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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 811-08495
GARTMORE MUTUAL FUNDS
(Exact name of registrant as specified in charter)
1200 RIVER ROAD, CONSHOHOCKEN, PENNSYLVANIA 19428
(Address of principal executive offices) (Zip code)
ELIZABETH A. DAVIN, ESQ.
NATIONWIDE PLAZA
COLUMBUS, OHIO 43215
(Name and address of agent for service)
Registrant's telephone number, including area code: (484) 530-1300
Date of fiscal year end: 10/31/03
Date of reporting period: 10/31/03
Form N-CSR is to be used by management investment companies to file reports
with the Commission not later than 10 days after the transmission to
stockholders of any report that is required to be transmitted to stockholders
under Rule 30e-1 under the Investment Company Act of 1940 (17 CFR 270.30e-1).
The Commission may use the information provided on Form N-CSR in its regulatory,
disclosure review, inspection, and policymaking roles.
A registrant is required to disclose the information specified by Form
N-CSR, and the Commission will make this information public. A registrant is not
required to respond to the collection of information contained in Form N-CSR
unless the Form displays a currently valid Office of Management and Budget
("OMB") control number. Please direct comments concerning the accuracy of the
information collection burden estimate and any suggestions for reducing the
burden to Secretary, Securities and Exchange Commission, 450 Fifth Street, NW,
Washington, DC 20549-0609. The OMB has reviewed this collection of information
under the clearance requirements of 44 U.S.C. 3507.
ITEM 1. REPORTS TO STOCKHOLDERS.
Include a copy of the report transmitted to stockholders pursuant to Rule
30e-1 under the Act (17 CFR 270.30e-1).
GARTMORE FUNDS
ANNUAL REPORT
October 31, 2003
Nationwide Large Cap Growth Fund
Nationwide Small Cap Fund
Nationwide S&P 500 Index Fund
Nationwide Mid Cap Market Index Fund
Nationwide Small Cap Index Fund
Nationwide International Index Fund
Nationwide Bond Index Fund
NorthPointe Small Cap Value Fund
[GRAPHIC OMITED]
[GRAPHIC OMITED]
- --------------------------------------------------------------------------------
CONTENTS
2 Nationwide Large Cap Growth Fund
6 Nationwide Small Cap Fund
18 Nationwide S&P 500 Index Fund
28 Nationwide Mid Cap Market Index Fund
36 Nationwide Small Cap Index Fund
60 Nationwide International Index Fund
80 Nationwide Bond Index Fund
102 NorthPointe Small Cap Value Fund
111 NOTES TO FINANCIAL STATEMENTS
- --------------------------------------------------------------------------------
NATIONWIDE LARGE CAP GROWTH FUND
Class A Shares symbol: NPGAX
Class B Shares symbol: NPLBX
Class C Shares symbol: NCLGX
Institutional Service Class symbol: NPLIX
HOW DID THE FUND PERFORM?
For the annual period ended Oct. 31, 2003, the Fund returned 20.21%* versus
21.81% for its benchmark, the Russell 1000 Growth Index.
For broader comparison, the average return for this Fund's peer category
(Large-Cap Growth Funds) was 19.06%, according to Lipper, an independent company
that provides mutual fund data and analysis.
WHAT MARKET/ECONOMIC CONDITIONS AND PORTFOLIO-SPECIFIC FACTORS AFFECTED
PERFORMANCE?
There are no inherent biases in our process with respect to market conditions,
and we believe that no specific investment environment exists in which our
strategy is expected to be out of sync in comparison with the benchmark. The
correlation (relationship) between the Fund's historical excess returns and
various types of markets is very close to zero.
Our investment themes generated positive returns overall for the Fund during the
period. Valuation and profitability were the biggest positive contributors to
the Fund's excess returns, as inexpensive companies with good profit margins and
operating efficiency outperformed their counterparts. Earnings quality and
management impact also contributed positively, albeit less significantly.
Fundamental research was essentially flat, while momentum detracted from the
Fund's relative returns.
DESCRIBE THE FUND'S TOP HOLDINGS AND ANY SIGNIFICANT TRANSACTIONS MADE DURING
THE PERIOD.
Stock selection by the Fund was positive in nine of the 13 sectors, most notably
in the financials and technology sectors. On the other hand, Fund holdings in
the consumer cyclicals and consumer services sectors underperformed their peers
in the benchmark by the widest margin. In individual stock positions,
overweights by the Fund in SanDisk Corp. (1.3% of the Fund's assets),
Amazon.com, Inc. (1.4%) and Intel Corp. (5.3%) were the biggest contributors to
positive relative performance. On the downside, an overweight position by the
Fund in Kraft Foods Inc. (0.9%) and underweights in The Home Depot Inc. (0.6%)
and Loews Corp. (0.67%) detracted the most from Fund returns as compared to the
Index.
There were no significant transactions by the Fund during the period.
HOW IS THE FUND POSITIONED?
Looking ahead, we continue to believe that cheaper stocks should outpace more
expensive ones, and those stocks with good momentum should perform better than
those with poor momentum. We also prefer companies about which fundamental
research analysts are becoming more positive, as well as firms that are
profitable, that have sustainable earnings and that use their capital to enhance
shareholder value. We anticipate that the Fund will remain fully invested and
expect that added by the Fund over time will be due to stock selection as
opposed to sector or size allocations.
MERGER OF THE FUND
On Dec. 12, 2003, the shareholders of the Fund, at a special shareholder
meeting, approved a proposal by the Fund's Board of Trustees to merge the Fund
into the Gartmore Growth Fund. Pursuant to this shareholder approval, the Fund
was merged into the Gartmore Growth Fund, effective as of the close of business
on Dec. 19, 2003.
PORTFOLIO MANAGER: Goldman Sachs Asset Management - Subadviser
* Performance of Class A shares without sales charge and assuming all
distributions are reinvested.
PORTFOLIO MARKET VALUE $37,656,471
OCTOBER 31, 2003
AVERAGE ANNUAL TOTAL RETURN
(For Periods Ended October 31, 2003)
1 YR. INCEPTION1
- -----------------------------------------------------------
Class A w/o SC2 20.21% -3.25%
w/SC3 13.26% -4.39%
- -----------------------------------------------------------
Class B w/o SC2 19.57% -4.05%
w/SC4 14.57% -4.41%
- -----------------------------------------------------------
Class C5 w/o SC2 19.57% -4.05%
w/SC6 17.29% -4.24%
- -----------------------------------------------------------
Institutional Service Class7 20.51% -3.06%
- -----------------------------------------------------------
All figures showing the effect of a sales charge reflect the maximum charge
possible, because it has the most dramatic effect on performance data.
1 Fund commenced operations on November 2, 1998.
2 These returns do not reflect the effects of sales charges (SC).
3 A 5.75% front-end sales charge was deducted.
4 A 5.00% contingent deferred sales charge (CDSC) was deducted. The CDSC
declines to 0% after 6 years.
5 These returns until the creation of Class C shares (3/1/01) include the
performance of the Fund's Class B shares. Excluding the effect of any fee
waivers or reimbursements, such prior performance is substantially similar
to what Class C shares would have produced because Class C shares invest in
the same portfolio of securities as Class B shares and have the same
expenses after any fee waivers or reimbursements. For Class C shares
returns with sales charges, these returns have been restated for the
applicable sales charges.
6 A 1.00% front-end sales charge was deducted. A CDSC of 1.00% was also
deducted from the one year return because it is charged when you sell Class
C shares within the first year after purchase.
7 Not subject to any sales charges.
GROWTH OF A $10,000 INVESTMENT
INVESTMENT RETURN AND PRINCIPAL VALUE WILL FLUCTUATE, AND WHEN REDEEMED, SHARES
MAY BE WORTH MORE OR LESS THAN ORIGINAL COST. PAST PERFORMANCE IS NO GUARANTEE
OF FUTURE RESULTS.
Date Class A Russell 1000 Growth CPI
11/2/1998 9,425 10,000 10,000
10/31/1999 12,799 13,425 10,256
10/31/2000 13,729 14,678 10,610
10/31/2001 8,249 8,815 10,835
10/31/2002 6,647 7,085 11,055
10/31/2003 7,990 8,631 11,333
Comparative performance of $10,000 invested in Class A shares of the Nationwide
Large Cap Growth Fund, the Russell 1000 Growth Index (Russell 1000 Growth)(a),
and the Consumer Price Index (CPI)(b) since inception. Unlike the Fund, the
returns for these indices do not reflect any fees, expenses, or sales charges.
(a) The Russell 1000 Growth is an unmanaged index of growth securities of large
U.S. companies included in the Russell 1000 Index.
(b) The CPI represents changes in prices of a basket of goods and services
purchased for consumption by urban households.
2 ANNUAL REPORT 2003
- --------------------------------------------------------------------------------
STATEMENT OF INVESTMENTS
October 31, 2003
NATIONWIDE LARGE CAP GROWTH FUND
COMMON STOCKS (99.0%)
SHARES OR
PRINCIPAL AMOUNT VALUE
- ------------------------------------------------------------------------
AGRICULTURAL OPERATIONS (1.1%)
Monsanto Co. 15,900 $ 398,295
----------
- ------------------------------------------------------------------------
APPLIANCES (0.1%)
Whirlpool Corp. 500 35,235
----------
- ------------------------------------------------------------------------
AUTOMOTIVE (1.0%)
Autoliv, Inc. 6,300 208,656
AutoNation, Inc. (b) 6,700 125,290
General Motors Corp. 900 38,403
----------
372,349
----------
- ------------------------------------------------------------------------
BATTERIES (0.0%)
Energizer Holdings, Inc. (b) 1 37
----------
- ------------------------------------------------------------------------
BEVERAGES/SOFT DRINK (1.0%)
Coca-Cola Co. 5,100 236,640
PepsiCo, Inc. 3,200 153,024
----------
389,664
----------
- ------------------------------------------------------------------------
BROADCAST MEDIA/CABLE TELEVISION (2.7%)
Comcast Corp., Class A (b) 6,700 227,264
Cox Communications, Inc., Class A (b) 1,100 37,477
Fox Entertainment Group, Inc. (b) 13,000 360,100
Hearst - Argyle Television, Inc. (b) 3,900 94,419
Viacom, Inc., Class B 7,170 285,868
----------
1,005,128
----------
- ------------------------------------------------------------------------
BUILDING (0.8%)
NVR, Inc. (b) 600 293,640
----------
- ------------------------------------------------------------------------
CAPITAL GOODS (6.0%)
3M Co. 5,600 441,672
General Electric Co. 61,400 1,781,214
ITT Industries, Inc. 600 40,794
----------
2,263,680
----------
- ------------------------------------------------------------------------
COMPUTER EQUIPMENT (5.3%)
Cisco Systems, Inc. (b) 33,200 696,536
Dell, Inc. (b) 14,800 534,576
EMC Corp. (b 29,500 408,280
Hewlett-Packard Co. 9,100 203,021
International Business Machines Corp. 1,600 143,168
----------
1,985,581
----------
- ------------------------------------------------------------------------
COMPUTER SOFTWARE & SERVICES (9.3%)
Adobe Systems, Inc. 9,300 407,712
BMC Software, Inc. (b) 13,600 236,368
Citrix Systems, Inc. (b) 8,600 217,408
Computer Associates International, Inc. 17,400 409,248
Computer Sciences Corp. (b) 1,000 39,620
SHARES OR
PRINCIPAL AMOUNT VALUE
- ------------------------------------------------------------------------
COMPUTER SOFTWARE & SERVICES (continued)
Intuit, Inc. (b) 700 $ 34,986
Microsoft Corp. 52,800 1,380,720
Oracle Corp. (b) 2,700 32,292
SanDisk Corp. (b) 5,200 419,120
Symantec Corp. (b) 2,600 173,290
VERITAS Software Corp. (b) 3,800 137,370
----------
3,488,134
----------
- ------------------------------------------------------------------------
CONSUMER PRODUCTS (4.4%)
Gillette Co. (The) 16,500 526,350
Procter & Gamble Co. 9,900 973,071
R.J. Reynolds Tobacco Holdings, Inc. 3,400 163,302
----------
1,662,723
----------
- ------------------------------------------------------------------------
CONTAINERS (0.1%)
Sealed Air Corp. (b) 1,000 53,230
----------
- ------------------------------------------------------------------------
DRUGS (8.9%)
Abbott Laboratories 2,900 123,598
American Pharmaceutical Partners, Inc. (b) 4,700 114,445
Eli Lilly & Co. 3,400 226,508
Endo Pharmaceuticals Holdings, Inc. (b) 3,000 49,080
Genentech, Inc. (b) 3,700 303,289
Merck & Co., Inc. 10,100 446,925
Mylan Laboratories, Inc. 15,150 365,873
Pfizer, Inc. 52,955 1,673,378
Wyeth 800 35,312
----------
3,338,408
----------
- ------------------------------------------------------------------------
E-COMMERCE & SERVICES (0.7%)
eBay, Inc. (b) 4,900 274,106
----------
- ------------------------------------------------------------------------
EDUCATIONAL SERVICES (0.5%)
Apollo Group, Inc. (b) 2,000 127,060
ITT Educational Services, Inc. (b) 1,500 74,700
----------
201,760
----------
- ------------------------------------------------------------------------
ELECTRONICS (1.2%)
Agilent Technologies, Inc. (b) 9,300 231,756
Arrow Electronics, Inc. (b) 3,300 70,455
Avnet, Inc. (b) 3,400 65,960
LSI Logic Corp. (b) 10,200 94,248
----------
462,419
----------
- ------------------------------------------------------------------------
FINANCIAL/MISCELLANEOUS (6.1%)
A.G. Edwards, Inc. 900 36,450
AmeriCredit Corp. (b) 8,300 111,220
Bank of America Corp. 4,600 348,358
CIT Group, Inc. 3,000 100,860
Doral Financial Corp. 1,200 60,600
2003 ANNUAL REPORT 3
- --------------------------------------------------------------------------------
STATEMENT OF INVESTMENTS (Continued)
October 31, 2003
NATIONWIDE LARGE CAP GROWTH FUND (Continued)
COMMON STOCKS (CONTINUED)
SHARES OR
PRINCIPAL AMOUNT VALUE
- -------------------------------------------------------------------
FINANCIAL/MISCELLANEOUS (continued)
Fannie Mae 2,100 $ 150,549
Hudson City Bancorp, Inc. 3,500 120,890
MBIA, Inc. 1,000 59,610
MBNA Corp. 20,750 513,563
Morgan Stanley 1,000 54,870
New York Community Bancorp, Inc. 1,100 39,820
Prudential Financial, Inc. 9,700 374,808
Radian Group, Inc. 3,900 206,310
SLM Corp. 2,900 113,564
----------
2,291,472
----------
- -------------------------------------------------------------------
FOOD & RELATED (4.4%)
Archer-Daniels-Midland Co. 27,000 387,450
Interstate Bakeries Corp. 2,400 35,232
Kraft Foods, Inc., Class A 11,600 337,560
Sysco Corp. 15,700 528,462
Tyson Foods, Inc., Class A 25,600 365,312
----------
1,654,016
----------
- -------------------------------------------------------------------
HEALTHCARE (12.6%)
Amgen, Inc. (b) 15,188 938,010
Boston Scientific Corp. (b) 7,600 514,672
Gilead Sciences, Inc. (b) 7,700 420,266
Health Net, Inc. (b) 9,400 296,946
Johnson & Johnson 20,900 1,051,896
Manor Care, Inc. 2,600 86,528
McKesson Corp. 11,600 351,132
Medco Health Solutions, Inc. (b) 1,218 40,438
Medtronic, Inc. 3,300 150,381
St. Jude Medical, Inc. (b) 2,600 151,216
UnitedHealth Group, Inc. 5,800 295,104
Zimmer Holdings, Inc. (b) 7,800 497,718
----------
4,794,307
----------
- -------------------------------------------------------------------
INSTRUMENTS (1.4%)
Guidant Corp. 9,700 494,797
Thermo Electron Corp. (b) 2,300 50,554
----------
545,351
----------
- -------------------------------------------------------------------
INSURANCE (1.7%)
American International Group, Inc. 2,400 145,992
Loews Corp. 2,900 124,700
MetLife, Inc. 3,700 116,180
Principal Financial Group, Inc. 7,500 235,125
----------
621,997
----------
- -------------------------------------------------------------------
METAL - DIVERSIFIED (0.2%)
Freeport-McMoRan Copper & Gold, Inc. 1,800 69,750
----------
SHARES OR
PRINCIPAL AMOUNT VALUE
- -------------------------------------------------------------------
MULTI-MEDIA (1.2%)
Clear Channel Communications, Inc. 2,600 $ 106,132
Cox Radio, Inc. (b) 2,900 64,148
Walt Disney Co. (The) 12,000 271,680
----------
441,960
----------
- -------------------------------------------------------------------
OIL & GAS (1.8%)
Burlington Resources, Inc. 1,200 58,368
Sunoco, Inc. 8,900 389,464
Transocean Sedco Forex, Inc. (b) 11,800 226,442
----------
674,274
----------
- -------------------------------------------------------------------
OIL EQUIPMENT & SERVICES (0.6%)
Halliburton Co. 9,200 219,696
----------
- -------------------------------------------------------------------
REAL ESTATE (0.2%)
LNR Property Corp. 1,800 73,620
----------
- -------------------------------------------------------------------
RETAIL (10.8%)
Amazon.com, Inc. (b) 7,900 429,918
AutoZone, Inc. (b) 2,400 230,640
Best Buy Co., Inc. (b) 3,600 209,916
Blockbuster, Inc. 4,300 82,861
CBRL Group, Inc. 5,300 205,375
Coach, Inc. (b) 1,400 49,658
CVS Corp. 4,500 158,310
Family Dollar Stores, Inc. 900 39,249
Federated Department Stores, Inc. 5,100 242,505
Home Depot, Inc. 6,300 233,541
Longs Drug Stores Corp 2,100 47,040
Penney (J.C), Co., Inc. 2,100 49,665
Saks, Inc. (b) 7,300 101,470
Staples, Inc. (b) 17,800 477,396
SUPERVALU, Inc. 1,500 37,830
Wal-Mart Stores, Inc. 25,100 1,479,645
----------
4,075,019
----------
- -------------------------------------------------------------------
SEMICONDUCTORS (7.1%)
Cypress Semiconductor Corp. (b) 1,800 38,628
Intel Corp. 58,900 1,946,645
Maxim Integrated Products, Inc. 6,200 308,202
National Semiconductor Corp. (b) 5,600 227,528
NVIDIA Corp. (b) 8,500 150,280
----------
2,671,283
----------
- -------------------------------------------------------------------
SERVICES (3.9%)
Accenture Ltd., Class A (b) 10,500 245,700
Convergys Corp. (b) 18,100 290,686
CSG Systems International, Inc. (b) 2,400 27,576
4 ANNUAL REPORT 2003
- --------------------------------------------------------------------------------
COMMON STOCKS (CONTINUED)
SHARES OR
PRINCIPAL AMOUNT VALUE
- -----------------------------------------------------------------------------------------
SERVICES (continued)
Deluxe Corp. 1,400 $ 56,518
GTECH Holdings Corp. 3,500 156,380
IMS Health, Inc. 6,900 162,357
Moody's Corp. 7,200 416,376
Waste Management, Inc. 4,400 114,048
-----------
1,469,641
-----------
- -----------------------------------------------------------------------------------------
TELECOMMUNICATIONS (3.7%)
Advanced Fibre Communications, Inc. (b 2,500 60,175
AT&T Wireless Services, Inc. (b 35,800 259,550
Avaya, Inc. (b) 3,600 46,584
Motorola, Inc. 12,500 169,125
PanAmSat Corp. (b) 6,400 132,480
QUALCOMM, Inc. 7,600 361,000
Scientific-Atlanta, Inc. 4,600 136,160
Sprint Corp., FON Group 7,400 118,400
US Cellular Corp. (b) 3,100 104,966
-----------
1,388,440
-----------
- -----------------------------------------------------------------------------------------
TRANSPORTATION (0.2%)
Hunt (JB) Transport Services, Inc. (b) 2,900 73,602
-----------
TOTAL COMMON STOCKS 37,288,817
-----------
REPURCHASE AGREEMENTS (1.0%)
SHARES OR
PRINCIPAL AMOUNT VALUE
- -----------------------------------------------------------------------------------------
CS First Boston, 0.94%, dated 10/31/03,
due 11/03/03, repurchase price $185,214
(Fully collaterailzed by AA Rated Corporate Bonds) $ 185,199 $ 185,199
Lehman Brothers, Inc., 0.94% dated 10/31/03,
due 11/03/03, repurchase price $34,299
(Fully collateralized by U.S. Agency Securities) 34,296 34,296
Nomura Securities, 0.94%, dated 10/31/03,
due 11/03/03, repurchase price $148,171
(Fully collateralized by AA Rated Corporate Bonds) 148,159 148,159
-----------
TOTAL REPURCHASE AGREEMENTS 367,654
-----------
TOTAL INVESTMENTS (COST $35,389,542) (A) - 100.0% 37,656,471
OTHER ASSETS IN EXCESS OF LIABILITIES - 0.0% 18,778
-----------
NET ASSETS - 100.0% $37,675,249
===========
(a) See notes to financial statements for unrealized appreciation
(depreciation) of securities.
(b) Denotes a non-income producing security.
At October, 31 2003 the Fund's open long futures contracts were as follows:
MARKET VALUE UNREALIZED
NUMBER OF LONG COVERED BY APPRECIATION
CONTRACTS CONTRACTS* EXPIRATION CONTRACTS (DEPRECIATION)
- ---------------------------------------------------------------------
8 S&P 500 E-mini 12/19/03 $ 419,800 $ 7,530
* Cash pledged as collateral.
SEE NOTES TO FINANCIAL STATEMENTS.
2003 ANNUAL REPORT 5
- --------------------------------------------------------------------------------
NATIONWIDE SMALL CAP FUND
Class A Shares symbol: NPSAX
Class B Shares symbol: NPSBX
Class C Shares symbol: NCSMX
Institutional Service Class symbol: NSISX
HOW DID THE FUND PERFORM?
For the annual period ended Oct. 31, 2003, the Fund returned 42.35%* versus
43.35% for its benchmark, the Russell 2000 Index.
For broader comparison, the average return for this Fund's peer category
(Small-Cap Core Funds) was 38.95%, according to Lipper, an independent company
that provides mutual fund data and analysis.
WHAT MARKET/ECONOMIC AND PORTFOLIO-SPECIFIC FACTORS AFFECTED PERFORMANCE?
Against a backdrop of improving corporate earnings, Gross Domestic Product
growth, favorable job-creation statistics, and an accommodative stance on the
part of the Federal Reserve, U.S. equity markets produced substantial positive
returns for large-, mid- and small-cap indexes for the annual period ended Oct.
31, 2003. The smallest-cap stocks were the best performers. Because the Fund's
investment process maintains overall portfolio size characteristics that are
very similar to those of the Fund's benchmark, the portfolio participated in the
small-cap rally. Overall, the Fund's portfolio outperformed the benchmark in
eight of 13 sectors.
DESCRIBE THE FUND'S TOP HOLDINGS AND ANY SIGNIFICANT TRANSACTIONS MADE DURING
THE PERIOD.
The Fund's top holdings were Commercial Federal Corp. (a bank holding company),
The Toro Co. (known for its lawnmowers), Briggs and Stratton Corp. (manufacturer
of small engines), and LandAmerica Financial Group, Inc. (provider of real
estate title insurance, escrow and closing services). Each of these stocks
constituted about 1% of the Fund's portfolio, and the prices of these Fund
holdings rose between 11% and 69% during the period.
The Fund employs a quantitative model to rank stocks and to determine whether a
stock should be purchased, sold or maintained in the portfolio. The model is
built on common-sense concepts that drive stock selection, including earnings
momentum, management action, price trend and relative value. These four main
concepts are driven by seven factors, some of which are earnings yield and
momentum (defined as Relative Value) and volatility (defined as Operating
Stability).
Significant purchases included United Stationers Inc. (office products
wholesaler) and Brown Shoe Co. Inc. Major sales by the Fund included SanDisk
Corp. (manufacturer of computer storage devices) and Avid Technology Inc.
(producer of computer peripherals). SanDisk was sold in late June because the
stock no longer qualifies to be in the Fund's small-cap universe. Avid was sold
in August because its rankings on three of the Model concepts declined after the
stock price had more than doubled.
HOW IS THE FUND POSITIONED?
The Fund continues to remain fully invested with equity sector weightings that
mimic those of the benchmark Index. The largest sector weighting differences
relative to the benchmark are overweights of approximately 1% in industrials and
telecommunications, and underweights of approximately 1% in commercial services
and utilities. The Fund's style risk exposures are very similar to those of the
Fund's benchmark, with modest but consistent biases toward stocks with earnings
momentum, and yield, and against those with high volatility.
PORTFOLIO MANAGER: INVESCO, Inc. - Subadviser
* Performance of Class A shares without sales charge and assuming all
distributions are reinvested.
PORTFOLIO MARKET VALUE $49,610,516
OCTOBER 31, 2003
AVERAGE ANNUAL TOTAL RETURN
(For Periods Ended October 31, 2003)
1 YR. INCEPTION1
- -----------------------------------------------------------
Class A w/o SC2 42.35% 8.63%
w/SC3 34.12% 7.35%
- -----------------------------------------------------------
Class B w/o SC2 41.53% 7.97%
w/SC4 36.53% 7.67%
- -----------------------------------------------------------
Class C5 w/o SC2 41.45% 8.00%
w/SC6 38.97% 7.79%
- -----------------------------------------------------------
Institutional Service Class7 42.61% 8.82%
- -----------------------------------------------------------
All figures showing the effect of a sales charge reflect the maximum charge
possible, because it has the most dramatic effect on performance data.
1 Fund commenced operations on November 2, 1998.
2 These returns do not reflect the effects of sales charges (SC).
3 A 5.75% front-end sales charge was deducted.
4 A 5.00% contingent deferred sales charge (CDSC) was deducted. The CDSC
declines to 0% after 6 years.
5 These returns until the creation of Class C shares (3/1/01) include the
performance of the Fund's Class B shares. Excluding the effect of any fee
waivers or reimbursements, such prior performance is substantially similar
to what Class C shares would have produced because Class C shares invest in
the same portfolio of securities as Class B shares and have the same
expenses after any fee waivers or reimbursements. For Class C shares
returns with sales charges, these returns have been restated for the
applicable sales charges.
6 A 1.00% front-end sales charge was deducted. A CDSC of 1.00% was also
deducted from the one year return because it is charged when you sell Class
C shares within the first year after purchase.
7 Not subject to any sales charges.
GROWTH OF A $10,000 INVESTMENT
INVESTMENT RETURN AND PRINCIPAL VALUE WILL FLUCTUATE, AND WHEN REDEEMED, SHARES
MAY BE WORTH MORE OR LESS THAN ORIGINAL COST. PAST PERFORMANCE IS NO GUARANTEE
OF FUTURE RESULTS.
Date Class A Russell 2000 CPI
- -----------------------------------------
11/2/1998 9,425 10,000 10,000
10/31/1999 10,573 11,487 10,256
10/31/2000 12,503 13,486 10,610
10/31/2001 11,241 11,774 10,835
10/31/2002 10,011 10,411 11,055
10/31/2003 14,252 14,926 11,333
Comparative performance of $10,000 invested in Class A shares of the Nationwide
Small Cap Fund, the Russell 2000 Index (Russell 2000)(a), and the Consumer Price
Index (CPI)(b) since inception. Unlike the Fund, the returns for these indices
do not reflect any fees, expenses, or sales charges.
(a) The Russell 2000 is an unmanaged index of approximately 2000 companies with
small market capitalizations relative to the market capitalizations of
other U.S. companies.
(b) The CPI represents changes in prices of a basket of goods and services
purchased for consumption by urban households.
6 ANNUAL REPORT 2003
- --------------------------------------------------------------------------------
STATEMENT OF INVESTMENTS
October 31, 2003
NATIONWIDE SMALL CAP FUND
COMMON STOCKS (97.6%)
SHARES OR
PRINCIPAL AMOUNT VALUE
- ------------------------------------------------------------------------------
AEROSPACE (0.1%)
Ducommun, Inc. (b) 1,400 $ 26,180
Moog, Inc., Class A (b) 800 33,920
----------
60,100
----------
- ------------------------------------------------------------------------------
APPAREL (1.1%)
Brown Shoe Company, Inc. 8,900 307,940
Kellwood Co. 3,400 127,058
Unifirst Corp. 1,000 26,350
----------
461,348
----------
- ------------------------------------------------------------------------------
APPLIANCES (1.0%)
Daktronics, Inc. (b) 2,500 38,725
Greif Brothers Corp., Class A 800 26,024
Quixote Corp. 1,100 26,642
Silgan Holdings, Inc. (b) 2,000 63,960
York International Corp. 6,300 250,362
----------
405,713
----------
- ------------------------------------------------------------------------------
AUTO PARTS & EQUIPMENT (1.8%)
American Axle & Manufacturing Holdings, Inc. (b) 6,400 221,440
Dura Automotive Systems, Inc. (b) 5,000 48,300
Pep Boys-Manny, Moe & Jack, Inc. 7,900 151,917
Polaris Industries, Inc. 2,600 222,560
Standard Motor Products, Inc. 1,000 11,150
Tenneco Automotive, Inc. (b) 10,300 61,388
Wabash National Corp. (b) 800 18,456
----------
735,211
----------
- ------------------------------------------------------------------------------
BANKING (5.8%)
ABC Bancorp 600 10,092
Accredited Home Lenders Holding Co. (b) 3,400 97,308
Amcore Financial, Inc. 2,700 72,900
Americanwest Bancorp (b) 600 11,976
BancFirst Corp. 200 10,794
BancorpSouth, Inc. 3,200 75,232
Bank of Granite Corp. 700 15,120
Capital Corp. (b) 500 19,170
Capitol Bancorp Ltd. 400 10,600
City Holding Co. 2,600 87,932
Columbia Banking System, Inc. 2,300 44,551
Community First Bankshares, Inc. 8,600 233,490
Dime Community Bancshares 300 8,364
First Commonwealth Financial Corp. 700 9,660
First Midwest Bancgroup, Inc. 2,500 77,250
First National Corp. 600 17,280
First Republic Bancorp, Inc. 1,200 42,960
Firstbank Corp. 5,300 176,490
Flagstar Bancorp, Inc. 12,500 278,750
Frontier Financial Corp. 1,100 34,485
Humboldt Bancorp 800 13,040
Independent Bank Corp. 1,700 49,181
SHARES OR
PRINCIPAL AMOUNT VALUE
- ------------------------------------------------------------------------------
BANKING (continued)
ITLA Capital Corp. (b) 700 $ 32,585
Local Financial Corp. (b) 2,900 56,289
Massbank Corp. 400 16,220
Mid-State Bancshares 700 17,031
New Century Financial Corp. 6,600 244,728
Oriental Financial Group, Inc. 2,400 61,488
Patriot Bank Corp. 800 16,776
Peoples Holding Co. 200 9,732
Privatebancorp, Inc. 400 16,200
S & T Bancorp, Inc. 300 9,072
Sandy Spring Bancorp, Inc. 600 21,642
Second Bancorp, Inc. 1,200 33,240
Simmons First National Corp., Class A 1,100 28,215
State Bancorp, Inc. 500 10,325
State Financial Services Corp. 600 15,798
Staten Island Bancorp, Inc. 5,000 99,650
Sterling Bancorp, Inc. 1,100 32,131
Suffolk Bancorp 400 14,004
Susquehanna Bancshares, Inc. 4,800 120,240
Trustmark Corp. 2,200 62,634
Union Bankshares Corp. 300 9,582
United Community Financial Corp. 2,600 28,808
Wesbanco, Inc. 500 13,335
West Coast Bancorp, Inc. 1,000 20,850
----------
2,387,200
----------
- ------------------------------------------------------------------------------
BUILDING MATERIALS (2.5%)
AMCOL International Corp. 5,300 95,612
Brookfield Homes Corp. 1,600 34,640
Building Materials Holding Corp. 1,200 16,968
Carlisle Companies, Inc. 4,500 258,075
Centex Construction Products, Inc. 1,400 75,460
Hughes Supply, Inc. 6,800 262,820
M/I Schottenstein Homes, Inc. 4,500 187,335
USG Corp. (b) 4,000 67,000
Walter Industries, Inc. 3,700 43,956
----------
1,041,866
----------
- ------------------------------------------------------------------------------
BUSINESS EQUIPMENT & SERVICES (1.8%)
Angelica Corp. 2,600 53,560
CDI Corp. 3,100 101,525
Consolidated Graphics, Inc. (b) 2,100 58,065
CSS Industries, Inc. 900 24,291
John H. Harland Co. 3,600 98,028
New England Business Services, Inc. 1,800 52,380
Per-Se Technologies, Inc. (b) 3,200 43,520
US Oncology, Inc. (b) 30,300 331,482
----------
762,851
----------
2003 ANNUAL REPORT 7
- --------------------------------------------------------------------------------
STATEMENT OF INVESTMENTS (Continued)
October 31, 2003
NATIONWIDE SMALL CAP FUND (Continued)
COMMON STOCKS (CONTINUED)
SHARES OR
PRINCIPAL AMOUNT VALUE
- ----------------------------------------------------------------------
CAPITAL GOODS (0.8%)
C&D Technologies, Inc. 7,200 $ 143,496
Middleby Corp. (b) 3,100 80,631
Presstek, Inc. (b) 3,200 24,672
Watsco, Inc. 4,000 85,640
----------
334,439
----------
- ----------------------------------------------------------------------
CHEMICALS (2.2%)
Albemarle Corp. 3,200 85,824
Arch Chemicals, Inc. 2,900 64,322
Cytec Industries, Inc. (b) 2,900 101,239
Ethyl Corp. (b) 2,200 35,420
Hercules, Inc. (b) 10,700 111,815
MacDermid, Inc. 4,200 125,496
Material Sciences Corp. 1,400 13,132
Octel Corp. 2,100 39,081
TETRA Technologies, Inc. (b) 13,800 312,018
----------
888,347
----------
- ----------------------------------------------------------------------
COMMUNICATION EQUIPMENT (1.3%)
Applied Signal Technology, Inc. 2,000 41,400
Comtech Telecommunications Corp. (b) 6,600 194,370
Intervoice, Inc. (b) 7,700 80,157
ParthusCeva, Inc. (b) 1,500 11,085
Sonus Networks, Inc. (b) 25,900 212,639
----------
539,651
----------
- ----------------------------------------------------------------------
COMPUTER SOFTWARE & SERVICES (8.0%)
Advanced Digital Information Corp. (b) 13,000 211,250
Akamai Technologies, Inc. (b) 17,200 135,880
Ansys, Inc. (b) 3,300 117,612
Captaris, Inc. (b) 1,800 10,710
Cerner Corp. (b) 300 12,711
Checkpoint Systems, Inc. (b) 1,900 35,796
CNET Networks, Inc. (b) 1,500 12,210
Concord Communications, Inc. (b) 1,300 23,283
Datastream Systems, Inc. (b) 1,900 14,744
Dendrite International, Inc. (b) 8,600 129,860
Digitas, Inc. (b) 2,300 20,010
Electronics for Imaging, Inc. (b) 1,800 48,780
Epicor Software Corp. (b) 11,300 114,243
Eresearch Technology, Inc. (b) 5,500 252,945
Hutchinson Technology, Inc. (b) 5,100 170,901
Hyperion Solutions Corp. (b) 6,200 207,638
Informatica Corp. (b) 1,300 14,170
Inter-Tel, Inc. 400 10,076
Keane, Inc. (b) 21,000 275,940
Keynote Systems, Inc. (b) 2,300 26,105
Macromedia, Inc. (b) 4,100 78,351
ManTech International Corp. (b) 600 14,676
Mercury Computer Systems, Inc. (b) 5,400 116,154
Micromuse, Inc. (b) 20,000 161,000
SHARES OR
PRINCIPAL AMOUNT VALUE
- ----------------------------------------------------------------------
COMPUTER SOFTWARE & SERVICES (continued)
Netegrity, Inc. (b) 6,200 $ 73,532
Omicell, Inc. (b) 4,900 69,727
Pomeroy IT Solutions, Inc. 800 11,504
Progress Software Corp. (b) 800 17,656
Rainbow Technologies, Inc. (b) 2,200 27,082
RSA Security, Inc. (b) 6,900 89,493
SERENA Software, Inc. (b) 900 15,525
Silicon Storage Technology, Inc. (b) 10,200 114,036
SOURCECORP, Inc. (b) 600 14,058
SRA International, Inc., Class A (b) 2,200 95,832
SS&C Technologies, Inc. 3,400 74,800
Stratasys, Inc. (b) 4,000 190,400
Sykes Enterprises, Inc. (b) 5,100 47,532
Transaction Systems Architects, Inc. (b) 10,400 208,000
----------
3,264,222
----------
- ----------------------------------------------------------------------
CONSUMER GOODS & SERVICES (2.0%)
Alderwoods Group, Inc. (b) 6,600 49,170
Chattem, Inc. (b) 6,000 88,020
Coinstar, Inc. (b) 5,100 74,715
Department 56, Inc. (b) 1,500 21,075
Interstate Bakeries Corp. 7,300 107,164
Kaydon Corp. 700 16,639
Nautilus Group Inc. 3,200 49,952
Nu Skin Enterprises, Inc. 3,500 55,545
R. H. Donnelley Corp. (b) 2,700 115,803
TBC Corp. (b) 2,300 62,537
The Advisory Board Co. (b) 4,000 145,560
Thomas Nelson, Inc. 2,700 42,795
----------
828,975
----------
- ----------------------------------------------------------------------
DISTRIBUTION (2.0%)
Bandag, Inc. 5,100 186,660
Handleman Co. 11,700 207,675
Keystone Automotive Industries, Inc. (b) 500 12,365
Sanderson Farms, Inc. 800 28,112
United Stationers, Inc. (b) 10,400 386,984
----------
821,796
----------
- ----------------------------------------------------------------------
DRUGS (1.5%)
Idexx Laboratories, Inc. (b) 8,600 406,780
Incyte Pharmaceuticals, Inc. (b) 11,800 62,304
Perrigo Co. 9,800 131,810
----------
600,894
----------
- ----------------------------------------------------------------------
EDUCATIONAL SERVICES (0.3%)
ITT Educational Services, Inc. (b) 1,400 69,720
Renanissance Learning, Inc. (b) 2,800 70,448
----------
140,168
----------
8 ANNUAL REPORT 2003
- --------------------------------------------------------------------------------
COMMON STOCKS (CONTINUED)
SHARES OR
PRINCIPAL AMOUNT VALUE
- -------------------------------------------------------------------------
ELECTRONICS (4.6%)
Artesyn Technologies, Inc. (b) 7,200 $ 59,256
Audiovox Corp. (b) 4,200 50,400
Benchmark Electronics, Inc. (b) 6,300 306,936
Cable Design Technologies Corp. (b) 8,600 82,904
Cyberonics, Inc. (b) 1,000 27,350
Dionex Corp. (b) 400 17,016
Exar Corp. (b) 8,500 136,765
II-VI, Inc. (b) 3,900 92,547
Innovex, Inc. (b) 6,800 76,840
Integrated Electrical Services, Inc. (b) 4,300 30,530
Kopin Corp. (b) 2,000 14,660
Methode Electronics, Inc. 7,000 83,370
Metrologic Instruments, Inc. (b) 1,200 28,116
Microsemi Corp. (b) 11,100 229,770
MTS Systems Corp. 2,100 36,939
OmniVision Technologies, Inc. (b) 2,500 142,000
Planar Systems, Inc. (b) 1,900 43,966
Power Integrations, Inc. (b) 6,500 226,330
RadiSys Corp. (b) 2,600 50,830
Rofin-Sinar Technologies, Inc. (b) 2,700 64,125
Stoneridge, Inc. (b) 2,200 30,118
The Genlyte Group, Inc. (b) 1,000 47,160
TTM Technologies, Inc. (b) 1,400 22,540
UIL Holdings Corp. 300 11,268
----------
1,911,736
----------
- -------------------------------------------------------------------------
ENERGY (1.5%)
Avista Corp. 3,700 62,900
Cleco Corp. 18,000 301,500
El Paso Electric Corp. (b) 2,700 32,778
Headwaters, Inc. (b) 2,600 48,724
Oceaneering International, Inc. (b) 900 20,754
UniSource Energy Corp. 2,000 38,600
Westmoreland Coal Co. (b) 1,100 16,181
Woodward Governor Co. 1,800 83,268
----------
604,705
----------
- -------------------------------------------------------------------------
ENTERTAINMENT (0.8%)
Emmis Communications Corp. (b) 1,200 26,616
Shuffle Master, Inc. (b) 4,200 127,848
Sinclair Broadcast Group, Inc., Class A (b) 8,700 101,268
World Wrestling Entertainment, Inc. 1,800 20,142
Young Broadcasting, Inc., Class A (b) 2,500 50,225
----------
326,099
----------
- -------------------------------------------------------------------------
FINANCIAL/BANKS (4.8%)
CCBT Financial Companies, Inc. 500 13,295
Commercial Capital Bancorp, Inc. (b) 7,000 131,390
Commercial Federal Corp. 17,300 445,302
Community Trust Bancorp, Inc. 1,000 32,250
Corus Bankshares, Inc. 1,100 64,680
SHARES OR
PRINCIPAL AMOUNT VALUE
- -------------------------------------------------------------------------
FINANCIAL/BANKS (continued)
First Place Financial Corp. 1,300 $ 25,025
Flushing Financial Corp. 1,900 46,075
Hudson United Bancorp 7,200 261,288
Interchange Financial Services Corp. 500 12,315
Irwin Financial Corp. 4,400 123,332
Nara Bankcorp, Inc. 900 20,340
Oceanfirst Financial Corp. 1,600 41,824
Old Second Bancorp, Inc. 300 13,803
PFF Bancorp, Inc. 1,600 59,680
Provident Bankshares Corp. 6,200 192,386
Provident Financial Group, Inc. 3,100 91,295
Provident Financial Holdings, Inc. 400 12,704
R & G Finanical Corp., Class B 5,000 164,500
Saxon Capital, Inc. (b) 2,000 37,720
West America Bank Corp. 3,100 155,186
Western Sierra Bancorp (b) 315 11,772
WSFS Financial Corp. 600 25,590
----------
1,981,752
----------
- -------------------------------------------------------------------------
FINANCIAL/MISCELLANEOUS (2.9%)
CompuCredit Corp. (b) 7,900 156,183
FirstFed Financial Corp. (b) 3,800 171,000
Fremont General Corp. 15,700 261,091
Silicon Valley Bancshares (b) 8,500 298,350
Stewart Information Services Corp. (b) 7,600 236,740
USB Holding Co., Inc. 1,500 28,050
World Acceptance Corp. (b) 2,000 35,880
----------
1,187,294
----------
- -------------------------------------------------------------------------
FOOD & RELATED (1.0%)
Chiquita Brands International, Inc. (b) 9,300 172,050
Ralcorp Holding, Inc. (b) 9,300 255,750
----------
427,800
----------
- -------------------------------------------------------------------------
HEALTHCARE (2.9%)
AMN Healthcare Services, Inc. (b) 4,900 74,088
Candela Corp. (b) 9,300 159,495
Cytyc Corp. (b) 1,100 14,223
Digene Corp. (b) 4,900 172,480
INAMED Corp. (b) 600 51,822
Luminex Corp. (b) 3,300 29,106
Mentor Corp. 4,900 99,225
PSS World Medical, Inc. (b) 7,000 65,240
Tanox, Inc. (b) 4,800 86,160
Techne Corp. (b) 12,300 428,409
Ventana Medical Systems, Inc. (b) 300 12,552
----------
1,192,800
----------
2003 ANNUAL REPORT 9
- --------------------------------------------------------------------------------
STATEMENT OF INVESTMENTS (Continued)
October 31, 2003
NATIONWIDE SMALL CAP FUND (Continued)
COMMON STOCKS (CONTINUED)
SHARES OR
PRINCIPAL AMOUNT VALUE
- -----------------------------------------------------------------------
HOTELS/MOTELS (1.5%)
Aztar Corp. (b) 12,500 $ 261,000
Choice Hotels International, Inc. (b) 9,300 307,086
La Quinta Corp. (b) 10,300 63,551
----------
631,637
----------
- -----------------------------------------------------------------------
INSURANCE (2.1%)
American Medical Security Group, Inc. (b) 2,800 63,896
Amerus Group Co. 400 15,100
FPIC Insurance Group, Inc. (b) 1,600 28,224
LandAmerica Financial Group, Inc. 9,000 450,090
Stancorp Financial Group, Inc. 4,100 258,505
UICI (b) 4,300 64,328
----------
880,143
----------
- -----------------------------------------------------------------------
INTERNET (1.7%)
Ask Jeeves, Inc. (b) 9,000 172,440
Centillium Communications, Inc. (b) 9,200 49,312
Corillian Corp. (b) 6,300 41,643
eCollege.com, Inc. (b) 2,400 52,056
Netflix.Com, Inc. (b) 4,200 240,660
SupportSoft, Inc. (b) 1,500 17,985
TheStreet.com, Inc. (b) 3,500 15,820
United Online, Inc. (b) 1,400 40,306
Websense, Inc. (b) 3,300 77,220
----------
707,442
----------
- -----------------------------------------------------------------------
MACHINERY (3.7%)
Applied Industrial Technology, Inc. 5,900 133,045
Briggs & Stratton Corp. 6,500 422,565
Cascade Corp. 2,600 62,270
Cognex Corp. 2,100 56,385
Global Power Equipment Group, Inc. (b) 3,100 18,321
Lennox International, Inc. 8,800 145,552
Lincoln Electric Holdings, Inc. 3,100 75,609
Powell Industries, Inc. (b) 800 15,504
Toro Co. 8,800 437,360
Unova, Inc. (b) 6,800 147,628
----------
1,514,239
----------
- -----------------------------------------------------------------------
MANUFACTURING (1.4%)
Ceradyne, Inc. (b) 7,000 290,780
Griffon Corp. (b) 2,900 56,115
Integrated Device Technology, Inc. (b) 2,400 37,680
Jacuzzi Brands, Inc. (b) 10,600 74,730
Mueller Industries, Inc. (b) 3,700 116,772
----------
576,077
----------
- -----------------------------------------------------------------------
MEDICAL (4.5%)
Adolor Corp. (b) 11,800 215,586
Advanced Medical Optics, Inc. (b) 17,600 354,992
Alaris Medical, Inc. (b) 4,900 75,999
SHARES OR
PRINCIPAL AMOUNT VALUE
- -----------------------------------------------------------------------
MEDICAL (continued)
Albany Molecular Research, Inc. (b) 9,000 $ 132,300
Applied Molecular Evolution, Inc. (b) 1,200 14,916
Biolase Technology, Inc. (b) 3,000 39,360
Bioreliance Corp. (b) 1,000 34,180
Closure Medical Corp. (b) 1,900 58,539
DJ Orthopedics, Inc. (b) 4,900 87,955
Enzo Biochem, Inc. (b) 7,000 129,500
Exact Sciences Corp. (b) 1,100 11,682
Excel Technology, Inc. (b) 1,000 28,150
Genencor International, Inc. (b) 2,700 41,310
Hanger Orthopedic Group, Inc. (b) 800 13,640
Kensey Nash Corp. (b) 3,800 82,232
LCA-Vision, Inc. (b) 1,900 30,837
Lexicon Genetics, Inc. (b) 3,000 16,800
Maxygen, Inc. (b) 2,900 27,550
Merit Medical Systems, Inc. (b) 1 26
Savient Pharmaceuticals, Inc. (b) 8,500 51,425
Synovis Life Technologies, Inc. (b) 5,700 134,748
VISX, Inc. (b) 11,000 266,860
----------
1,848,587
----------
- -----------------------------------------------------------------------
METALS (1.2%)
Brush Engineered Materials, Inc. (b) 2,900 36,917
Century Aluminum Co. (b) 2,200 36,212
Hecla Mining Co. (b) 15,300 90,270
NN, Inc. 3,600 43,200
RTI International Metals, Inc. (b) 4,100 49,241
Schnitzer Steel Industries, Inc. 1,300 48,984
Southern Peru Copper Corp. 3,200 91,072
USEC, Inc. 2,500 18,625
Valmont Industries, Inc. 4,000 83,200
----------
497,721
----------
- -----------------------------------------------------------------------
OIL & GAS (3.1%)
Airgas, Inc. 5,500 105,325
Cabot Oil & Gas Corp. 7,600 194,180
Cascade Natural Gas Corp. 600 11,700
Clayton Williams Energy, Inc. (b) 600 12,600
Comstock Resources, Inc. (b) 14,700 219,471
Gulf Island Fabrication, Inc. (b) 2,000 30,100
KCS Energy, Inc. (b) 4,700 37,459
Nuevo Energy Co. (b) 4,300 84,624
Oil States International, Inc. (b) 5,200 63,700
Southern Union Co. (b) 12,000 211,320
Vintage Petroleum, Inc. 23,500 271,425
World Fuel Services Corp. 1,700 48,722
----------
1,290,626
----------
10 ANNUAL REPORT 2003
- --------------------------------------------------------------------------------
COMMON STOCKS (CONTINUED)
SHARES OR
PRINCIPAL AMOUNT VALUE
- ---------------------------------------------------------------------------------
PAPER & RELATED PRODUCTS (0.4%)
Chesapeake Corp. 1,800 $ 43,920
Longview Fibre Co. 2,900 31,175
Universal Forest Products, Inc. 2,600 76,960
----------
152,055
----------
- ---------------------------------------------------------------------------------
PHARMACEUTICALS (1.5%)
Atherogenics, Inc. (b) 900 14,841
Connetics Corp. (b) 3,900 69,849
Encysive Pharmaceuticals, Inc. (b) 8,800 55,704
Gen-Probe, Inc. (b) 8,100 216,837
Kos Pharmaceuticals, Inc. (b) 5,400 214,434
Nabi Biopharmaceuticals (b) 4,900 54,047
----------
625,712
----------
- ---------------------------------------------------------------------------------
REAL ESTATE (5.1%)
American Land Lease, Inc. 1,000 18,200
Associated Estates Realty Corp. 2,800 18,088
Bedford Property Investors, Inc. 2,900 76,154
Boykin Lodging Co. 3,100 25,668
Camden Property Trust 400 15,840
Capital Automotive REIT 3,100 96,441
Cornerstone Realty Income Trust, Inc. 1,300 10,751
Correctional Properties Trust 500 13,545
Equity Inns, Inc. 8,200 69,290
Essex Property Trust, Inc. 500 29,940
Felcor Lodging Trust, Inc. 6,100 62,159
Gables Residential Trust 4,300 138,374
Great Lakes, Inc. REIT 1,300 20,839
Highwood Properties, Inc. 2,000 49,600
HRPT Properties Trust 11,400 106,704
IndyMac Mortgage Holdings, Inc. 5,100 149,940
InnKeepers USA Trust REIT 4,700 40,890
Keystone Property Trust 3,200 64,000
Kilroy Realty Corp. 4,000 115,600
Koger Equity, Inc. 4,400 85,228
LTC Properties, Inc. 2,600 30,784
MeriStar Hospitality Corp. REIT (b) 27,300 186,459
Mission West Properties 2,800 35,084
National Health Investors, Inc. 4,000 85,000
Post Properties, Inc. 1,400 36,960
Shurgard Storage Centers, Inc. 4,000 144,800
Sizeler Property Investors 2,700 28,458
SL Green Realty Corp. 5,300 191,595
Sovran Self Storage, Inc. 3,500 118,475
Urstadt Biddle, Inc., Class A 600 8,130
Winston Hotels, Inc. 2,900 29,145
----------
2,102,141
----------
- ---------------------------------------------------------------------------------
RESTAURANTS (1.0%)
Papa John's International, Inc. (b) 10,300 270,993
Ryan Family Steak Houses, Inc. (b) 8,300 115,702
The Steak n Shake Co. (b) 700 12,110
----------
398,805
----------
SHARES OR
PRINCIPAL AMOUNT VALUE
- ---------------------------------------------------------------------------------
RETAIL (6.1%)
Aeropostale, Inc. (b) 7,100 $ 219,035
BJ's Wholesale Club, Inc. (b) 800 20,552
Bombay Co., Inc. (b) 4,800 63,264
Brookstone, Inc. (b) 2,600 53,118
Callaway Golf Co. 20,400 331,500
Central Garden & Pet Co. (b) 600 16,596
Claire's Stores, Inc. 8,000 309,600
Finlay Enterprises, Inc. (b) 900 13,626
Footstar, Inc. (b) 9,700 60,625
Jos. A. Bank Clothiers, Inc. (b) 4,100 177,817
K-Swiss, Inc., Class A 2,000 87,880
Lone Star Steakhouse & Saloon, Inc. 4,900 107,163
Men's Wearhouse (The), Inc. (b) 8,100 238,626
Rex Stores Corp. (b) 1,100 17,336
ShopKo Stores, Inc. (b) 16,200 250,776
Sonic Automotive, Inc. 2,500 56,750
Stage Stores, Inc. (b) 10,600 304,962
The Pantry, Inc. (b) 1,500 24,600
Trans World Entertainment Corp. (b) 1,700 11,050
Zale Corp. (b) 3,100 160,456
----------
2,525,332
----------
- ---------------------------------------------------------------------------------
SEMICONDUCTORS (2.7%)
Actel Corp. (b) 2,800 75,544
Cohu, Inc. 3,600 72,252
ESS Technology, Inc. (b) 15,200 210,976
International Rectifier Corp. (b) 400 19,092
Photronics, Inc. (b) 10,000 215,400
Silicon Laboratories, Inc. (b) 3,800 205,124
Standard Microsystems Corp. (b) 2,400 72,000
Ultratech Stepper, Inc. (b) 6,100 190,381
Varian Semiconductor Equipment Associates, Inc. (b) 700 33,845
Vitesse Semiconductor Corp. (b) 1,600 11,264
----------
1,105,878
----------
- ---------------------------------------------------------------------------------
SERVICES (3.3%)
American Management Systems, Inc. (b) 1,100 16,280
Aquantive, Inc. (b) 14,500 152,250
Exult, Inc. (b) 6,400 50,752
Gevity HR, Inc. 11,700 176,904
J2 Global Communications, Inc. (b) 5,300 150,096
Labor Ready, Inc. (b) 20,000 217,400
MemberWorks, Inc. (b) 6,600 190,608
Modis Professional Services, Inc. 1,400 88,690
PDI, Inc. (b) 2,100 45,675
Quality Systems, Inc. (b) 1,500 71,730
Service Corp. International (b) 34,200 165,870
Sybase, Inc. (b) 1,000 17,900
Wackenhut Corrections Corp. (b) 800 16,656
----------
1,360,811
----------
2003 ANNUAL REPORT 11
- --------------------------------------------------------------------------------
STATEMENT OF INVESTMENTS (Continued)
October 31, 2003
NATIONWIDE SMALL CAP FUND (Continued)
COMMON STOCKS (CONTINUED)
REPURCHASE AGREEMENTS (2.4%)
SHARES OR
PRINCIPAL AMOUNT VALUE
- --------------------------------------------------------------------------------------------------
STEEL (0.2%)
Carpenter Technology Corp. 3,900 $ 100,815
-----------
- -------------------------------------------------------------------------------------------------
TELECOMMUNICATIONS (3.9%)
Anaren Microwave, Inc. (b) 1,200 16,980
Anixter International, Inc. (b) 1,200 28,656
Aspect Communications Corp. (b) 6,900 93,357
Cincinnati Bell, Inc. (b) 53,700 274,407
Commonwealth Telephone Enterprises, Inc. (b) 2,100 85,596
DSP Group, Inc. (b) 5,900 140,892
Evolving Systems, Inc. (b) 4,700 72,098
General Cable Corp. (b) 5,200 49,348
General Communication, Inc. (b) 4,900 48,314
Inet Technologies, Inc. (b) 3,500 47,075
Performance Technologies, Inc. (b) 1,300 13,507
Plantronics, Inc. (b) 7,400 205,794
Safenet, Inc. (b) 300 10,005
Spanish Broadcasting System, Inc. (b) 8,600 77,400
Spectralink Corp. (b) 3,000 52,800
Surewest Communications 1,600 63,792
Talk America Holdings, Inc. (b) 5,600 69,888
Ulticom, Inc (b) 2,800 29,680
Western Wireless Corp., Class A (b) 11,400 221,160
-----------
1,600,749
-----------
- -------------------------------------------------------------------------------------------------
TIRE & RUBBER (0.1%)
Cooper Tire & Rubber Co. 2,300 45,218
-----------
- -------------------------------------------------------------------------------------------------
TOBACCO (0.5%)
DIMON, Inc. 1,600 11,520
Schweitzer-Mauduit International, Inc. 3,500 93,100
Universal Corp. 2,100 91,518
-----------
196,138
-----------
- -------------------------------------------------------------------------------------------------
TRANSPORTATION (2.9%)
Airtran Holdings, Inc. (b) 17,000 275,570
America West Holdings Corp., Class B (b) 10,800 155,736
ExpressJet Holdings, Inc. (b) 20,400 312,120
Landstar System, Inc. (b) 2,400 175,296
Navigant International, Inc. (b) 1,700 25,619
Oshkosh Truck Corp. 4,500 206,235
SCS Transportation, Inc. (b) 800 12,008
The Greenbrier Companies, Inc. (b) 2,000 25,280
-----------
1,187,864
-----------
TOTAL COMMON STOCKS 40,252,957
-----------
REPURCHASE AGREEMENTS (2.4%)
SHARES OR
PRINCIPAL AMOUNT VALUE
- ---------------------------------------------------------------------------------------------------------
CS First Boston, 0.94%, dated 10/31/03,
due 11/03/03, repurchase price $503,107
(Fully collateralized by AA Rated Corporate Bonds) $ 503,068 $ 503,068
Lehman Brothers, Inc., 0.94%, dated 10/31/03,
due 11/03/03, repurchase price $93,167
(Fully collateralized by U.S. Agency Securities) 93,160 93,160
Nomura Securities, 0.94%, dated 10/31/03,
due 11/03/03, repurchase price $402,486
(Fully collateralized by AA Rated Corporate Bonds) 402,454 402,454
------------
TOTAL REPURCHASE AGREEMENTS 998,682
------------
SHORT-TERM INVESTMENTS PURCHASED WITH CASH COLLATERAL
RECEIVED FOR SECURITIES ON LOAN (20.3%)
REPURCHASE AGREEMENTS (20.3%)
Nomura Securities, 1.07%, dated 10/31/03,
due 11/03/03, repurchase price $8,359,622
(Fully collateralized by U.S. Agency Securities) 8,358,877 8,358,877
------------
TOTAL SHORT-TERM INVESTMENTS PURCHASED WITH
CASH COLLATERAL RECEIVED FOR SECURITIES ON LOAN 8,358,877
------------
TOTAL INVESTMENTS (COST $42,389,319) (A) - 120.3% 49,610,516
------------
LIABILITIES IN EXCESS OF OTHER ASSETS -(20.3)% (8,371,974)
------------
NET ASSETS - 100.0% $41,238,542
============
(a) See notes to financials for unrealized appreciation (depreciation) of
securities.
(b) Denotes a non-income producing security.
REIT Real Estate Investment Trust
At October, 31 2003 the Fund's open long futures contracts were as follows:
MARKET
VALUE UNREALIZED
NUMBER OF LONG COVERED BY APPRECIATION
CONTRACTS CONTRACTS* EXPIRATION CONTRACTS (DEPRECIATION)
- ---------------------------------------------------------------------------------------
3 Russell 2000 12/19/03 $ 792,525 $ 24,133
* Cash pledged as collateral.
SEE NOTES TO FINANCIAL STATEMENTS.
12 ANNUAL REPORT 2003
- --------------------------------------------------------------------------------
STATEMENTS OF ASSETS AND LIABILITIES
October 31, 2003
NATIONWIDE NATIONWIDE
LARGE CAP SMALL
GROWTH FUND CAP FUND
- -----------------------------------------------------------------------------------------------------------------
ASSETS:
Investments, at value (cost $35,021,888 and $33,031,760; respectively) $ 37,288,817 $40,252,957
Repurchase agreements, at cost 367,654 998,682
Investments purchased with cash collateral received for securities on loan, at cost - 8,358,877
---------------------------
Total Investment 37,656,471 49,610,516
---------------------------
Cash 69,105 17,913
Interest and dividends receivable 19,040 23,698
Receivable for investments sold - 12,598
Receivable for variation margin on futures contracts 400 -
Prepaid expenses and other assets 2,680 5,222
---------------------------
Total Assets 37,747,696 49,669,947
---------------------------
LIABILITIES:
Payable to adviser 7,884 1,557
Payable for investments purchased - 3,423
Payable for variation margin on futures contracts - 4,125
Payable for return of collateral received for securities on loan - 8,358,877
Accrued expenses and other payables
Investment advisory fees 25,221 32,456
Fund administration and transfer agent fees 10,142 8,310
Distribution fees 7,261 5,899
Administrative servicing fees 5,163 5,888
Other 16,776 10,870
---------------------------
Total Liabilities 72,447 8,431,405
---------------------------
NET ASSETS $ 37,675,249 $41,238,542
===========================
REPRESENTED BY:
Capital $ 59,777,622 $33,630,277
Accumulated net investment income (loss) - -
Accumulated net realized gains (losses) from investment and futures transactions (24,376,832) 362,935
Net unrealized appreciation (depreciation) on investments and futures 2,274,459 7,245,330
---------------------------
NET ASSETS $ 37,675,249 $41,238,542
===========================
NET ASSETS:
Class A Shares $ 26,410,726 $21,197,780
Class B Shares 1,996,316 1,367,729
Class C Shares 53,307 89,328
Institutional Service Class Shares 9,214,900 18,583,705
---------------------------
Total $ 37,675,249 $41,238,542
===========================
SHARES OUTSTANDING (unlimited number of shares authorized):
Class A Shares 3,288,634 1,549,171
Class B Shares 259,316 102,924
Class C Shares 6,923 6,712
Institutional Service Class Shares 1,136,393 1,347,984
---------------------------
Total 4,691,266 3,006,791
===========================
NET ASSET VALUE:
Class A Shares $ 8.03 $ 13.68
Class B Shares (a) $ 7.70 $ 13.29
Class C Shares (b) $ 7.70 $ 13.31
Institutional Service Class Shares $ 8.11 $ 13.79
MAXIMUM OFFERING PRICE PER SHARE (100%/(100%-maximum sales charge)
of net asset value adjusted to the nearest cent):
Class A Shares $ 8.52 $ 14.51
Class C Shares $ 7.78 $ 13.44
---------------------------
Maximum Sales Charge - Class A Shares 5.75% 5.75%
===========================
Maximum Sales Charge - Class C Shares 1.00% 1.00%
===========================
(a) For Class B shares, the redemption price per share varies by length of time
shares are held.
(b) For Class C shares, the redemption price per share is reduced by 1.00% for
shares held less than one year.
See notes to financial statements.
2003 ANNUAL REPORT 13
- --------------------------------------------------------------------------------
STATEMENTS OF OPERATIONS
For the Year Ended October 31, 2003
NATIONWIDE NATIONWIDE
LARGE CAP SMALL CAP
GROWTH FUND FUND
- -----------------------------------------------------------------------------------------------------------
INVESTMENT INCOME:
Interest income $ 3,698 $ 11,822
Dividend income 371,275 336,151
---------------------------
Total Income 374,973 347,973
---------------------------
EXPENSES:
Investment advisory fees 282,790 279,300
Fund administration and transfer agent fees 55,694 52,013
Distribution fees Class A 66,114 49,156
Distribution fees Class B 17,808 10,741
Distribution fees Class C 430 609
Administrative servicing fees Class A 37,419 27,500
Administrative servicing fees Institutional Service Class 17,823 21,506
Registration and filing fees 32,534 32,343
Other 30,507 19,178
---------------------------
Total expenses before reimbursed expenses 541,119 492,346
Expenses reimbursed (30,018) (29,797)
---------------------------
Total Expenses 511,101 462,549
---------------------------
NET INVESTMENT INCOME (LOSS) (136,128) (114,576)
---------------------------
REALIZED/UNREALIZED GAINS (LOSSES) FROM INVESTMENTS:
Net realized gains (losses) on investment transactions (1,570,309) 1,660,362
Net realized gains (losses) on futures transactions (19,728) 215,972
---------------------------
Net realized gains (losses) on investment and futures transactions (1,590,037) 1,876,334
Net change in unrealized appreciation/depreciation on investments and futures 8,541,496 9,480,092
---------------------------
Net realized/unrealized gains (losses) on investments and futures 6,951,459 11,356,426
---------------------------
CHANGE IN NET ASSETS RESULTING FROM OPERATIONS $ 6,815,331 $11,241,850
===========================
See notes to financial statements.
14 ANNUAL REPORT 2003
- --------------------------------------------------------------------------------
STATEMENTS OF CHANGES IN NET ASSETS
NATIONWIDE NATIONWIDE
LARGE CAP SMALL CAP
GROWTH FUND FUND
----------------------------------------------------------------------------
YEAR ENDED YEAR ENDED YEAR ENDED YEAR ENDED
OCTOBER 31, 2003 OCTOBER 31, 2002 OCTOBER 31, 2003 OCTOBER 31, 2002
----------------------------------------------------------------------------
FROM INVESTMENT ACTIVITIES:
OPERATIONS:
Net investment income (loss) $ (136,128) $ (192,951) $ (114,576) $ (65,503)
Net realized gains (losses) on investment and
futures transactions (1,590,037) (11,764,046) 1,876,334 (958,702)
Net change in unrealized appreciation/
depreciation on investments and
futures 8,541,496 3,737,134 9,480,092 (2,267,672)
----------------------------------------------------------------------------
Change in net assets resulting
from operations 6,815,331 (8,219,863) 11,241,850 (3,291,877)
----------------------------------------------------------------------------
Change in net assets from capital
transactions (4,276,838) (8,672) 2,873,384 3,866,916
----------------------------------------------------------------------------
Change in net assets 2,538,493 (8,228,535) 14,115,234 575,039
NET ASSETS:
Beginning of period 35,136,756 43,365,291 27,123,308 26,548,269
----------------------------------------------------------------------------
End of period $ 37,675,249 $ 35,136,756 $ 41,238,542 $ 27,123,308
=============================================================================
See notes to financial statements.
2003 ANNUAL REPORT 15
- --------------------------------------------------------------------------------
FINANCIAL HIGHLIGHTS
Selected Data for Each Share of Capital Outstanding
NATIONWIDE LARGE CAP GROWTH FUND
INVESTMENT ACTIVITIES DISTRIBUTIONS
----------------------------------------------------------------------------------------
NET
REALIZED
NET AND NET
ASSET UNREALIZED TOTAL ASSET
VALUE, NET GAINS FROM NET VALUE,
BEGINNING INVESTMENT (LOSSES) ON INVESTMENT REALIZED TOTAL END OF
OF PERIOD INCOME (LOSS) INVESTMENTS ACTIVITIES GAINS DISTRIBUTIONS PERIOD
- -----------------------------------------------------------------------------------------------------------------------------
CLASS A SHARES
Period Ended
October 31, 1999 (d) $ 10.00 (0.04) 3.62 3.58 - - $ 13.58
Year Ended October 31, 2000 $ 13.58 (0.04) 1.03 0.99 (0.20) (0.20) $ 14.37
Year Ended October 31, 2001 $ 14.37 (0.04) (5.55) (5.59) (0.49) (0.49) $ 8.29
Year Ended October 31, 2002 $ 8.29 (0.04) (1.57) (1.61) - - $ 6.68
Year Ended October 31, 2003 $ 6.68 (0.03) 1.38 1.35 - - $ 8.03
CLASS B SHARES
Period Ended October 31, 1999 (d) $ 10.00 (0.12) 3.62 3.50 - - $ 13.50
Year Ended October 31, 2000 $ 13.50 (0.06) 0.94 0.88 (0.20) (0.20) $ 14.18
Year Ended October 31, 2001 $ 14.18 (0.11) (5.55) (5.66) (0.49) (0.49) $ 8.03
Year Ended October 31, 2002 $ 8.03 (0.09) (1.50) (1.59) - - $ 6.44
Year Ended October 31, 2003 $ 6.44 (0.07) 1.33 1.26 - - $ 7.70
CLASS C SHARES
Period Ended October 31, 2001 (e) $ 9.91 (0.03) (1.84) (1.87) - - $ 8.04
Year Ended October 31, 2002 $ 8.04 (0.08) (1.52) (1.60) - - $ 6.44
Year Ended October 31, 2003 $ 6.44 (0.06) 1.32 1.26 - - $ 7.70
INSTITUTIONAL SERVICE CLASS SHARES
Period Ended October 31, 1999 (d) $ 10.00 (0.01) 3.61 3.60 - - $ 13.60
Year Ended October 31, 2000 $ 13.60 (0.03) 1.04 1.01 (0.20) (0.20) $ 14.41
Year Ended October 31, 2001 $ 14.41 (0.03) (5.55) (5.58) (0.49) (0.49) $ 8.34
Year Ended October 31, 2002 $ 8.34 (0.02) (1.59) (1.61) - - $ 6.73
Year Ended October 31, 2003 $ 6.73 (0.02) 1.40 1.38 - - $ 8.11
-----------------------------------------------------------------------------------------------
RATIOS / SUPPLEMENTAL DATA
----------------------------------------------------------------------------------------------
RATIO OF NET
RATIO OF INVESTMENT
NET RATIO OF INCOME
INVESTMENT EXPENSES (LOSS)
RATIO OF INCOME (PRIOR TO (PRIOR TO
NET ASSETS EXPENSES (LOSS) REIMBURSE- REIMBURSE-
AT END OF TO AVERAGE TO AVERAGE MENTS) MENTS) PORTFOLIO
TOTAL PERIOD NET NET TO AVERAGE TO AVERAGE TURNOVER
RETURN (A) (000S) ASSETS ASSETS NET ASSETS (B) NET ASSETS (B) (C)
- -----------------------------------------------------------------------------------------------------------------------------------
CLASS A SHARES
Period Ended
October 31, 1999 (d) 35.80% (f) $ 33,410 1.20% (g) (0.27%) (g) 1.69% (g) (0.76%) (g) 65.27%
Year Ended October 31, 2000 7.26% $ 40,643 1.20% (0.33%) 1.74% (0.87%) 86.68%
Year Ended October 31, 2001 (39.92%) $ 33,579 1.20% (0.47%) 1.88% (1.15%) 78.02%
Year Ended October 31, 2002 (19.42%) $ 27,246 1.36% (0.46%) 1.52% (0.62%) 114.21%
Year Ended October 31, 2003 20.21% $ 26,411 1.44% (0.38%) 1.53% (0.46%) 104.57%
CLASS B SHARES
Period Ended October 31, 1999 (d) 35.00% (f) $ 1,179 1.95% (g) (0.97%) (g) 5.26% (g) (4.28%) (g) 65.27%
Year Ended October 31, 2000 6.48% $ 3,234 1.95% (1.06%) 3.33% (2.44%) 86.68%
Year Ended October 31, 2001 (40.98%) $ 2,247 1.95% (1.21%) 3.70% (2.96%) 78.02%
Year Ended October 31, 2002 (19.80%) $ 1,773 2.02% (1.13%) 2.25% (1.36%) 114.21%
Year Ended October 31, 2003 19.57% $ 1,996 2.05% (0.99%) 2.13% (1.08%) 104.57%
CLASS C SHARES
Period Ended October 31, 2001 (e) (18.87%) (f) $ 35 1.95% (g) (1.20%) (g) 4.51% (g) (3.76%) (g) 78.02%
Year Ended October 31, 2002 (19.90%) $ 37 2.02% (1.13%) 2.22% (1.33%) 114.21%
Year Ended October 31, 2003 19.57% $ 53 2.05% (1.00%) 2.13% (1.08%) 104.57%
INSTITUTIONAL SERVICE CLASS SHARES
Period Ended October 31, 1999 (d) 36.00% (f) $ 4,594 1.05% (g) (0.09%) (g) 3.46% (g) (2.50%) (g) 65.27%
Year Ended October 31, 2000 7.40% $ 9,904 1.05% (0.17%) 1.54% (0.66%) 86.68%
Year Ended October 31, 2001 (39.73%) $ 7,505 1.05% (0.33%) 1.62% (0.90%) 78.02%
Year Ended October 31, 2002 (19.30%) $ 6,082 1.21% (0.32%) 1.38% (0.49%) 114.21%
Year Ended October 31, 2003 20.51% $ 9,215 1.30% (0.26%) 1.38% (0.34%) 104.57%
-----------------------------------------------------------------------------------------------------
(a) Excludes sales charge.
(b) During the period certain fees were waived and/or reimbursed. If such
waivers/reimbursements had not occurred, the ratios would have been as
indicated.
(c) Portfolio turnover is calculated on the basis of the Fund as a whole
without distinguishing among the classes of shares.
(d) For the period from November 2, 1998 (commencement of operations) through
October 31, 1999.
(e) For the period from March 1, 2001 (commencement of operations) through
October 31, 2001.
(f) Not annualized.
(g) Annualized.
See notes to financial statements.
16 ANNUAL REPORT 2003
- --------------------------------------------------------------------------------
NATONWIDE SMALL CAP FUND
INVESTMENT ACTIVITIES DISTRIBUTIONS
---------------------------------------------------------------------------------------------
NET
NET REALIZED AND
ASSET UNREALIZED TOTAL
VALUE, NET GAINS FROM NET NET
BEGINNING INVESTMENT (LOSSES) ON INVESTMENT INVESTMENT REALIZED TOTAL
OF PERIOD INCOME (LOSS) INVESTMENTS ACTIVITIES INCOME GAINS DISTRIBUTIONS
- ---------------------------------------------------------------------------------------------------------------------------
CLASS A SHARES
Period Ended
October 31, 1999 (d) $ 10.00 0.03 1.19 1.22 (0.03) - (0.03)
Year Ended October 31, 2000 $ 11.19 (0.02) 2.05 2.03 - (0.10) (0.10)
Year Ended October 31, 2001 $ 13.12 (0.02) (1.23) (1.25) - (1.08) (1.08)
Year Ended October 31, 2002 $ 10.79 (0.02) (1.16) (1.18) - - -
Year Ended October 31, 2003 $ 9.61 (0.05) 4.12 4.07 - - -
CLASS B SHARES
Period Ended
October 31, 1999 (d) $ 10.00 (0.05) 1.22 1.17 - - -
Year Ended October 31, 2000 $ 11.17 (0.08) 2.03 1.95 - (0.10) (0.10)
Year Ended October 31, 2001 $ 13.02 (0.09) (1.24) (1.33) - (1.08) (1.08)
Year Ended October 31, 2002 $ 10.61 (0.09) (1.13) (1.22) - - -
Year Ended October 31, 2003 $ 9.39 (0.10) 4.00 3.90 - - -
CLASS C SHARES
Period Ended
October 31, 2001 (e) $ 11.33 (0.04) (0.66) (0.70) - - -
Year Ended October 31, 2002 $ 10.63 (0.09) (1.13) (1.22) - - -
Year Ended October 31, 2003 $ 9.41 (0.09) 3.99 3.90 - - -
INSTITUTIONAL SERVICE
CLASS SHARES
Period Ended
October 31, 1999 (d) $ 10.00 0.04 1.19 1.23 (0.03) - (0.03)
Year Ended October 31, 2000 $ 11.20 (0.01) 2.06 2.05 - (0.10) (0.10)
Year Ended October 31, 2001 $ 13.15 - (1.23) (1.23) - (1.08) (1.08)
Year Ended October 31, 2002 $ 10.84 (0.01) (1.16) (1.17) - - -
Year Ended October 31, 2003 $ 9.67 (0.02) 4.14 4.12 - - -
---------------------------------------------------------------------------------------------
RATIOS SUPPLEMENTAL DATA
-----------------------------------------------------------------------------------------------------
RATIO OF RATIO OF
NET RATIO OF INVESTMENT
INVESTMENT EXPENSES INCOME
NET RATIO OF INCOME (PRIOR TO (LOSS) PRIOR TO
ASSET NET ASSETS EXPENSES (LOSS) REIMBURSE- REIMBURSE-
VALUE, AT END OF TO AVERAGE TO AVERAGE MENTS) TO MENTS) TO
END OF TOTAL PERIOD NET NET AVERAGE AVERAGE PORTFOLIO
PERIOD RETURN (A) (000S) ASSETS ASSETS NET ASSETS (B) NETASSETS(B) TURNOVER (C)
- -----------------------------------------------------------------------------------------------------------------------------------
CLASS A SHARES
Period Ended
October 31, 1999 (d) $ 11.19 12.18% (f) $ 19,830 1.35% (g) 0.29% (g) 2.24% (g) (0.60%) (g) 81.24%
Year Ended October 31, 2000 $ 13.12 18.25% $ 23,922 1.35% (0.16%) 2.10% (0.91%) 139.27%
Year Ended October 31, 2001 $ 10.79 (10.09%) $ 21,190 1.35% (0.17%) 2.00% (0.82%) 119.03%
Year Ended October 31, 2002 $ 9.61 (10.94%) $ 20,290 1.51% (0.24%) 1.72% (0.45%) 111.00%
Year Ended October 31, 2003 $ 13.68 42.35% $ 21,198 1.59% (0.37%) 1.70% (0.48%) 100.05%
CLASS B SHARES
Period Ended
October 31, 1999 (d) $ 11.17 11.70% (f) $ 215 2.10% (g) (0.46%) (g) 6.57% (g) (4.93%) (g) 81.24%
Year Ended October 31, 2000 $ 13.02 17.56% $ 748 2.10% (0.90%) 3.82% (2.62%) 139.27%
Year Ended October 31, 2001 $ 10.61 (10.84%) $ 854 2.10% (0.93%) 3.74% (2.57%) 119.03%
Year Ended October 31, 2002 $ 9.39 (11.50%) $ 950 2.17% (0.89%) 2.41% (1.13%) 111.00%
Year Ended October 31, 2003 $ 13.29 41.53% $ 1,368 2.20% (1.00%) 2.30% (1.10%) 100.05%
CLASS C SHARES
Period Ended
October 31, 2001 (e) $ 10.63 (6.18%) (f) $ 20 2.10% (g) (1.26%) (g) 5.62% (g) (4.78%) (g) 119.03%
Year Ended October 31, 2002 $ 9.41 (11.48%) $ 28 2.17% (0.90%) 2.47% (1.20%) 111.00%
Year Ended October 31, 2003 $ 13.31 41.45% $ 89 2.20% (1.04%) 2.31% (1.15%) 100.05%
INSTITUTIONAL SERVICE
CLASS SHARES
Period Ended
October 31, 1999 (d) $ 11.20 12.36%b (f) $ 1,759 1.20% (g) 0.39% (g) 4.87% (g) (3.28%) (g) 81.24%
Year Ended October 31, 2000 $ 13.15 18.44% $ 4,192 1.20% (0.01%) 1.92% (0.73%) 139.27%
Year Ended October 31, 2001 $ 10.84 (9.90%) $ 4,485 1.20% (0.04%) 1.79% (0.63%) 119.03%
Year Ended October 31, 2002 $ 9.67 (10.79%) $ 5,856 1.38% (0.11%) 1.57% (0.30%) 111.00%
Year Ended October 31, 2003 $ 13.79 42.61% $ 18,584 1.45% (0.35%) 1.54% (0.44%) 100.05%
-----------------------------------------------------------------------------------------------------
(a) Excludes sales charge.
(b) During the period certain fees were waived and/or reimbursed. If such
waivers/reimbursements had not occurred, the ratios would have been as
indicated.
(c) Portfolio turnover is calculated on the basis of the Fund as a whole
without distinguishing among the classes of shares.
(d) For the period from November 2, 1998 (commencement of operations) through
October 31, 1999.
(e) For the period from March 1, 2001 (commencement of operations) through
October 31, 2001.
(f) Not annualized.
(g) Annualized.
See notes to financial statements.
2003 ANNUAL REPORT 17
- --------------------------------------------------------------------------------
NATIONWIDE S&P 500 INDEX FUND
Class A Shares symbol: NASPX
Class B Shares symbol: NBSPX
Class C Shares symbol: NWICX
Institutional Class symbol: NWIDX
Service Class Shares symbol: NWISX
Institutional Service Class symbol:
NWIIX Local Fund Shares symbol: NWILX
HOW DID THE FUND PERFORM?
For the annual period ended Oct. 31, 2003, the Fund returned 20.03%* versus
20.81% for its benchmark, the S&P 500 Index.
For broader comparison, the average return for this Fund's peer category (S&P
500 Index Objective Funds) was 19.97%, according to Lipper, an independent
company that provides mutual fund data and analysis.
WHAT MARKET/ECONOMIC AND PORTFOLIO-SPECIFIC FACTORS AFFECTED PERFORMANCE?
Markets were volatile during the period as corporate scandals, terrorism, war
anxieties and economic uncertainty depressed investor sentiment. Markets rallied
in November 2002, then declined in December. They lost ground during the
beginning of 2003, then spiked on news of the start of the war with Iraq. The
market downtrend returned after investors realized that the conflict might last
longer than had been anticipated. Once geopolitical risks abated after the
resolution of major military conflict in Iraq, however, investor sentiment
improved and markets began to rise in March. The rise was notable for the
participation of all sectors and countries. The upturn remained steady and,
although a slight pullback occurred in September, the markets finished the
period with strong performance in October.
Turning to sector performance, nine of 10 S&P 500 Index sectors posted positive
returns for the period. Information technology, materials, and consumer
discretionary stocks returned 41%, 28% and 24%, respectively. The only negative
sector return came from telecommunications services, which registered -1%. Other
low performers were consumer staples and health care, which both returned only
4%.
DESCRIBE THE FUND'S TOP HOLDINGS AND ANY SIGNIFICANT TRANSACTIONS MADE DURING
THE PERIOD.
Top security holdings at the end of the period were General Electric Co.,
Microsoft Corp., and Wal-Mart Stores, Inc. Fund weightings for each security are
determined by that security's respective benchmark weighting. All transactions
during the period were driven either by changes to the composition of the
benchmark Index or Fund subscriptions/redemptions.
HOW IS THE FUND POSITIONED?
The U.S. stock market has rebounded significantly since October 2002 because of
improved corporate earnings, low interest rates and strong economic growth. We
expect this trend to continue during the remainder of 2003 and beyond. Iraq
remains on the radar screen, because reports of conflicts and casualties
continue to make frequent headlines. Despite this news, however, investors
appear to be leaving the sidelines and re-entering the equity markets. The
recent economic data points to an acceleration in global activity. In the midst
of these strong results, the bears believe that economic growth peaked during
the third quarter and that news from then on will be less positive. And so the
tug of war continues between those who expect the market to keep barreling ahead
and those who foresee a backlash. The Fund is positioned to continue to meet its
objective of replicating the risks and returns of its benchmark.
PORTFOLIO MANAGER: Fund Asset Management, L.P. - Subadviser
* Performance of Class A shares without sales charge and assuming all
distributions are reinvested.
PORTFOLIO MARKET VALUE $1,129,985,506
OCTOBER 31, 2003
18 ANNUAL REPORT 2003
- --------------------------------------------------------------------------------
AVERAGE ANNUAL TOTAL RETURN
(For Periods Ended October 31, 2003)
1 YR. 5YR. INCEPTION1
- ---------------------------------------------------------------------
Class A2 w/o SC3 20.03% -0.01% -0.60%
w/SC4 13.20% -1.19% -1.71%
- ---------------------------------------------------------------------
Class B2 w/o SC3 19.14% -0.52% -1.08%
w/SC5 14.14% -0.91% -1.26%
- ---------------------------------------------------------------------
Class C6 w/o SC3 19.27% -0.50% -1.06%
w/SC7 17.04% -0.70% -1.25%
- ---------------------------------------------------------------------
Institutional Class8,9 20.39% 0.25% -0.35%
- ---------------------------------------------------------------------
Service Class2,9 19.89% -0.24% -0.81%
- ---------------------------------------------------------------------
Institutional Service Class2,9 20.11% -0.03% -0.62%
- ---------------------------------------------------------------------
Local Fund Shares9 20.26% 0.10% -0.50%
- ---------------------------------------------------------------------
All figures showing the effect of a sales charge reflect the maximum charge
possible, because it has the most dramatic effect on performance data.
1 Fund commenced operations on July 24, 1998.
2 These returns for the period prior to the creation of a particular class
include the performance of the Fund's Local Fund Shares. These returns were
achieved prior to the creation of Class A and Class B shares (12/29/99) and
Service Class and Institutional Service Class shares (11/2/98). Excluding
the effect of any fee waivers or reimbursements, such prior performance is
similar to what Class A, Class B, Service Class and Institutional Service
Class shares would have produced because all classes of the Fund's shares
invest in the same portfolio of securities. The performance for these
classes has been restated to reflect differences in sales charges (where
applicable), but does not reflect the differing levels of other fees
(primarily Rule 12b-1 and/or administrative services fees) applicable to
such classes; if these fees were reflected, the performance for Class A,
Class B, Service Class and Institutional Service Class would have been
lower.
3 These returns do not reflect the effects of sales charges (SC).
4 A 5.75% front-end sales charge was deducted.
5 A 5.00% contingent deferred sales charge (CDSC) was deducted. The CDSC
declines to 0% after 6 years.
6 These returns until the creation of Class C shares (10/22/03) include the
performance of the Fund's Local Fund Shares for the period through December
28, 1999 and the Fund's Class B shares for the period from December 29,
1999 to October 21, 2003. Excluding the effect of any fee waivers or
reimbursements, such prior performance is similar to what Class C shares
would have produced because Class C shares invest in the same portfolio of
securities as the Fund's other classes. The performance for the Class C
shares has been restated to reflect differences in sales charges (where
applicable), but does not reflect the differing levels of other fees
(primarily Rule 12b-1 and/or administrative services fees) applicable to
such classes; if these fees were reflected, the performance for Class C
shares would have been lower.
7 A 1.00% front-end sales charge was deducted. A CDSC of 1.00% was also
deducted from the one year return because it is charged when you sell Class
C shares within the first year after purchase.
8 These returns until the creation of the Institutional Class shares
(12/29/99) include the performance of the Fund's Local Fund shares. The
returns have not been adjusted for the lower expenses applicable to
Institutional Class shares. Excluding the effect of any fee waivers or
reimbursements, such prior performance is similar to what Institutional
Class shares would have produced because Institutional Class shares invest
in the same portfolio of securities as Local Fund Shares.
9 Not subject to any sales charges.
GROWTH OF A $10,000 INVESTMENT
INVESTMENT RETURN AND PRINCIPAL VALUE WILL FLUCTUATE, AND WHEN REDEEMED, SHARES
MAY BE WORTH MORE OR LESS THAN ORIGINAL COST. PAST PERFORMANCE IS NO GUARANTEE
OF FUTURE RESULTS.
Date Local Shares S&P 500 CPI
- -----------------------------------------
7/24/1998 10,000 10,000 10,000
10/31/1998 9,692 9,843 10,049
10/31/1999 12,101 12,369 10,306
10/31/2000 12,759 13,123 10,662
10/31/2001 9,581 9,855 10,888
10/31/2002 8,099 8,366 11,109
10/31/2003 9,739 10,107 11,388
Comparative performance of $10,000 invested in Local Fund Shares of the
Nationwide S&P 500 Index Fund, the S&P 500 Index(a), and the Consumer Price
Index (CPI)(b) since inception. Unlike the Fund, the returns for these indices
do not reflect any fees or expenses
(a) The S&P 500 Index is an unmanaged index of 500 widely held stocks of large
U.S. companies that gives a broad look at how the stock prices of large
U.S. companies have performed.
(b) The CPI represents changes in prices of a basket of goods and services
purchased for consumption by urban households.
2003 ANNUAL REPORT 19
- --------------------------------------------------------------------------------
STATEMENT OF INVESTMENTS
October 31, 2003
NATIONWIDE S&P 500 INDEX FUND
COMMON STOCKS (88.6%)
SHARES OR
PRINCIPAL
AMOUNT VALUE
- ------------------------------------------------------------
ADVERTISING SERVICES (0.0%)
Interpublic Group of
Companies Inc. (The) 36,826 $ 547,971
-----------
- ------------------------------------------------------------
AEROSPACE (0.9%)
General Dynamics Corp. 20,800 1,740,960
Lockheed Martin Corp. 47,500 2,202,100
Northrop Grumman Corp. 19,557 1,748,396
United Technologies Corp. 48,600 4,115,934
-----------
9,807,390
-----------
- ------------------------------------------------------------
AEROSPACE/DEFENSE (0.7%)
Boeing Co. (The) 87,007 3,348,900
Goodrich Corp. 10,600 292,772
Honeywell International, Inc. 81,025 2,480,175
Raytheon Co. 38,800 1,027,424
Rockwell Collins, Inc. 16,300 447,435
-----------
7,596,706
-----------
- ------------------------------------------------------------
AGRICULTURE (0.1%)
Monsanto Co. 30,244 757,612
-----------
- ------------------------------------------------------------
AIRLINES (0.4%)
Delta Air Lines, Inc. 14,300 186,186
FedEx Corp. 31,600 2,394,016
Southwest Airlines Co. 70,212 1,362,113
-----------
3,942,315
-----------
- ------------------------------------------------------------
ANALYTICAL INSTRUMENTS (0.1%)
Applera Corp.-Applied
Biosystems Group 18,000 415,440
Waters Corp. (b) 11,200 352,016
-----------
767,456
-----------
- ------------------------------------------------------------
APPAREL (0.2%)
Nike, Inc., Class B 25,000 1,597,500
Reebok International Ltd. 6,100 237,595
-----------
1,835,095
-----------
- ------------------------------------------------------------
APPAREL & ACCESSORIES (0.1%)
Liz Claiborne, Inc. 10,000 368,900
V.F. Corp. 9,100 386,295
-----------
755,195
-----------
- ------------------------------------------------------------
APPLIANCE & HOUSEHOLD
DURABLE (0.1%)
Maytag Corp. 6,600 167,640
Newell Rubbermaid, Inc. 31,051 707,963
-----------
875,603
-----------
- ------------------------------------------------------------
AUTO PARTS & EQUIPMENT (0.2%)
AutoNation, Inc. (b) 28,600 534,820
Dana Corp. 14,000 227,920
SHARES OR
PRINCIPAL
AMOUNT VALUE
- -----------------------------------------------------------
AUTO PARTS & EQUIPMENT (continued)
Delphi Automotive Systems Corp. 52,995 $ 471,656
Ingersoll Rand Co. 18,800 1,135,520
-----------
2,369,916
-----------
- -----------------------------------------------------------
AUTOMOBILES (0.5%)
Ford Motor Co. 172,972 2,098,150
General Motors Corp. 58,913 2,513,818
PACCAR, Inc. 12,750 1,006,740
Visteon Corp. 9,971 64,413
-----------
5,683,121
-----------
- -----------------------------------------------------------
BANKS (3.0%)
Bank of America Corp. 150,874 11,425,688
Bank of New York Co., Inc. 72,900 2,273,751
J.P. Morgan Chase & Co. 208,365 7,480,304
Mellon Financial Corp. 46,900 1,400,903
North Fork Bancorp, Inc. 16,800 654,864
Northern Trust Corp. 24,700 1,147,315
State Street Corp. 36,800 1,926,848
Wachovia Corp. 135,500 6,215,385
Zions Bancorp 10,900 668,061
-----------
33,193,119
-----------
- -----------------------------------------------------------
BEVERAGES/ALCOHOLIC (0.1%)
Adolph Coors Co., Class B 4,900 274,645
Brown-Forman Corp., Class B 5,600 472,528
-----------
747,173
-----------
- -----------------------------------------------------------
BEVERAGES/SOFT DRINK (1.2%)
Coca-Cola Co. 251,300 11,660,320
Coca-Cola Enterprises, Inc. 40,500 816,480
Pepsi Bottling Group, Inc. (The) 25,500 568,395
-----------
13,045,195
-----------
- -----------------------------------------------------------
BIOTECHNOLOGY (0.1%)
Chiron Corp. (b) 20,500 1,119,915
-----------
- -----------------------------------------------------------
BROADCAST MEDIA/CABLE
TELEVISION (0.9%)
Clear Channel Communications, Inc. 60,102 2,453,364
Comcast Corp. Special, Class A (b) 42,600 1,389,612
Comcast Corp., Class A (b) 184,574 6,260,750
-----------
10,103,726
-----------
- -----------------------------------------------------------
BUSINESS SERVICES (0.3%)
Cintas Corp. 16,100 686,826
Compuware Corp. (b) 34,700 195,014
Concord EFS, Inc. (b) 44,000 470,360
Convergys Corp. (b) 10,311 165,595
Monster Worldwide, Inc. (b) 12,400 315,828
20 ANNUAL REPORT 2003
- --------------------------------------------------------------------------------
COMMON STOCKS (CONTINUED)
SHARES OR
PRINCIPAL AMOUNT VALUE
- -----------------------------------------------------------------------
BUSINESS SERVICES (continued)
NCR Corp. (b) 6,600 $ 237,204
Pitney Bowes, Inc. 22,100 908,310
-----------
2,979,137
-----------
- -----------------------------------------------------------------------
CAPITAL GOODS (0.5%)
Crane Co. 5,550 155,955
Cummins, Inc. 5,300 251,220
Deere & Co. 25,900 1,570,058
Dover Corp. 16,300 636,026
Genuine Parts Co. 16,400 521,848
Pall Corp. 11,600 271,440
Parker-Hannifin Corp. 13,900 708,483
PerkinElmer, Inc. 11,000 198,110
Snap-On, Inc. 5,500 161,370
Stanley Works (The) 8,100 270,054
Textron, Inc. 15,400 765,226
-----------
5,509,790
-----------
- -----------------------------------------------------------------------
CHEMICALS (0.2%)
Great Lakes Chemical Corp. 3,700 79,550
Millipore Corp. (b) 3,400 149,090
Praxair, Inc. 18,000 1,252,440
Sigma Aldrich Corp. 7,500 393,375
-----------
1,874,455
-----------
- -----------------------------------------------------------------------
CHEMICALS/DIVERSIFIED (1.1%)
Air Products & Chemicals, Inc. 25,100 1,139,791
Avery Dennison Corp. 10,000 525,800
Dow Chemical Co. 93,605 3,527,972
E.I. du Pont de Nemours and Co. 100,650 4,066,261
Eastman Chemical Co. 9,400 305,124
Engelhard Corp. 11,600 331,528
Hercules, Inc. (b) 7,300 76,285
Occidental Petroleums Corp. 32,900 1,160,054
Rohm & Haas Co. 17,531 688,968
-----------
11,821,783
-----------
- -----------------------------------------------------------------------
COMMUNICATIONS EQUIPMENT (2.8%)
CIENA Corp. (b) 51,600 330,756
Cisco Systems, Inc. (b) 709,139 14,877,735
Citizens Communications Co. (b) 21,400 266,430
Corning, Inc. (b) 121,375 1,332,698
JDS Uniphase Corp. (b) 141,292 501,587
Lucent Technologies, Inc. (b) 390,970 1,251,104
Motorola, Inc. 228,406 3,090,333
Tellabs, Inc. (b) 39,000 293,670
Verizon Communications, Inc. 276,976 9,306,394
-----------
31,250,707
-----------
SHARES OR
PRINCIPAL
AMOUNT VALUE
- -----------------------------------------------------------------------
COMPUTER/HARDWARE (1.6%)
Apple Computer, Inc. (b) 35,500 $ 812,595
International Business Machines Corp. 174,006 15,570,057
Lexmark International, Inc. (b) 13,800 1,015,818
-----------
17,398,470
-----------
- -----------------------------------------------------------------------
COMPUTER EQUIPMENT (1.9%)
American Power Conversion Corp. 18,600 376,278
Dell Computer Corp. (b) 259,100 9,358,693
EMC Corp. (b) 215,900 2,988,056
Gateway, Inc. (b) 18,500 93,240
Hewlett Packard Co. 307,424 6,858,629
Network Appliance, Inc. (b) 32,762 808,566
-----------
20,483,462
-----------
- -----------------------------------------------------------------------
COMPUTER INTEGRATED SYSTEMS DESIGN (0.0%)
Avaya, Inc. (b) 34,222 442,833
-----------
- -----------------------------------------------------------------------
COMPUTER SOFTWARE & SERVICES (5.1%)
Adobe Systems, Inc. 24,900 1,091,616
Automatic Data Processing, Inc. 55,800 2,105,892
BMC Software, Inc. (b) 19,600 340,648
Citrix Systems, Inc. (b) 15,700 396,896
Computer Associates International, Inc. 54,600 1,284,192
Electronic Data Systems Corp. 45,500 975,975
First Data Corp. 77,700 2,773,890
Fiserv, Inc. (b) 21,350 754,082
Intuit, Inc. (b) 21,900 1,094,562
Mercury Interactive Corp. (b) 8,800 408,672
Microsoft Corp. 1,091,944 28,554,336
Novell, Inc. (b) 34,800 204,276
NVIDIA Corp. (b) 16,300 288,184
Oracle Corp. (b) 529,316 6,330,619
Parametric Technology Corp. (b) 23,800 74,018
PeopleSoft, Inc. (b) 36,700 761,892
Radioshack Corp. 15,200 455,848
Siebel Systems, Inc. (b) 48,570 611,496
Sun Microsystems, Inc. (b) 339,900 1,346,004
Sungard Data Systems, Inc. (b) 25,600 718,080
Symantec Corp. (b) 14,300 953,095
Symbol Technologies, Inc. 19,750 246,678
Unisys Corp. (b) 31,000 476,160
VERITAS Software Corp. (b) 43,539 1,573,935
Yahoo!, Inc. (b) 63,143 2,759,349
-----------
56,580,395
-----------
- -----------------------------------------------------------------------
CONGLOMERATES (0.7%)
Illinois Tool Works, Inc. 29,700 2,184,435
ITT Industries, Inc. 8,300 564,317
Johnson Controls, Inc. 9,500 1,021,535
Tyco International Ltd. 198,480 4,144,262
-----------
7,914,549
-----------
2003 ANNUAL REPORT 21
- --------------------------------------------------------------------------------
STATEMENT OF INVESTMENTS (Continued)
October 31, 2003
NATIONWIDE S&P 500 INDEX FUND (Continued)
COMMON STOCKS (CONTINUED)
SHARES OR
PRINCIPAL
AMOUNT VALUE
- --------------------------------------------------------
CONSTRUCTION & BUILDING MATERIALS (0.1%)
Centex Corp. 6,500 $ 633,750
Sherwin Williams Co. 13,900 466,206
Vulcan Materials Co. 9,400 416,514
-----------
1,516,470
-----------
- --------------------------------------------------------
CONSTRUCTION & HOUSING (0.1%)
Masco Corp. 45,000 1,237,500
-----------
- --------------------------------------------------------
CONSTRUCTION MACHINERY (0.2%)
Caterpillar, Inc. 36,000 2,638,080
-----------
- --------------------------------------------------------
CONSUMER DURABLE (0.3%)
Black & Decker Corp. 8,700 415,947
Danaher Corp. 16,600 1,375,310
Fortune Brands, Inc. 13,700 892,555
Whirlpool Corp. 7,500 528,525
-----------
3,212,337
-----------
- --------------------------------------------------------
CONSUMER FINANCE (2.2%)
Citigroup, Inc. 518,427 24,573,440
-----------
- --------------------------------------------------------
CONSUMER NON-CYCLICAL (2.3%)
Alberto Culver Co., Class B 4,700 297,980
Avon Products, Inc. 21,200 1,440,752
Clorox Co. (The) 21,300 964,890
Colgate-Palmolive Co. 52,400 2,787,156
Ecolab, Inc. 23,700 637,293
Gillette Co. (The) 102,500 3,269,750
International Flavor and
Fragrances, Inc. 8,900 294,590
Kimberly-Clark Corp. 53,329 2,816,304
Procter & Gamble Co. 130,400 12,817,016
Tupperware Corp. 7,400 111,370
-----------
25,437,101
-----------
- --------------------------------------------------------
CONTAINERS (0.1%)
Ball Corp. 5,400 303,480
Bemis Co., Inc. 5,000 231,200
Sealed Air Corp. (b) 7,602 404,654
-----------
939,334
-----------
- --------------------------------------------------------
CREDIT REPORTING SERVICES (0.1%)
Moody's, Corp. 13,400 774,922
-----------
- --------------------------------------------------------
DATA PROCESSING & REPRODUCTION (0.1%)
Computer Sciences Corp. (b) 20,500 812,210
-----------
- --------------------------------------------------------
DISTRIBUTION (0.2%)
SYSCO Corp. 66,800 2,248,488
-----------
SHARES OR
PRINCIPAL
AMOUNT VALUE
- --------------------------------------------------------
DRUGS (5.1%)
Amgen Corp. (b) 130,476 $ 8,058,198
Biogen, Inc. (b) 14,500 586,815
Eli Lilly & Co. 113,500 7,561,370
Forest Laboratories, Inc. (b) 38,200 1,910,382
Genzyme Corp. (b) 23,100 1,060,290
Merck & Co., Inc. 225,800 9,991,650
Pfizer, Inc. 785,420 24,819,272
Schering Plough Corp. 153,100 2,337,837
-----------
56,325,814
-----------
- --------------------------------------------------------
EDUCATIONAL SERVICES (0.1%)
Apollo Group, Inc. (b) 18,900 1,200,717
-----------
- --------------------------------------------------------
ELECTRIC, GAS & SANITARY SERVICES (0.2%)
Exelon Corp. 33,300 2,112,885
-----------
- --------------------------------------------------------
ELECTRICAL EQUIPMENT (3.2%)
Agilent Technologies, Inc. (b) 42,526 1,059,748
Cooper Industries Ltd., Class A 11,600 613,640
Eaton Corp. 8,700 872,088
Emerson Electric Co. 44,300 2,514,025
General Electric Co. 1,009,700 29,291,397
Rockwell International Corp. 17,500 543,375
W.W. Grainger, Inc. 8,700 398,286
-----------
35,292,559
-----------
- --------------------------------------------------------
ELECTRONICS (3.5%)
Altera Corp. (b) 41,500 839,545
Applied Micro Circuits Corp. (b) 28,300 164,706
Broadcom Corp., Class A (b) 27,009 862,938
Intel Corp. 660,100 21,816,304
Jabil Circuit, Inc. (b) 15,900 442,815
KLA-Tencor Corp. (b) 20,400 1,169,532
Linear Technology Corp. 33,400 1,423,174
LSI Logic Corp. (b) 32,700 302,148
Maxim Integrated Products, Inc. 30,472 1,514,763
Molex, Inc. 17,725 556,388
National Semiconductor Corp. (b) 20,500 832,915
PMC-Sierra, Inc. (b) 18,900 343,413
QLogic Corp. (b) 9,400 526,870
Sanmina Corp. (b) 50,796 535,898
Solectron Corp. (b) 62,261 344,926
Tektronix, Inc. 8,000 205,360
Teradyne, Inc. (b) 15,700 357,646
Texas Instruments, Inc. 171,300 4,953,996
Thomas & Betts Corp. (b) 5,300 94,340
Xilinx, Inc. (b) 36,100 1,144,370
-----------
38,432,047
-----------
22 ANNUAL REPORT 2003
- --------------------------------------------------------------------------------
COMMON STOCKS (CONTINUED)
SHARES OR
PRINCIPAL AMOUNT VALUE
- ---------------------------------------------------------------------
ENTERTAINMENT (0.7%)
Electronic Arts, Inc. (b) 15,400 $ 1,525,216
International Game Technology 34,000 1,113,500
Walt Disney Co. (The) 206,200 4,668,368
-----------
7,307,084
-----------
- ---------------------------------------------------------------------
FINANCIAL (3.2%)
American Express Co. 130,600 6,129,058
Capital One Financial Corp. 24,000 1,459,200
Charles Schwab Corp. (The) 121,700 1,650,252
Comerica, Inc. 19,800 1,019,304
Countrywide Credit Industries, Inc. 15,000 1,576,800
Fannie Mae 100,700 7,219,183
Federated Investors, Inc. 9,600 265,440
Golden West Financial Corp. 13,800 1,385,934
Goldman Sachs Group, Inc. 49,000 4,601,100
Lehman Brothers Holdings, Inc. 27,900 2,008,800
MBNA Corp. 125,931 3,116,792
Providian Financial Corp. (b) 21,800 242,198
Washington Mutual, Inc. 93,597 4,094,869
-----------
34,768,930
-----------
- ---------------------------------------------------------------------
FINANCIAL/BANKS (2.9%)
AmSouth Bancorp 33,200 784,184
Bank One Corp. 118,134 5,014,788
BB&T Corp. 52,700 2,037,909
Bear Stearns Cos., Inc. 11,881 905,926
Charter One Financial, Inc. 20,305 648,948
Fifth Third Bancorp 55,946 3,242,630
FleetBoston Financial Corp. 102,728 4,149,184
Huntington Bancshares, Inc. 21,644 468,809
KeyCorp 40,000 1,130,000
National City Corp. 57,800 1,887,748
PNC Bank Corp. 27,000 1,446,390
Regions Financial Corp. 21,000 771,750
SouthTrust Corp. 32,200 1,025,570
SunTrust Banks, Inc. 26,500 1,777,355
Synovus Financial Corp. 23,900 659,640
U.S. Bancorp 193,363 5,263,341
Union Planters Corp. 18,800 625,476
-----------
31,839,648
-----------
- ---------------------------------------------------------------------
FINANCIAL SERVICES (1.4%)
AMBAC Financial Group, Inc. 10,700 756,918
First Tennessee National Corp. 15,400 698,544
H&R Block, Inc. 21,000 988,890
Janus Capital Group, Inc. 19,100 270,074
John Hancock Financial Services, Inc. 27,300 965,055
Marshall & Ilsley Corp. 21,400 766,548
SLM Corp. 42,300 1,656,468
Wells Fargo Co. 170,395 9,596,646
-----------
15,699,143
-----------
SHARES OR
PRINCIPAL
AMOUNT VALUE
- ---------------------------------------------------------------------
FOOD & BEVERAGE (1.3%)
Anheuser-Busch Companies, Inc. 84,300 $ 4,152,618
General Mills, Inc. 39,600 1,776,060
PepsiCo, Inc. 176,020 8,417,276
-----------
14,345,954
-----------
- ---------------------------------------------------------------------
FOOD & RELATED (1.8%)
Altria Group, Inc. 206,203 9,588,440
Archer-Daniels Midland Co. 58,095 833,663
Campbell Soup Co. 38,500 997,920
ConAgra, Inc. 50,700 1,208,688
H. J. Heinz Co. 38,700 1,367,271
Hershey Foods Corp. 12,400 956,040
Kellogg Co. 38,100 1,262,253
McCormick & Co. 13,200 391,248
Sara Lee Corp. 73,475 1,464,357
Wm. Wrigley Jr. Co. 21,200 1,195,680
-----------
19,265,560
-----------
- ---------------------------------------------------------------------
FURNITURE & HOME FURNISHINGS (0.0%)
Leggett & Platt, Inc. 18,200 380,198
-----------
- ---------------------------------------------------------------------
GOLD ORES (0.2%)
Freeport-McMoRan Copper
& Gold, Inc. 15,800 612,250
Newmont Mining Corp. 42,800 1,873,784
-----------
2,486,034
-----------
- ---------------------------------------------------------------------
HEALTHCARE (5.3%)
Abbott Laboratories 157,700 6,721,173
Allergan, Inc. 12,500 945,250
Bausch & Lomb, Inc. 5,200 250,432
Baxter International, Inc. 55,100 1,464,558
Becton Dickinson & Co. 23,100 844,536
Biomet, Inc. 29,050 1,041,733
Boston Scientific Corp. (b) 42,400 2,871,328
Bristol-Myers Squibb Co. 195,200 4,952,224
C. R. Bard, Inc. 4,900 392,245
Cardinal Health, Inc. 46,350 2,750,409
Guidant Corp. 33,000 1,683,330
HCA, Inc. 53,800 2,057,850
Health Management
Associates, Inc., Class A 27,800 615,770
Humana, Inc. (b) 15,300 310,437
Johnson & Johnson Co. 299,950 15,096,483
King Pharmaceuticals, Inc. (b) 18,592 249,133
Manor Care, Inc. 8,500 282,880
McKesson HBOC, Inc. 25,281 765,256
Medco Health Solutions, Inc. (b) 29,355 974,586
Medtronic, Inc. 123,100 5,609,667
Quest Diagnostics, Inc. (b) 9,500 642,675
St. Jude Medical, Inc. (b) 17,000 988,720
Stryker Corp. 18,800 1,524,868
Tenet Healthcare Corp. (b) 51,000 703,800
2003 ANNUAL REPORT 23
- --------------------------------------------------------------------------------
STATEMENT OF INVESTMENTS (Continued)
October 31, 2003
NATIONWIDE S&P 500 INDEX FUND (Continued)
COMMON STOCKS (CONTINUED)
SHARES OR
PRINCIPAL
AMOUNT VALUE
- --------------------------------------------------------------
HEALTHCARE (continued)
UnitedHealth Group, Inc. 58,100 $ 2,956,128
Watson Pharmaceutical, Inc. (b) 11,000 431,970
Wellpoint Health Networks, Inc. (b) 15,800 1,404,620
-----------
58,532,061
-----------
- --------------------------------------------------------------
HOME BUILDING (0.1%)
Fluor Corp. 7,600 281,808
KB Home 5,300 362,997
Pulte Corp. 7,400 640,174
-----------
1,284,979
-----------
- --------------------------------------------------------------
HOTELS & CASINOS (0.0%)
Harrah's Entertainment, Inc. 11,200 487,200
-----------
- --------------------------------------------------------------
HOTELS/MOTELS (0.4%)
Cendant Corp. (b) 96,200 1,965,366
Hilton Hotels Corp. 35,600 563,904
Marriott International, Inc., Class A 21,900 946,080
Starwood Hotels & Resorts
Worldwide, Inc. 20,063 676,725
-----------
4,152,075
-----------
- --------------------------------------------------------------
INSURANCE (3.7%)
ACE Ltd. 22,700 817,200
Aetna, Inc. 16,700 958,747
Allstate Corp. (The) 66,500 2,626,750
American International Group, Inc. 263,578 16,033,451
Anthem, Inc. (b) 15,124 1,034,935
AON Corp. 29,450 644,955
Chubb Corp. (The) 19,900 1,329,519
CIGNA Corp. 16,500 941,325
Cincinnati Financial Corp. 15,200 621,984
Hartford Financial Services
Group, Inc. 29,900 1,641,510
Lincoln National Corp. 16,400 654,852
Loews Corp. 16,400 705,200
MBIA, Inc. 17,200 1,025,292
MetLife, Inc. 73,300 2,301,620
MGIC Investment Corp. 9,700 497,707
Principal Financial Group, Inc. 27,000 846,450
Progressive Corp. (The) 19,600 1,446,480
Prudential Financial, Inc. 51,900 2,005,416
SAFECO Corp. 13,100 480,770
St. Paul Cos., Inc. 19,600 747,348
Torchmark Corp. 11,000 482,680
Travelers Property Casualty
Corp., Class B 95,147 1,557,556
UnumProvident Corp. 27,157 444,560
XL Capital Ltd., Class A 15,200 1,056,400
-----------
40,902,707
-----------
- --------------------------------------------------------------
INSURANCE/LIFE (0.2%)
AFLAC, Inc. 48,500 1,769,280
Jefferson-Pilot Corp. 13,400 639,716
-----------
2,408,996
-----------
SHARES OR
PRINCIPAL
AMOUNT VALUE
- --------------------------------------------------------------
INSURANCE BROKERS (0.2%)
Marsh & McLennan Cos., Inc. 51,900 $ 2,218,725
-----------
- --------------------------------------------------------------
INVESTMENT MANAGEMENT (1.2%)
Franklin Resources, Inc. 22,800 1,081,176
Merrill Lynch & Co. 83,825 4,962,440
Morgan Stanley Dean Witter & Co. 111,976 6,144,123
Neuberger Berman, Inc. 1,300 56,355
T. Rowe Price Group, Inc. 13,300 547,295
-----------
12,791,389
-----------
- --------------------------------------------------------------
LEISURE PRODUCTS (0.3%)
Brunswick Corp. 8,500 252,195
Carnival Corp. 60,900 2,126,019
Hasbro, Inc. 15,900 346,620
Mattel, Inc. 39,101 756,995
-----------
3,481,829
-----------
- --------------------------------------------------------------
MANUFACTURING (0.6%)
3M Co. 80,400 6,341,148
Power-One, Inc. (b) 4,300 38,958
-----------
6,380,106
-----------
- --------------------------------------------------------------
MANUFACTURING/DIVERSIFIED (0.1%)
American Standard Companies,
Inc. (b) 6,400 612,480
PPG Industries, Inc. 16,000 922,400
-----------
1,534,880
-----------
- --------------------------------------------------------------
MEDICAL PRODUCTS (0.1%)
Zimmer Holdings, Inc. (b) 24,710 1,576,745
-----------
- --------------------------------------------------------------
METAL PROCESSORS (0.0%)
Thermo Electron Corp. (b) 15,300 336,294
-----------
- --------------------------------------------------------------
METALS (0.0%)
Phelps Dodge Corp. (b) 8,408 519,110
-----------
- --------------------------------------------------------------
METALS & MINING (0.2%)
Alcoa, Inc. 82,332 2,599,221
-----------
- --------------------------------------------------------------
MORTGAGE/ASSET BACKED OBLIGATIONS (0.4%)
Freddie Mac 71,300 4,002,069
-----------
- --------------------------------------------------------------
MOTOR VEHICLES (0.2%)
Harley-Davidson, Inc. 32,200 1,526,602
Navistar International Corp. (b) 6,400 258,752
-----------
1,785,354
-----------
- --------------------------------------------------------------
MULTI-MEDIA (0.6%)
Viacom, Inc., Class B 177,135 7,062,372
-----------
24 ANNUAL REPORT 2003
- --------------------------------------------------------------------------------
COMMON STOCKS (CONTINUED)
SHARES OR
PRINCIPAL AMOUNT VALUE
- ---------------------------------------------------------------------
MULTIMEDIA (0.6%)
Time Warner, Inc. (b) 452,750 $ 6,922,548
-----------
- ---------------------------------------------------------------------
NATURAL GAS (0.1%)
NICOR, Inc. 4,200 143,934
People's Energy Corp. 3,400 137,530
Sempra Energy 17,515 486,917
-----------
768,381
-----------
- ---------------------------------------------------------------------
OFFICE EQUIPMENT &
SUPPLIES (0.1%)
Xerox Corp. (b) 70,500 740,250
-----------
- ---------------------------------------------------------------------
OIL & GAS (4.2%)
Amerada Hess Corp. 11,400 588,468
Apache Corp. 17,851 1,244,572
Ashland, Inc. 6,400 238,336
BJ Services Co. (b) 16,400 538,084
ChevronTexaco Corp. 107,593 7,994,160
ConocoPhillips 66,673 3,810,362
Devon Energy Corp. 21,763 1,055,506
El Paso Corp. 59,495 436,693
EOG Resources, Inc. 13,200 556,248
Exxon Mobil Corp. 667,678 24,423,660
KeySpan Corp. 14,845 519,130
Kinder Morgan, Inc. 10,700 572,985
Marathon Oil Corp. 26,600 786,562
Nabors Industries Ltd. (b) 15,191 574,220
Noble Corp. (b) 13,200 453,156
Rowan Cos., Inc. (b) 11,500 275,425
Sunoco, Inc. 8,900 389,464
Transocean Sedco Forex, Inc. (b) 29,700 569,943
Unocal Corp. 24,400 772,992
Williams Cos., Inc. (The) 48,900 498,780
-----------
46,298,746
-----------
- ---------------------------------------------------------------------
OIL & GAS FIELD MACHINERY (0.3%)
Anadarko Petroleum Corp. 27,357 1,193,312
Burlington Resources, Inc. 22,200 1,079,808
Kerr-McGee Corp. 12,684 526,386
-----------
2,799,506
-----------
- ---------------------------------------------------------------------
OIL EQUIPMENT & SERVICES (0.5%)
Baker Hughes, Inc. 29,170 824,344
Dynegy, Inc., Class A (b) 44,500 178,445
Halliburton Co. 48,500 1,158,180
Schlumberger Ltd. 60,100 2,822,897
-----------
4,983,866
-----------
- ---------------------------------------------------------------------
PAPER & FOREST PRODUCTS (0.5%)
Boise Cascade Corp. 5,500 154,275
Georgia-Pacific Corp. 23,663 621,864
International Paper Co. 50,796 1,998,822
SHARES OR
PRINCIPAL
AMOUNT VALUE
- ----------------------------------------------------------------------
PAPER & FOREST PRODUCTS
(continued)
Louisiana-Pacific Corp. (b) 4,800 $ 91,296
MeadWestvaco Corp. 18,901 489,914
Pactiv Corp. (b) 15,100 332,955
Temple Inland, Inc. 5,100 275,553
Weyerhaeuser Co. 19,600 1,180,508
-----------
5,145,187
-----------
- ---------------------------------------------------------------------
PHARMACEUTICALS (0.7%)
Amerisource Bergen Corp. 10,800 613,116
Express Scripts, Inc. (b) 8,200 450,344
Medimmune, Inc. (b) 27,200 725,152
Wyeth 134,200 5,923,588
-----------
7,712,200
-----------
- ---------------------------------------------------------------------
PHOTOGRAPHIC (0.1%)
Eastman Kodak Co. 28,600 698,698
-----------
- ---------------------------------------------------------------------
POLLUTION CONTROL (0.1%)
Allied Waste Industries, Inc. (b) 17,500 197,400
Waste Management, Inc. 53,000 1,373,760
-----------
1,571,160
-----------
- ---------------------------------------------------------------------
PRINTING & PUBLISHING (0.7%)
American Greetings Corp.,
Class A (b) 5,100 108,783
Dow Jones & Company, Inc. 7,300 379,381
Gannett Co., Inc. 28,400 2,388,724
Knight-Ridder, Inc. 7,700 564,564
McGraw-Hill Cos., Inc. (The) 18,600 1,245,270
Meredith Corp. 4,700 228,044
New York Times Co., Class A 14,200 674,926
R.R. Donnelley & Sons Co. 10,100 262,600
Tribune Co. 29,057 1,425,246
-----------
7,277,538
-----------
- ---------------------------------------------------------------------
RAILROADS (0.4%)
Burlington Northern Santa Fe Corp. 33,600 972,384
CSX Corp. 19,000 604,580
Norfolk Southern Corp. 36,800 741,520
Union Pacific Corp. 26,100 1,633,860
-----------
3,952,344
-----------
- ---------------------------------------------------------------------
REAL ESTATE INVESTMENT TRUSTS (0.4%)
Apartment Investment & Management Co. 12,200 498,980
Equity Office Properties Trust 36,300 1,016,763
Equity Residential Property Trust 25,800 754,650
Plum Creek Timber Co, Inc. 17,300 455,855
ProLogis Trust 21,800 643,972
Simon Property Group, Inc. 17,900 806,932
-----------
4,177,152
-----------
2003 ANNUAL REPORT 25
- --------------------------------------------------------------------------------
STATEMENT OF INVESTMENTS (Continued)
October 31, 2003
NATIONWIDE S&P 500 INDEX FUND (Continued)
COMMON STOCKS (CONTINUED)
SHARES OR
PRINCIPAL AMOUNT VALUE
- ------------------------------------------------------------------
RESTAURANTS (0.5%)
Darden Restaurants, Inc. 15,900 $ 333,105
McDonald's Corp. 132,600 3,316,326
Wendy's International, Inc. 15,000 555,750
YUM! Brands, Inc. (b) 26,400 901,296
-----------
5,106,477
-----------
- ------------------------------------------------------------------
RETAIL (5.9%)
AutoZone, Inc. (b) 8,900 855,290
Bed Bath & Beyond, Inc. (b) 31,500 1,330,560
Best Buy Co., Inc. (b) 33,750 1,967,963
Big Lots, Inc. (b) 11,000 165,110
Circuit City Stores, Inc. 24,800 236,592
Costco Wholesale Corp. (b) 48,800 1,726,056
CVS Corp. 37,200 1,308,696
Dillards, Inc., Class A 6,400 103,488
Dollar General Corp. 27,210 611,409
Family Dollar Stores, Inc. 14,300 623,623
Federated Department Stores, Inc. 21,000 998,550
Gap, Inc. (The) 86,600 1,652,328
Home Depot, Inc. 232,150 8,605,800
J.C. Penney Co., Inc. 27,400 648,010
Jones Apparel Group, Inc. 12,100 417,450
Kohl's Corp. (b) 35,400 1,984,878
Limited, Inc. (The) 42,900 755,040
Lowe's Companies, Inc. 80,300 4,732,079
May Department Stores Co. (The) 27,300 763,308
Nordstrom, Inc. 12,100 368,929
Office Depot, Inc. (b) 29,200 435,956
Sears, Roebuck & Co. 30,100 1,584,163
Staples, Inc. (b) 52,500 1,408,050
Starbucks Corp. (b) 42,500 1,343,000
Target Corp. 89,500 3,556,730
Tiffany & Co. 13,100 621,595
TJX Cos., Inc. 50,800 1,066,292
Toys "R" Us, Inc. (b) 20,100 261,300
Wal-Mart Stores, Inc. 442,400 26,079,479
-----------
66,211,724
-----------
- ------------------------------------------------------------------
RETAIL/FOOD & DRUG (0.6%)
Albertson's, Inc. 34,734 704,753
Kroger Co. (b) 70,200 1,227,798
Safeway, Inc. (b) 47,700 1,006,470
Supervalu, Inc. 9,200 232,024
Walgreen Co. 100,900 3,513,338
Winn-Dixie Stores, Inc. 12,700 102,743
-----------
6,787,126
-----------
- ------------------------------------------------------------------
SEMICONDUCTORS (0.7%)
Advanced Micro Devices, Inc. (b) 32,700 497,040
Analog Devices, Inc. (b) 35,500 1,573,715
Applied Materials, Inc. (b) 164,100 3,835,017
SHARES OR
PRINCIPAL
AMOUNT VALUE
- ------------------------------------------------------------------
SEMICONDUCTORS (continued)
Micron Technology, Inc. (b) 58,300 $ 836,022
Novellus Systems, Inc. (b) 14,800 611,092
-----------
7,352,886
-----------
- ------------------------------------------------------------------
SERVICES (0.8%)
Autodesk, Inc. 12,700 244,475
Deluxe Corp. 5,300 213,961
eBay, Inc. (b) 63,200 3,535,409
Equifax, Inc. 11,900 290,836
IMS Health, Inc. 21,948 516,436
Omnicom Group, Inc. 20,100 1,603,980
Paychex, Inc. 40,075 1,559,719
Robert Half International, Inc. (b) 13,200 311,652
Ryder System, Inc. 5,500 165,000
Sabre Holdings, Inc. 13,517 296,157
-----------
8,737,625
-----------
- ------------------------------------------------------------------
STEEL (0.1%)
Allegheny Teledyne, Inc. 4,800 36,720
Nucor Corp. 9,600 526,368
United States Steel Corp. 9,700 229,405
Worthington Industries, Inc. 8,100 118,098
-----------
910,591
-----------
- ------------------------------------------------------------------
TELECOMMUNICATIONS (2.7%)
ADC Telecommunications, Inc. (b) 74,793 190,722
ALLTEL Corp. 29,400 1,389,738
Andrew Corp. (b) 20,600 269,448
AT&T Corp. 82,466 1,533,043
AT&T Wireless Services, Inc. (b) 256,299 1,858,168
BellSouth Corp. 186,000 4,893,660
CenturyTel, Inc. 13,500 482,625
Comverse Technology, Inc. (b) 19,900 358,996
Nextel Communications, Inc. (b) 107,000 2,589,400
QUALCOMM, Inc. 78,300 3,719,250
Qwest Communications
International, Inc. (b) 160,211 565,545
SBC Communications, Inc. 334,541 8,022,293
Scientific-Atlanta, Inc. 15,300 452,880
Sprint Corp. (FON Group) 85,800 1,372,800
Sprint Corp. (PCS Group) (b) 90,100 391,935
Univision Communications, Inc.,
Class A (b) 35,100 1,191,645
-----------
29,282,148
-----------
- ------------------------------------------------------------------
TIRE & RUBBER (0.0%)
Cooper Tire & Rubber Co. 5,300 104,198
Goodyear Tire & Rubber Co. 15,800 108,388
-----------
212,586
-----------
26 ANNUAL REPORT 2003
- --------------------------------------------------------------------------------
COMMON STOCKS (CONTINUED)
SHARES OR
PRINCIPAL AMOUNT VALUE
- ----------------------------------------------------------------------------------------
TOBACCO (0.1%)
R.J. Reynolds Tobacco 9,600 $ 461,088
UST, Inc. 15,800 537,516
-------------
998,604
-------------
- ----------------------------------------------------------------------------------------
TRANSPORT SERVICES (0.8%)
United Parcel Service, Inc.,
Class B 115,300 8,361,556
-------------
- ----------------------------------------------------------------------------------------
UTILITIES (2.0%)
AES Corp. (The) (b) 55,265 483,569
Allegheny Energy, Inc. (b) 11,300 119,554
Ameren Corp. 15,200 678,680
American Electric Power Co., Inc. 37,340 1,052,615
Calpine Corp. (b) 41,200 189,932
Centerpoint Energy, Inc. 33,400 327,654
Cinergy Corp. 20,900 758,879
CMS Energy Corp. 13,000 105,560
Consolidated Edison, Inc. 25,100 1,015,797
Constellation Energy Group, Inc. 12,400 450,988
Dominion Resources, Inc. 29,367 1,809,007
DTE Energy Co. 15,900 586,392
Duke Energy Corp. 85,200 1,546,380
Edison International (b) 29,400 579,474
Entergy Corp. 24,900 1,342,110
FirstEnergy Corp. 39,448 1,356,617
FPL Group, Inc. 20,100 1,281,174
NiSource, Inc. 24,827 514,167
PG&E Corp. (b) 38,700 946,215
Pinnacle West Capital Corp. 8,600 314,416
PPL Corp. 17,200 686,624
Progress Energy, Inc. 21,700 935,270
Public Service Enterprise
Group, Inc. 25,200 1,029,924
Southern Co. 76,500 2,279,699
TECO Energy, Inc. 17,700 232,401
TXU Corp. 32,200 734,804
Xcel Energy, Inc. 37,710 618,444
-------------
21,976,346
-------------
TOTAL COMMON STOCKS 973,290,901
-------------
REPURCHASE AGREEMENTS (10.3%)
SHARES OR
PRINCIPAL
AMOUNT VALUE
- ----------------------------------------------------------------------------------------
CS First Boston, 0.94%, dated 10/31/03,
due 11/03/03, repurchase price
57,216,659 (Fully collateralized by AA
Rated Corporate Bonds) $ 57,212,177 $ 57,212,177
Lehman Brothers, Inc., 0.94%,
dated 10/31/03, due 11/03/03, repurchase price
10,595,631 (Fully collateralized by
U.S.Agency Securities) 10,594,801 10,594,801
Nomura Securities, 0.94%, dated 10/31/03,
due 11/03/03, repurchase price 45,773,327
(Fully collateralized by AA Rated
Corporate Bonds) 45,769,742 45,769,742
-------------
TOTAL REPURCHASE AGREEMENTS 113,576,720
-------------
SHORT-TERM INVESTMENTS PURCHASED WITH CASH COLLATERAL
RECEIVED FOR SECURITIES ON LOAN (3.9%)
REPURCHASE AGREEMENT (0.7%)
Nomura Securites, 1.07%, dated 10/31/03,
due 11/03/03, repurchase price 7,518,555
(Fully collateralized by U.S. Agency
Securities) 7,517,885 7,517,885
-------------
- ----------------------------------------------------------------------------------------
GUARANTEED INSURANCE CONTRACT (0.9%)
Protective Life Insurance Co.,
1.28%, 11/30/04 (c) 10,000,000 10,000,000
-------------
- ----------------------------------------------------------------------------------------
MEDIUM-TERM NOTE (2.3%)
SPARC 2003-6, 1.46%, 05/23/05 (c) 25,000,000 25,000,000
-------------
- ----------------------------------------------------------------------------------------
TIME DEPOSIT (0.0%)
Unicredito Italiano Milan, 1.09%,
12/17/03 600,000 600,000
-------------
TOTAL SHORT-TERM INVESTMENTS PURCHASED WITH CASH
COLLATERAL RECEIVED FOR SECURITIES ON LOAN 43,117,885
-------------
TOTAL INVESTMENTS (COST $1,157,757,278) (A) - 102.8% 1,129,985,506
LIABILITIES IN EXCESS OF OTHER ASSETS - (2.8)% (31,021,300)
--------------
NET ASSETS - 100.0% $1,098,964,206
==============
(a) See notes to financial statements for unrealized appreciation
(depreciation) of securities.
(b) Denotes a non-income producing security.
(c) Variable Rate Security. The rate reflected in the Statement of Investments
is the rate in effect on October 31, 2003.
At October, 31 2003 the Fund's open long futures contracts were as follows:
MARKET
VALUE UNREALIZED
NUMBER OF LONG COVERED BY APPRECIATION
CONTRACTS CONTRACTS* EXPIRATION CONTRACTS (DEPRECIATION)
- -----------------------------------------------------------------
481 S&P 500 12/19/03 $126,202,375 $ 2,539,535
* Cash pledged as collateral.
SEE NOTES TO FINANCIAL STATEMENTS.
2003 ANNUAL REPORT 27
- --------------------------------------------------------------------------------
NATIONWIDE MID CAP MARKET INDEX FUND
Class A Shares symbol: NMXAX
Class B Shares symbol: NMXBX
Class C Shares symbol: NMCMX
Institutional Class symbol: NMXIX
HOW DID THE FUND PERFORM?
For the annual period ended Oct. 31, 2003, the Fund returned 29.72%* versus
30.75% for its benchmark, the S&P MidCap 400 Index.
For broader comparison, the average return for this Fund's peer category
(Mid-Cap Core Funds) was 30.88%, according to Lipper, an independent company
that provides mutual fund data and analysis.
WHAT MARKET/ECONOMIC AND PORTFOLIO-SPECIFIC FACTORS AFFECTED PERFORMANCE?
Markets were volatile during the period as corporate scandals, terrorism, war
anxieties and economic uncertainty depressed investor sentiment. Once
geopolitical risks abated after the resolution of major military conflict in
Iraq, investor sentiment improved and markets began to rise in March. The rally
was notable for the participation of all sectors and countries. The upturn
remained steady and, although a slight pullback occurred in September, the
markets finished the period with strong performance in October.
Turning to sector performance, all 10 S&P MidCap 400 Index sectors posted
positive returns for the period. Information technology was the leader,
returning 55%. Health care and industrials also were top performers, returning
33% and 32%, respectively. Energy was the bottom performer with a return of 10%,
followed by materials and utilities with respective returns of 10% and 17%.
DESCRIBE THE FUND'S TOP HOLDINGS AND ANY SIGNIFICANT TRANSACTIONS MADE DURING
THE PERIOD.
The Fund's top security holdings at the end of the period were M&T Bank Corp.,
Gilead Sciences, Inc. and The Washington Post Co. Fund weightings for each
security are determined by the security's respective benchmark weighting. All
Fund transactions during the period were driven either by changes to the
composition of the benchmark index or by Fund subscriptions/redemptions.
HOW IS THE FUND POSITIONED?
The U.S. stock market has rebounded significantly since October 2002 because of
improved corporate earnings, low interest rates and strong economic growth. This
trend is expected to continue during the remainder of 2003 and beyond. Iraq
remains on the radar screen, because reports of conflicts and casualties
continue to make frequent headlines. Despite this news, however, investors
appear to be leaving the sidelines and re-entering the equity markets.
Recent economic data, such as gross domestic product growth, points to an
acceleration in global activity. In the midst of such strong results, the bears
believe that economic growth peaked during the third quarter and that news will
become less positive. And so the tug of war continues between those who expect
the market to keep barreling ahead and those who foresee a backlash. The Fund is
positioned to continue to meet its objective of replicating the risks and
returns of its benchmark.
PORTFOLIO MANAGER: Fund Asset Management, L.P. - Subadviser
* Performance of Class A shares without sales charge and assuming all
distributions are reinvested.
PORTFOLIO MARKET VALUE $332,196,207
OCTOBER 31, 2003
28 ANNUAL REPORT 2003
- --------------------------------------------------------------------------------
AVERAGE ANNUAL TOTAL RETURN
(For Periods Ended October 31, 2003)
1 YR. INCEPTION1
- ---------------------------------------------------
Class A w/o SC2 29.72% 6.37%
w/SC3 22.27% 4.75%
- ---------------------------------------------------
Class B4 w/o SC2 28.96% 5.89%
w/SC5 23.96% 5.22%
- ---------------------------------------------------
Class C6 w/o SC2 28.85% 5.86%
w/SC7 26.61% 5.59%
- ---------------------------------------------------
Institutional Class8 30.21% 6.87%
- ---------------------------------------------------
All figures showing the effect of a sales charge reflect the maximum charge
possible, because it has the most dramatic effect on performance data.
1 Commenced operations on December 29, 1999.
2 These returns do not reflect the effects of sales charges (SC).
3 A 5.75% front-end sales charge was deducted.
4 These returns until the creation of Class B shares (5/25/01) include
performance based on the Fund's Class A shares. Excluding the effect of any
fee waivers or reimbursements, such prior performance is similar to what
Class B shares would have produced because Class B shares invest in the
same portfolio of securities as Class A shares. The performance for this
class has been restated to reflect differences in sales charges (where
applicable), but does not reflect the differing levels of other fees
(primarily Rule 12b-1 and/or administrative services fees) applicable to
such classes; if these fees were reflected, the performance for Class B
shares would have been lower.
5 A 5.00% maximum contingent deferred sales charge (CDSC) was deducted. The
CDSC declines to 0% after 6 years.
6 These returns until the creation of Class C shares (10/22/03) include the
performance of the Fund's Class A shares for the period through May 24,
2001 and the Fund's Class B shares for the period from May 25, 2001 to
October 21, 2003. Excluding the effect of any fee waivers or
reimbursements, such prior performance is similar to what Class C shares
would have produced because Class C shares invest in the same portfolio of
securities as the Fund's other classes. The performance for the Class C
shares has been restated to reflect differences in sales charges (where
applicable), but does not reflect the differing levels of other fees
(primarily Rule 12b-1 and/or administrative services fees) applicable to
such classes; if these fees were reflected, the performance for Class C
shares would have been lower.
7 A 1.00% front-end sales charge was deducted. A CDSC of 1.00% was also
deducted from the one year return because it is charged when you sell Class
C shares within the first year after purchase.
8 Not subject to any sales charges.
GROWTH OF A $10,000 INVESTMENT
INVESTMENT RETURN AND PRINCIPAL VALUE WILL FLUCTUATE, AND WHEN REDEEMED, SHARES
MAY BE WORTH MORE OR LESS THAN ORIGINAL COST. PAST PERFORMANCE IS NO GUARANTEE
OF FUTURE RESULTS.
Date Class A S&P Midcap 400 CPI
- -------------------------------------------
12/29/1999 9,425 10,000 10,000
10/31/2000 11,170 11,807 10,339
10/31/2001 9,766 10,337 10,559
10/31/2002 9,212 9,843 10,772
10/31/2003 11,950 12,867 11,043
Comparative performance of $10,000 invested in Class A shares of the Nationwide
Mid Cap Market Index Fund, the S&P MidCap 400 Index(a), and the Consumer Price
Index (CPI)(b) since inception. Unlike the Fund, the returns for these indices
do not reflect any fees, expenses, or sales charges.
(a) The S&P MidCap 400 Index is an unmanaged index that measures the
performance of mid-sized U.S. companies.
(b) The CPI represents changes in prices of a basket of goods and services
purchased for consumption by urban households.
2003 ANNUAL REPORT 29
- --------------------------------------------------------------------------------
STATEMENT OF INVESTMENTS
October 31, 2003
NATIONWIDE MID CAP MARKET INDEX FUND
COMMON STOCKS (85.5%)
SHARES OR
PRINCIPAL AMOUNT VALUE
- ------------------------------------------------------------------
AEROSPACE/DEFENSE (0.3%)
Precision Castparts Corp. 14,700 $ 604,611
Sequa Corp. (b) 2,500 119,250
-----------
723,861
-----------
- ------------------------------------------------------------------
AGRICULTURAL PRODUCTS (0.1%)
Universal Corp. 7,100 309,418
-----------
- ------------------------------------------------------------------
AIRLINES (0.4%)
Alaska Air Group, Inc. (b) 7,700 221,683
Jetblue Airways Corp. (b) 17,800 1,026,704
-----------
1,248,387
-----------
- ------------------------------------------------------------------
AMUSEMENT & RECREATION (0.4%)
Callaway Golf Co. 21,300 346,125
International Speedway Corp. 13,600 578,544
Six Flags, Inc. (b) 27,700 163,984
-----------
1,088,653
-----------
- ------------------------------------------------------------------
AUTO PARTS & EQUIPMENT (1.2%)
Arvinmeritor, Inc. 17,300 290,467
Bandag, Inc. 4,500 164,700
BorgWarner Automotive, Inc. 7,400 588,966
Gentex Corp. 20,800 812,240
Lear Corp. (b) 17,900 1,039,811
Modine Manufacturing Co. 8,200 209,838
Superior Industries
International, Inc. 6,600 280,500
-----------
3,386,522
-----------
- ------------------------------------------------------------------
AUTOMOTIVE (0.5%)
O'Reilly Automotive, Inc. (b) 14,600 632,034
Carmax, Inc. (b) 27,100 853,921
-----------
1,485,955
-----------
- ------------------------------------------------------------------
BANKS (7.9%)
Associated Banc Corp. 19,094 785,909
Astoria Financial Corp. 22,600 782,864
Banknorth Group, Inc. 42,427 1,328,814
City National Corp. 13,300 800,793
Colonial Bancgroup, Inc. 31,400 492,352
Compass Bancshares, Inc. 34,400 1,299,632
Cullen/Frost Bankers, Inc. 14,300 554,268
FirstMerit Corp. 22,100 569,738
Greater Bay Bancorp 14,800 399,008
GreenPoint Financial Corp. 36,650 1,141,648
Hibernia Corp. 40,700 919,413
Independence Community
Bank Corp. 13,900 510,825
IndyMac Bancorp, Inc. 15,600 458,640
M&T Bank Corp. 31,500 2,957,849
Mercantile Bankshare Corp. 21,650 917,311
National Commerce Financial Co. 53,490 1,469,370
New York Community Bancorp, Inc. 36,600 1,324,920
SHARES OR
PRINCIPAL AMOUNT VALUE
- ------------------------------------------------------------------
BANKS (continued)
Provident Financial Group 12,120 $ 356,934
Roslyn Bancorp, Inc. 21,462 578,186
Silicon Valley Bancshares (b) 10,100 354,510
Sovereign Bancorp, Inc. 76,500 1,591,965
TCF Financial Corp. 19,800 1,033,164
Washington Federal, Inc. 21,100 555,774
Webster Financial Corp. 11,600 518,520
West America Bancorp 8,320 416,499
Wilmington Trust Corp. 16,800 565,824
-----------
22,684,730
-----------
- ------------------------------------------------------------------
BIOTECHNOLOGY (2.2%)
Gilead Sciences, Inc. (b) 53,000 2,892,740
Idec Pharmaceuticals Corp. (b) 41,700 1,464,921
Millenium Pharmaceuticals, Inc. (b) 77,963 1,241,171
Protein Design Labs, Inc. (b) 26,100 351,828
Vertex Pharmaceuticals, Inc. (b) 19,200 251,904
-----------
6,202,564
-----------
- ------------------------------------------------------------------
BROADCASTING (0.6%)
Emmis Communications Corp. (b) 15,100 334,918
Entercom Communications
Corp. (b) 14,000 641,340
Westwood One, Inc. (b) 27,900 835,047
-----------
1,811,305
-----------
- ------------------------------------------------------------------
BUSINESS SERVICES (2.4%)
Acxiom Corp. (b) 23,800 378,420
BISYS Group, Inc. (The) (b) 31,700 453,310
Catalina Marketing Corp. (b) 15,400 271,810
Ceridian Corp. (b) 38,400 806,400
Checkfree Corp. (b) 21,100 580,883
CSG Systems International, Inc. (b) 13,000 149,370
DST Systems, Inc. (b) 31,200 1,179,984
Fair Issac Corp. 12,900 822,762
Gartner Group, Inc. (b) 3,000 38,250
Gartner Group, Inc., Class B (b) 30,300 369,357
Harte-Hanks, Inc. 22,300 443,101
Kelly Services, Inc. 8,675 212,538
Korn/Ferry International (b) 8,700 76,038
Manpower, Inc. 21,200 983,680
MPS Group, Inc. (b) 25,500 243,525
-----------
7,009,428
-----------
- ------------------------------------------------------------------
CHEMICALS (1.8%)
Airgas, Inc. 18,000 344,700
Albemarle Corp. 10,200 273,564
Cabot Corp. 15,600 435,240
Crompton Corp. 28,000 150,080
Cytec Industries, Inc. (b) 10,800 377,028
Ferro Corp. 11,800 242,254
FMC Corp. (b) 8,600 240,886
30 ANNUAL REPORT 2003
- --------------------------------------------------------------------------------
COMMON STOCKS (CONTINUED)
SHARES OR
PRINCIPAL
AMOUNT VALUE
- ---------------------------------------------------------------
CHEMICALS (continued)
IMC Global, Inc. 32,600 $ 227,874
Lubrizol Corp. 13,300 402,990
Lyondell Chemical Co. 48,100 687,830
Minerals Technologies, Inc. 5,800 317,840
Olin Corp. 16,600 289,006
RPM, Inc. 29,100 420,495
Valspar Corp. 13,000 620,100
-----------
5,029,887
-----------
- ---------------------------------------------------------------
COMMUNICATION EQUIPMENT (2.0%)
Adtran, Inc. 10,400 707,512
Advanced Fibre Communications, Inc. (b) 23,300 560,831
Cincinnati Bell, Inc. (b) 60,000 306,600
CommScope, Inc. (b) 14,100 218,409
Harris Corp. 17,000 632,740
L-3 Communications Holdings,
Inc. (b) 25,800 1,205,892
Plantronics, Inc. (b) 11,000 305,910
Polycom, Inc. (b) 25,400 508,762
Powerwave Technologies, Inc. (b) 19,600 127,596
Price Communications Corp. (b) 13,200 165,924
Telephone & Data Systems, Inc. 14,900 932,740
-----------
5,672,916
-----------
- ---------------------------------------------------------------
COMPUTER HARDWARE (0.6%)
Keane, Inc. (b) 17,400 228,636
National Instruments Corp. 13,300 566,314
Quantum Corp. (b) 45,600 141,816
Storage Technology Corp. (b) 28,300 682,030
-----------
1,618,796
-----------
- ---------------------------------------------------------------
COMPUTER SOFTWARE & SERVICES (4.7%)
3COM Corp. (b) 93,800 675,360
Activision, Inc. (b) 24,550 370,460
Advent Software, Inc. (b) 8,369 153,236
Affiliated Computer Services, Inc. (b) 35,700 1,746,801
Ascential Software Corp (b) 14,578 323,486
Avocent Corp. (b) 12,700 480,060
Cadence Design Systems, Inc. (b) 70,000 1,077,300
CDW Corp. 22,600 1,357,130
Internet Security, Inc. (b) 14,400 236,304
Investment Technology
Group, Inc. (b) 12,007 238,459
Jack Henry & Associates, Inc. 22,400 447,552
Macromedia, Inc. (b) 15,800 301,938
Macrovision Corp. (b) 12,100 265,837
McDATA Corp. (b) 30,800 318,164
Mentor Graphics Corp. (b) 18,700 313,225
Network Associates, Inc. (b) 42,700 594,811
Retek, Inc. (b) 13,000 130,390
RSA Security, Inc. (b) 14,100 182,877
SanDisk Corp. (b) 20,700 1,668,420
Sybase, Inc. (b) 24,100 431,390
SHARES OR
PRINCIPAL
AMOUNT VALUE
- ---------------------------------------------------------------
COMPUTER SOFTWARE & SERVICES (continued)
Synopsys, Inc. (b) 41,600 $ 1,319,552
Titan Corp. (The) (b) 20,170 425,990
Transaction Systems Architects,
Inc. (b) 10,600 212,000
Wind River Systems, Inc. (b) 20,200 135,340
-----------
13,406,082
-----------
- ---------------------------------------------------------------
CONSTRUCTION (2.3%)
D. R. Horton, Inc. 40,750 1,621,850
Dycom Industries, Inc. (b) 13,400 289,574
Granite Construction, Inc. 12,000 239,880
Hovnanian Enterprises, Class A (b) 8,200 666,496
Jacobs Engineering Group, Inc. (b) 15,200 704,064
Lennar Corp. 19,820 1,820,467
Martin Marietta Materials, Inc. 12,800 524,416
Toll Brothers, Inc. (b) 20,000 736,800
-----------
6,603,547
-----------
- ---------------------------------------------------------------
CONSUMER & COMMERCIAL SERVICES (1.9%)
Career Education Corp. (b) 26,800 1,435,140
Corinthian Colleges, Inc. (b) 12,000 743,040
DeVry, Inc. (b) 19,300 468,411
Dun & Bradstreet Corp. (b) 19,300 898,415
Quanta Services, Inc. (b) 29,300 239,674
Rollins, Inc. 11,050 224,536
Sotheby's Holdings, Inc. (b) 14,700 156,555
Sylvan Learning Systems, Inc. (b) 11,400 322,620
United Rentals, Inc. (b) 19,600 341,432
Viad Corp. 22,700 567,046
-----------
5,396,869
-----------
- ---------------------------------------------------------------
CONSUMER PRODUCTS (2.3%)
Blyth Industries, Inc. 12,000 335,760
Choicepoint, Inc. (b) 22,600 791,904
Church & Dwight, Inc. 11,400 424,878
Dial Corp. 26,500 636,000
Education Management Corp. (b) 9,800 619,164
Energizer Holdings, Inc. (b) 21,700 798,560
Furniture Brands International, Inc. 15,400 373,604
Lancaster Colony Corp. 9,000 357,390
Mohawk Industries Co. (b) 17,700 1,311,924
Scotts Co. (The), Class A (b) 9,800 565,950
Timberland Co., Class A (b) 9,900 514,305
-----------
6,729,439
-----------
- ---------------------------------------------------------------
CONTAINERS/PACKAGING (0.4%)
Packaging Corp. of America (b) 26,700 525,990
Sonoco Products Co. 24,700 525,369
-----------
1,051,359
-----------
2003 ANNUAL REPORT 31
- --------------------------------------------------------------------------------
STATEMENT OF INVESTMENTS (Continued)
October 31, 2003
NATIONWIDE MID CAP MARKET INDEX FUND (Continued)
COMMON STOCKS (CONTINUED)
SHARES OR
PRINCIPAL AMOUNT VALUE
- ---------------------------------------------------------------------------------
ELECTRONICS (4.7%)
Arrow Electronics, Inc. (b) 26,000 $ 555,100
Atmel Corp. (b) 121,200 683,568
Avnet, Inc. (b) 30,798 597,481
Cabot Microelectronics Corp. (b) 6,768 385,776
Credence Systems Corp. (b) 18,200 296,842
Cree, Inc. (b) 20,488 363,867
Cypress Semiconductor Corp. (b) 30,300 650,238
Hubbell, Inc. 15,200 651,168
Integrated Device Technology,
Inc. (b) 28,700 450,590
International Rectifier Corp. (b) 17,500 835,275
Intersil Corp. 37,000 954,230
Kemet Corp. (b) 21,700 287,525
Lam Research Corp. (b) 33,100 951,294
Lattice Semiconductor Corp. (b) 31,800 248,040
LTX Corp. (b) 13,700 195,773
Micrel, Inc. (b) 23,300 384,450
Microchip Technology, Inc. 53,612 1,753,648
Newport Corp. (b) 9,400 148,144
Plexus Corp. (b) 10,300 178,087
RF Micro Devices, Inc. (b) 50,400 590,184
Semtech Corp. (b) 20,310 450,882
SPX Corp. (b) 20,400 981,648
TriQuint Semiconductor, Inc. (b) 32,305 231,627
Vishay Intertechnology, Inc. (b) 41,450 777,188
------------
13,602,625
------------
- ---------------------------------------------------------------------------------
FINANCIAL SERVICES (3.5%)
Americredit Corp. (b) 43,100 577,540
Bank of Hawaii Corp. 16,700 657,980
Certegy, Inc. 16,900 568,854
Commerce Bancorp, Inc. 20,400 986,136
E*TRADE Group, Inc. (b) 93,600 964,080
Eaton Vance Corp. 17,800 620,864
Edwards (A.G.), Inc. 21,400 866,700
Investors Financial Services Corp. 17,884 631,842
Labranche & Co., Inc. 16,700 176,853
Legg Mason, Inc. 17,600 1,465,200
Neuberger Berman, Inc. 8,700 377,145
PMI Group, Inc. 24,200 925,166
SEI Corp. 27,200 792,064
Waddell & Reed Financial, Inc. 21,000 465,780
------------
10,076,204
------------
- ---------------------------------------------------------------------------------
FOOD & BEVERAGE (3.0%)
Constellation Brands, Inc. (b) 28,400 890,908
Dean Foods Co. (b) 42,158 1,275,280
Hormel Foods Corp. 35,800 883,902
J.M. Smucker Co. 12,712 556,404
Interstate Bakeries Corp. 13,100 192,308
Krispy Kreme Doughnuts, Inc. (b) 15,800 684,456
PepsiAmericas, Inc. 36,700 549,766
Sensient Technologies Corp. 13,600 261,120
SHARES OR
PRINCIPAL
AMOUNT VALUE
- ---------------------------------------------------------------------------------
FOOD & BEVERAGE (continued)
Smithfield Foods, Inc. (b) 29,500 $ 627,170
Tootsie Roll Industries, Inc. 13,069 431,146
Tyson Foods, Inc. 91,590 1,306,989
Whole Foods Market, Inc. (b) 16,200 959,688
------------
8,619,137
------------
- ---------------------------------------------------------------------------------
GAMING (0.8%)
Boyd Gaming Corp. 17,000 259,420
GTECH Holdings Corp. 15,600 697,008
Mandalay Resort Group 16,400 643,700
Park Place Entertainment, Inc. (b) 77,800 746,880
------------
2,347,008
------------
- ---------------------------------------------------------------------------------
HEALTHCARE (8.5%)
AdvancePCS (b) 24,400 1,255,868
Apogent Technologies, Inc. (b) 23,500 515,825
Apria Healthcare Group, Inc. (b) 15,400 446,600
Barr Laboratories, Inc. (b) 17,850 1,370,345
Beckman Coulter, Inc. 16,700 829,155
Charles River Laboratories International, Inc. (b) 11,600 373,984
Community Health Systems, Inc. (b) 25,300 607,706
Covance, Inc. (b) 15,600 406,068
Coventry Health Care, Inc. (b) 15,400 843,150
Cytyc Corp. (b) 31,000 400,830
Dentsply International, Inc. 20,400 901,476
Edwards Lifesciences Corp. (b) 16,900 490,100
First Health Group Corp. (b) 26,100 637,101
Health Net, Inc. (b) 30,100 950,859
ICN Pharmaceuticals, Inc. 22,100 426,751
IVAX Corp. (b) 52,675 1,014,521
LifePoint Hospitals, Inc. (b) 11,100 285,381
Lincare Holdings, Inc. (b) 26,600 1,035,804
Mylan Laboratories, Inc. 71,925 1,736,989
Omnicare, Inc. 27,200 1,042,848
Oxford Health Plans, Inc. (b) 21,700 878,850
PacifiCare Health Systems, Inc. (b) 10,200 606,900
Patterson Dental Co. (b) 18,500 1,183,630
Perrigo Co. 17,300 232,685
Pharmaceutical Resources, Inc. (b) 9,100 657,748
Schein (Henry), Inc. (b) 12,100 750,805
Sepracor, Inc. (b) 22,400 596,512
SICOR, Inc. (b) 30,400 814,720
Steris Corp. (b) 17,800 370,596
Triad Hospitals, Inc. (b) 19,433 597,176
Universal Health Services, Inc. (b) 15,900 748,095
Varian Medical Systems, Inc. (b) 18,600 1,189,284
Visx, Inc. (b) 12,800 310,528
------------
24,508,890
------------
- ---------------------------------------------------------------------------------
HOTELS & LODGING (0.1%)
Extended Stay America, Inc. (b) 23,600 346,920
------------
32 ANNUAL REPORT 2003
- --------------------------------------------------------------------------------
COMMON STOCKS (CONTINUED)
SHARES OR
PRINCIPAL AMOUNT VALUE
- -----------------------------------------------------------------
INSURANCE (4.3%)
Allmerica Financial Corp. (b) 14,900 $ 396,787
American Financial Group, Inc. 17,500 389,725
AmerUs Group Co. 11,100 419,025
Brown & Brown, Inc. 17,500 532,875
Everest Re Group Ltd. 15,000 1,244,250
Fidelity National Financial, Inc. 37,050 1,145,586
First American Financial Corp. 21,200 607,380
Gallagher (Arthur J.) & Co. 24,800 723,912
HCC Insurance Holdings, Inc. 16,000 466,240
Horace Mann Educators Corp. 10,300 136,475
Leucadia National Corp. 15,300 642,600
Mony Group, Inc. 11,700 374,517
Ohio Casualty Corp. (b) 17,620 269,586
Old Republic International Corp. 31,400 1,128,516
Protective Life Corp. 17,600 571,472
Radian Group, Inc. 24,400 1,290,760
Stancorp Financial Group, Inc. 7,300 460,265
Unitrin, Inc. 17,200 636,400
W.R. Berkley Corp. 22,800 781,812
-----------
12,218,183
-----------
- -----------------------------------------------------------------
MACHINERY (0.7%)
AGCO Corp. (b) 20,800 374,400
Graco, Inc. 11,600 441,960
Tecumseh Products Co. 5,500 225,390
Zebra Technologies Corp.,
Class A (b) 14,700 837,165
-----------
1,878,915
-----------
- -----------------------------------------------------------------
MANUFACTURING (2.5%)
Ametek, Inc. 8,200 385,810
Brink's Co. (The) 13,400 268,670
Carlisle Cos., Inc. 8,700 498,945
Diebold, Inc. 19,700 1,124,082
Donaldson Co., Inc. 11,100 635,142
Federal Signal Corp. 11,600 171,564
Flowserve Corp. (b) 14,000 286,440
Harsco Corp. 10,200 390,762
Hillenbrand Industries, Inc. 16,000 952,480
Nordson Corp. 8,000 221,680
Pentair, Inc. 13,700 561,700
Teleflex, Inc. 10,000 460,100
Trinity Industries, Inc. 12,900 328,305
Varian, Inc. (b) 8,500 304,385
York International Corp. 11,200 445,088
-----------
7,035,153
-----------
- -----------------------------------------------------------------
METALS (0.2%)
Carpenter Technology Corp. 5,900 152,515
Kennametal, Inc. 9,600 354,048
-----------
506,563
-----------
SHARES OR
PRINCIPAL AMOUNT VALUE
- -----------------------------------------------------------------
MINING (0.3%)
Arch Coal, Inc. 14,700 $ 360,150
Peabody Energy Corp. 14,600 486,618
-----------
846,768
-----------
- -----------------------------------------------------------------
OFFICE EQUIPMENT & SUPPLIES (0.5%)
HON Industries, Inc. 14,870 609,670
Miller (Herman), Inc. 18,400 422,648
Reynolds & Reynolds Co. 17,000 461,720
-----------
1,494,038
-----------
- -----------------------------------------------------------------
OIL & GAS (4.9%)
Cooper Cameron Corp. (b) 15,040 644,013
Cross Timbers Royalty Trust 52 1,300
ENSCO International, Inc. 40,600 1,069,810
FMC Technologies, Inc. (b) 16,582 332,967
Forest Oil Corp. (b) 13,700 321,265
Grant Prideco, Inc. (b) 30,600 347,004
Hanover Compressor Co. (b) 16,200 171,720
Helmerich & Payne, Inc. 14,100 373,791
Murphy Oil Corp. 24,800 1,462,703
National-Oilwell, Inc. (b) 22,600 430,982
Noble Energy, Inc. 15,900 631,548
Patterson-UTI Energy, Inc. (b) 22,000 628,980
Pioneer Natural Resources Co. (b) 32,000 846,400
Pogo Producing Co. 16,000 668,960
Pride International, Inc. (b) 34,400 563,472
Smith International, Inc. (b) 27,700 1,031,271
Tidewater, Inc. 16,900 463,229
Valero Energy Corp. 30,900 1,319,430
Varco International, Inc. (b) 24,652 433,629
Weatherford International Ltd. (b) 35,400 1,230,150
XTO Energy, Inc. 47,699 1,129,035
-----------
14,101,659
-----------
- -----------------------------------------------------------------
PAPER & FOREST PRODUCTS (0.6%)
Bowater, Inc. 15,300 624,699
Glatfelter (P.H.) & Co. 11,600 147,900
Longview Fibre Co. 12,300 132,225
Potlatch Corp. 7,000 218,820
Rayonier, Inc. 11,700 491,985
Wausau-Mosinee Paper Corp. 12,500 154,500
-----------
1,770,129
-----------
- -----------------------------------------------------------------
PHOTOGRAPHY/IMAGING (0.1%)
Imation Corp. 10,000 340,500
-----------
2003 ANNUAL REPORT 33
- --------------------------------------------------------------------------------
STATEMENT OF INVESTMENTS (Continued)
October 31, 2003
NATIONWIDE MID CAP MARKET INDEX FUND (Continued)
COMMON STOCKS (CONTINUED)
SHARES OR
PRINCIPAL AMOUNT VALUE
- ----------------------------------------------------------------------------
PUBLISHING & PRINTING (1.7%)
Banta Corp. 7,400 $ 283,124
Belo Corp. 29,100 793,266
Lee Enterprises, Inc. 11,600 489,056
Media General, Inc. 5,900 389,695
Readers Digest Association 24,500 360,885
Scholastic Corp. (b) 11,000 340,230
Valassis Communications, Inc. (b) 14,400 372,960
Washington Post Co. 2,503 1,845,737
------------
4,874,953
------------
- ----------------------------------------------------------------------------
REAL ESTATE INVESTMENT TRUSTS (1.5%)
AMB Property Corp. 20,700 620,793
Highwood Properties, Inc. 15,600 386,880
Hospitality Properties Trust 17,400 638,058
Liberty Property Trust 20,200 734,876
Mack-Cali Realty Corp. 16,000 603,040
New Plan Excel Realty Trust 26,800 608,360
United Dominion Realty Trust, Inc. 33,200 579,340
------------
4,171,347
------------
- ----------------------------------------------------------------------------
RENTAL - AUTO & EQUIPMENT (0.2%)
Rent-A-Center, Inc. (b) 22,800 712,728
------------
- ----------------------------------------------------------------------------
RESTAURANTS (1.4%)
Applebee's International, Inc. 15,500 581,405
Bob Evans Farms, Inc. 8,500 251,260
Brinker International, Inc. (b) 26,550 845,087
CBRL Group, Inc. 13,700 530,875
Cheesecake Factory, Inc. (The) (b) 14,300 571,142
Outback Steakhouse, Inc. 19,500 819,000
Ruby Tuesday, Inc. 17,100 467,685
------------
4,066,454
------------
- ----------------------------------------------------------------------------
RETAIL (5.3%)
99 Cents Only Stores (b) 18,333 545,773
Abercrombie & Fitch Co. (b) 26,633 759,041
American Eagle Outfitters Ltd. (b) 19,817 316,874
Barnes & Noble, Inc. (b) 17,900 533,420
BJ's Wholesale Club, Inc. (b) 19,100 490,679
Borders Group, Inc. (b) 19,600 443,940
Chico's FAS, Inc. (b) 22,300 837,142
Claire's Stores, Inc. 13,500 522,450
Coach, Inc. (b) 47,604 1,688,514
Copart, Inc. (b) 22,700 283,069
Dollar Tree Stores, Inc. (b) 30,850 1,177,853
Fastenal Co. 19,700 876,059
Longs Drug Stores Corp. 10,600 237,440
Michael's Stores, Inc. 17,400 825,978
Nieman Marcus Group, Inc. (b) 12,100 575,355
Payless Shoesource, Inc. (b) 16,915 223,785
Petsmart, Inc. 38,200 978,302
SHARES OR
PRINCIPAL
AMOUNT VALUE
- ----------------------------------------------------------------------------
RETAIL (continued)
Pier 1 Imports, Inc. 24,700 $ 570,570
Ross Stores, Inc. 21,000 1,050,210
Ruddick Corp. 11,000 175,560
Saks, Inc. (b) 36,400 505,960
Tech Data Corp. (b) 15,500 510,260
Williams Sonoma, Inc. (b) 30,300 1,070,499
------------
15,198,733
------------
- ----------------------------------------------------------------------------
SEMICONDUCTORS (0.7%)
Fairchild Semiconductor
International, Inc. (b) 30,200 682,520
Integrated Circuit Systems, Inc. (b) 18,400 617,688
Silicon Laboratories, Inc. (b) 12,700 685,546
------------
1,985,754
------------
- ----------------------------------------------------------------------------
SHIPPING/TRANSPORTATION (1.7%)
Alexander & Baldwin, Inc. 11,800 365,918
C.H. Robinson Worldwide, Inc. 23,000 901,140
CNF Transportation, Inc. 13,900 486,778
EGL, Inc. (b) 13,500 220,185
Expeditors International of Washington, Inc. 28,400 1,066,136
GATX Corp. 13,800 310,362
J.B. Hunt Transport Services, Inc. (b) 21,600 548,208
Overseas Shipholding Group, Inc. 8,300 226,258
Swift Transportation Co., Inc. (b) 21,210 475,740
Werner Enterprises, Inc. 20,125 363,055
------------
4,963,780
------------
- ----------------------------------------------------------------------------
TEXTILES (0.0%)
Unifi, Inc. (b) 13,000 64,870
------------
- ----------------------------------------------------------------------------
UTILITIES (5.8%)
AGL Resources, Inc. 17,700 498,255
Allete, Inc. 22,071 666,765
Alliant Energy Corp. 29,800 716,988
Aquila, Inc. (b) 51,337 202,781
Black Hills Corp. 7,800 250,926
DPL, Inc. 35,070 638,975
Duquesne Light Holdings Inc. 21,400 343,898
Energy East Corp. 37,700 846,365
Equitable Resources, Inc. 17,200 708,640
Great Plains Energy, Inc. 19,000 605,720
Hawaiian Electric Industries, Inc. 10,400 476,008
Idacorp, Inc. 11,100 301,365
MDU Resources Group, Inc. 28,650 648,350
National Fuel Gas Co. 20,900 467,115
Northeast Utilities 34,100 642,444
NSTAR 13,600 635,120
Oklahoma Gas & Electric Co. 23,400 533,754
ONEOK, Inc. 21,000 417,690
Pepco Holdings, Inc. 44,094 776,054
Philadelphia Suburban Corp. 20,100 474,762
34 ANNUAL REPORT 2003
- --------------------------------------------------------------------------------
COMMON STOCKS (CONTINUED)
SHARES OR
PRINCIPAL
AMOUNT VALUE
- -----------------------------------------------------------------------
UTILITIES (continued)
PNM, Inc. 11,200 $ 316,736
Puget Energy, Inc. 24,400 554,612
Questar Corp. 21,300 676,275
Scana Corp. 28,879 990,261
Sierra Pacific Resources (b) 30,300 180,891
Vectren, Inc. 20,800 490,880
Westar Energy, Inc. 17,850 356,643
Western Gas Resources, Inc. 9,400 399,500
WGL Holdings, Inc. 12,100 334,565
Wisconsin Energy Corp. 31,700 1,038,175
WPS Resources Corp. 9,100 403,403
-----------
16,593,916
-----------
- -----------------------------------------------------------------------
WASTE DISPOSAL (0.5%)
Republic Services, Inc. 41,700 969,525
Stericycle, Inc. (b) 11,300 521,834
-----------
1,491,359
-----------
TOTAL COMMON STOCKS 245,276,304
-----------
REPURCHASE AGREEMENTS (14.0%)
CS First Boston, 0.94%, dated 10/31/03,
due 11/03/03, repurchase price $20,192,149
(Fully collateralized by AA Rated
Corporate Bonds) $20,190,567 20,190,567
Lehman Brothers, Inc., 0.94% dated 10/31/03,
due 11/03/03, repurchase price 3,739,270
(Fully collateralized by U.S. Agency
Securities) 3,738,977 3,738,977
Nomura Securities, 0.94%, dated 10/31/03,
due 11/03/03, repurchase price 16,153,719
(Fully collateralized by AA Rated
Corporate Bonds) 16,152,454 16,152,454
-----------
TOTAL REPURCHASE AGREEMENTS 40,081,998
-----------
SHORT-TERM INVESTMENTS PURCHASED WITH CASH COLLATERAL RECEIVED FOR
SECURITIES ON LOAN (16.3%)
SHARES OR
PRINCIPAL
AMOUNT VALUE
- ------------------------------------------------------------------
REPURCHASE AGREEMENT (16.3%)
Nomura Securities, 1.07%, dated
10/31/03, due 11/03/03, repurchase price
46,842,081 (Fully collateralized
by U.S. Agency Securities) $46,837,905 $ 46,837,905
-------------
TOTAL SHORT-TERM INVESTMENTS PURCHASED WITH CASH
COLLATERAL RECEIVED FOR SECURITIES ON LOAN 46,837,905
-------------
TOTAL INVESTMENTS (COST $294,926,738) - 115.8% 332,196,207
LIABILITIES IN EXCESS OF OTHER ASSETS - (15.8)% (45,227,616)
-------------
NET ASSETS - 100.0% $286,968,591
=============
(a) See notes to financial statements for unrealized appreciation
(depreciation) of securities.
(b) Denotes a non-income producing security.
At October, 31 2003 the Fund's open long futures contracts were as follows:
MARKET
VALUE UNREALIZED
NUMBER OF LONG COVERED BY APPRECIATION
CONTRACTS CONTRACTS* EXPIRATION CONTRACTS (DEPRECIATION)
- --------------------------------------------------------------------
156 S&P Mid Cap 400 12/18/03 $42,779,100 $ 1,407,339
* Cash pledged as collateral.
SEE NOTES TO FINANCIAL STATEMENTS.
2003 ANNUAL REPORT 35
- --------------------------------------------------------------------------------
NATIONWIDE SMALL CAP INDEX FUND
Class A Shares symbol: NSXAX
Class B Shares symbol: NSCBX
Class C Shares symbol: NSCCX
Institutional Class symbol: NSXIX
HOW DID THE FUND PERFORM?
For the annual period ended Oct. 31, 2003, the Fund returned 41.89%* versus
43.35% for its benchmark, the Russell 2000 Index.
For broader comparison, the average return for this Fund's peer category
(Small-Cap Core Funds) was 38.95%, according to Lipper, an independent company
that provides mutual fund data and analysis.
WHAT MARKET/ECONOMIC AND PORTFOLIO-SPECIFIC FACTORS AFFECTED PERFORMANCE?
Markets were volatile during the period as corporate scandals, terrorism, war
anxieties and economic uncertainty depressed investor sentiment. Once
geopolitical risks abated after the resolution of major military conflict in
Iraq, investor sentiment improved and markets began to rise in March. The rally
was notable for the participation of all sectors and countries. The upturn
remained steady and, although a slight pullback occurred in September, the
markets finished the period with strong performance in October.
Turning to sector performance, all Russell 2000 Index sectors posted positive
returns for the period. Technology was the leader, up 78%. Producer durables
and health care also were top performers, returning 58% and 50%, respectively.
The three worst-performing sectors were consumer staples, other energy, and
other, with respective returns of 16%, 24% and 26%.
DESCRIBE THE FUND'S TOP HOLDINGS AND ANY SIGNIFICANT TRANSACTIONS MADE DURING
THE PERIOD.
The Fund's top security holdings at the end of the period were AMR Corp., RF
Micro Devices Inc., and Andrew Corp. Fund weightings each security are
determined by the security's respective benchmark weighting. All Fund
transactions during the period were driven either changes to the composition of
the benchmark Index or by Fund subscriptions/redemptions.
HOW IS THE FUND POSITIONED?
The stock market has rebounded significantly since October 2002 because of
improved corporate earnings, low interest rates and strong nomic growth. This
trend is expected to continue during the remainder of 2003 and beyond. Iraq
remains on the radar screen, because reports of conflicts and casualties
continue to make frequent headlines. Despite this news, however, investors
appear to be leaving the sidelines and re-entering the equity markets.
Recent economic data, such as gross domestic product growth, points to an
acceleration in global activity. In the midst of these strong results, the bears
believe that economic growth peaked during the third quarter and that news will
become less positive. And so the tug of war continues between those who expect
the market to keep barreling ahead and those who foresee a backlash. The Fund is
positioned to continue to meet its objective of replicating the risks and
returns of its benchmark.
PORTFOLIO MANAGER: Fund Asset Management, L.P. - Subadviser
* Performance of Class A shares without sales charge and assuming all
distributions are reinvested.
PORTFOLIO MARKET VALUE $167,100,433
OCTOBER 31, 2003
36 ANNUAL REPORT 2003
- --------------------------------------------------------------------------------
AVERAGE ANNUAL TOTAL RETURN
(For Periods Ended October 31, 2003)
1 YR. 5 YR. INCEPTION1
- -----------------------------------------------------------
Class A w/o SC2 41.89% 7.42% 7.46%
w/SC3 33.79% 6.16% 6.49%
- -----------------------------------------------------------
Class B4 w/o SC2 40.98% 7.17% 7.27%
w/SC5 35.98% 6.89% 7.27%
- -----------------------------------------------------------
Class C6 w/o SC2 40.84% 7.15% 7.25%
w/SC7 38.51% 6.94% 7.09%
- -----------------------------------------------------------
Institutional Class6 42.49% 7.82% 7.76%
- -----------------------------------------------------------
All figures showing the effect of a sales charge reflect the maximum charge
possible, because it has the most dramatic effect on performance data.
1 These returns until the creation of Class A and Institutional Class shares
(12/29/99) include the performance of the Master Small Cap Series (the
"Series"), which began operations on April 9, 1997. Excluding the effect of
any fee waivers or reimbursements, such prior performance is similar to
what Class A and Institutional Class shares would have produced because
these classes of the Fund's shares invested in the same portfolio of
securities as the Series. The performance for these classes has been
restated to reflect differences in sales charges (where applicable), but
does not reflect the differing levels of other fees applicable to such
classes; if these fees were reflected, the performance for Class A and
Institutional Class shares would have been lower.
2 These returns do not reflect the effects of sales charges (SC).
3 A 5.75% front-end sales charge was deducted.
4 These returns until the creation of Class B shares (11/29/01) include
performance based on the Series for the period through December 28, 1999
and the Fund's Class A shares for the period from December 29, 1999 to
November 28, 2001. Excluding the effect of any fee waivers or
reimbursements, such prior performance is similar to what Class B shares
would have produced because Class B shares invest in the same portfolio of
securities as Class A shares. The performance for these classes has been
restated to reflect differences in sales charges (where applicable), but
does not reflect the differing levels of other fees (primarily Rule 12b-1
and/or administrative services fees) applicable to such classes; if these
fees were reflected, the performance for Class B shares would have been
lower.
5 A 5.00% maximum contingent deferred sales charge (CDSC) would be deducted.
The CDSC declines to 0% after 6 years.
6 These returns until the creation of Class C shares (10/22/03) include the
performance of the Series for the period through December 28, 1999 and the
Fund's Class A shares for the period from December 29, 1999 to November 28,
2001 and the Fund's Class B shares for the period from November 29, 2001 to
October 21, 2003. Excluding the effect of any fee waivers or
reimbursements, such prior performance is similar to what Class C shares
would have produced because Class C shares invest in the same portfolio of
securities as the Fund's other classes. The performance for the Class C
shares has been restated to reflect differences in sales charges (where
applicable), but does not reflect the differing levels of other fees
(primarily Rule 12b-1 and/or administrative services fees) applicable to
such classes; if these fees were reflected, the performance for Class C
shares would have been lower.
7 A 1.00% front-end sales charge was deducted. A CDSC of 1.00% was also
deducted from the one year return because it is charged when you sell Class
C shares within the first year after purchase.
8 Not subject to any sales charges.
GROWTH OF A $10,000 INVESTMENT
INVESTMENT RETURN AND PRINCIPAL VALUE WILL FLUCTUATE, AND WHEN REDEEMED, SHARES
MAY BE WORTH MORE OR LESS THAN ORIGINAL COST. PAST PERFORMANCE IS NO GUARANTEE
OF FUTURE RESULTS.
Date Class A Russell 2000 CPI
- -----------------------------------------
4/9/1997 9,425 10,000 10,000
10/31/1997 11,923 12,764 10,100
10/31/1998 10,566 11,253 10,250
10/31/1999 12,150 12,926 10,513
10/31/2000 13,948 15,176 10,875
10/31/2001 12,142 13,248 11,106
10/31/2002 10,649 11,716 11,331
10/31/2003 15,110 16,796 11,616
Comparative performance of $10,000 invested in Class A shares of the Nationwide
Small Cap Index Fund, the Russell 2000 Index (Russell 2000)(a), and the Consumer
Price Index (CPI)(b) since inception. Unlike the Fund, the return for these
indices do not reflect any fees, expenses, or sales charges.
(a) The Russell 2000 is an unmanaged index of approximately 2000 companies with
small market capitalizations relative to the market capitalizations of
other U.S. companies.
(b) The CPI represents changes in prices of a basket of goods and services
purchased for consumption by urban households.
2003 ANNUAL REPORT 37
- --------------------------------------------------------------------------------
STATEMENT OF INVESTMENTS
October 31, 2003
NATIONWIDE SMALL CAP INDEX FUND
COMMON STOCKS (91.9%)
SHARES OR
PRINCIPAL
AMOUNT VALUE
- -------------------------------------------------------------------
ADVERTISING SERVICES (0.1%)
Cross Media Marketing Corp. (b) 200 $ 0
Grey Global Group, Inc. 125 83,750
R.H. Donnelley Corp. (b) 2,750 117,948
-----------
201,698
-----------
- -------------------------------------------------------------------
AEROSPACE/DEFENSE (0.7%)
AAR CORP. (b) 3,723 40,581
Curtiss-Wright Corp. 1,514 112,036
DRS Technologies, Inc. (b) 3,632 87,386
Ducommun, Inc. (b) 700 13,090
Esterline Technologies Corp. (b) 2,400 53,160
Gencorp, Inc. 3,689 34,935
HEICO Corp. 3,000 45,900
Herley Industries, Inc. (b) 2,500 47,250
Hexcel Corp. (b) 2,600 17,706
Kaman Corp., Class A 3,658 44,628
Moog, Inc., Class A (b) 2,900 122,959
Sequa Corp., Class A (b) 441 21,036
Teledyne Technologies, Inc. (b) 3,840 63,322
Titan Corp. (The) (b) 12,400 261,887
United Industrial Corp. 2,700 46,170
-----------
1,012,046
-----------
- -------------------------------------------------------------------
AGRICULTURAL PRODUCTS (0.1%)
Alico, Inc. 400 12,720
Delta and Pine Land Co. 5,706 130,439
Maui Land & Pineapple Co., Inc. (b) 437 12,018
-----------
155,177
-----------
- -------------------------------------------------------------------
AIRLINES (1.0%)
AirTran Holdings, Inc. (b) 10,100 163,721
Alaska Air Group, Inc. (b) 3,313 95,381
America West Holdings Corp.,
Class B (b) 4,600 66,332
AMR Corp. (b) 25,500 338,640
Atlantic Coast Airlines Holdings,
Inc. (b) 7,463 82,615
Continental Airlines, Inc., Class B (b) 11,100 212,010
ExpressJet Holdings, Inc. (b) 3,600 55,080
Frontier Airlines, Inc. (b) 5,195 83,484
MAIR Holdings, Inc. (b) 432 3,024
Mesa Air Group, Inc. (b) 4,339 46,731
Northwest Airlines Corp., Class A (b) 10,500 143,745
SkyWest, Inc. 8,600 159,014
-----------
1,449,777
-----------
- -------------------------------------------------------------------
ANALYTICAL INSTRUMENTS (0.4%)
ArthroCare Corp. (b) 3,445 76,996
Datascope Corp. 1,493 49,702
Diagnostic Products Corp. 2,700 110,214
Haemonetics Corp. (b) 2,525 58,227
Inverness Medical Innovations, Inc. (b) 1,300 34,840
Molecular Devices Corp. (b) 1,839 32,661
SHARES OR
PRINCIPAL
AMOUNT VALUE
- -------------------------------------------------------------------
ANALYTICAL INSTRUMENTS (continued)
Thoratec Corp. (b) 8,400 $ $ 129,275
Ventana Medical Systems, Inc. (b) 2,200 92,048
West Pharmaceutical Services, Inc. 1,284 42,436
-----------
626,399
-----------
- -------------------------------------------------------------------
APPAREL/ACCESSORIES (1.7%)
Aeropostale, Inc. (b) 3,000 92,550
Angelica Corp. 1,100 22,660
Bebe Stores, Inc. (b) 900 25,110
Brown Shoe Co., Inc. 2,281 78,923
Buckle, Inc. (The) 400 8,964
Burlington Coat Factory
Warehouse Corp. 2,125 45,581
Charming Shoppes, Inc. (b) 16,948 111,009
Cherokee, Inc. (b) 500 10,000
Deb Shops, Inc. 100 1,941
DHB Industries, Inc. (b) 2,400 14,280
Finish Line, Inc., Class A (b) 3,167 96,974
Footstar, Inc. (b) 4,431 27,694
G & K Services, Inc., Class A 2,539 83,787
Goody's Family Clothing, Inc. 2,800 29,512
Guess?, Inc. (b) 900 10,620
HOT Topic, Inc. (b) 7,575 217,478
K-Swiss, Inc., Class A 2,252 98,953
Kellwood Co. 4,707 175,901
Kenneth Cole Productions, Inc.,
Class A 1,100 32,560
Maxwell Shoe Co., Class A (b) 2,600 41,600
Mothers Work, Inc. (b) 800 22,480
Oxford Industries, Inc. 1,179 80,762
Pacific Sunwear of California, Inc. (b) 10,825 249,948
Payless ShoeSource, Inc. (b) 10,000 132,300
Perry Ellis International, Inc. (b) 800 21,840
Phillips-Van Heusen Corp. 2,867 49,140
Russell Corp. 4,986 91,144
Shoe Carnival, Inc. (b) 1,900 32,585
Skechers U.S.A., Inc. (b) 3,500 26,355
Stage Stores, Inc. (b) 2,800 80,556
Steven Madden Ltd. (b) 1,319 28,266
Stride Rite Corp. (The) 4,335 52,237
UniFirst Corp. 1,000 26,350
Warnaco Group, Inc. (The) (b) 6,200 108,190
Wet Seal, Inc. (The) (b) 3,850 42,312
Wilsons The Leather Experts, Inc. (b) 1,932 17,890
Wolverine World Wide, Inc. 6,185 124,937
-----------
2,413,389
-----------
- -------------------------------------------------------------------
APPLIANCES & HOUSEHOLD DURABLES (0.0%)
Applica, Inc. 2,226 16,428
National Presto Industries, Inc. 581 20,161
-----------
36,589
-----------
38 ANNUAL REPORT 2003
- --------------------------------------------------------------------------------
COMMON STOCKS (CONTINUED)
SHARES OR
PRINCIPAL AMOUNT VALUE
- --------------------------------------------------------------------
AUTO PARTS & EQUIPMENT (1.0%)
A.S.V., Inc. (b) 1,200 $ 27,480
Aftermarket Technology Corp. (b) 2,500 29,625
Collins & Aikman Corp. (b) 7,940 25,408
Dollar Thrifty Automotive Group,
Inc. (b) 3,638 95,279
Dura Automotive Systems, Inc. (b) 2,400 23,184
Electro Rent Corp. (b) 1,400 20,510
Hayes Lemmerz International,
Inc. (b) 110 0
Lithia Motors, Inc., Class A 1,900 44,878
McGrath Rentcorp 1,423 40,556
Midas, Inc. (b) 2,084 27,967
Modine Manufacturing Co. 3,700 94,683
Monro Muffler Brake, Inc. (b) 1,300 42,705
Oshkosh Truck Corp. 4,600 210,819
Pep Boys - Manny, Moe &
Jack (The) 7,116 136,841
Raytech Corp. (b) 2,300 8,211
Sports Resorts International, Inc. (b) 1,400 8,162
Standard Motor Products, Inc. 1,600 17,840
Strattec Security Corp. (b) 400 21,200
Superior Industries
International, Inc. 3,130 133,025
TBC Corp. (b) 2,900 78,851
Tenneco Automotive, Inc. (b) 5,700 33,972
Tower Automotive, Inc. (b) 8,534 33,965
United Auto Group, Inc. (b) 1,900 49,343
Visteon Corp. 18,418 118,980
Wabash National Corp. (b) 4,021 92,764
----------
1,416,248
----------
- --------------------------------------------------------------------
BANK HOLDINGS COMPANIES (10.4%)
1st Source Corp. 1,500 30,000
ABC Bancorp 1,000 16,820
Alabama National Bancorp 1,260 66,339
Allegiant Bancorp, Inc. 2,900 63,800
AMCORE Financial, Inc. 4,494 121,338
American National Bankshares, Inc. 500 12,500
AmericanWest Bancorp (b) 1,800 35,928
Arrow Financial Corp. 2,043 56,121
BancFirst Corp. 400 21,588
BancTrust Financial Group, Inc. 1,600 24,688
Bank Mutual Corp. 6,603 78,119
Bank of Granite Corp. 1,287 27,799
Bank of the Ozarks, Inc. 600 25,566
BankAtlantic Bancorp, Inc., Class A 7,859 131,953
BankUnited Financial Corp. (b) 5,227 115,569
Banner Corp. 1,987 47,191
Bay View Capital Corp. (b) 7,401 44,998
Berkshire Hills Bancorp, Inc. 900 32,373
Boston Private Financial
Holdings, Inc. 3,807 96,964
Brookline Bancorp, Inc. 10,212 151,342
Bryn Mawr Bank Corp. 2,000 47,560
BSB Bancorp, Inc. 1,295 40,003
Camco Financial Corp. 1,600 27,712
Camden National Corp. 600 18,120
SHARES OR
PRINCIPAL AMOUNT VALUE
- --------------------------------------------------------------------
BANK HOLDINGS COMPANIES (continued)
Capital City Bank Group, Inc. 925 $ 35,751
Capital Corp of the West (b) 1,200 46,008
Capitol Bancorp Ltd. 1,100 29,150
Cascade Bancorp 3,000 56,700
Cathay Bancorp, Inc. 2,976 144,000
Cavalry Bancorp, Inc. 100 1,775
CB Bancshares, Inc. 750 47,250
CCBT Financial Cos., Inc. 700 18,613
Center Bancorp, Inc. 1,500 27,750
Center Financial Corp. 260 5,738
Central Coast Bancorp (b) 893 15,610
Century Bancorp, Inc. 700 24,346
CFS Bancorp, Inc. 2,000 28,560
Charter Financial, Inc. 200 6,600
Chemical Financial Corp. 4,081 141,815
Chittenden Corp. 6,020 193,723
Citizens Banking Corp. 7,400 216,375
Citizens First Bancorp 700 16,499
Citizens South Banking Corp. 1,900 28,747
City Bank 807 26,518
City Holding Co. 3,107 105,079
CNB Financial Corp. 700 28,959
Coastal Bancorp, Inc. 868 29,052
Coastal Financial Corp. 2,789 45,293
CoBiz, Inc. 816 13,676
Columbia Bancorp 1,800 28,800
Columbia Bancorp 600 16,692
Columbia Banking System, Inc. 2,845 55,108
Commercial Bankshares, Inc. 100 3,156
Commercial Federal Corp. 7,480 192,534
Community Bank of
Northern Virginia 1,000 16,500
Community Bank System, Inc. 2,100 102,375
Community Banks, Inc. 712 24,813
Community First Bankshares, Inc. 6,391 173,516
Community Trust Bancorp, Inc. 1,360 43,860
Connecticut Bancshares, Inc. 2,000 103,400
Corus Bankshares, Inc. 900 52,920
CVB Financial Corp. 4,531 90,393
Dime Community Bancshares 3,811 106,251
East West Bancorp, Inc. 3,882 190,566
Eastern Virginia Bankshares, Inc. 200 6,376
EverTrust Financial Group, Inc. 1,000 28,850
Exchange National Bancshares, Inc. 700 25,235
Farmers Capital Bank Corp. 620 21,700
FFLC Bancorp, Inc. 200 5,990
Fidelity Bankshares, Inc. 1,652 44,753
Financial Institutions, Inc. 600 15,006
First Bancorp 676 20,206
First Busey Corp. 900 24,282
First Charter Corp. 4,100 84,050
First Citizens Bancorp 800 22,896
First Citizens BancShares,
Inc., Class A 800 91,200
2003 ANNUAL REPORT 39
- --------------------------------------------------------------------------------
STATEMENT OF INVESTMENTS (Continued)
October 31, 2003
NATIONWIDE SMALL CAP INDEX FUND (Continued)
COMMON STOCKS (CONTINUED)
SHARES OR
PRINCIPAL AMOUNT VALUE
- -----------------------------------------------------------------
BANK HOLDINGS COMPANIES
(continued)
First Commonwealth Financial Corp. 8,436 $116,417
First Community Bancorp 2,400 84,000
First Community Bankshares 1,020 36,261
First Defiance Financial Corp. 600 16,944
First Essex Bancorp, Inc. 1,404 76,378
First Federal Capital Corp. 2,000 43,980
First Federal Financial Corporation
of Kentucky 100 3,043
First Financial Bancorp 4,331 71,895
First Financial Bankshares, Inc. 1,867 78,507
First Financial Corp. 1,604 47,334
First Indiana Corp. 1,000 18,250
First M&F Corp. 800 29,512
First Merchants Corp. 2,125 56,780
First National Corp. 850 24,480
First Niagara Financial Group, Inc. 12,354 176,539
First Oak Brook Bank 600 17,286
First of Long Island Corp. (The) 400 16,660
First Place Financial Corp. 900 17,325
First Republic Bancorp, Inc. 1,700 60,860
First Sentinel Bancorp, Inc. 2,826 52,705
First South Bancorp, Inc. 300 10,317
First State Bancorp 1,500 47,115
First United Corp. 500 11,575
Firstbank Corp. 1,300 41,405
FIRSTFED AMERICA
BANCORP, INC. 3,100 79,391
FirstFed Financial Corp. (b) 3,200 144,000
Flag Financial Corp. 200 2,590
Flagstar Bancorp, Inc. 4,300 95,890
FloridaFirst Bancorp, Inc. 1,100 29,205
Flushing Financial Corp. 1,700 41,225
FMS Financial Corp. 100 1,707
FNB Corp. 600 16,650
FNB Corp. 900 21,240
Foothill Independent Bancorp 100 2,234
Franklin Financial Corp. 400 12,332
Frontier Financial Corp. 1,800 56,430
GA Financial, Inc. 800 22,656
GB&T Bancshares, Inc. 200 4,506
German American Bancorp 790 14,616
Glacier Bancorp 2,130 65,519
Great Southern Bancorp, Inc. 461 18,601
Greater Bay Bancorp 8,900 239,943
Greater Community Bancorp 102 1,725
Greene County Bancshares, Inc. 400 9,328
Hancock Holding Co. 2,490 142,503
Hanmi Financial Corp. 600 12,720
Harbor Florida Bancshares, Inc. 2,800 75,376
Harleysville National Corp. 3,306 99,841
Hawthorne Financial Corp. (b) 1,350 35,249
Heartland Financial USA, Inc. 900 25,425
Heritage Commerce Corp. (b) 2,300 27,140
Heritage Financial Corp. 200 4,394
SHARES OR
PRINCIPAL AMOUNT VALUE
- -----------------------------------------------------------------
BANK HOLDINGS COMPANIES
(continued)
Horizon Financial Corp. 2,000 $ 34,780
Hudson River Bancorp, Inc. 1,800 60,120
Humboldt Bancorp 2,920 47,596
Iberiabank Corp. 900 46,413
IBT Bancorp, Inc. 100 5,102
Independent Bank Corp. 2,110 61,654
Independent Bank Corp. 2,690 77,807
Integra Bank Corp. 1,800 37,602
Interchange Financial Services
Corp. 900 22,167
ITLA Capital Corp. (b) 700 32,585
Klamath First Bancorp, Inc. 1,340 32,428
Lakeland Bancorp, Inc. 832 12,871
Lakeland Financial Corp. 600 21,690
LNB Bancorp, Inc. 1,100 22,935
Local Financial Corp. (b) 3,100 60,171
LSB Bancshares, Inc. 900 16,740
Macatawa Bank Corp. 825 21,623
MAF Bancorp, Inc. 3,830 160,554
Main Street Banks, Inc. 1,600 41,728
MASSBANK Corp. 900 36,495
MB Financial, Inc. 1,400 66,206
MBT Financial Corp. 1,400 24,500
Mercantile Bank Corp. 1,420 47,698
Merchants Bancshares 800 22,752
Mid-State Bancshares, Inc. 3,200 77,856
Midwest Banc Holding, Inc. 1,720 40,506
MutualFirst Financial, Inc. 900 25,245
Nara Bancorp, Inc. 1,700 38,420
NASB Financial, Inc. 400 15,780
National Bankshares, Inc. 700 31,815
National Penn Bancshares, Inc. 2,992 89,162
NBC Capital Corp. 704 17,776
NBT Bancorp, Inc. 4,500 94,500
New Century Financial Corp. 4,950 183,546
Northern States Financial Corp. 100 2,932
Northwest Bancorp, Inc. 2,400 49,992
Oak Hill Financial, Inc. 800 23,752
OceanFirst Financial Corp. 1,134 29,643
Ocwen Financial Corp. (b) 4,600 22,356
Old Second Bancorp, Inc. 912 41,961
Omega Financial Corp. 849 30,717
Oriental Financial Group, Inc. 1,241 31,794
PAB Bankshares, Inc. 200 2,818
Pacific Capital Bancorp 5,933 202,077
Pacific Northwest Bancorp 3,100 120,404
Pacific Union Bank 900 17,775
Parkvale Financial Corp. 500 13,125
Partners Trust Financial Group, Inc. 400 10,040
Patriot Bank Corp. 1,400 29,358
Peapack-Gladstone Financial Corp. 770 24,679
PennFed Financial Services, Inc. 800 25,056
PennRock Financial Services Corp. 704 20,360
40 ANNUAL REPORT 2003
- --------------------------------------------------------------------------------
COMMON STOCKS (CONTINUED)
SHARES OR
PRINCIPAL
AMOUNT VALUE
- ---------------------------------------------------------------------
BANK HOLDINGS COMPANIES (continued)
Penns Woods Bancorp, Inc. 860 $ 35,398
Peoples Bancorp, Inc. 1,155 32,386
Peoples Holding Co. 745 36,252
PFF Bancorp, Inc. 1,540 57,442
PrivateBancorp, Inc. 1,250 50,625
Prosperity Bancshares, Inc. 1,500 34,650
Provident Bancorp, Inc. 400 17,200
Provident Bankshares Corp. 4,193 130,109
Provident Financial Holdings, Inc. 900 28,584
Provident Financial Services, Inc. 7,200 141,120
Quaker City Bancorp 993 42,411
R&G Finanical Corp., Class B 2,519 82,875
Republic Bancorp, Inc. 9,270 134,600
Republic Bancorp, Inc., Class A 991 19,800
Republic Bancshares, Inc. 1,966 57,230
Resource Bancshares Corp. 1,050 31,217
Riggs National Corp. 3,363 55,523
Royal Bancshares of Pennsylvania,
Inc., Class A 589 14,431
S&T Bancorp, Inc. 4,830 146,059
S.Y. Bancorp, Inc. 1,200 23,988
Sandy Spring Bancorp, Inc. 1,956 70,553
Santander Bancorp 220 5,487
Seacoast Banking Corp. of Florida 2,285 40,445
Seacoast Financial Services Corp. 4,863 124,541
Second Bancorp, Inc. 1,183 32,769
Security Bank Corp. 300 9,186
Shore Bancshares, Inc. 1,000 37,930
Silicon Valley Bancshares (b) 5,100 179,010
Simmons First National Corp., Class A 1,400 35,910
Sound Federal Bancorp, Inc. 2,500 40,275
South Financial Group, Inc. (The) 8,028 209,771
Southern Financial Bancorp, Inc. 1,400 52,164
Southside Bancshares, Inc. 1,785 30,791
Southwest Bancorp, Inc. 2,200 34,782
Southwest of Texas Bancorp, Inc. 4,926 176,893
St. Francis Capital Corp. 1,600 52,912
State Bancorp, Inc. 740 15,281
State Financial Services Corp. 1,100 28,963
Staten Island Bancorp, Inc. 9,248 184,313
Sterling Bancorp 2,725 79,597
Sterling Bancshares, Inc. 7,493 86,170
Sterling Financial Corp. 1,950 55,302
Sterling Financial Corp. (b) 2,880 90,173
Suffolk Bancorp 1,300 45,513
Summit Bancshares, Inc. 1,200 33,972
Sun Bancorp, Inc. 600 11,904
Sun Bancorp, Inc. (b) 1,635 38,259
Susquehanna Bancshares, Inc. 6,919 173,321
Taylor Capital Group, Inc. 1,000 25,420
Texas Regional Bancshares, Inc. 4,137 149,966
Tierone Corp. (b) 4,300 101,867
Tompkins Trustco, Inc. 990 48,065
SHARES OR
PRINCIPAL AMOUNT VALUE
- ---------------------------------------------------------------------
BANK HOLDINGS COMPANIES (continued)
TriCo Bancshares 1,200 $ 38,400
Troy Financial Corp. 1,527 53,827
Trust Co. of New Jersey (The) 2,500 78,550
TrustCo Bank Corp. NY 13,065 170,498
U.S.B Holding Co., Inc. 921 17,223
UCBH Holdings, Inc. 7,186 256,611
UMB Financial Corp. 2,935 146,809
Umpqua Holdings Corp. 5,440 111,248
Union Bankshares Corp. 800 25,552
United Community Banks, Inc. 2,200 69,828
United Community Financial Corp. 3,535 39,168
United National Bancorp 3,412 119,966
United Security Bancshares, Inc. 1,200 34,152
Unizan Financial Corp. 2,455 50,131
Virginia Commerce Bancorp, Inc. (b) 100 2,631
Virginia Financial Group, Inc. 800 25,200
W Holding Co., Inc. 6,500 151,385
Warwick Community Bancorp 640 18,816
Washington Trust Bancorp 1,640 46,642
Wayne Bancorp, Inc. 900 24,021
Waypoint Financial Corp. 4,991 103,913
WesBanco, Inc. 2,100 56,007
West Bancorp 2,700 47,952
West Coast Bancorp 3,300 68,805
Westcorp 1,800 68,076
Western Sierra Bancorp (b) 630 23,543
Westfield Financial, Inc. 100 2,470
WFS Financial, Inc. (b) 1,637 71,390
Willow Grove Bancorp, Inc. 2,300 38,525
Wintrust Financial Corp. 3,350 145,189
Yadkin Valley Bank and Trust Co. 1,600 28,000
Yardville National Bancorp 1,700 39,814
-----------
14,692,819
-----------
- ---------------------------------------------------------------------
BEVERAGES/ALCOHOLIC (0.1%)
Boston Beer Co., Inc., Class A (b) 1,600 27,360
Robert Mondavi Corp. (The) (b) 1,989 69,714
-----------
97,074
-----------
- ---------------------------------------------------------------------
BIOTECHNOLOGY (1.3%)
Abgenix, Inc. (b) 13,600 166,600
Aclara Biosciences, Inc. (b) 1,600 5,600
Aksys Ltd. (b) 4,500 36,090
Aphton Corp. (b) 4,934 33,946
Arena Pharmaceuticals, Inc. (b) 2,200 15,752
Cambrex Corp. 3,085 72,929
Cholestech Corp. (b) 1,100 8,052
Ciphergen Biosystems, Inc. (b) 3,700 40,367
Covance, Inc. (b) 9,337 243,043
CryoLife, Inc. (b) 2,346 14,334
CuraGen Corp. (b) 4,200 25,536
Digene Corp. (b) 1,961 69,027
2003 ANNUAL REPORT 41
- --------------------------------------------------------------------------------
STATEMENT OF INVESTMENTS (Continued)
October 31, 2003
NATIONWIDE SMALL CAP INDEX FUND (Continued)
COMMON STOCKS (CONTINUED)
SHARES OR
PRINCIPAL
AMOUNT VALUE
- ------------------------------------------------------------
BIOTECHNOLOGY (continued)
Diversa Corp. (b) 3,133 $ 26,411
Enzo Biochem, Inc. (b) 3,268 60,458
Esperion Therapeutics, Inc. (b) 4,483 107,009
Exact Sciences Corp. (b) 2,300 24,426
Exelixis, Inc. (b) 6,991 51,943
Gen-Probe, Inc. (b) 7,300 195,421
Genencor International, Inc. (b) 600 9,180
Genta, Inc. (b) 8,300 88,810
GTC Biotherapeutics, Inc. (b) 1,100 3,619
Integra LifeSciences Holdings (b) 3,300 111,342
Kosan Biosciences, Inc. (b) 1,500 13,755
Lexicon Genetics, Inc. (b) 5,700 31,920
Luminex Corp. (b) 4,700 41,454
Maxygen, Inc. (b) 2,609 24,786
Medarex, Inc. (b) 10,800 77,220
Myriad Genetics, Inc. (b) 3,100 39,246
Nabi Biopharmaceuticals (b) 7,664 84,534
Neose Technologies, Inc. (b) 2,156 17,658
SciClone Pharmaceuticals, Inc. (b) 6,400 51,072
Sirna Therapeutics, Inc. (b) 322 2,521
SonoSite, Inc. (b) 2,400 47,400
Third Wave Technologies (b) 1,800 6,282
Zymogenetics, Inc. (b) 1,200 14,772
-----------
1,862,515
-----------
- ------------------------------------------------------------
BROADCAST MEDIA/CABLE TELEVISION (0.9%)
4Kids Entertainment, Inc. (b) 1,434 35,061
Acme Communications, Inc. (b) 2,800 23,324
Charter Communications, Inc.,
Class A (b) 37,900 161,833
Crown Media Holdings, Inc. (b) 1,458 13,005
Cumulus Media, Inc. (b) 7,500 140,475
Emmis Communications Corp. (b) 7,600 168,567
Fisher Companies, Inc. (b) 500 23,900
Insight Communications Co., Inc. (b) 7,200 69,768
Liberty Corp. 2,311 102,955
Lin TV Corp., Class A (b) 3,300 74,415
Macrovision Corp. (b) 7,100 155,987
Martha Stewart Living Omnimedia,
Inc. (b) 2,027 20,898
Mediacom Communications Corp. (b) 8,300 58,100
Paxson Communications Corp. (b) 3,500 18,095
Pegasus Communications Corp. (b) 800 14,608
Salem Communications Corp.,
Class A (b) 986 22,925
Sinclair Broadcast Group, Inc.,
Class A (b) 7,068 82,272
TiVo, Inc. (b) 6,200 49,724
ValueVision International, Inc.,
Class A (b) 2,418 39,293
Young Broadcasting, Inc., Class A (b) 1,484 29,814
-----------
1,305,019
-----------
SHARES OR
PRINCIPAL
AMOUNT VALUE
- ------------------------------------------------------------
BUSINESS SERVICES (2.5%)
Aaron Rents, Inc. 3,961 $ 86,746
ABM Industries, Inc. 7,278 113,246
Administaff, Inc. (b) 2,297 26,599
Advisory Board Co. (The) (b) 1,500 54,585
ADVO, Inc. 2,820 126,421
American Management Systems,
Inc. (b) 6,005 88,874
AMN Healthcare Services, Inc. (b) 1,666 25,190
CACI International, Inc., Class A (b) 4,300 212,978
Catalina Marketing Corp. (b) 5,600 98,840
CDI Corp. 2,221 72,738
Century Business Services, Inc. (b) 9,143 37,943
Charles River Associates, Inc. (b) 1,300 39,936
Ciber, Inc. (b) 7,421 68,422
Circor International, Inc. 1,000 20,600
Consolidated Graphics, Inc. (b) 2,000 55,300
CoStar Group, Inc. (b) 1,800 67,770
E-LOAN, Inc. (b) 7,900 26,702
Exult, Inc. (b) 6,600 52,338
First Consulting Group, Inc. (b) 3,500 19,037
FreeMarkets, Inc. (b) 5,931 37,128
Gartner Group, Inc. (b) 13,337 170,046
Gevity HR, Inc. 2,300 34,776
GSI Commerce, Inc. (b) 1,800 17,568
Heidrick & Struggles International,
Inc. (b) 2,700 53,325
Hudson Highland Group, Inc. (b) 1,340 29,520
Hypercom Corp. (b) 2,900 14,268
Insurance Auto Auctions, Inc. (b) 2,400 31,418
iPayment Holdings, Inc. (b) 1,100 26,730
Kelly Services, Inc., Class A 2,596 63,602
Korn/Ferry International (b) 4,871 42,573
MAXIMUS, Inc. (b) 2,500 87,275
Medical Staffing Network Holdings,
Inc. (b) 2,000 15,560
MemberWorks, Inc. (b) 1,278 36,909
Metris Companies, Inc. 5,700 26,961
MicroStrategy, Inc. (b) 1,900 104,500
Mobius Management Systems,
Inc. (b) 300 3,864
Modis Professional Services, Inc. (b) 14,098 134,636
National Processing, Inc. (b) 400 8,836
Navigant Consulting Co. (b) 6,100 100,223
NCO Group, Inc. (b) 2,079 49,480
NetRatings, Inc. (b) 2,200 23,012
New England Business Services, Inc. 1,467 42,690
Paxar Corp. (b) 4,717 56,510
PDI, Inc. (b) 1,100 23,925
Portfolio Recovery Associates,
Inc. (b) 2,500 64,625
Pre-Paid Legal Services, Inc. (b) 1,816 49,323
Resources Connection, Inc. (b) 2,944 72,805
Right Management Consultants,
Inc. (b) 3,433 61,966
Roto-Rooter, Inc. 1,178 41,583
RSA Security, Inc. (b) 7,100 92,087
SM&A (b) 2,400 30,072
Source Interlink Companies, Inc. (b) 2,200 18,898
42 ANNUAL REPORT 2003
- --------------------------------------------------------------------------------
COMMON STOCKS (CONTINUED)
SHARES OR
PRINCIPAL AMOUNT VALUE
- ------------------------------------------------------------------
BUSINESS SERVICES (continued)
SOURCECORP, Inc. (b) 1,900 $ 44,517
Spherion Corp. (b) 7,423 64,580
SRA International, Inc., Class A (b) 900 39,204
Stamps.com, Inc. (b) 4,275 25,479
StarTek, Inc. 1,300 43,173
StorageNetworks, Inc. (b) 800 1,348
TeleTech Holdings, Inc. (b) 6,211 40,868
US Oncology, Inc. (b) 12,602 137,866
Watson Wyatt & Co. Holdings (b) 4,675 112,434
----------
3,470,428
----------
- ------------------------------------------------------------------
CAPITAL GOODS (1.3%)
American Greetings Corp.,
Class A (b) 9,100 194,103
C&D Technologies, Inc. 2,734 54,489
Kennametal, Inc. 4,923 181,560
Lawson Products, Inc. 600 18,000
Libbey, Inc. 1,973 52,462
Lindsay Manufacturing Co. 2,568 59,552
Manitowoc Co., Inc. 4,135 89,730
Nu Skin Enterprises, Inc. 6,200 98,394
Regal-Beloit Corp. 3,115 63,390
Robbins & Myers, Inc. 1,100 23,210
Sola International, Inc. (b) 2,700 46,305
Technitrol, Inc. (b) 5,626 122,647
Tecumseh Products Co. 2,916 119,498
Texas Industries, Inc. 3,418 92,867
Trinity Industries, Inc. 6,130 156,009
Vicor Corp. (b) 2,200 22,308
Yankee Candle Co., Inc. (b) 5,600 156,688
York International Corp. 6,700 266,257
----------
1,817,469
----------
- ------------------------------------------------------------------
CHEMICALS (1.8%)
A. Schulman, Inc. 5,496 104,369
Aceto Corp. 1,500 23,445
Albemarle Corp. 5,600 150,192
Arch Chemicals, Inc. 2,200 48,796
Cabot Microelectronics Corp. (b) 2,700 153,900
Crompton Corp. 16,975 90,986
Ferro Corp. 6,365 130,673
FMC Corp. (b) 5,100 142,851
Georgia Gulf Corp. 4,094 110,129
Great Lakes Chemical Corp. 6,500 139,750
H.B. Fuller Co. 5,150 127,617
Hercules, Inc. (b) 16,000 167,200
IMC Global, Inc. 14,800 103,452
MacDermid, Inc. 3,886 116,114
Material Sciences Corp. 1,600 15,008
Millennium Chemicals, Inc. 9,409 94,278
Minerals Technologies, Inc. 3,102 169,989
NL Industries, Inc. 828 14,565
Octel Corp. 2,100 39,081
Olin Corp. 9,470 164,873
SHARES OR
PRINCIPAL
AMOUNT VALUE
- ------------------------------------------------------------------
CHEMICALS (continued)
OM Group, Inc. (b) 5,200 $ 93,080
PolyOne Corp. 11,088 53,555
Schawk, Inc., Class A 900 11,169
Solutia, Inc. 15,900 42,453
Spartech Corp. 3,124 72,414
Symyx Technologies, Inc. (b) 3,259 68,928
Valhi, Inc. 3,080 38,808
W.R. Grace & Co. (b) 9,200 29,440
Wellman, Inc. 6,559 54,112
----------
2,571,227
----------
- ------------------------------------------------------------------
CIRCUIT BOARDS (0.4%)
Micrel, Inc. (b) 9,600 158,400
Park Electrochemical Corp. 1,984 48,608
Pemstar, Inc. (b) 5,600 19,656
RF Micro Devices, Inc. (b) 28,300 331,393
Viasystems Group, Inc. (b) 925 0
----------
558,057
----------
- ------------------------------------------------------------------
COAL (0.2%)
Arch Coal, Inc. 8,000 196,000
KFX, Inc. (b) 1,700 10,183
Massey Energy Co. 9,200 127,880
Westmoreland Coal Co. (b) 400 5,884
----------
339,947
----------
- ------------------------------------------------------------------
COMMUNICATIONS EQUIPMENT (0.8%)
Anixter International, Inc. (b) 4,474 106,839
Audiovox Corp. (b) 2,588 31,056
Cable Design Technologies Corp. (b) 7,968 76,812
Enterasys Networks, Inc. (b) 30,800 120,120
Gray Television, Inc. 5,900 75,048
Harmonic, Inc. (b) 11,004 85,391
Inter-Tel, Inc. 3,401 85,671
LodgeNet Entertainment Corp. (b) 2,489 45,250
Proxim Corp. (b) 20,678 30,190
Sonus Networks, Inc. (b) 31,000 254,509
Standard Microsystems Corp. (b) 2,300 69,000
Stratex Networks, Inc. (b) 11,829 37,853
Terayon Communications
Systems, Inc. (b) 11,424 78,483
----------
1,096,222
----------
- ------------------------------------------------------------------
COMPUTER EQUIPMENT (0.5%)
Analogic Corp. 1,518 66,246
Drexler Technology Corp. (b) 1,700 25,568
Gateway, Inc. (b) 33,600 169,343
Hutchinson Technology, Inc. (b) 3,336 111,789
InFocus Corp. (b) 6,447 42,486
Iomega Corp. 6,405 35,292
Komag, Inc. (b) 4,500 84,870
KVH Industries, Inc. (b) 1,800 50,292
2003 ANNUAL REPORT 43
- --------------------------------------------------------------------------------
STATEMENT OF INVESTMENTS (Continued)
October 31, 2003
NATIONWIDE SMALL CAP INDEX FUND (Continued)
COMMON STOCKS (CONTINUED)
SHARES OR
PRINCIPAL
AMOUNT VALUE
- -------------------------------------------------------------
COMPUTER EQUIPMENT (continued)
Network Equipment Technologies,
Inc. (b) 2,900 $ 30,305
Overland Storage, Inc. (b) 1,900 37,430
Turnstone Systems, Inc. (b) 9,214 26,076
----------
679,697
----------
- -------------------------------------------------------------
COMPUTER INTEGRATED SYSTEMS DESIGN (1.0%)
Adaptec, Inc. (b) 18,800 159,989
Brady Corp., Class A 2,438 86,061
Digital River, Inc. (b) 4,100 112,258
Eclipsys Corp. (b) 6,102 72,309
eSPEED, Inc., Class A (b) 3,676 100,171
F5 Networks, Inc. (b) 3,197 79,957
FileNET Corp. (b) 5,181 138,436
Integral Systems, Inc. (b) 800 15,648
InteliData Technologies Corp. (b) 4,200 9,240
Keynote Systems, Inc. (b) 1,683 19,102
MTS Systems Corp. 4,100 72,119
Netscout Systems, Inc. (b) 1,900 10,526
Nuance Communications, Inc. (b) 1,642 11,855
NYFIX, Inc. (b) 3,100 24,676
RadiSys Corp. (b) 2,900 56,695
SafeNet, Inc. (b) 1,300 43,355
Sapient Corp. (b) 14,208 77,860
Stratasys, Inc. (b) 1,000 47,600
Systems & Computer Technology
Corp. (b) 5,487 80,659
Tekelec (b) 8,200 131,938
Vastera, Inc. (b) 2,900 10,730
WebEx Communications, Inc. (b) 3,769 83,257
----------
1,444,441
----------
- -------------------------------------------------------------
COMPUTER SOFTWARE & SERVICES (5.4%)
ActivCard Corp. (b) 6,700 56,615
Activision, Inc. (b) 15,100 227,858
Advanced Digital Information Corp. (b) 9,300 151,125
Advent Software, Inc. (b) 4,100 75,071
Agile Software Corp. (b) 7,658 84,008
Agilysys, Inc. 4,470 45,952
Altiris, Inc. (b) 1,900 65,322
Ansys, Inc. (b) 2,184 77,838
Anteon International Corp. (b) 3,000 102,420
Ascential Software Corp. (b) 9,704 215,332
Aspen Technologies, Inc. (b) 6,800 54,400
Avid Technology, Inc. (b) 4,640 240,073
BARRA, Inc. (b) 2,700 102,600
Borland Software Corp. (b) 12,700 112,776
Catapult Communications Corp. (b) 628 8,560
CCC Information Services Group,
Inc. (b) 2,291 38,489
CompuCom Systems, Inc. (b) 2,400 12,240
Computer Horizons Corp. (b) 7,800 29,640
Computer Programs & Systems, Inc. 1,300 21,749
Concord Communications, Inc. (b) 1,900 34,029
SHARES OR
PRINCIPAL
AMOUNT VALUE
- --------------------------------------------------------------
COMPUTER SOFTWARE & SERVICES (continued)
Concurrent Computer Corp. (b) 10,700 $ 49,755
Cray, Inc. (b) 10,600 138,012
Dendrite International, Inc. (b) 4,005 60,476
Digital Insight Corp. (b) 5,100 106,998
Digitas, Inc. (b) 3,038 26,431
Documentum, Inc. (b) 6,698 199,266
E.piphany, Inc. (b) 6,520 45,249
Echelon Corp. (b) 3,987 51,751
Electronics For Imaging, Inc. (b) 7,561 204,903
EMC Corp. (b) 2,259 31,265
Epicor Software Corp. (b) 6,800 68,748
EPIQ Systems, Inc. (b) 2,204 37,248
Eresearch Technology, Inc. (b) 3,100 142,569
Extreme Networks, Inc. (b) 14,500 124,700
FalconStor Software, Inc. (b) 3,122 23,477
GameStop Corp., Class A (b) 3,400 57,188
Group 1 Software, Inc. (b) 800 14,440
Hyperion Solutions Corp. (b) 6,106 204,490
iGATE Corp. (b) 2,200 11,880
Informatica Corp. (b) 9,400 102,460
JDA Software Group, Inc. (b) 4,446 95,189
Keane, Inc. (b) 7,342 96,474
Lawson Software, Inc. (b) 5,700 47,538
Lexar Media, Inc. (b) 10,326 236,568
Magma Design Automation, Inc. (b) 3,300 79,959
ManTech International Corp.,
Class A (b) 2,700 66,042
Manugistics Group, Inc. (b) 11,500 83,490
MAPICS, Inc. (b) 1,600 17,317
Mentor Graphics Corp. (b) 9,900 165,825
Mercury Computer Systems, Inc. (b) 3,393 72,983
Micromuse, Inc. (b) 8,000 64,400
MRO Software, Inc. (b) 3,000 37,950
MSC.Software Corp. (b) 2,800 28,840
Nassda Corp. (b) 1,000 8,500
Neoware Systems, Inc. (b) 1,900 32,205
NetiQ Corp. (b) 9,300 112,902
Opnet Technologies, Inc. (b) 900 12,636
Packeteer, Inc. (b) 2,653 46,374
PalmOne, Inc. (b) 5,985 85,765
PalmSource, Inc. (b) 1,547 59,083
Parametric Technology Corp. (b) 37,400 116,314
PDF Solutions, Inc. (b) 1,300 15,340
PEC Solutions, Inc. (b) 1,422 21,643
Pinnacle Systems, Inc. (b) 8,900 61,855
Pomeroy Computer Resources, Inc. 1,700 24,446
Portal Software, Inc. (b) 3,560 56,960
QAD Inc. (b) 2,600 30,394
Quantum Corp. (b) 17,600 54,736
Quest Software, Inc. (b) 6,300 93,870
Radiant Systems, Inc. (b) 1,197 7,972
Rainbow Technologies, Inc. (b) 2,815 34,653
Read-Rite Corp. (b) 5,582 223
44 ANNUAL REPORT 2003
- --------------------------------------------------------------------------------
COMMON STOCKS (CONTINUED)
SHARES OR
PRINCIPAL
AMOUNT VALUE
- ---------------------------------------------------------------
COMPUTER SOFTWARE & SERVICES (continued)
Renaissance Learning, Inc. (b) 865 $ 21,763
Retek, Inc. (b) 6,700 67,201
Roxio, Inc. (b) 5,386 54,883
Safeguard Scientifics, Inc. (b) 17,753 67,639
SAFLINK Corp. (b) 6,300 29,862
Sanchez Computer Associates,
Inc. (b) 1,600 6,240
SBS Technologies, Inc. (b) 2,761 37,881
Scansoft, Inc. (b) 11,926 68,932
SeaChange International, Inc. (b) 4,514 69,516
SeeBeyond Technology Corp. (b) 5,400 18,738
Serena Software, Inc. (b) 3,666 63,239
Sigma Designs, Inc. (b) 3,700 31,598
Silicon Graphics, Inc. (b) 19,967 22,563
SimpleTech, Inc. (b) 2,400 18,840
SonicWall, Inc. (b) 8,225 66,623
SPSS, Inc. (b) 1,454 26,463
SS&C Technologies, Inc. 1,300 28,600
Sybase, Inc. (b) 13,300 238,069
Sykes Enterprises, Inc. (b) 4,407 41,073
Synaptics, Inc. (b) 2,800 36,400
Synplicity, Inc. (b) 1,300 8,775
Syntel, Inc. 540 13,397
Sypris Solutions, Inc. 200 2,798
Take-Two Interactive Software,
Inc. (b) 6,570 259,843
TALX Corp. 2,200 47,652
THQ, Inc. (b) 5,773 102,413
Tibco Software, Inc. (b) 15,500 99,820
Tier Technologies, Inc., Class B (b) 2,200 22,550
Transaction Systems Architects,
Inc. (b) 5,814 116,280
Tyler Technologies, Inc. (b) 7,100 56,232
Ulticom, Inc. (b) 700 7,420
Verint Systems, Inc. (b) 800 17,912
Verity, Inc. (b) 3,949 55,483
Verso Technologies, Inc. (b) 14,100 54,708
Vitalworks, Inc. (b) 6,700 33,835
webMethods, Inc. (b) 6,580 57,114
Wind River Systems, Inc. (b) 10,500 70,350
Zoran Corp. (b) 6,074 101,193
-----------
7,569,747
-----------
- ---------------------------------------------------------------
CONSTRUCTION & BUILDING MATERIALS (1.0%)
AMCOL International Corp. 3,250 58,630
Brookfield Homes Corp. 1,300 28,145
Ceradyne, Inc. (b) 1,500 62,310
Dot Hill Systems Corp. (b) 5,400 72,414
Drew Industries, Inc. (b) 600 15,030
ElkCorp 2,343 59,512
Genlyte Group, Inc. (The) (b) 2,200 103,752
Granite Construction, Inc. 5,205 104,048
Integrated Electrical Services, Inc. (b) 3,700 26,270
JLG Industries, Inc. 6,768 80,810
LSI Industries, Inc. 1,100 17,963
SHARES OR
PRINCIPAL
AMOUNT VALUE
- ---------------------------------------------------------------
CONSTRUCTION & BUILDING MATERIALS (continued)
Matrix Service Co. (b) 1,600 $ 40,736
Meritage Corp. (b) 1,200 70,920
NCI Building Systems, Inc. (b) 3,674 79,910
Omnova Solutions, Inc. (b) 3,600 12,636
Orleans Homebuilders, Inc. (b) 1,100 31,240
Shaw Group Inc. (The) (b) 6,100 83,265
Simpson Manufacturing Co., Inc. (b) 2,100 93,975
Technical Olympic USA, Inc. (b) 300 9,906
Trex Co., Inc. (b) 1,300 48,100
Universal Display Corp. (b) 3,300 37,983
USF Corp. 4,811 153,567
Walter Industries, Inc. 5,817 69,106
Washington Group International,
Inc. (b) 4,560 126,403
-----------
1,486,631
-----------
- ---------------------------------------------------------------
CONSUMER DURABLES (0.7%)
1-800 CONTACTS, Inc. (b) 600 12,618
Central Garden & Pet Co. (b) 1,800 49,788
Chattem, Inc. (b) 2,600 38,142
Coca-Cola Bottling Co. 900 45,450
Crown Holdings, Inc. (b) 25,231 199,325
Elizabeth Arden, Inc. (b) 1,907 38,140
Greif Bros Corp., Class A 2,700 87,831
Oneida Ltd. 2,674 12,648
Pilgrim's Pride Corp. 2,700 35,289
Playtex Products, Inc. (b) 5,000 30,050
Rayovac Corp. (b) 6,043 99,347
Russ Berrie & Co., Inc. 1,041 37,320
Silgan Holdings, Inc. (b) 1,300 41,574
Toro Co. 3,672 182,498
Tupperware Corp. 9,173 138,054
-----------
1,048,074
-----------
- ---------------------------------------------------------------
CONSUMER NON-CYCLICAL (0.0%)
Nature's Sunshine Products, Inc. 1,100 8,811
Revlon Co., Inc. (b) 2,113 5,557
Unifi, Inc. (b) 8,663 43,229
-----------
57,597
-----------
- ---------------------------------------------------------------
DATA PROCESSING & REPRODUCTION (0.3%)
Convera Corp. (b) 300 1,290
CSG Systems International, Inc. (b) 9,900 113,751
eFunds Corp. (b) 6,693 107,155
Embarcadero Technologies, Inc. (b) 1,600 20,640
HomeStore, Inc. (b) 12,900 45,150
infoUSA, Inc. (b) 6,100 50,020
InterCept Group, Inc. (The) (b) 3,000 29,460
Intrado, Inc. (b) 2,500 45,200
Pegasystems, Inc. (b) 500 3,805
-----------
416,471
-----------
2003 ANNUAL REPORT 45
- --------------------------------------------------------------------------------
STATEMENT OF INVESTMENTS (Continued)
October 31, 2003
NATIONWIDE SMALL CAP INDEX FUND (Continued)
COMMON STOCKS (CONTINUED)
SHARES OR
PRINCIPAL AMOUNT VALUE
- ---------------------------------------------------------------------
DISTRIBUTION (0.8%)
Actuant Corp. (b) 4,000 $ 128,960
Advanced Marketing Services, Inc. 1,800 20,610
Aviall, Inc. (b) 4,500 68,625
Central European Distribution
Corp. (b) 1,100 41,349
Handleman Co. 3,932 69,793
Hughes Supply, Inc. 4,221 163,142
Keystone Automotive Industries,
Inc. (b) 2,200 54,406
Noland Co. 100 3,711
Owens & Minor, Inc. 4,492 91,367
ScanSource, Inc. (b) 1,700 73,100
SCP Pool Corp. (b) 5,265 184,275
United Stationers, Inc. (b) 5,230 194,608
Watsco, Inc. 3,272 70,054
----------
1,164,000
----------
- ---------------------------------------------------------------------
DRUGS (1.6%)
Adolor Corp. (b) 5,000 91,350
Alkermes, Inc. (b) 10,200 132,294
Alpharma, Inc. 5,700 103,740
ARIAD, Inc. (b) 5,475 38,818
Atrix Laboratories, Inc. (b) 3,600 72,324
AVANT Immunotherapeutics,
Inc. (b) 13,500 31,185
Bentley Pharmaceuticals, Inc. (b) 1,300 18,811
Cell Therapeutics, Inc. (b) 3,672 38,189
Connetics Corp. (b) 5,105 91,431
CV Therapeutics, Inc. (b) 3,761 66,306
deCODE genetics, Inc. (b) 9,600 67,680
Guilford Pharmaceuticals, Inc. (b) 4,400 32,428
Hi-Tech Pharmacal Co., Inc. (b) 800 15,840
Immunomedics, Inc. (b) 4,910 41,735
Incyte Genomics, Inc. (b) 13,476 71,153
InterMune, Inc. (b) 3,583 71,660
K-V Pharmaceutical Co., Class A (b) 4,750 114,000
Ligand Pharmaceuticals, Inc. (b) 7,755 106,864
Martek Biosciences Corp. (b) 3,843 186,039
NBTY, Inc. (b) 7,598 207,045
NPS Pharmaceuticals, Inc. (b) 4,438 116,853
OSI Pharmaceuticals, Inc. (b) 5,900 165,200
Priority Healthcare Corp.,
Class B (b) 6,100 131,943
Quidel Corp. (b) 5,900 53,690
Repligen Corp. (b) 6,300 31,878
Rigel Pharmaceuticals, Inc. (b) 33 440
Seattle Genetics, Inc. (b) 2,200 13,134
SFBC International, Inc. (b) 900 26,487
Tanox, Inc. (b) 4,255 76,377
Tularik, Inc. (b) 5,500 69,135
----------
2,284,029
----------
SHARES OR
PRINCIPAL AMOUNT VALUE
- ---------------------------------------------------------------------
EDUCATIONAL SERVICES (0.3%)
Ambassadors Groups, Inc. (b) 100 $ 1,906
Bright Horizons Family Solutions,
Inc. (b) 2,009 86,307
Learning Tree International, Inc. (b) 1,041 18,738
Princeton Review, Inc. (b) 900 6,714
Strayer Education, Inc. 1,889 184,990
Sylvan Learning Systems, Inc. (b) 6,058 171,441
----------
470,096
----------
- ---------------------------------------------------------------------
ELECTRICAL EQUIPMENT (0.8%)
Artesyn Technologies, Inc. (b) 4,850 39,916
Avista Corp. 7,476 127,091
Bel Fuse, Inc., Class B 900 23,625
Cleco Corp. 6,979 116,898
DSP Group, Inc. (b) 4,800 114,624
El Paso Electric Co. (b) 9,262 112,441
EMCOR Group, Inc. (b) 2,500 94,225
Encore Wire Corp. (b) 600 10,116
Energy Conversion Devices, Inc. (b) 3,580 38,700
Hologic, Inc. (b) 3,300 44,880
II-VI Corp. (b) 1,808 42,904
Integrated Silicon Solution, Inc. (b) 4,647 65,616
Plug Power, Inc. (b) 4,500 28,440
Power-One, Inc. (b) 9,500 86,070
Research Frontiers, Inc. (b) 1,341 14,148
Stoneridge, Inc. (b) 1,200 16,428
Tripath Imaging, Inc. (b) 2,568 24,139
Triumph Group, Inc. (b) 2,156 70,393
X-Rite, Inc. 2,400 26,112
----------
1,096,766
----------
- ---------------------------------------------------------------------
ELECTRONICS (1.1%)
Aeroflex, Inc. (b) 7,652 71,011
Ansoft Corp. (b) 200 2,338
BEI Technologies, Inc. 1,068 19,769
Coherent, Inc. (b) 4,314 99,222
Daktronics, Inc. (b) 2,101 32,544
EDO Corp. 1,974 44,020
Electro Scientific Industries, Inc. (b) 4,036 99,124
Engineered Support Systems, Inc. 2,000 135,220
FLIR Systems, Inc. (b) 5,834 182,371
Graftech International Ltd. (b) 11,300 117,407
Integrated Defense Technology,
Inc. (b) 1,900 32,490
Itron, Inc. (b) 3,718 76,182
Keithley Instruments, Inc. 1,059 17,082
Manufacturers' Services Ltd. (b) 900 5,535
Methode Electronics, Inc. 5,400 64,314
Planar Systems, Inc. (b) 2,271 52,551
Rogers Corp. (b) 2,200 87,956
STAAR Surgical Co. (b) 4,000 39,640
Thomas & Betts Corp. (b) 7,648 136,134
Trimble Navigation Ltd. (b) 4,734 130,895
TTM Technologies, Inc. (b) 3,100 49,910
46 ANNUAL REPORT 2003
- --------------------------------------------------------------------------------
COMMON STOCKS (CONTINUED)
SHARES OR
PRINCIPAL
AMOUNT VALUE
- --------------------------------------------------------------------
ELECTRONICS (continued)
Watts Industries, Inc., Class A 1,684 $ 29,908
Woodhead Industries, Inc. 1,000 15,800
Zygo Corp. (b) 3,000 45,180
----------
1,586,603
----------
- --------------------------------------------------------------------
ENTERTAINMENT (0.4%)
AMC Entertainment, Inc. (b) 4,500 61,200
Dover Downs Entertainment, Inc. 2,948 27,888
Dover Motorsports, Inc. 1,712 6,352
Gaylord Entertainment Co. (b) 2,599 70,043
Magna Entertainment Corp., Class A (b) 7,200 32,112
Midway Games, Inc. (b) 6,100 17,324
Multimedia Games, Inc. (b) 1,800 67,698
Penn National Gaming, Inc. (b) 4,782 113,285
Pinnacle Entertainment, Inc. (b) 3,318 29,033
Reading International, Inc. (b) 400 2,480
Shuffle Master, Inc. (b) 3,100 94,364
Six Flags, Inc. (b) 14,200 84,064
Steinway Musical Instruments, Inc. (b) 1,000 20,960
World Wrestling Entertainment, Inc. 599 6,703
----------
633,506
----------
- --------------------------------------------------------------------
FIBER OPTICS (0.3%)
Avanex Corp. (b) 8,122 41,991
Belden, Inc. 2,592 48,600
C-Cor.net Corp. (b) 3,600 36,288
MRV Communications, Inc. (b) 14,710 45,307
Newport Corp. (b) 6,865 108,192
Sycamore Networks, Inc. (b) 28,800 144,000
----------
424,378
----------
- --------------------------------------------------------------------
FINANCIAL (1.7%)
Accredited Home Lenders
Holding Co. (b) 1,600 45,792
Advanta Corp., Class B 3,260 35,632
Affiliated Managers Group, Inc. (b) 3,200 231,999
American Home Mortgage
Holdings, Inc. 2,000 42,200
Anchor BanCorp Wisconsin, Inc. 3,927 97,782
Anworth Mortgage Asset Corp. 5,000 70,200
Bankrate, Inc. (b) 1,400 21,378
C&F Financial Corp. 700 31,514
Central Pacific Financial Corp. 1,630 42,625
Charter Municipal Mortgage
Acceptance Co. 5,841 112,089
Commercial Capital Bancorp, Inc. (b) 1,650 30,971
CompuCredit Corp. (b) 1,462 28,904
Credit Acceptance Corp. (b) 1,045 12,247
DVI, Inc. (b) 2,500 163
ESB Financial Corp. 200 3,180
Euronet Worldwide, Inc. (b) 2,900 41,267
Federal Agricultural Mortgage
Corp. (b) 900 28,143
Financial Federal Corp. (b) 2,800 93,940
First Albany Cos., Inc. 1,400 20,090
First Financial Holdings, Inc. 1,600 48,240
SHARES OR
PRINCIPAL AMOUNT VALUE
- --------------------------------------------------------------------
FINANCIAL (continued)
Gabelli Asset Management, Inc. (b) 1,200 $ 42,252
GATX Corp. 6,300 141,686
Gladstone Capital Corp. 1,900 38,380
Gold Banc Corp., Inc. 6,687 86,396
iDine Rewards Network, Inc. (b) 4,300 46,956
Investment Technology Group,
Inc. (b) 7,100 141,006
Irwin Financial Corp. 2,800 78,484
Knight Trading Group, Inc. (b) 12,400 171,615
MainSource Financial Group, Inc. 625 17,444
MCG Capital Corp. 5,200 91,416
Medallion Financial Corp. 3,900 32,214
Novastar Financial, Inc. 1,800 132,750
PRG-Schultz International, Inc. (b) 7,925 37,644
Resource America, Inc., Class A 1,451 18,167
Royal Gold, Inc. 2,700 55,971
Sanders Morris Harris Group Inc. 2,400 22,080
Saxon Capital, Inc. (b) 3,700 69,782
SoundView Technology Group,
Inc. (b) 2,885 33,755
SWS Group, Inc. 1,650 35,805
Tradestation Group, Inc. (b) 2,700 22,977
United Panam Financial Corp. (b) 1,000 18,400
World Acceptance Corp. (b) 2,500 44,850
WSFS Financial Corp. 1,309 55,829
----------
2,474,215
----------
- --------------------------------------------------------------------
FOOD & RELATED (1.0%)
American Italian Pasta Co. (b) 2,333 89,214
Aurora Foods, Inc. (b) 100 3
Chiquita Brands International,
Inc. (b) 4,400 81,400
Corn Products International, Inc. 5,430 184,022
Darling International, Inc. (b) 13,600 38,352
Farmer Brothers Co. 100 31,500
Flowers Foods, Inc. 4,517 107,188
Great Atlantic & Pacific Tea Co.,
Inc. (b) 2,704 16,900
Green Mountain Coffee, Inc. (b) 389 8,301
Hain Celestial Group, Inc. (b) 4,200 88,620
Horizon Organic Holding Corp. (b) 1,100 26,312
International Multifoods Corp. (b) 2,082 46,449
Interstate Bakeries Corp. 8,005 117,513
J & J Snack Foods Corp. (b) 1,100 39,259
Jarden Corp. (b) 2,400 99,096
John B. Sanfilippo & Son, Inc. (b) 1,200 41,220
Lance, Inc. 4,516 58,482
National Beverage Corp. (b) 605 9,051
Peet's Coffee & Tea, Inc. (b) 1,900 31,977
Ralcorp Holding, Inc. (b) 4,233 116,408
Red Robin Gourmet Burgers (b) 1,500 44,282
Riviana Foods, Inc. 385 10,588
Sanderson Farms, Inc. 1,400 49,196
Sensient Technologies Corp. 7,054 135,437
Tejon Ranch Co. (b) 600 23,586
----------
1,494,356
----------
2003 ANNUAL REPORT 47
- --------------------------------------------------------------------------------
STATEMENT OF INVESTMENTS (Continued)
October 31, 2003
NATIONWIDE SMALL CAP INDEX FUND (Continued)
COMMON STOCKS (CONTINUED)
SHARES OR
PRINCIPAL
AMOUNT VALUE
- ----------------------------------------------------------------
FURNITURE (0.2%)
American Woodmark Corp. 1,000 $ 49,100
Bassett Furniture Industries, Inc. 1,200 18,852
Bombay Co., Inc. (b) 6,300 83,034
Hooker Furniture Corp. 100 3,900
Kimball International, Inc., Class B 3,148 48,794
Select Comfort Corp. (b) 3,500 109,550
Stanley Furniture Co., Inc. 1,100 33,825
----------
347,055
----------
- ----------------------------------------------------------------
GAMBLING - NON-HOTEL CASINOS (0.2%)
Argosy Gaming Co. (b) 3,060 72,828
Churchill Downs, Inc. 500 19,210
Isle of Capris Casinos, Inc. (b) 2,704 56,378
Scientific Games Corp. (b) 7,900 105,070
----------
253,486
----------
- ----------------------------------------------------------------
GAS - DISTRIBUTION (0.8%)
Atmos Energy Corp. 8,626 211,337
Cascade Natural Gas Corp. 2,500 48,750
Chesapeake Utilities Corp. 1,200 29,256
Energen Co. 6,016 221,811
New Jersey Resources Corp. 4,144 156,850
Northwest Natural Gas Co. 3,319 96,251
NUI Corp. 3,059 52,217
SEMCO Energy, Inc. 6,616 32,352
South Jersey Industries, Inc. 1,981 75,139
Southwest Gas Corp. 4,286 96,778
Southwestern Energy Co. (b) 6,442 124,975
----------
1,145,716
----------
- ----------------------------------------------------------------
HEALTHCARE (2.2%)
Accredo Health, Inc. (b) 7,400 236,505
American Healthways, Inc. (b) 2,300 95,335
American Medical Security Group, Inc. (b) 2,500 57,050
American Medical Systems
Holdings, Inc. (b) 3,800 76,000
AMERIGROUP Corp. (b) 3,000 125,460
AmSurg Corp. (b) 3,300 118,767
Beverly Enterprises, Inc. (b) 12,705 77,119
Centene Corp. (b) 3,250 99,483
Cerus Corp. (b) 2,900 13,050
Chronimed, Inc. (b) 2,400 19,608
Cole National Corp. (b) 1,900 42,009
Columbia Laboratories, Inc. (b) 4,197 44,404
CorVel Corp. (b) 600 21,654
Cross Country Healthcare, Inc. (b) 3,300 45,837
Curative Health Services, Inc. (b) 2,660 38,011
DJ Orthopedics, Inc. (b) 200 3,590
Dynacq International, Inc. (b) 1,152 19,273
Gentiva Health Services, Inc. (b) 4,543 51,836
HealthExtras, Inc. (b) 2,533 29,661
Hooper Holmes, Inc. 6,249 32,557
I-STAT Corp. (b) 3,400 40,018
SHARES OR
PRINCIPAL
AMOUNT VALUE
- ----------------------------------------------------------------
HEALTHCARE (continued)
Immucor, Inc. (b) 2,450 $ 72,079
Invacare Corp. 4,649 190,702
Kindred Healthcare, Inc. (b) 1,900 78,356
LifePoint Hospitals, Inc. (b) 6,400 164,544
Matria Healthcare, Inc. (b) 1,600 26,880
MedQuist, Inc. (b) 1,079 17,987
Odyssey Healthcare, Inc. (b) 5,500 152,570
Option Care, Inc. (b) 2,343 22,938
Orthodontic Centers Of America,
Inc. (b) 7,100 62,764
Pediatrix Medical Group, Inc. (b) 3,500 187,075
Per-Se Technologies, Inc. (b) 4,952 67,347
PolyMedica Corp. 3,200 94,400
Province Healthcare Co. (b) 6,644 85,309
Quality Systems, Inc. (b) 600 28,692
RehabCare Group, Inc. (b) 2,000 31,240
Select Medical Corp. (b) 3,600 120,852
Sierra Health Services, Inc. (b) 3,674 85,567
Sunrise Assisted Living, Inc. (b) 2,291 66,210
U.S. Physical Therapy, Inc. (b) 2,800 40,292
United Surgical Partners
International, Inc. (b) 2,800 84,448
USNA Health Sciences, Inc. (b) 1,400 46,718
Virbac Corp. (b) 1,000 8,490
Vistacare, Inc. (b) 1,900 65,569
----------
3,088,256
----------
- ----------------------------------------------------------------
HOTELS & CASINOS (0.2%)
Ameristar Casinos, Inc. (b) 1,600 33,792
Aztar Corp. (b) 5,320 111,082
Boyd Gaming Corp. 5,317 81,137
MTR Gaming Group, Inc. (b) 3,700 40,441
----------
266,452
----------
- ----------------------------------------------------------------
HOTELS & MOTELS (0.3%)
Boca Resorts, Inc. (b) 2,600 35,100
Choice Hotels International, Inc. (b) 2,720 89,814
Extended Stay America, Inc. (b) 12,500 183,751
Marcus Corp. 2,277 34,041
Prime Hospitality Corp. (b) 6,210 56,511
----------
399,217
----------
- ----------------------------------------------------------------
INSURANCE (1.6%)
21st Century Insurance Group 2,700 38,070
Alfa Corp. 4,424 57,025
Allmerica Financial Corp. (b) 7,900 210,378
American Physicians Capital, Inc. (b) 1,629 43,038
Argonaut Group, Inc. 2,700 43,335
Baldwin & Lyons, Inc., Class B 881 21,629
Citizens, Inc. (b) 2,645 24,334
CNA Surety Corp. (b) 900 9,819
Commerce Group, Inc. (The) 3,353 133,282
EMC Insurance Group, Inc. 300 5,070
48 ANNUAL REPORT 2003
- --------------------------------------------------------------------------------
COMMON STOCKS (CONTINUED)
SHARES OR
PRINCIPAL
AMOUNT VALUE
- --------------------------------------------------------------------
INSURANCE (continued)
Enstar Group, Inc. (The) (b) 100 $ 4,100
FBL Financial Group, Inc., Class A 1,140 29,754
Fremont General Corp. 9,010 149,836
Harleysville Group, Inc. 5,458 121,495
Horace Mann Educators Corp. 5,416 71,762
Independence Holding Co. 400 9,240
Infinity Property & Casualty Corp. 2,200 71,500
Kansas City Life Insurance Co. 300 14,088
LandAmerica Financial Group, Inc. 2,825 141,278
Midland Co. (The) 400 9,220
Navigators Group, Inc. (b) 1,100 34,892
Nymagic, Inc. 400 9,604
Ohio Casualty Corp. (b) 9,908 151,592
Penn-America Group, Inc. 2,100 32,025
Philadelphia Consolidated
Holding Corp. (b) 2,802 132,114
PICO Holdings, Inc. (b) 900 13,320
PMA Capital Corp., Class A 4,400 57,860
ProAssurance Corp. (b) 4,362 131,296
RLI Corp. 2,236 75,130
Safety Insurance Group, Inc. 500 7,875
Selective Insurance Group, Inc. 4,814 147,790
State Auto Financial Corp. 1,400 37,534
Stewart Information Services Corp. (b) 3,100 96,565
Triad Guaranty, Inc. (b) 1,500 73,995
U.S.I. Holdings Corp. (b) 3,600 45,684
United Fire & Casualty Co. 700 27,895
Zenith National Insurance Co. 1,700 52,190
-----------
2,335,614
-----------
- --------------------------------------------------------------------
INSURANCE/LIFE (0.6%)
AmerUs Group Co. 6,700 252,925
Delphi Financial Group, Inc. 2,864 144,260
Financial Industries Corp. 1,500 20,805
Great American Financial
Resources, Inc. 820 12,751
National Western Life Insurance
Co., Class A (b) 300 43,143
Phoenix Co., Inc. (The) 16,100 177,100
Presidential Life Corp. 2,881 44,252
UICI (b) 6,946 103,912
Universal American Financial Corp. (b) 5,500 55,275
-----------
854,423
-----------
- --------------------------------------------------------------------
INSURANCE BROKERS (0.1%)
Crawford & Co., Class B 2,320 16,356
Hilb, Rogal & Hamilton Co. 4,600 138,092
-----------
154,448
-----------
- --------------------------------------------------------------------
INTERNET (2.0%)
@Road, Inc. (b) 4,200 54,180
Akamai Technologies, Inc. (b) 15,300 120,870
Alloy, Inc. (b) 4,033 18,068
Ariba, Inc. (b) 41,000 133,250
SHARES OR
PRINCIPAL AMOUNT VALUE
- --------------------------------------------------------------------
INTERNET (continued)
AsiaInfo Holdings, Inc. (b) 5,103 $ 36,078
Ask Jeeves, Inc. (b) 6,000 114,960
Autobytel, Inc. (b) 6,100 63,745
BroadVision, Inc. (b) 2,200 11,066
CMGI, Inc. (b) 54,900 103,212
CNET Networks, Inc. (b) 15,400 125,356
Drugstore.com, Inc. (b) 3,600 24,048
EarthLink, Inc. (b) 20,400 186,659
eCollege.com (b) 2,100 45,549
Entrust, Inc. (b) 5,100 24,021
eUniverse, Inc. (b) 1,600 3,120
FindWhat.com (b) 2,400 40,104
Harris Interactive, Inc. (b) 6,900 45,885
Interland, Inc. (b) 2,627 19,991
Internet Security, Inc. (b) 6,700 109,947
Interwoven, Inc. (b) 17,100 64,809
j2 Global Communications, Inc. (b) 2,800 79,296
Kana Software, Inc. (b) 1,600 6,320
LookSmart Ltd. (b) 12,500 21,625
MarketWatch.com, Inc. (b) 100 899
MatrixOne, Inc. (b) 5,309 29,412
Neoforma, Inc. (b) 1,900 30,096
Net.B@nk, Inc. 8,424 115,493
Net2Phone, Inc. (b) 5,138 29,698
Netegrity, Inc. (b) 3,974 47,132
Netflix, Inc. (b) 1,700 97,410
NIC, Inc. (b) 2,000 10,360
Omicell, Inc. (b) 1,700 24,191
Openwave Systems, Inc. (b) 8,400 109,620
Overstock.com, Inc. (b) 1,800 26,640
PC-Tel, Inc. (b) 3,400 34,442
Priceline.com, Inc. (b) 3,099 86,958
PTEK Holdings, Inc. (b) 7,300 63,583
Raindance Communications,
Inc. (b) 8,400 24,444
Redback Networks, Inc. (b) 16,300 6,846
Register.com, Inc. (b) 2,886 13,362
S1 Corp. (b) 12,978 104,862
Sohu.com Inc. (b) 2,900 100,050
Stellent, Inc. (b) 3,100 27,373
SupportSoft, Inc. (b) 4,300 51,557
TheStreet.com, Inc. (b) 2,500 11,300
TriZetto Group, Inc. (The) (b) 3,300 22,440
United Online, Inc. (b) 4,200 120,918
ValueClick, Inc. (b) 11,400 91,884
Vignette Corp. (b) 30,600 76,806
Vitria Technology, Inc. (b) 1,250 7,388
WatchGuard Technolgies, Inc. (b) 6,697 38,508
Websense, Inc. (b) 2,774 64,912
-----------
2,920,743
-----------
2003 ANNUAL REPORT 49
- --------------------------------------------------------------------------------
STATEMENT OF INVESTMENTS (Continued)
October 31, 2003
NATIONWIDE SMALL CAP INDEX FUND (Continued)
COMMON STOCKS (CONTINUED)
SHARES OR
PRINCIPAL AMOUNT VALUE
- ------------------------------------------------------------------
LEISURE PRODUCTS (0.7%)
Action Performance Co., Inc. 2,800 $ 57,344
Alliance Gaming Corp. (b) 7,400 179,450
Atari, Inc. (b) 1,740 6,716
Bally Total Fitness Holding
Corp. (b) 4,198 27,959
Boyds Collection Ltd. (b) 1,190 5,950
Callaway Golf Co. 9,200 149,500
Coachmen Industries, Inc. 3,200 49,888
Department 56, Inc. (b) 3,100 43,555
JAKKS Pacific, Inc. (b) 4,181 54,353
K2, Inc. (b) 3,500 58,065
MarineMax, Inc. (b) 400 7,648
Nautilus Group, Inc. (The) 3,500 54,635
Party City Corp. (b) 1,100 15,444
RC2 Corp. (b) 2,400 50,880
Speedway Motorsports, Inc. 2,900 83,810
Topps Co., Inc. 3,627 37,068
Vail Resorts, Inc. (b) 3,308 44,327
WMS Industries, Inc. (b) 3,499 80,932
----------
1,007,524
----------
- ------------------------------------------------------------------
MACHINERY (1.6%)
Advanced Energy Industries, Inc. (b) 2,682 61,230
Alamo Group, Inc. 100 1,425
Albany International Corp., Class A 3,627 112,074
Applied Industrial Technologies,
Inc. 3,224 72,701
Astec Industries, Inc. (b) 2,479 31,533
Baldor Electric Co. 4,023 85,690
Briggs & Stratton Corp. 3,200 208,031
Cascade Corp. 2,300 55,085
Cubic Corp. 2,400 68,160
Flowserve Corp. (b) 6,900 141,174
Franklin Electric Co., Inc. 1,000 61,000
Gardner Denver, Inc. (b) 1,740 35,948
Gorman-Rupp 800 18,912
IDEX Corp. 4,145 154,111
Intermagnetics General Corp. (b) 2,700 63,558
Joy Global, Inc. (b) 8,600 163,916
Kadant, Inc. (b) 2,103 38,380
Lennox International, Inc. 6,300 104,202
Mestek, Inc. (b) 360 6,750
Milacron, Inc. 8,497 20,308
NACCO Industries, Inc. 600 47,280
Nordson Corp. 4,763 131,983
Photon Dynamics, Inc. (b) 2,075 78,477
Sauer-Danfoss, Inc. 493 6,991
Stewart & Stevenson Services, Inc. 3,300 55,176
SureBeam Corp., Class A (b) 8,814 2,556
Tennant Co. 979 38,729
Terex Corp. (b) 6,500 146,640
Thomas Industries, Inc. 1,100 33,220
UNOVA, Inc. (b) 7,901 171,531
Wabtec Corp. 6,102 93,361
----------
2,310,132
----------
SHARES OR
PRINCIPAL AMOUNT VALUE
- ------------------------------------------------------------------
MANUFACTURED HOUSING (0.6%)
Aaon, Inc. (b) 600 $ 11,094
Apogee Enterprises, Inc. 4,000 41,800
Beazer Homes USA, Inc. (b) 2,212 220,094
Centex Construction Products, Inc. 600 32,340
Fleetwood Enterprises, Inc. (b) 4,541 45,773
Highwood Properties, Inc. 9,300 230,641
Modtech Holdings, Inc. (b) 900 7,047
Monaco Coach Corp. (b) 3,637 87,615
Palm Harbor Homes, Inc. (b) 1,757 32,592
Skyline Corp. 418 14,400
WCI Communities, Inc. (b) 3,300 71,940
Winnebago Industries, Inc. 1,819 106,048
----------
901,384
----------
- ------------------------------------------------------------------
MANUFACTURING (0.9%)
Applied Films Corp. (b) 1,800 56,430
Armor Holdings, Inc. (b) 2,400 46,800
Champion Enterprises, Inc. (b) 7,714 54,769
Checkpoint Systems, Inc. (b) 4,608 86,815
Cognex Corp. 5,744 154,227
CSS Industries, Inc. 751 20,269
CUNO, Inc. (b) 2,847 113,596
EnPro Industries, Inc. (b) 2,000 20,220
Gerber Scientific, Inc. (b) 1,900 15,010
Identix, Inc. (b) 15,600 89,700
Innovex, Inc. (b) 3,600 40,680
Jacuzzi Brands, Inc. (b) 11,889 83,817
Jos. A. Bank Clothiers, Inc. (b) 800 34,696
Lincoln Electric Holdings, Inc. 4,568 111,414
Mine Safety Appliances Co. 700 39,620
Myers Industries, Inc. 2,255 27,511
OshKosh B'Gosh, Inc., Class A 1,550 33,418
Powell Industries, Inc. (b) 1,569 30,407
Quixote Corp. 1,200 29,064
Raven Industries, Inc. 1,200 31,380
Rofin-Sinar Technologies, Inc. (b) 1,900 45,125
Sturm, Ruger & Co., Inc. 3,337 37,875
Valence Technology, Inc. (b) 4,400 16,896
Woodward Governor Co. 1,420 65,689
Young Innovations Inc. 500 15,000
----------
1,300,428
----------
- ------------------------------------------------------------------
MANUFACTURING/DIVERSIFIED (1.1%)
A.O. Smith Corp. 3,086 97,672
Acuity Brands, Inc. 7,542 162,153
Barnes Group, Inc. 2,202 64,254
Brink's Co. (The) 8,100 162,405
CLARCOR, Inc. 4,493 182,640
ESCO Technologies, Inc. (b) 1,994 86,699
Fargo Electronics (b) 2,000 27,540
Federal Signal Corp. 8,548 126,425
Global Power Equipment Group,
Inc. (b) 4,500 26,595
50 ANNUAL REPORT 2003
- --------------------------------------------------------------------------------
COMMON STOCKS (CONTINUED)
SHARES OR
PRINCIPAL
AMOUNT VALUE
- ----------------------------------------------------------------
MANUFACTURING/DIVERSIFIED (continued)
Griffon Corp. (b) 4,400 $ 85,140
Matthews International Corp., Class A 4,037 108,959
Penn Engineering & Manufacturing
Corp. 1,200 21,000
Roper Industries, Inc. 4,086 201,931
SPS Technologies, Inc. (b) 1,437 70,873
Standex International Corp. 1,254 31,914
Tredegar Industries, Inc. 3,606 56,181
USG Corp. (b) 5,100 85,425
Vans, Inc. (b) 3,300 37,059
-----------
1,634,865
-----------
- ----------------------------------------------------------------
MEDICAL EQUIPMENT & SUPPLIES (2.7%)
Advanced Medical Optics, Inc. (b) 4,300 86,731
Advanced Neuromodulation
Systems, Inc. (b) 2,650 108,650
Alaris Medical, Inc. (b) 2,400 37,224
Allscripts Healthcare Solution, Inc. (b) 5,318 27,654
Arrow International, Inc. 2,800 73,864
Aspect Medical Systems, Inc. (b) 400 3,780
BioLase Technology, Inc. (b) 3,200 41,984
Bruker BioSciences Corp. (b) 3,513 18,268
Candela Corp. (b) 1,400 24,010
Cantel Medical Corp. (b) 200 2,900
Cardiac Science, Inc. (b) 9,300 37,851
CardioDyamics International Corp. (b) 6,400 36,800
Cepheid, Inc. (b) 4,300 22,618
Closure Medical Corp. (b) 1,100 33,891
Conceptus, Inc. (b) 2,000 24,500
CONMED Corp. (b) 4,655 94,729
Cooper Co., Inc. (The) 4,600 199,870
CTI Molecular Imaging, Inc. (b) 4,100 65,354
Cyberonics, Inc. (b) 2,830 77,401
Cytyc Corp. (b) 17,300 223,689
Durect Corp. (b) 6,500 14,495
EPIX Medical, Inc. (b) 2,000 37,020
Exactech, Inc. (b) 1,200 19,452
Hanger Orthopedic Group, Inc. (b) 2,300 39,215
ICU Medical, Inc. (b) 1,750 59,133
IDX Systems Corp. (b) 3,300 86,460
IMPAC Medical Systems, Inc. (b) 1,000 23,540
INAMED Corp. (b) 2,667 230,349
Interpore International, Inc. (b) 3,000 35,400
Intuitive Surgical, Inc. (b) 2,769 40,123
Kensey Nash Corp. (b) 1,300 28,132
Kyphon, Inc. (b) 3,200 88,160
Landauer, Inc. 1,422 55,614
Laserscope (b) 2,200 27,984
Lifeline Systems, Inc. (b) 600 21,150
Medical Action Industries, Inc. (b) 1,700 23,715
Mentor Corp. 6,224 126,036
Meridian Bioscience, Inc. 2,000 19,920
Merit Medical Systems, Inc. (b) 3,134 82,079
Novoste Corp. (b) 1,200 5,616
SHARES OR
PRINCIPAL
AMOUNT VALUE
- ----------------------------------------------------------------
MEDICAL EQUIPMENT & SUPPLIES (continued)
Oakley, Inc. 2,900 $ 31,465
Ocular Sciences, Inc. (b) 2,201 61,474
OraSure Technologies, Inc. (b) 6,641 55,851
Orthologic Corp. (b) 6,100 43,249
Osteotech, Inc. (b) 2,700 21,843
Possis Medical, Inc. (b) 3,012 49,035
PSS World Medical, Inc. (b) 11,823 110,190
Retractable Technologies, Inc. (b) 200 1,206
Serologicals Corp. (b) 3,728 59,648
Surmodics, Inc. (b) 2,604 54,710
Sybron Dental Specialties, Inc. (b) 5,600 128,800
Synovis Life Technologies, Inc. (b) 1,900 44,916
Techne Corp. (b) 6,871 239,316
Therasense, Inc. (b) 3,500 63,980
Viasys Healthcare, Inc. (b) 3,728 67,290
VISX, Inc. (b) 5,379 130,495
Vital Images, Inc. (b) 1,400 25,200
Vital Signs, Inc. 1,130 34,273
Wright Medical Group, Inc. (b) 3,000 88,050
Zoll Medical Corp. (b) 1,511 51,359
-----------
3,667,711
-----------
- ----------------------------------------------------------------
MEDICAL LABORATORIES (0.6%)
Able Laboratories, Inc. (b) 1,900 36,746
Alliance Imaging, Inc. (b) 1,400 6,552
Applera Corp. - Celera Genomics Group (b) 10,900 145,733
Bioreliance Corp. (b) 600 20,508
Cerner Corp. (b) 4,800 203,376
Dade Behring Holdings, Inc. (b) 7,100 217,047
Discovery Laboratories, Inc. (b) 4,100 29,684
LabOne, Inc. (b) 1,800 49,536
Specialty Laboratories, Inc. (b) 276 3,701
VCA Antech, Inc. (b) 4,800 135,552
-----------
848,435
-----------
- ----------------------------------------------------------------
METAL PROCESSORS (0.4%)
Commercial Metals Co. 3,246 80,111
Kaydon Corp. 4,848 115,237
Liquidmetal Technologies Co. (b) 4,000 11,000
Mueller Industries, Inc. (b) 6,061 191,285
NN, Inc. 2,435 29,220
Quanex Corp. 3,070 122,954
Valmont Industries, Inc. 1,500 31,200
-----------
581,007
-----------
- ----------------------------------------------------------------
METALS (0.4%)
Brush Engineered Materials, Inc. (b) 1,596 20,317
Century Aluminum Co. (b) 2,366 38,944
Cleveland-Cliffs, Inc. (b) 1,632 48,960
Coeur d'Alene Mines Corp. (b) 36,300 126,688
Hecla Mining Co. (b) 19,200 113,280
2003 ANNUAL REPORT 51
- --------------------------------------------------------------------------------
STATEMENT OF INVESTMENTS (Continued)
October 31, 2003
NATIONWIDE SMALL CAP INDEX FUND (Continued)
COMMON STOCKS (CONTINUED)
SHARES OR
PRINCIPAL AMOUNT VALUE
- -----------------------------------------------------------------
METALS (continued)
RTI International Metals, Inc. (b) 1,400 $ 16,814
Stepan Co. 600 14,772
Stillwater Mining Co. (b) 4,975 34,775
USEC, Inc. 14,100 105,045
-----------
519,595
-----------
- -----------------------------------------------------------------
NATURAL GAS (0.3%)
EnergySouth, Inc. 900 32,724
Laclede Group, Inc. (The) 3,700 104,895
Southern Union Co. (b) 9,793 172,455
St. Mary Land & Exploration Co. 5,018 130,970
-----------
441,044
-----------
- -----------------------------------------------------------------
OFFICE EQUIPMENT & SUPPLIES (0.3%)
Ennis Business Forms, Inc. 3,900 56,004
General Binding Corp. (b) 600 8,316
Global Imaging Systems, Inc. (b) 2,500 72,625
Imagistics International, Inc. (b) 1,800 57,870
Interface, Inc. (b) 5,065 28,111
John H. Harland Co. 5,066 137,947
School Specialty, Inc. (b) 2,982 83,138
Standard Register Co. 1,534 26,998
-----------
471,009
-----------
- -----------------------------------------------------------------
OIL & GAS (2.3%)
Atwood Oceanics, Inc. (b) 1,510 39,094
Berry Petroleum Co. 1,400 25,480
Cabot Oil & Gas Corp. 3,998 102,149
Cal Dive International, Inc. (b) 6,275 130,081
Cimarex Energy Co. (b) 6,024 123,191
Clayton Williams Energy, Inc. (b) 800 16,800
Comstock Resources, Inc. (b) 3,919 58,511
Denbury Resources, Inc. (b) 6,700 84,554
Encore Acquisition Co. (b) 600 13,800
Energy Partners Ltd. (b) 4,800 57,648
Ethyl Corp. (b) 1,100 17,710
Evergreen Resources, Inc. (b) 5,400 148,068
Forest Oil Corp. (b) 7,000 164,149
Grey Wolf, Inc. (b) 23,641 75,888
Hanover Compressor Co. (b) 6,500 68,900
Harvest Natural Resources, Inc. (b) 8,000 54,560
Horizon Offshore, Inc. (b) 4,991 19,465
Houston Exploration Co. (The) (b) 1,600 56,000
KCS Energy, Inc. (b) 5,700 45,429
Lufkin Industries, Inc. 900 21,600
Magnum Hunter Resources, Inc. (b) 9,300 80,445
McMoRan Exploration Co. (b) 1,000 14,940
Meridian Resource Corp. (The) (b) 6,100 24,522
Newpark Resources, Inc. (b) 8,484 34,106
Nuevo Energy Co. (b) 3,145 61,894
Oceaneering International, Inc. (b) 4,350 100,311
SHARES OR
PRINCIPAL
AMOUNT VALUE
- -----------------------------------------------------------------
OIL & GAS (continued)
Parker Drilling Co. (b) 15,837 $ 35,633
Patina Oil & Gas Corp. 4,527 190,948
Penn Virginia Corp. 1,300 58,955
PetroCorp, Inc. (b) 1,500 20,100
Petroleum Development Corp. (b) 3,100 41,106
Plains Exploration & Production
Co. (b) 5,122 69,506
Plains Resources, Inc. (b) 2,300 30,475
Prima Energy Corp. (b) 1,491 41,480
Quaker Chemical Corp. 600 15,924
Quicksilver Resources, Inc. (b) 2,090 53,713
Quiksilver, Inc. (b) 8,068 138,528
Range Resources Corp. (b) 6,863 52,502
Remington Oil & Gas Corp. (b) 3,180 56,763
RPC, Inc. 1,201 12,526
Spinnaker Exploration Co. (b) 3,424 87,620
Stone Energy Corp. (b) 4,041 146,042
Swift Energy Co. (b) 3,834 53,293
Tesoro Petroleum Corp. (b) 8,400 95,760
Tom Brown, Inc. (b) 6,473 174,899
Unit Corp. (b) 6,100 118,279
Vintage Petroleum, Inc. 9,500 109,725
World Fuel Services Corp. 1,600 45,856
-----------
3,288,928
-----------
- -----------------------------------------------------------------
OIL EQUIPMENT & SERVICES (0.6%)
CARBO Ceramics, Inc. 1,800 75,600
Dril-Quip, Inc. (b) 413 6,195
Frontier Oil Corp. 4,362 69,792
Global Industries Ltd. (b) 14,500 66,990
Holly Corp. 1,900 47,348
Hydril Co. (b) 2,500 58,625
Lone Star Technologies, Inc. (b) 3,634 50,585
SEACOR SMIT, Inc. (b) 2,411 92,390
SJW Corp. 200 17,700
Superior Energy Services, Inc. (b) 5,584 49,921
TETRA Technologies, Inc. (b) 3,308 74,794
TRC Cos., Inc. (b) 1,100 19,503
Veritas DGC, Inc. (b) 3,567 31,604
W-H Energy Services, Inc. (b) 3,443 53,986
WD-40 Co. 3,134 101,698
-----------
816,731
-----------
- -----------------------------------------------------------------
OIL FIELD MACHINERY & EQUIPMENT (0.1%)
Gulf Island Fabrication, Inc. (b) 2,180 32,809
Oil States International, Inc. (b) 2,600 31,850
Universal Compression Holdings,
Inc. (b) 1,900 41,781
-----------
106,440
-----------
- -----------------------------------------------------------------
PAPER & FOREST PRODUCTS (0.7%)
Buckeye Technologies, Inc. (b) 2,490 22,435
Caraustar Industries, Inc. (b) 5,031 48,348
Chesapeake Corp. 1,670 40,748
52 ANNUAL REPORT 2003
- --------------------------------------------------------------------------------
COMMON STOCKS (CONTINUED)
SHARES OR
PRINCIPAL
AMOUNT VALUE
- ------------------------------------------------------------------------
PAPER & FOREST PRODUCTS (continued)
Deltic Timber Corp. 1,156 $ 33,096
Glatfelter & Co. 4,565 58,204
Longview Fibre Co. 6,831 73,433
Louisiana-Pacific Corp. (b) 15,505 294,905
Pope & Talbot, Inc. 3,700 53,021
Potlatch Corp. 4,688 146,547
Rock-Tenn Co. 3,100 49,910
Schweitzer-Mauduit International, Inc. 2,075 55,195
Universal Forest Products, Inc. 2,700 79,920
Wausau-Mosinee Paper Corp. 4,324 53,445
----------
1,009,207
----------
- ------------------------------------------------------------------------
PHARMACEUTICALS (2.3%)
Alexion Pharmaceuticals, Inc. (b) 2,729 50,487
Alteon, Inc. (b) 9,200 17,204
American Pharmaceutical Partners, Inc. (b) 1 24
AtheroGenics, Inc. (b) 6,300 103,887
AVI BioPharma, Inc. (b) 3,200 15,520
BioMarin Pharmaceutical, Inc. (b) 9,800 68,600
Biopure Corp. (b) 5,553 19,213
Bone Care International, Inc. (b) 1,000 14,000
Bradley Pharmaceuticals, Inc. (b) 1,500 40,305
Cell Genesys, Inc. (b) 5,000 64,200
CIMA Labs, Inc. (b) 2,628 82,519
CollaGenex Pharmaceuticals, Inc. (b) 1,660 15,969
Corixa Corp. (b) 6,129 36,590
Cubist Pharmaceuticals, Inc. (b) 5,690 66,118
D & K Healthcare Resources, Inc. 1,500 19,380
Del Laboratories, Inc. (b) 205 5,025
Dendreon Corp. (b) 2,800 23,576
DOV Pharmaceutical, Inc. (b) 2,500 30,625
Encysive Pharmaceuticals, Inc. (b) 8,400 53,172
Enzon, Inc. (b) 5,500 61,380
First Horizon Pharmaceutical
Corp. (b) 4,200 29,694
Geron Corp. (b) 5,937 75,400
Hollis-Eden Pharmaceuticals, Inc. (b) 1,200 21,612
ILEX Oncology, Inc. (b) 5,878 122,615
ImmunoGen, Inc. (b) 4,729 21,990
Impax Laboratories, Inc. (b) 5,600 66,416
Indevus Pharmaceuticals, Inc. (b) 4,412 24,134
Inspire Pharmaceuticals, Inc. (b) 4,100 76,342
Inter Parfums, Inc. 800 10,960
Inveresk Research Group, Inc. (b) 4,200 97,440
Isis Pharmaceuticals, Inc. (b) 5,370 35,711
Kos Pharmaceuticals, Inc. (b) 1,568 62,265
La Jolla Pharmaceutical Co. (b) 5,000 17,050
Lannett Co., Inc. (b) 700 12,873
Medical Co. (b) 6,373 169,839
MIM Corp. (b) 4,900 28,861
Nektar Therapeutic (b) 8,000 105,120
NeoPharm, Inc. (b) 1,435 21,927
Noven Pharmaceuticals, Inc. (b) 2,400 24,216
SHARES OR
PRINCIPAL AMOUNT VALUE
- ------------------------------------------------------------------------
PHARMACEUTICALS (continued)
Onyx Pharmaceuticals, Inc. (b) 5,100 $ 124,797
Pain Therapeutics, Inc. (b) 5,300 33,390
Parexel International Corp. (b) 4,178 69,856
Penwest Pharmaceuticals Co. (b) 3,000 49,140
Peregrine Pharmaceuticals, Inc. (b) 15,573 32,703
Perrigo Co. 10,910 146,740
Pharmacopeia, Inc. (b) 2,716 33,896
POZEN, Inc. (b) 3,100 38,843
PRAECIS Pharmaceuticals, Inc. (b) 7,533 52,204
Progenics Pharmaceuticals, Inc. (b) 900 16,029
Regeneron Pharmaceuticals, Inc. (b) 4,417 61,131
Salix Pharmaceuticals, Inc. (b) 2,100 41,580
Savient Pharmaceuticals, Inc. (b) 10,657 64,475
SuperGen, Inc. (b) 5,986 61,776
Telik, Inc. (b) 5,668 115,174
Theragenics Corp. (b) 2,386 10,618
Transkaryotic Therapies, Inc. (b) 4,674 61,276
United Therapeutics Corp. (b) 3,331 67,053
Vertex Pharmaceuticals, Inc. (b) 13,100 171,871
Vicuron Pharmaceuticals, Inc. (b) 8,094 148,525
VIVUS, Inc. (b) 3,900 14,547
----------
3,227,883
----------
- ------------------------------------------------------------------------
PHOTOGRAPHIC (0.0%)
Concord Camera Corp. (b) 4,024 51,668
----------
- ------------------------------------------------------------------------
PIPELINES (0.1%)
Aquila, Inc. (b) 27,400 108,230
TransMontaigne, Inc. (b) 2,054 11,872
----------
120,102
----------
- ------------------------------------------------------------------------
POLLUTION CONTROL (0.2%)
BHA Group Holdings, Inc. 900 21,060
Calgon Carbon Corp. 3,948 25,346
Casella Waste Systems, Inc., Class A (b) 2,273 28,617
Clean Harbors, Inc. (b) 2,600 9,620
Duratek, Inc. (b) 100 940
Gundle/SLT Environmental, Inc. (b) 1,400 24,010
Lydall, Inc. (b) 1,000 11,890
Waste Connections, Inc. (b) 3,953 137,090
----------
258,573
----------
- ------------------------------------------------------------------------
PRINTING & PUBLISHING (0.5%)
Banta Corp. 4,117 157,515
Bowne & Co., Inc. 4,258 63,870
Courier Corp. 400 21,928
Hollinger International, Inc. 4,900 65,807
Information Holdings, Inc. (b) 1,600 35,872
Journal Register Co. (b) 5,059 101,332
Mail-Well, Inc. (b) 3,491 14,383
Playboy Enterprises, Inc. (b) 1,434 22,213
2003 ANNUAL REPORT 53
- --------------------------------------------------------------------------------
STATEMENT OF INVESTMENTS (Continued)
October 31, 2003
NATIONWIDE SMALL CAP INDEX FUND (Continued)
COMMON STOCKS (CONTINUED)
SHARES OR
PRINCIPAL
AMOUNT VALUE
- -------------------------------------------------------------
PRINTING & PUBLISHING (continued)
Presstek, Inc. (b) 3,536 $ 27,263
PRIMEDIA, Inc. (b) 21,100 56,759
ProQuest Co. (b) 3,450 102,465
Pulitzer, Inc. 872 45,388
Thomas Nelson, Inc. 2,400 38,040
--------
752,835
--------
- -------------------------------------------------------------
RADIO (0.1%)
Beasley Broadcast Group, Inc. (b) 1,030 15,017
Emerson Radio Corp. (b) 1,100 4,499
Saga Communications, Inc. (b) 1,625 30,875
Spanish Broadcasting System, Inc. (b) 5,264 47,376
--------
97,767
--------
- -------------------------------------------------------------
RAILROADS (0.0%)
Florida East Coast Industries, Inc. 2,219 65,949
--------
- -------------------------------------------------------------
REAL ESTATE (0.2%)
Avatar Holdings, Inc. (b) 500 16,330
Consolidated-Tomoka Land Co. 500 14,805
Getty Realty Corp. 1,800 44,550
Jones Lang LaSalle, Inc. (b) 4,200 80,010
Price Legacy Corp. (b) 2,400 8,232
Tarragon Realty Investors, Inc. (b) 100 1,563
Trammell Crow Co. (b) 3,898 53,052
United Capital Corp. 800 13,824
--------
232,366
--------
- -------------------------------------------------------------
REAL ESTATE INVESTMENT TRUSTS
(REIT) (4.8%)
Acadia Realty Trust 3,199 36,277
Alexandria Real Estate Equities, Inc. 3,300 168,299
American Land Lease, Inc. 1,100 20,020
American Mortgage Acceptance Co. 1,700 28,237
Amli Residential Properties Trust 3,100 78,864
Anthracite Capital, Inc. 5,700 58,083
Apex Mortgage Capital, Inc. 5,100 30,090
Associated Estates Realty Corp. 1,800 11,628
Bedford Property Investors, Inc. 2,350 61,711
Boykin Lodging Co. 3,100 25,668
Brandywine Realty Trust 3,804 96,393
Capital Automotive REIT 4,464 138,875
Capstead Mortgage Corp. 2,200 29,370
Colonial Properties Trust 3,335 123,395
Commercial Net Lease Realty 5,900 101,480
Cornerstone Realty Income Trust, Inc. 6,407 52,986
Corporate Office Properties Trust 4,400 85,096
Correctional Properties Trust 2,000 54,180
Corrections Corporation of America (b) 5,332 130,954
CRIIMI MAE, Inc. (b) 1,000 11,230
Crown American Realty Trust 5,400 64,692
EastGroup Properties, Inc. 3,300 96,195
SHARES OR
PRINCIPAL
AMOUNT VALUE
- -------------------------------------------------------------
REAL ESTATE INVESTMENT TRUSTS (REIT) (continued)
Entertainment Properties Trust 3,840 $123,571
Equity Inns, Inc. 7,700 65,065
Equity One, Inc. 3,900 65,325
Essex Property Trust, Inc. 2,929 175,388
FelCor Lodging Trust, Inc. 7,800 79,482
First Industrial Realty Trust, Inc. 6,700 216,409
Gables Residential Trust 4,909 157,972
Glenborough Realty Trust, Inc. 1,652 32,214
Glimcher Realty Trust 4,495 95,204
Great Lakes REIT 1,698 27,219
Health Care REIT, Inc. 7,000 232,049
Heritage Property Investment 2,800 78,960
Home Properties of New York, Inc. 4,311 165,974
Impac Mortgage Holdings, Inc. 7,000 105,350
Innkeepers USA Trust 4,871 42,378
Investors Real Estate Trust 3,600 35,748
Keystone Property Trust 1,996 39,920
Kilroy Realty Corp. 3,422 98,896
Koger Equity 4,000 77,480
Kramont Realty Trust 2,300 39,491
La Quinta Corp. (b) 15,427 95,185
LaSalle Hotel Properties 1,904 32,082
Lexington Corporate Properties Trust 5,700 109,326
LTC Properties, Inc. 1,500 17,760
Manufactured Home Communities, Inc. 2,638 100,244
MeriStar Hospitality Corp. (b) 6,479 44,252
Mfa Mortgage Investments 8,200 78,474
Mid-America Apartment Communities, Inc. 3,112 97,717
Mission West Properties, Inc. 2,900 36,337
National Health Investors, Inc. 4,437 94,286
National Health Realty, Inc. 700 11,718
Nationwide Health Properties, Inc. 9,035 165,341
Newcastle Investment Corp. 3,100 72,540
Omega Healthcare Investors, Inc. 500 3,750
Parkway Properties, Inc. 1,900 83,695
Pennsylvania Real Estate
Investment Trust 3,100 103,540
Post Properties, Inc. 5,614 148,210
Prentiss Properties Trust 5,429 164,173
PS Business Parks, Inc. 1,675 63,148
Rait Investment Trust 2,700 63,072
Ramco-Gershenson Properties Trust 1,800 43,470
Reckson Associates Realty Corp. 8,800 195,535
Redwood Trust, Inc. 2,105 104,408
Saul Centers, Inc. 1,245 33,864
Senior Housing Properties Trust 6,400 95,296
Sizeler Property Investors 2,800 29,512
SL Green Realty Corp. 4,000 144,600
Sovran Self Storage, Inc. 2,700 91,395
Summit Properties, Inc. 3,146 70,345
Sun Communities, Inc. 2,585 94,223
Tanger Factory Outlet Centers, Inc. 787 31,779
Taubman Centers, Inc. 7,999 161,260
54 ANNUAL REPORT 2003
- --------------------------------------------------------------------------------
COMMON STOCKS (CONTINUED)
SHARES OR
PRINCIPAL
AMOUNT VALUE
- ----------------------------------------------------------------
REAL ESTATE INVESTMENT TRUSTS (REIT) (continued)
Town & Country Trust 1,551 $ 36,030
U.S. Restaurant Properties, Inc. 3,600 57,600
United Mobile Homes, Inc. 100 1,640
Universal Health Realty Income Trust 2,373 66,468
Urstadt Biddle Properties, Inc., Class A 2,100 28,455
Ventas, Inc. 11,048 206,597
Washington Real Estate
Investment Trust 5,400 159,840
Winston Hotels, Inc. 5,045 50,702
----------
6,745,687
----------
- ----------------------------------------------------------------
RECREATIONAL VEHICLES & BOATS (0.2%)
Arctic Cat, Inc. 1,776 39,996
Thor Industries, Inc. 3,160 202,619
----------
242,615
----------
- ----------------------------------------------------------------
RESEARCH & DEVELOPMENT (0.4%)
aaiPharma, Inc. (b) 2,150 38,894
Albany Molecular Research, Inc. (b) 2,937 43,174
Antigenics, Inc. (b) 3,388 37,065
Biosite, Inc. (b) 2,000 51,600
Forrester Research, Inc. (b) 3,081 52,531
Gene Logic, Inc. (b) 6,948 34,532
MGI PHARMA, Inc. (b) 4,681 175,817
Nuvelo, Inc. (b) 7,000 23,170
Regeneration Technologies, Inc. (b) 4,600 55,200
Trimeris, Inc. (b) 2,508 64,205
----------
576,188
----------
- ----------------------------------------------------------------
RESIDENTIAL BUILDING CONSTRUCTION (0.4%)
Ameron International Corp. 800 26,272
Dominion Homes, Inc. (b) 800 22,600
Dycom Industries, Inc. (b) 7,198 155,549
Insituform Technologies, Inc. (b) 3,694 52,824
M/I Schottenstein Homes, Inc. 2,000 83,260
Standard Pacific Corp. 4,883 233,652
William Lyon Homes (b) 500 32,400
----------
606,557
----------
- ----------------------------------------------------------------
RESTAURANTS (1.1%)
Bob Evans Farms, Inc. 6,134 181,321
California Pizza Kitchen, Inc. (b) 3,400 63,240
Chicago Pizza & Brewery, Inc. (b) 2,200 28,270
CKE Restaurants, Inc. (b) 9,800 69,580
Dave & Buster's, Inc. (b) 900 11,835
IHOP Corp. 2,500 92,750
Jack in the Box, Inc. (b) 5,802 105,538
Landry's Restaurants, Inc. 2,551 63,852
Lone Star Steakhouse & Saloon, Inc. 3,122 68,278
O'Charley's, Inc. (b) 3,408 57,425
P.F. Chang's China Bistro, Inc. (b) 3,700 180,338
SHARES OR
PRINCIPAL
AMOUNT VALUE
- ----------------------------------------------------------------
RESTAURANTS (continued)
Panera Bread Co. (b) 4,800 $ 193,105
Papa John's International, Inc. (b) 2,400 63,144
Ryan Family Steak Houses, Inc. (b) 5,752 80,183
Sonic Corp. (b) 6,729 187,133
Steak n Shake Co. (The) (b) 2,400 41,520
Triarc Companies, Inc. 4,690 49,995
----------
1,537,507
----------
- ----------------------------------------------------------------
RETAIL (4.5%)
1-800-FLOWERS.COM (b) 3,200 33,440
7-Eleven, Inc. (b) 2,721 43,400
A.C. Moore Arts & Crafts, Inc. (b) 2,100 48,573
Alexander's, Inc. (b) 200 21,480
America's Car-Mart, Inc. (b) 900 27,765
American Eagle Outfitters, Inc. (b) 7,800 124,722
AnnTaylor Stores Corp. (b) 6,600 236,280
Asbury Automotive Group, Inc. (b) 1,200 20,400
Big 5 Sporting Goods Corp. (b) 2,200 41,074
BJ's Wholesale Club, Inc. (b) 10,200 262,037
Blair Corp. 1,800 40,860
Blue Rhino Corp. (b) 1,900 22,040
Brookstone, Inc. (b) 2,100 42,903
Building Materials Holding Corp. 3,100 43,834
Casey's General Stores, Inc. 8,047 124,729
Cash America International, Inc. 4,500 85,905
Casual Male Retail Group, Inc. (b) 4,900 43,610
Cato Corp. 1,994 42,073
CEC Entertainment, Inc. (b) 3,400 166,260
Charlotte Russe Holding, Inc. (b) 2,100 28,245
Children's Place Retail Store,
Inc. (The) (b) 2,300 69,230
Christopher & Banks Corp. 5,322 155,402
Coldwater Creek, Inc. (b) 750 9,285
Copart, Inc. (b) 11,800 147,146
Cost Plus, Inc. (b) 3,700 169,719
CSK Auto Corp. (b) 6,200 106,330
Dick's Sporting Goods, Inc. (b) 2,200 101,156
Dillards, Inc., Class A 10,600 171,402
Dress Barn, Inc. (b) 2,201 30,814
Duane Reade, Inc. (b) 2,500 34,375
Electronics Boutique Holdings
Corp. (b) 2,167 61,651
F.A.O., Inc. (b) 133 783
Finlay Enterprises, Inc. (b) 500 7,570
Fossil, Inc. (b) 4,282 115,614
Fred's, Inc. 6,538 246,352
Friedman's, Inc., Class A 4,200 50,862
Galyan's Trading Co. (b) 1,400 18,354
Genesco, Inc. (b) 2,500 42,125
Group 1 Automotive, Inc. (b) 2,395 84,855
Guitar Center, Inc. (b) 2,497 81,277
Gymboree Corp. (b) 5,342 88,143
Hancock Fabrics, Inc. 2,100 31,311
Haverty Furniture Co., Inc. 3,200 66,400
2003 ANNUAL REPORT 55
- --------------------------------------------------------------------------------
STATEMENT OF INVESTMENTS (Continued)
October 31, 2003
NATIONWIDE SMALL CAP INDEX FUND (Continued)
COMMON STOCKS (CONTINUED)
SHARES OR
PRINCIPAL
AMOUNT VALUE
- --------------------------------------------------------------------
RETAIL (continued)
Hibbet Sporting Goods, Inc. (b) 2,250 $ 61,448
Hollywood Entertainment Corp. (b) 9,100 138,320
Insight Enterprises, Inc. (b) 7,885 132,626
InterTan, Inc. (b) 2,415 25,406
J. Jill Group, Inc. (b) 3,438 41,840
Jo-Ann Stores, Inc., Class A (b) 1,800 54,018
Kirkland's, Inc. (b) 900 19,845
Linens 'n Things, Inc. (b) 6,628 195,659
M&F Worldwide Corp. (b) 200 2,210
Men's Wearhouse, Inc. (b) 5,219 153,752
Movado Group, Inc. 600 14,430
Movie Gallery, Inc. (b) 4,635 95,852
OfficeMax, Inc. (b) 18,883 180,899
Pantry, Inc. (The) (b) 300 4,920
PC Connection, Inc. (b) 1,900 19,456
Penn Traffic Co. (The) (b) 100 14
PETCO Animal Supplies, Inc. (b) 6,100 202,398
RARE Hospitality International,
Inc. (b) 5,350 132,680
Rent-Way, Inc. (b) 2,325 13,950
Restoration Hardware, Inc. (b) 3,700 29,452
REX Stores Corp. (b) 300 4,728
Sharper Image Corp. (b) 1,100 31,680
Shop At Home, Inc. (b) 2,900 8,700
ShopKo Stores, Inc. (b) 3,200 49,536
Smart & Final, Inc. (b) 1,415 10,202
Sonic Automotive, Inc. 4,000 90,800
Sports Authority, Inc. (The) (b) 3,106 115,543
Stein Mart, Inc. (b) 2,353 16,918
Too, Inc. (b) 4,986 82,269
Tractor Supply Co. (b) 5,000 209,550
Trans World Entertainment Corp. (b) 2,705 17,583
Tuesday Morning Corp. (b) 2,282 72,773
Tweeter Home Entertainment
Group, Inc. (b) 2,300 19,205
Ultimate Electronics, Inc. (b) 2,038 18,322
United Rentals, Inc. (b) 7,900 137,618
Urban Outfitters, Inc. (b) 4,000 133,440
Weis Markets, Inc. 1,300 47,515
WESCO International, Inc. (b) 1,900 13,129
West Marine, Inc. (b) 2,100 46,536
Whitehall Jewellers, Inc. (b) 1,000 12,230
Zale Corp. (b) 4,900 253,623
----------
6,300,861
----------
- --------------------------------------------------------------------
RETAIL/FOOD & DRUG (0.3%)
Arden Group, Inc., Class A 168 11,787
Ingles Markets, Inc., Class A 2,141 21,731
Longs Drug Stores Corp. 4,600 103,040
Nash-Finch Co. 2,423 38,162
Pathmark Stores, Inc. (b) 4,558 31,222
Ruddick Corp. 6,223 99,319
United Natural Foods, Inc. (b) 3,584 138,630
Wild Oats Markets, Inc. (b) 4,253 44,146
----------
488,037
----------
SHARES OR
PRINCIPAL
AMOUNT VALUE
- --------------------------------------------------------------------
SEMICONDUCTORS (3.8%)
Actel Corp. (b) 3,931 $ 106,058
Alliance Semiconductor Corp. (b) 4,331 33,349
Artisan Components, Inc. (b) 2,200 45,122
Asyst Technologies, Inc. (b) 5,900 110,035
ATMI, Inc. (b) 4,891 112,444
Axcelis Technologies, Inc. (b) 14,700 155,526
Brooks Automation, Inc. (b) 5,429 135,454
ChipPac, Inc. (b) 5,349 44,611
Cirrus Logic, Inc. (b) 10,800 88,128
COHU, Inc. 3,851 77,290
Conexant Systems, Inc. (b) 41,800 243,693
Credence Systems Corp. (b) 9,562 155,956
Cymer, Inc. (b) 5,800 264,827
Diodes, Inc. (b) 200 4,728
DuPont Photomasks, Inc. (b) 2,300 53,314
Entegris, Inc. (b) 9,400 123,704
ESS Technology, Inc. (b) 3,600 49,968
Exar Corp. (b) 7,127 114,673
FEI Co. (b) 4,300 102,125
Genesis Microchip, Inc. (b) 4,956 82,170
GlobespanVirata, Inc. (b) 15,917 98,049
Helix Technology Corp. 4,200 75,390
Ixia (b) 3,071 36,852
IXYS Corp. (b) 3,802 37,260
Kopin Corp. (b) 10,200 74,766
LTX Corp. (b) 7,353 105,074
Mattson Technology, Inc. (b) 5,340 75,881
Microsemi Corp. (b) 3,709 76,776
Mindspeed Technologies, Inc. (b) 13,600 69,632
MKS Instruments, Inc. (b) 4,600 119,600
Mykrolis Corp (b) 4,000 59,000
New Focus, Inc. (b) 11,332 58,813
OmniVision Technologies, Inc. (b) 3,700 210,160
On Semiconductor Corp. (b) 6,600 28,380
Oplink Communications, Inc. (b) 15,481 36,226
Optical Communication Products,
Inc. (b) 617 1,450
OSI Systems, Inc. (b) 2,300 42,297
ParthusCeva, Inc. (b) 2,600 19,214
Pericom Semiconductor Corp. (b) 3,850 43,852
Photronics Corp. (b) 4,441 95,659
Pixelworks, Inc. (b) 5,450 65,836
Power Integrations, Inc. (b) 3,865 134,579
Rudolph Technologies, Inc. (b) 1,800 47,070
Semitool, Inc. (b) 2,872 26,193
Semtech Corp. (b) 8,900 197,580
Silicon Image, Inc. (b) 10,100 71,003
Silicon Storage Technology, Inc. (b) 11,242 125,686
Siliconix, Inc. (b) 700 35,532
SIPEX Corp. (b) 4,400 38,544
Skyworks Solutions Co. (b) 23,467 201,347
Superconductor Technologies,
Inc. (b) 11,100 56,499
Supertex, Inc. (b) 652 12,225
56 ANNUAL REPORT 2003
- --------------------------------------------------------------------------------
COMMON STOCKS (CONTINUED)
SHARES OR
PRINCIPAL AMOUNT VALUE
- ------------------------------------------------------------------
SEMICONDUCTORS (continued)
Three-Five Systems, Inc. (b) 5,100 $ 23,664
Transmeta Corp. (b) 20,900 84,645
TriQuint Semiconductor, Inc. (b) 20,309 145,616
Ultratech Stepper, Inc. (b) 3,500 109,235
Veeco Instruments, Inc. (b) 3,208 81,291
Virage Logic Corp. (b) 1,500 14,850
Vitesse Semiconductor Corp. (b) 32,000 225,280
White Electronic Designs Corp. (b) 3,500 38,500
Xicor, Inc. (b) 3,366 38,103
----------
5,240,784
----------
- ------------------------------------------------------------------
SERVICES (1.4%)
Alderwoods Group, Inc. (b) 7,400 55,130
APAC Customer Services, Inc. (b) 2,144 5,510
aQuantive, Inc. (b) 6,900 72,450
Arbitron, Inc. (b) 4,381 173,050
Central Parking Corp. 2,100 25,347
Clark, Inc. (b) 2,200 33,110
Coinstar, Inc. (b) 3,338 48,902
Cornell Cos., Inc. (b) 1,700 24,123
CPI Corp. 2,035 40,110
CyberGuard Corp. (b) 600 5,196
Digital Generation Systems,
Inc. (b) 1,600 3,088
Digital Think, Inc. (b) 2,800 6,272
FTD, Inc. (b) 100 2,463
FTI Consulting, Inc. (b) 7,007 139,439
Genesis Health Ventures, Inc. (b) 4,400 118,360
Healthcare Services Group, Inc. 1,900 30,970
ICT Group, Inc. (b) 600 7,926
Kroll, Inc. (b) 6,300 146,538
Labor Ready, Inc. (b) 7,594 82,547
Manhattan Associates, Inc. (b) 3,000 83,520
MasTec, Inc. (b) 2,700 34,803
National Healthcare Corp. (b) 800 15,360
NDCHealth Corp. 4,998 131,897
Perini Corp. (b) 1,200 9,948
Perot Systems Corp., Class A (b) 10,600 112,572
Quanta Services, Inc. (b) 10,800 88,344
Rollins, Inc. 2,322 47,183
Secure Computing Corp. (b) 4,584 65,918
Sotheby's Holdings, Inc. (b) 6,588 70,162
Stewart Enterprises, Inc.,
Class A (b) 11,864 48,405
Tetra Tech, Inc. (b) 8,543 192,046
URS Corp. (b) 3,221 70,508
Volt Information Sciences, Inc. (b) 500 8,750
Wackenhut Corrections Corp. (b) 2,000 41,640
----------
2,041,587
----------
- ------------------------------------------------------------------
STEEL (0.4%)
AK Steel Holding Corp. (b) 16,100 38,640
Allegheny Technologies, Inc. 11,200 85,680
Carpenter Technology Corp. 3,224 83,340
SHARES OR
PRINCIPAL
AMOUNT VALUE
- ------------------------------------------------------------------
STEEL (continued)
Gibraltar Steel Corp. 1,089 $ 26,158
Maverick Tube Corp. (b) 6,139 103,688
NS Group, Inc. (b) 1,046 7,939
Reliance Steel & Aluminum Co. 2,900 83,230
Ryerson Tull, Inc. 2,499 20,142
Schnitzer Steel Industries, Inc. 1,600 60,288
Steel Dynamics, Inc. (b) 6,925 129,013
----------
638,118
----------
- ------------------------------------------------------------------
TECHNOLOGY (2.6%)
Andrew Corp. (b) 24,504 320,513
Benchmark Electronics, Inc. (b) 3,741 182,262
Black Box Corp. 2,147 92,450
CommScope, Inc. (b) 7,612 117,910
Concur Technologies, Inc. (b) 3,500 40,145
CTS Corp. 4,780 52,915
Datastream Systems, Inc. (b) 1,508 11,702
Digimarc Corp. (b) 1,874 31,446
Dionex Corp. (b) 2,652 112,816
EMS Technologies, Inc. (b) 2,300 40,940
Excel Technology, Inc. (b) 1,719 48,390
IGEN International, Inc. (b) 2,651 153,625
Input/Output, Inc. (b) 6,181 25,404
Intergraph Corp. (b) 7,904 205,978
Invision Technologies, Inc. (b) 2,800 76,076
KEMET Corp. (b) 13,000 172,250
Kronos, Inc. (b) 3,021 181,260
Kulicke & Soffa Industries, Inc. (b) 7,568 111,098
Lattice Semiconductor Corp. (b) 17,400 135,720
Lionbridge Technologies, Inc. (b) 6,000 54,180
Medis Technologies, Inc. (b) 1,277 12,042
Metrologic Instruments, Inc. (b) 1,200 28,116
Micros Systems, Inc. (b) 3,033 122,806
Monolithic System Technology (b) 2,300 18,745
MTC Technologies, Inc. (b) 1,200 35,148
Opsware, Inc. (b) 6,800 56,576
Orbital Sciences Corp. (b) 6,422 59,018
Palatin Technologies, Inc. (b) 5,600 24,080
Plantronics, Inc. (b) 5,949 165,442
Plexus Corp. (b) 5,945 102,789
Progress Software Corp. (b) 4,774 105,362
Puma Technology, Inc. (b) 4,900 34,202
Sonic Solutions (b) 2,500 44,500
Symmetricom, Inc. (b) 6,200 44,640
Varian Semiconductor Equipment
Associates, Inc. (b) 4,244 205,197
Varian, Inc. (b) 5,024 179,909
Westell Technologies, Inc.,
Class A (b) 6,500 54,145
Wilson Greatbatch
Technologies, Inc. (b) 2,600 98,020
----------
3,557,817
----------
2003 ANNUAL REPORT 57
- --------------------------------------------------------------------------------
STATEMENT OF INVESTMENTS (Continued)
October 31, 2003
NATIONWIDE SMALL CAP INDEX FUND (Continued)
COMMON STOCKS (CONTINUED)
SHARES OR
PRINCIPAL
AMOUNT VALUE
- -----------------------------------------------------------------------------------
TELECOMMUNICATIONS (1.6%)
Aehter Systems, Inc. (b) 5,400 $ 25,920
Align Technology, Inc. (b) 6,700 103,314
Anaren Microwave, Inc. (b) 2,563 36,266
Applied Signal Technology, Inc. 1,700 35,190
Arris Group, Inc. (b) 7,100 42,600
Aspect Communications Corp. (b) 4,800 64,944
Boston Communications Group,
Inc. (b) 2,579 24,294
Centennial Communications Corp. (b) 1,200 7,200
Centillium Communications, Inc. (b) 3,504 18,781
Cincinnati Bell, Inc. (b) 26,000 132,860
Commonwealth Telephone
Enterprises, Inc. (b) 3,816 155,540
Computer Network Technology
Corp. (b) 4,700 46,530
Comtech Telecommunications
Corp. (b) 1,850 54,483
Corvis Corp. (b) 48,000 68,640
CT Communications, Inc. 2,800 38,892
D&E Communications, Inc. 2,100 29,589
Ditech Communications Corp. (b) 2,600 27,430
Dobson Communications Corp. (b) 1,900 16,473
Finisar Corp. (b) 19,900 61,690
General Cable Corp. (b) 3,900 37,011
General Communication, Inc. (b) 8,400 82,824
Golden Telecom, Inc. (b) 2,000 51,842
Hickory Tech Corp. 948 11,329
Hungarian Telephone & Cable
Corp. (b) 100 971
INET Technologies, Inc. (b) 2,960 39,812
Infonet Services Corp., Class B (b) 5,100 12,087
InfoSpace, Inc. (b) 3,900 101,712
InterVoice-Brite, Inc. (b) 4,800 49,968
Lightbridge, Inc. (b) 3,964 38,054
McleodUSA, Inc., Class A (b) 13,900 16,402
Metro One Telecommunications,
Inc. (b) 3,608 9,525
Neon Communications, Inc. (b) 125 0
NII Holdings, Inc., Class B (b) 2,300 177,307
North Pittsburgh Systems, Inc. 1,463 26,890
Price Communications Corp. (b) 4,693 58,991
Primus Telecommunications Group,
Inc. (b) 7,700 70,994
RCN Corp. (b) 8,900 12,193
Regent Communications, Inc. (b) 3,100 18,538
SBA Communications Corp. (b) 3,600 14,652
Shenandoah Telecommunications Co. 300 12,708
Surewest Communications 2,100 83,727
Talk America Holdings, Inc. (b) 4,799 59,892
Tellium Inc. (b) 17,600 28,512
Tollgrade Communications, Inc. (b) 2,300 36,041
Triton PCS Holdings, Inc. (b) 2,600 11,674
Warwick Valley Telephone Co. 1,500 47,250
Western Wireless Corp., Class A (b) 8,900 172,660
WilTel Communications Group, Inc. (b) 4,200 74,466
XO Communications, Inc. (b) 5,400 0
------------
2,348,668
------------
SHARES OR
PRINCIPAL AMOUNT VALUE
- -----------------------------------------------------------------------
TIRE & RUBBER (0.3%)
Bandag, Inc. 1,287 $ 47,104
Cooper Tire & Rubber Co. 11,400 224,124
Goodyear Tire & Rubber Co, (The) 25,400 174,244
----------
445,472
----------
- -----------------------------------------------------------------------
TOBACCO (0.2%)
DIMON, Inc. 7,245 52,164
Standard Commercial Corp. 1,100 20,988
Star Scientific, Inc. (b) 4,200 8,022
Universal Corp. 4,295 187,176
Vector Group Ltd. 4,464 70,308
----------
338,658
----------
- -----------------------------------------------------------------------
TRANSPORTATION SERVICES (1.4%)
Alexander & Baldwin, Inc. 7,052 218,683
Ambassadors International, Inc. 1,500 19,200
Arkansas Best Corp. 3,999 132,407
Covenant Transport, Inc., Class A (b) 1,900 36,233
EGL, Inc. (b) 5,729 93,440
Forward Air Corp. (b) 1,200 34,896
Genesee & Wyoming, Inc., Class A (b) 1,400 34,034
Greenbrier Companies, Inc. (b) 200 2,528
Gulfmark Offshore, Inc. (b) 2,500 34,900
Heartland Express, Inc. 4,743 117,816
Interpool, Inc. 374 5,460
Kansas City Southern Industries, Inc. (b) 9,724 128,649
Kirby Corp. (b) 2,544 74,743
Knight Transportation, Inc. (b) 4,563 114,851
Landstar System, Inc. (b) 2,572 187,859
Maritrans, Inc. 300 4,728
Navigant International, Inc. (b) 2,889 43,537
Offshore Logistics, Inc. (b) 2,200 47,960
Old Dominion Freight Line, Inc. (b) 2,100 67,347
Overseas Shipholding Group, Inc. 2,171 59,181
P.A.M. Transportation Services, Inc. (b) 400 7,560
Pacer International, Inc. (b) 3,600 74,232
Pegasus Solutions, Inc. (b) 4,766 52,045
Petroleum Helicopters, Inc. (b) 400 12,360
RailAmerica, Inc. (b) 3,198 33,963
Roadway Corp. 1,845 94,556
SCS Transportation, Inc. (b) 2,429 36,459
Seabulk International, Inc. (b) 700 5,355
U.S. Xpress Enterprises, Inc. (b) 600 7,632
Yellow Corp. (b) 5,158 169,440
----------
1,952,054
----------
58 ANNUAL REPORT 2003
- --------------------------------------------------------------------------------
SHARES OR
PRINCIPAL AMOUNT VALUE
- ----------------------------------------------------------------------------------------
UTILITIES (1.5%)
Allegheny Energy, Inc. (b) 21,600 $ 228,528
Black Hills Corp. 5,700 183,369
Central Vermont Public
Service Corp. 1,347 30,981
CH Energy Group, Inc. 2,663 116,639
CMS Energy Corp. 20,400 165,648
Empire District Electric Co. 3,673 77,868
FuelCell Energy, Inc. (b) 5,400 82,404
Headwaters, Inc. (b) 4,904 91,901
IDACORP, Inc. 6,600 179,190
Littlelfuse, Inc. (b) 2,618 69,639
MGE Energy, Inc. 2,477 78,521
Otter Tail Co. 3,600 96,084
PNM Resources, Inc. 5,953 168,351
Sierra Pacific Resources (b) 19,511 116,481
Time Warner Telecom, Inc. (b) 6,500 67,275
UIL Holdings Corp. 2,273 85,374
UniSource Energy Corp. 3,861 74,517
Westar Energy, Inc. 11,700 233,765
-----------
2,146,535
-----------
- ----------------------------------------------------------------------------------------
WAREHOUSING (0.0%)
Mobile Mini, Inc. (b) 2,727 57,512
-----------
- ----------------------------------------------------------------------------------------
WATER (0.2%)
American States Water Co. 1,686 41,307
California Water Service Group 3,100 84,785
Connecticut Water Service, Inc. 911 27,029
Ionics, Inc. (b) 3,470 98,861
Middlesex Water Co. 912 23,721
Southwest Water Co. 1,745 25,215
-----------
300,918
-----------
- ----------------------------------------------------------------------------------------
WIRELESS EQUIPMENT (0.3%)
Powerwave Technologies, Inc. (b) 11,823 76,968
Remec, Inc. (b) 10,129 111,723
SpectraLink Corp. (b) 2,953 51,973
Universal Electronics, Inc. (b) 1,556 20,228
ViaSat, Inc. (b) 3,969 77,911
Wireless Facilities, Inc. (b) 5,087 87,395
-----------
426,198
-----------
TOTAL COMMON STOCKS 130,921,473
------------
COMMON STOCKS (CONTINUED)
REPURCHASE AGREEMENTS (7.7%)
SHARES OR
PRINCIPAL AMOUNT VALUE
CS First Boston, 0.94% dated 10/31/03,
due 11/03/03, repurchase price $5,520,709
(Fully collateralized by AA Rated Corporate Bonds) $ 5,520,277 $ 5,520,277
Lehman Brothers, Inc., 0.94% dated 10/31/03,
due 11/03/03, repurchase price $1,022,349
(Fully collateralized by U.S. Agency Securities) 1,022,269 1,022,269
Nomura Securities, 0.94% dated 10/31/03,
due 11/03/03, repurchase price $4,416,568
(Fully collateralized by AA Rated Corporate Bonds) 4,416,222 4,416,222
------------
TOTAL REPURCHASE AGREEMENTS 10,958,768
------------
SHORT-TERM INVESTMENTS PURCHASED WITH CASH COLLATERAL
RECEIVED FOR SECURITIES ON LOAN (17.7%)
REPURCHASE AGREEMENT (17.7%)
Nomura Securites, 1.07%, dated 10/31/03,
due 11/03/03, repurchase price $25,222,441
(Fully collateralized by U.S. Agency Securities) 25,220,192 25,220,192
------------
TOTAL SHORT-TERM INVESTMENTS PURCHASED WITH CASH
COLLATERAL RECEIVED FOR SECURITIES ON LOAN 25,220,192
------------
TOTAL INVESTMENTS (COST $148,012,989) (A) - 117.3% 167,100,433
LIABILITIES IN EXCESS OF OTHER ASSETS - (17.3)% (24,583,914)
------------
NET ASSETS - 100.0% $142,516,519
=============
(a) See notes to financial statements for unrealized appreciation
(depreciation) of securities.
(b) Denotes a non-income producing security.
At October, 31 2003 the Fund's open long futures contracts were as follows:
NUMBER OF LONG COVERED BY APPRECIATION
CONTRACTS CONTRACTS* EXPIRATION CONTRACTS (DEPRECIATION)
- -----------------------------------------------------------------
44 Russell 2000 12/19/03 $11,623,700 $ 101,745
* Cash pledged as collateral.
SEE NOTES TO FINANCIAL STATEMENTS.
2003 ANNUAL REPORT 59
- --------------------------------------------------------------------------------
NATIONWIDE INTERNATIONAL INDEX FUND
Class A Shares symbol: NIXAX
Class B Shares symbol: NIXBX
Institutional Class symbol: NIXIX
HOW DID THE FUND PERFORM?
For the annual period ended Oct. 31, 2003, the Fund returned 25.51%* versus
27.56% for its benchmark, the Morgan Stanley Capital International Europe,
Australasia and Far East (MSCI EAFE) Index.
For broader comparison, the average return for this Fund's peer category
(International Funds) was 24.51%, according to Lipper, an independent company
that provides mutual fund data and analysis.
WHAT MARKET/ECONOMIC AND PORTFOLIO-SPECIFIC FACTORS INFLUENCED PERFORMANCE?
Markets were volatile during the period as corporate scandals, terrorism, war
anxieties and economic uncertainty depressed investor sentiment. Once
geopolitical risks abated after the resolution of major military conflict in
Iraq, investor sentiment improved and markets began to rise in March. The rally
was notable for the participation of all sectors and countries. The upturn
remained steady and, although a slight pullback occurred in September, the
markets finished the period with strong performance in October.
Looking at individual country performance, all 21 EAFE countries posted positive
returns for the period. Austria was the leader, with a return of 51.37%. Other
top-performing countries were Sweden, returning 50.10%, and Greece, with 44.61%.
Bottom performers were Finland, the Netherlands, and the United Kingdom with
respective returns of 12.40%, 13.55% and 20.25%.
Turning to sector performance, all 10 EAFE sectors posted positive returns for
the period. Top performers were information technology, with 44.24%;
industrials, with 41.17%; and materials, with 40.34%. The worst-performing
sector was consumer staples, returning 11.91%, followed by health care and
energy, with respective returns of 13.43% and 14.02%.
DESCRIBE THE FUND'S TOP HOLDINGS AND ANY SIGNIFICANT TRANSACTIONS MADE DURING
THE PERIOD.
The Fund's top security holdings at the end of the period were HSBC Holdings
plc, BP plc and Vodafone Group. Fund weightings for each security are determined
by the security's respective benchmark weighting. All Fund transactions during
the period were driven either by changes to the composition of the benchmark
Index or by Fund subscriptions/redemptions.
HOW IS THE FUND POSITIONED?
Global markets have rebounded significantly since October 2002 because of
improved corporate earnings, low interest rates and strong economic growth. This
trend is expected to continue during the remainder of 2003 and beyond. Iraq
remains on the radar screen, because reports of conflicts and casualties
continue to make frequent headlines. Despite this news, however, investors
appear to be leaving the sidelines and re-entering the equity markets.
Recent economic data, such as gross domestic product growth, points to an
acceleration in global activity. In the midst of these strong results, the bears
believe that economic growth peaked during the third quarter and that news will
become less positive. And so the tug of war continues between those who expect
the market to keep barreling ahead and those who foresee a backlash. The Fund is
positioned to continue to meet its objective of replicating the risks and
returns of its benchmark.
PORTFOLIO MANAGER: Fund Asset Management, L.P. - Subadviser
* Performance of Class A shares without sales charge and assuming all
distributions are reinvested.
PORTFOLIO MARKET VALUE $379,265,332
OCTOBER 31, 2003
AVERAGE ANNUAL TOTAL RETURN
(For Periods Ended October 31, 2003)
1 YR. INCEPTION1
- ---------------------------------------------------
Class A w/o SC2 25.51% -9.33%
w/SC3 18.38% -10.71%
- ---------------------------------------------------
Class B w/o SC2 24.88% -9.97%
w/SC4 19.88% -10.66%
- ---------------------------------------------------
Institutional Class5 25.90% -8.98%
- ---------------------------------------------------
All figures showing the effect of a sales charge reflect the maximum charge
possible, because it has the most dramatic effect on performance data.
1 Commenced operations on December 29, 1999.
2 These returns do not reflect the effects of sales charges (SC).
3 A 5.75% front-end sales charge was deducted.
4 A 5.00% maximum contingent deferred sales charge (CDSC) was deducted. The
CDSC declines to 0% after 6 years.
5 Not subject to any sales charges.
GROWTH OF A $10,000 INVESTMENT
INVESTMENT RETURN AND PRINCIPAL VALUE WILL FLUCTUATE, AND WHEN REDEEMED, SHARES
MAY BE WORTH MORE OR LESS THAN ORIGINAL COST. PAST PERFORMANCE IS NO GUARANTEE
OF FUTURE RESULTS.
Date Class A MSCI EAFE CPI
- --------------------------------------
12/29/1999 9,425 10,000 10,000
10/31/2000 8,197 8,629 10,339
10/31/2001 6,112 6,499 10,559
10/31/2002 5,155 5,659 10,772
10/31/2003 6,470 7,219 11,043
Comparative performance of $10,000 invested in Class A shares of the Nationwide
International Index Fund, the Morgan Stanley Capital International - Europe,
Australasia, and Far East Index (MSCI EAFE)(a), and the Consumer Price Index
(CPI)(b) since inception. Unlike the Fund, the returns for these indices do not
reflect any fees, expenses, or sales charges.
(a) The MSCI EAFE is an unmanaged index that measures the performance of equity
securities of global companies from various industrial sectors whose
primary trading markets are located outside the United States.
(b) The CPI represents changes in prices of a basket of goods and services
purchased for consumption by urban households.
60 ANNUAL REPORT 2003
- --------------------------------------------------------------------------------
STATEMENT OF INVESTMENTS
October 31, 2003
NATIONWIDE INTERNATIONAL INDEX FUND
COMMON STOCKS (88.0%)
SHARES OR
PRINCIPAL
AMOUNT VALUE
- ----------------------------------------------------------------
AUSTRALIA (4.4%)
BANKS (1.5%)
Australia & New Zealand Banking
Group Ltd. 78,479 $ 991,189
Commonwealth Bank of Australia 57,530 1,122,561
Macquarie Bank Ltd. 13,420 331,752
National Australia Bank Ltd. 75,552 1,639,867
Suncorp-Metway Ltd. 18,917 174,091
Westpac Banking Corp. Ltd. 91,596 1,049,620
-----------
5,309,080
-----------
BEVERAGES (0.0%)
Southcorp Ltd. 9,759 21,466
-----------
BREWERY (0.1%)
Foster's Group Ltd. 130,383 422,786
-----------
BUILDING & CONSTRUCTION (0.1%)
Boral Ltd. 29,092 113,532
CSR Ltd. 87,698 131,920
James Hardie Industries NV 20,044 101,973
Leighton Holdings Ltd. 7,015 56,594
Rinker Group Ltd. 27,421 123,549
-----------
527,568
-----------
CASINO & GAMBLING (0.0%)
Aristocrat Leisure Ltd. 25,179 42,342
-----------
COMMERCIAL SERVICES (0.1%)
Brambles Industries Ltd. 82,474 273,286
Mayne Nickless Ltd. 29,544 76,305
-----------
349,591
-----------
COMPUTER SOFTWARE/SERVICES (0.0%)
Computershare Ltd. 130 330
-----------
DIVERSIFIED (0.1%)
Orica Ltd. 10,159 95,222
Patrick Corporation Ltd. 8,314 86,128
Wesfarmers Ltd. 13,054 268,612
-----------
449,962
-----------
ENERGY (0.1%)
Australian Gas and Light Co. Ltd. 23,121 175,539
Origin Energy Ltd. 13,117 40,021
Santos Ltd. 7,984 34,613
Woodside Petroleum Ltd. 32,899 308,834
-----------
559,007
-----------
ENTERTAINMENT (0.0%)
TABCORP Holdings Ltd. 22,488 184,934
-----------
FOOD PRODUCTS (0.2%)
Coles Myer Ltd. 33,201 183,044
Woolworths Ltd. 48,648 383,842
-----------
566,886
-----------
SHARES OR
PRINCIPAL AMOUNT VALUE
- ----------------------------------------------------------------
AUSTRALIA (continued)
FOOD/BEVERAGE (0.0%)
Coca-Cola Amatil Ltd. 27,843 $ 116,363
-----------
HEALTHCARE (0.0%)
Cochlear Ltd. 113 2,526
-----------
INDUSTRIAL (0.1%)
BHP Steel Ltd. 52,545 202,075
OneSteel Ltd. 38,310 60,346
-----------
262,421
-----------
INSURANCE (0.2%)
AMP Ltd. 85,037 397,024
Insurance Australia Group Ltd. 83,892 264,889
QBE Insurance Group Ltd. 32,211 235,410
-----------
897,323
-----------
INVESTMENT COMPANY (0.1%)
Macquarie Infrastructure Group 88,133 198,235
-----------
MANUFACTURING (0.0%)
Ansell Ltd. 20,438 100,352
-----------
METALS & MINING (0.3%)
Newcrest Mining Ltd. 15,481 132,693
Rio Tinto Ltd. 17,231 435,866
WMC Ltd. 32,177 136,074
WMC Resources Ltd. (b) 97,695 354,916
-----------
1,059,549
-----------
MINERALS (0.6%)
BHP Billiton Ltd. 208,603 1,734,728
Iluka Resources Ltd. 25,244 83,648
-----------
1,818,376
-----------
MULTI-MEDIA (0.2%)
News Corp. Ltd. 64,541 574,728
Publishing & Broadcasting Ltd. 10,713 91,597
-----------
666,325
-----------
PAPER PRODUCTS (0.1%)
Amcor Ltd. 46,820 282,380
Paperlinx Ltd. 35,326 127,082
-----------
409,462
-----------
PHARMACEUTICALS (0.0%)
CSL Ltd. 10,588 127,716
-----------
PRINTING & PUBLISHING (0.1%)
John Fairfax Holdings Ltd. 78,077 200,546
-----------
2003 ANNUAL REPORT 61
- --------------------------------------------------------------------------------
STATEMENT OF INVESTMENTS (Continued)
October 31, 2003
NATIONWIDE INTERNATIONAL INDEX FUND (Continued)
COMMON STOCKS (CONTINUED)
SHARES OR
PRINCIPAL
AMOUNT VALUE
- ----------------------------------------------------------
AUSTRALIA (continued)
PROPERTY TRUST (0.3%)
Centro Properties Group 54,564 $ 146,733
Commonwealth Property Office Fund 41,696 34,319
Gandel Retail Trust 95,679 87,577
General Property Trust 93,808 185,706
Investa Property Group 188,634 258,321
Mirvac Group 13,234 40,002
Stockland Trust Group 77,233 265,784
Westfield Trust 83,186 196,552
------------
1,214,994
------------
PUBLIC THOROUGHFARES (0.0%)
Transurban Group 35,367 104,394
------------
REAL ESTATE (0.1%)
Lend Lease Corp. Ltd. 29,850 237,429
Westfield Holdings Ltd. 13,602 137,145
------------
374,574
------------
RETAIL (0.0%)
Harvey Norman Holdings Ltd. 31,561 75,244
------------
TELECOMMUNICATIONS (0.1%)
Telstra Corp. Ltd. 102,779 345,673
------------
16,408,025
------------
- ----------------------------------------------------------
AUSTRIA (0.2%)
AIRPORTS (0.0%)
Flughafen Wien AG 4 163
------------
BANKS (0.2%)
Bank Austria Creditanstalt (b) 2,794 121,736
Ersete Bank Der Oesterreichischen
Sparkassen AG 2,512 277,740
------------
399,476
------------
BUILDING & CONSTRUCTION (0.0%)
Wienerberger AG 14 298
------------
ENERGY (0.0%)
OMV AG 756 96,674
------------
INDUSTRIAL (0.0%)
VA Technologie AG (b) 998 26,846
------------
MANUFACTURING (0.0%)
RHI AG (b) 3,355 47,816
------------
PAPER PRODUCTS (0.0%)
Mayr-Melnhof Karton AG 7 700
------------
STEEL (0.0%)
Boehler-Uddeholm AG 7 402
Voest-Alpine AG 1,108 39,672
------------
40,074
------------
SHARES OR
PRINCIPAL
AMOUNT VALUE
- -----------------------------------------------------------
AUSTRIA (continued)
TELECOMMUNICATIONS (0.0%)
Telekom Austria AG (b) 5,086 $ 54,040
------------
UTILITIES (0.0%)
Oesterrichische
Elektrizktaetswirtschafts AG 5 471
------------
666,558
------------
- ----------------------------------------------------------
BELGIUM (0.9%)
BANKS (0.6%)
Dexia 37,287 587,340
Fortis 58,567 1,044,411
KBC Bankverzekeringsholding 2,655 112,624
------------
1,744,375
------------
BREWERY (0.1%)
Interbrew 8,294 194,185
------------
CHEMICALS (0.0%)
Solvay SA 2,452 182,571
------------
DIVERSIFIED (0.0%)
Groupe Bruxelles Lambert SA 1,873 90,469
------------
ELECTRONICS (0.0%)
Barco NV 1,038 76,624
------------
FOOD PRODUCTS (0.0%)
Colruyt NV 727 65,921
------------
METALS (0.0%)
Umicore 2,120 129,017
------------
PHARMACEUTICALS (0.0%)
Omega Pharma SA 1,722 53,028
UCB SA 3,295 103,920
------------
156,948
------------
PHOTOGRAPHIC PRODUCTS (0.0%)
AGFA Gevaert NV 4,443 110,272
------------
REAL ESTATE (0.0%)
Cofinimmo 646 80,505
------------
RETAIL (0.1%)
Delhaize Le Lion SA 5,292 251,307
------------
TELECOMMUNICATIONS (0.0%)
Mobistar SA (b) 1,253 62,926
------------
UTILITIES (0.1%)
Electrabel SA 1,478 408,754
------------
3,553,874
------------
62 ANNUAL REPORT 2003
- --------------------------------------------------------------------------------
COMMON STOCKS (CONTINUED)
SHARES OR
PRINCIPAL AMOUNT VALUE
- -----------------------------------------------------------------------------------------
DENMARK (0.7%)
BANKS (0.2%)
Danske Bank AS 31,430 $ 634,050
----------
BREWERY (0.0%)
Carlsberg AG 208 8,636
----------
COMMERCIAL SERVICES (0.1%)
ISS International Service System AS 4,697 224,032
----------
ELECTRONICS (0.1%)
Vestas Wind Systems AS 9,122 191,868
----------
FOOD PRODUCTS (0.0%)
Danisco AS 1,189 45,741
----------
HEALTHCARE (0.0%)
Coloplast AS 1,495 125,781
----------
INSURANCE (0.0%)
Topdanmark AS (b) 2,500 124,325
----------
PHARMACEUTICALS (0.1%)
H. Lunbeck AS 799 14,682
Novo Nordisk AS, Class B 14,434 519,164
----------
533,846
----------
SECURITY SERVICES (0.0%)
Group 4 Falck AS 6,139 137,765
----------
TELECOMMUNICATIONS (0.1%)
GN Store Nord AS (GN Great Nordic) (b) 4,553 29,549
TDC AS 6,811 218,883
----------
248,432
----------
TRANSPORTATION (0.1%)
A/S Dampskibsselskabet Svendborg 56 439,624
----------
2,714,100
----------
- -----------------------------------------------------------------------------------------
FINLAND (1.5%)
COMPUTER SOFTWARE/SERVICES (0.0%)
TietoEnator Oyj 3,989 105,728
----------
FINANCIAL SERVICES (0.0%)
Sampo Insurance Co. Oyj 4,698 39,541
----------
INDUSTRIAL (0.0%)
Metso Oyj 6,121 68,595
----------
INSURANCE (0.0%)
Pohjola Group PLC, Class D 1,201 27,072
----------
MACHINERY & EQUIPMENT (0.1%)
KCI Konecranes Oyj 2,453 73,315
Kone Corporation, Class B 2,254 117,781
----------
191,096
----------
SHARES OR
PRINCIPAL AMOUNT VALUE
- ----------------------------------------------------------------------------------------
FINLAND (continued)
MANUFACTURING (0.0%)
Amer Group Ltd. 1,163 $ 44,278
----------
METALS (0.0%)
Outokumpu Oyj 2,868 34,707
----------
OIL & GAS (0.0%)
Fortum Oyj 14,213 131,024
----------
PAPER PRODUCTS (0.3%)
Stora Enso Oyj 35,760 486,381
UPM-Kymmene Oyj 27,535 515,352
----------
1,001,733
----------
TELECOMMUNICATIONS (1.1%)
Elisa Oyj (b) 5,100 60,770
Nokia Oyj 235,705 4,003,243
----------
4,064,013
----------
TIRE & RUBBER (0.0%)
Nokian Renkaat Oyj 1,571 117,357
----------
5,825,144
----------
- -----------------------------------------------------------------------------------------
FRANCE (7.9%)
ADVERTISING (0.1%)
Publicis Groupe SA 6,730 210,456
----------
AEROSPACE/DEFENSE (0.1%)
European Aeronautic Defence and Space Co. 12,223 248,661
Thales SA 3,052 87,989
Zodiac SA 4,032 119,149
----------
455,799
----------
AIRLINES (0.0%)
Air France 332 5,311
----------
AUTOMOTIVE (0.3%)
PSA Peugeot Citroen 11,594 497,339
Renault SA 8,441 558,341
Valeo SA 5,206 194,934
----------
1,250,614
----------
BANKS (0.9%)
Banque Nationale de Paris 37,569 1,974,062
Credit Agricole SA 16,790 356,601
Societe BIC SA 107 4,431
Societe Generale 16,074 1,194,037
----------
3,529,131
----------
BUILDING & CONSTRUCTION (0.3%)
Compagnie Francaise d'Etudes et de Construction Technip SA 756 74,702
Lafarge SA 9,902 709,082
Vinci SA 4,021 291,450
----------
1,075,234
----------
2003 ANNUAL REPORT 63
- --------------------------------------------------------------------------------
STATEMENT OF INVESTMENTS (Continued)
October 31, 2003
NATIONWIDE INTERNATIONAL INDEX FUND
COMMON STOCKS (CONTINUED)
SHARES OR
PRINCIPAL
AMOUNT VALUE
- ------------------------------------------------------------------------------
FRANCE (continued)
CHEMICALS (0.2%)
L'Air Liquide SA 4,999 $ 740,946
-----------
COMPUTER SOFTWARE/SERVICES (0.2%)
Atos Origin SA (b) 1,433 95,621
Business Objects SA (b) 4,759 156,012
Cap Gemini SA (b) 6,080 306,397
Dassault Systems SA 1,534 65,090
-----------
623,120
-----------
COSMETICS/PERSONAL CARE (0.3%)
L'Oreal SA 15,371 1,136,455
-----------
DATA/INTERNET (0.0%)
Wanadoo (b) 13,300 98,952
-----------
ELECTRONICS & ELECTRICAL EQUIPMENT (0.2%)
Alstom (b) 19,773 62,982
Schneider Electric SA 9,783 572,618
Thomson Multimedia 8,515 179,364
-----------
814,964
-----------
ENERGY (1.2%)
TotalFinaElf SA 28,931 4,496,636
-----------
ENTERTAINMENT (0.3%)
Vivendi Universal SA (b) 48,194 1,012,381
-----------
FINANCIAL SERVICES (0.1%)
Pernod Ricard SA 3,324 320,724
-----------
FOOD PRODUCTS (0.7%)
Carrefour SA 26,175 1,374,148
Casino Guichard Perrachon SA 2,082 190,601
Groupe Danone 6,418 968,428
-----------
2,533,177
-----------
HEALTHCARE (0.4%)
Essilor International SA 6,314 303,730
Sanofi-Synthelabo SA 17,093 1,058,110
-----------
1,361,840
-----------
HOTELS & LODGING (0.1%)
Accor SA 10,910 429,062
-----------
INSURANCE (0.3%)
AXA 67,539 1,279,780
-----------
MANUFACTURING (0.3%)
Compagnie de Saint-Gobain 16,617 701,023
Compagnie Generale des Etablissements Michelin 9,254 363,075
-----------
1,064,098
-----------
SHARES OR
PRINCIPAL AMOUNT VALUE
- ------------------------------------------------------------------------------
FRANCE (continued)
METALS & MINING (0.1%)
Pechiney SA 4,776 $ 264,002
-----------
PHARMACEUTICALS (0.5%)
Aventis SA 34,572 1,830,652
-----------
PRINTING & PUBLISHING (0.1%)
Lagardere S.C.A. 6,821 343,106
-----------
PUBLIC THOROUGHFARES (0.0%)
Autoroutes du Sud de la France 800 24,645
-----------
REAL ESTATE (0.1%)
Gecina 654 81,958
Klepierre 1,997 106,441
Unibail SA 1,899 149,785
-----------
338,184
-----------
RESTAURANTS (0.0%)
Sodexho Alliance SA 3,876 101,382
-----------
RETAIL (0.1%)
Pinault-Printemps-Redoute SA 4,489 457,398
-----------
TELECOMMUNICATIONS (0.8%)
Alcatel SA (b) 58,164 767,438
Bouygues SA 8,955 243,598
France Telecom SA (b) 46,427 1,123,684
LVMH Moet Louis Vuitton
Hennessy SA 10,644 735,614
Sagem SA 442 45,114
-----------
2,915,448
-----------
TELEVISION (0.0%)
Societe Television Francaise 1 6,140 184,154
-----------
UTILITIES (0.2%)
Suez SA 39,632 635,796
Veolia Environnement 8,315 185,591
-----------
821,387
-----------
29,719,038
-----------
- ------------------------------------------------------------------------------
GERMANY (5.6%)
AIRLINES (0.0%)
Lufthansa AG 11,616 180,948
-----------
APPAREL (0.1%)
Adidas AG 2,637 243,402
Puma AG 800 115,506
-----------
358,908
-----------
64 ANNUAL REPORT 2003
- --------------------------------------------------------------------------------
COMMON STOCKS (CONTINUED)
SHARES OR
PRINCIPAL
AMOUNT VALUE
- -------------------------------------------------------------------
GERMANY (continued)
AUTOMOTIVE (0.7%)
DaimlerChrysler AG 42,071 $ 1,567,487
Deutsche Post AG 16,809 325,349
Porsche AG 536 262,948
Volkswagen AG 10,394 524,403
-----------
2,680,187
-----------
BANKS (0.8%)
Bayerische Vereins AG (b) 19,361 422,685
Commerzbank AG 25,282 496,696
Deutsche Bank AG 26,165 1,724,633
Hypo Real Estate Holding AG (b) 4,840 83,558
-----------
2,727,572
-----------
CHEMICALS (0.6%)
BASF AG 26,422 1,213,265
Bayer AG 34,272 820,330
Henkel KGaA 3,366 246,557
-----------
2,280,152
-----------
COMPUTER SOFTWARE/SERVICES (0.4%)
Sap AG 10,489 1,520,525
-----------
ELECTRONICS & ELECTRICAL
EQUIPMENT (0.0%)
Epcos AG (b) 2,353 48,006
-----------
FINANCIAL SERVICES (0.1%)
Deutsche Boerse AG 5,726 318,513
MLP AG (b) 2,663 50,708
-----------
369,221
-----------
HEALTHCARE (0.0%)
Fresenius Medical Care AG 1,499 85,387
-----------
HOTELS & LODGING (0.0%)
Preussag AG 8,139 142,397
-----------
INDUSTRIAL (0.9%)
Linde AG 2,656 121,188
MAN AG 5,831 160,312
Siemens AG 38,251 2,570,180
-----------
2,851,680
-----------
INSURANCE (0.5%)
Allianz AG 11,982 1,282,868
Muenchener Rueckversicherungs-
Gesellschaft AG 6,152 733,764
-----------
2,016,632
-----------
MANUFACTURING (0.1%)
Continental AG 8,885 302,634
-----------
METALS & MINING (0.1%)
Thyssen Krupp AG 16,914 280,388
-----------
SHARES OR
PRINCIPAL
AMOUNT VALUE
- -------------------------------------------------------------------
GERMANY (continued)
PERSONAL CARE (0.0%)
Beiersdorf AG 682 $ 77,221
-----------
PHARMACEUTICALS (0.2%)
Altana AG 4,196 264,379
Merck KGaA 3,055 108,319
Schering AG 9,778 459,792
-----------
832,490
-----------
RETAIL (0.1%)
Douglas Holding AG 2,243 65,187
Karstadt AG 885 21,914
Metro AG 7,390 299,821
-----------
386,922
-----------
SEMICONDUCTORS (0.1%)
Infineon Technologies AG (b) 26,801 395,683
-----------
TELECOMMUNICATIONS (0.4%)
Deutsche Telecom AG (b) 96,948 1,521,478
-----------
UTILITIES (0.5%)
E.On AG 29,721 1,496,044
RWE AG 17,054 473,824
-----------
1,969,868
-----------
21,028,299
-----------
- -------------------------------------------------------------------
GREECE (0.3%)
BANKS (0.2%)
Alpha Bank A.E. 9,768 220,746
Commercial Bank of Greece SA 2,765 58,565
Eurobank 4,199 71,853
National Bank of Greece SA 6,204 129,819
-----------
480,983
-----------
BEVERAGES (0.0%)
Hellenic Bottling Co. SA 1,143 22,137
-----------
BUILDING & CONSTRUCTION (0.0%)
Hellenic Technodomiki Tev SA 9,989 52,719
Technical Olympic SA 12,569 61,953
-----------
114,672
-----------
CASINO & GAMBLING (0.0%)
Greek Organization of Football Prognostics 12,197 150,298
-----------
ELECTRIC UTILITY (0.0%)
Public Power Corp. 2,935 63,257
-----------
RETAIL (0.0%)
Hellenic Duty Free Shops SA 5,509 92,477
-----------
2003 ANNUAL REPORT 65
- --------------------------------------------------------------------------------
STATEMENT OF INVESTMENTS (Continued)
October 31, 2003
NATIONWIDE INTERNATIONAL INDEX FUND (Continued)
COMMON STOCKS (CONTINUED)
SHARES OR
PRINCIPAL
AMOUNT VALUE
- -----------------------------------------------------------------
GREECE (continued)
TELECOMMUNICATIONS (0.1%)
Hellenic Telecommunication
Organization SA 16,686 $ 186,992
Intracom SA 2,323 15,987
Panafon Hellenic Telecom SA 13,993 97,601
----------
300,580
----------
1,224,404
----------
- -----------------------------------------------------------------
HONG KONG (1.3%)
AIRLINES (0.0%)
Cathay Pacific Airways Ltd. 89,000 170,191
----------
BANKS (0.2%)
Bank of East Asia Ltd. 32,200 96,197
BOC Hong Kong Holdings Ltd. 96,000 166,270
Hang Seng Bank Ltd. 38,100 475,900
----------
738,367
----------
BROADCASTING & TELEVISION (0.0%)
I-Cable Communications Ltd. 2,100 533
Television Broadcasts Ltd. 14,000 66,343
----------
66,876
----------
DISTRIBUTION (0.1%)
Esprit Asia Holdings Ltd. 30,000 94,261
Li & Fung Ltd. 58,000 97,467
----------
191,728
----------
DIVERSIFIED OPERATIONS (0.1%)
Swire Pacific Ltd. 38,500 234,995
The Wharf (Holdings) Ltd. 21,000 52,867
----------
287,862
----------
ELECTRONICS & ELECTRICAL EQUIPMENT (0.1%)
Hongkong Electric Holdings Ltd. 56,500 220,450
Johnson Electric Holdings Ltd. 48,500 63,079
----------
283,529
----------
FINANCIAL SERVICES (0.0%)
Hong Kong Exchanges &
Clearing Ltd. 72,000 156,689
----------
INDUSTRIAL (0.2%)
Hutchison Whampoa Ltd. 99,000 768,089
----------
MANUFACTURING (0.0%)
Yue Yuen Industrial Holdings Ltd. 33,000 93,488
----------
PRINTING & PUBLISHING (0.0%)
South China Morning Post Ltd. 4,000 1,957
----------
SHARES OR
PRINCIPAL AMOUNT VALUE
- ----------------------------------------------------------------
HONG KONG (continued)
REAL ESTATE (0.4%)
Cheung Kong Holdings Ltd. 67,000 $ 558,642
Henderson Land Development Co. Ltd. 27,000 113,345
Hopewell Holdings Ltd. 71,581 118,907
New World Developments Co. 3,666 2,349
Sun Hung Kai Properties Ltd. 78,000 660,404
----------
1,453,647
----------
RETAIL (0.0%)
Giordano International Ltd. 110,000 49,577
----------
TELECOMMUNICATIONS (0.1%)
PCCW Ltd. (b) 294,400 210,402
----------
TRANSPORTATION (0.0%)
MTR Corp. Ltd. 15,000 20,378
----------
UTILITIES (0.1%)
CLP Holdings Ltd. 63,500 287,012
Hong Kong & China Gas Co. Ltd. 100,100 138,568
----------
425,580
----------
4,918,360
----------
- ----------------------------------------------------------------
IRELAND (0.7%)
AIRLINES (0.0%)
Ryanair Holdings PLC (b) 3,804 32,282
----------
BANKS (0.5%)
Allied Irish Banks PLC 45,898 671,224
Bank of Ireland 62,769 780,039
----------
1,451,263
----------
BUILDING & CONSTRUCTION (0.1%)
CRH PLC 26,142 470,134
----------
CONSUMER PRODUCTS (0.0%)
Waterford Wedgewood PLC 169 57
----------
DIVERSIFIED (0.0%)
DCC PLC 36 483
----------
FINANCIAL SERVICES (0.0%)
Irish Life & Permanent PLC 12,959 181,531
----------
FOOD PRODUCTS (0.0%)
Greencore Group PLC 1,182 4,260
Kerry Group PLC 1,784 31,108
----------
35,368
----------
PHARMACEUTICALS (0.0%)
Elan Corp. PLC (b) 11,494 56,788
----------
RETAIL (0.1%)
Grafton Group PLC (b) 40,643 252,774
----------
2,480,680
----------
66 ANNUAL REPORT 2003
- --------------------------------------------------------------------------------
COMMON STOCKS (CONTINUED)
SHARES OR
PRINCIPAL AMOUNT VALUE
- -------------------------------------------------------------------
ITALY (3.2%)
AEROSPACE/DEFENSE (0.0%)
Finmeccanica SpA 171,778 $ 122,411
-----------
APPAREL (0.0%)
Benetton Group SpA 876 10,418
-----------
AUTOMOTIVE (0.1%)
Fiat SpA (b) 28,580 223,931
-----------
BANKS (0.9%)
Banc Monte Dei Paschi Di Seina SpA 31,502 93,933
Banca di Roma SpA (b) 74,935 209,069
Banca Nazionale del Lavoro
(BNC) (b) 85,844 195,596
Banche Popolari Unite Scrl (b) 16,340 248,838
Banco Popolare di Verona e
Novara Scrl 11,798 182,412
IntesaBci SpA 183,693 619,275
IntesaBci SpA - RNC 20,297 50,966
Mediobanca SpA 14,261 143,403
San Paolo IMI SpA 56,775 638,888
UniCredito Italiano SpA 197,901 975,453
-----------
3,357,833
-----------
BROADCASTING & TELEVISION (0.1%)
Mediaset SpA 34,551 349,039
-----------
CHEMICALS (0.0%)
Snia SpA 17,162 35,911
-----------
ENERGY (0.6%)
Eni SpA 135,129 2,145,815
-----------
FINANCIAL SERVICES (0.1%)
Banca Fideuram SpA 19,235 120,748
Bipop-Carire SpA (b) 20,294 14,320
Mediolanum SpA 15,770 110,179
-----------
245,247
-----------
FOOD PRODUCTS (0.0%)
Parmalat Finanziaria SpA 41,821 130,293
-----------
GAS-TRANSPORTATION (0.0%)
Snam Rete Gas SpA 41,891 157,782
-----------
INSURANCE (0.4%)
Alleanza Assicurazioni SpA 25,887 259,106
Assicurazioni Generali SpA 49,939 1,149,471
Riunione Adriatica di Sicurta SpA 10,852 169,552
-----------
1,578,129
-----------
MEDICAL PRODUCTS (0.0%)
Luxottica Group SA 2,047 32,649
-----------
MULTI-MEDIA (0.1%)
Seat Pagine Gialle SpA (b) 127,612 123,871
Telecom Italia Media SpA (b) 308,068 133,583
-----------
257,454
-----------
SHARES OR
PRINCIPAL AMOUNT VALUE
- ------------------------------------------------------------------
ITALY (continued)
PHARMACEUTICALS (0.0%)
Banca Popolare de Milano 27,896 $ 142,364
-----------
PRINTING & PUBLISHING (0.0%)
Gruppo Editorale L'Espresso SA 5,450 29,207
-----------
RESTAURANTS (0.0%)
Autogrill SpA (b) 50 633
-----------
RETAIL (0.0%)
Bulgari SpA 8,716 78,830
-----------
TELECOMMUNICATIONS (0.7%)
Telecom Italia Mobile SpA 164,332 758,413
Telecom Italia SpA (b) 468,544 1,222,812
Telecom Italia SpA RNC (b) 278,989 483,892
Tiscali SpA (b) 20,118 133,775
-----------
2,598,892
-----------
TIRE & RUBBER (0.0%)
Pirelli & C. SpA 68,068 52,779
-----------
UTILITIES (0.2%)
Enel SpA 107,185 670,362
-----------
12,219,979
-----------
- ------------------------------------------------------------------
JAPAN (20.3%)
ADVERTISING (0.0%)
Dentsu, Inc. 24 108,064
-----------
AGRICULTURE (0.1%)
Ajinomoto Co., Inc. 38,000 383,681
-----------
AIRLINE SERVICES (0.1%)
Japan Airlines System Corp. 22,000 63,237
Yamato Transport Co. Ltd. 25,000 332,242
-----------
395,479
-----------
APPAREL (0.1%)
Fast Retailing Co. Ltd. 1,900 115,450
Gunze Ltd. 25,000 113,476
World Co. Ltd. 100 2,711
-----------
231,637
-----------
AUDIO/VIDEO PRODUCTS (0.1%)
Yamaha Corp. 9,900 199,468
-----------
AUTOMOTIVE (2.1%)
Denso Corp. 21,400 405,867
Honda Motor Co. Ltd. 38,600 1,523,846
NGK Spark Plug Co. 3,000 25,160
Nissan Motor Co. 121,200 1,358,243
Sanden Corp. 14,000 75,135
Toyoda Gosei Co. Ltd. 2,000 59,126
2003 ANNUAL REPORT 67
- --------------------------------------------------------------------------------
STATEMENT OF INVESTMENTS (Continued)
October 31, 2003
NATIONWIDE INTERNATIONAL INDEX FUND (Continued)
COMMON STOCKS (CONTINUED)
SHARES OR
PRINCIPAL AMOUNT VALUE
- ----------------------------------------------------------------------
JAPAN (continued)
AUTOMOTIVE (continued)
Toyota Industries Corp. 4,000 $ 73,862
Toyota Motor Co. Ltd. 138,900 3,954,674
Yamaha Motor Co. Ltd. 11,000 124,774
----------
7,600,687
----------
BANKS (1.5%)
Bank of Fukuoka Ltd. (The) 20,000 83,504
Bank of Yokohama Ltd. (The) 57,000 246,282
Chiba Bank 16,000 68,841
Daiwa Bank Holdings, Inc. 310,000 453,996
Joyo Bank 14,000 44,826
Mitsubishi Tokyo Financial
Group, Inc. 194 1,394,097
Mitsui Trust Holdings, Inc. 15,000 79,820
Mizuho Financial Group, Inc. (b) 319 780,561
Shizuoka Bank Ltd. (The) 20,000 141,174
Sumitomo Mitsui Financial
Group, Inc. 201 1,011,079
UFJ Holdings, Inc. 199 850,775
----------
5,154,955
----------
BEVERAGES (0.0%)
Ito En Ltd. 1,100 44,526
Takara Shuzo Co. Ltd. 3,000 23,578
Yakult Honsha Co. Ltd. 7,000 108,882
----------
176,986
----------
BREWERY (0.2%)
Asahi Breweries Ltd. 33,000 275,563
Kirin Brewery Co. Ltd. 26,000 207,886
Sapporo Holdings Ltd. 47,000 128,258
----------
611,707
----------
BROADCASTING & TELEVISION (0.0%)
Fuji Television Network, Inc. 6 31,928
----------
BUILDING & CONSTRUCTION (0.8%)
Asahi Glass Co. Ltd. 29,000 228,972
Daikin Industries Ltd. 13,000 277,300
Daiwa House Industry Co. Ltd. 32,000 345,222
Kajima Corp. 56,000 209,869
Keio Teito Electric Railway Co. Ltd. 33,000 174,403
Komatsu Ltd. 54,000 292,264
Matsushita Electric Works Ltd. 13,000 97,676
Nippon Sheet Glass Co. Ltd. 28,000 86,087
Nippon Yusen Kabushiki Kaisha 53,000 225,624
Nishimatsu Construction Co. Ltd. 25,000 104,380
Obayashi Corp. 26,000 118,488
Sekisui House Ltd. 22,000 215,928
Shimizu Corp. 8,000 30,927
Taiheiyo Cement Corp. 57,000 141,029
Taisei Construction Corp. 64,000 222,386
Tostem Inax Holding Corp. 14,000 249,475
----------
3,020,030
----------
SHARES OR
PRINCIPAL AMOUNT VALUE
- ----------------------------------------------------------------------
JAPAN (continued)
CHEMICALS (0.9%)
Asahi Kasei Corp. 35,000 $ 166,826
Ishihara Sangyo Kaisha Ltd. (b) 57,000 117,178
Kaneka Corp. 1,000 7,796
Kuraray Co. 16,000 120,508
Mitsubishi Chemical Corp. 59,000 154,564
Mitsubishi Gas Chemical Co. Ltd. 1,000 2,829
Mitsui Chemicals, Inc. 26,000 151,835
Nippon Kayaku Co. Ltd. 20,000 101,333
Nippon Shokubai Co. Ltd. 16,000 112,066
Nissan Chemical Industries Ltd. 12,000 104,571
Nitto Denko Corp. 9,410 493,889
Sekisui Chemical Co. Ltd. 1,000 4,921
Shin-Etsu Chemical Co. Ltd. 19,600 729,194
Showa Denko K.K. (b) 51,000 98,813
Sumitomo Bakelite Co. Ltd. 18,000 110,520
Sumitomo Chemical Co. Ltd. 62,000 231,228
Toray Industries, Inc. 105,000 436,485
Tosoh Corp. 31,000 86,569
Ube Industries Ltd. 83,000 178,178
----------
3,409,303
----------
COMMERCIAL SERVICES (0.2%)
NTT Data Corp. 47 208,205
Secom Co. 12,000 469,368
----------
677,573
----------
COMPUTER HARDWARE (0.5%)
Fujitsu Ltd. 94,000 589,130
NEC Corp. 77,000 680,102
Toshiba Corp. 147,000 589,685
----------
1,858,917
----------
COMPUTER SOFTWARE/SERVICES (0.3%)
Capcom Co. Ltd. 2,000 25,833
CSK Corp. 3,800 143,794
Hitachi Software Engineering Co. Ltd. 500 15,555
Konami Co. Ltd. 2,500 76,181
Meitec Corp. 3,100 110,820
Net One Systems Co. Ltd. 4 29,981
Nomura Research Institute Ltd. 1,800 180,925
Oracle Corp. 200 11,734
Softbank Corp. 10,700 549,917
Trend Micro, Inc. (b) 2,500 68,904
----------
1,213,644
----------
CONSUMER PRODUCTS (0.0%)
Onward Kashiyama Co. Ltd. 2,000 22,450
----------
CONTAINERS (0.0%)
Toyo Seikan Kaisha Ltd. 1,000 11,689
----------
68 ANNUAL REPORT 2003
- --------------------------------------------------------------------------------
COMMON STOCKS (CONTINUED)
SHARES OR
PRINCIPAL
AMOUNT VALUE
- ----------------------------------------------------------------
JAPAN (continued)
COSMETICS & TOILETRIES (0.0%)
Kanebo Ltd. (b) 60,000 $ 63,310
Uni-Charm Corp. 2,400 111,994
-----------
175,304
-----------
ELECTRIC UTILITIES (0.0%)
Alps Electric Co. Ltd. 11,000 184,409
-----------
ELECTRICAL & ELECTRONIC (0.1%)
Stanley Electric Co. Ltd. 11,000 234,138
-----------
ELECTRONICS & ELECTRICAL EQUIPMENT (3.3%)
Anritsu Corp. (b) 16,000 104,498
Canon, Inc. 42,000 2,032,475
Casio Computer Co. Ltd. 11,000 97,958
Dainippon Screen Mfg. Co. Ltd. (b) 5,000 35,703
Fujikura Ltd. 23,000 138,291
Furukawa Electric Co. Ltd. 32,000 121,090
Hirose Electric Co. Ltd. 1,000 122,891
Hitachi Ltd. 146,000 857,925
Hoya Corp. 5,500 497,794
Keyence Corp. 1,380 303,528
Kyocera Corp. 7,900 475,717
Mabuchi Motor Co. Ltd. 1,000 76,227
Matsushita Electric Industrial Co. Ltd. 98,902 1,303,579
Mitsumi Electric Co. Ltd. 4,000 41,879
Murata Manufacturing Co. 11,400 648,110
NGK Insulators Ltd. 20,000 136,626
Nidec Corp. 1,000 96,875
Nintendo Co. 5,400 417,028
Omron Corp. 15,000 328,831
Pioneer Electronic Corp. 9,200 229,299
Ricoh Co. Ltd. 30,000 568,973
Sanyo Electric Co. 85,000 389,685
Sharp Corp. 47,000 740,046
Sony Corp. 44,700 1,557,294
Sumitomo Electric Industries Ltd. 21,000 180,516
Taiyo Yuden Co. Ltd. 8,000 115,705
TDK Corp. 6,200 406,058
Yokogawa Electric Co. Ltd. 14,000 163,642
-----------
12,188,243
-----------
ENERGY (0.1%)
Nippon Oil Co. Ltd. 61,000 301,296
Teikoko Oil Co. Ltd. 26,000 119,671
TonenGeneral Sekiyu K.K. 9,000 73,516
-----------
494,483
-----------
ENGINEERING (0.1%)
COMSYS Holdings Corp. (b) 14,000 87,488
Mitsui Engineering &
Shipbuilding Co. Ltd. 77,000 118,370
-----------
205,858
-----------
SHARES OR
PRINCIPAL
AMOUNT VALUE
- ----------------------------------------------------------------
JAPAN (continued)
ENTERTAINMENT (0.0%)
Namco Ltd. 100 $ 2,756
-----------
FINANCIAL SERVICES (1.0%)
Acom Co. Ltd. 2,300 102,934
Aiful Corp. 1,350 85,346
Credit Saison Co. 10,900 228,044
Daiwa Securities Ltd. 68,000 497,312
Itochu Techno-Science Corp. 400 13,426
JAFCO Co. Ltd. 600 51,303
Nikko Securities Co. Ltd. 67,000 361,404
Nomura Securities Co. 89,000 1,528,467
Orix Corp. 4,900 412,289
Promise Co. Ltd. 2,700 121,326
Sumitomo Trust & Banking Co. Ltd. 35,000 195,479
Takefuji Corp. 2,780 164,623
-----------
3,761,953
-----------
FOOD PRODUCTS (0.2%)
Ariake Japan Co. Ltd. 2,700 81,785
Japan Tobacco, Inc. 46 307,127
Kikkoman Corp. 8,000 52,104
Meiji Seika Kaisha Ltd. 6,000 23,141
Nippon Meat Packers, Inc. 7,000 69,850
Nisshin Seifun Group, Inc. 16,000 131,132
Nissin Food Products Co. Ltd. 1,400 32,155
Snow Brand Milk Products Co. Ltd. (b) 22,500 69,177
-----------
766,471
-----------
HEALTHCARE (0.0%)
Terumo Corp. 9,200 174,903
-----------
HOLDING COMPANIES -
DIVERSIFIED (0.1%)
JFE Holdings, Inc. 21,900 559,776
-----------
HOUSEHOLD PRODUCTS (0.3%)
Kao Corp. 33,000 678,401
Shiseido Co. Ltd. 20,000 209,942
Toto Ltd. 21,000 174,785
-----------
1,063,128
-----------
IMPORT/EXPORT (0.4%)
Itochu Corp. 53,000 178,860
Marubenii Corp. 105,000 189,112
Mitsubishi Corp. 55,000 570,837
Mitsui & Co. Ltd. 53,000 385,682
Sumitomo Corp. 36,000 249,857
-----------
1,574,348
-----------
INDUSTRIAL (0.6%)
Ebara Corp. 26,000 104,298
Fanuc Co. Ltd. 4,800 288,607
JGC Corp. 18,000 154,728
2003 ANNUAL REPORT 69
- --------------------------------------------------------------------------------
STATEMENT OF INVESTMENTS (Continued)
October 31, 2003
NATIONWIDE INTERNATIONAL INDEX FUND (Continued)
COMMON STOCKS (CONTINUED)
SHARES OR
PRINCIPAL
AMOUNT VALUE
- ----------------------------------------------------------
JAPAN (continued)
INDUSTRIAL (continued)
Kawasaki Heavy Industries Ltd. 21,000 $ 26,552
Kubota Corp. 30,000 108,064
Minebea Co. Ltd. 23,000 130,968
Mitsubishi Heavy Industries Ltd. 114,000 313,167
Nippon Steel Corp. 305,000 627,006
SMC Corp. 2,000 240,688
THK Co. Ltd. 6,800 137,936
----------
2,132,014
----------
INSURANCE (0.5%)
Daido Life Insurance Co. 32 95,184
Millea Holdings, Inc. 83 989,039
Mitsui Sumito Insurance Co. 83,000 684,022
Yasuda Fire & Marine Insurance
Co. Ltd. 27,000 223,496
----------
1,991,741
----------
MANUFACTURING (0.2%)
Amada Co. Ltd. 34,000 146,905
Amano Corp. 13,000 89,280
Ishikawajima-Harima Heavy
Industries Co. Ltd. 15,000 20,467
JSR Corp. 12,000 254,331
Koyo Seiko Co. Ltd. 13,000 132,442
NTN Corp. 21,000 109,456
Sumitomo Heavy Industries Ltd. (b) 68,000 150,307
----------
903,188
----------
METALS & MINING (0.2%)
Dowa Mining Co. Ltd. 5,000 27,016
Mitsubishi Material Corp. (b) 21,000 33,811
Mitsui Mining & Smelting Co. Ltd. 39,000 156,092
Nippon Minings Holdings, Inc. 27,500 100,559
NSK Ltd. 27,000 111,257
Sumitomo Metal & Mining Corp. 40,000 274,344
Sumitomo Metal Industries, Ltd. 234,000 217,110
----------
920,189
----------
MULTI-MEDIA (0.0%)
Tokyo Broadcasting System, Inc. 3,000 48,056
----------
OFFICE EQUIPMENT & SUPPLIES (0.0%)
Seiko Epson Corp. 1,200 43,226
----------
PAPER PRODUCTS (0.1%)
Nippon Unipac Holding 32 150,780
Oji Paper Ltd. 57,000 303,316
----------
454,096
----------
PHARMACEUTICALS (1.2%)
Chugai Pharmaceutical Ltd. 10,200 145,297
Daiichi Pharmaceuticals Co. 19,700 301,051
Eisai Co. 13,000 305,089
Fujisawa Pharmaceutical Co. 14,000 289,080
SHARES OR
PRINCIPAL
AMOUNT VALUE
- ----------------------------------------------------------
JAPAN (continued)
PHARMACEUTICALS (continued)
Kaken Pharmaceutical Co. Ltd. 13,000 $ 65,511
Kyowa Hakko Kogyo Co. Ltd. 9,000 53,050
Sankyo Co. 23,000 368,218
Shionogi & Co. 20,000 335,653
Taisho Pharmacuetical Co. Ltd. 5,000 86,278
Takeda Chemical Industries Ltd. 46,000 1,627,689
Yamanouchi Pharmaceutical Co. Ltd. 19,000 477,009
----------
4,053,925
----------
PHOTOGRAPHIC PRODUCTS (0.4%)
Fuji Photo Film Ltd. 25,000 736,798
Konica Corp. 24,000 315,459
Nikon Corp. (b) 14,000 212,544
Olympus Optical Co. Ltd. 12,000 263,065
----------
1,527,866
----------
PRINTING & PUBLISHING (0.2%)
Dai Nippon Printing Co. Ltd. 35,000 540,592
Toppan Printing Co. Ltd. 40,000 366,762
----------
907,354
----------
RAILROADS (0.4%)
Central Japan Railway Co. 34 297,521
East Japan Railway Co. 198 896,930
Keihin Electric Express Railway
Co. Ltd. 4,000 23,396
Kinki Nippon Railway Co. Ltd. (b) 39,000 117,424
Tobu Railway Co. Ltd. 17,000 59,535
West Japan Railway Co. 48 178,578
----------
1,573,384
----------
REAL ESTATE (0.3%)
Daito Trust Construction Co. Ltd. 3,400 105,153
Japan Real Estate Investment Corp. 19 111,129
Mitsubishi Estate Co. 47,000 450,612
Mitsui Fudosan Co. Ltd. 37,000 344,303
Nippon Building Fund, Inc. 20 123,164
Sumitomo Realty & Development
Co. Ltd. 18,000 167,008
----------
1,301,369
----------
RESORTS/THEME PARKS (0.0%)
Oriental Land Co. Ltd. 2,800 153,836
----------
RESTAURANTS (0.0%)
Skylark Co. Ltd. 1,000 16,473
----------
RETAIL (0.8%)
Aeon Co. Ltd. 11,000 363,215
Citizen Watch Co. Ltd. 20,000 163,915
FamilyMart Co. Ltd. 2,100 45,654
Isetan Co. Ltd. 5,000 51,758
Ito Yokado Co. 22,000 808,478
Lawson, Inc. 3,700 141,356
70 ANNUAL REPORT 2003
- --------------------------------------------------------------------------------
COMMON STOCKS (CONTINUED)
SHARES OR
PRINCIPAL AMOUNT VALUE
- -----------------------------------------------------------------
JAPAN (continued)
RETAIL (continued)
Marui Co. 24,000 $ 304,762
Matsumotokiyoshi Co. Ltd. 1,800 90,544
Mitsukoshi Ltd. (b) 21,000 78,128
Seven - Eleven Japan Co. Ltd. 20,000 633,101
Shimachu Co. Ltd. 4,000 78,228
Takashimaya Co. 21,000 153,200
Tokyo Style Co. 5,000 49,711
Yamada Denki Co. Ltd. 6,100 194,206
-----------
3,156,256
-----------
SCHOOLS (0.0%)
Benesse Corp. 300 7,368
-----------
SEMICONDUCTORS (0.4%)
Advantest Corp. 4,200 312,894
Rohm Co. 5,200 700,996
Tokyo Electron Ltd. 8,000 573,430
-----------
1,587,320
-----------
TELECOMMUNICATIONS (0.8%)
Nippon Telegraph &
Telephone Corp. 256 1,143,367
NTT Docomo, Inc. 863 1,868,321
Oki Electric Industry Co. Ltd. (b) 40,000 177,196
-----------
3,188,884
-----------
TEXTILE PRODUCTS (0.1%)
Mitsubishi Rayon Co. Ltd. 9,000 33,402
Nisshinbo Industries, Inc. 15,000 74,908
Teijin Ltd. 71,000 210,542
Toyobo Co. Ltd. 41,000 82,794
-----------
401,646
-----------
TIRE & RUBBER (0.1%)
Bridgestone Corp. 27,000 353,664
-----------
TOYS (0.0%)
Sega Corp. (b) 5,900 65,314
-----------
TRANSPORTATION (0.3%)
Kamigumi Co. Ltd. 12,000 78,155
Kawasaki Kisen Kaisha Ltd. 38,000 152,436
Mitsui O.S.K. Lines Ltd. 47,000 191,104
Nippon Express Co. Ltd. 55,000 248,147
Seino Transportation Co. Ltd. 13,000 91,645
Tokyo Corp. 83,000 411,470
-----------
1,172,957
-----------
UTILITIES (1.2%)
Chubu Electric Power Co., Inc. 31,500 631,805
Kansai Electric Power, Inc. 28,800 497,749
Kyushu Electric Power Co., Inc. 15,500 256,042
Mitsubishi Electric Co. 70,000 312,639
SHARES OR
PRINCIPAL
AMOUNT VALUE
- -----------------------------------------------------------------
JAPAN (continued)
UTILITIES (continued)
Osaka Gas Co. Ltd. 104,000 $ 287,588
Tohoku Electric Power Co. Ltd. 14,700 238,281
Tokyo Electric Power Co. Ltd. 60,200 1,284,114
Tokyo Gas Ltd. 145,000 497,248
-----------
4,005,466
-----------
76,459,560
-----------
- -----------------------------------------------------------------
LUXEMBOURG (0.1%)
STEEL (0.1%)
Arcelor 16,963 241,958
-----------
- -----------------------------------------------------------------
NETHERLANDS (4.5%)
BANKS (0.4%)
ABN Amro Holding NV 71,353 1,497,209
-----------
BIOTECHNOLOGY (0.0%)
Qiagen NV (b) 4,818 56,121
-----------
BUSINESS SERVICES (0.0%)
Vedior NV 2,365 34,091
-----------
CHEMICALS (0.2%)
Akzo Nobel NV 11,162 352,942
DSM NV 5,259 241,120
-----------
594,062
-----------
DIVERSIFIED (0.0%)
Hagemeyer NV 2,007 5,810
IHC Caland NV 570 24,318
-----------
30,128
-----------
ELECTRONICS & ELECTRICAL EQUIPMENT (0.6%)
Koninklijke Ahold NV (b) 37,194 314,773
Philips Electronics NV 66,621 1,795,994
-----------
2,110,767
-----------
ENERGY (1.2%)
Royal Dutch Petroleum Co. 102,912 4,566,476
-----------
FINANCIAL SERVICES (0.4%)
Euronext NV 1,904 46,592
ING Groep NV 77,577 1,610,673
-----------
1,657,265
-----------
FOOD PRODUCTS (0.6%)
Heineken NV 9,144 326,338
Koninklijke Numico NV (b) 6,158 138,950
Unilever NV CVA 28,689 1,666,547
-----------
2,131,835
-----------
INSURANCE (0.2%)
Aegon NV 68,998 904,771
-----------
2003 ANNUAL REPORT 71
- --------------------------------------------------------------------------------
STATEMENT OF INVESTMENTS (Continued)
October 31, 2003
NATIONWIDE INTERNATIONAL INDEX FUND (Continued)
COMMON STOCKS (CONTINUED)
SHARES OR
PRINCIPAL
AMOUNT VALUE
- ------------------------------------------------------------
NETHERLANDS (continued)
PRINTING & PUBLISHING (0.2%)
Elsevier NV 32,414 $ 360,987
Oce NV 22 292
VNU NV 11,158 339,845
Wolters Kluwer CVA 13,862 194,825
-----------
895,949
-----------
REAL ESTATE (0.1%)
Corio NV 1,854 61,835
Rodamco Europe NV 923 47,104
Wereldhave NV 1,655 104,085
-----------
213,024
-----------
RETAIL (0.0%)
Vendex NV 1,603 19,734
-----------
SEMICONDUCTORS (0.3%)
ASML Holding NV (b) 25,130 436,159
STMicroelectronics NV 31,535 839,502
-----------
1,275,661
-----------
TELECOMMUNICATIONS (0.2%)
KPN NV (b) 79,436 603,932
-----------
TRANSPORTATION (0.1%)
TPG NV 14,465 311,929
-----------
16,902,954
-----------
- ------------------------------------------------------------
NEW ZEALAND (0.2%)
AIRPORTS (0.0%)
Auckland International Airport Ltd. 8,490 34,482
-----------
BUILDING & CONSTRUCTION (0.0%)
Fletcher Building Ltd. 12,985 35,026
-----------
ENTERTAINMENT (0.0%)
Sky City Entertainment Group Ltd. 24,802 136,394
-----------
HEALTHCARE (0.0%)
Fisher & Paykel Industries Ltd. 3,313 24,632
-----------
HOUSEHOLD PRODUCTS (0.0%)
Fisher & Paykel Appliances
Holdings Ltd. 8,871 80,290
-----------
PAPER PRODUCTS (0.0%)
Carter Holt Harvey Ltd. 466 524
-----------
TELECOMMUNICATIONS (0.2%)
Telecom Corp. of New Zealand Ltd. 109,963 327,024
-----------
638,372
-----------
SHARES OR
PRINCIPAL
AMOUNT VALUE
- ------------------------------------------------------------
NORWAY (0.4%)
BANKS (0.0%)
DnB Holding ASA 30,935 $ 180,657
-----------
BUILDING & CONSTRUCTION (0.0%)
Aker Kvaerner ASA (b) 770 12,576
-----------
FINANCIAL SERVICES (0.0%)
Gjensidige NOR ASA 3,677 150,781
-----------
FOOD PRODUCTS (0.0%)
Orkla ASA 7,997 167,640
-----------
INDUSTRIAL (0.2%)
Norsk Hydro ASA 8,424 474,084
Tomra Systems ASA 8,330 47,939
-----------
522,023
-----------
INSURANCE (0.0%)
Storebrand ASA (b) 600 3,343
-----------
OIL & GAS (0.0%)
Statoil ASA 12,144 114,193
-----------
PAPER PRODUCTS (0.0%)
Norske Skogsindustrier ASA 1,207 22,955
-----------
SHIPPING (0.0%)
Frontline Ltd. 4,097 79,947
-----------
TELECOMMUNICATIONS (0.2%)
Tandberg ASA (b) 19,305 135,942
Telenor ASA 32,972 179,498
-----------
315,440
-----------
1,569,555
-----------
- ------------------------------------------------------------
PORTUGAL (0.3%)
AUTOMOTIVE (0.0%)
Brisa- Auto Estradas SA 20,131 125,904
-----------
BANKS (0.0%)
Banco Commercial Portuguese SA 73,376 141,597
Banco Espirito Santo SA 385 5,523
-----------
147,120
-----------
BUILDING PRODUCTS (0.0%)
CIMPOR-Cimentos de Portugal
SGPS SA 7,400 32,690
-----------
FINANCIAL SERVICES (0.0%)
BPI-SGPS SA 150 462
-----------
FOOD PRODUCTS (0.0%)
Jeronimo Martins SGPS SA (b) 17 160
-----------
72 ANNUAL REPORT 2003
- --------------------------------------------------------------------------------
COMMON STOCKS (CONTINUED)
SHARES OR
PRINCIPAL
AMOUNT VALUE
- ---------------------------------------------------------------------
PORTUGAL (continued)
INDUSTRIAL (0.0%)
Sonae SGPS SA (b) 291 $ 200
----------
TELECOMMUNICATIONS (0.2%)
Portugal Telecom SA 62,147 522,337
PT Multimedia-Servicos de
Telecomunicacoes
e Multimedia (b) 2,703 46,317
----------
568,654
----------
UTILITIES (0.1%)
Electricidade de Portugal SA 133,674 303,022
----------
1,178,212
----------
- ---------------------------------------------------------------------
SINGAPORE (0.8%)
AEROSPACE/DEFENSE (0.0%)
Singapore Tech Engineering Ltd. 39,000 43,235
----------
AIRLINES (0.0%)
Singapore Airlines Ltd. 18,000 125,104
----------
BANKS (0.5%)
Development Bank of Singapore Ltd. 45,000 369,626
Oversea-Chinese Banking Corp. Ltd. 47,000 326,661
United Overseas Bank Ltd. 80,000 624,945
----------
1,321,232
----------
BEVERAGES (0.0%)
Fraser & Neave Ltd. 5,400 38,152
----------
DIVERSIFIED (0.0%)
Haw Par Corporation Ltd. 17,226 43,338
Keppel Corp. 23,000 78,607
----------
121,945
----------
FINANCIAL SERVICES (0.0%)
Creative Technology Ltd. 4,500 46,785
----------
HEALTHCARE (0.0%)
Parkway Holdings Ltd. 233,000 133,166
----------
MANUFACTURING (0.0%)
Venture Manufacturing Ltd. 13,000 141,130
----------
PRINTING & PUBLISHING (0.1%)
Singapore Press Holdings Ltd. 24,000 271,576
----------
REAL ESTATE (0.0%)
Capitaland Ltd. 1,000 936
City Developments Ltd. 17,000 59,077
----------
60,013
----------
SEMICONDUCTORS (0.0%)
Chartered Semiconductor Manufacturing Ltd. (b) 106,000 104,116
----------
SHARES OR
PRINCIPAL
AMOUNT VALUE
- ----------------------------------------------------------------------
SINGAPORE (continued)
SHIPPING (0.1%)
Neptune Orient Lines Ltd. (b) 76,000 $ 96,913
Singapore Post Ltd. 358,000 137,775
----------
234,688
----------
TELECOMMUNICATIONS (0.1%)
Datacraft Asia Ltd. (b) 50,000 62,500
Singapore Telecommunications Ltd. 214,000 211,424
----------
273,924
----------
TRANSPORTATION (0.0%)
ComfortDelgro Corp. Ltd. 170,520 75,909
----------
2,990,975
----------
- ---------------------------------------------------------------------
SPAIN (3.0%)
AIRLINE SERVICES (0.0%)
Iberia Lineas Aereas de Espana SA 8,700 21,239
----------
BANKS (1.2%)
Banco Bilbao Vizcaya Argentaria SA 152,040 1,744,488
Banco Popular Espanol SA 7,359 382,658
Banco Santander Central
Hispanoamericano SA 207,429 1,989,375
----------
4,116,521
----------
BROADCASTING & TELEVISION (0.0%)
Antena 3 Television SA (b) 766 25,033
----------
BUILDING & CONSTRUCTION (0.1%)
Acciona SA 1,580 82,929
ACS, Actividades de Construccion y
Servicios SA 3,487 146,824
Fomento De Construcciones Y
Contrates SA 3,386 110,450
Grupo Ferrovial SA 757 21,613
----------
361,816
----------
COMPUTER SOFTWARE/SERVICES (0.0%)
Indra Sistemas SA 8,457 95,167
----------
ENERGY (0.3%)
Repsol SA 48,807 851,072
----------
ENGINEERING (0.0%)
Grupo Dragados SA 5,009 102,309
----------
FOOD PRODUCTS (0.1%)
Altadis SA 16,813 407,711
----------
HOTELS & LODGING (0.0%)
NH Hoteles SA (b) 2,634 30,283
----------
INSURANCE (0.0%)
Corporacion Mapfre SA 11,148 138,926
----------
2003 ANNUAL REPORT 73
- --------------------------------------------------------------------------------
STATEMENT OF INVESTMENTS (Continued)
October 31, 2003
NATIONWIDE INTERNATIONAL INDEX FUND (Continued)
COMMON STOCKS (CONTINUED)
SHARES OR
PRINCIPAL AMOUNT VALUE
- ------------------------------------------------------------------
SPAIN (continued)
METALS & MINING (0.0%)
Acerinox SA 2,919 $ 127,080
-----------
PHARMACEUTICALS (0.0%)
Zeltia SA 2,221 15,775
-----------
RAILROADS (0.0%)
Autopistas, Concesionaria Espanola SA 7,038 94,909
-----------
REAL ESTATE (0.0%)
Vallehermoso SA 7,621 101,529
-----------
RETAIL (0.0%)
Industria de Diseno Textil SA 6,946 143,488
-----------
TELECOMMUNICATIONS (0.8%)
Telefonica SA 226,534 2,817,801
-----------
TRAVEL (0.0%)
Amadeus Global Travel
Distribution SA 8,290 52,040
-----------
UTILITIES (0.5%)
Endesa SA 44,539 706,750
Gas Natural SA 5,125 98,483
Iberdrola SA 43,746 729,765
Union Electrica Fenosa SA 9,434 152,442
-----------
1,687,440
-----------
11,190,139
-----------
- ------------------------------------------------------------------
SWEDEN (2.0%)
AIRLINES (0.0%)
SAS AB (b) 18,668 163,925
-----------
AUTOMOTIVE (0.1%)
Volvo AB - A Shares 2,421 65,018
Volvo AB - B Shares 8,868 247,823
-----------
312,841
-----------
BANKS (0.5%)
Nordea AB 123,347 765,300
Skandiaviska Enskilda Banken AB 28,638 345,087
Svenska Handelsbanken AB 40,703 717,443
-----------
1,827,830
-----------
BUILDING & CONSTRUCTION (0.1%)
Assa Abloy AB 19,543 192,903
Skanska AB 7,185 49,737
-----------
242,640
-----------
COMMERCIAL SERVICES (0.1%)
Securitas AB 20,810 256,095
-----------
COMPUTER SOFTWARE/
SERVICES (0.0%)
WM-data AB - B Shares (b) 29,093 56,688
-----------
SHARES OR
PRINCIPAL AMOUNT VALUE
- -----------------------------------------------------------------
SWEDEN (continued)
HOUSEHOLD PRODUCTS (0.1%)
Electrolux AB 16,377 $ 335,902
-----------
INDUSTRIAL (0.2%)
Atlas Copco AB - A Shares 6,709 235,649
Atlas Copco AB - B Shares 1,766 57,728
Sandvik AB 13,223 393,257
Trelleborg AB - B Shares 2,922 42,702
-----------
729,336
-----------
INSURANCE (0.0%)
Skandia Forsakrings AB 41,183 150,988
-----------
METALS (0.1%)
S.K.F. AB 5,867 207,579
-----------
PAPER PRODUCTS (0.1%)
Billerud 6,770 97,200
Svenska Cellusoa 9,215 347,887
-----------
445,087
-----------
PRINTING & PUBLISHING (0.0%)
Eniro AB 9,694 77,668
-----------
REAL ESTATE (0.0%)
Castellum AB 3,900 77,742
Drott AB 1,222 19,816
-----------
97,558
-----------
RETAIL (0.1%)
Hennes & Mauritz AB 25,567 542,420
-----------
TELECOMMUNICATIONS (0.5%)
Ericsson SA (b) 816,404 1,402,387
Tele2 AB (b) 6,419 322,972
Telia AB 73,817 322,678
-----------
2,048,037
-----------
TELEVISION (0.0%)
Modern Times Group AB Class B (b) 719 13,503
-----------
TOBACCO (0.1%)
Swedish Match AB 24,128 196,405
-----------
7,704,502
-----------
- -----------------------------------------------------------------
SWITZERLAND (5.6%)
AEROSPACE/DEFENSE (0.0%)
Unaxis Holdings AG 4 523
-----------
BANKS (0.6%)
Credit Suisse Group 64,320 2,266,264
-----------
74 ANNUAL REPORT 2003
- --------------------------------------------------------------------------------
COMMON STOCKS (CONTINUED)
SHARES OR
PRINCIPAL
AMOUNT VALUE
- ---------------------------------------------------------------
SWITZERLAND (continued)
BUILDING & CONSTRUCTION (0.1%)
Geberit AG, Registered 225 $ 92,672
Holcim Ltd. 6,275 264,092
-----------
356,764
-----------
CHEMICALS (0.2%)
Ciba Specialty Chemicals AG,
Registered 3,512 232,362
Clariant AG (b) 5,644 79,460
Lonza Group AG 2,742 134,497
Syngenta AG 6,290 337,028
-----------
783,347
-----------
COMMERCIAL SERVICES (0.1%)
Adecco SA 7,320 431,685
SGS Societe Generale de
Surveillance Holdings SA 126 71,145
-----------
502,830
-----------
COMPUTERS (0.0%)
Logitech International SA (b) 3,420 137,020
-----------
ELECTRONICS & ELECTRICAL
EQUIPMENT (0.1%)
ABB Ltd. (b) 57,637 338,825
-----------
FOOD PRODUCTS (1.3%)
Nestle SA 21,392 4,709,812
-----------
INSURANCE (0.5%)
Swiss Re 16,548 1,041,569
Zurich Financial Services AG 7,631 977,198
-----------
2,018,767
-----------
MANUFACTURING (0.0%)
Sulzer AG 87 20,686
-----------
MEDICAL PRODUCTS (0.0%)
Nobel Biocare Holding AG 538 47,743
Nobel Biocare Holding AG 832 74,338
-----------
122,081
-----------
METALS (0.0%)
Sythes-Stratec, Inc. 113 103,747
-----------
PHARMACEUTICALS (2.4%)
Givaudan 482 217,294
Novartis AG 126,159 4,808,847
Roche Holding AG 996 124,188
Roche Holding AG Genusscheine 37,572 3,109,077
Serono SA 307 211,970
-----------
8,471,376
-----------
RETAIL (0.2%)
Compagnie Finacnce Richemont AG 27,415 616,933
Swatch Group AG 2,261 240,856
Swatch Group AG Class B 372 7,939
-----------
865,728
-----------
SHARES OR
PRINCIPAL AMOUNT VALUE
- ---------------------------------------------------------------
SWITZERLAND (continued)
TELECOMMUNICATIONS (0.1%)
Kudelski SA (b) 1,165 $ 33,938
Swisscom AG 1,280 372,396
-----------
406,334
-----------
21,104,104
-----------
- ---------------------------------------------------------------
UNITED KINGDOM (24.1%)
ADVERTISING (0.2%)
Aegis Group PLC 82,273 139,264
WPP Group PLC 61,320 584,280
-----------
723,544
-----------
AEROSPACE/DEFENSE (0.2%)
British Aerospace PLC 166,179 516,055
Cobham PLC 2,262 45,218
Rolls-Royce Group PLC 80,494 259,188
-----------
820,461
-----------
AIRLINES (0.2%)
BAA PLC 65,381 517,019
British Airways PLC (b) 36,185 127,721
-----------
644,740
-----------
AUTOMOTIVE (0.1%)
GKN PLC 43,977 205,970
-----------
BANKS (5.5%)
Barclays PLC 320,670 2,704,480
HBOS PLC 185,143 2,153,693
HSBC Holdings PLC 515,016 7,734,514
HSBC Holdings PLC ADR 5,600 420,392
MAN Group PLC 14,870 365,636
Royal Bank of Scotland
Group PLC 138,084 3,699,939
UBS AG 62,435 3,833,954
-----------
20,912,608
-----------
BREWERY (0.2%)
SABMiller PLC 41,365 349,392
Scottish & Newcastle PLC 49,047 287,769
-----------
637,161
-----------
BUILDING & CONSTRUCTION (0.2%)
Berkeley Group PLC 1,941 25,199
BICC Group PLC 1,799 5,846
BPB PLC 14,455 81,622
George Wimpey PLC 20,314 112,723
Hanson PLC 48,842 338,160
Persimmon PLC 6,006 47,341
Pilkington PLC 17,134 25,296
RMC Group PLC 20,860 217,700
Taylor Woodrow PLC 8,517 32,375
-----------
886,262
-----------
2003 ANNUAL REPORT 75
- --------------------------------------------------------------------------------
STATEMENT OF INVESTMENTS (Continued)
October 31, 2003
NATIONWIDE INTERNATIONAL INDEX FUND (Continued)
COMMON STOCKS (CONTINUED)
SHARES OR
PRINCIPAL
AMOUNT VALUE
- ----------------------------------------------------------
UNITED KINGDOM (continued)
CHEMICALS (0.2%)
BOC Group PLC 28,623 $ 390,274
Imperial Chemical Industries PLC 57,188 188,025
-----------
578,299
-----------
COMMERCIAL SERVICES (0.2%)
Brambles Industries PLC 25,696 77,835
Capita Group PLC 44,469 186,579
Rentokil Initial PLC 99,967 378,719
-----------
643,133
-----------
COMPUTER SOFTWARE/SERVICES (0.2%)
Hays PLC 106,141 219,741
Logica PLC 55,643 289,880
Mysis PLC 32,491 165,407
The Sage Group PLC 65,222 206,415
-----------
881,443
-----------
CONSUMER PRODUCTS (0.1%)
Reckitt Benckiser PLC 25,979 546,655
-----------
DIVERSIFIED (0.0%)
Serco Group PLC 6,016 18,160
Tompkins PLC 22,928 109,330
-----------
127,490
-----------
ELECTRONICS & ELECTRICAL
EQUIPMENT (0.3%)
Electrocomponents PLC 19,130 112,970
National Grid Group PLC 147,916 944,410
-----------
1,057,380
-----------
ENERGY (3.1%)
BG PLC 181,169 826,231
BP Amoco PLC 1,107,123 7,684,015
BP PLC ADR 100 4,238
Shell Transportation & Trading
Co. PLC 477,739 2,983,373
-----------
11,497,857
-----------
ENGINEERING (0.0%)
AMEC PLC 10,663 46,050
Barratt Developments PLC 4,909 40,819
-----------
86,869
-----------
ENTERTAINMENT (0.5%)
British Sky Broadcasting Group PLC (b 56,968 618,699
Carlton Communications PLC 41,308 151,411
Carnival PLC 7,712 266,318
EMI Group PLC 68,269 202,736
Enterprise Inns PLC 3,778 54,206
Hilton Group PLC 106,319 350,011
Rank Group PLC 36,347 172,701
William Hill PLC 25,965 149,368
-----------
1,965,450
-----------
SHARES OR
PRINCIPAL
AMOUNT VALUE
- ----------------------------------------------------------
UNITED KINGDOM (continued)
FINANCIAL SERVICES (0.8%)
3I Group PLC 32,126 $ 338,001
Amvescap PLC 36,577 289,553
Close Brothers Group PLC 318 3,902
Lloyds TSB Group PLC 293,078 2,035,359
Provident Financial PLC 15,445 169,444
-----------
2,836,259
-----------
FOOD PRODUCTS (1.6%)
Cadbury Schweppes PLC 107,183 687,068
Diageo PLC 157,346 1,850,367
Granada Compass PLC 139,181 276,925
J Sainsbury PLC 56,378 270,987
Safeway PLC 49,931 245,718
Tate & Lyle PLC 15,775 82,517
Tesco PLC 346,257 1,388,160
Unilever PLC 129,013 1,100,116
-----------
5,901,858
-----------
HEALTHCARE (1.2%)
AstraZeneca Group PLC 85,024 3,993,712
Celltech Group PLC (b) 8,733 68,021
Kidde PLC 68,417 116,971
Smith & Nephew PLC 48,472 385,157
-----------
4,563,861
-----------
HOTELS & MOTELS (0.1%)
InterContinental Hotels Group PLC 28,280 256,625
-----------
IMPORT/EXPORT (0.1%)
Wolseley PLC 22,027 269,968
-----------
INDUSTRIAL (0.2%)
BBA Group PLC 9,340 41,169
FKI PLC 23,601 46,257
IMI PLC 16,482 96,773
Invensys PLC 251,328 127,947
Smiths Industries PLC 31,537 375,421
-----------
687,567
-----------
INSURANCE (0.7%)
CGNU PLC 99,119 813,247
Friends Provident PLC 98,470 229,343
Legal & General Group PLC 294,176 519,170
Prudential PLC 103,250 801,148
Royal & Sun Alliance Insurance
Group PLC 211,428 314,832
-----------
2,677,740
-----------
INVESTMENT COMPANY (0.0%)
Schroders PLC 82 1,043
-----------
76 ANNUAL REPORT 2003
- --------------------------------------------------------------------------------
COMMON STOCKS (CONTINUED)
SHARES OR
PRINCIPAL AMOUNT VALUE
- ------------------------------------------------------------------------------
UNITED KINGDOM (continued)
MEDICAL PRODUCTS (0.2%)
Amersham PLC 44,350 $ 552,030
SSL International PLC 5,503 27,548
-----------
579,578
-----------
METALS & MINING (0.7%)
BHP Billiton PLC 130,961 1,028,389
Johnson Matthey PLC 7,976 132,912
Rio Tinto PLC 53,281 1,292,034
-----------
2,453,335
-----------
PAPER PRODUCTS (0.1%)
Bunzl PLC 25,195 196,671
Rexam PLC 27,700 202,124
-----------
398,795
-----------
PHARMACEUTICALS (1.7%)
Glaxosmithkline PLC 299,267 6,408,955
-----------
PRINTING & PUBLISHING (0.5%)
Daily Mail & General Trust 5,571 54,406
EMAP PLC 14,817 201,275
Pearson PLC 41,990 434,655
Reed International PLC 68,948 535,867
Reuters Group PLC 77,694 338,506
United Business Media PLC 23,224 182,862
Yell Group PLC (b) 35,853 174,613
-----------
1,922,184
-----------
RAILROADS (0.0%)
FirstGroup PLC 10,269 52,496
-----------
REAL ESTATE (0.3%)
British Land Co. PLC 29,471 258,681
Canary Wharf Group PLC 35,821 142,392
Great Portland Estates PLC 11,394 45,534
Hammerson PLC 11,889 120,142
Land Securities Group PLC 29,648 453,304
Liberty International PLC 5,764 62,257
Slough Estates PLC 9,355 60,881
-----------
1,143,191
-----------
RESTAURANTS (0.2%)
Compass Group PLC 93,553 539,369
Whitbread PLC 19,290 245,834
-----------
785,203
-----------
RETAIL (0.9%)
Boots Group PLC 48,012 580,502
Dixons Group PLC 114,507 263,779
Great Universal Stores PLC 53,059 648,277
Kesa Electricals PLC (b) 25,474 105,477
Kingfisher PLC 120,200 576,225
SHARES OR
PRINCIPAL
AMOUNT VALUE
- -----------------------------------------------------------------------------
UNITED KINGDOM (continued)
RETAIL (continued)
Marks & Spencer PLC 114,877 $ 560,941
MFI Furniture Group PLC 43,345 119,342
Mitchells & Butlers PLC (b) 28,280 111,576
Next PLC 16,268 325,751
Signet Group PLC 49,712 87,311
-----------
3,379,181
-----------
SECURITY SERVICES (0.0%)
Securicor PLC 46,724 69,179
-----------
SEMICONDUCTORS (0.0%)
Arm Holdings PLC (b) 62,136 119,940
-----------
TELECOMMUNICATIONS (2.4%)
BT Group PLC 450,622 1,418,487
Cable & Wireless PLC 128,479 297,056
Vodafone Group PLC 3,418,817 7,179,432
-----------
8,894,975
-----------
TOBACCO (0.4%)
British American Tobacco PLC 71,562 865,240
Imperial Tobacco Group PLC 33,355 552,999
-----------
1,418,239
-----------
TRANSPORTATION (0.1%)
Associated British Ports
Holdings PLC 4,727 34,091
Exel PLC 17,593 226,447
Peninsular & Oriental Steam
Navigation Co. 23,780 111,577
Stagecoach Group PLC 85,328 112,580
-----------
484,695
-----------
UTILITIES (0.6%)
Centrica PLC 196,985 616,735
International Power PLC (b) 37,603 85,027
Scottish & Southern Energy PLC 48,155 501,332
Scottish Power PLC 98,431 584,614
Severn Trent PLC 24,998 300,336
United Utilities PLC 33,588 268,599
United Utilities PLC, Class A (b) 18,660 88,187
-----------
2,444,830
-----------
WATER/SEWER (0.1%)
Kelda Group PLC 32,956 248,445
-----------
90,213,464
-----------
TOTAL COMMON STOCKS 330,952,256
-----------
2003 ANNUAL REPORT 77
- --------------------------------------------------------------------------------
STATEMENT OF INVESTMENTS (Continued)
October 31, 2003
NATIONWIDE INTERNATIONAL INDEX FUND (Continued)
PREFERRED STOCKS (0.2%)
SHARES OR
PRINCIPAL
AMOUNT VALUE
- ---------------------------------------------------------------------------------
AUSTRALIA (0.2%)
MULTI-MEDIA (0.2%)
News Corp. Ltd. 105,563 $ 776,736
-----------
- ---------------------------------------------------------------------------------
GERMANY (0.0%)
AUTOMOTIVE (0.0%)
Volkswagen AG 2,726 92,851
-----------
UTILITIES (0.0%)
RWE AG 23 564
-----------
93,415
-----------
TOTAL PREFERRED STOCKS 870,151
-----------
RIGHTS (0.0%)
AUSTRALIA (0.0%)
BANKS (0.0%)
Australia & New Zealand Banking Group Ltd.,
Expires 11/24/03 14,268 43,634
-----------
INSURANCE (0.0%)
Amp Ltd., Expires 12/12/03 85,037 0
-----------
43,634
-----------
- ---------------------------------------------------------------------------------
FRANCE (0.0%)
BANKS (0.0%)
Credit Agricole SA, Expires 11/07/03 16,790 3,904
-----------
- ---------------------------------------------------------------------------------
GERMANY (0.0%)
INSURANCE (0.0%)
Muenchener Rueckversicherungs-Gesellschaft AG,
Expires 11/10/03 6,152 50,848
-----------
- ---------------------------------------------------------------------------------
UNITED KINGDOM (0.0%)
UTILITIES (0.0%)
United Utilities PLC, Expires 06/05 33,588 0
-----------
TOTAL RIGHTS 98,386
-----------
U.S. GOVERNMENT OBLIGATIONS (0.5%)
SHARES OR
PRINCIPAL
AMOUNT VALUE
- ---------------------------------------------------------------------------------
US TREASURY BILL (0.5%)
0.92%, 12/18/03 (c) $ 1,800,000 $ 1,798,050
-----------
TOTAL U.S. GOVERNMENT OBLIGATIONS 1,798,050
-----------
WARRANTS (0.0%)
HONG KONG (0.0%)
REAL ESTATE (0.0%)
Hopewell Holdings Ltd.,
Expires 08/05/06 7,158 1,475
-----------
TOTAL WARRANTS 1,475
-----------
REPURCHASE AGREEMENTS (8.9%)
CS First Boston, 0.94%, dated
10/31/03, due 11/03/03, repurchase
price 16,796,432 (Fully collateralized
by AA Rated Corporate Bonds) $16,795,115 16,795,115
Lehman Brothers, Inc., 0.94%,
dated 10/31/03, due 11/03/03, repurchase
price $3,110,437 (Fully collateralized
by U.S. Agency Securities) 3,110,193 3,110,193
Nomura Securities, 0.94%,dated
10/31/03, due 11/03/03, repurchase
price $13,437,145 (Fully collateralized
by AA Rated Corporate Bonds) 13,436,093 13,436,093
-----------
TOTAL REPURCHASE AGREEMENTS 33,341,401
-----------
78 ANNUAL REPORT 2003
- --------------------------------------------------------------------------------
SHORT-TERM INVESTMENTS PURCHASED WITH CASH COLLATERAl
RECEIVED FOR SECURITIES ON LOAN (3.2%)
SHARES OR
PRINCIPAL
AMOUNT VALUE
- -------------------------------------------------------------
REPURCHASE AGREEMENTS (3.2%)
Nomura Securities, 1.07%, dated 10/31/03,
due 11/03/03, repurchase price $12,204,701
(Fully collateralized by U.S.
Agency Securities) $12,203,613 $ 12,203,613
-------------
TOTAL SHORT-TERM INVESTMENTS PURCHASED WITH CASH
COLLATERAL RECEIVED FOR SECURITIES ON LOAN 12,203,613
-------------
TOTAL INVESTMENTS (COST 332,502,716) - 100.8% 379,265,332
LIABILITIES IN EXCESS OF OTHER ASSETS - (0.8)% (3,051,578)
-------------
NET ASSETS - 100.0% $376,213,754
=============
(a) See notes to financial statements for unrealized appreciation
(depreciation) of securities
(b) Denotes a non-income producing security.
(c) Pledged as collateral for futures.
ADR American Depositary Receipt
At October 31, 2003, the Fund's forward currency contracts were as follows:
UNREALIZED
DELIVERY CONTRACT MARKET APPRECIATION
CURRENCY DATE VALUE VALUE (DEPRECIATION)
- -------------------------------------------------------------------------
SHORT:
Hong Kong Dollar 11/03/03 $ 64,434 $ 64,391 $ ( 43)
-------------------------------------
TOTAL SHORT CONTRACTS $ 64,434 $ 64,391 $ ( 43)
=====================================
LONG:
Australia Dollar 11/03/03 $ 70,580 $ 70,932 $ 352
British Pound 11/26/03 9,443,987 9,467,737 23,750
British Pound 11/26/03 1,221,474 1,219,458 (2,016)
Danish Kroner 11/04/03 15,591 15,637 46
Euro 11/26/03 196,908 197,450 542
Euro 11/26/03 13,591,511 13,426,571 (164,940)
Japanese Yen 11/26/03 9,723,609 9,679,714 (43,895)
Japanese Yen 11/26/03 72,649 72,848 199
Singapore Dollar 11/03/03 28,788 28,721 (67)
Swiss Franc 11/26/03 3,101,590 3,058,118 (43,472)
Swiss Franc 11/26/03 37,349 37,477 128
-------------------------------------
TOTAL LONG CONTRACTS $37,504,036 $37,274,663 $( 229,373)
=====================================
At October 31, 2003, the Fund's open long futures contracts
were as follows:
MARKET VALUE UNREALIZED
NUMBER OF LONG COVERED BY APPRECIATION
CONTRACTS CONTRACTS EXPIRATION CONTRACTS (DEPRECIATION)
- ----------------------------------------------------------------------------------------
Australia 45 S&P 200 Inde 12/18/03 $ 2,601,478 $ (12,904)
Europe 600 DJ Euro Stoxx 50 12/19/03 18,030,376 152,613
Europe 1 DAX Index 12/19/03 106,340 214
Europe 2 Milan MIB 30 Ind 12/19/03 302,610 2,653
Hong Kong 28 Hang Seng Index 11/27/03 2,180,486 (15,328)
Japan 97 Topix Index 12/11/03 9,233,684 (137,263)
United Kingdom 160 FTSE 100 Index 12/19/03 11,666,882 (49,072)
------------------------------
$ 44,121,856 $ (59,087)
==============================
SEE NOTES TO FINANCIAL STATEMENTS.
2003 ANNUAL REPORT 79
- --------------------------------------------------------------------------------
NATIONWIDE BOND INDEX FUND
Class A Shares symbol: NBXAX
Class B Shares symbol: NBXBX
Institutional Class symbol: NBXIX
HOW DID THE FUND PERFORM?
For the annual period ended Oct. 31, 2003, the Fund returned 3.96%* versus 4.91%
for its benchmark, the Lehman Brothers U.S. Aggregate Bond Index.
For broader comparison, the average return for this Fund's peer category
(Intermediate Investment Grade Debt Funds) was 5.66%, according to Lipper, an
independent company that provides mutual fund data and analysis.
WHAT MARKET/ECONOMIC AND PORTFOLIO-SPECIFIC FACTORS AFFECTED PERFORMANCE?
The fixed-income markets, represented by the Lehman Brothers U.S. Aggregate Bond
Index, enjoyed a generally favorable environment during the period with a total
return of just under 5%. Ten of the 12 months during the period saw positive
returns for the Index, but the overall return was significantly affected by two
months of negative performance: July 2003 with -3.36%, the worst performance for
the Index in nearly 20 years, and October 2003 with -1.00%.
All three sectors within the Index generated positive returns during the
period. Government bonds, corporate bonds, and mortgage-backed securities
returned 2.90%, 10.57% and 2.75%, respectively. Government bonds had a volatile
year as bond yields fell to historic lows (the 10-year note) only to return
later to nearly the same yields that these bonds had held at the beginning of
the period; however, the yield curve became steeper. Corporate bonds gained from
increasing corporate profits and revenues, and decreasing numbers of downgrades
and defaults. Mortgage-backed securities (MBS) suffered from severe volatility
due to declining interest rates that created huge numbers of refinancings on
existing mortgages.
DESCRIBE THE FUND'S TOP HOLDINGS AND ANY SIGNIFICANT TRANSACTIONS MADE DURING
THE PERIOD.
The government bond component of the portfolio at the end of the period had 59
positions that replicate the exposure of roughly 1,000 securities. The credit
component of the Fund's portfolio had about 300 issues representing more than
3,800 bonds in the Index. Corporate bonds have more factors influencing their
returns, which calls for the construction of a much more diversified portfolio
to replicate the Index. The mortgage-backed securities (MBS) component of the
portfolio has about 40 positions versus roughly about 2,000 for the Index. Given
the liquid nature of the market, the Fund is able to achieve the appropriate
exposure with a limited number of portfolio positions. For general MBS exposure,
the Fund has built a portfolio that replicates the underlying coupon (5%, 5.5%,
6%, etc.), the issuer (Fannie Mae, Freddie Mac, Ginnie Mae) and the MBS maturity
(15 or 30 years).
HOW IS THE FUND POSITIONED?
The Fund will continue to pursue its stratified sampling investment process,
which affords the opportunity to replicate the returns of the Index while
maintaining liquidity and minimizing portfolio transaction costs. The Fund
currently is positioned to mimic the exposure of the Index's major market
sectors and will remain so for the foreseeable future.
PORTFOLIO MANAGER: Fund Asset Management, L.P. - Subadviser
* Performance of Class A shares without sales charge and assuming all
distributions are reinvested.
PORTFOLIO MARKET VALUE $683,483,316
OCTOBER 31, 2003
AVERAGE ANNUAL TOTAL RETURN
(For Periods Ended October 31, 2003)
1 YR. 5 YR. INCEPTION1
- -----------------------------------------------------------
Class A w/o SC2 3.96% 5.89% 7.19%
w/SC3 -2.03% 4.64% 6.24%
- -----------------------------------------------------------
Class B4 w/o SC2 3.34% 5.63% 6.99%
w/SC5 -1.66% 5.30% 6.99%
- -----------------------------------------------------------
Institutional Class6 4.47% 6.27% 7.49%
- -----------------------------------------------------------
All figures showing the effect of a sales charge reflect the maximum charge
possible, because it has the most dramatic effect on performance data.
1 These returns until the creation of Class A and Institutional shares
(12/29/99) include the performance of the Master Aggregate Bond Index
Series (the "Series"), which began operations on April 3, 1997. Excluding
the effect of any fee waivers or reimbursements, such prior performance is
similar to what Class A and Institutional Class shares would have produced
because these classes of the Fund's shares invested in the same portfolio
of securities as the Series. The performance for these classes has been
restated to reflect differences in sales charges (where applicable), but
does not reflect the differing levels of other fees applicable to such
classes; if these fees were reflected, the performance for Class A and
Institutional Class shares would have been lower.
2 These returns do not reflect the effects of sales charges (SC).
3 A 5.75% front-end sales charge was deducted.
4 These returns until the creation of Class B shares (10/12/01) include
performance based on the Series for the period through December 28, 1999
and the Fund's Class A shares for the period from December 29, 1999 to
October 11, 2001. Excluding the effect of any fee waivers or
reimbursements, such prior performance is similar to what Class B shares
would have produced because Class B shares invest in the same portfolio of
securities as Class A shares. The performance for these classes has been
restated to reflect differences in sales charges (where applicable), but
does not reflect the differing levels of other fees (primarily Rule 12b-1
and/or administrative services fees) applicable to such classes; if these
fees were reflected, the performance for Class B shares would have been
lower.
5 A 5.00% maximum contingent deferred sales charge (CDSC) was deducted. The
CDSC declines to 0% after 6 years.
6 Not subject to any sales charges.
GROWTH OF A $10,000 INVESTMENT
INVESTMENT RETURN AND PRINCIPAL VALUE WILL FLUCTUATE, AND WHEN REDEEMED, SHARES
MAY BE WORTH MORE OR LESS THAN ORIGINAL COST. PAST PERFORMANCE IS NO GUARANTEE
OF FUTURE RESULTS.
Date Class A LB Aggregate Bond CPI
- ----------------------------------------------
4/3/1997 9,425 10,000 10,000
10/31/1997 10,197 10,869 10,100
10/31/1998 11,182 11,883 10,250
10/31/1999 11,227 11,945 10,513
10/31/2000 11,831 12,817 10,875
10/31/2001 13,634 14,682 11,106
10/31/2002 14,323 15,548 11,331
10/31/2003 14,895 16,310 11,616
Comparative performance of $10,000 invested in Class A shares of the Nationwide
Bond Index Fund, the Lehman Brothers Aggregate Bond Index (LB Aggregate
Bond)(a), and the Consumer Price Index (CPI)(b) since inception. Unlike the
Fund, the returns for these indices do not reflect any fees, expenses, or sales
charges.
(a) The LB Aggregate Bond is an unmanaged index comprised of U.S. government
securities and corporate debt securities and is generally representative of
the bond market as a whole.
(b) The CPI represents changes in prices of a basket of goods and services
purchased for consumption by urban households.
80 ANNUAL REPORT 2003
- --------------------------------------------------------------------------------
STATEMENT OF INVESTMENTS
October 31, 2003
NATIONWIDE BOND INDEX FUND
U.S. GOVERNMENT AND AGENCY LONG-TERM OBLIGATIONS (71.4%)
PRINCIPAL
AMOUNT VALUE
- -------------------------------------------------------------------------------
FEDERAL HOME LOAN MORTGAGE CORPORATION (36.0%)
7.18%, 06/27/06 $ 55,000 $ 61,836
5.50%, 07/15/06 5,080,000 5,475,392
4.88%, 03/15/07 6,170,000 6,561,079
5.13%, 07/15/12 3,280,000 3,399,694
6.75%, 09/15/29 945,000 1,077,788
6.25%, 07/15/32 2,110,000 2,275,941
Gold, Pool #G10940, 6.50%, 11/01/11 127,405 134,024
Gold, Pool #E00507, 7.50%, 09/01/12 21,306 22,684
Gold, Pool #E72896, 7.00%, 10/01/13 134,894 142,954
Gold, Pool #G11001, 6.50%, 03/01/15 271,601 285,124
Gold, Pool #G11003, 7.50%, 04/01/15 22,198 23,634
Gold, Pool #G11164, 7.00%, 05/01/15 74,616 79,080
Gold, Pool #E81396, 7.00%, 10/01/15 19,829 21,014
Gold, Pool #E81394, 7.50%, 10/01/15 106,304 113,191
Gold, Pool #E84097, 6.50%, 12/01/15 44,321 46,506
Gold, Pool #E82132, 7.00%, 01/01/16 32,113 34,033
Gold, Pool #E00938, 7.00%, 01/01/16 183,671 194,649
Gold, Pool #E82815, 6.00%, 03/01/16 117,080 121,740
Gold, Pool #E83231, 6.00%, 04/01/16 45,129 46,913
Gold, Pool #E83233, 6.00%, 04/01/16 124,620 129,547
Gold, Pool #E83046, 7.00%, 04/01/16 29,641 31,412
Gold, Pool #E00975, 6.00%, 05/01/16 508,163 528,255
Gold, Pool #E83636, 6.00%, 05/01/16 267,689 278,274
Gold, Pool #E83355, 6.00%, 05/01/16 143,575 149,252
Gold, Pool #G11122, 6.50%, 05/01/16 104,081 109,212
Gold, Pool #E83933, 6.50%, 05/01/16 16,507 17,321
Gold, Pool #E00985, 6.00%, 06/01/16 263,651 274,076
Gold, Pool #E84236, 6.50%, 06/01/16 81,319 85,331
Gold, Pool #E00987, 6.50%, 06/01/16 228,734 240,019
Gold, Pool #E00996, 6.50%, 07/01/16 29,306 30,752
Gold, Pool #E85117, 6.50%, 08/01/16 111,367 116,862
Gold, Pool #E84912, 6.50%, 08/01/16 66,991 70,297
Gold, Pool #E85387, 6.00%, 09/01/16 360,165 374,406
Gold, Pool #E85800, 6.50%, 10/01/16 64,177 67,343
Gold, Pool #E86183, 6.00%, 11/01/16 32,276 33,552
Gold, Pool #E01083, 7.00%, 11/01/16 53,562 56,765
Gold, Pool #E11207, 7.00%, 11/01/16 164,125 173,935
Gold, Pool #E86533, 6.00%, 12/01/16 81,639 84,867
Gold, Pool #E87584, 6.00%, 01/01/17 88,592 92,095
Gold, Pool #C01095, 6.00%, 01/01/17 98,965 102,877
Gold, Pool #E87446, 6.50%, 01/01/17 44,631 46,829
Gold, Pool #E86995, 6.50%, 01/01/17 164,637 172,760
Gold, Pool #E87291, 6.50%, 01/01/17 210,940 221,348
Gold, Pool #E88076, 6.00%, 02/01/17 70,589 73,369
Gold, Pool #E01127, 6.50%, 02/01/17 155,417 163,085
Gold, Pool #E88106, 6.50%, 02/01/17 343,905 360,848
Gold, Pool #C88768, 6.00%, 03/01/17 292,423 303,986
Gold, Pool #C88134, 6.00%, 03/01/17 21,261 22,098
Gold, Pool #E88474, 6.00%, 03/01/17 159,169 165,436
Gold, Pool #E01137, 6.00%, 03/01/17 141,010 146,562
Gold, Pool #C01138, 6.50%, 03/01/17 79,519 83,437
Gold, Pool #E89151, 6.00%, 04/01/17 290,561 302,001
PRINCIPAL
AMOUNT VALUE
- -------------------------------------------------------------------------------
FEDERAL HOME LOAN MORTGAGE CORPORATION (continued)
Gold, Pool #E89217, 6.00%, 04/01/17 $ 73,628 $ 76,527
Gold, Pool #C01139, 6.00%, 04/01/17 218,381 226,979
Gold, Pool #E89347, 6.00%, 04/01/17 31,485 32,725
Gold, Pool #E88729, 6.00%, 04/01/17 148,337 154,178
Gold, Pool #E89496, 6.00%, 04/01/17 144,621 150,315
Gold, Pool #E89149, 6.00%, 04/01/17 215,133 223,604
Gold, Pool #E89203, 6.50%, 04/01/17 73,074 76,674
Gold, Pool #E89788, 6.00%, 05/01/17 82,236 85,474
Gold, Pool #E01140, 6.00%, 05/01/17 533,966 554,991
Gold, Pool #E89530, 6.00%, 05/01/17 382,623 397,689
Gold, Pool #E89909, 6.00%, 05/01/17 174,367 181,233
Gold, Pool #C01156, 6.50%, 05/01/17 229,992 241,322
Gold, Pool #E90227, 6.00%, 06/01/17 96,666 100,472
Gold, Pool #E01157, 6.00%, 06/01/17 374,236 388,971
Gold, Pool #C90313, 6.00%, 06/01/17 69,538 72,276
Gold, Pool #E90194, 6.00%, 06/01/17 153,908 159,968
Gold, Pool #C90667, 6.00%, 07/01/17 94,817 98,550
Gold, Pool #C01205, 6.50%, 08/01/17 164,207 172,297
Gold, Pool #G11458, 6.00%, 09/01/17 370,000 385,095
Gold, Pool #E93738, 5.50%, 01/01/18 500,000 515,076
Gold, Pool #E98207, 5.00%, 04/01/18 191,088 194,179
Gold, Pool #E98258, 5.00%, 07/01/18 909,998 924,717
Gold, Pool #E97366, 5.00%, 07/01/18 1,463,951 1,487,630
Gold, Pool #E97702, 5.00%, 07/01/18 2,399,998 2,438,817
Gold, Pool #E97335, 5.00%, 07/01/18 6,635,002 6,742,320
Gold, Pool #E98508, 4.50%, 08/01/18 990,762 989,000
Gold, Pool #E01446, 4.50%, 09/01/18 2,888,727 2,883,591
Gold, Pool #E99498, 5.00%, 09/01/18 428,397 435,326
Gold, Pool #E99608, 4.50%, 10/01/18 1,195,446 1,193,321
Gold, Pool #E99675, 5.00%, 10/01/18 2,994,354 3,042,786
Gold, Pool #E99673, 5.00%, 10/01/18 300,001 304,853
Gold, Pool #E01488, 5.00%, 10/01/18 499,950 508,036
Gold, Pool #C00351, 8.00%, 07/01/24 15,384 16,726
Gold, Pool #D60780, 8.00%, 06/01/25 25,572 27,764
Gold, Pool #D82854, 7.00%, 10/01/27 59,926 63,161
Gold, Pool #C00566, 7.50%, 12/01/27 78,661 84,149
Gold, Pool #C16221, 7.00%, 10/01/28 3,399 3,582
Gold, Pool #C00676, 6.50%, 11/01/28 392,918 409,173
Gold, Pool #C18271, 7.00%, 11/01/28 79,121 83,363
Gold, Pool #C00182, 7.00%, 11/01/28 98,852 104,151
Gold, Pool #C24416, 8.50%, 02/01/29 17,282 18,613
Gold, Pool #C00836, 7.00%, 07/01/29 53,603 56,432
Gold, Pool #C30265, 6.50%, 08/01/29 148,291 154,376
Gold, Pool #C31282, 7.00%, 09/01/29 17,868 18,811
Gold, Pool #C31285, 7.00%, 09/01/29 132,820 139,831
Gold, Pool #C32914, 8.00%, 11/01/29 96,951 104,453
Gold, Pool #C37436, 8.00%, 01/01/30 69,403 74,773
Gold, Pool #E36306, 7.00%, 02/01/30 46,163 48,570
Gold, Pool #C36429, 7.00%, 02/01/30 84,871 89,298
Gold, Pool #C00921, 7.50%, 02/01/30 68,259 72,892
Gold, Pool #G01108, 7.00%, 04/01/30 47,973 50,505
Gold, Pool #C37703, 7.50%, 04/01/30 52,330 55,882
2003 ANNUAL REPORT 81
- --------------------------------------------------------------------------------
STATEMENT OF INVESTMENTS (Continued)
October 31, 2003
NATIONWIDE BOND INDEX FUND (Continued)
U.S. GOVERNMENT AND AGENCY LONG-TERM OBLIGATIONS (CONTINUED)
PRINCIPAL
AMOUNT VALUE
- --------------------------------------------------------------------------------
FEDERAL HOME LOAN MORTGAGE CORPORATION (continued)
Gold, Pool #G01133, 6.50%, 07/01/30 $ 330,043 $ 343,697
Gold, Pool #C41561, 8.00%, 08/01/30 39,360 42,370
Gold, Pool #C01051, 8.00%, 09/01/30 170,779 183,837
Gold, Pool #C43550, 7.00%, 10/01/30 112,067 117,913
Gold, Pool #C44017, 7.50%, 10/01/30 29,386 31,381
Gold, Pool #C44978, 7.00%, 11/01/30 71,215 74,930
Gold, Pool #C44535, 7.50%, 11/01/30 49,324 52,672
Gold, Pool #C44957, 8.00%, 11/01/30 59,375 63,915
Gold, Pool #C55715, 7.00%, 12/01/30 37,490 39,445
Gold, Pool #C01103, 7.50%, 12/01/30 65,486 69,931
Gold, Pool #C01116, 7.50%, 01/01/31 69,657 74,385
Gold, Pool #C46932, 7.50%, 01/01/31 156,535 167,160
Gold, Pool #C47287, 7.50%, 02/01/31 76,019 81,179
Gold, Pool #G01217, 7.00%, 03/01/31 692,049 728,147
Gold, Pool #C48851, 7.00%, 03/01/31 141,519 148,896
Gold, Pool #C48206, 7.50%, 03/01/31 52,729 56,308
Gold, Pool #C48938, 7.50%, 03/01/31 549,552 586,853
Gold, Pool #C01172, 6.50%, 05/01/31 371,425 386,352
Gold, Pool #C52685, 6.50%, 05/01/31 356,415 370,738
Gold, Pool #C52136, 7.00%, 05/01/31 151,057 158,932
Gold, Pool #C53589, 6.50%, 06/01/31 748,293 778,366
Gold, Pool #C53324, 7.00%, 06/01/31 264,019 277,783
Gold, Pool #C01209, 8.00%, 06/01/31 55,809 60,076
Gold, Pool #C58454, 7.50%, 07/01/31 40,881 43,656
Gold, Pool #C55071, 7.50%, 07/01/31 84,129 89,840
Gold, Pool #G01309, 7.00%, 08/01/31 199,944 210,367
Gold, Pool #C56769, 8.00%, 08/01/31 179,932 193,577
Gold, Pool #C01220, 6.50%, 09/01/31 84,253 87,639
Gold, Pool #C58215, 6.50%, 09/01/31 34,459 35,844
Gold, Pool #C58362, 6.50%, 09/01/31 189,187 196,790
Gold, Pool #G01311, 7.00%, 09/01/31 97,229 102,301
Gold, Pool #C01222, 7.00%, 09/01/31 128,761 135,473
Gold, Pool #G01315, 7.00%, 09/01/31 41,872 44,056
Gold, Pool #C01244, 6.50%, 10/01/31 504,160 524,422
Gold, Pool #C58694, 7.00%, 10/01/31 348,159 366,309
Gold, Pool #C58647, 7.00%, 10/01/31 29,432 30,967
Gold, Pool #C60991, 6.50%, 11/01/31 48,590 50,543
Gold, Pool #C60012, 7.00%, 11/01/31 132,265 139,161
Gold, Pool #C61298, 8.00%, 11/01/31 125,235 134,733
Gold, Pool #C01271, 6.50%, 12/01/31 128,123 133,272
Gold, Pool #C61105, 7.00%, 12/01/31 125,263 131,794
Gold, Pool #C01305, 7.50%, 12/01/31 85,378 91,173
Gold, Pool #C63171, 7.00%, 01/01/32 198,209 208,542
Gold, Pool #C62218, 7.00%, 01/01/32 147,793 155,497
Gold, Pool #C01355, 6.50%, 02/01/32 195,723 203,589
Gold, Pool #C64121, 7.50%, 02/01/32 279,729 298,717
Gold, Pool #C64668, 6.50%, 03/01/32 155,493 161,730
Gold, Pool #C01310, 6.50%, 03/01/32 1,432,250 1,489,699
Gold, Pool #C65466, 6.50%, 03/01/32 678,348 705,558
Gold, Pool #C66088, 6.50%, 04/01/32 567,058 589,803
Gold, Pool #C66192, 6.50%, 04/01/32 121,145 126,004
Gold, Pool #C01343, 6.50%, 04/01/32 298,172 310,132
PRINCIPAL
AMOUNT VALUE
- --------------------------------------------------------------------------------
FEDERAL HOME LOAN MORTGAGE CORPORATION (continued)
Gold, Pool #C66191, 6.50%, 04/01/32 $ 161,519 $ 167,998
Gold, Pool #C66744, 7.00%, 04/01/32 131,146 137,962
Gold, Pool #G01391, 7.00%, 04/01/32 241,475 254,071
Gold, Pool #C01345, 7.00%, 04/01/32 462,200 486,225
Gold, Pool #C65717, 7.50%, 04/01/32 182,484 194,880
Gold, Pool #C01370, 8.00%, 04/01/32 162,272 174,502
Gold, Pool #C67313, 6.50%, 05/01/32 94,174 97,952
Gold, Pool #C66919, 6.50%, 05/01/32 80,029 83,239
Gold, Pool #C67097, 6.50%, 05/01/32 118,391 123,140
Gold, Pool #C01351, 6.50%, 05/01/32 386,402 401,901
Gold, Pool #C67259, 7.00%, 05/01/32 127,528 134,157
Gold, Pool #C66916, 7.00%, 05/01/32 553,697 582,478
Gold, Pool #C67996, 6.50%, 06/01/32 108,165 112,503
Gold, Pool #C01364, 6.50%, 06/01/32 410,167 426,619
Gold, Pool #C72497, 6.50%, 06/01/32 212,354 220,888
Gold, Pool #C72361, 6.50%, 06/01/32 207,791 216,142
Gold, Pool #C68290, 7.00%, 06/01/32 116,878 122,953
Gold, Pool #C68307, 8.00%, 06/01/32 133,373 143,425
Gold, Pool #C71403, 6.50%, 07/01/32 419,035 435,875
Gold, Pool #G01433, 6.50%, 07/01/32 253,696 263,872
Gold, Pool #G01449, 7.00%, 07/01/32 1,269,909 1,336,149
Gold, Pool #C68988, 7.50%, 07/01/32 148,177 158,243
Gold, Pool #C01385, 6.50%, 08/01/32 548,421 570,419
Gold, Pool #C69951, 6.50%, 08/01/32 419,908 436,751
Gold, Pool #G01443, 6.50%, 08/01/32 1,625,608 1,690,814
Gold, Pool #C74006, 6.50%, 08/01/32 205,345 213,582
Gold, Pool #G01444, 6.50%, 08/01/32 1,622,536 1,687,743
Gold, Pool #C70211, 7.00%, 08/01/32 654,031 688,027
Gold, Pool #C01396, 6.50%, 09/01/32 821,217 854,157
Gold, Pool #C71089, 7.50%, 09/01/32 145,539 155,426
Gold, Pool #C01404, 6.50%, 10/01/32 2,152,139 2,238,464
Gold, Pool #C72160, 7.50%, 10/01/32 262,869 280,727
Gold, Pool #C73984, 6.50%, 12/01/32 331,956 345,271
Gold, Pool #C77531, 6.50%, 02/01/33 715,242 743,931
Gold, Pool #A11094, 5.50%, 06/01/33 286,281 288,811
Gold, Pool #A10212, 6.50%, 06/01/33 293,086 304,844
Gold, Pool #C01598, 5.00%, 08/01/33 3,899,611 3,840,234
Gold, Pool #A14235, 5.00%, 10/01/33 2,780,000 2,737,671
Gold, Pool #A14803, 5.00%, 10/01/33 8,500,000 8,370,576
Gold, Pool #C01648, 5.00%, 10/01/33 500,000 492,387
TBA, 4.00%, 11/01/18 (c) 2,000,000 1,948,750
TBA, 4.50%, 11/01/18 (c) 6,610,000 6,591,413
TBA, 5.50%, 11/01/18 (c) 6,397,000 6,586,914
TBA, 6.00%, 11/01/18 (c) 300,000 311,719
TBA, 5.50%, 12/01/18 (c) 300,000 307,969
TBA, 6.00%, 12/01/18 (c) 300,000 311,063
TBA, 7.50%, 12/01/18 (c) 300,000 319,031
TBA, 4.00%, 01/01/19 (c) 2,600,000 2,516,311
TBA, 4.50%, 01/01/19 (c) 2,040,000 2,020,236
TBA, 5.50%, 01/01/19 (c) 300,000 308,531
TBA, 6.00%, 10/01/33 (c) 153 157
TBA, 5.00%, 11/01/33 (c) 1,200,000 1,180,874
82 ANNUAL REPORT 2003
- --------------------------------------------------------------------------------
U.S. GOVERNMENT AND AGENCY LONG-TERM OBLIGATIONS (CONTINUED)
PRINCIPAL
AMOUNT VALUE
- ----------------------------------------------------------------------
FEDERAL HOME LOAN MORTGAGE CORPORATION (continued)
TBA, 5.50%, 11/01/33 (c) $32,009,000 $ 32,269,073
TBA, 6.00%, 11/01/33 (c) 23,951,000 24,579,714
TBA, 6.50%, 11/01/33 (c) 4,100,000 4,264,000
TBA, 6.00%, 12/01/33 (c) 1,200,000 1,227,374
TBA, 4.50%, 01/01/34 (c) 900,000 852,188
TBA, 5.00%, 01/01/34 (c) 4,200,000 4,104,190
TBA, 5.50%, 01/01/34 (c) 900,000 900,281
TBA, 6.00%, 01/01/34 (c) 520,000 533,000
TBA, 7.00%, 01/01/34 (c) 460,000 483,288
------------
188,058,521
------------
- ----------------------------------------------------------------------
FEDERAL NATIONAL MORTGAGE ASSOCIATION (12.9%)
6.85%, 04/05/04 10,000 10,242
3.50%, 09/15/04 11,600,000 11,816,526
5.75%, 02/15/08 20,350,000 22,298,491
6.63%, 11/15/10 9,270,000 10,590,669
5.50%, 03/15/11 2,570,000 2,759,216
5.38%, 11/15/11 3,365,000 3,564,726
4.38%, 03/15/13 9,605,000 9,367,920
Series 2003-16, 5.00%, 03/25/18 6,921,551 6,925,285
Pool #709921, 5.00%, 06/01/18 342,011 347,650
Pool #560868, 7.50%, 02/01/31 49,238 52,466
Pool #607559, 6.50%, 11/01/31 38,115 39,604
Pool #607632, 6.50%, 11/01/31 20,589 21,393
------------
67,794,188
------------
- ----------------------------------------------------------------------
FINANCING CORPORATION (0.0%)
9.80%, 11/30/17 30,000 43,795
------------
- ----------------------------------------------------------------------
GOVERNMENT NATIONAL MORTGAGE ASSOCIATION (4.7%)
Pool #279461, 9.00%, 11/15/19 23,353 25,917
Pool #376510, 7.00%, 05/15/24 62,859 66,963
Pool #780678, 6.50%, 11/15/27 46,628 48,975
Pool #457801, 7.00%, 08/15/28 104,079 110,411
Pool #486936, 6.50%, 02/15/29 81,964 85,890
Pool #490258, 6.50%, 02/15/29 35,978 37,701
Pool #502969, 6.00%, 03/15/29 185,304 191,589
Pool #487053, 7.00%, 03/15/29 99,769 105,805
Pool #781014, 6.00%, 04/15/29 175,132 181,170
Pool #509099, 7.00%, 06/15/29 91,306 96,830
Pool #470643, 7.00%, 07/15/29 473,197 501,825
Pool #434505, 7.50%, 08/15/29 22,578 24,137
Pool #416538, 7.00%, 10/15/29 41,176 43,667
Pool #524269, 8.00%, 11/15/29 40,635 43,871
Pool #781265, 6.50%, 12/15/29 228,753 239,757
Pool #781124, 7.00%, 12/15/29 500,000 530,333
Pool #525561, 8.00%, 01/15/30 61,564 66,457
Pool #507396, 7.50%, 09/15/30 451,426 482,449
Pool #531352, 7.50%, 09/15/30 111,994 119,691
Pool #536334, 7.50%, 10/15/30 11,923 12,743
Pool #519020, 7.50%, 11/15/30 23,789 25,423
PRINCIPAL
AMOUNT VALUE
- ----------------------------------------------------------------------
GOVERNMENT NATIONAL MORTGAGE ASSOCIATION (continued)
Pool #545233, 7.50%, 12/15/30 $ 12,047 $ 12,875
Pool #540659, 7.00%, 01/15/31 45,159 47,866
Pool #486019, 7.50%, 01/15/31 66,706 71,263
Pool #535388, 7.50%, 01/15/31 87,560 93,542
Pool #537406, 7.50%, 02/15/31 24,766 26,458
Pool #528589, 6.50%, 03/15/31 185,577 194,427
Pool #520073, 6.50%, 04/15/31 1,109,442 1,162,349
Pool #533723, 7.50%, 04/15/31 51,542 55,063
Pool #508473, 7.50%, 04/15/31 227,059 242,572
Pool #544470, 8.00%, 04/15/31 107,206 115,722
Pool #781287, 7.00%, 05/15/31 333,546 353,673
Pool #541499, 6.50%, 07/15/31 99,713 104,468
Pool #781319, 7.00%, 07/15/31 122,192 129,535
Pool #549742, 7.00%, 07/15/31 152,598 161,746
Pool #485879, 7.00%, 08/15/31 206,556 218,938
Pool #781328, 7.00%, 09/15/31 301,597 319,801
Pool #555125, 7.00%, 09/15/31 66,483 70,469
Pool #485857, 6.50%, 10/15/31 64,641 67,723
Pool #550991, 6.50%, 10/15/31 118,698 124,358
Pool #571267, 7.00%, 10/15/31 67,113 71,136
Pool #547948, 6.50%, 11/15/31 84,437 88,463
Pool #568201, 6.50%, 11/15/31 85,295 89,362
Pool #574837, 7.50%, 11/15/31 107,438 114,779
Pool #555171, 6.50%, 12/15/31 62,626 65,612
Pool #427546, 6.50%, 12/15/31 75,892 79,511
Pool #781380, 7.50%, 12/15/31 124,679 133,238
Pool #781481, 7.50%, 01/15/32 657,886 703,130
Pool #580972, 6.50%, 02/15/32 109,341 114,489
Pool #781401, 7.50%, 02/15/32 377,987 403,898
Pool #579669, 6.50%, 03/15/32 385,343 403,485
Pool #552474, 7.00%, 03/15/32 304,615 322,679
Pool #781478, 7.50%, 03/15/32 192,615 205,862
Pool #781429, 8.00%, 03/15/32 283,968 306,473
Pool #569426, 6.50%, 05/15/32 275,471 288,440
Pool #581925, 6.50%, 05/15/32 119,505 125,132
Pool #587661, 6.50%, 05/15/32 526,288 551,066
Pool #583942, 6.50%, 06/15/32 407,746 426,943
Pool #583645, 8.00%, 07/15/32 154,298 166,524
Pool #565506, 6.50%, 09/15/32 284,375 297,763
Pool #590424, 6.50%, 09/15/32 187,485 196,311
Pool #595077, 6.00%, 10/15/32 664,174 686,413
Pool #596657, 7.00%, 10/15/32 139,691 147,975
Pool #588192, 6.00%, 02/15/33 363,231 375,311
Pool #602102, 6.00%, 02/15/33 946,879 978,371
Pool #602779, 6.50%, 02/15/33 487,754 510,710
Pool #604243, 6.00%, 04/15/33 1,470,558 1,519,466
Pool #611526, 6.00%, 05/15/33 425,727 439,887
Pool #619587, 5.00%, 07/15/33 799,999 791,508
Pool #572733, 6.00%, 07/15/33 336,720 347,919
Pool #620452, 5.50%, 08/15/33 998,360 1,012,098
Pool #566495, 5.00%, 09/15/33 359,514 355,698
Pool #621697, 4.50%, 10/15/33 1,500,000 1,427,828
2003 ANNUAL REPORT 83
- --------------------------------------------------------------------------------
STATEMENT OF INVESTMENTS (Continued)
October 31, 2003
NATIONWIDE BOND INDEX FUND (Continued)
U.S. GOVERNMENT AND AGENCY LONG-TERM OBLIGATIONS (CONTINUED)
PRINCIPAL
AMOUNT VALUE
- -----------------------------------------------------------------------------------
GOVERNMENT NATIONAL MORTGAGE ASSOCIATION
(continued)
Pool #608319, 5.50%, 10/15/33 $ 3,700,000 $ 3,750,915
TBA, 4.50%, 12/01/33 (c) 700,000 663,688
-----------
24,776,535
-----------
- -----------------------------------------------------------------------------------
TENNESSEE VALLEY AUTHORITY (0.0%)
6.25%, 12/15/17 85,000 93,831
-----------
- -----------------------------------------------------------------------------------
U.S.TREASURY BONDS (5.4%)
8.75%, 11/15/08 35,000 35,088
8.75%, 05/15/17 4,360,000 6,073,855
8.50%, 02/15/20 2,900,000 4,024,202
8.75%, 08/15/20 150,000 213,070
6.25%, 08/15/23 7,820,000 8,825,606
6.38%, 08/15/27 6,380,000 7,346,717
5.38%, 02/15/31 1,755,000 1,813,613
-----------
28,332,151
-----------
- -----------------------------------------------------------------------------------
U.S.TREASURY NOTES (12.4%)
5.25%, 05/15/04 2,465,000 2,519,499
5.88%, 11/15/04 9,735,000 10,190,948
1.75%, 12/31/04 2,270,000 2,280,642
1.63%, 01/31/05 3,010,000 3,018,464
5.75%, 11/15/05 25,530,000 27,504,593
4.38%, 05/15/07 4,305,000 4,554,892
3.25%, 08/15/07 2,260,000 2,298,933
3.00%, 11/15/07 1,965,000 1,974,518
2.63%, 05/15/08 2,405,000 2,357,557
3.13%, 09/15/08 1,820,000 1,811,683
4.88%, 02/15/12 1,000,000 1,054,922
4.38%, 08/15/12 495,000 502,502
4.00%, 11/15/12 5,180,000 5,101,694
-----------
65,170,847
-----------
TOTAL U.S.GOVERNMENT AND AGENCY LONG-TERM OBLIGARTIONS 374,269,868
-----------
CORPORATE BONDS (25.9%)
AEROSPACE (0.6%)
General Dynamics Corp., 3.00%,
05/15/08 425,000 414,083
Lockheed Martin Corp., 8.50%,
12/01/29 600,000 780,064
Northrop Grumman Corp., 7.13%,
02/15/11 335,000 384,949
Raytheon Co., 6.30%, 03/15/05 190,000 199,823
Raytheon Co., 6.50%, 07/15/05 135,000 144,519
Raytheon Co., 8.20%, 03/01/06 600,000 670,786
Raytheon Co., 8.30%, 03/01/10 250,000 297,007
Raytheon Co., 5.50%, 11/15/12 150,000 151,058
United Technologies Corp., 6.35%, 03/01/11 225,000 249,297
-----------
3,291,586
-----------
CORPORATE BONDS (CONTINUED)
PRINCIPAL
AMOUNT VALUE
- -----------------------------------------------------------------------------------
AGRICULTURAL PRODUCTS (0.1%)
Potash Corporation of Saskatchewan, Inc.,
7.75%, 05/31/11 $ 70,000 $ 81,281
Potash Corporation of Saskatchewan, Inc.,
4.88%, 03/01/13 250,000 242,585
----------
323,866
----------
- ----------------------------------------------------------------------------------
AIRLINES (0.1%)
Continental Airlines, Inc., 6.56%,
02/15/12 395,000 424,052
Southwest Airlines Corp., 8.00%,
03/01/05 40,000 42,735
Southwest Airlines Corp., 7.88%,
09/01/07 24,000 27,337
----------
494,124
----------
- ----------------------------------------------------------------------------------
AUTO PARTS & EQUIPMENT (0.1%)
Delphi Auto Systems Corp., 6.55%,
06/15/06 120,000 127,866
Visteon Corp., 8.25%, 08/01/10 150,000 159,062
----------
286,928
----------
- ----------------------------------------------------------------------------------
AUTOMOBILES (0.3%)
DaimlerChrysler AG, 6.40%, 05/15/06 350,000 374,147
DaimlerChrysler AG, 7.30%, 01/15/12 250,000 270,262
DaimlerChrysler AG, 8.50%, 01/18/31 150,000 168,222
Ford Motor Co., 7.45%, 07/16/31 700,000 628,809
General Motors, 7.13%, 07/15/13 250,000 260,156
----------
1,701,596
----------
- ----------------------------------------------------------------------------------
BANKING (3.3%)
Anadarko Finance Co., 6.75%,
05/01/11 200,000 224,900
Andina de Fomento Corp., 6.88%,
03/15/12 400,000 440,090
Bank of America Corp., 5.88%,
02/15/09 400,000 437,388
Bank of America Corp., 4.88%,
09/15/12 490,000 488,880
Bank of America Corp., 4.88%,
01/15/13 250,000 248,660
Bank of New York Corp., 5.20%,
07/01/07 60,000 64,151
Bank One Corp., 6.88%, 08/01/06 115,000 127,697
Bank One Corp., 4.13%, 09/01/07 615,000 633,381
Bank One Corp., 7.88%, 08/01/10 100,000 119,481
Bank One Corp., 8.00%, 04/29/27 122,000 149,937
BB&T Corp., 6.50%, 08/01/11 300,000 334,404
BHP Finance Corp., 6.42%, 03/01/26 135,000 141,144
BSCH Issuances Ltd., 7.63%,
09/14/10 100,000 117,450
Citigroup, Inc., 7.25%, 10/01/10 325,000 378,103
Citigroup, Inc., 5.70%, 02/06/04 500,000 505,692
Citigroup, Inc., 6.50%, 02/07/06 400,000 434,250
Citigroup, Inc., 6.63%, 06/15/32 565,000 611,329
Comerica, Inc., 4.80%, 05/01/15 300,000 286,597
Deutsche Bank AG, 7.50%, 04/25/09 100,000 116,388
First Union Corp., 7.55%, 08/18/05 540,000 592,411
First Union Corp., 7.00%, 03/15/06 500,000 554,367
Firstbank Puerto Rico Corp., 7.63%,
12/20/05 100,000 107,651
FleetBoston Financial Corp., 3.85%,
02/15/08 250,000 253,055
FleetBoston Financial Corp.,
7.25%,09/15/05 250,000 273,140
FleetBoston Financial Corp.,
4.20%,11/30/07 300,000 308,854
84 ANNUAL REPORT 2003
- --------------------------------------------------------------------------------
CORPORATE BONDS (CONTINUED)
PRINCIPAL
AMOUNT VALUE
- ------------------------------------------------------------------
BANKING (continued)
HBOS PLC, 5.38%, 11/29/49 (b) (d) $ 600,000 $ 603,035
HSBC Holdings PLC, 7.50%, 07/15/09 255,000 296,216
Inter-American Development Bank,
5.75%, 02/26/08 250,000 274,395
Inter-American Development Bank,
6.80%, 10/15/25 470,000 552,793
International Bank for Reconstruction
& Development, 4.75%, 04/30/04 635,000 645,961
International Bank for Reconstruction
& Development, 3.50%, 10/22/04 150,000 153,023
International Bank for Reconstruction
& Development, 7.63%, 01/19/23 750,000 954,022
JP Morgan Chase & Co., 6.25%,
01/15/09 100,000 109,320
JP Morgan Chase & Co., 6.63%,
03/15/12 690,000 767,250
KFW International Finance, Inc., 4
..75%, 01/24/07 305,000 325,238
M & T Bank Corp., 3.85%, 04/01/13 300,000 297,628
Marshall & Ilsley, Inc., 4.13%, 09/04/07 125,000 129,901
MBNA America Bank Corp., 6.88%,
07/15/04 (b) 250,000 258,231
MBNA America Bank Corp., 7.13%,
11/15/12 190,000 215,356
National City Bank Corp., 4.00%,
09/28/07 300,000 304,929
Nationsbank Corp., 6.60%, 05/15/10 200,000 220,575
PNC Funding Corp., 5.25%, 11/15/15 600,000 594,786
Regions Financial Corp., 6.38%,
05/15/12 150,000 164,358
Sovereign Bancorp., Inc., 5.13%,
03/15/13 200,000 195,685
St. George Bank Ltd., 5.30%,
10/15/15 (b) 400,000 397,890
SunTrust Banks, Inc., 5.45%, 12/01/17 310,000 316,480
U.S. Bancorp, 1.29%, 09/16/05 (d) 300,000 300,225
Wells Fargo & Co., 7.25%, 08/24/05 400,000 436,912
Wells Fargo & Co., 6.45%, 02/01/11 850,000 949,992
Westpac Banking Corp., 4.63%,
06/01/18 250,000 231,091
-----------
17,644,692
-----------
- ------------------------------------------------------------------
BEVERAGES (0.2%)
Brown-Forman Corp., 3.00%, 03/15/08 250,000 244,187
Cadbury Schweppes PLC, 5.13%,
10/01/13 (b) 300,000 297,572
Cia Brasileira de Bebida Corp.,
8.75%, 09/15/13 (b) 400,000 413,999
Miller Brewing Co., 5.50%, 08/15/13 (b) 250,000 255,093
-----------
1,210,851
-----------
- ------------------------------------------------------------------
BUILDING & CONSTRUCTION (0.3%)
Celulosa Arauco Constitu, 5.13%,
07/09/13 (b) 300,000 291,839
Centex Corp., 7.88%, 02/01/11 250,000 291,725
Hanson Australia Funding, 5.25%,
03/15/13 250,000 248,142
Korea Development Bank Corp.,
4.25%, 11/13/07 250,000 253,319
Lennar Corp., 5.95%, 03/01/13 90,000 93,842
Masco Corp., 6.00%, 05/03/04 135,000 137,797
MDC Holdings, Inc., 5.50%, 05/15/13 100,000 99,632
Pulte Homes, Inc., 7.88%, 08/01/11 40,000 46,851
Toll Brothers, Inc., 6.88%, 11/15/12 150,000 164,631
-----------
1,627,778
-----------
PRINCIPAL
AMOUNT VALUE
- ------------------------------------------------------------------
BUSINESS SERVICES (0.1%)
Fiserv Inc., 4.00%, 04/15/08 $ 200,000 $ 198,790
Pitney Bowes, Inc., 4.75%, 05/15/18 150,000 142,148
-----------
340,938
-----------
- ------------------------------------------------------------------
CABLE (0.3%)
Comcast Corp., 5.85%, 01/15/10 465,000 494,005
Comcast Corp., 7.05%, 03/15/33 250,000 266,350
Cox Communications, Inc., 7.13%, 10/01/12 200,000 227,000
Harris Corp., 6.35%, 02/01/28 250,000 265,484
USA Interactive, 7.00%, 01/15/13 290,000 320,371
-----------
1,573,210
-----------
- ------------------------------------------------------------------
CHEMICALS (0.1%)
Chevron Phillips Chemical, 5.38%, 06/15/07 100,000 106,189
Dow Chemical Co., 5.75%, 11/15/09 170,000 179,260
ICI North America, 8.88%, 11/15/06 300,000 347,529
Praxair, Inc., 6.85%, 06/15/05 70,000 74,968
-----------
707,946
-----------
- ------------------------------------------------------------------
COMMERCIAL SERVICES (0.2%)
Aramark Corp., 6.75%, 08/01/04 100,000 103,191
Aramark Services, Inc., 6.38%,02/15/08 140,000 149,538
Cendant Corp., 6.88%, 08/15/06 580,000 637,354
-----------
890,083
-----------
- ------------------------------------------------------------------
COMPUTERS (0.2%)
First Data Corp., 6.38%, 12/15/07 350,000 384,965
Hewlett-Packard Co., 6.50%, 07/01/12 250,000 277,922
Hewlett-Packard Co., 3.63%, 03/15/08 250,000 249,442
IBM Corp., 6.45%, 08/01/07 115,000 127,695
IBM Corp., 4.75%, 11/29/12 100,000 99,997
Kern River Funding Corp., 4.89%,04/30/18 (b) 97,964 96,107
-----------
1,236,128
-----------
- ------------------------------------------------------------------
CONTAINERS (0.2%)
Newell Rubbermaid, Inc., 4.63%, 12/15/09 350,000 349,779
Newell Rubbermaid, Inc., 4.00%, 05/01/1 150,000 141,656
Packaging Corp. of America, 5.75%,
08/01/13 (b) 150,000 149,540
Sealed Air Corp., 5.38%, 04/15/08 (b) 200,000 207,870
Sealed Air Corp., 6.95%, 05/15/09 (b) 55,000 60,739
-----------
909,584
-----------
- ------------------------------------------------------------------
DEPARTMENT STORES (0.4%)
Federated Department Stores, 6.63%, 04/01/11 370,000 411,281
Federated Department Stores, 6.90%, 04/01/29 250,000 267,539
Kimberly-Clark Corp., 7.10%, 08/01/07 106,000 120,747
Kohl's Corp., 6.30%, 03/01/11 50,000 55,659
2003 ANNUAL REPORT 85
- --------------------------------------------------------------------------------
STATEMENT OF INVESTMENTS (Continued)
October 31, 2003
NATIONWIDE BOND INDEX FUND (Continued)
CORPORATE BONDS (CONTINUED)
PRINCIPAL
AMOUNT VALUE
- --------------------------------------------------------------------------
DEPARTMENT STORES (continued)
Sears Roebuck Acceptance Corp., 7.00%, 06/01/32 $ 260,000 $ 283,988
Target Corp., 10.00%, 01/01/11 112,000 147,090
Target Corp., 7.00%, 07/15/31 295,000 333,084
Wal-Mart Stores, Inc., 6.88%, 08/10/09 300,000 344,232
----------
1,963,620
----------
- --------------------------------------------------------------------------
ELECTRIC - INTEGRATED (1.0%)
Amerenenergy Generating Co.,
7.95%, 06/01/32 105,000 127,819
American Electric Power Co.,
6.13%, 05/15/06 400,000 429,620
Cincinnati Gas & Electric Corp.,
5.70%, 09/15/12 70,000 72,972
Commonwealth Edison Corp.,
6.15%, 03/15/12 200,000 217,200
Conectiv, Inc., 5.30%, 06/01/05 45,000 46,386
Consolidated Edison, Co., 7.15%,
12/01/09 60,000 69,166
Consolidated Edison Co., 4.88%,
02/01/13 60,000 60,106
Constellation Energy Group, Inc.,
6.13%, 09/01/09 280,000 306,341
Consumers Energy Co., 4.25%,
04/15/08 (b) 205,000 206,316
Consumers Energy Co., 4.00%,
05/15/10 (b) 200,000 191,373
Dominion Resource, Inc., 6.30%,
03/15/33 125,000 125,740
Duke Energy Corp., 3.75%, 03/05/08 200,000 199,910
Duke Energy Corp., 6.25%, 01/15/12 325,000 348,602
Emerson Electric Co., 7.88%, 06/01/05 115,000 125,573
Entergy Mississippi, Inc., 5.15%,
02/01/13 (b) 490,000 477,832
General Electric Co., 5.00%, 02/01/13 200,000 201,267
Georgia Power Corp., 5.13%, 11/15/12 180,000 183,846
Midamerican Energy Holdings Co.,
5.88%, 10/01/12 175,000 181,068
New York State Electric & Gas Corp.,
5.75%, 05/01/23 100,000 93,929
Ohio Power Co., 6.60%, 02/15/33 (b) 200,000 207,868
Oncor, Inc., 6.38%, 05/01/12 165,000 180,776
Pepco Holdings, Inc., 4.00%, 05/15/10 200,000 193,509
PSEG Power Corp., 6.95%, 06/01/12 125,000 139,960
Public Service Electric & Gas, 5.13%,
09/01/12 330,000 334,141
Public Service New Mexico Corp.,
4.40%, 09/15/08 175,000 176,517
Southern Power Co., 6.25%, 07/15/12 225,000 242,921
Wisconsin Electric Power, 5.63%,
05/15/33 100,000 95,554
----------
5,236,312
----------
- --------------------------------------------------------------------------
ELECTRIC - DISTRIBUTION (0.2%)
Entergy Gulf States, Inc., 5.25%,
08/01/15 300,000 288,377
Hydro Quebec Corp., 8.88%,
03/01/26 265,000 366,878
Pepco Holdings, Inc., 6.45%,
08/15/12 180,000 195,073
----------
850,328
----------
- --------------------------------------------------------------------------
ELECTRONICS (0.2%)
Exelon Corp., 6.75%, 05/01/11 80,000 88,650
Florida Power & Light Co., 6.88%,
12/01/05 225,000 245,744
Progress Energy, Inc., 5.85%, 10/30/08 105,000 112,735
Progress Energy, Inc., 7.10%, 03/01/11 440,000 496,292
Scana Corp., 6.88%, 05/15/11 50,000 56,264
----------
999,685
----------
PRINCIPAL
AMOUNT VALUE
- --------------------------------------------------------------------------
FARM MACHINERY & EQUIPMENT (0.1%)
Deere & Co., 7.85%, 05/15/10 $ 220,000 $ 264,937
----------
- --------------------------------------------------------------------------
FINANCIAL SERVICES (4.6%)
Ace Ina Holdings, 8.30%, 08/15/06 250,000 283,923
American Express Co,, 6.88%,
11/01/05 100,000 109,310
American Honda Financial, 1.42%,
10/03/05 (b) (d) 245,000 245,915
Aristar, Inc., 7.38%, 09/01/04 150,000 157,230
Associates Corp. of North America,
6.95%, 11/01/18 575,000 655,529
AXA Financial, Inc., 7.75%, 08/01/10 100,000 117,999
Bear Stearns Co., Inc., 7.63%
, 02/01/05 165,000 177,084
Bear Stearns Co., Inc., 5.70%,
11/15/14 325,000 337,488
Boeing Capital Corp., 6.10%,
03/01/11 85,000 90,454
Capital One Bank, 6.88%, 02/01/06 120,000 130,248
Capital One Bank, 4.88%, 05/15/08 200,000 205,089
Caterpillar Financial Services Corp.,
4.88%, 06/15/07 90,000 95,724
CIT Group, Inc., 5.63%, 05/17/04 105,000 107,338
CitiFinancial Credit Co., 10.00%,
05/15/09 100,000 127,342
Countrywide Financial Corp., 5.25%,
06/15/04 290,000 296,551
Countrywide Financial Corp., 5.63%,
07/15/09 500,000 533,742
Credit Suisse First Boston USA, Inc.,
5.88%, 08/01/06 600,000 648,196
Credit Suisse First Boston USA, Inc.,
6.13%, 11/15/11 200,000 216,138
Credit Suisse First Boston USA, Inc.,
6.50%, 01/15/12 250,000 276,080
Ford Motor Credit Co., 6.88%,
02/01/06 680,000 711,683
Ford Motor Credit Co., 6.50%,
01/25/07 650,000 670,663
Ford Motor Credit Co., 7.38%,
02/01/11 435,000 442,897
Ford Motor Credit Co., 7.25%,
10/25/11 840,000 853,174
Ford Motor Credit Co., 7.00%,
10/01/13 250,000 245,761
General Electric Capital Corp,
6.00%, 06/15/12 150,000 161,417
General Electric Capital Corp.,
4.25%, 01/15/08 210,000 216,228
General Electric Capital Corp.,
5.88%, 02/15/12 100,000 106,781
General Electric Capital Corp.,
6.75%, 03/15/32 1,140,000 1,264,103
General Motors Acceptance Corp.,
6.85%, 06/17/04 725,000 746,527
General Motors Acceptance Corp.,
6.13%, 08/28/07 400,000 421,378
General Motors Acceptance Corp.,
7.75%, 01/19/10 50,000 54,374
General Motors Acceptance Corp.,
7.00%, 02/01/12 390,000 403,083
General Motors Acceptance Corp.,
6.88%, 08/28/12 450,000 461,282
General Motors Acceptance Corp.,
8.00%, 11/01/31 800,000 822,721
Golden West Financial Corp.,
4.75%, 10/01/12 265,000 263,734
Goldman Sachs Group, Inc.,
7.63%, 08/17/05 525,000 576,198
Goldman Sachs Group, Inc.,
4.13%, 01/15/08 80,000 81,677
Goldman Sachs Group, Inc.,
6.88%, 01/15/11 175,000 197,914
Goldman Sachs Group, Inc.,
6.13%, 02/15/33 500,000 499,206
Household Finance Corp.,
5.88%, 02/01/09 720,000 778,623
Household Finance Corp.,
7.00%, 05/15/12 500,000 567,836
International Lease Finance Corp.,
5.35%, 05/03/04 200,000 203,676
International Lease Finance Corp.,
4.38%, 12/15/05 450,000 466,509
International Lease Finance Corp.,
4.00%, 01/17/06 250,000 257,145
J. Paul Getty Trust Corp., 5.88%,
10/01/33 2,500,000 2,455,609
John Hancock Financial Services, Inc.,
5.63%, 12/01/08 100,000 107,794
Lehman Brothers Holdings, Inc.,
6.63%, 04/01/04 200,000 204,381
86 ANNUAL REPORT 2003
- --------------------------------------------------------------------------------
CORPORATE BONDS (CONTINUED)
PRINCIPAL
AMOUNT VALUE
- -----------------------------------------------------------------------------------------------
FINANCIAL SERVICES (continued)
Lehman Brothers Holdings, Inc.,
3.50%, 08/07/08 $ 400,000 $ 394,198
Lehman Brothers Holdings, Inc.,
7.88%, 08/15/10 97,000 114,481
Lehman Brothers Holdings, Inc.,
6.63%, 01/18/12 500,000 559,497
Mellon Financial Corp., 7.00%, 03/15/06 200,000 221,537
Mellon Financial Corp., 6.40%, 05/14/11 450,000 499,284
Mellon Financial Corp., 5.00%, 12/01/14 200,000 200,103
Morgan Stanley, 7.75%, 06/15/05 200,000 218,182
Morgan Stanley, 6.10%, 04/15/06 300,000 325,129
Morgan Stanley, 3.63%, 04/01/08 350,000 348,847
Morgan Stanley, 6.60%, 04/01/12 450,000 501,065
Morgan Stanley, 5.30%, 03/01/13 325,000 329,830
Nisource Finance Corp., 7.63%, 11/15/05 170,000 186,396
Prudential Financial, Inc., 3.75%,
05/01/08 205,000 204,370
Synovus Financial Corp., 4.88%,
02/15/13 150,000 146,760
Textron Financial Corp., 2.75%, 06/01/06 435,000 432,160
Wachovia Corp., 4.95%, 11/1/06,
4.95%, 11/01/06 650,000 689,721
Washington Mutual, Inc., 4.38%, 01/15/08 250,000 255,997
Washington Mutual, Inc., 5.50%, 01/15/13 100,000 102,367
-----------
24,783,678
-----------
- -----------------------------------------------------------------------------------------------
FOOD & RELATED (1.0%)
Anheuser-Busch Co., Inc., 6.00%, 11/01/41 250,000 252,250
Archer Daniels Midland Co., 5.94%, 10/01/32 285,000 282,452
Campbell Soup Co., 4.88%, 10/01/13 400,000 397,641
Coca-Cola Bottling Co., 5.00%, 11/15/12 150,000 147,858
Coca-Cola Enterprises, Inc., 6.13%, 08/15/11 160,000 175,503
Coca-Cola Enterprises, Inc., 6.75%, 09/15/28 395,000 435,708
Conagra Foods, Inc., 6.75%, 09/15/11 150,000 168,829
Conagra Foods, Inc., 7.00%, 10/01/28 300,000 328,202
Diageo Capital PLC, 3.50%, 11/19/07 60,000 60,191
General Mills, Inc., 6.00%, 02/15/12 550,000 588,013
Kellogg Co., 6.00%, 04/01/06 163,000 175,546
Kraft Foods, Inc., 4.63%, 11/01/06 15,000 15,634
Kraft Foods, Inc., 5.63%, 11/01/11 260,000 270,420
Kroger Co., 6.20%, 06/15/12 400,000 427,456
Kroger Co., 7.50%, 04/01/31 135,000 154,448
Pepsi Bottling Holdings, Inc., 5.38%, 02/17/04 (b) 120,000 121,385
PepsiCo, Inc., 4.50%, 09/15/04 80,000 82,138
Safeway, Inc., 6.15%, 03/01/06 150,000 161,240
Safeway, Inc., 6.50%, 03/01/11 400,000 436,418
Sara Lee Corp., 6.25%, 09/15/11 125,000 137,986
Supervalu, Inc., 7.50%, 05/15/12 125,000 141,326
Unilever Capital Corp., 7.13%, 11/01/10 150,000 173,669
-----------
5,134,313
-----------
- -----------------------------------------------------------------------------------------------
HEALTHCARE SERVICES (0.1%)
Eli Lilly & Co., 7.13%, 06/01/25 200,000 235,046
Health Care Property Investors, Inc., 6.45%, 06/25/12 95,000 101,451
Manor Care Inc., 6.25%, 05/01/13 160,000 164,200
-----------
500,697
-----------
PRINCIPAL
AMOUNT VALUE
- -----------------------------------------------------------------------------------------------
HOUSEHOLD PRODUCTS (0.1%)
Dial Corp., 6.50%, 09/15/08 $ 250,000 $ 270,463
-----------
- -----------------------------------------------------------------------------------------------
INDUSTRIALS (0.0%)
News America Corp., 7.28%, 06/30/28 130,000 142,702
-----------
- -----------------------------------------------------------------------------------------------
INSURANCE (0.4%)
Allstate Corp., 5.38%, 12/01/06 150,000 161,705
Berkley Corp., 5.13%, 09/30/10 175,000 176,324
Hartford Life, Inc., 7.38%, 03/01/31 100,000 113,917
Marsh & McLennan Cos., Inc., 6.25%, 03/15/12 175,000 189,943
Metlife, Inc., 6.13%, 12/01/11 200,000 216,141
New York Life Insurance, 5.88%, 05/15/33 (b) 200,000 196,097
NLV Financial Corp., 7.50%, 08/15/33 (b) 125,000 128,745
Principal Life Global Funding, 6.25%, 02/15/12 (b) 150,000 162,682
Progressive Corp., 6.25%, 12/01/32 150,000 154,073
Travelers Property Casualty Corp., 6.38%, 03/15/33 200,000 207,732
Western & Southern Finance, 5.75%, 07/15/33 (b) 250,000 233,787
-----------
1,941,146
-----------
- -----------------------------------------------------------------------------------------------
MANUFACTURING (0.2%)
Cooper Industries, Inc., 5.50%, 11/01/09 175,000 187,307
Honeywell International, Inc., 6.13%, 11/01/11 250,000 272,977
Norsk Hydro A/S, 6.36%, 01/15/09 460,000 511,639
-----------
971,923
-----------
- -----------------------------------------------------------------------------------------------
MEDICAL PRODUCTS (0.0%)
Baxter International, Inc., 4.63%, 03/15/15 (b) 130,000 123,747
-----------
- -----------------------------------------------------------------------------------------------
METALS & MINERALS (0.4%)
Alcan, Inc., 6.45%, 03/15/11 75,000 83,083
Alcoa, Inc., 6.00%, 01/15/12 150,000 162,911
BHP Billiton Ltd., 4.80%, 04/15/13 400,000 398,044
Codelco, Inc., 6.38%, 11/30/12 (b) 120,000 128,564
Inco Ltd., 7.75%, 05/15/12 300,000 348,780
Noranda, Inc., 7.00%, 07/15/05 510,000 540,875
Placer Dome, Inc., 6.38%, 03/01/33 65,000 64,993
Timken Co., 6.75%, 08/21/06 200,000 212,790
-----------
1,940,040
-----------
- -----------------------------------------------------------------------------------------------
MULTIMEDIA (0.9%)
AOL Time Warner, Inc., 6.88%, 05/01/12 450,000 498,237
AOL Time Warner, Inc., 7.70%, 05/01/32 630,000 711,831
Belo Corp., 8.00%, 11/01/08 145,000 169,559
Clear Channel Communications, Inc., 4.40%, 05/15/11 200,000 192,291
Comcast Corp., 6.20%, 11/15/08 100,000 108,993
Gannett Co., Inc., 5.50%, 04/01/07 185,000 200,423
Johnson Controls, Inc., 4.88%, 09/15/13 300,000 300,101
Liberty Media Corp., 7.88%, 07/15/09 265,000 299,467
Liberty Media Corp., 5.70%, 05/15/13 300,000 293,300
2003 ANNUAL REPORT 87
- --------------------------------------------------------------------------------
STATEMENT OF INVESTMENTS (Continued)
October 31, 2003
NATIONWIDE BOND INDEX FUND (Continued)
CORPORATE BONDS (CONTINUED)
PRINCIPAL
AMOUNT VALUE
- ------------------------------------------------------------------------------
MULTIMEDIA (continued)
Liberty Media Corp., 8.25%, 02/01/30 $ 200,000 $ 228,348
News America Holdings, Inc.,
8.00%, 10/17/16 200,000 241,753
Reed Elsevier Capital, 6.13%, 08/01/06 900,000 981,417
Time Warner, Inc., 6.88%, 06/15/18 298,000 320,668
Viacom, Inc., 7.75%, 06/01/05 215,000 234,187
-----------
4,780,575
-----------
- ------------------------------------------------------------------------------
NON-HAZARDOUS WASTE DISPOSAL (0.2%)
Waste Management, Inc., 6.50%, 05/15/04 125,000 128,072
Waste Management, Inc., 7.38%, 08/01/10 250,000 289,111
Waste Management, Inc., 6.38%, 11/15/12 350,000 381,430
-----------
798,613
-----------
- ------------------------------------------------------------------------------
OIL & GAS (2.0%)
AGL Capital Corp., 4.45%, 04/15/13 (b) 300,000 283,251
Anadarko Petroleum Corp., 5.38%, 03/01/07 1,000,000 1,071,270
Apache Corp., 6.25%, 04/15/12 30,000 33,276
Apache Corp., 7.63%, 07/01/19 100,000 121,083
Apache Finance Canada, 4.38%, 05/15/15 (b) 400,000 375,517
Atmos Energy Corp., 5.13%, 01/15/13 225,000 225,375
Australian Gas Light Co., 5.30%, 09/25/15 (b) 150,000 149,978
BP Amoco PLC, 5.90%, 04/15/09 200,000 220,894
Brascan Corp., 5.75%, 03/01/10 305,000 320,243
Burlington Resources, Inc., 6.50%, 12/01/11 350,000 389,416
ChevronTexaco Capital Corp., 3.50%, 09/17/07 90,000 91,171
ChevronTexaco Capital Corp., 8.63%, 06/30/10 120,000 150,381
Colonial Pipeline, 7.63%, 04/15/32 (b) 165,000 200,174
Conoco Funding Co., 4.75%, 10/15/12 800,000 796,522
Conoco, Inc., 6.35%, 04/15/09 250,000 278,357
Conoco, Inc., 6.95%, 04/15/29 170,000 190,447
Consolidated Natural Gas, Inc., 5.38%, 11/01/06 60,000 64,115
Consolidated Natural Gas, Inc., 6.25%, 11/01/11 264,000 289,149
EnCana Corp., 4.75%, 10/15/13 150,000 147,304
Enterprise Products Partners LP,6.88%, 03/01/33 150,000 155,300
Firstenergy Corp., 6.45%, 11/15/11 335,000 355,848
Kinder Morgan Energy Partners LP, 6.65%, 03/01/05 120,000 127,350
Kinder Morgan Energy Partners LP, 7.50%, 11/01/10 351,000 409,382
Kinder Morgan Energy Partners LP, 6.75%, 03/15/11 155,000 174,466
Motiva Enterprises Corp., 5.20%, 09/15/12 (b) 125,000 126,887
Murphy Oil Corp., 6.38%, 05/01/12 100,000 109,924
Nabors, Inc., 5.38%, 08/15/12 70,000 72,343
Ocean Energy, Inc., 7.25%, 10/01/11 170,000 194,409
Pemex Project Funding Master, 9.13%, 10/13/10 485,000 570,481
Pemex Project Funding Master, 7.38%, 12/15/14 300,000 315,000
Petroleos Mexicanos, 8.85%, 09/15/07 475,000 545,063
Phillips Petroleum Co., 8.50%,05/25/05 225,000 247,438
Praxair, Inc., 6.50%, 03/01/08 390,000 434,432
South Carolina Electric & Gas Corp., 4.80%, 10/01/12 650,000 647,439
Transocean Sedco Forex, Inc., 6.63%, 04/15/11 163,000 180,431
Valero Energy Corp., 6.88%, 04/15/12 150,000 164,760
Vectren Utility Holdings Corp., 5.25%, 08/01/13 250,000 247,575
-----------
10,476,451
-----------
PRINCIPAL
AMOUNT VALUE
- ------------------------------------------------------------------------------
PAPER & FOREST PRODUCTS (0.3%)
Domtar, Inc., 7.88%, 10/15/11 $ 90,000 $ 105,014
International Paper Co., 8.13%, 07/08/05 215,000 235,533
Inversiones CMPC SA, 4.88%, 06/18/13 (b) 300,000 285,259
Meadwestvaco Corp., 6.80%, 11/15/32 120,000 122,298
Norske Skogindustrier, 6.13%, 10/15/15 (b) 150,000 150,548
Rock-Tenn Co., 5.63%, 03/15/13 305,000 303,334
Sappi Papier Holding AG, 6.75%, 06/15/12 (b) 80,000 86,206
Weyerhaeuser Co., 5.95%, 11/01/08 320,000 342,428
-----------
1,630,620
-----------
- ------------------------------------------------------------------------------
PHARMACEUTICALS (0.2%)
Abbott Laboratories, 5.63%, 07/01/06 104,000 112,687
Abbott Laboratories, 6.40%, 12/01/06 550,000 613,022
Pfizer, Inc., 5.63%, 02/01/06 400,000 429,920
-----------
1,155,629
-----------
- ------------------------------------------------------------------------------
PIPELINES (0.1%)
Centerpoint Energy Resource, 7.88%, 04/01/13 100,000 113,628
Texas Gas Transmission, 4.60%, 06/01/15 (b) 300,000 280,760
TGT Pipelines, 5.20%, 06/01/18 (b) 150,000 140,520
-----------
534,908
-----------
- ------------------------------------------------------------------------------
PUBLISHING - NEWSPAPERS (0.1%)
Thomson Corp., 4.25%, 08/15/09 425,000 425,754
-----------
- ------------------------------------------------------------------------------
REAL ESTATE (0.4%)
Avalonbay Communities, Inc., 6.63%, 09/15/11 150,000 165,239
BRE Properties, Inc., 5.95%, 03/15/07 140,000 149,371
Centerpoint Properties Corp., 4.75%, 08/01/10 350,000 350,262
Developers Diversified Realty Corp., 6.63%, 01/15/08 250,000 269,204
Duke Realty Corp., 5.25%, 01/15/10 300,000 311,315
EOP Operating, LP, 6.75%, 02/15/12 195,000 214,708
Equity Residential, 6.88%, 11/01/04 200,000 209,695
Highwoods Realty LP, Corp., 8.00%, 12/01/03 125,000 125,610
Liberty Property Trust, 7.25%, 03/15/11 65,000 73,422
New Plan Realty Corp., 5.88%, 06/15/07 90,000 96,899
Shurgard Storage Centers, Inc., 5.88%, 03/15/13 270,000 275,578
Simon Property Group, Inc., 7.75%, 08/15/04 (b) 60,000 62,736
-----------
2,304,039
-----------
- ------------------------------------------------------------------------------
REAL ESTATE INVESTMENT TRUSTS (REIT) (0.2%)
Camden Property Trust Corp., 7.00%, 11/15/06 600,000 654,274
Health Care REIT, Inc., 6.00%, 11/15/13 300,000 301,776
HRPT Properties Trust Corp., 5.75%, 02/15/14 300,000 300,420
JDN Realty Corp., 6.95%, 08/01/07 20,000 21,926
-----------
1,278,396
-----------
- ------------------------------------------------------------------------------
RESEARCH & DEVELOPMENT (0.1%)
Science Applications International Co.,
5.50%, 07/01/33 (b) 300,000 266,099
-----------
88 ANNUAL REPORT 2003
- --------------------------------------------------------------------------------
CORPORATE BONDS (CONTINUED)
PRINCIPAL
AMOUNT VALUE
- ---------------------------------------------------------------------------------------
RETAIL (0.1%)
Limited Brands, Inc., 6.13%, 12/01/12 $ 250,000 $ 267,853
-----------
- ---------------------------------------------------------------------------------------
SPECIAL PURPOSE ENTITY (3.6%)
FPL Group Capital, Inc., 7.63%, 09/15/06 85,000 95,927
Morgan Stanley TRACERS, 5.88%, 03/01/07 (b) (d) 17,599,000 18,884,782
Morgan Stanley TRACERS, 6.80%, 06/15/12 (d) 135,000 149,314
-----------
19,130,023
-----------
- ---------------------------------------------------------------------------------------
TELECOMMUNICATIONS (2.4%)
360 Communications Co.,
7.50%, 03/01/06 180,000 199,542
Alltel Corp., 7.00%, 07/01/12 110,000 125,129
Ameritech Capital Funding,
6.45%, 01/15/18 150,000 167,094
AT&T Corp., 7.80%, 11/15/11 200,000 226,655
AT&T Wireless Services, Inc.,
8.13%, 05/01/12 75,000 86,991
AT&T Wireless Services, Inc.,
8.75%, 03/01/31 545,000 655,388
BellSouth Corp., 6.00%, 10/15/11 346,000 373,596
British Telecom PLC, 8.38%, 12/15/10 820,000 990,281
Centurytel Inc., 7.88%, 08/15/12 130,000 155,257
Citizens Communications Co.,
8.50%, 05/15/06 500,000 564,787
Citizens Communications Co.,
7.63%, 08/15/08 120,000 137,742
Clear Channel Communications, Inc.,
7.65%, 09/15/10 200,000 232,944
Deutsche Telekom AG, 8.25%, 06/15/05 700,000 764,799
Deutsche Telekom AG, 8.50%, 06/15/10 550,000 661,930
Deutsche Telekom AG, 8.75%, 06/15/30 350,000 440,319
France Telecom, 9.25%, 03/01/11 550,000 663,530
France Telecom, 9.75%, 03/01/31 165,000 217,770
GTE Corp., 6.84%, 04/15/18 350,000 379,855
GTE Corp., 6.94%, 04/15/28 250,000 258,839
International Telecom Satellite,
6.50%, 11/01/13 100,000 102,000
Koninklijke KPN NV, 8.00%, 10/01/10 250,000 297,960
SBC Communications, Inc.,
6.25%, 03/15/11 205,000 222,561
SBC Communications, Inc.,
5.88%, 08/15/12 220,000 232,706
Sprint Capital Corp., 8.38%, 03/15/12 550,000 627,804
Sprint Capital Corp., 6.90%, 05/01/19 650,000 644,207
Telecom Italia Capital Corp.,
5.25%, 11/15/13 (b) 500,000 496,111
Tele-Communications, Inc.,
9.80%, 02/01/12 520,000 675,510
Time Warner, Inc., 7.75%, 06/15/05 130,000 140,883
Univison Communication, Inc.,
7.85%, 07/15/11 250,000 294,141
Verizon Global Funding Corp.,
6.75%, 12/01/05 190,000 206,856
Verizon Global Funding Corp.,
6.88%, 06/15/12 80,000 88,902
Verizon Global Funding Corp.,
7.38%, 09/01/12 350,000 401,386
Verizon Global Funding Corp.,
7.75%, 12/01/30 250,000 289,372
Verizon New York, Inc., 6.88%,
04/01/12 35,000 38,397
Vodafone Group PLC, 7.75%, 02/15/10 150,000 177,406
Vodafone Group PLC, 7.88%, 02/15/30 100,000 120,160
-----------
12,358,810
-----------
- ---------------------------------------------------------------------------------------
TOOLS & ACCESSORIES (0.0%)
Stanley Works, 4.90%, 11/01/12 75,000 75,108
-----------
PRINCIPAL
AMOUNT VALUE
- ------------------------------------------------------------------
TRANSPORTATION & SHIPPING (0.5%)
Burlington Northern Santa Fe Corp.,
6.75%, 07/15/11 $ 365,000 $ 410,799
Canadian National Railway Co.,
6.90%, 07/15/28 210,000 231,413
CSX Corp., 7.45%, 05/01/07 180,000 206,027
CSX Corp., 6.75%, 03/15/11 225,000 251,036
Norfolk Southern Corp., 6.75%, 02/15/11 225,000 252,810
Norfolk Southern Corp., 7.25%, 02/15/31 300,000 338,876
Union Pacific Corp., 6.50%, 05/15/05 250,000 266,520
Union Pacific Corp., 5.75%, 10/15/07 475,000 509,772
United Parcel Service, Inc.,
8.38%, 04/01/20 200,000 261,601
-------------
2,728,854
-------------
TOTAL CORPORATE BONDS 135,574,633
-------------
SOVEREIGN BONDS (1.1%)
- ------------------------------------------------------------------
CANADA (0.4%)
British Columbia, 4.63%, 10/03/06 100,000 105,329
Government of Canada, 5.25%, 11/05/08 630,000 683,871
Ontario Province, 5.50%, 10/01/08 350,000 378,062
Province of Saskatchewan, 8.00%, 07/15/04 147,000 153,627
Quebec Province, 7.50%, 09/15/29 500,000 615,038
-------------
1,935,927
-------------
- ------------------------------------------------------------------
FINLAND (0.1%)
Republic of Finland, 5.88%, 02/27/06 300,000 323,585
-------------
- ------------------------------------------------------------------
ITALY (0.3%)
Republic of Italy, 5.25%, 04/05/06 300,000 320,258
Republic of Italy, 4.38%, 10/25/06 675,000 707,907
Republic of Italy, 5.38%, 06/15/33 450,000 429,480
-------------
1,457,645
-------------
- ------------------------------------------------------------------
MEXICO (0.3%)
United Mexican States, 9.88%, 02/01/10 750,000 941,250
United Mexican States, 6.38%, 01/16/13 850,000 874,650
-------------
1,815,900
-------------
TOTAL SOVEREIGN BONDS 5,533,057
-------------
2003 ANNUAL REPORT 89
- --------------------------------------------------------------------------------
STATEMENT OF INVESTMENTS (Continued)
October 31, 2003
NATIONWIDE BOND INDEX FUND (Continued)
REPURCHASE AGREEMENTS (19.1%)
PRINCIPAL
AMOUNT VALUE
- --------------------------------------------------------------------------------
CS First Boston, 0.94%, dated
10/31/03, due 11/03/03, repurchase
price $50,392,833 (Fully collateralized
by AA Rated Corporate Bonds) $50,388,886 $ 50,388,886
Lehman Brothers, Inc., 0.94%, dated
10/31/03, due 11/03/03, repurchase
price $9,331,965 (Fully collateralized
by U.S. Agency Securities ) 9,331,234 9,331,234
Nomura Securities, 0.94%, dated
10/31/03, due 11/03/03, repurchase
price 40,314,267 (Fully collateralized
by AA Rated Corporate Bonds) 40,311,109 40,311,109
-------------
TOTAL REPURCHASE AGREEMENTS 100,031,229
-------------
SHORT-TERM INVESTMENTS PURCHASED WITH CASH COLLATERAL
RECEIVED FOR SECURITIES ON LOAN (13.0%)
REPURCHASE AGREEMENT (11.1%)
Nomura Securities, 1.07%, dated
10/31/03, due 11/03/03, repurchase
price 58,079,707 (Fully collateralized
by U.S. Agency Securities) 58,074,529 58,074,529
GUARANTEED INSURANCE CONTRACT (1.9%)
Protective Life Insurance Co.,
1.28%, 11/30/04 (d) 10,000,000 10,000,000
-------------
TOTAL SHORT-TERM INVESTMENTS PURCHASED WITH CASH
COLLATERAL RECEIVED FOR SECURITIES ON LOAN 68,074,529
-------------
TOTAL INVESTMENTS (COST $679,908,934) (A) - 130.5% 683,483,316
LIABILITIES IN EXCESS OF OTHER ASSETS - (30.5) % (159,609,340)
-------------
NET ASSETS - 100.0% $523,873,976
=============
(a) See notes to financial statements for unrealized appreciation
(depreciation) of securities.
(b) Rule 144A, Section 4(2) or other security, which is restricted as to resale
to institutional investors. The security has been deemed liquid pursuant to
procedures approved by the Board of Trustees.
(c) Mortgage Dollar Rolls.
(d) Variable rate security. The rate reflected in the Statement of Investments
is the rate reflected in effect on October 31,2003.
TBA To Be Announced
TRACERS Tradable Custodial Receipts
SEE NOTES TO FINANCIAL STATEMENTS.
90 ANNUAL REPORT 2003
- --------------------------------------------------------------------------------
STATEMENTS OF ASSETS AND LIABILITIES
October 31, 2003
NATIONWIDE
MID CAP
NATIONWIDE MARKET NATIONWIDE NATIONWIDE NATIONWIDE
S&P 500 INDEX SMALL CAP INTERNATIONAL BOND
INDEX FUND FUND INDEX FUND INDEX FUND INDEX FUND
- ---------------------------------------------------------------------------------------------------------------------
ASSETS:
Investments, at value
(cost $1,001,062,673;
208,006,835;
111,834,029; $286,957,702
and $511,803,176; respectively) $ 973,290,901 $245,276,304 $130,921,473 $ 333,720,318 $515,377,558
Repurchase agreements, at cost 113,576,720 40,081,998 10,958,768 33,341,401 100,031,229
Investments purchased with
cash collateral received for
securities on loan, at cost 43,117,885 46,837,905 25,220,192 12,203,613 68,074,529
---------------------------------------------------------------------------
Total Investments 1,129,985,506 332,196,207 167,100,433 379,265,332 683,483,316
---------------------------------------------------------------------------
Cash 11,120,431 2,408,727 492,039 2,560,926 26,086
Foreign currency, at value
(cost $0; $0;
0; $6,328,930
and $0; respectively) - - - 6,370,771 -
Interest and dividends receivable 1,390,272 179,184 86,032 462,407 5,366,002
Receivable for investments sold - 470,650 169,696 - 380,422
Unrealized appreciation on forward
foreign currency contracts - - - 25,060 -
Receivable from adviser 4,084 42,344 10,079 29,968 41,357
Receivable for variation margin
on futures contracts 120,625 75,212 - 134,551 -
Reclaims receivable - - - 182,941 -
Prepaid expenses and other assets 5,641 5,691 3,406 7,636 8,916
---------------------------------------------------------------------------
Total Assets 1,142,626,559 335,378,015 167,861,685 389,039,592 689,306,099
---------------------------------------------------------------------------
LIABILITIES:
Distributions payable - - - - 1,701,510
Payable for investments purchased 164,310 1,475,319 - - 95,254,127
Unrealized depreciation on
forward foreign currency contracts - - - 254,390 -
Unrealized depreciation on
open swap contracts - - - - 179,151
Payable for variation margin on
futures contracts - - 58,100 194,753 -
Payable for return of collateral
received for securities on loan 43,117,885 46,837,905 25,220,192 12,203,613 68,074,529
Accrued expenses and
other payables
Investment advisory fees 116,421 50,439 22,695 82,469 95,285
Fund administration and transfer
agent fees 111,596 28,348 19,186 47,905 63,635
Distribution fees 55,545 7,977 8,583 3,524 9,404
Administrative servicing fees 95,133 4,517 4,790 2,110 5,769
Other 1,463 4,919 11,620 37,074 48,713
---------------------------------------------------------------------------
Total Liabilities 43,662,353 48,409,424 25,345,166 12,825,838 165,432,123
---------------------------------------------------------------------------
NET ASSETS $1,098,964,206 $286,968,591 $142,516,519 $ 376,213,754 $523,873,976
============================================================================
REPRESENTED BY:
Capital $1,148,057,640 $246,296,353 $120,609,368 $ 333,399,194 $521,240,311
Accumulated net investment
income (loss) 1,749,578 216,743 146,068 1,837,443 1,989
Accumulated net realized gains
(losses) from investment, futures,
foreign currency and
swap transactions (25,610,775) 1,778,687 2,571,894 (5,432,830) (763,555)
Net unrealized appreciation
(depreciation) on
investments, futures,
translation of assets and liabilities
denominated
in foreign currencies
and swaps (25,232,237) 38,676,808 19,189,189 46,409,947 3,395,231
---------------------------------------------------------------------------
NET ASSETS $1,098,964,206 $286,968,591 $142,516,519 $ 376,213,754 $523,873,976
===========================================================================
See notes to financial statements.
2003 ANNUAL REPORT 91
- --------------------------------------------------------------------------------
STATEMENTS OF ASSETS AND LIABILITIES (Continued)
October 31, 2003
NATIONWIDE
NATIONWIDE MID CAP NATIONWIDE NATIONWIDE NATIONWIDE
S&P 500 MARKET SMALL CAP INTERNATIONAL BOND
INDEX FUND INDEX FUND INDEX FUND INDEX FUND INDEX FUND
- -------------------------------------------------------------------------------------------------------------------
NET ASSETS:
Class A Shares $ 5,794,704 $ 38,692,966 $ 42,343,003 $ 16,403,552 $ 42,292,030
Class B Shares 3,712,689 295,418 248,643 104,841 255,953
Class C Shares 10,204 20,581 20,594 - -
Institutional Class Shares 620,598,168 247,959,626 99,904,279 359,705,361 481,325,993
Service Class Shares 413,554,020 - - - -
Institutional Service Class Shares 55,197,013 - - - -
Local Fund Shares 97,408 - - - -
------------------------------------------------------------------------------
Total $1,098,964,206 $286,968,591 $142,516,519 $ 376,213,754 $523,873,976
==============================================================================
SHARES OUTSTANDING (unlimited
number of shares authorized):
Class A Shares 640,892 3,260,373 4,130,626 2,503,463 3,850,608
Class B Shares 412,369 25,106 24,363 16,190 23,301
Class C Shares 1,133 1,750 2,018 - -
Institutional Class Shares 68,391,759 20,757,702 9,675,961 54,852,323 43,852,261
Service Class Shares 45,774,965 - - - -
Institutional Service Class Shares 6,088,263 - - - -
Local Fund Shares 10,714 - - - -
------------------------------------------------------------------------------
Total 121,320,095 24,044,931 13,832,968 57,371,976 47,726,170
==============================================================================
NET ASSET VALUE:
Class A Shares $ 9.04 $ 11.87 $ 10.25 $ 6.55 $ 10.98
Class B Shares (a) $ 9.00 $ 11.77 $ 10.21 $ 6.48 $ 10.98
Class C Shares (b) $ 9.01 $ 11.76 $ 10.20 $ - $ -
Institutional Class Shares $ 9.07 $ 11.95 $ 10.32 $ 6.56 $ 10.98
Service Class Shares $ 9.03 $ - $ - $ - $ -
Institutional Service Class Shares $ 9.07 $ - $ - $ - $ -
Local Fund Shares $ 9.09 $ - $ - $ - $ -
MAXIMUM OFFERING PRICE PER SHARE
(100%/100%-maximum sales charge)
of net asset value adjusted to
the nearest cent):
Class A Shares $ 9.59 $ 12.59 $ 10.88 $ 6.95 $ 11.65
Class C Shares $ 9.10 $ 11.88 $ 10.30 $ - $ -
------------------------------------------------------------------------------
Maximum Sales Charge -
Class A Shares 5.75% 5.75% 5.75% 5.75% 5.75%
==============================================================================
Maximum Sales Charge -
Class C Shares 1.00% 1.00% 1.00% - -
==============================================================================
(a) For Class B shares, the redemption price per share varies by length of time
shares are held.
(b) For Class C shares, the redemption price per share is reduced by 1.00% for
shares held less than one year.
See notes to financial statements.
92 ANNUAL REPORT 2003
- --------------------------------------------------------------------------------
STATEMENTS OF OPERATIONS
For the Year Ended October 31, 2003
NATIONWIDE
NATIONWIDE MID CAP NATIONWIDE NATIONWIDE NATIONWIDE
S&P 500 MARKET SMALL CAP INTERNATIONAL BOND
INDEX FUND INDEX FUND INDEX FUND INDEX FUND INDEX FUND
- ----------------------------------------------------------------------------------------------------------------
INVESTMENT INCOME:
Interest income $ 571,817 $ 164,292 $ 83,665 $ 175,158 $13,193,931
Dividend income (net of foreign
witholding tax of $0; $0; $0;
584,801 and $0; respectively) 13,007,714 1,883,221 958,752 5,218,487 -
-----------------------------------------------------------------------
Total Income 13,579,531 2,047,513 1,042,417 5,393,645 13,193,931
-----------------------------------------------------------------------
EXPENSES:
Investment advisory fees 1,002,610 382,404 157,390 617,738 802,650
Fund administration and
transfer agent fees 1,032,300 236,433 140,163 368,062 556,932
Distribution fees Class A 11,628 61,220 48,906 35,806 116,867
Distribution fees Class B 28,663 1,414 1,283 872 1,076
Distribution fees Class C 3 6 6 - -
Distribution fees Service Class 482,627 - - - -
Distribution fees Local Class 60 - - - -
Administrative servicing fees
Class A 210 36,195 28,743 20,749 70,276
Administrative servicing fees
Service Class 804,374 - - - -
Administrative servicing fees
Institutional Service Class 122,493 - - - -
Registration and filing fees 45,711 28,804 24,697 39,391 42,273
Other 246,939 81,265 21,957 74,015 115,251
-----------------------------------------------------------------------
Total expenses before
reimbursed
expenses 3,777,618 827,741 423,145 1,156,633 1,705,325
Expenses reimbursed (553,633) (190,070) (115,995) (275,555) (385,991)
-----------------------------------------------------------------------
Total Expenses 3,223,985 637,671 307,150 881,078 1,319,334
-----------------------------------------------------------------------
Net Investment Income (Loss) 10,355,546 1,409,842 735,267 4,512,567 11,874,597
-----------------------------------------------------------------------
REALIZED/UNREALIZED
GAINS (LOSSES)
FROM INVESTMENTS:
Net realized gains (losses)
on investment transactions (4,377,515) 408,301 1,485,991 623,299 1,598,080
Net realized gains (losses) on
future transactions 6,343,070 2,969,931 2,255,733 1,130,428 -
Net realized gains (losses) on
foreign currency transactions - - - 2,362,406 -
Net realized gains (losses on
swap transactions - - - - 153,810
-----------------------------------------------------------------------
Net realized gains (losses) on
investment, futures,
foreign currency and swap
transactions 1,965,555 3,378,232 3,741,724 4,116,133 1,751,890
Net change in unrealized
appreciation/depreciation on
investments, futures, translation of
assets and liabilities
denominated in foreign currencies
and swaps 144,937,306 49,692,253 26,652,394 57,935,263 (1,002,957)
-----------------------------------------------------------------------
Net realized/unrealized gains
(losses) on investments,
futures, foreign currencies
and swaps 146,902,861 53,070,485 30,394,118 62,051,396 748,933
-----------------------------------------------------------------------
CHANGE IN NET ASSETS
RESULTING
FROM OPERATIONS $157,258,407 $54,480,327 $31,129,385 $ 66,563,963 $12,623,530
=======================================================================
See notes to financial statements.
2003 ANNUAL REPORT 93
- --------------------------------------------------------------------------------
STATEMENTS OF CHANGES IN NET ASSETS
NATIONWIDE S&P 500 NATIONWIDE MID CAP NATIONWIDE SMALL CAP
INDEX FUND INDEX FUND INDEX FUND
-----------------------------------------------------------------------------------------
YEAR ENDED YEAR ENDED YEAR ENDED YEAR ENDED YEAR ENDED YEAR ENDED
OCTOBER 31, OCTOBER 31, OCTOBER 31, OCTOBER 31, OCTOBER 31, OCTOBER 31,
2003 2002 2003 2002 2003 2002
- --------------------------------------------------------------------------------------------------------------------------
FROM INVESTMENT
ACTIVITIES:
OPERATIONS:
Net investment income (loss) $ 10,355,546 $ 5,297,094 $ 1,409,842 $ 488,832 $ 735,267 $ 315,549
Net realized gains (losses) on
investment and
futures transactions 1,965,555 (20,246,125) 3,378,232 (1,368,568) 3,741,724 (1,152,632)
Net change in unrealized
appreciation/
depreciation on investments
and futures 144,937,306 (75,977,981) 49,692,253 (9,421,985) 26,652,394 (6,316,448)
-----------------------------------------------------------------------------------------
Change in net assets
resulting from operations 157,258,407 (90,927,012) 54,480,327 (10,301,721) 31,129,385 (7,153,531)
-----------------------------------------------------------------------------------------
DISTRIBUTIONS TO CLASS A
SHAREHOLDERS FROM:
Net investment income (53,816) (39,097) (102,486) (64,417) (108,894) (53,073)
DISTRIBUTIONS TO CLASS B
SHAREHOLDERS FROM:
Net investment income (13,370) (7,428) (49) (36) (116) (126) (a)
DISTRIBUTIONS TO INSTITUTIONAL
CLASS SHAREHOLDERS FROM:
Net investment income (5,401,331) (2,093,414) (1,165,898) (405,386) (540,240) (218,804)
DISTRIBUTIONS TO
SERVICE CLASS
SHAREHOLDERS FROM:
Net investment income (3,281,327) (2,338,484) - - - -
DISTRIBUTIONS TO
INSTITUTIONAL SERVICE
CLASS SHAREHOLDERS FROM:
Net investment income (564,817) (431,912) - - - -
DISTRIBUTIONS TO LOCAL FUND
SHAREHOLDERS FROM:
Net investment income (1,148) (1,090) - - - -
-----------------------------------------------------------------------------------------
Change in net assets from
shareholder distributions (9,315,809) (4,911,425) (1,268,433) (469,839) (649,250) (272,003)
-----------------------------------------------------------------------------------------
Change in net assets
from capital transactions 401,229,702 263,425,114 130,541,811 78,234,383 67,621,008 36,376,316
-----------------------------------------------------------------------------------------
Change in net assets 549,172,300 167,586,677 183,753,705 67,462,823 98,101,143 28,950,782
NET ASSETS:
Beginning of period 549,791,906 382,205,229 103,214,886 35,752,063 44,415,376 15,464,594
-----------------------------------------------------------------------------------------
End of period $1,098,964,206 $549,791,906 $286,968,591 $103,214,886 $142,516,519 $ 44,415,376
=========================================================================================
(a) For the period from November 29, 2001 (commencement of operations) through
October 31, 2002.
See notes to financial statements.
94 ANNUAL REPORT 2003
- --------------------------------------------------------------------------------
NATIONWIDE INTERNATIONAL NATIONWIDE BOND
INDEX FUND INDEX FUND
----------------------------------------------------------
YEAR ENDED YEAR ENDED YEAR ENDED YEAR ENDED
OCTOBER 31, OCTOBER 31, OCTOBER 31, OCTOBER 31,
2003 2002 2003 2002
- --------------------------------------------------------------------------------------------------------------
FROM INVESTMENT ACTIVITIES:
OPERATIONS:
Net investment income (loss) $ 4,512,567 $ 1,302,632 $ 11,874,597 $ 5,461,321
Net realized gains (losses) on investment,
futures, foreign currency
and swap transactions 4,116,133 (6,278,449) 1,751,890 497,008
Net change in unrealized appreciation/
depreciation on investments, futures,
translation of assets and liabilities denominated
in foreign currencies and swaps 57,935,263 (10,210,318) (1,002,957) 3,200,524
----------------------------------------------------------
Change in net assets resulting from operations 66,563,963 (15,186,135) 12,623,530 9,158,853
----------------------------------------------------------
DISTRIBUTIONS TO CLASS A SHAREHOLDERS FROM:
Net investment income (253,106) (176,651) (1,681,042) (1,035,728)
Net realized gains on investments - - (46,646) (12,495)
DISTRIBUTIONS TO CLASS B SHAREHOLDERS FROM:
Net investment income (1,222) (791) (3,112) (634)
Net realized gains on investments - - (32) (11)
DISTRIBUTIONS TO INSTITUTIONAL CLASS
SHAREHOLDERS FROM:
Net investment income (4,721,725) (1,346,579) (12,615,132) (4,718,441)
Net realized gains on investments - - (246,690) (60,021)
----------------------------------------------------------
Change in net assets from shareholder
distributions (4,976,053) (1,524,021) (14,592,654) (5,827,330)
----------------------------------------------------------
Change in net assets from capital
transactions 182,494,474 105,483,310 302,227,401 164,830,991
----------------------------------------------------------
Change in net assets 244,082,384 88,773,154 300,258,277 168,162,514
NET ASSETS:
Beginning of period 132,131,370 43,358,216 223,615,699 55,453,185
----------------------------------------------------------
End of period $376,213,754 $132,131,370 $523,873,976 $223,615,699
===========================================================
See notes to financial statements.
2003 ANNUAL REPORT 95
- --------------------------------------------------------------------------------
FINANCIAL HIGHLIGHTS
Selected Data for Each Share of Capital Outstanding\
NATIONWIDE S&P 500 INDEX FUND
INVESTMENT ACTIVITIES DISTRIBUTIONS
--------------------------------------------------------------------------------------------------
NET
REALIZED
NET AND NET
ASSET UNREALIZED ASSET
VALUE, NET GAINS TOTAL VALUE,
BEGINNING INVESTMENT (LOSSES) FROM NET NET END
OF INCOME ON INVESTMENT INVESTMENT REALIZED TOTAL OF
PERIOD (LOSS) INVESTMENTS ACTIVITIES INCOME GAINS DISTRIBUTIONS PERIOD
- -------------------------------------------------------------------------------------------------------------------------------
CLASS A SHARES
Period Ended
October 31, 2000 (d) $ 12.73 0.05 (0.24) (0.19) (0.08) - (0.08) $ 12.46
Year Ended
October 31, 2001 $ 12.46 0.06 (3.17) (3.11) (0.06) (0.17) (0.23) $ 9.12
Year Ended
October 31, 2002 $ 9.12 0.09 (1.50) (1.41) (0.09) - (0.09) $ 7.62
Year Ended
October 31, 2003 $ 7.62 0.10 1.41 1.51 (0.09) - (0.09) $ 9.04
CLASS B SHARES
Period Ended
October 31, 2000 (d) $ 12.73 (0.01) (0.25) (0.26) (0.05) - (0.05) $ 12.42
Year Ended
October 31, 2001 $ 12.42 0.01 (3.16) (3.15) (0.01) (0.17) (0.18) $ 9.09
Year Ended
October 31, 2002 $ 9.09 0.03 (1.50) (1.47) (0.03) - (0.03) $ 7.59
Year Ended
October 31, 2003 $ 7.59 0.04 1.41 1.45 (0.04) - (0.04) $ 9.00
CLASS C SHARES
Period Ended
October 31, 2003 (e) $ 8.83 - 0.18 0.18 - - - $ 9.01
INSTITUTIONAL CLASS SHARES
Period Ended
October 31, 2000 (d) $ 12.73 0.09 (0.25) (0.16) (0.08) - (0.08) $ 12.49
Year Ended
October 31, 2001 $ 12.49 0.11 (3.17) (3.06) (0.11) (0.17) (0.28) $ 9.15
Year Ended
October 31, 2002 $ 9.15 0.11 (1.51) (1.40) (0.11) - (0.11) $ 7.64
Year Ended
October 31, 2003 $ 7.64 0.11 1.43 1.54 (0.11) - (0.11) $ 9.07
SERVICE CLASS SHARES
Period Ended
October 31, 1999 (f) $ 9.66 0.09 2.25 2.34 (0.09) - (0.09) $ 11.91
Year Ended
October 31, 2000 $ 11.91 0.07 0.56 0.63 (0.07) (0.02) (0.09) $ 12.45
Year Ended
October 31, 2001 $ 12.45 0.07 (3.17) (3.10) (0.07) (0.17) (0.24) $ 9.11
Year Ended
October 31, 2002 $ 9.11 0.08 (1.50) (1.42) (0.08) - (0.08) $ 7.61
Year Ended
October 31, 2003 $ 7.61 0.09 1.41 1.50 (0.08) - (0.08) $ 9.03
- --------------------------------------------------------------------------------------------------------------------------------
RATIOS SUPPLEMENTAL DATA
------------------------------------------------------------------------------------------
RATIO
OF
RATIO NET
OF INVESTMENT
RATIO EXPENSES INCOME
OF (PRIOR (LOSS)
NET TO (PRIOR
NET RATIO INVESTMENT REIMBURSEMENTS) TO
ASSETS OF INCOME TO REIMBURSEMENTS)
AT EXPENSES (LOSS) AVERAGE TO
END TO TO NET AVERAGE
TOTAL OF AVERAGE AVERAGE ASSETS NET PORTFOLIO
RETURN PERIOD NET NET ASSETS TURNOVER
(A) (000S) ASSETS ASSETS (B) (B) (C)
- ------------------------------------------------------------------------------------------------------------------------
CLASS A SHARES
Period Ended
October 31, 2000 (d) 5.71% (g) $ 2,214 0.63% (h) 0.47% (h) 0.88% (h) 0.22%(h) 9.72%
Year Ended
October 31, 2001 (25.24%) $ 3,237 0.63% 0.70% 1.03% 0.30% 1.85%
Year Ended
October 31, 2002 (15.62%) $ 3,942 0.52% 1.06% 0.61% 0.97% 3.06%
Year Ended
October 31, 2003 20.03% $ 5,795 0.48% 1.28% 0.56% 1.21% 1.30%
CLASS B SHARES
Period Ended
October 31, 2000 (d) 5.17% (g) $ 987 1.23% (h) (0.12%) (h) 2.05% (h) (0.94%) (h) 9.72%
Year Ended
October 31, 2001 (25.65%) $ 1,879 1.23% 0.11% 2.21% (0.87%) 1.85%
Year Ended
October 31, 2002 (16.24%) $ 2,423 1.23% 0.35% 1.39% 0.19% 3.06%
Year Ended
October 31, 2003 19.14% $ 3,713 1.23% 0.54% 1.30% 0.47% 1.30%
CLASS C SHARES
Period Ended
October 31, 2003 (e) 2.04% (g) $ 10 1.23% (h) 0.48% (h) 1.23% (h) 0.48% (h) 1.30%
INSTITUTIONAL CLASS SHARES
Period Ended
October 31, 2000 (d) 6.01% (g) $ 92,190 0.23% (h) 0.83% (h) 0.30% (h) 0.76% (h) 9.72%
Year Ended
October 31, 2001 (24.84%) $ 107,955 0.23% 1.10% 0.29% 1.04% 1.85%
Year Ended
October 31, 2002 (15.44%) $ 235,333 0.23% 1.37% 0.33% 1.27% 3.06%
Year Ended
October 31, 2003 20.39% $ 620,598 0.23% 1.52% 0.30% 1.45% 1.30%
SERVICE CLASS SHARES
Period Ended
October 31, 1999 (f) 24.27% (g) $ 72,049 0.63% (h) 0.69% (h) 0.83% (h) 0.49% (h) 55.07%
Year Ended
October 31, 2000 5.25% $ 189,443 0.63% 0.54% 0.70% 0.47% 9.72%
Year Ended
October 31, 2001 (25.22%) $ 233,943 0.63% 0.70% 0.69% 0.64% 1.85%
Year Ended
October 31, 2002 (15.73%) $ 266,515 0.63% 0.94% 0.72% 0.85% 3.06%
Year Ended
October 31, 2003 19.89% $ 413,554 0.63% 1.14% 0.70% 1.06% 1.30%
- ------------------------------------------------------------------------------------------------------------------------
(a) Excludes sales charge.
(b) During the period certain fees were waived and/or reimbursed. If such
waivers/reimbursements had not occurred, the ratios would have been as
indicated.
(c) Portfolio turnover is calculated on the basis of the Fund as a whole
without distinguishing among the classes of shares.
(d) For period from December 29, 1999 (commencement of operations) through
October 31, 2000.
(e) For the period from October 22, 2003 (commencement of operations) through
October 31, 2003.
(f) For the period from November 2, 1998 (commencement of operations) through
October 31, 1999.
(g) Not annualized.
(h) Annualized.
See notes to financial statements.
96 ANNUAL REPORT 2003
- --------------------------------------------------------------------------------
NATIONWIDE S&P 500 INDEX FUND (continued)
INVESTMENT ACTIVITIES DISTRIBUTIONS
---------------------------------------------------------------------------------------------------
NET
REALIZED
NET AND NET
ASSET UNREALIZED ASSET
VALUE, NET GAINS TOTAL VALUE,
BEGINNING INVESTMENT (LOSSES) FROM NET NET END
OF INCOME ON INVESTMENT INVESTMENT REALIZED TOTAL OF
PERIOD (LOSS) INVESTMENTS ACTIVITIES INCOME GAINS DISTRIBUTIONS PERIOD
- --------------------------------------------------------------------------------------------------------------------------
---------------------------------------------------------------------------------------------------
INSTITUTIONAL SERVICE
CLASS SHARES
Period Ended
October 31, 1999 (d) $ 9.66 0.10 2.27 2.37 (0.09) - (0.09) $ 11.94
Year Ended
October 31, 2000 $ 11.94 0.08 0.56 0.64 (0.08) (0.02) (0.10) $ 12.48
Year Ended
October 31, 2001 $ 12.48 0.08 (3.17) (3.09) (0.08) (0.17) (0.25) $ 9.14
Year Ended
October 31, 2002 $ 9.14 0.09 (1.50) (1.41) (0.09) - (0.09) $ 7.64
Year Ended
October 31, 2003 $ 7.64 0.10 1.42 1.52 (0.09) - (0.09) $ 9.07
LOCAL FUND SHARES
Year Ended
October 31, 1999 $ 9.66 0.12 2.27 2.39 (0.10) - (0.10) $ 11.95
Year Ended
October 31, 2000 $ 11.95 0.11 0.54 0.65 (0.10) (0.02) (0.12) $ 12.48
Year Ended
October 31, 2001 $ 12.48 0.07 (3.14) (3.07) (0.07) (0.17) (0.24) $ 9.17
Year Ended
October 31, 2002 $ 9.17 0.11 (1.52) (1.41) (0.10) - (0.10) $ 7.66
Year Ended
October 31, 2003 $ 7.66 0.12 1.42 1.54 (0.11) - (0.11) $ 9.09
- --------------------------------------------------------------------------------------------------------------------------
DISTRIBUTIONS RATIOS/SUPPLEMENTAL DATA
-------------------------------------------------------------------------------------------------
RATIO RATIO
OF OF
RATIO EXPENSES NET
OF (PRIOR INVESTMENT
RATIO NET TO INCOME
OF INVESTMENT REIMBURSEMENTS) (LOSS)
EXPENSES INCOME TO (PRIOR
NETASSETS TO (LOSS) AVERAGE TO
TOTAL AT END OF AVERAGE TO NET REIMBURSEMENTS)
RETURN PERIOD NET AVERAGE ASSETS TO AVERAGE PORTFOLIO
(A) (000S) ASSETS NET ASSETS (B) NET ASSETS (B) TURNOVER (C)
- ------------------------------------------------------------------------------------------------------------------------
INSTITUTIONAL SERVICE
CLASS SHARES
Period Ended
October 31, 1999 (d) 24.64%(e) $ 17,389 0.48% (f) 0.87%(f) 0.67% (f) 0.68% (f) 55.07%
Year Ended
October 31, 2000 5.37% $ 31,917 0.48% 0.69% 0.55% 0.62% 9.72%
Year Ended
October 31, 2001 (25.04%) $ 35,097 0.48% 0.84% 0.54% 0.78% 1.85%
Year Ended
October 31, 2002 (15.56%) $ 41,498 0.48% 1.09% 0.57% 1.00% 3.06%
Year Ended
October 31, 2003 20.11% $ 55,197 0.48% 1.29% 0.55% 1.21% 1.30%
LOCAL FUND SHARES
Year Ended
October 31, 1999 24.85% $ 30,674 0.35% 1.05% 0.52% 0.88% 55.07%
Year Ended
October 31, 2000 5.43% $ 10,555 0.35% 0.84% 0.38% 0.81% 9.72%
Year Ended
October 31, 2001 (24.91%) $ 96 0.35% 0.94% 0.37% 0.92% 1.85%
Year Ended
October 31, 2002 (15.47%) $ 81 0.31% 1.25% 0.39% 1.17% 3.06%
Year Ended
October 31, 2003 20.26% $ 97 0.30% 1.47% 0.37% 1.40% 1.30%
- ---------------------------------------------------------------------------------------------------------------------
(a) Excludes sales charge.
(b) During the period certain fees were waived and/or reimbursed. If such
waivers/reimbursements had not occurred, the ratios would have been as
indicated.
(c) Portfolio turnover is calculated on the basis of the Fund as a whole
without distinguishing among the classes of shares.
(d) For the period from November 2, 1998 (commencement of operations) through
October 31, 1999.
(e) Not annualized.
(f) Annualized.
See notes to financial statements.
2003 ANNUAL REPORT 97
- --------------------------------------------------------------------------------
FINANCIAL HIGHLIGHTS
Selected Data for Each Share of Capital Outstanding
NATIONWIDE MID CAP MARKET INDEX FUND
INVESTMENT ACTIVITIES DISTRIBUTIONS
---------------------------------------------------------------------------------------------------
NET
REALIZED
NET AND NET
ASSE UNREALIZED ASSET
VALUE, NET GAINS TOTAL VALUE,
BEGINNING INVESTMENT (LOSSES) FROM NET NET END
OF INCOME\ ON INVESTMENT INVESTMENT REALIZED TOTAL OF
PERIOD (LOSS) INVESTMENTS ACTIVITIES INCOME GAINS DISTRIBUTIONS PERIOD
- -------------------------------------------------------------------------------------------------------------------------
CLASS A SHARES
Period Ended
October 31, 2000 (d) $ 10.00 0.09 1.76 1.85 (0.08) - (0.08) $ 11.77
Year Ended
October 31, 2001 $ 11.77 0.07 (1.50) (1.43) (0.08) (0.47) (0.55) $ 9.79
Year Ended
October 31, 2002 $ 9.79 0.04 (0.59) (0.55) (0.05) - (0.05) $ 9.19
Year Ended
October 31, 2003 $ 9.19 0.04 2.68 2.72 (0.04) - (0.04) $ 11.87
CLASS B SHARES
Period Ended
October 31, 2001 (e) $ 11.62 - (1.83) (1.83) - (0.05) (0.05) $ 9.74
Year Ended
October 31, 2002 $ 9.74 (0.01) (0.58) (0.59) (0.02) - (0.02) $ 9.13
Year Ended
October 31, 2003 $ 9.13 (0.02) 2.66 2.64 - - - $ 11.77
CLASS C SHARES
Period Ended
October 31, 2003 (f) $ 11.43 - 0.33 0.33 - - - $ 11.76
INSTITUTIONAL
CLASS SHARES
Period Ended
October 31, 2000 (d) $ 10.00 0.14 1.76 1.90 (0.10) - (0.10) $ 11.80
Year Ended
October 31, 2001 $ 11.80 0.10 (1.49) (1.39) (0.10) (0.47) (0.57) $ 9.84
Year Ended
October 31, 2002 $ 9.84 0.08 (0.58) (0.50) (0.09) - (0.09) $ 9.25
Year Ended
October 31, 2003 $ 9.25 0.08 2.70 2.78 (0.08) - (0.08) $ 11.95
- -------------------------------------------------------------------------------------------------------------------------
RATIOS / SUPPLEMENTAL DATA
--------------------------------------------------------------------------------------------
RATIO RATIO
OF OF RATIO
NET EXPENSES OF NET
NET RATIO INVESTMENT (PRIOR INVESTMENT
ASSETS OF INCOME TO INCOME
AT EXPENSES (LOSS) REIMBURSEMENTS) (LOSS)
END TO TO TO (PRIOR TO
TOTAL OF AVERAGE AVERAGE AVERAGE REIMBURSEMENTS) PORTFOLIO
RETURN PERIOD NET NET NET TO AVERAGE TURNOVER
(A) (000S) ASSETS ASSETS ASSETS (B) NET ASSETS (B) (C)
- -------------------------------------------------------------------------------------------------------------------
CLASS A SHARES
Period Ended
October 31, 2000 (d) 18.51% (g) $ 3,049 0.81% (h) 0.95% (h) 3.12% (h) (1.36%) (h) 35.19%
Year Ended
October 31, 2001 (12.57%) $ 9,028 0.81% 0.56% 1.27% 0.10% 119.76%
Year Ended
October 31, 2002 (5.67%) $ 19,002 0.73% 0.42% 0.83% 0.32% 15.82%
Year Ended
October 31, 2003 29.72% $ 38,693 0.71% 0.48% 0.82% 0.37% 8.26%
CLASS B SHARES
Period Ended
October 31, 2001 (e) (16.05%) (g) $ 6 1.41% (h) (0.38%) (h) 3.66% (h) (2.63%) (h) 119.76%
Year Ended
October 31, 2002 (6.13%) $ 86 1.32% (0.16%) 1.44% (0.28%) 15.82%
Year Ended
October 31, 2003 28.96% $ 295 1.31% (0.13%) 1.42% (0.25%) 8.26%
CLASS C SHARES
Period Ended
October 31, 2003 (f) 2.89% (g) $ 21 1.31% (h) 0.16% (h) 1.71% (h) (0.24%) (h) 8.26%
INSTITUTIONAL
CLASS SHARES
Period Ended
October 31, 2000 (d) 19.03% (g) $ 7,957 0.31% (h) 1.49% (h) 2.76% (h) (0.96%) (h) 35.19%
Year Ended
October 31, 2001 (12.17%) $ 26,719 0.31% 1.08% 1.00% 0.39% 119.76%
Year Ended
October 31, 2002 (5.19%) $ 84,128 0.31% 0.84% 0.44% 0.71% 15.82%
Year Ended
October 31, 2003 30.21% $ 247,960 0.31% 0.87% 0.42% 0.76% 8.26%
---------------------------------------------------------------------------------------------
(a) Excludes sales charge.
(b) During the period certain fees were waived and/or reimbursed. If such
waivers/reimbursements had not occurred, the ratios would have been as
indicated.
(c) Portfolio turnover is calculated on the basis of the Fund as a whole
without distinguishing among the classes of shares.
(d) For period from December 29, 1999 (commencement of operations) through
October 31, 2000.
(e) For the period from May 25, 2001 (commencement of operations) through
October 31, 2001.
(f) For the period from October 22, 2003 (commencement of operations) through
October 31, 2003.
(g) Not annualized.
(h) Annualized.
See notes to financial statements.
98 ANNUAL REPORT 2003
- --------------------------------------------------------------------------------
NATIONWIDE SMALL CAP INDEX FUND
INVESTMENT ACTIVITIES DISTRIBUTIONS
------------------------------------------------------------------------------------------------------
NET
REALIZED
NET AND
ASSET UNREALIZED NET
VALUE, NET GAINS TOTAL ASSET
BEGINNING INVESTMENT (LOSSES) FROM NET VALUE, TOTAL
OF INCOME ON INVESTMENT INVESTMENT TOTAL END OF RETURN
PERIOD (LOSS) INVESTMENTS ACTIVITIES INCOME DISTRIBUTIONS PERIOD (A)
- ----------------------------------------------------------------------------------------------------------------------------
CLASS A SHARES
Period Ended
October 31, 2000 (d) $ 10.00 0.07 (0.34) (0.27) (0.06) (0.06) $ 9.67 (2.71%) (g)
Year Ended
October 31, 2001 $ 9.67 0.07 (1.32) (1.25) (0.08) (0.08) $ 8.34 (12.95%)
Year Ended
October 31, 2002 $ 8.34 0.05 (1.07) (1.02) (0.05) (0.05) $ 7.27 (12.29%)
Year Ended
October 31, 2003 $ 7.27 0.05 2.98 3.03 (0.05) (0.05) $ 10.25 41.89%
CLASS B SHARES
Period Ended
October 31, 2002 (e) $ 8.84 0.03 (1.59) (1.56) (0.03) (0.03) $ 7.25 (17.68%) (g)
Year Ended
October 31, 2003 $ 7.25 - 2.97 2.97 (0.01) (0.01) $ 10.21 40.98%
CLASS C SHARES
Period Ended
October 31, 2003 (f) $ 9.91 - 0.29 0.29 - - $ 10.20 2.93% (g)
INSTITUTIONAL
CLASS SHARES
Period Ended
October 31, 2000 (d) $ 10.00 0.09 (0.32) (0.23) (0.07) (0.07) $ 9.70 (2.30%) (g)
Year Ended
October 31, 2001 $ 9.70 0.11 (1.32) (1.21) (0.11) (0.11) $ 8.38 (12.54%)
Year Ended
October 31, 2002 $ 8.38 0.08 (1.06) (0.98) (0.08) (0.08) $ 7.32 (11.80%)
Year Ended
October 31, 2003 $ 7.32 0.08 3.00 3.08 (0.08) (0.08) $ 10.32 42.49%
- ----------------------------------------------------------------------------------------------------------------------------
RATIOS / SUPPLEMENTAL DATA
------------------------------------------------------------------------------
RATIO RATIO
OF NET OF NET
INVESTMENT RATIO OF INVESTMENT
NET RATIO OF INCOME EXPENSES INCOME
ASSETS EXPENSES (LOSS) (PRIOR TO (LOSS)
AT END TO TO REIMBURSEMENTS) (PRIOR TO
OF AVERAGE AVERAGE TO AVERAGE REIMBURSEMENTS) PORTFOLIO
PERIOD NET NET NET TO AVERAGE TURNOVER
(000S) ASSETS ASSETS ASSETS (B) NET ASSETS (B) (C)
- ----------------------------------------------------------------------------------------------------
CLASS A SHARES
Period Ended
October 31, 2000 (d) $ 32 0.79% (h) 1.00% (h) 329.04% (h) (327.25%) (h) 48.27%
Year Ended
October 31, 2001 $ 4,098 0.79% 0.75% 1.64% (0.10%) 50.19%
Year Ended
October 31, 2002 $ 11,079 0.71% 0.71% 0.97% 0.45% 34.77%
Year Ended
October 31, 2003 $ 42,343 0.69% 0.61% 0.83% 0.47% 25.63%
CLASS B SHARES
Period Ended
October 31, 2002 (e) $ 89 1.29% (h) 0.15% (h) 1.55% (h) (0.11%) (h) 34.77%
Year Ended
October 31, 2003 $ 249 1.29% 0.04% 1.44% (0.11%) 25.63%
CLASS C SHARES
Period Ended
October 31, 2003 (f) $ 21 1.29% (h) 0.07% (h) 1.38% (h) (0.02%) (h) 25.63%
INSTITUTIONAL
CLASS SHARES
Period Ended
October 31, 2000 (d) $ 2,301 0.29% (h) 1.69% (h) 19.76% (h) (17.78%) (h) 48.27%
Year Ended
October 31, 2001 $ 11,366 0.29% 1.30% 1.94% (0.35%) 50.19%
Year Ended
October 31, 2002 $ 33,247 0.29% 1.14% 0.58% 0.85% 34.77%
Year Ended
October 31, 2003 $ 99,904 0.29% 1.04% 0.44% 0.89% 25.63%
- ----------------------------------------------------------------------------------------------------
(a) Excludes sales charge.
(b) During the period certain fees were waived and/or reimbursed. If such
waivers/reimbursements had not occurred, the ratios would have been as
indicated.
(c) Portfolio turnover is calculated on the basis of the Fund as a whole
without distinguishing among the classes of shares.
(d) For period from December 29, 1999 (commencement of operations) through
October 31, 2000.
(e) For the period from November 29, 2001 (commencement of operations) through
October 31, 2002.
(f) For the period from October 22, 2003 (commencement of operations) through
October 31, 2003.
(g) Not annualized.
(h) Annualized.
See notes to financial statements.
2003 ANNUAL REPORT 99
- --------------------------------------------------------------------------------
FINANCIAL HIGHLIGHTS
Selected Data for Each Share of Capital Outstanding
NATIONWIDE INTERNATIONAL INDEX FUND
INVESTMENT ACTIVITIES DISTRIBUTIONS
---------------------------------------------------------------------------------------------------------
NET
REALIZED
AND
UNREALIZED NET
NET NET GAINS TOTAL ASSET
ASSET VALUE, INVESTMENT (LOSSES) FROM NET VALUE, TOTAL
BEGINNING INCOME ON INVESTMENT INVESTMENT TOTAL END OF RETURN
OF PERIOD (LOSS) INVESTMENTS ACTIVITIES INCOME DISTRIBUTIONS PERIOD (A)
- -------------------------------------------------------------------------------------------------------------------------------
CLASS A SHARES
Period Ended
October 31, 2000 (d) $ 10.00 0.06 (1.36) (1.30) (0.05) (0.05) $ 8.65 (13.03%) (e)
Year Ended
October 31, 2001 $ 8.65 0.08 (2.28) (2.20) (0.08) (0.08) $ 6.37 (25.44%)
Year Ended
October 31, 2002 $ 6.37 0.08 (1.06) (0.98) (0.08) (0.08) $ 5.31 (15.65%)
Year Ended
October 31, 2003 $ 5.31 0.09 1.25 1.34 (0.10) (0.10) $ 6.55 25.51%
CLASS B SHARES
Period Ended
October 31, 2000 (d) $ 10.00 0.02 (1.38) (1.36) (0.02) (0.02) $ 8.62 (13.62%) (e)
Year Ended
October 31, 2001 $ 8.62 0.04 (2.30) (2.26) (0.04) (0.04) $ 6.32 (26.17%)
Year Ended
October 31, 2002 $ 6.32 0.03 (1.04) (1.01) (0.05) (0.05) $ 5.26 (16.12%)
Year Ended
October 31, 2003 $ 5.26 0.06 1.24 1.30 (0.08) (0.08) $ 6.48 24.88%
INSTITUTIONAL
CLASS SHARES
Period Ended
October 31, 2000 (d) $ 10.00 0.09 (1.35) (1.26) (0.08) (0.08) $ 8.66 (12.65%) (e)
Year Ended
October 31, 2001 $ 8.66 0.10 (2.29) (2.19) (0.10) (0.10) $ 6.37 (25.28%)
Year Ended
October 31, 2002 $ 6.37 0.09 (1.04) (0.95) (0.10) (0.10) $ 5.32 (15.20%)
Year Ended
October 31, 2003 $ 5.32 0.11 1.25 1.36 (0.12) (0.12) $ 6.56 25.90%
- -------------------------------------------------------------------------------------------------------------------------------
RATIOS / SUPPLEMENTAL DATA
------------------------------------------------------------------------------
RATIO OF
NET RATIO OF NET
RATIO INVESTMENT INVESTMENT
NET OF INCOME RATIO OF INCOME
ASSETS EXPENSES (LOSS) EXPENSES (LOSS)
AT END TO TO (PRIOR TO (PRIOR TO
OF AVERAGE AVERAGE REIMBURSEMENTS) REIMBURSEMENTS) PORTFOLIO
PERIOD NET NET TO AVERAGE TO AVERAGE TURNOVER
(000S) ASSETS ASSETS NET ASSETS (B) NET ASSETS (B) (C)
- ----------------------------------------------------------------------------------------------------
CLASS A SHARES
Period Ended
October 31, 2000 (d) $ 230 0.86% (f) 1.01% (f) 49.77% (f) (47.90%) (f) 5.66%
Year Ended
October 31, 2001 $ 10,877 0.86% 1.17% 3.97% (1.94%) 30.18%
Year Ended
October 31, 2002 $ 12,549 0.79% 1.15% 0.96% 0.98% 32.45%
Year Ended
October 31, 2003 $ 16,404 0.75% 1.71% 0.88% 1.58% 7.71%
CLASS B SHARES
Period Ended
October 31, 2000 (d) $ 53 1.46% (f) 0.39% (f) 63.29% (f) (61.44%) (f) 5.66%
Year Ended
October 31, 2001 $ 59 1.46% 0.42% 7.41% (5.53%) 30.18%
Year Ended
October 31, 2002 $ 80 1.39% 0.64% 1.72% 0.31% 32.45%
Year Ended
October 31, 2003 $ 105 1.36% 1.03% 1.48% 0.90% 7.71%
INSTITUTIONAL
CLASS SHARES
Period Ended
October 31, 2000 (d) $ 2,858 0.36% (f) 1.16% (f) 8.18% (f) (6.66%) (f) 5.66%
Year Ended
October 31, 2001 $ 32,422 0.36% 1.42% 2.60% (0.82%) 30.18%
Year Ended
October 31, 2002 $ 119,502 0.36% 1.66% 0.56% 1.46% 32.45%
Year Ended
October 31, 2003 $ 359,705 0.36% 1.99% 0.48% 1.87% 7.71%
- -----------------------------------------------------------------------------------------------------
(a) Excludes sales charge.
(b) During the period certain fees were waived and/or reimbursed. If such
waivers/reimbursements had not occurred, the ratios would have been as
indicated.
(c) Portfolio turnover is calculated on the basis of the Fund as a whole
without distinguishing among the classes of shares.
(d) For period from December 29, 1999 (commencement of operations) through
October 31, 2000.
(e) Not annualized.
(f) Annualized.
See notes to financial statements.
100 ANNUAL REPORT 2003
- --------------------------------------------------------------------------------
NATIONWIDE BOND INDEX FUND
INVESTMENT ACTIVITIES DISTRIBUTIONS
----------------------------------------------------------------------------------------------------
NET
REALIZED
NET AND NET
ASSET UNREALIZED ASSET
VALUE, NET GAINS TOTAL VALUE,
BEGINNING INVESTMENT (LOSSES) FROM NET NET END
OF INCOME ON INVESTMENT INVESTMENT REALIZED TOTAL OF
PERIOD (LOSS) INVESTMENTS ACTIVITIES INCOME GAINS DISTRIBUTIONS PERIOD
- --------------------------------------------------------------------------------------------------------------------------
CLASS A SHARES
Period Ended
October 31, 2000 (d) $ 10.00 0.50 0.08 0.58 (0.50) - (0.50) $ 10.08
Year Ended
October 31, 2001 $ 10.08 0.57 0.93 1.50 (0.57) (0.08) (0.65) $ 10.93
Year Ended
October 31, 2002 $ 10.93 0.47 0.05 0.52 (0.48) (0.01) (0.49) $ 10.96
Year Ended
October 31, 2003 $ 10.96 0.34 0.09 0.43 (0.40) (0.01) (0.41) $ 10.98
CLASS B SHARES
Period Ended
October 31, 2001 (e) $ 10.75 0.02 0.18 0.20 (0.02) - (0.02) $ 10.93
Year Ended
October 31, 2002 $ 10.93 0.41 0.05 0.46 (0.42) (0.01) (0.43) $ 10.96
Year Ended
October 31, 2003 $ 10.96 0.29 0.07 0.36 (0.33) (0.01) (0.34) $ 10.98
INSTITUTIONAL
CLASS SHARES
Period Ended
October 31, 2000 (d) $ 10.00 0.54 0.09 0.63 (0.54) - (0.54) $ 10.09
Year Ended
October 31, 2001 $ 10.09 0.63 0.91 1.54 (0.63) (0.08) (0.71) $ 10.92
Year Ended
October 31, 2002 $ 10.92 0.52 0.05 0.57 (0.53) (0.01) (0.54) $ 10.95
Year Ended
October 31, 2003 $ 10.95 0.39 0.09 0.48 (0.44) (0.01) (0.45) $ 10.98
- ------------------------------------------------------------------------------------------------------------------------
RATIOS / SUPPLEMENTAL DATA
------------------------------------------------------------------------------------------
RATIO OF RATIO OF
NET RATIO OF NET
INVESTMENT EXPENSES INVESTMENT
NET RATIO OF INCOME (PRIOR TO INCOME
ASSETS EXPENSES (LOSS) REIMBURSEMENTS) (LOSS)
AT END TO TO TO (PRIOR TO
TOTAL OF AVERAGE AVERAGE AVERAGE REIMBURSEMENTS) PORTFOLIO
RETURN PERIOD NET NET NET TO AVERAGE TURNOVER
(A) (000S) ASSETS ASSETS ASSETS (B) NET ASSETS (B) (C)
- ----------------------------------------------------------------------------------------------------------------
CLASS A SHARES
Period Ended
October 31, 2000 (d) 5.92% (f) $ 8,352 0.81% (g) 6.06% (g) 3.48% (g) 3.39% (g) 35.74%
Year Ended
October 31, 2001 15.28% $ 9,693 0.81% 5.04% 1.12% 4.73% 150.27%
Year Ended
October 31, 2002 5.01% $ 38,447 0.72% 4.29% 0.84% 4.17% 124.75%
Year Ended
October 31, 2003 3.96% $ 42,292 0.71% 3.07% 0.82% 2.96% 139.66%
CLASS B SHARES
Period Ended
October 31, 2001 (e) 1.85% (f) $ 10 1.41% (g) 3.05% (g) 1.63% (g) 2.83% (g) 150.27%
Year Ended
October 31, 2002 4.38% $ 28 1.33% 3.69% 1.44% 3.58% 124.75%
Year Ended
October 31, 2003 3.34% $ 256 1.31% 2.10% 1.41% 2.00% 139.66%
INSTITUTIONAL
CLASS SHARES
Period Ended
October 31, 2000 (d) 6.47% (f) $ 3,763 0.31% (g) 6.49% (g) 10.87% (g) (4.07%) (g) 35.74%
Year Ended
October 31, 2001 15.71% $ 45,750 0.31% 5.51% 1.10% 4.72% 150.27%
Year Ended
October 31, 2002 5.46% $ 185,141 0.31% 4.67% 0.45% 4.53% 124.75%
Year Ended
October 31, 2003 4.47% $ 481,326 0.31% 3.34% 0.42% 3.23% 139.66%
- ----------------------------------------------------------------------------------------------------------------
(a) Excludes sales charge.
(b) During the period certain fees were waived and/or reimbursed. If such
waivers/reimbursements had not occurred, the ratios would have been as
indicated.
(c) Portfolio turnover is calculated on the basis of the Fund as a whole
without distinguishing among the classes of shares.
(d) For period from December 29, 1999 (commencement of operations) through
October 31, 2000.
(e) For the period from October 12, 2001 (commencement of operations) through
October 31, 2001.
(f) Not annualized.
(g) Annualized.
See notes to financial statements.
2003 ANNUAL REPORT 101
- --------------------------------------------------------------------------------
NORTHPOINTE SMALL CAP VALUE FUND
Institutional Class symbol: NNSVX
HOW DID THE FUND PERFORM?
For the annual period ended Oct. 31, 2003, the Fund returned 38.25%* versus
43.35% for its benchmark, the Russell 2000(R) Index.
For broader comparison, the average return for this Fund's peer category
(Small-Cap Core Funds) was 38.95%, according to Lipper, an independent company
that provides mutual fund data and analysis.
WHAT MARKET/ECONOMIC AND PORTFOLIO-SPECIFIC FACTORS AFFECTED PERFORMANCE?
The market surged during the second half of the period as the economic slowdown
appeared to have ended and an earnings recovery was on the horizon. On the
surface, the move in the market appeared to be broad-based. A closer examination
of the performance, however, revealed that the rally was fueled by a risky and
speculative segment of the market.
Small-cap market returns, as measured by the Russell 2000 Index, were dominated
by the micro-cap segment of the small-cap market. These micro-cap stocks tend to
be illiquid, trading unprofitably at less than $5 per share. Many of these
stocks come with negative earnings forecasts for calendar-year 2003 and only
marginal improvement projections for next year. This challenging environment for
the Fund's style of investing, which emphasizes liquidity and earnings quality,
led to the Fund's performance lagging that of the benchmark.
DESCRIBE THE FUND'S TOP HOLDINGS AND ANY SIGNIFICANT TRANSACTIONS MADE DURING
THE PERIOD.
The Fund's top holdings as of Oct. 31, 2003, were BankAtlantic Bancorp, Inc., a
diversified financial holding company; CBL & Associates Properties Inc., a
self-managed, self-administered, fully integrated real estate investment trust;
and Provident Financial Group, Inc., a commercial banking and financial services
company. The Fund prefers financial stocks due to the improving credit quality
they are enjoying as a result of the recovering economy. The Fund favors
real-estate stocks because they have benefited from increased minimum rent
revenues and gains on the sale of real estate.
The Fund initiated a position in The Timberland Co., the footwear manufacturer,
which has an impressive product line and conservative earnings expectations, a
combination that typically creates an attractive investment opportunity. The
Fund took advantage of the strong performance in the technology sector to sell
positions in Photronics Inc. and Polycom, Inc.
HOW IS THE FUND POSITIONED?
The economy truly appears to be recovering, although the market may be
overestimating its pace. Given the quick run-up in third-quarter 2003 share
prices, the Fund is more inclined to be cautious in the near term to see how the
economic and earnings data unfold. The environment is likely to shift soon to
one in which fundamentals, rather than investor sentiment, move the market. In
such an environment, well-positioned companies with strong profitability and
visible earnings growth will be rewarded, as will the Fund's style of investing.
PORTFOLIO MANAGER: NorthPointe Capital, LLC - Subadviser
* Performance of Institutional Class shares assuming all distributions are
reinvested.
PORTFOLIO MARKET VALUE $47,817,539
OCTOBER 31, 2003
AVERAGE ANNUAL TOTAL RETURN
(For Periods Ended October 31, 2003)
1 YR. INCEPTION1
- ----------------------------------------
Institutional Class 38.25% 11.94%
- ----------------------------------------
There are no sales charges on the shares of the NorthPointe Small Cap Value
Fund.
1 Fund commenced operations on June 29, 2000.
GROWTH OF A $10,000 INVESTMENT
INVESTMENT RETURN AND PRINCIPAL VALUE WILL FLUCTUATE, AND WHEN REDEEMED, SHARES
MAY BE WORTH MORE OR LESS THAN ORIGINAL COST. PAST PERFORMANCE IS NO GUARANTEE
OF FUTURE RESULTS.
DATE INSTITUTIONAL CLASS RUSSELL 2000 CPI
- ------------------------------------------------------
6/30/2000 10,000 10,000 10,000
10/31/2000 10,514 9,659 10,099
10/31/2001 11,264 8,433 10,313
10/31/2002 10,539 7,457 10,522
10/31/2003 14,571 10,691 10,787
Comparative performance of $10,000 invested in the Institutional Class of the
NorthPointe Small Cap Value Fund, Russell 2000 Index (Russell 2000)(a), and the
Consumer Price Index (CPI)(b) since inception. Unlike the Fund, the returns for
these indices do not reflect any fees, expenses, or sales charges.
(a) The Russell 2000 is an unmanaged index of approximately 2000 companies with
small market capitalizations relative to the market capitalizations of
other U.S. companies
(b) The CPI represents changes in prices of a basket of goods and services
purchased for consumption by urban households.
102 ANNUAL REPORT 2003
- --------------------------------------------------------------------------------
STATEMENT OF INVESTMENTS
October 31, 2003
NORTHPOINTE SMALL CAP VALUE FUND
COMMON STOCKS (94.7%)
SHARES OR
PRINCIPAL
AMOUNT VALUE
- ---------------------------------------------------------------
AEROSPACE (1.0%)
Alliant Techsystems, Inc. (b) 4,000 $ 207,040
Orbital Sciences Corp. (b) 20,100 184,719
----------
391,759
----------
- ---------------------------------------------------------------
- ---------------------------------------------------------------
AIR TRANSPORT (0.9%)
SkyWest, Inc. 20,192 373,350
----------
- ---------------------------------------------------------------
AUTO PARTS-AFTER MARKET (0.9%)
Aftermarket Technology Corp. (b) 12,900 152,865
Superior Industries International, Inc. 4,500 191,250
----------
344,115
----------
- ---------------------------------------------------------------
AUTO PARTS-TRUCK (0.3%)
Wabash National Corp. (b) 5,100 117,657
----------
- ---------------------------------------------------------------
BANKS - OUTSIDE NEW YORK CITY (5.4%)
Capital Corp of the West (b) 4,500 172,530
Community First Bankshares, Inc. 14,600 396,390
East West Bancorp, Inc. 7,573 371,759
First Community Bancorp, Inc. 8,900 311,500
Macatawa Bank Corp. 5,571 146,016
Provident Financial Group, Inc. 16,340 481,212
South Financial Group, Inc. (The) 9,000 235,170
----------
2,114,577
----------
- ---------------------------------------------------------------
BIOTECHNOLOGY RESEARCH & PRODUCTION (1.6%)
Nabi Biopharmaceuticals (b) 23,700 261,411
Serologicals Corp. (b) 16,600 265,600
Transkaryotic Therapies, Inc. (b) 8,900 116,679
----------
643,690
----------
- ---------------------------------------------------------------
BUILDING MATERIALS (0.5%)
LSI Industries, Inc. 11,050 180,447
----------
- ---------------------------------------------------------------
BUILDING-AIR CONDITIONING (0.4%)
York International Corp. 4,200 166,908
----------
- ---------------------------------------------------------------
CASINOS & GAMBLING (1.2%)
Ameristar Casinos, Inc. (b) 8,700 183,744
Scientific Games Corp., Class A (b) 22,500 299,250
----------
482,994
----------
- ---------------------------------------------------------------
CHEMICALS (2.2%)
A. Schulman, Inc. 10,600 201,294
Aceto Corp. 8,900 139,107
Cabot Corp. 8,200 228,780
Lubrizol Corp. 9,500 287,850
----------
857,031
----------
- ---------------------------------------------------------------
SHARES OR
PRINCIPAL
AMOUNT VALUE
- ---------------------------------------------------------------
COAL (1.4%)
Consol Energy, Inc. 7,900 $ 171,430
Peabody Energy Corp. 11,900 396,627
----------
568,057
----------
- ---------------------------------------------------------------
COMMERCIAL INFORMATION SERVICES (0.4%)
InfoUSA, Inc. (b) 17,500 143,500
----------
- ---------------------------------------------------------------
COMMUNICATIONS TECHNOLOGY (3.1%)
Ditech Communications Corp. (b) 24,000 253,200
Enterasys Networks, Inc. (b) 69,200 269,880
Harris Corp. 8,000 297,760
Inter-Tel, Inc. 9,800 246,862
Westell Technologies, Inc. (b) 17,500 145,775
----------
1,213,477
----------
- ---------------------------------------------------------------
COMPUTER SERVICES SOFTWARE & SYSTEMS (4.5%)
Compuware Corp. (b) 41,500 233,230
Gartner, Inc. (b) 18,000 229,500
MRO Software, Inc. (b) 12,514 158,302
Novell, Inc. (b) 66,500 390,355
Parametric Technology Corp. (b) 67,300 209,303
Quovadx, Inc. (b) 54,500 286,670
Verity, Inc. (b) 19,700 276,785
----------
1,784,145
----------
- ---------------------------------------------------------------
COMPUTER TECHNOLOGY (2.1%)
Advanced Digital Information Corp. (b) 15,700 255,125
Intergraph Corp. (b) 15,500 403,930
Komag, Inc. (b) 8,400 158,424
----------
817,479
----------
- ---------------------------------------------------------------
CONSTRUCTION (0.5%)
Chicago Bridge and Iron Co. N.V. 7,430 202,468
----------
- ---------------------------------------------------------------
CONSUMER ELECTRONICS (0.5%)
CNET Networks, Inc. (b) 24,900 202,686
----------
- ---------------------------------------------------------------
COSMETICS (0.4%)
Alberto-Culver Co., Class A 2,700 171,153
----------
- ---------------------------------------------------------------
DRUGS & PHARMACEUTICALS (2.3%)
CV Therapeutics, Inc. (b) 7,100 125,173
Guilford Pharmaceuticals, Inc. (b) 25,000 184,250
K-V Pharmaceutical Co. (b) 8,100 194,400
Pharmaceutical Resources, Inc. (b) 5,500 397,540
----------
901,363
----------
2003 ANNUAL REPORT 103
- --------------------------------------------------------------------------------
STATEMENT OF INVESTMENTS(Continued)
October 31, 2003
NORTHPOINTE SMALL CAP VALUE FUND (Continued)
COMMON STOCKS (CONTINUED)
SHARES OR
PRINCIPAL
AMOUNT VALUE
- -----------------------------------------------------------
ELECTRONICS (1.3%)
Aeroflex, Inc. (b) 29,300 $271,904
Flir Systems, Inc. (b) 7,300 228,198
--------
500,102
--------
- -----------------------------------------------------------
ELECTRONICS - INSTRUMENTS, GAUGES & METERS (0.4%)
Tektronix, Inc. 6,000 154,020
--------
- -----------------------------------------------------------
ELECTRONICS - MEDICAL SYSTEMS (0.4%)
CardioDynamics International
Corp. (b) 25,290 145,418
--------
- -----------------------------------------------------------
ELECTRONICS - SEMI-CONDUCTORS & COMPONENTS (0.9%)
Atmel Corp. (b) 50,100 282,564
ChipPAC, Inc. (b) 8,800 73,392
--------
355,956
--------
- -----------------------------------------------------------
FERTILIZERS (0.7%)
Scotts Co., Class A (The) (b) 5,100 294,525
--------
- -----------------------------------------------------------
FINANCIAL DATA PROCESSING SERVICES & SYSTEMS (0.9%)
Hypercom Corp. (b) 39,800 195,816
TradeStation Group, Inc. (b) 17,600 149,776
--------
345,592
--------
- -----------------------------------------------------------
FINANCIAL - MISCELLANEOUS (0.7%)
New Century Financial Corp. 7,300 270,684
--------
- -----------------------------------------------------------
FOODS (1.9%)
Del Monte Foods Co. (b) 34,700 329,997
International Multi-Foods Corp. (b) 6,700 149,477
NBTY, Inc. (b) 9,700 264,325
--------
743,799
--------
- -----------------------------------------------------------
HEALTH CARE FACILITIES (0.7%)
Triad Hospitals, Inc. (b) 8,400 258,132
--------
- -----------------------------------------------------------
HEALTH CARE MANAGEMENT SERVICES (0.6%)
Select Medical Corp. (b) 7,100 238,347
--------
- -----------------------------------------------------------
HEALTH CARE SERVICES (1.1%)
Apria Healthcare Group, Inc. (b) 14,300 414,700
--------
- -----------------------------------------------------------
HOMEBUILDING (0.4%)
Beazer Homes USA, Inc. (b) 1,500 149,250
--------
- -----------------------------------------------------------
HOUSEHOLD FURNISHINGS (0.7%)
Furniture Brands International, Inc. 6,000 145,560
La-Z-Boy, Inc. 7,000 141,400
--------
286,960
--------
SHARES OR
PRINCIPAL
AMOUNT VALUE
- -----------------------------------------------------------
IDENTIFICATION CONTROL & FILTER DEVICES (0.8%)
Hubbell, Inc. 5,500 $235,620
Pall Corp. 3,100 72,540
--------
308,160
--------
- -----------------------------------------------------------
INSURANCE - LIFE (0.6%)
Scottish Annuity & Life Holdings Ltd. 11,700 255,177
--------
- -----------------------------------------------------------
INSURANCE - PROPERTY & CASUALTY (2.0%)
IPC Holdings Ltd. 6,600 247,170
ProAssurance Corp. (b) 10,900 328,090
RLI Corp. 6,500 218,400
--------
793,660
--------
- -----------------------------------------------------------
INVESTMENT MANAGEMENT COMPANIES (1.1%)
Affiliated Managers Group, Inc. (b) 5,900 427,750
--------
- -----------------------------------------------------------
LEISURE TIME (0.4%)
West Marine, Inc. (b) 7,900 175,064
--------
- -----------------------------------------------------------
MACHINERY - CONSTRUCTION & HANDLING (0.3%)
Manitowoc Co. (The) 6,300 136,710
--------
- -----------------------------------------------------------
MACHINERY - INDUSTRIAL & SPECIALTY (2.1%)
Gardner Denver, Inc. (b) 6,800 140,488
Joy Global, Inc. (b) 13,500 257,310
Kadant, Inc. (b) 11,400 208,050
Kennametal, Inc. 6,000 221,280
--------
827,128
--------
- -----------------------------------------------------------
MACHINERY - OIL WELL EQUIPMENT & SERVICES (1.7%)
Key Energy Services, Inc. (b) 29,500 257,535
Rowan Co., Inc. (b) 17,800 426,310
--------
683,845
--------
- -----------------------------------------------------------
MEDICAL & DENTAL INSTRUMENTS & SUPPLIES (0.6%)
Osteotech, Inc. (b) 10,100 81,709
Owens & Minor, Inc. 7,650 155,601
--------
237,310
--------
- -----------------------------------------------------------
MEDICAL SERVICES (0.6%)
Curative Health Services, Inc. (b) 17,000 242,930
--------
- -----------------------------------------------------------
METAL FABRICATING (1.5%)
Maverick Tube Corp. (b) 23,210 392,017
NN, Inc. 17,500 210,000
--------
602,017
--------
- -----------------------------------------------------------
METALS & GLASS PACKING (0.4%)
Anchor Glass Container Corp. (b) 9,700 156,655
--------
104 ANNUAL REPORT 2003
- --------------------------------------------------------------------------------
COMMON STOCKS (CONTINUED)
SHARES OR
PRINCIPAL
AMOUNT VALUE
- -----------------------------------------------------------------------------
METALS & MINERALS MISCELLANEOUS (0.5%)
GrafTech International Ltd. (b) 19,200 $ 199,488
----------
- -----------------------------------------------------------------------------
MISCELLANEOUS MATERIALS & PROCESSING (0.8%)
USEC, Inc. 42,800 318,860
----------
- -----------------------------------------------------------------------------
MULTI-SECTOR COMPANIES (0.6%)
Jacuzzi Brands, Inc. (b) 31,300 220,665
----------
- -----------------------------------------------------------------------------
OIL - CRUDE PRODUCERS (2.3%)
Chesapeake Energy Corp. 33,200 396,076
Energy Partners Ltd. (b) 24,040 288,720
Newfield Exploration Co. (b) 5,200 206,596
----------
891,392
----------
- -----------------------------------------------------------------------------
PAINTS & COATINGS (0.7%)
RPM International, Inc. 18,000 260,100
----------
- -----------------------------------------------------------------------------
PAPER (0.6%)
Albany International
Corp., Class A 7,500 231,750
----------
- -----------------------------------------------------------------------------
POLLUTION CONTROL & ENVIRONMENTAL SERVICES (0.9%)
Headwaters, Inc. (b) 18,600 348,564
----------
- -----------------------------------------------------------------------------
PRODUCTION TECHNOLOGY EQUIPMENT (1.9%)
Credence Systems Corp. (b) 18,400 300,104
FEI Co. (b) 12,400 294,500
Mykrolis Corp. (b) 11,200 165,200
----------
759,804
----------
- -----------------------------------------------------------------------------
PUBLISHING - NEWSPAPERS (0.4%)
Lee Enterprises, Inc. 3,800 160,208
----------
- -----------------------------------------------------------------------------
RADIO & TV BROADCASTERS (1.6%)
Cumulus Media, Inc. (b) 14,247 266,846
Emmis Communications Corp., Class A (b) 7,700 170,786
Sinclair Broadcast Group, Inc., Class A 16,400 190,896
----------
628,528
----------
- -----------------------------------------------------------------------------
RAILROADS (1.0%)
RailAmerica, Inc. (b) 37,200 395,064
----------
- -----------------------------------------------------------------------------
REAL ESTATE INVESTMENT TRUSTS (REIT) (6.3%)
American Financial Realty Trust 28,900 439,280
Anworth Mortgage Asset Corp. 16,600 233,064
Ashford Hospitality Trust (b) 29,500 269,925
Brandywine Realty Trust 9,100 230,594
CBL & Associates Properties, Inc. 9,600 511,681
Friedman Billings Ramsey Group, Inc. 13,070 260,354
Ramco-Gershenson Properties Trust 11,700 282,555
SL Green Realty Corp. 7,200 260,280
----------
2,487,733
----------
SHARES OR
PRINCIPAL
AMOUNT VALUE
- -----------------------------------------------------------------------------
RECREATIONAL VEHICLES & BOATS (0.4%)
Fleetwood Enterprises, Inc. (b) 16,000 $ 161,280
----------
- -----------------------------------------------------------------------------
RENTAL & LEASING SERVICES - CONSUMER (0.3%)
Dollar Thrifty Automotive Group, Inc. (b) 4,700 123,093
----------
- -----------------------------------------------------------------------------
RESTAURANTS (1.1%)
Ruby Tuesday, Inc. 10,400 284,440
Triarc Cos., Inc. 4,900 51,058
Triarc Cos., Inc., Class B 9,800 104,468
----------
439,966
----------
- -----------------------------------------------------------------------------
RETAIL (3.2%)
American Eagle Outfitters, Inc. (b) 7,300 116,727
AnnTaylor Stores Corp. (b) 3,300 118,140
Central Garden & Pet Co. (b) 6,610 182,833
Jo-Ann Stores, Inc., Class A (b) 5,300 159,053
Linens 'n Things, Inc. (b) 10,600 312,912
ShopKo Stores, Inc. (b) 14,500 224,460
Wet Seal, Inc., Class A (The) (b) 14,600 160,454
----------
1,274,579
----------
- -----------------------------------------------------------------------------
SAVINGS & LOAN (5.6%)
BankAtlantic Bancorp, Inc., Class A 30,552 512,968
BankUnited Financial Corp., Class A (b) 11,200 247,632
Commercial Capital Bancorp, Inc. (b) 22,500 422,325
First Niagara Financial Group, Inc. 14,900 212,921
FirstFed Financial Corp. (b) 9,500 427,500
ITLA Capital Corp. (b) 8,300 386,365
----------
2,209,711
----------
- -----------------------------------------------------------------------------
SCIENTIFIC EQUIPMENT & SUPPLIERS (0.2%)
Newport Corp. (b) 3,800 59,888
----------
- -----------------------------------------------------------------------------
SECURITIES BROKERAGE & SERVICES (1.4%)
American Capital
Strategies Ltd. 8,900 240,300
NCO Group, Inc. (b) 12,900 307,020
----------
547,320
----------
- -----------------------------------------------------------------------------
SERVICES - COMMERCIAL (2.7%)
Integrated Alarm Services Group, Inc. (b) 37,000 325,970
Labor Ready, Inc. (b) 11,500 125,005
MPS Group, Inc. (b) 15,987 152,676
Navigant International, Inc. (b) 6,150 92,681
Waste Connections, Inc. (b) 10,000 346,799
----------
1,043,131
----------
- -----------------------------------------------------------------------------
SHOES (0.7%)
Timberland Co., Class A (The) (b) 5,200 270,140
----------
2003 ANNUAL REPORT 105
- --------------------------------------------------------------------------------
STATEMENT OF INVESTMENTS(Continued)
October 31, 2003
NORTHPOINTE SMALL CAP VALUE FUND (Continued)
COMMON STOCKS (CONTINUED)
SHARES OR
PRINCIPAL
AMOUNT VALUE
- --------------------------------------------------------------------------------
STEEL (0.4%)
Carpenter Technology Corp. 6,600 $ 170,610
------------
- --------------------------------------------------------------------------------
TELECOMMUNICATIONS EQUIPMENT (1.5%)
Arris Group, Inc. (b) 29,200 175,200
Polycom, Inc. (b) 20,100 402,603
------------
577,803
------------
- --------------------------------------------------------------------------------
TOYS (0.6%)
Hasbro, Inc. 10,600 231,080
------------
- --------------------------------------------------------------------------------
TRANSPORTATION MISC. (1.0%)
Pacer International, Inc. (b) 18,300 377,346
------------
- --------------------------------------------------------------------------------
TRUCKERS (1.1%)
J.B. Hunt Transport Services, Inc. (b) 12,400 314,712
Overnite Corp. (b) 5,900 130,744
------------
445,456
------------
- --------------------------------------------------------------------------------
UTILITIES - ELECTRIC (1.6%)
Black Hills Corp. 9,520 306,258
Duquesne Light Holdings, Inc. 20,600 331,042
------------
637,300
------------
- --------------------------------------------------------------------------------
UTILITIES - GAS DISTRIBUTORS (1.8%)
Questar Corp. 11,700 371,475
Southwestern Energy Co. (b) 16,700 323,980
------------
695,455
------------
- --------------------------------------------------------------------------------
UTILITIES - TELECOMMUNICATIONS (0.6%)
Nextel Partners, Inc., Class A (b) 18,100 217,562
------------
- --------------------------------------------------------------------------------
UTILITIES - WATER (0.5%)
American States Water Co. 7,704 188,748
------------
TOTAL COMMON STOCKS 37,253,371
------------
- --------------------------------------------------------------------------------
REPURCHASE AGREEMENTS (5.9%)
CS First Boston, 0.94% dated 10/31/03,
due 11/03/03, repurchase price $1,170,018
(Fully collateralized by AA Rated
Corporate Bonds) $1,169,926 $ 1,169,926
Lehman Brothers, Inc., 0.94%
dated 10/31/03, due 11/03/03;
repurchase price $216,669
(Fully collateralized by U.S.
Agency Securities) 216,652 216,652
Nomura Securities, 0.94%
dated 10/31/03, due 11/03/03;
repurchase price $936,014
(Fully collateralized by AA Rated
Corporate Bonds) 935,941 935,941
------------
TOTAL REPURCHASE AGREEMENTS 2,322,519
------------
- --------------------------------------------------------------------------------
SHORT-TERM INVESTMENTS PURCHASED
WITH CASH COLLATERAL RECEIVED FOR
SECURITIES ON LOAN (21.0%)
SHARES OR
PRINCIPAL
AMOUNT VALUE
- --------------------------------------------------------------------------------
REPURCHASE AGREEMENT (21.0%)
Nomura Securities, 1.07%,
dated 10/31/03, due 11/03/03;
repurchase price $8,242,384
(Fully collateralized by U.S.
Agency Securities) $8,241,649 $ 8,241,649
------------
TOTAL SHORT-TERM INVESTMENTS PURCHASED WITH CASH
COLLATERAL RECEIVED FOR SECURITIES
ON LOAN 8,241,649
------------
TOTAL INVESTMENTS (COST $41,285,562) (A) - 121.6% 47,817,539
LIABILITIES IN EXCESS OF OTHER ASSETS - (21.6)% (8,489,499)
------------
NET ASSETS - 100.0% $39,328,040
============
(a) See notes to financial statements for unrealized appreciation
(depreciation) of securities.
(b) Denotes a non-income producing security.
SEE NOTES TO FINANCIAL STATEMENTS.
106 ANNUAL REPORT 2003
- --------------------------------------------------------------------------------
STATEMENT OF ASSETS AND LIABILITIES
October 31, 2003
NORTHPOINTE
SMALL CAP VALUE FUND
- -----------------------------------------------------------------------------------------------------------
ASSETS:
Investments, at value (cost $30,721,394) $ 37,253,371
Repurchase agreements, at cost 2,322,519
Investments purchased with cash collateral received for securities on loan, at cost 8,241,649
---------------------
Total Investments 47,817,539
---------------------
Cash 720
Interest and dividends receivable 16,271
Receivable for investments sold 243,891
Prepaid expenses and other assets 243
---------------------
Total Assets 48,078,664
---------------------
LIABILITIES:
Payable to investment adviser 4,228
Payable for investments purchased 468,389
Payable for return of collateral received for securities on loan 8,241,649
Accrued expenses and other payables
Investment advisory fees 27,906
Fund administration and transfer agent fees 4,462
Other 3,990
---------------------
Total Liabilities 8,750,624
---------------------
NET ASSETS $ 39,328,040
=====================
REPRESENTED BY:
Capital $ 30,859,725
Accumulated net investment income (loss) -
Accumulated net realized gains (losses) from investment transactions 1,936,338
Net unrealized appreciation (depreciation) on investments 6,531,977
---------------------
NET ASSETS $ 39,328,040
=====================
NET ASSETS:
Institutional Class Shares $ 39,328,040
---------------------
Total $ 39,328,040
=====================
SHARES OUTSTANDING (unlimited number of shares authorized):
Institutional Class Shares 2,906,502
---------------------
Total 2,906,502
=====================
NET ASSET VALUE: (a)
Institutional Class Shares $ 13.53
(a) Institutional class shares are not subject to a front-end sales charge.
See notes to financial statements.
2003 ANNUAL REPORT 107
- --------------------------------------------------------------------------------
STATEMENT OF OPERATIONS
For the Year Ended October 31, 2003
NORTHPOINTE
SMALL CAP VALUE FUND
- ------------------------------------------------------------------------------------------
INVESTMENT INCOME:
Interest income $ 27,243
Dividend income 375,009
--------------
Total Income 402,252
--------------
EXPENSES:
Investment advisory fees 274,247
Fund administration and transfer agent fees 46,405
Other 6,787
--------------
Total expenses before waived or reimbursed expenses 327,439
--------------
Expenses reimbursed (4,795)
--------------
Total Expenses 322,644
--------------
NET INVESTMENT INCOME (LOSS) 79,608
--------------
REALIZED/UNREALIZED GAINS (LOSSES) FROM INVESTMENTS:
Realized gains (losses) on investments transactions 2,327,065
Net change in unrealized appreciation/depreciation on investments 8,548,390
--------------
Net realized/unrealized gains (losses) on investments 10,875,455
--------------
CHANGE IN NET ASSETS RESULTING FROM OPERATIONS $ 10,955,063
==============
See notes to financial statements.
108 ANNUAL REPORT 2003
- --------------------------------------------------------------------------------
STATEMENTS OF CHANGES IN NET ASSETS
NORTHPOINTE SMALL CAP
VALUE FUND
--------------------------------------
YEAR ENDED YEAR ENDED
OCTOBER 31, 2003 OCTOBER 31, 2002
- ----------------------------------------------------------------------------------------------------------
FROM INVESTMENT ACTIVITIES:
OPERATIONS:
Net investment income (loss) $ 79,608 $ 176,348
Net realized gains (losses) on investment transactions 2,327,065 (345,795)
Net change in unrealized appreciation/depreciation on investments 8,548,390 (2,036,800)
--------------------------------------
Change in net assets resulting from operations 10,955,063 (2,206,247)
--------------------------------------
DISTRIBUTIONS TO INSTITUTIONAL CLASS SHAREHOLDERS FROM:
Net investment income (102,987) (185,936)
Net realized gains on investments - (1,731,237)
--------------------------------------
Change in net assets from shareholder distributions (102,987) (1,917,173)
--------------------------------------
Change in net assets from capital transactions (1,484,707) 3,613,636
--------------------------------------
Change in net assets 9,367,369 (509,784)
NET ASSETS:
Beginning of period 29,960,671 30,470,455
--------------------------------------
End of period $ 39,328,040 $ 29,960,671
======================================
See notes to financial statements.
2003 ANNUAL REPORT 109
- --------------------------------------------------------------------------------
FINANCIAL HIGHLIGHTS
Selected Data for Each Share of Capital Outstanding
NORTHPOINTE SMALL CAP VALUE FUND
INVESTMENT ACTIVITIES DISTRIBUTIONS
--------------------------------------------------------------------------------------------------
NET
REALIZED
AND
NET UNREALIZED NET
ASSET NET GAINS TOTAL ASSET
VALUE, INVESTMENT (LOSSES) FROM NET NET VALUE,
BEGINNING INCOME ON INVESTMENT INVESTMENT REALIZED TOTAL END OF
OF PERIOD (LOSS) INVESTMENTS ACTIVITIES INCOME GAINS DISTRIBUTIONS PERIOD
- -------------------------------------------------------------------------------------------------------------------------
INSTITUTIONAL
CLASS SHARES
Period Ended
October 31, 2000 (b) $ 10.00 0.02 0.49 0.51 (0.01) - (0.01) $ 10.50
Year Ended
October 31, 2001 $ 10.50 0.13 0.62 0.75 (0.11) - (0.11) $ 11.14
Year Ended
October 31, 2002 $ 11.14 0.06 (0.69) (0.63) (0.06) (0.63) (0.69) $ 9.82
Year Ended
October 31, 2003 $ 9.82 0.03 3.72 3.75 (0.04) - (0.04) $ 13.53
- -------------------------------------------------------------------------------------------------------------------------
RATIOS / SUPPLEMENTAL DATA
-----------------------------------------------------------------------------------------------------
RATIO
OF NET RATIO OF NET
NET RATIO INVESTMENT RATIO OF INVESTMENT
ASSETS OF INCOME EXPENSES INCOME
AT END EXPENSES (LOSS) (PRIOR TO (LOSS) (PRIOR TO
OF TO AVERAGE TO AVERAGE REIMBURSEMENTS) REIMBURSEMENTS)
TOTAL PERIOD NET NET TO AVERAGE TO AVERAGE PORTFOLIO
RETURN (000S) ASSETS ASSETS NET ASSETS (A) NET ASSETS (A) TURNOVER
- ---------------------------------------------------------------------------------------------------------------------------
INSTITUTIONAL
CLASS SHARES
Period Ended
October 31, 2000 (b) 5.14% (c) $ 23,359 1.00% (d) 0.82% (d) 1.79% (d) 0.03% (d) 49.93%
Year Ended
October 31, 2001 7.13% $ 30,470 1.00% 1.00% 1.38% 0.62% 150.45%
Year Ended
October 31, 2002 (6.43%) $ 29,961 1.00% 0.52% 1.06% 0.46% 105.59%
Year Ended
October 31, 2003 38.25% $ 39,328 1.00% 0.25% 1.01% 0.23% 102.63%
- ---------------------------------------------------------------------------------------------------------------------------
(a) During the period certain fees were waived and/or reimbursed. If such
waivers/reimbursements had not occurred, the ratios would have been as
indicated.
(b) For the period from June 29, 2000 (commencement of operations) through
October 31, 2000.
(c) Not annualized.
(d) Annualized.
See notes to financial statements.
110 ANNUAL REPORT 2003
- --------------------------------------------------------------------------------
NOTES TO FINANCIAL STATEMENTS
October 31, 2003
1. ORGANIZATION
Gartmore Mutual Funds (the "Trust") is an open-end management investment
company. Prior to January 25, 2002, the Trust was named Nationwide Mutual Funds.
The Trust was created under the laws of Ohio as an Ohio business trust pursuant
to a Declaration of Trust dated as of October 30, 1997, as subsequently amended,
and is registered under the Investment Company Act of 1940, as amended (the
"1940 Act"). The Trust operates thirty-eight (38) separate series, or mutual
funds, each with its own investment objectives and strategies. This report
contains the financial statements and financial highlights of the 8 funds listed
below (individually a "Fund", collectively the "Funds"):
- Nationwide Large Cap Growth Fund ("Large Cap Growth")
- Nationwide Small Cap Fund ("Small Cap")
- Nationwide S&P 500 Index Fund ("S&P 500 Index")
- Nationwide Mid Cap Market Index Fund ("Mid Cap Market Index")
- Nationwide Small Cap Index Fund ("Small Cap Index") -
- Nationwide International Index Fund ("International Index") -
- Nationwide Bond Index Fund ("Bond Index")
- NorthPointe Small Cap Value Fund ("Small Cap Value")
2. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
The following is a summary of significant accounting policies followed by the
Funds in the preparation of their financial statements. The policies are in
conformity with accounting principles generally accepted in the United States of
America ("GAAP"). The preparation of financial statements requires management to
make estimates and assumptions that affect the reported amounts of assets,
liabilities and disclosure of contingent assets and liabilities at the date of
the financial statements and the reported amounts of income and expenses for the
period. Actual results could differ from those estimates.
(A) SECURITY VALUATION
Securities for which market quotations are readily available are
valued at current market value as of Valuation Time. Valuation Time is
as of the close of regular trading on the New York Stock Exchange
(usually 4 p.m. Eastern time). Equity securities are valued at the
last quoted sale price or, if there is no sale price, the last quoted
bid price provided by an independent pricing service approved by the
Board of Trustees. Prices are taken from the primary market or
exchange in which each security trades.
Debt and other fixed income securities (other than short-term
obligations) are valued at the last quoted bid price and/or by using a
combination of daily quotes and matrix evaluations provided by an
independent pricing service, the use of which has been approved by the
Funds' Board of Trustees. Short-term debt securities such as
commercial paper and U.S. Treasury Bills having a remaining maturity
of 60 days or less at the time of purchase are considered to be
"short-term" and are valued at amortized cost which approximates
market value.
Securities for which market quotations are not readily available, or
for which an independent pricing service does not provide a value or
provides a value that does not represent fair value in the judgment of
the Funds' investment adviser or designee, are valued at fair value
under procedures approved by the Funds' Board of Trustees.
(B) REPURCHASE AGREEMENTS
The Funds may enter into repurchase agreements with an entity which is
a member of the Federal Reserve System or which is a "primary dealer''
(as designated by the Federal Reserve Bank of New York) in U.S.
Government obligations. The repurchase price generally equals the
price paid by a Fund plus interest negotiated on the basis of current
short-term rates, which may be more or less than the rate on the
underlying portfolio securities. The seller under a repurchase
agreement is required to maintain the value of the collateral held
pursuant to the agreement at a market value equal to or greater than
the repurchase price (including accrued interest). Collateral subject
to repurchase agreements is held by the Funds' custodian, or another
qualified sub-custodian or in the Federal Reserve/Treasury book-entry
system.
2003 ANNUAL REPORT 111
- --------------------------------------------------------------------------------
NOTES TO FINANCIAL STATEMENTS (Continued)
October 31, 2003
(C) FOREIGN CURRENCY TRANSACTIONS
The accounting records of the Funds are maintained in U.S. dollars.
Foreign currency amounts are translated into U.S. dollars at the
current rate of exchange to determine the value of investments, assets
and liabilities. Purchases and sales of securities, and income and
expenses are translated at the prevailing rate of exchange on the
respective date of such transactions. The Funds do not isolate that
portion of the results of operations resulting from changes in foreign
exchange rates on investments from fluctuations arising from changes
in market prices of securities held. Such fluctuations are included
with the net realized and unrealized gain or loss from investments and
foreign currencies.
(D) RISKS ASSOCIATED WITH FOREIGN SECURITIES AND CURRENCIES
Investments in securities of foreign issuers carry certain risks not
ordinarily associated with investments in securities of U.S. issuers.
Such risks include future political and economic developments, and the
possible imposition of exchange controls or other foreign governmental
laws and restrictions. In addition, with respect to certain countries,
there is the possibility of expropriation of assets, confiscatory
taxation, political or social instability or diplomatic developments,
which could adversely affect investments in those countries.
Certain countries may also impose substantial restrictions on
investments in their capital markets by foreign entities, including
restrictions on investments in issuers of industries deemed sensitive
to relevant national interests. These factors may limit the investment
opportunities available and result in a lack of liquidity and a high
price volatility with respect to securities of issuers from developing
countries.
(E) FORWARD FOREIGN CURRENCY CONTRACTS
Certain Funds may enter into forward foreign currency contracts in
connection with planned purchases or sales of securities or to hedge
the U.S. dollar value of portfolio securities denominated in a
particular currency. The Funds could be exposed to risks if the
counter parties to the contracts are unable to meet the terms of their
contracts and from unanticipated movements in the value of a foreign
currency relative to the U.S. dollar. The forward foreign currency
contracts are adjusted by the daily exchange rate of the underlying
currency and any gains or losses are recorded for financial statement
purposes as unrealized gains or losses until the contract settlement
date.
(F) FUTURES CONTRACTS
Certain Funds may invest in financial futures contracts ("futures
contracts") for the purpose of hedging their existing portfolio
securities or securities they intend to purchase against fluctuations
in value caused by changes in prevailing market interest rates or
prices. Futures contracts may also be entered into for non-hedging
purposes. Upon entering into a futures contract, these Funds are
required to pledge to the broker an amount of cash and/or other assets
equal to a certain percentage of the contract amount (initial margin
deposit). Subsequent payments, known as "variation margin,'' are made
each day, depending on the daily fluctuations in the value/market
value of the underlying security.
A "sale" of a futures contract means a contractual obligation to
deliver the securities or foreign currency called for by the contract
at a fixed price at a specified time in the future. A "purchase" of a
futures contract means a contractual obligation to acquire the
securities or foreign currency at a fixed price at a specified time in
the future.
Should market conditions change unexpectedly, a Fund may not achieve
the anticipated benefits of the futures contracts and may realize a
loss. The use of futures transactions for hedging purposes involves
the risk of imperfect correlation in movements in the price of futures
contracts, interest rates and the value/market value of the underlying
hedged assets.
(G) SWAP CONTRACTS
The Funds may engage in swap contracts in order to obtain a desired
return at a lower cost than if the Funds had invested directly in the
asset that yielded the desired return. Unrealized gains are reported
as an asset and unrealized losses are reported as a liability on the
Statement of Assets and Liabilities. The change in unrealized gains or
losses on swap contracts is reported as unrealized gains or losses in
the Statement of Operations. A realized gain or loss is recorded upon
ter-
112 ANNUAL REPORT 2003
- --------------------------------------------------------------------------------
mination of swap contracts. Swap contracts are stated at fair value.
Notional principal amounts are used to express the extent of
involvement in these contracts, but the amounts potentially subject to
credit risk are much smaller.
At October 31, 2003, Bond Index's open swap contracts were as follows:
UNREALIZED
EXPIRATION UNDERLYING APPRECIATION
DESCRIPTION DATE NOTIONAL VALUE (DEPRECIATION)
- ------------------------------------------------------------------------------------------------
Index Swap with Deutsche Bank Ag London,
pays net of the total return of the Lehman Brothers
CMBS Investment Grade plus 100 bps minus Libor
minus 40 bps. Nationwide Bond Index Fund receives
positive pays negative 03/31/04 $ 13,000,000 ($179,151)
- ------------------------------------------------------------------------------------------------
(H) MORTGAGE DOLLAR ROLLS
Certain Funds may enter into mortgage "dollar rolls" in which a Fund
sells mortgage-backed securities for delivery in the current month and
simultaneously contracts to repurchase substantially similar (same
type, coupon and maturity) securities on a specified future date.
Mortgage dollar rolls are referred to as TBA's on the Statement of
Investments of the applicable funds. During the roll period, the Fund
foregoes principal and interest paid on the mortgage-backed
securities. The Fund is compensated by fee income or the difference
between the current sales price and the lower forward price for the
future purchase.
(I) SECURITY TRANSACTIONS AND INVESTMENT INCOME
Security transactions are accounted for on the date the security is
purchased or sold ("trade date"). Securities gains and losses are
calculated on the identified cost basis. Interest income is recognized
on the accrual basis and includes, where applicable, the amortization
or accretion of premium or discount. Dividend income is recorded on
the ex-dividend date.
(J) SECURITIES LENDING
To generate additional income, each of the Funds may lend up to 331/3%
of the Fund's total assets pursuant to agreements, requiring that the
Fund receives cash or securities as collateral with respect to each
loan of U.S. securities, equal to at least 102% of the value of the
portfolio securities loaned, and with respect to each loan of non-U.S.
securities, collateral of at least 105% of the value of the portfolio
securities loaned, and at all times thereafter shall require the
borrower to mark to market the collateral on a daily basis so that the
market value of the collateral does not fall below 100% of the market
value of the portfolio securities loaned. Cash collateral invested is
shown in the Statement of Investments as fund securities. The Funds
receive payments from borrowers equivalent to the dividends and
interest that would have been earned on securities lent while
simultaneously seeking to earn income on the investment of cash
collateral. Collateral is marked to market daily to provide a level of
collateral at least equal to the market value of securities lent.
There may be risks of delay in recovery of the securities or even loss
of rights in the collateral should the borrower of the securities fail
financially. Loans will be made, however, only to borrowers deemed by
the adviser to be of good standing and creditworthy under guidelines
established by the Board of Trustees and when, in the judgment of the
adviser, the consideration which can be earned currently from these
securities loans justifies the attendant risks. Loans are subject to
termination by the Funds or the borrower at any time, and therefore,
are not considered to be illiquid investments. JPMorgan Chase Bank
serves as custodian for the securities lending program. JPMorgan Chase
Bank receives a custody fee based on the value of collateral received
from borrowers. As of October 31, 2003, the following Funds had
securites with the following market values on loan:
2003 ANNUAL REPORT 113
- --------------------------------------------------------------------------------
NOTES TO FINANCIAL STATEMENTS (Continued)
October 31, 2003
MARKET VALUE OF
LOANED
SECURITIES MARKET VALUE OF
FUND COLLATERAL*
- -------------------------------------------------------
Small Cap $ 8,127,755 8,358,877
- -------------------------------------------------------
S&P 500 Index 42,299,411 43,117,885
- -------------------------------------------------------
Mid Cap Market Index 46,018,502 46,837,905
- -------------------------------------------------------
Small Cap Index 24,615,589 25,286,874
- -------------------------------------------------------
Bond Index 128,486,219 130,985,090
- -------------------------------------------------------
Small Cap Value 8,084,404 8,241,649
- -------------------------------------------------------
* Includes securities and cash collateral
(K) FEDERAL INCOME TAXES
It is the policy of each Fund to qualify or continue to qualify as a
regulated investment company by complying with the provisions
available to certain investment companies, as defined in applicable
sections of the Internal Revenue Code, and to make distributions of
net investment income and net realized capital gains sufficient to
relieve the Fund from all, or substantially all, federal income taxes.
The tax character of distributions paid during the fiscal year ended
October 31, 2003, were as follows:
DISTRIBUTIONS PAID FROM
---------------------------------------
ORDINARY TERM CAPITAL TOTAL TAXABLE TAX EXEMPT TOTAL
FUND INCOME GAINS DISTRIBUTIONS DISTRIBUTIONS DISTRIBUTIONS PAID
- ------------------------------------------------------------------------------------------------------------------
Large Cap Growth $ - $ - $ - $ - $ -
- ------------------------------------------------------------------------------------------------------------------
Small Cap - - - - -
- ------------------------------------------------------------------------------------------------------------------
S&P 500 Index 9,315,809 - 9,315,809 - 9,315,809
- ------------------------------------------------------------------------------------------------------------------
Mid Cap Market Index 1,268,433 - 1,268,433 - 1,268,433
- ------------------------------------------------------------------------------------------------------------------
Small Cap Index 649,250 - 649,250 - 649,250
- ------------------------------------------------------------------------------------------------------------------
International Index 4,976,053 - 4,976,053 - 4,976,053
- ------------------------------------------------------------------------------------------------------------------
Bond Index 13,692,112 21,047 13,713,159 - 13,713,159
- ------------------------------------------------------------------------------------------------------------------
Small Cap Value 102,987 - 102,987 - 102,987
- ------------------------------------------------------------------------------------------------------------------
As of October 31, 2003, the components of accumulated earning (deficit) on a tax
basis were as follows:
UNDISTRIBUTED UNDISTRIBUTED UNDISTRIBUTED ACCUMULATED
TAX ORDINARY LONG- CAPITAL AND
EXEMPT INCOME TERM ACCUMULATED DISTRIBUTIONS OTHER
INCOME CAPITAL EARNINGS PAYABLE LOSSES
FUND GAINS
- ------------------------------------------------------------------------------------------------------------------
Large Cap Growth $ - $ - $ - $ - $ - $(23,644,255)
- ------------------------------------------------------------------------------------------------------------------
Small Cap - - 562,666 562,666 - -
- ------------------------------------------------------------------------------------------------------------------
S&P 500 Index - 1,749,579 - 1,749,579 - (18,410,995)
- ------------------------------------------------------------------------------------------------------------------
Mid Cap Market Index - 686,430 2,960,433 3,646,863 - -
- ------------------------------------------------------------------------------------------------------------------
Small Cap Index - 1,553,229 1,293,354 2,846,583 - -
- ------------------------------------------------------------------------------------------------------------------
International Index - 1,856,848 - 1,856,848 - -
- ------------------------------------------------------------------------------------------------------------------
Bond Index - 1,703,498 - 1,703,498 (1,701,510) (668,708)
- ------------------------------------------------------------------------------------------------------------------
Small Cap Value - 1,157,478 847,456 2,004,934 - -
- ------------------------------------------------------------------------------------------------------------------
TOTAL
UNREALIZED ACCUMULATED
APPRECIATION EARNINGS
FUND (DEPRECIATION)* (DEFICIT)
- ------------------------------------------------------
Large Cap Growth $ 1,541,882 $(22,102,373)
- ------------------------------------------------------
Small Cap 7,045,599 7,608,265
- ------------------------------------------------------
S&P 500 Index (32,432,018) (49,093,434)
- ------------------------------------------------------
Mid Cap Market Index 37,025,375 40,672,238
- ------------------------------------------------------
Small Cap Index 19,060,662 21,907,245
- ------------------------------------------------------
International Index 40,957,712 42,814,560
- ------------------------------------------------------
Bond Index 3,300,385 2,633,665
- ------------------------------------------------------
Small Cap Value 6,463,381 8,468,315
- ------------------------------------------------------
* The differences between the book-basis and tax-basis unrealized
appreciation (depreciation) is attributable primarily to: tax deferral of
losses on wash sales, the difference between book and tax amortization
methods for premium and market discount, and the return of capital
adjustments from real estate investment trusts.
114 ANNUAL REPORT 2003
- --------------------------------------------------------------------------------
As of October 31, 2003, the tax cost of securities and the breakdown of
unrealized appreciation (depreciation) for each Fund were as follows:
TAX NET UNREALIZED
COST OF UNREALIZED UNREALIZED APPRECIATION
FUND SECURITIES APPRECIATION DEPRECIATION (DEPRECIATION)
- -------------------------------------------------------------------------------------
Large Cap Growth $ 36,114,589 $ 4,757,893 $ (3,216,011) $ 1,541,882
- -------------------------------------------------------------------------------------
Small Cap 42,564,917 7,799,597 (753,998) 7,045,599
- -------------------------------------------------------------------------------------
S&P 500 Index 1,162,417,524 117,997,193 (150,429,211) (32,432,018)
- -------------------------------------------------------------------------------------
Mid Cap Market Index 295,170,832 47,665,181 (10,639,806) 37,025,375
- -------------------------------------------------------------------------------------
Small Cap Index 148,039,771 24,922,195 (5,861,533) 19,060,662
- -------------------------------------------------------------------------------------
International Index 338,184,302 55,515,366 (14,434,337) 41,081,029
- -------------------------------------------------------------------------------------
Bond Index 680,003,780 7,374,461 (4,074,076) 3,300,385
- -------------------------------------------------------------------------------------
Small Cap Value 41,285,562 7,367,193 (903,812) 6,463,381
- -------------------------------------------------------------------------------------
As of October 31, 2003, for Federal income tax purposes, the following Funds
have capital loss carryforwards available to offset future capital gains, if any
to the extent provided by the treasury regulations:
FUND AMOUNT EXPIRES
- --------------------------------------
Large Cap Growth $10,691,738 2009
- --------------------------------------
Large Cap Growth 11,447,754 2010
- --------------------------------------
Large Cap Growth 1,504,763 2011
- --------------------------------------
S&P 500 Index 18,410,994 2010
- --------------------------------------
Bond Index 668,709 2011
- --------------------------------------
For the taxable year ended October 31, 2003, the following percentage of income
dividends paid by the Funds qualify for the dividends received deduction
available to corporations:
FUND PERCENTAGE
- ---------------------------------
S&P 500 Index 100%
- ---------------------------------
Mid Cap Market Index 100%
- ---------------------------------
Small Cap Index 51%
- ---------------------------------
Small Cap Value 47%
- ---------------------------------
2003 ANNUAL REPORT 115
- --------------------------------------------------------------------------------
NOTES TO FINANCIAL STATEMENTS (Continued)
October 31, 2003
(L) DISTRIBUTIONS TO SHAREHOLDERS
Net investment income, if any, is declared daily and paid monthly for
the Bond Index Fund and is declared and paid quarterly for all other
Funds. For all Funds, distributable net realized capital gains, if
any, are declared and distributed at least annually.
Dividends and distributions to shareholders are determined in
accordance with federal income tax regulations, which may differ from
GAAP. These "book/tax" differences are considered either permanent or
temporary in nature. In accordance with AICPA (American Institute of
Certified Public Accountants) Statement of Position 93-2, permanent
differences (i.e., reclassification of market discounts, gain/loss,
paydowns, and distributions) are reclassified within the capital
accounts based on their nature for federal income tax purposes;
temporary differences do not require reclassification. These
reclassifications have no effect upon the net asset value of the
respective Funds. To the extent distributions exceed current and
accumulated earnings and profits for federal income tax purposes,
these excesses are reported as distributions of paid-in-capital.
(M) EXPENSES
Expenses directly attributable to a Fund are charged to that Fund.
Expenses not directly attributable to a Fund are allocated
proportionately among various or all funds within the Trust in
relation to the net assets of each fund or on another reasonable
basis. Once expenses are charged to a Fund, these expenses are
allocated to the classes based on total settled shares outstanding of
each class for the Bond Index Fund and are based on relative net
assets of each class for all other Funds. Expenses specific to a class
(such as 12b-1 and administrative services fees) are charged to that
class.
116 ANNUAL REPORT 2003
- --------------------------------------------------------------------------------
(N) CAPITAL SHARE TRANSACTIONS
Transactions in capital shares of the Funds were as follows:
LARGE CAP GROWTH SMALL CAP
YEAR ENDED YEAR ENDED YEAR ENDED YEAR ENDED
OCTOBER 31, 2003 OCTOBER 31, 2002 OCTOBER 31, 2003 OCTOBER 31, 2002
- ------------------------------------------------------------------------------------------------------------------------------
CAPITAL TRANSACTIONS:
CLASS A SHARES
Proceeds from shares issued (a) $ 10,420,981 $ 16,759,175 $ 13,361,740 $ 22,393,255
Cost of shares redeemed (16,306,042) (16,782,137) (19,926,369) (21,354,058)
------------------------------------------------------------------------------
(5,885,061) (22,962) (6,564,629) 1,039,197
------------------------------------------------------------------------------
CLASS B SHARES
Proceeds from shares issued (a) 154,688 429,303 181,450 401,755
Dividends reinvested (840) - - -
Cost of shares redeemed (258,136) (429,897) (163,081) (149,336)
------------------------------------------------------------------------------
(104,288) (594) 18,369 252,419
------------------------------------------------------------------------------
CLASS C SHARES
Proceeds from shares issued (a) 25,535 23,309 46,554 16,185
Cost of shares redeemed (18,233) (11,317) (8,167) (3,141)
------------------------------------------------------------------------------
7,302 11,992 38,387 13,044
------------------------------------------------------------------------------
INSTITUTIONAL SERVICE CLASS SHARES
Proceeds from shares issued (a) 2,607,995 2,021,038 11,749,731 5,340,172
Cost of shares redeemed (902,786) (2,018,146) (2,368,474) (2,777,916)
------------------------------------------------------------------------------
1,705,209 2,892 9,381,257 2,562,256
------------------------------------------------------------------------------
Change in net assets from capital transactions $ (4,276,838) $ (8,672) $ 2,873,384 $ 3,866,916
==============================================================================
SHARE TRANSACTIONS:
CLASS A SHARES
Issued 1,549,679 2,178,548 1,197,541 2,001,106
Redeemed (2,341,316) (2,150,855) (1,759,018) (1,853,856)
------------------------------------------------------------------------------
(791,637) 27,693 (561,477) 147,250
------------------------------------------------------------------------------
CLASS B SHARES
Issued 23,342 54,351 17,705 34,514
Reinvested (92) - - -
Redeemed (39,207) (58,745) (15,954) (13,843)
------------------------------------------------------------------------------
(15,957) (4,394) 1,751 20,671
------------------------------------------------------------------------------
CLASS C SHARES
Issued 3,851 2,815 4,623 1,425
Redeemed (2,615) (1,428) (852) (320)
------------------------------------------------------------------------------
1,236 1,387 3,771 1,105
------------------------------------------------------------------------------
INSTITUTIONAL SERVICE CLASS SHARES
Issued 358,930 254,315 946,746 444,292
Redeemed (125,847) (250,352) (204,231) (252,618)
------------------------------------------------------------------------------
233,083 3,963 742,515 191,674
------------------------------------------------------------------------------
Total change in shares (573,275) 28,649 186,560 360,700
==============================================================================
(a) Amount includes redemption fees, if any.
2003 ANNUAL REPORT 117
- --------------------------------------------------------------------------------
NOTES TO FINANCIAL STATEMENTS (Continued)
October 31, 2003
INDEX
S&P 500 INDEX MID CAP MARKET INDEX SMALL CAP
---------------------------------------------------------------------------------------
YEAR ENDED YEAR ENDED YEAR ENDED YEAR ENDED YEAR ENDED YEAR ENDED
OCTOBER 31, OCTOBER 31, OCTOBER 31, OCTOBER 31, OCTOBER 31, OCTOBER 31,
2003 2002 2003 2002 2003 2002
- ---------------------------------------------------------------------------------------------------------------------
CAPITAL TRANSACTIONS:
CLASS A SHARES
Proceeds from shares issued $ 1,828,678 $ 2,166,227 $ 22,747,677 $ 22,364,971 $ 35,834,926 $ 12,725,413
Dividends reinvested 52,980 38,516 102,486 64,420 108,894 53,079
Cost of shares redeemed (888,404) (664,992) (10,104,677) (9,456,835) (11,941,012) (3,641,883)
---------------------------------------------------------------------------------------
993,254 1,539,751 12,745,486 12,972,556 24,002,808 9,136,609
---------------------------------------------------------------------------------------
CLASS B SHARES
Proceeds from shares issued 1,202,549 1,382,101 172,330 103,364 117,116 120,562 (a)
Dividends reinvested 13,037 7,293 49 36 116 126 (a)
Cost of shares redeemed (438,620) (322,821) (7,981) (8,287) (4,489) (6,026) (a)
---------------------------------------------------------------------------------------
776,966 1,066,573 164,398 95,113 112,743 114,662
---------------------------------------------------------------------------------------
CLASS C SHARES
Proceeds from shares issued 9,977 (b) - 20,011 (b) - 20,111 (b) -
---------------------------------------------------------------------------------------
9,977 - 20,011 - 20,111 -
---------------------------------------------------------------------------------------
INSTITUTIONAL CLASS SHARES
Proceeds from shares issued 381,796,247 208,000,180 145,491,963 85,344,030 59,524,627 34,484,947
Dividends reinvested 5,403,845 2,092,852 1,165,898 405,386 540,240 218,804
Cost of shares redeemed (80,291,097) (49,074,639) (29,045,945) (20,582,702) (16,579,521) (7,578,706)
---------------------------------------------------------------------------------------
306,908,995 161,018,393 117,611,916 65,166,714 43,485,346 27,125,045
---------------------------------------------------------------------------------------
SERVICE CLASS SHARES
Proceeds from shares issued 115,667,745 107,644,742 - - - -
Dividends reinvested 3,283,193 2,338,484 - - - -
Cost of shares redeemed (31,059,326) (24,818,428) - - - -
---------------------------------------------------------------------------------------
87,891,612 85,164,798 - - - -
---------------------------------------------------------------------------------------
INSTITUTIONAL SERVICE
CLASS SHARES
Proceeds from shares issued 21,783,046 26,834,379 - - - -
Dividends reinvested 565,062 431,912 - - - -
Cost of shares redeemed (17,700,358) (12,631,782) - - - -
---------------------------------------------------------------------------------------
4,647,750 14,634,509 - - - -
---------------------------------------------------------------------------------------
LOCAL FUND SHARES
Dividends reinvested 1,148 1,090 - - - -
---------------------------------------------------------------------------------------
1,148 1,090 - - - -
---------------------------------------------------------------------------------------
Change in net assets from
capital transactions $401,229,702 $263,425,114 $130,541,811 $ 78,234,383 $ 67,621,008 $ 36,376,316
=======================================================================================
(a) For the period from November 29, 2001 (commencement of operations) through
October 31, 2002.
(b) For the period from October 22, 2003 (commencement of operations) through
October 31, 2003.
118 ANNUAL REPORT 2003
- --------------------------------------------------------------------------------
S&P 500 INDEX MID CAP MARKET INDEX SMALL CAP INDEX
---------------------------------------------------------------------------------
YEAR ENDED YEAR ENDED YEAR ENDED YEAR ENDED YEAR ENDED YEAR ENDED
OCTOBER 31, OCTOBER 31, OCTOBER 31, OCTOBER 31, OCTOBER 31, OCTOBER 31,
2003 2002 2003 2002 2003 2002
- ---------------------------------------------------------------------------------------------------------
SHARE TRANSACTIONS:
CLASS A SHARES
Issued 224,195 234,360 2,175,011 2,065,062 3,998,321 1,443,843
Reinvested 6,546 4,501 10,230 6,270 13,066 6,294
Redeemed (107,324) (76,123) (992,214) (926,518) (1,403,843) (418,693)
---------------------------------------------------------------------------------
123,417 162,738 1,193,027 1,144,814 2,607,544 1,031,444
---------------------------------------------------------------------------------
CLASS B SHARES
Issued 147,704 149,144 16,581 9,649 12,631 13,020 (a)
Reinvested 1,630 868 5 3 15 13 (a)
Redeemed (56,310) (37,403) (861) (864) (598) (718) (a)
---------------------------------------------------------------------------------
93,024 112,609 15,725 8,788 12,048 12,315
---------------------------------------------------------------------------------
CLASS C SHARES
Issued 1,133 (b) - 1,750 (b) - 2,018 (b) -
---------------------------------------------------------------------------------
1,133 - 1,750 - 2,018 -
---------------------------------------------------------------------------------
INSTITUTIONAL
CLASS SHARES
Issued 46,941,237 24,712,089 14,421,674 8,374,096 7,033,832 4,074,841
Reinvested 660,006 248,868 114,442 39,823 64,463 26,014
Redeemed (10,009,047) (5,961,179) (2,875,636) (2,031,448) (1,963,299) (915,960)
---------------------------------------------------------------------------------
37,592,196 18,999,778 11,660,480 6,382,471 5,134,996 3,184,895
---------------------------------------------------------------------------------
SERVICE CLASS SHARES
Issued 14,209,589 11,969,770 - - - -
Reinvested 406,279 272,213 - - - -
Redeemed (3,862,780) (2,890,421) - - - -
---------------------------------------------------------------------------------
10,753,088 9,351,562 - - - -
---------------------------------------------------------------------------------
INSTITUTIONAL SERVICE
CLASS SHARES
Issued 2,727,480 3,026,182 - - - -
Reinvested 69,828 49,754 - - - -
Redeemed (2,144,113) (1,479,191) - - - -
---------------------------------------------------------------------------------
653,195 1,596,745 - - - -
---------------------------------------------------------------------------------
LOCAL FUND SHARES
Reinvested 141 125 - - - -
---------------------------------------------------------------------------------
141 125 - - - -
---------------------------------------------------------------------------------
Total change in shares 49,216,194 30,223,557 12,870,982 7,536,073 7,756,606 4,228,654
==================================================================================
(a) For the period from November 29, 2001 (commencement of operations) through
October 31, 2002.
(b) For the period from October 22, 2003 (commencement of operations) through
October 31, 2003.
2003 ANNUAL REPORT 119
- --------------------------------------------------------------------------------
NOTES TO FINANCIAL STATEMENTS (Continued)
October 31, 2003
INTERNATIONAL INDEX BOND INDEX
----------------------------------------------------------
YEAR ENDED YEAR ENDED YEAR ENDED YEAR ENDED
OCTOBER 31, OCTOBER 31, OCTOBER 31, OCTOBER 31,
2003 2002 2003 2002
- ----------------------------------------------------------------------------------------
CAPITAL TRANSACTIONS:
CLASS A SHARES
Proceeds from shares issued $ 119,622,571 $ 84,979,808 $ 30,725,035 $ 86,302,550
Dividends reinvested 252,921 176,030 1,726,592 937,092
Cost of shares redeemed (119,862,372) (82,335,161) (28,679,148) (59,036,005)
----------------------------------------------------------
13,120 2,820,677 3,772,479 28,203,637
----------------------------------------------------------
CLASS B SHARES
Proceeds from shares issued 13,648 54,685 261,455 16,353
Dividends reinvested 1,222 786 2,592 580
Cost of shares redeemed (10,145) (18,040) (31,327) (5)
----------------------------------------------------------
4,725 37,431 232,720 16,928
----------------------------------------------------------
INSTITUTIONAL CLASS SHARES
Proceeds from shares issued 248,081,936 158,914,467 335,894,088 177,175,915
Dividends reinvested 4,721,725 1,346,579 11,973,979 4,181,307
Cost of shares redeemed (70,327,032) (57,635,844) (49,645,865) (44,746,796)
----------------------------------------------------------
182,476,629 102,625,202 298,222,202 136,610,426
----------------------------------------------------------
Change in net assets from
capital transactions $ 182,494,474 $105,483,310 $302,227,401 $164,830,991
==========================================================
SHARE TRANSACTIONS:
CLASS A SHARES
Issued 21,676,575 15,244,053 2,776,357 7,956,207
Reinvested 45,133 29,880 155,870 87,254
Redeemed (21,579,769) (14,620,795) (2,589,441) (5,422,533)
----------------------------------------------------------
141,939 653,138 342,786 2,620,928
----------------------------------------------------------
CLASS B SHARES
Issued 2,702 8,757 23,372 1,527
Reinvested 218 134 235 54
Redeemed (1,900) (3,042) (2,816) (1)
----------------------------------------------------------
1,020 5,849 20,791 1,580
----------------------------------------------------------
INSTITUTIONAL CLASS SHARES
Issued 44,034,205 27,589,163 30,355,893 16,464,473
Reinvested 828,041 232,836 1,082,080 389,083
Redeemed (12,488,487) (10,434,624) (4,489,431) (4,138,782)
----------------------------------------------------------
32,373,759 17,387,375 26,948,542 12,714,774
----------------------------------------------------------
Total change in shares 32,516,718 18,046,362 27,312,119 15,337,282
==========================================================
120 ANNUAL REPORT 2003
- --------------------------------------------------------------------------------
SMALL CAP VALUE
--------------------------------------
YEAR ENDED YEAR ENDED
OCTOBER 31, 2003 OCTOBER 31, 2002
- --------------------------------------------------------------------------------------
CAPITAL TRANSACTIONS:
INSTITUTIONAL CLASS SHARES
Proceeds from shares issued $ 2,061,469 $ 1,994,386
Dividends reinvested 64,171 1,849,661
Cost of shares redeemed (3,610,347) (230,411)
--------------------------------------
Change in net assets from capital transactions $ (1,484,707) $ 3,613,636
======================================
SHARE TRANSACTIONS:
INSTITUTIONAL CLASS SHARES
Issued 195,363 172,664
Reinvested 6,148 162,630
Redeemed (345,488) (19,130)
--------------------------------------
Total change in shares (143,977) 316,164
======================================
2003 ANNUAL REPORT 121
- --------------------------------------------------------------------------------
NOTES TO FINANCIAL STATEMENTS (Continued)
October 31, 2003
3. TRANSACTIONS WITH AFFILIATES
Under the terms of the Investment Advisory Agreements, Gartmore Mutual Fund
Capital Trust ("GMF") manages the investment of the assets and supervises the
daily business affairs of their respective Funds (as shown in the table below).
GMF is a wholly-owned subsidiary of Gartmore Global Investments, Inc. ("GGI"), a
holding company. GGI is a majority-owned subsidiary of Gartmore Global Asset
Management Trust ("GGAMT"). GGAMT is a wholly-owned subsidiary of Nationwide
Corporation. All of the common stock of Nationwide Corporation is held by
Nationwide Mutual Insurance Company (95.3%) and Nationwide Mutual Fire Insurance
Company (4.7%), each of which is a mutual company owned by its policy-holders.
GMF also provide investment management evaluation services in initially
selecting and monitoring on an ongoing basis the performance of the subadvisers,
if applicable, for the Funds that GMF advises. The subadvisers manage each of
their respective Fund's investments (or portion thereof) and have the
responsibility for making all investment decisions for the applicable Funds. The
adviser and subadviser, if applicable, for each Fund is as follows:
FUND ADVISER SUBADVISER
- -------------------------------------------------------------
Large Cap Growth GMF Goldman Sachs Asset Management
- -------------------------------------------------------------
Small Cap GMF INVESCO, Inc.
- -------------------------------------------------------------
S&P 500 Index GMF Fund Asset Management, L.P.
- -------------------------------------------------------------
Mid Cap Market Index GMF Fund Asset Management, L.P.
- -------------------------------------------------------------
Small Cap Index GMF Fund Asset Management, L.P.
- -------------------------------------------------------------
International Index GMF Fund Asset Management, L.P.
- -------------------------------------------------------------
Bond Index GMF Fund Asset Management, L.P.
- -------------------------------------------------------------
Small Cap Value GMF NorthPointe Capital, LLC (a)
- -------------------------------------------------------------
(a) Affiliate of GMF.
Under the terms of the Investment Advisory Agreements, each Fund pays GMF an
investment advisory fee based on that Fund's average daily net assets. From
these fees, pursuant to the subadvisory agreements, the adviser pays fees to the
applicable subadviser, if any. Additional information regarding the investment
advisory fees and subadvisory fees for GMF and the sub-advisers, where
applicable, is as follows for the year ended October 31, 2003:
TOTAL FEES PAID TO
FUND FEE SCHEDULE FEES RETAINED SUBADVISER
- ---------------------------------------------------------------------------------
Large Cap Growth Up to $150 million 0.80% 0.40% 0.40%
On $150 million and more 0.70% 0.40% 0.30%
- ---------------------------------------------------------------------------------
Small Cap Up to $100 million 0.95% 0.40% 0.55%
On $100 million and more 0.80% 0.40% 0.40%
- ---------------------------------------------------------------------------------
S&P 500 Index (a) Up to $1.5 billion 0.13% 0.11% 0.02%
On the next $1.5 billion 0.12% 0.10% 0.02%
On $3 billion and more 0.11% 0.09% 0.02%
- ---------------------------------------------------------------------------------
Mid Cap Market Index All Assets 0.22% 0.13% 0.09%
- ---------------------------------------------------------------------------------
Small Cap Index All Assets 0.20% 0.13% 0.07%
- ---------------------------------------------------------------------------------
International Index (b) All Assets 0.27% 0.15% 0.12%
- ---------------------------------------------------------------------------------
Bond Index All Assets 0.22% 0.13% 0.09%
- ---------------------------------------------------------------------------------
Small Cap Value All Assets 0.85% - 0.85%
- ---------------------------------------------------------------------------------
(a) Prior to January 1, 2003, the subadvisory fee was 0.04% on assets up to
$200 million and 0.02% on assets of $200 million and more.
(b) Prior to January 1, 2003, the subadvisory fee was 0.13% on all asset
levels.
122 ANNUAL REPORT 2003
- --------------------------------------------------------------------------------
Effective July 1, 2002, GMF and the Funds have entered into written contracts
("Expense Limitation Agreements") limiting operating expenses (excluding any
taxes, interest, brokerage fees, extraordinary expenses, short sale dividend
expenses, Rule 12b-1 fees, and administrative services fees) from exceeding the
amounts listed in the table below until at least February 29, 2004:
EXPENSE CAPS
-------------------------------------------------------------------------------
INSTITUTIONAL
INSTITUTIONAL SERVICES SERVICE LOCAL
CLASS A CLASS B CLASS C CLASS CLASS CLASS FUND
FUNDS SHARES SHARES SHARES SHARES SHARES SHARES SHARES
- ---------------------------------------------------------------------------------------------------------
Large Cap Growth 1.05% 1.05% 1.05% n/a 1.05% n/a n/a
- ---------------------------------------------------------------------------------------------------------
Small Cap 1.20% 1.20% 1.20% n/a 1.20% n/a n/a
- ---------------------------------------------------------------------------------------------------------
S&P 500 Index 0.63% 1.23% 1.23% 0.23% 0.48% 0.63% 0.35%
- ---------------------------------------------------------------------------------------------------------
Mid Cap Market Index 0.81% 1.41% 1.41% 0.31% n/a n/a n/a
- ---------------------------------------------------------------------------------------------------------
Small Cap Index (a) 0.79% 1.39% 1.39% 0.29% n/a n/a n/a
- ---------------------------------------------------------------------------------------------------------
International Index (a) 0.86% 1.46% n/a 0.36% n/a n/a n/a
- ---------------------------------------------------------------------------------------------------------
Bond Index (a) 0.81% 1.41% n/a 0.31% n/a n/a n/a
- ---------------------------------------------------------------------------------------------------------
Small Cap Value n/a n/a n/a 1.00% n/a n/a n/a
- ---------------------------------------------------------------------------------------------------------
(a) The Expense Limitation Agreement for these Funds also states that the
expense ratio for each class will not exceed 4.00% until at least March 1,
2011.
GMF may request and receive reimbursement from certain Funds of the advisory
fees waived and other expenses reimbursed by GMF pursuant to the Expense
Limitation Agreements at a later date not to exceed five fiscal years from
commencement of operations if the Fund has reached a sufficient asset size to
permit reimbursement to be made without causing the total annual operating
expense ratio of the Fund to exceed the limits set forth above. No reimbursement
will be made unless: (i) the Fund's assets exceed $100 million; (ii) the total
annual expense ratio of the class making such reimbursement is less than the
limit set forth above; and (iii) the payment of such reimbursement is approved
by the Board of Trustees on a quarterly basis. Except as provided for in the
Expense Limitation Agreements, reimbursement of amounts previously waived or
assumed by GMF is not permitted. As of the year ended October 31, 2003, the
cumulative potential reimbursements were as follows:
FUND AMOUNT EXPIRES
- -------------------------------------------------
Large Cap Growth $873,014 November 2, 2003
- -------------------------------------------------
Small Cap 615,490 November 2, 2003
- -------------------------------------------------
Mid Cap Market Index 500,510 December 29, 2004
- -------------------------------------------------
Small Cap Index 418,337 December 29, 2004
- -------------------------------------------------
International Index 702,940 December 29, 2004
- -------------------------------------------------
Bond Index 752,307 December 29, 2004
- -------------------------------------------------
Small Cap Value 177,106 June 29, 2005
- -------------------------------------------------
2003 ANNUAL REPORT 123
- --------------------------------------------------------------------------------
NOTES TO FINANCIAL STATEMENTS (Continued)
October 31, 2003
Under the terms of a Distribution Plan under Rule 12b-1 of the 1940 Act,
Gartmore Distribution Services, Inc. ("GDSI"), the Funds' distributor, is
compensated by the Funds for expenses associated with the distribution of
certain classes of shares of the Funds. These fees are based on average daily
net assets of the respective class of the Funds at an annual rate not to exceed
the following:
CLASS
CLASS B CLASS SERVICE LOCAL
A CLASS C CLASS FUND
FUND SHARES SHARES SHARES SHARES SHARES
- ------------------------------------------------------------------
Large Cap Growth 0.25% 1.00% 1.00% n/a n/a
- ------------------------------------------------------------------
Small Cap 0.25% 1.00% 1.00% n/a n/a
- ------------------------------------------------------------------
S&P 500 Index 0.25% 1.00% 1.00% 0.15% 0.07%
- ------------------------------------------------------------------
Mid Cap Market Index 0.25% 1.00% 1.00% n/a n/a
- ------------------------------------------------------------------
Small Cap Index 0.25% 1.00% 1.00% n/a n/a
- ------------------------------------------------------------------
International Index 0.25% 1.00% n/a n/a n/a
- ------------------------------------------------------------------
Bond Index 0.25% 1.00% n/a n/a n/a
- ------------------------------------------------------------------
Small Cap Value n/a n/a n/a n/a n/a
- ------------------------------------------------------------------
Pursuant to an Underwriting Agreement, GDSI serves as principal underwriter of
the Funds in the continuous distribution of their shares and receives
commissions in the form of a front-end sales charge on the Class A and Class C
shares. These fees are deducted from and are not included in proceeds from sales
of Class A and Class C shares. From these fees, GDSI pays sales commissions,
salaries, and other expenses in connection with generating new sales of Class A
and Class C shares of the Funds. GDSI also receives fees for services as
principal underwriter for Class B shares of the Funds. These fees are contingent
deferred sales charges ("CDSCs") ranging from 1% to 5% imposed on redemptions of
Class B shares which may cause the current value of a shareholder's account to
fall below the total purchase payments. The CDSC, if applicable, will be imposed
on redemptions made within 6 years of the purchase. In addition, Class C shares
also have a CDSC fee of 1% imposed on redemptions of Class C shares made within
one year of purchase. For the year ended October 31, 2003, GDSI received
commissions of $158,009 from front-end sales charges of Class A and Class C
shares and from CDSC fees from Class B and Class C shares of the Funds, of which
$80,890 was reallowed to affiliated broker-dealers of the Funds.
The Small Cap Fund will assess a 1.50% redemption fee on all classes of shares
that are purchased and are sold or exchanged within 90 days of purchase. The
redemption fee, if any, is allocated to each share class through capital for the
applicable Fund and is designed to offset brokerage commissions, market impact,
and other costs associated with short-term trading of Fund shares. For purposes
of determining whether the redemption fee applies, the shares that were held the
longest will be redeemed first. This redemption fee is in addition to any CDSCs
that may be applicable at the time of sale. The redemption fee may not apply in
certain circumstances, such as redemptions or exchanges of shares held in
certain omnibus accounts or retirement plans that cannot implement the
redemption fee. The fee does not apply to shares purchased through reinvested
dividends or capital gains.
Under the terms of a Fund Administration Agreement, Gartmore SA Capital Trust
("GSA") provides for various administrative and accounting services to the
Funds. Gartmore Investors Services, Inc. ("GISI"), an indirect subsidiary of
GSA, serves as Transfer Agent and Dividend Disbursing Agent for each of the
Funds. The fees for the services provided under both agreements are combined and
calculated based on the Trust's average daily net assets according to the fee
schedule below. The fees then are allocated proportionately among all Funds
within the Trust in relation to the average daily net assets of each Fund and
are paid to GSA. GSA pays GISI from these fees for GISI's services.
124 ANNUAL REPORT 2003
- --------------------------------------------------------------------------------
COMBINED FEE SCHEDULE*
- --------------------------------------------
Up to $1 billion 0.25%
- --------------------------------------------
1 billion and more up to $3 billion 0.18%
- --------------------------------------------
3 billion and more up to $4 billion 0.14%
- --------------------------------------------
4 billion and more up to $5 billion 0.07%
- --------------------------------------------
5 billion and more up to $10 billion 0.04%
- --------------------------------------------
10 billion and more up to $12 billion 0.02%
- --------------------------------------------
12 billion or more 0.01%
- --------------------------------------------
* The assets of the Gartmore Investor Destinations Aggressive, Gartmore
Investor Destinations Moderately Aggressive, Gartmore Investor Destinations
Moderate, Gartmore Investor Destinations Moderately Conservative and
Gartmore Investor Destinations Conservative Funds (collectively, the
"Investor Destinations Funds") are excluded from the Trust asset level
amount in order to calculate this asset based fee. The Investor
Destinations Funds do not pay any part of this fee.
GSA and GISI have entered into agreements with BISYS Fund Services Ohio, Inc.,
to provide sub-administration and sub-transfer agency services, respectively, to
the Funds.
Under the terms of an Administrative Services Plan, the Funds may pay fees to
servicing organizations, such as broker-dealers, including Nationwide Financial
Services, and financial institutions, which agree to provide administrative
support services to the shareholders of certain classes. These services include,
but are not limited, to the following: establishing and maintaining shareholder
accounts; processing purchase and redemption transactions; arranging bank wires;
performing shareholder sub-accounting; answering inquiries regarding the Funds;
and other such services. These fees are based on an annual rate of up to 0.25%
of the average daily net assets of the Class A, Service Class, and Institutional
Service Class of shares of each of the applicable Funds.
4. BANK LOANS
Prior to April 7, 2003, the Trust had an unsecured bank line of credit of
$50,000,000. Borrowings under this arrangement bore interest at the Federal
Funds rate plus 0.50%. Any interest costs would be included in custodian fees in
the Statements of Operations. No compensating balances were required under the
terms of the line of credit. For the period from April 7, 2003 to October 31,
2003, the Trust did not maintain an unsecured bank line of credit. There were no
unsecured bank loans outstanding as of October 31, 2002.
5. INVESTMENT TRANSACTIONS
Purchases and sales of securities (excluding short-term securities) for the year
ended October 31, 2003, are summarized as follows:
FUND PURCHASES SALES
- ------------------------------------------------
Large Cap Growth $ 36,615,678 $ 41,287,860
- ------------------------------------------------
Small Cap 32,294,169 29,026,953
- ------------------------------------------------
S&P 500 Index 318,040,219 9,310,747
- ------------------------------------------------
Mid Cap Market Index 115,229,509 13,232,305
- ------------------------------------------------
Small Cap Index 80,103,033 18,592,259
- ------------------------------------------------
International Index 173,122,788 16,231,317
- ------------------------------------------------
- ------------------------------------------------
Bond Index 795,685,574 488,752,413
- ------------------------------------------------
Small Cap Value 30,945,212 31,585,239
- ------------------------------------------------
2003 ANNUAL REPORT 125
- --------------------------------------------------------------------------------
REPORT OF INDEPENDENT AUDITORS TO THE TRUSTEES AND SHAREHOLDERS OF GARTMORE
MUTUAL FUNDS
In our opinion, the accompanying statements of assets and liabilities, including
the statements 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 Nationwide Large Cap Growth Fund,
Nationwide Small Cap Fund, Nationwide S&P 500 Index Fund, Nationwide Mid Cap
Market Index Fund, Nationwide Small Cap Index Fund, Nationwide International
Index Fund, Nationwide Bond Index Fund, and NorthPointe Small Cap Value Fund
(eight series of Gartmore Mutual Funds, hereafter referred to as the "Funds") at
October 31, 2003, the results of each of their operations for the year then
ended, the changes in each of their net assets and the financial highlights for
each of the two years (or periods) then ended 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 auditing
standards generally accepted in the United States of America, which 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, 2003 by correspondence with the custodian and
brokers, provide a reasonable basis for our opinion. The financial highlights
of the Funds for the periods ended on or before October 31, 2001 were audited by
other independent accountants whose report dated December 14, 2001 expressed an
unqualified opinion on those financial statements.
PRICEWATERHOUSECOOPERS LLP
PHILADELPHIA, PENNSYLVANIA
DECEMBER 18, 2003
126 ANNUAL REPORT 2003
- --------------------------------------------------------------------------------
SUPPLEMENTAL INFORMATION (Unaudited)
October 31, 2003
SHAREHOLDER MEETING
On December 12, 2003, a Special Meeting of the Shareholders of the Nationwide
Large Cap Growth Fund was held. The matters considered at the meeting, together
with the actual vote tabulations relating to such matters are as follows:
PROPOSAL 1:
To approve a Plan of Reorganization adopted by Gartmore Mutual Funds (the
"Trust"), on behalf of the Nationwide Large Cap Growth Fund (the "Large Cap
Growth Fund") and the Gartmore Growth Fund (the "Growth Fund") series of the
Trust, that provides for the acquisition by the Growth Fund of all of the
Assets, subject to liabilities, of the Large Cap Growth Fund, in exchange for
Class A, Class B, Class C and Institutional Service Class shares of the Growth
Fund, the distribution of such shares to the shareholders of the Large Cap
Growth Fund and the dissolution of the Large Cap Growth Fund.
FOR AGAINST ABSTAIN
- ------------------------------
27,456,711 1,031,870 716,590
PROPOSAL 2:
To grant the proxyholders authority to vote upon any other business that may
properly come before the Meeting.
FOR AGAINST ABSTAIN
- ------------------------------
26,883,019 1,343,995 978,157
OTHER FEDERAL INCOME TAX INFORMATION (UNAUDITED)
For the period ended October 31, 2003, certain dividends paid by the Funds may
be subject to a maximum tax rate of 15% as provided for by the Jobs and Growth
Tax Relief Reconciliation Act of 2003. The Funds intend to designate the maximum
amount allowable as taxed at a maximum rate of 15%. Complete information will be
reported in conjunction with your 2003 Form 1099-DIV.
For the period ended October 31, 2003, the following Funds paid qualified
dividend income:
QUALIFIED
DIVIDEND
FUND INCOME
- --------------------------------
S&P 500 Index $7,086,452
- --------------------------------
Mid Cap Market Index 1,015,815
- --------------------------------
Small Cap Index 479,019
- --------------------------------
International Index 4,705,535
- --------------------------------
Small Cap Value 42,937
- --------------------------------
2003 ANNUAL REPORT 127
- --------------------------------------------------------------------------------
MANAGEMENT INFORMATION (Unaudited)
TRUSTEES WHO ARE NOT INTERESTED PERSONS (AS DEFINED IN THE 1940 ACT) OF THE
FUNDS OCTOBER 31, 2003
NAME, POSITION(S) TERM PRINCIPAL NUMBER OTHER
ADDRESS, HELD OF OCCUPATION(S) OF DIRECTORSHIPS
AND WITH OFFICE DURING PORTFOLIOS HELD
AGE FUND WITH PAST IN BY
TRUST PAST FUND TRUSTEE2
- 5 COMPLEX
LENGTH YEARS OVERSEEN
OF BY
TIME TRUSTEE
SERVED1
- ----------------------------------------------------------------------------------------------------------------------------
Charles E. Allen, Trustee Since Mr. Allen is Chairman, Chief 83 None
8162 E. Jefferson Ave., #15B July 2000 Executive Officer and President of
Detroit, MI 48214 Graimark Realty Advisors, Inc. (real
estate development, investment and
Age 55 asset management).
- ----------------------------------------------------------------------------------------------------------------------------
Paula H.J. Cholmondeley Trustee Since Ms. Cholmondeley is Vice President 83 None
c/o Sappi Fine Paper July 2000 and General Manager of Special
225 Franklin Street Products at Sappi Fine Paper North
Boston, MA 02110 America. Prior to 1998, she held
various positions with Owens
Age 56 Corning, including Vice President
and General Manager of the
Residential Insulation Division (1997
to 1998).
- ----------------------------------------------------------------------------------------------------------------------------
C. Brent DeVore Trustee Since Dr. DeVore is President 83 None
111 N. West Street May 1998 of Otterbein College.
Westerville, OH 43081
Age 63
- ----------------------------------------------------------------------------------------------------------------------------
Robert M. Duncan Trustee Since Since 1999, Mr. Duncan has worked 83 None
1397 Haddon Road April 1997 as an arbitration and mediation
Columbus, OH 43209 consultant. From 1996 to 1999, he
Age 76 was Commissioner of the Ohio
Elections Commission.
- ----------------------------------------------------------------------------------------------------------------------------
Barbara L. Hennigar Trustee Since Retired; Ms. Hennigar is the former 83 None
6363 So. Sicily Way July 2000 Chairman of OppenheimerFunds
Aurora, CO 80016 Services and Shareholder Services
Inc. Ms. Hennigar held this position
Age 67 from October 1999 to June, 2000.
Prior to that, she served as
President and Chief Executive
Officer of OppenheimerFunds
Services.
- ----------------------------------------------------------------------------------------------------------------------------
Thomas J. Kerr, IV Trustee Since Dr. Kerr is President Emeritus of 83 None
4890 Smoketalk Lane June 1981 Kendall College.
Westerville, OH 43081
Age 69
- ----------------------------------------------------------------------------------------------------------------------------
Douglas F. Kridler Trustee Since Mr. Kridler is the President and Chief 83 None
2355 Brixton Road September1997 Executive Officer of the Columbus
Columbus, OH 43221 Foundation (a founda- tion which
manages over 1,000 individual
Age 48 endowment funds). Prior to January
31, 2002, Mr. Kridler was the
President of the Columbus
Association for the Performing Arts
and Chairman of the Greater
Columbus Convention and Visitors
Bureau.
- ----------------------------------------------------------------------------------------------------------------------------
128 ANNUAL REPORT 2003
- --------------------------------------------------------------------------------
TRUSTEES WHO ARE NOT INTERESTED PERSONS (AS DEFINED IN THE 1940 ACT) OF THE
FUNDS (continued)
OCTOBER 31, 2003
TERM
OF NUMBER
OFFICE OF
WITH PRINCIPAL PORTFOLIOS
TRUST OCCUPATION(S) IN
- DURING FUND OTHER
NAME, POSITION(S) LENGTH PAST COMPLEX DIRECTORSHIPS
ADDRESS, HELD OF PAST OVERSEEN HELD
AND WITH TIME 5 BY BY
AGE FUND SERVED1 YEARS TRUSTEE TRUSTEE2
- ----------------------------------------------------------------------------------------------------------------
David C. Wetmore Trustee Since Retired; Mr. Wetmore is the former 83[3] None
26 Turnbridge Drive May 1995 Managing Director of Updata
Long Cove Plantation Capital, Inc., a venture capital firm.
Hilton Head, SC 29928
Age 55
TRUSTEES AND OFFICERS WHO ARE INTERESTED PERSONS (AS DEFINED IN THE 1940 ACT)
AND OFFICERS OF THE FUNDS OCTOBER 31, 2003
NAME, POSITION(S) TERM PRINCIPAL NUMBER OTHER
ADDRESS, HELD OF OCCUPATION(S) OF DIRECTORSHIPS
AND WITH OFFICE DURING PORTFOLIOS HELD
AGE FUND LENGTH PAST IN BY
OF PAST FUND TRUSTEE[2]
TIME 5 COMPLEX
SERVED[1] YEARS OVERSEEN
BY
TRUSTEE
- ---------------------------------------------------------------------------------------------------------------------------------
Paul J. Hondros Trustee Since Mr. Hondros is President and Chief 83[3] None
Gartmore Global Investments, Inc. and July 2000 Executive Officer of Gartmore
1200 River Road, Chairman Distribution Services, Inc. ("GDSI")*,
Conshohocken, PA 19428 Gartmore Investors Services, Inc.*,
Gartmore Morley Capital
Age 55 Management, Inc.*, Gartmore
Morley Financial Services, Inc.,*
NorthPointe Capital, LLC*, GGAMT*,
GGI*, GMF*, and GSA* and a
Director of Nationwide Securities,
Inc.* as well as several entities
within Nationwide Financial
Services, Inc.* Prior to that, Mr.
Hondros served as President and
Chief Operations Officer of Pilgrim
Baxter and Associates, Ltd., an
invest-ment manage- ment firm, and
its affiliated investment man-
agement arm, Pilgrim Baxter Value
Investors, Inc. and as Executive Vice
President to the PBHG Funds,
PBHG Insurance Series Funds and
PBHG Adviser Funds.
- ---------------------------------------------------------------------------------------------------------------------------------
Arden L. Shisler Trustee Since Mr. Shisler is President and Chief 83 None
1356 North Wenger Rd. February 2000 Executive Officer of K&B Transport,
Dalton, OH 44618 Inc., a trucking firm, Chairman of the
Board for Nationwide Mutual
Age 61 Insurance Company* and a Director
of Nationwide Financial Services,
Inc.*
- ---------------------------------------------------------------------------------------------------------------------------------
2003 ANNUAL REPORT 129
- --------------------------------------------------------------------------------
MANAGEMENT INFORMATION (Unaudited) (continued)
TRUSTEES AND OFFICERS WHO ARE INTERESTED PERSONS (AS DEFINED IN THE 1940 ACT)
AND OFFICERS OF THE FUNDS
(continued)
OCTOBER 31, 2003
NAME, POSITION(S) TERM PRINCIPAL NUMBER OTHER
ADDRESS, HELD OF OCCUPATION(S) OF DIRECTORSHIPS
AND WITH OFFICE DURING PORTFOLIOS HELD
AGE FUND WITH PAST IN BY
TRUST 5 FUND TRUSTEE2
- YEARS COMPLEX
LENGTH OVERSEEN
OF BY
TIME TRUSTEE
SERVED1
- ---------------------------------------------------------------------------------------------------------------------------------
Treasurer Since Mr. Holland is Senior Vice President 83 None
Gerald J. Holland March 2001 - Chief Administrative Officer for
Gartmore Global Investments, Inc. GGI*, GMF*, GSA* and GDSI.*
1200 River Road, From July 2000 to March 2002 he
Conshohocken, PA 19428 was Senior Vice President -
Operations for GGI, GMF and GSA.
Age 52 Prior to July 2000, he was Vice
President for First Data Investor
Services, an invest-ment company
service provider.
- ---------------------------------------------------------------------------------------------------------------------------------
Secretary Since Mr. Miller is Senior Vice President, 83 None
Eric E. Miller December 2002 Chief Counsel for GGI*, GMF* and
Gartmore Global Investments, Inc. GSA*. Prior to August 2002, he was
1200 River Road, a Partner with Stradley Ronon
Conshohocken, PA 19428 Stevens & Young, LLP.
Age 50
- ---------------------------------------------------------------------------------------------------------------------------------
<FN>
1 The term of office length is until a director resigns or reaches a
mandatory retirement age of 70. The Trust adopted a five-year
implementation period for any Trustee 65 or older as of the adoption of
this policy.
2 Directorships held in (1) any other investment companies registered under
the 1940 Act, (2) any company with a class of securities registered
pursuant to Section 12 of the Securities Exchange Act of 1934, as amended
(the "Exchange Act") or (3) any company subject to the requirements of
Section 15(d) of the Exchange Act.
3 Mr.Wetmore serves as an independent member, and Mr. Hondros serves as a
member, of the Administrative Committee for each of the various hedge funds
managed by Gartmore SA Capital Trust ("GSA") (Mr. Wetmore resigned as a
member of these Administrative Committees effective as of December 5,
2003.)
* This position is held with an affiliated person or principal underwriter of
the Funds.
Trustees and Officers who are not Interested Persons (as defined in the 1940
Act) of the Funds received aggregate compensation of $272,625 from the Trust for
the year ended October 31, 2003. Additional information regarding the Trustees
and Officers may be found in the Trust's statement of additional information
which is available without charge (i) upon request, by calling 1-800-848-0920,
(ii) on the Fund's website at WWW.GARTMOREFUNDS.COM, or (iii) on the Securities
and Exchange Commission's website at www.sec.gov.
130 ANNUAL REPORT 2003
- --------------------------------------------------------------------------------
[THIS PAGE LEFT BLANK INTENTIONALLY]
- --------------------------------------------------------------------------------
[THIS PAGE LEFT BLANK INTENTIONALLY]
- --------------------------------------------------------------------------------
OFFICERS
Paul J. Hondros, Chairman, Chief Executive Officer
Eric E. Miller, Secretary
James Bernstein, Assistant Secretary
Elizabeth A. Davin, Assistant Secretary
Jill R. Whitelaw, Assistant Secretary
Michael A. Krulikowski, Assistant Secretary
Alaina V. Metz, Assistant Secretary
Peter Sullivan, Assistant Secretary
Scott Zoltowski, Assistant Secretary
Gerald J. Holland, Treasurer, Chief Financial Officer
William J. Baltrus, Assistant Treasurer
Joseph A. Finelli, Assistant Treasurer
Bryan C. Haft, Assistant Treasurer
Michael D. Leonard, Assistant Treasurer
Brian J. O'Neill, Assistant Treasurer
Mary L. Vitale, Assistant Treasurer
INVESTMENT ADVISERS
GARTMORE MUTUAL FUND CAPITAL TRUST
1200 River Road,
Suite 1000
Conshohocken, Pennsylvania 19428
GARTMORE MORLEY CAPITAL MANAGEMENT, INC.
5665 S.W. Meadows Road
Lake Oswego, OR 97035
TRANSFER AGENT
GARTMORE INVESTORS SERVICES, INC.
P.O. Box 1492
Columbus, Ohio 43216-1492
CUSTODIAN
J.P. MORGAN CHASE BANK
270 Park Avenue New York, NY 10017
LEGAL COUNSEL
STRADLEY RONON STEVENS & YOUNG, LLP
2600 One Commerce Square
Philadelphia, Pennsylvania 19103-7098
INDEPENDENT AUDITOR
PRICEWATERHOUSECOOPERS LLP
Two Commerce Square
2001 Market Street,
Suite 1700
Philadelphia, PA 19103
DISTRIBUTOR
GARTMORE DISTRIBUTION SERVICES, INC.
1200 River Road,
Suite 1000
Conshohocken, PA 19428
Gartmore Global Investments is the investment adviser to Gartmore Funds. "Look
Beyond." is a service mark of Gartmore Global Investments, Inc. Nationwide is a
registered service mark of Nationwide Mutual Insurance Company.
Securities offered through GARTMORE DISTRIBUTION SERVICES, INC., Member NASD.
This report is for the information of shareholders of Gartmore Funds. For more
complete information, including all sales charges and expenses, please ask your
representative for a prospectus. Please read it carefully before you invest or
send money.
FEDERAL LAW REQUIRES THE TRUST, AND EACH OF ITS INVESTMENT ADVISERS AND
SUB-ADVISERS, TO ADOPT PROCEDURES FOR VOTING PROXIES ("PROXY VOTING GUIDELINES")
AND TO PROVIDE A SUMMARY OF THOSE PROXY VOTING GUIDELINES USED TO VOTE THE
SECURITIES HELD BY THE FUNDS. THE FUND'S PROXY VOTING POLICIES AND PROCEDURES
ARE AVAILABLE WITHOUT CHARGE (I) UPON REQUEST, BY CALLING 800-848-0920, (II) ON
THE FUND'S WEB SITE AT WWW.GARTMOREFUNDS.COM, OR (III) ON THE U.S. SECURITIES
AND EXCHANGE COMMISSION'S WEB SITE AT WWW.SEC.GOV.
GARTMORE FUNDS
1200 River Road
Conshohocken, PA 19428
888-223-2116
WWW.GARTMOREFUNDS.COM
Gartmore Funds Shareholder Services:
800-848-0920
GG-0094 12/03
- --------------------------------------------------------------------------------
ITEM 2. CODE OF ETHICS.
Disclose whether, as of the end of the period covered by the report, the
registrant has adopted a code of ethics that applies to the registrant's
principal executive officer, principal financial officer, principal accounting
officer or controller, or persons performing similar functions, regardless of
whether these individuals are employed by the registrant or a third party. If
the registrant has not adopted such a code of ethics, explain why it has not
done so.
THE REGISTRANT HAS ADOPTED A CODE OF ETHICS THAT APPLIES TO THE REGISTRANT'S
PRINCIPAL EXECUTIVE OFFICER, PRINCIPAL FINANCIAL OFFICER, PRINCIPAL ACCOUNTING
OFFICER OR CONTROLLER, OR PERSONS PERFORMING SIMILAR FUNCTIONS. THIS CODE OF
ETHICS IS INCLUDED AS EXHIBIT 10 (A)(1).
ITEM 3. AUDIT COMMITTEE FINANCIAL EXPERT.
(a) (1) Disclose that the registrant's board of directors has determined that
the registrant either:
(i) Has at least one audit committee financial expert serving on its
audit committee; or
(ii) Does not have an audit committee financial expert serving on its
audit committee.
(2) If the registrant provides the disclosure required by paragraph
(a)(1)(i) of this Item, it must disclose the name of the audit
committee financial expert and whether that person is "independent."
In order to be considered "independent" for purposes of this Item, a
member of an audit committee may not, other than in his or her
capacity as a member of the audit committee, the board of directors,
or any other board committee:
(i) Accept directly or indirectly any consulting, advisory, or other
compensatory fee from the issuer; or
(ii) Be an "interested person" of the investment company as defined in
Section 2(a)(19) of the Act (15 U.S.C. 80a- 2(a)(19)).
(3) If the registrant provides the disclosure required by paragraph
(a)(1)(ii) of this Item, it must explain why it does not have an audit
committee financial expert.
3(a)(1) THE REGISTRANT'S BOARD OF DIRECTORS HAS DETERMINED THAT THE
REGISTRANT HAS AT LEAST ONE AUDIT COMMITTEE FINANCIAL EXPERT SERVING
ON ITS AUDIT COMMITTEE.
3(a)(2) THE AUDIT COMMITTEE FINANCIAL EXPERT IS DAVID C. WETMORE. HE IS AN
INDEPENDENT TRUSTEE.
ITEM 4. PRINCIPAL ACCOUNTANT FEES AND SERVICES.
(a) Disclose, under the caption Audit Fees, the aggregate fees billed for each
of the last two fiscal years for professional services rendered by the
principal accountant for the audit of the registrant's annual financial
statements or services that are normally provided by the accountant in
connection with statutory and regulatory filings or engagements for those
fiscal years.
(b) Disclose, under the caption Audit-Related Fees, the aggregate fees billed
in each of the last two fiscal years for assurance and related services by
the principal accountant that are reasonably related to the performance of
the audit of the registrant's financial statements and are not reported
under paragraph (a) of this Item. Registrants shall describe the nature of
the services comprising the fees disclosed under this category.
(c) Disclose, under the caption Tax Fees, the aggregate fees billed in each of
the last two fiscal years for professional services rendered by the
principal accountant for tax compliance, tax advice, and tax planning.
Registrants shall describe the nature of the services comprising the fees
disclosed under this category.
(d) Disclose, under the caption All Other Fees, the aggregate fees billed in
each of the last two fiscal years for products and services provided by the
principal accountant, other than the services reported in paragraphs (a)
through (c) of this Item. Registrants shall describe the nature of the
services comprising the fees disclosed under this category.
(e) (1) Disclose the audit committee's pre-approval policies and procedures
described in paragraph (c)(7) of Rule 2-01 of Regulation S-X.
(2) Disclose the percentage of services described in each of paragraphs
(b) through (d) of this Item that were approved by the audit committee
pursuant to paragraph (c)(7)(i)(C) of Rule 2-01 of Regulation S-X.
(f) If greater than 50 percent, disclose the percentage of hours expended on
the principal accountant's engagement to audit the registrant's financial
statements for the most recent fiscal year that were attributed to work
performed by persons other than the principal accountant's full-time,
permanent employees.
(g) Disclose the aggregate non-audit fees billed by the registrant's accountant
for services rendered to the registrant, and rendered to the registrant's
investment adviser (not including any sub-adviser whose role is primarily
portfolio management and is subcontracted with or overseen by another
investment adviser), and any entity controlling, controlled by, or under
common control with the adviser that provides ongoing services to the
registrant for each of the last two fiscal years of the registrant.
(h) Disclose whether the registrant's audit committee of the board of directors
has considered whether the provision of nonaudit services that were
rendered to the registrant's investment adviser (not including any
subadviser whose role is primarily portfolio management and is
subcontracted with or overseen by another investment adviser), and any
entity controlling, controlled by, or under common control with the
investment adviser that provides ongoing services to the registrant that
were not pre-approved pursuant to paragraph (c)(7)(ii) of Rule 2-01 of
Regulation S-X is compatible with maintaining the principal accountant's
independence.
ONLY EFFECTIVE FOR ANNUAL REPORTS WITH PERIODS ENDING ON OR AFTER DECEMBER 15,
2003.
ITEM 5. AUDIT COMMITTEE OF LISTED REGISTRANTS.
(a) If the registrant is a listed issuer as defined in Rule 10A-3 under the
Exchange Act (17CFR 240.10A-3), state whether or not the registrant has a
separately-designated standing audit committee established in accordance
with Section 3(a)(58)(A) of the Exchange Act (15 U.S.C. 78c(a)(58)(A)). If
the registrant has such a committee, however designated, identify each
committee member. If the entire board of directors is acting as the
registrant's audit committee as specified in Section 3(a)(58)(B) of the
Exchange Act (15 U.S.C. 78c(a)(58)(B)), so state.
(b) If applicable, provide the disclosure required by Rule 10A-3(d) under the
Exchange Act (17CFR 240.10A-3(d)) regarding an exemption from the listing
standards for all audit committees.
NOT APPLICABLE.
ITEM 6. [RESERVED]
ITEM 7. DISCLOSURE OF PROXY VOTING POLICIES AND PROCEDURES FOR CLOSED-END
MANAGEMENT INVESTMENT COMPANIES.
A closed-end management investment company that is filing an annual report
on this Form N-CSR must, unless it invests exclusively in non-voting securities,
describe the policies and procedures that it uses to determine how to vote
proxies relating to portfolio securities, including the procedures that the
company uses when a vote presents a conflict between the interests of its
shareholders, on the one hand, and those of the company's investment adviser;
principal underwriter; or any affiliated person (as defined in Section 2(a)(3)
of the Investment Company Act of 1940 (15 U.S.C. 80a-2(a)(3)) and the rules
thereunder) of the company, its investment adviser, or its principal
underwriter, on the other. Include any policies and procedures of the company's
investment adviser, or any other third party, that the company uses, or that are
used on the company's behalf, to determine how to vote proxies relating to
portfolio securities. NOT APPLICABLE.
ITEM 8. [RESERVED]
ITEM 9. CONTROLS AND PROCEDURES.
(a) Disclose the conclusions of the registrant's principal executive and
principal financial officers, or persons performing similar functions, regarding
the effectiveness of the registrant's disclosure controls and procedures (as
defined in Rule 30a-3(c) under the Act (17 CFR 270.30a-3(c))) as of a date
within 90 days of the filing date of the report that includes the disclosure
required by this paragraph, based on the evaluation of these controls and
procedures required by Rule 30a-3(b) under the Act (17 CFR 270.30a-3(b)) and
Rules 13a-15(b) or 15d-15(b) under the Exchange Act (17 CFR 240.13a-15(b) or
240.15d-15(b)).
IN THE OPINION OF THE PRINCIPAL EXECUTIVE OFFICER AND PRINCIPAL FINANCIAL
OFFICER, BASED ON THEIR EVALUATION, THE REGISTRANT'S DISCLOSURE CONTROLS AND
PROCEDURES ARE ADEQUATELY DESIGNED AND ARE OPERATING EFFECTIVELY TO ENSURE (I)
THAT MATERIAL INFORMATION RELATING TO THE REGISTRANT, INCLUDING ITS CONSOLIDATED
SUBSIDIARIES, IS MADE KNOWN TO THEM BY OTHERS WITHIN THOSE ENTITIES,
PARTICULARLY DURING THE PERIOD IN WHICH THIS REPORT IS BEING PREPARED; AND (II)
THAT INFORMATION REQUIRED TO BE DISCLOSED BY THE REGISTRANT ON FORM N-CSR IS
RECORDED, PROCESSED, SUMMARIZED AND REPORTED WITHIN THE TIME PERIODS SPECIFIED
IN THE SECURITIES AND EXCHANGE COMMISSION'S RULES AND FORMS.
(b) Disclose any change in the registrant's internal control over financial
reporting (as defined in Rule 30a-3(d) under the Act (17 CFR 270.30a-3(d)) that
occurred during the registrant's last fiscal half-year (the registrant's second
fiscal half-year in the case of an annual report) that has materially affected,
or is reasonably likely to materially affect, the registrant's internal control
over financial reporting.
THERE WERE NO CHANGES IN THE REGISTRANT'S INTERNAL CONTROL OVER FINANCIAL
REPORTING THAT OCCURRED DURING THE REGISTRANT'S MOST RECENT FISCAL HALF-YEAR
(THE REGISTRANT'S SECOND FISCAL HALF-YEAR IN THE CASE OF AN ANNUAL REPORT) THAT
HAVE MATERIALLY AFFECTED OR ARE REASONABLY LIKELY TO MATERIALLY AFFECT, THE
REGISTRANT'S INTERNAL CONTROL OVER FINANCIAL REPORTING.
ITEM 10. EXHIBITS.
(a) File the exhibits listed below as part of this Form. Letter or number
the exhibits in the sequence indicated.
(a)(1) Any code of ethics, or amendment thereto, that is the subject of the
disclosure required by Item 2, to the extent that the registrant
intends to satisfy the Item 2 requirements through filing of an
exhibit.
THE CODE OF ETHICS THAT IS THE SUBJECT OF THE DISCLOSURE REQUIRED BY ITEM 2 IS
ATTACHED HERETO.
(a)(2) A separate certification for each principal executive officer and
principal financial officer of the registrant as required by Rule
30a-2 under the Act (17 CFR 270.30a-2).
CERTIFICATIONS PURSUANT TO SECTION 302 OF THE SARBANES-OXLEY ACT OF 2002 ARE
ATTACHED HERETO.
(b) A separate or combined certification for each principal executive
officer and principal officer of the registrant as required by Rule
30a-2(b) under the Act of 1940.
CERTIFICATIONS PURSUANT TO SECTION 906 OF THE SARBANES-OXLEY ACT OF 2002 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.
(Registrant) GARTMORE MUTUAL FUNDS
By /s/ GERALD J. HOLLAND
Name: Gerald J. Holland
Title: Treasurer
Date: January 9, 2004
Pursuant to the requirements of the Securities Exchange Act of 1934 and the
Investment Company Act of 1940, this report has been signed below by the
following persons on behalf of the registrant and in the capacities and on the
dates indicated.
By /s/ PAUL J. HONDROS
Name: Paul J. Hondros
Title: President & Chairman of the Board
Date: January 9, 2004
By /s/ GERALD J. HOLLAND
Name: Gerald J. Holland
Title: Treasurer
Date: January 9, 2004