48,878
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
4.88%; 02/15/12 53,913 53,913
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
5.00%; 02/15/11 32,717 32,717
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
5.00%; 08/15/11 32,678 32,678
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
5.38%; 02/15/31 68,608 68,608
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
5.63%; 05/15/08 39,608 39,608
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
5.75%; 11/15/05 93,995 93,995
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
6.00%; 08/15/09 69,349 69,349
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
6.13%; 08/15/07 40,248 40,248
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
6.25%; 08/15/23 86,124 86,124
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
6.25%; 05/15/30 42,976 42,976
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
7.13%; 02/15/23 18,906 18,906
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
7.25%; 05/15/16 75,752 75,752
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
7.50%; 11/15/16 25,783 25,783
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
8.00%; 11/15/21 102,433 102,433
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Total Treasury Bonds 1,237,264 1,237,264
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Commercial Paper (1.70%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Finance-Mortgage Loan/Banker (1.70%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Investment in Joint Trading Account; Federal Home Loan Bank Ssytem 4
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
1.72%; 11/01/02 1,056,827 1,056,827
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Total Commercial Paper 1,056,827 1,056,827
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Investment Companies (65.72%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Principal Investors Fund, Inc. (65.72%)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Bond & Mortgage Securities Fund 7,823,293 7,823,293
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Government Securities Fund 5,222,973 5,222,973
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
International Emerging Markets Fund 827,625 827,625
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
International Fund I 4,205,773 4,205,773
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
LargeCap Growth Fund 3,509,190 3,509,190
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
LargeCap Value Fund 4,329,213 4,329,213
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Partners LargeCap Growth Fund I 3,074,724 3,074,724
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Partners LargeCap Value Fund 4,642,930 4,642,930
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Partners SmallCap Growth Fund I 1,157,593 1,157,593
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Preferred Securities Fund 2,262,201 2,262,201
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
SmallCap Growth Fund 1,144,372 1,144,372
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
SmallCap Value Fund 2,555,709 2,555,709
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Total Investment Companies 40,755,596 40,755,596
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Total Portfolio Investments (100.05%) 21,291,549 40,755,596 62,047,145
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Liabilities, net of cash & receivables (-0.05%) -278,794 248,293 -30,501
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Total Net Assets (100.00%) $ 21,012,755 $ 41,003,889 $ 62,016,644
- ------------------------------------------------------------==================================================================
- ------------------------------------------------------------==================================================================
1 Non-income producing security.
2 Restricted Security - The fund held securities, which may require
registration under the Securities Act of 1933, or an exemption therefrom,
in order to effect their sale in the ordinary course of business. At the
end of the period, restricted securities totaled $204,632 or 0.33% of net
assets.
3 Variable rate.
4 The Manager anticipates the liquidation of these securities prior to the
merger.
PART C: OTHER INFORMATION
Item 15. Indemnification.
The information required in response to this item is incorporated herein by
reference to Item 25 of Post-Effective Amendment No. 27 to Registrant's
Registration Statement on Form N-1A (File No. 33-59474) as filed with the
Commission on February 25, 2003.
Item 16. Exhibits.
Exhibit Number Description
(1)(a) Articles of Amendment and Restatement of the Charter of the
Registrant - incorporated herein by reference to Exhibit (a)(1)c to
Post-Effective Amendment No. 26 to Registrant's Registration Statement
on Form N-1A (File No. 33-59474) as filed with the Commission on
December 30, 2002.
(1)(b) Articles Supplementary are incorporated herein by reference to
Exhibit (a)(4) to Post-Effective Amendment No. 19, 26 and 27 to
Registrant's Registration Statement on Form N1-A (File No. 33-59474)
as filed with the Commission on October 12, 2001, December 30, 2002
and February 25, 2003 respectively.
(2) By-Laws of the Registrant - incorporated herein by reference to
Exhibit (b) to Post-Effective Amendment No. 12 to Registrant's
Registration Statement on Form N-1A (File No. 33-59474) as filed with
the Commission on September 22, 2000.
(3) None
(4) Copy of Plan of Acquisition (included as Appendix A to the Information
Statement/Prospectus, which is part of the Registration Statement on
Form N-14).
(5) None
(6)(a) Management Agreement with Principal Management Corporation -
incorporated herein by reference to Exhibit (d)(1)c to Post-Effective
Amendment No. 13 to Registrant's Registration Statement on Form N-1A
(File No. 33-59474) as filed with the Commission on December 5, 2000.
(6)(b) Sub-Advisory Agreement with Principal Global Investors LLC-
incorporated herein by reference to Exhibit (d)(2)c to Post-Effective
Amendment No. 26 to Registrant's Registration Statement on Form N-1A
(File No. 33-59474) as filed with the Commission on December 30, 2002.
(7)(a) Distribution Agreement - incorporated herein by reference to Exhibit
(e)(1)i to Post-Effective Amendment No. 26 to Registrant's
Registration Statement on Form N-1A (File No. 33-59474) as filed with
the Commission on December 30, 2002.
(7)(b) Dealer Selling Agreement - incorporated herein by reference to
Exhibit (e)(2) to Post-Effective Amendment No. 18 to Registrant's
Registration Statement on Form N-1A (File No. 33-59474) as filed with
the Commission on June 12, 2001.
(8) None
(9) Custody Agreement - incorporated herein by reference to Exhibit
(g)(2)b to Post-Effective Amendment No. 13 to Registrant's
Registration Statement on Form N-1A (File No. 33-59474) as filed with
the Commission on December 5, 2000.
1
(10)(a) 12b-1 Plan - Advisors Preferred Class Shares 12b-1 Plan is
incorporated herein by reference to Exhibit (m)(1) to Post-Effective
Amendment No. 12 to Registrant's Registration Statement on Form N-1A
(File No. 33-59474) as filed with the Commission on September 22,
2000.
(10)(b) 12b-1 Plan - Advisors Select Class Shares 12b-1 Plan - incorporated
herein by reference to Exhibit (m)(1) to Post-Effective Amendment No.
12 to Registrant's Registration Statement on Form N-1A (File No.
33-59474) as filed with the Commission on September 22, 2000.
(10)(c) 12b-1 Plan - Select Class Shares 12b-1 Plan.
(10)(d) 12b-1 Plan - Class J Shares 12b-1 Plan.
(10)(e) Rule 18f-3 - Multiple Class Distribution Plan - incorporated herein
by reference to Exhibit (o) to Post-Effective Amendment No. 12 to
Registrant's Registration Statement on Form N-1A (File No. 33-59474)
as filed with the Commission on September 22, 2000.
(11) Opinion and consent of Counsel regarding legality of securities being
registered.
(12) Opinion and consent of Counsel regarding certain tax matters and
consequences to shareholders.
(13) None
(14) Consent of Independent Auditors
(15) None
(16) Powers of attorney executed by L. D. Zimpleman, J. E. Aschenbrenner,
R. C. Eucher, J. D. Davis, P. A. Ferguson, R. W. Gilbert, B. A.
Lukavsky and W. C. Kimball.
(17)(a) Voting Instruction Form
(17)(b) Registrant's Rule 24f-2 Notice pursuant to Rule 24f-2 under the
Investment Company Act of 1940 for its fiscal year ended October 31,
2002 - incorporated herein by reference to Form 24f-2 filed with the
Commission on January 23, 2003.
Item 17. Undertakings.
The undersigned registrant agrees that prior to any public offering of the
securities registered through the use of a prospectus which is a part of this
registration statement by any person or party who is deemed to be an underwriter
within the meaning of Rule 145(c) of the Securities Act [17 CFR 230.145c], the
reoffering prospectus will contain the information called for by the applicable
registration form for reofferings by persons who may be deemed underwriters, in
addition to the information called for by the other items of the applicable
form.
The undersigned registrant agrees that every prospectus that is filed under
paragraph (1) above will be filed as part of an amendment to the registration
statement and will not be used until the amendment is effective, and that, in
determining any liability under the 1933 Act, each post-effective amendment
shall be deemed to be a new registration statement for the securities offered
therein, and the offering of securities at that time shall be deemed to be the
initial bona fide offering of them.
2
SIGNATURES
As required by the Securities Act of 1933, this registration statement has been
signed on behalf of the registrant, in the City of Des Moines and the State of
Iowa, on the 10th day of March, 2003.
Principal Investors Fund, Inc.
By:____________________________________
Ralph C. Eucher
President
As required by the Securities Act of 1933, this registration statement has been
signed by the following persons in the capacities and on the dates indicated:
SIGNATURE TITLE DATE
--------- ----- ----
__________________________ March 10, 2003
R. C. Eucher Director and President
(Principal Executive Officer)
_(L. D. Zimpleman*)_______ Director and March 10, 2003
L. D. Zimpleman Chairman of the Board
_(J. E. Aschenbrenner*)___ Director March 10, 2003
J. E. Aschenbrenner
_(J. D. Davis*)___________ Director March 10, 2003
J. D. Davis
_(P. A. Ferguson*)________ Director March 10, 2003
P. A. Ferguson
_(R. W. Gilbert*)_________ Director March 10, 2003
R. W. Gilbert
_(B. A. Lukavsky*)________ Director March 10, 2003
B. A. Lukavsky
_(W. C. Kimball*)_________ Director March 10, 2003
W. C. Kimball
_______________________ Executive Vice President March 10, 2003
M. J. Beer and Chief Financial Officer
(Principal Financial and
Accounting Officer)
By:____________________________________
R. C. Eucher
Attorney-in-Fact *Pursuant to powers
of attorney previously filed
3
March 10, 2003
Board of Directors
Principal Investors Fund, Inc.
Des Moines, IA 50392-0200
RE Registration Statement on Form N-14
Pursuant to Securities Act of 1933
I am familiar with the proposed issuance by Principal Investors Fund, Inc. of
shares of each of its share classes of common stock of the LifeTime 2030 Fund
series, par value $.01 per share, in connection with the transfer to it of the
assets and liabilities of the Balanced Fund series pursuant to the terms of a
Plan of Acquisition (the "Shares"). I am also familiar with the above-referenced
Registration Statement (the "Registration Statement") filed with the Securities
and Exchange Commission relating to the offer and sale of Shares. Based upon
such investigation as I have deemed necessary, I am of the opinion that the
Shares, when issued in accordance with the terms described in the Registration
Statement, will be legally issued, fully paid and non-assessable.
I hereby consent to the filing of this opinion as a exhibit to the Registration
Statement.
Very truly yours,
Michael D. Roughton
Counsel
4
February 18, 2003
Board of Directors
Principal Investor's Fund, Inc.
711 High Street
Des Moines, IA 50309
RE Acquisition of Balanced Fund
By LifeTime 2030 Fund
To the Board of Directors and Shareholders
LifeTime 2030 Fund intends to acquire all of the assets and assume all of the
liabilities of Balanced Fund ("Balanced") in a transaction described in a Form
N-14 Registration Statement to be filed with the United States Securities and
Exchange Commission (the "Registration Statement") on or about March 10, 2003.
You have asked for an opinion concerning the Federal income tax consequences of
the proposed transaction.
LifeTime 2030 Fund is a series fund, meaning a segregated portfolio of assets,
of Principal Investors Fund, Inc., a Maryland Corporation. Continuously since
its formation it has qualified as a regulated investment company for purposes of
Subchapter M of the United States Internal Revenue Code of 1986 (the "Code") and
has elected to be taxed as such.
Balanced is also a series fund of Principal Investors Fund, Inc. Balanced, like
LifeTime 2030 Fund, has qualified since its inception as a regulated investment
company for purposes of the Code, and has elected to be taxed as such.
LifeTime 2030 Fund and Balanced are each a diversified, open-end management
company registered with the Securities and Exchange Commission and various
states.
LifeTime 2030 Fund will acquire all of the assets of Balanced, and assume all of
its liabilities, in exchange for LifeTime 2030 Fund shares. Balanced will
immediately liquidate and dissolve, distributing the shares of LifeTime 2030
Fund to Balanced shareholders in retirement of their Balanced shares. Each
holder of shares of Balanced will as a result of the transaction own shares of
LifeTime 2030 Fund of equal value.
5
Board of Directors
Page Two
February 18, 2003
In reliance on the information provided in the Registration Statement, I am of
the opinion that:
1. The acquisition of all of the assets and liabilities of Balanced by
LifeTime 2030 Fund in exchange for shares of LifeTime 2030 Fund, followed
by distribution of those shares of LifeTime 2030 Fund to shareholders of
Balanced in liquidation of Balanced, will constitute a reorganization
within the meaning of section 368(a)(1)(C) of the Code.
2. Shareholders of Balanced will recognize no gain or loss as a consequence of
the surrender of their shares of Balanced in exchange for shares of
LifeTime 2030 Fund pursuant to the liquidation of Balanced. (Code Section
354).
3. The tax basis and holding period of shares of LifeTime 2030 Fund acquired
in exchange for shares of Balanced will be the same as the tax basis and
the holding period of the shares of Balanced exchanged therefore. (Code
Sections 354 and 1223).
4. Balanced will recognize no gain or loss on the transfer of all of its
assets to LifeTime 2030 Fund. (Code Section 361(a)).
5. The tax basis of the assets of Balanced in the hands of LifeTime 2030 Fund
will be the same as the tax basis of those assets in the hands of Balanced
immediately prior to the acquisition. (Code Section 362(b)).
The foregoing opinions are based on the Code, current Treasury Regulations
issued thereunder, published administrative, interpretations thereof and
judicial decisions with respect thereto (collectively the "Tax Law") as of the
date hereof. No assurance can be given that the Tax Laws will not change.
I hereby consent to the use of this letter as an Exhibit to, and reference to it
in, the Registration Statement.
Sincerely yours,
Randy Bergstrom
Counsel to Principal Investors Fund, Inc.
6
Consent of Independent Auditors
We consent to the reference to our firm under the caption "Financial Statements"
in the Statement of Additional Information and to the incorporation by reference
of our report dated November 27, 2002, with respect to the financial statements
and financial highlights of the LifeTime 2030 Fund and Balanced Fund of the
Principal Investors Fund, Inc. incorporated by reference in this Registration
Statement Under the Securities Act of 1933 (Form N-14), filed with the
Securities and Exchange Commission.
LOGO
/s/Ernst & Young LLP
Ernst & Young LLP
Des Moines, Iowa
March 7, 2003
7
logo
Principal
Financial
Group
Name Account No.: Account #
Address Shares: # of Shares
Address
City, State ZIP
Principal Investors Fund, Inc
Des Moines, Iowa 50392-2080
VOTING INSTRUCTION FORM FOR A SPECIAL MEETING OF SHAREHOLDERS
May 14, 2003
Principal Life Insurance Company, the custodian of your Individual Retirement
Account, is soliciting instructions, as provided in the IRA Custodial Agreement,
for voting Class J shares of the Balanced Fund, a series of Principal Investors
Fund, Inc., at the Special Meeting of the Fund to be held on May 14, 2003 at
2:00 p.m. C.D.T.
Please check the appropriate box on the back of this form, date and sign exactly
as your name appears. Your signature acknowledges receipt of Notice of Special
Meeting of Shareholders and Information Statement dated April 10, 2003. If you
complete, sign and return the form, Principal Life Insurance Company will vote
as you have instructed. If you simply sign and return the form, it will be voted
FOR the proposal. If your instructions are not received, votes will be cast in
proportion to the instructions received from all plan participants with a voting
interest in the same share class of this Series. The Board of Directors of the
Fund recommends that you vote FOR the following proposal. Please mark your
choices by filling in the appropriate box below. Sign and return the voting
instruction form as soon as possible in the enclosed envelope.
Voting Instruction
I hereby instruct Principal Life Insurance Company, as custodian of my
IRA, to vote all of the full and fractional Class J shares of the
Balanced Fund included in my IRA as indicated below. Receipt of the
Notice of the Special Shareholders Meeting and of the Information
Statement for said Special Meeting is acknowledged. Discretionary
authority is hereby conferred as to all other matters as may properly
come before the meeting.
1. Approval of a Plan of Acquisition and the transactions contemplated
thereby, pursuant to which the Principal LifeTime 2030 Fund, a
series of Principal Investors Fund, Inc., will acquire all the
assets and assume all the liabilities of the Balanced Fund and
issue in exchange shares of its Preferred Class, Advisors Preferred
Class, Select Class, Advisors Select Class, Institutional Class,
and Class J common stock and the Balanced Fund will distribute
those shares to its Preferred Class, Advisors Preferred Class,
Select Class, Advisors Select Class, Institutional Class, and Class
J shareholders in redemption of all its outstanding shares and then
dissolve.
_____ FOR _____ AGAINST _____ ABSTAIN
NOTE: Please sign exactly as your name appears on this form.
Signature _____________________________ ___________________________, 2003