UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM N-CSR
CERTIFIED SHAREHOLDER REPORT OF REGISTERED MANAGEMENT INVESTMENT COMPANIES
Investment Company Act file number: 811-5075
Thrivent Mutual Funds
(Exact name of registrant as specified in charter)
625 Fourth Avenue South
Minneapolis, Minnesota 55415
(Address of principal executive offices) (Zip code)
James E. Nelson, Secretary
625 Fourth Avenue South
Minneapolis, Minnesota 55415
(Name and address of agent for service)
Registrant's telephone number, including area code: (612) 340-7215
Date of fiscal year end: October 31
Date of reporting period: October 31, 2004
Item 1. Report to Stockholders
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[GRAPHIC OMITTED: Thrivent Investment Management RegisterMark]
Thrivent Mutual Funds
Annual Report
October 31, 2004
23459 R12-04
[GRAPHIC OMITTED: Newspaper]
Table of Contents
President's Letter 1
Economic and Market Review 2
Portfolio Perspectives
Thrivent Technology Fund 4
Thrivent Partner Small Cap Value Fund 6
Thrivent Small Cap Stock Fund 8
Thrivent Small Cap Index Fund 10
Thrivent Mid Cap Growth Fund 12
Thrivent Mid Cap Stock Fund 14
Thrivent Mid Cap Index Fund 16
Thrivent Mid Cap Index Fund-I 18
Thrivent Partner International Stock Fund 20
Thrivent Large Cap Growth Fund 22
Thrivent Large Cap Value Fund 24
Thrivent Large Cap Stock Fund 26
Thrivent Large Cap Index Fund 28
Thrivent Large Cap Index Fund-I 30
Thrivent Balanced Fund 32
Thrivent High Yield Bond Fund 34
Thrivent Partner High Yield Fund 36
Thrivent Municipal Bond Fund 38
Thrivent Income Fund 40
Thrivent Core Bond Fund 42
Thrivent Bond Index Fund-I 44
Thrivent Limited Maturity Bond Fund 46
Thrivent Money Market Fund 48
Report of Independent Registered
Public Accounting Firm 55
Schedules of Investments
Thrivent Technology Fund 56
Thrivent Partner Small Cap Value Fund 58
Thrivent Small Cap Stock Fund 61
Thrivent Small Cap Index Fund 65
Thrivent Mid Cap Growth Fund 74
Thrivent Mid Cap Stock Fund 80
Thrivent Mid Cap Index Fund 84
Thrivent Mid Cap Index Fund-I 90
Thrivent Partner International Stock Fund 97
Thrivent Large Cap Growth Fund 102
Thrivent Large Cap Value Fund 107
Thrivent Large Cap Stock Fund 110
Thrivent Large Cap Index Fund 113
Thrivent Large Cap Index Fund-I 121
Thrivent Balanced Fund 129
Thrivent High Yield Bond Fund 139
Thrivent Partner High Yield Fund 147
Thrivent Municipal Bond Fund 155
Thrivent Income Fund 186
Thrivent Core Bond Fund 192
Thrivent Bond Index Fund-I 197
Thrivent Limited Maturity Bond Fund 203
Thrivent Money Market Fund 209
Statement of Assets and Liabilities 212
Statement of Operations 217
Statement of Changes in Net Assets 226
Notes to Financial Statements 234
Financial Highlights
Thrivent Technology Fund 260
Thrivent Partner Small Cap Value Fund 260
Thrivent Small Cap Stock Fund 262
Thrivent Small Cap Index Fund 262
Thrivent Mid Cap Growth Fund 264
Thrivent Mid Cap Stock Fund 264
Thrivent Mid Cap Index Fund 266
Thrivent Mid Cap Index Fund-I 267
Thrivent Partner International Stock Fund 266
Thrivent Large Cap Growth Fund 268
Thrivent Large Cap Value Fund 268
Thrivent Large Cap Stock Fund 270
Thrivent Large Cap Index Fund 270
Thrivent Large Cap Index Fund-I 271
Thrivent Balanced Fund 272
Thrivent High Yield Bond Fund 272
Thrivent Partner High Yield Fund 274
Thrivent Municipal Bond Fund 274
Thrivent Income Fund 276
Thrivent Core Bond Fund 276
Thrivent Bond Index Fund-I 278
Thrivent Limited Maturity Bond Fund 278
Thrivent Money Market Fund 280
Additional Information 282
Trustees and Officers of
Thrivent Mutual Funds 283
Results of Shareholder Meeting 287
[PHOTO OMITTED: PAMELA J. MORET]
Dear Member:
We are pleased to provide you with the Thrivent Mutual Funds annual
report for the period ended Oct. 31, 2004. In this report, you will
find detailed information about the Thrivent Mutual Funds, including
summaries prepared by each portfolio manager on his or her performance
and management strategies for the applicable fund and period. In
addition, Russell Swansen, Thrivent Investment Management's chief
investment officer, summarizes the overall market and economic
environment over the past twelve months.
In this report, you may notice that we review six-month performance for
some funds while we show 12-month performance for others. This difference
is one of the last vestiges of our mutual fund family merger process and
is due to an accounting requirement applicable to the year 2004 only. Next
April's semiannual report will present all Thrivent Mutual Funds reporting
on a six-month performance period.
In previous letters I have emphasized how seriously we view integrity at
Thrivent Investment Management, including our adoption of leading edge
fund governance and operational processes designed to ensure shareholder
protection. This letter continues that theme by highlighting the work of
Russ Swansen and his investment team to fulfill our principles through our
investment practices.
Portfolio managers' compensation is tied to performance -- not sales, or
assets under management.
This is a very important distinction often not apparent to the investor.
Managers who are paid to raise asset levels in their fund can be tempted
to take extraordinary risks in an effort to produce eye-popping short-term
returns that, in turn, can lead to very large influxes of dollars. Such
behaviors are often not in the shareholders' best interest and can result
in very volatile fund performance and undue risk. Thrivent Investment
Management has clearly-defined goals for our portfolio management teams
that tie financial reward to one-, three-, and five-year performance --
not "quick-fix" strategies designed simply to attract "fast cash," which
could prove detrimental to investors later.
Thrivent Investment Management believes in a
performance-driven culture.
We are striving to be the best in the asset management business and want
to be the financial services organization of choice for our investors and
members. Consistent with this goal is a commitment to hold our investment
leadership team and portfolio managers to high standards of excellence.
These standards rest on our conviction that investors are best served when
we deliver consistent, long-term performance without undue risk. We hold
our money management teams accountable for results and will not hesitate
to make changes when necessary. To this point, over the past year Thrivent
Investment Management has replaced managers and attracted talented new
individuals better positioned to deliver strong performance results.
We believe that this combination of integrity and performance is a
powerful driver for long-term investment success for our shareholders.
This is the balance we strive for each and every day at Thrivent
Investment Management.
On a personal note, I want to wish you the very best in 2005. Thank you
for continuing to turn to us for your financial solutions. We very much
value your business.
Yours sincerely,
/S/ PAMELA J. MORET
Pamela J. Moret
President and Trustee
Thrivent Mutual Funds
[PHOTO OMITTED: RUSSELL W. SWANSEN]
Russell W. Swansen October 31, 2004
Senior Vice President, and
Chief Investment Officer
Economic and Market Review
In stark contrast to recent years, risk taking investors were rewarded
during the 12-month period ended Oct. 31, 2004. International and small
company stocks provided exceptional returns for investors while high yield
bonds led fixed income categories. Equities rallied late in 2003 before
slowing along with the U.S. economy in the spring and summer months.
Bonds, predicted by many pundits to finish the period with negative
returns, rallied in the face of higher short-term interest rates.
U.S. Economy
The economic recovery that began in 2003 continued with solid gross
domestic product growth of 4.0% on average over the reporting period. This
encouraging economic growth was tempered with bouts of skepticism over
erratic job growth, a sudden and dramatic spike in the price of oil in
late summer, and turbulence in Iraq. A widely watched barometer, the
non-farm payroll report -- an indicator of the number of new jobs
created-varied widely month to month, creating concerns about a "jobless
recovery."
In addition to strong consumer spending, a robust real estate market that
contributed to steady consumer confidence levels, and low inflation helped
pull the U.S. economy further down the recovery path.
Inflation & Monetary Policy
Underlying economic fundamentals, such as easy monetary policy and
economic growth, make a strong case for inflation trending higher as an
economic recovery grows older. This was the case over the 12-month period
as historically low inflation rates of 2003 gave way to an acceleration of
2.3% annual increase over the first three quarters of 2004. In addition to
rising core inflation, which doesn't include the more volatile food and
energy components, oil prices have surged since the summer and will likely
assert more upward pressure over the months ahead.
The Federal Reserve adhered to a policy of "measured" rate increases over
the period and, despite a series of three 25 basis point increases to the
key federal funds rate through October, monetary policy remains
simulative. With rate increases likely in both November and December, the
Fed would achieve what is considered a neutral rate policy where the
federal funds rate is substantially equal to the rate of inflation. As
always, any sudden jump in inflation would be cause for more aggressive
action.
Equity Performance
The majority of equity gains occurred early in the fiscal year (late 2003
and early 2004) before concerns over job growth, simmering unrest in Iraq,
and uncertainty regarding the U.S. presidential election distracted
investors and led to a "sideways" stock market. Trends starting in 2003
continued into 2004 with small- and mid-sized company stocks narrowly
outperforming their larger counterparts. The Russell 2000 Index of
small-cap stocks posted an 11.82% total return while the large-cap proxy,
the S&P 500 Index, recorded a 9.42% return. Larger company stocks made
gains on smaller issues and generally sported more attractive valuations
than their smaller brethren, which was not surprising in light of the
breathtaking run-up in small- and mid-sized company stocks in 2003.
In terms of investment style, more value-oriented stocks again
outperformed their growth counterparts as investors continued to favor
more conservative dividend-paying issues over companies with stronger
long-term growth prospects. Over the fiscal year, the S&P 500/Barra Value
Index returned 14.45% while the S&P 500/Barra Growth Index portion of the
index registered a 4.49% total return. Value stocks were boosted by strong
returns in the financials and energy sectors while sluggish technology and
health care performance held back growth returns.
Foreign stocks performed very well as measured by the Morgan Stanley
Capital International EAFE Index's total return over the period of 19.27%.
International markets benefited from more attractive overall valuations
and significant economic recoveries in Europe and Japan, as well as a
falling U.S. dollar.
Fixed Income Performance
Various bond sector returns closely aligned with their individual risk
parameters posting strong returns over the period in the face of rising
short-term interest rates. As with equities, investors who assumed more
risk were rewarded. High yield bonds continued to bask in an environment
of strong credit fundamentals and low default rates, posting a 12.32%
total return over the period, as measured by the Lehman Brothers High
Yield Bond Index. Strong investor interest in high dividend securities
boosted high yield and real estate investment trust (REITS) returns
throughout the period.
Longer duration municipal bonds performed well despite the threat of
higher interest rates and widespread municipal budget shortfalls. The
Lehman Brothers Municipal Bond Index posted a total return of 6.03% over
the year. Uncertainty over the pace of the economic recovery contributed
to another positive year for the high quality fixed income market. For the
first time in more than three decades, intermediate and long-term
Treasuries rallied at the same time the Federal Reserve raised the federal
funds rate. This fact was reflected in a solid 5.53% total return for the
Lehman Brothers Aggregate Bond Index -- the key proxy for the U.S. bond
market.
Outlook
The U.S. economy continues to produce steady growth and appears to have
overcome a series of weaker summer reports. The recovery has added job
creation to its mix, and inflation, though sparking up from time-to-time,
has not yet presented a serious threat. Equity returns will continue to
grapple with three concerns: geopolitical risk, high-energy prices, and
soft patches in the economic recovery. Counterbalancing these issues are
corporate profit margins that are at their highest levels in several
decades and elevated cash levels in company coffers that could spark
substantial business investment, higher dividend rates, and stock buyback
programs. From a price standpoint, stocks appear at the higher end of
their historic valuation spectrum, and investors should expect more modest
returns over a repeat of the late 1990s when the S&P 500 Index produced
five straight years of greater than 20% gains.
Bond investors will be on the lookout for signs of higher inflation and
the probability of higher overall market interest rates -- both more
likely later in an economic recovery cycle. Of course, these same omens
were cited at the beginning of 2004 with resulting positive returns along
with the diversification benefits bonds provide to a portfolio. Despite
many market experts predicting dire consequences for bond investors a year
ago, the twelve-month period returns illustrate the benefits of adhering
to a well-balanced portfolio made up of several different asset classes.
The past three quarters have produced economic growth in the 3-4% range,
and we expect the economy will continue to expand at a similar pace.
Caveats include higher energy prices, which could raise companies' costs
and impinge on consumer spending. Another setback could involve the
combination of higher inflation along with a weakening dollar, which would
send interest rates up at a faster pace than the Federal Reserve has so
far indicated. As always, unexpected events such as terrorist acts and
global political conflicts can adversely impact the markets. Nevertheless,
the world and the nation's financial markets have a way of absorbing news
- -- both good and bad -- and moving on.
[PHOTOS OMITTED: BRIAN J. FLANAGAN AND JAMES A. GROSSMAN]
Thrivent Technology Fund
Brian J. Flanagan (left) and James A. Grossman (right), Portfolio
Co-Managers
The Thrivent Technology Fund seeks long-term capital appreciation by
investing primarily in a diversified portfolio of common stocks and
securities convertible into common stocks.
How did the Fund perform during the six-month period ended Oct. 31, 2004?
During the six-month period ended Oct. 31, 2004, the Thrivent Technology
Fund produced a 2.50% total return, outperforming the 1.42% median return
of its Lipper Inc. Science & Technology peer group. The Fund's market
benchmark, the Goldman Sachs Technology Industry Composite Index, returned
1.34% during the period.
What market conditions were present during
the period?
At the outset of 2004, estimates for technology companies had become more
realistic and hopes were high for their growth potential. This optimism,
however, was soon dampened as concerns about inventories weighed heavily
on the market.
In the spring of 2004, those concerns were realized as many technology
companies began to preannounce earnings shortfalls. Inventory issues led
to larger concerns that the tech cycle had reached its conclusion. The
jury is still out on whether this slowdown is indeed the end of the cycle
or simply a market adjustment to account for the increased inventory.
During the period, semiconductors experienced one of the most severe
declines. As contributing elements to so many different products, they are
especially sensitive to slowdowns in other areas of the economy. In this
case, semiconductor inventories rose sharply as this summer's general
economic malaise took its toll on many industries.
What factors affected the Fund's performance?
The Fund's outperformance can be traced to positive stock selection in
computers, peripherals, communications equipment, Internet software and
services. In many cases, picking the correct stock was less important than
avoiding the wrong ones -- something we did successfully during the
period.
The key to the Fund's stock selection was our ongoing focus on
fundamentals. In good times, there can be a temptation to not as dig
deeply into individual stocks as in tough times. However, our philosophy
is to consistently work hard to identify companies with a high potential
to grow faster than their competition, regardless of the economic
environment. During the period, Apple Computer was one of the companies
that did just that and helped pace the fund's strong returns.
Negative influences on the Fund's relative performance included stocks in
the semiconductor and health care segments.
[GRAPHIC OMITTED: TOP INDUSTRIES]
Top Industries
(% of Portfolio)
Information Technology 80.2%
Consumer Discretionary 5.5%
Telecommunication Services 1.4%
Health Care 1.3%
Industrials 0.3%
Top 10 Holdings
(% of Portfolio)
Microsoft Corporation 5.8%
Dell, Inc. 4.7%
Cisco Systems, Inc. 3.9%
Apple Computer, Inc. 3.4%
Intel Corporation 3.0%
International Business Machines Corporation 2.9%
QUALCOMM, Inc. 2.9%
eBay, Inc. 2.8%
EMC Corporation 2.2%
Yahoo!, Inc. 2.1%
Footnote reads:
These common stocks represent 33.7% of the total investment portfolio.
Footnotes read:
Quoted Fund performance is for Class A shares and does not reflect a sales
charge.
The returns shown do not reflect taxes a shareholder would pay on
distributions or redemptions.
Quoted Top Industries, Portfolio Composition and Top 10 Holdings are
subject to change.
The list of Top 10 Holdings excludes short term investments and collateral
held for securities loaned.
What is your outlook?
Early in 2004, small cap technology stocks and, in particular,
semiconductors, were hit hard by a failure to meet aggressive
earnings estimates. Since then, however, these expectations have been
reset and look to be more achievable, particularly in the large cap space.
While this may not result in a massive rebound for technology stocks, they
should start to respond favorably once the results of the current earning
season are known -- perhaps leading to an additional resetting
of expectations.
We anticipate that IT spending will grow more slowly in 2005 than it
has in recent years. That belief, in concert with continuing high
inventory levels, leads us to do more of the same in the coming
months. We will focus as much as possible on stock selection while
avoiding any large sector bets.
Although we will seek value from all market capitalization segments, the
Fund remains tilted toward large cap companies as they appear much more
capable of realizing their estimates in uncertain economic conditions.
Overall, good stock selection is critical, as the anticipated recovery
will not equally benefit all companies within the technology sector.
Portfolio Facts
As of October 31, 2004
A Share B Share Institutional Share
------------------ ------------------ ------------------
Ticker AATSX BBTSX N/A
Transfer Agent ID 028 078 098
Net Assets $42,507,383 $4,012,190 $2,957,724
NAV $3.28 $3.16 $3.42
NAV -- High+ 6/30/2004 -- $3.44 6/30/2004 -- $3.32 6/30/2004 -- $3.58
NAV -- Low+ 8/12/2004 -- $2.81 8/12/2004 -- $2.72 8/12/2004 -- $2.93
Number of Holdings: 106 +For the period ended October 31, 2004
Average Annual Total Returns 2
As of October 31, 2004
From
Inception
Class A1 1-Year 7/1/2000
- -----------------------------------------------------------
without sales charge (0.61%) (22.69%)
with sales charge (6.02%) (23.69%)
From
Inception
Class B1 1-Year 7/1/2000
- -----------------------------------------------------------
without sales charge (1.25%) (23.35%)
with sales charge (5.20%) (23.53%)
From
Inception
Institutional Class 1-Year 7/1/2000
- -----------------------------------------------------------
Net Asset Value 0.29% (21.94%)
[GRAPHIC WORM CHART OMITTED: VALUE OF A $10,000 INVESTMENT]
Value of a $10,000 Investment
Class A Shares*2
Goldman
Sachs
Technology
Industry Consumer
Technology Composite Price
Date Fund Index*** Index**
- -----------------------------------------------------------
July 1, 2000 9,450 10,000 10,000
2000 9,148 9,440 10,017
2000 10,792 10,668 10,029
2000 9,497 8,940 10,081
2000 8,410 8,265 10,099
2000 6,048 6,372 10,104
2000 5,963 5,826 10,099
2001 6,653 6,782 10,163
2001 4,697 4,902 10,203
2001 3,922 4,221 10,226
2001 4,848 5,027 10,267
2001 4,630 4,827 10,313
2001 4,678 4,840 10,331
2001 4,215 4,495 10,302
2001 3,648 3,910 10,302
2001 2,835 3,119 10,348
2001 3,279 3,620 10,313
2001 3,789 4,237 10,296
2001 3,752 4,163 10,255
2002 3,686 4,158 10,279
2002 3,147 3,603 10,319
2002 3,383 3,859 10,377
2002 2,977 3,386 10,435
2002 2,816 3,248 10,435
2002 2,419 2,789 10,441
2002 2,174 2,507 10,453
2002 2,117 2,474 10,488
2002 1,767 2,033 10,505
2002 2,126 2,477 10,531
2002 2,504 2,911 10,531
2002 2,136 2,486 10,508
2003 2,136 2,464 10,554
2003 2,174 2,502 10,636
2003 2,145 2,474 10,700
2003 2,363 2,732 10,676
2003 2,608 3,037 10,659
2003 2,618 3,029 10,671
2003 2,769 3,203 10,682
2003 2,920 3,424 10,723
2003 2,844 3,374 10,758
2003 3,119 3,704 10,746
2003 3,166 3,775 10,717
2003 3,241 3,834 10,705
2004 3,364 4,014 10,758
2004 3,317 3,900 10,816
2004 3,232 3,792 10,885
2004 3,024 3,571 10,920
2004 3,166 3,769 10,984
2004 3,251 3,862 11,019
2004 2,920 3,496 11,002
2004 2,816 3,322 11,007
2004 2,930 3,437 11,031
October 29, 2004 $3,100 $3,619 $11,089
Footnotes read:
1 Class A performance has been restated to reflect the maximum sales
charge of 5.5%. Class B performance reflects the maximum contingent
deferred sales charge (CDSC) of 5%, declining 1% each year during the
first five years and then converting to Class A shares after the fifth
year. Institutional Class shares have no sales load and are for
institutional shareholders only.
2 Past performance is not an indication of future results. Annualized
total returns represent past performance and reflect changes in share
prices, the reinvestment of all dividends and capital gains, and the
effects of compounding. Investing in a mutual fund involves risks,
including the possible loss of principal. The prospectus contains more
complete information on the investment objectives, risks, charges and
expenses of the investment company which investors should read and
consider carefully before investing. To obtain a prospectus, contact a
registered representative or visit www.thrivent.com. The Fund
primarily invests in technology-related industries; as a consequence,
the Fund may be subject to greater price volatility than a fund
investing in a broad range of industries. At various times, the Fund's
adviser waived its management fee and/or reimbursed Fund expenses. Had
the adviser not done so, the Fund's total returns would have been
lower. The returns shown do not reflect taxes a shareholder would pay
on distributions or redemptions. Please read your prospectus
carefully.
* As you compare performance, please note that the Fund's performance
reflects the maximum 5.5% sales charge, while the Consumer Price Index
and Goldman Sachs Technology Industry Composite Index do not reflect
any such charges. If you were to purchase any of the above individual
stocks or funds represented in these Indexes, any charges you would
pay would reduce your total return as well.
** The Consumer Price Index is an inflationary indicator that measures
the change in the cost of a fixed basket of products and services,
including housing, electricity, food and transportation. It is not
possible to invest directly in the Index.
*** The Goldman Sachs Technology Industry Composite Index is a modified
capitalization-weighted index of selected technology stocks. It is not
possible to invest directly in the Index. The performance of the Index
does not reflect deductions for fees, expenses or taxes.
[GRAPHIC OMITTED: T. ROWE PRICE]
Thrivent Partner Small Cap Value Fund
Subadvised by T. Rowe Price Associates, Inc.
The Thrivent Partner Small Cap Value Fund seeks long-term capital
appreciation by investing primarily in a diversified portfolio of small
company common stock and securities convertible into small company common
stocks.
How did the Fund perform during the six-month period ended Oct. 31, 2004?
During the six months, the Thrivent Partner Small Cap Value Fund performed
well as small-cap, value-oriented stocks continued to turn in strong
results. The Fund posted a return of 7.60% over the period, outpacing the
median return of 6.08% for its peer group, as represented by the Lipper
Small Cap Value Funds Category. On the other hand, the Fund slightly
underperformed its benchmark, the Russell 2000 Value Index, which gained
8.16% over the same timeframe.
What market conditions were present during
the period?
In addition to providing excellent absolute returns, small-cap value
stocks also outperformed the other major equity asset classes, including
both the large-capitalization and the growth-oriented segments of the
market. A number of factors led to this outperformance, particularly among
value-oriented stocks. For example, energy-related stocks showed continued
strength as oil prices advanced to their highest levels in years. Also,
global commodity prices were higher, supporting strong returns in the
materials segment of the market. The industrial sector performed well as
the ongoing economic recovery fostered an improved environment for capital
spending. Finally, low interest rates provided an excellent backdrop for
continued good returns for financial stocks.
What factors affected the Fund's performance?
The Fund slightly underperformed its market benchmark, the Russell 2000
Value Index, as a result of transaction costs and fees not applicable to
an unmanaged index. On the other hand, the Fund's outperformance versus
its peer group resulted from good decisions regarding sector weightings as
well as strong stock selection. In particular, larger-than-index
weightings and advantageous stock selection in the industrial and
financial sectors, two areas providing above-average results, led to
significant excess returns for the Fund. Holdings in the materials segment
of the Fund also were a positive contributor for its returns. Our weakest
area of relative performance was in energy stocks, a sector that provided
returns substantially above the small-cap value market as a whole.
Therefore, even the sub-par returns from the Fund's energy holdings were
significantly better than those of the average small-cap value stock. A
small weighting in the information technology sector along with good stock
selection there was another factor in our favorable performance.
[GRAPHIC OMITTED: TOP INDUSTRIES]
Top Industries
(% of Portfolio)
Financials 19.5%
Industrials 18.6%
Consumer Discretionary 12.3%
Materials 8.7%
Information Technology 8.3%
Energy 6.9%
Health Care 5.1%
Utilities 2.4%
Consumer Staples 0.9%
Telecommunication Services 0.5%
Top 10 Holdings
(% of Portfolio)
Landstar System, Inc. 2.9%
Texas Regional Bancshares, Inc 1.9%
East West Bancorp, Inc. 1.7%
Aaron Rents, Inc. 1.6%
First Republic Bank 1.4%
Matthews International Corporation 1.3%
Silicon Valley Bancshares 1.3%
ProAssurance Corporation 1.3%
Franklin Electric Company, Inc 1.2%
Encore Acquisition Company 1.2%
Footnote reads:
These common stocks represent 15.8% of the total investment portfolio.
Footnotes read:
Quoted Fund performance is for Class A shares and does not reflect a sales
charge.
The returns shown do not reflect taxes a shareholder would pay on
distributions or redemptions.
Quoted Top Industries, Portfolio Composition and Top 10 Holdings are
subject to change.
The list of Top 10 Holdings excludes short term investments and collateral
held for securities loaned.
What is your outlook?
Our outlook calls for the economy to continue to expand through 2004 and
into 2005. The expansion should benefit well-run businesses, particularly
those where sales growth is more sensitive to changing economic conditions.
The Federal Reserve Board has been quite clear that it will maintain
its regimen of monetary policy tightening at a measured pace, and we
still believe the economy can continue to generate 3 to 4% growth.
Although we see no warning signs at this juncture, we think the period
of small-cap stock outperformance is long in the tooth. The valuations
of stocks in this segment of the market are no longer as compelling
versus large-cap stocks.
Portfolio Facts
As of October 31, 2004
A Share B Share Institutional Share
------------------ ------------------ ------------------
Ticker AALVX BBSVX N/A
Transfer Agent ID 032 082 099
Net Assets $61,367,070 $5,357,810 $13,324,738
NAV $14.27 $13.88 $14.67
NAV -- High+ 10/6/2004 -- $14.46 10/6/2004 -- $14.08 10/6/2004 -- $14.85
NAV -- Low+ 8/6/2004 -- $12.73 8/6/2004 -- $12.41 8/6/2004 -- $13.06
Number of Holdings: 118 +For the period ended October 31, 2004
Average Annual Total Returns 2
As of October 31, 2004
From
Inception
Class A1 1-Year 7/17/2001
- -----------------------------------------------------------
without sales charge 19.97% 12.43%
with sales charge 13.36% 10.52%
From
Inception
Class B1 1-Year 7/17/2001
- -----------------------------------------------------------
without sales charge 18.81% 11.51%
with sales charge 14.81% 11.04%
From
Inception
Institutional Class 1-Year 7/17/2001
- -----------------------------------------------------------
Net Asset Value 20.88% 13.36%
[GRAPHIC WORM CHART OMITTED: VALUE OF A $10,000 INVESTMENT]
Value of a $10,000 Investment
Class A Shares*2
Partner Russell
Small Cap 2000 Consumer
Value Value Price
Date Fund Index** Index***
- --------------------------------------------------------
July 17, 2001 9,450 10,000 10,000
2001 9,667 9,975 9,972
2001 9,526 9,940 9,972
2001 8,439 8,843 10,017
2001 8,949 9,074 9,983
2001 9,346 9,726 9,966
2001 10,074 10,321 9,927
2002 10,357 10,458 9,949
2002 10,244 10,522 9,989
2002 10,953 11,310 10,045
2002 11,009 11,708 10,101
2002 10,773 11,321 10,101
2002 10,283 11,070 10,107
2002 8,790 9,425 10,118
2002 8,742 9,384 10,152
2002 8,143 8,713 10,169
2002 8,210 8,844 10,194
2002 8,866 9,550 10,194
2002 8,524 9,142 10,171
2003 8,248 8,885 10,216
2003 8,105 8,586 10,295
2003 8,133 8,678 10,357
2003 8,875 9,502 10,334
2003 9,665 10,472 10,318
2003 9,903 10,650 10,329
2003 10,455 11,181 10,340
2003 10,997 11,605 10,379
2003 10,750 11,472 10,413
2003 11,587 12,408 10,402
2003 12,072 12,884 10,374
2003 12,576 13,350 10,363
2004 12,966 13,812 10,413
2004 13,289 14,079 10,469
2004 13,347 14,274 10,537
2004 12,918 13,536 10,571
2004 13,004 13,699 10,633
2004 13,599 14,395 10,666
2004 13,082 13,733 10,649
2004 13,014 13,868 10,655
2004 13,647 14,416 10,677
October 29, 2004 $13,901 $14,640 $10,734
Footnotes read:
1 Class A performance has been restated to reflect the maximum sales
charge of 5.5%. Class B performance reflects the maximum contingent
deferred sales charge (CDSC) of 5%, declining 1% each year during the
first five years and then converting to Class A shares after the fifth
year. Institutional Class shares have no sales load and are for
institutional shareholders only.
2 Past performance is not an indication of future results. Annualized
total returns represent past performance and reflect changes in share
prices, the reinvestment of all dividends and capital gains, and the
effects of compounding. Investing in a mutual fund involves risks,
including the possible loss of principal. The prospectus contains more
complete information on the investment objectives, risks, charges and
expenses of the investment company which investors should read and
consider carefully before investing. To obtain a prospectus, contact a
registered representative or visit www.thrivent.com. At various times,
the Fund's adviser waived its management fee and/or reimbursed Fund
expenses. Had the adviser not done so, the Fund's total returns would
have been lower. The returns shown do not reflect taxes a shareholder
would pay on distributions or redemptions. Please read your prospectus
carefully.
* As you compare performance, please note that the Fund's performance
reflects the maximum 5.5% sales charge, while the Russell 2000 Value
Index and the Consumer Price Index do not reflect any such charges. If
you were to purchase any of the above individual stocks or funds
represented in these Indexes, any charges you would pay would reduce
your total return as well.
** The Russell 2000 Value Index is an index comprised of companies with a
greater than average value orientation within the Russell 2000 Index.
It is not possible to invest directly in these Indexes. The
performance of these Indexes does not reflect deductions for fees,
expenses or taxes.
*** The Consumer Price Index is an inflationary indicator that measures
the change in the cost of a fixed basket of products and services,
including housing, electricity, food and transportation. It is not
possible to invest directly in the Index.
[PHOTO OMITTED: CHRISTOPHER J. SERRA]
Thrivent Small Cap Stock Fund
Christopher J. Serra, Portfolio Manager
The Thrivent Small Cap Stock Fund seeks long-term capital growth by
investing primarily in small company common stocks and securities
convertible into small company common stocks.
How did the Fund perform during the six-month period ended Oct. 31, 2004?
During the six-month period ended Oct. 31, 2004, the Thrivent Small Cap
Stock Fund produced a 5.88% return, outperforming the 4.69% median return
of its Lipper Inc. Small Cap Core Funds peer group. By comparison, the
Russell 2000 Index returned 4.91% during the period, and the S&P SmallCap
600 Index returned 7.66%.
What market conditions were present during
the period?
The outset of the six-month period ushered in a transition from consumer
spending to capital spending as corporate America, awash in cash, finally
began to spend some of it. Industrial and commodity oriented companies are
direct beneficiaries of this spending improvement, which supported strong
returns throughout the period in certain segments.
Although interest rates did rise during the period, they didn't rise as
rapidly as many expected. Overall, the rate environment remains relatively
benign and, on an absolute basis, is still very low. The lack of an
interest-rate headwind, paired with strong economic growth, were other
important factors that resulted in conditions conducive to earnings growth
- -- especially for small-cap stocks.
The end of the lower quality stock rally was also punctuated during the
period as high quality names produced stronger returns as the period
progressed.
What factors affected the Fund's performance?
The key to the Fund's outperformance relative to its peers during the
period was stock selection. However, the secret to success was less about
picking the right stocks than it was about avoiding the wrong ones. Such
an environment complements our focus on higher quality companies.
In the information technology sector, this approach served us well during
the period as the Fund significantly outperformed its peers. In an area
that saw drops as drastic as 60 percent, the Fund benefited from stocks
that rose more than 100 percent. Our belief that valuations are as
significant in the technology sector as they are in any other sector
helped pace the Fund's overall performance -- particularly versus the
Russell 2000 Index.
The Fund's relative outperformance versus its peers can also be traced to
strong returns generated by stocks in the health care and consumer
sectors. Once again, our ability to avoid the wrong stocks in these
sectors was the impetus for this strong showing.
[GRAPHIC OMITTED: TOP INDUSTRIES]
Top Industries
(% of Portfolio)
Industrials 15.2%
Financials 14.7%
Information Technology 13.3%
Consumer Discretionary 13.1%
Health Care 10.4%
Energy 6.0%
Materials 5.2%
Consumer Staples 2.3%
Utilities 1.7%
Top 10 Holdings
(% of Portfolio)
Global Payments, Inc. 0.8%
Genlyte Croup, Inc. 0.8%
Energen Corporation 0.8%
Plexus Corporation 0.7%
MSC Industrial Direct Company, Inc. 0.7%
Wind River Systems, Inc. 0.7%
International Speedway Corporation 0.7%
Cooper Companies, Inc. 0.6%
HCC Insurance Holdings, Inc. 0.6%
Advanced Medical Optics, Inc. 0.6%
Footnote reads:
These common stocks represent 7.0% of the total investment portfolio.
Footnotes read:
Quoted Fund performance is for Class A shares and does not reflect a sales
charge.
The returns shown do not reflect taxes a shareholder would pay on
distributions or redemptions.
Quoted Top Industries, Portfolio Composition and Top 10 Holdings are
subject to change.
The list of Top 10 Holdings excludes short term investments and collateral
held for securities loaned.
The Fund underperformed the S&P SmallCap 600 Index for two reasons. First,
unlike the Index, the Fund held a moderate cash position for liquity and
transactional purposes, which, in a rising market, created a drag on
portfolio returns. Second, the Fund's holdings in the biotech segment did
not perform as well as those in the Index.
What is your outlook?
Generally, we remain optimistic about the market overall and, in
particular, about the prospects for small-cap stocks. However, in addition
to the now constant specter of geopolitical uncertainty, there are risks
that threaten this outlook. Energy prices, with oil selling at more than
$50 a barrel, lead the list of threats to continued growth. If oil prices
remain high, they will continue to function as a veritable tax on
consumers both at the gas pump and in their heating costs this winter.
We also have concerns about the consumer economy and job growth. Ideally,
the shift to capital spending earlier in the year should reap benefits for
consumers via new jobs and improved wages. That, in turn, should help spur
a rebound in consumer spending.
While that hasn't occurred, we anticipate that it will. Despite a
slowdown, earnings growth remains strong and maintains a very healthy rate
at this point in an economic recovery. If the consumer economy does indeed
improve through job growth, the economic recovery should be
self-sustaining and provide a solid growth environment for all classes of
equities and, in particular, small-cap stocks.
Portfolio Facts
As of October 31, 2004
A Share B Share Institutional Share
------------------ ------------------ ------------------
Ticker AASMX BBSMX N/A
Transfer Agent ID 024 074 094
Net Assets $397,346,936 $25,117,585 $11,590,252
NAV $16.39 $15.11 $17.21
NAV -- High+ 6/29/2004 -- $17.06 6/29/2004 -- $15.86 6/29/2004 -- $17.83
NAV -- Low+ 8/12/2004 -- $14.54 8/12/2004 -- $13.44 8/12/2004 -- $15.25
Number of Holdings: 230 +For the period ended October 31, 2004
Average Annual Total Returns 2
As of October 31, 2004
From
Inception
Class A1 1-Year 5-Year 7/1/1996
- -----------------------------------------------------------------------
without sales charge 16.32% 12.97% 10.36%
with sales charge 9.91% 11.70% 9.61%
From
Inception
Class B1 1-Year 5-Year 1/8/1997
- -----------------------------------------------------------------------
without sales charge 15.04% 11.80% 8.50%
with sales charge 11.04% 11.80% 8.50%
From
Inception
Institutional Class 1-Year 5-Year 12/29/1997
- -----------------------------------------------------------------------
Net Asset Value 16.96% 13.70% 9.25%
[GRAPHIC WORM CHART OMITTED: VALUE OF A $10,000 INVESTMENT]
Value of a $10,000 Investment
Class A Shares*2
Small Cap Russell Consumer
Stock 2000 Price
Date Fund Index** Index***
- ----------------------------------------------------------
July 1, 1996 9,450 10,000 10,000
1996 9,025 9,100 10,019
1996 10,159 9,628 10,038
1996 10,622 10,005 10,070
1996 10,282 9,851 10,102
1996 10,518 10,257 10,121
1996 10,840 10,525 10,121
1997 10,878 10,736 10,153
1997 10,404 10,476 10,185
1997 9,736 9,981 10,211
1997 9,523 10,009 10,223
1997 10,975 11,122 10,217
1997 11,730 11,600 10,230
1997 12,262 12,139 10,243
1997 12,640 12,417 10,262
1997 13,578 13,326 10,287
1997 13,027 12,741 10,313
1997 12,901 12,658 10,306
1997 12,666 12,880 10,294
1998 12,453 12,676 10,313
1998 13,491 13,613 10,332
1998 13,929 14,174 10,351
1998 14,092 14,252 10,370
1998 13,013 13,484 10,389
1998 13,033 13,512 10,402
1998 12,290 12,417 10,415
1998 9,500 10,006 10,428
1998 10,253 10,789 10,440
1998 10,783 11,230 10,466
1998 11,597 11,818 10,466
1998 12,351 12,550 10,459
1999 12,425 12,716 10,485
1999 11,177 11,686 10,498
1999 10,967 11,869 10,530
1999 11,418 12,932 10,606
1999 11,649 13,121 10,606
1999 12,121 13,714 10,606
1999 12,299 13,338 10,638
1999 11,733 12,845 10,664
1999 11,733 12,847 10,715
1999 11,670 12,900 10,734
1999 12,550 13,670 10,740
1999 13,976 15,218 10,740
2000 13,379 14,973 10,766
2000 15,444 17,445 10,830
2000 15,633 16,295 10,919
2000 15,308 15,314 10,925
2000 15,203 14,421 10,932
2000 16,283 15,679 10,996
2000 15,360 15,174 11,015
2000 17,038 16,332 11,027
2000 17,028 15,852 11,085
2000 16,640 15,145 11,104
2000 14,805 13,589 11,110
2000 16,472 14,757 11,104
2001 17,458 15,525 11,174
2001 16,288 14,507 11,219
2001 15,253 13,797 11,244
2001 16,497 14,876 11,289
2001 17,002 15,242 11,340
2001 17,517 15,768 11,359
2001 17,244 14,915 11,327
2001 16,810 14,433 11,327
2001 14,630 12,491 11,378
2001 15,745 13,221 11,340
2001 16,810 14,245 11,321
2001 17,963 15,124 11,276
2002 17,913 14,966 11,302
2002 17,232 14,556 11,347
2002 18,396 15,727 11,410
2002 18,359 15,870 11,474
2002 17,777 15,165 11,474
2002 16,637 14,413 11,481
2002 14,407 12,237 11,493
2002 14,444 12,206 11,532
2002 13,453 11,330 11,551
2002 13,837 11,693 11,580
2002 14,841 12,736 11,580
2002 14,060 12,029 11,554
2003 13,689 11,697 11,605
2003 13,342 11,344 11,695
2003 13,255 11,490 11,765
2003 14,308 12,578 11,739
2003 15,559 13,927 11,720
2003 15,906 14,181 11,733
2003 16,724 15,067 11,746
2003 17,752 15,758 11,790
2003 17,083 15,468 11,829
2003 18,483 16,766 11,816
2003 19,201 17,361 11,784
2003 19,709 17,715 11,771
2004 20,378 18,486 11,829
2004 20,849 18,651 11,893
2004 20,923 18,825 11,969
2004 20,304 17,865 12,008
2004 20,452 18,153 12,078
2004 21,275 18,918 12,116
2004 20,226 17,645 12,097
2004 20,016 17,553 12,103
2004 20,948 18,377 12,129
October 29, 2004 $21,498 $18,743 $12,193
Footnotes read:
1 Class A performance has been restated to reflect the maximum sales
charge of 5.5%. Class B performance reflects the maximum contingent
deferred sales charge (CDSC) of 5%, declining 1% each year during the
first five years and then converting to Class A shares after the fifth
year. Institutional Class shares have no sales load and are for
institutional shareholders only.
2 Past performance is not an indication of future results. Annualized
total returns represent past performance and reflect changes in share
prices, the reinvestment of all dividends and capital gains, and the
effects of compounding. Investing in a mutual fund involves risks,
including the possible loss of principal. The prospectus contains more
complete information on the investment objectives, risks, charges and
expenses of the investment company which investors should read and
consider carefully before investing. To obtain a prospectus, contact a
registered representative or visit www.thrivent.com. At various times,
the Fund's adviser waived its management fee and/or reimbursed Fund
expenses. Had the adviser not done so, the Fund's total returns would
have been lower. The returns shown do not reflect taxes a shareholder
would pay on distributions or redemptions. Please read your prospectus
carefully.
* As you compare performance, please note that the Fund's performance
reflects the maximum 5.5% sales charge, while the S&P SmallCap 600
Index, the Russell 2000 Index and the Consumer Price Index do not
reflect any such charges. If you were to purchase any of the above
individual stocks or funds represented in these Indexes, any charges
you would pay would reduce your total return as well.
** The Russell 2000 Index is an index comprised of the 2,000 smaller
companies in the Russell 3000 index. It is not possible to invest
directly in these Indexes. The performance of these Indexes does not
reflect deductions for fees, expenses or taxes.
*** The Consumer Price Index is an inflationary indicator that measures
the change in the cost of a fixed basket of products and services,
including housing, electricity, food and transportation. It is not
possible to invest directly in the Index.
[PHOTO OMITTED: KEVIN R. BRIMMER]
Thrivent Small Cap Index Fund
Kevin R. Brimmer, Portfolio Manager
The Thrivent Small Cap Index Fund seeks capital growth that tracks the
performance of the S&P Small Cap 600 Index by investing primarily in
common stocks of the Index.
How did the Fund perform during the six-month period ended Oct. 31, 2004?
For the six-month period ended Oct. 31, 2004, we are pleased to report
that we achieved the Fund's objective of providing results in line with
the S&P SmallCap 600 Index, after fees and expenses. The Thrivent Small
Cap Index Fund returned 7.11% for the period while the S&P SmallCap 600
gained 7.66%. By comparison, the Fund's peer group, as represented by the
Lipper Small Cap Core Funds Category, posted a median return of 4.69% over
the same time frame.
What market conditions were present during
the period?
The stock market produced modest gains over the six months, an impressive
feat considering the price of oil rose to more than $50 per barrel. As has
typically been the case at the beginning of an economic recovery,
smaller-sized companies produced stronger returns than larger ones.
Investors appeared to be in a holding pattern during the period, as they
waited to find out the results from the November presidential election.
Therefore, volatility -- which has been very high in recent years -- was
historically low throughout the six months.
Growth- and value-oriented stocks in the S&P Small Cap 600 Index performed
in line with each other during the six-month period. On a sector basis,
the best performers included financials, industrials, materials and
energy. Financial stocks continued to profit from the relatively low level
of interest rates. Companies in the industrials, materials and energy
sectors benefited from strong demand and limited supply as the economic
environment strengthened.
Only one sector, consumer staples, turned in negative absolute returns for
the period. The underperformance of consumer staple stocks was not
surprising given that this sector typically does poorly in an expanding
economy.
What factors affected the Fund's performance?
Because we use an indexing approach to manage the Fund, we have no active
stock selection process. Our goal is to maintain a fully invested
portfolio that replicates the composition and performance of the S&P
SmallCap 600 Index, while keeping transaction costs to a minimum. The S&P
SmallCap 600 Index is the most widely used gauge of small-sized companies
and covers all major market sectors. As is typically the case with index
funds, variances in performance relative to the Index are a result of
expenses, transaction costs and minor differences in portfolio composition.
[GRAPHIC OMITTED: TOP INDUSTRIES]
Top Industries
(% of Portfolio)
Industrials 15.5%
Consumer Discretionary 13.6%
Financials 13.0%
Information Technology 12.9%
Health Care 9.9%
Materials 5.0%
Energy 4.7%
Utilities 3.5%
Consumer Staples 2.7%
Telecommunication Services 0.3%
Top 10 Holdings
(% of Portfolio)
NVR, Inc. 0.6%
New Century Financial Corporation 0.4%
Polaris Industries, Inc. 0.4%
M.D.C. Holdings, Inc. 0.4%
Pharmaceutical Product Development Inc. 0.4%
Yellow Roadway Corporation 0.4%
Medicis Pharmaceutical Corporation 0.4%
Roper Industries, Inc. 0.4%
Cooper Companies, Inc. 0.4%
Florida Rock Industries, Inc. 0.4%
Footnote reads:
These common stocks represent 4.2% of the total investment portfolio.
Footnotes read:
Quoted Fund performance is for Class A shares and does not reflect a sales
charge.
The returns shown do not reflect taxes a shareholder would pay on
distributions or redemptions.
Quoted Top Industries, Portfolio Composition and Top 10 Holdings are
subject to change.
The list of Top 10 Holdings excludes short term investments and collateral
held for securities loaned.
What is your outlook?
We are cautiously optimistic about our outlook for the stock market in the
near term. On the positive side, the economy is growing, the job market is
improving and inflation appears to be contained. Also, despite its recent
campaign to raise interest rates, the Federal Reserve Board has made the
changes at a measured pace. On the negative side, ever-present
geopolitical concerns, even higher oil prices and a dramatic slowdown in
consumer spending present the strongest potential headwinds for continued
economic growth. Now that the November elections are behind us, we believe
market volatility will increase again over the next few months back in
line with historical averages. However, the Thrivent Small Cap Index Fund
should experience lower volatility due to its broad diversification and
exposure to all the market sectors.
Portfolio Facts
As of October 31, 2004
A Share
------------------
Ticker AALSX
Transfer Agent ID 029
Net Assets $35,381,233
NAV $12.63
NAV -- High+ 6/29/2004 -- $13.03
NAV -- Low+ 8/13/2004 -- $11.22
Number of Holdings: 603 +For the period ended October 31, 2004
Average Annual Total Returns 2
As of October 31, 2004
From
Inception
Class A1 1-Year 7/1/2000
- -----------------------------------------------------------
without sales charge 15.57% 7.14%
with sales charge 9.25% 5.76%
[GRAPHIC WORM CHART OMITTED: VALUE OF A $10,000 INVESTMENT]
Value of a $10,000 Investment
Class A Shares*2
Small Cap S&P Consumer
Index SmallCap Price
Date Fund 600 Index** Index***
- ----------------------------------------------------------
July 1, 2000 9,450 10,000 10,000
2000 9,063 9,637 10,017
2000 9,856 10,491 10,029
2000 9,573 10,206 10,081
2000 9,620 10,269 10,099
2000 8,609 9,200 10,104
2000 9,633 10,334 10,099
2001 9,996 10,777 10,163
2001 9,365 10,119 10,203
2001 8,926 9,655 10,226
2001 9,585 10,391 10,267
2001 9,748 10,590 10,313
2001 10,084 10,978 10,331
2001 9,901 10,794 10,302
2001 9,671 10,548 10,302
2001 8,373 9,122 10,348
2001 8,796 9,609 10,313
2001 9,411 10,312 10,296
2001 10,036 11,009 10,255
2002 10,103 11,105 10,279
2002 9,930 10,914 10,319
2002 10,690 11,777 10,377
2002 10,978 12,109 10,435
2002 10,507 11,608 10,435
2002 9,950 11,008 10,441
2002 8,558 9,453 10,453
2002 8,645 9,543 10,488
2002 8,113 8,959 10,505
2002 8,365 9,245 10,531
2002 8,780 9,726 10,531
2002 8,481 9,399 10,508
2003 8,181 9,076 10,554
2003 7,910 8,785 10,636
2003 7,968 8,854 10,700
2003 8,597 9,573 10,676
2003 9,283 10,344 10,659
2003 9,515 10,613 10,671
2003 9,999 11,165 10,682
2003 10,473 11,708 10,723
2003 10,163 11,364 10,758
2003 11,024 12,349 10,746
2003 11,430 12,816 10,717
2003 11,633 13,043 10,705
2004 11,963 13,418 10,758
2004 12,186 13,676 10,816
2004 12,322 13,856 10,885
2004 11,895 13,396 10,920
2004 12,070 13,601 10,984
2004 12,720 14,354 11,019
2004 12,014 13,568 11,002
2004 11,903 13,449 11,007
2004 12,519 14,158 11,031
October 29, 2004 $12,741 $14,422 $11,089
Footnotes read:
1 Class A performance has been restated to reflect the maximum sales
charge of 5.5%. Class B performance reflects the maximum contingent
deferred sales charge (CDSC) of 5%, declining 1% each year during the
first five years and then converting to Class A shares after the fifth
year.
2 Past performance is not an indication of future results. Annualized
total returns represent past performance and reflect changes in share
prices, the reinvestment of all dividends and capital gains, and the
effects of compounding. Investing in a mutual fund involves risks,
including the possible loss of principal. The prospectus contains more
complete information on the investment objectives, risks, charges and
expenses of the investment company which investors should read and
consider carefully before investing. To obtain a prospectus, contact a
registered representative or visit www.thrivent.com. At various times,
the Fund's adviser waived its management fee and/or reimbursed Fund
expenses. Had the adviser not done so, the Fund's total returns would
have been lower. The returns shown do not reflect taxes a shareholder
would pay on distributions or redemptions. Please read your prospectus
carefully.
* As you compare performance, please note that the Fund's performance
reflects the maximum 5.5% sales charge, while the S&P SmallCap 600
Index and the Consumer Price Index do not reflect any such charges. If
you were to purchase any of the above individual stocks or funds
represented in these Indexes, any charges you would pay would reduce
your total return as well.
** The S&P SmallCap 600 Index is an index that represents the average
performance of a group of 600 small capitalization stocks. "S&P
SmallCap 600 Index" is a trademark of The McGraw-Hill Companies, Inc.
and has been licensed for use by Thrivent Financial for Lutherans. The
product is not sponsored, endorsed or promoted by Standard & Poor's
and Standard & Poor's makes no representation regarding the
advisability of investing in the product. Index funds are subject to
the same market risks associated with the stocks in their respective
indexes. It is not possible to invest directly in the Index. The
performance of the Index does not reflect deductions for fees,
expenses or taxes.
*** The Consumer Price Index is an inflationary indicator that measures
the change in the cost of a fixed basket of products and services,
including housing, electricity, food and transportation. It is not
possible to invest directly in the Index.
[PHOTOS OMITTED: BRIAN L. THORKELSON AND ANDREA J. THOMAS]
Thrivent Mid Cap Growth Fund
Brian L. Thorkelson (left) and Andrea J. Thomas (right), Portfolio
Co-Managers
The Thrivent Mid Cap Growth Fund seeks long-term growth of capital by
investing primarily in common stocks of medium-sized companies.
How did the Fund perform during the 12-month period ended Oct. 31, 2004?
During the 12-month period ended Oct. 31, 2004, the Thrivent Mid Cap
Growth Portfolio produced a 3.24% return while its Lipper Inc. Mid Cap
Growth Funds peer group produced a 5.45% median return. Its market
benchmark, the Russell Midcap Growth Index, returned 8.77% during the
period.
What market conditions were present during
the period?
During the period, improved economic performance was intermittently met
with diminished expectations stemming from rising crude oil prices, the
Iraq conflict and U.S. presidential election rhetoric.
Early in the period, when economic optimism was plentiful, small-cap
stocks, which we classify as companies with market capitalizations of $500
million to $2 billion, garnered a 6.5% return. Mid cap stocks, on the
other hand, those which we classify as $2 billion to $10 billion
companies, realized a 3.5% gain. In addition, traditional growth sectors,
particularly technology and certain health care segments, provided
disappointing returns in an environment that favored more cyclical and
commodity-based companies.
What factors affected the Fund's performance?
We began 2004 with a belief that the small cap rally -- which began and
persevered throughout most of 2003 -- would subside in 2004 and allow mid-
and large-cap stocks to reassert their value. While that indeed occurred,
it was not before small cap stocks extended their explosive rally into the
early months of 2004. The Fund maintains minimal exposure to
lower-quality, smaller capitalization stocks. Therefore, the bulk of the
Portfolio's underperformance can be traced to this first quarter
discrepancy between small- and mid-cap stocks. Despite efforts late in
2003 to minimize the Fund's underexposure to lower quality segments of the
market, we could not insulate the Fund from a remarkable early year rally
by these segments.
Throughout the period, the Fund benefited from its energy sector holdings,
which rose strongly as oil prices surged to unexpected levels. The Fund
also earned positive relative gains from the materials sector, including
gold and copper.
[GRAPHIC OMITTED: TOP INDUSTRIES]
Top Industries
(% of Portfolio)
Information Technology 22.9%
Consumer Discretionary 17.8%
Health Care 17.7%
Industrials 9.3%
Financials 7.4%
Energy 5.4%
Materials 2.5%
Telecommunication Services 1.9%
Consumer Staples 1.5%
Utilities 0.3%
Top 10 Holdings
(% of Portfolio)
Juniper Networks, Inc. 0.9%
Coach, Inc. 0.8%
Fisher Scientific International, Inc. 0.8%
Microchip Technology, Inc. 0.7%
C.H. Robinson Worldwide, Inc. 0.7%
Nextel Partners, Inc. 0.7%
Royal Caribbean Cruises, Ltd. 0.7%
Comverse Technology, Inc. 0.6%
Corporate Executive Board Company 0.6%
Marvell Technology Group, Ltd. 0.6%
Footnote reads:
These common stocks represent 7.1% of the total investment portfolio.
Footnotes read:
Quoted Fund performance is for Class A shares and does not reflect a sales
charge.
The returns shown do not reflect taxes a shareholder would pay on
distributions or redemptions.
Quoted Top Industries, Portfolio Composition and Top 10 Holdings are
subject to change.
The list of Top 10 Holdings excludes short term investments and collateral
held for securities loaned.
What is your outlook?
The market continues to bide its time, remaining an interested and
cautious observer of the events in Iraq and possible terrorist attacks. In
addition, there are fears that high oil prices will negatively impact
consumer spending and lead to economic stagnation.
We are cautiously optimistic as we look ahead. The swift resolution to the
U.S. presidential election has eliminated one element of uncertainty for
the market. We also believe that oil prices will soon reach their peak and
that rates will remain low enough to provide sufficient consumer-spending
incentive to keep the economy moving in the right direction.
In this type of environment we feel growth stocks provide an attractive
opportunity relative to those companies that require high degrees of
cyclical leverage for continued strong fundamental performance.
While the current conditions don't call for any strong sector bets, we are
looking for opportunities to increase the Fund's health care exposure. At
the same time, we have pared back the Fund's energy and financial
holdings.
Portfolio Facts
As of October 31, 2004
A Share B Share Institutional Share
------------------ ------------------ ------------------
Ticker LBMGX LUGBX LBMIX
Transfer Agent ID 58 358 458
Net Assets $250,728,376 $44,997,626 $10,115,192
NAV $12.75 $12.05 $13.39
NAV -- High+ 4/5/2004 -- $13.41 4/5/2004 -- $12.74 4/5/2004 -- $14.02
NAV -- Low+ 8/13/2004 -- $11.28 8/13/2004 -- $10.68 8/13/2004 -- $11.82
Number of Holdings: 343 +For the year ended October 31, 2004
Average Annual Total Returns 2
As of October 31, 2004
From
Inception
Class A1 1-Year 5-Year 5/30/1997
- -----------------------------------------------------------------------
without sales charge 3.24% 2.04% 6.95%
with sales charge (2.45%) 0.90% 6.13%
From
Inception
Class B1 1-Year 5-Year 10/31/1997
- -----------------------------------------------------------------------
without sales charge 2.29% 1.25% 5.13%
with sales charge (1.71%) 1.25% 5.13%
From
Inception
Institutional Class 1-Year 5-Year 10/31/1997
- -----------------------------------------------------------------------
Net Asset Value 4.04% 2.93% 6.43%
[GRAPHIC WORM CHART OMITTED: VALUE OF A $10,000 INVESTMENT]
Value of a $10,000 Investment
Class A Shares*2
Russell
Mid Cap MidCap Consumer
Growth Growth Price
Date Fund Index** Index***
- --------------------------------------------------------
May 31, 1997 9,450 10,000 10,000
1997 9,828 10,277 10,012
1997 10,461 11,260 10,025
1997 10,359 11,151 10,044
1997 10,911 11,715 10,069
1997 10,553 11,128 10,094
1997 10,400 11,245 10,087
1997 10,638 11,393 10,075
1998 10,486 11,188 10,094
1998 11,432 12,240 10,112
1998 11,900 12,753 10,131
1998 11,987 12,926 10,150
1998 11,345 12,394 10,169
1998 11,682 12,745 10,181
1998 11,127 12,199 10,194
1998 8,843 9,871 10,206
1998 9,431 10,617 10,219
1998 9,996 11,399 10,244
1998 10,725 12,168 10,244
1998 11,867 13,428 10,237
1999 12,313 13,831 10,262
1999 11,595 13,154 10,275
1999 12,313 13,887 10,306
1999 12,748 14,520 10,381
1999 12,596 14,333 10,381
1999 13,553 15,334 10,381
1999 13,390 14,845 10,412
1999 13,140 14,691 10,437
1999 13,107 14,566 10,487
1999 14,064 15,692 10,506
1999 15,087 17,317 10,512
1999 17,590 20,316 10,512
2000 17,320 20,312 10,537
2000 21,571 24,582 10,600
2000 21,043 24,607 10,687
2000 19,603 22,219 10,693
2000 18,726 20,599 10,700
2000 19,929 22,785 10,762
2000 19,457 21,342 10,781
2000 21,841 24,561 10,793
2000 21,549 23,360 10,849
2000 20,570 21,761 10,868
2000 18,433 17,032 10,874
2000 19,702 17,929 10,868
2001 19,787 18,953 10,937
2001 16,821 15,675 10,981
2001 14,953 13,431 11,006
2001 16,931 15,670 11,049
2001 16,894 15,597 11,099
2001 16,748 15,605 11,118
2001 16,076 14,553 11,087
2001 15,027 13,498 11,087
2001 13,000 11,267 11,137
2001 13,952 12,451 11,099
2001 15,088 13,792 11,081
2001 15,637 14,316 11,037
2002 15,136 13,851 11,062
2002 14,502 13,066 11,106
2002 15,307 14,063 11,168
2002 14,807 13,319 11,221
2002 14,416 12,921 11,221
2002 13,122 11,495 11,228
2002 11,865 10,379 11,240
2002 11,767 10,342 11,278
2002 10,962 9,521 11,296
2002 11,609 10,258 11,325
2002 12,353 11,061 11,325
2002 11,548 10,393 11,300
2003 11,340 10,291 11,350
2003 11,206 10,201 11,437
2003 11,328 10,391 11,506
2003 12,134 11,099 11,481
2003 13,183 12,167 11,462
2003 13,379 12,340 11,475
2003 13,769 12,781 11,487
2003 14,477 13,485 11,531
2003 13,952 13,223 11,569
2003 15,075 14,289 11,556
2003 15,344 14,672 11,525
2003 15,442 14,832 11,512
2004 15,771 15,321 11,569
2004 15,893 15,578 11,631
2004 15,857 15,549 11,706
2004 15,234 15,110 11,744
2004 15,527 15,466 11,812
2004 15,869 15,712 11,850
2004 14,782 14,672 11,831
2004 14,477 14,491 11,837
2004 15,063 15,032 11,862
October 29, 2004 $15,564 $15,542 $11,925
Footnotes read:
1 Class A performance has been restated to reflect the maximum sales
charge of 5.5%. Class B performance reflects the maximum contingent
deferred sales charge (CDSC) of 5%, declining 1% each year during the
first five years and then converting to Class A shares after the fifth
year. Institutional Class shares have no sales load and are for
institutional shareholders only.
2 Past performance is not an indication of future results. Annualized
total returns represent past performance and reflect changes in share
prices, the reinvestment of all dividends and capital gains, and the
effects of compounding. Investing in a mutual fund involves risks,
including the possible loss of principal. The prospectus contains more
complete information on the investment objectives, risks, charges and
expenses of the investment company which investors should read and
consider carefully before investing. To obtain a prospectus, contact a
registered representative or visit www.thrivent.com. At various times,
the Fund's adviser waived its management fee and/or reimbursed Fund
expenses. Had the adviser not done so, the Fund's total returns would
have been lower. The returns shown do not reflect taxes a shareholder
would pay on distributions or redemptions. Please read your prospectus
carefully.
* As you compare performance, please note that the Fund's performance
reflects the maximum 5.5% sales charge, while the the Russell Midcap
Growth Index and the Consumer Price Index do not reflect any such
charges. If you were to purchase any of the above individual stocks or
funds represented in these Indexes, any charges you would pay would
reduce your total return as well.
** The Russell Mid Cap Growth Index is an index comprised of companies
with higher than average price-to-book ratios and higher forecasted
growth values, within the Russell Midcap Index. It is not possible to
invest directly in the Index.
*** The Consumer Price Index is an inflationary indicator that measures
the change in the cost of a fixed basket of products and services,
including housing, electricity, food and transportation. It is not
possible to invest directly in these Indexes. The performance of these
Indexes does not reflect deductions for fees, expenses, or taxes.
[PHOTOS OMITTED: BRIAN J. FLANAGAN AND JOHN E. HINTZ]
Thrivent Mid Cap Stock Fund
Brian J. Flanagan (left) and John E. Hintz (right), Portfolio Co-Managers
The Thrivent Mid Cap Stock Fund seeks long-term capital growth by
investing primarily in common stocks and securities convertible into
common stocks of mid-sized companies.
How did the Fund perform during the six-month period ended Oct. 31, 2004?
The six months ended Oct. 31, 2004 marked another period of strong results
for mid-cap stocks and the Thrivent Mid Cap Stock Fund. The Fund gained
5.59% for the period, outperforming its peer group, as represented by the
Lipper Mid Cap Core Funds Category, which posted a median return of 4.29%.
It also outpaced its benchmark, the S&P MidCap 400 Index, which returned
3.83% over the same time frame.
What market conditions were present during
the period?
During the six-month period, small- and mid-sized companies in general
continued to outpace larger-sized companies by a narrow margin. However,
in contrast to last year when a rising tide lifted all boats, this period
of outperformance was much more selective. The best-performing areas of
the market included the energy, materials, industrials and utilities
sectors. As the U.S. economy strengthened, many companies in these sectors
reaped rewards brought on by strong demand and limited supply. Only the
consumer staples and health care sectors turned in negative returns on an
absolute basis for the period.
What factors affected the Fund's performance?
The Fund gained the most on a relative basis from stock selection in
technology, despite the fact that this sector did not perform that well
overall. Specifically, our performance benefited from owning Apple
Computer, one of our larger positions, and internet, software and services
companies such as Verisign, Wind River and McAfee. The Fund was equal
weight in industrials versus the index but again made gains with favorable
security selection. In particular, we owned a number of strong-performing
railroad and trucking stocks, including Canadian National Railway,
Burlington Northern Santa Fe and Yellow Roadway. They benefited as the
improving economy and rising oil and natural gas prices translated into a
need for transporting more coal and other items to businesses and
retailers.
Finally, we were rewarded for not owning any airline stocks, which
struggled due to labor issues, high fuel costs and bankruptcies. Instead
we had a higher-than-index weighting in aerospace and defense stocks such
as Precision Cast Parts and Goodrich that deliver replacement parts to
airlines for repairs.
The only area that meaningfully detracted from performance was the banking
industry in the financial sector. Although our holdings had positive
absolute performance, a number of takeovers took place during the period
which we did not own. Typically in the case of a takeover, the stock price
of the company being purchased goes up while the stock price of the
company making the acquisition falls.
[GRAPHIC OMITTED: TOP INDUSTRIES]
Top Industries
(% of Portfolio)
Financials 15.2%
Information Technology 14.2%
Consumer Discretionary 12.1%
Industrials 10.2%
Energy 8.6%
Health Care 8.3%
Materials 5.8%
Utilities 4.1%
Consumer Staples 2.5%
Telecommunication Services 0.7%
Top 10 Holdings
(% of Portfolio)
Nabors Industries, Ltd. 1.3%
HCC Insurance Holdings, Inc. 1.1%
Patterson-UTI Energy, Inc. 1.0%
Wind River Systems, Inc. 1.0%
PartnerRe, Ltd. 0.9%
Ultra Petroleum Corporation 0.9%
Hershey Foods Corporation 0.9%
Apple Computer, Inc. 0.9%
North Fork Bancorporation, Inc. 0.8%
Tyson Foods, Inc. 0.8%
Footnote reads:
These common stocks represent 9.6% of the total investment portfolio.
Footnotes read:
Quoted Fund performance is for Class A shares and does not reflect a sales
charge.
The returns shown do not reflect taxes a shareholder would pay on
distributions or redemptions.
Quoted Top Industries, Portfolio Composition and Top 10 Holdings are
subject to change.
The list of Top 10 Holdings excludes short term investments and collateral
held for securities loaned.
What is your outlook?
As we move ahead, we have the Fund positioned with the largest
weightings in the energy, materials and technology sectors. In the
case of energy, we firmly believe that prices will stay high for some
time because of a lack of capital investment for new wells, tankers,
pipelines and refineries to keep pace with rising demand. The existing
infrastructure is currently operating at close to 100% utilization
rates with no slowing demand in sight. A similar story exists in the
materials sector where adding enough supply and capacity to stay on
top of increasing global demand, particularly from China and India, is
proving to be a challenge.
The most underweighted sectors for the Fund compared to the benchmark are
consumer discretionary and financials. Consumer spending faces a number of
headwinds as the home refinancing boom has likely run its course, the
benefits from last year's tax cuts have been realized and the costs for
health care and home heating continue to skyrocket. In financials, stock
valuations have increased significantly and we are not finding as many
attractive opportunities.
As always, we will continue to look for attractive growth and value stocks
for the Fund on a stock-by-stock basis. Because our outlook calls for more
spending by industry and less by the consumer, we will look for
company-specific opportunities that exploit this theme.
Portfolio Facts
As of October 31, 2004
A Share B Share Institutional Share
------------------ ------------------ ------------------
Ticker AASCX BBSCX N/A
Transfer Agent ID 021 083 051
Net Assets $808,837,101 $26,995,422 $29,849,945
NAV $14.74 $13.42 $15.30
NAV -- High+ 10/6/2004 -- $14.83 10/6/2004 -- $13.51 10/6/2004 -- $15.39
NAV -- Low+ 8/12/2004 -- $13.26 8/12/2004 -- $12.10 8/12/2004 -- $13.75
Number of Holdings: 178 +For the period ended October 31, 2004
Average Annual Total Returns 2
As of October 31, 2004
Class A1 1-Year 5-Year 10-Year
- -----------------------------------------------------------------------
without sales charge 12.26% 5.69% 10.18%
with sales charge 6.12% 4.50% 9.56%
From
Inception
Class B1 1-Year 5-Year 1/8/1997
- -----------------------------------------------------------------------
without sales charge 11.00% 4.47% 6.02%
with sales charge 7.00% 4.47% 6.02%
From
Inception
Institutional Class 1-Year 5-Year 12/29/1997
- -----------------------------------------------------------------------
Net Asset Value 0.74% 2.71% 3.32%
[GRAPHIC WORM CHART OMITTED: VALUE OF A $10,000 INVESTMENT]
Value of a $10,000 Investment
Class A Shares*2
S&P
Mid Cap MidCap Consumer
Stock 400 Price
Date Fund Index** Index***
- ----------------------------------------------------------
October 31, 1994 9,450 10,000 10,000
1994 9,112 10,333 10,277
1994 9,441 10,874 10,319
1995 9,057 10,671 10,346
1995 9,523 10,788 10,353
1995 9,998 10,301 10,367
1995 9,970 10,396 10,367
1995 10,098 10,504 10,409
1995 11,066 11,055 10,450
1995 12,189 11,247 10,485
1995 12,116 11,473 10,519
1995 12,865 11,749 10,540
1995 13,075 12,228 10,561
1995 13,613 12,866 10,561
1995 13,641 13,104 10,589
1996 13,604 13,421 10,609
1996 14,253 13,076 10,644
1996 14,362 13,647 10,637
1996 15,613 13,613 10,630
1996 16,197 13,810 10,693
1996 15,175 14,280 10,727
1996 13,376 14,451 10,783
1996 14,298 14,892 10,824
1996 15,056 15,094 10,845
1996 14,280 14,867 10,852
1996 15,029 13,861 10,873
1996 14,834 14,661 10,893
1997 15,369 15,300 10,928
1997 14,845 15,344 10,963
1997 13,752 16,209 10,983
1997 13,884 16,227 10,983
1997 15,369 16,836 11,018
1997 16,025 16,698 11,053
1997 17,062 15,986 11,080
1997 17,095 16,400 11,094
1997 18,351 17,834 11,087
1997 17,466 18,335 11,101
1997 17,379 20,151 11,115
1997 17,509 20,126 11,136
1998 17,098 21,283 11,163
1998 18,343 20,357 11,191
1998 19,104 20,659 11,184
1998 19,249 21,460 11,170
1998 18,125 21,052 11,191
1998 18,476 22,796 11,212
1998 17,328 23,824 11,233
1998 13,497 24,259 11,253
1998 14,549 23,167 11,274
1998 15,479 23,314 11,288
1998 16,337 22,410 11,302
1998 17,873 18,238 11,316
1999 17,822 19,941 11,330
1999 16,810 21,723 11,357
1999 17,258 22,807 11,357
1999 17,783 25,563 11,350
1999 18,449 24,568 11,378
1999 19,473 23,281 11,392
1999 19,243 23,932 11,427
1999 18,590 25,819 11,510
1999 18,180 25,931 11,510
1999 18,897 27,320 11,510
1999 19,678 26,739 11,544
1999 21,148 25,823 11,572
2000 20,228 25,025 11,627
2000 22,393 26,301 11,648
2000 23,286 27,681 11,655
2000 22,636 29,326 11,655
2000 22,325 28,501 11,683
2000 23,732 30,495 11,752
2000 23,570 33,047 11,849
2000 26,438 31,893 11,856
2000 26,641 31,495 11,863
2000 25,491 31,958 11,932
2000 22,650 32,463 11,953
2000 25,383 36,087 11,967
2001 25,152 35,840 12,029
2001 23,570 34,625 12,050
2001 21,576 32,011 12,057
2001 24,279 34,460 12,050
2001 24,509 35,227 12,126
2001 24,206 33,217 12,175
2001 22,836 30,747 12,202
2001 21,516 34,139 12,251
2001 18,844 34,935 12,306
2001 19,588 34,793 12,327
2001 20,383 34,275 12,292
2001 21,212 33,154 12,292
2002 20,840 29,030 12,348
2002 20,755 30,314 12,306
2002 22,142 32,569 12,285
2002 22,007 34,251 12,237
2002 21,804 34,074 12,265
2002 20,129 34,116 12,313
2002 18,303 36,554 12,382
2002 18,252 36,383 12,452
2002 16,932 35,770 12,452
2002 17,694 33,152 12,458
2002 18,506 29,940 12,472
2002 17,829 30,091 12,514
2003 17,440 27,668 12,535
2003 17,169 28,866 12,566
2003 17,203 29,109 12,641
2003 18,167 31,221 12,614
2003 19,622 33,806 12,593
2003 19,774 34,237 12,607
2003 20,265 35,452 12,621
2003 20,941 37,058 12,669
2003 20,552 36,491 12,710
2003 22,210 39,250 12,696
2003 22,954 40,617 12,662
2003 23,479 41,302 12,648
2004 23,935 42,196 12,710
2004 24,477 43,210 12,779
2004 24,460 43,393 12,861
2004 23,614 41,969 12,902
2004 23,969 42,839 12,978
2004 24,866 43,813 13,019
2004 23,699 41,769 12,998
2004 23,513 41,659 13,005
2004 24,477 42,893 13,033
October 29, 2004 $24,933 $43,578 $13,101
Footnotes read:
1 Class A performance has been restated to reflect the maximum sales
charge of 5.5%. Class B performance reflects the maximum contingent
deferred sales charge (CDSC) of 5%, declining 1% each year during the
first five years and then converting to Class A shares after the fifth
year. Institutional Class shares have no sales load and are for
institutional shareholders only.
2 Past performance is not an indication of future results. Annualized
total returns represent past performance and reflect changes in share
prices, the reinvestment of all dividends and capital gains, and the
effects of compounding. Investing in a mutual fund involves risks,
including the possible loss of principal. The prospectus contains more
complete information on the investment objectives, risks, charges and
expenses of the investment company which investors should read and
consider carefully before investing. To obtain a prospectus, contact a
registered representative or visit www.thrivent.com. At various times,
the Fund's adviser waived its management fee and/or reimbursed Fund
expenses. Had the adviser not done so, the Fund's total returns would
have been lower. The returns shown do not reflect taxes a shareholder
would pay on distributions or redemptions. Please read your prospectus
carefully.
* As you compare performance, please note that the Fund's performance
reflects the maximum 5.5% sales charge, while the S&P MidCap 400 Index
and the Consumer Price Index do not reflect any such charges. If you
were to purchase any of the above individual stocks or funds
represented in these Indexes, any charges you would pay would reduce
your total return as well.
** The S&P MidCap 400 Index is an index that represents the average
performance of a group of 400 medium capitalization stocks. It is not
possible to invest directly in the Index. The performance of the Index
does not reflect deductions for fees, expenses or taxes.
*** The Consumer Price Index is an inflationary indicator that measures
the change in the cost of a fixed basket of products and services,
including housing, electricity, food and transportation. It is not
possible to invest directly in the Index.
[PHOTO OMITTED: KEVIN R. BRIMMER]
Thrivent Mid Cap Index Fund
Kevin R. Brimmer, Portfolio Manager
The Thrivent Mid Cap Index Fund seeks total returns that track the
performance of the S&P MidCap 400 Index by investing primarily in common
stocks comprising the Index.
How did the Fund perform during the six-month period ended Oct. 31, 2004?
For the six-month period ended Oct. 31, 2004, we are pleased to report
that we achieved the Fund's objective of providing results in line with
the S&P MidCap 400 Index, after fees and expenses. The Thrivent Mid Cap
Index Fund returned 3.33% for the period while the S&P MidCap 400 gained
3.83%. By comparison, the Fund's peer group, as represented by the Lipper
Mid Cap Core Funds Category, posted a median return of 4.29% over the same
time frame.
What market conditions were present during
the period?
The stock market produced modest gains over the six months, an impressive
feat considering the price of oil rose to more than $50 per barrel. As has
typically been the case at the beginning of an economic recovery,
smaller-sized companies produced stronger returns than larger ones.
Investors appeared to be in a holding pattern during the period, as they
waited to find out the results from the November presidential election.
Therefore, volatility -- which has been very high in recent years -- was
historically low throughout the six months.
Growth-oriented stocks in the S&P MidCap 400 Index underperformed more
value-oriented stocks but still turned in positive results for the
six-month period. On a sector basis, the best performers included
financials, energy and utilities. Financial stocks continued to profit
from the relatively low level of interest rates. Companies in the energy
and utilities sectors benefited from strong demand and limited supply as
the economic environment strengthened.
Three sectors -- information technology, health care and consumer staples
- -- turned in negative absolute returns for the period. The poor results
for the information technology sector were primarily driven by oversupply
issues in the semiconductor industry. The entire health care sector was
adversely impacted by pharmaceutical giant Merck & Co., which lost almost
half its share price after it pulled Vioxx from the market. The
underperformance of consumer staple stocks was not surprising given that
this sector typically does poorly in an expanding economy.
[GRAPHIC OMITTED: TOP INDUSTRIES]
Top Industries
(% of Portfolio)
Financials 16.5%
Consumer Discretionary 16.4%
Information Technology 12.8%
Industrials 11.3%
Health Care 8.8%
Energy 7.0%
Utilities 6.1%
Materials 4.1%
Consumer Staples 3.9%
Telecommunication Services 0.4%
Top 10 Holdings
(% of Portfolio)
XTO Energy, Inc. 0.8%
Washington Post Company 0.7%
Harman International Industries, Inc. 0.7%
Murphy Oil Corporation 0.6%
Lennar Corporation 0.6%
D.R. Horton, Inc. 0.6%
Weatherford International, Ltd. 0.6%
L-3 Communications Holdings, Inc. 0.6%
Fidelity National Financial, Inc. 0.6%
Legg Mason, Inc. 0.6%
Footnote reads:
These common stocks represent 6.4% of the total investment portfolio.
Footnotes read:
Quoted Fund performance is for Class A shares and does not reflect a sales
charge.
The returns shown do not reflect taxes a shareholder would pay on
distributions or redemptions.
Quoted Top Industries, Portfolio Composition and Top 10 Holdings are
subject to change.
The list of Top 10 Holdings excludes short term investments and collateral
held for securities loaned.
What factors affected the Fund's performance?
Because we use an indexing approach to manage the Fund, we have no
active stock selection process. Our goal is to maintain a fully
invested portfolio that replicates the composition and performance of
the S&P MidCap 400 Index, while keeping transaction costs to a
minimum. The S&P MidCap 400 Index is the most widely used gauge of
mid-sized companies and covers all major market sectors. As is
typically the case with index funds, variances in performance relative
to the Index are a result of expenses, transaction costs and minor
differences in portfolio composition.
What is your outlook?
We are cautiously optimistic about our outlook for the stock market in the
near term. On the positive side, the economy is growing, the job market is
improving and inflation appears to be contained. Also, despite its recent
campaign to raise interest rates, the Federal Reserve Board has made the
changes at a measured pace. On the negative side, ever-present
geopolitical concerns, even higher oil prices and a dramatic slowdown in
consumer spending present the strongest potential headwinds for continued
economic growth. Now that the November elections are behind us, we believe
market volatility will increase again over the next few months back in
line with historical averages. However, the Thrivent Mid Cap Index Fund
should experience lower volatility due to its broad diversification and
exposure to all the market sectors.
Portfolio Facts
As of October 31, 2004
A Share
------------------
Ticker AAMIX
Transfer Agent ID 030
Net Assets $49,201,648
NAV $11.86
NAV -- High+ 6/30/2004 -- $11.96
NAV -- Low+ 8/13/2004 -- $10.82
Number of Holdings: 397 +For the period ended October 31, 2004
Average Annual Total Returns 2
As of October 31, 2004
From
Inception
Class A1 1-Year 7/1/2000
- -----------------------------------------------------------
without sales charge 9.93% 4.44%
with sales charge 3.87% 3.09%
[GRAPHIC WORM CHART OMITTED: VALUE OF A $10,000 INVESTMENT]
Value of a $10,000 Investment
Class A Shares*2
Mid Cap S&P MidCap Consumer
Index 400 Price
Date Fund Index** Index***
- ---------------------------------------------------------
July 1, 2000 9,450 10,000 10,000
2000 9,374 9,958 10,017
2000 10,404 11,070 10,029
2000 10,300 10,994 10,081
2000 9,913 10,621 10,099
2000 9,148 9,819 10,104
2000 9,879 10,571 10,099
2001 10,059 10,806 10,163
2001 9,471 10,189 10,203
2001 8,760 9,432 10,226
2001 9,708 10,472 10,267
2001 9,926 10,716 10,313
2001 9,869 10,673 10,331
2001 9,698 10,514 10,302
2001 9,376 10,170 10,302
2001 8,219 8,905 10,348
2001 8,561 9,299 10,313
2001 9,177 9,990 10,296
2001 9,646 10,507 10,255
2002 9,579 10,452 10,279
2002 9,579 10,465 10,319
2002 10,254 11,213 10,377
2002 10,188 11,161 10,435
2002 10,007 10,972 10,435
2002 9,275 10,169 10,441
2002 8,371 9,184 10,453
2002 8,409 9,230 10,488
2002 7,724 8,487 10,505
2002 8,047 8,855 10,531
2002 8,504 9,366 10,531
2002 8,144 8,982 10,508
2003 7,904 8,719 10,554
2003 7,712 8,512 10,636
2003 7,769 8,583 10,700
2003 8,317 9,206 10,676
2003 8,991 9,968 10,659
2003 9,096 10,095 10,671
2003 9,404 10,454 10,682
2003 9,818 10,927 10,723
2003 9,664 10,760 10,758
2003 10,375 11,573 10,746
2003 10,731 11,977 10,717
2003 10,894 12,178 10,705
2004 11,116 12,442 10,758
2004 11,375 12,741 10,816
2004 11,414 12,795 10,885
2004 11,039 12,375 10,920
2004 11,252 12,632 10,984
2004 11,502 12,919 11,019
2004 10,954 12,316 11,002
2004 10,925 12,284 11,007
2004 11,233 12,648 11,031
October 29, 2004 $11,406 $12,850 $11,089
Footnotes read:
1 Class A performance has been restated to reflect the maximum sales
charge of 5.5%. Class B performance reflects the maximum contingent
deferred sales charge (CDSC) of 5%, declining 1% each year during the
first five years and then converting to Class A shares after the fifth
year.
2 Past performance is not an indication of future results. Annualized
total returns represent past performance and reflect changes in share
prices, the reinvestment of all dividends and capital gains, and the
effects of compounding. Investing in a mutual fund involves risks,
including the possible loss of principal. The prospectus contains more
complete information on the investment objectives, risks, charges and
expenses of the investment company which investors should read and
consider carefully before investing. To obtain a prospectus, contact a
registered representative or visit www.thrivent.com. At various times,
the Fund's adviser waived its management fee and/or reimbursed Fund
expenses. Had the adviser not done so, the Fund's total returns would
have been lower. The returns shown do not reflect taxes a shareholder
would pay on distributions or redemptions. Please read your prospectus
carefully.
* As you compare performance, please note that the Fund's performance
reflects the maximum 5.5% sales charge, while the S&P MidCap 400 Index
and the Consumer Price Index do not reflect any such charges. If you
were to purchase any of the above individual stocks or funds
represented in these Indexes, any charges you would pay would reduce
your total return as well.
** The S&P MidCap 400 Index is an index that represents the average
performance of a group of 400 medium capitalization stocks. "S&P
MidCap 400 Index" is a trademark of The McGraw-Hill Companies, Inc.
and has been licensed for use by Thrivent Financial for Lutherans. The
product is not sponsored, endorsed or promoted by Standard & Poor's
and Standard & Poor's makes no representation regarding the
advisability of investing in the product. Index funds are subject to
the same market risks associated with the stocks in their respective
indexes. It is not possible to invest directly in the Index. The
performance of the Index does not reflect deductions for fees,
expenses or taxes.
*** The Consumer Price Index is an inflationary indicator that measures
the change in the cost of a fixed basket of products and services,
including housing, electricity, food and transportation. It is not
possible to invest directly in the Index.
[PHOTO OMITTED: KEVIN R. BRIMMER]
Thrivent Mid Cap Index Fund-I
Kevin R. Brimmer, Portfolio Manager
The Thrivent Mid Cap Index Fund seeks total returns that track the
performance of the S&P MidCap 400 Index by investing primarily in common
stocks comprising the Index.
How did the Fund perform during the six-month period ended Oct. 31, 2004?
For the six-month period ended Oct. 31, 2004, we are pleased to report
that we achieved the Fund's objective of providing results in line with
the S&P MidCap 400 Index, after fees and expenses. The Thrivent Mid Cap
Index Fund I returned 3.31% for the period while the S&P MidCap 400 gained
3.83%. By comparison, the Fund's peer group, as represented by the Lipper
Mid Cap Core Funds Category, posted a median return of 4.29% over the same
time frame.
What market conditions were present during
the period?
The stock market produced modest gains over the six months, an impressive
feat considering the price of oil rose to more than $50 per barrel. As has
typically been the case at the beginning of an economic recovery,
smaller-sized companies produced stronger returns than larger ones.
Investors appeared to be in a holding pattern during the period, as they
waited to find out the results from the November presidential election.
Therefore, volatility -- which has been very high in recent years -- was
historically low throughout the six months.
Growth-oriented stocks in the S&P MidCap 400 Index underperformed more
value-oriented stocks but still turned in positive results for the
six-month period. On a sector basis, the best performers included
financials, energy and utilities. Financial stocks continued to profit
from the relatively low level of interest rates. Companies in the
energy and utilities sectors benefited from strong demand and limited
supply as the economic environment strengthened.
Three sectors -- information technology, health care and consumer staples
- -- turned in negative absolute returns for the period. The poor results
for the information technology sector were primarily driven by oversupply
issues in the semiconductor industry. The entire health care sector was
adversely impacted by pharmaceutical giant Merck & Co., which lost almost
half its share price after it pulled Vioxx from the market. The
underperformance of consumer staple stocks was not surprising given that
this sector typically does poorly in an expanding economy.
[GRAPHIC OMITTED: TOP INDUSTRIES]
Top Industries
(% of Portfolio)
Consumer Discretionary 16.8%
Financials 16.6%
Information Technology 13.1%
Industrials 11.5%
Health Care 9.0%
Energy 7.1%
Utilities 6.2%
Materials 4.1%
Consumer Staples 3.9%
Telecommunication Services 0.5%
Top 10 Holdings
(% of Portfolio)
Washington Post Company 0.8%
XTO Energy, Inc. 0.8%
Harman International Industries, Inc. 0.7%
Murphy Oil Corporation 0.7%
D.R. Horton, Inc. 0.6%
Lennar Corporation 0.6%
Weatherford International, Ltd. 0.6%
L-3 Communications Holdings, Inc. 0.6%
Fidelity National Financial, Inc. 0.6%
Microchip Technology, Inc. 0.6%
Footnote reads:
These common stocks represent 6.6% of the total investment portfolio.
Footnotes read:
The returns shown do not reflect taxes a shareholder would pay on
distributions or redemptions.
Quoted Top Industries, Portfolio Composition and Top 10 Holdings are
subject to change.
The list of Top 10 Holdings excludes short term investments and collateral
held for securities loaned.
What factors affected the Fund's performance?
Because we use an indexing approach to manage the Fund, we have no active
stock selection process. Our goal is to maintain a fully invested
portfolio that replicates the composition and performance of the S&P
MidCap 400 Index, while keeping transaction costs to a minimum. The S&P
MidCap 400 Index is the most widely used gauge of mid-sized companies and
covers all major market sectors. As is typically the case with index
funds, variances in performance relative to the Index are a result of
expenses, transaction costs and minor differences in portfolio
composition.
What is your outlook?
We are cautiously optimistic about our outlook for the stock market in the
near term. On the positive side, the economy is growing, the job market is
improving and inflation appears to be contained. Also, despite its recent
campaign to raise interest rates, the Federal Reserve Board has made the
changes at a measured pace. On the negative side, ever-present
geopolitical concerns, even higher oil prices and a dramatic slowdown in
consumer spending present the strongest potential headwinds for continued
economic growth. Now that the November elections are behind us, we believe
market volatility will increase again over the next few months back in
line with historical averages. However, the Thrivent Mid Cap Index Fund
should experience lower volatility due to its broad diversification and
exposure to all the market sectors.
Portfolio Facts
As of October 31, 2004
Institutional Share
------------------
Ticker AALMX
Transfer Agent ID 097
Net Assets $17,304,091
NAV $11.85
NAV -- High+ 6/25/2004 -- $12.18
NAV -- Low+ 8/13/2004 -- $10.82
Number of Holdings: 395 +For the period ended October 31, 2004
Average Annual Total Returns 2
As of October 31, 2004
From
Inception
Institutional Class1 1-Year 12/31/1999
- -----------------------------------------------------------
Net Asset Value 10.19% 7.14%
[GRAPHIC WORM CHART OMITTED: VALUE OF A $10,000 INVESTMENT]
Value of a $10,000 Investment
Institutional Class Shares*2
Mid Cap S&P MidCap Consumer
Index 400 Price
Date Fund-I Index** Index***
- ---------------------------------------------------------
December 31, 1999 10,000 10,000 10,000
2000 9,730 9,718 10,024
2000 10,480 10,398 10,083
2000 11,320 11,269 10,166
2000 10,900 10,875 10,172
2000 10,760 10,740 10,178
2000 10,940 10,897 10,238
2000 11,090 11,069 10,255
2000 12,320 12,305 10,267
2000 12,220 12,221 10,321
2000 11,780 11,807 10,339
2000 10,880 10,915 10,345
2000 11,729 11,751 10,339
2001 11,943 12,012 10,404
2001 11,279 11,327 10,446
2001 10,433 10,485 10,469
2001 11,568 11,641 10,511
2001 11,836 11,912 10,559
2001 11,776 11,864 10,576
2001 11,603 11,687 10,547
2001 11,224 11,305 10,547
2001 9,849 9,899 10,594
2001 10,271 10,337 10,559
2001 11,029 11,106 10,541
2001 11,588 11,679 10,499
2002 11,523 11,619 10,523
2002 11,534 11,633 10,564
2002 12,354 12,465 10,624
2002 12,289 12,406 10,683
2002 12,081 12,197 10,683
2002 11,195 11,304 10,689
2002 10,127 10,209 10,701
2002 10,171 10,261 10,737
2002 9,368 9,434 10,755
2002 9,764 9,843 10,781
2002 10,314 10,412 10,781
2002 9,901 9,984 10,758
2003 9,594 9,693 10,805
2003 9,367 9,462 10,888
2003 9,435 9,541 10,954
2003 10,116 10,233 10,930
2003 10,945 11,081 10,912
2003 11,082 11,222 10,924
2003 11,468 11,620 10,936
2003 11,978 12,147 10,978
2003 11,785 11,961 11,013
2003 12,671 12,865 11,001
2003 13,103 13,313 10,972
2003 13,321 13,538 10,960
2004 13,607 13,831 11,013
2004 13,929 14,163 11,073
2004 13,986 14,223 11,144
2004 13,527 13,757 11,180
2004 13,768 14,042 11,245
2004 14,069 14,361 11,281
2004 13,409 13,691 11,263
2004 13,374 13,655 11,269
2004 13,762 14,059 11,293
October 29, 2004 $13,975 $14,284 $11,352
Footnotes read:
1 Institutional Class shares have no sales load and are for
institutional shareholders only.
2 Past performance is not an indication of future results. Annualized
total returns represent past performance and reflect changes in share
prices, the reinvestment of all dividends and capital gains, and the
effects of compounding. Investing in a mutual fund involves risks,
including the possible loss of principal. The prospectus contains more
complete information on the investment objectives, risks, charges and
expenses of the investment company which investors should read and
consider carefully before investing. To obtain a prospectus, contact a
registered representative or visit www.thrivent.com. At various times,
the Fund's adviser waived its management fee and/or reimbursed Fund
expenses. Had the adviser not done so, the Fund's total returns would
have been lower. The returns shown do not reflect taxes a shareholder
would pay on distributions or redemptions. Please read your prospectus
carefully.
* As you compare performance, please note that the Fund's performance
reflects Fund expenses, net of any reimbursements, while the S&P
MidCap 400 Index and the Consumer Price Index do not reflect such
charges. If you were to purchase any of the above individual stocks or
funds represented in these Indexes, any charges you would pay would
reduce your total return as well.
** The S&P MidCap 400 Index is an index that represents the average
performance of a group of 400 medium capitalization stocks. "S&P
MidCap 400 Index" is a trademark of The McGraw-Hill Companies, Inc.
and has been licensed for use by Thrivent Financial for Lutherans. The
product is not sponsored, endorsed or promoted by Standard & Poor's
and Standard & Poor's makes no representation regarding the
advisability of investing in the product. Index funds are subject to
the same market risks associated with the stocks in their respective
indexes. It is not possible to invest directly in the Index. The
performance of the Index does not reflect deductions for fees,
expenses or taxes.
*** The Consumer Price Index is an inflationary indicator that measures
the change in the cost of a fixed basket of products and services,
including housing, electricity, food and transportation. It is not
possible to invest directly in the Index.
[LOGOS OMITTED: MERCATOR ASSET MANAGEMENT AND T. ROWE PRICE]
Thrivent Partner International Stock Fund
Subadvised by Mercator Asset Management, L.P. and T. Rowe Price
International, Inc.
On July 17, 2004, AAL International Stock Fund and Lutheran Brotherhood
World Growth Fund merged and the Fund was renamed the Thrivent Partner
International Stock Fund. Mercator Asset Management, LP began serving as a
co-subadviser to the Fund, along with T. Rowe Price International, Inc.
Mercator is a value-style manager, while Price International (which
previously served as the subadviser for LB World Growth Fund)
is a growth style manager.
How did the Fund perform during the 12-month period ended Oct. 31, 2004?
During the 12 months, the Thrivent Partner International Stock Fund posted
a return of 11.77%, well below its peer group, as represented by the
Lipper International Stock Funds Category, which posted a median return of
14.77%. The Fund also underperformed its benchmark, the MSCI Europe,
Australia and Far East (EAFE) Index, which gained 19.27% for the year.
What market conditions were present during
the period?
In Europe, markets continued to gain steadily over the past year as
corporate restructuring and cost cutting contributed to an upturn in
earnings momentum. In Japan, the market rose sharply for the first six
months of the period, but then struggled when fears of a slowdown in
China's growth rate surfaced in April. Other Asian markets performed well
- -- fueled by China's growth and a large increase in global liquidity -- and
recovered sharply from their lows in May. Latin American markets were
strong during the period, most notably Brazil and Mexico.
Small-capitalization stocks were favored over large-caps, although in
later months we saw a reversal of this trend. We saw a similar reversal in
the fortunes of low-quality stocks, which were doing well but fell back
later in the year. The U.S. dollar continued to weaken over the period.
What factors affected the Fund's performance?
For most of the period, the Fund was managed with a growth investment
style and this was the primary factor in the Fund's underperformance
versus its peer group as well as the MSCI EAFE Index. The multiple manager
approach emphasizing both growth and value was not implemented until July
2004. As was the case in the United States, the growth style of management
underperformed the value style in overseas markets. In particular, a
Japanese market rebound after many years of investment malaise surprised
most money managers, particularly those emphasizing growth stocks.
In the Fund's growth portfolio, stocks in Japan and the U.K. detracted
from performance the most, largely due to the strength of value stocks. In
terms of sectors, stocks in the consumer discretionary, industrial,
financial and health care areas also hindered the Fund's performance. The
outperformance of small-cap stocks during the period was a drag on our
results, as the Fund has a bias toward larger-cap stocks.
[GRAPHIC OMITTED: TOP INDUSTRIES]
Top Industries
(% of Common Stocks)
Financials 22.5%
Consumer Discretionary 12.9%
Industrials 9.0%
Telecommunication Services 7.5%
Consumer Staples 7.4%
Health Care 6.5%
Energy 5.0%
Information Technology 4.8%
Materials 4.5%
Utilities 1.3%
Top 10 Countries
(% of Portfolio)
United Kingdom 16.2%
Japan 15.9%
France 8.5%
Switzerland 6.4%
Spain 5.3%
Netherlands 4.4%
Italy 4.1%
Germany 3.8%
Sweden 2.9%
Mexico 1.9%
Footnote reads:
These common stocks represent 69.5% of the total investment portfolio.
Footnotes read:
*International investing has special risks including currency fluctuation
and political volatility.
Quoted Fund performance is for Class A shares and does not reflect a sales
charge.
The returns shown do not reflect taxes a shareholder would pay on
distributions or redemptions.
Quoted Top Industries, Portfolio Composition and Top Countries are subject
to change.
On the positive side, the Fund benefited from stock selection in
information technology, although it was the worst-performing sector in the
index. Also, Mexico added value in terms of both stock selection and
allocation. Wireless telecommunication and media stocks were especially
strong as well. Finally, although we were slightly underweight in energy
stocks, our emerging markets and European holdings performed well.
What is your outlook?
Extremely high energy prices and the expectation of rising interest rates
have weighed heavily on economies and stock prices. The rapid rate of
global economic growth evidenced earlier in the year was unsustainable and
has now decelerated. All of the major areas of the world have experienced
slowdowns of varying degrees. On the positive side, inflation remains
tame, with price increases in some areas offset by deflationary pressures
in others. As global gross domestic product levels off and earnings growth
decelerates in 2005, moderate but durable growth companies with strong
pricing power should gain prominence. We believe higher-quality,
larger-cap stocks continue to offer investors the best opportunity and
that stock selection will remain the key in this environment.
Portfolio Facts
As of October 31, 2004
A Share B Share Institutional Share
------------------ ------------------ ------------------
Ticker AAITX BBITX N/A
Transfer Agent ID 023 084 093
Net Assets $243,742,665 $19,498,352 $13,109,935
NAV $9.10 $8.86 $9.23
NAV -- High+ 4/12/2004 -- $9.24 4/12/2004 -- $8.93 4/12/2004 -- $9.34
NAV -- Low+ 11/20/2003 -- $8.00 11/20/2003 -- $7.75 11/20/2003 -- $8.10
Number of Holdings: 210 +For the year ended October 31, 2004
Average Annual Total Returns 2
As of October 31, 2004
From
Inception
Class A1 1-Year 5-Year 9/5/1995
- -----------------------------------------------------------------------
without sales charge 11.65% (3.43%) 2.75%
with sales charge 5.48% (4.52%) 2.13%
From
Inception
Class B1 1-Year 5-Year 10/31/1997
- -----------------------------------------------------------------------
without sales charge 10.72% (4.17%) 0.42%
with sales charge 6.72% (4.17%) 0.42%
From
Inception
Institutional Class 1-Year 5-Year 10/31/1997
- -----------------------------------------------------------------------
Net Asset Value 12.69% (2.54%) 1.70%
[GRAPHIC WORM CHART OMITTED: VALUE OF A $10,000 INVESTMENT]
Value of a $10,000 Investment
Class A Shares**2
Morgan
Stanley
Partner Capital
International International Consumer
Stock EAFE Price
Date Fund Index*** Index****
- ----------------------------------------------------------------
September 30, 1995 9,550 9,734 10,020
1995 9,383 9,475 10,033
1995 9,461 9,741 10,026
1995 9,768 10,136 10,020
1996 9,991 10,180 10,078
1996 10,058 10,217 10,111
1996 10,214 10,436 10,163
1996 10,514 10,742 10,202
1996 10,470 10,547 10,222
1996 10,581 10,609 10,228
1996 10,247 10,302 10,248
1996 10,392 10,327 10,268
1996 10,626 10,604 10,300
1996 10,559 10,498 10,333
1996 11,038 10,918 10,352
1996 11,080 10,780 10,352
1997 10,923 10,406 10,385
1997 11,035 10,578 10,418
1997 11,013 10,619 10,444
1997 11,080 10,678 10,457
1997 11,811 11,376 10,450
1997 12,316 12,006 10,463
1997 12,642 12,202 10,477
1997 11,473 11,293 10,496
1997 12,238 11,929 10,522
1997 11,339 11,014 10,548
1997 11,294 10,905 10,542
1997 11,320 11,002 10,529
1998 11,721 11,508 10,548
1998 12,396 12,249 10,568
1998 12,820 12,629 10,587
1998 12,911 12,732 10,607
1998 12,877 12,673 10,627
1998 12,877 12,772 10,640
1998 13,037 12,904 10,653
1998 11,412 11,308 10,666
1998 11,137 10,964 10,679
1998 12,110 12,110 10,705
1998 12,671 12,734 10,705
1998 13,100 13,239 10,698
1999 12,973 13,203 10,725
1999 12,720 12,892 10,738
1999 13,227 13,433 10,770
1999 13,699 13,980 10,849
1999 13,065 13,263 10,849
1999 13,561 13,783 10,849
1999 13,791 14,196 10,881
1999 13,929 14,251 10,907
1999 13,999 14,398 10,960
1999 14,436 14,940 10,979
1999 15,439 15,463 10,986
1999 17,376 16,853 10,986
2000 16,296 15,786 11,012
2000 17,162 16,213 11,077
2000 17,316 16,845 11,168
2000 16,331 15,962 11,175
2000 15,738 15,575 11,181
2000 16,498 16,188 11,247
2000 15,940 15,512 11,266
2000 16,308 15,650 11,279
2000 15,275 14,891 11,338
2000 14,694 14,542 11,358
2000 13,910 14,000 11,364
2000 14,400 14,501 11,358
2001 14,555 14,494 11,430
2001 13,261 13,409 11,475
2001 12,239 12,521 11,501
2001 13,209 13,399 11,547
2001 12,627 12,937 11,599
2001 12,084 12,413 11,619
2001 11,799 12,188 11,586
2001 11,502 11,881 11,586
2001 10,298 10,681 11,638
2001 10,609 10,954 11,599
2001 11,036 11,358 11,580
2001 11,256 11,426 11,534
2002 10,712 10,820 11,560
2002 10,816 10,896 11,606
2002 11,385 11,491 11,671
2002 11,295 11,574 11,727
2002 11,295 11,731 11,727
2002 10,816 11,269 11,733
2002 9,613 10,157 11,746
2002 9,574 10,136 11,786
2002 8,461 9,050 11,805
2002 9,069 9,537 11,835
2002 9,574 9,972 11,835
2002 9,186 9,637 11,809
2003 8,746 9,235 11,861
2003 8,435 9,024 11,953
2003 8,215 8,854 12,024
2003 9,082 9,732 11,998
2003 9,613 10,330 11,979
2003 9,742 10,586 11,992
2003 9,872 10,844 12,005
2003 10,117 11,108 12,050
2003 10,298 11,452 12,090
2003 10,855 12,167 12,077
2003 11,062 12,439 12,044
2003 11,832 13,411 12,031
2004 11,949 13,602 12,090
2004 12,221 13,918 12,155
2004 12,234 14,002 12,233
2004 11,742 13,697 12,272
2004 11,819 13,757 12,344
2004 12,027 14,064 12,383
2004 11,440 13,609 12,364
2004 11,546 13,672 12,370
2004 11,759 14,032 12,396
October 29, 2004 $12,132 $14,511 $12,462
Footnotes read:
1 Class A performance has been restated to reflect the maximum sales
charge of 5.5%. Class B performance reflects the maximum contingent
deferred sales charge (CDSC) of 5%, declining 1% each year during the
first five years and then converting to Class A shares after the
fifth year. Institutional Class shares have no sales load and are for
institutional shareholders only.
2 Past performance is not an indication of future results. Annualized
total returns represent past performance and reflect changes in share
prices, the reinvestment of all dividends and capital gains, and the
effects of compounding. Investing in a mutual fund involves risks,
including the possible loss of principal. The prospectus contains
more complete information on the investment objectives, risks,
charges and expenses of the investment company which investors should
read and consider carefully before investing. To obtain a prospectus,
contact a registered representative or visit www.thrivent.com. At
various times, the Fund's adviser waived its management fee and/or
reimbursed Fund expenses. Had the adviser not done so, the Fund's
total returns would have been lower. The returns shown do not reflect
taxes a shareholder would pay on distributions or redemptions. Please
read your prospectus carefully.
** As you compare performance, please note that the Fund's performance
reflects the maximum 5.5% sales charge, while the MSCI EAFE Index and
the Consumer Price Index do not reflect any such charges. If you were
to purchase any of the above individual stocks or funds represented
in these Indexes, any charges you would pay would reduce your total
return as well.
*** The Morgan Stanley Capital International Europe, Australasia, Far
East Index (MSCI EAFE Index) is a stock index designed to measure the
equity performance of developed countries outside of North America.
It is not possible to invest directly in the Index. The performance
of the Index does not reflect deductions for fees, expenses or taxes.
**** The Consumer Price Index is an inflationary indicator that measures
the change in the cost of a fixed basket of products and services,
including housing, electricity, food and transportation. It is not
possible to invest directly in the Index.
[PHOTO OMITTED: SCOTT A. VERGIN]
Thrivent Large Cap Growth Fund
Scott A. Vergin, Portfolio Manager
The Thrivent Large Cap Growth Fund seeks long-term capital appreciation by
investing primarily in a diversified portfolio of common stocks and
securities convertible into common stocks.
How did Thrivent Large Cap Growth Fund perform for its fiscal year ended
Oct. 31, 2004?
The Fund delivered positive performance for the 12-month period under
review and outperformed both its benchmark and its peer group. For the
year, Thrivent Large Cap Growth Fund returned 3.90% versus its peer group,
the Lipper Large Cap Growth Funds Category, which returned 2.63%. The
Fund's benchmark, the Russell 1000 Growth Index, returned 3.38% for the
same time frame.
What market conditions were present during
the period?
Most segments of the U.S. stock market continued to trade within a fairly
narrow range over most of the period, as uncertainty regarding the
presidential election, rising oil prices and concerns around possible
geopolitical events seemed to counterbalance the robust earnings growth
achieved during the past 12 months. Earnings growth began to slow a bit
this year off the heels of a significant rebound in late 2003. As
expected, the Federal Reserve Board (the Fed) raised its target overnight
lending rate three times from June through September, bringing the federal
funds rate from 1.00% to 1.75%. Overall, investors remained focused on the
sustainability of the economic recovery, particularly given historically
high energy prices and the creeping specter of rising inflation. In an
overall "theme-less" market, value-oriented stocks generally fared better
than growth stocks, and performance was again best found on a name-by-name
basis. In terms of market capitalization, small-cap stocks, as measured by
the Russell 2000 Index, were among the few segments of the equity markets
to uniformly deliver positive performance for the 12-month period.
What factors affected Fund performance?
Stock selection, driven by our strict focus on bottom-up, individual
security analysis, was once again the most significant contributor to Fund
performance this period. Second, our decision to overweight the energy
sector, with emphasis on oil services and drilling companies, added to our
returns both on an absolute and relative basis. Names like Smith
International, an oil services company, and Baker-Hughes benefited from a
strong rally in the price of crude oil and increased demand for their
services.
Likewise, our exposure to Internet-related company stocks, such as ebay
and Yahoo, also enhanced performance. Despite a somewhat lackluster
trading environment for stocks, many stocks in this sector posted solid
outperformance this period due to favorable earnings prospects and
improving fundamentals. Despite successful stock selection, our slightly
overweighted exposure to technology stocks versus our benchmark hurt us
this period, since again, technology stocks performed rather poorly this
year.
[GRAPHIC OMITTED: TOP INDUSTRIES]
Top Industries
(% of Portfolio)
Information Technology 28.2%
Health Care 18.1%
Consumer Discretionary 15.7%
Financials 10.7%
Industrials 9.0%
Consumer Staples 7.5%
Energy 4.0%
Miscellaneous 1.1%
Materials 1.1%
Telecommunication Services 1.1%
Top 10 Holdings
(% of Portfolio)
Microsoft Corporation 3.6%
General Electric Company 2.6%
Pfizer, Inc. 2.4%
Cisco Systems, Inc. 2.2%
Dell, Inc. 2.2%
eBay, Inc. 1.9%
Johnson & Johnson 1.6%
QUALCOMM, Inc. 1.6%
Intel Corporation 1.6%
Wal-Mart Stores, Inc. 1.6%
Footnote reads:
These common stocks represent 21.3% of the total investment portfolio.
Footnotes read:
Quoted Fund performance is for Class A shares and does not reflect a sales
charge.
The returns shown do not reflect taxes a shareholder would pay on
distributions or redemptions.
Quoted Top Industries, Portfolio Composition and Top 10 Holdings are
subject to change.
The list of Top 10 Holdings excludes short term investments and collateral
held for securities loaned.
Finally, Fund performance was impacted during this period from the
lethargy plaguing large-cap stocks. With overall trading volume down and
no identifiable trend to the market's movements, we found the overall
environment quite challenging given our investment process, which focuses
on identifying promising trends and seeking to capitalize on that
momentum.
What is your outlook?
We continue to believe that the U.S. economy will continue to grow
at-or-above trend, and therefore, provide a favorable backdrop for
earnings growth to continue. Although growth stocks currently command a
premium, we are confident that as economic recovery gains a solid footing
and inflation remains under control, conditions that bode well for the
large-cap segment of the market will lead to slow but steady improvement
for the growth sector. Overall, we are pleased that the Fund delivered
positive and favorable relative performance during a period that proved
quite challenging to the large-cap growth sector of the market, supporting
our proven investment process and disciplined approach to stock selection.
Portfolio Facts
As of October 31, 2004
A Share B Share Institutional Share
------------------ ------------------ ------------------
Ticker AAAGX BBAGX N/A
Transfer Agent ID 027 077 060
Net Assets $83,603,933 $17,661,203 $8,934,740
NAV $4.45 $4.25 $4.69
NAV -- High+ 1/26/2004 -- $4.73 1/26/2004 -- $4.55 1/26/2004 -- $4.95
NAV -- Low+ 8/12/2004 -- $4.10 8/12/2004 -- $3.94 8/12/2004 -- $4.31
Number of Holdings: 225 +For the year ended October 31, 2004
Average Annual Total Returns 2
As of October 31, 2004
From
Inception
Class A1 1-Year 5-Year 10/29/1999
- ------------------------------------------------------------------------
without sales charge 3.90% (7.49%) (7.49%)
with sales charge (1.85%) (8.53%) (8.53%)
From
Inception
Class B1 1-Year 5-Year 10/29/1999
- ------------------------------------------------------------------------
without sales charge 2.84% (8.24%) (8.24%)
with sales charge (1.16%) (8.24%) (8.24%)
From
Inception
Institutional Class 1-Year 5-Year 10/29/1999
- ------------------------------------------------------------------------
Net Asset Value 4.65% (6.51%) (6.51%)
[GRAPHIC WORM CHART OMITTED: VALUE OF A $10,000 INVESTMENT]
Value of a $10,000 Investment
Class A Shares*2
Russell
Large Cap 1000 Consumer
Growth Growth Price
Date Fund Index*** Index**
- --------------------------------------------------------
October 31, 1999 9,450 10,000 10,000
1999 9,908 10,540 10,006
1999 10,968 11,636 10,006
2000 10,521 11,090 10,030
2000 10,905 11,632 10,089
2000 11,867 12,465 10,172
2000 11,208 11,872 10,178
2000 10,607 11,274 10,184
2000 11,340 12,128 10,244
2000 11,134 11,623 10,262
2000 12,079 12,675 10,273
2000 11,203 11,476 10,327
2000 10,658 10,933 10,345
2000 9,318 9,322 10,351
2000 9,393 9,026 10,345
2001 9,702 9,650 10,410
2001 8,161 8,012 10,452
2001 7,360 7,140 10,476
2001 8,098 8,043 10,517
2001 8,047 7,925 10,565
2001 7,778 7,741 10,583
2001 7,520 7,548 10,553
2001 6,913 6,931 10,553
2001 6,260 6,238 10,600
2001 6,500 6,566 10,565
2001 7,130 7,197 10,547
2001 7,108 7,183 10,505
2002 6,919 7,056 10,529
2002 6,575 6,763 10,571
2002 6,850 6,997 10,630
2002 6,306 6,426 10,681
2002 6,174 6,271 10,681
2002 5,636 5,691 10,687
2002 5,212 5,378 10,699
2002 5,235 5,394 10,735
2002 4,725 4,834 10,752
2002 5,120 5,278 10,779
2002 5,384 5,564 10,779
2002 4,966 5,180 10,755
2003 4,862 5,054 10,803
2003 4,822 5,031 10,886
2003 4,908 5,125 10,951
2003 5,286 5,504 10,928
2003 5,550 5,778 10,910
2003 5,596 5,858 10,922
2003 5,756 6,004 10,934
2003 5,905 6,153 10,975
2003 5,796 6,087 11,011
2003 6,157 6,429 10,999
2003 6,203 6,496 10,969
2003 6,403 6,721 10,957
2004 6,535 6,858 11,011
2004 6,581 6,902 11,070
2004 6,495 6,774 11,142
2004 6,329 6,695 11,177
2004 6,472 6,820 11,243
2004 6,586 6,905 11,278
2004 6,195 6,515 11,261
2004 6,152 6,483 11,267
2004 6,282 6,544 11,290
October 29, 2004 $6,397 $6,646 $11,350
Footnotes read:
1 Class A performance has been restated to reflect the maximum sales
charge of 5.5%. Class B performance reflects the maximum contingent
deferred sales charge (CDSC) of 5%, declining 1% each year during the
first five years and then converting to Class A shares after the fifth
year. Institutional Class shares have no sales load and are for
institutional shareholders only.
2 Past performance is not an indication of future results. Annualized
total returns represent past performance and reflect changes in share
prices, the reinvestment of all dividends and capital gains, and the
effects of compounding. Investing in a mutual fund involves risks,
including the possible loss of principal. The prospectus contains more
complete information on the investment objectives, risks, charges and
expenses of the investment company which investors should read and
consider carefully before investing. To obtain a prospectus, contact a
registered representative or visit www.thrivent.com. At various times,
the Fund's adviser waived its management fee and/or reimbursed Fund
expenses. Had the adviser not done so, the Fund's total returns would
have been lower. The returns shown do not reflect taxes a shareholder
would pay on distributions or redemptions. Please read your prospectus
carefully.
* As you compare performance, please note that the Fund's performance
reflects the maximum 5.5% sales charge, while the Consumer Price
Index, and the Russell 1000 Growth Index do not reflect any such
charges. If you were to purchase any of the above individual stocks or
funds represented in these Indexes, any charges you would pay would
reduce your total return as well.
** The Consumer Price Index is an inflationary indicator that measures
the change in the cost of a fixed basket of products and services,
including housing, electricity, food and transportation. It is not
possible to invest directly in the Index.
*** The Russell 1000 Growth Index is an index comprised of those Russell
1000 Index companies with higher than average price-to-book ratios and
higher forecasted growth values. It is not possible to invest directly
in these Indexes. The performance of these Indexes does not reflect
deductions for fees, expenses or taxes.
[PHOTO OMITTED: MATTHEW D. FINN]
Thrivent Large Cap Value Fund
Matthew D. Finn, Portfolio Manager
The Thrivent Large Cap Value Fund seeks current income, long-term income
growth and capital growth by investing primarily in a diversified
portfolio of income-producing equity securities.
How did Thrivent Large Cap Value Fund perform for its fiscal year ended
Oct. 31, 2004?
We are quite pleased with the Fund's performance for the 12-month period
under review, during which the Fund slightly underperformed its benchmark
but solidly outperformed its peer group. We attribute these generally
favorable results to strong stock selection, as well as overexposure to
the energy sector, which fared well over the Fund's fiscal year. For the
year, Thrivent Large Cap Value Fund returned 13.12% while its peer group,
the Lipper Large Cap Value Funds Category, which returned 11.20%. The
Fund's previous benchmark, the S&P 500/Barra Value Index, returned 14.43%,
and the current benchmark, the Russell 1000 Value Index, returned 15.45%.
Because the Russell 1000 Value Index is more broad and representative of
the companies in which the Fund invests, it will be used to compare
performance in the future.
What market conditions were present during
the period?
The U.S. stock market continued to trade within a fairly narrow range over
the period, as uncertainty regarding the presidential election, rising oil
prices and concerns around possible geopolitical events seemed to keep the
markets stuck in neutral. Earnings growth began to slow a bit this year
off the heels of a significant rebound in late 2003. As expected, the
Federal Reserve Board (the Fed) raised its target overnight lending rate
three times from June through September, bringing the federal funds rate
from 1.00% to 1.75%. Overall, the period remained a "theme-less" market,
and although value-oriented stocks generally fared better than growth
stocks, performance was best found on a name-by-name basis.
What factors affected Fund performance?
Individual stock selection across all industry sectors proved to be the
most significant driver of performance this period. Our stock selection
was particularly strong in sectors such as basic materials, steel,
chemical and paper industries, where we enjoyed substantial positive
outperformance versus our benchmark.
Additionally, our overall exposure to as well as individual stock
selection within the energy sector also boosted returns on both an
absolute and relative basis. Our energy holdings were up nearly 50% for
the period, with select exploration, production-, refining- and
drilling-related stocks all contributing significantly.
Another positive contributor to performance was the fact that we avoided
exposure to supermarket stocks, which fared poorly this period. On the
other hand, owning Costco, a consumer staples stock, fared well for the
Fund's portfolio and added to returns. Supporting these generally
favorable factors was the fact that value stocks in general fared well
over the period relative to their growth-oriented counterparts.
[GRAPHIC OMITTED: TOP INDUSTRIES]
Top Industries
(% of Portfolio)
Financials 27.5%
Industrials 12.3%
Information Technology 11.5%
Consumer Discretionary 10.1%
Energy 9.8%
Consumer Staples 7.1%
Health Care 6.5%
Materials 6.0%
Telecommunication Services 3.8%
Utilities 2.5%
Top 10 Holdings
(% of Portfolio)
Bank of America Corporation 4.3%
Citigroup, Inc. 2.8%
Exxon Mobil Corporation 2.7%
J.P. Morgan Chase & Company 2.3%
ConocoPhillips Company 1.9%
Tyco International, Ltd. 1.9%
Verizon Communications, Inc. 1.9%
International Business Machines Corporation 1.9%
Time Warner, Inc. 1.9%
Johnson & Johnson 1.6%
Footnote reads:
These common stocks represent 23.2% of the total investment portfolio.
Footnotes read:
Quoted Fund performance is for Class A shares and does not reflect a sales
charge.
The returns shown do not reflect taxes a shareholder would pay on
distributions or redemptions.
Quoted Top Industries, Portfolio Composition and Top 10 Holdings are
subject to change.
The list of Top 10 Holdings excludes short term investments and collateral
held for securities loaned.
From a negative perspective, our exposure to consumer discretionary
stocks generally detracted from performance, particularly some of our
retail holdings such as Gap Inc., which performed poorly this year due
to increased competition. Additionally, our decision to underweight
utilities stocks, some of which rebounded significantly this year,
cost us marginal performance versus the Index. In technology, our
positions in semi-conductor stocks hurt us, particularly Intel and
Texas Instruments, which performed poorly and therefore detracted from
our relative and absolute returns.
What is your outlook?
We remain optimistic that many of the currently distressed areas of the
large-cap value market hold good performance potential, such as technology
stocks, and as such, we've increased our exposure to this industry sector.
Based on where we are currently in the economic cycle, we expect these
stocks to benefit as business IT spending accelerates. We also believe the
premium the market has currently placed on growth prospects will continue
to lead investors toward more value-oriented stocks, thereby creating
favorable demand for many large-cap value issues. Overall, we continue to
seek and invest in good companies that we believe are attractively priced
versus what we would consider long-term, normalized earnings power, and
believe our individual stock selection process will continue to deliver
superior added value to our shareholders over the months to come.
Portfolio Facts
As of October 31, 2004
A Share B Share Institutional Share
------------------ ------------------ ------------------
Ticker AAUTX BBEIX N/A
Transfer Agent ID 022 072 092
Net Assets $290,012,709 $19,253,660 $19,802,149
NAV $13.15 $13.03 $13.20
NAV -- High+ 10/6/2004 -- $13.23 10/6/2004 -- $13.13 10/6/2004 -- $13.28
NAV -- Low+ 11/20/2003 -- $11.55 11/18/2003 -- $11.49 11/18/2003 -- $11.57
Number of Holdings: 127 +For the year ended October 31, 2004
Average Annual Total Returns 2
As of October 31, 2004
From
Inception
Class A1 1-Year 5-Year 10/29/1999
- -----------------------------------------------------------------------
without sales charge 13.12% (0.31%) (0.31%)
with sales charge 6.88% (1.42%) (1.42%)
From
Inception
Class B1 1-Year 5-Year 10/29/1999
- -----------------------------------------------------------------------
without sales charge 12.10% (1.08%) (1.08%)
with sales charge 8.10% (1.08%) (1.08%)
From
Inception
Institutional Class 1-Year 5-Year 10/29/1999
- -----------------------------------------------------------------------
Net Asset Value 13.71% 0.47% 0.47%
[GRAPHIC WORM CHART OMITTED: VALUE OF A $10,000 INVESTMENT]
Value of a $10,000 Investment
Class A Shares*2
Large S&P 500/ Russell
Cap Barra 1000 Consumer
Value Value Value Price
Date Fund Index**** Index** Index***
- --------------------------------------------------------------------
October 31, 1999 9,450 10,000 10,000 10,000
1999 9,509 9,941 9,922 10,006
1999 9,854 10,315 9,970 10,006
2000 9,509 9,987 9,644 10,030
2000 9,215 9,363 8,928 10,089
2000 10,134 10,339 10,017 10,172
2000 10,004 10,270 9,901 10,178
2000 9,900 10,302 10,005 10,184
2000 9,874 9,895 9,548 10,244
2000 9,854 10,093 9,667 10,262
2000 10,467 10,770 10,205 10,273
2000 10,160 10,768 10,299 10,327
2000 10,278 10,969 10,552 10,345
2000 9,737 10,407 10,160 10,351
2000 10,043 10,942 10,669 10,345
2001 10,096 11,407 10,710 10,410
2001 9,534 10,651 10,412 10,452
2001 9,083 10,230 10,044 10,476
2001 9,619 10,924 10,537 10,517
2001 9,743 11,039 10,774 10,565
2001 9,455 10,681 10,535 10,583
2001 9,455 10,496 10,512 10,553
2001 9,031 9,890 10,091 10,553
2001 8,364 8,951 9,381 10,600
2001 8,442 8,951 9,300 10,565
2001 8,952 9,519 9,841 10,547
2001 9,086 9,665 10,073 10,505
2002 8,922 9,400 9,995 10,529
2002 8,863 9,316 10,011 10,571
2002 9,296 9,794 10,485 10,630
2002 9,007 9,303 10,125 10,681
2002 9,001 9,340 10,176 10,681
2002 8,404 8,752 9,592 10,687
2002 7,683 7,806 8,700 10,699
2002 7,709 7,860 8,766 10,735
2002 6,923 6,962 7,791 10,752
2002 6,988 7,541 8,368 10,779
2002 7,296 8,070 8,895 10,779
2002 6,962 7,651 8,509 10,755
2003 6,784 7,442 8,303 10,803
2003 6,633 7,239 8,082 10,886
2003 6,639 7,230 8,095 10,951
2003 7,133 7,944 8,808 10,928
2003 7,542 8,528 9,376 10,910
2003 7,641 8,590 9,494 10,922
2003 7,746 8,781 9,635 10,934
2003 7,904 8,971 9,785 10,975
2003 7,805 8,809 9,690 11,011
2003 8,227 9,410 10,282 10,999
2003 8,306 9,495 10,422 10,969
2003 8,800 10,081 11,064 10,957
2004 8,919 10,259 11,259 11,011
2004 9,112 10,491 11,500 11,070
2004 9,045 10,418 11,400 11,142
2004 8,860 10,161 11,121 11,177
2004 8,939 10,278 11,234 11,243
2004 9,158 10,501 11,500 11,278
2004 8,952 10,301 11,338 11,261
2004 9,030 10,412 11,499 11,267
2004 9,136 10,609 11,677 11,290
October 29, 2004 $9,306 $10,769 $11,872 $11,350
Footnotes read:
1 Class A performance has been restated to reflect the maximum sales
charge of 5.5%. Class B performance reflects the maximum contingent
deferred sales charge (CDSC) of 5%, declining 1% each year during the
first five years and then converting to Class A shares after the
fifth year. Institutional Class shares have no sales load and are for
institutional shareholders only.
2 Past performance is not an indication of future results. Annualized
total returns represent past performance and reflect changes in share
prices, the reinvestment of all dividends and capital gains, and the
effects of compounding. Investing in a mutual fund involves risks,
including the possible loss of principal. The prospectus contains
more complete information on the investment objectives, risks,
charges and expenses of the investment company which investors should
read and consider carefully before investing. To obtain a prospectus,
contact a registered representative or visit www.thrivent.com. At
various times, the Fund's adviser waived its management fee and/or
reimbursed Fund expenses. Had the adviser not done so, the Fund's
total returns would have been lower. The returns shown do not reflect
taxes a shareholder would pay on distributions or redemptions. Please
read your prospectus carefully.
* As you compare performance, please note that the Fund's performance
reflects the maximum 5.5% sales charge, while the Russell 1000 Value
Index, the S&P 500/Barra Value Index and the Consumer Price Index do
not reflect any such charges. If you were to purchase any of the
above individual stocks or funds represented in these Indexes, any
charges you would pay would reduce your total return as well.
** The Russell 1000 Value Index is an index comprised of companies with
lower price-to-book ratios and lower forecasted growth rates within
the Russell 1000 Index. It is not possible to invest directly in
these Indexes. The performance of these Indexes does not reflect
deductions for fees, expenses or taxes. The composition of the
Russell 1000 Value Index serves as a better reflection of the Fund's
current investment strategy than does the S&P 500/Barra Value Index.
*** The Consumer Price Index is an inflationary indicator that measures
the change in the cost of a fixed basket of products and services,
including housing, electricity, food and transportation. It is not
possible to invest directly in the Index.
**** The S&P 500/Barra Value Index is an capitalization-weighted index
comprised of the lowest price-to-book ratio securities in the S&P 500
Index. The S&P 500/Barra Value Index is designed so that
approximately one-half of the S&P 500 market capitalization is
characterized as "value" and the other half as "growth." It is not
possible to invest directly in these Indexes. The performance of
these Indexes does not reflect deductions for fees, expenses or
taxes.
[PHOTO OMITTED: FREDERICK L. PLAUTZ]
Thrivent Large Cap Stock Fund
Frederick L. Plautz, Portfolio Manager
The Thrivent Large Cap Stock Fund seeks long-term capital growth by
investing primarily in a diversified portfolio of common stocks and
securities convertible into common stocks.
How did Thrivent Large Cap Stock Fund perform for the six-month period
ended Oct. 31, 2004?
We view the Fund's performance as generally satisfactory relative to its
peer group, but somewhat disappointing versus its benchmark. For the
six-month period, Thrivent Large Cap Stock Fund returned 1.27% versus its
peer group, the Lipper Large Cap Core Funds Category, which returned
1.49%. By comparison, the S&P 500 Index, returned 2.95%, and the Russell
1000 Index returned 3.04%.
What market conditions were present during
the period?
The U.S. stock market traded within a fairly narrow range over the period,
as uncertainty regarding the presidential election, rising oil prices and
concerns around possible geopolitical events seemed to keep the markets
stuck in neutral. Earnings growth began to slow a bit this year off the
heels of a significant rebound in late 2003. As expected, the Federal
Reserve Board (the Fed) raised its target overnight lending rate three
times from June through September, bringing the federal funds rate from
1.00% to 1.75%. Overall, it proved to be a generally "theme-less" market
wherein few individual industries significantly outperformed, and in which
value and performance were best found on a name-by-name basis.
What factors affected Fund performance?
We attribute the Fund's moderate underperformance relative to its
benchmark to the fact that we underweighted both banking and REIT stocks,
which performed well. In our technology exposure, we missed some of the
better-performing names in the Index, particularly select Internet-related
tech stocks. In the consumer staples sector, while we benefited from an
underweighted exposure overall, we did have exposure to some of the
poorest performing stocks in the beverage and food industries, which fared
poorly due to reported earnings disappointments.
[GRAPHIC OMITTED: TOP INDUSTRIES]
Top Industries
(% of Portfolio)
Financials 18.8%
Information Technology 16.3%
Consumer Discretionary 13.1%
Health Care 12.8%
Industrials 12.0%
Consumer Staples 7.6%
Energy 7.2%
Materials 2.8%
Telecommunication Services 2.7%
Utilities 1.5%
Top 10 Holdings
(% of Portfolio)
Microsoft Corporation 3.5%
Exxon Mobil Corporation 3.1%
Citigroup, Inc. 2.8%
Pfizer, Inc. 2.6%
General Electric Company 2.6%
American International Group, Inc. 2.0%
J.P. Morgan Chase & Company 1.9%
Johnson & Johnson 1.9%
Bank of America Corporation 1.9%
American Express Company 1.7%
Footnote reads:
These common stocks represent 24.0% of the total investment portfolio.
Footnotes read:
Quoted Fund performance is for Class A shares and does not reflect a sales
charge.
The returns shown do not reflect taxes a shareholder would pay on
distributions or redemptions.
Quoted Top Industries, Portfolio Composition and Top 10 Holdings are
subject to change.
The list of Top 10 Holdings excludes short term investments and collateral
held for securities loaned.
We have seen a return to a more reasonable investment environment
following the highly speculative advance witnessed in the markets in 2003.
As earnings growth rates have moderated and as the economic recovery has
begun to take on a more balanced tone, we have seen renewed investor
interest in higher-quality segments of industries
and sectors. This type of market environment has favored our investment
process and style over the last three months.
What is your outlook?
We remain cautiously optimistic, and hopeful that the Fed will indeed
pursue price stability in a slow and manageable fashion, which we believe
it will. If this occurs, and if inflation remains at or near historic
lows, we believe both the economy and corporate earnings will continue to
grow at a reasonably good pace, although investors' appetite for risk will
moderate as the recovery matures. This, in general, will bode well for the
large-cap segment of the market and, particularly, the higher-quality
segment of the market, a group we tend to favor over time. We remain
confident as well that our use of quantitative tools will deliver more
consistent returns and steady out-performance relative to our peer group
over the months ahead.
Portfolio Facts
As of October 31, 2004
A Share B Share Institutional Share
------------------ ------------------ ------------------
Ticker AALGX BBLGX IILGX
Transfer Agent ID 017 067 090
Net Assets $3,435,077,218 $122,932,989 $112,345,099
NAV $23.93 $22.21 $24.06
NAV -- High+ 6/8/2004 -- $29.67 6/8/2004 -- $28.01 6/23/2004 -- $29.77
NAV -- Low+ 8/12/2004 -- $22.39 8/12/2004 -- $20.83 8/12/2004 -- $22.49
Number of Holdings: 116 +For the period ended October 31, 2004
Average Annual Total Returns 2
As of October 31, 2004
Class A1 1-Year 5-Year 10-Year
- -----------------------------------------------------------------------
without sales charge 4.89% (2.87%) 10.27%
with sales charge (0.87%) (3.97%) 9.65%
From
Inception
Class B1 1-Year 5-Year 1/8/1997
- -----------------------------------------------------------------------
without sales charge 3.73% (3.92%) 6.06%
with sales charge 0.41% (3.92%) 6.06%
From
Inception
Institutional Class 1-Year 5-Year 12/29/1997
- -----------------------------------------------------------------------
Net Asset Value 5.36% (2.46%) 4.18%
[GRAPHIC WORM CHART OMITTED: VALUE OF A $10,000 INVESTMENT]
Value of a $10,000 Investment
Class A Shares*2
Large Cap Consumer
Stock S&P 500 Price
Date Fund Index** Index***
- -------------------------------------------------------------
October 31, 1994 9,450 10,000 10,000
1994 9,165 9,636 10,013
1994 9,330 9,779 10,013
1995 9,563 10,032 10,054
1995 9,876 10,423 10,094
1995 10,049 10,731 10,127
1995 10,362 11,047 10,161
1995 10,722 11,488 10,181
1995 10,860 11,755 10,201
1995 11,229 12,145 10,201
1995 11,182 12,176 10,227
1995 11,712 12,689 10,247
1995 11,651 12,644 10,281
1995 12,087 13,199 10,274
1995 12,222 13,453 10,268
1996 12,729 13,911 10,328
1996 12,750 14,040 10,361
1996 12,729 14,175 10,415
1996 13,041 14,384 10,455
1996 13,326 14,755 10,475
1996 13,315 14,812 10,482
1996 12,716 14,157 10,502
1996 12,981 14,456 10,522
1996 13,908 15,269 10,555
1996 14,075 15,690 10,589
1996 15,190 16,877 10,609
1996 14,917 16,542 10,609
1997 15,882 17,576 10,642
1997 15,722 17,714 10,676
1997 14,968 16,986 10,702
1997 15,722 18,000 10,716
1997 16,775 19,096 10,709
1997 17,533 19,951 10,722
1997 18,801 21,539 10,736
1997 17,877 20,332 10,756
1997 18,654 21,446 10,783
1997 18,449 20,729 10,809
1997 19,292 21,689 10,803
1997 19,925 22,061 10,789
1998 19,978 22,305 10,809
1998 21,557 23,914 10,829
1998 22,454 25,139 10,850
1998 22,714 25,391 10,870
1998 22,047 24,955 10,890
1998 23,443 25,969 10,903
1998 23,136 25,692 10,916
1998 19,621 21,977 10,930
1998 20,949 23,385 10,943
1998 22,591 25,288 10,970
1998 23,857 26,820 10,970
1998 25,541 28,366 10,963
1999 26,790 29,552 10,990
1999 26,236 28,633 11,003
1999 27,172 29,779 11,037
1999 27,983 30,932 11,117
1999 27,476 30,202 11,117
1999 28,934 31,878 11,117
1999 28,208 30,883 11,151
1999 27,513 30,730 11,177
1999 27,224 29,888 11,231
1999 29,090 31,779 11,251
1999 29,754 32,425 11,258
1999 31,316 34,335 11,258
2000 29,719 32,610 11,284
2000 28,746 31,993 11,351
2000 31,459 35,123 11,445
2000 30,581 34,066 11,452
2000 30,620 33,367 11,458
2000 31,509 34,189 11,525
2000 30,939 33,655 11,545
2000 32,278 35,745 11,559
2000 31,034 33,858 11,619
2000 31,596 33,715 11,639
2000 30,194 31,057 11,646
2000 30,975 31,209 11,639
2001 30,747 32,316 11,712
2001 29,216 29,369 11,759
2001 27,769 27,509 11,786
2001 29,300 29,647 11,833
2001 29,056 29,845 11,886
2001 28,031 29,119 11,906
2001 27,473 28,832 11,873
2001 25,741 27,027 11,873
2001 23,983 24,845 11,926
2001 24,676 25,319 11,886
2001 26,248 27,261 11,866
2001 26,653 27,500 11,819
2002 26,247 27,098 11,846
2002 25,739 26,576 11,893
2002 26,704 27,576 11,960
2002 25,240 25,904 12,027
2002 25,097 25,713 12,027
2002 23,179 23,881 12,033
2002 21,376 22,019 12,047
2002 21,461 22,165 12,087
2002 19,073 19,758 12,107
2002 20,843 21,495 12,137
2002 21,714 22,759 12,137
2002 20,589 21,423 12,111
2003 20,190 20,863 12,164
2003 19,970 20,549 12,258
2003 20,140 20,748 12,331
2003 21,539 22,457 12,305
2003 22,506 23,639 12,285
2003 22,536 23,941 12,298
2003 22,850 24,363 12,311
2003 23,182 24,837 12,358
2003 22,927 24,574 12,398
2003 23,963 25,964 12,385
2003 23,938 26,192 12,352
2003 24,939 27,564 12,338
2004 25,356 28,070 12,398
2004 25,527 28,460 12,465
2004 25,058 28,031 12,546
2004 24,820 27,591 12,586
2004 24,803 27,969 12,659
2004 25,237 28,513 12,700
2004 24,379 27,568 12,680
2004 24,463 27,679 12,686
2004 24,799 27,978 12,713
October 29, 2004 $25,135 $28,406 $12,780
Footnotes read:
1 Class A performance has been restated to reflect the maximum sales
charge of 5.5%. Class B performance reflects the maximum contingent
deferred sales charge (CDSC) of 5%, declining 1% each year during the
first five years and then converting to Class A shares after the fifth
year. Institutional Class shares have no sales load and are for
institutional shareholders only.
2 Past performance is not an indication of future results. Annualized
total returns represent past performance and reflect changes in share
prices, the reinvestment of all dividends and capital gains, and the
effects of compounding. Investing in a mutual fund involves risks,
including the possible loss of principal. The prospectus contains more
complete information on the investment objectives, risks, charges and
expenses of the investment company which investors should read and
consider carefully before investing. To obtain a prospectus, contact a
registered representative or visit www.thrivent.com. At various times,
the Fund's adviser waived its management fee and/or reimbursed Fund
expenses. Had the adviser not done so, the Fund's total returns would
have been lower. The returns shown do not reflect taxes a shareholder
would pay on distributions or redemptions. Please read your prospectus
carefully.
* As you compare performance, please note that the Fund's performance
reflects the maximum 5.5% sales charge, while the S&P 500 Index and
the Consumer Price Index do not reflect any such charges. If you were
to purchase any of the above individual stocks or funds represented in
these Indexes, any charges you would pay would reduce your total
return as well.
** The S&P 500 Index is an index that represents the average performance
of a group of 500 large-capitalization stocks. It is not possible to
invest directly in the Index. The performance of the Index does not
reflect deductions for fees, expenses or taxes.
*** The Consumer Price Index is an inflationary indicator that measures
the change in the cost of a fixed basket of products and services,
including housing, electricity, food and transportation. It is not
possible to invest directly in the Index.
[PHOTO OMITTED: KEVIN R. BRIMMER]
Thrivent Large Cap Index Fund
Kevin R. Brimmer, Portfolio Manager
The Thrivent Large Cap Index Fund seeks total returns that track the
performance of the S&P 500 Index by investing primarily in common stocks
comprising the Index.
How did the Fund perform during the six-month period ended Oct. 31, 2004?
For the six-month period ended Oct. 31, 2004, we are pleased to report
that we achieved the Fund's objective of providing results in line with
the S&P 500 Index, after fees and expenses. The Thrivent Large Cap Index
Fund returned 2.62% for the period while the S&P 500 gained 2.95%. By
comparison, the Fund's peer group, as represented by the Lipper S&P 500
Index Objective Funds Category, posted a median return of 2.70% over the
same time frame.
What market conditions were present during
the period?
The stock market produced modest gains over the six months, an impressive
feat considering the price of oil rose to more than $50 per barrel. As has
typically been the case at the beginning of an economic recovery,
smaller-sized companies produced stronger returns than larger ones.
Investors appeared to be in a holding pattern during the period, as they
waited to find out the results from the November presidential election.
Therefore, volatility -- which has been very high in recent years -- was
historically low throughout the six months.
Growth-oriented stocks in the S&P 500 Index turned in negative results for
the six-month period, significantly underperforming more value-oriented
stocks. On a sector basis, the best performers included energy,
industrials and financials. Companies in the energy and industrial sectors
benefited from strong demand and limited supply as the economic
environment strengthened. Financial stocks continued to profit from the
relatively low level of interest rates.
Only two sectors -- health care and consumer staples --turned in negative
absolute returns for the period. The entire health care sector was
adversely impacted by Merck & Co., approximately 2% of the Index, which
lost almost half its share price after it pulled Vioxx from the market.
The underperformance of consumer staple stocks was not surprising given
that this sector typically does poorly in an expanding economy.
What factors affected the Fund's performance?
Because we use an indexing approach to manage the Fund, we have no active
stock selection process. Our goal is to maintain a fully invested
portfolio that replicates the composition and performance of the S&P 500
Index, while keeping transaction costs to a minimum. The S&P 500 Index is
widely regarded as the best gauge of the U.S. large-cap equities
market and covers all major market sectors. As is typically the case with
index funds, variances in performance relative to the Index are a result
of expenses, transaction costs and minor differences in portfolio
composition.
[GRAPHIC OMITTED: TOP INDUSTRIES]
Top Industries
(% of Portfolio)
Financials 19.8%
Information Technology 15.6%
Health Care 12.2%
Industrials 11.2%
Consumer Discretionary 10.9%
Consumer Staples 10.2%
Energy 7.0%
Telecommunication Services 3.2%
Materials 3.0%
Utilities 2.9%
Top 10 Holdings
(% of Portfolio)
General Electric Company 3.3%
Exxon Mobil Corporation 2.9%
Microsoft Corporation 2.8%
Citigroup, Inc. 2.1%
Wal-Mart Stores, Inc. 2.1%
Pfizer, Inc. 2.0%
Bank of America Corporation 1.7%
Johnson & Johnson 1.6%
American International Group, Inc. 1.4%
International Business Machines Corporation 1.4%
Footnote reads:
These common stocks represent 21.3% of the total investment portfolio.
Footnotes read:
Quoted Fund performance is for Class A shares and does not reflect a sales
charge.
The returns shown do not reflect taxes a shareholder would pay on
distributions or redemptions.
Quoted Top Industries, Portfolio Composition and Top 10 Holdings are
subject to change.
The list of Top 10 Holdings excludes short term investments and collateral
held for securities loaned.
What is your outlook?
We are cautiously optimistic about our outlook for the stock market in the
near term. On the positive side, the economy is growing, the job market is
improving and inflation appears to be contained. Also, despite its recent
campaign to raise interest rates, the Federal Reserve Board has made the
changes at a measured pace. On the negative side, ever-present
geopolitical concerns, even higher oil prices and a dramatic slowdown in
consumer spending present the strongest potential headwinds for continued
economic growth. Now that the November elections are behind us, we believe
market volatility will increase again over the next few months back in
line with historical averages. However, the Thrivent Large Cap Index Fund
should experience lower volatility due to its broad diversification and
exposure to all the market sectors.
Portfolio Facts
As of October 31, 2004
A Share
------------------
Ticker AALCX
Transfer Agent ID 031
Net Assets $76,342,236
NAV $7.78
NAV -- High+ 10/6/2004 -- $7.86
NAV -- Low+ 8/6/2004 -- $7.31
Number of Holdings: 502 +For the period ended October 31, 2004
Average Annual Total Returns 2
As of October 31, 2004
From
Inception
Class A1 1-Year 7/1/2000
- ---------------------------------------------------------
without sales charge 8.72% (5.23%)
with sales charge 2.77% (6.45%)
[GRAPHIC WORM CHART OMITTED: VALUE OF A $10,000 INVESTMENT]
Value of a $10,000 Investment
Class A Shares*2
Large
Cap Consumer
Index S&P 500 Price
Date Fund Index*** Index**
- -------------------------------------------------------
July 1, 2000 9,450 10,000 10,000
2000 9,270 9,743 10,017
2000 9,828 10,348 10,029
2000 9,299 9,802 10,081
2000 9,223 9,761 10,099
2000 8,477 8,991 10,104
2000 8,514 9,035 10,099
2001 8,779 9,356 10,163
2001 7,966 8,503 10,203
2001 7,456 7,964 10,226
2001 8,023 8,583 10,267
2001 8,061 8,640 10,313
2001 7,853 8,430 10,331
2001 7,768 8,347 10,302
2001 7,277 7,825 10,302
2001 6,691 7,193 10,348
2001 6,804 7,330 10,313
2001 7,305 7,892 10,296
2001 7,362 7,961 10,255
2002 7,248 7,845 10,279
2002 7,106 7,694 10,319
2002 7,362 7,983 10,377
2002 6,917 7,499 10,435
2002 6,851 7,444 10,435
2002 6,360 6,914 10,441
2002 5,878 6,375 10,453
2002 5,916 6,417 10,488
2002 5,283 5,720 10,505
2002 5,736 6,223 10,531
2002 6,057 6,589 10,531
2002 5,703 6,202 10,508
2003 5,551 6,040 10,554
2003 5,466 5,949 10,636
2003 5,494 6,007 10,700
2003 5,978 6,501 10,676
2003 6,282 6,843 10,659
2003 6,367 6,931 10,671
2003 6,472 7,053 10,682
2003 6,595 7,190 10,723
2003 6,519 7,114 10,758
2003 6,889 7,517 10,746
2003 6,946 7,583 10,717
2003 7,299 7,980 10,705
2004 7,433 8,126 10,758
2004 7,538 8,239 10,816
2004 7,423 8,115 10,885
2004 7,299 7,988 10,920
2004 7,393 8,097 10,984
2004 7,538 8,255 11,019
2004 7,278 7,981 11,002
2004 7,307 8,013 11,007
2004 7,384 8,100 11,031
October 29, 2004 $7,490 $8,224 $11,089
Footnotes read:
1 Class A performance has been restated to reflect the maximum sales
charge of 5.5%. Class B performance reflects the maximum contingent
deferred sales charge (CDSC) of 5%, declining 1% each year during the
first five years and then converting to Class A shares after the fifth
year.
2 Past performance is not an indication of future results. Annualized
total returns represent past performance and reflect changes in share
prices, the reinvestment of all dividends and capital gains, and the
effects of compounding. Investing in a mutual fund involves risks,
including the possible loss of principal. The prospectus contains more
complete information on the investment objectives, risks, charges and
expenses of the investment company which investors should read and
consider carefully before investing. To obtain a prospectus, contact a
registered representative or visit www.thrivent.com. At various times,
the Fund's adviser waived its management fee and/or reimbursed Fund
expenses. Had the adviser not done so, the Fund's total returns would
have been lower. The returns shown do not reflect taxes a shareholder
would pay on distributions or redemptions. Please read your prospectus
carefully.
* As you compare performance, please note that the Fund's performance
reflects the maximum 5.5% sales charge, while the Consumer Price Index
and the S&P 500 Index do not reflect any such charges. If you were to
purchase any of the above individual stocks or funds represented in
these Indexes, any charges you would pay would reduce your total
return as well.
** The Consumer Price Index is an inflationary indicator that measures
the change in the cost of a fixed basket of products and services,
including housing, electricity, food and transportation. It is not
possible to invest directly in the Index.
*** The S&P 500 Index is an index that represents the average performance
of a group of 500 large-capitalization stocks. "S&P 500[R]" is a
trademark of The McGraw-Hill Companies, Inc. and has been licensed for
use by Thrivent Financial for Lutherans. The product is not sponsored,
endorsed or promoted by Standard & Poor's and Standard & Poor's makes
no representation regarding the advisability of investing in the
product. Index funds are subject to the same market risks associated
with the stocks in their respective indexes. It is not possible to
invest directly in the Index. The performance of the Index does not
reflect deductions for fees, expenses or taxes.
[PHOTO OMITTED: KEVIN R. BRIMMER]
Thrivent Large Cap Index Fund-I
Kevin R. Brimmer, Portfolio Manager
The Thrivent Large Cap Index Fund-I seeks total returns that track the
performance of the S&P 500 Index by investing primarily in common stocks
comprising the Index.
How did the Fund perform during the six-month period ended Oct. 31, 2004?
For the six-month period ended Oct. 31, 2004, we are pleased to report
that we achieved the Fund's objective of providing results in line with
the S&P 500 Index, after fees and expenses. The Thrivent Large Cap Index
Fund I returned 2.78% for the period while the S&P 500 gained 2.95%. By
comparison, the Fund's peer group, as represented by the Lipper S&P 500
Index Objective Funds Category, posted a median return of 2.70% over the
same time frame.
What market conditions were present during
the period?
The stock market produced modest gains over the six months, an impressive
feat considering the price of oil rose to more than $50 per barrel. As has
typically been the case at the beginning of an economic recovery,
smaller-sized companies produced stronger returns than larger ones.
Investors appeared to be in a holding pattern during the period, as they
waited to find out the results from the November presidential election.
Therefore, volatility -- which has been very high in recent years -- was
historically low throughout the six months.
Growth-oriented stocks in the S&P 500 Index turned in negative results for
the six-month period, significantly underperforming more value-oriented
stocks. On a sector basis, the best performers included energy,
industrials and financials. Companies in the energy and industrial sectors
benefited from strong demand and limited supply as the economic
environment strengthened. Financial stocks continued to profit from the
relatively low level of interest rates.
Only two sectors -- health care and consumer staples -- turned in negative
absolute returns for the period. The entire health care sector was
adversely impacted by Merck & Co., approximately 2% of the Index, which
lost almost half its share price after it pulled Vioxx from the market.
The underperformance of consumer staple stocks was not surprising given
that this sector typically does poorly in an expanding economy.
What factors affected the Fund's performance?
Because we use an indexing approach to manage the Fund, we have no active
stock selection process. Our goal is to maintain a fully invested
portfolio that replicates the composition and performance of the S&P 500
Index, while keeping transaction costs to a minimum. The S&P 500 Index is
widely regarded as the best gauge of the U.S. large-cap equities market and
covers all major market sectors. As is typically the case with index funds,
variances in performance relative to the Index are a result of expenses,
transaction costs and minor differences in portfolio composition.
[GRAPHIC OMITTED: TOP INDUSTRIES]
Top Industries
(% of Portfolio)
Financials 20.1%
Information Technology 16.0%
Health Care 12.5%
Industrials 11.3%
Consumer Discretionary 11.1%
Consumer Staples 10.4%
Energy 7.2%
Telecommunication Services 3.2%
Materials 3.0%
Utilities 3.0%
Top 10 Holdings
(% of Portfolio)
General Electric Company 3.3%
Exxon Mobil Corporation 3.0%
Microsoft Corporation 2.8%
Citigroup, Inc. 2.1%
Wal-Mart Stores, Inc. 2.1%
Pfizer, Inc. 2.0%
Bank of America Corporation 1.7%
Johnson & Johnson 1.6%
American International Group, Inc. 1.5%
International Business Machines Corporation 1.4%
Footnote reads:
These common stocks represent 21.5% of the total investment portfolio.
Footnotes read:
Quoted Fund performance is for Class A shares and does not reflect a sales
charge.
The returns shown do not reflect taxes a shareholder would pay on
distributions or redemptions.
Quoted Top Industries, Portfolio Composition and Top 10 Holdings are
subject to change.
The list of Top 10 Holdings excludes short term investments and collateral
held for securities loaned.
What is your outlook?
We are cautiously optimistic about our outlook for the stock market in the
near term. On the positive side, the economy is growing, the job market is
improving and inflation appears to be contained. Also, despite its recent
campaign to raise interest rates, the Federal Reserve Board has made the
changes at a measured pace. On the negative side, ever-present
geopolitical concerns, even higher oil prices and a dramatic slowdown in
consumer spending present the strongest potential headwinds for continued
economic growth. Now that the November elections are behind us, we believe
market volatility will increase again over the next few months back in
line with historical averages. However, the Thrivent Large Cap Index Fund
should experience lower volatility due to its broad diversification and
exposure to all the market sectors.
Portfolio Facts
As of October 31, 2004
Institutional Share
--------------------
Ticker IILCX
Transfer Agent ID 096
Net Assets $29,431,534
NAV $7.76
NAV -- High+ 10/6/2004 -- $7.83
NAV -- Low+ 8/6/2004 -- $7.28
Number of Holdings: 502 +For the period ended October 31, 2004
Average Annual Total Returns 2
As of October 31, 2004
From
Inception
Institutional Class1 1-Year 12/31/1999
- ---------------------------------------------------------
Net Asset Value 8.84% (4.15%)
[GRAPHIC WORM CHART OMITTED: VALUE OF A $10,000 INVESTMENT]
Value of a $10,000 Investment
Institutional Class Shares*2
Large
Cap Consumer
Index S&P 500 Price
Date Fund-I Index*** Index**
- -------------------------------------------------------
December 31, 1999 10,000 10,000 10,000
2000 9,530 9,498 10,024
2000 9,360 9,318 10,083
2000 10,270 10,229 10,166
2000 9,950 9,922 10,172
2000 9,740 9,718 10,178
2000 9,990 9,958 10,238
2000 9,840 9,802 10,255
2000 10,450 10,411 10,267
2000 9,900 9,861 10,321
2000 9,850 9,819 10,339
2000 9,070 9,045 10,345
2000 9,113 9,089 10,339
2001 9,426 9,412 10,404
2001 8,558 8,554 10,446
2001 8,023 8,012 10,469
2001 8,639 8,634 10,511
2001 8,690 8,692 10,559
2001 8,488 8,481 10,576
2001 8,397 8,397 10,547
2001 7,872 7,872 10,547
2001 7,236 7,236 10,594
2001 7,347 7,374 10,559
2001 7,902 7,940 10,541
2001 7,965 8,009 10,499
2002 7,853 7,892 10,523
2002 7,700 7,740 10,564
2002 7,985 8,031 10,624
2002 7,497 7,544 10,683
2002 7,446 7,489 10,683
2002 6,918 6,955 10,689
2002 6,390 6,413 10,701
2002 6,431 6,455 10,737
2002 5,740 5,754 10,755
2002 6,238 6,260 10,781
2002 6,593 6,629 10,781
2002 6,207 6,239 10,758
2003 6,043 6,076 10,805
2003 5,950 5,985 10,888
2003 5,991 6,043 10,954
2003 6,496 6,540 10,930
2003 6,835 6,885 10,912
2003 6,918 6,973 10,924
2003 7,031 7,096 10,936
2003 7,165 7,234 10,978
2003 7,082 7,157 11,013
2003 7,484 7,562 11,001
2003 7,535 7,628 10,972
2003 7,935 8,028 10,960
2004 8,072 8,175 11,013
2004 8,187 8,289 11,073
2004 8,061 8,164 11,144
2004 7,925 8,036 11,180
2004 8,030 8,146 11,245
2004 8,187 8,304 11,281
2004 7,914 8,029 11,263
2004 7,946 8,061 11,269
2004 8,019 8,149 11,293
October 29, 2004 $8,145 $8,273 $11,352
Footnotes read:
1 Institutional Class shares have no sales load and are for
institutional shareholders only.
2 Past performance is not an indication of future results. Annualized
total returns represent past performance and reflect changes in share
prices, the reinvestment of all dividends and capital gains, and the
effects of compounding. Investing in a mutual fund involves risks,
including the possible loss of principal. The prospectus contains more
complete information on the investment objectives, risks, charges and
expenses of the investment company which investors should read and
consider carefully before investing. To obtain a prospectus, contact a
registered representative or visit www.thrivent.com. At various times,
the Fund's adviser waived its management fee and/or reimbursed Fund
expenses. Had the adviser not done so, the Fund's total returns would
have been lower. The returns shown do not reflect taxes a shareholder
would pay on distributions or redemptions. Please read your prospectus
carefully.
* As you compare performance, please note that the Fund's performance
reflects Fund expenses, net of any reimbursements, while the Consumer
Price Index and the S&P 500 Index do not reflect such charges. If you
were to purchase any of the above individual stocks or funds
represented in these Indexes, any charges you would pay would reduce
your total return as well.
** The Consumer Price Index is an inflationary indicator that measures
the change in the cost of a fixed basket of products and services,
including housing, electricity, food and transportation. It is not
possible to invest directly in the Index.
*** The S&P 500 Index is an index that represents the average performance
of a group of 500 large-capitalization stocks. "S&P 500[R]" is a
trademark of The McGraw-Hill Companies, Inc. and has been licensed for
use by Thrivent Financial for Lutherans. The product is not sponsored,
endorsed or promoted by Standard & Poor's and Standard & Poor's makes
no representation regarding the advisability of investing in the
product. Index funds are subject to the same market risks associated
with the stocks in their respective indexes. It is not possible to
invest directly in the Index. The performance of the Index does not
reflect deductions for fees, expenses or taxes.
Thrivent Balanced Fund
The AAL Balanced Fund seeks long-term total return through a balance
between income and the potential for long-term capital growth by investing
primarily in a diversified portfolio of common stocks, bonds and money
market instruments.
During the reporting period, Thrivent Investment Management conducted an
analysis of balanced fund competitors and determined that a change in
tactics was appropriate for the equity portion of the Fund. In June,
management of the equity portfolio was shifted to our team of fundamental
research analysts led by the Director of Equity Research. This move
brought the Fund, which is now managed by a team of equity and fixed
income investment professionsals, more in line with the competition by
diversifying it more broadly among value- and growth-oriented stocks and
moving it to a multi-capitalization investment strategy. With this change,
we expect to achieve more consistent equity results versus other balanced
funds.
How did the Fund perform during the six-month period ended Oct. 31, 2004?
Fund performance was disappointing for the six months ended Oct. 31, 2004.
The Thrivent Balanced Fund returned 2.21% during the period,
underperforming its Lipper peer group and its equity and fixed income
benchmarks. Its peer group, as represented by the Lipper Balanced Funds
Category, posted a median return of 3.00% for the period. The Fund's
previous equity benchmark, the S&P 500 Index, gained 2.95%, and its
current equity benchmark, the S&P Composite 1500 Index, returned 3.21%.
Because the S&P Composite 1500 Index is more broad and representative of
the companies in which the Fund invests, it will be used to compare
performance in the future. The Fund's fixed income benchmark, the Lehman
Brothers Aggregate Bond Index, returned 4.23% for the six-month period.
What market conditions were present during
the period?
In general, fixed income and equity markets moved higher over the past six
months. Despite three hikes in the federal funds rate during the period,
bond prices advanced and interest rates declined based on investors'
concerns over a slowing economy, higher oil prices and heightened
geopolitical instability. Stocks advanced more modestly in the period led
by the energy and industrial sectors of the market. Energy prices rose
more than 60% in less than six months due to supply disruptions from the
hurricane season, instability in major energy-producing regions and
continued robust demand, particularly from China and India. Rising energy
costs dampened growth expectations which, in turn, impacted the outlook
for stock prices.
What factors affected the Fund's performance?
Fund returns for the six-month period were below median primarily for two
reasons. First, as a result of our conservative market outlook, we
allocated too much of the Fund to short-term investments that fell short
of bond and stock returns. Second, our stocks did not perform as well as
the broad market, particularly in the small- and mid-cap segments.
Although our equity portfolio provided respectable absolute returns, its
traditional bias toward large-capitalization, high-quality stocks did not
allow it to keep pace with the broader indices. On the fixed income side,
our bond portfolio performed in line with its market benchmark.
[GRAPHIC OMITTED: TOP INDUSTRIES]
Top Industries
(% of Portfolio)
Financials 14.1%
Information Technology 9.6%
Consumer Discretionary 8.2%
Health Care 6.7%
Industrials 6.2%
Consumer Staples 5.4%
Mortgage-Backed Securities 5.4%
Energy 4.7%
Commerical Mortgage Backed Securities 4.3%
Utilities 4.2%
Top 10 Holdings
(% of Portfolio)
Federal National Mortgage Association
30-Yr. Conventional 4.0%
Exxon Mobil Corporation 1.6%
General Electric Company 1.6%
Microsoft Corporation 1.4%
Federal National Mortgage Association
15-Yr. Conventional 1.3%
Federal National Mortgage Association 1.2%
Wal-Mart Stores, Inc. 1.2%
Pfizer, Inc. 1.2%
Citigroup, Inc. 1.1%
Federal National Mortgage Association 1.1%
Footnote reads:
These common stocks and long term fixed income securities represent 15.7%
of the total investment portfolio.
Footnotes read:
Quoted Fund performance is for Class A shares and does not reflect a sales
charge.
The returns shown do not reflect taxes a shareholder would pay on
distributions or redemptions.
Quoted Top Industries, Portfolio Composition and Top 10 Holdings are
subject to change.
Top Industries represent long term non-government holdings.
The list of Top 10 Holdings excludes short term investments and collateral
held for securities loaned.
What is your outlook?
Our outlook calls for the economic recovery to continue into 2005.
Economic growth, which is likely to remain uneven but positive, should
lead to continued moderate improvements in the labor market and increased
capital spending. While inflation may rise cyclically, we believe it will
remain under control. Unless we see a significant increase in strong
economic data, we believe interest rates will move gradually higher with
greater upward pressure on short-term rates. We currently do not see any
economic or fiscal factors that would lead Federal Reserve policymakers to
raise rates more aggressively. Although higher energy prices have
disrupted the economic growth rate, our position is that oil prices
greater than $50/barrel are not sustainable for an extended period,
barring some unforeseen event. Stocks will likely continue to provide
attractive returns but at a moderate pace.
Portfolio Facts
As of October 31, 2004
A Share B Share Institutional Share
------------------ ------------------ ------------------
Ticker AABFX BBBFX IBBFX
Transfer Agent ID 026 085 056
Net Assets $278,463,455 $17,608,337 $108,472,465
NAV $11.81 $11.76 $11.80
NAV -- High+ 10/6/2004 -- $11.82 10/6/2004 -- $11.77 10/29/2004 -- $11.80
NAV -- Low+ 8/12/2004 -- $11.22 8/12/2004 -- $11.17 8/12/2004 -- $11.22
Number of Holdings: 478 +For the period ended October 31, 2004
Average Annual Total Returns 2
As of October 31, 2004
From
Inception
Class A1 1-Year 5-Year 12/29/1997
- -----------------------------------------------------------------------
without sales charge 4.92% 1.59% 4.64%
with sales charge (0.88%) 0.45% 3.78%
From
Inception
Class B1 1-Year 5-Year 12/29/1997
- -----------------------------------------------------------------------
without sales charge 3.92% 0.67% 3.96%
with sales charge (0.08%) 0.67% 3.96%
From
Inception
Institutional Class 1-Year 5-Year 12/29/1997
- -----------------------------------------------------------------------
Net Asset Value 5.43% 2.03% 5.03%
[GRAPHIC WORM CHART OMITTED: VALUE OF A $10,000 INVESTMENT]
Value of a $10,000 Investment
Class A Shares*2
Lehman
Brothers Consumer
Balanced S&P 500 S&P 1500 Aggregate Price
Date Fund Index**** Index*** Bond Index** Index*****
- -------------------------------------------------------------------------------
December 29, 1997 9,450 10,000 10,000 10,000 10,000
1997 9,450 10,180 10,195 10,008 9,988
1998 9,507 10,293 10,263 10,136 10,006
1998 9,932 11,035 11,022 10,129 10,025
1998 10,175 11,599 11,573 10,164 10,043
1998 10,241 11,716 11,697 10,217 10,062
1998 10,099 11,515 11,445 10,314 10,080
1998 10,502 11,982 11,855 10,401 10,093
1998 10,426 11,855 11,670 10,423 10,105
1998 9,569 10,143 9,921 10,593 10,118
1998 10,024 10,793 10,581 10,841 10,130
1998 10,416 11,670 11,435 10,783 10,155
1998 10,722 12,377 12,114 10,845 10,155
1998 11,155 13,090 12,878 10,877 10,149
1999 11,481 13,637 13,311 10,955 10,173
1999 11,270 13,213 12,853 10,764 10,186
1999 11,519 13,742 13,346 10,823 10,217
1999 11,721 14,274 13,911 10,858 10,291
1999 11,548 13,937 13,629 10,762 10,291
1999 11,829 14,710 14,384 10,728 10,291
1999 11,655 14,251 13,955 10,683 10,322
1999 11,499 14,180 13,840 10,677 10,347
1999 11,489 13,792 13,470 10,801 10,396
1999 11,908 14,664 14,285 10,841 10,415
1999 12,065 14,963 14,615 10,840 10,421
1999 12,378 15,844 15,485 10,788 10,421
2000 12,024 15,048 14,739 10,753 10,446
2000 11,877 14,763 14,612 10,883 10,508
2000 12,489 16,207 15,963 11,026 10,594
2000 12,281 15,720 15,482 10,994 10,601
2000 12,271 15,397 15,169 10,989 10,607
2000 12,552 15,777 15,549 11,218 10,669
2000 12,482 15,530 15,333 11,320 10,687
2000 12,811 16,494 16,345 11,484 10,700
2000 12,592 15,624 15,543 11,556 10,755
2000 12,743 15,558 15,449 11,633 10,774
2000 12,522 14,331 14,225 11,823 10,780
2000 12,788 14,401 14,407 12,042 10,774
2001 12,808 14,912 14,905 12,239 10,842
2001 12,525 13,552 13,596 12,346 10,885
2001 12,295 12,694 12,729 12,408 10,910
2001 12,662 13,680 13,744 12,356 10,954
2001 12,621 13,772 13,858 12,431 11,003
2001 12,381 13,437 13,565 12,478 11,022
2001 12,371 13,305 13,424 12,757 10,991
2001 12,011 12,472 12,629 12,903 10,991
2001 11,654 11,465 11,545 13,053 11,040
2001 11,933 11,683 11,803 13,326 11,003
2001 12,316 12,579 12,702 13,143 10,985
2001 12,402 12,690 12,875 13,059 10,941
2002 12,319 12,505 12,706 13,165 10,966
2002 12,194 12,263 12,480 13,292 11,009
2002 12,361 12,725 12,998 13,071 11,071
2002 12,027 11,953 12,306 13,325 11,133
2002 12,027 11,865 12,190 13,438 11,133
2002 11,536 11,020 11,329 13,554 11,139
2002 11,053 10,161 10,404 13,718 11,152
2002 11,148 10,228 10,471 13,949 11,189
2002 10,504 9,117 9,374 14,175 11,207
2002 11,011 9,919 10,146 14,110 11,235
2002 11,264 10,502 10,740 14,106 11,235
2002 10,993 9,886 10,132 14,398 11,211
2003 10,877 9,627 9,862 14,411 11,260
2003 10,877 9,482 9,702 14,610 11,347
2003 10,927 9,574 9,794 14,598 11,415
2003 11,438 10,363 10,593 14,719 11,390
2003 11,842 10,908 11,185 14,993 11,372
2003 11,853 11,047 11,333 14,963 11,384
2003 11,821 11,242 11,562 14,460 11,397
2003 11,949 11,461 11,824 14,556 11,440
2003 11,991 11,340 11,686 14,941 11,477
2003 12,281 11,981 12,378 14,802 11,465
2003 12,292 12,086 12,527 14,837 11,434
2003 12,636 12,720 13,128 14,988 11,421
2004 12,809 12,953 13,378 15,109 11,477
2004 12,916 13,133 13,578 15,272 11,539
2004 12,813 12,935 13,409 15,387 11,613
2004 12,607 12,732 13,172 14,987 11,651
2004 12,575 12,906 13,361 14,927 11,719
2004 12,742 13,157 13,643 15,011 11,756
2004 12,459 12,721 13,164 15,160 11,737
2004 12,557 12,772 13,203 15,449 11,744
2004 12,700 12,911 13,387 15,491 11,768
October 29, 2004 $12,886 $13,108 $13,594 $15,621 $11,830
Footnotes read:
1 Class A performance has been restated to reflect the maximum sales
charge of 5.5%. Class B performance reflects the maximum contingent
deferred sales charge (CDSC) of 5%, declining 1% each year during
the first five years and then converting to Class A shares after the
fifth year. Institutional Class shares have no sales load and are
for institutional shareholders only.
2 Past performance is not an indication of future results. Annualized
total returns represent past performance and reflect changes in
share prices, the reinvestment of all dividends and capital gains,
and the effects of compounding. Investing in a mutual fund involves
risks, including the possible loss of principal. The prospectus
contains more complete information on the investment objectives,
risks, charges and expenses of the investment company which
investors should read and consider carefully before investing. To
obtain a prospectus, contact a registered representative or visit
www.thrivent.com. At various times, the Fund's adviser waived its
management fee and/or reimbursed Fund expenses. Had the adviser not
done so, the Fund's total returns would have been lower. The returns
shown do not reflect taxes a shareholder would pay on distributions
or redemptions. Please read your prospectus carefully.
* As you compare performance, please note that the Fund's performance
reflects the maximum 5.5% sales charge, while the Lehman Brothers
Aggregate Bond Index, the S&P 500 Index and the Consumer Price Index
do not reflect any such charges. If you were to purchase any of the
above individual stocks or funds represented in these Indexes, any
charges you would pay would reduce your total return as well.
** The Lehman Brothers Aggregate Bond Index is an index that measures
the performance of U.S. investment grade bonds. It is not possible
to invest directly in the Index. The performance of the Index does
not reflect deductions for fees, expenses or taxes.
*** The S&P 1500 Index is an index that represents the performance of a
group of 1500 publicly traded stocks. It is not possible to invest
directly in the Index. The performance of the Index does not reflect
deductions for fees, expenses or taxes.
**** The S&P 500 Index is an index that represents the average
performance of a group of 500 large-capitalization stocks. It is not
possible to invest directly in the Index. The performance of the
Index does not reflect deductions for fees, expenses or taxes.
***** The Consumer Price Index is an inflationary indicator that measures
the change in the cost of a fixed basket of products and services,
including housing, electricity, food and transportation. It is not
possible to invest directly in the Index.
[PHOTOS OMITTED: PAUL J. OCENASEK AND MARK L. SIMENSTAD]
Thrivent High Yield Fund
Paul J. Ocenasek (left) and Mark L. Simenstad (right), Portfolio
Co-Managers
The Thrivent High Yield Fund seeks high current income and, secondarily,
growth of capital by investing primarily in a diversified portfolio of
high-yield ("junk") corporate bonds.*
How did Thrivent High Yield Fund perform for the 12-month period ended
Oct. 31, 2004?
We are quite pleased with the Fund's performance for the 12-month period
under review, during which the Fund solidly outperformed the median of its
peer group and only slightly underperformed its benchmark. Thrivent High
Yield Fund returned 11.53% versus the Fund's peer group, the Lipper High
Current Yield Funds Category, which returned 5.74%. The Lehman Brothers
High Yield Bond Index returned 12.32% for the same time frame. We find
these results especially rewarding given that the Fund substantially
outperformed most segments of both the bond and stock markets despite some
intra-period volatility within the high-yield bond sector.
What market conditions were present during
the period?
Relative stability characterized the high-yield bond market for most of
the 12-month review period, with the lower and upper tiers of the quality
spectrum performing within a tight range for the first half of the period,
and lower-quality (CCC-rated) debt breaking out and outperforming in the
latter half of the year. In general, high-yield bonds ended 2003 on a
strong note, supported by improving fundamentals, low levels of default
and a historically low interest-rate environment. As the period
progressed, investor's appetite for yield -- and consequently, their risk
tolerance -- remained robust, allowing the high-yield sector to continue
to outperform many other areas of the fixed-income markets.
What factors affected Fund performance?
First, individual credit selection proved to offer the most substantial
benefit to performance for the year on both a relative and absolute basis.
Second, increasing the Fund's exposure to bonds issued by companies in
cyclical industries, such as chemicals, metals and mining, forest products
and housing, which outperformed the general high-yield market, added to
returns. Finally, we trimmed our exposure to consumer cyclical-related
bonds which we believed would suffer should the economic recovery stall
somewhat, such as retail, airlines and automotive bonds. This, too, proved
to be a boon to Fund performance, as many of these bonds performed poorly
due to weakened demand, price pressures and increased competition.
Therefore, our underweighted exposure to these types of bonds helped
performance overall this year.
Detracting from performance this period was the overall ratings
profile for the Fund. We remained underweighted in our exposure to the
riskier credits, such as CCC-rated bonds, which proved to be the
better-performing segments of the high-yield bond universe,
particularly in the second half of the period. Essentially, this is
the reason we slightly underperformed our benchmark this period, as
the Lehman Index typically holds more CCC-rated credits than either
the Fund or our peer group will. However, we are confident that we
successfully managed the Fund's inherent risk profile by
underweighting the riskier segments of the high-yield bond universe,
and forfeited only marginal returns as a result.
[GRAPHIC OMITTED: TOP INDUSTRIES]
Top Industries
(% of Portfolio)
Communications Services 18.2%
Consumer Cyclical 14.2%
Basic Materials 11.5%
Utilities 9.9%
Capital Goods 9.4%
Consumer Non-Cyclical 6.6%
Energy 5.2%
Technology 3.1%
Financials 1.7%
Transportation 1.2%
[GRAPHIC OMITTED: MOODY'S BOND QUALITY RATINGS DISTRIBUTIONS]
Moody's Bond Quality
Ratings Distributions
Aaa 0.0%
Aa 0.2%
A 0.0%
Baa 2.5%
Ba 27.5%
B 57.9%
Caa 6.6%
Ca 0.0%
C 0.0%
D 0.0%
Not Rated 5.3%
Footnotes read:
* High-yield bonds carry greater volatility and risk than investment-grade
bonds.
Quoted Fund performance is for Class A shares and does not reflect a sales
charge.
The returns shown do not reflect taxes a shareholder would pay on
distributions or redemptions.
Quoted Top Industries, Portfolio Composition and Moody's Bond Quality
Ratings Distributions are subject to change.
What is your outlook?
We have shifted the Fund's portfolio somewhat to include more
cyclical-related credits, which typically perform well in a growing
economy. We believe this move positions the Fund well for the continued
economic recovery we expect over 2005. Additionally, because the backdrop
for the high-yield market remains favorable, we increased our exposure to
lower-tier, higher-yielding credits, in anticipation of what we believe
will be a "coupon clipping" environment as interest rates creep upward,
which we expect in 2005. Overall, we hold a generally optimistic outlook
given good prospects for the economy and corporate profits, which should
bode well for high-yield bonds over the months ahead.
Portfolio Facts
As of October 31, 2004
A Share B Share Institutional Share
------------------ ------------------ ------------------
Ticker LBHYX LUHBX LBHIX
Transfer Agent ID 73 373 473
Net Assets $603,087,934 $33,080,071 $10,071,017
NAV $5.24 $5.24 $5.24
NAV -- High+ 1/26/2004 -- $5.28 1/26/2004 -- $5.28 1/22/2004 -- $5.28
NAV -- Low+ 5/17/2004 -- $4.95 5/17/2004 -- $4.95 5/14/2004 -- $4.95
Number of Holdings: 263 +For the year ended October 31, 2004
Average Annual Total Returns 2
As of October 31, 2004
Class A1 1-Year 5-Year 10-Year
- -----------------------------------------------------------------------
without sales charge 11.53% 1.84% 4.86%
with sales charge 6.49% 0.91% 4.38%
From
Inception
Class B1 1-Year 5-Year 10/31/1997
- -----------------------------------------------------------------------
without sales charge 10.66% 1.11% 1.01%
with sales charge 6.66% 1.11% 1.01%
From
Inception
Institutional Class 1-Year 5-Year 10/31/1997
- -----------------------------------------------------------------------
Net Asset Value 11.98% 2.20% 1.89%
[GRAPHIC WORM CHART OMITTED: VALUE OF A $10,000 INVESTMENT]
Value of a $10,000 Investment
Class A Shares**2
Lehman
Brothers
High
High Yield Consumer
Yield Bond Price
Date Fund Index** Index***
- ---------------------------------------------------------
October 31, 1994 9,550 10,000 10,000
1994 9,320 9,874 10,013
1994 9,278 9,947 10,013
1995 9,319 10,082 10,054
1995 9,675 10,427 10,094
1995 9,774 10,540 10,127
1995 10,010 10,808 10,161
1995 10,213 11,111 10,181
1995 10,268 11,181 10,201
1995 10,592 11,322 10,201
1995 10,636 11,358 10,227
1995 10,728 11,497 10,247
1995 10,785 11,568 10,281
1995 10,914 11,670 10,274
1995 11,076 11,854 10,268
1996 11,341 12,063 10,328
1996 11,632 12,072 10,361
1996 11,519 12,064 10,415
1996 11,579 12,090 10,455
1996 11,689 12,163 10,475
1996 11,598 12,264 10,482
1996 11,507 12,321 10,502
1996 11,697 12,454 10,522
1996 12,082 12,754 10,555
1996 12,041 12,852 10,589
1996 12,143 13,105 10,609
1996 12,290 13,200 10,609
1997 12,435 13,328 10,642
1997 12,595 13,549 10,676
1997 12,199 13,347 10,702
1997 12,198 13,488 10,716
1997 12,666 13,776 10,709
1997 13,011 13,967 10,722
1997 13,458 14,351 10,736
1997 13,499 14,318 10,756
1997 13,910 14,602 10,783
1997 13,778 14,615 10,809
1997 13,806 14,755 10,803
1997 13,946 14,884 10,789
1998 14,229 15,152 10,809
1998 14,425 15,241 10,829
1998 14,606 15,384 10,850
1998 14,529 15,445 10,870
1998 14,483 15,498 10,890
1998 14,546 15,554 10,903
1998 14,623 15,643 10,916
1998 13,473 14,779 10,930
1998 13,283 14,846 10,943
1998 13,013 14,542 10,970
1998 13,641 15,145 10,970
1998 13,675 15,162 10,963
1999 13,889 15,387 10,990
1999 13,838 15,296 11,003
1999 13,989 15,442 11,037
1999 14,437 15,742 11,117
1999 14,175 15,528 11,117
1999 14,272 15,495 11,117
1999 14,350 15,558 11,151
1999 14,152 15,386 11,177
1999 14,074 15,275 11,231
1999 14,014 15,174 11,251
1999 14,327 15,352 11,258
1999 14,639 15,525 11,258
2000 14,668 15,458 11,284
2000 14,953 15,488 11,351
2000 14,668 15,162 11,445
2000 14,438 15,186 11,452
2000 14,149 15,031 11,458
2000 14,388 15,337 11,525
2000 14,283 15,454 11,545
2000 14,238 15,559 11,559
2000 13,939 15,423 11,619
2000 13,283 14,929 11,639
2000 12,105 14,338 11,646
2000 12,252 14,615 11,639
2001 13,242 15,710 11,712
2001 13,254 15,919 11,759
2001 12,664 15,544 11,786
2001 12,383 15,351 11,833
2001 12,521 15,627 11,886
2001 12,081 15,189 11,906
2001 12,114 15,412 11,873
2001 12,235 15,594 11,873
2001 11,405 14,546 11,926
2001 11,757 14,906 11,886
2001 12,068 15,450 11,866
2001 12,040 15,387 11,819
2002 12,194 15,494 11,846
2002 11,922 15,278 11,893
2002 12,161 15,645 11,960
2002 12,261 15,889 12,027
2002 12,030 15,807 12,027
2002 11,244 14,642 12,033
2002 10,791 14,002 12,047
2002 10,914 14,401 12,087
2002 10,716 14,212 12,107
2002 10,593 14,088 12,137
2002 11,245 14,961 12,137
2002 11,200 15,170 12,111
2003 11,517 15,675 12,164
2003 11,707 15,868 12,258
2003 12,047 16,325 12,331
2003 12,626 17,293 12,305
2003 12,707 17,471 12,285
2003 13,082 17,974 12,298
2003 12,952 17,776 12,311
2003 13,135 17,981 12,358
2003 13,469 18,472 12,398
2003 13,771 18,845 12,385
2003 13,910 19,131 12,352
2003 14,235 19,564 12,338
2004 14,459 19,938 12,398
2004 14,435 19,887 12,465
2004 14,506 20,023 12,546
2004 14,457 19,886 12,586
2004 14,254 19,549 12,659
2004 14,444 19,830 12,700
2004 14,616 20,099 12,680
2004 14,853 20,494 12,686
2004 15,060 20,791 12,713
October 29, 2004 $15,365 $21,167 $12,780
Footnotes read:
1 Class A performance has been restated to reflect the maximum sales
charge of 4.5%. Class B performance reflects the maximum contingent
deferred sales charge (CDSC) of 5%, declining 1% each year during the
first five years and then converting to Class A shares after the
fifth year. Institutional Class shares have no sales load and are for
institutional shareholders only.
2 Past performance is not an indication of future results. Annualized
total returns represent past performance and reflect changes in share
prices, the reinvestment of all dividends and capital gains, and the
effects of compounding. Investing in a mutual fund involves risks,
including the possible loss of principal. The prospectus contains
more complete information on the investment objectives, risks,
charges and expenses of the investment company which investors should
read and consider carefully before investing. To obtain a prospectus,
contact a registered representative or visit www.thrivent.com. At
various times, the Fund's adviser waived its management fee and/or
reimbursed Fund expenses. Had the adviser not done so, the Fund's
total returns would have been lower. The returns shown do not reflect
taxes a shareholder would pay on distributions or redemptions. Please
read your prospectus carefully.
** As you compare performance, please note that the Fund's performance
reflects the maximum 4.5% sales charge, while the Lehman Brothers
High Yield Bond Index and the Consumer Price Index do not reflect any
such charges. If you were to purchase any of the above individual
stocks or funds represented in these Indexes, any charges you would
pay would reduce your total return as well.
*** The Lehman Brothers High Yield Bond Index is an index which measures
the performance of fixed-rate non-investment grade bonds. It is not
possible to invest directly in the Index. The performance of the
Index does not reflect deductions for fees, expenses or taxes.
**** The Consumer Price Index is an inflationary indicator that measures
the change in the cost of a fixed basket of products and services,
including housing, electricity, food and transportation. It is not
possible to invest directly in the Index.
[PHOTOS OMITTED: PAUL J. OCENASEK AND MARK L. SIMENSTAD]
Thrivent Partner High Yield Fund
Paul J. Ocenasek (left) and Mark L. Simenstad (right), Portfolio
Co-Managers
The Thrivent Partner High Yield Fund seeks high current income and
secondary capital growth by investing primarily in a diversified portfolio
of high-risk, high-yield bonds commonly referred to as "junk bonds."* The
Fund actively seeks to achieve the secondary objective of capital growth
to the extent it is consistent with the primary objective of high current
income.
During the reporting period, PIMCO, LLC discontinued serving as subadviser
for Thrivent Partner High Yield Fund, and Thrivent Financial assumed
day-to-day management responsibility for the Fund.
How did Thrivent Partner High Yield Fund perform for the six-month period
ended Oct. 31, 2004?
We are generally pleased with the Fund's performance results for the
six-month period, during which the Fund returned 6.32%, solidly
outperforming its peer group, the Lipper High Current Yield Funds
Category, which returned 5.74% for the same period. The Fund's previous
benchmark, the Merrill Lynch U.S. High Yield, Cash Pay Index, returned
6.41%, and the current benchmark, the Lehman Brothers High Yield Bond
Index, returned 6.44%. Because the Lehman U.S. Corporate High Yield Bond
Index is more broad and representative of the companies in which the Fund
invests, it will be used to compare performance in the future.
While the Fund slightly underperformed its new benchmark, it is important
to consider that management of the Fund's portfolio changed hands in June
2004, at which time we restructured the portfolio's composition and
posture. While we are convinced these changes are already having a
positive impact on performance, we are optimistic that once they begin to
take full effect on the Fund over time, performance will improve even more
over the months ahead.
What market conditions were present during
the period?
Relative stability characterized the high-yield bond market for most of
the six-month review period, when a continuation of the generally
favorable conditions high-yield bonds enjoyed throughout 2003 -- improving
fundamentals, low levels of default and a historically low interest-rate
environment -- again created a favorable backdrop for high-yield bonds.
Investor's appetite for yield, and consequently, their risk tolerance,
remained robust, thereby prompting the lower tiers of the quality spectrum
to slightly outperform higher-quality issues. Overall, high-yield bonds at
large continued to outperform most other areas of the fixed-income markets.
What factors affected Fund performance?
We are pleased to report that many of the changes we implemented in June
2004 have already benefited returns. First, the fact that we sold off our
emerging market debt exposure helped reposition the portfolio to assume a
lower risk profile. Second, increasing the Fund's exposure to bonds issued
by companies in cyclical industries added to performance, since many bonds
from the chemicals, metals and mining, forest products and housing sectors
outperformed the general high-yield market.
Finally, we decreased the Fund's exposure to consumer cyclical-related
bonds, which we believed would suffer should the economic recovery stall
somewhat, such as retail, airlines and automotive bonds. This, too, proved
to be a boon to Fund performance, as many of these bonds performed poorly
due to weakened demand, price pressures and increased competition.
[GRAPHIC OMITTED: TOP INDUSTRIES]
Top Industries
(% of Portfolio)
Communications Services 20.3%
Consumer Cyclical 14.4%
Capital Goods 9.8%
Basic Materials 9.6%
Utilities 9.2%
Consumer Non-Cyclical 8.5%
Energy 5.9%
Financials 1.3%
Technology 1.3%
Transportation 1.1%
[GRAPHIC OMITTED: MOODY'S BOND QUALITY RATINGS DISTRIBUTIONS]
Moody's Bond Quality
Ratings Distributions
Aaa 0.0%
Aa 0.0%
A 3.9%
Baa 6.8%
Ba 31.5%
B 53.4%
Caa 6.8%
Ca 0.0%
C 0.0%
D 0.0%
Not Rated 7.2%
Footnotes read:
* High-yield bonds carry greater volatility and risk than investment-grade
bonds.
Quoted Fund performance is for Class A shares and does not reflect a sales
charge.
The returns shown do not reflect taxes a shareholder would pay on
distributions or redemptions.
Quoted Top Industries, Portfolio Composition and Moody's Bond Quality
Ratings Distributions are subject to change.
Detracting from performance this period was the Fund's overall ratings
profile. We remained underweighted in our exposure to the riskier credits,
such as CCC-rated bonds, which outperformed the higher-quality segments of
the high-yield bond universe. In our opinion, this is the main reason we
slightly underperformed our benchmark, since that the Lehman Index
typically holds more CCC-rated credits than the Fund. However, we are
confident that by underweighting the riskier segments of the high-yield
bond universe, we forfeited only marginal returns as a result.
What is your outlook?
We find it very encouraging that the changes we have implemented for
the Fund's portfolio are already reaping results. For example, we
placed a greater emphasis on individual credit selection in carefully
restructuring the portfolio, and our decision to add more cyclical
industry credits-which we believe will fare well as the U.S. economy
continues to grow at-or-above trend-will likely bode well for the
Fund. Because the backdrop for the high-yield market remains
favorable, we increased our exposure to lower-tier, higher-yielding
credits, in anticipation of what we believe will be a "coupon
clipping" environment as interest rates creep upward, which we expect
in 2005. We are hopeful that our restructuring efforts, coupled with
our generally optimistic outlook given good prospects for the economy
and corporate profits, will bode well for the Fund over the months
ahead.
Portfolio Facts
As of October 31, 2004
A Share B Share Institutional Share
------------------ ------------------ ------------------
Ticker AAHYX BBHYX N/A
Transfer Agent ID 025 075 095
Net Assets $138,870,437 $5,870,233 $4,306,073
NAV $6.71 $6.72 $6.71
NAV -- High+ 10/29/2004 -- $6.71 10/31/2004 -- $6.72 10/29/2004 -- $6.71
NAV -- Low+ 5/14/2004 -- $6.32 5/14/2004 -- $6.32 5/14/2004 -- $6.32
Number of Holdings: 247 +For the period ended October 31, 2004
Average Annual Total Returns 2
As of October 31, 2004
From
Inception
Class A1 1-Year 5-Year 1/8/1997
- -----------------------------------------------------------------------
without sales charge 9.65% 5.55% 4.01%
with sales charge 4.71% 4.58% 3.40%
From
Inception
Class B1 1-Year 5-Year 1/8/1997
- -----------------------------------------------------------------------
without sales charge 8.78% 4.71% 3.54%
with sales charge 4.78% 4.71% 3.54%
From
Inception
Institutional Class 1-Year 5-Year 12/29/1997
- -----------------------------------------------------------------------
Net Asset Value 10.31% 5.94% 3.05%
[GRAPHIC WORM CHART OMITTED: VALUE OF A $10,000 INVESTMENT]
Value of a $10,000 Investment
Class A Shares**2
Merrill Lehman
Lynch Brothers
Partner High High
High Yield Yield Consumer
Yield Master Bond Price
Date Fund Index*** Index**** Index*****
- ------------------------------------------------------------------------------
January 8, 1997 9,550 10,000 10,000 10,000
1997 9,593 10,108 10,098 10,032
1997 9,819 10,250 10,265 10,063
1997 9,553 10,136 10,112 10,088
1997 9,694 10,251 10,218 10,101
1997 10,002 10,458 10,437 10,095
1997 10,129 10,617 10,582 10,107
1997 10,396 10,872 10,872 10,120
1997 10,399 10,853 10,848 10,139
1997 10,643 11,033 11,063 10,164
1997 10,629 11,106 11,072 10,189
1997 10,722 11,211 11,178 10,183
1997 10,814 11,317 11,276 10,170
1998 10,985 11,486 11,479 10,189
1998 11,066 11,533 11,547 10,208
1998 11,142 11,633 11,655 10,227
1998 11,160 11,688 11,701 10,246
1998 11,161 11,769 11,742 10,265
1998 11,170 11,828 11,784 10,277
1998 11,187 11,895 11,851 10,290
1998 10,351 11,382 11,197 10,303
1998 10,303 11,405 11,247 10,315
1998 10,070 11,217 11,017 10,340
1998 10,602 11,728 11,474 10,340
1998 10,571 11,732 11,487 10,334
1999 10,675 11,848 11,657 10,359
1999 10,519 11,758 11,589 10,372
1999 10,558 11,859 11,699 10,404
1999 10,718 12,044 11,926 10,479
1999 10,533 11,961 11,764 10,479
1999 10,511 11,938 11,739 10,479
1999 10,500 11,956 11,787 10,511
1999 10,347 11,835 11,656 10,536
1999 10,150 11,789 11,572 10,586
1999 9,910 11,720 11,496 10,605
1999 10,037 11,854 11,631 10,612
1999 10,174 11,917 11,762 10,612
2000 10,112 11,857 11,711 10,637
2000 10,136 11,868 11,733 10,700
2000 9,963 11,702 11,487 10,788
2000 9,963 11,706 11,505 10,794
2000 9,791 11,577 11,387 10,801
2000 9,977 11,775 11,619 10,864
2000 9,895 11,860 11,708 10,883
2000 10,008 12,005 11,788 10,895
2000 9,834 11,935 11,685 10,952
2000 9,641 11,585 11,311 10,971
2000 9,362 11,222 10,863 10,977
2000 9,723 11,465 11,072 10,971
2001 10,179 12,149 11,902 11,040
2001 10,215 12,340 12,060 11,085
2001 10,012 12,177 11,776 11,110
2001 9,882 12,044 11,630 11,154
2001 9,941 12,276 11,839 11,204
2001 9,626 12,023 11,507 11,223
2001 9,786 12,210 11,676 11,192
2001 9,828 12,328 11,814 11,192
2001 9,308 11,537 11,020 11,242
2001 9,591 11,877 11,293 11,204
2001 9,799 12,263 11,705 11,185
2001 9,762 12,176 11,657 11,141
2002 9,799 12,244 11,738 11,166
2002 9,680 12,127 11,574 11,211
2002 9,772 12,415 11,853 11,274
2002 9,857 12,612 12,038 11,337
2002 9,766 12,544 11,976 11,337
2002 9,215 11,649 11,093 11,343
2002 8,720 11,189 10,608 11,356
2002 9,096 11,468 10,911 11,393
2002 8,856 11,292 10,767 11,412
2002 8,908 11,197 10,673 11,441
2002 9,526 11,867 11,334 11,441
2002 9,683 12,048 11,493 11,416
2003 9,942 12,395 11,876 11,466
2003 10,101 12,554 12,022 11,554
2003 10,327 12,880 12,368 11,624
2003 10,901 13,603 13,101 11,599
2003 11,037 13,747 13,236 11,580
2003 11,315 14,125 13,617 11,592
2003 11,189 13,923 13,467 11,605
2003 11,360 14,099 13,622 11,649
2003 11,615 14,482 13,995 11,687
2003 11,846 14,778 14,277 11,674
2003 11,949 14,981 14,494 11,643
2003 12,263 15,328 14,822 11,630
2004 12,386 15,567 15,105 11,687
2004 12,273 15,557 15,067 11,750
2004 12,331 15,667 15,169 11,826
2004 12,217 15,554 15,066 11,864
2004 12,055 15,305 14,811 11,933
2004 12,174 15,529 15,023 11,971
2004 12,356 15,737 15,227 11,952
2004 12,550 16,026 15,526 11,958
2004 12,760 16,249 15,751 11,984
October 29. 2004 $12,989 $16,550 $16,036 $12,047
Footnotes read:
1 Class A performance has been restated to reflect the maximum sales
charge of 4.5%. Class B performance reflects the maximum contingent
deferred sales charge (CDSC) of 5%, declining 1% each year during
the first five years and then converting to Class A shares after the
fifth year. Institutional Class shares have no sales load and are
for institutional shareholders only.
2 Past performance is not an indication of future results. Annualized
total returns represent past performance and reflect changes in
share prices, the reinvestment of all dividends and capital gains,
and the effects of compounding. Investing in a mutual fund involves
risks, including the possible loss of principal. The prospectus
contains more complete information on the investment objectives,
risks, charges and expenses of the investment company which
investors should read and consider carefully before investing. To
obtain a prospectus, contact a registered representative or visit
www.thrivent.com. At various times, the Fund's adviser waived its
management fee and/or reimbursed Fund expenses. Had the adviser not
done so, the Fund's total returns would have been lower. The returns
shown do not reflect taxes a shareholder would pay on distributions
or redemptions. Please read your prospectus carefully.
** As you compare performance, please note that the Fund's performance
reflects the maximum 4.5% sales charge, while the Merrill Lynch High
Yield Cash Pay Index and the Consumer Price Index do not reflect any
such charges. If you were to purchase any of the above individual
stocks or funds represented in these Indexes, any charges you would
pay would reduce your total return as well.
*** The Merrill Lynch High Yield Cash Pay Index is an index comprised of
approximately 1,200 "cash pay" high yield bonds representative of
the high-yield market as a whole. It is not possible to invest
directly in the Index. The performance of the Index does not reflect
deductions for fees, expenses or taxes.
**** The Lehman Brothers High Yield Bond Index is an index which measures
the performance of fixed-rate non-investment grade bonds. It is not
possible to invest directly in the Index. The performance of the
Index does not reflect deductions for fees, expenses or taxes. The
composition of the Lehman Brothers High Yield Bond Index serves as a
better reflection of the Fund's current investment strategy than
does the Merrill Lynch High Yield Cash Pay Index.
***** The Consumer Price Index is an inflationary indicator that measures
the change in the cost of a fixed basket of products and services,
including housing, electricity, food and transportation. It is not
possible to invest directly in the Index.
[PHOTOS OMITTED: MUNICIPAL BOND FUND]
Thrivent Municipal Bond Fund
Janet I. Grangaard, Portfolio Manager
The Thrivent Municipal Bond Fund seeks a high level of current income
exempt from federal income taxes consistent with capital preservation by
investing primarily in a diversified portfolio of municipal bonds.*
How did Thrivent Municipal Bond Fund perform for its fiscal year ended
Oct. 31, 2004?
We are generally pleased with the Fund's performance for the period,
especially given the specter of rising interest rates that shadowed the
markets for much of the review period. For the 12-month period ended Oct.
31, 2004, Thrivent Municipal Bond Fund returned 5.38%, thereby
outperforming its peer group, the Lipper General Municipal Debt Funds
Category, which returned 5.26%. The Fund's benchmark, the Lehman Municipal
Bond Index, returned 6.03%. We attribute this marginal underperformance
primarily to the Fund's expenses, given that the Index is unmanaged, is
not available for direct investment and does not have expenses or fees
associated with it.
What market conditions were present during
the period?
Domestic fixed-income markets, including municipal bonds, continued to
perform well relative to equity securities, despite three interest-rate
hikes by the Federal Reserve Board (the Fed) so far in 2004. Later in the
period, bonds rallied as investors grew more defensive amid
lower-than-expected job gains, higher oil prices, geopolitical concerns,
and uncertainties surrounding the U.S. presidential election. Except for
modest issuance in August, municipal bond supply remained relatively
stable as the period came to a close, supporting rising bond prices,
particularly at the 20-year point of the maturity curve, where demand from
insurance companies was strong. Municipal bonds outperformed U.S.
Treasuries at the end of the 12-month period.
Meanwhile, the fiscal tone of many state and municipal governments
improved as tax collections continue to grow, with state governments
reporting an 11.4% increase in second quarter 2004 revenues over last
year. Credit rating agencies have upgraded the debt of California on signs
that the state's economy is improving and following issuance of $15
billion in economic recovery bonds.
What factors affected Fund performance?
First, our decision in January 2004 to buy "beaten down," or distressed,
California general obligation bonds, significantly added to returns. At
that time, these bonds held a BBB-rating from all major rating agencies
and were feeling the pressure of the cash-flow crisis facing the State of
California early this year. After new government leadership implemented
new fiscal policies, the bonds were eventually upgraded to an A-level
rating, thereby adding to total return for the Fund.
Second, our decision to add to our securitized, tobacco settlement bond
holdings also helped performance. Despite ongoing litigation plaguing this
sector, tobacco bonds have performed relatively well over the course of
the year as a result of investors' quest for favorable yield. Although we
missed the strong outperformance of the riskier, "junkier" bonds within
this sector, we benefited from our overall exposure to these non-corporate
securities.
Finally, we enjoyed a boost to performance from several of the
portfolio's bonds that became pre-refunded during the period. Bonds
that are pre-refunded typically enjoy price appreciation, since they
are deemed to have virtually no default risk once pre-refunded, or
paid-off, by the proceeds of a second bond issue. As a result, this
event added to Fund returns.
[GRAPHIC OMITTED: MOODY'S BOND QUALITY RATINGS DISTRIBUTIONS]
Moody's Bond Quality
Ratings Distributions
Aaa 54.3%
Aa 15.9%
A 14.1%
Baa 15.0%
Ba 0.2%
B 0.0%
Caa 0.0%
Ca 0.0%
C 0.0%
D 0.0%
Not Rated 0.5%
[GRAPHIC OMITTED: PORTFOLIO COMPOSITION]
Portfolio Composition
(% of Portfolio)
General Obligation -- 18.8%
Health Care -- 15.3%
Escrowed/Pre-refunded -- 12.5%
Special Tax Revenue -- 9.1%
Electric Revenue -- 9.0%
Education -- 6.9%
Industrial Development Revenue -- 6.5%
Transportation -- 6.3%
Water & Sewer -- 5.9%
Other Revenue -- 5.6%
Housing Finance -- 4.1%
Top 10 States
(% of Portfolio)
Texas 11.4%
California 10.1%
New York 9.1%
Illinois 8.8%
Washington 5.2%
Colorado 4.7%
Minnesota 4.1%
Michigan 3.6%
Georgia 3.1%
Ohio 2.3%
Footnote reads:
These long term fixed income securities represent 62.4% of the total
investment portfolio.
Footnotes read:
* Investors may be subject to state taxes and federal alternative minimum
tax.
Quoted Fund performance is for Class A shares and does not reflect a sales
charge.
The returns shown do not reflect taxes a shareholder would pay on
distributions or redemptions.
Quoted Moody's Bond Quality Ratings Distributions, Portfolio Composition
and Top 10 States are subject to change.
On the negative side, the fact that the portfolio's interest-rate
sensitivity, or duration, was a bit more conservative (lower) than that of
our benchmark proved to exert an opportunity cost on returns.
Additionally, the Fund's exposure to housing-related bonds, which
performed poorly this period due to prepayment calls and credit rating
downgrades, were a drag on Fund returns.
What is your outlook?
Historically, municipal bonds have outperformed U.S. Treasuries in
periods of rising interest rates, as higher borrowing costs discourage
municipalities from issuing debt, thereby lowering supply. Given the
likelihood of additional rate increases by the Fed, we plan to
maintain a relatively conservative posture in terms of interest-rate
sensitivity, with a core focus on defensively structured bonds. We
also plan to maintain our focus on higher-quality municipal bonds,
avoiding the riskiest segments of the municipal universe so as to
preserve the risk profile of the Fund. Overall, we are confident good
value and returns will be uncovered through our disciplined investment
process, and the Fund's current allocations will position it well for
the conditions we anticipate in the months ahead.
Portfolio Facts
As of October 31, 2004
A Share B Share Institutional Share
------------------ ------------------ ------------------
Ticker AAMBX N/A N/A
Transfer Agent ID 015 065 088
Net Assets $1,264,115,462 $34,044,463 $5,116,127
NAV $11.56 $11.55 $11.55
NAV -- High+ 3/11/2004 -- $11.80 3/9/2004 -- $11.80 3/9/2004 -- $11.80
NAV -- Low+ 5/13/2004 -- $11.09 5/13/2004 -- $11.09 5/13/2004 -- $11.09
Number of Holdings: 504 +For the year ended October 31, 2004
Average Annual Total Returns 2
As of October 31, 2004
Class A1 1-Year 5-Year 10-Year
- -----------------------------------------------------------------------
without sales charge 5.47% 6.68% 6.68%
with sales charge 0.71% 5.70% 6.19%
From
Inception
Class B1 1-Year 5-Year 10/31/1997
- -----------------------------------------------------------------------
without sales charge 4.72% 5.92% 4.94%
with sales charge 0.72% 5.92% 4.94%
From
Inception
Institutional Class 1-Year 5-Year 10/31/1997
- -----------------------------------------------------------------------
Net Asset Value 5.70% 6.92% 5.73%
[GRAPHIC WORM CHART OMITTED: VALUE OF A $10,000 INVESTMENT]
Value of a $10,000 Investment
Class A Shares**2
Lehman
Brothers
Municipal Consumer
Income Bond Price
Date Fund Index*** Index****
- ---------------------------------------------------------
October 31, 1994 9,550 10,000 10,000
1994 9,367 9,819 10,013
1994 9,584 10,035 10,013
1995 9,876 10,322 10,054
1995 10,193 10,622 10,094
1995 10,302 10,744 10,127
1995 10,311 10,757 10,161
1995 10,659 11,100 10,181
1995 10,518 11,003 10,201
1995 10,591 11,108 10,201
1995 10,724 11,248 10,227
1995 10,807 11,320 10,247
1995 10,979 11,484 10,281
1995 11,203 11,675 10,274
1995 11,326 11,787 10,268
1996 11,410 11,876 10,328
1996 11,312 11,796 10,361
1996 11,124 11,645 10,415
1996 11,065 11,612 10,455
1996 11,058 11,608 10,475
1996 11,172 11,734 10,482
1996 11,273 11,840 10,502
1996 11,267 11,838 10,522
1996 11,435 12,003 10,555
1996 11,564 12,139 10,589
1996 11,788 12,361 10,609
1996 11,715 12,309 10,609
1997 11,737 12,332 10,642
1997 11,841 12,445 10,676
1997 11,684 12,280 10,702
1997 11,762 12,382 10,716
1997 11,936 12,569 10,709
1997 12,055 12,702 10,722
1997 12,412 13,054 10,736
1997 12,266 12,932 10,756
1997 12,457 13,085 10,783
1997 12,522 13,170 10,809
1997 12,602 13,247 10,803
1997 12,809 13,440 10,789
1998 12,947 13,579 10,809
1998 12,941 13,583 10,829
1998 12,935 13,595 10,850
1998 12,871 13,534 10,870
1998 13,083 13,748 10,890
1998 13,136 13,802 10,903
1998 13,159 13,837 10,916
1998 13,374 14,051 10,930
1998 13,560 14,226 10,943
1998 13,539 14,225 10,970
1998 13,578 14,275 10,970
1998 13,602 14,311 10,963
1999 13,762 14,481 10,990
1999 13,665 14,418 11,003
1999 13,674 14,438 11,037
1999 13,698 14,474 11,117
1999 13,601 14,390 11,117
1999 13,396 14,183 11,117
1999 13,451 14,235 11,151
1999 13,321 14,121 11,177
1999 13,331 14,127 11,231
1999 13,185 13,974 11,251
1999 13,319 14,122 11,258
1999 13,187 14,017 11,258
2000 13,118 13,956 11,284
2000 13,270 14,118 11,351
2000 13,566 14,427 11,445
2000 13,479 14,341 11,452
2000 13,409 14,267 11,458
2000 13,758 14,645 11,525
2000 13,962 14,849 11,545
2000 14,183 15,077 11,559
2000 14,078 14,999 11,619
2000 14,252 15,163 11,639
2000 14,361 15,277 11,646
2000 14,735 15,655 11,639
2001 14,877 15,810 11,712
2001 14,921 15,860 11,759
2001 15,048 16,002 11,786
2001 14,856 15,829 11,833
2001 15,018 15,999 11,886
2001 15,130 16,106 11,906
2001 15,362 16,345 11,873
2001 15,629 16,614 11,873
2001 15,588 16,559 11,926
2001 15,788 16,756 11,886
2001 15,643 16,615 11,866
2001 15,462 16,457 11,819
2002 15,734 16,743 11,846
2002 15,934 16,945 11,893
2002 15,572 16,612 11,960
2002 15,879 16,937 12,027
2002 15,974 17,040 12,027
2002 16,159 17,220 12,033
2002 16,362 17,442 12,047
2002 16,549 17,651 12,087
2002 16,898 18,038 12,107
2002 16,563 17,739 12,137
2002 16,480 17,665 12,137
2002 16,819 18,038 12,111
2003 16,754 17,993 12,164
2003 16,982 18,245 12,258
2003 16,974 18,256 12,331
2003 17,113 18,376 12,305
2003 17,492 18,806 12,285
2003 17,411 18,726 12,298
2003 16,803 18,071 12,311
2003 16,921 18,206 12,358
2003 17,389 18,741 12,398
2003 17,288 18,646 12,385
2003 17,429 18,841 12,352
2003 17,563 18,997 12,338
2004 17,647 19,106 12,398
2004 17,906 19,393 12,465
2004 17,842 19,326 12,546
2004 17,443 18,868 12,586
2004 17,367 18,799 12,659
2004 17,422 18,868 12,700
2004 17,631 19,116 12,680
2004 17,980 19,499 12,686
2004 18,078 19,603 12,713
October 29, 2004 $18,218 $19,771 $12,780
Footnotes read:
1 Class A performance has been restated to reflect the maximum sales
charge of 4.5%. Class B performance reflects the maximum contingent
deferred sales charge (CDSC) of 5%, declining 1% each year during the
first five years and then converting to Class A shares after the
fifth year. Institutional Class shares have no sales load and are for
institutional shareholders only.
2 Past performance is not an indication of future results. Annualized
total returns represent past performance and reflect changes in share
prices, the reinvestment of all dividends and capital gains, and the
effects of compounding. Investing in a mutual fund involves risks,
including the possible loss of principal. The prospectus contains
more complete information on the investment objectives, risks,
charges and expenses of the investment company which investors should
read and consider carefully before investing. To obtain a prospectus,
contact a registered representative or visit www.thrivent.com. At
various times, the Fund's adviser waived its management fee and/or
reimbursed Fund expenses. Had the adviser not done so, the Fund's
total returns would have been lower. The returns shown do not reflect
taxes a shareholder would pay on distributions or redemptions. Please
read your prospectus carefully.
** As you compare performance, please note that the Fund's performance
reflects the maximum 4.5% sales charge, while the Lehman Brothers
Municipal Bond Index and the Consumer Price Index do not reflect any
such charges. If you were to purchase any of the above individual
stocks or funds represented in these Indexes, any charges you would
pay would reduce your total return as well.
*** The Lehman Brothers Municipal Bond Index is a market value-weighted
index of investment grade municipal bonds with maturities of one year
or more. It is not possible to invest directly in the Index. The
performance of the Index does not reflect deductions for fees,
expenses or taxes.
**** The Consumer Price Index is an inflationary indicator that measures
the change in the cost of a fixed basket of products and services,
including housing, electricity, food and transportation. It is not
possible to invest directly in the Index.
[PHOTOS OMITTED: MICHAEL G. LANDREVILLE AND ALAN D. ONSTAD]
Thrivent Income Fund
Michael G. Landreville (left) and Alan D. Onstad (right), Portfolio
Co-Managers
The Thrivent Income Fund seeks high current income while preserving
principal and, secondarily, long term growth of capital by investing
primarily in investment-grade intermediate and long-term fixed income
securities.
How did the Fund perform during the 12-month period ended Oct. 31, 2004?
For the 12-month period, the Thrivent Income Fund produced a 5.64%
return while its Lipper Inc. Corporate Deb Funds BBB-Rated Funds peer
group earned a 6.01% median return. The Fund's market benchmark, the
Lehman U.S. Aggregate Bond Index, earned a 5.53% return during the
period.
What market conditions were present during
the period?
Mixed signals regarding employment were largely responsible for a volatile
12-month period for interest rates. In April, rates rose sharply for two
months on the expectation of impending job growth. Then, as the economy
slowed and July employment figures took a nosedive, the bond market
rallied, which sent rates lower.
Ongoing concerns about terrorism during this summer's major events,
including the political conventions and the Olympics, held rates lower
than might be expected given the economic conditions. With bonds viewed as
a safe haven, many investors bought them with a goal of preserving value,
which drove rates even lower.
Overall, it was a productive period for the bond market. Corporate bonds,
on the strength of solid balance sheets and strong earnings, showed more
economic optimism than the stock market did and outperformed Treasuries.
What factors affected the Fund's performance?
The Fund's corporate bond holdings, largely in the A-rated and BBB-rated
categories, outperformed other categories of corporate bonds and helped
pace the Fund's positive performance relative to its market benchmark
during the period. In addition, the Fund also benefited from a significant
weighting in Treasury Inflation Protected Securities (TIPS), which
performed very well relative to Treasuries before we sold them off in May.
The Fund's slight underperformance relative to its Lipper Inc. peer group
can be traced to its relatively short duration. We positioned the Fund in
a conservative manner in anticipation of a stronger economy and higher
interest rates. In doing so, we underestimated the psychological impact
that the fear of terrorism would have on the economy.
Many businesses viewed the possibility of a terrorist event against a
backdrop of uncertainty regarding the U.S. presidential election as
rationale for delaying capital investments. As this attitude became more
pervasive, it became a self-fulfilling prophecy.
The Fund's underweight stance in mortgage-backed securities --
traditionally a poor performing sector in a rising rate environment --
also contributed to the Fund's relative underperformance as they posted
strong returns during the period. The Fund's overweight stance in
Treasuries, on the other hand, also hurt its relative performance.
[GRAPHIC OMITTED: MOODY'S BOND QUALITY RATINGS DISTRIBUTIONS]
Moody's Bond Quality
Ratings Distributions
Aaa 39.4%
Aa 2.0%
A 12.1%
Baa 29.9%
Ba 11.7%
B 2.6%
Caa 0.0%
Ca 0.0%
C 0.0%
D 0.0%
Not Rated 2.3%
Top 10 Holdings
(% of Portfolio)
Federal National Mortgage Association
30-Yr. Conventional 4.0%
Lehman Brothers, Inc. 3.8%
U.S. Treasury Bonds 2.0%
Federal National Mortgage Association 1.7%
Federal National Mortgage Association
15-Yr. Conventional 1.4%
Federal Home Loan Mortgage Corporation 1.3%
U.S. Treasury Inflation Indexed Bonds 1.3%
CPL Transition Funding, LLC 1.1%
U.S. Treasury Notes 1.0%
U.S. Treasury Strips 0.9%
Footnote reads:
These long term fixed income securities represent 18.5% of the total
investment portfolio.
Footnotes read:
Quoted Fund performance is for Class A shares and does not reflect a sales
charge.
The returns shown do not reflect taxes a shareholder would pay on
distributions or redemptions.
Quoted Moody's Bond Quality Ratings Distributions, Portfolio Composition
and Top 10 Holdings are subject to change.
The list of Top 10 Holdings excludes short term investments and collateral
held for securities loaned.
What is your Outlook?
In the bond market, no significant risks or bargains have emerged. This
mirrors the state of the economy, which is neither growing at a robust
pace nor providing cause for great concern. As a result, the market will
likely continue its steady-as-you-go outlook for the foreseeable future
with rates occupying a somewhat confined trading range.
While the fear of terrorism will likely never cease, it should wane
considerably now that the many major events of 2004 have peacefully
concluded. The markets, with their aversion to change, should react
positively to the swift conclusion to the U.S. presidential election.
Therefore, we believe these uncertainties and fears could give way to
renewed growth in the market.
Job growth should continue at a deliberate if not solid pace and the oil
price boom should subside measurably. In this environment, we will
maintain largely neutral sector weightings, although we will remain
slightly overweight in corporate bonds, which continue to perform well. We
will also position the Fund with a neutral to modestly short duration to
guard against the potential for rising rates.
We will also closely monitor the activities of foreign investors who have
recently purchased record amounts of U.S. fixed income securities. Pending
the strength of the dollar, this activity could add to further interest
rate volatility.
Portfolio Facts
As of October 31, 2004
A Share B Share Institutional Share
------------------ ------------------ ------------------
Ticker LUBIX LUIBX LBIIX
Transfer Agent ID 55 355 455
Net Assets $575,247,987 $25,391,951 $28,972,004
NAV $8.86 $8.84 $8.85
NAV -- High+ 3/17/2004 -- $8.98 3/9/2004 -- $8.96 3/9/2004 -- $8.98
NAV -- Low+ 5/13/2004 -- $8.53 5/13/2004 -- $8.52 5/13/2004 -- $8.53
Number of Holdings: 165 +For the year ended October 31, 2004
Average Annual Total Returns 2
As of October 31, 2004
Class A1 1-Year 5-Year 10-Year
- -----------------------------------------------------------------------
without sales charge 5.64% 6.74% 6.98%
with sales charge 0.90% 5.76% 6.49%
From
Inception
Class B1 1-Year 5-Year 10/31/1997
- -----------------------------------------------------------------------
without sales charge 4.83% 5.96% 5.31%
with sales charge 0.83% 5.96% 5.31%
From
Inception
Institutional Class 1-Year 5-Year 10/31/1997
- -----------------------------------------------------------------------
Net Asset Value 5.94% 7.07% 6.20%
[GRAPHIC WORM CHART OMITTED: VALUE OF A $10,000 INVESTMENT]
Value of a $10,000 Investment
Class A Shares*2
Lehman
Brothers
Aggregate Consumer
Income Bond Price
Date Fund Index** Index***
- ------------------------------------------------------------------------------
October 31, 1994 9,550 10,000 10,000
1994 9,557 9,978 10,013
1994 9,656 10,047 10,013
1995 9,845 10,246 10,054
1995 10,060 10,489 10,094
1995 10,128 10,554 10,127
1995 10,283 10,701 10,161
1995 10,724 11,115 10,181
1995 10,805 11,197 10,201
1995 10,726 11,172 10,201
1995 10,872 11,306 10,227
1995 10,968 11,416 10,247
1995 11,128 11,565 10,281
1995 11,302 11,738 10,274
1995 11,473 11,903 10,268
1996 11,533 11,982 10,328
1996 11,267 11,774 10,361
1996 11,143 11,692 10,415
1996 11,072 11,626 10,455
1996 11,053 11,602 10,475
1996 11,195 11,758 10,482
1996 11,216 11,790 10,502
1996 11,156 11,771 10,522
1996 11,368 11,976 10,555
1996 11,636 12,241 10,589
1996 11,822 12,451 10,609
1996 11,727 12,335 10,609
1997 11,763 12,373 10,642
1997 11,799 12,403 10,676
1997 11,625 12,266 10,702
1997 11,775 12,450 10,716
1997 11,883 12,567 10,709
1997 12,059 12,717 10,722
1997 12,408 13,059 10,736
1997 12,271 12,948 10,756
1997 12,464 13,139 10,783
1997 12,572 13,330 10,809
1997 12,622 13,391 10,803
1997 12,707 13,526 10,789
1998 12,891 13,699 10,809
1998 12,897 13,689 10,829
1998 12,962 13,736 10,850
1998 13,028 13,808 10,870
1998 13,140 13,939 10,890
1998 13,268 14,057 10,903
1998 13,274 14,087 10,916
1998 13,341 14,316 10,930
1998 13,717 14,651 10,943
1998 13,631 14,574 10,970
1998 13,793 14,656 10,970
1998 13,839 14,700 10,963
1999 13,964 14,805 10,990
1999 13,648 14,547 11,003
1999 13,727 14,628 11,037
1999 13,759 14,674 11,117
1999 13,551 14,545 11,117
1999 13,487 14,499 11,117
1999 13,438 14,437 11,151
1999 13,405 14,430 11,177
1999 13,536 14,597 11,231
1999 13,536 14,651 11,251
1999 13,553 14,650 11,258
1999 13,495 14,580 11,258
2000 13,445 14,532 11,284
2000 13,612 14,708 11,351
2000 13,781 14,901 11,445
2000 13,696 14,859 11,452
2000 13,629 14,852 11,458
2000 13,971 15,161 11,525
2000 14,092 15,299 11,545
2000 14,282 15,521 11,559
2000 14,317 15,618 11,619
2000 14,352 15,721 11,639
2000 14,545 15,979 11,646
2000 14,874 16,275 11,639
2001 15,196 16,541 11,712
2001 15,339 16,685 11,759
2001 15,375 16,769 11,786
2001 15,267 16,699 11,833
2001 15,339 16,800 11,886
2001 15,375 16,864 11,906
2001 15,705 17,241 11,873
2001 15,853 17,438 11,873
2001 15,927 17,641 11,926
2001 16,253 18,011 11,886
2001 16,057 17,762 11,866
2001 15,917 17,649 11,819
2002 16,002 17,792 11,846
2002 16,101 17,965 11,893
2002 15,916 17,666 11,960
2002 16,149 18,008 12,027
2002 16,250 18,161 12,027
2002 16,254 18,319 12,033
2002 16,124 18,540 12,047
2002 16,380 18,852 12,087
2002 16,579 19,158 12,107
2002 16,293 19,070 12,137
2002 16,356 19,065 12,137
2002 16,700 19,458 12,111
2003 16,793 19,476 12,164
2003 17,065 19,745 12,258
2003 17,117 19,729 12,331
2003 17,432 19,893 12,305
2003 17,786 20,263 12,285
2003 17,820 20,222 12,298
2003 17,312 19,543 12,311
2003 17,407 19,672 12,358
2003 17,831 20,193 12,398
2003 17,767 20,005 12,385
2003 17,823 20,053 12,352
2003 18,048 20,257 12,338
2004 18,207 20,420 12,398
2004 18,367 20,641 12,465
2004 18,492 20,796 12,546
2004 18,057 20,255 12,586
2004 17,923 20,174 12,659
2004 18,012 20,288 12,700
2004 18,157 20,489 12,680
2004 18,475 20,880 12,686
2004 18,582 20,936 12,713
October 29, 2004 $18,710 $21,112 $12,780
Footnotes read:
1 Class A performance has been restated to reflect the maximum sales
charge of 4.5%. Class B performance reflects the maximum contingent
deferred sales charge (CDSC) of 5%, declining 1% each year during the
first five years and then converting to Class A shares after the fifth
year. Institutional Class shares have no sales load and are for
institutional shareholders only.
2 Past performance is not an indication of future results. Annualized
total returns represent past performance and reflect changes in share
prices, the reinvestment of all dividends and capital gains, and the
effects of compounding. Investing in a mutual fund involves risks,
including the possible loss of principal. The prospectus contains more
complete information on the investment objectives, risks, charges and
expenses of the investment company which investors should read and
consider carefully before investing. To obtain a prospectus, contact a
registered representative or visit www.thrivent.com. At various times,
the Fund's adviser waived its management fee and/or reimbursed Fund
expenses. Had the adviser not done so, the Fund's total returns would
have been lower. The returns shown do not reflect taxes a shareholder
would pay on distributions or redemptions. Please read your prospectus
carefully.
* As you compare performance, please note that the Fund's performance
reflects the maximum 4.5% sales charge, while the Lehman Brothers
Aggregate Bond Index and the Consumer Price Index do not reflect any
such charges. If you were to purchase any of the above individual
stocks or funds represented in these Indexes, any charges you would
pay would reduce your total return as well.
** The Lehman Brothers Aggregate Bond Index is an index that measures the
performance of U.S. investment grade bonds. It is not possible to
invest directly in the Index. The performance of the Index does not
reflect deductions for fees, expenses or taxes.
*** The Consumer Price Index is an inflationary indicator that measures
the change in the cost of a fixed basket of products and services,
including housing, electricity, food and transportation. It is not
possible to invest directly in the Index.
[PHOTO OMITTED: ALAN D. ONSTAD AND MICHAEL G. LANDREVILLE]
Thrivent Core Bond Fund
Alan D. Onstad (left) and Michael G. Landreville (right), Portfolio
Co-Managers
The Thrivent Core Bond Fund seeks a high level of current income
consistent with capital preservation by investing primarily in a
diversified portfolio of investment-grade bonds.
How did the Fund perform during the six-month period ended Oct. 31, 2004?
For the six-month period, the Thrivent Core Bond Fund produced a 3.48%
return. Meanwhile, its Lipper Inc. Investment-Grade Debt Funds peer group
posted a median return of 3.76%. The Fund's market benchmark, the Lehman
U.S. Aggregate Bond Index, produced a 4.23% return during the period.
What market conditions were present during
the period?
Overall, it was a productive period for the bond market. Corporate bonds,
on the strength of solid balance sheets and strong earnings, showed more
economic optimism than the stock market did and outperformed Treasuries.
This is significant because, in recent years, corporate bond performance
has been a better indicator than the stock market of future economic
performance.
Mixed signals regarding employment were largely responsible for continuing
interest-rate volatility during the period. In April, rates rose sharply
for two months on the expectation of impending job growth. Then, as the
economy slowed and July employment figures took a nosedive, the bond
market rallied, which sent rates lower.
Ongoing concerns about terrorism during this summer's major events,
including the political conventions and the Olympics, held rates lower
than might be expected given the economic conditions. With bonds viewed as
a safe haven, many investors bought them with a goal of preserving value,
which drove rates even lower.
What factors affected the Fund's performance?
The Fund maintained an essentially neutral stance throughout the period
with a modestly short duration. That slightly conservative stance,
however, was largely responsible for the Fund's underperformance relative
to its peers and its market benchmark.
We positioned the Fund in a conservative manner in anticipation of a
stronger economy and higher interest rates. In doing so, we underestimated
the psychological impact that the fear of terrorism would have on the
economy.
Many businesses viewed the possibility of a terrorist event against a
backdrop of uncertainty regarding the U.S. presidential election as
rationale for delaying capital investments. As this attitude became more
pervasive, it became a self-fulfilling prophecy. And, when intermediate
and longer-term rates declined, the Fund's position, short on the yield
curve, hurt its performance relative to its peer group and market index.
The Fund's corporate bond holdings, largely in the A-rated and BBB-rated
categories, outperformed other categories of corporate bonds and were a
positive factor in the Fund's favor during the period. In addition, the
Fund also benefited from an underweight stance in Treasuries along with a
neutral to slight overweight in mortgage-backed securities, which posted
strong returns during the period.
[GRAPHIC OMITTED: MOODY'S BOND QUALITY RATINGS DISTRIBUTIONS]
Moody's Bond Quality
Ratings Distributions
Aaa 56.1%
Aa 1.2%
A 8.5%
Baa 26.3%
Ba 7.9%
B 0.0%
Caa 0.0%
Ca 0.0%
C 0.0%
D 0.0%
Not Rated 0.0%
Top 10 Holdings
(% of Portfolio)
Federal National Mortgage Association
30-Yr. Conventional 10.6%
U.S. Treasury Notes 3.5%
Federal National Mortgage Association
15-Yr. Conventional 3.5%
Lehman Brothers, Inc. 2.3%
Federal National Mortgage Association 2.1%
Chase Credit Card Master Trust 1.9%
GMAC Mortgage Corporation Loan Trust 1.7%
Federal National Mortgage Association 1.6%
Federal Home Loan Mortgage Corporation 1.6%
U.S. Treasury Notes 1.5%
Footnote reads:
These long term fixed income securities represent 30.3% of the total
investment portfolio.
Footnotes read:
Quoted Fund performance is for Class A shares and does not reflect a sales
charge.
The returns shown do not reflect taxes a shareholder would pay on
distributions or redemptions.
Quoted Moody's Bond Quality Ratings Distributions, Portfolio Composition
and Top 10 Holdings are subject to change.
The list of Top 10 Holdings excludes short term investments and collateral
held for securities loaned.
What is your Outlook?
In the bond market, no significant risks or bargains have emerged.
This mirrors the state of the economy, which is neither growing at a
robust pace nor providing cause for great concern. As a result, the
market will likely continue its steady-as-you-go outlook for the
foreseeable future with rates occupying a somewhat confined trading
range.
While the fear of terrorism will likely never cease, it should wane
considerably now that the many major events of 2004 have peacefully
concluded. The markets, with their aversion to change, should react
positively to the swift and decisive conclusion to the U.S. presidential
election. Therefore, we believe these uncertainties and fears could give
way to renewed growth in the market.
Job growth should continue at a deliberate if not solid pace and the oil
price boom should subside measurably. In this environment, we will
maintain largely neutral sector weightings, although we will remain
slightly overweight in corporate bonds, which continue to perform well. We
will also position the Fund with a neutral to modestly short duration to
guard against the potential for rising rates.
We will also closely monitor the activities of foreign investors who have
recently purchased record amounts of U.S. fixed income securities. Pending
the strength of the dollar, this activity could add to further interest
rate volatility.
Portfolio Facts
As of October 31, 2004
A Share B Share Institutional Share
------------------ ------------------ ------------------
Ticker AAINX BBFBX IIINX
Transfer Agent ID 016 066 089
Net Assets $457,074,284 $13,299,080 $36,345,621
NAV $10.27 $10.27 $10.27
NAV -- High+ 10/14/2004 -- $10.28 10/22/2004 -- $10.28 10/26/2004 -- $10.28
NAV -- Low+ 6/14/2004 -- $9.94 6/14/2004 -- $9.95 6/14/2004 -- $9.95
Number of Holdings: 125 +For the period ended October 31, 2004
Average Annual Total Returns 2
As of October 31, 2004
Class A1 1-Year 5-Year 10-Year
- -----------------------------------------------------------------------
without sales charge 5.02% 6.95% 6.63%
with sales charge 0.31% 5.97% 6.15%
From
Inception
Class B1 1-Year 5-Year 1/8/1997
- -----------------------------------------------------------------------
without sales charge 3.88% 5.95% 5.65%
with sales charge (0.12%) 5.95% 5.65%
From
Inception
Institutional Class 1-Year 5-Year 12/29/1997
- -----------------------------------------------------------------------
Net Asset Value 5.34% 7.37% 6.23%
[GRAPHIC WORM CHART OMITTED: VALUE OF A $10,000 INVESTMENT]
Value of a $10,000 Investment
Class A Shares*2
Lehman
Brothers
Core Aggregate Consumer
Bond Bond Price
Date Fund Index** Index***
- ---------------------------------------------------------
October 31, 1994 9,550 10,000 10,000
1994 9,498 9,978 10,013
1994 9,540 10,047 10,013
1995 9,697 10,246 10,054
1995 9,893 10,489 10,094
1995 9,967 10,554 10,127
1995 10,090 10,701 10,161
1995 10,409 11,115 10,181
1995 10,472 11,197 10,201
1995 10,428 11,172 10,201
1995 10,542 11,306 10,227
1995 10,636 11,416 10,247
1995 10,765 11,565 10,281
1995 10,926 11,738 10,274
1995 11,073 11,903 10,268
1996 11,129 11,982 10,328
1996 10,884 11,774 10,361
1996 10,790 11,692 10,415
1996 10,713 11,626 10,455
1996 10,678 11,602 10,475
1996 10,796 11,758 10,482
1996 10,834 11,790 10,502
1996 10,821 11,771 10,522
1996 10,993 11,976 10,555
1996 11,232 12,241 10,589
1996 11,426 12,451 10,609
1996 11,323 12,335 10,609
1997 11,368 12,373 10,642
1997 11,391 12,403 10,676
1997 11,285 12,266 10,702
1997 11,402 12,450 10,716
1997 11,494 12,567 10,709
1997 11,638 12,717 10,722
1997 11,936 13,059 10,736
1997 11,848 12,948 10,756
1997 12,018 13,139 10,783
1997 12,187 13,330 10,809
1997 12,216 13,391 10,803
1997 12,340 13,526 10,789
1998 12,482 13,699 10,809
1998 12,438 13,689 10,829
1998 12,483 13,736 10,850
1998 12,526 13,808 10,870
1998 12,641 13,939 10,890
1998 12,739 14,057 10,903
1998 12,745 14,087 10,916
1998 12,966 14,316 10,930
1998 13,252 14,651 10,943
1998 13,141 14,574 10,970
1998 13,080 14,656 10,970
1998 13,158 14,700 10,963
1999 13,223 14,805 10,990
1999 12,979 14,547 11,003
1999 13,069 14,628 11,037
1999 13,104 14,674 11,117
1999 12,962 14,545 11,117
1999 12,910 14,499 11,117
1999 12,836 14,437 11,151
1999 12,821 14,430 11,177
1999 12,951 14,597 11,231
1999 12,971 14,651 11,251
1999 12,992 14,650 11,258
1999 12,941 14,580 11,258
2000 12,897 14,532 11,284
2000 13,021 14,708 11,351
2000 13,160 14,901 11,445
2000 13,085 14,859 11,452
2000 13,061 14,852 11,458
2000 13,330 15,161 11,525
2000 13,430 15,299 11,545
2000 13,632 15,521 11,559
2000 13,717 15,618 11,619
2000 13,751 15,721 11,639
2000 14,029 15,979 11,646
2000 14,333 16,275 11,639
2001 14,515 16,541 11,712
2001 14,649 16,685 11,759
2001 14,737 16,769 11,786
2001 14,665 16,699 11,833
2001 14,739 16,800 11,886
2001 14,765 16,864 11,906
2001 15,127 17,241 11,873
2001 15,307 17,438 11,873
2001 15,497 17,641 11,926
2001 15,772 18,011 11,886
2001 15,583 17,762 11,866
2001 15,500 17,649 11,819
2002 15,571 17,792 11,846
2002 15,641 17,965 11,893
2002 15,359 17,666 11,960
2002 15,546 18,008 12,027
2002 15,660 18,161 12,027
2002 15,721 18,319 12,033
2002 15,808 18,540 12,047
2002 16,095 18,852 12,087
2002 16,383 19,158 12,107
2002 16,258 19,070 12,137
2002 16,211 19,065 12,137
2002 16,556 19,458 12,111
2003 16,582 19,476 12,164
2003 16,857 19,745 12,258
2003 16,873 19,729 12,331
2003 17,067 19,893 12,305
2003 17,427 20,263 12,285
2003 17,442 20,222 12,298
2003 16,872 19,543 12,311
2003 16,948 19,672 12,358
2003 17,434 20,193 12,398
2003 17,295 20,005 12,385
2003 17,336 20,053 12,352
2003 17,522 20,257 12,338
2004 17,688 20,420 12,398
2004 17,871 20,641 12,465
2004 18,007 20,796 12,546
2004 17,535 20,255 12,586
2004 17,437 20,174 12,659
2004 17,507 20,288 12,700
2004 17,657 20,489 12,680
2004 17,966 20,880 12,686
2004 18,031 20,936 12,713
October 29. 2004 $18,145 $21,112 $12,780
Footnotes read:
1 Class A performance has been restated to reflect the maximum sales
charge of 4.5%. Class B performance reflects the maximum contingent
deferred sales charge (CDSC) of 5%, declining 1% each year during the
first five years and then converting to Class A shares after the fifth
year. Institutional Class shares have no sales load and are for
institutional shareholders only.
2 Past performance is not an indication of future results. Annualized
total returns represent past performance and reflect changes in share
prices, the reinvestment of all dividends and capital gains, and the
effects of compounding. Investing in a mutual fund involves risks,
including the possible loss of principal. The prospectus contains more
complete information on the investment objectives, risks, charges and
expenses of the investment company which investors should read and
consider carefully before investing. To obtain a prospectus, contact a
registered representative or visit www.thrivent.com. At various times,
the Fund's adviser waived its management fee and/or reimbursed Fund
expenses. Had the adviser not done so, the Fund's total returns would
have been lower. The returns shown do not reflect taxes a shareholder
would pay on distributions or redemptions. Please read your prospectus
carefully.
* As you compare performance, please note that the Fund's performance
reflects the maximum 4.5% sales charge, while the Lehman Brothers
Aggregate Bond Index and the Consumer Price Index do not reflect any
such charges. If you were to purchase any of the above individual
stocks or funds represented in these Indexes, any charges you would
pay would reduce your total return as well.
** The Lehman Brothers Aggregate Bond Index is an index that measures the
performance of U.S. investment grade bonds. It is not possible to
invest directly in the Index. The performance of the Index does not
reflect deductions for fees, expenses or taxes.
*** The Consumer Price Index is an inflationary indicator that measures
the change in the cost of a fixed basket of products and services,
including housing, electricity, food and transportation. It is not
possible to invest directly in the Index.
[PHOTO OMITTED: STEVEN H. C. LEE]
Thrivent Bond Index Fund-I
Steven H.C. Lee, Portfolio Manager
The Thrivent Bond Index Fund-I strives for investment results similar to
the total return of the Lehman Brothers Aggregate Bond Index by investing
primarily in bonds and other debt securities included in the Index.
How did the Fund perform during the six-month period ended Oct. 31, 2004?
For the period, the Thrivent Bond Index Fund-I produced a 3.79% return.
Meanwhile, its Lipper Inc. Investment-Grade Debt Funds peer group posted a
median return of 3.76%. The Fund's market benchmark, the Lehman U.S.
Aggregate Bond Index, produced a 4.23% return during the period.
What market conditions were present during
the period?
Overall, it was a productive period for the bond market. Corporate bonds,
on the strength of solid balance sheets and strong earnings, showed more
economic optimism than the stock market did and outperformed Treasuries.
This is significant because, in recent years, corporate bond performance
has been a better indicator than the stock market of future economic
performance.
Mixed signals regarding employment were largely responsible for continuing
interest-rate volatility during the period. At the beginning of the
period, rates rose sharply for two months on the expectation of impending
job growth. Then, as the economy slowed and July employment figures took a
nosedive, the bond market rallied, which sent rates lower.
Ongoing concerns about terrorism during this summer's major events,
including the political conventions and the Olympics, held rates lower
than might be expected given the economic conditions. With bonds viewed as
a safe haven, many investors bought them with a goal of preserving value,
which drove rates even lower.
What factors affected the Fund's performance?
The Fund maintained its duration equal to that of its market benchmark,
the Lehman U.S. Aggregate Bond Index, during the period. It also
maintained sector weights that were in line with the sector weights of the
index. The Fund's underperformance versus its market benchmark was due to
a combination of the Fund's expenses and transaction fees, which are not
applicable to an unmanaged index, and variation in the corporate holdings
of the Fund versus the index. While we match the corporate securities in
the Fund to the index, we overweight or underweight individual issuers
depending on our credit views and the size of the issuers in the index.
Over the six months ending Oct. 31, these variations hurt the Fund's
performance modestly.
[GRAPHIC OMITTED: MOODY'S BOND QUALITY RATINGS DISTRIBUTIONS]
Moody's Bond Quality
Ratings Distributions
Aaa 77.0%
Aa 1.8%
A 9.3%
Baa 11.3%
Ba 0.3%
B 0.0%
Caa 0.0%
Ca 0.0%
C 0.0%
D 0.0%
Not Rated 0.3%
Top 10 Holdings
(% of Portfolio)
Federal National Mortgage Association
30-Yr. Conventional 7.3%
U.S. Treasury Notes 5.7%
Federal National Mortgage Association
15-Yr. Conventional 3.2%
Federal Home Loan Mortgage Corporation
30-Yr. Gold Conventional 2.7%
Federal Home Loan Mortgage Corporation
30-Yr. Gold Conventional 2.1%
Federal National Mortgage Association
15-Yr. Conventional 1.9%
Federal Home Loan Mortgage Corporation 1.8%
U.S. Treasury Bonds 1.7%
U.S. Treasury Notes 1.5%
U.S. Treasury Notes 1.2%
Footnote reads:
These long term fixed income securities represent 29.1% of the total
investment portfolio.
Footnotes read:
The returns shown do not reflect taxes a shareholder would pay on
distributions or redemptions.
Quoted Moody's Bond Quality Ratings Distributions, Portfolio Composition
and Top 10 Holdings are subject to change.
The list of Top 10 Holdings excludes short term investments and collateral
held for securities loaned.
What is your Outlook?
The principal driver of performance for the Fund and the Lehman U.S.
Aggregate Bond Index will be the pace of the economy and Fed tightening.
We expect the Fed to continue to raise short-term interest rates at each
meeting if the economy continues to show signs of strength. If the economy
seems to weaken, we believe they will pause in the tightening process. We
expect the Fund to perform similarly to the Aggregate index. The key risk
measures of the Fund are kept in line with those of the Aggregate index --
so regardless of the path of the economy and the Fed, performance should
be similar. Performance variations that do arise will be largely due to
the selection of corporate securities that the Fund holds. Despite the
potential for higher interest rates during the coming months, an
allocation to the U.S. high-quality bond market will offer valuable
diversification benefits.
Portfolio Facts
As of October 31, 2004
Institutional Share
------------------
Ticker AABIX
Transfer Agent ID 059
Net Assets $27,489,173
NAV $10.24
NAV -- High+ 10/25/2004 -- $10.25
NAV -- Low+ 6/14/2004 -- $9.89
Number of Holdings: 148 +For the period ended October 31, 2004
Average Annual Total Returns 2
As of October 31, 2004
From
Inception
Institutional Class1 1-Year 12/31/1999
- ---------------------------------------------------------
Net Asset Value 5.02% 7.62%
[GRAPHIC WORM CHART OMITTED: VALUE OF A $10,000 INVESTMENT]
Value of a $10,000 Investment
Institutional Class Shares*2
Lehman
Brothers
Bond Aggregate Consumer
Index Bond Price
Date Fund-I Index** Index***
- ---------------------------------------------------------
December 31, 1999 10,000 10,000 10,000
2000 9,941 9,967 10,024
2000 10,057 10,088 10,083
2000 10,196 10,221 10,166
2000 10,168 10,192 10,172
2000 10,169 10,187 10,178
2000 10,382 10,399 10,238
2000 10,472 10,493 10,255
2000 10,626 10,645 10,267
2000 10,705 10,712 10,321
2000 10,777 10,783 10,339
2000 10,965 10,959 10,345
2000 11,171 11,163 10,339
2001 11,332 11,345 10,404
2001 11,436 11,444 10,446
2001 11,496 11,502 10,469
2001 11,439 11,454 10,511
2001 11,501 11,523 10,559
2001 11,532 11,566 10,576
2001 11,796 11,825 10,547
2001 11,925 11,961 10,547
2001 12,107 12,100 10,594
2001 12,322 12,353 10,559
2001 12,168 12,183 10,541
2001 12,083 12,105 10,499
2002 12,167 12,203 10,523
2002 12,297 12,322 10,564
2002 12,062 12,117 10,624
2002 12,281 12,352 10,683
2002 12,401 12,457 10,683
2002 12,505 12,564 10,689
2002 12,652 12,716 10,701
2002 12,878 12,931 10,737
2002 13,081 13,140 10,755
2002 13,031 13,080 10,781
2002 13,001 13,076 10,781
2002 13,266 13,346 10,758
2003 13,275 13,358 10,805
2003 13,465 13,543 10,888
2003 13,446 13,532 10,954
2003 13,552 13,644 10,930
2003 13,792 13,898 10,912
2003 13,774 13,870 10,924
2003 13,277 13,404 10,936
2003 13,352 13,493 10,978
2003 13,721 13,850 11,013
2003 13,582 13,721 11,001
2003 13,607 13,754 10,972
2003 13,748 13,894 10,960
2004 13,854 14,006 11,013
2004 13,986 14,157 11,073
2004 14,096 14,263 11,144
2004 13,730 13,892 11,180
2004 13,658 13,837 11,245
2004 13,737 13,915 11,281
2004 13,857 14,053 11,263
2004 14,118 14,321 11,269
2004 14,158 14,360 11,293
October 29, 2004 $14,250 $14,480 $11,352
Footnotes read:
1 Institutional Class shares have no sales load and are for
institutional shareholders only.
2 Past performance is not an indication of future results. Annualized
total returns represent past performance and reflect changes in share
prices, the reinvestment of all dividends and capital gains, and the
effects of compounding. Investing in a mutual fund involves risks,
including the possible loss of principal. The prospectus contains more
complete information on the investment objectives, risks, charges and
expenses of the investment company which investors should read and
consider carefully before investing. To obtain a prospectus, contact a
registered representative or visit www.thrivent.com. At various times,
the Fund's adviser waived its management fee and/or reimbursed Fund
expenses. Had the adviser not done so, the Fund's total returns would
have been lower. The returns shown do not reflect taxes a shareholder
would pay on distributions or redemptions. Please read your prospectus
carefully.
* As you compare performance, please note that the Fund's performance
reflects Fund expenses, net of any reimbursements, while the Lehman
Brothers Aggregate Bond Index and the Consumer Price Index do not
reflect such charges. If you were to purchase any of the above
individual stocks or funds represented in these Indexes, any charges
you would pay would reduce your total return as well.
** The Lehman Brothers Aggregate Bond Index is an index that measures the
performance of U.S. investments grade bonds. It is not possible to
invest directly in the Index. The performance of the Index does not
reflect deductions for fees, expenses or taxes.
*** The Consumer Price Index is an inflationary indicator that measures
the change in the cost of a fixed basket of products and services,
including housing, electricity, food and transportation. It is not
possible to invest directly in the Index.
[PHOTO OMITTED: MICHAEL G. LANDREVILLE]
Thrivent Limited Maturity
Bond Fund
Michael G. Landreville, Portfolio Manager
The Thrivent Limited Maturity Bond Fund seeks a high level of current
income with stability of principal by investing primarily in
high-quality intermediate and shorter-term-bonds.
How did the Fund perform during the 12-month period ended Oct. 31, 2004?
For the 12-month period, the Thrivent Limited Maturity Bond Fund produced
a 2.52% return while its Lipper Inc. Short-Intermediate Investment Grade
Debt Funds peer group produced a 3.20% median return. During the same
period, its market benchmark, the Lehman Government/Corporate 1-5 Year
Index, delivered a 2.95% return.
What market conditions were present during
the period?
The 12-month period was marked by interest rate volatility as a result of
mixed signals regarding employment. In April, rates shot up for two months
on the expectation of impending job growth. Then, as the economy slowed
and July employment figures took a nosedive, the bond market rallied,
which sent rates lower.
Ongoing concerns about terrorism during this summer's major events,
including the political conventions and the Olympics, held rates lower
than might be expected given the economic conditions. With bonds viewed as
a safe haven, many investors bought them with a goal of preserving value,
which drove rates even lower.
All in all, it was a productive period for the bond market. Corporate
bonds, on the strength of solid balance sheets and strong earnings, showed
more economic optimism than the stock market did and outperformed
Treasuries.
What factors affected the Fund's performance?
The primary reason for the Fund's underperformance during the period was
its short duration relative to its peer group. We positioned the Fund in a
conservative manner in anticipation of a stronger economy and higher
interest rates. In doing so, we underestimated the psychological impact
that the fear of terrorism would have on the economy.
Many businesses viewed the possibility of a terrorist event against a
backdrop of uncertainty regarding the U.S. presidential election as
rationale for delaying capital investments. As this attitude became more
pervasive, it became a self-fulfilling prophecy. And, when intermediate
and longer-term rates declined, the Fund's position, short on the yield
curve, hurt its performance relative to its peer group and market index.
The Fund's underweight stance in mortgage-backed securities --
traditionally a poor performing sector in a rising rate environment --
also contributed to the Fund's relative underperformance as they posted
strong returns during the period. The Fund's overweight stance in
Treasuries, on the other hand, also hurt its relative performance.
The Fund's corporate bond holdings, largely in the A-rated and BBB-rated
categories, outperformed other categories of corporate bonds and were a
positive factor in the Fund's favor during the period. In addition, the
Fund also benefited from a significant weighting in Treasury Inflation
Protected Securities (TIPS), which performed very well relative to
Treasuries before we sold them off midway through the period.
[GRAPHIC OMITTED: MOODY'S BOND QUALITY RATINGS DISTRIBUTIONS]
Moody's Bond Quality
Ratings Distributions
Aaa 51.8%
Aa 10.4%
A 10.5%
Baa 18.4%
Ba 8.0%
B 0.2%
Caa 0.0%
Ca 0.0%
C 0.0%
D 0.0%
Not Rated 0.7%
Top 10 Holdings
(% of Portfolio)
Federal National Mortgage Association
15-Yr. Conventional 5.5%
U.S. Treasury Notes 4.2%
U.S. Treasury Notes 3.8%
U.S. Treasury Notes 2.5%
Federal National Mortgage Association
30-Yr. Conventional 1.9%
Federal Home Loan Mortgage Corporation 1.9%
Morgan Stanley and Company 1.7%
Countrywide Asset-Backed Certificates 1.3%
Nissan Auto Lease Trust Series 0.9%
Chase Funding Mortgage Loan Asset Backed 0.9%
Footnote reads:
These long term fixed income securities represent 24.6% of the total
investment portfolio.
Footnotes read:
Quoted Fund performance is for Class A shares.
The returns shown do not reflect taxes a shareholder would pay on
distributions or redemptions.
Quoted Moody's Bond Quality Ratings Distributions, Portfolio Composition
and Top 10 Holdings are subject to change.
The list of Top 10 Holdings excludes short term investments and collateral
held for securities loaned.
What is your Outlook?
In the bond market, no significant risks or bargains have emerged. This
mirrors the state of the economy, which is neither growing at a robust
pace nor providing cause for great concern. As a result, the market will
likely continue its steady-as-you-go outlook for the foreseeable future
with rates occupying a somewhat confined trading range.
While the fear of terrorism will likely never cease, it should wane
considerably now that the many major events of 2004 have peacefully
concluded. The markets, with their aversion to change, should react
positively to the swift and decisive conclusion to the U.S. presidential
election. Therefore, we believe these uncertainties and fears could give
way to renewed growth in the market.
Job growth should continue at a deliberate if not solid pace and the oil
price boom should subside measurably. In this environment, we will
maintain largely neutral sector weightings, although we will remain
slightly overweight in corporate bonds, which continue to perform well. We
will also position the Fund with a neutral to modestly short duration to
guard against the potential for rising rates.
We will also closely monitor the activities of foreign investors who have
recently purchased record amounts of U.S. fixed income securities. Pending
the strength of the dollar, this activity could add to further interest
rate volatility.
Portfolio Facts
As of October 31, 2004
A Share B Share Institutional Share
------------------ ------------------ ------------------
Ticker LBLAX N/A N/A
Transfer Agent ID 76 376 476
Net Assets $119,447,943 $2,114,788 $9,774,829
NAV $12.91 $12.92 $12.91
NAV -- High+ 3/17/2004 -- $13.17 3/17/2004 -- $13.17 3/9/2004 -- $13.17
NAV -- Low+ 6/14/2004 -- $12.72 6/14/2004 -- $12.72 6/14/2004 -- $12.72
Number of Holdings: 161 +For the year ended October 31, 2004
Average Annual Total Returns 2
As of October 31, 2004
From
Inception
Class A 1-Year 5-Year 10/29/1999
- -----------------------------------------------------------------------
without sales charge 2.52% 5.40% 5.40%
with sales charge 2.52% 5.40% 5.40%
From
Inception
Class B 1-Year 5-Year 10/29/1999
- -----------------------------------------------------------------------
without sales charge 2.45% 5.36% 5.36%
with sales charge 2.45% 5.36% 5.36%
From
Inception
Institutional Class1 1-Year 5-Year 10/29/1999
- -----------------------------------------------------------------------
Net Asset Value 2.90% 5.70% 5.70%
[GRAPHIC WORM CHART OMITTED: VALUE OF A $10,000 INVESTMENT]
Value of a $10,000 Investment
Class A Shares2
Lehman
Brothers
Government/
Limited 1-5 Year
Maturity Corporate Consumer
Bond Bond Price
Date Fund Index* Index**
- --------------------------------------------------------
October 31, 1999 10,000 10,000 10,000
1999 10,036 10,017 10,006
1999 9,994 10,009 10,006
2000 9,942 9,989 10,030
2000 10,035 10,065 10,089
2000 10,115 10,139 10,172
2000 10,102 10,141 10,178
2000 10,114 10,172 10,184
2000 10,292 10,312 10,244
2000 10,344 10,385 10,262
2000 10,446 10,484 10,273
2000 10,497 10,582 10,327
2000 10,519 10,627 10,345
2000 10,624 10,743 10,351
2000 10,785 10,902 10,345
2001 10,998 11,068 10,410
2001 11,058 11,158 10,452
2001 11,150 11,250 10,476
2001 11,175 11,263 10,517
2001 11,230 11,330 10,565
2001 11,273 11,373 10,583
2001 11,432 11,557 10,553
2001 11,529 11,651 10,553
2001 11,627 11,842 10,600
2001 11,763 11,987 10,565
2001 11,708 11,914 10,547
2001 11,650 11,888 10,505
2002 11,712 11,932 10,529
2002 11,774 12,005 10,571
2002 11,669 11,884 10,630
2002 11,811 12,051 10,681
2002 11,905 12,146 10,681
2002 11,928 12,251 10,687
2002 11,917 12,398 10,699
2002 12,009 12,509 10,735
2002 12,140 12,673 10,752
2002 12,058 12,671 10,779
2002 12,047 12,654 10,779
2002 12,219 12,854 10,755
2003 12,258 12,861 10,803
2003 12,384 12,980 10,886
2003 12,402 13,003 10,951
2003 12,530 13,066 10,928
2003 12,685 13,215 10,910
2003 12,712 13,230 10,922
2003 12,515 13,045 10,934
2003 12,540 13,051 10,975
2003 12,734 13,270 11,011
2003 12,698 13,184 10,999
2003 12,705 13,185 10,969
2003 12,807 13,285 10,957
2004 12,863 13,337 11,011
2004 12,960 13,441 11,070
2004 13,031 13,516 11,142
2004 12,804 13,296 11,177
2004 12,761 13,262 11,243
2004 12,775 13,280 11,278
2004 12,833 13,356 11,261
2004 12,943 13,509 11,267
2004 12,961 13,509 11,290
October 29, 2004 $13,017 $13,573 $11,350
Footnotes read:
1 Institutional Class shares have no sales load and are for institutional
shareholders only.
2 Past performance is not an indication of future results. Annualized
total returns represent past performance and reflect changes in share
prices, the reinvestment of all dividends and capital gains, and the
effects of compounding. Investing in a mutual fund involves risks,
including the possible loss of principal. The prospectus contains more
complete information on the investment objectives, risks, charges and
expenses of the investment company which investors should read and
consider carefully before investing. To obtain a prospectus, contact a
registered representative or visit www.thrivent.com. At various times,
the Fund's adviser waived its management fee and/or reimbursed Fund
expenses. Had the adviser not done so, the Fund's total returns would
have been lower. The returns shown do not reflect taxes a shareholder
would pay on distributions or redemptions. Please read your prospectus
carefully.
* The Lehman Brothers Government/Corporate 1-5 Year Bond Index is an
index which measures the performance of corporate and government U.S.
bonds with maturities of one to five years. It is not possible to invest
directly in the Index. The performance of the Index does not reflect
deductions for fees, expenses or taxes.
** The Consumer Price Index is an inflationary indicator that measures the
change in the cost of a fixed basket of products and services,
including housing, electricity, food and transportation. It is not
possible to invest directly in the Index.
[PHOTO OMITTED: WILLIAM D. STOUTEN]
Thrivent Money Market Fund
William D. Stouten, Portfolio Manager
The Thrivent Money Market Fund seeks a high level of current income while
maintaining liquidity and a constant net asset value of $1.00 per share,
by investing in a diversified portfolio of high quality, short-term money
market instruments.*
How did the Fund perform?
Despite continued speculation about inflationary stresses throughout the
period, money market yields trended upward in correlation with three
rounds of interest rate hikes. For the six months ended Oct. 31, the
Thrivent Money Market Fund returned 0.26% versus its Lipper Inc. peer
group of similar money market funds, which reported a median net return of
0.32%.
What market conditions characterized the period?
Characterized by a dichotomy of economic forces, the period saw robust
growth in the second quarter only to be followed by waning employment
numbers and uncertain corporate earnings prospects in the third quarter.
Even so, the Federal Reserve remained generally optimistic about the
economy's prospects. Hence, the Federal Open Market Committee initiated
its "measured pace" in pursuit of price stability by raising the federal
funds rate in three 25-basis-point increments on June 30, August 10 and
September 21 -- going from 1.00% to 1.75%.
What has affected your performance?
The most significant factor during the period, from a portfolio management
perspective, was speculation about the Fed and if it would enact
consecutive interest rate increases and to what magnitude. Concluding that
the Fed would most likely act in line with its earlier statements and
posturing, we prepared for upward adjustments to the federal funds rate by
maintaining an equal-to-below weighted-average maturity versus other
taxable money market funds -- 40 days versus 42 days, respectively, as of
Oct. 26.
Consequently, we focused more of our purchases in the shorter three- and
six-month end of the yield curve versus the one-year end. This shorter
stance provided investment flexibility and allowed us to take advantage of
higher yields more quickly during the Fed's tightening cycle. In addition,
given the period's shift to more of an ascending yield curve (meaning as
bond maturities lengthened, higher yields followed), we still took
advantage of select opportunities to pick up incremental yield when
possible.
A continued shortage of corporate commercial paper supply remained a
challenge, causing us to consider other securities that met our
conservative selection criteria (liquidity and safety), while also adding
incremental yield. For example, we maintained a higher exposure to
variable-rate securities, which generally provide higher yields than
commercial paper equivalents. Coupled with a shorter duration, this
slightly higher exposure to variable-rate notes contributed to our
competitive performance.
[GRAPHIC OMITTED: PORTFOLIO COMPOSITION]
Portfolio Composition
(% of Portfolio)
Commercial Paper -- 51.0%
Variable Rate Notes -- 32.1%
U.S. Government -- 9.5%
Certificates of Deposit -- 7.4%
Footnotes read:
* To the extent practicable, the Fund intends to maintain a stable net
asset value of $1.00 per share. An investment in The Money Market Fund
is not insured or guaranteed by the FDIC or any other government agency.
Although the Fund seeks to preserve the value of your investment at $1
per share, it is possible to lose money by investing in the Fund.
Quoted Fund performance is for Class A shares.
The returns shown do not reflect taxes a shareholder would pay on
distributions or redemptions.
Quoted Portfolio Composition is subject to change.
Overall, we kept the portfolio's composition quite consistent to the
previous reporting period. However, we did slightly increase our exposure
to government-agency securities, taking advantage of lower prices when
possible.
Outlook
We expect the Federal Reserve's actions will remain at the forefront of
investors' minds throughout year end. Should the Fed continue its
"measured pace" in raising the federal funds target rate, we expect
additional increases in November and December. We believe this will
continue to benefit money market instruments, as we're already seeing some
signs of yield improvement. Given this near-term environment, we'll
continue to manage for liquidity and incremental yield.
Our strategy employs a strict focus on conservative investments that
represent top-tier credits and a broad range of industries and maturities.
As always, safeguarding principal and liquidity remain our primary
objectives as we continue our quest for greater yield.
Portfolio Facts
As of October 31, 2004
A Share B Share Institutional Share
------------------ ------------------ ------------------
Ticker AMMXX N/A AALXX
Transfer Agent ID 018 068 091
Net Assets $686,835,953 $2,869,213 $245,667,613
NAV $1.00 $1.00 $1.00
Number of Holdings: For the period ended October 31, 2004
Average Annual Total Returns 2
As of October 31, 2004
Class A1 1-Year 5-Year 10-Year
- -----------------------------------------------------------------------
Net Asset Value 0.40% 2.40% 3.65%
0.40% 2.40% 3.65%
From
Inception
Class B1 1-Year 5-Year 1/8/1997
- -----------------------------------------------------------------------
without sales charge 0.21% 1.76% 2.66%
with sales charge (3.79%) 1.76% 2.66%
From
Inception
Institutional Class 1-Year 5-Year 12/29/1997
- -----------------------------------------------------------------------
Net Asset Value 0.74% 2.71% 3.32%
Yields
As of October 31, 2004**
Class A Class B Institutional
- -------------------------------------------------------------------------------
7-Day Yield 1.06% 1.05% 1.76%
7-Day Effective Yiel 1.06% 1.06% 1.78%
Footnotes read:
1 Class B performance reflects the maximum contingent deferred sales
charge (CDSC) of 5%, declining 1% each year during the first five years
and then converting to Class A shares after the fifth year.
Institutional Class shares have no sales load and are for institutional
shareholders only.
2 Past performance is not an indication of future results. Annualized
total returns represent past performance and reflect changes in share
prices, the reinvestment of all dividends and capital gains, and the
effects of compounding. Investing in a mutual fund involves risks,
including the possible loss of principal. The prospectus contains more
complete information on the investment objectives, risks, charges and
expenses of the investment company which investors should read and
consider carefully before investing. To obtain a prospectus, contact a
registered representative or visit www.thrivent.com. At various times,
the Fund's adviser waived its management fee and/or reimbursed Fund
expenses. Had the adviser not done so, the Fund's total returns would
have been lower. The returns shown do not reflect taxes a shareholder
would pay on distributions or redemptions. Please read your prospectus
carefully.
** Seven-day yields of The Money Market Fund refer to the income generated
by an investment in the Fund over a specified seven-day period.
Effective yields reflect the reinvestment of income. Yields are subject
to daily fluctuation and should not be considered an indication of
future results.
Shareholder Expense Example
(Unaudited)
As a shareholder of the Fund, you incur two types of costs: (1)
transaction costs, including sales charges (loads) on purchase payments,
reinvested dividends, or other distributions; redemption fees; and
exchange fees; and (2) ongoing costs, including management fees;
distribution (12b-1) fees and other Fund expenses. This Example is
intended to help you understand your ongoing costs (in dollars) of
investing in the Fund and to compare these costs with the ongoing costs of
investing in other mutual funds. The Example is based on an investment of
$1,000 invested at the beginning of the period and held for the entire
period from May 1, 2004 through October 31, 2004.
Actual Expenses
The first line of the table below provides information about actual
account values and actual expenses. You may use the information in this
line, together with the amount you invested, to estimate the expenses that
you paid over the period. Simply divide your account value by $1,000 (for
example, an $8,600 account value divided by $1,000 = 8.6), then multiply
the result by the number in the first line under the heading entitled
"Expenses Paid During Period" to estimate the expenses you paid. A small
account fee of $12 is charged to Class A and Class B shareholder accounts
if the value falls below stated account minimums ($2,500 for Thrivent
Limited Maturity Fund, $1,500 for Thrivent Money Market Fund and $1,000
for all other Funds.) This fee is not included in the table below. If it
were, the expenses you paid during the period would have been higher and
the ending account value would have been lower.
Hypothetical Example for Comparison Purposes
The second line of the table below provides information about hypothetical
account values and hypothetical expenses based on the Fund's actual
expense ratio and an assumed rate of return of 5% per year before
expenses, which is not the Fund's actual return. The hypothetical account
values and expenses may not be used to estimate the actual ending account
balance or expenses you paid for the period. You may use this information
to compare the ongoing costs of investing in the Fund and other funds. To
do so, compare this 5% hypothetical example with the 5% hypothetical
examples that appear in the shareholder reports of the other funds. A
small account fee of $12 is charged to Class A and Class B shareholder
accounts if the value falls below stated account minimums ($2,500 for
Thrivent Limited Maturity Fund, $1,500 for Thrivent Money Market Fund and
$1,000 for all other Funds.) This fee is not included in the table below.
If it were, the expenses you paid during the period would have been higher
and the ending account value would have been lower.
Please note that the expenses shown in the table are meant to highlight
your ongoing costs only and do not reflect any transactional costs, such
as sales charges (loads), redemption fees, or exchange fees. Therefore,
the second line of the table is useful in comparing ongoing costs only,
and will not help you determine the relative total costs of owning
different funds. In addition, if these transactional costs were included,
your costs would have been higher.
Expenses
Beginning Ending Paid During
Account Account Period * Annualized
Value Value 5/1/2004 -- Expense
5/1/04 10/31/04 10/31/2004 Ratio
- -------------------------------------------------------------------------------------
Thrivent Technology Fund
Actual
Class A $1,000 $1,025 $8.68 1.70%
Class B $1,000 $1,023 $11.83 2.32%
Institutional Class $1,000 $1,030 $5.12 1.00%
Hypothetical **
Class A $1,000 $1,017 $8.64 1.70%
Class B $1,000 $1,014 $11.77 2.32%
Institutional Class $1,000 $1,020 $5.09 1.00%
Thrivent Partner Small Cap Value Fund
Actual
Class A $1,000 $1,076 $5.76 1.10%
Class B $1,000 $1,071 $10.96 2.10%
Institutional Class $1,000 $1,080 $2.10 0.40%
Hypothetical **
Class A $1,000 $1,020 $5.60 1.10%
Class B $1,000 $1,015 $10.66 2.10%
Institutional Class $1,000 $1,023 $2.04 0.40%
Thrivent Small Cap Stock Fund
Actual
Class A $1,000 $1,059 $7.01 1.35%
Class B $1,000 $1,053 $12.37 2.39%
Institutional Class $1,000 $1,062 $5.77 1.11%
Hypothetical **
Class A $1,000 $1,018 $6.87 1.35%
Class B $1,000 $1,013 $12.13 2.39%
Institutional Class $1,000 $1,020 $5.65 1.11%
Thrivent Small Cap Index Fund
Actual
Class A $1,000 $1,071 $4.96 0.95%
Hypothetical **
Class A $1,000 $1,020 $4.84 0.95%
Thrivent Mid Cap Growth Fund
Actual
Class A $1,000 $1,022 $6.62 1.30%
Class B $1,000 $1,017 $12.25 2.41%
Institutional Class $1,000 $1,026 $2.86 0.56%
Hypothetical **
Class A $1,000 $1,019 $6.61 1.30%
Class B $1,000 $1,013 $12.23 2.41%
Institutional Class $1,000 $1,022 $2.85 0.56%
Thrivent Mid Cap Stock Fund
Actual
Class A $1,000 $1,056 $6.43 1.24%
Class B $1,000 $1,050 $12.14 2.35%
Institutional Class $1,000 $1,058 $3.68 0.71%
Hypothetical **
Class A $1,000 $1,019 $6.31 1.24%
Class B $1,000 $1,013 $11.93 2.35%
Institutional Class $1,000 $1,022 $3.62 0.71%
Thrivent Mid Cap Index Fund
Actual
Class A $1,000 $1,033 $4.71 0.92%
Hypothetical **
Class A $1,000 $1,021 $4.69 0.92%
Thrivent Mid Cap Index Fund-I
Actual
Institutional Class $1,000 $1,033 $3.84 0.75%
Hypothetical **
Institutional Class $1,000 $1,021 $3.82 0.75%
Thrivent Partner International Stock Fund
Actual
Class A $1,000 $1,033 $6.35 1.24%
Class B $1,000 $1,028 $15.28 2.99%
Institutional Class $1,000 $1,037 $6.21 1.21%
Hypothetical **
Class A $1,000 $1,019 $6.31 1.24%
Class B $1,000 $1,010 $15.15 2.99%
Institutional Class $1,000 $1,019 $6.16 1.21%
Thrivent Large Cap Growth Fund
Actual
Class A $1,000 $1,011 $3.14 0.62%
Class B $1,000 $1,007 $10.72 2.12%
Institutional Class $1,000 $1,015 $(1.12) (0.22)%
Hypothetical **
Class A $1,000 $1,022 $3.16 0.62%
Class B $1,000 $1,015 $10.76 2.12%
Institutional Class $1,000 $1,026 $(1.12) (0.22)%
Thrivent Large Cap Value Fund
Actual
Class A $1,000 $1,050 $3.26 0.63%
Class B $1,000 $1,044 $10.82 2.10%
Institutional Class $1,000 $1,052 $1.55 0.30%
Hypothetical **
Class A $1,000 $1,022 $3.21 0.63%
Class B $1,000 $1,015 $10.66 2.10%
Institutional Class $1,000 $1,024 $1.53 0.30%
Thrivent Large Cap Stock Fund
Actual
Class A $1,000 $1,013 $5.12 1.01%
Class B $1,000 $1,008 $10.07 1.99%
Institutional Class $1,000 $1,015 $3.96 0.78%
Hypothetical **
Class A $1,000 $1,020 $5.14 1.01%
Class B $1,000 $1,015 $10.11 1.99%
Institutional Class $1,000 $1,021 $3.97 0.78%
Thrivent Large Cap Index Fund
Actual
Class A $1,000 $1,026 $2.91 0.57%
Hypothetical **
Class A $1,000 $1,022 $2.91 0.57%
Thrivent Large Cap Index Fund-I
Actual
Institutional Class $1,000 $1,028 $2.71 0.53%
Hypothetical **
Institutional Class $1,000 $1,023 $2.70 0.53%
Thrivent Balanced Fund
Actual
Class A $1,000 $1,022 $5.45 1.07%
Class B $1,000 $1,017 $10.32 2.03%
Institutional Class $1,000 $1,025 $3.06 0.60%
Hypothetical **
Class A $1,000 $1,020 $5.45 1.07%
Class B $1,000 $1,015 $10.31 2.03%
Institutional Class $1,000 $1,022 $3.06 0.60%
Thrivent High Yield Fund
Actual
Class A $1,000 $1,062 $4.47 0.86%
Class B $1,000 $1,056 $8.86 1.71%
Institutional Class $1,000 $1,064 $2.39 0.46%
Hypothetical **
Class A $1,000 $1,021 $4.38 0.86%
Class B $1,000 $1,017 $8.69 1.71%
Institutional Class $1,000 $1,023 $2.35 0.46%
Thrivent Partner High Yield Fund
Actual
Class A $1,000 $1,063 $5.56 1.07%
Class B $1,000 $1,058 $10.63 2.05%
Institutional Class $1,000 $1,066 $3.18 0.61%
Hypothetical **
Class A $1,000 $1,020 $5.45 1.07%
Class B $1,000 $1,015 $10.41 2.05%
Institutional Class $1,000 $1,022 $3.11 0.61%
Thrivent Municipal Bond Fund
Actual
Class A $1,000 $1,044 $3.92 0.76%
Class B $1,000 $1,042 $8.85 1.72%
Institutional Class $1,000 $1,046 $2.32 0.45%
Hypothetical **
Class A $1,000 $1,021 $3.87 0.76%
Class B $1,000 $1,017 $8.74 1.72%
Institutional Class $1,000 $1,023 $2.29 0.45%
Thrivent Income Fund
Actual
Class A $1,000 $1,039 $4.06 0.79%
Class B $1,000 $1,035 $8.21 1.60%
Institutional Class $1,000 $1,041 $2.06 0.40%
Hypothetical **
Class A $1,000 $1,021 $4.02 0.79%
Class B $1,000 $1,017 $8.13 1.60%
Institutional Class $1,000 $1,023 $2.04 0.40%
Thrivent Core Bond Fund
Actual
Class A $1,000 $1,035 $4.72 0.92%
Class B $1,000 $1,030 $9.77 1.91%
Institutional Class $1,000 $1,037 $2.57 0.50%
Hypothetical **
Class A $1,000 $1,021 $4.69 0.92%
Class B $1,000 $1,016 $9.70 1.91%
Institutional Class $1,000 $1,023 $2.55 0.50%
Thrivent Bond Index Fund-I
Actual
Institutional Class $1,000 $1,038 $2.77 0.54%
Hypothetical **
Institutional Class $1,000 $1,022 $2.75 0.54%
Thrivent Limited Maturity Bond Fund
Actual
Class A $1,000 $1,017 $4.07 0.80%
Class B $1,000 $1,017 $4.37 0.86%
Institutional Class $1,000 $1,018 $2.24 0.44%
Hypothetical **
Class A $1,000 $1,021 $4.08 0.80%
Class B $1,000 $1,021 $4.38 0.86%
Institutional Class $1,000 $1,023 $2.24 0.44%
Thrivent Money Market Fund
Actual
Class A $1,000 $1,003 $4.54 0.90%
Class B $1,000 $1,002 $5.25 1.04%
Institutional Class $1,000 $1,005 $2.37 0.47%
Hypothetical **
Class A $1,000 $1,021 $4.58 0.90%
Class B $1,000 $1,020 $5.30 1.04%
Institutional Class $1,000 $1,023 $2.40 0.47%
Footnotes read:
*Expenses are equal to the Fund's annualized expense ratio, multiplied by
the average account value over the period, multiplied by 184 /365 to
reflect the one-half year period.
**Assuming 5% total return before expenses.
[LOGO OMITTED]
PricewaterhouseCoopers LLP
Suite 1500
100 E. Wisconsin Ave.
Milwaukee WI 53202
Telephone (414) 212 1600
Report of Independent Registered Public Accounting Firm
To the Shareholders and Trustees of
the Thrivent Mutual Funds:
In our opinion, the accompanying statements of assets and liabilities,
including the schedules of investments, and the related statements of
operations and of changes in net assets and the financial highlights
present fairly, in all material respects, the financial position of the
Thrivent Technology Fund, Thrivent Partner Small Cap Value Fund, Thrivent
Small Cap Stock Fund, Thrivent Small Cap Index Fund, Thrivent Mid Cap
Growth Fund, Thrivent Mid Cap Stock Fund, Thrivent Mid Cap Index Fund,
Thrivent Mid Cap Index Fund-I, Thrivent Partner International Stock Fund,
Thrivent Large Cap Growth Fund, Thrivent Large Cap Value Fund, Thrivent
Large Cap Stock Fund, Thrivent Large Cap Index Fund, Thrivent Large Cap
Index Fund-I, Thrivent Balanced Fund, Thrivent High Yield Fund, Thrivent
Partner High Yield Fund, Thrivent Municipal Bond Fund, Thrivent Income
Fund, Thrivent Core Bond Fund, Thrivent Bond Index Fund-I, Thrivent
Limited Maturity Bond Fund, and Thrivent Money Market Fund (the "Funds")
at October 31, 2004, the results of each of their operations, changes in
each of their net assets and their financial highlights for each of the
periods presented, in conformity with accounting principles generally
accepted in the United States of America. These financial statements and
financial highlights (hereafter referred to as "financial statements") are
the responsibility of the Funds' management; our responsibility is to
express an opinion on these financial statements based on our audits. We
conducted our audits of these financial statements in accordance with the
standards of the Public Company Accounting Oversight Board (United
States). Those standards require that we plan and perform the audit to
obtain reasonable assurance about whether the financial statements are
free of material misstatement. An audit includes examining, on a test
basis, evidence supporting the amounts and disclosures in the financial
statements, assessing the accounting principles used and significant
estimates made by management, and evaluating the overall financial
statement presentation. We believe that our audits, which included
confirmation of securities at October 31, 2004 by correspondence with the
custodian and brokers, provide a reasonable basis for our opinion.
/S/ PricewaterhouseCoopers LLP
December 16, 2004
Technology Fund
Schedule of Investments as of October 31, 2004(a)
Shares Common Stock (88.7%) Value
- -------------------------------------------------------------------------------------------------------------------------
Consumer Discretionary (5.5%)
- -------------------------------------------------------------------------------------------------------------------------
3,200 Amazon.com, Inc.(b) $109,216
5,400 DIRECTV Group, Inc.(b) 90,558
14,900 eBay, Inc.(b) 1,454,389
4,200 Garmin, Ltd.(c) 210,000
2,300 Pixar, Inc.(b) 184,966
8,400 Stamps.com, Inc.(c) 116,592
2,800 Viacom, Inc. 102,172
7,200 Walt Disney Company 181,584
13,800 XM Satellite Radio Holdings, Inc.(b,c) 446,016
- -------------------------------------------------------------------------------------------------------------------------
Total Consumer Discretionary 2,895,493
=========================================================================================================================
Health Care (1.3%)
- -------------------------------------------------------------------------------------------------------------------------
2,000 Amgen, Inc.(b) 113,600
2,300 Boston Scientific Corporation 81,190
2,900 Charles River Laboratories International, Inc.(b) 135,691
6,500 Pfizer, Inc. 188,175
13,900 Vertex Pharmaceuticals, Inc.(b,c) 151,232
- -------------------------------------------------------------------------------------------------------------------------
Total Health Care 669,888
=========================================================================================================================
Industrials (0.3%)
- -------------------------------------------------------------------------------------------------------------------------
5,700 Monster Worldwide, Inc.(b) 159,885
- -------------------------------------------------------------------------------------------------------------------------
Total Industrials 159,885
=========================================================================================================================
Information Technology (80.2%)
- -------------------------------------------------------------------------------------------------------------------------
6,300 Accenture, Ltd.(b) 152,523
4,000 Acxiom Corporation 100,000
4,200 Adobe Systems, Inc. 235,326
5,300 Affiliated Computer Services, Inc.(b) 289,115
17,700 Agilent Technologies, Inc.(b) 443,562
9,100 Akamai Technologies, Inc.(b) 126,035
14,100 Altera Corporation(b) 320,493
6,400 Amphenol Corporation 219,712
21,400 Analog Devices, Inc. 861,564
34,600 Apple Computer, Inc.(b) 1,817,538
50,000 Applied Materials, Inc.(b) 805,000
10,900 ASML Holding NV ADR(b) 155,325
22,800 ATI Technologies, Inc.(b) 411,540
16,425 AU Optronics Corporation(c) 172,462
14,400 Avaya, Inc.(b) 207,360
2,900 Avid Technology, Inc.(b) 153,642
38,200 BEA Systems, Inc.(b) 310,184
23,700 BMC Software, Inc.(b) 448,404
15,000 Broadcom Corporation(b) 405,750
18,000 Cadence Design Systems, Inc.(b) 223,920
5,700 CDW Corporation 353,571
108,300 Cisco Systems, Inc.(b) 2,080,443
7,300 Cognos, Inc.(b) 288,423
12,300 Computer Associates International, Inc. 340,833
7,300 Computer Sciences Corporation(b) 362,591
21,500 Comverse Technology, Inc.(b) 443,760
14,400 Corning, Inc.(b) 164,880
16,300 Cypress Semiconductor Corporation(b,c) 171,639
70,900 Dell, Inc.(b) 2,485,754
4,100 DST Systems, Inc.(b) 183,885
7,000 Electronic Arts, Inc. 314,440
88,700 EMC Corporation(b) 1,141,569
3,500 First Data Corporation 144,480
26,500 Flextronics International, Ltd.(b) 319,325
5,300 FormFactor, Inc.(b,c) 124,285
27,900 Hewlett-Packard Company 520,614
20,100 Integrated Device Technology, Inc.(b) 237,582
72,300 Intel Corporation 1,609,398
17,300 International Business Machines Corporation 1,552,675
13,100 Intersil Corporation 213,792
5,700 Intuit, Inc.(b) 258,552
9,000 Jabil Circuit, Inc.(b) 218,790
53,800 JDS Uniphase Corporation(b) 170,546
26,400 Juniper Networks, Inc.(b) 702,504
14,500 KLA-Tencor Corporation(b) 660,185
13,800 Lam Research Corporation(b) 359,214
2,700 Lexmark International, Inc.(b) 224,397
14,200 Linear Technology Corporation 537,896
135,100 Lucent Technologies, Inc.(b,c) 479,605
4,200 Macromedia, Inc.(b) 113,988
18,400 Marvell Technology Group, Ltd. 525,688
11,500 Maxim Integrated Products, Inc. 505,885
17,100 McAfee, Inc.(b) 413,820
11,600 Microchip Technology, Inc. 350,900
13,000 Micron Technology, Inc.(b) 158,340
108,600 Microsoft Corporation 3,039,715
52,900 Motorola, Inc. 913,054
22,100 National Semiconductor Corporation 369,070
20,700 NETGEAR, Inc.(b,c) 282,141
12,300 Network Appliance, Inc.(b) 300,981
25,700 Nokia Oyj ADR 396,294
49,400 Nortel Networks Corporation(b) 167,466
17,200 NVIDIA Corporation(b) 248,884
52,200 ON Semiconductor Corporation(b,c) 187,920
82,200 Oracle Corporation(b) 1,040,652
9,800 Plexus Corporation(b) 121,422
10,200 PMC-Sierra, Inc.(b) 104,652
36,500 QUALCOMM, Inc. 1,526,065
4,800 SanDisk Corporation(c) 100,176
16,000 Sanmina-SCI Corporation(b) 128,000
11,800 SAP AG 503,270
21,400 Siebel Systems, Inc.(b) 203,300
38,700 Skyworks Solutions, Inc.(b,c) 344,043
14,400 STMicroelectronics NV(c) 266,544
5,500 Symantec Corporation 313,170
8,800 Symbol Technologies, Inc. 129,272
44,341 Taiwan Semiconductor Manufacturing Company, Ltd. ADR 335,661
10,400 Telefonaktiebolaget LM Ericsson(b,c) 300,664
9,500 Teradyne, Inc.(b) 157,320
28,200 Texas Instruments, Inc. 689,490
28,200 VeriSign, Inc.(b) 756,606
4,400 VERITAS Software Corporation(b) 96,272
6,000 Vishay Intertechnology, Inc.(b) 77,580
18,500 Western Digital Corporation(b) 154,105
63,200 Wind River Systems, Inc.(b) 846,248
10,900 Xerox Corporation(b) 160,993
13,900 Xilinx, Inc. 425,340
30,900 Yahoo!, Inc. 1,118,271
- -------------------------------------------------------------------------------------------------------------------------
Total Information Technology 42,398,345
=========================================================================================================================
Telecommunication Services (1.4%)
- -------------------------------------------------------------------------------------------------------------------------
4,900 Nextel Communications, Inc.(b) 129,801
19,850 Sprint Corporation 415,858
5,300 Verizon Communications, Inc. 207,230
- -------------------------------------------------------------------------------------------------------------------------
Total Telecommunication Services 752,889
- -------------------------------------------------------------------------------------------------------------------------
Total Common Stock (cost $50,867,596) 46,876,500
=========================================================================================================================
Shares Collateral Held for Securities Loaned (6.2%) Interest Rate(d) Maturity Date Value
- -------------------------------------------------------------------------------------------------------------------------
3,260,506 Thrivent Financial Securities Lending Trust 1.820% N/A $3,260,506
- -------------------------------------------------------------------------------------------------------------------------
Total Collateral Held for Securities Loaned (cost
$3,260,506) 3,260,506
=========================================================================================================================
Shares or
Principal
Amount Short-Term Investments (5.1%) Interest Rate(d) Maturity Date Value
- -------------------------------------------------------------------------------------------------------------------------
$970,000 Federal Home Loan Bank Discount Notes 1.718% 11/1/2004 $970,000
1,725,890 Thrivent Money Market Fund 0.820 N/A 1,725,890
- -------------------------------------------------------------------------------------------------------------------------
Total Short-Term Investments (at amortized cost) 2,695,890
- -------------------------------------------------------------------------------------------------------------------------
Total Investments (cost $56,823,992) $52,832,896
=========================================================================================================================
(a) The categories of investments are shown as a percentage of
total investments.
(b) Non-income producing security.
(c) All or a portion of the security is on loan as
discussed in item 2(L) of the Notes to Financial
Statements.
(d) The interest rate shown reflects the yield.
(e) Miscellaneous footnote:
ADR -- American Depository Receipts, which are certificates for shares
of an underlying foreign security's shares held by an
issuing U.S. depository bank.
The accompanying notes to the financial statements
are an integral part of this schedule.
Partner Small Cap Value Fund
Schedule of Investments as of October 31, 2004(a)
Shares Common Stock (83.2%) Value
- -------------------------------------------------------------------------------------------------------------------------
Consumer Discretionary (12.3%)
- -------------------------------------------------------------------------------------------------------------------------
67,800 Aaron Rents, Inc.(b) $1,471,260
27,600 Centerplate, Inc.(c) 379,500
20,200 CSS Industries, Inc.(c) 623,170
32,100 Fred's, Inc.(b) 562,713
26,400 Hancock Fabrics, Inc.(b) 271,128
44,800 Haverty Furniture Companies, Inc. 756,224
30,100 Journal Register Company(c) 565,880
38,600 RARE Hospitality International, Inc.(c) 1,069,606
24,700 Ruby Tuesday, Inc.(b) 610,090
38,600 Saga Communications, Inc.(c) 649,252
31,725 SCP Pool Corporation 926,053
11,400 Sinclair Broadcast Group, Inc. 79,800
13,500 Stanley Furniture Company, Inc.(c) 600,615
61,400 Stein Mart, Inc.(c) 1,020,468
9,300 Steven Madden, Ltd.(c) 148,893
36,800 TBC Corporation(c) 818,064
29,600 Unifi, Inc.(c) 96,200
24,400 WCI Communities, Inc.(c) 575,840
- -------------------------------------------------------------------------------------------------------------------------
Total Consumer Discretionary 11,224,756
=========================================================================================================================
Consumer Staples (0.9%)
- -------------------------------------------------------------------------------------------------------------------------
39,000 Casey's General Stores, Inc. 694,200
22,200 Wild Oats Markets, Inc.(b,c) 134,976
- -------------------------------------------------------------------------------------------------------------------------
Total Consumer Staples 829,176
=========================================================================================================================
Energy (6.9%)
- -------------------------------------------------------------------------------------------------------------------------
10,500 Atwood Oceanics, Inc.(c) 503,475
10,500 Carbo Ceramics, Inc. 758,625
33,100 Encore Acquisition Company(b,c) 1,080,715
29,500 Forest Oil Corporation(c) 899,750
15,100 Lone Star Technologies, Inc.(c) 398,640
53,400 Magnum Hunter Resources, Inc.(c) 646,140
30,400 TETRA Technologies, Inc.(c) 910,176
44,000 Todco(c) 746,680
19,200 W-H Energy Services, Inc.(c) 390,720
- -------------------------------------------------------------------------------------------------------------------------
Total Energy 6,334,921
=========================================================================================================================
Financials (19.5%)
- -------------------------------------------------------------------------------------------------------------------------
27,000 Allied Capital Corporation(b,c) 717,930
11,200 American Capital Strategies, Ltd. 346,640
21,500 Bedford Property Investors, Inc. 618,125
7,800 Brown & Brown, Inc. 325,728
39,100 East West Bancorp, Inc. 1,565,564
32,700 First Financial Fund, Inc.(b) 688,989
26,600 First Republic Bank 1,282,120
19,000 Gables Residential Trust(b) 693,500
16,800 Glenborough Realty Trust, Inc. 352,800
40,400 Innkeepers USA Trust 559,540
1,000 iShares Russell 2000 Value(b,c) 174,350
26,000 Kilroy Realty Corporation 1,033,500
25,400 LaSalle Hotel Properties 729,488
2,600 Markel Corporation(c) 826,800
33,400 Max Re Capital, Ltd. 630,258
17,200 Midland Company(c) 475,236
34,400 Net Bank, Inc.(b,c) 319,232
33,600 ProAssurance Corporation(c) 1,199,184
21,300 Scottish Re Group, Ltd.(b) 479,250
30,200 Silicon Valley Bancshares(c) 1,208,302
19,600 Sun Communities, Inc. 761,852
53,450 Texas Regional Bancshares, Inc.(b,c) 1,706,658
10,400 Triad Guaranty, Inc.(c) 566,904
19,800 Washington Real Estate Investment Trust 622,710
- -------------------------------------------------------------------------------------------------------------------------
Total Financials 17,884,660
=========================================================================================================================
Health Care (5.1%)
- -------------------------------------------------------------------------------------------------------------------------
6,100 Analogic Corporation 259,524
11,000 Arrow International, Inc.(b) 314,215
30,700 Bone Care International, Inc.(c) 705,026
45,800 Diversa Corporation(c) 394,796
38,300 Exelixis, Inc.(b,c) 340,870
56,600 Lexicon Genetics, Inc.(c) 368,466
36,400 Matthews International Corporation(c) 1,219,582
38,700 Owens & Minor, Inc. 1,013,553
- -------------------------------------------------------------------------------------------------------------------------
Total Health Care 4,616,032
=========================================================================================================================
Industrials (18.6%)
- -------------------------------------------------------------------------------------------------------------------------
11,100 Ameron International Corporation(b,c) 375,513
26,300 C&D Technologies, Inc.(b) 470,770
45,900 Casella Waste Systems, Inc.(c) 570,078
23,400 Dollar Thrifty Automotive Group, Inc.(c) 564,408
13,800 EDO Corporation 386,124
24,000 ElkCorp 675,600
28,500 Franklin Electric Company, Inc.(c) 1,093,830
25,400 FTI Consulting, Inc.(b,c) 476,504
19,500 G & K Services, Inc. 766,155
17,400 Genesee & Wyoming, Inc. 440,568
7,200 Genlyte Group, Inc.(c) 529,632
23,950 IDEX Corporation 883,755
39,200 Insituform Technologies, Inc.(c) 776,944
47,900 JLG Industries, Inc.(b) 798,972
21,300 Kirby Corporation(c) 894,600
38,500 Landstar System, Inc. 2,615,691
19,500 McGrath Rentcorp(b,c) 759,135
22,600 Nordson Corporation 791,452
38,900 RemedyTemp, Inc.(c) 373,440
22,800 Thomas Industries, Inc. 770,640
16,200 UTI Worldwide, Inc. 1,053,000
17,000 Waste Connections, Inc. 535,840
6,600 Woodward Governor Company 399,630
- -------------------------------------------------------------------------------------------------------------------------
Total Industrials 17,002,281
=========================================================================================================================
Information Technology (8.3%)
- -------------------------------------------------------------------------------------------------------------------------
18,600 ATMI, Inc.(b,c) 434,310
33,400 Belden CDT, Inc. 742,482
31,700 Exar Corporation(c) 476,134
28,100 Helix Technology Corporation 394,524
20,600 Littelfuse, Inc.(c) 671,972
46,200 Merix Corporation(b,c) 475,860
22,300 Methode Electronics, Inc. 299,489
74,800 MPS Group, Inc.(c) 787,644
42,200 Mykrolis Corporation(c) 443,522
18,600 Netegrity, Inc.(c) 198,090
47,900 Packeteer, Inc.(c) 591,086
30,400 Progress Software Corporation(b,c) 603,744
27,500 SPSS, Inc.(c) 371,525
13,200 StarTek, Inc. 364,980
19,000 Websense, Inc.(c) 770,830
- -------------------------------------------------------------------------------------------------------------------------
Total Information Technology 7,626,192
=========================================================================================================================
Materials (8.7%)
- -------------------------------------------------------------------------------------------------------------------------
31,900 Airgas, Inc. 784,740
19,400 AptarGroup, Inc. 910,248
23,900 Arch Chemicals, Inc. 677,565
15,800 Carpenter Technology Corporation 749,868
10,200 Chesapeake Corporation 236,742
16,600 Deltic Timber Corporation 660,514
16,850 Florida Rock Industries, Inc.(b) 870,302
23,500 Gibraltar Industries Inc(c) 822,735
13,100 MacDermid, Inc. 413,436
27,300 Meridian Gold, Inc.(b,c) 461,370
6,800 Minerals Technologies, Inc. 408,680
25,800 Myers Industries, Inc. 274,254
45,100 Wausau-Mosinee Paper Corporation 705,364
- -------------------------------------------------------------------------------------------------------------------------
Total Materials 7,975,818
=========================================================================================================================
Telecommunication Services (0.5%)
- -------------------------------------------------------------------------------------------------------------------------
62,100 Wireless Facilities, Inc.(b,c) 458,298
- -------------------------------------------------------------------------------------------------------------------------
Total Telecommunication Services 458,298
=========================================================================================================================
Utilities (2.4%)
- -------------------------------------------------------------------------------------------------------------------------
20,700 Black Hills Corporation(b) 609,822
22,800 Cleco Corporation(b) 415,416
25,300 El Paso Electric Company(c) 421,245
12,400 Otter Tail Power Company(c) 320,788
16,800 Vectren Corporation 434,616
- -------------------------------------------------------------------------------------------------------------------------
Total Utilities 2,201,887
- -------------------------------------------------------------------------------------------------------------------------
Total Common Stock (cost $69,310,327) 76,154,021
=========================================================================================================================
Shares Collateral Held for Securities Loaned (12.5%) Interest Rate(d) Maturity Date Value
- -------------------------------------------------------------------------------------------------------------------------
11,420,126 Thrivent Financial Securities Lending Trust 1.820% N/A $11,420,126
- -------------------------------------------------------------------------------------------------------------------------
Total Collateral Held for Securities Loaned (cost
$11,420,126) 11,420,126
=========================================================================================================================
Shares Short-Term Investments (4.3%) Interest Rate(d) Maturity Date Value
- -------------------------------------------------------------------------------------------------------------------------
3,940,350 Thrivent Money Market Fund 0.820% N/A $3,940,350
- -------------------------------------------------------------------------------------------------------------------------
Total Short-Term Investments (at amortized cost) 3,940,350
- -------------------------------------------------------------------------------------------------------------------------
Total Investments (cost $84,670,803) $91,514,497
=========================================================================================================================
(a) The categories of investments are shown as a percentage of
total investments.
(b) All or a portion of the security is on loan as
discussed in item 2(L) of the Notes to Financial
Statements.
(c) Non-income producing security.
(d) The interest rate shown reflects the yield.
The accompanying notes to the financial statements
are an integral part of this schedule.
Small Cap Stock Fund
Schedule of Investments as of October 31, 2004(a)
Shares Common Stock (81.9%) Value
- -------------------------------------------------------------------------------------------------------------------------
Consumer Discretionary (13.1%)
- -------------------------------------------------------------------------------------------------------------------------
65,500 ADVO, Inc. $2,092,725
53,300 Aeropostale, Inc.(b) 1,681,615
40,500 American Eagle Outfitters, Inc. 1,655,640
65,850 AnnTaylor Stores Corporation 1,478,991
66,450 Applebee's International, Inc. 1,519,712
83,200 Arctic Cat, Inc. 2,089,152
61,000 Autoliv, Inc.(b) 2,607,750
64,500 Boyd Gaming Corporation 2,160,105
82,800 Charlotte Russe Holding, Inc.(c) 1,093,788
58,000 Children's Place Retail Stores, Inc.(b,c) 1,790,460
58,700 Cooper Tire & Rubber Company 1,143,476
49,600 Ethan Allen Interiors, Inc. 1,889,264
130,800 Gander Mountain Company(b,c) 2,544,714
58,100 Guess ?, Inc.(c) 970,270
124,700 Insight Enterprises, Inc.(c) 2,313,808
201,800 Interface, Inc.(c) 1,753,642
69,800 International Speedway Corporation 3,283,392
33,300 Jack in the Box, Inc.(c) 1,111,221
49,400 Lee Enterprises, Inc. 2,288,208
175,400 Lions Gate Entertainment Corporation(b,c) 1,720,674
17,222 M.D.C. Holdings, Inc.(b) 1,321,788
53,700 Marine Products Corporation 980,025
101,900 MarineMax, Inc.(c) 2,567,880
22,500 P.F. Chang's China Bistro, Inc.(b,c) 1,143,900
80,900 Pep Boys - Manny, Moe & Jack 1,150,398
77,300 Quiksilver, Inc.(b,c) 2,106,425
156,100 Radio One, Inc.(c) 2,286,865
57,900 Red Robin Gourmet Burgers, Inc.(b,c) 2,415,009
56,700 Regis Corporation 2,426,760
95,825 SCP Pool Corporation(b) 2,797,132
69,300 Shuffle Master, Inc.(b) 2,916,837
42,900 Stamps.com, Inc.(b) 595,452
22,300 Texas Roadhouse, Inc.(c) 513,346
26,900 Toll Brothers, Inc.(c) 1,246,815
50,100 Winnebago Industries, Inc.(b) 1,573,140
88,300 Wolverine World Wide, Inc. 2,687,852
- -------------------------------------------------------------------------------------------------------------------------
Total Consumer Discretionary 65,918,231
=========================================================================================================================
Consumer Staples (2.3%)
- -------------------------------------------------------------------------------------------------------------------------
147,600 Casey's General Stores, Inc. 2,627,280
48,800 Corn Products International, Inc. 2,400,960
60,600 Dean Foods Company(b,c) 1,808,910
87,000 Elizabeth Arden, Inc.(b,c) 2,086,260
39,900 McCormick & Company, Inc. 1,413,657
32,500 Ralcorp Holdings, Inc. 1,194,375
- -------------------------------------------------------------------------------------------------------------------------
Total Consumer Staples 11,531,442
=========================================================================================================================
Energy (6.0%)
- -------------------------------------------------------------------------------------------------------------------------
49,500 Cimarex Energy Company(c) 1,776,060
131,700 Energy Partners, Ltd.(b,c) 2,312,652
58,100 FMC Technologies, Inc.(c) 1,756,363
67,400 Harvest Natural Resources, Inc.(c) 1,019,088
216,700 Key Energy Services, Inc.(c) 2,492,050
76,200 Maverick Tube Corporation(c) 2,009,394
46,700 Newfield Exploration Company(c) 2,717,940
87,100 Patina Oil & Gas Corporation 2,491,060
138,100 Patterson-UTI Energy, Inc. 2,655,663
43,900 Precision Drilling Corporation(c) 2,706,874
125,300 Pride International, Inc.(c) 2,315,544
101,400 Superior Energy Services, Inc.(c) 1,307,046
50,000 Teekay Shipping Corporation(b) 2,310,000
43,200 Ultra Petroleum Corporation(b,c) 2,099,520
- -------------------------------------------------------------------------------------------------------------------------
Total Energy 29,969,254
=========================================================================================================================
Financials (14.7%)
- -------------------------------------------------------------------------------------------------------------------------
41,450 Affiliated Managers Group, Inc.(b) 2,314,568
23,500 Alexandria Real Estate Equities, Inc.(b) 1,552,175
37,400 AMB Property Corporation 1,402,500
59,300 American Capital Strategies, Ltd.(b) 1,835,335
127,000 Argonaut Group, Inc.(c) 2,350,770
51,600 BioMed Realty Trust, Inc. 938,088
48,911 BOK Financial Corporation(c) 2,225,940
62,200 Commercial Capital Bancorp, Inc.(b) 1,395,146
66,000 Corus Bankshares, Inc.(b) 3,036,660
40,100 Developers Diversified Realty Corporation 1,676,180
40,900 EastGroup Properties, Inc. 1,449,087
49,150 First BanCorp 2,680,150
44,800 First Midwest Bancorp, Inc. 1,563,968
106,400 HCC Insurance Holdings, Inc. 3,160,080
196,000 HRPT Properties Trust 2,193,240
75,000 Investors Financial Services Corporation(b) 2,886,750
7,100 iShares Russell 2000 Index Fund(b) 825,943
5,900 iShares S&P SmallCap 600 Index Fund(b) 869,129
26,400 MAF Bancorp, Inc. 1,131,768
75,600 Main Street Banks, Inc.(b) 2,219,616
41,400 MB Financial, Inc.(b) 1,769,436
73,344 Mercantile Bank Corporation 2,759,201
26,800 Mills Corporation 1,486,060
15,200 New Century Financial Corporation 838,280
67,600 Ohio Casualty Corporation(b,c) 1,411,488
44,600 Pinnacle Financial Partners, Inc.(c) 1,002,162
38,800 Piper Jaffray Companies(b,c) 1,696,724
104,000 Platinum Underwriters Holdings, Ltd.(b) 3,042,000
38,900 PrivateBancorp, Inc.(b) 1,258,415
132,400 Providian Financial Corporation(c) 2,058,820
57,700 Reinsurance Group of America, Inc. 2,485,716
73,300 RLI Corporation(b) 2,787,599
30,400 SL Green Realty Corporation 1,666,528
55,300 Southwest Bancorporation of Texas, Inc.(b) 1,296,232
104,000 Sterling Bancshares, Inc. 1,473,680
16,900 UCBH Holdings, Inc.(b) 728,221
68,900 United Bankshares, Inc. 2,526,563
8,200 Virginia Commerce Bancorp, Inc.(b,c) 241,080
76,452 Washington Federal, Inc. 1,951,055
200,900 Winston Hotels, Inc. 2,219,945
31,300 Wintrust Financial Corporation 1,784,100
- -------------------------------------------------------------------------------------------------------------------------
Total Financials 74,190,398
=========================================================================================================================
Health Care (10.4%)
- -------------------------------------------------------------------------------------------------------------------------
79,000 Advanced Medical Optics, Inc.(c) 3,088,900
36,800 Amedisys, Inc.(c) 1,112,464
25,000 Centene Corporation(c) 1,185,750
46,100 Cooper Companies, Inc.(b) 3,243,135
46,500 Covance, Inc.(c) 1,846,980
174,800 CuraGen Corporation(b,c) 861,764
118,500 D & K Healthcare Resources, Inc.(b) 869,790
53,000 Dade Behring Holdings, Inc.(c) 2,983,370
28,100 Digene Corporation(b,c) 706,715
474,750 Encore Medical Corporation(c) 2,437,841
58,300 InterMune, Inc.(b,c) 756,151
98,500 Intuitive Surgical, Inc.(b,c) 2,874,230
16,000 Invitrogen Corporation(c) 926,400
32,600 Kos Pharmaceuticals, Inc.(c) 1,163,820
30,400 Medicis Pharmaceutical Corporation 1,236,368
38,300 Millipore Corporation(c) 1,761,417
15,700 NuVasive, Inc.(c) 154,802
105,800 Perrigo Company(b) 1,923,444
80,600 Psychiatric Solutions, Inc.(b,c) 2,051,270
42,050 Renal Care Group, Inc. 1,327,098
18,500 ResMed, Inc.(b,c) 869,500
416,800 Savient Pharmaceuticals, Inc.(c) 821,096
36,200 Sierra Health Services, Inc.(b,c) 1,727,464
70,700 Sybron Dental Specialties, Inc.(c) 2,302,699
22,500 Techne Corporation(c) 810,450
41,700 Telik, Inc.(b,c) 769,365
30,700 Trimeris, Inc.(c) 353,357
50,400 United Surgical Partners International, Inc.(b,c) 1,764,504
29,200 Varian, Inc.(c) 1,065,216
54,500 Ventana Medical Systems, Inc.(b,c) 2,949,540
86,200 Vertex Pharmaceuticals, Inc.(b,c) 937,856
7,650 Vnus Medical Technologies, Inc.(c) 114,980
51,800 Watson Pharmaceuticals, Inc.(b,c) 1,451,954
66,950 Wellcare Health Plans, Inc.(c) 1,533,155
48,700 Wright Medical Group, Inc.(c) 1,257,921
47,600 ZymoGenetics, Inc.(b,c) 899,164
- -------------------------------------------------------------------------------------------------------------------------
Total Health Care 52,139,930
=========================================================================================================================
Industrials (15.2%)
- -------------------------------------------------------------------------------------------------------------------------
161,200 Artesyn Technologies, Inc.(b,c) 1,563,640
114,900 Beacon Roofing Supply, Inc.(b,c) 2,154,375
30,800 Briggs & Stratton Corporation 2,211,748
76,750 Casella Waste Systems, Inc.(b,c) 953,235
61,400 Consolidated Graphics, Inc.(c) 2,621,780
67,800 Dycom Industries, Inc.(c) 2,213,670
139,200 Federal Signal Corporation(b) 2,313,504
67,600 G & K Services, Inc. 2,656,004
73,500 Genesee & Wyoming, Inc.(b) 1,861,020
53,300 Genlyte Group, Inc.(c) 3,920,748
66,337 Graco, Inc. 2,281,993
98,018 Heartland Express, Inc. 2,005,438
62,200 Hexcel Corporation(c) 964,100
42,500 Hughes Supply, Inc. 1,207,425
72,150 IDEX Corporation 2,662,335
121,650 Intersections, Inc.(b,c) 1,629,502
42,400 Jacobs Engineering Group, Inc.(b,c) 1,726,952
198,700 Jacuzzi Brands, Inc.(b,c) 1,718,755
163,700 Kforce, Inc.(c) 1,733,583
74,150 Knight Transportation, Inc. 1,741,784
29,100 Landstar System, Inc. 1,977,054
64,300 Lindsay Manufacturing Company 1,516,194
55,800 Manitowoc Company, Inc. 1,969,740
82,400 Mercury Computer Systems, Inc.(c) 2,081,012
61,200 Monster Worldwide, Inc.(c) 1,716,660
103,500 MSC Industrial Direct Company, Inc. 3,533,490
41,800 Oshkosh Truck Corporation 2,462,020
51,800 Pacer International, Inc.(c) 919,450
35,300 Precision Castparts Corporation 2,118,000
80,000 Ritchie Bros. Auctioneers, Inc. 2,440,800
25,000 Roper Industries, Inc. 1,541,500
103,000 SkyWest, Inc. 1,759,240
140,650 Standard Parking Corporation(c) 1,812,978
22,100 Toro Company 1,508,325
53,200 Trex Company, Inc.(b,c) 2,134,384
52,200 United Defense Industries, Inc.(c) 2,095,308
65,350 Waste Connections, Inc. 2,059,832
53,800 Watson Wyatt & Company Holdings 1,428,390
46,100 York International Corporation 1,467,824
- -------------------------------------------------------------------------------------------------------------------------
Total Industrials 76,683,792
=========================================================================================================================
Information Technology (13.3%)
- -------------------------------------------------------------------------------------------------------------------------
109,300 Acxiom Corporation 2,732,500
29,800 Avid Technology, Inc.(b,c) 1,578,804
66,800 Avocent Corporation(c) 2,378,080
102,500 Axcelis Technologies, Inc.(b,c) 881,500
52,200 Cabot Microelectronics Corporation(b,c) 1,880,766
40,200 CACI International, Inc.(c) 2,450,994
30,200 Cymer, Inc.(b,c) 861,304
173,600 Cypress Semiconductor Corporation(b,c) 1,828,008
39,000 Dionex Corporation(c) 2,184,000
138,800 EarthLink, Inc.(c) 1,433,804
193,900 Entrust, Inc.(c) 639,870
73,600 Global Payments, Inc.(b) 4,030,335
76,700 Ingram Micro, Inc.(c) 1,323,075
59,300 Inter-Tel, Inc. 1,601,100
32,500 International Rectifier Corporation(c) 1,291,875
36,450 Kronos, Inc. 1,787,872
45,300 Littelfuse, Inc.(c) 1,477,686
58,800 Macromedia, Inc.(c) 1,595,832
41,500 Manhattan Associates, Inc.(c) 853,655
51,100 Marketwatch, Inc.(c) 677,330
78,400 McAfee, Inc.(c) 1,897,280
225,000 MPS Group, Inc.(c) 2,369,250
143,900 MSC.Software Corporation(b,c) 1,250,491
413,300 ON Semiconductor Corporation(c) 1,487,880
218,200 Parametric Technology Corporation(c) 1,132,458
84,600 Phoenix Technologies, Ltd.(c) 515,891
59,700 Photronics, Inc.(c) 1,047,735
121,200 Pinnacle Systems, Inc.(c) 564,792
57,700 Plantronics, Inc. 2,509,950
298,300 Plexus Corporation(c) 3,695,937
117,900 Powerwave Technologies, Inc.(b,c) 880,713
61,200 RSA Security, Inc.(c) 1,252,152
134,800 Skyworks Solutions, Inc.(b,c) 1,198,372
61,800 Tech Data Corporation(c) 2,496,102
221,000 Three-Five Systems, Inc.(b,c) 497,250
117,300 TIBCO Software, Inc.(c) 1,140,156
110,700 Tollgrade Communications, Inc.(c) 1,052,757
28,500 Varian Semiconductor Equipment Associates, Inc. 986,385
51,400 VeriSign, Inc.(c) 1,379,062
142,300 Vishay Intertechnology, Inc.(b,c) 1,839,939
353,100 Vitesse Semiconductor Corporation(c) 960,432
258,700 Wind River Systems, Inc.(c) 3,463,993
- -------------------------------------------------------------------------------------------------------------------------
Total Information Technology 67,107,367
=========================================================================================================================
Materials (5.2%)
- -------------------------------------------------------------------------------------------------------------------------
81,600 Century Aluminum Company(c) 1,888,224
37,400 Florida Rock Industries, Inc.(b) 1,931,710
35,300 H.B. Fuller Company(b) 949,570
40,700 Lubrizol Corporation 1,413,511
74,300 MacDermid, Inc. 2,344,908
46,100 NOVA Chemicals Corporation(b) 1,793,290
134,300 Packaging Corporation of America 2,945,199
42,700 Peabody Energy Corporation(b) 2,723,406
47,300 Quanex Corporation(b) 2,398,110
90,700 RPM International, Inc.(b) 1,599,041
69,100 Schweitzer-Mauduit International, Inc. 2,180,796
83,800 Steel Dynamics, Inc.(b) 2,782,160
88,800 Wausau-Mosinee Paper Corporation 1,388,832
- -------------------------------------------------------------------------------------------------------------------------
Total Materials 26,338,757
=========================================================================================================================
Utilities (1.7%)
- -------------------------------------------------------------------------------------------------------------------------
88,346 Aqua America, Inc. $1,931,244
70,800 Energen Corporation 3,807,624
61,800 Piedmont Natural Gas Company, Inc. 2,813,754
- -------------------------------------------------------------------------------------------------------------------------
Total Utilities 8,552,622
- -------------------------------------------------------------------------------------------------------------------------
Total Common Stock (cost $335,292,303) 412,431,793
=========================================================================================================================
Shares Collateral Held for Securities Loaned (13.4%) Interest Rate(d) Maturity Date Value
- -------------------------------------------------------------------------------------------------------------------------
67,727,138 Thrivent Financial Securities Lending Trust 1.820% N/A $67,727,138
- -------------------------------------------------------------------------------------------------------------------------
Total Collateral Held for Securities Loaned (cost
$67,727,138) 67,727,138
=========================================================================================================================
Shares or
Principal
Amount Short-Term Investments (4.7%) Interest Rate(d) Maturity Date Value
- -------------------------------------------------------------------------------------------------------------------------
20,904,511 Thrivent Money Market Fund 0.820% N/A $20,904,511
$2,885,000 Ventures Business Trust 1.850 11/1/2004 2,885,000
- -------------------------------------------------------------------------------------------------------------------------
Total Short-Term Investments (at amortized cost) 23,789,511
- -------------------------------------------------------------------------------------------------------------------------
Total Investments (cost $426,808,952) $503,948,442
=========================================================================================================================
(a) The categories of investments are shown as a percentage of
total investments.
(b) All or a portion of the security is on loan as
discussed in item 2(L) of the Notes to Financial
Statements.
(c) Non-income producing security.
(d) The interest rate shown reflects the yield.
The accompanying notes to the financial statements
are an integral part of this schedule.
Small Cap Index Fund
Schedule of Investments as of October 31, 2004(a)
Shares Common Stock (81.1%) Value
- -------------------------------------------------------------------------------------------------------------------------
Consumer Discretionary (13.6%)
- -------------------------------------------------------------------------------------------------------------------------
1,100 4Kids Entertainment, Inc.(b,c) $20,119
3,575 Aaron Rents, Inc.(c) 77,578
1,400 Action Performance Companies, Inc.(c) 12,950
1,500 Advanced Marketing Services, Inc.(c) 15,750
2,250 ADVO, Inc. 71,888
1,800 Applica, Inc.(b) 7,308
2,200 Arbitron, Inc.(b) 79,574
1,600 Arctic Cat, Inc. 40,176
2,100 Argosy Gaming Company(b) 83,139
1,100 Ashworth, Inc.(b) 9,240
2,500 Aztar Corporation(b) 77,375
2,500 Bally Total Fitness Holding Corporation(b,c)
900 Bassett Furniture Industries, Inc. 16,650
1,300 Brown Shoe Company, Inc. 35,490
1,100 Building Materials Holding Corporation 31,790
3,200 Burlington Coat Factory Warehouse Corporation(c) 70,624
1,600 Cato Corporation 36,736
2,650 CEC Entertainment, Inc. 100,753
5,200 Champion Enterprises, Inc.(b,c) 56,628
1,900 Children's Place Retail Stores, Inc.(b,c) 58,653
2,600 Christopher & Banks Corporation 42,250
1,200 Coachmen Industries, Inc.(c) 17,364
1,600 Cost Plus, Inc.(b) 51,680
1,100 Department 56, Inc.(b,c) 16,599
2,200 Dress Barn, Inc.(b) 35,266
1,700 Electronics Boutique Holdings Corporation(b) 58,038
1,100 Enesco Group, Inc.(b) 7,139
2,700 Ethan Allen Interiors, Inc.(c) 102,843
2,270 Fedders Corporation(c) 8,149
4,000 Fleetwood Enterprises, Inc.(b) 50,360
5,100 Fossil, Inc. 151,776
2,800 Fred's, Inc.(c) 49,084
1,500 Genesco, Inc.(b) 38,400
2,500 Goody's Family Clothing, Inc.(c) 21,975
1,700 Group 1 Automotive, Inc.(b) 48,093
1,800 Guitar Center, Inc.(b) 80,334
2,300 Gymboree Corporation(b,c) 27,830
600 Haggar Corporation 9,744
1,400 Hancock Fabrics, Inc. 14,378
1,700 Haverty Furniture Companies, Inc. 28,696
1,700 Hibbett Sporting Goods, Inc. 38,012
3,375 Hot Topic, Inc.(b,c) 69,390
1,500 IHOP Corporation(c) 57,450
1,500 Information Holdings, Inc.(b) 41,085
3,550 Insight Enterprises, Inc.(b) 65,870
3,700 Interface, Inc.(b) 32,153
1,500 J. Jill Group, Inc.(b,c) 26,370
2,600 Jack in the Box, Inc.(b) 86,762
2,000 JAKKS Pacific, Inc.(b,c) 31,520
1,710 Jo-Ann Stores, Inc.(b) 42,169
2,500 K-Swiss, Inc. 62,500
3,400 K2, Inc.(b) 55,148
2,100 Kellwood Company 66,066
3,900 La-Z-Boy, Inc. 51,441
2,100 Landry's Restaurants, Inc.(c) 56,868
1,100 Libbey, Inc. 19,965
3,300 Linens 'n Things, Inc.(b) 79,464
1,700 Lone Star Steakhouse & Saloon, Inc. 40,987
2,324 M.D.C. Holdings, Inc. 178,367
2,200 Marcus Corporation(c) 46,772
1,500 Meade Instruments Corporation(b) 5,295
2,600 Men's Wearhouse, Inc.(b) 80,808
900 Meritage Homes Corporation(b,c) 79,830
1,200 Midas, Inc.(b,c) 22,716
2,200 Monaco Coach Corporation 39,050
2,400 Movie Gallery, Inc.(c) 38,832
2,000 Multimedia Games, Inc.(c) 26,400
600 National Presto Industries, Inc. 24,126
2,300 Nautilus Group, Inc.(c) 45,195
420 NVR, Inc.(b) 263,340
1,600 O'Charley's, Inc.(b) 24,832
900 OshKosh B'Gosh, Inc.(c) 16,344
1,100 Oxford Industries, Inc. 40,799
1,800 P.F. Chang's China Bistro, Inc.(b,c) 91,512
2,200 Panera Bread Company(b,c) 76,846
1,300 Papa John's International, Inc.(b,c) 41,964
4,400 Pep Boys - Manny, Moe & Jack 62,568
2,300 Phillips-Van Heusen Corporation(c) 52,417
2,700 Pinnacle Entertainment, Inc.(b) 39,690
3,100 Polaris Industries, Inc.(c) 183,985
4,100 Quiksilver, Inc.(b) 111,725
2,400 RARE Hospitality International, Inc.(b) 66,504
1,600 Russ Berrie and Company, Inc.(c) 33,360
2,400 Russell Corporation 41,496
3,100 Ryan's Restaurant Group, Inc.(b) 43,369
3,775 SCP Pool Corporation 110,192
2,600 Select Comfort Corporation(b,c) 44,512
2,200 ShopKo Stores, Inc.(b,c) 37,928
1,650 Shuffle Master, Inc.(c) 69,448
700 Skyline Corporation 28,056
4,350 Sonic Corporation 118,450
1,500 Standard Motor Products, Inc.(c) 22,860
2,400 Standard Pacific Corporation 134,760
2,100 Steak n Shake Company(b) 34,608
3,000 Stein Mart, Inc.(b) 49,860
2,800 Stride Rite Corporation(c) 28,980
2,000 Sturm, Ruger & Company, Inc. 17,640
1,700 TBC Corporation(b) 37,791
1,100 Thomas Nelson, Inc. 24,354
2,500 Too, Inc.(b) 55,050
2,800 Tractor Supply Company(b) 101,584
4,800 Triarc Companies, Inc.(c) 54,864
2,400 Winnebago Industries, Inc.(c) 75,360
2,200 WMS Industries, Inc.(b,c) 64,350
2,800 Wolverine World Wide, Inc. 85,232
3,800 Zale Corporation 108,376
- -------------------------------------------------------------------------------------------------------------------------
Total Consumer Discretionary 5,778,036
=========================================================================================================================
Consumer Staples (2.7%)
- -------------------------------------------------------------------------------------------------------------------------
1,400 American Italian Pasta Company(c) 28,420
3,600 Casey's General Stores, Inc. 64,080
2,700 Corn Products International, Inc. 132,840
2,800 Delta & Pine Land Company 73,696
3,400 DIMON, Inc.(c) 19,788
3,150 Flowers Foods, Inc. 79,884
2,900 Great Atlantic & Pacific Tea Company, Inc.(b) 18,850
2,600 Hain Celestial Group, Inc.(b) 42,068
700 J & J Snack Foods Corporation(b) 30,961
2,200 Lance, Inc. 37,136
2,700 Longs Drug Stores Corporation 66,690
900 Nash Finch Company(c) 27,774
1,200 Nature's Sunshine Products, Inc. 18,156
4,900 NBTY, Inc.(b) 134,946
3,400 Performance Food Group Company(b) 79,084
2,200 Ralcorp Holdings, Inc. 80,850
2,500 Rayovac Corporation(b) 62,275
1,400 Sanderson Farms, Inc(c) 45,486
2,900 United Natural Foods, Inc.(c) 78,851
1,300 WD-40 Company 36,744
- -------------------------------------------------------------------------------------------------------------------------
Total Consumer Staples 1,158,579
=========================================================================================================================
Energy (4.7%)
- -------------------------------------------------------------------------------------------------------------------------
1,200 Atwood Oceanics, Inc.(b) 57,540
2,400 Cabot Oil & Gas Corporation 101,544
2,800 Cal Dive International, Inc.(b) 99,148
1,200 Carbo Ceramics, Inc.(c) 86,700
3,100 Cimarex Energy Company(b) 111,228
1,300 Dril-Quip, Inc.(b) 29,120
2,000 Frontier Oil Corporation(c) 49,160
1,700 Hydril Company(b) 74,783
5,500 Input/Output, Inc.(b,c) 38,445
2,100 Lone Star Technologies, Inc.(b) 55,440
3,100 Maverick Tube Corporation(b) 81,747
1,900 Oceaneering International, Inc.(b) 67,545
1,700 Offshore Logistics, Inc.(b) 61,472
5,112 Patina Oil & Gas Corporation 146,203
1,200 Petroleum Development Corporation(b) 42,264
2,100 Remington Oil and Gas Corporation(b) 53,424
1,400 SEACOR Holdings, Inc.(b,c) 66,654
2,600 Southwestern Energy Company(b,c) 119,444
2,400 Spinnaker Exploration Company(b) 76,608
2,100 St. Mary Land & Exploration Company 82,803
1,900 Stone Energy Corporation(b) 78,223
2,100 Swift Energy Company(b) 50,925
1,700 TETRA Technologies, Inc.(b) 50,898
3,400 Unit Corporation(b) 126,106
2,400 Veritas DGC, Inc.(b) 50,640
4,700 Vintage Petroleum, Inc. 98,700
2,100 W-H Energy Services, Inc.(b) 42,735
- -------------------------------------------------------------------------------------------------------------------------
Total Energy 1,999,499
=========================================================================================================================
Financials (13.0%)
- -------------------------------------------------------------------------------------------------------------------------
1,700 Anchor BanCorp Wisconsin, Inc.(c) 44,098
4,400 BankAtlantic Bancorp, Inc. 76,956
2,200 BankUnited Financial Corporation(b,c) 65,450
2,100 Boston Private Financial Holdings, Inc.(c) 51,534
4,400 Brookline Bancorp, Inc. 68,156
2,800 Capital Automotive REIT 90,328
2,000 Cash America International, Inc. 50,600
3,475 Chittenden Corporation 98,412
2,000 Colonial Properties Trust 77,960
3,000 Commercial Federal Corporation 83,430
3,800 Commercial Net Lease Realty, Inc. 73,074
2,300 Community Bank System, Inc. 63,503
2,400 Delphi Financial Group, Inc. 98,088
2,750 Dime Community Bancshares 44,165
2,100 Downey Financial Corporation 116,046
3,600 East West Bancorp, Inc. 144,144
1,800 Entertainment Properties Trust 71,820
1,700 Essex Property Trust, Inc. 133,382
1,300 Financial Federal Corporation(b) 48,503
2,850 First BanCorp 155,410
3,500 First Midwest Bancorp, Inc. 122,185
1,200 First Republic Bank 57,840
1,300 FirstFed Financial Corporation(b) 66,820
4,400 Flagstar Bancorp, Inc. 91,916
5,600 Fremont General Corporation 120,400
2,200 Gables Residential Trust(c) 80,300
2,400 Glenborough Realty Trust, Inc. 50,400
3,000 Gold Banc Corporation, Inc. 43,650
2,700 Hilb, Rogal and Hobbs Company(c) 85,590
3,350 Hudson United Bancorp 133,330
3,100 Investment Technology Group, Inc.(b) 47,740
2,100 Irwin Financial Corporation 52,353
2,100 Kilroy Realty Corporation 83,475
1,400 LandAmerica Financial Group, Inc.(c) 68,530
3,600 Lexington Corporate Properties Trust(c) 80,784
2,400 MAF Bancorp, Inc. 102,888
1,800 Nara Bancorp, Inc.(c) 34,398
3,450 New Century Financial Corporation 190,268
800 Parkway Properties, Inc. 40,624
1,700 Philadelphia Consolidated Holding Corporation(b) 98,566
1,400 Piper Jaffray Companies(b) 61,222
2,200 Presidential Life Corporation 35,156
1,500 PrivateBancorp, Inc.(c) 48,525
2,200 ProAssurance Corporation(b) 78,518
2,455 Provident Bankshares Corporation 85,262
4,740 Republic Bancorp, Inc. 79,205
1,900 Rewards Network, Inc.(b,c) 10,507
2,100 Riggs National Corporation(c) 44,331
1,900 RLI Corporation 72,257
800 SCPIE Holdings, Inc.(c) 6,920
2,100 Selective Insurance Group, Inc. 82,068
3,400 Shurgard Storage Centers, Inc. 134,980
5,100 South Financial Group, Inc. 153,102
5,000 Southwest Bancorporation of Texas, Inc. 117,200
1,200 Sovran Self Storage, Inc. 46,884
3,350 Sterling Bancshares, Inc. 47,470
1,680 Sterling Financial Corporation(b) 63,118
1,400 Stewart Information Services Corporation(c) 59,388
3,500 Susquehanna Bancshares, Inc. 87,045
1,293 SWS Group, Inc.(c) 24,826
5,533 TrustCo Bank Corporation NY(c) 74,087
3,400 UCBH Holdings, Inc. 146,506
3,300 UICI 97,614
3,300 Umpqua Holdings Corporation(c) 82,104
3,200 United Bankshares, Inc. 117,344
2,515 Waypoint Financial Corporation 69,062
3,050 Whitney Holding Corporation 133,010
1,600 Wintrust Financial Corporation 91,200
1,394 World Acceptance Corporation(b) 32,620
1,500 Zenith National Insurance Corporation(c) 61,605
- -------------------------------------------------------------------------------------------------------------------------
Total Financials 5,550,252
=========================================================================================================================
Health Care (9.9%)
- -------------------------------------------------------------------------------------------------------------------------
3,475 Accredo Health, Inc.(b) 80,029
2,600 Advanced Medical Optics, Inc.(b) 101,660
3,800 Alpharma, Inc.(c) 64,410
1,000 Amedisys, Inc.(b,c) 30,230
2,400 American Healthways, Inc.(c) 72,432
2,400 American Medical Systems Holdings, Inc.(b) 89,040
1,800 AMERIGROUP Corporation(b) 108,000
2,200 AmSurg Corporation(c) 51,458
1,100 Analogic Corporation 46,800
2,200 ArQule, Inc.(b) 9,900
1,500 ArthroCare Corporation(b,c) 46,215
1,800 BioLase Technology, Inc.(c) 12,276
1,100 Biosite, Inc.(b,c) 53,691
1,200 Bradley Pharmaceuticals, Inc.(b,c) 19,872
1,400 Centene Corporation(b) 66,402
2,600 Cerner Corporation(b,c) 117,390
900 Chemed Corporation(c) 54,405
2,100 CONMED Corporation(b) 58,947
2,300 Cooper Companies, Inc.(c) 161,805
2,400 Cross Country Healthcare, Inc.(b,c) 35,592
1,750 CryoLife, Inc.(b,c) 12,058
1,000 Curative Health Services, Inc.(b) 5,540
1,700 Cyberonics, Inc.(b,c) 31,909
1,100 Datascope Corporation 35,706
3,000 Dendrite International, Inc.(b,c) 43,950
2,100 Diagnostic Products Corporation 92,715
1,600 DJ Orthopedics, Inc.(b) 27,280
2,323 Enzo Biochem, Inc.(b,c) 41,087
1,800 Gentiva Health Services, Inc.(b) 30,537
1,800 Haemonetics Corporation(b) 59,130
1,600 Hologic, Inc.(b) 32,128
4,800 Hooper Holmes, Inc. 25,200
1,100 ICU Medical, Inc.(b,c) 24,695
2,500 IDEXX Laboratories, Inc.(b) 124,600
2,150 Immucor, Inc.(c) 66,328
2,100 Integra LifeSciences Holdings Corporation(b,c) 67,368
2,200 Invacare Corporation 101,596
900 Kensey Nash Corporation(b,c) 25,740
1,300 LabOne, Inc.(b) 39,000
4,100 Medicis Pharmaceutical Corporation 166,747
3,100 Mentor Corporation 107,880
2,000 Merit Medical Systems, Inc.(b,c) 20,700
5,100 MGI Pharma, Inc. 136,017
2,600 NDCHealth Corporation 43,654
1,700 Noven Pharmaceuticals, Inc.(b) 38,335
3,700 OCA, Inc.(b,c) 15,281
2,750 Odyssey Healthcare, Inc.(b) 21,230
1,300 Osteotech, Inc.(b) 5,889
2,800 Owens & Minor, Inc. 73,332
2,000 PAREXEL International Corporation(b) 38,500
1,700 Pediatrix Medical Group, Inc.(b) 95,625
4,100 Pharmaceutical Product Development, Inc.(b) 173,143
1,900 PolyMedica Corporation(c) 66,500
1,400 Possis Medical, Inc.(b,c) 15,512
3,100 Priority Healthcare Corporation(b,c) 55,986
3,600 Province Healthcare Company(b) 77,184
4,000 Regeneron Pharmaceuticals, Inc.(b,c) 29,080
1,300 RehabCare Group, Inc.(b) 29,848
2,400 ResMed, Inc.(b,c) 112,800
2,500 Respironics, Inc.(b) 127,725
4,500 Savient Pharmaceuticals, Inc.(b) 8,865
1,900 Sierra Health Services, Inc.(b,c) 90,668
2,300 Sola International, Inc.(b) 44,114
1,500 Sunrise Senior Living, Inc.(b,c) 57,165
1,300 SurModics, Inc.(b,c) 34,905
2,800 Sybron Dental Specialties, Inc.(b) 91,196
3,000 Techne Corporation(b) 108,060
2,200 Theragenics Corporation(b) 8,096
2,000 United Surgical Partners International, Inc.(b) 70,020
2,200 Viasys Healthcare, Inc.(b) 37,598
1,000 Vital Signs, Inc. 34,625
1,500 Wilson Greatbatch Technologies, Inc.(b,c) 25,425
- -------------------------------------------------------------------------------------------------------------------------
Total Health Care 4,228,826
=========================================================================================================================
Industrials (15.5%)
- -------------------------------------------------------------------------------------------------------------------------
2,200 A.O. Smith Corporation(c) 58,388
2,400 AAR Corporation(b,c) 28,200
3,600 ABM Industries, Inc. 74,700
3,100 Acuity Brands, Inc. 82,243
2,000 Administaff, Inc.(b) 22,900
2,400 Albany International Corporation 72,048
700 Angelica Corporation 16,800
2,100 Apogee Enterprises, Inc. 26,901
1,500 Applied Industrial Technologies, Inc.(c) 55,800
900 Applied Signal Technology, Inc. 27,261
1,900 Arkansas Best Corporation 74,271
2,400 Armor Holdings, Inc.(b,c) 88,848
2,800 Artesyn Technologies, Inc.(b,c) 27,160
1,500 Astec Industries, Inc.(b) 21,735
2,500 Baldor Electric Company 58,575
1,700 Barnes Group, Inc.(c) 44,200
2,600 Bowne & Company, Inc.(c) 32,318
1,800 Brady Corporation 97,614
1,800 Briggs & Stratton Corporation 129,258
1,900 C&D Technologies, Inc. 34,010
1,500 CDI Corporation 24,750
2,600 Central Parking Corporation 35,230
1,900 CLARCOR, Inc. 93,670
1,600 Coinstar, Inc.(b,c) 41,328
1,100 Consolidated Graphics, Inc.(b) 46,970
600 CPI Corporation 7,380
1,900 Cubic Corporation(c) 41,800
1,300 CUNO, Inc.(b) 74,750
1,500 Curtiss-Wright Corporation 83,715
1,900 DRS Technologies, Inc.(b) 68,818
1,500 EDO Corporation 41,970
3,200 EGL, Inc.(b) 102,336
1,500 ElkCorp 42,225
1,200 EMCOR Group, Inc.(b) 47,484
1,825 Engineered Support Systems, Inc. 87,673
1,500 Esterline Technologies Corporation(b,c) 47,400
3,400 FLYi, Inc.(b,c) 4,760
1,500 Forward Air Corporation(b) 61,755
2,700 Frontier Airlines, Inc.(b) 22,572
1,600 G & K Services, Inc. 62,864
1,500 Gardner Denver, Inc.(b) 44,970
3,200 GenCorp, Inc.(c) 44,480
2,220 Griffon Corporation(b) 49,395
5,402 Heartland Express, Inc. 110,515
1,400 Heidrick & Struggles International, Inc.(b,c) 40,089
4,700 Hughes Supply, Inc. 133,527
3,650 IDEX Corporation 134,685
1,300 Imagistics International, Inc.(b) 44,746
2,000 Insituform Technologies, Inc.(b) 39,640
900 Insurance Auto Auctions, Inc.(b) 17,289
1,884 Intermagnetics General Corporation(c) 48,023
1,300 InVision Technologies, Inc.(b,c) 60,034
1,600 Ionics, Inc.(b,c) 45,600
3,100 JLG Industries, Inc.(c) 51,708
2,100 John H. Harland Company 67,683
1,700 Kaman Corporation 18,700
4,500 Kansas City Southern, Inc.(b,c) 76,275
2,100 Kaydon Corporation(c) 62,160
1,900 Kirby Corporation(b) 79,800
4,050 Knight Transportation, Inc.(c) 95,134
3,000 Labor Ready, Inc.(b) 43,050
2,200 Landstar System, Inc. 149,468
800 Lawson Products, Inc.(c) 34,640
4,300 Lennox International, Inc.(c) 62,178
900 Lindsay Manufacturing Company 21,222
1,200 Lydall, Inc.(b) 11,292
2,100 MagneTek, Inc.(b,c) 12,915
2,000 Manitowoc Company, Inc. 70,600
800 MemberWorks, Inc.(b,c) 23,840
1,600 Mercury Computer Systems, Inc.(b) 40,408
2,400 Mesa Air Group, Inc.(b,c) 13,776
2,700 Milacron, Inc.(b) 7,425
1,130 Milacron, Inc. Rights(b,d) 0
1,000 Mobile Mini, Inc.(b,c) 28,360
1,850 Moog, Inc. 69,430
2,500 Mueller Industries, Inc. 66,650
2,300 NCO Group, Inc.(b) 61,525
1,900 On Assignment, Inc.(b) 9,538
2,500 Oshkosh Truck Corporation 147,250
1,200 Pre-Paid Legal Services, Inc.(b,c) 33,468
4,500 PRG-Schultz International, Inc.(b) 23,310
1,800 Regal-Beloit Corporation(c) 42,120
2,300 Reliance Steel & Aluminum Company 78,936
1,100 Robbins & Myers, Inc.(c) 22,935
2,700 Roper Industries, Inc. 166,482
1,700 School Specialty, Inc.(b) 69,564
4,600 Shaw Group, Inc.(b,c) 56,074
1,700 Simpson Manufacturing Company, Inc.(c) 109,276
4,200 SkyWest, Inc. 71,736
1,200 SOURCECORP, Inc.(b) 20,136
4,400 Spherion Corporation(b) 31,636
2,100 Standard Register Company 22,302
1,000 Standex International Corporation 26,190
2,200 Stewart & Stevenson Services, Inc. 37,400
2,300 Teledyne Technologies, Inc.(b) 58,811
4,100 Tetra Tech, Inc.(b) 53,874
1,300 Thomas Industries, Inc. 43,940
6,500 Timken Company 156,000
1,600 Toro Company 109,200
2,900 Tredegar Corporation 48,575
1,200 Triumph Group, Inc.(b) 41,232
2,400 United Stationers, Inc.(b) 106,800
1,400 Universal Forest Products, Inc. 51,345
3,100 URS Corporation(b) 85,560
2,000 USF Corporation 71,680
1,800 Valmont Industries, Inc.(c) 39,150
1,700 Viad Corporation 36,601
3,000 Vicor Corporation 27,870
1,200 Volt Information Sciences, Inc.(b) 34,860
2,400 Wabash National Corporation(b) 58,992
3,450 Waste Connections, Inc. 108,744
2,000 Watsco, Inc. 56,920
2,400 Watson Wyatt & Company Holdings 63,720
2,400 Watts Water Technologies, Inc. 62,256
1,200 Wolverine Tube, Inc.(b,c) 11,940
900 Woodward Governor Company 54,495
3,494 Yellow Roadway Corporation(b) 167,677
- -------------------------------------------------------------------------------------------------------------------------
Total Industrials 6,612,507
=========================================================================================================================
Information Technology (12.9%)
- -------------------------------------------------------------------------------------------------------------------------
2,000 Actel Corporation(b) 30,340
8,000 Adaptec, Inc.(b) 62,400
2,300 Advanced Energy Industries, Inc.(b,c) 22,678
5,400 Aeroflex, Inc.(b) 59,940
2,300 Agilysys, Inc.(c) 39,307
2,600 Alliance Semiconductor Corporation(b) 8,970
2,700 Anixter International, Inc. 104,328
2,200 ANSYS, Inc. 60,720
2,200 ATMI, Inc.(b) 51,370
1,700 Audiovox Corporation(b) 24,480
2,400 Avid Technology, Inc.(b) 127,152
7,300 Axcelis Technologies, Inc.(b) 62,780
1,000 BEI Technologies, Inc.(c) 29,890
900 Bel Fuse, Inc. 30,195
3,425 Belden CDT, Inc.(c) 76,138
2,100 Bell Microproducts, Inc.(b) 18,438
3,000 Benchmark Electronics, Inc. 101,910
1,300 Black Box Corporation(c) 51,064
3,200 Brooks Automation, Inc.(b) 47,616
1,000 Brooktrout, Inc.(b) 9,230
3,200 C-COR, Inc.(b,c) 24,064
2,100 CACI International, Inc.(b) 128,037
2,400 Captaris, Inc.(b) 11,040
1,800 Carreker Corporation(b,c) 16,254
1,000 Catapult Communications Corporation(b) 24,560
2,800 Checkpoint Systems, Inc.(b) 47,880
4,400 CIBER, Inc.(b,c) 39,776
3,300 Cognex Corporation 84,480
2,200 Coherent, Inc.(b) 53,086
1,600 Cohu, Inc. 25,088
1,400 Concord Communications, Inc.(b) 11,508
2,600 CTS Corporation 34,346
2,600 Cymer, Inc.(b,c) 74,152
1,400 Daktronics, Inc.(b) 34,552
1,600 Digi International, Inc.(b) 21,904
2,500 Digital Insight Corporation(b,c) 39,150
1,500 Dionex Corporation(b) 84,000
2,000 DSP Group, Inc.(b) 39,660
1,400 DuPont Photomasks, Inc.(b,c) 36,708
3,500 eFunds Corporation(b) 68,915
2,000 Electro Scientific Industries, Inc.(b) 33,920
1,400 EPIQ Systems, Inc.(b,c) 20,972
2,900 ESS Technology, Inc.(b,c) 18,966
3,000 Exar Corporation(b) 45,060
2,200 FactSet Research Systems, Inc.(c) 109,648
2,400 FEI Company(b,c) 46,464
2,800 FileNET Corporation(b) 77,924
2,200 FindWhat.com(b) 44,110
2,400 FLIR Systems, Inc.(b) 127,704
1,700 Gerber Scientific, Inc.(b) 13,294
1,600 Global Imaging Systems, Inc.(b,c) 56,320
2,740 Global Payments, Inc. 150,042
5,200 Harmonic, Inc.(b,c) 43,264
1,900 Helix Technology Corporation 26,676
1,900 Hutchinson Technology, Inc.(b,c) 63,859
2,800 Hyperion Solutions Corporation(b) 112,364
1,800 Inter-Tel, Inc. 48,600
3,400 Internet Security Systems, Inc.(b) 73,984
1,344 Intrado, Inc.(b,c) 18,198
1,500 Itron, Inc.(b,c) 31,410
1,700 J2 Global Communication, Inc.(b,c) 51,255
2,200 JDA Software Group, Inc.(b,c) 24,706
1,200 Keithley Instruments, Inc. 20,988
5,200 Kopin Corporation(b,c) 19,032
2,250 Kronos, Inc. 110,362
3,700 Kulicke and Soffa Industries, Inc.(b,c) 26,418
1,700 Littelfuse, Inc.(b) 55,454
2,200 Manhattan Associates, Inc.(b,c) 45,254
2,300 ManTech International Corporation(b,c) 49,726
1,500 MapInfo Corporation(b,c) 14,835
1,600 MAXIMUS, Inc.(b) 43,488
2,600 Methode Electronics, Inc. 34,918
1,300 MICROS Systems, Inc.(b) 76,856
4,300 Microsemi Corporation 66,822
1,900 MRO Software, Inc.(b) 20,710
2,800 Netegrity, Inc.(b) 29,820
1,800 Network Equipment Technologies, Inc.(b,c) 15,354
2,400 NYFIX, Inc.(b,c) 11,472
1,500 Park Electrochemical Corporation 31,515
3,000 Paxar Corporation(b) 66,150
1,600 PC TEL, Inc.(b) 12,336
1,700 Pegasus Solutions, Inc.(b) 17,697
2,000 Pericom Semiconductor Corporation(b) 17,990
1,800 Phoenix Technologies, Ltd.(b) 10,976
1,300 Photon Dynamics, Inc(b,c) 23,790
2,300 Photronics, Inc.(b) 40,365
5,000 Pinnacle Systems, Inc.(b) 23,300
1,100 Planar Systems, Inc.(b,c) 10,692
2,200 Power Integrations, Inc.(b) 47,080
2,600 Progress Software Corporation(b) 51,636
1,200 QRS Corporation(b) 8,364
2,000 Radiant Systems, Inc.(b) 10,240
1,400 RadiSys Corporation(b) 18,592
1,200 Rogers Corporation(b) 51,504
2,500 Roxio, Inc.(b,c) 15,225
1,300 Rudolph Technologies, Inc.(b,c) 19,604
1,200 SBS Technologies, Inc.(b,c) 15,996
900 ScanSource, Inc.(b) 55,737
1,200 SCM Microsystems, Inc.(b) 4,428
3,200 SERENA Software, Inc.(b,c) 56,768
11,300 Skyworks Solutions, Inc.(b,c) 100,457
1,700 Sonic Solutions, Inc.(b,c) 33,745
1,300 SPSS, Inc.(b) 17,563
1,400 Standard Microsystems Corporation(b,c) 30,828
1,100 StarTek, Inc. 30,415
1,000 Supertex, Inc.(b) 21,455
3,350 Symmetricom, Inc.(b) 28,442
1,800 Synaptics, Inc.(b) 56,952
3,200 Take-Two Interactive Software, Inc.(b) 105,472
1,100 TALX Corporation 31,185
2,900 Technitrol, Inc.(b) 47,328
2,800 THQ, Inc.(b) 52,920
1,600 Three-Five Systems, Inc.(b,c) 3,600
1,000 Tollgrade Communications, Inc.(b) 9,510
3,650 Trimble Navigation, Ltd. 104,718
1,700 Ultratech, Inc.(b,c) 28,934
2,600 Varian Semiconductor Equipment Associates, Inc. 89,986
2,200 Veeco Instruments, Inc.(b,c) 42,988
2,700 Verity, Inc.(b,c) 34,884
1,900 ViaSat, Inc.(b) 35,891
3,200 WebEx Communications, Inc.(b,c) 70,400
1,700 Websense, Inc.(b) 68,969
1,600 X-Rite, Inc. 21,088
2,300 Zix Corporation(b,c) 12,420
- -------------------------------------------------------------------------------------------------------------------------
Total Information Technology 5,488,490
=========================================================================================================================
Materials (5.0%)
- -------------------------------------------------------------------------------------------------------------------------
2,300 A. Schulman, Inc. 45,655
1,200 A.M. Castle & Company(b,c) 13,512
2,200 AMCOL International Corporation(c) 38,698
2,600 AptarGroup, Inc. 121,992
1,800 Arch Chemicals, Inc. 51,030
1,400 Brush Engineered Materials, Inc.(b) 21,840
2,800 Buckeye Technologies, Inc.(b) 29,540
1,900 Cambrex Corporation 42,503
2,100 Caraustar Industries, Inc.(b) 31,227
1,700 Carpenter Technology Corporation 80,682
2,300 Century Aluminum Company(b) 53,222
1,500 Chesapeake Corporation 34,815
800 Cleveland-Cliffs, Inc.(b,c) 58,320
2,100 Commercial Metals Company 75,915
1,300 Commonwealth Industries, Inc.(b,c) 12,142
1,000 Deltic Timber Corporation 39,790
3,124 Florida Rock Industries, Inc.(c) 161,355
2,400 Georgia Gulf Corporation 108,648
2,100 H.B. Fuller Company 56,490
2,400 Headwaters, Inc.(b,c) 75,600
1,200 IMCO Recycling, Inc.(b,c) 14,064
2,300 MacDermid, Inc. 72,588
5,500 Massey Energy Company 148,115
1,100 Material Sciences Corporation(b,c) 14,311
2,498 Myers Industries, Inc. 26,554
2,000 OM Group, Inc.(b) 65,980
3,000 OMNOVA Solutions, Inc.(b) 15,720
700 Penford Corporation 10,934
6,800 PolyOne Corporation(b) 51,476
1,200 Pope & Talbot, Inc. 18,096
800 Quaker Chemical Corporation 18,064
1,300 Quanex Corporation(c) 65,910
2,700 Rock-Tenn Company 41,985
1,600 RTI International Metals, Inc.(b) 32,048
1,900 Ryerson Tull, Inc.(c) 31,008
1,200 Schweitzer-Mauduit International, Inc. 37,872
3,600 Steel Dynamics, Inc. 119,520
1,000 Steel Technologies, Inc. 23,960
1,500 Texas Industries, Inc. 76,395
3,800 Wausau-Mosinee Paper Corporation 59,432
2,400 Wellman, Inc.(c) 17,712
- -------------------------------------------------------------------------------------------------------------------------
Total Materials 2,114,720
=========================================================================================================================
Telecommunication Services (0.3%)
- -------------------------------------------------------------------------------------------------------------------------
1,300 Boston Communications Group, Inc.(b) 11,830
1,500 Commonwealth Telephone Enterprises, Inc.(b) 68,445
4,300 General Communication, Inc.(b) 39,388
- -------------------------------------------------------------------------------------------------------------------------
Total Telecommunication Services 119,663
=========================================================================================================================
Utilities (3.5%)
- -------------------------------------------------------------------------------------------------------------------------
2,100 ALLETE, Inc. 71,358
1,300 American States Water Company(c) 31,980
5,700 Atmos Energy Corporation 147,117
3,600 Avista Corporation(c) 64,008
900 Cascade Natural Gas Corporation(c) 18,234
1,000 Central Vermont Public Service Corporation 21,980
1,200 CH Energy Group, Inc.(c) 53,556
3,500 Cleco Corporation(c) 63,770
3,500 El Paso Electric Company(b) 58,275
2,700 Energen Corporation 145,206
500 Green Mountain Power Corporation 12,950
1,600 Laclede Group, Inc.(c) 48,240
2,100 New Jersey Resources Corporation 86,331
2,100 Northwest Natural Gas Company(c) 66,570
1,200 NUI Corporation 16,152
2,900 Piedmont Natural Gas Company, Inc. 132,037
5,963 Southern Union Company(b,c) 131,010
2,600 Southwest Gas Corporation 63,518
3,800 UGI Corporation 146,794
1,100 UIL Holdings Corporation(c) 55,748
2,600 UniSource Energy Corporation(c) 63,934
- -------------------------------------------------------------------------------------------------------------------------
Total Utilities 1,498,768
- -------------------------------------------------------------------------------------------------------------------------
Total Common Stock (cost $26,980,761) 34,549,340
=========================================================================================================================
Principal
Amount Long-Term Fixed Income(e) Interest Rate Maturity Date Value
- -------------------------------------------------------------------------------------------------------------------------
$250 Mueller Group, Inc. 6.000% 11/1/2014 $246
- -------------------------------------------------------------------------------------------------------------------------
Total Long-Term Fixed Income (cost $250) 246
=========================================================================================================================
Shares Collateral Held for Securities Loaned (17.0%) Interest Rate(f) Maturity Date Value
- -------------------------------------------------------------------------------------------------------------------------
7,255,477 Thrivent Financial Securities Lending Trust 1.820% N/A $7,255,477
- -------------------------------------------------------------------------------------------------------------------------
Total Collateral Held for Securities Loaned (cost
$7,255,477) 7,255,477
=========================================================================================================================
Shares Short-Term Investments (1.9%) Interest Rate(f) Maturity Date Value
- -------------------------------------------------------------------------------------------------------------------------
797,953 Thrivent Money Market Fund(g) 0.820% N/A $797,953
- -------------------------------------------------------------------------------------------------------------------------
Total Short-Term Investments (at amortized cost) 797,953
- -------------------------------------------------------------------------------------------------------------------------
Total Investments (cost $35,034,441) $42,603,016
=========================================================================================================================
(a) The categories of investments are shown as a percentage of
total investments.
(b) Non-income producing security.
(c) All or a portion of the security is on loan as
discussed in item 2(L) of the Notes to Financial
Statements.
(d) Security is fair valued as discussed in the notes to
the financial statements.
(e) The market value of the denoted categories of
investments represents less than 0.1% of the total
investments of the Thrivent Small Cap Index Fund.
(f) The interest rate shown reflects the yield.
(g) At October 31, 2004, $36,400 in cash was pledged as
the initial margin deposit for open financial futures
contracts. In addition $797,953 of Short-Term
Investments were earmarked as collateral to cover
open financial futures contracts as follows:
Notional
Number of Expiration Principal Unrealized
Type Contracts Date Position Value Amount Gain
- -------------------------------------------------------------------------------------------------------------------------
Russell Mini Futures 14 December 2004 Long $818,301 $806,646 $11,655
The accompanying notes to the financial statements
are an integral part of this schedule.
Mid Cap Growth Fund
Schedule of Investments as of October 31, 2004(a)
Shares Common Stock (86.7%) Value
- -------------------------------------------------------------------------------------------------------------------------
Consumer Discretionary (17.8%)
- -------------------------------------------------------------------------------------------------------------------------
13,300 Abercrombie & Fitch Company $521,094
18,500 Advance Auto Parts, Inc. 723,720
11,100 Aeropostale, Inc.(b) 350,205
21,700 Applebee's International, Inc. 496,279
32,500 Autoliv, Inc. 1,389,375
19,060 Bed Bath & Beyond, Inc.(c) 777,457
31,300 Brunswick Corporation 1,468,596
5,300 Centex Corporation 275,282
196,400 Charter Communications, Inc.(b,c) 494,928
39,400 Cheesecake Factory, Inc.(b,c) 1,710,354
39,250 Chico's FAS, Inc.(c) 1,571,178
27,700 Citadel Broadcasting Company(b,c) 403,035
15,500 Claire's Stores, Inc. 403,310
56,500 Coach, Inc.(c) 2,634,595
15,900 D.R. Horton, Inc. 477,000
39,000 Darden Restaurants, Inc. 955,500
57,300 Dollar General Corporation 1,103,025
20,780 Dollar Tree Stores, Inc.(c) 600,542
8,400 DreamWorks Animation SKG, Inc.(c,d) 328,020
14,800 E.W. Scripps Company 706,256
4,100 eBay, Inc.(c) 400,201
36,400 EchoStar Communications Corporation(c) 1,150,968
8,200 Entercom Communications Corporation(c) 272,240
13,600 Family Dollar Stores, Inc. 401,880
11,800 Foot Locker, Inc. 287,920
13,400 Fossil, Inc. 398,784
50,200 Gemstar-TV Guide International, Inc.(c) 288,650
31,600 Gentex Corporation 1,043,116
26,300 Getty Images, Inc.(c) 1,555,119
46,800 GTECH Holdings Corporation 1,107,756
13,200 Harman International Industries, Inc. 1,586,376
7,000 Harrah's Entertainment, Inc. 409,640
73,400 Hilton Hotels Corporation 1,460,660
31,000 International Game Technology 1,024,240
27,600 Jarden Corporation(b) 969,312
20,400 Kohl's Corporation(c) 1,035,504
25,300 Lamar Advertising Company(c) 1,047,926
6,200 Lennar Corporation 278,876
11,300 Marriott International, Inc. 615,737
27,450 Marvel Enterprises, Inc.(b) 422,730
6,700 MGM MIRAGE(c) 360,460
26,200 Michaels Stores, Inc. 762,420
31,300 Nordstrom, Inc. 1,351,534
7,100 NTL, Inc.(c) 472,221
28,400 P.F. Chang's China Bistro, Inc.(b,c) 1,443,856
41,200 PETCO Animal Supplies, Inc.(c) 1,473,724
53,500 PETsMART, Inc. 1,710,930
12,500 Pixar, Inc.(c) 1,005,250
7,400 Pulte Homes, Inc. 406,112
74,900 Radio One, Inc.(c) 1,100,281
14,400 Ross Stores, Inc.(b) 378,288
48,300 Royal Caribbean Cruises, Ltd.(b) 2,250,780
10,625 Sonic Corporation 289,319
48,200 Staples, Inc. 1,433,468
20,600 Starbucks Corporation(c) 1,089,328
20,900 Starwood Hotels & Resorts Worldwide, Inc. 997,557
22,200 Station Casinos, Inc. 1,131,090
9,300 Texas Roadhouse, Inc.(c) 214,086
17,300 Tiffany & Company 507,409
13,300 TJX Companies, Inc. 318,934
34,835 Univision Communications, Inc.(c) 1,078,492
17,800 Urban Outfitters, Inc. 729,800
43,500 Warnaco Group, Inc.(c) 887,400
10,500 Weight Watchers International, Inc.(b,c) 377,160
22,200 Westwood One, Inc.(c) 512,376
39,600 Williams-Sonoma, Inc.(c) 1,511,532
14,400 Wynn Resorts, Ltd.(b,c) 837,360
62,100 XM Satellite Radio Holdings, Inc.(b,c) 2,007,072
14,000 Yum! Brands, Inc. 609,000
- -------------------------------------------------------------------------------------------------------------------------
Total Consumer Discretionary 60,394,625
=========================================================================================================================
Consumer Staples (1.5%)
- -------------------------------------------------------------------------------------------------------------------------
32,300 BJ's Wholesale Club, Inc.(c) 937,669
7,400 Clorox Company 404,040
10,900 Coca-Cola Bottling Company Consolidated(b) 576,120
11,300 Constellation Brands, Inc.(c) 443,299
15,800 Estee Lauder Companies, Inc. 678,610
27,800 Ralcorp Holdings, Inc. 1,021,650
10,650 Whole Foods Market, Inc. 867,230
- -------------------------------------------------------------------------------------------------------------------------
Total Consumer Staples 4,928,618
=========================================================================================================================
Energy (5.4%)
- -------------------------------------------------------------------------------------------------------------------------
11,220 Apache Corporation 568,854
13,900 Baker Hughes, Inc. 595,337
35,120 BJ Services Company 1,791,120
38,800 Chesapeake Energy Corporation 623,904
6,200 Cooper Cameron Corporation(c) 299,770
107,500 El Paso Corporation 961,050
38,500 ENSCO International, Inc. 1,176,175
17,200 EOG Resources, Inc. 1,144,832
6,300 Murphy Oil Corporation 504,126
31,500 Nabors Industries, Ltd.(c) 1,547,280
15,000 National-Oilwell, Inc.(c) 505,650
23,000 Newfield Exploration Company(c) 1,338,600
48,100 Patterson-UTI Energy, Inc. 924,963
27,220 Smith International, Inc.(c) 1,580,938
15,000 St. Mary Land & Exploration Company(b) 591,450
35,900 Toreador Resources Corporation(b,c) 377,668
12,800 Ultra Petroleum Corporation(b,c) 622,080
6,700 Weatherford International, Ltd.(c) 350,142
80,400 Williams Companies, Inc. 1,005,804
53,482 XTO Energy, Inc. 1,785,229
- -------------------------------------------------------------------------------------------------------------------------
Total Energy 18,294,972
=========================================================================================================================
Financials (7.4%)
- -------------------------------------------------------------------------------------------------------------------------
10,199 Affiliated Managers Group, Inc.(b) 569,512
9,350 Ambac Financial Group, Inc. 729,861
82,700 Ameritrade Holding Corporation(b,c,e) 1,076,754
60,850 Apollo Investment Corporation 827,560
11,700 Bear Stearns Companies, Inc. 1,108,575
17,100 Capital One Financial Corporation 1,261,296
21,900 CapitalSource, Inc.(b,c) 490,560
4,300 Chicago Mercantile Exchange Holdings 755,639
29,800 CIT Group, Inc. 1,203,920
5,900 City National Corporation 406,510
7,700 Cullen/Frost Bankers, Inc. 377,300
130,000 E*TRADE Financial Corporation(c) 1,677,000
10,100 Eaton Vance Corporation 440,562
14,675 First Financial Bankshares, Inc.(b) 618,992
21,000 First Horizon National Corporation(b) 908,880
6,000 First Marblehead Corporation(b,c) 321,600
28,600 Investors Financial Services Corporation(b) 1,100,814
26,250 Legg Mason, Inc. 1,672,388
17,100 Leucadia National Corporation(b) 1,011,465
24,600 MB Financial, Inc.(b) 1,051,404
19,800 Moody's Corporation 1,540,638
42,500 Providian Financial Corporation(c) 660,875
9,300 SEI Investments Company 334,707
56,500 Sovereign Bancorp, Inc. 1,223,225
12,800 T. Rowe Price Group, Inc.(b) 713,856
46,000 TCF Financial Corporation 1,449,920
11,400 Willis Group Holdings, Ltd. 409,830
19,300 Zions Bancorporation 1,277,081
- -------------------------------------------------------------------------------------------------------------------------
Total Financials 25,220,724
=========================================================================================================================
Health Care (17.7%)
- -------------------------------------------------------------------------------------------------------------------------
7,700 Aetna, Inc. 731,500
9,000 Allergan, Inc. 644,040
14,300 American Medical Systems Holdings, Inc.(c) 530,530
22,200 Amylin Pharmaceuticals, Inc.(b,c) 472,860
7,603 Anthem, Inc.(b,c) 611,281
17,450 Barr Pharmaceuticals, Inc. 656,992
5,600 Bausch & Lomb, Inc. 341,376
6,700 Beckman Coulter, Inc. 398,650
13,570 Biogen Idec, Inc.(c) 789,231
28,257 Biomet, Inc. 1,319,037
56,200 Bruker BioSciences Corporation(c) 193,890
24,500 C.R. Bard, Inc.(e) 1,391,600
107,100 Caliper Life Sciences, Inc.(b,c) 749,700
49,094 Caremark Rx, Inc.(c) 1,471,347
30,600 Celgene Corporation 906,372
8,700 Cephalon, Inc.(b,c) 414,729
34,800 Charles River Laboratories International, Inc.(c) 1,628,292
65,100 Community Health Systems, Inc.(c) 1,745,982
26,800 Connetics Corporation(b,c) 720,384
21,050 Coventry Health Care, Inc. 860,945
42,300 Cytyc Corporation(c) 1,103,607
18,750 DaVita, Inc. 555,375
30,900 Dentsply International, Inc. 1,607,109
61,900 Eclipsys Corporation(b,c) 1,050,443
57,400 Elan Corporation plc ADR(b,c) 1,480,920
30,900 Enzon Pharmaceuticals, Inc.(b,c) 499,653
10,900 Eon Labs, Inc.(c) 268,249
7,600 Express Scripts, Inc.(b,c) 486,400
25,700 Eyetech Pharmaceuticals, Inc.(c) 1,090,708
45,500 Fisher Scientific International, Inc.(c) 2,609,880
14,400 Foxhollow Technologies, Inc.(c) 296,352
19,600 Gen-Probe, Inc.(c) 686,784
25,700 Genzyme Corporation(c) 1,348,479
41,900 Gilead Sciences, Inc. 1,450,997
19,500 Guidant Corporation 1,299,090
23,650 Health Management Associates, Inc. 488,609
7,900 Henry Schein, Inc.(c) 499,517
7,100 ImClone Systems, Inc.(c) 310,980
12,500 INAMED Corporation 664,375
56,600 Incyte Corporation(b,c) 588,640
19,200 Invitrogen Corporation(c) 1,111,680
37,425 IVAX Corporation 677,392
19,600 Kinetic Concepts, Inc.(c) 976,668
10,700 Laboratory Corporation of America Holdings(c) 490,060
45,400 Lexicon Genetics, Inc.(c) 295,554
10,100 Manor Care, Inc. 330,674
22,200 McKesson Corporation 591,852
30,500 Medicis Pharmaceutical Corporation 1,240,435
53,900 MedImmune, Inc.(c) 1,531,838
46,200 MGI Pharma, Inc. 1,232,154
9,400 Millipore Corporation(c) 432,306
16,800 Mylan Laboratories, Inc.(b) 289,296
10,800 Neurocrine Biosciences, Inc.(c) 502,740
16,500 Omnicare, Inc.(b) 455,235
20,800 OSI Pharmaceuticals, Inc.(b,c) 1,351,584
19,400 PacifiCare Health Systems, Inc. 691,028
27,700 Par Pharmaceutical Companies, Inc.(c) 1,092,765
19,000 Patterson Companies, Inc. 712,500
18,100 PerkinElmer, Inc. 371,774
25,000 Pharmaceutical Product Development, Inc.(b,c) 1,055,750
19,800 Protein Design Labs, Inc.(c) 379,170
5,100 Quest Diagnostics, Inc. 446,454
15,800 Sepracor, Inc.(b,c) 725,694
12,900 St. Jude Medical, Inc.(c) 987,753
29,400 Sybron Dental Specialties, Inc.(c) 957,558
10,400 Techne Corporation(c) 374,608
45,400 Tercica, Inc.(b,c) 426,306
26,100 Teva Pharmaceutical Industries, Ltd. 678,600
19,400 Thermo Electron Corporation(c) 562,600
38,400 Triad Hospitals, Inc.(c) 1,268,352
35,300 Varian Medical Systems, Inc. 1,417,295
5,900 Vnus Medical Technologies, Inc.(c) 88,677
23,800 Waters Corporation(c) 982,702
7,200 Zimmer Holdings, Inc.(c) 558,648
- -------------------------------------------------------------------------------------------------------------------------
Total Health Care 60,252,607
=========================================================================================================================
Industrials (9.3%)
- -------------------------------------------------------------------------------------------------------------------------
7,450 Alliant Techsystems, Inc.(c) 428,300
15,100 American Standard Companies, Inc. 552,207
10,441 Apollo Group, Inc.(c) 689,106
18,700 ARAMARK Corporation 421,685
44,800 C.H. Robinson Worldwide, Inc. 2,416,512
18,600 Career Education Corporation(c) 583,482
25,900 ChoicePoint, Inc.(c) 1,078,217
12,100 Cintas Corporation(b) 521,994
24,100 Corinthian Colleges, Inc.(b) 346,076
33,300 Corporate Executive Board Company 2,119,545
18,200 Danaher Corporation(b) 1,003,366
8,900 Dun & Bradstreet Corporation(c) 503,384
32,000 Dycom Industries, Inc.(c) 1,044,800
18,800 Eaton Corporation 1,202,260
15,800 Education Management Corporation 423,756
29,320 Expeditors International of Washington, Inc. 1,674,172
19,200 Fastenal Company 1,060,416
8,500 ITT Educational Services, Inc.(b,c) 323,085
8,800 ITT Industries, Inc. 714,032
14,600 JB Hunt Transport Services, Inc. 596,556
14,200 JetBlue Airways Corporation(b) 313,110
28,000 Joy Global Inc. 946,120
14,300 L-3 Communications Holdings, Inc.(b) 942,799
17,700 Manitowoc Company, Inc. 624,810
24,300 Manpower, Inc. 1,099,575
35,300 Monster Worldwide, Inc.(c) 990,165
22,900 MSC Industrial Direct Company, Inc. 781,806
28,500 Norfolk Southern Corporation 967,575
51,700 Northwest Airlines Corporation(c) 457,545
15,500 Parker-Hannifin Corporation 1,094,765
10,800 Pentair, Inc. 403,704
24,900 Resources Connection, Inc.(c) 1,045,302
61,300 Robert Half International, Inc. 1,626,289
19,100 Rockwell Automation, Inc. 796,279
17,300 Sirva, Inc.(c) 415,200
18,100 Stericycle, Inc.(b,c) 820,473
14,800 United Defense Industries, Inc.(c) 594,072
- -------------------------------------------------------------------------------------------------------------------------
Total Industrials 31,622,540
=========================================================================================================================
Information Technology (22.9%)
- -------------------------------------------------------------------------------------------------------------------------
50,100 Acxiom Corporation 1,252,500
27,300 Adobe Systems, Inc. 1,529,619
19,300 ADTRAN, Inc. 416,880
18,300 Affiliated Computer Services, Inc.(c) 998,265
18,500 Akamai Technologies, Inc.(c) 256,225
29,300 Alliance Data Systems Corporation(c) 1,238,804
54,500 Altera Corporation(c) 1,238,785
38,800 Amdocs, Ltd.(c) 975,820
19,400 Amphenol Corporation 666,002
18,600 Apple Computer, Inc.(c) 977,058
18,300 Ask Jeeves, Inc.(b,c) 471,774
78,800 ASML Holding NV ADR(c) 1,122,900
64,200 AudioCodes, Ltd.(c) 846,156
12,700 Autodesk, Inc. 669,925
49,900 Avaya, Inc.(c) 718,560
8,000 Avid Technology, Inc.(c) 423,840
11,600 Avocent Corporation(c) 412,960
80,900 Axcelis Technologies, Inc.(b,c) 695,740
90,500 Borland Software Corporation(c) 926,720
22,700 Broadcom Corporation(c) 614,035
19,100 CDW Corporation 1,184,773
15,500 Check Point Software Technologies, Ltd.(c) 350,626
22,200 CheckFree Corporation(c) 688,200
43,700 Citrix Systems, Inc.(c) 1,054,481
3,150 Cogent, Inc.(c) 60,272
34,176 Cognizant Technology Solutions Corporation 1,161,984
41,000 Cognos, Inc.(c) 1,619,910
107,000 Comverse Technology, Inc.(c) 2,208,480
29,800 Corning, Inc.(c) 341,210
47,500 Cypress Semiconductor Corporation(c) 500,175
20,200 DST Systems, Inc.(c) 905,970
25,700 Electronic Arts, Inc. 1,154,444
13,200 Equinix, Inc.(b,c) 497,508
38,600 F5 Networks, Inc.(b,c) 1,542,070
8,450 Fair Isaac Corporation(b) 255,190
31,050 Fiserv, Inc.(c) 1,103,517
28,000 Flextronics International, Ltd.(c) 337,400
10,800 FLIR Systems, Inc.(c) 574,668
87,300 Foundry Networks, Inc.(c) 1,058,949
33,300 Global Payments, Inc.(b) 1,823,508
8,700 Harris Corporation 535,311
12,700 Hyperion Solutions Corporation(c) 509,651
19,400 Integrated Circuit Systems, Inc.(c) 437,470
22,800 Internet Security Systems, Inc.(c) 496,128
32,200 Intersil Corporation 525,504
21,600 Intuit, Inc.(c) 979,776
22,250 Iron Mountain, Inc. 735,362
30,300 J2 Global Communication, Inc.(b,c) 913,545
28,300 Jabil Circuit, Inc.(c) 687,973
322,900 JDS Uniphase Corporation(c) 1,023,593
109,236 Juniper Networks, Inc.(c) 2,906,771
40,680 KLA-Tencor Corporation(c) 1,852,160
20,850 Kronos, Inc.(b) 1,022,692
35,700 Lam Research Corporation(c) 929,271
12,000 Lexmark International, Inc.(c) 997,320
28,300 Linear Technology Corporation(b) 1,072,004
72,500 Marvell Technology Group, Ltd. 2,071,325
7,560 Maxim Integrated Products, Inc. 332,564
26,900 McAfee, Inc.(c) 650,980
34,600 Mercury Interactive Corporation(c) 1,502,678
81,810 Microchip Technology, Inc. 2,474,752
38,300 National Semiconductor Corporation(b) 639,610
8,400 NCR Corporation(c) 473,340
43,900 Network Appliance, Inc.(c) 1,074,233
25,630 Novellus Systems, Inc.(c) 664,073
28,400 NVIDIA Corporation(c) 410,948
135,800 ON Semiconductor Corporation(b,c) 488,880
19,200 PalmOne, Inc.(b,c) 556,224
12,000 PeopleSoft, Inc.(c) 249,240
57,900 Perot Systems Corporation(c) 928,137
40,100 PMC-Sierra, Inc.(c) 411,426
28,900 Polycom, Inc.(c) 596,785
10,400 QLogic Corporation(c) 338,000
34,600 Red Hat, Inc.(b,c) 444,264
14,800 Research in Motion, Ltd. 1,305,360
20,700 SanDisk Corporation(b) 432,009
108,300 Sapient Corporation(c) 871,815
14,500 Semtech Corporation(b,c) 302,760
66,900 Silicon Image, Inc.(c) 916,530
12,500 Silicon Laboratories, Inc.(c) 374,625
101,500 Skyworks Solutions, Inc.(b,c) 902,335
25,960 SunGard Data Systems, Inc.(c) 687,680
29,700 Symantec Corporation 1,691,118
18,400 Synopsys, Inc.(c) 298,816
12,600 Tektronix, Inc. 382,158
70,200 VeriSign, Inc.(c) 1,883,466
78,500 VERITAS Software Corporation(c) 1,717,580
9,640 Xilinx, Inc. 294,984
22,350 Zebra Technologies Corporation 1,184,326
- -------------------------------------------------------------------------------------------------------------------------
Total Information Technology 78,053,455
=========================================================================================================================
Materials (2.5%)
- -------------------------------------------------------------------------------------------------------------------------
11,800 Ball Corporation 470,230
93,900 Crown Holdings, Inc.(c) 1,065,765
38,800 Ecolab, Inc. 1,313,380
12,800 Freeport-McMoRan Copper & Gold, Inc.(b) 463,616
20,500 Martin Marietta Materials, Inc. 933,365
23,100 Millennium Chemicals, Inc.(b,c) 496,188
21,900 Newmont Mining Corporation 1,040,688
37,300 Packaging Corporation of America 817,989
39,000 Pan American Silver Corporation(b,c) 655,980
10,600 Peabody Energy Corporation 676,068
6,500 Phelps Dodge Corporation 569,010
- -------------------------------------------------------------------------------------------------------------------------
Total Materials 8,502,279
=========================================================================================================================
Telecommunication Services (1.9%)
- -------------------------------------------------------------------------------------------------------------------------
85,500 American Tower Corporation(c) 1,469,745
38,500 Crown Castle International Corporation(b,c) 589,435
139,400 Nextel Partners, Inc.(c) 2,347,496
40,000 NII Holdings, Inc.(b) 1,770,800
14,700 Western Wireless Corporation(c) 428,358
- -------------------------------------------------------------------------------------------------------------------------
Total Telecommunication Services 6,605,834
=========================================================================================================================
Utilities (0.3%)
- -------------------------------------------------------------------------------------------------------------------------
97,400 AES Corporation(c) 1,061,660
- -------------------------------------------------------------------------------------------------------------------------
Total Utilities 1,061,660
- -------------------------------------------------------------------------------------------------------------------------
Total Common Stock (cost $273,089,192) 294,937,314
=========================================================================================================================
Principal
Amount Long-Term Fixed Income(f) Interest Rate Maturity Date Value
- -------------------------------------------------------------------------------------------------------------------------
$57 TIMCO Aviation Services, Inc. 8.000% 1/2/2007 $6
- -------------------------------------------------------------------------------------------------------------------------
Total Long-Term Fixed Income (cost $58) 6
=========================================================================================================================
Shares or
Principal
Amount Collateral Held for Securities Loaned (9.8%) Interest Rate(g) Maturity Date Value
- -------------------------------------------------------------------------------------------------------------------------
$122,035 BNP Paribas Letter of Credit 0.150% 4/21/2005 $122,035
207,460 J.P. Morgan Chase Letter of Credit 0.150 11/20/2004 207,460
33,052,190 Thrivent Financial Securities Lending Trust 1.820 N/A 33,052,190
- -------------------------------------------------------------------------------------------------------------------------
Total Collateral Held for Securities Loaned (cost
$33,381,685) 33,381,685
=========================================================================================================================
Shares Short-Term Investments (3.5%) Interest Rate(g) Maturity Date Value
- -------------------------------------------------------------------------------------------------------------------------
11,817,759 Thrivent Money Market Fund 0.820% N/A $11,817,759
- -------------------------------------------------------------------------------------------------------------------------
Total Short-Term Investments (at amortized cost) 11,817,759
- -------------------------------------------------------------------------------------------------------------------------
Total Investments (cost $318,288,693) $340,136,764
=========================================================================================================================
(a) The categories of investments are shown as a percentage of
total investments.
(b) All or a portion of the security is on loan as
discussed in item 2(L) of the Notes to Financial
Statements.
(c) Non-income producing security.
(d) Denotes investments purchased on a when-issued basis.
(e) Earmarked as collateral for long settling trades as
discussed in the notes to the financial statements.
(f) The market value of the denoted categories of
investments represents less than 0.1% of the total
investments of the Thrivent Mid Cap Growth Fund.
(g) The interest rate shown reflects the yield.
(h) Miscellaneous footnote:
ADR -- American Depository Receipts, which are certificates
for shares of an underlying foreign security's shares
held by an issuing U.S. depository bank.
The accompanying notes to the financial statements
are an integral part of this schedule.
Mid Cap Stock Fund
Schedule of Investments as of October 31, 2004(a)
Shares Common Stock (81.7%) Value
- -------------------------------------------------------------------------------------------------------------------------
Consumer Discretionary (12.1%)
- -------------------------------------------------------------------------------------------------------------------------
67,800 Advance Auto Parts, Inc. $2,652,336
169,450 AnnTaylor Stores Corporation 3,805,847
242,400 Applebee's International, Inc.(b) 5,543,688
148,800 Autoliv, Inc. 6,361,200
105,800 Best Buy Company, Inc. 6,265,476
34,100 Black & Decker Corporation 2,737,548
138,000 BorgWarner, Inc.(b) 6,400,440
186,500 Boyd Gaming Corporation(b) 6,245,885
210,400 Dollar General Corporation 4,050,200
111,300 Foot Locker, Inc. 2,715,720
67,000 Garmin, Ltd.(b) 3,350,000
345,500 Hilton Hotels Corporation 6,875,450
40,400 International Speedway Corporation 1,900,416
234,900 K2, Inc.(b,c) 3,810,078
88,600 Lear Corporation 4,777,312
90,200 Men's Wearhouse, Inc.(b,c) 2,803,416
112,300 MGM MIRAGE(c) 6,041,740
170,200 Michaels Stores, Inc.(b) 4,952,820
53,800 Mohawk Industries, Inc.(b,c) 4,577,304
109,900 Nordstrom, Inc. 4,745,482
180,500 Pep Boys - Manny, Moe & Jack(b) 2,566,710
134,600 PETsMART, Inc. 4,304,508
136,200 Polo Ralph Lauren Corporation 5,029,866
57,900 Royal Caribbean Cruises, Ltd.(b) 2,698,140
212,500 Saks, Inc.(b) 2,596,750
102,200 Staples, Inc. 3,039,428
194,900 Warnaco Group, Inc.(c) 3,975,960
3,700 Washington Post Company(b) 3,385,500
102,800 Yum! Brands, Inc. 4,471,800
- -------------------------------------------------------------------------------------------------------------------------
Total Consumer Discretionary 122,681,020
=========================================================================================================================
Consumer Staples (2.5%)
- -------------------------------------------------------------------------------------------------------------------------
238,100 Del Monte Foods Company(c) 2,542,908
137,500 Flowers Foods, Inc.(b) 3,487,000
172,700 Hershey Foods Corporation 8,754,163
96,700 Smithfield Foods, Inc.(b,c) 2,343,041
569,400 Tyson Foods, Inc. 8,256,300
- -------------------------------------------------------------------------------------------------------------------------
Total Consumer Staples 25,383,412
=========================================================================================================================
Energy (8.6%)
- -------------------------------------------------------------------------------------------------------------------------
121,100 BJ Services Company 6,176,100
237,600 Chesapeake Energy Corporation 3,820,608
85,600 ENSCO International, Inc. 2,615,080
54,400 EOG Resources, Inc. 3,620,864
257,425 Nabors Industries, Ltd.(c) 12,644,716
138,300 Newfield Exploration Company(c) 8,049,060
122,600 Noble Corporation(c) 5,600,368
548,900 Patterson-UTI Energy, Inc. 10,555,347
96,700 Precision Drilling Corporation(b,c) 5,962,522
142,300 Pride International, Inc.(c) 2,629,704
137,400 Quicksilver Resources, Inc.(b) 4,345,962
105,900 Smith International, Inc.(c) 6,150,672
182,300 Ultra Petroleum Corporation(b,c) 8,859,780
120,600 Weatherford International, Ltd.(c) 6,302,556
- -------------------------------------------------------------------------------------------------------------------------
Total Energy 87,333,339
=========================================================================================================================
Financials (15.2%)
- -------------------------------------------------------------------------------------------------------------------------
180,900 A.G. Edwards, Inc.(b) 6,559,434
88,150 Affiliated Managers Group, Inc.(b) 4,922,296
83,700 American Capital Strategies, Ltd.(b) 2,590,515
125,700 Banknorth Group, Inc. 4,433,439
91,700 CIT Group, Inc. 3,704,680
70,500 City National Corporation 4,857,450
206,400 Colonial BancGroup, Inc.(b) 4,468,560
232,398 Countrywide Financial Corporation 7,420,468
186,300 Doral Financial Corporation 7,820,874
69,100 Everest Re Group, Ltd. 5,484,467
174,882 Fidelity National Financial, Inc. 6,600,047
48,200 First Horizon National Corporation(b) 2,086,096
141,500 General Growth Properties, Inc. 4,668,085
14,150 General Growth Properties, Inc. Rights(d) 0
369,800 HCC Insurance Holdings, Inc. 10,983,060
382,000 HRPT Properties Trust(b) 4,274,580
57,000 Investors Financial Services Corporation(b) 2,193,930
355,200 Knight Trading Group, Inc.(b,c) 3,690,528
46,100 M&T Bank Corporation 4,748,300
86,900 Mercantile Bankshares Corporation(b) 4,235,506
198,400 New York Community Bancorp, Inc.(b) 3,642,624
194,600 North Fork Bancorporation, Inc. 8,581,860
103,700 Ohio Casualty Corporation(b,c) 2,165,256
163,800 PartnerRe, Ltd.(b) 9,524,970
52,600 PMI Group, Inc. 2,041,932
155,800 ProLogis Trust 6,073,084
124,400 SEI Investments Company 4,477,156
212,900 Sovereign Bancorp, Inc.(b) 4,609,285
199,300 TCF Financial Corporation(b) 6,281,936
96,400 Wintrust Financial Corporation(b) 5,494,800
62,100 XL Capital, Ltd. 4,502,250
- -------------------------------------------------------------------------------------------------------------------------
Total Financials 153,137,468
=========================================================================================================================
Health Care (8.3%)
- -------------------------------------------------------------------------------------------------------------------------
151,600 Advanced Medical Optics, Inc.(c) 5,927,560
41,600 Bausch & Lomb, Inc. 2,535,936
116,500 Beckman Coulter, Inc. 6,931,750
113,500 C.R. Bard, Inc. 6,446,800
67,300 Charles River Laboratories International, Inc.(b,c) 3,148,967
113,400 Dentsply International, Inc. 5,897,934
130,200 Gilead Sciences, Inc. 4,508,826
240,200 Humana, Inc.(c) 4,599,830
78,900 Invitrogen Corporation(c) 4,568,310
255,693 IVAX Corporation 4,628,043
104,100 Kindred Healthcare, Inc.(b) 2,508,810
56,900 Kinetic Concepts, Inc.(c) 2,835,327
128,900 PacifiCare Health Systems, Inc.(b) 4,591,418
144,400 Par Pharmaceutical Companies, Inc.(b,c) 5,696,580
55,900 Quest Diagnostics, Inc. 4,893,486
159,300 Telik, Inc.(b,c) 2,939,085
64,300 United Surgical Partners International, Inc.(b,c) 2,251,143
128,500 Valeant Pharmaceuticals International(b) 3,084,000
218,800 Vertex Pharmaceuticals, Inc.(b,c) 2,380,544
132,400 Watson Pharmaceuticals, Inc.(c) 3,711,172
- -------------------------------------------------------------------------------------------------------------------------
Total Health Care 84,085,521
=========================================================================================================================
Industrials (10.2%)
- -------------------------------------------------------------------------------------------------------------------------
173,300 Acuity Brands, Inc. 4,597,649
118,600 AGCO Corporation(c) 2,303,212
126,100 Burlington Northern Santa Fe Corporation 5,272,241
59,700 C.H. Robinson Worldwide, Inc. 3,220,218
111,600 Canadian National Railway Company 6,031,980
145,400 Donaldson Company, Inc.(b) 4,318,380
83,500 Eaton Corporation 5,339,825
84,500 Expeditors International of Washington, Inc. 4,824,950
121,400 Fastenal Company(b) 6,704,922
198,000 IDEX Corporation(b) 7,306,200
103,100 Jacobs Engineering Group, Inc.(b,c) 4,199,263
46,300 L-3 Communications Holdings, Inc. 3,052,559
224,300 Manitowoc Company, Inc. 7,917,790
83,800 Manpower, Inc. 3,791,950
112,900 Oshkosh Truck Corporation 6,649,810
124,900 Pentair, Inc. 4,668,762
55,900 Precision Castparts Corporation 3,354,000
92,300 Roper Industries, Inc. 5,691,218
96,800 UTI Worldwide, Inc.(b) 6,292,000
106,400 Yellow Roadway Corporation(c) 5,106,136
81,200 York International Corporation(b) 2,585,408
- -------------------------------------------------------------------------------------------------------------------------
Total Industrials 103,228,473
=========================================================================================================================
Information Technology (14.2%)
- -------------------------------------------------------------------------------------------------------------------------
219,700 Acxiom Corporation(b) 5,492,500
69,400 Affiliated Computer Services, Inc.(c) 3,785,770
168,700 Amphenol Corporation 5,791,471
103,300 Analog Devices, Inc. 4,158,858
164,300 Apple Computer, Inc.(c) 8,630,679
182,700 BMC Software, Inc.(c) 3,456,684
143,400 Cabot Microelectronics Corporation(b,c) 5,166,702
71,500 CDW Corporation 4,435,145
78,600 CheckFree Corporation(b,c) 2,436,600
121,300 Cognos, Inc.(c) 4,792,563
77,100 Computer Sciences Corporation(c) 3,829,557
195,500 Comverse Technology, Inc.(c) 4,035,120
163,300 Convergys Corporation(c) 2,124,533
47,700 Diebold, Inc.(b) 2,282,445
105,800 DST Systems, Inc.(c) 4,745,130
230,400 EarthLink, Inc.(c) 2,380,032
56,900 Electronic Arts, Inc. 2,555,948
61,300 Harris Corporation 3,771,789
54,300 International Rectifier Corporation(c) 2,158,425
160,000 Intersil Corporation 2,611,200
101,100 Intuit, Inc.(c) 4,585,896
126,900 Lam Research Corporation(c) 3,303,207
54,500 Lexmark International, Inc.(c) 4,529,495
127,700 Macromedia, Inc.(c) 3,465,778
204,200 McAfee, Inc.(c) 4,941,640
75,700 Microchip Technology, Inc. 2,289,925
198,200 NVIDIA Corporation(c) 2,867,954
987,100 ON Semiconductor Corporation(b,c) 3,553,560
138,100 SanDisk Corporation(b) 2,882,147
398,300 Skyworks Solutions, Inc.(b,c) 3,540,887
370,000 Symbol Technologies, Inc.(b) 5,435,300
172,300 UTStarcom, Inc.(b,c) 2,949,776
230,600 VeriSign, Inc.(c) 6,186,998
202,800 Vishay Intertechnology, Inc.(b,c) 2,622,204
686,100 Vitesse Semiconductor Corporation(c) 1,866,192
737,500 Wind River Systems, Inc.(c) 9,875,125
- -------------------------------------------------------------------------------------------------------------------------
Total Information Technology 143,537,235
=========================================================================================================================
Materials (5.8%)
- -------------------------------------------------------------------------------------------------------------------------
204,500 Airgas, Inc.(b) 5,030,700
101,800 Ball Corporation 4,056,730
142,600 Century Aluminum Company(c) 3,299,764
199,200 CONSOL Energy, Inc. 7,051,680
164,000 Georgia-Pacific Corporation 5,672,760
67,900 Lubrizol Corporation 2,358,167
91,500 Newmont Mining Corporation 4,348,080
289,600 Packaging Corporation of America 6,350,928
178,000 Pactiv Corporation(c) 4,216,820
105,900 Peabody Energy Corporation 6,754,302
75,200 Phelps Dodge Corporation 6,583,008
135,700 Smurfit-Stone Container Corporation(c) 2,355,752
- -------------------------------------------------------------------------------------------------------------------------
Total Materials 58,078,691
=========================================================================================================================
Telecommunication Services (0.7%)
- -------------------------------------------------------------------------------------------------------------------------
575,800 Cincinnati Bell, Inc.(c) 1,963,478
115,400 NII Holdings, Inc.(b) 5,108,758
- -------------------------------------------------------------------------------------------------------------------------
Total Telecommunication Services 7,072,236
=========================================================================================================================
Utilities (4.1%)
- -------------------------------------------------------------------------------------------------------------------------
151,800 AGL Resources, Inc.(b) 4,736,160
140,100 MDU Resources Group, Inc. 3,593,565
125,700 PPL Corporation 6,536,400
116,100 Questar Corporation(b) 5,572,800
161,700 SCANA Corporation(b) 5,999,070
79,000 Sempra Energy 2,649,660
239,610 Southern Union Company(b,c) 5,264,232
206,200 Wisconsin Energy Corporation 6,730,368
- -------------------------------------------------------------------------------------------------------------------------
Total Utilities 41,082,255
- -------------------------------------------------------------------------------------------------------------------------
Total Common Stock (cost $725,007,354) 825,619,650
=========================================================================================================================
Shares Collateral Held for Securities Loaned (13.9%) Interest Rate(e) Maturity Date Value
- -------------------------------------------------------------------------------------------------------------------------
140,867,093 Thrivent Financial Securities Lending Trust 1.820% N/A $140,867,093
- -------------------------------------------------------------------------------------------------------------------------
Total Collateral Held for Securities Loaned (cost
$140,867,093) 140,867,093
=========================================================================================================================
Shares or
Principal
Amount Short-Term Investments (4.4%) Interest Rate(e) Maturity Date Value
- -------------------------------------------------------------------------------------------------------------------------
$5,000,000 Alcon Capital Corporation 1.820% 11/12/2004 $4,997,219
25,587,360 Thrivent Money Market Fund 0.820 N/A 25,587,360
14,100,000 Ventures Business Trust 1.850 11/1/2004 14,100,000
- -------------------------------------------------------------------------------------------------------------------------
Total Short-Term Investments (at amortized cost) 44,684,579
- -------------------------------------------------------------------------------------------------------------------------
Total Investments (cost $910,559,026) $1,011,171,322
=========================================================================================================================
(a) The categories of investments are shown as a percentage of
total investments.
(b) All or a portion of the security is on loan as
discussed in item 2(L) of the Notes to Financial
Statements.
(c) Non-income producing security.
(d) Security is fair valued as discussed in the notes to
the financial statements.
(e) The interest rate shown reflects the yield or, for
securities purchased at a discount, the discount rate
at the date of purchase.
The accompanying notes to the financial statements
are an integral part of this schedule.
Mid Cap Index Fund
Schedule of Investments as of October 31, 2004(a)
Shares Common Stock (87.3%) Value
- -------------------------------------------------------------------------------------------------------------------------
Consumer Discretionary (16.4%)
- -------------------------------------------------------------------------------------------------------------------------
3,400 99 Cents Only Stores(b,c) $52,394
4,570 Abercrombie & Fitch Company 179,053
2,700 Aeropostale, Inc. 85,185
3,500 American Eagle Outfitters, Inc. 143,080
3,400 American Greetings Corporation(c) 89,930
3,500 AnnTaylor Stores Corporation 78,610
4,050 Applebee's International, Inc. 92,624
3,417 ArvinMeritor, Inc.(c) 63,761
980 Bandag, Inc.(c) 45,080
3,360 Barnes & Noble, Inc.(b) 111,787
5,710 Belo Corporation 132,758
2,010 Blyth, Inc.(c) 60,441
1,810 Bob Evans Farms, Inc. 43,150
3,760 Borders Group, Inc. 85,690
2,740 BorgWarner, Inc. 127,081
4,200 Boyd Gaming Corporation 140,658
4,375 Brinker International, Inc.(b) 141,312
15,080 Caesars Entertainment, Inc.(b) 269,932
3,650 Callaway Golf Company 38,070
5,000 CarMax, Inc.(b,c) 131,700
2,500 Catalina Marketing Corporation(c) 64,025
2,400 CBRL Group, Inc. 87,024
2,600 Cheesecake Factory, Inc.(b,c) 112,866
4,300 Chico's FAS, Inc.(b) 172,129
4,760 Claire's Stores, Inc. 123,855
11,375 D.R. Horton, Inc. 341,250
5,470 Dollar Tree Stores, Inc.(b) 158,083
2,800 Emmis Communications Corporation(b) 52,360
2,400 Entercom Communications Corporation(b) 79,680
7,600 Foot Locker, Inc. 185,440
2,720 Furniture Brands International, Inc.(c) 59,323
3,800 Gentex Corporation 125,438
5,700 GTECH Holdings Corporation 134,919
3,200 Harman International Industries, Inc. 384,576
4,220 Harte-Hanks, Inc. 108,623
2,900 Hovnanian Enterprises, Inc. 108,866
2,550 International Speedway Corporation 119,952
3,100 Krispy Kreme Doughnuts, Inc.(b,c) 32,860
3,260 Lear Corporation 175,779
2,270 Lee Enterprises, Inc. 105,146
7,600 Lennar Corporation 341,848
3,270 Mandalay Resort Group 224,976
1,210 Media General, Inc. 70,543
6,600 Michaels Stores, Inc. 192,060
1,750 Modine Manufacturing Company 53,742
3,260 Mohawk Industries, Inc.(b) 277,361
2,510 Neiman Marcus Group, Inc. 152,683
2,600 O'Reilly Automotive, Inc.(b,c) 111,956
3,660 Outback Steakhouse, Inc. 144,899
3,600 Pacific Sunwear of California, Inc.(b) 84,384
3,370 Payless ShoeSource, Inc.(b) 32,049
7,100 PETsMART, Inc. 227,058
4,200 Pier 1 Imports, Inc. 75,390
4,890 Reader's Digest Association, Inc. 68,851
2,200 Regis Corporation 94,160
3,800 Rent-A-Center, Inc.(b) 91,162
7,200 Ross Stores, Inc. 189,144
3,300 Ruby Tuesday, Inc.(c) 81,510
1,200 Ryland Group, Inc. 114,468
7,010 Saks, Inc. 85,662
1,980 Scholastic Corporation(b) 60,034
4,570 Six Flags, Inc.(b) 23,033
1,320 Superior Industries International, Inc.(c) 35,996
2,800 Thor Industries, Inc.(c) 77,868
1,800 Timberland Company(b) 110,520
3,600 Toll Brothers, Inc.(b) 166,860
2,900 Tupperware Corporation(c) 48,401
3,900 Urban Outfitters, Inc. 159,900
2,560 Valassis Communications, Inc.(b) 88,013
450 Washington Post Company 411,750
4,750 Westwood One, Inc.(b) 109,630
5,660 Williams-Sonoma, Inc.(b) 216,042
- -------------------------------------------------------------------------------------------------------------------------
Total Consumer Discretionary 9,066,443
=========================================================================================================================
Consumer Staples (3.9%)
- -------------------------------------------------------------------------------------------------------------------------
3,320 BJ's Wholesale Club, Inc.(b) 96,380
3,080 Church & Dwight Company, Inc. 83,838
5,200 Constellation Brands, Inc.(b) 203,996
7,713 Dean Foods Company(b) 230,233
3,750 Energizer Holdings, Inc.(b) 174,112
6,700 Hormel Foods Corporation 188,337
2,888 J.M. Smucker Company 128,516
1,830 Lancaster Colony Corporation(c) 78,653
6,760 PepsiAmericas, Inc. 136,890
2,290 Ruddick Corporation 46,098
5,400 Smithfield Foods, Inc.(b,c) 130,842
2,610 Toostie Roll Industries, Inc. 79,135
17,222 Tyson Foods, Inc. 249,719
1,340 Universal Corporation 61,345
3,000 Whole Foods Market, Inc. 244,290
- -------------------------------------------------------------------------------------------------------------------------
Total Consumer Staples 2,132,384
=========================================================================================================================
Energy (7.0%)
- -------------------------------------------------------------------------------------------------------------------------
2,700 Cooper Cameron Corporation(b) 130,545
7,470 ENSCO International, Inc. 228,208
3,400 FMC Technologies, Inc.(b) 102,782
2,900 Forest Oil Corporation(b,c) 88,450
6,020 Grant Prideco, Inc.(b) 123,771
3,890 Hanover Compressor Company(b) 50,648
2,520 Helmerich & Payne, Inc. 71,946
4,460 Murphy Oil Corporation 356,889
4,300 National-Oilwell, Inc.(b,c) 144,953
3,000 Newfield Exploration Company(b) 174,600
2,870 Noble Energy, Inc. 166,460
1,890 Overseas Shipholding Group, Inc. 107,636
8,100 Patterson-UTI Energy, Inc. 155,763
7,050 Pioneer Natural Resources Company 228,420
3,800 Plains Exploration & Production Company(b,c) 95,000
3,100 Pogo Producing Company 142,135
6,700 Pride International, Inc.(b) 123,816
5,060 Smith International, Inc.(b) 293,885
3,010 Tidewater, Inc. 93,099
4,780 Varco International, Inc.(b) 132,310
6,520 Weatherford International, Ltd.(b) 340,735
3,600 Western Gas Resources, Inc. 105,444
12,600 XTO Energy, Inc. 420,587
- -------------------------------------------------------------------------------------------------------------------------
Total Energy 3,878,082
=========================================================================================================================
Financials (16.5%)
- -------------------------------------------------------------------------------------------------------------------------
3,960 A.G. Edwards, Inc. 143,590
2,660 Allmerica Financial Corporation(b) 80,066
4,100 AMB Property Corporation 153,750
3,700 American Financial Group, Inc. 109,520
7,700 AmeriCredit Corporation(b) 149,380
2,000 AmerUs Group Company(c) 83,560
4,500 Arthur J. Gallagher & Company 126,450
6,178 Associated Banc-Corp 214,315
3,780 Astoria Financial Corporation 147,760
2,670 Bank of Hawaii Corporation 127,492
8,450 Banknorth Group, Inc. 298,032
3,300 Brown & Brown, Inc. 137,808
2,500 City National Corporation 172,250
6,600 Colonial BancGroup, Inc. 142,890
3,800 Commerce Bancorp, Inc.(c) 225,112
6,020 Compass Bancshares, Inc. 287,575
2,600 Cullen/Frost Bankers, Inc. 127,400
5,100 Developers Diversified Realty Corporation 213,180
3,400 Eaton Vance Corporation 148,308
2,690 Everest Re Group, Ltd. 213,505
8,427 Fidelity National Financial, Inc. 318,035
4,400 First American Corporation 137,236
4,250 FirstMerit Corporation 111,052
2,500 GATX Corporation 68,200
2,600 Greater Bay Bancorp 81,237
3,200 HCC Insurance Holdings, Inc. 95,040
7,660 Hibernia Corporation 222,140
2,700 Highwoods Properties, Inc. 66,987
2,150 Horace Mann Educators Corporation 36,550
3,300 Hospitality Properties Trust 141,405
4,200 Independence Community Bank Corporation 158,046
3,000 IndyMac Bancorp, Inc. 96,780
3,200 Investors Financial Services Corporation(c) 123,168
2,800 Jefferies Group, Inc. 112,364
3,000 LaBranche & Company, Inc.(b,c) 21,270
4,845 Legg Mason, Inc. 308,675
3,400 Leucadia National Corporation(c) 201,110
4,200 Liberty Property Trust 170,310
3,000 Mack-Cali Realty Corporation 132,510
3,880 Mercantile Bankshares Corporation 189,111
4,300 MoneyGram International, Inc. 79,980
5,100 New Plan Excel Realty Trust, Inc. 133,416
12,910 New York Community Bancorp, Inc.(c) 237,028
3,010 Ohio Casualty Corporation(b) 62,849
8,965 Old Republic International Corporation 209,333
4,640 PMI Group, Inc. 180,125
3,450 Protective Life Corporation 135,585
4,500 Radian Group, Inc. 215,685
3,650 Raymond James Financial, Inc. 95,265
2,452 Rayonier, Inc. REIT 116,225
5,000 SEI Investments Company 179,950
1,800 Silicon Valley Bancshares(b) 72,018
1,400 StanCorp Financial Group, Inc. 105,532
6,780 TCF Financial Corporation 213,706
6,300 United Dominion Realty Trust, Inc. 132,804
3,390 Unitrin, Inc. 146,380
4,200 W.R. Berkley Corporation 179,508
4,100 Waddell & Reed Financial, Inc. 86,141
3,879 Washington Federal, Inc. 98,992
2,650 Webster Financial Corporation 126,670
1,610 Westamerica Bancorporation 92,076
3,340 Wilmington Trust Corporation 115,430
- -------------------------------------------------------------------------------------------------------------------------
Total Financials 9,107,867
=========================================================================================================================
Health Care (8.8%)
- -------------------------------------------------------------------------------------------------------------------------
2,540 Apria Healthcare Group, Inc.(b) 69,494
5,025 Barr Pharmaceuticals, Inc. 189,191
3,000 Beckman Coulter, Inc. 178,500
2,700 Cephalon, Inc.(b,c) 128,709
3,100 Charles River Laboratories International, Inc.(b) 145,049
4,200 Community Health Systems, Inc.(b) 112,644
2,990 Covance, Inc.(b) 118,763
4,300 Coventry Health Care, Inc. 175,870
5,400 Cytyc Corporation(b) 140,886
3,860 Dentsply International, Inc. 200,759
2,890 Edwards Lifesciences Corporation(b) 98,780
4,420 First Health Group Corporation(b) 70,366
5,440 Health Net, Inc.(b) 131,974
2,100 Henry Schein, Inc.(b) 132,783
3,030 Hillenbrand Industries, Inc. 150,833
1,700 INAMED Corporation 90,355
2,500 Invitrogen Corporation(b) 144,750
12,156 IVAX Corporation 220,024
1,900 LifePoint Hospitals, Inc.(b,c) 61,598
4,800 Lincare Holdings, Inc.(b) 176,448
14,938 Millennium Pharmaceuticals, Inc.(b) 193,895
5,080 Omnicare, Inc. 140,157
4,200 PacifiCare Health Systems, Inc. 149,604
1,600 Par Pharmaceutical Companies, Inc.(b,c) 63,120
6,600 Patterson Companies, Inc. 247,500
3,420 Perrigo Company(c) 62,176
4,600 Protein Design Labs, Inc.(b) 88,090
3,300 Renal Care Group, Inc. 104,148
4,220 Sepracor, Inc.(b,c) 193,825
3,470 STERIS Corporation(b) 71,933
3,700 Triad Hospitals, Inc.(b) 122,211
2,800 Universal Health Services, Inc. 116,368
4,070 Valeant Pharmaceuticals International(c) 97,680
6,600 Varian Medical Systems, Inc. 264,990
1,700 Varian, Inc.(b) 62,016
3,800 VCA Antech, Inc.(b) 85,196
4,000 Vertex Pharmaceuticals, Inc.(b,c) 43,520
2,420 VISX, Inc.(b) 40,366
- -------------------------------------------------------------------------------------------------------------------------
Total Health Care 4,884,571
=========================================================================================================================
Industrials (11.3%)
- -------------------------------------------------------------------------------------------------------------------------
4,630 Adesa, Inc.(b) 93,294
4,510 AGCO Corporation(b) 87,584
4,100 AirTran Holdings, Inc.(b,c) 47,642
1,420 Alaska Air Group, Inc.(b,c) 37,403
2,150 Alexander & Baldwin, Inc. 78,808
1,900 Alliant Techsystems, Inc.(b) 109,231
3,340 AMETEK, Inc. 109,953
1,310 Banta Corporation 53,291
2,840 Brink's Company 91,164
4,220 C.H. Robinson Worldwide, Inc. 227,627
5,000 Career Education Corporation(b) 156,850
1,560 Carlisle Companies, Inc. 90,683
4,333 ChoicePoint, Inc.(b) 180,383
2,510 CNF, Inc. 109,888
4,400 Copart, Inc.(b) 81,752
4,400 Corinthian Colleges, Inc.(c) 63,184
3,490 DeVry, Inc.(b) 50,954
4,280 Donaldson Company, Inc.(c) 127,116
3,400 Dun & Bradstreet Corporation(b) 192,304
2,300 Dycom Industries, Inc.(b) 75,095
3,500 Education Management Corporation 93,870
5,100 Expeditors International of Washington, Inc. 291,210
3,640 Fastenal Company(c) 201,037
2,380 Federal Signal Corporation(c) 39,556
2,720 Flowserve Corporation(b) 58,698
3,450 Graco, Inc. 118,680
2,045 Granite Construction, Inc. 49,653
2,040 Harsco Corporation 98,838
3,570 Herman Miller, Inc.(c) 82,467
2,910 HNI Corporation 117,564
3,030 Hubbell, Inc. 138,532
2,200 ITT Educational Services, Inc.(b,c) 83,622
2,740 Jacobs Engineering Group, Inc.(b) 111,600
3,900 JB Hunt Transport Services, Inc. 159,354
5,000 JetBlue Airways Corporation(c) 110,250
1,800 Kelly Services, Inc. 48,447
1,860 Kennametal, Inc. 86,546
1,900 Korn/Ferry International(b,c) 33,060
5,160 L-3 Communications Holdings, Inc. 340,199
2,300 Laureate Education, Inc.(b) 90,206
4,340 Manpower, Inc. 196,385
1,780 Nordson Corporation 62,336
4,820 Pentair, Inc. 180,172
3,120 Precision Castparts Corporation 187,200
5,690 Quanta Services, Inc.(b,c) 38,237
7,400 Republic Services, Inc. 227,920
2,275 Rollins, Inc.(c) 59,946
590 Sequa Corporation(b) 31,848
3,100 Sotheby's Holdings, Inc.(b) 57,939
3,640 SPX Corporation(c) 139,594
2,300 Stericycle, Inc.(b) 104,259
3,830 Swift Transportation Company, Inc.(b,c) 72,387
960 Tecumseh Products Company 41,549
2,020 Teleflex, Inc. 88,456
2,900 Thomas & Betts Corporation 82,186
2,330 Trinity Industries, Inc. 72,603
3,800 United Rentals, Inc.(b,c) 58,710
3,900 Werner Enterprises, Inc. 82,680
2,120 York International Corporation 67,501
- -------------------------------------------------------------------------------------------------------------------------
Total Industrials 6,269,503
=========================================================================================================================
Information Technology (12.8%)
- -------------------------------------------------------------------------------------------------------------------------
19,200 3Com Corporation(b) 79,488
6,700 Activision, Inc. 97,016
4,130 Acxiom Corporation(c) 103,250
3,860 ADTRAN, Inc. 83,376
4,300 Advanced Fibre Communications, Inc.(b) 67,166
1,700 Advent Software, Inc.(b) 35,462
3,900 Alliance Data Systems Corporation(b) 164,892
4,300 Amphenol Corporation 147,619
5,620 Arrow Electronics, Inc.(b) 134,655
2,795 Ascential Software Corporation(b) 39,382
23,260 Atmel Corporation(b) 73,967
5,840 Avnet, Inc.(b) 99,046
2,360 Avocent Corporation(b) 84,016
5,900 BISYS Group, Inc.(b) 86,140
1,315 Cabot Microelectronics Corporation(b,c) 47,379
13,180 Cadence Design Systems, Inc.(b) 163,959
4,040 CDW Corporation 250,601
7,200 Ceridian Corporation(b) 124,200
3,100 Certegy, Inc. 109,585
4,190 CheckFree Corporation(b) 129,890
6,400 Cognizant Technology Solutions Corporation 217,600
2,730 CommScope, Inc.(b,c) 49,167
4,600 Credence Systems Corporation(b,c) 34,730
3,500 Cree, Inc.(b,c) 120,785
2,640 CSG Systems International, Inc.(b) 44,378
6,110 Cypress Semiconductor Corporation(b) 64,338
3,500 Diebold, Inc. 167,475
4,060 DST Systems, Inc.(b) 182,091
3,350 Fair Isaac Corporation 101,170
5,800 Fairchild Semiconductor International, Inc.(b) 83,346
5,300 Gartner Group, Inc.(b,c) 63,070
3,190 Harris Corporation 196,281
1,800 Imation Corporation 56,286
3,500 Integrated Circuit Systems, Inc.(b,c) 78,925
5,190 Integrated Device Technology, Inc.(b) 61,346
3,200 International Rectifier Corporation(b) 127,200
7,300 Intersil Corporation 119,136
4,500 Jack Henry & Associates, Inc. 83,880
3,100 Keane, Inc.(b) 49,011
4,300 KEMET Corporation(b,c) 33,368
6,500 Lam Research Corporation(b) 169,195
5,600 Lattice Semiconductor Corporation(b,c) 27,832
3,000 LTX Corporation(b,c) 19,500
3,320 Macromedia, Inc.(b) 90,105
2,400 Macrovision Corporation(b) 64,896
7,580 McAfee, Inc.(b) 183,436
5,800 McDATA Corporation(b,c) 36,424
3,540 Mentor Graphics Corporation(b,c) 41,206
4,510 Micrel, Inc.(b) 50,647
10,035 Microchip Technology, Inc. 303,559
5,120 MPS Group, Inc.(b) 53,914
3,850 National Instruments Corporation(c) 105,990
2,100 Newport Corporation(b) 23,709
2,300 Plantronics, Inc. 100,050
2,200 Plexus Corporation(b) 27,258
4,800 Polycom, Inc.(b) 99,120
5,020 Powerwave Technologies, Inc.(b,c) 37,499
8,960 Quantum Corporation(b,c) 24,013
2,800 Retek, Inc.(b,c) 15,456
3,250 Reynolds and Reynolds Company 79,982
9,100 RF Micro Devices, Inc.(b,c) 59,241
3,100 RSA Security, Inc.(b) 63,426
7,900 SanDisk Corporation(c) 164,873
3,660 Semtech Corporation(b,c) 76,421
2,500 Silicon Laboratories, Inc.(b) 74,925
5,350 Storage Technology Corporation(b) 144,557
4,560 Sybase, Inc.(b) 72,185
7,580 Synopsys, Inc.(b) 123,099
2,840 Tech Data Corporation(b) 114,708
4,130 Titan Corporation(b) 61,289
1,880 Transaction Systems Architects, Inc.(b) 30,823
6,779 TriQuint Semiconductor, Inc.(b,c) 24,133
5,500 UTStarcom, Inc.(b,c) 94,160
8,070 Vishay Intertechnology, Inc.(b) 104,345
4,000 Wind River Systems, Inc.(b,c) 53,560
3,500 Zebra Technologies Corporation 185,465
- -------------------------------------------------------------------------------------------------------------------------
Total Information Technology 7,055,673
=========================================================================================================================
Materials (4.1%)
- -------------------------------------------------------------------------------------------------------------------------
3,690 Airgas, Inc. 90,774
2,090 Albemarle Corporation 74,926
2,900 Arch Coal, Inc. 94,308
2,740 Bowater, Inc. 100,942
2,970 Cabot Corporation 101,218
5,670 Crompton Corporation 52,731
1,950 Cytec Industries, Inc. 90,694
2,090 Ferro Corporation(c) 44,036
1,800 FMC Corporation(b) 78,930
2,160 Glatfelter Company 26,849
2,540 Longview Fibre Company 39,116
3,260 Lubrizol Corporation 113,220
8,700 Lyondell Chemical Company(c) 199,926
2,400 Martin Marietta Materials, Inc. 109,272
1,070 Minerals Technologies, Inc. 64,307
3,480 Olin Corporation(c) 65,076
5,300 Packaging Corporation of America 116,229
3,100 Peabody Energy Corporation 197,718
1,500 Potlatch Corporation(c) 70,635
5,790 RPM International, Inc. 102,078
1,700 Scotts Company(b) 109,174
2,320 Sensient Technologies Corporation 50,390
4,840 Sonoco Products Company 128,986
2,560 Valspar Corporation 119,450
- -------------------------------------------------------------------------------------------------------------------------
Total Materials 2,240,985
=========================================================================================================================
Telecommunication Services (0.4%)
- -------------------------------------------------------------------------------------------------------------------------
11,910 Cincinnati Bell, Inc.(b) 40,613
2,710 Telephone and Data Systems, Inc. 202,979
- -------------------------------------------------------------------------------------------------------------------------
Total Telecommunication Services 243,592
=========================================================================================================================
Utilities (6.1%)
- -------------------------------------------------------------------------------------------------------------------------
3,260 AGL Resources, Inc. 101,712
5,570 Alliant Energy Corporation 146,937
4,575 Aqua America, Inc. 100,010
11,490 Aquila, Inc.(b) 36,423
1,680 Black Hills Corporation(c) 49,493
6,220 DPL, Inc. 134,352
3,770 Duquesne Light Holdings, Inc.(c) 64,693
7,250 Energy East Corporation 182,700
3,100 Equitable Resources, Inc. 171,430
3,730 Great Plains Energy, Inc. 106,268
4,040 Hawaiian Electric Industries, Inc.(c) 113,282
1,920 IDACORP, Inc.(c) 59,482
5,850 MDU Resources Group, Inc. 150,052
4,060 National Fuel Gas Company 113,761
6,360 Northeast Utilities Service Company 122,939
2,670 NSTAR 132,085
4,360 OGE Energy Corporation 110,613
5,100 ONEOK, Inc. 136,782
9,155 Pepco Holdings, Inc. 188,685
3,060 PNM Resources, Inc. 71,237
4,920 Puget Energy, Inc. 114,439
4,080 Questar Corporation 195,840
5,490 SCANA Corporation 203,679
5,770 Sierra Pacific Resources(b,c) 55,392
3,720 Vectren Corporation 96,236
4,300 Westar Energy Inc. 90,085
2,390 WGL Holdings, Inc. 67,996
5,820 Wisconsin Energy Corporation 189,965
1,900 WPS Resources Corporation 90,250
- -------------------------------------------------------------------------------------------------------------------------
Total Utilities 3,396,818
- -------------------------------------------------------------------------------------------------------------------------
Total Common Stock (cost $41,680,574) 48,275,918
=========================================================================================================================
Shares or
Principal
Amount Collateral Held for Securities Loaned (10.9%) Interest Rate(d) Maturity Date Value
- -------------------------------------------------------------------------------------------------------------------------
6,001,857 Thrivent Financial Securities Lending Trust 1.820% N/A $6,001,857
$533 U.S. Treasury Bonds 13.250 5/15/2014 789
352 U.S. Treasury Bonds 12.500 8/15/2014 504
372 U.S. Treasury Bonds 7.250 5/15/2016 484
90 U.S. Treasury Bonds 8.750 5/15/2017 132
259 U.S. Treasury Bonds 6.250 8/15/2023 310
- -------------------------------------------------------------------------------------------------------------------------
Total Collateral Held for Securities Loaned (cost
$6,004,076) 6,004,076
=========================================================================================================================
Shares Short-Term Investments (1.8%) Interest Rate(d) Maturity Date Value
- -------------------------------------------------------------------------------------------------------------------------
987,971 Thrivent Money Market Fund(e) 0.820% N/A $987,971
- -------------------------------------------------------------------------------------------------------------------------
Total Short-Term Investments (at amortized cost) 987,971
- -------------------------------------------------------------------------------------------------------------------------
Total Investments (cost $48,672,621) $55,267,965
=========================================================================================================================
(a) The categories of investments are shown as a percentage of
total investments.
(b) Non-income producing security.
(c) All or a portion of the security is on loan as
discussed in item 2(L) of the Notes to Financial
Statements.
(d) The interest rate shown reflects the yield or the
coupon rate.
(e) At October 31, 2004, $47,600 in cash was pledged as
the initial margin deposit for open financial futures
contracts. In addition $987,971 of Short-Term
Investments were earmarked as collateral to cover
open financial futures contracts as follows:
Notional
Number of Expiration Principal Unrealized
Type Contracts Date Position Value Amount Gain
- -------------------------------------------------------------------------------------------------------------------------
S&P 400 Mini Futures 17 December 2004 Long $1,024,760 $1,010,625 $14,135
The accompanying notes to the financial statements
are an integral part of this schedule.
Mid Cap Index Fund-I
Schedule of Investments as of October 31, 2004(a)
Shares Common Stock (88.8%) Value
- -------------------------------------------------------------------------------------------------------------------------
Consumer Discretionary (16.8%)
- -------------------------------------------------------------------------------------------------------------------------
1,166 99 Cents Only Stores(b,c) $17,968
1,575 Abercrombie & Fitch Company 61,708
900 Aeropostale, Inc. 28,395
1,157 American Eagle Outfitters, Inc. 47,298
1,100 American Greetings Corporation 29,095
1,200 AnnTaylor Stores Corporation 26,952
1,400 Applebee's International, Inc. 32,018
1,186 ArvinMeritor, Inc. 22,131
280 Bandag, Inc. 12,880
1,195 Barnes & Noble, Inc.(b) 39,758
1,915 Belo Corporation 44,524
715 Blyth, Inc. 21,500
620 Bob Evans Farms, Inc. 14,781
1,265 Borders Group, Inc. 28,829
940 BorgWarner, Inc. 43,597
1,500 Boyd Gaming Corporation 50,235
1,490 Brinker International, Inc.(b) 48,127
5,220 Caesars Entertainment, Inc.(b) 93,438
1,250 Callaway Golf Company 13,038
1,700 CarMax, Inc.(b,c) 44,778
900 Catalina Marketing Corporation 23,049
780 CBRL Group, Inc. 28,283
900 Cheesecake Factory, Inc.(b) 39,069
1,500 Chico's FAS, Inc.(b) 60,045
1,680 Claire's Stores, Inc. 43,714
3,950 D.R. Horton, Inc. 118,500
1,902 Dollar Tree Stores, Inc.(b) 54,968
900 Emmis Communications Corporation(b) 16,830
800 Entercom Communications Corporation(b) 26,560
2,600 Foot Locker, Inc. 63,440
900 Furniture Brands International, Inc. 19,629
1,300 Gentex Corporation 42,913
2,020 GTECH Holdings Corporation 47,813
1,100 Harman International Industries, Inc. 132,198
1,435 Harte-Hanks, Inc. 36,937
1,000 Hovnanian Enterprises, Inc. 37,540
855 International Speedway Corporation 40,219
1,000 Krispy Kreme Doughnuts, Inc.(b,c) 10,600
1,175 Lear Corporation 63,356
760 Lee Enterprises, Inc. 35,203
2,600 Lennar Corporation 116,948
1,175 Mandalay Resort Group 80,840
435 Media General, Inc. 25,360
2,200 Michaels Stores, Inc. 64,020
540 Modine Manufacturing Company 16,583
1,120 Mohawk Industries, Inc.(b) 95,290
825 Neiman Marcus Group, Inc. 50,185
900 O'Reilly Automotive, Inc.(b,c) 38,754
1,245 Outback Steakhouse, Inc. 49,290
1,200 Pacific Sunwear of California, Inc.(b) 28,128
1,125 Payless ShoeSource, Inc.(b) 10,699
2,400 PETsMART, Inc. 76,752
1,500 Pier 1 Imports, Inc. 26,925
1,715 Reader's Digest Association, Inc. 24,147
700 Regis Corporation 29,960
1,300 Rent-A-Center, Inc.(b) 31,187
2,420 Ross Stores, Inc. 63,573
1,100 Ruby Tuesday, Inc. 27,170
400 Ryland Group, Inc. 38,156
2,335 Saks, Inc. 28,534
710 Scholastic Corporation(b) 21,527
1,570 Six Flags, Inc.(b,c) 7,913
420 Superior Industries International, Inc.(c) 11,453
1,000 Thor Industries, Inc. 27,810
600 Timberland Company(b) 36,840
1,300 Toll Brothers, Inc.(b,c) 60,255
1,000 Tupperware Corporation(c) 16,690
1,300 Urban Outfitters, Inc. 53,300
875 Valassis Communications, Inc.(b) 30,082
160 Washington Post Company 146,405
1,660 Westwood One, Inc.(b) 38,313
1,970 Williams-Sonoma, Inc.(b) 75,195
- -------------------------------------------------------------------------------------------------------------------------
Total Consumer Discretionary 3,110,200
=========================================================================================================================
Consumer Staples (3.9%)
- -------------------------------------------------------------------------------------------------------------------------
1,130 BJ's Wholesale Club, Inc.(b) 32,804
1,065 Church & Dwight Company, Inc. 28,989
1,800 Constellation Brands, Inc.(b) 70,614
2,657 Dean Foods Company(b) 79,311
1,300 Energizer Holdings, Inc.(b) 60,359
2,325 Hormel Foods Corporation 65,356
995 J.M. Smucker Company 44,278
645 Lancaster Colony Corporation 27,722
2,310 PepsiAmericas, Inc. 46,778
780 Ruddick Corporation 15,701
1,900 Smithfield Foods, Inc.(b) 46,037
854 Toostie Roll Industries, Inc. 25,893
5,892 Tyson Foods, Inc. 85,434
450 Universal Corporation 20,601
1,000 Whole Foods Market, Inc. 81,430
- -------------------------------------------------------------------------------------------------------------------------
Total Consumer Staples 731,307
=========================================================================================================================
Energy (7.1%)
- -------------------------------------------------------------------------------------------------------------------------
900 Cooper Cameron Corporation(b) 43,515
2,480 ENSCO International, Inc. 75,764
1,100 FMC Technologies, Inc.(b) 33,253
1,000 Forest Oil Corporation(b) 30,500
2,030 Grant Prideco, Inc.(b) 41,737
1,310 Hanover Compressor Company(b) 17,056
825 Helmerich & Payne, Inc. 23,554
1,570 Murphy Oil Corporation 125,631
1,400 National-Oilwell, Inc.(b) 47,194
1,000 Newfield Exploration Company(b) 58,200
990 Noble Energy, Inc. 57,420
670 Overseas Shipholding Group, Inc. 38,156
2,800 Patterson-UTI Energy, Inc. 53,844
2,460 Pioneer Natural Resources Company 79,704
1,300 Plains Exploration & Production Company(b) 32,500
1,100 Pogo Producing Company 50,435
2,300 Pride International, Inc.(b) 42,504
1,750 Smith International, Inc.(b) 101,640
980 Tidewater, Inc. 30,311
1,655 Varco International, Inc.(b) 45,810
2,230 Weatherford International, Ltd.(b) 116,540
1,200 Western Gas Resources, Inc. 35,148
4,300 XTO Energy, Inc. 143,534
- -------------------------------------------------------------------------------------------------------------------------
Total Energy 1,323,950
=========================================================================================================================
Financials (16.6%)
- -------------------------------------------------------------------------------------------------------------------------
1,375 A.G. Edwards, Inc. 49,858
865 Allmerica Financial Corporation(b) 26,036
1,400 AMB Property Corporation 52,500
1,200 American Financial Group, Inc. 35,520
2,600 AmeriCredit Corporation(b) 50,440
700 AmerUs Group Company 29,246
1,500 Arthur J. Gallagher & Company 42,150
2,144 Associated Banc-Corp 74,375
1,330 Astoria Financial Corporation 51,990
885 Bank of Hawaii Corporation 42,259
2,900 Banknorth Group, Inc. 102,283
1,200 Brown & Brown, Inc. 50,112
810 City National Corporation 55,809
2,200 Colonial BancGroup, Inc. 47,630
1,300 Commerce Bancorp, Inc.(c) 77,012
2,075 Compass Bancshares, Inc. 99,123
900 Cullen/Frost Bankers, Inc. 44,100
1,700 Developers Diversified Realty Corporation 71,060
1,100 Eaton Vance Corporation 47,982
905 Everest Re Group, Ltd. 71,830
2,918 Fidelity National Financial, Inc. 110,125
1,500 First American Corporation 46,785
1,370 FirstMerit Corporation 35,798
825 GATX Corporation 22,506
900 Greater Bay Bancorp(c) 28,120
1,100 HCC Insurance Holdings, Inc. 32,670
2,575 Hibernia Corporation 74,675
900 Highwoods Properties, Inc. 22,329
730 Horace Mann Educators Corporation 12,410
1,100 Hospitality Properties Trust 47,135
1,400 Independence Community Bank Corporation 52,682
1,000 IndyMac Bancorp, Inc. 32,260
1,100 Investors Financial Services Corporation(c) 42,339
900 Jefferies Group, Inc. 36,117
1,000 LaBranche & Company, Inc.(b,c) 7,090
1,642 Legg Mason, Inc. 104,612
1,200 Leucadia National Corporation(c) 70,980
1,400 Liberty Property Trust 56,770
1,000 Mack-Cali Realty Corporation 44,170
1,290 Mercantile Bankshares Corporation 62,875
1,500 MoneyGram International, Inc. 27,900
1,700 New Plan Excel Realty Trust, Inc. 44,472
4,400 New York Community Bancorp, Inc.(c) 80,784
1,015 Ohio Casualty Corporation(b) 21,193
3,077 Old Republic International Corporation 71,848
1,570 PMI Group, Inc. 60,947
1,155 Protective Life Corporation 45,392
1,600 Radian Group, Inc. 76,688
1,200 Raymond James Financial, Inc. 31,320
822 Rayonier, Inc. REIT 38,963
1,700 SEI Investments Company 61,183
600 Silicon Valley Bancshares(b) 24,006
500 StanCorp Financial Group, Inc. 37,690
2,320 TCF Financial Corporation 73,126
2,100 United Dominion Realty Trust, Inc. 44,268
1,115 Unitrin, Inc. 48,146
1,400 W.R. Berkley Corporation 59,836
1,400 Waddell & Reed Financial, Inc. 29,414
1,330 Washington Federal, Inc. 33,942
870 Webster Financial Corporation 41,586
525 Westamerica Bancorporation 30,025
1,070 Wilmington Trust Corporation 36,979
- -------------------------------------------------------------------------------------------------------------------------
Total Financials 3,083,471
=========================================================================================================================
Health Care (9.0%)
- -------------------------------------------------------------------------------------------------------------------------
845 Apria Healthcare Group, Inc.(b) 23,119
1,775 Barr Pharmaceuticals, Inc. 66,829
1,010 Beckman Coulter, Inc. 60,095
900 Cephalon, Inc.(b,c) 42,903
1,000 Charles River Laboratories International, Inc.(b) 46,790
1,400 Community Health Systems, Inc.(b) 37,548
1,070 Covance, Inc.(b) 42,500
1,500 Coventry Health Care, Inc. 61,350
1,900 Cytyc Corporation(b) 49,571
1,332 Dentsply International, Inc. 69,277
1,000 Edwards Lifesciences Corporation(b) 34,180
1,550 First Health Group Corporation(b) 24,676
1,850 Health Net, Inc.(b) 44,881
700 Henry Schein, Inc.(b) 44,261
1,030 Hillenbrand Industries, Inc. 51,273
600 INAMED Corporation 31,890
800 Invitrogen Corporation(b) 46,320
4,225 IVAX Corporation 76,472
600 LifePoint Hospitals, Inc.(b) 19,452
1,630 Lincare Holdings, Inc.(b) 59,919
5,122 Millennium Pharmaceuticals, Inc.(b) 66,484
1,785 Omnicare, Inc. 49,248
1,450 PacifiCare Health Systems, Inc. 51,649
600 Par Pharmaceutical Companies, Inc.(b) 23,670
2,200 Patterson Companies, Inc. 82,500
1,230 Perrigo Company 22,361
1,600 Protein Design Labs, Inc.(b) 30,640
1,100 Renal Care Group, Inc. 34,716
1,470 Sepracor, Inc.(b,c) 67,517
1,180 STERIS Corporation(b) 24,461
1,300 Triad Hospitals, Inc.(b) 42,939
1,000 Universal Health Services, Inc. 41,560
1,370 Valeant Pharmaceuticals International(c) 32,880
2,300 Varian Medical Systems, Inc. 92,345
600 Varian, Inc.(b) 21,888
1,300 VCA Antech, Inc.(b) 29,146
1,300 Vertex Pharmaceuticals, Inc.(b,c) 14,144
850 VISX, Inc.(b) 14,178
- -------------------------------------------------------------------------------------------------------------------------
Total Health Care 1,675,632
=========================================================================================================================
Industrials (11.5%)
- -------------------------------------------------------------------------------------------------------------------------
1,530 Adesa, Inc.(b) 30,830
1,510 AGCO Corporation(b) 29,324
1,400 AirTran Holdings, Inc.(b,c) 16,268
435 Alaska Air Group, Inc.(b,c) 11,458
750 Alexander & Baldwin, Inc. 27,491
600 Alliant Techsystems, Inc.(b) 34,494
1,120 AMETEK, Inc. 36,870
410 Banta Corporation 16,679
905 Brink's Company 29,050
1,410 C.H. Robinson Worldwide, Inc. 76,055
1,700 Career Education Corporation(b) 53,329
565 Carlisle Companies, Inc. 32,843
1,500 ChoicePoint, Inc.(b) 62,445
815 CNF, Inc. 35,681
1,500 Copart, Inc.(b) 27,870
1,500 Corinthian Colleges, Inc.(c) 21,540
1,195 DeVry, Inc.(b) 17,447
1,490 Donaldson Company, Inc. 44,253
1,200 Dun & Bradstreet Corporation(b) 67,872
800 Dycom Industries, Inc.(b) 26,120
1,200 Education Management Corporation 32,184
1,800 Expeditors International of Washington, Inc. 102,780
1,270 Fastenal Company 70,142
795 Federal Signal Corporation 13,213
900 Flowserve Corporation(b) 19,422
1,200 Graco, Inc. 41,280
730 Granite Construction, Inc. 17,724
730 Harsco Corporation 35,368
1,180 Herman Miller, Inc. 27,258
915 HNI Corporation 36,966
1,055 Hubbell, Inc. 48,235
800 ITT Educational Services, Inc.(b) 30,408
920 Jacobs Engineering Group, Inc.(b) 37,472
1,380 JB Hunt Transport Services, Inc. 56,387
1,700 JetBlue Airways Corporation(c) 37,485
590 Kelly Services, Inc. 15,880
565 Kennametal, Inc. 26,289
600 Korn/Ferry International(b,c) 10,440
1,750 L-3 Communications Holdings, Inc. 115,378
800 Laureate Education, Inc.(b) 31,376
1,550 Manpower, Inc. 70,138
560 Nordson Corporation 19,611
1,730 Pentair, Inc. 64,667
1,100 Precision Castparts Corporation 66,000
2,000 Quanta Services, Inc.(b,c) 13,440
2,500 Republic Services, Inc. 77,000
760 Rollins, Inc. 20,026
175 Sequa Corporation(b) 9,446
1,105 Sotheby's Holdings, Inc.(b) 20,652
1,240 SPX Corporation(c) 47,554
800 Stericycle, Inc.(b) 36,264
1,350 Swift Transportation Company, Inc.(b,c) 25,515
285 Tecumseh Products Company 12,335
635 Teleflex, Inc. 27,807
1,000 Thomas & Betts Corporation 28,340
820 Trinity Industries, Inc. 25,551
1,300 United Rentals, Inc.(b,c) 20,085
1,375 Werner Enterprises, Inc. 29,150
720 York International Corporation 22,925
- -------------------------------------------------------------------------------------------------------------------------
Total Industrials 2,140,112
=========================================================================================================================
Information Technology (13.1%)
- -------------------------------------------------------------------------------------------------------------------------
6,600 3Com Corporation(b) 27,324
2,350 Activision, Inc. 34,028
1,445 Acxiom Corporation 36,125
1,290 ADTRAN, Inc. 27,864
1,500 Advanced Fibre Communications, Inc.(b) 23,430
600 Advent Software, Inc.(b) 12,516
1,400 Alliance Data Systems Corporation(b) 59,192
1,500 Amphenol Corporation 51,495
1,925 Arrow Electronics, Inc.(b) 46,123
978 Ascential Software Corporation(b) 13,780
7,990 Atmel Corporation(b) 25,408
2,060 Avnet, Inc.(b) 34,938
800 Avocent Corporation(b) 28,480
2,000 BISYS Group, Inc.(b) 29,200
417 Cabot Microelectronics Corporation(b,c) 15,025
4,480 Cadence Design Systems, Inc.(b) 55,731
1,350 CDW Corporation 83,740
2,500 Ceridian Corporation(b) 43,125
1,100 Certegy, Inc. 38,885
1,470 CheckFree Corporation(b) 45,570
2,200 Cognizant Technology Solutions Corporation 74,800
900 CommScope, Inc.(b) 16,209
1,600 Credence Systems Corporation(b,c) 12,080
1,200 Cree, Inc.(b,c) 41,412
845 CSG Systems International, Inc.(b) 14,204
2,140 Cypress Semiconductor Corporation(b) 22,534
1,190 Diebold, Inc. 56,942
1,390 DST Systems, Inc.(b) 62,342
1,200 Fair Isaac Corporation 36,240
2,000 Fairchild Semiconductor International, Inc.(b) 28,740
1,800 Gartner Group, Inc.(b,c) 21,420
1,095 Harris Corporation 67,375
600 Imation Corporation 18,762
1,200 Integrated Circuit Systems, Inc.(b) 27,060
1,805 Integrated Device Technology, Inc.(b) 21,335
1,100 International Rectifier Corporation(b) 43,725
2,500 Intersil Corporation 40,800
1,500 Jack Henry & Associates, Inc. 27,960
1,015 Keane, Inc.(b) 16,047
1,400 KEMET Corporation(b) 10,864
2,200 Lam Research Corporation(b) 57,266
1,900 Lattice Semiconductor Corporation(b) 9,443
1,000 LTX Corporation(b) 6,500
1,200 Macromedia, Inc.(b) 32,568
800 Macrovision Corporation(b) 21,632
2,595 McAfee, Inc.(b) 62,799
2,000 McDATA Corporation(b,c) 12,560
1,250 Mentor Graphics Corporation(b) 14,550
1,500 Micrel, Inc.(b) 16,845
3,460 Microchip Technology, Inc. 104,665
1,725 MPS Group, Inc.(b) 18,164
1,350 National Instruments Corporation 37,166
700 Newport Corporation(b) 7,903
800 Plantronics, Inc. 34,800
700 Plexus Corporation(b) 8,673
1,690 Polycom, Inc.(b) 34,898
1,700 Powerwave Technologies, Inc.(b) 12,699
3,080 Quantum Corporation(b) 8,254
900 Retek, Inc.(b) 4,968
1,055 Reynolds and Reynolds Company 25,964
3,100 RF Micro Devices, Inc.(b,c) 20,181
1,100 RSA Security, Inc.(b) 22,506
2,700 SanDisk Corporation(c) 56,349
1,200 Semtech Corporation(b) 25,056
900 Silicon Laboratories, Inc.(b) 26,973
1,860 Storage Technology Corporation(b) 50,257
1,600 Sybase, Inc.(b) 25,328
2,600 Synopsys, Inc.(b) 42,224
945 Tech Data Corporation(b) 38,169
1,400 Titan Corporation(b) 20,776
585 Transaction Systems Architects, Inc.(b) 9,591
2,315 TriQuint Semiconductor, Inc.(b) 8,241
1,900 UTStarcom, Inc.(b,c) 32,528
2,795 Vishay Intertechnology, Inc.(b) 36,139
1,400 Wind River Systems, Inc.(b) 18,746
1,200 Zebra Technologies Corporation 63,588
- -------------------------------------------------------------------------------------------------------------------------
Total Information Technology 2,421,799
=========================================================================================================================
Materials (4.1%)
- -------------------------------------------------------------------------------------------------------------------------
1,295 Airgas, Inc. 31,857
680 Albemarle Corporation 24,378
900 Arch Coal, Inc. 29,268
945 Bowater, Inc. 34,814
1,075 Cabot Corporation 36,636
1,920 Crompton Corporation 17,856
665 Cytec Industries, Inc. 30,929
690 Ferro Corporation 14,538
600 FMC Corporation(b) 26,310
740 Glatfelter Company 9,198
820 Longview Fibre Company 12,628
1,070 Lubrizol Corporation 37,161
3,010 Lyondell Chemical Company(c) 69,170
805 Martin Marietta Materials, Inc. 36,652
370 Minerals Technologies, Inc. 22,237
1,185 Olin Corporation 22,160
1,800 Packaging Corporation of America 39,474
1,100 Peabody Energy Corporation 70,158
500 Potlatch Corporation 23,545
1,915 RPM International, Inc. 33,761
500 Scotts Company(b) 32,110
810 Sensient Technologies Corporation 17,593
1,675 Sonoco Products Company 44,639
900 Valspar Corporation 41,994
- -------------------------------------------------------------------------------------------------------------------------
Total Materials 759,066
=========================================================================================================================
Telecommunication Services (0.5%)
- -------------------------------------------------------------------------------------------------------------------------
4,060 Cincinnati Bell, Inc.(b) 13,845
935 Telephone and Data Systems, Inc. 70,032
- -------------------------------------------------------------------------------------------------------------------------
Total Telecommunication Services 83,877
=========================================================================================================================
Utilities (6.2%)
- -------------------------------------------------------------------------------------------------------------------------
1,085 AGL Resources, Inc. 33,852
1,875 Alliant Energy Corporation 49,462
1,525 Aqua America, Inc. 33,336
3,995 Aquila, Inc.(b) 12,664
570 Black Hills Corporation 16,792
2,145 DPL, Inc. 46,332
1,250 Duquesne Light Holdings, Inc.(c) 21,450
2,465 Energy East Corporation 62,118
1,000 Equitable Resources, Inc. 55,300
1,230 Great Plains Energy, Inc. 35,043
1,370 Hawaiian Electric Industries, Inc.(c) 38,415
625 IDACORP, Inc. 19,362
2,000 MDU Resources Group, Inc. 51,300
1,370 National Fuel Gas Company 38,387
2,125 Northeast Utilities Service Company 41,076
915 NSTAR(c) 45,265
1,465 OGE Energy Corporation 37,167
1,700 ONEOK, Inc. 45,594
3,132 Pepco Holdings, Inc. 64,551
995 PNM Resources, Inc. 23,164
1,625 Puget Energy, Inc. 37,798
1,405 Questar Corporation 67,440
1,890 SCANA Corporation(c) 70,119
1,970 Sierra Pacific Resources(b,c) 18,912
1,240 Vectren Corporation 32,079
1,400 Westar Energy Inc. 29,330
780 WGL Holdings, Inc. 22,191
2,010 Wisconsin Energy Corporation 65,606
600 WPS Resources Corporation 28,500
- -------------------------------------------------------------------------------------------------------------------------
Total Utilities 1,142,605
- -------------------------------------------------------------------------------------------------------------------------
Total Common Stock (cost $12,576,584) 16,472,019
=========================================================================================================================
Shares or
Principal
Amount Collateral Held for Securities Loaned (7.0%) Interest Rate(d) Maturity Date Value
- -------------------------------------------------------------------------------------------------------------------------
1,296,614 Thrivent Financial Securities Lending Trust 1.820% N/A $1,296,614
$1,317 U.S. Treasury Bonds Zero Coupon 8/15/2012 966
134 U.S. Treasury Bonds Zero Coupon 5/15/2014 90
321 U.S. Treasury Bonds 11.250 2/15/2015 522
772 U.S. Treasury Bonds 7.250 5/15/2016 1,006
378 U.S. Treasury Bonds 9.125 5/15/2018 573
166 U.S. Treasury Bonds 8.125 8/15/2019 232
858 U.S. Treasury Bonds 8.750 8/15/2020 1,272
1,437 U.S. Treasury Bonds 7.875 2/15/2021 1,987
286 U.S. Treasury Bonds 8.125 5/15/2021 411
544 U.S. Treasury Bonds 7.250 8/15/2022 716
2,976 U.S. Treasury Bonds Zero Coupon 11/15/2022 1,203
916 U.S. Treasury Bonds 7.625 11/15/2022 1,268
492 U.S. Treasury Bonds 5.250 11/15/2028 531
444 U.S. Treasury Bonds 6.250 5/15/2030 546
- -------------------------------------------------------------------------------------------------------------------------
Total Collateral Held for Securities Loaned (cost
$1,307,937) 1,307,937
=========================================================================================================================
Shares Short-Term Investments (4.2%) Interest Rate(d) Maturity Date Value
- -------------------------------------------------------------------------------------------------------------------------
775,200 Thrivent Money Market Fund(e) 0.820% N/A $775,200
- -------------------------------------------------------------------------------------------------------------------------
Total Short-Term Investments (at amortized cost) 775,200
- -------------------------------------------------------------------------------------------------------------------------
Total Investments (cost $14,659,721) $18,555,156
=========================================================================================================================
(a) The categories of investments are shown as a percentage of
total investments.
(b) Non-income producing security.
(c) All or a portion of the security is on loan as
discussed in item 2(L) of the Notes to Financial
Statements.
(d) The interest rate shown reflects the coupon rate,
yield or, for securities purchased at a discount, the
discount rate at the date of purchase.
(e) At October 31, 2004, $33,600 in cash was pledged as
the initial margin deposit for open financial futures
contracts. In addition $775,200 of Short-Term
Investments were earmarked as collateral to cover
open financial futures contracts as follows:
Notional
Number of Expiration Principal Unrealized
Type Contracts Date Position Value Amount Gain
- -------------------------------------------------------------------------------------------------------------------------
S&P 400 Mini Futures 13 December 2004 Long $783,640 $768,472 $15,168
The accompanying notes to the financial statements
are an integral part of this schedule.
Partner International Stock Fund
Schedule of Investments as of October 31, 2004(a)
Shares Common Stock (82.2%) Value
- -------------------------------------------------------------------------------------------------------------------------
Australia (1.6%)
- -------------------------------------------------------------------------------------------------------------------------
105,031 BHP Billiton, Ltd.(b) $1,086,155
67,300 Brambles Industries, Ltd.(b,c) 356,437
334,500 Lend Lease Corporation, Ltd.(b,c) 2,889,772
106,790 News Corporation, Ltd.(b,d) 835,846
- -------------------------------------------------------------------------------------------------------------------------
Total Australia 5,168,210
=========================================================================================================================
Belgium (0.3%)
- -------------------------------------------------------------------------------------------------------------------------
22,170 Fortis(b) 564,506
5,200 UCB SA(b,c) 274,598
- -------------------------------------------------------------------------------------------------------------------------
Total Belgium 839,104
=========================================================================================================================
Brazil (1.5%)
- -------------------------------------------------------------------------------------------------------------------------
118,290 Petroleo Brasileiro SA ADR 4,115,826
50,400 Tele Norte Leste Participacoes SA(c) 659,232
- -------------------------------------------------------------------------------------------------------------------------
Total Brazil 4,775,058
=========================================================================================================================
Canada (1.2%)
- -------------------------------------------------------------------------------------------------------------------------
360,600 Abitibi Consolidated, Inc. 2,149,174
34,700 Royal Bank of Canada 1,803,558
- -------------------------------------------------------------------------------------------------------------------------
Total Canada 3,952,732
=========================================================================================================================
Denmark (0.2%)
- -------------------------------------------------------------------------------------------------------------------------
11,172 Novo Nordisk A/S(b) 555,571
- -------------------------------------------------------------------------------------------------------------------------
Total Denmark 555,571
=========================================================================================================================
Finland (1.5%)
- -------------------------------------------------------------------------------------------------------------------------
92,889 Nokia Oyj(b) 1,430,202
238,000 Stora Enso Oyj(b) 3,387,345
- -------------------------------------------------------------------------------------------------------------------------
Total Finland 4,817,547
=========================================================================================================================
France (8.5%)
- -------------------------------------------------------------------------------------------------------------------------
73,500 Accor SA(b,c) 3,050,114
172,256 Axa SA(b) 3,715,655
22,714 BNP Paribas SA(b,c) 1,547,109
56,600 Carrefour SA(b,c) 2,480,161
17,344 Compagnie de Saint-Gobain(b,c) 952,634
46,248 Credit Agricole SA(b) 1,356,235
51,900 France Telecom SA(b) 1,488,126
8,400 Groupe Danone(b,c) 704,167
5,230 Hermes International(b,c) 1,010,385
6,427 L'Oreal SA(b,c) 438,790
2,018 Lafarge SA(b,c) 184,183
13,900 LVMH Moet Hennessy Louis Vuitton SA(b,c) 952,929
34,310 Sanofi-Aventis(b,c) 2,502,531
15,299 Schneider Electric SA(b,c) 1,014,767
8,169 Societe Generale(b,c) 758,450
32,586 Societe Television Francaise 1(b,c) 981,858
22,978 Sodexho Alliance SA(b,c) 579,837
19,300 Thomson(b,c) 437,455
15,916 Total SA(b,c) 3,312,389
10,106 Vivendi Universal SA(b,c,d) 276,157
- -------------------------------------------------------------------------------------------------------------------------
Total France 27,743,932
=========================================================================================================================
Germany (3.8%)
- -------------------------------------------------------------------------------------------------------------------------
21,300 Adidas-Salomon AG(b) 2,973,218
3,544 Allianz AG(b) 377,109
8,328 Bayer AG(b) 236,058
14,800 Depfa Bank plc(b) 226,483
7,607 Deutsche Bank AG(b) 576,932
5,657 E.ON AG(b) 459,806
22,989 Hypo Real Estate Holding AG(b,d) 859,349
65,800 Metro AG(b) 3,139,608
5,221 Rhoen-Klinikum AG(b) 290,482
4,060 SAP AG(b) 692,796
35,275 Siemens AG(b) 2,624,988
- -------------------------------------------------------------------------------------------------------------------------
Total Germany 12,456,829
=========================================================================================================================
Hong Kong (1.4%)
- -------------------------------------------------------------------------------------------------------------------------
79,000 Cheung Kong Holdings, Ltd.(b) 654,320
1,066,000 China Telecom Corporation, Ltd.(b) 343,012
226,000 Li & Fung, Ltd.(b) 334,409
74,000 Sun Hung Kai Properties, Ltd.(b) 684,950
342,000 Swire Pacific, Ltd.(b) 2,417,007
- -------------------------------------------------------------------------------------------------------------------------
Total Hong Kong 4,433,698
=========================================================================================================================
Israel (0.1%)
- -------------------------------------------------------------------------------------------------------------------------
11,535 Check Point Software Technologies, Ltd.(d) 260,933
- -------------------------------------------------------------------------------------------------------------------------
Total Israel 260,933
=========================================================================================================================
Italy (4.1%)
- -------------------------------------------------------------------------------------------------------------------------
70,350 Alleanza Assicurazioni SPA(b,c) 830,168
90,497 Banca Intesa SPA(b) 370,737
20,000 Banco Popolare di Verona e Novara Scrl(b) 354,571
80,389 Eni SPA(b,c) 1,833,945
29,419 Mediaset SPA(b,c) 335,323
45,625 Mediolanum SPA(b,c) 286,565
160,400 Riunione Adriatica di Sicurta SPA(b) 3,388,213
239,100 Saipem SPA(b) 2,753,741
154,266 Telecom Italia Mobile SPA(b) 909,112
282,539 Telecom Italia SPA(b,c) 738,477
252,993 UniCredito Italiano SPA(b,c) 1,358,393
- -------------------------------------------------------------------------------------------------------------------------
Total Italy 13,159,245
=========================================================================================================================
Japan (15.9%)
- -------------------------------------------------------------------------------------------------------------------------
160,000 Bridgestone Corporation(b) 2,893,992
33,400 Canon, Inc.(b) 1,647,476
9,800 Credit Saison Company, Ltd.(b) 312,918
60,000 Dai Nippon Printing Company, Ltd.(b) 819,249
151,500 Daiichi Pharmaceutical Company, Ltd.(b) 2,946,775
19,000 Daikin Industries, Ltd.(b) 461,890
20,700 Daito Trust Construction Company, Ltd.(b) 874,288
98,000 Daiwa Securities Group, Inc.(b) 600,217
20,800 Denso Corporation(b) 496,646
14,500 Fanuc, Ltd.(b) 872,875
9,000 Fujisawa Pharmaceutical Company, Ltd.(b) 234,853
4,900 Funai Electric Company, Ltd.(b) 637,891
490,000 Hitachi, Ltd.(b) 3,066,931
6,000 Hoya Corporation(b) 615,241
29,700 JSR Corporation(b) 539,958
230 KDDI Corporation(b) 1,106,190
2,100 Keyence Corporation(b) 472,346
40,000 Kirin Brewery Company, Ltd.(b) 358,475
48,900 Kyocera Corporation(b) 3,536,240
14,200 Leopalace21 Corporation(b) 258,943
31,300 MARUI Company, Ltd.(b,c) 391,494
10,500 Matsui Securities Company, Ltd.(b,c) 277,721
116,000 Mitsubishi Corporation(b) 1,279,062
32,000 Mitsubishi Estate Company, Ltd.(b) 337,170
118,000 Mitsui Fudosan Company, Ltd.(b,c) 1,250,051
53,000 Mitsui Trust Holdings, Inc.(b) 363,995
110,000 NEC Corporation(b) $607,757
2,900 Nidec Corporation(b) 313,959
80,900 Nissan Motor Company, Ltd.(b) 909,427
107,000 Nomura Holdings, Inc.(b) 1,301,750
148 NTT DoCoMo, Inc.(b) 260,779
56,000 OJI Paper Company, Ltd.(b) 319,253
5,700 ORIX Corporation(b) 666,097
5,900 Rohm Company, Ltd.(b) 603,863
32,500 Secom Company, Ltd.(b) 1,176,829
5,300 Sega Sammy Holdings, Inc.(c,d) 245,560
32,100 Seven-Eleven Japan Company, Ltd.(b) 927,872
23,050 Shin-Etsu Chemical Company, Ltd.(b) 873,960
3,200 SMC Corporation(b) 341,820
5,800 Softbank Corporation(b,c) 262,282
165,000 Sompo Japan Insurance, Inc.(b) 1,436,011
182,000 Sumitomo Metal Industries, Ltd.(b) 219,254
211 Sumitomo Mitsui Financial Group, Inc.(b,c) 1,370,095
614,000 Sumitomo Trust and Banking Company, Ltd. (b) 3,572,721
31,000 Suzuki Motor Corporation(b) 546,913
9,150 T&D Holdings, Inc.(d) 403,258
82,700 Takeda Pharmaceutical Company, Ltd.(b) 3,986,537
5,500 Takefuji Corporation(b) 346,661
96,000 Teijin, Ltd.(b) 372,360
30,100 Toyota Motor Corporation(b) 1,165,492
8,500 Trend Micro, Inc.(b) 405,873
78 UFJ Holdings, Inc.(b,c,d) 361,579
20,000 Uniden Corporation(b) 432,257
3,110 USS Company, Ltd.(b) 251,117
22,600 Yamanouchi Pharmaceutical Company, Ltd. (b) 828,357
27,000 Yamato Transport Company, Ltd.(b) 363,143
- -------------------------------------------------------------------------------------------------------------------------
Total Japan 51,525,723
=========================================================================================================================
Malaysia (0.1%)
- -------------------------------------------------------------------------------------------------------------------------
248,500 Astro All Asia Networks plc(d) 340,053
- -------------------------------------------------------------------------------------------------------------------------
Total Malaysia 340,053
=========================================================================================================================
Mexico (1.9%)
- -------------------------------------------------------------------------------------------------------------------------
19,900 America Movil SA de CV ADR 875,600
21,600 Grupo Financiero Banorte SA de CV 101,512
199,000 Grupo Modelo SA de CV 510,407
10,500 Grupo Televisia SA ADR 577,500
93,600 Telefonos de Mexico SA de CV ADR 3,204,864
295,611 Wal-Mart de Mexico SA de CV 967,359
- -------------------------------------------------------------------------------------------------------------------------
Total Mexico 6,237,242
=========================================================================================================================
Netherlands (4.4%)
- -------------------------------------------------------------------------------------------------------------------------
149,400 ABN AMRO Holding NV(b) 3,579,575
1,328 Akzo Nobel NV(b,c) 49,973
47,590 ASML Holding NV(b,d) 678,277
196,660 ING Groep NV(b) 5,222,610
80,500 Koninklijke (Royal) KPN NV(b) 643,324
38,625 Koninklijke (Royal) Philips Electronics NV(b) 918,750
18,580 Reed Elsevier NV(b) 244,097
7,950 Royal Dutch Petroleum Company(b,c) 431,114
26,434 Royal Numico NV(b) 890,689
20,540 STMicroelectronics NV(b,c) 378,954
43,100 VNU NV(b) 1,177,643
- -------------------------------------------------------------------------------------------------------------------------
Total Netherlands 14,215,006
=========================================================================================================================
Norway (0.1%)
- -------------------------------------------------------------------------------------------------------------------------
12,000 Orkla ASA 340,744
- -------------------------------------------------------------------------------------------------------------------------
Total Norway 340,744
=========================================================================================================================
Portugal (1.1%)
- -------------------------------------------------------------------------------------------------------------------------
322,100 Portugal Telecom SGPS SA(b) 3,630,867
- -------------------------------------------------------------------------------------------------------------------------
Total Portugal 3,630,867
=========================================================================================================================
Russia (0.4%)
- -------------------------------------------------------------------------------------------------------------------------
4,600 AO VimpelCom(d) 524,400
2,680 LUKOIL ADR 333,499
9,200 Mining and Metallurgical Company Norilsk Nickel 573,160
- -------------------------------------------------------------------------------------------------------------------------
Total Russia 1,431,059
=========================================================================================================================
Singapore (1.7%)
- -------------------------------------------------------------------------------------------------------------------------
283,100 Keppel Corporation, Ltd.(b,c) 1,361,406
490,472 United Overseas Bank, Ltd.(b) 3,980,030
33,000 Venture Corporation, Ltd.(b) 313,043
- -------------------------------------------------------------------------------------------------------------------------
Total Singapore 5,654,479
=========================================================================================================================
South Korea (1.3%)
- -------------------------------------------------------------------------------------------------------------------------
19,000 Hyundai Motor Company GDR 460,786
9,740 Kookmin Bank(b) 326,630
170,000 Korea Electric Power Corporation(c) 1,951,600
1,780 Samsung Electronics Company, Ltd.(b) 699,901
8,280 SK Telecom Company, Ltd.(b) 628,807
- -------------------------------------------------------------------------------------------------------------------------
Total South Korea 4,067,724
=========================================================================================================================
Spain (5.3%)
- -------------------------------------------------------------------------------------------------------------------------
334,187 Banco Bilbao Vizcaya Argentaria SA(b,c) 5,251,255
87,892 Banco Santander Central Hispano SA(b,c) 981,123
27,273 Endesa SA(b,c) 553,877
23,950 Gas Natural SDG SA(b,c) 650,565
171,900 Iberdrola SA(b,c) 3,758,774
27,500 Industria de Diseno Textil SA (Inditex)(c) 696,858
182,749 Repsol YPF SA(b,c) 3,958,663
66,867 Telefonica SA(b) 1,106,704
7,850 Telefonica SA ADR 391,166
- -------------------------------------------------------------------------------------------------------------------------
Total Spain 17,348,985
=========================================================================================================================
Sweden (2.9%)
- -------------------------------------------------------------------------------------------------------------------------
74,500 Atlas Copco AB(b,c) 3,083,174
140,800 Electrolux AB(b) 2,606,817
34,390 Hennes & Mauritz AB(b,c) 1,000,905
2,440 Sandvik AB(b) 91,370
108,289 Securitas AB(b) 1,481,248
18,800 Tele2 AB(b,c) 625,674
157,521 Telefonaktiebolaget LM Ericsson(b) 456,873
- -------------------------------------------------------------------------------------------------------------------------
Total Sweden 9,346,061
=========================================================================================================================
Switzerland (6.4%)
- -------------------------------------------------------------------------------------------------------------------------
31,370 Adecco SA(b) 1,508,371
37,220 Credit Suisse Group(b,d) 1,272,277
5,750 Givaudan SA(b) 3,587,740
64,000 Holcim, Ltd.(b) 3,415,006
19,871 Nestle SA(b) 4,692,222
7,700 Roche Holding AG(b) 785,790
24,000 Swatch Group AG(b) 3,214,238
30,030 UBS AG(b) 2,167,549
- -------------------------------------------------------------------------------------------------------------------------
Total Switzerland 20,643,193
=========================================================================================================================
Taiwan (0.3%)
- -------------------------------------------------------------------------------------------------------------------------
9,172 Chinatrust Financial Holdings Company, Ltd.(b) 10,483
506,000 E. Sun Financial Holdings Company, Ltd.(b) 345,987
193,000 Quanta Computer, Inc.(b) 311,907
348,507 Taiwan Semiconductor Manufacturing Company, Ltd.(b) 462,896
- -------------------------------------------------------------------------------------------------------------------------
Total Taiwan 1,131,273
=========================================================================================================================
Turkey (e)
- -------------------------------------------------------------------------------------------------------------------------
7,421,400 Turkiye Is Bankasi (Isbank) 30,702
- -------------------------------------------------------------------------------------------------------------------------
Total Turkey 30,702
=========================================================================================================================
United Kingdom (16.2%)
- -------------------------------------------------------------------------------------------------------------------------
39,089 AstraZeneca plc(b) 1,600,536
16,768 Autonomy Corporation plc(b,d) 55,140
56,549 British Sky Broadcasting Group plc(b) 527,632
29,639 Cadbury Schweppes plc(b) 246,604
37,800 Capita Group plc(b) 243,844
7,228 Carnival plc(b) 382,316
113,850 Centricia plc(b) 503,147
310,350 Compass Group plc(b) 1,281,885
67,782 Diageo plc(b) 906,476
58,310 DS Smith plc 149,033
77,010 Electrocomponents plc(b) 410,814
339,447 GlaxoSmithKline plc(b) 7,137,281
337,200 Hanson plc(b) 2,485,753
307,699 Hays plc(b) 727,191
41,000 Hilton Group plc(b) 193,830
55,658 Kesa Electricals plc(b) 277,892
528,591 Kingfisher plc(b) 2,932,334
352,700 Lloyds TSB Group plc(b) 2,786,252
504,900 Marks and Spencer Group plc(b) 3,324,125
163,500 MFI Furniture Group plc(b) 307,648
270,000 Pearson plc(b) 2,958,276
140,494 Reed Elsevier plc(b) 1,254,356
28,777 Rio Tinto plc(b) 754,893
210,651 Royal Bank of Scotland Group plc(b) 6,200,272
278,496 Shell Transport & Trading Company plc(b) 2,193,016
27,500 Standard Chartered plc(b) 490,858
168,170 Tesco plc(b) 884,911
124,892 Tomkins plc(b) 570,732
102,187 Unilever plc(b) 860,838
55,288 United Busines Media plc(b) 483,795
2,906,268 Vodafone Group plc(b) 7,457,896
157,600 William Morrison Supermarkets plc(b) 654,366
120,670 WPP Group plc(b) 1,210,459
- -------------------------------------------------------------------------------------------------------------------------
Total United Kingdom 52,454,401
- -------------------------------------------------------------------------------------------------------------------------
Total Common Stock (cost $252,866,185) 266,560,371
=========================================================================================================================
Shares Collateral Held for Securities Loaned (14.8%) Interest Rate(f) Maturity Date Value
- -------------------------------------------------------------------------------------------------------------------------
47,979,089 Thrivent Financial Securities Lending Trust 1.820% N/A $47,979,089
- -------------------------------------------------------------------------------------------------------------------------
Total Collateral Held for Securities Loaned (cost
$47,979,089) 47,979,089
=========================================================================================================================
Shares or
Principal
Amount Short-Term Investments (3.0%) Rate(f) Date Value
- -------------------------------------------------------------------------------------------------------------------------
4,199,642 Thrivent Money Market Fund 0.820% N/A $4,199,642
$5,665,000 UBS Finance Delaware, LLC 1.840 11/1/2004 5,665,000
- -------------------------------------------------------------------------------------------------------------------------
Total Short-Term Investments (at amortized cost) 9,864,642
- -------------------------------------------------------------------------------------------------------------------------
Total Thrivent Partner International Stock Fund (cost
$310,709,916) $324,404,102
=========================================================================================================================
(a) The categories of investments are shown as a percentage of
total investments.
(b) Security is fair valued as discussed in the notes to
the financial statements.
(c) All or a portion of the security is on loan as
discussed in item 2(L) of the Notes to Financial
Statements.
(d) Non-income producing security.
(e) The market value of the denoted categories of
investments represents less than 0.1% of the total
investments of the Thrivent Partner International
Stock Fund.
(f) The interest rate shown reflects the yield.
(g) Miscellaneous footnotes:
ADR -- American Depository Receipts, which are certificates
for shares of an underlying foreign security's shares
held by an issuing U.S. depository bank.
GDR -- Global Depository Receipts, which are certificates
for shares of an underlying foreign security's shares
held by an issuing depository bank from more
than one country.
The accompanying notes to the financial statements
are an integral part of this schedule.
Large Cap Growth Fund
Schedule of Investments as of October 31, 2004(a)
Shares Common Stock (96.6%) Value
- -------------------------------------------------------------------------------------------------------------------------
Consumer Discretionary (15.7%)
- -------------------------------------------------------------------------------------------------------------------------
4,850 Amazon.com, Inc.(b) $165,530
12,850 Bed Bath & Beyond, Inc.(b) 524,152
7,675 Best Buy Company, Inc. 454,514
7,200 Cablevision Systems New York Group(b,c) 148,176
15,050 Carnival Corporation 760,928
5,350 Clear Channel Communications, Inc. 178,690
6,100 Coach, Inc.(b) 284,443
21,385 Comcast Corporation(b) 621,020
9,650 DIRECTV Group, Inc.(b) 161,830
900 DreamWorks Animation SKG, Inc.(b,d) 35,145
21,700 eBay, Inc.(b) 2,118,137
4,900 EchoStar Communications Corporation(b) 154,938
8,500 Fox Entertainment Group, Inc.(b) 252,110
11,400 Gap, Inc. 227,772
5,500 Harley-Davidson, Inc. 316,635
7,800 Hilton Hotels Corporation 155,220
17,020 Home Depot, Inc. 699,182
13,700 IAC/InterActiveCorp(b) 296,194
12,500 International Game Technology 413,000
2,400 KB Home 197,400
14,400 Kohl's Corporation(b) 730,944
18,750 Lowe's Companies, Inc. 1,055,250
11,400 McDonald's Corporation 332,310
3,900 McGraw-Hill Companies, Inc. 336,375
6,200 NIKE, Inc. 504,122
3,150 Omnicom Group, Inc. 248,535
6,050 PETsMART, Inc. 193,479
2,150 Pixar, Inc.(b) 172,903
4,400 Polo Ralph Lauren Corporation 162,492
2,300 Pulte Homes, Inc. 126,224
6,700 RadioShack Corporation 200,531
4,100 Ross Stores, Inc. 107,707
19,850 Staples, Inc. 590,339
11,350 Starbucks Corporation(b) 600,188
10,000 Starwood Hotels & Resorts Worldwide, Inc. 477,300
19,150 Target Corporation 957,883
3,450 Tiffany & Company 101,188
28,190 Time Warner, Inc.(b) 469,082
9,250 TJX Companies, Inc. 221,815
11,100 Univision Communications, Inc.(b) 343,656
15,783 Viacom, Inc. 575,922
16,200 Walt Disney Company 408,564
10,400 XM Satellite Radio Holdings, Inc.(b,c) 336,128
- -------------------------------------------------------------------------------------------------------------------------
Total Consumer Discretionary 17,417,953
=========================================================================================================================
Consumer Staples (7.5%)
- -------------------------------------------------------------------------------------------------------------------------
4,050 Altria Group, Inc. 196,263
9,400 Avon Products, Inc. 371,770
12,650 Coca-Cola Company 514,349
7,250 Colgate-Palmolive Company 323,495
4,800 Costco Wholesale Corporation 230,112
6,150 CVS Corporation 267,279
14,190 Gillette Company 588,601
26,950 PepsiCo, Inc. 1,336,181
30,950 Procter & Gamble Company 1,584,021
11,800 SYSCO Corporation(e) 380,786
32,300 Wal-Mart Stores, Inc. 1,741,616
16,690 Walgreen Company 599,004
4,100 William Wrigley Jr. Company 268,140
- -------------------------------------------------------------------------------------------------------------------------
Total Consumer Staples 8,401,617
=========================================================================================================================
Energy (4.0%)
- -------------------------------------------------------------------------------------------------------------------------
7,138 Apache Corporation 361,897
7,600 Baker Hughes, Inc. 325,508
9,500 BJ Services Company(f) 484,500
8,900 Burlington Resources, Inc. 369,350
9,900 Chesapeake Energy Corporation 159,192
3,100 Cooper Cameron Corporation(b) 149,885
5,500 ENSCO International, Inc. 168,025
3,750 EOG Resources, Inc. 249,600
8,070 Exxon Mobil Corporation 397,205
6,300 National-Oilwell, Inc.(b) 212,373
3,750 Noble Corporation(b) 171,300
9,780 Schlumberger, Ltd. 615,553
5,205 Smith International, Inc.(b) 302,306
6,750 Transocean, Inc.(b) 237,938
7,600 XTO Energy, Inc. 253,688
- -------------------------------------------------------------------------------------------------------------------------
Total Energy 4,458,320
=========================================================================================================================
Financials (10.7%)
- -------------------------------------------------------------------------------------------------------------------------
1,700 A.G. Edwards, Inc. 61,642
18,150 American Express Company 963,220
27,450 American International Group, Inc. 1,666,490
12,800 Ameritrade Holding Corporation(b) 166,656
10,000 Bank of New York Company, Inc. 324,600
2,750 Bear Stearns Companies, Inc. 260,562
7,200 Capital One Financial Corporation 531,072
29,296 Citigroup, Inc. 1,299,864
12,550 Countrywide Financial Corporation 400,722
16,400 E*TRADE Financial Corporation(b) 211,560
5,300 Eaton Vance Corporation 231,186
4,600 Federal Home Loan Mortgage Corporation 306,360
7,965 Federal National Mortgage Corporation 558,745
2,000 Golden West Financial Corporation 233,840
10,000 Goldman Sachs Group, Inc. 983,800
9,145 J.P. Morgan Chase & Company 352,997
2,850 Legg Mason, Inc. 181,574
4,330 Lehman Brothers Holdings, Inc. 355,710
11,600 MBNA Corporation 297,308
10,350 Merrill Lynch & Company, Inc. 558,279
7,200 Morgan Stanley and Company 367,848
6,150 Prudential Financial, Inc. 285,790
8,900 Saxon Capital, Inc.(b,c) 170,880
14,350 SLM Corporation 649,481
9,850 U.S. Bancorp 281,808
3,200 Wells Fargo & Company 191,104
- -------------------------------------------------------------------------------------------------------------------------
Total Financials 11,893,098
=========================================================================================================================
Health Care (18.1%)
- -------------------------------------------------------------------------------------------------------------------------
14,110 Abbott Laboratories 601,509
3,300 Aetna, Inc. 313,500
2,950 Alcon, Inc. 210,040
1,600 Allergan, Inc. 114,496
25,600 Amgen, Inc.(b) 1,454,080
2,650 Becton, Dickinson and Company 139,125
7,700 Biogen Idec, Inc.(b) 447,832
19,100 Boston Scientific Corporation 674,230
2,250 Cardinal Health, Inc. 105,188
17,979 Caremark Rx, Inc.(b) 538,831
11,000 Eli Lilly and Company 604,010
7,590 Forest Laboratories, Inc.(b) 338,514
19,550 Genentech, Inc. 890,112
6,550 Genzyme Corporation(b) 343,678
22,800 Gilead Sciences, Inc. 789,564
11,200 Guidant Corporation 746,144
3,100 IVAX Corporation 56,110
30,608 Johnson & Johnson 1,786,895
33,930 Medtronic, Inc. 1,734,162
5,150 Novartis AG ADR 247,252
3,800 OSI Pharmaceuticals, Inc.(b) 246,924
91,205 Pfizer, Inc. 2,640,385
2,250 Quest Diagnostics, Inc. 196,965
7,150 St. Jude Medical, Inc.(b) 547,476
4,300 Stryker Corporation 185,287
20,650 Teva Pharmaceutical Industries, Ltd. 536,900
4,950 Triad Hospitals, Inc.(b) 163,498
22,400 UnitedHealth Group, Inc. 1,621,760
5,000 Varian Medical Systems, Inc. 200,750
2,550 WellPoint Health Networks, Inc.(b) 249,033
15,410 Wyeth 611,006
11,100 Zimmer Holdings, Inc.(b) 861,249
- -------------------------------------------------------------------------------------------------------------------------
Total Health Care 20,196,505
=========================================================================================================================
Industrials (9.0%)
- -------------------------------------------------------------------------------------------------------------------------
8,000 3M Company 620,560
6,150 Apollo Group, Inc.(b) 405,900
4,250 Caterpillar, Inc. 342,295
10,000 Cendant Corporation 205,900
12,400 Danaher Corporation 683,612
3,550 Fastenal Company(c) 196,066
6,900 FedEx Corporation 628,728
1,300 General Dynamics Corporation 132,756
84,570 General Electric Company 2,885,528
6,350 Goodrich Corporation 195,770
3,000 Illinois Tool Works, Inc. 276,840
2,950 Ingersoll-Rand Company 201,898
5,000 L-3 Communications Holdings, Inc. 329,650
2,800 Lockheed Martin Corporation 154,252
4,450 Manpower, Inc. 201,362
1,750 Masco Corporation 59,955
11,200 Northwest Airlines Corporation(b,c) 99,120
3,950 Robert Half International, Inc. 104,794
4,750 Rockwell Automation, Inc. 198,028
6,300 Southwest Airlines Company 99,351
31,000 Tyco International, Ltd. 965,650
8,900 United Parcel Service, Inc. 704,702
3,940 United Technologies Corporation 365,711
- -------------------------------------------------------------------------------------------------------------------------
Total Industrials 10,058,428
=========================================================================================================================
Information Technology (28.2%)
- -------------------------------------------------------------------------------------------------------------------------
9,450 Accenture, Ltd.(b) 228,784
6,100 Adobe Systems, Inc. 341,783
3,950 Affiliated Computer Services, Inc.(b) 215,472
8,250 Agilent Technologies, Inc.(b) 206,745
10,550 Altera Corporation(b) 239,802
14,160 Analog Devices, Inc. 570,082
6,800 Apple Computer, Inc.(b) 357,204
36,800 Applied Materials, Inc.(b) 592,480
2,900 Ask Jeeves, Inc.(b,c) 74,762
7,300 Automatic Data Processing, Inc. 316,747
9,500 Avaya, Inc.(b) 136,800
17,800 BEA Systems, Inc.(b) 144,536
3,850 Broadcom Corporation(b) 104,142
129,850 Cisco Systems, Inc.(b) 2,494,418
2,350 Computer Sciences Corporation(b) 116,724
20,700 Compuware Corporation(b) 119,853
12,500 Comverse Technology, Inc.(b) 258,000
23,000 Corning, Inc.(b) 263,350
9,700 Cypress Semiconductor Corporation(b) 102,141
70,050 Dell, Inc.(b) 2,455,953
12,920 Electronic Arts, Inc. 580,366
75,230 EMC Corporation(b) 968,210
6,850 Fairchild Semiconductor International, Inc.(b) 98,434
16,200 First Data Corporation 668,736
10,350 Flextronics International, Ltd.(b) 124,718
1,100 Google, Inc.(b,c) 209,776
7,690 Hewlett-Packard Company 143,495
3,450 Hyperion Solutions Corporation(b) 138,448
79,800 Intel Corporation 1,776,348
9,440 International Business Machines Corporation 847,240
17,200 Juniper Networks, Inc.(b) 457,692
5,650 KLA-Tencor Corporation(b) 257,244
13,050 Linear Technology Corporation 494,334
45,650 Lucent Technologies, Inc.(b,c) 162,058
4,450 Marvell Technology Group, Ltd. 127,136
10,150 Maxim Integrated Products, Inc. 446,498
10,250 McAfee, Inc.(b) 248,050
6,650 Microchip Technology, Inc. 201,162
143,850 Microsoft Corporation 4,026,366
27,650 Motorola, Inc. 477,239
24,865 Nokia Oyj ADR 383,418
25,350 Novell, Inc.(b) 182,266
51,895 Oracle Corporation(b) 656,991
8,400 Paychex, Inc. 275,470
42,600 QUALCOMM, Inc. 1,781,106
4,650 Research in Motion, Ltd. 410,130
10,200 SAP AG 435,030
15,250 Siebel Systems, Inc.(b) 144,875
7,000 Skyworks Solutions, Inc.(b,c) 62,230
35,050 Sun Microsystems, Inc.(b) 158,776
3,400 SunGard Data Systems, Inc.(b) 90,066
15,400 Symantec Corporation 876,876
3,200 Take-Two Interactive Software, Inc.(b,c) 105,472
38,900 Texas Instruments, Inc. 951,105
18,100 TIBCO Software, Inc.(b) 175,932
14,600 VeriSign, Inc.(b) 391,718
16,050 VERITAS Software Corporation(b) 351,174
11,970 Xilinx, Inc. 366,282
48,100 Yahoo!, Inc. 1,740,739
- -------------------------------------------------------------------------------------------------------------------------
Total Information Technology 31,332,984
=========================================================================================================================
Materials (1.1%)
- -------------------------------------------------------------------------------------------------------------------------
7,000 Dow Chemical Company 314,580
4,050 Freeport-McMoRan Copper & Gold, Inc.(c) 146,691
3,100 International Steel Group, Inc.(b,c) 114,483
2,550 Newmont Mining Corporation 121,176
2,850 Peabody Energy Corporation 181,773
7,900 Praxair, Inc. 333,380
- -------------------------------------------------------------------------------------------------------------------------
Total Materials 1,212,083
=========================================================================================================================
Miscellaneous (1.1%)
- -------------------------------------------------------------------------------------------------------------------------
11,500 Midcap SPDR Trust Series 1 1,267,300
- -------------------------------------------------------------------------------------------------------------------------
Total Miscellaneous 1,267,300
=========================================================================================================================
Telecommunication Services (1.1%)
- -------------------------------------------------------------------------------------------------------------------------
21,800 Nextel Communications, Inc.(b) 577,482
13,500 Sprint Corporation 282,825
5,850 Verizon Communications, Inc. 228,735
4,450 Vodafone Group plc ADR 114,766
- -------------------------------------------------------------------------------------------------------------------------
Total Telecommunication Services 1,203,808
=========================================================================================================================
Utilities (0.1%)
- -------------------------------------------------------------------------------------------------------------------------
3,550 Southern Company $112,144
- -------------------------------------------------------------------------------------------------------------------------
Total Utilities 112,144
- -------------------------------------------------------------------------------------------------------------------------
Total Common Stock (cost $104,749,870) 107,554,240
=========================================================================================================================
Shares Preferred Stock (0.1%) Value
- -------------------------------------------------------------------------------------------------------------------------
4,700 Lehman Brothers Holdings, Inc., Convertible(b,c) $118,088
- -------------------------------------------------------------------------------------------------------------------------
Total Preferred Stock (cost $117,500) 118,088
=========================================================================================================================
Shares Collateral Held for Securities Loaned (1.5%) Interest Rate(g) Maturity Date Value
- -------------------------------------------------------------------------------------------------------------------------
1,654,134 Thrivent Financial Securities Lending Trust 1.820% N/A $1,654,134
- -------------------------------------------------------------------------------------------------------------------------
Total Collateral Held for Securities Loaned (cost
$1,654,134) 1,654,134
=========================================================================================================================
Shares Short-Term Investments (1.8%) Interest Rate(g) Maturity Date Value
- -------------------------------------------------------------------------------------------------------------------------
1,956,441 Thrivent Money Market Fund 0.820% N/A $1,956,441
- -------------------------------------------------------------------------------------------------------------------------
Total Short-Term Investments (at amortized cost) 1,956,441
- -------------------------------------------------------------------------------------------------------------------------
Total Investments (cost $108,477,945) $111,282,903
=========================================================================================================================
(a) The categories of investments are shown as a percentage of
total investments.
(b) Non-income producing security.
(c) All or a portion of the security is on loan as
discussed in item 2(L) of the Notes to Financial
Statements.
(d) Denotes investments purchased on a when-issued basis.
(e) At October 31, 2004, 1,400 shares of SYSCO
Corporation common stock valued at $45,178 were
earmarked as collateral to cover call options written
as follows:
Number of Exercise Expiration Unrealized
Call Options Contracts Price Date Value Loss
- -------------------------------------------------------------------------------------------------------------
SYSCO Corporation 14 $32.50 November 2004 $(847) $218
(f) Earmarked as collateral for long settling trades as
discussed in the notes to the financial statements.
(g) The interest rate shown reflects the yield or, for
securities purchased at a discount, the discount rate
at the date of purchase.
The accompanying notes to the financial statements
are an integral part of this schedule.
Large Cap Value Fund
Schedule of Investments as of October 31, 2004(a)
Shares Common Stock (97.1%) Value
- -------------------------------------------------------------------------------------------------------------------------
Consumer Discretionary (10.1%)
- -------------------------------------------------------------------------------------------------------------------------
19,000 Best Buy Company, Inc. $1,125,180
21,300 Carnival Corporation 1,076,928
54,000 Comcast Corporation(b) 1,593,000
95,800 Gap, Inc. 1,914,084
39,300 Home Depot, Inc. 1,614,444
87,500 J.C. Penney Company, Inc. (Holding Company) 3,026,625
34,000 Johnson Controls, Inc. 1,949,900
184,700 Liberty Media Corporation(b) 1,647,524
111,900 McDonald's Corporation 3,261,885
20,600 McGraw-Hill Companies, Inc. 1,776,750
65,600 Sherwin-Williams Company 2,802,432
35,920 Target Corporation 1,796,718
374,800 Time Warner, Inc.(b) 6,236,672
20,200 Viacom, Inc. 737,098
120,500 Walt Disney Company 3,039,010
- -------------------------------------------------------------------------------------------------------------------------
Total Consumer Discretionary 33,598,250
=========================================================================================================================
Consumer Staples (7.1%)
- -------------------------------------------------------------------------------------------------------------------------
67,800 Altria Group, Inc. 3,285,588
90,200 Archer-Daniels-Midland Company 1,747,174
85,200 Costco Wholesale Corporation 4,084,488
76,730 CVS Corporation 3,334,686
38,300 Kellogg Company 1,646,900
73,810 Kimberly-Clark Corporation 4,404,243
16,700 PepsiCo, Inc. 827,986
50,200 Procter & Gamble Company 2,569,236
25,500 Reynolds American, Inc.(c) 1,755,930
- -------------------------------------------------------------------------------------------------------------------------
Total Consumer Staples 23,656,231
=========================================================================================================================
Energy (9.8%)
- -------------------------------------------------------------------------------------------------------------------------
26,200 Anadarko Petroleum Corporation 1,767,190
31,950 Apache Corporation 1,619,865
23,000 BJ Services Company 1,173,000
50,500 BP plc 2,941,625
98,214 ChevronTexaco Corporation 5,211,235
76,256 ConocoPhillips 6,429,143
183,500 Exxon Mobil Corporation 9,031,870
20,700 Precision Drilling Corporation(b,c) 1,276,362
88,300 Transocean, Inc.(b) 3,112,575
- -------------------------------------------------------------------------------------------------------------------------
Total Energy 32,562,865
=========================================================================================================================
Financials (27.5%)
- -------------------------------------------------------------------------------------------------------------------------
42,800 A.G. Edwards, Inc.(c) 1,551,928
67,700 Allstate Corporation 3,255,693
31,400 American Express Company 1,666,398
70,300 American International Group, Inc. 4,267,913
52,400 Associated Banc-Corp(c) 1,817,756
317,280 Bank of America Corporation 14,210,973
23,300 Capital One Financial Corporation 1,718,608
22,700 Chubb Corporation 1,637,351
44,500 CIT Group, Inc. 1,797,800
206,732 Citigroup, Inc. 9,172,699
16,400 Countrywide Financial Corporation 523,652
28,400 Equity Office Properties Trust 798,608
21,700 Everest Re Group, Ltd. 1,722,329
46,440 Federal Home Loan Mortgage Corporation 3,092,904
45,610 Federal National Mortgage Corporation 3,199,542
24,500 Goldman Sachs Group, Inc. 2,410,310
23,680 Hartford Financial Services Group, Inc. 1,384,806
201,200 J.P. Morgan Chase & Company 7,766,320
50,000 Merrill Lynch & Company, Inc. 2,697,000
50,800 Morgan Stanley and Company 2,595,372
38,300 Northern Trust Corporation 1,629,282
16,200 PMI Group, Inc. 628,884
111,500 Providian Financial Corporation(b) 1,733,825
76,600 Prudential Financial, Inc. 3,559,602
20,400 Simon Property Group, Inc. 1,189,728
26,000 SouthTrust Corporation 1,132,820
53,700 State Street Corporation 2,419,185
127,900 U.S. Bancorp 3,659,219
33,400 Wachovia Corporation 1,643,614
67,600 Wells Fargo & Company 4,037,072
41,400 Zions Bancorporation 2,739,438
- -------------------------------------------------------------------------------------------------------------------------
Total Financials 91,660,631
=========================================================================================================================
Health Care (6.5%)
- -------------------------------------------------------------------------------------------------------------------------
44,400 Abbott Laboratories 1,892,772
18,500 Aetna, Inc. 1,757,500
22,500 Anthem, Inc.(b,c) 1,809,000
60,000 Bristol-Myers Squibb Company 1,405,800
10,800 CIGNA Corporation 685,368
90,660 Johnson & Johnson 5,292,731
54,608 Medco Health Solutions, Inc.(b) 1,851,757
108,100 Merck & Company, Inc. 3,384,611
127,100 Pfizer, Inc. 3,679,545
- -------------------------------------------------------------------------------------------------------------------------
Total Health Care 21,759,084
=========================================================================================================================
Industrials (12.3%)
- -------------------------------------------------------------------------------------------------------------------------
64,300 AMR Corporation(b,c) 496,396
20,200 Boeing Company 1,007,980
53,000 Canadian National Railway Company 2,864,650
21,700 Caterpillar, Inc. 1,747,718
23,200 Dover Corporation 911,064
64,800 Emerson Electric Company 4,150,440
25,500 FedEx Corporation 2,323,560
9,800 General Dynamics Corporation 1,000,776
94,200 General Electric Company 3,214,104
59,858 Honeywell International, Inc. 2,016,017
18,000 Lockheed Martin Corporation 991,620
51,500 Masco Corporation 1,764,390
29,500 Northrop Grumman Corporation 1,526,625
23,700 Parker-Hannifin Corporation 1,673,931
22,200 Raytheon Company 809,856
62,700 Republic Services, Inc. 1,931,160
49,800 Textron, Inc. 3,393,870
205,300 Tyco International, Ltd. 6,395,095
30,900 United Technologies Corporation 2,868,138
- -------------------------------------------------------------------------------------------------------------------------
Total Industrials 41,087,390
=========================================================================================================================
Information Technology (11.5%)
- -------------------------------------------------------------------------------------------------------------------------
61,600 Agilent Technologies, Inc.(b) 1,543,696
145,900 Amdocs, Ltd.(b) 3,669,385
55,320 Applied Materials, Inc.(b) 890,652
75,900 Cisco Systems, Inc.(b) 1,458,039
45,200 Computer Sciences Corporation(b) 2,245,084
89,900 Comverse Technology, Inc.(b) 1,855,536
33,370 First Data Corporation 1,377,514
30,580 Harris Corporation 1,881,587
130,700 Hewlett-Packard Company 2,438,862
111,700 Integrated Device Technology, Inc.(b) 1,320,294
79,700 Intel Corporation 1,774,122
70,350 International Business Machines Corporation 6,313,912
18,800 Lexmark International, Inc.(b) 1,562,468
134,400 Microsoft Corporation 3,761,856
109,300 Motorola, Inc. 1,886,518
32,100 NCR Corporation(b) 1,808,835
173,650 Nokia Oyj ADR 2,677,683
- -------------------------------------------------------------------------------------------------------------------------
Total Information Technology 38,466,043
=========================================================================================================================
Materials (6.0%)
- -------------------------------------------------------------------------------------------------------------------------
19,700 Alcan, Inc.(c) 912,504
61,850 Alcoa, Inc. 2,010,125
35,300 BASF AG 2,217,899
78,800 Dow Chemical Company 3,541,272
43,000 E.I. du Pont de Nemours and Company 1,843,410
45,540 International Paper Company 1,753,745
131,200 MeadWestvaco Corporation 4,136,736
47,200 Praxair, Inc. 1,991,840
23,400 Weyerhaeuser Company 1,465,776
- -------------------------------------------------------------------------------------------------------------------------
Total Materials 19,873,307
=========================================================================================================================
Telecommunication Services (3.8%)
- -------------------------------------------------------------------------------------------------------------------------
58,020 BellSouth Corporation 1,547,393
28,400 Nextel Communications, Inc.(b) 752,316
60,587 SBC Communications, Inc. 1,530,428
161,864 Verizon Communications, Inc. 6,328,882
101,600 Vodafone Group plc ADR 2,620,264
- -------------------------------------------------------------------------------------------------------------------------
Total Telecommunication Services 12,779,283
=========================================================================================================================
Utilities (2.5%)
- -------------------------------------------------------------------------------------------------------------------------
24,570 Dominion Resources, Inc. 1,580,342
25,800 Entergy Corporation 1,686,288
78,100 Exelon Corporation 3,094,322
46,500 FirstEnergy Corporation 1,921,845
- -------------------------------------------------------------------------------------------------------------------------
Total Utilities 8,282,797
- -------------------------------------------------------------------------------------------------------------------------
Total Common Stock (cost $286,252,593) 323,725,881
=========================================================================================================================
Shares Collateral Held for Securities Loaned (1.8%) Interest Rate(d) Maturity Date Value
- -------------------------------------------------------------------------------------------------------------------------
5,836,231 Thrivent Financial Securities Lending Trust 1.820% N/A $5,836,231
- -------------------------------------------------------------------------------------------------------------------------
Total Collateral Held for Securities Loaned (cost
$5,836,231) 5,836,231
=========================================================================================================================
Shares Short-Term Investments (1.1%) Interest Rate(d) Maturity Date Value
- -------------------------------------------------------------------------------------------------------------------------
3,502,967 Thrivent Money Market Fund 0.820% N/A $3,502,967
- -------------------------------------------------------------------------------------------------------------------------
Total Short-Term Investments (at amortized cost) 3,502,967
- -------------------------------------------------------------------------------------------------------------------------
Total Investments (cost $295,591,791) $333,065,079
=========================================================================================================================
(a) The categories of investments are shown as a percentage of
total investments.
(b) Non-income producing security.
(c) All or a portion of the security is on loan as
discussed in item 2(L) of the Notes to Financial
Statements.
(d) The interest rate shown reflects the yield.
(e) Miscellaneous footnote:
ADR -- American Depository Receipts, which are certificates
for shares of an underlying foreign security's shares held by
an issuing U.S. depository bank.
The accompanying notes to the financial statements
are an integral part of this schedule.
Large Cap Stock Fund
Schedule of Investments as of October 31, 2004(a)
Shares Common Stock (94.8%) Value
- -------------------------------------------------------------------------------------------------------------------------
Consumer Discretionary (13.1%)
- -------------------------------------------------------------------------------------------------------------------------
249,400 Black & Decker Corporation(b) $20,021,832
533,900 Brunswick Corporation 25,050,588
392,700 Carnival Corporation 19,854,912
1,579,000 Comcast Corporation(c) 45,854,160
904,600 Cox Communications, Inc.(c) 31,154,424
466,700 D.R. Horton, Inc.(b) 14,001,000
166,600 eBay, Inc.(c) 16,261,826
361,300 Fortune Brands, Inc.(b) 26,309,866
487,800 Harley-Davidson, Inc.(b) 28,082,646
656,300 Home Depot, Inc. 26,960,804
375,500 Kohl's Corporation(c) 19,060,380
237,900 Lowe's Companies, Inc. 13,389,012
995,900 McDonald's Corporation 29,030,485
398,600 MGM MIRAGE(b,c) 21,444,680
598,700 Nordstrom, Inc. 25,851,866
285,700 Pulte Homes, Inc. 15,679,216
393,640 Starwood Hotels & Resorts Worldwide, Inc. 18,788,437
801,400 Target Corporation 40,086,028
1,461,400 Time Warner, Inc.(c) 24,317,696
863,100 Walt Disney Company 21,767,382
- -------------------------------------------------------------------------------------------------------------------------
Total Consumer Discretionary 482,967,240
=========================================================================================================================
Consumer Staples (7.6%)
- -------------------------------------------------------------------------------------------------------------------------
842,100 Altria Group, Inc. 40,808,166
285,400 Anheuser-Busch Companies, Inc. 14,255,730
1,273,400 Archer-Daniels-Midland Company 24,665,758
330,900 Coca-Cola Company 13,454,394
423,600 Kimberly-Clark Corporation 25,276,212
409,000 PepsiCo, Inc. 20,278,220
1,173,000 Procter & Gamble Company 60,034,140
281,900 Unilever NV(b) 16,431,951
1,020,500 Wal-Mart Stores, Inc. 55,025,360
340,000 Walgreen Company 12,202,600
- -------------------------------------------------------------------------------------------------------------------------
Total Consumer Staples 282,432,531
=========================================================================================================================
Energy (7.2%)
- -------------------------------------------------------------------------------------------------------------------------
321,300 BJ Services Company 16,386,300
398,400 Burlington Resources, Inc. 16,533,600
609,600 ChevronTexaco Corporation 32,345,376
227,300 ConocoPhillips(b) 19,163,663
297,100 EOG Resources, Inc. 19,774,976
2,336,746 Exxon Mobil Corporation 115,014,638
309,500 Nabors Industries, Ltd.(c) 15,202,640
374,200 Noble Corporation(c) 17,093,456
259,500 Schlumberger, Ltd. 16,332,930
- -------------------------------------------------------------------------------------------------------------------------
Total Energy 267,847,579
=========================================================================================================================
Financials (18.8%)
- -------------------------------------------------------------------------------------------------------------------------
1,187,500 American Express Company 63,020,625
1,246,852 American International Group, Inc. 75,696,385
1,536,882 Bank of America Corporation 68,836,945
182,300 Bear Stearns Companies, Inc. 17,272,925
438,200 Cincinnati Financial Corporation(b) 18,294,850
2,324,848 Citigroup, Inc. 103,153,506
607,598 Countrywide Financial Corporation 19,400,604
108,500 Doral Financial Corporation 4,554,830
332,800 Federal National Mortgage Corporation 23,345,920
411,800 Goldman Sachs Group, Inc. 40,512,884
1,827,084 J.P. Morgan Chase & Company 70,525,442
513,600 KeyCorp 17,251,824
710,839 MBNA Corporation 18,218,804
459,100 Merrill Lynch & Company, Inc. 24,763,854
447,600 MetLife, Inc. 17,165,460
716,550 Morgan Stanley and Company 36,608,540
192,900 Progressive Corporation 18,045,795
386,900 Prudential Financial, Inc. 17,979,243
666,900 Wells Fargo & Company 39,827,268
- -------------------------------------------------------------------------------------------------------------------------
Total Financials 694,475,704
=========================================================================================================================
Health Care (12.8%)
- -------------------------------------------------------------------------------------------------------------------------
350,800 Abbott Laboratories 14,954,604
895,400 Amgen, Inc.(c) 50,858,720
596,500 Boston Scientific Corporation 21,056,450
511,700 C.R. Bard, Inc.(b) 29,064,560
124,700 Charles River Laboratories International, Inc.(b,c) 5,834,713
284,600 Dentsply International, Inc.(b) 14,802,046
265,500 Eli Lilly and Company 14,578,605
124,600 Forest Laboratories, Inc.(c) 5,557,160
1,189,900 Johnson & Johnson 69,466,362
438,500 Medtronic, Inc. 22,411,735
441,300 Merck & Company, Inc. 13,817,103
3,356,575 Pfizer, Inc. 97,172,846
614,900 Teva Pharmaceutical Industries, Ltd.(b) 15,987,400
350,700 UnitedHealth Group, Inc. 25,390,680
318,000 WellPoint Health Networks, Inc.(c) 31,055,880
487,500 Wyeth 19,329,375
270,300 Zimmer Holdings, Inc.(c) 20,972,577
- -------------------------------------------------------------------------------------------------------------------------
Total Health Care 472,310,816
=========================================================================================================================
Industrials (12.0%)
- -------------------------------------------------------------------------------------------------------------------------
267,800 3M Company 20,773,246
279,000 Caterpillar, Inc. 22,470,660
1,038,900 Cendant Corporation 21,390,951
349,600 Danaher Corporation 19,273,448
509,600 Eaton Corporation 32,588,920
335,600 General Dynamics Corporation 34,271,472
2,762,900 General Electric Company 94,270,148
311,200 Ingersoll-Rand Company 21,298,528
710,600 Masco Corporation 24,345,156
926,200 Norfolk Southern Corporation 31,444,490
296,400 PACCAR, Inc.(b) 20,543,484
325,800 Parker-Hannifin Corporation 23,011,254
1,327,800 Tyco International, Ltd. 41,360,970
380,100 United Technologies Corporation 35,280,882
- -------------------------------------------------------------------------------------------------------------------------
Total Industrials 442,323,609
=========================================================================================================================
Information Technology (16.3%)
- -------------------------------------------------------------------------------------------------------------------------
375,700 Adobe Systems, Inc. 21,050,471
827,300 Applied Materials, Inc.(c) 13,319,530
511,000 Arrow Electronics, Inc.(c) 12,243,560
3,135,600 Cisco Systems, Inc.(c) 60,234,876
1,157,500 Dell, Inc.(c) 40,581,950
1,669,200 EMC Corporation(c) 21,482,604
709,192 First Data Corporation 29,275,446
2,670,700 Intel Corporation 59,449,782
663,300 International Business Machines Corporation 59,531,175
84,400 Lexmark International, Inc.(c) $7,014,484
4,583,800 Microsoft Corporation 128,300,562
1,455,400 Motorola, Inc. 25,120,204
2,247,100 Oracle Corporation(c) 28,448,286
681,500 QUALCOMM, Inc. 28,493,515
1,397,500 Texas Instruments, Inc. 34,168,875
1,208,800 Xerox Corporation(b,c) 17,853,976
518,300 Xilinx, Inc. 15,859,980
- -------------------------------------------------------------------------------------------------------------------------
Total Information Technology 602,429,276
=========================================================================================================================
Materials (2.8%)
- -------------------------------------------------------------------------------------------------------------------------
631,300 Dow Chemical Company 28,370,622
417,500 Eastman Chemical Company 19,818,725
470,000 Praxair, Inc. 19,834,000
228,400 Temple-Inland, Inc.(b) 13,503,008
342,100 Weyerhaeuser Company 21,429,144
- -------------------------------------------------------------------------------------------------------------------------
Total Materials 102,955,499
=========================================================================================================================
Telecommunication Services (2.7%)
- -------------------------------------------------------------------------------------------------------------------------
780,900 Nextel Communications, Inc.(c) 20,686,041
1,779,571 SBC Communications, Inc. 44,951,963
890,900 Verizon Communications, Inc. 34,834,190
- -------------------------------------------------------------------------------------------------------------------------
Total Telecommunication Services 100,472,194
=========================================================================================================================
Utilities (1.5%)
- -------------------------------------------------------------------------------------------------------------------------
319,600 Entergy Corporation 20,889,056
572,000 TXU Corporation 35,017,840
- -------------------------------------------------------------------------------------------------------------------------
Total Utilities 55,906,896
- -------------------------------------------------------------------------------------------------------------------------
Total Common Stock (cost $2,917,541,434) 3,504,121,344
=========================================================================================================================
Shares Collateral Held for Securities Loaned (1.1%) Interest Rate(d) Maturity Date Value
- -------------------------------------------------------------------------------------------------------------------------
38,888,518 Thrivent Financial Securities Lending Trust 1.820% N/A $38,888,518
- -------------------------------------------------------------------------------------------------------------------------
Total Collateral Held for Securities Loaned (cost
$38,888,518) 38,888,518
=========================================================================================================================
Shares or
Principal
Amount Short-Term Investments (4.1%) Interest Rate(d) Maturity Date Value
- -------------------------------------------------------------------------------------------------------------------------
$15,000,000 Alcon Capital Corporation 1.820% 11/12/2004 $14,991,658
30,000,000 Aquinas Funding, LLC 1.850 11/1/2004 30,000,000
14,000,000 Citicorp 1.780 11/8/2004 13,995,154
9,500,000 Falcon Asset Securitization Corporation 1.780 11/3/2004 9,499,061
12,500,000 Federal Home Loan Mortgage Corporation 1.780 11/9/2004 12,495,139
10,045,000 Independence Funding, LLC 1.790 11/3/2004 10,044,001
10,000,000 Northern Illinois Gas 1.780 11/1/2004 10,000,000
26,426,574 Thrivent Money Market Fund 0.820 N/A 26,426,574
5,075,000 Total Capital SA 1.860 11/1/2004 5,075,000
18,635,000 Ventures Business Trust 1.850 11/1/2004 18,635,000
- -------------------------------------------------------------------------------------------------------------------------
Total Short-Term Investments (at amortized cost) 151,161,587
=========================================================================================================================
- -------------------------------------------------------------------------------------------------------------------------
Total Investments (cost $3,107,591,539) $3,694,171,449
=========================================================================================================================
(a) The categories of investments are shown as a percentage of
total investments.
(b) All or a portion of the security is on loan as
discussed in item 2(L) of the Notes to Financial
Statements.
(c) Non-income producing security.
(d) The interest rate shown reflects the yield or, for
securities purchased at a discount, the discount rate
at the date of purchase.
The accompanying notes to the financial statements
are an integral part of this schedule.
Large Cap Index Fund
Schedule of Investments as of October 31, 2004(a)
Shares Common Stock (96.0%) Value
- -------------------------------------------------------------------------------------------------------------------------
Consumer Discretionary (10.9%)
- -------------------------------------------------------------------------------------------------------------------------
1,900 AutoNation, Inc.(b) $32,737
600 AutoZone, Inc.(b) 49,086
2,100 Bed Bath & Beyond, Inc.(b) 85,659
2,250 Best Buy Company, Inc. 133,245
900 Big Lots, Inc.(b) 11,151
600 Black & Decker Corporation 48,168
700 Boise Cascade Corporation 20,664
700 Brunswick Corporation 32,844
4,400 Carnival Corporation 222,464
800 Centex Corporation 41,552
1,300 Circuit City Stores, Inc. 21,125
4,100 Clear Channel Communications, Inc. 136,940
1,300 Coach, Inc.(b) 60,619
15,687 Comcast Corporation(b) 462,766
600 Cooper Tire & Rubber Company 11,688
1,100 Dana Corporation 16,401
1,200 Darden Restaurants, Inc. 29,400
4,000 Delphi Corporation 33,640
700 Dillard's, Inc. 14,343
2,400 Dollar General Corporation 46,200
700 Dow Jones & Company, Inc. 30,975
2,000 Eastman Kodak Company 60,560
4,600 eBay, Inc.(b) 449,006
1,200 Family Dollar Stores, Inc. 35,460
1,200 Federated Department Stores, Inc. 60,540
12,800 Ford Motor Company 166,784
1,100 Fortune Brands, Inc. 80,102
1,800 Gannett Company, Inc. 149,310
6,300 Gap, Inc. 125,874
3,900 General Motors Corporation(c) 150,345
1,300 Genuine Parts Company 51,857
1,300 Goodyear Tire & Rubber Company(b,c) 13,104
2,000 Harley-Davidson, Inc. 115,140
900 Harrah's Entertainment, Inc. 52,668
1,300 Hasbro, Inc. 22,997
2,800 Hilton Hotels Corporation 55,720
15,400 Home Depot, Inc. 632,632
2,400 International Game Technology 79,296
2,900 Interpublic Group of Companies, Inc.(b) 35,554
2,000 J.C. Penney Company, Inc. (Holding Company) 69,180
1,300 Johnson Controls, Inc. 74,555
900 Jones Apparel Group, Inc. 31,770
400 KB Home 32,900
600 Knight-Ridder, Inc. 41,118
2,400 Kohl's Corporation(b) 121,824
1,400 Leggett & Platt, Inc. 39,382
3,300 Limited Brands, Inc. 81,774
800 Liz Claiborne, Inc. 32,704
5,400 Lowe's Companies, Inc. 303,912
1,600 Marriott International, Inc. 87,184
2,900 Mattel, Inc. 50,779
2,000 May Department Stores Company 52,120
600 Maytag Corporation(c) 10,440
8,800 McDonald's Corporation 256,520
1,400 McGraw-Hill Companies, Inc. 120,750
400 Meredith Corporation 19,600
1,100 New York Times Company 44,055
2,000 Newell Rubbermaid, Inc. 43,120
1,800 NIKE, Inc. 146,358
1,000 Nordstrom, Inc. 43,180
2,200 Office Depot, Inc.(b) 35,618
1,300 Omnicom Group, Inc. 102,570
900 Pulte Homes, Inc. 49,392
1,200 RadioShack Corporation 35,916
500 Reebok International, Ltd. 18,500
1,400 Sears, Roebuck and Company 49,000
1,100 Sherwin-Williams Company 46,992
500 Snap-On, Inc. 14,690
700 Stanley Works 31,164
3,400 Staples, Inc. 101,116
2,700 Starbucks Corporation(b) 142,776
1,400 Starwood Hotels & Resorts Worldwide, Inc. 66,822
6,300 Target Corporation 315,126
1,000 Tiffany & Company 29,330
32,050 Time Warner, Inc.(b) 533,312
3,400 TJX Companies, Inc. 81,532
1,600 Toys 'R' Us, Inc.(b) 28,816
2,200 Tribune Company 95,040
2,200 Univision Communications, Inc.(b) 68,112
800 VF Corporation 43,064
12,100 Viacom, Inc. 441,529
1,000 Visteon Corporation 7,110
14,400 Walt Disney Company 363,168
900 Wendy's International, Inc. 30,033
500 Whirlpool Corporation 29,375
2,100 Yum! Brands, Inc. 91,350
- -------------------------------------------------------------------------------------------------------------------------
Total Consumer Discretionary 8,433,294
=========================================================================================================================
Consumer Staples (10.2%)
- -------------------------------------------------------------------------------------------------------------------------
400 Adolph Coors Company 26,680
750 Alberto-Culver Company 33,645
2,600 Albertson's, Inc.(c) 59,306
14,400 Altria Group, Inc. 697,824
5,600 Anheuser-Busch Companies, Inc. 279,720
4,496 Archer-Daniels-Midland Company 87,088
3,300 Avon Products, Inc. 130,515
900 Brown-Forman Corporation 40,410
2,900 Campbell Soup Company 77,836
1,500 Clorox Company 81,900
17,000 Coca-Cola Company 691,220
3,200 Coca-Cola Enterprises, Inc. 66,912
3,700 Colgate-Palmolive Company 165,094
3,800 ConAgra Foods, Inc. 100,320
3,200 Costco Wholesale Corporation 153,408
2,800 CVS Corporation 121,688
2,600 General Mills, Inc. 115,050
7,000 Gillette Company 290,360
2,500 H.J. Heinz Company 90,875
1,800 Hershey Foods Corporation 91,242
2,900 Kellogg Company 124,700
3,400 Kimberly-Clark Corporation 202,878
5,100 Kroger Company(b) 77,061
1,000 McCormick & Company, Inc. 35,430
1,800 Pepsi Bottling Group, Inc. 50,472
11,890 PepsiCo, Inc. 589,506
17,800 Procter & Gamble Company 911,004
1,000 Reynolds American, Inc.(c) 68,860
3,100 Safeway, Inc.(b) 56,544
5,500 Sara Lee Corporation 128,040
1,000 SUPERVALU, Inc. 29,490
4,400 SYSCO Corporation 141,988
1,200 UST, Inc. 49,392
29,800 Wal-Mart Stores, Inc. 1,606,816
7,100 Walgreen Company 254,819
1,600 William Wrigley Jr. Company 104,640
1,100 Winn-Dixie Stores, Inc.(c) 3,784
- -------------------------------------------------------------------------------------------------------------------------
Total Consumer Staples 7,836,517
=========================================================================================================================
Energy (7.0%)
- -------------------------------------------------------------------------------------------------------------------------
600 Amerada Hess Corporation 48,426
1,745 Anadarko Petroleum Corporation 117,700
2,222 Apache Corporation 112,655
600 Ashland, Inc. 34,572
2,400 Baker Hughes, Inc. 102,792
1,200 BJ Services Company 61,200
2,700 Burlington Resources, Inc. 112,050
14,956 ChevronTexaco Corporation 793,565
4,748 ConocoPhillips 400,304
1,600 Devon Energy Corporation 118,352
4,492 El Paso Corporation 40,158
800 EOG Resources, Inc. 53,248
45,700 Exxon Mobil Corporation 2,249,354
3,100 Halliburton Company 114,824
1,100 Kerr-McGee Corporation 65,142
900 Kinder Morgan, Inc. 57,933
2,400 Marathon Oil Corporation 91,464
1,100 Nabors Industries, Ltd.(b) 54,032
1,000 Noble Corporation(b) 45,680
2,700 Occidental Petroleum Corporation 150,741
800 Rowan Companies, Inc.(b) 20,424
4,100 Schlumberger, Ltd. 258,054
600 Sunoco, Inc. 44,616
2,200 Transocean, Inc.(b) 77,550
1,900 Unocal Corporation 79,325
1,800 Valero Energy Corporation 77,346
3,800 Williams Companies, Inc. 47,538
- -------------------------------------------------------------------------------------------------------------------------
Total Energy 5,429,045
=========================================================================================================================
Financials (19.8%)
- -------------------------------------------------------------------------------------------------------------------------
1,900 ACE, Ltd. 72,314
3,500 AFLAC, Inc. 125,580
4,800 Allstate Corporation 230,832
850 Ambac Financial Group, Inc. 66,351
8,900 American Express Company 472,323
18,244 American International Group, Inc. 1,107,593
2,500 AmSouth Bancorporation 65,975
2,200 Aon Corporation 44,902
700 Apartment Investment & Management Company 25,683
28,494 Bank of America Corporation 1,276,246
5,400 Bank of New York Company, Inc. 175,284
3,800 BB&T Corporation 156,218
800 Bear Stearns Companies, Inc. 75,800
1,600 Capital One Financial Corporation 118,016
9,600 Charles Schwab Corporation 87,840
1,400 Chubb Corporation 100,982
1,245 Cincinnati Financial Corporation 51,979
1,400 CIT Group, Inc. 56,560
36,306 Citigroup, Inc. 1,610,897
1,300 Comerica, Inc. 79,963
3,900 Countrywide Financial Corporation 124,527
2,600 E*TRADE Financial Corporation(b) 33,540
2,900 Equity Office Properties Trust 81,548
2,000 Equity Residential REIT 66,700
4,800 Federal Home Loan Mortgage Corporation 319,680
6,800 Federal National Mortgage Corporation 477,020
800 Federated Investors, Inc. 23,192
3,922 Fifth Third Bancorp 192,923
900 First Horizon National Corporation 38,952
1,700 Franklin Resources, Inc. 103,054
1,100 Golden West Financial Corporation 128,612
3,400 Goldman Sachs Group, Inc. 334,492
2,000 Hartford Financial Services Group, Inc. 116,960
1,710 Huntington Bancshares, Inc. 40,954
24,958 J.P. Morgan Chase & Company 963,379
1,700 Janus Capital Group, Inc. 25,925
1,050 Jefferson-Pilot Corporation 50,704
2,900 KeyCorp 97,411
1,900 Lehman Brothers Holdings, Inc. 156,085
1,300 Lincoln National Corporation 56,940
1,400 Loews Corporation 83,860
900 M&T Bank Corporation 92,700
3,600 Marsh & McLennan Companies, Inc. 99,576
1,600 Marshall & Ilsley Corporation 67,152
1,100 MBIA, Inc. 63,646
8,900 MBNA Corporation 228,107
3,000 Mellon Financial Corporation 86,700
6,600 Merrill Lynch & Company, Inc. 356,004
5,200 MetLife, Inc. 199,420
700 MGIC Investment Corporation 45,017
1,000 Moody's Corporation 77,810
7,700 Morgan Stanley and Company 393,393
4,600 National City Corporation 179,262
2,200 North Fork Bancorporation, Inc. 97,020
1,600 Northern Trust Corporation 68,064
1,300 Plum Creek Timber Company, Inc. 47,177
2,000 PNC Financial Services Group, Inc. 104,600
2,300 Principal Financial Group, Inc. 86,848
1,400 Progressive Corporation 130,970
1,300 ProLogis Trust 50,674
2,000 Providian Financial Corporation(b) 31,100
3,600 Prudential Financial, Inc. 167,292
3,301 Regions Financial Corporation 115,799
1,000 SAFECO Corporation(c) 46,240
1,500 Simon Property Group, Inc. 87,480
3,000 SLM Corporation 135,780
2,400 SouthTrust Corporation 104,568
2,500 Sovereign Bancorp, Inc. 54,125
4,664 St. Paul Travelers Companies, Inc. 158,389
2,300 State Street Corporation 103,615
2,500 SunTrust Banks, Inc. 175,950
2,200 Synovus Financial Corporation 59,818
1,000 T. Rowe Price Group, Inc. 55,770
800 Torchmark Corporation 43,216
13,118 U.S. Bancorp 375,306
2,100 UnumProvident Corporation(c) 28,686
9,100 Wachovia Corporation 447,811
6,100 Washington Mutual, Inc. 236,131
11,800 Wells Fargo & Company 704,696
1,000 XL Capital, Ltd. 72,500
700 Zions Bancorporation 46,319
- -------------------------------------------------------------------------------------------------------------------------
Total Financials 15,242,527
=========================================================================================================================
Health Care (12.2%)
- -------------------------------------------------------------------------------------------------------------------------
10,900 Abbott Laboratories 464,667
1,000 Aetna, Inc. 95,000
900 Allergan, Inc. 64,404
900 AmerisourceBergen Corporation 49,536
8,836 Amgen, Inc.(b) 501,885
900 Anthem, Inc.(b,c) 72,360
1,500 Applera Corporation (Applied Biosystems Group) 28,620
500 Bausch & Lomb, Inc. 30,480
4,300 Baxter International, Inc. 132,268
1,700 Becton, Dickinson and Company 89,250
2,290 Biogen Idec, Inc.(b) 133,186
1,775 Biomet, Inc. 82,857
5,900 Boston Scientific Corporation 208,270
13,600 Bristol-Myers Squibb Company 318,648
800 C.R. Bard, Inc. 45,440
3,000 Cardinal Health, Inc. 140,250
3,200 Caremark Rx, Inc.(b) 95,904
1,400 Chiron Corporation(b) 45,388
900 CIGNA Corporation 57,114
7,900 Eli Lilly and Company 433,789
600 Express Scripts, Inc.(b) 38,400
800 Fisher Scientific International, Inc.(b) 45,888
2,600 Forest Laboratories, Inc.(b) 115,960
1,600 Genzyme Corporation(b) 83,952
3,000 Gilead Sciences, Inc. 103,890
2,200 Guidant Corporation 146,564
3,300 HCA, Inc. 121,209
1,800 Health Management Associates, Inc. 37,188
1,150 Hospira, Inc.(b) 36,696
1,200 Humana, Inc.(b) 22,980
1,700 IMS Health, Inc. 36,006
20,790 Johnson & Johnson 1,213,720
1,633 King Pharmaceuticals, Inc.(b) 17,816
1,000 Laboratory Corporation of America Holdings(b) 45,800
700 Manor Care, Inc. 22,918
2,000 McKesson Corporation 53,320
1,825 Medco Health Solutions, Inc.(b) 61,886
1,700 MedImmune, Inc.(b) 48,314
8,400 Medtronic, Inc. 429,324
15,500 Merck & Company, Inc. 485,305
400 Millipore Corporation(b) 18,396
1,800 Mylan Laboratories, Inc.(c) 30,996
1,000 PerkinElmer, Inc. 20,540
53,040 Pfizer, Inc. 1,535,508
700 Quest Diagnostics, Inc. 61,278
10,300 Schering-Plough Corporation 186,533
1,200 St. Jude Medical, Inc.(b) 91,884
2,800 Stryker Corporation 120,652
3,200 Tenet Healthcare Corporation(b) 34,304
1,200 Thermo Electron Corporation(b) 34,800
4,600 UnitedHealth Group, Inc. 333,040
900 Waters Corporation(b) 37,161
700 Watson Pharmaceuticals, Inc.(b) 19,621
1,100 WellPoint Health Networks, Inc.(b) 107,426
9,300 Wyeth 368,745
1,640 Zimmer Holdings, Inc.(b) 127,248
- -------------------------------------------------------------------------------------------------------------------------
Total Health Care 9,384,584
=========================================================================================================================
Industrials (11.2%)
- -------------------------------------------------------------------------------------------------------------------------
5,400 3M Company 418,878
2,200 Allied Waste Industries, Inc.(b) 17,952
1,400 American Power Conversion Corporation 26,992
1,600 American Standard Companies, Inc. 58,512
1,300 Apollo Group, Inc.(b) 85,800
800 Avery Dennison Corporation 48,672
5,800 Boeing Company 289,420
2,700 Burlington Northern Santa Fe Corporation 112,887
2,400 Caterpillar, Inc. 193,296
7,400 Cendant Corporation 152,366
1,300 Cintas Corporation 56,082
700 Cooper Industries, Ltd. 44,730
500 Crane Company 13,935
1,600 CSX Corporation 58,400
400 Cummins, Inc. 28,032
2,100 Danaher Corporation 115,773
1,700 Deere & Company 101,626
1,000 Delta Air Lines, Inc.(b,c) 5,450
400 Deluxe Corporation 15,236
1,500 Dover Corporation 58,905
1,100 Eaton Corporation 70,345
2,900 Emerson Electric Company 185,745
1,000 Equifax, Inc. 26,150
2,100 FedEx Corporation 191,352
700 Fluor Corporation 32,508
1,400 General Dynamics Corporation 142,968
74,100 General Electric Company 2,528,294
900 Goodrich Corporation 27,747
1,200 H&R Block, Inc. 57,060
6,000 Honeywell International, Inc. 202,080
2,100 Illinois Tool Works, Inc. 193,788
1,200 Ingersoll-Rand Company 82,128
700 ITT Industries, Inc. 56,798
3,100 Lockheed Martin Corporation 170,779
3,000 Masco Corporation 102,780
900 Monster Worldwide, Inc.(b) 25,245
600 Navistar International Corporation(b) 20,730
2,700 Norfolk Southern Corporation 91,665
2,434 Northrop Grumman Corporation 125,960
1,225 PACCAR, Inc. 84,905
900 Pall Corporation 23,274
900 Parker-Hannifin Corporation 63,567
1,700 Pitney Bowes, Inc. 74,375
700 Power-One, Inc.(b) 4,914
1,600 R.R. Donnelley & Sons Company 50,320
3,100 Raytheon Company 113,088
1,200 Robert Half International, Inc. 31,836
1,400 Rockwell Automation, Inc. 58,366
1,400 Rockwell Collins, Inc. 49,658
500 Ryder System, Inc. 25,050
5,500 Southwest Airlines Company 86,735
1,000 Textron, Inc. 68,150
14,038 Tyco International, Ltd. 437,284
1,900 Union Pacific Corporation 119,643
7,800 United Parcel Service, Inc. 617,604
3,500 United Technologies Corporation 324,870
700 W.W. Grainger, Inc. 41,013
4,000 Waste Management, Inc. 113,920
- -------------------------------------------------------------------------------------------------------------------------
Total Industrials 8,625,638
=========================================================================================================================
Information Technology (15.6%)
- -------------------------------------------------------------------------------------------------------------------------
5,700 ADC Telecommunications, Inc.(b) 12,597
1,600 Adobe Systems, Inc. 89,648
2,400 Advanced Micro Devices, Inc.(b,c) 40,368
900 Affiliated Computer Services, Inc.(b) 49,095
3,400 Agilent Technologies, Inc.(b) 85,204
2,600 Altera Corporation(b) $59,098
2,600 Analog Devices, Inc. 104,676
1,200 Andrew Corporation(b) 16,776
2,700 Apple Computer, Inc.(b) 141,831
11,900 Applied Materials, Inc.(b) 191,590
2,300 Applied Micro Circuits Corporation(b) 8,372
800 Autodesk, Inc. 42,200
4,100 Automatic Data Processing, Inc. 177,899
3,125 Avaya, Inc.(b) 45,000
1,600 BMC Software, Inc.(b) 30,272
2,200 Broadcom Corporation(b) 59,510
4,000 CIENA Corporation(b) 9,880
47,500 Cisco Systems, Inc.(b) 912,475
1,200 Citrix Systems, Inc.(b) 28,956
4,100 Computer Associates International, Inc. 113,611
1,300 Computer Sciences Corporation(b) 64,571
2,800 Compuware Corporation(b) 16,212
1,400 Comverse Technology, Inc.(b) 28,896
1,100 Convergys Corporation(b) 14,311
9,700 Corning, Inc.(b) 111,065
17,500 Dell, Inc.(b) 613,550
2,100 Electronic Arts, Inc. 94,332
3,500 Electronic Data Systems Corporation 74,445
16,800 EMC Corporation(b) 216,216
6,003 First Data Corporation 247,804
1,450 Fiserv, Inc.(b) 51,533
2,700 Gateway, Inc.(b) 15,795
21,141 Hewlett-Packard Company 394,491
45,000 Intel Corporation 1,001,700
11,700 International Business Machines Corporation 1,050,075
1,300 Intuit, Inc.(b) 58,968
1,400 Jabil Circuit, Inc.(b) 34,034
10,100 JDS Uniphase Corporation(b) 32,017
1,300 KLA-Tencor Corporation(b) 59,189
900 Lexmark International, Inc.(b) 74,799
2,100 Linear Technology Corporation 79,548
2,800 LSI Logic Corporation(b,c) 12,740
30,200 Lucent Technologies, Inc.(b,c) 107,210
2,200 Maxim Integrated Products, Inc. 96,778
600 Mercury Interactive Corporation(b) 26,058
4,200 Micron Technology, Inc.(b) 51,156
76,300 Microsoft Corporation 2,135,637
1,400 Molex, Inc. 41,398
16,500 Motorola, Inc. 284,790
2,500 National Semiconductor Corporation 41,750
700 NCR Corporation(b) 39,445
2,500 Network Appliance, Inc.(b) 61,175
2,700 Novell, Inc.(b) 19,413
1,100 Novellus Systems, Inc.(b) 28,501
1,200 NVIDIA Corporation(b) 17,364
36,300 Oracle Corporation(b) 459,558
1,900 Parametric Technology Corporation(b) 9,861
2,600 Paychex, Inc. 85,264
2,500 PeopleSoft, Inc.(b) 51,925
1,300 PMC-Sierra, Inc.(b) 13,338
600 QLogic Corporation(b) 19,500
11,400 QUALCOMM, Inc. 476,634
1,000 Sabre Holdings Corporation 21,510
3,600 Sanmina-SCI Corporation(b) 28,800
1,000 Scientific-Atlanta, Inc. 27,390
3,500 Siebel Systems, Inc.(b) 33,250
6,700 Solectron Corporation(b) 34,974
23,300 Sun Microsystems, Inc.(b) 105,549
2,000 SunGard Data Systems, Inc.(b) 52,980
2,200 Symantec Corporation 125,268
1,750 Symbol Technologies, Inc. 25,708
700 Tektronix, Inc. 21,231
2,900 Tellabs, Inc.(b) 23,200
1,400 Teradyne, Inc.(b) 23,184
12,100 Texas Instruments, Inc. 295,845
2,400 Unisys Corporation(b) 25,488
3,000 VERITAS Software Corporation(b) 65,640
5,800 Xerox Corporation(b) 85,666
2,400 Xilinx, Inc. 73,440
9,500 Yahoo!, Inc. 343,805
- -------------------------------------------------------------------------------------------------------------------------
Total Information Technology 12,045,032
=========================================================================================================================
Materials (3.0%)
- -------------------------------------------------------------------------------------------------------------------------
1,600 Air Products and Chemicals, Inc. 85,088
6,100 Alcoa, Inc. 198,250
700 Allegheny Technologies, Inc. 11,767
900 Ball Corporation 35,865
800 Bemis Company, Inc. 21,176
6,583 Dow Chemical Company 295,840
7,000 E.I. du Pont de Nemours and Company 300,090
600 Eastman Chemical Company 28,482
1,900 Ecolab, Inc. 64,315
900 Engelhard Corporation 25,470
1,200 Freeport-McMoRan Copper & Gold, Inc. 43,464
1,752 Georgia-Pacific Corporation 60,602
400 Great Lakes Chemical Corporation 10,248
900 Hercules, Inc.(b) 12,852
700 International Flavors & Fragrances, Inc. 27,335
3,400 International Paper Company 130,934
800 Louisiana-Pacific Corporation 19,608
1,491 MeadWestvaco Corporation 47,011
1,784 Monsanto Company 76,266
3,100 Newmont Mining Corporation 147,312
1,000 Nucor Corporation 42,230
1,100 Pactiv Corporation(b) 26,059
600 Phelps Dodge Corporation 52,524
1,300 PPG Industries, Inc. 82,875
2,300 Praxair, Inc. 97,060
1,700 Rohm and Haas Company 72,063
700 Sealed Air Corporation(b) 34,678
600 Sigma-Aldrich Corporation 33,384
500 Temple-Inland, Inc. 29,560
800 United States Steel Corporation 29,376
800 Vulcan Materials Company 39,824
1,700 Weyerhaeuser Company 106,488
700 Worthington Industries, Inc. 13,895
- -------------------------------------------------------------------------------------------------------------------------
Total Materials 2,301,991
=========================================================================================================================
Telecommunication Services (3.2%)
- -------------------------------------------------------------------------------------------------------------------------
2,200 ALLTEL Corporation 120,846
5,560 AT&T Corporation 95,132
12,800 BellSouth Corporation 341,376
1,000 CenturyTel, Inc. 32,090
2,400 Citizens Communications Company 32,160
7,800 Nextel Communications, Inc.(b) 206,622
12,700 Qwest Communications International, Inc.(b) 43,434
23,200 SBC Communications, Inc. 586,032
10,200 Sprint Corporation 213,690
19,400 Verizon Communications, Inc. 758,540
- -------------------------------------------------------------------------------------------------------------------------
Total Telecommunication Services 2,429,922
=========================================================================================================================
Utilities (2.9%)
- -------------------------------------------------------------------------------------------------------------------------
4,500 AES Corporation(b) 49,050
1,000 Allegheny Energy, Inc.(b,c) 18,310
1,400 Ameren Corporation 67,200
2,800 American Electric Power Company, Inc. 92,204
3,700 Calpine Corporation(b,c) 9,213
2,200 CenterPoint Energy, Inc. 23,122
1,300 Cinergy Corporation 51,376
1,400 CMS Energy Corporation(b,c) 13,104
1,700 Consolidated Edison, Inc. 73,865
1,300 Constellation Energy Group, Inc. 52,806
2,300 Dominion Resources, Inc. 147,936
1,300 DTE Energy Company 55,523
6,500 Duke Energy Corporation 159,445
2,700 Dynegy, Inc.(b,c) 13,311
2,300 Edison International, Inc. 70,150
1,600 Entergy Corporation 104,576
4,550 Exelon Corporation 180,271
2,400 FirstEnergy Corporation 99,192
1,400 FPL Group, Inc. 96,460
1,200 KeySpan Corporation 47,940
400 Nicor, Inc.(c) 15,008
1,937 NiSource, Inc. 41,549
400 Peoples Energy Corporation(c) 17,112
2,800 PG&E Corporation(b) 89,712
700 Pinnacle West Capital Corporation 29,834
1,400 PPL Corporation 72,800
1,827 Progress Energy, Inc. 75,455
1,700 Public Service Enterprise Group, Inc. 72,403
1,700 Sempra Energy 57,018
5,100 Southern Company 161,109
1,400 TECO Energy, Inc.(c) 19,600
2,000 TXU Corporation 122,440
2,855 Xcel Energy, Inc.(c) 48,820
- -------------------------------------------------------------------------------------------------------------------------
Total Utilities 2,247,914
- -------------------------------------------------------------------------------------------------------------------------
Total Common Stock (cost $76,340,614) 73,976,464
=========================================================================================================================
Shares Collateral Held for Securities Loaned (1.1%) Interest Rate(d) Maturity Date Value
- -------------------------------------------------------------------------------------------------------------------------
821,763 Thrivent Financial Securities Lending Trust 1.820% N/A $821,763
- -------------------------------------------------------------------------------------------------------------------------
Total Collateral Held for Securities Loaned (cost
$821,763) 821,763
=========================================================================================================================
Shares Short-Term Investments (2.9%) Interest Rate(d) Maturity Date Value
- -------------------------------------------------------------------------------------------------------------------------
2,255,900 Thrivent Money Market Fund(e) 0.820% N/A $2,255,900
- -------------------------------------------------------------------------------------------------------------------------
Total Short-Term Investments (at amortized cost) 2,255,900
- -------------------------------------------------------------------------------------------------------------------------
Total Investments (cost $79,418,277) $77,054,127
=========================================================================================================================
(a) The categories of investments are shown as a percentage of
total investments.
(b) Non-income producing security.
(c) All or a portion of the security is on loan as
discussed in item 2(L) of the Notes to Financial
Statements.
(d) The interest rate shown reflects the yield.
(e) At October 31, 2004, $134,400 in cash was pledged as
the initial margin deposit for open financial futures
contracts. In addition $2,255,900 of Short-Term
Investments were earmarked as collateral to cover
open financial futures contracts as follows:
Notional
Number of Expiration Principal Unrealized
Type Contracts Date Position Value Amount Gain
- -------------------------------------------------------------------------------------------------------------------------
S&P 500 Mini Futures 42 December 2004 Long $2,373,631 $2,344,012 $29,619
The accompanying notes to the financial statements
are an integral part of this schedule.
Large Cap Index Fund-I
Schedule of Investments as of October 31, 2004(a)
Shares Common Stock (97.8%) Value
- -------------------------------------------------------------------------------------------------------------------------
Consumer Discretionary (11.1%)
- -------------------------------------------------------------------------------------------------------------------------
708 AutoNation, Inc.(b) $12,199
252 AutoZone, Inc.(b) 20,616
857 Bed Bath & Beyond, Inc.(b) 34,957
861 Best Buy Company, Inc. 50,988
302 Big Lots, Inc.(b) 3,742
201 Black & Decker Corporation 16,136
201 Boise Cascade Corporation 5,934
302 Brunswick Corporation 14,170
1,765 Carnival Corporation 89,238
302 Centex Corporation 15,686
554 Circuit City Stores, Inc. 9,002
1,615 Clear Channel Communications, Inc. 53,941
500 Coach, Inc.(b) 23,315
6,216 Comcast Corporation(b) 183,372
251 Cooper Tire & Rubber Company 4,889
404 Dana Corporation 6,024
480 Darden Restaurants, Inc. 11,760
1,515 Delphi Corporation 12,741
201 Dillard's, Inc. 4,118
871 Dollar General Corporation 16,767
200 Dow Jones & Company, Inc. 8,850
758 Eastman Kodak Company 22,952
1,816 eBay, Inc.(b) 177,260
505 Family Dollar Stores, Inc. 14,923
503 Federated Department Stores, Inc. 25,376
5,054 Ford Motor Company 65,854
354 Fortune Brands, Inc. 25,778
704 Gannett Company, Inc. 58,397
2,474 Gap, Inc. 49,431
1,565 General Motors Corporation(c) 60,331
454 Genuine Parts Company 18,110
503 Goodyear Tire & Rubber Company(b,c) 5,070
808 Harley-Davidson, Inc. 46,517
302 Harrah's Entertainment, Inc. 17,673
504 Hasbro, Inc. 8,916
1,061 Hilton Hotels Corporation 21,114
6,067 Home Depot, Inc. 249,232
908 International Game Technology 30,000
1,160 Interpublic Group of Companies, Inc.(b) 14,222
756 J.C. Penney Company, Inc. (Holding Company) 26,150
504 Johnson Controls, Inc. 28,904
354 Jones Apparel Group, Inc. 12,496
100 KB Home 8,225
201 Knight-Ridder, Inc. 13,775
958 Kohl's Corporation(b) 48,628
504 Leggett & Platt, Inc. 14,178
1,264 Limited Brands, Inc. 31,322
303 Liz Claiborne, Inc. 12,387
2,174 Lowe's Companies, Inc. 122,353
655 Marriott International, Inc. 35,691
1,162 Mattel, Inc. 20,347
756 May Department Stores Company 19,701
250 Maytag Corporation(c) 4,350
3,485 McDonald's Corporation 101,588
504 McGraw-Hill Companies, Inc. 43,470
100 Meredith Corporation 4,900
454 New York Times Company 18,183
756 Newell Rubbermaid, Inc. 16,299
757 NIKE, Inc. 61,552
352 Nordstrom, Inc. 15,199
907 Office Depot, Inc.(b) 14,684
503 Omnicom Group, Inc. 39,687
302 Pulte Homes, Inc. 16,574
403 RadioShack Corporation 12,062
200 Reebok International, Ltd. 7,400
558 Sears, Roebuck and Company 19,530
353 Sherwin-Williams Company 15,080
200 Snap-On, Inc. 5,876
201 Stanley Works 8,949
1,412 Staples, Inc. 41,993
1,110 Starbucks Corporation(b) 58,697
606 Starwood Hotels & Resorts Worldwide, Inc. 28,924
2,528 Target Corporation 126,451
404 Tiffany & Company 11,849
12,586 Time Warner, Inc.(b) 209,431
1,316 TJX Companies, Inc. 31,558
554 Toys 'R' Us, Inc.(b) 9,978
906 Tribune Company 39,139
906 Univision Communications, Inc.(b) 28,050
302 VF Corporation 16,257
4,823 Viacom, Inc. 175,991
329 Visteon Corporation 2,339
5,711 Walt Disney Company 144,031
302 Wendy's International, Inc. 10,078
151 Whirlpool Corporation 8,871
759 Yum! Brands, Inc. 33,016
- -------------------------------------------------------------------------------------------------------------------------
Total Consumer Discretionary 3,285,794
=========================================================================================================================
Consumer Staples (10.4%)
- -------------------------------------------------------------------------------------------------------------------------
150 Adolph Coors Company 10,005
201 Alberto-Culver Company 9,017
1,059 Albertson's, Inc.(c) 24,156
5,709 Altria Group, Inc. 276,658
2,225 Anheuser-Busch Companies, Inc. 111,139
1,838 Archer-Daniels-Midland Company 35,602
1,312 Avon Products, Inc. 51,890
300 Brown-Forman Corporation 13,470
1,160 Campbell Soup Company 31,134
605 Clorox Company 33,033
6,723 Coca-Cola Company 273,357
1,311 Coca-Cola Enterprises, Inc. 27,413
1,465 Colgate-Palmolive Company 65,368
1,412 ConAgra Foods, Inc. 37,277
1,261 Costco Wholesale Corporation 60,452
1,110 CVS Corporation 48,241
1,060 General Mills, Inc. 46,905
2,780 Gillette Company 115,314
959 H.J. Heinz Company 34,860
704 Hershey Foods Corporation 35,686
1,160 Kellogg Company 49,880
1,364 Kimberly-Clark Corporation 81,390
2,072 Kroger Company(b) 31,308
404 McCormick & Company, Inc. 14,314
708 Pepsi Bottling Group, Inc. 19,852
4,697 PepsiCo, Inc. 232,877
6,974 Procter & Gamble Company 356,929
402 Reynolds American, Inc.(c) 27,682
1,261 Safeway, Inc.(b) 23,001
2,222 Sara Lee Corporation 51,728
352 SUPERVALU, Inc. 10,380
1,768 SYSCO Corporation 57,053
503 UST, Inc. 20,703
11,682 Wal-Mart Stores, Inc. 629,893
2,829 Walgreen Company 101,533
605 William Wrigley Jr. Company 39,567
403 Winn-Dixie Stores, Inc.(c) 1,386
- -------------------------------------------------------------------------------------------------------------------------
Total Consumer Staples 3,090,453
=========================================================================================================================
Energy (7.2%)
- -------------------------------------------------------------------------------------------------------------------------
251 Amerada Hess Corporation 20,258
720 Anadarko Petroleum Corporation 48,564
946 Apache Corporation 47,962
151 Ashland, Inc. 8,701
908 Baker Hughes, Inc. 38,890
455 BJ Services Company 23,205
1,110 Burlington Resources, Inc. 46,065
5,872 ChevronTexaco Corporation 311,568
1,862 ConocoPhillips 156,985
656 Devon Energy Corporation 48,524
1,775 El Paso Corporation 15,868
303 EOG Resources, Inc. 20,168
18,005 Exxon Mobil Corporation 886,206
1,262 Halliburton Company 46,744
451 Kerr-McGee Corporation 26,708
353 Kinder Morgan, Inc. 22,723
907 Marathon Oil Corporation 34,566
453 Nabors Industries, Ltd.(b) 22,251
404 Noble Corporation(b) 18,455
1,061 Occidental Petroleum Corporation 59,236
301 Rowan Companies, Inc.(b) 7,685
1,615 Schlumberger, Ltd. 101,648
201 Sunoco, Inc. 14,946
857 Transocean, Inc.(b) 30,209
756 Unocal Corporation 31,563
800 Valero Energy Corporation 34,376
1,463 Williams Companies, Inc. 18,302
- -------------------------------------------------------------------------------------------------------------------------
Total Energy 2,142,376
=========================================================================================================================
Financials (20.1%)
- -------------------------------------------------------------------------------------------------------------------------
757 ACE, Ltd. 28,811
1,363 AFLAC, Inc. 48,904
1,870 Allstate Corporation 89,928
303 Ambac Financial Group, Inc. 23,652
3,488 American Express Company 185,108
7,227 American International Group, Inc. 438,751
959 AmSouth Bancorporation 25,308
907 Aon Corporation 18,512
253 Apartment Investment & Management Company 9,283
11,234 Bank of America Corporation 503,171
2,172 Bank of New York Company, Inc. 70,503
1,512 BB&T Corporation 62,158
252 Bear Stearns Companies, Inc. 23,877
705 Capital One Financial Corporation 52,001
3,787 Charles Schwab Corporation 34,651
553 Chubb Corporation 39,888
429 Cincinnati Financial Corporation 17,911
600 CIT Group, Inc. 24,240
14,260 Citigroup, Inc. 632,716
453 Comerica, Inc. 27,864
1,506 Countrywide Financial Corporation 48,087
1,000 E*TRADE Financial Corporation(b) 12,900
1,112 Equity Office Properties Trust 31,269
758 Equity Residential REIT 25,279
1,919 Federal Home Loan Mortgage Corporation 127,805
2,628 Federal National Mortgage Corporation 184,354
303 Federated Investors, Inc. 8,784
1,607 Fifth Third Bancorp 79,048
354 First Horizon National Corporation 15,321
655 Franklin Resources, Inc. 39,706
453 Golden West Financial Corporation 52,965
1,313 Goldman Sachs Group, Inc. 129,173
856 Hartford Financial Services Group, Inc. 50,059
626 Huntington Bancshares, Inc. 14,993
9,878 J.P. Morgan Chase & Company 381,291
706 Janus Capital Group, Inc. 10,766
330 Jefferson-Pilot Corporation 15,936
1,110 KeyCorp 37,285
705 Lehman Brothers Holdings, Inc. 57,916
453 Lincoln National Corporation 19,841
554 Loews Corporation 33,185
300 M&T Bank Corporation 30,900
1,466 Marsh & McLennan Companies, Inc. 40,550
606 Marshall & Ilsley Corporation 25,434
429 MBIA, Inc. 24,822
3,515 MBNA Corporation 90,089
1,161 Mellon Financial Corporation 33,553
2,578 Merrill Lynch & Company, Inc. 139,057
2,070 MetLife, Inc. 79,384
251 MGIC Investment Corporation 16,142
453 Moody's Corporation 35,248
3,031 Morgan Stanley and Company 154,854
1,816 National City Corporation 70,770
905 North Fork Bancorporation, Inc. 39,910
604 Northern Trust Corporation 25,694
456 Plum Creek Timber Company, Inc. 16,548
755 PNC Financial Services Group, Inc. 39,486
860 Principal Financial Group, Inc. 32,474
506 Progressive Corporation 47,336
500 ProLogis Trust 19,490
806 Providian Financial Corporation(b) 12,533
1,467 Prudential Financial, Inc. 68,171
1,323 Regions Financial Corporation 46,411
402 SAFECO Corporation(c) 18,588
555 Simon Property Group, Inc. 32,368
1,162 SLM Corporation 52,592
960 SouthTrust Corporation 41,827
900 Sovereign Bancorp, Inc. 19,485
1,853 St. Paul Travelers Companies, Inc. 62,928
908 State Street Corporation 40,905
956 SunTrust Banks, Inc. 67,283
808 Synovus Financial Corporation 21,970
351 T. Rowe Price Group, Inc. 19,575
352 Torchmark Corporation 19,015
5,169 U.S. Bancorp 147,885
857 UnumProvident Corporation(c) 11,707
3,637 Wachovia Corporation 178,977
2,378 Washington Mutual, Inc. 92,052
4,648 Wells Fargo & Company 277,579
404 XL Capital, Ltd. 29,290
252 Zions Bancorporation 16,675
- -------------------------------------------------------------------------------------------------------------------------
Total Financials 5,972,757
=========================================================================================================================
Health Care (12.5%)
- -------------------------------------------------------------------------------------------------------------------------
4,296 Abbott Laboratories 183,138
453 Aetna, Inc. 43,035
403 Allergan, Inc. 28,839
302 AmerisourceBergen Corporation 16,622
3,507 Amgen, Inc.(b) 199,198
405 Anthem, Inc.(b) 32,562
554 Applera Corporation (Applied Biosystems Group) 10,570
101 Bausch & Lomb, Inc. 6,157
1,669 Baxter International, Inc. 51,338
706 Becton, Dickinson and Company 37,065
905 Biogen Idec, Inc.(b) 52,635
744 Biomet, Inc. 34,730
2,322 Boston Scientific Corporation 81,967
5,356 Bristol-Myers Squibb Company 125,491
302 C.R. Bard, Inc. 17,154
1,237 Cardinal Health, Inc. 57,830
1,300 Caremark Rx, Inc.(b) 38,961
504 Chiron Corporation(b) 16,340
404 CIGNA Corporation 25,638
3,083 Eli Lilly and Company 169,288
200 Express Scripts, Inc.(b) 12,800
300 Fisher Scientific International, Inc.(b) 17,208
1,012 Forest Laboratories, Inc.(b) 45,135
606 Genzyme Corporation(b) 31,797
1,200 Gilead Sciences, Inc. 41,556
906 Guidant Corporation 60,358
1,363 HCA, Inc. 50,063
657 Health Management Associates, Inc. 13,574
409 Hospira, Inc.(b) 13,051
454 Humana, Inc.(b) 8,694
654 IMS Health, Inc. 13,852
8,235 Johnson & Johnson 480,759
673 King Pharmaceuticals, Inc.(b) 7,342
400 Laboratory Corporation of America Holdings(b) 18,320
251 Manor Care, Inc. 8,218
856 McKesson Corporation 22,821
741 Medco Health Solutions, Inc.(b) 25,127
707 MedImmune, Inc.(b) 20,093
3,334 Medtronic, Inc. 170,401
6,117 Merck & Company, Inc. 191,523
150 Millipore Corporation(b) 6,898
700 Mylan Laboratories, Inc.(c) 12,054
352 PerkinElmer, Inc. 7,230
20,881 Pfizer, Inc. 604,505
303 Quest Diagnostics, Inc. 26,525
4,043 Schering-Plough Corporation 73,219
456 St. Jude Medical, Inc.(b) 34,916
1,108 Stryker Corporation 47,744
1,290 Tenet Healthcare Corporation(b) 13,829
454 Thermo Electron Corporation(b) 13,166
1,816 UnitedHealth Group, Inc. 131,478
354 Waters Corporation(b) 14,617
301 Watson Pharmaceuticals, Inc.(b) 8,437
455 WellPoint Health Networks, Inc.(b) 44,435
3,639 Wyeth 144,286
639 Zimmer Holdings, Inc.(b) 49,580
- -------------------------------------------------------------------------------------------------------------------------
Total Health Care 3,714,169
=========================================================================================================================
Industrials (11.3%)
- -------------------------------------------------------------------------------------------------------------------------
2,124 3M Company 164,759
854 Allied Waste Industries, Inc.(b,c) 6,969
505 American Power Conversion Corporation 9,736
556 American Standard Companies, Inc. 20,333
555 Apollo Group, Inc.(b) 36,630
302 Avery Dennison Corporation 18,374
2,274 Boeing Company 113,473
1,058 Burlington Northern Santa Fe Corporation 44,235
959 Caterpillar, Inc. 77,238
2,929 Cendant Corporation 60,308
505 Cintas Corporation 21,786
252 Cooper Industries, Ltd. 16,103
200 Crane Company 5,574
554 CSX Corporation 20,221
150 Cummins, Inc. 10,512
804 Danaher Corporation 44,325
655 Deere & Company 39,156
302 Delta Air Lines, Inc.(b,c) 1,646
101 Deluxe Corporation 3,847
554 Dover Corporation 21,756
404 Eaton Corporation 25,836
1,161 Emerson Electric Company 74,362
403 Equifax, Inc. 10,538
807 FedEx Corporation 73,534
202 Fluor Corporation 9,381
554 General Dynamics Corporation 56,574
29,150 General Electric Company 994,597
301 Goodrich Corporation 9,280
455 H&R Block, Inc. 21,635
2,424 Honeywell International, Inc. 81,640
807 Illinois Tool Works, Inc. 74,470
504 Ingersoll-Rand Company 34,494
252 ITT Industries, Inc. 20,447
1,262 Lockheed Martin Corporation 69,524
1,161 Masco Corporation 39,776
301 Monster Worldwide, Inc.(b) 8,443
150 Navistar International Corporation(b) 5,182
1,110 Norfolk Southern Corporation 37,684
946 Northrop Grumman Corporation 48,956
443 PACCAR, Inc. 30,704
351 Pall Corporation 9,077
352 Parker-Hannifin Corporation 24,862
655 Pitney Bowes, Inc. 28,656
251 Power-One, Inc.(b) 1,762
601 R.R. Donnelley & Sons Company 18,901
1,259 Raytheon Company 45,928
505 Robert Half International, Inc. 13,398
554 Rockwell Automation, Inc. 23,096
454 Rockwell Collins, Inc. 16,103
200 Ryder System, Inc. 10,020
2,195 Southwest Airlines Company 34,615
402 Textron, Inc. 27,396
5,561 Tyco International, Ltd. 173,225
756 Union Pacific Corporation 47,605
3,084 United Parcel Service, Inc. 244,191
1,411 United Technologies Corporation 130,969
252 W.W. Grainger, Inc. 14,765
1,564 Waste Management, Inc. 44,543
- -------------------------------------------------------------------------------------------------------------------------
Total Industrials 3,373,150
=========================================================================================================================
Information Technology (16.0%)
- -------------------------------------------------------------------------------------------------------------------------
2,272 ADC Telecommunications, Inc.(b) 5,021
655 Adobe Systems, Inc. 36,700
1,007 Advanced Micro Devices, Inc.(b,c) 16,938
400 Affiliated Computer Services, Inc.(b) 21,820
1,351 Agilent Technologies, Inc.(b) 33,856
1,059 Altera Corporation(b) 24,071
1,010 Analog Devices, Inc. 40,663
451 Andrew Corporation(b) 6,305
1,110 Apple Computer, Inc.(b) 58,308
4,702 Applied Materials, Inc.(b) 75,702
858 Applied Micro Circuits Corporation(b) 3,123
302 Autodesk, Inc. 15,930
1,565 Automatic Data Processing, Inc. 67,905
1,218 Avaya, Inc.(b) 17,539
607 BMC Software, Inc.(b) 11,484
855 Broadcom Corporation(b) 23,128
1,560 CIENA Corporation(b) 3,853
18,714 Cisco Systems, Inc.(b) 359,496
503 Citrix Systems, Inc.(b) 12,137
1,665 Computer Associates International, Inc. 46,137
504 Computer Sciences Corporation(b) 25,034
1,059 Compuware Corporation(b) 6,132
554 Comverse Technology, Inc.(b) 11,435
404 Convergys Corporation(b) 5,256
3,833 Corning, Inc.(b) 43,888
6,876 Dell, Inc.(b) 241,073
808 Electronic Arts, Inc. 36,295
1,412 Electronic Data Systems Corporation 30,033
6,615 EMC Corporation(b) 85,135
2,365 First Data Corporation 97,627
580 Fiserv, Inc.(b) 20,613
1,057 Gateway, Inc.(b) 6,183
8,307 Hewlett-Packard Company 155,009
17,749 Intel Corporation 395,093
4,648 International Business Machines Corporation 417,158
555 Intuit, Inc.(b) 25,175
505 Jabil Circuit, Inc.(b) 12,277
3,941 JDS Uniphase Corporation(b) 12,493
504 KLA-Tencor Corporation(b) 22,947
351 Lexmark International, Inc.(b) 29,172
857 Linear Technology Corporation 32,463
1,108 LSI Logic Corporation(b,c) 5,041
11,916 Lucent Technologies, Inc.(b,c) 42,302
859 Maxim Integrated Products, Inc. 37,787
301 Mercury Interactive Corporation(b) 13,072
1,666 Micron Technology, Inc.(b) 20,292
30,025 Microsoft Corporation 840,400
567 Molex, Inc. 16,766
6,551 Motorola, Inc. 113,070
1,008 National Semiconductor Corporation 16,834
251 NCR Corporation(b) 14,144
1,008 Network Appliance, Inc.(b) 24,666
1,109 Novell, Inc.(b) 7,974
353 Novellus Systems, Inc.(b) 9,146
455 NVIDIA Corporation(b) 6,584
14,257 Oracle Corporation(b) 180,494
706 Parametric Technology Corporation(b) 3,664
1,085 Paychex, Inc. 35,581
1,007 PeopleSoft, Inc.(b) 20,915
504 PMC-Sierra, Inc.(b) 5,171
251 QLogic Corporation(b) 8,158
4,542 QUALCOMM, Inc. 189,901
389 Sabre Holdings Corporation 8,367
1,413 Sanmina-SCI Corporation(b) 11,304
453 Scientific-Atlanta, Inc. 12,408
1,362 Siebel Systems, Inc.(b) 12,939
2,672 Solectron Corporation(b) 13,948
9,196 Sun Microsystems, Inc.(b) 41,658
808 SunGard Data Systems, Inc.(b) 21,404
910 Symantec Corporation 51,815
630 Symbol Technologies, Inc. 9,255
201 Tektronix, Inc. 6,096
1,160 Tellabs, Inc.(b) 9,280
554 Teradyne, Inc.(b) 9,174
4,798 Texas Instruments, Inc. 117,311
957 Unisys Corporation(b) 10,163
1,160 VERITAS Software Corporation(b) 25,381
2,271 Xerox Corporation(b) 33,543
1,006 Xilinx, Inc. 30,784
3,728 Yahoo!, Inc. 134,916
- -------------------------------------------------------------------------------------------------------------------------
Total Information Technology 4,762,315
=========================================================================================================================
Materials (3.0%)
- -------------------------------------------------------------------------------------------------------------------------
656 Air Products and Chemicals, Inc. 34,886
2,386 Alcoa, Inc. 77,545
251 Allegheny Technologies, Inc. 4,219
302 Ball Corporation 12,035
302 Bemis Company, Inc. 7,994
2,618 Dow Chemical Company 117,653
2,729 E.I. du Pont de Nemours and Company 116,992
201 Eastman Chemical Company 9,541
704 Ecolab, Inc. 23,830
352 Engelhard Corporation 9,962
503 Freeport-McMoRan Copper & Gold, Inc.(c) 18,219
708 Georgia-Pacific Corporation 24,490
151 Great Lakes Chemical Corporation 3,869
352 Hercules, Inc.(b) 5,027
251 International Flavors & Fragrances, Inc. 9,802
1,319 International Paper Company 50,795
351 Louisiana-Pacific Corporation 8,603
596 MeadWestvaco Corporation 18,792
723 Monsanto Company 30,908
1,260 Newmont Mining Corporation 59,875
402 Nucor Corporation 16,976
454 Pactiv Corporation(b) 10,755
301 Phelps Dodge Corporation 26,350
504 PPG Industries, Inc. 32,130
908 Praxair, Inc. 38,318
606 Rohm and Haas Company 25,688
201 Sealed Air Corporation(b) 9,958
151 Sigma-Aldrich Corporation 8,402
201 Temple-Inland, Inc. 11,883
351 United States Steel Corporation 12,889
251 Vulcan Materials Company 12,495
705 Weyerhaeuser Company 44,161
201 Worthington Industries, Inc. 3,990
- -------------------------------------------------------------------------------------------------------------------------
Total Materials 899,032
=========================================================================================================================
Telecommunication Services (3.2%)
- -------------------------------------------------------------------------------------------------------------------------
857 ALLTEL Corporation 47,075
2,187 AT&T Corporation 37,420
5,054 BellSouth Corporation 134,790
404 CenturyTel, Inc. 12,964
907 Citizens Communications Company 12,154
3,078 Nextel Communications, Inc.(b) 81,536
5,036 Qwest Communications International, Inc.(b) 17,223
9,198 SBC Communications, Inc. 232,341
3,987 Sprint Corporation 83,528
7,674 Verizon Communications, Inc. 300,053
- -------------------------------------------------------------------------------------------------------------------------
Total Telecommunication Services 959,084
=========================================================================================================================
Utilities (3.0%)
- -------------------------------------------------------------------------------------------------------------------------
1,764 AES Corporation(b) 19,228
352 Allegheny Energy, Inc.(b,c) 6,445
503 Ameren Corporation 24,144
1,129 American Electric Power Company, Inc. 37,178
1,459 Calpine Corporation(b,c) 3,633
806 CenterPoint Energy, Inc. 8,471
503 Cinergy Corporation 19,879
502 CMS Energy Corporation(b,c) 4,699
657 Consolidated Edison, Inc. 28,547
503 Constellation Energy Group, Inc. 20,432
929 Dominion Resources, Inc. 59,753
503 DTE Energy Company 21,483
2,624 Duke Energy Corporation 64,367
1,009 Dynegy, Inc.(b,c) 4,974
858 Edison International, Inc. 26,169
606 Entergy Corporation 39,608
1,864 Exelon Corporation 73,852
958 FirstEnergy Corporation 39,594
553 FPL Group, Inc. 38,102
454 KeySpan Corporation 18,137
150 Nicor, Inc.(c) 5,628
775 NiSource, Inc. 16,624
150 Peoples Energy Corporation(c) 6,417
1,060 PG&E Corporation(b) 33,962
301 Pinnacle West Capital Corporation 12,829
503 PPL Corporation 26,156
682 Progress Energy, Inc. 28,167
606 Public Service Enterprise Group, Inc. 25,810
659 Sempra Energy 22,103
2,070 Southern Company 65,391
504 TECO Energy, Inc.(c) 7,056
857 TXU Corporation 52,466
1,114 Xcel Energy, Inc.(c) 19,049
- -------------------------------------------------------------------------------------------------------------------------
Total Utilities 880,353
- -------------------------------------------------------------------------------------------------------------------------
Total Common Stock (cost $29,146,534) 29,079,483
=========================================================================================================================
Shares Collateral Held for Securities Loaned (1.1%) Interest Rate(d) Maturity Date Value
- -------------------------------------------------------------------------------------------------------------------------
322,973 Thrivent Financial Securities Lending Trust 1.820% N/A $322,973
- -------------------------------------------------------------------------------------------------------------------------
Total Collateral Held for Securities Loaned (cost
$322,973) 322,973
=========================================================================================================================
Shares Short-Term Investments (1.1%) Interest Rate(d) Maturity Date Value
- -------------------------------------------------------------------------------------------------------------------------
322,075 Thrivent Money Market Fund(e) 0.820% N/A $322,075
- -------------------------------------------------------------------------------------------------------------------------
Total Short-Term Investments (at amortized cost) 322,075
- -------------------------------------------------------------------------------------------------------------------------
Total Investments (cost $29,791,582) $29,724,531
=========================================================================================================================
(a) The categories of investments are shown as a percentage of
total investments.
(b) Non-income producing security.
(c) All or a portion of the security is on loan as
discussed in item 2(L) of the Notes to Financial
Statements.
(d) The interest rate shown reflects the yield.
(e) At October 31, 2004, $22,400 in cash was pledged as
the initial margin deposit for open financial futures
contracts. In addition $322,075 of Short-Term
Investments were earmarked as collateral to cover
open financial futures contracts as follows:
Notional
Number of Expiration Principal Unrealized
Type Contracts Date Position Value Amount Gain
- -------------------------------------------------------------------------------------------------------------------------
S&P 500 Mini Futures 6 December 2004 Long $339,090 $332,907 $6,183
The accompanying notes to the financial statements
are an integral part of this schedule.
Balanced Fund
Schedule of Investments as of October 31, 2004(a)
Shares Common Stock (54.6%) Value
- -------------------------------------------------------------------------------------------------------------------------
Consumer Discretionary (6.8%)
- -------------------------------------------------------------------------------------------------------------------------
8,400 Advance Auto Parts, Inc. $328,608
8,200 ADVO, Inc. 261,990
13,850 Aeropostale, Inc. 436,968
10,200 American Eagle Outfitters, Inc.(b) 416,976
18,200 AnnTaylor Stores Corporation 408,772
65,300 Applebee's International, Inc.(c) 1,493,411
14,600 Autoliv, Inc. 624,150
6,300 Bed Bath & Beyond, Inc.(d) 256,977
10,700 Best Buy Company, Inc. 633,654
15,400 Boyd Gaming Corporation 515,746
13,900 Brunswick Corporation 652,188
63,200 Carnival Corporation 3,195,392
13,500 Children's Place Retail Stores, Inc.(c,d) 416,745
88,300 DIRECTV Group, Inc.(d) 1,480,791
13,400 eBay, Inc.(d) 1,307,974
25,200 Guess ?, Inc.(d) 420,840
6,300 Harley-Davidson, Inc. 362,691
110,200 Hilton Hotels Corporation 2,192,980
32,100 Home Depot, Inc. 1,318,668
7,700 International Game Technology 254,408
12,100 International Speedway Corporation 569,184
11,600 J.C. Penney Company, Inc. (Holding Company) 401,244
19,400 Kohl's Corporation(d) 984,744
21,900 Lions Gate Entertainment Corporation(c,d) 214,839
21,800 Lowe's Companies, Inc. 1,226,904
15,200 Nordstrom, Inc. 656,336
14,200 PETsMART, Inc. 454,116
10,400 Polo Ralph Lauren Corporation 384,072
7,400 Select Comfort Corporation(c,d) 126,688
25,400 Staples, Inc. 755,396
26,300 Target Corporation 1,315,526
67,400 Viacom, Inc. 2,459,426
110,800 Walt Disney Company 2,794,376
17,200 Warnaco Group, Inc.(d) 350,880
39,300 Yum! Brands, Inc. 1,709,550
- -------------------------------------------------------------------------------------------------------------------------
Total Consumer Discretionary 31,383,210
=========================================================================================================================
Consumer Staples (5.2%)
- -------------------------------------------------------------------------------------------------------------------------
43,900 Altria Group, Inc. 2,127,394
25,800 Anheuser-Busch Companies, Inc. 1,288,710
23,900 Archer-Daniels-Midland Company 462,943
10,200 Avon Products, Inc. 403,410
22,600 Casey's General Stores, Inc. 402,280
58,100 Coca-Cola Company 2,362,346
11,300 Colgate-Palmolive Company 504,206
4,800 Costco Wholesale Corporation 230,112
8,300 CVS Corporation 360,718
16,600 Elizabeth Arden, Inc.(c,d) 398,068
22,800 General Mills, Inc.(b) 1,008,900
16,400 Gillette Company 680,272
15,500 Kellogg Company 666,500
10,700 Kimberly-Clark Corporation 638,469
22,900 Kroger Company(d) 346,019
20,300 Pepsi Bottling Group, Inc. 569,212
37,500 PepsiCo, Inc. 1,859,250
54,600 Procter & Gamble Company 2,794,428
1,900 Reynolds American, Inc.(c) 130,834
10,400 Sara Lee Corporation 242,112
7,700 SUPERVALU, Inc. 227,073
14,700 SYSCO Corporation 474,369
19,100 Tyson Foods, Inc. 276,950
99,600 Wal-Mart Stores, Inc. 5,370,432
14,200 Walgreen Company 509,638
- -------------------------------------------------------------------------------------------------------------------------
Total Consumer Staples 24,334,645
=========================================================================================================================
Energy (4.0%)
- -------------------------------------------------------------------------------------------------------------------------
13,518 Apache Corporation 685,363
16,000 BJ Services Company 816,000
51,200 ChevronTexaco Corporation 2,716,672
14,500 ConocoPhillips 1,222,495
13,100 Cooper Cameron Corporation(d) 633,385
8,600 EOG Resources, Inc. 572,416
150,586 Exxon Mobil Corporation(b) 7,411,837
21,700 Halliburton Company 803,768
10,200 Nabors Industries, Ltd.(d) 501,024
6,700 Newfield Exploration Company(d) 389,940
17,800 Noble Corporation(d) 813,104
23,000 Patterson-UTI Energy, Inc. 442,290
5,900 Precision Drilling Corporation(d) 363,794
8,300 Smith International, Inc.(d) 482,064
10,700 Weatherford International, Ltd.(d) 559,182
- -------------------------------------------------------------------------------------------------------------------------
Total Energy 18,413,334
=========================================================================================================================
Financials (11.0%)
- -------------------------------------------------------------------------------------------------------------------------
5,650 Affiliated Managers Group, Inc.(c) 315,496
47,400 Allstate Corporation 2,279,466
1,700 AMB Property Corporation 63,750
26,700 American Capital Strategies, Ltd.(c) 826,365
4,800 American Express Company 254,736
50,462 American International Group, Inc. 3,063,548
70,900 Ameritrade Holding Corporation(d) 923,118
1,900 Apartment Investment & Management Company 69,711
22,200 Apollo Investment Corporation(c) 301,920
102,400 Bank of America Corporation(b) 4,586,496
800 Capital Automotive REIT 25,808
7,000 Capital One Financial Corporation 516,320
25,700 CIT Group, Inc. 1,038,280
118,845 Citigroup, Inc.(b) 5,273,153
10,700 City National Corporation 737,230
500 Colonial Properties Trust 19,490
14,400 Commercial Capital Bancorp, Inc.(c) 322,992
1,000 Commercial Net Lease Realty, Inc. 19,230
26,998 Countrywide Financial Corporation 862,046
2,200 Developers Diversified Realty Corporation 91,960
18,900 Doral Financial Corporation 793,422
500 Entertainment Properties Trust 19,950
8,500 Equity Office Properties Trust 239,020
5,900 Equity Residential REIT 196,765
500 Essex Property Trust, Inc. 39,230
36,500 Federal National Mortgage Corporation 2,560,475
500 Gables Residential Trust(c) 18,250
700 Glenborough Realty Trust, Inc. 14,700
15,600 Goldman Sachs Group, Inc. 1,534,728
62,100 HCC Insurance Holdings, Inc. 1,844,370
1,000 Highwoods Properties, Inc. 24,810
1,300 Hospitality Properties Trust 55,705
27,300 Investors Financial Services Corporation(c) 1,050,777
75,092 J.P. Morgan Chase & Company 2,898,551
500 Kilroy Realty Corporation 19,875
29,700 Knight Trading Group, Inc.(c,d) 308,583
2,400 Legg Mason, Inc. 152,904
4,800 Lehman Brothers Holdings, Inc. 394,320
1,000 Lexington Corporate Properties Trust 22,440
1,800 Liberty Property Trust 72,990
1,300 Mack-Cali Realty Corporation 57,421
16,800 Main Street Banks, Inc.(c) 493,248
13,400 MB Financial, Inc.(c) 572,716
48,550 MBNA Corporation 1,244,336
14,275 Mercantile Bank Corporation 537,026
17,900 MetLife, Inc. 686,465
32,100 Morgan Stanley and Company 1,639,989
1,000 New Century Financial Corporation 55,150
2,100 New Plan Excel Realty Trust, Inc. 54,936
31,800 North Fork Bancorporation, Inc. 1,402,380
32,700 PartnerRe, Ltd. 1,901,505
19,100 Pinnacle Financial Partners, Inc.(c,d) 429,177
3,800 Plum Creek Timber Company, Inc. 137,902
3,700 ProLogis Trust 144,226
33,700 Providian Financial Corporation(d) 524,035
12,100 Prudential Financial, Inc. 562,287
1,100 Rayonier, Inc. REIT 52,140
1,000 Shurgard Storage Centers, Inc. 39,700
6,400 Silicon Valley Bancshares(c,d) 256,064
4,700 Simon Property Group, Inc. 274,104
17,700 Sovereign Bancorp, Inc. 383,205
300 Sovran Self Storage, Inc. 11,721
14,400 U.S. Bancorp 411,984
9,400 UCBH Holdings, Inc. 405,046
2,600 United Dominion Realty Trust, Inc. 54,808
25,200 Vineyard National Bancorp Company(c) 736,344
11,600 Virginia Commerce Bancorp, Inc.(c,d) 341,040
8,100 Wachovia Corporation 398,601
54,400 Wells Fargo & Company 3,248,768
6,900 Wintrust Financial Corporation 393,300
- -------------------------------------------------------------------------------------------------------------------------
Total Financials 51,302,604
=========================================================================================================================
Health Care (6.7%)
- -------------------------------------------------------------------------------------------------------------------------
22,800 Abbott Laboratories 971,964
6,700 Advanced Medical Optics, Inc.(c,d) 261,970
2,600 Aetna, Inc. 247,000
26,200 Amgen, Inc.(d) 1,488,160
1,700 Anthem, Inc.(c,d) 136,680
3,200 Bausch & Lomb, Inc. 195,072
15,800 Baxter International, Inc. 486,008
2,200 Beckman Coulter, Inc.(c) 130,900
2,400 Becton, Dickinson and Company 126,000
7,000 Biogen Idec, Inc.(d) 407,120
3,200 Biomet, Inc. 149,376
10,400 Boston Scientific Corporation 367,120
15,500 Bristol-Myers Squibb Company 363,165
5,900 C.R. Bard, Inc. 335,120
9,500 Caremark Rx, Inc.(d) 284,715
4,600 Centene Corporation(d) 218,178
4,600 Charles River Laboratories International, Inc.(c,d) 215,234
4,500 Cooper Companies, Inc.(c) 316,575
3,700 Covance, Inc.(d) 146,964
3,200 Dade Behring Holdings, Inc.(d) 180,128
5,400 Dentsply International, Inc. 280,854
18,500 Eli Lilly and Company 1,015,835
36,900 Encore Medical Corporation(d) 189,482
27,800 Endo Pharmaceutical Holdings, Inc.(d) 606,040
2,200 Fisher Scientific International, Inc.(d) 126,192
3,200 Forest Laboratories, Inc.(d) 142,720
6,100 Genzyme Corporation(d) 320,067
12,200 Gilead Sciences, Inc. 422,486
7,400 Guidant Corporation 492,988
6,590 Hospira, Inc.(d) 210,287
8,800 Humana, Inc.(d) 168,520
44,100 Inspire Pharmaceuticals, Inc.(c,d) 690,606
7,400 Intuitive Surgical, Inc.(d) 215,932
40,875 IVAX Corporation(c) 739,838
56,200 Johnson & Johnson 3,280,956
5,778 Medco Health Solutions, Inc.(d) 195,932
7,500 MedImmune, Inc.(d) 213,150
25,300 Medtronic, Inc. 1,293,083
35,300 Merck & Company, Inc. 1,105,243
11,200 NuVasive, Inc.(c,d) 110,432
6,200 PacifiCare Health Systems, Inc.(c) 220,844
10,300 Par Pharmaceutical Companies, Inc.(d) 406,335
6,400 Patterson Companies, Inc. 240,000
184,825 Pfizer, Inc. 5,350,684
4,800 Psychiatric Solutions, Inc.(d) 122,160
4,600 Quest Diagnostics, Inc. 402,684
6,400 Renal Care Group, Inc. 201,984
5,400 Sepracor, Inc.(c,d) 248,022
5,400 Sierra Health Services, Inc.(c,d) 257,688
4,800 St. Jude Medical, Inc.(d) 367,536
5,400 Stryker Corporation 232,686
4,100 Sybron Dental Specialties, Inc.(c,d) 133,537
4,800 Telik, Inc.(c,d) 88,560
13,700 Teva Pharmaceutical Industries, Ltd. 356,200
4,700 Triad Hospitals, Inc.(d) 155,241
5,000 United Surgical Partners International, Inc.(d) 175,050
12,700 UnitedHealth Group, Inc. 919,480
2,400 Ventana Medical Systems, Inc.(c,d) 129,888
17,100 Vertex Pharmaceuticals, Inc.(c,d) 186,048
8,800 Wellcare Health Plans, Inc.(c,d) 201,520
1,700 WellPoint Health Networks, Inc.(d) 166,022
5,300 Wright Medical Group, Inc.(c,d) 136,899
27,000 Wyeth 1,070,550
3,600 Zimmer Holdings, Inc.(d) 279,324
7,200 ZymoGenetics, Inc.(c,d) 136,008
- -------------------------------------------------------------------------------------------------------------------------
Total Health Care 31,033,042
=========================================================================================================================
Industrials (6.2%)
- -------------------------------------------------------------------------------------------------------------------------
14,000 3M Company 1,085,980
23,800 Beacon Roofing Supply, Inc.(c,d) 446,250
7,600 Caterpillar, Inc. 612,104
10,200 Eaton Corporation 652,290
38,500 EGL, Inc.(c,d) 1,231,230
3,900 Emerson Electric Company 249,795
14,800 Fastenal Company 817,404
30,900 Federal Signal Corporation(c) 513,558
212,800 General Electric Company 7,260,736
14,400 Genlyte Group, Inc.(d) 1,059,264
17,100 Hexcel Corporation(d) 265,050
35,100 Honeywell International, Inc. 1,182,168
8,450 IDEX Corporation(c) 311,805
6,700 Illinois Tool Works, Inc. 618,276
66,600 Jacuzzi Brands, Inc.(c,d) 576,090
21,200 Manitowoc Company, Inc. 748,360
15,800 MSC Industrial Direct Company, Inc. 539,412
133,600 Northwest Airlines Corporation(d) 1,182,360
7,100 Oshkosh Truck Corporation 418,190
6,100 Precision Castparts Corporation 366,000
32,500 Resources Connection, Inc.(c,d) 1,364,350
45,500 Robert Half International, Inc. 1,207,115
10,800 Rockwell Automation, Inc. 450,252
7,400 Rockwell Collins, Inc. 262,478
73,000 Sirva, Inc.(d) 1,752,000
62,600 Tyco International, Ltd. 1,949,990
10,700 United Technologies Corporation 993,174
25,800 York International Corporation 821,472
- -------------------------------------------------------------------------------------------------------------------------
Total Industrials 28,937,153
=========================================================================================================================
Information Technology (9.4%)
- -------------------------------------------------------------------------------------------------------------------------
2,400 Adobe Systems, Inc. 134,472
14,700 ADTRAN, Inc. 317,520
28,100 Affiliated Computer Services, Inc.(d) 1,532,855
10,400 Agilent Technologies, Inc.(d) 260,624
3,400 Akamai Technologies, Inc.(d) 47,090
9,100 Altera Corporation(d) 206,843
12,300 Analog Devices, Inc. 495,198
21,900 Andrew Corporation(c,d) 306,162
13,100 Apple Computer, Inc.(d) 688,143
38,500 Applied Materials, Inc.(d) 619,850
33,300 Arris Group, Inc.(c,d) 154,845
4,200 ATI Technologies, Inc.(d) 75,810
32,800 Avaya, Inc.(d) 472,320
12,800 Avocent Corporation(d) 455,680
33,700 BEA Systems, Inc.(d) 273,644
6,400 BMC Software, Inc.(d) 121,088
4,500 Broadcom Corporation(d) 121,725
8,500 Cadence Design Systems, Inc.(d) 105,740
157,000 Cisco Systems, Inc.(d) 3,015,970
72,300 Cognizant Technology Solutions Corporation 2,458,200
3,500 Cognos, Inc.(d) 138,285
12,800 Computer Associates International, Inc.(c) 354,688
18,600 Comverse Technology, Inc.(d) 383,904
2,400 Cypress Semiconductor Corporation(d) 25,272
57,300 Dell, Inc.(d) 2,008,938
2,700 Electronic Arts, Inc. 121,284
59,000 EMC Corporation(d) 759,330
19,300 Flextronics International, Ltd.(d) 232,565
64,700 Hewlett-Packard Company 1,207,302
39,000 Infosys Technologies, Ltd. ADR(c) 2,593,500
6,100 Integrated Device Technology, Inc.(d) 72,102
141,600 Intel Corporation 3,152,016
11,000 Inter-Tel, Inc.(c) 297,000
44,700 International Business Machines Corporation(b) 4,011,825
5,000 Intersil Corporation 81,600
8,500 Jabil Circuit, Inc.(d) 206,635
4,000 KLA-Tencor Corporation(d) 182,120
2,900 Lam Research Corporation(d) 75,487
1,400 Lexmark International, Inc.(d) 116,354
6,200 Linear Technology Corporation 234,856
1,000 Macromedia, Inc.(d) 27,140
7,200 Maxim Integrated Products, Inc. 316,728
6,600 McAfee, Inc.(d) 159,720
12,800 Micron Technology, Inc.(d) 155,904
236,100 Microsoft Corporation(b) 6,608,439
54,600 Motorola, Inc. 942,396
8,000 National Semiconductor Corporation 133,600
1,800 NVIDIA Corporation(c,d) 26,046
15,500 ON Semiconductor Corporation(c,d) 55,800
137,300 Oracle Corporation(d) 1,738,218
8,200 PMC-Sierra, Inc.(d) 84,132
34,100 Powerwave Technologies, Inc.(c,d) 254,727
44,000 QUALCOMM, Inc. 1,839,640
1,100 Research in Motion, Ltd. 97,020
4,000 SAP AG 170,600
10,400 Siebel Systems, Inc.(d) 98,800
2,600 Skyworks Solutions, Inc.(c,d) 23,114
2,400 STMicroelectronics NV(c) 44,424
4,000 Symantec Corporation 227,760
8,828 Taiwan Semiconductor Manufacturing Company, Ltd. ADR 66,828
4,000 Teradyne, Inc.(c,d) 66,240
36,500 Texas Instruments, Inc. 892,425
17,900 VeriSign, Inc.(d) 480,257
2,100 VERITAS Software Corporation(d) 45,948
7,100 Vishay Intertechnology, Inc.(d) 91,803
28,100 Wind River Systems, Inc.(d) 376,259
7,500 Xilinx, Inc. 229,500
14,200 Yahoo!, Inc. 513,898
- -------------------------------------------------------------------------------------------------------------------------
Total Information Technology 43,886,208
=========================================================================================================================
Materials (1.9%)
- -------------------------------------------------------------------------------------------------------------------------
4,800 Air Products and Chemicals, Inc. 255,264
13,100 Alcan, Inc. 606,792
8,800 Dow Chemical Company 395,472
17,900 E.I. du Pont de Nemours and Company 767,373
2,600 Eastman Chemical Company 123,422
7,800 FMC Corporation(d) 342,030
17,900 Georgia-Pacific Corporation 619,161
4,000 Lafarge North America, Inc.(c) 196,000
18,700 Millennium Chemicals, Inc.(c,d) 401,676
5,100 Monsanto Company 218,025
7,000 NOVA Chemicals Corporation(c) 272,300
24,300 Packaging Corporation of America 532,899
24,100 Pactiv Corporation(d) 570,929
7,200 Peabody Energy Corporation 459,216
6,700 Phelps Dodge Corporation 586,518
11,800 PPG Industries, Inc. 752,250
13,900 Praxair, Inc. 586,580
6,400 Steel Dynamics, Inc.(c) 212,480
15,800 Wausau-Mosinee Paper Corporation 247,112
12,600 Weyerhaeuser Company 789,264
- -------------------------------------------------------------------------------------------------------------------------
Total Materials 8,934,763
=========================================================================================================================
Telecommunication Services (1.6%)
- -------------------------------------------------------------------------------------------------------------------------
25,900 BellSouth Corporation 690,753
4,500 CenturyTel, Inc. 144,405
25,700 Citizens Communications Company 344,380
37,200 Nextel Communications, Inc.(d) 985,428
14,600 Nextel Partners, Inc.(d) 245,864
12,200 NII Holdings, Inc.(c) 540,094
51,199 SBC Communications, Inc. 1,293,287
30,849 Sprint Corporation 646,287
61,800 Verizon Communications, Inc. 2,416,380
10,100 Vodafone Group plc ADR 260,479
- -------------------------------------------------------------------------------------------------------------------------
Total Telecommunication Services 7,567,357
=========================================================================================================================
Utilities (1.8%)
- -------------------------------------------------------------------------------------------------------------------------
8,000 American Electric Power Company, Inc. 263,440
23,300 Dominion Resources, Inc. 1,498,656
3,500 DTE Energy Company(c) 149,485
11,300 Entergy Corporation 738,568
27,800 Exelon Corporation 1,101,436
8,300 FirstEnergy Corporation 343,039
9,100 FPL Group, Inc. 626,990
23,000 NiSource, Inc. 493,350
17,700 PPL Corporation 920,400
19,000 Progress Energy, Inc. 784,700
4,800 Public Service Enterprise Group, Inc. 204,432
7,700 Southern Company 243,243
8,000 TXU Corporation 489,760
13,100 Wisconsin Energy Corporation 427,584
- -------------------------------------------------------------------------------------------------------------------------
Total Utilities 8,285,083
- -------------------------------------------------------------------------------------------------------------------------
Total Common Stock (cost $252,974,670) 254,077,399
=========================================================================================================================
Principal
Amount Long-Term Fixed Income (30.8%) Interest Rate Maturity Date Value
- -------------------------------------------------------------------------------------------------------------------------
Asset-Backed Securities (3.6%)
- -------------------------------------------------------------------------------------------------------------------------
$1,250,000 Chase Credit Card Master Trust(e) 2.000% 11/15/2004 $1,252,969
1,800,000 Citibank Credit Card Master Trust I 6.050 1/15/2010 1,953,940
1,500,000 Countrywide Asset Backed Certificates 4.905 8/25/2032 1,526,334
1,000,000 Countrywide Asset-Backed Certificates 3.903 12/25/2034 1,000,898
500,000 Credit Based Asset Servicing and Securitization 3.887 9/25/2035 501,719
517,797 EQCC Home Equity Loan Trust 6.930 2/15/2029 518,886
362,853 Federal Home Loan Mortgage Corporation 3.158 12/27/2029 363,038
1,500,000 GMAC Mortgage Corporation Loan Trust(e) 2.063 11/25/2004 1,502,602
933,855 Green Tree Financial Corporation 6.330 11/1/2029 973,072
500,000 Harley Davidson Motorcycle Trust 3.200 5/15/2012 499,350
5,000,000 Residential Asset Securities Corporation(b) 3.250 5/25/2029 4,978,070
1,500,000 Residential Asset Securities Corporation 4.040 7/25/2030 1,507,815
- -------------------------------------------------------------------------------------------------------------------------
Total Asset-Backed Securities 16,578,693
=========================================================================================================================
Basic Materials (1.0%)
- -------------------------------------------------------------------------------------------------------------------------
800,000 Codelco, Inc. 5.500 10/15/2013 837,430
500,000 Glencore Funding, LLC 6.000 4/15/2014 474,686
500,000 Lubrizol Corporation 5.875 12/1/2008 530,684
750,000 Meadwestvaco Corporation 6.850 4/1/2012 843,706
250,000 Packaging Corporation of America 4.375 8/1/2008 254,000
500,000 Precision Castparts Corporation 5.600 12/15/2013 515,075
500,000 Temple-Inland, Inc. 7.875 5/1/2012 596,626
500,000 Weyerhaeuser Company 5.250 12/15/2009 527,177
- -------------------------------------------------------------------------------------------------------------------------
Total Basic Materials 4,579,384
=========================================================================================================================
Capital Goods (0.5%)
- -------------------------------------------------------------------------------------------------------------------------
250,000 Goodrich Corporation 6.450 12/15/2007 270,697
250,000 Sealed Air Corporation 5.375 4/15/2008 261,332
1,750,000 Tyco International Group SA 6.000 11/15/2013 1,911,816
- -------------------------------------------------------------------------------------------------------------------------
Total Capital Goods 2,443,845
=========================================================================================================================
Commercial Mortgage-Backed Securities (4.2%)
- -------------------------------------------------------------------------------------------------------------------------
500,000 Banc of America Commercial Mortgage, Inc. 5.118 7/11/2043 522,974
1,000,000 Bear Stearns Commercial Mortgage Securities 3.869 2/11/2041 999,292
1,000,000 Bear Stearns Commercial Mortgage Securities 4.487 2/11/2041 1,003,555
1,699,607 CAM Commercial Mortgage Corporation 4.834 11/14/2036 1,733,385
1,250,000 Commercial Mortgage Pass-Through Certificates(f) 4.405 10/15/2037 1,250,000
1,000,000 Credit Suisse First Boston Mortgage Securities
Corporation 3.516 1/15/2037 993,281
1,000,000 First Union National Bank Commercial Mortgage 7.390 12/15/2031 1,149,121
628,271 First Union-Lehman Brothers- Bank of America
Commercial Mortgage Trust 6.280 11/18/2035 636,160
500,000 LB-UBS Commercial Mortgage Trust 3.323 3/15/2027 495,864
2,000,000 LB-UBS Commercial Mortgage Trust 3.086 5/15/2027 1,964,840
1,000,000 LB-UBS Commercial Mortgage Trust 6.653 11/15/2027 1,132,547
2,500,000 LB-UBS Commercial Mortgage Trust 4.187 8/15/2029 2,538,212
1,500,000 Morgan Stanley Capital I, Inc. 6.210 11/15/2031 1,633,282
1,250,000 Morgan Stanley Capital I, Inc. 3.920 4/14/2040 1,261,278
1,300,000 Nationslink Funding Corporation 6.476 8/20/2030 1,419,057
1,000,000 Wachovia Bank Commercial Mortgage Trust 4.390 2/15/2036 1,006,965
- -------------------------------------------------------------------------------------------------------------------------
Total Commercial Mortgage-Backed Securities 19,739,813
=========================================================================================================================
Communications Services (1.8%)
- -------------------------------------------------------------------------------------------------------------------------
375,000 AT&T Broadband Corporation 8.375 3/15/2013 460,088
350,000 AT&T Wireless Services, Inc. 8.125 5/1/2012 426,992
250,000 AT&T Wireless Services, Inc. 8.750 3/1/2031 335,630
1,000,000 Continental Cablevision, Inc. 8.875 9/15/2005 1,051,422
750,000 Cox Communications, Inc. 6.750 3/15/2011 823,874
1,000,000 Deutsche Telekom International Finance BV(g) 8.500 6/15/2010 1,204,759
250,000 Deutsche Telekom International Finance BV 5.250 7/22/2013 258,478
300,000 News America, Inc. 4.750 3/15/2010 308,695
750,000 News America, Inc. 7.250 5/18/2018 871,413
500,000 SBC Communications, Inc.(f) 4.125 9/15/2009 502,500
500,000 Sprint Capital Corporation 7.625 1/30/2011 584,778
500,000 Sprint Capital Corporation 6.900 5/1/2019 559,756
500,000 Telefonos de Mexico SA 4.500 11/19/2008 504,406
500,000 Verizon Global Funding Corporation 7.250 12/1/2010 583,220
- -------------------------------------------------------------------------------------------------------------------------
Total Communications Services 8,476,011
=========================================================================================================================
Consumer Cyclical (1.4%)
- -------------------------------------------------------------------------------------------------------------------------
500,000 AOL Time Warner, Inc. 6.875 5/1/2012 568,738
1,000,000 D.R. Horton, Inc. 7.500 12/1/2007 1,092,500
500,000 D.R. Horton, Inc. 5.000 1/15/2009 506,250
500,000 D.R. Horton, Inc. 4.875 1/15/2010 497,500
1,000,000 DaimlerChrysler North American Holdings Corporation 4.750 1/15/2008 1,030,261
500,000 Ford Motor Credit Company 7.375 2/1/2011 542,398
750,000 General Motors Acceptance Corporation 7.750 1/19/2010 818,552
500,000 KB Home 6.375 8/15/2011 523,750
750,000 Park Place Entertainment Corporation 8.500 11/15/2006 825,000
- -------------------------------------------------------------------------------------------------------------------------
Total Consumer Cyclical 6,404,949
=========================================================================================================================
Consumer Non-Cyclical (0.2%)
- -------------------------------------------------------------------------------------------------------------------------
850,000 Bunge Limited Finance Corporation 7.800 10/15/2012 1,009,812
- -------------------------------------------------------------------------------------------------------------------------
Total Consumer Non-Cyclical 1,009,812
=========================================================================================================================
Energy (0.7%)
- -------------------------------------------------------------------------------------------------------------------------
1,000,000 Devon Financing Corporation, ULC 6.875 9/30/2011 1,145,031
250,000 Kerr Mc Gee Corporation 6.875 9/15/2011 283,965
300,000 Kerr Mc Gee Corporation 6.950 7/1/2024 330,402
325,000 Pemex Project Funding Master Trust(g) 8.000 11/15/2011 373,750
500,000 Pioneer Natural Resources Company 5.875 7/15/2016 531,064
750,000 XTO Energy, Inc. 4.900 2/1/2014 752,712
- -------------------------------------------------------------------------------------------------------------------------
Total Energy 3,416,924
=========================================================================================================================
Financials (3.1%)
- -------------------------------------------------------------------------------------------------------------------------
1,000,000 Archstone-Smith Trust 3.000 6/15/2008 975,138
500,000 Australia & New Zealand Banking Group, Ltd. Capital
Trust I 4.484 1/15/2010 505,028
250,000 Capital One Financial Corporation 6.250 11/15/2013 270,214
750,000 Countrywide Home Loans, Inc. 4.000 3/22/2011 730,762
800,000 Goldman Sachs Group, Inc. 5.250 10/15/2013 818,995
600,000 HSBC Capital Funding, LP(g) 9.547 6/30/2010 759,677
750,000 ING Capital Funding Trust III 8.439 12/31/2010 909,539
500,000 iSTAR Financial, Inc. 4.875 1/15/2009 510,428
500,000 iSTAR Financial, Inc. 5.125 4/1/2011 506,548
250,000 J.P. Morgan Chase & Company 5.125 9/15/2014 254,020
1,890,000 Lehman Brothers, Inc. 6.539 8/15/2008 2,009,694
500,000 MBNA America Bank NA 4.625 8/3/2009 513,360
375,000 Montpelier Reinsurance Holdings, Ltd. 6.125 8/15/2013 390,851
250,000 Popular North America, Inc. 4.700 6/30/2009 257,250
500,000 RBS Capital Trust II(g) 6.425 1/3/2034 520,084
1,000,000 Regency Centers, LP 7.125 7/15/2005 1,030,099
650,000 Royal Bank of Scotland Group plc 9.118 3/31/2010 800,001
500,000 Simon Property Group, LP 6.375 11/15/2007 540,040
250,000 Simon Property Group, LP 4.875 8/15/2010 254,915
625,000 Union Planters Corporation 7.750 3/1/2011 742,899
250,000 Vornado Realty Trust 5.625 6/15/2007 262,587
750,000 Washington Mutual Bank FA 5.650 8/15/2014 782,558
250,000 Westpac Capital Trust III 5.819 9/30/2013 262,728
- -------------------------------------------------------------------------------------------------------------------------
Total Financials 14,607,415
=========================================================================================================================
Foreign (0.2%)
- -------------------------------------------------------------------------------------------------------------------------
750,000 Corporacion Andina de Fomento 6.875% 3/15/2012 841,157
- -------------------------------------------------------------------------------------------------------------------------
Total Foreign 841,157
=========================================================================================================================
Mortgage-Backed Securities (5.4%)
- -------------------------------------------------------------------------------------------------------------------------
6,000,000 Federal National Mortgage Association 15-Yr.
Conventional(f) 5.500 11/1/2019 6,211,872
18,000,000 Federal National Mortgage Association 30-Yr.
Conventional(f) 6.000 11/1/2034 18,658,116
- -------------------------------------------------------------------------------------------------------------------------
Total Mortgage-Backed Securities 24,869,988
=========================================================================================================================
Technology (0.2%)
- -------------------------------------------------------------------------------------------------------------------------
750,000 Deluxe Corporation 3.500 10/1/2007 743,654
- -------------------------------------------------------------------------------------------------------------------------
Total Technology 743,654
=========================================================================================================================
U.S. Government (6.1%)
- -------------------------------------------------------------------------------------------------------------------------
2,500,000 Federal Home Loan Mortgage Corporation(c) 3.500 9/15/2007 2,532,675
5,000,000 Federal National Mortgage Association(e) 1.984 11/1/2004 5,000,370
5,500,000 Federal National Mortgage Association(c) 2.625 11/15/2006 5,481,712
1,000,000 Federal National Mortgage Association(c) 4.250 7/15/2007 1,032,306
3,500,000 Federal National Mortgage Association(c) 5.500 3/15/2011 3,795,690
500,000 U.S. Treasury Bonds(c) 5.375 2/15/2031 543,066
2,250,000 U.S. Treasury Notes(c) 3.125 4/15/2009 2,243,936
750,000 U.S. Treasury Notes(c) 3.625 7/15/2009 761,983
4,000,000 U.S. Treasury Notes(c) 6.000 8/15/2009 4,482,656
750,000 U.S. Treasury Notes(c) 6.500 2/15/2010 862,940
250,000 U.S. Treasury Notes 5.000 2/15/2011 269,961
1,250,000 U.S. Treasury Notes(c) 4.750 5/15/2014 1,321,680
- -------------------------------------------------------------------------------------------------------------------------
Total U.S. Government 28,328,975
=========================================================================================================================
Utilities (2.4%)
- -------------------------------------------------------------------------------------------------------------------------
500,000 Alliant Energy Resources, Inc.(b) 7.375 11/9/2009 566,411
750,000 Atmos Energy Corporation 4.000 10/15/2009 746,990
750,000 Centerpoint Energy, Inc.(c) 7.250 9/1/2010 839,351
500,000 DTE Energy Company 7.050 6/1/2011 568,250
500,000 Enterprise Products Operating, LP 4.000 10/15/2007 503,938
1,250,000 FirstEnergy Corporation 6.450 11/15/2011 1,369,595
500,000 Magellan Midstream Partners, LP 5.650 10/15/2016 508,681
1,000,000 NiSource Finance Corporation 7.875 11/15/2010 1,187,030
250,000 Plains All American Pipeline, LP 4.750 8/15/2009 257,635
250,000 Plains All American Pipeline, LP 5.875 8/15/2016 261,115
831,237 Power Contract Financing, LLC 5.200 2/1/2006 842,775
717,423 Power Receivables Finance, LLC 6.290 1/1/2012 755,081
600,000 Public Service Company of New Mexico 4.400% 9/15/2008 606,863
200,000 Texas-New Mexico Power Company 6.125 6/1/2008 207,310
750,000 Westar Energy, Inc. 7.875 5/1/2007 830,415
850,000 Xcel Energy, Inc. 7.000 12/1/2010 969,129
- -------------------------------------------------------------------------------------------------------------------------
Total Utilities 11,020,569
- -------------------------------------------------------------------------------------------------------------------------
Total Long-Term Fixed Income (cost $140,354,081) 143,061,189
=========================================================================================================================
Shares or
Principal
Amount Collateral Held for Securities Loaned (7.6%) Interest Rate(h) Maturity Date Value
- -------------------------------------------------------------------------------------------------------------------------
$28,600 BNP Paribas Letter of Credit 0.150% 4/21/2005 $28,600
48,620 J.P. Morgan Chase Letter of Credit 0.150 11/20/2004 48,620
35,180,259 Thrivent Financial Securities Lending Trust 1.820 N/A 35,180,259
- -------------------------------------------------------------------------------------------------------------------------
Total Collateral Held for Securities Loaned (cost
$35,257,479) 35,257,479
=========================================================================================================================
Shares or
Principal
Amount Short-Term Investments (7.0%) Rate(h) Date Value
- -------------------------------------------------------------------------------------------------------------------------
$5,446,000 Barton Capital Corporation(b) 1.870% 11/17/2004 $5,441,474
19,713,788 Thrivent Money Market Fund 0.820 N/A 19,713,788
7,380,000 Ventures Business Trust 1.850 11/1/2004 7,380,000
- -------------------------------------------------------------------------------------------------------------------------
Total Short-Term Investments (at amortized cost) 32,535,262
- -------------------------------------------------------------------------------------------------------------------------
Total Investments (cost $461,121,492) $464,931,329
=========================================================================================================================
(a) The categories of investments are shown as a percentage of
total investments.
(b) Earmarked as collateral for long settling trades as
discussed in the notes to the financial statements.
(c) All or a portion of the security is on loan as
discussed in item 2(L) of the Notes to Financial
Statements.
(d) Non-income producing security.
(e) Denotes variable rate obligations for which the
current yield and next scheduled reset date are
shown.
(f) Denotes investments purchased on a when-issued basis.
(g) Denotes step coupon bonds for which the current
interest rate and next scheduled reset date are
shown.
(h) The interest rate shown reflects the yield or, for
securities purchased at a discount, the discount rate
at the date of purchase.
(i) Miscellaneous footnote:
ADR -- American Depository Receipts, which are certificates
for shares of an underlying foreign security's shares
held by an issuing U.S. depository bank.
The accompanying notes to the financial statements
are an integral part of this schedule.
High Yield Fund
Schedule of Investments as of October 31, 2004(a)
Principal
Amount Long-Term Fixed Income (82.1%) Interest Rate Maturity Date Value
- -------------------------------------------------------------------------------------------------------------------------
Asset-Backed Securities (0.9%)
- -------------------------------------------------------------------------------------------------------------------------
$2,900,000 CSAM Funding Corporation(b) 12.780% 10/15/2016 $2,929,000
1,950,000 Katonah, Ltd.(b) 12.015 2/20/2015 1,969,500
2,000,000 Venture CDO 2002, Ltd.(b) 13.060 3/15/2015 2,000,000
- -------------------------------------------------------------------------------------------------------------------------
Total Asset-Backed Securities 6,898,500
=========================================================================================================================
Basic Materials (11.5%)
- -------------------------------------------------------------------------------------------------------------------------
2,990,000 Abitibi-Consolidated, Inc.(c) 6.000 6/20/2013 2,862,925
1,100,000 Ainsworth Lumber Company, Ltd.(d) 5.669 12/30/2004 1,111,000
2,100,000 Alpha Natural Resources 10.000 6/1/2012 2,331,000
1,470,000 Appleton Papers, Inc. 8.125 6/15/2011 1,547,175
1,840,000 Appleton Papers, Inc. 9.750 6/15/2014 1,922,800
2,560,000 Arch Western Finance, LLC 6.750 7/1/2013 2,720,000
1,700,000 BCP Caylux Holdings Luxembourg SCA 9.625 6/15/2014 1,904,000
1,750,000 Buckeye Technologies, Inc.(c) 8.000 10/15/2010 1,785,000
1,100,000 Buckeye Technologies, Inc. 8.500 10/1/2013 1,215,500
2,600,000 Cellu Tissue Holdings, Inc. 9.750 3/15/2010 2,717,000
2,930,000 Crystal US Holdings 3, LLC/Crystal US Sub 3
Corporation(c,e) Zero Coupon 10/1/2014 1,845,900
1,500,000 Equistar Chemicals, LP 10.125 9/1/2008 1,723,125
2,600,000 Georgia-Pacific Corporation(c) 8.125 5/15/2011 3,035,500
2,250,000 Georgia-Pacific Corporation 9.375 2/1/2013 2,649,375
2,350,000 Graphic Packaging International Corporation(c) 9.500 8/15/2013 2,708,375
3,100,000 HMP Equity Holdings Corporation Zero Coupon 5/15/2008 1,999,500
2,500,000 Huntsman International, LLC(c) 10.125 7/1/2009 2,625,000
1,850,000 Huntsman, LLC 11.500 7/15/2012 2,081,250
2,150,000 IMCO Recycling, Inc. 10.375 10/15/2010 2,397,250
2,240,000 Innophos, Inc.(c) 8.875 8/15/2014 2,413,600
2,005,000 International Steel Group, Inc. 6.500 4/15/2014 2,145,350
1,200,000 ISP Chemco, Inc.(f) 10.250 7/1/2011 1,338,000
2,600,000 ISP Holdings, Inc. 10.625 12/15/2009 2,873,000
1,300,000 Ispat Inland, ULC(d) 8.756 1/4/2005 1,426,750
2,580,000 Ispat Inland, ULC(c) 9.750 4/1/2014 3,134,700
880,000 Lyondell Chemical Company(c) 9.875 5/1/2007 930,600
1,700,000 Lyondell Chemical Company 9.500 12/15/2008 1,853,000
3,550,000 Lyondell Chemical Company(c) 10.500 6/1/2013 4,189,000
3,050,000 MacDermid, Inc. 9.125 7/15/2011 3,408,375
3,000,000 MDP Acquisitions plc 9.625 10/1/2012 3,420,000
2,000,000 Methanex Corporation(c) 8.750 8/15/2012 2,340,000
3,200,000 Nalco Company 7.750 11/15/2011 3,464,000
3,000,000 NOVA Chemicals Corporation 6.500 1/15/2012 3,157,500
2,150,000 Rockwood Specialties, Inc. 10.625 5/15/2011 2,386,500
2,600,000 Steel Dynamics, Inc.(c) 9.500 3/15/2009 2,876,250
1,720,000 Stone Container Finance 7.375 7/15/2014 1,836,100
- -------------------------------------------------------------------------------------------------------------------------
Total Basic Materials 84,374,400
=========================================================================================================================
Capital Goods (9.4%)
- -------------------------------------------------------------------------------------------------------------------------
$3,160,000 Ainsworth Lumber Company, Ltd. 6.750 3/15/2014 3,033,600
3,610,000 Allied Waste North America, Inc.(c) 7.875 4/15/2013 3,673,175
3,450,000 Amsted Industries, Inc. 10.250 10/15/2011 3,795,000
2,990,000 Case New Holland, Inc. 9.250 8/1/2011 3,408,600
2,920,000 Consolidated Container Company, LLC(e) Zero Coupon 6/15/2009 2,379,800
3,000,000 Crown Cork & Seal Finance plc 7.000 12/15/2006 3,127,500
1,700,000 Crown Euro Holdings SA(c) 10.875 3/1/2013 2,018,750
2,600,000 Da-Lite Screen Company, Inc. 9.500 5/15/2011 2,756,000
2,150,000 Erico International Corporation 8.875 3/1/2012 2,246,750
3,000,000 Euramax International plc(f) 8.500 8/15/2011 3,195,000
2,150,000 Fastentech, Inc. 11.500 5/1/2011 2,429,500
1,825,000 Graham Packaging Company, Inc. 9.875 10/15/2014 1,934,500
1,900,000 Hexcel Corporation 9.750 1/15/2009 1,999,750
370,000 IMCO Recycling Escrow, Inc.(g) 9.000 11/15/2014 379,250
1,800,000 K & F Industries, Inc. 9.625 12/15/2010 2,088,000
2,150,000 Legrand SA 10.500 2/15/2013 2,515,500
850,000 Legrand SA 8.500 2/15/2025 975,375
1,300,000 Mueller Group, Inc. 10.000 5/1/2012 1,404,000
2,550,000 Mueller Holdings, Inc.(e) Zero Coupon 4/15/2014 1,632,000
2,550,000 NationsRent, Inc. 9.500 10/15/2010 2,817,750
3,000,000 Norcraft Companies, LP/Norcraft Finance 9.000 11/1/2011 3,240,000
1,960,000 Owens-Brockway Glass Container, Inc. 8.875 2/15/2009 2,151,100
1,100,000 Owens-Brockway Glass Container, Inc. 8.250 5/15/2013 1,210,000
1,480,000 Owens-Illinois, Inc. 7.500 5/15/2010 1,546,600
2,800,000 Plastipak Holdings, Inc. 10.750 9/1/2011 3,136,000
2,950,000 Polypore, Inc. 8.750 5/15/2012 3,082,750
1,300,000 TD Funding Corporation 8.375 7/15/2011 1,397,500
2,600,000 Texas Industries, Inc. 10.250 6/15/2011 2,990,000
2,250,000 United Rentals North America, Inc. 6.500 2/15/2012 2,227,500
- -------------------------------------------------------------------------------------------------------------------------
Total Capital Goods 68,791,250
=========================================================================================================================
Communications Services (18.2%)
- -------------------------------------------------------------------------------------------------------------------------
560,000 Advertising Directory Solutions Holdings, Inc. 9.250 11/15/2012 584,500
1,100,000 AirGate PCS, Inc.(d) 5.850 1/15/2005 1,127,500
3,000,000 Alamosa Delaware, Inc.(c) 8.500 1/31/2012 3,180,000
3,350,000 American Tower Escrow Corporation Zero Coupon 8/1/2008 2,520,875
1,700,000 American Towers, Inc. 7.250 12/1/2011 1,806,250
1,460,000 AT&T Corporation(e) 8.050 11/15/2011 1,673,525
1,460,000 AT&T Corporation(e) 8.750 11/15/2031 1,689,950
4,000,000 Block Communications, Inc. 9.250 4/15/2009 4,280,000
3,000,000 Cablevision Systems Corporation(c) 8.000 4/15/2012 3,225,000
3,000,000 Century Communications Corporation(c,h) 8.875 1/15/2007 3,165,000
1,830,000 Century Communications Corporation(c,h) Zero Coupon 1/15/2008 1,134,600
3,020,000 Cenveo Corporation(c) 7.875% 12/1/2013 2,914,300
2,120,000 Charter Communications Holdings, LLC 10.750 10/1/2009 1,791,400
1,930,000 Charter Communications Holdings, LLC(c) 8.750 11/15/2013 1,925,175
2,200,000 Charter Communications Operating, LLC 8.000 4/30/2012 2,224,750
3,000,000 Crown Castle International Corporation 9.375 8/1/2011 3,405,000
1,700,000 CSC Holdings, Inc.(c) 7.625 4/1/2011 1,848,750
1,170,000 Dex Media East, LLC/Dex Media East Finance Company 12.125 11/15/2012 1,453,725
1,270,000 Dex Media West, LLC/Dex Media West Finance Company(c) 9.875 8/15/2013 1,501,775
2,150,000 Dex Media, Inc.(c,e) Zero Coupon 11/15/2013 1,634,000
2,600,000 Dex Media, Inc. 8.000 11/15/2013 2,782,000
3,400,000 EchoStar DBS Corporation 6.375 10/1/2011 3,523,250
1,950,000 Eircom Funding 8.250 8/15/2013 2,169,375
2,153,806 Hollinger Participation Trust 12.125 11/15/2010 2,627,643
2,100,000 IPCS Escrow Company 11.500 5/1/2012 2,289,000
2,940,000 Kabel Deutschland GmbH 10.625 7/1/2014 3,292,800
1,350,000 Liberty Media Corporation, Convertible 3.250 3/15/2031 1,257,188
2,550,000 MCI, Inc. 6.688 5/1/2009 2,514,938
3,050,000 Nebraska Book Company, Inc. 8.625 3/15/2012 3,088,125
1,100,000 New Skies Satellites NV(d,g) 7.294 5/1/2005 1,113,750
730,000 New Skies Satellites NV(g) 9.125 11/1/2012 746,425
3,325,000 Nexstar Finance, Inc.(c) 7.000 1/15/2014 3,258,500
3,000,000 Nextel Communications, Inc.(c) 6.875 10/31/2013 3,255,000
1,820,000 Nextel Communications, Inc. 5.950 3/15/2014 1,860,950
2,370,000 Nextel Communications, Inc.(c) 7.375 8/1/2015 2,630,700
3,000,000 Nextel Partners, Inc.(c) 8.125 7/1/2011 3,285,000
1,470,000 NTL Cable plc(c) 8.750 4/15/2014 1,620,675
2,200,000 NTL Cable plc(c,d) 7.070 1/18/2005 2,266,000
1,820,000 PanAmSat Corporation 9.000 8/15/2014 1,929,200
3,650,000 Paxson Communications Corporation(e) Zero Coupon 1/15/2009 3,175,500
2,100,000 PRIMEDIA, Inc.(d) 7.086 11/15/2004 2,178,750
1,830,000 Qwest Communications International, Inc.(d) 5.220 11/15/2004 1,779,675
3,120,000 Qwest Communications International, Inc. 7.250 2/15/2011 3,096,600
1,820,000 Qwest Corporation 7.875 9/1/2011 1,938,300
5,470,000 Qwest Services Corporation 13.500 12/15/2010 6,495,624
1,100,000 Rainbow National Services, LLC 8.750 9/1/2012 1,177,000
2,560,000 Rainbow National Services, LLC 10.375 9/1/2014 2,790,400
2,000,000 RH Donnelley, Inc. 10.875 12/15/2012 2,445,000
1,900,000 Shaw Communications, Inc.(c) 7.250 4/6/2011 2,090,000
2,930,000 Sinclair Broadcast Group, Inc. 8.000 3/15/2012 3,076,500
2,350,000 Spectrasite, Inc.(c) 8.250 5/15/2010 2,543,875
1,460,000 UbiquiTel Operating Company 9.875 3/1/2011 1,580,450
2,210,000 US Unwired, Inc.(c) 10.000 6/15/2012 2,392,325
1,100,000 Vertis, Inc. 9.750% 4/1/2009 1,199,000
1,500,000 Vertis, Inc.(c) 10.875 6/15/2009 1,635,000
2,200,000 Western Wireless Corporation 9.250 7/15/2013 2,343,000
2,500,000 XM Satellite Radio, Inc.(d) 7.194 2/1/2005 2,553,125
- -------------------------------------------------------------------------------------------------------------------------
Total Communications Services 133,086,718
=========================================================================================================================
Consumer Cyclical (14.2%)
- -------------------------------------------------------------------------------------------------------------------------
1,100,000 Allied Security Escrow Corporation 11.375 7/15/2011 1,155,000
3,200,000 American Casino & Entertainment Properties, LLC 7.850 2/1/2012 3,440,000
2,200,000 ArvinMeritor, Inc. 8.750 3/1/2012 2,453,000
3,250,000 Beazer Homes USA, Inc. 8.625 5/15/2011 3,558,750
900,000 Best Buy Company, Inc., Convertible 2.250 1/15/2022 986,625
3,980,000 Blockbuster, Inc. 9.000 9/1/2012 4,079,500
2,550,000 Boyd Gaming Corporation 8.750 4/15/2012 2,881,500
2,550,000 Buffets, Inc. 11.250 7/15/2010 2,715,750
3,650,000 D.R. Horton, Inc. 4.875 1/15/2010 3,631,750
730,000 Duane Reade, Inc.(c) 9.750 8/1/2011 700,800
2,600,000 Gaylord Entertainment Company 8.000 11/15/2013 2,801,500
3,930,000 Group 1 Automotive, Inc. 8.250 8/15/2013 4,155,975
2,200,000 Jean Coutu Group (PJC), Inc. 7.625 8/1/2012 2,326,500
1,460,000 Jean Coutu Group (PJC), Inc.(c) 8.500 8/1/2014 1,489,200
3,550,000 John Q. Hammons Hotels, LP 8.875 5/15/2012 4,082,500
850,000 Kerzner International, Ltd., Convertible 2.375 4/15/2024 902,062
2,073,000 Kindercare Learning Centers 9.500 2/15/2009 2,098,912
2,200,000 La Quinta Properties, Inc. 8.875 3/15/2011 2,486,000
1,400,000 Liberty Media Corporation, Convertible 0.750 3/30/2023 1,522,500
2,380,000 MGM MIRAGE 5.875 2/27/2014 2,347,275
3,450,000 Mohegan Tribal Gaming Authority 6.375 7/15/2009 3,613,875
3,850,000 NCL Corporation 10.625 7/15/2014 4,004,000
1,100,000 Norcraft Holdings, LP(e) Zero Coupon 9/1/2012 808,500
2,150,000 Park Place Entertainment Corporation(c) 8.125 5/15/2011 2,512,812
2,000,000 PCA, LLC/PCA Finance Corporation 11.875 8/1/2009 1,900,000
2,300,000 Penn National Gaming, Inc. 6.875 12/1/2011 2,415,000
2,200,000 Perry Ellis International, Inc. 8.875 9/15/2013 2,354,000
2,250,000 Premier Entertainment Biloxi, LLC/Premier Biloxi
Finance Corporation 10.750 2/1/2012 2,396,250
4,050,000 Rent-Way, Inc. 11.875 6/15/2010 4,515,750
3,450,000 Station Casinos, Inc.(c) 6.875 3/1/2016 3,665,625
1,700,000 Stewart Enterprises, Inc. 10.750 7/1/2008 1,870,000
4,000,000 Tenneco Automotive, Inc. 10.250 7/15/2013 4,660,000
4,500,000 TravelCenters of America, Inc. 12.750 5/1/2009 5,220,000
1,700,000 TRW Automotive, Inc.(c) 9.375 2/15/2013 1,955,000
2,100,000 TRW Automotive, Inc.(c) 11.000 2/15/2013 2,499,000
2,000,000 Vicar Operating, Inc. 9.875 12/1/2009 2,215,000
2,600,000 VICORP Restaurants, Inc. 10.500 4/15/2011 2,600,000
2,650,000 Warnaco, Inc. 8.875 6/15/2013 2,961,375
1,495,000 William Carter Company 10.875 8/15/2011 1,674,400
- -------------------------------------------------------------------------------------------------------------------------
Total Consumer Cyclical 103,655,686
=========================================================================================================================
Consumer Non-Cyclical (6.6%)
- -------------------------------------------------------------------------------------------------------------------------
2,570,000 Ardent Health Services, Inc. 10.000 8/15/2013 2,627,825
2,050,000 Armkel Finance, Inc. 9.500 8/15/2009 2,231,938
2,220,000 Beverly Enterprises, Inc. 7.875 6/15/2014 2,378,175
850,000 Del Monte Corporation 9.250 5/15/2011 939,250
4,700,000 Fisher Scientific International, Inc. 8.000 9/1/2013 5,299,250
2,940,000 IASIS Healthcare, LLC (IASIS Capital Corporation) 8.750 6/15/2014 3,160,500
2,450,000 Jafra Cosmetics 10.750 5/15/2011 2,793,000
4,450,000 Jostens Holding Corporation(e) Zero Coupon 12/1/2013 3,103,875
3,050,000 Michael Foods, Inc. 8.000 11/15/2013 3,217,750
3,750,000 Roundy's, Inc. 8.875 6/15/2012 4,078,125
3,450,000 Seminis Vegetable Seeds, Inc.(c) 10.250 10/1/2013 3,864,000
2,000,000 Smithfield Foods, Inc.(f) 8.000 10/15/2009 2,220,000
2,940,000 Stater Brothers Holdings, Inc. 8.125 6/15/2012 3,116,400
1,850,000 Tenet Healthcare Corporation 9.875 7/1/2014 1,937,875
1,350,000 Teva Pharmaceut Finance, LLC, Convertible 0.250 2/1/2024 1,302,750
2,950,000 Triad Hospitals, Inc. 7.000 5/15/2012 3,156,500
1,640,000 US Oncology, Inc. 9.000 8/15/2012 1,771,200
730,000 Ventas Realty, LP/Ventas Capital Corporation 6.625 10/15/2014 744,600
- -------------------------------------------------------------------------------------------------------------------------
Total Consumer Non-Cyclical 47,943,013
=========================================================================================================================
Energy (5.2%)
- -------------------------------------------------------------------------------------------------------------------------
3,800,000 BRL Universal Equipment Corporation 8.875 2/15/2008 4,009,000
3,600,000 Chesapeake Energy Corporation 9.000 8/15/2012 4,149,000
1,100,000 CITGO Petroleum Corporation 6.000 10/15/2011 1,119,250
2,000,000 Compton Petroleum Corporation 9.900 5/15/2009 2,215,000
1,640,000 Dresser-Rand Group, Inc. 7.375 11/1/2014 1,717,900
1,700,000 EXCO Resources, Inc. 7.250 1/15/2011 1,840,250
2,560,000 Harvest Operations Corporation 7.875 10/15/2011 2,652,800
2,700,000 Hornbeck Offshore Services, Inc. 10.625 8/1/2008 2,976,750
1,332,000 Magnum Hunter Resources, Inc. 9.600 3/15/2012 1,521,810
2,620,000 Petroleum Geo-Services ASA 10.000 11/5/2010 2,986,800
2,500,000 Pogo Producing Company 8.250 4/15/2011 2,756,250
3,427,840 Port Arthur Finance Corporation 12.500 1/15/2009 4,010,573
2,580,000 Pride International, Inc. 7.375 7/15/2014 2,902,500
2,700,000 Western Oil Sands, Inc.(c) 8.375 5/1/2012 3,148,875
- -------------------------------------------------------------------------------------------------------------------------
Total Energy 38,006,758
=========================================================================================================================
Financials (1.7%)
- -------------------------------------------------------------------------------------------------------------------------
$2,558,000 American Financial Group, Inc., Convertible(e) 1.486 6/2/2033 1,045,582
2,150,000 Dollar Financial Group, Inc. 9.750 11/15/2011 2,295,125
2,348,500 FINOVA Group, Inc. 7.500 11/15/2009 1,068,568
1,075,000 Goldman Sachs Group, Inc., Convertible(d) 0.060 3/21/2005 1,040,589
2,560,000 Refco Finance Holdings, LLC 9.000 8/1/2012 2,764,800
3,000,000 Riggs Capital Trust II 8.875 3/15/2027 3,255,000
5,000,000 SIG Capital Trust I (i,j) 9.500 8/15/2027 0
1,100,000 Standard Aero Holdings, Inc. 8.250 9/1/2014 1,163,250
3,650,000 United Companies Financial Corporation(h,k) 8.375 7/1/2005 27,375
- -------------------------------------------------------------------------------------------------------------------------
Total Financials 12,660,289
=========================================================================================================================
Foreign (0.2%)
- -------------------------------------------------------------------------------------------------------------------------
1,350,000 Federal Republic of Brazil 11.000 1/11/2012 1,539,000
- -------------------------------------------------------------------------------------------------------------------------
Total Foreign 1,539,000
=========================================================================================================================
Technology (3.1%)
- -------------------------------------------------------------------------------------------------------------------------
1,690,000 AMI Semiconductor, Inc. 10.750 2/1/2013 1,981,525
1,840,000 Celestica, Inc.(c) 7.875 7/1/2011 1,968,800
1,470,000 Freescale Semiconductor, Inc. 6.875 7/15/2011 1,558,200
1,470,000 Freescale Semiconductor, Inc. 7.125 7/15/2014 1,558,200
2,120,000 Itron, Inc. 7.750 5/15/2012 2,146,500
2,000,000 Sanmina-SCI Corporation(c) 10.375 1/15/2010 2,345,000
1,300,000 Thomas & Betts Corporation(c) 7.250 6/1/2013 1,414,994
3,400,000 UGS Corporation(c) 10.000 6/1/2012 3,808,000
1,800,000 Unisys Corporation(c) 8.125 6/1/2006 1,912,500
3,450,000 Xerox Corporation(c) 7.625 6/15/2013 3,795,000
- -------------------------------------------------------------------------------------------------------------------------
Total Technology 22,488,719
=========================================================================================================================
Transportation (1.2%)
- -------------------------------------------------------------------------------------------------------------------------
3,030,000 Horizon Lines, LLC 9.000 11/1/2012 3,276,188
1,999,490 United Air Lines, Inc.(h) 7.730 7/1/2010 1,650,595
4,050,000 Windsor Petroleum Transport Corporation(e) 7.840 1/15/2021 4,212,000
- -------------------------------------------------------------------------------------------------------------------------
Total Transportation 9,138,783
=========================================================================================================================
Utilities (9.9%)
- -------------------------------------------------------------------------------------------------------------------------
1,300,000 AES Corporation(c) 8.875 2/15/2011 1,496,625
3,100,000 AES Corporation 8.750 5/15/2013 3,580,500
2,450,000 Allegheny Energy Supply Company, LLC(c) 8.250 4/15/2012 2,762,375
2,600,000 Calpine Generating Corporation LLC(c,d) 7.756 1/3/2005 2,483,000
4,552,625 CE Generation, LLC 7.416 12/15/2018 4,783,830
3,000,000 Dynegy Holdings, Inc. 9.875 7/15/2010 3,408,750
1,830,000 Dynegy Holdings, Inc. 6.875 4/1/2011 1,770,525
5,500,000 Edison Mission Energy(c) 9.875 4/15/2011 6,503,750
4,150,000 El Paso Corporation(c) 7.000 5/15/2011 4,170,750
3,250,000 El Paso Production Holding Company 7.750 6/1/2013 3,388,125
1,300,000 Ferrellgas Partners, LP 8.750 6/15/2012 1,413,750
1,900,000 Ferrellgas Partners, LP 6.750 5/1/2014 1,966,500
602,263 Midland Funding Corporation II 11.750 7/23/2005 634,234
3,550,000 Midland Funding Corporation II 13.250 7/23/2006 3,989,518
1,650,000 Midwest Generation, LLC 8.750 5/1/2034 1,868,625
4,690,000 Mission Energy Holding Company 13.500 7/15/2008 5,944,575
3,150,000 NRG Energy, Inc. 8.000 12/15/2013 3,468,938
2,600,000 Orion Power Holdings, Inc. 12.000 5/1/2010 3,276,000
1,470,000 Pacific Energy Partners, LP/Pacific Energy Finance
Corporation 7.125 6/15/2014 1,594,950
1,500,000 Southern Natural Gas Company(c) 8.875 3/15/2010 1,689,375
2,150,000 Southern Star Central Corporation 8.500 8/1/2010 2,375,750
1,730,000 TNP Enterprises, Inc. 10.250 4/1/2010 1,859,750
6,500,000 Williams Companies, Inc.(c,e) 8.125 3/15/2012 7,637,500
- -------------------------------------------------------------------------------------------------------------------------
Total Utilities 72,067,695
- -------------------------------------------------------------------------------------------------------------------------
Total Long-Term Fixed Income (cost $564,279,649) 600,650,811
=========================================================================================================================
Shares Preferred Stock (1.6%) Value
- -------------------------------------------------------------------------------------------------------------------------
65,000 Chevy Chase Preferred Capital Corporation,
Convertible $3,827,850
29,500 PRIMEDIA, Inc. 2,729,000
2,600 Sovereign Real Estate Investment Corporation 3,900,000
20,000 Washington Mutual, Convertible 1,064,560
- -------------------------------------------------------------------------------------------------------------------------
Total Preferred Stock (cost $9,551,488) 11,521,410
=========================================================================================================================
Shares Common Stock (0.2%) Value
- -------------------------------------------------------------------------------------------------------------------------
3,000 Aavid Thermal Technology, Inc., Stock Warrants(k) $30,000
1,263 Arch Wireless, Inc.(c,k) 36,109
2,900 ASAT Finance, LLC, Stock Warrants(b,i,k) 0
12,522 Birch Telecom, Inc.(k,i) 200
3,100 HMP Equity Holdings Corporation(k) 930,000
2,550 Mueller Holdings, Inc., Stock Warrants(b,k) 153,000
3,000 Pliant Corporation, Stock Warrants(b,k) 30
19,360 Protection One, Inc., Stock Warrants(i,k) 194
3,000 RailAmerica, Inc., Stock Warrants(b,k) 141,000
4,500 TravelCenters of America, Inc., Stock Warrants(b,k) 22,500
13,500 TravelCenters of America, Inc., Stock Warrants(k) 67,500
36,330 TVMAX Holdings, Inc.(k) 63,578
44,590 XO Communications, Inc., Stock Warrants(k) 23,544
210 Metrocall Holdings, Inc.(c,k) 13,617
- -------------------------------------------------------------------------------------------------------------------------
Total Common Stock (cost $5,224,072) 1,481,272
=========================================================================================================================
Shares Collateral Held for Securities Loaned (13.3%) Interest Rate (l) Maturity Date Value
- -------------------------------------------------------------------------------------------------------------------------
97,061,084 Thrivent Financial Securities Lending Trust 1.820% N/A $97,061,084
- -------------------------------------------------------------------------------------------------------------------------
Total Collateral Held for Securities Loaned (cost
$97,061,084) 97,061,084
=========================================================================================================================
Shares Short-Term Investments (2.8%) Interest Rate (l) Maturity Date Value
- -------------------------------------------------------------------------------------------------------------------------
20,756,868 Thrivent Money Market Fund 0.820% N/A $20,756,868
- -------------------------------------------------------------------------------------------------------------------------
Total Short-Term Investments (at amortized cost) 20,756,868
- -------------------------------------------------------------------------------------------------------------------------
Total Investments (cost $696,873,161) $731,471,445
=========================================================================================================================
(a) The categories of investments are shown as a percentage of
total investments.
(b) Denotes restricted securities. Restricted securities
are investment securities which cannot be offered for
public sale without first being registered under the
Securities Act of 1933. These securities have been
valued from the date of acquisition through October
31, 2004, by obtaining quotations from brokers active
with these securities. The following table indicates
the acquisition date and cost of restricted
securities the Fund owned as of October 31, 2004.
Acquisition
Security Date Cost
- -----------------------------------------------------------------------------------------------------------------
ASAT Finance, LLC, Stock Warrants 10/20/1999 $64,123
CSAM Funding Corporation 5/10/2002 2,886,320
Katonah, Ltd. 2/7/2003 1,861,665
Mueller Holdings, Inc., Stock Warrants(m) 4/22/2004 122,872
Pliant Corporation, Stock Warrants 8/22/2000 99,578
RailAmerica, Inc., Stock Warrants 8/9/2000 117,000
TravelCenters of America, Inc., Stock Warrants 11/9/2000 156,200
Venture CDO 2002, Ltd. 3/13/2002 2,000,000
(c) All or a portion of the security is on loan as
discussed in item 2(L) of the Notes to Financial
Statements.
(d) Denotes variable rate obligations for which the
current yield and next scheduled reset date are
shown.
(e) Denotes step coupon bonds for which the current
interest rate and next scheduled reset date are
shown.
(f) Earmarked as collateral for long settling trades as
discussed in the notes to the financial statements.
(g) Denotes investments purchased on a when-issued basis.
(h) In bankruptcy.
(i) Security is fair valued as discussed in the notes to
the financial statements.
(j) In default.
(k) Non-income producing security.
(l) The interest rate shown reflects the yield.
(m) On April 22, 2004, the Fund held $1,700,000 par of
Mueller Holding Bonds valued at $497.15 per $1,000
bond.
The accompanying notes to the financial statements
are an integral part of this schedule.
Partner High Yield Fund
Schedule of Investments as of October 31, 2004(a)
Principal
Amount Long-Term Fixed Income (81.4%) Interest Rate Maturity Date Value
- -------------------------------------------------------------------------------------------------------------------------
Basic Materials (9.6%)
- -------------------------------------------------------------------------------------------------------------------------
$650,000 Abitibi-Consolidated, Inc.(b) 8.550% 8/1/2010 $711,750
350,000 Abitibi-Consolidated, Inc.(b) 8.850 8/1/2030 354,375
250,000 Ainsworth Lumber Company, Ltd.(c) 5.669 12/30/2004 252,500
170,000 Appleton Papers, Inc. 8.125 6/15/2011 178,925
210,000 Appleton Papers, Inc. 9.750 6/15/2014 219,450
580,000 Arch Western Finance, LLC 6.750 7/1/2013 616,250
75,000 ARCO Chemical Company 10.250 11/1/2010 84,000
390,000 BCP Caylux Holdings Luxembourg SCA 9.625 6/15/2014 436,800
310,000 Buckeye Technologies, Inc. 8.000 10/15/2010 316,200
310,000 Buckeye Technologies, Inc. 8.500 10/1/2013 342,550
660,000 Crystal US Holdings 3, LLC/Crystal US Sub 3
Corporation(b,d) Zero Coupon 10/1/2014 415,800
475,000 Equistar Chemicals, LP(b) 8.750 2/15/2009 522,500
200,000 Equistar Chemicals, LP(b) 10.625 5/1/2011 231,000
520,000 Georgia-Pacific Corporation 8.125 5/15/2011 607,100
520,000 Georgia-Pacific Corporation 9.375 2/1/2013 612,300
200,000 Georgia-Pacific Corporation(b) 8.000 1/15/2024 231,500
920,000 Huntsman International, LLC(b) 10.125 7/1/2009 966,000
400,000 Huntsman, LLC 11.500 7/15/2012 450,000
430,000 International Steel Group, Inc. 6.500 4/15/2014 460,100
700,000 ISP Holdings, Inc. 10.625 12/15/2009 773,500
600,000 Ispat Inland, ULC(b,c) 8.756 1/4/2005 658,500
300,000 Ispat Inland, ULC 9.750 4/1/2014 364,500
550,000 JohnsonDiversey, Inc. 9.625 5/15/2012 618,750
700,000 Kappa Beheer BV 10.625 7/15/2009 742,000
910,000 Lyondell Chemical Company(b) 10.500 6/1/2013 1,073,800
1,000,000 MDP Acquisitions plc 9.625 10/1/2012 1,140,000
700,000 Nalco Company 7.750 11/15/2011 757,750
600,000 NOVA Chemicals Corporation 6.500 1/15/2012 631,500
925,000 Peabody Energy Corporation(b) 6.875 3/15/2013 1,015,188
625,000 Stone Container Corporation 8.375 7/1/2012 690,625
- -------------------------------------------------------------------------------------------------------------------------
Total Basic Materials 16,475,213
=========================================================================================================================
Capital Goods (9.8%)
- -------------------------------------------------------------------------------------------------------------------------
730,000 Ainsworth Lumber Company, Ltd. 6.750 3/15/2014 700,800
800,000 Allied Waste North America, Inc. 8.500 12/1/2008 840,000
340,000 Allied Waste North America, Inc.(b) 7.875 4/15/2013 345,950
610,000 Amsted Industries, Inc. 10.250 10/15/2011 671,000
700,000 Armor Holdings, Inc. 8.250 8/15/2013 770,000
400,000 Building Materials Corporation 7.750 7/15/2005 406,000
600,000 Case New Holland, Inc. 9.250 8/1/2011 684,000
600,000 Crown Euro Holdings SA(b) 9.500 3/1/2011 684,000
400,000 Crown Euro Holdings SA 10.875 3/1/2013 475,000
520,000 Da-Lite Screen Company, Inc. 9.500 5/15/2011 551,200
600,000 Euramax International plc(e) 8.500 8/15/2011 639,000
610,000 Fastentech, Inc. 11.500 5/1/2011 689,300
380,000 Graham Packaging Company, Inc. 9.875 10/15/2014 402,800
80,000 IMCO Recycling Escrow, Inc.(f) 9.000 11/15/2014 82,000
425,000 Invensys plc(b) 9.875 3/15/2011 444,125
500,000 K & F Industries, Inc. 9.625 12/15/2010 580,000
760,000 Legrand SA 10.500 2/15/2013 889,200
460,000 Mueller Group, Inc. 10.000 5/1/2012 496,800
610,000 NationsRent, Inc. 9.500 10/15/2010 674,050
125,000 Owens-Brockway Glass Container, Inc. 7.750 5/15/2011 135,938
700,000 Owens-Brockway Glass Container, Inc.(b) 8.750 11/15/2012 789,250
350,000 Owens-Brockway Glass Container, Inc.(b) 8.250 5/15/2013 385,000
320,000 Owens-Illinois, Inc.(b) 7.500 5/15/2010 334,400
610,000 Plastipak Holdings, Inc. 10.750 9/1/2011 683,200
457,613 Rocky River Private Placement(g,h) 8.810 4/14/2007 491,312
200,000 SPX Corporation 6.250 6/15/2011 204,000
650,000 SPX Corporation(b) 7.500 1/1/2013 695,500
770,000 Texas Industries, Inc. 10.250 6/15/2011 885,500
600,000 Trinity Industries, Inc. 6.500 3/15/2014 597,000
610,000 United Rentals North America, Inc. 6.500 2/15/2012 603,900
- -------------------------------------------------------------------------------------------------------------------------
Total Capital Goods 16,830,225
=========================================================================================================================
Communications Services (20.3%)
- -------------------------------------------------------------------------------------------------------------------------
600,000 Adelphia Communications Corporation(i) 8.875 1/15/2007 633,000
420,000 Adelphia Communications Corporation(i) Zero Coupon 1/15/2008 260,400
120,000 Advertising Directory Solutions Holdings, Inc. 9.250 11/15/2012 125,250
250,000 AirGate PCS, Inc.(c) 5.850 1/15/2005 256,250
610,000 Alamosa Delaware, Inc.(b) 8.500 1/31/2012 646,600
1,025,000 American Media Operations, Inc. 10.250 5/1/2009 1,078,812
1,000,000 American Tower Escrow Corporation Zero Coupon 8/1/2008 752,500
340,000 AT&T Corporation(d) 8.050 11/15/2011 389,725
340,000 AT&T Corporation(d) 8.750 11/15/2031 393,550
520,000 Block Communications, Inc. 9.250 4/15/2009 556,400
1,350,000 Cablevision Systems Corporation(b) 8.000 4/15/2012 1,451,250
1,154,904 Calpoint Receivable Structured Trust 7.440 12/10/2006 1,160,678
1,010,000 Canwest Media, Inc. 10.625 5/15/2011 1,141,300
500,000 Cenveo Corporation 7.875 12/1/2013 482,500
300,000 CF Cable TV, Inc. 9.125 7/15/2007 311,776
520,000 Charter Communications Holdings II, LLC(b) 10.250 9/15/2010 540,800
730,000 Charter Communications Holdings, LLC(b) 8.750 11/15/2013 728,175
175,000 Charter Communications Operating, LLC 8.000 4/30/2012 176,969
275,000 Charter Communications Operating, LLC(b) 8.375 4/30/2014 277,406
800,000 Crown Castle International Corporation(b) 10.750 8/1/2011 886,000
600,000 CSC Holdings, Inc.(b) 7.625 4/1/2011 652,500
500,000 Dex Media West, LLC/Dex Media West Finance Company(b) 8.500 8/15/2010 570,000
679,000 Dex Media West, LLC/Dex Media West Finance Company 9.875 8/15/2013 802,918
610,000 Dex Media, Inc. 8.000 11/15/2013 652,700
950,000 DIRECTV Holdings, LLC 8.375 3/15/2013 1,083,000
150,000 EchoStar DBS Corporation 5.750 10/1/2008 153,375
150,000 Eircom Funding 8.250 8/15/2013 166,875
345,000 General Cable Corporation 9.500 11/15/2010 389,850
610,000 IPCS Escrow Company 11.500 5/1/2012 664,900
400,000 Mail-Well I Corporation 9.625 3/15/2012 444,000
1,000 MCI, Inc. 5.908 5/1/2007 998
601,000 MCI, Inc. 6.688 5/1/2009 592,736
610,000 Nebraska Book Company, Inc. 8.625 3/15/2012 617,625
250,000 New Skies Satellites NV(c,f) 7.294 5/1/2005 253,125
170,000 New Skies Satellites NV(f) 9.125 11/1/2012 173,825
35,714 Nextel Communications, Inc.(b) 9.500 2/1/2011 40,491
910,000 Nextel Communications, Inc. 6.875 10/31/2013 987,350
420,000 Nextel Communications, Inc. 5.950 3/15/2014 429,450
380,000 Nextel Communications, Inc. 7.375 8/1/2015 421,800
610,000 Nextel Partners, Inc. 8.125 7/1/2011 667,950
170,000 NTL Cable plc(b) 8.750 4/15/2014 187,425
600,000 NTL Cable plc(c) 7.070 1/18/2005 618,000
430,000 PanAmSat Corporation 9.000 8/15/2014 455,800
760,000 Paxson Communications Corporation(d) Zero Coupon 1/15/2009 661,200
100,000 PRIMEDIA, Inc.(c) 7.086 11/15/2004 103,750
650,000 PRIMEDIA, Inc.(b) 8.000 5/15/2013 651,625
700,000 Quebecor Media, Inc. 11.125 7/15/2011 810,250
420,000 Qwest Communications International, Inc.(c) 5.220 11/15/2004 408,450
430,000 Qwest Communications International, Inc. 7.250 2/15/2011 426,775
830,000 Qwest Communications International, Inc. 7.500 2/15/2014 800,950
420,000 Qwest Corporation 7.875 9/1/2011 447,300
1,250,000 Qwest Services Corporation 13.500 12/15/2010 1,484,375
250,000 Rainbow National Services, LLC 8.750 9/1/2012 267,500
590,000 Rainbow National Services, LLC 10.375 9/1/2014 643,100
300,000 Sheridan Group, Inc. 10.250 8/15/2011 325,500
740,000 Sinclair Broadcast Group, Inc. 8.000 3/15/2012 777,000
675,000 Spectrasite, Inc. 8.250 5/15/2010 730,688
450,000 Superior Essex Communications, LLC/Essex Group, Inc. 9.000 4/15/2012 456,750
295,000 UbiquiTel Operating Company 9.875 3/1/2011 319,338
390,000 US Unwired, Inc.(b) 10.000 6/15/2012 422,175
300,000 Vertis, Inc.(b) 10.875 6/15/2009 327,000
610,000 XM Satellite Radio, Inc.(c) 7.194 2/1/2005 622,962
817,000 Young Broadcasting, Inc.(b) 10.000 3/1/2011 857,850
- -------------------------------------------------------------------------------------------------------------------------
Total Communications Services 34,820,572
=========================================================================================================================
Consumer Cyclical (14.4%)
- -------------------------------------------------------------------------------------------------------------------------
700,000 Aearo Company I 8.250 4/15/2012 724,500
250,000 Allied Security Escrow Corporation 11.375 7/15/2011 262,500
450,000 AmeriGas Partners, LP(g,h) 8.830 4/19/2010 513,232
400,000 AmeriGas Partners, LP/AmeriGas Eagle Finance
Corporation 10.000 4/15/2006 434,000
650,000 ArvinMeritor, Inc. 6.625 6/15/2007 669,500
500,000 ArvinMeritor, Inc. 8.750 3/1/2012 557,500
800,000 Beazer Homes USA, Inc. 8.625 5/15/2011 876,000
910,000 Blockbuster, Inc. 9.000 9/1/2012 932,750
460,000 Boyd Gaming Corporation(b) 7.750 12/15/2012 507,150
670,000 Buffets, Inc. 11.250 7/15/2010 713,550
550,000 Choctaw Resort Development Enterprise 9.250 4/1/2009 589,875
500,000 Circus & Eldorado Joint Venture/Silver Legacy Capital
Corporation(b) 10.125 3/1/2012 542,500
830,000 D.R. Horton, Inc. 4.875 1/15/2010 825,850
1,000,000 D.R. Horton, Inc. 5.625 9/15/2014 991,250
170,000 Duane Reade, Inc. 9.750 8/1/2011 163,200
725,000 Dura Operating Corporation(b) 8.625 4/15/2012 747,656
350,000 Gaylord Entertainment Company 8.000 11/15/2013 377,125
570,000 Group 1 Automotive, Inc. 8.250 8/15/2013 602,775
240,000 HMH Properties, Inc. 7.875 8/1/2008 246,600
125,000 Host Marriott, LP 9.500 1/15/2007 138,750
50,000 Host Marriott, LP 9.250 10/1/2007 56,250
75,000 Host Marriott, LP 7.125 11/1/2013 81,000
500,000 Jean Coutu Group (PJC), Inc. 7.625 8/1/2012 528,750
340,000 Jean Coutu Group (PJC), Inc.(b) 8.500 8/1/2014 346,800
920,000 John Q. Hammons Hotels, LP 8.875 5/15/2012 1,058,000
610,000 La Quinta Properties, Inc. 8.875 3/15/2011 689,300
460,000 MGM MIRAGE 5.875 2/27/2014 453,675
840,000 NCL Corporation 10.625 7/15/2014 873,600
250,000 Norcraft Holdings, LP(d) Zero Coupon 9/1/2012 183,750
975,000 Park Place Entertainment Corporation(b) 7.875 3/15/2010 1,117,594
510,000 Penn National Gaming, Inc. 6.875 12/1/2011 535,500
770,000 Rent-Way, Inc. 11.875 6/15/2010 858,550
360,000 Seneca Gaming Corporation 7.250 5/1/2012 379,800
700,000 Station Casinos, Inc.(b) 6.000 4/1/2012 731,500
1,135,000 Tenneco Automotive, Inc. 10.250 7/15/2013 1,322,275
310,000 TravelCenters of America, Inc. 12.750 5/1/2009 359,600
1,088,000 TRW Automotive, Inc. 9.375 2/15/2013 1,251,200
350,000 Universal City Development Services 11.750 4/1/2010 407,750
600,000 VICORP Restaurants, Inc. 10.500 4/15/2011 600,000
600,000 Warnaco, Inc. 8.875 6/15/2013 670,500
700,000 Warner Music Group 7.375 4/15/2014 719,250
- -------------------------------------------------------------------------------------------------------------------------
Total Consumer Cyclical 24,640,907
=========================================================================================================================
Consumer Non-Cyclical (8.5%)
- -------------------------------------------------------------------------------------------------------------------------
590,000 Ardent Health Services, Inc. 10.000 8/15/2013 603,275
610,000 Armkel Finance, Inc. 9.500 8/15/2009 664,138
480,000 Beverly Enterprises, Inc. 7.875 6/15/2014 514,200
650,000 Commonwealth Brands, Inc. 10.625 9/1/2008 682,500
700,000 Delhaize America, Inc. 8.125 4/15/2011 806,488
300,000 Fisher Scientific International, Inc. 8.000 9/1/2013 338,250
310,000 Fisher Scientific International, Inc. 6.750 8/15/2014 331,700
900,000 Fresenius Medical Care Capital Trust II(b) 7.875 2/1/2008 969,750
175,000 Fresenius Medical Care Capital Trust IV(b) 7.875 6/15/2011 192,062
340,000 IASIS Healthcare, LLC (IASIS Capital Corporation) 8.750 6/15/2014 365,500
700,000 Ingles Markets, Inc.(b) 8.875 12/1/2011 756,000
855,000 Jostens Holding Corporation(d) Zero Coupon 12/1/2013 596,362
600,000 Michael Foods, Inc. 8.000 11/15/2013 633,000
350,000 NeighborCare, Inc.(e) 6.875 11/15/2013 365,750
211,000 PacifiCare Health Systems, Inc. 10.750 6/1/2009 243,178
575,000 Rayovac Corporation 8.500 10/1/2013 631,062
925,000 Roundy's, Inc. 8.875 6/15/2012 1,005,938
600,000 Smithfield Foods, Inc. 8.000 10/15/2009 666,000
340,000 Stater Brothers Holdings, Inc. 8.125 6/15/2012 360,400
1,245,000 Tenet Healthcare Corporation(b) 7.375 2/1/2013 1,176,525
400,000 Tenet Healthcare Corporation 9.875 7/1/2014 419,000
300,000 Triad Hospitals, Inc. 7.000 5/15/2012 321,000
380,000 US Oncology, Inc. 9.000 8/15/2012 410,400
800,000 Ventas Realty, LP/Ventas Capital Corporation 8.750 5/1/2009 904,000
170,000 Ventas Realty, LP/Ventas Capital Corporation 6.625 10/15/2014 173,400
400,000 VWR International, Inc. 8.000 4/15/2014 429,000
- -------------------------------------------------------------------------------------------------------------------------
Total Consumer Non-Cyclical 14,558,878
=========================================================================================================================
Energy (5.9%)
- -------------------------------------------------------------------------------------------------------------------------
920,000 Chesapeake Energy Corporation 9.000 8/15/2012 1,060,300
250,000 CITGO Petroleum Corporation(e) 6.000 10/15/2011 254,375
800,000 Dresser, Inc. 9.375 4/15/2011 888,000
380,000 Dresser-Rand Group, Inc. 7.375 11/1/2014 398,050
725,000 EXCO Resources, Inc. 7.250 1/15/2011 784,812
1,050,000 Hanover Equipment Trust(d) 8.500 9/1/2008 1,136,625
580,000 Harvest Operations Corporation 7.875 10/15/2011 601,025
670,000 Petroleum Geo-Services ASA 10.000 11/5/2010 763,800
1,190,000 Premcor Refining Group, Inc. 6.750 5/1/2014 1,255,450
570,000 Pride International, Inc. 7.375 7/15/2014 641,250
600,000 SESI, LLC 8.875 5/15/2011 657,000
450,000 Vintage Petroleum, Inc. 7.875 5/15/2011 486,000
350,000 Vintage Petroleum, Inc. 8.250 5/1/2012 392,000
610,000 Western Oil Sands, Inc. 8.375 5/1/2012 711,412
- -------------------------------------------------------------------------------------------------------------------------
Total Energy 10,030,099
=========================================================================================================================
Financials (1.3%)
- -------------------------------------------------------------------------------------------------------------------------
591,000 American Financial Group, Inc., Convertible(d) 1.486 6/2/2033 241,571
477,400 FINOVA Group, Inc. 7.500 11/15/2009 217,217
590,000 Refco Finance Holdings, LLC 9.000 8/1/2012 637,200
875,000 Riggs Capital Trust II 8.875 3/15/2027 949,375
250,000 Standard Aero Holdings, Inc. 8.250 9/1/2014 264,375
- -------------------------------------------------------------------------------------------------------------------------
Total Financials 2,309,738
=========================================================================================================================
Technology (1.3%)
- -------------------------------------------------------------------------------------------------------------------------
210,000 Celestica, Inc. 7.875 7/1/2011 224,700
330,000 Freescale Semiconductor, Inc. 6.875 7/15/2011 349,800
330,000 Freescale Semiconductor, Inc. 7.125 7/15/2014 349,800
600,000 Sanmina-SCI Corporation 10.375 1/15/2010 703,500
600,000 Xerox Corporation 7.625 6/15/2013 660,000
- -------------------------------------------------------------------------------------------------------------------------
Total Technology 2,287,800
=========================================================================================================================
Transportation (1.1%)
- -------------------------------------------------------------------------------------------------------------------------
590,231 Continental Airlines, Inc. 6.545 2/2/2019 571,752
690,000 Horizon Lines, LLC 9.000 11/1/2012 746,062
600,000 United Air Lines, Inc. (b,i) 6.602 9/1/2013 518,099
- -------------------------------------------------------------------------------------------------------------------------
Total Transportation 1,835,913
=========================================================================================================================
Utilities (9.2%)
- -------------------------------------------------------------------------------------------------------------------------
475,000 AES Corporation(b) 8.875 2/15/2011 546,844
1,400,000 AES Corporation 8.750 5/15/2013 1,617,000
560,000 Allegheny Energy Supply Company, LLC(b) 8.250 4/15/2012 631,400
629,090 CE Generation, LLC 7.416 12/15/2018 661,038
528,120 Cedar Brakes II, LLC 9.875 9/1/2013 599,416
800,000 CMS Energy Corporation 7.000 1/15/2005 802,987
200,000 Coastal Corporation 9.625 5/15/2012 217,500
710,000 Dynegy Holdings, Inc. 9.875 7/15/2010 806,738
420,000 Dynegy Holdings, Inc. 6.875 4/1/2011 406,350
1,400,000 Edison Mission Energy 9.875 4/15/2011 1,655,499
400,000 El Paso Corporation(b) 7.875 6/15/2012 417,000
1,005,000 El Paso Corporation(b) 7.375 12/15/2012 1,015,050
75,000 El Paso Natural Gas Corporation 7.625 8/1/2010 81,094
775,000 Ferrellgas Partners, LP 8.750 6/15/2012 842,812
250,000 Ferrellgas Partners, LP 6.750 5/1/2014 258,750
150,000 Ipalco Enterprises, Inc.(d) 8.375 11/14/2008 167,625
500,000 Ipalco Enterprises, Inc.(d) 8.625 11/14/2011 565,000
500,000 Midwest Generation, LLC 8.750 5/1/2034 566,250
380,000 Mission Energy Holding Company 13.500 7/15/2008 481,650
1,275,000 NRG Energy, Inc. 8.000 12/15/2013 1,404,094
170,000 Pacific Energy Partners, LP/Pacific Energy Finance
Corporation 7.125 6/15/2014 184,450
550,000 Sonat, Inc.(b) 7.625 7/15/2011 562,375
610,000 Williams Companies, Inc. 7.625 7/15/2019 686,250
475,000 Williams Companies, Inc.(b) 7.875 9/1/2021 539,125
- -------------------------------------------------------------------------------------------------------------------------
Total Utilities 15,716,297
- -------------------------------------------------------------------------------------------------------------------------
Total Long-Term Fixed Income (cost $132,078,179) 139,505,642
=========================================================================================================================
Shares Preferred Stock (0.8%) Value
- -------------------------------------------------------------------------------------------------------------------------
918 Sovereign Real Estate Investment Corporation $1,377,000
- -------------------------------------------------------------------------------------------------------------------------
Total Preferred Stock (cost $1,354,050) 1,377,000
=========================================================================================================================
Shares Common Stock(j) Value
- -------------------------------------------------------------------------------------------------------------------------
1 Abraxas Petroleum Corporation (k) $3
750 Arcadia Financial, Ltd., Stock Warrants (h,k) 8
735 ICG Communications, Inc., Stock Rights (k) 7
3 Orion Refining Corporation (g,h,k) 0
500 Unifi Communications, Inc., Stock Warrants (g,h,k) 5
- -------------------------------------------------------------------------------------------------------------------------
Total Common Stock (cost $27,847) 23
=========================================================================================================================
Shares Collateral Held for Securities Loaned (14.4%) Interest Rate(l) Maturity Date Value
- -------------------------------------------------------------------------------------------------------------------------
24,751,163 Thrivent Financial Securities Lending Trust 1.820% N/A $24,751,163
- -------------------------------------------------------------------------------------------------------------------------
Total Collateral Held for Securities Loaned (cost
$24,751,163) 24,751,163
=========================================================================================================================
Shares Short-Term Investments (3.4%) Interest Rate(l) Maturity Date Value
- -------------------------------------------------------------------------------------------------------------------------
5,830,770 Thrivent Money Market Fund 0.820% N/A $5,830,770
- -------------------------------------------------------------------------------------------------------------------------
Total Short-Term Investments (at amortized cost) 5,830,770
- -------------------------------------------------------------------------------------------------------------------------
Total Investments (cost $164,042,009) $171,464,598
=========================================================================================================================
(a) The categories of investments are shown as a percentage of
total investments.
(b) All or a portion of the security is on loan as
discussed in item 2(L) of the Notes to Financial
Statements.
(c) Denotes variable rate obligations for which the
current yield and next scheduled reset date are
shown.
(d) Denotes step coupon bonds for which the current
interest rate and next scheduled reset date are
shown.
(e) Earmarked as collateral for long settling trades as
discussed in the notes to the financial statements.
(f) Denotes investments purchased on a when-issued basis.
(g) Denotes restricted securities. Restricted securities
are investment securities which cannot be offered for
public sale without first being registered under the
Securities Act of 1933. These securities have been
valued from the date of acquisition through October
31, 2004, by obtaining quotations from brokers active
with these securities. The following table indicates
the acquisition date and cost of restricted
securities the Fund owned as of October 31, 2004.
Acquisition
Security Date Cost
- -------------------------------------------------------------------------------------------
Amerigas Partners, LP 4/17/2002 $463,181
Orion Refining Corporation 8/3/2001 0
Rocky River Private Placement 11/22/2000 448,747
Unifi Communications, Inc., Stock Warrants 2/14/1997 6,525
(h) Security is fair valued as discussed in the notes to
the financial statements.
(i) In bankruptcy.
(j) The market value of the denoted categories of
investments represents less than 0.1% of the total
investments of the Thrivent Partner High Yield Fund.
(k) Non-income producing security.
(l) The interest rate shown reflects the yield.
The accompanying notes to the financial statements
are an integral part of this schedule.
Municipal Bond Fund
Schedule of Investments as of October 31, 2004(a)
Principal
Amount Long-Term Fixed Income (98.9%) Interest Rate Maturity Date Value
- -------------------------------------------------------------------------------------------------------------------------
Alabama (0.1%)
- -------------------------------------------------------------------------------------------------------------------------
$1,000,000 Alabama 21st Century Authority Tobacco Settlement
Revenue Bonds 5.750% 12/1/2020 $1,004,180
- -------------------------------------------------------------------------------------------------------------------------
Total Alabama 1,004,180
=========================================================================================================================
Alaska (0.5%)
- -------------------------------------------------------------------------------------------------------------------------
3,155,000 Alaska Energy Authority Power Revenue Refunding Bonds
(Bradley Lake) (Series 5) (FSA Insured) 5.000 7/1/2021 3,338,211
3,370,000 Northern Tobacco Securitization Corporation, Alaska
Tobacco Settlement Revenue Bonds 6.200 6/1/2022 3,365,585
- -------------------------------------------------------------------------------------------------------------------------
Total Alaska 6,703,796
=========================================================================================================================
Arizona (1.0%)
- -------------------------------------------------------------------------------------------------------------------------
750,000 Arizona Health Facilities Authority Revenue Bonds
(Arizona Healthcare Pooled Financing) (FGIC Insured) 4.000 6/1/2005 759,128
780,000 Arizona Health Facilities Authority Revenue Bonds
(Arizona Healthcare Pooled Financing) (FGIC Insured) 4.250 6/1/2006 806,130
815,000 Arizona Health Facilities Authority Revenue Bonds
(Arizona Healthcare Pooled Financing) (FGIC Insured) 4.500 6/1/2007 864,666
975,000 Arizona Health Facilities Authority Revenue Bonds
(Arizona Healthcare Pooled Financing) (FGIC Insured) 5.000 6/1/2011 1,076,507
1,020,000 Arizona Health Facilities Authority Revenue Bonds
(Arizona Healthcare Pooled Financing) (FGIC Insured) 5.000 6/1/2012 1,129,793
500,000 Glendale, Arizona Industrial Development Authority
(Midwestern University) (Series A) 5.750 5/15/2021 550,070
2,000,000 Phoenix, Arizona Industrial Development Authority
Government Office Lease Revenue Bonds (Capital Mall
Project) (AMBAC Insured) 5.375 9/15/2020 2,171,520
125,000 Phoenix, Arizona Industrial Development Authority
Single Family Mortgage Revenue Bonds (Series 1A)
(GNMA/FNMA/FHLMC Insured) 5.875 6/1/2016 126,254
1,285,000 Pima County, Arizona Industrial Development Authority
Multifamily Bonds (La Hacienda Project) (GNMA/FHA
Insured) 7.000 12/20/2031 1,397,180
1,700,000 Pima County, Arizona Unified School District #16
Catalina Foothills (Series A) (MBIA Insured) 8.900 7/1/2005 1,777,384
1,000,000 Pinal County, Arizona Unified School District #43
Apache Junction (Series A) (FGIC Insured)(b) 5.800 7/1/2011 1,072,450
500,000 Yavapai County, Arizona Hospital Revenue (Yavapai
Regional Medical Center) (Series A) 6.000 8/1/2033 525,355
- -------------------------------------------------------------------------------------------------------------------------
Total Arizona 12,256,437
=========================================================================================================================
Arkansas (0.7%)
- -------------------------------------------------------------------------------------------------------------------------
650,000 Arkansas Housing Development Agency Single Family
Mortgage Revenue Bonds (FHA Insured)(b) 8.375 7/1/2010 766,350
2,400,000 Arkansas State Community Water System Public Water
Authority Revenue (Series B) (MBIA Insured) 5.000 10/1/2023 2,528,328
432,500 Arkansas State Development Finance Authority Single
Family Mortgage Revenue Bonds (Series F) (GNMA
Insured) (Subject to 'AMT') 7.450 1/1/2027 439,584
3,000,000 Jonesboro, Arkansas Residential Housing and Health
Care Facilities Revenue Bonds (St. Bernards Regional
Medical Center) (AMBAC Insured) 5.800 7/1/2011 3,218,070
875,000 Pope County, Arkansas Pollution Control Revenue Bonds
(Arkansas Power and Light Company Project) (FSA
Insured) 6.300 12/1/2016 895,860
1,000,000 University of Arkansas Revenue Bond (MBIA Insured)
(Series B)(c) 5.000 11/1/2034 1,028,890
- -------------------------------------------------------------------------------------------------------------------------
Total Arkansas 8,877,082
=========================================================================================================================
California (10.1%)
- -------------------------------------------------------------------------------------------------------------------------
3,450,000 Anaheim, California Public Financing Authority Lease
Revenue Bonds (Public Improvements Project)
(Series A) (FSA Insured) 6.000 9/1/2024 4,150,384
5,000,000 California Infrastructure & Economic Bank
Revenue (Bay Area Toll Bridges) (1st Lien-A)(d) 5.000 7/1/2025 5,229,600
355,000 California Rural Home Mortgage Finance Authority
Single Family Mortgage Revenue Bonds (Series D)
(GNMA/FNMA Insured)(Subject to 'AMT') 7.100 6/1/2031 372,097
5,000,000 California State Department of Water Resources Supply
Revenue Bonds (Series A) (AMBAC Insured) 5.375 5/1/2018 5,585,950
5,000,000 California State General Obligation Bonds 5.250 12/1/2019 5,375,350
10,000,000 California State General Obligation Bonds 5.000 2/1/2020 10,507,600
2,000,000 California State General Obligation Bonds (AMBAC
Insured) 6.300 9/1/2010 2,359,600
3,000,000 California State Public Works Board Lease
Revenue Bonds (Department of Corrections State
Prison) 7.400 9/1/2010 3,650,430
4,000,000 California State Public Works Board Lease
Revenue Bonds (UCLA Replacement Hospital) (Series A)
(FSA Insured) 5.375 10/1/2015 4,505,400
1,500,000 California State Revenue General Obligation Bonds 7.000 8/1/2006 1,624,920
2,000,000 California State Revenue General Obligation Bonds 5.250 11/1/2021 2,170,620
10,000,000 California State Revenue General Obligation Bonds 5.250 4/1/2029 10,479,100
300,000 California State Unrefunded General Obligation Bonds
(MBIA Insured) 6.000 8/1/2016 309,075
2,000,000 California State Veterans General Obligation
Revenue Bonds (FGIC) (Series AT) 9.500 2/1/2010 2,594,480
600,000 Central Valley Financing Authority Cogeneration
Project Revenue Bonds (Carson Ice-Gen Project) 6.000 7/1/2009 608,322
4,030,000 Contra Costa County, California Home Mortgage
Revenue Bonds (GNMA Insured) (Escrowed to
Maturity)(b) 7.500 5/1/2014 5,376,665
1,335,000 Foothill/Eastern Transportation Corridor Agency,
California Toll Road Revenue Bonds (Series A)(b) Zero Coupon 1/1/2005 1,331,035
5,000,000 Foothill/Eastern Transportation Corridor Agency,
California Toll Road Revenue Bonds (Series A)(b) Zero Coupon 1/1/2009 5,749,350
5,000,000 Foothill/Eastern Transportation Corridor Agency,
California Toll Road Revenue Bonds (Series A)(b) Zero Coupon 1/1/2011 6,013,150
6,000,000 Foothill/Eastern Transportation Corridor Agency,
California Toll Road Revenue Bonds (Series A)(b) Zero Coupon 1/1/2013 7,229,580
7,145,000 Foothill/Eastern Transportation Corridor Agency,
California Toll Road Revenue Bonds (Series A)(b) Zero Coupon 1/1/2014 8,609,225
420,000 Golden West Schools Financing Authority, California
Revenue Bonds (Series A) (MBIA Insured) 5.800 2/1/2022 507,100
740,000 Los Angeles, California Department of Water and Power
Electric Plant Revenue Bonds(b) 6.100 2/15/2017 756,717
260,000 Los Angeles, California Department of Water and Power
Electric Plant Unrefunded Revenue Bonds(b) 6.100 2/15/2017 265,873
2,000,000 Los Angeles, California Unified School District
Revenue Bonds (MBIA-Series A) 5.000 7/1/2021 2,141,060
2,385,000 Orange County, California Recovery Certificates Of
Participation Bonds (Series A)(MBIA Insured) 5.800 7/1/2016 2,592,042
5,000,000 Pittsburg, California Redevelopment Agency Tax
Allocation Bonds (Los Medanos Community Development
Project) (AMBAC Insured) Zero Coupon 8/1/2024 1,811,800
4,200,000 Pomona, California Single Family Mortgage
Revenue Bonds (Series A) (GNMA/FNMA Insured)(b) 7.600 5/1/2023 5,592,132
500,000 Sacramento, California Cogeneration Authority Bonds
(Procter and Gamble Project)(b) 6.375 7/1/2010 525,280
500,000 Sacramento, California Cogeneration Authority
Revenue Bonds (Procter and Gamble Project) 6.375 7/1/2010 523,055
1,500,000 San Bernardino County, California Single Family
Mortgage Revenue Bonds (Series A) (GNMA Insured)(b) 7.500 5/1/2023 1,990,485
1,500,000 San Francisco, California Bay Area Rapid Transit
District Sales Tax Revenue Bonds (AMBAC Insured) 6.750 7/1/2010 1,796,685
15,000,000 San Joaquin Hills Transportation Corridor Agency,
California Toll Road Revenue Bonds(b,e) 7.650 1/1/2013 17,844,150
- -------------------------------------------------------------------------------------------------------------------------
Total California 130,178,312
=========================================================================================================================
Colorado (4.7%)
- -------------------------------------------------------------------------------------------------------------------------
2,000,000 Colorado Educational and Cultural Facilities
Authority Revenue Bonds (Bromley East Project)
(Series A) 7.250 9/15/2030 2,017,320
570,000 Colorado Educational and Cultural Facilities
Authority Revenue Bonds (Cherry Creek Academy
Facility, Inc.) 6.000 4/1/2021 578,841
1,280,000 Colorado Educational and Cultural Facilities
Authority Revenue Bonds (Cherry Creek Academy
Facility, Inc.) 6.000 4/1/2030 1,297,792
2,825,000 Colorado Educational and Cultural Facilities
Authority Revenue Bonds (Classical Academy)(b) 7.250 12/1/2030 3,577,156
835,000 Colorado Educational and Cultural Facilities
Authority Revenue Bonds (Pinnacle Charter School
Project)(b) 5.250 12/1/2011 903,019
1,000,000 Colorado Educational and Cultural Facilities
Authority Revenue Bonds (University Lab School
Project)(b) 5.750 6/1/2016 1,162,380
750,000 Colorado Educational and Cultural Facilities
Authority Revenue Bonds (University Lab School
Project)(b) 6.125 6/1/2021 888,458
6,250,000 Colorado Educational and Cultural Facilities
Authority Revenue Bonds (University Lab School
Project)(b,d) 6.250 6/1/2031 7,450,062
2,000,000 Colorado Health Facilities Authority Revenue Bond
(Evangelical Lutheran Good Samaritan) (Series B) 3.750 6/1/2034 2,015,060
1,000,000 Colorado Health Facilities Authority Revenue Bonds
(Evangelical Lutheran Good Samaritan) 6.250 12/1/2010 1,143,390
5,000,000 Colorado Health Facilities Authority Revenue Bonds
(Evangelical Lutheran Good Samaritan) 6.800 12/1/2020 5,684,000
1,000,000 Colorado Health Facilities Authority Revenue Bonds
(Parkview Medical Center Project) 6.500 9/1/2020 1,110,160
500,000 Colorado Health Facilities Authority Revenue Bonds
(Parkview Medical Center Project) 6.600 9/1/2025 551,205
270,000 Colorado Housing and Finance Authority Revenue Bonds
(Single Family Program) (Series A-2) (Subject to
'AMT') 7.450 10/1/2016 271,682
170,000 Colorado Housing and Finance Authority Revenue Bonds
(Single Family Program) (Series A-3) 7.250 4/1/2010 172,268
1,140,000 Colorado Housing and Finance Authority Revenue Bonds
(Single Family Program) (Series B-3)(f) 6.700 8/1/2017 1,204,718
165,000 Colorado Housing and Finance Authority Revenue Bonds
(Single Family Program) (Series C-3) (FHA/VA Insured) 7.150 10/1/2030 166,421
115,000 Colorado Housing and Finance Authority Single Family
Revenue Bonds (Series A-3) 7.000 11/1/2016 117,882
1,195,000 Colorado Housing and Finance Authority Single Family
Revenue Bonds (Series D-2) (Subject to 'AMT') 6.350 11/1/2029 1,236,670
70,000 Colorado Water Resources and Power Development
Authority Clean Water Revenue Unrefunded Bonds
(Series A) (FSA Insured) 6.250 9/1/2013 70,242
3,525,000 Colorado Water Resources and Power Development
Authority Small Water Resources Revenue Bonds
(Series A) (FGIC Insured) 5.250 11/1/2021 3,857,408
6,000,000 Denver, Colorado City & County Bonds(d) 5.600 10/1/2029 6,605,220
200,000 Denver, Colorado Health and Hospital Authority
Healthcare Revenue Bonds (Series A) 5.250 12/1/2010 208,832
200,000 Denver, Colorado Health and Hospital Authority 5.250 12/1/2011 207,032
2,000,000 Denver, Colorado Health and Hospital Authority
Healthcare Revenue Bonds (Series A) (ACA/ CBI
Insured) 6.250 12/1/2016 2,177,200
150,000 Douglas County, Colorado School District # RE-1
Douglas and Elbert Counties General Obligation Bonds
(Series A) (MBIA Insured) 6.500 12/15/2016 152,306
1,890,000 Goldsmith, Colorado Metropolitan District Capital
Appreciation General Obligation Bonds (MBIA Insured) Zero Coupon 6/1/2007 1,774,105
1,890,000 Goldsmith, Colorado Metropolitan District Capital
Appreciation General Obligation Bonds (MBIA Insured) Zero Coupon 6/1/2008 1,712,831
1,885,000 Goldsmith, Colorado Metropolitan District Capital
Appreciation General Obligation Bonds (MBIA Insured) Zero Coupon 12/1/2008 1,677,198
3,000,000 Larimer County, Colorado School District # R 1 Poudre
Valley (MBIA/IBC Insured) 7.000 12/15/2016 3,907,020
4,000,000 Northwest Parkway Public Highway Authority, Colorado
Capital Appreciation Revenue Bonds (Series C) (AMBAC
Insured)(e) Zero Coupon 6/15/2021 3,200,000
3,500,000 Regional Transportation District, Colorado, Sales Tax
Revenue Bonds (Series B) (AMBAC Insured) 5.500 11/1/2021 3,928,190
- -------------------------------------------------------------------------------------------------------------------------
Total Colorado 61,026,068
=========================================================================================================================
Connecticut (0.5%)
- -------------------------------------------------------------------------------------------------------------------------
2,000,000 Connecticut State Health and Educational Facilities
Authority Revenue (Yale University) (Series W) 5.125 7/1/2027 2,061,280
4,000,000 Connecticut State Special Tax Obligation
Revenue Bonds (Transportation Infrastructure)
(Series B) 6.500 10/1/2010 4,752,800
- -------------------------------------------------------------------------------------------------------------------------
Total Connecticut 6,814,080
=========================================================================================================================
District of Columbia (0.6%)
- -------------------------------------------------------------------------------------------------------------------------
7,845,000 District of Columbia Tobacco Settlement Financing
Corporation Revenue Bonds 6.250 5/15/2024 7,577,642
- -------------------------------------------------------------------------------------------------------------------------
Total District of Columbia 7,577,642
=========================================================================================================================
Florida (1.6%)
- -------------------------------------------------------------------------------------------------------------------------
797,000 Brevard County, Florida Housing Finance Authority
Homeowner Mortgage Revenue Bonds (Series B) (GNMA
Insured) 6.500 9/1/2022 808,580
1,965,000 Clay County, Florida Housing Finance Authority Single
Family Mortgage Revenue Bonds (GNMA/FNMA Insured)
(Subject to 'AMT') 6.000 4/1/2029 2,029,707
750,000 Florida Intergovernmental Finance Commission Capital
Revenue Bonds(b) 5.125 5/1/2021 845,295
620,000 Florida State Board of Education Capital Outlay
Unrefunded General Obligation Bonds (MBIA Insured) 9.125 6/1/2014 893,997
1,520,000 Florida State Revenue Bonds (Jacksonville
Transportation) 5.000 7/1/2019 1,604,770
2,000,000 Highlands County, Florida Health Facilities Authority
Revenue Bonds (Adventist Health System/Sunbelt, Inc.)
(Series A) 6.000 11/15/2031 2,152,380
1,500,000 Jacksonville, Florida Health Facilities Authority
Revenue Bonds (Series C)(b) 5.750 8/15/2015 1,720,365
1,145,000 Leon County, Florida Educational Facilities Authority
Certificates of Participation(b) 8.500 9/1/2017 1,674,024
305,000 Manatee County, Florida Housing Finance Authority
Single Family Mortgage Revenue Bonds (Series 1)
(GNMA/FNMA/ FHLMC Insured) (Subject to 'AMT') 7.200 5/1/2028 311,121
1,320,000 Orange County, Florida Health Facilities Authority
Revenue Bonds (Adventist Health Systems) 5.750 11/15/2008 1,466,401
1,000,000 Orange County, Florida Health Facilities Authority
Revenue Bonds (Adventist Health Systems) 5.850 11/15/2010 1,134,280
2,000,000 Orange County, Florida Health Facilities Authority
Revenue Bonds (Orlando Regional Healthcare System)
(Series A) (MBIA Insured) 6.250 10/1/2018 2,461,880
1,195,000 Orange County, Florida Housing Finance Authority
Homeowner Revenue Bonds (Series B-1) (GNMA/FNMA
Insured) (Subject to 'AMT') 5.900 9/1/2028 1,240,661
600,000 Palm Beach County, Florida Housing Finance Authority
Single Family Homeowner Revenue Bonds (Series A-1)
(GNMA/FNMA Insured) (Subject to 'AMT') 5.900 10/1/2027 622,926
500,000 Pinellas County, Florida Housing Finance Authority
Single Family Housing Revenue Bonds (Multi-County
Program) (Series B-1) (Subject to 'AMT) 7.250 9/1/2029 502,710
655,000 Pinellas County, Florida Housing Finance Authority
Single Family Housing Revenue Bonds (Series A-1)
(GNMA/FNMA Insured) (Subject to 'AMT') 7.200 9/1/2029 697,536
- -------------------------------------------------------------------------------------------------------------------------
Total Florida 20,166,633
=========================================================================================================================
Georgia (3.1%)
- -------------------------------------------------------------------------------------------------------------------------
6,900,000 Bibb County, Georgia Authority Environmental
Improvement Revenue Refunding Bonds (Temple-Inland
Forest Products) 4.850 12/1/2009 7,228,302
2,000,000 Brunswick, Georgia Water and Sewer Revenue Refunding
Bonds (MBIA Insured) 6.000 10/1/2011 2,276,420
1,500,000 Brunswick, Georgia Water and Sewer Revenue Refunding
Bonds (MBIA Insured) 6.100 10/1/2019 1,878,255
1,560,000 Chatham County, Georgia Hospital Authority (Memorial
Health University Medical Center) 5.750 1/1/2029 1,661,977
1,000,000 Chatham County, Georgia Hospital Authority
Revenue Bonds (Memorial Health University Medical
Center) 6.125 1/1/2024 1,088,500
5,000,000 Cherokee County, Georgia Water and Sewer Authority
Revenue Refunding Bonds (MBIA Insured) 5.500 8/1/2018 5,902,850
1,000,000 Georgia State General Obligation Bonds (Series B) 6.300 3/1/2009 1,153,660
1,000,000 Georgia State General Obligation Bonds (Series B) 6.300 3/1/2010 1,172,440
2,000,000 Georgia State General Obligation Bonds (Series B) 5.650 3/1/2012 2,323,720
3,500,000 Georgia State General Obligation Bonds (Series D) 5.000 8/1/2012 3,932,250
1,000,000 McDuffie County, Georgia Development Authority Waste
Disposal Revenue Adjusted (Temple-Inland Forest
Products) 6.950 12/1/2023 1,078,050
2,500,000 Milledgeville-Baldwin County, Georgia Development
Authority Revenue Bonds 5.500 9/1/2024 2,530,175
5,000,000 Rockdale County, Georgia Water and Sewer Authority
Revenue Bonds (Series A) (MBIA Insured) 5.500 7/1/2025 5,436,950
1,500,000 Savannah, Georgia Economic Development Authority
Student Housing Revenue Bonds (State University
Project) (Series A)(ACA Insured) 6.750 11/15/2020 1,664,760
- -------------------------------------------------------------------------------------------------------------------------
Total Georgia 39,328,309
=========================================================================================================================
Hawaii (1.8%)
- -------------------------------------------------------------------------------------------------------------------------
7,330,000 Hawaii State Highway Revenue Bonds 5.500 7/1/2018 8,621,693
1,000,000 Honolulu, Hawaii City & County (Series A) (FSA
Insured)(b) 5.250 9/1/2024 1,140,590
10,000,000 Honolulu, Hawaii City & County (Series A) (FSA
Insured) 5.250 3/1/2027 10,602,800
2,555,000 Honolulu, Hawaii City & County Revenue Bonds
(Unrefunded Balance) (Series A) (FGIC Insured) 6.250 4/1/2014 3,099,522
- -------------------------------------------------------------------------------------------------------------------------
Total Hawaii 23,464,605
=========================================================================================================================
Idaho (0.4%)
- -------------------------------------------------------------------------------------------------------------------------
$1,000,000 Idaho Falls, Idaho General Obligation Bonds (FGIC
Insured) Zero Coupon 4/1/2007 $944,330
3,115,000 Idaho Falls, Idaho General Obligation Bonds (FGIC
Insured) Zero Coupon 4/1/2010 2,591,649
2,000,000 Idaho Falls, Idaho General Obligation Bonds (FGIC
Insured) Zero Coupon 4/1/2011 1,593,580
- -------------------------------------------------------------------------------------------------------------------------
Total Idaho 5,129,559
=========================================================================================================================
Illinois (8.8%)
- -------------------------------------------------------------------------------------------------------------------------
1,000,000 Alton, Illinois Hospital Facilities Revenue and
Refunding Bonds (St. Anthony's Health Center) 6.000 9/1/2014 1,010,090
2,000,000 Broadview, Illinois Tax Increment Tax Allocation
Revenue Bonds 5.250 7/1/2012 2,086,400
1,000,000 Broadview, Illinois Tax Increment Tax Allocation
Revenue Bonds 5.375 7/1/2015 1,034,710
10,000,000 Chicago, Illinois Capital Appreciation City Colleges
General Obligation Bonds (FGIC Insured) Zero Coupon 1/1/2024 3,833,200
3,000,000 Chicago, Illinois Lakefront Millennium Project
General Obligation Bonds (MBIA Insured) Zero Coupon 1/1/2029 2,907,690
120,000 Chicago, Illinois Single Family Mortgage
Revenue Bonds (Series A) (GNMA/FNMA/FHLMC Insured)
(Subject to 'AMT') 7.250 9/1/2028 120,673
795,000 Chicago, Illinois Single Family Mortgage
Revenue Bonds (Series C) (GNMA/FNMA/FHLMC Insured)
(Subject to 'AMT') 7.050 10/1/2030 808,658
265,000 Chicago, Illinois Single Family Mortgage
Revenue Bonds (Series C) (GNMA/FNMA/FHLMC Insured)
(Subject to 'AMT') 7.000 3/1/2032 273,499
7,200,000 Chicago, Illinois Tax Increment Capital Appreciation
Tax Allocation Bonds (Series A) (ACA Insured) Zero Coupon 11/15/2014 4,447,008
1,000,000 Cook County, Illinois Community Consolidated School
District #15 Palatine Capital Appreciation General
Obligation Bonds (FGIC Insured) Zero Coupon 12/1/2014 658,480
2,500,000 Cook County, Illinois General Obligation Bonds
(Series A) (MBIA Insured) 6.250 11/15/2011 2,977,150
1,250,000 Cook County, Illinois School District #99 Cicero
General Obligation Bonds (FGIC Insured) 8.500 12/1/2011 1,662,212
1,565,000 Cook County, Illinois School District #99 Cicero
General Obligation Bonds (FGIC Insured) 8.500 12/1/2014 2,196,587
1,815,000 Cook County, Illinois School District #99 Cicero
General Obligation Bonds (FGIC Insured) 8.500 12/1/2016 2,639,409
1,000,000 DuPage County, Illinois General Obligation Bonds
(Stormwater Project) 5.600 1/1/2021 1,169,120
1,710,000 DuPage, Cook & Will Counties, Illinois Community
College District Number 502 5.000 1/1/2017 1,861,882
1,000,000 Illinois Development Finance Authority Revenue Bonds
(Midwestern University) (Series B) 6.000 5/15/2021 1,110,690
1,000,000 Illinois Development Finance Authority Revenue Bonds
(Midwestern University) (Series B) 6.000 5/15/2026 1,082,040
2,365,000 Illinois Development Finance Authority Revenue Bonds
(School District #304) (Series A) (FSA Insured) Zero Coupon 1/1/2021 1,095,823
4,900,000 Illinois Educational Facilities Authority
Revenue Bonds (Northwestern University) 5.250 11/1/2032 5,574,828
1,000,000 Illinois Educational Facilities Authority Student
Housing Revenue Bonds (University Center Project) 6.625 5/1/2017 1,076,270
380,000 Illinois Health Facilities Authority Prerefunded
Revenue Bonds (Series B) (MBIA/IBC Insured) 5.250 8/15/2018 424,601
1,600,000 Illinois Health Facilities Authority Revenue Bonds
(Bethesda Home and Retirement)(Series A) 6.250 9/1/2014 1,695,440
2,000,000 Illinois Health Facilities Authority Revenue Bonds
(Centegra Health Systems) 5.250 9/1/2018 2,033,480
2,000,000 Illinois Health Facilities Authority Revenue Bonds
(Lutheran General Health Care Facilities) (FSA
Insured) 6.000 4/1/2018 2,428,120
2,500,000 Illinois Health Facilities Authority Revenue Bonds
(Passavant Memorial Area Hospital Association) 6.000 10/1/2024 2,598,375
1,000,000 Illinois Health Facilities Authority Revenue Bonds
(Riverside Health System)(b) 6.850 11/15/2029 1,223,100
4,180,000 Illinois Health Facilities Authority Revenue Bonds
(Rush-Presbyterian-St. Lukes) (Series A) (MBIA
Insured) 5.250 11/15/2014 4,586,672
3,985,000 Illinois Health Facilities Authority Revenue Bonds
(Swedish American Hospital) 6.875 11/15/2030 4,321,334
4,655,000 Illinois Health Facilities Authority Revenue Bonds
(Thorek Hospital and Medical Center) 5.250 8/15/2018 4,577,075
2,120,000 Illinois Health Facilities Authority Unrefunded
Revenue Bonds (Series B) (MBIA/IBC Insured) 5.250 8/15/2018 2,291,614
2,000,000 Illinois Sports Facilities Authority State Tax
Supported Capital Appreciation Revenue Bonds (AMBAC
Insured) Zero Coupon 6/15/2017 1,151,000
1,500,000 Illinois Sports Facilities Authority State Tax
Supported Capital Appreciation Revenue Bonds (AMBAC
Insured) Zero Coupon 6/15/2018 816,450
1,500,000 Illinois Sports Facilities Authority State Tax
Supported Capital Appreciation Revenue Bonds (AMBAC
Insured) Zero Coupon 6/15/2019 769,725
7,925,000 Illinois State Sales Tax Revenue Bonds (Second
Series) 5.750 6/15/2018 9,526,880
3,065,000 Illinois State Sales Tax Revenue Bonds (Series L) 7.450 6/15/2012 3,886,941
3,035,000 McHenry County, Illinois Community High School
District #157 General Obligation Bonds (FSA Insured) 9.000 12/1/2017 4,625,279
4,000,000 McLean County, Illinois Bloomington - Normal, Airport
Authority (Central Illinois Regional Airport)
Revenue Bonds (Subject to 'AMT') 6.050 12/15/2019 3,877,920
1,410,000 Metropolitan Pier and Exposition Authority, Illinois
State Tax Revenue Bonds (McCormick Place Exposition
Project) (FGIC Insured) 5.250 12/15/2028 1,461,254
1,115,000 Metropolitan Pier and Exposition Authority, Illinois
State Tax Revenue Bonds (McCormick Place Exposition
Project) (Series A)(b) 5.500 6/15/2015 1,311,285
885,000 Metropolitan Pier and Exposition Authority, Illinois
State Tax Revenue Bonds (McCormick Place Exposition
Project) (Series A) (FGIC Insured) 5.500 6/15/2015 1,025,202
17,505,000 Metropolitan Pier and Exposition Authority, Illinois
State Tax Revenue Bonds (McCormick Place Exposition
Project) (Series A) (FGIC Insured) Zero Coupon 6/15/2020 8,582,351
3,100,000 Metropolitan Pier and Exposition Authority, Illinois
State Tax Revenue Bonds (McCormick Place Exposition
Project) (Series A) (MBIA Insured) Zero Coupon 6/15/2024 1,184,045
2,000,000 Metropolitan Pier and Exposition Authority, Illinois
State Tax Revenue Bonds (McCormick Place Exposition
Project) (Series A) (MBIA Insured) Zero Coupon 12/15/2024 745,380
7,000,000 Metropolitan Pier and Exposition Authority, Illinois
State Tax Revenue Bonds (McCormick Place Exposition
Project) (Series B) (MBIA Insured)(e) Zero Coupon 6/15/2020 5,298,510
3,000,000 Regional Transportation Authority, Illinois
Revenue Bonds (Series A) (FGIC Insured) 6.700 11/1/2021 3,791,250
- -------------------------------------------------------------------------------------------------------------------------
Total Illinois 113,859,702
=========================================================================================================================
Indiana (1.5%)
- -------------------------------------------------------------------------------------------------------------------------
1,335,000 Avon, Indiana Community School Building Corporation 5.250 1/1/2022 1,432,709
2,665,000 Avon, Indiana Community School Building Corporation
Revenue Bonds Unrefunded Balance (First Mortgage)
(AMBAC Insured) 5.250 1/1/2022 2,803,580
700,000 Ball State University, Indiana University Student Fee
Revenue Bonds (Series K) (FGIC Insured) 5.750 7/1/2020 793,821
1,250,000 East Chicago, Indiana Elementary School Building
Corporation Revenue Bonds 6.250 1/5/2016 1,470,125
270,000 Indiana State Housing Authority Single Family
Mortgage Revenue Bonds (Series C-2) (GNMA Insured) 5.250 7/1/2017 277,017
510,000 Indiana Transportation Finance Authority Airport
Facilities Lease Revenue Bonds (Series A) 5.400 11/1/2006 536,729
250,000 Indiana Transportation Finance Authority Highway
Revenue Bonds (Series A) 6.800 12/1/2016 307,950
570,000 Indiana Transportation Finance Authority Highway
Revenue Bonds (Series A) (AMBAC Insured)(b) 5.750 6/1/2012 664,403
985,000 Indiana Transportation Finance Authority Highway
Revenue Bonds (Series A) (MBIA/IBC Insured)(b) 7.250 6/1/2015 1,191,643
3,565,000 Indiana Transportation Finance Authority Highway
Unrefunded Revenue Bonds (Series A) (MBIA/IBC
Insured) 7.250 6/1/2015 4,500,420
2,500,000 Petersburg, Indiana Industrial Pollution Control
Revenue Bonds (Indianapolis Power and Light Company)
(Series A) (MBIA/IBC Insured) 6.100 1/1/2016 2,519,175
2,120,000 Purdue University, Indiana Revenue Bonds (Student
Fees) (Series L) 5.000 7/1/2020 2,245,398
- -------------------------------------------------------------------------------------------------------------------------
Total Indiana 18,742,970
=========================================================================================================================
Iowa (0.8%)
- -------------------------------------------------------------------------------------------------------------------------
2,085,000 Coralville, Iowa Urban Renewal Revenue Bond Annual
Appropriation (Tax Increment-H2) 5.000 6/1/2011 2,233,014
3,125,000 Coralville, Iowa Urban Renewal Revenue Bond Annual
Appropriation (Tax Increment-H2)(f) 5.000 6/1/2021 3,201,938
4,500,000 Iowa Finance Authority Health Care Facilities
Revenue Bonds (Genesis Medical Center) 6.250 7/1/2025 4,876,740
- -------------------------------------------------------------------------------------------------------------------------
Total Iowa 10,311,692
=========================================================================================================================
Kansas (0.7%)
- -------------------------------------------------------------------------------------------------------------------------
1,255,000 Kansas City, Kansas Utility System Capital
Appreciation Revenue Bonds (AMBAC Insured)(b) Zero Coupon 3/1/2007 1,189,941
920,000 Kansas City, Kansas Utility System Capital
Appreciation Unrefunded Revenue Bonds (AMBAC Insured) Zero Coupon 3/1/2007 871,507
1,000,000 Kansas State Development Finance Authority Health
Facilities Revenue Bonds (Stormont Vail Healthcare)
(Series K) 5.375 11/15/2024 1,069,650
2,000,000 Olathe, Kansas Health Facilities Revenue Bonds
(Olathe Medical Center Project) (Series A) (AMBAC
Insured) 5.500 9/1/2025 2,142,300
700,000 Sedgwick and Shawnee Counties, Kansas Single Family
Mortgage Revenue Bonds (Series A-2) (GNMA Insured) 6.700 6/1/2029 741,510
2,300,000 University of Kansas Hospital Authority Health
Facilities Revenue Bond 5.500 9/1/2022 2,388,826
- -------------------------------------------------------------------------------------------------------------------------
Total Kansas 8,403,734
=========================================================================================================================
Kentucky (0.6%)
- -------------------------------------------------------------------------------------------------------------------------
5,345,000 Kentucky State Turnpike Authority Economic
Development Revenue Bonds (Revitalization Project)
(FGIC Insured)(d) Zero Coupon 1/1/2010 4,516,739
3,000,000 Maysville, Kentucky Solid Waste Disposal Facility
Revenue Bonds (Inland Container Corporation Project) 6.900 9/1/2022 3,222,240
- -------------------------------------------------------------------------------------------------------------------------
Total Kentucky 7,738,979
=========================================================================================================================
Louisiana (1.8%)
- -------------------------------------------------------------------------------------------------------------------------
1,400,000 Jefferson Parish, Louisiana Home Mortgage Authority
Single Family Mortgage Revenue Bonds (Series A-2)
(GNMA/FNMA Insured) (Subject to 'AMT') 7.500 12/1/2030 1,472,030
550,000 Jefferson Parish, Louisiana Home Mortgage Authority
Single Family Mortgage Revenue Bonds (Series D-1)
(GNMA/FNMA Insured) (Subject to 'AMT') 7.500 6/1/2026 573,617
880,000 Louisiana Housing Finance Agency Single Family
Mortgage Revenue Bonds (Series A-2) (GNMA/FNMA/FHLMC
Insured) (Subject to 'AMT') 7.800 12/1/2026 930,142
645,000 Louisiana Housing Finance Agency Single Family
Mortgage Revenue Bonds (Series D-2) (GNMA/FNMA
Insured) (Subject to 'AMT') 7.050 6/1/2031 680,094
3,000,000 Louisiana Public Facilities Authority Hospital
Revenue Bonds (Lake Charles Memorial) (AMBAC/TCRS
Insured) 8.625 12/1/2030 3,881,820
6,500,000 New Orleans, Louisiana General Obligation Bonds
(AMBAC Insured) Zero Coupon 9/1/2012 4,810,715
3,000,000 Orleans Parish, Louisiana School Board Administration
Offices Revenue Bonds (MBIA Insured)(b) 8.950 2/1/2008 3,626,370
2,605,000 Regional Transportation Authority, Louisiana Sales
Tax Revenue Bonds (Series A) (FGIC Insured) 8.000 12/1/2012 3,444,018
4,200,000 Tobacco Settlement Financing Corporation, Louisiana
Revenue Bonds (Series 2001-B) 5.500 5/15/2030 3,765,846
- -------------------------------------------------------------------------------------------------------------------------
Total Louisiana 23,184,652
=========================================================================================================================
Maryland (0.9%)
- -------------------------------------------------------------------------------------------------------------------------
1,250,000 Frederick County, Maryland Educational Facilities
Revenue Bonds (Mount Saint Mary's College) (Series A) 5.750 9/1/2025 1,310,400
1,915,000 Maryland State Economic Development Corporation
Revenue Bonds (Lutheran World Relief) 7.200 4/1/2025 2,107,228
1,550,000 Maryland State Economic Development Corporation
Student Housing Revenue Bonds (Sheppard Pratt) (ACA
Insured) 6.000 7/1/2033 1,635,172
1,000,000 Maryland State Health and Higher Educational
Facilities Authority Revenue Bonds (University of
Maryland Medical System) 6.000 7/1/2022 1,072,190
4,500,000 Morgan State University, Maryland Academic and
Auxiliary Facilities Fees Revenue Bonds (MBIA
Insured) 6.050 7/1/2015 5,310,135
105,000 Prince Georges County, Maryland Housing Authority
Single Family Mortgage Revenue Bonds (Series A)
(GNMA/FNMA/ FHLMC Insured) (Subject to 'AMT') 7.400 8/1/2032 105,266
425,000 Westminster, Maryland Education Facilities
Revenue Bond (McDaniel College) 5.500 4/1/2027 439,879
- -------------------------------------------------------------------------------------------------------------------------
Total Maryland 11,980,270
=========================================================================================================================
Massachusetts (1.1%)
- -------------------------------------------------------------------------------------------------------------------------
4,935,000 Massachusetts State Construction Lien General
Obligation Bonds (Series A) (FGIC-TCRS) 5.250 1/1/2013 5,597,080
725,000 Massachusetts State Development Finance Agency
Revenue Bonds (Devens Electric Systems) 5.625 12/1/2016 791,127
2,000,000 Massachusetts State General Obligation Bonds
(Series B)(b) 6.500 8/1/2008 2,274,540
2,500,000 Massachusetts State Health and Educational Facilities
Authority Revenue Bonds (Daughters of Charity)
(Series D)(b) 6.100 7/1/2014 2,659,400
1,000,000 Massachusetts State Health and Educational Facilities
Authority Revenue Bonds (Partners Healthcare System)
(Series C) 6.000 7/1/2016 1,146,320
1,170,000 Westfield, Massachusetts General Obligation Bonds
(FGIC Insured)(b) 6.500 5/1/2014 1,396,442
- -------------------------------------------------------------------------------------------------------------------------
Total Massachusetts 13,864,909
=========================================================================================================================
Michigan (3.6%)
- -------------------------------------------------------------------------------------------------------------------------
515,000 Chelsea, Michigan Economic Development Corporation
Obligation Revenue Bonds (United Methodist Retirement
Communities, Inc.) 4.800 11/15/2005 513,249
545,000 Chelsea, Michigan Economic Development Corporation
Obligation Revenue Bonds (United Methodist Retirement
Communities, Inc.) 4.900 11/15/2006 540,427
2,000,000 East Lansing, Michigan Building Authority General
Obligation Bonds 5.700 4/1/2020 2,411,480
1,000,000 Grand Valley, Michigan State University Revenue Bonds
(MBIA Insured) 5.250 10/1/2017 1,085,150
135,000 Hillsdale, Michigan Hospital Finance Authority
Revenue Bonds (Hillsdale Community Health Center) 4.800 5/15/2005 135,159
2,355,000 John Tolfree Health System Corporation, Michigan
Mortgage Revenue Bonds 5.850 9/15/2013 2,402,806
1,500,000 Livonia, Michigan Public Schools School District
General Obligation Bonds (FGIC Insured)(b) Zero Coupon 5/1/2009 1,305,015
2,460,000 Michigan Municipal Bond Authority Revenue Bonds
(Local Government Loan Program) (FGIC Insured) Zero Coupon 12/1/2005 2,407,799
1,380,000 Michigan Public Power Agency Revenue Bonds
(Combustion Turbine #1 Project) (Series A)(AMBAC
Insured) 5.250 1/1/2016 1,527,246
45,000 Michigan State Hospital Finance Authority
Revenue Bonds (Detroit Medical Center) 8.125 8/15/2012 45,115
950,000 Michigan State Hospital Finance Authority
Revenue Bonds (Hackley Hospital) (Series A) 4.800 5/1/2005 958,702
2,825,000 Michigan State Hospital Finance Authority
Revenue Bonds (MBIA Insured) 5.375 8/15/2014 3,241,772
6,580,000 Michigan State Hospital Finance Authority
Revenue Bonds (Oakwood Obligated Group) 5.000 11/1/2009 7,092,385
175,000 Michigan State Hospital Finance Authority
Revenue Bonds (Series P) (MBIA Insured)(b) 5.375 8/15/2014 191,368
2,750,000 Michigan State Hospital Finance Authority
Revenue Refunding Bonds (Crittenton Hospital)
(Series A) 5.500 3/1/2022 2,875,318
4,500,000 Rochester, Michigan Community School District (MBIA
Insured) 5.000 5/1/2019 5,070,465
3,320,000 Sault Ste Marie, Michigan Chippewa Indians Housing
Authority (Tribal Health and Human Services Center) 7.750 9/1/2012 3,337,264
2,000,000 St. Clair County, Michigan Economic Development
Corporation Revenue Bonds (Detroit Edison)
(Series AA) (AMBAC Insured) 6.400 8/1/2024 2,289,420
990,000 Summit Academy North, Michigan Public School Academy
Certificates of Participation 6.550 7/1/2014 1,013,710
690,000 Summit Academy North, Michigan Public School Academy
Certificates of Participation 8.375 7/1/2030 723,362
1,000,000 Trenton, Michigan Building Authority General
Obligation Bonds (AMBAC Insured) 5.600 10/1/2019 1,129,560
3,560,000 Wayne State University, Michigan University
Revenue Bonds (FGIC Insured) 5.125 11/15/2029 3,664,344
1,860,000 West Ottawa, Michigan Public School District General
Obligation Bonds (MBIA Insured) Zero Coupon 5/1/2005 1,842,590
- -------------------------------------------------------------------------------------------------------------------------
Total Michigan 45,803,706
=========================================================================================================================
Minnesota (4.1%)
- -------------------------------------------------------------------------------------------------------------------------
375,000 Chaska, Minnesota Economic Development Authority
School Facilities Lease Revenue Bonds (Independent
School District #112) (Series A) 5.125 12/1/2010 404,456
4,000,000 Lakeville, Minnesota Independent School District #194
(Series B) (FGIC Insured) Zero Coupon 2/1/2016 2,421,800
800,000 Minneapolis and St. Paul, Minnesota Housing &
Redevelopment Authority Healthcare System
(HealthPartners Obligated Group Project) 6.000 12/1/2021 857,976
1,000,000 Minneapolis and St. Paul, Minnesota Metropolitan
Airports Commission Airport Revenue Bonds (Series C)
(FGIC Insured) 5.125 1/1/2020 1,065,780
7,685,000 Minneapolis, Minnesota Community Development Agency
Tax Increment Revenue Bonds (MBIA Insured) Zero Coupon 3/1/2009 6,737,593
5,000,000 Minnesota Agricultural and Economic Development Board
Health Care System Revenue Bonds (Fairview Hospital)
(Series A) (MBIA Insured) 5.750 11/15/2026 5,504,350
3,750,000 Minnesota Higher Education Facilities Authority
Revenue Bonds (Augsburg College) (Series 4-F1) 6.250 5/1/2023 3,928,462
1,000,000 Minnesota Higher Education Facilities Authority
Revenue Bonds (College of Art and Design)
(Series 5-D) 6.625 5/1/2020 1,102,710
530,000 Minnesota Higher Education Facilities Authority
Revenue Bonds (University of St. Thomas) (Series 5-Y) 5.250 10/1/2019 579,454
3,620,000 Minnesota State General Obligation Bonds 5.250 8/1/2017 3,924,623
1,000,000 Northfield, Minnesota Hospital Revenue Bonds
(Series C) 6.000 11/1/2021 1,055,310
1,300,000 Northfield, Minnesota Hospital Revenue Bonds
(Series C) 6.000 11/1/2026 1,367,977
2,040,000 Northfield, Minnesota Hospital Revenue Bonds
(Series C) 6.000 11/1/2031 2,146,672
300,000 Scott County, Minnesota Housing and Redevelopment
Authority Facilities Lease Revenue Bonds(Workforce
Center Project) 5.000 2/1/2017 312,549
525,000 Scott County, Minnesota Housing and Redevelopment
Authority Facilities Lease Revenue Bonds (Workforce
Center Project) 5.000 2/1/2018 545,491
10,530,000 Southern Minnesota Municipal Power Agency Power
Supply System Revenue Bonds (Series A) (AMBAC
Insured) 5.000 1/1/2011 11,705,569
2,000,000 St. Louis Park, Minnesota Health Care Facilities
Revenue Bonds 5.250 7/1/2030 2,041,460
1,690,000 St. Paul, Minnesota Housing and Redevelopment
Authority Lease Parking Facilities Revenue Bonds
(Rivercentre Parking Ramp) 6.000 5/1/2013 1,861,450
5,000,000 White Earth Band of Chippewa Indians, Minnesota
Revenue Bonds (Series A) (ACA Insured) 7.000 12/1/2011 5,573,100
- -------------------------------------------------------------------------------------------------------------------------
Total Minnesota 53,136,782
=========================================================================================================================
Missouri (1.1%)
- -------------------------------------------------------------------------------------------------------------------------
785,000 Missouri State Development Finance Board
Infrastructure Facilities Revenue Bonds (Eastland
Center Project Phase II) (Series B) 5.875 4/1/2017 845,932
500,000 Missouri State Development Finance Board
Infrastructure Facilities Revenue Bonds(Eastland
Center Project Phase II) (Series B) 6.000 4/1/2021 540,475
1,000,000 Missouri State Environmental Improvement and Energy
Resources Authority Water Pollution Revenue Bonds
(Series A) 5.250 1/1/2018 1,115,230
3,000,000 Missouri State Health and Educational Facilities
Authority Health Facilities Revenue Bonds (Barnes
Jewish, Inc. Christian) (Series A) 5.250 5/15/2014 3,341,370
1,500,000 Missouri State Health and Educational Facilities
Authority Health Facilities Revenue Bonds (Lake
Regional Health Securities Project) 5.600 2/15/2025 1,541,730
1,000,000 Missouri State Health and Educational Facilities
Authority Health Facilities Revenue Bonds (Saint
Anthony's Medical Center) 6.250 12/1/2030 1,069,840
655,000 Missouri State Health and Educational Facilities
Authority Revenue Bonds (Lake of the Ozarks) 6.500 2/15/2021 677,309
1,345,000 Missouri State Health and Educational Facilities
Authority Revenue Bonds (Lake of the Ozarks)(b) 6.500 2/15/2021 1,448,740
320,000 Missouri State Housing Development Commission Single
Family Mortgage Revenue Bonds (Series B-1) (GNMA/FNMA
Insured) (Subject to 'AMT') 7.450 9/1/2031 332,723
535,000 Missouri State Housing Development Commission Single
Family Mortgage Revenue Bonds (Series C-1) (GNMA/FNMA
Insured) (Subject to 'AMT') 7.150 3/1/2032 555,314
330,000 Missouri State Housing Development Community Single
Family Mortgage Revenue Bonds (Series C-1) (GNMA/FNMA
Insured) 6.550 9/1/2028 346,361
2,000,000 St. Charles County, Francis Howell School District
General Obligation Bond (Series A) 5.250 3/1/2018 2,282,680
- -------------------------------------------------------------------------------------------------------------------------
Total Missouri 14,097,704
=========================================================================================================================
Montana (1.1%)
- -------------------------------------------------------------------------------------------------------------------------
80,000 Montana State Board of Housing Single Family Mortgage
Revenue Bonds (Series A-1) 6.000 6/1/2016 80,174
285,000 Montana State Board of Housing Single Family Mortgage
Revenue Bonds (Series A-2) (Subject to 'AMT') 6.250 6/1/2019 297,184
2,385,000 Montana State Board of Investment Refunded Balance
1996 Payroll Tax Revenue Bonds (MBIA Insured)(b) 6.875 6/1/2020 2,707,070
775,000 Montana State Board of Investment Refunded
Revenue Bonds (1996 Payroll Tax) (MBIA Insured)(b) 6.875 6/1/2020 879,656
1,240,000 Montana State Board of Investment Refunded
Revenue Bonds (Payroll Tax) (MBIA Insured)(b) 6.875 6/1/2020 1,407,450
1,340,000 Montana State Board of Regents Revenue Bonds (Higher
Education-University of Montana) (Series F) (MBIA
Insured) 5.750 5/15/2016 1,532,076
3,000,000 Montana State Health Facilities Authority
Revenue Bonds (Hillcrest Senior Living Project) 7.375 6/1/2030 3,201,090
3,860,000 Montana State Hospital Finance Authority
Revenue Refunding Bonds 5.250 6/1/2018 4,109,202
- -------------------------------------------------------------------------------------------------------------------------
Total Montana 14,213,902
=========================================================================================================================
Nebraska (1.2%)
- -------------------------------------------------------------------------------------------------------------------------
170,000 American Public Energy Agency Nebraska Gas Supply
Revenue Bonds (Nebraska Public Gas Agency Project)
(Series C) (AMBAC Insured) 4.300 3/1/2011 182,128
2,500,000 Nebraska Public Power District Revenue Bonds
(Series B) (AMBAC Insured) 5.000 1/1/2013 2,791,075
3,455,000 Omaha Public Power District Revenue Bonds
(Series B)(b) 6.150 2/1/2012 4,001,512
1,675,000 Omaha, Nebraska Special Assessment Bonds (Riverfront
Redevelopment Project) (Series A) 5.500 2/1/2015 1,898,562
6,000,000 University of Nebraska Revenue Bonds (Lincoln Student
Fees & Facilities) (Series B) 5.000 7/1/2023 6,332,460
- -------------------------------------------------------------------------------------------------------------------------
Total Nebraska 15,205,737
=========================================================================================================================
Nevada (0.2%)
- -------------------------------------------------------------------------------------------------------------------------
2,500,000 Washoe County, Nevada General Obligation Bonds
(Reno-Sparks Convention) (Series A) (FSA Insured)(b) 6.400 7/1/2029 2,934,850
- -------------------------------------------------------------------------------------------------------------------------
Total Nevada 2,934,850
=========================================================================================================================
New Hampshire (0.1%)
- -------------------------------------------------------------------------------------------------------------------------
1,100,000 New Hampshire State Turnpike System Revenue Bonds
(Series C) (FGIC Insured)(g) 11.553 11/18/2004 1,324,026
- -------------------------------------------------------------------------------------------------------------------------
Total New Hampshire 1,324,026
=========================================================================================================================
New Jersey (2.0%)
- -------------------------------------------------------------------------------------------------------------------------
1,250,000 East Orange, New Jersey General Obligation Bonds (FSA
Insured) 8.400 8/1/2006 1,385,500
2,000,000 Hudson County, New Jersey Certificate Of
Participation Department of Finance and
Administration (MBIA Insured) 6.250 12/1/2015 2,459,540
1,585,000 New Jersey State Transit Corporation Certificate of
Participation Bonds (FSA Insured)(b) 6.375 10/1/2006 1,676,613
1,005,000 New Jersey State Turnpike Authority Revenue Bonds
(Series C) (AMBAC-TCRS Insured) 6.500 1/1/2016 1,240,401
3,695,000 New Jersey State Turnpike Authority Revenue Bonds
(Series C) (AMBAC-TCRS Insured)(b) 6.500 1/1/2016 4,550,688
5,000,000 New Jersey Transportation Trust Fund Authority
Revenue Bond (Transportation System) (Series A) (FSA
Insured)(d) 5.500 12/15/2016 5,882,050
4,570,000 Tobacco Settlement Authority, New Jersey Tobacco
Settlement Revenue Bonds 5.375 6/1/2018 4,245,164
2,195,000 West New York, New Jersey Municipal Utilities
Authority Revenue Bonds (FGIC Insured)(b) Zero Coupon 12/15/2007 2,035,204
2,595,000 West New York, New Jersey Municipal Utilities
Authority Revenue Bonds (FGIC Insured)(b) Zero Coupon 12/15/2009 2,230,532
- -------------------------------------------------------------------------------------------------------------------------
Total New Jersey 25,705,692
=========================================================================================================================
New Mexico (1.5%)
- -------------------------------------------------------------------------------------------------------------------------
3,315,000 Alamogordo, New Mexico Hospital Revenue Bonds (Gerald
Champion Memorial Hospital Project) 5.300 1/1/2013 3,473,722
4,685,000 Farmington, New Mexico Power Revenue Bonds(b) 9.875 1/1/2013 4,913,909
2,795,000 Farmington, New Mexico Utility System Revenue (AMBAC
Insured)(b) 9.875 1/1/2008 3,100,633
3,500,000 Jicarilla, New Mexico Apache Nation Revenue Bonds
(Series A) 5.500 9/1/2023 3,753,645
2,525,000 New Mexico Mortgage Finance Authority Revenue Bonds
(Series F) (GNMA/FNMA Insured) 7.000 1/1/2026 2,694,983
370,000 New Mexico Mortgage Finance Authority Single Family
Mortgage Capital Appreciation Revenue Bonds
(Series D-2) (Subject to 'AMT') Zero Coupon 9/1/2019 291,512
1,340,000 New Mexico Mortgage Finance Authority Single Family
Mortgage Revenue Bonds (Series C-2) (GNMA/FNMA
Insured) (Subject to 'AMT') 6.950 9/1/2031 1,392,970
- -------------------------------------------------------------------------------------------------------------------------
Total New Mexico 19,621,374
=========================================================================================================================
New York (9.1%)
- -------------------------------------------------------------------------------------------------------------------------
6,500,000 Metropolitan Transportation Authority, New York
Revenue Bonds (Series A) (FGIC Insured) 5.000 11/15/2025 6,793,605
5,000,000 Metropolitan Transportation Authority, New York
Transportation Facilities Revenue Bonds (Series A) 5.500 7/1/2017 5,808,650
4,225,000 Metropolitan Transportation Authority, New York
Transportation Facilities Revenue Bonds (Series O)(b) 5.750 7/1/2013 4,860,313
13,000,000 New York City Transitional Finance Authority (Future
Tax Secured) (Series B) 5.250 2/1/2029 14,372,150
845,000 New York Counties Tobacco Trust Settlement
Revenue Bonds 5.800 6/1/2023 848,819
4,000,000 New York State Dormitory Authority Revenue Bonds
(Series B)(e) 5.250 5/15/2012 4,441,000
2,000,000 New York State Dormitory Authority Revenue Bonds
(State University Educational Facilities) (Series A) 7.500 5/15/2013 2,567,880
5,000,000 New York State Dormitory Authority Revenue Bonds
(State University Educational Facilities) (Series A) 5.875 5/15/2017 5,987,350
2,000,000 New York State Local Government Assistance
Corporation Revenue Bonds (Series E) (MBIA/IBC
Insured) 5.250 4/1/2016 2,291,900
1,640,000 New York State Mortgage Agency Revenue Bonds
(Series 26) 5.350 10/1/2016 1,652,940
3,000,000 New York State Thruway Authority General
Revenue Bonds (Series E) 5.000 1/1/2016 3,186,270
20,000,000 New York State Urban Development Corporation
Revenue Bonds (Correctional and Youth Facilities)
(Series A) 5.000 1/1/2017 21,855,602
1,620,000 New York State Urban Development Corporation
Revenue Bonds (Syracuse University Center) 6.000 1/1/2009 1,825,627
1,720,000 New York State Urban Development Corporation
Revenue Bonds (Syracuse University Center) 6.000 1/1/2010 1,961,024
8,940,000 New York, New York City Municipal Transitional
Finance Authority Revenue Bonds (Series A)(e) 5.500 11/1/2011 10,124,461
3,000,000 New York, New York City Municipal Transitional
Finance Authority Revenue Bonds (Series A) 5.375% 11/15/2021 3,320,700
2,000,000 New York, New York City Municipal Water and Sewer
System Revenue Bonds (Series A) (AMBAC Insured) 5.875 6/15/2012 2,355,040
12,000,000 New York, New York General Obligation Bond (Series B) 5.250 8/1/2017 13,297,440
3,000,000 New York, New York General Obligation Bonds
(Series H) (FSA/CR Insured) 5.250 3/15/2016 3,256,950
5,000,000 New York, New York General Obligation Bonds
(Series I) 5.000 8/1/2016 5,431,550
1,000,000 Triborough, New York Bridge and Tunnel Authority
Revenue Bonds (Series Q)(b) 6.750 1/1/2009 1,122,290
- -------------------------------------------------------------------------------------------------------------------------
Total New York 117,361,561
=========================================================================================================================
North Carolina (2.0%)
- -------------------------------------------------------------------------------------------------------------------------
1,170,000 Fayetteville, North Carolina Public Works Commission
Revenue Bonds (FSA Insured)(b) 5.125 3/1/2017 1,263,892
1,475,000 North Carolina Eastern Municipal Power Agency Power
System Prerefunded Revenue Bonds (Series A)(b) 6.000 1/1/2026 1,793,394
4,000,000 North Carolina Eastern Municipal Power Agency Power
System Revenue Bonds 5.375 1/1/2017 4,302,360
175,000 North Carolina Eastern Municipal Power Agency Power
System Revenue Bonds (Series B) 6.000 1/1/2006 181,529
2,375,000 North Carolina Eastern Municipal Power Agency Power
System Revenue Bonds (Series B) 5.500 1/1/2021 2,383,526
5,000,000 North Carolina Eastern Municipal Power Agency Power
System Revenue Bonds (Series D) 5.500 1/1/2014 5,523,600
2,000,000 North Carolina Eastern Municipal Power Agency Power
System Revenue Bonds (Series D) 6.750 1/1/2026 2,225,280
1,250,000 North Carolina Municipal Power Agency #1 Catawba
Electric Revenue Bonds (Series B) 6.250 1/1/2007 1,345,500
250,000 North Carolina Municipal Power Agency #1 Catawba
Electric Revenue Bonds (Series B) 6.500 1/1/2009 281,058
610,000 North Carolina Municipal Power Agency #1 Catawba
Electric Revenue Bonds (Series B) 6.375 1/1/2013 689,044
4,000,000 North Carolina Municipal Power Agency #1 Catawba
Electric Revenue Bonds (Series B) (MBIA Insured) 6.000 1/1/2011 4,657,920
1,000,000 Wake County, North Carolina Industrial, Facilities,
and Pollution Control Revenue Bonds (Carolina Power
and Light Company Project) 5.375 2/1/2017 1,090,610
- -------------------------------------------------------------------------------------------------------------------------
Total North Carolina 25,737,713
=========================================================================================================================
North Dakota (1.1%)
- -------------------------------------------------------------------------------------------------------------------------
3,500,000 Grand Forks, North Dakota Health Care System
Revenue Bonds (Altru Health Systems Group) 7.125 8/15/2024 3,822,910
2,000,000 North Dakota State Municipal Bond Bank (State
Revolving Fund Program) (Series A)(b) 6.300 10/1/2015 2,101,160
1,340,000 North Dakota State Water Commission Revenue Bonds
(Southwest Pipeline) (Series A) (AMBAC Insured) 5.750 7/1/2027 1,452,480
2,945,000 South Central Regional Water District North Dakota
Utility System Revenue Bond (Northern Burleigh
County) (Series A)(c) 5.650 10/1/2029 2,985,788
3,250,000 Ward County, North Dakota Health Care Facilities
Revenue Bonds (Trinity Medical Center) (Series B) 6.250 7/1/2021 3,348,702
- -------------------------------------------------------------------------------------------------------------------------
Total North Dakota 13,711,040
=========================================================================================================================
Ohio (2.3%)
- -------------------------------------------------------------------------------------------------------------------------
2,500,000 Akron, Ohio Certificates of Participation (Akron
Municipal Baseball Stadium Project)(e) 6.900 12/1/2016 2,720,625
875,000 Akron, Ohio Economic Development (MBIA Insured) 6.000 12/1/2012 1,040,882
1,700,000 Cincinnati, Ohio General Obligation Bonds 5.375 12/1/2019 1,890,655
2,000,000 Lorain County, Ohio Hospital Revenue Bonds (Catholic
Healthcare Partners) 5.400 10/1/2021 2,100,980
2,000,000 Lucas County, Ohio Health Care Facilities
Revenue Bonds (Sunset Retirement) (Series A) 6.550 8/15/2024 2,095,260
2,000,000 Montgomery County, Ohio Hospital Revenue Bonds
(Kettering Medical Center) 6.750 4/1/2018 2,210,880
2,500,000 Montgomery County, Ohio Hospital Revenue Bonds
(Kettering Medical Center) 6.750 4/1/2022 2,718,575
1,505,000 Ohio Housing Finance Agency Mortgage Residential
Revenue Bonds (Series A-1) (GNMA Insured) (Subject to
'AMT') 5.750 9/1/2026 1,557,073
895,000 Ohio State Higher Education Faculty Commission
Revenue Bonds (Higher Education Facilities - Ohio
Dominican) 6.625 12/1/2014 897,936
2,000,000 Ohio State Higher Education Faculty Revenue Bonds
(Case Western Reserve University) 6.500 10/1/2020 2,501,900
4,000,000 Ohio State Infrastructure Improvement (Series B)(b) 5.250 3/1/2014 4,548,480
2,000,000 Ohio State Turnpike Commission Turnpike Revenue Bonds
(Series A) (FGIC Insured) 5.500 2/15/2024 2,318,400
2,115,000 University of Akron, Ohio General Receipts
Revenue Bonds (FGIC Insured)(b) 5.500 1/1/2020 2,410,254
- -------------------------------------------------------------------------------------------------------------------------
Total Ohio 29,011,900
=========================================================================================================================
Oklahoma (0.8%)
- -------------------------------------------------------------------------------------------------------------------------
3,125,000 Bass, Oklahoma Memorial Baptist Hospital Authority
Hospital Revenue (Bass Memorial Hospital
Project)(b,d) 8.350 5/1/2009 3,581,219
1,040,000 Oklahoma Development Finance Authority Hospital
Revenue Bond (Unity Health Center Project) 5.000 10/1/2011 1,098,344
225,000 Oklahoma Housing Finance Agency Single Family
Mortgage Revenue Bonds (Series C-2) (Subject to
'AMT') 7.550 9/1/2028 238,828
370,000 Oklahoma Housing Finance Agency Single Family
Mortgage Revenue Bonds (Series D-2) (GNMA/FNMA
Insured) (Subject to 'AMT') 7.100 9/1/2028 396,181
1,500,000 Oklahoma State Municipal Power Authority (Series B)
(MBIA Insured) 5.875 1/1/2012 1,759,320
2,900,000 Payne County, Oklahoma Economic Development Authority
Student Housing Revenue Bonds (Collegiate Housing
Foundation) (Series A)(b) 6.375 6/1/2030 3,449,753
- -------------------------------------------------------------------------------------------------------------------------
Total Oklahoma 10,523,645
=========================================================================================================================
Oregon (h)
- -------------------------------------------------------------------------------------------------------------------------
550,000 Forest Grove, Oregon Revenue Bonds (Campus
Improvement - Pacific University) 6.000 5/1/2015 622,490
- -------------------------------------------------------------------------------------------------------------------------
Total Oregon 622,490
=========================================================================================================================
Pennsylvania (2.1%)
- -------------------------------------------------------------------------------------------------------------------------
1,600,000 Allegheny County, Pennsylvania Hospital Development
Authority Revenue Bonds (Allegheny General Hospital
Project) (Series A) (MBIA Insured)(b) 6.200 9/1/2015 1,780,064
2,480,000 Allegheny County, Pennsylvania Redevelopment
Authority Tax Increment Tax Allocation Bonds
(Waterfront Project) (Series B) 6.000 12/15/2010 2,749,229
2,330,000 Allegheny County, Pennsylvania Redevelopment
Authority Tax Increment Tax Allocation Bonds
(Waterfront Project) (Series C) 6.550 12/15/2017 2,645,785
2,575,000 Allegheny County, Pennsylvania Sanitation Authority
Sewer Revenue Interest Compensatory (Series A) (FGIC
Insured) Zero Coupon 6/1/2008 2,337,740
3,540,000 Carbon County, Pennsylvania Industrial Development
Authority Revenue Bonds (Panther Creek Partners
Project) (Subject to 'AMT') 6.650 5/1/2010 3,831,802
2,000,000 Cornwall Lebanon, Pennsylvania School District
Capital Appreciation General Obligation Bonds (FSA
Insured) Zero Coupon 3/15/2016 1,250,000
1,520,000 Cornwall Lebanon, Pennsylvania School District
Capital Appreciation General Obligation Bonds (FSA
Insured) Zero Coupon 3/15/2017 902,804
2,000,000 Lancaster County, Pennsylvania Hospital Authority
Revenue Bonds 5.500 3/15/2026 2,050,980
3,170,000 Millcreek Township, Pennsylvania School District
General Obligation Bonds (FGIC Insured)(b) Zero Coupon 8/15/2009 2,763,448
435,000 Montgomery County, Pennsylvania Higher Education and
Health Authority Revenue Bonds (Foulkeways at Gwynedd
Project) 6.750 11/15/2024 462,366
1,880,000 Montgomery County, Pennsylvania Higher Education and
Health Authority Revenue Bonds (Foulkeways at Gwynedd
Project) 6.750 11/15/2030 1,994,022
3,000,000 Pennsylvania State General Obligation Bonds (Second
Series) (AMBAC Insured) Zero Coupon 7/1/2006 2,896,260
1,000,000 York County, Pennsylvania Solid Waste & Refuse
Authority Solid Waste System Revenue (FGIC Insured) 5.500 12/1/2012 1,158,220
- -------------------------------------------------------------------------------------------------------------------------
Total Pennsylvania 26,822,720
=========================================================================================================================
Puerto Rico (0.6%)
- -------------------------------------------------------------------------------------------------------------------------
2,365,000 Puerto Rico Commonwealth Aqueduct and Sewer Authority
Revenue Bonds (Series A) (FSA Insured)(b) 9.000 7/1/2009 2,475,162
4,955,000 Puerto Rico Industrial Tourist Educational Medical
and Environmental Central Facilities Revenue Bonds
(AES Cogen Facilities Project) (Subject to 'AMT') 6.625 6/1/2026 5,389,008
- -------------------------------------------------------------------------------------------------------------------------
Total Puerto Rico 7,864,170
=========================================================================================================================
South Carolina (2.0%)
- -------------------------------------------------------------------------------------------------------------------------
735,000 Beaufort-Jasper, South Carolina Water and Sewer
Authority Waterworks and Sewer Systems Refunding
Revenue Bonds (FSA Insured) 5.000 3/1/2021 786,597
1,000,000 Greenwood County, South Carolina Hospital
Revenue Bonds (Self Memorial Hospital) 5.500 10/1/2026 1,034,710
4,000,000 Piedmont, South Carolina Municipal Power Agency
Electric Revenue Bonds (FGIC Insured) 6.250 1/1/2021 5,047,400
5,000,000 Piedmont, South Carolina Municipal Power Agency
Electric Revenue Bonds (FGIC Insured) 5.000 1/1/2022 5,006,550
5,500,000 South Carolina Jobs Economic Development Authority
Hospital Facilities Revenue Bonds (Palmetto Health
Alliance) (Series C) 6.875 8/1/2027 6,088,445
5,000,000 South Carolina State Public Service Authority
Revenue Referendum (Series D) (FSA Insured) 5.000 1/1/2020 5,374,800
500,000 South Carolina Transportation Infrastructure Bank
Revenue Bonds (Series A) (MBIA Insured) 5.500 10/1/2007 547,310
2,000,000 Spartanburg, South Carolina Waterworks Revenue Bonds
(FGIC Insured) 5.250 6/1/2028 2,125,920
- -------------------------------------------------------------------------------------------------------------------------
Total South Carolina 26,011,732
=========================================================================================================================
South Dakota (0.6%)
- -------------------------------------------------------------------------------------------------------------------------
5,000,000 South Dakota Educational Enhancement Funding
Corporation Tobacco Settlement (Series B) 6.500 6/1/2032 4,748,150
1,170,000 South Dakota Health and Educational Facilities
Authority Revenue Bonds (Prairie Lakes Health Care
System) 5.625 4/1/2032 1,189,246
2,000,000 South Dakota State Health and Educational Facilities
Authority Revenue Bonds (Prairie Lakes Health Care
System, Inc.) (ACA/CBI Insured) 5.650 4/1/2022 2,080,480
- -------------------------------------------------------------------------------------------------------------------------
Total South Dakota 8,017,876
=========================================================================================================================
Tennessee (1.6%)
- -------------------------------------------------------------------------------------------------------------------------
2,000,000 Carter County Industrial Development Board
Revenue Bonds 4.150 10/1/2007 2,049,000
965,000 Dickson County, Tennessee General Obligation Bond
(FGIC Insured) 5.000 3/1/2020 1,048,270
2,000,000 Memphis-Shelby County, Tennessee Airport Authority
Special Facilities and Project Revenue Bonds (Federal
Express Corporation) 5.350 9/1/2012 2,201,320
4,500,000 Memphis-Shelby County, Tennessee Airport Authority
Special Facilities Revenue Bonds (Federal Express
Corporation) 5.050 9/1/2012 4,862,430
4,155,000 Metropolitan Government Nashville and Davidson
County, Tennessee Industrial Development Board
Revenue Bonds (Series A) (GNMA Insured) 6.625 3/20/2036 4,613,047
5,000,000 Shelby County, Tennessee Health Educational and
Housing Facilities Board Revenue Bonds (St. Jude
Children's Research Project) 5.375 7/1/2024 5,190,300
640,000 Tennergy Corporation, Tennessee Gas Revenue Bonds
(MBIA Insured) 4.125 6/1/2009 679,635
150,000 Tennessee Energy Acquisition Corporation Gas
Revenue Bonds (Series A) (AMBAC Insured) 5.000 9/1/2007 161,320
- -------------------------------------------------------------------------------------------------------------------------
Total Tennessee 20,805,322
=========================================================================================================================
Texas (11.4%)
- -------------------------------------------------------------------------------------------------------------------------
11,000,000 Alliance Airport, Texas Income Authority Special
Facilities Revenue Bond (Federal Express Corporation
Project) (Subject to 'AMT') 6.375 4/1/2021 11,557,920
2,000,000 Amarillo, Texas Health Facilities Corporation
Revenue Bonds (Baptist St. Anthony's Hospital
Corporation) (FSA Insured) 5.500 1/1/2017 2,302,840
750,000 Arlington, Texas General Obligation Bonds(d) 5.375 8/15/2016 827,438
1,055,000 Arlington, Texas General Obligation Bonds 5.500 8/15/2019 1,166,134
2,165,000 Arlington, Texas Independent School District Capital
Appreciation Refunding General Obligation Bonds
(PSF/GTD Insured) Zero Coupon 2/15/2009 1,902,234
2,500,000 Austin, Texas Higher Education Authority, Inc.
University Revenue Bonds (St. Edwards University
Project) 5.750 8/1/2031 2,554,225
2,250,000 Austin, Texas Utility System Revenue Bonds (FGIC
Insured) 6.000 11/15/2013 2,640,285
7,000,000 Austin, Texas Utility System Revenue Capital
Appreciation Refunding Bonds (Financial Services
Department) (Series A) (MBIA Insured)(d) Zero Coupon 11/15/2008 6,251,140
8,100,000 Austin, Texas Utility System Revenue Capital
Appreciation Refunding Bonds (Financial Services
Department) (Series A) (MBIA Insured) Zero Coupon 11/15/2009 6,917,643
1,575,000 Bexar County, Texas General Obligation Bonds(b) 5.000 6/15/2015 1,606,028
2,265,000 Bexar County, Texas Housing Finance Corporation
Multi-Family Housing Revenue Bonds (American
Opportunity-Waterford Apartments) (Series A1) 7.000 12/1/2036 2,287,514
1,930,000 Bexar County, Texas Housing Finance Corporation
Multi-Family Housing Revenue Bonds (Dymaxion and
Marrach Park Apartments) (Series A) (MBIA Insured) 6.000 8/1/2023 2,066,239
1,720,000 Bexar County, Texas Housing Finance Corporation
Multi-Family Housing Revenue Bonds (Pan American
Apartments) (Series A-1) (GNMA Insured) 7.000 3/20/2031 1,959,355
1,000,000 Bluebonnet Trails Community Mental Health and Mental
Retardation Revenue Bonds 6.125 12/1/2016 1,059,570
3,950,000 Colorado River, Texas Municipal Water District
Revenue Bonds (MBIA Insured) 5.000 1/1/2014 4,119,850
500,000 Corpus Christi, Texas General Obligation Bonds
(Series A) (FSA Insured) 5.000 3/1/2012 554,965
1,000,000 Dallas-Fort Worth, Texas International Airport
Revenue (Series A) (MBIA Insured) (Subject to 'AMT') 5.500 11/1/2016 1,101,240
500,000 Dallas-Fort Worth, Texas International Airport
Revenue (Series A) (MBIA Insured) (Subject to 'AMT') 5.500 11/1/2017 549,540
4,000,000 Dallas-Fort Worth, Texas Regional Airport
Revenue Refunding Bonds (Series A) (MBIA Insured) 6.000 11/1/2012 4,015,800
1,375,000 Deer Park, Texas Independent School District General
Obligation Bonds (PSF/GTD Insured) 5.000 2/15/2013 1,532,974
1,270,000 Denton, Texas Independent School District General
Obligation Bonds(e) 3.450 1/31/2005 1,274,864
2,285,000 Denton, Texas Independent School District General
Obligation Bonds (PSF/GTD Insured) 6.250 2/15/2009 2,615,045
3,210,000 Denton, Texas Utility System Revenue Bonds (Series A)
(FSA Insured) 5.250 12/1/2015 3,590,995
1,445,000 Frisco, Texas Independent School District General
Obligation Bonds (PSF/GTD Insured) 6.250 8/15/2017 1,679,914
7,000,000 Harris County, Houston, Texas General Obligation
Bonds (MBIA Insured) Zero Coupon 8/15/2024 2,621,220
2,000,000 Harris County, Texas Health Facilities Development
Authority Hospital Revenue Bonds (Memorial Hermann
Healthcare Project) (Series A) 6.375 6/1/2029 2,208,180
8,470,000 Houston, Texas Airport System Revenue Bonds (FSA
Insured) 5.000 7/1/2027 8,681,072
2,000,000 Houston, Texas Airport System Revenue Bonds
(Series A) (FSA Insured) (Subject to 'AMT') 5.625 7/1/2030 2,098,520
5,000,000 Houston, Texas Water and Sewer System Revenue Bonds
(Series A)(b) 5.250 12/1/2022 5,507,550
5,000,000 Houston, Texas Water and Sewer System Revenue Bonds
(Series A) (FSA Insured)(b) 5.750 12/1/2032 5,954,550
6,000,000 Leander, Texas Independent School District Capital
Appreciation Refunded (PSF Guaranteed) Zero Coupon 8/15/2028 1,576,260
5,315,000 Lewisville, Texas Independent School District General
Obligation Bonds (PSF/GTD Insured) Zero Coupon 8/15/2019 2,726,436
1,000,000 Lower Colorado River Authority, Texas Revenue Bonds
(Series A) 5.875 5/15/2015 1,136,240
3,400,000 Mesquite, Texas Independent School District General
Obligation Bonds (Series A) (PSF/GTD Insured)(b) 6.000 2/15/2020 3,808,102
370,000 Mesquite, Texas Independent School District General
Obligation Bonds (Series A) (PSF/GTD Insured) 6.000 2/15/2020 407,977
2,600,000 North Texas Health Facilities Development Corporation
Hospital Revenue (United Regional Healthcare System,
Inc.) 6.000 9/1/2023 2,755,506
575,000 Nueces County, Texas Housing Finance Corporation
Multi-Family Housing Revenue Bonds (Dolphins Landing
Apartments Project) (Series A) 6.250 7/1/2010 577,329
1,865,000 Nueces County, Texas Housing Finance Corporation
Multi-Family Housing Revenue Bonds (Dolphins Landing
Apartments Project) (Series A) 6.875 7/1/2030 1,878,540
1,000,000 Ridge Parc Development Corporation, Texas Multifamily
Revenue Bonds (GNMA Insured) 6.100 6/20/2033 1,110,700
2,795,000 Ridge Parc Development Corporation, Texas Multifamily
Revenue Bonds (GNMA Insured) 6.150 11/20/2041 3,065,276
1,365,000 San Antonio, Texas General Obligation Bonds (General
Improvement) 5.250 2/1/2014 1,502,606
1,000,000 San Antonio, Texas Water Revenue Bonds (FSA Insured) 5.500 5/15/2018 1,121,730
1,000,000 San Antonio, Texas Water Revenue Bonds (FSA Insured) 5.500 5/15/2019 1,123,130
1,000,000 San Antonio, Texas Water Revenue Bonds (FSA Insured) 5.500 5/15/2020 1,112,660
1,095,000 South San Antonio, Texas Independent School District
General Obligation Bonds (PSF/GTD Insured)(b) 6.000 8/15/2017 1,264,583
85,000 South San Antonio, Texas Independent School District
General Obligation Bonds (PSF/GTD Insured) 6.000 8/15/2017 97,274
1,160,000 South San Antonio, Texas Independent School District
General Obligation Bonds (PSF/GTD Insured)(b) 6.000 8/15/2018 1,339,649
90,000 South San Antonio, Texas Independent School District
General Obligation Bonds (PSF/GTD Insured) 6.000 8/15/2018 102,910
1,180,000 South San Antonio, Texas Independent School District
General Obligation Bonds (PSF/GTD Insured)(b) 6.000 8/15/2019 1,362,747
95,000 South San Antonio, Texas Independent School District
General Obligation Bonds (PSF/GTD Insured) 6.000 8/15/2019 108,627
11,615,000 Southeast Texas Housing Finance Corporation (MBIA
Insured)(b) Zero Coupon 9/1/2017 6,571,186
1,410,000 Tarrant County, Texas College District General
Obligation Bonds 5.375 2/15/2013 1,601,943
4,315,000 Texas State Veterans Land Board General Obligation
Bonds(b) 0.050 7/1/2010 3,608,246
1,000,000 Texas State Water Development Board Revenue Bond
(State Revolving) (Series A) 5.250 7/15/2017 1,050,070
2,000,000 Travis County, Texas Health Facilities Development
Corporation Revenue Bonds (Ascension Health Credit)
(Series A) (MBIA Insured)(b) 6.250 11/15/2017 2,356,760
315,000 Westlake, Texas General Obligation Bonds 6.500 5/1/2013 369,857
350,000 Westlake, Texas General Obligation Bonds 6.500 5/1/2015 406,990
335,000 Westlake, Texas General Obligation Bonds 6.500 5/1/2017 387,290
1,650,000 Westlake, Texas General Obligation Bonds 5.750 5/1/2024 1,768,948
2,000,000 Westlake, Texas General Obligation Bonds 5.800 5/1/2032 2,104,900
745,000 Wylie, Texas Independent School District General
Obligation Bonds (PSF/GTD Insured)(b) 6.875 8/15/2014 917,862
430,000 Wylie, Texas Independent School District General
Obligation Bonds (PSF/GTD Insured) 6.875 8/15/2014 529,532
3,280,000 Wylie, Texas Independent School District Unrefunded
General Obligation Bonds (PSF/GTD Insured) 7.000 8/15/2024 4,059,656
- -------------------------------------------------------------------------------------------------------------------------
Total Texas 147,116,366
=========================================================================================================================
Utah (0.8%)
- -------------------------------------------------------------------------------------------------------------------------
440,000 Intermountain Power Agency, Utah Power Supply
Revenue Bonds (Series B)(b) 5.250 7/1/2017 445,188
5,000,000 Intermountain Power Agency, Utah Power Supply
Revenue Bonds (Series B) (MBIA Insured)(d) 5.750 7/1/2019 5,513,350
585,000 Intermountain Power Agency, Utah Power Supply
Revenue Bonds (Series B) (MBIA/IBC Insured)(b) 5.000 7/1/2016 586,773
3,405,000 Timpanogos, Utah Special Service District Sewer
Revenue(Series A) (AMBAC Insured)(b) 6.100 6/1/2019 3,660,341
- -------------------------------------------------------------------------------------------------------------------------
Total Utah 10,205,652
=========================================================================================================================
Vermont (0.2%)
- -------------------------------------------------------------------------------------------------------------------------
2,500,000 Vermont Educational and Health Buildings Financing
Agency Revenue Bonds (Norwich University Project) 5.500 7/1/2021 2,604,600
- -------------------------------------------------------------------------------------------------------------------------
Total Vermont 2,604,600
=========================================================================================================================
Virginia (1.0%)
- -------------------------------------------------------------------------------------------------------------------------
3,000,000 Fairfax County, Virginia Industrial Development
Authority Revenue Bonds (Inova Health Systems
Project) 5.875 8/15/2016 3,239,400
2,500,000 Fairfax County, Virginia Industrial Development
Authority Revenue Bonds (Inova Health Systems
Project) 5.250 8/15/2019 2,714,725
3,625,000 Fairfax County, Virginia Water Authority Water
Revenue Bonds 5.000 4/1/2021 4,086,209
1,355,000 Riverside, Virginia Regional Jail Authority Jail
Facilities Revenue Bonds (MBIA Insured)(b) 5.875 7/1/2014 1,418,143
1,130,000 Riverside, Virginia Regional Jail Authority Jail
Facilities Unrefunded Revenue Bonds (MBIA Insured)(b) 5.875 7/1/2014 1,182,658
- -------------------------------------------------------------------------------------------------------------------------
Total Virginia 12,641,135
=========================================================================================================================
Washington (5.2%)
- -------------------------------------------------------------------------------------------------------------------------
2,060,000 Clark and Skamania Counties, Washington School
District #112-6 Washougal General Obligation Bonds
(FGIC Insured)(b) 6.000 12/1/2019 2,414,711
1,655,000 Douglas County, Washington Public Utility District #
1 Wells Hydroelectric Bonds(b) 8.750 9/1/2018 1,950,533
1,395,000 Douglas County, Washington Public Utility District #
1 Wells Hydroelectric Revenue Bonds 8.750 9/1/2018 1,634,215
1,000,000 Energy Northwest, Washington Electric Revenue Bonds
(Columbia Generating) (Series A) (MBIA Insured) 5.750 7/1/2018 1,137,940
1,000,000 Grant County, Washington Public Utilities District #2
Priest Rapids Hydroelectric Revenue Bonds (Series A)
(MBIA Insured) 5.250 1/1/2017 1,079,190
2,000,000 Grant County, Washington Public Utility District #2
Revenue Bonds (Second Series A) (AMBAC Insured) 5.000 1/1/2023 2,002,340
10,000,000 King County, Washington Sewer Revenue Bonds
(Series B) (FSA Insured) 5.500 1/1/2013 11,352,700
1,500,000 Tacoma, Washington Conservation System Revenue Bonds
(Tacoma Public Utilities Project)(b) 6.600 1/1/2015 1,511,715
8,985,000 Tobacco Settlement Authority, Washington Tobacco
Settlement Revenue 6.500 6/1/2026 8,860,378
45,000 Washington State Bonds (Series 93A)(b) 5.750 10/1/2012 51,191
2,955,000 Washington State General Obligation Bond (Series 93A) 5.750 10/1/2012 3,436,044
2,000,000 Washington State General Obligation Bond (Series B
and AT-7) 6.000 6/1/2012 2,352,480
2,000,000 Washington State General Obligation Bonds (Motor
Vehicle Fuel Tax) 5.000 9/1/2007 2,152,080
1,500,000 Washington State General Obligation Bonds (Series A
and AT-6) 6.250 2/1/2011 1,689,870
5,000,000 Washington State General Obligation Bonds (Series A) 6.750 2/1/2015 6,111,700
2,500,000 Washington State General Obligation Bonds (Series B
and AT-7) 6.250 6/1/2010 2,916,850
1,000,000 Washington State Health Care Facilities Authority
Revenue Bonds (Central Washington Health Services
Association) (AMBAC Insured) 5.000 10/1/2018 1,053,630
1,700,000 Washington State Health Care Facilities Authority
Revenue Bonds (Kadlec Medical Center) 6.000 12/1/2030 1,851,895
2,000,000 Washington State Health Care Facilities Authority
Revenue Bonds (Swedish Health Services) (AMBAC
Insured) 5.125 11/15/2018 2,118,280
1,000,000 Washington State Higher Education Facilities
Authority (Whitman College) 5.875 10/1/2029 1,096,510
2,975,000 Washington State Housing Finance Commission
Multi-Family Mortgage Revenue Bonds (Pooled Loan
Program) (Subject to 'AMT') 6.300 1/1/2021 3,201,308
1,000,000 Washington State Housing Finance Commission Nonprofit
Housing Revenue Bonds (Crista Ministries Projects)
(Series A) 5.350 7/1/2014 1,035,160
3,000,000 Washington State Public Power Supply System Refunding
Revenue Bonds (Nuclear Project #1) (Series A) (MBIA
Insured) 5.750 7/1/2012 3,228,990
2,000,000 Washington State Public Power Supply System
Revenue Bonds (Nuclear Project) (Series A) (MBIA
Insured) 5.750 7/1/2011 2,152,660
- -------------------------------------------------------------------------------------------------------------------------
Total Washington 66,392,370
=========================================================================================================================
Wisconsin (1.2%)
- -------------------------------------------------------------------------------------------------------------------------
1,105,000 Monroe, Wisconsin School District General Obligation
Bonds (AMBAC Insured)(b) 6.875 4/1/2014 1,332,066
1,500,000 Wisconsin State Health and Educational Facilities
Authority Revenue Bonds (Aurora Health Care)
(Series B) 5.500 2/15/2015 1,530,360
1,000,000 Wisconsin State Health and Educational Facilities
Authority Revenue Bonds (Eagle River Memorial
Hospital, Inc. Project) 5.750 8/15/2020 1,098,910
1,000,000 Wisconsin State Health and Educational Facilities
Authority Revenue Bonds (Franciscan Sisters of
Christian Charity Healthcare Ministry, Inc.)
(Series A) 5.500 2/15/2018 1,024,280
2,000,000 Wisconsin State Health and Educational Facilities
Authority Revenue Bonds (Marshfield Clinic)
(Series B) 6.000 2/15/2025 2,088,360
2,000,000 Wisconsin State Health and Educational Facilities
Authority Revenue Bonds (Watertown Memorial Hospital,
Inc.) 5.500 8/15/2029 2,101,960
6,000,000 Wisconsin State Health and Educational Facilities
Authority Revenue Bonds (Wheaton Franciscan
Services)(d) 5.750 8/15/2025 6,348,360
- -------------------------------------------------------------------------------------------------------------------------
Total Wisconsin 15,524,296
=========================================================================================================================
Wyoming (0.7%)
- -------------------------------------------------------------------------------------------------------------------------
5,825,000 Wyoming State Farm Loan Board Capital Facilities
Revenue Bonds 5.750 10/1/2020 6,768,650
2,500,000 Wyoming State Farm Loan Board Capital Projects
Facilities Revenue Bonds 6.100 4/1/2024 2,591,175
- -------------------------------------------------------------------------------------------------------------------------
Total Wyoming 9,359,825
- -------------------------------------------------------------------------------------------------------------------------
Total Long-Term Fixed Income (cost $1,153,954,791) $1,272,991,797
=========================================================================================================================
Principal
Amount Short-Term Investments (1.1%) Interest Rate(i) Maturity Date Value
- -------------------------------------------------------------------------------------------------------------------------
$565,000 Allegheny County, Pennsylvania Hospital Development
Authority Revenue Bonds (West Penn Allegheny Health
Systems) (Series B) 8.550% 11/15/2004 $565,000
5,000,000 Boulder, Larimer and Weld Counties, Colorado St.
Vrain Valley Public School District General
Obligation Bonds (Series A) (MBIA Insured) 6.880 12/15/2004 4,957,345
360,000 Clark County Nevada School District (Series B) (FSA
Insured)(g) 1.630 11/1/2004 360,000
215,000 Delaware County, Pennslyania Industrial Development
Authority Revenue Bonds(g) 1.630 11/1/2004 215,000
2,115,000 Harris County, Texas Health Facilities Development
Authority Revenue Bonds (Texas Childrens Hospital)
(MBIA Insured) (Series B-1)(g) 1.750 11/1/2004 2,115,000
2,600,000 Harris County, Texas Industrial Development
(Pollution Control)(g) 1.630 11/1/2004 2,600,000
2,235,000 Idaho Health Facilities Authority Revenue Bonds(g) 1.690 11/1/2004 2,235,000
100,000 Massachusetts State Health and Educational Facilities
Authority Revenue Bond (Capital Asset Program)
(Series C)(g) 1.720 11/1/2004 100,000
200,000 North Central Texas Health Facility Development
Corporation Revenue Bonds(g) 1.690 11/1/2004 200,000
400,000 Port Authority of New York and New Jersey Special
Obligation Revenue Bonds (Versatile Structure)
(LOC-Bayerische Landesbank)(g) 1.710 11/1/2004 400,000
325,000 Southwest Higher Education Authority Revenue Bonds
(Southern Methodist University)(g) 1.730 11/1/2004 325,000
- -------------------------------------------------------------------------------------------------------------------------
Total Short-Term Investments (at amortized cost) 14,072,345
- -------------------------------------------------------------------------------------------------------------------------
Total Investments (cost $1,168,027,136) $1,287,064,142
=========================================================================================================================
(a) The categories of investments are shown as a percentage of
total investments.
(b) Denotes securities that have been pre-refunded or
escrowed to maturity. Under such an arrangement,
securities or government agency securities with
maturing principal and interest earnings sufficient
to pay all debt service requirements of the
pre-refunded bonds.
(c) Denotes investments purchased on a when-issued basis.
(d) At October 31, 2004, all or a portion of the denoted
securities, valued at $52,205,178, were pledged as
the initial margin deposit or earmarked as collateral
to cover open financial futures contracts as follows:
Notional
Number of Expiration Principal Unrealized
Type Contracts Date Position Value Amount Loss
- -------------------------------------------------------------------------------------------------------------------------
U.S. Treasury Bond
Futures 5 yr. 200 December 2004 Short $(22,275,000) $(22,012,214) $262,786
U.S. Treasury Bond
Futures 10 yr. 200 December 2004 Short $(22,712,500) $(22,373,150) $339,350
(e) Denotes step coupon bonds for which the current
interest rate and next scheduled reset date are
shown.
(f) Earmarked as collateral for long settling trades as
discussed in the notes to the financial statements.
(g) Denotes variable rate obligations for which the
current yield and next scheduled reset date are
shown.
(h) The market value of the denoted categories of
investments represents less than 0.1% of the total
investments of the Thrivent Municipal Bond Fund.
(i) The interest rate shown reflects the yield or, for
securities purchased at a discount, the discount rate
at the date of purchase.
The accompanying notes to the financial statements
are an integral part of this schedule.
Income Fund
Schedule of Investments as of October 31, 2004(a)
Principal
Amount Long-Term Fixed Income (78.7%) Interest Rate Maturity Date Value
- -------------------------------------------------------------------------------------------------------------------------
Asset-Backed Securities (7.7%)
- -------------------------------------------------------------------------------------------------------------------------
$3,000,000 Bank One Issuance Trust(b,c) 1.920% 11/15/2004 $3,001,761
5,500,000 Chase Funding Mortgage Loan Asset Backed 2.734 9/25/2024 5,477,346
5,000,000 Countrywide Asset-Backed Certificates 3.903 12/25/2034 5,004,492
8,000,000 CPL Transition Funding, LLC 5.010 1/15/2010 8,287,832
1,500,000 Credit Based Asset Servicing and Securitization 3.887 9/25/2035 1,505,156
4,000,000 DaimlerChrysler Master Owner Trust(c) 1.920 11/15/2004 4,002,348
3,000,000 First National Master Note Trust(c) 1.970 11/15/2004 3,003,936
5,000,000 Ford Credit Floorplan Master Owner Trust(c) 2.010 11/15/2004 5,010,785
2,750,000 GMAC Mortgage Corporation Loan Trust(c) 2.063 11/25/2004 2,754,771
4,500,000 Honda Auto Receivables Owner Trust 2.790 3/16/2009 4,478,724
6,500,000 Honda Auto Receivables Owner Trust 2.960 4/20/2009 6,484,836
5,250,000 MBNA Credit Card Master Note Trust(c) 1.980 11/15/2004 5,260,773
4,500,000 Nissan Auto Lease Trust Series 3.180 6/15/2010 4,499,820
2,250,000 Residential Asset Securities Corporation 3.250 5/25/2029 2,240,132
- -------------------------------------------------------------------------------------------------------------------------
Total Asset-Backed Securities 61,012,712
=========================================================================================================================
Basic Materials (2.3%)
- -------------------------------------------------------------------------------------------------------------------------
2,500,000 Georgia-Pacific Corporation(d) 8.875 2/1/2010 2,943,750
6,000,000 Glencore Funding, LLC(b) 6.000 4/15/2014 5,696,232
1,300,000 International Steel Group, Inc. 6.500 4/15/2014 1,391,000
1,500,000 Meadwestvaco Corporation 6.850 4/1/2012 1,687,412
2,250,000 NOVA Chemicals Corporation 6.500 1/15/2012 2,368,125
1,675,000 Peabody Energy Corporation(d) 6.875 3/15/2013 1,838,312
2,000,000 Precision Castparts Corporation 5.600 12/15/2013 2,060,300
- -------------------------------------------------------------------------------------------------------------------------
Total Basic Materials 17,985,131
=========================================================================================================================
Capital Goods (2.2%)
- -------------------------------------------------------------------------------------------------------------------------
2,000,000 Crown Euro Holdings SA(d) 9.500 3/1/2011 2,280,000
4,000,000 Goodrich Corporation(d) 7.625 12/15/2012 4,737,168
3,000,000 Lockheed Martin Corporation 7.650 5/1/2016 3,672,357
3,138,827 Systems 2001 Asset Trust, LLC 6.664 9/15/2013 3,493,043
3,000,000 Tyco International Group SA(d) 6.000 11/15/2013 3,277,398
- -------------------------------------------------------------------------------------------------------------------------
Total Capital Goods 17,459,966
=========================================================================================================================
Commercial Mortgage-Backed Securities (6.7%)
- -------------------------------------------------------------------------------------------------------------------------
1,045,612 Banc of America Commercial Mortgage, Inc. 3.366 7/11/2043 1,049,715
2,000,000 Banc of America Commercial Mortgage, Inc.(b) 5.118 7/11/2043 2,091,898
4,500,000 Bear Stearns Commercial Mortgage Securities(e) 3.700 8/13/2046 4,519,688
5,500,000 Commercial Mortgage Pass-Through Certificates(e) 4.405 10/15/2037 5,500,000
4,000,000 Credit Suisse First Boston Mortgage Securities
Corporation 3.861 3/15/2036 4,032,660
6,000,000 Credit Suisse First Boston Mortgage Securities
Corporation(b) 2.843 5/15/2038 5,851,254
5,264,158 J.P. Morgan Chase Commercial Mortgage Securities
Corporation(c) 2.217 11/14/2004 5,265,131
4,000,000 J.P. Morgan Chase Commercial Mortgage Securities
Corporation 4.302 1/15/2038 4,003,744
7,000,000 LB-UBS Commercial Mortgage Trust 3.323 3/15/2027 6,942,096
4,000,000 LB-UBS Commercial Mortgage Trust 6.653 11/15/2027 4,530,188
3,853,205 Lehman Brothers "CALSTRS" Mortgage Trust 3.988 11/20/2012 3,906,013
5,500,000 Morgan Stanley Capital I, Inc. 3.920 4/14/2040 5,549,621
- -------------------------------------------------------------------------------------------------------------------------
Total Commercial Mortgage-Backed Securities 53,242,008
=========================================================================================================================
Communications Services (6.9%)
- -------------------------------------------------------------------------------------------------------------------------
2,500,000 AT&T Wireless Services, Inc.(d) 8.125 5/1/2012 3,049,942
1,000,000 Cox Communications, Inc. 6.750 3/15/2011 1,098,498
2,000,000 Cox Communications, Inc. 4.625 6/1/2013 1,906,502
1,400,000 CSC Holdings, Inc.(d) 7.625 4/1/2011 1,522,500
1,250,000 CSC Holdings, Inc. 6.750 4/15/2012 1,293,750
5,000,000 Deutsche Telekom International Finance BV(f) 8.500 6/15/2010 6,023,795
2,000,000 EchoStar DBS Corporation 5.750 10/1/2008 2,045,000
4,000,000 Interpublic Group of Companies, Inc. 7.250 8/15/2011 4,389,512
1,050,000 Liberty Media Corporation, Convertible 3.250 3/15/2031 977,812
2,500,000 News America Holdings 8.150 10/17/2036 3,186,930
3,000,000 Nextel Communications, Inc.(d) 5.950 3/15/2014 3,067,500
1,000,000 PanAmSat Corporation(d) 9.000 8/15/2014 1,060,000
2,000,000 Qwest Corporation 8.875 3/15/2012 2,255,000
2,250,000 SBC Communications, Inc.(e) 4.125 9/15/2009 2,261,248
6,000,000 Sprint Capital Corporation(d) 6.900 5/1/2019 6,717,066
3,000,000 TCI Communications, Inc. 8.750 8/1/2015 3,810,801
4,000,000 Telecom Italia Capital SA(d) 5.250 11/15/2013 4,095,552
2,000,000 Verizon Global Funding Corporation 4.375 6/1/2013 1,961,532
3,500,000 Verizon Pennsylvania, Inc.(d) 5.650 11/15/2011 3,723,174
- -------------------------------------------------------------------------------------------------------------------------
Total Communications Services 54,446,114
=========================================================================================================================
Consumer Cyclical (4.4%)
- -------------------------------------------------------------------------------------------------------------------------
6,000,000 AOL Time Warner, Inc.(d) 6.875 5/1/2012 6,824,862
800,000 Best Buy Company, Inc., Convertible 2.250 1/15/2022 877,000
2,750,000 D.R. Horton, Inc.(b) 7.500 12/1/2007 3,004,375
2,000,000 D.R. Horton, Inc. 4.875 1/15/2010 1,990,000
3,000,000 DaimlerChrysler North American Holdings
Corporation(d) 4.750 1/15/2008 3,090,783
3,500,000 DaimlerChrysler North American Holdings
Corporation(d) 6.500 11/15/2013 3,821,954
2,000,000 General Motors Acceptance Corporation(d) 7.750 1/19/2010 2,182,806
2,000,000 KB Home 6.375 8/15/2011 2,095,000
750,000 Kerzner International, Ltd., Convertible 2.375 4/15/2024 795,938
1,600,000 Liberty Media Corporation, Convertible 0.750 3/30/2023 1,740,000
1,900,000 Mohegan Tribal Gaming Authority(d) 6.375 7/15/2009 1,990,250
2,000,000 Royal Caribbean Cruises, Ltd.(d) 8.000 5/15/2010 2,290,000
1,350,000 Station Casinos, Inc.(d) 6.500 2/1/2014 1,424,250
2,500,000 Yum! Brands, Inc. 7.650 5/15/2008 2,824,805
- -------------------------------------------------------------------------------------------------------------------------
Total Consumer Cyclical 34,952,023
=========================================================================================================================
Consumer Non-Cyclical (2.0%)
- -------------------------------------------------------------------------------------------------------------------------
4,000,000 Bunge Limited Finance Corporation 7.800 10/15/2012 4,752,056
1,690,000 Fisher Scientific International, Inc. 8.125 5/1/2012 1,884,350
500,000 Fisher Scientific International, Inc. 6.750 8/15/2014 535,000
4,500,000 Hospira, Inc. 4.950 6/15/2009 4,613,512
2,000,000 Stater Brothers Holdings, Inc.(d) 8.125 6/15/2012 2,120,000
1,600,000 Teva Pharmaceut Finance, LLC, Convertible 0.250 2/1/2024 1,544,000
- -------------------------------------------------------------------------------------------------------------------------
Total Consumer Non-Cyclical 15,448,918
=========================================================================================================================
Energy (2.4%)
- -------------------------------------------------------------------------------------------------------------------------
1,500,000 Chesapeake Energy Corporation(d) 7.000 8/15/2014 1,627,500
1,000,000 EnCana Corporation 4.600 8/15/2009 1,029,783
4,500,000 Gazprom International SA(d) 7.201 2/1/2020 4,725,000
2,000,000 LG-Caltex Oil Corporation 5.500 8/25/2014 2,075,228
1,000,000 Newfield Exploration Company 6.625 9/1/2014 1,072,500
833,333 Pemex Finance, Ltd. 8.450 2/15/2007 883,617
4,000,000 Pioneer Natural Resources Company(d) 5.875 7/15/2016 4,248,516
1,500,000 Premcor Refining Group, Inc. 6.125 5/1/2011 1,582,500
1,500,000 XTO Energy, Inc. 5.000 1/31/2015 1,504,788
- -------------------------------------------------------------------------------------------------------------------------
Total Energy 18,749,432
=========================================================================================================================
Financials (14.1%)
- -------------------------------------------------------------------------------------------------------------------------
3,000,000 Capital One Financial Corporation(d) 6.250 11/15/2013 3,242,565
5,000,000 CIT Group, Inc. 4.000 5/8/2008 5,052,265
3,500,000 Citigroup, Inc.(c) 1.780 11/8/2004 3,501,218
4,000,000 Danske Bank A/S 5.914 6/16/2014 4,263,052
7,000,000 Equitable Life Assurance Society USA(b) 6.950 12/1/2005 7,299,971
6,000,000 General Electric Capital Corporation(b,c) 1.044 12/2/2004 6,015,000
800,000 Goldman Sachs Group, Inc., Convertible(c) Zero Coupon 11/20/2004 763,224
800,000 Goldman Sachs Group, Inc., Convertible(c) 0.060 3/21/2005 774,392
650,000 Goldman Sachs Group, Inc., Convertible 1.500 7/23/2009 641,492
4,500,000 HSBC Capital Funding, LP(d,f) 9.547 6/30/2010 5,697,580
1,500,000 ING Capital Funding Trust III 8.439 12/31/2010 1,819,078
2,750,000 International Lease Finance Corporation(d) 5.625 6/1/2007 2,896,655
3,000,000 iSTAR Financial, Inc.(d) 5.125 4/1/2011 3,039,291
4,000,000 J.P. Morgan Chase & Company(d) 5.125 9/15/2014 4,064,312
28,140,000 Lehman Brothers, Inc.(b) 6.539 8/15/2008 29,922,106
5,000,000 Montpelier Reinsurance Holdings, Ltd. 6.125 8/15/2013 5,211,345
1,500,000 Popular North America, Inc. 4.700 6/30/2009 1,543,498
4,000,000 Protective Life Secured Trust 4.000 10/7/2009 4,017,960
6,000,000 RBS Capital Trust I(f) 4.709 7/1/2013 5,870,280
3,500,000 SouthTrust Corporation 5.800 6/15/2014 3,759,808
7,000,000 United Overseas Bank, Ltd. 5.375 9/3/2019 7,191,485
4,500,000 Wells Fargo Capital 7.730 12/1/2026 5,004,855
- -------------------------------------------------------------------------------------------------------------------------
Total Financials 111,591,432
=========================================================================================================================
Foreign (2.0%)
- -------------------------------------------------------------------------------------------------------------------------
6,000,000 Corporacion Andina de Fomento 6.875 3/15/2012 6,729,258
4,000,000 Pemex Finance, Ltd. 9.030 2/15/2011 4,676,880
2,500,000 United Mexican States(d) 9.875 2/1/2010 3,102,500
1,000,000 United Mexican States 6.375 1/16/2013 1,062,500
- -------------------------------------------------------------------------------------------------------------------------
Total Foreign 15,571,138
=========================================================================================================================
Mortgage-Backed Securities (5.5%)
- -------------------------------------------------------------------------------------------------------------------------
10,750,000 Federal National Mortgage Association 15-Yr.
Conventional(e) 5.500 11/1/2019 11,129,604
30,750,000 Federal National Mortgage Association 30-Yr.
Conventional(e) 6.000 11/1/2034 31,874,282
- -------------------------------------------------------------------------------------------------------------------------
Total Mortgage-Backed Securities 43,003,886
=========================================================================================================================
Technology (0.4%)
- -------------------------------------------------------------------------------------------------------------------------
2,000,000 Electronic Data Systems Corporation(d) 6.000 8/1/2013 2,042,628
1,100,000 Unisys Corporation(d) 6.875 3/15/2010 1,177,000
- -------------------------------------------------------------------------------------------------------------------------
Total Technology 3,219,628
=========================================================================================================================
Transportation (3.5%)
- -------------------------------------------------------------------------------------------------------------------------
4,500,000 CNF, Inc.(b) 8.875 5/1/2010 5,416,042
1,000,000 FedEx Corporation 3.500 4/1/2009 987,098
3,424,998 FedEx Corporation 6.720 1/15/2022 3,868,946
5,250,000 Hertz Corporation 7.400 3/1/2011 5,717,880
2,500,000 MISC Capital Ltd. 5.000 7/1/2009 2,603,708
4,000,000 Southwest Airlines Company(b) 5.496 11/1/2006 4,166,948
5,398,672 United Air Lines, Inc.(g) 7.186 4/1/2011 4,624,827
- -------------------------------------------------------------------------------------------------------------------------
Total Transportation 27,385,449
=========================================================================================================================
U.S. Government (11.3%)
- -------------------------------------------------------------------------------------------------------------------------
7,250,000 Federal Home Loan Bank(d) 1.625 4/15/2005 7,232,832
10,000,000 Federal Home Loan Mortgage Corporation(c) 1.825 12/9/2004 9,999,570
13,000,000 Federal National Mortgage Association(b) 2.375 12/15/2005 12,986,428
13,000,000 U.S. Treasury Bonds(d) 6.125 8/15/2029 15,350,153
7,492,290 U.S. Treasury Inflation Indexed Bonds 3.875 4/15/2029 9,962,408
1,750,000 U.S. Treasury Notes(d) 1.625 4/30/2005 1,745,898
1,750,000 U.S. Treasury Notes(d) 3.250 8/15/2008 1,763,809
8,000,000 U.S. Treasury Notes(d) 2.625 3/15/2009 7,821,872
2,000,000 U.S. Treasury Notes 5.000 2/15/2011 2,159,688
4,500,000 U.S. Treasury Notes(d) 3.875 2/15/2013 4,501,404
1,500,000 U.S. Treasury Notes 4.250 8/15/2014 1,526,484
17,000,000 U.S. Treasury Principal Strips Zero Coupon 11/15/2022 6,865,603
10,250,000 U.S. Treasury Strips(d) Zero Coupon 2/15/2013 7,321,903
- -------------------------------------------------------------------------------------------------------------------------
Total U.S. Government 89,238,052
=========================================================================================================================
Utilities (7.3%)
- -------------------------------------------------------------------------------------------------------------------------
1,500,000 ANR Pipeline Company(d) 8.875 3/15/2010 1,683,750
3,250,000 Atmos Energy Corporation 4.000 10/15/2009 3,236,954
2,000,000 Centerpoint Energy, Inc.(d) 7.250 9/1/2010 2,238,270
5,500,000 Duke Capital, LLC 5.668 8/15/2014 5,695,140
3,000,000 Enterprise Products Operating, LP 5.600 10/15/2014 3,057,066
1,200,000 Ferrellgas Partners, LP(d) 6.750 5/1/2014 1,242,000
1,000,000 FirstEnergy Corporation 5.500 11/15/2006 1,040,528
4,000,000 FirstEnergy Corporation(d) 6.450 11/15/2011 4,382,704
2,250,000 Kinder Morgan Energy Partners, LP 7.500 11/1/2010 2,621,588
2,000,000 Kinder Morgan Energy Partners, LP(d) 7.750 3/15/2032 2,405,736
4,000,000 Magellan Midstream Partners, LP 5.650 10/15/2016 4,069,448
2,500,000 MidAmerican Energy Holdings Company 7.630 10/15/2007 2,774,268
3,000,000 Pacific Gas & Electric Company(d) 6.050 3/1/2034 3,089,784
500,000 Plains All American Pipeline, LP 5.875 8/15/2016 522,230
831,237 Power Contract Financing, LLC 5.200 2/1/2006 842,775
2,000,000 Power Contract Financing, LLC 6.256 2/1/2010 2,093,080
2,869,692 Power Receivables Finance, LLC 6.290 1/1/2012 3,020,323
2,000,000 Public Service Company of New Mexico 4.400 9/15/2008 2,022,876
1,750,000 Southern Natural Gas Company(d) 8.875 3/15/2010 1,970,938
3,450,000 Texas-New Mexico Power Company 6.125 6/1/2008 3,576,101
2,000,000 Transcontinental Gas Pipe Corporation 8.875 7/15/2012 2,470,000
3,000,000 Westar Energy, Inc. 7.875 5/1/2007 3,321,660
- -------------------------------------------------------------------------------------------------------------------------
Total Utilities 57,377,219
- -------------------------------------------------------------------------------------------------------------------------
Total Long-Term Fixed Income (cost $601,631,056) 620,683,108
=========================================================================================================================
Shares Preferred Stock (0.3%) Value
- -------------------------------------------------------------------------------------------------------------------------
12,250 Goldman Sachs Group, Inc., Convertible(h) $1,144,358
22,122 Morgan Stanley and Company, Convertible(h) 708,789
15,000 Washington Mutual, Convertible(d) 798,420
- -------------------------------------------------------------------------------------------------------------------------
Total Preferred Stock (cost $2,865,658) 2,651,567
=========================================================================================================================
Shares Collateral Held for Securities Loaned (15.0%) Interest Rate (i) Maturity Date Value
- -------------------------------------------------------------------------------------------------------------------------
118,054,151 Thrivent Financial Securities Lending Trust 1.820% N/A $118,054,151
- -------------------------------------------------------------------------------------------------------------------------
Total Collateral Held for Securities Loaned (cost
$118,054,151) 118,054,151
=========================================================================================================================
Shares or
Principal
Amount Short-Term Investments (6.0%) Interest Rate (i) Maturity Date Value
- -------------------------------------------------------------------------------------------------------------------------
$5,000,000 Federal National Mortgage Association Discount Notes 1.780% 11/8/2004 $4,998,299
15,760,000 New Center Asset Trust 1.830 11/1/2004 15,760,000
26,878,144 Thrivent Money Market Fund 0.820 N/A 26,878,144
- -------------------------------------------------------------------------------------------------------------------------
Total Short-Term Investments (at amortized cost) 47,636,443
- -------------------------------------------------------------------------------------------------------------------------
Total Investments (cost $770,187,308) $789,025,269
=========================================================================================================================
(a) The categories of investments are shown as a percentage of
total investments.
(b) Earmarked as collateral for long settling trades as
discussed in the notes to the financial statements.
(c) Denotes variable rate obligations for which the
current yield and next scheduled reset date are
shown.
(d) All or a portion of the security is on loan as
discussed in item 2(L) of the Notes to Financial
Statements.
(e) Denotes investments purchased on a when-issued basis.
(f) Denotes step coupon bonds for which the current
interest rate and next scheduled reset date are
shown.
(g) In bankruptcy.
(h) Non-income producing security.
(i) The interest rate shown reflects the yield or, for
securities purchased at a discount, the discount rate
at the date of purchase.
The accompanying notes to the financial statements
are an integral part of this schedule.
Core Bond Fund
Schedule of Investments as of October 31, 2004(a)
Principal
Amount Long-Term Fixed Income (79.4%) Interest Rate Maturity Date Value
- -------------------------------------------------------------------------------------------------------------------------
Asset-Backed Securities (8.1%)
- -------------------------------------------------------------------------------------------------------------------------
$3,000,000 Associates Manufactured Housing Contract Pass-Through
Certificates 7.900% 3/15/2027 $3,202,488
12,500,000 Chase Credit Card Master Trust(b,c) 2.000 11/15/2004 12,529,688
6,000,000 Countrywide Asset Backed Certificates(b) 4.905 8/25/2032 6,105,336
4,000,000 Countrywide Asset-Backed Certificates 3.903 12/25/2034 4,003,594
1,157,000 Credit Based Asset Servicing and Securitization 3.887 9/25/2035 1,160,977
1,100,318 EQCC Home Equity Loan Trust 6.930 2/15/2029 1,102,634
2,721,398 Federal Home Loan Mortgage Corporation 3.158 12/27/2029 2,722,786
11,000,000 GMAC Mortgage Corporation Loan Trust(b,c) 2.063 11/25/2004 11,019,085
2,496,549 Green Tree Financial Corporation 7.650 10/15/2027 2,706,219
5,000,000 Harley Davidson Motorcycle Trust 3.200 5/15/2012 4,993,495
1,000,000 Residential Asset Securities Corporation 3.250 5/25/2029 995,614
2,000,000 Residential Asset Securities Corporation 4.040 7/25/2030 2,010,420
- -------------------------------------------------------------------------------------------------------------------------
Total Asset-Backed Securities 52,552,336
=========================================================================================================================
Basic Materials (1.8%)
- -------------------------------------------------------------------------------------------------------------------------
1,500,000 Codelco, Inc. 5.500 10/15/2013 1,570,180
2,000,000 Glencore Funding, LLC 6.000 4/15/2014 1,898,744
2,000,000 Lubrizol Corporation(d) 5.875 12/1/2008 2,122,736
1,500,000 Packaging Corporation of America 4.375 8/1/2008 1,524,002
2,000,000 Precision Castparts Corporation 5.600 12/15/2013 2,060,300
2,000,000 Weyerhaeuser Company 5.250 12/15/2009 2,108,708
- -------------------------------------------------------------------------------------------------------------------------
Total Basic Materials 11,284,670
=========================================================================================================================
Capital Goods (1.8%)
- -------------------------------------------------------------------------------------------------------------------------
3,500,000 Goodrich Corporation 6.450 12/15/2007 3,789,754
1,900,000 Sealed Air Corporation 5.375 4/15/2008 1,986,119
5,250,000 Tyco International Group SA 6.000 11/15/2013 5,735,446
- -------------------------------------------------------------------------------------------------------------------------
Total Capital Goods 11,511,319
=========================================================================================================================
Commercial Mortgage-Backed Securities (11.3%)
- -------------------------------------------------------------------------------------------------------------------------
5,000,000 Banc of America Commercial Mortgage, Inc.(b) 6.085 6/11/2035 5,490,805
3,000,000 Banc of America Commercial Mortgage, Inc.(b) 5.118 7/11/2043 3,137,847
3,000,000 Bear Stearns Commercial Mortgage Securities(b) 3.869 2/11/2041 2,997,876
1,321,917 CAM Commercial Mortgage Corporation 4.834 11/14/2036 1,348,189
4,000,000 Commercial Mortgage Pass-Through Certificates(e) 4.405 10/15/2037 4,000,000
3,000,000 Credit Suisse First Boston Mortgage Securities
Corporation 3.516 1/15/2037 2,979,843
4,000,000 First Union National Bank Commercial Mortgage 7.390 12/15/2031 4,596,484
1,721,926 First Union-Lehman Brothers-Bank of America
Commercial Mortgage Trust 6.280 11/18/2035 1,743,550
2,600,000 LB-UBS Commercial Mortgage Trust 3.323 3/15/2027 2,578,493
8,000,000 LB-UBS Commercial Mortgage Trust 3.086 5/15/2027 7,859,360
3,250,000 LB-UBS Commercial Mortgage Trust 6.653 11/15/2027 3,680,778
5,500,000 LB-UBS Commercial Mortgage Trust 4.187 8/15/2029 5,584,068
5,500,000 Morgan Stanley Capital I, Inc. 6.210 11/15/2031 5,988,702
4,000,000 Morgan Stanley Capital I, Inc. 3.920 4/14/2040 4,036,088
5,000,000 Nationslink Funding Corporation(b) 6.476 8/20/2030 5,457,910
3,000,000 Wachovia Bank Commercial Mortgage Trust 4.390 2/15/2036 3,020,895
8,200,000 Wachovia Bank Commercial Mortgage Trust(b) 4.260 1/15/2041 8,339,507
- -------------------------------------------------------------------------------------------------------------------------
Total Commercial Mortgage-Backed Securities 72,840,395
=========================================================================================================================
Communications Services (4.7%)
- -------------------------------------------------------------------------------------------------------------------------
1,750,000 AT&T Broadband Corporation 8.375 3/15/2013 2,147,077
2,150,000 AT&T Wireless Services, Inc. 8.125 5/1/2012 2,622,951
1,500,000 AT&T Wireless Services, Inc. 8.750 3/1/2031 2,013,777
4,000,000 Continental Cablevision, Inc.(b) 8.875 9/15/2005 4,205,688
2,500,000 Cox Communications, Inc.(d) 6.750 3/15/2011 2,746,245
2,750,000 Deutsche Telekom International Finance BV(f) 8.500 6/15/2010 3,313,087
2,500,000 News America, Inc. 7.250 5/18/2018 2,904,710
1,750,000 SBC Communications, Inc.(e) 4.125 9/15/2009 1,758,748
2,000,000 Sprint Capital Corporation(d) 7.625 1/30/2011 2,339,114
2,000,000 Sprint Capital Corporation 6.900 5/1/2019 2,239,022
2,000,000 Telefonos de Mexico SA 4.500 11/19/2008 2,017,622
2,000,000 Verizon Global Funding Corporation 7.250 12/1/2010 2,332,878
- -------------------------------------------------------------------------------------------------------------------------
Total Communications Services 30,640,919
=========================================================================================================================
Consumer Cyclical (3.3%)
- -------------------------------------------------------------------------------------------------------------------------
2,000,000 AOL Time Warner, Inc. 6.875 5/1/2012 2,274,954
3,000,000 D.R. Horton, Inc. 7.500 12/1/2007 3,277,500
1,750,000 D.R. Horton, Inc. 5.000 1/15/2009 1,771,875
2,000,000 D.R. Horton, Inc. 4.875 1/15/2010 1,990,000
2,000,000 DaimlerChrysler North American Holdings Corporation 4.750 1/15/2008 2,060,522
2,000,000 Ford Motor Credit Company 7.375 2/1/2011 2,169,590
2,500,000 General Motors Acceptance Corporation(d) 7.750 1/19/2010 2,728,508
2,000,000 KB Home 6.375 8/15/2011 2,095,000
1,500,000 Park Place Entertainment Corporation(d) 8.500 11/15/2006 1,650,000
1,000,000 Ryland Group, Inc.(d) 8.000 8/15/2006 1,075,000
- -------------------------------------------------------------------------------------------------------------------------
Total Consumer Cyclical 21,092,949
=========================================================================================================================
Consumer Non-Cyclical (0.6%)
- -------------------------------------------------------------------------------------------------------------------------
3,500,000 Bunge Limited Finance Corporation 7.800 10/15/2012 4,158,049
- -------------------------------------------------------------------------------------------------------------------------
Total Consumer Non-Cyclical 4,158,049
=========================================================================================================================
Energy (2.0%)
- -------------------------------------------------------------------------------------------------------------------------
3,000,000 Devon Financing Corporation, ULC 6.875 9/30/2011 3,435,093
1,500,000 Kerr Mc Gee Corporation 6.875 9/15/2011 1,703,788
2,000,000 Kerr Mc Gee Corporation(d) 6.950 7/1/2024 2,202,682
2,250,000 Pemex Project Funding Master Trust(f) 8.000 11/15/2011 2,587,500
1,000,000 Pioneer Natural Resources Company 5.875 7/15/2016 1,062,129
1,000,000 XTO Energy, Inc.(d) 4.900 2/1/2014 1,003,616
1,000,000 XTO Energy, Inc. 5.000 1/31/2015 1,003,192
- -------------------------------------------------------------------------------------------------------------------------
Total Energy 12,998,000
=========================================================================================================================
Financials (10.6%)
- -------------------------------------------------------------------------------------------------------------------------
2,000,000 Archstone-Smith Trust 3.000 6/15/2008 1,950,276
3,000,000 Australia & New Zealand Banking Group, Ltd. Capital
Trust I 4.484 1/15/2010 3,030,165
2,000,000 Capital One Financial Corporation(b) 8.750 2/1/2007 2,229,304
1,500,000 Capital One Financial Corporation 6.250 11/15/2013 1,621,282
3,500,000 Countrywide Home Loans, Inc.(b) 4.000 3/22/2011 3,410,225
2,500,000 Goldman Sachs Group, Inc. 5.250 10/15/2013 2,559,360
2,000,000 HSBC Capital Funding, LP(f) 9.547 6/30/2010 2,532,258
2,500,000 ING Capital Funding Trust III 8.439 12/31/2010 3,031,798
2,300,000 iSTAR Financial, Inc. 4.875 1/15/2009 2,347,971
13,650,000 Lehman Brothers, Inc. 6.539 8/15/2008 14,514,454
4,000,000 MBNA America Bank NA 4.625 8/3/2009 4,106,876
1,750,000 Montpelier Reinsurance Holdings, Ltd. 6.125 8/15/2013 1,823,971
1,500,000 Popular North America, Inc. 4.700 6/30/2009 1,543,498
2,000,000 RBS Capital Trust II(f) 6.425 1/3/2034 2,080,338
4,000,000 Regency Centers, LP 7.125 7/15/2005 4,120,396
2,500,000 Royal Bank of Scotland Group plc 9.118 3/31/2010 3,076,928
2,250,000 Simon Property Group, LP 6.375 11/15/2007 2,430,180
2,000,000 Simon Property Group, LP 4.875 8/15/2010 2,039,320
3,000,000 Union Planters Corporation 7.750 3/1/2011 3,565,914
1,500,000 Vornado Realty Trust 5.625 6/15/2007 1,575,520
2,500,000 Washington Mutual Bank FA 5.650 8/15/2014 2,608,525
2,500,000 Westpac Capital Trust III 5.819 9/30/2013 2,627,275
- -------------------------------------------------------------------------------------------------------------------------
Total Financials 68,825,834
=========================================================================================================================
Foreign (0.8%)
- -------------------------------------------------------------------------------------------------------------------------
2,500,000 Corporacion Andina de Fomento(b) 6.875 3/15/2012 2,803,858
2,000,000 Korea Development Bank 4.750 7/20/2009 2,066,354
- -------------------------------------------------------------------------------------------------------------------------
Total Foreign 4,870,212
=========================================================================================================================
Mortgage-Backed Securities (14.1%)
- -------------------------------------------------------------------------------------------------------------------------
22,000,000 Federal National Mortgage Association 15-Yr.
Conventional(e) 5.500 11/1/2019 22,776,864
66,000,000 Federal National Mortgage Association 30-Yr.
Conventional(e) 6.000 11/1/2034 68,413,089
- -------------------------------------------------------------------------------------------------------------------------
Total Mortgage-Backed Securities 91,189,953
=========================================================================================================================
Technology (0.4%)
- -------------------------------------------------------------------------------------------------------------------------
2,500,000 Deluxe Corporation 3.500 10/1/2007 2,478,845
- -------------------------------------------------------------------------------------------------------------------------
Total Technology 2,478,845
=========================================================================================================================
U.S. Government (13.6%)
- -------------------------------------------------------------------------------------------------------------------------
10,000,000 Federal Home Loan Mortgage Corporation(b,c) 1.825 12/9/2004 9,999,570
8,000,000 Federal National Mortgage Association(b,c) 1.984 11/1/2004 8,000,592
10,500,000 Federal National Mortgage Association 2.625 11/15/2006 10,465,088
12,500,000 Federal National Mortgage Association(b) 5.500 3/15/2011 13,556,038
3,000,000 U.S. Treasury Bonds(d) 5.375 2/15/2031 3,258,399
9,500,000 U.S. Treasury Notes(d) 3.125 4/15/2009 9,474,398
5,500,000 U.S. Treasury Notes(d) 4.000 6/15/2009 5,679,394
2,500,000 U.S. Treasury Notes(d) 3.500 8/15/2009 2,525,880
20,350,000 U.S. Treasury Notes(d) 6.000 8/15/2009 22,805,512
125,000 U.S. Treasury Notes(d) 6.500 2/15/2010 143,823
1,000,000 U.S. Treasury Notes 5.000 2/15/2011 1,079,844
1,000,000 U.S. Treasury Notes(d) 4.750 5/15/2014 1,057,344
- -------------------------------------------------------------------------------------------------------------------------
Total U.S. Government 88,045,882
=========================================================================================================================
Utilities (6.3%)
- -------------------------------------------------------------------------------------------------------------------------
3,000,000 Alliant Energy Resources, Inc. 7.375 11/9/2009 3,398,466
2,500,000 Atmos Energy Corporation 4.000 10/15/2009 2,489,965
2,500,000 Centerpoint Energy, Inc.(d) 7.250 9/1/2010 2,797,838
2,000,000 DTE Energy Company 7.050 6/1/2011 2,273,002
2,000,000 Enterprise Products Operating, LP 4.000 10/15/2007 2,015,752
1,000,000 Enterprise Products Operating, LP 5.600 10/15/2014 1,019,022
5,250,000 FirstEnergy Corporation 6.450 11/15/2011 5,752,299
3,000,000 Magellan Midstream Partners, LP 5.650 10/15/2016 3,052,086
2,000,000 NiSource Finance Corporation 7.875 11/15/2010 2,374,060
2,000,000 Plains All American Pipeline, LP 4.750 8/15/2009 2,061,080
500,000 Plains All American Pipeline, LP 5.875 8/15/2016 522,230
2,327,464 Power Contract Financing, LLC 5.200 2/1/2006 2,359,769
1,434,846 Power Receivables Finance, LLC 6.290 1/1/2012 1,510,161
2,500,000 Texas-New Mexico Power Company 6.125 6/1/2008 2,591,378
2,500,000 Westar Energy, Inc. 7.875 5/1/2007 2,768,050
500,000 Westar Energy, Inc. 6.000 7/1/2014 540,730
3,000,000 Xcel Energy, Inc. 7.000 12/1/2010 3,420,456
- -------------------------------------------------------------------------------------------------------------------------
Total Utilities 40,946,344
- -------------------------------------------------------------------------------------------------------------------------
Total Long-Term Fixed Income (cost $502,685,967) 513,435,707
=========================================================================================================================
Shares Collateral Held for Securities Loaned (7.6%) Interest Rate(g) Maturity Date Value
- -------------------------------------------------------------------------------------------------------------------------
48,968,408 Thrivent Financial Securities Lending Trust 1.820% N/A $48,968,408
- -------------------------------------------------------------------------------------------------------------------------
Total Collateral Held for Securities Loaned (cost
$48,968,408) 48,968,408
=========================================================================================================================
Shares or
Principal
Amount Short-Term Investments (13.0%) Interest Rate(g) Maturity Date Value
- -------------------------------------------------------------------------------------------------------------------------
$7,500,000 Amsterdam Funding Corporation 1.970% 12/8/2004 $7,484,815
6,000,000 Federal Home Loan Mortgage Corporation 1.780 11/9/2004 5,997,667
3,951,000 Federal National Mortgage Association(b) 1.936 12/6/2004 3,943,702
10,000,000 Preferred Receivables Funding Corporation(b) 1.890 11/22/2004 9,988,975
10,000,000 Ranger Funding Company, LLC 1.850 11/18/2004 9,991,264
24,736,627 Thrivent Money Market Fund 0.820 N/A 24,736,627
11,730,000 Total Capital SA 1.860 11/1/2004 11,730,000
10,000,000 Windmill Funding Corporation(b) 1.780 11/9/2004 9,996,044
- -------------------------------------------------------------------------------------------------------------------------
Total Short-Term Investments (at amortized cost) 83,869,094
- -------------------------------------------------------------------------------------------------------------------------
Total Investments (cost $635,523,469) $646,273,209
=========================================================================================================================
(a) The categories of investments are shown as a percentage of
total investments.
(b) Earmarked as collateral for long settling trades as
discussed in the notes to the financial statements.
(c) Denotes variable rate obligations for which the
current yield and next scheduled reset date are
shown.
(d) All or a portion of the security is on loan as
discussed in item 2(L) of the Notes to Financial
Statements.
(e) Denotes investments purchased on a when-issued basis.
(f) Denotes step coupon bonds for which the current
interest rate and next scheduled reset date are
shown.
(g) The interest rate shown reflects the yield or, for
securities purchased at a discount, the discount rate
at the date of purchase.
The accompanying notes to the financial statements
are an integral part of this schedule.
Bond Index Fund-I
Schedule of Investments as of October 31, 2004(a)
Principal
Amount Long-Term Fixed Income (66.1%) Interest Rate Maturity Date Value
- -------------------------------------------------------------------------------------------------------------------------
Asset-Backed Securities (0.8%)
- -------------------------------------------------------------------------------------------------------------------------
$24,042 Advanta Mortgage Loan Trust(b) 7.750% 10/25/2026 $24,929
64,725 EQCC Home Equity Loan Trust(b) 6.930 2/15/2029 64,861
250,000 Honda Auto Receivables Owner Trust(b) 2.480 7/18/2008 249,189
- -------------------------------------------------------------------------------------------------------------------------
Total Asset-Backed Securities 338,979
=========================================================================================================================
Basic Materials (0.5%)
- -------------------------------------------------------------------------------------------------------------------------
100,000 Dow Chemical Company(b) 5.750 11/15/2009 107,440
100,000 International Paper Company(b,c) 5.850 10/30/2012 106,764
- -------------------------------------------------------------------------------------------------------------------------
Total Basic Materials 214,204
=========================================================================================================================
Capital Goods (1.0%)
- -------------------------------------------------------------------------------------------------------------------------
100,000 Boeing Capital Corporation(d) 6.100 3/1/2011 109,887
100,000 General Electric Company(b) 5.000 2/1/2013 103,658
50,000 Hutchison Whampoa International, Ltd.(b) 5.450 11/24/2010 51,478
75,000 Northrop Grumman Corporation(b) 7.125 2/15/2011 86,476
50,000 Raytheon Company 5.500 11/15/2012 52,975
- -------------------------------------------------------------------------------------------------------------------------
Total Capital Goods 404,474
=========================================================================================================================
Commercial Mortgage-Backed Securities (1.8%)
- -------------------------------------------------------------------------------------------------------------------------
200,000 Bear Stearns Commercial Mortgage Securities(b) 3.869 2/11/2041 199,858
100,000 First Union National Bank Commercial Mortgage
Trust(b) 7.390 12/15/2031 114,912
200,000 General Electric Capital Commercial Mortgage
Corporation(b) 4.641 9/10/2013 203,039
100,000 Morgan Stanley Capital I, Inc.(b) 6.550 3/15/2030 107,842
110,000 Morgan Stanley Capital I, Inc.(b) 6.210 11/15/2031 119,774
- -------------------------------------------------------------------------------------------------------------------------
Total Commercial Mortgage-Backed Securities 745,425
=========================================================================================================================
Communications Services (1.6%)
- -------------------------------------------------------------------------------------------------------------------------
100,000 AT&T Wireless Services, Inc.(b) 7.875 3/1/2011 119,131
75,000 Deutsche Telekom International Finance BV(b) 5.250 7/22/2013 77,543
95,000 GTE North, Inc.(b) 7.625 5/15/2026 100,122
150,000 Sprint Capital Corporation(b) 7.625 1/30/2011 175,434
100,000 Tele-Communications, Inc. (TCI Group)(b) 7.875 8/1/2013 118,244
50,000 Telecom Italia Capital SA 5.250 11/15/2013 51,194
- -------------------------------------------------------------------------------------------------------------------------
Total Communications Services 641,668
=========================================================================================================================
Consumer Cyclical (2.1%)
- -------------------------------------------------------------------------------------------------------------------------
100,000 AOL Time Warner, Inc.(b) 6.875 5/1/2012 113,748
100,000 DaimlerChrysler North American Holdings
Corporation(b) 4.750 1/15/2008 103,026
150,000 Ford Motor Credit Company(b) 5.800 1/12/2009 154,748
75,000 Ford Motor Credit Company(b) 7.250 10/25/2011 80,828
125,000 General Motors Acceptance Corporation(b) 5.625 5/15/2009 126,224
100,000 General Motors Acceptance Corporation 8.000 11/1/2031 103,505
100,000 Target Corporation(b) 6.350 1/15/2011 112,095
50,000 Wal-Mart Stores, Inc. 7.550 2/15/2030 64,395
- -------------------------------------------------------------------------------------------------------------------------
Total Consumer Cyclical 858,569
=========================================================================================================================
Consumer Non-Cyclical (1.2%)
- -------------------------------------------------------------------------------------------------------------------------
100,000 Bunge Limited Finance Corporation(b) 7.800 10/15/2012 118,801
50,000 Coca-Cola HBC Finance BV(b) 5.125 9/17/2013 51,561
100,000 ConAgra Foods, Inc.(b) 6.000 9/15/2006 105,302
100,000 General Mills, Inc. 6.000 2/15/2012 108,769
50,000 GlaxoSmithKline Capital, Inc.(b) 5.375 4/15/2034 49,524
75,000 Safeway, Inc.(b) 4.125 11/1/2008 75,370
- -------------------------------------------------------------------------------------------------------------------------
Total Consumer Non-Cyclical 509,327
=========================================================================================================================
Energy (1.1%)
- -------------------------------------------------------------------------------------------------------------------------
100,000 ConocoPhillips Company(b) 4.750 10/15/2012 102,690
100,000 Pemex Project Funding Master Trust(b) 9.125 10/13/2010 120,250
100,000 Union Oil Company of California 6.700 10/15/2007 108,268
100,000 Union Oil Company of California 5.050 10/1/2012 102,679
- -------------------------------------------------------------------------------------------------------------------------
Total Energy 433,887
=========================================================================================================================
Financials (4.7%)
- -------------------------------------------------------------------------------------------------------------------------
50,000 Allstate Corporation 5.000 8/15/2014 50,540
250,000 Bank of America Corporation(b) 3.875 1/15/2008 254,150
125,000 CIT Group, Inc.(b) 4.750 12/15/2010 127,614
50,000 Citigroup, Inc.(b) 3.500 2/1/2008 50,221
177,068 Citigroup, Inc. 5.000 9/15/2014 179,653
100,000 Countrywide Home Loans, Inc.(b) 4.000 3/22/2011 97,435
75,000 Credit Suisse First Boston USA, Inc.(b) 3.875 1/15/2009 75,245
75,000 EOP Operating, LP(b) 4.750 3/15/2014 72,917
150,000 Goldman Sachs Group, Inc. 6.600 1/15/2012 168,523
75,000 Household Finance Corporation(b) 6.375 11/27/2012 83,729
75,000 International Lease Finance Corporation(b) 5.875 5/1/2013 79,894
75,000 J.P. Morgan Chase & Company(b) 4.500 11/15/2010 76,657
75,000 Lehman Brothers Holdings, Inc. 3.950 11/10/2009 74,934
50,000 Merrill Lynch & Company, Inc.(b) 5.000 2/3/2014 50,402
150,000 Morgan Stanley and Company 3.875 1/15/2009 150,774
100,000 PNC Funding Corporation(b) 6.875 7/15/2007 109,232
50,000 SouthTrust Corporation(b) 5.800 6/15/2014 53,712
75,000 Union Planters Corporation 4.375 12/1/2010 75,751
100,000 Wells Fargo & Company 3.500 4/4/2008 100,418
- -------------------------------------------------------------------------------------------------------------------------
Total Financials 1,931,801
=========================================================================================================================
Foreign (1.8%)
- -------------------------------------------------------------------------------------------------------------------------
150,000 European Investment Bank(b) 3.000 6/16/2008 150,297
75,000 Export-Import Bank of Korea(b) 4.125 2/10/2009 75,742
150,000 International Bank for Reconstruction and Development 5.000 3/28/2006 154,973
100,000 Province of Quebec(b) 7.500 7/15/2023 127,917
100,000 Republic of Italy 6.000 2/22/2011 110,511
100,000 United Mexican States 7.500 1/14/2012 113,600
- -------------------------------------------------------------------------------------------------------------------------
Total Foreign 733,040
=========================================================================================================================
Mortgage-Backed Securities (23.5%)
- -------------------------------------------------------------------------------------------------------------------------
1,100,000 Federal Home Loan Mortgage Corporation 30-Yr. Gold
Conventional(e) 5.000 11/1/2034 1,096,562
74,327 Federal Home Loan Mortgage Corporation 30-Yr. Gold
Conventional(b) 8.500 7/1/2021 82,073
850,000 Federal Home Loan Mortgage Corporation 30-Yr. Gold
Conventional(e) 6.000 11/1/2034 880,015
17,931 Federal Home Loan Mortgage Corporation Gold 15-Yr.
Pass Through 9.000 4/1/2010 19,432
20,362 Federal Home Loan Mortgage Corporation Gold 15-Yr.
Pass Through 6.000 3/1/2014 21,409
89,021 Federal Home Loan Mortgage Corporation Gold 15-Yr.
Pass Through(b) 7.500 1/1/2015 94,549
90,050 Federal Home Loan Mortgage Corporation Gold 15-Yr.
Pass Through(b) 6.500 7/1/2016 95,420
59,648 Federal Home Loan Mortgage Corporation Gold 15-Yr.
Pass Through 6.500 10/1/2016 63,206
104,254 Federal Home Loan Mortgage Corporation Gold 30-Yr.
Pass Through(b) 8.000 5/1/2027 113,924
141,309 Federal Home Loan Mortgage Corporation Gold 30-Yr.
Pass Through 7.500 1/1/2028 152,029
5,764 Federal Home Loan Mortgage Corporation Gold 30-Yr.
Pass Through 8.000 10/1/2029 6,263
13,007 Federal Home Loan Mortgage Corporation Gold 30-Yr.
Pass Through 8.000 2/1/2030 14,134
224,035 Federal Home Loan Mortgage Corporation Gold 30-Yr.
Pass Through(b) 7.000 8/1/2032 237,952
800,000 Federal National Mortgage Association 15-Yr.
Conventional(e) 4.500 11/1/2019 802,000
1,275,000 Federal National Mortgage Association 15-Yr.
Conventional(e) 5.000 11/1/2019 1,300,898
2,950,000 Federal National Mortgage Association 30-Yr.
Conventional(e) 5.500 11/1/2034 3,003,470
214,676 Federal National Mortgage Association 30-Yr. Pass
Through(b) 6.500 8/1/2032 226,106
127,848 Federal National Mortgage Association 30-Yr. Pass
Through(b) 6.000 10/1/2032 132,766
236,137 Federal National Mortgage Association 30-Yr. Pass
Through(b) 6.500 12/1/2032 248,710
14,565 Federal National Mortgage Association Conventional
15-Yr. Pass Through 6.000 4/1/2011 15,317
76,037 Federal National Mortgage Association Conventional
15-Yr. Pass Through 6.000 1/1/2014 79,944
13,334 Federal National Mortgage Association Conventional
15-Yr. Pass Through 5.500 4/1/2014 13,845
51,874 Federal National Mortgage Association Conventional
15-Yr. Pass Through 6.000 11/1/2014 54,539
48,870 Federal National Mortgage Association Conventional
15-Yr. Pass Through(b) 6.000 9/1/2016 51,310
10,348 Federal National Mortgage Association Conventional
30-Yr. Pass Through 6.000 6/1/2008 10,599
42,254 Federal National Mortgage Association Conventional
30-Yr. Pass Through 6.000 12/1/2028 43,926
65,444 Federal National Mortgage Association Conventional
30-Yr. Pass Through 6.000 4/1/2031 67,962
34,931 Federal National Mortgage Association Conventional
30-Yr. Pass Through 6.000 5/1/2031 36,274
138,351 Federal National Mortgage Association Conventional
30-Yr. Pass Through(b) 6.500 7/1/2032 145,717
14,780 Government National Mortgage Association 30-Yr. Pass
Through 8.500 1/15/2017 16,333
15,504 Government National Mortgage Association 30-Yr. Pass
Through 8.000 1/15/2025 16,999
20,195 Government National Mortgage Association 30-Yr. Pass
Through 8.000 7/15/2026 22,110
2,167 Government National Mortgage Association 30-Yr. Pass
Through 8.000 10/15/2028 2,364
67,430 Government National Mortgage Association 30-Yr. Pass
Through 7.000 1/15/2029 72,022
20,094 Government National Mortgage Association 30-Yr. Pass
Through 8.000 12/15/2029 21,918
5,291 Government National Mortgage Association 30-Yr. Pass
Through 8.500 12/15/2029 5,790
5,198 Government National Mortgage Association 30-Yr. Pass
Through 8.000 5/15/2030 5,668
2,672 Government National Mortgage Association 30-Yr. Pass
Through 8.000 7/15/2030 2,913
13,510 Government National Mortgage Association 30-Yr. Pass
Through 7.000 3/15/2031 14,425
68,094 Government National Mortgage Association 30-Yr. Pass
Through 6.000 6/15/2031 71,006
69,068 Government National Mortgage Association 30-Yr. Pass
Through 6.500 7/15/2031 73,160
50,850 Government National Mortgage Association 30-Yr. Pass
Through 7.000 9/15/2031 54,294
209,823 Government National Mortgage Association 30-Yr. Pass
Through 6.500 7/15/2032 222,258
- -------------------------------------------------------------------------------------------------------------------------
Total Mortgage-Backed Securities 9,711,611
=========================================================================================================================
Transportation (0.3%)
- -------------------------------------------------------------------------------------------------------------------------
50,000 CSX Corporation(b) 5.500 8/1/2013 51,893
75,000 FedEx Corporation 3.500 4/1/2009 74,032
- -------------------------------------------------------------------------------------------------------------------------
Total Transportation 125,925
=========================================================================================================================
U.S. Government (24.0%)
- -------------------------------------------------------------------------------------------------------------------------
300,000 Federal Farm Credit Bank(b) 5.720 4/13/2005 304,776
160,000 Federal Home Loan Bank 6.900 2/7/2007 173,936
200,000 Federal Home Loan Bank(b) 5.625 2/15/2008 214,853
200,000 Federal Home Loan Bank(b) 7.375 2/13/2015 244,796
100,000 Federal Home Loan Bank 6.640 12/13/2016 116,488
750,000 Federal Home Loan Mortgage Corporation 2.875 9/15/2005 753,197
100,000 Federal Home Loan Mortgage Corporation(d) 6.000 6/15/2011 111,398
4,235 Federal National Mortgage Association 7.500 8/1/2006 4,354
150,000 Federal National Mortgage Association 6.660 3/5/2007 162,744
300,000 Federal National Mortgage Association 6.000 5/15/2008 327,134
100,000 Federal National Mortgage Association(d) 5.250 1/15/2009 106,888
100,000 Federal National Mortgage Association(d) 6.250 2/1/2011 111,032
100,000 Federal National Mortgage Association 6.210 8/6/2038 114,224
200,000 Tennessee Valley Authority(b) 6.150 1/15/2038 219,878
650,000 U.S. Treasury Bonds(d) 5.250 11/15/2028 685,192
300,000 U.S. Treasury Bonds(d) 8.125 8/15/2019 414,352
225,000 U.S. Treasury Bonds(d) 8.750 8/15/2020 329,089
100,000 U.S. Treasury Bonds(d) 8.125 8/15/2021 139,977
300,000 U.S. Treasury Bonds(d) 6.250 8/15/2023 354,375
100,000 U.S. Treasury Bonds(d) 6.625 2/15/2027 124,141
200,000 U.S. Treasury Bonds(d) 6.125 11/15/2027 235,109
100,000 U.S. Treasury Notes(d) 2.000 5/15/2006 99,426
50,000 U.S. Treasury Notes 4.625 5/15/2006 51,682
90,000 U.S. Treasury Notes(d) 7.000 7/15/2006 96,782
450,000 U.S. Treasury Notes(d) 6.500 10/15/2006 483,732
625,000 U.S. Treasury Notes(d) 3.500 11/15/2006 636,499
2,250,000 U.S. Treasury Notes(d) 4.375 5/15/2007 2,341,845
400,000 U.S. Treasury Notes(d) 6.125 8/15/2007 435,812
100,000 U.S. Treasury Notes(d) 5.500 5/15/2009 109,820
275,000 U.S. Treasury Notes(d) 6.500 2/15/2010 316,411
100,000 U.S. Treasury Notes(d) 4.875 2/15/2012 107,168
- -------------------------------------------------------------------------------------------------------------------------
Total U.S. Government 9,927,110
=========================================================================================================================
Utilities (1.7%)
- -------------------------------------------------------------------------------------------------------------------------
75,000 Duke Capital Corporation 7.500 10/1/2009 85,690
100,000 ENSERCH Corporation(b) 6.564 7/1/2005 101,887
75,000 FirstEnergy Corporation 6.450 11/15/2011 82,176
75,000 Niagara Mohawk Power Corporation 7.750 10/1/2008 85,552
100,000 Oncor Electric Delivery Company(b) 6.375 1/15/2015 111,304
50,000 Pacific Gas & Electric Company(b) 6.050 3/1/2034 51,496
100,000 Public Service Company of Colorado(b) 7.875 10/1/2012 122,407
50,000 Southern California Edison Company 5.000 1/15/2014 51,223
- -------------------------------------------------------------------------------------------------------------------------
Total Utilities 691,735
- -------------------------------------------------------------------------------------------------------------------------
Total Long-Term Fixed Income (cost $26,552,958) 27,267,755
=========================================================================================================================
Shares Collateral Held for Securities Loaned (16.9%) Interest Rate(f) Maturity Date Value
- -------------------------------------------------------------------------------------------------------------------------
6,993,882 Thrivent Financial Securities Lending Trust 1.820% N/A $6,993,882
- -------------------------------------------------------------------------------------------------------------------------
Total Collateral Held for Securities Loaned (cost
$6,993,882) 6,993,882
=========================================================================================================================
Shares or
Principal
Amount Short-Term Investments (17.0%) Interest Rate(f) Maturity Date Value
- -------------------------------------------------------------------------------------------------------------------------
$2,820,000 Federal Home Loan Bank Discount Notes 1.718% 11/1/2004 $2,820,000
3,000,000 Federal National Mortgage Association 1.802 11/1/2004 3,000,000
1,199,046 Thrivent Money Market Fund 0.820 N/A 1,199,046
- -------------------------------------------------------------------------------------------------------------------------
Total Short-Term Investments (at amortized cost) 7,019,046
- -------------------------------------------------------------------------------------------------------------------------
Total Investments (cost $40,565,886) $41,280,683
=========================================================================================================================
(a) The categories of investments are shown as a percentage of
total investments.
(b) Earmarked as collateral for long settling trades as
discussed in the notes to the financial statements.
(c) Denotes step coupon bonds for which the current
interest rate and next scheduled reset date are
shown.
(d) All or a portion of the security is on loan as
discussed in item 2(L) of the Notes to Financial
Statements.
(e) Denotes investments purchased on a when-issued basis.
(f) The interest rate shown reflects the yield.
The accompanying notes to the financial statements
are an integral part of this schedule.
Limited Maturity Bond Fund
Schedule of Investments as of October 31, 2004(a)
Principal
Amount Long-Term Fixed Income (80.3%) Interest Rate Maturity Date Value
- -------------------------------------------------------------------------------------------------------------------------
Asset-Backed Securities (13.2%)
- -------------------------------------------------------------------------------------------------------------------------
$1,000,000 American Express Credit Account Master Trust(b,c) 1.990% 11/15/2004 $1,001,816
1,000,000 Americredit Automobile Receivables Trust(d) 3.430 7/6/2011 999,735
500,000 Bank One Issuance Trust(b,c) 1.920 11/15/2004 500,294
216,128 Capital Auto Receivables Asset Trust(c) 1.960 11/15/2004 216,189
1,500,000 Chase Funding Mortgage Loan Asset Backed(b) 2.734 9/25/2024 1,493,822
323,105 Chase Manhattan Auto Owner Trust 5.270 2/15/2008 325,458
500,000 Citibank Credit Card Issuance Trust 4.100 12/7/2006 501,130
145,728 Comed Transitional Funding Trust 5.440 3/25/2007 147,061
2,000,000 Countrywide Asset-Backed Certificates 3.903 12/25/2034 2,001,797
500,000 CPL Transition Funding, LLC 5.010 1/15/2010 517,990
1,000,000 Credit Based Asset Servicing and Securitization 3.887 9/25/2035 1,003,438
500,000 DaimlerChrysler Master Owner Trust(c) 1.920 11/15/2004 500,294
750,000 First National Master Note Trust(c) 1.970 11/15/2004 750,984
500,000 Ford Credit Floorplan Master Owner Trust(c) 2.010 11/15/2004 501,078
1,000,000 GMAC Mortgage Corporation Loan Trust(b,c) 2.063 11/25/2004 1,001,735
1,000,000 Harley Davidson Motorcycle Trust 3.200 5/15/2012 998,699
1,000,000 Honda Auto Receivables Owner Trust 2.910 10/20/2008 999,062
1,000,000 Honda Auto Receivables Owner Trust 2.790 3/16/2009 995,272
1,000,000 Honda Auto Receivables Owner Trust(b) 2.960 4/20/2009 997,667
500,000 MBNA Credit Card Master Note Trust(b,c) 1.980 11/15/2004 501,026
750,000 MBNA Credit Card Master Note Trust 4.950 6/15/2009 783,363
1,000,000 National City Credit Card Master Trust(b,c) 2.020 11/15/2004 1,001,136
1,500,000 Nissan Auto Lease Trust Series 3.180 6/15/2010 1,499,940
98,585 PSE&G Transition Funding, LLC 5.740 3/15/2007 99,450
1,000,000 Residential Asset Securities Corporation 3.250 5/25/2029 995,614
750,000 Toyota Auto Receivables Owner Trust 4.390 5/15/2009 759,986
- -------------------------------------------------------------------------------------------------------------------------
Total Asset-Backed Securities 21,094,036
=========================================================================================================================
Basic Materials (1.7%)
- -------------------------------------------------------------------------------------------------------------------------
500,000 E.I. du Pont de Nemours and Company 4.125 4/30/2010 505,140
750,000 Lubrizol Corporation 5.875 12/1/2008 796,026
750,000 Meadwestvaco Corporation 6.850 4/1/2012 843,706
275,000 Peabody Energy Corporation 6.875 3/15/2013 301,812
250,000 Precision Castparts Corporation 5.600 12/15/2013 257,538
- -------------------------------------------------------------------------------------------------------------------------
Total Basic Materials 2,704,222
=========================================================================================================================
Capital Goods (0.6%)
- -------------------------------------------------------------------------------------------------------------------------
600,000 Northrop Grumman Corporation 4.079 11/16/2006 610,632
348,759 Systems 2001 Asset Trust, LLC 6.664 9/15/2013 388,116
- -------------------------------------------------------------------------------------------------------------------------
Total Capital Goods 998,748
=========================================================================================================================
Commercial Mortgage-Backed Securities (5.9%)
- -------------------------------------------------------------------------------------------------------------------------
278,830 Banc of America Commercial Mortgage, Inc. 3.366 7/11/2043 279,924
700,000 Bear Stearns Commercial Mortgage Securities(b) 3.869 2/11/2041 699,504
1,000,000 Bear Stearns Commercial Mortgage Securities(d) 3.700 8/13/2046 1,004,375
1,250,000 Commercial Mortgage Pass-Through Certificates(d) 4.405 10/15/2037 1,250,000
600,000 Credit Suisse First Boston Mortgage Securities
Corporation 3.861 3/15/2036 604,899
449,928 J.P. Morgan Chase Commercial Mortgage Securities
Corporation(b,c) 2.217 11/14/2004 450,011
700,000 J.P. Morgan Chase Commercial Mortgage Securities
Corporation 4.302 1/15/2038 700,655
1,000,000 LB-UBS Commercial Mortgage Trust(b) 3.323 3/15/2027 991,728
500,000 LB-UBS Commercial Mortgage Trust 6.653 11/15/2027 566,274
1,000,000 LB-UBS Commercial Mortgage Trust 4.187 8/15/2029 1,015,285
577,981 Lehman Brothers "CALSTRS" Mortgage Trust 3.988 11/20/2012 585,902
1,250,000 Morgan Stanley Capital I, Inc. 3.920 4/14/2040 1,261,278
- -------------------------------------------------------------------------------------------------------------------------
Total Commercial Mortgage-Backed Securities 9,409,835
=========================================================================================================================
Communications Services (4.2%)
- -------------------------------------------------------------------------------------------------------------------------
200,000 AT&T Wireless Services, Inc. 8.125 5/1/2012 243,995
1,000,000 Comcast Cable Communications, Inc. 6.200 11/15/2008 1,090,511
750,000 Cox Communications, Inc. 6.750 3/15/2011 823,874
250,000 CSC Holdings, Inc. 6.750 4/15/2012 258,750
1,000,000 Deutsche Telekom International Finance BV(e) 8.500 6/15/2010 1,204,759
250,000 EchoStar DBS Corporation 5.750 10/1/2008 255,625
100,000 Liberty Media Corporation, Convertible 3.250 3/15/2031 93,125
400,000 News America, Inc. 4.750 3/15/2010 411,594
500,000 Nextel Communications, Inc. 5.950 3/15/2014 511,250
500,000 SBC Communications, Inc.(d) 4.125 9/15/2009 502,500
750,000 Sprint Capital Corporation(b) 7.625 1/30/2011 877,168
500,000 Verizon Pennsylvania, Inc.(b) 5.650 11/15/2011 531,882
- -------------------------------------------------------------------------------------------------------------------------
Total Communications Services 6,805,033
=========================================================================================================================
Consumer Cyclical (2.6%)
- -------------------------------------------------------------------------------------------------------------------------
500,000 AOL Time Warner, Inc. 6.150 5/1/2007 534,844
750,000 Carnival Corporation 3.750 11/15/2007 755,860
250,000 D.R. Horton, Inc. 7.500 12/1/2007 273,125
600,000 D.R. Horton, Inc. 4.875 1/15/2010 597,000
700,000 DaimlerChrysler North American Holdings Corporation 4.750 1/15/2008 721,183
500,000 General Motors Acceptance Corporation 4.500 7/15/2006 507,414
100,000 Kerzner International, Ltd., Convertible 2.375 4/15/2024 106,125
400,000 Mohegan Tribal Gaming Authority 6.375 7/15/2009 419,000
250,000 Yum! Brands, Inc. 7.650 5/15/2008 282,480
- -------------------------------------------------------------------------------------------------------------------------
Total Consumer Cyclical 4,197,031
=========================================================================================================================
Consumer Non-Cyclical (3.2%)
- -------------------------------------------------------------------------------------------------------------------------
750,000 Bottling Group, LLC 2.450 10/16/2006 743,970
400,000 Bunge Limited Finance Corporation 7.800 10/15/2012 475,206
750,000 Coca-Cola Enterprises, Inc.(b) 2.500 9/15/2006 744,254
750,000 Eli Lilly & Company(c) 1.660 11/24/2004 748,858
250,000 Fisher Scientific International, Inc. 8.125 5/1/2012 278,750
250,000 Gillette Company 3.500 10/15/2007 251,407
750,000 Harvard University 8.125 4/15/2007 841,830
500,000 Hospira, Inc. 4.950 6/15/2009 512,612
500,000 Ventas Realty, LP/Ventas Capital Corporation 6.625 10/15/2014 510,000
- -------------------------------------------------------------------------------------------------------------------------
Total Consumer Non-Cyclical 5,106,887
=========================================================================================================================
Energy (1.1%)
- -------------------------------------------------------------------------------------------------------------------------
700,000 EnCana Corporation 4.600 8/15/2009 720,848
300,000 Newfield Exploration Company 6.625 9/1/2014 321,750
208,333 Pemex Finance, Ltd. 8.450 2/15/2007 220,904
500,000 Premcor Refining Group, Inc. 6.125 5/1/2011 527,500
- -------------------------------------------------------------------------------------------------------------------------
Total Energy 1,791,002
=========================================================================================================================
Financials (14.2%)
- -------------------------------------------------------------------------------------------------------------------------
600,000 Australia & New Zealand Banking Group, Ltd. Capital
Trust I 4.484 1/15/2010 606,033
250,000 Capital One Financial Corporation 7.250 5/1/2006 264,879
400,000 CIT Group, Inc. 4.000 5/8/2008 404,181
600,000 Citigroup, Inc.(b,c) 1.780 11/8/2004 600,209
750,000 Countrywide Home Loans, Inc. 4.000 3/22/2011 730,762
600,000 Credit Suisse First Boston USA, Inc. 3.875 1/15/2009 601,960
1,000,000 General Electric Capital Corporation(b,c) 1.044 12/2/2004 1,002,500
700,000 Goldman Sachs Group, Inc. 3.875 1/15/2009 704,756
150,000 Goldman Sachs Group, Inc., Convertible 1.500 7/23/2009 148,036
500,000 HSBC Capital Funding, LP(e) 9.547 6/30/2010 633,064
600,000 ING Capital Funding Trust III 8.439 12/31/2010 727,631
600,000 International Lease Finance Corporation 3.300 1/23/2008 594,053
600,000 iSTAR Financial, Inc. 5.125 4/1/2011 607,858
600,000 John Hancock Global Funding II 3.750 9/30/2008 603,391
840,000 Lehman Brothers, Inc. 6.539 8/15/2008 893,197
1,000,000 Merrill Lynch & Company, Inc.(c) 2.410 1/21/2005 1,001,990
500,000 Monumental Global Funding II 3.850 3/3/2008 510,444
2,668,000 Morgan Stanley and Company 5.878 3/1/2007 2,790,435
700,000 Morgan Stanley and Company 3.875 1/15/2009 703,614
700,000 New York Life Global Funding 3.875 1/15/2009 702,068
700,000 Pacific Life Global Funding 3.750 1/15/2009 700,164
600,000 Pricoa Global Funding I 4.350 6/15/2008 612,468
1,000,000 Protective Life Secured Trust(b) 4.000 10/7/2009 1,004,490
750,000 SLM Corporation(b) 4.000 1/15/2009 754,147
250,000 TIAA Global Markets 4.125 11/15/2007 255,498
750,000 Union Planters Bank 5.125 6/15/2007 791,150
700,000 Washington Mutual, Inc. 8.250 4/1/2010 831,187
1,000,000 Wells Fargo & Company(c) 1.980 12/15/2004 998,405
1,000,000 Westpac Banking Corporation(c) 1.810 11/26/2004 1,000,008
1,000,000 World Savings Bank FSB(c,f) 1.850 12/1/2004 999,691
- -------------------------------------------------------------------------------------------------------------------------
Total Financials 22,778,269
=========================================================================================================================
Foreign (1.9%)
- -------------------------------------------------------------------------------------------------------------------------
600,000 European Investment Bank 2.700 4/20/2007 595,639
125,000 Export Development Canada(f) 2.750 12/12/2005 125,533
500,000 Korea Development Bank 4.750 7/20/2009 516,588
250,000 Nordic Investment Bank(f) 2.750 1/11/2006 250,486
1,000,000 Republic of Italy(f) 2.750 12/15/2006 1,000,617
500,000 United Mexican States 9.875 2/1/2010 620,500
- -------------------------------------------------------------------------------------------------------------------------
Total Foreign 3,109,363
=========================================================================================================================
Mortgage-Backed Securities (7.4%)
- -------------------------------------------------------------------------------------------------------------------------
8,500,000 Federal National Mortgage Association 15-Yr.
Conventional(d) 5.500 11/1/2019 8,800,154
3,000,000 Federal National Mortgage Association 30-Yr.
Conventional(d) 6.000 11/1/2034 3,109,686
- -------------------------------------------------------------------------------------------------------------------------
Total Mortgage-Backed Securities 11,909,840
=========================================================================================================================
Municipal Bonds (1.1%)
- -------------------------------------------------------------------------------------------------------------------------
500,000 Minneapolis & St. Paul Metropolitan Airports
Commission 4.850 1/1/2006 511,670
400,000 Oregon School Boards Association Taxable Pension
Bonds Zero Coupon 6/30/2005 392,924
750,000 Washington State Office of the State Treasurer 4.500 7/1/2007 774,458
- -------------------------------------------------------------------------------------------------------------------------
Total Municipal Bonds 1,679,052
=========================================================================================================================
Technology (1.1%)
- -------------------------------------------------------------------------------------------------------------------------
1,000,000 Deluxe Corporation 3.500 10/1/2007 991,538
600,000 Motorola, Inc. 4.608 11/16/2007 617,824
100,000 Unisys Corporation 6.875 3/15/2010 107,000
- -------------------------------------------------------------------------------------------------------------------------
Total Technology 1,716,362
=========================================================================================================================
Transportation (1.9%)
- -------------------------------------------------------------------------------------------------------------------------
700,000 FedEx Corporation 3.500 4/1/2009 690,969
250,000 Hertz Corporation 7.400 3/1/2011 272,280
500,000 MISC Capital Ltd. 5.000 7/1/2009 520,742
500,000 Southwest Airlines Company 5.496 11/1/2006 520,868
500,000 Union Pacific Corporation 3.625 6/1/2010 485,354
736,183 United Air Lines, Inc.(g) 7.186 4/1/2011 630,658
- -------------------------------------------------------------------------------------------------------------------------
Total Transportation 3,120,871
=========================================================================================================================
U.S. Government (14.6%)
- -------------------------------------------------------------------------------------------------------------------------
3,000,000 Federal Home Loan Mortgage Corporation 1.500 8/15/2005 2,980,359
500,000 Federal Home Loan Mortgage Corporation(f) 2.750 8/15/2006 500,200
500,000 Federal National Mortgage Association 2.375 12/15/2005 499,478
800,000 Federal National Mortgage Association(f) 4.000 9/2/2008 813,455
1,000,000 U.S. Department of Housing and Urban Development 3.450 8/1/2006 1,012,421
4,000,000 U.S. Treasury Notes 1.625 3/31/2005 3,992,812
6,100,000 U.S. Treasury Notes(f) 1.500 7/31/2005 6,070,452
6,750,000 U.S. Treasury Notes(f) 2.375 8/15/2006 6,737,870
600,000 U.S. Treasury Notes(f) 2.250 2/15/2007 594,844
250,000 U.S. Treasury Notes 5.000 2/15/2011 269,961
- -------------------------------------------------------------------------------------------------------------------------
Total U.S. Government 23,471,852
=========================================================================================================================
Utilities (5.6%)
- -------------------------------------------------------------------------------------------------------------------------
750,000 Atmos Energy Corporation 4.000 10/15/2009 746,990
600,000 Centerpoint Energy, Inc.(f) 7.250 9/1/2010 671,481
600,000 Duke Capital, LLC 4.331 11/16/2006 610,994
1,000,000 Enterprise Products Operating, LP 4.000 10/15/2007 1,007,876
1,000,000 FirstEnergy Corporation 5.500 11/15/2006 1,040,528
500,000 Indiana Michigan Power Company 6.125 12/15/2006 529,744
500,000 Kinder Morgan Energy Partners, LP 7.500 11/1/2010 582,575
250,000 Midamerican Energy Holdings Company 3.500 5/15/2008 247,214
1,000,000 Pacific Gas & Electric Company 3.600 3/1/2009 992,838
600,000 Plains All American Pipeline, LP 4.750 8/15/2009 618,324
299,245 Power Contract Financing, LLC 5.200 2/1/2006 303,399
478,282 Power Receivables Finance, LLC 6.290 1/1/2012 503,387
400,000 Texas-New Mexico Power Company 6.125 6/1/2008 414,620
600,000 Westar Energy, Inc. 7.875 5/1/2007 664,332
- -------------------------------------------------------------------------------------------------------------------------
Total Utilities 8,934,302
- -------------------------------------------------------------------------------------------------------------------------
Total Long-Term Fixed Income (cost $127,678,878) 128,826,705
=========================================================================================================================
Shares Preferred Stock (0.1%) Value
- -------------------------------------------------------------------------------------------------------------------------
1,750 Goldman Sachs Group, Inc., Convertible(h) $163,480
- -------------------------------------------------------------------------------------------------------------------------
Total Preferred Stock (cost $175,000) 163,480
=========================================================================================================================
Shares Collateral Held for Securities Loaned (11.2%) Interest Rate(i) Maturity Date Value
- -------------------------------------------------------------------------------------------------------------------------
17,952,473 Thrivent Financial Securities Lending Trust 1.820% N/A $17,952,473
- -------------------------------------------------------------------------------------------------------------------------
Total Collateral Held for Securities Loaned (cost
$17,952,473) 17,952,473
=========================================================================================================================
Shares or
Principal
Amount Short-Term Investments (8.4%) Rate(i) Date Value
- -------------------------------------------------------------------------------------------------------------------------
$3,600,000 Federal Home Loan Mortgage Corporation(b) 1.755% 11/2/2004 $3,599,827
1,085,000 Federal Home Loan Mortgage Corporation(b) 1.790 11/8/2004 1,084,629
2,000,000 Federal National Mortgage Association 1.802 11/1/2004 2,000,000
1,000,000 New Center Asset Trust 1.830 11/1/2004 1,000,000
5,713,217 Thrivent Money Market Fund 0.820 N/A 5,713,217
- -------------------------------------------------------------------------------------------------------------------------
Total Short-Term Investments (at amortized cost) 13,397,673
- -------------------------------------------------------------------------------------------------------------------------
Total Investments (cost $159,204,024) $160,340,331
=========================================================================================================================
(a) The categories of investments are shown as a percentage of
total investments.
(b) Earmarked as collateral for long settling trades as
discussed in the notes to the financial statements.
(c) Denotes variable rate obligations for which the
current yield and next scheduled reset date are
shown.
(d) Denotes investments purchased on a when-issued basis.
(e) Denotes step coupon bonds for which the current
interest rate and next scheduled reset date are
shown.
(f) All or a portion of the security is on loan as
discussed in item 2(L) of the Notes to Financial
Statements.
(g) In bankruptcy.
(h) Non-income producing security.
(i) The interest rate shown reflects the yield or, for
securities purchased at a discount, the discount rate
at the date of purchase.
The accompanying notes to the financial statements
are an integral part of this schedule.
Money Market Fund
Schedule of Investments as of October 31, 2004(a)
Principal
Amount Certificate of Deposit (7.4%) Interest Rate(b) Maturity Date Value
- -------------------------------------------------------------------------------------------------------------------------
Banking - Domestic (2.0%)
- -------------------------------------------------------------------------------------------------------------------------
$18,750,000 Royal Bank of Canada NY 1.480% 11/19/2004 $18,749,891
- -------------------------------------------------------------------------------------------------------------------------
Total Banking - Domestic 18,749,891
=========================================================================================================================
Banking - Foreign (2.4%)
- -------------------------------------------------------------------------------------------------------------------------
22,800,000 Royal Bank of Scotland New York 1.345 1/31/2005 22,799,718
- -------------------------------------------------------------------------------------------------------------------------
Total Banking - Foreign 22,799,718
=========================================================================================================================
Brokerage (3.0%)
- -------------------------------------------------------------------------------------------------------------------------
9,325,000 Goldman Sachs Group, Inc.(c) 1.870 11/22/2004 9,325,000
19,125,000 Goldman Sachs Group, Inc.(c) 2.040 1/18/2005 19,125,465
- -------------------------------------------------------------------------------------------------------------------------
Total Brokerage 28,450,465
- -------------------------------------------------------------------------------------------------------------------------
Total Certificate of Deposit 70,000,074
=========================================================================================================================
Principal
Amount Commercial Paper (51.0%) Interest Rate Maturity Date Value
- -------------------------------------------------------------------------------------------------------------------------
Asset-Backed Commercial Paper (27.9%)
- -------------------------------------------------------------------------------------------------------------------------
$18,500,000 Amsterdam Funding Corporation 1.880% 11/30/2004 $18,471,983
18,500,000 Blue Spice, LLC 1.960 11/26/2004 18,474,819
16,000,000 Blue Spice, LLC 1.830 12/13/2004 15,965,840
19,325,000 Corporate Receivables Corporation Funding, LLC 1.730 11/2/2004 19,324,071
1,198,000 Corporate Receivables Corporation Funding, LLC 2.020 12/3/2004 1,195,849
15,000,000 Falcon Asset Securitization Corporation 1.790 11/12/2004 14,991,796
19,325,000 Fountain Square Commercial Funding Corporation 1.820 12/10/2004 19,286,898
15,460,000 Govco, Inc. 1.810 12/6/2004 15,432,794
16,202,000 Kitty Hawk Funding Corporation 1.780 11/3/2004 16,200,398
23,300,000 Nieuw Amsterdam Receivables Corporation(d) 1.800 12/6/2004 23,259,224
19,030,000 Old Line Funding, LLC 1.900 12/20/2004 18,980,786
19,225,000 Sheffield Receivables Corporation(c) 1.883 11/26/2004 19,224,538
13,595,000 Three Pillars, Inc. 1.810 11/10/2004 13,588,848
15,700,000 Thunder Bay Funding, Inc. 1.730 11/1/2004 15,700,000
12,789,000 Thunder Bay Funding, Inc. 1.815 11/17/2004 12,778,684
12,567,000 Triple A-1 Funding Corporation 1.850 11/15/2004 12,557,959
9,429,000 Triple A-1 Funding Corporation 1.860 12/2/2004 9,413,898
- -------------------------------------------------------------------------------------------------------------------------
Total Asset-Backed Commercial Paper 264,848,385
=========================================================================================================================
Banking - Domestic (1.9%)
- -------------------------------------------------------------------------------------------------------------------------
14,800,000 Society of New York Hospital Fund 1.830 11/9/2004 14,793,981
1,200,000 Stadshypotek Delaware, Inc. 1.650 11/9/2004 1,199,560
2,320,000 UBS Finance Delaware, LLC 1.850 12/31/2004 2,312,847
- -------------------------------------------------------------------------------------------------------------------------
Total Banking - Domestic 18,306,388
=========================================================================================================================
Communications (1.2%)
- -------------------------------------------------------------------------------------------------------------------------
11,100,000 Gannett Company, Inc. 1.850 11/9/2004 11,095,437
- -------------------------------------------------------------------------------------------------------------------------
Total Communications 11,095,437
=========================================================================================================================
Consumer Cyclical (3.0%)
- -------------------------------------------------------------------------------------------------------------------------
5,014,000 Wal-Mart Stores, Inc. 1.820 11/8/2004 5,012,226
23,200,000 Yale University 1.780 11/4/2004 23,196,559
- -------------------------------------------------------------------------------------------------------------------------
Total Consumer Cyclical 28,208,785
=========================================================================================================================
Consumer Non-Cyclical (1.2%)
- -------------------------------------------------------------------------------------------------------------------------
11,250,000 Louis Dreyfus Corporation 1.850 11/15/2004 11,241,906
- -------------------------------------------------------------------------------------------------------------------------
Total Consumer Non-Cyclical 11,241,906
=========================================================================================================================
Finance (9.6%)
- -------------------------------------------------------------------------------------------------------------------------
22,000,000 Credit Suisse First Boston, Inc. 1.870 12/6/2004 21,960,003
9,580,000 Greenwich Capital Holdings, Inc. 1.880 11/1/2004 9,580,000
15,000,000 Jupiter Securitization Corporation 1.900 11/15/2004 14,988,917
22,500,000 Jupiter Securitization Corporation 1.900 11/22/2004 22,475,588
22,500,000 Private Export Funding Corporation 2.080 3/7/2005 22,336,200
- -------------------------------------------------------------------------------------------------------------------------
Total Finance 91,340,708
=========================================================================================================================
Industrial Other (1.8%)
- -------------------------------------------------------------------------------------------------------------------------
16,718,000 Nyala Funding, LLC 1.880 11/15/2004 16,705,777
- -------------------------------------------------------------------------------------------------------------------------
Total Industrial Other 16,705,777
=========================================================================================================================
Insurance (4.4%)
- -------------------------------------------------------------------------------------------------------------------------
22,500,000 Swiss RE Financial Products 2.120 3/21/2005 22,314,500
15,000,000 Torchmark Corporation 1.840 11/10/2004 14,993,100
4,000,000 Torchmark Corporation 1.870 11/16/2004 3,996,883
1,000,000 Torchmark Corporation 1.880 11/17/2004 999,164
- -------------------------------------------------------------------------------------------------------------------------
Total Insurance 42,303,647
- -------------------------------------------------------------------------------------------------------------------------
Total Commercial Paper 484,051,033
=========================================================================================================================
Principal
Amount U.S. Government (9.5%) Interest Rate Maturity Date Value
- -------------------------------------------------------------------------------------------------------------------------
$1,000,000 Federal Home Loan Bank 3.550% 11/26/2004 $1,001,172
19,325,000 Federal Home Loan Bank 1.500 5/4/2005 19,324,415
11,600,000 Federal Home Loan Bank 2.020 6/8/2005 11,600,000
7,600,000 Federal Home Loan Mortgage Corporation 3.250 11/15/2004 7,605,017
15,200,000 Federal Home Loan Mortgage Corporation Zero Coupon 1/11/2005 15,161,439
13,300,000 Federal National Mortgage Association 7.125 2/15/2005 13,515,692
22,250,000 Federal National Mortgage Association Discount Notes Zero Coupon 12/13/2004 22,201,198
- -------------------------------------------------------------------------------------------------------------------------
Total U.S. Government 90,408,933
=========================================================================================================================
Banking - Domestic (6.8%)
- -------------------------------------------------------------------------------------------------------------------------
19,225,000 Credit Suisse First Boston, Inc. 2.075 1/10/2005 19,234,215
18,500,000 Fifth Third Bancorp(e) 1.893 11/23/2004 18,500,000
7,800,000 US Bank NA 2.080 11/5/2004 7,800,272
19,225,000 Wells Fargo & Company 1.859 11/15/2004 19,225,000
- -------------------------------------------------------------------------------------------------------------------------
Total Banking - Domestic 64,759,487
=========================================================================================================================
Brokerage (5.2%)
- -------------------------------------------------------------------------------------------------------------------------
19,325,000 Lehman Brothers Holdings, Inc. 1.860 11/19/2004 19,325,000
6,340,000 Lehman Brothers Holdings, Inc. 2.370 1/18/2005 6,349,611
19,400,000 Morgan Stanley and Company 1.919 11/15/2004 19,400,000
4,310,000 Morgan Stanley and Company 1.950 11/29/2004 4,313,088
- -------------------------------------------------------------------------------------------------------------------------
Total Brokerage 49,387,699
=========================================================================================================================
Consumer Cyclical (3.2%)
- -------------------------------------------------------------------------------------------------------------------------
30,720,000 American Honda Finance Corporation 1.806 12/7/2004 30,737,459
- -------------------------------------------------------------------------------------------------------------------------
Total Consumer Cyclical 30,737,459
=========================================================================================================================
Consumer Non-Cyclical (4.4%)
- -------------------------------------------------------------------------------------------------------------------------
19,325,000 Pfizer, Inc. 1.800 11/8/2004 19,325,000
15,460,000 Procter & Gamble Company 2.030 12/9/2004 15,460,000
7,070,000 UnitedHealth Group, Inc. 2.310 11/9/2004 7,070,873
- -------------------------------------------------------------------------------------------------------------------------
Total Consumer Non-Cyclical 41,855,873
=========================================================================================================================
Finance (3.7%)
- -------------------------------------------------------------------------------------------------------------------------
15,380,000 American Express Credit Corporation 1.899 11/15/2004 15,385,818
19,325,000 American Express Credit Corporation 2.009 11/16/2004 19,329,144
- -------------------------------------------------------------------------------------------------------------------------
Total Finance 34,714,962
=========================================================================================================================
Insurance (4.1%)
- -------------------------------------------------------------------------------------------------------------------------
19,325,000 Allstate Life Global Funding II 1.830 11/8/2004 19,325,000
19,225,000 Allstate Life Global Funding II 1.879 11/15/2004 19,225,000
- -------------------------------------------------------------------------------------------------------------------------
Total Insurance 38,550,000
=========================================================================================================================
U.S. Municipal (4.7%)
- -------------------------------------------------------------------------------------------------------------------------
26,900,000 Alaska State Housing Finance Corporation 1.810 11/4/2004 26,900,000
8,000,000 Illinois Student Assistance Commission 1.960 11/3/2004 8,000,000
10,000,000 Ohio State Air Quality Development Authority
Revenue Bonds (Columbus and Southern) (Series B) 1.830 11/3/2004 10,000,000
- -------------------------------------------------------------------------------------------------------------------------
Total U.S. Municipal 44,900,000
- -------------------------------------------------------------------------------------------------------------------------
Total Variable Rate Notes 304,905,480
- -------------------------------------------------------------------------------------------------------------------------
Total Portfolio of Investments (at amortized cost) $949,365,520
=========================================================================================================================
(a) The categories of investments are shown as a percentage of
total investments.
(b) The interest rate shown reflects the yield or, for
securities purchased at a discount, the discount rate
at the date of purchase.
(c) Denotes variable rate obligations for which the
current yield and next scheduled reset date are
shown.
(d) Earmarked as collateral for long settling trades as
discussed in the notes to the financial statements.
(e) Denotes investments purchased on a when-issued basis.
The accompanying notes to the financial statements
are an integral part of this schedule.
Thrivent Mutual Funds
Statement of Assets and Liabilities
Technology Partner Small Small Cap Small Cap
As of October 31, 2004 Fund Cap Value Fund Stock Fund Index Fund
- -----------------------------------------------------------------------------------------------------------------------------------
Assets
Investments at cost $56,823,992 $84,670,803 $426,808,952 $35,034,441
Investments at value 52,832,896 91,514,497 503,948,442 42,603,016
Cash 2,377 -- 3,952 --
Initial margin deposit on open
futures contracts -- -- -- 36,400
Dividends and interest receivable 9,435 33,126 136,942 20,982
Receivable for investments sold -- -- 8,391,654 110,685
Receivable for investment sold short -- -- -- --
Receivable for trust shares sold 30,017 190,874 218,102 91,488
Receivable for forward contracts -- -- -- --
Receivable for variation margin -- -- -- --
Total Assets 52,874,725 91,738,497 512,699,092 42,862,571
Liabilities
Accrued expenses 36,104 59,048 130,677 21,274
Payable for investments purchased -- 131,494 10,168,467 40,632
Payable upon return of collateral
for securities loaned 3,260,506 11,420,126 67,727,138 7,255,477
Payable for trust shares redeemed 52,311 71,861 204,192 144,947
Payable for forward contracts -- -- -- --
Open options written, at value -- -- -- --
Payable for variation margin -- -- -- 693
Payable to affiliate 48,507 6,350 413,845 18,315
Total Liabilities 3,397,428 11,688,879 78,644,319 7,481,338
Net Assets
Trust capital (beneficial interest) 84,916,476 62,334,524 340,076,863 27,669,456
Accumulated undistributed net
investment income/(loss) (4,562) 44,584 (21,108) 66,367
Accumulated undistributed net realized
gain/(loss) on investments and foreign
currency transactions (31,443,521) 10,826,816 16,859,528 65,180
Net unrealized appreciation/(depreciation) on:
Investments (3,991,096) 6,843,694 77,139,490 7,568,575
Written option contracts -- -- -- --
Futures contracts -- -- -- 11,655
Foreign currency forward contracts -- -- -- --
Foreign currency transactions -- -- -- --
Total Net Assets $49,477,297 $80,049,618 $434,054,773 $35,381,233
Class A share capital $42,507,383 $61,367,070 $397,346,936 $35,381,233
Shares of beneficial interest
outstanding (Class A) 12,962,221 4,300,469 24,250,147 2,801,558
Net asset value per share $3.28 $14.27 $16.39 $12.63
Maximum public offering price $3.47 $15.10 $17.34 $13.37
Class B share capital $4,012,190 $5,357,810 $25,117,585 N/A
Shares of beneficial interest
outstanding (Class B) 1,269,090 385,894 1,662,151 N/A
Net asset value per share $3.16 $13.88 $15.11 N/A
Institutional Class share capital $2,957,724 $13,324,738 $11,590,252 N/A
Shares of beneficial interest outstanding
(Institutional Class) 865,663 908,600 673,399 N/A
Net asset value per share $3.42 $14.67 $17.21 N/A
a) Includes foreign currency holdings of $293,790.
b) Premium received on written options $629.
The accompanying notes to the financial statements are an integral part of this statement.
Thrivent Mutual Funds
Statement of Assets and Liabilities - continued
Mid Cap Mid Cap Mid Cap Mid Cap
As of October 31, 2004 Growth Fund Stock Fund Index Fund Index Fund-I
- -----------------------------------------------------------------------------------------------------------------------------------
Assets
Investments at cost $318,288,693 $910,559,026 $48,672,621 $14,659,721
Investments at value 340,136,764 1,011,171,322 55,267,965 18,555,156
Cash -- 2,879 -- --
Initial margin deposit on open
futures contracts -- -- 47,600 33,600
Dividends and interest receivable 57,332 386,457 30,352 10,245
Receivable for investments sold 7,576,147 4,042,408 -- --
Receivable for investment sold short -- -- -- --
Receivable for trust shares sold 88,189 160,991 43,903 26,693
Receivable for forward contracts -- -- -- --
Receivable for variation margin -- -- 3,910 2,917
Total Assets 347,858,432 1,015,764,057 55,393,730 18,628,611
Liabilities
Accrued expenses 156,760 174,203 20,076 2,389
Payable for investments purchased 8,061,360 7,624,882 24,290 10,410
Payable upon return of collateral
for securities loaned 33,381,685 140,867,093 6,004,076 1,307,937
Payable for trust shares redeemed 201,693 628,787 104,357 --
Payable for forward contracts -- -- -- --
Open options written, at value -- -- -- --
Payable for variation margin -- -- -- --
Payable to affiliate 215,740 786,624 39,283 3,784
Total Liabilities 42,017,238 150,081,589 6,192,082 1,324,520
Net Assets
Trust capital (beneficial interest) 350,562,533 794,641,897 42,889,031 13,201,698
Accumulated undistributed net
investment income/(loss) (9,401) (41,776) 50,941 115,724
Accumulated undistributed net realized
gain/(loss) on investments and foreign
currency transactions (66,560,009) (29,529,949) (347,803) 76,066
Net unrealized appreciation/(depreciation) on:
Investments 21,848,071 100,612,296 6,595,344 3,895,435
Written option contracts -- -- -- --
Futures contracts -- -- 14,135 15,168
Foreign currency forward contracts -- -- -- --
Foreign currency transactions -- -- -- --
Total Net Assets $305,841,194 $865,682,468 $49,201,648 $17,304,091
Class A share capital $250,728,376 $808,837,101 $49,201,648 N/A
Shares of beneficial interest
outstanding (Class A) 19,661,933 54,889,159 4,149,086 N/A
Net asset value per share $12.75 $14.74 $11.86 N/A
Maximum public offering price $13.49 $15.60 $12.55 N/A
Class B share capital $44,997,626 $26,995,422 N/A N/A
Shares of beneficial interest
outstanding (Class B) 3,735,047 2,011,995 N/A N/A
Net asset value per share $12.05 $13.42 N/A N/A
Institutional Class share capital $10,115,192 $29,849,945 N/A $17,304,091
Shares of beneficial interest outstanding
(Institutional Class) 755,378 1,951,189 N/A 1,459,695
Net asset value per share $13.39 $15.30 N/A $11.85
a) Includes foreign currency holdings of $293,790.
b) Premium received on written options $629.
The accompanying notes to the financial statements are an integral part of this statement.
Thrivent Mutual Funds
Statement of Assets and Liabilities - continued
Partner International Large Cap
As of October 31, 2004 Stock Fund Growth Fund
- -----------------------------------------------------------------------------------------------------------------------------------
Assets
Investments at cost $310,709,916 $108,477,945
Investments at value 324,404,102 111,282,903
Cash 302,254(a) --
Initial margin deposit on open
futures contracts -- --
Dividends and interest receivable 544,651 58,449
Receivable for investments sold 62,064 1,363,574
Receivable for investment sold short -- 629
Receivable for trust shares sold 124,201 278,007
Receivable for forward contracts 71,049 --
Receivable for variation margin -- --
Total Assets 325,508,321 112,983,562
Liabilities
Accrued expenses 216,016 54,606
Payable for investments purchased 372,104 937,489
Payable upon return of collateral
for securities loaned 47,979,089 1,654,134
Payable for trust shares redeemed 366,856 99,835
Payable for forward contracts 71,016 --
Open options written, at value -- 847(b)
Payable for variation margin -- --
Payable to affiliate 152,288 36,775
Total Liabilities 49,157,369 2,783,686
Net Assets
Trust capital (beneficial interest) 343,234,076 139,259,087
Accumulated undistributed net
investment income/(loss) (367,454) (6,038)
Accumulated undistributed net realized
gain/(loss) on investments and foreign
currency transactions (80,233,128) (31,857,913)
Net unrealized appreciation/(depreciation) on:
Investments 13,694,186 2,804,958
Written option contracts -- (218)
Futures contracts -- --
Foreign currency forward contracts 32 --
Foreign currency transactions 23,240 --
Total Net Assets $276,350,952 $110,199,876
Class A share capital $243,742,665 $83,603,933
Shares of beneficial interest
outstanding (Class A) 26,772,878 18,793,892
Net asset value per share $9.10 $4.45
Maximum public offering price $9.63 $4.71
Class B share capital $19,498,352 $17,661,203
Shares of beneficial interest
outstanding (Class B) 2,201,054 4,151,151
Net asset value per share $8.86 $4.25
Institutional Class share capital $13,109,935 $8,934,740
Shares of beneficial interest outstanding
(Institutional Class) 1,421,064 1,906,173
Net asset value per share $9.23 $4.69
a) Includes foreign currency holdings of $293,790.
b) Premium received on written options $629.
The accompanying notes to the financial statements are an integral part of this statement.
Thrivent Mutual Funds
Statement of Assets and Liabilities - continued
Large Cap Large Cap Large Cap Large Cap
As of October 31, 2004 Value Fund Stock Fund Index Fund Index Fund-I
- -----------------------------------------------------------------------------------------------------------------------------------
Assets
Investments at cost $295,591,791 $3,107,591,539 $79,418,277 $29,791,582
Investments at value 333,065,079 3,694,171,449 77,054,127 29,724,531
Cash -- 12,168 -- --
Initial margin deposit on open
futures contracts -- -- 134,400 22,400
Dividends and interest receivable 442,544 4,231,022 96,182 38,162
Receivable for investments sold 4,639,569 16,503,856 -- --
Receivable for trust shares sold 376,983 415,264 121,435 --
Receivable for variation margin -- -- 5,670 789
Total Assets 338,524,175 3,715,333,759 77,411,814 29,785,882
Liabilities
Distributions payable -- -- -- --
Accrued expenses 56,918 710,959 23,995 2,849
Payable for investments purchased 3,172,132 7,829 45,810 18,324
Payable upon return of collateral
for securities loaned 5,836,231 38,888,518 821,763 322,973
Payable for trust shares redeemed 138,794 2,652,420 144,558 3,543
Payable for variation margin -- -- -- --
Payable to affiliate 251,582 2,718,727 33,451 6,659
Mortgage dollar roll deferred revenue -- -- -- --
Total Liabilities 9,455,657 44,978,453 1,069,578 354,348
Net Assets
Trust capital (beneficial interest) 311,731,712 3,329,280,526 79,582,413 34,484,776
Accumulated undistributed net
investment income/(loss) 864,249 2,589,850 367,073 283,726
Accumulated undistributed net realized
gain/(loss) on investments and foreign
currency transactions (21,000,731) (248,094,980) (1,272,718) (5,276,100)
Net unrealized appreciation/(depreciation) on:
Investments 37,473,288 586,579,910 (2,364,150) (67,051)
Futures contracts -- -- 29,619 6,183
Total Net Assets $329,068,518 $3,670,355,306 $76,342,236 $29,431,534
Class A share capital $290,012,709 $3,435,077,218 $76,342,236 N/A
Shares of beneficial interest
outstanding (Class A) 22,061,119 143,571,707 9,809,625 N/A
Net asset value per share $13.15 $23.93 $7.78 N/A
Maximum public offering price $13.92 $25.32 $8.23 N/A
Class B share capital $19,253,660 $122,932,989 N/A N/A
Shares of beneficial interest
outstanding (Class B) 1,477,944 5,534,193 N/A N/A
Net asset value per share $13.03 $22.21 N/A N/A
Institutional Class share capital $19,802,149 $112,345,099 N/A $29,431,534
Shares of beneficial interest outstanding
(Institutional Class) 1,499,693 4,670,266 N/A 3,795,010
Net asset value per share $13.20 $24.06 N/A $7.76
The accompanying notes to the financial statements are an integral part of this statement.
Thrivent Mutual Funds
Statement of Assets and Liabilities - continued
Balanced High Yield Partner High Municipal
As of October 31, 2004 Fund Fund Yield Fund Bond Fund
- -----------------------------------------------------------------------------------------------------------------------------------
Assets
Investments at cost $461,121,492 $696,873,161 $164,042,009 $1,168,027,136
Investments at value 464,931,329 731,471,445 171,464,598 1,287,064,142
Cash 1,225 -- -- 2,548
Initial margin deposit on open
futures contracts -- -- -- --
Dividends and interest receivable 1,517,880 13,243,275 3,073,427 18,960,785
Receivable for investments sold 6,946,885 10,494,580 1,598,233 2,908,558
Receivable for trust shares sold 60,512 408,392 426,292 726,781
Receivable for variation margin -- -- -- --
Total Assets 473,457,831 755,617,692 176,562,550 1,309,662,814
Liabilities
Distributions payable -- 1,135,035 253,708 894,485
Accrued expenses 37,339 70,368 23,331 141,232
Payable for investments purchased 32,789,368 10,387,014 2,358,165 4,013,437
Payable upon return of collateral
for securities loaned 35,257,479 97,061,084 24,751,163 --
Payable for trust shares redeemed 501,150 301,768 26,794 404,140
Payable for variation margin -- -- -- 118,750
Payable to affiliate 297,462 423,401 102,646 814,718
Mortgage dollar roll deferred revenue 30,776 -- -- --
Total Liabilities 68,913,574 109,378,670 27,515,807 6,386,762
Net Assets
Trust capital (beneficial interest) 394,679,930 1,109,165,887 207,261,764 1,197,189,907
Accumulated undistributed net
investment income/(loss) 559,555 626,962 359,967 287,854
Accumulated undistributed net realized
gain/(loss) on investments and foreign
currency transactions 5,494,935 (498,152,111) (65,997,577) (12,636,579)
Net unrealized appreciation/(depreciation) on:
Investments 3,809,837 34,598,284 7,422,589 119,037,006
Futures contracts -- -- -- (602,136)
Total Net Assets $404,544,257 $646,239,022 $149,046,743 $1,303,276,052
Class A share capital $278,463,455 $603,087,934 $138,870,437 $1,264,115,462
Shares of beneficial interest
outstanding (Class A) 23,580,186 115,153,424 20,681,390 109,396,690
Net asset value per share $11.81 $5.24 $6.71 $11.56
Maximum public offering price $12.50 $5.49 $7.03 $12.10
Class B share capital $17,608,337 $33,080,071 $5,870,233 $34,044,463
Shares of beneficial interest
outstanding (Class B) 1,497,897 6,318,898 874,178 2,947,341
Net asset value per share $11.76 $5.24 $6.72 $11.55
Institutional Class share capital $108,472,465 $10,071,017 $4,306,073 $5,116,127
Shares of beneficial interest outstanding
(Institutional Class) 9,193,632 1,921,499 641,521 442,795
Net asset value per share $11.80 $5.24 $6.71 $11.55
The accompanying notes to the financial statements are an integral part of this statement.
Thrivent Mutual Funds
Statement of Assets and Liabilities - continued
Income Core Bond
As of October 31, 2004 Fund Fund
- -----------------------------------------------------------------------------------------------------------------------------------
Assets
Investments at cost $770,187,308 $635,523,469
Investments at value 789,025,269 646,273,209
Cash 9,319 6,056
Initial margin deposit on open
futures contracts -- --
Dividends and interest receivable 7,026,113 4,558,300
Receivable for investments sold 12,396,713 3,078,275
Receivable for trust shares sold 202,492 572,933
Receivable for variation margin -- --
Total Assets 808,659,906 654,488,773
Liabilities
Distributions payable 380,711 216,381
Accrued expenses 59,650 55,867
Payable for investments purchased 59,790,905 97,550,809
Payable upon return of collateral
for securities loaned 118,054,151 48,968,408
Payable for trust shares redeemed 330,446 516,609
Payable for variation margin -- --
Payable to affiliate 378,118 348,802
Mortgage dollar roll deferred revenue 53,983 112,912
Total Liabilities 179,047,964 147,769,788
Net Assets
Trust capital (beneficial interest) 641,531,448 499,324,810
Accumulated undistributed net
investment income/(loss) 171,943 208,215
Accumulated undistributed net realized
gain/(loss) on investments and foreign
currency transactions (30,929,410) (3,563,780)
Net unrealized appreciation/(depreciation) on:
Investments 18,837,961 10,749,740
Futures contracts -- --
Total Net Assets $629,611,942 $506,718,985
Class A share capital $575,247,987 $457,074,284
Shares of beneficial interest
outstanding (Class A) 64,920,484 44,520,675
Net asset value per share $8.86 $10.27
Maximum public offering price $9.28 $10.75
Class B share capital $25,391,951 $13,299,080
Shares of beneficial interest
outstanding (Class B) 2,872,175 1,294,801
Net asset value per share $8.84 $10.27
Institutional Class share capital $28,972,004 $36,345,621
Shares of beneficial interest outstanding
(Institutional Class) 3,272,287 3,538,965
Net asset value per share $8.85 $10.27
The accompanying notes to the financial statements are an integral part of this statement.
Thrivent Mutual Funds
Statement of Assets and Liabilities - continued
Bond Index Limited Maturity Money Market
As of October 31, 2004 Fund-I Bond Fund Fund
- -----------------------------------------------------------------------------------------------------------------------------------
Assets
Investments at cost $40,565,886 $159,204,024 $949,365,520
Investments at value 41,280,683 160,340,331 949,365,520
Cash 2,226 289 127,913
Dividends and interest receivable 258,192 952,117 1,435,770
Prepaid expenses -- -- --
Receivable for investments sold -- 4,615,607 --
Receivable for trust shares sold 10,930 640,310 8,002,728
Receivable from affiliate -- -- --
Total Assets 41,552,031 166,548,654 958,931,931
Liabilities
Distributions payable 5,416 25,328 20,371
Accrued expenses 3,937 16,157 216,785
Payable for investments purchased 7,046,164 17,042,759 18,504,030
Payable upon return of collateral
for securities loaned 6,993,882 17,952,473 --
Payable for trust shares redeemed -- 88,287 4,340,309
Payable to affiliate 6,073 73,649 477,657
Mortgage dollar roll deferred revenue 7,386 12,441 --
Total Liabilities 14,062,858 35,211,094 23,559,152
Net Assets
Trust capital (beneficial interest) 27,142,614 129,916,939 935,332,536
Accumulated undistributed net
investment income/(loss) 25,046 37,261 40,243
Accumulated undistributed net realized
gain/(loss) on investments and foreign
currency transactions (393,284) 247,053 --
Net unrealized appreciation/(depreciation) on:
Investments 714,797 1,136,307 --
Total Net Assets $27,489,173 $131,337,560 $935,372,779
Class A share capital N/A $119,447,943 $686,835,953
Shares of beneficial interest
outstanding (Class A) N/A 9,250,440 686,805,213
Net asset value per share N/A $12.91 $1.00
Maximum public offering price N/A $12.91 $1.00
Class B share capital N/A $2,114,788 $2,869,213
Shares of beneficial interest
outstanding (Class B) N/A 163,633 2,869,083
Net asset value per share N/A $12.92 $1.00
Institutional Class share capital $27,489,173 $9,774,829 $245,667,613
Shares of beneficial interest outstanding
(Institutional Class) 2,685,485 757,114 245,649,251
Net asset value per share $10.24 $12.91 $1.00
The accompanying notes to the financial statements are an integral part of this statement.
Thrivent Mutual Funds
Statement of Operations
Technology Partner Small Small Cap
For the period ended October 31, 2004 Fund Cap Value Fund Stock Fund
- -----------------------------------------------------------------------------------------------------------------------------------
Investment Income
Dividends $88,599 $415,602 $1,697,489
Taxable interest 2,539 1,777 47,001
Income from securities loaned 3,883 7,683 65,306
Foreign dividend tax withholding (3,257) (157) (5,182)
Total Investment Income 91,764 424,905 1,804,614
Expenses
Adviser fees 181,187 64,803 1,408,350
Subadviser fees -- 184,549 --
Accounting and pricing fees 11,064 11,101 23,492
Administrative service fees 4,832 7,124 41,783
Audit and legal fees 15,757 15,754 17,998
Custody fees 2,475 5,750 16,825
Distribution expense Class A 51,878 68,236 477,408
Distribution expense Class B 19,716 26,162 123,895
Printing and postage expense Class A 66,167 34,084 241,195
Printing and postage expense Class B 8,543 5,153 23,258
Printing and postage expense
Institutional Class 26 60 153
SEC and state registration expense 23,639 27,080 26,942
Shareholder maintenance fees Class A -- -- --
Shareholder maintenance fees Class B -- -- --
Shareholder maintenance fees
Institutional Class -- -- --
Transfer agent fees Class A 132,830 90,978 502,012
Transfer agent fees Class B 17,731 13,146 59,326
Transfer agent fees Institutional Class 71 69 274
Trustees' fees and insurance expenses 3,845 4,067 11,875
Other expenses, net 1,941 1,942 1,871
Total Expenses Before Reimbursement 541,702 560,058 2,976,657
Less:
Reimbursement from adviser (128,740) (181,168) (32,945)
Fees paid indirectly (49) (6) --
Total Net Expenses 412,913 378,884 2,943,712
Net Investment Income/(Loss) (321,149) 46,021 (1,139,098)
Realized and Unrealized Gains/(Losses) on
Investments and Foreign Currency Transactions
Net realized gains/(losses) on:
Investments (700,853) 11,568,791 18,480,995
Written option contracts -- -- --
Futures contracts -- -- --
Foreign currency transactions -- -- --
Change in net unrealized appreciation/
(depreciation) on:
Investments 2,256,689 (6,157,476) 6,630,233
Written option contracts -- -- --
Futures contracts -- -- --
Foreign currency forward contracts -- -- --
Foreign currency transactions -- -- --
Net Realized and Unrealized Gains/(Losses) on
Investments and Foreign
Currency Transactions 1,555,836 5,411,315 25,111,228
Net Increase/(Decrease) in Net Assets Resulting
From Operations $1,234,687 $5,457,336 $23,972,130
The accompanying notes to the financial statements are an integral part of this statement.
Thrivent Mutual Funds
Statement of Operations - continued
Small Cap Mid Cap Mid Cap Mid Cap
For the period ended October 31, 2004 Index Fund Growth Fund Stock Fund Index Fund
- -----------------------------------------------------------------------------------------------------------------------------------
Investment Income
Dividends $223,463 $717,692 $3,778,639 $261,487
Taxable interest 221 52,940 124,076 --
Tax exempt interest -- -- -- --
Income from mortgage dollar rolls -- -- -- --
Income from securities loaned 8,185 57,637 104,440 3,665
Foreign dividend tax withholding (66) (1,042) (15,478) --
Total Investment Income 231,803 827,227 3,991,677 265,152
Expenses
Adviser fees 42,321 854,879 2,811,970 57,180
Subadviser fees -- -- -- --
Accounting and pricing fees 11,057 38,794 39,355 11,802
Administrative service fees 3,386 40,565 84,971 4,574
Audit and legal fees 15,937 17,699 21,207 15,953
Custody fees 16,797 24,259 11,730 10,810
Distribution expense Class A 42,004 175,670 992,663 56,775
Distribution expense Class B 1,185 327,083 133,644 1,506
Printing and postage expense Class A 25,279 278,901 326,815 27,873
Printing and postage expense Class B 25 95,327 20,679 34
Printing and postage expense
Institutional Class -- 8,257 155 --
SEC and state registration expense 13,055 44,203 29,531 13,903
Shareholder maintenance fees Class A -- 210,501 -- --
Shareholder maintenance fees Class B -- 66,143 -- --
Shareholder maintenance fees
Institutional Class -- 9,342 -- --
Transfer agent fees Class A 57,059 648,710 825,427 75,654
Transfer agent fees Class B 483 222,299 65,960 689
Transfer agent fees Institutional Class -- 1,154 289 --
Trustees' fees and insurance expenses 3,531 15,256 20,222 3,704
Other expenses, net 1,624 2,091 2,968 1,900
Total Expenses Before Reimbursement 233,743 3,081,133 5,387,586 282,357
Less:
Reimbursement from adviser (71,221) (16,964) (32,366) (71,430)
Fees paid indirectly (136) (128) (125) (160)
Total Net Expenses 162,386 3,064,041 5,355,095 210,767
Net Investment Income/(Loss) 69,417 (2,236,814) (1,363,418) 54,385
Realized and Unrealized Gains/(Losses) on
Investments and Foreign Currency Transactions
Net realized gains/(losses) on:
Investments 180,649 19,790,800 21,612,698 1,353,353
Written option contracts -- -- -- --
Futures contracts (28,682) -- -- (58,153)
Foreign currency transactions -- -- -- --
Change in net unrealized appreciation/
(depreciation) on:
Investments 2,155,228 (4,373,665) 25,354,479 156,219
Futures contracts 83,020 -- -- 91,365
Foreign currency forward contracts -- -- -- --
Foreign currency transactions -- -- -- --
Net Realized and Unrealized Gains/(Losses) on
Investments and Foreign
Currency Transactions 2,390,215 15,417,135 46,967,177 1,542,784
Net Increase/(Decrease) in Net Assets Resulting
From Operations $2,459,632 $13,180,321 $45,603,759 $1,597,169
The accompanying notes to the financial statements are an integral part of this statement.
Thrivent Mutual Funds
Statement of Operations - continued
Mid Cap Partner International Large Cap Large Cap
For the period ended October 31, 2004 Index Fund-I Stock Fund Growth Fund Value Fund
- -----------------------------------------------------------------------------------------------------------------------------------
Investment Income
Dividends $115,968 $3,058,491 $551,056 $2,405,119
Taxable interest 165 29,772 9,000 11,354
Tax exempt interest -- -- -- --
Income from mortgage dollar rolls -- -- -- --
Income from securities loaned 1,233 83,980 4,916 5,993
Foreign dividend tax withholding -- (358,674) (1,446) (3,654)
Total Investment Income 117,366 2,813,569 563,526 2,418,812
Expenses
Adviser fees 24,332 328,843 376,750 550,642
Subadviser fees -- 660,221 -- --
Accounting and pricing fees 10,171 70,474 26,468 29,243
Administrative service fees 1,947 27,767 13,104 25,199
Audit and legal fees 15,753 25,395 25,060 25,312
Custody fees 10,077 121,324 33,528 10,357
Distribution expense Class A -- 170,247 56,805 206,088
Distribution expense Class B -- 115,995 113,828 111,178
Printing and postage expense Class A -- 126,847 68,196 46,904
Printing and postage expense Class B -- 26,562 29,417 18,118
Printing and postage expense
Institutional Class 120 8,278 4,022 1,762
SEC and state registration expense 5,979 38,204 8,567 19,746
Shareholder maintenance fees Class A -- 115,396 57,574 57,459
Shareholder maintenance fees Class B -- 20,001 21,346 18,603
Shareholder maintenance fees
Institutional Class -- 10,867 5,560 3,350
Transfer agent fees Class A -- 490,101 238,524 277,809
Transfer agent fees Class B -- 83,512 87,089 66,629
Transfer agent fees Institutional Class 238 425 343 302
Trustees' fees and insurance expenses 3,228 13,130 9,197 12,446
Other expenses, net 1,628 (314) 1,029 177
Total Expenses Before Reimbursement 73,473 2,453,275 1,176,407 1,481,324
Less:
Reimbursement from adviser (653) (12,602) (772,892) (314,134)
Fees paid indirectly (32) (69) (8) (16)
Total Net Expenses 72,788 2,440,604 403,507 1,167,174
Net Investment Income/(Loss) 44,578 372,965 160,019 1,251,638
Realized and Unrealized Gains/(Losses) on
Investments and Foreign Currency Transactions
Net realized gains/(losses) on:
Investments 677,677 13,990,559 5,125,171 9,791,413
Written option contracts -- -- (1,234) --
Futures contracts (84,037) -- -- --
Foreign currency transactions -- (301,535) -- --
Change in net unrealized appreciation/
(depreciation) on:
Investments (102,653) 15,758,984 915,659 34,221,215
Futures contracts 62,055 -- (254) --
Foreign currency forward contracts -- 32 -- --
Foreign currency transactions -- 24,368 -- --
Net Realized and Unrealized Gains/(Losses) on
Investments and Foreign
Currency Transactions 553,042 29,472,408 6,039,342 44,012,628
Net Increase/(Decrease) in Net Assets Resulting
From Operations $597,620 $29,845,373 $6,199,361 $45,264,266
The accompanying notes to the financial statements are an integral part of this statement.
Thrivent Mutual Funds
Statement of Operations - continued
Large Cap Large Cap
For the period ended October 31, 2004 Stock Fund Index Fund
- -----------------------------------------------------------------------------------------------------------------------------------
Investment Income
Dividends $23,387,081 $581,064
Taxable interest 675,245 1,443
Tax exempt interest -- --
Income from mortgage dollar rolls -- --
Income from securities loaned 47,040 451
Foreign dividend tax withholding (101,440) --
Total Investment Income 24,007,926 582,958
Expenses
Adviser fees 8,782,658 84,594
Subadviser fees -- --
Accounting and pricing fees 135,046 12,709
Administrative service fees 336,741 6,768
Audit and legal fees 36,531 15,945
Custody fees 26,622 23,611
Distribution expense Class A 3,954,147 84,074
Distribution expense Class B 519,315 1,911
Printing and postage expense Class A 962,140 27,723
Printing and postage expense Class B 99,828 38
Printing and postage expense
Institutional Class 63 --
SEC and state registration expense 157,456 18,478
Shareholder maintenance fees Class A -- --
Shareholder maintenance fees Class B -- --
Shareholder maintenance fees
Institutional Class -- --
Transfer agent fees Class A 2,249,262 85,452
Transfer agent fees Class B 245,679 731
Transfer agent fees Institutional Class 730 --
Trustees' fees and insurance expenses 82,086 4,026
Other expenses, net (527) 1,897
Total Expenses Before Reimbursement 17,587,777 367,957
Less:
Reimbursement from adviser (152,062) (173,937)
Fees paid indirectly (916) (64)
Total Net Expenses 17,434,799 193,956
Net Investment Income/(Loss) 6,573,127 389,002
Realized and Unrealized Gains/(Losses) on
Investments and Foreign Currency Transactions
Net realized gains/(losses) on:
Investments 286,553,358 492,596
Written option contracts -- --
Futures contracts -- 19,391
Foreign currency transactions -- --
Change in net unrealized appreciation/
(depreciation) on:
Investments (236,804,674) 904,766
Futures contracts -- 54,931
Foreign currency forward contracts -- --
Foreign currency transactions -- --
Net Realized and Unrealized Gains/(Losses) on
Investments and Foreign
Currency Transactions 49,748,684 1,471,684
Net Increase/(Decrease) in Net Assets Resulting
From Operations $56,321,811 $1,860,686
The accompanying notes to the financial statements are an integral part of this statement.
Thrivent Mutual Funds
Statement of Operations - continued
Large Cap Balanced High Yield Partner High
For the period ended October 31, 2004 Index Fund-I Fund Fund Yield Fund
- -----------------------------------------------------------------------------------------------------------------------------------
Investment Income
Dividends $256,279 $1,775,525 $1,602,866 $76,874
Taxable interest -- 2,784,036 53,226,193 5,645,005
Tax exempt interest -- -- -- --
Income from mortgage dollar rolls -- 604,609 -- --
Income from securities loaned 266 20,827 146,356 20,568
Foreign dividend tax withholding -- (1,965) -- --
Total Investment Income 256,545 5,183,032 54,975,415 5,742,447
Expenses
Adviser fees 36,898 1,110,245 2,462,532 370,037
Subadviser fees -- -- -- 30,137
Accounting and pricing fees 10,580 29,495 89,191 24,753
Administrative service fees 2,952 40,373 126,430 14,552
Audit and legal fees 15,748 18,189 28,051 14,598
Custody fees 5,356 16,225 16,945 3,444
Distribution expense Class A -- 346,001 430,350 169,660
Distribution expense Class B -- 90,442 284,899 29,537
Printing and postage expense Class A -- 72,559 262,098 33,019
Printing and postage expense Class B -- 9,285 21,490 2,874
Printing and postage expense
Institutional Class 82 68 3,048 109
SEC and state registration expense 3,971 19,052 55,898 19,835
Shareholder maintenance fees Class A -- -- 1,037,712 --
Shareholder maintenance fees Class B -- -- 62,643 --
Shareholder maintenance fees
Institutional Class -- -- 10,910 --
Transfer agent fees Class A -- 228,865 921,878 117,097
Transfer agent fees Class B -- 29,199 79,600 10,413
Transfer agent fees Institutional Class 171 143 1,520 159
Trustees' fees and insurance expenses 3,383 12,032 33,246 6,142
Other expenses, net 1,683 2,165 73 1,126
Total Expenses Before Reimbursement 80,825 2,024,338 5,928,514 847,492
Less:
Reimbursement from adviser (895) (29,513) (39,178) (47,629)
Fees paid indirectly (25) (168) (1,976) (244)
Total Net Expenses 79,904 1,994,657 5,887,360 799,619
Net Investment Income/(Loss) 176,641 3,188,375 49,088,055 4,942,828
Realized and Unrealized Gains/(Losses) on
Investments and Foreign Currency Transactions
Net realized gains/(losses) on:
Investments 245,771 15,642,140 (11,835,388) (149,174)
Written option contracts -- -- -- --
Futures contracts (29,293) -- -- --
Foreign currency transactions -- -- 191 --
Change in net unrealized appreciation/
(depreciation) on:
Investments 358,709 (9,983,878) 31,248,076 4,209,626
Futures contracts 20,698 -- -- --
Net Realized and Unrealized Gains/(Losses) on
Investments and Foreign
Currency Transactions 595,885 5,658,262 19,412,878 4,060,452
Net Increase/(Decrease) in Net Assets Resulting
From Operations $772,526 $8,846,637 $68,500,934 $9,003,280
The accompanying notes to the financial statements are an integral part of this statement.
Thrivent Mutual Funds
Statement of Operations - continued
Municipal Income Core Bond Bond Index
For the period ended October 31, 2004 Bond Fund Fund Fund Fund-I
- -----------------------------------------------------------------------------------------------------------------------------------
Investment Income
Dividends $-- $155,901 $70,738 $6,387
Taxable interest 151,350 29,199,669 9,716,335 555,577
Tax exempt interest 44,498,086 -- -- --
Income from mortgage dollar rolls -- 1,794,795 2,212,188 151,081
Income from securities loaned -- 126,152 40,506 3,211
Foreign dividend tax withholding -- -- -- --
Total Investment Income 44,649,436 31,276,517 12,039,767 716,256
Expenses
Adviser fees 3,058,436 2,219,049 1,139,115 39,673
Subadviser fees -- -- -- --
Accounting and pricing fees 117,990 78,756 33,392 14,607
Administrative service fees 169,734 128,865 50,649 3,174
Audit and legal fees 35,257 29,124 19,645 16,031
Custody fees 14,681 22,900 9,051 5,425
Distribution expense Class A 919,235 418,896 571,906 --
Distribution expense Class B 225,369 225,379 67,155 --
Printing and postage expense Class A 139,953 220,122 80,526 --
Printing and postage expense Class B 6,926 16,753 5,564 --
Printing and postage expense
Institutional Class 354 6,095 297 80
SEC and state registration expense 80,493 51,994 26,093 4,122
Shareholder maintenance fees Class A 1,127,344 1,053,484 -- --
Shareholder maintenance fees Class B 41,464 50,079 -- --
Shareholder maintenance fees
Institutional Class 2,745 28,749 -- --
Transfer agent fees Class A 421,747 794,191 303,347 --
Transfer agent fees Class B 19,589 61,631 22,028 --
Transfer agent fees Institutional Class 418 2,244 496 234
Trustees' fees and insurance expenses 43,510 35,493 14,406 3,552
Other expenses, net 157 (714) 1,463 953
Total Expenses Before Reimbursement 6,425,402 5,443,090 2,345,133 87,853
Less:
Reimbursement from adviser (15,905) (65,279) (30,710) (1,843)
Fees paid indirectly (467) (119) (149) (60)
Total Net Expenses 6,409,030 5,377,692 2,314,274 85,948
Net Investment Income/(Loss) 38,240,406 25,898,825 9,725,493 630,308
Realized and Unrealized Gains/(Losses) on
Investments and Foreign Currency Transactions
Net realized gains/(losses) on:
Investments 2,623,814 12,124,623 (356,071) (50,717)
Written option contracts -- 21,701 -- --
Futures contracts (1,917,486) (3,338,468) -- --
Foreign currency transactions -- -- -- --
Change in net unrealized appreciation/
(depreciation) on:
Investments 54,200,778 (670,321) 7,999,604 345,924
Futures contracts (602,136) 941,051 -- --
Net Realized and Unrealized Gains/(Losses) on
Investments and Foreign
Currency Transactions 54,304,970 9,078,586 7,643,533 295,207
Net Increase/(Decrease) in Net Assets Resulting
From Operations $92,545,376 $34,977,411 $17,369,026 $925,515
The accompanying notes to the financial statements are an integral part of this statement.
Thrivent Mutual Funds
Statement of Operations - continued
Limited Maturity Money Market
For the period ended October 31, 2004 Bond Fund Fund
- -----------------------------------------------------------------------------------------------------------------------------------
Investment Income
Dividends $18,879 $7,308
Taxable interest 3,729,657 4,769,327
Tax exempt interest 57,990 294,184
Income from mortgage dollar rolls 403,167 --
Income from securities loaned 21,124 --
Foreign dividend tax withholding -- --
Total Investment Income 4,230,817 5,070,819
Expenses
Adviser fees 366,129 1,549,772
Subadviser fees -- --
Accounting and pricing fees 37,048 36,509
Administrative service fees 24,409 67,158
Audit and legal fees 20,727 12,679
Custody fees 11,234 6,263
Distribution expense Class A 82,891 325,784
Distribution expense Class B 1,470 10,280
Printing and postage expense Class A 44,965 332,415
Printing and postage expense Class B 1,853 1,607
Printing and postage expense
Institutional Class 3,771 9,567
SEC and state registration expense 43,866 45,154
Shareholder maintenance fees Class A 177,468 --
Shareholder maintenance fees Class B 10,231 --
Shareholder maintenance fees
Institutional Class 15,467 --
Transfer agent fees Class A 178,697 604,240
Transfer agent fees Class B 8,388 4,964
Transfer agent fees Institutional Class 627 755
Trustees' fees and insurance expenses 10,882 18,917
Other expenses, net 798 (1,710)
Total Expenses Before Reimbursement 1,040,921 3,024,354
Less:
Reimbursement from adviser (160,847) (330,066)
Fees paid indirectly (255) (126)
Total Net Expenses 879,820 2,694,162
Net Investment Income/(Loss) 3,350,998 2,376,657
Realized and Unrealized Gains/(Losses) on
Investments and Foreign Currency Transactions
Net realized gains/(losses) on:
Investments 637,481 --
Written option contracts (8,955) --
Futures contracts (396,237) --
Foreign currency transactions -- --
Change in net unrealized appreciation/
(depreciation) on:
Investments (602,983) --
Futures contracts -- --
Net Realized and Unrealized Gains/(Losses) on
Investments and Foreign
Currency Transactions (370,694) --
Net Increase/(Decrease) in Net Assets Resulting
From Operations $2,980,304 $2,376,657
The accompanying notes to the financial statements are an integral part of this statement.
Thrivent Mutual Funds
Statement of Operations - continued
Technology Partner Small Cap Small Cap Small Cap
For the year ended April 30, 2004 Fund Value Fund Stock Fund Index Fund
- -----------------------------------------------------------------------------------------------------------------------------------
Investment Income
Dividends $146,021 $435,867 $2,376,953 $278,483
Taxable interest 6,341 2,761 76,736 --
Income from securities loaned 6,196 9,280 61,966 7,950
Foreign dividend tax witholding (1,822) (1,140) (4,312) (136)
Total Investment Income 156,736 446,768 2,511,343 286,297
Expenses
Adviser fees 343,997 361,257 2,544,598 78,823
Subadviser fees -- -- -- --
Accounting and pricing fees 28,548 30,053 58,588 30,575
Administrative service fees 3,445 4,207 27,951 2,480
Audit and legal fees 16,435 16,388 16,575 15,860
Custody fees 11,991 38,837 43,056 20,570
Distribution expense Class A 98,728 100,096 855,598 70,739
Distribution expense Class B 35,255 44,075 244,761 32,336
Printing and postage expense Class A 118,112 73,661 449,427 37,479
Printing and postage expense Class B 15,419 9,882 53,540 6,170
Printing and postage expense
Institutional Class 47 43 218 --
SEC and state registration expense 50,422 78,753 58,534 32,447
Shareholder maintenance fees Class A 61,865 36,878 239,576 18,566
Shareholder maintenance fees Class B 7,987 5,011 28,842 3,175
Shareholder maintenance fees
Institutional Class 25 22 88 --
Transfer agent fees Class A 184,773 109,487 715,692 55,149
Transfer agent fees Class B 23,889 14,860 88,661 9,402
Transfer agent fees Institutional Class 60 57 278 --
Trustees' fees and insurance expenses 5,639 5,362 14,394 5,024
Other expenses 6,323 5,863 9,781 5,187
Total Expenses Before Reimbursement 1,012,960 934,792 5,450,158 423,982
Less:
Reimbursement from adviser (382,530) (270,371) (60,648) (67,245)
Fees paid indirectly (76) (82) (117) (29)
Net Investment Income/(Loss) (473,618) (217,571) (2,878,050) (70,411)
Realized and Unrealized Gains/(Losses) on
Investments and Foreign Currency Transactions
Net realized gains/(losses) on:
Investments (122,595) 6,913,295 57,134,227 1,339,184
Written option contracts -- -- -- --
Futures contracts -- -- -- 275,314
Foreign currency transactions -- -- -- --
Change in net unrealized appreciation/
(depreciation) on:
Investments 10,037,498 10,278,285 68,283,187 7,581,438
Written option contracts -- -- -- --
Futures contracts -- -- -- (71,365)
Foreign currency forward contracts -- -- -- --
Foreign currency transactions -- -- -- --
Net Realized and Unrealized Gains on
Investments and Foreign
Currency Transactions 9,914,903 17,191,580 125,417,414 9,124,571
Net Increase in Net Assets Resulting
From Operations $9,441,285 $16,974,009 $122,539,364 $9,054,160
The accompanying notes to the financial statements are an integral part of this statement.
Thrivent Mutual Funds
Statement of Operations - continued
Mid Cap Mid Cap Mid Cap Large Cap
For the year ended April 30, 2004 Stock Fund Index Fund Index Fund-I Stock Fund
- -----------------------------------------------------------------------------------------------------------------------------------
Investment Income
Dividends $6,828,076 $440,928 $333,257 $39,163,960
Taxable interest 305,680 115 320 1,687,700
Income from securities loaned 112,461 5,414 4,635 37,375
Foreign dividend tax witholding (22,565) -- -- --
Total Investment Income 7,223,652 446,457 338,212 40,889,035
Expenses
Adviser fees 5,331,519 91,787 69,296 15,870,199
Subadviser fees -- -- -- --
Accounting and pricing fees 83,756 30,016 28,956 191,127
Administrative service fees 57,602 2,812 2,107 201,906
Audit and legal fees 22,413 15,872 16,366 65,797
Custody fees 38,333 15,470 11,221 70,519
Distribution expense Class A 1,882,993 81,290 -- 6,971,399
Distribution expense Class B 257,089 41,987 -- 806,654
Printing and postage expense Class A 759,324 47,303 -- 1,807,984
Printing and postage expense Class B 62,365 8,811 -- 161,649
Printing and postage expense
Institutional Class 285 -- 215 574
SEC and state registration expense 80,552 34,257 23,549 99,916
Shareholder maintenance fees Class A 406,044 24,716 -- 957,923
Shareholder maintenance fees Class B 32,353 4,566 -- 81,913
Shareholder maintenance fees
Institutional Class 111 -- 87 232
Transfer agent fees Class A 1,219,901 73,674 -- 2,879,533
Transfer agent fees Class B 98,804 13,511 -- 250,682
Transfer agent fees Institutional Class 323 -- 267 666
Trustees' fees and insurance expenses 28,283 5,307 4,706 95,482
Other expenses 12,451 5,807 (3,821) 37,458
Total Expenses Before Reimbursement 10,374,501 497,186 152,949 30,551,613
Less:
Reimbursement from adviser (59,248) (61,592) (2,027) (48,587)
Fees paid indirectly (120) (16) (13) (301)
Net Investment Income/(Loss) (3,091,481) 10,879 187,303 10,386,310
Realized and Unrealized Gains/(Losses) on
Investments and Foreign Currency Transactions
Net realized gains/(losses) on:
Investments 101,122,677 (1,285,672) 506,682 219,961,752
Written option contracts -- -- -- --
Futures contracts -- 340,280 331,186 --
Foreign currency transactions -- -- -- --
Change in net unrealized appreciation/
(depreciation) on:
Investments 103,766,562 10,510,433 6,378,198 180,157,821
Written option contracts -- -- -- --
Futures contracts -- (117,845) (79,901) --
Foreign currency forward contracts -- -- -- --
Foreign currency transactions -- -- -- --
Net Realized and Unrealized Gains on
Investments and Foreign
Currency Transactions 204,889,239 9,447,196 7,136,165 400,119,573
Net Increase in Net Assets Resulting
From Operations $201,797,758 $9,458,075 $7,323,468 $410,505,883
The accompanying notes to the financial statements are an integral part of this statement.
Thrivent Mutual Funds
Statement of Operations - continued
Large Cap Large Cap Balanced Partner High
For the year ended April 30, 2004 Index Fund Index Fund-I Fund Yield Fund
- -----------------------------------------------------------------------------------------------------------------------------------
Investment Income
Dividends $720,971 $498,357 $3,247,935 $14,630
Taxable interest 454 260 5,786,850 11,057,610
Tax exempt interest -- -- -- --
Income from mortgage dollar rolls -- -- 1,336,087 --
Income from securities loaned 2,311 1,667 16,853 17,110
Foreign dividend tax witholding -- -- (105) --
Total Investment Income 723,736 500,284 10,387,620 11,089,350
Expenses
Adviser fees 107,033 70,363 2,244,059 411,633
Subadviser fees -- -- -- 343,028
Accounting and pricing fees 31,005 29,571 67,052 57,085
Administrative service fees 3,512 1,870 27,656 9,571
Audit and legal fees 17,162 15,363 16,914 19,556
Custody fees 23,179 16,674 31,333 16,497
Distribution expense Class A 96,561 -- 687,595 318,883
Distribution expense Class B 41,885 -- 192,972 61,146
Printing and postage expense Class A 49,482 -- 192,930 70,356
Printing and postage expense Class B 9,278 -- 27,379 6,260
Printing and postage expense
Institutional Class -- 233 135 145
SEC and state registration expense 35,392 21,563 49,509 39,139
Shareholder maintenance fees Class A 25,425 -- 103,355 43,179
Shareholder maintenance fees Class B 4,708 -- 13,932 3,639
Shareholder maintenance fees
Institutional Class -- 64 51 50
Transfer agent fees Class A 75,585 -- 308,547 129,483
Transfer agent fees Class B 13,894 -- 41,906 11,369
Transfer agent fees Institutional Class -- 194 145 145
Trustees' fees and insurance expenses 5,244 5,012 16,955 8,181
Other expenses 5,848 (4,150) 10,484 4,508
Total Expenses Before Reimbursement 545,193 156,757 4,032,909 1,553,853
Less:
Reimbursement from adviser (324,831) (2,130) (56,079) --
Fees paid indirectly (60) (17) (403) (406)
Total Net Expenses 220,302 154,610 3,976,427 1,553,447
Realized and Unrealized Gains/(Losses) on
Investments and Foreign Currency Transactions
Net realized gains/(losses) on:
Investments 246,671 (6,745,288) 8,335,406 6,892,386
Futures contracts 286,596 349,276 -- --
Change in net unrealized appreciation/
(depreciation) on:
Investments 6,407,598 12,547,918 24,974,274 (1,159,062)
Futures contracts (109,107) (158,007) -- --
Net Realized and Unrealized Gains/(Losses) on
Investments and Foreign
Currency Transactions 6,831,758 5,993,899 33,309,680 5,733,324
Net Increase in Net Assets Resulting
From Operations $7,335,192 $6,339,573 $39,720,873 $15,269,227
The accompanying notes to the financial statements are an integral part of this statement.
Thrivent Mutual Funds
Statement of Operations - continued
Bond Bond Index Money Market
For the year ended April 30, 2004 Fund Fund-I Fund
- -----------------------------------------------------------------------------------------------------------------------------------
Investment Income
Dividends $66,366 $14,136 $22,532
Taxable interest 20,312,773 1,694,758 4,701,306
Tax exempt interest -- -- 28,630
Income from mortgage dollar rolls 4,952,607 291,037 --
Income from securities loaned 23,788 4,381 --
Foreign dividend tax witholding -- -- --
Total Investment Income 25,355,534 2,004,312 4,752,468
Expenses
Adviser fees 2,403,981 115,666 2,063,046
Subadviser fees -- -- --
Accounting and pricing fees 64,463 33,771 56,379
Administrative service fees 34,193 2,731 26,026
Audit and legal fees 17,855 16,526 15,794
Custody fees 23,815 12,112 20,983
Distribution expense Class A 1,225,069 -- 380,636
Distribution expense Class B 133,975 -- 19,838
Printing and postage expense Class A 231,256 -- 224,583
Printing and postage expense Class B 16,016 -- 2,955
Printing and postage expense
Institutional Class 369 230 675
SEC and state registration expense 70,300 23,096 115,202
Shareholder maintenance fees Class A 125,671 -- 131,192
Shareholder maintenance fees Class B 8,385 -- 1,484
Shareholder maintenance fees
Institutional Class 163 77 241
Transfer agent fees Class A 374,739 -- 403,003
Transfer agent fees Class B 25,635 -- 4,734
Transfer agent fees Institutional Class 479 249 748
Trustees' fees and insurance expenses 20,869 5,617 17,694
Other expenses 7,563 1,534 7,293
Total Expenses Before Reimbursement 4,784,796 211,609 3,492,506
Less:
Reimbursement from adviser (50,241) (5,549) (336,749)
Fees paid indirectly (782) (113) (208)
Total Net Expenses 4,733,773 205,947 3,155,549
Realized and Unrealized Gains/(Losses) on
Investments and Foreign Currency Transactions
Net realized gains/(losses) on:
Investments 10,761,715 2,235,197 --
Futures contracts -- -- --
Change in net unrealized appreciation/
(depreciation) on:
Investments (16,685,506) (2,921,884) --
Futures contracts -- -- --
Net Realized and Unrealized Gains/(Losses) on
Investments and Foreign
Currency Transactions (5,923,791) (686,687) --
Net Increase in Net Assets Resulting
From Operations $14,697,970 $1,111,678 $1,596,919
The accompanying notes to the financial statements are an integral part of this statement.
Thrivent Mutual Funds
Statement of Changes in Net Assets
Technology Fund
------------------------------------------------------
For the periods ended 10/31/2004 4/30/2004 4/30/2003
- ------------------------------------------------------------------------------------------------------------
Operations
Net investment income/(loss) $(321,149) $(473,618) $(661,069)
Net realized gains/(losses) on:
Investments (700,853) (122,595) (6,715,842)
Futures contracts -- -- --
Change in net unrealized appreciation/
(depreciation) on:
Investments 2,256,689 10,037,498 (733,387)
Futures contracts -- -- --
Net Change in Net Assets Resulting
From Operations 1,234,687 9,441,285 (8,110,298)
Distributions to Shareholders
From net realized gains -- -- --
Total Distributions to Shareholders -- -- --
Trust Share Transactions 2,667 4,685,272 359,069
Net Increase/(Decrease) in Net Assets 1,237,354 14,126,557 (7,751,229)
Net Assets, Beginning of Period 48,239,943 34,113,386 41,864,615
Net Assets, End of Period $49,477,297 $48,239,943 $34,113,386
Mid Cap Growth Fund
--------------------------------
For the periods ended 10/31/2004 10/31/2003
- -------------------------------------------------------------------------------------------------------------
Operations
Net investment income/(loss) $(2,236,814) $(2,186,098)
Net realized gains/(losses) on:
Investments 19,790,800 (8,949,066)
Futures contracts -- --
Change in net unrealized appreciation/
(depreciation) on:
Investments (4,373,665) 46,959,048
Futures contracts -- --
Net Change in Net Assets Resulting
From Operations 13,180,321 35,823,884
Distributions to Shareholders
From net investment income -- --
From net realized gains -- --
Total Distributions to Shareholders -- --
Trust Share Transactions 135,052,295 (8,086,425)
Net Increase/(Decrease) in Net Assets 148,232,616 27,737,459
Net Assets, Beginning of Period 157,608,578 129,871,119
Net Assets, End of Period $305,841,194 $157,608,578
The accompanying notes to the financial statements are an integral part of this statement.
Thrivent Mutual Funds
Statement of Changes in Net Assets - continued
Partner Small Cap Value Fund
------------------------------------------------------
For the periods ended 10/31/2004 4/30/2004 4/30/2003
- ------------------------------------------------------------------------------------------------------------
Operations
Net investment income/(loss) $46,021 $(217,571) $(258,668)
Net realized gains/(losses) on:
Investments 11,568,791 6,913,295 (5,692,055)
Futures contracts -- -- --
Change in net unrealized appreciation/
(depreciation) on:
Investments (6,157,476) 10,278,285 (208,280)
Futures contracts -- -- --
Net Change in Net Assets Resulting
From Operations 5,457,336 16,974,009 (6,159,003)
Distributions to Shareholders
From net realized gains (1,649,048) -- (206,763)
Total Distributions to Shareholders (1,649,048) -- (206,763)
Trust Share Transactions 9,599,488 15,224,395 12,741,195
Net Increase/(Decrease) in Net Assets 13,407,776 32,198,404 6,375,429
Net Assets, Beginning of Period 66,641,842 34,443,438 28,068,009
Net Assets, End of Period $80,049,618 $66,641,842 $34,443,438
Mid Cap Stock Fund
------------------------------------------------------
For the periods ended 10/31/2004 4/30/2004 4/30/2003
- ------------------------------------------------------------------------------------------------------------
Operations
Net investment income/(loss) $(1,363,418) $(3,091,481) $(1,464,241)
Net realized gains/(losses) on:
Investments 21,612,698 101,122,677 (43,113,627)
Futures contracts -- -- --
Change in net unrealized appreciation/
(depreciation) on:
Investments 25,354,479 103,766,562 (115,065,272)
Futures contracts -- -- --
Net Change in Net Assets Resulting
From Operations 45,603,759 201,797,758 (159,643,140)
Distributions to Shareholders
From net investment income -- -- --
From net realized gains -- -- --
Total Distributions to Shareholders -- -- --
Trust Share Transactions (25,032,465) (43,982,250) (47,410,308)
Net Increase/(Decrease) in Net Assets 20,571,294 157,815,508 (207,053,448)
Net Assets, Beginning of Period 845,111,174 687,295,666 894,349,114
Net Assets, End of Period $865,682,468 $845,111,174 $687,295,666
The accompanying notes to the financial statements are an integral part of this statement.
Thrivent Mutual Funds
Statement of Changes in Net Assets - continued
Small Cap Stock Fund
------------------------------------------------------
For the periods ended 10/31/2004 4/30/2004 4/30/2003
- ------------------------------------------------------------------------------------------------------------
Operations
Net investment income/(loss) $(1,139,098) $(2,878,050) $(2,608,288)
Net realized gains/(losses) on:
Investments 18,480,995 57,134,227 (25,870,944)
Futures contracts -- -- --
Change in net unrealized appreciation/
(depreciation) on:
Investments 6,630,233 68,283,187 (58,852,217)
Futures contracts -- -- --
Net Change in Net Assets Resulting
From Operations 23,972,130 122,539,364 (87,331,449)
Distributions to Shareholders
From net realized gains (24,140,171) -- --
Total Distributions to Shareholders (24,140,171) -- --
Trust Share Transactions 18,416,279 (1,267,655) (1,577,965)
Net Increase/(Decrease) in Net Assets 18,248,238 121,271,709 (88,909,414)
Net Assets, Beginning of Period 415,806,535 294,534,826 383,444,240
Net Assets, End of Period $434,054,773 $415,806,535 $294,534,826
Mid Cap Index Fund
------------------------------------------------------
For the periods ended 10/31/2004 4/30/2004 4/30/2003
- ------------------------------------------------------------------------------------------------------------
Operations
Net investment income/(loss) $54,385 $10,879 $(30,058)
Net realized gains/(losses) on:
Investments 1,353,353 (1,285,672) (8,091)
Futures contracts (58,153) 340,280 (97,769)
Change in net unrealized appreciation/
(depreciation) on:
Investments 156,219 10,510,433 (6,119,609)
Futures contracts 91,365 (117,845) 40,615
Net Change in Net Assets Resulting
From Operations 1,597,169 9,458,075 (6,214,912)
Distributions to Shareholders
From net investment income (6,127) -- --
From net realized gains -- -- (330,723)
Total Distributions to Shareholders (6,127) -- (330,723)
Trust Share Transactions 3,710,149 2,482,345 6,630,717
Net Increase/(Decrease) in Net Assets 5,301,191 11,940,420 85,082
Net Assets, Beginning of Period 43,900,457 31,960,037 31,874,955
Net Assets, End of Period $49,201,648 $43,900,457 $31,960,037
The accompanying notes to the financial statements are an integral part of this statement.
Thrivent Mutual Funds
Statement of Changes in Net Assets - continued
Small Cap Index Fund
------------------------------------------------------
For the periods ended 10/31/2004 4/30/2004 4/30/2003
- ------------------------------------------------------------------------------------------------------------
Operations
Net investment income/(loss) $69,417 $(70,412) $(111,415)
Net realized gains/(losses) on:
Investments 180,649 1,339,184 (105,395)
Written option contracts -- -- --
Futures contracts (28,682) 275,314 --
-- -- --
Change in net unrealized appreciation/
(depreciation) on:
Investments 2,155,228 7,581,438 (5,162,810)
Written option contracts -- -- --
Futures contracts 83,020 (71,365) --
Foreign currency forward contracts -- -- --
Foreign currency transactions -- -- --
Net Change in Net Assets Resulting
From Operations 2,459,632 9,054,159 (5,379,620)
Distributions to Shareholders
From net investment income -- -- --
From net realized gains (1,238,820) (116,288) (135,306)
Total Distributions to Shareholders (1,238,820) (116,288) (135,306)
Trust Share Transactions (4,657,134) 7,157,605 4,599,568
Net Increase/(Decrease) in Net Assets (3,436,322) 16,095,476 (915,358)
Net Assets, Beginning of Period 38,817,555 22,722,079 23,637,437
Net Assets, End of Period $35,381,233 $38,817,555 $22,722,079
Mid Cap Index Fund-I
------------------------------------------------------
For the periods ended 10/31/2004 4/30/2004 4/30/2003
- ------------------------------------------------------------------------------------------------------------
Operations
Net investment income/(loss) $44,578 $187,304 $182,971
Net realized gains/(losses) on:
Investments 677,677 506,682 383,610
Futures contracts (84,037) 331,186 (49,260)
Change in net unrealized appreciation/
(depreciation) on:
Investments (102,653) 6,378,198 (4,893,181)
Futures contracts 62,055 (79,901) 33,014
Net Change in Net Assets Resulting
From Operations 597,620 7,323,469 (4,342,846)
Distributions to Shareholders
From net investment income -- (154,805) (189,081)
From net realized gains (467,289) (157,900) (558,179)
Total Distributions to Shareholders (467,289) (312,705) (747,260)
Trust Share Transactions (14,551,273) 3,952,019 1,515,301
Net Increase/(Decrease) in Net Assets (14,420,942) 10,962,783 (3,574,805)
Net Assets, Beginning of Period 31,725,033 20,762,250 24,337,055
Net Assets, End of Period $17,304,091 $31,725,033 $20,762,250
The accompanying notes to the financial statements are an integral part of this statement.
Thrivent Mutual Funds
Statement of Changes in Net Assets - continued
Partner International
Stock Fund
--------------------------------
For the periods ended 10/31/2004 10/31/2003
- -------------------------------------------------------------------------------------------------------------
Operations
Net investment income/(loss) $372,965 $(146,614)
Net realized gains/(losses) on:
Investments 13,990,559 (9,425,211)
Written option contracts -- --
Futures contracts -- --
-- 256,499
Change in net unrealized appreciation/
(depreciation) on:
Investments 15,758,984 23,530,316
Written option contracts -- --
Futures contracts -- --
Foreign currency forward contracts 32 --
Foreign currency transactions 24,368 (9,472)
Net Change in Net Assets Resulting
From Operations 29,845,373 14,205,518
Distributions to Shareholders
From net investment income (443,729) --
From net realized gains -- --
Total Distributions to Shareholders (443,729) --
Trust Share Transactions 166,050,634 (11,465,898)
Net Increase/(Decrease) in Net Assets 195,452,278 2,739,620
Net Assets, Beginning of Period 80,898,674 78,159,054
Net Assets, End of Period $276,350,952 $80,898,674
Large Cap Index Fund
-------------------------------------------------------
For the periods ended 10/31/2004 4/30/2004 4/30/2003
- -------------------------------------------------------------------------------------------------------------
Operations
Net investment income/(loss) $389,002 $503,434 $242,725
Net realized gains/(losses) on:
Investments 492,596 246,671 (1,705,994)
Futures contracts 19,391 286,596 (102,432)
Change in net unrealized appreciation/
(depreciation) on:
Investments 904,766 6,407,598 (3,345,226)
Futures contracts 54,931 (109,107) 83,795
Net Change in Net Assets Resulting
From Operations 1,860,686 7,335,192 (4,827,132)
Distributions to Shareholders
From net investment income (188,833) (450,406) (122,309)
From net realized gains -- -- --
Total Distributions to Shareholders (188,833) (450,406) (122,309)
Trust Share Transactions 17,156,772 19,470,000 3,367,131
Net Increase/(Decrease) in Net Assets 18,828,625 26,354,786 (1,582,310)
Net Assets, Beginning of Period 57,513,611 31,158,825 32,741,135
Net Assets, End of Period $76,342,236 $57,513,611 $31,158,825
The accompanying notes to the financial statements are an integral part of this statement.
Thrivent Mutual Funds
Statement of Changes in Net Assets - continued
Large Cap Growth Fund
--------------------------------
For the periods ended 10/31/2004 10/31/2003
- -------------------------------------------------------------------------------------------------------------
Operations
Net investment income/(loss) $160,019 $(169,009)
Net realized gains/(losses) on:
Investments 5,125,171 (6,424,915)
Written option contracts (1,234) 933
Futures contracts -- --
-- --
Change in net unrealized appreciation/
(depreciation) on:
Investments 915,659 13,220,489
Written option contracts (254) 36
Futures contracts -- --
Foreign currency forward contracts -- --
Foreign currency transactions -- --
Net Change in Net Assets Resulting
From Operations 6,199,361 6,627,534
Distributions to Shareholders
From net investment income (174,138) --
From net realized gains -- --
Total Distributions to Shareholders (174,138) --
Trust Share Transactions 62,352,317 1,087,807
Net Increase/(Decrease) in Net Assets 68,377,540 7,715,341
Net Assets, Beginning of Period 41,822,336 34,106,995
Net Assets, End of Period $110,199,876 $41,822,336
Large Cap Index Fund-I
------------------------------------------------------
For the periods ended 10/31/2004 4/30/2004 4/30/2003
- ------------------------------------------------------------------------------------------------------------
Operations
Net investment income/(loss) $176,641 $345,673 $896,812
Net realized gains/(losses) on:
Investments 245,771 (6,745,287) (4,052,317)
Futures contracts (29,293) 349,276 (54,060)
Change in net unrealized appreciation/
(depreciation) on:
Investments 358,709 12,547,918 (5,927,155)
Futures contracts 20,698 (158,007) 143,492
Net Change in Net Assets Resulting
From Operations 772,526 6,339,573 (8,993,228)
Distributions to Shareholders
From net investment income -- (515,759) (823,832)
From net realized gains -- -- --
Total Distributions to Shareholders -- (515,759) (823,832)
Trust Share Transactions (60,297) (39,171,034) 8,904,399
Net Increase/(Decrease) in Net Assets 712,229 (33,347,220) (912,661)
Net Assets, Beginning of Period 28,719,305 62,066,525 62,979,186
Net Assets, End of Period $29,431,534 $28,719,305 $62,066,525
The accompanying notes to the financial statements are an integral part of this statement.
Thrivent Mutual Funds
Statement of Changes in Net Assets - continued
Large Cap Value Fund
--------------------------------
For the periods ended 10/31/2004 10/31/2003
- -------------------------------------------------------------------------------------------------------------
Operations
Net investment income/(loss) $1,251,638 $224,631
Net realized gains/(losses) on:
Investments 9,791,413 (4,290,602)
Written option contracts -- --
Foreign currency transactions -- --
Change in net unrealized appreciation/
(depreciation) on:
Investments 34,221,215 10,033,816
Written option contracts -- --
Foreign currency forward contracts -- --
Foreign currency transactions -- --
Net Change in Net Assets Resulting
From Operations 45,264,266 5,967,845
Distributions to Shareholders
From net investment income (593,663) (161,409)
From net realized gains -- --
Total Distributions to Shareholders (593,663) (161,409)
Trust Share Transactions 243,757,165 832,979
Net Increase/(Decrease) in Net Assets 288,427,768 6,639,415
Net Assets, Beginning of Period 40,640,750 34,001,335
Net Assets, End of Period $329,068,518 $40,640,750
Balanced Fund
-------------------------------------------------------
For the periods ended 10/31/2004 4/30/2004 4/30/2003
- -------------------------------------------------------------------------------------------------------------
Operations
Net investment income/(loss) $3,188,375 $6,411,193 $6,074,943
Net realized gains/(losses) on:
Investments 15,642,140 8,335,406 (6,673,563)
Futures contracts -- -- --
Foreign currency transactions -- -- --
Change in net unrealized appreciation/
(depreciation) on:
Investments (9,983,878) 24,974,274 (16,067,320)
Futures contracts -- -- --
Net Change in Net Assets Resulting
From Operations 8,846,637 39,720,873 (16,665,940)
Distributions to Shareholders
From net investment income (3,487,872) (7,235,059) (6,481,897)
From net realized gains -- -- --
Total Distributions to Shareholders (3,487,872) (7,235,059) (6,481,897)
Trust Share Transactions (8,558,260) (12,720,369) 79,470,705
Net Increase/(Decrease) in Net Assets (3,199,495) 19,765,445 56,322,868
Net Assets, Beginning of Period 407,743,752 387,978,307 331,655,439
Net Assets, End of Period $404,544,257 $407,743,752 $387,978,307
The accompanying notes to the financial statements are an integral part of this statement.
Thrivent Mutual Funds
Statement of Changes in Net Assets - continued
Large Cap Stock Fund
------------------------------------------------------
For the periods ended 10/31/2004 4/30/2004 4/30/2003
- ------------------------------------------------------------------------------------------------------------
Operations
Net investment income/(loss) $6,573,127 $10,386,310 $10,279,075
Net realized gains/(losses) on:
Investments 286,553,358 219,961,752 41,379,945
Written option contracts -- -- --
Foreign currency transactions -- -- --
Change in net unrealized appreciation/
(depreciation) on:
Investments (236,804,674) 180,157,821 (592,144,065)
Written option contracts -- -- --
Foreign currency forward contracts -- -- --
Foreign currency transactions -- -- --
Net Change in Net Assets Resulting
From Operations 56,321,811 410,505,883 (540,485,045)
Distributions to Shareholders
From net investment income (3,389,488) (10,819,813) (8,525,456)
From net realized gains (542,690,797) -- --
Total Distributions to Shareholders (546,080,285) (10,819,813) (8,525,456)
Trust Share Transactions 1,192,614,013 (179,757,383) (281,236,979)
Net Increase/(Decrease) in Net Assets 702,855,539 219,928,687 (830,247,480)
Net Assets, Beginning of Period 2,967,499,767 2,747,571,080 3,577,818,560
Net Assets, End of Period $3,670,355,306 $2,967,499,767 $2,747,571,080
High Yield Fund
--------------------------------
For the periods ended 10/31/2004 10/31/2003
- -------------------------------------------------------------------------------------------------------------
Operations
Net investment income/(loss) $49,088,055 $50,445,769
Net realized gains/(losses) on:
Investments (11,835,388) (102,420,517)
Futures contracts -- 72,758
Foreign currency transactions 191 922
Change in net unrealized appreciation/
(depreciation) on:
Investments 31,248,076 203,385,553
Futures contracts -- 5,302
Net Change in Net Assets Resulting
From Operations 68,500,934 151,489,787
Distributions to Shareholders
From net investment income (48,131,067) (47,376,867)
From net realized gains --
Total Distributions to Shareholders (48,131,067) (47,376,867)
Trust Share Transactions (989,129) (11,828,036)
Net Increase/(Decrease) in Net Assets 19,380,738 92,284,884
Net Assets, Beginning of Period 626,858,284 534,573,400
Net Assets, End of Period $646,239,022 $626,858,284
The accompanying notes to the financial statements are an integral part of this statement.
Thrivent Mutual Funds
Statement of Changes in Net Assets - continued
Partner High Yield Fund
-------------------------------------------------------
For the periods ended 10/31/2004 4/30/2004 4/30/2003
- -------------------------------------------------------------------------------------------------------------
Operations
Net investment income/(loss) $4,942,828 $9,535,903 $10,223,909
Net realized gains/(losses) on:
Investments (149,174) 6,892,386 (4,722,489)
Written option contracts -- -- --
Foreign currency transactions -- -- --
Change in net unrealized appreciation/
(depreciation) on:
Investments 4,209,626 (1,159,062) 5,907,656
Written option contracts -- -- --
Foreign currency forward contracts -- -- --
Foreign currency transactions -- -- --
Net Change in Net Assets Resulting
From Operations 9,003,280 15,269,227 11,409,076
Distributions to Shareholders
From net investment income (5,153,432) (9,847,328) (10,350,092)
From net realized gains -- -- --
Total Distributions to Shareholders (5,153,432) (9,847,328) (10,350,092)
Trust Share Transactions 163,613 13,020,493 (4,034,434)
Net Increase/(Decrease) in Net Assets 4,013,461 18,442,392 (2,975,450)
Net Assets, Beginning of Period 145,033,282 126,590,890 129,566,340
Net Assets, End of Period $149,046,743 $145,033,282 $126,590,890
Bond Index Fund-I
------------------------------------------------------
For the periods ended 10/31/2004 4/30/2004 4/30/2003
- ------------------------------------------------------------------------------------------------------------
Operations
Net investment income/(loss) $630,308 $1,798,365 $3,647,249
Net realized gains/(losses) on:
Investments (50,717) 2,235,197 901,692
Futures contracts -- -- --
Foreign currency transactions -- -- --
Change in net unrealized appreciation/
(depreciation) on:
Investments 345,924 (2,921,884) 3,066,160
Futures contracts -- -- --
Net Change in Net Assets Resulting
From Operations 925,515 1,111,678 7,615,101
Distributions to Shareholders
From net investment income (734,285) (2,237,415) (4,228,371)
From net realized gains (35,615) (1,904,220) --
Total Distributions to Shareholders (769,900) (4,141,635) (4,228,371)
Trust Share Transactions (13,323,305) (37,331,578) 18,718,618
Net Increase/(Decrease) in Net Assets (13,167,690) (40,361,535) 22,105,348
Net Assets, Beginning of Period 40,656,863 81,018,398 58,913,050
Net Assets, End of Period $27,489,173 $40,656,863 $81,018,398
The accompanying notes to the financial statements are an integral part of this statement.
Thrivent Mutual Funds
Statement of Changes in Net Assets - continued
Municipal Bond Fund
--------------------------------
For the periods ended 10/31/2004 10/31/2003
- --------------------------------------------------------------------------------------
Operations
Net investment income/(loss) $38,240,406 $31,294,632
Net realized gains/(losses) on:
Investments 2,623,814 1,604,171
Written option contracts -- --
Futures contracts (1,917,486) --
Change in net unrealized appreciation/
(depreciation) on:
Investments 54,200,778 (4,510,987)
Written option contracts -- --
Futures contracts (602,136) --
Net Change in Net Assets Resulting
From Operations 92,545,376 28,387,816
Distributions to Shareholders
From net investment income (38,169,175) (32,953,359)
From net realized gains (3,391,003) (511,275)
Total Distributions to Shareholders (41,560,178) (33,464,634)
Trust Share Transactions 583,808,626 2,674,638
Net Increase/(Decrease) in Net Assets 634,793,824 (2,402,180)
Net Assets, Beginning of Period 668,482,228 670,884,408
Net Assets, End of Period $1,303,276,052 $668,482,228
Limited Maturity Bond Fund
-------------------------------
For the periods ended 10/31/2004 10/31/2003
- -------------------------------------------------------------------------------------------------------------
Operations
Net investment income/(loss) $3,350,998 $2,922,763
Net realized gains/(losses) on:
Investments 637,481 1,680,481
Written option contracts (8,955)
Futures contracts (396,237)
Change in net unrealized appreciation/
(depreciation) on:
Investments (602,983) 684,593
Total Change in Net Assets Resulting
From Operations 2,980,304 5,287,837
Distributions to Shareholders
From net investment income (3,321,608) (2,923,760)
From net realized gains (1,091,859) --
Total Distributions to Shareholders (4,413,467) (2,923,760)
Trust Share Transactions 21,455,995 15,246,004
Net Increase/(Decrease) in Net Assets 20,022,832 17,610,081
Net Assets, Beginning of Period 111,314,728 93,704,647
Net Assets, End of Period $131,337,560 $111,314,728
The accompanying notes to the financial statements are an integral part of this statement.
Thrivent Mutual Funds
Statement of Changes in Net Assets - continued
Income Fund
--------------------------------
For the periods ended 10/31/2004 10/31/2003
- -------------------------------------------------------------------------------------------------------------
Operations
Net investment income/(loss) $25,898,825 $26,730,700
Net realized gains/(losses) on:
Investments 12,124,623 19,529,503
Written option contracts 21,701 166,802
Futures contracts (3,338,468) (1,778,676)
Change in net unrealized appreciation/
(depreciation) on:
Investments (670,321) 15,710,668
Written option contracts -- (7,525)
Futures contracts 941,051 (187,411)
Net Change in Net Assets Resulting
From Operations 34,977,411 60,164,061
Distributions to Shareholders
From net investment income (25,789,927) (28,277,948)
From net realized gains --
Total Distributions to Shareholders (25,789,927) (28,277,948)
Trust Share Transactions (43,759,117) (68,893,527)
Net Increase/(Decrease) in Net Assets (34,571,633) (37,007,414)
Net Assets, Beginning of Period 664,183,575 701,190,989
Net Assets, End of Period $629,611,942 $664,183,575
Money Market Fund
-------------------------------------------------------
For the periods ended 10/31/2004 4/30/2004 4/30/2003
- -------------------------------------------------------------------------------------------------------------
Operations
Net investment income/(loss) $2,376,657 $1,596,921 $4,644,725
Net realized gains/(losses) on:
Investments -- -- --
Written option contracts -- -- --
Futures contracts -- -- --
Change in net unrealized appreciation/
(depreciation) on:
Investments -- -- --
Total Change in Net Assets Resulting
From Operations 2,376,657 1,596,921 4,644,725
Distributions to Shareholders
From net investment income (2,327,425) (1,596,919) (4,644,725)
From net realized gains -- -- --
Total Distributions to Shareholders (2,327,425) (1,596,919) (4,644,725)
Trust Share Transactions 556,713,345 (65,252,943) (76,467,270)
Net Increase/(Decrease) in Net Assets 556,762,577 (65,252,941) (76,467,270)
Net Assets, Beginning of Period 378,610,202 443,863,143 520,330,413
Net Assets, End of Period $935,372,779 $378,610,202 $443,863,143
The accompanying notes to the financial statements are an integral part of this statement.
Thrivent Mutual Funds
Statement of Changes in Net Assets - continued
Core Bond Fund
-------------------------------------------------------
For the periods ended 10/31/2004 4/30/2004 4/30/2003
- -------------------------------------------------------------------------------------------------------------
Operations
Net investment income/(loss) $9,725,493 $20,621,761 $22,779,780
Net realized gains/(losses) on:
Investments (356,071) 10,761,715 11,395,757
Written option contracts -- -- --
Futures contracts -- -- --
Change in net unrealized appreciation/
(depreciation) on:
Investments 7,999,604 (16,685,506) 16,823,088
Written option contracts -- -- --
Futures contracts -- -- --
Net Change in Net Assets Resulting
From Operations 17,369,026 14,697,970 50,998,625
Distributions to Shareholders
From net investment income (10,815,460) (23,322,039) (24,313,592)
From net realized gains (493,832) -- --
Total Distributions to Shareholders (11,309,292) (23,322,039) (24,313,592)
Trust Share Transactions (7,810,442) (51,820,503) 59,992,234
Net Increase/(Decrease) in Net Assets (1,750,708) (60,444,572) 86,677,267
Net Assets, Beginning of Period 508,469,693 568,914,265 482,236,998
Net Assets, End of Period $506,718,985 $508,469,693 $568,914,265
The accompanying notes to the financial statements are an integral part of this statement.
Thrivent Mutual Funds
Notes to Financial Statements
October 31, 2004
(1) ORGANIZATION
Thrivent Mutual Funds (the "Trust") was organized as a Massachusetts
Business Trust on March 10, 1987, and is registered as an open-end
diversified management investment company under the Investment Company Act
of 1940. The Trust is divided into twenty-four separate series (the
"Fund(s)"), each with its own investment objective and policies. The Trust
currently consists of fifteen equity funds, eight fixed-income funds and
one money market fund. The Trust commenced operations on July 16, 1987.
The U.S. Government Zero Coupon Target Fund, Series 2006 of the Trust is
presented under a separate annual report.
Prior to July 17, 2004,the Trust operated as The AAL Mutual Funds (AAL
MF). Pursuant to a Reorganization Agreement and Plan of Reorganization
("Reorganization Agreement") between The Lutheran Brotherhood Family of
Funds (LB FOF) and AAL MF, several Funds of LB FOF merged with and into
Funds of AAL MF at the close of business on July 16, 2004. Pursuant to a
separate Reorganization Agreement between AAL MF and LB FOF, each of the
other Funds of LB FOF merged with and into corresponding newly-created
series of AAL MF at the close of business on July 16, 2004. Effective
October 31, 2004, the Trust changed its fiscal year end from April 30 to
October 31. Below is a table showing the new Thrivent Fund and the legacy
fund.
Thrivent Technology Fund*
Thrivent Partner Small Cap Value Fund*
Thrivent Small Cap Stock Fund*
Thrivent Small Cap Index Fund*
Thrivent Mid Cap Growth Fund
Thrivent Mid Cap Stock Fund*
Thrivent Mid Cap Index Fund-I*
Thrivent Mid Cap Index Fund*
Thrivent Partner International Stock Fund
Thrivent Large Cap Growth Fund
Thrivent Large Cap Value Fund
Thrivent Large Cap Stock Fund*
Thrivent Large Cap Index Fund-I*
Thrivent Large Cap Index Fund*
Thrivent Balanced Fund*
Thrivent High Yield Fund
Thrivent Partner High Yield Fund*
Thrivent Municipal Bond Fund
Thrivent Income Fund
Thrivent Core Bond Fund*
Thrivent Bond Index Fund-I*
Thrivent Limited Maturity Bond Fund
Thrivent Money Market Fund*
The AAL Technology Stock Fund
The AAL Small Cap Value Fund
The AAL Small Cap Stock Fund
The AAL Small Cap Index Fund II
Lutheran Brotherhood Mid Cap Growth Fund1
The AAL Mid Cap Stock Fund
The AAL Mid Cap Index Fund
The AAL Mid Cap Index Fund II
The AAL International Fund2
The AAL Aggressive Growth Fund3
The AAL Equity Income Fund4
The AAL Capital Growth Fund5
The AAL Large Company Index Fund
The AAL Large Company Index Fund II
The AAL Balanced Fund
Lutheran Brotherhood High Yield Fund
The AAL High Yield Bond Fund
The AAL Municipal Bond Fund6
Lutheran Brotherhood Income Fund
The AAL Bond Fund
The AAL Bond Index Fund
Lutheran Brotherhood Limited Maturity Bond Fund
The AAL Money Market Fund7
1 Merged with Lutheran Brotherhood Opportunity Growth Fund
2 Merged with Lutheran Brotherhood World Growth Fund
3 Merged with Lutheran Brotherhood Growth Fund
4 Merged with Lutheran Brotherhood Value Fund
5 Merged with Lutheran Brotherhood Fund
6 Merged with Lutheran Brotherhood Municipal Bond Fund
7 Merged with Lutheran Brotherhood Money Market Fund
* Statements of Operations and Statements of Changes in Net Assets
represent the six month period ended October 31, 2004. All other Funds
represent year ended October 31, 2004.
The following Funds acquired through tax free exchanges all of the net
assets and net unrealized appreciation or depreciation of the acquired
Fund:
Unrealized
Outstanding Shares Appreciation/
Shares of Net Assets of Issued by (Depreciation) of
Acquiring Fund Acquired Fund Acquired Fund Acquired Fund Acquiring Fund Acquired Fund
- ---------------------------------------------------------------------------------------------------------------------------------
Mid Cap LB Opportunity
Growth Fund* Growth Fund 15,916,199 $140,117,176 11,545,001 $2,295,095
Partner International
Stock Fund Fund LB World Growth Fund* 9,576,975 86,295,366 9,811,582 2,683,665
Large Cap Growth Fund LB Growth Fund* 4,928,868 53,282,955 12,348,341 (893,310)
Large Cap Value Fund LB Value Fund* 3,752,553 50,104,348 3,968,919 4,555,512
Large Cap Stock Fund* LB Fund 44,071,679 814,761,994 35,283,353 (1,853,975)
Municipal Bond Fund LB Municipal Bond Fund* 72,413,184 646,617,936 57,069,575 54,408,935
Money Market Fund* LB Money Market Fund 457,969,043 457,969,041 457,969,043 n/a
*Denotes Accounting Survivor
The Trust offers three classes of shares: Class A, Class B and
Institutional Class. The three classes of shares differ principally in
their respective distribution expenses and arrangements. Class A shares
have a 0.25% annual 12b-1 fee (0.125% for the Money Market Fund) and a
maximum front-end sales load of 5.50% for equity funds and 4.50% for
fixed-income funds, excluding the Limited Maturity Bond Fund and the Money
Market Fund. Class B shares are offered at net asset value and a 1.00%
annual 12b-1 fee (0.25% for the Limited Maturity Bond Fund and 0.875% for
the Money Market Fund). In addition, Class B shares have a maximum
contingent deferred sales charge of 5.00%. The contingent deferred sales
charge declines by 1.00% per year through the fifth year. Class B shares
convert to Class A shares at the end of the fifth year. Institutional
Class shares are offered at net asset value and have no annual 12b-1 fees.
All three classes of shares have identical rights to earnings, assets and
voting privileges, except for class specific expenses and exclusive rights
to vote on matters affecting only individual classes.
The following Funds offer all three classes of shares: Technology Fund,
Partner Small Cap Value Fund, Small Cap Stock Fund, Mid Cap Growth Fund,
Mid Cap Stock Fund, Partner International Stock Fund, Large Cap Growth
Fund, Large Cap Value Fund, Large Cap Stock Fund, Balanced Fund, High
Yield Fund, Partner High Yield Fund, Municipal Bond Fund, Income Fund,
Core Bond Fund, Limited Maturity Bond Fund and Money Market Fund. Small
Cap Index Fund, Mid Cap Index Fund and Large Cap Index Fund offer Class A
shares only. Mid Cap Index Fund-I, Large Cap Index Fund-I and Bond Index
Fund-I offer only Institutional Class shares.
Effective May 11, 2004, the Class B shares of Small Cap Index Fund, Mid
Cap Index Fund and Large Cap Index Fund were converted into each Fund's
respective Class A shares, prior to the expiration of the five-year
holding period. Effective October 16, 2004, the Trust no longer offers
Class B shares for sale.
Under the Trust's organizational documents, its officers and trustees are
indemnified against certain liabilities arising out of the performance of
their duties to the Trust. In addition, in the normal course of business,
the Trust enters into contracts with vendors and others that provide
general damage clauses. The Trust's maximum exposure under these contracts
is unknown, as this would involve future claims that may be made against
the Trust. However, based on experience, the Trust expects the risk of
loss to be remote.
(2) SIGNIFICANT ACCOUNTING POLICIES
(A) Valuation of Investments -- Securities traded on U.S. or foreign
securities exchanges or included in a national market system are valued at
the official closing price at the close of each business day.
Over-the-counter securities and listed securities for which no price is
readily available are valued at the current bid price considered best to
represent the value at that time. Security prices are based on quotes that
are obtained from an independent pricing service approved by the Board of
Trustees. The pricing service, in determining values of fixed-income
securities, takes into consideration such factors as current quotations by
broker/dealers, coupon, maturity, quality, type of issue, trading
characteristics, and other yield and risk factors it deems relevant in
determining valuations. Securities which cannot be valued
by the approved pricing service are valued using valuations obtained from
dealers that make markets in the securities. Exchange listed options and
futures contracts are valued at the last quoted sales price.
For all Funds other than the Money Market Fund, short-term securities with
maturities of 60 days or less are valued at amortized cost. Securities
held by the Money Market Fund are valued on the basis of amortized cost
(which approximates market value), whereby a portfolio security is valued
at its cost initially, and thereafter valued to reflect a constant
amortization to maturity of any discount or premium. The Money Market Fund
follows procedures necessary to maintain a constant net asset value of
$1.00 per share.
All other securities for which market values are not readily available are
appraised at fair value as determined in good faith under the direction of
the Board of Trustees. As of October 31, 2004, four securities in the High
Yield Fund, four securities in the Partner High Yield Fund, one security
in the Mid Cap Stock Fund and one security in the Small Cap Index Fund
were valued at fair value, which represents 0.00%, 0.68%, 0.00% and 0.00%,
respectively, of each Fund's net assets.
Fair valuation of international securities -- Because many foreign markets
close before the U.S. markets, events may occur between the close of the
foreign market and the close of the U.S. markets that could have a
material impact on the valuation of foreign securities. The Fund, under
the supervision of the Board of Trustees, evaluates the impacts of these
events and may adjust the valuation of foreign securities to reflect the
fair value as of the close of the U.S. markets. The Board of Trustees has
authorized the investment adviser to make fair valuation determinations
pursuant to policies approved by the Board of Trustees.
(B) Foreign Currency Translation -- The accounting records of each Fund
are maintained in U.S. dollars. Securities and other assets and
liabilities that are denominated in foreign currencies are translated into
U.S. dollars at the daily closing rates of exchange.
Foreign currency amounts related to the purchase or sale of securities and
income and expenses are translated at the exchange rate on the transaction
date. Net realized and unrealized currency gains and losses are recorded
from sales of foreign currency, exchange gains or losses between the trade
date and settlement dates on securities transactions, and other
translation gains or losses on dividends, interest income and foreign
withholding taxes. The Funds do not separately report the effect of
changes in foreign exchange rates from changes in market prices on
securities held. Such changes are included in net realized and unrealized
gain or loss from investments.
For federal income tax purposes, the Trust treats the effect of changes in
foreign exchange rates arising from actual foreign currency transactions
and the changes in foreign exchange rates between the trade date and
settlement date as ordinary income.
(C) Foreign Currency Contracts -- In connection with purchases and sales
of securities denominated in foreign currencies, all Funds except the
Money Market Fund may enter into forward currency contracts. Additionally,
the Funds may enter into such contracts to hedge certain other foreign
currency denominated investments. These contracts are recorded at market
value and the related realized and unrealized foreign exchange gains and
losses are included in the Statement of Operations. In the event that
counterparties fail to settle these forward contracts, the Funds could be
exposed to foreign currency fluctuations. Foreign currency contracts are
valued daily and unrealized appreciation or depreciation is recorded daily
as the difference between the contract exchange rate and the closing
forward rate applied to the face amount of the contract. A realized gain
or loss is recorded at the time a forward contract is closed. During the
period ended October 31, 2004, the Partner International Stock Fund
engaged in this type of investment.
(D) Foreign Denominated Investments -- Foreign denominated assets and
currency contracts may involve more risks than domestic transactions,
including currency risk, political and economic risk, regulatory risk, and
market risk. Certain Funds may also invest in securities of companies
located in emerging markets. Future economic or political developments
could adversely affect the liquidity or value, or both, of such
securities.
(E) Federal Income Taxes -- No provision has been made for income taxes
because the Funds' policy is to qualify as regulated investment companies
under the Internal Revenue Code and distribute substantially all taxable
income on a timely basis. It is also the intention of the Funds to
distribute an amount sufficient to avoid imposition of any federal excise
tax. The Funds, accordingly, anticipate paying no federal taxes and no
federal tax provision was required. Each Fund is treated as a separate
taxable entity for federal income tax purposes. Certain Funds may utilize
earnings and profits distributed to shareholders on the redemption of
shares as part of the dividend paid deduction.
(F) Income and Expenses -- Estimated expenses are accrued daily. The Funds
are charged for those expenses that are directly attributable to them.
Expenses that are not directly attributable to a Fund are allocated among
all appropriate Funds in proportion to their respective net assets, number
of shareholder accounts or other reasonable basis. Net investment income,
expenses which are not class-specific and realized and unrealized gains
and losses are allocated directly to each class based upon the relative
net asset value of outstanding shares, or the value of dividend eligible
shares, as appropriate for each class of shares.
Interest income is accrued daily and is determined on the basis of
interest or discount earned on all debt securities, including accretion of
market discount and original issue discount and amortization of premium.
Dividend income is recorded on the ex-dividend date. For preferred stock
payment-in-kind securities, income is recorded on the ex-dividend date
in the amount of the value received.
(G) Fees Paid Indirectly -- The Funds have a deposit arrangement with the
custodian whereby interest earned on uninvested cash balances is used to
pay a portion of custodian fees. This deposit arrangement is an
alternative to overnight investments.
(H) Distributions to Shareholders -- Dividend and capital gain
distributions are recorded on the ex-dividend date. With the exception of
the Money Market Fund, net realized gains from securities transactions, if
any, are paid at least annually after the close of the fiscal year. Funds
involved in mergers may have distributed dividends and capital gains
immediately preceding the merger.
Dividends from the High Yield, Partner High Yield Fund, Municipal Bond
Fund, Income Fund, Core Bond Fund, Bond Index Fund-I, Limited Maturity
Bond Fund and Money Market Fund are declared daily and paid monthly.
Dividends from the Money Market Fund also include any short-term net
realized gains or losses on the sale of securities. Dividends from the
Balanced Fund are declared and paid quarterly. Dividends from the
following funds are declared and paid annually: Technology Fund, Partner
Small Cap Value Fund, Small Cap Stock Fund, Small Cap Index Fund, Mid Cap
Growth Fund, Mid Cap Stock Fund, Mid Cap Index Fund, Mid Cap Index Fund-I,
Partner International Stock Fund, Large Cap Growth Fund, Large Cap Value
Fund, Large Cap Stock Fund, Large Cap Index Fund and Large Cap Index
Fund-I.
(I) Options -- All Funds except the Money Market Fund may buy put and call
options and write covered call options. The Funds intend to use such
derivative instruments as hedges to facilitate buying or selling
securities or to provide protection against adverse movements in security
prices or interest rates. The Funds may also enter into options contracts
to protect against adverse foreign exchange rate fluctuations.
Option contracts are valued daily and unrealized appreciation or
depreciation is recorded. A Fund will realize a gain or loss upon
expiration or closing of the option transaction. When an option is
exercised, the proceeds upon sale for a written call option or the cost of
a security for purchased put and call options is adjusted by the amount of
premium received or paid. During the year ended October 31, 2004, the
Large Cap Growth and Income Funds engaged in this type of investment.
(J) Financial Futures Contracts -- Certain Funds may use futures contracts
to manage the exposure to interest rate and market fluctuations. Gains or
losses on futures contracts can offset changes in the yield of securities.
When a futures contract is opened, cash or other investments equal to the
required "initial margin deposit" are pledged to the broker. Additional
securities held by the Funds may be earmarked as collateral for open
futures contracts. The futures contract's daily change in value
("variation margin") is either paid to or received from the broker, and is
recorded as an unrealized gain or loss. When the contract is closed, the
realized gain or loss is recorded equal to the difference between the
value of the contract when opened and the value of the contract when
closed. During the period or year ended October 31, 2004, the Small Cap
Index Fund, Mid Cap Index Fund, Mid Cap Index Fund-I, Large Cap Index
Fund, Large Cap Index Fund-I, Municipal Bond Fund, Income Fund and Limited
Maturity Bond Fund engaged in this type of investment.
(K) Mortgage Dollar Roll Transactions -- Certain of the Funds enter into
dollar roll transactions issued by GNMA, FNMA and FHLMC, in which the
Funds sell mortgage securities and simultaneously agree to repurchase
similar (same type, coupon and maturity) securities at a later date at an
agreed upon price. During the period between the sale and repurchase, the
Funds forgo principal and interest paid on the mortgage securities sold.
The Funds are compensated by the interest earned on the cash proceeds of
the initial sale and from negotiated fees paid by brokers offered as an
inducement to the Funds to "roll over" their purchase commitments. The
Balanced Fund, Income Fund, Core Bond Fund, Bond Index Fund-I and
Limited Maturity Bond Fund earned $604,609, $1,794,795, $2,212,188,
$151,081 and $403,164, respectively, from such fees for the year or
period ended October 31, 2004.
(L) Securities Lending -- Effective October 31, 2003, Thrivent Mutual
Funds entered into a Securities Lending Agreement (the "Agreement") with
State Street Bank and Trust Company ("State Street Bank"). The Agreement
authorizes State Street Bank to lend securities to authorized borrowers on
behalf of the Funds. Pursuant to the Agreement, all loaned securities are
collateralized by cash, U.S. Government securities, letters of credit and
other types of collateral that are equal to at least 102% of the value of
the loaned securities, plus any accrued interest. All cash collateral
received is invested in the Thrivent Financial Securities Lending Trust.
As of October 31, 2004, all Funds except the Municipal Bond Fund and the
Money Market Fund had securities on loan. The value of securities on loan
is as follows:
Securities
Portfolio on Loan
- --------------------------------------------------------
Technology Fund $3,142,656
Partner Small Cap Value Fund 11,054,799
Small Cap Stock Fund 65,980,709
Small Cap Index Fund 7,053,501
Mid Cap Growth Fund 32,500,524
Mid Cap Stock Fund 137,498,953
Mid Cap Index Fund 5,857,635
Mid Cap Index Fund-I 1,274,147
Partner International Stock Fund 22,182,995
Large Cap Growth Fund 1,605,160
Large Cap Value Fund 5,694,143
Large Cap Stock Fund 37,925,061
Large Cap Index Fund 796,442
Large Cap Index Fund-I 313,404
Balanced Fund 34,122,701
High Yield Fund 93,583,661
Partner High Yield Fund 23,491,337
Income Fund 111,369,820
Core Bond Fund 47,536,233
Bond Index Fund-I 6,757,980
Limited Maturity Bond Fund 17,522,158
(M) The Impact of Initial Public Offerings on Performance -- Each Fund may
invest in an initial public offering ("IPO") of a security. On occasion
the Fund will participate in an oversubscribed IPO. Because the IPO is
oversubscribed, this presents the Fund with the opportunity to "flip" or
trade the security at higher prices resulting in a profit for the Fund.
Investments in IPO's may have a magnified performance impact on a Fund
with a small asset base. A Fund with enhanced performance from "flipping"
IPO's may not experience similar performance as its assets grow. However,
participation in an IPO may result in a loss for the Fund.
(N) When-Issued and Delayed Delivery Transactions -- The Funds may engage
in when-issued or delayed delivery transactions. To the extent that a Fund
engages in such transactions, it will do so for the purpose of acquiring
securities consistent with its investment objectives and policies and not
for the purpose of investment leverage or to speculate on interest rate
changes. To ensure there is no investment leverage, assets of the Fund are
earmarked on the trade date on the Fund's records in a dollar amount
sufficient to make payment for the securities to be purchased. Income is
not accrued until settlement date.
(O) Credit Risk -- The Funds may be susceptible to credit risk to the
extent an issuer defaults on its payment obligation. The Funds' policy is
to monitor the creditworthiness of issuers. Interest receivables on
defaulted securities are monitored for ability to collect payments in
default and are adjusted accordingly.
(P) Accounting Estimates -- The preparation of financial statements in
conformity with accounting principles generally accepted in the United
States of America require 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 income and expenses during the
reporting period. Actual results could differ from those estimates.
(Q) Other -- For financial statement purposes, investment security
transactions are accounted for on the trade date. Realized gains and
losses from investment transactions are determined on a specific cost
identification basis, which is the same basis used for federal income tax
purposes.
(3) FEES AND COMPENSATION PAID TO AFFILIATES
(A) Investment Advisory Fees -- The Trust has entered into an Investment
Advisory Agreement with Thrivent Investment Management Inc. (Thrivent
Investment Mgt.), ("the Adviser"). Thrivent Investment Mgt. is a wholly
owned subsidiary of Thrivent Financial for Lutherans (Thrivent Financial).
Under the Advisory Agreement, each of the Funds pays a fee for investment
advisory services. The fees are accrued daily and paid monthly. The annual
rates of fees as a percent of average daily net assets under the
investment advisory agreement were as follows:
(M - Millions) $0 to $50 to $100 to $200 to $250 to $500 to $1,000 to Over
Fund $50M $100M $200M $250M $500M $1,000M $5,000M $5,000M
- --------------------------------------------------------------------------------------------------------------------------
Technology 0.75% 0.75% 0.75% 0.75% 0.75% 0.75% 0.75% 0.75%
Partner Small Cap Value 0.70% 0.70% 0.70% 0.70% 0.70% 0.70% 0.70% 0.70%
Small Cap Stock 0.70% 0.70% 0.70% 0.65% 0.65% 0.65% 0.65% 0.65%
Small Cap Index 0.25% 0.25% 0.25% 0.25% 0.25% 0.25% 0.25% 0.25%
Mid Cap Growth 0.45% 0.45% 0.40% 0.40% 0.35% 0.30% 0.25% 0.25%
Mid Cap Stock 0.70% 0.70% 0.70% 0.65% 0.65% 0.65% 0.60% 0.60%
Mid Cap Index 0.25% 0.25% 0.25% 0.25% 0.25% 0.25% 0.25% 0.25%
Mid Cap Index-I 0.25% 0.20% 0.20% 0.20% 0.20% 0.20% 0.20% 0.20%
Partner International Stock 0.65% 0.60% 0.60% 0.60% 0.60% 0.60% 0.60% 0.60%
Large Cap Growth 0.80% 0.80% 0.75% 0.75% 0.75% 0.70% 0.70% 0.70%
Large Cap Value 0.45% 0.45% 0.45% 0.45% 0.45% 0.45% 0.45% 0.45%
Large Cap Stock 0.65% 0.65% 0.65% 0.65% 0.65% 0.575% 0.50% 0.45%
Large Cap Index 0.25% 0.25% 0.25% 0.25% 0.25% 0.25% 0.25% 0.25%
Large Cap Index-I 0.25% 0.175% 0.175% 0.175% 0.175% 0.175% 0.175% 0.175%
Balanced 0.55% 0.55% 0.55% 0.55% 0.55% 0.55% 0.55% 0.55%
High Yield 0.40% 0.40% 0.40% 0.40% 0.40% 0.35% 0.30% 0.30%
Partner High Yield 0.55% 0.55% 0.55% 0.55% 0.55% 0.55% 0.55% 0.55%
Municipal Bond 0.45% 0.45% 0.45% 0.45% 0.45% 0.45% 0.45% 0.45%
Income 0.35% 0.35% 0.35% 0.35% 0.35% 0.325% 0.30% 0.30%
Core Bond 0.45% 0.45% 0.45% 0.45% 0.45% 0.45% 0.45% 0.45%
Bond Index-I 0.25% 0.175% 0.175% 0.175% 0.175% 0.175% 0.175% 0.175%
Limited Maturity Bond 0.30% 0.30% 0.30% 0.30% 0.30% 0.275% 0.25% 0.25%
Money Market 0.50% 0.50% 0.50% 0.50% 0.50% 0.45% 0.45% 0.45%
Effective June 1, 2004, the Adviser entered into a subadvisory agreement
with T. Rowe Price Associates, Inc. for performance of subadvisory
services for the Partner Small Cap Value Fund. The subadvisory fee, which
is paid by the Adviser from its advisory fee, is 0.60% of average daily
net assets.
The Adviser paid Oechsle International Advisors, LLC an annual subadvisory
fee for performance of subadvisory services for the Partner International
Stock Fund until the termination of the subadvisory agreement on May 1,
2004. The subadvisory fee, which is paid by the Adviser from its advisory
fee, was equal to an annual fee of 0.40% on the first $50 million of
average daily net assets and 0.35% of average daily net assets over $50
million.
Effective May 1, 2004, the adviser entered into a subadvisory agreement
with Mercator Asset Management, LP ("Mercator") and T. Rowe Price
International, Inc. ("Price International") for the performance of
subadvisory services for the Partner International Stock Fund. The fee
payable is equal to 0.47% of average daily net assets subadvised by
Mercator. For assets subadvised by Price International, the fee payable is
equal to 0.75% of the first $20 million, 0.60% of the next $30 million,
and 0.50% of the next $150 million of average daily net assets, with the
fee for all of the assets subadvised by Price International 0.50% and
0.45% when assets exceed $200 million and $500 million, respectively.
The Adviser paid Pacific Investment Management Company, LLC (PIMCO) an
annual subadvisory fee for performance of subadvisory services for the
High Yield Fund. The subadvisory fee, which was paid by the Adviser from
its advisory fee, was 0.25% of average daily net assets. Effective June 1,
2004, the subadvisory agreement was terminated.
From November 1, 2003, through July 16, 2004, the following voluntary
expense reimbursements were in effect: the LB Growth and LB Value Funds,
1.25% and 0.80% of the average daily net assets of each class of shares,
respectively; the LB Limited Maturity Bond Fund, 0.20% of the average
daily net assets of Class A shares; and the LB Money Market Fund, 0.10% of
the average daily net assets of class A and class B shares. From January
1, 2004, through July 16, 2004, the following additional voluntary expense
reimbursements were in effect: LB Growth Fund, 0.35% and 0.25% of the
average daily net assets of class A and class B shares, respectively; LB
Value Fund, 0.20% and 0.15% of the average daily net assets of class A and
class B shares, respectively.
Effective January 1, 2004, the following voluntary expense reimbursements
were in effect: the Technology Fund, 0.50% and 1.00% of the average daily
net assets of Class A and Class B shares, respectively; the Small Cap
Index Fund, 0.20% of the average daily net assets of Class B shares; the
Small Cap Value Fund, 0.50% of the average daily net assets of Class A,
Class B and Institutional Class shares; the Mid Cap Index Fund 0.50% of
the average daily net assets of Class B shares; the Large Cap Index Fund,
0.75% of the average daily net assets of Class A and Class B shares; and
the Money Market Fund, 0.10% and 0.40% of the average daily net assets of
Class A and Class B shares, respectively. Also effective on January 1,
2004, the Small Cap Index Fund and the Mid Cap Index Fund Class A share
expenses were voluntarily reimbursed to limit expenses to 0.95% and 0.90%,
respectively, of average daily net assets. Effective February 1, 2004,
Class B share expenses were voluntarily reimbursed to limit expenses to
2.75% of average daily net assets for the Technology Fund, Partner Small
Cap Value Fund, Small Cap Index Fund, Mid Cap Stock Fund, Partner
International Stock Fund and Large Cap Growth Fund. These voluntary
expense reimbursements may be discontinued at any time.
Effective July 17, 2004, the following contractual expense reimbursements
went into effect: the Technology Fund, 0.50% and 1.00% of the average
daily net assets of Class A and Class B shares, respectively; the Small
Cap Value Fund, 0.50% of the average daily net assets of the Fund; the
Small Cap Index Fund, 0.95% of the average daily net assets of the Fund;
the Mid Cap Index Fund 0.90% of the average daily net assets of the Fund;
the Large Cap Index Fund, 0.60% of the average daily net assets of the
Fund; the Large Cap Growth Fund, 0.80% of the average daily net assets of
the Fund; and the Money Market Fund, 0.10% of the average daily net assets
of the Fund. The expiration dates for the above mentioned contractual
expense reimbursements are as follows; through at least December 31, 2004
for the Technology Fund and the Partner Small Cap Value Fund; through at
least July 31, 2005 for the Small Cap Index Fund, the Mid Cap Index Fund
and the Large Cap Index Fund; through at least December 31, 2005 for the
Large Cap Growth Fund and the Money Market Fund.
Each non-money market Fund may invest cash in the Money Market Fund,
subject to certain limitations. During the period or year ended October
31, 2004 all funds with the exception of the Municipal Bond Fund invested.
These related-party transactions are subject to the same terms as
non-related party transactions except that, to avoid duplicate investment
advisory fees, the Funds are reimbursed for the amount of investment
advisory fees paid to the Adviser through Money Market Fund.
(B) Distribution Plan -- Thrivent Investment Mgt. is also the Trust's
distributor. The Trust has adopted a Distribution Plan ("the Plan")
pursuant to Rule 12b-1 under the Investment Company Act of 1940. Class A
shares have a Rule 12b-1 fee of 0.25% (0.125% for the Money Market Fund)
of average net assets. Class B Shares have a Rule 12b-1 fee of 1.0% (0.25%
for the Limited Maturity Bond Fund and 0.875% for the Money Market Fund)
of average net assets.
(C) Sales Charges and Other Fees -- For the year ended October 31, 2004,
Thrivent Investment Mgt. received $5,356,316 of aggregate underwriting
concessions from the sales of the Trust's Class A and B shares and
aggregate contingent deferred sales charges of $425,325 from redemptions
of Class A and Class B shares. Sales charges are not an expense of the
Trust and are not reflected in the financial statement of any of the
Funds.
The Trust has entered into an accounting services agreement with Thrivent
Financial pursuant to which Thrivent Financial provides certain accounting
personnel and services. For the period or year ended October 31, 2004 and
the year ended April 30, 2004, Thrivent Financial received aggregate fees
for accounting personnel and services of $753,365 and $945,014,
respectively, from the Trust.
Effective January 1, 2004, Thrivent Investment Mgt. entered an agreement
to provide certain administrative personnel and services to the Funds. For
the period or year ended October 31, 2004 and the year ended April 30,
2004, Thrivent Investment Mgt. received aggregate fees for administrative
personnel and services of $1,227,200 and $484,555, respectively, from the
Trust.
Effective April 24, 2004, the Trust entered into an agreement with
Thrivent Financial Investor Services Inc. (Thrivent Investor Services) to
provide the Funds with transfer agent services. For the period or year
ended October 31, 2004, Thrivent Investor Services received $10,363,485
for transfer agent services from the Trust. For the year ended April 30,
2004, Thrivent Investor Services received no fees for the transfer agent
services from the Trust.
Each Trustee of the Funds who is not affiliated with Thrivent Financial or
the Adviser receives an annual fee of $80,000 from the Funds for services
as a Trustee of the Funds and Thrivent Financial Securities Lending Trust
and a Director of Thrivent Series Funds, Inc. In addition, the lead
independent Trustee and independent chairman each receive an additional
fee of $10,000. Each Trustee is eligible to participate in a deferred
compensation plan with respect to these fees. Participants in the plan may
designate their deferred Trustee's fees as if invested in any one of the
Funds. The value of each Trustee's deferred compensation account will
increase or decrease as if it were invested in shares of the selected
Funds. The deferred fees remain in the appropriate Fund until distribution
in accordance with the plan. The deferred fee liability is an unsecured
liability.
Those Trustees not participating in the above plan received $155,697 and
$58,859 in fees from the Trust for the period or year ended October 31,
2004 and the year ended April 30, 2004, respectively. No remuneration has
been paid by the Trust to any of the officers or affiliated Trustees of
the Trust. In addition, the Trust reimbursed unaffiliated Trustees for
reasonable expenses incurred in relation to attendance at the meetings.
Certain officers and non-independent trustees of the Funds are officers
and directors of Thrivent Investment Mgt. and Thrivent Investor Services;
however, they receive no compensation from the Funds.
(4) TAX INFORMATION
Distributions are based on amounts calculated in accordance with the
applicable federal income tax regulations, which may differ from
accounting principles generally accepted in the United States of
America. To the extent that these differences are permanent in nature,
such amounts are reclassified within the capital accounts based on
their federal tax-basis treatment; temporary differences do not
require reclassifications.
On the Statement of Assets and Liabilities, as a result of permanent
book-to-tax differences, reclassification adjustments were made as follows
[Increase/(Decrease)]:
Accumulated Accumulated
Net Investment Net Realized
Fund Income/(Loss) Gain/(Loss) Trust Capital
- -----------------------------------------------------------------------------------------
Technology $320,711 $-- $(320,711)
Small Cap Stock 1,136,601 (1,136,601) --
Mid Cap Growth 2,231,030 7,164,998 (9,396,028)
Mid Cap Stock 1,358,463 -- (1,358,463)
Partner International
Stock (400,626) (307,090) 707,716
Large Cap Growth 9,277 21,048,944 (21,058,221)
Large Cap Value 50,735 4,299 (55,034)
Large Cap Stock (2,324,207) 2,309,367 14,840
Balanced 341,847 (341,847) --
High Yield (35,576) 35,576 --
Partner High Yield 340,540 (340,540) --
Municipal Bond 92,952 (4,057) (88,895)
Income 5,480 (5,480) --
Core Bond 1,202,163 (1,202,163) --
Bond Index-I 110,448 (110,448) --
Limited Maturity Bond (16,545) 16,545 --
Money Market (8,989) -- 8,989
At October 31, 2004, the components of distributable earnings on a tax
basis were as follows:
Undistributed Undistributed
Ordinary Long-Term
Fund Income Capital Gain
- ----------------------------------------------------------------------
Partner Small Cap Value $2,375,444 $8,542,961
Small Cap Stock 703,768 17,450,071
Small Cap Index 69,767 276,635
Mid Cap Index 54,776 213,690
Mid Cap Index-I 118,179 571,854
Partner International Stock 69,777 --
Large Cap Value 884,241 --
Large Cap Stock 2,749,517 --
Large Cap Index 371,036 --
Large Cap Index-I 287,238 --
Balanced 581,977 6,135,520
High Yield 640,098 ---
Partner High Yield 372,659 --
Municipal Bond * 287,009 --
Income 185,101 --
Core Bond 235,381 --
Bond Index-I 28,704 --
Limited Maturity Bond 38,952 309,329
Money Market 73,619 --
* Municipal Bond Fund undistributed ordinary income is primarily exempt
from federal income taxes.
At October 31, 2004, the following Funds had accumulated net realized
capital loss carryovers expiring as follows:
Capital Loss Expiration
Fund Carryover Year
- ----------------------------------------------------------------------
Technology $570,441 2008
13,587,499 2009
13,695,973 2010
1,279,762 2011
1,471,537 2012
----------------
$30,605,212
================
Mid Cap Growth $7,668,327 2008
25,424,814 2009
23,405,061 2010
8,767,898 2011
----------------
$65,266,100
================
Mid Cap Stock $29,177,953 2010
================
Partner International Stock $23,735,760 2009
55,324,117 2010
----------------
$79,059,877
================
Large Cap Growth $22,500,359 2009
7,054,293 2010
----------------
$29,554,652
================
Large Cap Value $2,365,296 2009
12,618,744 2010
5,864,750 2011
----------------
$20,848,790
================
Large Cap Stock $17,288,380 2008
125,280,540 2009
45,072,180 2010
----------------
$187,641,100
================
Large Cap Index $419,732 2010
505,544 2011
----------------
$925,276
================
Large Cap Index-I $3,141,169 2010
1,730,425 2011
----------------
$4,871,594
================
High Yield $18,998,975 2007
15,133,980 2008
125,418,013 2009
223,628,596 2010
90,973,334 2011
11,741,152 2012
----------------
$485,894,050
================
Partner High Yield $38,563,635 2008
14,003,544 2009
12,668,032 2010
324,797 2012
----------------
$65,560,008
================
Municipal Bond $9,591,235 2007
328,490 2009
545,473 2012
----------------
$10,465,198
================
Income $12,085,418 2008
17,362,752 2010
----------------
$29,448,170
================
Core Bond $1,246,299 2012
================
Bond Index-I $203,398 2012
================
To the extent that these Funds realize future net capital gains, taxable
distributions will be reduced by any unused capital loss carryovers as
permitted by the Internal Revenue Code.
Of the capital loss carryovers attributable to Mid Cap Growth Fund,
Partner International Stock Fund, Large Cap Growth Fund, Large Cap Value
Fund, and Large Cap Stock Fund, the following amounts were obtained as a
result of the reorganization, as described in Note 1, with LB Opportunity
Growth Fund, LB World Growth Fund, LB Growth Fund, LB Value Fund, and LB
Fund, respectively:
Capital Loss Expiration
Fund Carryover Year
- ----------------------------------------------------------------------
Mid Cap Growth $7,668,327 2008
25,424,814 2009
6,613,531 2010
----------------
$39,706,672
================
Partner International Stock $10,283,536 2009
8,815,509 2010
----------------
$19,099,045
================
Large Cap Growth $11,207,922 2009
4,875,278 2010
----------------
$16,083,200
================
Large Cap Value $2,365,296 2009
4,140,620 2010
----------------
$6,505,916
================
Large Cap Stock $17,288,380 2008
125,280,540 2009
45,072,180 2010
----------------
$187,641,100
================
Capital loss carryovers of $19,287,195, $21,368,454, $1,160,319,
$13,040,681, $2,877,636, $12,586,324, $9,067,072, $563,373, $221,417,
$9,247,748 and $9,145,834 were utilized by Mid Cap Growth Fund, Mid Cap
Stock Fund, Mid Cap Index Fund, Partner International Stock Fund, Large
Cap Growth Fund, Large Cap Value Fund, Large Cap Stock Fund, Large Cap
Index Fund, Large Cap Index Fund-I, Balanced Fund and Income Fund. In
addition, the following capital loss carryforwards acquired as part of the
merger were deemed expired due to provisions under the Internal Revenue
Code: Mid Cap Growth Fund, $7,158,920 and Large Cap Growth Fund,
$21,048,369.
The tax character of distributions paid during the six months ended
October 31, 2004, year ended April 30, 2004 and year ended April 30, 2003
was as follows:
Ordinary Long-Term
Income Capital Gain
Fund 10/31/04 4/30/04 4/30/03 10/31/04 4/30/04 4/30/03
- --------------------------------------------------------------------------------------------------------------------------------
Partner Small Cap Value $294,930 $-- $206,590 $1,354,118 $-- $173
Small Cap Stock 12,732,466 -- -- 11,407,705 -- --
Small Cap Index -- -- -- 1,238,820 116,288 135,306
Mid Cap Index 6,127 -- -- -- -- 330,723
Mid Cap Index-I 72,377 212,516 295,250 394,912 100,189 452,010
Large Cap Stock 5,698,855 10,819,813 8,525,456 540,381,430 -- --
Large Cap Index 188,833 450,406 122,309 -- -- --
Large Cap Index-I -- 515,759 823,832 -- -- --
Balanced 3,487,872 7,235,059 6,481,897 -- -- --
Partner High Yield 5,153,432 9,847,328 10,350,092 -- -- --
Core Bond 10,815,460 23,322,039 24,313,592 493,832 -- --
Bond Index-I 769,900 2,520,483 4,228,371 -- 1,621,152 --
Money Market 2,327,425 1,596,919 4,644,725 -- -- --
The tax character of distributions paid during the years ended October 31,
2004 and 2003 was as follows:
Tax-Exempt Income Ordinary Income Long-Term Capital Gain
Fund 10/31/04 10/31/03 10/31/04 10/31/03 10/31/04 10/31/03
- --------------------------------------------------------------------------------------------------------------------------------
Partner International Stock $-- $-- $443,729 $-- $-- $--
Large Cap Growth -- -- 174,138 -- -- --
Large Cap Value -- -- 593,663 161,409 -- --
High Yield -- -- 48,131,067 47,376,867 -- --
Municipal Bond 38,117,266 32,807,758 51,909 145,601 3,391,003 511,275
Income -- -- 25,789,927 28,277,948 -- --
Limited Maturity Bond -- -- 4,036,301 2,923,760 377,166 --
At October 31, 2004, the gross unrealized appreciation and
depreciation of investments, based on cost for federal income tax
purposes, were as follows:
Net Unrealized
Federal Unrealized Unrealized Appreciation
Fund Tax Cost Appreciation (Depreciation) (Depreciation)
- -----------------------------------------------------------------------------------------------------------------------
Technology $57,662,301 $4,831,266 $(9,660,671) $(4,829,405)
Partner Small Cap Value 84,715,964 8,676,877 (1,878,344) 6,798,533
Small Cap Stock 428,103,263 85,255,351 (9,410,172) 75,845,179
Small Cap Index 35,234,241 9,972,329 (2,603,554) 7,368,775
Mid Cap Growth 319,583,240 28,943,914 (8,390,390) 20,553,524
Mid Cap Stock 910,911,024 118,594,921 (18,334,623) 100,260,298
Mid Cap Index 49,219,980 9,200,995 (3,153,010) 6,047,985
Mid Cap Index-I 15,140,341 4,461,040 (1,046,225) 3,414,815
Partner International Stock 312,301,764 21,011,763 (8,909,425) 12,102,338
Large Cap Growth 110,774,787 5,618,545 (5,110,429) 508,116
Large Cap Value 295,743,732 46,243,283 (8,921,936) 37,321,347
Large Cap Stock 3,168,045,418 657,291,108 (131,165,077) 526,126,031
Large Cap Index 79,736,100 6,043,328 (8,725,301) (2,681,973)
Large Cap Index-I 30,189,905 3,258,738 (3,724,112) (465,374)
Balanced 461,762,077 19,700,291 (16,531,039) 3,169,252
High Yield 709,098,336 38,153,487 (15,780,378) 22,373,109
Partner High Yield 164,479,578 7,402,584 (417,564) 6,985,020
Municipal Bond 1,168,057,019 120,823,710 (1,816,587) 119,007,123
Income 770,274,632 20,252,055 (1,501,418) 18,750,637
Core Bond 637,840,950 9,145,588 (713,329) 8,432,259
Bond Index-I 40,755,773 574,874 (49,964) 524,910
Limited Maturity Bond 159,204,024 1,400,767 (264,460) 1,136,307
Money Market 949,365,520 -- -- --
(5) DISTRIBUTIONS BY CLASS
Distributions to shareholders, by class, for the period or year ended
October 31, 2004 and the years ended April 30, 2004 and April 30, 2003
were as follows:
Net Investment Income
------------------------------------------------------------------------------------------------
For the six months ended,
October 31, 2004
------------------------------------------------
Institutional
Fund Class A Class B Class
- ------------------------------ ------------------------------------------------
Mid Cap Index Fund $6,127 $-- $--
Large Cap Stock Fund 3,233,249 -- 156,199
Large Cap Index Fund 188,833 -- --
Balanced Fund 2,267,009 59,233 1,161,630
Partner High Yield Fund 4,825,734 180,843 146,855
Core Bond Fund 9,763,845 220,552 831,063
Bond Index Fund-I -- -- 734,285
Money Market Fund 1,569,788 4,887 752,750
For the year ended, For the year ended,
April 30, 2004 April 30, 2003
---------------------------------------------- -------------------------------------------
Institutional Institutional
Fund Class A Class B Class Class A Class B Class
- ------------------------------ --------------------------------------------------------------------------------------------------
Large Cap Stock Fund $10,195,390 $-- $624,423 $8,119,482 $-- $405,974
Large Cap Index Fund 450,406 -- -- 122,309 -- --
Balanced Fund 4,643,481 143,357 2,448,221 511,830 221,480 1,148,587
Partner High Yield Fund 9,192,442 384,178 270,708 9,575,283 511,785 263,024
Core Bond Fund 21,399,539 454,489 1,468,011 22,638,728 379,801 1,295,063
Money Market Fund 976,431 1,593 618,895 3,391,021 12,976 1,240,728
For the year ended, For the year ended,
October 31, 2004 October 31, 2003
---------------------------------------------- -------------------------------------------
Institutional Institutional
Fund Class A Class B Class Class A Class B Class
- --------------------------------- ----------------------------------------------------------------------------------------------
Partner International Stock Fund $303,032 $-- $140,697 $-- $-- $--
Large Cap Growth Fund 141,682 -- 32,456 -- -- --
Large Cap Value Fund 476,584 33,419 83,660 108,463 -- 52,946
High Yield Fund 44,927,119 2,384,261 819,687 43,874,837 2,680,200 821,830
Municipal Bond Fund 36,988,547 1,019,225 161,403 31,824,017 991,387 137,955
Income Fund 23,668,888 892,216 1,228,823 25,804,078 1,073,531 1,400,339
Limited Maturity Bond Fund 2,809,251 118,669 393,688 2,337,573 156,829 429,358
Net Realized Gains
------------------------------------------------------------------------------------------------
For the six months ended,
October 31, 2004
------------------------------------------------------------
Institutional
Fund Class A Class B Class
- ----------------------------- --------------------------------------------------
Partner Small Cap Value $1,273,313 $115,143 $260,592
Small Cap Stock Fund 21,984,118 1,544,318 611,735
Small Cap Index Fund 1,238,820 -- --
Large Cap Stock Fund 513,070,734 14,025,778 15,594,285
Core Bond Fund 446,614 13,140 34,078
Bond Index Fund-I -- -- 35,615
For the year ended, For the year ended,
April 30, 2004 April 30, 2003
---------------------------------------------- -------------------------------------------
Institutional Institutional
Fund Class A Class B Class Class A Class B Class
- --------------------------- ----------------------------------------------------------------------------------------------------
Small Cap Index Fund $103,953 $12,335 $-- $123,156 $12,150 $--
Small Cap Value Fund -- -- -- 168,998 16,195 21,570
Mid Cap Index Fund -- -- -- 302,359 28,364 --
For the year ended, For the year ended,
October 31, 2004 October 31, 2003
---------------------------------------------- -------------------------------------------
Institutional Institutional
Fund Class A Class B Class Class A Class B Class
- -----------------------------------------------------------------------------------------------------------------------------------
Municipal Bond Fund $3,259,485 $118,588 $12,930 $491,574 $17,651 $2,050
Limited Maturity Bond Fund 891,977 58,322 141,560 -- -- --
(6) SECURITY TRANSACTIONS
(A) Purchases and Sales of Investment Securities -- For the period or year
ended October 31, 2004, the cost of purchases and the proceeds from sales
of investment securities other than U.S. Government and short-term
securities were as follows:
In thousands
----------------------------
Fund Purchases Sales
- ----------------------------------------------------------------------
Technology Fund $10,585 $11,463
Partner Small Cap Value Fund 76,493 68,787
Small Cap Stock Fund 207,044 215,116
Small Cap Index Fund 5,609 10,693
Mid Cap Growth Fund 305,872 310,011
Mid Cap Stock Fund 380,163 408,802
Mid Cap Index Fund 8,823 3,648
Mid Cap Index Fund-I 1,646 16,176
Partner International Stock Fund 172,564 173,040
Large Cap Growth Fund 83,812 64,701
Large Cap Value Fund 73,667 64,993
Large Cap Stock Fund 1,400,573 1,539,290
Large Cap Index Fund 19,833 3,253
Large Cap Index Fund-I 2,318 1,214
Balanced Fund 256,165 243,152
High Yield Fund 442,398 444,200
Partner High Yield Fund 82,281 73,948
Municipal Bond Fund 97,422 130,150
Income Fund 488,912 520,741
Core Bond Fund 136,017 126,109
Bond Index Fund-I 6,139 5,866
Limited Maturity Bond Fund 80,672 51,916
Purchases and sales of U.S. Government securities were:
In thousands
----------------------------
Fund Purchases Sales
- ----------------------------------------------------------------------
Balanced Fund $191,453 $197,385
Municipal Bond Fund -- --
Income Fund 785,103 785,119
Core Bond Fund 700,349 724,551
Bond Index Fund-I 50,301 63,651
Limited Maturity Bond Fund 207,143 213,131
For the year ended April 30, 2004, the cost of purchases and the proceeds
from sales of investment securities other than U.S. Government and
short-term securities were as follows:
In thousands
----------------------------
Fund Purchases Sales
- ----------------------------------------------------------------------
Technology Fund $32,149 $28,396
Partner Small Cap Value Fund 52,557 39,386
Small Cap Stock Fund 377,568 391,134
Small Cap Index Fund 11,107 5,408
Mid Cap Stock Fund 946,973 1,008,450
Mid Cap Index Fund 11,615 10,686
Mid Cap Index Fund-I 6,736 3,347
Large Cap Stock Fund 598,988 904,190
Large Cap Index Fund 21,957 2,433
Large Cap Index Fund-I 7,711 45,235
Balanced Fund 162,167 208,638
Partner High Yield Fund 121,030 116,678
Core Bond Fund 390,044 443,760
Bond Index Fund-I 12,974 25,281
Purchases and sales of U.S. Government securities were:
In thousands
----------------------------
Fund Purchases Sales
- ----------------------------------------------------------------------
Balanced Fund $576,953 $563,334
Core Bond Fund 2,135,070 2,102,632
Bond Index Fund-I 137,373 162,444
(B) Investments in Restricted Securities -- The High Yield Fund and
Partner High Yield Fund own restricted securities that were purchased in
private placement transactions without registration under the Securities
Act of 1933. Unless such securities subsequently become registered, they
generally may be resold only in privately negotiated transactions with a
limited number of purchasers. The aggregate value of restricted securities
was $7,215,030 and $1,004,549 at October 31, 2004, which represented 1.12%
and 0.67% of the net assets of the High Yield Fund and Partner High Yield
Fund, respectively. The Funds have no right to require registration of
unregistered securities.
(C) Investments in High-Yielding Securities -- The High Yield Fund and the
Partner High Yield Fund invest primarily in high-yielding fixed-income
securities. Each of the other Funds except the Municipal Bond Fund and the
Money Market Fund may also invest in high-yielding securities. These
securities will typically be in the lower rating categories or will be
non-rated and generally will involve more risk than securities in the
higher rating categories. Lower rated or unrated securities are more
likely to react to developments affecting market risk and credit risk than
are more highly rated securities, which react primarily to movements in
the general level of interest rates.
(D) Investments in Options and Futures Contracts -- The movement in the
price of the security underlying an option or futures contract may not
correlate perfectly with the movement in the prices of the portfolio
securities being hedged. A lack of correlation could render the Fund's
hedging strategy unsuccessful and could result in a loss to the Fund. In
the event that a liquid secondary market would not exist, the Fund could
be prevented from entering into a closing transaction, which could result
in additional losses to the Fund.
(E) Written Option Contracts -- The number of contracts and premium
amounts associated with call option contracts written during the year
ended October 31, 2004, were as follows:
Thrivent Large Cap Growth Fund
---------------------------------
Number of Premium
Contracts Amount
---------------------------------
Balance at October 31, 2003 3 $591
Opened 196 19,065
Closed (169) (17,636)
Expired (11) (731)
Exercised (5) (660)
-------------- ------------
Balance at October 31, 2004 14 $629
============== ============
Income Fund
---------------------------------
Number of Premium
Contracts Amount
---------------------------------
Balance at October 31, 2003 -- $--
Opened 2,050 962,143
Closed (1,650) (857,199)
Expired (400) (104,944)
Exercised -- --
-------------- ------------
Balance at October 31, 2004 -- $--
============== ============
(7) INVESTMENTS IN AFFILIATES
Affiliated issuers, as defined under the Investment Company Act of 1940,
include those in which the Fund's holdings of an issuer represent 5% or
more of the outstanding voting securities of an issuer, or any affiliated
mutual fund. A summary of transactions for the period or year ended
October 31, 2004, in the Money Market Fund, is as follows:
Gross Gross Balance of Shares Dividend Income
Purchases and Sales and Held October 31, Value Period Ending
Additions Reductions 2004 October 31, 2004 October 31, 2004
- ---------------------------------------------------------------------------------------------------------------------------------
Technology Fund $6,230,656 $6,313,726 1,725,890 $1,725,890 $8,949
Partner Small Cap Value Fund 10,321,118 9,402,386 3,940,350 3,940,350 11,666
Small Cap Stock Fund 13,445,095 3,924,615 20,904,511 20,904,511 71,710
Small Cap Index Fund 4,178,789 4,691,145 797,953 797,953 5,157
Mid Cap Growth Fund* 19,597,641 7,779,882 11,817,759 11,817,759 23,509
Mid Cap Stock Fund 21,447,295 7,272,869 25,587,360 25,587,360 71,265
Mid Cap Index Fund 7,157,131 8,017,569 987,971 987,971 7,330
Mid Cap Index Fund-I 5,765,022 5,733,739 775,200 775,200 2,424
Partner International Stock Fund 5,700,697 1,509,698 4,199,642 4,199,642 5,441
Large Cap Growth Fund 8,060,623 7,684,016 1,956,441 1,956,441 9,965
Large Cap Value Fund 13,022,214 11,592,904 3,502,967 3,502,967 12,171
Large Cap Stock Fund 15,616,361 538,582 26,426,574 26,426,574 76,913
Large Cap Index Fund 11,943,644 12,332,538 2,255,900 2,255,900 10,942
Large Cap Index Fund-I 2,761,052 3,697,697 322,075 322,075 3,208
Balanced Fund 8,874,621 504,059 19,713,788 19,713,788 62,938
High Yield Fund* 27,685,777 6,928,910 20,756,868 20,756,868 49,506
Partner High Yield Fund 28,188,967 23,220,447 5,830,770 5,830,770 21,795
Income Fund* 26,878,144 -- 26,878,144 26,878,144 53,598
Core Bond Fund 13,932,348 606,490 24,736,627 24,736,627 70,738
Bond Index Fund-I 473,938 1,245,531 1,199,046 1,199,046 6,387
Limited Maturity Bond Fund* 6,036,485 323,267 5,713,217 5,713,217 14,068
* Gross Purchases and Additions, Gross Sales and Reductions and Dividend
income represented is for the fiscal year from November 1, 2003 through
October 31, 2004.
A summary of transactions for the year ended April 30, 2004, in the Money
Market Fund, is as follows:
Gross Gross Balance of Shares Dividend Income
Purchases and Sales and Held April 30, Value May 1, 2003 -
Fund Additions Reductions 2004 April 30, 2004 April 30, 2004
- ---------------------------------------------------------------------------------------------------------------------------------
Technology Fund $9,300,669 $9,048,497 1,808,961 $1,808,961 $11,432
Partner Small Cap Value Fund 18,030,826 16,376,083 3,021,618 3,021,618 12,749
Small Cap Stock Fund 95,815,803 86,320,510 11,384,032 11,384,032 61,877
Small Cap Index Fund 8,456,256 7,207,865 1,310,309 1,310,309 4,701
Mid Cap Stock Fund 34,738,233 35,734,232 11,412,934 11,412,934 65,302
Mid Cap Index Fund 10,264,001 8,951,572 1,848,410 1,848,410 6,102
Mid Cap Index Fund-I 9,200,461 8,987,929 743,917 743,917 4,774
Large Cap Stock Fund 41,930,207 39,121,873 11,348,795 11,348,795 56,067
Large Cap Index Fund 16,817,249 15,342,975 2,644,795 2,644,795 8,630
Large Cap Index Fund-I 9,811,309 11,265,307 1,258,720 1,258,720 5,182
Balanced Fund 41,477,743 42,729,668 11,343,227 11,343,227 65,549
Core Bond Fund 41,384,165 40,412,707 11,410,769 11,410,769 66,366
Bond Index Fund-I 2,232,087 4,180,417 1,970,640 1,970,640 14,135
A summary of transactions for the period ended October 31, 2004, in the
Thrivent Financial Securities Lending Trust, is as follows:
Gross Gross Balance of Shares
Purchases and Sales and Held October 31, Value
Additions Reductions 2004 October 31, 2004
- ----------------------------------------------------------------------------------------------------------
Technology Fund $4,270,725 $1,010,219 3,260,506 $3,260,506
Partner Small Cap Value Fund 16,492,901 5,072,775 11,420,126 11,420,126
Small Cap Stock Fund 114,047,459 46,320,321 67,727,138 67,727,138
Small Cap Index Fund 9,706,847 2,451,370 7,255,477 7,255,477
Mid Cap Growth Fund 81,968,658 48,916,468 33,052,190 33,052,190
Mid Cap Stock Fund 253,066,827 112,199,734 140,867,093 140,867,093
Mid Cap Index Fund 9,037,025 3,035,168 6,001,857 6,001,857
Mid Cap Index Fund-I 4,501,978 3,205,364 1,296,614 1,296,614
Partner International Stock Fund 83,508,659 35,529,570 47,979,089 47,979,089
Large Cap Growth Fund 3,011,367 1,357,233 1,654,134 1,654,134
Large Cap Value Fund 31,099,033 25,262,802 5,836,231 5,836,231
Large Cap Stock Fund 218,807,553 179,919,035 38,888,518 38,888,518
Large Cap Index Fund 1,927,226 1,105,463 821,763 821,763
Large Cap Index Fund-I 618,274 295,301 322,973 322,973
Balanced Fund 62,921,339 27,741,080 35,180,259 35,180,259
High Yield Fund 129,802,273 32,741,189 97,061,084 97,061,084
Partner High Yield Fund 31,110,675 6,359,512 24,751,163 24,751,163
Income Fund 197,660,349 79,606,198 118,054,151 118,054,151
Core Bond Fund 101,920,033 52,951,625 48,968,408 48,968,408
Bond Index Fund-I 11,051,123 4,057,241 6,993,882 6,993,882
Limited Maturity Bond Fund 41,958,705 24,006,232 17,952,473 17,952,473
(8) SHARES OF BENEFICIAL INTEREST
The Declaration of Trust permits the Trust to issue an unlimited number of
full and fractional shares of beneficial interest of all of the Funds.
Transactions in Fund shares were as follows:
Technology Fund
----------------------------------------------------------------------------------------
Class A Class B Institutional Class
---------------------------- ---------------------------- ----------------------------
Year Ended April 30, 2003 Shares Amount Shares Amount Shares Amount
- ------------------------------ ------------- ------------- ------------- ------------- ------------- -------------
Sold 4,378,722 $10,489,136 322,042 $750,091 1,021,683 $2,634,557
Dividends and distributions reinvested -- -- -- -- -- --
Redeemed (2,641,039) (6,232,216) (93,926) (214,226) (2,620,400) (7,068,273)
------------- ------------- ------------- ------------- ------------- -------------
Net change 1,737,683 $4,256,920 228,116 $535,865 (1,598,717) $(4,433,716)
============= ============= ============= ============= ============= =============
Year Ended April 30, 2004
- -------------------------
Sold 4,806,864 $15,567,018 478,699 $1,515,638 15,237 $52,999
Dividends and distributions reinvested -- -- -- -- -- --
Redeemed (3,544,283) (11,544,431) (290,521) (892,403) (3,779) (13,549)
------------- ------------- ------------- ------------- ------------- -------------
Net change 1,262,581 $4,022,587 188,178 $623,235 11,458 $39,450
============= ============= ============= ============= ============= =============
Period Ended October 31, 2004
- -----------------------------
Sold 1,101,807 $3,480,815 122,735 $372,864 -- $--
Dividends and distributions reinvested -- -- -- -- -- --
Redeemed (1,107,219) (3,504,722) (111,412) (338,348) (2,434) (7,942)
------------- ------------- ------------- ------------- ------------- -------------
Net change (5,412) $(23,907) 11,323 $34,516 (2,434) $(7,942)
============= ============= ============= ============= ============= =============
Partner Small Cap Value Fund
----------------------------------------------------------------------------------------
Class A Class B Institutional Class
---------------------------- ---------------------------- ----------------------------
Year Ended April 30, 2003 Shares Amount Shares Amount Shares Amount
- ------------------------------ ------------- ------------- ------------- ------------- ------------- -------------
Sold 1,707,983 $16,485,676 143,733 $1,344,321 113,249 $1,004,332
Dividends and distributions reinvested 15,616 168,804 1,507 16,199 1,983 21,570
Redeemed (667,504) (5,973,043) (26,573) (236,673) (10,034) (89,991)
------------- ------------- ------------- ------------- ------------- -------------
Net change 1,056,095 $10,681,437 118,667 $1,123,847 105,198 $935,911
============= ============= ============= ============= ============= =============
Year Ended April 30, 2004
- -------------------------
Sold 1,231,692 $15,453,286 133,641 $1,636,852 401,305 $4,993,888
Dividends and distributions reinvested -- -- -- -- -- --
Redeemed (472,176) (5,830,858) (22,832) (280,334) (62,832) (748,439)
------------- ------------- ------------- ------------- ------------- -------------
Net change 759,516 $9,622,428 110,809 $1,356,518 338,473 $4,245,449
============= ============= ============= ============= ============= =============
Period Ended October 31, 2004
- -----------------------------
Sold 742,406 $10,112,865 65,575 $871,219 195,176 $2,747,242
Dividends and distributions reinvested 90,752 1,266,898 8,403 114,535 18,210 260,592
Redeemed (259,660) (3,526,731) (115,284) (1,578,984) (48,458) (668,148)
------------- ------------- ------------- ------------- ------------- -------------
Net change 573,498 $7,853,032 (41,306) $(593,230) 164,928 $2,339,686
============= ============= ============= ============= ============= =============
Small Cap Stock Fund
----------------------------------------------------------------------------------------
Class A Class B Institutional Class
---------------------------- ---------------------------- ----------------------------
Year Ended April 30, 2003 Shares Amount Shares Amount Shares Amount
- ------------------------------ ------------- ------------- ------------- ------------- ------------- -------------
Sold 3,978,322 $47,496,197 344,965 $3,866,489 413,374 $5,035,811
Dividends and distributions reinvested -- -- -- -- -- --
Redeemed (4,121,616) (46,901,963) (805,925) (8,837,854) (194,264) (2,236,645)
------------- ------------- ------------- ------------- ------------- -------------
Net change (143,294) $594,234 (460,960) $(4,971,365) 219,110 $2,799,166
============= ============= ============= ============= ============= =============
Year Ended April 30, 2004
- -------------------------
Sold 3,342,207 $50,108,302 342,789 $4,814,140 104,729 $1,652,803
Dividends and distributions reinvested -- -- -- -- -- --
Redeemed (3,279,853) (48,832,120) (621,536) (8,523,200) (29,772) (487,580)
------------- ------------- ------------- ------------- ------------- -------------
Net change 62,354 $1,276,182 (278,747) $(3,709,060) 74,957 $1,165,223
============= ============= ============= ============= ============= =============
Period Ended October 31, 2004
- -----------------------------
Sold 1,260,434 $19,945,439 126,878 $1,847,151 5,319 $88,882
Dividends and distributions reinvested (2) 21,853,599 102,365 1,536,504 31,839 541,258
Redeemed (1,512,435) (23,934,542) (227,849) (3,338,952) (7,213) (123,060)
------------- ------------- ------------- ------------- ------------- -------------
Net change (252,003) $17,864,496 1,394 $44,703 29,945 $507,080
============= ============= ============= ============= ============= =============
Small Cap Index Fund
----------------------------------------------------------
Class A Class B
---------------------------- ----------------------------
Year Ended April 30, 2003 Shares Amount Shares Amount
- ------------------------------ ------------- ------------- ------------- -------------
Sold 682,065 $6,246,710 86,130 $762,168
Dividends and distributions reinvested 11,890 122,343 1,199 12,149
Redeemed (281,412) (2,448,619) (11,373) (95,183)
------------- ------------- ------------- -------------
Net change 412,543 $3,920,434 75,956 $679,134
============= ============= ============= =============
Year Ended April 30, 2004
- -------------------------
Sold 759,328 $8,765,026 125,231 $1,438,820
Dividends and distributions reinvested 8,435 102,742 1,040 12,300
Redeemed (264,570) (3,014,785) (13,264) (146,498)
------------- ------------- ------------- -------------
Net change 503,193 $5,852,983 113,007 $1,304,622
============= ============= ============= =============
Period Ended October 31, 2004
- -----------------------------
Sold 1,404,271 $17,285,116 (5,828) $(70,292)
Dividends and distributions reinvested 97,161 1,225,204 -- --
Redeemed (1,504,389) (18,810,175) (366,594) (4,286,987)
------------- ------------- ------------- -------------
Net change (2,957) $(299,855) (372,422) $(4,357,279)
============= ============= ============= =============
Mid Cap Growth Fund
----------------------------------------------------------------------------------------
Class A Class B Institutional Class
---------------------------- ---------------------------- ----------------------------
Year Ended October 31, 2003 Shares Amount Shares Amount Shares Amount
- ------------------------------ ------------- ------------- ------------- ------------- ------------- -------------
Sold 1,843,623 $19,309,751 673,828 $6,639,295 126,925 $1,368,975
Dividends and distributions reinvested -- -- -- -- -- --
Redeemed (1,751,690) (17,830,900) (918,187) (9,027,730) (851,835) (8,545,816)
------------- ------------- ------------- ------------- ------------- -------------
Net change 91,933 $1,478,851 (244,359) $(2,388,435) (724,910) $(7,176,841)
============= ============= ============= ============= ============= =============
Year Ended October 31, 2004
- ---------------------------
Sold 2,055,600 $24,128,164 571,582 $6,410,188 278,617 $3,428,236
Issued in connection with merger 10,611,233 $129,278,193 892,327 $10,310,007 41,441 $528,975
Dividends and distributions reinvested -- -- -- -- -- --
Redeemed (2,161,125) (26,804,122) (889,797) (10,565,737) (128,402) (1,661,609)
------------- ------------- ------------- ------------- ------------- -------------
Net change 10,505,708 $126,602,235 574,112 $6,154,458 191,656 $2,295,602
============= ============= ============= ============= ============= =============
Mid Cap Stock Fund
----------------------------------------------------------------------------------------
Class A Class B Institutional Class
---------------------------- ---------------------------- ----------------------------
Year Ended April 30, 2003 Shares Amount Shares Amount Shares Amount
- ------------------------------ ------------- ------------- ------------- ------------- ------------- -------------
Sold 5,622,797 $61,355,828 436,184 $4,433,244 428,076 $4,775,897
Dividends and distributions reinvested -- -- -- -- -- --
Redeemed (9,968,058) (104,853,157) (856,791) (8,546,850) (417,793) (4,575,270)
------------- ------------- ------------- ------------- ------------- -------------
Net change (4,345,261) $(43,497,329) (420,607) $(4,113,606) 10,283 $200,627
============= ============= ============= ============= ============= =============
Year Ended April 30, 2004
- -------------------------
Sold 4,574,691 $60,126,709 427,350 $5,204,771 375,149 $5,057,016
Dividends and distributions reinvested -- -- -- -- -- --
Redeemed (7,956,658) (103,176,578) (620,611) (7,370,345) (280,523) (3,823,823)
------------- ------------- ------------- ------------- ------------- -------------
Net change (3,381,967) $(43,049,869) (193,261) $(2,165,574) 94,626 $1,233,193
============= ============= ============= ============= ============= =============
Period Ended October 31, 2004
- -----------------------------
Sold 1,633,396 $23,020,155 145,769 $1,877,243 145,257 $2,131,966
Dividends and distributions reinvested -- -- -- -- -- --
Redeemed (3,311,971) (46,730,644) (231,560) (2,975,557) (161,084) (2,355,628)
------------- ------------- ------------- ------------- ------------- -------------
Net change (1,678,575) $(23,710,489) (85,791) $(1,098,314) (15,827) $(223,662)
============= ============= ============= ============= ============= =============
Mid Cap Index Fund-I Mid Cap Index Fund
---------------------------- ----------------------------------------------------------
Institutional Class Class A Class B
---------------------------- ---------------------------- ----------------------------
Year Ended April 30, 2003 Shares Amount Shares Amount Shares Amount
- ------------------------------ ------------- ------------- ------------- ------------- ------------- -------------
Sold 453,532 $4,084,475 1,072,267 $9,537,229 114,965 $977,283
Dividends and distributions reinvested 79,150 704,768 35,578 299,925 3,443 28,333
Redeemed (371,137) (3,273,942) (478,709) (4,034,206) (21,403) (177,847)
------------- ------------- ------------- ------------- ------------- -------------
Net change 161,545 $1,515,301 629,136 $5,802,948 97,005 $827,769
============= ============= ============= ============= ============= =============
Year Ended April 30, 2004
- -------------------------
Sold 786,601 $8,854,724 1,077,267 $11,716,850 163,505 $1,744,648
Dividends and distributions reinvested 25,553 298,459 -- -- -- --
Redeemed (449,628) (5,201,164) (1,079,523) (10,697,111) (26,853) (282,042)
------------- ------------- ------------- ------------- ------------- -------------
Net change 362,526 $3,952,019 (2,256) $1,019,739 136,652 $1,462,606
============= ============= ============= ============= ============= =============
Period Ended October 31, 2004
- -----------------------------
Sold 2,151,007 $25,620,513 1,021,029 $11,631,612 289 $3,191
Dividends and distributions reinvested 36,279 433,175 546 6,053 -- --
Redeemed (3,419,569) (40,604,961) (225,256) (2,592,956) (487,318) (5,337,751)
------------- ------------- ------------- ------------- ------------- -------------
Net change (1,232,283) $(14,551,273) 796,319 $9,044,709 (487,029) $(5,334,560)
============= ============= ============= ============= ============= =============
Partner International Stock Fund
----------------------------------------------------------------------------------------
Class A Class B Institutional Class
---------------------------- ---------------------------- ----------------------------
Year Ended October 31, 2003 Shares Amount Shares Amount Shares Amount
- ------------------------------ ------------- ------------- ------------- ------------- ------------- -------------
Sold 1,077,423 $8,050,781 242,973 $1,683,215 3,126,322 $22,169,372
Redeemed (1,742,473) (12,872,578) (431,284) (3,010,415) (3,776,424) (27,486,273)
------------- ------------- ------------- ------------- ------------- -------------
Net change (665,050) $(4,821,797) (188,311) $(1,327,200) (650,102) $(5,316,901)
============= ============= ============= ============= ============= =============
Period Ended October 31, 2004
- -----------------------------
Sold 2,364,771 $21,071,170 313,189 $2,714,013 65,475 $623,973
Issued in connection with merger 19,027,683 $152,596,813 971,614 $7,660,968 434,570 $3,134,815
Dividends and distributions reinvested 32,978 298,809 -- -- 14,909 140,291
Redeemed (1,782,300) (15,887,045) (427,424) (3,701,765) (275,228) (2,601,408)
------------- ------------- ------------- ------------- ------------- -------------
Net change 19,643,132 $158,079,747 857,379 $6,673,216 239,726 $1,297,671
============= ============= ============= ============= ============= =============
Large Cap Growth Fund
----------------------------------------------------------------------------------------
Class A Class B Institutional Class
---------------------------- ---------------------------- ----------------------------
Year Ended October 31, 2003 Shares Amount Shares Amount Shares Amount
- ------------------------------ ------------- ------------- ------------- ------------- ------------- -------------
Sold 741,003 $7,172,020 299,250 $2,753,280 31,830 $304,741
Redeemed (546,181) (5,053,595) (184,590) (1,725,929) (253,348) (2,362,710)
------------- ------------- ------------- ------------- ------------- -------------
Net change 194,822 $2,118,425 114,660 $1,027,351 (221,518) $(2,057,969)
============= ============= ============= ============= ============= =============
Period Ended October 31, 2004
- -----------------------------
Sold 3,550,500 $21,959,403 553,914 $4,118,996 391,031 $4,562,413
Issued in connection with merger 13,812,952 $36,025,360 2,809,120 $3,733,228 1,442,515 $3,114,548
Dividends and distributions reinvested 12,690 139,340 -- -- 2,580 29,721
Redeemed (1,191,736) (7,461,718) (231,562) (1,497,423) (208,611) (2,371,551)
------------- ------------- ------------- ------------- ------------- -------------
Net change 16,184,406 $50,662,385 3,131,472 $6,354,801 1,627,515 $5,335,131
============= ============= ============= ============= ============= =============
Large Cap Value Fund
----------------------------------------------------------------------------------------
Class A Class B Institutional Class
---------------------------- ---------------------------- ----------------------------
Year Ended October 31, 2003 Shares Amount Shares Amount Shares Amount
- ------------------------------ ------------- ------------- ------------- ------------- ------------- -------------
Sold 636,237 $7,099,126 244,028 $2,660,649 15,190 $166,295
Dividends and distributions reinvested 9,825 103,062 -- -- 1,897 20,016
Redeemed (513,679) (5,621,828) (166,497) (1,878,345) (156,442) (1,715,996)
------------- ------------- ------------- ------------- ------------- -------------
Net change 132,383 $1,580,360 77,531 $782,304 (139,355) $(1,529,685)
============= ============= ============= ============= ============= =============
Period Ended October 31, 2004
- -----------------------------
Sold 1,699,605 $22,129,671 265,199 $3,456,925 202,382 $2,611,219
Issued in connection with merger 19,232,539 $214,351,706 620,825 $6,447,542 1,147,248 $12,769,293
Dividends and distributions reinvested 34,922 467,277 2,498 33,179 653 8,762
Redeemed (1,183,749) (15,305,346) (155,690) (2,001,228) (92,416) (1,211,835)
------------- ------------- ------------- ------------- ------------- -------------
Net change 19,783,317 $221,643,308 732,832 $7,936,418 1,257,867 $14,177,439
============= ============= ============= ============= ============= =============
Large Cap Stock Fund
----------------------------------------------------------------------------------------
Class A Class B Institutional Class
---------------------------- ---------------------------- ----------------------------
Year Ended April 30, 2003 Shares Amount Shares Amount Shares Amount
- ------------------------------ ------------- ------------- ------------- ------------- ------------- -------------
Sold 7,453,661 $188,742,782 509,708 $12,339,095 976,708 $24,557,544
Dividends and distributions reinvested 318,131 8,009,547 -- -- 14,388 366,892
Redeemed (18,886,433) (464,941,823) (1,561,730) (37,394,305) (515,719) (12,916,711)
------------- ------------- ------------- ------------- ------------- -------------
Net change (11,114,641) $(268,189,494) (1,052,022) $(25,055,210) 475,377 $12,007,725
============= ============= ============= ============= ============= =============
Year Ended April 30, 2004
- -------------------------
Sold 6,751,343 $191,018,783 562,079 $15,122,456 633,557 $17,877,502
Dividends and distributions reinvested 359,246 10,051,966 -- -- 20,616 577,002
Redeemed (13,157,567) (370,317,835) (1,187,337) (31,754,804) (430,599) (12,332,453)
------------- ------------- ------------- ------------- ------------- -------------
Net change (6,046,978) $(169,247,086) (625,258) $(16,632,348) 223,574 $6,122,051
============= ============= ============= ============= ============= =============
Period Ended October 31, 2004
- -----------------------------
Sold 3,051,135 $78,745,630 287,566 $6,852,937 233,966 $5,999,754
Issued in connection with merger 31,412,345 729,068,165 2,655,938 57,377,788 1,215,070 $28,316,042
Dividends and distributions reinvested 21,708,014 508,624,786 641,473 13,990,530 631,690 14,863,662
Redeemed (8,896,997) (224,972,207) (782,350) (18,324,778) (312,239) (7,928,296)
------------- ------------- ------------- ------------- ------------- -------------
Net change 47,274,497 $1,091,466,374 2,802,627 $59,896,477 1,768,487 $41,251,162
============= ============= ============= ============= ============= =============
Large Cap Index Fund Large Cap Index Fund-I
---------------------------------------------------------- ----------------------------
Class A Class B Institutional Class
---------------------------- ---------------------------- ----------------------------
Year Ended April 30, 2003 Shares Amount Shares Amount Shares Amount
- ------------------------------ ------------- ------------- ------------- ------------- ------------- -------------
Sold 3,307,437 $21,158,281 1,709,196 $10,690,308 211,984 $1,280,873
Dividends and distributions reinvested 46,003 277,400 20,081 120,685 -- --
Redeemed (2,051,928) (12,531,282) (1,440,451) (8,615,260) (20,768) (109,475)
------------- ------------- ------------- ------------- ------------- -------------
Net change 1,301,512 $8,904,399 288,826 $2,195,733 191,216 $1,171,398
============= ============= ============= ============= ============= =============
Year Ended April 30, 2004
- -------------------------
Sold 1,392,569 $9,982,529 2,957,536 $21,872,449 454,015 $3,314,531
Dividends and distributions reinvested 66,171 498,930 58,659 445,806 -- --
Redeemed (7,488,824) (49,652,493) (707,716) (5,182,368) (144,682) (980,418)
------------- ------------- ------------- ------------- ------------- -------------
Net change (6,030,084) $(39,171,034) 2,308,479 $17,135,887 309,333 $2,334,113
============= ============= ============= ============= ============= =============
Period Ended October 31, 2004
- -----------------------------
Sold 3,656,440 $27,808,082 (106) $266 379,803 $2,892,903
Dividends and distributions reinvested 25,088 186,653 -- -- -- --
Redeemed (595,096) (4,545,027) (855,054) (6,293,202) (387,829) (2,953,200)
------------- ------------- ------------- ------------- ------------- -------------
Net change 3,086,432 $23,449,708 (855,160) $(6,292,936) (8,026) $(60,297)
============= ============= ============= ============= ============= =============
Balanced Fund
----------------------------------------------------------------------------------------
Class A Class B Institutional Class
---------------------------- ---------------------------- ----------------------------
Year Ended April 30, 2003 Shares Amount Shares Amount Shares Amount
- ------------------------------ ------------- ------------- ------------- ------------- ------------- -------------
Sold 3,416,858 $36,196,164 307,223 $3,230,520 10,690,466 $114,145,026
Dividends and distributions reinvested 477,441 4,991,386 20,998 219,526 111,076 1,145,377
Redeemed (6,156,135) (64,447,749) (461,808) (4,789,207) (1,086,816) (11,220,338)
------------- ------------- ------------- ------------- ------------- -------------
Net change (2,261,836) $(23,260,199) (133,587) $(1,339,161) 9,714,726 $104,070,065
============= ============= ============= ============= ============= =============
Year Ended April 30, 2004
- -------------------------
Sold 3,776,828 $43,526,295 463,346 $5,319,971 514,280 $5,834,784
Dividends and distributions reinvested 395,804 4,525,726 12,555 142,480 214,186 2,445,230
Redeemed (4,583,294) (52,689,198) (677,332) (7,751,445) (1,219,918) (14,074,212)
------------- ------------- ------------- ------------- ------------- -------------
Net change (410,662) $(4,637,177) (201,431) $(2,288,994) (491,452) $(5,794,198)
============= ============= ============= ============= ============= =============
Period Ended October 31, 2004
- -----------------------------
Sold 1,816,992 $21,021,555 161,973 $1,865,064 131,304 $1,518,211
Dividends and distributions reinvested 189,492 2,213,531 5,064 58,887 99,438 1,160,233
Redeemed (2,284,043) (26,471,724) (275,708) (3,172,804) (585,322) (6,751,213)
------------- ------------- ------------- ------------- ------------- -------------
Net change (277,559) $(3,236,638) (108,671) $(1,248,853) (354,580) $(4,072,769)
============= ============= ============= ============= ============= =============
High Yield Fund
----------------------------------------------------------------------------------------
Class A Class B Institutional Class
---------------------------- ---------------------------- ----------------------------
Year Ended October 31, 2003 Shares Amount Shares Amount Shares Amount
- ------------------------------ ------------- ------------- ------------- ------------- ------------- -------------
Sold 13,164,586 $62,463,213 1,311,403 $6,233,069 412,950 $2,005,720
Dividends and distributions reinvested 6,421,210 30,392,191 430,220 2,030,090 89,645 421,500
Redeemed (20,850,691) (97,700,547) (2,842,387) (13,417,073) (945,008) (4,256,199)
------------- ------------- ------------- ------------- ------------- -------------
Net change (1,264,895) $(4,845,143) (1,100,764) $(5,153,914) (442,413) $(1,828,979)
============= ============= ============= ============= ============= =============
Year Ended October 31, 2004
- ---------------------------
Sold 12,967,036 $66,613,441 1,277,916 $6,562,757 193,689 $996,646
Dividends and distributions reinvested 6,162,299 31,656,410 346,863 1,781,502 87,153 447,945
Redeemed (18,317,905) (93,891,744) (2,462,908) (12,641,951) (491,310) (2,514,135)
------------- ------------- ------------- ------------- ------------- -------------
Net change 811,430 $4,378,107 (838,129) $(4,297,692) (210,468) $(1,069,544)
============= ============= ============= ============= ============= =============
Partner High Yield Fund
----------------------------------------------------------------------------------------
Class A Class B Institutional Class
---------------------------- ---------------------------- ----------------------------
Year Ended April 30, 2003 Shares Amount Shares Amount Shares Amount
- ------------------------------ ------------- ------------- ------------- ------------- ------------- -------------
Sold 3,571,703 $20,664,401 121,452 $704,358 98,715 $585,893
Dividends and distributions reinvested 1,105,584 6,321,840 51,479 293,654 32,306 184,899
Redeemed (5,121,145) (29,402,824) (551,791) (3,145,287) (42,075) (241,368)
------------- ------------- ------------- ------------- ------------- -------------
Net change (443,858) $(2,416,583) (378,860) $(2,147,275) 88,946 $529,424
============= ============= ============= ============= ============= =============
Year Ended April 30, 2004
- -------------------------
Sold 5,669,568 $37,096,535 367,922 $2,408,588 90,909 $601,573
Dividends and distributions reinvested 944,456 6,171,574 37,212 243,215 30,328 198,104
Redeemed (4,676,650) (30,579,003) (417,293) (2,720,137) (60,672) (399,956)
------------- ------------- ------------- ------------- ------------- -------------
Net change 1,937,374 $12,689,106 (12,159) $(68,334) 60,565 $399,721
============= ============= ============= ============= ============= =============
Period Ended October 31, 2004
- -----------------------------
Sold 1,533,085 $9,966,887 91,413 $594,958 54,640 $364,301
Dividends and distributions reinvested 512,210 3,352,223 19,893 130,190 15,753 103,030
Redeemed (2,016,152) (13,123,612) (175,041) (1,138,997) (13,071) (85,367)
------------- ------------- ------------- ------------- ------------- -------------
Net change 29,143 $195,498 (63,735) $(413,849) 57,322 $381,964
============= ============= ============= ============= ============= =============
Municipal Bond Fund
----------------------------------------------------------------------------------------
Class A Class B Institutional Class
---------------------------- ---------------------------- ----------------------------
Year Ended October 31, 2003 Shares Amount Shares Amount Shares Amount
- ------------------------------ ------------- ------------- ------------- ------------- ------------- -------------
Sold 6,146,057 $56,334,457 766,509 $7,005,554 7,567 $69,320
Dividends and distributions reinvested 2,746,668 25,140,069 98,141 895,838 12,782 116,953
Redeemed (8,775,939) (80,247,790) (638,582) (5,828,311) (88,608) (811,452)
------------- ------------- ------------- ------------- ------------- -------------
Net change 116,786 $1,226,736 226,068 $2,073,081 (68,259) $(625,179)
============= ============= ============= ============= ============= =============
Period Ended October 31, 2004
- ------------------------------
Sold 5,283,299 $52,498,243 373,718 $3,555,759 45,330 $469,448
Issued in connection with merger 40,830,245 $593,690,801 594,393 $11,997,514 186,112 $2,600,492
Dividends and distributions reinvested 3,255,331 32,523,962 104,651 1,022,731 13,318 129,681
Redeemed (10,602,532) (106,080,699) (793,867) (7,713,169) (87,338) (886,137)
------------- ------------- ------------- ------------- ------------- -------------
Net change 38,766,343 $572,632,307 278,895 $8,862,835 157,422 $2,313,484
============= ============= ============= ============= ============= =============
Income Fund
----------------------------------------------------------------------------------------
Class A Class B Institutional Class
---------------------------- ---------------------------- ----------------------------
Year Ended October 31, 2003 Shares Amount Shares Amount Shares Amount
- ------------------------------ ------------- ------------- ------------- ------------- ------------- -------------
Sold 4,413,923 $38,031,533 679,025 $5,829,800 429,970 $3,717,434
Dividends and distributions reinvested 2,396,703 20,675,394 112,059 963,933 130,150 1,117,607
Redeemed (12,543,767) (108,176,805) (1,130,926) (9,767,362) (2,495,027) (21,285,061)
------------- ------------- ------------- ------------- ------------- -------------
Net change (5,733,141) $(49,469,878) (339,842) $(2,973,629) (1,934,907) $(16,450,020)
============= ============= ============= ============= ============= =============
Year Ended October 31, 2004
- ---------------------------
Sold 3,887,866 $34,112,612 542,851 $4,763,702 1,157,800 $10,116,173
Dividends and distributions reinvested 2,169,580 19,032,301 90,647 793,369 108,872 954,061
Redeemed (10,849,302) (95,065,549) (1,234,123) (10,800,307) (874,855) (7,665,479)
------------- ------------- ------------- ------------- ------------- -------------
Net change (4,791,856) $(41,920,636) (600,625) $(5,243,236) 391,817 $3,404,755
============= ============= ============= ============= ============= =============
Core Bond Fund
----------------------------------------------------------------------------------------
Class A Class B Institutional Class
---------------------------- ---------------------------- ----------------------------
Year Ended April 30, 2003 Shares Amount Shares Amount Shares Amount
- ------------------------------ ------------- ------------- ------------- ------------- ------------- -------------
Sold 13,943,165 $139,480,773 694,640 $6,970,962 1,245,466 $12,470,799
Dividends and distributions reinvested 1,960,681 19,731,887 32,703 329,579 96,159 968,203
Redeemed (10,827,360) (109,048,807) (253,040) (2,550,859) (833,907) (8,360,303)
------------- ------------- ------------- ------------- ------------- -------------
Net change 5,076,486 $50,163,853 474,303 $4,749,682 507,718 $5,078,699
============= ============= ============= ============= ============= =============
Year Ended April 30, 2004
- -------------------------
Sold 5,653,487 $58,308,498 383,777 $3,959,757 1,378,445 $14,193,753
Dividends and distributions reinvested 1,812,181 18,654,274 39,732 409,278 113,584 1,169,915
Redeemed (13,119,716) (135,051,219) (380,664) (3,925,602) (925,273) (9,539,157)
------------- ------------- ------------- ------------- ------------- -------------
Net change (5,654,048) $(58,088,447) 42,845 $443,433 566,756 $5,824,511
============= ============= ============= ============= ============= =============
Period Ended October 31, 2004
- -----------------------------
Sold 2,865,571 $29,002,899 113,437 $1,145,892 290,180 $2,925,806
Dividends and distributions reinvested 841,258 8,942,614 20,091 216,618 64,941 687,894
Redeemed (4,633,806) (46,858,735) (162,999) (1,648,832) (220,235) (2,224,598)
------------- ------------- ------------- ------------- ------------- -------------
Net change (926,977) $(8,913,222) (29,471) $(286,322) 134,886 $1,389,102
============= ============= ============= ============= ============= =============
Bond Index Fund-I
----------------------------
Institutional Class
----------------------------
Year Ended April 30, 2003 Shares Amount
- ------------------------------ ------------- -------------
Sold 3,796,017 $40,643,025
Dividends and distributions reinvested 120,233 1,301,035
Redeemed (2,145,587) (23,225,442)
------------- -------------
Net change 1,770,663 $18,718,618
============= =============
Year Ended April 30, 2004
- -------------------------
Sold 288,268 $3,085,266
Dividends and distributions reinvested 343,233 3,576,837
Redeemed (3,999,283) (43,993,681)
------------- -------------
Net change (3,367,782) $(37,331,578)
============= =============
Period Ended October 31, 2004
- -----------------------------
Sold 92,888 $938,552
Dividends and distributions reinvested 66,095 667,845
Redeemed (1,496,977) (14,929,702)
------------- -------------
Net change (1,337,994) $(13,323,305)
============= =============
Limited Maturity Bond Fund
----------------------------------------------------------------------------------------
Class A Class B Institutional Class
---------------------------- ---------------------------- ----------------------------
Year Ended October 31, 2003 Shares Amount Shares Amount Shares Amount
- ------------------------------ ------------- ------------- ------------- ------------- ------------- -------------
Sold 4,184,022 $54,311,427 32,523 $421,341 145,089 $1,900,573
Dividends and distributions reinvested 179,498 2,330,628 1,708 22,182 7,476 96,925
Redeemed (3,239,055) (42,058,847) (13,604) (176,671) (123,997) (1,601,554)
------------- ------------- ------------- ------------- ------------- -------------
Net change 1,124,465 $14,583,208 20,627 $266,852 28,568 $395,944
============= ============= ============= ============= ============= =============
Year Ended October 31, 2004
- ---------------------------
Sold 5,568,801 $72,051,989 47,393 $610,409 107,663 $1,399,167
Dividends and distributions reinvested 274,005 3,545,407 2,733 35,373 11,666 150,913
Redeemed (3,518,146) (45,476,073) (358,634) (4,579,334) (490,310) (6,281,856)
------------- ------------- ------------- ------------- ------------- -------------
Net change 2,324,660 $30,121,323 (308,508) $(3,933,552) (370,981) $(4,731,776)
============= ============= ============= ============= ============= =============
Money Market Fund
----------------------------------------------------------------------------------------
Class A Class B Institutional Class
---------------------------- ---------------------------- ----------------------------
Year Ended April 30, 2003 Shares Amount Shares Amount Shares Amount
- ------------------------------ ------------- ------------- ------------- ------------- ------------- -------------
Sold 383,009,911 $383,009,911 3,160,982 $3,160,982 774,040,495 $774,040,495
Dividends and distributions reinvested 3,321,618 3,321,618 12,249 12,249 1,015,369 1,015,369
Redeemed (436,462,816) (436,462,816) (3,143,731) (3,143,731) (801,421,347) (801,421,347)
------------- ------------- ------------- ------------- ------------- -------------
Net change (50,131,287) $(50,131,287) 29,500 $29,500 (26,365,483) $(26,365,483)
============= ============= ============= ============= ============= =============
Year Ended April 30, 2004
- -------------------------
Sold 269,520,767 $269,520,767 1,422,984 $1,422,984 480,119,771 $480,119,771
Dividends and distributions reinvested 956,917 956,917 1,462 1,462 538,327 538,327
Redeemed (357,898,855) (357,898,855) (2,453,006) (2,453,006) (457,461,310) (457,461,310)
------------- ------------- ------------- ------------- ------------- -------------
Net change (87,421,171) $(87,421,171) (1,028,560) $(1,028,560) 23,196,788 $23,196,788
============= ============= ============= ============= ============= =============
Period Ended October 31, 2004
- -----------------------------
Sold 273,485,180 $273,485,177 1,426,695 $1,426,696 332,158,782 $332,158,782
Issued in connection with merger 450,318,699 450,318,699 853,031 $853,031 6,797,312 6,797,312
Dividends and distributions reinvested 1,644,396 1,644,396 4,933 4,933 688,399 688,399
Redeemed (300,865,031) (300,865,031) (1,220,775) (1,220,775) (208,578,274) (208,578,274)
------------- ------------- ------------- ------------- ------------- -------------
Net change 424,583,244 $424,583,241 1,063,884 $1,063,885 131,066,219 $131,066,219
============= ============= ============= ============= ============= =============
(9) LINE OF CREDIT
Effective May 1, 2003, Thrivent Mutual Funds, along with Thrivent Series
Fund, Inc., entered into an unsecured $75 million bank line of credit
agreement with State Street Bank and Trust Company. Borrowings under the
agreement would bear interest at the Federal Funds rate plus 0.50%. The
Funds were allowed to borrow money for temporary or emergency purposes to
fund shareholder redemptions. The Funds did not borrow against the line
during the period or year ended October 31, 2004. The line of credit was
allowed to expire on April 29, 2004.
Thrivent Mutual Funds
Financial Highlights
Technology Fund
Class A Shares
- -----------------------------------------------------------------------------------------------------------------------------------
Period Year Year Year Period
Ended Ended Ended Ended Ended
For a share outstanding throughout each
period (a) 10/31/2004(e) 4/30/2004 4/30/2003 4/30/2002 4/30/2001(f)
- -----------------------------------------------------------------------------------------------------------------------------------
Net Asset Value, Beginning of Period $3.20 $2.50 $3.15 $5.13 $10.00
Income from Investment Operations
Net investment (loss) (0.02) (0.03) (0.05) (0.06) (0.05)
Net realized and unrealized gain/(loss)
on investments (b) 0.10 0.73 (0.60) (1.92) (4.82)
Total from Investment Operations 0.08 0.70 (0.65) (1.98) (4.87)
Net Asset Value, End of Period $3.28 $3.20 $2.50 $3.15 $5.13
Total return (c) 2.50% 28.00% (20.63)% (38.60)% (48.70)%
Net assets, end of period (in millions) $42.5 $41.5 $29.3 $31.4 $27.8
Ratio of expenses to average net
assets (d) 1.70% 1.36% 2.39% 2.29% 2.40%
Ratio of net investment (loss) to
average net assets (d) (1.32)% (1.02)% (2.09)% (2.05)% (1.70)%
Portfolio turnover rate 23% 67% 67% 57% 44%
If the Adviser had not reimbursed
expenses and the Fund had not received
credits for directed brokerage
transactions or fees paid indirectly
the ratios would have been:
Ratio of expenses to average net
assets (d) 2.22% 2.19% 2.75% 2.33% 2.40%
Ratio of net investment (loss) to
average net assets (d) (1.84)% (1.85)% (2.45)% (2.09)% (1.71)%
Technology Fund
Class B Shares
- ------------------------------------------------------------------------------------------------------------------------------
Period Year Year Year Period
Ended Ended Ended Ended Ended
For a share outstanding throughout each
period (a) 10/31/2004(e) 4/30/2004 4/30/2003 4/30/2002 4/30/2001(f)
- -----------------------------------------------------------------------------------------------------------------------------------
Net Asset Value, Beginning of Period $3.09 $2.43 $3.09 $5.10 $10.00
Income from Investment Operations
Net investment (loss) (0.03) (0.04) (0.06) (0.09) (0.09)
Net realized and unrealized gain/(loss)
on investments (b) 0.10 0.70 (0.60) (1.92) (4.81)
Total from Investment Operations 0.07 0.66 (0.66) (2.01) (4.90)
Net Asset Value, End of Period $3.16 $3.09 $2.43 $3.09 $5.10
Total return (c) 2.27% 27.16% (21.36)% (39.41)% (49.00)%
Net assets, end of period (in millions) $4.0 $3.9 $2.6 $2.6 $2.6
Ratio of expenses to average net
assets (d) 2.32% 1.85% 3.50% 3.25% 3.40%
Ratio of net investment (loss) to
average net assets (d) (1.94)% (1.51)% (3.20)% (3.01)% (2.68)%
Portfolio turnover rate 23% 67% 67% 57% 44%
If the Adviser had not reimbursed
expenses and the Fund had not received
credits for directed brokerage
transactions or fees paid indirectly
the ratios would have been:
Ratio of expenses to average net
assets (d) 3.34% 3.36% 4.12% 3.29% 3.41%
Ratio of net investment (loss) to
average net assets (d) (2.96)% (3.02)% (3.82)% (3.05)% (2.69)%
Technology Fund
Institutional Class Shares
- -----------------------------------------------------------------------------------------------------------------------------------
Period Year Year Year Period
Ended Ended Ended Ended Ended
For a share outstanding throughout each
period (a) 10/31/2004(e) 4/30/2004 4/30/2003 4/30/2002 4/30/2001(f)
- -----------------------------------------------------------------------------------------------------------------------------------
Net Asset Value, Beginning of Period $3.32 $2.59 $3.22 $5.19 $10.00
Income from Investment Operations
Net investment (loss) (0.01) (0.02) (0.02) (0.03) (0.02)
Net realized and unrealized gain/(loss)
on investments (b) 0.11 0.75 (0.61) (1.94) (4.79)
Total from Investment Operations 0.10 0.73 (0.63) (1.97) (4.81)
Net Asset Value, End of Period $3.42 $3.32 $2.59 $3.22 $5.19
Total return (c) 3.01% 28.19% (19.57)% (37.96)% (48.10)%
Net assets, end of period (in millions) $3.0 $2.9 $2.2 $7.9 $9.3
Ratio of expenses to average net
assets (d) 1.00% 1.00% 1.06% 1.10% 1.32%
Ratio of net investment (loss) to
average net assets (d) (0.62)% (0.66)% (0.76)% (0.86)% (0.59)%
Portfolio turnover rate 23% 67% 67% 57% 44%
If the Adviser had not reimbursed
expenses and the Fund had not received
credits for directed brokerage
transactions or fees paid indirectly
the ratios would have been:
Ratio of expenses to average net
assets (d) 1.02% 1.02% 1.08% 1.14% 1.33%
Ratio of net investment (loss) to
average net assets (d) (0.64)% (0.68)% (0.78)% (0.90)% (0.60)%
Partner Small Cap Value Fund
Class A Shares
- -----------------------------------------------------------------------------------------------------------------------------------
Period Year Year Period
Ended Ended Ended Ended
For a share outstanding throughout each
period (a) 10/31/2004(e) 4/30/2004 4/30/2003 4/30/2002(g)
- -----------------------------------------------------------------------------------------------------------------------------------
Net Asset Value, Beginning of Period $13.58 $9.33 $11.65 $10.00
Income from Investment Operations
Net investment income/(loss) 0.01 (0.05) (0.07) (0.05)
Net realized and unrealized gain/(loss)
on investments (b) 1.02 4.30 (2.18) 1.70
Total from Investment Operations 1.03 4.25 (2.25) 1.65
Less Distributions from
Net Realized Gain on Investments (0.34) -- (0.07) --
Net Asset Value, End of Period $14.27 $13.58 $9.33 $11.65
Total return (c) 7.60% 45.55% (19.38)% 16.50%
Net assets, end of period (in millions) $61.4 $50.6 $27.7 $22.3
Ratio of expenses to average net
assets (d) 1.10% 1.32% 1.86% 2.12%
Ratio of net investment income/(loss)
to average net assets (d) 0.61% (0.46)% (0.88)% (1.19)%
Portfolio turnover rate 100% 80% 147% 50%
If the Adviser had not reimbursed
expenses and the Fund had not received
credits for directed brokerage
transactions or fees paid indirectly
the ratios would have been:
Ratio of expenses to average net
assets (d) 1.61% 1.84% 2.05% 2.16%
Ratio of net investment income/(loss)
to average net assets (d) 0.10% (0.98)% (1.07)% (1.23)%
Partner Small Cap Value Fund
Class B Shares
- -----------------------------------------------------------------------------------------------------------------------------------
Period Year Year Period
Ended Ended Ended Ended
For a share outstanding throughout each
period (a) 10/31/2004(e) 4/30/2004 4/30/2003 4/30/2002(g)
- -----------------------------------------------------------------------------------------------------------------------------------
Net Asset Value, Beginning of Period $13.29 $9.21 $11.59 $10.00
Income from Investment Operations
Net investment income/(loss) (0.06) (0.14) (0.12) (0.11)
Net realized and unrealized gain/(loss)
on investments (b) 0.99 4.22 (2.19) 1.70
Total from Investment Operations 0.93 4.08 (2.31) 1.59
Less Distributions from
Net Realized Gain on Investments (0.34) -- (0.07) --
Net Asset Value, End of Period $13.88 $13.29 $9.21 $11.59
Total return (c) 7.01% 44.30% (20.00)% 15.90%
Net assets, end of period (in millions) $5.4 $5.7 $2.9 $2.3
Ratio of expenses to average net
assets (d) 2.10% 2.20% 2.71% 2.86%
Ratio of net investment income/(loss)
to average net assets (d) (0.41)% (1.33)% (1.73)% (1.93)%
Portfolio turnover rate 100% 80% 147% 50%
If the Adviser had not reimbursed
expenses and the Fund had not received
credits for directed brokerage
transactions or fees paid indirectly
the ratios would have been:
Ratio of expenses to average net
assets (d) 2.61% 2.73% 2.91% 2.90%
Ratio of net investment income/(loss)
to average net assets (d) (0.92)% (1.86)% (1.93)% (1.97)%
Partner Small Cap Value Fund
Institutional Class Shares
- -----------------------------------------------------------------------------------------------------------------------------------
Period Year Year Period
Ended Ended Ended Ended
For a share outstanding throughout each
period (a) 10/31/2004(e) 4/30/2004 4/30/2003 4/30/2002(g)
- -----------------------------------------------------------------------------------------------------------------------------------
Net Asset Value, Beginning of Period $13.90 $9.47 $11.71 $10.00
Income from Investment Operations
Net investment income/(loss) 0.05 0.03 -- (0.05)
Net realized and unrealized gain/(loss)
on investments (b) 1.06 4.40 (2.17) 1.76
Total from Investment Operations 1.11 4.43 (2.17) 1.71
Less Distributions from
Net Realized Gain on Investments (0.34) -- (0.07) --
Net Asset Value, End of Period $14.67 $13.90 $9.47 $11.71
Total return (c) 8.01% 46.78% (18.59)% 17.10%
Net assets, end of period (in millions) $13.3 $10.3 $3.8 $3.5
Ratio of expenses to average net
assets (d) 0.40% 0.52% 0.87% 1.59%
Ratio of net investment income/(loss)
to average net assets (d) 1.32% 0.34% 0.10% (0.66)%
Portfolio turnover rate 100% 80% 147% 50%
If the Adviser had not reimbursed
expenses and the Fund had not received
credits for directed brokerage
transactions or fees paid indirectly
the ratios would have been:
Ratio of expenses to average net
assets (d) 0.91% 1.04% 1.07% 1.63%
Ratio of net investment income/(loss)
to average net assets (d) 0.81% (0.18)% (0.10)% (0.70)%
(a) All per share amounts have been rounded to the nearest cent.
(b) The amount shown may not correlate with the change in aggregate gains
and losses of portfolio securities due to the timing of sales and
redemptions of fund shares.
(c) Total investment return assumes dividend reinvestment and does not
reflect any deduction for sales charges. Not annualized for periods
less than one year.
(d) Computed on an annualized basis for periods less than one year.
(e) For the period from May 1, 2004, to October 31, 2004.
(f) Since Fund inception, July 1, 2000.
(g) Since Fund inception, July 17, 2001.
The accompanying notes to the financial statements are an integral part of this schedule.
Thrivent Mutual Funds
Financial Highlights - continued
Small Cap Stock Fund
Class A Shares
- -----------------------------------------------------------------------------------------------------------------------------------
Period Year Year Year Year Year
Ended Ended Ended Ended Ended Ended
For a share outstanding throughout each
period (a) 10/31/2004(e) 4/30/2004 4/30/2003 4/30/2002 4/30/2001 4/30/2000
- -----------------------------------------------------------------------------------------------------------------------------------
Net Asset Value, Beginning of Period $16.39 $11.55 $14.82 $13.39 $14.60 $10.89
Income from Investment Operations
Net investment income/(loss) (0.04) (0.11) (0.09) (0.09) (0.06) (0.08)
Net realized and unrealized gain/(loss)
on investments (b) 0.99 4.95 (3.18) 1.60 1.05 3.79
Total from Investment Operations 0.95 4.84 (3.27) 1.51 0.99 3.71
Less Distributions from
Net Realized Gain on Investments (0.95) -- -- (0.08) (2.20) --
Net Asset Value, End of Period $16.39 $16.39 $11.55 $14.82 $13.39 $14.60
Total return (c) 5.88% 41.90% (22.06)% 11.29% 7.77% 34.07%
Net assets, end of period (in millions) $397.3 $379.5 $266.7 $344.3 $258.6 $191.3
Ratio of expenses to average net
assets (d) 1.36% 1.38% 1.47% 1.36% 1.40% 1.53%
Ratio of net investment income/(loss)
to average net assets (d) (0.49)% (0.71)% (0.78)% (0.69)% (0.54)% (0.72)%
Portfolio turnover rate 52% 106% 97% 59% 123% 147%
If the Adviser had not reimbursed
expenses and the Fund had not received
credits for directed brokerage
transactions or fees paid indirectly
the ratios would have been:
Ratio of expenses to average net
assets (d) 1.37% 1.40% 1.49% 1.37% 1.41% 1.65%
Ratio of net investment income/(loss)
to average net assets (d) (0.51)% (0.73)% (0.80)% (0.70)% (0.54)% (0.85)%
Small Cap Stock Fund
Class B Shares
- -----------------------------------------------------------------------------------------------------------------------------------
Period Year Year Year Year Year
Ended Ended Ended Ended Ended Ended
For a share outstanding throughout each
period (a) 10/31/2004(e) 4/30/2004 4/30/2003 4/30/2002 4/30/2001 4/30/2000
- -----------------------------------------------------------------------------------------------------------------------------------
Net Asset Value, Beginning of Period $15.26 $10.86 $14.08 $12.86 $14.24 $10.74
Income from Investment Operations
Net investment income/(loss) (0.11) (0.26) (0.26) (0.24) (0.18) (0.19)
Net realized and unrealized gain/(loss)
on investments (b) 0.91 4.66 (2.96) 1.54 1.00 3.69
Total from Investment Operations 0.80 4.40 (3.22) 1.30 0.82 3.50
Less Distributions from
Net Realized Gain on Investments (0.95) -- -- (0.08) (2.20) --
Net Asset Value, End of Period $15.11 $15.26 $10.86 $14.08 $12.86 $14.24
Total return (c) 5.31% 40.52% (22.87)% 10.11% 6.72% 32.71%
Net assets, end of period (in millions) $25.1 $25.3 $21.1 $33.8 $31.2 $24.6
Ratio of expenses to average net
assets (d) 2.39% 2.42% 2.45% 2.39% 2.39% 2.56%
Ratio of net investment income/(loss)
to average net assets (d) (1.52)% (1.75)% (1.75)% (1.72)% (1.52)% (1.76)%
Portfolio turnover rate 52% 106% 97% 59% 123% 147%
If the Adviser had not reimbursed
expenses and the Fund had not received
credits for directed brokerage
transactions or fees paid indirectly
the ratios would have been:
Ratio of expenses to average net
assets (d) 2.41% 2.44% 2.47% 2.41% 2.40% 2.68%
Ratio of net investment income/(loss)
to average net assets (d) (1.54)% (1.77)% (1.77)% (1.74)% (1.53)% (1.88)%
Small Cap Stock Fund
Institutional Class Shares
- -----------------------------------------------------------------------------------------------------------------------------------
Period Year Year Year Year Year
Ended Ended Ended Ended Ended Ended
For a share outstanding throughout each
period (a) 10/31/2004(e) 4/30/2004 4/30/2003 4/30/2002 4/30/2001 4/30/2000
- -----------------------------------------------------------------------------------------------------------------------------------
Net Asset Value, Beginning of Period $17.12 $11.98 $15.26 $13.71 $14.80 $10.95
Income from Investment Operations
Net investment income/(loss) (0.02) (0.01) (0.06) (0.01) 0.01 0.01
Net realized and unrealized gain/(loss)
on investments (b) 1.06 5.15 (3.22) 1.64 1.10 3.84
Total from Investment Operations 1.04 5.14 (3.28) 1.63 1.11 3.85
Less Distributions from
Net Realized Gain on Investments (0.95) -- -- (0.08) (2.20) --
Net Asset Value, End of Period $17.21 $17.12 $11.98 $15.26 $13.71 $14.80
Total return (c) 6.17% 42.90% (21.49)% 11.90% 8.53% 35.16%
Net assets, end of period (in millions) $11.6 $11.0 $6.8 $5.3 $3.8 $1.0
Ratio of expenses to average net
assets (d) 0.73% 0.73% 0.73% 0.74% 0.78% 0.72%
Ratio of net investment income/(loss)
to average net assets (d) (0.24)% (0.06)% (0.03)% (0.07)% 0.11% 0.08%
Portfolio turnover rate 52% 106% 97% 59% 123% 147%
If the Adviser had not reimbursed
expenses and the Fund had not received
credits for directed brokerage
transactions or fees paid indirectly
the ratios would have been:
Ratio of expenses to average net
assets (d) 1.13% 0.75% 0.75% 0.75% 0.78% 0.84%
Ratio of net investment income/(loss)
to average net assets (d) (0.26)% (0.08)% (0.05)% (0.08)% 0.10% (0.04)%
Small Cap Index Fund
Class A Shares
- -----------------------------------------------------------------------------------------------------------------------------------
Period Year Year Year Period
Ended Ended Ended Ended Ended
For a share outstanding throughout each
period (a) 10/31/2004(e) 4/30/2004 4/30/2003 4/30/2002 4/30/2001(f)
- -----------------------------------------------------------------------------------------------------------------------------------
Net Asset Value, Beginning of Period $12.26 $8.89 $11.42 $10.03 $10.00
Income from Investment Operations
Net investment income/(loss) 0.02 (0.01) (0.04) (0.07) (0.07)
Net realized and unrealized gain/(loss)
on investments (b) 0.85 3.42 (2.43) 1.52 0.21
Total from Investment Operations 0.87 3.41 (2.47) 1.45 0.14
Less Distributions from
Net Realized Gain on Investments (0.50) (0.04) (0.06) (0.06) (0.11)
Net Asset Value, End of Period $12.63 $12.26 $8.89 $11.42 $10.03
Total return (c) 7.11% 38.37% (21.69)% 14.53% 1.43%
Net assets, end of period (in millions) $35.4 $34.4 $20.5 $21.6 $13.3
Ratio of expenses to average net
assets (d) 0.95% 1.04% 1.35% 1.51% 1.86%
Ratio of net investment income/(loss)
to average net assets (d) 0.43% (0.13)% (0.44)% (0.77)% (1.03)%
Portfolio turnover rate 17% 18% 18% 18% 36%
If the Adviser had not reimbursed
expenses and the Fund had not received
credits for directed brokerage
transactions or fees paid indirectly
the ratios would have been:
Ratio of expenses to average net
assets (d) 1.37% 1.25% 1.40% 1.51% 1.86%
Ratio of net investment income/(loss)
to average net assets (d) 0.01% (0.34)% (0.49)% (0.77)% (1.03)%
(a) All per share amounts have been rounded to the nearest cent.
(b) The amount shown may not correlate with the change in aggregate gains
and losses of portfolio securities due to the timing of sales and
redemptions of fund shares.
(c) Total investment return assumes dividend reinvestment and does not
reflect any deduction for sales charges. Not annualized for periods
less than one year.
(d) Computed on an annualized basis for periods less than one year.
(e) For the period from May 1, 2004, to October 31, 2004.
(f) Since Fund inception, July 1, 2000.
The accompanying notes to the financial statements are an integral part of this schedule.
Thrivent Mutual Funds
Financial Highlights - continued
Mid Cap Growth Fund
Class A Shares
- -----------------------------------------------------------------------------------------------------------------------------------
Year Year Year Year Year
Ended Ended Ended Ended Ended
For a share outstanding throughout each
period (a) 10/31/2004 10/31/2003 10/31/2002 10/31/2001 10/31/2000
- -----------------------------------------------------------------------------------------------------------------------------------
Net Asset Value, Beginning of Period $12.35 $9.50 $11.43 $18.29 $12.93
Income from Investment Operations
Net investment income/(loss) (0.02) (0.15) (0.13) (0.11) (0.15)
Net realized and unrealized gain/(loss)
on investments (b) 0.42 3.00 (1.80) (5.40) 5.98
Total from Investment Operations 0.40 2.85 (1.93) (5.51) 5.83
Less Distributions from
Net Realized Gain on Investments -- -- -- (1.35) (0.47)
Net Asset Value, End of Period $12.75 $12.35 $9.50 $11.43 $18.29
Total return (c) 3.24% 29.86% (16.80)% (32.17)% 46.26%
Net assets, end of period (in millions) $250.7 $113.1 $86.2 $107.7 $140.7
Ratio of expenses to average net assets 1.36% 1.88% 1.54% 1.41% 1.56%
Ratio of net investment income/(loss)
to average net assets (0.95)% (1.51)% (1.17)% (0.73)% (0.87)%
Portfolio turnover rate 154% 76% 55% 137% 118%
If the Adviser had not reimbursed
expenses and the Fund had not received
credits for directed brokerage
transactions or fees paid indirectly
the ratios would have been:
Ratio of expenses to average net assets 1.36% 1.94% 1.89% 1.69% 1.56%
Ratio of net investment (loss) to
average net assets (0.95)% (1.57)% (1.52)% (1.01)% (0.87)%
Mid Cap Growth Fund
Class B Shares
- -----------------------------------------------------------------------------------------------------------------------------------
Year Year Year Year Year
Ended Ended Ended Ended Ended
For a share outstanding throughout each
period (a) 10/31/2004 10/31/2003 10/31/2002 10/31/2001 10/31/2000
- -----------------------------------------------------------------------------------------------------------------------------------
Net Asset Value, Beginning of Period $11.78 $9.13 $11.06 $17.87 $12.74
Income from Investment Operations
Net investment income/(loss) (0.19) (0.24) (0.13) (0.07) (0.14)
Net realized and unrealized gain/(loss)
on investments (b) 0.46 2.89 (1.80) (5.39) 5.74
Total from Investment Operations 0.27 2.65 (1.93) (5.46) 5.60
Less Distributions from
Net Realized Gain on Investments -- -- -- (1.35) (0.47)
Net Asset Value, End of Period $12.05 $11.78 $9.13 $11.06 $17.87
Total return (c) 2.29% 29.03% (17.45)% (32.68)% 45.11%
Net assets, end of period (in millions) $45.0 $37.2 $31.1 $31.8 $36.4
Ratio of expenses to average net assets 2.32% 2.63% 2.29% 2.16% 2.31%
Ratio of net investment income/(loss)
to average net assets (1.91)% (2.27)% (1.92)% (1.48)% (1.62)%
Portfolio turnover rate 154% 76% 55% 137% 118%
If the Adviser had not reimbursed
expenses and the Fund had not received
credits for directed brokerage
transactions or fees paid indirectly
the ratios would have been:
Ratio of expenses to average net assets 2.31% 2.69% 2.64% 2.44% 2.31%
Ratio of net investment (loss) to
average net assets (1.91)% (2.33)% (2.27)% (1.76)% (1.62)%
Mid Cap Growth Fund
Institutional Class Shares
- -----------------------------------------------------------------------------------------------------------------------------------
Year Year Year Year Year
Ended Ended Ended Ended Ended
For a share outstanding throughout each
period (a) 10/31/2004 10/31/2003 10/31/2002 10/31/2001 10/31/2000
- -----------------------------------------------------------------------------------------------------------------------------------
Net Asset Value, Beginning of Period $12.87 $9.79 $11.66 $18.49 $12.99
Income from Investment Operations
Net investment income/(loss) (0.01) (0.04) (0.01) 0.04 0.03
Net realized and unrealized gain/(loss)
on investments (b) 0.53 3.12 (1.86) (5.52) 5.94
Total from Investment Operations 0.52 3.08 (1.87) (5.48) 5.97
Less Distributions from
Net Realized Gain on Investments -- -- -- (1.35) (0.47)
Net Asset Value, End of Period $13.39 $12.87 $9.79 $11.66 $18.49
Total return (c) 4.04% 31.46% (16.04)% (31.62)% 47.15%
Net assets, end of period (in millions) $10.1 $7.3 $12.6 $7.7 $4.4
Ratio of expenses to average net assets 0.62% 0.74% 0.58% 0.64% 0.93%
Ratio of net investment income/(loss)
to average net assets (0.21)% (0.37)% (0.21)% 0.04% (0.23)%
Portfolio turnover rate 154% 76% 55% 137% 118%
If the Adviser had not reimbursed
expenses and the Fund had not received
credits for directed brokerage
transactions or fees paid indirectly
the ratios would have been:
Ratio of expenses to average net assets 0.73% 0.95% 0.93% 0.92% 0.93%
Ratio of net investment (loss) to
average net assets (0.32)% (0.58)% (0.56)% (0.24)% (0.23)%
Mid Cap Stock Fund
Class A Shares
- -----------------------------------------------------------------------------------------------------------------------------------
Period Year Year Year Year Year
Ended Ended Ended Ended Ended Ended
For a share outstanding throughout each
period (a) 10/31/2004(e) 4/30/2004 4/30/2003 4/30/2002 4/30/2001 4/30/2000
- -----------------------------------------------------------------------------------------------------------------------------------
Net Asset Value, Beginning of Period $13.96 $10.74 $13.01 $14.73 $16.73 $13.89
Income from Investment Operations
Net investment income/(loss) (0.02) (0.05) (0.02) (0.03) -- --
Net realized and unrealized gain/(loss)
on investments (b) 0.80 3.27 (2.25) (1.31) 1.19 3.67
Total from Investment Operations 0.78 3.22 (2.27) (1.34) 1.19 3.67
Less Distributions from
Net Realized Gain on Investments -- -- -- (0.38) (3.19) (0.83)
Net Asset Value, End of Period $14.74 $13.96 $10.74 $13.01 $14.73 $16.73
Total return (c) 5.59% 29.98% (17.45)% (9.36)% 7.26% 27.29%
Net assets, end of period (in millions) $808.8 $789.9 $643.8 $836.5 $883.2 $759.0
Ratio of expenses to average net
assets (d) 1.24% 1.26% 1.30% 1.22% 1.16% 1.14%
Ratio of net investment income/(loss)
to average net assets (d) (0.30)% (0.36)% (0.18)% (0.25)% 0.02% (0.02)%
Portfolio turnover rate 46% 123% 48% 97% 144% 142%
If the Adviser had not reimbursed
expenses and the Fund had not received
credits for directed brokerage
transactions or fees paid indirectly
the ratios would have been:
Ratio of expenses to average net
assets (d) 1.25% 1.27% 1.31% 1.23% 1.17% 1.24%
Ratio of net investment income/(loss)
to average net assets (d) (0.31)% (0.37)% (0.19)% (0.26)% 0.01% (0.12)%
Mid Cap Stock Fund
Class B Shares
- -----------------------------------------------------------------------------------------------------------------------------------
Period Year Year Year Year Year
Ended Ended Ended Ended Ended Ended
For a share outstanding throughout each
period (a) 10/31/2004(e) 4/30/2004 4/30/2003 4/30/2002 4/30/2001 4/30/2000
- -----------------------------------------------------------------------------------------------------------------------------------
Net Asset Value, Beginning of Period $12.78 $9.95 $12.20 $14.00 $16.20 $13.64
Income from Investment Operations
Net investment income/(loss) (0.09) (0.19) (0.18) (0.17) (0.12) (0.17)
Net realized and unrealized gain/(loss)
on investments (b) 0.73 3.02 (2.07) (1.25) 1.11 3.56
Total from Investment Operations 0.64 2.83 (2.25) (1.42) 0.99 3.39
Less Distributions from
Net Realized Gain on Investments -- -- -- (0.38) (3.19) (0.83)
Net Asset Value, End of Period $13.42 $12.78 $9.95 $12.20 $14.00 $16.20
Total return (c) 5.01% 28.44% (18.44)% (10.44)% 6.18% 25.71%
Net assets, end of period (in millions) $27.0 $26.8 $22.8 $33.1 $36.4 $26.9
Ratio of expenses to average net
assets (d) 2.35% 2.44% 2.50% 2.38% 2.19% 2.46%
Ratio of net investment income/(loss)
to average net assets (d) (1.41)% (1.55)% (1.38)% (1.41)% (1.01)% (1.33)%
Portfolio turnover rate 46% 123% 48% 97% 144% 142%
If the Adviser had not reimbursed
expenses and the Fund had not received
credits for directed brokerage
transactions or fees paid indirectly
the ratios would have been:
Ratio of expenses to average net
assets (d) 2.36% 2.45% 2.51% 2.39% 2.20% 2.55%
Ratio of net investment income/(loss)
to average net assets (d) (1.42)% (1.56)% (1.39)% (1.42)% (1.01)% (1.43)%
Mid Cap Stock Fund
Institutional Class Shares
- -----------------------------------------------------------------------------------------------------------------------------------
Period Year Year Year Year Year
Ended Ended Ended Ended Ended Ended
For a share outstanding throughout each
period (a) 10/31/2004(e) 4/30/2004 4/30/2003 4/30/2002 4/30/2001 4/30/2000
- -----------------------------------------------------------------------------------------------------------------------------------
Net Asset Value, Beginning of Period $14.46 $11.06 $13.31 $14.98 $16.89 $13.94
Income from Investment Operations
Net investment income/(loss) 0.02 0.03 0.05 0.03 0.07 0.05
Net realized and unrealized gain/(loss)
on investments (b) 0.82 3.37 (2.30) (1.32) 1.21 3.73
Total from Investment Operations 0.84 3.40 (2.25) (1.29) 1.28 3.78
Less Distributions from
Net Realized Gain on Investments -- -- -- (0.38) (3.19) (0.83)
Net Asset Value, End of Period $15.30 $14.46 $11.06 $13.31 $14.98 $16.89
Total return (c) 5.81% 30.74% (16.90)% (8.86)% 7.68% 28.00%
Net assets, end of period (in millions) $29.8 $28.4 $20.7 $24.8 $24.3 $16.5
Ratio of expenses to average net
assets (d) 0.71% 0.70% 0.68% 0.69% 0.68% 0.62%
Ratio of net investment income/(loss)
to average net assets (d) 0.23% 0.20% 0.44% 0.28% 0.50% 0.51%
Portfolio turnover rate 46% 123% 48% 97% 144% 142%
If the Adviser had not reimbursed
expenses and the Fund had not received
credits for directed brokerage
transactions or fees paid indirectly
the ratios would have been:
Ratio of expenses to average net
assets (d) 0.72% 0.71% 0.69% 0.70% 0.69% 0.71%
Ratio of net investment income/(loss)
to average net assets (d) 0.22% 0.19% 0.43% 0.27% 0.50% 0.41%
(a) All per share amounts have been rounded to the nearest cent.
(b) The amount shown may not correlate with the change in aggregate gains
and losses of portfolio securities due to the timing of sales and
redemptions of fund shares.
(c) Total investment return assumes dividend reinvestment and does not
reflect any deduction for sales charges. Not annualized for periods
less than one year.
(d) Computed on an annualized basis for periods less than one year.
(e) For the period from May 1, 2004, to October 31, 2004.
The accompanying notes to the financial statements are an integral part of this schedule.
Thrivent Mutual Funds
Financial Highlights - continued
Mid Cap Index Fund
Class A Shares
- -----------------------------------------------------------------------------------------------------------------------------------
Period Year Year Year Period
Ended Ended Ended Ended Ended
For a share outstanding throughout each
period (a) 10/31/2004(e) 4/30/2004 4/30/2003 4/30/2002 4/30/2001(f)
- -----------------------------------------------------------------------------------------------------------------------------------
Net Asset Value, Beginning of Period $11.48 $8.65 $10.71 $10.24 $10.00
Income from Investment Operations
Net investment income/(loss) 0.01 0.01 -- (0.03) (0.04)
Net realized and unrealized gain/(loss)
on investments (b) 0.37 2.82 (1.97) 0.53 0.31
Total from Investment Operations 0.38 2.83 (1.97) 0.50 0.27
Less Distributions from
Net investment income -- -- -- -- --
Net realized gain on investments -- -- (0.09) (0.03) (0.03)
Total Distributions -- -- (0.09) (0.03) (0.03)
Net Asset Value, End of Period $11.86 $11.48 $8.65 $10.71 $10.24
Total return (c) 3.33% 32.72% (18.36)% 4.94% 2.73%
Net assets, end of period (in millions) $49.2 $38.5 $29.0 $29.2 $18.1
Ratio of expenses to average net
assets (d) 0.92% 1.12% 1.21% 1.36% 1.71%
Ratio of net investment income/(loss)
to average net assets (d) (0.10)% 0.09% (0.03)% (0.31)% (0.58)%
Portfolio turnover rate 8% 30% 16% 15% 31%
If the Adviser had not reimbursed
expenses and the Fund had not received
credits for directed brokerage
transactions or fees paid indirectly
the ratios would have been:
Ratio of expenses to average net
assets (d) 1.23% 1.24% 1.21% 1.36% 1.71%
Ratio of net investment income/(loss)
to average net assets (d) (0.41)% (0.03)% (0.03)% (0.31)% (0.58)%
Mid Cap Index Fund-I
Institutional Class Shares
- -----------------------------------------------------------------------------------------------------------------------------------
Period Year Year Year Year Period
Ended Ended Ended Ended Ended Ended
For a share outstanding throughout each
period (a) 10/31/2004(e) 4/30/2004 4/30/2003 4/30/2002 4/30/2001 4/30/2000(g)
- -----------------------------------------------------------------------------------------------------------------------------------
Net Asset Value, Beginning of Period $11.79 $8.91 $11.23 $10.80 $10.90 $10.00
Income from Investment Operations
Net investment income/(loss) 0.05 0.07 0.08 0.06 0.08 0.03
Net realized and unrealized gain/(loss)
on investments (b) 0.33 2.93 (2.07) 0.60 0.57 0.87
Total from Investment Operations 0.38 3.00 (1.99) 0.66 0.65 0.90
Less Distributions from
Net investment income -- (0.06) (0.08) (0.07) (0.09) --
Net realized gain on investments (0.32) (0.06) (0.25) (0.16) (0.66) --
Total Distributions (0.32) (0.12) (0.33) (0.23) (0.75) --
Net Asset Value, End of Period $11.85 $11.79 $8.91 $11.23 $10.80 $10.90
Total return (c) 3.22% 33.71% (17.68)% 6.23% 6.13% 9.00%
Net assets, end of period (in millions) $17.3 $31.7 $20.8 $24.3 $13.0 $8.9
Ratio of expenses to average net
assets (d) 0.75% 0.54% 0.28% 0.20% 0.20% 0.20%
Ratio of net investment income/(loss)
to average net assets (d) 0.46% 0.68% 0.89% 0.84% 0.90% 1.02%
Portfolio turnover rate 8% 13% 22% 21% 54% 25%
If the Adviser had not reimbursed
expenses and the Fund had not received
credits for directed brokerage
transactions or fees paid indirectly
the ratios would have been:
Ratio of expenses to average net
assets (d) 0.76% 0.55% 0.57% 0.88% 1.31% 1.27%
Ratio of net investment income/(loss)
to average net assets (d) 0.45% 0.67% 0.60% 0.16% (0.21)% (0.05)%
Partner International Stock Fund
Class A Shares
- -----------------------------------------------------------------------------------------------------------------------------------
Year Year Year Year Year
Ended Ended Ended Ended Ended
For a share outstanding throughout each
period (a) 10/31/2004 10/31/2003 10/31/2002 10/31/2001 10/31/2000
- -----------------------------------------------------------------------------------------------------------------------------------
Net Asset Value, Beginning of Period $8.19 $6.84 $8.00 $12.08 $12.25
Income from Investment Operations
Net investment income/(loss) 0.02 (0.02) (0.03) (0.04) (0.08)
Net realized and unrealized gain/(loss)
on investments (b) 0.93 1.37 (1.13) (3.06) 0.29
Total from Investment Operations 0.95 1.35 (1.16) (3.10) 0.21
Less Distributions from
Net investment income (0.04) -- -- -- --
Net realized gain on investments -- -- -- (0.98) (0.38)
Total Distributions (0.04) -- -- (0.98) (0.38)
Net Asset Value, End of Period $9.10 $8.19 $6.84 $8.00 $12.08
Total return (c) 11.65% 19.69% (14.51)% (27.80)% 1.78%
Net assets, end of period (in millions) $243.7 $59.8 $54.6 $72.6 $102.4
Ratio of expenses to average net assets 1.70% 2.46% 2.15% 1.93% 1.84%
Ratio of net investment income/(loss)
to average net assets 0.33% (0.27)% (0.39)% (0.38)% (0.56)%
Portfolio turnover rate 126% 27% 22% 30% 40%
If the Adviser had not reimbursed
expenses and the Fund had not received
credits for directed brokerage
transactions or fees paid indirectly
the ratios would have been:
Ratio of expenses to average net assets 1.70% 2.58% 2.38% 2.13%
Ratio of net investment income/(loss)
to average net assets 0.33% (0.39)% (0.62)% (0.58)%
Partner International Stock Fund
Class B Shares
- -----------------------------------------------------------------------------------------------------------------------------------
Year Year Year Year Year
Ended Ended Ended Ended Ended
For a share outstanding throughout each
period (a) 10/31/2004 10/31/2003 10/31/2002 10/31/2001 10/31/2000
- -----------------------------------------------------------------------------------------------------------------------------------
Net Asset Value, Beginning of Period $8.00 $6.74 $7.94 $12.10 $12.36
Income from Investment Operations
Net investment income/(loss) (0.11) (0.08) (0.05) (0.05) (0.10)
Net realized and unrealized gain/(loss)
on investments (b) 0.97 1.34 (1.15) (3.11) 0.23
Total from Investment Operations 0.86 1.26 (1.20) (3.16) 0.13
Less Distributions from
Net investment income -- -- -- -- --
Net realized gain on investments -- -- -- (1.00) (0.39)
Total Distributions -- -- -- (1.00) (0.39)
Net Asset Value, End of Period $8.86 $8.00 $6.74 $7.94 $12.10
Total return (c) 10.72% 18.81% (15.20)% (28.27)% 0.97%
Net assets, end of period (in millions) $19.5 $10.8 $10.3 $10.8 $12.6
Ratio of expenses to average net assets 2.79% 3.21% 2.90% 2.68% 2.59%
Ratio of net investment income/(loss)
to average net assets (0.76)% (1.01)% (1.14)% (1.13)% (1.31)%
Portfolio turnover rate 126% 27% 22% 30% 40%
If the Adviser had not reimbursed
expenses and the Fund had not received
credits for directed brokerage
transactions or fees paid indirectly
the ratios would have been:
Ratio of expenses to average net assets 2.79% 3.33% 3.23% 2.88%
Ratio of net investment income/(loss)
to average net assets (0.76)% (1.13)% (1.37)% (1.33)%
Partner International Stock Fund
Institutional Class Shares
- -----------------------------------------------------------------------------------------------------------------------------------
Year Year Year Year Year
Ended Ended Ended Ended Ended
For a share outstanding throughout each
period (a) 10/31/2004 10/31/2003 10/31/2002 10/31/2001 10/31/2000
- -----------------------------------------------------------------------------------------------------------------------------------
Net Asset Value, Beginning of Period $8.31 $6.85 $7.95 $11.88 $11.97
Income from Investment Operations
Net investment income/(loss) (0.02) 0.09 0.05 0.06 0.02
Net realized and unrealized gain/(loss)
on investments (b) 1.07 1.37 (1.15) (3.04) 0.26
Total from Investment Operations 1.05 1.46 (1.10) (2.98) 0.28
Less Distributions from
Net investment income (0.13) -- -- -- --
Net realized gain on investments -- -- -- (0.95) (0.37)
Total Distributions (0.13) -- -- (0.95) (0.37)
Net Asset Value, End of Period $9.23 $8.31 $6.85 $7.95 $11.88
Total return (c) 12.69% 21.22% (13.76)% (27.16)% 2.43%
Net assets, end of period (in millions) $13.1 $10.3 $13.2 $15.1 $15.8
Ratio of expenses to average net assets 1.08% 1.24% 1.16% 1.12% 1.22%
Ratio of net investment income/(loss)
to average net assets 0.95% 0.96% 0.60% 0.43% 0.07%
Portfolio turnover rate 126% 27% 22% 30% 40%
If the Adviser had not reimbursed
expenses and the Fund had not received
credits for directed brokerage
transactions or fees paid indirectly
the ratios would have been:
Ratio of expenses to average net assets 1.18% 1.49% 1.39% 1.32%
Ratio of net investment income/(loss)
to average net assets 0.85% 0.71% 0.37% 0.23%
(a) All per share amounts have been rounded to the nearest cent.
(b) The amount shown may not correlate with the change in aggregate gains
and losses of portfolio securities due to the timing of sales and
redemptions of fund shares.
(c) Total investment return assumes dividend reinvestment and does not
reflect any deduction for sales charges. Not annualized for periods
less than one year.
(d) Computed on an annualized basis for periods less than one year.
(e) For the period from May 1, 2004, to October 31, 2004.
(f) Since Fund inception, July 1, 2000.
(g) Since Fund inception, December 31, 1999.
The accompanying notes to the financial statements are an integral part of this schedule.
Thrivent Mutual Funds
Financial Highlights - continued
Large Cap Growth Fund
Class A Shares
- -----------------------------------------------------------------------------------------------------------------------------------
Year Year Year Year Period
Ended Ended Ended Ended Ended
For a share outstanding throughout each
period (a) 10/31/2004 10/31/2003 10/31/2002 10/31/2001 10/31/2000(d)
- -----------------------------------------------------------------------------------------------------------------------------------
Net Asset Value, Beginning of Period $4.30 $3.58 $4.54 $7.44 $6.60
Income from Investment Operations
Net investment income/(loss) 0.06 (0.02) -- (0.03) (0.02)
Net realized and unrealized gain/(loss)
on investments (b) 0.11 0.74 (0.96) (2.87) 0.86
Total from Investment Operations 0.17 0.72 (0.96) (2.90) 0.84
Less Distributions from
Net Investment Income (0.02) -- -- -- --
Net Asset Value, End of Period $4.45 $4.30 $3.58 $4.54 $7.44
Total return (c) 3.90% 20.25% (21.23)% (39.01)% 12.79%
Net assets, end of period (in millions) $83.6 $28.0 $21.6 $24.8 $27.7
Ratio of expenses to average net assets 0.51% 1.40% 1.89% 1.47% 1.30%
Ratio of net investment income/(loss)
to average net assets 0.35% (0.41)% (1.02)% (0.54)% (0.55)%
Portfolio turnover rate 100% 111% 59% 14% 17%
If the Adviser had not reimbursed
expenses and the Fund had not received
credits for directed brokerage
transactions or fees paid indirectly
the ratios would have been:
Ratio of expenses to average net assets 1.68% 2.56% 2.54% 2.11% 1.93%
Ratio of net investment (loss) to
average net assets (0.82)% (1.57)% (1.67)% (1.18)% (1.18)%
Large Cap Growth Fund
Class B Shares
- -----------------------------------------------------------------------------------------------------------------------------------
Year Year Year Year Period
Ended Ended Ended Ended Ended
For a share outstanding throughout each
period (a) 10/31/2004 10/31/2003 10/31/2002 10/31/2001 10/31/2000(d)
- -----------------------------------------------------------------------------------------------------------------------------------
Net Asset Value, Beginning of Period $4.13 $3.46 $4.43 $7.32 $6.54
Income from Investment Operations
Net investment income/(loss) -- (0.04) (0.04) (0.03) (0.06)
Net realized and unrealized gain/(loss)
on investments (b) 0.12 0.71 (0.93) (2.86) 0.84
Total from Investment Operations 0.12 0.67 (0.97) (2.89) 0.78
Less Distributions from
Net Investment Income -- -- -- -- --
Net Asset Value, End of Period $4.25 $4.13 $3.46 $4.43 $7.32
Total return (c) 2.84% 19.34% (21.82)% (39.47)% 11.94%
Net assets, end of period (in millions) $17.7 $10.6 $7.9 $7.3 $6.8
Ratio of expenses to average net assets 1.39% 2.15% 2.64% 2.22% 2.05%
Ratio of net investment income/(loss)
to average net assets (0.53)% (1.16)% (1.77)% (1.29)% (1.30)%
Portfolio turnover rate 100% 111% 59% 14% 17%
If the Adviser had not reimbursed
expenses and the Fund had not received
credits for directed brokerage
transactions or fees paid indirectly
the ratios would have been:
Ratio of expenses to average net assets 2.60% 3.31% 3.29% 2.86% 2.68%
Ratio of net investment (loss) to
average net assets (1.74)% (2.32)% (2.42)% (1.93)% (1.93)%
Large Cap Growth Fund
Institutional Class Shares
- -----------------------------------------------------------------------------------------------------------------------------------
Year Year Year Year Period
Ended Ended Ended Ended Ended
For a share outstanding throughout each
period (a) 10/31/2004 10/31/2003 10/31/2002 10/31/2001 10/31/2000(d)
- -----------------------------------------------------------------------------------------------------------------------------------
Net Asset Value, Beginning of Period $4.51 $3.69 $4.63 $7.51 $6.61
Income from Investment Operations
Net investment income/(loss) 0.08 0.04 (0.01) 0.02 0.02
Net realized and unrealized gain/(loss)
on investments (b) 0.13 0.78 (0.93) (2.90) 0.88
Total from Investment Operations 0.21 0.82 (0.94) (2.88) 0.90
Less Distributions from
Net Investment Income (0.03) -- -- -- --
Net Asset Value, End of Period $4.69 $4.51 $3.69 $4.63 $7.51
Total return (c) 4.65% 22.02% (20.17)% (38.40)% 13.64%
Net assets, end of period (in millions) $8.9 $3.1 $4.6 $3.2 $4.9
Ratio of expenses to average net assets (0.26)% 0.03% 0.62% 0.46% 0.56%
Ratio of net investment income/(loss)
to average net assets 1.12% 0.96% 0.24% 0.47% 0.19%
Portfolio turnover rate 100% 111% 59% 14% 17%
If the Adviser had not reimbursed
expenses and the Fund had not received
credits for directed brokerage
transactions or fees paid indirectly
the ratios would have been:
Ratio of expenses to average net assets 0.90% 1.24% 1.27% 1.10% 1.19%
Ratio of net investment (loss) to
average net assets (0.04)% (0.25)% (0.41)% (0.17)% (0.44)%
Large Cap Value Fund
Class A Shares
- -----------------------------------------------------------------------------------------------------------------------------------
Year Year Year Year Year
Ended Ended Ended Ended Ended
For a share outstanding throughout each
period (a) 10/31/2004 10/31/2003 10/31/2002 10/31/2001 10/31/2000(d)
- -----------------------------------------------------------------------------------------------------------------------------------
Net Asset Value, Beginning of Period $11.79 $10.07 $12.20 $14.89 $13.69
Income from Investment Operations
Net investment income/(loss) 0.20 0.08 0.05 0.06 0.02
Net realized and unrealized gain/(loss)
on investments (b) 1.34 1.69 (2.13) (2.71) 1.18
Total from Investment Operations 1.54 1.77 (2.08) (2.65) 1.20
Less Distributions from
Net Investment Income (0.18) (0.05) (0.05) (0.04) --
Net Asset Value, End of Period $13.15 $11.79 $10.07 $12.20 $14.89
Total return (c) 13.12% 17.72% (17.22)% (17.86)% 8.76%
Net assets, end of period (in millions) $290.0 $28.4 $22.9 $20.6 $15.1
Ratio of expenses to average net assets 0.88% 1.28% 1.37% 1.23% 1.30%
Ratio of net investment income/(loss)
to average net assets 1.05% 0.71% 0.48% 0.44% 0.24%
Portfolio turnover rate 51% 64% 109% 35% 26%
If the Adviser had not reimbursed
expenses and the Fund had not received
credits for directed brokerage
transactions or fees paid indirectly
the ratios would have been:
Ratio of expenses to average net assets 1.09% 2.06% 2.02% 1.85% 2.14%
Ratio of net investment income/(loss)
to average net assets 0.84% (0.07)% (0.17)% (0.18)% (0.60)%
Large Cap Value Fund
Class B Shares
- -----------------------------------------------------------------------------------------------------------------------------------
Year Year Year Year Year
Ended Ended Ended Ended Ended
For a share outstanding throughout each
period (a) 10/31/2004 10/31/2003 10/31/2002 10/31/2001 10/31/2000(d)
- -----------------------------------------------------------------------------------------------------------------------------------
Net Asset Value, Beginning of Period $11.66 $9.98 $12.14 $14.89 $13.80
Income from Investment Operations
Net investment income/(loss) (0.02) (0.01) -- (0.01) (0.05)
Net realized and unrealized gain/(loss)
on investments (b) 1.43 1.69 (2.16) (2.74) 1.14
Total from Investment Operations 1.41 1.68 (2.16) (2.75) 1.09
Less Distributions from
Net Investment Income (0.04) -- -- -- --
Net Asset Value, End of Period $13.03 $11.66 $9.98 $12.14 $14.89
Total return (c) 12.10% 16.78% (17.79)% (18.47)% 7.93%
Net assets, end of period (in millions) $19.3 $9.1 $7.0 $5.3 $3.7
Ratio of expenses to average net assets 1.70% 2.03% 2.12% 1.98% 2.05%
Ratio of net investment income/(loss)
to average net assets 0.13% (0.05)% (0.27)% (0.31)% (0.51)%
Portfolio turnover rate 51% 64% 109% 35% 26%
If the Adviser had not reimbursed
expenses and the Fund had not received
credits for directed brokerage
transactions or fees paid indirectly
the ratios would have been:
Ratio of expenses to average net assets 1.09% 2.81% 2.77% 2.60% 2.89%
Ratio of net investment income/(loss)
to average net assets (0.13)% (0.83)% (0.92)% (0.93)% (1.35)%
Large Cap Value Fund
Institutional Class Shares
- -----------------------------------------------------------------------------------------------------------------------------------
Year Year Year Year Year
Ended Ended Ended Ended Ended
For a share outstanding throughout each
period (a) 10/31/2004 10/31/2003 10/31/2002 10/31/2001 10/31/2000(d)
- -----------------------------------------------------------------------------------------------------------------------------------
Net Asset Value, Beginning of Period $11.92 $10.15 $12.28 $14.93 $13.63
Income from Investment Operations
Net investment income/(loss) 0.34 0.16 0.11 0.15 0.13
Net realized and unrealized gain/(loss)
on investments (b) 1.28 1.74 (2.12) (2.71) 1.17
Total from Investment Operations 1.62 1.90 (2.01) (2.56) 1.30
Less Distributions from
Net Investment Income (0.34) (0.13) (0.12) (0.09) --
Net Asset Value, End of Period $13.20 $11.92 $10.15 $12.28 $14.93
Total return (c) 13.71% 18.99% (16.51)% (17.19)% 9.45%
Net assets, end of period (in millions) $19.8 $3.1 $4.1 $3.4 $3.8
Ratio of expenses to average net assets 0.33% 0.21% 0.50% 0.49% 0.65%
Ratio of net investment income/(loss)
to average net assets 0.80% 1.77% 1.35% 1.18% 0.89%
Portfolio turnover rate 51% 64% 109% 35% 26%
If the Adviser had not reimbursed
expenses and the Fund had not received
credits for directed brokerage
transactions or fees paid indirectly
the ratios would have been:
Ratio of expenses to average net assets 0.30% 1.09% 1.15% 1.11% 1.49%
Ratio of net investment income/(loss)
to average net assets 0.66% 0.89% 0.70% 0.56% 0.05%
(a) All per share amounts have been rounded to the nearest cent.
(b) The amount shown may not correlate with the change in aggregate gains
and losses of portfolio securities due to the timing of sales and
redemptions of fund shares.
(c) Total investment return assumes dividend reinvestment and does not
reflect any deduction for sales charges. Not annualized for periods
less than one year.
(d) Since Fund inception, October 29, 1999.
The accompanying notes to the financial statements are an integral part of this schedule.
Thrivent Mutual Funds
Financial Highlights - continued
Large Cap Stock Fund
Class A Shares
- -----------------------------------------------------------------------------------------------------------------------------------
Period Year Year Year Year Year
Ended Ended Ended Ended Ended Ended
For a share outstanding throughout each
period (a) 10/31/2004(e) 4/30/2004 4/30/2003 4/30/2002 4/30/2001 4/30/2000
- -----------------------------------------------------------------------------------------------------------------------------------
Net Asset Value, Beginning of Period $29.15 $25.39 $29.84 $34.82 $38.67 $35.87
Income from Investment Operations
Net investment income/(loss) 0.04 0.11 0.10 0.05 0.19 0.13
Net realized and unrealized gain/(loss)
on investments (b) 0.21 3.75 (4.48) (4.86) (1.74) 3.19
Total from Investment Operations 0.25 3.86 (4.38) (4.81) (1.55) 3.32
Less Distributions from
Net investment income (0.03) (0.10) (0.07) (0.09) (0.16) (0.09)
Net realized gain on investments (5.44) -- -- (0.08) (2.14) (0.43)
Total Distributions (5.47) (0.10) (0.07) (0.17) (2.30) (0.52)
Net Asset Value, End of Period $23.93 $29.15 $25.39 $29.84 $34.82 $38.67
Total return (c) 1.27% 15.23% (14.66)% (13.86)% (4.19)% 9.28%
Net assets, end of period (in millions) $3,435.1 $2,807.4 $2,598.2 $3,385.5 $3,912.5 $4,115.1
Ratio of expenses to average net
assets (d) 1.02% 1.01% 1.02% 0.95% 0.91% 0.90%
Ratio of net investment income/(loss)
to average net assets (d) 0.41% 0.37% 0.38% 0.16% 0.52% 0.35%
Portfolio turnover rate 43% 22% 5% 3% 13% 8%
If the Adviser had not reimbursed
expenses and the Fund had not received
credits for directed brokerage
transactions or fees paid indirectly
the ratios would have been:
Ratio of expenses to average net
assets (d) 1.01% 1.01% 1.02% 0.95% 0.91% 0.92%
Ratio of net investment income/(loss)
to average net assets (d) 0.41% 0.37% 0.38% 0.16% 0.52% 0.33%
Large Cap Stock Fund
Class B Shares
- -----------------------------------------------------------------------------------------------------------------------------------
Period Year Year Year Year Year
Ended Ended Ended Ended Ended Ended
For a share outstanding throughout each
period (a) 10/31/2004 (e) 4/30/2004 4/30/2003 4/30/2002 4/30/2001 4/30/2000
- -----------------------------------------------------------------------------------------------------------------------------------
Net Asset Value, Beginning of Period $27.55 $24.19 $28.67 $33.71 $37.71 $35.29
Income from Investment Operations
Net investment income/(loss) (0.08) (0.23) (0.28) (0.27) (0.15) (0.22)
Net realized and unrealized gain/(loss)
on investments (b) 0.18 3.59 (4.20) (4.69) (1.71) 3.07
Total from Investment Operations 0.10 3.36 (4.48) (4.96) (1.86) 2.85
Less Distributions from
Net investment income -- -- -- -- -- --
Net realized gain on investments (5.44) -- -- (0.08) (2.14) (0.43)
Total Distributions (5.44) -- -- (0.08) (2.14) (0.43)
Net Asset Value, End of Period $22.21 $27.55 $24.19 $28.67 $33.71 $37.71
Total return (c) 0.72% 13.89% (15.63)% (14.73)% (5.14)% 8.09%
Net assets, end of period (in millions) $122.9 $75.3 $81.2 $126.4 $154.1 $148.6
Ratio of expenses to average net
assets (d) 2.00% 2.17% 2.16% 1.97% 1.88% 1.95%
Ratio of net investment income/(loss)
to average net assets (d) (0.57)% (0.79)% (0.75)% (0.86)% (0.44)% (0.69)%
Portfolio turnover rate 43% 22% 5% 3% 13% 8%
If the Adviser had not reimbursed
expenses and the Fund had not received
credits for directed brokerage
transactions or fees paid indirectly
the ratios would have been:
Ratio of expenses to average net
assets (d) 2.22% 2.17% 2.16% 1.97% 1.88% 1.96%
Ratio of net investment income/(loss)
to average net assets (d) (0.80)% (0.79)% (0.75)% (0.86)% (0.44)% (0.71)%
Large Cap Stock Fund
Institutional Class Shares
- -----------------------------------------------------------------------------------------------------------------------------------
Period Year Year Year Year Year
Ended Ended Ended Ended Ended Ended
For a share outstanding throughout each
period (a) 10/31/2004 (e) 4/30/2004 4/30/2003 4/30/2002 4/30/2001 4/30/2000
- -----------------------------------------------------------------------------------------------------------------------------------
Net Asset Value, Beginning of Period $29.24 $25.46 $29.90 $34.88 $38.72 $35.89
Income from Investment Operations
Net investment income/(loss) 0.07 0.23 0.21 0.18 0.33 0.27
Net realized and unrealized gain/(loss)
on investments (b) 0.24 3.77 (4.47) (4.88) (1.73) 3.20
Total from Investment Operations 0.31 4.00 (4.26) (4.70) (1.40) 3.47
Less Distributions from
Net investment income (0.05) (0.22) (0.18) (0.20) (0.30) (0.21)
Net realized gain on investments (5.44) -- -- (0.08) (2.14) (0.43)
Total Distributions (5.49) (0.22) (0.18) (0.28) (2.44) (0.64)
Net Asset Value, End of Period $24.06 $29.24 $25.46 $29.90 $34.88 $38.72
Total return (c) 1.50% 15.76% (14.24)% (13.53)% (3.82)% 9.70%
Net assets, end of period (in millions) $112.3 $84.9 $68.2 $65.9 $91.8 $82.8
Ratio of expenses to average net
assets (d) 0.57% 0.57% 0.55% 0.55% 0.54% 0.52%
Ratio of net investment income/(loss)
to average net assets (d) 0.65% 0.82% 0.85% 0.56% 0.90% 0.73%
Portfolio turnover rate 43% 22% 5% 3% 13% 8%
If the Adviser had not reimbursed
expenses and the Fund had not received
credits for directed brokerage
transactions or fees paid indirectly
the ratios would have been:
Ratio of expenses to average net
assets (d) 0.78% 0.57% 0.55% 0.55% 0.54% 0.54%
Ratio of net investment income/(loss)
to average net assets (d) 0.65% 0.82% 0.85% 0.56% 0.90% 0.72%
Large Cap Index Fund
Class A Shares
- -----------------------------------------------------------------------------------------------------------------------------------
Period Year Year Year Period
Ended Ended Ended Ended Ended
For a share outstanding throughout each
period (a) 10/31/2004(e) 4/30/2004 4/30/2003 4/30/2002 4/30/2001(f)
- -----------------------------------------------------------------------------------------------------------------------------------
Net Asset Value, Beginning of Period $7.61 $6.30 $7.32 $8.49 $10.00
Income from Investment Operations
Net investment income/(loss) 0.04 0.08 0.05 -- (0.01)
Net realized and unrealized gain/(loss)
on investments (b) 0.16 1.31 (1.05) (1.17) (1.50)
Total from Investment Operations 0.20 1.39 (1.00) (1.17) (1.51)
Less Distributions from
Net investment income (0.03) (0.08) (0.02) -- --
Net Asset Value, End of Period $7.78 $7.61 $6.30 $7.32 $8.49
Total return (c) 2.62% 22.09% (13.58)% (13.78)% (15.10)%
Net assets, end of period (in millions) $76.3 $51.2 $27.8 $30.2 $21.1
Ratio of expenses to average net
assets (d) 0.57% 0.41% 0.93% 1.29% 1.46%
Ratio of net investment income/(loss)
to average net assets (d) 0.64% 1.28% 0.86% 0.08% (0.20)%
Portfolio turnover rate 5% 6% 16% 4% 9%
If the Adviser had not reimbursed
expenses and the Fund had not received
credits for directed brokerage
transactions or fees paid indirectly
the ratios would have been:
Ratio of expenses to average net
assets (d) 1.08% 1.17% 1.18% 1.29% 1.46%
Ratio of net investment income/(loss)
to average net assets (d) 0.13% 0.52% 0.61% 0.08% (0.20)%
Large Cap Index Fund-I
Institutional Class Shares
- -----------------------------------------------------------------------------------------------------------------------------------
Period Year Year Year Year Period
Ended Ended Ended Ended Ended Ended
For a share outstanding throughout each
period (a) 10/31/2004(e) 4/30/2004 4/30/2003 4/30/2002 4/30/2001 4/30/2000(g)
- -----------------------------------------------------------------------------------------------------------------------------------
Net Asset Value, Beginning of Period $7.55 $6.31 $7.38 $8.56 $9.95 $10.00
Income from Investment Operations
Net investment income/(loss) 0.05 0.15 0.08 0.05 0.09 0.02
Net realized and unrealized gain/(loss)
on investments (b) 0.16 1.24 (1.07) (1.18) (1.40) (0.07)
Total from Investment Operations 0.21 1.39 (0.99) (1.13) (1.31) (0.05)
Less Distributions from
Net investment income -- (0.15) (0.08) (0.05) (0.08) --
Net Asset Value, End of Period $7.76 $7.55 $6.31 $7.38 $8.56 $9.95
Total return (c) 2.78% 22.00% (13.36)% (13.22)% (13.18)% (0.50)%
Net assets, end of period (in millions) $29.4 $28.7 $62.1 $63.0 $26.6 $27.6
Ratio of expenses to average net
assets (d) 0.54% 0.54% 0.24% 0.20% 0.20% 0.20%
Ratio of net investment income/(loss)
to average net assets (d) 1.19% 1.21% 1.55% 1.17% 0.97% 1.21%
Portfolio turnover rate 4% 27% 23% 3% 9% 2%
If the Adviser had not reimbursed
expenses and the Fund had not received
credits for directed brokerage
transactions or fees paid indirectly
the ratios would have been:
Ratio of expenses to average net
assets (d) 0.54% 0.55% 0.36% 0.49% 0.69% 0.93%
Ratio of net investment income/(loss)
to average net assets (d) 1.18% 1.20% 1.43% 0.88% 0.49% 0.49%
(a) All per share amounts have been rounded to the nearest cent.
(b) The amount shown may not correlate with the change in aggregate gains
and losses of portfolio securities due to the timing of sales and
redemptions of fund shares.
(c) Total investment return assumes dividend reinvestment and does not
reflect any deduction for sales charges. Not annualized for periods
less than one year.
(d) Computed on an annualized basis for periods less than one year.
(e) For the period from May 1, 2004, to October 31, 2004.
(f) Since Fund inception, July 1, 2000.
(g) Since Fund inception, December 31, 1999.
The accompanying notes to the financial statements are an integral part of this schedule.
Thrivent Mutual Funds
Financial Highlights - continued
Balanced Fund
Class A Shares
- -----------------------------------------------------------------------------------------------------------------------------------
Period Year Year Year Year Year
Ended Ended Ended Ended Ended Ended
For a share outstanding throughout each
period (a) 10/31/2004(f) 4/30/2004 4/30/2003 4/30/2002 4/30/2001 4/30/2000
- -----------------------------------------------------------------------------------------------------------------------------------
Net Asset Value, Beginning of Period $11.65 $10.75 $11.52 $12.41 $12.41 $12.15
Income from Investment Operations
Net investment income 0.09 0.17 0.19 0.26 0.38 0.32
Net realized and unrealized gain/(loss)
on investments (b) 0.17 0.92 (0.76) (0.88) -- 0.25
Total from Investment Operations 0.26 1.09 (0.57) (0.62) 0.38 0.57
Less Distributions from
Net Investment Income (0.10) (0.19) (0.20) (0.27) (0.38) (0.31)
Net Asset Value, End of Period $11.81 $11.65 $10.75 $11.52 $12.41 $12.41
Total return (c) 2.21% 10.22% (4.90)% (5.02)% 3.10% 4.78%
Net assets, end of period (in millions) $278.5 $278.0 $260.8 $305.6 $291.7 $256.1
Ratio of expenses to average net
assets (d) 1.07% 1.06% 1.05% 0.99% 0.98% 1.09%
Ratio of net investment income to
average net assets (d) 1.49% 1.48% 1.77% 2.19% 3.07% 2.76%
Portfolio turnover rate (e) 114% 194% 69% 76% 83% 65%
If the Adviser had not reimbursed
expenses and the Fund had not received
credits for directed brokerage
transactions or fees paid indirectly
the ratios would have been:
Ratio of expenses to average net
assets (d) 1.08% 1.07% 1.07% 1.02% 1.02% 1.14%
Ratio of net investment income to
average net assets (d) 1.48% 1.47% 1.75% 2.16% 3.03% 2.72%
Balanced Fund
Class B Shares
- -----------------------------------------------------------------------------------------------------------------------------------
Period Year Year Year Year Year
Ended Ended Ended Ended Ended Ended
For a share outstanding throughout each
period (a) 10/31/2004(f) 4/30/2004 4/30/2003 4/30/2002 4/30/2001 4/30/2000
- -----------------------------------------------------------------------------------------------------------------------------------
Net Asset Value, Beginning of Period $11.60 $10.70 $11.47 $12.35 $12.35 $12.10
Income from Investment Operations
Net investment income 0.03 0.06 0.11 0.15 0.26 0.21
Net realized and unrealized gain/(loss)
on investments (b) 0.17 0.92 (0.76) (0.87) -- 0.24
Total from Investment Operations 0.20 0.98 (0.65) (0.72) 0.26 0.45
Less Distributions from
Net Investment Income (0.04) (0.08) (0.12) (0.16) (0.26) (0.20)
Net Asset Value, End of Period $11.76 $11.60 $10.70 $11.47 $12.35 $12.35
Total return (c) 1.71% 9.22% (5.68)% (5.83)% 2.13% 3.74%
Net assets, end of period (in millions) $17.6 $18.6 $19.3 $22.3 $21.1 $18.2
Ratio of expenses to average net
assets (d) 2.03% 2.02% 1.84% 1.89% 1.94% 2.03%
Ratio of net investment income to
average net assets (d) 0.53% 0.52% 0.97% 1.29% 2.11% 1.82%
Portfolio turnover rate (e) 114% 194% 60% 76% 83% 65%
If the Adviser had not reimbursed
expenses and the Fund had not received
credits for directed brokerage
transactions or fees paid indirectly
the ratios would have been:
Ratio of expenses to average net
assets (d) 2.04% 2.03% 1.86% 1.92% 1.98% 2.08%
Ratio of net investment income to
average net assets (d) 0.52% 0.51% 0.95% 1.26% 2.07% 1.77%
Balanced Fund
Institutional Class Shares
- -----------------------------------------------------------------------------------------------------------------------------------
Period Year Year Year Year Year
Ended Ended Ended Ended Ended Ended
For a share outstanding throughout each
period (a) 10/31/2004(f) 4/30/2004 4/30/2003 4/30/2002 4/30/2001 4/30/2000
- -----------------------------------------------------------------------------------------------------------------------------------
Net Asset Value, Beginning of Period $11.64 $10.74 $11.51 $12.39 $12.40 $12.13
Income from Investment Operations
Net investment income 0.12 0.22 0.21 0.30 0.42 0.39
Net realized and unrealized gain/(loss)
on investments (b) 0.17 0.93 (0.73) (0.86) -- 0.25
Total from Investment Operations 0.29 1.15 (0.52) (0.56) 0.42 0.64
Less Distributions from
Net Investment Income (0.13) (0.25) (0.25) (0.32) (0.43) (0.37)
Net Asset Value, End of Period $11.80 $11.64 $10.74 $11.51 $12.39 $12.40
Total return (c) 2.47% 10.75% (4.45)% (4.65)% 3.50% 5.33%
Net assets, end of period (in millions) $108.5 $111.2 $107.8 $3.7 $3.4 $3.0
Ratio of expenses to average net
assets (d) 0.60% 0.59% 0.56% 0.58% 0.59% 0.60%
Ratio of net investment income to
average net assets (d) 1.97% 1.96% 2.26% 2.60% 3.46% 3.25%
Portfolio turnover rate (e) 114% 194% 69% 76% 83% 65%
If the Adviser had not reimbursed
expenses and the Fund had not received
credits for directed brokerage
transactions or fees paid indirectly
the ratios would have been:
Ratio of expenses to average net
assets (d) 0.61% 0.60% 0.57% 0.62% 0.63% 0.64%
Ratio of net investment income to
average net assets (d) 1.96% 1.95% 2.25% 2.56% 3.43% 3.20%
High Yield Fund
Class A Shares
- -----------------------------------------------------------------------------------------------------------------------------------
Year Year Year Year Year
Ended Ended Ended Ended Ended
For a share outstanding throughout each
period (a) 10/31/2004 10/31/2003 10/31/2002 10/31/2001 10/31/2000
- -----------------------------------------------------------------------------------------------------------------------------------
Net Asset Value, Beginning of Period $5.07 $4.23 $5.22 $6.72 $7.87
Income from Investment Operations
Net investment income 0.40 0.41 0.53 0.69 0.84
Net realized and unrealized gain/(loss)
on investments (b) 0.16 0.82 (1.00) (1.42) (1.19)
Total from Investment Operations 0.56 1.23 (0.47) (0.73) (0.35)
Less Distributions from
Net Investment Income (0.39) (0.39) (0.52) (0.77) (0.80)
Net Asset Value, End of Period $5.24 $5.07 $4.23 $5.22 $6.72
Total return (c) 11.53% 30.00% (9.91)% (11.49)% (5.21)%
Net assets, end of period (in millions) $603.1 $579.8 $488.8 $607.9 $727.3
Ratio of expenses to average net assets 0.89% 1.02% 1.03% 0.99% 0.87%
Ratio of net investment income to
average net assets 7.80% 8.70% 10.49% 11.62% 10.88%
Portfolio turnover rate (e) 73% 96% 77% 65% 60%
If the Adviser had not reimbursed
expenses and the Fund had not received
credits for directed brokerage
transactions or fees paid indirectly
the ratios would have been:
Ratio of expenses to average net assets 0.89% 1.02% 1.03% 1.00% 0.92%
Ratio of net investment income to
average net assets 7.80% 8.70% 10.49% 11.61% 10.83%
High Yield Fund
Class B Shares
- -----------------------------------------------------------------------------------------------------------------------------------
Year Year Year Year Year
Ended Ended Ended Ended Ended
For a share outstanding throughout each
period (a) 10/31/2004 10/31/2003 10/31/2002 10/31/2001 10/31/2000
- -----------------------------------------------------------------------------------------------------------------------------------
Net Asset Value, Beginning of Period $5.07 $4.23 $5.22 $6.72 $7.86
Income from Investment Operations
Net investment income 0.36 0.37 0.50 0.65 0.78
Net realized and unrealized gain/(loss)
on investments (b) 0.16 0.82 (1.01) (1.43) (1.18)
Total from Investment Operations 0.52 1.19 (0.51) (0.78) (0.40)
Less Distributions from
Net Investment Income (0.35) (0.35) (0.48) (0.72) (0.74)
Net Asset Value, End of Period $5.24 $5.07 $4.23 $5.22 $6.72
Total return (c) 10.66% 29.03% (10.58)% (12.14)% (5.79)%
Net assets, end of period (in millions) $33.1 $36.3 $34.9 $37.8 $39.0
Ratio of expenses to average net assets 1.70% 1.77% 1.78% 1.74% 1.62%
Ratio of net investment income to
average net assets 7.00% 7.95% 9.74% 10.87% 10.13%
Portfolio turnover rate (e) 73% 96% 77% 65% 60%
If the Adviser had not reimbursed
expenses and the Fund had not received
credits for directed brokerage
transactions or fees paid indirectly
the ratios would have been:
Ratio of expenses to average net assets 1.73% 1.77% 1.78% 1.75% 1.67%
Ratio of net investment income to
average net assets 6.96% 7.95% 9.74% 10.86% 10.08%
High Yield Fund
Institutional Class Shares
- -----------------------------------------------------------------------------------------------------------------------------------
Year Year Year Year Year
Ended Ended Ended Ended Ended
For a share outstanding throughout each
period (a) 10/31/2004 10/31/2003 10/31/2002 10/31/2001 10/31/2000
- -----------------------------------------------------------------------------------------------------------------------------------
Net Asset Value, Beginning of Period $5.07 $4.23 $5.22 $6.73 $7.87
Income from Investment Operations
Net investment income 0.42 0.42 0.55 0.72 0.87
Net realized and unrealized gain/(loss)
on investments (b) 0.16 0.83 (1.01) (1.45) (1.19)
Total from Investment Operations 0.58 1.25 (0.46) (0.73) (0.32)
Less Distributions from
Net Investment Income (0.41) (0.41) (0.53) (0.78) (0.82)
Net Asset Value, End of Period $5.24 $5.07 $4.23 $5.22 $6.73
Total return (c) 11.98% 30.57% (9.60)% (11.34)% (4.81)%
Net assets, end of period (in millions) $10.1 $10.8 $10.9 $12.5 $23.3
Ratio of expenses to average net assets 0.49% 0.57% 0.69% 0.67% 0.59%
Ratio of net investment income to
average net assets 8.21% 9.15% 10.83% 11.95% 11.16%
Portfolio turnover rate (e) 73% 96% 77% 65% 60%
If the Adviser had not reimbursed
expenses and the Fund had not received
credits for directed brokerage
transactions or fees paid indirectly
the ratios would have been:
Ratio of expenses to average net assets 0.59% 0.69% 0.69% 0.68% 0.64%
Ratio of net investment income to
average net assets 8.10% 9.03% 10.83% 11.94% 11.11%
(a) All per share amounts have been rounded to the nearest cent.
(b) The amount shown may not correlate with the change in aggregate gains
and losses of portfolio securities due to the timing of sales and
redemptions of fund shares.
(c) Total investment return assumes dividend reinvestment and does not
reflect any deduction for sales charges. Not annualized for periods
less than one year.
(d) Computed on an annualized basis for periods less than one year.
(e) Portfolio turnover rates for the period ended Oct. 31, 2004, excluded
the effect of participation in mortgage dollar roll transactions.
(f) For the period from May 1, 2004, to October 31, 2004.
The accompanying notes to the financial statements are an integral part of this schedule.
Thrivent Mutual Funds
Financial Highlights - continued
Partner High Yield Fund
Class A Shares
- -----------------------------------------------------------------------------------------------------------------------------------
Period Year Year Year Year Year
Ended Ended Ended Ended Ended Ended
For a share outstanding throughout each
period (a) 10/31/2004(e) 4/30/2004 4/30/2003 4/30/2002 4/30/2001 4/30/2000
- -----------------------------------------------------------------------------------------------------------------------------------
Net Asset Value, Beginning of Period $6.54 $6.27 $6.19 $6.76 $7.44 $8.92
Income from Investment Operations
Net investment income 0.22 0.46 0.50 0.54 0.63 0.87
Net realized and unrealized gain/(loss)
on investments (b) 0.18 0.28 0.08 (0.56) (0.68) (1.48)
Total from Investment Operations 0.40 0.74 0.58 (0.02) (0.05) (0.61)
Less Distributions from
Net Investment Income (0.23) (0.47) (0.50) (0.55) (0.63) (0.87)
Net Asset Value, End of Period $6.71 $6.54 $6.27 $6.19 $6.76 $7.44
Total return (c) 6.32% 12.08% 10.59% (0.26)% (0.81)% (7.00)%
Net assets, end of period (in millions) $138.9 $135.1 $117.4 $118.6 $121.0 $134.3
Ratio of expenses to average net
assets (d) 1.07% 1.10% 0.93% 1.00% 1.00% 0.96%
Ratio of net investment income to
average net assets (d) 6.82% 6.98% 8.72% 8.41% 9.06% 10.54%
Portfolio turnover rate 55% 91% 103% 72% 106% 54%
If the Adviser had not reimbursed
expenses and the Fund had not received
credits for fees paid indirectly the
ratios would have been:
Ratio of expenses to average net
assets (d) 1.14% 1.10% 1.03% 1.17% 1.08% 1.12%
Ratio of net investment income to
average net assets (d) 6.75% 6.98% 8.62% 8.24% 8.98% 10.38%
Partner High Yield Fund
Class B Shares
- -----------------------------------------------------------------------------------------------------------------------------------
Period Year Year Year Year Year
Ended Ended Ended Ended Ended Ended
For a share outstanding throughout each
period (a) 10/31/2004(e) 4/30/2004 4/30/2003 4/30/2002 4/30/2001 4/30/2000
- -----------------------------------------------------------------------------------------------------------------------------------
Net Asset Value, Beginning of Period $6.54 $6.27 $6.19 $6.76 $7.44 $8.92
Income from Investment Operations
Net investment income 0.19 0.40 0.45 0.49 0.58 0.81
Net realized and unrealized gain/(loss)
on investments (b) 0.19 0.28 0.08 (0.56) (0.68) (1.48)
Total from Investment Operations 0.38 0.68 0.53 (0.07) (0.10) (0.67)
Less Distributions from
Net Investment Income (0.20) (0.41) (0.45) (0.50) (0.58) (0.81)
Net Asset Value, End of Period $6.72 $6.54 $6.27 $6.19 $6.76 $7.44
Total return (c) 5.95% 11.06% 9.61% (1.02)% (1.53)% (7.65)%
Net assets, end of period (in millions) $5.9 $6.1 $6.0 $8.2 $9.7 $11.6
Ratio of expenses to average net
assets (d) 2.05% 2.01% 1.84% 1.74% 1.73% 1.62%
Ratio of net investment income to
average net assets (d) 5.84% 6.07% 7.81% 7.67% 8.33% 9.88%
Portfolio turnover rate 55% 91% 103% 72% 106% 54%
If the Adviser had not reimbursed
expenses and the Fund had not received
credits for fees paid indirectly the
ratios would have been:
Ratio of expenses to average net
assets (d) 2.11% 2.01% 2.01% 1.93% 1.99% 1.97%
Ratio of net investment income to
average net assets (d) 5.78% 6.07% 7.64% 7.48% 8.08% 9.53%
Partner High Yield Fund
Institutional Class Shares
- -----------------------------------------------------------------------------------------------------------------------------------
Period Year Year Year Year Year
Ended Ended Ended Ended Ended Ended
For a share outstanding throughout each
period (a) 10/31/2004(e) 4/30/2004 4/30/2003 4/30/2002 4/30/2001 4/30/2000
- -----------------------------------------------------------------------------------------------------------------------------------
Net Asset Value, Beginning of Period $6.54 $6.27 $6.19 $6.76 $7.43 $8.91
Income from Investment Operations
Net investment income 0.24 0.48 0.51 0.56 0.65 0.89
Net realized and unrealized gain/(loss)
on investments (b) 0.18 0.29 0.09 (0.57) (0.67) (1.48)
Total from Investment Operations 0.42 0.77 0.60 (0.01) (0.02) (0.59)
Less Distributions from
Net Investment Income (0.25) (0.50) (0.52) (0.56) (0.65) (0.89)
Net Asset Value, End of Period $6.71 $6.54 $6.27 $6.19 $6.76 $7.43
Total return (c) 6.56% 12.56% 10.88% 0.05% (0.34)% (6.67)%
Net assets, end of period (in millions) $4.3 $3.8 $3.3 $2.7 $2.2 $2.0
Ratio of expenses to average net
assets (d) 0.61% 0.67% 0.67% 0.68% 0.67% 0.53%
Ratio of net investment income to
average net assets (d) 7.28% 7.41% 8.98% 8.73% 9.34% 11.00%
Portfolio turnover rate 55% 91% 103% 72% 106% 54%
If the Adviser had not reimbursed
expenses and the Fund had not received
credits for fees paid indirectly the
ratios would have been:
Ratio of expenses to average net
assets (d) 0.68% 0.67% 0.67% 0.68% 0.67% 0.62%
Ratio of net investment income to
average net assets (d) 7.21% 7.41% 8.98% 8.73% 9.34% 10.92%
Municipal Bond Fund
Class A Shares
- -----------------------------------------------------------------------------------------------------------------------------------
Year Year Year Year Year
Ended Ended Ended Ended Ended
For a share outstanding throughout each
period (a) 10/31/2004 10/31/2003 10/31/2002 10/31/2001 10/31/2000
- -----------------------------------------------------------------------------------------------------------------------------------
Net Asset Value, Beginning of Period $11.53 $11.61 $11.58 $10.99 $10.71
Income from Investment Operations
Net investment income 0.50 0.54 0.54 0.55 0.56
Net realized and unrealized gain/(loss)
on investments (b) 0.12 (0.05) 0.01 0.60 0.28
Total from Investment Operations 0.62 0.49 0.55 1.15 0.84
Less Distributions from
Net investment income (0.53) (0.56) (0.52) (0.56) (0.56)
Net realized gain on investments (0.06) (0.01) -- -- --
Total Distributions (0.59) (0.57) (0.52) (0.56) (0.56)
Net Asset Value, End of Period $11.56 $11.53 $11.61 $11.58 $10.99
Total return (c) 5.47% 4.37% 4.91% 10.78% 8.09%
Net assets, end of period (in millions) $1,264.1 $641.7 $645.4 $609.5 $559.4
Ratio of expenses to average net assets 0.73% 0.72% 0.73% 0.72% 0.69%
Ratio of net investment income to
average net assets 4.53% 4.62% 4.69% 4.90% 5.18%
Portfolio turnover rate 12% 6% 13% 5% 12%
If the Adviser had not reimbursed
expenses and the Fund had not received
credits for fees paid indirectly the
ratios would have been:
Ratio of expenses to average net assets 0.73% 0.72% 0.73% 0.73% 0.74%
Ratio of net investment income to
average net assets 4.53% 4.62% 4.69% 4.89% 5.13%
Municipal Bond Fund
Class B Shares
- -----------------------------------------------------------------------------------------------------------------------------------
Year Year Year Year Year
Ended Ended Ended Ended Ended
For a share outstanding throughout each
period (a) 10/31/2004 10/31/2003 10/31/2002 10/31/2001 10/31/2000
- -----------------------------------------------------------------------------------------------------------------------------------
Net Asset Value, Beginning of Period $11.52 $11.61 $11.59 $10.99 $10.70
Income from Investment Operations
Net investment income 0.44 0.45 0.46 0.48 0.48
Net realized and unrealized gain/(loss)
on investments (b) 0.09 (0.06) 0.01 0.60 0.29
Total from Investment Operations 0.53 0.39 0.47 1.08 0.77
Less Distributions from
Net investment income (0.44) (0.47) (0.45) (0.48) (0.48)
Net realized gain on investments (0.06) (0.01) -- -- --
Total Distributions (0.50) (0.48) (0.45) (0.48) (0.48)
Net Asset Value, End of Period $11.55 $11.52 $11.61 $11.59 $10.99
Total return (c) 4.72% 3.48% 4.15% 9.99% 7.44%
Net assets, end of period (in millions) $34.0 $24.2 $22.3 $15.3 $9.7
Ratio of expenses to average net assets 1.46% 1.47% 1.48% 1.47% 1.44%
Ratio of net investment income to
average net assets 3.81% 3.88% 3.94% 4.15% 4.43%
Portfolio turnover rate 12% 6% 13% 5% 12%
If the Adviser had not reimbursed
expenses and the Fund had not received
credits for fees paid indirectly the
ratios would have been:
Ratio of expenses to average net assets 1.51% 1.47% 1.48% 1.48% 1.49%
Ratio of net investment income to
average net assets 3.76% 3.88% 3.94% 4.14% 4.38%
Municipal Bond Fund
Institutional Class Shares
- -----------------------------------------------------------------------------------------------------------------------------------
Year Year Year Year Year
Ended Ended Ended Ended Ended
For a share outstanding throughout each
period (a) 10/31/2004 10/31/2003 10/31/2002 10/31/2001 10/31/2000
- -----------------------------------------------------------------------------------------------------------------------------------
Net Asset Value, Beginning of Period $11.53 $11.61 $11.58 $10.99 $10.69
Income from Investment Operations
Net investment income 0.53 0.58 0.57 0.56 0.58
Net realized and unrealized gain/(loss)
on investments (b) 0.11 (0.05) 0.01 0.61 0.30
Total from Investment Operations 0.64 0.53 0.58 1.17 0.88
Less Distributions from
Net investment income (0.56) (0.60) (0.55) (0.58) (0.58)
Net realized gain on investments (0.06) (0.01) -- -- --
Total Distributions (0.62) (0.61) (0.55) (0.58) (0.58)
Net Asset Value, End of Period $11.55 $11.53 $11.61 $11.58 $10.99
Total return (c) 5.70% 4.67% 5.08% 10.95% 8.42%
Net assets, end of period (in millions) $5.1 $2.6 $3.2 $2.6 $3.2
Ratio of expenses to average net assets 0.44% 0.44% 0.57% 0.56% 0.52%
Ratio of net investment income to
average net assets 4.83% 4.90% 4.85% 5.05% 5.35%
Portfolio turnover rate 12% 6% 13% 5% 12%
If the Adviser had not reimbursed
expenses and the Fund had not received
credits for fees paid indirectly the
ratios would have been:
Ratio of expenses to average net assets 0.52% 0.56% 0.57% 0.57% 0.57%
Ratio of net investment income to
average net assets 4.75% 4.78% 4.85% 5.04% 5.30%
(a) All per share amounts have been rounded to the nearest cent.
(b) The amount shown may not correlate with the change in aggregate gains
and losses of portfolio securities due to the timing of sales and
redemptions of fund shares.
(c) Total investment return assumes dividend reinvestment and does not
reflect any deduction for sales charges. Not annualized for periods
less than one year.
(d) Computed on an annualized basis for periods less than one year.
(e) For the period from May 1, 2004, to October 31, 2004.
The accompanying notes to the financial statements are an integral part of this schedule.
Thrivent Mutual Funds
Financial Highlights - continued
Income Fund
Class A Shares
- -----------------------------------------------------------------------------------------------------------------------------------
Year Year Year Year Year
Ended Ended Ended Ended Ended
For a share outstanding throughout each
period (a) 10/31/2004 10/31/2003 10/31/2002 10/31/2001 10/31/2000
- -----------------------------------------------------------------------------------------------------------------------------------
Net Asset Value, Beginning of Period $8.73 $8.34 $8.71 $8.19 $8.22
Income from Investment Operations
Net investment income 0.35 0.34 0.41 0.48 0.53
Net realized and unrealized gain/(loss)
on investments (b) 0.13 0.40 (0.38) 0.56 (0.05)
Total from Investment Operations 0.48 0.74 0.03 1.04 0.48
Less Distributions from
Net Investment Income (0.35) (0.35) (0.40) (0.52) (0.51)
Net Asset Value, End of Period $8.86 $8.73 $8.34 $8.71 $8.19
Total return (c) 5.64% 9.05% 0.25% 13.25% 6.02%
Net assets, end of period (in millions) $575.2 $608.7 $629.3 $657.3 $611.0
Ratio of expenses to average net assets 0.82% 0.87% 0.84% 0.83% 0.83%
Ratio of net investment income to
average net assets 4.04% 3.88% 4.87% 5.66% 6.41%
Portfolio turnover rate (d) 203% 312% 170% 175% 111%
If the Adviser had not reimbursed
expenses and the Fund had not received
credits for fees paid indirectly the
ratios would have been:
Ratio of expenses to average net assets 0.83% 0.88% 0.89% 0.88% 0.88%
Ratio of net investment income to
average net assets 4.04% 3.87% 4.82% 5.61% 6.36%
Income Fund
Class B Shares
- -----------------------------------------------------------------------------------------------------------------------------------
Year Year Year Year Year
Ended Ended Ended Ended Ended
For a share outstanding throughout each
period (a) 10/31/2004 10/31/2003 10/31/2002 10/31/2001 10/31/2000
- -----------------------------------------------------------------------------------------------------------------------------------
Net Asset Value, Beginning of Period $8.71 $8.32 $8.70 $8.17 $8.20
Income from Investment Operations
Net investment income 0.29 0.27 0.35 0.42 0.46
Net realized and unrealized gain/(loss)
on investments (b) 0.12 0.41 (0.40) 0.57 (0.05)
Total from Investment Operations 0.41 0.68 (0.05) 0.99 0.41
Less Distributions from
Net Investment Income (0.28) (0.29) (0.33) (0.46) (0.44)
Net Asset Value, End of Period $8.84 $8.71 $8.32 $8.70 $8.17
Total return (c) 4.83% 8.25% (0.49)% 12.45% 5.24%
Net assets, end of period (in millions) $25.4 $30.3 $31.7 $25.3 $16.7
Ratio of expenses to average net assets 1.60% 1.62% 1.59% 1.58% 1.58%
Ratio of net investment income to
average net assets 3.25% 3.13% 4.12% 4.91% 5.66%
Portfolio turnover rate (d) 203% 312% 170% 175% 111%
If the Adviser had not reimbursed
expenses and the Fund had not received
credits for fees paid indirectly the
ratios would have been:
Ratio of expenses to average net assets 1.68% 1.63% 1.64% 1.63% 1.63%
Ratio of net investment income to
average net assets 3.17% 3.12% 4.07% 4.86% 5.61%
Income Fund
Institutional Class Shares
- -----------------------------------------------------------------------------------------------------------------------------------
Year Year Year Year Year
Ended Ended Ended Ended Ended
For a share outstanding throughout each
period (a) 10/31/2004 10/31/2003 10/31/2002 10/31/2001 10/31/2000
- -----------------------------------------------------------------------------------------------------------------------------------
Net Asset Value, Beginning of Period $8.75 $8.34 $8.71 $8.19 $8.22
Income from Investment Operations
Net investment income 0.39 0.37 0.44 0.50 0.54
Net realized and unrealized gain/(loss)
on investments (b) 0.10 0.43 (0.39) 0.57 (0.04)
Total from Investment Operations 0.49 0.80 0.05 1.07 0.50
Less Distributions from
Net Investment Income (0.39) (0.39) (0.42) (0.55) (0.53)
Net Asset Value, End of Period $8.85 $8.75 $8.34 $8.71 $8.19
Total return (c) 5.94% 9.49% 0.65% 13.43% 6.33%
Net assets, end of period (in millions) $29.0 $25.2 $40.1 $39.1 $38.3
Ratio of expenses to average net assets 0.43% 0.47% 0.55% 0.56% 0.55%
Ratio of net investment income to
average net assets 4.43% 4.28% 5.15% 5.94% 6.69%
Portfolio turnover rate (d) 203% 312% 170% 175% 111%
If the Adviser had not reimbursed
expenses and the Fund had not received
credits for fees paid indirectly the
ratios would have been:
Ratio of expenses to average net assets 0.54% 0.60% 0.60% 0.61% 0.60%
Ratio of net investment income to
average net assets 4.32% 4.15% 5.10% 5.89% 6.64%
Core Bond Fund
Class A Shares
- -----------------------------------------------------------------------------------------------------------------------------------
Period Year Year Year Year Year
Ended Ended Ended Ended Ended Ended
For a share outstanding throughout each
period (a) 10/31/2004(f) 4/30/2004 4/30/2003 4/30/2002 4/30/2001 4/30/2000
- -----------------------------------------------------------------------------------------------------------------------------------
Net Asset Value, Beginning of Period $10.14 $10.31 $9.82 $9.80 $9.32 $9.92
Income from Investment Operations
Net investment income 0.20 0.40 0.42 0.56 0.61 0.58
Net realized and unrealized gain/(loss)
on investments (b) 0.16 (0.12) 0.52 0.02 0.48 (0.60)
Total from Investment Operations 0.36 0.28 0.94 0.58 1.09 (0.02)
Less Distributions from
Net investment income (0.22) (0.45) (0.45) (0.56) (0.61) (0.58)
Net realized gain on investments (0.01) -- -- -- -- --
Total Distributions (0.23) (0.45) (0.45) (0.56) (0.61) (0.58)
Net Asset Value, End of Period $10.27 $10.14 $10.31 $9.82 $9.80 $9.32
Total return (c) 3.58% 2.74% 9.79% 6.01% 12.08% (0.11)%
Net assets, end of period (in millions) $457.1 $460.5 $526.5 $451.5 $353.5 $321.7
Ratio of expenses to average net
assets (e) 0.92% 0.88% 0.85% 0.81% 0.81% 0.83%
Ratio of net investment income to
average net assets (e) 3.84% 3.86% 4.19% 5.54% 6.38% 6.12%
Portfolio turnover rate (d) 167% 463% 149% 160% 172% 163%
If the Adviser had not reimbursed
expenses and the Fund had not received
credits for fees paid indirectly the
ratios would have been:
Ratio of expenses to average net
assets (e) 0.93% 0.89% 0.86% 0.88% 0.91% 0.91%
Ratio of net investment income to
average net assets (e) 3.83% 3.85% 4.18% 5.47% 6.27% 6.04%
Core Bond Fund
Class B Shares
- -----------------------------------------------------------------------------------------------------------------------------------
Period Year Year Year Year Year
Ended Ended Ended Ended Ended Ended
For a share outstanding throughout each
period (a) 10/31/2004(f) 4/30/2004 4/30/2003 4/30/2002 4/30/2001 4/30/2000
- -----------------------------------------------------------------------------------------------------------------------------------
Net Asset Value, Beginning of Period $10.15 $10.32 $9.82 $9.80 $9.32 $9.92
Income from Investment Operations
Net investment income 0.15 0.30 0.33 0.47 0.52 0.49
Net realized and unrealized gain/(loss)
on investments (b) 0.15 (0.12) 0.53 0.02 0.48 (0.60)
Total from Investment Operations 0.30 0.18 0.86 0.49 1.00 (0.11)
Less Distributions from
Net investment income (0.17) (0.35) (0.36) (0.47) (0.52) (0.49)
Net realized gain on investments (0.01) -- -- -- -- --
Total Distributions (0.18) (0.35) (0.36) (0.47) (0.52) (0.49)
Net Asset Value, End of Period $10.27 $10.15 $10.32 $9.82 $9.80 $9.32
Total return (c) 2.97% 1.75% 8.91% 5.03% 11.04% (1.09)%
Net assets, end of period (in millions) $13.3 $13.4 $13.2 $7.9 $4.6 $3.6
Ratio of expenses to average net
assets (e) 1.91% 1.86% 1.77% 1.73% 1.73% 1.80%
Ratio of net investment income to
average net assets (e) 2.84% 2.89% 3.28% 4.64% 5.45% 5.17%
Portfolio turnover rate (d) 167% 463% 149% 160% 172% 163%
If the Adviser had not reimbursed
expenses and the Fund had not received
credits for fees paid indirectly the
ratios would have been:
Ratio of expenses to average net
assets (e) 1.92% 1.87% 1.78% 1.80% 1.83% 1.88%
Ratio of net investment income to
average net assets (e) 2.83% 2.88% 3.27% 4.57% 5.35% 5.09%
Core Bond Fund
Institutional Class Shares
- -----------------------------------------------------------------------------------------------------------------------------------
Period Year Year Year Year Year
Ended Ended Ended Ended Ended Ended
For a share outstanding throughout each
period (a) 10/31/2004(f) 4/30/2004 4/30/2003 4/30/2002 4/30/2001 4/30/2000
- -----------------------------------------------------------------------------------------------------------------------------------
Net Asset Value, Beginning of Period $10.15 $10.31 $9.82 $9.80 $9.32 $9.92
Income from Investment Operations
Net investment income 0.22 0.44 0.46 0.60 0.66 0.62
Net realized and unrealized gain/(loss)
on investments (b) 0.15 (0.11) 0.52 0.02 0.48 (0.60)
Total from Investment Operations 0.37 0.33 0.98 0.62 1.14 0.02
Less Distributions from
Net investment income (0.24) (0.49) (0.49) (0.60) (0.66) (0.62)
Net realized gain on investments (0.01) -- -- -- -- --
Total Distributions (0.25) (0.49) (0.49) (0.60) (0.66) (0.62)
Net Asset Value, End of Period $10.27 $10.15 $10.31 $9.82 $9.80 $9.32
Total return (c) 3.69% 3.25% 10.20% 6.42% 12.55% 0.30%
Net assets, end of period (in millions) $36.3 $34.5 $29.2 $22.9 $55.6 $47.9
Ratio of expenses to average net
assets (e) 0.50% 0.49% 0.47% 0.39% 0.39% 0.43%
Ratio of net investment income to
average net assets (e) 4.25% 4.26% 4.57% 5.93% 6.79% 6.55%
Portfolio turnover rate (d) 167% 463% 149% 160% 172% 163%
If the Adviser had not reimbursed
expenses and the Fund had not received
credits for fees paid indirectly the
ratios would have been:
Ratio of expenses to average net
assets (e) 0.51% 0.50% 0.48% 0.46% 0.49% 0.50%
Ratio of net investment income to
average net assets (e) 4.24% 4.25% 4.56% 5.86% 6.69% 6.47%
(a) All per share amounts have been rounded to the nearest cent.
(b) The amount shown may not correlate with the change in aggregate gains
and losses of portfolio securities due to the timing of sales and
redemptions of fund shares.
(c) Total investment return assumes dividend reinvestment and does not
reflect any deduction for sales charges. Not annualized for periods
less than one year.
(d) Portfolio turnover rates for the period ended Oct. 31, 2004, excluded
the effect of participation in mortgage dollar roll transactions.
(e) Computed on an annualized basis for periods less than one year.
(f) For the period from May 1, 2004, to October 31, 2004.
The accompanying notes to the financial statements are an integral part of this schedule.
Thrivent Mutual Funds
Financial Highlights - continued
Bond Index Fund-I
Institutional Shares
- -----------------------------------------------------------------------------------------------------------------------------------
Period Year Year Year Year Period
Ended Ended Ended Ended Ended Ended
For a share outstanding throughout each
period (a) 10/31/2004(f) 4/30/2004 4/30/2003 4/30/2002 4/30/2001 4/30/2000(g)
- -----------------------------------------------------------------------------------------------------------------------------------
Net Asset Value, Beginning of Period $10.10 $10.96 $10.48 $10.47 $9.95 $10.00
Income from Investment Operations
Net investment income 0.20 0.39 0.50 0.59 0.69 0.22
Net realized and unrealized gain/(loss)
on investments (b) 0.18 (0.25) 0.56 0.16 0.52 (0.05)
Total from Investment Operations 0.38 0.14 1.06 0.75 1.21 0.17
Less Distributions from
Net investment income (0.23) (0.50) (0.58) (0.64) (0.69) (0.22)
Net realized gain on investments (0.01) (0.50) -- (0.10) -- --
Total Distributions (0.24) (1.00) (0.58) (0.74) (0.69) (0.22)
Net Asset Value, End of Period $10.24 $10.10 $10.96 $10.48 $10.47 $9.95
Total return (c) 3.89% 1.31% 10.35% 7.36% 12.50% 1.72%
Net assets, end of period (in millions) $27.5 $40.7 $81.0 $58.9 $18.6 $11.1
Ratio of expenses to average net
assets (d) 0.54% 0.43% 0.23% 0.20% 0.20% 0.20%
Ratio of net investment income to
average net assets (d) 3.97% 3.75% 4.65% 5.47% 6.66% 6.85%
Portfolio turnover rate (e) 184% 305% 90% 92% 51% 52%
If the Adviser had not reimbursed
expenses and the Fund had not received
credits for fees paid indirectly the
ratios would have been:
Ratio of expenses to average net
assets (d) 0.55% 0.44% 0.31% 0.53% 0.98% 1.04%
Ratio of net investment income to
average net assets (d) 3.96% 3.74% 4.57% 5.14% 5.88% 6.02%
Limited Maturity Bond Fund
Class A Shares
- -----------------------------------------------------------------------------------------------------------------------------------
Year Year Year Year Period
Ended Ended Ended Ended Ended
For a share outstanding throughout each
period (a) 10/31/2004 10/31/2003 10/31/2002 10/31/2001 10/31/2000(h)
- -----------------------------------------------------------------------------------------------------------------------------------
Net Asset Value, Beginning of Period $13.06 $12.75 $13.14 $12.41 $12.50
Income from Investment Operations
Net investment income 0.35 0.36 0.46 0.65 0.72
Net realized and unrealized gain/(loss)
on investments (b) (0.03) 0.31 (0.14) 0.78 (0.09)
Total from Investment Operations 0.32 0.67 0.32 1.43 0.63
Less Distributions from
Net investment income (0.35) (0.36) (0.46) (0.65) (0.72)
Net realized gain on investments (0.12) -- (0.25) (0.05) --
Total Distributions (0.47) (0.36) (0.71) (0.70) (0.72)
Net Asset Value, End of Period $12.91 $13.06 $12.75 $13.14 $12.41
Total return (c) 2.52% 5.30% 2.51% 11.89% 5.20%
Net assets, end of period (in millions) $119.4 $90.4 $73.9 $39.1 $16.6
Ratio of expenses to average net
assets (d) 0.75% 0.74% 0.75% 0.81% 0.95%
Ratio of net investment income to
average net assets (d) 2.71% 2.78% 3.56% 5.02% 5.84%
Portfolio turnover rate (e) 230% 297% 288% 290% 229%
If the Adviser had not reimbursed
expenses and the Fund had not received
credits for fees paid indirectly the
ratios would have been:
Ratio of expenses to average net
assets (d) 0.89% 0.96% 1.05% 1.08% 1.10%
Ratio of net investment income to
average net assets (d) 2.57% 2.56% 3.26% 4.75% 5.69%
Limited Maturity Bond Fund
Class B Shares
- -----------------------------------------------------------------------------------------------------------------------------------
Year Year Year Year Year
Ended Ended Ended Ended Ended
For a share outstanding throughout each
period (a) 10/31/2004 10/31/2003 10/31/2002 10/31/2001 10/31/2000(h)
- -----------------------------------------------------------------------------------------------------------------------------------
Net Asset Value, Beginning of Period $13.06 $12.75 $13.14 $12.41 $12.50
Income from Investment Operations
Net investment income 0.33 0.34 0.46 0.65 0.72
Net realized and unrealized gain/(loss)
on investments (b) (0.02) 0.31 (0.14) 0.78 (0.09)
Total from Investment Operations 0.31 0.65 0.32 1.43 0.63
Less Distributions from
Net investment income (0.33) (0.34) (0.46) (0.65) (0.72)
Net realized gain on investments (0.12) -- (0.25) (0.05) --
Total Distributions (0.45) (0.34) (0.71) (0.70) (0.72)
Net Asset Value, End of Period $12.92 $13.06 $12.75 $13.14 $12.41
Total return (c) 2.45% 5.14% 2.51% 11.89% 5.20%
Net assets, end of period (in millions) $2.1 $6.2 $5.8 $5.4 $5.0
Ratio of expenses to average net
assets (d) 0.88% 0.91% 0.75% 0.81% 0.95%
Ratio of net investment income to
average net assets (d) 2.59% 2.61% 3.56% 5.02% 5.84%
Portfolio turnover rate (e) 230% 297% 288% 290% 229%
If the Adviser had not reimbursed
expenses and the Fund had not received
credits for fees paid indirectly the
ratios would have been:
Ratio of expenses to average net
assets (d) 0.88% 0.96% 1.05% 1.08% 1.10%
Ratio of net investment income to
average net assets (d) 2.59% 2.56% 3.26% 4.75% 5.69%
Limited Maturity Bond Fund
Institutional Class Shares
- -----------------------------------------------------------------------------------------------------------------------------------
Year Year Year Year Year
Ended Ended Ended Ended Ended
For a share outstanding throughout each
period (a) 10/31/2004 10/31/2003 10/31/2002 10/31/2001 10/31/2000(h)
- -----------------------------------------------------------------------------------------------------------------------------------
Net Asset Value, Beginning of Period $13.05 $12.74 $13.14 $12.41 $12.50
Income from Investment Operations
Net investment income 0.39 0.40 0.50 0.69 0.74
Net realized and unrealized gain/(loss)
on investments (b) (0.02) 0.31 (0.15) 0.78 (0.09)
Total from Investment Operations 0.37 0.71 0.35 1.47 0.65
Less Distributions from
Net investment income (0.39) (0.40) (0.50) (0.69) (0.74)
Net realized gain on investments (0.12) -- (0.25) (0.05) --
Total Distributions (0.51) (0.40) (0.75) (0.74) (0.74)
Net Asset Value, End of Period $12.91 $13.05 $12.74 $13.14 $12.41
Total return (c) 2.90% 5.62% 2.77% 12.22% 5.43%
Net assets, end of period (in millions) $9.8 $14.7 $14.0 $11.5 $10.6
Ratio of expenses to average net
assets (d) 0.45% 0.46% 0.42% 0.51% 0.73%
Ratio of net investment income to
average net assets (d) 3.01% 3.07% 3.89% 5.32% 6.06%
Portfolio turnover rate (e) 230% 297% 288% 290% 229%
If the Adviser had not reimbursed
expenses and the Fund had not received
credits for fees paid indirectly the
ratios would have been:
Ratio of expenses to average net
assets (d) 0.57% 0.64% 0.72% 0.78% 0.88%
Ratio of net investment income to
average net assets (d) 2.89% 2.89% 3.59% 5.05% 5.91%
(a) All per share amounts have been rounded to the nearest cent.
(b) The amount shown may not correlate with the change in aggregate gains
and losses of portfolio securities due to the timing of sales and
redemptions of fund shares.
(c) Total investment return assumes dividend reinvestment and does not
reflect any deduction for sales charges. Not annualized for periods
less than one year.
(d) Computed on an annualized basis for periods less than one year.
(e) Portfolio turnover rates for the year ended April 30, 2003, excluded
the effect of participation in mortgage dollar roll transactions.
(f) For the period from May 1, 2004, to October 31, 2004.
(g) Since Fund inception, December 31, 1999.
(h) Since Fund inception, October 29, 1999.
The accompanying notes to the financial statements are an integral part of this schedule.
Thrivent Mutual Funds
Financial Highlights - continued
Money Market Fund
Class A Shares
- -----------------------------------------------------------------------------------------------------------------------------------
Period Year Year Year Year Year
Ended Ended Ended Ended Ended Ended
For a share outstanding throughout each
period (a) 10/31/2004(d) 4/30/2004 4/30/2003 4/30/2002 4/30/2001 4/30/2000
- -----------------------------------------------------------------------------------------------------------------------------------
Net Asset Value, Beginning of Period $1.00 $1.00 $1.00 $1.00 $1.00 $1.00
Income from Investment Operations:
Net investment income/(loss) (0.001) 0.003 0.01 0.02 0.05 0.05
Net realized gain on investments 0.004 -- -- -- -- --
Total from Investment Operations 0.003 0.003 0.01 0.02 0.05 0.05
Less Distributions from:
Net Investment Income (0.003) (0.003) (0.01) (0.02) (0.05) (0.05)
Net Asset Value, End of Period $1.00 $1.00 $1.00 $1.00 $1.00 $1.00
Total return (b) 0.26% 0.32% 0.88% 2.28% 5.70% 4.99%
Net assets, end of period (in millions) $686.8 $262.2 $349.6 $399.8 $423.9 $348.0
Ratio of expenses to average net
assets (c) 0.90% 0.83% 0.77% 0.72% 0.76% 0.66%
Ratio of net investment income to
average net assets (c) 0.61% 0.32% 0.89% 2.19% 5.51% 4.90%
Portfolio turnover rate N/A N/A N/A N/A N/A N/A
If the Adviser had not reimbursed
expenses and the Fund had not received
credits for fees paid indirectly the
ratios would have been:
Ratio of expenses to average net
assets (c) 1.00% 0.93% 0.92% 0.90% 0.99% 1.02%
Ratio of net investment income/(loss)
to average net assets (c) 0.51% 0.22% 0.74% 2.01% 5.28% 4.54%
Money Market Fund
Class B Shares
- -----------------------------------------------------------------------------------------------------------------------------------
Period Year Year Year Year Year
Ended Ended Ended Ended Ended Ended
For a share outstanding throughout each
period (a) 10/31/2004(d) 4/30/2004 4/30/2003 4/30/2002 4/30/2001 4/30/2000
- -----------------------------------------------------------------------------------------------------------------------------------
Net Asset Value, Beginning of Period $1.00 $1.00 $1.00 $1.00 $1.00 $1.00
Income from Investment Operations:
Net investment income/(loss) 0.002 0.001 0.003 0.01 0.04 0.04
Net realized gain on investments -- -- -- -- -- --
Total from Investment Operations 0.002 0.001 0.003 0.01 0.04 0.04
Less Distributions from:
Net Investment Income (0.002) (0.001) (0.003) (0.01) (0.04) (0.04)
Net Asset Value, End of Period $1.00 $1.00 $1.00 $1.00 $1.00 $1.00
Total return (b) 0.18% 0.07% 0.42% 1.34% 4.67% 3.94%
Net assets, end of period (in millions) $2.9 $1.8 $2.8 $2.8 $3.3 $2.4
Ratio of expenses to average net
assets (c) 1.04% 1.08% 1.38% 1.52% 1.81% 1.65%
Ratio of net investment income to
average net assets (c) 0.47% 0.07% 0.27% 1.39% 4.45% 3.95%
Portfolio turnover rate N/A N/A N/A N/A N/A N/A
If the Adviser had not reimbursed
expenses and the Fund had not received
credits for fees paid indirectly the
ratios would have been:
Ratio of expenses to average net
assets (c) 1.95% 1.84% 1.62% 1.70% 2.04% 2.00%
Ratio of net investment income/(loss)
to average net assets (c) (0.44)% (0.69)% 0.03% 1.21% 4.22% 3.59%
Money Market Fund
Institutional Class Shares
- -----------------------------------------------------------------------------------------------------------------------------------
Period Year Year Year Year Year
Ended Ended Ended Ended Ended Ended
For a share outstanding throughout each
period (a) 10/31/2004(d) 4/30/2004 4/30/2003 4/30/2002 4/30/2001 4/30/2000
- -----------------------------------------------------------------------------------------------------------------------------------
Net Asset Value, Beginning of Period $1.00 $1.00 $1.00 $1.00 $1.00 $1.00
Income from Investment Operations:
Net investment income/(loss) 0.005 0.01 0.01 0.03 0.06 0.05
Net realized gain on investments -- -- -- -- -- --
Total from Investment Operations 0.005 0.01 0.01 0.03 0.06 0.05
Less Distributions from:
Net Investment Income (0.005) (0.01) (0.01) (0.03) (0.06) (0.05)
Net Asset Value, End of Period $1.00 $1.00 $1.00 $1.00 $1.00 $1.00
Total return (b) 0.47% 0.59% 1.17% 2.54% 6.07% 5.36%
Net assets, end of period (in millions) $245.7 $114.6 $91.4 $117.8 $25.3 $12.8
Ratio of expenses to average net
assets (c) 0.47% 0.56% 0.48% 0.46% 0.43% 0.31%
Ratio of net investment income to
average net assets (c) 1.05% 0.59% 1.18% 2.45% 5.86% 5.18%
Portfolio turnover rate N/A N/A N/A N/A N/A N/A
If the Adviser had not reimbursed
expenses and the Fund had not received
credits for fees paid indirectly the
ratios would have been:
Ratio of expenses to average net
assets (c) 0.54% 0.56% 0.53% 0.54% 0.56% 0.57%
Ratio of net investment income/(loss)
to average net assets (c) 0.98% 0.59% 1.13% 2.37% 5.73% 4.92%
(a) All per share amounts have been rounded to the nearest cent.
(b) Total investment return assumes dividend reinvestment and does not
reflect any deduction for sales charges. Not annualized for periods
less than one year.
(c) Computed on an annualized basis for periods less than one year.
(d) For the period from May 1, 2004, to October 31, 2004.
The accompanying notes to the financial statements are an integral part of this schedule.
Additional Information (unaudited)
Shareholder Notification of Federal Tax Information
The following information is provided solely to satisfy the
requirements set forth by the Internal Revenue Code. Shareholders
will be provided information regarding their distributions in January
2005.
The Funds designate the following percentages of dividends declared
from net investment income as dividends qualifying for the 70%
dividends received deduction for corporations or as qualified dividend
income for individuals under the Jobs and Growth Tax Relief
Reconciliation Act of 2003 for the tax period ending October 31, 2004:
Dividends Qualified
Received Dividend
Deduction for Income for
Fund Corporations Individuals
- ------------------------------------------------------------------
Partner Small Cap Value 89% 92%
Small Cap Stock 13% 13%
Mid Cap Index 100% 100%
Mid Cap Index - I 76% 76%
Partner International Stock 0% 100%
Large Cap Value 100% 100%
Large Cap Stock 100% 100%
Large Cap Index 100% 100%
Balanced 43% 43%
High Yield 1% 1%
The Municipal Bond Fund designates 99.31% of the dividends declared
from net investment income as exempt from federal income tax for the
tax period ended October 31, 2004.
The Funds designate the following amounts as distributions of
long-term capital gains: Partner Small Cap Value Fund, $1,354,118;
Small Cap Stock Fund, $11,407,705; Small Cap Index Fund, $1,238,820;
Mid Cap Index Fund-I, $394,912; Large Cap Stock Fund, $540,381,430;
Core Bond Fund, $493,715; and Limited Maturity Bond Fund, $377,166.
These amounts may include earnings and profits distributed to
shareholders on the redemption of shares as part of the dividend paid
deduction.
Proxy Voting
The policies and procedures that the Trust uses to determine how to
vote proxies relating to portfolio securities are attached to the
Trust's Statement of Additional Information. You may request a free
copy of the Statement of Additional Information or the report of how
the Trust voted proxies relating to portfolio securities during the
most recent 12-month period ended June 30 by calling 800-947-4836. You
also may review the Statement of Additional Information or the report
of how the Trust voted proxies relating to portfolio securities during
the most recent 12-month period ended June 30 at the Thrivent
Financial web site (www.thrivent.com) or the SEC web site
(www.sec.gov).
Quarterly Schedule of Portfolio Holdings
The Trust files its Schedule of Portfolio Holdings on Form N-Q with
the SEC for the first and third quarters of each fiscal year. You may
request a free copy of the Trust's Forms N-Q by calling
1-800-947-4836. The Trust's Forms N-Q also are available on the
Thrivent Financial web site (www.thrivent.com) or the SEC web site
(www.sec.gov). You also may review and copy the Forms N-Q for the
Trust at the SEC's Public Reference Room in Washington, DC. You may
get information about the operation of the Public Reference Room by
calling 1-800-SEC-0330.
Board of Trustees and Officers
The following table provides information about the Trustees and
officers of the Trust. Each Trustee oversees each of 24 series of the
Trust and also serves as:
(bullet) Director of Thrivent Series Fund, Inc., a registered
investment company consisting of 26 Portfolios that serve as
underlying funds for variable contracts issued by Thrivent Financial
for Lutherans ("Thrivent Financial") and Thrivent Life Insurance
Company ("TLIC") and investment options in the retirement plan offered
by Thrivent Financial.
(bullet) Trustee of Thrivent Financial Securities Lending Trust, a
registered investment company consisting of one Portfolio that serves
as a cash collateral fund for a securities lending program sponsored
by Thrivent Financial.
The 24 series of the Trust, 26 Portfolios of Thrivent Series Fund,
Inc., and Thrivent Financial Securities Lending Trust are referred to
herein as the "Investment Company Complex."
The Statement of Information includes additional information about the
Trustees and is available, without charge, by calling 1-800-847-4836.
Interested Trustees1
Number of
Position Portfolios in Principal
with Trust Fund Complex Occupation(s) Other
Name, Address, and Length Overseen During the Directorships
and Age of Service2 by Trustee Past 5 Years Held by Trustee
- ---------------------------------------------------------------------------------------------------------------------------
Pamela J. Moret President since 2002 51 Executive Vice President, Director, Lutheran World
625 Fourth Avenue South Trustee since 2004 Marketing and Products, Relief; Director, Minnesota
Minneapolis, MN Thrivent Financial since Public Radio
Age 48 2002; Senior Vice
President, Products,
American Express
Financial Advisors from
2000 to 2001; Vice
President, Variable Assets,
American Express
Financial Advisors
from 1996 to 2000
Independent Trustees3
Number of
Position Portfolios in Principal
with Trust Fund Complex Occupation(s) Other
Name, Address, and Length Overseen During the Directorships
and Age of Service2 by Trustee Past 5 Years Held by Trustee
- ---------------------------------------------------------------------------------------------------------------------------
F. Gregory Campbell Trustee since 1992 51 President, Carthage Director, National
625 Fourth Avenue South College Association of Independent
Minneapolis, MN Colleges and Universities,
Age 65 Director, Johnson Family
Funds, Inc., an investment
company consisting of four
portfolios; Director,
Kenosha Hospital and
Medical Center Board;
Prairie School Board; United
Health Systems Board
Herbert F. Eggerding, Jr. Lead Trustee 51 Management consultant None
625 Fourth Avenue South since 2003 to several privately
Minneapolis, MN owned companies
Age 67
Noel K. Estenson Trustee since 2004 51 Retired; previously None
625 Fourth Avenue South President and Chief
Minneapolis, MN Executive Officer, Cenex
Age 65 HarvestStates (farm supply
and marketing and
food business)
Richard L. Gady Trustee since 1987 51 Retired; previously Vice Director, International
625 Fourth Avenue South President, Public Agricultural Marketing
Minneapolis, MN Affairs and Chief Association
Age 61 Economist, Conagra,
Inc. (agribusiness)
Connie M. Levi Trustee since 2004 51 Retired Director, Norstan, Inc.
625 Fourth Avenue South
Minneapolis, MN
Age 65
Edward W. Smeds Chairman and Trustee 51 Retired Chairman of Carthage
625 Fourth Avenue South since 1999 College Board Minneapolis, MN
Age 68
Executive Officers
Position with
Trust and
Name, Address, and Age Length of Service2 Principal Occupation(s) During the Past 5 Years
- ---------------------------------------------------------------------------------------------------------------------------
Pamela J. Moret President since 2002 Executive Vice President, Marketing and Products, Thrivent
625 Fourth Avenue South Financial since 2002; Senior Vice President, Products,
Minneapolis, MN American Express Financial Advisors from 2000 to 2001; Vice
Age 48 President, Variable Assets, American Express Financial Advisors
from 1996 to 2000
James E. Nelson Secretary since 2003 Vice President, Securities Law, Thrivent Financial since 2001;
625 Fourth Avenue South Counsel and head of Insurance Practice Group, Law Division
Minneapolis, MN of ING ReliaStar (formerly ReliaStar Financial Corp.) from
Age 44 1998 to 2001
Katie S. Kloster Vice President and Chief Vice President and Rule 38a-1 Chief Compliance Officer,
625 Fourth Avenue South Compliance Officer since 2004; previously Vice President and Comptroller of
Minneapolis, MN since 2004 Thrivent Financial.
Age 39
Russell W. Swansen Vice President since 2004 Chief Investment Officer, Thrivent Financial, since 2004;
625 Fourth Avenue South Managing Director, Colonade Advisors, LLC, from 2001 to
Minneapolis, MN 2003, President and Chief Investment Officer of PPM
Age 47 American from 1999 to 2000
Nikki L. Sorum Vice President since 2004 Senior Vice President, Business Development,
625 Fourth Avenue South Thrivent Financial Minneapolis, MN
Age 43
Frederick P. Johnson Vice President since 2003 Vice President, Investment Operations, Thrivent Financial
625 Fourth Avenue South
Minneapolis, MN
Age 42
Marnie L. Loomans-Thuecks Vice President since 2004 Vice President, Customer Interaction Department,
4321 North Ballard Road Thrivent Financial
Appleton, WI
Age 41
Thomas R Mischka Vice President and Vice President of Divisional Support Services,
4321 North Ballard Road Anti-Money Laundering Thrivent Financial
Appleton, WI Officer since 2003
Age 45
Sandra A. Diedrick Assistant Vice President Director, of Interaction Center, Thrivent Financial
4321 North Ballard Road and Assistant Secretary
Appleton, WI since 2004
Age 44
Kenneth L. Kirchner Assistant Vice President Director, Transfer Agency Operations, Thrivent Financial
4321 North Ballard Road and Assistant Secretary
Appleton, WI since 2004
Age 38
David R. Spangler Assistant Vice President Director, of Investment Product Management, Thrivent
625 Fourth Avenue South since 2004 Financial since 2002; Vice President- Product Development,
Minneapolis, MN Wells Fargo Bank-Funds Management Group, from 2000 to
Age 37 2002; Analyst, MCSI, Inc., 2000; Vice President-Product Development,
US Bank-First American Funds, 1997 to 2000
John C. Bjork Assistant Secretary Senior Counsel, Thrivent Financial
625 Fourth Avenue South since 2003
Minneapolis, MN
Age 51
Marlene J. Nogle Assistant Secretary Senior Counsel, Thrivent Financial
625 Fourth Avenue South since 2003
Minneapolis, MN
Age 57
Todd J. Kelly Assistant Treasurer Director, Fund Accounting Operations, Thrivent Financial
4321 North Ballard Road since 1999
Appleton, WI
Age 35
Gerard V. Vaillancourt Assistant Treasurer Director, Fund Accounting Administration, Thrivent Financial
625 Fourth Avenue South since 2002 since 2002; Manager-Portfolio Compliance, Lutheran
Minneapolis, MN Brotherhood from 2001 to 2002; Manager-Fund Accounting,
Age 37 Minnesota Life from 2000 to 2001; Supervisor-Securities
Accounting, Lutheran Brotherhood from 1998 to 2000
1 "Interested person" of the Trust as defined in the Investment
Company Act of 1940 by virtue of positions with Thrivent Financial.
Ms. Moret is considered an interested person because of her principal
occupation with Thrivent Financial.
2 Each Trustee serves an indefinite term until her or his successor
is duly elected and qualified. The bylaws of the Trust provide that
each Trustee must retire at the end of the year in which the Trustee
attains age 70. Officers serve at the discretion of the board until
their successors are duly appointed and qualified.
3 The Trustees other than Ms. Moret are not "interested persons" of
the Trust and are referred to as "Independent Trustees."
Results of Shareholder Meeting
Special meetings of the shareholders of each of Lutheran Brotherhood
Opportunity Growth Fund, Lutheran Brotherhood Mid Cap Growth Fund,
Lutheran Brotherhood World Growth Fund, Lutheran Brotherhood Growth
Fund, Lutheran Brotherhood Fund, Lutheran Brotherhood Value Fund,
Lutheran Brotherhood High Yield Fund, Lutheran Brotherhood Income
Fund, Lutheran Brotherhood Municipal Bond Fund, Lutheran Brotherhood
Limited Maturity Bond Fund, and Lutheran Brotherhood Money Market Fund
(each, a "Fund," and collectively, the "Funds"), each a series of The
Lutheran Brotherhood Family of Funds (the "Trust") were held on June
16, 2004. The matters voted upon at the meetings and the shares cast
for, against, or to abstain are set forth as follows:
A. The proposed agreement and plan of reorganization with respect to
the Lutheran Brotherhood World Growth Fund, Lutheran Brotherhood
Growth Fund, Lutheran Brotherhood Fund, Lutheran Brotherhood Value
Fund, Lutheran Brotherhood Municipal Bond Fund, and Lutheran
Brotherhood Money Market Fund (each a "Merging LB Fund") whereby (a)
all of the assets of each Merging LB Fund would be transferred to a
corresponding existing series of The AAL Mutual Funds (each an
"Existing AAL Fund"), in exchange for shares of the corresponding
class of the Existing AAL Fund's shares of equal value; (b) the stated
accrued and unpaid liabilities of the Merging LB Fund would be assumed
by the Existing AAL Fund; (c) the Merging LB Fund would distribute
pro rata to its shareholders, in complete liquidation, the shares of
the corresponding Existing AAL Fund received in exchange for its net
assets; and (d) the Merging LB Fund would cease to exist.
Lutheran Brotherhood
World Growth Fund For: 5,021,527.624 Against: 111,998.492 Abstain: 194,112.125
Lutheran Brotherhood
Growth Fund For: 2,443,279.877 Against: 26,477.294 Abstain: 99,050.340
Lutheran Brotherhood Fund For: 22,160,928.769 Against: 598,718.529 Abstain: 1,004,409.736
Lutheran Brotherhood
Value Fund For: 1,827,919.788 Against: 26,501.298 Abstain: 57,574.000
Lutheran Brotherhood
Municipal Bond Fund For: 43,569,984.200 Against: 1,275,089.397 Abstain: 2,509,576.807
Lutheran Brotherhood
Money Market Fund For: 238,749,698.362 Against: 6,247,450.125 Abstain: 11,622,830.088
B. The proposed agreement and plan of reorganization with respect to
Lutheran Brotherhood Opportunity Growth Fund, Lutheran Brotherhood Mid
Cap Growth Fund, Lutheran Brotherhood High Yield Fund, Lutheran
Brotherhood Income Fund, and Lutheran Brotherhood Limited Maturity
Bond Fund (each a "Redomes-ticating LB Fund"), whereby (a) all of the
assets of each Redomesticating LB Fund would be transferred to a
corresponding newly formed series of The AAL Mutual Funds (each a "New
Thrivent Fund") in exchange for the New Thrivent Fund's shares of the
corresponding class of equal dollar value; (b) all liabilities of the
Redomesticating Fund would be assumed by the corresponding New
Thrivent Fund; (c) the Redomesticating LB Fund would distribute pro
rata to its shareholders, in complete liquidation, the shares of the
corresponding New Thrivent Fund received in exchange for its net
assets; and (d) each Redomesticating LB Fund would cease to exist.
Lutheran Brotherhood
Opportunity Growth Fund For: 7,612,782.490 Against: 249,961.396 Abstain: 387,742.184
Lutheran Brotherhood
Mid Cap Growth Fund For: 6,234,312.561 Against: 139,855.571 Abstain: 273,192.122
Lutheran Brotherhood
High Yield Fund For: 67,052,907.179 Against: 1,255,202.499 Abstain: 2,758,303.081
Lutheran Brotherhood
Income Fund For: 41,187,563.440 Against: 726,848.305 Abstain: 1,767,960.178
Lutheran Brotherhood
Limited Maturity Bond Fund For: 5,013,668.570 Against: 68,153.902 Abstain: 126,789.848
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Thrivent Mutual Funds
Supplement to Prospectus dated July 17, 2004
Regarding
Thrivent Partner High Yield Fund
Effective December 30, 2004, the name of Thrivent
Partner High Yield Fund will be changed to Thrivent
High Yield Fund II.
The date of this Supplement is December 7, 2004.
Please include this Supplement with your Prospectus.
[GRAPHIC OMITTED: THRIVENT INVESTMENT MANAGEMENT TRADEMARK LOGO]
625 Fourth Ave. S., Minneapolis, MN 55415-1665
We're Listening to You!
In response to concerns regarding multiple mailings, we are sending one
Annual Report for Thrivent Mutual Funds to each household. This
consolidation helps reduce printing and postage costs, thereby saving
money. If you wish to receive an additional copy of this report, call us
toll free at 800-847-4836.
[GRAPHIC OMITTED: THRIVENT INVESTMENT MANAGEMENT TRADEMARK LOGO]
625 Fourth Ave. S., Minneapolis, MN 55415-1665
www.thrivent.com e-mail: mail@thrivent.com 800-THRIVENT (800-847-4836)
23459 R12-04
ANNUAL REPORT
OCTOBER 31, 2004
THRIVENT U.S. GOVERNMENT ZERO
COUPON TARGET FUND, SERIES 2006
THRIVENT MUTUAL FUNDS
[PHOTO OMITTED: PAMELA J. MORET]
Dear Members:
We are pleased to provide you with the Thrivent U.S. Government Zero
Coupon Target Fund, Series 2006 annual report for the period ended
October 31, 2004.
In previous letters I have emphasized how seriously we view integrity
at Thrivent Investment Management, including our adoption of leading
edge fund governance and operational processes designed to ensure
shareholder protection. This letter continues that theme by
highlighting the work of Russ Swansen and his investment team to
fulfill our principles through our investment practices.
* Portfolio managers' compensation is tied to performance ( not sales,
or assets under management.
This is a very important distinction often not apparent to the
investor. Managers who are paid to raise asset levels in their fund
can be tempted to take extraordinary risks in an effort to produce
eye-popping short-term returns that, in turn, can lead to very large
influxes of dollars. Such behaviors are often not in the shareholders'
best interest and can result in very volatile fund performance and
undue risk. Thrivent Investment Management has clearly-defined goals
for our portfolio management teams that tie financial reward to one-,
three-, and five-year performance ( not "quick-fix" strategies
designed simply to attract "fast cash," which could prove detrimental
to investors later.
* Thrivent Investment Management believes in a performance-driven
culture.
We are striving to be the best in the asset management business and
want to be the financial services organization of choice for our
investors and members. Consistent with this goal is a commitment to
hold our investment leadership team and portfolio managers to high
standards of excellence. These standards rest on our conviction that
investors are best served when we deliver consistent, long-term
performance without undue risk. We hold our money management teams
accountable for results and will not hesitate to make changes when
necessary. To this point, over the past year Thrivent Investment
Management has replaced managers and attracted talented new
individuals better positioned to deliver strong performance results.
We believe that this combination of integrity and performance is a
powerful driver for long-term investment success for our shareholders.
This is the balance we strive for each and every day at Thrivent
Investment Management.
On a personal note, I want to wish you the very best in 2005. Thank
you for continuing to turn to us for your financial solutions. We very
much value your business.
Yours sincerely,
/S/ PAMELA J. MORET
Pamela J. Moret
President and Trustee
Thrivent Mutual Funds
THRIVENT U.S. GOVERNMENT ZERO COUPON
TARGET FUND, SERIES 2006
For the six-month period ended October 31, 2004, the Thrivent U.S.
Government Zero Coupon Target Fund, Series 2006, produced a 0.97%
return as interest rates were essentially unchanged. A zero coupon
security will typically perform better when rates are falling and will
perform worse than coupon-paying securities when interest rates are
rising. The short time to maturity of the security comprising this
portfolio makes this security a very defensive investment.
[PHOTO OMITTED: ALAN D. ONSTAD]
Alan D. Onstad, Portfolio Manager
[GRAPHIC WORM CHART OMITTED: VALUE OF A $10,000 INVESTMENT]
$10,000 INVESTMENT
INCLUDING 4.75% SALES CHARGE*
Thrivent U.S. Government Zero Coupon Target Fund, Series 2006
Initial Investment: $10,000
Date of Investment: 10/31/94
Order Lines
Hi to Low
Chart Legend: Thrivent U.S. Government Zero Coupon Target Fund,
Series 2006 21,704
Lehman Brothers Aggregate Bond Index** 21,112
Consumer Price Index*** 12,780
Lehman
Target Bros.
Fund Aggr.
2006 Bond CPI
Date Value Index Value
- -------------------------------------------
10/31/94 9,525 10,000 10,000
11/30/94 9,613 9,978 10,013
12/31/94 9,838 10,047 10,013
1/31/95 10,121 10,246 10,054
2/28/95 10,534 10,489 10,094
3/31/95 10,602 10,554 10,127
4/30/95 10,812 10,701 10,161
5/31/95 11,845 11,115 10,181
6/30/95 12,002 11,197 10,201
7/31/95 11,742 11,172 10,201
8/31/95 12,013 11,306 10,227
9/30/95 12,251 11,416 10,247
10/31/95 12,607 11,565 10,281
11/30/95 12,995 11,738 10,274
12/31/95 13,548 11,903 10,268
1/31/96 13,539 11,982 10,328
2/28/96 12,797 11,774 10,361
3/31/96 12,534 11,692 10,415
4/30/96 12,266 11,626 10,455
5/31/96 12,147 11,602 10,475
6/30/96 12,424 11,758 10,482
7/31/96 12,407 11,790 10,502
8/31/96 12,240 11,771 10,522
9/30/96 12,605 11,976 10,555
10/31/96 13,150 12,241 10,589
11/30/96 13,605 12,451 10,609
12/31/96 13,250 12,335 10,609
1/31/97 13,168 12,373 10,642
2/28/97 13,136 12,403 10,676
3/31/97 12,800 12,266 10,702
4/30/97 13,121 12,450 10,716
5/31/97 13,247 12,567 10,709
6/30/97 13,457 12,717 10,722
7/31/97 14,211 13,059 10,736
8/31/97 13,815 12,948 10,756
9/30/97 14,174 13,139 10,783
10/31/97 14,592 13,330 10,809
11/30/97 14,658 13,391 10,803
12/31/97 14,888 13,526 10,789
1/31/98 15,226 13,699 10,809
2/28/98 15,118 13,689 10,829
3/31/98 15,121 13,736 10,850
4/30/98 15,151 13,808 10,870
5/31/98 15,431 13,939 10,890
6/30/98 15,646 14,057 10,903
7/31/98 15,619 14,087 10,916
8/31/98 16,302 14,316 10,930
9/30/98 17,151 14,651 10,943
10/31/98 17,125 14,574 10,970
11/30/98 16,940 14,656 10,970
12/31/98 17,062 14,700 10,963
1/31/99 17,060 14,805 10,990
2/28/99 16,330 14,547 11,003
3/31/99 16,342 14,628 11,037
4/30/99 16,389 14,674 11,117
5/31/99 15,947 14,545 11,117
6/30/99 15,784 14,499 11,117
7/31/99 15,631 14,437 11,151
8/31/99 15,554 14,430 11,177
9/30/99 15,663 14,597 11,231
10/31/99 15,604 14,651 11,251
11/30/99 15,512 14,650 11,258
12/31/99 15,307 14,580 11,258
1/31/00 15,203 14,532 11,284
2/28/00 15,318 14,708 11,351
3/31/00 15,717 14,901 11,445
4/30/00 15,676 14,859 11,452
5/31/00 15,737 14,852 11,458
6/30/00 16,206 15,161 11,525
7/31/00 16,262 15,299 11,545
8/31/00 16,545 15,521 11,559
9/30/00 16,739 15,618 11,619
10/31/00 16,814 15,721 11,639
11/30/00 17,273 15,979 11,646
12/31/00 17,722 16,275 11,639
1/31/01 17,932 16,541 11,712
2/28/01 18,186 16,685 11,759
3/31/01 18,388 16,769 11,786
4/30/01 18,107 16,699 11,833
5/31/01 18,033 16,800 11,886
6/30/01 18,108 16,864 11,906
7/31/01 18,623 17,241 11,873
8/31/01 18,820 17,438 11,873
9/30/01 19,373 17,641 11,926
10/31/01 19,730 18,011 11,886
11/30/01 19,315 17,762 11,866
12/31/01 19,072 17,649 11,819
1/31/02 19,118 17,792 11,846
2/28/02 19,359 17,965 11,893
3/31/02 18,863 17,666 11,960
4/30/02 19,295 18,008 12,027
5/31/02 19,517 18,161 12,027
6/30/02 19,827 18,319 12,033
7/31/02 20,398 18,540 12,047
8/30/02 20,702 18,852 12,087
9/30/02 21,288 19,158 12,107
10/31/02 21,156 19,070 12,137
11/29/02 20,807 19,065 12,137
12/31/02 21,325 19,458 12,111
1/31/03 21,161 19,476 12,164
2/28/03 21,451 19,745 12,258
3/31/03 21,416 19,729 12,331
4/30/03 21,494 19,893 12,305
5/30/03 21,906 20,263 12,285
6/30/03 21,878 20,222 12,298
7/31/03 21,355 19,543 12,311
8/29/03 21,319 19,672 12,358
9/30/03 21,771 20,193 12,398
10/31/03 21,525 20,005 12,385
11/28/03 21,488 20,053 12,352
12/31/03 21,638 20,257 12,338
1/30/04 21,686 20,420 12,398
2/27/04 21,842 20,641 12,465
3/31/04 21,927 20,796 12,546
4/30/04 21,537 20,255 12,586
5/28/04 21,440 20,174 12,659
6/30/04 21,419 20,288 12,700
7/30/04 21,489 20,489 12,680
8/31/04 21,674 20,880 12,686
9/30/04 21,637 20,936 12,713
10/29/04 $21,704 $21,112 $12,780
The Fund seeks high, relatively predictable investment returns from
U.S. government securities over selected periods of time, assuming
investors reinvest the dividends and capital gains distributed by the
Fund.
[GRAPHIC OMITTED: PORTFOLIO COMPOSITION]
Portfolio Composition
(% of Portfolio)
Long Term Obligations 100%
AVERAGE ANNUAL TOTAL RETURNS*
For the Period Ended October 31, 2004 1-Year 5-Year 10-Year
Without sales charge 1.24% 6.92% 8.59%
With sales charge1 -3.75% 5.89% 8.06%
1 Performance has been restated to reflect the maximum sales charges
of 4.75%.
* Past performance is not an indication of future results.
Annualized total returns represent past performance and
reflect changes in share prices, the reinvestment of
all dividends and capital gains, and the effects of
compounding. Investment return and principal value will
fluctuate, and shares, when redeemed, may be worth more
or less than their original cost. Current performance
may be lower or higher than the performance data
quoted. Call 800-THRIVENT or visit www.thrivent.com for
performance results current to the most recent month
end. At various times, the Fund's adviser waived its
management fee and/or reimbursed Fund expenses. Had the
adviser not done so, the Fund's total returns would
have been lower. The returns shown do not reflect taxes
a shareholder would pay on distributions or
redemptions. Investing in a mutual fund involves risks,
including the possible loss of principal. The
prospectus contains more complete information on the
investment objectives, risks, charges and expenses of
the investment company which investors should read and
consider carefully before investing. To obtain a
prospectus, contact a registered representative or
visit www.thrivent.com. Please read your prospectus
carefully.
** An unmanaged index that encompasses five major classes of U.S.
fixed-income securities: U.S. Treasury and Government
Agency securities, corporate debt obligations,
mortgage-backed securities, asset-backed securities and
commercial mortgage backed securities. It is not
possible to invest directly in the Index.
*** The Consumer Price Index is an inflationary indicator that
measures the change in the cost of a fixed basket of
products and services, including housing, electricity,
food and transportation. It is not possible to invest
directly in the Index.
Shareholder Expense Example
(Unaudited)
As a shareholder of the Fund, you incur the following types of costs:
transaction costs, including sales charges (loads) on purchase
payments, reinvested dividends, or other distributions; redemption
fees; and exchange fees; and other Fund expenses. This Example is
intended to help you understand your ongoing costs (in dollars) of
investing in the Fund and to compare these costs with the ongoing
costs of investing in other mutual funds. The Example is based on an
investment of $1,000 invested at the beginning of the period and held
for the entire period from May 1, 2004 through October 31, 2004.
Actual Expenses
The first line of the table below provides information about actual
account values and actual expenses. You may use the information in
this line, together with the amount you invested, to estimate the
expenses that you paid over the period. Simply divide your account
value by $1,000 (for example, an $8,600 account value divided by
$1,000 = 8.6), then multiply the result by the number in the first
line under the heading entitled "Expenses Paid During Period" to
estimate the expenses you paid.
Hypothetical Example for Comparison Purposes
The second line of the table below provides information about
hypothetical account values and hypothetical expenses based on the
Fund's actual expense ratio and an assumed rate of return of 5% per
year before expenses, which is not the Fund's actual return. The
hypothetical account values and expenses may not be used to estimate
the actual ending account balance or expenses you paid for the period.
You may use this information to compare the ongoing costs of investing
in the Fund and other funds. To do so, compare this 5% hypothetical
example with the 5% hypothetical examples that appear in the
shareholder reports of the other funds.
Please note that the expenses shown in the table are meant to
highlight your ongoing costs only and do not reflect any transactional
costs, such as sales charges (loads), redemption fees, or exchange
fees. Therefore, the second line of the table is useful in comparing
ongoing costs only, and will not help you determine the relative total
costs of owning different funds. In addition, if these transactional
costs were included, your costs would have been higher.
Beginning Ending Expenses
Account Account Paid During Annualized
Value Value Period * Expense
5/1/2004 10/31/2004 5/1/2004 - Ratio
10/31/2004
Thrivent U.S. Government Zero Coupon Target Fund, Series 2006
Actual $ 1,000 $ 1,012 $ 5.07 1.00%
Hypothetical ** $ 1,000 $ 1,020 $ 5.09 1.00%
* Expenses are equal to the Fund's annualized expense ratio,
multiplied by the average account value over the period,
multiplied by 184 /365 to reflect the one-half year period.
** Assuming 5% total return before expenses.
REPORT OF INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM
[LOGO OMITTED]
PricewaterhouseCoopers LLP
Suite 1500
100 E. Wisconsin Ave.
Milwaukee WI 53202
Telephone (414) 212 1600
To the Shareholders and Trustees of Thrivent Mutual Funds
In our opinion, the accompanying statement of assets and liabilities,
including the schedule of investments, and the related statements of
operations and of changes in net assets and the financial highlights
present fairly, in all material respects, the financial position of
Thrivent U.S. Government Zero Coupon Target Fund, Series 2006 (one of
the portfolios constituting the Thrivent Mutual Funds, hereafter
referred to as the "Fund") at October 31, 2004, the results of its
operations, changes in its net assets and financial highlights for
each of the periods presented, in conformity with accounting
principles generally accepted in the United States of America. These
financial statements and financial highlights (hereafter referred to
as "financial statements") are the responsibility of the Fund's
management; our responsibility is to express an opinion on these
financial statements based on our audits. We conducted our audits of
these financial statements in accordance with the standards of the
Public Company Accounting Oversight Board (United States). Those
standards require that we plan and perform the audit to obtain
reasonable assurance about whether the financial statements are free
of material misstatement. An audit includes examining, on a test
basis, evidence supporting the amounts and disclosures in the
financial statements, assessing the accounting principles used and
significant estimates made by management, and evaluating the overall
financial statement presentation. We believe that our audits, which
included confirmation of securities at October 31, 2004 by
correspondence with the custodian, provide a reasonable basis for our
opinion.
/S/ PricewaterhouseCoopers LLP
December 16, 2004
SCHEDULE OF INVESTMENTS
AS OF OCTOBER 31, 2004
Thrivent U.S. Government Zero Coupon Target Fund, Series 2006 (a)
Principal Yield to Maturity Market
Amount Long-Term Obligations (100.0%) Maturity Date Value
- -------------------------------------------------------------------------------------------------------------------------
U.S. Zero Coupon (100.0%)
$1,312,800 U.S. Government Zero Coupon Bonds 2.59% 11/15/2006 $1,464,128
- -------------------------------------------------------------------------------------------------------------------------
TOTAL INVESTMENTS (100.0%)
(amortized cost basis $1,312,800) $1,464,128
=========================================================================================================================
(a) The categories of investments are shown as a percentage of total investments.
The accompanying notes to the financial statements are an integral part of this schedule.
STATEMENT OF ASSETS AND LIABILITIES
AS OF OCTOBER 31, 2004
Thrivent U.S. Government Zero Coupon Target Fund, Series 2006
- --------------------------------------------------------------------
Assets
Investments at cost $1,312,800
Investments at value 1,464,128
Cash 525
- --------------------------------------------------------------------
Total Assets 1,464,653
====================================================================
Liabilities
Income distributions payable 70,786
Accrued expenses 5,584
- --------------------------------------------------------------------
Total Liabilities 76,370
====================================================================
Net Assets
Trust Capital (beneficial interest) 1,226,301
Accumulated undistributed net investment income 1,285
Accumulated undistributed net realized gain on investments 9,369
Net unrealized appreciation on investments 151,328
- --------------------------------------------------------------------
Total Net Assets $1,388,283
====================================================================
Net Assets $1,388,283
Shares of beneficial interest outstanding 121,293
Net asset value per share $11.45
Maximum public offering price $12.02
The accompanying notes to the financial statements
are an integral part of this statement.
STATEMENT OF OPERATIONS
Thrivent U.S. Government Zero Coupon Target Fund, Series 2006
For the Six For the Year
Months Ended Ended
4/30/2004 10/31/2004
- -------------------------------------------------------------------------------------------------
Investment Income
Taxable interest $52,270 $104,507
- -------------------------------------------------------------------------------------------------
Total Investment Income 52,270 104,507
=================================================================================================
Expenses
Accounting and pricing fees 525 1,103
Administrative services fees -- 102
Audit and legal fees 7,683 7,422
Custody fees 70 525
Printing and postage expense 2,869 4,958
SEC and state registration expense 333 5,780
Shareholder maintenance fees -- 56
Transfer agent fees 1,527 1,867
Trustees' fees and insurance expenses 2,826 4,691
Other expenses (1,263) 803
- -------------------------------------------------------------------------------------------------
Total Expenses Before Reimbursement 14,570 27,307
=================================================================================================
Less:
Reimbursement from adviser (7,332) (11,883)
Fees paid indirectly (25) (91)
- -------------------------------------------------------------------------------------------------
Total Net Expenses 7,213 15,333
=================================================================================================
Net Investment Income 45,057 89,174
=================================================================================================
Realized and Unrealized Gains/(Losses) on Investments
Net realized gains on investments 9,369 12,814
Change in net unrealized appreciation/(depreciation) on investments (41,329) (93,722)
- -------------------------------------------------------------------------------------------------
Net Realized and Unrealized Gains/(Losses) on Investments (31,960) (80,908)
=================================================================================================
Net Increase in Net Assets Resulting From Operations $13,097 $8,266
=================================================================================================
The accompanying notes to the financial statements
are an integral part of this statement.
STATEMENT OF CHANGES IN NET ASSETS
Thrivent U.S. Government Zero Coupon Target Fund, Series 2006
For the Six
Months Ended For the Year Ended For the Year Ended
10/31/2004 4/30/2004 4/30/2003
- -----------------------------------------------------------------------------------------------------
Operations
Net investment income $45,057 $89,174 $92,246
Net realized gains on investments 9,369 12,814 $29,962
Change in net unrealized appreciation/
(depreciation) on investments (41,329) (93,722) 51,190
- -----------------------------------------------------------------------------------------------------
Net Increase in Net Assets Resulting
From Operations 13,097 8,266 173,398
=====================================================================================================
Distributions to Shareholders
From net investment income (44,577) (89,174) (92,246)
From net realized gains (6,632) (28,831) (21,496)
- -----------------------------------------------------------------------------------------------------
Total Distributions to Shareholders (51,209) (118,005) (113,742)
=====================================================================================================
Trust Share Transactions
Income dividends reinvested -- 87,476 89,767
Capital gains distributions reinvested 6,578 28,587 21,325
Redemption of trust shares (86,563) (79,054) (156,671)
- -----------------------------------------------------------------------------------------------------
Net Increase/(Decrease) in Trust Capital (79,985) 37,009 (45,579)
=====================================================================================================
Net Increase/(Decrease) in Net Assets (118,097) (72,730) 14,077
=====================================================================================================
Net Assets Beginning of Period 1,506,380 1,579,110 1,565,033
=====================================================================================================
Net Assets End of Period $1,388,283 $1,506,380 $1,579,110
=====================================================================================================
The accompanying notes to the financial statements
are an integral part of this statement.
NOTES TO FINANCIAL STATEMENTS
AS OF OCTOBER 31, 2004
Thrivent U.S. Government Zero Coupon Target Fund, Series 2006
A. Organization
The Thrivent Mutual Funds (the "Trust") was organized as a Massachusetts
Business Trust on March 31, 1987 and is registered as an open-end
management investment company under the Investment Company Act of 1940.
The Trust commenced operations on July 16, 1987.
On November 14, 1990, The Thrivent U.S. Government Zero Coupon Target Fund,
Series 2006 (the "Fund"), commenced operations. Effective June 1, 1993,
the Board of Trustees of The Thrivent Mutual Funds closed the Fund to new
shareholders and discontinued the sale of additional shares to existing
shareholders. Effective October 31, 2004, the Trust changed its fiscal year
end from April 30 to October 31.
Under the Trust's organizational documents, its officers and trustees are
indemnified against certain liabilities arising out of the performance of
their duties to the Trust. In addition, in the normal course of business,
the Trust enters into contracts with vendors and others that provide
general damage clauses. The Trust's maximum exposure under these contracts
is unknown, as this would involve future claims that may be made against
the Trust. However, based on experience, the Trust expects the risk of loss
to be remote.
B. Significant Accounting Policies
Valuation -- Securities traded on national securities exchanges are valued
at the last reported sales prices. All other securities are valued at
official closing price if such quotations are readily available.
Otherwise, such securities are valued at a fair value as determined in good
faith by the Adviser under supervision of the Board of Trustees.
Federal Income Taxes -- The Fund intends to comply with the requirements of
the Internal Revenue Code which are applicable to regulated investment
companies and to distribute substantially all of its taxable income to its
shareholders. The Fund accordingly anticipates paying no Federal income
taxes and no Federal income tax provision was required.
Fees Paid Indirectly -- The Fund has a deposit arrangement with the
custodian whereby interest earned on uninvested cash balances is used to
pay a portion of custodian fees. This deposit arrangement is an alternative
to overnight investments.
Distributions to Shareholders -- Net investment income is distributed to
each shareholder as a dividend. Dividends from the Fund are declared daily
and distributed annually. Net realized gains from securities transactions,
if any, are distributed at least annually in the calendar year.
Use of Estimates -- The preparation of financial statements in conformity
with accounting principles generally accepted in the United States of
America require 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 income and expenses during the reporting period.
Actual results could differ from these estimates.
Other -- For financial statement purposes, investment security transactions
are accounted for on the trade date. Interest income is recognized on an
accrual basis. Bond discount is amortized over the life of the respective
bonds on the interest method. Realized gains or losses on sales are
determined on a specific cost identification basis. Generally accepted
accounting principles require permanent financial reporting and tax
differences be reclassified to trust capital. No reclassifications were
necessary at October 31, 2004 or April 30, 2004.
C. Investment Advisory Management Fees and Transactions with Related
Parties
The Trust has entered into an Investment Advisory Agreement with Thrivent
Investment Management Inc. (the "Adviser") under which the Fund pays a fee
for investment advisory services. The annual rate of fees under the
Investment Advisory Agreement are calculated at 0.50 of 1% of the average
daily net assets of the Fund. Payments under the Investment Advisory
Agreement were discontinued effective July 1, 1993.
Each Trustee who is not affiliated with Thrivent Financial for Lutherans or
the Adviser receives an annual fee from the Fund for services as a Trustee
and is eligible to participate in a deferred compensation plan with respect
to these fees. Each participant's deferred compensation account will
increase or decrease as if it were invested in shares of the Funds of their
choice.
Trustees not participating in the above plan received $249 and $177 in fees
for the year ended April 30, 2004 and the six months ended October 31,
2004, respectively from the Fund. No remuneration has been paid by the
Trust to any of the officers or affiliated Trustees of the Trust. In
addition, the Trust reimbursed unaffiliated Trustees for reasonable
expenses incurred in relation to attendance at the meetings.
The Fund is charged for those expenses that are directly attributable to
it, such as advisory, custodian and certain shareholder service fees, while
other expenses that cannot be directly attributable to the Fund are
allocated Thrivent Mutual Funds in proportion to the net assets, number of
shareholder accounts, or other reasonable basis of the respective Fund.
The Adviser has voluntarily reimbursed the Fund for all expenses in excess
of 1% of average daily net assets since inception.
Thrivent Financial for Lutherans is the ultimate parent company for
Thrivent Investment Management Inc.
D. Security Transactions
During the year ended April 30, 2004 and the six months ended October 31,
2004, there were no purchases and $88,042 and $88,887 in sales
respectively. All sales were in U.S. Government obligations.
E. Federal Income Tax Information
The cost basis of the investments is the same for financial reporting
purposes and Federal income tax purposes. The net unrealized appreciation
on investments at October 31, 2004 was $151,328. There was no depreciation
on investments as of October 31, 2004.
During the six months ended October 31, 2004, year ended April 30, 2004 and
year ended April 30, 2003, Thrivent U.S. Government Zero Coupon Target
Fund, Series 2006 distributed $44,577, $89,174 and $92,246 from ordinary
income, and $6,632, $28,831 and $21,496 from long-term capital gains,
respectively.
At October 31, 2004, undistributed ordinary income and long-term capital
gains for tax purposes were $4,111 and $9,369, respectively.
F. Trust Transactions
Transactions in trust shares for the six months ended October 31, 2004 and
the years ended April 30, 2004 and 2003 were as follows:
10/31/2004 4/30/2004 4/30/2003
---------- --------- ---------
Income dividends reinvested -- 7,278 7,025
Capital gains reinvested 571 2,380 1,713
Shares redeemed (7,489) (6,428) (12,316)
Net Change in Trust Shares (6,918) 3,230 (3,578)
FINANCIAL HIGHLIGHTS
PER SHARE INFORMATION (a)
Thrivent U.S. Government Zero Coupon Target Fund, Series 2006
Period Year Year Year Year Year
Ended Ended Ended Ended Ended Ended
10/31/2004 4/30/2004 4/30/2003 4/30/2002 4/30/2001 4/30/2000
- -------------------------------------------------------------------------------------------------------------------
Net asset value: Beginning
of Period $11.75 $12.63 $12.17 $12.22 $11.27 $12.39
Income from Investment Operations
Net investment income 0.36 0.71 0.73 0.71 0.72 0.72
Net realized and unrealized gain
(loss) on Investments (b) (0.25) (0.64) 0.63 0.07 1.00 (1.02)
- -------------------------------------------------------------------------------------------------------------------
Total from Investment Operations 0.11 0.07 1.36 0.78 1.72 (0.30)
===================================================================================================================
Distributions from:
Net investment income (0.36) (0.71) (0.73) (0.71) (0.72) (0.72)
Net realized capital gains (0.05) (0.24) (0.17) (0.12) (0.05) (0.10)
- -------------------------------------------------------------------------------------------------------------------
Total Distributions (0.41) (0.95) (0.90) (0.83) (0.77) (0.82)
===================================================================================================================
Net asset value: End of Period $11.45 $11.75 $12.63 $12.17 $12.22 $11.27
===================================================================================================================
Total return (c) 0.97% 0.65% 11.28% 6.53% 15.28% (2.29)%
Net assets: end of period
(in thousands) $1,388 $1,506 $1,579 $1,565 $1,612 $1,467
Ratio of expenses to average
net assets (d) 1.00% 1.00% 0.91% 1.00% 0.99% 0.98%
Ratio of net investment income
to average net assets (d) 6.25% 5.82% 5.73% 5.80% 6.02% 6.21%
Portfolio turnover rate 0.00% 0.00% 0.00% 0.00% 0.00% 0.00%
If the Fund had paid all its
expenses without the advisors
voluntary expense reimbursement,
the ratios would have been as follows:
Ratio of expenses to average net assets (d) 2.02% 1.78% 1.55% 1.27% 1.07% 0.98%
Ratio of net investment income
to average net assets (d) 5.23% 5.04% 5.09% 5.53% 5.95% 6.21%
(a) All per share amounts have been rounded to the nearest cent.
(b) The amount shown may not correlate with the change in aggregate gains
and losses of portfolio securities due to the timing of sales and
redemptions of fund shares.
(c) Total investment return assumes dividend reinvestment and does not
reflect any deduction for sales charges.
(d) Computed on an annualized basis for periods less then one year.
The accompanying notes to the financial statements are an integral part of
this schedule.
ADDITIONAL INFORMATION
(unaudited)
SHAREHOLDER NOTIFICATION OF FEDERAL TAX INFORMATION
During the six months ended October 31, 2004, the Thrivent U.S. Government
Zero Coupon Target Fund, Series 2006 designates $6,632 as long-term capital
gains.
PROXY VOTING
The policies and procedures that the Trust uses to determine how to vote
proxies relating to portfolio securities are attached to the Trust's
Statement of Additional Information. You may request a free copy of the
Statement of Additional Information or the report of how the Trust voted
proxies relating to portfolio securities during the most recent 12-month
period ended June 30 by calling 800-947-4836. You also may review the
Statement of Additional Information or the report of how the Trust voted
proxies relating to portfolio securities during the most recent 12-month
period ended June 30 at the Thrivent Financial web site (www.thrivent.com)
or the SEC web site (www.sec.gov).
QUARTERLY SCHEDULE OF PORTFOLIO HOLDINGS
The Trust files its Schedule of Portfolio Holdings on Form N-Q with the SEC
for the first and third quarters of each fiscal year. You may request a
free copy of the Trust's Forms N-Q by calling 1-800-947-4836. The Trust's
Forms N-Q also are available on the Thrivent Financial web site
(www.thrivent.com) or the SEC web site (www.sec.gov). You also may review
and copy the Forms N-Q for the Trust at the SEC's Public Reference Room in
Washington, DC. You may get information about the operation of the Public
Reference Room by calling 1-800-SEC-0330.
BOARD OF TRUSTEES AND OFFICERS
The following table provides information about the Trustees and officers of
the Trust.
EACH TRUSTEE OVERSEES EACH OF 24 SERIES OF THE TRUST AND ALSO SERVES AS:
* DIRECTOR OF THRIVENT SERIES FUND, INC., A REGISTERED INVESTMENT COMPANY
CONSISTING OF 26 PORTFOLIOS THAT SERVE AS UNDERLYING FUNDS FOR VARIABLE
CONTRACTS ISSUED BY THRIVENT FINANCIAL FOR LUTHERANS ("THRIVENT
FINANCIAL") AND THRIVENT LIFE INSURANCE COMPANY ("TLIC") AND INVESTMENT
OPTIONS IN THE RETIREMENT PLAN OFFERED BY THRIVENT FINANCIAL.
* TRUSTEE OF THRIVENT FINANCIAL SECURITIES LENDING TRUST, A REGISTERED
INVESTMENT COMPANY CONSISTING OF ONE PORTFOLIO THAT SERVES AS A CASH
COLLATERAL FUND FOR A SECURITIES LENDING PROGRAM SPONSORED BY THRIVENT
FINANCIAL.
THE 24 SERIES OF THE TRUST, 26 PORTFOLIOS OF THRIVENT SERIES FUND, INC.,
AND THRIVENT FINANCIAL SECURITIES LENDING TRUST ARE REFERRED TO HEREIN AS
THE "INVESTMENT COMPANY COMPLEX."
THE STATEMENT OF INFORMATION INCLUDES ADDITIONAL INFORMATION ABOUT THE
TRUSTEES AND IS AVAILABLE, WITHOUT CHARGE, BY CALLING 1-800-847-4836.
<CAPTON>
Interested Trustee(1)
Number of
Portfolios
in Fund
Position with Trust Complex
Name, Address and and Length of Overseen by Principal Occupation During
Age Service(2) Trustee the Past 5 Years Other Directorships Held by Trustee
- ----------------------------------------------------------------------------------------------------------------------------------
Pamela J. Moret President since 51 Executive Vice President, Director, Lutheran World Relief; Director,
625 Fourth Avenue 2002 and Trustee Marketing and Products, Minnesota Public Radio
South since 2004 Thrivent Financial since
Minneapolis, MN 2002; Senior Vice President,
Age 48 Products, American Express
Financial Advisors from 2000
to 2001; Vice President,
Variable Assets, American
Express Financial Advisors
from 1996 to 2000
<CAPTON>
Independent Trustees(3)
Number of
Portfolios
in Fund
Position with Trust Complex
Name, Address and and Length of Overseen by Principal Occupation During
Age Service(2) Trustee the Past 5 Years Other Directorships Held by Trustee
- ----------------------------------------------------------------------------------------------------------------------------------
F. Gregory Campbell Trustee since 1992 51 President, Carthage College Director, National Association of
625 Fourth Avenue Independent Colleges and Universities,
South Director, Johnson Family Funds, Inc., an
Minneapolis, MN investment company consisting of four
Age 65 portfolios; Director, Kenosha Hospital and
Medical Center Board; Prairie School Board;
United Health Systems Board
Herbert F. Lead Trustee since 51 Management consultant to None
Eggerding, Jr. 2003 several privately owned
625 Fourth Avenue companies
South
Minneapolis, MN
Age 67
Noel K. Estenson Trustee since 2004 51 Retired; previously President None
625 Fourth Avenue and Chief Executive Officer,
South CenexHarvestStates (farm
Minneapolis, MN supply and marketing and food
Age 65 business)
Richard L. Gady Trustee since 1987 51 Retired; previously Vice Director, International Agricultural
625 Fourth Avenue President, Public Affairs and Marketing Association
South Chief Economist, Conagra,
Minneapolis, MN Inc. (agribusiness)
Age 61
Connie M. Levi Trustee since 2004 51 Retired Director, Norstan, Inc.
625 Fourth Avenue
South
Minneapolis, MN
Age 65
Edward W. Smeds Chairman and 51 Retired Chairman of Carthage College Board
625 Fourth Avenue Trustee since 1999
South
Minneapolis, MN
Age 68
<CAPTON>
EXECUTIVE OFFICERS
Position with Trust and
Name, Address and Age Length of Service(2) Principal Occupation During the Past 5 Years
- -------------------------------------------------------------------------------------------------------------------------------
Pamela J. Moret President since 2002 Executive Vice President, Marketing and Products, Thrivent
625 Fourth Avenue South Financial since 2002; Senior Vice President, Products, American
Minneapolis, MN Express Financial Advisors from 2000 to 2001; Vice President,
Age 48 Variable Assets, American Express Financial Advisors from 1996
to 2000
James E. Nelson Secretary since 2003 Vice President, Securities Law, Thrivent Financial since 2001;
625 Fourth Avenue South Counsel and head of Insurance Practice Group, Law Division of
Minneapolis, MN ING ReliaStar (formerly ReliaStar Financial Corp.) from 1998 to
Age 44 2001
Katie S. Kloster Vice President and Chief Vice President and Rule 38a-1 Chief Compliance Officer,since
625 Fourth Avenue South Compliance Officer since 2004; previously Vice President and Comptroller of Thrivent
Minneapolis, MN 2004 Financial.
Age 39
Russell W. Swansen Vice President since 2004 Chief Investment Officer, Thrivent Financial, since 2004;
625 Fourth Avenue South Managing Director, Colonade Advisors, LLC, from 2001 to 2003,
Minneapolis, MN President and Chief Investment Officer of PPM American from 1999
Age 47 to 2000
Nikki L. Sorum Vice President since 2004 Senior Vice President, Business Development, Thrivent Financial]
625 Fourth Avenue South
Minneapolis, MN
Age 43
Frederick P. Johnson Vice President since 2003 Vice President, Investment Operations, Thrivent Financial
625 Fourth Avenue South
Minneapolis, MN
Age 42
Marnie L. Loomans-Thuecks Vice President since 2004 Vice President, Customer Interaction Department, Thrivent
4321 North Ballard Road Financial
Appleton, WI
Age 41
Thomas R Mischka Vice President and Anti-Money Vice President of Divisional Support Services, Thrivent
4321 North Ballard Road Laundering Officer since 2003 Financial
Appleton, WI
Age 45
Sandra A. Diedrick Assistant Vice President and Director, of Interaction Center, Thrivent Financial
4321 North Ballard Road Assistant Secretary since
Appleton, WI 2004
Age 44
Kenneth L. Kirchner Assistant Vice President and Director, Transfer Agency Operations, Thrivent Financial
4321 North Ballard Road Assistant Secretary since
Appleton, WI 2004
Age 38
David R. Spangler Assistant Vice President Director, of Investment Product Management, Thrivent Financial
625 Fourth Avenue South since 2004 since 2002; Vice President- Product Development, Wells Fargo
Minneapolis, MN Bank-Funds Management Group, from 2000 to 2002; Analyst, MCSI,
Age 37 Inc., 2000; Vice President-Product Development, US Bank-First
American Funds, 1997 to 2000
John C. Bjork Assistant Secretary since Senior Counsel, Thrivent Financial
625 Fourth Avenue South 2003
Minneapolis, MN
Age 51
Marlene J. Nogle Assistant Secretary since Senior Counsel, Thrivent Financial
625 Fourth Avenue South 2003
Minneapolis, MN
Age 57
Todd J. Kelly Assistant Treasurer since Director, Fund Accounting Operations, Thrivent Financial
4321 North Ballard Road 1999
Appleton, WI
Age 35
Gerard V. Vaillancourt Assistant Treasurer since Director, Fund Accounting Administration, Thrivent Financial
625 Fourth Avenue South 2002 since 2002; Manager--Portfolio Compliance, Lutheran Brotherhood
Minneapolis, MN from 2001 to 2002; Manager--Fund Accounting, Minnesota Life from
Age 37 2000 to 2001; Supervisor--Securities Accounting, Lutheran
Brotherhood from 1998 to 2000
(1) "Interested person" of the Trust as defined in the Investment Company
Act of 1940 by virtue of positions with Thrivent Financial. Ms. Moret
is considered an interested person because of her principal occupation
with Thrivent Financial.
(2) Each Trustee serves an indefinite term until her or his successor is
duly elected and qualified. The bylaws of the Trust provide that each
Trustee must retire at the end of the year in which the Trustee attains
age 70. Officers serve at the discretion of the board until their
successors are duly appointed and qualified.
(3) The Trustees other than Ms. Moret are not "interested persons" of the
Trust and are referred to as "Independent Trustees."
We're Listening to You!
In response to shareholder concerns regarding multiple mailings, we are
sending one shareholder report for The Thrivent Mutual Funds to each
household. This consolidation helps reduce printing and postage costs,
thereby saving shareholders' money. If you wish to receive an additional
copy of this report, call us toll free at (800) 847-4836.
This report is submitted for the information of shareholders of Thrivent
Mutual Funds. It is not authorized for distribution to prospective
investors unless preceded or accompanied by the current prospectus for
Thrivent Mutual Funds, which contains more complete information about the
Funds, including investment policies, charges and expenses.
[GRAPHIC OMITTED: THRIVENT INVESTMENT MANAGEMENT TRADEMARK LOGO]
625 Fourth Ave. S., Minneapolis, MN 55415-1665
www.thrivent.com e-mail: mail@thrivent.com 800-THRIVENT (800-847-4836)
23461AR N10-04
Item 2. Code of Ethics
- ----------------------
As of the end of the period covered by this report, registrant has adopted
a code of ethics (as defined in Item 2 of Form N-CSR) applicable to
registrant's Principal Executive Officer, Principal Financial Officer, and
Principal Accounting Officer. No amendments were approved or waivers were
granted to such code of ethics during the period covered by this report.
However, subsequent to the end of the period covered by this report, such
code of ethics was amended to (a) reflect the new names of Registrant and
its affiliated investment company ("Thrivent Series Fund, Inc."); (b) add
the name of a newly-created affiliated investment company as being covered
by such code: and (c) permit the Chief Legal Officer to keep copies of the
records required to be kept under such code. A copy of this code of ethics
is filed as an exhibit to this Form N-CSR.
Item 3. Audit Committee Financial Expert
- ----------------------------------------
Registrant's Board of Trustees has determined that Herbert F. Eggerding,
Jr., an independent trustee, is the Audit Committee Financial Expert.
Item 4. Principal Accountant Fees and Services
- ----------------------------------------------
(a) Audit Fees
The aggregate fees billed by registrant's independent public accountants,
PricewaterhouseCoopers LLP ("PwC"), for each of the last two complete
fiscal years and the fiscal period covered by this report for professional
services rendered in connection with the audit of registrant's annual
financial statements or services that are normally provided by the
accountant in connection with statutory and regulatory filings or
engagements were $203,950 for the year ended April 30, 2003, $220,000 for
the year ended April 30, 2004, and $308,600 for the fiscal period from May
1, 2004 through October 31, 2004.
(b) Audit-Related Fees
The aggregate fees PwC billed to registrant for each of the last two fiscal
years and the fiscal period covered by this report for assurance and other
services which are reasonably related to the performance of registrant's
audit and are not reported under Item 4(a) were $0 for the year ended April
30, 2003, $0 for the year ended April 30, 2004, and $0 for the fiscal
period from May 1, 2004 through October 31, 2004. The aggregate fees PwC
billed to registrant's investment adviser and any entity controlling,
controlled by, or under common control with registrant's investment adviser
for assurance and other services directly related to the operations and
financial reporting of registrant were $0 for the year ended April 30,
2003, $0 for the year ended April 30, 2004, and $0 for the fiscal period
from May 1, 2004 through October 31, 2004.
(c) Tax Fees
The aggregate tax fees PwC billed to registrant for each of the last two
fiscal years and the fiscal period covered by this report for tax
compliance, tax advice, and tax planning services were $167,100 for the
year ended April 30, 2003, $92,500 for the year ended April 30, 2004, and
$60,700 for the fiscal period from May 1, 2004 through October 31, 2004.
The aggregate tax fees PwC billed to registrant's investment adviser and
any entity controlling, controlled by, or under common control with
registrant's investment adviser for services directly related to the
operations and financial reporting of registrant were $0 for the year ended
April 30, 2003, $0 for the year ended April 30, 2004, and $0 for the fiscal
period from May 1, 2004 through October 31, 2004.
(d) All Other Fees
The aggregate fees PwC billed to registrant for each of the last two fiscal
years and the fiscal period covered by this report for products and
services provided other than the services reported in paragraphs (a)
through (c) of this item were $17,500 for the year ended April 30, 2003,
$0 for the year ended April 30, 2004, and $0 for the fiscal period from
May 1, 2004 through October 31, 2004. The aggregate fees PwC billed to
registrant's investment adviser and any entity controlling, controlled by,
or under common control with registrant's investment adviser for products
and services provided other than the services reported in paragraphs (a)
through (c) of this item were $19,387 for the year ended April 30, 2003,
$0 for the year ended April 30, 2004, and $56,415 for the fiscal period
from May 1, 2004 through October 31, 2004.
(e) Registrant's audit and compliance committee charter, adopted in August
2004, provides that the audit and compliance committee (comprised of the
independent directors of registrant) is responsible for pre-approval of all
auditing services performed for the registrant. The audit and compliance
committee reports to the Board of Trustees ("Board") regarding its approval
of the engagement of the auditor and the proposed fees for the engagement,
and the majority of the Board (including the members of the Board who are
independent trustees) must approve the auditor at an in-person meeting. The
audit and compliance committee also is responsible for pre-approval
(subject to the de minimus exceptions for non-audit services described in
Section 10A(i)(1)(B) of the Securities Exchange Act of 1934, as amended) of
all non-auditing services performed for the registrant or for any service
affiliate of registrant. Registrant's audit and compliance committee
charter also permits a designated member of the audit and compliance
committee to pre-approve, between meetings, one or more non-audit service
projects, subject to ratification by the audit committee at the next
meeting of the audit and compliance committee. Registrant's audit and
compliance committee pre-approved all fees described above which PwC billed
to registrant.
(f) Less than 50% of the hours billed by PwC for auditing services to
registrant for the fiscal year ended April 30, 2004, were for work
performed by persons other than full-time, permanent employees of PwC, and
less than 50% of the hours billed by PwC for auditing services to
registrant for the fiscal period from May 1, 2004 through October 31, 2004,
were for work performed by persons other than full-time, permanent
employees of PwC.
(g) The aggregate non-audit fees billed by PwC to registrant and to
registrant's investment adviser and any entity controlling, controlled by,
or under common control with registrant's investment adviser for the fiscal
years ending April 30, 2003, and April 30, 2004, and the fiscal period from
May 1, 2004 through October 31, 2004, were $35,000, $0, and $0,
respectively.
(h) Registrant's audit and compliance committee has considered the
non-audit services provided to the registrant and registrant's investment
adviser and any entity controlling, controlled by, or under common control
with registrant's investment adviser as described above and determined that
these services do not compromise PwC's independence.
Item 5. Audit Committee of Listed Registrants
- ---------------------------------------------
Not applicable.
Item 6. Schedule of Investments
- -------------------------------
Registrant's Schedule of Investments is included in the report to
shareholders filed under Item 1.
Item 7. Disclosure of Proxy Voting Policies and Procedures for Closed-End
- -------------------------------------------------------------------------
Management Investment Companies
- -------------------------------
Not applicable.
Item 8. Purchases of Equity Securities by Closed-End Management Investment
- --------------------------------------------------------------------------
Company and Affiliated Purchasers.
- ----------------------------------
Not applicable.
Item 9. Submission of Matters to a Vote of Security Holders
- -----------------------------------------------------------
There have been no material changes to the procedures by which shareholders
may recommend nominees to registrant's board of trustees.
Item 10. Controls and Procedures
- --------------------------------
(a)(i) Registrant's President and Treasurer have concluded that
registrant's disclosure controls and procedures (as defined in Rule
30a-3(c) under the Investment Company Act) are effective, based on their
evaluation of these controls and procedures as of a date within 90 days of
the filing date of this report.
(a)(ii) There were no changes in registrant's internal controls over
financial reporting (as defined in Rule 30a-3(d) under the Investment
Company Act) that occurred during the fiscal period from May 1, 2004
through October 31, 2004, that has materially affected, or is reasonably
likely to materially affect, registrant's internal control over financial
reporting.
Item 11. Exhibits
- -----------------
(a) The code of ethics pursuant to Item 2 is attached hereto.
(b) Certifications pursuant to Rules 30a-2(a) and 30a-2(b) under the Investment
Company Act of 1940 are attached hereto.
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.
January 7, 2005 THRIVENT MUTUAL FUNDS
By: /s/ Pamela J. Moret
-------------------
Pamela J. Moret
President
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.
January 7, 2005 By: /s/ Pamela J. Moret
-------------------
Pamela J. Moret
President
January 7, 2005 By: /s/ Randall L. Boushek
----------------------
Randall L. Boushek
Treasurer