UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM N-CSR
CERTIFIED SHAREHOLDER REPORT OF REGISTERED
MANAGEMENT INVESTMENT COMPANIES
Investment Company Act File No. 811-5041
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Credit Suisse Capital Appreciation Fund
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(Exact Name of Registrant as Specified in Charter)
466 Lexington Avenue, New York, New York 10017-3140
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(Address of Principal Executive Offices) (Zip Code)
J. Kevin Gao, Esq.
Credit Suisse Capital Appreciation Fund
466 Lexington Avenue
New York, New York 10017-3140
Registrant's telephone number, including area code: (212) 875-3500
Date of fiscal year end: October 31
Date of reporting period: November 1, 2004 to April 30, 2005
ITEM 1. REPORTS TO STOCKHOLDERS.
CREDIT | ASSET
SUISSE | MANAGEMENT
CREDIT SUISSE FUNDS
Semiannual Report
April 30, 2005
(unaudited)
o CREDIT SUISSE
CAPITAL APPRECIATION FUND
o CREDIT SUISSE
MID-CAP GROWTH FUND
o CREDIT SUISSE
SMALL CAP GROWTH FUND
The Funds' investment objectives, risks, charges and expenses (which should be
considered carefully before investing), and more complete information about the
the Funds, are provided in the PROSPECTUS, which should be read carefully before
investing. You may obtain additional copies by calling 800-927-2874 or by
writing to Credit Suisse Funds, P.O. Box 55030, Boston, MA 02205-5030.
Credit Suisse Asset Management Securities, Inc., Distributor, is located at 466
Lexington Ave., New York, NY 10017-3140. Credit Suisse Funds are advised by
Credit Suisse Asset Management, LLC.
INVESTORS IN THE CREDIT SUISSE FUNDS SHOULD BE AWARE THAT THEY MAY BE ELIGIBLE
TO PURCHASE COMMON CLASS AND/OR ADVISOR CLASS SHARES (WHERE OFFERED) DIRECTLY OR
THROUGH CERTAIN INTERMEDIARIES. SUCH SHARES ARE NOT SUBJECT TO A SALES CHARGE
BUT MAY BE SUBJECT TO AN ONGOING SERVICE AND DISTRIBUTION FEE OF UP TO 0.50% OF
AVERAGE DAILY NET ASSETS. INVESTORS IN THE CREDIT SUISSE FUNDS SHOULD ALSO BE
AWARE THAT THEY MAY BE ELIGIBLE FOR A REDUCTION OR WAIVER OF THE SALES CHARGE
WITH RESPECT TO CLASS A, B OR C SHARES. FOR MORE INFORMATION, PLEASE REVIEW THE
RELEVANT PROSPECTUSES OR CONSULT YOUR FINANCIAL REPRESENTATIVE.
THE VIEWS OF THE FUNDS' MANAGEMENT ARE AS OF THE DATE OF THE LETTER AND FUND
HOLDINGS DESCRIBED IN THIS DOCUMENT ARE AS OF APRIL 30, 2005; THESE VIEWS AND
FUND HOLDINGS MAY HAVE CHANGED SUBSEQUENT TO THESE DATES. NOTHING IN THIS
DOCUMENT IS A RECOMMENDATION TO PURCHASE OR SELL SECURITIES.
FUND SHARES ARE NOT DEPOSITS OR OTHER OBLIGATIONS OF CREDIT SUISSE ASSET
MANAGEMENT, LLC ("CSAM") OR ANY AFFILIATE, ARE NOT FDIC-INSURED AND ARE NOT
GUARANTEED BY CSAM OR ANY AFFILIATE. FUND INVESTMENTS ARE SUBJECT TO INVESTMENT
RISKS, INCLUDING LOSS OF YOUR INVESTMENT.
CREDIT SUISSE CAPITAL APPRECIATION FUND
SEMIANNUAL INVESTMENT ADVISER'S REPORT
April 30, 2005 (unaudited)
- --------------------------------------------------------------------------------
May 25, 2005
Dear Shareholder:
PERFORMANCE SUMMARY
11/01/04 - 04/30/05
SHARE CLASS/BENCHMARK PERFORMANCE
Common 1 0.98%
Advisor 1 0.75%
Class A 1,2 0.86%
Class B 1,2 0.47%
Class C 1,2 0.54%
Russell 1000 (R) Growth Index 3 1.15%
Performance for the Fund's Class A shares, Class B shares and Class C
shares is without the maximum sales charge of 5.75%, 4.00% and 1.00%,
respectively. 2
MARKET OVERVIEW: STRONG START, BUT MOMENTUM FADES
Stocks surged in the first two months of the period, aided by a concluded
Presidential election that removed a good deal of political uncertainty.
Encouraging employment and inflation data at the time also helped. Market
sentiment turned negative in early March, however, as investors grew cautious
amid signs of economic softening seemingly brought on by high oil prices and
rising short term interest rates. On the earnings front, while first-quarter
2005 results generally met or exceeded expectations, this provided little
support late in the period as the future profit picture dimmed.
Health care, consumer staples and utilities stocks generally outperformed
as investors favored relatively defensive sectors. The energy sector was a
strong performer amid high oil prices. Technology stocks and the oil-sensitive
transportation sector were among the poor performers for the period.
STRATEGIC REVIEW: ADDING TO PHARMACEUTICALS
The Fund had a gain but trailed its benchmark. Stock selection in the
consumer discretionary sector hindered the Fund's relative performance, with
online auction company eBay declining sharply early in 2005 after a strong
showing in 2004. We decided to eliminate the position, based on the near-term
headwinds from eBay's investment spending. The Fund's underweighting in the
health care sector (services and pharmaceuticals) through much of the period
also hampered its relative performance. On the positive side, the Fund's
1
CREDIT SUISSE CAPITAL APPRECIATION FUND
SEMIANNUAL INVESTMENT ADVISER'S REPORT (CONTINUED)
April 30, 2005 (unaudited)
- --------------------------------------------------------------------------------
technology holdings collectively had a gain, overcoming a weak period for
technology stocks in general. In addition, the Fund's transportation holdings
rose within a negative period for the sector.
Our noteworthy recent portfolio activity included purchasing two
pharmaceutical companies. We added Pfizer (1.0% of the Fund's portfolio as of
April 30, 2005), a stock that had steadily declined to reach a valuation that we
viewed as attractive relative to the company's growth prospects. We also
purchased Wyeth (1.0% of the Fund's portfolio as of April 30, 2005), which we
believe has renewed growth potential in the wake of surviving numerous product
difficulties.
Elsewhere of note, we established a position in Boeing (1.5% of the Fund's
portfolio as of April 30, 2005), a company we think could benefit from an upturn
in the aerospace cycle. Our late-period sales included EMC Corp., a technology
company focused on data storage systems. The elimination reflected our concerns
over revenue growth within a lackluster technology spending environment. We also
reduced our overall exposure to the industrial sector, in part to increase our
aerospace exposure.
Going forward, we will continue to adhere to our general strategy of
seeking sectors and companies with the potential to outperform the overall
market. We look for stocks available at a reasonable price relative to projected
growth, while employing themes or patterns associated with growth companies,
such as significant fundamental changes, generation of large free cash flows or
company share-buyback programs.
Jeffrey T. Rose
Marian U. Pardo
Credit Suisse Asset Management, LLC
IN ADDITION TO HISTORICAL INFORMATION, THIS REPORT CONTAINS
FORWARD-LOOKING STATEMENTS, WHICH MAY CONCERN, AMONG OTHER THINGS, DOMESTIC AND
FOREIGN MARKET, INDUSTRY AND ECONOMIC TRENDS AND DEVELOPMENTS AND GOVERNMENT
REGULATION AND THEIR POTENTIAL IMPACT ON THE FUND'S INVESTMENT PORTFOLIO. THESE
STATEMENTS ARE SUBJECT TO RISKS AND UNCERTAINTIES AND ACTUAL TRENDS,
DEVELOPMENTS AND REGULATIONS IN THE FUTURE AND THEIR IMPACT ON THE FUND COULD BE
MATERIALLY DIFFERENT FROM THAT PROJECTED, ANTICIPATED OR IMPLIED. THE FUND HAS
NO OBLIGATION TO UPDATE OR REVISE FORWARD-LOOKING STATEMENTS.
2
CREDIT SUISSE CAPITAL APPRECIATION FUND
SEMIANNUAL INVESTMENT ADVISER'S REPORT (CONTINUED)
April 30, 2005 (unaudited)
- --------------------------------------------------------------------------------
AVERAGE ANNUAL RETURNS AS OF MARCH 31, 2005
-------------------------------------------
SINCE INCEPTION
1 YEAR 5 YEARS 10 YEARS INCEPTION DATE
------ ------- -------- --------- ---------
Common Class 1.23% (11.25)% 9.12% 9.19% 08/17/87
Advisor Class 0.74% (11.69)% 8.59% 8.84% 04/04/91
Class A Without
Sales Charge 0.97% -- -- (3.89)% 11/30/01
Class A With Maximum
Sales Charge (4.83)% -- -- (5.58)% 11/30/01
Class B Without CDSC 0.26% -- -- (4.60)% 11/30/01
Class B With CDSC (3.74)% -- -- (4.89)% 11/30/01
Class C Without CDSC 0.20% -- -- (4.62)% 11/30/01
Class C With CDSC (0.80)% -- -- (4.62)% 11/30/01
AVERAGE ANNUAL RETURNS AS OF APRIL 30, 2005
-------------------------------------------
SINCE INCEPTION
1 YEAR 5 YEARS 10 YEARS INCEPTION DATE
------ ------- -------- --------- ---------
Common Class 0.59% (9.99)% 8.75% 9.04% 08/17/87
Advisor Class 0.07% (10.44)% 8.22% 8.64% 04/04/91
Class A Without
Sales Charge 0.26% -- -- (4.31)% 11/30/01
Class A With Maximum
Sales Charge (5.51)% -- -- (5.95)% 11/30/01
Class B Without CDSC (0.40)% -- -- (5.01)% 11/30/01
Class B With CDSC (4.39)% -- -- (5.29)% 11/30/01
Class C Without CDSC (0.40)% -- -- (5.01)% 11/30/01
Class C With CDSC (1.40)% -- -- (5.01)% 11/30/01
RETURNS REPRESENT PAST PERFORMANCE AND INCLUDE CHANGE IN SHARE PRICE AND
REINVESTMENT OF DIVIDENDS AND CAPITAL GAINS. PAST PERFORMANCE CANNOT
GUARANTEE FUTURE RESULTS. THE CURRENT PERFORMANCE OF THE FUND MAY BE LOWER
OR HIGHER THAN THE FIGURES SHOWN. RETURNS AND SHARE PRICE WILL FLUCTUATE,
AND REDEMPTION VALUE MAY BE LESS THAN ORIGINAL COST. THE PERFORMANCE RESULTS
DO NOT REFLECT THE DEDUCTION OF TAXES THAT A SHAREHOLDER WOULD PAY ON FUND
DISTRIBUTIONS OR THE REDEMPTION OF FUND SHARES. PERFORMANCE INFORMATION
CURRENT TO THE MOST RECENT MONTH-END IS AVAILABLE AT WWW.CSAM.COM/US.
________________
1 Fee waivers and/or expense reimbursements may reduce expenses for the Fund,
without which performance would be lower. Waivers may be discontinued at any
time.
2 Total return for Class A Shares for the reporting period, based on offering
price (with maximum sales charge of 5.75%), was down 4.92%. Total return for
Class B Shares for the reporting period, based on redemption value
(including maximum contingent deferred sales charge of 4%), was down 3.53%.
Total return for Class C Shares for the reporting period, based on
redemption value (including maximum contingent deferred sales charge of 1%),
was down 0.46%.
3 The Russell 1000 (R) Growth Index measures the performance of those
companies in the Russell 1000 (R) Index with higher price-to-book ratios and
higher forecasted growth values. It is an unmanaged index of common stocks
that includes reinvestment of dividends and is compiled by Frank Russell
Company. Investors cannot invest directly in an index.
3
CREDIT SUISSE CAPITAL APPRECIATION FUND
SEMIANNUAL INVESTMENT ADVISER'S REPORT (CONTINUED)
April 30, 2005 (unaudited)
- --------------------------------------------------------------------------------
INFORMATION ABOUT YOUR FUND'S EXPENSES
As an investor of the Fund, you incur two types of costs: ongoing expenses
and transaction costs. Ongoing expenses include management fees, distribution
and service (12b-1) fees and other Fund expenses. Examples of transaction costs
include sales charges (loads), redemption fees and account maintenance fees,
which are not shown in this section and which would result in higher total
expenses. The following table is intended to help you understand your ongoing
expenses of investing in the Fund and to help you compare these expenses with
the ongoing expenses of investing in other mutual funds. The table is based on
an investment of $1,000 made at the beginning of the six month period ended
April 30, 2005.
The table illustrates your Fund's expenses in two ways:
o ACTUAL FUND RETURN. This helps you estimate the actual dollar amount
of ongoing expenses paid on a $1,000 investment in the Fund using
the Fund's actual return during the period. To estimate the expenses
you paid over the period, simply divide your account value by $1,000
(for example, an $8,600 account value divided by $1,000 = 8.6), then
multiply the result by the number in the "Expenses Paid per $1,000"
line under the share class you hold.
o HYPOTHETICAL 5% FUND RETURN. This helps you to compare your Fund's
ongoing expenses with those of other mutual funds using the Fund's
actual expense ratio and a hypothetical rate of return of 5% per
year before expenses. Examples using a 5% hypothetical fund return
may be found in the shareholder reports of other mutual funds. The
hypothetical account values and expenses may not be used to estimate
the actual ending account balance or expenses you paid for the
period.
Please note that the expenses shown in these tables are meant to highlight
your ongoing expenses only and do not reflect any transaction costs, such as
sales charges (loads) or redemption fees. If these transaction costs had been
included, your costs would have been higher. The "Expenses Paid per $1,000" line
of the tables is useful in comparing ongoing expenses only and will not help you
determine the relative total expenses of owning different funds.
4
CREDIT SUISSE CAPITAL APPRECIATION FUND
SEMIANNUAL INVESTMENT ADVISER'S REPORT (CONTINUED)
April 30, 2005 (unaudited)
- --------------------------------------------------------------------------------
EXPENSES AND VALUE OF A $1,000 INVESTMENT
FOR THE SIX MONTH PERIOD ENDED APRIL 30, 2005
- --------------------------------------------------------------------------------
COMMON ADVISOR
ACTUAL FUND RETURN CLASS CLASS CLASS A CLASS B CLASS C
--------- --------- --------- --------- ---------
Beginning Account
Value 11/1/04 $1,000.00 $1,000.00 $1,000.00 $1,000.00 $1,000.00
Ending Account
Value 4/30/05 $1,009.80 $1,007.50 $1,008.60 $1,004.70 $1,005.40
Expenses Paid per $1,000* $ 5.83 $ 8.31 $ 7.07 $ 10.79 $ 10.79
HYPOTHETICAL 5% FUND RETURN
Beginning Account
Value 11/1/04 $1,000.00 $1,000.00 $1,000.00 $1,000.00 $1,000.00
Ending Account
Value 04/30/05 $1,018.99 $1,016.51 $1,017.75 $1,014.03 $1,014.03
Expenses Paid per $1,000* $ 5.86 $ 8.35 $ 7.10 $ 10.84 $ 10.84
COMMON ADVISOR
CLASS CLASS CLASS A CLASS B CLASS C
--------- --------- --------- --------- ---------
ANNUALIZED EXPENSE RATIOS* 1.17% 1.67% 1.42% 2.17% 2.17%
_______________
* EXPENSES ARE EQUAL TO THE FUND'S ANNUALIZED EXPENSE RATIO FOR EACH SHARE
CLASS, MULTIPLIED BY THE AVERAGE ACCOUNT VALUE OVER THE PERIOD, MULTIPLIED
BY THE NUMBER OF DAYS IN THE MOST RECENT FISCAL HALF YEAR PERIOD, THEN
DIVIDED BY 365.
THE "EXPENSES PAID PER $1,000" AND THE "ANNUALIZED EXPENSE RATIOS" IN THE
TABLES ARE BASED ON ACTUAL EXPENSES PAID BY THE FUND DURING THE PERIOD, NET
OF FEE WAIVERS AND/OR EXPENSE REIMBURSEMENTS. IF THOSE FEE WAIVERS AND/OR
EXPENSE REIMBURSEMENTS HAD NOT BEEN IN EFFECT, THE FUND'S ACTUAL EXPENSES
WOULD HAVE BEEN HIGHER.
For more information, please refer to the Fund's prospectus.
5
CREDIT SUISSE CAPITAL APPRECIATION FUND
SEMIANNUAL INVESTMENT ADVISER'S REPORT (CONTINUED)
April 30, 2005 (unaudited)
- --------------------------------------------------------------------------------
[BAR CHART]
SECTOR BREAKDOWN*
Health Care 24.1%
Technology 20.1%
Consumer Discretionary 18.8%
Materials & Processing 8.4%
Consumer Staples 7.9%
Financial Services 5.0%
Producer Durables 4.6%
Other 4.3%
Other Energy 3.3%
Short-Term Investments 2.6%
Auto & Transportation 0.9%
_______________
* Expressed as a percentage of total investments (excluding security lending
collateral) and may vary over time.
6
CREDIT SUISSE MID-CAP GROWTH FUND
SEMIANNUAL INVESTMENT ADVISER'S REPORT
April 30, 2005 (unaudited)
- --------------------------------------------------------------------------------
May 25, 2005
Dear Shareholder:
PERFORMANCE SUMMARY
11/01/04 - 04/30/05
SHARE CLASS/BENCHMARK PERFORMANCE
Common 1 4.60%
Advisor 1 4.35%
Class A 1,2 4.47%
Class B 1,2 4.12%
Class C 1,2 3.94%
Russell 2500 TM Growth Index 3 1.13%
Russell Midcap (R) Growth Index 4 4.06%
Performance for the Fund's Class A shares, Class B shares and Class C
shares is without the maximum sales charge of 5.75%, 4.00% and 1.00%,
respectively. 2
MARKET OVERVIEW: STRONG START, BUT MOMENTUM FADES
Stocks surged in the first two months of the period, aided by a concluded
Presidential election that removed a good deal of political uncertainty.
Encouraging employment and inflation data at the time also helped. Market
sentiment turned negative in early March, however, as investors grew cautious
amid signs of economic softening seemingly brought on by high oil prices and
rising short term interest rates. On the earnings front, while first-quarter
2005 results generally met or exceeded expectations, this provided little
support late in the period as the future profit picture dimmed.
Health care, consumer staples and utilities stocks generally outperformed
as investors favored relatively defensive sectors. The energy sector was a
strong performer amid high oil prices. Technology stocks and the oil-sensitive
transportation sector were among the poor performers for the period.
STRATEGIC REVIEW: TECHNOLOGY ADDS VALUE DESPITE OUT-OF-FAVOR SECTOR
Overall, the Fund outperformed its benchmarks for the period, helped by
good stock selection in the consumer discretionary sector and the materials
sector, where Monsanto (2.5% of the Fund's portfolio as of April 30, 2005)
benefited from expanding markets for its genetically modified seeds. In the
technology sector, the Fund's holdings had a collective gain--despite the
negative period for technology stocks broadly--led by Macromedia (3.2% of
7
CREDIT SUISSE MID-CAP GROWTH FUND
SEMIANNUAL INVESTMENT ADVISER'S REPORT (CONTINUED)
April 30, 2005 (unaudited)
- --------------------------------------------------------------------------------
the Fund's portfolio as of April 30, 2005), which rose on news that it would be
acquired by Adobe. On the negative side, the Fund's health care stocks
underperformed.
In terms of noteworthy recent portfolio activity, our purchases included
Roper Industries (1.3% of the Fund's portfolio as of April 30, 2005), based on
our analysis of demand for the company's products in a variety of industrial
areas. In the materials sector, we established a position in Precision Castparts
(1.2% of the Fund's portfolio as of April 30, 2005), which we think could
benefit from an upturn in the cycle for aerospace parts. The position was a
replacement for Goodrich, which we sold in the wake of good performance and
higher valuation. Other sales included Lexmark International, based on our
concerns over increased competition for printers.
Going forward, we will continue to seek to identify companies with
attractive capital-growth potential. Our stock-selection process emphasizes
companies we believe to have accelerating earnings, improving fundamentals,
competent management and compelling business models, including companies still
in their developmental stage as well as older companies that appear to be
entering a new stage of growth.
The Credit Suisse Mid-Cap Growth Team
Marian U. Pardo
Eric M. Wiegand
Leo M. Bernstein
Calvin E. Chung
INVESTING IN SMALL TO MEDIUM-SIZED COMPANIES MAY BE MORE VOLATILE AND LESS
LIQUID THAN INVESTMENTS IN LARGER COMPANIES.
IN ADDITION TO HISTORICAL INFORMATION, THIS REPORT CONTAINS
FORWARD-LOOKING STATEMENTS, WHICH MAY CONCERN, AMONG OTHER THINGS, DOMESTIC AND
FOREIGN MARKET, INDUSTRY AND ECONOMIC TRENDS AND DEVELOPMENTS AND GOVERNMENT
REGULATION AND THEIR POTENTIAL IMPACT ON THE FUND'S INVESTMENT PORTFOLIO. THESE
STATEMENTS ARE SUBJECT TO RISKS AND UNCERTAINTIES AND ACTUAL TRENDS,
DEVELOPMENTS AND REGULATIONS IN THE FUTURE AND THEIR IMPACT ON THE FUND COULD BE
MATERIALLY DIFFERENT FROM THAT PROJECTED, ANTICIPATED OR IMPLIED. THE FUND HAS
NO OBLIGATION TO UPDATE OR REVISE FORWARD-LOOKING STATEMENTS.
8
CREDIT SUISSE MID-CAP GROWTH FUND
SEMIANNUAL INVESTMENT ADVISER'S REPORT (CONTINUED)
April 30, 2005 (unaudited)
- --------------------------------------------------------------------------------
AVERAGE ANNUAL RETURNS AS OF MARCH 31, 2005
-------------------------------------------
SINCE INCEPTION
1 YEAR 5 YEARS 10 YEARS INCEPTION DATE
------ ------- -------- --------- ---------
Common Class 2.28% (7.87)% 7.46% 10.67% 01/21/88
Advisor Class 1.76% (8.34)% 6.95% 8.85% 04/04/91
Class A Without
Sales Charge 2.03% -- -- 4.65% 11/30/01
Class A With Maximum
Sales Charge (3.83)% -- -- 2.81% 11/30/01
Class B Without CDSC 1.29% -- -- 2.61% 02/27/04
Class B With CDSC (2.71)% -- -- (0.14)% 02/27/04
Class C Without CDSC 1.22% -- -- 2.58% 02/27/04
Class C With CDSC 0.22% -- -- 2.58% 02/27/04
AVERAGE ANNUAL RETURNS AS OF APRIL 30, 2005
-------------------------------------------
SINCE INCEPTION
1 YEAR 5 YEARS 10 YEARS INCEPTION DATE
------ ------- -------- --------- ---------
Common Class 3.97% (6.54)% 6.75% 10.37% 01/21/88
Advisor Class 3.45% (7.01)% 6.25% 8.50% 04/04/91
Class A Without
Sales Charge 3.68% -- -- 3.35% 11/30/01
Class A With Maximum
Sales Charge (2.29)% -- -- 1.58% 11/30/01
Class B Without CDSC 2.97% -- -- (0.94)% 02/27/04
Class B With CDSC (1.03)% -- -- (3.48)% 02/27/04
Class C Without CDSC 2.82% -- -- (1.00)% 02/27/04
Class C With CDSC 1.82% -- -- (1.00)% 02/27/04
RETURNS REPRESENT PAST PERFORMANCE AND INCLUDE CHANGE IN SHARE PRICE AND
REINVESTMENT OF DIVIDENDS AND CAPITAL GAINS. PAST PERFORMANCE CANNOT
GUARANTEE FUTURE RESULTS. THE CURRENT PERFORMANCE OF THE FUND MAY BE LOWER
OR HIGHER THAN THE FIGURES SHOWN. RETURNS AND SHARE PRICE WILL FLUCTUATE,
AND REDEMPTION VALUE MAY BE LESS THAN ORIGINAL COST. THE PERFORMANCE RESULTS
DO NOT REFLECT THE DEDUCTION OF TAXES THAT A SHAREHOLDER WOULD PAY ON FUND
DISTRIBUTIONS OR THE REDEMPTION OF FUND SHARES. PERFORMANCE INFORMATION
CURRENT TO THE MOST RECENT MONTH-END IS AVAILABLE AT WWW.CSAM.COM/US.
9
CREDIT SUISSE MID-CAP GROWTH FUND
SEMIANNUAL INVESTMENT ADVISER'S REPORT (CONTINUED)
April 30, 2005 (unaudited)
- --------------------------------------------------------------------------------
_______________
1 Fee waivers and/or expense reimbursements may reduce expenses for the Fund,
without which performance would be lower. Waivers may be discontinued at any
time.
2 Total return for Class A Shares for the reporting period, based on offering
price (with maximum sales charge of 5.75%), was down 1.53%. Total return for
Class B Shares for the reporting period, based on redemption value
(including maximum contingent deferred sales charge of 4%), was up 0.12%.
Total return for Class C Shares for the reporting period, based on
redemption value (including maximum contingent deferred sales charge of 1%),
was up 2.94%.
3 The Russell 2500 TM Growth Index measures the performance of those companies
in the Russell 2500 TM Index with higher price-to-book ratios and higher
forecasted growth values. It is an unmanaged index of common stocks that
includes reinvestment of dividends and is compiled by Frank Russell Company.
Investors cannot invest directly in a an index.
4 The Russell Midcap (R) Growth Index measures the performance of those
companies in the Russell Midcap (R) Index with higher price-to-book ratios
and higher forecasted growth values. The stocks are also members of the
Russell 1000 (R) Growth Index. It is an unmanaged index of common stocks
that includes reinvestment of dividends and compiled by Frank Russell
Company. Investors cannot invest directly in an index.
10
CREDIT SUISSE MID-CAP GROWTH FUND
SEMIANNUAL INVESTMENT ADVISER'S REPORT (CONTINUED)
April 30, 2005 (unaudited)
- --------------------------------------------------------------------------------
INFORMATION ABOUT YOUR FUND'S EXPENSES
As an investor of the Fund, you incur two types of costs: ongoing expenses
and transaction costs. Ongoing expenses include management fees, distribution
and service (12b-1) fees and other Fund expenses. Examples of transaction costs
include sales charges (loads), redemption fees and account maintenance fees,
which are not shown in this section and which would result in higher total
expenses. The following table is intended to help you understand your ongoing
expenses of investing in the Fund and to help you compare these expenses with
the ongoing expenses of investing in other mutual funds. The table is based on
an investment of $1,000 made at the beginning of the six month period ended
April 30, 2005.
The table illustrates your Fund's expenses in two ways:
o ACTUAL FUND RETURN. This helps you estimate the actual dollar amount
of ongoing expenses paid on a $1,000 investment in the Fund using
the Fund's actual return during the period. To estimate the expenses
you paid over the period, simply divide your account value by $1,000
(for example, an $8,600 account value divided by $1,000 = 8.6), then
multiply the result by the number in the "Expenses Paid per $1,000"
line under the share class you hold.
o HYPOTHETICAL 5% FUND RETURN. This helps you to compare your Fund's
ongoing expenses with those of other mutual funds using the Fund's
actual expense ratio and a hypothetical rate of return of 5% per
year before expenses. Examples using a 5% hypothetical fund return
may be found in the shareholder reports of other mutual funds. The
hypothetical account values and expenses may not be used to estimate
the actual ending account balance or expenses you paid for the
period.
Please note that the expenses shown in these tables are meant to highlight
your ongoing expenses only and do not reflect any transaction costs, such as
sales charges (loads) or redemption fees. If these transaction costs had been
included, your costs would have been higher. The "Expenses Paid per $1,000" line
of the tables is useful in comparing ongoing expenses only and will not help you
determine the relative total expenses of owning different funds.
11
CREDIT SUISSE MID-CAP GROWTH FUND
SEMIANNUAL INVESTMENT ADVISER'S REPORT (CONTINUED)
April 30, 2005 (unaudited)
- --------------------------------------------------------------------------------
EXPENSES AND VALUE OF A $1,000 INVESTMENT
FOR THE SIX MONTH PERIOD ENDED APRIL 30, 2005
- --------------------------------------------------------------------------------
COMMON ADVISOR
ACTUAL FUND RETURN CLASS CLASS CLASS A CLASS B CLASS C
--------- --------- --------- --------- ---------
Beginning Account
Value 11/1/04 $1,000.00 $1,000.00 $1,000.00 $1,000.00 $1,000.00
Ending Account
Value 04/30/05 $1,046.00 $1,043.50 $1,044.70 $1,041.20 $1,039.40
Expenses Paid per $1,000* $ 7.15 $ 9.68 $ 8.42 $ 12.20 $ 12.19
HYPOTHETICAL 5% FUND RETURN
Beginning Account
Value 11/1/04 $1,000.00 $1,000.00 $1,000.00 $1,000.00 $1,000.00
Ending Account
Value 04/30/05 $1,017.80 $1,015.32 $1,016.56 $1,012.84 $1,012.84
Expenses Paid per $1,000* $ 7.05 $ 9.54 $ 8.30 $ 12.03 $ 12.03
COMMON ADVISOR
CLASS CLASS CLASS A CLASS B CLASS C
--------- --------- --------- --------- ---------
ANNUALIZED EXPENSE RATIOS* 1.41% 1.91% 1.66% 2.41% 2.41%
_______________
* EXPENSES ARE EQUAL TO THE FUND'S ANNUALIZED EXPENSE RATIO FOR EACH SHARE
CLASS, MULTIPLIED BY THE AVERAGE ACCOUNT VALUE OVER THE PERIOD, MULTIPLIED
BY THE NUMBER OF DAYS IN THE MOST RECENT FISCAL HALF YEAR PERIOD, THEN
DIVIDED BY 365.
THE "EXPENSES PAID PER $1,000" AND THE "ANNUALIZED EXPENSE RATIOS" IN THE
TABLES ARE BASED ON ACTUAL EXPENSES PAID BY THE FUND DURING THE PERIOD, NET
OF FEE WAIVERS AND/OR EXPENSE REIMBURSEMENTS. IF THOSE FEE WAIVERS AND/OR
EXPENSE REIMBURSEMENTS HAD NOT BEEN IN EFFECT, THE FUND'S ACTUAL EXPENSES
WOULD HAVE BEEN HIGHER.
For more information, please refer to the Fund's prospectus.
12
CREDIT SUISSE MID-CAP GROWTH FUND
SEMIANNUAL INVESTMENT ADVISER'S REPORT (CONTINUED)
April 30, 2005 (unaudited)
- --------------------------------------------------------------------------------
[BAR CHART]
SECTOR BREAKDOWN*
Consumer Discretionary 28.2%
Health Care 20.7%
Technology 18.8%
Materials & Processing 5.8%
Other Energy 5.4%
Financial Services 5.3%
Producer Durables 4.8%
Short-Term Investments 3.7%
Consumer Staples 3.4%
Utilities 2.9%
Auto & Transportation 1.0%
________________
* Expressed as a percentage of total investments (excluding security lending
collateral) and may vary over time.
13
CREDIT SUISSE SMALL CAP GROWTH FUND
SEMIANNUAL INVESTMENT ADVISER'S REPORT
April 30, 2005 (unaudited)
- --------------------------------------------------------------------------------
May 25, 2005
Dear Shareholder:
PERFORMANCE SUMMARY
11/01/04 - 04/30/05
SHARE CLASS/BENCHMARK PERFORMANCE
Common 1 (1.67)%
Advisor 1 (2.00)%
Class A 1,2 (1.62)%
Class B 1,2 (2.00)%
Class C 1,2 (2.00)%
Russell 2000 (R) Growth Index 3 (1.99)%
Performance for the Fund's Class A, Class B and Class C Shares is without
the maximum sales charge of 5.75%, 4.00% and 1.00%, respectively. 2
MARKET OVERVIEW: STRONG START, BUT MOMENTUM FADES
Stocks surged in the first two months of the period, aided by a concluded
Presidential election that removed a good deal of political uncertainty.
Encouraging employment and inflation data at the time also helped. Market
sentiment turned negative in early March, however, as investors grew cautious
amid signs of economic softening seemingly brought on by high oil prices and
rising short term interest rates. On the earnings front, while first-quarter
2005 results generally met or exceeded expectations, this provided little
support late in the period as the future profit picture dimmed. The uncertainty
especially weighed on small cap growth stocks, which ended the period in
negative territory.
Health care, consumer staples and utilities stocks generally outperformed
as investors favored relatively defensive sectors. The energy sector was a
strong performer amid high oil prices. Technology stocks and the oil-sensitive
transportation sector were among the poor performers for the period.
STRATEGIC REVIEW: FOCUS ON COMPANY FUNDAMENTALS
The Fund's Common Class Shares and Class A Shars outperformed the Fund's
benchmark for the period, though the Fund in total had a loss within a difficult
environment for the types of stocks it targets. Factors that aided the Fund's
relative performance included its significant overweighting in the energy sector
and its underweighting in the financial services sector, which struggled amid
the threat and reality of rising interest rates. Stock selection in the consumer
discretionary sector was positive in both absolute and relative terms. Good
performers here included Panera Bread, a restaurant chain whose stock
14
CREDIT SUISSE SMALL CAP GROWTH FUND
SEMIANNUAL INVESTMENT ADVISER'S REPORT (CONTINUED)
April 30, 2005 (unaudited)
- --------------------------------------------------------------------------------
rose as the "Atkins Diet" phenomenon faded (we sold the stock late in the period
as it reached our price target). On the negative side, factors that hindered the
Fund included its overweighting in technology and stock selection in the health
care sector.
With regard to noteworthy recent portfolio activity, our purchases
included Symmetricom (1.3% of the Fund's portfolio as of April 30, 2005), a
producer durables company that has a majority market share for a unique telecom
network component. In the energy sector, we participated in the IPO of W&T
Offshore (1.1% of the Fund's portfolio as of April 30, 2005), an independent oil
and gas company focused on the Gulf of Mexico. We believe it is a well-managed
company with good long-term prospects. Another new stock we purchased in the
period was Taro Pharmaceutical (1.1% of the Fund's portfolio as of April 30,
2005), which we think is well positioned in the market for generic drugs. Our
sales in the period included Grey Wolf, an energy company whose stock in our
judgment had appreciated to reach fair value.
Going forward, we will continue to seek to identify companies with
attractive capital-growth potential. Our stock-selection process emphasizes
companies we believe to have accelerating earnings, improving fundamentals,
competent management and compelling business models, and includes companies
still in their developmental stage as well as older companies that appear to be
entering a new stage of growth. Our general strategy is focused on a company's
longer-term prospects, though we also attempt to identify stocks poised to
benefit from specific market catalysts over the nearer term.
The Credit Suisse Small/Mid-Cap Growth Team
Marian U. Pardo
Leo M. Bernstein
Calvin E. Chung
INVESTMENTS IN SMALL COMPANIES MAY BE MORE VOLATILE AND LESS LIQUID THAN
INVESTMENTS IN LARGER COMPANIES.
IN ADDITION TO HISTORICAL INFORMATION, THIS REPORT CONTAINS
FORWARD-LOOKING STATEMENTS, WHICH MAY CONCERN, AMONG OTHER THINGS, DOMESTIC AND
FOREIGN MARKET, INDUSTRY AND ECONOMIC TRENDS AND DEVELOPMENTS AND GOVERNMENT
REGULATION AND THEIR POTENTIAL IMPACT ON THE FUND'S INVESTMENT PORTFOLIO. THESE
STATEMENTS ARE SUBJECT TO RISKS AND UNCERTAINTIES AND ACTUAL TRENDS,
DEVELOPMENTS AND REGULATIONS IN THE FUTURE AND THEIR IMPACT ON THE FUND COULD BE
MATERIALLY DIFFERENT FROM THAT PROJECTED, ANTICIPATED OR IMPLIED. THE FUND HAS
NO OBLIGATION TO UPDATE OR REVISE FORWARD-LOOKING STATEMENTS.
15
CREDIT SUISSE SMALL CAP GROWTH FUND
SEMIANNUAL INVESTMENT ADVISER'S REPORT (CONTINUED)
April 30, 2005 (unaudited)
- --------------------------------------------------------------------------------
AVERAGE ANNUAL RETURNS AS OF MARCH 31, 2005 1
-------------------------------------------
SINCE INCEPTION
1 YEAR 5 YEARS INCEPTION DATE
------- -------- --------- ---------
Common Class (2.83)% (6.84)% 8.96% 12/31/96
Advisor Class (3.28)% -- (0.89)% 02/27/04
Class A Without Sales Charge (2.73)% -- 4.53% 11/30/01
Class A With Maximum Sales Charge (8.34)% -- 2.69% 11/30/01
Class B Without CDSC (3.48)% -- (1.12)% 02/27/04
Class B With CDSC (7.34)% -- (3.84)% 02/27/04
Class C Without CDSC (3.48)% -- (1.12)% 02/27/04
Class C With CDSC (4.45)% -- (1.12)% 02/27/04
AVERAGE ANNUAL RETURNS AS OF APRIL 30, 2005 1
-------------------------------------------
SINCE INCEPTION
1 YEAR 5 YEARS INCEPTION DATE
------- -------- --------- ---------
Common Class (3.89)% (5.03)% 7.97% 12/31/96
Advisor Class (4.37)% -- (6.50)% 02/27/04
Class A Without Sales Charge (3.84)% -- 2.34% 11/30/01
Class A With Maximum Sales Charge (9.38)% -- 0.58% 11/30/01
Class B Without CDSC (4.53)% -- (6.72)% 02/27/04
Class B With CDSC (8.35)% -- (9.12)% 02/27/04
Class C Without CDSC (4.53)% -- (6.72)% 02/27/04
Class C With CDSC (5.49)% -- (6.72)% 02/27/04
RETURNS REPRESENT PAST PERFORMANCE AND INCLUDE CHANGE IN SHARE PRICE AND
REINVESTMENT OF DIVIDENDS AND CAPITAL GAINS. PAST PERFORMANCE CANNOT
GUARANTEE FUTURE RESULTS. THE CURRENT PERFORMANCE OF THE FUND MAY BE LOWER
OR HIGHER THAN THE FIGURES SHOWN. RETURNS AND SHARE PRICE WILL FLUCTUATE,
AND REDEMPTION VALUE MAY BE LESS THAN ORIGINAL COST. THE PERFORMANCE RESULTS
DO NOT REFLECT THE DEDUCTION OF TAXES THAT A SHAREHOLDER WOULD PAY ON FUND
DISTRIBUTIONS OR THE REDEMPTION OF FUND SHARES. PERFORMANCE INFORMATION
CURRENT TO THE MOST RECENT MONTH-END IS AVAILABLE AT WWW.CSAM.COM/US.
16
CREDIT SUISSE SMALL CAP GROWTH FUND
SEMIANNUAL INVESTMENT ADVISER'S REPORT (CONTINUED)
April 30, 2005 (unaudited)
- --------------------------------------------------------------------------------
____________
1 Fee waivers and/or expense reimbursements reduced expenses for the Fund,
without which performance would be lower. Waivers and/or reimbursements may
be discontinued at any time.
2 Total return for Class A Shares for the reporting period, based on offering
price (with maximum sales charge of 5.75%), was down 7.26%. Total return for
Class B Shares for the reporting period, based on redemption value
(including maximum contingent deferred sales charge of 4%), was down 5.92%.
Total return for Class C Shares for the reporting period, based on
redemption value (including maximum contingent deferred sales charge of 1%),
was down 2.98%.
3 The Russell 2000 (R) Growth Index measures the performance of those
companies in the Russell 2000 (R) Index with higher price-to-book ratios and
higher forecasted growth values. It is an unmanaged index of common stocks
that includes reinvestment of dividends and is compiled by Frank Russell
Company. Investors cannot invest directly in an index.
17
CREDIT SUISSE SMALL CAP GROWTH FUND
SEMIANNUAL INVESTMENT ADVISER'S REPORT (CONTINUED)
April 30, 2005 (unaudited)
- --------------------------------------------------------------------------------
INFORMATION ABOUT YOUR FUND'S EXPENSES
As an investor of the Fund, you incur two types of costs: ongoing expenses
and transaction costs. Ongoing expenses include management fees, distribution
and service (12b-1) fees and other Fund expenses. Examples of transaction costs
include sales charges (loads), redemption fees and account maintenance fees,
which are not shown in this section and which would result in higher total
expenses. The following table is intended to help you understand your ongoing
expenses of investing in the Fund and to help you compare these expenses with
the ongoing expenses of investing in other mutual funds. The table is based on
an investment of $1,000 made at the beginning of the six month period ended
April 30, 2005.
The table illustrates your Fund's expenses in two ways:
o ACTUAL FUND RETURN. This helps you estimate the actual dollar amount
of ongoing expenses paid on a $1,000 investment in the Fund using
the Fund's actual return during the period. To estimate the expenses
you paid over the period, simply divide your account value by $1,000
(for example, an $8,600 account value divided by $1,000 = 8.6), then
multiply the result by the number in the "Expenses Paid per $1,000"
line under the share class you hold.
o HYPOTHETICAL 5% FUND RETURN. This helps you to compare your Fund's
ongoing expenses with those of other mutual funds using the Fund's
actual expense ratio and a hypothetical rate of return of 5% per
year before expenses. Examples using a 5% hypothetical fund return
may be found in the shareholder reports of other mutual funds. The
hypothetical account values and expenses may not be used to estimate
the actual ending account balance or expenses you paid for the
period.
Please note that the expenses shown in these tables are meant to highlight
your ongoing expenses only and do not reflect any transaction costs, such as
sales charges (loads) or redemption fees. If these transaction costs had been
included, your costs would have been higher. The "Expenses Paid per $1,000" line
of the tables is useful in comparing ongoing expenses only and will not help you
determine the relative total expenses of owning different funds.
18
CREDIT SUISSE SMALL CAP GROWTH FUND
SEMIANNUAL INVESTMENT ADVISER'S REPORT (CONTINUED)
April 30, 2005 (unaudited)
- --------------------------------------------------------------------------------
EXPENSES AND VALUE OF A $1,000 INVESTMENT
FOR THE SIX MONTH PERIOD ENDED APRIL 30, 2005
- --------------------------------------------------------------------------------
COMMON ADVISOR
ACTUAL FUND RETURN CLASS CLASS CLASS A CLASS B CLASS C
--------- --------- --------- --------- ---------
Beginning Account
Value 11/1/04 $1,000.00 $1,000.00 $1,000.00 $1,000.00 $1,000.00
Ending Account
Value 04/30/05 $ 983.30 $ 980.00 $ 983.80 $ 980.00 $ 980.00
Expenses Paid per $1,000* $ 6.88 $ 8.10 $ 6.89 $ 10.56 $ 10.56
HYPOTHETICAL 5% FUND RETURN
Beginning Account
Value 11/1/04 $1,000.00 $1,000.00 $1,000.00 $1,000.00 $1,000.00
Ending Account
Value 04/30/05 $1,017.85 $1,016.61 $1,017.85 $1,014.13 $1,014.13
Expenses Paid per $1,000* $ 7.00 $ 8.25 $ 7.00 $ 10.74 $ 10.74
COMMON ADVISOR
CLASS CLASS CLASS A CLASS B CLASS C
--------- --------- --------- --------- ---------
ANNUALIZED EXPENSE RATIOS* 1.40% 1.65% 1.40% 2.15% 2.15%
_________________
* EXPENSES ARE EQUAL TO THE FUND'S ANNUALIZED EXPENSE RATIO FOR EACH SHARE
CLASS, MULTIPLIED BY THE AVERAGE ACCOUNT VALUE OVER THE PERIOD, MULTIPLIED
BY THE NUMBER OF DAYS IN THE MOST RECENT FISCAL HALF YEAR PERIOD, THEN
DIVIDED BY 365.
THE "EXPENSES PAID PER $1,000" AND THE "ANNUALIZED EXPENSE RATIOS" IN THE
TABLES ARE BASED ON ACTUAL EXPENSES PAID BY THE FUND DURING THE PERIOD, NET
OF FEE WAIVERS AND/OR EXPENSE REIMBURSEMENTS. IF THOSE FEE WAIVERS AND/OR
EXPENSE REIMBURSEMENTS HAD NOT BEEN IN EFFECT, THE FUND'S ACTUAL EXPENSES
WOULD HAVE BEEN HIGHER.
For more information, please refer to the Fund's prospectus.
19
CREDIT SUISSE SMALL CAP GROWTH FUND
SEMIANNUAL INVESTMENT ADVISER'S REPORT (CONTINUED)
April 30, 2005 (unaudited)
- --------------------------------------------------------------------------------
[BAR CHART]
SECTOR BREAKDOWN*
Consumer Discretionary 27.6%
Health Care 23.8%
Technology 20.4%
Other Energy 9.0%
Materials & Processing 6.2%
Producer Durables 4.8%
Short-Term Investments 4.7%
Financial Services 2.5%
Consumer Staples 1.0%
_________________
* Expressed as a percentage of total investments (excluding security lending
collateral) and may vary over time.
20
CREDIT SUISSE CAPITAL APPRECIATION FUND
SCHEDULE OF INVESTMENTS
April 30, 2005 (unaudited)
- --------------------------------------------------------------------------------
NUMBER OF
SHARES VALUE
---------- ------------
COMMON STOCKS (97.9%)
AEROSPACE & DEFENSE (7.1%)
Boeing Co. 93,700 $ 5,577,024
L-3 Communications Holdings, Inc. 133,400 9,467,398
Precision Castparts Corp. 47,400 3,491,484
United Technologies Corp. 71,400 7,262,808
------------
25,798,714
------------
AUTO COMPONENTS (0.9%)
Autoliv, Inc. 77,000 3,407,250
------------
BIOTECHNOLOGY (5.7%)
Genentech, Inc.* 80,400 5,703,576
Genzyme Corp.* 95,200 5,579,672
Gilead Sciences, Inc.* 148,800 5,520,480
Martek Biosciences Corp.*@ 60,600 2,319,162
Neurocrine Biosciences, Inc.* 48,200 1,685,072
------------
20,807,962
------------
CHEMICALS (6.2%)
Crompton Corp. 283,300 3,980,365
Du Pont (E. I.) de Nemours & Co. 212,600 10,015,586
Monsanto Co. 145,500 8,529,210
------------
22,525,161
------------
COMMUNICATIONS EQUIPMENT (5.0%)
Comverse Technology, Inc.* 294,100 6,702,539
Corning, Inc.* 486,400 6,688,000
Qualcomm, Inc. 140,200 4,891,578
------------
18,282,117
------------
COMPUTERS & PERIPHERALS (4.3%)
Avid Technology, Inc.*@ 82,400 4,079,624
NCR Corp.* 253,900 8,378,700
Sun Microsystems, Inc.* 918,300 3,333,429
------------
15,791,753
------------
DIVERSIFIED FINANCIALS (2.3%)
Capital One Financial Corp. 120,100 8,513,889
------------
ELECTRONIC EQUIPMENT & INSTRUMENTS (2.8%)
Broadcom Corp. Class A* 152,400 4,558,284
PerkinElmer, Inc. 89,700 1,659,450
Roper Industries, Inc.@ 57,300 3,877,491
------------
10,095,225
------------
ENERGY EQUIPMENT & SERVICES (1.3%)
Bonneville Pacific Corp.*^ 16,883 1
Smith International, Inc. 47,400 2,757,732
Weatherford International, Ltd.* 34,500 1,799,175
------------
4,556,908
------------
See Accompanying Notes to Financial Statements.
21
CREDIT SUISSE CAPITAL APPRECIATION FUND
SCHEDULE OF INVESTMENTS (CONTINUED)
April 30, 2005 (unaudited)
- --------------------------------------------------------------------------------
NUMBER OF
SHARES VALUE
---------- ------------
COMMON STOCKS
FOOD & DRUG RETAILING (2.9%)
CVS Corp. 98,800 $ 5,096,104
Whole Foods Market, Inc. 55,600 5,544,432
------------
10,640,536
------------
FOOD PRODUCTS (2.3%)
Campbell Soup Co. 137,000 4,074,380
Wm. Wrigley Jr. Co. 61,500 4,251,495
------------
8,325,875
------------
HEALTHCARE EQUIPMENT & SUPPLIES (4.0%)
Dade Behring Holdings, Inc. 120,700 7,443,569
Guidant Corp. 56,000 4,148,480
St. Jude Medical, Inc.* 77,500 3,024,825
------------
14,616,874
------------
HEALTHCARE PROVIDERS & SERVICES (4.3%)
Aetna, Inc. 36,500 2,678,005
LifePoint Hospitals, Inc.* 80,600 3,582,670
UnitedHealth Group, Inc. 27,900 2,636,829
WellPoint, Inc.* 52,900 6,757,975
------------
15,655,479
------------
HOTELS, RESTAURANTS & LEISURE (3.3%)
Harrah's Entertainment, Inc. 52,000 3,412,240
Starbucks Corp.* 100,200 4,961,904
Starwood Hotels & Resorts Worldwide, Inc. 64,200 3,488,628
------------
11,862,772
------------
HOUSEHOLD DURABLES (1.4%)
Sony Corp. ADR 134,100 4,922,811
------------
HOUSEHOLD PRODUCTS (3.6%)
Kimberly-Clark Corp. 56,000 3,497,200
Procter & Gamble Co. 181,000 9,801,150
------------
13,298,350
------------
INDUSTRIAL CONGLOMERATES (4.3%)
General Electric Co. 193,000 6,986,600
Tyco International, Ltd. 281,500 8,813,765
------------
15,800,365
------------
INSURANCE (2.7%)
AMBAC Financial Group, Inc. 61,300 4,097,905
American International Group, Inc. 111,600 5,674,860
------------
9,772,765
------------
INTERNET SOFTWARE & SERVICES (4.4%)
VeriSign, Inc.* 263,600 6,974,856
Yahoo!, Inc.* 259,200 8,944,992
------------
15,919,848
------------
See Accompanying Notes to Financial Statements.
22
CREDIT SUISSE CAPITAL APPRECIATION FUND
SCHEDULE OF INVESTMENTS (CONTINUED)
April 30, 2005 (unaudited)
- --------------------------------------------------------------------------------
NUMBER OF
SHARES VALUE
---------- ------------
COMMON STOCKS
IT CONSULTING & SERVICES (0.4%)
NAVTEQ Corp.* 41,400 $ 1,507,788
------------
MEDIA (5.4%)
E.W. Scripps Co. Class A@ 76,700 3,906,331
Getty Images, Inc.*@ 64,600 4,622,130
News Corp. Class A 242,242 3,701,458
Time Warner, Inc.* 324,100 5,448,121
XM Satellite Radio Holdings, Inc. Class A*@ 69,900 1,939,026
------------
19,617,066
------------
METALS & MINING (1.3%)
Newmont Mining Corp. 124,000 4,708,280
------------
MULTILINE RETAIL (1.0%)
Dollar General Corp. 171,700 3,494,095
------------
OIL & GAS (2.1%)
Forest Oil Corp.* 45,800 1,764,674
XTO Energy, Inc. 192,966 5,821,784
------------
7,586,458
------------
PHARMACEUTICALS (10.2%)
Johnson & Johnson 169,200 11,612,196
Medco Health Solutions, Inc.* 76,300 3,889,011
Pfizer, Inc. 134,100 3,643,497
Schering-Plough Corp. 359,900 7,511,113
Sepracor, Inc.*@ 114,800 6,878,816
Wyeth 82,400 3,703,056
------------
37,237,689
------------
SOFTWARE (6.8%)
Activision, Inc.* 166,867 2,412,892
Macromedia, Inc.* 215,100 8,520,111
Microsoft Corp. 454,000 11,486,200
Oracle Corp.* 211,500 2,444,940
------------
24,864,143
------------
SPECIALTY RETAIL (1.9%)
Office Depot, Inc.* 177,000 3,465,660
The Gap, Inc. 169,400 3,616,690
------------
7,082,350
------------
TOTAL COMMON STOCKS (Cost $329,988,773) 356,692,523
------------
SHORT-TERM INVESTMENTS (6.1%)
State Street Navigator Prime Fund@@ 12,891,492 12,891,492
See Accompanying Notes to Financial Statements.
23
CREDIT SUISSE CAPITAL APPRECIATION FUND
SCHEDULE OF INVESTMENTS (CONTINUED)
April 30, 2005 (unaudited)
- --------------------------------------------------------------------------------
PAR
(000) VALUE
---------- ------------
SHORT-TERM INVESTMENTS
State Street Bank and Trust Co. Euro Time
Deposit, 1.850%, 5/02/05 $ 9,290 $ 9,290,000
------------
TOTAL SHORT-TERM INVESTMENTS (Cost $22,181,492) 22,181,492
------------
TOTAL INVESTMENTS AT VALUE (104.0%) (Cost $352,170,265) 378,874,015
LIABILITIES IN EXCESS OF OTHER ASSETS (-4.0%) (14,597,384)
------------
NET ASSETS (100.0%) $364,276,631
============
INVESTMENT ABBREVIATION
ADR = American Depositary Receipt
- --------------------------------------------------------------------------------
* Non-income producing security.
^ Not readily marketable security; security is valued at fair value as
determined in good faith by, or under the direction of, the Board of
Directors.
@ Security or portion thereof is out on loan.
@@ Represents security purchased with cash collateral received for securities
on loan.
See Accompanying Notes to Financial Statements.
24
CREDIT SUISSE MID-CAP GROWTH FUND
SCHEDULE OF INVESTMENTS
April 30, 2005 (unaudited)
- --------------------------------------------------------------------------------
NUMBER OF
SHARES VALUE
---------- ------------
COMMON STOCKS (97.1%)
AEROSPACE & DEFENSE (5.3%)
Alliant Techsystems, Inc.* 85,100 $ 5,887,218
L-3 Communications Holdings, Inc. 96,900 6,876,993
Precision Castparts Corp. 59,300 4,368,038
------------
17,132,249
------------
AUTO COMPONENTS (1.0%)
Autoliv, Inc. 74,900 3,314,325
------------
BIOTECHNOLOGY (7.5%)
Amylin Pharmaceuticals, Inc.*@ 160,500 2,728,500
Charles River Laboratories International, Inc.*@ 157,400 7,456,038
Genzyme Corp.* 121,600 7,126,976
Martek Biosciences Corp.*@ 84,100 3,218,507
Neurocrine Biosciences, Inc.*@ 63,000 2,202,480
Protein Design Labs, Inc.*@ 98,700 1,764,756
------------
24,497,257
------------
CHEMICALS (4.4%)
Crompton Corp.@ 381,000 5,353,050
Monsanto Co. 155,000 9,086,100
------------
14,439,150
------------
COMMERCIAL SERVICES & SUPPLIES (2.5%)
Alliance Data Systems Corp.* 120,000 4,848,000
Corporate Executive Board Co. 50,200 3,299,646
------------
8,147,646
------------
COMMUNICATIONS EQUIPMENT (1.6%)
Comverse Technology, Inc.* 230,800 5,259,932
------------
COMPUTERS & PERIPHERALS (4.8%)
Avid Technology, Inc.*@ 95,000 4,703,450
NCR Corp.* 278,500 9,190,500
Network Appliance, Inc.* 58,600 1,560,518
------------
15,454,468
------------
DIVERSIFIED FINANCIALS (0.5%)
CIT Group, Inc. 41,500 1,671,620
------------
ELECTRONIC EQUIPMENT & Instruments (3.2%)
Broadcom Corp. Class A* 186,600 5,581,206
Roper Industries, Inc. 70,200 4,750,434
------------
10,331,640
------------
ENERGY EQUIPMENT & SERVICES (2.1%)
National Oilwell Varco, Inc.* 103,300 4,105,142
Smith International, Inc. 46,500 2,705,370
------------
6,810,512
------------
See Accompanying Notes to Financial Statements.
25
CREDIT SUISSE MID-CAP GROWTH FUND
SCHEDULE OF INVESTMENTS (CONTINUED)
April 30, 2005 (unaudited)
- --------------------------------------------------------------------------------
NUMBER OF
SHARES VALUE
---------- ------------
COMMON STOCKS
FOOD & DRUG RETAILING (1.6%)
Whole Foods Market, Inc. 51,300 $ 5,115,636
------------
FOOD PRODUCTS (1.8%)
Campbell Soup Co. 199,800 5,942,052
------------
HEALTHCARE EQUIPMENT & SUPPLIES (3.7%)
Beckman Coulter, Inc.@ 67,400 4,496,254
Dade Behring Holdings, Inc. 29,500 1,819,265
Varian Medical Systems, Inc.* 173,300 5,847,142
------------
12,162,661
------------
HEALTHCARE PROVIDERS & SERVICES (3.8%)
AMERIGROUP Corp.*@ 204,600 7,185,552
LifePoint Hospitals, Inc.* 113,600 5,049,520
------------
12,235,072
------------
HOTELS, RESTAURANTS & LEISURE (5.9%)
Harrah's Entertainment, Inc. 54,900 3,602,538
MGM Mirage, Inc.*@ 96,100 6,708,741
Starwood Hotels & Resorts Worldwide, Inc. 164,700 8,949,798
------------
19,261,077
------------
HOUSEHOLD DURABLES (1.9%)
Snap-on, Inc. 186,700 6,192,839
------------
INSURANCE (3.3%)
AMBAC Financial Group, Inc. 62,450 4,174,782
Genworth Financial, Inc. Class A 239,300 6,688,435
------------
10,863,217
------------
INTERNET SOFTWARE & SERVICES (2.8%)
CNET Networks, Inc.*@ 162,900 1,615,154
VeriSign, Inc.* 284,800 7,535,808
------------
9,150,962
------------
IT CONSULTING & SERVICES (1.1%)
NAVTEQ Corp.* 101,100 3,682,062
------------
LEISURE EQUIPMENT & PRODUCTS (2.2%)
SCP Pool Corp.@ 221,800 7,226,244
------------
MACHINERY (0.7%)
UNOVA, Inc.*@ 119,000 2,113,440
------------
MEDIA (5.1%)
Dolby Laboratories, Inc. Class A* 81,200 1,660,540
E.W. Scripps Co. Class A@ 108,500 5,525,905
Getty Images, Inc.*@ 106,300 7,605,765
XM Satellite Radio Holdings, Inc. Class A*@ 68,300 1,894,642
------------
16,686,852
------------
See Accompanying Notes to Financial Statements.
26
CREDIT SUISSE MID-CAP GROWTH FUND
SCHEDULE OF INVESTMENTS (CONTINUED)
April 30, 2005 (unaudited)
- --------------------------------------------------------------------------------
NUMBER OF
SHARES VALUE
---------- ------------
COMMON STOCKS
Oil & Gas (3.4%)
Forest Oil Corp.* 99,100 $ 3,818,323
Newfield Exploration Co.* 74,400 5,284,632
W&T Offshore, Inc.@ 90,200 1,808,510
------------
10,911,465
------------
PERSONAL PRODUCTS (1.6%)
Alberto-Culver Co. 114,900 5,113,050
------------
PHARMACEUTICALS (5.8%)
Medco Health Solutions, Inc.* 55,800 2,844,126
Sepracor, Inc.*@ 112,000 6,711,040
Taro Pharmaceutical Industries, Ltd.*@ 202,400 5,881,744
Valeant Pharmaceuticals International@ 165,300 3,429,975
------------
18,866,885
------------
SEMICONDUCTOR EQUIPMENT & PRODUCTS (2.0%)
FormFactor, Inc.*@ 116,000 2,649,440
Tessera Technologies, Inc.*@ 143,800 3,819,328
------------
6,468,768
------------
SOFTWARE (6.4%)
Activision, Inc.* 313,200 4,528,872
Adobe Systems, Inc. 75,900 4,513,773
Macromedia, Inc.* 296,000 11,724,560
------------
20,767,205
------------
SPECIALTY RETAIL (3.4%)
Office Depot, Inc.* 231,200 4,526,896
Williams-Sonoma, Inc.* 192,100 6,433,429
------------
10,960,325
------------
TEXTILES & APPAREL (3.1%)
Coach, Inc.* 190,300 5,100,040
Columbia Sportswear Co.*@ 111,600 4,798,800
------------
9,898,840
------------
WIRELESS TELECOMMUNICATION SERVICES (4.6%)
Crown Castle International Corp.* 325,200 5,245,476
Nextel Partners, Inc. Class A*@ 405,400 9,535,008
------------
14,780,484
------------
TOTAL COMMON STOCKS (Cost $278,775,142) 315,457,935
------------
PREFERRED STOCK (0.0%)
TELECOMMUNICATIONS (0.0%)
Celletra, Ltd. Series C*++
(Cost $7,000,000) 1,102,524 0
------------
See Accompanying Notes to Financial Statements.
27
CREDIT SUISSE MID-CAP GROWTH FUND
SCHEDULE OF INVESTMENTS (CONTINUED)
April 30, 2005 (unaudited)
- --------------------------------------------------------------------------------
NUMBER OF
SHARES VALUE
---------- ------------
SHORT-TERM INVESTMENTS (17.1%)
State Street Navigator Prime Fund@@ 43,223,037 $ 43,223,037
PAR
(000)
----------
State Street Bank and Trust Co. Euro Time
Deposit, 1.850%, 5/02/05 $ 12,128 12,128,000
------------
TOTAL SHORT-TERM INVESTMENTS (Cost $55,351,037) 55,351,037
------------
TOTAL INVESTMENTS AT VALUE (114.2%) (Cost $341,126,179) 370,808,972
LIABILITIES IN EXCESS OF OTHER ASSETS (-14.2%) (46,048,825)
------------
NET ASSETS (100.0%) $324,760,147
============
- --------------------------------------------------------------------------------
* Non-income producing security.
++ Restricted security, not readily marketable; security is valued at fair
value as determined in good faith by, or under the direction of, the Board
of Directors.
@ Security or portion thereof is out on loan.
@@ Represents security purchased with cash collateral received for securities
on loan.
See Accompanying Notes to Financial Statements.
28
CREDIT SUISSE SMALL CAP GROWTH FUND
SCHEDULE OF INVESTMENTS
April 30, 2005 (unaudited)
- --------------------------------------------------------------------------------
NUMBER OF
SHARES VALUE
---------- ------------
COMMON STOCKS (94.8%)
AGRICULTURE (1.1%)
Delta and Pine Land Co. 31,000 $ 781,200
------------
BANKS (1.1%)
Boston Private Financial Holdings, Inc.@ 36,200 808,708
------------
BIOTECHNOLOGY (1.9%)
Martek Biosciences Corp.*@ 15,800 604,666
Nabi Biopharmaceuticals*@ 69,200 754,280
------------
1,358,946
------------
COMMERCIAL SERVICES & SUPPLIES (4.3%)
Greenfield Online, Inc.*@ 55,400 998,308
Kforce, Inc.*@ 78,600 627,228
Resources Connection, Inc.*@ 35,400 676,494
Universal Technical Institute, Inc.* 22,200 775,002
------------
3,077,032
------------
COMMUNICATIONS EQUIPMENT (4.0%)
Harmonic, Inc.*@ 125,900 693,709
Kanbay International, Inc.*@ 56,700 1,019,466
Symmetricom, Inc.* 112,000 1,153,600
------------
2,866,775
------------
COMPUTERS & PERIPHERALS (1.5%)
Avid Technology, Inc.* 21,100 1,044,661
------------
CONTAINERS & PACKAGING (1.3%)
Crown Holdings, Inc.* 63,200 951,160
------------
DISTRIBUTION & WHOLESALE (1.3%)
Beacon Roofing Supply, Inc.* 43,000 954,600
------------
DIVERSIFIED FINANCIALS (1.3%)
Affiliated Managers Group, Inc.*@ 15,050 941,077
------------
ENERGY EQUIPMENT & SERVICES (2.6%)
FMC Technologies, Inc.* 31,900 967,527
Newpark Resources, Inc.*@ 150,400 903,904
------------
1,871,431
------------
FOOD PRODUCTS (1.0%)
John B. Sanfilippo & Son, Inc.*@ 32,213 723,504
------------
HEALTHCARE EQUIPMENT & SUPPLIES (2.3%)
Advanced Neuromodulation Systems, Inc.*@ 22,000 662,420
American Medical Systems Holdings, Inc.* 44,400 775,224
Dexcom, Inc.* 19,700 197,000
------------
1,634,644
------------
See Accompanying Notes to Financial Statements.
29
CREDIT SUISSE SMALL CAP GROWTH FUND
SCHEDULE OF INVESTMENTS (CONTINUED)
April 30, 2005 (unaudited)
- --------------------------------------------------------------------------------
NUMBER OF
SHARES VALUE
---------- ------------
COMMON STOCKS
HEALTHCARE PROVIDERS & SERVICES (14.8%)
Amedisys, Inc.*@ 28,300 $ 849,283
AMERIGROUP Corp.* 41,600 1,460,992
Centene Corp.* 25,300 704,605
Gentiva Health Services, Inc.*@ 50,200 982,916
Kindred Healthcare, Inc.*@ 32,200 1,059,380
LifePoint Hospitals, Inc.* 17,200 764,540
Molina Healthcare, Inc.* 22,600 988,750
Occulogix, Inc.*@ 63,200 404,480
Psychiatric Solutions, Inc.*@ 34,100 1,466,982
Sunrise Senior Living, Inc.* 15,700 804,468
United Surgical Partners International, Inc.*@ 24,900 1,101,825
------------
10,588,221
------------
HOTELS, RESTAURANTS & LEISURE (4.7%)
Aztar Corp.*@ 29,700 811,107
Carmike Cinemas, Inc.@ 25,000 875,000
Great Wolf Resorts, Inc.*@ 43,100 914,798
Orient-Express Hotels, Ltd. Class A 28,000 735,560
------------
3,336,465
------------
INTERNET & CATALOG RETAIL (0.9%)
Coldwater Creek, Inc.* 20,057 335,353
Shopping.com, Ltd.*@ 24,900 327,435
------------
662,788
------------
INTERNET SOFTWARE & SERVICES (7.9%)
24/7 Real Media, Inc.*@ 137,900 395,773
Chordiant Software, Inc.* 254,700 448,272
CNET Networks, Inc.*@ 75,300 746,599
Digitas, Inc.*@ 152,400 1,519,428
Gravity Company, Ltd. ADR*@ 29,500 263,730
MatrixOne, Inc.*@ 126,700 541,009
Openwave Systems, Inc.*@ 103,166 1,381,393
webMethods, Inc.*@ 73,400 342,778
------------
5,638,982
------------
LEISURE EQUIPMENT & PRODUCTS (1.3%)
RC2 Corp.*@ 26,900 932,354
------------
MACHINERY (1.2%)
Kennametal, Inc. 18,900 856,170
------------
MEDIA (3.3%)
aQuantive, Inc.*@ 110,700 1,228,770
Lions Gate Entertainment Corp.*@ 112,800 1,089,648
------------
2,318,418
------------
METALS & MINING (0.8%)
GrafTech International, Ltd.*@ 138,400 527,304
------------
See Accompanying Notes to Financial Statements.
30
CREDIT SUISSE SMALL CAP GROWTH FUND
SCHEDULE OF INVESTMENTS (CONTINUED)
April 30, 2005 (unaudited)
- --------------------------------------------------------------------------------
NUMBER OF
SHARES VALUE
---------- ------------
COMMON STOCKS
OIL & GAS (6.3%)
Comstock Resources, Inc.*@ 55,700 $ 1,409,210
Denbury Resources, Inc.* 44,500 1,412,430
Remington Oil & Gas Corp.*@ 23,900 697,163
W&T Offshore, Inc.@ 48,900 980,445
------------
4,499,248
------------
PHARMACEUTICALS (4.7%)
Angiotech Pharmaceuticals, Inc.* 53,900 732,501
Inspire Phamaceuticals, Inc.*@ 93,500 660,110
Medicines Co.*@ 41,300 881,755
Taro Pharmaceutical Industries, Ltd.* 36,400 1,057,784
------------
3,332,150
------------
REAL ESTATE (1.7%)
HouseValues, Inc.*@ 92,300 1,200,823
------------
SEMICONDUCTOR EQUIPMENT & PRODUCTS (8.7%)
Axcelis Technologies, Inc.*@ 46,000 285,660
Cymer, Inc.*@ 22,600 560,254
FormFactor, Inc.*@ 33,300 760,572
Genesis Microchip, Inc.*@ 94,800 1,356,588
Tessera Technologies, Inc.*@ 31,800 844,608
Trident Microsystems, Inc.*@ 64,600 1,100,138
Varian Semiconductor Equipment Associates, Inc.*@ 14,400 536,976
Zoran Corp.*@ 73,200 774,456
------------
6,219,252
------------
SOFTWARE (6.8%)
Activision, Inc.* 79,133 1,144,268
Open Solutions, Inc.*@ 48,600 908,820
Radiant Systems, Inc.* 8,010 68,886
SkillSoft PLC ADR*@ 162,300 632,970
Take-Two Interactive Software, Inc.*@ 32,250 758,842
THQ, Inc.*@ 33,400 842,348
TIBCO Software, Inc.* 70,500 503,370
------------
4,859,504
------------
SPECIALTY RETAIL (5.7%)
Aaron Rents, Inc.@ 43,400 953,064
Cost Plus, Inc.*@ 26,400 612,216
Design Within Reach, Inc.*@ 50,800 776,224
Hot Topic, Inc.* 40,600 811,594
Sports Authority, Inc.*@ 35,000 931,000
------------
4,084,098
------------
See Accompanying Notes to Financial Statements.
31
CREDIT SUISSE SMALL CAP GROWTH FUND
SCHEDULE OF INVESTMENTS (CONTINUED)
April 30, 2005 (unaudited)
- --------------------------------------------------------------------------------
NUMBER OF
SHARES VALUE
---------- ------------
COMMON STOCKS
TEXTILES & APPAREL (2.3%)
K-Swiss, Inc. Class A@ 27,000 $ 810,000
Warnaco Group, Inc.* 35,900 806,314
------------
1,616,314
------------
TOTAL COMMON STOCKS (Cost $64,899,734) 67,685,829
------------
WARRANT (0.0%)
ELECTRONIC EQUIPMENT & INSTRUMENTS (0.0%)
APW, Ltd. expires 7/31/09*^
(Cost $0) 17 0
------------
SHORT-TERM INVESTMENTS (34.4%)
State Street Navigator Prime Fund@@ 21,216,575 21,216,575
PAR
(000)
----------
State Street Bank and Trust Co. Euro Time Deposit,
1.850%, 5/02/05 $ 3,351 3,351,000
------------
TOTAL SHORT-TERM INVESTMENTS (Cost $24,567,575) 24,567,575
------------
TOTAL INVESTMENTS AT VALUE (129.2%) (Cost $89,467,309) 92,253,404
LIABILITIES IN EXCESS OF OTHER ASSETS (-29.2%) (20,838,155)
------------
NET ASSETS (100.0%) $ 71,415,249
============
INVESTMENT ABBREVIATION
ADR = American Depositary Receipt
- --------------------------------------------------------------------------------
* Non-income producing security.
^ Not readily marketable security; security is valued at fair value as
determined in good faith by, or under the direction of, the Board of
Trustees.
@ Security or portion thereof is out on loan.
@@ Represents security purchased with cash collateral received for securities
on loan.
See Accompanying Notes to Financial Statements.
32
CREDIT SUISSE FUNDS
STATEMENT OF ASSETS AND LIABILITIES
April 30, 2005 (unaudited)
- --------------------------------------------------------------------------------
CAPITAL
APPRECIATION MID-CAP SMALL CAP
FUND GROWTH FUND GROWTH FUND
-------------- -------------- --------------
ASSETS
Investments at value, including collateral for securities
on loan of $12,891,492, $43,223,037 and $21,216,575,
respectively (Cost $352,170,265, $341,126,179 and
$89,467,309, respectively) (Note 2) $ 378,874,015(1) $ 370,808,972(2) $ 92,253,404(3)
Cash 255 162 117
Receivable for investments sold -- 1,160,424 596,516
Receivable for fund shares sold 144,568 203,968 65,062
Dividend and interest receivable 160,775 25,660 8,931
Prepaid expenses and other assets 51,129 65,069 66,546
-------------- -------------- --------------
Total Assets 379,230,742 372,264,255 92,990,576
-------------- -------------- --------------
LIABILITIES
Advisory fee payable (Note 3) 219,582 251,855 14,127
Administrative services fee payable (Note 3) 117,672 104,380 26,948
Shareholder servicing/Distribution fee payable (Note 3) 17,163 22,662 15,317
Payable upon return of securities loaned (Note 2) 12,891,492 43,223,037 21,216,575
Payable for investments purchased 1,046,578 2,974,426 219,486
Payable for fund shares redeemed 435,469 691,441 8,217
Trustees'/Directors' fee payable 4,410 4,362 4,410
Other accrued expenses payable 221,745 231,945 70,247
-------------- -------------- --------------
Total Liabilities 14,954,111 47,504,108 21,575,327
-------------- -------------- --------------
NET ASSETS
Capital stock, $0.001 par value (Note 7) 23,660 11,134 3,911
Paid-in capital (Note 7) 698,077,280 496,003,654 74,457,400
Undistributed net investment income (loss) 1,015,866 (1,726,946) (525,539)
Accumulated net realized loss on investments (361,543,926) (199,210,488) (5,306,618)
Net unrealized appreciation from investments 26,703,751 29,682,793 2,786,095
-------------- -------------- --------------
Net Assets $ 364,276,631 $ 324,760,147 $ 71,415,249
============== ============== ==============
COMMON SHARES
Net assets $ 355,144,041 $ 298,746,800 $ 70,110,300
Shares outstanding 23,045,046 10,183,326 3,839,225
-------------- -------------- --------------
Net asset value, offering price and redemption
price per share $ 15.41 $ 29.34 $ 18.26
============== ============== ==============
ADVISOR SHARES
Net assets $ 6,337,673 $ 25,510,339 $ 924
Shares outstanding 429,228 933,567 51
-------------- -------------- --------------
Net asset value, offering price and redemption
price per share $ 14.77 $ 27.33 $ 18.16
============== ============== ==============
See Accompanying Notes to Financial Statements.
33
CREDIT SUISSE FUNDS
STATEMENT OF ASSETS AND LIABILITIES (CONTINUED)
April 30, 2005 (unaudited)
- --------------------------------------------------------------------------------
CAPITAL
APPRECIATION MID-CAP SMALL CAP
FUND GROWTH FUND GROWTH FUND
-------------- -------------- --------------
A SHARES
Net assets $ 1,431,783 $ 470,919 $ 1,287,963
Shares outstanding 93,711 16,227 70,497
-------------- -------------- --------------
Net asset value and redemption price per share $ 15.28 $ 29.02 $ 18.27
============== ============== ==============
Maximum offering price per share (net asset value/(1-5.75%)) $ 16.21 $ 30.79 $ 19.38
============== ============== ==============
B SHARES
Net assets $ 611,586 $ 31,101 $ 15,141
Shares outstanding 41,064 1,081 836
-------------- -------------- --------------
Net asset value and offering price per share $ 14.89 $ 28.78 $ 18.11
============== ============== ==============
C SHARES
Net assets $ 751,548 $ 988 $ 921
Shares outstanding 50,473 34 51
-------------- -------------- --------------
Net asset value and offering price per share $ 14.89 $ 28.77 $ 18.11
============== ============== ==============
- --------------------------------------------------------------------------------
1 Including $12,600,999 of securities on loan.
2 Including $42,185,281 of securities on loan.
3 Including $20,626,132 of securities on loan.
See Accompanying Notes to Financial Statements.
34
CREDIT SUISSE FUNDS
STATEMENT OF OPERATIONS
For the Six Months Ended April 30, 2005 (unaudited)
- --------------------------------------------------------------------------------
CAPITAL
APPRECIATION MID-CAP SMALL CAP
FUND GROWTH FUND GROWTH FUND
-------------- -------------- --------------
INVESTMENT INCOME (Note 2)
Dividends $ 3,479,675 $ 806,647 $ 42,823
Interest 60,027 112,114 20,119
Securities lending 5,864 17,117 19,164
-------------- -------------- --------------
Total investment income 3,545,566 935,878 82,106
-------------- -------------- --------------
EXPENSES
Investment advisory fees (Note 3) 1,492,380 1,660,978 433,996
Administrative services fees (Note 3) 348,576 302,859 76,599
Shareholder servicing/Distribution fees (Note 3)
Common Class -- -- 97,415
Advisor Class 34,401 68,310 2
Class A 2,280 695 11,067
Class B 2,848 124 60
Class C 4,209 5 5
Transfer agent fees (Note 3) 485,720 481,457 140,771
Printing fees (Note 3) 36,224 36,919 14,996
Registration fees 30,381 29,823 26,714
Audit fees 25,521 21,130 11,147
Custodian fees 23,425 20,363 17,433
Legal fees 15,693 15,857 14,624
Trustees'/Directors' fees 8,260 8,212 8,259
Commitment fees (Note 4) 6,461 5,044 1,227
Insurance expense 5,659 3,884 1,637
Miscellaneous expense 7,662 7,164 4,720
-------------- -------------- --------------
Total expenses 2,529,700 2,662,824 860,672
Less: fees waived (Note 3) -- -- (253,027)
-------------- -------------- --------------
Net expenses 2,529,700 2,662,824 607,645
-------------- -------------- --------------
Net investment income (loss) 1,015,866 (1,726,946) (525,539)
-------------- -------------- --------------
NET REALIZED AND UNREALIZED GAIN (LOSS)
FROM INVESTMENTS
Net realized gain from investments 24,401,039 22,969,264 4,728,346
Net change in unrealized appreciation
(depreciation) from investments (16,941,027) (656,838) (4,274,163)
-------------- -------------- --------------
Net realized and unrealized gain
from investments 7,460,012 22,312,426 454,183
-------------- -------------- --------------
Net increase (decrease) in net assets
resulting from operations $ 8,475,878 $ 20,585,480 $ (71,356)
============== ============== ==============
See Accompanying Notes to Financial Statements.
35
CREDIT SUISSE FUNDS
STATEMENTS OF CHANGES IN NET ASSETS
- --------------------------------------------------------------------------------
CAPITAL APPRECIATION FUND
---------------------------------
FOR THE
SIX MONTHS FOR THE YEAR
ENDED ENDED
APRIL 30, 2005 OCTOBER 31,
(UNAUDITED) 2004
-------------- --------------
FROM OPERATIONS
Net investment income (loss) $ 1,015,866 $ (2,930,324)
Net realized gain from investments 24,401,039 18,748,246
Net change in unrealized appreciation (depreciation)
from investments (16,941,027) 2,165,046
-------------- --------------
Net increase (decrease) in net assets resulting
from operations 8,475,878 17,982,968
-------------- --------------
FROM CAPITAL SHARE TRANSACTIONS (Note 7)
Proceeds from sale of shares 26,117,493 64,577,142
Net asset value of shares redeemed (122,601,779) (164,242,663)
-------------- --------------
Net increase (decrease) in net assets from capital
share transactions (96,484,286) (99,665,521)
-------------- --------------
Net increase (decrease) in net assets (88,008,408) (81,682,553)
-------------- --------------
NET ASSETS
Beginning of period 452,285,039 533,967,592
-------------- --------------
End of period $ 364,276,631 $ 452,285,039
============== ==============
ACCUMULATED NET INVESTMENT income (LOSS) $ 1,015,866 $ --
============== ==============
- --------------------------------------------------------------------------------
See Accompanying Notes to Financial Statements.
36
- --------------------------------------------------------------------------------
MID-CAP GROWTH FUND SMALL CAP GROWTH FUND
--------------------------------- ------------------------------
FOR THE FOR THE
SIX MONTHS FOR THE YEAR SIX MONTHS FOR THE YEAR
ENDED ENDED ENDED ENDED
APRIL 30, 2005 OCTOBER 31, APRIL 30, 2005 OCTOBER 31,
(UNAUDITED) 2004 (UNAUDITED) 2004
-------------- -------------- -------------- ------------
FROM OPERATIONS
Net investment income (loss) $ (1,726,946) $ (4,833,037) $ (525,539) $ (1,103,066)
Net realized gain from investments 22,969,264 80,816,785 4,728,346 9,479,818
Net change in unrealized appreciation (depreciation)
from investments (656,838) (57,342,636) (4,274,163) (7,516,561)
-------------- -------------- -------------- ------------
Net increase (decrease) in net assets resulting
from operations 20,585,480 18,641,112 (71,356) 860,191
-------------- -------------- -------------- ------------
FROM CAPITAL SHARE TRANSACTIONS (Note 7)
Proceeds from sale of shares 22,100,222 89,263,585 6,988,867 48,554,040
Net asset value of shares redeemed (109,273,493) (164,214,779) (24,501,306) (38,571,104)
-------------- -------------- -------------- ------------
Net increase (decrease) in net assets from capital
share transactions (87,173,271) (74,951,194) (17,512,439) 9,982,936
-------------- -------------- -------------- ------------
Net increase (decrease) in net assets (66,587,791) (56,310,082) (17,583,795) 10,843,127
-------------- -------------- -------------- ------------
NET ASSETS
Beginning of period 391,347,938 447,658,020 88,999,044 78,155,917
-------------- -------------- -------------- ------------
End of period $ 324,760,147 $ 391,347,938 $ 71,415,249 $ 88,999,044
============== ============== ============== ============
ACCUMULATED NET INVESTMENT income (LOSS) $ (1,726,946) $ -- $ (525,539) $ --
============== ============== ============== ============
- --------------------------------------------------------------------------------
See Accompanying Notes to Financial Statements.
37
CREDIT SUISSE CAPITAL APPRECIATION FUND
FINANCIAL HIGHLIGHTS
(For a Common Class Share of the Fund Outstanding Throughout Each Period)
- --------------------------------------------------------------------------------
FOR THE
SIX MONTHS
ENDED
APRIL 30, FOR THE YEAR ENDED OCTOBER 31,
2005 ------------------------------------------------------------------
(UNAUDITED) 2004 2003 2002 2001 2000
----------- --------- --------- ---------- --------- ----------
PER SHARE DATA
Net asset value, beginning of period $ 15.26 $ 14.75 $ 12.53 $ 16.23 $ 30.57 $ 25.82
----------- --------- --------- ---------- --------- ----------
INVESTMENT OPERATIONS
Net investment income (loss) 0.04(1) (0.09)(1) (0.05)(1) (0.07)(1) (0.02) (0.05)
Net gain (loss) on investments
(both realized and unrealized) 0.11 0.60 2.27 (3.63) (10.04) 7.72
----------- --------- --------- ---------- --------- ----------
Total from investment operations 0.15 0.51 2.22 (3.70) (10.06) 7.67
----------- --------- --------- ---------- --------- ----------
LESS DISTRIBUTIONS
Distributions from net realized gains -- -- -- 0.00(2) (4.28) (2.92)
----------- --------- --------- ---------- --------- ----------
NET ASSET VALUE, END OF PERIOD $ 15.41 $ 15.26 $ 14.75 $ 12.53 $ 16.23 $ 30.57
=========== ========= ========= ========== ========= ==========
Total return 3 0.98% 3.46% 17.72% (22.79)% (37.59)% 31.50%
RATIOS AND SUPPLEMENTAL DATA
Net assets, end of period (000s omitted) $ 355,144 $ 433,681 $ 514,668 $ 566,064 $ 899,234 $1,618,147
Ratio of expenses to average net assets 1.17%(4) 1.16% 1.15% 1.11% 0.99% 0.98%
Ratio of net investment income (loss)
to average net assets 0.50%(4) (0.57)% (0.39)% (0.45)% (0.09)% (0.19)%
Portfolio turnover rate 54% 70% 97% 50% 100% 140%
- --------------------------------------------------------------------------------
1 Per share information is calculated using the average shares outstanding
method.
2 This represents less than $0.01 per share.
3 Total returns are historical and assume changes in share price and
reinvestment of all dividends and distributions. Total returns for periods
less than one year are not annualized.
4 Annualized.
See Accompanying Notes to Financial Statements.
38
CREDIT SUISSE CAPITAL APPRECIATION FUND
FINANCIAL HIGHLIGHTS
(For an Advisor Class Share of the Fund Outstanding Throughout Each Period)
- --------------------------------------------------------------------------------
FOR THE
SIX MONTHS
ENDED
APRIL 30, FOR THE YEAR ENDED OCTOBER 31,
2005 -------------------------------------------------------------------
(UNAUDITED) 2004 2003 2002 2001 2000
---------- --------- --------- ---------- --------- ----------
PER SHARE DATA
Net asset value, beginning of period $ 14.65 $ 14.24 $ 12.16 $ 15.82 $ 29.88 $ 25.28
---------- --------- --------- ---------- --------- ----------
INVESTMENT OPERATIONS
Net investment income (loss) 0.00(1,2) (0.16)(1) (0.11)(1) (0.14)(1) (0.12) (0.21)
Net gain (loss) on investments
(both realized and unrealized) 0.12 0.57 2.19 (3.52) (9.81) 7.58
---------- --------- --------- ---------- --------- ----------
Total from investment operations 0.12 0.41 2.08 (3.66) (9.93) 7.37
---------- --------- --------- ---------- --------- ----------
LESS DISTRIBUTIONS
Distributions from net realized gains -- -- -- 0.00(2) (4.13) (2.77)
---------- --------- --------- ---------- --------- ----------
NET ASSET VALUE, END OF PERIOD $ 14.77 $ 14.65 $ 14.24 $ 12.16 $ 15.82 $ 29.88
========== ========= ========= ========== ========= ==========
Total return 3 0.75% 2.88% 17.11% (23.13)% (37.91)% 30.83%
RATIOS AND SUPPLEMENTAL DATA
Net assets, end of period (000s omitted) $ 6,338 $ 14,723 $ 17,380 $ 16,693 $ 25,882 $ 34,058
Ratio of expenses to average net assets 1.67%(4) 1.66% 1.65% 1.61% 1.49% 1.48%
Ratio of net investment income (loss)
to average net assets 0.00%(4,5) (1.07)% (0.90)% (0.96)% (0.62)% (0.69)%
Portfolio turnover rate 54% 70% 97% 50% 100% 140%
- --------------------------------------------------------------------------------
1 Per share information is calculated using the average shares outstanding
method.
2 This represents less than $0.01 per share.
3 Total returns are historical and assume changes in share price and
reinvestment of all dividends and distributions. Total returns for periods
less than one year are not annualized.
4 Annualized.
5 This represents less than 0.01%.
See Accompanying Notes to Financial Statements.
39
CREDIT SUISSE CAPITAL APPRECIATION FUND
FINANCIAL HIGHLIGHTS
(For a Class A Share of the Fund Outstanding Throughout Each Period)
- --------------------------------------------------------------------------------
FOR THE
SIX MONTHS
ENDED
APRIL 30, FOR THE YEAR ENDED OCTOBER 31,
2005 --------------------------------------
(UNAUDITED) 2004 2003 2002 1
---------- --------- --------- ----------
PER SHARE DATA
Net asset value, beginning of period $ 15.14 $ 14.68 $ 12.50 $ 17.75
---------- --------- --------- ----------
INVESTMENT OPERATIONS
Net investment income (loss) 2 0.04 (0.12) (0.09) (0.09)
Net gain (loss) on investments
(both realized and unrealized) 0.10 0.58 2.27 (5.16)
---------- --------- --------- ----------
Total from investment operations 0.14 0.46 2.18 (5.25)
---------- --------- --------- ----------
LESS DISTRIBUTIONS
Distributions from net realized gains -- -- -- 0.00(3)
---------- --------- --------- ----------
NET ASSET VALUE, END OF PERIOD $ 15.28 $ 15.14 $ 14.68 $ 12.50
========== ========= ========= ==========
Total return 4 0.86% 3.13% 17.44% (29.57)%
RATIOS AND SUPPLEMENTAL DATA
Net assets, end of period (000s omitted) $ 1,432 $ 2,490 $ 1,152 $ 450
Ratio of expenses to average net assets 1.42%(5) 1.41% 1.40% 1.40%(5)
Ratio of net investment income (loss)
to average net assets 0.25%(5) (0.82)% (0.69)% (0.77)%(5)
Portfolio turnover rate 54% 70% 97% 50%
- --------------------------------------------------------------------------------
1 For the period November 30, 2001 (inception date) through October 31, 2002.
2 Per share information is calculated using the average shares outstanding
method.
3 This represents less than $0.01 per share.
4 Total returns are historical and assume changes in share price, reinvestment
of all dividends and distributions, and no sales charge. Total returns for
periods less than one year are not annualized.
5 Annualized.
See Accompanying Notes to Financial Statements.
40
CREDIT SUISSE CAPITAL APPRECIATION FUND
FINANCIAL HIGHLIGHTS
(For a Class B Share of the Fund Outstanding Throughout Each Period)
- --------------------------------------------------------------------------------
FOR THE
SIX MONTHS
ENDED
APRIL 30, FOR THE YEAR ENDED OCTOBER 31,
2005 --------------------------------------
(UNAUDITED) 2004 2003 2002 1
---------- --------- --------- ----------
PER SHARE DATA
Net asset value, beginning of period $ 14.82 $ 14.47 $ 12.41 $ 17.75
---------- --------- --------- ----------
INVESTMENT OPERATIONS
Net investment loss 2 (0.05) (0.23) (0.19) (0.18)
Net gain (loss) on investments
(both realized and unrealized) 0.12 0.58 2.25 (5.16)
---------- --------- --------- ----------
Total from investment operations 0.07 0.35 2.06 (5.34)
---------- --------- --------- ----------
LESS DISTRIBUTIONS
Distributions from net realized gains -- -- -- 0.00(3)
---------- --------- --------- ----------
NET ASSET VALUE, END OF PERIOD $ 14.89 $ 14.82 $ 14.47 $ 12.41
========== ========= ========= ==========
Total return 4 0.47% 2.42% 16.60% (30.08)%
RATIOS AND SUPPLEMENTAL DATA
Net assets, end of period (000s omitted) $ 612 $ 543 $ 545 $ 206
Ratio of expenses to average net assets 2.17%(5) 2.16% 2.15% 2.15%(5)
Ratio of net investment loss
to average net assets (0.50)%(5) (1.57)% (1.44)% (1.51)%(5)
Portfolio turnover rate 54% 70% 97% 50%
- --------------------------------------------------------------------------------
1 For the period November 30, 2001 (inception date) through October 31, 2002.
2 Per share information is calculated using the average shares outstanding
method.
3 This represents less than $0.01 per share.
4 Total returns are historical and assume changes in share price, reinvestment
of all dividends and distributions, and no sales charge. Total returns for
periods less than one year are not annualized.
5 Annualized.
See Accompanying Notes to Financial Statements.
41
CREDIT SUISSE CAPITAL APPRECIATION FUND
FINANCIAL HIGHLIGHTS
(For a Class C Share of the Fund Outstanding Throughout Each Period)
- --------------------------------------------------------------------------------
FOR THE
SIX MONTHS
ENDED
APRIL 30, FOR THE YEAR ENDED OCTOBER 31,
2005 --------------------------------------
(UNAUDITED) 2004 2003 2002 1
---------- --------- --------- ----------
PER SHARE DATA
Net asset value, beginning of period $ 14.81 $ 14.47 $ 12.41 $ 17.75
---------- --------- --------- ----------
INVESTMENT OPERATIONS
Net investment loss 2 (0.04) (0.23) (0.19) (0.18)
Net gain (loss) on investments
(both realized and unrealized) 0.12 0.57 2.25 (5.16)
---------- --------- --------- ----------
Total from investment operations 0.08 0.34 2.06 (5.34)
---------- --------- --------- ----------
LESS DISTRIBUTIONS
Distributions from net realized gains -- -- -- 0.00(3)
---------- --------- --------- ----------
NET ASSET VALUE, END OF PERIOD $ 14.89 $ 14.81 $ 14.47 $ 12.41
========== ========= ========= ==========
Total return 4 0.54% 2.35% 16.60% (30.08)%
RATIOS AND SUPPLEMENTAL DATA
Net assets, end of period (000s omitted) $ 752 $ 849 $ 223 $ 93
Ratio of expenses to average net assets 2.17%(5) 2.16% 2.15% 2.14%(5)
Ratio of net investment loss
to average net assets (0.50)%(5) (1.57)% (1.44)% (1.49)%(5)
Portfolio turnover rate 54% 70% 97% 50%
- --------------------------------------------------------------------------------
1 For the period November 30, 2001 (inception date) through October 31, 2002.
2 Per share information is calculated using the average shares outstanding
method.
3 This represents less than $0.01 per share.
4 Total returns are historical and assume changes in share price, reinvestment
of all dividends and distributions, and no sales charge. Total returns for
periods less than one year are not annualized.
5 Annualized.
See Accompanying Notes to Financial Statements.
42
CREDIT SUISSE MID-CAP GROWTH FUND
FINANCIAL HIGHLIGHTS
(For a Common Class Share of the Fund Outstanding Throughout Each Period)
- --------------------------------------------------------------------------------
FOR THE
SIX MONTHS
ENDED
APRIL 30, FOR THE YEAR ENDED OCTOBER 31,
2005 -------------------------------------------------------------------
(UNAUDITED) 2004 2003 2002 2001 2000
---------- --------- --------- ---------- --------- ----------
PER SHARE DATA
Net asset value, beginning of period $ 28.04 $ 26.79 $ 18.98 $ 23.60 $ 50.24 $ 43.73
--------- --------- --------- ---------- --------- ----------
INVESTMENT OPERATIONS
Net investment loss (0.13)(1) (0.30)(1) (0.22)(1) (0.23)(1) (0.26) (0.33)
Net gain (loss) on investments
(both realized and unrealized) 1.43 1.55 8.03 (4.39) (17.89) 13.07
--------- --------- --------- ---------- --------- ----------
Total from investment operations 1.30 1.25 7.81 (4.62) (18.15) 12.74
--------- --------- --------- ---------- --------- ----------
LESS DISTRIBUTIONS
Distributions from net realized gains -- -- -- 0.00 2 (8.49) (6.23)
--------- --------- --------- ---------- --------- ----------
NET ASSET VALUE, END OF PERIOD $ 29.34 $ 28.04 $ 26.79 $ 18.98 $ 23.60 $ 50.24
========= ========= ========= ========== ========= ==========
Total return 3 4.60% 4.67% 41.15% (19.57)% (42.61)% 30.60%
RATIOS AND SUPPLEMENTAL DATA
Net assets, end of period (000s omitted) $ 298,747 $ 364,298 $ 407,262 $ 357,872 $ 877,983 $2,114,737
Ratio of expenses to average net assets 1.41%(4) 1.40% 1.38% 1.35% 1.28% 1.19%
Ratio of net investment loss
to average net assets (0.90)%(4) (1.08)% (1.04)% (0.98)% (0.73)% (0.65)%
Portfolio turnover rate 43% 106% 68% 67% 177% 191%
- --------------------------------------------------------------------------------
1 Per share information is calculated using the average shares outstanding
method.
2 This represents less than $0.01 per share.
3 Total returns are historical and assume changes in share price and
reinvestment of all dividends and distributions. Total returns for periods
less than one year are not annualized.
4 Annualized.
See Accompanying Notes to Financial Statements.
43
CREDIT SUISSE MID-CAP GROWTH FUND
FINANCIAL HIGHLIGHTS
(For an Advisor Class Share of the Fund Outstanding Throughout Each Period)
- --------------------------------------------------------------------------------
FOR THE
SIX MONTHS
ENDED
APRIL 30, FOR THE YEAR ENDED OCTOBER 31,
2005 -------------------------------------------------------------------
(UNAUDITED) 2004 2003 2002 2001 2000
---------- --------- --------- ---------- --------- ----------
PER SHARE DATA
Net asset value, beginning of period $ 26.18 $ 25.14 $ 17.90 $ 22.38 $ 48.02 $ 41.99
--------- --------- --------- ---------- --------- ----------
INVESTMENT OPERATIONS
Net investment loss (0.20)(1) (0.41)(1) (0.31)(1) (0.33)(1) (0.46) (0.61)
Net gain (loss) on investments
(both realized and unrealized) 1.35 1.45 7.55 (4.15) (16.96) 12.61
--------- --------- --------- ---------- --------- ----------
Total from investment operations 1.15 1.04 7.24 (4.48) (17.42) 12.00
--------- --------- --------- ---------- --------- ----------
LESS DISTRIBUTIONS
Distributions from net realized gains -- -- -- 0.00(2) (8.22) (5.97)
--------- --------- --------- ---------- --------- ----------
NET ASSET VALUE, END OF PERIOD $ 27.33 $ 26.18 $ 25.14 $ 17.90 $ 22.38 $ 48.02
========= ========= ========= ========== ========= ==========
Total return 3 4.35% 4.14% 40.45% (20.01)% (42.88)% 29.96%
RATIOS AND SUPPLEMENTAL DATA
Net assets, end of period (000s omitted) $ 25,510 $ 26,474 $ 40,322 $ 42,906 $ 101,690 $ 277,802
Ratio of expenses to average net assets 1.91%(4) 1.90% 1.88% 1.85% 1.78% 1.69%
Ratio of net investment loss
to average net assets (1.40)%(4) (1.58)% (1.53)% (1.49)% (1.23)% (1.15)%
Portfolio turnover rate 43% 106% 68% 67% 177% 191%
- --------------------------------------------------------------------------------
1 Per share information is calculated using the average shares outstanding
method.
2 This represents less than $0.01 per share.
3 Total returns are historical and assume changes in share price and
reinvestment of all dividends and distributions. Total returns for periods
less than one year are not annualized.
4 Annualized.
See Accompanying Notes to Financial Statements.
44
CREDIT SUISSE MID-CAP GROWTH FUND
FINANCIAL HIGHLIGHTS
(For a Class A Share of the Fund Outstanding Throughout Each Period)
- --------------------------------------------------------------------------------
FOR THE
SIX MONTHS
ENDED
APRIL 30, FOR THE YEAR ENDED OCTOBER 31,
2005 --------------------------------------
(UNAUDITED) 2004 2003 2002 1
----------- --------- --------- ----------
PER SHARE DATA
Net asset value, beginning of period $ 27.77 $ 26.60 $ 18.90 $ 25.92
----------- --------- --------- ----------
INVESTMENT OPERATIONS
Net investment loss 2 (0.17) (0.38) (0.33) (0.28)
Net gain (loss) on investments
(both realized and unrealized) 1.42 1.55 8.03 (6.74)
----------- --------- --------- ----------
Total from investment operations 1.25 1.17 7.70 (7.02)
----------- --------- --------- ----------
LESS DISTRIBUTIONS
Distributions from net realized gains -- -- -- 0.00(3)
----------- --------- --------- ----------
NET ASSET VALUE, END OF PERIOD $ 29.02 $ 27.77 $ 26.60 $ 18.90
=========== ========= ========= ==========
Total return 4 4.47% 4.40% 40.74% (27.08)%
RATIOS AND SUPPLEMENTAL DATA
Net assets, end of period (000s omitted) $ 471 $ 567 $ 75 $ 1
Ratio of expenses to average net assets 1.66%(5) 1.65% 1.63% 1.71%(5)
Ratio of net investment loss
to average net assets (1.15)%(5) (1.33)% (1.36)% (1.35)%(5)
Portfolio turnover rate 43% 106% 68% 67%
- --------------------------------------------------------------------------------
1 For the period November 30, 2001 (inception date) through October 31, 2002.
2 Per share information is calculated using the average shares outstanding
method.
3 This represents less than $0.01 per share.
4 Total returns are historical and assume changes in share price, reinvestment
of all dividends and distributions, and no sales charge. Total returns for
periods less than one year are not annualized.
5 Annualized.
See Accompanying Notes to Financial Statements.
45
CREDIT SUISSE MID-CAP GROWTH FUND
FINANCIAL HIGHLIGHTS
(For a Class B and Class C Share of the Fund Outstanding Throughout Each Period)
- --------------------------------------------------------------------------------
FOR THE FOR THE
SIX MONTHS FOR THE SIX MONTHS FOR THE
ENDED PERIOD ENDED PERIOD
APRIL 30, ENDED APRIL 30, ENDED
2005 OCTOBER 31, 2005 OCTOBER 31,
(UNAUDITED) 2004 1 (UNAUDITED) 2004 1
----------- ----------- ----------- -----------
CLASS B CLASS C
------------------------- ---------------------------
PER SHARE DATA
Net asset value, beginning of period $ 27.64 $ 29.10 $ 27.67 $ 29.10
----------- ----------- ----------- -----------
INVESTMENT OPERATIONS
Net investment loss 2 (0.29) (0.38) (0.32) (0.38)
Net gain (loss) on investments
(both realized and unrealized) 1.43 (1.08) 1.42 (1.05)
----------- ----------- ----------- -----------
Total from investment operations 1.14 (1.46) 1.10 (1.43)
----------- ----------- ----------- -----------
NET ASSET VALUE, END OF PERIOD $ 28.78 $ 27.64 $ 28.77 $ 27.67
=========== =========== =========== ===========
Total return 3 4.12% (5.02)% 3.94% (4.91)%
RATIOS AND SUPPLEMENTAL DATA
Net assets, end of period (000s omitted) $ 31 $ 7 $ 1 $ 1
Ratio of expenses to average net assets 4 2.41% 2.40% 2.41% 2.40%
Ratio of net investment loss
to average net assets 4 (1.90)% (2.08)% (1.90)% (2.08)%
Portfolio turnover rate 43% 106% 43% 106%
- --------------------------------------------------------------------------------
1 For the period February 27, 2004 (inception date) through October 31, 2004.
2 Per share information is calculated using the average shares outstanding
method.
3 Total returns are historical and assume changes in share price, reinvestment
of all dividends and distributions, and no sales charge. Total returns for
periods less than one year are not annualized.
4 Annualized.
See Accompanying Notes to Financial Statements.
46
CREDIT SUISSE SMALL CAP GROWTH FUND
FINANCIAL HIGHLIGHTS
(For a Common Class Share of the Fund Outstanding Throughout Each Period)
- --------------------------------------------------------------------------------
FOR THE SIX
MONTHS
ENDED
APRIL 30, FOR THE YEAR ENDED OCTOBER 31,
2005 -----------------------------------------------------------------
(UNAUDITED) 2004 2003 2002 2001 2000
----------- -------- -------- ---------- -------- ----------
PER SHARE DATA
Net asset value, beginning of period $ 18.57 $ 18.14 $ 12.58 $ 15.38 $ 23.11 $ 16.60
----------- -------- -------- ---------- -------- ----------
INVESTMENT OPERATIONS
Net investment loss (0.12)(1) (0.23)(1) (0.18)(1) (0.18)(1) (0.18) (0.13)
Net gain (loss) on investments
(both realized and unrealized) (0.19) 0.66 5.74 (2.62) (7.55) 7.28
----------- -------- -------- ---------- -------- ----------
Total from investment operations (0.31) 0.43 5.56 (2.80) (7.73) 7.15
----------- -------- -------- ---------- -------- ----------
LESS DISTRIBUTIONS
Distributions from net realized gains -- -- -- -- -- (0.64)
----------- -------- -------- ---------- -------- ----------
NET ASSET VALUE, END OF PERIOD $ 18.26 $ 18.57 $ 18.14 $ 12.58 $ 15.38 $ 23.11
=========== ======== ======== ========== ======== ==========
Total return 2 (1.67)% 2.37% 44.20% (18.21)% (33.45)% 43.65%
RATIOS AND SUPPLEMENTAL DATA
Net assets, end of period (000s omitted) $ 70,110 $ 78,131 $ 77,236 $ 42,918 $ 36,445 $ 47,900
Ratio of expenses to average net assets 1.40%(3) 1.40% 1.40% 1.40% 1.40% 1.42%
Ratio of net investment loss
to average net assets (1.21)%(3) (1.22)% (1.23)% (1.18)% (1.04)% (0.80)%
Decrease reflected in above operating
expense ratios due to
waivers 0.59%(3) 0.59% 0.71% 0.98% 0.54% 0.56%
Portfolio turnover rate 44% 100% 69% 72% 74% 94%
- --------------------------------------------------------------------------------
1 Per share information is calculated using the average shares outstanding
method
2 Total returns are historical and assume changes in share price and
reinvestment of all dividends and distributions. Had certain expenses not
been reduced during the period shown, total returns would have been lower.
Total returns for periods less than one year are not annualized.
3 Annualized.
See Accompanying Notes to Financial Statements.
47
CREDIT SUISSE SMALL CAP GROWTH FUND
FINANCIAL HIGHLIGHTS
(For an Advisor Class Share of the Fund Outstanding Throughout Each Period)
- --------------------------------------------------------------------------------
FOR THE SIX FOR THE
MONTHS PERIOD
ENDED ENDED
APRIL 30, 2005 OCTOBER 31,
(UNAUDITED) 2004 1
--------------- ------------
PER SHARE DATA
Net asset value, beginning of period $ 18.53 $ 19.65
--------------- ------------
INVESTMENT OPERATIONS
Net investment loss 2 (0.18) (0.20)
Net loss on investments
(both realized and unrealized) (0.19) (0.92)
--------------- ------------
Total from investment operations (0.37) (1.12)
--------------- ------------
NET ASSET VALUE, END OF PERIOD $ 18.16 $ 18.53
=============== ============
Total return 3 (2.00)% (5.70)%
RATIOS AND SUPPLEMENTAL DATA
Net assets, end of period (000s omitted) $ 1 $ 1
Ratio of expenses to average net assets 4 1.65% 1.65%
Ratio of net investment loss to average net assets 4 (1.46)% (1.47)%
Decrease reflected in above operating
expense ratios due to
waivers 4 0.59% 0.59%
Portfolio turnover rate 44% 100%
- --------------------------------------------------------------------------------
1 For the period February 27, 2004 (inception date) through October 31, 2004.
2 Per share information is calculated using the average shares outstanding
method.
3 Total returns are historical and assume changes in share price and
reinvestment of all dividends and distributions. Had certain expenses not
been reduced during the period shown, total returns would have been lower.
Total returns for periods less than one year are not annualized.
4 Annualized.
See Accompanying Notes to Financial Statements.
48
CREDIT SUISSE SMALL CAP GROWTH FUND
FINANCIAL HIGHLIGHTS
(For a Class A Share of the Fund Outstanding Throughout Each Period)
- --------------------------------------------------------------------------------
FOR THE
SIX MONTHS
ENDED
APRIL 30, FOR THE YEAR ENDED OCTOBER 31,
2005 --------------------------------------
(UNAUDITED) 2004 2003 2002 1
----------- --------- --------- ----------
PER SHARE DATA
Net asset value, beginning of period $ 18.57 $ 18.14 $ 12.57 $ 16.88
----------- --------- --------- ----------
INVESTMENT OPERATIONS
Net investment loss 2 (0.12) (0.23) (0.18) (0.15)
Net gain (loss) on investments
(both realized and unrealized) (0.18) 0.66 5.75 (4.16)
----------- --------- --------- ----------
Total from investment operations (0.30) 0.43 5.57 (4.31)
----------- --------- --------- ----------
NET ASSET VALUE, END OF PERIOD $ 18.27 $ 18.57 $ 18.14 $ 12.57
=========== ========= ========= ==========
Total return 3 (1.62)% 2.37% 44.31% (25.53)%
RATIOS AND SUPPLEMENTAL DATA
Net assets, end of period (000s omitted) $ 1,288 $ 10,856 $ 920 $ 322
Ratio of expenses to average net assets 1.40%(4) 1.40% 1.40% 1.40%(4)
Ratio of net investment loss to average
net assets (1.21)%(4) (1.21)% (1.24)% (1.14)%(4)
Decrease reflected in above operating
expense ratios due to
waivers 0.59%(4) 0.59% 0.71% 1.13%(4)
Portfolio turnover rate 44% 100% 69% 72%
- --------------------------------------------------------------------------------
1 For the period November 30, 2001 (inception date) through October 31, 2002.
2 Per share information is calculated using the average shares outstanding
method.
3 Total returns are historical and assume changes in share price, reinvestment
of all dividends and distributions, and no sales charge. Had certain
expenses not been reduced during the periods shown, total returns would have
been lower. Total returns for periods of less than one year are not
annualized.
4 Annualized.
See Accompanying Notes to Financial Statements.
49
CREDIT SUISSE SMALL CAP GROWTH FUND
FINANCIAL HIGHLIGHTS
(For a Class B and Class C Share of the Fund Outstanding Throughout Each Period)
- --------------------------------------------------------------------------------
FOR THE FOR THE
SIX MONTHS FOR THE SIX MONTHS FOR THE
ENDED PERIOD ENDED PERIOD
APRIL 30, ENDED APRIL 30, ENDED
2005 OCTOBER 31, 2005 OCTOBER 31,
(UNAUDITED) 2004 1 (UNAUDITED) 2004 1
----------- ----------- ----------- -----------
CLASS B CLASS C
------------------------- ---------------------------
PER SHARE DATA
Net asset value, beginning of period $ 18.48 $ 19.65 $ 18.48 $ 19.65
----------- ----------- ----------- -----------
INVESTMENT OPERATIONS
Net investment loss 2 (0.19) (0.24) (0.20) (0.24)
Net loss on investments
(both realized and unrealized) (0.18) (0.93) (0.17) (0.93)
----------- ----------- ----------- -----------
Total from investment operations (0.37) (1.17) (0.37) (1.17)
----------- ----------- ----------- -----------
NET ASSET VALUE, END OF PERIOD $ 18.11 $ 18.48 $ 18.11 $ 18.48
=========== =========== =========== ===========
Total return 3 (2.00)% (5.95)% (2.00)% (5.95)%
RATIOS AND SUPPLEMENTAL DATA
Net assets, end of period (000s omitted) $ 15 $ 10 $ 1 $ 1
Ratio of expenses to average net assets 4 2.15% 2.15% 2.15% 2.15%
Ratio of net investment loss to average
net assets 4 (1.96)% (1.97)% (1.96)% (1.97)%
Decrease reflected in above operating
expense ratios due to
waivers 4 0.59% 0.59% 0.59% 0.59%
Portfolio turnover rate 44% 100% 44% 100%
- --------------------------------------------------------------------------------
1 For the period February 27, 2004 (inception date) through October 31, 2004.
2 Per share information is calculated using the average shares outstanding
method.
3 Total returns are historical and assume changes in share price and
reinvestment of all dividends and distributions. Had certain expenses not
been reduced during the period shown, total returns would have been lower.
Total returns for periods less than one year are not annualized.
4 Annualized.
See Accompanying Notes to Financial Statements.
50
CREDIT SUISSE FUNDS
NOTES TO FINANCIAL STATEMENTS
April 30, 2005 (unaudited)
- --------------------------------------------------------------------------------
NOTE 1. ORGANIZATION
The Credit Suisse Funds covered in this report are Credit Suisse Capital
Appreciation Fund ("Capital Appreciation"), Credit Suisse Mid-Cap Growth Fund
("Mid-Cap Growth") and Credit Suisse Small Cap Growth Fund ("Small Cap Growth"),
each of which is registered under the Investment Company Act of 1940, as amended
(the "1940 Act"), as a diversified open-end management investment company.
Capital Appreciation was organized under the laws of the Commonwealth of
Massachusetts as a business trust on January 20, 1987. Mid-Cap Growth and Small
Cap Growth were incorporated under the laws of the State of Maryland on November
12, 1987 and October 31, 1996, respectively.
Investment objectives for each Fund are as follows: Capital Appreciation
seeks long-term capital appreciation, Mid-Cap Growth seeks maximum capital
appreciation, and Small Cap Growth seeks capital growth.
Capital Appreciation, Mid-Cap Growth and Small Cap Growth offer five
classes of shares: Common Class, Advisor Class, Class A, Class B, and Class C
shares. The Funds' Common Class shares are closed to new investors, other than
(1) investors in employee retirement, stock, bonus, pension or profit-sharing
plans, (2) investment advisory clients of Credit Suisse Asset Management, LLC
("CSAM"), (3) certain registered investment advisers ("RIAs"), (4) certain
broker-dealers and RIAs with clients participating in comprehensive fee programs
and (5) employees of CSAM or its affiliates and current and former Directors or
Trustees of funds advised by CSAM or its affiliates. Any Common Class
shareholder as of the close of business on December 12, 2001 can continue to buy
Common Class shares of the Funds and open new accounts under the same Social
Security number. Each class of shares in each Fund represents an equal pro rata
interest in each Fund, except that each bears different expenses, which reflect
the difference in the range of services provided to them. Class A shares of each
Fund are sold subject to a maximum front-end sales charge of 5.75%. Class B
shares are sold subject to a contingent deferred sales charge which declines
from 4.00% to zero depending on the period of time the shares are held. Class C
shares are sold subject to a contingent deferred sales charge of 1.00% if the
shares are redeemed within the first year of purchase.
NOTE 2. SIGNIFICANT ACCOUNTING POLICIES
A) SECURITY VALUATION -- The net asset value of each Fund is determined
daily as of the close of regular trading on the New York Stock
51
CREDIT SUISSE FUNDS
NOTES TO FINANCIAL STATEMENTS (CONTINUED)
April 30, 2005 (unaudited)
- --------------------------------------------------------------------------------
NOTE 2. SIGNIFICANT ACCOUNTING POLICIES
Exchange, Inc. (the "Exchange") on each day the Exchange is open for business.
Each Fund's equity investments are valued at market value, which is generally
determined using the closing price on the exchange or market on which the
security is primarily traded at the time of valuation (the "Valuation Time"). If
no sales are reported, equity investments are generally valued at the most
recent bid quotation as of the Valuation Time or at the lowest asked quotation
in the case of a short sale of securities. Debt securities with a remaining
maturity greater than 60 days are valued in accordance with the price supplied
by a pricing service, which may use a matrix, formula or other objective method
that takes into consideration market indices, yield curves and other specific
adjustments. Debt obligations that will mature in 60 days or less are valued on
the basis of amortized cost, which approximates market value, unless it is
determined that using this method would not represent fair value. Securities and
other assets for which market quotations are not readily available, or whose
values have been materially affected by events occurring before each Fund's
Valuation Time but after the close of the securities' primary markets, are
valued at fair value as determined in good faith by, or under the direction of,
the Board of Trustees/Directors under procedures established by the Board of
Trustees/Directors. Each Fund may utilize a service provided by an independent
third party which has been approved by the Board of Trustees/Directors to fair
value certain securities.
B) FOREIGN CURRENCY TRANSACTIONS -- The books and records of the Funds are
maintained in U.S. dollars. Transactions denominated in foreign currencies are
recorded at the current prevailing exchange rates. All assets and liabilities
denominated in foreign currencies are translated into U.S. dollar amounts at the
current exchange rate at the end of the period. Translation gains or losses
resulting from changes in the exchange rate during the reporting period and
realized gains and losses on the settlement of foreign currency transactions are
reported in the results of operations for the current period. The Funds do not
isolate that portion of realized gains and losses on investments in equity
securities which is due to changes in the foreign exchange rate from that which
is due to changes in market prices of equity securities. The Funds isolate that
portion of realized gains and losses on investments in debt securities which is
due to changes in the foreign exchange rate from that which is due to changes in
market prices of debt securities.
52
CREDIT SUISSE FUNDS
NOTES TO FINANCIAL STATEMENTS (CONTINUED)
April 30, 2005 (unaudited)
- --------------------------------------------------------------------------------
NOTE 2. SIGNIFICANT ACCOUNTING POLICIES
C) SECURITY TRANSACTIONS AND INVESTMENT INCOME -- Security transactions
are accounted for on a trade date basis. Interest income is recorded on an
accrual basis. Dividends are recorded on the ex-dividend date. Certain expenses
are class-specific expenses and vary by class. Income, expenses (excluding
class-specific expenses) and realized/unrealized gains/losses are allocated
proportionately to each class of shares based upon the relative net asset value
of the outstanding shares of that class. The cost of investments sold is
determined by use of the specific identification method for both financial
reporting and income tax purposes.
D) DIVIDENDS AND DISTRIBUTIONS TO SHAREHOLDERS -- Dividends from net
investment income and distributions of net realized capital gains, if any, are
declared and paid at least annually. However, to the extent that a net realized
capital gain can be reduced by a capital loss carryforward, such gain will not
be distributed. Income and capital gain distributions are determined in
accordance with federal income tax regulations which may differ from accounting
principles generally accepted in the United States of America ("GAAP").
E) FEDERAL INCOME TAXES -- No provision is made for federal taxes, as it
is each Fund's intention to continue to qualify for and elect the tax treatment
applicable to regulated investment companies under the Internal Revenue Code of
1986, as amended, and to make the requisite distributions to its shareholders,
which will be sufficient to relieve it from federal income and excise taxes.
F) USE OF ESTIMATES -- The preparation of financial statements in
conformity with GAAP requires management to make estimates and assumptions that
affect the reported amounts of assets and liabilities and disclosure of
contingent assets and liabilities at the date of the financial statements and
the reported amounts of revenues and expenses during the reporting period.
Actual results could differ from these estimates.
G) SHORT-TERM INVESTMENTS -- The Funds, together with other
funds/portfolios advised by Credit Suisse Asset Management, LLC ("CSAM"), an
indirect, wholly-owned subsidiary of Credit Suisse Group, pool available cash
into a short-term variable rate time deposit issued by State Street Bank and
Trust Company ("SSB"), the Funds' custodian, or a money market fund advised
53
CREDIT SUISSE FUNDS
NOTES TO FINANCIAL STATEMENTS (CONTINUED)
April 30, 2005 (unaudited)
- --------------------------------------------------------------------------------
NOTE 2. SIGNIFICANT ACCOUNTING POLICIES
by CSAM. The short-term time deposit issued by SSB is a variable rate account
classified as a short-term investment.
H) SECURITIES LENDING -- Loans of securities are required at all times to
be secured by collateral at least equal to 102% of the market value of domestic
securities on loan (including any accrued interest thereon) and 105% of the
market value of foreign securities on loan (including any accrued interest
thereon). Cash collateral received by the Funds in connection with securities
lending activity may be pooled together with cash collateral for other
funds/portfolios advised by CSAM and may be invested in a variety of
investments, including certain CSAM-advised funds, funds advised by SSB, the
Funds' securities lending agent, or money market instruments. However, in the
event of default or bankruptcy by the other party to the agreement, realization
and/or retention of the collateral may be subject to legal proceedings.
SSB has been engaged by the Funds to act as the Funds' securities lending
agent. The Funds' securities lending arrangement provides that the Funds and SSB
will share the net income earned from securities lending activities. During the
six months ended April 30, 2005, total earnings from the investment in cash
collateral received in connection with Capital Appreciation, Mid-Cap Growth and
Small Cap Growth's securities lending arrangements were $208,301, $590,276, and
$264,954, respectively, of which $199,951, $566,058 and $237,684, respectively,
were rebated to borrowers (brokers). The Funds retained $5,864, $17,117 and
$19,164, respectively, from the cash collateral investment and SSB, as lending
agent, was paid $2,486, $7,101 and $8,106, respectively. The Funds may also be
entitled to certain minimum amounts of income from their securities lending
activities. Securities lending is accrued as earned.
I) OTHER -- The Funds may invest in securities of foreign countries and
governments which involve certain risks in addition to those inherent in
domestic investments. Such risks generally include, among others, currency risks
(fluctuations in currency exchange rates), information risk (key information may
be inaccurate or unavailable) and political risk (expropriation, nationalization
or the imposition of capital or currency controls or punitive taxes). Other
risks of investing in foreign securities include liquidity and valuation risks.
The Funds may be subject to taxes imposed by countries in which they
invest, with respect to their investments in issuers existing or operating in
such
54
CREDIT SUISSE FUNDS
NOTES TO FINANCIAL STATEMENTS (CONTINUED)
April 30, 2005 (unaudited)
- --------------------------------------------------------------------------------
NOTE 2. SIGNIFICANT ACCOUNTING POLICIES
countries. Such taxes are generally based on income earned or repatriated and
capital gains realized on the sale of such investments. These Funds accrue such
taxes when the related income or gains are earned.
Capital Appreciation and Mid-Cap Growth may each invest up to 10% of its
total assets in non-publicly traded securities. Small Cap Growth may invest up
to 15% of its net assets in such securities. Non-publicly traded securities may
be less liquid than publicly traded securities. Although these securities may be
resold in privately negotiated transactions, the prices realized from such sales
could differ from the price originally paid by such Fund or the current carrying
values, and the difference could be material.
NOTE 3. TRANSACTIONS WITH AFFILIATES AND RELATED PARTIES
CSAM serves as investment adviser to each Fund. For its investment
advisory services, CSAM is entitled to receive a fee from each Fund based on the
following fee schedule:
FUND ANNUAL RATE
---- -----------
Capital Appreciation 0.70% of average daily net assets
Mid-Cap Growth 0.90% of average daily net assets
Small Cap Growth 1.00% of average daily net assets
For the six months ended April 30, 2005, investment advisory fees earned
and voluntarily waived for the Funds were as follows:
GROSS NET
ADVISORY ADVISORY
FUND FEE WAIVER FEE
---- ---------- --------- ----------
Capital Appreciation $1,492,380 $ -- $1,492,380
Mid-Cap Growth 1,660,978 -- 1,660,978
Small Cap Growth 433,996 (253,027) 180,969
Credit Suisse Asset Management Securities, Inc. ("CSAMSI"), an affiliate
of CSAM, and SSB serve as each Fund's co-administrators.
For co-administrative services, CSAMSI currently receives a fee calculated
at an annual rate of 0.10% of each Fund's average daily net assets.
For the six months ended April 30, 2005, co-administrative services fees
earned by CSAMSI were as follows:
FUND CO-ADMINISTRATION FEE
---- ---------------------
Capital Appreciation $ 213,197
Mid-Cap Growth 184,553
Small Cap Growth 43,400
55
CREDIT SUISSE FUNDS
NOTES TO FINANCIAL STATEMENTS (CONTINUED)
April 30, 2005 (unaudited)
- --------------------------------------------------------------------------------
NOTE 3. TRANSACTIONS WITH AFFILIATES AND RELATED PARTIES
For its co-administrative services, SSB receives a fee, exclusive of
out-of-pocket expenses, calculated in total for all the Credit Suisse
funds/portfolios co-administered by SSB and allocated based upon relative
average net assets of each fund/portfolio, subject to an annual minimum fee. For
the six months ended April 30, 2005, co-administrative services fees earned by
SSB (including out-of-pocket fees) were as follows:
FUND CO-ADMINISTRATION FEE
---- ---------------------
Capital Appreciation $ 135,379
Mid-Cap Growth 118,306
Small Cap Growth 33,199
In addition to serving as each Fund's co-administrator, CSAMSI currently
serves as distributor of each Fund's shares. Pursuant to distribution plans
adopted by each Fund pursuant to Rule 12b-1 under the 1940 Act, CSAMSI receives
fees for its distribution services. These fees are calculated at an annual rate
of 0.25% of the average daily net assets of the Common Class shares of Small Cap
Growth. For the Advisor Class shares of Capital Appreciation, Mid-Cap Growth and
Small Cap Growth, the shareholder servicing fee is calculated at an annual rate
of 0.50% of the average daily net assets. For the Class A shares of each Fund,
the fee is calculated at an annual rate of 0.25% of average daily net assets.
For the Class B and Class C shares of each Fund, the fee is calculated at an
annual rate of 1.00% of average daily net assets.
Certain brokers, dealers and financial representatives provide transfer
agent related services to the Funds, and receive compensation for these services
from CSAM. CSAM is then reimbursed by the Funds. For the six months ended April
30, 2005, the Funds reimbursed CSAM the following amounts, which are included in
each Fund's transfer agent expense as follows:
FUND AMOUNT
---- ---------
Capital Appreciation $ 713,113
Mid-Cap Growth 725,162
Small Cap Growth 151,575
For the six months ended April 30, 2005, CSAMSI and its affiliates advised
the Funds that it retained the following amounts from commissions earned on the
sale of the Funds' Class A shares:
FUND AMOUNT
---- ---------
Capital Appreciation $ 224
Small Cap Growth 106
56
CREDIT SUISSE FUNDS
NOTES TO FINANCIAL STATEMENTS (CONTINUED)
April 30, 2005 (unaudited)
- --------------------------------------------------------------------------------
NOTE 3. TRANSACTIONS WITH AFFILIATES AND RELATED PARTIES
Merrill Corporation ("Merrill"), an affiliate of CSAM, has been engaged by
the Funds to provide certain financial printing and fulfillment services. For
the six months ended April 30, 2005, Merrill was paid for its services by the
Funds as follows:
FUND AMOUNT
---- ---------
Capital Appreciation $ 8,728
Mid-Cap Growth 8,799
Small Cap Growth 9,237
NOTE 4. LINE OF CREDIT
The Funds, together with other funds/portfolios advised by CSAM
(collectively, the "Participating Funds"), participates in a $75 million
committed, unsecured line of credit facility ("Credit Facility") for temporary
or emergency purposes with Deutsche Bank, A.G. as administrative agent and
syndication agent and SSB as operations agent. Under the terms of the Credit
Facility, the Participating Funds pay an aggregate commitment fee at a rate of
0.10% per annum on the average unused amount of the Credit Facility, which is
allocated among the Participating Funds in such manner as is determined by the
governing Boards of the Participating Funds. In addition, the Participating
Funds pay interest on borrowings at the Federal Funds rate plus 0.50%. At April
30, 2005, Capital Appreciation had no loans outstanding under the Credit
Facility. During the six months ended April 30, 2005, Capital Appreciation had
borrowings under the Credit Facility as follows:
AVERAGE DAILY WEIGHTED AVERAGE MAXIMUM DAILY
LOAN BALANCE INTEREST RATE LOAN OUTSTANDING
------------- ---------------- ----------------
$7,053,000 2.813% $7,053,000
NOTE 5. PURCHASES AND SALES OF SECURITIES
For the six months ended April 30, 2005, purchases and sales of investment
securities (excluding short-term investments) were as follows:
FUND PURCHASES SALES
---- ------------- -------------
Capital Appreciation $ 224,364,751 $ 315,635,610
Mid-Cap Growth 150,677,231 234,370,314
Small Cap Growth 36,463,766 53,586,642
57
CREDIT SUISSE FUNDS
NOTES TO FINANCIAL STATEMENTS (CONTINUED)
April 30, 2005 (unaudited)
- --------------------------------------------------------------------------------
NOTE 5. PURCHASES AND SALES OF SECURITIES
At April 30, 2005, the identified cost for federal income tax purposes, as
well as the gross unrealized appreciation from investments for those securities
having an excess of value over cost, gross unrealized depreciation from
investments for those securities having an excess of cost over value and the net
unrealized appreciation from investments were as follows:
GROSS UNREALIZED GROSS UNREALIZED NET UNREALIZED
FUND IDENTIFIED COST APPRECIATION (DEPRECIATION) APPRECIATION
- ---- --------------- ---------------- ---------------- --------------
Capital Appreciation $352,170,265 $48,000,217 $(21,296,466) $26,703,751
Mid Cap Growth 341,126,179 46,602,554 (16,919,761) 29,682,793
Small Cap Growth 89,467,309 9,020,289 (6,234,194) 2,786,095
NOTE 6. RESTRICTED SECURITIES
Certain investments of the Mid-Cap Growth Fund are restricted as to resale
and are valued at fair value as determined in good faith by, or under the
direction of, the Board of Directors under procedures established by the Board
of Directors. The Fund does not have the right to demand that such securities be
registered.
PERCENTAGE
SECURITY NUMBER OF ACQUISITION FAIR VALUE PER OF NET ASSET
DESCRIPTION SHARES DATE COST VALUE SHARE VALUE
- ------------ --------- ----------- ---------- ----- --------- ------------
Celletra Ltd 1,102,524 4/5/2000 $7,000,000 $ -- $ -- 0.00%
NOTE 7. CAPITAL SHARE TRANSACTIONS
Capital Appreciation is authorized to issue an unlimited number of full
and fractional shares of beneficial interest. Each of Mid-Cap Growth and Small
Cap Growth has four billion full and fractional shares of capital stock
authorized and classified as follows: one billion as Common Class shares, one
billion as Advisor Class shares, one billion as Class A shares, 500 million as
Class B shares and 500 million as Class C shares. Each Fund has a par value of
$.001 per share. Transactions in classes of each Fund were as follows:
CAPITAL APPRECIATION
-----------------------------------------------------------
COMMON CLASS
-----------------------------------------------------------
FOR THE SIX MONTHS ENDED FOR THE YEAR ENDED
APRIL 30, 2005 (UNAUDITED) OCTOBER 31, 2004
-----------------------------------------------------------
SHARES VALUE SHARES VALUE
---------- ------------ ----------- -------------
Shares sold 1,496,038 $ 23,965,594 3,848,365 $ 58,954,276
Shares redeemed (6,878,311) (110,776,936) (10,306,226) (157,364,379)
---------- ------------ ----------- -------------
Net decrease (5,382,273) $(86,811,342) (6,457,861) $ (98,410,103)
========== ============ =========== =============
58
CREDIT SUISSE FUNDS
NOTES TO FINANCIAL STATEMENTS (CONTINUED)
April 30, 2005 (unaudited)
- --------------------------------------------------------------------------------
NOTE 7. CAPITAL SHARE TRANSACTIONS
CAPITAL APPRECIATION
---------------------------------------------------------
ADVISOR CLASS
---------------------------------------------------------
FOR THE SIX MONTHS ENDED FOR THE YEAR ENDED
APRIL 30, 2005 (UNAUDITED) OCTOBER 31, 2004
---------------------------------------------------------
SHARES VALUE SHARES VALUE
----------- ------------ ----------- ------------
Shares sold 124,007 $ 1,907,749 199,778 $ 2,945,030
Shares redeemed (699,454) (10,426,405) (415,383) (6,130,851)
----------- ------------ ----------- ------------
Net decrease (575,447) $ (8,518,656) (215,605) $ (3,185,821)
=========== ============ =========== ============
CAPITAL APPRECIATION
---------------------------------------------------------
CLASS A
---------------------------------------------------------
FOR THE SIX MONTHS ENDED FOR THE YEAR ENDED
APRIL 30, 2005 (UNAUDITED) OCTOBER 31, 2004
---------------------------------------------------------
SHARES VALUE SHARES VALUE
----------- ------------ ----------- ------------
Shares sold 8,355 $ 132,080 119,043 $ 1,813,009
Shares redeemed (79,028) (1,249,647) (33,093) (497,864)
----------- ------------ ----------- ------------
Net increase (decrease) (70,673) $ (1,117,567) 85,950 $ 1,315,145
=========== ============ =========== ============
CAPITAL APPRECIATION
---------------------------------------------------------
CLASS B
---------------------------------------------------------
FOR THE SIX MONTHS ENDED FOR THE YEAR ENDED
APRIL 30, 2005 (UNAUDITED) OCTOBER 31, 2004
---------------------------------------------------------
SHARES VALUE SHARES VALUE
----------- ------------ ----------- ------------
Shares sold 4,690 $ 70,297 9,821 $ 147,233
Shares redeemed (244) (3,778) (10,851) (158,817)
----------- ------------ ----------- ------------
Net increase (decrease) 4,446 $ 66,519 (1,030) $ (11,584)
=========== ============ =========== ============
CAPITAL APPRECIATION
---------------------------------------------------------
CLASS C
---------------------------------------------------------
FOR THE SIX MONTHS ENDED FOR THE YEAR ENDED
APRIL 30, 2005 (UNAUDITED) OCTOBER 31, 2004
---------------------------------------------------------
SHARES VALUE SHARES VALUE
----------- ------------ ----------- ------------
Shares sold 2,647 $ 41,773 48,042 $ 717,594
Shares redeemed (9,464) (145,013) (6,169) (90,752)
----------- ------------ ----------- ------------
Net increase (decrease) (6,817) $ (103,240) 41,873 $ 626,842
=========== ============ =========== ============
59
CREDIT SUISSE FUNDS
NOTES TO FINANCIAL STATEMENTS (CONTINUED)
April 30, 2005 (unaudited)
- --------------------------------------------------------------------------------
NOTE 7. CAPITAL SHARE TRANSACTIONS
MID-CAP GROWTH
---------------------------------------------------------
COMMON CLASS
---------------------------------------------------------
FOR THE SIX MONTHS ENDED FOR THE YEAR ENDED
APRIL 30, 2005 (UNAUDITED) OCTOBER 31, 2004
---------------------------------------------------------
SHARES VALUE SHARES VALUE
----------- ------------ ----------- ------------
Shares sold 651,195 $ 19,673,230 2,492,444 $ 70,859,091
Shares redeemed (3,460,099) (104,535,086) (4,703,603) (131,227,801)
----------- ------------ ----------- ------------
Net decrease (2,808,904) $(84,861,856) (2,211,159) $(60,368,710)
=========== ============ =========== ============
MID-CAP GROWTH
---------------------------------------------------------
ADVISOR CLASS
---------------------------------------------------------
FOR THE SIX MONTHS ENDED FOR THE YEAR ENDED
APRIL 30, 2005 (UNAUDITED) OCTOBER 31, 2004
---------------------------------------------------------
SHARES VALUE SHARES VALUE
----------- ------------ ----------- ------------
Shares sold 84,414 $ 2,353,238 668,569 $ 17,674,545
Shares redeemed (161,936) (4,563,304) (1,261,363) (32,765,904)
----------- ------------ ----------- ------------
Net decrease (77,522) $ (2,210,066) (592,794) $(15,091,359)
=========== ============ =========== ============
MID-CAP GROWTH
---------------------------------------------------------
CLASS A
---------------------------------------------------------
FOR THE SIX MONTHS ENDED FOR THE YEAR ENDED
APRIL 30, 2005 (UNAUDITED) OCTOBER 31, 2004
---------------------------------------------------------
SHARES VALUE SHARES VALUE
----------- ------------ ----------- ------------
Shares sold 1,676 $ 49,987 25,692 $ 720,949
Shares redeemed (5,869) (175,103) (8,077) (221,074)
----------- ------------ ----------- ------------
Net increase (decrease) (4,193) $ (125,116) 17,615 $ 499,875
=========== ============ =========== ============
MID-CAP GROWTH
---------------------------------------------------------
CLASS B
---------------------------------------------------------
FOR THE SIX MONTHS ENDED FOR THE YEAR ENDED
APRIL 30, 2005 (UNAUDITED) OCTOBER 31, 2004 1
---------------------------------------------------------
SHARES VALUE SHARES VALUE
----------- ------------ ----------- ------------
Shares sold 817 $ 23,767 264 $ 8,000
----------- ------------ ----------- ------------
Net increase 817 $ 23,767 264 $ 8,000
=========== ============ =========== ============
60
CREDIT SUISSE FUNDS
NOTES TO FINANCIAL STATEMENTS (CONTINUED)
April 30, 2005 (unaudited)
- --------------------------------------------------------------------------------
NOTE 7. CAPITAL SHARE TRANSACTIONS
MID-CAP GROWTH
---------------------------------------------------------
CLASS C
---------------------------------------------------------
FOR THE SIX MONTHS ENDED FOR THE YEAR ENDED
APRIL 30, 2005 (UNAUDITED) OCTOBER 31, 2004 1
---------------------------------------------------------
SHARES VALUE SHARES VALUE
----------- ------------ ----------- ------------
Shares sold -- $ -- 34 $ 1,000
----------- ------------ ----------- ------------
Net increase -- $ -- 34 $ 1,000
=========== ============ =========== ============
SMALL CAP GROWTH
---------------------------------------------------------
COMMON CLASS
---------------------------------------------------------
FOR THE SIX MONTHS ENDED FOR THE YEAR ENDED
APRIL 30, 2005 (UNAUDITED) OCTOBER 31, 2004
---------------------------------------------------------
SHARES VALUE SHARES VALUE
----------- ------------ ----------- ------------
Shares sold 202,807 $ 3,969,626 1,948,573 $ 37,517,015
Shares redeemed (570,967) (11,203,238) (1,998,668) (37,333,447)
----------- ------------ ----------- ------------
Net increase (decrease) (368,160) $ (7,233,612) (50,095) $ 183,568
=========== ============ =========== ============
SMALL CAP GROWTH
---------------------------------------------------------
ADVISOR CLASS
---------------------------------------------------------
FOR THE SIX MONTHS ENDED FOR THE YEAR ENDED
APRIL 30, 2005 (UNAUDITED) OCTOBER 31, 2004 1
---------------------------------------------------------
SHARES VALUE SHARES VALUE
----------- ------------ ----------- ------------
Shares sold -- $ -- 51 $ 1,000
----------- ------------ ----------- ------------
Net increase -- $ -- 51 $ 1,000
=========== ============ =========== ============
SMALL CAP GROWTH
---------------------------------------------------------
CLASS A
---------------------------------------------------------
FOR THE SIX MONTHS ENDED FOR THE YEAR ENDED
APRIL 30, 2005 (UNAUDITED) OCTOBER 31, 2004
---------------------------------------------------------
SHARES VALUE SHARES VALUE
----------- ------------ ----------- ------------
Shares sold 153,165 $ 3,013,941 600,195 $ 11,024,774
Shares redeemed (667,412) (13,298,068) (66,165) (1,237,657)
----------- ------------ ----------- ------------
Net increase (decrease) (514,247) $(10,284,127) 534,030 $ 9,787,117
=========== ============ =========== ============
SMALL CAP GROWTH
---------------------------------------------------------
CLASS B
---------------------------------------------------------
FOR THE SIX MONTHS ENDED FOR THE YEAR ENDED
APRIL 30, 2005 (UNAUDITED) OCTOBER 31, 2004 1
---------------------------------------------------------
SHARES VALUE SHARES VALUE
----------- ------------ ----------- ------------
Shares sold 272 $ 5,300 564 $ 10,251
----------- ------------ ----------- ------------
Net increase 272 $ 5,300 564 $ 10,251
=========== ============ =========== ============
61
CREDIT SUISSE FUNDS
NOTES TO FINANCIAL STATEMENTS (CONTINUED)
April 30, 2005 (unaudited)
- --------------------------------------------------------------------------------
NOTE 7. CAPITAL SHARE TRANSACTIONS
SMALL CAP GROWTH
---------------------------------------------------------
CLASS C
---------------------------------------------------------
FOR THE SIX MONTHS ENDED FOR THE YEAR ENDED
APRIL 30, 2005 (UNAUDITED) OCTOBER 31, 2004 1
---------------------------------------------------------
SHARES VALUE SHARES VALUE
----------- ------------ ----------- ------------
Shares sold 0 $ 0 50 $ 1,000
Net increase 0 $ 0 50 $ 1,000
=========== ============ =========== ============
- --------------------------------------------------------------------------------
1 For the period February 27, 2004 (inception date) through October 31, 2004.
On April 30, 2005, the number of shareholders that held 5% or more of the
outstanding shares of each Fund was as follows:
NUMBER OF APPROXIMATE PERCENTAGE
FUND SHAREHOLDERS OF OUTSTANDING SHARES
---- ------------ ----------------------
Capital Appreciation
Common 4 44%
Advisor 4 59%
Class A 3 43%
Class B 4 58%
Class C 2 39%
Mid-Cap Growth
Common 3 51%
Advisor 1 89%
Class A 3 80%
Class B 5 95%
Small Cap Growth
Common 2 79%
Class A 3 43%
Class B 4 99%
Some of the shareholders are omnibus accounts, which hold shares on behalf
of individual shareholders.
NOTE 8. CONTINGENCIES
In the normal course of business, the Funds may provide general
indemnifications pursuant to certain contracts and organizational documents. The
Funds' maximum exposure under these arrangements is dependent on future claims
that may be made against the Funds and, therefore, cannot be estimated; however,
based on experience, the risk of loss from such claims is considered remote.
62
CREDIT SUISSE FUNDS
BOARD APPROVAL OF ADVISORY AGREEMENTS (UNAUDITED)
- --------------------------------------------------------------------------------
In approving the Advisory Agreement for each Fund, the Board of Directors/
Trustees of each Fund, including the Independent Directors/Trustees, considered
the following factors:
INVESTMENT ADVISORY FEE RATES
-----------------------------
The Boards reviewed and considered the contractual advisory fee rates of
0.70%, 0.90% and 1.00% paid by the Capital Appreciation Fund, Mid-Cap Growth
Fund and the Small Cap Growth Fund, respectively (each, a "Contractual Advisory
Fee") to CSAM in light of the extent and quality of the advisory services
provided. The Board of Directors of the Small Cap Growth Fund also reviewed and
considered the fee waivers and/or expense reimbursement arrangements currently
in place for that Fund and considered the actual fee rate after taking into
account waivers and reimbursements of 0.41% (the "Net Advisory Fee"). The Board
of Directors of the Small Cap Growth Fund acknowledged that the fee waivers and
reimbursements could be discontinued at any time.
Additionally, the Boards received and considered information comparing
each Fund's Contractual Advisory Fee and each Fund's overall expenses with those
of funds in both the relevant expense group ("Peer Group") and universe of funds
(the "Universe") provided by an independent provider of investment company data.
NATURE, EXTENT AND QUALITY OF THE SERVICES UNDER THE ADVISORY AGREEMENTS
------------------------------------------------------------------------
The Boards received and considered information regarding the nature,
extent and quality of services provided to each Fund by CSAM under the Advisory
Agreements. The Boards also noted information received at regular meetings
throughout the year related to the services rendered by CSAM. The Boards
reviewed background information about CSAM, including its Form ADV. The Boards
considered the background and experience of CSAM's senior management and the
expertise of, and the amount of attention given to each Fund by senior personnel
of CSAM. In addition, the Boards reviewed the qualifications, background and
responsibilities of the portfolio management teams primarily responsible for the
day-to-day portfolio management of each Fund and the extent of the resources
devoted to research and analysis of actual and potential investments. The Boards
also received and considered information about the nature, extent and quality of
services and fee rates offered to other CSAM clients for comparable services.
63
CREDIT SUISSE FUNDS
BOARD APPROVAL OF ADVISORY AGREEMENTS (UNAUDITED)(CONTINUED)
- --------------------------------------------------------------------------------
FUND PERFORMANCE
----------------
The Boards received and considered the one-year, five-year and ten-year or
since inception performance of each Fund, along with comparisons, for all
presented periods, both to the Peer Group and the Universe. The Boards were
provided with a description of the methodology used to arrive at the data for
the funds included in the Peer Group and the Universe.
The Boards reviewed information comparing the performance of the various
Credit Suisse Funds to performance benchmarks that the Boards had previously
established and progress that had been made in certain instances toward
achieving those benchmarks. The Boards also reviewed comparisons between each
Fund and its identified benchmark over various time periods.
CSAM PROFITABILITY
------------------
The Boards received and considered a detailed profitability analysis of
CSAM based on the fees payable under the Advisory Agreements for each Fund, as
well as other relationships between each Fund on the one hand and CSAM
affiliates on the other. The Boards received profitability information for the
other funds in the CSAM family of funds (the "Fund Complex").
ECONOMIES OF SCALE
------------------
The Boards considered whether economies of scale in the provision of
services to each Fund were being passed along to the shareholders. Accordingly,
the Boards considered whether alternative fee structures (such as breakpoint fee
structures) would be more appropriate or reasonable taking into consideration
economies of scale or other efficiencies that might accrue from increases in
each Fund's asset levels.
OTHER BENEFITS TO CSAM
----------------------
The Boards considered other benefits received by CSAM and its affiliates
as a result of its relationship with each Fund. Such benefits include, among
others, research arrangements with brokers who execute transactions on behalf of
each Fund, administrative and brokerage relationships with affiliates of CSAM
and benefits potentially derived from an increase in CSAM's business as a result
of its relationship with each Fund (such as the ability to market to
shareholders other financial products offered by CSAM and its affiliates).
The Boards considered the standards applied in seeking best execution,
whether and to what extent soft dollar credits are sought and how any such
64
CREDIT SUISSE FUNDS
BOARD APPROVAL OF ADVISORY AGREEMENTS (UNAUDITED)(CONTINUED)
- --------------------------------------------------------------------------------
credits are utilized, any benefits that may be achieved by using an affiliated
broker and the existence of quality controls applicable to brokerage allocation
procedures. The Boards also reviewed CSAM's method for allocating portfolio
investment opportunities among each Fund and other advisory clients.
CONCLUSIONS
-----------
In selecting CSAM, and approving the Advisory Agreements and the
investment advisory fee under such agreement, the Boards concluded that:
CAPITAL APPRECIATION FUND
o the Contractual Advisory Fee level was considered reasonable given
that it was at approximately the median of the Fund's Peer Group.
o the Fund's five and ten year performance was stronger than that of
its Peer Group although the Fund's one- and three-year performance
was below that of its Peer Group. The Board discussed the
underperformance with CSAM, but considered more recent improvements
in the Fund's performance to be a positive reflection of the
enhanced research and investment management changes that have been
instituted by CSAM to address underperformance.
MID-CAP GROWTH FUND
o the Contractual Advisory Fee level was within a reasonable range
around the median of the Fund's Peer Group.
o the Fund's one-year performance was at approximately the median of
its Peer Group, although the Fund's five and ten year performance
was lower than that of its Peer Group. The Board discussed the
underperformance with CSAM, but considered the improvements in the
Fund's recent performance to be a positive reflection of the
enhanced research and portfolio management changes instituted by
CSAM.
SMALL CAP GROWTH FUND
o although the Fund's Contractual Advisory Fee was higher than that of
its Peer Group, the fee was considered reasonable recognizing that
the amount that shareholders were actually charged, the Net Advisory
Fee, was lower than the median of the Fund's Peer Group.
o the Fund's one year, five year and since inception performance was
equal to or stronger than that of its Peer Group.
65
CREDIT SUISSE FUNDS
BOARD APPROVAL OF ADVISORY AGREEMENTS (UNAUDITED)(CONTINUED)
- --------------------------------------------------------------------------------
ALL FUNDS
o aside from performance (as discussed above), the Boards were
satisfied with the nature and extent of the investment advisory
services provided to each Fund by CSAM and that, based on dialogue
with management and counsel, the services provided by CSAM under the
Advisory Agreements are typical of, and consistent with, those
provided to similar mutual funds by other investment advisers. The
Boards understood that CSAM had addressed or was in the process of
addressing any performance issues.
o in light of the costs of providing investment management and other
services to each Fund and CSAM's ongoing commitment to each Fund,
the profits and other ancillary benefits that CSAM and its
affiliates received were considered reasonable.
o CSAM's profitability based on fees payable under the Advisory
Agreements was reasonable in light of the nature, extent and quality
of the services provided to each Fund thereunder.
No single factor reviewed by the Boards was identified by the Boards as
the principal factor in determining whether to approve the Advisory Agreements.
The Independent Directors/Trustees were advised by separate independent legal
counsel throughout the process.
66
CREDIT SUISSE FUNDS
PRIVACY POLICY NOTICE (UNAUDITED)
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IMPORTANT PRIVACY CHOICES FOR CONSUMERS
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We are committed to maintaining the privacy of every current and
prospective customer. We recognize that you entrust important personal
information to us, and we wish to assure you that we take seriously our
responsibilities in protecting and safeguarding this information.
In connection with making available investment products and services to
current and potential customers, we may obtain nonpublic personal information
about you. This information may include your name, address, e-mail address,
social security number, account number, assets, income, financial situation,
transaction history and other personal information.
We may collect nonpublic information about you from the following sources:
o Information we receive on applications, forms, questionnaires, web
sites, agreements or in the course of establishing or maintaining a
customer relationship; and
o Information about your transactions with us, our affiliates, or
others.
We do not disclose any nonpublic personal information about our customers
or former customers to anyone, except with your consent or as otherwise
permitted by law.
RESTRICT INFORMATION SHARING WITH AFFILIATES: In cases where we believe
that additional products and services may be of interest to you, we may share
the information described above with our affiliates unless you say "No."
[ ] No,please do not share personal and financial information with your
affiliated companies. [If you check this box, you must send this
notice back to us with your name, address and account number to
Credit Suisse Funds, 466 Lexington Avenue, New York, New York
10017.]
We may also disclose this information to firms that perform services on
our behalf. These agents and service providers are required to treat the
information confidentially and use it only for the purpose for which it is
provided.
We restrict access to nonpublic personal information about you to those
employees, agents or other parties who need to know that information to provide
products or services to you or in connection with your investments with or
through us. We maintain physical, electronic and procedural safeguards that
comply with federal standards to guard your nonpublic personal information.
NOTE: THIS NOTICE IS PROVIDED TO CLIENTS AND PROSPECTIVE CLIENTS OF CREDIT
SUISSE ASSET MANAGEMENT, LLC ("CSAM"), AND CREDIT SUISSE ASSET MANAGEMENT
SECURITIES, INC., AND SHAREHOLDERS AND PROSPECTIVE SHAREHOLDERS IN
CSAM-SPONSORED AND-ADVISED INVESTMENT COMPANIES, INCLUDING CREDIT SUISSE FUNDS,
AND OTHER CONSUMERS AND CUSTOMERS, AS APPLICABLE. THIS NOTICE IS NOT INTENDED TO
BE INCORPORATED IN ANY OFFERING MATERIALS BUT IS MERELY A STATEMENT OF OUR
CURRENT PRIVACY POLICY, AND MAY BE AMENDED FROM TIME TO TIME UPON NOTICE TO YOU.
THIS NOTICE IS DATED AS OF MAY 17, 2005.
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CREDIT SUISSE FUNDS
PROXY VOTING AND PORTFOLIO HOLDINGS INFORMATION (UNAUDITED)
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Information regarding how each Fund voted proxies related to its portfolio
securities during the 12-month period ended June 30, 2004 as well as the
policies and procedures that each Fund uses to determine how to vote proxies
relating to its portfolio securities are available:
o By calling 1-800-927-2874
o On the Funds' website, www.csam.com/us
o On the website of the Securities and Exchange Commission,
http://www.sec.gov.
Each Fund files a complete schedule of its portfolio holdings for the
first and third quarters of its fiscal year with the SEC on Form N-Q. The Funds'
Forms N-Q are available on the SEC's website at http://www.sec.gov and may be
reviewed and copied at the SEC's Public Reference Room in Washington, DC.
Information on the operation of the SEC's Public Reference Room may be obtained
by calling 1-800-SEC-0330.
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P.O. BOX 55030, BOSTON, MA 02205-5030 CREDIT | ASSET
800-927-2874 o www.csam.com/us SUISSE | MANAGEMENT
CREDIT SUISSE ASSET MANAGEMENT SECURITIES, INC., DISTRIBUTOR. USEQGTH-SAR-0405
ITEM 2. CODE OF ETHICS.
This item is inapplicable to a semi-annual report on Form N-CSR.
ITEM 3. AUDIT COMMITTEE FINANCIAL EXPERT.
This item is inapplicable to a semi-annual report on Form N-CSR.
ITEM 4. PRINCIPAL ACCOUNTANT FEES AND SERVICES.
This item is inapplicable to a semi-annual report on Form N-CSR.
ITEM 5. AUDIT COMMITTEE OF LISTED REGISTRANTS.
This item is not applicable to the registrant.
ITEM 6. SCHEDULE OF INVESTMENTS
Included as part of the report to shareholders filed under Item 1 of this Form.
ITEM 7. DISCLOSURE OF PROXY VOTING POLICIES AND PROCEDURES FOR CLOSED-END
MANAGEMENT INVESTMENT COMPANIES.
This item is not applicable to the registrant.
ITEM 8. PORTFOLIO MANAGERS OF CLOSED-END MANAGEMENT INVESTMENT COMPANIES.
This item is not applicable to the registrant.
ITEM 9. PURCHASES OF EQUITY SECURITIES BY CLOSED-END MANAGEMENT INVESTMENT
COMPANY AND AFFILIATED PURCHASERS.
This item is not applicable to the registrant.
ITEM 10. SUBMISSION OF MATTERS TO A VOTE OF SECURITY HOLDERS
The Nominating Committee recommends Board member candidates. Shareholders of the
registrant may also submit nominees that will be considered by the Committee.
Recommendations should be mailed to the registrant's Secretary, c/o Credit
Suisse Asset Management, LLC, 466 Lexington Avenue, New York, NY 10017. Any
submission should include at a minimum the following information: the name, age,
business address, residence address and principal occupation or employment of
such individual; the class, series and number of shares of the registrant that
are beneficially owned by such individual; the date such shares were acquired
and the investment intent of such acquisition; whether such shareholder believes
such individual is, or is not, an "interested person" of the registrant (as
defined in the Investment Company Act of 1940) and information regarding such
individual that is sufficient, in the Committee's discretion, to make such
determination; and all other information relating to such individual that is
required to be disclosed in solicitation of proxies for election of directors in
an election contest (even if an election contest is not involved) or is
otherwise required pursuant to the rules for proxy materials under the
Securities Exchange Act of 1934.
ITEM 11. CONTROLS AND PROCEDURES.
(a) As of a date within 90 days from the filing date of this report, the
principal executive officer and principal financial officer concluded that the
registrant's disclosure controls and procedures (as defined in Rule 30a-3(c)
under the Investment Company Act of 1940 (the "Act")) were effective based on
their evaluation of the disclosure controls and procedures required by Rule
30a-3(b) under the Act and Rules 13a-15(b) or 15d-15(b) under the Securities
Exchange Act of 1934.
(b) There were no changes in registrant's internal control over financial
reporting (as defined in Rule 30a-3(d) under the Act) that occurred during the
registrant's last fiscal half-year that have materially affected, or are
reasonably likely to materially affect, the registrant's internal control over
financial reporting.
ITEM 12. EXHIBITS.
(a)(1) Not applicable.
(a)(2) The certifications of the registrant as required by Rule 30a-2(a) under
the Act are exhibits to this report.
(a)(3) Not applicable.
(b) The certifications of the registrant as required by Rule 30a-2(b) under
the Act are an exhibit to this report.
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934 and the
Investment Company Act of 1940, the registrant has duly caused this report to be
signed on its behalf by the undersigned, thereunto duly authorized.
Credit Suisse Capital Appreciation Fund
/s/ Michael E. Kenneally
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Name: Michael E. Kenneally
Title: Chief Executive Officer
Date: July 5, 2005
Pursuant to the requirements of the Securities Exchange Act of 1934 and the
Investment Company Act of 1940, this report has been signed below by the
following persons on behalf of the registrant and in the capacities and on the
dates indicated.
/s/ Michael E. Kenneally
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Name: Michael E. Kenneally
Title: Chief Executive Officer
Date: July 5, 2005
/s/ Michael A. Pignataro
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Name: Michael A. Pignataro
Title: Chief Financial Officer
Date: July 5, 2005